iShares Trust


		FEBRUARY 28, 2023

2023 Semi-Annual Report

(Unaudited)

iShares Trust

iShares Currency Hedged MSCI Canada ETF | HEWC | NYSE Arca

iShares Currency Hedged MSCI Eurozone ETF | HEZU | NYSE Arca

iShares Currency Hedged MSCI Germany ETF | HEWG | NASDAQ

iShares Currency Hedged MSCI Japan ETF | HEWJ | NYSE Arca

The Markets in Review

Dear Shareholder,

Significant economic headwinds emerged during the 12-month reporting period ended February 28, 2023, as investors navigated changing economic conditions and volatile markets. The U.S. economy shrank in the first half of 2022 before returning to modest growth in the second half of the year, marking a shift to a more challenging post-reopening economic environment. Changes in consumer spending patterns and a tight labor market led to elevated inflation, which reached a 40-year high before beginning to moderate. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the ongoing war continued to present challenges for both investors and policymakers.

Equity prices fell as interest rates rose, particularly during the first half of the reporting period. Both large- and small-capitalization U.S. stocks fell, although equities began to recover in the second half of the period as inflation eased and economic growth resumed. Emerging market stocks and international equities from developed markets declined overall, pressured by rising interest rates and a strong U.S. dollar.

The 10-year U.S. Treasury yield rose notably during the reporting period, driving its price down, as investors reacted to fluctuating inflation data and attempted to anticipate its impact on future interest rate changes. The corporate bond market also faced inflationary headwinds, and higher interest rates led to rising borrowing costs for corporate issuers.

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation has been more persistent than expected, raised interest rates eight times. Furthermore, the Fed wound down its bond-buying programs and accelerated the reduction of its balance sheet.

Restricted labor supply kept inflation elevated even as other inflation drivers, such as goods prices and energy costs, moderated. While economic growth slowed in the last year, we believe that taming inflation requires a more substantial decline that lowers demand to a level more in line with the economy’s productive capacity. Although the Fed has decelerated the pace of interest rate hikes, it still seems determined to get inflation back to target. With this in mind, we believe the possibility of a U.S. recession in the near-term is high, but the dimming economic outlook has not yet been fully reflected in current market prices. We believe investors should expect a period of higher volatility as markets adjust to the new economic reality and policymakers attempt to adapt to rapidly changing conditions. Turmoil in the banking sector shortly following the end of the period highlighted the potential for the knock-on effects of substantially higher interest rates to disrupt markets with little warning.

While we favor an overweight to equities in the long term, several factors lead us to take an underweight stance on equities overall in the near term. Expectations for corporate earnings remain elevated, which seems inconsistent with the possibility of a recession in a business environment characterized by higher costs and reduced pricing power. Nevertheless, we are overweight on emerging market stocks as a weaker U.S. dollar provides a supportive backdrop. We also see long-term opportunities in credit, where valuations are appealing and higher yields provide attractive income, although we are neutral on credit in the near term, as we believe that troubles in the banking sector will likely lead to reduced lending. However, we believe there are still some strong opportunities for a six- to twelve-month horizon, particularly short-term U.S. Treasuries, global inflation-linked bonds, and emerging market bonds denominated in local currency.

Overall, our view is that investors need to think globally, position themselves to be prepared for a decarbonizing economy, 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.

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.


Total Returns as of February 28, 2023

	6-Month		12-Month

U.S. large cap equities (S&P 500^® Index)		1.26%		(7.69)%

U.S. small cap equities (Russell 2000^® Index)		3.63		(6.02)

International equities (MSCI Europe, Australasia, Far East Index)		12.58		(3.14)

Emerging market equities (MSCI Emerging Markets Index)		(2.29)		(15.28)

3-month Treasury bills (ICE BofA 3-Month U.S. Treasury Bill Index)		1.74		2.11

U.S. Treasury securities (ICE BofA 10-Year U.S. Treasury Index)		(4.81)		(14.06)

U.S. investment grade bonds (Bloomberg U.S. Aggregate Bond Index)		(2.13)		(9.72)

Tax-exempt municipal bonds (Bloomberg Municipal Bond Index)		0.66		(5.10)

U.S. high yield bonds (Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)		2.52		(5.45)

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

Table of Contents


	Page

The Markets in Review		2
Semi-Annual Report:
Fund Summary		4
About Fund Performance		8
Disclosure of Expenses		8
Schedules of Investments		9
Financial Statements
Statements of Assets and Liabilities		22
Statements of Operations		23
Statements of Changes in Net Assets		24
Financial Highlights		26
Notes to Financial Statements		30
Statement Regarding Liquidity Risk Management Program		38
Supplemental Information		39
General Information		40
Glossary of Terms Used in this Report		41


Fund Summary as of February 28, 2023		iShares^® Currency Hedged MSCI Canada ETF

Investment Objective

The iShares Currency Hedged MSCI Canada ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization Canadian equities while mitigating exposure to fluctuations between the value of the Canadian dollar and the U.S. dollar, as represented by the MSCI Canada 100% Hedged to USD Index (the “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. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares MSCI Canada ETF.

Performance


			Average Annual Total Returns							Cumulative Total Returns

	6-Month Total Returns			1 Year		5 Years		Since Inception			1 Year		5 Years		Since Inception
Fund NAV	7.26	%		(0.93	)%	8.94	%	7.61	%		(0.93	)%	53.45	%	75.52	%
Fund Market	7.20			(0.96	)	8.96		7.61			(0.96	)	53.60		75.55
Index	7.06			(0.94	)	8.84		7.62			(0.94	)	52.71		75.60

The inception date of the Fund was June 29, 2015. The first day of secondary market trading was July 1, 2015.

Past performance is not an indication 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” for more information.

Expense Example


Actual							Hypothetical 5% Return


	Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)		Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)	Annualized Expense Ratio

$	1,000.00	$	1,072.60	$	0.15		$	1,000.00	$	1,024.60	$	0.15		0.03	%

^(a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). 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 “Disclosure of Expenses” for more information. The fees and expenses of the underlying funds in which the Fund invests are not included in the Fund’s annualized expense ratio.

Portfolio Information

PORTFOLIO COMPOSITION



Investment Type	Percent of Net Assets
Investment Companies	99.7	%
Short-term Investments	44.3
Forward foreign currency exchange contracts, net cumulative appreciation	2.2
Other assets less liabilities	(46.2	)

SECTOR ALLOCATION (of the UNDERLYING FUND)


Sector	Percent of Total Investment^(a)
Financials		37.4	%
Energy		18.0
Industrials		11.9
Materials		10.9
Information Technology		6.8
Consumer Staples		4.7
Consumer Discretionary		3.7
Utilities		3.4
Communication Services		2.6
Real Estate		0.6

^(a)

Excludes money market funds.


4		2023 I S H A R E S S E M I - 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 February 28, 2023		iShares^® Currency Hedged MSCI Eurozone ETF

Investment Objective

The iShares Currency Hedged MSCI Eurozone ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization equities from developed market countries which use the euro as their official currency while mitigating exposure to fluctuations between the value of the euro and the U.S. dollar, as represented by the MSCI EMU 100% Hedged to USD Index (the “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. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares MSCI Eurozone ETF.

Performance


			Average Annual Total Returns							Cumulative Total Returns

	6-Month Total Returns			1 Year		5 Years		Since Inception			1 Year		5 Years		Since Inception
Fund NAV	19.99	%		11.80	%	8.06	%	7.74	%		11.80	%	47.35	%	90.48	%
Fund Market	20.00			11.80		8.08		7.74			11.80		47.47		90.43
Index	19.98			10.12		7.88		7.91			10.12		46.15		93.01

The inception date of the Fund was July 9, 2014. The first day of secondary market trading was July 10, 2014.

Expense Example


Actual							Hypothetical 5% Return


	Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)		Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)	Annualized Expense Ratio

$	1,000.00	$	1,199.90	$	0.16		$	1,000.00	$	1,024.60	$	0.15		0.03	%

^(a)

Portfolio Information

PORTFOLIO COMPOSITION



Investment Type	Percent of Net Assets
Investment Companies	99.6	%
Short-term Investments	0.1
Forward foreign currency exchange contracts, net cumulative appreciation	2.7
Other assets less liabilities	(2.4	)

SECTOR ALLOCATION (of the UNDERLYING FUND)


Sector	Percent of Total Investment^(a)
Financials		17.1	%
Consumer Discretionary		16.0
Industrials		15.9
Information Technology		12.7
Consumer Staples		7.9
Health Care		7.8
Materials		6.3
Utilities		5.9
Energy		5.0
Communication Services		4.4
Real Estate		1.0

^(a)

Excludes money market funds.


F U N D S U M M A R Y		5


Fund Summary as of February 28, 2023		iShares^® Currency Hedged MSCI Germany ETF

Investment Objective

The iShares Currency Hedged MSCI Germany ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization German equities while mitigating exposure to fluctuations between the value of the euro and the U.S. dollar, as represented by the MSCI Germany 100% Hedged to USD Index (the “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. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares MSCI Germany ETF.

