REG-BlackRock Frontiers Investment Trust Plc: Portfolio Update

Blackrock Frontiers Investment TrustAnnouncement

Yesterday 09:30

BLACKROCK FRONTIERS INVESTMENT TRUST PLC (LEI: 5493003K5E043LHLO706)

 

All information is at                                  28 February 2026       
                        and unaudited.

Performance at month end with net income reinvested.

 

                                   One       Three      One      Three     Five      Since       
                                    month     months     year     years     years     Launch*    
                                    %         %          %        %         %         %          
 Sterling:                                                                                       
 Share price                       8.7       19.8       36.6     72.2      118.6     270.7       
 Net asset value                   2.8       13.1       24.3     55.8      102.6     261.2       
 Benchmark (NR)**                  2.5       10.0       20.6     31.1      57.2      133.9       
 MSCI Frontiers Index (NR)         4.6       9.9        39.5     68.7      74.2      173.7       
 MSCI Emerging Markets Index (NR)  7.7       16.6       40.4     61.6      41.2      142.0       
                                                                                                 
 US Dollars:                                                                                     
 Share price                       6.5       21.5       45.8     91.2      110.3     221.3       
 Net asset value                   0.7       14.7       32.7     73.0      94.9      212.6       
 Benchmark (NR)**                  0.5       11.6       28.7     45.6      51.2      103.2       
 MSCI Frontiers Index (NR)         2.4       11.6       48.9     87.3      67.5      136.0       
 MSCI Emerging Markets Index (NR)  5.5       18.3       50.0     79.5      35.8      108.7       

 

Sources: BlackRock and Standard & Poor’s Micropal

* 17 December 2010.

** The Company’s benchmark changed to MSCI Frontier + Emerging ex Selected
Countries Index (net total return, USD) effective 1/4/2018.          
           

 At month end                                                         
 US Dollar                                                            
 Net asset value - capital only:                         267.13c      
 Net asset value - cum income:                           268.30c      
 Sterling:                                                            
 Net asset value - capital only:                         198.69p      
 Net asset value - cum income:                           199.56p      
 Share price:                                            206.00p      
 Total assets (including income):                        £326.6m      
 Premium to cum-income NAV:                              3.2%         
 Gearing:                                                Nil          
 Gearing range (as a % of gross assets):                 0-20%        
 Net yield*:                                             3.6%         
 Ordinary shares in issue**:                             189,270,248  
 Ongoing charges***:                                     1.42%        
 Ongoing charges plus taxation and performance fee****:  2.87%        

 

*The Company’s yield based on dividends announced in the last 12 months as
at the date of the release of this announcement is 3.6% and includes the 2025
interim dividend of 3.65 cents per share, declared on 29 May 2025, paid to
shareholders on 24 June 2025 and the 2025 final dividend of 6.35 cents per
share, declared on 10 December 2025 paid to shareholders on 26 February 2026.

** Excluding 52,552,553 ordinary shares held in treasury.

*** The Company’s ongoing charges are calculated as a percentage of average
daily net assets and using the management fee and all other operating expenses
and including performance fees but excluding finance costs, direct transaction
costs, custody transaction charges, VAT recovered, taxation and certain
non-recurring items for Year ended 30 September 2025.

 

 

 

 

 

 

 

 Sector                  Gross market value as a % of net assets*    Country               Gross market value as a % of net assets*  
   Analysis                                                            Analysis                                                      
                                                                                                                                     
 Financials              62.2                                        United Arab Emirates  13.5                                      
 Communication Services  10.7                                        Saudi Arabia          13.0                                      
 Energy                  9.6                                         Turkey                11.0                                      
 Real Estate             8.5                                         Kazakhstan            10.0                                      
 Consumer Discretionary  8.1                                         Egypt                 9.2                                       
 Industrials             5.1                                         Indonesia             7.3                                       
 Materials               5.0                                         Kenya                 6.3                                       
 Consumer Staples        4.3                                         Poland                6.1                                       
 Health Care             3.7                                         Philippines           5.4                                       
 Information Technology  2.9                                         Greece                4.7                                       
 Utilities               1.2                                         Vietnam               4.6                                       
                         -----                                       Georgia               4.1                                       
                         121.3                                       Thailand              4.0                                       
                         -----                                       Pakistan              4.0                                       
 Short Positions         -2.0                                        Bangladesh            4.0                                       
                         =====                                       Hungary               3.7                                       
                                                                     Multi-International   3.1                                       
                                                                     Argentina             3.1                                       
                                                                     Pan Africa            2.8                                       
                                                                     Chile                 1.4                                       
                                                                                           -----                                     
                                                                                           121.3                                     
                                                                                           -----                                     
                                                                     Short Positions       -2.0                                      
                                                                                           =====                                     

 

 

*reflects gross market exposure from contracts for difference (CFDs).

