Natural Resources in a Diversified Portfolio
Evy Hambro, Chief Investment Officer
Natural Resources Team, London
3rd November 2016
FAEGLO-0251
Mining
Where are we in the cycle*?
Euromoney Global Mining Index – last 15 years
900
800
Commodity super-cycle
GFC
China
stimulus
post
GFC
China economic
slowdown
Where next for the mining sector?
 Jan-16 appears to have
marked the bottom for the
mining sector
700
 The situation in China has
improved but global economic
growth likely to remain low
Index level
600
 Mining
companies
have
improved
their
financial
positions
500
400
 We expect capex to remain
low and the focus to remain on
improving balance sheets
300
 We believe quality will win
through over the medium to
longer-term
200
100
0
Source: Datastream, September 2016
Past performance is not a guide to future performance. GFC stands for Global Financial Crisis. Capex stands for capital expenditure- Capital
expenditure is the amount of money a company spends on capital such as new equipment. Forecasts may not come to pass. *A cycle refers to a series of
events that are regularly repeated in the same order.
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The mining sector still unloved
Bank of America Merrill Lynch Global Fund Manager Survey (FMS)
30
200
20
180
10
Performance rebased
Percentage
160
0
140
-10
120
-20
100
-30
-40
80
2005
2006
2007
2008
2009
2010
2011
FMS Net % say OW materials
2012
2013
2014
2015
2016
Sector performance versus world RHS
The sector’s recent outperformance has caused pain to the relative performance of many investor’s portfolios
Source: Bank of America Merrill Lynch Global Fund Manager Survey, September 2016. Past performance is not a guide to future performance and
should not be the sole factor of consideration when selecting a product. OW stands for overweight. Sector performance versus world refers to
resources equities versus world equity index.
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A strong run in 2016 but only back to June 2015 levels
Sector performance in 2016 – Rebased to 100
Sector performance last 2 years – Rebased to 100
170
120
160
110
China A share
market crash
100
Rebased to 100
Rebased to 100
150
140
130
120
110
90
80
70
60
100
50
90
40
80
30
Euromoney Global Mining Index
Base Metals Index
Renminbi
devaluation
Glencore’s
share price
falls 30% in
one day
Iron Ore (63.5% concentration)
CDS
spreads
blow up
Gold
Whilst the sector has performed strongly in 2016, it has only returned to June 2015 levels
Source: Datastream, September 2016. Reference to commodities, companies and indices mentioned in this communications is merely for explaining the
investment strategy, and should not be construed as investment advice or investment recommendation of those commodities, companies or indices. Past
performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product. CDS stands for
credit default swap which are swaps where the seller agrees to compensate the buyer in the event a particular debt issuer defaults
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Concerns around debt in the mining sector have eased
Glencore
1,400
Teck Resources
2,500
6
18
16
1,200
5
2,000
14
1,000
12
600
1,500
10
8
US $
3
Basis points
800
US $
Basis points
4
1,000
6
2
400
4
500
1
200
2
0
0
0
0
Glencore - 5 year CDS spread - LHS
Teck Resources - 5 year CDS spread - LHS
Glencore - share price - RHS
Teck Resources - share price - RHS
Last year performance was driven by changing concerns around debt levels. This year performance driven by:
improved sentiment towards China, rising commodity prices and companies strengthening balance sheets
Source: Datastream, September 2016. Reference to the names of each company mentioned in this communications is merely for explaining the
investment strategy, and should not be construed as investment advice or investment recommendation of those companies. Past performance is not a