Performance


			Average Annual Total Returns							Cumulative Total Returns

	6-Month Total Returns			1 Year		5 Years		Since Inception			1 Year		5 Years		Since Inception
Fund NAV	21.50	%		6.75	%	4.50	%	5.79	%		6.75	%	24.59	%	66.65	%
Fund Market	21.38			6.63		4.47		5.77			6.63		24.46		66.46
Index	21.20			4.81		4.58		6.02			4.81		25.10		70.04

The inception date of the Fund was January 31, 2014. The first day of secondary market trading was February 4, 2014.

Expense Example


Actual							Hypothetical 5% Return


	Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)		Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)	Annualized Expense Ratio

$	1,000.00	$	1,215.00	$	0.11		$	1,000.00	$	1,024.70	$	0.10		0.02	%

^(a)

Portfolio Information

PORTFOLIO COMPOSITION


Investment Type	Percent of Net Assets
Investment Companies		99.7	%
Short-term Investments		0.0	^(a)
Forward foreign currency exchange contracts, net cumulative appreciation		2.9
Other assets less liabilities		(2.6	)

^(a)

Rounds to less than 0.1%.

SECTOR ALLOCATION (of the UNDERLYING FUND)


Sector	Percent of Total Investment^(a)
Industrials		18.8	%
Financials		17.9
Consumer Discretionary		16.5
Information Technology		13.5
Health Care		11.3
Materials		6.6
Communication Services		6.5
Utilities		4.1
Consumer Staples		2.8
Real Estate		2.0

^(a)

Excludes money market funds.


6		2 0 2 3 I S H A R E S S E M I - 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 February 28, 2023		iShares^® Currency Hedged MSCI Japan ETF

Investment Objective

The iShares Currency Hedged MSCI Japan ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization Japanese equities while mitigating exposure to fluctuations between the value of the Japanese yen and the U.S. dollar, as represented by the MSCI Japan 100% Hedged to USD Index (the “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. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares MSCI Japan ETF.

Performance


			Average Annual Total Returns							Cumulative Total Returns

	6-Month Total Returns			1 Year		5 Years		Since Inception			1 Year		5 Years		Since Inception
Fund NAV	4.72	%		9.96	%	6.46	%	8.19	%		9.96	%	36.77	%	104.32	%
Fund Market	4.66			9.90		6.44		8.18			9.90		36.64		104.18
Index	4.35			10.93		6.85		8.45			10.93		39.25		108.92

The inception date of the Fund was January 31, 2014. The first day of secondary market trading was February 4, 2014.

Expense Example


Actual							Hypothetical 5% Return


	Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)		Beginning Account Value (09/01/22)		Ending Account Value (02/28/23)		Expenses Paid During the Period	^(a)	Annualized Expense Ratio

$	1,000.00	$	1,047.20	$	0.05		$	1,000.00	$	1,024.70	$	0.05		0.01	%

^(a)

Portfolio Information

PORTFOLIO COMPOSITION


Investment Type	Percent of Net Assets
Investment Companies		100.1	%
Short-term Investments		0.0	^(a)
Forward foreign currency exchange contracts, net cumulative appreciation		4.9
Other assets less liabilities		(5.0	)

^(a)

Rounds to less than 0.1%.

SECTOR ALLOCATION (of the UNDERLYING FUND)


Sector	Percent of Total Investment^(a)
Industrials		22.3	%
Consumer Discretionary		18.1
Information Technology		13.6
Financials		12.4
Health Care		9.2
Communication Services		8.0
Consumer Staples		6.7
Materials		4.8
Real Estate		3.1
Utilities		1.0
Energy		0.8

^(a)

Excludes money market funds.


F U N D S U M M A R Y		7

About Fund Performance

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 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.

Disclosure of Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During the Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in the Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.


8		2 0 2 3 I S H A R E S S E M I - 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 (unaudited)

February 28, 2023

iShares^® Currency Hedged MSCI Canada ETF

(Percentages shown are based on Net Assets)


Security	Shares		Value

Investment Companies

Exchange-Traded Funds — 99.7%
iShares MSCI Canada ETF^(a)(b)		425,957	$	14,503,836


Total Investment Companies (Cost: $15,597,301)				14,503,836


Short-Term Securities

Money Market Funds — 44.3%
BlackRock Cash Funds: Institutional, SL Agency Shares,
4.81%^(a)(c)(d)		6,432,955		6,436,815


Total Short-Term Securities — 44.3% (Cost: $6,436,815)				6,436,815

Total Investments in Securities — 144.0% (Cost: $22,034,116)				20,940,651

Liabilities in Excess of Other Assets — (44.0)%				(6,394,625	)


Net Assets — 100.0%			$	14,546,026

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(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 six months ended February 28, 2023 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:


Affiliated Issuer	Value at 08/31/22		Purchases at Cost			Proceeds from Sale			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 02/28/23		Shares Held at 02/28/23		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	6,438,713	^(a)	$	—		$	(1,898	)	$	—		$	6,436,815		6,432,955	$	25,798	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares^(c)		—		—			0	^(a)		—			—			—		—		423			—
iShares MSCI Canada ETF		21,141,688		2,990,551			(9,614,143	)		278,591			(292,851	)		14,503,836		425,957		207,852			—

									$	276,693		$	(292,851	)	$	20,940,651			$	234,073		$	—

^(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.

^(c)

As of period end, the entity is no longer held.

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts


Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

USD	14,188,517	CAD	18,929,000	BNP Paribas SA		03/02/23	$	315,964

USD	667,125	CAD	890,000	Citibank N.A.		03/02/23		14,868

USD	199,110	CAD	271,000	BNP Paribas SA		04/04/23		444

USD	14,390,424	CAD	19,586,000	State Street Bank and Trust Co.		04/04/23		32,194

								363,470


CAD	233,000	USD	175,128	Citibank N.A.		03/02/23		(4,368	)

CAD	19,586,000	USD	14,386,132	State Street Bank and Trust Co.		03/02/23		(32,082	)


S C H E D U L E O F I N V E S T M E N T S		9

Schedule of Investments (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Canada ETF

Forward Foreign Currency Exchange Contracts (continued)


Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

CAD	54,000	USD	39,674	Bank of America N.A.		04/04/23	$	(87	)


								(36,537	)

								$326,933

Derivative Financial Instruments Categorized by Risk Exposure

As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:


	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total

Assets — Derivative Financial Instruments
Forward foreign currency exchange contracts
Unrealized appreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	363,470	$	—	$	—	$	363,470


Liabilities — Derivative Financial Instruments
Forward foreign currency exchange contracts
Unrealized depreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	36,537	$	—	$	—	$	36,537

For the period ended February 28, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:


	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts		Other Contracts		Total

Net Realized Gain (Loss) from
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	1,020,806		$	—	$	—	$	1,020,806


Net Change in Unrealized Appreciation (Depreciation) on
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	(200,158	)	$	—	$	—	$	(200,158	)

Average Quarterly Balances of Outstanding Derivative Financial Instruments



Forward foreign currency exchange contracts

Average amounts purchased — in USD	$	15,712,727

Average amounts sold — in USD	$	31,799,496

For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.

Derivative Financial Instruments - Offsetting as of Period End

The Fund’s derivative assets and liabilities (by type) were as follows:



	Assets		Liabilities

Derivative Financial Instruments:

Forward foreign currency exchange contracts	$	363,470	$	36,537

Total derivative assets and liabilities in the Statement of Assets and Liabilities		363,470		36,537

Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		—		—


Total derivative assets and liabilities subject to an MNA		363,470		36,537


10		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Canada ETF

Derivative Financial Instruments - Offsetting as of Period End (continued)

The following tables present the Fund’s derivative assets and liabilities by counterparty net of amounts available for offset under an MNA and net of the related collateral received and pledged by the Fund:



Counterparty		Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Received		Cash Collateral Received		Net Amount of Derivative Assets	^(b)(c)


BNP Paribas SA	$	316,408	$	—		$	—	$	—	$	316,408

Citibank N.A.		14,868		(4,368	)		—		—		10,500

State Street Bank and Trust Co.		32,194		(32,082	)		—		—		112


	$	363,470	$	(36,450	)	$	—	$	—	$	327,020



Counterparty		Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Pledged		Cash Collateral Pledged		Net Amount of Derivative Liabilities	^(d)


Bank of America N.A.	$	87	$	—		$	—	$	—	$	87

Citibank N.A.		4,368		(4,368	)		—		—		—

State Street Bank and Trust Co.		32,082		(32,082	)		—		—		—


	$	36,537	$	(36,450	)	$	—	$	—	$	87

^(a)

The amount of derivatives available for offset is limited to the amount of derivative assets and/or liabilities that are subject to an MNA.

^(b)

Net amount represents the net amount receivable from the counterparty in the event of default.

^(c)

Net amount may also include forward foreign currency exchange contracts that are not required to be collateralized.

^(d)

Net amount represents the net amount payable due to the counterparty in the event of default.

