Title: URL Source: https://is.gd/HyZyl9 Published Time: Wed, 14 May 2025 09:07:32 GMT Markdown Content: # invtrusts.co.uk ## Investment objective To achieve growth of income and capital from a portfolio invested mainly in companies listed or quoted in the United Kingdom that meet the Company’s Sustainable and Responsible investing criteria as set by the Board. ## Benchmark FTSE All-Share Index total return. ## Cumulative performance (%) as at 28/02/25 1month 3months 6months 1year 3years 5years Share Price 285.0p 1.1 4.8 0.6 9.2 11.7 29.1 NAV A 316.9p (0.8) 3.4 (0.5) 8.3 23.7 40.6 FTSE All-Share 1.3 5.7 5.2 18.4 27.7 53.4 ## Discrete performance (%) 28/02/25 28/02/24 28/02/23 28/02/22 28/02/21 Share Price 9.2 (4.1) 6.7 6.3 8.8 NAV A 8.3 4.2 9.7 2.5 10.9 FTSE All-Share 18.4 0.6 7.3 16.0 3.5 Total return; NAV cum income, with net income reinvested, GBP. Share price total return is on a mid-to-mid basis. Dividend calculations are to reinvest as at the ex-dividend date. NAV returns based on NAVs with debt valued at fair value. Source: Aberdeen, Lipper and Morningstar. Past performance is not a guide to future results. Dunedin Income Growth Investment Trust PLC Targeting income and long-term growth from mainly UK companies chosen for their quality and commitment to improving sustainability Performance Data and Analytics to 28 February 2025 A Including current year revenue. B © 2025 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. For more detailed information about Morningstar’s Analyst Rating, including its methodology, please go to: http://corporate.morningstar.com/us/documents/ MethodologyDocuments/AnalystRatingforFundsMethodology.pdf. The Morningstar Analyst Rating for Funds is a forward-looking analysis of a fund. Morningstar has identified five key areas crucial to predicting the future success of a fund: People, Parent, Process, Performance, and Price. The pillars are used in determining the Morningstar Analyst Rating for a fund. Morningstar Analyst Ratings are assigned on a five-tier scale running from Gold to Negative. The top three ratings, Gold, Silver, and Bronze, all indicate that our analysts think highly of a fund; the difference between them corresponds to differences in the level of analyst conviction in a fund’s ability to outperform its benchmark and peers through time, within the context of the level of risk taken over the long term. Neutral represents funds in which our analysts don’t have a strong positive or negative conviction over the long term and Negative represents funds that possess at least one flaw that our analysts believe is likely to significantly hamper future performance over the long term. Long term is defined as a full market cycle or at least five years. Past performance of a security may or may not be sustained in future and is no indication of future performance. For detailed information about the Morningstar Analyst Rating for Funds, please visit http://global.morningstar.com/managerdisclosures. Morningstar Sustainability Rating TM Morningstar Rating TM > B Morningstar Rating TM for Funds Morningstar rates funds from one to five stars based on how well they’ve performed (after adjusting for risk and accounting for all sales charges) in comparison to similar funds. Twenty largest equity holdings (%) Unilever 6.5 TotalEnergies 6.3 National Grid 6.1 RELX 4.8 AstraZeneca 4.8 London Stock Exchange 4.6 Diageo 3.6 NatWest 3.6 Chesnara 3.3 Prudential 3.0 Convatec 2.9 Sage 2.9 Assura 2.8 Volvo 2.7 Genus 2.6 M&G 2.5 Hiscox 2.4 Intermediate Capital 2.4 Sirius Real Estate 2.4 Games Workshop 2.4 Total 72.5 Total number of investments 34 All sources (unless indicated): Aberdeen: 28 February 2025. ## Dunedin Income Growth Investment Trust PLC 02 Sector allocation (%) Financials 18.1 Industrials 13.0 Health Care 12.3 Consumer Discretionary 11.3 Technology 10.4 Consumer Staples 10.1 Energy 8.4 Utilities 6.1 Real Estate 5.1 Telecommunications 2.2 Healthcare 1.4 Cash 1.4 Total 100.0 Key information Calendar Year end 31 January Accounts published March Annual General Meeting May Dividend paid February, May, August, November Established 1873 Fund managers Ben Ritchie Rebecca Maclean Ongoing charges C 0.64% Annual management fee 0.45% on the first £225m, 0.35% on the next £200m and 0.25% over £425m per annum of the net assets of the Company. Premium/(Discount) with Debt at Par (8.7)% Premium/(Discount) with Debt at fair value (10.1)% Yield D 4.8% Active share E 76.2% Gearing (%) Net cash/(gearing) F (10.1) Net cash/(gearing) with debt at market value F(2.7) AIFMD Leverage Limits Gross Notional 2.5x Commitment 2x # Dunedin Income Growth Investment Trust PLC Dunedin Income Growth Investment Trust PLC 1 Year Premium/Discount Chart (%) -15 -12 -9 -6 Feb-25 Dec-24 Oct-24 Aug-24 Jun-24 Apr-24 Feb-24 ## Fund managers’ report The UK market rose again in February, taking the year-to-date total return of the FTSE-All Share Index to 6.9%. Large-cap stocks continued to outperform over the month. European