Class | BlackRock California Municipal Opportunities Fund Ticker Symbol |
BlackRock New Jersey Municipal Bond Fund Ticker Symbol |
BlackRock Pennsylvania Municipal Bond Fund Ticker Symbol | |||
Investor A Shares
|
MECMX | MENJX | MEPYX | |||
Investor A1 Shares
|
MDCMX | MDNJX | MDPYX | |||
Investor C Shares
|
MFCMX | MFNJX | MFPYX | |||
Institutional Shares
|
MACMX | MANJX | MAPYX | |||
Service Shares
|
N/A | MSNJX | MSPYX | |||
Class K Shares
|
MKCMX | MKNJX | MKPYK |
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |
144A Securities | X | X | X |
Asset-Backed Securities | |||
Asset-Based Securities | |||
Precious Metal-Related Securities | |||
Borrowing and Leverage | X | X | X |
Cash Flows; Expenses | |||
Cash Management | X | X | X |
Collateralized Debt Obligations | |||
Collateralized Bond Obligations | |||
Collateralized Loan Obligations | |||
Commercial Paper | X | X | X |
Commodity-Linked Derivative Instruments and Hybrid Instruments | |||
Qualifying Hybrid Instruments | |||
Hybrid Instruments Without Principal Protection | |||
Limitations on Leverage | |||
Counterparty Risk | |||
Convertible Securities | |||
Corporate Loans | |||
Direct Lending | |||
Credit Linked Securities | |||
Cyber Security Issues | X | X | X |
Debt Securities | X | X | X |
Inflation-Indexed Bonds | X | X | X |
Investment Grade Debt Obligations | X | X | X |
High Yield Investments (“Junk Bonds”) | X | X | X |
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |
Mezzanine Investments | |||
Pay-in-kind Bonds | |||
Supranational Entities | |||
Depositary Receipts (ADRs, EDRs and GDRs) | |||
Derivatives | X | X | X |
Hedging | X | X | X |
Speculation | X | X | X |
Risk Factors in Derivatives | X | X | X |
Correlation Risk | X | X | X |
Counterparty Risk | X | X | X |
Credit Risk | X | X | X |
Currency Risk | |||
Illiquidity Risk | X | X | X |
Leverage Risk | X | X | X |
Market Risk | X | X | X |
Valuation Risk | X | X | X |
Volatility Risk | X | X | X |
Futures | X | X | X |
Swap Agreements | X | X | X |
Credit Default Swaps and Similar Instruments | X | X | X |
Interest Rate Swaps, Floors and Caps | X | X | X |
Total Return Swaps | X | X | X |
Options | X | X | X |
Options on Securities and Securities Indices | X | X | X |
Call Options | X | X | X |
Put Options | X | X | X |
Options on Government National Mortgage Association (“GNMA”) Certificates | |||
Options on Swaps (“Swaptions”) | X | X | X |
Foreign Exchange Transactions | |||
Spot Transactions and FX Forwards | |||
Currency Futures | |||
Currency Options | |||
Currency Swaps | |||
Distressed Securities | X | X | X |
Environmental, Social and Governance (“ESG”) Integration | X | X | X |
Equity Securities | |||
Real Estate-Related Securities | |||
Securities of Smaller or Emerging Growth Companies | |||
Exchange-Traded Notes (“ETNs”) | |||
Foreign Investments | |||
Foreign Investment Risks |
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |
Foreign Market Risk | |||
Foreign Economy Risk | |||
Currency Risk and Exchange Risk | |||
Governmental Supervision and Regulation/Accounting Standards | |||
Certain Risks of Holding Fund Assets Outside the United States | |||
Publicly Available Information | |||
Settlement Risk | |||
Sovereign Debt | |||
Withholding Tax Reclaims Risk | |||
Funding Agreements | |||
Guarantees | X | X | X |
Illiquid Investments | X | X | X |
Index Funds | |||
Tracking Error Risk | |||
S&P 500 Index | |||
Russell Indexes | |||
MSCI Indexes | |||
FTSE Indexes | |||
Bloomberg Indexes | |||
ICE BofA Indexes | |||
Indexed and Inverse Securities | X | X | X |
Inflation Risk | X | X | X |
Initial Public Offering (“IPO”) Risk | |||
Interfund Lending Program | X | X | X |
Borrowing, to the extent permitted by the Fund’s investment policies and restrictions | X | X | X |
Lending, to the extent permitted by the Fund’s investment policies and restrictions | |||
Investment in Emerging Markets | |||
Brady Bonds | |||
China Investments Risk | |||
Investment in Other Investment Companies | X | X | X |
Exchange-Traded Funds | X | X | X |
Lease Obligations | X | X | X |
Life Settlement Investments | |||
Liquidity Risk Management | X | X | X |
Master Limited Partnerships | |||
Merger Transaction Risk | |||
Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S. Banks | X | X | X |
Money Market Securities | X | X | X |
Mortgage-Related Securities | |||
Mortgage-Backed Securities |
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |
Collateralized Mortgage Obligations (“CMOs”) | |||
Adjustable Rate Mortgage Securities | |||
CMO Residuals | |||
Stripped Mortgage-Backed Securities | |||
Tiered Index Bonds | |||
TBA Commitments | |||
Mortgage Dollar Rolls | |||
Net Interest Margin (NIM) Securities | |||
Municipal Investments | X | X | X |
Risk Factors and Special Considerations Relating to Municipal Bonds | X | X | X |
Description of Municipal Bonds | X | X | X |
General Obligation Bonds | X | X | X |
Revenue Bonds | X | X | X |
Private Activity Bonds (“PABs”) | X | X | X |
Moral Obligation Bonds | X | X | X |
Municipal Notes | X | X | X |
Municipal Commercial Paper | X | X | X |
Municipal Lease Obligations | X | X | X |
Tender Option Bonds | X | X | X |
Yields | X | X | X |
Variable Rate Demand Obligations (“VRDOs”) | X | X | X |
Transactions in Financial Futures Contracts on Municipal Indexes | X | X | X |
Call Rights | X | X | X |
Municipal Interest Rate Swap Transactions | X | X | X |
Insured Municipal Bonds | X | X | X |
Build America Bonds | X | X | X |
Tax-Exempt Municipal Investments | X | X | X |
Participation Notes | |||
Portfolio Turnover Rates | X | X | X |
Preferred Stock | X | X | X |
Tax-Exempt Preferred Shares | X | X | X |
Trust Preferred Securities | X | X | X |
Real Estate Investment Trusts (“REITs”) | |||
Recent Market Events | X | X | X |
Reference Rate Replacement Risk | X | X | X |
Repurchase Agreements and Purchase and Sale Contracts | X | X | X |
Restricted Securities | X | X | X |
Reverse Repurchase Agreements | X | X | X |
Rights Offerings and Warrants to Purchase | |||
Securities Lending | X | X | X |
Short Sales | |||
Special Purpose Acquisition Companies |
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |
Standby Commitment Agreements | |||
Stripped Securities | |||
Structured Notes | |||
Taxability Risk | X | X | X |
Temporary Defensive Measures | X | X | X |
U.S. Government Obligations | X | X | X |
U.S. Treasury Obligations | X | X | X |
U.S. Treasury Rolls | X | X | X |
Utility Industries | X | X | X |
When-Issued Securities, Delayed Delivery Securities and Forward Commitments | X | X | X |
Yields and Ratings | X | X | X |
Zero Coupon Securities | X | X | X |
• | increases the independent oversight of the Funds and enhances the Board’s objective evaluation of the Chief Executive Officer; |
• | allows the Chief Executive Officer to focus on the Funds’ operations instead of Board administration; |
• | provides greater opportunities for direct and independent communication between shareholders and the Board; and |
• | provides an independent spokesman for the Funds. |
Trustees | Experience, Qualifications and Skills | |
Independent Trustees | ||
R. Glenn Hubbard | R. Glenn Hubbard has served in numerous roles in the field of economics, including as the Chairman of the U.S. Council of Economic Advisers of the President of the United States. Dr. Hubbard has served as the Dean of Columbia Business School, as a member of the Columbia Faculty and as a Visiting Professor at the John F. Kennedy School of Government at Harvard University, the Harvard Business School and the University of Chicago. Dr. Hubbard’s experience as an adviser to the President of the United States adds a dimension of balance to the Funds’ governance and provides perspective on economic issues. Dr. Hubbard’s service on the boards of ADP and Metropolitan Life Insurance Company provides the Board with the benefit of his experience with the management practices of other financial companies. Dr. Hubbard’s long-standing service on the boards of directors/trustees of the closed-end funds in the BlackRock Fixed-Income Complex also provides him with a specific understanding of the Funds, their operations, and the business and regulatory issues facing the Funds. Dr. Hubbard’s independence from the Funds and the Manager enhances his service as Chair of the Board, Chair of the Executive Committee and a member of the Governance and Nominating Committee, the Compliance Committee and the Performance Oversight Committee. |
Trustees | Experience, Qualifications and Skills | |
W. Carl Kester | The Board benefits from W. Carl Kester’s experiences as a professor and author in finance, and his experience as the George Fisher Baker Jr. Professor of Business Administration at Harvard Business School and as Deputy Dean of Academic Affairs at Harvard Business School from 2006 through 2010 adds to the Board a wealth of expertise in corporate finance and corporate governance. Dr. Kester has authored and edited numerous books and research papers on both subject matters, including co-editing a leading volume of finance case studies used worldwide. Dr. Kester’s long-standing service on the boards of directors/trustees of the closed-end funds in the BlackRock Fixed-Income Complex also provides him with a specific understanding of the Funds, their operations, and the business and regulatory issues facing the Funds. Dr. Kester’s independence from the Funds and the Manager enhances his service as Vice Chair of the Board, Chair of the Governance and Nominating Committee and a member of the Executive Committee, the Compliance Committee and the Performance Oversight Committee. | |
Cynthia L. Egan | Cynthia L. Egan brings to the Board a broad and diverse knowledge of investment companies and the retirement industry as a result of her many years of experience as President, Retirement Plan Services, for T. Rowe Price Group, Inc. and her various senior operating officer positions at Fidelity Investments, including her service as Executive Vice President of FMR Co., President of Fidelity Institutional Services Company and President of the Fidelity Charitable Gift Fund. Ms. Egan has also served as an advisor to the U.S. Department of Treasury as an expert in domestic retirement security. Ms. Egan began her professional career at the Board of Governors of the Federal Reserve and the Federal Reserve Bank of New York. Ms. Egan is also a director of UNUM Corporation, a publicly traded insurance company providing personal risk reinsurance, and a director and Chair of the Board of The Hanover Group, a public property casualty insurance company. Ms. Egan is also the lead independent director and non-executive Vice Chair of the Board of Huntsman Corporation, a publicly traded manufacturer and marketer of chemical products. Ms. Egan’s independence from the Funds and the Manager enhances her service as Chair of the Compliance Committee, and a member of the Governance and Nominating Committee and the Performance Oversight Committee. | |