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


Assets
Investments
Long-Term Investments
Investment Companies	$	14,503,836	$	—		$	—	$	14,503,836
Short-Term Securities
Money Market Funds		6,436,815		—			—		6,436,815


	$	20,940,651	$	—		$	—	$	20,940,651


Derivative Financial Instruments^(a)
Assets
Foreign Currency Exchange Contracts	$	—	$	363,470		$	—	$	363,470
Liabilities
Foreign Currency Exchange Contracts		—		(36,537	)		—		(36,537	)


	$	—	$	326,933		$	—		326,933

^(a)

Derivative financial instruments are forward foreign currency exchange contracts. Forward foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument.

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		11

Schedule of Investments (unaudited)

February 28, 2023

iShares^® Currency Hedged MSCI Eurozone ETF

(Percentages shown are based on Net Assets)


Security	Shares		Value


Investment Companies

Exchange-Traded Funds — 99.6%
iShares MSCI Eurozone ETF^(a)		6,991,266	$	304,679,372


Total Investment Companies (Cost: $336,887,306)				304,679,372


Short-Term Securities

Money Market Funds — 0.1%
BlackRock Cash Funds: Treasury, SL Agency Shares, 4.41%^(a)(b)		250,000		250,000


Total Short-Term Securities — 0.1% (Cost: $250,000)				250,000


Total Investments in Securities — 99.7% (Cost: $337,137,306)				304,929,372

Other Assets Less Liabilities — 0.3%				870,517


Net Assets — 100.0%			$	305,799,889

^(a)	Affiliate of the Fund.

^(b)	Annualized 7-day yield as of period end.

Affiliates




Affiliated Issuer	Value at 08/31/22		Purchases at Cost		Proceeds from Sale			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Value at 02/28/23		Shares Held at 02/28/23		Income		Capital Gain Distributions from Underlying Funds


BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	—	$	—	$	(4,234	)^(b)	$	4,234		$	—	$	—		—	$	33,112	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		1,610,000		—		(1,360,000	)^(b)		—			—		250,000		250,000		13,389		—
iShares MSCI Eurozone ETF		352,789,764		169,552,600		(281,612,559	)		(28,717,014	)		92,666,581		304,679,372		6,991,266		1,196,987		—


								$	(28,712,780	)	$	92,666,581	$	304,929,372			$	1,243,488	$	—

^(a)

As of period end, the entity is no longer held.

^(b)

Represents net amount purchased (sold).

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

USD	19,962,907	EUR	18,348,000	Bank of America N.A.		03/02/23	$	556,234

USD	1,610,154	EUR	1,505,000	BNP Paribas SA		03/02/23		18,317

USD	95,361	EUR	90,000	Citibank N.A.		03/02/23		168

USD	1,552,116	EUR	1,446,000	Deutsche Bank Securities Inc.		03/02/23		22,682

USD	17,069,670	EUR	15,658,000	JPMorgan Chase Bank N.A.		03/02/23		508,209

USD	267,955,627	EUR	246,279,345	State Street Bank and Trust Co.		03/02/23		7,466,054

USD	12,463,051	EUR	11,729,000	Citibank N.A.		04/04/23		32,810

USD	6,203,498	EUR	5,851,000	JPMorgan Chase Bank N.A.		04/04/23		2,685


12		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Eurozone ETF

Forward Foreign Currency Exchange Contracts (continued)



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

USD	287,020,063	EUR	270,110,345	State Street Bank and Trust Co.		04/04/23	$	760,645


								9,367,804


EUR	82,000	USD	89,681	BNP Paribas SA		03/02/23		(2,950	)

EUR	89,000	USD	95,488	Deutsche Bank Securities Inc.		03/02/23		(1,353	)

EUR	6,024,000	USD	6,518,824	JPMorgan Chase Bank N.A.		03/02/23		(147,241	)

EUR	280,089,345	USD	297,241,217	State Street Bank and Trust Co.		03/02/23		(990,821	)

USD	3,120,329	EUR	2,958,000	JPMorgan Chase Bank N.A.		03/02/23		(8,346	)


								(1,150,711	)


								$8,217,093

Derivative Financial Instruments Categorized by Risk Exposure

As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total


Assets — Derivative Financial Instruments

Forward foreign currency exchange contracts Unrealized appreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	9,367,804	$	—	$	—	$	9,367,804


Liabilities — Derivative Financial Instruments

Forward foreign currency exchange contracts Unrealized depreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	1,150,711	$	—	$	—	$	1,150,711

For the period ended February 28, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts		Other Contracts		Total


Net Realized Gain (Loss) from
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	(12,907,240	)	$	—	$	—	$	(12,907,240	)

Net Change in Unrealized Appreciation (Depreciation) on
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	2,140,780		$	—	$	—	$	2,140,780

Average Quarterly Balances of Outstanding Derivative Financial Instruments



Forward foreign currency exchange contracts

Average amounts purchased — in USD	$	317,137,735

Average amounts sold — in USD	$	624,130,823

For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.

Derivative Financial Instruments - Offsetting as of Period End

The Fund’s derivative assets and liabilities (by type) were as follows:




	Assets		Liabilities


Derivative Financial Instruments:
Forward foreign currency exchange contracts	$	9,367,804	$	1,150,711


Total derivative assets and liabilities in the Statement of Assets and Liabilities		9,367,804		1,150,711
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		—		—


Total derivative assets and liabilities subject to an MNA		9,367,804		1,150,711


S C H E D U L E O F I N V E S T M E N T S		13

Schedule of Investments (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Eurozone ETF

Derivative Financial Instruments - Offsetting as of Period End (continued)



Counterparty		Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Received		Cash Collateral Received		Net Amount of Derivative Assets	^(b)(c)


Bank of America N.A.	$	556,234	$	—		$	—	$	—	$	556,234

BNP Paribas SA		18,317		(2,950	)		—		—		15,367

Citibank N.A.		32,978		—			—		—		32,978

Deutsche Bank Securities Inc.		22,682		(1,353	)		—		—		21,329

JPMorgan Chase Bank N.A.		510,894		(155,587	)		—		—		355,307

State Street Bank and Trust Co.		8,226,699		(990,821	)		—		—		7,235,878


	$	9,367,804	$	(1,150,711	)	$	—	$	—	$	8,217,093



Counterparty		Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Pledged		Cash Collateral Pledged		Net Amount of Derivative Liabilities	^(c)(d)


BNP Paribas SA	$	2,950	$	(2,950	)	$	—	$	—	$	—

Deutsche Bank Securities Inc.		1,353		(1,353	)		—		—		—

JPMorgan Chase Bank N.A.		155,587		(155,587	)		—		—		—

State Street Bank and Trust Co.		990,821		(990,821	)		—		—		—


	$	1,150,711	$	(1,150,711	)	$	—	$	—	$	—

^(a)

The amount of derivatives available for offset is limited to the amount of derivative assets and/or liabilities that are subject to an MNA.

^(b)

Net amount represents the net amount receivable from the counterparty in the event of default.

^(c)

Net amount may also include forward foreign currency exchange contracts that are not required to be collateralized.

^(d)

Net amount represents the net amount payable due to the counterparty in the event of default.

Fair Value Hierarchy as of Period End




	Level 1		Level 2			Level 3		Total


Assets
Investments
Long-Term Investments
Investment Companies	$	304,679,372	$	—		$	—	$	304,679,372
Short-Term Securities
Money Market Funds		250,000		—			—		250,000


	$	304,929,372	$	—		$	—	$	304,929,372


Derivative Financial Instruments^(a)
Assets
Foreign Currency Exchange Contracts	$	—	$	9,367,804		$	—	$	9,367,804
Liabilities
Foreign Currency Exchange Contracts		—		(1,150,711	)		—		(1,150,711	)


	$	—	$	8,217,093		$	—		8,217,093

^(a)

See notes to financial statements.


14		2 0 2 3 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 (unaudited)

February 28, 2023

iShares^® Currency Hedged MSCI Germany ETF

(Percentages shown are based on Net Assets)


Security	Shares		Value


Investment Companies

Exchange-Traded Funds — 99.7%
iShares MSCI Germany ETF^(a)		1,329,256	$	36,275,396


Total Investment Companies (Cost: $45,836,332)				36,275,396


Short-Term Securities

Money Market Funds — 0.0%
BlackRock Cash Funds: Treasury, SL Agency Shares, 4.41%^(a)(b)		10,000		10,000


Total Short-Term Securities — 0.0% (Cost: $10,000)				10,000


Total Investments in Securities — 99.7% (Cost: $45,846,332)				36,285,396

Other Assets Less Liabilities — 0.3%				115,987


Net Assets — 100.0%			$	36,401,383

^(a)	Affiliate of the Fund.

^(b)	Annualized 7-day yield as of period end.

Affiliates




Affiliated Issuer	Value at 08/31/22		Purchases at Cost		Proceeds from Sale			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Value at 02/28/23		Shares Held at 02/28/23		Income		Capital Gain Distributions from Underlying Funds

BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	—	$	—	$	(7,297	)^(b)	$	7,297		$	—	$	—		—	$	120,149	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		10,000		—		0	^(b)		—			—		10,000		10,000		417		—
iShares MSCI Germany ETF		36,246,996		141,380,775		(149,890,540	)		(1,554,210	)		10,092,375		36,275,396		1,329,256		12,799		—


								$	(1,546,913	)	$	10,092,375	$	36,285,396			$	133,365	$	—

^(a)

As of period end, the entity is no longer held.

