23 May 2018 11:38
BlackRock Emerging Europe Plc - Portfolio UpdateBlackRock Emerging Europe Plc - Portfolio Update
PR Newswire
London, May 22
| BLACKROCK EMERGING EUROPE PLC (LEI - 549300OGTQA24Y3KMI14) |
| All information is at 30 April 2018 and unaudited. |
| Performance at month end with net income reinvested |
| One | Three | One | Three | Five | *Since | |||||||||||||||
| Month | Months | Year | Years | Years | 30.04.09 | |||||||||||||||
| Sterling: | ||||||||||||||||||||
| Share price | -1.6 | -10.7 | 8.3 | 50.9 | 37.7 | 141.3 | ||||||||||||||
| Net asset value | -1.8 | -8.7 | 5.0 | 40.9 | 26.9 | 128.3 | ||||||||||||||
| MSCI EM Europe | -2.4 | -8.4 | 3.9 | 23.0 | -1.5 | 72.1 | ||||||||||||||
| 10/40(NR) | ||||||||||||||||||||
| US Dollars: | ||||||||||||||||||||
| Share price | -3.4 | -13.5 | 15.3 | 35.2 | 21.9 | 124.3 | ||||||||||||||
| Net asset value | -3.6 | -11.6 | 11.7 | 26.2 | 12.3 | 112.2 | ||||||||||||||
| MSCI EM Europe | -4.1 | -11.2 | 10.6 | 10.2 | -12.8 | 60.0 | ||||||||||||||
| 10/40(NR) | ||||||||||||||||||||
| Sources: BlackRock, Standard & Poor’s Micropal | ||||||||||||||||||||
| *BlackRock took over the investment management of the Company with effect from 1 May 2009 | ||||||||||||||||||||
| At month end | ||||||||||||||||||||
| US Dollar: | ||||||||||||||||||||
| Net asset value – capital only: | 492.05c | |||||||||||||||||||
| Net asset value* – cum income: | 507.78c | |||||||||||||||||||
| Sterling: | ||||||||||||||||||||
| Net asset value – capital only: | 357.23p | |||||||||||||||||||
| Net asset value* – cum income: | 368.65p | |||||||||||||||||||
| Share price: | 345.00p | |||||||||||||||||||
| Total assets^: | £132.4m | |||||||||||||||||||
| Discount (share price to cum income NAV): | 6.4% | |||||||||||||||||||
| Net gearing at month end: | 8.5% | |||||||||||||||||||
| Net yield^^^^: | 3.1% | |||||||||||||||||||
| Gearing range as a % of Net assets: | 0-20% | |||||||||||||||||||
| Issued Capital – Ordinary Shares^^ | 35,916,028 | |||||||||||||||||||
| Ongoing charges^^^ | 1.1% | |||||||||||||||||||
| * Includes year to date net revenue equal to 11.42 pence per share. | ||||||||||||||||||||
| ^ Total assets include current year revenue. | ||||||||||||||||||||
| ^^ Excluding 5,000,000 shares held in treasury. | ||||||||||||||||||||
| ^^^ Calculated as at 31 January 2018, in accordance with AIC guidelines. | ||||||||||||||||||||
| ^^^^ Yield calculations are based on dividends announced in the last 12 months as at the date of release of this announcement, and comprise of the final dividend of 15.00 cents per share, (announced on 23 March 2018, ex-dividend on 17 May 2018) | ||||||||||||||||||||
| Sector Analysis | Gross assets (%) | Country Analysis | Gross assets (%) | |||||||||||||||||
| Financials | 39.5 | Russia | 54.0 | |||||||||||||||||
| Energy | 26.4 | Poland | 16.5 | |||||||||||||||||
| Consumer Staples | 10.7 | Turkey | 13.9 | |||||||||||||||||
| Telecommunication Services | 10.3 | Greece | 6.9 | |||||||||||||||||
| Health Care | 4.9 | Ukraine | 3.5 | |||||||||||||||||
| Materials | 3.6 | Hungary | 3.4 | |||||||||||||||||
| Information Technology | 2.9 | Pan-Emerging Europe | 1.8 | |||||||||||||||||
| Consumer Discretionary | 1.7 | Net Current Liabilities | (0.0) | |||||||||||||||||
| Net Current Liabilities | (0.0) | ----- | ||||||||||||||||||
| ----- | 100.0 | |||||||||||||||||||
| 100.0 | ===== | |||||||||||||||||||
| ===== | ||||||||||||||||||||
| Short position | (1.5) | (1.5) | ||||||||||||||||||
| Fifteen Largest Investments (in % order of Gross Assets as at 30.04.18) | ||||||||||||||||||||
| Company | Region of Risk | Gross assets | ||||||||||||||||||
| (%) | ||||||||||||||||||||
| Sberbank | Russia | 10.4 | ||||||||||||||||||
| Lukoil | Russia | 9.6 | ||||||||||||||||||
| Gazprom | Russia | 7.5 | ||||||||||||||||||
| PKO Bank Polski | Poland | 5.8 | ||||||||||||||||||
| Rosneft Oil Company | Russia | 4.9 | ||||||||||||||||||
| Novatek | Russia | 4.5 | ||||||||||||||||||
| Alior Bank | Poland | 4.0 | ||||||||||||||||||
| Lenta | Russia | 3.8 | ||||||||||||||||||
| PZU | Poland | 3.7 | ||||||||||||||||||
| National Bank of Greece | Greece | 3.6 | ||||||||||||||||||
| Mobile Telesystems | Russia | 3.5 | ||||||||||||||||||
| Turkcell | Turkey | 3.4 | ||||||||||||||||||
| Gedeon Richter | Hungary | 3.4 | ||||||||||||||||||
| Alpha Bank | Greece | 3.3 | ||||||||||||||||||
| Bank Pekao | Poland | 3.0 | ||||||||||||||||||
| Commenting on the markets, Sam Vecht and Christopher Colunga, representing the Investment Manager noted; | ||||||||||||||||||||
| Market Commentary | ||||||||||||||||||||
| Market & Portfolio Performance The MSCI Emerging Europe 10/40 Index fell by 4.1% in April 2018 (in US Dollar terms), following developments in Turkey and Russia. The Company outperformed the index over the period, with the NAV falling by 3.6% in US Dollar terms. Markets in Turkey fell in April as the Turkish currency continued to weaken reflecting increasingly challenging economic conditions. Politics also remain an overhang with President Erdogan calling for an early presidential election, which came as a surprise to the market. Russian markets sold off as Russia faced new US sanctions targeting seven Russian oligarchs and 12 companies they own or control, 17 senior Russian government officials, and a state-owned Russian weapons trading company and its subsidiary, a Russian bank. US sanctions primarily targeted Russia’s commodities sector. On the other hand, markets in Greece saw strong performance in April as the Greek banks successfully passed the European Central Bank (ECB) stress test without having to raise fresh capital. The portfolio’s outperformance in April is predominantly attributed to the overweight to Greek financials and the short position in Turkey. We funded additional positions in names such as a Sberbank and natural gas producer Novatek by taking partial profit in one of our strong performing Central European exposures Erste Bank. | ||||||||||||||||||||
| 23 May 2018 | ||||||||||||||||||||
| ENDS | ||||||||||||||||||||
| Latest information is available by typing www.blackrock.co.uk/beep 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. | ||||||||||||||||||||