TORONTO, Nov. 4, 2011 /CNW/ -- Aberdeen Asia-Pacific Income Investment Company Limited (the "Company") (TSX: FAP), a closed-end investment company trading on The Toronto Stock Exchange, today announced performance data and portfolio composition details as of September 30, 2011.
The Company's total returns for various periods through September 30, 2011 are provided below. (All figures are based on distributions reinvested at the dividend reinvestment price and are stated net-of-fees):
Period NAV Total Return (%) Market Price Total Return (%)
Cumulative Annualized Cumulative Annualized
(June 1986) 613.8 8.1 650.2 8.3
10-years 84.0 6.3 131.6 8.8
5-years 30.4 5.5 37.5 6.6
3-years 35.3 10.6 73.4 20.1
1-year 3.4 6.7
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The Company's returns, which are denominated in Canadian dollars, are affected by the performance of the Canadian dollar against the various currencies listed below.
As of September 30, 2011, the portfolio was invested as follows:
Currency Exposure (%) Geographic Exposure (%)
Australia 23.9 21.8
New Zealand 0.9 0.7
United States * 19.5 2.0
Canada 0.1 0.1
Mexico 9.1 9.1
United Kingdom - 0.4
Germany - 0.1
Norway - 0.2
Netherlands - 1.3
European Union - 0.2
Brazil 8.4 8.4
Turkey 3.2 3.2
South Korea - 3.6
Singapore - 0.3
Thailand - 1.0
Philippines 9.2 11.5
Malaysia - 1.8
India 9.3 11.0
China - 1.7
Hong Kong - 2.8
Indonesia 16.4 18.6
Sri Lanka - 0.2
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*Of which 19.5% held in US$ denominated bonds issued by foreign
As of September 30, 2011, the top ten holdings of the portfolio based on total assets were as follows:
Holding Coupon / Maturity (%)
Philippine Government Bond 9.13%, 09/04/2016 3.6
Philippine Government Bond 9.125%, 09/04/2016 3.3
India Government Bond 7.02%, 08/17/2016 3.0
Turkey Government Bond 16.00%, 03/07/2012 3.0
Mexico Government 9.50%, 12/18/2014 2.7
Indonesia Treasury Bond 10.50%, 09/15/2030 2.7
Treasury Corporation of Victoria 5.75%, 11/15/2016 2.6
Mexican Bonos 8.50%, 05/31/2029 2.6
Indonesia Government 9.50%, 06/15/2015 2.5
Mexico Government 8.50%, 12/13/2018 2.5
As of September 30, 2011 the holdings of the portfolio represented approximately 71.8% sovereign and state government securities, 3.6% supranationals, 22.3% corporates, 1.8% cash and 0.5% mortgage backed securities.
As of September 30, 2011, the Company's net assets, including C$151.1 million in bank borrowing, amounted to C$500.5 million. The net asset value per ordinary share was C$6.73.
As of September 30, 2011, 41.3% of the portfolio was invested in securities where either the issue or the issuer was rated "A" or better, or judged by the Investment Manager to be of equivalent quality.
The credit quality and maturity breakdown of the portfolio was as follows:
Credit Quality (%)
AAA/Aaa AA/Aa A BBB/Baa BB/Ba B
17.2 5.9 18.2 23.8 34.5 0.4
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<3 Years 3-5 Years 5-10 Years >10 Years
17.4 28.0 31.2 23.4
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As of September 30, 2011, the average maturity of the portfolio was 7.9
The Company has a Normal Course Issuer Bid ("NCIB") in place whereby shares of the Company may be purchased at times when the market price per share trades at a discount in excess of 8% to the Company's net asset value per share. During the month of September there were no shares purchased under the NCIB.
The Fund has in place leverage in the form of a loan facility that renews annually. The outstanding balance on the loan as of September 30, 2011 is US$145,000,000, which represents no change from the previous month.
The leverage is used with the intent of enhancing returns by borrowing at interest rates that are lower than the relatively higher yields of the Asian-Pacific fixed income securities in which the Company invests. The Company has entered into interest rate swap agreements in order to fix the interest payable on a portion of the credit facility. Details regarding the revolving credit loan facility and the interest rate swap agreements are contained in the Company's annual and semi-annual reports to shareholders.
Aberdeen Asset Management Inc., the Company's Administrator, has prepared this report based on information sources believed to be accurate and reliable. However, the figures are unaudited and neither the Company, the Administrator, Aberdeen Asset Management Asia Limited (the Investment Manager), Aberdeen Asset Management Limited (the Investment Advisor), Aberdeen Fund Management Limited (the Sub-Adviser), nor any other person guarantees their accuracy. Investors should seek their own professional advice and should consider the investment objectives, risks, charges and expenses before acting on this information.
Closed-end funds have a one-time initial public offering and then are subsequently traded on the secondary market through one of the stock exchanges. The investment return and principal value will fluctuate so that an investor's shares may be worth more or less than the original cost. Shares of closed-end funds may trade above (a premium) or below (a discount) the net asset value (NAV) of the fund's portfolio. There is no assurance that a fund will achieve its investment objective. Past performance does not guarantee future results.
Total return figures are stated net-of-fees, in C$ and represent past performance. They assume reinvestment of dividends at the dividend reinvestment price on the ex-dividend date and include
long-term capital gains. The returns are not adjusted for any issuance of rights or warrants by the Company. Past performance is not indicative of future results, current performance may be higher or lower. Holdings are subject to change and are provided for informational purposes only and should not be deemed as a recommendation to buy or sell the securities shown. Inception date June 13, 1986.
Information in this press release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws. Implicit in this information, particularly in respect of future financial performance and condition of the Company, are factors and assumptions which, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. Shareholders are cautioned that actual results are subject to a number of risks and uncertainties, including general economic and market factors, including credit, currency, political and interest-rate risks and could differ materially from what is currently expected. The Company has no specific intention of updating any forward-looking information whether as a result of new information, future events or otherwise, except as required by law.
If you wish to receive this information electronically, please contact InvestorRelations@aberdeen-asset.com
SOURCE Aberdeen Asia-Pacific Income Investment Company Limited
For further information: Aberdeen Asset Management Inc., Investor Relations, 1-800-992-6341, InvestorRelations@aberdeen-asset.com Web Site: http://www.aberdeen-asset.ca