Company: HQL
Filing Date: 2025-12-08
Form Type: N-CSR
Source: 0001104659-25-119341
Chunk: 6

Company: abrdn Life Sciences Investors
Filing Date: 2025-12-08
Form: N-CSR
Chunk 6
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 Us:

| • | Visit: www.aberdeeninvestments.com/en-us/investor/investment-solutions/closed-end-funds |

| • | Email: Investor.Relations@aberdeenplc.com; or |

| • | Call: 1-800-522-5465 (toll free in the U.S.). |

Yours sincerely, /s/ Alan Goodson
Alan GoodsonPresident

{foots1} All amounts are U.S. Dollars unless otherwise stated.

| abrdn Life Sciences Investors | 3 |

Report of the Investment Adviser (unaudited) Performance Review For the fiscal year ended September 30, 2025, HQL returned 21.06% 1on a net asset value (NAV) 2basis compared with 3.19% for the Fund’s performance target, the NASDAQ Biotechnology Index. On a market–price basis, shares returned 17.62%. The fund’s performance was driven by a combination of strong stock selection combined with a strong market rally in small to mid-cap biotechnology companies. Unless otherwise noted, performance figures refer to NAV total return. Market Review U.S. stocks, as measured by the broad S&P 500 Index, posted strong gains over the 12 months to September 30, 2025. Global markets fluctuated over the review period amid monetary policy shifts, trade developments, and geopolitical tensions. The U.S. Federal Reserve cut rates twice in late 2024 and again in mid-2025, supporting sentiment alongside hopes for a soft landing and easing inflation. President Trump’s election initially boosted equities, but optimism faded as tariff concerns and tighter immigration policies weighed on markets, leading to a sharp sell-off in April before rebounding after most tariffs were paused. Further support came from a U.S.-China tariff truce extension and new trade agreements with the EU and Japan, though optimism was tempered by steep new tariffs on pharmaceuticals and higher duties on several countries. Geopolitical risks, including Middle East violence, briefly pressured markets, but a U.S.-brokered ceasefire helped stabilize conditions. However, the partial shutdown of the U.S. government starting in September added to economic and political uncertainty. Inflation eased earlier in the year, but remaining above target, central banks maintained a data-dependent stance. Global economic growth held up better than expected, with early-2025 fears of a U.S. recession proving to be short-lived. The performance of the U.S. healthcare sector notably lagged