pristine advisers quarterly cef newsletter · 2017-04-04 · pristine advisers, along with its...

Pristine Advisers Quarterly CEF

NewsletterWednesday 16th January 2013

O!ces in NY | UK | CT | SPAINP: 631-756 "2486 F: 646 "478-9415 E: [email protected]

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Contents

Closed-End Fund Analysts Review 2012 and Outlook for 2013....... ..................................................................................3

Why Closed End Funds?.......... ..........................................................................................................................................................3

Domestic and Political Economic Conditions Continue to Improve for Japan....... ......................................................4

Insight and Enlightenment into the World of Closed-End Funds....... ...............................................................................5

Semi-Annual Survey Results on Closed-End Fund Investor Perspectives....... ................................................................5

Portfolio Managers Update on Asian CEFs....... ..........................................................................................................................5

The India Fund, Inc. (IFN)....... .................................................................................................................................................6

Aberdeen Indonesia Fund, Inc. (IF)....... ..............................................................................................................................6

Aberdeen Australia Equity Fund, Inc. (IAF)....... ..........................................................................................................................6

The Asia Paci!c Fund, Inc. (APB)....... ..............................................................................................................................................7

Mike Taggart, Closed-End Fund Analyst at Morningstar With His Take on the CEF Conference....... ......................7

City of London Investment Management (CLIM) on Promoting Growth in the U.S. CEF Sector....... .....................8

A New Year and a New Look for Pristine Advisers....... ............................................................................................................8

Investment Attributes of Real Estate in a Closed-end Fund....... .........................................................................................9

Equity Income Opportunities with Utilities, Telecoms and MLPs....... ...............................................................................9

A Look at Emerging Market Debt....... ........................................................................................................................................ 10

Why Ireland?....... ................................................................................................................................................................................ 10

South American Stocks Rocky but Still Rolling....... ............................................................................................................... 11


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Closed-End Fund Analysts Review 2012 and Outlook for 2013

The December CEF conference included a sell-side analyst panel discussion moderated by Ken Fincher, Senior Vice President and Head of New Product Development at First Trust Advisors. Ken organized and coordinated with the analysts to build a compelling discussion on the industry. That being said, it was a great year for closed-end funds so there was much to discuss.

Michael Jabara, Head of ETF and CEF Research at Morgan Stanley opened up with an overview of the year to date market performance of CEFs. He cited the driving force for the great performance being low rates on the short and long end of the curve and expectations for low rates. “Everyone wants yield, and CEF are very attractive. There have been very good equity markets which have been relatively stable. We saw a low and positive GDP growth, and a relatively benign credit environment,” he continued, “I can tell you Closed-End Funds did well this year because I don’t have anyone yelling at me!”

Michael reviewed the performance for last year in which the !xed income markets have outperformed the equity funds, and best sector is mortgage funds and the worst is the equity but nonetheless up 9% this year. The IPO market has good secondary performance. IPO success is driven by performance in the secondary markets and a calm market is good for CEFs. Morgan Stanley research revealed that since November of 2012, 21 funds have come to market with 18 di"erent sponsors and found it very interesting that 12 out of the 21 funds that came out are trading at premiums.

“Return of capital is not always bad, in our opinion” stated Mariana Bush Head of CEF and ETF Research. But to be more speci!c, Mariana broke down destructive versus constructive return of capital and explained the

di"erences between them. “We don’t want the NAV distribution rate to be too high relative to the expected NAV total return. Long-term expectations for the NAV distribution rate are relative to the portfolios exposure.” If a distribution is too high it will erode over time and that is something that Mariana and her team communicate with fund managers.

Also on the panel of sell-side analysts, was Alex Reiss, Director of CEF Research at Stifel, Nicolaus who covered the very popular subject of income. “There are all types of Funds for equity investors that return large portions of capital which tend to be on the equity side and there are a di"erent set of rules for these types of investors.” Alex pointed out that although there are some great bargains there is also risk so he and his team need to use their “equity lens” and assess each client’s needs. The lowest risk tolerance investors are the FI investors. He continued, “CEF investors have an opportunity to make good gains. When Funds are returning assets and sending a check that is a strong commitment to a shareholder.”

