Is BlackRock World Mining gearing for a recovery?

After a frustrating year, BlackRock World Mining is positioned for growth and to capitalise on the sector's recovery, says Rupert Hargreaves

The BlackRock company logo is seen outside of its NYC headquarters
(Image credit: Michael M. Santiago/Getty Images)

Last year was a “huge frustration” for BlackRock World Mining (LSE: BRWM), say managers Evy Hambro and Olivia Markham in their annual report. The trust produced a total return of -12.7% and a net asset value (NAV) return of -10.7% as its discount to NAV widened from 3.3% to 5.8% over the year.

This had little to do with the fundamentals for commodities. Gold and silver prices rallied by 27.2% and 21.5%, respectively, while copper prices increased 8%. However, this failed to translate into meaningful returns for mining stocks.

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Rupert Hargreaves
Contributor and former deputy digital editor of MoneyWeek

Rupert is the former deputy digital editor of MoneyWeek. He's an active investor and has always been fascinated by the world of business and investing. His style has been heavily influenced by US investors Warren Buffett and Philip Carret. He is always looking for high-quality growth opportunities trading at a reasonable price, preferring cash generative businesses with strong balance sheets over blue-sky growth stocks.

Rupert has written for many UK and international publications including the Motley Fool, Gurufocus and ValueWalk, aimed at a range of readers; from the first timers to experienced high-net-worth individuals. Rupert has also founded and managed several businesses, including the New York-based hedge fund newsletter, Hidden Value Stocks. He has written over 20 ebooks and appeared as an expert commentator on the BBC World Service.