^(b)

Represents net amount purchased (sold).

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

EUR	2,904,000	USD	3,063,366	JPMorgan Chase Bank N.A.		03/02/23	$	8,194

USD	3,105,196	EUR	2,854,000	Bank of America N.A.		03/02/23		86,521

USD	41,843	EUR	39,000	BNP Paribas SA		03/02/23		593

USD	3,065,579	EUR	2,856,000	Canadian Imperial Bank of Commerce		03/02/23		44,788

USD	19,216	EUR	18,000	Citibank N.A.		03/02/23		178

USD	1,551,700	EUR	1,462,000	HSBC Bank PLC		03/02/23		5,343

USD	1,564,773	EUR	1,457,000	Morgan Stanley & Co. International PLC		03/02/23		23,705

USD	34,763,756	EUR	31,952,000	State Street Bank and Trust Co.		03/02/23		968,138

USD	1,512,735	EUR	1,426,000	UBS AG		03/02/23		4,455


S C H E D U L E O F I N V E S T M E N T S			15

Schedule of Investments (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Germany ETF

Forward Foreign Currency Exchange Contracts (continued)



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

USD	1,536,773	EUR	1,430,000	Westpac Banking Corp.		03/02/23	$	24,262

USD	1,420,675	EUR	1,337,000	Citibank N.A.		04/04/23		3,740

USD	161,368	EUR	152,000	JPMorgan Chase Bank N.A.		04/04/23		280

USD	34,955,388	EUR	32,896,000	State Street Bank and Trust Co.		04/04/23		92,637


								1,262,834


EUR	1,514,000	USD	1,624,370	Bank of New York		03/02/23		(23,013	)

EUR	78,000	USD	83,161	HSBC Bank PLC		03/02/23		(660	)

EUR	5,778,000	USD	6,184,428	JPMorgan Chase Bank N.A.		03/02/23		(73,040	)

EUR	33,220,000	USD	35,239,070	State Street Bank and Trust Co.		03/02/23		(102,288	)


								(199,001	)


								$1,063,833

Derivative Financial Instruments Categorized by Risk Exposure

As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total


Assets — Derivative Financial Instruments

Forward foreign currency exchange contracts
Unrealized appreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	1,262,834	$	—	$	—	$	1,262,834


Liabilities — Derivative Financial Instruments

Forward foreign currency exchange contracts
Unrealized depreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	199,001	$	—	$	—	$	199,001

For the period ended February 28, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts		Other Contracts		Total


Net Realized Gain (Loss) from
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	(1,887,494	)	$	—	$	—	$	(1,887,494	)

Net Change in Unrealized Appreciation (Depreciation) on
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	410,715		$	—	$	—	$	410,715

Average Quarterly Balances of Outstanding Derivative Financial Instruments



Forward foreign currency exchange contracts

Average amounts purchased — in USD	$	50,299,369

Average amounts sold — in USD	$	88,694,399

For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.


16		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Germany ETF

Derivative Financial Instruments - Offsetting as of Period End

The Fund’s derivative assets and liabilities (by type) were as follows:




	Assets		Liabilities


Derivative Financial Instruments:
Forward foreign currency exchange contracts	$	1,262,834	$	199,001


Total derivative assets and liabilities in the Statement of Assets and Liabilities		1,262,834		199,001
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		—		—


Total derivative assets and liabilities subject to an MNA		1,262,834		199,001



Counterparty		Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Received		Cash Collateral Received		Net Amount of Derivative Assets	^(b)(c)


Bank of America N.A.	$	86,521	$	—		$	—	$	—	$	86,521

BNP Paribas SA		593		—			—		—		593

Canadian Imperial Bank of Commerce		44,788		—			—		—		44,788

Citibank N.A.		3,918		—			—		—		3,918

HSBC Bank PLC		5,343		(660	)		—		—		4,683

JPMorgan Chase Bank N.A.		8,474		(8,474	)		—		—		—

Morgan Stanley & Co. International PLC		23,705		—			—		—		23,705

State Street Bank and Trust Co.		1,060,775		(102,288	)		—		—		958,487

UBS AG		4,455		—			—		—		4,455

Westpac Banking Corp.		24,262		—			—		—		24,262


	$	1,262,834	$	(111,422	)	$	—	$	—	$	1,151,412



Counterparty		Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Pledged		Cash Collateral Pledged		Net Amount of Derivative Liabilities	^(c)(d)


Bank of New York	$	23,013	$	—		$	—	$	—	$	23,013

HSBC Bank PLC		660		(660	)		—		—		—

JPMorgan Chase Bank N.A.		73,040		(8,474	)		—		—		64,566

State Street Bank and Trust Co.		102,288		(102,288	)		—		—		—

	$	199,001	$	(111,422	)	$	—	$	—	$	87,579

^(a)

The amount of derivatives available for offset is limited to the amount of derivative assets and/or liabilities that are subject to an MNA.

^(b)

Net amount represents the net amount receivable from the counterparty in the event of default.

^(c)

Net amount may also include forward foreign currency exchange contracts that are not required to be collateralized.

^(d)

Net amount represents the net amount payable due to the counterparty in the event of default.

Fair Value Hierarchy as of Period End




	Level 1		Level 2		Level 3		Total


Assets

Investments

Long-Term Investments

Investment Companies	$	36,275,396	$	—	$	—	$	36,275,396

Short-Term Securities

Money Market Funds		10,000		—		—		10,000

	$	36,285,396	$	—	$	—	$	36,285,396


S C H E D U L E O F I N V E S T M E N T S		17

Schedule of Investments (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Germany ETF

Fair Value Hierarchy as of Period End (continued)




	Level 1		Level 2			Level 3		Total

Derivative Financial Instruments^(a)
Assets
Foreign Currency Exchange Contracts	$	—	$	1,262,834		$	—	$	1,262,834
Liabilities
Foreign Currency Exchange Contracts		—		(199,001	)		—		(199,001	)

	$	—	$	1,063,833		$	—		1,063,833

^(a)

See notes to financial statements.


18		2 0 2 3 I S H A R E S S E M I - 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 (unaudited)

February 28, 2023

iShares^® Currency Hedged MSCI Japan ETF

(Percentages shown are based on Net Assets)


Security	Shares		Value

Investment Companies

Exchange-Traded Funds — 100.1%
iShares MSCI Japan ETF^(a)		2,339,661	$	130,880,636


Total Investment Companies (Cost: $159,187,509)				130,880,636


Short-Term Securities

Money Market Funds — 0.0%
BlackRock Cash Funds: Treasury, SL Agency Shares, 4.41%^(a)(b)		60,000		60,000


Total Short-Term Securities — 0.0% (Cost: $60,000)				60,000


Total Investments in Securities — 100.1% (Cost: $159,247,509)				130,940,636

Liabilities in Excess of Other Assets — (0.1)%				(162,940	)


Net Assets — 100.0%			$	130,777,696

^(a)	Affiliate of the Fund.

^(b)	Annualized 7-day yield as of period end.

Affiliates



Affiliated Issuer	Value at 08/31/22		Purchases at Cost			Proceeds from Sale			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Value at 02/28/23		Shares Held at 02/28/23		Income		Capital Gain Distributions from Underlying Funds

BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	—	$	14,773	^(b)	$	—		$	(14,773	)	$	—	$	—		—	$	27,047	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		1,710,000		—			(1,650,000	)^(b)		—			—		60,000		60,000		19,324		—
iShares MSCI Japan ETF		463,540,692		196,271,269			(535,094,407	)		(83,359,866	)		89,522,948		130,880,636		2,339,661		457,576		—

									$	(83,374,639	)	$	89,522,948	$	130,940,636			$	503,947	$	—

^(a)

As of period end, the entity is no longer held.

^(b)

Represents net amount purchased (sold).

