LOGO

  FEBRUARY 28, 2022

 

  

2022 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,

The 12-month reporting period as of February 28, 2022 saw a continuation of the resurgent growth that followed the initial coronavirus (or “COVID-19”) pandemic reopening, albeit at a slower pace. The global economy weathered the emergence of several variant strains and the resulting peaks and troughs in infections amid optimism that increasing vaccinations and economic adaptation could help contain the pandemic’s disruptions. However, rapid changes in consumer spending led to supply constraints and elevated inflation. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed, as persistently high inflation drove investors’ expectations for higher interest rates, which particularly weighed on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks posted a solid advance. International equities from developed markets gained slightly, although emerging market stocks declined, pressured by rising interest rates and a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as the economy expanded rapidly and inflation reached its highest annualized reading in decades. In the corporate bond market, the improving economy assuaged credit concerns and led to modest returns for high-yield corporate bonds, outpacing the negative return of investment-grade corporate bonds.

The U.S. Federal Reserve (the “Fed”) maintained accommodative monetary policy during the reporting period by keeping near-zero interest rates. However, the Fed’s tone shifted during the period, as it reduced its bond-buying program and raised the prospect of higher rates in 2022. Continued high inflation and the Fed’s new stance led many analysts to anticipate that the Fed will raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy. Sanctions on Russia and general wartime disruption are likely to drive already-high commodity prices even further upwards, and we have already seen spikes in energy and metal markets. While this will exacerbate inflationary pressure, it could also constrain economic growth, making the Fed’s way forward less clear. Its challenge will be combating inflation without stifling a recovery that is now facing additional supply shocks.

In this environment, we favor an overweight to equities, as we believe low interest rates and continued economic growth will support further gains, albeit likely more modest than what we saw in 2021. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and health care, are particularly attractive in the long term. U.S. and other developed market equities have room for further growth, while we believe Chinese equities stand to gain from a more accommodative monetary and fiscal environment. We are underweight long-term credit, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities. We believe that international diversification and a focus on sustainability can help provide portfolio resilience, and the disruption created by the coronavirus appears to be accelerating the shift toward sustainable investments.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of February 28, 2022

 

     
   

  6-Month  

 

 

  12-Month  

 

   

U.S. large cap equities (S&P 500® Index)

  (2.62)%      16.39%
   

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

  (9.46)        (6.01)
   

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

  (6.78)        2.83
   

Emerging market equities (MSCI Emerging Markets Index)

  (9.81)        (10.69)
   

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

  0.02        0.04
   

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

  (3.94)        (1.67)
   

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

  (4.07)        (2.64)
   

Tax-exempt municipal bonds (Bloomberg Municipal Bond Index)

  (3.09)        (0.66)
   

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

  (3.07)        0.64

Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

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H I S  A G E   I S   N O T  A R T   O F  O U R  U N D  E P O R T


Table of Contents

 

 

    

     Page  

The Markets in Review

    2  

Fund Summary

    4  

About Fund Performance

    8  

Shareholder Expenses

    8  

Schedules of Investments

    9  

Financial Statements

    23  

Statements of Assets and Liabilities

    23  

Statements of Operations

    24  

Statements of Changes in Net Assets

    25  

Financial Highlights

    27  

Notes to Financial Statements

    31  

Statement Regarding Liquidity Risk Management Program

    37  

Supplemental Information

    38  

General Information

    39  

Glossary of Terms Used in this Report

    40  

 

 

 

 


Fund Summary as of February 28, 2022     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 Months     1 Year     5 Years     Since
Inception
            1 Year     5 Years     Since
Inception
 

Fund NAV

    4.37     20.95     9.80     8.95        20.95     59.59     77.17

Fund Market

    4.21       20.91       9.81       8.96          20.91       59.67       77.25  

Index

    4.28       20.37       9.77       8.96                20.37       59.39       77.26  

The inception date of the Fund was 6/29/15. The first day of secondary market trading was 7/1/15.

Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 8 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

Beginning
Account Value
(09/01/21)
 
 
 
      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
           

Beginning
Account Value
(09/01/21)
 
 
 
      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
      

Annualized
Expense
Ratio
 
 
 
  $        1,000.00          $        1,043.70          $        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 “Shareholder 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

 

ALLOCATION BY INVESTMENT TYPE

 

Investment Type    
Percent of
Net Assets
 
 

Investment Companies

    100.0
Forward foreign currency exchange contracts, net cumulative depreciation     (0.3

Other assets less liabilities

    0.3  

ALLOCATION BY SECTOR (of the UNDERLYING FUND)

 

Sector    

Percent of

Total Investment(a)

 

 

Financials

    38.7

Energy

    16.5  

Materials

    11.6  

Industrials

    11.2  

Information Technology

    7.6  

Consumer Staples

    3.9  

Utilities

    3.6  

Consumer Discretionary

    3.4  

Communication Services

    2.5  

Other (each representing less than 1%)

    1.0  

 

  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of February 28, 2022    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 Months     1 Year     5 Years     Since
Inception
            1 Year     5 Years     Since
Inception
 

Fund NAV

    (7.16 )%      8.95     8.01     7.22        8.95     46.98     70.38

Fund Market

    (7.15     8.96       8.01       7.22          8.96       47.00       70.33  

Index

    (6.02     10.31       8.33       7.62                10.31       49.19       75.28  

The inception date of the Fund was 7/9/14. The first day of secondary market trading was 7/10/14.

Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 8 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

Beginning
Account Value
(09/01/21)
 
 
 
      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
           

Beginning
Account Value
(09/01/21)
 
 
 
      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
      

Annualized
Expense
Ratio
 
 
 
  $        1,000.00          $          928.40          $        0.14               $      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 “Shareholder 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

 

ALLOCATION BY INVESTMENT TYPE

 

   
Investment Type    
Percent of
Net Assets
 
 

Investment Companies

    99.8

Short-term Investments

    0.0 (a)  
Forward foreign currency exchange contracts, net cumulative appreciation     0.0 (a)  

Other assets less liabilities

    0.2  

 

  (a) 

Rounds to less than 0.1%.

