Henderson High Income Trust : Monthly Factsheet as at 31 March 2024

HENDERSON HIGH INCOME TRUST PLC (HHI) ISIN: GB0009580571

Factsheet - at 31 March 2024

Marketing Communication

Share price performance (total return)

Price (rebased)

		Benchmark
140		NAV (cum income)
120
100
80
60
40
20
0
Mar 19	Mar 20	Mar 21	Mar 22	Mar 23	Mar 24

Performance

6m

1y

3y

5y

10y

Commentary at a glance

over (%)

Share price

-0.2-2.2

16.2

25.3

55.4

Performance

(Total return)

In the month under review the Company's NAV total

NAV

return was 4.7% and the 80% FTSE All-Share

8.1

7.9

25.3

30.8

80.2

Index/20% ICE BofA Sterling Non-Gilts Index total

(Total return)

return was 4.1%.

Benchmark

7.0

8.0

18.7

24.3

66.6

(Total return)

Contributors/detractors

Holdings in NatWest, Phoenix and 3i aided

Relative NAV

1.1

-0.1

6.6

6.4

13.6

performance while the impact of gearing was also

(Total return)

positive given the strong equity market backdrop.

Outlook

Although risks remain, we think the UK economy

could prove more resilient than current

Discrete year

Share price

NAV

expectations, while valuations in the UK market are

performance (%) (total return) (total return)

attractive to us on a long-term view.

Company overview

Objective

The Company invests in a prudently diversified selection of both well known and smaller companies to provide investors with a high dividend income stream while also maintaining the prospect of capital growth.

Highlights

A Company providing investors with a high dividend income stream while also maintaining the prospect of capital growth.

Company information

NAV (cum income)	174.7p
NAV (ex income)	171.9p
Share price	157.0p

Dividend history (pence/share)

12.0

Income

10.0

8.0

6.0

4.0

2.0

	31/3/2023 to	-2.2	7.9
31/3/2024
	31/3/2022 to		2.3		3.0
	31/3/2023
	31/3/2021 to	16.1	12.7
31/3/2022
	31/3/2020 to		42.7		26.8
	31/3/2021
	31/3/2019 to	-24.4	-17.7
31/3/2020

See full commentary on page 3.

References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.

Discount(-)/premium(+)	-10.1%
Yield	6.6%
Net gearing	23%
Net cash	-
Total assets	£368m
Net assets	£301m
Market capitalisation	£270m
Total voting rights	172,141,700
Total number of holdings 102
Ongoing charges	0.86%

0.0

04 06 08 10 12 14 16 18 20 22

Please note that this chart could include dividends that have been declared but not yet paid.

All performance, cumulative growth and annual growth data is sourced from Morningstar.

Source: at 31/03/24. © 2024 Morningstar, Inc. All rights reserved. The information

contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance does not predict future returns.

(year end 31 Dec 2023)
	80% FTSE All-Share
Benchmark	Index/20% ICE BofA
	Sterling Non-Gilts Index

Source: BNP Paribas for holdings information and Morningstar for all other data. Differences in calculation may occur due to the methodology used.

Please note that the total voting rights in the Company do not include shares held in Treasury.

Please remember that past performance does not predict future returns. The value of an investment and the income from it can rise as well as fall as a result of market and currency fluctuations, and you may not get back the amount originally invested. Please refer to the glossary for the definition of share price total return.

How to invest		Find out more
Go to www.janushenderson.com/howtoinvest		Go to www.hendersonhighincome.com

HENDERSON HIGH INCOME TRUST PLC (HHI) ISIN: GB0009580571

Factsheet - at 31 March 2024

Marketing Communication

Top 10 holdings	(%)
British American Tobacco	4.1
Unilever	3.6
HSBC	3.2
BP	3.1
Rio Tinto	3.1
RELX	2.6
Shell	2.6
Imperial Brands	2.2
Phoenix Group	2.2
3i Group	2.2

References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.

Geographical focus (%)

United	85.1%
Kingdom
United States	5.0%
Netherlands	4.1%
France	3.2%
Germany	1.2%
Multinational	0.7%
Belgium	0.4%
Czech	0.3%
Republic

The above geographical breakdown may not add up to 100% as this only shows the top 10.

Sector breakdown (%)

 Financials	26.8%
 Consumer	18.3%
Staples
 Fixed Interest	10.5%
 Consumer	9.8%
Discretionary
 Utilities	7.0%
 Industrials	6.8%
 Basic Materials 6.1%
 Energy	5.7%
 Health Care	4.0%
 Real Estate	3.0%
 Technology	1.9%

The above sector breakdown may not add up to 100% due to rounding.