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

JPY	17,293,620,000	USD	126,958,264	BNP Paribas SA		03/02/23	$	55,947
USD	4,251,259	JPY	545,721,000	Bank of New York		03/02/23		243,173
USD	126,176,257	JPY	16,359,562,000	BNP Paribas SA		03/02/23		6,022,300
USD	164,533	JPY	22,124,000	Citibank N.A.		03/02/23		2,042
USD	2,824,846	JPY	375,115,000	JPMorgan Chase Bank N.A.		03/02/23		69,788
USD	4,431,016	JPY	574,082,000	UBS AG		03/02/23		214,630
JPY	382,375,000	USD	2,821,047	Bank of America N.A.		04/04/23		351
USD	824,475	JPY	111,550,000	Bank of America N.A.		04/04/23		1,391


								6,609,622


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 (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Japan ETF

Forward Foreign Currency Exchange Contracts (continued)



Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)

JPY	4,397,000	USD	34,336	Bank of America N.A.		03/02/23	$	(2,042	)
JPY	534,074,000	USD	4,084,349	Bank of New York		03/02/23		(161,805	)
JPY	4,945,000	USD	37,325	BNP Paribas SA		03/02/23		(1,006	)
JPY	39,568,000	USD	305,172	Citibank N.A.		03/02/23		(14,562	)
USD	127,546,957	JPY	17,293,620,000	BNP Paribas SA		04/04/23		(56,010	)
USD	5,568,222	JPY	754,987,000	Citibank N.A.		04/04/23		(2,537	)


								(237,962	)


								$6,371,660

Derivative Financial Instruments Categorized by Risk Exposure

As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total


Assets — Derivative Financial Instruments
Forward foreign currency exchange contracts
Unrealized appreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	6,609,622	$	—	$	—	$	6,609,622


Liabilities — Derivative Financial Instruments
Forward foreign currency exchange contracts
Unrealized depreciation on forward foreign currency exchange contracts	$	—	$	—	$	—	$	237,962	$	—	$	—	$	237,962

For the period ended February 28, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:




	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts		Other Contracts		Total


Net Realized Gain (Loss) from
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	14,531,228		$	—	$	—	$	14,531,228


Net Change in Unrealized Appreciation (Depreciation) on
Forward foreign currency exchange contracts	$	—	$	—	$	—	$	(13,186,556	)	$	—	$	—	$	(13,186,556	)

Average Quarterly Balances of Outstanding Derivative Financial Instruments




Forward foreign currency exchange contracts
Average amounts purchased — in USD	$	253,636,011
Average amounts sold — in USD	$	445,856,779

For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.

Derivative Financial Instruments - Offsetting as of Period End

The Fund’s derivative assets and liabilities (by type) were as follows:




	Assets		Liabilities


Derivative Financial Instruments:
Forward foreign currency exchange contracts	$	6,609,622	$	237,962


Total derivative assets and liabilities in the Statement of Assets and Liabilities		6,609,622		237,962
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		—		—


Total derivative assets and liabilities subject to an MNA		6,609,622		237,962


20		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

February 28, 2023

iShares^® Currency Hedged MSCI Japan ETF

Derivative Financial Instruments - Offsetting as of Period End (continued)




Counterparty		Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Received		Cash Collateral Received		Net Amount of Derivative Assets	^(b)(c)


Bank of America N.A.	$	1,742	$	(1,742	)	$	—	$	—	$	—
Bank of New York		243,173		(161,805	)		—		—		81,368
BNP Paribas SA		6,078,247		(57,016	)		—		—		6,021,231
Citibank N.A.		2,042		(2,042	)		—		—		—
JPMorgan Chase Bank N.A.		69,788		—			—		—		69,788
UBS AG		214,630		—			—		—		214,630


	$	6,609,622	$	(222,605	)	$	—	$	—	$	6,387,017




Counterparty		Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset	^(a)		Non-Cash Collateral Pledged		Cash Collateral Pledged		Net Amount of Derivative Liabilities	^(d)


Bank of America N.A.	$	2,042	$	(1,742	)	$	—	$	—	$	300
Bank of New York		161,805		(161,805	)		—		—		—
BNP Paribas SA		57,016		(57,016	)		—		—		—
Citibank N.A.		17,099		(2,042	)		—		—		15,057


	$	237,962	$	(222,605	)	$	—	$	—	$	15,357

^(a)

The amount of derivatives available for offset is limited to the amount of derivative assets and/or liabilities that are subject to an MNA.

^(b)

Net amount represents the net amount receivable from the counterparty in the event of default.

^(c)

Net amount may also include forward foreign currency exchange contracts that are not required to be collateralized.

^(d)

Net amount represents the net amount payable due to the counterparty in the event of default.

Fair Value Hierarchy as of Period End




	Level 1		Level 2			Level 3		Total


Assets
Investments
Long-Term Investments
Investment Companies	$	130,880,636	$	—		$	—	$	130,880,636
Short-Term Securities
Money Market Funds		60,000		—			—		60,000


	$	130,940,636	$	—		$	—	$	130,940,636


Derivative Financial Instruments^(a)
Assets
Foreign Currency Exchange Contracts	$	—	$	6,609,622		$	—	$	6,609,622
Liabilities
Foreign Currency Exchange Contracts		—		(237,962	)		—		(237,962	)


	$	—	$	6,371,660		$	—		6,371,660

^(a)

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		21

Statements of Assets and Liabilities (unaudited)

February 28, 2023


	iShares Currency Hedged MSCI Canada ETF			iShares Currency Hedged MSCI Eurozone ETF			iShares Currency Hedged MSCI Germany ETF			iShares Currency Hedged MSCI Japan ETF


ASSETS
Investments, at value — affiliated^(a)(b)	$	20,940,651		$	304,929,372		$	36,285,396		$	130,940,636
Cash		8,284			5,876			6,762			5,910
Receivables:
Securities lending income — affiliated		3,038			2,189			5,412			227
Capital shares sold		—			129,618			38,444			—
Dividends — affiliated		—			478			102			215
Unrealized appreciation on forward foreign currency exchange contracts		363,470			9,367,804			1,262,834			6,609,622


Total assets		21,315,443			314,435,337			37,598,950			137,556,610


LIABILITIES
Collateral on securities loaned, at value		6,436,815			—			—			—
Payables:
Investments purchased		295,725			7,477,884			997,442			6,404,143
Capital shares redeemed		—			—			—			135,620
Investment advisory fees		340			6,853			1,124			1,189
Unrealized depreciation on forward foreign currency exchange contracts		36,537			1,150,711			199,001			237,962


Total liabilities		6,769,417			8,635,448			1,197,567			6,778,914


NET ASSETS	$	14,546,026		$	305,799,889		$	36,401,383		$	130,777,696


NET ASSETS CONSIST OF
Paid-in capital	$	15,235,390		$	383,994,211		$	83,875,993		$	267,047,305
Accumulated loss		(689,364	)		(78,194,322	)		(47,474,610	)		(136,269,609	)


NET ASSETS	$	14,546,026		$	305,799,889		$	36,401,383		$	130,777,696


NET ASSETVALUE
Shares outstanding		480,000			9,800,000			1,200,000			4,650,000


Net asset value	$	30.30		$	31.20		$	30.33		$	28.12


Shares authorized		Unlimited			Unlimited			Unlimited			Unlimited


Par value		None			None			None			None


^(a)Investments, at cost — affiliated	$	22,034,116		$	337,137,306		$	45,846,332		$	159,247,509

^(b)Securities loaned, at value	$	6,262,101		$	—		$	—		$	—

See notes to financial statements.


22		2 0 2 3 I S H A R E S S E M I - 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 (unaudited)

Six Months Ended February 28, 2023


	iShares Currency Hedged MSCI Canada ETF			iShares Currency Hedged MSCI Eurozone ETF			iShares Currency Hedged MSCI Germany ETF			iShares Currency Hedged MSCI Japan ETF


INVESTMENT INCOME
Dividends — affiliated	$	208,275		$	1,210,376		$	13,216		$	476,900
Securities lending income — affiliated — net		25,798			33,112			120,149			27,047


Total investment income		234,073			1,243,488			133,365			503,947


EXPENSES
Investment advisory		51,296			932,667			97,350			705,622
Commitment costs		—			1,884			238			1,925

Total expenses		51,296			934,551			97,588			707,547

Less:
Investment advisory fees waived		(48,914	)		(889,953	)		(94,065	)		(696,907	)


Total expenses after fees waived		2,382			44,598			3,523			10,640


Net investment income		231,691			1,198,890			129,842			493,307


REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated		(164,118	)		(18,146,017	)		(2,000,312	)		(29,271,268	)
Forward foreign currency exchange contracts		1,020,806			(12,907,240	)		(1,887,494	)		14,531,228
In-kind redemptions — affiliated^(a)		440,811			(10,566,763	)		453,399			(54,103,371	)


		1,297,499			(41,620,020	)		(3,434,407	)		(68,843,411	)

Net change in unrealized appreciation (depreciation) on:
Investments — affiliated		(292,851	)		92,666,581			10,092,375			89,522,948
Forward foreign currency exchange contracts		(200,158	)		2,140,780			410,715			(13,186,556	)


		(493,009	)		94,807,361			10,503,090			76,336,392


Net realized and unrealized gain		804,490			53,187,341			7,068,683			7,492,981


NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	1,036,181		$	54,386,231		$	7,198,525		$	7,986,288

^(a)	See Note 2 of the Notes to Financial Statements.

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		23

Statements of Changes in Net Assets


	iShares Currency Hedged MSCI Canada ETF						iShares Currency Hedged MSCI Eurozone ETF


	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	231,691		$	396,182		$	1,198,890		$	17,460,591
Net realized gain (loss)		1,297,499			1,307,339			(41,620,020	)		103,600,247
Net change in unrealized appreciation (depreciation)		(493,009	)		(2,637,667	)		94,807,361			(188,711,508	)


Net increase (decrease) in net assets resulting from operations		1,036,181			(934,146	)		54,386,231			(67,650,670	)


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Decrease in net assets resulting from distributions to shareholders		(1,158,072	)		(630,468	)		(51,216,130	)^(b)		(17,477,602	)


CAPITAL SHARE TRANSACTIONS
Net increase (decrease) in net assets derived from capital share transactions		(6,551,524	)		6,214,372			(50,508,254	)		(306,403,605	)


NET ASSETS
Total increase (decrease) in net assets		(6,673,415	)		4,649,758			(47,338,153	)		(391,531,877	)
Beginning of period		21,219,441			16,569,683			353,138,042			744,669,919


End of period	$	14,546,026		$	21,219,441		$	305,799,889		$	353,138,042

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(b)	A portion of the distributions from net investment income may be deemed a return of capital or net realized gain at fiscal year-end.

