|
OCTOBER 31, 2021 |
2021 Annual Report
|
iShares Trust
· iShares iBonds 2021 Term High Yield and Income ETF | IBHA | Cboe BZX
· iShares iBonds 2022 Term High Yield and Income ETF | IBHB | Cboe BZX
· iShares iBonds 2023 Term High Yield and Income ETF | IBHC | Cboe BZX
· iShares iBonds 2024 Term High Yield and Income ETF | IBHD | Cboe BZX
· iShares iBonds 2025 Term High Yield and Income ETF | IBHE | Cboe BZX
· iShares iBonds 2026 Term High Yield and Income ETF | IBHF | Cboe BZX
· iShares iBonds 2027 Term High Yield and Income ETF | IBHG | Cboe BZX
Dear Shareholder,
The 12-month reporting period as of October 31, 2021 was a remarkable period of adaptation and recovery, as the global economy dealt with the implications of the coronavirus (or “COVID-19”) pandemic. The United States began the reporting period as the initial reopening-led economic rebound was beginning to slow. Nonetheless, the economy continued to grow at a solid pace for the reporting period, eventually regaining the output lost from the pandemic. However, a rapid rebound in consumer spending pushed up against supply constraints and led to elevated inflation.
Equity prices rose with the broader economy, as the implementation of mass vaccination campaigns and passage of two additional fiscal stimulus packages further boosted stocks, and many equity indices neared or surpassed all-time highs late in the reporting period. In the United States, returns of small-capitalization stocks, which benefited the most from the resumption of in-person activities, outpaced large-capitalization stocks. International equities also gained, as both developed and emerging markets continued to recover from the effects of the pandemic.
The 10-year U.S. Treasury yield (which is inversely related to bond prices) had fallen sharply prior to the beginning of the reporting period, which meant bonds were priced for extreme risk avoidance and economic disruption. Despite expectations of doom and gloom, the economy expanded rapidly, stoking inflation concerns in early 2021, which led to higher yields and a negative overall return for most U.S. Treasuries. In the corporate bond market, support from the U.S. Federal Reserve (the “Fed”) assuaged credit concerns and led to solid returns for high-yield corporate bonds, outpacing investment-grade corporate bonds.
The Fed remained committed to accommodative monetary policy by maintaining near-zero interest rates and by reiterating that inflation could exceed its 2% target for a sustained period without triggering a rate increase. In response to rising inflation late in the period, the Fed changed its market guidance, raising the possibility of higher rates in 2022 and reducing bond purchasing beginning in late 2021.
Looking ahead, we believe that the global expansion will continue to broaden as Europe and other developed market economies gain momentum, although the Delta variant of the coronavirus remains a threat, particularly in emerging markets. While we expect inflation to remain elevated in the medium-term as the expansion continues, we believe the recent uptick owes more to temporary supply disruptions than a lasting change in fundamentals. The change in Fed policy also means that moderate inflation is less likely to be followed by interest rate hikes that could threaten the economic expansion.
Overall, we favor a moderately positive stance toward risk, with an overweight in equities. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and health care, are particularly attractive in the long-term. U.S. small-capitalization stocks and European equities are likely to benefit from the continuing vaccine-led restart, while Chinese equities stand to gain from a more accommodative monetary and fiscal environment as the Chinese economy slows. We are underweight long-term credit, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities. We believe that international diversification and a focus on sustainability can help provide portfolio resilience, and the disruption created by the coronavirus appears to be accelerating the shift toward sustainable investments.
In this environment, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.
Sincerely,
Rob Kapito
President, BlackRock, Inc.
Rob Kapito
President, BlackRock, Inc.
Total Returns as of October 31, 2021
|
||||||||
6-Month
|
12-Month
|
|||||||
U.S.
large cap equities
|
|
10.91 |
% |
|
42.91 |
% | ||
U.S.
small cap equities
|
|
1.85 |
|
|
50.80 |
| ||
International
equities
|
|
4.14 |
|
|
34.18 |
| ||
Emerging
market equities
|
|
(4.87 |
) |
|
16.96 |
| ||
3-month Treasury bills
|
|
0.01 |
|
|
0.06 |
| ||
U.S.
Treasury securities
|
|
1.59 |
|
|
(4.77 |
) | ||
U.S.
investment grade bonds
|
|
1.06 |
|
|
(0.48 |
) | ||
Tax-exempt municipal bonds
|
|
0.33 |
|
|
2.76 |
| ||
U.S.
high yield bonds
|
|
2.36 |
|
|
10.53 |
| ||
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.
|
|
2 |
T H I S P A G E I S N O T P A R T O F Y O U R F U N D R E P O R T |
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4 | ||||
5 | ||||
18 | ||||
18 | ||||
19 | ||||
Financial Statements |
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50 | ||||
52 | ||||
54 | ||||
58 | ||||
65 | ||||
74 | ||||
75 | ||||
76 | ||||
80 | ||||
81 | ||||
83 | ||||
84 |
iShares Trust
U.S. Corporate Bond Market Overview
U.S. high-yield corporate bonds advanced notably for the 12 months ended October 31, 2021 (“reporting period”). The Markit iBoxx USD Liquid High Yield Index, a broad measure of U.S. high-yield corporate bond performance, returned 9.09%.
The U.S. economy continued to recover from the effects of the coronavirus pandemic, growing at a brisk pace during the reporting period. Driven by strong consumer spending and significant fiscal and monetary stimulus, U.S. growth outpaced most other developed economies. An ongoing COVID-19 vaccination program helped accelerate the easing of pandemic-related restrictions, and consumers returned to activities that were previously curtailed, such as travel, restaurant dining, and in-person shopping. Spending on goods also remained elevated, leading imports to rise to an all-time high.
However, this robust consumer demand combined with continued pandemic-related disruptions to the global supply chain led to significantly higher inflation. Similarly, in the labor market, the reopening economy and pent-up demand meant that hiring accelerated, and the unemployment rate fell substantially. Nonetheless, total employment remained notably below pre-pandemic levels and job openings reached a record high despite rising wages. Elevated demand drove an increase in industrial production, although rising commodities prices and supply delays constrained growth, particularly late in the reporting period. The emergence of the highly contagious Delta variant, which was responsible for a significant rise in cases beginning late in summer 2021, also weighed on the economy.
The U.S. Federal Reserve Bank (“Fed”) continued to keep short-term interest rates at near-zero levels and maintained a significant bond-buying program for U.S. Treasuries and mortgage-backed securities, although it discontinued its corporate bond purchasing program. The Fed indicated that it would begin slowing its bond buying activities late in 2021 and signaled that an interest rate increase could be possible in 2022. However, the improving employment environment and a sharp rise in inflation led investors to anticipate a more accelerated tightening of monetary policy. Trading activity showed that investors view multiple interest rate increases as probable in 2022.
Both Fed action and the economic rebound helped high-yield bond returns. High-yield bond prices benefited from the improving economy and from investors’ reassessment of creditworthiness in light of changing economic conditions. At the beginning of the pandemic, when uncertainty was high, investors were concerned about the potential for widespread insolvency. These concerns continued to abate during the reporting period, however, as growth continued, and the Fed’s support led to high investor confidence. Yield spreads (the difference between yields on high-yield corporate bonds and U.S. Treasuries) narrowed significantly as demand for high-yield bonds grew amid investors’ search for yield. Issuance of high-yield bonds was elevated, as companies took advantage of investor demand and lower borrowing costs to shore up their balance sheets.
From a sector perspective, high-yield bonds issued by consumer energy companies posted strong returns, helped by rising prices for energy commodities. The prices of oil, natural gas, and coal all increased substantially during the reporting period as the global economic rebound led to higher demand for energy. At the beginning of the pandemic, oil prices declined rapidly, and investment in new projects decreased significantly. As oil prices rose during the reporting period, energy companies issued debt, primarily to refinance at lower borrowing costs.
Bonds issued by consumer cyclical companies also advanced, as automobile company debt gained despite production cuts due to a semiconductor shortage. Gaming company bonds gained amid a return to in-person activities and travel as vaccination rates improved.
4 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2021 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2021 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2021, as represented by the Bloomberg 2021 Term High Yield and Income Index (the “Index”)(formerly the Bloomberg Barclays 2021 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||
1 Year |
Since Inception |
1 Year |
Since Inception |
|||||||||||||||
Fund NAV |
1.94 | % | 1.76% | 1.94 | % | 4.44% | ||||||||||||
Fund Market |
1.93 | 1.83 | 1.93 | 4.61 | ||||||||||||||
Index |
2.22 | 1.88 | 2.22 | 4.74 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 5/7/19. The first day of secondary market trading was 5/9/19.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,005.20 | $ 1.62 | $ 1,000.00 | $ 1,023.60 | $ 1.63 | 0.32 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
5 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2021 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
A |
0.4 | % | ||
Baa |
9.0 | |||
Ba |
5.3 | |||
B |
4.0 | |||
Not Rated |
1.0 | |||
Short-Term and Other Assets |
80.3 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
CSC Holdings LLC, 6.75%, 11/15/21 |
4.0 | % | ||
Qwest Corp., 6.75%, 12/01/21 |
3.7 | |||
General Motors Financial Co. Inc., 4.20%, 11/06/21 |
2.0 | |||
Sprint Communications Inc., 11.50%, 11/15/21 |
1.6 | |||
AbbVie Inc., 2.15%, 11/19/21 |
1.5 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
6 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2022 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2022 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2022, as represented by the Bloomberg 2022 Term High Yield and Income Index (the “Index”) (formerly the Bloomberg Barclays 2022 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||
1 Year | Since Inception |
1 Year | Since Inception |
|||||||||||||||||
Fund NAV |
5.22 | % | 3.17% | 5.22 | % | 8.08% | ||||||||||||||
Fund Market |
5.03 | 3.27 | 5.03 | 8.33 | ||||||||||||||||
Index |
5.68 | 3.82 | 5.68 | 9.74 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 5/7/19. The first day of secondary market trading was 5/9/19.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,009.30 | $ 1.77 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
7 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2022 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
A |
2.5 | % | ||
Baa |
44.2 | |||
Ba |
36.8 | |||
B |
7.6 | |||
Caa |
2.4 | |||
Not Rated |
3.9 | |||
Short-Term and Other Assets |
2.6 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
CIT Group Inc., 5.00%, 08/15/22 |
2.0 | % | ||
Sprint Communications Inc., 6.00%, 11/15/22 |
2.0 | |||
Navient Corp., 6.50%, 06/15/22 |
1.9 | |||
DISH DBS Corp., 5.88%, 07/15/22 |
1.8 | |||
Lumen Technologies Inc., Series T, 5.80%, 03/15/22 |
1.8 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
8 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2023 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2023 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2023, as represented by the Bloomberg 2023 Term High Yield and Income Index (the “Index”) (formerly the Bloomberg Barclays 2023 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||
1 Year |
Since Inception |
1 Year |
Since Inception |
|||||||||||||||||
Fund NAV |
9.12 | % | 4.55% | 9.12 | % | 11.70% | ||||||||||||||
Fund Market |
8.65 | 4.57 | 8.65 | 11.77 | ||||||||||||||||
Index |
9.84 | 5.75 | 9.84 | 14.88 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 5/7/19. The first day of secondary market trading was 5/9/19.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,019.40 | $ 1.78 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
9 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2023 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
A |
0.5 | % | ||
Baa |
17.2 | |||
Ba |
46.0 | |||
B |
17.0 | |||
Caa |
13.3 | |||
Not Rated |
2.8 | |||
Short-Term and Other Assets |
3.2 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
Sprint Corp., 7.88%, 09/15/23 |
2.9 | % | ||
Tenet Healthcare Corp., 6.75%, 06/15/23 |
2.7 | |||
Ligado Networks LLC, 15.50%, 11/01/23 |
2.4 | |||
DISH DBS Corp., 5.00%, 03/15/23 |
2.3 | |||
HCA Inc., 5.88%, 05/01/23 |
2.0 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
10 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2024 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2024 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2024, as represented by the Bloomberg 2024 Term High Yield and Income Index (the “Index”)(formerly the Bloomberg Barclays 2024 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||
1 Year |
Since Inception |
1 Year |
Since Inception |
|||||||||||||||||
Fund NAV |
10.42 | % | 4.61% | 10.42 | % | 11.87% | ||||||||||||||
Fund Market |
10.16 | 4.69 | 10.16 | 12.07 | ||||||||||||||||
Index |
11.44 | 5.48 | 11.44 | 14.15 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 5/7/19. The first day of secondary market trading was 5/9/19.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,021.80 | $ 1.78 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
11 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2024 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
Baa |
2.4 | % | ||
Ba |
51.5 | |||
B |
28.9 | |||
Caa |
12.9 | |||
Not Rated |
3.3 | |||
Short-Term and Other Assets |
1.0 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
Sprint Corp., 7.13%, 06/15/24 |
3.2 | % | ||
Intesa Sanpaolo SpA, 5.02%, 06/26/24 |
2.8 | |||
DISH DBS Corp., 5.88%, 11/15/24 |
2.6 | |||
Global Aircraft Leasing Co. Ltd., 6.50%, 09/15/24 |
2.1 | |||
Occidental Petroleum Corp., 2.90%, 08/15/24 |
1.9 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
12 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2025 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2025 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2025, as represented by the Bloomberg 2025 Term High Yield and Income Index (the “Index”)(formerly the Bloomberg Barclays 2025 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||
1 Year |
Since Inception |
1 Year |
Since Inception |
|||||||||||||||||
Fund NAV |
8.77 | % | 5.34% | 8.77 | % | 13.81% | ||||||||||||||
Fund Market |
8.66 | 5.41 | 8.66 | 14.01 | ||||||||||||||||
Index |
9.72 | 5.82 | 9.72 | 15.08 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 5/7/19. The first day of secondary market trading was 5/9/19.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,015.50 | $ 1.78 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
13 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2025 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
Baa |
3.2 | % | ||
Ba |
44.1 | |||
B |
37.1 | |||
Caa |
11.6 | |||
Not Rated |
1.7 | |||
Short-Term and Other Assets |
2.3 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
Caesars Entertainment Inc., 6.25%, 07/01/25 |
1.7 | % | ||
HCA Inc., 5.38%, 02/01/25 |
1.5 | |||
American Airlines Inc., 11.75%, 07/15/25 |
1.5 | |||
Bausch Health Companies Inc., 9.00%, 12/15/25 |
1.3 | |||
Ford Motor Co., 9.00%, 04/22/25 |
1.3 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
14 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2026 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2026 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2026, as represented by the Bloomberg 2026 Term High Yield and Income Index (the “Index”)(formerly the Bloomberg Barclays 2026 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Cumulative Total Returns | ||||
Since Inception |
||||
Fund NAV |
5.79% | |||
Fund Market |
5.99 | |||
Index |
6.31 |
GROWTH OF $10,000 INVESTMENT
(SINCE INCEPTION AT NET ASSET VALUE)
The inception date of the Fund was 11/10/20. The first day of secondary market trading was 11/12/20.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,017.20 | $ 1.78 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
F U N D S U M M A R Y |
15 |
Fund Summary as of October 31, 2021 (continued) | iShares® iBonds® 2026 Term High Yield and Income ETF |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
| |
Baa |
5.2 | % | ||
Ba |
39.2 | |||
B |
40.1 | |||
Caa |
12.0 | |||
Not Rated |
1.9 | |||
Short-Term and Other Assets |
1.6 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
| |
TransDigm Inc., 6.25%, 03/15/26 |
2.2 | % | ||
American Airlines Inc./AAdvantage Loyalty IP Ltd., 5.50%, 04/20/26 |
1.7 | |||
Western Digital Corp., 4.75%, 02/15/26 |
1.2 | |||
Tenet Healthcare Corp., 4.88%, 01/01/26 |
1.2 | |||
Ford Motor Credit Co. LLC, 4.39%, 01/08/26 |
1.1 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
16 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Fund Summary as of October 31, 2021 | iShares® iBonds® 2027 Term High Yield and Income ETF |
Investment Objective
The iShares iBonds 2027 Term High Yield and Income ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield and other income generating corporate bonds maturing in 2027, as represented by the Bloomberg 2027 Term High Yield and Income Index (the “Index”) (formerly the Bloomberg Barclays 2027 Term High Yield and Income Index). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
Cumulative Total Returns | ||||
Since Inception |
||||
Fund NAV |
0.15% | |||
Fund Market |
0.14 | |||
Index |
0.28 |
For the fiscal period ended 10/31/21, the Fund did not have six months of performance and therefore line graphs are not presented.
The inception date of the Fund was 7/7/21. The first day of secondary market trading was 7/9/21.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 18 for more information.
Expense Example
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
|
Beginning Account Value (07/07/21) |
(a) |
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(b) |
|
Beginning Account Value (05/01/21) |
|
|
Ending Account Value (10/31/21) |
|
|
Expenses Paid During the Period |
(b) |
|
Annualized Expense Ratio |
| ||||||||||
$ 1,000.00 | $ 1,001.50 | $ 1.11 | $ 1,000.00 | $ 1,023.40 | $ 1.79 | 0.35 | % |
(a) |
The beginning of the period (commencement of operations) is July 07, 2021. |
(b) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (116 days for actual and 184 days for hypothetical expenses) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 18 for more information. |
Portfolio Information
ALLOCATION BY CREDIT QUALITY
Moody’s Credit Ratings* | |
Percent of Net Assets |
||
Baa |
0.9 | % | ||
Ba |
35.9 | |||
B |
45.4 | |||
Caa |
14.2 | |||
Not Rated |
1.5 | |||
Short-Term and Other Assets |
2.1 |
FIVE LARGEST HOLDINGS
Security(a) | |
Percent of Net Assets |
||
Carnival Corp., 5.75%, 03/01/27 |
1.6 | % | ||
CCO Holdings LLC/CCO Holdings Capital Corp., 5.13%, 05/01/27 |
1.5 | |||
Centene Corp., 4.25%, 12/15/27 |
1.3 | |||
TransDigm Inc., 5.50%, 11/15/27 |
1.2 | |||
DIRECTV Holdings LLC/DIRECTV Financing Co. Inc., 5.88%, 08/15/27 |
1.1 |
* |
Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change. |
(a) |
Excludes money market funds. |
F U N D S U M M A R Y |
17 |
Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at iShares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined by using the midpoint between the highest bid and the lowest ask on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. Since shares of a fund may not trade in the secondary market until after the fund’s inception, for the period from inception to the first day of secondary market trading in shares of the fund, the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.
An index is a statistical composite that tracks a specified financial market or sector. Unlike a fund, an index does not actually hold a portfolio of securities and therefore does not incur the expenses incurred by a fund. These expenses negatively impact fund performance. Also, market returns do not include brokerage commissions that may be payable on secondary market transactions. If brokerage commissions were included, market returns would be lower.
As a shareholder of your Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested at the beginning of the period (or from the commencement of operations if less than 6 months) and held through the end of the period, is intended to help you understand your ongoing costs (in dollars and cents) of investing in your Fund and to compare these costs with the ongoing costs of investing in other funds.
Actual Expenses – The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During the Period.”
Hypothetical Example for Comparison Purposes – The table also provides information about hypothetical account values and hypothetical expenses based on your Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
18 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
October 31, 2021 |
iShares® iBonds® 2021 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security |
(000) |
Value | ||||||
Corporate Bonds & Notes |
||||||||
Auto Manufacturers — 2.0% | ||||||||
General Motors Financial Co. Inc., 4.20%, 11/06/21 |
$ | 780 | $ | 780,304 | ||||
|
|
|||||||
Banks — 0.8% | ||||||||
Santander Holdings USA Inc., 4.45%, 12/03/21 (Call 11/29/21) |
325 | 325,955 | ||||||
|
|
|||||||
Chemicals — 0.4% | ||||||||
Eastman Chemical Co., 3.50%, 12/01/21 |
135 | 135,336 | ||||||
|
|
|||||||
Electric — 1.5% | ||||||||
American Electric Power Co. Inc., Series I, 3.65%, 12/01/21 |
200 | 200,504 | ||||||
Public Service Enterprise Group Inc., 2.00%, 11/15/21 (Call 11/09/21) |
180 | 180,059 | ||||||
Southern
Power Co., Series E, 2.50%, 12/15/21 |
180 | 180,144 | ||||||
|
|
|||||||
560,707 | ||||||||
Food — 0.7% | ||||||||
Kroger Co. (The), 2.95%, 11/01/21 |
275 | 275,000 | ||||||
|
|
|||||||
Household Products & Wares — 0.3% | ||||||||
Clorox Co. (The), 3.80%, 11/15/21 |
135 | 135,169 | ||||||
|
|
|||||||
Media — 4.0% | ||||||||
CSC Holdings LLC, 6.75%, 11/15/21 |
1,525 | 1,526,815 | ||||||
|
|
|||||||
Pharmaceuticals — 1.8% | ||||||||
AbbVie Inc. |
||||||||
2.15%, 11/19/21 |
580 | 580,522 | ||||||
3.38%, 11/14/21 |
110 | 110,107 | ||||||
|
|
|||||||
690,629 | ||||||||
Pipelines — 0.4% | ||||||||
ANR Pipeline Co., 9.63%, 11/01/21 |
155 | 155,000 | ||||||
|
|
|||||||
Real Estate Investment Trusts — 1.0% | ||||||||
Starwood Property Trust Inc., 5.00%, 12/15/21 (Call 11/29/21) |
387 | 387,906 | ||||||
|
|
|||||||
Retail — 0.3% | ||||||||
Lowe’s Companies Inc., 3.80%, 11/15/21 |
125 | 125,155 | ||||||
|
|
Security |
Par/ (000) |
Value | ||||||
Savings & Loans — 0.5% | ||||||||
First Niagara Financial Group Inc., 7.25%, 12/15/21 |
$ | 180 | $ | 181,454 | ||||
|
|
|||||||
Software — 0.7% | ||||||||
Roper Technologies Inc., 2.80%, 12/15/21 (Call 11/15/21) |
280 | 280,244 | ||||||
|
|
|||||||
Telecommunications — 5.3% | ||||||||
Qwest Corp., 6.75%, 12/01/21(a) |
1,425 | 1,430,543 | ||||||
Sprint Communications Inc., 11.50%, 11/15/21 |
620 | 622,294 | ||||||
|
|
|||||||
2,052,837 | ||||||||
|
|
|||||||
Total
Corporate Bonds & Notes — 19.7% |
|
7,612,511 | ||||||
|
|
|||||||
Short-Term Investments |
||||||||
Money Market Funds — 81.5% |
||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(b)(c)(d) |
838 | 838,519 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(b)(c) |
30,640 | 30,640,000 | ||||||
|
|
|||||||
31,478,519 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 81.5% |
|
31,478,519 | ||||||
|
|
|||||||
Total
Investments in Securities — 101.2% |
|
39,091,030 | ||||||
Other Assets, Less Liabilities — (1.2)% |
|
(471,250 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
|
$ | 38,619,780 | |||||
|
|
(a) |
All or a portion of this security is on loan. |
(b) |
Affiliate of the Fund. |
(c) |
Annualized 7-day yield as of period end. |
(d) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the year ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 10/31/20 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital
Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 1,241,761 | $ | — | $ | (402,773 | )(a) | $ | (471 | ) | $ | 2 | $ | 838,519 | 838 | $ | 4,311 | (b) | $ | — | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
610,000 | 30,030,000 | (a) | — | — | — | 30,640,000 | 30,640 | 677 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (471 | ) | $ | 2 | $ | 31,478,519 | $ | 4,988 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Represents net amount purchased (sold). |
(b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
S C H E D U L E O F I N V E S T M E N T S |
19 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2021 Term High Yield and Income ETF |
Fair Value Hierarchy as of Period End (continued)
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 7,612,511 | $ | — | $ | 7,612,511 | ||||||||
Money Market Funds |
31,478,519 | — | — | 31,478,519 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 31,478,519 | $ | 7,612,511 | $ | — | $ | 39,091,030 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
20 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2022 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
| |||||||
Aerospace & Defense — 0.1% | ||||||||
Boeing Co. (The), 2.70%, 05/01/22(a) |
$ | 50 | $ | 50,540 | ||||
|
|
|||||||
Agriculture — 1.8% | ||||||||
Altria Group Inc., 2.85%, 08/09/22 |
575 | 585,402 | ||||||
BAT Capital Corp., 2.76%, 08/15/22 (Call 07/15/22) |
120 | 121,737 | ||||||
Bunge Ltd. Finance Corp., 3.00%, 09/25/22 (Call 08/25/22) |
80 | 81,594 | ||||||
Cooke Omega Investments Inc./Alpha VesselCo Holdings Inc., 8.50%, 12/15/22 (Call 11/29/21)(b) |
450 | 459,234 | ||||||
|
|
|||||||
1,247,967 | ||||||||
Airlines — 4.0% | ||||||||
American Airlines Group Inc., 5.00%, 06/01/22(a)(b) |
883 | 886,090 | ||||||
Continental Airlines Inc. Pass Through Trust, Series 2007-1, Class A, 5.98%, 10/19/23 |
8 | 7,624 | ||||||
Delta Air Lines Inc., 3.63%, 03/15/22 (Call 02/15/22) |
975 | 981,250 | ||||||
Southwest Airlines Co., 2.75%, 11/16/22 (Call 10/16/22) |
100 | 102,002 | ||||||
United Airlines Holdings Inc., 4.25%, 10/01/22 |
830 | 847,065 | ||||||
|
|
|||||||
2,824,031 | ||||||||
Apparel — 0.2% | ||||||||
Tapestry Inc., 3.00%, 07/15/22 (Call 06/15/22) |
130 | 131,699 | ||||||
|
|
|||||||
Auto Manufacturers — 3.5% | ||||||||
Ford
Motor Credit Co. LLC |
225 | 226,991 | ||||||
3.22%, 01/09/22 |
75 | 75,229 | ||||||
3.34%, 03/28/22 (Call 02/28/22) |
125 | 125,699 | ||||||
3.35%, 11/01/22 |
300 | 304,437 | ||||||
3.55%, 10/07/22(a) |
235 | 238,607 | ||||||
4.25%, 09/20/22 |
250 | 255,650 | ||||||
5.60%, 01/07/22 |
225 | 226,737 | ||||||
General Motors Financial Co. Inc. |
||||||||
3.15%, 06/30/22 (Call 05/30/22) |
415 | 421,167 | ||||||
3.45%, 01/14/22 (Call 12/14/21) |
50 | 50,176 | ||||||
3.45%, 04/10/22 (Call 02/10/22) |
60 | 60,488 | ||||||
3.55%, 07/08/22 |
465 | 474,426 | ||||||
|
|
|||||||
2,459,607 | ||||||||
Auto Parts & Equipment — 1.2% | ||||||||
ZF North America Capital Inc., 4.50%, 04/29/22(b) |
820 | 834,366 | ||||||
|
|
|||||||