Frank J. Fabozzi | Frank J. Fabozzi has served for over 25 years on the boards of registered investment companies. Dr. Fabozzi holds the designations of Chartered Financial Analyst and Certified Public Accountant. Dr. Fabozzi was inducted into the Fixed Income Analysts Society’s Hall of Fame and is the 2007 recipient of the C. Stewart Sheppard Award and the 2015 recipient of the James R. Vertin Award, both given by the CFA Institute. The Board benefits from Dr. Fabozzi’s experiences as a professor and author in the field of finance. Dr. Fabozzi’s experience as a professor at various institutions, including EDHEC Business School, Yale, MIT, and Princeton, as well as Dr. Fabozzi’s experience as a Professor in the Practice of Finance and Becton Fellow at the Yale University School of Management and as editor of the Journal of Portfolio Management demonstrates his wealth of expertise in the investment management and structured finance areas. Dr. Fabozzi has authored and edited numerous books and research papers on topics in investment management and financial econometrics, and his writings have focused on fixed income securities and portfolio management, many of which are considered standard references in the investment management industry. Dr. Fabozzi’s long-standing service on the boards of directors/trustees of the closed-end funds in the BlackRock Fixed-Income Complex also provides him with a specific understanding of the Funds, their operations and the business and regulatory issues facing the Funds. Moreover, Dr. Fabozzi’s knowledge of financial and accounting matters qualifies him to serve as a member of the Audit Committee. Dr. Fabozzi’s independence from the Funds and the Manager enhances his service as Chair of the Performance Oversight Committee. |
Trustees | Experience, Qualifications and Skills | |
Lorenzo A. Flores | The Board benefits from Lorenzo A. Flores’s many years of business, leadership and financial experience in his roles at various public and private companies. In particular, Mr. Flores’s service as Chief Financial Officer and Corporate Controller of Xilinx, Inc., a technology and semiconductor company that supplies programmable logic devices, and Vice Chairman of Kioxia, Inc., a manufacturer and supplier of flash memory and solid state drives, and his long experience in the technology industry allow him to provide insight to into financial, business and technology trends. Mr. Flores’s knowledge of financial and accounting matters qualifies him to serve as a member of the Audit Committee. Mr. Flores’s independence from the Funds and the Manager enhances his service as a member of the Performance Oversight Committee. | |
Stayce D. Harris | The Board benefits from Stayce D. Harris’s leadership and governance experience gained during her extensive military career, including as a three-star Lieutenant General of the United States Air Force. In her most recent role, Ms. Harris reported to the Secretary and Chief of Staff of the Air Force on matters concerning Air Force effectiveness, efficiency and the military discipline of active duty, Air Force Reserve and Air National Guard forces. Ms. Harris’s experience on governance matters includes oversight of inspection policy and the inspection and evaluation system for all Air Force nuclear and conventional forces; oversight of Air Force counterintelligence operations and service on the Air Force Intelligence Oversight Panel; investigation of fraud, waste and abuse; and oversight of criminal investigations and complaints resolution programs. Ms. Harris is also a director of The Boeing Company. Ms. Harris’s independence from the Funds and the Manager enhances her service as a member of the Compliance Committee and the Performance Oversight Committee. | |
J. Phillip Holloman | The Board benefits from J. Phillip Holloman’s many years of business and leadership experience as an executive, director and advisory board member of various public and private companies. In particular, Mr. Holloman’s service as President and Chief Operating Officer of Cintas Corporation and director of PulteGroup, Inc. and Rockwell Automation Inc. allows him to provide insight into business trends and conditions. Mr. Holloman’s knowledge of financial and accounting matters qualifies him to serve as a member of the Audit Committee. Mr. Holloman’s independence from the Funds and the Manager enhances his service as a member of the Governance and Nominating Committee and the Performance Oversight Committee. | |
Catherine A. Lynch | Catherine A. Lynch, who served as the Chief Executive Officer and Chief Investment Officer of the National Railroad Retirement Investment Trust, benefits the Board by providing business leadership and experience and a diverse knowledge of pensions and endowments. Ms. Lynch is also a trustee of PennyMac Mortgage Investment Trust, a specialty finance company that invests primarily in mortgage-related assets. Ms. Lynch also holds the designation of Chartered Financial Analyst. Ms. Lynch’s knowledge of financial and accounting matters qualifies her to serve as Chair of the Audit Committee. Ms. Lynch’s independence from the Funds and the Manager enhances her service as a member of the Governance and Nominating Committee and the Performance Oversight Committee. | |
Interested Trustees | ||
Robert Fairbairn | Robert Fairbairn has more than 25 years of experience with BlackRock, Inc. and over 30 years of experience in finance and asset management. In particular, Mr. Fairbairn’s positions as Vice Chairman of BlackRock, Inc., Member of BlackRock’s Global Executive and Global Operating Committees and Co-Chair of BlackRock’s Human Capital Committee provide the Board with a wealth of practical business knowledge and leadership. In addition, Mr. Fairbairn has global investment management and oversight experience through his former positions as Global Head of BlackRock’s Retail and iShares® businesses, Head of BlackRock’s Global Client Group, Chairman of BlackRock’s international businesses and his previous oversight over BlackRock’s Strategic Partner Program and Strategic Product Management Group. Mr. Fairbairn also serves as a board member for the funds in the BlackRock Multi-Asset Complex. |
Trustees | Experience, Qualifications and Skills | |
John M. Perlowski | John M. Perlowski’s experience as Managing Director of BlackRock, Inc. since 2009, as the Head of BlackRock Global Accounting and Product Services since 2009, and as President and Chief Executive Officer of the Funds provides him with a strong understanding of the Funds, their operations, and the business and regulatory issues facing the Funds. Mr. Perlowski’s prior position as Managing Director and Chief Operating Officer of the Global Product Group at Goldman Sachs Asset Management, and his former service as Treasurer and Senior Vice President of the Goldman Sachs Mutual Funds and as Director of the Goldman Sachs Offshore Funds provides the Boards with the benefit of his experience with the management practices of other financial companies. Mr. Perlowski also serves as a board member for the funds in the BlackRock Multi-Asset Complex. Mr. Perlowski’s experience with BlackRock enhances his service as a member of the Executive Committee. |
Name and Year of Birth1,2 |
Position(s) Held (Length of Service)3 |
Principal
Occupation(s) During Past Five Years |
Number
of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen |
Public Company and Other Investment Company Directorships Held During Past Five Years | ||||
Independent Trustees | ||||||||
R.
Glenn Hubbard 1958 |
Trustee (Since 2019) |
Dean, Columbia Business School from 2004 to 2019; Faculty member, Columbia Business School since 1988. | 70 RICs consisting of 104 Portfolios | ADP (data and information services) from 2004 to 2020; Metropolitan Life Insurance Company (insurance); TotalEnergies SE (multi-energy) | ||||
W.
Carl Kester4 1951 |
Trustee (Since 2019) |
Baker Foundation Professor and George Fisher Baker Jr. Professor of Business Administration, Emeritus, Harvard Business School since 2022; George Fisher Baker Jr. Professor of Business Administration, Harvard Business School from 2008 to 2022; Deputy Dean for Academic Affairs from 2006 to 2010; Chairman of the Finance Unit, from 2005 to 2006; Senior Associate Dean and Chairman of the MBA Program from 1999 to 2005; Member of the faculty of Harvard Business School since 1981. | 72 RICs consisting of 106 Portfolios | None | ||||
Cynthia
L. Egan 1955 |
Trustee (Since 2019) |
Advisor, U.S. Department of the Treasury from 2014 to 2015; President, Retirement Plan Services, for T. Rowe Price Group, Inc. from 2007 to 2012; executive positions within Fidelity Investments from 1989 to 2007. | 70 RICs consisting of 104 Portfolios | Unum (insurance); The Hanover Insurance Group (Board Chair); Huntsman Corporation (Lead Independent Director and non-Executive Vice Chair of the Board) (chemical products) | ||||
Frank
J. Fabozzi4 1948 |
Trustee (Since 2019) |
Editor of The Journal of Portfolio Management since 1986; Professor of Finance, EDHEC Business School (France) from 2011 to 2022; Professor of Practice, Johns Hopkins University since 2021; Professor in the Practice of Finance, Yale University School of Management from 1994 to 2011 and currently a Teaching Fellow in Yale’s Executive Programs; Visiting Professor, Rutgers University for the Spring 2019 semester; Visiting Professor, New York University for the 2019 academic year; Adjunct Professor of Finance, Carnegie Mellon University in fall 2020 semester. | 72 RICs consisting of 106 Portfolios | None | ||||
Lorenzo
A. Flores 1964 |
Trustee (Since 2021) |
Vice Chairman, Kioxia, Inc. since 2019; Chief Financial Officer, Xilinx, Inc. from 2016 to 2019; Corporate Controller, Xilinx, Inc. from 2008 to 2016. | 70 RICs consisting of 104 Portfolios | None |
Name and Year of Birth1,2 |
Position(s) Held (Length of Service)3 |
Principal
Occupation(s) During Past Five Years |
Number
of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen |
Public Company and Other Investment Company Directorships Held During Past Five Years | ||||
Stayce
D. Harris 1959 |
Trustee (Since 2021) |
Lieutenant General, Inspector General of the United States Air Force from 2017 to 2019; Lieutenant General, Assistant Vice Chief of Staff and Director, Air Staff, United States Air Force from 2016 to 2017; Major General, Commander, 22nd Air Force, AFRC, Dobbins Air Reserve Base, Georgia from 2014 to 2016; Pilot, United Airlines from 1990 to 2020. | 70 RICs consisting of 104 Portfolios | KULR Technology Group, Inc. in 2021; The Boeing Company (airplane manufacturer) | ||||
J.
