Half-year Report

BLACKROCK FRONTIERS INVESTMENT TRUST PLC

LEI:  5493003K5E043LHLO706 - Article 5 Transparency Directive, DTR 4.2

HALF YEARLY FINANCIAL REPORT FOR THE SIX MONTHS ENDED 31 MARCH 2019

PERFORMANCE RECORD

FINANCIAL HIGHLIGHTS

	31 March 2019	30 September 2018
US Dollar
Net assets (US$’000)1	422,336	356,495
Net asset value per ordinary share (cents)	175.48	177.70
Ordinary share price (mid market)2 (cents)	173.31	182.25
	--------------	--------------
Sterling
Net assets (£’000)1, 2	324,113	273,365
Net asset value per ordinary share2 (pence)	134.67	136.26
Ordinary share price (mid market) (pence)	133.00	139.75
	--------------	--------------
(Discount)/premium	(1.2)%	2.6%
	========	========

¹     The change in net assets reflects shares issued in the period, proceeds from the C share issue and market movements.
²     Based on an exchange rate of US$1.3031 to £1 at 31 March 2019 and US$1.3041 to £1 at 30 September 2018.

Performance	Six months ended  31 March 2019  %	Six months ended  30 September 2018  %	Since  inception3  %
US Dollar
Net asset value per share (with dividends reinvested)4	+2.0	-6.6	+51.7
Benchmark Index (NR)5, 6	+3.4	+2.3	+40.5
MSCI Frontier Markets Index (NR)5, 6	+2.2	-7.7	+25.2
MSCI Emerging Markets Index (NR)6	+1.7	-0.8	+16.1
Ordinary share price (with dividends reinvested)4	-2.0	-5.7	+47.2
Sterling
Net asset value per share (with dividends reinvested)4	+2.0	-4.0	+81.0
Benchmark Index (NR)5,6	+3.4	+5.3	+66.8
MSCI Frontier Markets Index (NR)5,6	+2.3	-5.1	+49.8
MSCI Emerging Markets Index (NR)6	+1.8	+2.0	+38.9
Ordinary share price (with dividends reinvested)4	-1.9	-3.1	+75.3

³      The Company was incorporated on 15 October 2010 and its shares were admitted to trading on the London Stock Exchange on 17 December 2010.
⁴     Alternative Performance Measures, see Glossary contained within the Half Yearly Financial Report.
⁵     With effect from 1 April 2018, the Benchmark Index changed to the MSCI Emerging Markets Index ex Selected Countries + MSCI Frontier Markets Index + MSCI Saudi Arabia Index. Prior to 1 April 2018, the Benchmark Index was the MSCI Frontier Markets Index. The performance of the Benchmark Index during the prior year has been blended to reflect this change.
⁶     Net return (NR) indices calculate the reinvestment of dividends net of withholding taxes using the tax rates applicable to non-resident institutional investors.

Source: BlackRock.

CHAIRMAN’S STATEMENT FOR THE SIX MONTHS TO 31 MARCH 2019

Dear Shareholder

I am pleased to present the Company’s half-yearly financial report for the six months to 31 March 2019.

PERIOD HIGHLIGHTS

• Interim dividend of 3.00 US cents per share;

• Yield of 4.3% (based on share price at 28 May 2019, interim dividend for 2019 and final dividend for 2018);

• NAV total return of +2.0% (in US Dollar terms with dividends reinvested);

• Share price total return of -2.0% (in US Dollar terms with dividends reinvested);

• 6,150,000 new ordinary shares issued via tap issuance; and

• 33,906,693 new ordinary shares issued via the C share issue.

PERFORMANCE AND OVERVIEW
During the six months to 31 March 2019 the Company generated a NAV total return in US Dollars of +2.0%; its Benchmark Index returned +3.4%. The Company’s share price total return was -2.0%. By comparison, the Company’s previous Benchmark Index, the MSCI Frontier Markets Index, returned +2.2% and the MSCI Emerging Markets Index returned +1.7%.  The Company’s investment objective is to achieve long-term capital growth. Since launch in December 2010, the Company’s NAV total return has been +51.7%, compared to the Benchmark Index total return of +40.5% (in US Dollar terms with dividends reinvested). For Sterling based investors the NAV total return has been +81.0% since launch versus the Benchmark Index total return of +66.8% (in Sterling terms with dividends reinvested).

Although the period under review was characterised by considerable volatility, your Company has generated a positive absolute NAV return over the past six months. A sell-off in frontier markets occurred in Q4 of 2018 resulting in a significant fall in valuations. However, the markets gained some ground back in Q1 of 2019. A slow-down in global economic growth and a tightening of global liquidity acted as headwinds to frontier market performance during 2018 and ongoing geo-political tensions also added to volatility. To date, 2019 appears to be a more benign environment for frontier market investing, with signs that the upward pressure on US interest rates has begun to reduce.

A full description of the key contributors and detractors to performance during the period, portfolio activity and the investment managers’ views on the outlook for the second half of the year are set out in their report which follows.

REVENUE RETURN AND DIVIDENDS
The Company’s revenue return per share for the six months ended 31 March 2019 amounted to 3.19 US cents (2018: 2.27 US cents). The Board is pleased to declare an interim dividend of 3.00 US cents per share (2018: 3.00 US cents per share) payable on 28 June 2019 to shareholders on the Company’s register on 7 June 2019. The shares will go ex-dividend on 6 June 2019. The final dividend of 4.40 US cents per share for the year ended 30 September 2018 was declared on 10 December 2018 and paid to shareholders on 7 February 2019. The Company also declared a special dividend of 1.00 US cent at this time reflecting additional non-recurring income received during that financial year and ahead of the C share conversion.

SHARE CAPITAL
The Directors recognise the benefit of ensuring that the Company’s share price remains close to its underlying Net Asset Value (NAV). Accordingly, the Directors monitor the share price closely and will consider the issue at a premium or repurchase at a discount of ordinary shares to balance demand and supply in the market. For the period under review, the Company’s ordinary shares have traded at an average premium to NAV of 2.6%, and were trading at a premium of 1.1% on a cum-income basis at 28 May 2019. The Directors currently have the authority to buy back an amount of shares in the market equivalent to 14.99% of the Company’s issued share capital and also to issue new shares equivalent to 10% of the Company’s issued share capital (excluding any shares held in treasury).

In response to demand for its shares the Company has issued 6,150,000 new ordinary shares during the period for a gross total consideration of US$10,845,000. The new shares were issued at a premium to the prevailing NAV and were therefore accretive to the Company’s NAV. The Board believes that the issue of new shares by the Company – where demand cannot be met in the market – helps to regulate the share price premium/discount to NAV and the economies of scale achieved through the enlargement of the Company are beneficial to shareholders. Since the period end and up to the date of this report, the Company has issued no further new ordinary shares. No shares were bought back in the period under review or up to the date of this report.

C SHARE ISSUE
Following shareholder approval in a General Meeting, the Company issued 44,927,580 C shares with a nominal value of 10 cents each on 27 November 2018, the majority of which were issued in connection with the reconstruction of BlackRock Emerging Europe plc. The C shares were subsequently converted into ordinary shares on 11 January 2019 in accordance with the terms of the C share Prospectus and Circular. The C share issue raised US$57,010,000, which consisted of cash and other assets transferred under the rollover option in connection with the scheme of reconstruction of BlackRock Emerging Europe plc and proceeds received from the placing and offer for subscription. These assets were invested in accordance with the Company’s existing investment policy. Please see note 11 for further information.

OUTLOOK
Your Board believes that the Company’s frontier market universe continues to represent a compelling proposition for the medium to long-term investor. These markets generally exhibit superior gross domestic product (GDP) growth to developed markets and obtaining exposure to them through a diversified portfolio significantly reduces the volatility inherent in the individual markets themselves, as demonstrated by the table below. The volatility of the Company’s returns has been surprisingly low thanks to the low correlation between different frontier markets, which tend to be driven by internal developments and domestic investor flows. Since launch in December 2010, the volatility of the Company’s NAV has been lower than that of major indices, such as S&P 500 Index, FTSE All-Share Index and MSCI Emerging Markets Index.

BLACKROCK FRONTIERS INVESTMENT TRUST: SURPRISINGLY LOW VOLATILITY

Company NAV	1.6%
S&P 500	1.9%
FTSE All-Share	2.2%
MSCI Emerging Markets	2.4%

The figures shown relate to past performance. Past performance is not a reliable indicator of future results and should not be the sole factor of consideration when selecting a product or strategy.

Source: Bloomberg, MSCI, as at end February 2019. Volatility of weekly returns since 17 December 2010, inception date of the Company.

The Board also believes that the Company’s revised investment policy provides the investment managers with a more sustainable investment universe within which they can take best advantage of the opportunities available outside the developed and major emerging markets. The Board remains confident that the investment managers possess the potential to maintain their strong track record of outperformance over the long run, having extensive resources deployed to these inefficient markets, and the local market knowledge required to manage this dynamic and exciting asset class. Furthermore, the strong underlying cash flows and high dividend yields of companies in the Frontiers Universe, combined with historically low valuations, especially when compared to developed markets, present a unique and compelling investment opportunity.

