All information is at 30 September 2013 and unaudited. 
Performance of ordinary share portfolio at month end with net income reinvested 
                              One      Three      Six      One   Since 
                            month     months   months     year  launch*
Share price                      0.9%       6.3%     8.7%    43.2%   19.7%
Net asset value                 -1.4%       2.0%     7.3%    31.2%   16.0%
MSCI Frontiers Index (NR)       -1.2%      -0.4%     2.4%    21.4%    2.4%
MSCI EM Markets (NR)             1.7%      -0.9%    -8.8%     0.7%   -8.0%
US Dollars:
Net asset value                  3.2%       8.9%    14.5%    31.6%   20.6%
MSCI Frontiers Index (NR)        3.4%       6.3%     9.2%    21.8%    6.3%
MSCI EM Markets (NR)             6.5%       5.8%    -2.8%     1.0%   -4.4% 
Sources: BlackRock and Standard & Poor's Micropal
* 17 December 2010. 
At month end
Ordinary Shares
US Dollar:
Net asset value - capital only:               169.00c
Net asset value - cum income:                 169.52c
Net asset value - capital only:               104.36p
Net asset value - cum income:                 104.68p
Share price:                                  110.00p
Total assets (including income):              £157.7m
Premium to cum-income NAV:                       5.1%
Gearing:                                          nil
Gearing range (as a % of gross assets):         0-20%
Net yield*:                                      4.6%
Ordinary shares in issue**:               150,621,621 
*Yield calculations are based on dividends announced in the last 12 months as
at the date of the release of this announcement, including the 2012 final
dividend per share of 2.60 cents per share (1.64557 pence per share) announced
on 30 November 2012, the 2013 interim dividend of 2.00 cents per share and the
special interim dividend of 3.40 cents per share announced on 30 May 2013,
payable to shareholders on 5 July 2013. The interim and special dividends
announced on 30 May 2013 that total 5.40 cents per share (3.45003 pence per
share) are the total dividends for the financial year ending 30 September 2013.
The special dividend represents the final dividend which is normally paid in
March each year.  Therefore, a more accurate indication of the projected yield
for the financial year to 30 September 2013 would be 3.1% (based on the latest
available share price as at the date of this announcement of 110.00 pence per
share). The Board does not currently anticipate any further distributions for
the current financial year.
**Includes 55,855,354 shares arising from the conversion of C shares into
ordinary shares on 25 September 2013. 
Sector Analysis   Gross assets(%)*         Country Analysis  Gross assets(%)* 
Financials              32.4               Saudi Arabia               12.0
Consumer Staples        14.8               Nigeria                    11.4
Energy                  13.1               United Arab Emirates       11.3
Telecommunication       11.8               Qatar                      11.2
Healthcare               9.4               Bangladesh                  6.5
Industrials              7.8               Kazakhstan                  5.8
Materials                5.8               Kuwait                      5.0
Consumer Discretionary   2.2               Iraq                        4.6
Utilities                1.5               Ukraine                     3.6 
                    ----               Oman                        3.5
Total                   98.8               Vietnam                     3.5 
                    ----               Pakistan                    3.4
Short positions         -1.4               Sri Lanka                   3.1 

                        ====               Turkmenistan                3.0
                                           Slovenia                    2.2
                                           Panama                      2.2
                                           Pan Africa                  2.1
                                           Kyrgyzstan                  1.4
                                           Croatia                     1.4
                                           Other                       1.6
                                           Short positions            -1.4

*reflects gross market exposure from contracts for difference (CFDs) 
Market Exposure 
      31.10 30.11 31.12 31.01 28.02 31.03 30.04 31.05 30.06 31.07 31.08  
       2012  2012  2012  2013  2013  2013  2013  2013  2013  2013  2013  
          %     %     %     %     %     %     %     %     %     %     %     
Long      101.0 102.0 103.4 105.1 104.1  99.5  99.2  99.8  95.9 103.2  98.9  
Short       4.2   4.9   5.2   3.5   1.2   1.2   1.2   1.1   2.5  3.0    3.3   
Gross     105.2 106.9 108.6 108.6 105.3 100.7 100.4 100.9  98.4 106.2 102.2 
Net        96.8  97.1  98.2 101.6 102.9  98.3  98.0  98.7  93.4 100.2  95.6  
Ten Largest Equity Investments 
Company                              Country of Risk          % of gross assets 
Zenith Bank                          Nigeria                       4.7%
Emaar Properties                     United Arab Emirates          4.0%
Doha Bank                            Qatar                         3.9%
Halyk Savings Bank                   Kazakhstan                    3.3%
Dragon Oil                           Turkmenistan                  3.1%
Abdullah Al Othaim                   Saudi Arabia                  3.0%
Square Pharmaceutical                Bangladesh                    3.0%
Qatar National Bank                  Qatar                         3.0%
Qatar Gas Transportation             Qatar                         3.0%
Mobile Telecommunication             Kuwait                        2.8% 
Commenting on the markets, Sam Vecht, representing the Investment Manager
Market overview 
The MSCI Frontier Market Index returned 3.4% in September.  Frontier Markets
underperformed mainstream Emerging Markets which rose strongly, 6.5%, on the
decision of the US Federal Reserve to postpone the tapering of its Quantitative
Easing ("QE") Program.  Despite the initial optimism, we would contend that QE
does little to address Emerging Markets economic imbalance and that Frontier
Countries generally remain better positioned. (All calculations on a US Dollar
basis with net income reinvested.) 