See notes to financial statements.


24		2 0 2 3 I S H A R E S S E M I - 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 Currency Hedged MSCI Germany ETF						iShares Currency Hedged MSCI Japan ETF


	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	129,842		$	1,846,296		$	493,307		$	15,014,014
Net realized gain (loss)		(3,434,407	)		5,622,904			(68,843,411	)		95,391,932
Net change in unrealized appreciation (depreciation)		10,503,090			(18,792,628	)		76,336,392			(110,567,650	)


Net increase (decrease) in net assets resulting from operations		7,198,525			(11,323,428	)		7,986,288			(161,704	)


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Decrease in net assets resulting from distributions to shareholders		(91,368	)		(1,848,200	)		(78,758,776	)		(15,018,714	)


CAPITAL SHARE TRANSACTIONS
Net decrease in net assets derived from capital share transactions		(6,986,338	)		(13,942,180	)		(263,200,648	)		(55,467,158	)


NET ASSETS
Total increase (decrease) in net assets		120,819			(27,113,808	)		(333,973,136	)		(70,647,576	)
Beginning of period		36,280,564			63,394,372			464,750,832			535,398,408


End of period	$	36,401,383		$	36,280,564		$	130,777,696		$	464,750,832

^(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		25

Financial Highlights

(For a share outstanding throughout each period)


	iShares Currency Hedged MSCI Canada ETF

	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Year Ended 08/31/21			Year Ended 08/31/20			Year Ended 08/31/19			Year Ended 08/31/18


Net asset value, beginning of period	$	30.31		$	32.49		$	25.68		$	26.41		$	26.79		$	24.70

Net investment income^(a)		0.42			0.64			0.53			0.71			0.59			0.56
Net realized and unrealized gain (loss)^(b)		1.76			(1.75	)		6.80			0.30			0.30			2.10

Net increase (decrease) from investment operations		2.18			(1.11	)		7.33			1.01			0.89			2.66


Distributions^(c)
From net investment income		(0.45	)		(0.67	)		(0.52	)		(1.37	)		(0.64	)		(0.57	)
From net realized gain		(1.74	)		(0.40	)		—			(0.37	)		(0.63	)		—

Total distributions		(2.19	)		(1.07	)		(0.52	)		(1.74	)		(1.27	)		(0.57	)


Net asset value, end of period	$	30.30		$	30.31		$	32.49		$	25.68		$	26.41		$	26.79


Total Return^(d)
Based on net asset value		7.26	%^(e)		(3.60	)%		28.81	%		4.08	%		3.84	%		10.82	%


Ratios to Average Net Assets^(f)
Total expenses		0.62	%^(g)		0.62	%		0.62	%		0.62	%		0.62	%		0.62	%

Total expenses after fees waived		0.03	%^(g)		0.03	%		0.03	%		0.03	%		0.03	%		0.03	%

Net investment income		2.80	%^(g)		1.97	%		1.84	%		2.75	%		2.31	%		2.12	%


Supplemental Data
Net assets, end of period (000)	$	14,546		$	21,219		$	16,570		$	11,556		$	38,290		$	5,357

Portfolio turnover rate^(h)		9	%^(e)		10	%		10	%		15	%		12	%		10	%

^(a)

Based on average shares outstanding.

^(b)

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.

^(c)

Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)

Where applicable, assumes the reinvestment of distributions.

^(e)

Not annualized.

^(f)

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)

Annualized.

^(h)

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.


26		2 0 2 3 I S H A R E S S E M I - 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 Currency Hedged MSCI Eurozone ETF

	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Year Ended 08/31/21			Year Ended 08/31/20			Year Ended 08/31/19			Year Ended 08/31/18


Net asset value, beginning of period	$	30.98		$	37.33		$	28.36		$	29.86		$	29.76		$	28.83

Net investment income^(a)		0.12			1.18			0.83			0.35			0.76			0.79
Net realized and unrealized gain (loss)^(b)		5.67			(6.17	)		9.00			(0.64	)		0.24			1.03

Net increase (decrease) from investment operations		5.79			(4.99	)		9.83			(0.29	)		1.00			1.82


Distributions^(c)
From net investment income		(0.13	)		(1.36	)		(0.86	)		(0.38	)		(0.90	)		(0.89	)
From net realized gain		(5.44	)		(0.00	)^(d)		—			(0.83	)		(0.00	)^(d)		—
Return of capital		—			—			—			(0.00	)^(d)		—			—

Total distributions		(5.57	)		(1.36	)		(0.86	)		(1.21	)		(0.90	)		(0.89	)


Net asset value, end of period	$	31.20		$	30.98		$	37.33		$	28.36		$	29.86		$	29.76


Total Return^(e)
Based on net asset value		19.99	%^(f)		(13.50	)%		35.04	%		(1.21	)%		3.41	%		6.36	%


Ratios to Average Net Assets^(g)
Total expenses		0.62	%^(h)		0.62	%		0.62	%		0.62	%		0.62	%		0.62	%

Total expenses after fees waived		0.03	%^(h)		0.03	%		0.03	%		0.03	%		0.03	%		0.03	%

Net investment income		0.80	%^(h)		3.32	%		2.52	%		1.18	%		2.63	%		2.61	%


Supplemental Data
Net assets, end of period (000)	$	305,800		$	353,138		$	744,670		$	569,970		$	868,987		$	1,660,448

Portfolio turnover rate⁽ⁱ⁾		7	%		6	%		14	%		10	%		5	%		11	%

^(a)	Based on average shares outstanding.

^(b)	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.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Rounds to less than $0.01.

^(e)	Where applicable, assumes the reinvestment of distributions.

^(f)	Not annualized.

^(g)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(h)	Annualized.

⁽ⁱ⁾	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		27

Financial Highlights (continued)

(For a share outstanding throughout each period)


	iShares Currency Hedged MSCI Germany ETF

	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Year Ended 08/31/21			Year Ended 08/31/20			Year Ended 08/31/19			Year Ended 08/31/18


Net asset value, beginning of period	$	25.02		$	33.37		$	28.13		$	26.21		$	27.64		$	26.82

Net investment income^(a)		0.10			1.06			0.85			0.21			0.55			0.53
Net realized and unrealized gain (loss)^(b)		5.27			(8.32	)		5.31			2.06			(1.25	)		1.02

Net increase (decrease) from investment operations		5.37			(7.26	)		6.16			2.27			(0.70	)		1.55


Distributions^(c)
Distributions from net investment income		(0.06	)		(1.09	)		(0.92	)		(0.35	)		(0.73	)		(0.73	)
Return of capital		—			—			—			(0.00	)^(d)		(0.00	)^(d)		—

Total distributions		(0.06	)		(1.09	)		(0.92	)		(0.35	)		(0.73	)		(0.73	)


Net asset value, end of period	$	30.33		$	25.02		$	33.37		$	28.13		$	26.21		$	27.64


Total Return^(e)
Based on net asset value		21.50	%^(f)		(21.88	)%		22.12	%		8.71	%		(2.65	)%		5.83	%


Ratios to Average Net Assets^(g)
Total expenses		0.53	%^(h)		0.53	%		0.53	%		0.53	%		0.53	%		0.53	%

Total expenses after fees waived		0.02	%^(h)		0.04	%		0.03	%		0.02	%		0.04	%		0.06	%

Net investment income		0.71	%^(h)		3.49	%		2.78	%		0.77	%		2.09	%		1.87	%


Supplemental Data
Net assets, end of period (000)	$	36,401		$	36,281		$	63,394		$	75,957		$	154,620		$	330,346

Portfolio turnover rate⁽ⁱ⁾		9	%		9	%		16	%		12	%		5	%		11	%

^(a)	Based on average shares outstanding.

^(b)	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.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Rounds to less than $0.01.

^(e)	Where applicable, assumes the reinvestment of distributions.

^(f)	Not annualized.

^(g)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(h)	Annualized.

⁽ⁱ⁾	Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.