 

ALLOCATION BY SECTOR (of the UNDERLYING FUND)

 

   
Sector    

Percent of
Total Investment(a)
 
 

Consumer Discretionary

    16.6

Industrials

    15.4  

Financials

    15.0  

Information Technology

    13.4  

Consumer Staples

    8.1  

Health Care

    7.7  

Materials

    7.1  

Utilities

    6.5  

Communication Services

    4.3  

Energy

    4.3  

Real Estate

    1.6  

 

  (a) 

Excludes money market funds.

 

 

 

U N D   S U M M A R Y

  5


Fund Summary as of February 28, 2022   

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 Months     1 Year     5 Years     Since
Inception
            1 Year     5 Years     Since
Inception
 

Fund NAV

    (11.09 )%      1.05     4.45     5.67        1.05     24.32     56.11

Fund Market

    (11.03     1.37       4.45       5.67          1.37       24.33       56.11  

Index

    (9.71     2.81       5.11       6.17                2.81       28.32       62.24  

The inception date of the Fund was 1/31/14. The first day of secondary market trading was 2/4/14.

Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 8 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           

 



 

 

Beginning
Account Value
(09/01/21)

 


 
 

      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
         

 



 

 

Beginning
Account Value
(09/01/21)

 


 
 

      

Ending
Account Value
(02/28/22)
 
 
 
      

Expenses
Paid During
the Period
 
 
 (a) 
      

Annualized
Expense
Ratio
 
 
 
  $        1,000.00          $        889.10          $        0.19               $      1,000.00          $      1,024.60          $        0.20          0.04

 

  (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 “Shareholder 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

 

ALLOCATION BY INVESTMENT TYPE

 

   
Investment Type    
Percent of
Net Assets
 
 

Investment Companies

    99.8

Short-term Investments

    0.0 (a)  
Forward foreign currency exchange contracts, net cumulative depreciation     (0.1

Other assets less liabilities

    0.3  

(a) Rounds to less than 0.1%.

ALLOCATION BY SECTOR (of the UNDERLYING FUND)

 

   
Sector    

Percent of
Total Investment(a)
 
 
 

Consumer Discretionary

    18.5

Industrials

    17.1  

Financials

    15.3  

Information Technology

    12.6  

Health Care

    11.6  

Materials

    8.1  

Communication Services

    5.1  

Utilities

    4.7  

Real Estate

    4.0  

Consumer Staples

    3.0  

 

(a)

Excludes money market funds.

 

 

 

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Fund Summary as of February 28, 2022    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 Months     1 Year     5 Years     Since
Inception
            1 Year     5 Years     Since
Inception
 

Fund NAV

    (2.46 )%      1.69     7.67     7.97        1.69     44.69     85.81

Fund Market

    (2.40     1.78       7.67       7.97          1.78       44.72       85.78  

Index

    (2.77     2.87       8.14       8.15                2.87       47.90       88.33  

The inception date of the Fund was 1/31/14. The first day of secondary market trading was 2/4/14.

Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 8 for more information.

Expense Example

 

Actual         Hypothetical 5% Return         
 

Beginning
  Account Value
(09/01/21)
 
 
 
    

Ending
Account Value
(02/28/22)
 
 
 
    

Expenses
Paid During
the Period
 
 
 (a) 
       

Beginning
Account Value
(09/01/21)
 
 
 
    

Ending
Account Value
(02/28/22)
 
 
 
    

Expenses
Paid During
the Period
 
 
 (a) 
    

        Annualized
Expense
Ratio
 

 
  $        1,000.00      $ 975.40      $ 0.00         $ 1,000.00      $ 1,024.80      $ 0.00        0.00

 

  (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 “Shareholder 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

 

ALLOCATION BY INVESTMENT TYPE

 

   
Investment Type    
Percent of
Net Assets
 
 

Investment Companies

    100.1

Short-term Investments

    0.1  
Forward foreign currency exchange contracts, net cumulative depreciation     (0.2

ALLOCATION BY SECTOR (of the UNDERLYING FUND)

 

   
Sector    
Percent of
Total Investment(a)
 
 

Industrials

    22.0

Consumer Discretionary

    19.4  

Information Technology

    14.0  

Financials

    10.1  

Health Care

    9.4  

Communication Services

    8.1  

Consumer Staples

    6.9  

Materials

    5.0  

Real Estate

    3.4  

Utilities

    0.9  

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.

Shareholder 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 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 a 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.

 

 

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Schedule of Investments (unaudited)

February 28, 2022

  

iShares® Currency Hedged MSCI Canada ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

 

Investment Companies

   
Exchange-Traded Funds — 100.0%            

iShares MSCI Canada ETF(a)

    528,168     $ 20,186,581  
   

 

 

 

Total Investment Companies — 100.0%
(Cost: $18,070,279)

 

 

 

20,186,581

 

   

 

 

 

Total Investments in Securities — 100.0%
(Cost: $18,070,279)

 

    20,186,581  

Other Assets, Less Liabilities — (0.0)%

 

    (3,632
   

 

 

 

Net Assets — 100.0%

 

  $   20,182,949  
   

 

 

 

 

 

(a) 

Affiliate of the Fund.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended February 28, 2022 for purposes of
Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer   Value at
08/31/21
    Purchases
at Cost
    Proceeds
from Sales
    Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
    Value at
02/28/22
    Shares
Held at
02/28/22
    Income    

Capital

Gain
Distributions
from
Underlying
Funds

     
 

 

   
 

BlackRock Cash Funds: Treasury, SL Agency Shares(a)

  $ 420,000     $     $ (420,000 )(b)    $     $     $           $ 1     $      
 

iShares MSCI Canada ETF

    16,587,362       6,527,545       (3,446,556     623,096       (104,866     20,186,581       528,168       232,839          
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   
          $ 623,096     $ (104,866   $ 20,186,581       $ 232,840     $    
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   

 

  (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)
     
 

 

 

   
  CAD         26,323,000     USD         20,751,696        MS         

      03/02/22

   $ 16,024    
  USD 1,676,601     CAD 2,124,000        MS         

      03/02/22

     856    
            

 

 

   
               16,880    
            

 

 