 

Market Exposure                              
           

        31.03   2025   %  30.04   2025   %  31.05   2025   %  30.06   2025   %  31.07   2025   %  31.08   2025   %  30.09   2025   %  31.10   2025   %  30.11   2025   %  31.12   2025   %  31.01   2026   %  28.02   2026   %  
 Long   118.5             111.3             117.9             121.2             113.0             114.3             112.2             114.0             110.5             110.9             116.7             121.3             
 Short  4.3               3.8               3.4               3.4               2.5               2.4               1.7               1.6               1.5               1.9               1.8               2.0               
 Gross  122.8             115.1             121.3             124.6             115.5             116.7             113.9             115.6             112.0             112.8             118.5             123.3             
 Net    114.2             107.5             114.5             117.8             110.5             111.9             110.5             112.4             109.0             109.0             114.9             119.3             

 

 

Ten Largest Investments

 

 Company                        Country of Risk       Gross market value as a % of net assets  
                                                                                               
 Commercial International Bank  Egypt                 4.4                                      
 Bank Pekao                     Poland                4.2                                      
 Kaspi.Kz JCS                   Kazakhstan            4.1                                      
 TBC Bank Group Plc             Georgia               4.1                                      
 Bank Mandiri                   Indonesia             4.0                                      
 Halyk Savings Bank             Kazakhstan            3.9                                      
 OTP Bank                       Hungary               3.7                                      
 Equity Group                   Kenya                 3.7                                      
 Emaar Properties               United Arab Emirates  3.6                                      
 Etihad Etisalat                Saudi Arabia          3.6                                      
                                                                                               

                                                                       
                                       

Commenting on the markets, Sam Vecht and Emily Fletcher, representing the
Investment Manager noted:                    
           

The Company’s NAV returned +0.7% in February 2026, largely in line with its
benchmark, the MSCI Frontier + Emerging ex Selected Countries Index
(“Benchmark Index”), which returned +0.5%.

 

For reference, the MSCI Emerging Markets Index returned +5.5% while the MSCI
Frontier Markets Index returned +2.4% over the same period. All performance
figures are on a US Dollar basis with net income reinvested.          1

 

Thailand (20.5%) was the best performing market in the universe, climbing
following the 8          th           February election in which the ruling
party was able to expand their mandate to nearly 40% of seats in the
parliament, putting them well ahead of the People’s Party who took second
place with only 24% of the vote. Polls had expected the progressive People’s
Party to win a much larger share of the vote which could have made it
difficult for either side to form a coalition to govern.                     
Markets cheered the clear result.           

 

Oman (19.7%) also delivered strong returns on speculation that the country
could push for MSCI Emerging Market index inclusion. Kenya (13.1%) also
delivered strong returns as easing policy rates, improving asset quality, and
robust domestic investor participation supported a re-rating of the banking
sector.           

 

On the other hand, Colombia (-12.2%) performed poorly following a surprise
100bps rate hike after the government had raised the minimum wage by 23%,
arguing that workers needed higher incomes. Pakistan (-8.7%) also performed
poorly reflecting a reduction in foreign ownership in what has been one of the
best performing markets over the past couple of years.

 

At the stock level, Kenyan banks KCB Group (+20.7%) and Equity Group (+15.3%)
were the biggest contributors, rising in line with the market. Thai
convenience store operator CP All (+20.4%) also contributed positively,
supported by expectations of government stimulus following the formation of a
new administration. Shares were further supported by solid full year results,
with revenue rising 3.5% YoY. Philippines based online gaming company Digiplus
(+25.3%) rallied on expectations of an earnings recovery, supported by a
rebound in monthly active users in the fourth quarter of 2025.

 

On the flipside, IT services company EPAM (-32.4%) was the largest detractor
as the shares fell after management’s guidance for FY revenue growth landed
below market expectations. While results were otherwise solid and progress in
AI native solutions remains encouraging, investor concerns around the pace of
recovery in global IT spending and AI related disruption weighed on the stock.
Elsewhere, Argentinian oil and gas company YPF (-11.2%) fell following an
EBITDA miss driven by higher costs and one off expenses, despite a stable
topline and lower net debt, and we maintain our conviction in the name. Saudi
Arabia’s digital investment platform Derayah (-15.1%) and Pakistan based
conglomerate Lucky Cement (-12.3%) detracted amid profit taking and
broad-based selling in the market.

 

We made a few changes in February. We topped up Kazakh fintech company Kaspi
on attractive valuations, where we believe recent downgrades are largely
sentiment driven and as we still see upside potential for the stock. We also
initiated Bank of the Philippine Islands, where we see scope for structurally
higher net interest margins driven by a shift toward faster growing consumer
lending, which has so far offset pressure from rate cuts and is expected to
continue. We exited Philippines-based real estate company Ayala on consistent
oversupply across residential markets and low return expectations given the
inventory dynamics. Finally, we exited Polish clothing retailer LPP following
strong share price performance.           

 

Looking ahead, we remain constructive on the outlook for smaller emerging and
frontier markets. With inflation easing across many of our key markets and
U.S. bond yields remaining relatively stable, we anticipate that central banks
in our target countries will continue interest rate cuts in the near term.
This backdrop sets the stage for a cyclical recovery in domestically driven
economies. Valuations across our investment universe remain attractive, both
in absolute and relative terms. Many of these markets are still
under-researched, and we believe this creates fertile ground for finding
high-conviction, alpha-generating opportunities.

 

1           MSCI as at 28 February 2026.

 

26 March 2026

 

ENDS

 

Latest information is available by typing                     
www.blackrock.com/uk/brfi                     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 BlackRock’s website (or any other website) is
incorporated into, or forms part of, this announcement.

 

 Release  (https://mb.cision.com/Main/22403/4326350/4007916.pdf)  



Copyright (c) 2026 PR Newswire Association,LLC. All Rights Reserved