defence stocks surged, fuelled by a shift in the United States’ commitment to European defence, suspending military assistance to Ukraine and expressing uncertainty about their provision of future security guarantees. In response, European nations are accelerating efforts to enhance their defence capabilities. Official data showed the UK economy had expanded by just 0.1% in the final three months of 2024, although analysts had expected a slight contraction. More up-to-date figures indicated a small rise in private-sector output in February, but businesses continued to reduce staffing levels ahead of April’s scheduled rise in employers’ National Insurance contributions. Meanwhile, consumer confidence was reported to have dipped to its lowest level since last summer. The Trust underperformed against this market backdrop. The Healthcare real estate company Assura received a takeover approach from private equity firm KKR. This was the fourth such proposal from KKR and represented a 28% premium to Assura’s undisturbed share price and a small discount to net asset value. The Board rejected the offer, deeming it to be insufficient. Shares in the truck company Volvo continued to perform well following strong Q4 orders which point to a pick up in the truck cycle. Natwest reported Q4 earnings ahead of expectations. The surprise to the market came from a higher dividend payout ratio than had been forecast, implying a 6% dividend yield. Returns for 2025 are expected to be in the range of 15-16%. The largest detractors in the period were from non-holdings. HSBC outlined new mid-term targets including double-digit in wealth income growth and flat net interest income which surprised positively. The banking sector benefited from higher C Expressed as a percentage of average daily net assets for the year ended 31 January 2024. The Ongoing Charges Figure (OCF) is the overall cost shown as a percentage of the value of the assets of the Company. It is made up of the Annual Management Fee and other charges. It does not include any costs associated with buying shares in the Company or the cost of buying and selling stocks within the Company. The OCF can help you compare the annual operating expenses of different Companies. D Calculated using the Company’s historic net dividends and month end share price. E The ‘Active Share’ percentage is a measure used to describe what proportion of the Company’s holdings differ from the benchmark index holdings. F Net gearing is defined as a percentage, with net debt (total debt less cash/cash equivalents) divided by shareholders’ funds. Fund managers’ report continues overleaf 03 Dunedin Income Growth Investment Trust PLC Dunedin Income Growth Investment Trust PLC interest rate expectations as concern about the inflationary impact on tariffs grew. Shares in Rolls-Royce performed strongly following positive results and new medium term free cash flow guidance ahead of expectations. We added capital to Novo Nordisk. We trimmed LSE, Games Workshop and RELX on strength. We have introduced Haleon, a pure-play consumer health company, to the Trust. Haleon boasts a robust portfolio of leading brands across attractive segments such as oral health, respiratory health, pain relief, and vitamins. The business is positioned to deliver resilient mid-single-digit organic growth, driven by its strong market presence. They operate as a high-returning consumer staples business, that provide stability in uncertain market conditions. Additionally, the company has made significant progress in de-gearing its balance sheet over the past year, further enhancing its financial resilience and positioning it for sustainable growth. We funded this purchase by reducing our holding in the construction company Morgan Sindall. The business has delivered better than expected profits this year driven by demand for office fit outs, leaving the valuation adjusting for exceptional profits closer to fair value. We also wrote call options over Volvo on strength. We continued to buy back our own shares in the market, seeing the discount to net assets as compelling, particularly when we believe the underlying portfolio is excellent value and the wider market trades on extremely low absolute and relative multiples. A “triple” discount. Sentiment towards UK and European equity markets have been influenced by a complex interplay of factors, including concern about the outlook for Chinese growth, shifts in Europe’s relationship with the United States, and the threat of tariffs. Meanwhile the UK economy is experiencing sluggish growth and the Government is looking to stimulate activity within the confines of its fiscal constraints. Despite a robust start to the year, returns have been concentrated in the largest companies which has been a headwind to performance as the Trust runs a strategic overweight to UK mid-caps. The valuations of both the UK and European markets, as well as our portfolio holdings, reflect subdued expectations which have the