29th Feb 2016 17:27
LONDON (Alliance News) - BlackRock World Mining Trust PLC on Monday said its net asset value per share declined in 2015 during a tough period for commodity markets.
The trust said its NAV per share at December 31, 2015 was 212.83 pence, a 40% decline on 352.35p at end-2014, or a 35% decline with income reinvested. Its benchmark the Euromoney Global Mining Index's NAV per share fell by 37% to 255.94p from 405.41p.
BlackRock said commodity markets faced continuing challenges from a combination of slowing global economic growth and oversupply, placing substantial downward pressure on many commodities. Movements in the US dollar and the collapse of the oil price also intensified the pressure, BlackRock added.
"The outlook for commodity prices remains subdued. A stronger US dollar, lower oil prices and continued low growth inflation, all of which have weighed on commodities over the last year, are likely to remain headwinds for performance in 2016," the company said in a statement.
Shares in BlackRock closed up 2.4% at 201.00 pence on Monday.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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