Sangeeta Marfatia, Executive Director of CEF Research at UBS Wealth Management, talked about the current issues surrounding municipal CEF and the reasons for dividend cuts. “Munis are dealing with the reinvestment risks at the same yields these bonds were paying out, even though we are in a low interest rate environment, other forms of leverage do cost more. Funds do bene!t from leverage but not as well as years ago.”

Sangeeta and her UBS Team have been focused of late on the many scenarios the route the government will go depending on the !scal cli" negotiations. They believe the muni tax exceptions will most probably be based on a larger tax reforms package coming out of D.C. in turn tax free income is going to bring more buyers into the muni space. But, investors should be cautious because muni funds often trade at high premiums. Sangeeta ending with, “we all want to own CEFs at a discount.”

Why Closed End Funds?

We care about income, dividend, and swapping relative premiums for relative discounts. The CEF structure allows you to be patient and diligent. If you know what you are looking for than that volatility is your friend. John Cole Scott, Portfolio Manager at Closed-End Fund Advisors


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In surveying over 800 Financial Advisors, we have found income to be the main reason advisors recommend CEFs. An interesting note, 24% are saying clients are coming to them recommending CEFs. Alison DuPont, Communications Campaign Manager, Aberdeen U.S. Closed-End Funds --- Kudos to Alison for her compelling presentation at the CEF conference on “Bridging the Transparency Gap” and the importance of investor relations in the CEF arena. We agree!

We look for ‘discount capture’. We will seek out CEFs we !nd to be arti!cially wide at the time, then quickly sell them when the opportunity arises. When high yield funds in November lost 8-9 % because of selling, that is when our models kick in and we !nd opportunities. That is why we are in closed ends. Rob Shaker, Portfolio Manager at Shaker Financial Services

One of the biggest advantages a closed-end fund manager has is that we can truly sit back and make a strategic long-term investment in the sector that is thoughtful and perspective without having to chase the individual market. David Christensen, CEO & CIO, ASA Gold and Precious Metals, Ltd.

Most advisors are looking for income and CEF are attractive for all investors. You can still get income in a CEF at the same time diversifying some of that interest rate risk away. Robert Ionescu, Director & Senior CEF Product Specialist, Legg Mason Global Asset Management

A CEF manager has the bene!t of not having to deal with terrible market gyrations, raising assets at bad points. Why do you make an investment? You’re making it in a market sector. You’re making it in a manager. You want that fund to perform as good or better than what you bought it for. These other things are distractions, it’s not style drift, but distractions. A closed-end fund allows a fund manager do what he’s supposed to do. T. Brooks Beittel, EVP, ACIO, Director of Fixed Income at Du! & Phelps Investment Management Company

Domestic and Political Economic Conditions Continue to Improve for Japan

By Michael Small, SVP Head of Marketing & Client Service at Daiwa SB Investments (USA) Ltd.

The Tokyo market advanced sharply over the !nal month of 2012 and outperformed many of the world’s other major markets due to the anticipation for aggressive monetary easing by the BOJ, the further depreciation of the yen, and the implementation of various !scal stimuli following the landslide victory of the

LDP-led coalition in the lower house elections. The Nikkei 225 index, a symbolic yardstick of the Japanese equity markets, !nished at a 2012 high of 10,395 on the last trading day of the year. Although the uncertainty surrounding the US !scal cli" dispute continued, the improvement of Chinese economic indicators and the rebound experienced by its equity market remained supportive of Japanese stocks. To wit, the Shanghai Composite Index advanced amid hope of improved economic activity as well as the Chinese government’s promotion of urban development as part of its economic reform program. For the month of December, the TOPIX index advanced 10.0% in Japanese yen terms, while the US dollar-denominated MSCI Japan net total return index gained 5.3%.

