Schroder Oriental Income Fund Limited - SOI
Expert access to Asian income & growthWhy invest in SOI?
Asian companies are increasingly world-leading and returning cash to shareholders. The Schroder Oriental Income Fund aims to tap into the Asian income story and help investors diversify their dividends.
Offering a reliable, yet diversified, source of growing income
By focusing on quality companies with attractive dividend growth prospects, its managers are confident in the portfolio’s income generating potential. Having grown its dividend every year since launch, SOI is classed in the AIC’s next generation of dividend heroes.
A disciplined focus on companies with excellent long-term growth prospects
The trust is well placed to capitalise on the growing prominence of Asian companies that are transforming their sectors, providing investors with the potential for an attractive level of capital growth as well as income.
Rely on decades of deep expertise
Schroders is an acknowledged expert in Asian equity investing. Portfolio manager, Richard Sennitt draws upon the extensive resources of Schroders’ Asia Pacific equities research team based in six offices across the region, as well as Schroders’ London-based specialists. The strength of these resources gives the managers an advantage in under-researched and inefficient markets.
Key Information
Annual Results 2023
On 29 November, Managers Richard Sennitt and Abbas Barkhordar presented the Trust's annual results for the year ended 31 August 2023. The presentation can be downloaded above.
Performance
For further performance data please visit the London Stock Exchange website.
Awards
Source: Morningstar as at July 2024
Source: FundCalibre as at July 2024
Source: Kepler Trust Intelligence, 2024
In the media
Related insights
Trust insights
Corporate Governance
Find out more about the Company's Board, view key dates and keep up with regulatory news.
Meet the manager
"While by no means universal, many Asian companies are increasingly focused on dividends as a substantial contributor to shareholder returns."
Richard Sennitt
Fund Manager, Asian Equities
Documents
Investing in Schroder Oriental Income Limited
Non-Mainstream Pooled Investments (NMPI) Status
The Company currently conducts its affairs so that its shares can be recommended by IFAs to ordinary retail investors in accordance with the FCA's rules in relation to non-mainstream investment products and intends to continue to do so for the foreseeable future. The Company's shares are excluded from the FCA's restrictions which apply to non-mainstream investment products because they are shares in an investment trust.
Risk Considerations: Schroder Oriental Income Fund Limited
China risk: If the fund invests in the China Interbank Bond Market via the Bond Connect or in China "A" shares via the Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect or in shares listed on the STAR Board or the ChiNext, this may involve clearing and settlement, regulatory, operational and counterparty risks. If the fund invests in onshore renminbi-denominated securities, currency control decisions made by the Chinese government could affect the value of the fund's investments and could cause the fund to defer or suspend redemptions of its shares.
Concentration risk: The Company may be concentrated in a limited number of geographical regions, industry sectors, markets and/or individual positions. This may result in large changes in the value of the company, both up or down.
Counterparty risk: The Company may have contractual agreements with counterparties. If a counterparty is unable to fulfil their obligations, the sum that they owe to the Company may be lost in part or in whole.
Currency risk: If the Company’s investments are denominated in currencies different to the currency of the Company’s shares, the Company may lose value as a result of movements in foreign exchange rates, otherwise known as currency rates.
Derivatives risk: Derivatives, which are financial instruments deriving their value from an underlying asset, may be used to manage the portfolio efficiently. A derivative may not perform as expected, may create losses greater than the cost of the derivative and may result in losses to the fund.
Emerging markets & frontier risk: Emerging markets, and especially frontier markets, generally carry greater political, legal, counterparty, operational and liquidity risk than developed markets.
Gearing risk: The Company may borrow money to make further investments, this is known as gearing. Gearing will increase returns if the value of the investments purchased increase by more than the cost of borrowing, or reduce returns if they fail to do so. In falling markets, the whole of the value in such investments could be lost, which would result in losses to the Company.
Liquidity Risk: The price of shares in the Company is determined by market supply and demand, and this may be different to the net asset value of the Company. In difficult market conditions, investors may not be able to find a buyer for their shares or may not get back the amount that they originally invested. Certain investments of the Company, in particular the unquoted investments, may be less liquid and more difficult to value. In difficult market conditions, the Company may not be able to sell an investment for full value or at all and this could affect performance of the Company.
Market risk: The value of investments can go up and down and an investor may not get back the amount initially invested.
Market Risk: The value of investments can go up and down and an investor may not get back the amount initially invested.
Operational risk: Operational processes, including those related to the safekeeping of assets, may fail. This may result in losses to the Company.
Performance risk: Investment objectives express an intended result but there is no guarantee that such a result will be achieved. Depending on market conditions and the macro economic environment, investment objectives may become more difficult to achieve.
Private market valuations, and pricing frequency: Valuation of private asset investments is performed less frequently than listed securities and may be performed less frequently than the valuation of the Company itself. In addition, in times of stress it may be difficult to find appropriate prices for these investments and they may be valued on the basis of proxies or estimates. These factors mean that there may be significant changes in the net asset value of the Company which may also affect the price of shares in the Company.
Share price risk: The price of shares in the Company is determined by market supply and demand, and this may be different to the net asset value of the Company. This means the price may be volatile, meaning the price may go up and down to a greater extent in response to changes in demand.