guide to future performance and should not be the sole factor of consideration when selecting a product. CDS stands for credit default swap
which are swaps where the seller agrees to compensate the buyer in the event a particular debt issuer defaults
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6
Earnings forecast
Difference between 2016 spot price and consensus
16% 14.7%
10.5% 10.1%
Percent
10%
8.6%
8%
6%
4.9% 4.6%
3.5%
4%
1.9
1.9%
2%
0%
-0.1%
-2%
1.3
1.1 1.1
1.0 1.0
1.0 1.0
0.9 0.9
0.8 0.8 0.8
0.8
0.7 0.7
0.6 0.6
0.6 0.5
0.5 0.5 0.5
0.4 0.4
Automobiles & Components
Materials
Energy
Utilities
Software & Services
Transportation
Food Beverage & Tobacco
Real Estate
Food & Drug Retailing
Cons. Durables & Apparel
Health Care Equipment
Pharmaceuticals
Europe
Commercial Services
Media
Household
Insurance
Capital Goods
Tech Hardware
Telecom
Hotel Restaraunts
Retailing
Div Financials
Banks
Semiconductor
2.2
2.0
1.8
1.6
1.4
1.2
1.0
0.8
0.6
0.4
14%
12%
3-month earnings revision ratio
Zinc
Thermal Coal
Lead
Silver
Brent
Nickel
Gold
Iron Ore
Copper
2016 spot
2,270
61.8
1,958
19.03
46.6
9,819
1,324
53
4,766
2016
Consensus
1,979
55.9
1,779
17.53
44.4
9,385
1,280
52
4,773
% difference
+14.7%
+10.5%
+10.1%
+8.6%
+4.9%
+4.6%
+3.5%
+1.9%
-0.1%
Commodity prices have surprised to the upside in 2016
Source: Top-left and bottom: Bloomberg, September 2016. Top-right: Bank of America Merrill Lynch, September 2016. Reference to the names of each
commodity mentioned in this communications is merely for explaining the investment strategy, and should not be construed as investment advice or
investment recommendation of those commodities. Past performance is not a guide to future performance and should not be the sole factor of
consideration when selecting a product. The earnings revision ratio is the net number of analyst upgrades, expressed as a proportion of the number of
forecasts.
7
China’s– it’s about quality, not quantity
China targets an L-shaped growth* as it transits into a
consumption-led growth model
15%
Monetary
Policy:
From loose
to stable;
reduce
funding cost
12%
9%
Property
Policy:
Increasingly
divergent
FX Policy:
Stabilizing
expectation
but still
pressured
vs. USD
Fiscal
Policy:
From
conservative
to more
proactive
6%
3%
0%
Consumption
Gross capital formation & net exports
Source: UN Centre of statistics, as at October 2016. FX Policy stands for foreign exchange policy, it refers to the effective management of currency reserves.
Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation's economy. *L-shaped growth
means that after the market or economy has reached the lowest point, comprising the vertical part of the L, the economy then takes on a very slow recovery,
comprising the horizontal part of the L.
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Improving economic activity builds on our case for stable to
increasing demand
6 month changes in OECD leading indicators
2.00
1.50
1.00
Percent
0.50
0.00
-0.50
-1.00
-1.50
-2.00
2011
2012
2013
China
2014
US
2015
2016
Europe
Source : Bank of America Merrill Lynch, October 2016. Past performance is not a guide to future performance and should not be the sole
factor of consideration when selecting a product. OECD stands for Organisation for economic cooperation and development.
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Valuation: Free Cash Flow (FCF)
Major bulk commodity producers
$50
15%
$40
12%
$30
9%
$20
6%
$10
3%
$0
0%
($10)
-3%
($20)
-6%
($30)
-9%
Annual FCF ($bn)
1yr Forward FCF Yield (%)^
Gold miners
$5
$4
$3
$2
$1
$0
($1)
($2)
($3)
($4)
10%
8%
6%
4%
2%
0%
-2%
-4%
-6%
-8%
Annual FCF (bn)
1yr Forward FCF Yield (%)
FCF Yield at Spot
Source: Jefferies, September 2016. . Forecasts may not come to pass. Free cash flow is a measure of a company’s financial performance,
calculated as operating cash flow minus capital expenditures. Free Cash Flow Yield is an indicator that compares free cash flow and market cap. It
is a representation of the income created by an investment.