AUDLEY TWISTON-DAVIES
Chairman
30 May 2019

INVESTMENT MANAGER’S REPORT

PORTFOLIO & MARKET COMMENTARY
In the six months ended 31 March 2019, the Company returned +2.0% (on a US Dollar basis with dividends reinvested) versus its Benchmark Index which returned +3.4%. Over this time period, the MSCI Emerging Markets Index rose by 1.7% and the MSCI Frontier Markets Index rose by 2.2%. Since inception the Company has returned +51.7%, compared to the +40.5% return of its Benchmark Index and the +25.2% return of the MSCI Frontier Markets Index, while MSCI Emerging Markets Index lagged returning +16.1%.

Indonesia (+14.0%) was the best performing market in the frontiers universe as its currency benefitted from a weaker US Dollar given softening signals from the Federal Reserve of a pause in the rate hiking cycle. Our positions in Semen Indonesia (building materials manufacturer), Mitra Adiperkasa (retailer) and Astra International (conglomerate) contributed well to returns over the period.

Saudi Arabia (+14.0%) rose driven by inflows to the market in anticipation of inclusion in the MSCI Emerging Markets index by MSCI, despite a falling oil price for most of the period. With the market trading at a significant premium to emerging markets on a forward price/earnings multiple of 16x, we maintain our view that the market is overly expensive and there are better opportunities elsewhere. Hence, we currently hold very little exposure to Saudi Arabia. With the market rising during the period our significant (13.0%) underweight in Saudi Arabia relative to the Benchmark Index detracted from relative performance.

Stock selection in Malaysia contributed well to returns through telecommunications company, Telekom Malaysia (+24.0%), which improved from a very low valuation and auto manufacturer, UMW (+15.0%), which delivered strong results and saw upgrades in analyst expectations.

Our holding of Acacia Mining (+66.0%), a gold mining business operating in Tanzania, added to returns on expectations of a resolution of the dispute with the Tanzanian Government following the appointment of a new CEO at Barrick Gold. The company also reported strong operating results. We have since fully exited our position.

Greek banks, National Bank of Greece and Alpha Bank, were both strong contributors to performance during Q1 of 2019 as they rallied amid increased expectations of an agreed solution for the reduction of outstanding non-performing loan exposures and a sovereign debt upgrade.

Participation in the initial public offering of Kazakh uranium company, Kazatomprom (+23.0%), benefited the Company. Kazatomprom holds the world’s largest uranium reserves, accounting for 23.0% of total global uranium production and is one of the world’s lowest cost producers.

Our position in United Arab Emirates (UAE) property company, Emaar Development (-21.0%), detracted from returns. Whilst the outlook for the Dubai property market remains muted, we feel that investors have overly discounted this for what remains the country’s most prestigious developer and that the stock looks relatively cheap, hence we continue to hold it.

Our holding in Turkish gold mining company, Koza Altin (-27.0%), detracted from returns as the stock declined in line with the rest of the market, despite strong operating performance. As an exporter, the company should benefit operationally from the recent decline in the Turkish Lira.

An overweight position in Romanian financials, BRD Groupe Société Générale (-10.0%) and Banca Transilvania (-14.0%), weighed on performance due to the announcement of potential adverse tax policy developments in early December 2018. These measures were actually reversed in early 2019 and the stocks have now recovered the majority of their underperformance.

PORTFOLIO ACTIVITY
In terms of positioning, we reduced exposure to Saudi Arabia amid expensive valuations, which have not been reflecting the lower oil price environment. We exited Thai petrochemical company, Indorama, on concern over weakening demand trends across developed markets. We also initiated a position in drinks company, Thai Beverage, which should benefit from a pickup in activity in Thailand. The stock trades at an attractive valuation relative to the Thai market and the market has heavily discounted the valuation of its acquisition of Sabeco, Vietnam’s leading beer company. We allocated more capital to one of our most preferred countries, Indonesia, by initiating a position in Semen Indonesia where we see operating profit accelerating above expectations. The Company continued to increase its exposure to Egypt by adding to medical diagnostic services operator, Integrated Diagnostics, and real estate developer, Medinet Nasr, on the back of improvements in the economy’s fiscal health, inflation that looks to have peaked and a more sustainable current account deficit. We added more exposure to Vietnam which we think will benefit from greater manufacturing outsourcing from China. We also bought copper miner, Kaz Minerals, in Kazakhstan where we see an underappreciation of their high quality assets and flexibility on capital expenditure spending which should protect the balance sheet in the case of market stress. Most recently, we have reduced exposure to Greek financials post their strong first quarter rally and have also trimmed positions in Argentina.

OUTLOOK
We continue to be positive on frontier markets, especially where those markets are experiencing improved macroeconomic conditions, better political governance, cash flow growth and cheap valuations relative to peers. Furthermore, the Company has offered an attractive and growing dividend over time, despite income not featuring in its objectives, thanks to growing earnings on its underlying investments.

Dividend payments per share (GBP) – Company dividend growth has been driven by strong frontier market company fundamentals

	Special Dividend	Dividend
2011	-	1.90
2012	-	2.40
2013	-	3.40
2014	-	4.00
2015	-	4.40
2016	-	5.10
2017	-	5.30
2018	0.75	5.75

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.

Based on interim and final dividends declared for the period (and where applicable special dividends).
Source: BlackRock, end December 2018.

While emerging and frontier markets delivered strong returns in Q1 2019, indicators of market sentiment look far from overstretched. Countries in our frontiers universe offer significant value compared to developed markets and some of them have a market capitalisation equal to (or even smaller than) the market capitalisation of a single stock listed in the developed world. The market capitalisation of California-based media services provider, Netflix, is more than the market capitalisation of Greece and Turkey combined. We note that the GDP of these two economies totals more than US$1,100 billion, while the net income of Netflix is circa US$1 billion. We believe that active managers and long-term investors can find compelling opportunities in Frontier Markets, which in our opinion currently are out of favour with the majority of global investors.

We continue to position for a positive environment for emerging and frontier markets in aggregate, supported by a lower interest rate environment. Together, the wide subset of countries that make up our investible universe continue to exhibit strong GDP growth, have low government debt levels, and offer an opportunity to invest in companies with strong cash flow and high dividend yields, on some of the lowest valuations in the world. The low correlation between frontier markets and all developed and emerging markets mean that the inclusion of a frontier markets fund within a portfolio can bring significant diversification benefits.

All percentage movements are expressed in US Dollar terms.

SAM VECHT AND EMILY FLETCHER
BLACKROCK INVESTMENT MANAGEMENT (UK) LIMITED
30 May 2019

INTERIM MANAGEMENT REPORT AND RESPONSIBILITY STATEMENT

The Chairman’s Statement and the Investment Manager’s Report give details of the important events which have occurred during the period and their impact on the financial statements.

PRINCIPAL RISKS AND UNCERTAINTIES
A detailed explanation of the risks relating to the Company can be divided into various areas as follows:

• Investment Performance Risk;

• Income/Dividend Risk;

• Legal & Regulatory Risk;

• Operational Risk;

• Counterparty Risk;

• Market Risk;

• Political Risk; and

• Financial Risk.

The Board reported on the principal risks and uncertainties faced by the Company in the Annual Report and Financial Statements for the year ended 30 September 2018. A detailed explanation can be found in the Strategic Report on pages 20 to 23 and in note 17 on pages 67 to 80 of the Annual Report and Financial Statements which are available on the website maintained by BlackRock at: www.blackrock.co.uk/brfi.

In the view of the Board, there have not been any material changes to the fundamental nature of these risks since the previous report and these principal risks and uncertainties, as summarised, are equally applicable to the remaining six months of the financial year as they were to the six months under review.

GOING CONCERN
The Directors, having considered the nature and liquidity of the portfolio, the Company’s investment objective and the Company’s projected income and expenditure, are satisfied that the Company has adequate resources to continue in operational existence for the foreseeable future and is financially sound. For this reason, they continue to adopt the going concern basis in preparing the financial statements. The Company has a portfolio of investments which are considered to be readily realisable and is able to meet all of its liabilities from its assets and income generated from these assets. Ongoing charges (excluding any performance fees, VAT refunded, transaction charges, finance costs and taxation) were approximately 1.42% of average net assets for the year ended 30 September 2018.

RELATED PARTY DISCLOSURE AND TRANSACTIONS WITH THE AIFM AND INVESTMENT MANAGER
BlackRock Fund Managers Limited (‘BFM’) is the Company’s AIFM. BFM has (with the Company’s consent) delegated certain portfolio and risk management services, and other ancillary services to BlackRock Investment Management (UK) Limited (‘BIM (UK)’). Both BFM and BIM (UK) are regarded as related parties under the Listing Rules. Details of the management and performance fees payable are set out in note 4 and note 14. The related party transactions with the Directors are set out in note 13.

DIRECTORS’ RESPONSIBILITY STATEMENT
The Disclosure Guidance and Transparency Rules (‘DTR’) of the UK Listing Authority require the Directors to confirm their responsibilities in relation to the preparation and publication of the Interim Management Report and Financial Statements.

The Directors confirm to the best of their knowledge that:

• the condensed set of financial statements contained within the half yearly financial report has been prepared in accordance with the International Accounting Standard 34 – Interim Financial Reporting; and

• the interim management report, together with the Chairman’s Statement and Investment Manager’s Report, includes a fair review of the information required by 4.2.7R and 4.2.8R of the Financial Conduct Authority (‘FCA’) Disclosure Guidance and Transparency Rules.

