19th Jun 2015 11:18
LONDON (Alliance News) - Henderson Diversified Income Ltd Friday said its performance was superior to that of its benchmark in the first six months of its financial year.
The trust said its net asset value total return per ordinary share for the six months ended April 30 was 5.2%, with the the share price total return per share at 5.9%, due to an increase in the premium at which the shares trade to net asset value to 3.5% from 2.7%.
In the same period, the trust's benchmark produced a total return of 1.3%.
The benchmark is the total return over three month sterling Libor plus 2.00%.
"With interest rates staying 'lower for longer' our fund managers have found bonds to be more attractive than secured loans and this is likely to continue for the time being. However, given the indiscriminate nature of the demand for yield, credit selection is more important than ever and we shall continue to favour larger-sized bond issues over the smaller, more illiquid issues. Against that background, some volatility in bond markets must be expected over the coming months," Chairman Paul Manduca said in a statement.
Henderson Diversified Income shares were up 0.3% at 91.81 pence on Friday shortly after midday in London.
By Samuel Agini; [email protected]; @samuelagini
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