With the Tokyo market having surged more than 20% since mid-November, we may begin to see some consolidation in the near term. However, we believe it is rather healthy to experience a dip after a large run up, and this consolidation may

On Activist Investors...We have three activist shareholders on the BOD. By and large, the influence on the company has been very positive. They have taken what was an old school approach and turned it is to a much more communicative company that it has been in the past. The process was not without bruises but we have come out a lot stronger because of it. David Christensen, CEO & CIO, ASA Gold and Precious Metals, Ltd.


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inevitably provide for a more sustainable rally over the longer term. Looking ahead to the next six to nine months, we reiterate our positive overall view of the Tokyo market for a few reasons. First, any US- or China-led recovery in the global economy would be supportive of the Japanese economy. Second and more importantly, domestic political and economic conditions will continue to improve now that the vicious cycle connecting the yen’s appreciation to de#ation may !nally have come to an end, and the reversal of this long-term trend will impact Japan’s economy and corporate pro!ts considerably.

Thus, the three factors that will be the key to dictating the future movement of the Japanese equity market include 1) the ultimate positive impact that the new LDP-led government will have on the Japanese economy, 2) whether or not the Japanese economy will continue to improve on the back of the government’s expected structural reforms and !scal stimulus measures as well as the BOJ’s more aggressive monetary easing policy, and 3) the large upside potential for corporate earnings caused by a depreciating yen.

Insight and Enlightenment into the World of Closed-End Funds:

With over 300 people participating in this annual event both live and via webcast, CEFNetwork.com and Pristine Advisers have continued to prove that an investment conference dedicated to only CEFs is in demand among investors. The conference took place on December 11, in New York and was a day !lled with presentations and panel discussions from top portfolio managers and closed-end fund executives, analysts and !nancial advisors. The entire event can be viewed and all presentations can be downloaded at www.cefnetwork.com/events

Semi-Annual Survey Results on Closed-End Fund Investor Perspectives

Pristine Advisers, along with its subsidiary CEFNetwork have released the results of its Closed-End Fund survey which polled analysts, brokers, individual and institutional investors, !nancial

advisors and consultants over a six month period from June to December 2012. The polling process involved weekly questions distributed to Pristine’s proprietary databases of closed-end fund investors and posted to various industry social media groups. The survey was also distributed among 300 members of the investment community that attended the Annual World of Closed-End Fund conference in New York on December 11, 2012.

The results proved some very interesting responses, as in some cases, there was extreme diversity in the responses and other cases participants conveyed an overwhelming consensus. Pristine Advisers executes this survey in an e"ort to better understand investors and analysts perceptions, opinions and investment strategies in Closed-End Funds. For the entire survey, please visit: http://pristineadvisers.com/survey-june-december-2012.pdf

Portfolio Managers Update on Asian CEFs

The India Fund, Inc. (IFN) Team Managed Fund at Aberdeen Asset Management, based in Singapore.

December 2012 Update:! Indian equities rebounded in November on hopes the

government will do more to boost growth after September-quarter gross domestic product (GDP) expansion slowed to 5.3% from a year earlier.


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! Industrial production fell unexpectedly in September on the back of a plunge in capital goods output, highlighting still weak private investment. The trade de!cit reached a record as exports continued to fall amid a spike in imports caused by the nation’s reliance on foreign oil.! In#ation, as measured by the wholesale price index1, moderated in October as food prices cooled.! Prime Minister Manmohan Singh secured a parliamentary mandate to liberalize the multi-brand retail sector, which bodes well for foreign direct investments. This followed a failed attempt by opposition members to bring a no-con!dence motion against the ruling party

Website: www.aberdeenifn.com

Aberdeen Indonesia Fund, Inc. (IF)Team Managed Fund, based in Singapore

November 2012 Update:! Indonesian equities rose to historical highs in October, buoyed by robust third-quarter corporate earnings results.

