BGF Global Equity Income Fund

Transcription

1 FOR PROFESSIONAL CLIENTS AND QUALIFIED INVESTORS ONLY MARCH 2018 BGF Global Equity Income Fund A sub-fund of BlackRock Global Funds (BGF) Performance data 1 BlackRock. Performance shown since Fund s inception 12 November 2010 as at 31 March 2018 in USD, on a NAV price basis with income reinvested: 7.11%. Performance figures are calculated net of annual fees. The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy. The MSCI AC World Index delivered 9.10% returns over the same time period. Calendar year returns: 2017: 18.48%; 2016: 4.31%; 2015: 0.50%; 2014: 2.03%; 2013: 18.44%; 2012: 7.76%; 2011: 7.66%. 2 BlackRock, as at 31 March Median five-year historic annual dividend growth rate of underlying stocks: 8.4%. 3 Morningstar, from the first full month after inception (1 December 2010) to 31 March blackrock.com Delivering strong income and potential for capital growth Today s low interest rates and low yields relative to history have made the search for income more challenging. The BGF Global Equity Income Fund invests in high-quality, dividend-paying companies that we believe are capable of generating sustainable yields, delivering consistent returns and offering some potential downside protection over the long term. CAPITAL AT RISK: All financial investments involve an element of risk. Therefore, the value of your investment and the income from it will vary and your initial investment amount cannot be guaranteed. Reasons to invest 1 Focus on high-quality companies We focus exclusively on high-quality companies that can demonstrate a robust business model, resilient earnings and stable cash flow. Such characteristics are essential if we are to deliver sustainable dividend growth and consistent returns to our investors. We also invest for the long term, as is demonstrated by a portfolio turnover that is significantly lower than that of our peer group. RISK: Investors in this Fund should understand that capital growth is not a priority and values may fluctuate, and the level of income may vary from time to time and is not guaranteed. 2 Delivering strong income and potential for growth Since launch, the Fund has delivered approximately 7.11% total annualised returns 1 and in all six calendar years since launch it has had positive returns. Generation of a growing income is key to long-term total returns, and the companies in our portfolio have a median five-year historical annual dividend growth rate of 8.4% 2. RISK: The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy. 3 A history of downside protection Since launch, the Fund has offered better downside protection to its investors compared to the MSCI AC World Index. When the market weakens, the Fund has typically only experienced around 74.4% of the losses in wider global equity markets 3. RISK: The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy.

2 7.1 % Annualised returns since inception (net of fees) % Median five-year historic annual dividend growth rate % Max drawdown since inception 6 4 BlackRock. Performance shown since Fund s inception 12 November 2010 as at 31 March 2018 in USD, on a NAV price basis with income reinvested: 8.16%. The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy. The MSCI AC World Index delivered 7.70% returns over the same time period. Calendar year returns: 2017: 18.48%; 2016: 4.31%; 2015: 0.50%; 2014: 2.03%; 2013: 18.44%; 2012: 7.76%; 2011: 7.66%. 5 BlackRock, as at 31 March Median five-year historic annual dividend growth rate of underlying stocks: 8.4%. 6 Maximum drawdown data (-10.2%) is calculated on a monthly return based on Morningstar data for the BGF Global Equity Income Fund and to end of March BGF Global Equity Income Fund: Performance to 31 March March March March March March 2018 BGF Global Equity Income A2 MSCI All Country World Index 11.47% -0.71% 3.29% 8.65% 5.80% 16.55% 5.42% -4.34% 15.04% 14.85% The figures shown relate to the past. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or a strategy. Index performance returns do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and one cannot invest directly in an index. The return of your investment may increase or decrease as a result of currency fluctuations if your investment is made in a currency other than that used in the past performance calculation. Key Risks: Stock values fluctuate in price so the value of your investment can go down depending on market conditions. International investing involves risks, including risks related to foreign currency, limited liquidity, less government regulation, and the possibility of substantial volatility due to adverse political, economic or other developments. Source: BlackRock, Morningstar. Performance shown as at 31 March 2018 in USD on a NAV prices basis with income re-invested. Performance figures are calculated net of annual fees and annualised for periods greater than 1 year. The Performance data do not take account of the commissions and costs incurred on the issue and redemption of units.

