An update from our investment manager, Charles Luke - 25 August 2021
We expect that the global economy will experience several years of above-trend growth as it emerges from the pandemic, aided by the vaccine rollouts and accommodative fiscal and monetary policy settings. However, divergence and asynchronous recoveries are likely to characterise this future period with disparities reflecting early and late vaccinators, developed and emerging economies, and manufacturing and services industries. For the UK, in particular, the backdrop both economically and politically is supportive with significant pent-up demand, a stable government, a fast vaccine rollout and Brexit concerns now in the rear view mirror.
Given this generally supportive backdrop, we are increasingly sanguine about the potential for the holdings in the portfolio to perform well while continuing to deliver an appealing and sustainable income stream. Moreover, valuations of UK-listed companies remain attractive on a relative basis. As an example, the dividend yield of the UK market remains at an appealing premium to other regional equity markets let alone other asset classes. Indeed, we believe that in many cases the attractiveness of our holdings is not reflected in their share prices, particularly given the underlying strengths of the businesses. We think a fair proportion of the portfolio may be vulnerable to corporate activity and it is noteworthy that private equity purchasers often look for attractive quality characteristics in potential acquisitions that dovetail with our investment criteria. Furthermore, international investors remain underweight to the UK providing a further underpin. Therefore, we feel very comfortable maintaining our investments in high quality companies capable of growing their earnings and hence their dividends over the long term.
Charles Luke is a Senior Investment Director on the UK and European equities team having joined Aberdeen in 2000. Charles started his career at Framlington Investment Management in 1998, covering UK equities.
Charles graduated with a BA in Economics and Japanese Studies from Leeds University and an MSc in Business and Economic History from the London School of Economics.
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.
Senior Investment Director
Charles Luke is a Senior Investment Director on the UK and European equities team having joined Aberdeen in 2000. Charles started his career at Framlington Investment Management in 1998, covering UK equities.
Charles graduated with a BA in Economics and Japanese Studies from Leeds University and an MSc in Business and Economic History from the London School of Economics.
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.
Neil was appointed a Director on 26 November 2013 and became Chairman on 6 November 2017.
He is former Head of the Global Equities Team at both Gartmore and Henderson and former Head of International Equities, as well as a former member of the Investment Division Executive Committee, at Gartmore. He has previously managed Fleming Far Eastern Investment Trust and, while at Touche Remnant, he worked on TR Pacific Basin Investment Trust, TR Technology Trust and Bankers Investment Trust.
Donald Cameron was appointed a Director in September 2012. He qualified at the Bar of England and Wales in 2002. Having transferred to the Faculty of Advocates, he was called to the Scottish Bar in 2005, and now practises as an Advocate in Scotland. He is a non-executive director of Edinburgh Worldwide Investment Trust plc.
Stephanie was appointed a Director on 2 August 2018. Just prior to this she retired from being Head of Specialist Funds Company Secretariat and Accounts at Invesco Perpetual, where she had worked since 1996 specialising in the asset management industry with particular focus on investment trusts. Her career spans over 30 years working in financial services including roles at UBS, Wardley Investment Services International and KPMG. She is a Fellow of the Institute of Chartered Accountants in England and Wales, a Fellow of the Institute of Chartered Secretaries and Administrators and a member of the Technical Committee of the Association of Investment Companies.
Alan Giles was appointed a Director on 17 November 2020 after serving as a director of Perpetual Income and Growth Investment Trust plc from November 2015. He is Senior Independent Director and Chairman of the remuneration committee of Foxtons Group plc, Chairman of The Remuneration Consultants Group, an Associate Fellow at Saïd Business School, University of Oxford, and an honorary visiting professor at The Business School (formerly Cass), City, University of London. He was formerly Chairman of Fat Face Group Limited, Chief Executive of HMV Group plc, Managing Director of Waterstones, and an executive director of WH Smith plc. He previously held non-executive directorships at The Competition & Markets Authority, Rentokil Initial plc, The Office of Fair Trading, Somerfield plc and Wilson Bowden Plc.
Appointed a Director in July 2012 and Senior Independent Director in November 2018, Jean is an independent non-executive director of Admiral Group plc and NHBC. She was formerly Group Chief Risk Officer at Phoenix Group until June 2013 and previously Risk Management Director of the Insurance and Investments Division of Lloyds TSB and Head of Compliance and Audit at Scottish Widows.
