BLACKROCK LATIN AMERICAN INVESTMENT TRUST PLC All information is at 31 July 2013 and unaudited. Performance at month end with net income reinvested One Three One Three Five ^^^Since month months year years years 31.03.06 Sterling: Net asset value^ -0.4% -14.2% -2.4% -15.6% 7.0% 68.6% Net asset value^^ -0.4% -14.3% -2.8% -13.1% 6.1% 67.1% Share price -0.6% -16.6% -7.9% -21.1% -1.8% 54.9% MSCI EM Latin America -1.0% -13.9% -5.9% -11.9% 11.1% 81.7% US Dollars: Net asset value^ -0.4% -16.4% -5.5% -18.3% -18.1% 47.4% Net asset value^^ -0.4% -16.6% -5.9% -15.8% -18.8% 46.1% MSCI EM Latin America -1.0% -16.1% -8.9% -14.7% -15.0% 58.8% ^cum income - bond at par ^^cum income - bond at fair value since 15 September 2009 ^^^Date which BlackRock took over the investment management of the Company. Sources: BlackRock, Standard & Poor's Micropal At month end Net asset value - capital only and with bond at par value~: 518.38p Net asset value - cum income and with bond at par value~: 528.87p Net asset value - capital only and with bond at fair value~~: 512.42p Net asset value - cum income and with bond at fair value~~: 522.90p Net asset value - capital with bond converted~~~: 512.42p Net asset value - cum income and with bond converted~~~: 522.90p Share price: 462.00p Total Assets#: £250.16m Discount(share price to cum income NAV with bond at fair value*): 11.6% Average discount* over the month - cum income: 10.3% Gearing at month end**: 8.3% Gearing range (as a % of net assets): 0-25% Net yield: 4.2% Ordinary shares in issue***: 39,361,585 ~Par value refers to the par-value of the convertible bond which is also the amount repayable to holders on the maturity of the bond. ~~Fair value refers to the price at which the bond is currently traded in the market. The variance in the NAV performance using these different methods to value the bond is to illustrate the effects of dilution should the bond be converted. ~~~Where the current Net Asset Value (including income) in US dollar terms with bond at fair value exceeds the conversion price of US$9.83 for the convertible bond, the Net Asset Value is shown on a fully diluted basis, reflecting the impact of converting the bond at a lower value. Where the current Net Asset Value (including income) in US dollar terms with bond at fair value does not exceed the conversion price, the Net Asset Value will be the same as that without the conversion of the bond. #Total assets include current year revenue. *The Discount is calculated based on the methodology for calculation of the Net Asset Value (expressed in sterling terms) as set out in the preceding statement **Gearing is calculated using debt at par, less cash and cash equivalents and fixed interest investments as a percentage of net assets. ***Excluding 2,212,662 shares held in treasury. Geographic Regional Exposure % % of Total Equity MSCI EM Latin Assets Portfolio* American Index Brazil 56.8 63.1 55.1 Mexico 23.6 26.2 28.0 Chile 3.2 3.6 8.7 Colombia 2.8 3.1 6.1 Peru 2.2 2.4 2.1 Panama 1.4 1.6 0.0 Net current assets (inc.Fixed interest) 10.0 0.0 0.0 ----- ----- ----- Total 100.0 100.0 100.0 ----- ----- ----- *excluding net current assets & fixed interest Ten Largest Equity Investments (in percentage order) Company Country of Risk % of equity portfolio % of benchmark Itau Unibanco Brazil 6.5 4.5 Vale Brazil 5.2 5.8 FEMSA Mexico 4.4 2.7 CCR Brazil 4.2 1.0 Grupo Televisa Mexico 4.0 2.0 BM & F Bovespa Brazil 3.6 1.4 Brasil Foods Brazil 3.4 1.4 America Movil Mexico 3.3 5.7 Banco Bradesco Brazil 3.2 4.8 BB Seguridade Brazil 2.9 0.7 Commenting on the markets, Will Landers, representing the investment Manager noted; Summary of Performance over the period For the month of July 2013, the Company's NAV fell by 0.4% (NAV at Fair Value) while the share price fell by 0.6% (all in sterling terms). The Company's benchmark, the MSCI EM Latin America Free Index fell by 1.0%. Fund Manager's Commentary Positive contributions to performance stemmed primarily from an underweight to Chile and stock selection in Mexico. In Mexico, positive contributions came from overweight positions in Televisa and Banorte. Pacific Rubiales, Copa Holdings and not owning Latam Airlines also contributed positively during the month. Weighing on performance was an underweight to Colombia. The largest individual detractors were names we didn't own - Ecopetrol and Grupo Mexico. Of the names we held, Minerva and Vale weighed on performance. Net gearing was 8.3% at the end of July (including bonds as cash). During the month we rotated some Brazilian bank exposure from Bradesco to Itau and increased exposure to Cemex and BB Seguridade. We initiated positions in Gerdau (Brazilian steel), Hypermarcas (Brazilian retailer) and Grana Y Montero (Peruvian construction). These moves were partially funded by reducing exposure to Petrobras and BM&F Bovespa and exiting Soquimich and Qualicorp. The portfolio is overweight Brazil where we prefer domestic related stocks versus global cyclical stocks with a continued focus on select banks, consumer discretionary and infrastructure names. The Brazilian economic recovery has been weaker than expected, with inflation remaining at the high end of the target range - the successful auctioning of infrastructure projects will be key for improved growth prospects as we head into 2014. Valuations in Mexico remain among the highest in the emerging world, but the potential for progress on the reform agenda during the second half of 2013 keeps us cautiously optimistic on the prospects for Mexico for the remainder of the year. The underweight to the Andean region is based on our ongoing concerns regarding expensive valuations and lower liquidity. 16 August 2013 ENDS Latest information is available by typing www.brla.co.uk 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. END -0- Aug/16/2013 14:59 GMT
BLACKROCK LATIN AMERICAN INVESTMENT TRUST PLC: Portfolio Update
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