Phillip Holloman 1955 |
Trustee (Since 2021) |
President and Chief Operating Officer, Cintas Corporation from 2008 to 2018. | 70 RICs consisting of 104 Portfolios | PulteGroup, Inc. (home construction); Rockwell Automation Inc. (industrial automation) | ||||
Catherine
A. Lynch4 1961 |
Trustee (Since 2019) |
Chief Executive Officer, Chief Investment Officer and various other positions, National Railroad Retirement Investment Trust from 2003 to 2016; Associate Vice President for Treasury Management, The George Washington University from 1999 to 2003; Assistant Treasurer, Episcopal Church of America from 1995 to 1999. | 72 RICs consisting of 106 Portfolios | PennyMac Mortgage Investment Trust | ||||
Interested Trustees5 | ||||||||
Robert
Fairbairn 1965 |
Trustee (Since 2015) |
Vice Chairman of BlackRock, Inc. since 2019; Member of BlackRock’s Global Executive and Global Operating Committees; Co-Chair of BlackRock’s Human Capital Committee; Senior Managing Director of BlackRock, Inc. from 2010 to 2019; oversaw BlackRock’s Strategic Partner Program and Strategic Product Management Group from 2012 to 2019; Member of the Board of Managers of BlackRock Investments, LLC from 2011 to 2018; Global Head of BlackRock’s Retail and iShares® businesses from 2012 to 2016. | 98 RICs consisting of 271 Portfolios | None | ||||
John
M. Perlowski4 1964 |
Trustee
and President (Since 2015) and Chief Executive Officer (Since 2010) |
Managing Director of BlackRock, Inc. since 2009; Head of BlackRock Global Accounting and Product Services since 2009; Advisory Director of Family Resource Network (charitable foundation) since 2009. | 100 RICs consisting of 273 Portfolios | None |
1 | The address of each Trustee is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001. |
2 | Each Independent Trustee holds office until his or her successor is duly elected and qualifies or until his or her earlier death, resignation, retirement or removal as provided by each Trust’s by-laws or charter or statute, or until December 31 of the year in which he or she turns 75. Trustees who are “interested persons,” as defined in the Investment Company Act, serve until their successor is duly elected and qualifies or until their earlier death, resignation, retirement or removal as provided by the Trusts’ by-laws or statute, or until December 31 of the year in which they turn 72. The Board may determine to extend the terms of Independent Trustees on a case-by-case basis, as appropriate. |
3 | Following the combination of Merrill Lynch Investment Managers, L.P. (“MLIM”) and BlackRock, Inc. in September 2006, the various legacy MLIM and legacy BlackRock fund boards were realigned and consolidated into three new fund boards in 2007. Certain Independent Trustees first became members of the boards of other legacy MLIM or legacy BlackRock funds as follows: Frank J. Fabozzi, 1988; R. Glenn Hubbard, 2004 and W. Carl Kester, 1995. Certain other Independent Trustees became members of the boards of the closed-end funds in the BlackRock Fixed-Income Complex as follows: Cynthia L. Egan, 2016; and Catherine A. Lynch, 2016. |
4 | Dr. Fabozzi, Dr. Kester, Ms. Lynch and Mr. Perlowski are also trustees of the BlackRock Credit Strategies Fund and BlackRock Private Investments Fund. |
5 | Mr. Fairbairn and Mr. Perlowski are both “interested persons,” as defined in the Investment Company Act, of each Trust based on their positions with BlackRock, Inc. and its affiliates. Mr. Fairbairn and Mr. Perlowski are also board members of the BlackRock Multi-Asset Complex. |
Name and Year of Birth1,2 |
Position(s)
Held (Length of Service) |
Principal
Occupation(s) During Past Five Years | ||
Officers Who Are Not Trustees | ||||
Jennifer
McGovern 1977 |
Vice
President (Since 2014) |
Managing Director of BlackRock, Inc. since 2016; Director of BlackRock, Inc. from 2011 to 2015; Head of Americas Product Development and Governance for BlackRock’s Global Product Group since 2019; Head of Product Structure and Oversight for BlackRock’s U.S. Wealth Advisory Group from 2013 to 2019. | ||
Trent
Walker 1974 |
Chief Financial Officer (Since 2021) |
Managing Director of BlackRock, Inc. since September 2019; Executive Vice President of PIMCO from 2016 to 2019; Senior Vice President of PIMCO from 2008 to 2015; Treasurer from 2013 to 2019 and Assistant Treasurer from 2007 to 2017 of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds. | ||
Jay
M. Fife 1970 |
Treasurer (Since 2007) |
Managing Director of BlackRock, Inc. since 2007. | ||
Aaron
Wasserman 1974 |
Chief
Compliance Officer (Since 2023) |
Managing Director of BlackRock, Inc. since 2018; Chief Compliance Officer of the BlackRock-advised funds in the BlackRock Multi-Asset Complex, the BlackRock Fixed-Income Complex and the iShares Complex since 2023; Deputy Chief Compliance Officer for the BlackRock-advised funds in the BlackRock Multi-Asset Complex, the BlackRock Fixed-Income Complex and the iShares Complex from 2014 to 2023. | ||
Lisa
Belle 1968 |
Anti-Money
Laundering Compliance Officer (Since 2019) |
Managing Director of BlackRock, Inc. since 2019; Global Financial Crime Head for Asset and Wealth Management of JP Morgan from 2013 to 2019; Managing Director of RBS Securities from 2012 to 2013; Head of Financial Crimes for Barclays Wealth Americas from 2010 to 2012. | ||
Janey
Ahn 1975 |
Secretary (Since 2019) |
Managing Director of BlackRock, Inc. since 2018; Director of BlackRock, Inc. from 2009 to 2017. |
1 | The address of each Officer is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001. |
2 | Officers of the Trusts serve at the pleasure of the Board. |
Name of Trustee | Dollar Range of Equity Securities in the California Fund |
Dollar Range of Equity Securities in the New Jersey Fund |
Dollar Range of Equity Securities in the Pennsylvania Fund |
Aggregate
Dollar Range of Equity Securities in Supervised Funds* | ||||
Independent Trustees: | ||||||||
Cynthia L. Egan
|
None | None | None | Over $100,000 | ||||
Frank J. Fabozzi
|
None | None | None | Over $100,000 | ||||
Lorenzo A. Flores
|
None | None | None | Over $100,000 | ||||
Stayce D. Harris
|
None | None | None | Over $100,000 | ||||
J. Phillip Holloman
|
None | None | None | Over $100,000 | ||||
R. Glenn Hubbard
|
None | None | None | Over $100,000 | ||||
W. Carl Kester
|
None | None | None | Over $100,000 | ||||
Catherine A. Lynch
|
None | None | None | Over $100,000 | ||||
Interested Trustees: | ||||||||
Robert Fairbairn
|
None | None | None | Over $100,000 | ||||
John M. Perlowski
|
None | None | None | Over $100,000 |
Name1 | Aggregate Compensation from the California Fund |
Aggregate Compensation from the New Jersey Fund |
Aggregate Compensation from the Pennsylvania Fund |
Estimated
Annual Benefits Upon Retirement |
Aggregate Compensation from the Funds and Other BlackRock- Supervised Funds2,3 | |||||
Independent Trustees: | ||||||||||
Cynthia L. Egan
|
$4,063 | $640 | $820 | None | $465,000 | |||||
Frank J. Fabozzi
|
$3,808 | $610 | $778 | None | $497,500 | |||||
Lorenzo A. Flores
|
$3,484 | $572 | $725 | None | $400,000 | |||||
Stayce D. Harris
|
$3,441 | $567 | $718 | None | $395,000 | |||||
J. Phillip Holloman4
|
$3,708 | $599 | $762 | None | $415,453 | |||||
R. Glenn Hubbard
|
$4,539 | $696 | $898 | None | $520,000 | |||||
W. Carl Kester
|
$4,560 | $699 | $902 | None | $587,500 | |||||
Catherine A. Lynch5
|
$4,097 | $644 | $825 | None | $520,453 | |||||
Karen P. Robards6
|
$323 | $50 | $68 | None | $212,500 | |||||
Interested Trustees: | ||||||||||
Robert Fairbairn
|
None | None | None | None | None | |||||
John M. Perlowski
|
None | None | None | None | None |
1 | For the number of BlackRock-advised Funds from which each Trustee receives compensation see the Biographical Information beginning on page 1-16. |
2 | For the Independent Trustees, this amount represents the aggregate compensation earned from the funds in the BlackRock Fixed-Income Complex during the calendar year ended December 31, 2022. Of this amount, Dr. Fabozzi, Mr. Flores, Ms. Harris, Mr. Holloman, Dr. Hubbard, Dr. Kester and Ms. Lynch deferred $74,625, $200,000, $197,500, $207,726, $260,000, $88,125 and $78,067, respectively, pursuant to the BlackRock Fixed-Income Complex’s deferred compensation plan. |
3 | Total amount of deferred compensation payable by the BlackRock Fixed-Income Complex to Dr. Fabozzi, Mr. Flores, Ms. Harris, Mr. Holloman, Dr. Hubbard, Dr. Kester and Ms. Lynch is $1,172,873, $239,580, $238,473, $249,920, $3,546,573, $1,645,645 and $425,559, respectively, as of December 31, 2022. Ms. Egan did not participate in the deferred compensation plan as of December 31, 2022. |
4 | Mr. Holloman was appointed as a member of the Governance and Nominating Committee effective May 20, 2022. |
5 | Ms. Lynch was appointed as a member of the Governance and Nominating Committee effective May 20, 2022. |
6 | Ms. Robards retired and resigned as a Trustee of the Trusts effective May 31, 2022. |
Contractual Caps on Total Annual Fund Operating Expenses (excluding Interest Expense, Dividend Expense, Acquired Fund Fees and Expenses and certain other Fund expenses) | ||
California Fund
|
||
Investor A Shares
|
0.69% | |
Investor C Shares
|
1.44% | |
Institutional Shares
|
0.44% | |
Class K Shares
|
0.39% | |
Investor A1 Shares
|
0.54% | |
New Jersey Fund
|
||
Investor A Shares
|
0.77% | |
Investor C Shares
|
1.52% | |
Institutional Shares
|
0.52% | |
Class K Shares
|
0.47% | |
Investor A1 Shares
|
0.62% | |
Service Shares
|
0.77% | |
Pennsylvania Fund
|
||
Investor A Shares
|
0.79% | |
Investor C Shares
|
1.54% | |
Institutional Shares
|
0.54% | |
Class K Shares
|
0.49% | |
Investor A1 Shares
|
0.64% | |
Service Shares
|
0.79% |
Fiscal Year Ended May 31, | Paid
to the Manager |
Waived
by the Manager |
Reimbursements
by the Manager | |||
2023
|
$9,700,524 | $639,680 | $155,858 | |||
2022
|
$12,138,029 | $178,258 | $159,959 | |||
2021
|
$11,665,963 | $327,608 | $68,570 |
Fiscal Year Ended May 31, | Paid
to the Manager |
Waived
by the Manager |
Reimbursements
by the Manager | |||
2023
|
$1,633,540 | $474,422 | $84,646 | |||
2022
|
$2,052,860 | $539,266 | $107,031 | |||
2021
|
$1,970,400 | $466,347 | $101,126 |
Fiscal Year Ended May 31, | Paid
to the Manager |
Waived
by the Manager |
Reimbursements
by the Manager | |||
2023
|
$2,196,993 | $474,717 | $275,490 | |||
2022
|
$3,091,380 | $559,789 | $372,444 | |||
2021
|
$2,983,361 | $494,810 | $364,671 |
Number of Other Accounts Managed and Assets by Account Type |
Number of Other Accounts and Assets for Which Advisory Fee is Performance-Based | |||||
Name of Portfolio Manager | Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Peter Hayes | 3 | 0 | 0 | 0 | 0 | 0 |
$7.50 Billion | $0 | $0 | $0 | $0 | $0 | |
Michael Kalinoski, CFA | 34 | 0 | 0 | 0 | 0 | 0 |
$33.91 Billion | $0 | $0 | $0 | $0 | $0 | |
Kevin Maloney, CFA | 36 | 0 | 0 | 0 | 0 | 0 |
$36.13 Billion | $0 | $0 | $0 | $0 | $0 | |
Ryan McDonald, CFA | 5 | 0 | 0 | 0 | 0 | 0 |
