Aberdeen Standard Equity Income Trust plc

Equity income using an index-agnostic approach focusing on our best ideas from the full UK market cap spectrum

Daily prices as of {{asOfDate}}

{{item.label}} {{item.value}} {{item.unit}}

Latest news

An update from our investment manager, Thomas Moore - 5 May 2020

The hiatus in economic activity, caused by the COVID-19 lockdown, is resulting in widespread dividend cuts. Over half of FTSE All-Share companies have now cancelled their dividends. This is more severe than in the 2008 Financial Crisis because the lockdown is affecting the entire economy, whereas in 2008 the recession was concentrated in the banks and real estate sectors.

We are positioning the Trust to take advantage of these extraordinary market conditions by focusing on two clusters of stocks. The first cluster is stocks that offer resilient income. At a time when large swathes of the market are announcing dividend cuts, these stocks have scarcity value. COVID19 feels like the ultimate test and the list of companies laying claim to dividend aristocrat status is shrinking by the day. Any business with the resilience to keep paying dividends may benefit from a reduction in the risk premium the market will attach to it, resulting in a valuation re-rating. The second cluster of stocks are those taking a break from paying dividends due to short term uncertainty, but offering the prospect of coming out the other side in good shape. We see this short term uncertainty as resulting in a window of opportunity to buy these stocks at valuations that offer very material upside once the clouds lift. The pandemic won't last forever and neither will the window of opportunity to buy decent companies at rock bottom valuations.

Looking ahead, the shape of the ultimate recovery will be important – whether it is a V-shaped recovery will be partly determined by the pace at which governments gain control and remove the lockdown, allowing the economy to get moving again. History suggests that moments of extreme fear, such as this, can cause markets to overshoot, creating major buying opportunities. Share prices are a function of the discounted value of future cash flows, not just this year's cash flows. So it makes sense to look beyond the short term noise and stay focused on making the right long term decisions, aiming to ensure that the portfolio is positioned to rebound sharply as the panic subsides.

Profile Information

The Company's objective is to provide shareholders with an above average income from their equity investment while also providing real growth in capital and income. The Directors set the investment policy which is to invest in a diversified portfolio consisting mainly of quoted UK equities which will normally comprise between 50 and 70 individual equity holdings. In order to reduce risk in the Company without compromising flexibility:• no holding within the portfolio will exceed 10% of aggregate net assets; and• the top ten holdings within the portfolio will not exceed 50% of net assets. The Company may invest in convertible preference shares, convertible loan stocks, gilts and corporate bonds. The Directors set the gearing policy which is to operate within parameters of between 5% net cash and 15% net gearing for the level of gearing that can be employed. The Directors have delegated responsibility to the Manager for the operation of the gearing level within the above parameters. The management of the Company’s investments and the day to day operation of the Company is delegated to Aberdeen Standard Fund Managers Limited (the “Manager”). Past performance is not a guide to future returns and future returns are not guaranteed. The price of assets and the income from them may go down as well as up and cannot be guaranteed; an investor may receive back less than their original investment. The fund may use derivatives to reduce risk or cost, or to generate additional capital or income at low risk. Usage of derivatives is monitored to ensure that the fund is not exposed to excessive or unintended risks.

Key people

Thomas moore

Thomas Moore

Investment Manager

Thomas is an Investment Director within the UK equities team. He began his career in 1998, joining Schroder Investment Management as Assistant Fund Manager, UK Equities. He joined Standard Life Investments in 2002 as an Investment Analyst. He then managed EMEA portfolios before moving to the UK equities team in 2006. His responsibilities include managing the UK Equity Income Unconstrained Fund, an institutional fund, the Aberdeen Standard Equity Income Trust and analysing the banks and financial services sectors. Thomas began managing the Aberdeen Standard Equity Income Trust in November 2011.

Iain Pyle

Iain Pyle

Investment Director

Iain has been an Investment Director in the UK Equities team for Aberdeen Standard Investments since 2015. He is the lead manager of Shires Income plc and is deputy manager for Murray Income Trust and Aberdeen Standard Equity Income Trust plc. Within his role, he manages the UK Equity High Income Fund and the Bothwell UK Equity Income Fund and has sector responsibility for oil & gas and banks.

Iain has been covering analyst for the pharmaceutical and healthcare sectors. He is also a member of the Pan-European fund management team. Prior to joining Standard Life Investments, Iain was a Vice President on the number one ranked European Oil & Gas research team at Sanford Bernstein from 2007. He also worked as a management consultant at PwC. Iain holds an MSc, Masters in Chemical Engineering, ACA, CFA and is a qualified accountant.

  • Thomas Moore

    Investment Manager

    Thomas is an Investment Director within the UK equities team. He began his career in 1998, joining Schroder Investment Management as Assistant Fund Manager, UK Equities. He joined Standard Life Investments in 2002 as an Investment Analyst. He then managed EMEA portfolios before moving to the UK equities team in 2006. His responsibilities include managing the UK Equity Income Unconstrained Fund, an institutional fund, the Aberdeen Standard Equity Income Trust and analysing the banks and financial services sectors. Thomas began managing the Aberdeen Standard Equity Income Trust in November 2011.

  • Iain Pyle

    Investment Director

    Iain has been an Investment Director in the UK Equities team for Aberdeen Standard Investments since 2015. He is the lead manager of Shires Income plc and is deputy manager for Murray Income Trust and Aberdeen Standard Equity Income Trust plc. Within his role, he manages the UK Equity High Income Fund and the Bothwell UK Equity Income Fund and has sector responsibility for oil & gas and banks.

