Portfolio Update

BLACKROCK INCOME STRATEGIES TRUST PLC
All information is at 30 November 2015 and unaudited.
Performance at month end with net income reinvested
	One	Three	Six		Since
	Month	months	months		27 February 2015*
Share price	0.9%	4.7%	2.7%		6.5%
Net asset value	0.8%	3.4%	-1.9%		-2.3%
Net asset value (before deduction of ongoing charges)	0.9%	3.6%	-1.6%		-1.8%
CPI+4%**	0.3%	0.9%	2.1%		3.7%
Sources: BlackRock, Office of National Statistics
*BlackRock took over the investment management of the Company and the Company’s investment policy and objective were changed with effect from 27 February 2015.  Consequently, performance data for the period preceding this is no longer relevant to the Company’s current mandate and has not been provided.
** The Company’s investment objective is, over the medium term (5 to 7 years), to aim to preserve capital in real terms and to grow the dividend at least in line with inflation. The Company targets a total portfolio return of UK Consumer Price Index (“CPI”) plus 4 per cent. per annum (before ongoing charges) over a 5 to 7 year cycle. The percentage calculations given for CPI+4% above are for information purposes.
At month end
Net asset value incl. Income (debt at fair value):				136.88p
Share price:				139.25p
Premium to Cum Income NAV (debt at fair value):				1.7%
Total assets (including income):				£451.6m
Net yield*:				4.8%
2015 Ongoing charges ratio**:				0.68%
* yield calculations are based on dividends announced in the last 12 months as at the date of release of this announcement.
** Calculated as a percentage of average net assets and using expenses excluding interest costs for the year ended 30 September 2015.
Portfolio analysis (as a % of Gross assets)
Equities						50.5
UK Equities						34.1
Overseas Developed Market Equities						12.8
Emerging Markets Equities						3.6
Volatility Strategies						11.7
Fixed Income						21.9
International Government Bonds						4.3
Investment Grade Corporate Bonds						5.4
High Yield Bonds						12.2
Alternatives						7.5
Listed Alternatives						6.9
Unlisted Alternatives						0.6
Cash Equivalents						8.4
Physical Cash*						15.3
Synthetic Cash (held to back derivative exposures)						-6.9
* Cash of 15.3% is before adjusting for cash held to back gross economic exposures obtained through derivative instruments of approximately 6.9%. The Company also has a 6.25% Bond 2031 in issue, which equates to 15.3% of the Company’s net assets.
Commenting on the markets, Adam Ryan, representing the Investment Manager noted:
During the month of November, markets focused closely on US and European central bank speeches leading to expectations for monetary policy divergence between the US and Europe to increase. Against this backdrop, developed market equities held up well and supported our exposure to UK and overseas equity holdings. Bonds, on aggregate, underperformed which supported our cautious view on interest-sensitive exposures. We continue to believe the risks associated with emerging markets to be elevated and have sold our allocation to Indian equities. While we see increased volatility across asset classes in the near-term, depressed yields and demographic factors should translate into continued demand for income yielding assets over the long-term. We continue to focus maintaining income and growth strategies across multiple asset classes.
22 December 2015
ENDS
Latest information is available by typing www.blackrock.co.uk/bist on the internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV terminal). Neither the contents of the Manager’s website nor the contents of any website accessible from hyperlinks on BlackRock’s website (or any other website) is incorporated into, or forms part of, this announcement.