ACP - ACP: 15%+ Yield, 6% Discount
2025-01-13 09:15:00 ET
Summary
- The abrdn Income Credit Strategies Fund focuses on high current income and capital appreciation by investing in global debt and loan instruments, primarily below investment grade.
- ACP's dividend cut and underperformance relative to the Morningstar US CEF Senior Loans category, coupled with market pressures, lead to a Sell recommendation at this time.
- ACP's fiscal year 2024 saw a 63% increase in net investment income, and a 65% reduction in net losses.
The abrdn Income Credit Strategies Fund ( ACP ) is a closed end fund, "CEF", which invests in credit obligations on a global basis. We last covered ACP in an article back in September 2024, when we rated it as a buy:
ACP: 15%+ Yield, 6% Discount"ACP yields over 18%, pays monthly, and sells at a 3% discount. With interest rates coming down, its high yield debt holdings have become more attractive."