Banks — 9.0% | ||||||||
CIT Group Inc., 5.00%, 08/15/22(a) |
1,360 | 1,401,793 | ||||||
Citigroup Inc., 4.05%, 07/30/22 |
510 | 523,428 | ||||||
Cooperatieve Rabobank U.A., 3.95%, 11/09/22 |
650 | 672,003 | ||||||
Credit Suisse Group Funding Guernsey Ltd., 3.80%, 09/15/22(a) |
800 | 822,704 | ||||||
Deutsche Bank AG/New York NY |
||||||||
3.30%, 11/16/22 |
650 | 667,388 | ||||||
Series D, 5.00%, 02/14/22 |
225 | 227,792 | ||||||
Fifth Third Bancorp., 2.60%, 06/15/22 (Call 05/15/22) |
125 | 126,446 | ||||||
Huntington Bancshares Inc./OH, 2.30%, 01/14/22 (Call 12/14/21) |
25 | 25,059 | ||||||
Morgan Stanley, 4.88%, 11/01/22 |
825 | 859,955 | ||||||
Natwest Group PLC, 6.13%, 12/15/22 |
370 | 391,423 | ||||||
Santander Holdings USA Inc., 3.70%, 03/28/22 (Call 02/28/22) |
50 | 50,495 | ||||||
Synchrony Bank, 3.00%, 06/15/22 (Call 05/15/22) |
100 | 101,335 | ||||||
Synovus Financial Corp., 3.13%, 11/01/22 (Call 10/01/22) |
400 | 408,024 | ||||||
|
|
|||||||
6,277,845 | ||||||||
Beverages — 0.0% | ||||||||
Molson Coors Beverage Co., 3.50%, 05/01/22 |
35 | 35,536 | ||||||
|
|
Security | Par (000) |
Value | ||||||
Biotechnology — 1.3% | ||||||||
Amgen Inc., 2.65%, 05/11/22 (Call 04/11/22) |
$ | 200 | $ | 202,056 | ||||
Biogen Inc., 3.63%, 09/15/22 |
275 | 282,562 | ||||||
Gilead Sciences Inc., 3.25%, 09/01/22 (Call 07/01/22) |
450 | 458,487 | ||||||
|
|
|||||||
943,105 | ||||||||
Chemicals — 1.1% | ||||||||
Cabot Corp., 3.70%, 07/15/22 |
100 | 102,110 | ||||||
Celanese U.S. Holdings LLC, 4.63%, 11/15/22 |
145 | 150,746 | ||||||
Eastman Chemical Co., 3.60%, 08/15/22 (Call 05/15/22) |
150 | 152,405 | ||||||
Mosaic Co. (The), 3.25%, 11/15/22 (Call 10/15/22) |
115 | 117,824 | ||||||
NewMarket Corp., 4.10%, 12/15/22 |
100 | 103,586 | ||||||
Nutrien Ltd., 3.15%, 10/01/22 (Call 07/01/22) |
100 | 101,766 | ||||||
RPM International Inc., 3.45%, 11/15/22 (Call 08/15/22) |
25 | 25,538 | ||||||
|
|
|||||||
753,975 | ||||||||
Commercial Services — 3.0% | ||||||||
Block Financial LLC, 5.50%, 11/01/22 (Call 05/01/22) |
150 | 153,411 | ||||||
Equifax Inc., 3.30%, 12/15/22 (Call 09/15/22) |
140 | 143,233 | ||||||
IHS Markit Ltd., 5.00%, 11/01/22 (Call 08/01/22)(b) |
900 | 928,323 | ||||||
Moody’s Corp., 4.50%, 09/01/22 (Call 06/01/22) |
135 | 138,041 | ||||||
North Queensland Export Terminal Pty Ltd., 4.45%, 12/15/22(b) |
575 | 554,300 | ||||||
PayPal Holdings Inc., 2.20%, 09/26/22 |
50 | 50,824 | ||||||
Verisk Analytics Inc., 4.13%, 09/12/22 |
100 | 102,973 | ||||||
|
|
|||||||
2,071,105 | ||||||||
Computers — 0.7% | ||||||||
Genpact Luxembourg Sarl, 3.70%, 04/01/22 (Call 03/01/22) |
25 | 25,254 | ||||||
Hewlett Packard Enterprise Co., 4.40%, 10/15/22 (Call 08/15/22) |
325 | 334,698 | ||||||
HP Inc., 4.05%, 09/15/22 |
100 | 102,923 | ||||||
|
|
|||||||
462,875 | ||||||||
Diversified Financial Services — 8.2% | ||||||||
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, 4.63%, 07/01/22 |
150 | 153,993 | ||||||
Air Lease Corp. |
||||||||
2.63%, 07/01/22 (Call 06/01/22) |
650 | 657,618 | ||||||
3.50%, 01/15/22 |
37 | 37,221 | ||||||
3.75%, 02/01/22 (Call 12/01/21) |
45 | 45,119 | ||||||
Ally Financial Inc., 4.63%, 05/19/22 |
75 | 76,649 | ||||||
Capital One Financial Corp., 3.05%, 03/09/22 (Call 02/09/22)(a) |
125 | 125,865 | ||||||
Discover Financial Services, 3.85%, 11/21/22 |
150 | 155,056 | ||||||
Intercontinental Exchange Inc., 2.35%, 09/15/22 (Call 08/15/22) |
125 | 126,914 | ||||||
International Lease Finance Corp., 5.88%, 08/15/22 |
650 | 676,877 | ||||||
Navient Corp., 6.50%, 06/15/22 |
1,316 | 1,352,980 | ||||||
OneMain Finance Corp., 6.13%, 05/15/22 |
1,136 | 1,165,422 | ||||||
Oxford Finance LLC/Oxford Finance Co-Issuer II Inc., 6.38%, 12/15/22 (Call 11/29/21)(b) |
560 | 562,610 | ||||||
Synchrony Financial, 2.85%, 07/25/22 (Call 06/25/22) |
600 | 608,946 | ||||||
|
|
|||||||
5,745,270 | ||||||||
Electric — 7.5% | ||||||||
AEP Texas Inc., 2.40%, 10/01/22 (Call 09/01/22) |
50 | 50,760 | ||||||
American Electric Power Co. Inc., Series F, 2.95%, 12/15/22 (Call 09/15/22) |
125 | 127,580 | ||||||
CenterPoint Energy Inc., 2.50%, 09/01/22 (Call 08/01/22)(a) |
100 | 101,493 | ||||||
Dominion Energy Inc., Series B, 2.75%, 09/15/22 (Call 06/15/22) |
100 | 101,388 | ||||||
DTE Energy Co. |
||||||||
2.25%, 11/01/22 |
100 | 101,618 | ||||||
Series H, 0.55%, 11/01/22 |
300 | 300,081 | ||||||
Duke Energy Corp. |
||||||||
2.40%, 08/15/22 (Call 07/15/22) |
150 | 152,105 | ||||||
3.05%, 08/15/22 (Call 05/15/22) |
250 | 253,410 |
S C H E D U L E O F I N V E S T M E N T S |
21 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2022 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Electric (continued) | ||||||||
Edison International |
||||||||
2.40%, 09/15/22 (Call 08/15/22) |
$ | 125 | $ | 126,439 | ||||
3.13%, 11/15/22 (Call 10/15/22) |
100 | 101,886 | ||||||
Entergy Corp., 4.00%, 07/15/22 (Call 05/15/22) |
175 | 178,101 | ||||||
Eversource Energy, Series K, 2.75%, 03/15/22 (Call 02/15/22) |
50 | 50,322 | ||||||
Exelon Corp., 3.50%, 06/01/22 (Call 05/01/22) |
226 | 229,272 | ||||||
Exelon Generation Co. LLC, 4.25%, 06/15/22 (Call 03/15/22) |
175 | 177,415 | ||||||
FirstEnergy Corp., Series A, 3.35%, 07/15/22 (Call 05/15/22) |
601 | 607,791 | ||||||
ITC Holdings Corp., 2.70%, 11/15/22 (Call 10/15/22) |
100 | 101,963 | ||||||
NextEra Energy Capital Holdings Inc. |
||||||||
1.95%, 09/01/22 |
475 | 480,975 | ||||||
2.90%, 04/01/22 |
135 | 136,426 | ||||||
Pacific Gas and Electric Co., 1.75%, 06/16/22 (Call 11/09/21) |
700 | 699,279 | ||||||
Public Service Enterprise Group Inc., 2.65%, 11/15/22 (Call 10/15/22) |
125 | 127,443 | ||||||
Puget Energy Inc., 5.63%, 07/15/22 (Call 04/15/22) |
135 | 138,101 | ||||||
Sempra Energy, 2.88%, 10/01/22 (Call 07/01/22) |
150 | 152,230 | ||||||
TransAlta Corp., 4.50%, 11/15/22 (Call 08/15/22)(a) |
760 | 774,759 | ||||||
|
|
|||||||
5,270,837 | ||||||||
Electronics — 0.4% | ||||||||
Arrow Electronics Inc., 3.50%, 04/01/22 (Call 02/01/22) |
37 | 37,274 | ||||||
Avnet Inc., 4.88%, 12/01/22 |
100 | 104,271 | ||||||
Jabil Inc., 4.70%, 09/15/22 |
135 | 139,701 | ||||||
|
|
|||||||
281,246 | ||||||||
Environmental Control — 0.1% | ||||||||
Waste Management Inc., 2.90%, 09/15/22 (Call 06/15/22) |
100 | 101,548 | ||||||
|
|
|||||||
Food — 3.0% | ||||||||
Campbell Soup Co., 2.50%, 08/02/22(a) |
50 | 50,763 | ||||||
General Mills Inc., 2.60%, 10/12/22 (Call 09/12/22) |
125 | 127,286 | ||||||
Kraft Heinz Foods Co., 3.50%, 06/06/22 |
840 | 852,793 | ||||||
Kroger Co. (The), 2.80%, 08/01/22 (Call 07/01/22) |
525 | 533,332 | ||||||
McCormick & Co. Inc./MD, 2.70%, 08/15/22 (Call 07/15/22) |
175 | 177,795 | ||||||
Mondelez International Inc., 0.63%, 07/01/22 |
150 | 150,294 | ||||||
Sysco Corp., 2.60%, 06/12/22 |
35 | 35,446 | ||||||
Tyson Foods Inc., 4.50%, 06/15/22 (Call 03/15/22)(a) |
175 | 177,667 | ||||||
|
|
|||||||
2,105,376 | ||||||||
Health Care - Products — 0.2% | ||||||||
DH Europe Finance II Sarl, 2.05%, 11/15/22 |
100 | 101,586 | ||||||
Zimmer Biomet Holdings Inc., 3.15%, 04/01/22 (Call 02/01/22) |
50 | 50,323 | ||||||
|
|
|||||||
151,909 | ||||||||
Health Care - Services — 3.4% | ||||||||
Aetna Inc., 2.75%, 11/15/22 (Call 08/15/22) |
260 | 264,514 | ||||||
Anthem Inc. |
||||||||
2.95%, 12/01/22 (Call 11/01/22) |
300 | 307,146 | ||||||
3.13%, 05/15/22 |
50 | 50,721 | ||||||
CommonSpirit Health, 2.95%, 11/01/22 |
150 | 153,247 | ||||||
Dignity Health, 3.13%, 11/01/22 |
100 | 102,237 | ||||||
Humana Inc. |
||||||||
2.90%, 12/15/22 (Call 11/15/22) |
100 | 102,359 | ||||||
3.15%, 12/01/22 (Call 09/01/22) |
155 | 158,329 | ||||||
Molina Healthcare Inc., 5.38%, 11/15/22 (Call 08/15/22) |
1,200 | 1,235,892 | ||||||
|
|
|||||||
2,374,445 | ||||||||
Holding Companies - Diversified — 0.2% | ||||||||
Ares Capital Corp., 3.63%, 01/19/22 (Call 12/19/21) |
45 | 45,175 | ||||||
FS KKR Capital Corp., 4.75%, 05/15/22 (Call 04/15/22)(a) |
60 | 61,063 | ||||||
|
|
|||||||
106,238 | ||||||||
Home Builders — 2.3% | ||||||||
DR Horton Inc., 4.38%, 09/15/22 (Call 06/15/22) |
100 | 102,304 |
Security | Par (000) |
Value | ||||||
Home Builders (continued) | ||||||||
KB Home, 7.50%, 09/15/22 |
$ | 650 | $ | 685,360 | ||||
Lennar Corp., 4.75%, 11/15/22 (Call 08/15/22) |
320 | 330,445 | ||||||
NVR Inc., 3.95%, 09/15/22 (Call 06/15/22) |
170 | 173,400 | ||||||
Toll Brothers Finance Corp., 5.88%, 02/15/22 (Call 11/15/21) |
300 | 300,504 | ||||||
|
|
|||||||
1,592,013 | ||||||||
Home Furnishings — 0.2% | ||||||||
Leggett & Platt Inc., 3.40%, 08/15/22 (Call 05/15/22) |
100 | 101,527 | ||||||
Whirlpool Corp., 4.70%, 06/01/22 |
50 | 51,188 | ||||||
|
|
|||||||
152,715 | ||||||||
Household Products & Wares — 0.4% | ||||||||
Church & Dwight Co. Inc., 2.88%, 10/01/22 |
75 | 76,689 | ||||||
Clorox Co. (The), 3.05%, 09/15/22 (Call 06/15/22) |
170 | 172,683 | ||||||
|
|
|||||||
249,372 | ||||||||
Housewares — 0.4% | ||||||||
Newell Brands Inc., 4.00%, 06/15/22 (Call 11/22/21) |
305 | 308,459 | ||||||
|
|
|||||||
Insurance — 1.0% | ||||||||
Alleghany Corp., 4.95%, 06/27/22 |
105 | 107,975 | ||||||
Aon Corp., 2.20%, 11/15/22 |
150 | 152,494 | ||||||
Enstar Group Ltd., 4.50%, 03/10/22 (Call 02/10/22) |
25 | 25,264 | ||||||
Fidelity National Financial Inc., 5.50%, 09/01/22 |
105 | 109,208 | ||||||
Globe Life Inc., 3.80%, 09/15/22 |
50 | 51,397 | ||||||
Markel Corp., 4.90%, 07/01/22 |
100 | 102,782 | ||||||
Primerica Inc., 4.75%, 07/15/22 |
130 | 133,818 | ||||||
WR Berkley Corp., 4.63%, 03/15/22 |
50 | 50,699 | ||||||
|
|
|||||||
733,637 | ||||||||
Internet — 3.1% | ||||||||
Cogent
Communications Group Inc., 5.38%, 03/01/22 |
312 | 313,114 | ||||||
E*TRADE Financial Corp., 2.95%, 08/24/22 (Call 07/24/22) |
150 | 152,681 | ||||||
eBay Inc., 2.60%, 07/15/22 (Call 04/15/22) |
400 | 403,988 | ||||||
Netflix Inc., 5.50%, 02/15/22 |
875 | 886,917 | ||||||
NortonLifeLock Inc., 3.95%, 06/15/22 (Call 03/15/22) |
445 | 449,027 | ||||||
|
|
|||||||
2,205,727 | ||||||||
Iron & Steel — 0.1% | ||||||||
Nucor Corp., 4.13%, 09/15/22 (Call 06/15/22) |
100 | 102,222 | ||||||
|
|
|||||||
Leisure Time — 1.5% | ||||||||
Royal Caribbean Cruises Ltd., 5.25%, 11/15/22 |
1,050 | 1,078,696 | ||||||
|
|
|||||||
Lodging — 2.3% | ||||||||
Marriott International Inc./MD, 2.30%, 01/15/22 (Call 12/15/21) |
25 | 25,051 | ||||||
MGM Resorts International, 7.75%, 03/15/22 |
1,008 | 1,031,688 | ||||||
Travel
+ Leisure Co., 4.25%, 03/01/22 |
571 | 572,085 | ||||||
|
|
|||||||
1,628,824 | ||||||||
Machinery — 0.1% | ||||||||
CNH Industrial Capital LLC, 4.38%, 04/05/22 |
35 | 35,540 | ||||||
|
|
|||||||
Manufacturing — 1.8% | ||||||||
Carlisle Companies Inc., 3.75%, 11/15/22 (Call 08/15/22) |
100 | 102,524 | ||||||
Eaton Corp., 2.75%, 11/02/22(a) |
400 | 408,916 | ||||||
General Electric Co. |
||||||||
2.70%, 10/09/22 |
155 | 158,125 | ||||||
3.15%, 09/07/22(a) |
500 | 512,030 | ||||||
Parker-Hannifin Corp., 3.50%, 09/15/22(a) |
50 | 51,288 | ||||||
|
|
|||||||
1,232,883 | ||||||||
Media — 4.6% | ||||||||
Charter Communications Operating LLC/Charter Communications Operating Capital, 4.46%, 07/23/22 (Call 05/23/22) |
760 | 776,036 |
22 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2022 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Media (continued) | ||||||||
CSC Holdings LLC, 5.88%, 09/15/22 |
$ | 1,050 | $ | 1,080,366 | ||||
DISH DBS Corp., 5.88%, 07/15/22(a) |
1,261 | 1,293,950 | ||||||
Fox Corp., 3.67%, 01/25/22 |
75 | 75,575 | ||||||
|
|
|||||||
3,225,927 | ||||||||
Mining — 1.2% | ||||||||
Freeport-McMoRan Inc., 3.55%, 03/01/22 (Call 12/01/21) |
488 | 489,010 | ||||||
Mountain Province Diamonds Inc., 8.00%, 12/15/22 (Call 11/09/21)(a)(b) |
308 | 276,196 | ||||||
Southern Copper Corp., 3.50%, 11/08/22 |
100 | 102,734 | ||||||
|
|
|||||||
867,940 | ||||||||
Office & Business Equipment — 0.5% | ||||||||
Xerox Corp., 4.07%, 03/17/22 |
324 | 327,477 | ||||||
|
|
|||||||
Oil & Gas — 3.4% | ||||||||
Apache Corp., 3.25%, 04/15/22 (Call 01/15/22) |
100 | 100,394 | ||||||
EQT Corp., 3.00%, 10/01/22 (Call 09/01/22)(a) |
1,000 | 1,010,920 | ||||||
Occidental Petroleum Corp. |
||||||||
2.60%, 04/15/22 (Call 03/15/22) |
55 | 55,252 | ||||||
2.70%, 08/15/22 |
525 | 532,208 | ||||||
3.13%, 02/15/22 (Call 11/29/21) |
301 | 301,331 | ||||||
Phillips 66, 4.30%, 04/01/22 |
250 | 254,058 | ||||||
Range Resources Corp., 5.00%, 08/15/22 (Call 05/15/22)(a) |
102 | 103,626 | ||||||
|
|
|||||||
2,357,789 | ||||||||
Packaging & Containers — 1.7% | ||||||||
Graphic Packaging International LLC, 4.88%, 11/15/22 (Call 08/15/22) |
600 | 617,724 | ||||||
Sealed
Air Corp., 4.88%, 12/01/22 |
584 | 602,922 | ||||||
|
|
|||||||
1,220,646 | ||||||||
Pharmaceuticals — 3.5% | ||||||||
AbbVie Inc. |
||||||||
2.30%, 11/21/22 |
660 | 672,164 | ||||||
2.90%, 11/06/22 |
375 | 383,771 | ||||||
3.20%, 11/06/22 (Call 09/06/22) |
50 | 51,114 | ||||||
3.25%, 10/01/22 (Call 07/01/22) |
150 | 152,665 | ||||||
3.45%, 03/15/22 (Call 01/15/22) |
50 | 50,309 | ||||||
AstraZeneca PLC, 2.38%, 06/12/22 (Call 05/12/22) |
75 | 75,800 | ||||||
Cigna Corp., 3.05%, 11/30/22 (Call 10/31/22) |
100 | 102,528 | ||||||
CVS Health Corp. |
||||||||
2.75%, 12/01/22 (Call 09/01/22) |
425 | 432,739 | ||||||
3.50%, 07/20/22 (Call 05/20/22) |
125 | 127,069 | ||||||
4.75%, 12/01/22 (Call 09/01/22) |
105 | 108,600 | ||||||
McKesson Corp., 2.70%, 12/15/22 (Call 09/15/22) |
125 | 127,291 | ||||||
Viatris Inc., 1.13%, 06/22/22(b) |
150 | 150,540 | ||||||
|
|
|||||||
2,434,590 | ||||||||
Pipelines — 6.7% | ||||||||
DCP Midstream Operating LP, 4.95%, 04/01/22 (Call 01/01/22) |
414 | 416,111 | ||||||
Enbridge Inc., 2.90%, 07/15/22 (Call 06/15/22) |
125 | 126,855 | ||||||
Energy Transfer LP |
||||||||
4.65%, 02/15/22 |
15 | 15,175 | ||||||
5.20%, 02/01/22 (Call 11/01/21) |
135 | 135,000 | ||||||
Energy Transfer LP/Regency Energy Finance Corp. |
||||||||
5.00%, 10/01/22 (Call 07/01/22) |
625 | 642,812 | ||||||
5.88%, 03/01/22 (Call 12/01/21) |
65 | 65,280 | ||||||
Enterprise Products Operating LLC, 4.05%, 02/15/22 |
100 | 101,039 | ||||||
Kinder Morgan Energy Partners LP, 3.95%, 09/01/22 |
||||||||
(Call 06/01/22) |
375 | 382,537 | ||||||
MPLX LP, 3.50%, 12/01/22 (Call 11/01/22) |
135 | 138,698 | ||||||
NuStar Logistics LP, 4.75%, 02/01/22 (Call 11/01/21) |
277 | 277,000 | ||||||
ONEOK Inc., 4.25%, 02/01/22 (Call 11/01/21) |
50 | 50,000 | ||||||
ONEOK Partners LP, 3.38%, 10/01/22 (Call 07/01/22) |
250 | 254,550 |
Security | Par (000) |
Value | ||||||
Pipelines (continued) | ||||||||
Plains All American Pipeline LP/PAA Finance Corp., 3.65%, 06/01/22 (Call 03/01/22) |
$ | 125 | $ | 126,218 | ||||
Ruby Pipeline LLC, 8.00%, 04/01/22(b) |
259 | 244,375 | ||||||
Sabine Pass Liquefaction LLC, 6.25%, 03/15/22 (Call 12/15/21) |
100 | 100,674 | ||||||
TransCanada PipeLines Ltd., 2.50%, 08/01/22 |
250 | 253,397 | ||||||
Western
Midstream Operating LP, 4.00%, 07/01/22 |
800 | 808,344 | ||||||
Williams Companies Inc. (The) |
||||||||
3.35%, 08/15/22 (Call 05/15/22) |
530 | 538,056 | ||||||
3.60%, 03/15/22 (Call 01/15/22) |
50 | 50,321 | ||||||
|
|
|||||||
4,726,442 | ||||||||
Real Estate Investment Trusts — 1.9% | ||||||||
Kimco Realty Corp., 3.40%, 11/01/22 (Call 09/01/22) |
75 | 76,722 | ||||||
Office Properties Income Trust, 4.00%, 07/15/22 (Call 06/15/22) . |
100 | 101,868 | ||||||
Service Properties Trust, 5.00%, 08/15/22 (Call 02/15/22) |
876 | 880,152 | ||||||
SL
Green Operating Partnership LP, 3.25%, 10/15/22 |
135 | 137,887 | ||||||
SL Green Realty Corp., 4.50%, 12/01/22 (Call 09/01/22) |
100 | 102,994 | ||||||
|
|
|||||||
1,299,623 | ||||||||
Retail — 0.6% | ||||||||
Lowe’s Companies Inc., 3.12%, 04/15/22 (Call 01/15/22) |
93 | 93,531 | ||||||
McDonald’s Corp., 2.63%, 01/15/22 |
50 | 50,241 | ||||||
O’Reilly Automotive Inc., 3.80%, 09/01/22 (Call 06/01/22) |
50 | 50,944 | ||||||
Starbucks Corp., 2.70%, 06/15/22 (Call 04/15/22) |
95 | 96,019 | ||||||
Walgreen Co., 3.10%, 09/15/22 |
150 | 153,367 | ||||||
|
|
|||||||
444,102 | ||||||||
Savings & Loans — 0.2% | ||||||||
People’s United Financial Inc., 3.65%, 12/06/22 (Call 09/06/22) |
135 | 138,222 | ||||||
|
|
|||||||
Semiconductors — 0.5% | ||||||||
Advanced Micro Devices Inc., 7.50%, 08/15/22 |
283 | 297,974 | ||||||
Broadcom Corp./Broadcom Cayman Finance Ltd., 3.00%, 01/15/22 (Call 12/15/21) |
23 | 23,052 | ||||||
|
|
|||||||
321,026 | ||||||||
Software — 2.7% | ||||||||
Autodesk Inc., 3.60%, 12/15/22 (Call 09/15/22) |
100 | 102,418 | ||||||
Fiserv Inc., 3.50%, 10/01/22 (Call 07/01/22) |
175 | 178,491 | ||||||
Oracle Corp., 2.50%, 10/15/22 |
975 | 993,496 | ||||||
Roper Technologies Inc. |
||||||||
0.45%, 08/15/22 |
75 | 75,005 | ||||||
3.13%, 11/15/22 (Call 08/15/22) |
150 | 152,870 | ||||||
VMware Inc., 2.95%, 08/21/22 (Call 07/21/22) |
350 | 355,866 | ||||||
|
|
|||||||
1,858,146 | ||||||||
Telecommunications — 6.7% | ||||||||
AT&T Inc. |
||||||||
2.63%, 12/01/22 (Call 09/01/22) |
250 | 254,275 | ||||||
3.00%, 06/30/22 (Call 04/30/22) |
265 | 268,204 | ||||||
Lumen Technologies Inc., Series T, 5.80%, 03/15/22 |
1,271 | 1,288,222 | ||||||
Nokia OYJ, 3.38%, 06/12/22 |
625 | 633,800 | ||||||
Sprint Communications Inc., 6.00%, 11/15/22(a) |
1,322 | 1,386,606 | ||||||
Telefonaktiebolaget LM Ericsson, 4.13%, 05/15/22 |
331 | 336,822 | ||||||
T-Mobile USA Inc., 4.00%, 04/15/22 (Call 03/16/22) |
465 | 469,771 | ||||||
Vodafone Group PLC, 2.50%, 09/26/22 |
75 | 76,260 | ||||||
|
|
|||||||
4,713,960 | ||||||||
Transportation — 1.1% | ||||||||
JB Hunt Transport Services Inc., 3.30%, 08/15/22 (Call 06/15/22) |
125 | 127,237 | ||||||
Navios
Maritime Holdings Inc./Navios Maritime Finance II U.S. Inc., 7.38%,
01/15/22 |
300 | 292,461 | ||||||
Ryder System Inc., 2.50%, 09/01/22 (Call 08/01/22) |
200 | 202,938 |
S C H E D U L E O F I N V E S T M E N T S |
23 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2022 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security |
Par/ Shares |
Value | ||||||
Transportation (continued) | ||||||||
Union Pacific Corp., 4.16%, 07/15/22 (Call 04/15/22) |
$ | 125 | $ | 127,131 | ||||
|
|
|||||||
749,767 | ||||||||
|
|
|||||||
Total
Corporate Bonds & Notes — 97.4% |
68,235,265 | |||||||
|
|
|||||||
Common Stocks |
||||||||
Metals & Mining — 0.0% | ||||||||
Ferroglobe PLC(c) |
2 | 11,006 | ||||||
|
|
|||||||
Total
Common Stocks — 0.0% |
11,006 | |||||||
|
|
|||||||
Short-Term Investments |
||||||||
Money Market Funds — 13.6% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(d)(e)(f) |
6,231 | 6,234,299 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(d)(e) |
3,280 | 3,280,000 | ||||||
|
|
|||||||
9,514,299 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 13.6% |
9,514,299 | |||||||
|
|
|||||||
Total
Investments in Securities — 111.0% |
77,760,570 | |||||||
Other Assets, Less Liabilities — (11.0)% |
(7,675,278 | ) | ||||||
|
|
|||||||
Net Assets — 100.0% |
$ | 70,085,292 | ||||||
|
|
(a) |
All or a portion of this security is on loan. |
(b) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(c) |
Non-income producing security. |
(d) |
Affiliate of the Fund. |
(e) |
Annualized 7-day yield as of period end. |
(f) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the year ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 10/31/20 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital
Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 1,096,376 | $ | 5,138,611 | (a) | $ | — | $ | (713 | ) | $ | 25 | $ | 6,234,299 | 6,231 | $ | 13,080 | (b) | $ | — | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
691,000 | 2,589,000 | (a) | — | — | — | 3,280,000 | 3,280 | 148 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (713 | ) | $ | 25 | $ | 9,514,299 | $ | 13,228 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Represents net amount purchased (sold). |
(b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
24 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2022 Term High Yield and Income ETF |
Fair Value Hierarchy as of Period End (continued)
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 68,235,265 | $ | — | $ | 68,235,265 | ||||||||
Common Stocks |
11,006 | — | — | 11,006 | ||||||||||||
Money Market Funds |
9,514,299 | — | — | 9,514,299 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 9,525,305 | $ | 68,235,265 | $ | — | $ | 77,760,570 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
S C H E D U L E O F I N V E S T M E N T S |
25 |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2023 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
||||||||
Aerospace & Defense — 1.2% | ||||||||
Boeing Co. (The) |
||||||||
1.88%, 06/15/23 (Call 04/15/23) |
$ | 100 | $ | 101,292 | ||||
4.51%, 05/01/23 (Call 04/01/23) |
300 | 314,550 | ||||||
Northrop Grumman Corp., 3.25%, 08/01/23 |
200 | 209,008 | ||||||
Spirit AeroSystems Inc., 3.95%, 06/15/23 (Call 05/15/23)(a) |
395 | 402,011 | ||||||
|
|
|||||||
1,026,861 | ||||||||
Airlines — 1.1% | ||||||||
American Airlines Pass Through Trust, Series 2013-2, Class A, 4.95%, 07/15/24 |
234 | 238,689 | ||||||
Delta
Air Lines Inc., 3.80%, 04/19/23 |
585 | 605,703 | ||||||
Southwest Airlines Co., 4.75%, 05/04/23 |
55 | 58,175 | ||||||
|
|
|||||||
902,567 | ||||||||
Auto Manufacturers — 4.5% | ||||||||
Ford Motor Co., 8.50%, 04/21/23 |
825 | 904,035 | ||||||
Ford Motor Credit Co. LLC |
||||||||
3.09%, 01/09/23 |
370 | 375,994 | ||||||
3.10%, 05/04/23 |
240 | 244,586 | ||||||
3.37%, 11/17/23 |
265 | 271,800 | ||||||
4.14%, 02/15/23 (Call 01/15/23) |
260 | 267,488 | ||||||
4.38%, 08/06/23(a) |
445 | 463,597 | ||||||
General Motors Co., 4.88%, 10/02/23 |
250 | 268,233 | ||||||
General Motors Financial Co. Inc., 1.70%, 08/18/23 |
255 | 258,652 | ||||||
Jaguar
Land Rover Automotive PLC, 5.63%, 02/01/23 |
650 | 653,256 | ||||||
Stellantis NV, 5.25%, 04/15/23 |
75 | 79,658 | ||||||
|
|
|||||||
3,787,299 | ||||||||
Banks — 5.0% | ||||||||
CIT Group Inc., 5.00%, 08/01/23(a) |
1,005 | 1,067,209 | ||||||
Citigroup Inc., 3.50%, 05/15/23 |
50 | 52,084 | ||||||
Commerzbank AG, 8.13%, 09/19/23(b) |
1,300 | 1,454,804 | ||||||
Cooperatieve Rabobank U.A., 4.63%, 12/01/23 |
315 | 338,480 | ||||||
Credit Suisse Group AG, 3.80%, 06/09/23 |
305 | 319,234 | ||||||
Discover Bank, 4.20%, 08/08/23 |
255 | 270,313 | ||||||
Morgan Stanley, 4.10%, 05/22/23 |
255 | 267,985 | ||||||
Natwest Group PLC, 3.88%, 09/12/23 |
206 | 217,116 | ||||||
Santander
Holdings USA Inc., 3.40%, 01/18/23 |
200 | 205,876 | ||||||
|
|
|||||||
4,193,101 | ||||||||
Beverages — 0.0% | ||||||||
Constellation Brands Inc., 4.25%, 05/01/23 |
30 | 31,552 | ||||||
|
|
|||||||
Biotechnology — 0.4% | ||||||||
Gilead
Sciences Inc., 0.75%, 09/29/23 |
150 | 149,818 | ||||||
Royalty Pharma PLC, 0.75%, 09/02/23 |
150 | 149,762 | ||||||
|
|
|||||||
299,580 | ||||||||
Chemicals — 0.9% | ||||||||
CF Industries Inc., 3.45%, 06/01/23 |
443 | 459,413 | ||||||
CVR Partners LP/CVR Nitrogen Finance Corp., 9.25%, 06/15/23 (Call 11/15/21)(a)(b) |
34 | 34,067 | ||||||
DuPont de Nemours Inc., 4.21%, 11/15/23 (Call 10/15/23) |
260 | 277,069 | ||||||
|
|
|||||||
770,549 | ||||||||
Commercial Services — 3.3% | ||||||||
ADT Security Corp. (The), 4.13%, 06/15/23 |
875 | 909,860 | ||||||
Ahern
Rentals Inc., 7.38%, 05/15/23 |
630 | 605,272 | ||||||
IHS Markit Ltd., 4.13%, 08/01/23 (Call 07/01/23) |
625 | 658,400 | ||||||
Modulaire
Global Finance PLC, 8.00%, 02/15/23 |
525 | 534,991 | ||||||
|
|
|||||||
2,708,523 |
Security | Par (000) |
Value | ||||||
Computers — 2.2% | ||||||||
Dell
International LLC/EMC Corp., 5.45%, 06/15/23 |
$ | 100 | $ | 106,591 | ||||
Exela Intermediate LLC/Exela Finance Inc., 10.00%, 07/15/23 (Call 11/29/21)(b) |
1,159 | 970,593 | ||||||
Hewlett Packard Enterprise Co., 4.45%, 10/02/23 (Call 09/02/23) |
75 | 79,760 | ||||||
Seagate HDD Cayman, 4.75%, 06/01/23(a) |
670 | 701,222 | ||||||
|
|
|||||||
1,858,166 | ||||||||
Cosmetics & Personal Care — 0.8% | ||||||||
Avon Products Inc., 6.50%, 03/15/23 |
595 | 626,898 | ||||||
|
|
|||||||
Distribution & Wholesale — 0.9% | ||||||||
Avient Corp., 5.25%, 03/15/23 |
740 | 779,405 | ||||||
|
|
|||||||
Diversified Financial Services — 6.4% | ||||||||
AerCap Ireland Capital DAC/AerCap Global Aviation Trust |
||||||||
4.13%, 07/03/23 (Call 06/03/23) |
150 | 157,295 | ||||||
4.50%, 09/15/23 (Call 08/15/23) |
150 | 159,042 | ||||||
Air Lease Corp., 3.00%, 09/15/23 (Call 07/15/23) |
150 | 155,226 | ||||||
Aircastle Ltd., 5.00%, 04/01/23 |
30 | 31,674 | ||||||
Ally Financial Inc., 1.45%, 10/02/23 (Call 09/02/23) |
255 | 257,458 | ||||||
Capital One Bank USA N.A., 3.38%, 02/15/23 |
250 | 258,503 | ||||||
Capital One Financial Corp., 3.50%, 06/15/23 |
180 | 187,988 | ||||||
Intercontinental Exchange Inc., 4.00%, 10/15/23 |
25 | 26,559 | ||||||
Navient Corp. |
||||||||
5.50%, 01/25/23 |
1,150 | 1,201,278 | ||||||
7.25%, 09/25/23 |
725 | 788,815 | ||||||
OneMain Finance Corp. |
||||||||
5.63%, 03/15/23(a) |
1,085 | 1,140,953 | ||||||
8.25%, 10/01/23(a) |
495 | 552,212 | ||||||
TMX Finance LLC/TitleMax Finance Corp., 11.13%, 04/01/23 (Call 11/29/21)(b) |
420 | 429,366 | ||||||
|
|
|||||||
5,346,369 | ||||||||
Electric — 2.6% | ||||||||
FirstEnergy Corp., Series B, 4.75%, 03/15/23 (Call 12/15/22) |
1,055 | 1,093,729 | ||||||
InterGen NV, 7.00%, 06/30/23 (Call 11/29/21)(b) |
500 | 493,315 | ||||||
NextEra Energy Capital Holdings Inc., 0.65%, 03/01/23 |
100 | 100,104 | ||||||
Pacific
Gas and Electric Co. |
50 | 49,816 | ||||||
3.85%, 11/15/23 (Call 08/15/23) |
75 | 77,369 | ||||||
4.25%, 08/01/23 (Call 07/01/23) |
35 | 36,456 | ||||||
Sempra Energy, 4.05%, 12/01/23 (Call 09/01/23) |
100 | 105,883 | ||||||
Southern Co. (The), 2.95%, 07/01/23 (Call 05/01/23) |
200 | 206,522 | ||||||
|
|
|||||||
2,163,194 | ||||||||
Electrical Components & Equipment — 0.4% | ||||||||
EnerSys, 5.00%, 04/30/23 (Call 01/30/23)(a)(b) |
345 | 357,244 | ||||||
|
|
|||||||
Electronics — 0.9% | ||||||||
Sensata Technologies BV, 4.88%, 10/15/23(b) |
700 | 742,490 | ||||||
|
|
|||||||
Energy - Alternate Sources — 0.7% | ||||||||
TerraForm
Power Operating LLC, 4.25%, 01/31/23 |
600 | 614,796 | ||||||
|
|
|||||||
Entertainment — 0.4% | ||||||||
Downstream Development Authority of the Quapaw Tribe of Oklahoma, 10.50%, 02/15/23 (Call 11/29/21)(b) |
320 | 331,917 | ||||||
|
|
|||||||
Food — 2.1% | ||||||||
Albertsons Companies Inc./Safeway Inc./New |
||||||||
Albertsons
LP/Albertsons LLC, 3.50%, 02/15/23 |
945 | 961,925 | ||||||
Conagra Brands Inc., 0.50%, 08/11/23 (Call 08/11/22) |
100 | 99,543 |
26 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2023 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Food (continued) | ||||||||
Fresh Market Inc. (The), 9.75%, 05/01/23 (Call 11/29/21)(b) |
$ | 695 | $ | 715,106 | ||||
|
|
|||||||
1,776,574 | ||||||||
Gas — 0.6% | ||||||||
Rockpoint Gas Storage Canada Ltd., 7.00%, 03/31/23 (Call 11/29/21)(b) |
505 | 506,874 | ||||||
|
|
|||||||
Hand & Machine Tools — 0.5% | ||||||||
Apex Tool Group LLC/BC Mountain Finance Inc., 9.00%, 02/15/23 (Call 11/29/21)(a)(b) |
405 | 405,717 | ||||||
|
|
|||||||
Health Care - Products — 0.1% | ||||||||
Thermo Fisher Scientific Inc., 0.80%, 10/18/23 (Call 10/18/22) |
60 | 60,019 | ||||||
|
|
|||||||
Health Care - Services — 5.0% | ||||||||
HCA Inc., 5.88%, 05/01/23 |
1,574 | 1,684,243 | ||||||
Humana Inc., 0.65%, 08/03/23 (Call 02/03/22) |
200 | 199,824 | ||||||
Tenet Healthcare Corp., 6.75%, 06/15/23 |
2,119 | 2,276,971 | ||||||
|
|
|||||||
4,161,038 | ||||||||
Holding Companies - Diversified — 0.8% | ||||||||
FS Energy & Power Fund, 7.50%, 08/15/23 (Call 05/15/23)(b) |
630 | 656,523 | ||||||
|
|
|||||||
Home Builders — 1.8% | ||||||||
DR Horton Inc., 4.75%, 02/15/23 (Call 11/15/22) |
15 | 15,611 | ||||||
KB Home, 7.63%, 05/15/23 (Call 11/15/22) |
440 | 468,556 | ||||||
Taylor Morrison Communities Inc./Taylor Morrison Holdings II Inc., 5.88%, 04/15/23 (Call 01/15/23)(b) |
440 | 460,328 | ||||||
Toll Brothers Finance Corp., 4.38%, 04/15/23 (Call 01/15/23) |
510 | 527,988 | ||||||
|
|
|||||||
1,472,483 | ||||||||
Housewares — 1.7% | ||||||||
Newell Brands Inc., 4.35%, 04/01/23 (Call 02/01/23) |
1,355 | 1,412,018 | ||||||
|
|
|||||||
Insurance — 0.8% | ||||||||
Aspen Insurance Holdings Ltd., 4.65%, 11/15/23 |