The half yearly financial report has been reviewed by the Company’s Auditors.

The half yearly financial report was approved by the Board on 30 May 2019 and the above responsibility statement was signed on its behalf by the Chairman.

AUDLEY TWISTON-DAVIES
FOR AND ON BEHALF OF THE BOARD
30 May 2019

TEN LARGEST INVESTMENTS¹ AS AT 31 MARCH 2019

Banco Macro (Argentina, Financials, 3.6% (2018: 2.5%)) is the second largest private bank in Argentina with around 6% share of total assets in the banking system. Around 80% of the bank’s branches are located outside of the City of Buenos Aires and Province of Buenos Aires. Banco Macro is the leading bank in personal lending in Argentina with around 14% market share.

LT Group (Philippines, Industrials, 3.1% (2018: 1.8%)) is a diversified investment company that is involved in beverages, tobacco, property development, and banking businesses in the Philippines.

Vincom Retail (Vietnam, Real Estate, 3.1% (2018: 1.5%))² is a Vietnam-based company primarily engaged in the leasing of retail outlets in its shopping malls, comprising Vincom Center, Vincom Mega Mall, Vincom Plaza and Vincom+. The company’s business activities also include the development and operation of commercial buildings, residential properties and office spaces.

Eastern Tobacco (Egypt, Consumer Staples, 2.9% (2018: 1.4%)) is an Egypt-based company, which is engaged in manufacturing tobacco products. The company’s product portfolio includes cigarettes, cigars, pipe tobacco, and molasses tobacco, as well as other related products such as cigarettes’ filter rods and homogenized tobacco.

Thai Beverage (Thailand, Consumer Staples, 2.8% (2018: 2.1%)) is Thailand’s and one of Southeast Asia’s largest beverage companies. Their business consists of three segments, namely spirits, beer and non-alcoholic beverages under more than 100 brands. The company has recently purchased Sabeco, a beer producer in Vietnam.

Emaar Properties (United Arab Emirates, Real Estate 2.8% (2018: 3.1%)) is a real estate development company located in the United Arab Emirates. The company operates internationally providing property development and management services. The company is also one of the largest real estate developers in the UAE and is known for various large-scale projects such as developing Burj Khalifa, the tallest building in the world.

Halyk Savings Bank (Kazakhstan, Financials, 2.8% (2018: 3.3%)) is one of Kazakhstan’s leading financial services groups and a leading retail bank with the largest customer base and distribution network in Kazakhstan. The company‘s branch network consists of over 600 outlets across the country, with over 1,900 ATMs.

Kaz Minerals (Kazakhstan, Materials, 2.7% (2018: Nil))² is a copper company focused on large scale, low cost open pit mining in Kazakhstan. The company is focused on the mining of copper and the development of new copper mining projects in Kazakhstan and Russia.

Astra International (Indonesia, Consumer Discretionary, 2.7% (2018: 4.6%))³ is an Indonesian conglomerate. It owns Southeast Asia’s largest independent automotive group and is the leading provider of a full range of automobile and motor-cycle products. The company also has interests in financial services, heavy equipment, mining, construction and energy, agribusiness, infrastructure and logistics, information technology, and property. It is also an active participant in the development of Indonesia’s strategic infrastructure, including toll roads, energy, transportation and logistics and sea ports.

Zenith Bank (Nigeria, Financials, 2.7% (2018: 2.6%)) is Nigeria’s second largest bank with 350 branches in Nigeria accounting for over 10% of the country’s banking assets. The company offers a full range of retail and corporate banking services and has subsidiaries in Ghana, Gambia and Sierra Leone.

¹        All percentages reflect the gross market exposure of the holding as a percentage of net assets. Percentages in brackets represent the value of the holding as at 30 September 2018. Together, the ten largest investments represent 29.2% of net assets (30 September 2018: 33.4%).
²        Includes exposure gained via contracts for difference.
³        Includes exposure gained via contracts for difference and equity holdings.

COUNTRY AND SECTOR ALLOCATION AS AT 31 MARCH 2019

Country allocation

Relative to the Benchmark Index (%)1			Absolute weights (Gross Market Exposure as a % of Net Assets)1
Egypt	8.7		Indonesia	14.2
Vietnam	8.1		Vietnam	10.0
Kazakhstan	7.0		Egypt	9.4
Argentina	6.9		United Arab Emirates	8.9
United Arab Emirates	5.1		Malaysia	8.8
Romania	4.9		Argentina	8.3
Nigeria	4.1		Thailand	7.5
Greece	3.1		Kazakhstan	7.2
Indonesia	2.8		Romania	5.4
Pan-Africa	2.4		Nigeria	4.9
Ukraine	2.4		Qatar	4.8
Pan-Asia	1.9		Philippines	4.8
Kenya	1.4		Greece	4.3
Turkey	0.2		Turkey	3.1
Qatar	0.0		Poland	2.7
Hungary	-0.1		Kuwait	2.5
Uruguay	-0.1		Ukraine	2.4
Tunisia	-0.1		Pan-Africa	2.4
Sri Lanka	-0.1		Saudi Arabia	2.1
Senegal	-0.1		Kenya	2.0
Jordan	-0.1		Pan-Asia	1.9
Slovenia	-0.2		Hungary	1.5
Pakistan	-0.2		Morocco	0.6
Oman	-0.2
Mauritius	-0.2
Croatia	-0.2
Luxembourg	-0.3
Lebanon	-0.3
Bangladesh	-0.3
Morocco	-0.3
Kuwait	-0.4
Bahrain	-0.5
Czech Republic	-0.8
Philippines	-1.0
Peru	-2.2
Colombia	-2.4
Malaysia	-2.7
Poland	-3.3
Thailand	-4.8
Chile	-5.4
Saudi Arabia	-13.0

Sources: BlackRock and Datastream.

¹     Includes exposure gained through equity positions and long and short CFD positions.

Sector allocation

Relative to the Benchmark Index (%)1			Absolute weights (Gross Market Exposure as a % of Net Assets)1
Real Estate	14.5		Financials	33.6
Consumer Discretionary	10.5		Real Estate	19.5
Health Care	5.6		Consumer Discretionary	14.9
Industrials	2.4		Consumer Staples	10.4
Consumer Staples	2.2		Industrials	8.7
Information Technology	0.9		Energy	7.9
Energy	0.4		Materials	7.7
Communication Services	-1.7		Health Care	7.6
Materials	-3.1		Communication Services	6.9
Utilities	-4.0		Utilities	1.3
Financials	-8.0		Information Technology	1.2

Source: BlackRock and Datastream.

¹ Includes exposure gained through equity positions and long and short CFD positions.

INVESTMENTS AS AT 31 MARCH 2019

Company	Principal  country of  operation	Sector	Fair  value and  market  exposure1  US$’000	Gross  market  exposure  as a % of  net assets3
Equity portfolio
Bk Rakyat	Indonesia	Financials	10,630	2.5
Semen Indonesia	Indonesia	Materials	10,591	2.5
PT Pakuwon Jati	Indonesia	Real Estate	9,345	2.2
Indo Tambangraya	Indonesia	Energy	7,717	1.8
Bank Mandiri	Indonesia	Financials	3,039	0.7
Astra International	Indonesia	Consumer Discretionary	1,962	0.5
Mitra Adiperkasa	Indonesia	Consumer Discretionary	1,508	0.4
			----------	----------
			44,792	10.6
			----------	----------
Eastern Tobacco	Egypt	Consumer Staples	12,302	2.9
Medinet Nasr	Egypt	Real Estate	9,609	2.3
Orascom Construction	Egypt	Industrials	9,444	2.2
Integrated Diagnostics	Egypt	Health Care	7,659	1.8
			----------	----------
			39,014	9.2
			----------	----------
Banco Macro	Argentina	Financials	15,334	3.6
YPF	Argentina	Energy	9,002	2.1
Pampa Energia	Argentina	Utilities	5,556	1.3
Irsa Inversiones GDR	Argentina	Real Estate	4,873	1.2
Loma Negra Compania Industrial Argentina	Argentina	Materials	241	0.1
			----------	----------
			35,006	8.3
			----------	----------
Emaar Properties	United Arab Emirates	Real Estate	11,884	2.8
Emaar Development	United Arab Emirates	Real Estate	8,966	2.1
Air Arabia	United Arab Emirates	Industrials	7,593	1.8
			----------	----------
			28,443	6.7
			----------	----------
Telekom Malaysia	Malaysia	Communication Services	8,914	2.1
Genting	Malaysia	Consumer Discretionary	8,403	2.0
Sapura Energy*	Malaysia	Energy	7,235	1.7
UMW	Malaysia	Consumer Discretionary	3,481	0.8
			----------	----------
			28,033	6.6
			----------	----------
Thai Beverage	Thailand	Consumer Staples	11,894	2.8
Total Access Communication	Thailand	Communication Services	9,276	2.2
Land & Houses Public Company	Thailand	Real Estate	3,433	0.8
			----------	----------
			24,603	5.8
			----------	----------
Erste Group Bank	Romania	Financials	8,609	2.0
BRD Groupe Société Générale	Romania	Financials	7,446	1.8
Banca Transilvania	Romania	Financials	6,910	1.6
			----------	----------
			22,965	5.4
			----------	----------
Zenith Bank	Nigeria	Financials	11,322	2.7
United Bank for Africa	Nigeria	Financials	8,283	2.0
Nigerian Breweries	Nigeria	Consumer Staples	1,081	0.2
			----------	----------
			20,686	4.9
			----------	----------
Halyk Savings Bank	Kazakhstan	Financials	11,675	2.8
Kazatomprom	Kazakhstan	Energy	7,283	1.7
			----------	----------
			18,958	4.5
			----------	----------
LT Group	Philippines	Industrials	13,219	3.1
			----------	----------
			13,219	3.1
			----------	----------
Tav Havalimanlari	Turkey	Industrials	6,596	1.6
Koza Altin	Turkey	Materials	5,131	1.2
			----------	----------
			11,727	2.8
			----------	----------
Alior Bank	Poland	Financials	11,202	2.7
			----------	----------
			11,202	2.7
			----------	----------
The National Bank of Kuwait	Kuwait	Financials	9,501	2.3
Kuwait Investment Projects	Kuwait	Financials	590	0.1
Mezzan	Kuwait	Consumer Staples	308	0.1
			----------	----------
			10,399	2.5
			----------	----------
MHP	Ukraine	Consumer Staples	10,356	2.4
			----------	----------
			10,356	2.4
			----------	----------
Vivo Energy	Pan-Africa	Consumer Discretionary	9,933	2.4
			----------	----------
			9,933	2.4
			----------	----------
Equity Group	Kenya	Financials	7,937	1.9
			----------	----------
			7,937	1.9
			----------	----------
National Bank of Greece	Greece	Financials	6,569	1.6
			----------	----------
			6,569	1.6
			----------	----------
Crystal International Group	Pan-Asia	Consumer Discretionary	3,292	0.8
			----------	----------
			3,292	0.8
			----------	----------
Douja Promotion Groupe Addoha	Morocco	Real Estate	2,720	0.6
			----------	----------
			2,720	0.6
			----------	----------
Equity investments			349,854	82.8
			----------	----------
BlackRock’s Institutional Cash Series plc – US Dollar Liquidity Fund (Cash Fund)			65,529	15.5
			----------	----------
Total equity investments (including Cash Fund)			415,383	98.3
			----------	----------
Total investments excluding CFDs			415,383	98.3
			======	======

