BlackRock Frontiers trust sees sharp performance drop due to Eastern Europe overweight

NAV per share fell 10.9%

The BlackRock Frontiers trust has seen its net asset value fall 14.2% in the last year due to overweight positions in Eastern Europe and Kazakhstan at the onset of the invasion of Ukraine.

According to the company's results for the year ended 30 September, the NAV per share has fallen 10.9% this year, compared to 53% growth in the year before, and below its benchmark's fall of 7.3%. Due to the strong appreciation of the dollar, its sterling returns sit at 7.7%, compared to a growth of 12% in the benchmark.  The trust uses a blend of three benchmarks: The MSCI Emerging Markets index ex Selected Countries, MSCI Frontier Markets index and MSCI Saudi Arabia index. Portfolio managers Sam Vecht and Emily Fletcher said that the Middle East had been the strongest performing ...