Key information

Stock code	HHI
AIC sector	AIC UK Equity & Bond
Income
	80% FTSE All-Share
Benchmark	Index/20% ICE BofA
	Sterling Non-Gilts Index
Company type	Conventional (Ords)
Launch date	1989
Financial year	31-Dec
Dividend payment	April, July, October,
January
Risk rating	Average
(Source: Numis)
	0.50% of adjusted
Management fee	average gross assets up

Premium/(discount) of share price to NAV at fair value (%)

15
10
5
0
-5
-10
-15
Mar 21	Mar 22	Mar 23	Mar 24

10 year total return of £1,000

2,000		Share price total return	Benchmark
1,500
1,000
500
0
Mar 14	Mar 16	Mar 18	Mar 20	Mar 22	Mar 24

All performance, cumulative growth and annual growth data is sourced from Morningstar. Share price total return is calculated using mid-market share price with dividends reinvested.

	to £325m and 0.45%
	above £325m.
Performance fee	No

(See Annual Report & Key Information Document for more information)

Regional focus	UK
Fund manager	David Smith 2014
appointment

David Smith, CFA

Fund Manager

Please remember that past performance does not predict future returns. The value of an investment and the income from it can rise as well as fall as a result of market and currency fluctuations, and you may not get back the amount originally invested. Please refer to the glossary for the definition of share price total return.

	How to invest			Customer services
	Go to www.janushenderson.com/howtoinvest			0800 832 832

HENDERSON HIGH INCOME TRUST PLC (HHI) ISIN: GB0009580571

Factsheet - at 31 March 2024

Marketing Communication

Fund Manager commentary

Investment environment

The FTSE All-Share Index was up 4.8% during the month as the Bank of England (BoE) gave its strongest indication yet that it would ease borrowing conditions this year.

The BoE, which held its benchmark rate at 5.25%, said inflation and the economy were heading in the "right direction". The central bank's optimistic assessment came a day after it emerged that annual consumer price inflation had slowed to 3.4% in February, from 4.0% in January.

Early in the month, the Chancellor of the Exchequer Jeremy Hunt announced plans for more tax cuts as part of his annual budget and ahead of a general election later this year. UK GDP expanded by 0.2% month-on- month in January and raised investor expectations that the economy would exit the shallow recession recorded last quarter.

Yields on core 10-year government bonds - including the US, UK and Germany - generally edged down (prices rose slightly, reflecting their inverse relationship) due to increased confidence that most major central banks would loosen monetary policy in the coming months.

Large-cap companies outperformed mid- and small-caps with the FTSE 100 Index up 4.9% versus the FTSE 250 Index and the FTSE Small-Cap Index which were up 4.6% and 2.3% respectively.

The best performing sectors during the month were materials, real estate and energy, while information technology, consumer discretionary and consumer staples were the worst performing areas.

Portfolio review

The equity portfolio's holdings in NatWest, Phoenix and 3i were positive for performance. NatWest continued to rally through the month as investors gained comfort that the UK economy was recovering and that this would not lead to large impairments for the banking sector. Phoenix reported good results with its management team putting forward a credible plan to sustainably grow cash flow and lower leverage. 3i Group hosted a capital markets day on its largest portfolio holding, Action, the European discount retailer, and updated the market on its continued strong growth.

Elsewhere, the equity portfolio's holdings in MoneySuperMarket.com and Burberry were detrimental for performance. MoneySuperMarket.com's share price was weak as investors feared that an easing in insurance premium inflation would lead to less consumers switching their insurance providers.

During the month we initiated a new position in paper & packaging company Mondi and diversified insurer Aviva. We believe the cyclical pressures that have constrained profits at Mondi are now easing, and we think recent investment should be positive for the medium term outlook. After the recent sell-off in the company's share

price post the announcement of the proposed acquisition of competitor DS Smith, the valuation is attractive both on a stand alone basis or as a combined entity given the significant synergies we believe the combination could produce. After a period of restructuring, Aviva is now a much simpler business with good market positions in its core operations in the UK and Canada. It is well diversified across both life and general insurance and has historically generated good cash flow. Elsewhere, we sold the positions in Woodside Energy and B&M European Value Retail.

Manager outlook

Now that inflation is falling, the pressure on central banks to keep monetary policy tight is easing, which suggests interest rates could be cut over the next 12 months. While the impact of the significant rise in rates on economic growth needs to be carefully watched, consumer borrowing is historically low, corporate balance sheets are robust and the banking sector is well capitalised. With wage growth also likely to outstrip inflation this year, we believe the outlook for the UK economy could be better than the currently low expectations. While risks remain, especially with heightened geopolitical risks in the Middle East, valuations in the UK market are attractive to us on a long-term view.

HENDERSON HIGH INCOME TRUST PLC (HHI) ISIN: GB0009580571

Factsheet - at 31 March 2024

Marketing Communication

Glossary

Discount/Premium

The amount by which the price per share of an investment company is either lower (at a discount) or higher (at a premium) than the net asset value per share (cum income), expressed as a percentage of the net asset value per share.

