Company: HQL
Filing Date: 2025-12-08
Form Type: N-CSR
Source: 0001104659-25-119341
Chunk: 40

Company: abrdn Life Sciences Investors
Filing Date: 2025-12-08
Form: N-CSR
Chunk 40
---
 Fund. In addition to the foregoing, the Board considered the Fund’s fees and expenses relative to the fees and expenses of the Peer Funds, as well as information on the limitations of such comparable data given differences between the Fund and the Peer Funds presented. This information showed that the Fund’s net management fee and total net expenses, exclusive of investment-related expenses, were above the median of the Peer Funds. The Board noted that the Fund has the ability to utilize leverage and that the Adviser oversees opportunities for leverage, as well as the Fund’s structure, including any discount to the Fund’s net asset value during market trading. The Board also reviewed the profitability of the investment advisory relationship with the Fund to the Adviser. The Board concluded that the Fund’s fees and expenses, as well as the Investment Adviser’s profitability, were reasonable in light of the nature, extent and quality of services provided. Investment Performance of the Fund The Board received and reviewed with the Fund’s management, among other performance data, information that compared the Fund’s return over the one-year period to the Peer Funds and discussed this information and other related performance data with the Adviser. In addition, the Board received and reviewed information regarding the Fund’s total return on a gross and net basis and relative to the Fund’s benchmark. The Board also considered information about the Fund’s discount/premium ranking relative to its Peer Funds and the Adviser’s discussion of the Fund’s performance. The Directors noted that the Fund underperformed the average of the Peer Funds and the benchmark for the 1-year period ended March 31, 2025. The Board noted that the Adviser began managing the strategy in October 2023, and that prior performance is attributed to another adviser. The Board considered the Adviser’s discussion of Fund performance relative to the benchmark and the Peer Funds, including distinguishing features between the benchmark and the Funds and that the Peer Funds have varying investment objectives, strategies and policies, as well as varying exposures to the healthcare sector which limits the comparability of Peer Fund performance to the Fund. The Board also considered the Adviser’s plans for the Fund, among other factors, in determining to continue the Advisory Agreement. Direct and Indirect Benefits The Board then considered whether or the extent to which the Adviser derives any direct, ancillary or indirect benefits, such as reputational benefits, that could accrue to the Adviser from the Fund’s operations as a result of the Adviser’s relationship with the Fund. The Board recognized the services provided to the Fund by affiliates of the