August
31,
2023
iShares
Trust
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
|
USCL
|
NASDAQ
iShares
ESG
Advanced
MSCI
USA
ETF
|
USXF
|
NASDAQ
2023
Annual
Report
Dear
Shareholder,
Despite
an
uncertain
economic
landscape
during
the
12-month
reporting
period
ended
August
31,
2023,
the
resilience
of
the
U.S.
economy
in
the
face
of
ever
tighter
financial
conditions
provided
an
encouraging
backdrop
for
investors.
While
inflation
was
near
multi-decade
highs
at
the
beginning
of
the
period,
it
declined
precipitously
as
commodity
prices
dropped.
Labor
shortages
also
moderated,
although
wages
continued
to
grow
and
unemployment
rates
reached
the
lowest
levels
in
decades.
This
robust
labor
market
powered
further
growth
in
consumer
spending,
backstopping
the
economy.
Equity
returns
were
solid,
as
the
durability
of
consumer
sentiment
eased
investors’
concerns
about
the
economy’s
trajectory.
The
U.S.
economy
resumed
growth
in
the
third
quarter
of
2022
and
continued
to
expand
thereafter.
Most
major
classes
of
equities
rose,
as
large-capitalization
U.S.
stocks
and
developed
market
equities
advanced
strongly.
However,
small-capitalization
U.S.
stocks
and
emerging
market
equities
posted
more
modest
gains.
The
10-year
U.S.
Treasury
yield
rose
during
the
reporting
period,
driving
its
price
down,
as
investors
reacted
to
elevated
inflation
and
attempted
to
anticipate
future
interest
rate
changes.
The
corporate
bond
market
also
faced
inflationary
headwinds,
although
high-yield
corporate
bond
prices
fared
significantly
better
than
investment-grade
bonds
as
demand
from
yield-seeking
investors
remained
strong.
The
U.S.
Federal
Reserve
(the
“Fed”),
acknowledging
that
inflation
has
been
more
persistent
than
expected,
raised
interest
rates
seven
times
during
the
12-month
period.
Furthermore,
the
Fed
wound
down
its
bond-buying
programs
and
incrementally
reduced
its
balance
sheet
by
not
replacing
securities
that
reach
maturity.
However,
the
Fed
declined
to
raise
interest
rates
at
its
June
2023
meeting,
the
first
time
it
paused
its
tightening
in
the
current
cycle,
before
again
raising
rates
in
July
2023.
Supply
constraints
appear
to
have
become
an
embedded
feature
of
the
new
macroeconomic
environment,
making
it
difficult
for
developed
economies
to
increase
production
without
sparking
higher
inflation.
Geopolitical
fragmentation
and
an
aging
population
risk
further
exacerbating
these
constraints,
keeping
the
labor
market
tight
and
wage
growth
high.
Although
the
Fed
has
decelerated
the
pace
of
interest
rate
hikes
and
recently
opted
for
two
pauses,
we
believe
that
the
new
economic
regime
means
that
the
Fed
will
need
to
maintain
high
rates
for
an
extended
period
to
keep
inflation
under
control.
Furthermore,
ongoing
structural
changes
may
mean
that
the
Fed
will
be
hesitant
to
cut
interest
rates
in
the
event
of
faltering
economic
activity
lest
inflation
accelerate
again.
We
believe
investors
should
expect
a
period
of
higher
volatility
as
markets
adjust
to
the
new
economic
reality
and
policymakers
attempt
to
adapt.
While
we
favor
an
overweight
position
to
developed
market
equities
in
the
long
term,
we
prefer
an
underweight
stance
in
the
near
term.
Expectations
for
corporate
earnings
remain
elevated,
which
seems
inconsistent
with
macroeconomic
constraints.
Nevertheless,
we
are
overweight
on
emerging
market
stocks
in
the
near
term
as
growth
trends
for
emerging
markets
appear
brighter.
We
also
believe
that
stocks
with
an
AI
tilt
should
benefit
from
an
investment
cycle
that
is
set
to
support
revenues
and
margins.
In
credit,
there
are
selective
opportunities
in
the
near
term
despite
tightening
credit
and
financial
conditions.
For
fixed
income
investing
with
a
six-
to
twelve-month
horizon,
we
see
the
most
attractive
investments
in
short-term
U.S.
Treasuries,
U.S.
inflation-linked
bonds,
U.S.
mortgage-backed
securities,
and
hard-
currency
emerging
market
bonds.
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.
Sincerely,
Rob
Kapito
President,
BlackRock,
Inc.
The
Markets
in
Review
Rob
Kapito
President,
BlackRock,
Inc.
Total
Returns
as
of
August
31,
2023
Past
performance
is
not
an
indication
of
future
results.
Index
performance
is
shown
for
illustrative
purposes
only.
You
cannot
invest
directly
in
an
index.
6-Month
12-Month
U.S.
large
cap
equities
(S&P
500
®
Index)
14.50%
15.94%
U.S.
small
cap
equities
(Russell
2000
®
Index)
0.99
4.65
International
equities
(MSCI
Europe,
Australasia,
Far
East
Index)
4.75
17.92
Emerging
market
equities
(MSCI
Emerging
Markets
Index)
3.62
1.25
3-month
Treasury
bills
(ICE
BofA
3-Month
U.S.
Treasury
Bill
Index)
2.47
4.25
U.S.
Treasury
securities
(ICE
BofA
10-Year
U.S.
Treasury
Index)
0.11
(4.71)
U.S.
investment
grade
bonds
(Bloomberg
U.S.
Aggregate
Bond
Index)
0.95
(1.19)
Tax-exempt
municipal
bonds
(Bloomberg
Municipal
Bond
Index)
1.04
1.70
U.S.
high
yield
bonds
(Bloomberg
U.S.
Corporate
High
Yield
2%
Issuer
Capped
Index)
4.55
7.19
2
This
Page
is
not
Part
of
Your
Fund
Report
Table
of
Contents
Page
3
The
Markets
in
Review
...................................................................................................
2
Annual
Report:
Market
Overview
.......................................................................................................
4
Fund
Summary
........................................................................................................
5
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
.....................................................................................................
25
Notes
to
Financial
Statements
...............................................................................................
27
Report
of
Independent
Registered
Public
Accounting
Firm
..............................................................................
34
Important
Tax
Information
.................................................................................................
35
Board
Review
and
Approval
of
Investment
Advisory
Contract
...........................................................................
36
Supplemental
Information
.................................................................................................
40
Trustee
and
Officer
Information
..............................................................................................
41
General
Information
.....................................................................................................
43
Glossary
of
Terms
Used
in
this
Report
..........................................................................................
44
Market
Overview
4
2023
iShares
Annual
Report
to
Shareholders
iShares
Trust
Domestic
Market
Overview
U.S.
stocks
advanced
for
the
12
months
ended
August
31,
2023
(“reporting
period”),
when
the
Russell
3000
®
Index,
a
broad
measure
of
U.S.
equity
market
performance,
returned
14.76%.
Economic
strength
in
the
face
of
tightening
monetary
conditions
drove
investor
optimism
surrounding
the
resilience
of
the
domestic
economy.
Meanwhile,
decelerating
inflation
alleviated
concerns
related
to
potential
overheating
and
led
investors
to
anticipate
an
end
to
monetary
tightening.
Nonetheless,
investors
watched
the
economy
closely
for
the
impact
of
higher
interest
rates,
and
several
bank
failures
in
early
2023
highlighted
the
potential
second-order
effects
of
tight
monetary
conditions.
However,
government
agencies
acted
swiftly
to
organize
a
sale
of
the
failed
banks’
assets
and
inject
liquidity
into
the
banking
system,
and
equity
prices
recovered.
As
the
reporting
period
began,
inflation,
which
surged
in
the
aftermath
of
the
coronavirus
pandemic,
stood
near
multi-decade
highs.
However,
the
inflation
rate
declined
substantially
thereafter,
although
it
remained
higher
than
pre-pandemic
levels.
Lower
energy
costs
and
the
resolution
of
supply
chain
disruptions
helped
ease
inflation,
as
the
cost
of
transportation
and
shipping
moderated
significantly.
The
U.S.
Federal
Reserve
(“Fed”)
tightened
monetary
policy
rapidly,
raising
short-term
interest
rates
seven
times
over
the
course
of
the
reporting
period.
The
pace
of
tightening
decelerated
as
the
Fed
twice
lowered
the
increment
of
increase
before
pausing
entirely
in
June
2023,
the
first
time
it
declined
to
act
since
the
tightening
cycle
began.
However,
the
Fed
then
raised
interest
rates
again
at
its
July
2023
meeting
and
stated
that
it
will
continue
to
monitor
economic
data.
The
Fed
also
continued
to
decrease
the
size
of
its
balance
sheet
by
reducing
the
store
of
U.S.
Treasuries
it
had
accumulated
to
stabilize
markets
in
the
early
phases
of
the
coronavirus
pandemic.
Despite
the
tightening
financial
conditions,
the
U.S.
economy
demonstrated
continued
strength.
The
economy
returned
to
growth
in
the
third
quarter
of
2022
and
showed
robust,
if
slightly
slower,
growth
thereafter.
Consumers
powered
the
economy,
increasing
their
spending
in
both
nominal
and
inflation-adjusted
terms.
A
strong
labor
market
bolstered
spending,
as
unemployment
remained
low,
and
the
number
of
employed
persons
reached
an
all-time
high.
Tightness
in
the
labor
market
drove
higher
wages,
although
wage
growth
slowed
as
the
reporting
period
continued.
Despite
a
divided
government,
the
U.S.
Congress
was
able
to
strike
a
deal
in
May
2023
to
raise
the
debt
ceiling,
averting
a
potential
government
default.
While
that
deal
enacted
modest
spending
cuts,
government
spending
rose
overall,
and
several
significant
investment
bills
also
passed.
These
included
the
CHIPS
Act,
which
encouraged
the
building
of
semiconductor
capacity
in
the
U.S.,
and
the
Inflation
Reduction
Act,
which
provided
subsidies
for
various
climate-related
initiatives.
These
new
incentives
helped
drive
a
sharp
increase
in
factory
construction
during
the
reporting
period.
In
this
environment,
corporate
profits
remained
solid,
and
many
companies
were
able
to
sufficiently
raise
prices
to
preserve
profit
margins
even
in
the
face
of
higher
labor
and
input
costs.
Nonetheless,
profits
declined
overall
in
the
fourth
quarter
of
2022
and
the
first
quarter
of
2023
before
rebounding
slightly
in
the
second
quarter
of
2023.
The
yield
curve
(a
graphical
representation
of
U.S.
Treasury
rates
at
different
maturities)
further
inverted,
a
sign
that
markets
were
concerned
about
the
impact
of
higher
borrowing
costs
on
the
economy.
Furthermore,
dwindling
personal
savings
and
rising
household
debt
raised
questions
about
the
sustainability
of
consumer
spending
as
an
engine
of
economic
growth.
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
5
Fund
Summary
Fund
Summary
as
of
August
31,
2023
Investment
Objective
The
iShares Climate
Conscious
&
Transition
MSCI
USA
ETF (the
“Fund”)
seeks
to
track
the
investment
results
of
an
index
composed
of
U.S.
large-
and
mid-capitalization
companies
based
on
their
positioning,
relative
to
their
sector
peers,
with
respect
to
the
transition
to
a
low-carbon
economy,
as
determined
by
the
Index
Provider,
based
primarily
on
current
emissions
intensity,
emissions
reduction
targets,
green
business
revenue,
and/or
climate
risk
management,
as
represented 
by
the
MSCI
USA
Extended
Climate
Action
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.
Performance
For
the
fiscal
period
ended
August
31,
2023,
the
Fund
did
not
have
six
months
of
performance
and
therefore
line
graphs
are
not
presented.
The
inception
date
of
the
Fund
was
June
6,
2023.
The
first
day
of
secondary
market
trading
was
June
8,
2023.
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
Portfolio
Information
Cumulative
Total
Returns
Since
Inception
Fund
NAV
........................................................................................................
6.41
%
Fund
Market
......................................................................................................
–
%
6.55
Index
...........................................................................................................
6.44
Actual
Hypothetical
5%
Return
Beginning
Account
Value
(06/06/23)
(a)
Ending
Account
Value
(08/31/23)
Expenses
Paid
During
the
Period
(b)
Beginning
Account
Value
(03/01/23)
Ending
Account
Value
(08/31/23)
Expenses
Paid
During
the
Period
(b)
Annualized
Expense
Ratio
$
1,000.00
‌
$
1,064.10
‌
$
0.19
‌
$
1,000.00
‌
$
1,024.80
‌
$
0.41
‌
0.08
%
(a)
Commencement
of
operations.
(b)
Expenses
are
equal
to
the
annualized
expense
ratio,
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
86/365
for
actual
expenses
and
184/365
for
hypothetical
expenses
(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.
SECTOR
ALLOCATION
Sector
Percent
of
Total
Investments
(a)
Information
Technology
............................
27.4‌
%
Health
Care
...................................
16.5‌
Financials
.....................................
13.2‌
Communication
Services
...........................
11.9‌
Consumer
Discretionary
...........................
9.1‌
Industrials
.....................................
7.6‌
Energy
.......................................
3.8‌
Consumer
Staples
...............................
3.0‌
Utilities
.......................................
2.6‌
Real
Estate
....................................
2.5‌
Materials
.....................................
2.4‌
a
a
(a)
Excludes
money
market
funds.
TEN
LARGEST
HOLDINGS
Security
Percent
of
Total
Investments
(a)
Apple,
Inc.
....................................
4.9‌
%
NVIDIA
Corp.
..................................
4.9‌
Microsoft
Corp.
.................................
4.7‌
Tesla,
Inc.
.....................................
3.0‌
Alphabet,
Inc.,
Class
A
............................
2.7‌
Meta
Platforms,
Inc.,
Class
A
........................
2.6‌
Alphabet,
Inc.,
Class
C,
NVS
........................
2.4‌
Eli
Lilly
&
Co.
..................................
1.8‌
UnitedHealth
Group,
Inc.
...........................
1.8‌
JPMorgan
Chase
&
Co.
...........................
1.7‌
      aaa
aa
iShares
®
ESG
Advanced
MSCI
USA
ETF
6
2023
iShares
Annual
Report
to
Shareholders
Fund
Summary
as
of
August
31,
2023
Investment
Objective
The
iShares
ESG
Advanced
MSCI
USA
ETF
(the
“Fund”)
seeks
to
track
the
investment
results
of
an
index
composed
of
large-
and
mid-capitalization
U.S.
companies
that
have
a
favorable
environmental,
social
and
governance
rating
while
applying
extensive
screens
for
company
involvement
in
controversial
activities,
as
represented
by
the
MSCI
USA
Choice
ESG
Screened
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.
Performance
GROWTH
OF
$10,000
INVESTMENT
(SINCE
INCEPTION
AT
NET
ASSET
VALUE)
The
inception
date
of
the
Fund
was
June
16,
2020.
The
first
day
of
secondary
market
trading
was
June
18,
2020.
The
performance
for
the
Index
shown
is
calculated
with
gross
dividends
reinvested
since
inception.
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
Average
Annual
Total
Returns
Cumulative
Total
Returns
1
Year
Since
Inception
1
Year
Since
Inception
Fund
NAV
..............................................................
20.65
%
13.42
%
20.65
%
49.83
%
Fund
Market
............................................................
20.95
13.41
–
%
20.95
49.77
Index
.................................................................
20.78
13.60
20.78
50.49
Actual
Hypothetical
5%
Return
Beginning
Account
Value
(03/01/23)
Ending
Account
Value
(08/31/23)
Expenses
Paid
During
the
Period
(a)
Beginning
Account
Value
(03/01/23)
Ending
Account
Value
(08/31/23)
Expenses
Paid
During
the
Period
(a)
Annualized
Expense
Ratio
$
1,000.00
‌
$
1,152.00
‌
$
0.54
‌
$
1,000.00
‌
$
1,024.70
‌
$
0.51
‌
0.10
%
(a)
Expenses
are
equal
to
the
annualized
expense
ratio,
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(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.
iShares
®
ESG
Advanced
MSCI
USA
ETF
Fund
Summary
as
of
August
31,
2023
(continued)
7
Fund
Summary
Portfolio
Management
Commentary
Investor
interest
in
the
environmental,
social,
and
governance
(“ESG”)
attributes
of
companies
was
mixed
during
the
reporting
period.
There
were
net
outflows
from
ESG-
themed
equity
investments
in
an
environment
characterized
by
persistent
inflation,
rising
interest
rates,
and
recessionary
fears.
During
the
reporting
period,
the
Index
of
stocks
of
large-
and
mid-cap
U.S.
companies
with
favorable
ESG
characteristics
and
screened
for
controversial
activities
advanced
substantially.
The
information
technology
sector
contributed
the
most
to
the
Index’s
return,
as
new
developments
in
artificial
intelligence
(“AI”)
applications
boosted
stocks
in
the
sector.
The
semiconductors
and
semiconductor
equipment
industry
were
the
leading
sources
of
strength.
Generative
AI
is
computationally
intensive,
and
the
strong
interest
in
the
area
benefited
companies
that
manufacture
specialty
microchips
that
can
be
used
for
these
applications.
The
industrials
sector
further
contributed
to
the
Index’s
performance,
as
the
strong
economy
and
government
investment
drove
a
large
increase
in
construction
of
new
manufacturing
capacity,
benefiting
makers
of
construction
equipment
in
the
machinery
industry.
The
healthcare
sector
also
gained
amid
development
of
a
promising
drug
for
the
treatment
of
obesity
and
diabetes
that
buoyed
the
pharmaceuticals
industry.
There
were
only
three
sectors
which
posted
negative
returns
for
the
quarter
in
the
Index:
utilities,
real
estate,
and
consumer
staples.
In
terms
of
relative
performance,
the
Index
notably
outperformed
the
broader
market,
as
represented
by
the
MSCI
USA
Index.
Relative
to
the
broader
market,
the
Index
seeks
companies
that
that
have
a
favorable
environmental,
social
and
governance
rating
while
applying
extensive
screens
for
company
involvement
in
controversial
activities.
The
Index
held
a
significant
overweight
position
in
the
information
technology
sector
and
underweight
positions
in
the
communication
services
and
energy
sectors,
relative
to
the
broader
market.
Positioning
in
the
information
technology
sector
was
the
largest
contributor
to
relative
performance,
while
positioning
in
communication
services
detracted
from
relative
performance.
Portfolio
Information
SECTOR
ALLOCATION
Sector
Percent
of
Total
Investments
(a)
Information
Technology
............................
40.9‌
%
Financials
.....................................
15.8‌
Health
Care
...................................
12.4‌
Industrials
.....................................
10.5‌
Consumer
Discretionary
...........................
7.6‌
Real
Estate
....................................
4.4‌
Materials
.....................................
3.5‌
Consumer
Staples
...............................
2.4‌
Communication
Services
...........................
2.4‌
Utilities
.......................................
0.1‌
a
a
(a)
Excludes
money
market
funds.
TEN
LARGEST
HOLDINGS
Security
Percent
of
Total
Investments
(a)
Microsoft
Corp.
.................................
12.5‌
%
NVIDIA
Corp.
..................................
6.6‌
Eli
Lilly
&
Co.
..................................
2.4‌
Visa,
Inc.,
Class
A
...............................
2.2‌
Broadcom,
Inc.
.................................
2.1‌
Mastercard,
Inc.,
Class
A
...........................
1.9‌
Home
Depot,
Inc.
(The)
...........................
1.8‌
Adobe,
Inc.
....................................
1.4‌
Cisco
Systems,
Inc.
..............................
1.3‌
Salesforce,
Inc.
.................................
1.2‌
      aaa
aa
About
Fund
Performance
8
2023
iShares
Annual
Report
to
Shareholders
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.
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
Schedule
of
Investments
August
31,
2023
(Percentages
shown
are
based
on
Net
Assets)
9
Schedule
of
Investments
Security
Shares
Value
a
Common
Stocks
Air
Freight
&
Logistics
 — 
0
.8
%
Expeditors
International
of
Washington,
Inc.
.......
14,051
$
1,639,892
FedEx
Corp.
............................
22,013
5,745,833
United
Parcel
Service,
Inc.
,
Class
B
............
66,654
11,291,188
18,676,913
a
Automobiles
 — 
3
.3
%
Ford
Motor
Co.
..........................
