ASIA DRAGON TRUST PLC (LON:DGN)Financial
Founded in 1987, Asia Dragon trust is a close-ended investment trust that focuses its investment in the Asia’s quoted companies excluding Japan and Australia and it was formerly known as Edinburgh Dragon Trust Plc. The trust invests across a different range of sectors, economies, market capitalization, size of companies located in Asia Pacific region with the motive to diversify its portfolio of securities listed on the London Stock Exchange, the companies with strong management, good cash flows and healthy balance sheet and whose shares price are lower than its intrinsic values are selected for the portfolio.
The trust investment policy do not allow to invest more than 15% of its gross assets in the shares of only one company and in other listed investment companies, including listed investment trust and when its necessary the trust will utilize maximum gearing level of 20% of its net assets to increase the long-term return. The trust invests in the diversified range of industries such as Technology, banks, IT, Retail, Telecommunication, media, real estate, construction, automobile, chemicals, Oil & gas, hotels and restaurants, Tobacco, household durables, healthcare, capital market, containers and packaging, food products, and many more. The top largest investments of the trust in 2020 are Tencent, Taiwan semiconductor manufacturing company, Samsung, Ping An Insurance, Kweichow Moutai, bank central Asia, HDFC, AIA Group, China Resources land and Euxi Biologics. The trust’s ordinary shares are listed on the premium segment of the London Stock Exchange as LON: DGN and is also a member of the Association of investment companies.
The trust outsources its investment management activities to Aberdeen Asset management Asia limited, the portfolio is actively managed and follows a bottom-up investment process to diversify the risk and achieve the return more than its benchmark MSCI All Country Asia Index (Excluding Japan and Australia), the Aberdeen Standard fund managers limited (ASFML) and Aberdeen Standard Investments (Asia) ltd (ASI Asia) are the wholly owned subsidiaries of the Standard Life Aberdeen plc.
Investment House, 1 George Street EH2 2LL United Kingdom