potential to be beaten. M&A remains a prominent feature of the market and share buy backs provide additional support. Overall, we significant potential for attractive relative and absolute returns and believe our balanced positioning gives ourselves the potential to perform in a range of market environments, particularly important in what are highly uncertain times. Assets/Debt Gross Assets £’000 % > Equities - UK 356,172 86.1 - Overseas 96,413 23.3 Total investments 452,584 109.4 Cash & cash equivalents 6,551 1.6 Other net assets 3,141 0.8 Short-term borrowings (18,666) (4.5) 3.99% Senior Secured Note 2045 (29,753) (7.2) > Net assets 413,858 100.0 Capital structure > Ordinary shares 132,633,888 Treasury shares 21,044,047 Allocation of management fees and finance costs > Capital 60% Revenue 40% Trading details > Reuters/Epic/ Bloomberg code DIG ISIN code GB0003406096 Sedol code 0340609 Stockbrokers J.P. Morgan Cazenove Market makers SETSmm # i Factsheet Receive the factsheet by email as soon as it is available by registering at www.abrdn.com/trustupdates www.abrdn.com/DIG Contact Private investors trusts@abrdn.com Institutional Investors InvestmentTrustInvestorRelations-UK@ abrdn.com Ben Heatley Head of Closed End Fund Sales Ben.Heatley@abrdn.com ## Fund managers’ report - continued The risk outlined overleaf relating to gearing is particularly relevant to this trust, but should be read in conjunction with all warnings and comments given. Important information overleaf 04 Dunedin Income Growth Investment Trust PLC Dunedin Income Growth Investment Trust PLC Statement of Operating Expenses Publication date: 14 October 2024 Recurring Operating Expenses (£000s) Year ended 31 Jan 2024 % of Average NAV Year ended 31 Jan 2023 % of Average NAV % Change (YOY) Management Fee (inc AIFM) 1,740 0.39% 1,704 0.40% 2.1% Custody fees and bank charges - 0.00% - 0.00% 0.0% Promotional activities 246 0.05% 243 0.06% 1.2% Directors remuneration 161 0.04% 153 0.04% 5.2% Depositary fees - 0.00% - 0.00% 0.0% Auditors' remuneration 34 0.01% 37 0.01% -8.1% Other administrative expenses 614 0.14% 518 0.12% 18.5% Ongoing Operating Expenses (ex indirect fund management expenses) 2,795 0.62% 2,655 0.62% 5.3% Expenses relating to investments in other collective investments 0.02% 0.02% Ongoing Operating Expenses (inc indirect fund management expenses) 2,795 0.64% 2,655 0.64% 5.3% Average Net Asset Value 448,512 430,038 4.3% Operating Expense Ratio (ex indirect fund management expenses) 0.62% 0.62% Operating Expense Ratio (inc indirect fund management expenses) 0.64% 0.64% Transaction costs and other one-off expenses (£000s) Year ended 31 Jan 2024 % of Average NAV Year ended 31 Jan 2023 % of Average NAV % Change (YOY) Transaction costs 388 0.09% 582 0.14% -33.3% Performance fees 0.00% 0.00% Other non-recurring expenses 17 0.00% - 0.00% N/A Total 405 0.09% 582 0.14% -30.4% Current Service Providers AIFM abrdn Fund Managers Limited Investment Manager abrdn Investments Limited Company Secretary abrdn Holdings Limited Fund Accounting Services BNP Paribas Fund Services UK Limited Auditor Deloitte LLP Depositary & Custodian The Bank of New York Mellon (International) Limited Registrar Equitini Limited Corporate Broker JPMorgan Cazenove Summary of Current Key Commercial Arrangements The Company has appointed abrdn Fund Managers Limited (aFML), a wholly owned subsidiary of Aberdeen plc, as its alternative investment fund manager. aFML has been appointed to provide investment management, risk management, administration and company secretarial services and promotional activities to the Company. The Company's portfolio is managed by abrdn Investments Limited (aIL) by way of a group delegation agreement in place between aFML and aIL. aFML has subdelegated administrative and secretarial services to abrdn Holdings Limited, promotional activities to aIL, and fund accounting services to BNP Paribas Fund Services UK LImited. Details of the management fees and fees payable for promotional activities are shown in notes 4 and 5 to the financial statements in the annual report. The management agreement is terminable on not less than six months’ notice. In the event of termination by the Company on less than the agreed notice period, compensation is payable to the Manager in lieu of the unexpired notice period. No performance fee. Fee scale % of NAV £0-£225m 0.45% £225m-£425m 0.35% >£425m 0.25% Directors fee rates (£) Year ended 31 Jan 2024 Year ended 31 Jan 2023 % Change (YOY) Chair 42,000 40,000 5.0% Chair of Audit & Risk Committee 33,000 31,500 4.8% Senior Independent Director 30,000 28,500 5.3% Director 28,000 26,500 5.7% Number of Directors 5 5 Important Information The Statement of Operating Expenses is designed to help investors understand the impact of operating expenses on financial performance. Operating expenses are NOT deducted from the value of an investor's shareholding, which is derived from the share price. The market value (share price) of all publicly traded companies reflects a wide range of factors, including the estimated impact of operating expenses on future financial performance. The market value of an investment trust may diverge materially, both positively and negatively, from the reported net asset value. 