359,840
4,364,859
General
Motors
Co.
.......................
128,020
4,289,950
Lucid
Group,
Inc.
(a)
........................
82,824
520,135
Tesla,
Inc.
(a)
.............................
262,339
67,704,449
76,879,393
a
Banks
 — 
3
.0
%
Bank
of
America
Corp.
.....................
659,613
18,911,105
JPMorgan
Chase
&
Co.
....................
268,757
39,327,212
KeyCorp
...............................
84,770
960,444
PNC
Financial
Services
Group,
Inc.
(The)
........
36,704
4,431,274
U.S.
Bancorp
...........................
140,976
5,149,853
68,779,888
a
Beverages
 — 
0
.3
%
Constellation
Brands,
Inc.
,
Class
A
.............
15,208
3,962,597
Keurig
Dr
Pepper,
Inc.
.....................
83,914
2,823,706
Molson
Coors
Beverage
Co.
,
Class
B
...........
17,300
1,098,377
7,884,680
a
Biotechnology
 — 
3
.1
%
AbbVie,
Inc.
............................
162,253
23,844,701
Alnylam
Pharmaceuticals,
Inc.
(a)
...............
11,454
2,265,830
Amgen,
Inc.
............................
49,059
12,575,784
Biogen,
Inc.
(a)
...........................
13,313
3,559,364
Gilead
Sciences,
Inc.
......................
114,714
8,773,327
Incyte
Corp.
(a)
...........................
17,300
1,116,369
Regeneron
Pharmaceuticals,
Inc.
(a)
.............
9,947
8,221,096
Seagen,
Inc.
(a)
...........................
12,931
2,664,691
Vertex
Pharmaceuticals,
Inc.
(a)
................
23,743
8,270,636
71,291,798
a
Broadline
Retail
 — 
0
.4
%
eBay,
Inc.
..............................
49,176
2,202,101
Etsy,
Inc.
(a)
.............................
11,346
834,725
MercadoLibre,
Inc.
(a)
.......................
4,154
5,700,784
8,737,610
a
Building
Products
 — 
0
.5
%
A
O
Smith
Corp.
.........................
11,489
832,953
Allegion
PLC
............................
8,089
920,609
Johnson
Controls
International
PLC
............
63,097
3,726,509
Owens
Corning
..........................
8,307
1,195,460
Trane
Technologies
PLC
....................
20,973
4,304,918
10,980,449
a
Capital
Markets
 — 
4
.1
%
Ameriprise
Financial,
Inc.
...................
9,605
3,242,456
Ares
Management
Corp.
,
Class
A
..............
14,771
1,527,912
Bank
of
New
York
Mellon
Corp.
(The)
...........
71,629
3,213,993
BlackRock,
Inc.
(b)
.........................
13,774
9,649,238
Blackstone,
Inc.
,
NVS
......................
64,934
6,907,029
Cboe
Global
Markets,
Inc.
...................
9,734
1,457,277
Charles
Schwab
Corp.
(The)
.................
138,400
8,186,360
CME
Group,
Inc.
,
Class
A
...................
33,081
6,704,857
FactSet
Research
Systems,
Inc.
...............
3,460
1,509,979
Goldman
Sachs
Group,
Inc.
(The)
.............
30,576
10,020,061
Intercontinental
Exchange,
Inc.
...............
51,610
6,089,464
Security
Shares
Value
a
Capital
Markets
(continued)
Invesco
Ltd.
............................
31,140
$
495,749
Moody's
Corp.
...........................
15,189
5,115,655
Morgan
Stanley
..........................
115,194
9,808,769
Nasdaq,
Inc.
............................
31,593
1,658,001
Northern
Trust
Corp.
.......................
19,030
1,447,612
S&P
Global,
Inc.
.........................
30,163
11,789,510
SEI
Investments
Co.
.......................
10,380
644,183
State
Street
Corp.
........................
30,742
2,113,205
T
Rowe
Price
Group,
Inc.
...................
20,760
2,329,895
Tradeweb
Markets,
Inc.
,
Class
A
...............
10,047
868,362
94,779,567
a
Chemicals
 — 
1
.6
%
DuPont
de
Nemours,
Inc.
...................
42,213
3,245,758
Ecolab,
Inc.
............................
23,568
4,332,034
FMC
Corp.
.............................
11,501
991,731
Linde
PLC
.............................
44,980
17,409,059
PPG
Industries,
Inc.
.......................
21,648
3,068,821
RPM
International,
Inc.
.....................
11,884
1,185,310
Sherwin-Williams
Co.
(The)
..................
22,490
6,110,983
36,343,696
a
Commercial
Services
&
Supplies
 — 
0
.9
%
Cintas
Corp.
............................
8,446
4,258,220
Copart,
Inc.
(a)
...........................
79,037
3,543,229
Republic
Services,
Inc.
.....................
20,410
2,941,693
Waste
Connections,
Inc.
....................
23,743
3,252,553
Waste
Management,
Inc.
....................
37,415
5,865,924
19,861,619
a
Communications
Equipment
 — 
0
.9
%
Cisco
Systems,
Inc.
.......................
374,773
21,493,232
a
Construction
&
Engineering
 — 
0
.2
%
AECOM
...............................
12,110
1,062,653
Quanta
Services,
Inc.
......................
13,384
2,808,900
3,871,553
a
Consumer
Finance
 — 
0
.6
%
American
Express
Co.
.....................
58,102
9,179,535
Capital
One
Financial
Corp.
..................
35,112
3,595,118
Discover
Financial
Services
..................
23,357
2,103,765
14,878,418
a
Consumer
Staples
Distribution
&
Retail
 — 
1
.4
%
Sysco
Corp.
............................
46,710
3,253,352
Target
Corp.
............................
42,446
5,371,541
Walgreens
Boots
Alliance,
Inc.
................
67,470
1,707,666
Walmart,
Inc.
............................
136,210
22,149,108
32,481,667
a
Containers
&
Packaging
 — 
0
.3
%
Avery
Dennison
Corp.
......................
7,423
1,398,345
Ball
Corp.
..............................
28,929
1,575,184
Crown
Holdings,
Inc.
......................
11,044
1,023,337
International
Paper
Co.
.....................
30,394
1,061,358
Packaging
Corp.
of
America
.................
8,291
1,236,188
Sealed
Air
Corp.
.........................
13,840
512,910
Westrock
Co.
...........................
23,553
770,419
7,577,741
a
Diversified
Telecommunication
Services
 — 
1
.0
%
AT&T,
Inc.
..............................
657,465
9,723,907
Liberty
Global
PLC
,
Class
C
,
NVS
(a)
............
22,708
450,527
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
(Percentages
shown
are
based
on
Net
Assets)
10
2023
iShares
Annual
Report
to
Shareholders
Security
Shares
Value
a
Diversified
Telecommunication
Services
(continued)
Verizon
Communications,
Inc.
................
386,627
$
13,524,213
23,698,647
a
Electric
Utilities
 — 
1
.9
%
Alliant
Energy
Corp.
.......................
23,118
1,159,830
American
Electric
Power
Co.,
Inc.
..............
47,342
3,711,613
Duke
Energy
Corp.
.......................
70,930
6,298,584
Edison
International
.......................
35,220
2,424,897
Eversource
Energy
.......................
32,080
2,047,345
Exelon
Corp.
............................
91,690
3,678,603
FirstEnergy
Corp.
........................
50,170
1,809,632
NextEra
Energy,
Inc.
......................
186,086
12,430,545
Southern
Co.
(The)
.......................
100,340
6,796,028
Xcel
Energy,
Inc.
.........................
50,614
2,891,578
43,248,655
a
Electrical
Equipment
 — 
1
.0
%
AMETEK,
Inc.
...........................
21,195
3,380,814
Eaton
Corp.
PLC
.........................
36,657
8,444,673
Emerson
Electric
Co.
......................
52,558
5,163,824
Hubbell,
Inc.
............................
4,929
1,607,101
Rockwell
Automation,
Inc.
...................
10,564
3,296,813
21,893,225
a
Electronic
Equipment,
Instruments
&
Components
 — 
0
.3
%
Amphenol
Corp.
,
Class
A
...................
54,879
4,850,206
Trimble,
Inc.
(a)
...........................
22,490
1,232,227
6,082,433
a
Energy
Equipment
&
Services
 — 
0
.6
%
Baker
Hughes
Co.
,
Class
A
..................
93,420
3,380,870
Halliburton
Co.
..........................
83,040
3,207,004
Schlumberger
Ltd.
........................
131,080
7,728,477
14,316,351
a
Entertainment
 — 
1
.9
%
Activision
Blizzard,
Inc.
.....................
72,290
6,649,957
Electronic
Arts,
Inc.
.......................
23,780
2,853,125
Liberty
Media
Corp.-Liberty
Formula
One
,
Series
C
,
NVS
(a)
...............................
18,170
1,249,914
Netflix,
Inc.
(a)
............................
40,884
17,730,573
Walt
Disney
Co.
(The)
(a)
....................
167,810
14,042,341
42,525,910
a
Financial
Services
 — 
4
.0
%
Block,
Inc.
,
Class
A
(a)
......................
50,170
2,892,300
Fidelity
National
Information
Services,
Inc.
........
54,482
3,043,365
Fiserv,
Inc.
(a)
............................
56,773
6,891,674
Global
Payments,
Inc.
.....................
24,098
3,052,976
Jack
Henry
&
Associates,
Inc.
................
6,703
1,050,896
Mastercard,
Inc.
,
Class
A
....................
77,828
32,114,946
PayPal
Holdings,
Inc.
(a)
.....................
97,481
6,093,537
Visa,
Inc.
,
Class
A
........................
148,823
36,562,835
91,702,529
a
Food
Products
 — 
0
.7
%
Bunge
Ltd.
.............................
13,840
1,582,189
Campbell
Soup
Co.
.......................
17,300
721,410
Conagra
Brands,
Inc.
......................
43,250
1,292,310
General
Mills,
Inc.
........................
53,630
3,628,606
Hershey
Co.
(The)
........................
13,546
2,910,494
J
M
Smucker
Co.
(The)
.....................
9,387
1,360,646
Kellogg
Co.
.............................
25,220
1,538,924
McCormick
&
Co.,
Inc.
,
NVS
.................
23,092
1,895,391
Tyson
Foods,
Inc.
,
Class
A
..................
25,950
1,382,356
16,312,326
a
Security
Shares
Value
a
Ground
Transportation
 — 
1
.5
%
CSX
Corp.
.............................
188,570
$
5,694,814
JB
Hunt
Transport
Services,
Inc.
..............
7,622
1,432,022
Norfolk
Southern
Corp.
.....................
20,935
4,291,884
Old
Dominion
Freight
Line,
Inc.
...............
9,075
3,878,383
Uber
Technologies,
Inc.
(a)
...................
167,510
7,911,497
Union
Pacific
Corp.
.......................
56,042
12,361,184
35,569,784
a
Health
Care
Equipment
&
Supplies
 — 
1
.4
%
Abbott
Laboratories
.......................
159,924
16,456,180
Boston
Scientific
Corp.
(a)
....................
132,219
7,131,893
Edwards
Lifesciences
Corp.
(a)
................
55,751
4,263,279
STERIS
PLC
............................
9,072
2,082,840
Zimmer
Biomet
Holdings,
Inc.
................
19,030
2,266,853
32,201,045
a
Health
Care
Providers
&
Services
 — 
3
.3
%
Cigna
Group
(The)
........................
27,275
7,534,991
CVS
Health
Corp.
........................
117,640
7,666,599
DaVita,
Inc.
(a)
............................
5,190
531,560
Elevance
Health,
Inc.
......................
21,803
9,637,144
Humana,
Inc.
...........................
11,492
5,305,052
McKesson
Corp.
.........................
12,462
5,138,332
UnitedHealth
Group,
Inc.
....................
85,622
40,805,733
76,619,411
a
Health
Care
REITs
 — 
0
.2
%
Healthpeak
Properties,
Inc.
..................
50,170
1,032,498
Welltower,
Inc.
...........................
45,709
3,788,362
4,820,860
a
Hotels,
Restaurants
&
Leisure
 — 
3
.2
%
Airbnb,
Inc.
,
Class
A
(a)
......................
38,060
5,006,793
Aramark
...............................
22,764
846,366
Booking
Holdings,
Inc.
(a)
....................
3,397
10,547,787
Caesars
Entertainment,
Inc.
(a)
................
19,790
1,093,595
Carnival
Corp.
(a)
..........................
91,690
1,450,536
Chipotle
Mexican
Grill,
Inc.
(a)
.................
2,535
4,884,032
Darden
Restaurants,
Inc.
...................
11,120
1,729,271
Domino's
Pizza,
Inc.
.......................
3,258
1,262,149
Hilton
Worldwide
Holdings,
Inc.
...............
24,220
3,600,303
Hyatt
Hotels
Corp.
,
Class
A
..................
4,305
483,925
Las
Vegas
Sands
Corp.
....................
31,628
1,735,112
Marriott
International,
Inc.
,
Class
A
.............
23,770
4,837,433
McDonald's
Corp.
........................
67,145
18,877,817
MGM
Resorts
International
..................
26,768
1,177,257
Starbucks
Corp.
..........................
105,530
10,282,843
Vail
Resorts,
Inc.
.........................
3,708
839,195
Wynn
Resorts
Ltd.
........................
9,417
954,695
Yum!
Brands,
Inc.
........................
25,759
3,332,699
72,941,808
a
Household
Durables
 — 
0
.1
%
Garmin
Ltd.
.............................
14,073
1,492,019
a
Household
Products
 — 
0
.3
%
Church
&
Dwight
Co.,
Inc.
...................
22,490
2,176,357
Clorox
Co.
(The)
.........................
11,371
1,778,993
Kimberly-Clark
Corp.
......................
31,140
4,011,766
7,967,116
a
Independent
Power
and
Renewable
Electricity
Producers
 — 
0
.0
%
AES
Corp.
(The)
.........................
60,550
1,085,661
a
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
Schedule
of
Investments
(continued)
August
31,
2023
(Percentages
shown
are
based
on
Net
Assets)
11
Schedule
of
Investments
Security
Shares
Value
a
Industrial
Conglomerates
 — 
0
.2
%
3M
Co.
................................
50,734
$
5,411,796
a
Industrial
REITs
 — 
0
.5
%
Prologis,
Inc.
............................
84,770
10,528,434
a
Insurance
 — 
1
.3
%
American
International
Group,
Inc.
.............
66,719
3,904,396
Aon
PLC
,
Class
A
........................
18,839
6,280,734
Arch
Capital
Group
Ltd.
(a)
...................
34,251
2,632,532
Chubb
Ltd.
.............................
38,060
7,645,112
Progressive
Corp.
(The)
....................
53,828
7,184,423
W
R
Berkley
Corp.
........................
19,030
1,177,196
Willis
Towers
Watson
PLC
...................
9,788
2,023,767
30,848,160
a
Interactive
Media
&
Services
 — 
7
.8
%
Alphabet,
Inc.
,
Class
A
(a)
....................
449,800
61,249,266
Alphabet,
Inc.
,
Class
C
,
NVS
(a)
................
400,288
54,979,557
Match
Group,
Inc.
(a)
(c)
......................
25,950
1,216,277
Meta
Platforms,
Inc.
,
Class
A
(a)
................
203,401
60,184,322
Snap,
Inc.
,
Class
A
,
NVS
(a)
(c)
.................
91,690
948,991
178,578,413
a
IT
Services
 — 
2
.1
%
Accenture
PLC
,
Class
A
....................
58,000
18,778,660
Akamai
Technologies,
Inc.
(a)
..................
13,840
1,454,446
Cloudflare,
Inc.
,
Class
A
(a)
(c)
..................
25,292
1,644,739
Cognizant
Technology
Solutions
Corp.
,
Class
A
.....
46,710
3,344,903
EPAM
Systems,
Inc.
(a)
......................
5,325
1,379,122
Gartner,
Inc.
(a)
...........................
7,240
2,531,683
International
Business
Machines
Corp.
..........
83,509
12,261,626
Okta,
Inc.
,
Class
A
(a)
.......................
14,259
1,190,769
Snowflake,
Inc.
,
Class
A
(a)
...................
23,978
3,760,949
VeriSign,
Inc.
(a)
..........................
8,650
1,797,384
48,144,281
a
Life
Sciences
Tools
&
Services
 — 
2
.4
%
Agilent
Technologies,
Inc.
...................
27,166
3,288,988
Charles
River
Laboratories
International,
Inc.
(a)
.....
4,708
973,709
Danaher
Corp.
..........................
64,468
17,084,020
Illumina,
Inc.
(a)
...........................
14,538
2,401,968
IQVIA
Holdings,
Inc.
(a)
......................
17,065
3,799,181
Mettler-Toledo
International,
Inc.
(a)
.............
2,017
2,447,589
Repligen
Corp.
(a)
.........................
4,865
846,072
Revvity,
Inc.
............................
11,538
1,350,292
Thermo
Fisher
Scientific,
Inc.
.................
35,472
19,761,451
Waters
Corp.
(a)
..........................
5,429
1,524,463
West
Pharmaceutical
Services,
Inc.
............
6,844
2,784,824
56,262,557
a
Machinery
 — 
1
.4
%
Cummins,
Inc.
...........................
13,021
2,995,351
Deere
&
Co.
............................
25,617
10,527,050
Dover
Corp.
............................
12,860
1,907,138
Fortive
Corp.
............................
32,516
2,563,886
Graco,
Inc.
.............................
15,570
1,229,096
IDEX
Corp.
.............................
6,920
1,566,688
Ingersoll
Rand,
Inc.
.......................
37,200
2,589,492
PACCAR,
Inc.
...........................
48,173
3,964,156
Stanley
Black
&
Decker,
Inc.
.................
13,840
1,306,219
Westinghouse
Air
Brake
Technologies
Corp.
.......
16,582
1,865,807
Xylem,
Inc.
.............................
22,013
2,279,226
32,794,109
a
Security
Shares
Value
a
Media
 — 
1
.0
%
Charter
Communications,
Inc.
,
Class
A
(a)
.........
9,000
$
3,943,080
Comcast
Corp.
,
Class
A
....................
382,534
17,887,290
21,830,370
a
Metals
&
Mining
 — 
0
.4
%
Newmont
Corp.
..........................
72,660
2,864,257
Nucor
Corp.
............................
23,103
3,976,027
Reliance
Steel
&
Aluminum
Co.
...............
5,407
1,540,779
Steel
Dynamics,
Inc.
.......................
14,770
1,574,334
9,955,397
a
Mortgage
Real
Estate
Investment
Trusts
(REITs)
 — 
0
.0
%
Annaly
Capital
Management,
Inc.
..............
44,980
911,745
a
Multi-Utilities
 — 
0
.6
%
Consolidated
Edison,
Inc.
...................
31,869
2,835,066
Dominion
Energy,
Inc.
......................
76,877
3,731,610
Public
Service
Enterprise
Group,
Inc.
...........
45,886
2,802,717
Sempra
...............................
57,878
4,064,193
13,433,586
a
Office
REITs
 — 
0
.1
%
Alexandria
Real
Estate
Equities,
Inc.
............
15,117
1,758,712
Boston
Properties,
Inc.
.....................
13,840
924,097
2,682,809
a
Oil,
Gas
&
Consumable
Fuels
 — 
3
.2
%
Chevron
Corp.
...........................
166,855
26,880,341
ConocoPhillips
..........................
111,284
13,246,135
Devon
Energy
Corp.
.......................
59,019
3,015,281
Diamondback
Energy,
Inc.
...................
15,821
2,401,311
EOG
Resources,
Inc.
......................
53,630
6,897,891
Hess
Corp.
.............................
25,475
3,935,887
Kinder
Morgan,
Inc.
,
Class
P
.................
185,110
3,187,594
Marathon
Oil
Corp.
........................
57,090
1,504,321
ONEOK,
Inc.
............................
41,151
2,683,045
Pioneer
Natural
Resources
Co.
...............
21,464
5,106,930
Williams
Companies,
Inc.
(The)
...............
112,450
3,882,898
72,741,634
a
Personal
Care
Products
 — 
0
.2
%
Estee
Lauder
Companies,
Inc.
(The)
,
Class
A
......
21,323
3,422,981
a
Pharmaceuticals
 — 
6
.2
%
Bristol-Myers
Squibb
Co.
....................
193,206
11,911,150
Catalent,
Inc.
