Please be aware of scams that can affect investors.
The value of investments and the income from them may go down as well as up and investors may get back less than the amount invested. The tax benefits relating to ISA investments may not be maintained. Please refer to the Key Facts documents contained in the ISA/Share Plan Brochure & Application form for general and specific investment risks attaching to the individual trusts.Read the detailed Risk Warning
Past performance is not a guide to future results.
See latest monthly factsheet below for performance history.
At close 03-Dec-2013Ord
Source: Morningstar, NAV = Net Asset Value, excluding income.
Bow Bells House
One Bread Street
Registered in England as an Investment Company Number 3582911
To achieve long-term capital growth principally through investment in listed Japanese companies which are believed by the Investment Manager to have above average prospects for growth.
The Company’s investment mandate was changed on 7 October 2013 following approval by Shareholders. The new investment objective is to achieve long-term capital growth principally through investment in listed Japanese companies which are believed by the Investment Manager to have above average prospects for growth. The new investment policy also provides for the underlying Yen net exposure to be appropriately Sterling hedged at levels to be determined from time to time by the Board in consultation with the Investment Manager.
The Company’s new name is Aberdeen Japan Investment Trust PLC.
Further details are provided in the announcement attached below.Announcement
Japanese equities posted marginal gains in sterling terms in October. Although stocks were initially buoyed by positive business sentiment, it was counterbalanced by disappointment at prime minister Abe’s exclusion of labour reforms as part of his upcoming policies. The government will raise the sales tax to 8% from next April. Concurrently, it is also considering a series of stimulus measures. The cabinet passed a bill to boost competitiveness, with tax breaks to spur investments and business restructuring. Mixed economic data suggest that the recovery is far from self-sustaining – although core machinery orders rose in August, exports decelerated in September. As well, the current account surplus unexpectedly shrank to a record low owing to declining overseas income.
In October, we restructured the fund to align it with its new mandate. Our holdings reported mixed quarterly results, even though they met our forecasts. Shin-Etsu Chemical’s PVC business did well, thanks to brisk demand in the US, whereas its specialty chemicals business suffered from intense price competition in Europe. Although Fanuc reported positive growth for the factory automation division, order numbers disappointed.
Thus far, the results of prime minister Abe’s aggressive economic stimulus have been positive. But the final piece of the puzzle, which focuses on broad structural reform, will determine growth trajectory. It is also a daunting challenge, possibly the biggest the administration has faced. These reforms include navigating the domestic economy through a sales tax hike, taking on vested interests to loosen labour market rigidities, and opening up the domestic market to foreign competition. The weak yen, which has been a boon to the export sector, is also a bane for consumers who face imported inflation juxtaposed against stagnating wages. At the portfolio level, however, our holdings have survived leaner years and emerged in relatively good shape. These well-managed companies are likely to continue doing well no matter where the policy road leads, given their experienced management, exposure to external markets and solid fundamentals.
Source: Monthly Factsheet Aberdeen Asset Managers Limited