Gearing

The effect of borrowing money for investment purposes (financial gearing). The amount a company can "gear" is the amount it can borrow in order to invest. Gearing is used in the expectation that the returns on the investments bought will exceed the costs of the borrowings that funded the purchase. This Company can also use synthetic gearing through derivatives and foreign exchange hedging and/or other non-fully funded instruments or techniques.

Leverage

The Company's leverage is the sum of financial gearing and synthetic gearing. Details of the Company's leverage limits can be found in both the Key Information Document and Annual Report. Where a company utilises leverage, the profits and losses incurred by the company can be greater than those of a company that does not use leverage.

Market capitalisation

Share price multiplied by the number of shares in issue, excluding treasury shares, at month end. Shares typically priced mid-market at month-end closing.

Net Asset Value (NAV)

The total value of a Company's assets less its liabilities.

NAV (Cum Income)

The value of investments and cash, including current year revenue, less liabilities (prior charges such as loans, debenture stock and preference shares at fair value).

NAV (Ex Income)

The value of investments and cash, excluding current year revenue, less liabilities (prior charges such as loans, debenture stock and preference shares at fair value).

NAV total return

The theoretical total return on shareholders' funds per share reflecting the change in Net Asset Value (NAV) assuming that dividends paid to shareholders were reinvested at NAV at the time the shares were quoted ex-dividend. A way of measuring investment management performance of investment trusts which is not affected by movements in discounts/premiums.

Net assets

Total assets minus any liabilities such as bank loans or creditors.

Net cash

A company's net exposure to cash/cash equivalents expressed as a percentage of shareholders' funds, after any offset against its gearing. This is only shown for companies that have gearing in place.

Net gearing

A company's total assets (less cash/cash equivalents) divided by shareholders' funds expressed as a percentage.

Ongoing charges

The total expenses for the financial year (excluding performance fee), divided by the average daily net assets, multiplied by 100.

Risk rating

The key measure used to assess risk is volatility of returns, using historic net asset value (NAV) performance of the Company over 1 and 3 years. In this instance volatility measures how much a company's NAV fluctuates over time in relation to the UK Equity market. The higher a volatility figure, the more the NAV has fluctuated (both up and down) over time. Please note that risk categorisations are indicative and based principally on historic data and should not be solely relied upon when making investment decisions.

Share price

Closing mid-market share price at month end.

Share price total return

The theoretical total return to the investor assuming that all dividends received were reinvested in the shares of the company at the time the shares were quoted ex-dividend. Transaction costs are not taken into account.

Total assets

Cum Income NAV multiplied by the number of shares, plus prior charges at fair value.

Yield

Calculated by dividing the current financial year's dividends per share (this will include prospective dividends) by the current price per share, then multiplying by 100 to arrive at a percentage figure.

For a full list of terms please visit: https://www.janushenderson.com/en- gb/investor/glossary/

HENDERSON HIGH INCOME TRUST PLC (HHI) ISIN: GB0009580571

Factsheet - at 31 March 2024

Marketing Communication

Source for fund ratings/awards

Overall Morningstar Rating™ is shown for an investment company achieving a rating of 4 or 5.

Company specific risks

• This Company is suitable to be used as one component of several within a diversified investment portfolio. Investors should consider carefully the proportion of their portfolio invested in this Company.
• Active management techniques that have worked well in normal market conditions could prove ineffective or negative for performance at other times.
• The Company could lose money if a counterparty with which it trades becomes unwilling or unable to meet its obligations to the Company.
• Shares can lose value rapidly, and typically involve higher risks than bonds or money market instruments. The value of your investment may fall as a result.
• The return on your investment is directly related to the prevailing market price of the Company's shares, which will trade at a varying discount (or premium) relative to the value of the underlying assets of the Company. As a result, losses (or gains) may be higher or lower than those of the Company's assets.
• If a Company's portfolio is concentrated towards a particular country or geographical region, the investment carries greater risk than a portfolio that is diversified across more countries.
• Some of the investments in this portfolio are in smaller company shares. They may be more difficult to buy and sell, and their share prices may fluctuate more than those of larger companies.
• The Company may use gearing (borrowing to invest) as part of its investment strategy. If the Company utilises its ability to gear, the profits and losses incurred by the Company can be greater than those of a Company that does not use gearing.
• All or part of the Company's management fee is taken from its capital. While this allows more income to be paid, it may also restrict capital growth or even result in capital erosion over time.

Not for onward distribution. Before investing in an investment trust referred to in this document, you should satisfy yourself as to its suitability and the risks involved, you may wish to consult a financial adviser. This is a marketing communication. Please refer to the AIFMD Disclosure document and Annual Report of the AIF before making any final investment decisions. Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested. Tax assumptions and reliefs depend upon an investor's particular circumstances and may change if those circumstances or the law change. Nothing in this document is intended to or should be construed as advice. This document is not a recommendation to sell or purchase any investment. It does not form part of any contract for the sale or purchase of any investment. We may record telephone calls for our mutual protection, to improve customer service and for regulatory record keeping purposes.

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