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Gold
Macro backdrop: Political risk is increasingly prevalent
Country
Election Date
Spain
In the 24 months following the Brexit referendum, 85% of
Eurozone GDP will go to the polls
% of Eurozone GDP
June 2016
Netherlands
European Union
March 2017
France
Eurozone with upcoming election / referendum
April 2017
Eurozone
Germany
September 2017
Italy
Finland
2%
February 2018
Possible Eurozone Referendum
28%
US Election
7%
0.2%
21%
11%
16%
Source: Reuters, Oxford Economics, 31st December 2015. Bottom left: Businessinsider.com and time.com – accessed 07/06/16. GDP stands for Gross
Domestic Product.
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Macro backdrop: Increased correlations leave nowhere to hide
Equity and bond correlation – 2 year rolling y-o-y price changes between S&P 500 and US 10Y bonds
60%
40%
0%
-20%
-40%
-60%
-80%
-100%
Jul-09
Sep-09
Nov-09
Jan-10
Mar-10
May-10
Jul-10
Sep-10
Nov-10
Jan-11
Mar-11
May-11
Jul-11
Sep-11
Nov-11
Jan-12
Mar-12
May-12
Jul-12
Sep-12
Nov-12
Jan-13
Mar-13
May-13
Jul-13
Sep-13
Nov-13
Jan-14
Mar-14
May-14
Jul-14
Sep-14
Nov-14
Jan-15
Mar-15
May-15
Jul-15
Sep-15
Nov-15
Jan-16
Mar-16
May-16
Jul-16
Sep-16
Percent
20%
Source: Thomson Reuters Datastream, September 2016. Y-O-Y stands for year-on-year. Correlation is a mutual relationship or connection between
two or more things. Equity is the value of shares issued by a company. A bond is an instrument of debt issued to the holders.
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Diminishing opportunity cost associated with holding gold
Percentage of government debt with negative yield (horizontal axis) vs. total outstanding debt level
(bubble size)
1: Sweden
2: Denmark
3: Slovakia
4: Finland
5: Austria
Germany
1
Portugal
2
Ireland
France
Spain
Italy
4
Switz.
5
3
Japan
Neth.
Belgium
0%
20%
40%
60%
80%
100%
Gold no longer has a meaningful opportunity cost associated with holding it in comparison to other safe haven assets as
many of these (e.g. government bonds) have low or even negative yields.
Source: Goldman Sachs, September 2016. Opportunity cost is the loss of other alternatives when one alternative is chosen. The yield is the
income return on an investment.
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The gold sector had lost its way…
2011-2012
2013
Gold industry uses ever higher gold price
assumptions and management teams embark on
increasingly ambitious projects
Throughout this period: Long-term shareholders
(including
BLK
Natural
Resources
team)
increasingly vocal calling for better capital
discipline and a greater focus on returning capital
to shareholders
The industry begins to make changes in response
to poor share price performance: increasing
dividends, senior management turnover
However, too little too late and as the gold price
falls the industry is very badly positioned and
everything collapses
A significant portion of ounces that were brought
into reserves over the previous 5 years now
worthless
2013 performance: rebased to 100
140
120
Annual percentage
change
2010
2011
100
2012
80
60
Price of gold
bullion
+29.4%
+11.1%
40
+5.6%
20
0
FTSE Gold Mines
Index
+29.0%
-15.9%
-15.4%
Gold bullion
FTSE Gold Mines Index
MSCI World Index
Source: Datastream, March 2016
Source: Datastream, March 2016
Reference to the indices mentioned in this communications is merely for. explaining the investment strategy, and should not be construed as investment
advice or investment recommendation of those indices. Past performance is not a guide to future performance and should not be the sole factor of
consideration when selecting a product. .
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… but appears to be back on track

Drastic changes in the gold industry

Companies focus on cutting operating
and capital costs

Corporate costs slashed

Exploration budgets reigned in

Development projects cancelled or
postponed

Beta returns

Cost pressures evaporate due to
broader
Natural
Resources
depression
Source : BMO, February 2016.
