BlackRock Latin American Investment Trust Plc - Portfolio Update
The information contained in this release was correct as at
All information is at
Performance at month end with net income reinvested
One Three One Three Five month months year years years % % % % % Sterling: Net asset value^ -5.3 -5.4 -32.1 -29.6 26.4 Share price -1.0 -7.8 -29.4 -26.0 37.2 MSCI EM Latin America -1.7 -5.7 -32.7 -28.9 29.7 (Net Return)^^ US Dollars: Net asset value^ -8.1 -1.0 -28.7 -32.2 7.8 Share price -4.0 -3.5 -25.8 -28.7 17.0 MSCI EM Latin America -5.1 -1.3 -29.4 -31.5 10.7 (Net Return)^^
^^The Company’s performance benchmark (the MSCI EM Latin America Index) may be calculated on either a Gross or a Net return basis. Net return (NR) indices calculate the reinvestment of dividends net of withholding taxes using the tax rates applicable to non-resident institutional investors, and hence give a lower total return than indices where calculations are on a Gross basis (which assumes that no withholding tax is suffered). As the Company is subject to withholding tax rates for the majority of countries in which it invests, the NR basis is felt to be the most accurate, appropriate, consistent and fair comparison for the Company. Historically the benchmark data for the Company has always been stated on a Gross basis. However, as disclosed in the Company’s Interim Report for the six months ended
Sources: BlackRock, Standard & Poor’s Micropal
At month end
Net asset value - capital only: 330.01p Net asset value - including income: 337.55p Share price: 308.50p Total assets#: £143.6m Discount (share price to cum income NAV): 8.6% Average discount* over the month – cum income: 12.6% Net gearing at month end**: 9.9% Gearing range (as a % of net assets): 0-25% Net yield##: 6.2% Ordinary shares in issue(excluding 2,181,662 shares held in 39,259,620 treasury): Ongoing charges***: 1.1%
#Total assets include current year revenue.
##The yield of 6.2% is calculated based on total dividends declared in the last 12 months as at the date of this announcement as set out below (totalling
2019 Q4 Final dividend of
2020 Q1 interim dividend of
2020 Q3 interim dividend of
*The discount is calculated using the cum income NAV (expressed in sterling terms).
**Net cash/net gearing is calculated using debt at par, less cash and cash equivalents and fixed interest investments as a percentage of net assets.
*** Calculated as a percentage of average net assets and using expenses, excluding interest costs for the year ended
Geographic Exposure % of Total Assets % of Equity MSCI EM Latin America Portfolio * Index Brazil 61.7 62.1 63.1 Mexico 26.6 26.7 22.6 Chile 7.6 7.7 7.0 Argentina 3.5 3.5 1.7 Peru 0.0 0.0 3.2 Colombia 0.0 0.0 2.4 Net current assets 0.6 0.0 0.0 (inc. fixed interest) ----- ----- ----- Total 100.0 100.0 100.0 ===== ===== =====
^Total assets for the purposes of these calculations exclude bank overdrafts, and the net current assets figure shown in the table above therefore excludes bank overdrafts equivalent to 10.5% of the Company’s net asset value.
Sector % of Equity Portfolio* % of Benchmark* Materials 22.8 18.1 Financials 20.3 25.0 Consumer Discretionary 17.9 7.8 Consumer Staples 8.3 15.5 Energy 7.4 8.7 Industrials 7.0 7.1 Communication Services 5.7 6.9 Utilities 5.4 6.2 Real Estate 3.7 0.9 Health Care 1.5 2.2 Information Technology 0.0 1.6 ----- ----- Total 100.0 100.0 ===== =====
*excluding net current assets & fixed interest
Country of Risk % of % of Company Equity Portfolio Benchmark Vale - ADS Brazil 8.2 8.4 Petrobras - ADR Brazil 7.4 6.4 Banco Bradesco - ADR Brazil 6.1 4.2 America Movil - ADR Mexico 5.7 4.6 B3 Brazil 4.6 4.4 Walmart de Mexico y Centroamerica Mexico 4.0 2.7 Afya Brazil 3.7 0.0 Ternium Argentina 3.5 0.0 Grupo Mexico Mexico 3.4 1.7 Grupo Financiero Banorte Mexico 3.3 2.0
Commenting on the markets, Ed Kuczma and
For the month of
The Latin American region posted a negative performance over the month. All Latin American countries, with the exception of
Our overweight position in
We initiated a position in Walmart de
The coronavirus and associated COVID-19 disease have spread throughout the world, prompting "social distancing" and often strict government control measures throughout the developed and emerging markets,
1Source: BlackRock, as of
Latest information is available by typing www.blackrock.co.uk/brla 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.