28		2 0 2 3 I S H A R E S S E M I - 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 Currency Hedged MSCI Japan ETF

	Six Months Ended 02/28/23 (unaudited)			Year Ended 08/31/22			Year Ended 08/31/21			Year Ended 08/31/20			Year Ended 08/31/19			Year Ended 08/31/18


Net asset value, beginning of period	$	38.73		$	38.66		$	31.50		$	29.13		$	32.36		$	29.56

Net investment income^(a)		0.06			1.02			0.51			0.72			0.45			0.46
Net realized and unrealized gain (loss)^(b)		1.45			(0.09	)		7.06			2.35			(3.04	)		2.81

Net increase (decrease) from investment operations		1.51			0.93			7.57			3.07			(2.59	)		3.27


Distributions^(c)
From net investment income		(0.08	)		(0.86	)		(0.41	)		(0.70	)		(0.64	)		(0.47	)
From net realized gain		(12.04	)		(0.00	)^(d)		—			—			—			—

Total distributions		(12.12	)		(0.86	)		(0.41	)		(0.70	)		(0.64	)		(0.47	)


Net asset value, end of period	$	28.12		$	38.73		$	38.66		$	31.50		$	29.13		$	32.36


Total Return^(e)
Based on net asset value		4.72	%^(f)		2.43	%		24.08	%		10.52	%		(8.06	)%		11.07	%


Ratios to Average Net Assets^(g)
Total expenses		0.53	%^(h)		0.53	%		0.53	%		0.53	%		0.53	%		0.53	%

Total expenses after fees waived		0.01	%^(h)		0.01	%		0.00	%⁽ⁱ⁾		0.00	%⁽ⁱ⁾		0.00	%⁽ⁱ⁾		0.01	%

Net investment income		0.37	%^(h)		2.62	%		1.38	%		2.31	%		1.47	%		1.41	%


Supplemental Data
Net assets, end of period (000)	$	130,778		$	464,751		$	535,398		$	247,256		$	329,138		$	1,004,834

Portfolio turnover rate^(j)		16	%		6	%		7	%		9	%		9	%		9	%

^(a)	Based on average shares outstanding.

^(b)	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.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Rounds to less than $0.01.

^(e)	Where applicable, assumes the reinvestment of distributions.

^(f)	Not annualized.

^(g)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(h)	Annualized.

⁽ⁱ⁾	Rounds to less than 0.01%.

^(j)	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		29

Notes to Financial Statements (unaudited)

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
Currency Hedged MSCI Canada		Diversified
Currency Hedged MSCI Eurozone		Diversified
Currency Hedged MSCI Germany		Diversified
Currency Hedged MSCI Japan		Diversified

Currently each Fund seeks to achieve its investment objective by investing a substantial portion of its assets in an iShares fund (an “underlying fund”). The financial statements, including the accounting policies, and schedules of investments for the underlying funds are available on iShares.com and should be read in conjunction with the Funds’ financial statements.

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 from the underlying funds, if any, are recorded on the ex-dividend date. Interest income is recognized daily on an accrual basis.

Foreign Currency Translation: Each Fund’s books and records are maintained in U.S. dollars. Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars using prevailing market rates as quoted by one or more data service providers. Purchases and sales of investments are recorded at the rates of exchange prevailing on the respective dates of such transactions. Generally, when the U.S. dollar rises in value against a foreign currency, the investments denominated in that currency will lose value; the opposite effect occurs if the U.S. dollar falls in relative value.

Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of investments for financial reporting purposes. Accordingly, the effects of changes in exchange rates on investments are not segregated in the Statements of Operations from the effects of changes in market prices of those investments, but are included as a component of net realized and unrealized gain (loss) from investments. Each Fund reports realized currency gains (losses) on foreign currency related transactions as components of net realized gain (loss) for financial reporting purposes, whereas such components are generally treated as ordinary income for U.S. federal income tax purposes. However, each Fund has elected to treat realized gains (losses) from certain foreign currency contracts as capital gain (loss) for U.S. federal income tax purposes.

Collateralization: If required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments.

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.


30		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

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. The Board of Trustees of the Trust (the “Board”) of each Fund has approved the designation of BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, as the valuation designee for each Fund. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under BFA’s policies. 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 BFA’s policies and procedures as reflecting fair value. BFA has formed a committee (the “Valuation Committee”) to develop pricing policies and procedures and to oversee the pricing function for all financial instruments, with assistance from other BlackRock pricing committees.

Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:

•

Exchange-traded funds and closed-end funds traded on a recognized securities exchange are valued at that day’s official closing price, as applicable, on the exchange where the fund is primarily traded. Funds traded on a recognized exchange for which there were no sales on that day may be valued at the last traded price.

•

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

•

Forward foreign currency exchange contracts are valued at the mean between the bid and ask prices and are determined as of the close of trading on the New York Stock Exchange (“NYSE”) based on that day’s prevailing forward exchange rate for the underlying currencies.

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 Valuation Committee, in accordance with BFA’s policies and procedures as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the 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 Valuation Committee 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 Valuation Committee deems relevant and consistent with the principles of fair value measurement.

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 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 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


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		31

Notes to Financial Statements (unaudited) (continued)

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 BFA, 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 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		Securities Loaned at Value		Cash Collateral Received	^(a)		Non-Cash Collateral Received, at Fair Value	^(a)		Net Amount

Currency Hedged MSCI Canada
Credit Suisse Securities (USA) LLC	$	591,380	$	(591,380	)	$	—		$	—
J.P. Morgan Securities LLC		5,670,721		(5,670,721	)		—			—

	$	6,262,101	$	(6,262,101	)	$	—		$	—

^(a)

Collateral received, if any, 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 Statements 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.	*DERIVATIVE FINANCIAL INSTRUMENTS*

Forward Foreign Currency Exchange Contracts: Forward foreign currency exchange contracts are entered into to gain or reduce exposure to foreign currencies (foreign currency exchange rate risk).

A forward foreign currency exchange contract is an agreement between two parties to buy and sell a currency at a set exchange rate on a specified date. These contracts help to manage the overall exposure to the currencies in which some of the investments held by the Funds are denominated and in some cases, may be used to obtain exposure to a particular market.The contracts are traded over-the-counter (“OTC”) and not on an organized exchange.

The contract is marked-to-market daily and the change in market value is recorded as unrealized appreciation or depreciation in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the value at the time it was opened and the value at the time it was closed. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency. The use of forward foreign currency exchange contracts involves the risk that the value of a contract changes unfavorably due to movements in the value of the referenced foreign currencies, and such value may exceed the amount(s) reflected in the Statements of Assets and Liabilities. Cash amounts pledged for forward foreign currency exchange contracts are considered restricted and are included in cash pledged as collateral for OTC derivatives in the Statements of Assets and Liabilities. A fund’s risk of loss from counterparty credit risk on OTC derivatives is generally limited to the aggregate unrealized gain netted against any collateral held by the Fund.

Master Netting Arrangements: In order to define its contractual rights and to secure rights that will help mitigate its counterparty risk, a Fund may enter into an International Swaps and Derivatives Association, Inc. Master Agreement (“ISDA Master Agreement”) or similar agreement with its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between a Fund and a counterparty that governs certain OTC derivatives and typically contains, among other things, collateral posting terms and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, a Fund may, under certain circumstances, offset with the counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of


32		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

the ISDA Master Agreement typically permit a single net payment in the event of default including the bankruptcy or insolvency of the counterparty. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency, or other events.

For derivatives traded under an ISDA Master Agreement, the collateral requirements are typically calculated by netting the mark-to-market amount for each transaction under such agreement, and comparing that amount to the value of any collateral currently pledged by a fund and the counterparty.

Cash collateral that has been pledged to cover obligations of the Funds and cash collateral received from the counterparty, if any, is reported separately in the Statements of Assets and Liabilities as cash pledged as collateral and cash received as collateral, respectively. Non-cash collateral pledged by the Funds, if any, is noted in the Schedules of Investments. Generally, the amount of collateral due from or to a counterparty is subject to a certain minimum transfer amount threshold before a transfer is required, which is determined at the close of business of the Funds. Any additional required collateral is delivered to/pledged by the Funds on the next business day. Typically, the counterparty is not permitted to sell, re-pledge or use cash and non-cash collateral it receives. A fund generally agrees not to use non-cash collateral that it receives but may, absent default or certain other circumstances defined in the underlying ISDA Master Agreement, be permitted to use cash collateral received. In such cases, interest may be paid pursuant to the collateral arrangement with the counterparty. To the extent amounts due to the Funds from the counterparty are not fully collateralized, each Fund bears the risk of loss from counterparty non-performance. Likewise, to the extent the Funds have delivered collateral to a counterparty and stand ready to perform under the terms of their agreement with such counterparty, each Fund bears the risk of loss from a counterparty in the amount of the value of the collateral in the event the counterparty fails to return such collateral. Based on the terms of agreements, collateral may not be required for all derivative contracts.

For financial reporting purposes, each Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements, if any, in the Statements of Assets and Liabilities.

6.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BlackRock Fund Advisors (“BFA”) manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock, Inc. (“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 of the following Funds, BFAis entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, based on the average daily net assets of each Fund as follows:



iShares ETF	Investment Advisory Fees
Currency Hedged MSCI Canada		0.62	%
Currency Hedged MSCI Eurozone		0.62
Currency Hedged MSCI Germany		0.53
Currency Hedged MSCI Japan		0.53

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 Statements of Operations does not include acquired fund fees and expenses.

For the iShares Currency Hedged MSCI Canada ETF, BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through December 31, 2025 so that the Fund’s total annual operating expenses after fee waiver is equal to the acquired fund fees and expenses attributable to the Fund’s investment in the iShares MSCI Canada ETF (“EWC”), after taking into account any fee waivers by EWC, plus 0.03%.