15 | 16,056 | ||||||
Assurant Inc., 4.20%, 09/27/23 (Call 08/27/23) |
15 | 15,883 | ||||||
Genworth Holdings Inc., 4.90%, 08/15/23 |
540 | 553,549 | ||||||
MGIC Investment Corp., 5.75%, 08/15/23 |
55 | 58,954 | ||||||
|
|
|||||||
644,442 | ||||||||
Iron & Steel — 1.0% | ||||||||
Carpenter Technology Corp., 4.45%, 03/01/23 (Call 12/01/22)(a) . |
395 | 409,153 | ||||||
Commercial Metals Co., 4.88%, 05/15/23 (Call 02/15/23) |
420 | 435,838 | ||||||
|
|
|||||||
844,991 | ||||||||
Leisure Time — 2.6% | ||||||||
Royal Caribbean Cruises Ltd. |
||||||||
9.13%, 06/15/23 (Call 03/15/23)(b) |
995 | 1,080,590 | ||||||
10.88%, 06/01/23 (Call 03/01/23)(b) |
1,000 | 1,119,500 | ||||||
|
|
|||||||
2,200,090 | ||||||||
Lodging — 3.5% | ||||||||
Hyatt Hotels Corp., 1.30%, 10/01/23 (Call 10/01/22) |
200 | 200,174 | ||||||
MGM Resorts International, 6.00%, 03/15/23 |
1,545 | 1,632,802 | ||||||
Travel + Leisure Co., 3.90%, 03/01/23 (Call 12/01/22) |
485 | 500,937 | ||||||
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., 4.25%, 05/30/23 (Call 02/28/23)(b) |
600 | 605,610 | ||||||
|
|
|||||||
2,939,523 | ||||||||
Machinery — 0.8% | ||||||||
Cleaver-Brooks
Inc., 7.88%, 03/01/23 |
455 | 449,071 | ||||||
CNH Industrial NV, 4.50%, 08/15/23 |
200 | 212,520 | ||||||
Crane Co., 4.45%, 12/15/23 (Call 09/15/23) |
15 | 15,993 | ||||||
|
|
|||||||
677,584 | ||||||||
Manufacturing — 0.0% | ||||||||
Carlisle Companies Inc., 0.55%, 09/01/23 (Call 09/01/22) |
15 | 14,934 | ||||||
|
|
Security | Par (000) |
Value | ||||||
Media — 4.3% | ||||||||
CCO Holdings LLC/CCO Holdings Capital Corp., 4.00%, 03/01/23 (Call 11/15/21)(b) |
$ | 525 | $ | 526,271 | ||||
DISH DBS Corp., 5.00%, 03/15/23 |
1,883 | 1,948,434 | ||||||
Quebecor Media Inc., 5.75%, 01/15/23 |
1,080 | 1,136,948 | ||||||
|
|
|||||||
3,611,653 | ||||||||
Mining — 1.6% | ||||||||
Freeport-McMoRan Inc., 3.88%, 03/15/23 (Call 12/15/22) |
1,255 | 1,292,688 | ||||||
|
|
|||||||
Office & Business Equipment — 1.5% | ||||||||
Xerox Corp., 4.38%, 03/15/23 (Call 02/15/23) |
1,240 | 1,280,449 | ||||||
|
|
|||||||
Oil & Gas — 5.3% | ||||||||
Calumet Specialty Products Partners LP/Calumet Finance Corp., 7.75%, 04/15/23 (Call 11/29/21) |
405 | 400,820 | ||||||
Cenovus Energy Inc., 3.80%, 09/15/23 (Call 06/15/23) |
135 | 140,970 | ||||||
Continental Resources Inc./OK, 4.50%, 04/15/23 (Call 01/15/23) |
785 | 816,636 | ||||||
Devon
Energy Corp., 8.25%, 08/01/23 |
35 | 38,859 | ||||||
Marathon
Petroleum Corp., 4.75%, 12/15/23 |
60 | 64,468 | ||||||
Occidental
Petroleum Corp., 2.70%, 02/15/23 |
855 | 865,551 | ||||||
Range
Resources Corp., 5.00%, 03/15/23 |
675 | 693,765 | ||||||
Transocean
Sentry Ltd., 5.38%, 05/15/23 |
441 | 433,330 | ||||||
Vantage
Drilling International, 9.25%, 11/15/23 |
345 | 315,568 | ||||||
W&T Offshore Inc., 9.75%, 11/01/23 (Call 11/29/21)(b) |
685 | 666,772 | ||||||
|
|
|||||||
4,436,739 | ||||||||
Packaging & Containers — 4.0% | ||||||||
Ball Corp., 4.00%, 11/15/23 |
1,355 | 1,425,026 | ||||||
OI
European Group BV, 4.00%, 03/15/23 |
395 | 403,331 | ||||||
Owens-Brockway Glass Container Inc., 5.88%, 08/15/23(a)(b) |
905 | 953,399 | ||||||
Sealed Air Corp., 5.25%, 04/01/23 (Call 01/01/23)(b) |
505 | 527,614 | ||||||
|
|
|||||||
3,309,370 | ||||||||
Pharmaceuticals — 3.1% | ||||||||
AbbVie Inc., 3.75%, 11/14/23 (Call 10/14/23) |
275 | 290,887 | ||||||
Cigna Corp. |
||||||||
3.00%, 07/15/23 (Call 05/16/23) |
200 | 206,874 | ||||||
3.75%, 07/15/23 (Call 06/15/23) |
55 | 57,752 | ||||||
CVS Health Corp. |
||||||||
3.70%, 03/09/23 (Call 02/09/23) |
100 | 103,906 | ||||||
4.00%, 12/05/23 (Call 09/05/23) |
160 | 169,480 | ||||||
Elanco
Animal Health Inc., 5.27%, 08/28/23 |
1,035 | 1,102,379 | ||||||
Shire Acquisitions Investments Ireland DAC, 2.88%, 09/23/23 (Call 07/23/23) |
205 | 212,396 | ||||||
Takeda Pharmaceutical Co. Ltd., 4.40%, 11/26/23 (Call 10/26/23) |
200 | 214,062 | ||||||
Zoetis Inc., 3.25%, 02/01/23 (Call 11/01/22) |
200 | 205,306 | ||||||
|
|
|||||||
2,563,042 | ||||||||
Pipelines — 5.9% | ||||||||
Buckeye Partners LP, 4.15%, 07/01/23 (Call 04/01/23) |
630 | 651,918 | ||||||
DCP
Midstream Operating LP, 3.88%, 03/15/23 |
625 | 645,494 | ||||||
Enbridge Inc., 4.00%, 10/01/23 (Call 07/01/23) |
200 | 210,536 | ||||||
Energy Transfer LP, Series 5Y, 4.20%, 09/15/23 (Call 08/15/23) |
60 | 63,278 | ||||||
Energy Transfer LP/Regency Energy Finance Corp., 4.50%, 11/01/23 (Call 08/01/23) |
250 | 264,415 | ||||||
EQM Midstream Partners LP, 4.75%, 07/15/23 (Call 06/15/23) |
845 | 889,616 | ||||||
Kinder Morgan Energy Partners LP, 3.50%, 09/01/23 (Call 06/01/23) |
200 | 208,282 | ||||||
MPLX LP, 4.50%, 07/15/23 (Call 04/15/23) |
300 | 315,513 | ||||||
NGL Energy Partners LP/NGL Energy Finance Corp., 7.50%, 11/01/23 (Call 11/29/21) |
695 | 670,473 | ||||||
ONEOK Inc., 7.50%, 09/01/23 (Call 06/01/23) |
100 | 110,259 |
S C H E D U L E O F I N V E S T M E N T S |
27 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2023 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Pipelines (continued) | ||||||||
PBF Logistics LP/PBF Logistics Finance Corp., 6.88%, 05/15/23 (Call 11/29/21)(a) |
$ | 655 | $ | 637,715 | ||||
Plains All American Pipeline LP/PAA Finance Corp., 3.85%, 10/15/23 (Call 07/15/23) |
77 | 80,661 | ||||||
Williams Companies Inc. (The), 4.50%, 11/15/23 (Call 08/15/23). |
200 | 212,720 | ||||||
|
|
|||||||
4,960,880 | ||||||||
Real Estate — 1.6% | ||||||||
Newmark Group Inc., 6.13%, 11/15/23 (Call 10/15/23) |
745 | 804,369 | ||||||
Realogy Group LLC/Realogy Co-Issuer Corp., 4.88%, 06/01/23 (Call 03/01/23)(b) |
515 | 531,835 | ||||||
|
|
|||||||
1,336,204 | ||||||||
Real Estate Investment Trusts — 2.7% | ||||||||
American Tower Corp., 3.00%, 06/15/23 |
200 | 207,326 | ||||||
Crown Castle International Corp., 3.15%, 07/15/23 (Call 06/15/23) |
225 | 233,703 | ||||||
CubeSmart LP, 4.38%, 12/15/23 (Call 09/15/23) |
15 | 15,970 | ||||||
EPR Properties, 5.25%, 07/15/23 (Call 11/12/21) |
350 | 372,018 | ||||||
Essex Portfolio LP, 3.25%, 05/01/23 (Call 02/01/23) |
15 | 15,476 | ||||||
GEO Group Inc. (The), 5.13%, 04/01/23 (Call 11/29/21)(a) |
340 | 327,699 | ||||||
Service Properties Trust, 4.50%, 06/15/23 (Call 12/15/22)(a) |
600 | 613,422 | ||||||
Starwood Property Trust Inc., 5.50%, 11/01/23 (Call 08/01/23)(b) . |
425 | 446,088 | ||||||
|
|
|||||||
2,231,702 | ||||||||
Retail — 3.1% | ||||||||
Brinker International Inc., 3.88%, 05/15/23 |
345 | 354,788 | ||||||
Macy’s Retail Holdings LLC, 2.88%, 02/15/23 (Call 11/15/22) |
650 | 657,585 | ||||||
QVC Inc., 4.38%, 03/15/23 |
935 | 970,867 | ||||||
Starbucks Corp., 3.85%, 10/01/23 (Call 07/01/23) |
100 | 105,294 | ||||||
Yum! Brands Inc., 3.88%, 11/01/23 (Call 08/01/23)(a) |
480 | 503,112 | ||||||
|
|
|||||||
2,591,646 | ||||||||
Semiconductors — 0.1% | ||||||||
Microchip Technology Inc., 2.67%, 09/01/23 |
40 | 41,252 | ||||||
|
|
|||||||
Software — 0.7% |
| |||||||
Fiserv Inc., 3.80%, 10/01/23 (Call 09/01/23) |
45 | 47,484 | ||||||
Oracle
Corp. |
355 | 364,787 | ||||||
2.63%, 02/15/23 (Call 01/15/23) |
100 | 102,545 | ||||||
VMware Inc., 0.60%, 08/15/23 |
100 | 99,770 | ||||||
|
|
|||||||
614,586 | ||||||||
Storage & Warehousing — 0.3% | ||||||||
Modulaire Global Finance 2 PLC, 10.00%, 08/15/23 (Call 11/09/21)(b) |
275 | 281,936 | ||||||
|
|
|||||||
Telecommunications — 8.4% |
| |||||||
DKT
Finance ApS, 9.38%, 06/17/23 |
415 | 422,171 |
Security | Par/ Shares (000) |
Value | ||||||
Telecommunications (continued) | ||||||||
Ligado Networks LLC, 15.50%, 11/01/23, (15.50% PIK)(b)(c) |
$ | 2,400 | $ | 1,967,885 | ||||
Lumen Technologies Inc., Series W, 6.75%, 12/01/23 |
1,045 | 1,147,493 | ||||||
Rogers Communications Inc., 4.10%, 10/01/23 (Call 07/01/23) |
200 | 210,808 | ||||||
Sprint Corp., 7.88%, 09/15/23(a) |
2,174 | 2,413,401 | ||||||
VEON Holdings BV, 7.25%, 04/26/23 (Call 01/26/23)(d) |
800 | 851,720 | ||||||
|
|
|||||||
7,013,478 | ||||||||
Toys, Games & Hobbies — 0.4% | ||||||||
Mattel Inc., 3.15%, 03/15/23 (Call 12/15/22) |
325 | 332,729 | ||||||
|
|
|||||||
Transportation — 0.8% |
| |||||||
Altera Infrastructure LP/Teekay Offshore Finance Corp., 8.50%, 07/15/23 (Call 11/15/21)(b) |
625 | 471,656 | ||||||
Ryder System Inc., 3.88%, 12/01/23 (Call 11/01/23) |
200 | 212,098 | ||||||
|
|
|||||||
683,754 | ||||||||
|
|
|||||||
Total
Corporate Bonds & Notes — 96.8% |
80,895,429 | |||||||
|
|
|||||||
Short-Term Investments |
| |||||||
Money Market Funds — 14.0% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(e)(f)(g) |
5,907 | 5,910,354 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(e)(f) |
5,780 | 5,780,000 | ||||||
|
|
|||||||
11,690,354 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 14.0% |
11,690,354 | |||||||
|
|
|||||||
Total
Investments in Securities — 110.8% |
92,585,783 | |||||||
Other Assets, Less Liabilities — (10.8)% |
(9,039,319 | ) | ||||||
|
|
|||||||
Net Assets — 100.0% |
$ | 83,546,464 | ||||||
|
|
(a) |
All or a portion of this security is on loan. |
(b) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(c) |
Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates. |
(d) |
This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
(e) |
Affiliate of the Fund. |
(f) |
Annualized 7-day yield as of period end. |
(g) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the year ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 10/31/20 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 1,632,308 | $ | 4,278,945 | (a) | $ | — | $ | (804 | ) | $ | (95 | ) | $ | 5,910,354 | 5,907 | $ | 15,375 | (b) | $ | — | |||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
778,000 | 5,002,000 | (a) | — | — | — | 5,780,000 | 5,780 | 110 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (804 | ) | $ | (95 | ) | $ | 11,690,354 | $ | 15,485 | $ | — | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
28 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2023 Term High Yield and Income ETF |
Affiliates (continued)
(a) |
Represents net amount purchased (sold). |
(b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
||||||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 80,895,429 | $ | — | $ | 80,895,429 | ||||||||
Money Market Funds |
11,690,354 | — | — | 11,690,354 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 11,690,354 | $ | 80,895,429 | $ | — | $ | 92,585,783 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
S C H E D U L E O F I N V E S T M E N T S |
29 |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2024 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
| |||||||
Aerospace & Defense — 4.5% | ||||||||
Bombardier Inc., 7.50%, 12/01/24 (Call 11/29/21)(a) |
$ | 695 | $ | 723,467 | ||||
Howmet Aerospace Inc., 5.13%, 10/01/24 (Call 07/01/24) |
840 | 924,974 | ||||||
Triumph
Group Inc. |
320 | 319,683 | ||||||
8.88%, 06/01/24 (Call 02/01/23)(a) |
319 | 351,513 | ||||||
|
|
|||||||
2,319,637 | ||||||||
Airlines — 1.4% | ||||||||
Delta Air Lines Inc., 2.90%, 10/28/24 (Call 09/28/24) |
540 | 551,038 | ||||||
United Airlines Holdings Inc., 5.00%, 02/01/24 |
180 | 186,984 | ||||||
|
|
|||||||
738,022 | ||||||||
Apparel — 1.6% | ||||||||
Hanesbrands
Inc., 4.63%, 05/15/24 |
580 | 606,396 | ||||||
Michael Kors USA Inc., 4.50%, 11/01/24 (Call 09/01/24)(a) |
205 | 217,031 | ||||||
|
|
|||||||
823,427 | ||||||||
Auto Manufacturers — 3.2% | ||||||||
Ford
Motor Credit Co. LLC |
295 | 306,048 | ||||||
3.81%, 01/09/24 (Call 11/09/23)(b) |
245 | 253,065 | ||||||
4.06%, 11/01/24 (Call 10/01/24) |
495 | 519,735 | ||||||
5.58%, 03/18/24 (Call 02/18/24) |
545 | 587,210 | ||||||
|
|
|||||||
1,666,058 | ||||||||
Auto Parts & Equipment — 0.3% | ||||||||
Cooper-Standard
Automotive Inc., 13.00%, 06/01/24 |
150 | 163,740 | ||||||
|
|
|||||||
Banks — 4.0% |
| |||||||
CIT Group Inc., 4.75%, 02/16/24 (Call 11/16/23) |
360 | 383,425 | ||||||
Freedom Mortgage Corp., 8.13%, 11/15/24 (Call 11/29/21)(a) |
250 | 252,538 | ||||||
Intesa Sanpaolo SpA, 5.02%, 06/26/24(a) |
1,340 | 1,444,225 | ||||||
|
|
|||||||
2,080,188 | ||||||||
Chemicals — 3.9% | ||||||||
Cornerstone Chemical Co., 6.75%, 08/15/24 (Call 11/29/21)(a) |
230 | 206,887 | ||||||
INEOS Group Holdings SA, 5.63%, 08/01/24 (Call 11/09/21)(a) |
280 | 280,294 | ||||||
Methanex Corp., 4.25%, 12/01/24 (Call 09/01/24) |
210 | 222,583 | ||||||
OCI NV, 5.25%, 11/01/24 (Call 11/01/21)(a) |
250 | 256,563 | ||||||
Rayonier AM Products Inc., 5.50%, 06/01/24 (Call 11/29/21)(a) |
300 | 297,003 | ||||||
TPC Group Inc., 10.50%, 08/01/24 (Call 11/29/21)(a) |
505 | 457,575 | ||||||
WR Grace Holdings LLC, 5.63%, 10/01/24(a) |
255 | 273,590 | ||||||
|
|
|||||||
1,994,495 | ||||||||
Coal — 0.4% | ||||||||
Warrior Met Coal Inc., 8.00%, 11/01/24 (Call 11/29/21)(a) |
185 | 188,380 | ||||||
|
|
|||||||
Commercial Services — 1.4% |
| |||||||
IHS Markit Ltd., 3.63%, 05/01/24 (Call 04/01/24) |
240 | 253,358 | ||||||
Prime
Security Services Borrower LLC/Prime Finance Inc., |
460 | 489,399 | ||||||
|
|
|||||||
742,757 | ||||||||
Computers — 2.2% | ||||||||
Dell
International LLC/EMC Corp., 7.13%, 06/15/24 |
450 | 458,014 | ||||||
Diebold
Nixdorf Inc., 8.50%, 04/15/24 |
240 | 240,389 | ||||||
Flexential Intermediate Corp., 11.25%, 08/01/24 (Call 11/30/21)(a) |
125 | 132,500 | ||||||
Seagate HDD Cayman, 4.88%, 03/01/24 (Call 01/01/24) |
300 | 320,067 | ||||||
|
|
|||||||
1,150,970 | ||||||||
Distribution & Wholesale — 0.6% | ||||||||
Wolverine Escrow LLC, 8.50%, 11/15/24 (Call 11/29/21)(a)(b) |
329 | 305,141 | ||||||
|
|
Security | Par (000) |
Value | ||||||
Diversified Financial Services — 8.1% | ||||||||
ASG Finance Designated Activity Co., 7.88%, 12/03/24 (Call 12/03/21)(a) |
$ | 200 | $ | 196,046 | ||||
CNG
Holdings Inc., 12.50%, 06/15/24 |
85 | 81,022 | ||||||
Enova International Inc., 8.50%, 09/01/24 (Call 11/29/21)(a) |
150 | 152,604 | ||||||
Global Aircraft Leasing Co. Ltd., 6.50%, 09/15/24 (Call 11/29/21), (7.25% PIK)(a)(c) |
1,113 | 1,080,027 | ||||||
goeasy Ltd., 5.38%, 12/01/24 (Call 12/01/21)(a) |
320 | 329,066 | ||||||
Navient
Corp. |
350 | 374,076 | ||||||
6.13%, 03/25/24 |
540 | 577,822 | ||||||
OneMain Finance Corp., 6.13%, 03/15/24 (Call 09/15/23) |
930 | 989,139 | ||||||
VistaJet Malta Finance PLC/XO Management Holding Inc., 10.50%, 06/01/24 (Call 06/01/22)(a) |
385 | 415,361 | ||||||
|
|
|||||||
4,195,163 | ||||||||
Electric — 0.9% | ||||||||
NextEra
Energy Operating Partners LP |
415 | 439,091 | ||||||
4.25%, 09/15/24 (Call 07/15/24)(a) |
5 | 5,306 | ||||||
|
|
|||||||
444,397 | ||||||||
Electronics — 0.5% | ||||||||
Sensata Technologies BV, 5.63%, 11/01/24(a) |
235 | 259,125 | ||||||
|
|
|||||||
Engineering & Construction — 0.5% |
| |||||||
Fluor Corp., 3.50%, 12/15/24 (Call 09/15/24)(b) |
250 | 261,240 | ||||||
|
|
|||||||
Entertainment — 3.2% |
| |||||||
Cedar
Fair LP/Canada’s Wonderland Co./Magnum Management Corp., 5.38%,
06/01/24 |
270 | 272,368 | ||||||
Jacobs Entertainment Inc., 7.88%, 02/01/24 (Call 11/29/21)(a) |
220 | 226,600 | ||||||
Live Nation Entertainment Inc., 4.88%, 11/01/24 (Call 11/29/21)(a) |
345 | 349,054 | ||||||
Mohegan Gaming & Entertainment, 7.88%, 10/15/24 (Call 11/15/21)(a) |
200 | 207,590 | ||||||
Six Flags Entertainment Corp., 4.88%, 07/31/24 (Call 11/29/21)(a) |
600 | 607,284 | ||||||
|
|
|||||||
1,662,896 | ||||||||
Environmental Control — 0.7% | ||||||||
Stericycle Inc., 5.38%, 07/15/24 (Call 11/15/21)(a) |
360 | 370,307 | ||||||
|
|
|||||||
Food — 0.8% |
| |||||||
Lamb Weston Holdings Inc., 4.63%, 11/01/24 (Call 11/18/21)(a) |
405 | 414,846 | ||||||
|
|
|||||||
Gas — 0.9% |
| |||||||
AmeriGas Partners LP/AmeriGas Finance Corp., 5.63%, 05/20/24 (Call 03/20/24) |
405 | 437,947 | ||||||
|
|
|||||||
Health Care - Services — 1.8% | ||||||||
Magellan Health Inc., 4.90%, 09/22/24 (Call 07/22/24) |
215 | 235,463 | ||||||
Tenet
Healthcare Corp. |
245 | 248,234 | ||||||
4.63%, 09/01/24 (Call 11/15/21)(a) |
425 | 434,822 | ||||||
|
|
|||||||
918,519 | ||||||||
Holding Companies - Diversified — 2.9% | ||||||||
Icahn
Enterprises LP/Icahn Enterprises Finance Corp. |
750 | 777,397 | ||||||
6.75%, 02/01/24 (Call 11/29/21) |
250 | 253,198 | ||||||
Stena AB, 7.00%, 02/01/24(a)(b) |
235 | 243,223 | ||||||
Stena International SA, 5.75%, 03/01/24(a) |
225 | 232,641 | ||||||
|
|
|||||||
1,506,459 | ||||||||
Home Builders — 1.3% | ||||||||
Lennar
Corp. |
60 | 64,424 |
30 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2024 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Home Builders (continued) | ||||||||
5.88%, 11/15/24 (Call 05/15/24) |
$ | 35 | $ | 39,011 | ||||
MDC Holdings Inc., 5.50%, 01/15/24 (Call 10/15/23) |
50 | 53,739 | ||||||
Taylor
Morrison Communities Inc./Taylor Morrison Holdings II Inc., 5.63%,
03/01/24 |
210 | 224,637 | ||||||
TRI Pointe Group Inc./TRI Pointe Homes Inc., 5.88%, 06/15/24 . |
270 | 298,145 | ||||||
|
|
|||||||
679,956 | ||||||||
Insurance — 1.1% | ||||||||
Genworth Holdings Inc., 4.80%, 02/15/24 |
230 | 235,136 | ||||||
Radian
Group Inc., 4.50%, 10/01/24 |
315 | 334,048 | ||||||
|
|
|||||||
569,184 | ||||||||
Internet — 0.6% | ||||||||
Netflix Inc., 5.75%, 03/01/24 |
280 | 308,339 | ||||||
|
|
|||||||
Iron & Steel — 0.6% |
| |||||||
ArcelorMittal SA, 3.60%, 07/16/24 |
115 | 121,299 | ||||||
Infrabuild Australia Pty Ltd., 12.00%, 10/01/24 (Call 11/29/21)(a)(b) |
190 | 201,569 | ||||||
|
|
|||||||
322,868 | ||||||||
Leisure Time — 1.6% | ||||||||
NCL
Corp. Ltd. |
345 | 327,060 | ||||||
12.25%, 05/15/24 (Call 02/15/24)(a) |
405 | 477,884 | ||||||
|
|
|||||||
804,944 | ||||||||
Lodging — 3.6% | ||||||||
Arrow Bidco LLC, 9.50%, 03/15/24 (Call 11/29/21)(a) |
195 | 198,910 | ||||||
Hilton Grand Vacations Borrower LLC/Hilton Grand Vacations Borrower Inc., 6.13%, 12/01/24 (Call 12/01/21) |
120 | 124,103 | ||||||
MGM China Holdings Ltd., 5.38%, 05/15/24 (Call 11/09/21)(a) |
460 | 460,966 | ||||||
Travel + Leisure Co., 5.65%, 04/01/24 (Call 02/01/24) |
195 | 211,359 | ||||||
Universal Entertainment Corp., 8.50%, 12/11/24 (Call 12/11/23)(a) |
450 | 470,056 | ||||||
Wynn Macau Ltd., 4.88%, 10/01/24 (Call 11/09/21)(a) |
400 | 379,432 | ||||||
|
|
|||||||
1,844,826 | ||||||||
Machinery — 0.8% | ||||||||
Maxim Crane Works Holdings Capital LLC, 10.13%, 08/01/24 (Call 11/29/21)(a) |
136 | 139,806 | ||||||
Welbilt Inc., 9.50%, 02/15/24 (Call 11/29/21)(b) |
290 | 297,836 | ||||||
|
|
|||||||
437,642 | ||||||||
Manufacturing — 1.1% | ||||||||
FXI Holdings Inc., 7.88%, 11/01/24 (Call 11/29/21)(a) |
300 | 305,592 | ||||||
Trinity Industries Inc., 4.55%, 10/01/24 (Call 07/01/24) |
265 | 280,950 | ||||||
|
|
|||||||
586,542 | ||||||||
Media — 5.5% | ||||||||
AMC Networks Inc., 5.00%, 04/01/24 (Call 11/29/21) |
233 | 235,684 | ||||||
Cengage Learning Inc., 9.50%, 06/15/24 (Call 11/29/21)(a)(b) |
370 | 379,254 | ||||||
CSC Holdings LLC, 5.25%, 06/01/24 |
455 | 478,305 | ||||||
DISH DBS Corp., 5.88%, 11/15/24 |
1,280 | 1,365,875 | ||||||
TEGNA Inc., 5.50%, 09/15/24 (Call 11/29/21)(a)(b) |
11 | 11,130 | ||||||
Videotron Ltd., 5.38%, 06/15/24 (Call 03/15/24)(a) |
360 | 386,982 | ||||||
|
|
|||||||
2,857,230 | ||||||||
Mining — 2.3% | ||||||||
Compass Minerals International Inc., 4.88%, 07/15/24 (Call 05/15/24)(a) |
150 | 156,868 | ||||||
FMG Resources August 2006 Pty Ltd., 5.13%, 05/15/24 (Call 02/15/24)(a) |
465 | 495,760 | ||||||
Freeport-McMoRan Inc., 4.55%, 11/14/24 (Call 08/14/24)(b) |
480 | 518,789 | ||||||
|
|
|||||||
1,171,417 |
Security | Par (000) |
Value | ||||||
Office & Business Equipment — 1.2% | ||||||||
CDW LLC/CDW Finance Corp., 5.50%, 12/01/24 (Call 06/01/24) |
$ | 230 | $ | 251,995 | ||||
Pitney Bowes Inc., 4.63%, 03/15/24 (Call 12/15/23) |
160 | 168,624 | ||||||
Xerox Corp., 3.80%, 05/15/24(b) |
190 | 197,756 | ||||||
|
|
|||||||
618,375 | ||||||||
Oil & Gas — 8.1% | ||||||||
Baytex
Energy Corp., 5.63%, 06/01/24 |
113 | 113,880 | ||||||
Callon Petroleum Co., 6.13%, 10/01/24 (Call 11/29/21) |
276 | 271,366 | ||||||
Continental Resources Inc./OK, 3.80%, 06/01/24 (Call 03/01/24) |
665 | 698,549 | ||||||
Devon
Energy Corp., 5.25%, 09/15/24 |
70 | 76,832 | ||||||
Ensign Drilling Inc., 9.25%, 04/15/24 (Call 11/29/21)(a) |
225 | 222,622 | ||||||
Murphy Oil Corp., 6.88%, 08/15/24 (Call 11/29/21)(b) |
232 | 236,673 | ||||||
Occidental
Petroleum Corp. |
980 | 998,110 | ||||||
6.95%, 07/01/24 |
350 | 394,009 | ||||||
Ovintiv Exploration Inc., 5.63%, 07/01/24 |
600 | 660,252 | ||||||
PDC Energy Inc., 6.13%, 09/15/24 (Call 11/29/21) |
240 | 243,679 | ||||||
Transocean Guardian Ltd., 5.88%, 01/15/24 (Call 11/29/21)(a) |
298 | 293,329 | ||||||
|
|
|||||||
4,209,301 | ||||||||
Oil & Gas Services — 3.1% | ||||||||
Oceaneering International Inc., 4.65%, 11/15/24 (Call 08/15/24) . |
300 | 311,814 | ||||||
Transocean Phoenix 2 Ltd., 7.75%, 10/15/24 (Call 11/29/21)(a) |
202 | 205,598 | ||||||
Transocean Proteus Ltd., 6.25%, 12/01/24 (Call 11/29/21)(a) |
206 | 208,302 | ||||||
Weatherford International Ltd., 11.00%, 12/01/24 (Call 12/01/21)(a) |
837 | 872,572 | ||||||
|
|
|||||||
1,598,286 | ||||||||
Packaging & Containers — 3.1% | ||||||||
Graphic Packaging International LLC, 4.13%, 08/15/24 (Call 05/15/24) |
210 | 222,304 | ||||||
Mauser Packaging Solutions Holding Co., 5.50%, 04/15/24 (Call 11/29/21)(a) |
885 | 885,912 | ||||||
Sealed
Air Corp., 5.13%, 12/01/24 |
270 | 290,976 | ||||||
Trident TPI Holdings Inc., 9.25%, 08/01/24 (Call 11/09/21)(a) |
205 | 214,858 | ||||||
|
|
|||||||
1,614,050 | ||||||||
Pharmaceuticals — 1.2% | ||||||||
Endo Dac/Endo Finance LLC/Endo Finco Inc., 5.88%, 10/15/24 (Call 11/29/21)(a) |
170 | 165,078 | ||||||
Perrigo Finance Unlimited Co., 3.90%, 12/15/24 (Call 09/15/24) . |
425 | 450,194 | ||||||
|
|
|||||||
615,272 | ||||||||
Pipelines — 2.6% | ||||||||
Buckeye Partners LP, 4.35%, 10/15/24 (Call 07/15/24)(b) |
230 | 240,911 | ||||||
EnLink Midstream Partners LP, 4.40%, 04/01/24 (Call 01/01/24)(b) |
315 | 329,185 | ||||||
EQM Midstream Partners LP, 4.00%, 08/01/24 (Call 05/01/24)(b). |
310 | 321,842 | ||||||
Genesis Energy LP/Genesis Energy Finance Corp., 5.63%, 06/15/24 (Call 11/29/21) |
205 | 203,989 | ||||||
Southeast Supply Header LLC, 4.25%, 06/15/24 (Call 03/15/24)(a) |
235 | 244,487 | ||||||
|
|
|||||||
1,340,414 | ||||||||
Real Estate Investment Trusts — 5.3% | ||||||||
Diversified Healthcare Trust, 4.75%, 05/01/24 (Call 11/01/23)(b) |
185 | 191,234 | ||||||
iStar Inc., 4.75%, 10/01/24 (Call 07/01/24) |
465 | 491,724 | ||||||
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc., 5.63%, 05/01/24 (Call 02/01/24) |
630 | 683,701 | ||||||
SBA Communications Corp., 4.88%, 09/01/24 (Call 11/08/21) |
385 | 389,809 | ||||||
Service
Properties Trust |
495 | 498,826 | ||||||
4.65%, 03/15/24 (Call 09/15/23) |
210 | 211,993 |
S C H E D U L E O F I N V E S T M E N T S |
31 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2024 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Real Estate Investment Trusts (continued) | ||||||||
Uniti Group LP/Uniti Fiber Holdings Inc./CSL Capital LLC, 7.13%, 12/15/24 (Call 12/15/21)(a) |
$ | 265 | $ | 271,718 | ||||
|
|
|||||||
2,739,005 | ||||||||
Retail — 3.9% | ||||||||
Bed
Bath & Beyond Inc., 3.75%, 08/01/24 |
195 | 198,799 | ||||||
Brinker
International Inc., 5.00%, 10/01/24 |
225 | 238,333 | ||||||
Golden
Nugget Inc., 6.75%, 10/15/24 |
670 | 672,465 | ||||||
Macy’s
Retail Holdings LLC, 3.63%, 06/01/24 |
215 | 222,106 | ||||||
Nordstrom Inc., 2.30%, 04/08/24 (Call 04/08/22) |
150 | 150,606 | ||||||
QVC Inc., 4.85%, 04/01/24 |
360 | 385,891 | ||||||
TPro
Acquisition Corp., 11.00%, 10/15/24 |
145 | 157,872 | ||||||
|
|
|||||||
2,026,072 | ||||||||
Software — 0.9% | ||||||||
Blackboard
Inc., 10.38%, 11/15/24 |
125 | 131,841 | ||||||
CDK Global Inc., 5.00%, 10/15/24 (Call 07/15/24) |
300 | 332,667 | ||||||
|
|
|||||||
464,508 | ||||||||
Telecommunications — 7.3% | ||||||||
Cincinnati
Bell Inc., 7.00%, 07/15/24 |
375 | 381,371 | ||||||
Lumen Technologies Inc., Series Y, 7.50%, 04/01/24 |
||||||||
(Call 01/01/24)(b) |
650 | 715,702 | ||||||
Sprint Corp., 7.13%, 06/15/24 |
1,485 | 1,677,753 | ||||||
Telecom Italia SpA/Milano, 5.30%, 05/30/24(a) |
935 | 995,972 | ||||||
|
|
|||||||
3,770,798 | ||||||||
|
|
|||||||
Total
Corporate Bonds & Notes — 99.0% |
51,222,743 | |||||||
|
|
Security | Shares (000) |
Value | ||||||
Short-Term Investments | ||||||||
Money Market Funds — 9.2% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(d)(e)(f) |
4,144 | $ | 4,145,592 | |||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(d)(e) |
610 | 610,000 | ||||||
|
|
|||||||
4,755,592 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 9.2% |
|
4,755,592 | ||||||
|
|
|||||||
Total
Investments in Securities — 108.2% |
|
55,978,335 | ||||||
Other Assets, Less Liabilities — (8.2)% |
|
(4,250,906 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
|
$ | 51,727,429 | |||||
|
|
(a) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(b) |
All or a portion of this security is on loan. |
(c) |
Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates. |
(d) |
Affiliate of the Fund. |
(e) |
Annualized 7-day yield as of period end. |
(f) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the year ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 10/31/20 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 939,588 | $ | 3,206,383 | (a) | $ | — | $ | (337 | ) | $ | (42 | ) | $ | 4,145,592 | 4,144 | $ | 13,406 | (b) | $ | — | |||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
340,000 | 270,000 | (a) | — | — | — | 610,000 | 610 | 102 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (337 | ) | $ | (42 | ) | $ | 4,755,592 | $ | 13,508 | $ | — | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Represents net amount purchased (sold). |
(b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 51,222,743 | $ | — | $ | 51,222,743 | ||||||||
Money Market Funds |
4,755,592 | — | — | 4,755,592 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 4,755,592 | $ | 51,222,743 | $ | — | $ | 55,978,335 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
32 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
||||||||
Advertising — 0.4% | ||||||||
Clear
Channel International BV, 6.63%, 08/01/25 |
$ | 75 | $ | 78,045 | ||||
Outfront Media Capital LLC/Outfront Media Capital Corp., 6.25%, 06/15/25 (Call 06/15/22)(a) |
80 | 84,016 | ||||||
|
|
|||||||
162,061 | ||||||||
Aerospace & Defense — 3.8% | ||||||||
Bombardier Inc., 7.50%, 03/15/25 (Call 11/29/21)(a)(b) |
295 | 302,655 | ||||||
Hexcel Corp., 4.95%, 08/15/25 (Call 05/15/25) |
60 | 65,853 | ||||||
Howmet Aerospace Inc., 6.88%, 05/01/25 (Call 04/01/25) |
210 | 243,512 | ||||||
Kratos Defense & Security Solutions Inc., 6.50%, 11/30/25 (Call 11/29/21)(a) |
60 | 62,058 | ||||||
Rolls-Royce PLC, 3.63%, 10/14/25 (Call 07/14/25)(a) |
185 | 188,963 | ||||||
Spirit AeroSystems Inc. |
||||||||
5.50%, 01/15/25 (Call 10/15/22)(a) |
95 | 99,259 | ||||||
7.50%, 04/15/25 (Call 04/15/22)(a) |
215 | 227,010 | ||||||
TransDigm Inc., 8.00%, 12/15/25 (Call 04/08/22)(a) |
210 | 223,362 | ||||||
Triumph Group Inc., 7.75%, 08/15/25 (Call 11/29/21)(b) |
100 | 101,636 | ||||||
|
|
|||||||
1,514,308 | ||||||||
Airlines — 2.3% | ||||||||
American Airlines Group Inc., 3.75%, 03/01/25(a)(b) |
95 | 86,691 | ||||||
American Airlines Inc., 11.75%, 07/15/25(a) |
470 | 582,231 | ||||||
American Airlines Pass Through Trust, Series 2013-1, Class A, 4.00%, 07/15/25 |
52 | 50,681 | ||||||
Spirit Loyalty Cayman Ltd./Spirit IP Cayman Ltd., 8.00%, 09/20/25 (Call 09/20/23)(a) |
96 | 107,469 | ||||||
U.S. Airways Pass Through Trust, Series 2013-1, Class A, 3.95%, 11/15/25 |
41 | 41,630 | ||||||
United Airlines Holdings Inc., 4.88%, 01/15/25(b) |
60 | 62,040 | ||||||
|
|
|||||||
930,742 | ||||||||
Apparel — 0.6% | ||||||||
Hanesbrands Inc., 5.38%, 05/15/25 (Call 05/15/22)(a) |
125 | 130,191 | ||||||
William
Carter Co. (The), 5.50%, 05/15/25 |
95 | 99,406 | ||||||
|
|
|||||||
229,597 | ||||||||
Auto Manufacturers — 3.9% | ||||||||
Aston Martin Capital Holdings Ltd., 10.50%, 11/30/25 (Call 11/01/24)(a) |
225 | 246,940 | ||||||
Ford Motor Co., 9.00%, 04/22/25 (Call 03/22/25) |
420 | 505,096 | ||||||
Ford Motor Credit Co. LLC |
||||||||
3.38%, 11/13/25 (Call 10/13/25) |
220 | 226,072 | ||||||
4.13%, 08/04/25 |