3 Historical downside protection through the cycle 10% 0 Total return Max drawdown -30 BGF Global Equity Income Fund MSCI ACWI Source: BlackRock. Performance shown as at 31 March 2018 in USD, on a NAV price basis with income reinvested. Performance figures are calculated net of annual fees. The figures shown relate to past performance. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy. The performance data does not take account of the commissions and costs incurred on the issue and redemption of units. Max drawdown figures are calculated from Morningstar from the first full month after inception (1 December 2010) to 31 March Who should consider this fund? The Fund could appeal to investors looking to: Generate a sustainable additional income. Grow their long-term wealth. Invest in global equities which have experienced less volatility than the market. Potentially reduce the risk of their existing equity portfolio. RISK: Investors in this Fund should understand that capital growth is not a priority and values may fluctuate and the level of income may vary from time to time and is not guaranteed. Why BlackRock for Global Equity Income? Portfolio Managers Stuart Reeve and Andrew Wheatley-Hubbard have more than 35 years of combined investment experience and have been working together since The broader Global Equity team comprises 14 investors with, on average, 13 years of investment experience and a combined total of over 175 years. A very open and collegiate structure encourages rigorous discussion and debate of each investment thesis. Stuart Reeve Managing Director and Portfolio Manager Andrew Wheatley-Hubbard, CFA Director and Portfolio Manager

4 Risks Past performance is not a guide to current or future performance. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time. Tax treatment depends on the individual circumstances of each client and may be subject to change in the future. Exchange rate risk. The Fund invests a large portion of assets which are denominated in other currencies; hence changes in the relevant exchange rate will affect the value of the investment. Capital growth/income variation. Investors in this Fund should understand that capital growth is not a priority and values may fluctuate and the level of income may vary from time to time and is not guaranteed. Derivative risk. The Fund utilises derivatives as part of its investment strategy. Compared to a fund which only invests in traditional instruments such as stocks and bonds, derivatives are potentially subject to a higher level of risk and volatility. Risk to capital growth through distributions. The Fund may make distributions from capital as well as income or pursue certain investment strategies in order to generate income. Whilst this might allow more income to be distributed, it may also have the effect of reducing capital and the potential for long-term capital growth. Important information This material is for distribution to Professional Clients (as defined by the FCA or MiFID Rules) and Qualified Investors only and should not be relied upon by any other persons. Issued by BlackRock Investment Management (UK) Limited, authorised and regulated by the Financial Conduct Authority. Registered office: 12 Throgmorton Avenue, London EC2N 2DL. Tel: Registered in England No For your protection telephone calls are usually recorded. BlackRock is a trading name of BlackRock Investment Management (UK) Limited. Switzerland: The BlackRock Global Fund (BGF) is domiciled in Luxembourg. BlackRock Asset Management Schweiz AG, Bahnhofstrasse 39, CH-8001 Zurich, is the Swiss Representative and State Street Bank International GmbH, Munich, Zurich Branch, Beethovenstrasse 19, CH-8002 Zürich, the Swiss Paying Agent. The Prospectus, Key Investor Information Document, the Articles of Incorporation, the latest and any previous annual and semi-annual reports are available free of charge from the Swiss Representative. Investors should read the fund-specific risks in the Key Investor Information Document and the Prospectus. Austria: For further information, the prospectus, Key Investor Information Document, annual report and semi-annual report can be obtained free of charge in hardcopy form from the Austrian paying agent: Raiffeisen Zentralbank Österreich AG, A-1030 Vienna, Am Stadtpark 9. Germany: This is a financial promotion. For further information, the prospectus, Key Investor Information Document, annual report and semi-annual report can be obtained free of charge in hardcopy form from the German information centre: BlackRock Investment Management (UK) Limited, German Branch, Frankfurt am Main, Bockenheimer Landstraße 2 4, Frankfurt am Main. The paying agent in Germany is J.P. Morgan AG, CIB / Investor Services Trustee & Fiduciary, Taunustor 1 (Taunus Turm), D Frankfurt am Main. Poland: BGF has been registered on the official list of the Financial Supervision Commission (Komisja Nadzoru Finansowego) for distribution in Poland. Issued in Poland by the representative office BlackRock Investment Management (UK) Limited Dubinski, Fabrycki, Jelen ski i Wspólnicy Kancelaria Prawna sp.k., ul. Zielna 37, Warszawa. Paying agent in Poland is Bank Handlowy w Warszawie SA, ul. Senatorska 16, Warsaw, Poland. Netherlands: The risk indicator shown on this document refers to the A2 EUR share class of the Fund. Higher or lower risk may apply to the other share classes of the Fund. Issued in the Netherlands by the Amsterdam branch office of BlackRock Investment Management (UK) Limited: Amstelplein 1, 1096 HA Amsterdam, Tel: Both BGF as well as BSF are UCITS (icbe) as defined in section 1:1 Financial Markets Supervision Act (Wet op het financieel toezicht; FMSA ). BGF, BSF and their sub-funds are listed in the register as defined in section 1:107 FMSA. Please refer to the Key Investor Information Document (essentiële beleggersinformatie; EBI ) for further information about BGF, BSF and their sub-funds. The prospectus and EBI of BGF, BSF and their sub-funds are available on BlackRock s website, All financial investments contain a certain risk. The value of the assets managed by BGF, BSF and their sub-funds may greatly fluctuate as a result of the investment policy and your initial investment is not guaranteed.

