Portfolio Update

BLACKROCK NORTH AMERICAN INCOME TRUST plc All information is at31 January 2016 and unaudited. Performance at month end with net income reinvested

	One Month	Three Months	Six Months	One Year	Since Launch (24 Oct 2012)
Net asset value	-1.1%	3.2%	3.2%	4.4%	41.7%
Share price	-0.9%	1.4%	0.6%	0.3%	26.6%
Russell 1000 Value Index	-1.5%	1.4%	0.5%	0.6%	57.3%
Source: BlackRock

At month end
Net asset value – capital only:	123.99p
Net asset value – cum income:	125.24p
Share price:	113.50p
Discount to cum income NAV:	9.4%
Net yield*:	3.8%
Total assets including current year revenue:	£95.2m
Target yield:	4.4p
Gearing:	0.2%
Options overwrite:	18.04%
Ordinary shares in issue**:	75,989,044
Ongoing charges***:	1.24%

* Based on dividends of 1.10p per share each declared on 4 November 2015, 5 August 2015 and 6 May 2015 and 1.00p per share declared on 12 February 2015. ** Excluding 24,372,261 ordinary shares held in treasury.

*** Ongoing charges represent the management fee and all other operating expenses excluding interest as a % of average shareholders’ funds for the year ended 31 October 2015.

Benchmark
Sector Analysis	Total Assets (%)
Financials	24.8
Health Care	14.0
Industrials	13.2
Energy	9.9
Information Technology	9.5
Consumer Staples	8.2
Consumer Discretionary	7.8
Utilities	6.4
Materials	3.7
Telecommunication Services	2.7
Net current liabilities	(0.2)
	-----
	100.0
	=====

Country Analysis	Total Assets (%)
USA	96.3
France	1.5
United Kingdom	1.3
Canada	0.3
China	0.3
Australia	0.3
Netherlands	0.2
Net current liabilities	(0.2)
	-----
	100.0
	=====

Ten Largest Investments
Company	Country of Risk	Total Assets (%)
JPMorgan Chase	USA	4.1
Wells Fargo	USA	3.9
General Electric	USA	3.3
Pfizer	USA	3.1
Citigroup	USA	2.8
Exxon Mobil	USA	2.6
Home Depot	USA	2.5
Intel	USA	2.4
Microsoft	USA	2.3
Procter & Gamble	USA	2.1

Bob Shearer and Tony DeSpirito, representing the Investment Manager, noted:

Performance

For the one month period ended 31 January 2016, the Company’s NAV decreased by -1.1% whilst the share price decreased by -0.9% (all in sterling).  The Company’s benchmark, the Russell 1000 Value Index, declined by -1.5% for the period.

The largest contributor to relative performance is stock selection in the consumer discretionary sector.  Notably, non-benchmark holding McDonald’s outperformed after reporting quarterly earnings that exceeded consensus estimates.  Stock selection in industrials also proved to be beneficial, led by our overweight to aerospace & defence operators Raytheon and Honeywell International. Stock selection in information technology and telecommunication services also added modestly to relative returns for the month.

The largest detractor from relative performance was stock selection and allocation decisions in financials.  Notably, our overweight to the banks industry hurt relative returns, as did our overweight to bank holdings Citigroup and SunTrust Banks. An overweight position in life insurer Prudential Financial also detracted from relative returns. Lastly, a combination of stock selection and an overweight to the materials sector negatively impacted relative performance for the period.

Transactions/Options

Transactions: During the month, we modestly increased our exposure to the energy and financials sectors.  In energy we added to our existing positions in Pioneer Natural Resources, Chevron and Occidental Petroleum. In financials, we added to our existing positions in Bank of America, Invesco and Morgan Stanley. Conversely, we reduced our allocation to the tobacco industry and, in information technology, eliminated our position in International Business Machines.

Options:  As at 31 January 2016, the Company’s options exposure was 18.04% and the delta of the options was 91.54%.

Positioning

The Company is currently overweight to the industrials, consumer discretionary, health care, materials and consumer staples sectors.  We maintain a neutral weighting in telecommunication services and are underweight to the financials, energy, information technology, and utilities sectors.

22 February 2016

Latest information is available by typing blackrock.co.uk/brna 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 the Manager’s website (or any other website) is incorporated into, or forms part of, this announcement.