BlackRock Commodities Income Investment Trust Plc - Portfolio Update

BLACKROCK COMMODITIES INCOME INVESTMENT TRUST plc (LEI:54930040ALEAVPMMDC31)

All information is at 31 October 2017 and unaudited.

Performance at month end with net income reinvested

One

Three

Six

One

Three

Five

Month

Months

Months

Year

Years

Years

Net asset value

2.1%

3.6%

5.5%

1.5%

1.8%

-9.8%

Share price

3.1%

5.9%

2.9%

-4.2%

-5.7%

-17.1%

Sources: Datastream, BlackRock

At month end

Net asset value – capital only:

76.77p

Net asset value cum income*:

78.20p

Share price:

74.25p

Discount to NAV (cum income):

5.1%

Net yield:

5.4%

Gearing - cum income:

9.6%

Total assets^:

£100.9m

Ordinary shares in issue:

118,768,000

Gearing range (as a % of net assets):

0-20%

Ongoing charges**:

1.4%

* Includes net revenue of 1.43p. ^ Includes current year revenue. ** Calculated as a percentage of average net assets and using expenses, excluding any interest costs and excluding taxation for the year ended 30 November 2016.

Sector Analysis

% Total Assets

Country Analysis

% Total Assets

Diversified Mining

29.4

Global

57.3

Integrated Oil

22.4

Canada

13.4

Exploration & Production

15.8

USA

13.0

Gold

9.5

Australia

5.6

Copper

9.1

Latin America

5.0

Distribution

4.2

Europe

3.1

Silver

2.6

Africa

1.9

Oil Sands

1.8

Mali

1.4

Industrial Minerals

1.6

Asia

0.2

Oil Services

1.4

Net current liabilities

(0.9)

Steel

1.4

-----

Industrial Resources

1.1

100.0

Diamonds

0.6

=====

Net current liabilities

(0.9)

-----

100.0

=====

Ten Largest Investments

Company

Region of Risk

% Total Assets

First Quantum Minerals

Global

7.9

BHP

Global

6.7

Rio Tinto

Global

6.7

Royal Dutch Shell ‘B’

Global

6.0

Glencore

Global

5.5

Chevron

Global

4.5

Exxon Mobil

Global

4.0

Anadarko Petroleum

USA

3.5

BP

Global

3.1

Vale - ADS

Latin America

3.0

Commenting on the markets, Olivia Markham and Tom Holl, representing the Investment Manager noted:

The Company’s NAV increased by 2.1% during the month of October (in GBP terms). The performance of the energy and mining sectors were broadly positive during the month.  The energy sector was supported by an improvement in oil prices, which continued to strengthen in October with Brent and West Texas International (WTI) finishing the month +7.6% and +5.2% higher at $61/bbl and $54/bbl respectively. The spread between Brent and WTI widened during the month primarily due to increased geo-political tensions in the Middle East, as relations between the Iraqi central government and the Kurdistan region continued to deteriorate. Whilst higher oil prices provided a constructive backdrop, the energy equities did not deliver the same level of upside, as investors appeared to question whether the current price level is sustainable. For the mining sector, mined commodity performance was generally positive. Base metals performed strongly during the month, with nickel, zinc, copper and aluminium increasing by +17.7%, +3.6%, +6.0% and +3.0% respectively.  On the other hand, bulk commodities came under moderate pressure with the price of iron ore falling modestly by 1.1%. The 19th National Congress of the Communist Party of China took place during the month. Key takeaways for us included the fact that the outlook for China’s economy remains robust and the Leadership have a clear plan; tackling pollution remains a key priority and supply side reforms are likely to continue. Elsewhere in the mining space, London Metal Exchange week, the largest annual meeting of mined commodity producers and consumers, also took place at the end of the month.  Electric vehicles and battery materials emerged as the key theme, with lithium, cobalt and nickel being the main metals of focus.  This positive sentiment saw a rally in the volume of nickel traded in both London and Shanghai, with the price of nickel gaining +17.7% over the month. All data points in US dollar terms unless otherwise specified. Commodity price moves sourced from Thomson Reuters Datastream.

ENDS

Latest information is available by typing www.blackrock.co.uk/brci 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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