# BlackRock Energy and Resources Income Trust NAV increased by 17.4% during November

- Link: https://www.directorstalkinterviews.com/blackrock-energy-and-resources-income-trust-nav-increased-by-17.4-during-november/412950311
- Published: 2020-12-24T07:33:18+00:00
- Author: Amilia Stone

**BlackRock Energy and Resources Income Trust plc** ([LON:BERI](https://www.directorstalkinterviews.com/company/blackrock-energy-and-resources-income-trust-plc/beri.l))
has announced its latest protfolio update.

All information is at **30 November 2020** and unaudited.

**For more information on this trust and how to access the opportunities presented
by the energy and resources markets, please visit [www.blackrock.com/uk/beri](https://www.blackrock.com/uk/individual/products/investment-trusts/our-range/blackrock-energy-and-resources-income-trust/trust-information?siteEntryPassthrough=true&cid=aff:investmenttrusts2020:beri:directorstalk:link)**

**Performance at month end with net income reinvested**

| 
| ** | One | Three | Six | One | Three | Five | 
|  | Month | Months | Months | Year | Years | Years |  | 
| Net asset value | 17.4% | 14.6% | 26.6% | 13.9% | 23.2% | 81.3% |  | 
| Share price | 17.2% | 17.5% | 33.8% | 16.0% | 13.5% | 64.2% |

Sources: Datastream, BlackRock

| 
| **At month end** |  |  | 
| Net asset value – capital only: | 79.40p |  | 
| Net asset value cum income*: | 80.78p |  | 
| Share price: | 71.40p |  | 
| Discount to NAV (cum income): | 11.6% |  | 
| Net yield: | 5.6% |  | 
| Gearing – cum income: | 6.4% |  | 
| Total assets: | £97.2m |  | 
| Ordinary shares in issue: | 113,470,349 |  | 
| Gearing range (as a % of net assets): | 0-20% |  | 
| Ongoing charges**: | 1.5% |

* Includes net revenue of 1.38p.
** Calculated as a percentage of average net assets
and using expenses, excluding any interest costs and excluding taxation for the 
year ended 30 November 2019.

| **Sector Overview** |  | 
| Mining | 45.2% | 
| Energy Transition                 | 24.1% | 
| Energy | 31.0% | 
| Net Current Liabilities          |  -0.3% | 
|  | —– | 
|  | 100.0% | 
|  | ===== |

| 
| **Sector Analysis** | **% Total Assets^** |  | **Country Analysis** | **% Total Assets^**  | 
| **Mining:** |  |  |  |  | 
| Diversified | 21.3 |  | Global | 58.8 | 
| Copper | 9.6 |  | USA | 11.6 | 
| Industrial Minerals | 4.7 |  | Latin America | 9.9 | 
| Gold | 3.2 |  | Canada | 7.5 | 
| Iron | 1.6 |  | Australia | 4.2 | 
| Diamonds | 1.6 |  | Germany | 2.2 | 
| Platinum | 1.2 |  | South Africa | 1.8 | 
| Steel | 1.1 |  | Norway | 1.3 | 
| Nickel | 0.9 |  | France | 0.9 | 
| **Subtotal mining:** | **45.2** |  | Ireland | 0.8 | 
|  |  |  | United Kingdom | 0.7 | 
| **Energy:** |  |  | Brazil | 0.4 | 
| Integrated | 19.1 |  | Africa | 0.2 | 
| E&P | 10.0 |  | Other Net Liabilities^ | -0.3 | 
| Distribution | 1.4 |  |  | —– | 
| Oil Services | 0.5 |  |  | 100.00 | 
| **Subtotal Energy:** | **31.0** |  |  | ===== | 
|  |  |  |  |  | 
| **Energy Transition:** |  |  |  |  | 
| Electrification | 10.9 |  |  |  | 
| Energy Efficiency | 7.3 |  |  |  | 
| Renewables | 4.0 |  |  |  | 
| Transport | 1.1 |  |  |  | 
| Storage | 0.8 |  |  |  | 
| **Subtotal Energy Transition:** | **24.1** |  |  |  | 
|  |  |  |  |  | 
| Net Current Liabilities^ | -0.3 |  |  |  | 
|  | —- |  |  |  | 
|  | 100.0 |  |  |  | 
|  | ===== |  |  |  | 
|  |  |  |  |

