Aberdeen Investments completes MFS transaction, accelerating growth in its closed end fund range at a time of renewed momentum for the investment trust sector
03 July 2026At yesterday’s US close, Aberdeen Investments (“Aberdeen”) completed its acquisition of closed-end fund assets from Boston-based MFS Investment Management’s (“MFS”), with combined assets totaling c.£1.5bn.
The transaction reinforces Aberdeen’s position as one of the leading global managers of investment trusts and follows last months UK news that Aberdeen is to be appointed as investment manager to Herald Investment Trust, and its sister open ended fund.
This progress is complemented by continued growth across Aberdeen’s wider platform. Tritax Big Box, whose manager Aberdeen owns an 80% stake in, has a pipeline of mission critical logistics assets supporting UK supply chains and infrastructure, with growing relevance for data centres. Tritax Big Box’s recent promotion to the FTSE 100 in March 2026 highlights this strategy and the long term value of these sites.
Xavier Meyer, Chief Executive Officer, Investments, Aberdeen Group, said: “The completion of this transaction marks another significant step in scaling our global closed end fund business, as we continue to commit capital to opportunities that strengthen the platform, deepen our client relationships creating long term value to our business. The transaction is expected to be income accretive from year one. I am pleased to welcome the fund shareholders to Aberdeen.”
Christian Pittard, Head of Closed End Funds, and Managing Director, Corporate Finance, Aberdeen Group, added: “Having a deep and experienced closed end fund capability on both sides of the Atlantic is rare in the investment trust sector, but it matters – relationships are key. This deal, like Herald, reflects the strength of Aberdeen’s platform and reinforces our commitment to be a leading force in the sector.”
The assets transitioning from MFS will be led by Jonathan Mondillo, Aberdeen’s Global Head of Fixed Income, drawing on the full breadth of Aberdeen’s global fixed income capabilities across investment grade and high yield credit, emerging market debt, asset-backed securities, private credit and US municipal bonds.
Jon Mondillo, Global Head of Fixed Income, Aberdeen Investments, said “This transaction and the assets that have transferred to Aberdeen greatly complement the full scope of our broad and experienced fixed income team. It also materially strengthens our fixed income closed end fund platform, highlighting the depth of our fixed income capabilities and giving Aberdeen further scale as we compete with the world’s largest managers.”
The MFS transaction has now officially completed, with the assets consolidated through a series of mergers, and advisory contract assignments of four actively managed funds
Key outcomes of the transaction include:
• 4 MFS municipal bond CEFs and 1 Aberdeen municipal bond CEF combined into a c. US$1bn municipal bond fund
• 3 MFS taxable fixed income funds combined to create a c. US$0.8bn multi sector fixed income CEF.
• Transition of the investment advisory contracts for two taxable investment grade fixed income closed-end funds investing in global credit and government bonds with assets of c. US$314m and US$105m respectively.
A driving force in the UK and US closed end fund sector
• This will be Aberdeen’s 10th US CEF acquisition since 2000.
• In 2024, we successfully executed one of the largest mergers ever in the sector with BBOX and UKCM.
• Aberdeen was the first asset manager to unveil a suggested industry blueprint for solving the cost disclosure issues that have been plaguing investment companies, publishing a new ‘Statement of Operating Expenses’ (SOE) template.
• Aberdeen currently manages c.£21.8bn in closed end funds, making it the fifth largest manager of closed end funds globally. (Data from Morningstar as of market close 02/07/26).
Ends
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Notes to editors
About Aberdeen Investments:
Aberdeen Investments is a specialist asset manager that focuses on areas where we have both strength and scale across public and private markets, including credit, specialist equities and real assets.
Our teams collaborate across regions, asset classes and specialisms, connecting diverse perspectives and working with clients to identify investment opportunities that suit their needs.
As at 31 March 2026, Aberdeen Investments managed c.£385bn on behalf of clients, including insurance companies, sovereign wealth funds, independent wealth managers, pension funds, platforms, banks and family offices.
www.aberdeeninvestments.com
About Aberdeen Group
Aberdeen is a leading Wealth & Investments group, working to help millions of customers and clients turn their financial goals into reality. As at 31 March 2026, Aberdeen managed and administered c.£550bn of client and customer assets across its three core business, interactive investor, Adviser and Investments.
www.aberdeenplc.com
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