The £550 million Aberdeen Asian Income Fund Limited said its net asset value (NAV) total return for the six months to June 30, 2026, was 28% and the share price total return was 30.9%.

Both compare well to a total return of 25.7% from the MSCI AC Asia Pacific ex Japan Index.

The fund also delivered shareholders a dividend yield of 6.3%.

Aberdeen Asian Income Fund chair Jane Routledge said: “Performance was driven principally by the portfolio’s exposure to information technology, particularly companies linked to artificial intelligence (AI) demand and related supply chains.

“While market volatility in AI, semiconductor and related technology stocks has increased since the period end, the portfolio remains broadly diversified across Asia’s many growth opportunities, helping to support resilience through different market environments …

“During the period, semiconductor and hardware holdings across Taiwan and South Korea delivered especially strong gains …

“Key contributors included AI and connectivity chip designer MediaTek, AI server materials supplier Taiwan Union Technology, and South Korean memory manufacturer Samsung Electronics …

“Companies providing critical enabling technologies for AI adoption also performed well, including businesses involved in advanced packaging, testing and materials, such as Grand Process Technology and ASE Technology.

“These gains were partly offset by weaker performance in areas more exposed to domestic demand. Consumer and financial holdings in China detracted, reflecting weak consumer confidence and the continued negative wealth effect from the property downturn.

“Encouragingly, the company continues to benefit from the Investment Manager’s focus on high-quality businesses with strong earnings and robust balance sheets, underpinning the portfolio’s resilience during periods of extreme market swings.

“As shown … this has delivered a 60.1% share price return over one year.”