BlackRock Sustainable American Income Trust plc (LON:BRSA) has announced its latest portfolio update.
All information is at 31 July 2024 and unaudited.
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Performance at month end with net income reinvested
| OneMonth | ThreeMonths | SixMonths | OneYear | ThreeYears | Five Years | |
| Net asset value | 2.6 | 2.9 | 8.4 | 12.8 | 28.5 | 44.7 |
| Share price | 3.0 | 3.8 | 11.1 | 10.8 | 25.1 | 26.4 |
| Russell 1000 Value Index | 3.4 | 4.7 | 11.0 | 15.0 | 32.6 | 53.0 |
At month end
| Net asset value – capital only: | 222.20p |
| Net asset value – cum income: | 222.72p |
| Share price: | 203.00p |
| Discount to cum income NAV: | 8.9% |
| Net yield1: | 3.9% |
| Total assets including current year revenue: | £166.0m |
| Net gearing: | 0.5% |
| Ordinary shares in issue2: | 74,532,614 |
| Ongoing charges3: | 1.03% |
1 Based on one quarterly dividend of 2.00p per share declared on 2 November 2023 for the year ended 31 October 2023 and three quarterly dividends of 2.00p per share declared on 14 March 2024, 29 May 2024 and 1 August 2024, for the year ending 31 October 2024 and based on the share price as at close of business on 31 July 2024.
² Excluding 25,828,691 ordinary shares held in treasury.
³ The Company’s ongoing charges calculated as a percentage of average daily net assets and using the management fee and all other operating expenses excluding finance costs, direct transaction costs, custody transaction charges, VAT recovered, taxation and certain non-recurring items for the year ended 31 October 2023.
| Sector Analysis | Total Assets (%) |
| Financials | 17.8 |
| Health Care | 17.5 |
| Information Technology | 14.8 |
| Consumer Discretionary | 9.5 |
| Industrials | 7.9 |
| Energy | 7.6 |
| Communication Services | 6.4 |
| Consumer Staples | 6.0 |
| Utilities | 5.5 |
| Materials | 5.4 |
| Real Estate | 2.1 |
| Net Current Liabilities | -0.5 |
| —– | |
| 100.0 | |
| ===== | |
| Country Analysis | Total Assets (%) |
| United States | 87.4 |
| United Kingdom | 5.7 |
| France | 2.1 |
| South Korea | 2.1 |
| Canada | 1.1 |
| Australia | 1.1 |
| Switzerland | 1.0 |
| Net Current Liabilities | -0.5 |
| —– | |
| 100.0 | |
| ===== | |
| Top 10 Holdings | Country | % Total Assets |
| Citigroup | United States | 3.4 |
| Shell | United Kingdom | 2.9 |
| Comcast | United States | 2.7 |
| Cardinal Health | United States | 2.7 |
| Johnson Controls International | United States | 2.6 |
| American International | United States | 2.5 |
| CVS Health | United States | 2.5 |
| Kraft Heinz | United States | 2.3 |
| Willis Towers Watson | United States | 2.3 |
| First Citizens BancShares | United States | 2.2 |
Tony DeSpirito, David Zhao and Lisa Yang, representing the Investment Manager, noted:
For the one-month period ended 31 July 2024, the Company’s NAV increased by 2.6% and the share price by 3.0% (all in sterling). The Company’s reference index, the Russell 1000 Value Index, returned 3.4% for the period.
The largest contributor to relative performance, stemmed from stock selection in materials, with selection decisions in containers and packaging boosting relative performance. Selection decisions in communication services also boosted relative performance, with stock selection in entertainment particularly beneficial to relative performance. Other modest contributors during the period at the sector level included selection decisions in industrials and in real estate.
The largest detractor from relative performance stemmed from stock selection in financials, most notably in capital markets. Selection decisions in health care also detracted from relative performance, with stock selection in health care providers and services dragging on relative performance. Other modest detractors at the sector level included selection decisions in consumer staples and consumer discretionary.
Transactions
During the month, the Company’s largest purchases included Discover Financial Services, Novo Nordisk and Teck Resources. The Company exited its position in Raymond James, Eli Lilly and American Express.
Positioning
As of the period end, the Company’s largest overweight positions relative to the reference index were in the information technology, communication services and health care sectors. The Company’s largest underweight positions relative to the reference index were in the industrials, real estate and financials sectors.
Source: BlackRock.
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