   
  USD 19,027,515     CAD 24,199,000        MS         

      03/02/22

     (64,460  
  USD 20,241,720     CAD 25,670,000        MS         

      04/04/22

     (13,732  
            

 

 

   
                             (78,192)      
            

 

 

   
   

                Net unrealized depreciation

   $ (61,312  
            

 

 

   

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:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Assets — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized appreciation on forward foreign currency exchange contracts

  $ 16,880  
 

 

 

 

 

 

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

  9


Schedule of Investments (unaudited) (continued)

February 28, 2022

  

iShares® Currency Hedged MSCI Canada ETF

 

Derivative Financial Instruments Categorized by Risk Exposure (continued)    

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Liabilities — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized depreciation on forward foreign currency exchange contracts

  $ 78,192  
 

 

 

 

For the period ended February 28, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Net Realized Gain (Loss) from:

 

Forward foreign currency exchange contracts

  $ 220,101  
 

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on:

 

Forward foreign currency exchange contracts

  $ (204,288
 

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 
Forward foreign currency exchange contracts:      

Average amounts purchased — in USD

  $ 17,728,202      

Average amounts sold — in USD

  $ 35,750,713      

 

 

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

  $ 16,880      $ 78,192  
 

 

 

    

 

 

 

Total derivative assets and liabilities in the Statement of Assets and Liabilities

    16,880        78,192  

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

            
 

 

 

    

 

 

 

Total derivative assets and liabilities subject to an MNA

    16,880        78,192  
 

 

 

    

 

 

 

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
 
 
 

 

 

Morgan Stanley & Co. International PLC

  $ 16,880      $ (16,880   $      $      $  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

 

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
 
 
(b)(c) 

 

 

Morgan Stanley & Co. International PLC

  $ 78,192      $ (16,880   $      $      $ 61,312  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

  (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 payable due to 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.

 

 

 

10  

2 0 2 2   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, 2022

   iShares® Currency Hedged MSCI Canada ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

 
    Level 1      Level 2     Level 3      Total  

 

 

 

Investments

                                                   

Assets

         

Investment Companies

  $ 20,186,581      $     $      $ 20,186,581  
 

 

 

    

 

 

   

 

 

    

 

 

 

Derivative financial instruments(a)

         

Assets

         

Forward Foreign Currency Exchange Contracts

  $      $ 16,880     $      $ 16,880  

Liabilities

         

Forward Foreign Currency Exchange Contracts

           (78,192            (78,192
 

 

 

    

 

 

   

 

 

    

 

 

 
  $      $ (61,312   $      $ (61,312
 

 

 

    

 

 

   

 

 

    

 

 

 

 

  (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, 2022

  

iShares® Currency Hedged MSCI Eurozone ETF

(Percentages shown are based on Net Assets)

 

Security   Shares      Value  

 

 

Investment Companies

    
Exchange-Traded Funds — 99.8%             

iShares MSCI Eurozone ETF(a)

    11,132,204      $ 488,481,112  
    

 

 

 

Total Investment Companies — 99.8%
(Cost: $538,979,455)

       488,481,112  
    

 

 

 

Short-Term Investments

    
Money Market Funds — 0.0%             

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.03%(a)(b)

    220,000        220,000  
    

 

 

 

Total Short-Term Investments — 0.0%
(Cost: $220,000)

       220,000  
    

 

 

 

Total Investments in Securities — 99.8%
(Cost: $539,199,455)

       488,701,112  

Other Assets, Less Liabilities — 0.2%

       882,449  
    

 

 

 

Net Assets — 100.0%

     $  489,583,561  
    

 

 

 

 

  (a) 

Affiliate of the Fund.

 
  (b) 

Annualized 7-day yield as of period end.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended February 28, 2022 for purposes of
Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer   Value at
08/31/21
    Purchases
at Cost
    Proceeds
from Sales
    Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
    Value at
02/28/22
    Shares
Held at
02/28/22
    Income    

Capital

Gain
Distributions
from
Underlying
Funds

     
 

 

   
 

BlackRock Cash Funds: Treasury, SL Agency Shares

  $ 1,160,000     $     $ (940,000 )(a)     $     $     $ 220,000       220,000     $ 16     $    
 

iShares MSCI Eurozone ETF

    744,520,226       196,456,630       (368,504,276     32,929,129       (116,920,597     488,481,112       11,132,204       8,509,478          
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   
          $ 32,929,129     $ (116,920,597   $ 488,701,112       $ 8,509,494     $    
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   

 

  (a) 

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         1,848,021      EUR 1,639,000      BB       

      03/03/22

   $ 10,224    
  USD 82,685      EUR 73,000      BNP       

      03/03/22

     831    
  USD 140,017      EUR 123,000      BOA       

      03/03/22

     2,098    
  USD 1,788,748      EUR 1,579,000      DBS       

      03/03/22

     18,228    
  USD 12,714,755      EUR 11,224,000      JPM       

      03/03/22

     129,381    
  USD 54,286,676      EUR 48,335,734      MS       

      03/03/22

     88,233    
  USD 479,823,581      EUR       427,793,611      SSB       

      03/03/22

     142,282    
  USD 3,658,572      EUR 3,201,000      UBS       

      03/03/22

     69,319    
  USD 50,668,334      EUR 45,051,734      MS         

      04/05/22

     83,127    
  USD 475,261,181      EUR 422,521,611      SSB       

      04/05/22

     843,419    
             

 

 

   
                1,387,142    
             

 

 

   
  EUR 11,025,000      USD 12,525,035      BB         

      03/03/22

     (162,797  

 

 

12  

2 0 2 2   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, 2022

  

iShares® Currency Hedged MSCI Eurozone ETF

 

Forward Foreign Currency Exchange Contracts (continued)

 

 

 

 

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

 

 