(a)
..........................
16,619
830,451
Eli
Lilly
&
Co.
...........................
74,207
41,125,519
Johnson
&
Johnson
.......................
221,436
35,801,773
Merck
&
Co.,
Inc.
.........................
233,357
25,431,246
Pfizer,
Inc.
.............................
519,178
18,368,518
Zoetis,
Inc.
,
Class
A
.......................
42,600
8,115,726
141,584,383
a
Professional
Services
 — 
1
.1
%
Automatic
Data
Processing,
Inc.
...............
37,994
9,673,652
Booz
Allen
Hamilton
Holding
Corp.
,
Class
A
.......
12,110
1,372,184
Broadridge
Financial
Solutions,
Inc.
............
10,849
2,020,192
Ceridian
HCM
Holding,
Inc.
(a)
.................
13,840
1,003,677
Clarivate
PLC
(a)
..........................
31,096
231,043
Equifax,
Inc.
............................
11,281
2,331,783
Paychex,
Inc.
...........................
29,842
3,647,588
Robert
Half,
Inc.
.........................
9,935
734,793
TransUnion
.............................
17,767
1,443,036
Verisk
Analytics,
Inc.
.......................
13,348
3,233,152
25,691,100
a
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
(Percentages
shown
are
based
on
Net
Assets)
12
2023
iShares
Annual
Report
to
Shareholders
Security
Shares
Value
a
Real
Estate
Management
&
Development
 — 
0
.1
%
CBRE
Group,
Inc.
,
Class
A
(a)
.................
28,584
$
2,431,069
a
Residential
REITs
 — 
0
.3
%
AvalonBay
Communities,
Inc.
................
13,057
2,400,138
Equity
Residential
........................
32,870
2,130,962
Essex
Property
Trust,
Inc.
...................
5,918
1,410,792
UDR,
Inc.
..............................
28,761
1,147,564
7,089,456
a
Retail
REITs
 — 
0
.4
%
Kimco
Realty
Corp.
.......................
57,090
1,081,285
Realty
Income
Corp.
.......................
61,911
3,469,492
Regency
Centers
Corp.
....................
15,280
950,416
Simon
Property
Group,
Inc.
..................
30,071
3,412,758
8,913,951
a
Semiconductors
&
Semiconductor
Equipment
 — 
8
.4
%
Advanced
Micro
Devices,
Inc.
(a)
...............
148,098
15,656,921
Analog
Devices,
Inc.
.......................
46,115
8,382,785
Broadcom,
Inc.
..........................
37,954
35,027,367
Enphase
Energy,
Inc.
(a)
(c)
....................
12,602
1,594,531
Marvell
Technology,
Inc.
....................
79,089
4,606,934
NVIDIA
Corp.
...........................
227,158
112,113,831
Texas
Instruments,
Inc.
.....................
83,473
14,028,472
Wolfspeed,
Inc.
(a)
.........................
11,449
547,491
191,958,332
a
Software
 — 
10
.7
%
Adobe,
Inc.
(a)
............................
41,918
23,446,414
ANSYS,
Inc.
(a)
...........................
7,972
2,542,032
Aspen
Technology,
Inc.
(a)
....................
2,693
522,442
Autodesk,
Inc.
(a)
..........................
19,658
4,362,897
BILL
Holdings,
Inc.
(a)
.......................
8,650
997,345
Cadence
Design
Systems,
Inc.
(a)
..............
25,076
6,029,273
Datadog,
Inc.
,
Class
A
(a)
....................
23,158
2,234,284
Dropbox,
Inc.
,
Class
A
(a)
....................
24,220
673,074
Fortinet,
Inc.
(a)
...........................
61,378
3,695,569
Gen
Digital,
Inc.
..........................
53,034
1,073,938
HubSpot,
Inc.
(a)
..........................
4,339
2,371,350
Intuit,
Inc.
..............................
25,757
13,955,400
Microsoft
Corp.
..........................
330,981
108,482,333
Oracle
Corp.
............................
149,771
18,030,931
Palo
Alto
Networks,
Inc.
(a)
...................
28,128
6,843,542
PTC,
Inc.
(a)
.............................
10,380
1,527,625
Roper
Technologies,
Inc.
....................
9,827
4,904,263
Salesforce,
Inc.
(a)
.........................
89,581
19,838,608
ServiceNow,
Inc.
(a)
........................
18,734
11,031,141
Splunk,
Inc.
(a)
...........................
14,467
1,754,268
Tyler
Technologies,
Inc.
(a)
...................
3,855
1,535,948
VMware,
Inc.
,
Class
A
(a)
....................
21,766
3,673,665
Workday,
Inc.
,
Class
A
(a)
....................
18,945
4,632,053
Zscaler,
Inc.
(a)
(c)
..........................
8,052
1,256,515
245,414,910
a
Security
Shares
Value
a
Specialized
REITs
 — 
0
.9
%
American
Tower
Corp.
.....................
42,862
$
7,771,738
Digital
Realty
Trust,
Inc.
....................
26,792
3,529,042
Equinix,
Inc.
............................
8,601
6,720,649
VICI
Properties,
Inc.
.......................
91,690
2,827,720
20,849,149
a
Specialty
Retail
 — 
1
.4
%
Best
Buy
Co.,
Inc.
........................
18,060
1,380,687
Home
Depot,
Inc.
(The)
....................
92,464
30,540,859
31,921,546
a
Technology
Hardware,
Storage
&
Peripherals
 — 
5
.0
%
Apple,
Inc.
.............................
598,667
112,471,569
Dell
Technologies,
Inc.
,
Class
C
...............
23,603
1,327,433
Hewlett
Packard
Enterprise
Co.
...............
119,370
2,028,096
115,827,098
a
Textiles,
Apparel
&
Luxury
Goods
 — 
0
.8
%
Deckers
Outdoor
Corp.
(a)
....................
2,419
1,279,869
Lululemon
Athletica,
Inc.
(a)
...................
10,654
4,061,944
Nike,
Inc.
,
Class
B
........................
113,310
11,524,760
VF
Corp.
..............................
31,140
615,326
17,481,899
a
Water
Utilities
 — 
0
.1
%
American
Water
Works
Co.,
Inc.
...............
17,899
2,483,307
a
Wireless
Telecommunication
Services
 — 
0
.3
%
T-Mobile
U.S.,
Inc.
(a)
.......................
49,786
6,783,342
a
Total
Long-Term
Investments — 99.7%
(Cost:
$
2,167,264,908
)
...............................
2,292,971,818
a
Short-Term
Securities
Money
Market
Funds
 — 
0
.5
%
BlackRock
Cash
Funds:
Institutional,
SL
Agency
Shares
,
5.52
%
(b)
(d)
(e)
.....................
6,586,292
6,588,268
BlackRock
Cash
Funds:
Treasury,
SL
Agency
Shares
,
5.31
%
(b)
(d)
............................
5,087,833
5,087,833
a
Total
Short-Term
Securities — 0.5%
(Cost:
$
11,676,101
)
.................................
11,676,101
Total
Investments
—
100.2%
(Cost:
$
2,178,941,009
)
...............................
2,304,647,919
Liabilities
in
Excess
of
Other
Assets
—
(
0
.2
)
%
...............
(
5,602,220
)
Net
Assets
—
100.0%
.................................
$
2,299,045,699
(a)
Non-income
producing
security.
(b)
Affiliate
of
the
Fund.
(c)
All
or
a
portion
of
this
security
is
on
loan.
(d)
Annualized
7-day
yield
as
of
period
end.
(e)
All
or
a
portion
of
this
security
was
purchased
with
the
cash
collateral
from
loaned
securities.
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
Schedule
of
Investments
(continued)
August
31,
2023
13
Schedule
of
Investments
Derivative
Financial
Instruments
Outstanding
as
of
Period
End
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: 
For
the period
ended
August
31,
2023,
the
effect
of
derivative
financial
instruments
in
the
Statements
of
Operations
was
as
follows:
Affiliates
Investments
in
issuers
considered
to
be
affiliate(s)
of
the
Fund
during
the
period
ended
August
31,
2023
for
purposes
of
Section
2(a)(3)
of
the
Investment
Company
Act
of
1940,
as
amended,
were
as
follows:
Affiliated
Issuer
Value
at
06/06/23
(a)
Purchases
at
Cost
Proceeds
from
Sale
Net
Realized
Gain
(Loss)
Change
in
Unrealized
Appreciation
(Depreciation)
Value
at
08/31/23
  Shares
Held
at
08/31/23
Income
  Capital
Gain
Distributions
from
Underlying
Funds
BlackRock
Cash
Funds:
Institutional,
SL
Agency
Shares
$
—
$
6,588,268
(b)
$
—
$
—
$
—
$
6,588,268
6,586,292
$
209
(c)
$
—
BlackRock
Cash
Funds:
Treasury,
SL
Agency
Shares
.
—
5,087,833
(b)
—
—
—
5,087,833
5,087,833
35,246
—
BlackRock,
Inc.
...
—
9,427,568
(
51,708
)
612
272,766
9,649,238
13,774
80
—
$
612
$
272,766
$
21,325,339
$
35,535
$
—
(a)
Commencement
of
operations.
(b)
Represents
net
amount
purchased
(sold).
(c)
All
or
a
portion
represents
securities
lending
income
earned
from
the
reinvestment
of
cash
collateral
from
loaned
securities,
net
of
fees
and
collateral
investment
expenses,
and
other
payments
to
and
from
borrowers
of
securities.
Futures
Contracts
Description
Number
of
Contracts
Expiration
Date
Notional
Amount
(000)
Value/
Unrealized
Appreciation
(Depreciation)
Long
Contracts
E-Mini
S&P
500
Index
...................................................................
23
09/15/23
$
5,193
$
24,128
Commodity
Contracts
Credit
Contracts
Equity
Contracts
Foreign
Currency
Exchange
Contracts
Interest
Rate
Contracts
Other
Contracts
Total
Assets
—
Derivative
Financial
Instruments
Futures
contracts
Unrealized
appreciation
on
futures
contracts
(a)
.............
$
—
$
—
$
24,128
$
—
$
—
$
—
$
24,128
(a)
Net
cumulative
unrealized
appreciation
(depreciation)
on
futures
contracts
are
reported
in
the
Schedule
of
Investments.
In
the
Statements
of
Assets
and
Liabilities,
only
current
day’s
variation
margin
is
reported
in
receivables
or
payables
and
the
net
cumulative
unrealized
appreciation
(depreciation)
is
included
in
accumulated
earnings
(loss).
Commodity
Contracts
Credit
Contracts
Equity
Contracts
Foreign
Currency
Exchange
Contracts
Interest
Rate
Contracts
Other
Contracts
Total
Net
Realized
Gain
(Loss)
from
Futures
contracts
..................................
$
—
$
—
$
65,929
$
—
$
—
$
—
$
65,929
Net
Change
in
Unrealized
Appreciation
(Depreciation)
on
Futures
contracts
..................................
$
—
$
—
$
24,128
$
—
$
—
$
—
$
24,128
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
Climate
Conscious
&
Transition
MSCI
USA
ETF
14
2023
iShares
Annual
Report
to
Shareholders
Average
Quarterly
Balances
of
Outstanding
Derivative
Financial
Instruments
For
more
information
about
the
Fund’s
investment
risks
regarding
derivative
financial
instruments,
refer
to
the
Notes
to
Financial
Statements. 
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.
See
notes
to
financial
statements.
Futures
contracts
Average
notional
value
of
contracts
—
long
...................................................................................
$
5,193,400
a
Level
1
Level
2
Level
3
Total
Assets
Investments
Long-Term
Investments
Common
Stocks
.........................................
$
2,292,971,818
‌
$
—
‌
$
—
‌
$
2,292,971,818
‌
Short-Term
Securities
Money
Market
Funds
......................................
11,676,101
‌
—
‌
—
‌
11,676,101
‌
$
2,304,647,919
‌
$
—
‌
$
—
‌
$
2,304,647,919
‌
Derivative
Financial
Instruments
(a)
Assets
Equity
Contracts
...........................................
$
24,128
‌
$
—
‌
$
—
‌
$
24,128
‌
a
(a)
Derivative
financial
instruments
are
futures
contracts.
Futures
contracts
are
valued
at
the
unrealized
appreciation
(depreciation)
on
the
instrument.
iShares
®
ESG
Advanced
MSCI
USA
ETF
Schedule
of
Investments
August
31,
2023
(Percentages
shown
are
based
on
Net
Assets)
15
Schedule
of
Investments
Security
Shares
Value
a
Common
Stocks
Aerospace
&
Defense
 — 
0
.3
%
Axon
Enterprise,
Inc.
......................
2,732
$
581,670
HEICO
Corp.
(a)
..........................
1,731
292,037
HEICO
Corp.
,
Class
A
......................
2,873
389,090
Howmet
Aerospace,
Inc.
....................
15,301
756,941
2,019,738
a
Air
Freight
&
Logistics
 — 
0
.2
%
CH
Robinson
Worldwide,
Inc.
................
4,518
408,563
Expeditors
International
of
Washington,
Inc.
.......
5,961
695,708
1,104,271
a
Automobile
Components
 — 
0
.2
%
Aptiv
PLC
(b)
.............................
11,034
1,119,399
BorgWarner,
Inc.
.........................
9,233
376,245
Lear
Corp.
.............................
2,280
328,525
1,824,169
a
Automobiles
 — 
0
.1
%
Lucid
Group,
Inc.
(a)
(b)
.......................
35,630
223,757
Rivian
Automotive,
Inc.
,
Class
A
(a)
..............
25,395
577,228
800,985
a
Banks
 — 
1
.1
%
First
Horizon
Corp.
........................
20,638
259,007
Huntington
Bancshares,
Inc.
.................
56,316
624,544
KeyCorp
...............................
36,779
416,706
PNC
Financial
Services
Group,
Inc.
(The)
........
15,569
1,879,645
Regions
Financial
Corp.
....................
36,512
669,630
Truist
Financial
Corp.
......................
51,958
1,587,317
U.S.
Bancorp
...........................
59,800
2,184,494
Webster
Financial
Corp.
....................
6,911
293,096
7,914,439
a
Beverages
 — 
0
.2
%
Keurig
Dr
Pepper,
Inc.
.....................
35,596
1,197,805
a
Biotechnology
 — 
2
.9
%
Alnylam
Pharmaceuticals,
Inc.
(b)
...............
4,857
960,812
Amgen,
Inc.
............................
20,845
5,343,407
Biogen,
Inc.
(b)
...........................
5,647
1,509,782
BioMarin
Pharmaceutical,
Inc.
................
7,322
669,084
Exact
Sciences
Corp.
(a)
(b)
....................
7,033
588,451
Horizon
Therapeutics
PLC
...................
8,484
956,486
Incyte
Corp.
(b)
...........................
7,372
475,715
Moderna,
Inc.
...........................
12,641
1,429,318
Neurocrine
Biosciences,
Inc.
(b)
................
3,847
418,900
Regeneron
Pharmaceuticals,
Inc.
(b)
.............
4,209
3,478,697
Seagen,
Inc.
(b)
...........................
5,486
1,130,500
United
Therapeutics
Corp.
...................
1,823
409,008
Vertex
Pharmaceuticals,
Inc.
(b)
................
10,047
3,499,772
20,869,932
a
Broadline
Retail
 — 
0
.5
%
eBay,
Inc.
..............................
20,861
934,156
Etsy,
Inc.
(b)
.............................
4,813
354,092
MercadoLibre,
Inc.
(b)
.......................
1,763
2,419,471
3,707,719
a
Building
Products
 — 
1
.0
%
A
O
Smith
Corp.
.........................
4,818
349,305
Allegion
PLC
............................
3,466
394,465
Builders
FirstSource,
Inc.
...................
5,001
725,345
Carlisle
Companies,
Inc.
....................
1,988
522,884
Carrier
Global
Corp.
.......................
32,568
1,871,031
Security
Shares
Value
a
Building
Products
(continued)
Fortune
Brands
Innovations,
Inc.
..............
4,943
$
341,166
Lennox
International,
Inc.
...................
1,244
468,752
Masco
Corp.
............................
8,768
517,400
Owens
Corning
..........................
3,515
505,844
Trane
Technologies
PLC
....................
8,897
1,826,198
7,522,390
a
Capital
Markets
 — 
4
.7
%
Ameriprise
Financial,
Inc.
...................
4,065
1,372,263
Bank
of
New
York
Mellon
Corp.
(The)
...........
30,384
1,363,330
BlackRock,
Inc.
(c)
.........................
5,827
4,082,047
Carlyle
Group,
Inc.
(The)
....................
8,573
277,336
Cboe
Global
Markets,
Inc.
...................
4,119
616,655
Charles
Schwab
Corp.
(The)
.................
58,663
3,469,916
CME
Group,
Inc.
,
Class
A
...................
14,033
2,844,208
FactSet
Research
Systems,
Inc.
...............
1,488
649,378
Franklin
Resources,
Inc.
....................
11,852
316,922
Intercontinental
Exchange,
Inc.
...............
21,841
2,577,020
LPL
Financial
Holdings,
Inc.
..................
3,030
698,688
MarketAxess
Holdings,
Inc.
..................
1,481
356,817
Moody's
Corp.
...........................
6,443
2,170,002
Morgan
Stanley
..........................
48,864
4,160,770
Nasdaq,
Inc.
............................
13,383
702,340
Northern
Trust
Corp.
.......................
8,123
617,917
Raymond
James
Financial,
Inc.
...............
7,854
821,450
S&P
Global,
Inc.
.........................
12,796
5,001,445
State
Street
Corp.
........................
13,040
896,370
T
Rowe
Price
Group,
Inc.
...................
8,762
983,359
33,978,233
a
Chemicals
 — 
2
.4
%
Air
Products
and
Chemicals,
Inc.
..............
8,665
2,560,421
Albemarle
Corp.
.........................
4,578
909,694
CF
Industries
Holdings,
Inc.
..................
7,604
586,040
FMC
Corp.
.............................
4,854
418,561
International
Flavors
&
Fragrances,
Inc.
..........
9,952
701,118
Linde
PLC
.............................
19,099
7,392,077
Mosaic
Co.
(The)
.........................
12,928
502,253
PPG
Industries,
Inc.
.......................
9,184
1,301,924
RPM
International,
Inc.
.....................
5,017
500,396
Sherwin-Williams
Co.
(The)
..................
9,558
2,597,100
Westlake
Corp.
..........................
1,490
195,160
17,664,744
a
Commercial
Services
&
Supplies
 — 
1
.2
%
Cintas
Corp.
............................
3,572
1,800,895
Copart,
Inc.
(b)
...........................
33,525
1,502,926
Republic
Services,
Inc.
.....................
8,637
1,244,851
Rollins,
Inc.
.............................
9,544
377,656
Waste
Connections,
Inc.
....................
10,048
1,376,475
Waste
Management,
Inc.
....................
15,870
2,488,099
8,790,902
a
Communications
Equipment
 — 
1
.6
%
Arista
Networks,
Inc.
(b)
.....................
10,222
1,995,641
Cisco
Systems,
Inc.
.......................
158,973
9,117,101
F5,
Inc.
(b)
..............................
2,374
388,529
Juniper
Networks,
Inc.
.....................
12,464
362,952
11,864,223
a
Construction
&
Engineering
 — 
0
.2
%
AECOM
...............................
5,134
450,508
Quanta
Services,
Inc.
......................
5,664
1,188,704
1,639,212
a
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
ESG
Advanced
MSCI
USA
ETF
(Percentages
shown
are
based
on
Net
Assets)
16
2023
iShares
Annual
Report
to
Shareholders
Security
Shares
Value
a
Construction
Materials
 — 
0
.3
%
Martin
Marietta
Materials,
Inc.
................
2,417
$
1,078,973
Vulcan
Materials
Co.
......................
5,190
1,132,718
2,211,691
a
Consumer
Finance
 — 
1
.0
%
Ally
Financial,
Inc.
........................
10,689
295,978
American
Express
Co.
.....................
24,646
3,893,822
Capital
One
Financial
Corp.
..................
14,894
1,524,997
Discover
Financial
Services
..................
9,907
892,324
Synchrony
Financial
.......................
16,691
538,785
7,145,906
a
Consumer
Staples
Distribution
&
Retail
 — 
0
.7
%
Dollar
General
Corp.
......................
8,557
1,185,145
Dollar
Tree,
Inc.
(b)
.........................