0004568155 For more information visit invtrusts.co.uk Important information Risk factors you should consider prior to investing: • The value of investments, and the income from them, can go down as well as up and investors may get back less than the amount invested. • Past performance is not a guide to future results. • Investment in the Company may not be appropriate for investors who plan to withdraw their money within 5 years. • The Company may borrow to finance further investment (gearing). The use of gearing is likely to lead to volatility in the Net Asset Value (NAV) meaning that any movement in the value of the company’s assets will result in a magnified movement in the NAV. • The Company may accumulate investment positions which represent more than normal trading volumes which may make it difficult to realise investments and may lead to volatility in the market price of the Company’s shares. • The Company may charge expenses to capital which may erode the capital value of the investment. • Derivatives may be used, subject to restrictions set out for the Company, in order to manage risk and generate income. The market in derivatives can be volatile and there is a higher than average risk of loss. • There is no guarantee that the market price of the Company’s shares will fully reflect their underlying Net Asset Value. • As with all stock exchange investments the value of the Company’s shares purchased will immediately fall by the difference between the buying and selling prices, the bid-offer spread. If trading volumes fall, the bid-offer spread can widen. • Certain trusts may seek to invest in higher yielding securities such as bonds, which are subject to credit risk, market price risk and interest rate risk. Unlike income from a single bond, the level of income from an investment trust is not fixed and may fluctuate. • Yields are estimated figures and may fluctuate, there are no guarantees that future dividends will match or exceed historic dividends and certain investors may be subject to further tax on dividends. Other important information: An investment trust should be considered only as part of a balanced portfolio. The information contained in this document should not be considered as an offer, solicitation or investment recommendation to deal in the shares of any securities or financial instruments. It is not intended for distribution or use by any person or entity who is a citizen or resident of or located in any jurisdiction where such distribution, publication or use would be prohibited. Nothing herein constitutes investment, legal, tax or other advice and is not to be relied upon in making an investment or other decision. No recommendation is made, positive or otherwise, regarding individual securities mentioned. This is not an invitation to subscribe for shares and is by way of information only. Investment should only be following a review of the current Key Information Document (KID) and pre-investment disclosure document (PIDD) both of which are available on www.invtrusts. co.uk. Any data contained herein which is attributed to a third party ("Third Party Data") is the property of (a) third party supplier(s) (the “Owner”) and is licensed for use by Aberdeen*. Third Party Data may not be copied or distributed. Third Party Data is provided “as is” and is not warranted to be accurate, complete or timely. To the extent permitted by applicable law, none of the Owner, Aberdeen* or any other third party (including any third party involved in providing and/or compiling Third Party Data) shall have any liability for Third Party Data or for any use made of Third Party Data. Neither the Owner nor any other third party sponsors, endorses or promotes the fund or product to which Third Party Data relates. *Aberdeen means the relevant member of the Aberdeen Group, being Aberdeen Group plc together with its subsidiaries, subsidiary undertakings and associated companies (whether direct or indirect) from time to time. FTSE International Limited (‘FTSE’) © FTSE 2025. ‘FTSE®’ is a trade mark of the London Stock Exchange Group companies and is used by FTSE International Limited under licence. RAFI® is a registered trademark of Research Affiliates, LLC. All rights in the FTSE indices and/ or FTSE ratings vest in FTSE and/or its licensors. Neither FTSE nor its licensors accept any liability for any errors or omissions in the FTSE indices and/or FTSE ratings or underlying data. No further distribution of FTSE Data is permitted without FTSE’s express written consent. Issued by abrdn Fund Managers Limited, registered in England and Wales (740118) at 280 Bishopsgate, London, EC2M 4AG, authorised and regulated by the Financial Conduct Authority in the UK.