Company: FCO
Filing Date: 2025-01-10
Form Type: N-CSR
Source: 0001104659-25-002474
Chunk: 8

Company: ABRDN GLOBAL INCOME FUND, INC.
Filing Date: 2025-01-10
Form: N-CSR
Chunk 8
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 hedge the interest-rate risk (primarily paid interest rate swap positions to fix the cost of the leverage) in the portfolio contributed negatively to Fund performance, as did the use of currency forwards, although derivatives used to gain exposure to the Singapore dollar and those that hedged out the underlying Mexican peso exposure each added value. The monthly distribution reflects the Fund’s current policy to provide shareholders with a relatively stable cash flow per share. This policy did not have a material effect on the Fund’s investment strategy over the reporting period. During the fiscal year ended October 31, 2024, the distributions were comprised of ordinary income and a return of capital. Outlook At a time when there are many cross currents in geopolitical, economic, and trade considerations, the Fund’s diversity in exposure across fixed income assets in the U.S., EMs, and Asia-Pacific position it well to deliver resilient sources of income for U.S. dollar-based investors. While we may look to the Asia-Pacific region as being a source of vulnerability in these uncertain times, we believe there are many reasons to remain optimistic about the resilience of the region. Across the Asia-Pacific region, economic fundamentals remain well-grounded in policy predictability, consistency, and discipline. A strong reminder of this is the development of the ASEAN (Association of Southeast Asian Nations) co-operations, with Singapore as its highly influential member. This grouping of nations continues to co-operate on economic, investment, and trade initiatives, and, in our opinion, steers a balanced course between the world’s superpowers. As experience has shown, when trade tensions between the U.S. and China have escalated, it is this group of countries that have benefitted from foreign investment and trade. Similarly, the Indian economy continues to benefit from a decade of reforms that have focused on financial inclusion, investment and combatting corruption. These reforms continue to transform the economic landscape in India; and with reform to access constraints, foreigners can increasingly access these markets as a source of diversified income. While there will be much focus on the trade tensions between the U.S. and China, the Chinese economy has been growing at a gradual pace, hampered by a lack of domestic confidence. In our estimation, this arises more from domestic policy issues than from anything globally, and as we have seen in recent weeks, the Chinese authorities are determined to provide some additional policy clarity and support. We

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| 5 | A key measure of the value of a company, fund or trust – the total value of assets less liabilities,