8,168
999,436
Target
Corp.
............................
18,005
2,278,533
Walgreens
Boots
Alliance,
Inc.
................
28,551
722,626
5,185,740
a
Containers
&
Packaging
 — 
0
.4
%
Avery
Dennison
Corp.
......................
3,149
593,209
Ball
Corp.
..............................
12,270
668,101
International
Paper
Co.
.....................
12,863
449,176
Packaging
Corp.
of
America
.................
3,508
523,043
Sealed
Air
Corp.
.........................
5,648
209,315
Westrock
Co.
...........................
10,086
329,913
2,772,757
a
Distributors
 — 
0
.3
%
Genuine
Parts
Co.
........................
5,481
842,594
LKQ
Corp.
.............................
10,413
546,995
Pool
Corp.
.............................
1,521
556,078
1,945,667
a
Diversified
REITs
 — 
0
.1
%
WP
Carey,
Inc.
..........................
8,343
542,712
a
Diversified
Telecommunication
Services
 — 
0
.8
%
Liberty
Global
PLC
,
Class
C
,
NVS
(b)
............
853
16,924
Verizon
Communications,
Inc.
................
164,000
5,736,720
5,753,644
a
Electrical
Equipment
 — 
1
.0
%
AMETEK,
Inc.
...........................
8,968
1,430,486
Eaton
Corp.
PLC
.........................
15,550
3,582,253
Generac
Holdings,
Inc.
.....................
2,452
291,322
Hubbell,
Inc.
............................
2,090
681,444
Rockwell
Automation,
Inc.
...................
4,482
1,398,743
Sensata
Technologies
Holding
PLC
............
5,884
221,356
7,605,604
a
Electronic
Equipment,
Instruments
&
Components
 — 
1
.4
%
Amphenol
Corp.
,
Class
A
...................
23,224
2,052,537
Arrow
Electronics,
Inc.
.....................
2,270
302,886
CDW
Corp.
.............................
5,259
1,110,438
Cognex
Corp.
...........................
6,676
314,306
Corning,
Inc.
............................
31,506
1,034,027
Jabil,
Inc.
..............................
5,093
582,741
Keysight
Technologies,
Inc.
(b)
.................
6,958
927,501
TE
Connectivity
Ltd.
.......................
12,293
1,627,470
Teledyne
Technologies,
Inc.
..................
1,835
767,581
Trimble,
Inc.
(b)
...........................
9,612
526,642
Zebra
Technologies
Corp.
,
Class
A
(b)
............
2,004
551,120
9,797,249
a
Security
Shares
Value
a
Entertainment
 — 
0
.3
%
Electronic
Arts,
Inc.
.......................
10,087
$
1,210,238
Warner
Bros
Discovery,
Inc.
,
Series
A
...........
90,282
1,186,306
2,396,544
a
Financial
Services
 — 
5
.5
%
Block,
Inc.
,
Class
A
(b)
......................
21,231
1,223,967
Fidelity
National
Information
Services,
Inc.
........
23,111
1,290,981
Fiserv,
Inc.
(b)
............................
24,083
2,923,435
FleetCor
Technologies,
Inc.
(b)
.................
2,729
741,551
Global
Payments,
Inc.
.....................
10,220
1,294,772
Jack
Henry
&
Associates,
Inc.
................
2,840
445,255
Mastercard,
Inc.
,
Class
A
....................
33,014
13,622,897
PayPal
Holdings,
Inc.
(b)
.....................
41,349
2,584,726
Toast,
Inc.
,
Class
A
........................
12,075
267,703
Visa,
Inc.
,
Class
A
........................
63,128
15,509,287
39,904,574
a
Food
Products
 — 
0
.9
%
Campbell
Soup
Co.
.......................
7,511
313,209
Conagra
Brands,
Inc.
......................
18,590
555,469
Darling
Ingredients,
Inc.
....................
6,197
382,727
General
Mills,
Inc.
........................
22,829
1,544,610
Hormel
Foods
Corp.
.......................
11,689
451,078
J
M
Smucker
Co.
(The)
.....................
3,982
577,191
Kraft
Heinz
Co.
(The)
......................
33,506
1,108,713
Lamb
Weston
Holdings,
Inc.
.................
5,673
552,607
McCormick
&
Co.,
Inc.
,
NVS
.................
9,795
803,974
6,289,578
a
Ground
Transportation
 — 
0
.4
%
JB
Hunt
Transport
Services,
Inc.
..............
3,234
607,604
Knight-Swift
Transportation
Holdings,
Inc.
,
Class
A
..
6,357
348,491
Old
Dominion
Freight
Line,
Inc.
...............
3,850
1,645,374
U-Haul
Holding
Co.
,
Series
N
,
NVS
.............
3,828
203,803
2,805,272
a
Health
Care
Equipment
&
Supplies
 — 
2
.4
%
Align
Technology,
Inc.
(b)
.....................
2,835
1,049,347
Baxter
International,
Inc.
....................
19,721
800,673
Cooper
Companies,
Inc.
(The)
................
1,931
714,451
Dentsply
Sirona,
Inc.
......................
8,290
307,476
Dexcom,
Inc.
(b)
..........................
15,122
1,527,020
Edwards
Lifesciences
Corp.
(b)
................
23,649
1,808,439
GE
HealthCare
Technologies,
Inc.
.............
15,963
1,124,593
Hologic,
Inc.
(b)
...........................
9,602
717,653
IDEXX
Laboratories,
Inc.
(b)
...................
3,238
1,655,946
Insulet
Corp.
(b)
...........................
2,712
519,917
ResMed,
Inc.
...........................
5,732
914,770
STERIS
PLC
............................
3,849
883,692
Stryker
Corp.
...........................
13,328
3,779,154
Teleflex,
Inc.
(a)
...........................
1,850
393,569
Zimmer
Biomet
Holdings,
Inc.
................
8,145
970,232
17,166,932
a
Health
Care
Providers
&
Services
 — 
1
.6
%
Centene
Corp.
(b)
.........................
21,408
1,319,803
DaVita,
Inc.
(b)
............................
2,159
221,125
Elevance
Health,
Inc.
......................
9,248
4,087,708
HCA
Healthcare,
Inc.
......................
8,052
2,232,820
Henry
Schein,
Inc.
(a)
(b)
......................
5,110
391,119
Humana,
Inc.
...........................
4,875
2,250,446
Molina
Healthcare,
Inc.
.....................
2,283
708,004
Quest
Diagnostics,
Inc.
.....................
4,369
574,524
11,785,549
a
iShares
®
ESG
Advanced
MSCI
USA
ETF
Schedule
of
Investments
(continued)
August
31,
2023
(Percentages
shown
are
based
on
Net
Assets)
17
Schedule
of
Investments
Security
Shares
Value
a
Health
Care
REITs
 — 
0
.4
%
Healthpeak
Properties,
Inc.
..................
21,244
$
437,202
Ventas,
Inc.
............................
15,606
681,670
Welltower,
Inc.
...........................
19,390
1,607,043
2,725,915
a
Health
Care
Technology
 — 
0
.2
%
Veeva
Systems,
Inc.
,
Class
A
(b)
...............
5,685
1,186,460
a
Hotel
&
Resort
REITs
 — 
0
.1
%
Host
Hotels
&
Resorts,
Inc.
..................
27,713
437,588
a
Hotels,
Restaurants
&
Leisure
 — 
1
.4
%
Aramark
...............................
9,657
359,047
Booking
Holdings,
Inc.
(b)
....................
1,441
4,474,348
Darden
Restaurants,
Inc.
...................
4,717
733,541
Domino's
Pizza,
Inc.
.......................
1,379
534,225
DoorDash,
Inc.
,
Class
A
....................
9,856
829,185
Hilton
Worldwide
Holdings,
Inc.
...............
10,324
1,534,663
Hyatt
Hotels
Corp.
,
Class
A
..................
1,808
203,237
Vail
Resorts,
Inc.
.........................
1,561
353,285
Yum!
Brands,
Inc.
........................
10,926
1,413,606
10,435,137
a
Household
Durables
 — 
0
.6
%
DR
Horton,
Inc.
..........................
11,975
1,425,264
Garmin
Ltd.
.............................
5,970
632,939
Mohawk
Industries,
Inc.
(b)
...................
2,106
213,527
NVR,
Inc.
..............................
126
803,544
PulteGroup,
Inc.
.........................
8,709
714,661
Whirlpool
Corp.
..........................
2,157
301,894
4,091,829
a
Household
Products
 — 
0
.5
%
Church
&
Dwight
Co.,
Inc.
...................
9,528
922,025
Clorox
Co.
(The)
.........................
4,822
754,402
Kimberly-Clark
Corp.
......................
13,162
1,695,660
3,372,087
a
Industrial
REITs
 — 
0
.6
%
Prologis,
Inc.
............................
36,025
4,474,305
a
Insurance
 — 
3
.4
%
Aflac,
Inc.
..............................
22,394
1,669,921
Allstate
Corp.
(The)
.......................
10,254
1,105,484
American
International
Group,
Inc.
.............
28,236
1,652,371
Arch
Capital
Group
Ltd.
(b)
...................
14,529
1,116,699
Arthur
J
Gallagher
&
Co.
....................
8,358
1,926,352
Assurant,
Inc.
...........................
2,068
288,134
Brown
&
Brown,
Inc.
.......................
9,405
696,910
Chubb
Ltd.
.............................
16,157
3,245,457
Everest
Group
Ltd.
........................
1,672
603,057
Hartford
Financial
Services
Group,
Inc.
(The)
......
12,102
869,166
Marsh
&
McLennan
Companies,
Inc.
............
19,300
3,763,307
Principal
Financial
Group,
Inc.
................
9,470
735,914
Progressive
Corp.
(The)
....................
22,833
3,047,520
Prudential
Financial,
Inc.
....................
14,240
1,348,101
Travelers
Companies,
Inc.
(The)
...............
9,010
1,452,682
Willis
Towers
Watson
PLC
...................
4,152
858,467
24,379,542
a
Interactive
Media
&
Services
 — 
0
.0
%
ZoomInfo
Technologies,
Inc.
.................
10,204
183,876
a
IT
Services
 — 
1
.2
%
Akamai
Technologies,
Inc.
(b)
..................
5,938
624,024
Cognizant
Technology
Solutions
Corp.
,
Class
A
.....
19,797
1,417,663
Security
Shares
Value
a
IT
Services
(continued)
EPAM
Systems,
Inc.
(b)
......................
2,245
$
581,433
Gartner,
Inc.
(b)
...........................
3,084
1,078,413
GoDaddy,
Inc.
,
Class
A
.....................
5,753
417,150
MongoDB,
Inc.
,
Class
A
(b)
...................
2,765
1,054,295
Okta,
Inc.
,
Class
A
(b)
.......................
6,084
508,075
Snowflake,
Inc.
,
Class
A
(a)
(b)
..................
10,171
1,595,321
Twilio,
Inc.
,
Class
A
.......................
6,709
427,430
VeriSign,
Inc.
(b)
..........................
3,654
759,265
8,463,069
a
Leisure
Products
 — 
0
.0
%
Hasbro,
Inc.
............................
5,100
367,200
a
Life
Sciences
Tools
&
Services
 — 
2
.3
%
Agilent
Technologies,
Inc.
...................
11,523
1,395,090
Avantor,
Inc.
............................
26,322
569,871
Bio-Rad
Laboratories,
Inc.
,
Class
A
.............
859
343,772
Bio-Techne
Corp.
.........................
6,115
479,416
Charles
River
Laboratories
International,
Inc.
(b)
.....
1,986
410,745
Danaher
Corp.
..........................
27,369
7,252,785
Illumina,
Inc.
(b)
...........................
6,168
1,019,077
IQVIA
Holdings,
Inc.
(b)
......................
7,239
1,611,619
Mettler-Toledo
International,
Inc.
(b)
.............
859
1,042,379
Repligen
Corp.
(b)
.........................
2,047
355,994
Revvity,
Inc.
............................
4,894
572,745
Waters
Corp.
(b)
..........................
2,303
646,682
West
Pharmaceutical
Services,
Inc.
............
2,896
1,178,382
16,878,557
a
Machinery
 — 
3
.9
%
Caterpillar,
Inc.
..........................
20,105
5,652,119
Cummins,
Inc.
...........................
5,522
1,270,281
Deere
&
Co.
............................
10,866
4,465,274
Dover
Corp.
............................
5,456
809,125
Fortive
Corp.
............................
13,792
1,087,499
Graco,
Inc.
.............................
6,539
516,189
IDEX
Corp.
.............................
2,949
667,654
Illinois
Tool
Works,
Inc.
.....................
11,856
2,932,582
Ingersoll
Rand,
Inc.
.......................
15,781
1,098,515
Nordson
Corp.
...........................
2,001
488,524
Otis
Worldwide
Corp.
......................
16,122
1,379,237
PACCAR,
Inc.
...........................
20,387
1,677,646
Parker-Hannifin
Corp.
......................
5,005
2,086,584
Pentair
PLC
............................
6,505
457,041
Snap-on,
Inc.
...........................
2,065
554,659
Stanley
Black
&
Decker,
Inc.
.................
5,968
563,260
Toro
Co.
(The)
...........................
4,051
414,498
Westinghouse
Air
Brake
Technologies
Corp.
.......
7,017
789,553
Xylem,
Inc.
.............................
9,337
966,753
27,876,993
a
Media
 — 
1
.2
%
Comcast
Corp.
,
Class
A
....................
162,266
7,587,558
Interpublic
Group
of
Companies,
Inc.
(The)
.......
15,035
490,291
Omnicom
Group,
Inc.
......................
7,783
630,501
Sirius
XM
Holdings,
Inc.
(a)
...................
30,390
133,716
8,842,066
a
Metals
&
Mining
 — 
0
.4
%
Cleveland-Cliffs,
Inc.
......................
20,327
310,800
Newmont
Corp.
..........................
31,003
1,222,138
Reliance
Steel
&
Aluminum
Co.
...............
2,294
653,698
Steel
Dynamics,
Inc.
.......................
6,264
667,680
2,854,316
a
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
ESG
Advanced
MSCI
USA
ETF
(Percentages
shown
are
based
on
Net
Assets)
18
2023
iShares
Annual
Report
to
Shareholders
Security
Shares
Value
a
Mortgage
Real
Estate
Investment
Trusts
(REITs)
 — 
0
.1
%
Annaly
Capital
Management,
Inc.
..............
19,142
$
388,008
a
Office
REITs
 — 
0
.2
%
Alexandria
Real
Estate
Equities,
Inc.
............
6,411
745,856
Boston
Properties,
Inc.
.....................
5,781
385,997
1,131,853
a
Personal
Care
Products
 — 
0
.2
%
Estee
Lauder
Companies,
Inc.
(The)
,
Class
A
......
9,045
1,451,994
a
Pharmaceuticals
 — 
3
.0
%
Catalent,
Inc.
(b)
..........................
7,110
355,287
Eli
Lilly
&
Co.
...........................
31,477
17,444,553
Jazz
Pharmaceuticals
PLC
..................
2,504
358,973
Zoetis,
Inc.
,
Class
A
.......................
18,027
3,434,324
21,593,137
a
Professional
Services
 — 
1
.5
%
Automatic
Data
Processing,
Inc.
...............
16,117
4,103,549
Booz
Allen
Hamilton
Holding
Corp.
,
Class
A
.......
5,110
579,014
Broadridge
Financial
Solutions,
Inc.
............
4,603
857,125
Ceridian
HCM
Holding,
Inc.
(a)
(b)
................
5,775
418,803
Clarivate
PLC
(b)
..........................
13,190
98,002
Paychex,
Inc.
...........................
12,659
1,547,310
Paycom
Software,
Inc.
.....................
2,032
599,115
Paylocity
Holding
Corp.
.....................
1,741
349,070
Robert
Half,
Inc.
.........................
4,190
309,892
TransUnion
.............................
7,536
612,074
Verisk
Analytics,
Inc.
.......................
5,648
1,368,059
10,842,013
a
Real
Estate
Management
&
Development
 — 
0
.1
%
CBRE
Group,
Inc.
,
Class
A
(b)
.................
12,126
1,031,316
a
Residential
REITs
 — 
0
.5
%
American
Homes
4
Rent
,
Class
A
..............
12,651
455,942
AvalonBay
Communities,
Inc.
................
5,527
1,015,973
Camden
Property
Trust
.....................
4,142
445,762
Invitation
Homes,
Inc.
......................
23,810
811,683
Mid-America
Apartment
Communities,
Inc.
........
4,539
659,199
3,388,559
a
Retail
REITs
 — 
0
.5
%
Kimco
Realty
Corp.
.......................
24,096
456,378
Realty
Income
Corp.
.......................
26,261
1,471,666
Regency
Centers
Corp.
....................
6,481
403,118
Simon
Property
Group,
Inc.
..................
12,756
1,447,679
3,778,841
a
Semiconductors
&
Semiconductor
Equipment
 — 
15
.3
%
Advanced
Micro
Devices,
Inc.
(a)
(b)
..............
62,822
6,641,542
Analog
Devices,
Inc.
.......................
19,561
3,555,799
Applied
Materials,
Inc.
.....................
32,760
5,004,418
Broadcom,
Inc.
..........................
16,100
14,858,529
Enphase
Energy,
Inc.
(a)
(b)
....................
5,346
676,429
Entegris,
Inc.
............................
5,835
590,910
First
Solar,
Inc.
..........................
3,959
748,726
KLA
Corp.
..............................
5,352
2,686,008
Lam
Research
Corp.
......................
5,241
3,681,278
Lattice
Semiconductor
Corp.
.................
5,351
520,438
Marvell
Technology,
Inc.
....................
33,549
1,954,229
Microchip
Technology,
Inc.
...................
21,235
1,737,872
Micron
Technology,
Inc.
.....................
42,728
2,988,396
Monolithic
Power
Systems,
Inc.
...............
1,753
913,681
NVIDIA
Corp.
...........................
96,356
47,556,504
NXP
Semiconductors
NV
...................
10,133
2,084,561
Security
Shares
Value
a
Semiconductors
&
Semiconductor
Equipment
(continued)
ON
Semiconductor
Corp.
(b)
..................
16,847
$
1,658,756
Qorvo,
Inc.
(b)
............................
3,847
413,129
QUALCOMM,
Inc.
........................
43,458
4,977,245
Skyworks
Solutions,
Inc.
....................
6,209
675,167
SolarEdge
Technologies,
Inc.
.................
2,212
359,605
Texas
Instruments,
Inc.
.....................
35,408
5,950,669
Wolfspeed,
Inc.
(b)
.........................
4,916
235,083
110,468,974
a
Software
 — 
20
.7
%
Adobe,
Inc.
(b)
............................
17,781
9,945,624
ANSYS,
Inc.
(b)
...........................
3,381
1,078,099
Aspen
Technology,
Inc.
(b)
....................
1,153
223,682
Atlassian
Corp.
,
Class
A
....................
5,926
1,209,260
Autodesk,
Inc.
(b)
..........................
8,338
1,850,536
Bentley
Systems,
Inc.
,
Class
B
................
8,246
411,558
BILL
Holdings,
Inc.
(a)
(b)
......................
3,709
427,648
Black
Knight,
Inc.
.........................
6,092
461,530
Cadence
Design
Systems,
Inc.
(b)
..............
10,637
2,557,560
Crowdstrike
Holdings,
Inc.
,
Class
A
.............
8,743
1,425,371
Datadog,
Inc.
,
Class
A
(b)
....................
9,867
951,968
DocuSign,
Inc.
...........................
7,825
393,597
Dropbox,
Inc.
,
Class
A
(b)
....................
10,124
281,346
Dynatrace,
Inc.
..........................
9,718
468,408
Fair
Isaac
Corp.
(b)
.........................
975
881,975
Fortinet,
Inc.
(b)
...........................
26,036
1,567,628
Gen
Digital,
Inc.
..........................
22,497
455,564
HubSpot,
Inc.
(b)
..........................
1,835
1,002,864
Intuit,
Inc.
..............................
10,925
5,919,274
Manhattan
Associates,
Inc.
(b)
.................
2,414
489,125
Microsoft
Corp.
..........................
275,562
90,318,201
Palo
Alto
Networks,
Inc.
(a)
(b)
..................
11,931
2,902,812
PTC,
Inc.
(b)
.............................
4,386
645,488
Roper
Technologies,
Inc.