   
  EUR 109,000      USD         123,653      BNP         

      03/03/22

   $ (1,433  
  EUR 50,000      USD 57,219      BSCH       

      03/03/22

     (1,155  
  EUR 9,239,000      USD 10,363,029      CITI       

      03/03/22

     (3,417  
  EUR 59,000      USD 67,422      JPM         

      03/03/22

     (1,266  
  EUR 45,051,734      USD 50,603,955      MS          

      03/03/22

     (87,833  
  EUR     422,521,611      USD 474,576,274      SSB         

      03/03/22

     (806,422  
  EUR 5,913,000      USD 6,714,731      UBS         

      03/03/22

     (84,535  
  EUR 3,118,000      USD 3,501,940      JPM         

      04/05/22

     (972  
  EUR 19,566,000      USD 22,006,956      MS          

      04/05/22

     (37,765  
  USD 2,798,758      EUR 2,494,000      MS          

      04/05/22

     (1,567  
             

 

 

   
    

 

 

 

(1,189,162

 

 
             

 

 

   
   

                Net unrealized appreciation

  

 

$

 

197,980

 

 

 
             

 

 

   

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:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Assets — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized appreciation on forward foreign currency exchange contracts

  $ 1,387,142  
 

 

 

 

Liabilities — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized depreciation on forward foreign currency exchange contracts

  $ 1,189,162  
 

 

 

 

For the period ended February 28, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Net Realized Gain (Loss) from:

 

Forward foreign currency exchange contracts

  $ 41,297,276  
 

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on:

 

Forward foreign currency exchange contracts

  $ (3,293,072
 

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 
Forward foreign currency exchange contracts:      

Average amounts purchased — in USD

  $ 681,529,290      

Average amounts sold — in USD

  $ 1,341,522,324      

 

 

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

 

 

 

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, 2022

  

iShares® Currency Hedged MSCI Eurozone 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

  $ 1,387,142      $ 1,189,162  
 

 

 

    

 

 

 

Total derivative assets and liabilities in the Statement of Assets and Liabilities

    1,387,142        1,189,162  

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

            
 

 

 

    

 

 

 

Total derivative assets and liabilities subject to an MNA

    1,387,142        1,189,162  
 

 

 

    

 

 

 

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)  

 

 

Bank of America N.A.

  $ 2,098      $     $      $      $ 2,098  

Barclays Bank PLC

    10,224        (10,224                    

BNP Paribas SA

    831        (831                    

Deutsche Bank Securities Inc.

    18,228                            18,228  

JPMorgan Chase Bank N.A.

    129,381        (2,238                   127,143  

Morgan Stanley & Co. International PLC

    171,360        (127,165                   44,195  

State Street Bank and Trust Co.

    985,701        (806,422                   179,279  

UBS AG

    69,319        (69,319                    
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 1,387,142      $ (1,016,199   $      $      $ 370,943  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

 

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) 

 

 

Banco Santander Central Hispano

  $ 1,155      $     $      $      $ 1,155  

Barclays Bank PLC

    162,797        (10,224                   152,573  

BNP Paribas SA

    1,433        (831                   602  

Citibank N.A.

    3,417                            3,417  

JPMorgan Chase Bank N.A.

    2,238        (2,238                    

Morgan Stanley & Co. International PLC

    127,165        (127,165                    

State Street Bank and Trust Co.

    806,422        (806,422                    

UBS AG

    84,535        (69,319                   15,216  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 1,189,162      $ (1,016,199   $      $      $ 172,963  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

  (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.

 

 

 

14  

2 0 2 2   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, 2022

  

iShares® Currency Hedged MSCI Eurozone ETF

 

Fair Value Hierarchy as of Period End (continued)

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

 
    Level 1      Level 2     Level 3      Total  

 

 

Investments

         

Assets

         

Investment Companies

  $ 488,481,112      $     $           —      $ 488,481,112  

Money Market Funds

    220,000                     220,000  
 

 

 

    

 

 

   

 

 

    

 

 

 
  $ 488,701,112      $     $      $ 488,701,112  
 

 

 

    

 

 

   

 

 

    

 

 

 

Derivative financial instruments(a)

         

Assets

         

Forward Foreign Currency Exchange Contracts

  $      $ 1,387,142     $      $ 1,387,142  

Liabilities

         

Forward Foreign Currency Exchange Contracts

           (1,189,162            (1,189,162
 

 

 

    

 

 

   

 

 

    

 

 

 
  $      $ 197,980     $      $ 197,980  
 

 

 

    

 

 

   

 

 

    

 

 

 

 

  (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.

 

 

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)

February 28, 2022

  

iShares® Currency Hedged MSCI Germany ETF

(Percentages shown are based on Net Assets)

 

Security   Shares      Value  

 

 

Investment Companies

    
Exchange-Traded Funds — 99.8%             

iShares MSCI Germany ETF(a)

    1,715,876      $   49,897,674  
    

 

 

 

Total Investment Companies — 99.8%
(Cost: $60,394,563)

       49,897,674  
    

 

 

 

Short-Term Investments

    
Money Market Funds — 0.0%             

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.03%(a)(b)

    20,000        20,000  
    

 

 

 

Total Short-Term Investments — 0.0%
(Cost: $20,000)

       20,000  
    

 

 

 

Total Investments in Securities — 99.8%
(Cost: $60,414,563)

       49,917,674  

Other Assets, Less Liabilities — 0.2%

       89,777  
    

 

 

 

Net Assets — 100.0%

     $ 50,007,451  
    

 

 

 

 

  (a) 

Affiliate of the Fund.

 
  (b) 

Annualized 7-day yield as of period end.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended February 28, 2022 for purposes of
Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer   Value at
08/31/21
    Purchases
at Cost
    Proceeds
from Sales
    Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
    Value at
02/28/22
    Shares
Held at
02/28/22
    Income     Capital
Gain
Distributions
from
Underlying
Funds
     
 

 

   
 

BlackRock Cash Funds: Treasury, SL Agency Shares

  $ 30,000     $     $ (10,000 )(a)     $     $     $ 20,000       20,000     $ 2     $    
 

iShares MSCI Germany ETF

    63,381,021       112,060,033       (115,259,432     (268,822     (10,015,126     49,897,674       1,715,876       556,163          
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   
          $ (268,822   $ (10,015,126   $ 49,917,674       $ 556,165     $    
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   

 

  (a) 

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 1,630,846      EUR 1,442,000      BNP   

