Last checked at 11 May 2021 11:09
BlackRock Throgmorton Trust Plc - Portfolio UpdateBlackRock Throgmorton Trust Plc - Portfolio Update
PR Newswire
London, May 11
The information contained in this release was correct as at 30 April 2021. Information on the Company’s up to date net asset values can be found on the London Stock Exchange Website at:
https://www.londonstockexchange.com/exchange/news/market-news/market-news-home.html.
BLACKROCK THROGMORTON TRUST PLC (LEI: 5493003B7ETS1JEDPF59)
All information is at 30 April 2021 and unaudited.Performance at month end is calculated on a cum income basis
| One Month % | Three months % | One year % | Three years % | Five years % | |
| Net asset value | 10.9 | 18.4 | 71.6 | 60.2 | 149.8 |
| Share price | 10.8 | 18.4 | 70.9 | 76.2 | 196.9 |
| Benchmark* | 5.9 | 15.6 | 60.3 | 27.1 | 64.8 |
Sources: BlackRock and Datastream
*With effect from 22 March 2018 the Numis Smaller Companies plus AIM (excluding Investment Companies) Index replaced the Numis Smaller Companies excluding AIM (excluding Investment Companies) Index as the Company’s benchmark. The performance of the indices have been blended to reflect this.
| At month end | |
| Net asset value capital only: | 870.41p |
| Net asset value incl. income: | 874.46p |
| Share price | 886.00p |
| Premium to cum income NAV | 1.3% |
| Net yield1: | 1.2% |
| Total Gross assets2: | £811.5m |
| Net market exposure as a % of net asset value3: | 119.2% |
| Ordinary shares in issue4: | 92,795,389 |
| 2020 ongoing charges (excluding performance fees)5,6: | 0.60% |
| 2020 ongoing charges ratio (including performance fees)5,6,7: | 1.60% |
1. Calculated using the 2020 interim dividend declared on 23 July 2020 and paid on 26 August 2020, together with the 2020 final dividend declared on 10 February 2021 and paid on 31 March 2021.
2. Includes current year revenue and excludes gross exposure through contracts for difference.
3. Long exposure less short exposure as a percentage of net asset value.
4. Excluding 0 shares held in treasury.
5. Calculated as a percentage of average net assets and using expenses, excluding performance fees and interest costs for the year ended 30 November 2020.
6. With effect from 1 August 2017 the base management fee was reduced from 0.70% to 0.35% of gross assets per annum.
7. Effective 1st December 2017 the annual performance fee is calculated using performance data on an annualised rolling two year basis (previously, one year) and the maximum annual performance fee payable is effectively reduced to 0.90% of two year rolling average month end gross assets (from 1% of average annual gross assets over one year). Additionally, the Company now accrues this fee at a rate of 15% of outperformance (previously 10%). The maximum annual total management fees (comprising the base management fee of 0.35% and a potential performance fee of 0.90%) are therefore 1.25% of average month end gross assets on a two-year rolling basis (from 1.70% of average annual gross assets).
| Sector Weightings | % of Total Assets |
| Industrials | 30.3 |
| Consumer Services | 21.5 |
| Financials | 16.3 |
| Consumer Goods | 10.6 |
| Technology | 7.5 |
| Health Care | 4.9 |
| Telecommunications | 3.3 |
| Basic Materials | 2.3 |
| Consumer Discretionary | 0.2 |
| Net current assets | 3.1 |
| ----- | |
| Total | 100.0 |
| ===== | |
| Country Weightings | % of Total Assets |
| United Kingdom | 90.1 |
| United States | 6.9 |
| France | 0.9 |
| Australia | 0.8 |
| Denmark | 0.6 |
| Netherlands | 0.5 |
| Israel | 0.2 |
| ----- | |
| Total | 100.0 |
| ===== |
| Market Exposure (Quarterly) | ||||
| 31.05.20 % | 31.08.20 % | 30.11.20 % | 28.02.21 % | |
| Long | 118.6 | 121.0 | 120.4 | 126.8 |
| Short | 2.1 | 2.4 | 1.9 | 1.5 |
| Gross exposure | 120.7 | 123.4 | 122.3 | 128.3 |
| Net exposure | 116.6 | 118.6 | 118.6 | 125.3 |
| Ten Largest Investments | |
| Company | % of Total Gross Assets |
| Gamma Communications | 3.0 |
| Electrocomponents | 2.9 |
| Games Workshop | 2.6 |
| Impax Asset Management | 2.6 |
| YouGov | 2.5 |
| Watches of Switzerland | 2.4 |
| Moonpig Group | 2.3 |
| Ergomed | 2.1 |
| CVS Group | 2.1 |
| Pets at Home | 2.1 |
Commenting on the markets, Dan Whitestone, representing the Investment Manager noted:
The Company returned 10.9%1 in April, outperforming its benchmark the Numis Smaller Companies plus AIM (excluding Investment Companies) Index, which returned 5.9%1, with outperformance during the month being driven by the long book.
Stock markets rose again in April and the major thematic issue in the month was the ongoing debate about rising inflation and the impact on interest rates. There were various verbal interventions by national monetary policy figures on topics of exchange rates and the need (or not) for rate rises soon, but there has been no clear statement to change the consensus view that rates will not rise soon. April also saw the start of the quarterly reporting season which provided some clarity over trading conditions for many industries. Judged by corporate earnings, the economic recovery is doing well, and the majority of results were strong across a broad array of industries. Most of the top contributors in the month were from holdings that reported strong results with upgrades to outer year forecasts reflecting a more positive outlook, and the shares subsequently moved higher. Overall though the general pattern was of strong trading with good growth even for those who grew very fast in 2020, and so the higher share prices now are justified by the higher profits than had been expected a year ago.
The largest positive contributor during the month was sustainable focused fund manager, Impax Asset Management, which rose after the company reported another quarter of strong growth in assets under management. The company’s AUM grew to £30bn as at the end of March, an increase of 19% during the quarter, and this growth looks well set to continue given the strength of their franchise, market leading investment performance and the structural growth and interest in sustainability which underpins the company’s investment philosophy. Shares in Ergomed moved higher after the company announced its expansion into Japan, the fourth largest pharmaceuticals market in the world, a positive step in their expansion into a global leading international pharmaceutical services specialist. Grafton, the building materials and DIY retailer, reported an impressive start to the year with growth ahead of consensus, driving 15-20% upgrades to profit forecasts.
Detractors during the month were limited, and of the largest five detractors only one was a share that we own, with the others being companies not held within the portfolio that rebounded from recent weakness. The largest detractor the we hold was Spectris, which reported a strong first quarter update, but saw its shares weaken on profit taking.
Ultimately, April was a very strong month for the Company, and a month that we’ve felt for some time was coming. The reporting season has generally been very strong for our long book holdings which gives confidence that they are doing the right things and over time we expect higher revenues, profits and share prices. Whilst we’ve outlined the top three contributors to performance, there are many shares that we could discuss that have driven performance this month on the back of positive updates such as Oxford Instruments, CVS Group, and Electrocomponents.
Our outlook is still very positive that 2021 is the first full year of a new economic cycle that will see rapid industry change and that there are huge opportunities in emerging companies. We therefore continue to operate a net exposure of around 120% and we are making sure we work hard to capture any new opportunities and monetise our existing ideas. We thank shareholders for their support.
1Source: BlackRock as at 30 April 2021
11 May 2021
ENDS
Latest information is available by typing www.blackrock.com/uk/thrg 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.