abrdn Equity Income Trust plc (AEI) has issued new shares to the market. This move follows a sustained period of the Trust trading at a premium or near to it – an indicator of robust investor confidence and demand.
A total of 175,000 shares at a premium to NAV have been issued, raising over £600,000, enabling more investors to gain exposure to the £185 million Trust. abrdn Equity Income Trust plc aims to deliver an above-average income from UK equity investments, while also targeting real growth in both capital and income – a strategy that continues to attract interest in today’s market.
Notably, AEI is one of fewer 20 investment trusts to have issued shares in the past 12 months, highlighting the exceptional nature of this achievement in the current market environment.
This positive momentum is underpinned by a period of recent outperformance, with Trust outperforming both Share Price total return and Net Asset Value relative to its benchmark in the last 12 months. For further performance details, please visit the Trust’s profile on the AIC website: abrdn Equity Income Trust | The AIC
Additionally, abrdn Equity Income Trust plc is proud to be recognised as an AIC Dividend Hero, having increased its dividend for 24 consecutive years – confirmation of its resilience and commitment to delivering consistent income to shareholders.
Thomas Moore, Portfolio Manager of abrdn Equity Income Trust said:
“Investors have for some time been aware of the dividend attractions of UK income stocks, but until now they have not felt the urgency to buy them. We sense that this is now changing. As the dominance of US growth stocks is called into question, investors are turning their attention to UK income stocks which can provide dividend yields in excess of 6% plus buybacks on top. The abrdn Equity Income Trust scours the entire UK market, with a valuation focus that opens our eyes to income opportunities that other investors can overlook. We see no compromise between income and capital, with share prices set to respond favourably as investors recognise the compelling dividends yields on offer. Continued growth in our portfolio income supports confidence in our ability to extend our 24-year track record of continuous dividend growth, meaning that our 6.6% dividend yield can continue to support our shareholders at a time of elevated living costs.”
Sarika Patel, Chair, abrdn Equity Income Trust added:
“It is testament to the investment manager that the Company is in a position to offer shares to the marketplace. Fewer than 20 companies* have enjoyed being in this position in the past 12 months, and only three (including abrdn Equity Income Trust) in the UK equity income sector. Despite ongoing market volatility, as President Trump’s tariff policies continue to evolve, we feel confident that the manager’s strategy is well positioned to benefit from such market dislocations. Continuing to identify companies that are adapting to the new normal will result in sustained attractive returns for our investors.”