5 This document is not int for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution would be unlawful under the securities laws of such. Any distribution, by whatever means, of this document and related material to persons other than those referred to above is strictly prohibited. Past performance is not a reliable indicator of current or future results. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time. Tax treatment depends on the individual circumstances of each client and may be subject to change in the future. BlackRock Global Funds (BGF) is an open- investment company established and domiciled in Luxembourg which is available for sale in certain jurisdictions only. BGF is not available for sale in the US or to US persons. Product information concerning BGF should not be published in the US. It is recognised under Section 264 of the Financial Services and Markets Act BlackRock Investment Management (UK) Limited is the UK distributor of BGF. Most of the protections provided by the UK regulatory system, and the compensation under the Financial Services Compensation Scheme, will not be available. A limited range of BGF sub-funds have a reporting fund status A sterling share class that seeks to comply with UK Reporting Fund Status requirements. Subscriptions in BGF are valid only if made on the basis of the current Prospectus, the most recent financial reports and the Key Investor Information Document, which are available on our website. Prospectuses, Key Investor Information Documents and application forms may not be available to investors in certain jurisdictions where the Fund in question has not been authorised. Any research in this document has been procured and may have been acted on by BlackRock for its own purpose. The results of such research are being made available only incidentally. The views expressed do not constitute investment or any other advice and are subject to change. They do not necessarily reflect the views of any company in the BlackRock Group or any part thereof and no assurances are made as to their accuracy. Unless indicated, the fund information displayed only provides summary information. This material is not int to be relied upon as a forecast, research or investment advice and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any strategy in any jurisdiction in which such offer, solicitation or distribution would be unlawful or in which the person making such offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such offer or solicitation. It is your responsibility to be aware of the applicable laws and regulations of your country of residence BlackRock, Inc. All Rights reserved. BLACKROCK, BLACKROCK SOLUTIONS, ishares, BUILD ON BLACKROCK, SO WHAT DO I DO WITH MY MONEY and the stylized i logo are registered and unregistered trademarks of BlackRock, Inc. or its subsidiaries in the United States and elsewhere. All other trademarks are those of their respective owners. CD00131 (Splash/366629/Apr18) Want to know more? blackrock.com investor.services@blackrock.com +44 (0) blackrock.nl benelux@blackrock.com +31 (0)