Having taken over the £45.6m portfolio in April 2012, BlackRock has posted a 111% share price return over five years to 30 November and a net asset value figure of 98.6%. This compared with the FTSE All-Share's total return of 98.7% over the period.
Only over the shorter-term has the portfolio outperformed the All-Share in NAV terms with 6.3% over three months against the benchmark’s 4.7% and delivering 0.1% compared with the All-Share’s negative return of -0.7% over the month of November.
The trust is currently trading at a discount of 1.4%. Its net yield of 3.3% is based on an interim dividend of 2p per share for the year ended 31 October.
Carphone Warehouse top pick in November
Avigdori has attributed its monthly gains to Carphone Warehouse, which has been a steady climber since its low point in September of 221.75p. At 19 December, its share price sat above 279p.
He said: "The shares rose strongly following first half profits that exceeded market expectations leading to raised earnings guidance. Motor insurer Esure recovered following recent weakness after a reassuring update."
In addition, Betfair's share price rose following its new permissions to trade in New Jersey – a new entrant to the online gaming world and the stronger economic data helped industrial companies Spectris and Ashtead to outperform.
BT's Champions League bid hit BSkyB
Holding back performance was a declining BskyB share price – hurt by the successful outbid by BT for the full live broadcast rights of the Champion League and its position in insurer Phoenix, which saw its shares fall after proposed bid by Swiss Re never came to fruition.
The manager initiated a position in AstraZeneca in the core part of the portfolio, Rentokil Initial as a turnaround stock and Ryanair and Merlin Entertainment in the growth part of the portfolio.
"We added to positions in Tate & Lyle and Reckitt Benckiser and reduced British Sky Broadcasting and HSBC while we exited from BT Group and Standard Chartered," he said.
On outlook, Avigdori added: "Equity valuations have been lifted by strong liquidity levels and the perception that 'tail risks' have subsided in 2013. Although equities have risen, valuations versus alternative asset classes remain attractive, which should continue to support equities."