*Includes warrant investments.

Company	Principal  country of  operation	Sector	Fair  value¹  US$’000	Gross  market  exposure2  US$’000	Gross  market  exposure  as a % of  net assets3
CFD portfolio
Long positions
Vincom Retail	Vietnam	Real Estate		12,894	3.1
Quang Ngai Sugar	Vietnam	Consumer Staples		8,307	2.0
Mobile World	Vietnam	Consumer Discretionary		7,220	1.7
FPT	Vietnam	Information Technology		4,973	1.2
Petrovietnam Fertilizer & Chemicals	Vietnam	Materials		4,138	1.0
				----------	----------
				37,532	9.0
				----------	----------
Astra International	Indonesia	Consumer Discretionary		9,383	2.2
Mitra Adiperkasa	Indonesia	Consumer Discretionary		5,874	1.4
				----------	----------
				15,257	3.6
				----------	----------
Alpha Bank	Greece	Financials		7,646	1.8
National Bank of Greece	Greece	Financials		3,780	0.9
				----------	----------
				11,426	2.7
				----------	----------
Kaz Minerals	Kazakhstan	Materials		11,378	2.7
				----------	----------
				11,378	2.7
				----------	----------
Ooredoo	Qatar	Communication Services		9,783	2.3
				----------	----------
				9,783	2.3
				----------	----------
UMW	Malaysia	Consumer Discretionary		6,931	1.6
Sapura Energy*	Malaysia	Energy		2,367	0.6
				----------	----------
				9,298	2.2
				----------	----------
NMC Health	United Arab Emirates	Health Care		9,270	2.2
				----------	----------
				9,270	2.2
				----------	----------
National Medical Care	Saudi Arabia	Health Care		8,749	2.1
				----------	----------
				8,749	2.1
				----------	----------
Land & Houses Public Company	Thailand	Real Estate		7,357	1.7
				----------	----------
				7,357	1.7
				----------	----------
Gedeon Richter	Hungary	Health Care		6,213	1.5
				----------	----------
				6,213	1.5
				----------	----------
Centamin	Egypt	Materials		860	0.2
				----------	----------
				860	0.2
				----------	----------
Equity Group	Kenya	Financials		343	0.1
				----------	----------
				343	0.1
				----------	----------
Kuwait Food (Americana)4	Kuwait	Consumer Staples		3	0.0
				----------	----------
				3	0.0
				----------	----------
Total long CFD positions			(2,203)	127,469	30.3
			----------	----------	----------
Total short CFD positions			(710)	(27,775)	(6.6)
			----------	----------	----------
Total CFD portfolio			(2,913)	99,694	23.7
			======	======	======

* Includes warrant investments.

FAIR VALUE AND GROSS MARKET EXPOSURE OF INVESTMENTS

Portfolio	Fair  value¹  US$’000	Gross  market  exposure2  US$’000	Gross  market  exposure  as a % of  net assets3
Equity investments	349,854	349,854	82.8
Total long CFD positions	(2,203)	127,469	30.3
Total short CFD positions	(710)	(27,775)	(6.6)
	----------	----------	----------
Total gross exposure	346,941	449,548	106.5
	----------	----------	----------
Cash Fund3	65,529	65,529	15.5
	----------	----------	----------
Total investments	412,470	515,077	122.0
	----------	----------	----------
Cash and cash equivalents1,3	4,655	(97,952)	(23.2)
Other net current assets	5,230	5,230	1.2
Non-current liabilities	(19)	(19)	0.0
	----------	----------	----------
Net assets	422,336	422,336	100.0
	======	======	======

¹             Fair value is determined as follows:
–        Listed investments are valued at bid prices where available, otherwise at latest market traded quoted prices.
–        The sum of the fair value column for the CFD contracts totalling US$(2,913,000) represents the fair valuation of all the CFD contracts, which is determined based on the difference between the transaction price and value of the underlying shares in the contract (in effect the unrealised gains/(losses) on the exposed positions). The cost of purchasing the securities held through long CFD positions directly in the market would have amounted to US$129,672,000 at the time of purchase, and subsequent market movement in prices have resulted in unrealised losses on the long CFD positions of US$2,203,000 resulting in the value of the total market exposure to the underlying securities decreasing to US$127,469,000 as at 31 March 2019. The notional price of selling the securities to which exposure was gained via the short CFD positions would have been US$27,065,000 at the time of entering into the contract, and subsequent market movement in prices have resulted in unrealised losses on the short CFD positions of US$710,000 and the value of the market exposure of these investments increasing to US$27,775,000 at 31 March 2019. If the short positions had been closed on 31 March 2019 this would have resulted in a loss of US$710,000 for the Company.
²             Market exposure in the case of equity investments is the same as fair value. In the case of CFDs it is the market value of the underlying shares to which the portfolio is exposed via the contract.
³             The gross market exposure column for cash and cash equivalents has been adjusted to assume the Company purchased/sold direct holdings rather than exposure being gained through CFDs.
⁴             Unquoted investment.

INDEPENDENT REVIEW REPORT TO BLACKROCK FRONTIERS INVESTMENT TRUST PLC

INTRODUCTION
We have been engaged by the Company to review the condensed set of financial statements in the half-yearly financial report for the six months ended 31 March 2019 which comprises the Statement of Comprehensive Income, the Statement of Changes in Equity, the Statement of Financial Position, the Cash Flow Statement and the Notes to the Financial Statements. We have read the other information contained in the half-yearly financial report and considered whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.

This report is made solely to the Company in accordance with guidance contained in International Standard on Review Engagements 2410 (UK and Ireland) “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Auditing Practices Board. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company, for our work, for this report, or for the conclusions we have formed.

DIRECTORS’ RESPONSIBILITIES
The half-yearly financial report is the responsibility of, and has been approved by, the Directors. The Directors are responsible for preparing the half-yearly financial report in accordance with the Disclosure Guidance and Transparency Rules of the United Kingdom’s Financial Conduct Authority.

As disclosed in note 2, the annual financial statements of the Company are prepared in accordance with IFRSs as adopted by the European Union. The condensed set of financial statements included in this half-yearly financial report has been prepared in accordance with International Accounting Standard 34, “Interim Financial Reporting”, as adopted by the European Union.

OUR RESPONSIBILITY
Our responsibility is to express to the Company a conclusion on the condensed set of financial statements in the half-yearly financial report based on our review.

SCOPE OF REVIEW
We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

CONCLUSION
Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the half-yearly financial report for the six months ended 31 March 2019 is not prepared, in all material respects, in accordance with International Accounting Standard 34 as adopted by the European Union and the Disclosure Guidance and Transparency Rules of the United Kingdom’s Financial Conduct Authority.

