BlackRock Sustainable American Income Trust plc (LON:BRSA), formally BlackRock North American Income Trust plc, aims to provide an attractive level of income return together with capital appreciation over the long term, in a manner consistent with the principles of sustainable investing adopted by the Company.
Suited to…
Investors looking for a carefully selected, sustainable, actively managed portfolio of high-quality North American businesses, designed to deliver long-term income and capital growth.
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.
Discover four companies driving impressive performances in the investment landscape – Team PLC, RECI, i(x) Net Zero, and BlackRock Sustainable American Income Trust plc.
Discover the latest dividend announcement from BlackRock Sustainable American Income Trust plc (LON:BRSA) for holders of ordinary shares. Payable on 5 July 2024.
BlackRock Sustainable American Income Trust (LON:BRSA) is the topic of conversation when Milosz Papst joins DirectorsTalk Interviews.
In this interview Milosz talks through the key features of the trust, the managers and the investing objective. He talks through the macroeconomic backdrop, the funds positioning versus its reference index and the BlackRock Sustainable American Income Trust dividend policy.
https://vimeo.com/891099111
North America is home to many of the world’s most powerful and innovative companies. Targeting income and capital growth, this Trust invests in the country’s high quality medium and large businesses, with a sustainable investment approach at its core. It has delivered a high income for its investors in the hands of an experienced management team.
Data policy – All information should be used for indicative purposes only. You should independently check data before making any investment decision and or seek professional advice. DirectorsTalk cannot guarantee that the data is accurate or complete, and accepts no responsibility for how it may be used.