....................
4,159
2,075,591
Salesforce,
Inc.
(b)
.........................
38,000
8,415,480
ServiceNow,
Inc.
(b)
........................
7,946
4,678,843
Splunk,
Inc.
(b)
...........................
6,137
744,173
Synopsys,
Inc.
(b)
.........................
5,936
2,723,971
Tyler
Technologies,
Inc.
(b)
...................
1,635
651,433
UiPath,
Inc.
,
Class
A
.......................
13,970
220,866
Unity
Software,
Inc.
.......................
8,961
332,184
VMware,
Inc.
,
Class
A
(b)
....................
9,234
1,558,514
Workday,
Inc.
,
Class
A
(b)
....................
8,024
1,961,868
Zscaler,
Inc.
(a)
(b)
..........................
3,434
535,876
149,767,917
a
Specialized
REITs
 — 
1
.9
%
American
Tower
Corp.
.....................
18,181
3,296,579
Crown
Castle,
Inc.
........................
16,918
1,700,259
Digital
Realty
Trust,
Inc.
....................
11,365
1,496,998
Equinix,
Inc.
............................
3,648
2,850,474
Iron
Mountain,
Inc.
........................
11,376
722,831
Public
Storage
...........................
6,173
1,706,094
SBA
Communications
Corp.
,
Class
A
............
4,227
949,088
VICI
Properties,
Inc.
.......................
39,176
1,208,188
13,930,511
a
Specialty
Retail
 — 
4
.0
%
AutoZone,
Inc.
(b)
.........................
708
1,792,182
Bath
&
Body
Works,
Inc.
....................
8,462
311,994
Best
Buy
Co.,
Inc.
........................
7,635
583,696
CarMax,
Inc.
(a)
(b)
..........................
6,150
502,332
Home
Depot,
Inc.
(The)
....................
39,221
12,954,696
Lowe's
Companies,
Inc.
....................
22,861
5,269,003
Ross
Stores,
Inc.
.........................
13,289
1,618,733
iShares
®
ESG
Advanced
MSCI
USA
ETF
Schedule
of
Investments
(continued)
August
31,
2023
(Percentages
shown
are
based
on
Net
Assets)
19
Schedule
of
Investments
Security
Shares
Value
a
Specialty
Retail
(continued)
TJX
Companies,
Inc.
(The)
..................
44,833
$
4,146,156
Tractor
Supply
Co.
........................
4,274
933,869
Ulta
Beauty,
Inc.
(b)
........................
1,943
806,403
28,919,064
a
Technology
Hardware,
Storage
&
Peripherals
 — 
0
.6
%
Dell
Technologies,
Inc.
,
Class
C
...............
9,989
561,781
Hewlett
Packard
Enterprise
Co.
...............
50,383
856,007
HP,
Inc.
...............................
34,616
1,028,442
NetApp,
Inc.
............................
8,288
635,690
Seagate
Technology
Holdings
PLC
.............
7,224
511,387
Western
Digital
Corp.
(b)
.....................
12,434
559,530
4,152,837
a
Textiles,
Apparel
&
Luxury
Goods
 — 
0
.3
%
Deckers
Outdoor
Corp.
(b)
....................
1,021
540,201
Lululemon
Athletica,
Inc.
(b)
...................
4,520
1,723,295
VF
Corp.
..............................
13,099
258,836
2,522,332
a
Trading
Companies
&
Distributors
 — 
0
.8
%
Fastenal
Co.
............................
22,229
1,279,946
Ferguson
PLC
...........................
7,977
1,288,764
United
Rentals,
Inc.
.......................
2,681
1,277,604
Watsco,
Inc.
............................
1,298
473,186
WW
Grainger,
Inc.
........................
1,762
1,258,314
5,577,814
a
Security
Shares
Value
a
Water
Utilities
 — 
0
.1
%
American
Water
Works
Co.,
Inc.
...............
7,594
$
1,053,592
a
Total
Long-Term
Investments — 99.7%
(Cost:
$
690,244,048
)
................................
720,775,883
a
Short-Term
Securities
Money
Market
Funds
 — 
2
.1
%
BlackRock
Cash
Funds:
Institutional,
SL
Agency
Shares
,
5.52
%
(c)
(d)
(e)
......................
14,463,150
14,467,489
BlackRock
Cash
Funds:
Treasury,
SL
Agency
Shares
,
5.31
%
(c)
(d)
............................
1,047,206
1,047,206
a
Total
Short-Term
Securities — 2.1%
(Cost:
$
15,513,014
)
.................................
15,514,695
Total
Investments
—
101.8%
(Cost:
$
705,757,062
)
................................
736,290,578
Liabilities
in
Excess
of
Other
Assets
—
(
1
.8
)
%
...............
(
13,296,487
)
Net
Assets
—
100.0%
.................................
$
722,994,091
(a)
All
or
a
portion
of
this
security
is
on
loan.
(b)
Non-income
producing
security.
(c)
Affiliate
of
the
Fund.
(d)
Annualized
7-day
yield
as
of
period
end.
(e)
All
or
a
portion
of
this
security
was
purchased
with
the
cash
collateral
from
loaned
securities.
Affiliates
Investments
in
issuers
considered
to
be
affiliate(s)
of
the
Fund
during
the
year
ended
August
31,
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
08/31/23
  Shares
Held
at
08/31/23
Income
  Capital
Gain
Distributions
from
Underlying
Funds
BlackRock
Cash
Funds:
Institutional,
SL
Agency
Shares
$
9,393,974
$
5,076,419
(a)
$
—
$
(
1,565
)
$
(
1,339
)
$
14,467,489
14,463,150
$
63,202
(b)
$
—
BlackRock
Cash
Funds:
Treasury,
SL
Agency
Shares
746,046
301,160
(a)
—
—
—
1,047,206
1,047,206
42,093
—
BlackRock,
Inc.
...
—
4,082,079
—
—
(
32
)
4,082,047
5,827
—
—
$
(
1,565
)
$
(
1,371
)
$
19,596,742
$
105,295
$
—
(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.
Schedule
of
Investments
(continued)
August
31,
2023
iShares
®
ESG
Advanced
MSCI
USA
ETF
20
2023
iShares
Annual
Report
to
Shareholders
Derivative
Financial
Instruments
Outstanding
as
of
Period
End
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: 
For
the period
ended
August
31,
2023,
the
effect
of
derivative
financial
instruments
in
the
Statements
of
Operations
was
as
follows:
Average
Quarterly
Balances
of
Outstanding
Derivative
Financial
Instruments
For
more
information
about
the
Fund’s
investment
risks
regarding
derivative
financial
instruments,
refer
to
the
Notes
to
Financial
Statements. 
Futures
Contracts
Description
Number
of
Contracts
Expiration
Date
Notional
Amount
(000)
Value/
Unrealized
Appreciation
(Depreciation)
Long
Contracts
E-Mini
S&P
500
Index
...................................................................
7
09/15/23
$
1,581
$
22,022
E-Mini
Technology
Select
Sector
Index
.......................................................
2
09/15/23
354
3,876
$
25,898
Commodity
Contracts
Credit
Contracts
Equity
Contracts
Foreign
Currency
Exchange
Contracts
Interest
Rate
Contracts
Other
Contracts
Total
Assets
—
Derivative
Financial
Instruments
Futures
contracts
Unrealized
appreciation
on
futures
contracts
(a)
.............
$
—
$
—
$
25,898
$
—
$
—
$
—
$
25,898
(a)
Net
cumulative
unrealized
appreciation
(depreciation)
on
futures
contracts
are
reported
in
the
Schedule
of
Investments.
In
the
Statements
of
Assets
and
Liabilities,
only
current
day’s
variation
margin
is
reported
in
receivables
or
payables
and
the
net
cumulative
unrealized
appreciation
(depreciation)
is
included
in
accumulated
earnings
(loss).
Commodity
Contracts
Credit
Contracts
Equity
Contracts
Foreign
Currency
Exchange
Contracts
Interest
Rate
Contracts
Other
Contracts
Total
Net
Realized
Gain
(Loss)
from
Futures
contracts
..................................
$
—
$
—
$
114,600
$
—
$
—
$
—
$
114,600
Net
Change
in
Unrealized
Appreciation
(Depreciation)
on
Futures
contracts
..................................
$
—
$
—
$
65,547
$
—
$
—
$
—
$
65,547
Futures
contracts
Average
notional
value
of
contracts
—
long
...................................................................................
$
1,691,634
a
iShares
®
ESG
Advanced
MSCI
USA
ETF
Schedule
of
Investments
(continued)
August
31,
2023
21
Schedule
of
Investments
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.
See
notes
to
financial
statements.
Level
1
Level
2
Level
3
Total
Assets
Investments
Long-Term
Investments
Common
Stocks
.........................................
$
720,775,883
‌
$
—
‌
$
—
‌
$
720,775,883
‌
Short-Term
Securities
Money
Market
Funds
......................................
15,514,695
‌
—
‌
—
‌
15,514,695
‌
$
736,290,578
‌
$
—
‌
$
—
‌
$
736,290,578
‌
Derivative
Financial
Instruments
(a)
Assets
Equity
Contracts
...........................................
$
25,898
‌
$
—
‌
$
—
‌
$
25,898
‌
a
(a)
Derivative
financial
instruments
are
futures
contracts.
Futures
contracts
are
valued
at
the
unrealized
appreciation
(depreciation)
on
the
instrument.
22
2023
iShares
Annual
Report
to
Shareholders
Statements
of
Assets
and
Liabilities
August
31,
2023
See
notes
to
financial
statements.
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
iShares
ESG
Advanced
MSCI
USA
ETF
ASSETS
Investments,
at
value
—
unaffiliated
(a)
(b)
.....................................................................
$
2,283,322,580
‌
$
716,693,836
‌
Investments,
at
value
—
affiliated
(c)
........................................................................
21,325,339
‌
19,596,742
‌
Cash
............................................................................................
29,595
‌
6,294
‌
Cash
pledged:
Futures
contracts
..................................................................................
436,000
‌
76,000
‌
Receivables:
Investments
sold
..................................................................................
6,908,339
‌
14,002,862
‌
Securities
lending
income
—
affiliated
....................................................................
209
‌
4,096
‌
Capital
shares
sold
.................................................................................
25,350
‌
—
‌
Dividends
—
unaffiliated
.............................................................................
3,245,897
‌
822,671
‌
Dividends
—
affiliated
...............................................................................
19,678
‌
4,505
‌
Total
assets
.......................................................................................
2,315,312,987
‌
751,207,006
‌
LIABILITIES
Collateral
on
securities
loaned
...........................................................................
6,588,268
‌
14,468,081
‌
Payables:
Investments
purchased
..............................................................................
9,499,207
‌
13,684,362
‌
Capital
shares
redeemed
.............................................................................
13,301
‌
—
‌
Investment
advisory
fees
.............................................................................
153,721
‌
59,796
‌
Variation
margin
on
futures
contracts
.....................................................................
12,791
‌
676
‌
Total
liabilities
......................................................................................
16,267,288
‌
28,212,915
‌
Commitments
and
contingent
liabilities
NET
ASSETS
......................................................................................
$
2,299,045,699
‌
$
722,994,091
‌
NET
ASSETS
CONSIST
OF:
Paid-in
capital
......................................................................................
$
2,165,650,813
‌
$
722,382,531
‌
Accumulated
earnings
................................................................................
133,394,886
‌
611,560
‌
NET
ASSETS
......................................................................................
$
2,299,045,699
‌
$
722,994,091
‌
NET
ASSET
VALUE
Shares
outstanding
..................................................................................
43,150,000
‌
19,650,000
‌
Net
asset
value
.....................................................................................
$
53.28
‌
$
36.79
‌
Shares
authorized
...................................................................................
Unlimited
Unlimited
Par
value
.........................................................................................
None
None
(a)
Securities
loaned,
at
value
...........................................................................
$
6,457,941
‌
$
14,169,556
‌
(b)
Investments,
at
cost
—
unaffiliated
......................................................................
$
2,157,888,436
‌
$
686,161,969
‌
(c)
Investments,
at
cost
—
affiliated
........................................................................
$
21,052,573
‌
$
19,595,093
‌
23
Financial
Statements
Statements
of
Operations
Year
Ended
August
31,
2023
See
notes
to
financial
statements.
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
(a)
iShares
ESG
Advanced
MSCI
USA
ETF
INVESTMENT
INCOME
Dividends
—
unaffiliated
............................................................................
$
8,024,646
‌
$
9,541,936
‌
Dividends
—
affiliated
..............................................................................
35,326
‌
42,093
‌
Interest
—
unaffiliated
..............................................................................
1,166
‌
1,385
‌
Securities
lending
income
—
affiliated
—
net
...............................................................
209
‌
63,202
‌
Foreign
taxes
withheld
.............................................................................
(
924
)
(
9,772
)
Total
investment
income
..............................................................................
8,060,423
‌
9,638,844
‌
EXPENSES
Investment
advisory
...............................................................................
409,569
‌
646,701
‌
Total
expenses
....................................................................................
409,569
‌
646,701
‌
Net
investment
income
...............................................................................
7,650,854
‌
8,992,143
‌
—
‌
—
‌
REALIZED
AND
UNREALIZED
GAIN
(LOSS)
Net
realized
gain
(loss)
from:
Investments
—
unaffiliated
.........................................................................
(
37,935
)
(
11,144,444
)
Investments
—
affiliated
...........................................................................
584
‌
(
1,565
)
Futures
contracts
...............................................................................
65,929
‌
114,600
‌
In-kind
redemptions
—
unaffiliated
(b)
...................................................................
543,557
‌
12,597,457
‌
In-kind
redemptions
—
affiliated
(b)
....................................................................
28
‌
—
‌
572,163
‌
1,566,048
‌
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
—
unaffiliated
.........................................................................
125,434,144
‌
117,539,768
‌
Investments
—
affiliated
...........................................................................
272,766
‌
(
1,371
)
Futures
contracts
...............................................................................
24,128
‌
65,547
‌
125,731,038
‌
117,603,944
‌
Net
realized
and
unrealized
gain
........................................................................
126,303,201
‌
119,169,992
‌
NET
INCREASE
IN
NET
ASSETS
RESULTING
FROM
OPERATIONS
...............................................
$
133,954,055
‌
$
128,162,135
‌
(a)
For
the
period
from
June
6,
2023
(commencement
of
operations)
to
August
31,
2023.
(b)
See
Note
2
of
the
Notes
to
Financial
Statements.
24
2023
iShares
Annual
Report
to
Shareholders
Statements
of
Changes
in
Net
Assets
See
notes
to
financial
statements.
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
iShares
ESG
Advanced
MSCI
USA
ETF
Period
From
06/06/23
(a)
to
08/31/23
Year
Ended
08/31/23
Year
Ended
08/31/22
INCREASE
(DECREASE)
IN
NET
ASSETS
OPERATIONS
Net
investment
income
...........................................................
$
7,650,854
‌
$
8,992,143
‌
$
6,996,390
‌
Net
realized
gain
(loss)
...........................................................
572,163
‌
1,566,048
‌
(
3,147,196
)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................
125,731,038
‌
117,603,944
‌
(
128,331,485
)
Net
increase
(decrease)
in
net
assets
resulting
from
operations
..................................
133,954,055
‌
128,162,135
‌
(
124,482,291
)
DISTRIBUTIONS
TO
SHAREHOLDERS
(b)
Decrease
in
net
assets
resulting
from
distributions
to
shareholders
................................
—
‌
(
8,675,446
)
(
6,071,436
)
CAPITAL
SHARE
TRANSACTIONS
Net
increase
in
net
assets
derived
from
capital
share
transactions
................................
2,165,091,644
‌
14,324,978
‌
300,630,783
‌
NET
ASSETS
Total
increase
in
net
assets
..........................................................
2,299,045,699
‌
133,811,667
‌
170,077,056
‌
Beginning
of
period
...............................................................
—
‌
589,182,424
‌
419,105,368
‌
End
of
period
...................................................................
$
2,299,045,699
‌
$
722,994,091
‌
$
589,182,424
‌
(a)
Commencement
of
operations.
(b)
Distributions
for
annual
periods
determined
in
accordance
with
U.S.
federal
income
tax
regulations.
25
Financial
Highlights
Financial
Highlights
(For
a
share
outstanding
throughout
each
period)
See
notes
to
financial
statements.
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
Period
From
06/06/23
(a)
to
08/31/23
Net
asset
value,
beginning
of
period
......................................................................................
$
50.07
‌
Net
investment
income
(b)
..............................................................................................
0
.18
‌
Net
realized
and
unrealized
gain
(c)
........................................................................................
3
.03
‌
Net
increase
from
investment
operations
.....................................................................................
3
.21
‌
Net
asset
value,
end
of
period
...........................................................................................
$
53.28
‌
Total
Return
(d)
–
Based
on
net
asset
value
...............................................................................................
6
.41
%
(e)
Ratios
to
Average
Net
Assets
(f)
–
Total
expenses
......................................................................................................
0
.08
%
(g)
Net
investment
income
.................................................................................................
1
.48
%
(g)
Supplemental
Data
Net
assets,
end
of
period
(000)
...........................................................................................
$
2,299,046
‌
Portfolio
turnover
rate
(h)
.................................................................................................
1
%
(a)
Commencement
of
operations.
(b)
Based
on
average
shares
outstanding.
(c)
The
amounts
reported
for
a
share
outstanding
may
not
accord
with
the
change
in
aggregate
gains
and
losses
in
securities
for
the
fiscal
period
due
to
the
timing
of
capital
share
transactions
in
relation
to
the
fluctuating
market
values
of
the
Fund’s
underlying
securities.
(d)
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.
26
2023
iShares
Annual
Report
to
Shareholders
Financial
Highlights
(continued)
(For
a
share
outstanding
throughout
each
period)
See
notes
to
financial
statements.
iShares
ESG
Advanced
MSCI
USA
ETF
Year
Ended
08/31/23
Year
Ended
08/31/22
Year
Ended
08/31/21
Period
From
06/16/20
(a)
to
08/31/20
Net
asset
value,
beginning
of
period
......................................
$
30.93
‌
$
38.10
‌
$
29.04
‌
$
25.43
‌
Net
investment
income
(b)
..............................................
0
.45
‌
0
.42
‌
0
.38
‌
0
.06
‌
Net
realized
and
unrealized
gain
(loss)
(c)
....................................
5
.85
‌
(
7
.20
)
8
.99
‌
3
.55
‌
Net
increase
(decrease)
from
investment
operations
.............................
6
.30
‌
(
6
.78
)
9
.37
‌
3
.61
‌
Distributions
(d)
–
–
–
–
From
net
investment
income
...........................................
(
0
.44
)
(
0
.39
)
(
0
.30
)
—
‌
From
net
realized
gains
...............................................
—
‌
—
‌
(
0
.01
)
—
‌
Total
distributions
....................................................
(
0
.44
)
(
0
.39
)
(
0
.31
)
—
‌
Net
asset
value,
end
of
period
...........................................
$
36.79
‌
$
30.93
‌
$
38.10
‌
$
29.04
‌
Total
Return
(e)
–
–
–
–
Based
on
net
asset
value
...............................................
20.65
%
(
17.95
)
%
32.53
%
14.20
%
(f)
Ratios
to
Average
Net
Assets
(g)
–
–
–
–
Total
expenses
......................................................
0
.10
%
0
.10
%
0
.10
%
0
.10
%
(h)
Net
investment
income
.................................................
1
.39
%
1
.23
%
1
.09
%
1
.16
%
(h)
Supplemental
Data
Net
assets,
end
of
period
(000)
...........................................
$
722,994
‌
$
589,182
‌
$
419,105
‌
$
5,808
‌
Portfolio
turnover
rate
(i)
.................................................
12
%
24
%
29
%
4
%
(a)
Commencement
of
operations.
(b)
Based
on
average
shares
outstanding.
(c)
The
amounts
reported
for
a
share
outstanding
may
not
accord
with
the
change
in
aggregate
gains
and
losses
in
securities
for
the
fiscal
period
due
to
the
timing
of
capital
share
transactions
in
relation
to
the
fluctuating
market
values
of
the
Fund’s
underlying
securities.
(d)
Distributions
for
annual
periods
determined
in
accordance
with
U.S.
federal
income
tax
regulations.
(e)
Where
applicable,
assumes
the
reinvestment
of
distributions.
(f)
Not
annualized.