$8.51 Billion | $0 | $0 | $0 | $0 | $0 | |
Walter O’Connor, CFA | 33 | 0 | 0 | 0 | 0 | 0 |
$29.94 Billion | $0 | $0 | $0 | $0 | $0 |
Number of Other Accounts Managed and Assets by Account Type |
Number of Other Accounts and Assets for Which Advisory Fee is Performance-Based | |||||
Name of Portfolio Manager | Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Kristi Manidis | 37 | 0 | 2 | 0 | 0 | 0 |
$23.64 Billion | $0 | $1.05 Billion | $0 | $0 | $0 | |
Christian Romaglino, CFA | 33 | 0 | 0 | 0 | 0 | 0 |
$17.13 Billion | $0 | $0 | $0 | $0 | $0 | |
Phillip Soccio, CFA | 34 | 0 | 0 | 0 | 0 | 0 |
$31.68 Billion | $0 | $0 | $0 | $0 | $0 |
Number of Other Accounts Managed and Assets by Account Type |
Number of Other Accounts and Assets for Which Advisory Fee is Performance-Based | |||||
Name of Portfolio Manager | Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Other Registered Investment Companies |
Other
Pooled Investment Vehicles |
Other Accounts |
Kristi Manidis | 37 | 0 | 2 | 0 | 0 | 0 |
$23.56 Billion | $0 | $1.05 Billion | $0 | $0 | $0 | |
Walter O’Connor, CFA | 33 | 0 | 0 | 0 | 0 | 0 |
$32.09 Billion | $0 | $0 | $0 | $0 | $0 | |
Christian Romaglino, CFA | 33 | 0 | 0 | 0 | 0 | 0 |
$17.05 Billion | $0 | $0 | $0 | $0 | $0 | |
Phillip Soccio, CFA | 34 | 0 | 0 | 0 | 0 | 0 |
$31.59 Billion | $0 | $0 | $0 | $0 | $0 |
Portfolio Manager | Portfolio Managed | Benchmark | ||
Walter O’Connor, CFA | California
Fund Pennsylvania Fund |
A combination of market-based indices (e.g., Bloomberg Municipal Bond Index), certain customized indices and certain fund industry peer groups. | ||
Phillip
Soccio, CFA Christian Romaglino, CFA Kristi Manidis |
New
Jersey Fund Pennsylvania Fund |
A combination of market-based indices (e.g., Bloomberg Municipal Bond Index), certain customized indices and certain fund industry peer groups. |
Portfolio Manager | Portfolio Managed | Benchmark | ||
Peter Hayes | California Fund | A combination of market-based indices (e.g., Bloomberg Municipal Bond Index), certain customized indices and certain fund industry peer groups. Due to Portfolio Manager Peter Hayes’ unique position (Portfolio Manager and Chief Investment Officer of Tax Exempt Fixed Income) his compensation does not solely reflect his role as PM of the funds managed by him. The performance of his fund(s) are included in consideration of his incentive compensation but given his unique role it is not the sole driver of compensation. | ||
Michael
Kalinoski, CFA Kevin Maloney, CFA Ryan McDonald, CFA |
California Fund | A combination of market-based indices (e.g., Bloomberg Municipal Bond Index), certain customized indices and certain fund industry peer groups. |
Portfolio Manager | Portfolio Managed | Dollar Range | ||
Phillip Soccio, CFA
|
Pennsylvania Fund | $10,001 - $50,000 | ||
New Jersey Fund | None | |||
Christian Romaglino, CFA
|
New
Jersey Fund Pennsylvania Fund |
None None | ||
Kristi Manidis
|
New
Jersey Fund Pennsylvania Fund |
$1
-$10,000 $10,001 - $50,000 | ||
Walter O’Connor, CFA
|
California
Fund Pennsylvania Fund |
None None | ||
Peter Hayes
|
California Fund | None | ||
Michael Kalinoski, CFA
|
California Fund | None | ||
Kevin Maloney, CFA
|
California Fund | None | ||
Ryan McDonald, CFA
|
California Fund | None | ||
Fiscal Year Ended May 31, | Paid
to State Street |
Paid
to the Manager | ||
2023
|
$266,123 | $0 | ||
2022
|
$324,758 | $378 | ||
2021
|
$318,997 | $41,126 |
Fiscal Year Ended May 31, | Paid
to State Street |
Paid
to the Manager | ||
2023
|
$65,452 | $0 | ||
2022
|
$81,075 | $162 | ||
2021
|
$72,454 | $4,553 |
Fiscal Year Ended May 31, | Paid
to State Street |
Paid
to the Manager | ||
2023
|
$77,700 | $0 | ||
2022
|
$108,153 | $297 | ||
2021
|
$99,329 | $6,868 |
Fiscal Year Ended May 31, | Fees
Paid to the Manager |
Fees
Waived by the Manager | ||
2023
|
$9,638 | $3,992 | ||
2022
|
$6,004 | $2,438 | ||
2021
|
$11,673 | $2,796 |
Fiscal Year Ended May 31, | Fees
Paid to the Manager |
Fees
Waived by the Manager | ||
2023
|
$4,790 | $3,389 | ||
2022
|
$2,162 | $1,494 | ||
2021
|
$4,292 | $2,909 |
Fiscal Year Ended May 31, | Fees
Paid to the Manager |
Fees
Waived by the Manager | ||
2023
|
$3,780 | $1,989 | ||
2022
|
$1,694 | $1,022 | ||
2021
|
$3,521 | $2,001 |
For the Fiscal Year Ended May 31, | Gross
Sales Charges Collected |
Sales
Charges Retained by BRIL |
Sales
Charges Paid to Affiliates |
CDSCs
Received on Redemption of Load Waived Shares | ||||
California Fund | ||||||||
Investor A | ||||||||
2023
|
$31,830 | $2,115 | $2,115 | $82,592 | ||||
2022
|
$46,813 | $3,357 | $3,357 | $110,356 | ||||
2021
|
$40,364 | $2,760 | $2,760 | $198,700 | ||||
Investor A1 | ||||||||
2023
|
$0 | $0 | $0 | $0 | ||||
2022
|
$0 | $0 | $0 | $0 | ||||
2021
|
$0 | $0 | $0 | $0 |
For the Fiscal Year Ended May 31, | Gross
Sales Charges Collected |
Sales
Charges Retained by BRIL |
Sales
Charges Paid to Affiliates |
CDSCs
Received on Redemption of Load Waived Shares | ||||
New Jersey Fund | ||||||||
Investor A | ||||||||
2023
|
$13,375 | $947 | $947 | $8,606 | ||||
2022
|
$42,512 | $3,198 | $3,198 | $17,563 | ||||
2021
|
$42,354 | $3,026 | $3,026 | $7,035 | ||||
Investor A1 | ||||||||
2023
|
$0 | $0 | $0 | $0 | ||||
2022
|
$0 | $0 | $0 | $0 | ||||
2021
|
$0 | $0 | $0 | $0 |
For the Fiscal Year Ended May 31, | Gross
Sales Charges Collected |
Sales
Charges Retained by BRIL |
Sales
Charges Paid to Affiliates |
CDSCs
Received on Redemption of Load Waived Shares | ||||
Pennsylvania Fund | ||||||||
Investor A | ||||||||
2023
|
$14,644 | $959 | $959 | $16,531 | ||||
2022
|
$77,537 | $5,437 | $5,437 | $9,501 | ||||
2021
|
$149,951 | $10,107 | $10,107 | $18,111 | ||||
Investor A1 | ||||||||
2023
|
$0 | $0 | $0 | $0 | ||||
2022
|
$0 | $0 | $0 | $0 | ||||
2021
|
$0 | $0 | $0 | $0 |
For the Fiscal Year Ended May 31, | CDSCs
Received by BRIL |
CDSCs
Paid to Affiliates | ||
California Fund | ||||
Investor C | ||||
2023
|
$2,476 | $2,476 | ||
2022
|
$5,366 | $5,366 | ||
2021
|
$12,665 | $12,665 |
For the Fiscal Year Ended May 31, | CDSCs
Received by BRIL |
CDSCs
Paid to Affiliates | ||
New Jersey Fund | ||||
Investor C | ||||
2023
|
$371 | $371 | ||
2022
|
$4,650 | $4,650 | ||
2021
|
$3,470 | $3,470 |
For the Fiscal Year Ended May 31, | CDSCs
Received by BRIL |
CDSCs
Paid to Affiliates | ||
Pennsylvania Fund | ||||
Investor C | ||||
2023
|
$302 | $302 | ||
2022
|
$2,798 | $2,798 | ||
2021
|
$1,697 | $1,697 |
Paid to BRIL | ||||||
Class Name | California Fund | New Jersey Fund | Pennsylvania Fund | |||
Investor A Shares
|
$1,835,892 | $264,212 | $315,603 | |||
Investor A1 Shares
|
$82,708 | $13,575 | $7,109 | |||
Investor C Shares
|
$704,604 | $143,772 | $116,482 | |||
Service Shares
|
N/A | $16,842 | $2,668 |
Investor A Shares | |||||
California Fund |
New
Jersey Fund |
Pennsylvania Fund | |||
Net Assets
|
$661,274,251 | $99,045,682 | $117,457,051 | ||
Number of Shares Outstanding
|
56,393,383 | 9,746,613 | 12,106,131 | ||
Net Asset Value Per Share (net assets divided
by number of shares outstanding)
|
$11.73 | $10.16 | $9.70 | ||
Sales Charge Per Share (4.25% of offering price;
4.44% of net asset value per share)1
|
$0.52 | $0.45 | $0.43 | ||
Offering Price
|
$12.25 | $10.61 | $10.13 |
1 | Assumes maximum sales charge is applicable. |
Investor A1 Shares | |||||
California Fund | New
Jersey Fund |
Pennsylvania Fund | |||
Net Assets
|
$78,960,299 | $12,898,917 | $6,354,376 | ||
Number of Shares Outstanding
|
6,727,831 | 1,268,833 | 654,649 | ||
Net Asset Value Per Share (net assets divided
by number of shares outstanding)
|
$11.74 | $10.17 | $9.71 | ||
Sales Charge Per Share (4.00% of offering price;
4.17% of net asset value per share)
|
$0.49 | $0.42 | $0.40 | ||
Offering Price
|
$12.23 | $10.59 | $10.11 |
Fiscal Year Ended May 31, | Aggregate
Brokerage Commissions Paid |
Commissions
Paid to Affiliates | ||
2023
|
$187,078 | $0 | ||
2022
|
$182,609 | $0 | ||
2021
|
$126,275 | $0 |
Fiscal Year Ended May 31, | Aggregate
Brokerage Commissions Paid |
Commissions
Paid to Affiliates | ||
2023
|
$5,503 | $0 | ||
2022
|
$5,224 | $0 | ||
2021
|
$2,780 | $0 |
Fiscal Year Ended May 31, | Aggregate
Brokerage Commissions Paid |
Commissions
Paid to Affiliates | ||
2023
|
$8,605 | $0 | ||
2022
|
$8,527 | $0 | ||
2021
|
$4,608 | $0 |
Name | Address | % | Class | |||
Wells Fargo Clearing Services | 2801
Market Street Saint Louis, MO 63103 |
17.42% | Investor A Shares |
Name | Address | % | Class | |||
Merrill Lynch Pierce Fenner | 4800
E Deerlake Dr 3rd
Flr. Jacksonville, FL 32246-6484 |
16.92% | Investor A Shares | |||
Morgan Stanley Smith Barney, LLC | 1
New York Plaza, FL. 12 New York, NY 10004-1901 |
12.89% | Investor A Shares | |||
JP Morgan Securities LLC | 4
Chase Metrotech Center Brooklyn, NY 11245 |
11.92% | Investor A Shares | |||
National Financial Services LLC | 499
Washington Blvd., Fl.5 Jersey City, NJ 07310-2010 |
9.36% | Investor A Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
6.83% | Investor A Shares | |||
Edward D. Jones & Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
6.47% | Investor A Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deerlake Dr 3rd
Flr. Jacksonville, FL 32246-6484 |
71.69% | Investor A1 Shares | |||
Wells Fargo Clearing Services | 2801
Market Street Saint Louis, MO 63103 |
35.07% | Investor C Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
16.84% | Investor C Shares | |||
JP Morgan Securities LLC | 4
Chase Metrotech Center Brooklyn, NY 11245 |
9.49% | Investor C Shares | |||
Morgan Stanley Smith Barney, LLC | 1
New York Plaza, FL. 12 New York, NY 10004-1901 |
8.43% | Investor C Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deerlake Dr 3rd
Flr. Jacksonville, FL 32246-6484 |
7.36% | Investor C Shares | |||
LPL Financial | 4707
Executive Drive San Diego, CA 92121-3091 |
5.53% | Investor C Shares | |||
Charles Schwab & Co. Inc. | 101
Montgomery Street San Francisco, CA 94104-4122 |
20.30% | Institutional Class | |||
Merrill Lynch Pierce Fenner | 4800
E Deerlake Dr., 3rd
Flr. Jacksonville, FL 32246-6484 |
17.56% | Institutional Class | |||
Morgan Stanley Smith Barney, LLC | 1
New York Plaza, FL. 12 New York, NY 10004-1901 |
11.92% | Institutional Class | |||
National Financial Services LLC | 499
Washington Blvd Fl. 5 Jersey City, NJ 07310-2010 |
10.57% | Institutional Class | |||
Wells Fargo Clearing Services | 2801
Market Street Saint Louis, MO 63103 |
9.86% | Institutional Class | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
7.03% | Institutional Class | |||
LPL Financial | 4707
Executive Drive San Diego, CA 92121-3091 |
6.80% | Institutional Class | |||
American Enterprise Investment Svc | 707
2nd
Ave. S. Minneapolis, MN 55402-2405 |
6.17% | Institutional Class | |||
Band & Co. | 1555
N. Rivercenter Drive STE 302 Milwaukee, WI 53212 |
37.41% | Class K Shares |
Name | Address | % | Class | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
25.20% | Class K Shares | |||
Edward D. Jones & Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
17.72% | Class K Shares | |||
Zion First National Bank | P.O.
