Abrdn Diversified Income... Share Discussion Threads

[hohum1] 10/1/2023 16:10

87p bid - share price reaction to the new DCM statement was exactly what you’d expect. Vote against continuation!

[thrugelmir] 06/1/2023 17:26

Shares fell in the Covid market meltdown. Never recovered. DYOR.

[essentialinvestor] 06/1/2023 14:15

One which has also seen years of value destruction.


Comments here far too kind.

[thrugelmir] 06/1/2023 14:13

Highly attractive yield on offer. The fact that they publish all their portfolio holdings and provide total transparency is extremely refreshing. As at least it's an investment company share that can be researched thoroughly.

[hohum1] 06/1/2023 13:45

88p today = 23% discount to NAV. Vote against continuation!

[cc2014] 06/1/2023 12:29

#297. Thanks. My mistake. My memory is becoming increasing useless as I get older.

I shall have another think.

[hugepants] 06/1/2023 11:56

"All this P/E has been bought at the top of the cycle. "

Private markets not P/E! And they are generally investing in income producing assets. Easier to value properly?

[essentialinvestor] 06/1/2023 11:53

HP, yes I would question the NAV in light of 7 years NAV 'progress' since the first mandate change.

To me it clearly highlights the quality (or lack) of decision making since.

Will the quality of their unquoted be any better?.

BOD holdings here tiny.

I've been cautious here for a number of years, as per previous posts.

[cc2014] 06/1/2023 11:43

I am drawn to this share over and over. I'm attracted by the discount and the yield fits my target area. Also, I like the investments in both equities and bonds.

I've owned it before, buying in 2021 at around 93p and selling out about 7 months later for 100p collecting some dividends along the way. So, fond memories, but I suspect in that timeframe markets were on the up coming out of Covid and I could have bought anything and made money.

I'm not convinced the stategy is right. All this P/E has been bought at the top of the cycle. It's not like they have been holding it for 2 years since the last funding cycle and valuation and there may be some uncrystallised profits in there. The valuations are largely going to be what they bought at and those are now going to not what they can sell them for.

Then we have the 648 holdings in the portfolio. Who is looking at those in relation to RNS's? Seems to me that's so many it might as well be a tracker and why pay a 1.5% management fee for that?

It matters not what the discount or the yield if the value of the underlying assets keep falling due to bad decisions. The buy back of the 2031 debentures at what must have been close to the worst possible price is another example

So, I'll continue to watch.

[hugepants] 06/1/2023 11:42

essential I agree ADIG has been awful but that doesn't mean it's NAV should be questioned just because the RCP NAV is.

[essentialinvestor] 06/1/2023 11:07

Disagree HP, although there has been a marked change in portfolio allocation, RIT has been a stellar long term performer.
Now past performance is no ..etc and none of us have a crystal ball obvs.

ADIG has failed to deliver time and time again, since the new remit - the change since the British Assets Trust days.

Share price around £1.40, in 2015 at the time of the first mandate change. It's woeful.

[hugepants] 06/1/2023 10:56

At a quick glance the portfolio weightings look similar between ADIG and RCP ie. private markets, fixed income and credit, listed equity, yet the charts are very different. RCP chart looks a bit more like a PE fund post-covid whereas ADIG more like a fixed income. I think Id be more confident in ADIG's NAV.

[essentialinvestor] 06/1/2023 09:49

RIT hammered yesterday on the Questor column, which really just reiterated comments made elsewhere a few weeks back.

And tbf highlighting the change in asset allocation on RIT (over the last few years) deserves attention. It was my largest fund holding until recently and
embarrassingly have to admit I was unaware of the changes to their holdings - until
another poster kindly brought attention to it.

On ADIG, the mandate is clear enough, but they appear to have failed to achieve this over multiple years - all be it in some challenging circumstances.

PNL running their lowest % exposure to quoted equity since 2008 fwiw.

[cc2014] 05/1/2023 08:17

Some more here on valuations on P/E holdings from Questor and Investec putting the boot in on RIT.

[thrugelmir] 04/1/2023 16:38

Market for offloading private companies is so very different than 12 months ago. The fall out is very visible on the Nasdaq. What's not yet visible is the stuff tucked away out of sight. I wouldn't blame the fund managers for being cautious. Leaves little room for manoeuvre if the liquid holdings are simply cashed in. A FM blaming another FM. Nothing new. Take your own decisions on the chin. Blame culture these days is depressingly boring.

[spectoacc] 04/1/2023 15:53

Some commentary on that here:

[tiltonboy] 04/1/2023 14:58

Neil Brierley from Investec was scathing of the board in his note yesterday!

[hohum1] 04/1/2023 14:50

I'm not sure that the cash build up signifies anything positive sadly. The November factsheet highlighted a big payout ($18m) from the sale of the I77 road project in the Global Infrastructure Fund. The manager also commented that the private fund commitments will be requiring ADIG to invest cash over the next few months. The Thai and Brazilian bond proceeds have probably been reinvested now that markets are reopening after the year end...

[thrugelmir] 03/1/2023 22:33

Americans are crass when it comes to the internet. Same old garbage.

[thrugelmir] 03/1/2023 17:23

Looks like more cash is on the way as well. Brazilian bond matured on 1/1/23.

There's a dividend to pay this month of course.

Still money available for further buy backs.

[thrugelmir] 03/1/2023 17:05

Had a £10 million Thai Government Bond mature in December. That added 278 bps to the existing cash position.

[hugepants] 03/1/2023 16:11

They've been selling stuff. Net cash is now 6.6%