BLACKROCK COMMODITIES INCOME INVESTMENT TRUST plc
(LEI:54930040ALEAVPMMDC31)
All information is at 30 November
2017 and unaudited.
Performance at month end with net income reinvested
|
One
month
% |
Three
months
% |
Six
months
% |
One
year
% |
Three
years
% |
Five
years
% |
|
|
|
|
|
|
|
Net asset value |
-1.6 |
-0.7 |
6.8 |
-3.3 |
3.9 |
-10.1 |
Share price |
1.0 |
4.0 |
6.1 |
-4.4 |
-5.7 |
-15.3 |
Sources: Datastream, BlackRock
At month end |
|
|
|
Net asset value – capital only: |
75.07p |
Net asset value cum income*: |
76.92p |
Share price: |
75.00p |
Discount to NAV (cum income): |
2.5% |
Net yield: |
5.3% |
Gearing - cum income: |
3.1% |
Total assets**: |
£95.8m |
Ordinary shares in issue: |
118,768,000 |
Gearing range (as a % of net
assets): |
0-20% |
Ongoing charges^: |
1.4% |
*Includes net revenue of 1.85p.
**Includes current year revenue.
^Calculated as a percentage of average net assets and using
expenses, excluding any interest costs and excluding taxation for
the year ended 30 November 2016.
Sector Analysis |
% Total
Assets |
|
Country Analysis |
% Total
Assets |
|
|
|
|
|
Diversified Mining |
27.1 |
|
Global |
57.8 |
Integrated Oil |
23.1 |
|
USA |
13.1 |
Exploration & Production |
14.9 |
|
Canada |
12.0 |
Copper |
10.4 |
|
Latin America |
5.2 |
Gold |
8.5 |
|
Australia |
4.8 |
Distribution |
3.6 |
|
Europe |
2.5 |
Silver |
2.7 |
|
Africa |
1.9 |
Oil Sands |
1.9 |
|
Mali |
1.3 |
Industrial Minerals |
1.7 |
|
Net current assets |
1.4 |
Oil Services |
1.5 |
|
|
----- |
Steel |
1.5 |
|
|
100.0 |
Industrial Resources |
1.1 |
|
|
===== |
Diamonds |
0.6 |
|
|
|
Net current assets |
1.4 |
|
|
|
|
----- |
|
|
|
|
100.0 |
|
|
|
|
===== |
|
|
|
Ten Largest Investments
Company |
Region of
Risk |
% Total
Assets |
|
|
|
First Quantum Minerals* |
Global |
9.3 |
Rio Tinto |
Global |
6.7 |
BHP |
Global |
6.6 |
Royal Dutch Shell ‘B’ |
Global |
6.1 |
Glencore |
Global |
5.0 |
Chevron |
Global |
4.7 |
Exxon Mobil |
Global |
4.1 |
Vale - ADS |
Latin America |
3.3 |
BP |
Global |
3.1 |
Anadarko Petroleum |
USA |
3.0 |
*The holding in First Quantum Minerals includes both an equity
holding and a holding in several bonds.
Commenting on the markets,
Olivia Markham and Tom Holl, representing the Investment Manager
noted:
The Company’s NAV decreased by 1.6% during the month of November
(in GBP terms with dividends reinvested and net of ongoing
charges).
The performance of the energy sector was positive during the
month, whilst the mining sector came under pressure. In the energy
space, the oil price rallied on rising geopolitical risk with the
crown Prince of Saudi Arabia,
Mohammed bin Salman, launching an
anti-corruption operation which saw the arrest of over 40 people,
including 11 princes and more than three dozen current and former
ministers. Shortly thereafter, the prime-minister of Lebanon resigned from his post in a televised
statement made from Saudi Arabia,
whilst Venezuela announced a
military general as the new leader of its state-owned energy
company and the Oil Ministry. On the final day of the month OPEC,
and non-OPEC producers led by Russia, agreed to extend oil output cuts until
the end of 2018. These events combined, bolstered oil prices in
November with Brent and West Texas International (WTI) finishing
the month +3.6% and +5.6% higher at $64/barrel and $57/barrel respectively. The portfolio’s
overweight to US exploration and production companies positively
contributed to relative performance during the month
For the mining sector, following a period of strong economic
data from China, Chinese
manufacturing data was the weakest we have seen in five months,
with the Caixin Manufacturing Purchasing Manager’s Index ('PMI')
falling to 50.8 in November from a prior level of 51 in October. In
addition, there were concerns around credit tightening in
China during the month, as China’s
financial regulators proposed sweeping rules to curb the risks in
the country’s $15 trillion of asset
management products. Against this backdrop, we saw a sell-off in
mined commodities, following the strong performance we saw in the
run up to LME (London Metal Exchange) week during October. Base
metals came under pressure, with nickel, zinc, copper and aluminium
decreasing by -9.8%, -4.4%, -1.2% and -5.0% respectively. On
the other hand, bulk commodities posted positive performance, with
the price of iron ore bucking the negative trend and increasing by
+17.1%. We continue to see attractive valuations across a number of
the mining companies, in particularly the bulk commodity producers,
who are generating very strong free cash flow allowing them to
further reduce debt on the balance sheet and increase dividends to
shareholders.
All data points in US dollar terms unless otherwise specified.
Commodity price moves sourced from Thomson Reuters Datastream.
14 December 2017
ENDS
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www.blackrock.co.uk/brci on the internet, "BLRKINDEX" on Reuters,
"BLRK" on Bloomberg or "8800" on Topic 3 (ICV terminal).
Neither the contents of the Manager’s website nor the contents of
any website accessible from hyperlinks on the Manager’s website (or
any other website) is incorporated into, or forms part of, this
announcement.