Box 30880 Salt Lake City, UT 84130-0880 |
9.31% | Class K Shares |
Name | Address | % | Class | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
26.66% | Investor A Shares | |||
Wells Fargo Clearing Services | 2801
Market Street St. Louis, MO 63103 |
18.20% | Investor A Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
12.56% | Investor A Shares | |||
National Financial Services LLC | 499
Washington Blvd Fl. 5 Jersey City, NJ 07310-2010 |
11.24% | Investor A Shares | |||
Edward D. Jones and Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
6.64% | Investor A Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
63.20% | Investor A1 Shares | |||
Morgan Stanley Smith Barney LLC | 1
New York Plaza Fl. 12 New York, NY 10004-1901 |
7.07% | Investor A1 Shares | |||
Wells Fargo Clearing Services | 2801
Market Street St. Louis, MO 63103 |
29.98% | Investor C Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
12.20% | Investor C Shares | |||
National Financial Services LLC | 499
Washington Blvd Fl. 5 Jersey City, NJ 07310-2010 |
10.62% | Investor C Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
10.47% | Investor C Shares | |||
LPL Financial | 4707
Executive Drive San Diego, CA 92121-3091 |
7.71% | Investor C Shares | |||
American Enterprise Investment Svc | 707
2nd
Ave. S. Minneapolis, MN 55402-2405 |
5.28% | Investor C Shares | |||
National Financial Services LLC | 499
Washington Blvd Fl. 5 Jersey City, NJ 07310-2010 |
19.87% | Institutional Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
15.72% | Institutional Shares | |||
Saxon & Co. | PO
Box 94597 Cleveland, OH 44101-4597 |
11.94% | Institutional Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
11.36% | Institutional Shares | |||
Charles Schwab & Co. Inc. | 101
Montgomery Street San Francisco, CA 94104-4122 |
10.03% | Institutional Shares |
Name | Address | % | Class | |||
American Enterprise Investment Svc | 707
2nd
Ave. S. Minneapolis, MN 55402-2405 |
8.24% | Institutional Shares | |||
LPL Financial | 4707
Executive Drive San Diego, CA 92121-3091 |
6.75% | Institutional Shares | |||
TD Ameritrade | P.O.
Box 2226 Omaha, NE 68103-2226 |
19.64% | Service Shares | |||
Vanguard Brokerage Services | PO
Box 1170 Valley Forge, PA 19482-1170 |
18.12% | Service Shares | |||
National Financial Services LLC | 499
Washington Blvd Fl. 5 Jersey City, NJ 07310-2010 |
8.72% | Service Shares | |||
Edward D. Jones and Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
84.85% | Class K Shares | |||
BlackRock Financial Management Inc. | 50
Hudson Yards New York, New York 10022-5911 |
7.75% | Class K Shares |
Name | Address | % | Class | |||
Wells Fargo Clearing Services | 2801
Market Street St. Louis, MO 63103 |
22.62% | Investor A Shares | |||
Edward D. Jones and Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
20.83% | Investor A Shares | |||
National Financial Services LLC | 499
Washington Blvd Flr. 5 Jersey City, NJ 07310-2010 |
16.17% | Investor A Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
8.64% | Investor A Shares | |||
Morgan Stanley Smith Barney LLC | 1
New York Plaza Fl. 12 New York, NY 10004-1901 |
6.86% | Investor A Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
58.78% | Investor A1 Shares | |||
Wells Fargo Clearing Services | 2801
Market Street St. Louis, MO 63103 |
8.43% | Investor A1 Shares | |||
Morgan Stanley Smith Barney LLC | 1
New York Plaza Fl. 12 New York, NY 10004-1901 |
5.84% | Investor A1 Shares | |||
Wells Fargo Clearing Services | 2801
Market Street St. Louis, MO 63103 |
26.81% | Investor C Shares | |||
National Financial Services LLC | 499
Washington Blvd., Flr.5 Jersey City, NJ 07310-2010 |
17.46% | Investor C Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
15.43% | Investor C Shares | |||
Edward D. Jones and Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
12.32% | Investor C Shares | |||
Merrill Lynch Pierce Fenner | 4800
E Deer Lake Drive 3rd
Flr. Jacksonville, FL 32246-6484 |
6.45% | Investor C Shares | |||
American Enterprise Investment Svc | 707
2nd
Ave. S. Minneapolis, MN 55402-2405 |
6.30% | Investor C Shares |
Name | Address | % | Class | |||
Saxon & Co. | PO
Box 94597 Cleveland, OH 44101-4597 |
39.09% | Institutional Shares | |||
National Financial Services LLC | 499
Washington Blvd., Flr. 5 Jersey City, NJ 07310-2010 |
22.52% | Institutional Shares | |||
Saxon & Co. | PO
Box 7780-1888 Philadelphia, PA 19182 |
9.13% | Institutional Shares | |||
BNYM Trust Co. | 301
Bellevue Parkway Wilmington, DE 19809 |
52.88% | Service Shares | |||
National Financial Services LLC | 499
Washington Blvd., Flr. 5 Jersey City, NJ 07310-2010 |
18.44% | Service Shares | |||
Pershing LLC | 1
Pershing Plaza Jersey City, NJ 07399-0001 |
16.73% | Service Shares | |||
Edward D. Jones and Co. | 12555
Manchester Road St. Louis, MO 63131-3710 |
93.10% | Class K Shares |
• | Junk bonds may be issued by less creditworthy companies. These securities are vulnerable to adverse changes in the issuer’s industry and to general economic conditions. Issuers of junk bonds may be unable to meet their interest or principal payment obligations because of an economic downturn, specific issuer developments or the unavailability of additional financing. |
• | The issuers of junk bonds may have a larger amount of outstanding debt relative to their assets than issuers of investment grade bonds. If the issuer experiences financial stress, it may be unable to meet its debt obligations. The issuer’s ability to pay its debt obligations also may be lessened by specific issuer developments, or the unavailability of additional financing. Issuers of high yield securities are often in the growth stage of their development and/or involved in a reorganization or takeover. |
• | Junk bonds are frequently ranked junior to claims by other creditors. If the issuer cannot meet its obligations, the senior obligations are generally paid off before the junior obligations, which will potentially limit a Fund’s ability to fully recover principal or to receive interest payments when senior securities are in default. Thus, investors in high yield securities have a lower degree of protection with respect to principal and interest payments then do investors in higher rated securities. |
• | Junk bonds frequently have redemption features that permit an issuer to repurchase the security from a Fund before it matures. If an issuer redeems the junk bonds, a Fund may have to invest the proceeds in bonds with lower yields and may lose income. |
• | Prices of junk bonds are subject to extreme price fluctuations. Negative economic developments may have a greater impact on the prices of junk bonds than on those of other higher rated fixed-income securities. |
• | Junk bonds may be less liquid than higher rated fixed-income securities even under normal economic conditions. Under certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield securities due to the limited number of investors in that sector of the market. There are fewer dealers in the junk bond market, and there may be significant differences in the prices quoted for junk bonds by the dealers, and such quotations may not be the actual prices available for a purchase or sale. Because junk bonds are less liquid than higher rated bonds, judgment may play a greater role in valuing certain of a Fund’s portfolio securities than in the case of securities trading in a more liquid market. |
• | The secondary markets for high yield securities are not as liquid as the secondary markets for higher rated securities. The secondary markets for high yield securities are concentrated in relatively few market makers and participants in the markets are mostly institutional investors, including insurance companies, banks, other financial institutions and mutual funds. In addition, the trading volume for high yield securities is generally lower than that for higher rated securities and the secondary markets could contract under adverse market or economic conditions independent of any specific adverse changes in the condition of a particular issuer. Under certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield securities due to the limited number of investors in that sector of the market. An illiquid secondary market may adversely affect the market price of the high yield security, which may result in increased difficulty selling the particular issue and obtaining accurate market quotations on the issue when valuing a Fund’s assets. Market quotations on high yield securities are available only from a limited number of dealers, and such quotations may not be the actual prices available for a purchase or sale. When the secondary market for high yield securities becomes more illiquid, or in the absence of readily available market quotations for such securities, the relative lack of |
reliable objective data makes it more difficult to value a Fund’s securities, and judgment plays a more important role in determining such valuations. | |
• | A Fund may incur expenses to the extent necessary to seek recovery upon default or to negotiate new terms with a defaulting issuer. |
• | The junk bond markets may react strongly to adverse news about an issuer or the economy, or to the perception or expectation of adverse news, whether or not it is based on fundamental analysis. Additionally, prices for high yield securities may be affected by legislative and regulatory developments. These developments could adversely affect a Fund’s NAV and investment practices, the secondary market for high yield securities, the financial condition of issuers of these securities and the value and liquidity of outstanding high yield securities, especially in a thinly traded market. For example, federal legislation requiring the divestiture by federally insured savings and loan associations of their investments in high yield bonds and limiting the deductibility of interest by certain corporate issuers of high yield bonds adversely affected the market in the past. |
• | The rating assigned by a rating agency evaluates the issuing agency’s assessment of the safety of a non-investment grade security’s principal and interest payments, but does not address market value risk. Because such ratings of the ratings agencies may not always reflect current conditions and events, in addition to using recognized rating agencies and other sources, the sub-adviser performs its own analysis of the issuers whose non-investment grade securities a Fund holds. Because of this, the Fund’s performance may depend more on the sub-adviser’s own credit analysis than in the case of mutual funds investing in higher-rated securities. |
(a) | U.S. dollar-denominated obligations issued or supported by the credit of U.S. or foreign banks or savings institutions with total assets in excess of $1 billion (including obligations of foreign branches of such banks); |
(b) | high quality commercial paper and other obligations issued or guaranteed by U.S. and foreign corporations and other issuers rated (at the time of purchase) A-2 or higher by S&P, Prime-2 or higher by Moody’s or F-2 or higher by Fitch, as well as high quality corporate bonds rated (at the time of purchase) A or higher by those rating agencies; |
(c) | unrated notes, paper and other instruments that are of comparable quality to the instruments described in (b) above as determined by the Fund’s Manager; |
(d) | asset-backed securities (including interests in pools of assets such as mortgages, installment purchase obligations and credit card receivables); |
(e) | securities issued or guaranteed as to principal and interest by the U.S. Government or by its agencies or authorities and related custodial receipts; |
(f) | dollar-denominated securities issued or guaranteed by foreign governments or their political subdivisions, agencies or authorities; |
(g) | funding agreements issued by highly-rated U.S. insurance companies; |
(h) | securities issued or guaranteed by state or local governmental bodies; |
(i) | repurchase agreements relating to the above instruments; |
(j) | municipal bonds and notes whose principal and interest payments are guaranteed by the U.S. Government or one of its agencies or authorities or which otherwise depend directly or indirectly on the credit of the United States; |
(k) | fixed and variable rate notes and similar debt instruments rated MIG-2, VMIG-2 or Prime-2 or higher by Moody’s, SP-2 or A-2 or higher by S&P, or F-2 or higher by Fitch; |
(l) | tax-exempt commercial paper and similar debt instruments rated Prime-2 or higher by Moody’s, A-2 or higher by S&P, or F-2 or higher by Fitch; |