(g)
Excludes
fees
and
expenses
incurred
indirectly
as
a
result
of
investments
in
underlying
funds.
(h)
Annualized.
(i)
Portfolio
turnover
rate
excludes
in-kind
transactions.
Notes
to
Financial
Statements
27
Notes
to
Financial
Statements
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”):
2.
Significant
Accounting
Policies
The
financial
statements
are
prepared
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(“U.S.
GAAP”),
which
may
require
management
to
make
estimates
and
assumptions
that
affect
the
reported
amounts
of
assets
and
liabilities
in
the
financial
statements,
disclosure
of
contingent
assets
and
liabilities
at
the
date
of
the
financial
statements
and
the
reported
amounts
of
increases
and
decreases
in
net
assets
from
operations
during
the
reporting
period.
Actual
results
could
differ
from
those
estimates. Each
Fund
is
considered
an
investment
company
under
U.S.
GAAP
and
follows
the
accounting
and
reporting
guidance
applicable
to
investment
companies.
Below
is
a
summary
of
significant
accounting
policies:
Investment
Transactions
and
Income
Recognition:
For
financial
reporting
purposes,
investment
transactions
are
recorded
on
the
dates
the
transactions
are
executed.
Realized
gains
and
losses
on
investment
transactions
are
determined
using
the
specific
identification
method. Dividend
income
and
capital
gain
distributions,
if
any,
are
recorded
on
the
ex-dividend
date.
Non-cash
dividends,
if
any,
are
recorded
on
the
ex-dividend
date
at
fair
value. Dividends
from
foreign
securities
where
the
ex-dividend
date
may
have
passed
are
subsequently
recorded
when
the
Funds
are
informed
of
the
ex-dividend
date.
Under
the
applicable
foreign
tax
laws,
a
withholding
tax
at
various
rates
may
be
imposed
on
capital
gains,
dividends
and
interest. Upon
notification
from
issuers
or
as
estimated
by
management,
a
portion
of
the
dividend
income
received
from
a
real
estate
investment
trust
may
be
redesignated
as
a
reduction
of
cost
of
the
related
investment
and/or
realized
gain. Interest
income,
including
amortization
and
accretion
of
premiums
and
discounts
on
debt
securities,
is
recognized
daily
on
an
accrual
basis.
Foreign
Taxes:
The
Funds
may
be
subject
to
foreign
taxes
(a
portion
of
which
may
be
reclaimable)
on
income,
stock
dividends,
capital
gains
on
investments,
or
certain
foreign
currency
transactions.
All
foreign
taxes
are
recorded
in
accordance
with
the
applicable
foreign
tax
regulations
and
rates
that
exist
in
the
foreign
jurisdictions
in
which
each
Fund
invests.
These
foreign
taxes,
if
any,
are
paid
by
each
Fund
and
are
reflected
in
its
Statements
of
Operations
as
follows:
foreign
taxes
withheld
at
source
are
presented
as
a
reduction
of
income,
foreign
taxes
on
securities
lending
income
are
presented
as
a
reduction
of
securities
lending
income,
foreign
taxes
on
stock
dividends
are
presented
as
“Other
foreign
taxes”,
and
foreign
taxes
on
capital
gains
from
sales
of
investments
and
foreign
taxes
on
foreign
currency
transactions
are
included
in
their
respective
net
realized
gain
(loss)
categories.
Foreign
taxes
payable
or
deferred
as
of
August
31,
2023,
if
any,
are
disclosed
in
the
Statements
of
Assets
and
Liabilities.
The Funds
file
withholding
tax
reclaims
in
certain
jurisdictions
to
recover
a
portion
of
amounts
previously
withheld.
The
Funds
may
record
a
reclaim
receivable
based
on
collectability,
which
includes
factors
such
as
the
jurisdiction’s
applicable
laws,
payment
history
and
market
convention.
The
Statements
of
Operations
includes
tax
reclaims
recorded
as
well
as
professional
and
other
fees,
if
any,
associated
with
recovery
of
foreign
withholding
taxes.
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. 
Indemnifications:
In
the
normal
course
of
business,
each
Fund
enters
into
contracts
that
contain
a
variety
of
representations
that
provide
general
indemnification.
The
Funds’
maximum
exposure
under
these
arrangements
is
unknown
because
it
involves
future
potential
claims
against
the
Funds,
which
cannot
be
predicted
with
any
certainty.
3.
Investment
Valuation
and
Fair
Value
Measurements
Investment
Valuation
Policies:
Each
Fund’s
investments
are
valued
at
fair
value
(also
referred
to
as
“market
value”
within
the
financial
statements)
each
day
that
the
Fund’s
listing
exchange
is
open
and,
for
financial
reporting
purposes,
as
of
the
report
date.
U.S.
GAAP
defines
fair
value
as
the
price
a
fund
would
receive
to
sell
an
asset
or
pay
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date.
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
iShares
ETF
Diversification
Classification
Climate
Conscious
&
Transition
MSCI
USA
(a)
..................................................................................
Non-diversified
ESG
Advanced
MSCI
USA
..............................................................................................
Non-diversified
(a)
The
Fund
commenced
operations
on
June
6,
2023.
Notes
to
Financial
Statements
(continued)
28
2023
iShares
Annual
Report
to
Shareholders
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:
Equity
investments
traded
on
a
recognized
securities
exchange
are
valued
at
that
day’s
official
closing
price,
as
applicable,
on
the
exchange
where
the
stock
is
primarily
traded.
Equity
investments
traded
on
a
recognized
exchange
for
which
there
were
no
sales
on
that
day
are
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.
Futures
contracts
are
valued
based
on
that
day’s
last
reported
settlement
or
trade
price
on
the
exchange
where
the
contract
is
traded.
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
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
Notes
to
Financial
Statements
(
continued)
29
Notes
to
Financial
Statements
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:
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
Futures
Contracts:
Futures
contracts
are
purchased
or
sold
to
gain
exposure
to,
or
manage
exposure
to,
changes
in
interest
rates
(interest
rate
risk)
and
changes
in
the
value
of
equity
securities
(equity
risk)
or
foreign
currencies
(foreign
currency
exchange
rate
risk).
Futures
contracts
are
exchange-traded
agreements
between
the Funds
and
a
counterparty
to
buy
or
sell
a
specific
quantity
of
an
underlying
instrument
at
a
specified
price
and
on
a
specified
date.
Depending
on
the
terms
of
a
contract,
it
is
settled
either
through
physical
delivery
of
the
underlying
instrument
on
the
settlement
date
or
by
payment
of
a
cash
amount
on
the
settlement
date.
Upon
entering
into
a
futures
contract,
the Funds
are
required
to
deposit
initial
margin
with
the
broker
in
the
form
of
cash
or
securities
in
an
amount
that
varies
depending
on
a
contract’s
size
and
risk
profile.
The
initial
margin
deposit
must
then
be
maintained
at
an
established
level
over
the
life
of
the
contract.
Amounts
pledged,
which
are
considered
restricted,
are
included
in
cash
pledged
for
futures
contracts
in
the
Statements
of
Assets
and
Liabilities.
Securities
deposited
as
initial
margin
are
designated
in
the
Schedule
of
Investments
and
cash
deposited,
if
any,
are
shown
as
cash
pledged
for
futures
contracts
in
the
Statements
of
Assets
and
Liabilities.
Pursuant
to
the
contract,
the Funds
agree
to
receive
from
or
pay
to
the
broker
an
amount
of
cash
equal
to
the
daily
fluctuation
in
market
value
of
the
contract
(“variation
margin”).
Variation
margin
is
recorded
as
unrealized
appreciation
(depreciation)
and,
if
any,
shown
as
variation
margin
receivable
(or
payable)
on
futures
contracts
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
notional
amount
of
the
contract
at
the
time
it
was
opened
and
the
notional
amount
at
the
time
it
was
closed.
The
use
of
futures
contracts
involves
the
risk
of
an
imperfect
correlation
in
the
movements
in
the
price
of
futures
contracts
and
interest
rates,
foreign
currency
exchange
rates
or
underlying
assets. 
iShares
ETF
and
Counterparty
Securities
Loaned
at
Value
Cash
Collateral
Received
(a)
Non-Cash
Collateral
Received,
at
Fair
Value
(a)
Net
Amount
(b)
Climate
Conscious
&
Transition
MSCI
USA
J.P.
Morgan
Securities
LLC
.....................................
$
2,754,090
‌
$
(2,754,090
)
$
—
‌
$
—
‌
RBC
Capital
Markets
LLC
......................................
2,766,524
‌
(2,766,524
)
—
‌
—
‌
Wells
Fargo
Bank
NA
.........................................
937,327
‌
(937,327
)
—
‌
—
‌
$
6,457,941
‌
$
(6,457,941
)
$
—
‌
$
—
‌
a
ESG
Advanced
MSCI
USA
Barclays
Bank
PLC
...........................................
796,955
‌
(796,955
)
—
‌
—
‌
Citadel
Clearing
LLC
..........................................
385,272
‌
(385,272
)
—
‌
—
‌
HSBC
Bank
PLC
............................................
931,049
‌
(931,049
)
—
‌
—
‌
J.P.
Morgan
Securities
LLC
.....................................
8,242,576
‌
(8,242,576
)
—
‌
—
‌
Morgan
Stanley
.............................................
8,645
‌
(8,645
)
—
‌
—
‌
RBC
Capital
Markets
LLC
......................................
342,025
‌
(332,598
)
—
‌
9,427
‌
Toronto-Dominion
Bank
........................................
2,899,217
‌
(2,894,180
)
—
‌
5,037
‌
UBS
AG
..................................................
563,817
‌
(563,817
)
—
‌
—
‌
$
14,169,556
‌
$
(14,155,092
)
$
—
‌
$
14,464
‌
a
(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
Funds’
Statements
of
Assets
and
Liabilities.
(b)
The
market
value
of
the
loaned
securities
is
determined
as
of
August
31,
2023.
Additional
collateral
is
delivered
to
the
Fund
on
the
next
business
day
in
accordance
with
the
MSLA.
The
net
amount
would
be
subject
to
the
borrower
default
indemnity
in
the
event
of
default
by
the
counterparty.
Notes
to
Financial
Statements
(continued)
30
2023
iShares
Annual
Report
to
Shareholders
6.
Investment
Advisory
Agreement
and
Other
Transactions
with
Affiliates 
Investment
Advisory
Fees:
Pursuant
to
an
Investment
Advisory
Agreement
with
the
Trust, BFA manages
the
investment
of
each
Fund’s
assets.
BFA
is
a
California
corporation
indirectly
owned
by BlackRock.
Under
the
Investment
Advisory
Agreement,
BFA
is
responsible
for
substantially
all
expenses
of
the
Funds,
except
(i)
interest
and
taxes;
(ii)
brokerage
commissions
and
other
expenses
connected
with
the
execution
of
portfolio
transactions;
(iii)
distribution
fees;
(iv)
the
advisory
fee
payable
to
BFA;
and
(v)
litigation
expenses
and
any
extraordinary
expenses
(in
each
case
as
determined
by
a
majority
of
the
independent
trustees).
For
its
investment
advisory
services
to
each
of
the
following
Funds,
BFA
is
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:
Distributor:
 BlackRock
Investments,
LLC
(“BRIL”),
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.
ETF
Servicing
Fees:
Each
Fund
has
entered
into
an
ETF
Services
Agreement
with
BRIL
to
perform
certain
order
processing,
Authorized
Participant
communications,
and
related
services
in
connection
with
the
issuance
and
redemption
of
Creation
Units
(“ETF
Services”).
BRIL
is
entitled
to
a
transaction
fee
from
Authorized
Participants
on
each
creation
or
redemption
order
for
the
ETF
Services
provided. The
Funds
do
not
pay
BRIL
for
ETF
Services.
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
81%
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
81%
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 period
ended August
31,
2023,
the
Funds
paid
BTC
the
following
amounts
for
securities
lending
agent
services:
Officers
and
Trustees:
Certain
officers
and/or
trustees
of
the
Trust
are
officers
and/or trustees
of
BlackRock
or
its
affiliates.
Other
Transactions:
Cross
trading
is
the
buying
or
selling
of
portfolio
securities
between
funds
to
which
BFA
(or
an
affiliate)
serves
as
investment
adviser.
At
its
regularly
scheduled
quarterly
meetings,
the
Board
reviews
such
transactions
as
of
the
most
recent
calendar
quarter
for
compliance
with
the
requirements
and
restrictions
set
forth
by
Rule
17a-7.
For
the period
ended
August
31,
2023,
transactions
executed
by
the
Funds
pursuant
to
Rule
17a-7
under
the
1940
Act
were
as
follows:
Each
Fund
may
invest
its
positive
cash
balances
in
certain
money
market
funds
managed
by
BFA
or
an
affiliate.
The
income
earned
on
these
temporary
cash
investments
is
shown
as
dividends
–
affiliated
in
the
Statements
of
Operations.
A
fund,
in
order
to
improve
its
portfolio
liquidity
and
its
ability
to
track
its
underlying
index,
may
invest
in
shares
of
other
iShares
funds
that
invest
in
securities
in
the
fund’s
underlying
index.
iShares
ETF
Investment
Advisory
Fees
Climate
Conscious
&
Transition
MSCI
USA
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
0.08%
ESG
Advanced
MSCI
USA
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
0.10
iShares
ETF
Amounts
Climate
Conscious
&
Transition
MSCI
USA
..................................................................................
$
88
‌
ESG
Advanced
MSCI
USA
.............................................................................................
18,646
‌
iShares
ETF
Purchases
Sales
Net
Realized
Gain
(Loss)
Climate
Conscious
&
Transition
MSCI
USA
..............................................
$
5,612,648
‌
$
3,711,792
‌
$
(90,163
)
ESG
Advanced
MSCI
USA
.........................................................
29,671,418
‌
30,032,540
‌
(2,606,531
)
Notes
to
Financial
Statements
(
continued)
31
Notes
to
Financial
Statements
7.
Purchases
and
Sales
For
the
period ended
August
31,
2023,
purchases
and
sales
of
investments,
excluding
short-term
securities
and
in-kind
transactions,
were
as
follows:
For
the
period
ended
August
31,
2023,
in-kind
transactions
were
as
follows:
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
August
31,
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.
U.S.
GAAP
requires
that
certain
components
of
net
assets
be
adjusted
to
reflect
permanent
differences
between
financial
and
tax
reporting.
These
reclassifications
have
no
effect
on
net
assets
or
NAV
per
share.
As
of
August
31,
2023,
permanent
differences
attributable
to
certain
deemed
distributions
and
realized
gains
(losses)
from
in-kind
redemptions
were
reclassified
to
the
following
accounts:
The
tax
character
of
distributions
paid
was
as
follows:
As
of
August
31,
2023,
the
tax
components
of
accumulated
net earnings
(losses)
were
as
follows:
As
of
August
31,
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:
9.
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;
iShares
ETF
Purchases
Sales
Climate
Conscious
&
Transition
MSCI
USA
................................................................
$
16,600,607
‌
$
11,533,123
‌
ESG
Advanced
MSCI
USA
...........................................................................
77,271,113
‌
77,364,237
‌
iShares
ETF
In-kind
Purchases
In-kind
Sales
Climate
Conscious
&
Transition
MSCI
USA
................................................................
$
2,168,288,150
‌
$
6,596,906
‌
ESG
Advanced
MSCI
USA
...........................................................................
75,358,073
‌
61,131,039
‌
iShares
ETF
Paid-in
Capital
Accumulated
Earnings
(Loss)
Climate
Conscious
&
Transition
MSCI
USA
................................................................
$
559,169
‌
$
(559,169
)
ESG
Advanced
MSCI
USA
...........................................................................
12,593,713
‌
(12,593,713
)
iShares
ETF
Year
Ended
08/31/23
Year
Ended
08/31/22
ESG
Advanced
MSCI
USA
Ordinary
income
..........................................................................................
$
8,675,446
‌
$
6,071,436
‌
iShares
ETF
Undistributed
Ordinary
Income
Undistributed
Long-
Term
Capital
Gains
Non-Expiring
Capital
Loss
Carryforwards
(a)
Net
Unrealized
Gains
(Losses)
(b)
Total
Climate
Conscious
&
Transition
MSCI
USA
..........
$
7,650,854
‌
$
37,128
‌
$
—
‌
$
125,706,904
‌
$
133,394,886
‌
ESG
Advanced
MSCI
USA
.....................
2,048,563
‌
—
‌
(29,981,927
)
28,544,924
‌
611,560
‌
(a)
Amounts
available
to
offset
future
realized
capital
gains.
(b)
The
difference
between
book-basis
and
tax-basis
net
unrealized
gains
(losses)
was
attributable
primarily
to
the
tax
deferral
of
losses
on
wash
sales,
the
realization
for
tax
purposes
of
unrealized
gains
(losses)
on
certain
futures
contracts
and
the
timing
and
recognition
of
realized
gains
(losses)
for
tax
purposes.
iShares
ETF
Tax
Cost
Gross
Unrealized
Appreciation
Gross
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Climate
Conscious
&
Transition
MSCI
USA
............................
$
2,178,941,015
‌
$
158,573,943
‌
$
(32,867,039
)
$
125,706,904
‌
ESG
Advanced
MSCI
USA
.......................................
707,743,762
‌
91,591,089
‌
(63,044,273
)
28,546,816
‌
Notes
to
Financial
Statements
(continued)
32
2023
iShares
Annual
Report
to
Shareholders
(iii)
regulation,
taxation
or
international
tax
treaties
between
various
countries;
or
(iv)
currency,
interest
rate
or
price
fluctuations.
Local,
regional
or
global
events
such
as
war,
acts
of
terrorism,
the
spread
of
infectious
illness
or
other
public
health
issues,
recessions,
or
other
events
could
have
a
significant
impact
on
the
Funds
and
their
investments.
Each
Fund’s
prospectus
provides
details
of
the
risks
to
which
the
Fund
is
subject.
BFA
uses
a
“passive”
or
index
approach
to
try
to
achieve
each
Fund’s
investment
objective
following
the
securities
included
in
its
underlying
index
during
upturns
as
well
as
downturns.
BFA
does
not
take
steps
to
reduce
market
exposure
or
to
lessen
the
effects
of
a
declining
market.
Divergence
from
the
underlying
index
and
the
composition
of
the
portfolio
is
monitored
by
BFA.
The
Funds
may
be
exposed
to
additional
risks
when
reinvesting
cash
collateral
in
money
market
funds
that
do
not
seek
to
maintain
a
stable
NAV
per
share
of
$1.00,
which
may
be
subject
to
redemption
gates
or
liquidity
fees
under
certain
circumstances.
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.
Valuation
Risk:
The
market
values
of
equities,
such
as
common
stocks
and
preferred
securities
or
equity
related
investments,
such
as
futures
and
options,
may
decline
due
to
general
market
conditions
which
are
not
specifically
related
to
a
particular
company.
They
may
also
decline
due
to
factors
which
affect
a
particular
industry
or
industries.
A
fund
may
invest
in
illiquid
investments.
An
illiquid
investment
is
any
investment
that
a
fund
reasonably
expects
cannot
be
sold
or
disposed
of
in
current
market
conditions
in
seven
calendar
days
or
less
without
the
sale
or
disposition
significantly
changing
the
market
value
of
the
investment.
A
fund
may
experience
difficulty
in
selling
illiquid
investments
in
a
timely
manner
at
the
price
that
it
believes
the
investments
are
worth.
Prices
may
fluctuate
widely
over
short
or
extended
periods
in
response
to
company,
market
or
economic
news.
Markets
also
tend
to
move
in
cycles,
with
periods
of
rising
and
falling
prices.
This
volatility
may
cause
a
fund’s
NAV
to
experience
significant
increases
or
decreases
over
short
periods
of
time.
If
there
is
a
general
decline
in
the
securities
and
other
markets,
the
NAV
of
a
fund
may
lose
value,
regardless
of
the
individual
results
of
the
securities
and
other
instruments
in
which
a
fund
invests. 
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.
With
exchange-traded
futures,
there
is
less
counterparty
credit
risk
to
the
Funds
since
the
exchange
or
clearinghouse,
as
counterparty
to
such
instruments,
guarantees
against
a
possible
default.
The
clearinghouse
stands
between
the
buyer
and
the
seller
of
the
contract;
therefore,
credit
risk
is
limited
to
failure
of
the
clearinghouse.
