Portfolio Update

BLACKROCK THROGMORTON TRUST PLC All information is at30 April 2016 and unaudited.
Performance at month end is calculated on a cum income basis
		One			Three	One	Three		Five
		month			months	year	years		years
		%			%	%	%		%
Net asset value (undiluted)#		-0.1			2.1	7.0	44.7		70.6
Net asset value (fully diluted)		n/a			n/a	n/a	n/a		61.6
Share price		3.3			1.7	13.7	48.3		81.7
Benchmark*		1.2			6.2	1.8	30.9		45.0
Sources: BlackRock and Datastream #Prior to dilution arising on conversion of subscription shares in 2011. *With effect from 1 December 2013 the Numis Smaller Companies excluding AIM (excluding investment companies) Index replaced the Numis Smaller Companies plus AIM (excluding investment companies) Index as the Company’s benchmark. The three and five year period indices have been blended to reflect this.
At month end
Net asset value capital only:							376.83p
Net asset value incl. income:							379.86p
Share price							326.00p
Discount to cum income NAV							14.2%
Net yield							2.1%*
Total Gross assets							£277.8m**
Net market exposure as a % of net asset value^							106.0%
Ordinary shares in issue:							73,130,326***
2015 ongoing charges (excluding performance fees):							1.1%****
2015 ongoing charges ratio (including performance fees):							2.3%
* Calculated using prior year interim and final dividends paid. ** Includes current year revenue and excludes the gross exposure through contracts for difference. *** Excluding 7,400,000 shares held in treasury. **** Calculated as a percentage of average net assets and using expenses, excluding performance fees and interest costs for the year ended 30 November 2015. ^Long positions less short positions as a percentage of net asset value.
Sector Weightings			% of Total Assets
Industrials			27.3
Consumer Services			20.8
Financials			18.1
Technology			9.2
Consumer Goods			9.0
Health Care			8.2
Basic Materials			4.3
Oil & Gas			2.1
Net current liabilities			1.0
			-----
Total			100.0
			=====
Market Exposure (Quarterly)
	31.05.15			31.08.15		30.11.15		29.02.16
	%			%		%		%
Long	116.8			115.2		115.2		118.2
Short	9.6			9.0		9.2		11.2
Gross exposure	126.4			124.2		124.4		129.4
Net exposure	107.2			106.2		106.0		107.0
Ten Largest Investments
Company			% of Total Gross assets
JD Sports			3.0
4imprint Group			2.9
CVS Group			2.7
Workspace Group			2.4
Dechra Pharmaceuticals			2.2
Rathbone Brothers			2.0
Restore			1.8
Savills			1.7
Topps Tiles			1.7
Fuller Smith & Turner			1.7
Commenting on the markets, Mike Prentis and Dan Whitestone, representing the Investment Manager noted: During April the Company’s NAV per share fell by 0.1% on a cum income basis whilst our benchmark index rose by 1.2%; the FTSE 100 Index rose by 1.4%. The long only portfolio accounted for all of the underperformance during the month. The CFD portfolio contributed positively, adding 0.13% to relative performance over the same period (calculated gross of operating costs including management fees). Within the long only portfolio stock selection and sector allocation were both poor during the month. We suffered from the continuing bounce in resources stocks and the sell-off of UK domestically orientated shares ahead of the UK referendum. Lack of ownership of five mining stocks in the benchmark (Evraz, Centamin, Hochschild, Acacia Mining and Vedanta Resources) detracted 1.2% from relative performance. The sell-off in UK domestically orientated stocks such as Marshalls, Topps Tiles and Lookers detracted, in aggregate, a further 0.3% from relative performance. Newsflow from these companies has generally remained good in recent months. We did have some good stock performers within the long only portfolio during the month, notably Next Fifteen and JD Sports, and held good meetings with each. Next Fifteen announced full year revenues up by 18.9% and earnings per share up by 28%. It has a strong US technology presence and its larger customers include Amazon, Google and Facebook with whom it works closely. JD Sports also announced strong full year results with revenues up by 20% and earnings per share up by 57%. We added long only portfolio positions in McCarthy & Stone and Saga, both through placings, and in Morses Club, on IPO. McCarthy & Stone is the UK market leader in the development of owner-occupied retirement accommodation. Saga is a leading provider of products and services tailored to customers over the age of 50 in the UK. Morses Club is one of the largest home credit providers in the UK. Despite the challenging backdrop, the CFD portfolio was able to generate a positive relative performance of 0.13%, with the long book generating 0.16% and the short book detracting 0.05%.  In common with the long only portfolio, the CFD portfolio suffered from a sentiment driven market.  However, the stock specific success we did enjoy, notably from JD Sports strong full year results delivering further upgrades, as well as 2 shorts profit warnings ensured we delivered a positive return overall. The top 10 performing long CFDs comprised of 7 longs and 3 shorts and ranged from 0.1% to 0.03% of positive performance.  The key long performers were JD Sports, YouGov and Accessco.  The top 10 detractors comprised of 5 longs and 5 shorts and ranged from -0.02% to -0.06% of negative performance.  The biggest detractor was from our long position in PaddyPowerBetfair. We have now finally exited our position and this month’s modest loss should be viewed in the context of the excellent returns this company has generated for this portfolio, with the shares up circa 6x over the last 3 years. 2 short positions in highly indebted commodity related shares also weighed on performance as the rally in commodities continued.  As the banks seem willing to relax covenants and allow companies to refinance, the imminent catalyst for a rescue rights issue or an insolvency has been postponed, so we have decided to retire 1 of these positions, though we retain a small net short position in commodities. Overall there is little change in activity or portfolio construction to report, and we continue to believe that the CFD portfolio should serve the Company well in 2016. 20 May 2016 ENDS Latest information is available by typing www.blackrock.co.uk/thrg on the internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV terminal).  Neither the contents of the Manager’s website nor the contents of any website accessible from hyperlinks on the Manager’s website (or any other website) is incorporated into, or forms part of, this announcement.