(m) | municipal bonds rated A or higher by Moody’s, S&P or Fitch; |
(n) | unrated notes, paper or other instruments that are of comparable quality to the instruments described above, as determined by the Fund’s Manager under guidelines established by the Board; and |
(o) | municipal bonds and notes which are guaranteed as to principal and interest by the U.S. Government or an agency or instrumentality thereof or which otherwise depend directly or indirectly on the credit of the United States. |
Mortgage-Related Securities. |
• | Portfolio Holdings: “Portfolio Holdings” are a Fund’s portfolio securities and other instruments, and include, but are not limited to: |
• | for equity securities, information such as issuer name, CUSIP, ticker symbol, total shares and market value; |
• | for fixed income securities, information such as issuer name, CUSIP, ticker symbol, coupon, maturity, current face value, market value, yield, WAL, duration and convexity; |
• | for all securities, information such as quantity, SEDOL and market price as of a specific date; |
• | for derivatives, indicative data including, but not limited to, pay leg, receive leg, notional amount, reset frequency and trade counterparty; and |
• | for trading strategies, specific portfolio holdings, including the number of shares held, weightings of particular holdings, trading details, pending or recent transactions and portfolio management plans to purchase or sell particular securities or allocation within particular sectors. |
• | Portfolio Characteristics (excluding Liquidity Metrics): “Portfolio Characteristics” include, but are not limited to, sector allocation, credit quality breakdown, maturity distribution, duration and convexity measures, average credit quality, average maturity, average coupon, top 10 holdings with percent of the fund held, average market capitalization, capitalization range, risk related information (e.g., value at risk, standard deviation), ROE, P/E, P/B, P/CF, P/S and EPS. |
• | Additional characteristics specific to money market funds include, but are not limited to, historical daily and weekly liquid assets (as defined under Rule 2a-7) and historical fund net inflows and outflows. |
• | Portfolio Characteristics — Liquidity Metrics: |
• | “Liquidity Metrics” which seek to ascertain a Fund’s liquidity profile under BlackRock’s global liquidity risk methodology which include but are not limited to: (a) disclosure regarding the number of days needed to liquidate a portfolio or the portfolio’s underlying investments; and (b) the percentage of a Fund’s NAV invested in a particular liquidity tier under BlackRock’s global liquidity risk methodology. |
• | The dissemination of position-level liquidity metrics data and any non-public regulatory data pursuant to SEC Rule 22e-4 (including SEC liquidity tiering) is not permitted unless pre-approved. |
• | Disclosure of Liquidity Metrics pursuant to Section 3 of the Policy should be reviewed by BlackRock’s Risk and Quantitative Analysis Group and the relevant portfolio management team prior to dissemination. |
Open-End Mutual Funds (Excluding Money Market Funds) | ||
Time Periods for Portfolio Holdings | ||
Prior to 20 Calendar Days After Month-End | 20 Calendar Days After Month-End To Public Filing | |
Portfolio Holdings |
Cannot disclose without non-disclosure or confidentiality agreement and Chief Compliance Officer (“CCO”) approval. | May
disclose to shareholders, prospective shareholders, intermediaries, consultants and third-party data providers (e.g., Lipper, Morningstar and Bloomberg), except with respect to Global Allocation funds*, BlackRock Core Bond Portfolio and BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V, BlackRock Strategic Global Bond Fund, Inc., Master Total Return Portfolio of Master Bond LLC, BlackRock Total Return V.I. Fund of BlackRock Variable Series Funds II, Inc., BlackRock Sustainable Total Return Fund of BlackRock Bond Fund, Inc. and BlackRock Unconstrained Equity Fund (each of whose portfolio holdings may be disclosed 60 calendar days after month-end). BlackRock generally discloses portfolio holdings information on the lag times established herein on its public website. If Portfolio Holdings are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
Time Periods for Portfolio Characteristics | ||
Portfolio Characteristics (Excluding Liquidity Metrics) |
Prior to 5 Calendar Days After Month-End | 5 Calendar Days After Month-End |
Cannot disclose without non-disclosure or confidentiality agreement and CCO approval.*, ** | May disclose to shareholders, prospective shareholders, intermediaries, consultants and third-party data providers (e.g., Lipper, Morningstar and Bloomberg). If Portfolio Characteristics are disclosed to one party, they must also be disclosed to all other parties requesting the same information. | |
Portfolio Characteristics — Liquidity Metrics |
Prior to 60 Calendar Days After Calendar Quarter-End | 60 Calendar Days After Calendar Quarter-End |
Cannot disclose without non-disclosure or confidentiality agreement and CCO approval. | May disclose to shareholders, prospective shareholders, intermediaries and consultants; provided portfolio management has approved. If Liquidity Metrics are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
* | Global Allocation Exception: For purposes of portfolio holdings, Global Allocation funds include BlackRock Global Allocation Fund, Inc., BlackRock Global Allocation Portfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I. Fund of BlackRock Variable Series Funds, Inc. Information on certain Portfolio Characteristics of BlackRock Global Allocation Portfolio and BlackRock Global Allocation V.I. Fund is available, upon request, to insurance companies that use these funds as underlying investments (and to advisers and sub-advisers of funds invested in BlackRock Global Allocation Portfolio and BlackRock Global Allocation V.I. Fund) in their variable annuity contracts and variable life insurance policies on a weekly basis (or such other period as may be determined to be appropriate). Disclosure of such characteristics of these two funds constitutes a disclosure of Confidential Information and is being made for reasons deemed appropriate by BlackRock and in accordance with the requirements set forth in these guidelines. If Portfolio Characteristics are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
** | Strategic Income Opportunities Exception: Information on certain Portfolio Characteristics of BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V may be made available to shareholders, prospective shareholders, intermediaries, consultants and third party |
data providers, upon request on a more frequent basis as may be deemed appropriate by BlackRock from time-to-time. If Portfolio Characteristics are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
Money Market Funds***,**** | ||
Time Periods | ||
Prior
to 5 Calendar Days After Month-End |
5
Calendar Days After Month-End to Date of Public Filing | |
Portfolio Holdings |
Cannot
disclose without non-disclosure or confidentiality agreement and CCO
approval except the following portfolio holdings information may be
released as follows: • Weekly portfolio holdings information released on the website at least one business day after week-end except: —Other information as may be required under Rule 2a-7 (e.g., name of issuer, category of investment, principal amount, maturity dates, yields). —For Government money market funds, daily portfolio holdings are released on the website the following business day. |
May disclose to shareholders, prospective shareholders, intermediaries, consultants and third-party data providers. If portfolio holdings are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
Portfolio Characteristics |
Cannot
disclose without non-disclosure or confidentiality agreement and CCO
approval except the following information may be released on the Fund’s
website daily: • Historical NAVs calculated based on market factors (e.g., marked-to-market) • Percentage of fund assets invested in daily and weekly liquid assets (as defined under Rule 2a-7) • Daily net inflows and outflows • Yields, SEC yields, WAM, WAL, current assets • Other information as may be required by Rule 2a-7 |
May disclose to shareholders, prospective shareholders, intermediaries, consultants and third-party data providers. If Portfolio Characteristics are disclosed to one party, they must also be disclosed to all other parties requesting the same information. |
(i) | the preparation and posting of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to its website on a more frequent basis than authorized above; |
(ii) | the disclosure of the Fund’s Portfolio Holdings to third-party service providers not noted above; and |
(iii) | the disclosure of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to other parties for legitimate business purposes. |
• | Fund Fact Sheets are available to shareholders, prospective shareholders, intermediaries and consultants on a monthly or quarterly basis no earlier than the fifth calendar day after the end of a month or quarter. |
• | Money Market Performance Reports are typically available to shareholders, prospective shareholders, intermediaries and consultants by the tenth calendar day of the month (and on a one day lag for certain |
institutional funds). They contain monthly money market Fund performance, rolling 12-month average and benchmark performance. |
1. | Fund’s Board of Directors and, if necessary, independent Directors’ counsel and Fund counsel. |
2. | Fund’s Transfer Agent. |
3. | Fund’s Custodian. |
4. | Fund’s Administrator, if applicable. |
5. | Fund’s independent registered public accounting firm. |
6. | Fund’s accounting services provider. |
7. | Independent rating agencies — Morningstar, Inc., Lipper Inc., S&P, Moody’s, Fitch. |
8. | Information aggregators — Markit on Demand, Thomson Financial and Bloomberg, eVestments Alliance, Informa/PSN Investment Solutions, Crane Data and iMoneyNet. |
9. | Pricing Vendors — Refinitiv, ICE Data Services, Bloomberg, IHS Markit, JP Morgan Pricing-Direct, Loan Pricing Corporation, Valuation Research Corporation, Murray, Devine & Co., Inc. and WM Company PLC. |
10. | Portfolio Compliance Consultants — Oracle Financial Services. |
11. | Third-party feeder funds — Stock Index Fund, a series of Homestead Funds, Inc.; Transamerica Stock Index, a series of Transamerica Funds; and Alight Money Market Fund, a series of Alight Series Trust and their respective boards, sponsors, administrators and other service providers. |
12. | Affiliated feeder funds — Treasury Money Market Fund (Cayman) and its board, sponsor, administrator and other service providers. |
13. | Other — Investment Company Institute, Goldman Sachs Asset Management, L.P., Mizuho Asset Management Co., Ltd., Nationwide Fund Advisors, State Street Bank and Trust Company, Donnelley Financial Solutions, Inc., Silicon Valley Bank and BNY Mellon Markets. |
$1 million but less than $3 million
|
1.00% |
$3 million but less than $15 million
|
0.50% |
$15 million and above
|
0.25% |
$250,000 but less than $3 million
|
1.00% |
$3 million but less than $15 million
|
0.50% |
$15 million and above
|
0.25% |
$1 million but less than $3 million
|
0.75% |
$3 million but less than $15 million
|
0.50% |
$15 million and above
|
0.25% |
$1 million but less than $3 million
|
0.50% |
$3 million but less than $15 million
|
0.25% |
$15 million and above
|
0.15% |
$250,000 but less than $3 million
|
0.50% |
$3 million but less than $15 million
|
0.25% |
$15 million and above
|
0.15% |
$1 million but less than $3 million
|
0.15% |
$3 million but less than $15 million
|
0.10% |
$15 million and above
|
0.05% |
$500,000 but less than $3 million
|
0.75% |
$3 million but less than $15 million
|
0.50% |
$15 million and above
|
0.25% |
$250,000 and above
|
0.50% |
$100,000 and above
|
0.25% |
$250,000 and above
|
0.25% |
$250,000 but less than $4 million
|
1.00% |
$4 million but less than $10 million
|
0.50% |
$10 million and above
|
0.25% |
$250,000 but less than $3 million
|
0.75% |
$3 million but less than $15 million
|
0.50% |
$15 million and above
|
0.25% |
$1,000,000 and above
|
0.10% |
$1,000,000 and above
|
0.15% |
Aaa | Obligations rated Aaa are judged to be of the highest quality, subject to the lowest level of credit risk. |
Aa | Obligations rated Aa are judged to be of high quality and are subject to very low credit risk. |