      03/03/22

   $ 13,944    
  USD 114,172      EUR 100,000      CBA   

      03/03/22

     2,043    
  USD 3,141,755      EUR 2,765,000      JPM   

      03/03/22

     41,384    
  USD 9,121,824      EUR 8,107,400      MS   

      03/03/22

     31,066    
  USD 50,544,666      EUR       45,062,600      SSB   

      03/03/22

     16,359    
  USD 1,588,172      EUR 1,402,000      UBS   

      03/03/22

     16,121    
  USD 5,942,111      EUR 5,283,400      MS   

      04/05/22

     9,779    
  USD 48,621,063      EUR 43,225,600      SSB   

      04/05/22

     86,286    
             

 

 

   
                216,982    
             

 

 

   
  EUR 42,000      USD 47,876      BNP   

      03/03/22

     (781  
  EUR 2,882,000      USD 3,296,430      CBA   

      03/03/22

     (64,868  
  EUR 176,000      USD 197,412      CITI   

      03/03/22

     (66  

 

 

16  

2 0 2 2   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, 2022

  

iShares® Currency Hedged MSCI Germany ETF

 

Forward Foreign Currency Exchange Contracts (continued)

 

 

 

 

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

 

 

   
  EUR 1,376,000      USD 1,559,029      JPM   

      03/03/22

   $ (16,132  
  EUR 5,283,400      USD 5,934,530      MS   

      03/03/22

     (10,299  
  EUR 43,225,600      USD       48,550,994      SSB   

      03/03/22

     (82,500  
  EUR 5,894,000      USD 6,719,796      UBS   

      03/03/22

     (110,905  
  EUR 2,797,000      USD 3,145,940      MS   

      04/05/22

     (5,399  
  USD 153,741      EUR 137,000      MS   

      04/05/22

     (86  
             

 

 

   
       (291,036  
             

 

 

   
   

        Net unrealized depreciation

   $ (74,054  
             

 

 

   

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:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Assets — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized appreciation on forward foreign currency exchange contracts

  $ 216,982  
 

 

 

 

Liabilities — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized depreciation on forward foreign currency exchange contracts

  $ 291,036  
 

 

 

 

For the period ended February 28, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Net Realized Gain (Loss) from:

 

Forward foreign currency exchange contracts

  $ 3,824,055  
 

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on:

 

Forward foreign currency exchange contracts

  $ (348,252
 

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 
Forward foreign currency exchange contracts:      

Average amounts purchased — in USD

  $ 73,441,134      

Average amounts sold — in USD

  $ 133,393,160      

 

 

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

  $ 216,982      $ 291,036  
 

 

 

    

 

 

 

Total derivative assets and liabilities in the Statement of Assets and Liabilities

    216,982        291,036  

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

            
 

 

 

    

 

 

 

Total derivative assets and liabilities subject to an MNA

    216,982        291,036  
 

 

 

    

 

 

 

 

 

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, 2022

  

iShares® Currency Hedged MSCI Germany ETF

 

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

  $ 13,944      $ (781   $      $      $ 13,163  

Commonwealth Bank of Australia

    2,043        (2,043                    

JPMorgan Chase Bank N.A.

    41,384        (16,132                   25,252  

Morgan Stanley & Co. International PLC

    40,845        (15,784                   25,061  

State Street Bank and Trust Co.

    102,645        (82,500                   20,145  

UBS AG

    16,121        (16,121                    
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 216,982      $ (133,361   $      $      $ 83,621  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

 

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

  $ 781      $ (781   $      $      $  

Citibank N.A.

    66                            66  

Commonwealth Bank of Australia

    64,868        (2,043                   62,825  

JPMorgan Chase Bank N.A.

    16,132        (16,132                    

Morgan Stanley & Co. International PLC

    15,784        (15,784                    

State Street Bank and Trust Co.

    82,500        (82,500                    

UBS AG

    110,905        (16,121                   94,784  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 291,036      $ (133,361   $      $      $ 157,675  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

  (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  

 

 

Investments

         

Assets

         

Investment Companies

  $ 49,897,674      $     $           —      $ 49,897,674  

Money Market Funds

    20,000                     20,000  
 

 

 

    

 

 

   

 

 

    

 

 

 
  $ 49,917,674      $     $      $ 49,917,674  
 

 

 

    

 

 

   

 

 

    

 

 

 

Derivative financial instruments(a)

         

Assets

         

Forward Foreign Currency Exchange Contracts

  $      $ 216,982     $      $ 216,982  

Liabilities

         

Forward Foreign Currency Exchange Contracts

           (291,036            (291,036
 

 

 

    

 

 

   

 

 

    

 

 

 
  $      $ (74,054   $      $ (74,054
 

 

 

    

 

 

   

 

 

    

 

 

 

 

  (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.

 

 

18  

2 0 2 2   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, 2022

  

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)

    8,232,037      $   518,124,409  
    

 

 

 

Total Investment Companies — 100.1%
(Cost: $565,842,661)

       518,124,409  
    

 

 

 

Short-Term Investments

    
Money Market Funds — 0.1%             

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.03%(a)(b)

    290,000        290,000  
    

 

 

 

Total Short-Term Investments — 0.1%
(Cost: $290,000)

       290,000  
    

 

 

 

Total Investments in Securities — 100.2%
(Cost: $566,132,661)

       518,414,409  

Other Assets, Less Liabilities — (0.2)%

       (997,902
    

 

 

 

Net Assets — 100.0%

     $ 517,416,507  
    

 

 

 

 

  (a) 

Affiliate of the Fund.

