BLACKROCK NORTH
AMERICAN INCOME TRUST plc (LEI: 549300WWOCXSC241W468)
All information is at 30 November
2019 and unaudited.
Performance at month end with net
income reinvested
|
One
Month |
Three
Months |
Six
Months |
One
Year |
Three
Years |
Five
Years |
Net asset value |
3.2% |
1.7% |
10.7% |
10.6% |
27.9% |
81.1% |
Share price |
3.6% |
-0.4% |
11.0% |
12.4% |
36.9% |
98.0% |
Russell 1000 Value
Index |
3.1% |
1.9% |
10.6% |
9.8% |
27.1% |
76.5% |
Source: BlackRock
At month
end |
|
Net asset value –
capital only: |
184.66p |
Net asset value – cum
income: |
185.91p |
Share
price: |
191.25p |
Premium to cum income
NAV: |
2.9% |
Net
yield¹: |
4.2% |
Total assets including
current year
revenue: |
£148.8m |
Gearing: |
Nil |
Options
overwrite: |
14.7% |
Ordinary shares in
issue²: |
80,054,044 |
Ongoing charges³: |
1.1% |
¹ In line with the dividend policy announced in the Annual Report
on 17 December 2018 of dividends
amounting to 8.00p per share for the year ending 31 October 2019 and based on the share price as
at close of business on 29 November
2019.
² Excluding 20,307,261 ordinary shares held in treasury.
³ 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 2018.
Benchmark Sector
Analysis |
Total Assets
(%) |
|
|
Financials |
25.4 |
Health Care |
16.9 |
Energy |
9.2 |
Information Technology |
8.4 |
Industrials |
8.1 |
Consumer Staples |
7.1 |
Communication Services |
6.7 |
Consumer Discretionary |
5.8 |
Utilities |
2.3 |
Materials |
1.4 |
Net current assets |
8.7 |
|
----- |
|
100.0 |
|
===== |
|
|
Country Analysis |
Total Assets
(%) |
|
|
United States |
70.9 |
United Kingdom |
6.2 |
Netherlands |
3.6 |
Ireland |
2.7 |
Germany |
2.6 |
Switzerland |
1.7 |
Japan |
1.3 |
France |
1.2 |
Canada |
0.5 |
Norway |
0.3 |
Denmark |
0.3 |
Net current assets |
8.7 |
|
----- |
|
100.0 |
|
===== |
Ten Largest Investments |
|
|
Company |
Country of
Risk |
Total Assets
(%) |
|
|
|
Verizon Communications |
USA |
4.0 |
JPMorgan Chase |
USA |
3.9 |
Wells Fargo |
USA |
3.6 |
Citigroup |
USA |
3.3 |
Bank of America |
USA |
2.9 |
Medtronic |
Ireland |
2.4 |
Williams Companies |
USA |
2.3 |
Koninklijke Philips |
Netherlands |
2.0 |
BP Group |
United Kingdom |
1.9 |
Anthem |
USA |
1.9 |
Tony
DeSpirito, Franco Tapia and
David Zhao, representing the
Investment Manager, noted:
For the one-month period ended 30
November 2019, the Company’s NAV increased by 3.2% and the
share price by 3.6% (all in sterling). The Company’s benchmark, the
Russell 1000 Value Index, returned 3.1% for the period.
At the sector level, the largest contributor to relative
performance was stock selection in the financials sector. Within
the sector, relative outperformance was generated primarily from
our selection among capital market firms and diversified financial
services firms. Overweight exposure to banks also proved
beneficial. In real estate and utilities, broad underweight
exposure proved beneficial. Within the former, a lack of exposure
to equity real estate investment trusts (‘REITs’) bolstered returns
within the portfolio, and within the latter, muted exposure to
multi-utilities provided a tailwind. Additionally, stock selection
in consumer staples proved additive. Notably, selection decisions
among tobacco companies proved beneficial, as did an underweight to
the household products industry. Lastly, stock selection in the
industrials sector contributed positively to relative results.
The largest detractor from relative performance was a
combination of stock selection and allocation decisions in the
communication services sector. Within the sector, underweight
exposure to the entertainment industry hampered relative results.
In information technology, stock selection in the technology
hardware, storage and peripherals industry weighed on relative
returns. Stock selection in the energy sector also detracted from
relative performance, primarily due to decisions made within the
oil, gas and consumable fuels industry. Lastly, stock selection in
materials, consumer discretionary and health care detracted from
relative returns during the month.
The portfolio’s option overwriting strategy contributed modestly
to performance in November.
Transactions/Options
Transactions: The portfolio did not initiate any new positions
in November. However, we added to existing positions in
Constellation Brands and Fox. Conversely, we exited our position in
Dow. Additionally, we trimmed our existing positions in Sony and
Qualcomm.
Options: As of 30 November
2019, the Company’s options exposure was 14.7% and the delta
of the options was 83.6.
Positioning
As of the period end, the Company’s largest overweight positions
relative to the benchmark were in the health care, information
technology and energy sectors. The Company’s largest underweight
positions relative to the benchmark were in the real estate,
utilities and materials sectors.
Source: BlackRock. Data as of 30 November
2019.
19 December 2019
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.