Reference to the indices mentioned in this communications is merely for. explaining the investment strategy, and should not be construed as
investment advice or investment recommendation of those indices. Past performance is not a guide to future performance and should not be
the sole factor of consideration when selecting a product. .
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16
Past performance is no guide to future performance but has the rise just
begun?
Bull markets compared: Datastream Gold Mining Index – Bull markets since 1976
800
700
600
Rebased to 100
500
400
300
We are
here
200
100
1
8
15
22
29
36
43
50
57
64
71
78
85
92
99
106
113
120
127
134
141
148
155
162
169
176
183
190
197
204
211
218
225
232
239
246
253
260
267
274
281
288
295
302
309
316
323
330
337
344
351
358
365
372
379
386
0
Weeks
08/1976 - 10/1980
11/2000 - 03/2008
10/2008 - 04/2011
12/2015 - 10/2016
Source: Datastream, October 2016. Past performance is not a guide to current or future performance and should not be the sole factor of
consideration when selecting a product. Reference to the index mentioned in this communications is merely for. explaining the investment strategy,
and should not be construed as investment advice or investment recommendation of the index. A bull market is a market in which share prices are
rising.
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17
Energy
Energy market outlook
 Current oil prices are unsustainable
 Returns in the energy sector will need to improve to incentivize
investment
 Oil prices will therefore need to rise and / or costs need to fall
(we expect a combination of both)
 Historically, the energy sector has performed very strongly when
returns in the sector have started to improve
 We believe we are past the point of maximum oversupply in the
oil market and we expect it to tighten from here – global growth is
the key risk to this
 This could provide a supportive backdrop but near term risks and
volatility is likely to remain
 Valuations are at extreme relative lows
BlackRock 2016. There is no guarantee that any forecasts made will come to pass. Any investments named within this material may not
necessarily be held in any accounts managed by BlackRock. Reliance upon information in this material is at the sole discretion of the reader.
Volatility refers to the fluctuation in value (how much the value increases and decreases).
FAEGLO-0251
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Capital is being constrained at current oil prices
Project deferrals globally
Production decline by resource type
Cumulative oil production capacity lost due to
project deferrals
100
6
90
80
5
Million barrels / day
Million barrels / day
70
4
3
60
50
40
30
20
2
10
0
1
2014
Required
New Production
New Production
Shale Oil
Shallow Water
0
2015
2016
2017
2018
2019
2020
2017
2020
Biofuels Processing Grains
Deep Water
Land Conventional
Decline rates mean that significant investment is needed for oil production to just stand still
Source: Left: Rystad, Platts, Bloomberg, Evercore ISI Energy Research, July 2016 . Right: Schlumberger Presentation – Scotia Howard Weil Conference
March 2015. This material is not intended to be relied on as a forecast. There is no guarantee that estimated numbers will come to pass.
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Oil market: supply / demand outlook
Non OPEC Production – Year on year
Global supply and demand looks set to tighten
Millions of barrels per day
3
US Production (m)
Rest of World (Non-OPEC excl. US) (m)
2
1
0
-1
-2
2012
2013
2014
2015
2016
We appear to be past the point of maximum oversupply in the oil market and we expect it to tighten from here
Source: Left: Thomson Reuters Datastream, latest datapoint (May) as of August 2016, Right: Wood MacKenzie, Sept 2016 . There is no guarantee
that any forecasts made will come to pass. Reliance upon information in this material is at the sole discretion of the reader. OPEC stands for
organisation for petroleum exporting countries.
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Valuations at relative lows
Relative P/B valuation at historic lows
Relative P/B (US Energy Equities / US Equities)
Current relative P/B
1.1
1.0
Relative P/B
0.9
0.8
0.7
0.6
0.5
0.4
Energy equities are being priced as if the sector’s returns are structurally impaired
Source: HOLT, Credit Suisse, August 2016. Depicts US Energy relative to US Equities. PB stands for price to book. The price-to-book ratio is a
financial ratio used to compare a company’s current market price to its book value. Past performance is not a guide to future performance and
should not be the sole factor of consideration when selecting a product.
