BlackRock Frontiers Investment Trust Plc - Portfolio Update
All information is at
Performance at month end with net income reinvested.
One Three One Three Five Since
month months year years
years Launch*
% % % %
% %
Sterling:
Share price 2.4 -6.1 28.3 63.8 102.3 248.2
Net asset value 1.6 -5.6 21.3 44.0 81.2 241.0
Benchmark (NR)** 1.2 -2.7 19.7 29.4 47.5 127.7
MSCI Frontiers Index (NR) 1.4 2.9 41.8 75.9 63.5 181.7
80.2
MSCI Emerging Markets Index (NR) 10.6 9.1 54.4 53.0 164.1
US Dollars:
Share price 1.6 -5.8 28.2 78.2 92.5 202.6
Net asset value 0.8 -5.4 21.2 56.6 72.4 195.8
Benchmark (NR)** 0.4 -2.4 19.7 40.7 39.8 98.3
MSCI Frontiers Index (NR) 0.6 3.2 41.8 91.3 55.1 143.5
MSCI Emerging Markets Index (NR) 9.7 9.4 54.3 96.0 45.5 128.3
Sources:
*
** The Company’s benchmark changed to MSCI Frontier + Emerging ex Selected Countries Index (net total return, USD) effective 1/4/2018.
At month end US Dollar Net asset value - capital only: 245.36c Net asset value - cum income: 253.91c Sterling: Net asset value - capital only: 182.03p Net asset value - cum income: 188.37p Share price: 193.50p Total assets (including income): £310.2m Premium to cum-income NAV: 2.72% Gearing: Nil Gearing range (as a % of gross assets): 0-20% Net yield*: 3.9% Ordinary shares in issue**: 164,666,520 Ongoing charges***: 1.42% Ongoing charges plus taxation and performance fee****: 2.87%
*The Company’s yield based on dividends announced in the last 12 months as at the date of this announcement is 3.9% and includes the 2026 interim dividend of
** Excluding 77,156,281 ordinary shares held in treasury.
*** The Company’s ongoing charges are calculated as a percentage of average daily net assets and using the management fee and all other operating expenses and including performance fees but excluding finance costs, direct transaction costs, custody transaction charges, VAT recovered, taxation and certain non-recurring items for Year ended
Sector Gross market value Country Gross market value as
Analysis as a % of net Analysis a % of net assets*
assets*
Financials 52.4 Saudi Arabia 13.3
Energy 9.6 United Arab Emirates 13.1
Real Estate 8.2 Kazakhstan 10.6
Communication 8.0 Poland 6.7
Services
Consumer 6.1 Egypt 6.6
Discretionary
Industrials 4.7 Indonesia 6.1
Materials 4.7 Thailand 6.0
Consumer Staples 4.0 Kenya 5.3
Utilities 1.6 Hungary 4.3
Health Care 1.5 Pakistan 4.1
Information 1.1 Georgia 4.0
Technology
----- Vietnam 3.9
101.9 Bangladesh 3.8
----- Philippines 3.1
Short Positions -2.1 Argentina 2.5
===== Greece 2.3
Uzbekistan 1.8
Multi-International 1.3
Nigeria 1.3
Chile 1.3
Turkey 0.5
-----
101.9
-----
Short Positions -2.1
=====
*reflects gross market exposure from contracts for difference (CFDs).
Market Exposure
30.06 31.07 31.08 30.09 31.10 30.11 31.12 31.01 28.02 31.03 30.04 31.05
2025 2026 2026 2026 2026 2026
2025 2025 2025 2025 2025 2025
% % % % % %
% % % % % %
Long 121.2 113.0 114.3 112.2 114.0 110.5 110.9 116.7 121.3 106.7 103.6 101.9
Short 3.4 2.5 2.4 1.7 1.6 1.5 1.9 1.8 2.0 1.6 2.1 2.1
Gross 124.6 115.5 116.7 113.9 115.6 112.0 112.8 118.5 123.3 108.3 105.7 104.0
Net 117.8 110.5 111.9 110.5 112.4 109.0 109.0 114.9 119.3 105.1 101.5 99.8
Ten Largest Investments
Company Country of Risk Gross market value as a % of
net assets
Kaspi.Kz JCS Kazakhstan 4.8
Bank Pekao Poland 4.6
OTP Bank Hungary 4.3
Halyk Savings Bank Kazakhstan 4.1
TBC Bank Group Plc Georgia 4.0
Etihad Etisalat Saudi Arabia 3.7
Equity Group Kenya 3.4
Commercial International Bank Egypt 3.4
Emaar Properties United Arab Emirates 3.1
ADES Holdings Saudi Arabia 3.0
Commenting on the markets,
The Company’s NAV returned +0.8% in May, outperforming the MSCI Frontier + Emerging ex Selected Countries Index (“Benchmark Index”), which returned +0.4%. For reference, the MSCI Emerging Markets Index returned +9.7% while the MSCI Frontier Markets Index returned +0.6% over the same period. All performance figures are on a US Dollar basis with net income reinvested.
Within our universe,
Stock selection across a variety of countries and sectors did well in May. Argentina’s state-controlled oil and gas company YPF (+17.3%) was the largest contributor to returns. The stock rallied after a Q1 earnings beat, driven by strong shale production growth from the Vaca Muerta fields, and continued progress on the Vaca Muerta Sur oil export pipeline - a key piece of infrastructure needed to unlock
On the flipside,
We made few changes over the month. We exited Turkish bank Akbank on concerns that elevated oil prices could pressure
Looking ahead, we remain constructive on the outlook for smaller emerging and frontier markets. Valuations across our investment universe remain attractive, both in absolute and relative terms. Many of these markets are still under-researched, and we believe this creates fertile ground for finding high-conviction, alpha-generating opportunities.
Sources:
1
2
MSCI as at
ENDS
Latest information is available by typing www.blackrock.com/uk/brfi 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 BlackRock’s website (or any other website) is incorporated into, or forms part of, this announcement.
Release
