Unlocking Value

Here is yet another case study of closed-end fund discount management program.

Schroders Asian Total Return Investment (“Schroders Fund”) is a UK-listed closed-end fund that focuses on Asian equities.

Its discount management policy says that:

[Schroders Fund] continued actively to pursue its objective that the discount at which the shares traded remained within the Company’s target of 5% or less in normal market conditions…

The following table shows how Schroders Fund has implemented the program. In the past five years, it has bought back only ~11% outstanding shares:

Year	The highest discount at which Schroders Fund shares traded during the year	Amount of shares bought back during the year (as % of shares outstanding)	Schroders Fund’s discount/(premium) at year end
2023	8.3%	7.6%	4.6%
2022	7.5%	3.5%	5.8%
2021	2.9%	0.0%	0.2%
2020	16.3%	0.2%	(2.1%)
2019	1.0%	0.0%	(0.7%)

The program is very successful. Over the past 10 years, Schroders Fund has traded at less than 10% discount to NAV almost all the time:

We, Argyle Street Management, believe that China Merchants China Direct Investments (CMCDI, 133 HK) should implement a discount management program.

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💬 WeChat 微信: ASM_Argyle

💬 WhatsApp: +852 6317 6371

🖥️ UnlockValueChinaMerchants.com

📧 ChinaMerchants@asmhk.com

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这是另一个封闭式基金折价管理计划的案例研究。

Schroder Asian Total Return Investment Co. plc（施罗德亚洲总回报投资基金）（施罗德基金) 是一个在英国上市的封闭式基金，专注于亚州的股票投资。

施罗德基金的折价管理计划表示:

“ [施罗德基金]继续积极追求其股份交易折价保持在公司设定的在正常市场条件下5%或以下的目标。”

以下表格展示了施罗德基金折价管理计划的执行情况。在过去五年中施罗德基金累计仅回购了11%的已发行股份。

年份	在年内交易的最高折价水平	年内回购的股份数量 （占已发行股份的百分比）	年末的折价/溢价
2023	8.0%	7.6%	4.6%
2022	6.7%	3.5%	5.8%
2021	3.1%	不涉及	0.2%
2020	16.3%	0.2%	(2.1%)
2019	0.4%	不涉及	(0.7%)

该计划非常成功。在过去十年中，施罗德基金的交易价格几乎一直低于资产净值的10%。

我们，Argyle Street Management，认为招商局中国基金（中国基金，133 HK）应该也实施一项折价管理计划。

欢迎随时跟我们沟通。

💬 微信: ASM_Argyle

💬 WhatsApp: +852 6317 6371

🖥️ UnlockValueChinaMerchants.com

📧 ChinaMerchants@asmhk.com