Blackrock Frontiers Investment Trust PLC (BRFI)

(Alliance News) - Blackrock Frontiers Investment Trust on Thursday said it outperformed its benchmark and declared an increased dividend.

The London-based investment trust, which backs companies in "frontier markets", said its net asset value per share increased to 159.96 pence from 157.35 pence in the prior year.

In sterling, the NAV return for the year was 6.0%, beating the benchmark index which returned 5.3%. The benchmark index is the MSCI Emerging Markets Index ex Selected Countries and MSCI Frontier Markets Index.

The company declared a final dividend of 6.00 cents, up by 22% from 4.90 cents last year. The total dividend for the year is 9.50 cents, an increase of 19% from 8.00 cents in the prior year.

Blackrock Frontiers sees positive political and economic reform in several countries which could provide a "more stable and benign environment for investment".

The company says it sees a broad opportunity set with improving fundamentals in several countries which it has not invested in for several years such as Egypt, Kenya and Nigeria.

Chair Katrina Hart said: "Frontier market central banks are in many cases further along the easing cycle than the developed economies and already well into the growth phase of the cycle. This, combined with an investment universe of countries with favourable demographics, a growing and more affluent middle-class, relatively low debt and low stock market valuations, both versus developed markets and their own history, presents an ever more compelling investment case for frontier markets.

Shares in Blackrock Frontiers Investment Trust were up 0.6% to 151.33 pence in London on Thursday morning.

By Michael Hennessey, Alliance News reporter

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