Baker Steel Resources Trust’s (BSRT) investment objective is to seek capital growth over the long term through a focused global portfolio consisting principally of the equities, loans or related instruments of natural resources companies. BSRT invests predominantly in unlisted companies, but also in listed securities, with a view to making attractive investment returns through uplift in value resulting from development progression of investee companies’ projects, and through exploiting value inherent in market inefficiencies and pricing anomalies.
Baker Steel Resources Trust (BSRT) is unique in offering UK investors access to early-stage (pre-IPO) and specialist listed opportunities in the natural resources sector, which can be higher-risk but offer the prospect of outsize potential returns. The highly experienced investment team is very selective and aims to generate gains through specific risks being mitigated as projects progress along the development curve, rather than relying on commodity price rises. Investments are typically made via convertible loan notes, often in stages, to limit downside risk. BSRT proactively works with investee companies to unlock value and investments can take a number of years to mature. Performance has varied since its launch (although ahead of most peers over one and three years), but BSRT’s investment team sees a number of near-term catalysts for potentially significant valuation gains.