155 | 163,734 | ||||||
4.69%, 06/09/25 (Call 04/09/25) |
65 | 69,509 | ||||||
5.13%, 06/16/25 (Call 05/16/25) |
200 | 217,220 | ||||||
Jaguar Land Rover Automotive PLC, 7.75%, 10/15/25 (Call 10/15/22)(a) |
125 | 134,956 | ||||||
|
|
|||||||
1,563,527 | ||||||||
Auto Parts & Equipment — 1.9% | ||||||||
Adient U.S. LLC, 9.00%, 04/15/25 (Call 04/15/22)(a) |
110 | 117,878 | ||||||
BorgWarner Inc., 5.00%, 10/01/25(a) |
40 | 45,183 | ||||||
Clarios Global LP, 6.75%, 05/15/25 (Call 05/15/22)(a) |
90 | 94,781 | ||||||
Dana Financing Luxembourg Sarl, 5.75%, 04/15/25 (Call 11/29/21)(a) |
60 | 61,787 | ||||||
Goodyear Tire & Rubber Co. (The), 9.50%, 05/31/25 (Call 05/31/22) |
155 | 168,775 | ||||||
Meritor Inc., 6.25%, 06/01/25 (Call 06/01/22)(a) |
70 | 73,414 | ||||||
ZF North America Capital Inc., 4.75%, 04/29/25(a) |
175 | 189,114 | ||||||
|
|
|||||||
750,932 | ||||||||
Banks — 1.3% | ||||||||
CIT Group Inc., 5.25%, 03/07/25 (Call 12/07/24) |
105 | 115,566 | ||||||
Deutsche Bank AG, 4.50%, 04/01/25 |
290 | 310,900 |
Security | Par (000) |
Value | ||||||
Banks (continued) | ||||||||
Freedom
Mortgage Corp., 8.25%, 04/15/25 |
$ | 98 | $ | 99,228 | ||||
|
|
|||||||
525,694 | ||||||||
Building Materials — 0.9% | ||||||||
Forterra Finance LLC/FRTA Finance Corp., 6.50%, 07/15/25 (Call 07/15/22)(a) |
95 | 101,218 | ||||||
Jeld-Wen Inc. |
||||||||
4.63%, 12/15/25 (Call 11/29/21)(a) |
75 | 75,866 | ||||||
6.25%, 05/15/25 (Call 05/15/22)(a)(b) |
70 | 73,799 | ||||||
Koppers Inc., 6.00%, 02/15/25 (Call 11/29/21)(a) |
95 | 97,267 | ||||||
|
|
|||||||
348,150 | ||||||||
Chemicals — 1.5% | ||||||||
Kraton Polymers LLC/Kraton Polymers Capital Corp., 4.25%, 12/15/25 (Call 12/15/22)(a)(b) |
75 | 77,494 | ||||||
OCI NV, 4.63%, 10/15/25 (Call 10/15/22)(a) |
65 | 67,616 | ||||||
Olin Corp., 9.50%, 06/01/25 (Call 03/01/25)(a) |
85 | 104,785 | ||||||
Rain CII Carbon LLC/CII Carbon Corp., 7.25%, 04/01/25 (Call 11/29/21)(a) |
90 | 91,877 | ||||||
Trinseo Materials Operating SCA/Trinseo Materials Finance Inc., 5.38%, 09/01/25 (Call 11/29/21)(a)(b) |
80 | 81,502 | ||||||
Tronox Inc., 6.50%, 05/01/25 (Call 05/01/22)(a) |
100 | 105,032 | ||||||
Venator Finance Sarl/Venator Materials LLC, 5.75%, 07/15/25 (Call 11/29/21)(a)(b) |
75 | 70,091 | ||||||
|
|
|||||||
598,397 | ||||||||
Coal — 0.1% | ||||||||
Natural Resource Partners LP/NRP Finance Corp., 9.13%, 06/30/25 (Call 11/29/21)(a) |
40 | 40,203 | ||||||
|
|
|||||||
Commercial Services — 2.7% | ||||||||
Aptim Corp., 7.75%, 06/15/25 (Call 11/15/21)(a) |
75 | 60,792 | ||||||
Brink’s Co. (The), 5.50%, 07/15/25 (Call 07/15/22)(a) |
65 | 68,197 | ||||||
IHS Markit Ltd., 4.75%, 02/15/25 (Call 11/15/24)(a) |
200 | 219,280 | ||||||
Jaguar Holding Co. II/PPD Development LP, 4.63%, 06/15/25 (Call 06/15/22)(a) |
95 | 98,913 | ||||||
Nielsen Co Luxembourg SARL (The), 5.00%, 02/01/25 (Call 11/29/21)(a)(b) |
90 | 91,706 | ||||||
Ritchie
Bros. Auctioneers Inc., 5.38%, 01/15/25 |
70 | 71,400 | ||||||
Sabre GLBL Inc. |
||||||||
7.38%, 09/01/25 (Call 09/01/22)(a) |
175 | 186,328 | ||||||
9.25%, 04/15/25 (Call 03/16/25)(a) |
145 | 167,562 | ||||||
Team
Health Holdings Inc., 6.38%, 02/01/25 |
135 | 120,471 | ||||||
|
|
|||||||
1,084,649 | ||||||||
Computers — 0.8% | ||||||||
Diebold Nixdorf Inc., 9.38%, 07/15/25 (Call 07/15/22)(a) |
130 | 139,988 | ||||||
Seagate HDD Cayman, 4.75%, 01/01/25(b) |
95 | 102,640 | ||||||
Tempo Acquisition LLC/Tempo Acquisition Finance Corp., 5.75%, 06/01/25 (Call 06/01/22)(a) |
70 | 73,281 | ||||||
|
|
|||||||
315,909 | ||||||||
Distribution & Wholesale — 1.0% | ||||||||
Avient Corp., 5.75%, 05/15/25 (Call 05/15/22)(a) |
115 | 120,576 | ||||||
G-III Apparel Group Ltd., 7.88%,
08/15/25 |
80 | 85,303 | ||||||
KAR
Auction Services Inc., 5.13%, 06/01/25 |
180 | 180,846 | ||||||
|
|
|||||||
386,725 | ||||||||
Diversified Financial Services — 4.6% | ||||||||
Ally Financial Inc., 5.75%, 11/20/25 (Call 10/21/25) |
200 | 226,876 | ||||||
Enact Holdings Inc., 6.50%, 08/15/25 (Call 02/15/25)(a) |
135 | 148,388 | ||||||
Enova
International Inc., 8.50%, 09/15/25 |
75 | 77,223 | ||||||
Finance of America Funding LLC, 7.88%, 11/15/25 (Call 11/15/22)(a)(b) |
70 | 67,637 | ||||||
LD
Holdings Group LLC, 6.50%, 11/01/25 |
95 | 93,127 | ||||||
Navient Corp., 6.75%, 06/25/25(b) |
90 | 99,000 |
S C H E D U L E O F I N V E S T M E N T S |
33 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Diversified Financial Services (continued) | ||||||||
OneMain
Finance Corp. |
$ | 235 | $ | 262,746 | ||||
8.88%, 06/01/25 (Call 06/01/22) |
265 | 286,616 | ||||||
PennyMac Financial Services Inc., 5.38%, 10/15/25 (Call 10/15/22)(a) |
125 | 128,936 | ||||||
PRA Group Inc., 7.38%, 09/01/25 (Call 09/01/22)(a)(b) |
55 | 58,786 | ||||||
Provident Funding Associates LP/PFG Finance Corp., 6.38%, 06/15/25 (Call 11/29/21)(a) |
65 | 65,371 | ||||||
SLM Corp., 4.20%, 10/29/25 (Call 09/29/25) |
90 | 95,173 | ||||||
StoneX Group Inc., 8.63%, 06/15/25 (Call 06/15/22)(a) |
60 | 63,832 | ||||||
United Wholesale Mortgage LLC, 5.50%, 11/15/25 (Call 11/15/22)(a) |
150 | 149,369 | ||||||
|
|
|||||||
1,823,080 | ||||||||
Electric — 1.0% | ||||||||
DPL Inc., 4.13%, 07/01/25 (Call 04/01/25) |
80 | 84,770 | ||||||
Drax Finco PLC, 6.63%, 11/01/25 (Call 11/09/21)(a) |
85 | 87,800 | ||||||
FirstEnergy Corp., 2.05%, 03/01/25 (Call 02/01/25) |
65 | 65,422 | ||||||
FirstEnergy Transmission LLC, 4.35%, 01/15/25 (Call 10/15/24)(a) |
110 | 119,144 | ||||||
Midland Cogeneration Venture LP, 6.00%, 03/15/25(a)(b) |
12 | 12,148 | ||||||
NSG
Holdings LLC/NSG Holdings Inc., |
12 | 13,436 | ||||||
|
|
|||||||
382,720 | ||||||||
Electrical Components & Equipment — 0.7% | ||||||||
WESCO Distribution Inc., 7.13%, 06/15/25 (Call 06/15/22)(a) |
260 | 276,601 | ||||||
|
|
|||||||
Electronics — 0.6% |
| |||||||
Brightstar Escrow Corp., 9.75%, 10/15/25 (Call 10/15/22)(a) |
70 | 75,065 | ||||||
Sensata Technologies BV, 5.00%, 10/01/25(a) |
140 | 153,335 | ||||||
|
|
|||||||
228,400 | ||||||||
Engineering & Construction — 1.2% | ||||||||
Artera Services LLC, 9.03%, 12/04/25 (Call 02/04/23)(a) |
185 | 199,130 | ||||||
Brand Industrial Services Inc., 8.50%, 07/15/25 (Call 11/29/21)(a)(b) |
180 | 180,014 | ||||||
Tutor Perini Corp., 6.88%, 05/01/25 (Call 11/15/21)(a)(b) |
110 | 112,141 | ||||||
|
|
|||||||
491,285 | ||||||||
Entertainment — 5.8% | ||||||||
AMC Entertainment Holdings Inc., 10.50%, 04/15/25 (Call 04/15/22)(a) |
95 | 101,940 | ||||||
Banijay Entertainment SASU, 5.38%, 03/01/25 (Call 03/01/22)(a) |
70 | 72,050 | ||||||
Caesars Entertainment Inc., 6.25%, 07/01/25 (Call 07/01/22)(a) |
640 | 673,670 | ||||||
Caesars Resort Collection LLC/CRC Finco Inc., 5.75%, 07/01/25 (Call 07/01/22)(a) |
195 | 204,857 | ||||||
Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp./Millennium Op, 5.50%, 05/01/25 (Call 05/01/22)(a) |
185 | 192,398 | ||||||
Cinemark USA Inc., 8.75%, 05/01/25 (Call 05/01/22)(a) |
60 | 64,354 | ||||||
International Game Technology PLC, 6.50%, 02/15/25 (Call 08/15/24)(a) |
205 | 227,817 | ||||||
Powdr Corp., 6.00%, 08/01/25 (Call 08/01/22)(a) |
50 | 52,300 | ||||||
Scientific
Games International Inc. |
205 | 211,203 | ||||||
8.63%, 07/01/25 (Call 07/01/22)(a) |
100 | 108,089 | ||||||
Six Flags Theme Parks Inc., 7.00%, 07/01/25 (Call 07/01/22)(a) |
140 | 148,893 | ||||||
Vail Resorts Inc., 6.25%, 05/15/25 (Call 05/15/22)(a)(b) |
110 | 115,922 | ||||||
Wynn Resorts Finance LLC/Wynn Resorts Capital Corp., 7.75%, 04/15/25 (Call 04/15/22)(a) |
120 | 126,433 | ||||||
|
|
|||||||
2,299,926 | ||||||||
Environmental Control — 0.9% | ||||||||
Covanta Holding Corp., 5.88%, 07/01/25 (Call 11/29/21) |
45 | 46,462 | ||||||
GFL
Environmental Inc. |
140 | 143,948 |
Security | Par (000) |
Value | ||||||
Environmental Control (continued) | ||||||||
4.25%, 06/01/25 (Call 06/01/22)(a) |
$ | 105 | $ | 108,273 | ||||
Tervita Corp., 11.00%, 12/01/25 (Call 12/01/23)(a) |
56 | 64,281 | ||||||
|
|
|||||||
362,964 | ||||||||
Food — 1.6% | ||||||||
Albertsons Companies Inc./Safeway Inc./New Albertsons LP/Albertsons LLC, 5.75%, 03/15/25 (Call 11/01/21) |
13 | 13,187 | ||||||
B&G Foods Inc., 5.25%, 04/01/25 (Call 11/29/21) |
175 | 179,100 | ||||||
Chobani LLC/Chobani Finance Corp. Inc., 7.50%, 04/15/25 (Call 11/29/21)(a) |
75 | 77,957 | ||||||
Del
Monte Foods Inc., 11.88%, 05/15/25 |
90 | 101,048 | ||||||
Performance Food Group Inc., 6.88%, 05/01/25 (Call 05/01/22)(a) |
65 | 68,601 | ||||||
U.S. Foods Inc., 6.25%, 04/15/25 (Call 04/15/22)(a) |
195 | 204,666 | ||||||
|
|
|||||||
644,559 | ||||||||
Food Service — 1.2% | ||||||||
Aramark
Services Inc. |
100 | 102,343 | ||||||
6.38%, 05/01/25 (Call 05/01/22)(a) |
355 | 373,677 | ||||||
|
|
|||||||
476,020 | ||||||||
Forest Products & Paper — 0.1% | ||||||||
Clearwater Paper Corp., 5.38%, 02/01/25(a) |
50 | 54,096 | ||||||
|
|
|||||||
Gas — 0.4% |
| |||||||
AmeriGas Partners LP/AmeriGas Finance Corp., 5.50%, 05/20/25 (Call 02/20/25) |
135 | 146,543 | ||||||
|
|
|||||||
Hand & Machine Tools — 0.1% |
| |||||||
Werner FinCo LP/Werner FinCo Inc., 8.75%, 07/15/25 (Call 11/09/21)(a) |
40 | 41,722 | ||||||
|
|
|||||||
Health Care - Products — 0.0% |
| |||||||
Ortho-Clinical Diagnostics Inc./Ortho-Clinical Diagnostics SA, 7.38%, 06/01/25 (Call 06/01/22)(a) |
18 | 18,901 | ||||||
|
|
|||||||
Health Care - Services — 5.1% |
| |||||||
Air Methods Corp., 8.00%, 05/15/25 (Call 11/29/21)(a) |
90 | 69,064 | ||||||
Akumin Inc., 7.00%, 11/01/25 (Call 11/01/22)(a)(b) |
90 | 86,001 | ||||||
CHS/Community Health Systems Inc., 6.63%, 02/15/25 (Call 02/15/22)(a) |
267 | 278,705 | ||||||
Encompass Health Corp., 5.75%, 09/15/25 (Call 11/29/21) |
65 | 66,588 | ||||||
Global Medical Response Inc., 6.50%, 10/01/25 (Call 11/03/21)(a) |
105 | 104,219 | ||||||
HCA
Inc. |
535 | 595,139 | ||||||
7.69%, 06/15/25 |
50 | 60,143 | ||||||
Legacy LifePoint Health LLC, 6.75%, 04/15/25 (Call 04/15/22)(a)(b) |
110 | 115,501 | ||||||
ModivCare Inc., 5.88%, 11/15/25 (Call 11/15/22)(a) |
90 | 94,568 | ||||||
Prime Healthcare Services Inc., 7.25%, 11/01/25 (Call 11/01/22)(a) |
170 | 181,382 | ||||||
RP
Escrow Issuer LLC, 5.25%, 12/15/25 |
150 | 150,099 | ||||||
Surgery Center Holdings Inc., 6.75%, 07/01/25 (Call 11/29/21)(a)(b) |
65 | 66,344 | ||||||
Tenet
Healthcare Corp., 7.50%, 04/01/25 |
135 | 143,247 | ||||||
|
|
|||||||
2,011,000 | ||||||||
Holding Companies - Diversified — 0.7% | ||||||||
Icahn Enterprises LP/Icahn Enterprises Finance Corp., 6.38%, 12/15/25 (Call 11/29/21) |
230 | 234,761 | ||||||
Stena
International SA, 6.13%, 02/01/25 |
60 | 61,784 | ||||||
|
|
|||||||
296,545 |
34 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Home Builders — 0.9% | ||||||||
Empire Communities Corp., 7.00%, 12/15/25 (Call 12/15/22)(a) |
$ | 75 | $ | 78,040 | ||||
Meritage Homes Corp., 6.00%, 06/01/25 (Call 03/01/25) |
65 | 72,814 | ||||||
New Home Co. Inc. (The), 7.25%, 10/15/25 (Call 10/15/22)(a) |
55 | 56,818 | ||||||
Picasso Finance Sub Inc., 6.13%, 06/15/25 (Call 06/15/22)(a) |
98 | 103,210 | ||||||
Toll Brothers Finance Corp., 4.88%, 11/15/25 (Call 08/15/25) |
60 | 66,387 | ||||||
|
|
|||||||
377,269 | ||||||||
Household Products & Wares — 0.1% | ||||||||
Spectrum Brands Inc., 5.75%, 07/15/25 (Call 11/29/21) |
50 | 51,272 | ||||||
|
|
|||||||
Housewares — 0.8% |
| |||||||
American Greetings Corp., 8.75%, 04/15/25 (Call 11/29/21)(a) |
50 | 52,051 | ||||||
CD&R Smokey Buyer Inc., 6.75%, 07/15/25 (Call 07/15/22)(a) |
135 | 142,987 | ||||||
Newell Brands Inc., 4.88%, 06/01/25 (Call 05/01/25) |
95 | 104,015 | ||||||
|
|
|||||||
299,053 | ||||||||
Insurance — 1.4% | ||||||||
Acrisure LLC/Acrisure Finance Inc., 7.00%, 11/15/25 (Call 11/29/21)(a) |
170 | 171,945 | ||||||
AssuredPartners Inc., 7.00%, 08/15/25 (Call 11/29/21)(a) |
90 | 91,222 | ||||||
NMI Holdings Inc., 7.38%, 06/01/25 (Call 03/30/25)(a) |
65 | 74,724 | ||||||
Radian Group Inc., 6.63%, 03/15/25 (Call 09/15/24) |
100 | 111,679 | ||||||
USI Inc./NY, 6.88%, 05/01/25 (Call 11/29/21)(a) |
105 | 106,474 | ||||||
|
|
|||||||
556,044 | ||||||||
Internet — 2.1% | ||||||||
Netflix
Inc. |
185 | 196,742 | ||||||
5.88%, 02/15/25 |
135 | 152,959 | ||||||
NortonLifeLock Inc., 5.00%, 04/15/25 (Call 11/09/21)(a) |
125 | 126,659 | ||||||
TripAdvisor Inc., 7.00%, 07/15/25 (Call 07/15/22)(a) |
95 | 100,766 | ||||||
Uber
Technologies Inc., 7.50%, 05/15/25 |
185 | 197,149 | ||||||
VeriSign Inc., 5.25%, 04/01/25 (Call 01/01/25) |
40 | 44,659 | ||||||
|
|
|||||||
818,934 | ||||||||
Iron & Steel — 0.5% | ||||||||
Cleveland-Cliffs Inc., 9.88%, 10/17/25 (Call 10/17/22)(a) |
186 | 212,866 | ||||||
|
|
|||||||
Leisure Time — 1.4% |
| |||||||
Constellation Merger Sub Inc., 8.50%, 09/15/25 (Call 11/29/21)(a) |
85 | 81,645 | ||||||
Royal Caribbean Cruises Ltd., 11.50%, 06/01/25 (Call 06/01/22)(a) |
261 | 297,130 | ||||||
Viking
Cruises Ltd. |
50 | 49,892 | ||||||
13.00%, 05/15/25 (Call 05/15/22)(a) |
125 | 143,312 | ||||||
|
|
|||||||
571,979 | ||||||||
Lodging — 3.7% | ||||||||
Boyd Gaming Corp., 8.63%, 06/01/25 (Call 06/01/22)(a) |
110 | 118,975 | ||||||
Hilton Domestic Operating Co. Inc., 5.38%, 05/01/25 (Call 05/01/22)(a) |
90 | 93,909 | ||||||
Marriott Ownership Resorts Inc., 6.13%, 09/15/25 (Call 05/15/22)(a) |
48 | 50,414 | ||||||
Melco Resorts Finance Ltd., 4.88%, 06/06/25 (Call 11/29/21)(b)(c) |
125 | 123,495 | ||||||
MGM China Holdings Ltd., 5.25%, 06/18/25 (Call 06/18/22)(a) |
50 | 49,365 | ||||||
MGM
Resorts International |
175 | 189,733 | ||||||
6.75%, 05/01/25 (Call 05/01/22) |
155 | 163,497 | ||||||
Studio
City Finance Ltd., 6.00%, 07/15/25 |
200 | 195,244 | ||||||
Sugarhouse HSP Gaming Prop Mezz LP/Sugarhouse HSP Gaming Finance Corp., 5.88%, 05/15/25 (Call 11/29/21)(a) |
55 | 54,559 | ||||||
Travel + Leisure Co., 6.60%, 10/01/25 (Call 07/01/25) |
60 | 66,986 |
Security | Par (000) |
Value | ||||||
Lodging (continued) | ||||||||
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., 5.50%, 03/01/25 (Call 12/01/24)(a) |
$ | 350 | $ | 356,080 | ||||
|
|
|||||||
1,462,257 | ||||||||
Machinery — 0.3% | ||||||||
Clark
Equipment Co., 5.88%, 06/01/25 |
25 | 26,099 | ||||||
Husky III Holding Ltd. , 13.00%, 02/15/25 (Call 11/29/21), (13.75% PIK)(a)(d) |
90 | 95,412 | ||||||
|
|
|||||||
121,511 | ||||||||
Manufacturing — 0.2% | ||||||||
Hillenbrand Inc., 5.75%, 06/15/25 (Call 06/15/22) |
80 | 84,186 | ||||||
|
|
|||||||
Media — 1.6% |
| |||||||
AMC Networks Inc., 4.75%, 08/01/25 (Call 11/29/21)(b) |
140 | 143,475 | ||||||
Houghton Mifflin Harcourt Publishers Inc., 9.00%, 02/15/25 (Call 02/15/22)(a) |
55 | 58,312 | ||||||
Meredith Corp., 6.50%, 07/01/25 (Call 12/01/21) |
70 | 74,680 | ||||||
Univision
Communications Inc. |
205 | 208,671 | ||||||
9.50%, 05/01/25 (Call 05/01/22)(a) |
130 | 141,227 | ||||||
|
|
|||||||
626,365 | ||||||||
Mining — 0.5% | ||||||||
Arconic Corp., 6.00%, 05/15/25 (Call 05/15/22)(a) |
170 | 178,507 | ||||||
New Gold Inc., 6.38%, 05/15/25 (Call 11/29/21)(a) |
8 | 8,220 | ||||||
|
|
|||||||
186,727 | ||||||||
Office & Business Equipment — 0.6% | ||||||||
CDW LLC/CDW Finance Corp., 4.13%, 05/01/25 (Call 05/01/22) |
85 | 87,642 | ||||||
Xerox Holdings Corp., 5.00%, 08/15/25 (Call 07/15/25)(a) |
130 | 134,954 | ||||||
|
|
|||||||
222,596 | ||||||||
Oil & Gas — 8.3% | ||||||||
Antero
Resources Corp., 5.00%, 03/01/25 |
110 | 111,972 | ||||||
Apache Corp., 4.63%, 11/15/25 (Call 08/15/25) |
90 | 96,926 | ||||||
Calumet Specialty Products Partners LP/Calumet Finance Corp., 11.00%, 04/15/25 (Call 11/29/21)(a) |
100 | 108,639 | ||||||
Cenovus Energy Inc., 5.38%, 07/15/25 (Call 04/15/25) |
70 | 78,649 | ||||||
Comstock Resources Inc., 7.50%, 05/15/25 (Call 11/29/21)(a) |
19 | 19,694 | ||||||
CrownRock LP/CrownRock Finance Inc., 5.63%, 10/15/25 (Call 11/29/21)(a)(b) |
225 | 230,243 | ||||||
CVR Energy Inc., 5.25%, 02/15/25 (Call 02/15/22)(a) |
105 | 103,791 | ||||||
Endeavor Energy Resources LP/EER Finance Inc., 6.63%, 07/15/25 (Call 07/15/22)(a)(b) |
120 | 126,550 | ||||||
EQT Corp., 6.63%, 02/01/25 (Call 01/01/25) |
190 | 213,796 | ||||||
Hilcorp Energy I LP/Hilcorp Finance Co., 5.75%, 10/01/25 (Call 11/15/21)(a) |
50 | 51,025 | ||||||
Laredo Petroleum Inc., 9.50%, 01/15/25 (Call 01/15/22) |
120 | 123,408 | ||||||
MEG Energy Corp., 6.50%, 01/15/25 (Call 11/29/21)(a) |
73 | 74,756 | ||||||
Murphy Oil Corp., 5.75%, 08/15/25 (Call 11/29/21)(b) |
130 | 133,424 | ||||||
Nabors Industries Inc., 5.75%, 02/01/25 (Call 11/01/24) |
115 | 109,322 | ||||||
Neptune Energy Bondco PLC, 6.63%, 05/15/25 (Call 11/29/21)(a) |
150 | 153,218 | ||||||
Occidental
Petroleum Corp. |
110 | 113,620 | ||||||
5.50%, 12/01/25 (Call 09/01/25) |
130 | 142,930 | ||||||
5.88%, 09/01/25 (Call 06/01/25) |
215 | 238,650 | ||||||
8.00%, 07/15/25 (Call 04/15/25) |
80 | 94,634 | ||||||
Par Petroleum LLC/Par Petroleum Finance Corp., 7.75%, 12/15/25 (Call 11/29/21)(a) |
55 | 55,356 | ||||||
PBF
Holding Co. LLC/PBF Finance Corp. |
150 | 117,479 | ||||||
9.25%, 05/15/25 (Call 05/15/22)(a) |
220 | 213,468 | ||||||
Range Resources Corp., 4.88%, 05/15/25 (Call 02/15/25) |
145 | 151,540 |
S C H E D U L E O F I N V E S T M E N T S |
35 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Oil & Gas (continued) | ||||||||
SM
Energy Co. |
$ | 60 | $ | 60,179 | ||||
10.00%, 01/15/25 (Call 06/17/22)(a) |
90 | 100,125 | ||||||
Southwestern Energy Co., 6.45%, 01/23/25 (Call 10/23/24) |
145 | 158,012 | ||||||
Transocean Pontus Ltd., 6.13%, 08/01/25 (Call 11/29/21)(a)(b) |
77 | 77,178 | ||||||
Vermilion
Energy Inc., 5.63%, 03/15/25 |
55 | 55,345 | ||||||
|
|
|||||||
3,313,929 | ||||||||
Oil & Gas Services — 0.5% | ||||||||
CSI Compressco LP/CSI Compressco Finance Inc., 7.50%, 04/01/25 (Call 11/29/21)(a) |
70 | 69,307 | ||||||
Exterran Energy Solutions LP/EES Finance Corp., 8.13%, 05/01/25 (Call 11/29/21) |
60 | 58,131 | ||||||
KCA Deutag UK Finance PLC, 9.88%, 12/01/25 (Call 12/01/22)(a) |
75 | 81,685 | ||||||
|
|
|||||||
209,123 | ||||||||
Packaging & Containers — 3.3% | ||||||||
Ardagh Packaging Finance PLC/Ardagh Holdings USA Inc., 5.25%, 04/30/25 (Call 04/30/22)(a) |
125 | 129,694 | ||||||
Ball Corp., 5.25%, 07/01/25 |
260 | 289,923 | ||||||
Flex Acquisition Co. Inc., 6.88%, 01/15/25 (Call 11/29/21)(a)(b) |
110 | 110,933 | ||||||
Matthews International Corp., 5.25%, 12/01/25 (Call 11/29/21)(a)(b) |
55 | 56,525 | ||||||
Mauser Packaging Solutions Holding Co., 7.25%, 04/15/25 (Call 11/29/21)(a)(b) |
265 | 256,769 | ||||||
Owens-Brockway Glass Container Inc. 5.38%, 01/15/25(a) |
60 | 63,583 | ||||||
6.38%, 08/15/25(a)(b) |
50 | 54,879 | ||||||
Pactiv LLC, 7.95%, 12/15/25 |
75 | 83,590 | ||||||
Plastipak
Holdings Inc., 6.25%, 10/15/25 |
95 | 96,724 | ||||||
Sealed Air Corp., 5.50%, 09/15/25 (Call 06/15/25)(a) |
75 | 82,851 | ||||||
Silgan Holdings Inc., 4.75%, 03/15/25 (Call 11/29/21) |
60 | 60,799 | ||||||
Trident TPI Holdings Inc., 6.63%, 11/01/25 (Call 11/09/21)(a) |
45 | 45,697 | ||||||
|
|
|||||||
1,331,967 | ||||||||
Pharmaceuticals — 3.8% | ||||||||
Bausch
Health Companies Inc. |
300 | 305,136 | ||||||
6.13%, 04/15/25 (Call 11/29/21)(a) |
473 | 482,096 | ||||||
9.00%, 12/15/25 (Call 12/15/21)(a) |
495 | 519,493 | ||||||
Herbalife Nutrition Ltd./HLF Financing Inc., 7.88%, 09/01/25 (Call 09/01/22)(a) |
115 | 123,497 | ||||||
P&L Development LLC/PLD Finance Corp., 7.75%, 11/15/25 (Call 11/15/22)(a) |
85 | 87,324 | ||||||
|
|
|||||||
1,517,546 | ||||||||
Pipelines — 5.0% | ||||||||
Blue Racer Midstream LLC/Blue Racer Finance Corp., 7.63%, 12/15/25 (Call 12/15/22)(a) |
110 | 118,246 | ||||||
Buckeye
Partners LP, 4.13%, 03/01/25 |
90 | 92,463 | ||||||
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp., 5.75%, 04/01/25 (Call 11/29/21) |
95 | 97,416 | ||||||
DCP Midstream Operating LP, 5.38%, 07/15/25 (Call 04/15/25) |
205 | 227,203 | ||||||
EnLink Midstream Partners LP, 4.15%, 06/01/25 (Call 03/01/25) . |
140 | 145,334 | ||||||
EQM Midstream Partners LP, 6.00%, 07/01/25 (Call 04/01/25)(a). |
130 | 141,599 | ||||||
Genesis Energy LP/Genesis Energy Finance Corp., 6.50%, 10/01/25 (Call 11/29/21)(b) |
95 | 93,594 | ||||||
Martin Midstream Partners LP/Martin Midstream Finance Corp., 11.50%, 02/28/25 (Call 08/12/22)(a) |
50 | 52,041 | ||||||
New Fortress Energy Inc., 6.75%, 09/15/25 (Call 09/15/22)(a) |
235 | 228,993 | ||||||
NGL Energy Partners LP/NGL Energy Finance Corp., 6.13%, 03/01/25 (Call 11/29/21) |
75 | 64,591 | ||||||
NuStar Logistics LP, 5.75%, 10/01/25 (Call 07/01/25) |
115 | 123,132 | ||||||
Rattler
Midstream LP, 5.63%, 07/15/25 |
95 | 99,349 |
Security | Par (000) |
Value | ||||||
Pipelines (continued) | ||||||||
Rockies Express Pipeline LLC, 3.60%, 05/15/25 (Call 04/15/25)(a) |
$ | 75 | $ | 78,108 | ||||
Summit Midstream Holdings LLC/Summit Midstream Finance Corp., 5.75%, 04/15/25 (Call 11/29/21)(b) |
50 | 44,601 | ||||||
Tallgrass Energy Partners LP/Tallgrass Energy Finance Corp., 7.50%, 10/01/25 (Call 10/01/22)(a) |
110 | 118,952 | ||||||
Western
Midstream Operating LP |
80 | 84,293 | ||||||
4.35%, 02/01/25 (Call 01/01/25) |
160 | 167,946 | ||||||
|
|
|||||||
1,977,861 | ||||||||
Real Estate — 0.9% | ||||||||
Five Point Operating Co. LP/Five Point Capital Corp., 7.88%, 11/15/25 (Call 11/29/21)(a) |
110 | 114,620 | ||||||
Greystar Real Estate Partners LLC, 5.75%, 12/01/25 (Call 11/29/21)(a) |
95 | 96,646 | ||||||
Realogy Group LLC/Realogy Co-Issuer Corp., 7.63%, 06/15/25 (Call 06/15/22)(a) |
100 | 106,854 | ||||||
WeWork Companies Inc., 7.88%, 05/01/25(a) |
50 | 50,685 | ||||||
|
|
|||||||
368,805 | ||||||||
Real Estate Investment Trusts — 4.6% | ||||||||
Diversified Healthcare Trust, 9.75%, 06/15/25 (Call 06/15/22) |
185 | 200,960 | ||||||
HAT Holdings I LLC/HAT Holdings II LLC, 6.00%, 04/15/25 (Call 04/15/22)(a) |
80 | 83,330 | ||||||
iStar Inc., 4.25%, 08/01/25 (Call 05/01/25) |
105 | 108,018 | ||||||
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 5.25%, 10/01/25 (Call 11/15/21)(a)(b) |
65 | 65,835 | ||||||
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc., 4.63%, 06/15/25 (Call 03/15/25)(a) |
145 | 156,072 | ||||||
New Residential Investment Corp., 6.25%, 10/15/25 (Call 10/15/22)(a) |
105 | 105,257 | ||||||
Park Intermediate Holdings LLC/PK Domestic Property LLC/PK Finance Co-Issuer, 7.50%, 06/01/25 (Call 06/01/22)(a)(b) |
45 | 47,802 | ||||||
Service
Properties Trust |
75 | 75,023 | ||||||
7.50%, 09/15/25 (Call 06/15/25) |
150 | 165,895 | ||||||
Starwood Property Trust Inc., 4.75%, 03/15/25 (Call 09/15/24)(b). |
95 | 99,835 | ||||||
Uniti Group LP/Uniti Fiber Holdings Inc./CSL Capital LLC, 7.88%, 02/15/25 (Call 02/15/22)(a) |
435 | 457,955 | ||||||
VICI Properties LP/VICI Note Co. Inc., 3.50%, 02/15/25 (Call 02/15/22)(a) |
140 | 142,646 | ||||||
XHR LP, 6.38%, 08/15/25 (Call 08/15/22)(a) |
100 | 105,494 | ||||||
|
|
|||||||
1,814,122 | ||||||||
Retail — 3.8% | ||||||||
1011778 BC ULC/New Red Finance Inc., 5.75%, 04/15/25 (Call 04/15/22)(a) |
95 | 99,064 | ||||||
Abercrombie & Fitch Management Co., 8.75%, 07/15/25 (Call 07/15/22)(a) |
75 | 81,038 | ||||||
Bath & Body Works Inc., 9.38%, 07/01/25(a) |
90 | 112,019 | ||||||
Carvana Co., 5.63%, 10/01/25 (Call 10/01/22)(a) |
95 | 97,102 | ||||||
Dave & Buster’s Inc., 7.63%, 11/01/25 (Call 11/01/22)(a) |
86 | 92,318 | ||||||
eG
Global Finance PLC |
130 | 133,159 | ||||||
8.50%, 10/30/25 (Call 11/29/21)(a) |
100 | 104,178 | ||||||
Golden Nugget Inc., 8.75%, 10/01/25 (Call 11/29/21)(a)(b) |
40 | 41,365 | ||||||
IRB Holding Corp., 7.00%, 06/15/25 (Call 06/15/22)(a) |
145 | 153,607 | ||||||
Penske Automotive Group Inc., 3.50%, 09/01/25 (Call 09/01/22)(b) |
105 | 107,820 | ||||||
QVC Inc., 4.45%, 02/15/25 (Call 11/15/24) |
115 | 123,192 | ||||||
Rite Aid Corp., 7.50%, 07/01/25 (Call 07/01/22)(a) |
115 | 115,574 | ||||||
Sally
Holdings LLC/Sally Capital Inc. |
50 | 51,084 | ||||||
8.75%, 04/30/25 (Call 04/30/22)(a) |
25 | 26,845 |
36 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Retail (continued) | ||||||||
Sizzling Platter LLC/Sizzling Platter Finance Corp., 8.50%, 11/28/25 (Call 11/28/22)(a) |
$ | 60 | $ | 60,803 | ||||
Yum! Brands Inc., 7.75%, 04/01/25 (Call 04/01/22)(a) |
120 | 127,644 | ||||||
|
|
|||||||
1,526,812 | ||||||||
Semiconductors — 0.8% | ||||||||
ams AG, 7.00%, 07/31/25 (Call 07/31/22)(a)(b) |
75 | 79,555 | ||||||
Microchip Technology Inc., 4.25%, 09/01/25 (Call 09/01/22) |
215 | 223,552 | ||||||
|
|
|||||||
303,107 | ||||||||
Software — 2.3% | ||||||||
Ascend
Learning LLC, 6.88%, 08/01/25 |
100 | 101,772 | ||||||
Boxer
Parent Co. Inc., 7.13%, 10/02/25 |
135 | 143,226 | ||||||
Change Healthcare Holdings LLC/Change Healthcare Finance Inc., 5.75%, 03/01/25 (Call 11/09/21)(a) |
245 | 247,119 | ||||||
PTC Inc., 3.63%, 02/15/25 (Call 02/15/22)(a) |
95 | 96,602 | ||||||
Veritas U.S. Inc./Veritas Bermuda Ltd., 7.50%, 09/01/25 (Call 11/29/21)(a) |
320 | 331,683 | ||||||
|
|
|||||||
920,402 | ||||||||
Telecommunications — 3.9% | ||||||||
Cincinnati Bell Inc., 8.00%, 10/15/25 (Call 11/29/21)(a) |
55 | 57,362 | ||||||
CommScope Technologies LLC, 6.00%, 06/15/25 (Call 11/09/21)(a) |
298 | 294,832 | ||||||
Intrado Corp., 8.50%, 10/15/25 (Call 11/29/21)(a)(b) |
130 | 128,250 | ||||||
Level 3 Financing Inc., 5.38%, 05/01/25 (Call 11/29/21) |
55 | 56,247 | ||||||
Lumen Technologies Inc., 5.63%, 04/01/25 (Call 01/01/25) |
130 | 139,807 | ||||||
Qwest Corp., 7.25%, 09/15/25 |
70 | 83,389 | ||||||
Sprint Corp., 7.63%, 02/15/25 (Call 11/15/24) |
365 | 424,601 | ||||||
VEON Holdings BV, 4.00%, 04/09/25 (Call 01/09/25)(a) |
225 | 233,543 | ||||||
ViaSat Inc., 5.63%, 09/15/25 (Call 11/09/21)(a) |
125 | 126,679 | ||||||
|
|
|||||||
1,544,710 | ||||||||
Transportation — 0.8% | ||||||||
Western Global Airlines LLC, 10.38%, 08/15/25 (Call 05/15/25)(a)(b) |
80 | 89,088 | ||||||
XPO Logistics Inc., 6.25%, 05/01/25 (Call 05/01/22)(a) |
208 | 219,136 | ||||||
|
|
|||||||
308,224 |
Security | Par/ Shares (000) |
Value | ||||||
Trucking & Leasing — 0.4% | ||||||||
Fortress Transportation and Infrastructure Investors LLC, 6.50%, 10/01/25 (Call 11/29/21)(a) |
$ | 155 | $ | 159,546 | ||||
|
|
|||||||
Total
Corporate Bonds & Notes — 97.7% |
38,892,469 | |||||||
|
|
|||||||
Short-Term Investments |
||||||||
Money Market Funds — 12.1% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(e)(f)(g) |
3,716 | 3,718,076 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(e)(f) |
1,120 | 1,120,000 | ||||||
|
|
|||||||
4,838,076 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 12.1% |
4,838,076 | |||||||
|
|
|||||||
Total
Investments in Securities — 109.8% |
43,730,545 | |||||||
Other Assets, Less Liabilities — (9.8)% |
(3,911,869 | ) | ||||||
|
|
|||||||
Net Assets — 100.0% |
$ | 39,818,676 | ||||||
|
|
(a) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(b) |
All or a portion of this security is on loan. |
(c) |
This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
(d) |
Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates. |
(e) |
Affiliate of the Fund. |
(f) |
Annualized 7-day yield as of period end. |
(g) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the year ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 10/31/20 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital
Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 1,893,672 | $ | 1,824,895 | (a) | $ | — | $ | (504 | ) | $ | 13 | $ | 3,718,076 | 3,716 | $ | 8,812 | (b) | $ | — | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
334,000 | 786,000 | (a) | — | — | — | 1,120,000 | 1,120 | 53 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (504 | ) | $ | 13 | $ | 4,838,076 | $ | 8,865 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Represents net amount purchased (sold). |
(b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
S C H E D U L E O F I N V E S T M E N T S |
37 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2025 Term High Yield and Income ETF |
Fair Value Hierarchy as of Period End (continued)
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 38,892,469 | $ | — | $ | 38,892,469 | ||||||||
Money Market Funds |
4,838,076 | — | — | 4,838,076 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 4,838,076 | $ | 38,892,469 | $ | — | $ | 43,730,545 | |||||||||
|
|
|
|
|
|
|
|
|||||||||
See notes to financial statements.