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22
Commodities Income Investment Trust
Commodities Income Investment Trust – Asset allocation
Energy – 51.3%
Mining – 56.0%
1.3%
0.2%
0.4%
1.9%
5.3%
2.5%
3.5%
22.0%
23.3%
9.9%
23.9%
13.2%
Integrated
Exploration and production
Oil services
Refining & Marketing
Diversified
Gold
Copper
Silver
Fertilizers
Diamonds
Steel
Industrial Minerals
Source: BlackRock. Data as at 30/09/16. Data shown above is for illustrative purposes only and does not necessarily represent the current or future
allocation of the fund. Exposure can exceed 100% due to gearing in the fund. Gearing refers to the level of a company’s debt related to its equity capital,
usually expressed in percentage form. Gearing is a measure of a company’s financial leverage and shows the extent to which its operations are funded
by lenders versus shareholders. Reference to the names of each company and index mentioned in this communications is merely for explaining the
investment strategy, and should not be construed as investment advice or investment recommendation of those companies or indices. Please
remember that past performance is not a guide to future performance. The value of an investment and the income from it can fall as well as rise.
FAEGLO-0251
24
Commodities Income Investment Trust – Sector breakdown & Top ten
holdings
Top 10 Holdings
Stock
Geography: Location of assets
Region of risk
Exposure
Africa
7.8%
Royal Dutch Shell
Global
7.0%
BHP Billiton
Global
6.9%
Rio Tinto
Global
6.3%
Exxon Mobil
Global
5.2%
BP
Global
3.8%
Newcrest
Australia
3.4%
Glencore
Global
3.3%
Enbridge
North America
3.2%
Anadarko
Global
3.0%
First Quantum Minerals*
Global
Africa ex South Africa
Australasia
Latin America
USA
Canada
South Africa
Europe ex UK
Source: BlackRock. Data as at 30/09/16. *Includes debt and equity investment. Data shown above is for illustrative purposes only and does not necessarily
represent the current or future allocation of the fund. Exposure can exceed 100% due to gearing in the fund. Gearing refers to the level of a company’s debt
related to its equity capital, usually expressed in percentage form. Gearing is a measure of a company’s financial leverage and shows the extent to which its
operations are funded by lenders versus shareholders. Reference to the names of each company and index mentioned in this communications is merely for
explaining the investment strategy, and should not be construed as investment advice or investment recommendation of those companies or indices. Please
remember that past performance is not a guide to future performance. The value of an investment and the income from it can fall as well as rise.
FAEGLO-0251
25
Yield vs Broader Market
Dividend Yield* of BLK Commodities Income Investment Trust vs FTSE All Share & Average UK Investment Trust
BLK Commodities Income Investment Trust
FTSE All Share
UK Investment Trusts Total Market (Datastream Index)
15
Dividend Yield %
13
11
9
7
5
3
1
Nov 05
Nov 06
Nov 07
Nov 08
Nov 09
Nov 10
Nov 11
Nov 12
Nov 13
Nov 14
Nov 15
Source: Thomson Reuters Datastream Nov 2005 (Trust inception) – 10/10/16 (most recently available data). Please remember that past performance is
not a guide to future performance. The value of an investment and the income from it can fall as well as rise. Reference to the index mentioned in this
communications is merely for explaining the investment strategy, and should not be construed as investment advice or investment recommendation of those
companies or indices.
*Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to its share price.