A | Obligations rated A are judged to be upper-medium grade and are subject to low credit risk. |
Baa | Obligations rated Baa are judged to be medium-grade and subject to moderate credit risk and as such may possess certain speculative characteristics. |
Ba | Obligations rated Ba are judged to be speculative and are subject to substantial credit risk. |
B | Obligations rated B are considered speculative and are subject to high credit risk. |
Caa | Obligations rated Caa are judged to be speculative of poor standing and are subject to very high credit risk. |
Ca | Obligations rated Ca are highly speculative and are likely in, or very near, default, with some prospect of recovery of principal and interest. |
C | Obligations rated C are the lowest rated and are typically in default, with little prospect for recovery of principal or interest. |
P-1 | Ratings of Prime-1 reflect a superior ability to repay short-term obligations. |
P-2 | Ratings of Prime-2 reflect a strong ability to repay short-term obligations. |
P-3 | Ratings of Prime-3 reflect an acceptable ability to repay short-term obligations. |
NP | Issuers (or supporting institutions) rated Not Prime do not fall within any of the Prime rating categories. |
MIG 1 | This designation denotes superior credit quality. Excellent protection is afforded by established cash flows, highly reliable liquidity support, or demonstrated broad-based access to the market for refinancing. |
MIG 2 | This designation denotes strong credit quality. Margins of protection are ample, although not as large as in the preceding group. |
MIG 3 | This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be narrow, and market access for refinancing is likely to be less well-established. |
SG | This designation denotes speculative-grade credit quality. Debt instruments in this category may lack sufficient margins of protection. |
VMIG 1 | This designation denotes superior credit quality. Excellent protection is afforded by the superior short-term credit strength of the liquidity provider and structural and legal protections that ensure the timely payment of purchase price upon demand. |
VMIG 2 | This designation denotes strong credit quality. Good protection is afforded by the strong short-term credit strength of the liquidity provider and structural and legal protections that ensure the timely payment of purchase price upon demand. |
VMIG 3 | This designation denotes acceptable credit quality. Adequate protection is afforded by the satisfactory short-term credit strength of the liquidity provider and structural and legal protections that ensure the timely payment of purchase price upon demand. |
SG | This designation denotes speculative-grade credit quality. Demand features rated in this category may be supported by a liquidity provider that does not have a sufficiently strong short-term rating or may lack the structural or legal protections necessary to ensure the timely payment of purchase price upon demand. |
• | The likelihood of payment—the capacity and willingness of the obligor to meet its financial commitments on an obligation in accordance with the terms of the obligation; |
• | The nature and provisions of the financial obligation, and the promise S&P imputes; and |
• | The protection afforded by, and relative position of, the financial obligation in the event of a bankruptcy, reorganization, or other arrangement under the laws of bankruptcy and other laws affecting creditors’ rights. |
AAA | An obligation rated ‘AAA’ has the highest rating assigned by S&P. The obligor’s capacity to meet its financial commitments on the obligation is extremely strong. |
AA | An obligation rated ‘AA’ differs from the highest-rated obligations only to a small degree. The obligor’s capacity to meet its financial commitments on the obligation is very strong. |
A | An obligation rated ‘A’ is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligations in higher-rated categories. However, the obligor’s capacity to meet its financial commitments on the obligation is still strong. |
BBB | An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to weaken the obligor’s capacity to meet its financial commitments on the obligation. |
BB, B, CCC, CC, and C |
Obligations rated ‘BB’, ‘B’, ‘CCC’, ‘CC’, and ‘C’ are regarded as having significant speculative characteristics. ‘BB’ indicates the least degree of speculation and ‘C’ the highest. While such obligations will likely have some quality and protective characteristics, these may be outweighed by large uncertainties or major exposure to adverse conditions. |
BB | An obligation rated ‘BB’ is less vulnerable to nonpayment than other speculative issues. However, it faces major ongoing uncertainties or exposure to adverse business, financial, or economic conditions that could lead to the obligor’s inadequate capacity to meet its financial commitments on the obligation. |
B | An obligation rated ‘B’ is more vulnerable to nonpayment than obligations rated ‘BB’, but the obligor currently has the capacity to meet its financial commitments on the obligation. Adverse business, financial, or economic conditions will likely impair the obligor’s capacity or willingness to meet its financial commitments on the obligation. |
CCC | An obligation rated ‘CCC’ is currently vulnerable to nonpayment and is dependent upon favorable business, financial, and economic conditions for the obligor to meet its financial commitments on the obligation. In the event of adverse business, financial, or economic conditions, the obligor is not likely to have the capacity to meet its financial commitments on the obligation. |
CC | An obligation rated ‘CC’ is currently highly vulnerable to nonpayment. The ‘CC’ rating is used when a default has not yet occurred but S&P expects default to be a virtual certainty, regardless of the anticipated time to default. |
C | An obligation rated ‘C’ is currently highly vulnerable to nonpayment, and the obligation is expected to have lower relative seniority or lower ultimate recovery compared with obligations that are rated higher. |
D | An obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid capital instruments, the ‘D’ rating category is used when payments on an obligation are not made on the date due, unless S&P believes that such payments will be made within five business days in the absence of a stated grace period or within the earlier of the stated grace period or 30 calendar days. The ‘D’ rating also will be used upon the filing of a bankruptcy petition or the taking of similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed debt restructuring. |
A-1 | A short-term obligation rated ‘A-1’ is rated in the highest category by S&P. The obligor’s capacity to meet its financial commitments on the obligation is strong. Within this category, certain obligations are designated with a plus sign (+). This indicates that the obligor’s capacity to meet its financial commitments on these obligations is extremely strong. |
A-2 | A short-term obligation rated ‘A-2’ is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligations in higher rating categories. However, the obligor’s capacity to meet its financial commitments on the obligation is satisfactory. |
A-3 | A short-term obligation rated ‘A-3’ exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to weaken an obligor’s capacity to meet its financial commitments on the obligation. |
B | A short-term obligation rated ‘B’ is regarded as vulnerable and has significant speculative characteristics. The obligor currently has the capacity to meet its financial commitments; however, it faces major ongoing uncertainties that could lead to the obligor’s inadequate capacity to meet its financial commitments. |
C | A short-term obligation rated ‘C’ is currently vulnerable to nonpayment and is dependent upon favorable business, financial, and economic conditions for the obligor to meet its financial commitments on the obligation. |
D | A short-term obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid capital instruments, the ‘D’ rating category is used when payments on an obligation are not made on the date due, unless S&P believes that such payments will be made within any stated grace period. However, any stated grace period longer than five business days will be treated as five business days. The ‘D’ rating also will be used upon the filing of a bankruptcy petition or the taking of a similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed debt restructuring. |
• | Amortization schedule—the larger the final maturity relative to other maturities, the more likely it will be treated as a note; and |
• | Source of payment—the more dependent the issue is on the market for its refinancing, the more likely it will be treated as a note. |
S&P’s municipal short-term note rating symbols are as follows: |
SP-1 | Strong capacity to pay principal and interest. An issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation. |
SP-2 | Satisfactory capacity to pay principal and interest, with some vulnerability to adverse financial and economic changes over the term of the notes. |
SP-3 | Speculative capacity to pay principal and interest. |
D | ‘D’ is assigned upon failure to pay the note when due, completion of a distressed debt restructuring, or the filing of a bankruptcy petition or the taking of similar action and where default on an obligation is a virtual certainty, for example due to automatic stay provisions. |
AAA | Highest Credit Quality. ‘AAA’ ratings denote the lowest expectation of credit risk. They are assigned only in cases of exceptionally strong capacity for payment of financial commitments. This capacity is highly unlikely to be adversely affected by foreseeable events. |
AA | Very High Credit Quality. ‘AA’ ratings denote expectations of very low credit risk. They indicate very strong capacity for payment of financial commitments. This capacity is not significantly vulnerable to foreseeable events. |
A | High Credit Quality. ‘A’ ratings denote expectations of low credit risk. The capacity for payment of financial commitments is considered strong. This capacity may, nevertheless, be more vulnerable to adverse business or economic conditions than is the case for higher ratings. |
BBB | Good Credit Quality. ‘BBB’ ratings indicate that expectations of credit risk are currently low. The capacity for payment of financial commitments is considered adequate, but adverse business or economic conditions are more likely to impair this capacity. |
BB | Speculative. ‘BB’ ratings indicate an elevated vulnerability to credit risk, particularly in the event of adverse changes in business or economic conditions over time; however, business or financial alternatives may be available to allow financial commitments to be met. |
B | Highly Speculative. ‘B’ ratings indicate that material credit risk is present. |
CCC | Substantial Credit Risk. ‘CCC’ ratings indicate that substantial credit risk is present. |
CC | Very High Levels of Credit Risk. ‘CC’ ratings indicate very high levels of credit risk. |
C | Exceptionally High Levels of Credit Risk. ‘C’ indicates exceptionally high levels of credit risk. |
F1 | Highest Short-Term Credit Quality. Indicates the strongest intrinsic capacity for timely payment of financial commitments; may have an added “+” to denote any exceptionally strong credit feature. |
F2 | Good Short-Term Credit Quality. Good intrinsic capacity for timely payment of financial commitments. |
F3 | Fair Short-Term Credit Quality. The intrinsic capacity for timely payment of financial commitments is adequate. |
B | Speculative Short-Term Credit Quality. Minimal capacity for timely payment of financial commitments, plus heightened vulnerability to near term adverse changes in financial and economic conditions. |
C | High Short-Term Default Risk. Default is a real possibility. |
RD | Restricted Default. Indicates an entity that has defaulted on one or more of its financial commitments, although it continues to meet other financial obligations. Typically applicable to entity ratings only. |
D | Default. Indicates a broad-based default event for an entity, or the default of a short-term obligation. |
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B-4 |
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B-4 |
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B-5 |
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B-5 |
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B-8 |
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B-8 |