38 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
| |||||||
Advertising — 0.1% | ||||||||
Summer BC Bidco B LLC, 5.50%, 10/31/26 (Call 07/15/23)(a) |
$ | 25 | $ | 25,420 | ||||
|
|
|||||||
Aerospace & Defense — 3.9% |
| |||||||
Bombardier Inc., 7.13%, 06/15/26 (Call 06/15/23)(a) |
125 | 131,213 | ||||||
Spirit
AeroSystems Inc., 3.85%, 06/15/26 |
30 | 31,584 | ||||||
TransDigm
Inc. |
425 | 443,929 | ||||||
6.38%, 06/15/26 (Call 11/29/21) |
120 | 124,154 | ||||||
TransDigm UK Holdings PLC, 6.88%, 05/15/26 (Call 11/29/21) |
50 | 52,729 | ||||||
|
|
|||||||
783,609 | ||||||||
Agriculture — 0.3% | ||||||||
Turning Point Brands Inc., 5.63%, 02/15/26 (Call 02/15/23)(a) |
25 | 25,521 | ||||||
Vector Group Ltd., 10.50%, 11/01/26 (Call 11/29/21)(a) |
40 | 42,241 | ||||||
|
|
|||||||
67,762 | ||||||||
Airlines — 4.7% | ||||||||
Air Canada, 3.88%, 08/15/26 (Call 02/15/26)(a)(b) |
105 | 106,384 | ||||||
Air Canada Pass Through Trust, Series 2020-1, Class C, 10.50%, 07/15/26(a) |
30 | 36,924 | ||||||
American Airlines Inc./AAdvantage Loyalty IP Ltd., 5.50%, 04/20/26(a) |
325 | 340,814 | ||||||
American Airlines Pass Through Trust, Series 2014-1, Class A, 3.70%, 10/01/26 |
47 | 47,935 | ||||||
Delta Air Lines Inc., 7.38%, 01/15/26 (Call 12/15/25) |
95 | 111,686 | ||||||
Hawaiian Brand Intellectual Property Ltd./HawaiianMiles Loyalty Ltd., 5.75%, 01/20/26 (Call 01/20/24)(a) |
100 | 105,000 | ||||||
United Airlines Inc., 4.38%, 04/15/26 (Call 10/15/25)(a) |
200 | 207,084 | ||||||
|
|
|||||||
955,827 | ||||||||
Apparel — 0.7% | ||||||||
Hanesbrands Inc., 4.88%, 05/15/26 (Call 02/15/26)(a) |
75 | 80,205 | ||||||
Under Armour Inc., 3.25%, 06/15/26 (Call 03/15/26) |
55 | 56,658 | ||||||
|
|
|||||||
136,863 | ||||||||
Auto Manufacturers — 3.1% | ||||||||
Ford Motor Co., 4.35%, 12/08/26 (Call 09/08/26)(b) |
75 | 80,237 | ||||||
Ford
Motor Credit Co. LLC |
200 | 199,382 | ||||||
4.39%, 01/08/26 |
210 | 224,366 | ||||||
4.54%, 08/01/26 (Call 06/01/26) |
60 | 64,577 | ||||||
JB
Poindexter & Co. Inc., 7.13%,
04/15/26 |
50 | 52,554 | ||||||
|
|
|||||||
621,116 | ||||||||
Auto Parts & Equipment — 1.8% | ||||||||
Adient Global Holdings Ltd., 4.88%, 08/15/26 (Call 11/29/21)(a)(b) |
70 | 71,322 | ||||||
American Axle & Manufacturing Inc., 6.25%, 03/15/26 (Call 11/09/21)(b) |
40 | 41,101 | ||||||
Clarios Global LP/Clarios US Finance Co., 6.25%, 05/15/26 (Call 05/15/22)(a) |
67 | 70,102 | ||||||
Cooper-Standard Automotive Inc., 5.63%, 11/15/26 (Call 11/15/21)(a)(b) |
35 | 28,074 | ||||||
Goodyear Tire & Rubber Co. (The), 5.00%, 05/31/26 (Call 11/29/21) |
65 | 66,737 | ||||||
IHO Verwaltungs GmbH, 4.75%, 09/15/26 (Call 11/09/21), |
||||||||
(5.50% PIK)(a)(c) |
50 | 51,137 | ||||||
Tenneco Inc., 5.00%, 07/15/26 (Call 11/29/21)(b) |
45 | 43,882 | ||||||
|
|
|||||||
372,355 | ||||||||
Banks — 1.0% | ||||||||
Freedom Mortgage Corp., 7.63%, 05/01/26 (Call 05/01/23)(a) |
55 | 53,883 | ||||||
Intesa Sanpaolo SpA, 5.71%, 01/15/26(a) |
135 | 149,905 | ||||||
|
|
|||||||
203,788 |
Security | Par (000) |
Value | ||||||
Building Materials — 0.2% | ||||||||
New Enterprise Stone & Lime Co. Inc., 6.25%, 03/15/26 (Call 11/07/21)(a) |
$ | 45 | $ | 46,443 | ||||
|
|
|||||||
Chemicals — 1.3% |
| |||||||
GCP Applied Technologies Inc., 5.50%, 04/15/26 (Call 11/15/21)(a) |
25 | 25,596 | ||||||
GPD
Companies Inc., 10.13%, 04/01/26 |
45 | 48,281 | ||||||
INEOS Quattro Finance 2 PLC, 3.38%, 01/15/26 (Call 01/15/23)(a) |
45 | 44,787 | ||||||
Ingevity Corp., 4.50%, 02/01/26 (Call 11/29/21)(a) |
35 | 35,498 | ||||||
Nufarm Australia Ltd./Nufarm Americas Inc., 5.75%, 04/30/26 (Call 11/29/21)(a)(b) |
45 | 46,010 | ||||||
Polar U.S. Borrower LLC/Schenectady International Group Inc., 6.75%, 05/15/26 (Call 05/15/23)(a) |
25 | 24,812 | ||||||
Rayonier AM Products Inc., 7.63%, 01/15/26 (Call 01/15/24)(a) |
45 | 46,413 | ||||||
|
|
|||||||
271,397 | ||||||||
Coal — 0.2% | ||||||||
Coronado Finance Pty Ltd., 10.75%, 05/15/26 (Call 05/15/23)(a) |
35 | 38,096 | ||||||
|
|
|||||||
Commercial Services — 5.2% |
| |||||||
Albion Financing 1 Sarl/Aggreko Holdings Inc., 6.13%, 10/15/26 (Call 10/15/23)(a) |
50 | 50,451 | ||||||
Allied Universal Holdco LLC/Allied Universal Finance Corp., 6.63%, 07/15/26 (Call 07/15/22)(a) |
170 | 178,789 | ||||||
Alta Equipment Group Inc., 5.63%, 04/15/26 (Call 04/15/23)(a) |
30 | 30,780 | ||||||
Cimpress PLC, 7.00%, 06/15/26 (Call 11/29/21)(a) |
55 | 57,274 | ||||||
CoreCivic Inc., 8.25%, 04/15/26 (Call 04/15/24) |
60 | 61,375 | ||||||
CPI CG Inc., 8.63%, 03/15/26 (Call 03/15/23)(a) |
30 | 32,396 | ||||||
Graham Holdings Co., 5.75%, 06/01/26 (Call 11/09/21)(a) |
40 | 41,703 | ||||||
IHS Markit Ltd., 4.00%, 03/01/26 (Call 12/01/25)(a) |
35 | 38,142 | ||||||
Legends Hospitality Holding Co. LLC/Legends Hospitality Co-Issuer Inc., 5.00%, 02/01/26 (Call 02/01/23)(a) |
40 | 40,802 | ||||||
MoneyGram International Inc., 5.38%, 08/01/26 (Call 08/01/23)(a) |
35 | 35,173 | ||||||
Prime Security Services Borrower LLC/Prime Finance Inc., 5.75%, 04/15/26(a) |
135 | 144,378 | ||||||
RR Donnelley & Sons Co., 6.13%, 11/01/26 (Call 11/01/23)(a) |
40 | 42,722 | ||||||
Shift4 Payments LLC/Shift4 Payments Finance Sub Inc., 4.63%, 11/01/26 (Call 11/01/22)(a) |
45 | 46,776 | ||||||
Square Inc., 2.75%, 06/01/26 (Call 05/01/26)(a) |
85 | 86,001 | ||||||
Verscend
Escrow Corp., 9.75%, 08/15/26 |
80 | 84,763 | ||||||
WASH Multifamily Acquisition Inc., 5.75%, 04/15/26 (Call 04/15/23)(a) |
75 | 77,623 | ||||||
|
|
|||||||
1,049,148 | ||||||||
Computers — 1.8% | ||||||||
Vericast Corp., 11.00%, 09/15/26 (Call 09/15/23)(a) |
110 | 114,987 | ||||||
Western Digital Corp., 4.75%, 02/15/26 (Call 11/15/25)(b) |
220 | 241,705 | ||||||
|
|
|||||||
356,692 | ||||||||
Cosmetics & Personal Care — 0.8% | ||||||||
Coty
Inc. |
80 | 82,241 | ||||||
6.50%, 04/15/26 (Call 11/29/21)(a) |
50 | 51,442 | ||||||
Oriflame Investment Holding PLC, 5.13%, 05/04/26 (Call 05/15/23)(a) |
35 | 34,708 | ||||||
|
|
|||||||
168,391 | ||||||||
Distribution & Wholesale — 0.3% | ||||||||
Wolverine
Escrow LLC, 9.00%, 11/15/26 |
75 | 68,985 | ||||||
|
|
|||||||
Diversified Financial Services — 3.3% |
| |||||||
Brightsphere Investment Group Inc., 4.80%, 07/27/26 |
25 | 26,430 | ||||||
Credit
Acceptance Corp., 6.63%, 03/15/26 |
40 | 41,725 | ||||||
goeasy Ltd., 4.38%, 05/01/26 (Call 05/01/23)(a) |
30 | 30,852 |
S C H E D U L E O F I N V E S T M E N T S |
39 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Diversified Financial Services (continued) | ||||||||
Home Point Capital Inc., 5.00%, 02/01/26 (Call 02/01/23)(a) |
$ | 50 | $ | 44,936 | ||||
Jefferson Capital Holdings LLC, 6.00%, 08/15/26 (Call 08/15/23)(a) |
30 | 30,388 | ||||||
LFS Topco LLC, 5.88%, 10/15/26 (Call 10/15/23)(a) |
30 | 30,933 | ||||||
Navient Corp., 6.75%, 06/15/26(b) |
75 | 82,727 | ||||||
OneMain Finance Corp., 7.13%, 03/15/26 |
145 | 164,674 | ||||||
PHH
Mortgage Corp., 7.88%, 03/15/26 |
35 | 35,512 | ||||||
Rocket Mortgage LLC/Rocket Mortgage Co-Issuer Inc., 2.88%, 10/15/26 (Call 10/15/23)(a) |
105 | 104,265 | ||||||
SLM Corp., 3.13%, 11/02/26 (Call 10/02/26) |
50 | 49,563 | ||||||
World Acceptance Corp., 7.00%, 11/01/26 (Call 11/01/23)(a) |
25 | 24,637 | ||||||
|
|
|||||||
666,642 | ||||||||
Electric — 1.3% | ||||||||
Calpine Corp., 5.25%, 06/01/26 (Call 11/29/21)(a) |
65 | 66,864 | ||||||
FirstEnergy Corp., Series A, 1.60%, 01/15/26 (Call 12/15/25) |
35 | 34,607 | ||||||
NextEra Energy Operating Partners LP, 3.88%, 10/15/26 (Call 07/15/26)(a) |
45 | 47,901 | ||||||
Terraform Global Operating LLC, 6.13%, 03/01/26 (Call 11/29/21)(a) |
40 | 40,994 | ||||||
Vistra Operations Co. LLC, 5.50%, 09/01/26 (Call 11/09/21)(a) |
75 | 77,209 | ||||||
|
|
|||||||
267,575 | ||||||||
Energy - Alternate Sources — 0.3% | ||||||||
Enviva Partners LP/Enviva Partners Finance Corp., 6.50%, 01/15/26 (Call 11/29/21)(a) |
25 | 25,853 | ||||||
Sunnova Energy Corp., 5.88%, 09/01/26 (Call 09/01/23)(a)(b) |
35 | 35,725 | ||||||
|
|
|||||||
61,578 | ||||||||
Engineering & Construction — 0.3% | ||||||||
Brundage-Bone Concrete Pumping Holdings Inc., 6.00%, 02/01/26 (Call 02/01/23)(a) |
35 | 36,633 | ||||||
INNOVATE Corp., 8.50%, 02/01/26 (Call 02/01/23)(a) |
30 | 29,980 | ||||||
|
|
|||||||
66,613 | ||||||||
Entertainment — 2.4% | ||||||||
CCM Merger Inc., 6.38%, 05/01/26 (Call 11/01/22)(a) |
30 | 31,582 | ||||||
Cinemark USA Inc., 5.88%, 03/15/26 (Call 03/15/23)(a)(b) |
35 | 35,183 | ||||||
Golden Entertainment Inc., 7.63%, 04/15/26 (Call 04/15/22)(a) |
40 | 42,019 | ||||||
International Game Technology PLC, 4.13%, 04/15/26 (Call 04/15/23)(a) |
65 | 67,155 | ||||||
Live Nation Entertainment Inc., 5.63%, 03/15/26 (Call 11/29/21)(a) |
25 | 25,938 | ||||||
Merlin Entertainments Ltd., 5.75%, 06/15/26 (Call 03/17/26)(a) |
35 | 36,192 | ||||||
Mohegan Gaming & Entertainment, 8.00%, 02/01/26 (Call 02/01/23)(a) |
100 | 103,383 | ||||||
Raptor Acquisition Corp./Raptor Co-Issuer LLC, 4.88%, 11/01/26 (Call 11/01/22)(a) |
30 | 30,297 | ||||||
Scientific Games International Inc., 8.25%, 03/15/26 (Call 03/15/22)(a) |
105 | 111,426 | ||||||
|
|
|||||||
483,175 | ||||||||
Environmental Control — 0.5% | ||||||||
GFL Environmental Inc., 5.13%, 12/15/26 (Call 12/15/22)(a) |
45 | 47,123 | ||||||
Waste Pro USA Inc., 5.50%, 02/15/26 (Call 11/29/21)(a) |
45 | 44,560 | ||||||
|
|
|||||||
91,683 | ||||||||
Food — 3.2% | ||||||||
Albertsons Companies Inc./Safeway Inc./New Albertsons LP/Albertsons LLC |
||||||||
3.25%, 03/15/26 (Call 09/15/22)(a) |
65 | 66,101 | ||||||
7.50%, 03/15/26 (Call 03/15/22)(a) |
55 | 59,259 | ||||||
FAGE International SA/FAGE USA Dairy Industry Inc., 5.63%, 08/15/26 (Call 11/29/21)(a) |
40 | 41,002 | ||||||
H-Food Holdings LLC/Hearthside Finance Co. Inc., 8.50%, 06/01/26 (Call 11/29/21)(a) |
35 | 36,225 | ||||||
JBS USA Food Co., 7.00%, 01/15/26 (Call 01/15/22)(a) |
100 | 104,267 |
Security | Par (000) |
Value | ||||||
Food (continued) | ||||||||
Kraft Heinz Foods Co., 3.00%, 06/01/26 (Call 03/01/26) |
$ | 215 | $ | 224,273 | ||||
Lamb Weston Holdings Inc., 4.88%, 11/01/26 (Call 11/18/21)(a) |
70 | 71,803 | ||||||
Sigma
Holdco BV, 7.88%, 05/15/26 |
45 | 44,031 | ||||||
|
|
|||||||
646,961 | ||||||||
Forest Products & Paper — 0.5% | ||||||||
Mercer International Inc., 5.50%, 01/15/26 (Call 11/29/21) |
35 | 35,525 | ||||||
Resolute Forest Products Inc., 4.88%, 03/01/26 (Call 03/01/23)(a) |
30 | 30,604 | ||||||
Schweitzer-Mauduit International Inc., 6.88%, 10/01/26 (Call 11/29/21)(a) |
35 | 36,486 | ||||||
|
|
|||||||
102,615 | ||||||||
Gas — 0.3% | ||||||||
AmeriGas Partners LP/AmeriGas Finance Corp., 5.88%, 08/20/26 (Call 05/20/26)(b) |
60 | 67,004 | ||||||
|
|
|||||||
Health Care - Services — 5.9% | ||||||||
CHS/Community Health Systems Inc., 8.00%, 03/15/26 (Call 03/15/22)(a) |
180 | 190,155 | ||||||
Hadrian Merger Sub Inc., 8.50%, 05/01/26 (Call 11/29/21)(a)(b) |
35 | 36,224 | ||||||
HCA
Inc. |
160 | 182,171 | ||||||
5.88%, 02/15/26 (Call 08/15/25) |
135 | 153,760 | ||||||
IQVIA Inc., 5.00%, 10/15/26 (Call 11/29/21)(a) |
80 | 82,317 | ||||||
RegionalCare Hospital Partners Holdings Inc./LifePoint Health Inc., 9.75%, 12/01/26 (Call 12/01/21)(a) |
135 | 142,451 | ||||||
Select
Medical Corp., 6.25%, 08/15/26 |
115 | 120,360 | ||||||
Tenet Healthcare Corp., 4.88%, 01/01/26 (Call 03/01/22)(a) |
230 | 236,495 | ||||||
U.S. Acute Care Solutions LLC, 6.38%, 03/01/26 (Call 03/01/23)(a) |
45 | 46,679 | ||||||
|
|
|||||||
1,190,612 | ||||||||
Holding Companies - Diversified — 0.6% | ||||||||
Icahn Enterprises LP/Icahn Enterprises Finance Corp., 6.25%, 05/15/26 (Call 05/15/22) |
120 | 125,675 | ||||||
|
|
|||||||
Home Builders — 0.5% | ||||||||
Forestar
Group Inc., 3.85%, 05/15/26 |
40 | 40,014 | ||||||
K
Hovnanian Enterprises Inc. |
30 | 31,408 | ||||||
10.50%, 02/15/26 (Call 02/15/22)(a) |
20 | 21,317 | ||||||
|
|
|||||||
92,739 | ||||||||
Housewares — 1.0% | ||||||||
Newell Brands Inc., 4.70%, 04/01/26 (Call 01/01/26) |
175 | 191,697 | ||||||
Scotts Miracle-Gro Co. (The), 5.25%, 12/15/26 (Call 12/15/21) |
20 | 20,608 | ||||||
|
|
|||||||
212,305 | ||||||||
Insurance — 1.0% | ||||||||
Acrisure LLC/Acrisure Finance Inc., 10.13%, 08/01/26 (Call 08/01/22)(a) |
40 | 44,509 | ||||||
HUB International Ltd., 7.00%, 05/01/26 (Call 11/09/21)(a) |
150 | 155,025 | ||||||
|
|
|||||||
199,534 | ||||||||
Internet — 2.4% | ||||||||
Cogent Communications Group Inc., 3.50%, 05/01/26 (Call 02/01/26)(a) |
45 | 45,559 | ||||||
Millennium Escrow Corp., 6.63%, 08/01/26 (Call 08/01/23)(a) |
65 | 66,072 | ||||||
Netflix Inc., 4.38%, 11/15/26(b) |
135 | 150,293 | ||||||
Photo Holdings Merger Sub Inc., 8.50%, 10/01/26 (Call 10/01/22)(a)(b) |
70 | 73,570 | ||||||
Uber Technologies Inc., 8.00%, 11/01/26 (Call 11/29/21)(a) |
150 | 159,855 | ||||||
|
|
|||||||
495,349 | ||||||||
Iron & Steel — 1.2% | ||||||||
ArcelorMittal SA, 4.55%, 03/11/26 |
60 | 65,900 |
40 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Iron & Steel (continued) | ||||||||
Baffinland Iron Mines Corp./Baffinland Iron Mines LP, 8.75%, 07/15/26 (Call 11/29/21)(a) |
$ | 50 | $ | 52,784 | ||||
Cleveland-Cliffs Inc., 6.75%, 03/15/26 (Call 03/15/22)(a) |
75 | 79,780 | ||||||
United States Steel Corp., 6.25%, 03/15/26 (Call 10/31/21)(b) |
53 | 54,656 | ||||||
|
|
|||||||
253,120 | ||||||||
Leisure Time — 3.5% | ||||||||
Carnival
Corp. |
130 | 136,908 | ||||||
10.50%, 02/01/26 (Call 08/01/23)(a) |
70 | 81,318 | ||||||
Life
Time Inc. |
79 | 81,146 | ||||||
8.00%, 04/15/26 (Call 02/01/23)(a)(b) |
40 | 42,003 | ||||||
NCL
Corp. Ltd. |
125 | 125,513 | ||||||
10.25%, 02/01/26 (Call 08/01/23)(a)(b) |
65 | 74,636 | ||||||
Royal
Caribbean Cruises Ltd. |
60 | 58,208 | ||||||
5.50%, 08/31/26 (Call 02/28/26)(a) |
100 | 101,971 | ||||||
|
|
|||||||
701,703 | ||||||||
Lodging — 1.3% | ||||||||
Melco Resorts Finance Ltd., 5.25%, 04/26/26 (Call 04/26/22)(d) |
50 | 49,475 | ||||||
MGM Resorts International, 4.63%, 09/01/26 (Call 06/01/26) |
55 | 57,438 | ||||||
Travel
+ Leisure Co., 6.63%, 07/31/26 |
60 | 66,982 | ||||||
Wynn Macau Ltd., 5.50%, 01/15/26 (Call 06/15/22)(a) |
100 | 94,288 | ||||||
|
|
|||||||
268,183 | ||||||||
Machinery — 1.2% | ||||||||
Colfax Corp., 6.38%, 02/15/26 (Call 02/15/22)(a) |
33 | 34,402 | ||||||
Manitowoc Co. Inc. (The), 9.00%, 04/01/26 (Call 04/01/22)(a) |
35 | 37,264 | ||||||
Stevens Holding Co. Inc., 6.13%, 10/01/26 (Call 10/01/23)(a)(b) |
40 | 43,228 | ||||||
Titan Acquisition Ltd./Titan Co-Borrower LLC, 7.75%, 04/15/26 (Call 11/29/21)(a) |
60 | 61,206 | ||||||
Weir
Group PLC (The), 2.20%, 05/13/26 |
70 | 69,525 | ||||||
|
|
|||||||
245,625 | ||||||||
Manufacturing — 0.9% | ||||||||
EnPro Industries Inc., 5.75%, 10/15/26 (Call 11/29/21) |
25 | 26,171 | ||||||
FXI Holdings Inc., 12.25%, 11/15/26 (Call 11/15/22)(a) |
65 | 72,335 | ||||||
Gates Global LLC/Gates Corp., 6.25%, 01/15/26 (Call 01/15/22)(a)(b) |
40 | 41,369 | ||||||
Hillenbrand Inc., 5.00%, 09/15/26 (Call 07/15/26) |
35 | 39,477 | ||||||
|
|
|||||||
179,352 | ||||||||
Media — 4.6% | ||||||||
Beasley Mezzanine Holdings LLC, 8.63%, 02/01/26 (Call 02/01/23)(a) |
25 | 25,235 | ||||||
CCO Holdings LLC/CCO Holdings Capital Corp., 5.50%, 05/01/26 (Call 11/29/21)(a) |
40 | 41,310 | ||||||
Cumulus Media New Holdings Inc., 6.75%, 07/01/26 (Call 07/01/22)(a)(b) |
45 | 46,866 | ||||||
DISH DBS Corp., 7.75%, 07/01/26(b) |
200 | 222,614 | ||||||
Gannett
Holdings LLC, 6.00%, 11/01/26 |
35 | 34,911 | ||||||
Gray Television Inc., 5.88%, 07/15/26 (Call 11/29/21)(a) |
50 | 51,625 | ||||||
iHeartCommunications Inc., 6.38%, 05/01/26 (Call 05/01/22) |
70 | 73,332 | ||||||
Meredith Corp., 6.88%, 02/01/26 (Call 12/01/21) |
75 | 77,746 | ||||||
Radiate Holdco LLC/Radiate Finance Inc., 4.50%, 09/15/26 (Call 09/15/23)(a) |
75 | 76,217 | ||||||
Sinclair Television Group Inc., 5.88%, 03/15/26 (Call 11/29/21)(a) |
25 | 25,578 | ||||||
Sirius
XM Radio Inc., 3.13%, 09/01/26 |
125 | 125,285 | ||||||
Spanish Broadcasting System Inc., 9.75%, 03/01/26 (Call 09/01/23)(a) |
30 | 31,423 | ||||||
TEGNA Inc., 4.75%, 03/15/26 (Call 03/15/23)(a) |
50 | 52,085 |
Security | Par (000) |
Value | ||||||
Media (continued) | ||||||||
Townsquare
Media Inc., 6.88%, 02/01/26 |
$ | 50 | $ | 52,646 | ||||
|
|
|||||||
936,873 | ||||||||
Mining — 1.1% | ||||||||
Constellium SE, 5.88%, 02/15/26 (Call 11/29/21)(a) |
50 | 50,914 | ||||||
Hudbay
Minerals Inc., 4.50%, 04/01/26 |
45 | 44,871 | ||||||
JW Aluminum Continuous Cast Co., 10.25%, 06/01/26 (Call 11/15/21)(a) |
25 | 26,669 | ||||||
Novelis Corp., 3.25%, 11/15/26 (Call 11/15/23)(a) |
70 | 69,972 | ||||||
Taseko Mines Ltd., 7.00%, 02/15/26 (Call 02/15/23)(a) |
35 | 36,225 | ||||||
|
|
|||||||
228,651 | ||||||||
Oil & Gas — 8.7% | ||||||||
Aethon United BR LP/Aethon United Finance Corp., 8.25%, 02/15/26 (Call 02/15/23)(a) |
65 | 69,802 | ||||||
Antero Resources Corp., 8.38%, 07/15/26 (Call 01/15/24)(a) |
33 | 37,139 | ||||||
Ascent Resources Utica Holdings LLC/ARU Finance Corp., 7.00%, 11/01/26 (Call 11/29/21)(a) |
55 | 56,784 | ||||||
Berry Petroleum Co. LLC, 7.00%, 02/15/26 (Call 11/29/21)(a) |
35 | 35,489 | ||||||
Bonanza Creek Energy Inc., 5.00%, 10/15/26 (Call 10/15/23)(a) |
28 | 28,281 | ||||||
California Resources Corp., 7.13%, 02/01/26 (Call 02/01/23)(a) |
55 | 58,029 | ||||||
Callon Petroleum Co., 6.38%, 07/01/26 (Call 11/29/21) |
30 | 28,815 | ||||||
Centennial Resource Production LLC, 5.38%, 01/15/26 (Call 11/29/21)(a)(b) |
25 | 24,828 | ||||||
Chesapeake Energy Corp., 5.50%, 02/01/26 (Call 02/05/23)(a) |
45 | 47,098 | ||||||
Colgate Energy Partners III LLC, 7.75%, 02/15/26 (Call 02/15/24)(a) |
35 | 37,441 | ||||||
Energy Ventures Gom LLC/EnVen Finance Corp., 11.75%, 04/15/26 (Call 04/15/23)(a) |
29 | 30,112 | ||||||
EQT Corp., 3.13%, 05/15/26 (Call 05/15/23)(a) |
45 | 45,378 | ||||||
Gulfport Energy Operating Corp., 8.00%, 05/17/26 (Call 05/17/24) |
50 | 55,351 | ||||||
Harbour Energy PLC, 5.50%, 10/15/26 (Call 10/15/23)(a) |
40 | 40,039 | ||||||
Independence Energy Finance LLC, 7.25%, 05/01/26 (Call 05/01/23)(a) |
45 | 46,845 | ||||||
Ithaca Energy North Sea PLC, 9.00%, 07/15/26 (Call 07/15/23)(a) |
50 | 51,542 | ||||||
Magnolia Oil & Gas Operating LLC/Magnolia Oil & Gas Finance Corp., 6.00%, 08/01/26 (Call 11/09/21)(a) |
40 | 41,016 | ||||||
Matador Resources Co., 5.88%, 09/15/26 (Call 11/15/21) |
95 | 98,035 | ||||||
Moss Creek Resources Holdings Inc., 7.50%, 01/15/26 (Call 11/29/21)(a) |
60 | 54,548 | ||||||
Nabors
Industries Ltd., 7.25%, 01/15/26 |
40 | 39,011 | ||||||
Oasis Petroleum Inc., 6.38%, 06/01/26 (Call 06/01/23)(a) |
40 | 42,287 | ||||||
Occidental
Petroleum Corp. |
130 | 132,144 | ||||||
3.40%, 04/15/26 (Call 01/15/26) |
90 | 91,731 | ||||||
5.55%, 03/15/26 (Call 12/15/25) |
85 | 93,838 | ||||||
Ovintiv Exploration Inc., 5.38%, 01/01/26 (Call 10/01/25) |
60 | 66,741 | ||||||
PDC Energy Inc., 5.75%, 05/15/26 (Call 11/29/21) |
65 | 66,851 | ||||||
Penn Virginia Escrow LLC, 9.25%, 08/15/26 (Call 08/15/23)(a) |
35 | 36,490 | ||||||
Precision
Drilling Corp., 7.13%, 01/15/26 |
35 | 36,006 | ||||||
Range Resources Corp., 9.25%, 02/01/26 (Call 02/01/22) |
75 | 81,210 | ||||||
SM Energy Co., 6.75%, 09/15/26 (Call 11/29/21) |
40 | 41,104 | ||||||
Strathcona Resources Ltd., 6.88%, 08/01/26 (Call 08/01/23)(a) |
45 | 44,738 | ||||||
Talos Production Inc., 12.00%, 01/15/26 (Call 01/15/23) |
55 | 59,751 | ||||||
Tap Rock Resources LLC, 7.00%, 10/01/26 (Call 10/01/23)(a) |
45 | 46,333 | ||||||
|
|
|||||||
1,764,807 | ||||||||
Oil & Gas Services — 1.0% | ||||||||
TechnipFMC PLC, 6.50%, 02/01/26 (Call 02/01/23)(a) |
85 | 90,766 | ||||||
USA Compression Partners LP/USA Compression Finance Corp., 6.88%, 04/01/26 (Call 11/29/21) |
85 | 87,819 |
S C H E D U L E O F I N V E S T M E N T S |
41 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Oil & Gas Services (continued) | ||||||||
Welltec International ApS, 8.25%, 10/15/26 (Call 10/15/23)(a) |
$ | 30 | $ | 30,872 | ||||
|
|
|||||||
209,457 | ||||||||
Packaging & Containers — 2.9% |
| |||||||
Ardagh Packaging Finance PLC/Ardagh Holdings USA Inc., 4.13%, 08/15/26 (Call 08/15/22)(a) |
110 | 112,227 | ||||||
Ball Corp., 4.88%, 03/15/26 (Call 12/15/25) |
65 | 71,296 | ||||||
Berry Global Inc., 4.50%, 02/15/26 (Call 11/29/21)(a)(b) |
31 | 31,492 | ||||||
Cascades Inc./Cascades USA Inc., 5.13%, 01/15/26 (Call 01/15/23)(a) |
35 | 37,022 | ||||||
Crown Americas LLC/Crown Americas Capital Corp. V, 4.25%, 09/30/26 (Call 03/31/26)(b) |
50 | 53,314 | ||||||
Crown Americas LLC/Crown Americas Capital Corp. VI, 4.75%, 02/01/26 (Call 11/29/21) |
25 | 25,785 | ||||||
Crown Cork & Seal Co. Inc., 7.38%, 12/15/26 |
35 | 43,024 | ||||||
Flex Acquisition Co. Inc., 7.88%, 07/15/26 (Call 11/29/21)(a)(b) |
35 | 36,596 | ||||||
LABL Inc., 6.75%, 07/15/26 (Call 07/15/22)(a) |
65 | 67,361 | ||||||
Trivium Packaging Finance BV, 5.50%, 08/15/26 (Call 08/15/22)(a) |
110 | 114,443 | ||||||
|
|
|||||||
592,560 | ||||||||
Pharmaceuticals — 1.5% | ||||||||
Bausch Health Americas Inc., 9.25%, 04/01/26 (Call 04/01/22)(a) |
135 | 143,640 | ||||||
Lannett Co. Inc., 7.75%, 04/15/26 (Call 04/15/23)(a) |
35 | 32,337 | ||||||
Perrigo Finance Unlimited Co., 4.38%, 03/15/26 (Call 12/15/25) |
100 | 106,873 | ||||||
PRA Health Sciences Inc., 2.88%, 07/15/26 (Call 07/15/23)(a) |
25 | 25,252 | ||||||
|
|
|||||||
308,102 | ||||||||
Pipelines — 5.1% | ||||||||
Antero Midstream Partners LP/Antero Midstream Finance Corp., 7.88%, 05/15/26 (Call 05/15/23)(a) |
50 | 54,773 | ||||||
Blue Racer Midstream LLC/Blue Racer Finance Corp., 6.63%, 07/15/26 (Call 11/29/21)(a) |
30 | 31,065 | ||||||
Buckeye
Partners LP, 3.95%, 12/01/26 |
55 | 56,395 | ||||||
EnLink Midstream Partners LP, 4.85%, 07/15/26 (Call 04/15/26)(b) |
45 | 46,711 | ||||||
EQM Midstream Partners LP, 4.13%, 12/01/26 (Call 09/01/26) |
45 | 46,397 | ||||||
Genesis Energy LP/Genesis Energy Finance Corp., 6.25%, 05/15/26 (Call 11/29/21) |
30 | 29,049 | ||||||
Hess Midstream Operations LP, 5.63%, 02/15/26 (Call 11/29/21)(a) |
70 | 72,481 | ||||||
New Fortress Energy Inc., 6.50%, 09/30/26 (Call 03/31/23)(a) |
135 | 131,278 | ||||||
NGL Energy Operating LLC/NGL Energy Finance Corp., 7.50%, 02/01/26 (Call 02/01/23)(a) |
180 | 182,741 | ||||||
NGL Energy Partners LP/NGL Energy Finance Corp., 7.50%, 04/15/26 (Call 04/15/22)(b) |
35 | 29,954 | ||||||
Northriver Midstream Finance LP, 5.63%, 02/15/26 (Call 10/15/22)(a) |
50 | 51,740 | ||||||
NuStar Logistics LP, 6.00%, 06/01/26 (Call 03/01/26) |
45 | 47,996 | ||||||
Summit Midstream Holdings LLC/Summit Midstream Finance Corp., 8.50%, 10/15/26 (Call 10/15/23)(a) |
65 | 65,434 | ||||||
Targa Resources Partners LP/Targa Resources Partners Finance Corp., 5.88%, 04/15/26 (Call 11/29/21)(b) |
95 | 99,376 | ||||||
TransMontaigne Partners LP/TLP Finance Corp., 6.13%, 02/15/26 (Call 11/15/21) |
25 | 25,470 | ||||||
Western Midstream Operating LP, 4.65%, 07/01/26 (Call 04/01/26) |
70 | 75,829 | ||||||
|
|
|||||||
1,046,689 | ||||||||
Real Estate Investment Trusts — 3.1% | ||||||||
Brookfield Property REIT Inc./BPR Cumulus LLC/BPR Nimbus LLC/GGSI Sellco LL, 5.75%, 05/15/26 (Call 05/15/22)(a)(b) |
80 | 82,732 | ||||||
GEO Group Inc. (The), 6.00%, 04/15/26 (Call 11/29/21) |
25 | 21,729 |
Security | Par (000) |
Value | ||||||
Real Estate Investment Trusts (continued) | ||||||||
HAT Holdings I LLC/HAT Holdings II LLC, 3.38%, 06/15/26 (Call 03/15/26)(a) |
$ | 90 | $ | 89,741 | ||||
iStar Inc., 5.50%, 02/15/26 (Call 08/15/22) |
40 | 41,648 | ||||||
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc., 4.50%, 09/01/26 (Call 06/01/26) |
70 | 75,953 | ||||||
MPT Operating Partnership LP/MPT Finance Corp., 5.25%, 08/01/26 (Call 11/29/21) |
35 | 36,090 | ||||||
RLJ Lodging Trust LP, 3.75%, 07/01/26 (Call 07/01/23)(a) |
45 | 45,455 | ||||||
Service
Properties Trust |
40 | 39,613 | ||||||
5.25%, 02/15/26 (Call 08/15/25) |
30 | 30,313 | ||||||
Starwood Property Trust Inc., 3.63%, 07/15/26 (Call 01/15/26)(a) |
35 | 35,011 | ||||||
VICI Properties LP/VICI Note Co. Inc., 4.25%, 12/01/26 (Call 12/01/22)(a) |
120 | 124,361 | ||||||
|
|
|||||||
622,646 | ||||||||
Retail — 4.1% | ||||||||
99 Escrow Issuer Inc., 7.50%, 01/15/26 (Call 01/15/23)(a) |
30 | 27,286 | ||||||
Beacon Roofing Supply Inc., 4.50%, 11/15/26 (Call 11/15/22)(a)(b) |
35 | 36,271 | ||||||
CEC Entertainment LLC, 6.75%, 05/01/26 (Call 05/01/23)(a) |
55 | 54,982 | ||||||
Ferrellgas LP/Ferrellgas Finance Corp., 5.38%, 04/01/26 (Call 04/01/23)(a) |
55 | 53,560 | ||||||
Guitar Center Inc., 8.50%, 01/15/26 (Call 01/15/23)(a) |
25 | 26,722 | ||||||
IRB Holding Corp., 6.75%, 02/15/26 (Call 11/29/21)(a) |
45 | 46,052 | ||||||
LSF9 Atlantis Holdings LLC/Victra Finance Corp., 7.75%, 02/15/26 (Call 02/15/23)(a) |
65 | 65,861 | ||||||
NMG Holding Co. Inc./Neiman Marcus Group LLC, 7.13%, 04/01/26 (Call 04/01/23)(a) |
95 | 99,762 | ||||||
Party
City Holdings Inc., 8.75%, 02/15/26 |
65 | 66,639 | ||||||
Rite Aid Corp., 8.00%, 11/15/26 (Call 01/15/23)(a) |
75 | 75,712 | ||||||
Specialty Building Products Holdings LLC/SBP Finance Corp., 6.38%, 09/30/26 (Call 09/30/22)(a) |
65 | 67,690 | ||||||
Staples Inc., 7.50%, 04/15/26 (Call 04/15/22)(a) |
175 | 177,228 | ||||||
White Cap Parent LLC, 8.25%, 03/15/26 (Call 03/15/22), (9.00% PIK)(a)(c) |
30 | 30,317 | ||||||
|
|
|||||||
828,082 | ||||||||
Software — 1.7% | ||||||||
ACI Worldwide Inc., 5.75%, 08/15/26 (Call 11/29/21)(a) |
30 | 31,370 | ||||||
Boxer Parent Co. Inc., 9.13%, 03/01/26 (Call 11/09/21)(a) |
25 | 26,176 | ||||||
Camelot Finance SA, 4.50%, 11/01/26 (Call 11/01/22)(a) |
60 | 62,207 | ||||||
Consensus Cloud Solutions Inc., 6.00%, 10/15/26 (Call 10/15/23)(a) |
30 | 30,636 | ||||||
Dun & Bradstreet Corp. (The), 6.88%, 08/15/26 (Call 02/15/22)(a) |
40 | 41,785 | ||||||
Fair Isaac Corp., 5.25%, 05/15/26 (Call 02/15/26)(a) |
40 | 44,691 | ||||||
Nuance Communications Inc., 5.63%, 12/15/26 (Call 12/15/21) |
35 | 36,139 | ||||||
Open Text Corp., 5.88%, 06/01/26 (Call 11/29/21)(a) |
65 | 67,209 | ||||||
|
|
|||||||
340,213 | ||||||||
Telecommunications — 7.1% | ||||||||
CommScope Inc., 6.00%, 03/01/26 (Call 03/01/22)(a) |
135 | 139,830 | ||||||
Connect Finco Sarl/Connect U.S. Finco LLC, 6.75%, 10/01/26 (Call 10/01/22)(a) |
180 | 186,642 | ||||||
Hughes
Satellite Systems Corp. |
115 | 128,353 | ||||||
6.63%, 08/01/26(b) |
65 | 73,672 | ||||||
Iliad Holding SAS, 6.50%, 10/15/26 (Call 10/15/23)(a) |
125 | 128,796 | ||||||
Level 3 Financing Inc., 5.25%, 03/15/26 (Call 11/29/21) |
60 | 61,827 | ||||||
Lumen Technologies Inc., 5.13%, 12/15/26 (Call 12/15/22)(a) |
155 | 158,740 | ||||||
Sprint Corp., 7.63%, 03/01/26 (Call 11/01/25) |
140 | 168,020 | ||||||
Telesat Canada/Telesat LLC, 5.63%, 12/06/26 (Call 12/06/23)(a) |
45 | 41,990 |
42 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par/ Shares (000) |
Value | ||||||
Telecommunications (continued) | ||||||||
T-Mobile USA Inc. |
||||||||
2.25%, 02/15/26 (Call 02/15/23) |
$ | 95 | $ | 95,539 | ||||
2.25%, 02/15/26 (Call 02/15/23)(a) |
70 | 70,431 | ||||||
2.63%, 04/15/26 (Call 04/15/23) |
180 | 182,902 | ||||||
|
|
|||||||
1,436,742 | ||||||||
Toys, Games & Hobbies — 0.3% | ||||||||
Mattel Inc., 3.38%, 04/01/26 (Call 04/01/23)(a) |
55 | 56,701 | ||||||
|
|
|||||||
Water — 0.2% | ||||||||
Solaris Midstream Holdings LLC, 7.63%, 04/01/26 (Call 04/01/23)(a) |
35 | 36,925 | ||||||
|
|
|||||||
Total
Corporate Bonds & Notes —
98.4% |
|
19,992,383 | ||||||
|
|
|||||||
Short-Term Investments |
| |||||||
Money Market Funds — 11.6% |
| |||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(e)(f)(g) |
1,830 | 1,830,858 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(e)(f) |
520 | 520,000 | ||||||
|
|
|||||||
2,350,858 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 11.6% |
|
2,350,858 | ||||||
|
|
|||||||
Total
Investments in Securities — 110.0% |
|
22,343,241 | ||||||
Other Assets, Less Liabilities — (10.0)% |
|
(2,022,632 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
|
$ | 20,320,609 | |||||
|
|
(a) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(b) |
All or a portion of this security is on loan. |
(c) |
Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates. |
(d) |
This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
(e) |
Affiliate of the Fund. |
(f) |
Annualized 7-day yield as of period end. |
(g) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the period ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 11/10/20(a) |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital
Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | — | $ | 1,831,026 | (b) | $ | — | $ | (168 | ) | $ | — | $ | 1,830,858 | 1,830 | $ | 2,593 | (c) | $ | — | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
— | 520,000 | (b) | — | — | — | 520,000 | 520 | 41 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | (168 | ) | $ | — | $ | 2,350,858 | $ | 2,634 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
The Fund commenced operations on November 10, 2020. |
(b) |
Represents net amount purchased (sold). |
(c) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
S C H E D U L E O F I N V E S T M E N T S |
43 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2026 Term High Yield and Income ETF |
Fair Value Hierarchy as of Period End (continued)
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 19,992,383 | $ | — | $ | 19,992,383 | ||||||||
Money Market Funds |
2,350,858 | — | — | 2,350,858 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 2,350,858 | $ | 19,992,383 | $ | — | $ | 22,343,241 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
44 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments October 31, 2021 |
iShares® iBonds® 2027 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Corporate Bonds & Notes |
||||||||
Advertising — 0.8% | ||||||||
Outfront Media Capital LLC/Outfront Media Capital Corp., 5.00%, 08/15/27 (Call 08/15/22)(a) |
$ | 35 | $ | 35,690 | ||||
Terrier
Media Buyer Inc., 8.88%, 12/15/27 |
60 | 63,571 | ||||||
|
|
|||||||
99,261 | ||||||||
Aerospace & Defense — 3.7% | ||||||||
Bombardier Inc., 7.88%, 04/15/27 (Call 04/15/22)(a) |
115 | 119,597 | ||||||
Hexcel Corp., 4.20%, 02/15/27 (Call 11/15/26) |
20 | 21,594 | ||||||
Howmet Aerospace Inc., 5.90%, 02/01/27 |
35 | 40,081 | ||||||
Moog Inc., 4.25%, 12/15/27 (Call 12/15/22)(a) |
30 | 30,909 | ||||||
Rolls-Royce PLC, 5.75%, 10/15/27 (Call 07/15/27)(a) |