Argentina was amongst the best performing Frontier Markets in September. 
Investors became increasingly hopeful of a change in macroeconomic policy
occurring after the government incurred a poor result in the August primaries. 
The increase in soya prices also provided relief to the beleaguered economy.  
The United Arab Emirates continued to perform well ahead of the upgrade to
Emerging Markets status in June 2014.  Economic data continues to show
improvement as Dubai's export-orientated service sector recovers in tandem with
infrastructure spending in Abu Dhabi. 
Ukraine was one of the weaker performers over the month. This was driven by
concerns over the level of sovereign debt, which placed additional pressure on
the currency and equity markets. 
Bangladesh also underperformed as protestors calling for increases in the
minimum wage clashed with police, weighing on sentiment. 
Portfolio overview 
The Company's NAV per share returned 3.2% in September, slightly
underperforming the MSCI Frontier Market Index. Over the previous 12 months the
Company has returned 31.6%, outperforming the benchmark by 9.8% (all
calculations on a US Dollar Basis with net income reinvested). 
The strongest performers over the month included the positions in Saudi Arabia.
The strongest individual performer was car hire firm, United International
Transport (also known as Budget Saudi Arabia). The team recently met with the
impressive senior management of the company who communicated a strong business
Iraqi focused oil E&P company, Gulf Keystone also performed well over the
month. The stock rose 15% on the news that the company's dispute with its
former advisers and been resolved in its favour.  We remain convinced that the
Kurdistan Region of Iraq is one of the most prospective oil regions in the
Kazakh energy company, Kazmunaigas was the largest individual detractor from
relative performance in September. Production at Kazakhstan's giant Kashagan
offshore oilfield was halted two weeks after its launch. However, the company
does not expect that the start of commercial output to be significantly
Portfolio Activity 
We initiated a new position in Baltic ferry and cruise ship operator, Tallink.
The region is emerging from the effects of the European debt crisis and with a
free cash flow yield of 18%, the company has the ability to pay down debt and
fund healthy dividend payouts over time. 
We sold the position in Cambodian casino operator, Nagacorp. The decision to
take profits in the position was driven by the announcement of a new casino
project, which will require at least $350m of investment. Precise details of
the project have yet to be announced but the casino-resort venture on the
outskirts of the Russian port city of Vladivostock, a country in which the
company has no prior experience, will take several years to bear fruit.         
Market Outlook 
Frontier Market valuations remain attractive both in absolute terms and
relative to mainstream Emerging Markets. Companies operating very profitably in
Sub-Saharan Africa, Asia and the Middle East offer exposure to some of the
fastest growing markets globally yet are trading on valuations of under 10
times the price to earnings ratio supported by high dividend yields.  
More than 2 billion people live in Frontier Market countries but until now they
have attracted little investor attention. With their strong GDP growth,
positive demographic profile, low debt burden and relatively low correlation to
developed and emerging markets, we think frontier markets are a great place to
invest for those who have both a long term horizon and wish to see capital and
income growth.  In a changing world, we believe that opportunities abound for
unconventional investors. 
15 October 2013 
Latest information is available by typing 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- Oct/15/2013 14:27 GMT
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