! Despite the Asian Development Bank’s downgrade of the country’s economic growth forecast and exports contracting for a sixth consecutive month, record levels of foreign investment continued to #ow, particularly into the chemicals, mining and transport sectors.! In#ation reached a 13-month high in October as the weaker rupiah pushed up import costs. The central bank kept interest rates unchanged to avoid further weakening the local currency.! In Fund-related corporate news, o"shore supply vessel company Wintermar O"shore Marine raised US$10 million

via a convertible loan to tender for several upcoming contracts, while Bank Permata will undertake a US$200 million rights issue to strengthen its balance sheet. Miner Indo Tambangraya Megah scaled back planned capital expenditure for two mines in view of lower coal prices. Telkom Indonesia delivered healthy revenue growth and improved margins due to good cost control.! In October, we continued to add to cement producer Indocement Tunggal Prakarsa, having introduced the stock in the third quarter of this year.

Website: www.aberdeenif.com

Aberdeen Australia Equity Fund, Inc. (IAF)

Team Managed Fund, based in Sydney

November 2012 Update:! Australian

equities rose for the !fth consecutive month in October, buoyed by the banking sector, and outperformed most other regions, including the U.S., Europe, and Asia ex Japan.! The Reserve Bank cut the o$cial cash rate to 3.25% on concerns over the slowing momentum in China and the ongoing contraction in Europe.! The government unveiled spending cuts aimed at generating a budget surplus this year, even as its economic growth forecast was lowered to 3%.! Exports fell for a third straight month in August, widening the trade de!cit to its highest level since 2008. Unemployment rose to 5.4% in September, while in#ation climbed to 2.5% in the third quarter.

On Contrarian Investing...If there is fear in the market all closed-end funds will sell off, this is where you can find opportunity and value. Being contrarian, you can find wider discounts, premiums disappear, and this is a good entry point. Once fund companies cut the divided to put the fund in line with what it is earning, you might get initial pullback because of that but because the fund is earning the distribution. That becomes an opportunity and a good entry point to look at those funds. Robert Ionescu, Director & Senior CEF Product Specialist, Legg Mason Global Asset Management


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! In Fund-related corporate news, QBE’s lender-placed insurance business in California may be negatively a"ected after major rival Assurant agreed with U.S. regulators to cut premiums by 30.5%. Separately, QBE is assessing the damage on the east coast of the U.S. from Superstorm Sandy and its impact on pro!ts and insurance margins.! There were no major changes to the portfolio in October.

Website: www.aberdeeniaf.com

The Asia Paci!c Fund, Inc. (APB) The Portfolio Manager is Khiem Do at Baring Asset Management, based in Hong Kong

PM Commentary as of 12/31/2012:

Performance SummaryAsian stock markets

!nished a volatile year on a strong note with the benchmark index up by more than 3%. Though it may not have felt like it, 2012 turned out to be a good year for Asia which outperformed global indices. The most signi!cant turn came in the second half of the year. Concerns over a hard landing scenario in China were assuaged by better economic data and markets were heartened by a successful leadership transition. This, combined with easing of external risk factors from Europe and the US, helped Chinese equities. Markets began to focus on bene!ciaries of global demand rebound and somewhat less on the so called defensive sectors such as Telecoms and Utilities.

Strategy / Portfolio PositioningFor the month, the best performing markets were Thailand, Korea, and China while Hong Kong and Taiwan were among the laggards. For the entire year, the Philippines, Thailand and Singapore were the best performers while Indonesia, Malaysia, and Taiwan lagged. Perhaps more tellingly in the fourth quarter, among country sectors Chinese !nancials, Chinese industrials and Korean technology were among the best performers as investors looked for bene!ciaries of Chinese and global recovery. The Fund continued its focus on long-term growth dynamics and also expanded holdings on bene!ciaries of demand growth turnaround.

Market OutlookThough volatility will no doubt continue, market underpinnings look solid for the year with most worst case scenarios o" the table in both Asia and globally. The key will be how much this gradual recovery will translate into

earnings growth for the market and key sectors. A key focus will continue to be China, where a bottoming out process in its economic growth trajectory seems to be taking place. Given still low valuations, the extent and scale of the recovery will be key. We believe Asian markets will continue to be in a strong position relative to the rest of the world.