FAEGLO-0251
26
Appendix
BlackRock World Mining Trust – Calendar Year Performance
Performance of BRWM Share Price, NAV and Benchmark (TR)
125%
20%
19.8%
15%
11.1%
10.7%
75%
10%
5.3%
Percent
5%
2.7%
1.6%
-0.5%
0%
-25%
-2.6%
-5%
-10%
-13.4%
-75%
Percent
4.7%
25%
-15%
-16.4%
-125%
2015
2014
Share Price - LHS
2013
2012
Undiluted NAV - LHS
2011
2010
2009
2008
Euromoney Global Mining Index (TR) - LHS
-20%
2007
2006
2005
NAV performance vs Benchmark - RHS
Sep-16
YTD to
end Sep16
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
Share Price (TR)
7.6%
80.2%
-37.0%
-30.4%
-17.5%
-4.1%
-21.5%
48.6%
122.0%
-61.1%
49.0%
29.1%
61.5%
Undiluted NAV
(TR)
9.1%
77.3%
-35.3%
-26.4%
-24.6%
-5.0%
-22.3%
46.3%
103.0%
-58.5%
57.1%
32.9%
63.9%
Euromoney
Global Mining
Index (TR)
8.9%
82.4%
-36.9%
-13.0%
-24.1%
-2.4%
-27.0%
35.6%
83.2%
-42.1%
54.4%
21.8%
58.6%
GBP
Source: Datastream and BlackRock as at end September 2016 – Performance in sterling terms, net of fees with income reinvested. Past performance is not a guide to future performance
and should not be the sole factor of consideration when selecting a product.
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28
BlackRock World Mining Trust - Relative dividend yield
Dividend yield of BlackRock World Mining Trust versus the mining sector and UK market
14.0
12.0
% dividend yield
10.0
8.0
6.0
4.0
2.0
0.0
BRWM
FTSE All Share
FTSE All Share Mining Index
Source: Thomson Reuters Datastream 10/10/16 (most recently available data). Please remember that past performance is not a guide to future
performance. The value of an investment and the income from it can fall as well as rise. Reference to the index mentioned in this communications is merely
for explaining the investment strategy, and should not be construed as investment advice or investment recommendation of those companies or indices.
*Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to its share price.
FAEGLO-0251
29
BlackRock World Mining Trust Plc
Net gearing as at end September 2016:
12.8%
Commodity Exposure (gross exposure)
Industrial
Minerals,
3.9%
Nickel, 3.2%
Zinc, 0.4%
AUM as at end September 2016:
Security Breakdown (gross exposure)
Iron Ore,
0.1%
Mining
Corporate Debt,
14%
Silver &
Diamonds,
15.1%
Diversified,
35.8%
£703.5m
Unquoted
(Banro goldlinked pref share
and Avanco
royalty), 4%
Mining
Convertible
Debt, 1%
Copper,
19.0%
Listed Equities,
97%
Gold, 22.8%
Source: BlackRock. LHS as at 30/09/16. RHS: as at 31/12/2016. Data shown above is for illustrative purposes only and does not necessarily represent
the current or future allocation of the fund. Exposure can exceed 100% due to gearing in the fund. Gearing refers to the level of a company’s debt related
to its equity capital, usually expressed in percentage form. Gearing is a measure of a company’s financial leverage and shows the extent to which its
operations are funded by lenders versus shareholders. Reference to the names of each company and index mentioned in this communications is merely
for explaining the investment strategy, and should not be construed as investment advice or investment recommendation of those companies or indices.
Please remember that past performance is not a guide to future performance. The value of an investment and the income from it can fall as well as rise.
FAEGLO-0251
30
BlackRock World Mining Trust Plc – Top 10 holdings
Company exposure
Geography
Commodity
Percentage Holding
Rio Tinto
Global
Diversified
8.6%
BHP Billiton
Global
Diversified
8.3%
First Quantum Minerals*
Africa
Copper
8.0%
Glencore
Global
Diversified
5.6%
Lundin Mining*
Global
Diversified
4.3%
Fresnillo
Latin America
Silver/Gold
4.1%
Teck Resources
Global
Diversified
3.4%
Newmont Mining
Africa
Copper
3.3%
Norilsk Nickel
Russia
Diversified
3.3%
Cerro Verde
Latin America
Copper
3.3%
Source: BlackRock. Data as at 30/09/16. *Includes debt and equity investment. Data shown above is for illustrative purposes only and does not necessarily represent the current or
future allocation of the fund. Exposure can exceed 100% due to gearing in the fund. Gearing refers to the level of a company’s debt related to its equity capital, usually expressed in
percentage form. Gearing is a measure of a company’s financial leverage and shows the extent to which its operations are funded by lenders versus shareholders. Reference to the
names of each company and index mentioned in this communications is merely for explaining the investment strategy, and should not be construed as investment advice or investment
recommendation of those companies or indices. Please remember that past performance is not a guide to future performance. The value of an investment and the income from it can fall
as well as rise.
