26th Apr 2016 12:15
LONDON (Alliance News) - Henderson International Income Trust PLC on Tuesday said the increase in its size from the move to add assets from Henderson Global Trust PLC should benefit shareholders.
The increase in assets from the transaction forms part of the Henderson International Income strategy of widening its investor base and increasing its size. The aim is to improve liquidity in its shares, and spread fixed costs over a larger base.
In addition to the reduction in the ongoing charge percentage that occurs as a result of the scale effect of a larger asset base, the management fee due to Henderson Global Investors has reduced to 0.65% from 0.75% of net assets with effect.
Henderson International Income Trust is acquiring GBP95 million of net assets from Henderson Global Trust. Bankers Investment Trust PLC will acquire GBP60 million.
Henderson Global Trust in March wrote to shareholders with proposals that would allow them to roll over their investment into HINT, Bankers Investment Trust PLC, or both. Henderson Global Trust wound up earlier in April.
Separately, on Tuesday, Henderson International Income Trust said its net asset value per share as of February 29 was 121.9 pence, compared to 126.4p as of February 28 a year earlier. The discount at which its shares traded to NAV was 6.6% on February 29, versus a 2.8% premium as of August 31.
During the first-half to February 29 the return on NAV per share on a total return basis was 7.8%. The return on Henderson International Income Trust's share price on the same basis was -2.3%. In comparison, the trust's benchmark total return was 5.4%. Its benchmark is the MSCI World (excluding UK) Index.
"The world has become a more uncertain place than we are accustomed to. The US election is approaching, there is the EU referendum in the UK, and the migration issue is escalating. Given these risks the company is fortunate that its global remit provides a great deal of flexibility and allows our experienced investment team to diversify our investments and adapt to changing market conditions as they arise," Chairman Christopher Jonas said in a statement.
Shares in Henderson International Income Trust were up 0.4% at 122.00p on Tuesday.
By Samuel Agini; [email protected]; @samuelagini
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Related Shares:
Bankers Investment TrustHenderson Int.