Website: www.asiapaci!cfund.com

Mike Taggart, Closed-End Fund Analyst at Morningstar With His Take on the CEF Conference (excerpts from his 12-14 CEF Weekly Review)

This week, Pristine Advisers hosted its second-annual CEFNetwork conference in New York City. As the only conference in the United States focused solely on closed-end fund investing, it has already become a big deal for those of us focused on CEFs. Most of the day was spent on presentations from individual CEFs, outlining their views on macro events and the current construction of their portfolios. Interspersed were discussions about CEF investing in general.

Transparency, as readers of our articles know, is a big deal when it comes to CEF investing. This conference plays an important role in bringing information to investors about CEFs. It’s not often that smaller, internationally focused CEFs have an opportunity to present in front of an audience. Pristine Advisers serves the CEF community well by hosting the event and by partnering with BrightTALK to ensure that the presentations are webcast and available for replay to a much broader audience than can be gathered in a midtown Manhattan hotel. A sure sign that the conference’s importance is growing was the attendance of several executives from nonparticipating CEF !rms who took the time to travel to New York and attend the


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conference for the full day.

The CEF industry has long needed a proactive platform through which to engage investors more fully in the vagaries of CEF investing and upon which to highlight often-overlooked funds. That CEFNetwork is !lling this void was the topic of most of the side discussions that I had during the day. For investors concerned that such a platform promoting CEF transparency will ruin the CEF market ine$ciencies from which they pro!t, I say: Have no worries--just as not every CEF investor reads our articles, not every CEF investor will attend this conference or watch its video replays. Ine$ciencies will remain, and watching the replay videos will only serve to enhance your edge over the average CEF investor. Education is still the best tool for exploiting those ine$ciencies.

City of London Investment Management (CLIM) on Promoting Growth in the U.S. CEF Sector.

Barry Olli", Chief Investment O$cer of City of London Investment Management presented in New York at the

end of November to over 150 fund insiders and the !nancial press live and via webcast.

Barry presented a historical overview of the U.S. emerging markets closed-end fund industry, corporate governance challenges facing the industry, and the role of the Security and Exchange Commission (SEC) and the Investment Company Institute (ICI). He cited CLIM case studies to support the !rm’s views on corporate governance and recent outstanding issues facing closed-end funds. As a top shareholder of CEFs, City of London is equally well-known for their focus on building communication with the Funds they invest in and to work towards improving corporate governance.

The presentation and webcast are available at www.cefnetwork.com/events or visit City of London’s website for more detailed reports on their views on corporate governance at www.citlon.com

A New Year and a New Look for Pristine Advisers:

Pristine Advisers is launching a new website this month www.pristineadvisers.com. As a boutique IR/PR !rm with a speciality

in representing closed-end funds, the group has a new website which showcases their unique services, quali!cations and background. We welcome you to contact us at [email protected] for more information.

On Emerging Markets.... “Some of the pack behaviour we have been observing since the global financial crisis is starting to break up and you’re seeing it this year in particular. Not only GDP growth but also earnings and markets are starting to differentiate from one another” ...”Finally, were starting to see investors paying attention to fundamentals and there are huge disparities between emerging markets countries, that I think haven’t necessarily been fully appreciated since the past year, year and a half.” “Even the term ‘Emerging Markets’ is starting to become passé”. James Upton, Managing Director, Morgan Stanley Investment Management


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Investment Attributes of Real Estate in a Closed-end Fund

REITs have gone through an explosive growth in the past twenty years. Today there is almost 600 billion in REITS compared to 1992 when the industry represented 20 billion dollars tops. Dividend yields are some of the biggest attractions for buying REITs.

Mark McCallister Managing Director and PM for LMP Capital and Income Fund and LMP Real Estate Income Fund at ClearBridge Advisors explains the reasons for this growth as REITs have been added to more portfolios. REITs have had a strong investment track record and allow for diversi!cation bene!ts to a portfolio. This hard asset -asset class product has many attractive qualities for an investor.