60 | 66,619 | ||||||
TransDigm Inc. |
||||||||
5.50%, 11/15/27 (Call 11/15/22) |
150 | 153,795 | ||||||
7.50%, 03/15/27 (Call 03/15/22) |
30 | 31,514 | ||||||
|
|
|||||||
464,109 | ||||||||
Agriculture — 0.2% | ||||||||
Darling Ingredients Inc., 5.25%, 04/15/27 (Call 04/15/22)(a) |
30 | 31,106 | ||||||
|
|
|||||||
Airlines — 0.3% | ||||||||
American Airlines Pass Through Trust, Series 2015-1, Class A, 3.38%, 05/01/27 |
42 | 42,360 | ||||||
|
|
|||||||
Apparel — 0.2% | ||||||||
William Carter Co. (The), 5.63%, 03/15/27 (Call 03/15/22)(a) |
30 | 31,125 | ||||||
|
|
|||||||
Auto Manufacturers — 1.8% | ||||||||
Allison Transmission Inc., 4.75%, 10/01/27 (Call 10/01/22)(a) |
20 | 20,814 | ||||||
Ford Motor Credit Co. LLC |
||||||||
3.82%, 11/02/27 (Call 08/02/27) |
55 | 57,213 | ||||||
4.13%, 08/17/27 (Call 06/17/27) |
60 | 63,560 | ||||||
4.27%, 01/09/27 (Call 11/09/26) |
50 | 53,057 | ||||||
Jaguar Land Rover Automotive PLC, 4.50%, 10/01/27 (Call 07/01/27)(a)(b) |
30 | 28,781 | ||||||
|
|
|||||||
223,425 | ||||||||
Auto Parts & Equipment — 2.1% | ||||||||
American Axle & Manufacturing Inc., 6.50%, 04/01/27 (Call 04/01/22) |
30 | 31,327 | ||||||
Clarios Global LP/Clarios US Finance Co., 8.50%, 05/15/27 (Call 05/15/22)(a) |
115 | 122,221 | ||||||
Dana Inc., 5.38%, 11/15/27 (Call 11/15/22) |
30 | 31,454 | ||||||
Goodyear Tire & Rubber Co. (The), 4.88%, 03/15/27 (Call 12/15/26) |
40 | 42,544 | ||||||
IHO Verwaltungs GmbH, 6.00%, 05/15/27 (Call 05/15/22), (6.75% PIK)(a)(c) |
30 | 31,142 | ||||||
|
|
|||||||
258,688 | ||||||||
Banks — 0.3% | ||||||||
Freedom Mortgage Corp., 6.63%, 01/15/27 (Call 01/15/24)(a) |
35 | 33,247 | ||||||
|
|
|||||||
Building Materials — 1.1% | ||||||||
Builders
FirstSource Inc., 6.75%, 06/01/27 |
35 | 36,996 | ||||||
Jeld-Wen Inc., 4.88%, 12/15/27 (Call 12/15/22)(a) |
25 | 25,923 | ||||||
Patrick
Industries Inc., 7.50%, 10/15/27 |
15 | 16,077 | ||||||
Standard
Industries Inc./NJ, 5.00%, 02/15/27 |
40 | 41,058 | ||||||
Summit Materials LLC/Summit Materials Finance Corp., 6.50%, 03/15/27 (Call 03/15/22)(a) |
15 | 15,739 | ||||||
|
|
|||||||
135,793 | ||||||||
Chemicals — 1.9% | ||||||||
Axalta
Coating Systems LLC/Axalta Coating Systems Dutch Holding B BV, 4.75%,
06/15/27 |
30 | 30,993 | ||||||
Chemours Co. (The), 5.38%, 05/15/27 (Call 02/15/27) |
30 | 31,838 | ||||||
HB Fuller Co., 4.00%, 02/15/27 (Call 11/15/26) |
20 | 20,984 |
Security | Par (000) |
Value | ||||||
Chemicals (continued) | ||||||||
Hexion Inc., 7.88%, 07/15/27 (Call 07/15/22)(a) |
$ | 30 | $ | 31,800 | ||||
Methanex Corp., 5.13%, 10/15/27 (Call 04/15/27) |
40 | 42,213 | ||||||
Olin Corp., 5.13%, 09/15/27 (Call 03/15/22) |
30 | 31,091 | ||||||
WR
Grace Holdings LLC, 4.88%, 06/15/27 |
45 | 45,710 | ||||||
|
|
|||||||
234,629 | ||||||||
Commercial Services — 4.5% | ||||||||
Allied Universal Holdco LLC/Allied Universal Finance Corp., 9.75%, 07/15/27 (Call 07/15/22)(a) |
60 | 64,755 | ||||||
AMN Healthcare Inc., 4.63%, 10/01/27 (Call 10/01/22)(a) |
30 | 30,813 | ||||||
APX Group Inc., 6.75%, 02/15/27 (Call 02/15/23)(a) |
35 | 37,035 | ||||||
Avis Budget Car Rental LLC/Avis Budget Finance Inc., 5.75%, 07/15/27 (Call 07/15/22)(a) |
40 | 41,753 | ||||||
Brink’s Co. (The), 4.63%, 10/15/27 (Call 10/15/22)(a)(b) |
35 | 36,083 | ||||||
CoreCivic Inc., 4.75%, 10/15/27 (Call 07/15/27) |
15 | 13,604 | ||||||
Garda World Security Corp. |
||||||||
4.63%, 02/15/27 (Call 02/15/23)(a) |
30 | 29,779 | ||||||
9.50%, 11/01/27 (Call 11/01/22)(a) |
35 | 37,768 | ||||||
Herc Holdings Inc., 5.50%, 07/15/27 (Call 07/15/22)(a) |
60 | 62,614 | ||||||
Korn Ferry, 4.63%, 12/15/27 (Call 12/15/22)(a) |
20 | 20,701 | ||||||
Prime Security Services Borrower LLC/Prime Finance Inc., 3.38%, 08/31/27 (Call 08/31/26)(a) |
60 | 57,503 | ||||||
Service Corp. International/U.S., 4.63%, 12/15/27 (Call 12/15/22) |
30 | 31,592 | ||||||
Sotheby’s, 7.38%, 10/15/27 (Call 10/15/22)(a) |
35 | 36,900 | ||||||
United Rentals North America Inc., 5.50%, 05/15/27 (Call 05/15/22) |
60 | 62,878 | ||||||
|
|
|||||||
563,778 | ||||||||
Computers — 1.0% | ||||||||
NCR Corp., 5.75%, 09/01/27 (Call 09/01/22)(a) |
30 | 31,526 | ||||||
Presidio
Holdings Inc., 4.88%, 02/01/27 |
30 | 30,619 | ||||||
Seagate HDD Cayman, 4.88%, 06/01/27 (Call 03/01/27) |
30 | 33,095 | ||||||
Unisys Corp., 6.88%, 11/01/27 (Call 11/01/23)(a) |
30 | 32,701 | ||||||
|
|
|||||||
127,941 | ||||||||
Distribution & Wholesale — 0.8% | ||||||||
BCPE
Empire Holdings Inc., 7.63%, 05/01/27 |
40 | 39,611 | ||||||
IAA Inc., 5.50%, 06/15/27 (Call 06/15/22)(a) |
30 | 31,242 | ||||||
Univar
Solutions USA Inc., 5.13%, 12/01/27 |
30 | 31,409 | ||||||
|
|
|||||||
102,262 | ||||||||
Diversified Financial Services — 1.5% | ||||||||
Advisor
Group Holdings Inc., 10.75%, 08/01/27 |
20 | 22,218 | ||||||
Castlelake
Aviation Finance DAC, 5.00%, 04/15/27 |
25 | 24,936 | ||||||
LPL Holdings Inc., 4.63%, 11/15/27 (Call 11/15/22)(a) |
20 | 20,611 | ||||||
Nationstar
Mortgage Holdings Inc., 6.00%, 01/15/27 |
35 | 36,635 | ||||||
Navient Corp., 5.00%, 03/15/27 (Call 09/15/26) |
40 | 40,776 | ||||||
OneMain Finance Corp., 3.50%, 01/15/27 (Call 01/15/24) |
40 | 39,221 | ||||||
|
|
|||||||
184,397 | ||||||||
Electric — 2.7% | ||||||||
FirstEnergy Corp., Series B, 4.40%, 07/15/27 (Call 04/15/27) |
90 | 97,629 | ||||||
NextEra Energy Operating Partners LP, 4.50%, 09/15/27 (Call 06/15/27)(a) |
30 | 32,133 | ||||||
Talen
Energy Supply LLC, 7.25%, 05/15/27 |
40 | 38,309 | ||||||
Vistra Operations Co. LLC |
||||||||
5.00%, 07/31/27 (Call 07/31/22)(a) |
75 | 76,793 | ||||||
5.63%, 02/15/27 (Call 02/15/22)(a) |
85 | 87,588 | ||||||
|
|
|||||||
332,452 | ||||||||
Electrical Components & Equipment — 0.2% | ||||||||
EnerSys, 4.38%, 12/15/27 (Call 09/15/27)(a) |
20 | 21,001 | ||||||
|
|
S C H E D U L E O F I N V E S T M E N T S |
45 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2027 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Engineering & Construction — 0.5% | ||||||||
AECOM, 5.13%, 03/15/27 (Call 12/15/26) |
$ | 60 | $ | 66,195 | ||||
|
|
|||||||
Entertainment — 4.3% | ||||||||
Affinity Gaming, 6.88%, 12/15/27 (Call 12/01/23)(a) |
30 | 31,110 | ||||||
Caesars
Entertainment Inc., 8.13%, 07/01/27 |
100 | 112,040 | ||||||
Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp./Millennium Op, 5.38%, 04/15/27 (Call 04/15/22) |
30 | 30,906 | ||||||
Churchill
Downs Inc., 5.50%, 04/01/27 |
35 | 36,269 | ||||||
International Game Technology PLC, 6.25%, 01/15/27 (Call 07/15/26)(a) |
40 | 45,056 | ||||||
Live Nation Entertainment Inc. |
||||||||
4.75%, 10/15/27 (Call 10/15/22)(a) |
60 | 61,188 | ||||||
6.50%, 05/15/27 (Call 05/15/23)(a) |
60 | 65,831 | ||||||
Motion Bondco DAC, 6.63%, 11/15/27 (Call 11/15/22)(a) |
20 | 20,193 | ||||||
Peninsula Pacific Entertainment LLC/Peninsula Pacific Entertainment Finance Inc., 8.50%, 11/15/27 (Call 11/15/23)(a) |
50 | 53,355 | ||||||
Penn
National Gaming Inc., 5.63%, 01/15/27 |
30 | 30,998 | ||||||
Six
Flags Entertainment Corp., 5.50%, 04/15/27 |
30 | 31,088 | ||||||
Speedway Motorsports LLC/Speedway Funding II Inc., 4.88%, 11/01/27 (Call 11/01/22)(a) |
20 | 20,397 | ||||||
|
|
|||||||
538,431 | ||||||||
Environmental Control — 0.7% | ||||||||
Clean Harbors Inc., 4.88%, 07/15/27 (Call 07/15/22)(a) |
30 | 31,345 | ||||||
Covanta Holding Corp., 6.00%, 01/01/27 (Call 01/01/22) |
20 | 20,686 | ||||||
Harsco Corp., 5.75%, 07/31/27 (Call 07/31/22)(a) |
30 | 31,122 | ||||||
|
|
|||||||
83,153 | ||||||||
Food — 3.0% | ||||||||
Albertsons
Companies Inc./Safeway Inc./New Albertsons LP/Albertsons LLC, 4.63%,
01/15/27 |
75 | 78,471 | ||||||
B&G Foods Inc., 5.25%, 09/15/27 (Call 03/01/22) |
30 | 30,781 | ||||||
Kraft Heinz Foods Co., 3.88%, 05/15/27 (Call 02/15/27) |
75 | 81,387 | ||||||
Performance
Food Group Inc., 5.50%, 10/15/27 |
60 | 62,735 | ||||||
Pilgrim’s
Pride Corp., 5.88%, 09/30/27 |
50 | 52,698 | ||||||
Post Holdings Inc., 5.75%, 03/01/27 (Call 03/01/22)(a) |
60 | 62,260 | ||||||
|
|
|||||||
368,332 | ||||||||
Gas — 0.3% | ||||||||
AmeriGas Partners LP/AmeriGas Finance Corp., 5.75%, 05/20/27 (Call 02/20/27) |
30 | 33,570 | ||||||
|
|
|||||||
Health Care - Products — 0.5% | ||||||||
Hill-Rom Holdings Inc., 4.38%,
09/15/27 |
30 | 31,200 | ||||||
Teleflex Inc., 4.63%, 11/15/27 (Call 11/15/22) |
30 | 31,294 | ||||||
|
|
|||||||
62,494 | ||||||||
Health Care - Services — 6.1% | ||||||||
Catalent
Pharma Solutions Inc., 5.00%, 07/15/27 |
30 | 31,137 | ||||||
Centene Corp., 4.25%, 12/15/27 (Call 12/15/22) |
150 | 157,129 | ||||||
CHS/Community Health Systems Inc. |
||||||||
5.63%, 03/15/27 (Call 12/15/23)(a) |
100 | 104,671 | ||||||
8.00%, 12/15/27 (Call 12/15/22)(a) |
60 | 65,270 | ||||||
IQVIA Inc., 5.00%, 05/15/27 (Call 05/15/22)(a) |
60 | 62,200 | ||||||
Legacy
LifePoint Health LLC, 4.38%, 02/15/27 |
35 | 34,812 | ||||||
MEDNAX Inc., 6.25%, 01/15/27 (Call 01/15/22)(a) |
60 | 62,982 | ||||||
Surgery
Center Holdings Inc., 10.00%, 04/15/27 |
30 | 32,227 | ||||||
Tenet Healthcare Corp. |
||||||||
5.13%, 11/01/27 (Call 11/01/22)(a) |
85 | 88,872 | ||||||
6.25%, 02/01/27 (Call 02/01/22)(a) |
85 | 88,282 | ||||||
US
Renal Care Inc., 10.63%, 07/15/27 |
30 | 31,193 | ||||||
|
|
|||||||
758,775 |
Security | Par (000) |
Value | ||||||
Holding Companies - Diversified — 0.8% | ||||||||
Icahn Enterprises LP/Icahn Enterprises Finance Corp., 5.25%, 05/15/27 (Call 11/15/26) |
$ | 90 | $ | 93,550 | ||||
|
|
|||||||
Home Builders — 2.0% | ||||||||
Beazer Homes USA Inc., 5.88%, 10/15/27 (Call 10/15/22) |
20 | 20,897 | ||||||
Brookfield
Residential Properties Inc./Brookfield Residential U.S. LLC, 6.25%,
09/15/27 |
35 | 36,531 | ||||||
Century Communities Inc., 6.75%, 06/01/27 (Call 06/01/22) |
25 | 26,568 | ||||||
KB Home, 6.88%, 06/15/27 (Call 12/15/26) |
20 | 23,608 | ||||||
Mattamy Group Corp., 5.25%, 12/15/27 (Call 12/15/22)(a) |
30 | 31,281 | ||||||
Meritage Homes Corp., 5.13%, 06/06/27 (Call 12/06/26) |
15 | 16,551 | ||||||
Taylor Morrison Communities Inc. |
||||||||
5.88%, 06/15/27 (Call 03/15/27)(a)(b) |
30 | 33,674 | ||||||
6.63%, 07/15/27 (Call 07/15/22)(a) |
10 | 10,550 | ||||||
Toll Brothers Finance Corp., 4.88%, 03/15/27 (Call 12/15/26) |
30 | 33,257 | ||||||
Tri Pointe Homes Inc., 5.25%, 06/01/27 (Call 12/01/26) |
20 | 21,581 | ||||||
|
|
|||||||
254,498 | ||||||||
Insurance — 1.5% | ||||||||
Alliant Holdings Intermediate LLC/Alliant Holdings Co-Issuer |
||||||||
4.25%, 10/15/27 (Call 10/15/23)(a) |
55 | 54,990 | ||||||
6.75%, 10/15/27 (Call 10/15/22)(a) |
70 | 72,418 | ||||||
GTCR
AP Finance Inc., 8.00%, 05/15/27 |
30 | 31,557 | ||||||
Radian Group Inc., 4.88%, 03/15/27 (Call 09/15/26) |
30 | 32,735 | ||||||
|
|
|||||||
191,700 | ||||||||
Internet — 2.2% | ||||||||
Cablevision
Lightpath LLC, 3.88%, 09/15/27 |
30 | 29,196 | ||||||
Getty Images Inc., 9.75%, 03/01/27 (Call 03/01/22)(a) |
15 | 15,930 | ||||||
Go Daddy Operating Co. LLC/GD Finance Co. Inc., 5.25%, 12/01/27 (Call 06/01/22)(a) |
35 | 36,348 | ||||||
GrubHub
Holdings Inc., 5.50%, 07/01/27 |
30 | 30,802 | ||||||
Match
Group Holdings II LLC, 5.00%, 12/15/27 |
30 | 31,333 | ||||||
Northwest Fiber LLC/Northwest Fiber Finance Sub Inc., 4.75%, 04/30/27 (Call 10/15/23)(a) |
20 | 19,529 | ||||||
Twitter Inc., 3.88%, 12/15/27 (Call 09/15/27)(a) |
40 | 42,071 | ||||||
Uber
Technologies Inc., 7.50%, 09/15/27 |
60 | 65,669 | ||||||
|
|
|||||||
270,878 | ||||||||
Iron & Steel — 0.9% | ||||||||
Allegheny Technologies Inc., 5.88%, 12/01/27 (Call 12/01/22) |
20 | 20,998 | ||||||
Cleveland-Cliffs Inc., 5.88%, 06/01/27 (Call 06/01/22) |
35 | 36,370 | ||||||
Commercial Metals Co., 5.38%, 07/15/27 (Call 07/15/22) |
15 | 15,704 | ||||||
Mineral
Resources Ltd., 8.13%, 05/01/27 |
35 | 37,855 | ||||||
|
|
|||||||
110,927 | ||||||||
Leisure Time — 2.7% | ||||||||
Carnival Corp. |
||||||||
5.75%, 03/01/27 (Call 12/01/26)(a) |
200 | 203,500 | ||||||
9.88%, 08/01/27 (Call 02/01/24)(a) |
55 | 63,388 | ||||||
Royal Caribbean Cruises Ltd., 7.50%, 10/15/27 |
15 | 17,536 | ||||||
Viking Cruises Ltd., 5.88%, 09/15/27 (Call 09/15/22)(a) |
50 | 48,487 | ||||||
|
|
|||||||
332,911 | ||||||||
Lodging — 2.6% | ||||||||
Boyd Gaming Corp., 4.75%, 12/01/27 (Call 12/01/22) |
60 | 61,800 | ||||||
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp., 4.88%, 04/01/27 (Call 04/01/22) |
35 | 36,233 | ||||||
Melco
Resorts Finance Ltd., 5.63%, 07/17/27 |
35 | 35,032 | ||||||
MGM
China Holdings Ltd., 4.75%, 02/01/27 |
35 | 33,583 | ||||||
MGM Resorts International, 5.50%, 04/15/27 (Call 01/15/27) |
35 | 37,703 | ||||||
Travel + Leisure Co., 6.00%, 04/01/27 (Call 01/01/27) |
25 | 27,283 | ||||||
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., 5.25%, 05/15/27 (Call 02/15/27)(a) |
55 | 55,717 |
46 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2027 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Lodging (continued) | ||||||||
Wynn Macau Ltd., 5.50%, 10/01/27 (Call 10/01/22)(a) |
$ | 35 | $ | 32,557 | ||||
|
|
|||||||
319,908 | ||||||||
Machinery — 0.9% | ||||||||
Granite US Holdings Corp., 11.00%, 10/01/27 (Call 10/01/22)(a) |
15 | 16,434 | ||||||
TK Elevator U.S. Newco Inc., 5.25%, 07/15/27 (Call 07/15/23)(a) |
95 | 96,831 | ||||||
|
|
|||||||
113,265 | ||||||||
Manufacturing — 0.2% | ||||||||
Amsted Industries Inc., 5.63%, 07/01/27 (Call 07/01/22)(a) |
20 | 20,845 | ||||||
|
|
|||||||
Media — 10.8% | ||||||||
CCO Holdings LLC/CCO Holdings Capital Corp., 5.13%, 05/01/27 (Call 05/01/22)(a) |
175 | 181,545 | ||||||
Clear Channel Worldwide Holdings Inc., 5.13%, 08/15/27 (Call 08/15/22)(a) |
75 | 76,969 | ||||||
CSC Holdings LLC, 5.50%, 04/15/27 (Call 04/15/22)(a) |
85 | 87,767 | ||||||
DIRECTV Holdings LLC/DIRECTV Financing Co. Inc., 5.88%, 08/15/27 (Call 08/15/23)(a) |
130 | 134,922 | ||||||
Entercom Media Corp., 6.50%, 05/01/27 (Call 05/01/22)(a) |
30 | 30,163 | ||||||
Gray
Television Inc., 7.00%, 05/15/27 |
60 | 64,344 | ||||||
iHeartCommunications Inc. |
||||||||
5.25%, 08/15/27 (Call 08/15/22)(a) |
45 | 46,063 | ||||||
8.38%, 05/01/27 (Call 05/01/22)(b) |
85 | 90,525 | ||||||
LCPR Senior Secured Financing DAC, 6.75%, 10/15/27 (Call 10/15/22)(a) |
85 | 89,684 | ||||||
Midcontinent Communications/Midcontinent Finance Corp., 5.38%, 08/15/27 (Call 08/15/22)(a) |
20 | 20,793 | ||||||
Nexstar Media Inc., 5.63%, 07/15/27 (Call 07/15/22)(a) |
100 | 105,471 | ||||||
Scripps
Escrow Inc., 5.88%, 07/15/27 |
30 | 30,627 | ||||||
Sinclair Television Group Inc., 5.13%, 02/15/27 (Call 11/15/21)(a) |
20 | 19,283 | ||||||
Sirius
XM Radio Inc., 5.00%, 08/01/27 |
85 | 88,827 | ||||||
Univision Communications Inc., 6.63%, 06/01/27 (Call 06/01/23)(a) |
90 | 97,402 | ||||||
Videotron Ltd., 5.13%, 04/15/27 (Call 04/15/22)(a) |
35 | 36,247 | ||||||
Ziggo Bond Co. BV, 6.00%, 01/15/27 (Call 01/15/22)(a) |
35 | 36,167 | ||||||
Ziggo BV, 5.50%, 01/15/27 (Call 01/15/22)(a) |
100 | 103,125 | ||||||
|
|
|||||||
1,339,924 | ||||||||
Metal Fabricate & Hardware — 0.3% | ||||||||
Advanced Drainage Systems Inc., 5.00%, 09/30/27 (Call 09/30/22)(a) |
20 | 20,822 | ||||||
Park-Ohio Industries Inc., 6.63%, 04/15/27 (Call 04/15/22) |
20 | 19,007 | ||||||
|
|
|||||||
39,829 | ||||||||
Mining — 1.5% | ||||||||
Alcoa Nederland Holding BV, 5.50%, 12/15/27 (Call 06/15/23)(a) |
55 | 58,985 | ||||||
Compass Minerals International Inc., 6.75%, 12/01/27 (Call 12/01/22)(a) |
30 | 31,810 | ||||||
FMG Resources August 2006 Pty Ltd., 4.50%, 09/15/27 (Call 06/15/27)(a) |
35 | 36,693 | ||||||
Freeport-McMoRan Inc., 5.00%, 09/01/27 (Call 09/01/22) |
35 | 36,534 | ||||||
New Gold Inc., 7.50%, 07/15/27 (Call 07/15/23)(a) |
25 | 26,992 | ||||||
|
|
|||||||
191,014 | ||||||||
Office & Business Equipment — 0.2% | ||||||||
Pitney
Bowes Inc., 6.88%, 03/15/27 |
20 | 20,788 | ||||||
|
|
|||||||
Oil & Gas — 5.3% | ||||||||
Apache Corp., 4.88%, 11/15/27 (Call 05/15/27) |
25 | 27,197 | ||||||
Ascent Resources Utica Holdings LLC/ARU Finance Corp., 9.00%, 11/01/27 (Call 11/01/26)(a) |
20 | 27,350 | ||||||
Baytex
Energy Corp., 8.75%, 04/01/27 |
30 | 32,037 | ||||||
Centennial Resource Production LLC, 6.88%, 04/01/27 (Call 04/01/22)(a) |
20 | 20,429 | ||||||
CNX Resources Corp., 7.25%, 03/14/27 (Call 03/14/22)(a) |
35 | 37,166 |
Security | Par (000) |
Value | ||||||
Oil & Gas (continued) | ||||||||
EQT Corp., 3.90%, 10/01/27 (Call 07/01/27) |
$ | 75 | $ | 79,955 | ||||
MEG Energy Corp., 7.13%, 02/01/27 (Call 02/01/23)(a) |
65 | 68,295 | ||||||
Moss Creek Resources Holdings Inc., 10.50%, 05/15/27 (Call 05/15/22)(a) |
30 | 29,767 | ||||||
Murphy Oil Corp., 5.88%, 12/01/27 (Call 12/01/22) |
30 | 31,257 | ||||||
Occidental Petroleum Corp. |
||||||||
3.00%, 02/15/27 (Call 11/15/26) |
40 | 40,000 | ||||||
8.50%, 07/15/27 (Call 01/15/27) |
30 | 37,506 | ||||||
Parkland Corp., 5.88%, 07/15/27 (Call 07/15/22)(a) |
30 | 31,681 | ||||||
SM Energy Co., 6.63%, 01/15/27 (Call 01/15/22) |
25 | 25,827 | ||||||
Southwestern Energy Co., 7.75%, 10/01/27 (Call 10/01/22) |
30 | 32,250 | ||||||
Sunoco LP/Sunoco Finance Corp., 6.00%, 04/15/27 (Call 04/15/22) |
35 | 36,671 | ||||||
Transocean Inc., 11.50%, 01/30/27 (Call 07/30/23)(a) |
35 | 36,085 | ||||||
Transocean Poseidon Ltd., 6.88%, 02/01/27 (Call 02/01/22)(a) |
40 | 39,997 | ||||||
Viper Energy Partners LP, 5.38%, 11/01/27 (Call 11/01/22)(a) |
30 | 31,270 | ||||||
|
|
|||||||
664,740 | ||||||||
Oil & Gas Services — 0.9% | ||||||||
Archrock Partners LP/Archrock Partners Finance Corp., 6.88%, 04/01/27 (Call 04/01/22)(a) |
30 | 31,253 | ||||||
CGG SA, 8.75%, 04/01/27 (Call 04/01/24)(a) |
30 | 29,655 | ||||||
USA Compression Partners LP/USA Compression Finance Corp., 6.88%, 09/01/27 (Call 09/01/22) |
45 | 46,668 | ||||||
|
|
|||||||
107,576 | ||||||||
Packaging & Containers — 3.7% | ||||||||
ARD Finance SA, 6.50%, 06/30/27 (Call 11/15/22), |
||||||||
(7.25% PIK)(a)(c) |
60 | 62,843 | ||||||
Ardagh Packaging Finance PLC/Ardagh Holdings USA Inc., 5.25%, 08/15/27 (Call 08/15/22)(a) |
105 | 104,864 | ||||||
Berry Global Inc., 5.63%, 07/15/27 (Call 07/15/22)(a) |
30 | 31,403 | ||||||
Graphic Packaging International LLC, 4.75%, 07/15/27 (Call 04/15/27)(a) |
15 | 16,236 | ||||||
Greif Inc., 6.50%, 03/01/27 (Call 03/01/22)(a) |
30 | 31,266 | ||||||
LABL Inc., 10.50%, 07/15/27 (Call 07/15/22)(a) |
40 | 42,399 | ||||||
Owens-Brockway Glass Container Inc., 6.63%, 05/13/27 (Call 05/15/23)(a) |
40 | 42,716 | ||||||
Reynolds Group Issuer Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Lu, 4.00%, 10/15/27 (Call 10/15/23)(a) |
60 | 58,692 | ||||||
Sealed Air Corp., 4.00%, 12/01/27 (Call 09/01/27)(a) |
30 | 31,522 | ||||||
Trivium Packaging Finance BV, 8.50%, 08/15/27 (Call 08/15/22)(a). |
35 | 36,936 | ||||||
|
|
|||||||
458,877 | ||||||||
Pharmaceuticals — 2.9% | ||||||||
Bausch Health Americas Inc., 8.50%, 01/31/27 (Call 07/31/22)(a) |
100 | 106,413 | ||||||
Bausch Health Companies Inc., 5.75%, 08/15/27 (Call 08/15/22)(a) |
30 | 31,421 | ||||||
Endo Dac/Endo Finance LLC/Endo Finco Inc., 9.50%, 07/31/27 (Call 07/31/23)(a)(b) |
50 | 49,647 | ||||||
Horizon Therapeutics USA Inc., 5.50%, 08/01/27 (Call 08/01/22)(a) |
35 | 37,038 | ||||||
Par
Pharmaceutical Inc., 7.50%, 04/01/27 |
125 | 126,105 | ||||||
Vizient Inc., 6.25%, 05/15/27 (Call 05/15/22)(a) |
15 | 15,696 | ||||||
|
|
|||||||
366,320 | ||||||||
Pipelines — 3.2% | ||||||||
Antero Midstream Partners LP/Antero Midstream Finance Corp., 5.75%, 03/01/27 (Call 03/01/22)(a) |
35 | 36,259 | ||||||
Buckeye Partners LP, 4.13%, 12/01/27 (Call 09/01/27) |
25 | 25,224 | ||||||
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp., 5.63%, 05/01/27 (Call 05/01/22)(a) |
35 | 35,929 | ||||||
DCP Midstream Operating LP, 5.63%, 07/15/27 (Call 04/15/27) |
30 | 34,245 | ||||||
EQM Midstream Partners LP, 6.50%, 07/01/27 (Call 01/01/27)(a) |
50 | 55,637 |
S C H E D U L E O F I N V E S T M E N T S |
47 |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2027 Term High Yield and Income ETF (Percentages shown are based on Net Assets) |
Security | Par (000) |
Value | ||||||
Pipelines (continued) | ||||||||
Genesis Energy LP/Genesis Energy Finance Corp., 8.00%, 01/15/27 (Call 01/15/24) |
$ | 60 | $ | 60,304 | ||||
Global Partners LP/GLP Finance Corp., 7.00%, 08/01/27 (Call 08/01/22) |
20 | 20,834 | ||||||
NuStar Logistics LP, 5.63%, 04/28/27 (Call 01/28/27) |
30 | 31,570 | ||||||
Tallgrass Energy Partners LP/Tallgrass Energy Finance Corp., 6.00%, 03/01/27 (Call 03/01/23)(a) |
25 | 26,005 | ||||||
Targa Resources Partners LP/Targa Resources Partners Finance Corp. |
||||||||
5.38%, 02/01/27 (Call 02/01/22) |
30 | 31,052 | ||||||
6.50%, 07/15/27 (Call 07/15/22) |
35 | 37,625 | ||||||
|
|
|||||||
394,684 | ||||||||
Real Estate — 0.3% | ||||||||
Realogy Group LLC/Realogy Co-Issuer Corp., 9.38%, 04/01/27 (Call 04/01/22)(a) |
30 | 32,815 | ||||||
|
|
|||||||
Real Estate Investment Trusts — 4.5% | ||||||||
Blackstone Mortgage Trust Inc., 3.75%, 01/15/27 (Call 10/15/26)(a) |
25 | 24,857 | ||||||
Brookfield Property REIT Inc./BPR Cumulus LLC/BPR Nimbus LLC/GGSI Sellco LL, 4.50%, 04/01/27 (Call 10/01/23)(a) |
40 | 39,032 | ||||||
Global Net Lease Inc./Global Net Lease Operating Partnership LP, 3.75%, 12/15/27 (Call 09/15/27)(a) |
30 | 29,573 | ||||||
Iron Mountain Inc., 4.88%, 09/15/27 (Call 09/15/22)(a) |
60 | 61,871 | ||||||
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 4.25%, 02/01/27 (Call 02/01/23)(a) |
35 | 35,160 | ||||||
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc., 5.75%, 02/01/27 (Call 11/01/26) |
60 | 68,501 | ||||||
MPT Operating Partnership LP/MPT Finance Corp., 5.00%, 10/15/27 (Call 10/15/22) |
85 | 89,457 | ||||||
RHP Hotel Properties LP/RHP Finance Corp., 4.75%, 10/15/27 (Call 10/15/22) |
35 | 35,882 | ||||||
SBA Communications Corp., 3.88%, 02/15/27 (Call 02/15/23) |
85 | 87,621 | ||||||
Service Properties Trust |
||||||||
4.95%, 02/15/27 (Call 08/15/26) |
20 | 19,702 | ||||||
5.50%, 12/15/27 (Call 09/15/27)(b) |
30 | 31,436 | ||||||
VICI Properties LP/VICI Note Co. Inc., 3.75%, 02/15/27 (Call 02/15/23)(a) |
40 | 41,105 | ||||||
|
|
|||||||
564,197 | ||||||||
Retail — 2.5% | ||||||||
Academy Ltd., 6.00%, 11/15/27 (Call 11/15/23)(a) |
30 | 31,964 | ||||||
Bath & Body Works Inc., 6.69%, 01/15/27 |
15 | 17,187 | ||||||
BCPE Ulysses Intermediate Inc., 7.75%, 04/01/27 (Call 04/01/23), (8.50% PIK)(a)(c) |
25 | 23,967 | ||||||
Carvana Co., 5.50%, 04/15/27 (Call 04/15/24)(a) |
35 | 35,355 | ||||||
KFC Holding Co./Pizza Hut Holdings LLC/Taco Bell of America LLC, 4.75%, 06/01/27 (Call 06/01/22)(a) |
35 | 36,289 | ||||||
Lithia Motors Inc., 4.63%, 12/15/27 (Call 12/15/22)(a) |
20 | 21,163 | ||||||
Murphy Oil USA Inc., 5.63%, 05/01/27 (Call 05/01/22) |
15 | 15,642 | ||||||
Nordstrom Inc., 4.00%, 03/15/27 (Call 12/15/26) |
20 | 20,661 | ||||||
QVC Inc., 4.75%, 02/15/27 (Call 11/15/26)(b) |
30 | 31,448 | ||||||
Staples Inc., 10.75%, 04/15/27 (Call 04/15/22)(a) |
55 | 52,503 | ||||||
Suburban Propane Partners LP/Suburban Energy Finance Corp., 5.88%, 03/01/27 (Call 03/01/22) |
20 | 20,792 | ||||||
|
|
|||||||
306,971 | ||||||||
Semiconductors — 0.3% | ||||||||
Amkor Technology Inc., 6.63%, 09/15/27 (Call 03/15/22)(a) |
30 | 31,937 | ||||||
|
|
|||||||
Software — 1.5% | ||||||||
CDK Global Inc., 4.88%, 06/01/27 (Call 06/01/22) |
35 | 36,428 | ||||||
Granite Merger Sub 2 Inc., 11.00%, 07/15/27 (Call 07/15/22)(a) |
15 | 17,100 |
Security | Par/ Shares (000) |
Value | ||||||
Software (continued) | ||||||||
SS&C Technologies Inc., 5.50%, 09/30/27 (Call 03/30/22)(a) |
$ | 125 | $ | 131,671 | ||||
|
|
|||||||
185,199 | ||||||||
Telecommunications — 6.8% | ||||||||
Altice France Holding SA, 10.50%, 05/15/27 (Call 05/15/22)(a) |
100 | 108,355 | ||||||
Altice France SA/France, 8.13%, 02/01/27 (Call 02/01/22)(a) |
100 | 107,466 | ||||||
CommScope
Inc., 8.25%, 03/01/27 |
60 | 61,147 | ||||||
CommScope Technologies LLC, 5.00%, 03/15/27 (Call 03/15/22)(a)(b) |
35 | 32,507 | ||||||
Frontier Communications Holdings LLC, 5.88%, 10/15/27 (Call 10/15/23)(a) |
70 | 73,580 | ||||||
Level 3
Financing Inc., 4.63%, 09/15/27 |
60 | 61,527 | ||||||
LogMeIn Inc., 5.50%, 09/01/27 (Call 09/01/23)(a) |
60 | 60,095 | ||||||
Lumen Technologies Inc., 4.00%, 02/15/27 (Call 02/15/23)(a) |
75 | 75,302 | ||||||
Nokia OYJ, 4.38%, 06/12/27 |
30 | 32,342 | ||||||
Telesat Canada/Telesat LLC |
||||||||
4.88%, 06/01/27 (Call 12/01/22)(a) |
25 | 22,385 | ||||||
6.50%, 10/15/27 (Call 10/15/22)(a) |
30 | 24,357 | ||||||
VEON Holdings BV, 3.38%, 11/25/27 (Call 08/25/27)(a) |
65 | 64,957 | ||||||
ViaSat Inc., 5.63%, 04/15/27 (Call 04/15/22)(a) |
35 | 36,401 | ||||||
Zayo Group Holdings Inc., 4.00%, 03/01/27 (Call 11/29/21)(a) |
85 | 82,538 | ||||||
|
|
|||||||
842,959 | ||||||||
Toys, Games & Hobbies — 0.3% | ||||||||
Mattel Inc., 5.88%, 12/15/27 (Call 12/15/22)(a) |
35 | 37,696 | ||||||
|
|
|||||||
Transportation — 0.3% |
|
|||||||
Watco Companies LLC/Watco Finance Corp., 6.50%, 06/15/27 (Call 06/15/23)(a) |
35 | 37,272 | ||||||
|
|
|||||||
Trucking & Leasing — 0.3% |
| |||||||
Fortress
Transportation and Infrastructure Investors LLC, 9.75%,
08/01/27 |
30 | 33,781 | ||||||
|
|
|||||||
Total
Corporate Bonds & Notes — 97.9% |
|
12,161,585 | ||||||
|
|
|||||||
Short-Term Investments | ||||||||
Money Market Funds — 6.1% |
||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(e)(f)(g) |
508 | 508,415 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(e)(f) |
250 | 250,000 | ||||||
|
|
|||||||
758,415 | ||||||||
|
|
|||||||
Total
Short-Term Investments — 6.1% |
|
758,415 | ||||||
|
|
|||||||
Total
Investments in Securities — 104.0% |
|
12,920,000 | ||||||
Other Assets, Less Liabilities — (4.0)% |
|
(494,854 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
|
$ | 12,425,146 | |||||
|
|
(a) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(b) |
All or a portion of this security is on loan. |
(c) |
Payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates. |
(d) |
This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
(e) |
Affiliate of the Fund. |
(f) |
Annualized 7-day yield as of period end. |
(g) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
48 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Schedule of Investments (continued) October 31, 2021 |
iShares® iBonds® 2027 Term High Yield and Income ETF |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the period ended October 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
Affiliated Issuer | Value at 07/07/21(a) |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 10/31/21 |
Shares Held at 10/31/21 (000) |
Income | Capital Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | — | $ | 508,415 | (b) | $ | — | $ | — | $ | — | $ | 508,415 | 508 | $ | 235 | (c) | $ | — | |||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
— | 250,000 | (b) | — | — | — | 250,000 | 250 | 2 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
$ | — | $ | — | $ | 758,415 | $ | 237 | $ | — | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
The Fund commenced operations on July 07, 2021. |
(b) |
Represents net amount purchased (sold). |
(c) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Corporate Bonds & Notes |
$ | — | $ | 12,161,585 | $ | — | $ | 12,161,585 | ||||||||
Money Market Funds |
758,415 | — | — | 758,415 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 758,415 | $ | 12,161,585 | $ | — | $ | 12,920,000 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
S C H E D U L E O F I N V E S T M E N T S |
49 |
Statements of Assets and Liabilities
October 31, 2021
iShares iBonds 2021 Term High Yield and Income ETF |
iShares iBonds 2022 Term High Yield and Income ETF |
iShares iBonds 2023 Term High Yield and Income ETF |
iShares iBonds 2024 Term High Yield and Income ETF |
|||||||||||||
ASSETS |
||||||||||||||||
Investments in securities, at value (including securities on loan)(a): |
||||||||||||||||
Unaffiliated(b) |
$ | 7,612,511 | $ | 68,246,271 | $ | 80,895,429 | $ | 51,222,743 | ||||||||
Affiliated(c) |
31,478,519 | 9,514,299 | 11,690,354 | 4,755,592 | ||||||||||||
Cash |
6,392 | 897 | 1,580,250 | 49,513 | ||||||||||||
Receivables: |
||||||||||||||||
Investments sold |
180,000 | 146,556 | 713,298 | — | ||||||||||||
Securities lending income — Affiliated |
95 | 1,685 | 1,806 | 1,711 | ||||||||||||
Capital shares sold |
— | — | 22,691 | 235,650 | ||||||||||||
Dividends |
121 | 7 | 12 | 2 | ||||||||||||
Interest |
191,383 | 798,325 | 1,262,343 | 824,132 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total assets |
39,469,021 | 78,708,040 | 96,166,183 | 57,089,343 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
LIABILITIES |
||||||||||||||||
Collateral on securities loaned, at value |
838,982 | 6,234,596 | 5,910,698 | 4,145,526 | ||||||||||||
Payables: |
||||||||||||||||
Investments purchased |
— | 2,367,387 | 6,685,220 | 1,202,159 | ||||||||||||
Investment advisory fees |
10,259 | 20,765 | 23,801 | 14,229 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total liabilities |
849,241 | 8,622,748 | 12,619,719 | 5,361,914 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
$ | 38,619,780 | $ | 70,085,292 | $ | 83,546,464 | $ | 51,727,429 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS CONSIST OF: |
||||||||||||||||
Paid-in capital |
$ | 39,232,268 | $ | 70,108,368 | $ | 83,345,871 | $ | 51,843,740 | ||||||||
Accumulated earnings (loss) |
(612,488 | ) | (23,076 | ) | 200,593 | (116,311 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
$ | 38,619,780 | $ | 70,085,292 | $ | 83,546,464 | $ | 51,727,429 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Shares outstanding |
1,600,000 | 2,900,000 | 3,400,000 | 2,100,000 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net asset value |
$ | 24.14 | $ | 24.17 | $ | 24.57 | $ | 24.63 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Shares authorized |
Unlimited | Unlimited | Unlimited | Unlimited | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Par value |
None | None | None | None | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
(a) Securities loaned, at value |
$ | 795,282 | $ | 5,913,575 | $ | 5,610,600 | $ | 3,989,957 | ||||||||
(b) Investments, at cost — Unaffiliated |
$ | 7,613,118 | $ | 68,046,743 | $ | 80,505,121 | $ | 50,586,282 | ||||||||
(c) Investments, at cost — Affiliated |
$ | 31,478,096 | $ | 9,513,955 | $ | 11,689,481 | $ | 4,755,028 |
See notes to financial statements.
