12th Oct 2015 16:04
BLACKROCK EMERGING EUROPE PLC - Portfolio UpdateBLACKROCK EMERGING EUROPE PLC - Portfolio Update
PR Newswire
London, October 9
| BLACKROCK EMERGING EUROPE PLC |
| All information is at 30 September 2015 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 | 0.2% | -12.5% | -20.4% | -26.8% | -33.8% | 26.0% | ||||||||||||
| Net asset value | -3.3% | -11.4% | -18.4% | -24.2% | -31.6% | 28.1% | ||||||||||||
| MSCI EM Europe | -2.8% | -12.1% | -23.0% | -30.6% | -34.8% | 11.8% | ||||||||||||
| 10/40(NR) | ||||||||||||||||||
| US Dollars: | ||||||||||||||||||
| Share price | -1.3% | -15.7% | -25.7% | -31.3% | -36.3% | 28.9% | ||||||||||||
| Net asset value | -4.6% | -14.7% | -23.8% | -28.9% | -34.2% | 31.0% | ||||||||||||
| MSCI EM Europe | -4.3% | -15.3% | -28.0% | -34.9% | -37.3% | 14.3% | ||||||||||||
| 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 | ||||||||||||||||||
| Net asset value – capital only: | 208.41p | |||||||||||||||||
| Net asset value** – cum income: | 210.30p | |||||||||||||||||
| Share price: | 183.50p | |||||||||||||||||
| Total assets^: | £81.8m | |||||||||||||||||
| Discount (share price to cum income NAV): | 12.7% | |||||||||||||||||
| Gross market exposure^^^: | 105.0% | |||||||||||||||||
| Gearing at month end: | 1.9% | |||||||||||||||||
| Gearing range as a % of Net assets: | 0-20% | |||||||||||||||||
| Issued Capital – Ordinary Shares^^ | 36,242,928 | |||||||||||||||||
| Ongoing charges* | 1.3% | |||||||||||||||||
| * Calculated as at 31 January 2015, in accordance with AIC guidelines. | ||||||||||||||||||
| ** Includes year to date net revenue equal to 1.89 pence per share. | ||||||||||||||||||
| ^ Total assets include current year revenue. | ||||||||||||||||||
| ^^ Excluding 5,400,000 shares held in treasury. | ||||||||||||||||||
| ^^^ Long positions plus short positions as a percentage of net asset value. | ||||||||||||||||||
| Sector | % Total | Country | % Total | |||||||||||||||
| Analysis | Exposure | Analysis | Exposure | |||||||||||||||
| Financials | 39.0 | Russia | 55.5 | |||||||||||||||
| Energy | 28.1 | Turkey | 19.5 | |||||||||||||||
| Information Technology | 10.3 | Poland | 10.3 | |||||||||||||||
| Consumer Staples | 9.5 | Greece | 5.6 | |||||||||||||||
| Telecommunications | 4.5 | Romania | 4.2 | |||||||||||||||
| Industrials | 3.9 | Ukraine | 3.7 | |||||||||||||||
| Consumer Discretionary | 3.5 | Kazakhstan | 2.4 | |||||||||||||||
| Basic Material | 3.4 | Lithuania | 1.8 | |||||||||||||||
| Health Care | 0.8 | |||||||||||||||||
| ----- | ----- | |||||||||||||||||
| 103.0 | 103.0 | |||||||||||||||||
| ===== | ===== | |||||||||||||||||
| Short positions | (2.0) | (2.0) | ||||||||||||||||
| Fifteen Largest Investments | ||||||||||||||||||
| (in % order of Total Market Value as at 30.09.15) | ||||||||||||||||||
| Total Market | ||||||||||||||||||
| Company | Region of Risk | Value % | ||||||||||||||||
| Sberbank | Russia | 10.7 | ||||||||||||||||
| LukoilPKO Bank Polski | RussiaPoland | 7.86.9 | ||||||||||||||||
| Halk Bank | Turkey | 6.3 | ||||||||||||||||
| Gazprom | Russia | 6.1 | ||||||||||||||||
| Novatek | Russia | 5.1 | ||||||||||||||||
| Mail.Ru | Russia | 4.4 | ||||||||||||||||
| BRD Groupe Societe Generale - CFD | Romania | 4.2 | ||||||||||||||||
| TSKB | Turkey | 4.0 | ||||||||||||||||
| GlobaltransMHP | RussiaUkraine | 3.93.7 | ||||||||||||||||
| Yandex | Russia | 3.5 | ||||||||||||||||
| KGHM | Poland | 3.4 | ||||||||||||||||
| Coca Cola IcecekMotor Oil | TurkeyGreece | 3.13.0 | ||||||||||||||||
| Commenting on the markets, Sam Vecht and David Reid, representing the Investment Manager noted; | ||||||||||||||||||
| Market Commentary | ||||||||||||||||||
| The MSCI Emerging Europe Index returned -4.3% in September (in USD terms) as concerns over global growth and Chinese policy continued to weigh on markets. | ||||||||||||||||||
| All major markets in the region ended September in negative territory. The best relative performer was Hungary which returned -1.2%. The Hungarian market performance was buoyed by stock specific news flow surrounding pharmaceutical company Gedeon Richter. The company announced the FDA approval of Cariprazine, a new anti-psychotic product that is due to be released to the U.S. market early in 2016 and is a good example of innovative product development originating in the region. | ||||||||||||||||||
| The Czech Republic was the weakest market, falling by 6% in September. In particular electric power utility CEZ was weak during the month. The portfolio has zero exposure to the company which continues to suffer from falling European electricity prices. | ||||||||||||||||||
| Focus On: OPAP | ||||||||||||||||||
| OPAP is a Greek gaming company with exclusive licenses for various lottery and sports betting games. The share price has been impacted by the broader negative sentiment surrounding Greece’s sovereign debt crisis. In the wake of the third bail-out agreement, we have the opportunity to re-visit the fundamental investment case for a number of Greek companies. Following the removal of capital controls and a return to ‘business-as-usual’, OPAP is an attractively valued and cashflow-generative business that could benefit from a return of consumer confidence. In addition the company potentially has a long-term growth option coming from the roll-out of video lottery terminals, if appropriate commercial terms can be agreed with the government. | ||||||||||||||||||
| 12 October 2015 | ||||||||||||||||||
| 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. | ||||||||||||||||||
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