Abrdn fund invests £100m in Chinese stocks

The Abrdn China Investment Company Limited said it has invested over £100 million in Chinese stocks since it completed a scheme of reconstruction on November 9.

The investment trust also said its portfolio no longer contains any holdings that have been identified as a threat to US national security interests as classified by President Joe Biden’s executive order.

The Abrdn China trust is the result of a combination of Aberdeen Emerging Markets Investment Company Limited and Aberdeen New Thai Investment Trust.

“This announcement follows up on the statement made by the chairman on 9 November 2021 following the completion of the scheme of reconstruction of Aberdeen New Thai Investment Trust that the company would provide an update on its portfolio allocation in the next few days,” said Abrdn China.

“Since the scheme completed on 9 November over £100m has been invested in Chinese equities, taking the exposure to the country to almost 77% of net assets.

“This figure is expected to exceed 90% by the end of November. Uninvested cash currently represents around 10% of net assets.

“The company’s portfolio no longer contains any holdings that have been identified as a threat to U.S. national security interests as classified by President Biden’s Executive Order 14032 that restricts the purchase or sale by US Persons, of the publicly traded securities of certain Chinese Military Industrial Complex companies (CMICCs).”

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