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Commodities Income Investment Trust: Calendar Year Performance
Performance – Calendar Year and Year to Date
80%
61.2%
54.8%
60%
48.9%
56.9%
53.1%
46.8%
40%
33.8%
29.5%
20%
0%
-5.0%
-0.8%
-2.0% -0.5%
-12.9%-14.5%
-20%
-14.5%
-19.7%
-32.3%-32.9%
-40%
-44.1%-43.4%
-60%
YTD
2015
2014
2013
2012
NAV (total return)
Sep-16
3
months
YTD to
end
Sep-16
Undiluted NAV (TR)
6.0%
8.9%
48.9%
Share Price (TR)
6.1%
18.3%
46.8%
Sterling terms
2015
2014
2011
2010
2009
2008
2007
Share Price (total return)
2013
2012
2011
2010
2009
2008
2007
2006
-32.3% -12.9%
-5.0%
-2.0%
-14.5%
29.5%
54.8%
-44.1%
56.9%
12.6%
-32.9% -14.5%
-0.8%
-0.5%
-19.7%
33.8%
61.2%
-43.4%
53.1%
5.7%
Source: BlackRock and Datastream. Data as at 30/09/2016. All data in Sterling and with income re-invested (where applicable). All figures refer to total
return. Past performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product.
Net Asset Value (NAV) performance is not the same as share price performance, and shareholders may realise returns that are lower or higher than
NAV performance. NAV refers to the value of the underlying stocks held in the portfolio.
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Commodities Income Investment Trust Performance: Premium / Discount of
Share Price to NAV
Performance: Premium / Discount of Share Price to Net Asset Value
3,000,000
10%
2,500,000
5%
2,000,000
0%
1,500,000
-5%
1,000,000
Premium / Discount
15%
-10%
-15%
May 12
500,000
Sep 12
Jan 13
May 13
Sep 13
Jan 14
Shares issued (RHS Axis)
May 14
Sep 14
Jan 15
Premium/(Discount)
May 15
Sep 15
Jan 16
May 16
0
Sep 16
3m moving average
Source: Internal, Datastream. Data as 12/09/16. Please remember that past performance is not a guide to future performance. The value of an
investment and the income from it can fall as well as rise.
Net Asset Value (NAV) performance is not the same as share price performance, and shareholders may realise returns that are lower or higher than
NAV performance. NAV refers to the value of the underlying stocks held in the portfolio.
Premium / Discount refers to the difference between the NAV and the share price.
FAEGLO-0251
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Index performance- past 5 years
YTD to end
Sep-16
2015
2014
2013
2012
2011
Euromoney Global Mining Index
81.9%
-40.8%
-18.5%
-23.1%
-0.7%
-28.8%
MSCI World Index
5.6%
-0.9%
4.9%
26.7%
15.8%
-5.5%
MSCI Base Metals Index
12.3%
-24.4%
-8.4%
-7.9%
4.5%
-21.5%
Datastream Gold Mining Index
519.4%
-18.4%
-16.6%
-52.7%
-14.2%
-18.4%
Index
Source: Internal, Datastream. Data as 30/09/16. Please remember that past performance is not a guide to future performance. Indices
mentioned in this communications is merely for explaining the investment strategy, and should not be construed as investment advice or
investment recommendation of those indices.