ERNST & YOUNG LLP
London
30 May 2019

STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 31 MARCH 2019

		Revenue US$’000			Capital US$’000			Total US$’000
		Six months ended		Year ended	Six months ended		Year ended	Six months ended		Year ended
	Notes	31.03.19  (unaudited)	31.03.18  (unaudited)	30.09.18  (audited)	31.03.19  (unaudited)	31.03.18  (unaudited)	30.09.18  (audited)	31.03.19  (unaudited)	31.03.18 (unaudited)	30.09.18 (audited)
Income
Income from investments held at fair value through profit or loss	3	6,788	4,004	19,295	–	–	–	6,788	4,004	19,295
Net income from contracts for difference	3	2,679	1,457	3,245	–	–	–	2,679	1,457	3,245
Other income	3	111	34	103	–	–	–	111	34	103
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Total revenue		9,578	5,495	22,643	–	–	–	9,578	5,495	22,643
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Net profit/(loss) on investments held at fair value through profit or loss		–	–	–	5,151	39,910	(27,899)	5,151	39,910	(27,899)
Net loss on foreign exchange		–	–	–	(333)	(98)	(336)	(333)	(98)	(336)
Net (loss)/profit from contracts for difference		–	–	–	(1,020)	3,037	(22,830)	(1,020)	3,037	(22,830)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Total		9,578	5,495	22,643	3,798	42,849	(51,065)	13,376	48,344	(28,422)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Expenses
Investment management and performance fees	4	(422)	(427)	(856)	(1,686)	(4,217)	(3,424)	(2,108)	(4,644)	(4,280)
Other operating expenses	5	(535)	(596)	(1,252)	(97)	(31)	(118)	(632)	(627)	(1,370)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Total operating expenses		(957)	(1,023)	(2,108)	(1,783)	(4,248)	(3,542)	(2,740)	(5,271)	(5,650)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Net profit/(loss) on ordinary activities before finance costs and taxation		8,621	4,472	20,535	2,015	38,601	(54,607)	10,636	43,073	(34,072)
Finance costs	6	(308)	(2)	(5)	(1,230)	(9)	(18)	(1,538)	(11)	(23)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Net profit/(loss) on ordinary activities before taxation		8,313	4,470	20,530	785	38,592	(54,625)	9,098	43,062	(34,095)
Taxation	7	(1,354)	(286)	(1,202)	(129)	5,843	5,955	(1,483)	5,557	4,753
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Profit/(loss) for the period		6,959	4,184	19,328	656	44,435	(48,670)	7,615	48,619	(29,342)
		----------	----------	----------	----------	----------	----------	----------	----------	----------
Earnings/(loss) per ordinary share (cents)	9	3.19	2.27	10.13	0.30	24.13	(25.50)	3.49	26.40	(15.37)
		======	======	======	======	======	======	======	======	======

The total column of this statement represents the Company’s Statement of Comprehensive Income, prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union (EU). The supplementary revenue and capital columns are both prepared under guidance published by the Association of Investment Companies (AIC). All items in the above statement derive from continuing operations. No operations were acquired or discontinued during the period. All income is attributable to the equity holders of the Company.

The Company does not have any other comprehensive income/(loss). The net profit/(loss) for the period disclosed above represents the Company’s total comprehensive income/(loss).

STATEMENT OF CHANGES IN EQUITY FOR THE SIX MONTHS ENDED 31 MARCH 2019

	Notes	Called  up share  capital  US$’000	Share  premium  account  US$’000	Capital  redemption  reserve  US$’000	Special  reserve  US$’000	Capital  reserves  US$’000	Revenue  reserve  US$’000	Total  US$’000
For the six months ended 31 March 2019 (unaudited)
At 30 September 2018		2,006	95,095	5,798	230,799	7,231	15,566	356,495
Total comprehensive income:
Net profit for the period		–	–	–	–	656	6,959	7,615
Transactions with owners, recorded directly to equity:
Share issues	10	62	10,783	–	–	–	–	10,845
Share issue costs		–	(55)	–	–	–	–	(55)
Share issues – conversion of C shares	11	339	58,184	–	–	–	–	58,523
Dividend paid(a)	8	–	–	–	–	–	(11,087)	(11,087)
		----------	----------	----------	----------	----------	----------	----------
At 31 March 2019		2,407	164,007	5,798	230,799	7,887	11,438	422,336
		----------	----------	----------	----------	----------	----------	----------
For the six months ended 31 March 2018 (unaudited)
At 30 September 2017		1,778	46,275	5,798	230,776	55,901	9,719	350,247
Total comprehensive income:
Net profit for the period		–	–	–	–	44,435	4,184	48,619
Transactions with owners, recorded directly to equity:
C Share issue costs – write back		–	–	–	23	–	–	23
Share issues		156	34,328	–	–	–	–	34,484
Dividend paid(b)		–	–	–	–	–	(7,631)	(7,631)
		----------	----------	----------	----------	----------	----------	----------
At 31 March 2018		1,934	80,603	5,798	230,799	100,336	6,272	425,742
		----------	----------	----------	----------	----------	----------	----------
For the year ended 30 September 2018 (audited)
At 30 September 2017		1,778	46,275	5,798	230,776	55,901	9,719	350,247
Total comprehensive income/(loss):
Net (loss)/profit for the year		–	–	–	–	(48,670)	19,328	(29,342)
Transactions with owners, recorded directly to equity:
Share issues		228	49,119	–	–	–	–	49,347
Share issue costs		–	(299)	–	–	–	–	(299)
C Share issue costs – write back		–	–	–	23	–	–	23
Dividends paid(c)		–	–	–	–	–	(13,481)	(13,481)
		----------	----------	----------	----------	----------	----------	----------
At 30 September 2018		2,006	95,095	5,798	230,799	7,231	15,566	356,495
		======	======	======	======	======	======	======

^(a)   Final dividend of 4.40 cents per share for the year ended 30 September 2018, declared on 10 December 2018 and paid on 7 February 2019 and special dividend paid in respect of the year ended 30 September 2018 of 1.00 cent per share, declared on 10 December 2018 and paid on 7 February 2019.
^(b)   Final dividend of 4.20 cents per share for the year ended 30 September 2017, declared on 1 December 2017 and paid on 9 February 2018.
^(c)   Final dividend of 4.20 cents per share for the year ended 30 September 2017, declared on 1 December 2017 and paid on 9 February 2018 and interim dividend paid in respect of the year ended 30 September 2018 of 3.00 cents per share, declared on 17 May 2018 and paid on 29 June 2018.

Costs related to the acquisition and disposal of investments amounted to US$341,000 and US$248,000 respectively for the six months ended 31 March 2019 (six months ended 31 March 2018: US$312,000 and US$195,000; year ended 30 September 2018: US$561,000 and US$519,000).

The share premium account and capital redemption reserve are not distributable profits under the Companies Act 2006. The special reserve may be used as distributable profits for all purposes and, in particular, for the repurchase by the Company of its ordinary shares and for payment as dividends. In accordance with the Company’s articles, net capital reserves may be distributed by way of the repurchase by the Company of its ordinary shares and for payment as dividends.

STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2019

	Notes	31 March 2019  US$’000  (unaudited)	31 March 2018  US$’000  (unaudited)	30 September 2018  US$’000  (audited)
Non current assets
Investments held at fair value through profit or loss		415,383	423,542	348,501
		------------	------------	------------
Current assets
Other receivables		8,674	5,746	755
Derivative financial assets held at fair value through profit or loss		1,273	1,080	4,011
Cash and cash equivalents		4,656	4,079	4,425
Cash collateral held with brokers in respect of contracts for difference		4,270	3,389	10,180
		------------	------------	------------
		18,873	14,294	19,371
		------------	------------	------------
Total assets		434,256	437,836	367,872
		------------	------------	------------
Current liabilities
Other payables		(7,714)	(8,462)	(7,847)
Derivative financial liabilities held at fair value through profit or loss		(4,186)	(3,093)	(3,511)
Cash collateral received in respect of contracts for difference		–	(520)	–
Bank overdraft		(1)	–	–
		------------	------------	------------
		(11,901)	(12,075)	(11,358)
		------------	------------	------------
Total assets less current liabilities		422,355	425,761	356,514
		------------	------------	------------
Non current liabilities
Management shares of £1.00 each (one quarter paid)		(19)	(19)	(19)
		------------	------------	------------
Net assets		422,336	425,742	356,495
		=======	=======	=======
Equity attributable to equity holders
Called up share capital	10	2,407	1,934	2,006
Share premium account		164,007	80,603	95,095
Capital redemption reserve		5,798	5,798	5,798
Special reserve		230,799	230,799	230,799
Capital reserves		7,887	100,336	7,231
Revenue reserve		11,438	6,272	15,566
		------------	------------	------------
Total equity		422,336	425,742	356,495
		=======	=======	=======
Net asset value per ordinary share (US cents)	9	175.48	220.03	177.70
		=======	=======	=======

