In an eventful month, BTEM was up +8.1%, with the major moves coming in the last week following a shock victory for the Leave campaign in the EU referendum. Headwinds from sharply widening discounts (portfolio discount expanded 300bps to 33.4%) were more than offset by the beneficial effects of the collapse in Sterling given our low exposure to GBP assets (just 6% on a look-through basis).
NAV growth of +17%, a moderately tighter discount, and a +9% translation effect from the Norwegian Krone combined to again make oil-focussed Norwegian holding company Aker our largest contributor. Over the last 3 months, the shares are up +66% in GBP (+56% in local currency). The activity at Aker is a textbook example of the value that engaged long-term owners can create throughout market cycles.