WHAT MAKES A GOOD REIT: Management quality: The ability to add value to the real estate. Having an alignment of interest, paper performance and superiour e$ciency levels.

Asset Quality: GNA load average is 50 basis points, the low being 30 to high as much as 100 points. Key considerations come down to market and submarket selection. A property should have good lines, good power, e$cient for user, parking and sightlines. For example, new generation malls have fewer columns allowing for the consumer to be able to see all the shops. It is about the underlying quality of the buildings you are buying,

Market Selection: High barrier versus low barrier markets. Places such as New York, Boston, Los Angeles represent high barrier markets which pose less risk for competition and represent higher pro!t margins. Low barrier markets entry points and rent growth is slower.

Value Creation: The key is to buy real estate that is worth a dollar for less than a dollar. Superior land control, know

the work zoning process, and focus on areas with high demand and low competition.

Balance Sheet Management: The focus is on leverage levels and net asset value. Lower levels of !nancial leverage outperform. Create value by buying assets.

Transparency and Governance: The REIT industry has the best disclosure that allow one to model the underlying value of the company. What was once a very private industry, now has much more data transparency. Outside BODs have done a good job helping companies managed through the cycles.

Equity Income Opportunities with Utilities, Telecoms and MLPs

Excerpts from T. Brookes Beittel, EVP, ACIO at Du" & Phelps Investment Management Co. presentation on Dec 11, 2012.

Where do you go for equity yield? Telecoms, utilities and MLPs have consistently been the top dividend-yielding equity sectors, due in large part to the certainty of their cash #ows. Utilities and MLPs also have low correlations to other asset classes and also, utilities o"er a surprising amount of diversi!cation among asset classes. Total Annual Return of U.S. Regulated Electric Utility Stocks have consistently outperformed the S&P 500 Index.

It is important to also note that dividend paying stocks have historically provided higher returns with lower risk than non-dividend payers. Brook’s ends his presentation with some words of wisdom, “There will be two times when your clients will be asking for income, one is now and one is in the future.”

Move over BRICs now there’s MISTs......The new acronym was created by the same economist who coined BRICs, Jim O’Neill at Goldman Sachs. It represents Mexico, Indonesia, South Korea and Turkey which are all expected to double their GDP size in the coming decade. Nomura Securities has estimated that over the next decade, Mexico could become Latin America’s largest economy, surpassing Brazil, and could be one of the most dynamic emerging markets. Presentation by Eduardo Solano IR VP at The Mexico Fund.


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A Look at Emerging Market Debt

By Brett Diment, Head of Emerging Markets Debt & Sovereign Debt at Aberdeen Asset Management

Emerging market debt ended the year on a positive note, as local currency debt surged in December and hard currency debt also gained. On the month, the JP Morgan EMBI Global Diversi!ed index gained 0.71%, and the benchmark spread narrowed 18bp to +257 over US Treasuries; while the GBI-EM Global Diversi!ed index increased by 2.16%. The high-yielders, Argentina and Venezuela were the top performers during December, as was Belize; while Egypt, Mongolia and Bolivia lagged behind. In local currency debt, South Africa was the top performer - bene!tting from a rebound in its currency, while Malaysia and Indonesia lagged as their respective currencies underperformed.

For the full year, the JP Morgan EMBI Global Diversi!ed index gained 17.44%, and the benchmark spread narrowed 147bp from +404 over US Treasuries; while the GBI-EM Global Diversi!ed (local currency) index increased by 16.76%.

In hard currency debt, Ivory Coast was the top performer during 2012, increasing by 89.1% as it sought to normalise relations with creditors; other high-yielding credits, Venezuela, Pakistan and Belarus also performed strongly. Belize was the worst performing, having defaulted on its “superbond” in August, while highly-indebted countries Jamaica and Lebanon also struggled over the year. In local currency, Nigeria was the top performer, bene!tting from inclusion into the benchmark index while Indonesia, Thailand and Malaysia lagged.

