BLACKROCK NORTH
AMERICAN INCOME TRUST plc (LEI: 549300WWOCXSC241W468)
All information is at 31 October 2017
and unaudited.
Performance at month end with net
income reinvested
|
One
Month |
Three
Months |
Six
Months |
One
Year |
Three
Years |
Since
Launch* |
Net asset value |
2.4% |
2.8% |
4.7% |
11.5% |
56.9% |
105.4% |
Share price |
3.5% |
3.4% |
3.2% |
6.3% |
59.1% |
89.8% |
Russell 1000 Value
Index |
1.8% |
1.8% |
2.7% |
8.3% |
51.7% |
126.0% |
Source: BlackRock
*Launched on 24
October 2012.
At month
end |
|
Net asset value –
capital only: |
170.05p |
Net asset value – cum
income: |
171.75p |
Share
price: |
160.50p |
Discount to cum income
NAV: |
6.6% |
Net
yield*: |
3.1% |
Total assets including
current year
revenue: |
£118.3m |
Gearing: |
Nil |
Options
overwrite: |
15.8% |
Ordinary shares in
issue**: |
68,874,044 |
Ongoing
charges***: |
1.0% |
* Based on dividends of 1.20p per share declared on 21 February 2017 and 1.25p per share declared on
3 May 2017, 8
August 2017 and 2 November
2017.
** Excluding 31,487,261 ordinary shares held in treasury.
*** Ongoing charges represent the management fee and all other
operating expenses excluding interest as a % of average
shareholders’ funds for the year ended 31
October 2016.
Benchmark |
|
Sector Analysis |
Total Assets
(%) |
|
|
Financials |
27.2 |
Health Care |
17.2 |
Energy |
10.9 |
Information Technology |
10.2 |
Industrials |
9.9 |
Consumer Staples |
5.8 |
Utilities |
5.5 |
Materials |
3.6 |
Consumer Discretionary |
3.5 |
Telecommunication Services |
2.3 |
Net current assets |
3.9 |
|
----- |
|
100.0 |
|
===== |
Country Analysis |
Total Assets
(%) |
|
|
USA |
78.7 |
Netherlands |
4.3 |
United Kingdom |
4.1 |
Canada |
3.0 |
France |
2.2 |
Ireland |
2.1 |
Denmark |
0.8 |
South Korea |
0.5 |
China |
0.4 |
Net current assets |
3.9 |
|
----- |
|
100.0 |
|
===== |
Ten Largest Investments |
|
|
Company |
Country of
Risk |
Total Assets
(%) |
|
|
|
JPMorgan Chase |
USA |
4.0 |
Bank of America |
USA |
3.9 |
Citigroup |
USA |
3.7 |
Pfizer |
USA |
3.7 |
Oracle |
USA |
3.1 |
Wells Fargo |
USA |
2.9 |
Anthem |
USA |
2.5 |
DowDuPont |
USA |
2.3 |
Microsoft |
USA |
2.1 |
Suncor Energy |
Canada |
1.9 |
Tony
DeSpirito, Franco Tapia and
David Zhao representing the
Investment Manager, noted:
For the one month period ended 31 October
2017 the Company’s NAV increased by 2.4% while the share
price increased by 3.5% (all in sterling). The Company’s benchmark,
the Russell 1000 Value Index, returned 1.8% for the
period.
The largest contributor to relative performance during the month
was stock selection in the telecommunications sector. Notably, our
decision not to own benchmark holding AT&T Inc. proved to be
beneficial. In consumer staples, stock selection and an underweight
to the food & staples retailing industry and our underweight to
the household products industry also boosted relative returns. A
combination of stock selection and allocation decisions in the
information technology sector and stock selection in health care
and financials also contributed to relative performance during the
month.
The largest detractor from relative performance was the
portfolio’s cash position. Stock selection in utilities also proved
to be costly, most notably due to our overweight to PG&E
Corporation within the electric utilities industry. Lastly, in
consumer discretionary, stock selection in the media industry and
our overweight position in the leisure products industry dampened
relative performance.
Transactions/Options
Transactions: Notable portfolio transactions during the month
included initiating new positions in Novo Nordisk, The Charles
Schwab Corporation and Pioneer Natural Resources Company. Notable
sales during the month included the elimination of our position in
The Coca-Cola Company and trimming our positions in General
Electric Company and Occidental Petroleum Corporation.
Options: As of 31 October
2017 the Company’s options exposure was 15.8% and the delta
of the options was 87.8.
Positioning
As of period end, the Company’s largest overweight positions
relative to the benchmark were in the health care, information
technology and financials sectors. The Company’s largest
underweight positions relative to the benchmark were in the real
estate, consumer discretionary and consumer staples sectors.
Source: BlackRock.
14 November 2017
Latest information is available by typing blackrock.co.uk/brna
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.