BLACKROCK
THROGMORTON TRUST PLC
(LEI: 5493003B7ETS1JEDPF59)
Management fee arrangements and change
in investment restrictions
The Board of BlackRock Throgmorton Trust plc (the “Company”) is
pleased to announce a change in the management fees payable to
BlackRock Fund Managers Limited (‘’the Manager’’).
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The base management fee will be reduced from 0.70 per cent. to
0.35 per cent. of gross assets per annum. (Management fees will be
calculated on the month end gross assets of the Company, including
the economic exposure of the total long and short Contracts for
Difference (CFDs) and index futures less current liabilities). The
new base management fee will be effective from 1 August 2017.
-
The performance fee will be increased from 10 per cent. to 15
per cent. of Net Asset Value (NAV) total return outperformance of
the benchmark measured over a two year rolling basis and will be
applied on the average gross assets over two years.
-
The previous cap on the performance fee of 1 per cent. of
average gross assets over a one year period has been replaced with
a cap of 0.9% of average gross assets over a two year period.The
new performance fee will be effective 1
December 2017 to coincide with the start of the new
financial year of the Company. These arrangements will be reflected
in the Investment Management Agreement between the Company and the
Manager as a cap of 1.25% of average gross assets over a two year
period which will apply on the total base and performance fee
payable from 1 December 2017.
The Company also announces a non-material change to its
investment policy. Effective immediately, the Company will increase
the restriction on its maximum exposure to equities or collective
investment vehicles traded on the AIM market of the London Stock
Exchange from 25 per cent. to 35 per cent. of the Company’s gross
assets at the time of acquisition of investments. The Board will
continue to review whether the investment policy restrictions
remain appropriate, including investigating the potential benefits
of increasing the AIM exposure further and ensuring the benchmark
is suitably aligned to the underlying investments.
The Company remains a focused small/mid cap fund with the
ability to mitigate risk and improve performance by using CFDs and
index futures to adjust both market exposure and generate
additional returns.
For the purposes of the Listing Rules, the Manager is a related
party of the Company and the amendments as set out above fall
within Listing Rule 11.1.10 R, thus
not requiring a shareholder vote.
For further information, please
contact:
Simon White, Managing Director,
Investment Companies, BlackRock Investment Management (UK)
Limited
Tel: 020 7743 5284
Press enquiries:
Lucy Horne, Lansons
Communications – Tel: 020 7294 3689
E-mail: lucyh@lansons.com
24 July 2017
END