Our outlook for emerging market debt is constructive in 2013. However, we envisage more modest returns in the coming year following the strong performance of the asset class in 2012. Global growth will continue to be driven by emerging markets and we see most scope for returns deriving from EM currencies which have generally lagged the other parts of the asset class. The key risk to our returns expectations is the sensitivity of the asset class to rising US Treasury yields, which could occur if US macroeconomic indicators show some signs of recovery. Having said that, the prospects for stronger economic growth in the US and China may also herald a stronger outlook for emerging market exports given the interconnectivity of global trade, which could have a positive e"ect on emerging market

assets. The Eurozone sovereign debt crisis and the zero growth prospects will continue to make headlines in 2013, although its e"ect on emerging markets will most likely be limited to temporary episodes of risk-o" sentiment given the reduced Euro tail risk. China was at the forefront of investors’ minds in 2012, but having avoided a hard landing in 2012, going forward we expect a continued moderation in long-term potential growth, more importantly structural growth remains strong.

Why Ireland?

Noel O’Halloran, CIO at Kleinwort Benson and PM of The New Ireland Fund (IRL) outlines the reasons to look at Ireland. ( Sourced by The World Bank and Forbes):! First in Western Europe as location to invest! First globally for FDI and corporate tax! First in Eurozone for ease of doing business! First in the world for availability of skilled people! First of 183 economies for real corporate taxes

The largest company in The New Ireland Fund’s portfolio is budget airline, Ryanair. Noel re#ects on a recent meeting with Ryanair’s CEO, Michael O’Leary on the success of the airline. Michael replied, “we charge for peanuts”.


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South American Stocks Rocky but Still Rolling (TheStreet.com)

Nick Robinson director of Brazilian equities and a member of Aberdeen’s global emerging markets team, was featured on TheStreet.com with Gregg Greenberg to discuss investment opportunities and risks in South America.

The Portfolio Manager of The Latin American Equity Fund (LAQ) was on hand to discuss his expectations for 2013. He believes the volatility in South American stocks is creating opportunities in companies like Vale and Petrobras. Due to the on-going situation in Europe and China, Nick and his team are foreseeing similar conditions of volatility in South America to continue on and into the new year.

In discussing the risks of investing in Mexican companies with the drug wars seeing no end anytime soon, Nick conveyed his team were in constant contact with the management of the companies they hold and were con!dent what was happening on the streets was not a threat to their businesses.

A sleeper in 2013: Brazilian Banks.

For more information on The Latin American Equity Fund go to www.aberdeenlaq.com or view this interview in its entirety at http://www.thestreet.com/video/11737156/south-american-stocks-rocky-but-still-rolling.html

While shareholders worry about lost value, activists become ever more vocal, and extended deep discounts have become the norm, we know that funds are needing to communicate their

investment proposition now more powerfully than ever.

As leaders in Investor Relations and Financial PR since 1989 we’ve been working closely with organizations to deliver quanti!able results that help them in achieving these aims.

Results that include increases in share price, more analysts following, more investors, longer term investors, and increases in shareholder base among other positive measurable outcomes.

We have the unique advantage of 35 combined years’ specialist experience in the Closed-End Fund space and, as the only IR !rm worldwide specializing in Closed-End Funds, have an unparalleled

understanding of this market and its diverse stakeholder needs.

Contact us to learn how Pristine Advisers can help you and your Fund compete in this growing investment market.

Phone: 631-756-2486Fax: 646-478-9415

Email: [email protected]: http://www.linkedin.com/company/1674911

Twitter: https://twitter.com/pristineadviser Youtube: http://www.youtube.com/watch?v=D2PTNgOLSbs

Facebook: https://www.facebook.com/PristineAdvisers?sk=walWeb: www.cefnetwork.com

Web: www.pristineadvisers.com

pristine advisers quarterly cef newsletter · 2017-04-04 · pristine advisers, along with its...

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