 
  (b) 

Annualized 7-day yield as of period end.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended February 28, 2022 for purposes of
Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer   Value at
08/31/21
    Purchases
at Cost
    Proceeds
from Sales
    Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
    Value at
02/28/22
    Shares
Held at
02/28/22
    Income     Capital
Gain
Distributions
from
Underlying
Funds
     
 

 

   
 

BlackRock Cash Funds: Treasury, SL Agency Shares

  $ 210,000     $ 80,000 (a)     $     $     $     $ 290,000       290,000     $ 24     $    
 

iShares MSCI Japan ETF

    534,387,175       384,819,377       (336,345,935     (6,140,304     (58,595,904     518,124,409       8,232,037       9,920,083          
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   
          $ (6,140,304   $ (58,595,904   $ 518,414,409       $ 9,920,107     $    
         

 

 

   

 

 

   

 

 

     

 

 

   

 

 

   

 

  (a) 

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       54,519,500,800      USD 473,385,014      BNP   

      03/03/22

   $ 849,887    
  JPY 216,292,000      USD 1,878,068      BNY   

      03/03/22

     3,336    
  JPY 5,257,640,000      USD 45,639,723      BOA   

      03/03/22

     93,571    
  JPY 449,223,000      USD 3,871,677      BSCH   

      03/03/22

     35,864    
  JPY 281,195,000      USD 2,445,905      JPM   

      03/03/22

     55    
  JPY 6,675,092,200      USD 57,957,218      MS   

      03/03/22

     105,707    
  USD 3,790,465      JPY 433,766,000      ANZ   

      03/03/22

     17,375    
  JPY 192,112,000      USD 1,669,334      RBS   

      04/05/22

     3,013    
  USD 10,029,078      JPY       1,151,619,000      BOA   

      04/05/22

     4,158    
             

 

 

   
                1,112,966    
             

 

 

   
  JPY 4,384,000      USD 38,179      CBA   

      03/03/22

     (45  
  JPY 657,098,000      USD 5,717,873      UBS   

      03/03/22

     (2,142  

 

 

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, 2022

  

iShares® Currency Hedged MSCI Japan ETF

 

Forward Foreign Currency Exchange Contracts (continued)

 

 

 

 

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

 

 

   
  USD 521,491,578      JPY         60,075,829,800      BOA   

      03/03/22

   $ (1,074,747  
  USD 1,859,778      JPY 214,056,000      CITI   

      03/03/22

     (2,176  
  USD 3,801,439      JPY 439,260,000      JPM   

      03/03/22

     (19,440  
  USD 59,869,521      JPY 6,897,513,200      MS   

      03/03/22

     (128,121  
  JPY 654,075,000      USD 5,695,798      HSBC   

      04/05/22

     (2,031  
  USD             464,374,847      JPY 53,445,661,800      BNP   

      04/05/22

     (873,221  
  USD 57,997,003      JPY 6,675,092,200      MS   

      04/05/22

     (110,122  
             

 

 

   
       (2,212,045  
             

 

 

   
   

        Net unrealized depreciation

   $ (1,099,079  
             

 

 

   

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:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Assets — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized appreciation on forward foreign currency exchange contracts

  $ 1,112,966  
 

 

 

 

Liabilities — Derivative Financial Instruments

 

Forward foreign currency exchange contracts

 

Unrealized depreciation on forward foreign currency exchange contracts

  $ 2,212,045  
 

 

 

 

For the period ended February 28, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

 
    Foreign
Currency
Exchange
Contracts
 

 

 

Net Realized Gain (Loss) from:

 

Forward foreign currency exchange contracts

  $ 31,043,874  
 

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on:

 

Forward foreign currency exchange contracts

  $ (2,517,472
 

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 
Forward foreign currency exchange contracts:      

Average amounts purchased — in USD

  $ 595,649,675      

Average amounts sold — in USD

  $ 1,141,269,536      

 

 

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

  $ 1,112,966      $ 2,212,045  
 

 

 

    

 

 

 

Total derivative assets and liabilities in the Statement of Assets and Liabilities

    1,112,966        2,212,045  

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

            
 

 

 

    

 

 

 

Total derivative assets and liabilities subject to an MNA

    1,112,966        2,212,045  
 

 

 

    

 

 

 

 

 

20  

2 0 2 2   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, 2022

  

iShares® Currency Hedged MSCI Japan ETF

 

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)  

 

 

Australia and New Zealand Bank Group

  $ 17,375      $     $      $      $ 17,375  

Banco Santander Central Hispano

    35,864                            35,864  

Bank of America N.A.

    97,729        (97,729                    

Bank of New York

    3,336                            3,336  

BNP Paribas SA

    849,887        (849,887                    

JPMorgan Chase Bank N.A.

    55        (55                    

Morgan Stanley & Co. International PLC

    105,707        (105,707                    

Royal Bank of Scotland PLC

    3,013                            3,013  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 1,112,966      $ (1,053,378   $      $      $ 59,588  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

 

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 America N.A.

  $ 1,074,747      $ (97,729   $      $      $ 977,018  

BNP Paribas SA

    873,221        (849,887                   23,334  

Citibank N.A.

    2,176                            2,176  

Commonwealth Bank of Australia

    45                            45  

HSBC Bank PLC

    2,031                            2,031  

JPMorgan Chase Bank N.A.

    19,440        (55                   19,385  

Morgan Stanley & Co. International PLC

    238,243        (105,707                   132,536  

UBS AG

    2,142                            2,142  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 
  $ 2,212,045      $ (1,053,378   $      $      $ 1,158,667  
 

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

 

  (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.

 

 

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

  21


Schedule of Investments (unaudited) (continued)

February 28, 2022

  

iShares® Currency Hedged MSCI Japan ETF

 

Fair Value Hierarchy as of Period End (continued)

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

 
    Level 1      Level 2     Level 3      Total  

 

 

Investments

         

Assets

         

Investment Companies

  $ 518,124,409      $     $           —      $ 518,124,409  

Money Market Funds

    290,000                     290,000  
 

 

 

    

 

 

   

 

 

    

 

 

 
  $ 518,414,409      $     $      $ 518,414,409  
 

 

 

    

 

 

   

 

 

    

 

 

 

Derivative financial instruments(a)

         

Assets

         

Forward Foreign Currency Exchange Contracts

  $      $ 1,112,966     $      $ 1,112,966  

Liabilities

         

Forward Foreign Currency Exchange Contracts

           (2,212,045            (2,212,045
 

 

 

    

 

 

   

 

 

    

 

 

 
  $      $ (1,099,079   $      $ (1,099,079
 

 

 

    

 

 

   

 

 

    

 

 

 

 

  (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.