CASH FLOW STATEMENT FOR THE SIX MONTHS ENDED 31 MARCH 2019

	Six months ended  31 March 2019  US$’000  (unaudited)	Six months ended  31 March 2018  US$’000  (unaudited)	Year ended  30 September 2018  US$’000  (audited)
Operating activities
Net profit/(loss) on ordinary activities before taxation	9,098	43,062	(34,095)
Add back finance costs	1,538	11	23
Net (profit)/loss on investments and contracts for difference held at fair value through profit or loss (including transaction costs)	(5,839)	(44,007)	47,874
Net loss on foreign exchange	333	98	336
Sales of investments held at fair value through profit or loss	155,958	119,647	245,347
Purchases of investments held at fair value through profit or loss	(212,672)	(91,743)	(232,640)
Sales of Cash Fund*	143,864	65,169	195,025
Purchases of Cash Fund*	(108,476)	(122,265)	(229,748)
Realised losses on closure of contracts for difference	(35,239)	(29,581)	(77,413)
Realised gains on closure of contracts for difference	39,342	34,236	55,539
Increase in other receivables	(1,410)	(1,393)	(203)
Increase/(decrease) in other payables	3,866	2,485	(2,139)
(Increase)/decrease in amounts due from brokers	(6,491)	1,063	3,567
Net cash collateral received/(pledged)	5,910	(3,368)	(10,679)
(Decrease)/increase in amounts due to brokers	(4,105)	(1,667)	2,342
Taxation paid	(1,494)	(382)	(1,186)
	------------	------------	------------
Net cash outflow from operating activities	(15,817)	(28,635)	(38,050)
	------------	------------	------------
Financing activities
Interest paid	(25)	(11)	(23)
Proceeds from share issues	10,845	34,484	50,644
Share issue costs paid	(55)	23	(276)
Cash proceeds from C share issue	9,853	–	–
Cash received from BlackRock Emerging Europe Plc	7,353	–	–
C share issue costs paid	(504)	–	–
Dividends paid	(11,087)	(7,631)	(13,481)
	------------	------------	------------
Net cash inflow from financing activities	16,380	26,865	36,864
	------------	------------	------------
Increase/(decrease) in cash and cash equivalents	563	(1,770)	(1,186)
Effect of foreign exchange rate changes	(333)	(98)	(336)
	------------	------------	------------
Change in cash and cash equivalents	230	(1,868)	(1,522)
Cash and cash equivalents at the start of the period	4,425	5,947	5,947
	------------	------------	------------
Cash and cash equivalents at the end of the period	4,655	4,079	4,425
	------------	------------	------------
Comprised of:
Cash at bank	4,656	4,079	4,425
Bank overdraft	(1)	–	–
	------------	------------	------------
Total	4,655	4,079	4,425
	=======	=======	=======

* Cash Fund represents funds held on deposit with BlackRock’s Institutional Cash Series plc – US Dollar Liquidity Fund.

NOTES TO THE FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 31 MARCH 2019

1. PRINCIPAL ACTIVITY
The principal activity of the Company is that of an investment trust company within the meaning of section 1158 of the Corporation Tax Act 2010.

2. BASIS OF PREPARATION
The half yearly financial statements have been prepared using the same accounting policies as set out in the Company’s Annual Report and Financial Statements for the year ended 30 September 2018 which were prepared in accordance with International Financial Reporting Standards (‘IFRS’) as adopted by the European Union and applied in accordance with International Accounting Standard 34, ‘Interim Financial Reporting’.

Insofar as the Statement of Recommended Practice (‘SORP’) for investment trust companies and venture capital trusts issued by the Association of Investment Companies (‘AIC’), revised in November 2014 and updated in January 2017 and February 2018 is compatible with IFRS, the Financial Statements have been prepared in accordance with guidance set out in the SORP.

Adoption of new and amended standards and interpretations
IFRS 9 Financial Instruments
The classification and measurement requirements of IFRS 9 have been adopted retrospectively as of the date of initial application on 1 October 2018, however, the Company has chosen to take advantage of the option not to restate comparatives. Therefore, the 2018 comparative figures are presented and measured under IAS 39. All financial assets previously held at fair value continue to be measured at fair value and accordingly there has been no impact as a result of the adoption of IFRS 9. All financial assets that were classified as loans and receivables and measured at amortised cost continue to be so.

IFRS 15 Revenue from contracts with customers
The Company adopted IFRS 15 as of the date of initial application of 1 October 2018. IFRS 15 replaces IAS 18 Revenue and establishes a five-step model to account for revenue arising from contracts with customers. In addition, guidance on interest and dividend income have been moved from IAS 18 to IFRS 9 without significant changes to the requirements. Therefore, there was no impact of adopting IFRS 15 for the Company.

C share liability
On 27 November 2018 the Company issued 44,927,580 C shares with a nominal value of 10 cents each at a price of £1.00 per share. On 11 January 2019 the C shares were converted into Ordinary shares. The conversion ratio, which has been calculated by reference to the net assets of the Company attributable to the Ordinary shares and the net assets of the Company attributable to the C shares as at the close of business on 7 January 2019 was 0.7547 Ordinary shares for every C share held.

The C shares (when in issue) were listed on the London Stock Exchange. After the conversion of the C shares into Ordinary shares, the C shares were delisted on 22 January 2019.

Whilst the C shares were in issue, the results, assets and liabilities attributable to the C shares were accounted for in a separate pool to the results, assets and liabilities of the Ordinary shares. A share of the management fee and other expenses for the period the C shares had been in issue was allocated to the C share pool.

C shares are recognised on issue at fair value less directly attributable transaction costs. After initial recognition, C shares are subsequently measured at amortised cost using the effective interest method. Amortisation is credited or charged to finance income or finance costs in the Statement of Comprehensive Income. Transaction costs are amortised to the earliest conversion period.

The C shares issued represented contracts for conversion into a variable number of Ordinary shares and therefore the C shares are classified as liabilities under IAS 32. The classification resulted in the issue costs and the return on the C shares being presented as finance costs in the Company’s Statement of Comprehensive Income. The return on the C shares represented an increase in the assets attributable to the C shares over and above the proceeds raised from their issue.

At the time that it arose, the Directors considered whether the C share liability should be valued at fair value or stated at amortised cost.

The C shares were traded on the London Stock Exchange. The amortised cost value of the C share pool equated to the net asset value of the C shares, which the Directors considered was the most appropriate way to value the liability. The liability was extinguished on 11 January 2019 upon the conversion of C shares into Ordinary shares.

3. INCOME

	Six months ended  31 March 2019  (unaudited)  US$’000	Six months ended  31 March 2018  (unaudited)  US$’000	Year ended  30 September 2018  (audited)  US$’000
Investment income:
UK dividends	–	–	24
Overseas listed dividends	4,109	1,822	12,415
Overseas listed special dividends	1,101	564	707
Overseas listed stock dividends	451	1,030	3,798
Income from P-Notes	–	–	547
Interest from Cash Fund	1,068	588	1,804
Fixed interest income	59	–	–
	--------------	--------------	--------------
	6,788	4,004	19,295
	--------------	--------------	--------------
Net income from contracts for difference	2,679	1,457	3,245
	--------------	--------------	--------------
	9,467	5,461	22,540
	--------------	--------------	--------------
Other income:
Deposit interest	111	34	103
	--------------	--------------	--------------
Total income	9,578	5,495	22,643
	========	========	========

Dividends and interest received in cash in the six months ended 31 March 2019 amounted to US$4,130,000 and US$1,040,000 (six months ended 31 March 2018: US$3,626,000 and US$34,000; year ended 30 September 2018: US$17,706,000 and US$1,771,000) respectively.

No special dividends have been recognised in capital (six months ended 31 March 2018: US$nil; year ended 30 September 2018: US$nil).

4. INVESTMENT MANAGEMENT FEE

	Six months ended 31 March 2019 (unaudited)			Six months ended 31 March 2018 (unaudited)			Year ended 30 September 2018 (audited)
	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000
Investment management fee	422	1,686	2,108	427	1,707	2,134	856	3,424	4,280
Performance fee	–	–	–	–	2,510	2,510	–	–	–
	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------
Total	422	1,686	2,108	427	4,217	4,644	856	3,424	4,280
	========	========	========	========	========	========	========	========	========

An investment management fee equivalent to 1.10% per annum of the Company’s gross assets (defined as the aggregate net assets of the long equity and CFD portfolios of the Company) is payable to the Manager. In addition, the Manager is also entitled to receive a performance fee at a rate of 10% of any increase in the NAV at the end of a performance period over and above what would have been achieved had the NAV since launch increased in line with the Benchmark Index, which, since 1 April 2018, is a composite of the MSCI Emerging Markets Index ex Selected Countries + MSCI Frontier Markets Index + MSCI Saudi Arabia Index. Prior to 1 April 2018, the Benchmark Index was the MSCI Frontier Markets Index. For the purposes of calculation of performance fee for the six months ended 31 March 2019 and for the year to 30 September 2018, the performance of the Net Asset Value total return has been measured against the performance of the benchmark indices on a blended basis during the period/year.

For the six months ended 31 March 2019, the Company’s NAV did not outperform the Benchmark Index on a US Dollar basis therefore a performance fee of US$nil has been accrued (six months ended 31 March 2018: US$2,510,000; year ended 30 September 2018: US$nil).

The performance fee payable in any year is capped at an amount equal to 2.5% or 1% of the gross assets if there is any increase or decrease in the NAV per share at the end of the relevant performance period, respectively. Any capped excess outperformance for a period may be carried forward to the next two performance periods, subject to the then applicable annual cap. The performance fee is also subject to a high watermark such that any performance fee is only payable to the extent that the cumulative relative outperformance of the NAV is greater than what would have been achieved had the NAV increased in line with the Benchmark Index since the last date in relation to which a performance fee had been paid.