    Iain has been covering analyst for the pharmaceutical and healthcare sectors. He is also a member of the Pan-European fund management team. Prior to joining Standard Life Investments, Iain was a Vice President on the number one ranked European Oil & Gas research team at Sanford Bernstein from 2007. He also worked as a management consultant at PwC. Iain holds an MSc, Masters in Chemical Engineering, ACA, CFA and is a qualified accountant.

Richard Burns

Richard Burns

Chairman

Appointed to the Board in 2006 and as Chairman with effect from 17 December 2014. Mr Burns has previously held a number of non-executive positions with various trusts, including The Bankers Investment Trust plc and JPMorgan Indian Investment Trust plc and was, until May 2006, Joint Senior Partner of Baillie Gifford.
Caroline Hitch

Caroline Hitch

Non-Executive Director

Appointed to the Board on 1 January 2017, Ms Hitch is also a non-executive Director of Schroder Asian Total Return Investment Company plc and Chair of CQS New City High Yield Fund Ltd. Her career in financial services was mainly with the HSBC group and most recently was Head of Wealth Portfolio Management at HSBC’s asset management arm with investment responsibility for their flagship retail multi asset funds. She has worked in London, Jersey, Monaco and Hong Kong.
Sarika Patel

Sarika Patel

Non-Executive Director

Appointed to the Board on 1 November 2019, Ms Patel is a business leader with nearly 30 years' experience in a mixture of public and private organisations. She is a Chartered Accountant and a Chartered Marketer. Previously a partner at Zeus Capital, Sarika has been on a host of public and private sector boards. She is currently Chair of Action for Children, one of the UK's leading charities for children, and a Board Member of the Office for Nuclear Regulation where she chairs the Audit, Risk and Assurance Committee.

Jeremy Tigue

Jeremy Tigue

Senior Independent Director

Appointed to the Board on 1 October 2014 and as the Senior Independent Director with effect from 15 December 2016. Mr Tigue is the Chairman of ICG Enterprise Trust PLC and is a Non-Executive Director of The Mercantile Investment Trust plc and The Monks Investment Trust PLC. He was the Fund Manager of Foreign & Colonial Investment Trust PLC from 1997 to June 2014 and a Director of the Association of Investment Companies (“AIC”) from 2003 to 2013.
Mark White

Mark White

Non-Executive Director

Appointed to the Board on 1 November 2013, he is Chief Executive of LGT Capital Partners (UK) Limited. Mr White is also a Non-Executive Director of Aviva Investors Holdings Limited and EB Asia Absolute Return Fund Ltd. He was previously Joint Head of JP Morgan Asset Management in Europe and Chief Executive of Jardine Fleming Investment Management in Hong Kong. Mr White was appointed as Chairman of the Remuneration and Management Engagement Committee with effect from 1 February 2015 and as Chairman of the Nomination Committee with effect from 15 December 2016.
  • Richard Burns

    Chairman

    Appointed to the Board in 2006 and as Chairman with effect from 17 December 2014. Mr Burns has previously held a number of non-executive positions with various trusts, including The Bankers Investment Trust plc and JPMorgan Indian Investment Trust plc and was, until May 2006, Joint Senior Partner of Baillie Gifford.
  • Caroline Hitch

    Non-Executive Director

    Appointed to the Board on 1 January 2017, Ms Hitch is also a non-executive Director of Schroder Asian Total Return Investment Company plc and Chair of CQS New City High Yield Fund Ltd. Her career in financial services was mainly with the HSBC group and most recently was Head of Wealth Portfolio Management at HSBC’s asset management arm with investment responsibility for their flagship retail multi asset funds. She has worked in London, Jersey, Monaco and Hong Kong.
  • Sarika Patel

    Non-Executive Director

    Appointed to the Board on 1 November 2019, Ms Patel is a business leader with nearly 30 years' experience in a mixture of public and private organisations. She is a Chartered Accountant and a Chartered Marketer. Previously a partner at Zeus Capital, Sarika has been on a host of public and private sector boards. She is currently Chair of Action for Children, one of the UK's leading charities for children, and a Board Member of the Office for Nuclear Regulation where she chairs the Audit, Risk and Assurance Committee.

  • Jeremy Tigue

    Senior Independent Director

    Appointed to the Board on 1 October 2014 and as the Senior Independent Director with effect from 15 December 2016. Mr Tigue is the Chairman of ICG Enterprise Trust PLC and is a Non-Executive Director of The Mercantile Investment Trust plc and The Monks Investment Trust PLC. He was the Fund Manager of Foreign & Colonial Investment Trust PLC from 1997 to June 2014 and a Director of the Association of Investment Companies (“AIC”) from 2003 to 2013.
  • Mark White

    Non-Executive Director

    Appointed to the Board on 1 November 2013, he is Chief Executive of LGT Capital Partners (UK) Limited. Mr White is also a Non-Executive Director of Aviva Investors Holdings Limited and EB Asia Absolute Return Fund Ltd. He was previously Joint Head of JP Morgan Asset Management in Europe and Chief Executive of Jardine Fleming Investment Management in Hong Kong. Mr White was appointed as Chairman of the Remuneration and Management Engagement Committee with effect from 1 February 2015 and as Chairman of the Nomination Committee with effect from 15 December 2016.

Financial calendar

Year End 30 September
Accounts Published November
Annual General Meeting January
Dividend Paid March, June, September, December

Trust details

Aberdeen Standard Equity Income Trust plc

Registered Office:
Bow Bells House,
1 Bread Street,
London
EC4M 9HH

Registered in England & Wales. Company number 2648152

Launch date: 14 November 1991

Risk Warning
Risk warning
The value of investments and the income from them can go down as well as up and you may get back less than the amount invested. The tax benefits relating to ISA investments may not be maintained. Investors should review the relevant Key Information Document (KID) brochure prior to making an investment decision.
Read the detailed risk warning 
Investor warning: Please be aware of scams that can affect investors. Read the full investor risk warning