 

 

22  

2 0 2 2   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 Assets and Liabilities (unaudited)

February 28, 2022

 

    

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 in securities, at value:

        

Affiliated(a)

  $ 20,186,581      $ 488,701,112     $ 49,917,674     $ 518,414,409  

Cash

    10,226        7,684       7,304       427  

Receivables:

        

Investments sold

    47,917        691,771       157,686       94,083  

Capital shares sold

                       8,392  

Dividends

                 1       8  

Unrealized appreciation on:

        

Forward foreign currency exchange contracts

    16,880        1,387,142       216,982       1,112,966  
 

 

 

    

 

 

   

 

 

   

 

 

 

Total assets

    20,261,604        490,787,709       50,299,647       519,630,285  
 

 

 

    

 

 

   

 

 

   

 

 

 

LIABILITIES

        

Payables:

        

Capital shares redeemed

           3,009              

Investment advisory fees

    463        11,977       1,160       1,733  

Unrealized depreciation on:

        

Forward foreign currency exchange contracts

    78,192        1,189,162       291,036       2,212,045  
 

 

 

    

 

 

   

 

 

   

 

 

 

Total liabilities

    78,655        1,204,148       292,196       2,213,778  
 

 

 

    

 

 

   

 

 

   

 

 

 

NET ASSETS

  $ 20,182,949      $ 489,583,561     $ 50,007,451     $ 517,416,507  
 

 

 

    

 

 

   

 

 

   

 

 

 

NET ASSETS CONSIST OF:

        

Paid-in capital

  $ 17,917,235      $ 503,843,148     $ 100,925,580     $ 595,638,115  

Accumulated earnings (loss)

    2,265,714        (14,259,587     (50,918,129     (78,221,608
 

 

 

    

 

 

   

 

 

   

 

 

 

NET ASSETS

  $ 20,182,949      $ 489,583,561     $ 50,007,451     $ 517,416,507  
 

 

 

    

 

 

   

 

 

   

 

 

 

Shares outstanding

    610,000        14,300,000       1,700,000       13,900,000  
 

 

 

    

 

 

   

 

 

   

 

 

 

Net asset value

  $ 33.09      $ 34.24     $ 29.42     $ 37.22  
 

 

 

    

 

 

   

 

 

   

 

 

 

Shares authorized

    Unlimited        Unlimited       Unlimited       Unlimited  
 

 

 

    

 

 

   

 

 

   

 

 

 

Par value

    None        None       None       None  
 

 

 

    

 

 

   

 

 

   

 

 

 

(a)   Investments, at cost — Affiliated

  $ 18,070,279      $ 539,199,455     $ 60,414,563     $ 566,132,661  

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 Operations (unaudited)

Six Months Ended February 28, 2022

 

     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

  $ 232,840     $ 8,509,494     $ 556,165     $ 9,920,107  
 

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income

    232,840       8,509,494       556,165       9,920,107  
 

 

 

   

 

 

   

 

 

   

 

 

 

EXPENSES

       

Investment advisory fees

    55,226       2,002,081       160,642       1,640,256  

Commitment fees

          2,983       305       3,286  

Professional fees

    217       217       217       217  
 

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses

    55,443       2,005,281       161,164       1,643,759  

Less:

       

Investment advisory fees waived

    (52,773     (1,908,407     (149,971     (1,634,275
 

 

 

   

 

 

   

 

 

   

 

 

 

Total expenses after fees waived

    2,670       96,874       11,193       9,484  
 

 

 

   

 

 

   

 

 

   

 

 

 

Net investment income

    230,170       8,412,620       544,972       9,910,623  
 

 

 

   

 

 

   

 

 

   

 

 

 

REALIZED AND UNREALIZED GAIN (LOSS)

       

Net realized gain (loss) from:

       

Investments — Affiliated

    (980     (721,707     (160,265     (1,190,024

In-kind redemptions — Affiliated

    624,076       33,650,836       (108,557     (4,950,280

Forward foreign currency exchange contracts

    220,101       41,297,276       3,824,055       31,043,874  
 

 

 

   

 

 

   

 

 

   

 

 

 

Net realized gain

    843,197       74,226,405       3,555,233       24,903,570  
 

 

 

   

 

 

   

 

 

   

 

 

 

Net change in unrealized appreciation (depreciation) on:

       

Investments — Affiliated

    (104,866     (116,920,597     (10,015,126     (58,595,904

Forward foreign currency exchange contracts

    (204,288     (3,293,072     (348,252     (2,517,472
 

 

 

   

 

 

   

 

 

   

 

 

 

Net change in unrealized appreciation (depreciation)

    (309,154     (120,213,669     (10,363,378     (61,113,376
 

 

 

   

 

 

   

 

 

   

 

 

 

Net realized and unrealized gain (loss)

    534,043       (45,987,264     (6,808,145     (36,209,806
 

 

 

   

 

 

   

 

 

   

 

 

 

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

  $ 764,213     $ (37,574,644   $ (6,263,173   $ (26,299,183
 

 

 

   

 

 

   

 

 

   

 

 

 

See notes to financial statements.

 

 

24  

2 0 2 2   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

 

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

 

Six Months  
Ended  
02/28/22  
(unaudited)  

  Year Ended  
08/31/21  
       

 

Six Months  
Ended  
02/28/22  
(unaudited)  

  Year Ended  
08/31/21  

INCREASE (DECREASE) IN NET ASSETS

                    

OPERATIONS

                    

Net investment income

    $ 230,170     $ 216,856          $ 8,412,620     $ 15,085,514

Net realized gain (loss)

      843,197       (97,038 )            74,226,405       33,361,588

Net change in unrealized appreciation (depreciation)

      (309,154 )       2,839,398            (120,213,669 )       125,904,966
   

 

 

     

 

 

          

 

 

     

 

 

 

Net increase (decrease) in net assets resulting from operations

      764,213       2,959,216            (37,574,644 )       174,352,068
   

 

 

     

 

 

          

 

 

     

 

 

 

DISTRIBUTIONS TO SHAREHOLDERS(a)

                    

Decrease in net assets resulting from distributions to shareholders

      (461,090 )       (217,525 )            (7,003,856 )       (15,122,753 )
   

 

 

     

 

 

          

 

 

     

 

 

 