Under the terms of the C share issue in November 2018, BlackRock had agreed to waive the management fees payable by the Company up to the value of issue expenses that exceeded the capped amount of 1.00% of the gross proceeds from the issue of C shares. As the issue expenses exceeded the capped amount, the excess issue expenses of US$34,000 have been offset against the investment management fee payable by the Company during the period ended 31 March 2019.

5. OTHER OPERATING EXPENSES

	Six months ended  31 March 2019  (unaudited)  US$’000	Six months ended  31 March 2018  (unaudited)  US$’000	Year ended  30 September 2018  (audited)  US$’000
Allocated to revenue:
Custody fee	184	244	503
Auditor’s remuneration:
– audit services	19	18	38
– other assurance services1	5	7	9
Registrar’s fee	18	22	52
Directors’ emoluments	97	102	205
Broker fees	20	22	62
Depositary fees2	20	22	44
Marketing fees	44	55	93
Other administrative costs	128	104	246
	--------------	--------------	--------------
	535	596	1,252
	========	========	========
Allocated to capital:
Custody transaction charges	97	31	118
	--------------	--------------	--------------
	97	31	118
	--------------	--------------	--------------
	632	627	1,370
	========	========	========

¹  Fees for non audit services relate to the following services provided by the Auditor:
–  US$5,000 (six months ended 31 March 2018: US$7,000; year ended 30 September 2018: US$9,000) relating to the review of the interim financial statements.
–  Â£37,500 (US$49,000) (excluding VAT) in respect of the work on the Company’s C share issue. These fees were included as part of the C shares liability detailed in note 12, and were debited to the Company’s Statement of Comprehensive Income as finance costs.
²    All expenses other than depositary fees are paid in Sterling and are therefore subject to exchange rate fluctuations.

6. FINANCE COSTS

	Six months ended 31 March 2019 (unaudited)			Six months ended 31 March 2018 (unaudited)			Year ended 30 September 2018 (audited)
	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000
Interest payable – bank overdraft	5	20	25	2	9	11	5	18	23
Amortisation of C share issue costs	122	488	610	–	–	–	–	–	–
Return on C shares	181	722	903	–	–	–	–	–	–
	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------
Total	308	1,230	1,538	2	9	11	5	18	23
	========	========	========	========	========	========	========	========	========

7. TAXATION

	Six months ended 31 March 2019 (unaudited)			Six months ended 31 March 2018 (unaudited)			Year ended 30 September 2018 (audited)
	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000	Revenue  US$’000	Capital  US$’000	Total  US$’000
Analysis of tax charge/(credit) for the period:
Current tax:
Corporation tax	561	(561)	–	199	(199)	–	562	(562)	–
Overseas tax	378	–	378	87	–	87	640	–	640
Overseas tax on capital gains	–	1,105	1,105	–	295	295	–	546	546
Capital gains tax provision reversed	–	–	–	–	(3,286)	(3,286)	–	(3,286)	(3,286)
Corporation tax prior year adjustment	415	(415)	–	–	–	–	–	–	–
	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------
Total current tax	1,354	129	1,483	286	(3,190)	(2,904)	1,202	(3,302)	(2,100)
Deferred tax – capital gains tax provision reversed	–	–	–	–	(2,653)	(2,653)	–	(2,653)	(2,653)
	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------	--------------
Total tax charge	1,354	129	1,483	286	(5,843)	(5,557)	1,202	(5,955)	(4,753)
	========	========	========	========	========	========	========	========	========

Following the enactment of Argentine tax reform (Law No. 27,430), effective 1 January 2018, and discussions with the Company’s advisers, capital gains on American Depositary Receipts over Argentine equity held by the Company will not give rise to an Argentine Capital Gains Tax liability and accordingly the provision for capital gains tax of US$5,939,000 previously accrued by the Company was reversed during the year to 30 September 2018.

8. DIVIDENDS
The Board has declared an interim dividend of 3.00 cents per share payable on 28 June 2019 to shareholders on the register at 7 June 2019 (six months ended 31 March 2018, interim dividend of 3.00 cents per share paid on 29 June 2018 to shareholders on the register at 1 June 2018). This dividend has not been accrued in the financial statements for the six months ended 31 March 2019, as under IFRS, interim dividends are not recognised until paid. Dividends are debited directly to reserves.

9. EARNINGS AND NET ASSET VALUE PER ORDINARY SHARE

	Six months ended  31 March 2019  (unaudited)	Six months ended  31 March 2018  (unaudited)	Year ended  30 September 2018  (audited)
Net revenue profit attributable to ordinary shareholders (US$’000)	6,959	4,184	19,328
Net capital profit/(loss) attributable to ordinary shareholders (US$’000)	656	44,435	(48,670)
	----------------	----------------	----------------
Total profit/(loss) attributable to ordinary shareholders (US$’000)	7,615	48,619	(29,342)
	----------------	----------------	----------------
Equity shareholders’ funds (US$'000)	422,336	425,742	356,495
	--------------	----------------	----------------
The weighted average number of ordinary shares in issue during the period on which the earnings per ordinary share was calculated was:	218,214,127	184,192,578	190,842,459
	----------------	----------------	----------------
The actual number of ordinary shares in issue at the end of each period on which the net asset value per ordinary share was calculated was:	240,672,801	193,491,108	200,616,108
	----------------	----------------	----------------
Return per ordinary share
Revenue earnings per share (US cents)	3.19	2.27	10.13
Capital earnings/(loss) per share (US cents)	0.30	24.13	(25.50)
	----------------	----------------	----------------
Total earnings/(loss) per share (US cents)	3.49	26.40	(15.37)
	=========	=========	=========

	As at  31 March 2019  (unaudited)	As at  31 March 2018  (unaudited)	As at  30 September 2018  (audited)
Net asset value per ordinary share (US cents)	175.48	220.03	177.70
Ordinary share price (US cents)*	173.31	228.66	182.25
Net asset value per ordinary share (pence)	134.67	156.85	136.26
Ordinary share price (pence)	133.00	163.00	139.75
	=========	=========	=========

*        The Company’s share price is quoted in Sterling and the above represents the US Dollar equivalent, based on exchange rates US$1.3031 to £1 at 31 March 2019, US$1.4028 to £1 at 31 March 2018 and US$1.3041 to £1 at 30 September 2018.

10. CALLED UP SHARE CAPITAL

	Number of  ordinary  shares	Nominal value  US$’000
Allotted, called up and fully paid share capital comprised:
Ordinary shares of 1 cent each:
At 30 September 2018	200,616,108	2,006
	----------------	----------------
Share issues	6,150,000	62
	----------------	----------------
Conversion of C shares into Ordinary shares	33,906,693	339
	----------------	----------------
At 31 March 2019	240,672,801	2,407
	==========	==========

The Company also has in issue 50,000 management shares which carry the right to a fixed cumulative preferred dividend.

During the period the Company issued 6,150,000 Ordinary shares (six months ended 31 March 2018: 15,623,000; year ended 30 September 2018: 22,748,000) for a total gross consideration of US$10,845,000 (six months ended 2018: US$34,484,000; year ended 30 September 2018: US$49,347,000). A further 33,906,693 Ordinary shares were issued following the conversion of C shares. Please see note 11 for further details. No further Ordinary shares have been issued since the period end and up to and including the date of this report.

11. C SHARES: FINANCIAL LIABILITY

	31 March 2019  US$’000
Net proceeds from issue of C shares	57,010
Amortisation of C share issue costs	610
Return on C share liability	903
Extinguishment of C share liability upon conversion to ordinary shares	(58,523)
	----------------
	–
	=========

On 27 November 2018 the Company issued 44,927,580 C shares with a nominal value of 10 cents each at a price of £1.00 per share. On 11 January 2019 the C shares were converted into 33,906,693 ordinary shares. The conversion ratio, which has been calculated by reference to the net assets of the Company attributable to the ordinary shares and the net assets of the Company attributable to the C shares as at the close of business on 7 January 2019 was 0.7547 Ordinary shares for every C share held.

The C shares (when in issue) were listed on the London Stock Exchange. After the conversion of the C shares to ordinary shares, the C shares were delisted on 22 January 2019.

Whilst the C shares were in issue, the results, assets and liabilities attributable to the C shares were accounted for in a separate pool to the results, assets and liabilities of the ordinary shares. A share of management fee and other expenses for the period the C shares had been in issue was allocated to the C share pool.

The table below gives a breakdown of the gross proceeds (excluding issue costs) from the issue of C shares during the period:

	US$’000
Consideration received from C share issue pursuant to rollover option in connection with reconstruction of BlackRock Emerging Europe plc:
Investments	40,414
Cash	7,353
	----------------
	47,767
Proceeds from C share issue pursuant to placing and offer for subscription:
Cash	9,853
	----------------
Gross proceeds from issue of C shares	57,620
	=========

The tables below give a summary of the results of the C share pool up to the date of conversion.

For the period from issue to conversion on 11 January 2019	US$’000
Gross proceeds from issue of C shares	57,620
C share issue costs	(610)
Net revenue income	114
Fair value gains on investments and contracts for difference	789
Finance costs – amortisation of C share issue costs	610
	----------------
Value of C shares on conversion	58,523
	=========

12. VALUATION OF FINANCIAL INSTRUMENTS
Financial assets and financial liabilities are either carried in the Statement of Financial Position at their fair value (investments and derivatives) or at an amount which is a reasonable approximation of fair value (due from brokers, dividends and interest receivable, due to brokers, accruals, cash at bank and bank overdrafts). IFRS 13 requires the Company to classify fair value measurements using a fair value hierarchy that reflects the significance of inputs used in making the measurements. The valuation techniques used by the Company are explained in the accounting policies note 2(g) as set out on pages 57 and 58 in the Company’s Annual Report and Financial Statements for the year ended 30 September 2018.

