BlackRock Throgmorton Trust Plc - Portfolio Update

BLACKROCK THROGMORTON TRUST PLC (LEI: 5493003B7ETS1JEDPF59)
 

All information is at 31 May 2017 and unaudited.
Performance at month end is calculated on a cum income basis

	One Month %	Three months %	One year %	Three years %	Five years %
Net asset value	4.0	15.2	35.1	63.4	162.8
Share price	7.6	14.3	34.0	58.4	172.6
Benchmark*	2.7	9.6	23.9	34.6	106.4

Sources: BlackRock and Datastream

*With effect from 1 December 2013 the Numis Smaller Companies excluding AIM (excluding Investment Companies) Index replaced the Numis Smaller Companies plus AIM (excluding Investment Companies) Index as the Company’s benchmark. The five year period indices have been blended to reflect this.

At month end
Net asset value capital only:	516.29p
Net asset value incl. income:	521.72p
Share price	436.00p
Discount to cum income NAV	16.4%
Net yield1:	1.7%
Total Gross assets2:	£383.3m
Net market exposure as a % of net asset value5:	111.2%
Ordinary shares in issue3:	73,130,326
2016 ongoing charges (excluding performance fees4:	1.1%
2016 ongoing charges ratio (including performance fees):	1.3%

1. Calculated using 2016 interim and final dividends paid on 19 August 2016 and 29 March 2017.

2. Includes current year revenue and excludes gross exposure through contracts for difference.

3. Excluding 7,400,000 shares held in treasury.

4. Calculated as a percentage of average net assets and using expenses, excluding performance fees and interest costs for the year ended 30 November 2016.

5. Long positions less short positions as a percentage of net asset value.

Sector Weightings			% of Total Assets
Industrials			29.7
Consumer Services			22.2
Financials			15.2
Consumer Goods			12.9
Basic Materials			7.5
Health Care			5.1
Technology			3.9
Oil & Gas			2.5
Net current assets			1.0
			-----
Total			100.0
			=====
Market Exposure (Quarterly)
	31.08.16 %	30.11.16 %		28.02.17 %	31.05.17 %
Long	114.3	116.9		121.4	117.3
Short	8.3	8.5		6.7	6.1
Gross exposure	122.6	125.4		128.1	123.4
Net exposure	106.0	108.4		114.7	111.2

   

Ten Largest Investments
Company	% of Total Gross Assets
CVS Group	3.4
Dechra Pharmaceuticals	2.8
4imprint Group	2.4
JD Sports Fashion	2.4
Cineworld Group	2.3
Ascential	1.9
Hill & Smith	1.9
Big Yellow	1.9
Ibstock	1.9
Bellway	1.9

Commenting on the markets, Mike Prentis and Dan Whitestone, representing the Investment Manager noted:

During May the Company’s NAV per share rose by 4.0% to 521.7p on a cum income basis whilst our benchmark index (Numis Smaller Companies excluding AIM (excluding Investment Companies) Index) rose by 2.7%; the FTSE 100 Index rose by 4.9%.

Outperformance during the month was predominantly driven by good stock selection, however sector allocation also contributed positively.

Colour cosmetics company Warpaint reported a 24% increase in 2016 earnings and announced a maiden final dividend of 1.5p. The shares have performed well since IPO and the outlook for the company remains strong. Specialty tape manufacturer Scapa’s full year results confirmed pre-tax profits had more than doubled while management also commented on their confidence for further growth in both the healthcare and industrial divisions. Morgan Sindall saw further broker upgrades after the AGM statement showed continued strong trading across the group with better than expected Fit Out activity and a stronger cash profile expected for the full year. Elsewhere our holdings in Dechra Pharmaceuticals, CVS Group and Advanced Medical Solutions were all positive contributors, benefitting from the outperformance of more defensive areas of the market during the month.

There were no major individual stock detractors from relative performance during the month. The largest detractors included our holdings in mining companies as the sector underperformed on the back of commodity price weakness.

Activity during May included a new purchase in Gear4Music after good meeting with management, and adding to our holding in Countryside Properties.

Performance within the long/short portfolio added 0.5% during the month, with long positions contributing positively, whilst shorts were a modest detractor. Long contributors included common positions also held in the long only portfolio, Scapa, Dechra Pharmaceuticals and CVS Group, and also strong contributions from holdings unique to the long/short portfolio such as Just Eat, Sophos and ASOS. The short book in aggregate detracted, impacted by the rising market which saw several our positions grind higher, notably within our domestic shorts, where we believe the risks are increasing from rising inflation and falling wage growth impacting demand, and building cost pressures within many consumer facing business models.

19 June 2017

ENDS

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

Copyright e 19 PR Newswire