FAEGLO-0251
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Important Notes
The following notes should be read in conjunction with the attached document:
 Issued by BlackRock Investment Management (UK) Limited, authorised and regulated by the Financial Conduct Authority. Registered
office: 12 Throgmorton Avenue, London, EC2N 2DL. Tel: 020 7743 3000. Registered in England No. 2020394. For your protection
telephone calls are usually recorded. BlackRock is a trading name of BlackRock Investment Management (UK) Limited.
 Past performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product. All
financial investments involve an element of risk. Therefore, the value of your investment and the income from it will vary and your initial
investment amount cannot be guaranteed. Changes in the rates of exchange between currencies may cause the value of investments to
go up and down. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall
suddenly and substantially. Levels and basis of taxation may change from time to time.
 The fund can invest in mining shares which typically experience above average volatility when compared to other investments. Trends
which occur within the general equity market may not be mirrored within mining securities.
 Investors in this Fund should understand that capital growth is not a priority and values may fluctuate and the level of income may vary
from time to time and is not guaranteed.
 The fund may make distributions from capital as well as income or pursue certain investment strategies in order to generate income.
Whilst this might allow more income to be distributed, it may also have the effect of reducing capital and the potential for long-term capital
growth.
 Compared to more established economies, the value of investments in developing Emerging Markets may be subject to greater volatility
due to differences in generally accepted accounting principles or from economic or political instability.
 The fund may invest in smaller company shares which can be more unpredictable and less liquid than those of larger company shares.
 The fund utilises derivatives as part of its investment strategy. Compared to a fund which only invests in traditional instruments such as
stocks and bonds, derivatives are potentially subject to a higher level of risk and volatility.
 The use of covered call options in the fund will usually provide some limited protection to investors when stock markets are falling, but may
also result in a lower return in a rising market, when compared to the benchmark
 The fund invests a large portion of assets which are denominated in other currencies; hence changes in the relevant exchange rate will
affect the value of the investment.

Investment strategies, such as borrowing, used by the Trust can result in even larger losses suffered when the value of the underlying
investments fall.
CONTINUED OVERLEAF
FAEGLO-0251
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Important Notes cont’d
 The fund invests in a limited number of market sectors. Compared to investments which spread investment risk through investing in a
variety of sectors, share price movements may have a greater effect on the overall value of this fund.
 Unless indicated the fund information displayed only provides summary information. Investment should be made on the basis of the
relevant booklet together with the Prospectus and Key Investor Information Document, which are available from the Manager.
 Any research in this document has been procured and may have been acted on by BlackRock for its own purpose. The results of such
research are being made available only incidentally. The views expressed do not constitute investment or any other advice and are subject
to change. They do not necessarily reflect the views of any company in the BlackRock Group or any part thereof and no assurances are
made as to their accuracy.
 This document is for information purposes only and does not constitute an offer or invitation to anyone to invest in any BlackRock Group
funds and has not been prepared in connection with any such offer.
 Subject to the express requirements of any client-specific investment management agreement or provisions relating to the management of
a fund, we will not provide notice of any changes to our personnel, structure, policies, process, objectives or, without limitation, any other
matter contained in this document.
 Unless otherwise specified, all information contained in this document is current as at the date on the front page of this presentation.
 No part of this material may be reproduced, stored in retrieval system or transmitted in any form or by any means, electronic, mechanical,
recording or otherwise, without the prior written consent of BlackRock.
 © 2016 BlackRock, Inc. All Rights reserved. BLACKROCK, BLACKROCK SOLUTIONS, iSHARES, BUILD ON BLACKROCK, SO WHAT
DO I DO WITH MY MONEY and the stylized i logo are registered and unregistered trademarks of BlackRock, Inc. or its subsidiaries in the
United States and elsewhere. All other trademarks are those of their respective owners.
• THIS MATERIAL IS FOR DISTRIBUTION TO PROFESSIONAL CLIENTS AND QUALIFIED INVESTORS AND SHOULD NOT BE
RELIED UPON BY ANY OTHER PERSONS.
FAEGLO-0251
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