Categorisation within the hierarchy has been determined on the basis of the lowest level input that is significant to the fair value measurement of the relevant asset.

The fair value hierarchy has the following levels:

Level 1 – Quoted market price for identical instruments in active markets. A financial instrument is regarded as quoted in an active market if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service or regulatory agency and those prices represent actual and regularly occurring market transactions on an arm’s length basis. The Company does not adjust the quoted price for these instruments.

Level 2 – Valuation techniques used to price securities based on observable inputs. This category includes instruments valued using quoted market prices in active markets for similar instruments; quoted prices for similar instruments in markets that are considered less than active; or other valuation techniques where all significant inputs are directly or indirectly observable from market data. Valuation techniques used for non-standard instruments such as options, currency swaps and other over-the-counter derivatives include the use of comparable recent arm’s length transactions, reference to other instruments that are substantially the same, discounted cash flow analysis, option pricing models and other valuation techniques commonly used by market participants making the maximum use of market inputs and relying as little as possible on entity specific inputs.

As at the year ended 30 September 2018, the P-Notes were valued using the underlying equity bid price and the inputs to the valuation were the exchange rates used to convert the P-Note valuation from the relevant local currency to US Dollars at the year end date. No P-Notes were held as at 31 March 2019.

As at the period end the CFDs were valued using the underlying equity bid price and the inputs to the valuation were the exchange rates used to convert the CFD valuation from the relevant local currency in which the underlying equity was priced to US Dollars at the period end date. There have been no changes to the valuation technique since the previous year or as at the date of this report.

Level 3 – Valuation techniques using significant unobservable inputs. This category includes all instruments where the valuation technique includes inputs not based on observable data and these inputs could have a significant impact on the instrument’s valuation. This category includes instruments that are valued based on quoted prices for similar instruments where significant entity determined adjustments or assumptions are required to reflect differences between the instruments and instruments for which there is no active market. The level in the fair value hierarchy within which the fair value measurement is categorised in its entirety is determined on the basis of the lowest level input that is significant to the fair value measurement in its entirety.

For this purpose, the significance of an input is assessed against the fair value measurement in its entirety. If a fair value measurement uses observable inputs that require significant adjustment based on unobservable inputs, that measurement is a Level 3 measurement. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgement, considering factors specific to the asset or liability.

The determination of what constitutes ‘observable’ requires significant judgement by the investment manager. The investment manager considers observable data to be that market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.

Contracts for difference and P-Notes have all been classified as level 2 investments as their valuation has been based on market observable inputs represented by the market prices of the underlying quoted securities to which these contracts expose the Company.

The table below sets out fair value measurements using IFRS 13 fair value hierarchy.

Financial assets/(liabilities) at fair value through profit or loss at 31 March 2019	Level 1  US$’000	Level 2  US$’000	Level 3  US$’000	Total  US$’000
(unaudited)
Assets:
Equity investments	349,854	–	–	349,854
Cash Fund	65,529	–	–	65,529
Contracts for difference (gross
exposure on long positions)	–	127,466	3	127,469
Liabilities:
Contracts for difference (gross exposure on short positions)	–	(27,775)	–	(27,775)
	--------------	--------------	--------------	--------------
	415,383	99,691	3	515,077
	=========	=========	=========	=========

Financial assets/(liabilities) at fair value through profit or loss at 31 March 2018	Level 1  US$’000	Level 2  US$’000	Level 3  US$’000	Total  US$’000
(unaudited)
Assets:
Equity investments	290,825	–	–	290,825
P–Notes	–	9,428	–	9,428
Cash Fund	123,289	–	–	123,289
Contracts for difference (gross exposure on long positions)	–	123,117	3	123,120
Liabilities:
Contracts for difference (gross exposure on short positions)	–	(12,276)	–	(12,276)
	--------------	--------------	--------------	--------------
	414,114	120,269	3	534,386
	=========	=========	=========	=========

Financial assets/(liabilities) at fair value through profit or loss at 30 September 2018	Level 1  US$’000	Level 2  US$’000	Level 3  US$’000	Total US$’000
(audited)
Assets:
Equity investments	236,806	–	–	236,806
P–Notes	–	10,778	–	10,778
Cash Fund	100,917	–	–	100,917
Contracts for difference (gross
exposure on long positions)	–	136,772	3	136,775
Liabilities:
Contracts for difference (gross
exposure on short positions)	–	(27,461)	–	(27,461)
	--------------	--------------	--------------	--------------
	337,723	120,089	3	457,815
	=========	=========	=========	=========

There were no transfers between levels of financial assets and financial liabilities during the period recorded at fair value as at 31 March 2019, 31 March 2018 or the year ended 30 September 2018. The Company held one Level 3 security throughout the period under review and as at 31 March 2019.

A reconciliation of fair value measurement in Level 3 is set out below.

Level 3 Financial assets at fair value through profit or loss	31 March 2019  US$’000  (unaudited)	31 March 2018  US$’000  (unaudited)	30 September 2018  US$’000  (audited)
Opening fair value	3	213	213
Disposal	–	(211)	(211)
Change in fair value during the period/year	–	1	1
	------------------	------------------	------------------
Closing balance	3	3	3
	==========	==========	==========

13. RELATED PARTY DISCLOSURE: DIRECTORS’ EMOLUMENTS
The Board consists of five non-executive Directors, all of whom are considered to be wholly independent by the Board. None of the Directors has a service contract with the Company. The Chairman receives an annual fee of £37,000, the Chairman of the Audit and Management Engagement Committee receives an annual fee of £31,000 and each other Director receives an annual fee of £27,000.

As at 31 March 2019 an amount of US$16,000 (£12,000) (31 March 2018: US$17,000 (£12,000); 30 September 2018: US$16,000 (£12,000)) was outstanding in respect of Directors’ fees.

At the period end, the interests of the Directors in the ordinary shares of the Company are as set out below:

	Ordinary shares
Audley Twiston-Davies (Chairman)	128,935
John Murray	121,967
Nick Pitts-Tucker	110,148
Sarmad Zok	Nil
Stephen White	30,000

14. TRANSACTIONS WITH THE AIFM AND THE INVESTMENT MANAGER
BlackRock Fund Managers Limited (BFM) provides management and administration services to the Company under a contract which is terminable on six month’s notice. BFM has (with the Company’s consent) delegated certain portfolio and risk management services, and other ancillary services, to Blackrock Investment Management (UK) Limited (BIM (UK)).

The investment management fee due for the six months ended 31 March 2019 amounted to US$2,108,000 (six months ended 31 March 2018: US$2,134,000; year ended 30 September 2018: US$4,280,000). No performance fee is payable for the six months ended 31 March 2019 (six months ended 31 March 2018: US$2,510,000, year ended 30 September 2018: US$nil).

At the period end US$2,108,000 was outstanding in respect of management fees (31 March 2018: US$3,076,000; 30 September 2018: US$1,024,000). Any final performance fee for the full year to 30 September 2019 will not crystallise and fall due until the calculation date of 30 September 2019.

In addition to the above services, BlackRock has provided the Company with marketing services. The total fees paid or payable for these services to 31 March 2019 amounted to US$44,000 excluding VAT (six months ended 31 March 2018: US$55,000; year ended 30 September 2018: US$93,000). Marketing fees of US$112,000 excluding VAT (31 March 2018: US$109,000; 30 September 2018: US$68,000) were outstanding at 31 March 2019.

The Company has an investment in the Cash Fund of US$65,529,000 at 31 March 2019 (31 March 2018: US$123,289,000; 30 September 2018: US$100,917,000), which is a fund managed by a company within the BlackRock Group.

15. CONTINGENT LIABILITIES
There were no contingent liabilities at 31 March 2019 (31 March 2018 and 30 September 2018: nil).

16. PUBLICATION OF NON STATUTORY ACCOUNTS
The financial information contained in this half yearly report does not constitute statutory accounts as defined in section 435 of the Companies Act 2006. The financial information for the six months ended 31 March 2019 has not been audited.

The information for the year ended 30 September 2018 has been extracted from the latest published audited financial statements, which have been filed with the Registrar of Companies, unless otherwise stated. The report of the auditors on those accounts contained no qualifications or statement under section 498(2) or 498(3) of the Companies Act 2006.

17. ANNUAL RESULTS
The Board expects to announce the annual results for the year ending 30 September 2019 in early December 2019.

Copies of the annual results announcement can be obtained from the Secretary on 020 7743 3000 or at [e-mail]. The Annual Report should be available by late December with the Annual General Meeting being held in February 2020.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Simon White, Managing Director, Investment Trusts, BlackRock Investment Management (UK) Limited - Tel: [phone]

Press enquiries:
Lucy Horne, Lansons Communications – Tel:  [phone]
E-mail: [e-mail]

30 May 2019

12 Throgmorton Avenue
London EC2N 2DL
END