Merryn Somerset Webb was appointed as a Director on 7 August 2019. She is the Editor-in-Chief of UK personal finance magazine Money Week and comments regularly on financial matters across radio and television. She brings a wealth of investment trust experience as well as a particular knowledge of, and interest in, developing the links between investment trusts and their current and potential retail investor base.
Peter was appointed as a Director in November 2017, having recently retired from the Nestlé Group where he was initially Head of Investments for the Nestlé UK Pension Fund and then CEO & CIO of Nestlé Capital Management. Prior to Nestlé he worked for many years in the investment management industry managing portfolios for investment trusts, pension funds and charitable foundations.
During that time he was a Managing Director at BlackRock International and, before that, a Director of Dunedin Fund Managers and a portfolio analyst at Scottish Widows Life Assurance Fund. Prior to working as an investment manager, Peter worked for five years as an economist in the agricultural industry.
Chairman
Neil was appointed a Director on 26 November 2013 and became Chairman on 6 November 2017.
He is former Head of the Global Equities Team at both Gartmore and Henderson and former Head of International Equities, as well as a former member of the Investment Division Executive Committee, at Gartmore. He has previously managed Fleming Far Eastern Investment Trust and, while at Touche Remnant, he worked on TR Pacific Basin Investment Trust, TR Technology Trust and Bankers Investment Trust.
Non-Executive Director
Donald Cameron was appointed a Director in September 2012. He qualified at the Bar of England and Wales in 2002. Having transferred to the Faculty of Advocates, he was called to the Scottish Bar in 2005, and now practises as an Advocate in Scotland. He is a non-executive director of Edinburgh Worldwide Investment Trust plc.
Chairman of Audit Committee
Stephanie was appointed a Director on 2 August 2018. Just prior to this she retired from being Head of Specialist Funds Company Secretariat and Accounts at Invesco Perpetual, where she had worked since 1996 specialising in the asset management industry with particular focus on investment trusts. Her career spans over 30 years working in financial services including roles at UBS, Wardley Investment Services International and KPMG. She is a Fellow of the Institute of Chartered Accountants in England and Wales, a Fellow of the Institute of Chartered Secretaries and Administrators and a member of the Technical Committee of the Association of Investment Companies.
Non-Executive Director
Alan Giles was appointed a Director on 17 November 2020 after serving as a director of Perpetual Income and Growth Investment Trust plc from November 2015. He is Senior Independent Director and Chairman of the remuneration committee of Foxtons Group plc, Chairman of The Remuneration Consultants Group, an Associate Fellow at Saïd Business School, University of Oxford, and an honorary visiting professor at The Business School (formerly Cass), City, University of London. He was formerly Chairman of Fat Face Group Limited, Chief Executive of HMV Group plc, Managing Director of Waterstones, and an executive director of WH Smith plc. He previously held non-executive directorships at The Competition & Markets Authority, Rentokil Initial plc, The Office of Fair Trading, Somerfield plc and Wilson Bowden Plc.
Senior Independent Director
Appointed a Director in July 2012 and Senior Independent Director in November 2018, Jean is an independent non-executive director of Admiral Group plc and NHBC. She was formerly Group Chief Risk Officer at Phoenix Group until June 2013 and previously Risk Management Director of the Insurance and Investments Division of Lloyds TSB and Head of Compliance and Audit at Scottish Widows.
Non-Executive Director
Merryn Somerset Webb was appointed as a Director on 7 August 2019. She is the Editor-in-Chief of UK personal finance magazine Money Week and comments regularly on financial matters across radio and television. She brings a wealth of investment trust experience as well as a particular knowledge of, and interest in, developing the links between investment trusts and their current and potential retail investor base.
Non-Executive Director
Peter was appointed as a Director in November 2017, having recently retired from the Nestlé Group where he was initially Head of Investments for the Nestlé UK Pension Fund and then CEO & CIO of Nestlé Capital Management. Prior to Nestlé he worked for many years in the investment management industry managing portfolios for investment trusts, pension funds and charitable foundations.
During that time he was a Managing Director at BlackRock International and, before that, a Director of Dunedin Fund Managers and a portfolio analyst at Scottish Widows Life Assurance Fund. Prior to working as an investment manager, Peter worked for five years as an economist in the agricultural industry.
| Year End | 30 June |
| Accounts published | September |
| Annual General Meeting | November |
| Dividend Paid | March, June, September, December |
Half year report webcast by Charles Luke for the six months to end 31 Dec 19
Hear fund manager Charles Luke presenting Murray Income's annual results
Watch a video message from the Chairman, Neil Rogan