^ Total Assets for the purposes of these calculations exclude bank overdrafts, and
the net current liabilities figure shown in the tables above therefore exclude bank
overdrafts equivalent to 6.1% of the Company’s net asset value.

**Ten Largest Investments**

| 
| **Company** | **Region of Risk** | **% Total Assets** |  | 
|  |  |  |  | 
| BHP | Global | 6.3 |  | 
| Vale | Latin America | 6.0 |  | 
| Rio Tinto | Global | 5.6 |  | 
| Chevron | Global | 5.2 |  | 
| Petrobras – ADR | Latin America | 3.9 |  | 
| Freeport-McMoran | USA | 3.7 |  | 
| Anglo American | Global | 3.4 |  | 
| First Quantum Minerals* | Global | 3.1 |  | 
| Exxon Mobil | Global | 3.0 |  | 
| Enel | Global | 3.0 |

*The holding in First Quantum Minerals includes both an equity holding and a holding
in several bonds.

> **Commenting on the markets, Tom Holl and Mark Hume, representing the Investment
> Manager noted:**
> The Company’s NAV increased by 17.4% during the month of November (in Sterling
> terms with dividends reinvested).
> Despite renewed lockdowns across Europe and parts of Asia, global equity markets
> performed strongly during November, following the announcement of progress in 
> a COVID-19 vaccine. This positive sentiment led to one of the strongest months
> on record for equities. For reference the MSCI AC World Index increased by 12.2%.
> Economic data also evidenced continued strength in global activity with, for example,
> global manufacturing PMIs at 53.7, the highest level since early 2018.
> Most mined commodities performed well with copper and iron ore (62% fe.) prices
> rising 12.9% and 11.0% respectively. For reference, copper prices are now at the
> highest level since February 2013. Gold bucked the trend, however, its price falling
> by 5.7%, as improved investor sentiment dampened demand for ‘safe-haven’ assets.
> The conventional energy sector was one of the strongest performing sectors during
> the month, on the back of increased confidence in some form of return to normality
> in 2021. Although the renewed lockdowns have led to some near-term demand challenges
> for oil, there was a general view that OPEC would extend the cuts to some degree,
> instead of starting to taper on 1 January 2021, as under the original agreement.
> Elsewhere, the US election took place during the month, resulting in a . Democrat
> president but a divided Congress. From an energy perspective, this suggests that
> there is less scope for a comprehensive energy policy going through congress. 
> The changes are likely to be more driven by federal agencies, rather than through
> legislation. Against this backdrop, oil prices rose, with the Brent and WTI increasing
> by 28.9% and 26.0%, ending the month at $47/bbl and $45/bbl respectively.
> Within the energy transition space, the sector continued to benefit from supportive
> commentary by policymakers. In the US Presidential Election, Joe Biden has been
> vocally supportive of the sustainable energy sector, whilst a split government
> may limit potential policy action.
> All data points in US Dollar terms unless otherwise specified. Commodity price
> moves sourced from Thomson Reuters Datastream.

23 December 2020

**For more information on BlackRock Energy and Resources Income Trust and how to
access the opportunities presented by the energy and resources markets, please visit
[www.blackrock.com/uk/beri](https://www.blackrock.com/uk/individual/products/investment-trusts/our-range/blackrock-energy-and-resources-income-trust/trust-information?siteEntryPassthrough=true&cid=aff:investmenttrusts2020:beri:directorstalk:link)**

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