(ACP) Aberdeen Income Credit - Ratings and Ratios

The Aberdeen Income Credit Strategies Fund (NYSE:ACP) is a high-yield bond fund originating from the USA. As a closed-end fund, it is designed to provide investors with a regular income stream by investing in a diversified portfolio of high-yield bonds.

To evaluate the funds performance, key metrics to consider include the distribution yield, which indicates the funds ability to generate income for its investors. Additionally, the funds expense ratio, which is a measure of its operating costs, is also crucial in determining its overall efficiency. A lower expense ratio generally translates to higher net returns for investors.

Other important KPIs for assessing the funds performance include its Sharpe ratio, which measures risk-adjusted returns, and its correlation with other asset classes, which can help investors understand its diversification benefits. Furthermore, the funds credit quality, as measured by the average credit rating of its holdings, is also a vital metric, as it provides insight into the funds risk profile.

Investors should also examine the funds leverage ratio, which can amplify returns but also increases the risk of losses. A thorough analysis of these metrics will enable investors to make a more informed decision about investing in the Aberdeen Income Credit Strategies Fund.