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B-9 |
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B-10 |
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B-12 |
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B-12 |
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B-13 |
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B-13 |
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B-14 |
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B-15 |
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B-15 |
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B-16 |
The purpose of this document is to provide an overarching explanation of BlackRock’s approach globally to our responsibilities as a shareholder on behalf of our clients, our expectations of companies, and our commitments to clients in terms of our own governance and transparency. |
1 | Through BlackRock Voting Choice we have, since January 2022, made proxy voting easier and more accessible for investors in separate accounts and certain pooled vehicles. As a result, the shares attributed to BlackRock in company share registers may be voted differently depending on whether our clients have authorized BIS to vote on their behalf, have authorized BIS to vote in accordance with a third party policy, or have elected to vote shares in accordance with their own policy. We are not able to disclose which clients have opted to exercise greater control over their voting, nor are we able to disclose which proxy voting policies they have selected. |
• | Boards and directors |
• | Auditors and audit-related issues |
• | Capital structure, mergers, asset sales, and other special transactions |
• | Compensation and benefits |
• | Material sustainability-related risks and opportunities |
• | Other corporate governance matters and shareholder protections |
• | Shareholder proposals |
2 | By material sustainability-related risks and opportunities, we mean the drivers of risk and value creation in a company’s business model that have an environmental or social dependency or impact. Examples of environmental issues include, but are not limited to, water use, land use, waste management and climate risk. Examples of social issues include, but are not limited to, human capital management, impacts on the communities in which a company operates, customer loyalty and relationships with regulators. It is our view that well-managed companies will effectively evaluate and manage material sustainability-related risks and opportunities relevant to their businesses. Governance is the core means by which boards can oversee the creation of durable, long-term value. Appropriate risk oversight of business-relevant and material sustainability-related considerations is a component of a sound governance framework. |
• | Establishing an appropriate corporate governance structure |
• | Supporting and overseeing management in setting long-term strategic goals and applicable measures of value-creation and milestones that will demonstrate progress, and taking steps to address anticipated or actual obstacles to success |
• | Providing oversight on the identification and management of material governance and sustainability-related risks |
• | Overseeing the financial resilience of the company, the integrity of financial statements, and the robustness of a company’s Enterprise Risk Management3 framework |
• | Making decisions on matters that require independent evaluation, which may include mergers, acquisitions and dispositions, activist situations or other similar cases |
• | Establishing appropriate executive compensation structures |
• | Monitoring business issues including material sustainability-related risks and opportunities, that have the potential to significantly impact the company’s long-term value |
• | Current or recent employment at the company or a subsidiary |
• | Being, or representing, a shareholder with a substantial shareholding in the company |
• | Interlocking directorships |
• | Having any other interest, business, or other relationship which could, or could reasonably be perceived to, materially interfere with a director’s ability to act in the best interests of the company and their shareholders |
3 | Enterprise risk management is a process, effected by the entity’s board of directors, management, and other personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect the entity, and manage risk to be within the risk appetite, to provide reasonable assurance regarding the achievement of objectives. (Committee of Sponsoring Organizations of the Treadway Commission (COSO), Enterprise Risk Management — Integrated Framework, September 2004, New York, NY). |
4 | For a discussion on the different impacts of diversity see: McKinsey, “Diversity Wins: How Inclusion Matters”, May 2022; Harvard Business Review, Diverse Teams Feel Less Comfortable – and That’s Why They Perform Better, September 2016; “Do Diverse Directors Influence DEI Outcomes”, September 2022. |
5 | The International Financial Reporting Standards (IFRS) Foundation announced in November 2021 the formation of an International Sustainability Standards Board (ISSB) to develop a comprehensive global baseline of high-quality sustainability disclosure standards to meet investors’ information needs. SASB standards will over time be adapted to ISSB standards but are the reference reporting tool in the meantime. |
6 | While guidance is still under development for a unified disclosure framework related to natural capital, the emerging recommendations of the Taskforce on Nature-related Financial Disclosures (TNFD), may prove useful to some companies. |
7 | The global aspiration to achieve a net-zero global economy by 2050 is reflective of aggregated efforts; governments representing over 90% of GDP have committed to move to net-zero over the coming decades. In determining how to vote on behalf of clients who have authorized us to do so, we look to companies only to address issues within their control and do not anticipate that they will address matters that are the domain of public policy. |
8 | For example, BlackRock’s Capital Markets Assumptions anticipate 25 points of cumulative economic gains over a 20-year period in an orderly transition as compared to the alternative. This better macro environment will support better economic growth, financial stability, job growth, productivity, as well as ecosystem stability and health outcomes. |
9 | BlackRock, “Managing the net-zero transition”, February 2022. |
10 | Corporate form refers to the legal structure by which a business is organized. |
11 | To learn more visit https://www.blackrock.com/corporate/about-us/investment-stewardship/blackrock-voting-choice. |
• | BlackRock clients who may be issuers of securities or proponents of shareholder resolutions |
• | BlackRock business partners or third parties who may be issuers of securities or proponents of shareholder resolutions |
• | BlackRock employees who may sit on the boards of public companies held in Funds managed by BlackRock |
• | Significant BlackRock, Inc. investors who may be issuers of securities held in Funds managed by BlackRock |
• | Securities of BlackRock, Inc. or BlackRock investment funds held in Funds managed by BlackRock |
• | BlackRock, Inc. board members who serve as senior executives or directors of public companies held in Funds managed by BlackRock |
• | Adopted the Guidelines which are designed to advance our clients’ interests in the companies in which BlackRock invests on their behalf |
• | Established a reporting structure that separates BIS from employees with sales, vendor management, or business partnership roles. In addition, BlackRock seeks to ensure that all engagements with corporate issuers, dissident shareholders or shareholder proponents are managed consistently and without regard to BlackRock’s relationship with such parties. Clients or business partners are not given special treatment or differentiated access to BIS. BIS prioritizes engagements based on factors including, but not limited to, our need for additional information to make a voting decision or our view on the likelihood that an engagement could lead to positive outcome(s) over time for the economic value of the company. Within the normal course of business, BIS may engage directly with BlackRock clients, business partners and/or third parties, and/or with employees with sales, vendor management, or business partnership roles, in discussions regarding our approach to stewardship, general corporate governance matters, client reporting needs, and/or to otherwise ensure that proxy-related client service levels are met |
• | Determined to engage, in certain instances, an independent third party voting service provider to make proxy voting recommendations as a further safeguard to avoid potential conflicts of interest, to satisfy regulatory compliance requirements, or as may be otherwise required by applicable law. In such circumstances, the voting service provider provides BlackRock with recommendations, in accordance with the Guidelines, as to how to vote such proxies. BlackRock uses an independent voting service provider to make proxy voting recommendations for |
shares of BlackRock, Inc. and companies affiliated with BlackRock, Inc. BlackRock may also use an independent voting service provider to make proxy voting recommendations for: |
o | public companies that include BlackRock employees on their boards of directors |
o | public companies of which a BlackRock, Inc. board member serves as a senior executive or a member of the board of directors |
o | public companies that are the subject of certain transactions involving BlackRock Funds |
o | public companies that are joint venture partners with BlackRock, and |
o | public companies when legal or regulatory requirements compel BlackRock to use an independent voting service provider |
12 | Recalling securities on loan can be impacted by the timing of record dates. In the United States, for example, the record date of a shareholder meeting typically falls before the proxy statements are released. Accordingly, it is not practicable to evaluate a proxy statement, determine that a vote has a material impact on a fund and recall any shares on loan in advance of the record date for the annual meeting. As a result, managers must weigh independent business judgement as a fiduciary, the benefit to a fund’s shareholders of recalling loaned shares in advance of an estimated record date without knowing whether there will be a vote on matters which have a material impact on the fund (thereby forgoing potential securities lending revenue for the fund’s shareholders) or leaving shares on loan to potentially earn revenue for the fund (thereby forgoing the opportunity to vote). |
13 | The proxy year runs from July 1 to June 30 of the proceeding calendar year. |
2021-22 | 2022-23 | 2023-24 | 2024-25 | 2025-26 | 2026-27 | ||||||
Personal Income Tax
|
$137.1 | $122.8 | $118.2 | $118.9 | $127.5 | $141.8 | |||||
Sales and Use Tax
|
33.0 | 33.1 | 33.4 | 34.4 | 35.5 | 36.3 | |||||
Corporation Tax
|
45.1 | 42.1 | 42.1 | 43.4 | 36.4 | 26.6 | |||||
Total(2)
|
$215.3 | $197.9 | $193.6 | $196.7 | $199.4 | $204.8 | |||||
Growth
|
19.3% | -8.1% | -2.2% | 1.6% | 1.4% | 2.7% |
(1) | From the California Department of Finance, 2023-24 May Revision Forecast |
CalPERS Return on Investments for Fiscal Years 2018 through 2022 | ||
Fiscal Year | Return on Investments | |
2017-18
|
8.6% | |
2018-19
|
6.7% | |
2019-20
|
4.7% | |
2020-21
|
21.3% | |
2021-22
|
-6.1% | |
2022-23
|
5.8%(1) |
(1) | Preliminary; reported as of July 2023. |
CalSTRS Return on Investments for Fiscal Years 2018 through 2022 | ||
Fiscal Year | Return on Investments | |
2017-18
|
9.0% | |
2018-19
|
6.8% | |
2019-20
|
3.9% | |
2020-21
|
27.2% | |
2021-22
|
-1.3% | |
2022-23
|
6.3%(1) |
(1) | Preliminary; reported as of July 2023. |
Revised 2022-23(2) |
2023-24 Budget |
Percent Change |
||||
Prior-year General Fund balance
|
$55,810 | $26,352 | (52.8)% | |||
Revenues and transfers
|
205,134 | 208,688 | 1.7% | |||
Expenditures
|
(234,592) | (225,928) | (3.7)% | |||
Ending General Fund Balance
|
$26,352 | $9,112 | ||||
Encumbrances
|
(5,272) | (5,272) | ||||
SFEU balance
|
$21,080 | $3,840 | ||||
BSA balance
|
$22,252 | $22,252 | ||||
Safety Net Reserve
|
$900 | $900 | ||||
Public School System Stabilization Account
|
$9,929 | $10,831 |
(1) | Totals may not add-up due to rounding. |
(2) | From the 2023-24 Budget. |
Moody’s | S&P | Fitch | ||
Aa2 | AA- | AA |