For the iShares Currency Hedged MSCI Eurozone ETF, BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through December 31, 2025 so that the Fund’s total annual operating expenses after fee waiver is equal to the acquired fund fees and expenses attributable to the Fund’s investment in the iShares MSCI Eurozone ETF (“EZU”), after taking into account any fee waivers by EZU, plus 0.03%.

For the iShares Currency Hedged MSCI Germany ETF, BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through December 31, 2025 in an amount equal to the acquired fund fees and expenses, if any, attributable to the Fund’s investments in other iShares funds, provided that the waiver be no greater than the Fund’s investment advisory fee of 0.53%.

For the iShares Currency Hedged MSCI Japan ETF, BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through December 31, 2025 in an amount equal to the acquired fund fees and expenses, if any, attributable to the Fund’s investments in other iShares funds, provided that the waiver be no greater than the Fund’s investment advisory fee of 0.53%. BFA has also contractually agreed to waive an additional portion of its investment advisory fee for the Fund through December 31, 2025 such that the Fund’s total annual operating expenses after fee waiver will be equal to the greater of the acquired fund fees and expenses or 0.48%.


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		33

Notes to Financial Statements (unaudited) (continued)

These amounts are included in investment advisory fees waived in the Statements of Operations. For the six months ended February 28, 2023, the amounts waived in investment advisory fees pursuant to these arrangements were as follows:



iShares ETF	Amounts Waived
Currency Hedged MSCI Canada	$	48,914
Currency Hedged MSCI Eurozone		889,953
Currency Hedged MSCI Germany		94,065
Currency Hedged MSCI Japan		696,907

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 costs directly related to securities lending, including any custodial costs. 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 six months ended February 28, 2023, the Funds paid BTC the following amounts for securities lending agent services:



iShares ETF	Amounts
Currency Hedged MSCI Canada	$	5,862
Currency Hedged MSCI Eurozone		8,907
Currency Hedged MSCI Germany		26,158
Currency Hedged MSCI Japan		9,143

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.

7.	*PURCHASES AND SALES*

For the six months ended February 28, 2023, purchases and sales of investments, excluding short-term securities and in-kind transactions, were as follows:



iShares ETF	Purchases		Sales
Currency Hedged MSCI Canada	$	1,504,160	$	1,597,687
Currency Hedged MSCI Eurozone		19,966,097		80,675,601
Currency Hedged MSCI Germany		3,369,628		4,774,886
Currency Hedged MSCI Japan		44,835,908		119,463,680


34		2 0 2 3 I S H A R E S S E M I - 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 (unaudited) (continued)

For the six months ended February 28, 2023, in-kind transactions were as follows:



iShares ETF	In-kind Purchases		In-kind Sales
Currency Hedged MSCI Canada	$	1,486,392	$	8,016,456
Currency Hedged MSCI Eurozone		149,586,502		200,936,957
Currency Hedged MSCI Germany		138,011,147		145,115,654
Currency Hedged MSCI Japan		151,435,362		415,630,728

8.	*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 February 28, 2023, 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.

As of August 31, 2022, the iShares Currency Hedged MSCI Germany ETF had non-expiring capital loss carryforwards of $34,845,855 available to offset future realized capital gains.

As of February 28, 2023, 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)
Currency Hedged MSCI Canada	$	22,106,680	$	363,470	$	(1,202,566	)	$	(839,096)
Currency Hedged MSCI Eurozone		338,308,238		9,367,804		(34,529,577	)		(25,161,773)
Currency Hedged MSCI Germany		45,928,933		1,262,834		(9,842,538	)		(8,579,704)
Currency Hedged MSCI Japan		160,382,869		6,609,622		(29,680,195	)		(23,070,573)

9.	*LINE OF CREDIT*

The iShares Currency Hedged MSCI Eurozone ETF, iShares Currency Hedged MSCI Germany ETF and iShares Currency Hedged MSCI Japan ETF, along with certain other iShares funds (“Participating Funds”), are parties to a $800 million credit agreement (“Syndicated Credit Agreement”) with a group of lenders, which expires on August 11, 2023. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings in certain target markets. The Funds may borrow up to the aggregate commitment amount subject to asset coverage and other limitations as specified in the Syndicated Credit Agreement. The Syndicated Credit Agreement has the following terms: a commitment fee of 0.15% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) Daily Simple Secured Overnight Financing Rate (“SOFR”) plus 0.10% and 1.00% per annum or (b) the U.S. Federal Funds rate plus 1.00% per annum on amounts borrowed. The commitment fee is generally allocated to each Participating Fund based on the lesser of a Participating Fund’s relative exposure to certain target markets or a Participating Fund’s maximum borrowing amount as set forth by the terms of the Syndicated Credit Agreement.

During the six months ended February 28, 2023, the Funds did not borrow under the Syndicated Credit Agreement.

10.

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.

Infectious Illness Risk: An outbreak of an infectious illness, such as the COVID-19 pandemic, may adversely impact the economies of many nations and the global economy, and may impact individual issuers and capital markets in ways that cannot be foreseen. An infectious illness outbreak may result in, among other things, closed international borders, prolonged quarantines, supply chain disruptions, market volatility or disruptions and other significant economic, social and political impacts.


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		35

Notes to Financial Statements (unaudited) (continued)

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 BFA 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.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

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.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The Funds may be exposed to financial instruments that are tied to the London Interbank Offered Rate (“LIBOR”) to determine payment obligations, financing terms, hedging strategies or investment value. The United Kingdom’s Financial Conduct Authority, which regulates LIBOR, announced that a majority of USD LIBOR settings will no longer be published after June 30, 2023. All other LIBOR settings and certain other interbank offered rates ceased to be published after December 31, 2021. SOFR has been used increasingly on a voluntary basis in new instruments and transactions. The Federal Reserve Board adopted regulations that provide a fallback mechanism by identifying benchmark rates based on SOFR that will replace LIBOR in certain financial contracts after June 30, 2023. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

11.

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:




	Six Months Ended 02/28/23					Year Ended 08/31/22


iShares ETF	Shares			Amount		Shares			Amount


Currency Hedged MSCI Canada
Shares sold	50,000		$	1,514,912		330,000		$	10,691,502
Shares redeemed	(270,000	)		(8,066,436	)	(140,000	)		(4,477,130	)


	(220,000	)	$	(6,551,524	)	190,000		$	6,214,372


Currency Hedged MSCI Eurozone
Shares sold	4,900,000		$	149,830,796		8,300,000		$	287,220,148
Shares redeemed	(6,500,000	)		(200,339,050	)	(16,850,000	)		(593,623,753	)


	(1,600,000	)	$	(50,508,254	)	(8,550,000	)	$	(306,403,605	)


Currency Hedged MSCI Germany
Shares sold	5,050,000		$	137,266,611		9,700,000		$	283,625,278
Shares redeemed	(5,300,000	)		(144,252,949	)	(10,150,000	)		(297,567,458	)


	(250,000	)	$	(6,986,338	)	(450,000	)	$	(13,942,180	)


Currency Hedged MSCI Japan
Shares sold	4,350,000		$	148,709,453		22,300,000		$	859,549,528
Shares redeemed	(11,700,000	)		(411,910,101	)	(24,150,000	)		(915,016,686	)


	(7,350,000	)	$	(263,200,648	)	(1,850,000	)	$	(55,467,158	)

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.


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Notes to Financial Statements (unaudited) (continued)

12.

SUBSEQUENT EVENTS

Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or additional disclosure in the financial statements.


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		37

Statement Regarding Liquidity Risk Management Program (unaudited)

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares Currency Hedged MSCI Canada ETF, iShares Currency Hedged MSCI Eurozone ETF, iShares Currency Hedged MSCI Germany ETF and iShares Currency Hedged MSCI Japan ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2022 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2021 through September 30, 2022 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays, the imposition of capital controls in certain non-U.S. countries, Russian sanctions and the closure of the Russian securities market.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. The Committee also considered that ETFs generally do not engage in borrowing.

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs. However, there were no ETFs with persistent deviations of fund premium/discount or bid/ask spreads from long-term averages over the Program Reporting Period.

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

There were no material changes to the Program during the Program Reporting Period other than the enhancement of certain model components in the Program’s classification methodology. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.


38		2 0 2 3 I S H A R E S S E M I - 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

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.

February 28, 2023


	Total Cumulative Distributions for the Fiscal Year-to-Date								% Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date
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
Currency Hedged MSCI Canada	$	0.450148	$	1.744446	$	—	$	2.194594		21	%		79	%		—	%		100	%
Currency Hedged MSCI Eurozone^(a)		0.128134		5.436151		0.001279		5.565564		2			98			—			100
Currency Hedged MSCI Japan		0.081266		12.042345		—		12.123611		1			99			—			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.


S U P P L E M E N T A L I N F O R M A T I O N		39

General Information

Electronic Delivery

Shareholders can sign up for e-mail 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 Trust’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.


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Glossary of Terms Used in this Report


Currency Abbreviations

CAD		Canadian Dollar

EUR		Euro

JPY		Japanese Yen

USD		United States Dollar


G L O S S A R Y O F T E R M S U S E D I N T H I S R E P O R T		41

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 MSCI Inc., 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.

iS-SAR-801-0223