While
offset
rights
may
exist
under
applicable
law, a
fund
does
not
have
a
contractual
right
of
offset
against
a
clearing
broker
or
clearinghouse
in
the
event
of
a
default
(including
the
bankruptcy
or
insolvency).
Additionally,
credit
risk
exists
in
exchange-traded
futures
with
respect
to
initial
and
variation
margin
that
is
held
in
a
clearing
broker’s
customer
accounts.
While
clearing
brokers
are
required
to
segregate
customer
margin
from
their
own
assets,
in
the
event
that
a
clearing
broker
becomes
insolvent
or
goes
into
bankruptcy
and
at
that
time
there
is
a
shortfall
in
the
aggregate
amount
of
margin
held
by
the
clearing
broker
for
all
its
clients,
typically
the
shortfall
would
be
allocated
on
a
pro
rata
basis
across
all
the
clearing
broker’s
customers,
potentially
resulting
in
losses
to
the
Funds.
Geographic/Asset
Class
Risk:
A
diversified
portfolio,
where
this
is
appropriate
and
consistent
with
a
fund’s
objectives,
minimizes
the
risk
that
a
price
change
of
a
particular
investment
will
have
a
material
impact
on
the
NAV
of
a
fund.
The
investment
concentrations
within
each
Fund’s
portfolio
are
disclosed
in
its
Schedule
of
Investments.
The
Funds
invest
a
significant
portion
of
their
assets
in securities
of
issuers
located
in
the
United
States.
A
decrease
in
imports
or
exports,
changes
in
trade
regulations,
inflation
and/or
an
economic
recession
in
the
United
States
may
have
a
material
adverse
effect
on
the
U.S.
economy
and
the
securities
listed
on
U.S.
exchanges.
Proposed
and
adopted
policy
and
legislative
changes
in
the
United
States
may
also
have
a
significant
effect
on
U.S.
markets
generally,
as
well
as
on
the
value
of
certain
securities.
Governmental
agencies
project
that
the
United
States
will
continue
to
maintain
elevated
public
debt
levels
for
the
foreseeable
future
which
may
constrain
future
economic
growth.
Circumstances
could
arise
that
could
prevent
the
timely
payment
of
interest
or
principal
on
U.S.
government
debt,
such
as
reaching
the
legislative
“debt
ceiling.”
Such
non-payment
would
result
in
substantial
negative
consequences
for
the
U.S.
economy
and
the
global
financial
system.
If
U.S.
relations
with
certain
countries
deteriorate,
it
could
adversely
affect
issuers
that
rely
on
the
United
States
for
trade.
The
United
States
has
also
experienced
increased
internal
unrest
and
discord.
If
these
trends
were
to
continue,
they
may
have
an
adverse
impact
on
the
U.S.
economy
and
the
issuers
in
which
the
Funds
invest.
The Funds
invest
a
significant
portion
of
their
assets
in
securities
within
a
single
or
limited
number
of
market
sectors.
When
a
Fund
concentrates
its
investments
in
this
manner,
it
assumes
the
risk
that
economic,
regulatory,
political
and
social
conditions
affecting
such
sectors
may
have
a
significant
impact
on
the
fund
and
could
affect
the
income
from,
or
the
value
or
liquidity
of,
the
fund’s
portfolio.
Investment
percentages
in
specific
sectors
are
presented
in
the
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.
Notes
to
Financial
Statements
(
continued)
33
Notes
to
Financial
Statements
10.
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:
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
BRIL,
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.
11.
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.
Year
Ended
08/31/23
Year
Ended
08/31/22
iShares
ETF
Shares
Amount
Shares
Amount
Climate
Conscious
&
Transition
MSCI
USA
(a)
Shares
sold
...............................................
43,275,000
‌
$
2,171,705,502
‌
—
‌
$
—
‌
Shares
redeemed
...........................................
(125,000
)
(6,613,858
)
—
‌
—
‌
43,150,000
‌
$
2,165,091,644
‌
—
‌
$
—
‌
ESG
Advanced
MSCI
USA
Shares
sold
...............................................
2,400,000
‌
$
75,640,973
‌
11,500,000
‌
$
415,134,537
‌
Shares
redeemed
...........................................
(1,800,000
)
(61,315,995
)
(3,450,000
)
(114,503,754
)
600,000
‌
$
14,324,978
‌
8,050,000
‌
$
300,630,783
‌
(a)
The
Fund
commenced
operations
on
June
6,
2023.
Report
of
Independent
Registered
Public
Accounting
Firm
34
2023
iShares
Annual
Report
to
Shareholders
To
the
Board
of
Trustees
of
iShares
Trust
and
Shareholders
of
each
of
the
two
funds
listed
in
the
table
below
Opinions
on
the
Financial
Statements
We
have
audited
the
accompanying
statements
of
assets
and
liabilities,
including
the
schedules
of
investments,
of
each
of
the
funds
listed
in
the
table
below
(two
of
the
funds
constituting
iShares
Trust,
hereafter
collectively
referred
to
as
the
“Funds”)
as
of
August
31,
2023,
the
related
statements
of
operations
and
of
changes
in
net
assets
for
each
of
the
periods
indicated
in
the
table
below,
including
the
related
notes,
and
the
financial
highlights
for
each
of
the
periods
indicated
therein
(collectively
referred
to
as
the
“financial
statements”).
In
our
opinion,
the
financial
statements
present
fairly,
in
all
material
respects,
the
financial
position
of
each
of
the
Funds
as
of
August
31,
2023,
the
results
of
each
of
their
operations
and
the
changes
in
each
of
their
net
assets
for
the
periods
indicated
in
the
table
below,
and
each
of
the
financial
highlights
for
each
of
the
periods
indicated
therein,
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America.
Basis
for
Opinions
These
financial
statements
are
the
responsibility
of
the
Funds’
management.
Our
responsibility
is
to
express
an
opinion
on
the
Funds’
financial
statements
based
on
our
audits.
We
are
a
public
accounting
firm
registered
with
the
Public
Company
Accounting
Oversight
Board
(United
States)
(PCAOB)
and
are
required
to
be
independent
with
respect
to
the
Funds
in
accordance
with
the
U.S.
federal
securities
laws
and
the
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
and
the
PCAOB.
We
conducted
our
audits
of
these
financial
statements
in
accordance
with
the
standards
of
the
PCAOB.
Those
standards
require
that
we
plan
and
perform
the
audit
to
obtain
reasonable
assurance
about
whether
the
financial
statements
are
free
of
material
misstatement,
whether
due
to
error
or
fraud.
Our
audits
included
performing
procedures
to
assess
the
risks
of
material
misstatement
of
the
financial
statements,
whether
due
to
error
or
fraud,
and
performing
procedures
that
respond
to
those
risks.
Such
procedures
included
examining,
on
a
test
basis,
evidence
regarding
the
amounts
and
disclosures
in
the
financial
statements.
Our
audits
also
included
evaluating
the
accounting
principles
used
and
significant
estimates
made
by
management,
as
well
as
evaluating
the
overall
presentation
of
the
financial
statements.
Our
procedures
included
confirmation
of
securities
owned
as
of
August
31,
2023
by
correspondence
with
the
custodian,
transfer
agent,
and
brokers;
when
replies
were
not
received
from
brokers,
we
performed
other
auditing
procedures.
We
believe
that
our
audits
provide
a
reasonable
basis
for
our
opinions.
/s/PricewaterhouseCoopers
LLP
Philadelphia,
Pennsylvania
October
23,
2023
We
have
served
as
the
auditor
of
one
or
more
BlackRock
investment
companies
since
2000.
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
(1)
iShares
ESG
Advanced
MSCI
USA
ETF
(2)
(1)
Statement
of
operations
and
statement
of
changes
in
net
assets
for
the
period
June
6,
2023
(commencement
of
operations)
to
August
31,
2023.
(2)
Statement
of
operations
for
the
year
ended
August
31,
2023
and
statement
of
changes
in
net
assets
for
each
of
the
two
years
in
the
period
ended
August
31,
2023.
Important
Tax
Information
(unaudited)
35
Important
Tax
Information
The
following
amounts,
or
maximum
amounts
allowable
by
law,
are
hereby
designated
as
qualified
dividend
income
for
individuals
for
the
fiscal
year
ended
August
31,
2023:
The
following
amounts,
or
maximum
amounts
allowable
by
law,
are
hereby
designated
as
qualified
business
income
for
individuals
for
the
fiscal
year
ended
August
31,
2023:
The
Fund
hereby
designates
the
following
amounts,
or
maximum
amounts
allowable
by
law,
as
capital
gain
dividends,
subject
to
a
long-term
capital
gains
tax
rate
as
noted
below,
for
the
fiscal
year
ended
August
31,
2023: 
The
following
percentages,
or
maximum
percentages
allowable
by
law,
of
ordinary
income
distributions
paid
during
the
fiscal
year
ended August
31,
2023
qualified
for
the
dividends-received
deduction
for
corporate
shareholders:
iShares
ETF
Qualified
Dividend
Income
Climate
Conscious
&
Transition
MSCI
USA
...................................................................................
$
7,545,536‌
ESG
Advanced
MSCI
USA
..............................................................................................
8,449,066‌
iShares
ETF
Qualified
Business
Income
ESG
Advanced
MSCI
USA
..............................................................................................
$
207,347‌
iShares
ETF
20%
Rate
Long-
Term
Capital
Gain
Dividends
Climate
Conscious
&
Transition
MSCI
USA
...................................................................................
$
15,584‌
iShares
ETF
Dividends-Received
Deduction
Climate
Conscious
&
Transition
MSCI
USA
...................................................................................
95.86‌
%
ESG
Advanced
MSCI
USA
..............................................................................................
89.75‌
Board
Review
and
Approval
of
Investment
Advisory
Contract
36
2023
iShares
Annual
Report
to
Shareholders
iShares
Climate
Conscious
&
Transition
MSCI
USA
ETF
(the
“Fund”)
Under
Section
15(c)
of
the
Investment
Company
Act
of
1940
(the
“1940
Act”),
the
Trust’s
Board
of
Trustees
(the
“Board”),
including
a
majority
of
Board
Members
who
are
not
“interested
persons”
of
the
Trust
(as
that
term
is
defined
in
the
1940
Act)
(the
“Independent
Board
Members”),
is
required
to
consider
and
approve
the
proposed
Investment
Advisory
Agreement
between
the
Trust
and
BFA
(the
“Advisory
Agreement”)
on
behalf
of
the
Fund.
The
Independent
Board
Members
requested,
and
BFA
provided,
such
information
as
the
Independent
Board
Members,
with
advice
from
independent
counsel,
deemed
reasonably
necessary
to
evaluate
the
terms
of
the
proposed
Advisory
Agreement.
At
a
meeting
held
on
March
29-30,
2023,
the
Board,
including
the
Independent
Board
Members,
approved
the
selection
of
BFA
as
investment
adviser
and
approved
the
proposed
Advisory
Agreement
for
the
Fund,
based
on
a
review
of
qualitative
and
quantitative
information
provided
by
BFA.
The
Board
also
considered
information
previously
provided
by
BFA,
BlackRock
Institutional
Trust
Company,
N.A.
(“BTC”),
and
BlackRock,
Inc.
(“BlackRock”),
as
applicable,
at
prior
Board
meetings.
The
Independent
Board
Members
were
advised
by
their
independent
counsel
throughout
the
process,
including
about
the
legal
standards
applicable
to
their
review.
In
approving
the
Advisory
Agreement
for
the
Fund,
the
Board,
including
the
Independent
Board
Members,
considered
various
factors,
including:
(i)
the
expenses
of
the
Fund;
(ii)
the
nature,
extent
and
quality
of
the
services
to
be
provided
by
BFA;
(iii)
the
costs
of
services
to
be
provided
to
the
Fund
and
the
availability
of
information
related
to
profits
to
be
realized
by
BFA
and
its
affiliates;
(iv)
potential
economies
of
scale;
(v)
the
fees
and
services
provided
for
other
comparable
funds/accounts
managed
by
BFA
and
its
affiliates;
and
(vi)
other
benefits
to
BFA
and/or
its
affiliates.
The
material
factors,
no
one
of
which
was
controlling,
and
conclusions
that
formed
the
basis
for
the
Board,
including
the
Independent
Board
Members,
to
approve
the
Advisory
Agreement
are
discussed
below.
Expenses
of
the
Fund:
The
Board
reviewed
statistical
information
prepared
by
Broadridge
Financial
Solutions
Inc.
(“Broadridge”),
an
independent
provider
of
investment
company
data,
regarding
the
expense
ratio
components
of
the
Fund
in
comparison
with
the
same
information
for
other
ETFs,
objectively
selected
by
Broadridge
as
comprising
the
Fund’s
applicable
expense
peer
group
pursuant
to
Broadridge’s
proprietary
ETF
methodology
(the
“Peer
Group”).
The
Board
was
provided
with
a
detailed
description
of
the
proprietary
ETF
methodology
used
by
Broadridge
to
determine
the
Fund’s
Peer
Group.
The
Board
noted
that
due
to
the
limitations
in
providing
comparable
funds
in
the
Peer
Group,
the
statistical
information
provided
in
Broadridge’s
report
may
or
may
not
provide
meaningful
direct
comparisons
to
the
Fund
in
all
instances.
The
Board
also
noted
that
the
investment
advisory
fee
rate
and
overall
expenses
(net
of
any
waivers
and
reimbursements)
for
the
Fund
were
lower
than
the
median
of
the
investment
advisory
fee
rates
and
overall
expenses
(net
of
any
waivers
and
reimbursements)
of
the
funds
in
its
Peer
Group,
excluding
iShares
funds.
Based
on
this
review,
the
other
factors
considered
at
the
meeting,
and
their
general
knowledge
of
ETF
pricing,
the
Board
concluded
that
the
investment
advisory
fee
rate
and
expense
level
of
the
Fund
supported
the
Board’s
approval
of
the
Advisory
Agreement.
Nature,
Extent
and
Quality
of
Services
to
be
Provided
by
BFA:
The
Board
reviewed
the
scope
of
services
to
be
provided
by
BFA
under
the
Advisory
Agreement.
In
reviewing
the
scope
of
these
services,
the
Board
considered
BFA’s
investment
philosophy
and
experience,
noting
that
BFA
and
its
affiliates
have
committed
significant
resources
over
time
and
have
made
significant
investments
into
the
iShares
business
to
support
the
iShares
funds
and
their
shareholders.
The
Board
considered
representations
by
BFA,
BTC,
and
BlackRock
that
the
scope
and
quality
of
services
to
be
provided
to
the
Fund
would
be
similar
to
the
scope
and
quality
of
services
provided
to
other
iShares
funds.
The
Board
also
considered
BFA’s
compliance
program
and
its
compliance
record
with
respect
to
other
iShares
funds.
In
that
regard,
the
Board
noted
that
BFA
reports
to
the
Board
about
portfolio
management
and
compliance
matters
on
a
periodic
basis
in
connection
with
regularly
scheduled
meetings
of
the
Board,
and
on
other
occasions
as
necessary
and
appropriate,
and
has
provided
information
and
made
relevant
officers
and
other
employees
of
BFA
(and
its
affiliates)
available
as
needed
to
provide
further
assistance
with
these
matters.
The
Board
also
reviewed
the
background
and
experience
of
the
persons
who
will
be
responsible
for
the
day-to-day
management
of
the
Fund,
as
well
as
the
resources
that
will
be
available
to
them
in
managing
the
Fund.
The
Board
also
considered
detailed
presentations
regarding
BFA’s
investment
performance,
investment
and
risk
management
processes
and
strategies,
which
were
provided
throughout
the
year
with
respect
to
other
iShares
funds,
and
other
matters
related
to
BFA’s
portfolio
compliance
program.
Based
on
review
of
this
information,
the
Board
concluded
that
the
nature,
extent
and
quality
of
services
to
be
provided
to
the
Fund
under
the
Advisory
Agreement
supported
the
Board’s
approval
of
the
Advisory
Agreement.
Costs
of
Services
to
be
Provided
to
the
Fund
and
Profits
to
be
Realized
by
BFA
and
Affiliates:
The
Board
did
not
consider
the
profitability
of
the
Fund
to
BFA
based
on
the
fees
payable
under
the
Advisory
Agreement
or
revenue
to
be
received
by
BFA
or
its
affiliates
in
connection
with
services
to
be
provided
to
the
Fund
since
the
proposed
relationship
had
not
yet
commenced.
The
Board
noted
that
it
expects
to
receive
profitability
information
from
BFA
periodically
following
the
Fund’s
launch
and
will
thus
be
in
a
position
to
evaluate
whether
any
new
or
additional
breakpoints
or
other
adjustments
in
Fund
fees
would
be
appropriate.
Economies
of
Scale:
The
Board
considered
information
that
it
had
previously
received
regarding
potential
economies
of
scale,
efficiencies
and
scale
benefits
shared
with
the
iShares
funds
through
relatively
low
fee
rates
established
at
inception,
breakpoints
and
waivers
or
other
fee
reductions,
as
well
as
through
additional
investment
in
the
iShares
business
and
the
provision
of
improved
or
additional
infrastructure
and
services
to
the
iShares
funds
and
their
shareholders.
The
Board
noted
that
the
Advisory
Agreement
for
the
Fund
did
not
provide
for
any
breakpoints
in
the
Fund’s
investment
advisory
fee
rate
as
the
assets
of
the
Fund
increase.
However,
the
Board
noted
that
it
would
continue
to
assess
the
appropriateness
of
adding
breakpoints
in
the
future.
This
consideration
of
potential
economies
of
scale
and
the
sharing
of
related
benefits,
as
well
as
the
other
factors
considered
at
the
meeting,
supported
the
Board’s
approval
of
the
Advisory
Agreement.
Fees
and
Services
Provided
for
Other
Comparable
Funds/Accounts
Managed
by
BFA
and
its
Affiliates:
The
Board
received
and
considered
information
regarding
the
investment
advisory/management
fee
rates
for
other
funds/accounts
in
the
U.S.
for
which
BFA
(or
its
affiliates)
provides
investment
advisory/management
services,
including
open-end
funds
registered
under
the
1940
Act
(including
sub-advised
funds),
collective
trust
funds,
and
institutional
separate
accounts
(collectively,
the
“Other
Accounts”).
The
Board
acknowledged
BFA’s
representation
that
the
iShares
funds
are
fundamentally
different
investment
vehicles
from
the
Other
Accounts.
The
Board
noted
that
BFA
and
its
affiliates
do
not
manage
Other
Accounts
with
substantially
the
same
investment
objective
and
strategy
as
the
Fund
and
that
track
the
same
index
as
the
Fund.
The
Board
further
noted
that
BFA
previously
provided
the
Board
with
detailed
information
regarding
how
the
Other
Accounts
(particularly
institutional
clients)
generally
differ
from
the
iShares
funds,
including
in
terms
of
the
different
and
generally
more
extensive
services
provided
to
the
iShares
funds,
as
well
as
other
significant
differences.
In
that
regard,
the
Board
considered
that
the
pricing
of
services
to
institutional
clients
is
typically
based
on
a
number
of
factors
beyond
the
nature
and
extent
of
the
specific
services
Board
Review
and
Approval
of
Investment
Advisory
Contract
(
continued)
37
Board
Review
and
Approval
of
Investment
Advisory
Contract
to
be
provided
and
often
depends
on
the
overall
relationship
between
the
client
and
its
affiliates
and
the
adviser
and
its
affiliates.
In
addition,
the
Board
considered
the
relative
complexity
and
inherent
risks
and
challenges
of
managing
and
providing
other
services
to
the
Fund,
as
a
publicly
traded
investment
vehicle,
as
compared
to
the
Other
Accounts,
particularly
those
that
are
institutional
clients,
in
light
of
differing
regulatory
requirements
and
client-imposed
mandates.
The
Board
considered
the
“all-inclusive”
nature
of
the
Fund’s
advisory
fee
structure,
and
the
Fund’s
expenses
borne
by
BFA
under
this
arrangement.
Other
Benefits
to
BFA
and/or
its
Affiliates:
Except
as
noted
below,
the
Board
did
not
consider
the
“fallout”
benefits
or
ancillary
revenue
to
be
received
by
BFA
and/or
its
affiliates
in
connection
with
the
services
to
be
provided
to
the
Fund
by
BFA
since
the
proposed
relationship
had
not
yet
commenced.