50 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Assets and Liabilities (continued)
October 31, 2021
iShares iBonds 2025 Term High Yield and Income ETF |
iShares iBonds 2026 Term High Yield and Income ETF |
iShares iBonds 2027 Term High Yield and Income ETF |
||||||||||
ASSETS |
||||||||||||
Investments in securities, at value (including securities on loan)(a): |
||||||||||||
Unaffiliated(b) |
$ | 38,892,469 | $ | 19,992,383 | $ | 12,161,585 | ||||||
Affiliated(c) |
4,838,076 | 2,350,858 | 758,415 | |||||||||
Cash |
68,253 | 849 | 4,842 | |||||||||
Receivables: |
||||||||||||
Investments sold |
13,953 | — | — | |||||||||
Securities lending income — Affiliated |
1,106 | 345 | 171 | |||||||||
Dividends |
2 | — | 1 | |||||||||
Interest |
656,066 | 270,760 | 182,467 | |||||||||
|
|
|
|
|
|
|||||||
Total assets |
44,469,925 | 22,615,195 | 13,107,481 | |||||||||
|
|
|
|
|
|
|||||||
LIABILITIES |
||||||||||||
Collateral on securities loaned, at value |
3,718,697 | 1,831,026 | 508,415 | |||||||||
Payables: |
||||||||||||
Investments purchased |
920,741 | 457,537 | 170,230 | |||||||||
Investment advisory fees |
11,811 | 6,023 | 3,690 | |||||||||
|
|
|
|
|
|
|||||||
Total liabilities |
4,651,249 | 2,294,586 | 682,335 | |||||||||
|
|
|
|
|
|
|||||||
NET ASSETS |
$ | 39,818,676 | $ | 20,320,609 | $ | 12,425,146 | ||||||
|
|
|
|
|
|
|||||||
NET ASSETS CONSIST OF: |
||||||||||||
Paid-in capital |
$ | 40,058,164 | $ | 20,202,554 | $ | 12,517,854 | ||||||
Accumulated earnings (loss) |
(239,488 | ) | 118,055 | (92,708 | ) | |||||||
|
|
|
|
|
|
|||||||
NET ASSETS |
$ | 39,818,676 | $ | 20,320,609 | $ | 12,425,146 | ||||||
|
|
|
|
|
|
|||||||
Shares outstanding |
1,600,000 | 800,000 | 500,000 | |||||||||
|
|
|
|
|
|
|||||||
Net asset value |
$ | 24.89 | $ | 25.40 | $ | 24.85 | ||||||
|
|
|
|
|
|
|||||||
Shares authorized |
Unlimited | Unlimited | Unlimited | |||||||||
|
|
|
|
|
|
|||||||
Par value |
None | None | None | |||||||||
|
|
|
|
|
|
|||||||
(a) Securities loaned, at value |
$ | 3,587,381 | $ | 1,764,463 | $ | 488,694 | ||||||
(b) Investments, at cost — Unaffiliated |
$ | 38,320,494 | $ | 19,824,337 | $ | 12,286,072 | ||||||
(c) Investments, at cost — Affiliated |
$ | 4,837,297 | $ | 2,350,858 | $ | 758,415 |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
51 |
Year Ended October 31, 2021
iShares High Yield |
iShares iBonds 2022 Term High Yield and Income ETF |
iShares iBonds 2023 Term High Yield and Income ETF |
iShares iBonds 2024 Term High Yield and Income ETF |
|||||||||||||
INVESTMENT INCOME |
||||||||||||||||
Dividends — Affiliated |
$ | 677 | $ | 148 | $ | 110 | $ | 102 | ||||||||
Interest — Unaffiliated |
714,038 | 1,427,906 | 2,093,572 | 1,378,556 | ||||||||||||
Payment-in-kind interest — Unaffiliated |
— | — | 114,536 | — | ||||||||||||
Securities lending income — Affiliated — net |
4,311 | 13,080 | 15,375 | 13,406 | ||||||||||||
Other income — Unaffiliated |
— | 1,958 | 1,525 | 2,979 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total investment income |
719,026 | 1,443,092 | 2,225,118 | 1,395,043 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
EXPENSES |
||||||||||||||||
Investment advisory fees |
131,673 | 164,561 | 163,946 | 102,997 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total expenses |
131,673 | 164,561 | 163,946 | 102,997 | ||||||||||||
Less: |
||||||||||||||||
Investment advisory fees waived |
(6,191 | ) | (1,021 | ) | (706 | ) | (640 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Total expenses after fees waived |
125,482 | 163,540 | 163,240 | 102,357 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net investment income |
593,544 | 1,279,552 | 2,061,878 | 1,292,686 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments — Unaffiliated |
93,389 | 506,618 | 555,359 | 165,733 | ||||||||||||
Investments — Affiliated |
(471 | ) | (713 | ) | (804 | ) | (337 | ) | ||||||||
In-kind redemptions — Unaffiliated |
2,571 | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net realized gain |
95,489 | 505,905 | 554,555 | 165,396 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments — Unaffiliated |
(62,143 | ) | (132,831 | ) | 161,426 | 535,690 | ||||||||||
Investments — Affiliated |
2 | 25 | (95 | ) | (42 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net change in unrealized appreciation (depreciation) |
(62,141 | ) | (132,806 | ) | 161,331 | 535,648 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net realized and unrealized gain |
33,348 | 373,099 | 715,886 | 701,044 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS |
$ | 626,892 | $ | 1,652,651 | $ | 2,777,764 | $ | 1,993,730 | ||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
52 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Operations (continued)
Year Ended October 31, 2021
iShares iBonds 2025 Term High Yield and Income ETF |
iShares iBonds 2026 Term High Yield and Income ETF(a) |
iShares iBonds 2027 Term High Yield and Income ETF(b) |
||||||||||
INVESTMENT INCOME |
||||||||||||
Dividends — Affiliated |
$ | 53 | $ | 41 | $ | 2 | ||||||
Interest — Unaffiliated |
1,333,744 | 723,491 | 138,271 | |||||||||
Securities lending income — Affiliated — net |
8,812 | 2,593 | 235 | |||||||||
Other income — Unaffiliated |
797 | 1,052 | 100 | |||||||||
|
|
|
|
|
|
|||||||
Total investment income |
1,343,406 | 727,177 | 138,608 | |||||||||
|
|
|
|
|
|
|||||||
EXPENSES |
||||||||||||
Investment advisory fees |
95,380 | 55,167 | 13,716 | |||||||||
|
|
|
|
|
|
|||||||
Total expenses |
95,380 | 55,167 | 13,716 | |||||||||
Less: |
||||||||||||
Investment advisory fees waived |
(375 | ) | (198 | ) | (20 | ) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
95,005 | 54,969 | 13,696 | |||||||||
|
|
|
|
|
|
|||||||
Net investment income |
1,248,401 | 672,208 | 124,912 | |||||||||
|
|
|
|
|
|
|||||||
REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||
Net realized gain (loss) from: |
||||||||||||
Investments — Unaffiliated |
120,946 | (58,928 | ) | 119 | ||||||||
Investments — Affiliated |
(504 | ) | (168 | ) | — | |||||||
|
|
|
|
|
|
|||||||
Net realized gain (loss) |
120,442 | (59,096 | ) | 119 | ||||||||
|
|
|
|
|
|
|||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||
Investments — Unaffiliated |
372,746 | 168,046 | (124,487 | ) | ||||||||
Investments — Affiliated |
13 | — | — | |||||||||
|
|
|
|
|
|
|||||||
Net change in unrealized appreciation (depreciation) |
372,759 | 168,046 | (124,487 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net realized and unrealized gain (loss) |
493,201 | 108,950 | (124,368 | ) | ||||||||
|
|
|
|
|
|
|||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS |
$ | 1,741,602 | $ | 781,158 | $ | 544 | ||||||
|
|
|
|
|
|
(a) |
For the period from November 10, 2020 (commencement of operations) to October 31, 2021. |
(b) |
For the period from July 7, 2021 (commencement of operations) to October 31, 2021. |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
53 |
Statements of Changes in Net Assets
iShares iBonds 2021 Term High Yield and Income ETF |
iShares iBonds 2022 Term High Yield and Income ETF |
|||||||||||||||
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
|||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 593,544 | $ | 631,929 | $ | 1,279,552 | $ | 776,460 | ||||||||
Net realized gain (loss) |
95,489 | (773,112 | ) | 505,905 | (599,785 | ) | ||||||||||
Net change in unrealized appreciation (depreciation) |
(62,141 | ) | 126,115 | (132,806 | ) | 379,272 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase (decrease) in net assets resulting from operations |
626,892 | (15,068 | ) | 1,652,651 | 555,947 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||
Decrease in net assets resulting from distributions to shareholders |
(702,434 | ) | (636,214 | ) | (1,338,242 | ) | (746,451 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||
Net increase in net assets derived from capital share transactions |
12,115,369 | 14,777,663 | 50,744,075 | 9,379,420 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
||||||||||||||||
Total increase in net assets |
12,039,827 | 14,126,381 | 51,058,484 | 9,188,916 | ||||||||||||
Beginning of period |
26,579,953 | 12,453,572 | 19,026,808 | 9,837,892 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
End of period |
$ | 38,619,780 | $ | 26,579,953 | $ | 70,085,292 | $ | 19,026,808 | ||||||||
|
|
|
|
|
|
|
|
(a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
54 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Changes in Net Assets (continued)
iShares iBonds 2023 Term High Yield and Income ETF |
iShares iBonds 2024 Term High Yield and Income ETF |
|||||||||||||||
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
|||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 2,061,878 | $ | 756,119 | $ | 1,292,686 | $ | 625,296 | ||||||||
Net realized gain (loss) |
554,555 | (847,890 | ) | 165,396 | (1,028,239 | ) | ||||||||||
Net change in unrealized appreciation (depreciation) |
161,331 | 270,583 | 535,648 | (49,506 | ) | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase (decrease) in net assets resulting from operations |
2,777,764 | 178,812 | 1,993,730 | (452,449 | ) | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||
Decrease in net assets resulting from distributions to shareholders |
(1,956,106 | ) | (769,276 | ) | (1,275,100 | ) | (655,125 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||
Net increase (decrease) in net assets derived from capital share transactions |
66,191,647 | 4,759,599 | 41,654,956 | (2,142,843 | ) | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
||||||||||||||||
Total increase (decrease) in net assets |
67,013,305 | 4,169,135 | 42,373,586 | (3,250,417 | ) | |||||||||||
Beginning of period |
16,533,159 | 12,364,024 | 9,353,843 | 12,604,260 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
End of period |
$ | 83,546,464 | $ | 16,533,159 | $ | 51,727,429 | $ | 9,353,843 | ||||||||
|
|
|
|
|
|
|
|
(a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
55 |
Statements of Changes in Net Assets (continued)
iShares iBonds 2025 Term High Yield and Income ETF |
iShares iBonds 2026 Term High Yield and Income ETF |
|||||||||||
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 11/10/20(a) to 10/31/21 |
||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||
OPERATIONS |
| |||||||||||
Net investment income |
$ | 1,248,401 | $ | 791,768 | $ | 672,208 | ||||||
Net realized gain (loss) |
120,442 | (1,033,686 | ) | (59,096 | ) | |||||||
Net change in unrealized appreciation (depreciation) |
372,759 | 96,035 | 168,046 | |||||||||
|
|
|
|
|
|
|||||||
Net increase (decrease) in net assets resulting from operations |
1,741,602 | (145,883 | ) | 781,158 | ||||||||
|
|
|
|
|
|
|||||||
DISTRIBUTIONS TO SHAREHOLDERS(b) |
| |||||||||||
Decrease in net assets resulting from distributions to shareholders |
(1,311,182 | ) | (790,698 | ) | (663,103 | ) | ||||||
|
|
|
|
|
|
|||||||
CAPITAL SHARE TRANSACTIONS |
| |||||||||||
Net increase in net assets derived from capital share transactions |
22,540,953 | 5,218,399 | 20,202,554 | |||||||||
|
|
|
|
|
|
|||||||
NET ASSETS |
| |||||||||||
Total increase in net assets |
22,971,373 | 4,281,818 | 20,320,609 | |||||||||
Beginning of period |
16,847,303 | 12,565,485 | — | |||||||||
|
|
|
|
|
|
|||||||
End of period |
$ | 39,818,676 | $ | 16,847,303 | $ | 20,320,609 | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
56 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Changes in Net Assets (continued)
iShares iBonds 2027 Term High Yield and Income ETF |
||||
Period From 07/07/21(a) to 10/31/21 |
||||
INCREASE (DECREASE) IN NET ASSETS |
| |||
OPERATIONS |
| |||
Net investment income |
$ | 124,912 | ||
Net realized gain |
119 | |||
Net change in unrealized appreciation (depreciation) |
(124,487 | ) | ||
|
|
|||
Net increase in net assets resulting from operations |
544 | |||
|
|
|||
DISTRIBUTIONS TO SHAREHOLDERS(b) |
| |||
Decrease in net assets resulting from distributions to shareholders |
(93,252 | ) | ||
|
|
|||
CAPITAL SHARE TRANSACTIONS |
| |||
Net increase in net assets derived from capital share transactions |
12,517,854 | |||
|
|
|||
NET ASSETS |
| |||
Total increase in net assets |
12,425,146 | |||
Beginning of period |
— | |||
|
|
|||
End of period |
$ | 12,425,146 | ||
|
|
(a) |
Commencement of operations. |
(b) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
57 |
(For a share outstanding throughout each period)
iShares iBonds 2021 Term High Yield and Income ETF |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 05/07/19(a) to 10/31/19 |
||||||||||
Net asset value, beginning of period |
$ | 24.16 | $ | 24.91 | $ | 25.00 | ||||||
|
|
|
|
|
|
|||||||
Net investment income(b) |
0.38 | 0.88 | 0.58 | |||||||||
Net realized and unrealized gain (loss)(c) |
0.08 | (0.67 | ) | (0.20 | ) | |||||||
|
|
|
|
|
|
|||||||
Net increase from investment operations |
0.46 | 0.21 | 0.38 | |||||||||
|
|
|
|
|
|
|||||||
Distributions(d) |
||||||||||||
From net investment income |
(0.48 | ) | (0.96 | ) | (0.47 | ) | ||||||
|
|
|
|
|
|
|||||||
Total distributions |
(0.48 | ) | (0.96 | ) | (0.47 | ) | ||||||
|
|
|
|
|
|
|||||||
Net asset value, end of period |
$ | 24.14 | $ | 24.16 | $ | 24.91 | ||||||
|
|
|
|
|
|
|||||||
Total Return(e) |
||||||||||||
Based on net asset value |
1.94 | % | 0.90 | % | 1.54 | %(f) | ||||||
|
|
|
|
|
|
|||||||
Ratios to Average Net Assets |
||||||||||||
Total expenses |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
0.33 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Net investment income |
1.58 | % | 3.66 | % | 4.76 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Supplemental Data |
||||||||||||
Net assets, end of period (000) |
$ | 38,620 | $ | 26,580 | $ | 12,454 | ||||||
|
|
|
|
|
|
|||||||
Portfolio turnover rate(h) |
1 | % | 50 | % | 17 | %(f) | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
58 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds 2022 Term High Yield and Income ETF |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 05/07/19(a) to 10/31/19 |
||||||||||
Net asset value, beginning of period |
$ | 23.78 | $ | 24.59 | $ | 25.00 | ||||||
|
|
|
|
|
|
|||||||
Net investment income(b) |
0.66 | 1.32 | 0.64 | |||||||||
Net realized and unrealized gain (loss)(c) |
0.57 | (0.83 | ) | (0.51 | ) | |||||||
|
|
|
|
|
|
|||||||
Net increase from investment operations |
1.23 | 0.49 | 0.13 | |||||||||
|
|
|
|
|
|
|||||||
Distributions(d) |
||||||||||||
From net investment income |
(0.84 | ) | (1.30 | ) | (0.54 | ) | ||||||
|
|
|
|
|
|
|||||||
Total distributions |
(0.84 | ) | (1.30 | ) | (0.54 | ) | ||||||
|
|
|
|
|
|
|||||||
Net asset value, end of period |
$ | 24.17 | $ | 23.78 | $ | 24.59 | ||||||
|
|
|
|
|
|
|||||||
Total Return(e) |
||||||||||||
Based on net asset value |
5.22 | % | 2.15 | % | 0.56 | %(f) | ||||||
|
|
|
|
|
|
|||||||
Ratios to Average Net Assets |
||||||||||||
Total expenses |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Net investment income |
2.72 | % | 5.61 | % | 5.34 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Supplemental Data |
||||||||||||
Net assets, end of period (000) |
$ | 70,085 | $ | 19,027 | $ | 9,838 | ||||||
|
|
|
|
|
|
|||||||
Portfolio turnover rate(h) |
33 | % | 68 | % | 14 | %(f) | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
F I N A N C I A L H I G H L I G H T S |
59 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds 2023 Term High Yield and Income ETF |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 05/07/19(a) to 10/31/19 |
||||||||||
Net asset value, beginning of period |
$ | 23.62 | $ | 24.73 | $ | 25.00 | ||||||
|
|
|
|
|
|
|||||||
Net investment income(b) |
1.08 | 1.33 | 0.69 | |||||||||
|
|
|
|
|
|
|||||||
Net realized and unrealized gain (loss)(c) |
1.04 | (1.08 | ) | (0.40 | ) | |||||||
|
|
|
|
|
|
|||||||
Net increase from investment operations |
2.12 | 0.25 | 0.29 | |||||||||
|
|
|
|
|
|
|||||||
Distributions(d) |
||||||||||||
From net investment income |
(1.17 | ) | (1.36 | ) | (0.56 | ) | ||||||
|
|
|
|
|
|
|||||||
Total distributions |
(1.17 | ) | (1.36 | ) | (0.56 | ) | ||||||
|
|
|
|
|
|
|||||||
Net asset value, end of period |
$ | 24.57 | $ | 23.62 | $ | 24.73 | ||||||
|
|
|
|
|
|
|||||||
Total Return(e) |
||||||||||||
Based on net asset value |
9.12 | % | 1.16 | % | 1.19 | %(f) | ||||||
|
|
|
|
|
|
|||||||
Ratios to Average Net Assets |
||||||||||||
Total expenses |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Net investment income |
4.40 | % | 5.67 | % | 5.73 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Supplemental Data |
||||||||||||
Net assets, end of period (000) |
$ | 83,546 | $ | 16,533 | $ | 12,364 | ||||||
|
|
|
|
|
|
|||||||
Portfolio turnover rate(h) |
46 | % | 51 | % | 9 | %(f) | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
60 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds 2024 Term High Yield and Income ETF |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 05/07/19(a) to 10/31/19 |
||||||||||
Net asset value, beginning of period |
$ | 23.38 | $ | 25.21 | $ | 25.00 | ||||||
|
|
|
|
|
|
|||||||
Net investment income(b) |
1.08 | 1.33 | 0.68 | |||||||||
Net realized and unrealized gain (loss)(c) |
1.33 | (1.79 | ) | 0.09 | ||||||||
|
|
|
|
|
|
|||||||
Net increase (decrease) from investment operations |
2.41 | (0.46 | ) | 0.77 | ||||||||
|
|
|
|
|
|
|||||||
Distributions(d) |
||||||||||||
From net investment income |
(1.16 | ) | (1.37 | ) | (0.56 | ) | ||||||
|
|
|
|
|
|
|||||||
Total distributions |
(1.16 | ) | (1.37 | ) | (0.56 | ) | ||||||
|
|
|
|
|
|
|||||||
Net asset value, end of period |
$ | 24.63 | $ | 23.38 | $ | 25.21 | ||||||
|
|
|
|
|
|
|||||||
Total Return(e) |
||||||||||||
Based on net asset value |
10.42 | % | (1.72 | )% | 3.08 | %(f) | ||||||
|
|
|
|
|
|
|||||||
Ratios to Average Net Assets |
||||||||||||
Total expenses |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
0.35 | % | 0.35 | % | 0.35 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Net investment income |
4.39 | % | 5.61 | % | 5.55 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Supplemental Data |
||||||||||||
Net assets, end of period (000) |
$ | 51,727 | $ | 9,354 | $ | 12,604 | ||||||
|
|
|
|
|
|
|||||||
Portfolio turnover rate(h) |
44 | % | 42 | % | 10 | %(f) | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
F I N A N C I A L H I G H L I G H T S |
61 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds 2025 Term High Yield and Income ETF |
Year Ended 10/31/21 |
Year Ended 10/31/20 |
Period From 05/07/19(a) to 10/31/19 |
||||||||||
Net asset value, beginning of period |
$ | 24.07 | $ | 25.13 | $ | 25.00 | ||||||
|
|
|
|
|
|
|||||||
Net investment income(b) |
1.14 | 1.37 | 0.71 | |||||||||
Net realized and unrealized gain (loss)(c) |
0.95 | (0.99 | ) | 0.00 | (d) | |||||||
|
|
|
|
|
|
|||||||
Net increase from investment operations |
2.09 | 0.38 | 0.71 | |||||||||
|
|
|
|
|
|
|||||||
Distributions(e) |
||||||||||||
From net investment income |
(1.27 | ) | (1.44 | ) | (0.58 | ) | ||||||
|
|
|
|
|
|
|||||||
Total distributions |
(1.27 | ) | (1.44 | ) | (0.58 | ) | ||||||
|
|
|
|
|
|
|||||||
Net asset value, end of period |
$ | 24.89 | $ | 24.07 | $ | 25.13 | ||||||
|
|
|
|
|
|
|||||||
Total Return(f) |
||||||||||||
Based on net asset value |
8.77 | % | 1.71 | % | 2.87 | %(g) | ||||||
|
|
|
|
|
|
|||||||
Ratios to Average Net Assets |
||||||||||||
Total expenses |
0.35 | % | 0.35 | % | 0.35 | %(h) | ||||||
|
|
|
|
|
|
|||||||
Total expenses after fees waived |
0.35 | % | 0.35 | % | 0.35 | %(h) | ||||||
|
|
|
|
|
|
|||||||
Net investment income |
4.58 | % | 5.73 | % | 5.84 | %(h) | ||||||
|
|
|
|
|
|
|||||||
Supplemental Data |
||||||||||||
Net assets, end of period (000) |
$ | 39,819 | $ | 16,847 | $ | 12,565 | ||||||
|
|
|
|
|
|
|||||||
Portfolio turnover rate(i) |
29 | % | 42 | % | 5 | %(g) | ||||||
|
|
|
|
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Rounds to less than $0.01. |
(e) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(f) |
Where applicable, assumes the reinvestment of distributions. |
(g) |
Not annualized. |
(h) |
Annualized. |
(i) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
62 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds 2026 Term High Yield and Income ETF |
||||
Period From 11/10/20(a) to 10/31/21 |
||||
Net asset value, beginning of period |
$ | 25.00 | ||
|
|
|||
Net investment income(b) |
1.06 | |||
Net realized and unrealized gain(c) |
0.37 | |||
|
|
|||
Net increase from investment operations |
1.43 | |||
|
|
|||
Distributions(d) |
||||
From net investment income |
(1.03 | ) | ||
|
|
|||
Total distributions |
(1.03 | ) | ||
|
|
|||
Net asset value, end of period |
$ | 25.40 | ||
|
|
|||
Total Return(e) |
||||
Based on net asset value |
5.79 | %(f) | ||
|
|
|||
Ratios to Average Net Assets |
||||
Total expenses |
0.35 | %(g) | ||
|
|
|||
Total expenses after fees waived |
0.35 | %(g) | ||
|
|
|||
Net investment income |
4.26 | %(g) | ||
|
|
|||
Supplemental Data |
||||
Net assets, end of period (000) |
$ | 20,321 | ||
|
|
|||
Portfolio turnover rate(h) |
35 | %(f) | ||
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amount reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
F I N A N C I A L H I G H L I G H T S |
63 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares iBonds
2027 Term |
||||
Period From 07/07/21(a) to 10/31/21 |
||||
Net asset value, beginning of period |
$ | 25.00 | ||
|
|
|||
Net investment income(b) |
0.25 | |||
Net realized and unrealized loss(c) |
(0.21 | ) | ||
|
|
|||
Net increase from investment operations |
0.04 | |||
|
|
|||
Distributions(d) |
||||
From net investment income |
(0.19 | ) | ||
|
|
|||
Total distributions |
(0.19 | ) | ||
|
|
|||
Net asset value, end of period |
$ | 24.85 | ||
|
|
|||
Total Return(e) |
||||
Based on net asset value |
0.15 | %(f) | ||
|
|
|||
Ratios to Average Net Assets |
||||
Total expenses |
0.35 | %(g) | ||
|
|
|||
Total expenses after fees waived |
0.35 | %(g) | ||
|
|
|||
Net investment income |
3.19 | %(g) | ||
|
|
|||
Supplemental Data |
||||
Net assets, end of period (000) |
$ | 12,425 | ||
|
|
|||
Portfolio turnover rate(h) |
3 | %(f) | ||
|
|
(a) |
Commencement of operations. |
(b) |
Based on average shares outstanding. |
(c) |
The amount reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(e) |
Where applicable, assumes the reinvestment of distributions. |
(f) |
Not annualized. |
(g) |
Annualized. |
(h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
64 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
1. ORGANIZATION
iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
iBonds 2021 Term High Yield and Income |
Non-diversified | |
iBonds 2022 Term High Yield and Income |
Non-diversified | |
iBonds 2023 Term High Yield and Income |
Non-diversified | |
iBonds 2024 Term High Yield and Income |
Non-diversified | |
iBonds 2025 Term High Yield and Income |
Non-diversified | |
iBonds 2026 Term High Yield and Income(a) |
Non-diversified | |
iBonds 2027 Term High Yield and Income(b) |
Non-diversified |
(a) |
The Fund commenced operations on November 10, 2020. |
(b) |
The Fund commenced operations on July 7, 2021. |
2. SIGNIFICANT ACCOUNTING POLICIES
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:
Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain. Interest income, including amortization and accretion of premiums and discounts on debt securities, and payment-in-kind interest are recognized daily on an accrual basis.
In-kind Redemptions: For financial reporting purposes, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or net asset value (“NAV”) per share.
Distributions: Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.
Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.
3. INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS
Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.
Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:
• |
Fixed-income investments for which market quotations are readily available are generally valued using the last available bid price or current market quotations provided by independent dealers or third-party pricing services. Pricing services generally value fixed income securities assuming orderly transactions of an institutional round lot size, but a fund may hold or transact in such securities in smaller, odd lot sizes. Odd lots may trade at lower prices than institutional round lots. |
N O T E S T O F I N A N C I A L S T A T E M E N T S |
65 |
Notes to Financial Statements (continued)
The pricing services may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data (e.g., recent representative bids and offers), market data, credit quality information, perceived market movements, news, and other relevant information. Certain fixed-income securities, including asset-backed and mortgage related securities may be valued based on valuation models that consider the estimated cash flows of each tranche of the entity, establish a benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique attributes of the tranche. The amortized cost method of valuation may be used with respect to debt obligations with sixty days or less remaining to maturity unless the Manager determines such method does not represent fair value.
• |
Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV. |
If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.
Fair value pricing could result in a difference between the prices used to calculate a fund’s NAV and the prices used by the fund’s underlying index, which in turn could result in a difference between the fund’s performance and the performance of the fund’s underlying index.
Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:
• |
Level 1 – Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access; |
• |
Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and |
• |
Level 3 – Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, (including the Global Valuation Committee’s assumptions used in determining the fair value of financial instruments). |
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.
4. SECURITIES AND OTHER INVESTMENTS
Securities Lending: Each Fund may lend its securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.
As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule of Investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.
Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and
66 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (continued)
the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.
As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:
iShares ETF and Counterparty | Market Value of Securities on Loan |
Cash Collateral Received(a) |
Non-Cash Collateral Received |
Net Amount | ||||||||||||
iBonds 2021 Term High Yield and Income |
||||||||||||||||
BMO Capital Markets Corp. |
$ | 100,389 | $ | 100,389 | $ | — | $ | — | ||||||||
Morgan Stanley |
694,893 | 694,893 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 795,282 | $ | 795,282 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2022 Term High Yield and Income |
||||||||||||||||
Barclays Capital, Inc |
$ | 1,113,959 | $ | 1,113,959 | $ | — | $ | — | ||||||||
BMO Capital Markets Corp. |
760,138 | 760,138 | — | — | ||||||||||||
BofA Securities, Inc |
69,524 | 69,524 | — | — | ||||||||||||
Citigroup Global Markets, Inc. |
152,055 | 152,055 | — | — | ||||||||||||
J.P. Morgan Securities LLC |
3,783,885 | 3,783,885 | — | — | ||||||||||||
Morgan Stanley |
34,014 | 34,014 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 5,913,575 | $ | 5,913,575 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2023 Term High Yield and Income |
||||||||||||||||
Barclays Capital, Inc |
$ | 278,024 | $ | 278,024 | $ | — | $ | — | ||||||||
BMO Capital Markets Corp. |
23,313 | 23,313 | — | — | ||||||||||||
BofA Securities, Inc |
222,522 | 222,522 | — | — | ||||||||||||
Citigroup Global Markets, Inc. |
283,321 | 283,321 | — | — | ||||||||||||
Credit Suisse Securities (USA) LLC |
383,461 | 383,461 | — | — | ||||||||||||
Goldman Sachs & Co. LLC |
1,835,896 | 1,835,896 | — | — | ||||||||||||
J.P. Morgan Securities LLC |
2,213,817 | 2,213,817 | — | — | ||||||||||||
Scotia Capital (USA), Inc. |
370,246 | 370,246 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 5,610,600 | $ | 5,610,600 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2024 Term High Yield and Income |
||||||||||||||||
Barclays Capital, Inc |
$ | 609,652 | $ | 609,652 | $ | — | $ | — | ||||||||
BNP Paribas SA |
244,427 | 244,427 | — | — | ||||||||||||
BofA Securities, Inc |
394,454 | 394,454 | — | — | ||||||||||||
Citigroup Global Markets, Inc. |
16,458 | 16,458 | — | — | ||||||||||||
Credit Suisse Securities (USA) LLC |
21,615 | 21,615 | — | — | ||||||||||||
Goldman Sachs & Co. LLC |
1,056,645 | 1,056,645 | — | — | ||||||||||||
J.P. Morgan Securities LLC |
752,938 | 752,938 | — | — | ||||||||||||
Jefferies LLC |
513,601 | 513,601 | — | — | ||||||||||||
Morgan Stanley |
189,737 | 189,737 | — | — | ||||||||||||
Scotia Capital (USA), Inc. |
190,430 | 190,430 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 3,989,957 | $ | 3,989,957 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2025 Term High Yield and Income |
||||||||||||||||
Barclays Capital, Inc |
$ | 512,506 | $ | 512,506 | $ | — | $ | — | ||||||||
BNP Paribas SA |
191,482 | 191,482 | — | — | ||||||||||||
BofA Securities, Inc |
23,430 | 23,430 | — | — | ||||||||||||
Citigroup Global Markets, Inc. |
744 | 744 | — | — | ||||||||||||
Credit Suisse Securities (USA) LLC |
89,035 | 89,035 | — | — | ||||||||||||
Goldman Sachs & Co. LLC |
1,220,014 | 1,220,014 | — | — | ||||||||||||
J.P. Morgan Securities LLC |
1,248,625 | 1,248,625 | — | — | ||||||||||||
Morgan Stanley |
149,191 | 149,191 | — | — | ||||||||||||
Scotia Capital (USA), Inc. |
152,354 | 152,354 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 3,587,381 | $ | 3,587,381 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
N O T E S T O F I N A N C I A L S T A T E M E N T S |
67 |
Notes to Financial Statements (continued)
iShares ETF and Counterparty | Market Value of Securities on Loan |
Cash Collateral Received(a) |
Non-Cash Collateral Received |
Net Amount | ||||||||||||
iBonds 2026 Term High Yield and Income |
||||||||||||||||
Barclays Bank PLC |
$ | 313,264 | $ | 313,264 | $ | — | $ | — | ||||||||
BMO Capital Markets Corp. |
6,186 | 6,186 | — | — | ||||||||||||
Citigroup Global Markets, Inc. |
44,702 | 44,702 | — | — | ||||||||||||
Credit Suisse Securities (USA) LLC |
55,831 | 55,831 | — | — | ||||||||||||
Goldman Sachs & Co. LLC |
981,444 | 981,444 | — | — | ||||||||||||
Morgan Stanley |
128,400 | 128,400 | — | — | ||||||||||||
Nomura Securities International, Inc. |
1,036 | 1,036 | — | — | ||||||||||||
RBC Capital Markets LLC |
233,600 | 233,600 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 1,764,463 | $ | 1,764,463 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2027 Term High Yield and Income |
||||||||||||||||
Barclays Bank PLC |
$ | 54,803 | $ | 54,803 | $ | — | $ | — | ||||||||
BofA Securities, Inc. |
222,619 | 222,619 | — | — | ||||||||||||
Credit Suisse Securities (USA) LLC |
26,207 | 26,207 | — | — | ||||||||||||
RBC Capital Markets LLC |
185,065 | 185,065 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 488,694 | $ | 488,694 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
(a) |
Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s statement of assets and liabilities. |
The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the market value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original cash collateral received. Such losses are borne entirely by each Fund.
5. INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES
Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent trustees).
For its investment advisory services to each Fund, BFA is entitled to an annual investment advisory fee of 0.35%, accrued daily and paid monthly by the Funds, based on the average daily net assets of each Fund.
Expense Waivers: A fund may incur its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). The total of the investment advisory fee and acquired fund fees and expenses, if any, is a fund’s total annual operating expenses. Total expenses as shown in the Statement of Operations does not include acquired fund fees and expenses.
BFA has contractually agreed to waive a portion of its investment advisory fee for each Fund through the termination date of such Fund, in an amount equal to acquired fund fees and expenses, if any, attributable to each Fund’s investments in other funds advised by BFA or its affiliates.
These amounts are included in investment advisory fees waived in the Statements of Operations. For the year ended October 31, 2021, the amounts waived in investment advisory fees pursuant to this arrangement were as follows:
iShares ETF | Amounts waived | |||
iBonds 2021 Term High Yield and Income |
$ | 6,191 | ||
iBonds 2022 Term High Yield and Income |
1,021 | |||
iBonds 2023 Term High Yield and Income |
706 | |||
iBonds 2024 Term High Yield and Income |
640 | |||
iBonds 2025 Term High Yield and Income |
375 | |||
iBonds 2026 Term High Yield and Income |
198 | |||
iBonds 2027 Term High Yield and Income |
20 |
Distributor: BlackRock Investments, LLC, an affiliate of BFA, is the distributor for each Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Funds.
Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational
68 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (continued)
costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. However, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04%. The SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.
Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.
Pursuant to the current securities lending agreement, each Fund retains 82% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act iShares exchange-traded funds (the “iShares ETF Complex”) in that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 85% of securities lending income (which excludes collateral investment fees) and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended October 31, 2021, the Funds paid BTC the following amounts for securities lending agent services:
iShares ETF | Fees Paid to BTC |
|||
iBonds 2021 Term High Yield and Income |
$ | 1,597 | ||
iBonds 2022 Term High Yield and Income |
4,316 | |||
iBonds 2023 Term High Yield and Income |
4,854 | |||
iBonds 2024 Term High Yield and Income |
4,028 | |||
iBonds 2025 Term High Yield and Income |
2,988 | |||
iBonds 2026 Term High Yield and Income |
1,090 | |||
iBonds 2027 Term High Yield and Income |
78 |
Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.
Each Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is shown as dividends – affiliated in the Statements of Operations.
A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.
6. PURCHASES AND SALES
For the year ended October 31, 2021, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:
iShares ETF | Purchases | Sales | ||||||
iBonds 2021 Term High Yield and Income |
$ | 102,166 | $ | 15,992,836 | ||||
iBonds 2022 Term High Yield and Income |
13,793,556 | 20,975,801 | ||||||
iBonds 2023 Term High Yield and Income |
21,111,441 | 21,276,300 | ||||||
iBonds 2024 Term High Yield and Income |
13,517,018 | 12,779,213 | ||||||
iBonds 2025 Term High Yield and Income |
7,774,708 | 7,731,005 | ||||||
iBonds 2026 Term High Yield and Income |
13,273,912 | 5,601,951 | ||||||
iBonds 2027 Term High Yield and Income |
7,734,056 | 261,686 |
N O T E S T O F I N A N C I A L S T A T E M E N T S |
69 |
Notes to Financial Statements (continued)
For the year ended October 31, 2021, in-kind transactions were as follows:
iShares ETF | In-kind Purchases |
In-kind Sales |
||||||
iBonds 2021 Term High Yield and Income |
$ | 16,617,119 | $ | 1,442,521 | ||||
iBonds 2022 Term High Yield and Income |
49,665,129 | — | ||||||
iBonds 2023 Term High Yield and Income |
64,687,945 | — | ||||||
iBonds 2024 Term High Yield and Income |
40,921,432 | — | ||||||
iBonds 2025 Term High Yield and Income |
22,073,081 | — | ||||||
iBonds 2026 Term High Yield and Income |
12,382,171 | — | ||||||
iBonds 2027 Term High Yield and Income |
4,889,497 | — |
7. INCOME TAX INFORMATION
Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.
Management has analyzed tax laws and regulations and their application to the Funds as of October 31, 2021, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of October 31, 2021, permanent differences attributable to realized gains (losses) from in-kind redemptions and distributions paid in excess of taxable income were reclassified to the following accounts:
iShares ETF | Paid-in Capital | Accumulated Earnings (Loss) |
||||||
iBonds 2021 Term High Yield and Income |
$ | (2,592 | ) | $ | 2,592 |
The tax character of distributions paid was as follows:
iShares ETF | Year Ended 10/31/21 |
Year Ended 10/31/20 |
||||||
iBonds 2021 Term High Yield and Income |
||||||||
Ordinary income |
$ | 702,434 | $ | 636,214 | ||||
|
|
|
|
|||||
iBonds 2022 Term High Yield and Income |
||||||||
Ordinary income |
$ | 1,338,242 | $ | 746,451 | ||||
|
|
|
|
|||||
iBonds 2023 Term High Yield and Income |
||||||||
Ordinary income |
$ | 1,956,106 | $ | 769,276 | ||||
|
|
|
|
|||||
iBonds 2024 Term High Yield and Income |
||||||||
Ordinary income |
$ | 1,275,100 | $ | 655,125 | ||||
|
|
|
|
|||||
iBonds 2025 Term High Yield and Income |
||||||||
Ordinary income |
$ | 1,311,182 | $ | 790,698 | ||||
|
|
|
|
|||||
iShares ETF | Period Ended 10/31/21 |
|||||||
iBonds 2026 Term High Yield and Income |
||||||||
Ordinary income |
$ | 663,103 | ||||||
|
|
|||||||
iBonds 2027 Term High Yield and Income |
||||||||
Ordinary income |
$ | 93,252 | ||||||
|
|
70 |
2 0 2 1 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (continued)
As of October 31, 2021, the tax components of accumulated net earnings (losses) were as follows:
iShares ETF | Undistributed Ordinary Income |
Non-expiring Capital Loss Carryforwards(a) |
Net Unrealized Gains (Losses)(b) |
Total | ||||||||||||
iBonds 2021 Term High Yield and Income |
$ | — | $ | (609,509 | ) | $ | (2,979 | ) | $ | (612,488 | ) | |||||
iBonds 2022 Term High Yield and Income |
102,897 | (264,550 | ) | 138,577 | (23,076 | ) | ||||||||||
iBonds 2023 Term High Yield and Income |
254,063 | (391,001 | ) | 337,531 | 200,593 | |||||||||||
iBonds 2024 Term High Yield and Income |
165,175 | (811,548 | ) | 530,062 | (116,311 | ) | ||||||||||
iBonds 2025 Term High Yield and Income |
147,075 | (835,333 | ) | 448,770 | (239,488 | ) | ||||||||||
iBonds 2026 Term High Yield and Income |
75,599 | (59,954 | ) | 102,410 | 118,055 | |||||||||||
iBonds 2027 Term High Yield and Income |
75,558 | (229 | ) | (168,037 | ) | (92,708 | ) |
(a) |
Amounts available to offset future realized capital gains. |
(b) |
The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales and amortization methods for premiums and discounts on fixed income securities. |
For the year ended October 31, 2021, the Funds listed below utilized the following amounts of their respective capital loss carryforwards:
iShares ETF | Utilized | |||
iBonds 2021 Term High Yield and Income |
$ | 42,890 | ||
iBonds 2022 Term High Yield and Income |
470,556 | |||
iBonds 2023 Term High Yield and Income |
515,271 | |||
iBonds 2024 Term High Yield and Income |
111,099 | |||
iBonds 2025 Term High Yield and Income |
102,951 |
As of October 31, 2021, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation |
Gross Unrealized Depreciation |
Net Unrealized Appreciation (Depreciation) |
||||||||||||
iBonds 2021 Term High Yield and Income |
$ | 39,094,009 | $ | 3,204 | $ | (6,183 | ) | $ | (2,979 | ) | ||||||
iBonds 2022 Term High Yield and Income |
77,621,993 | 223,478 | (84,901 | ) | 138,577 | |||||||||||
iBonds 2023 Term High Yield and Income |
92,248,252 | 872,280 | (534,749 | ) | 337,531 | |||||||||||
iBonds 2024 Term High Yield and Income |
55,448,273 | 687,261 | (157,199 | ) | 530,062 | |||||||||||
iBonds 2025 Term High Yield and Income |
43,281,775 | 608,803 | (160,033 | ) | 448,770 | |||||||||||
iBonds 2026 Term High Yield and Income |
22,240,831 | 226,253 | (123,843 | ) | 102,410 | |||||||||||
iBonds 2027 Term High Yield and Income |
13,088,037 | 53,673 | (221,710 | ) | (168,037 | ) |
8. PRINCIPAL RISKS
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
BFA uses a “passive” or index approach to try to achieve each Fund’s investment objective following the securities included in its underlying index during upturns as well as downturns. BFA does not take steps to reduce market exposure or to lessen the effects of a declining market. Divergence from the underlying index and the composition of the portfolio is monitored by BFA.
The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.
Market Risk: Each Fund may be exposed to prepayment risk, which is the risk that borrowers may exercise their option to prepay principal earlier than scheduled during periods of declining interest rates, which would force each Fund to reinvest in lower yielding securities. Each Fund may also be exposed to reinvestment risk, which is the risk that income from each Fund’s portfolio will decline if each Fund invests the proceeds from matured, traded or called fixed-income securities at market interest rates that are below each Fund portfolio’s current earnings rate.
An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future,
N O T E S T O F I N A N C I A L S T A T E M E N T S |
71 |
Notes to Financial Statements (continued)
could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. The duration of this pandemic and its effects cannot be determined with certainty.
Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.
Concentration Risk: A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within each Fund’s portfolio are disclosed in its Schedule of Investments.
The Funds invest a significant portion of their assets in high yield securities. High yield securities that are rated below investment-grade (commonly referred to as “junk bonds”) or are unrated may be deemed speculative, involve greater levels of risk than higher-rated securities of similar maturity and are more likely to default. High yield securities may be issued by less creditworthy issuers, and issuers of high yield securities may be unable to meet their interest or principal payment obligations. High yield securities are subject to extreme price fluctuations, may be less liquid than higher rated fixed-income securities, even under normal economic conditions, and frequently have redemption features.
The Funds invest a significant portion of their assets in fixed-income securities and/or use derivatives tied to the fixed-income markets. Changes in market interest rates or economic conditions may affect the value and/or liquidity of such investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will increase as interest rates fall and decrease as interest rates rise. The Funds may be subject to a greater risk of rising interest rates due to the current period of historically low rates.
LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates will be phased out by the end of 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against, instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.
9. CAPITAL SHARE TRANSACTIONS
Capital shares are issued and redeemed by each Fund only in aggregations of a specified number of shares or multiples thereof (“Creation Units”) at NAV. Except when aggregated in Creation Units, shares of each Fund are not redeemable.
Transactions in capital shares were as follows:
Year Ended 10/31/21 |
Year Ended 10/31/20 |
|||||||||||||||
iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||
iBonds 2021 Term High Yield and Income |
||||||||||||||||
Shares sold |
700,000 | $ | 16,946,243 | 800,000 | $ | 19,441,959 | ||||||||||
Shares redeemed |
(200,000 | ) | (4,830,874 | ) | (200,000 | ) | (4,664,296 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase |
500,000 | $ | 12,115,369 | 600,000 | $ | 14,777,663 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2022 Term High Yield and Income |
||||||||||||||||
Shares sold |
2,100,000 | $ | 50,744,075 | 700,000 | $ | 16,128,396 | ||||||||||
Shares redeemed |
— | — | (300,000 | ) | (6,748,976 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase |
2,100,000 | $ | 50,744,075 | 400,000 | $ | 9,379,420 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
iBonds 2023 Term High Yield and Income |
||||||||||||||||
Shares sold |
2,700,000 | $ | 66,191,647 | 400,000 | $ | 9,203,670 | ||||||||||
Shares redeemed |
— | — | (200,000 | ) | (4,444,071 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase |
2,700,000 | $ | 66,191,647 | 200,000 | $ | 4,759,599 | ||||||||||
|
|
|
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iBonds 2024 Term High Yield and Income |
||||||||||||||||
Shares sold |
1,700,000 | $ | 41,654,956 | 100,000 | $ | 2,303,087 | ||||||||||
Shares redeemed |
— | — | (200,000 | ) | (4,445,930 | ) | ||||||||||
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|
|
|
|
|
|
|
|||||||||
Net increase (decrease) |
1,700,000 | $ | 41,654,956 | (100,000 | ) | $ | (2,142,843 | ) | ||||||||
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Notes to Financial Statements (continued)
Year Ended 10/31/21 |
Year Ended 10/31/20 |
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iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||
iBonds 2025 Term High Yield and Income |
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Shares sold |
900,000 | $ | 22,540,953 | 900,000 | $ | 21,196,356 | ||||||||||
Shares redeemed |
— | — | (700,000 | ) | (15,977,957 | ) | ||||||||||
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|
|
|
|
|
|
|
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Net increase |
900,000 | $ | 22,540,953 | 200,000 | $ | 5,218,399 | ||||||||||
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Period
Ended 10/31/21 |
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iShares ETF | Shares | Amount | ||||||||||||||
iBonds 2026 Term High Yield and Income |
||||||||||||||||
Shares sold |
|
800,000 | $ | 20,202,554 | ||||||||||||
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iBonds 2027 Term High Yield and Income |
||||||||||||||||
Shares sold |
|
500,000 | $ | 12,517,854 | ||||||||||||
|
|
|
|
The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in shares sold in the table above.
From time to time, settlement of securities related to in-kind contributions or in-kind redemptions may be delayed. In such cases, securities related to in-kind transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.
10. SUBSEQUENT EVENTS
Management’s evaluation of the impact of all subsequent events on the Funds’ financial statements was completed through the date the financial statements were available to be issued and the following items were noted:
Planned Fund Liquidation: In accordance with its prospectus and its investment objective, the iShares iBonds 2021 Term High Yield and Income ETF ceased trading after the close of business on December 15, 2021, when all of the bonds included in the Fund’s underlying index matured. Proceeds of the liquidation are currently scheduled to be sent to shareholders on December 20, 2021.
N O T E S T O F I N A N C I A L S T A T E M E N T S |
73 |
Report of Independent Registered Public Accounting Firm |
To the Board of Trustees of iShares Trust and Shareholders of iShares iBonds 2021 Term High Yield and Income ETF, iShares iBonds 2022 Term High Yield and Income ETF, iShares iBonds 2023 Term High Yield and Income ETF, iShares iBonds 2024 Term High Yield and Income ETF, iShares iBonds 2025 Term High Yield and Income ETF, iShares iBonds 2026 Term High Yield and Income ETF and iShares iBonds 2027 Term High Yield and Income ETF
Opinions on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares iBonds 2021 Term High Yield and Income ETF, iShares iBonds 2022 Term High Yield and Income ETF, iShares iBonds 2023 Term High Yield and Income ETF, iShares iBonds 2024 Term High Yield and Income ETF, and iShares iBonds 2025 Term High Yield and Income ETF, iShares iBonds 2026 Term High Yield and Income ETF and iShares iBonds 2027 Term High Yield and Income ETF (seven of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of October 31, 2021, the related statements of operations and of changes in net assets for each of the periods indicated in the table below, including the related notes, and the financial highlights for each of the periods indicated therein (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of October 31, 2021, the results of each of their operations and the changes in each of their net assets for the periods indicated in the table below, and each of the financial highlights for each of the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America.
iShares iBonds 2021 Term High Yield and Income ETF, iShares iBonds 2022 Term High Yield and Income ETF, iShares iBonds 2023 Term High Yield and Income ETF, iShares iBonds 2024 Term High Yield and Income ETF, and iShares iBonds 2025 Term High Yield and Income ETF: statements of operations for the year ended October 31, 2021 and statements of changes in net assets for each of the two years in the period ended October 31, 2021.
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iShares iBonds 2026 Term High Yield and Income ETF: statements of operations and changes in net assets for the period November 10, 2020 (commencement of operations) to October 31, 2021.
|
iShares iBonds 2027 Term High Yield and Income ETF: statements of operations and changes in net assets for the period July 7, 2021 (commencement of operations) to October 31, 2021.
|
Basis for Opinions
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of October 31, 2021 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.
/s/PricewaterhouseCoopers LLP
Philadelphia, Pennsylvania
December 21, 2021
We have served as the auditor of one or more BlackRock investment companies since 2000.
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Important Tax Information (unaudited) |
The Funds hereby designate the following amounts, or maximum amounts allowable by law, as interest income eligible to be treated as a Section 163(j) interest dividend for the fiscal year ended October 31, 2021:
iShares ETF | Interest Dividends | |||
iBonds 2021 Term High Yield and Income |
$ 626,663 | |||
iBonds 2022 Term High Yield and Income |
1,343,915 | |||
iBonds 2023 Term High Yield and Income |
2,127,237 | |||
iBonds 2024 Term High Yield and Income |
1,379,333 | |||
iBonds 2025 Term High Yield and Income |
1,363,615 | |||
iBonds 2026 Term High Yield and Income |
735,309 | |||
iBonds 2027 Term High Yield and Income |
168,500 |
The Funds hereby designate the following amounts, or maximum amounts allowable by law, as interest-related dividends eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations for the fiscal year ended October 31, 2021:
iShares ETF | Interest-Related Dividends |
|||
iBonds 2021 Term High Yield and Income |
$ 430,794 | |||
iBonds 2022 Term High Yield and Income |
1,033,223 | |||
iBonds 2023 Term High Yield and Income |
1,836,543 | |||
iBonds 2024 Term High Yield and Income |
1,096,485 | |||
iBonds 2025 Term High Yield and Income |
1,219,086 | |||
iBonds 2026 Term High Yield and Income |
633,007 | |||
iBonds 2027 Term High Yield and Income |
139,619 |
I M P O R T A N T T A X I N F O R M A T I O N |
75 |
Board Review and Approval of Investment Advisory Contract
iShares iBonds 2021 Term High Yield and Income ETF, iShares iBonds 2022 Term High Yield and Income ETF, iShares iBonds 2023 Term High Yield and Income ETF, iShares iBonds 2024 Term High Yield and Income ETF, iShares iBonds 2025 Term High Yield and Income ETF, iShares iBonds 2026 Term High Yield and Income ETF (each the “Fund”)
Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Board Members who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Board Members), is required annually to consider and approve the Investment Advisory Agreement between the Trust and BFA (the “Advisory Agreement”) whereby the Board and its committees (composed solely of Independent Board Members) assess BlackRock’s services to the Fund, including investment management; fund accounting; administrative and shareholder services; oversight of the Fund’s service providers; risk management and oversight; legal and compliance services; and ability to meet applicable legal and regulatory requirements. The Independent Board Members requested, and BFA provided, such information as the Independent Board Members, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Agreement. At meetings on May 7, 2021 and May 14, 2021, a committee composed of all of the Independent Board Members (the “15(c) Committee”), with independent counsel, met with management and reviewed and discussed information provided in response to initial requests of the 15(c) Committee and/or its independent counsel, and requested certain additional information, which management agreed to provide. At a meeting held on June 15-16, 2021, the Board, including the Independent Board Members, reviewed the additional information provided by management in response to these requests.
After extensive discussions and deliberations, the Board, including all of the Independent Board Members, approved the continuance of the Advisory Agreement for the Fund, based on a review of qualitative and quantitative information provided by BFA and their cumulative experience as Board Members. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Independent Board Members were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the continuance of the Advisory Agreement for the Fund, the Board, including the Independent Board Members, considered various factors, including: (i) the expenses and performance of the Fund; (ii) the nature, extent and quality of the services provided by BFA; (iii) the costs of services provided to the Fund and profits realized by BFA and its affiliates; (iv) potential economies of scale and the sharing of related benefits; (v) the fees and services provided for other comparable funds/accounts managed by BFA and its affiliates; and (vi) other benefits to BFA and/or its affiliates. The material factors, none of which was controlling, and conclusions that formed the basis for the Board, including the Independent Board Members, to approve the continuance of the Advisory Agreement are discussed below.
Expenses and Performance of the Fund: The Board reviewed statistical information prepared by Broadridge Financial Solutions Inc. (“Broadridge”), an independent provider of investment company data, regarding the expense ratio components, including gross and net total expenses, fees and expenses of another fund in which the Fund invests (if applicable), and waivers/reimbursements (if applicable) of the Fund in comparison with the same information for other ETFs (including, where applicable, funds sponsored by an “at cost” service provider), objectively selected by Broadridge as comprising the Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of the proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board noted that, due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances. The Board also noted that overall fund expenses (net of waivers and reimbursements) for the Fund were lower than the median of the overall fund expenses (net of waivers and reimbursements ) of the funds in its Peer Group, excluding iShares funds.
In addition, to the extent that any of the comparison funds included in the Peer Group, excluding iShares funds, track the same index as the Fund, Broadridge also provided, and the Board reviewed, a comparison of the Fund’s performance for the one-year, three-year, five-year, ten-year, and since inception periods, as applicable, and for the quarter ended December 31, 2020, to that of relevant comparison fund(s) for the same periods. The Board noted that the Fund seeks to track its specified underlying index and that, during the year, the Board received periodic reports on the Fund’s short- and longer-term performance in comparison with its underlying index. Such periodic comparative performance information, including additional detailed information as requested by the Board, was also considered. The Board noted that the Fund generally performed in line with its underlying index over the relevant periods.
Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Nature, Extent and Quality of Services Provided: Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, technology, portfolio management, product design and quality, compliance and risk management, global public policy and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Agreement for the coming year as compared with the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to support the iShares funds and their shareholders and have made significant investments into the iShares business. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made relevant officers and other employees of BFA (and its affiliates) available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies, which were provided at the May 7, 2021 meeting and throughout the year.
Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided to the Fund under the Advisory Agreement supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates: The Board reviewed information about the estimated profitability to BlackRock in managing the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Agreement), and other sources of revenue and expense to BFA
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Board Review and Approval of Investment Advisory Contract (continued)
and its affiliates from the Fund’s operations for the last calendar year. The Board reviewed BlackRock’s methodology for calculating estimated profitability of the iShares funds, noting that the 15(c) Committee and the Board had focused on the methodology and profitability presentation. The Board recognized that profitability may be affected by numerous factors, including, among other things, fee waivers by BFA, the types of funds managed, expense allocations and business mix. The Board thus recognized that calculating and comparing profitability at individual fund levels is challenging. The Board discussed with management the sources of direct and ancillary revenue, including the revenues to BTC, a BlackRock affiliate, from securities lending by the Fund. The Board also discussed BFA’s estimated profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below).
Based on this review, the Board concluded that the profits realized by BFA and its affiliates under the Advisory Agreement and from other relationships between the Fund and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors and other information considered.
Economies of Scale: The Board reviewed information and considered the extent to which economies of scale might be realized as the assets of the Fund increase, noting that the issue of potential economies of scale had been focused on by the 15(c) Committee and the Board during their meetings and addressed by management. The 15(c) Committee and the Board received information regarding BlackRock’s historical estimated profitability, including BFA’s and its affiliates’ estimated costs in providing services. The estimated cost information distinguished, among other things, between fixed and variable costs, and showed how the level and nature of fixed and variable costs may impact the existence or size of scale benefits, with the Board recognizing that potential economies of scale are difficult to measure. The 15(c) Committee and the Board reviewed information provided by BFA regarding the sharing of scale benefits with the iShares funds through various means, including, as applicable, through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board noted that the Advisory Agreement for the Fund did not provide for breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that it would continue to assess the appropriateness of adding breakpoints in the future.
The Board concluded that this review of potential economies of scale and the sharing of related benefits, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates: The Board considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (collectively, the “Other Accounts”). The Board acknowledged BFA’s representation that the iShares funds are fundamentally different investment vehicles from the Other Accounts.
The Board received detailed information regarding how the Other Accounts generally differ from the Fund, including in terms of the types of services and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded investment vehicle, as compared to the Other Accounts, particularly those that are institutional clients, in light of differing regulatory requirements and client-imposed mandates. The Board noted that BFA and its affiliates do not manage Other Accounts with substantially the same investment objective and strategy as the Fund and that track the same index as the Fund. The Board also acknowledged management’s assertion that, for certain iShares funds, and for client segmentation purposes, BlackRock has launched an iShares fund that may provide a similar investment exposure at a lower investment advisory fee rate.
The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund’s expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Agreement for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.
Other Benefits to BFA and/or its Affiliates: The Board reviewed other benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, both direct and indirect, including, but not limited to, payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s estimated profitability methodology), payment of advisory fees or other fees to BFA (or its affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services or other services, and BlackRock’s profile in the investment community. The Board also noted the revenue received by BFA and/or its affiliates pursuant to (i) an agreement that permits a service provider to use certain portions of BlackRock’s technology platform to service accounts managed by BFA and/or its affiliates, including the iShares funds and (ii) other technology-related initiatives aimed to better support the iShares funds. The Board further noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Agreement for the coming year.
Conclusion: Based on a review of the factors described above, as well as such other factors as deemed appropriate by the Board, the Board, including all of the Independent Board Members, determined that the Fund’s investment advisory fee rate under the Advisory Agreement does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded to approve the continuance of the Advisory Agreement for the coming year.
iShares iBonds 2027 Term High Yield and Income ETF(the “Fund”)
Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Board Members”), is required to consider and approve the proposed Investment
B O A R D R E V I E W A N D A P P R O V A L O F I N V E S T M E N T A D V I S O R Y C O N T R A C T |
77 |
Board Review and Approval of Investment Advisory Contract (continued)
Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Board Members, with advice from independent counsel, deemed reasonably necessary to evaluate the terms of the proposed Advisory Contract. At a meeting held on March 30-31, 2021, the Board, including the Independent Board Members, approved the selection of BFA as investment adviser and approved the proposed Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA. The Board also considered information previously provided by BFA, BlackRock Institutional Trust Company, N.A. (“BTC”), and BlackRock, Inc. (“BlackRock”), as applicable, at prior Board meetings. The Independent Board Members were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Board Members, considered various factors, including: (i) the expenses of the Fund; (ii) the nature, extent and quality of the services to be provided by BFA; (iii) the costs of services to be provided to the Fund and the availability of information related to profits to be realized by BFA and its affiliates; (iv) potential economies of scale and the sharing of related benefits; (v) the fees and services provided for other comparable funds/accounts managed by BFA and its affiliates; and (vi) other benefits to BFA and/or its affiliates. The material factors, no one of which was controlling, and conclusions that formed the basis for the Board, including the Independent Board Members, to approve the Advisory Contract are discussed below.
Expenses of the Fund: The Board reviewed statistical information prepared by Broadridge Financial Solutions Inc. (“Broadridge”), an independent provider of investment company data, regarding the expense ratio components of the Fund in comparison with the same information for other ETFs, objectively selected by Broadridge as comprising the Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of the proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board further noted that due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances.
The Board also noted that the overall fund expenses (net of any waivers and reimbursements) for the Fund were lower than the median of the overall fund expenses (net of any waivers and reimbursements) of the funds in its Peer Group, excluding iShares funds.
Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level of the Fund supported the Board’s approval of the Advisory Contract.
Nature, Extent and Quality of Services: The Board reviewed the scope of services to be provided by BFA under the Advisory Contract. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time and have made significant investments into the iShares business to support the iShares funds and their shareholders. The Board considered representations by BFA, BTC, and BlackRock that the scope and quality of services to be provided to the Fund would be similar to the scope and quality of services provided to other iShares funds. The Board also considered BFA’s compliance program and its compliance record with respect to other iShares funds. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and relevant, and has provided information and made appropriate officers and other employees of BFA (and its affiliates) available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons who will be responsible for the day-to-day management of the Fund, as well as the resources that will be available to them in managing the Fund. The Board also considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies, which were provided throughout the year with respect to other iShares funds.
Based on review of this information, the Board concluded that the nature, extent and quality of services to be provided to the Fund under the Advisory Contract supported the Board’s approval of the Advisory Contract.
Costs of Services to be Provided to the Fund and Profits to be Realized by BFA and Affiliates: The Board did not consider the profitability of the Fund to BFA based on the fees payable under the Advisory Contract or revenue to be received by BFA or its affiliates in connection with services to be provided to the Fund since the proposed relationship had not yet commenced. The Board noted that it expects to receive profitability information from BFA periodically following the Fund’s launch and will thus be in a position to evaluate whether any new or additional breakpoints or other adjustments in Fund fees would be appropriate.
Economies of Scale: The Board considered information that it had previously received regarding economies of scale, efficiencies and scale benefits shared with the iShares funds through relatively low fee rates established at inception, breakpoints and waivers or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board noted that the Advisory Contract for the Fund did not provide for any breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that it would continue to assess the appropriateness of adding breakpoints in the future.
This consideration of potential economies of scale and the sharing of related benefits, as well as the other factors considered at the meeting, supported the Board’s approval of the Advisory Contract.
Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates: The Board considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (collectively, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do not manage Other Accounts with substantially the same investment objective and strategy as the Fund and that track the same index as the Fund. The Board further noted that BFA previously provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the iShares funds, including in terms of the different and generally more extensive services provided to the iShares funds, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded investment vehicle, as compared to the Other
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Board Review and Approval of Investment Advisory Contract (continued)
Accounts, particularly those that are institutional clients, in light of differing regulatory requirements and client-imposed mandates. The Board considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund’s expenses borne by BFA under this arrangement.
Other Benefits to BFA and/or its Affiliates: Except as noted below, the Board did not consider the “fallout” benefits or ancillary revenue to be received by BFA and/or its affiliates in connection with the services to be provided to the Fund by BFA since the proposed relationship had not yet commenced. However, the Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board considered the potential payment of advisory fees and/or administration fees to BFA (or its affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board also noted the potential revenue to be received by BFA and/or its affiliates pursuant to an agreement that would permit a service provider to use certain portions of BlackRock’s technology platform to service accounts managed by BFA and/or its affiliates, including the iShares funds. The Board also considered the potential for revenue to BTC, the Fund’s securities lending agent, and its affiliates in the event of any loaning of portfolio securities of the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates (including associated commissions), will be reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the Advisory Contract.
Conclusion: Based on a review of the factors described above, as well as such other factors as deemed appropriate by the Board, the Board, including all of the Independent Board Members, determined that the Fund investment advisory fee rate under the Advisory Contract does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services to be rendered and that could not have been the product of arm’s-length bargaining, and concluded to approve the Advisory Contract.
B O A R D R E V I E W A N D A P P R O V A L O F I N V E S T M E N T A D V I S O R Y C O N T R A C T |
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Supplemental Information (unaudited)
Section 19(a) Notices
The amounts and sources of distributions reported are estimates and are being provided pursuant to regulatory requirements and are not being provided for tax reporting purposes. The actual amounts and sources for tax reporting purposes will depend upon each Fund’s investment experience during the year and may be subject to changes based on tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.
October 31, 2021
Total Cumulative
Distributions for the Fiscal Year |
% Breakdown of the Total
Cumulative Distributions for the Fiscal Year |
|||||||||||||||||||||||||||||||
iShares ETF | Net Investment Income |
Net Realized Capital Gains |
Return of Capital |
Total Per Share |
Net Investment Income |
Net Realized Capital Gains |
Return of Capital |
Total Per Share |
||||||||||||||||||||||||
iBonds 2021 Term High Yield and Income |
$ | 0.483961 | $ | — | $ | — | $ | 0.483961 | 100 | % | — | % | — | % | 100 | % | ||||||||||||||||
iBonds 2022 Term High Yield and Income(a) |
0.833503 | — | 0.001648 | 0.835151 | 100 | — | 0 | (b) | 100 | |||||||||||||||||||||||
iBonds 2023 Term High Yield and Income(a) |
1.167029 | — | 0.000973 | 1.168002 | 100 | — | 0 | (b) | 100 | |||||||||||||||||||||||
iBonds 2024 Term High Yield and Income(a) |
1.156861 | — | 0.000744 | 1.157605 | 100 | — | 0 | (b) | 100 | |||||||||||||||||||||||
iBonds 2025 Term High Yield and Income(a) |
1.259661 | — | 0.006628 | 1.266289 | 99 | — | 1 | 100 | ||||||||||||||||||||||||
iBonds 2026 Term High Yield and Income |
1.029259 | — | — | 1.029259 | 100 | — | — | 100 |
(a) |
The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share. |
(b) |
Rounds to less than 1%. |
Premium/Discount Information
Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.
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Trustee and Officer Information
The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).
The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 375 funds as of October 31, 2021. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated Cecilia H. Herbert as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).
Interested Trustees | ||||||
Name (Age) | Position(s) |
Principal Occupation(s) During the Past 5 Years |
Other Directorships Held by Trustee | |||
Robert S. Kapito(a) (64) |
Trustee (since 2009). | President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002). | Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011). | |||
Salim Ramji(b) (51) |
Trustee (since 2019). | Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014). | Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019). | |||
(a) Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates. | ||||||
(b) Salim Ramji is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates. |
Independent Trustees | ||||||
Name (Age) | Position(s) |
Principal Occupation(s) During the Past 5 Years |
Other Directorships Held by Trustee | |||
Cecilia H. Herbert (72) |
Trustee (since 2005); Independent Board Chair (since 2016). | Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020). | Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2016); Trustee of Thrivent Church Loan and Income Fund (since 2019). | |||
Jane D. Carlin (65) |
Trustee (since 2015); Risk Committee Chair (since 2016). | Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012). | Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016). | |||
Richard L. Fagnani (66) |
Trustee (since 2017); Audit Committee Chair (since 2019). | Partner, KPMG LLP (2002-2016). | Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017). |
T R U S T E E A N D O F F I C E R I N F O R M A T I O N |
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Trustee and Officer Information (continued)
Independent Trustees (continued) | ||||||
Name (Age) | Position(s) |
Principal Occupation(s) During the Past 5 Years |
Other Directorships Held by Trustee | |||
John E. Kerrigan (66) |
Trustee (since 2005); Nominating and Governance and Equity Plus Committee Chairs (since 2019). | Chief Investment Officer, Santa Clara University (since 2002). | Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011). | |||
Drew E. Lawton (62) |
Trustee (since 2017); 15(c) Committee Chair (since 2017). | Senior Managing Director of New York Life Insurance Company (2010-2015). | Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017). | |||
John E. Martinez (60) |
Trustee (since 2003); Securities Lending Committee Chair (since 2019). | Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016). | Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011). | |||
Madhav V. Rajan (57) |
Trustee (since 2011); Fixed Income Plus Committee Chair (since 2019). | Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016). | Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011). | |||
Officers | ||||||
Name (Age) | Position(s) |
Principal Occupation(s) During the Past 5 Years |
||||
Armando Senra (50) |
President (since 2019). | Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006). | ||||
Trent Walker (47) |
Treasurer and Chief Financial Officer (since 2020). | Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) 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. | ||||
Charles Park (54) |
Chief Compliance Officer (since 2006). | Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006). | ||||
Deepa Damre Smith (46) |
Secretary (since 2019). | Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013). | ||||
Scott Radell (52) |
Executive Vice President (since 2012). | Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009). | ||||
Alan Mason (60) |
Executive Vice President (since 2016). | Managing Director, BlackRock, Inc. (since 2009). | ||||
Marybeth Leithead (58) |
Executive Vice President (since 2019). | Managing Director, BlackRock, Inc. (since 2017); Chief Operating Officer of Americas iShares (since 2017); Portfolio Manager, Municipal Institutional & Wealth Management (2009-2016). |
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Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• |
Go to icsdelivery.com. |
• |
If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents and Rule 30e-3 notices can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at iShares.com; and (3) on the SEC website at sec.gov.
A description of the Company’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.
G E N E R A L I N F O R M A T I O N |
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Glossary of Terms Used in this Report
Portfolio Abbreviations - Fixed Income | ||
PIK | Payment-in-kind | |
REIT | Real Estate Investment Trust |
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Want to know more?
iShares.com | 1-800-474-2737
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by Bloomberg Index Services Limited, nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
©2021 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-AR-1023-1021
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