BLACKROCK COMMODITIES INCOME INVESTMENT TRUST PLC: Portfolio Update
BLACKROCK COMMODITIES INCOME INVESTMENT TRUST PLC: Portfolio Update BLACKROCK COMMODITIES INCOME INVESTMENT TRUST PLC
All information is at 31 July 2013 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 6.1% 0.7% -7.6% 1.9% 5.6% -2.2% Share price 8.1% -1.7% -7.9% 3.1% 4.9% 3.8%
Sources: Datastream, BlackRock
At month end Net asset value - capital only: 110.66p Net asset value - cum income**: 111.22p Share price: 112.38p Premium to NAV (cum income): 1.0% Net yield: 5.3% Gearing - cum income: 8.1% Gearing range (as a % of net assets) 0-20% Total assets^^: £113.9m Ordinary shares in issue: 94,758,000
**Includes net revenue of 0.56p. ^^includes current year revenue.
Sector % Total Country % Total Analysis Cap Assets Analysis Cap Assets Integrated Oil 31.9 Global 32.9 Exploration & Production 17.9 USA 21.4 Diversified 16.2 Canada 21.1 Gold 7.0 Latin America 9.8 Copper 6.4 Europe 8.1 Oil Services 5.9 Asia 3.8 Oil Sands 3.1 Australia 1.1 Distribution 2.1 South Africa 0.9 Iron Ore 1.8 China 0.8 Aluminium 1.6 Russia 0.8 Fertilizer 1.4 Africa 0.4 Nickel 1.4 Current liabilities (1.1) Silver 1.0 ----- Uranium 1.0 100.0 Coal 0.8 ===== Tin 0.6 Zinc 0.5 Platinum 0.5 Current liabilities (1.1)
----- 100.0 ===== Ten Largest Equity Investments(in alphabetical order) Company Region of Risk Anadarko Petroleum USA Antofagasta Latin America BHP Billiton Global BP Global Chevron Global Eni Europe ExxonMobil Global Glencore Global Occidental USA Total Global Commenting on the markets, Richard Davis, representing the Investment Manager noted: Economic data was generally positive during the month, providing the impetus for some decent returns in commodity markets. Gold bullion recovered some of its recent losses in July, partly based on the belief that the US Federal Reserve will maintain its current monetary policy for longer than comments from Ben Bernanke initially suggested. The gold price increased by 7.8%, ending the month at $1,310/oz. Holdings in gold ETFs continued to decline and the speculative net length in gold futures remains near a 10 year low. Other precious metals had positive returns in July with silver returning 5.7% and platinum 8.8%. Bulk commodities also rallied in July. Iron ore gained 14% driven by a replenishment of inventories at Chinese steel mills. Iron ore ended the month at US$134/t (source: CSLA, 63.5% Fe). Base metals prices were relatively muted throughout the month with copper and aluminium posting returns of 2.1% and 1.6% respectively. The potash fertiliser industry was shaken during the month by the announcement that Russian potash producer Uralkali was breaking away from the Belorussian Potash Company "marketing organisation". The company plans to increase supply and commented that potash prices could fall significantly in the coming months as a result. This caused potash equities to drop by 10-30% on the day of the announcement. Mining equities rose by 6.7% in July (in Sterling terms). In the energy sector, Brent crude appreciated by 5.3% to finish the month at US$107.9/Bbl. OPEC crude production fell by 370kb/d in June, according to the International Energy Agency, owing to supply disruptions in Libya, Nigeria and Iraq. Libyan oil fields and export terminals have been shut-in following worker disputes and unrest. Iraqi output has suffered from pipeline damage and inclement weather. South Sudan is also reportedly reducing oil production after an agreement between Sudan and South Sudan was reached for oil exports. Landlocked South Sudan possesses the oil, but is beholden to Sudan for its export terminals. Tensions between the two have resulted in oil production from the area falling short of its ~300kb/d normal operating capacity. West Texas Intermediate (WTI) crude outpaced Brent, gaining 9.1%, further narrowing the spread between the benchmark prices. At the end of the month, WTI stood at US$105.1/Bbl, just US$2.8/Bbl below Brent. At the start of the year, WTI traded at a discount of approximately US$20/Bbl. The steady momentum in the US economy, an increase in refinery activity post a maintenance period, and flooding in Canada which reduced the oil flow from the country into America, have all contributed to the narrowing. Energy equities closed the month up by 5.4% (in Sterling terms). All data sourced from Datastream and quoted in US Dollars unless otherwise stated. 16 August 2013 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. -0- Aug/16/2013 13:45 GMT