BlackRock Energy and Resources TrustFind Ratings Reports
- Last Ratings Update:01/31/2018
- Price as of 01/31/2018 :$14.85
- Net Assets:$487.06 Million
- Peer Rank:53 of 123
- Investment Rating:D-
We rate BlackRock Energy & Resources at D-. Negative factors that influence this rating include a well below average total return. The fund invests approximately 100% of its assets in stocks and may be considered for investors seeking a Sector - Energy/Natural Res strategy.
POSITIVES AND RISKS
Total return ranks well below peers over the last three years. The BlackRock Energy & Resources has returned an annual rate of 4.90% since inception. More recently, the fund has generated a total return of -1.56% in the last five years, -6.80% in the last three years, and 5.45% in the last year. How does that compare to other equity funds? In the last five years, it has outperformed 17% of them. It has also outpaced 9% of its competitors on a three year basis and 36% of them over the last year for the period ending 1/31/2018. On a year to date basis, BGR has returned 1.87%.
Downside risk has been above average. BGR has a draw down risk of -45.89%, which is the largest price decline experienced over the last three years. This fund has a three year standard deviation of 22.0%. This fund has experienced a high level of volatility in its monthly performance over the last 36 months. As of 1/31/2018, the fund was trading at a price of $14.85, which is 4.2% below its 52-week high of $15.50 and 4.2% above its 52-week low of $14.25.
High expense ratio hinders performance. On total assets of $487.06 million, BGR maintains a high expense ratio compared to its Sector - Energy/Natural Res peers of 1.24% to cover all operating costs. Brokerage costs for the fund to buy and sell shares are not included in the expense ratio. As BGR is a closed end fund, it has no front end or back end load.
Manager tenure is a net positive but performance record lags managerial peers. Substandard fund managers tend to be replaced, so a long tenure is usually a good sign that a fund is achieving its objectives. The BlackRock Energy & Resources has been managed by Christopher M. Accettella for the last 6 years. Over that period, the manager was able to capture more actual gains in excess of the expected return than just 15% of other fund managers.