CAPITAL SHARE TRANSACTIONS

                    

Net increase (decrease) in net assets derived from capital share transactions

      3,310,143       2,272,139            (210,507,858 )       15,471,012
   

 

 

     

 

 

          

 

 

     

 

 

 

NET ASSETS

                    

Total increase (decrease) in net assets

      3,613,266       5,013,830            (255,086,358 )       174,700,327

Beginning of period

      16,569,683       11,555,853            744,669,919       569,969,592
   

 

 

     

 

 

          

 

 

     

 

 

 

End of period

    $ 20,182,949     $ 16,569,683          $ 489,583,561     $ 744,669,919
   

 

 

     

 

 

          

 

 

     

 

 

 

 

(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


Statements of Changes in Net Assets (continued)

 

    iShares
Currency Hedged MSCI Germany ETF
       iShares
Currency Hedged MSCI Japan ETF
    

 

Six Months  
Ended  
02/28/22  
(unaudited)  

  Year Ended  
08/31/21  
       

 

Six Months  
Ended  
02/28/22  
(unaudited)  

  Year Ended  
08/31/21  

INCREASE (DECREASE) IN NET ASSETS

                    

OPERATIONS

                    

Net investment income

    $ 544,972     $ 1,850,036          $ 9,910,623     $ 5,002,260

Net realized gain

      3,555,233       6,348,167            24,903,570       46,915,341

Net change in unrealized appreciation (depreciation)

      (10,363,378 )       5,384,005            (61,113,376 )       20,601,765
   

 

 

     

 

 

          

 

 

     

 

 

 

Net increase (decrease) in net assets resulting from operations

      (6,263,173 )       13,582,208            (26,299,183 )       72,519,366
   

 

 

     

 

 

          

 

 

     

 

 

 

DISTRIBUTIONS TO SHAREHOLDERS(a)

                    

Decrease in net assets resulting from distributions to shareholders

      (546,227 )       (1,854,347 )            (9,917,510 )       (5,002,254 )
   

 

 

     

 

 

          

 

 

     

 

 

 

CAPITAL SHARE TRANSACTIONS

                    

Net increase (decrease) in net assets derived from capital share transactions

      (6,577,521 )       (24,290,125 )            18,234,792       220,624,947
   

 

 

     

 

 

          

 

 

     

 

 

 

NET ASSETS

                    

Total increase (decrease) in net assets

      (13,386,921 )       (12,562,264 )            (17,981,901 )       288,142,059

Beginning of period

      63,394,372       75,956,636            535,398,408       247,256,349
   

 

 

     

 

 

          

 

 

     

 

 

 

End of period

    $ 50,007,451     $ 63,394,372          $ 517,416,507     $ 535,398,408
   

 

 

     

 

 

          

 

 

     

 

 

 

 

(a) 

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

See notes to financial statements.

 

 

26  

2 0 2 2   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

(For a share outstanding throughout each period)

 

   

iShares Currency Hedged MSCI Canada ETF

 
 

 

 

 
   

 

Six Months Ended
02/28/22
(unaudited)

          Year Ended
08/31/21
    Year Ended
08/31/20
    Year Ended
08/31/19
    Year Ended
08/31/18
    Year Ended
08/31/17
 

 

 

Net asset value, beginning of period

    $ 32.49       $ 25.68     $ 26.41     $ 26.79     $ 24.70     $ 23.54  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net investment income(a)

      0.42         0.53       0.71       0.59       0.56       0.24  

Net realized and unrealized gain(b)

      1.00         6.80       0.30       0.30       2.10       1.38  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase from investment operations

      1.42         7.33       1.01       0.89       2.66       1.62  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions(c)

               

From net investment income

      (0.82       (0.52     (1.37     (0.64     (0.57     (0.46

From net realized gain

                    (0.37     (0.63            
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

      (0.82       (0.52     (1.74     (1.27     (0.57     (0.46
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net asset value, end of period

    $ 33.09       $ 32.49     $ 25.68     $ 26.41     $ 26.79     $ 24.70  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Return(d)

               

Based on net asset value

      4.37 %(e)        28.81     4.08     3.84     10.82     6.86
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

      2.58 %(g)        1.84     2.75     2.31     2.12     0.98
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Supplemental Data

               

Net assets, end of period (000)

             $ 20,183             $ 16,570     $ 11,556     $ 38,290     $ 5,357     $ 2,470  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Portfolio turnover rate(h)

      5 %(e)         10     15     12     10     8
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

(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.

 

 

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 Eurozone ETF

 
 

 

 

 
   

 

Six Months Ended
02/28/22
(unaudited)

          Year Ended
08/31/21
    Year Ended
08/31/20
    Year Ended
08/31/19
   

Year Ended

08/31/18

    Year Ended
08/31/17
 

 

 

Net asset value, beginning of period

    $ 37.33       $ 28.36     $ 29.86     $ 29.76     $ 28.83     $ 24.73  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net investment income(a)

      0.48         0.83       0.35       0.76       0.79       0.64  

Net realized and unrealized gain (loss)(b)

      (3.11       9.00       (0.64     0.24       1.03       4.07  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) from investment operations

      (2.63       9.83       (0.29     1.00       1.82       4.71  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Distributions(c)

               

From net investment income

      (0.46       (0.86     (0.38     (0.90     (0.89     (0.61

From net realized gain

                    (0.83     (0.00 )(d)              

Return of capital

                    (0.00 )(d)                   (0.00 )(d)  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total distributions

      (0.46       (0.86     (1.21     (0.90     (0.89     (0.61
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net asset value, end of period

    $ 34.24       $ 37.33     $ 28.36     $ 29.86     $ 29.76     $ 28.83  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Return(e)

               

Based on net asset value

      (7.16 )%(f)        35.04     (1.21 )%      3.41     6.36     19.13
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

      2.61 %(h)         2.52     1.18     2.63     2.61     2.32
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Supplemental Data

               

Net assets, end of period (000)

             $ 489,584             $ 744,670     $ 569,970     $ 868,987     $ 1,660,448     $ 1,791,673  
   

 

 

     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Portfolio turnover rate(i)

      2 %(f)         14     10     5     11     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.