However,
the
Board
noted
that
BFA
generally
does
not
use
soft
dollars
or
consider
the
value
of
research
or
other
services
that
may
be
provided
to
BFA
(including
its
affiliates)
in
selecting
brokers
for
portfolio
transactions
for
the
Fund.
The
Board
considered
the
potential
payment
of
advisory
fees
and/or
administration
fees
to
BFA
(or
its
affiliates)
in
connection
with
any
investments
by
the
Fund
in
other
funds
for
which
BFA
(or
its
affiliates)
provides
investment
advisory
services
and/or
administration
services.
The
Board
also
noted
the
potential
revenue
to
be
received
by
BFA
and/or
its
affiliates
pursuant
to
an
agreement
that
would
permit
a
service
provider
to
use
certain
portions
of
BlackRock’s
technology
platform
to
service
accounts
managed
by
BFA
and/or
its
affiliates,
including
the
iShares
funds.
The
Board
also
considered
the
potential
for
revenue
to
BTC,
the
Fund’s
securities
lending
agent,
and
its
affiliates
in
the
event
of
any
loaning
of
portfolio
securities
of
the
Fund.
The
Board
also
reviewed
and
considered
information
provided
by
BFA
concerning
authorized
participant
primary
market
order
processing
services
that
will
be
provided
by
BlackRock
Investments,
LLC
(“BRIL”),
an
affiliate
of
BFA,
and
paid
for
by
authorized
participants
under
the
ETF
Servicing
Platform.
The
Board
concluded
that
any
such
ancillary
benefits
would
not
be
disadvantageous
to
the
Fund
and
thus
would
not
alter
the
Board’s
conclusion
with
respect
to
the
appropriateness
of
approving
the
Advisory
Agreement.
Conclusion:
Based
on
a
review
of
the
factors
described
above,
as
well
as
such
other
factors
as
deemed
appropriate
by
the
Board,
the
Board,
including
all
of
the
Independent
Board
Members,
determined
that
the
Fund’s
investment
advisory
fee
rate
under
the
Advisory
Agreement
does
not
constitute
a
fee
that
is
so
disproportionately
large
as
to
bear
no
reasonable
relationship
to
the
services
to
be
rendered
and
that
could
not
have
been
the
product
of
arm’s-length
bargaining,
and
concluded
to
approve
the
Advisory
Agreement.
iShares
ESG
Advanced
MSCI
USA
ETF
(the
“Fund”)
Under
Section
15(c)
of
the
Investment
Company
Act
of
1940
(the
“1940
Act”),
the
Trust’s
Board
of
Trustees
(the
“Board”),
including
a
majority
of
Board
Members
who
are
not
“interested
persons”
of
the
Trust
(as
that
term
is
defined
in
the
1940
Act)
(the
“Independent
Board
Members”),
is
required
annually
to
consider
the
approval
of
the
Investment
Advisory
Agreement
between
the
Trust
and
BFA
(the
“Advisory
Agreement”)
on
behalf
of
the
Fund.
The
Board’s
consideration
entails
a
year-long
process
whereby
the
Board
and
its
committees
(composed
solely
of
Independent
Board
Members)
assess
BlackRock’s
services
to
the
Fund,
including
investment
management;
fund
accounting;
administrative
and
shareholder
services;
oversight
of
the
Fund’s
service
providers;
risk
management
and
oversight;
legal
and
compliance
services;
and
ability
to
meet
applicable
legal
and
regulatory
requirements.
The
Independent
Board
Members
requested,
and
BFA
provided,
such
information
as
the
Independent
Board
Members,
with
advice
from
independent
counsel,
deemed
reasonably
necessary
to
evaluate
the
Advisory
Agreement.
At
meetings
on
May
2,
2023
and
May
15,
2023,
a
committee
composed
of
all
of
the
Independent
Board
Members
(the
“15(c)
Committee”),
with
independent
counsel,
met
with
management
and
reviewed
and
discussed
information
provided
in
response
to
initial
requests
of
the
15(c)
Committee
and/or
its
independent
counsel,
and
requested
certain
additional
information,
which
management
agreed
to
provide.
At
a
meeting
held
on
June
7-8,
2023,
the
Board,
including
the
Independent
Board
Members,
reviewed
the
additional
information
provided
by
management
in
response
to
these
requests.
After
extensive
discussions
and
deliberations,
the
Board,
including
all
of
the
Independent
Board
Members,
approved
the
continuance
of
the
Advisory
Agreement
for
the
Fund,
based
on
a
review
of
qualitative
and
quantitative
information
provided
by
BFA
and
their
cumulative
experience
as
Board
Members.
The
Board
noted
its
satisfaction
with
the
extent
and
quality
of
information
provided
and
its
frequent
interactions
with
management,
as
well
as
the
detailed
responses
and
other
information
provided
by
BFA.
The
Independent
Board
Members
were
advised
by
their
independent
counsel
throughout
the
process,
including
about
the
legal
standards
applicable
to
their
review.
In
approving
the
continuance
of
the
Advisory
Agreement
for
the
Fund,
the
Board,
including
the
Independent
Board
Members,
considered
various
factors,
including:
(i)
the
expenses
and
performance
of
the
Fund;
(ii)
the
nature,
extent
and
quality
of
the
services
provided
by
BFA;
(iii)
the
costs
of
services
provided
to
the
Fund
and
profits
realized
by
BFA
and
its
affiliates;
(iv)
potential
economies
of
scale
and
the
sharing
of
related
benefits;
(v)
the
fees
and
services
provided
for
other
comparable
funds/accounts
managed
by
BFA
and
its
affiliates;
and
(vi)
other
benefits
to
BFA
and/or
its
affiliates.
The
material
factors,
none
of
which
was
controlling,
and
conclusions
that
formed
the
basis
for
the
Board,
including
the
Independent
Board
Members,
to
approve
the
continuance
of
the
Advisory
Agreement
are
discussed
below.
Expenses
and
Performance
of
the
Fund:
The
Board
reviewed
statistical
information
prepared
by
Broadridge
Financial
Solutions,
Inc.
(“Broadridge”),
an
independent
provider
of
investment
company
data,
regarding
the
expense
ratio
components,
including
gross
and
net
total
expenses,
fees
and
expenses
of
other
fund(s)
in
which
the
Fund
invests
(if
applicable),
and
waivers/reimbursements
(if
applicable)
of
the
Fund
in
comparison
with
the
same
information
for
other
ETFs,
objectively
selected
by
Broadridge
as
comprising
the
Fund’s
applicable
expense
peer
group
pursuant
to
Broadridge’s
proprietary
ETF
methodology
(the
“Peer
Group”).
The
Board
was
provided
with
a
detailed
description
of
the
proprietary
ETF
methodology
used
by
Broadridge
to
determine
the
Fund’s
Peer
Group.
The
Board
noted
that,
due
to
the
limitations
in
providing
comparable
funds
in
the
Peer
Group,
the
statistical
information
provided
in
Broadridge’s
report
may
or
may
not
provide
meaningful
direct
comparisons
to
the
Fund
in
all
instances.
The
Board
also
noted
that
the
investment
advisory
fee
rate
and
overall
expenses
(net
of
any
waivers
and
reimbursements)
for
the
Fund
were
lower
than
the
median
of
the
investment
advisory
fee
rates
and
overall
expenses
(net
of
any
waivers
and
reimbursements)
of
the
funds
in
its
Peer
Group,
excluding
iShares
funds.
In
addition,
to
the
extent
that
any
of
the
comparison
funds
included
in
the
Peer
Group,
excluding
iShares
funds,
track
the
same
index
as
the
Fund,
Broadridge
also
provided,
and
the
Board
reviewed,
a
comparison
of
the
Fund’s
performance
for
the
one-year,
three-year,
five-year,
ten-year,
and
since
inception
periods,
as
applicable,
and
for
the
quarter
ended
December
31,
2022,
to
that
of
such
relevant
comparison
fund(s)
for
the
same
periods.
The
Board
noted
that
the
Fund
seeks
to
track
its
specified
underlying
index
and
that,
during
the
year,
the
Board
received
periodic
reports
on
the
Fund’s
short-
and
longer-term
performance
in
comparison
with
its
underlying
index.
Such
periodic
Board
Review
and
Approval
of
Investment
Advisory
Contract
(continued)
38
2023
iShares
Annual
Report
to
Shareholders
comparative
performance
information,
including
additional
detailed
information
as
requested
by
the
Board,
was
also
considered.
The
Board
noted
that
the
Fund
generally
performed
in
line
with
its
underlying
index
over
the
relevant
periods.
Based
on
this
review,
the
other
factors
considered
at
the
meeting,
and
their
general
knowledge
of
ETF
pricing,
the
Board
concluded
that
the
investment
advisory
fee
rate
and
expense
level
and
the
historical
performance
of
the
Fund
supported
the
Board’s
approval
of
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Nature,
Extent
and
Quality
of
Services
Provided:
Based
on
management’s
representations,
including
information
about
ongoing
enhancements
and
initiatives
with
respect
to
the
iShares
business,
including
with
respect
to
capital
markets
support
and
analysis,
technology,
portfolio
management,
product
design
and
quality,
compliance
and
risk
management,
global
public
policy
and
other
services,
the
Board
expected
that
there
would
be
no
diminution
in
the
scope
of
services
required
of
or
provided
by
BFA
under
the
Advisory
Agreement
for
the
coming
year
as
compared
with
the
scope
of
services
provided
by
BFA
during
prior
years.
In
reviewing
the
scope
of
these
services,
the
Board
considered
BFA’s
investment
philosophy
and
experience,
noting
that
BFA
and
its
affiliates
have
committed
significant
resources
over
time,
including
during
the
past
year,
to
support
the
iShares
funds
and
their
shareholders
and
have
made
significant
investments
into
the
iShares
business.
The
Board
also
considered
BFA’s
compliance
program
and
its
compliance
record
with
respect
to
the
Fund,
including
related
programs
implemented
pursuant
to
regulatory
requirements.
In
that
regard,
the
Board
noted
that
BFA
reports
to
the
Board
about
portfolio
management
and
compliance
matters
on
a
periodic
basis
in
connection
with
regularly
scheduled
meetings
of
the
Board,
and
on
other
occasions
as
necessary
and
appropriate,
and
has
provided
information
and
made
relevant
officers
and
other
employees
of
BFA
(and
its
affiliates)
available
as
needed
to
provide
further
assistance
with
these
matters.
The
Board
also
reviewed
the
background
and
experience
of
the
persons
responsible
for
the
day-to-day
management
of
the
Fund,
as
well
as
the
resources
available
to
them
in
managing
the
Fund.
In
addition
to
the
above
considerations,
the
Board
reviewed
and
considered
detailed
presentations
regarding
BFA’s
investment
performance,
investment
and
risk
management
processes
and
strategies
provided
at
the
May
2,
2023
meeting
and
throughout
the
year,
and
matters
related
to
BFA’s
portfolio
compliance
program
and
other
compliance
programs
and
services.
Based
on
review
of
this
information,
and
the
performance
information
discussed
above,
the
Board
concluded
that
the
nature,
extent
and
quality
of
services
provided
to
the
Fund
under
the
Advisory
Agreement
supported
the
Board’s
approval
of
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Costs
of
Services
Provided
to
the
Fund
and
Profits
Realized
by
BFA
and
its
Affiliates:
The
Board
reviewed
information
about
the
estimated
profitability
to
BlackRock
in
managing
the
Fund,
based
on
the
fees
payable
to
BFA
and
its
affiliates
(including
fees
under
the
Advisory
Agreement),
and
other
sources
of
revenue
and
expense
to
BFA
and
its
affiliates
from
the
Fund’s
operations
for
the
last
calendar
year.
The
Board
reviewed
BlackRock’s
methodology
for
calculating
estimated
profitability
of
the
iShares
funds,
noting
that
the
15(c)
Committee
and
the
Board
had
focused
on
the
methodology
and
profitability
presentation.
The
Board
recognized
that
profitability
may
be
affected
by
numerous
factors,
including,
among
other
things,
fee
waivers
by
BFA,
the
types
of
funds
managed,
expense
allocations
and
business
mix.
The
Board
thus
recognized
that
calculating
and
comparing
profitability
at
individual
fund
levels
is
challenging.
The
Board
discussed
with
management
the
sources
of
direct
and
ancillary
revenue,
including
the
revenues
to
BTC,
a
BlackRock
affiliate,
from
securities
lending
by
the
Fund.
The
Board
also
discussed
BFA’s
estimated
profit
margin
as
reflected
in
the
Fund’s
profitability
analysis
and
reviewed
information
regarding
potential
economies
of
scale
(as
discussed
below).
Based
on
this
review,
the
Board
concluded
that
the
information
considered
with
respect
to
the
profits
realized
by
BFA
and
its
affiliates
under
the
Advisory
Agreement
and
from
other
relationships
between
the
Fund
and
BFA
and/or
its
affiliates,
if
any,
as
well
as
the
other
factors
considered
at
the
meeting,
supported
the
Board’s
approval
of
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Economies
of
Scale:
The
Board
reviewed
information
and
considered
the
extent
to
which
economies
of
scale
might
be
realized
as
the
assets
of
the
Fund
increase,
noting
that
the
issue
of
potential
economies
of
scale
had
been
focused
on
by
the
15(c)
Committee
and
the
Board
during
their
meetings
and
addressed
by
management.
The
15(c)
Committee
and
the
Board
received
information
regarding
BlackRock’s
historical
estimated
profitability
(as
discussed
above),
including
BFA’s
and
its
affiliates’
estimated
costs
in
providing
services.
The
estimated
cost
information
distinguished,
among
other
things,
between
fixed
and
variable
costs,
and
showed
how
the
level
and
nature
of
fixed
and
variable
costs
may
impact
the
existence
or
size
of
scale
benefits,
with
the
Board
recognizing
that
potential
economies
of
scale
are
difficult
to
measure.
The
15(c)
Committee
and
the
Board
reviewed
information
provided
by
BFA
regarding
the
sharing
of
scale
benefits
with
the
iShares
funds
through
various
means,
including,
as
applicable,
through
relatively
low
fee
rates
established
at
inception,
breakpoints,
waivers,
or
other
fee
reductions,
as
well
as
through
additional
investment
in
the
iShares
business
and
the
provision
of
improved
or
additional
infrastructure
and
services
to
the
iShares
funds
and
their
shareholders.
The
Board
noted
that
the
Advisory
Agreement
for
the
Fund
did
not
provide
for
breakpoints
in
the
Fund’s
investment
advisory
fee
rate
as
the
assets
of
the
Fund
increase.
However,
the
Board
noted
that
it
would
continue
to
assess
the
appropriateness
of
adding
breakpoints
in
the
future.
The
Board
concluded
that
this
review
of
potential
economies
of
scale
and
the
sharing
of
related
benefits,
as
well
as
the
other
factors
considered
at
the
meeting,
supported
the
Board’s
approval
of
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Fees
and
Services
Provided
for
Other
Comparable
Funds/Accounts
Managed
by
BFA
and
its
Affiliates:
The
Board
received
and
considered
information
regarding
the
investment
advisory/management
fee
rates
for
other
funds/accounts
in
the
U.S.
for
which
BFA
(or
its
affiliates)
provides
investment
advisory/management
services,
including
open-end
funds
registered
under
the
1940
Act
(including
sub-advised
funds),
collective
trust
funds
and
institutional
separate
accounts
(collectively,
the
“Other
Accounts”).
The
Board
acknowledged
BFA’s
representation
that
the
iShares
funds
are
fundamentally
different
investment
vehicles
from
the
Other
Accounts.
The
Board
received
detailed
information
regarding
how
the
Other
Accounts
generally
differ
from
the
Fund,
including
in
terms
of
the
types
of
services
and
generally
more
extensive
services
provided
to
the
Fund,
as
well
as
other
significant
differences.
In
that
regard,
the
Board
considered
that
the
pricing
of
services
to
institutional
clients
is
typically
based
on
a
number
of
factors
beyond
the
nature
and
extent
of
the
specific
services
to
be
provided
and
often
depends
on
the
overall
relationship
between
the
client
and
its
affiliates
and
the
adviser
and
its
affiliates.
In
addition,
the
Board
considered
the
relative
complexity
and
inherent
risks
and
challenges
of
managing
and
providing
other
services
to
the
Fund,
as
a
publicly
traded
investment
vehicle,
as
compared
to
the
Other
Accounts,
particularly
those
that
are
institutional
clients,
in
light
of
differing
regulatory
requirements
and
client-imposed
mandates.
The
Board
noted
that
BFA
and
its
affiliates
do
not
manage
Other
Accounts
with
substantially
the
same
investment
objective
Board
Review
and
Approval
of
Investment
Advisory
Contract
(
continued)
39
Board
Review
and
Approval
of
Investment
Advisory
Contract
and
strategy
as
the
Fund
and
that
track
the
same
index
as
the
Fund.
The
Board
also
acknowledged
management’s
assertion
that,
for
certain
iShares
funds,
and
for
client
segmentation
purposes,
BlackRock
has
launched
an
iShares
fund
that
may
provide
a
similar
investment
exposure
at
a
lower
investment
advisory
fee
rate.
The
Board
considered
the
“all-inclusive”
nature
of
the
Fund’s
advisory
fee
structure,
and
the
Fund’s
expenses
borne
by
BFA
under
this
arrangement
and
noted
that
the
investment
advisory
fee
rate
under
the
Advisory
Agreement
for
the
Fund
was
generally
higher
than
the
investment
advisory/management
fee
rates
for
certain
of
the
Other
Accounts
(particularly
institutional
clients)
and
concluded
that
the
differences
appeared
to
be
consistent
with
the
factors
discussed.
Other
Benefits
to
BFA
and/or
its
Affiliates:
The
Board
reviewed
other
benefits
or
ancillary
revenue
received
by
BFA
and/or
its
affiliates
in
connection
with
the
services
provided
to
the
Fund
by
BFA,
both
direct
and
indirect,
including,
but
not
limited
to,
payment
of
revenue
to
BTC,
the
Fund’s
securities
lending
agent,
for
loaning
portfolio
securities,
as
applicable
(which
was
included
in
the
profit
margins
reviewed
by
the
Board
pursuant
to
BFA’s
estimated
profitability
methodology),
payment
of
advisory
fees
or
other
fees
to
BFA
(or
its
affiliates)
in
connection
with
any
investments
by
the
Fund
in
other
funds
for
which
BFA
(or
its
affiliates)
provides
investment
advisory
services
or
other
services,
and
BlackRock’s
profile
in
the
investment
community.
The
Board
further
considered
other
direct
benefits
that
might
accrue
to
BFA,
including
the
potential
for
reduction
in
the
Fund’s
expenses
that
are
borne
by
BFA
under
the
“all-inclusive”
management
fee
arrangement,
due
in
part
to
the
size
and
scope
of
BFA’s
investment
operations
servicing
the
Fund
(and
other
funds
in
the
iShares
complex)
as
well
as
in
response
to
a
changing
market
environment.
The
Board
also
reviewed
and
considered
information
provided
by
BFA
concerning
authorized
participant
primary
market
order
processing
services
that
are
provided
by
BlackRock
Investments,
LLC
(“BRIL”),
an
affiliate
of
BFA,
and
paid
for
by
authorized
participants
under
the
ETF
Servicing
Platform.
The
Board
also
noted
the
revenue
received
by
BFA
and/or
its
affiliates
pursuant
to
an
agreement
that
permits
a
service
provider
to
use
certain
portions
of
BlackRock’s
technology
platform
to
service
accounts
managed
by
BFA
and/or
its
affiliates,
including
the
iShares
funds.
The
Board
noted
that
BFA
generally
does
not
use
soft
dollars
or
consider
the
value
of
research
or
other
services
that
may
be
provided
to
BFA
(including
its
affiliates)
in
selecting
brokers
for
portfolio
transactions
for
the
Fund.
The
Board
concluded
that
any
such
ancillary
benefits
would
not
be
disadvantageous
to
the
Fund
and
thus
would
not
alter
the
Board’s
conclusion
with
respect
to
the
appropriateness
of
approving
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Conclusion:
Based
on
a
review
of
the
factors
described
above,
as
well
as
such
other
factors
as
deemed
appropriate
by
the
Board,
the
Board,
including
all
of
the
Independent
Board
Members,
determined
that
the
Fund’s
investment
advisory
fee
rate
under
the
Advisory
Agreement
does
not
constitute
a
fee
that
is
so
disproportionately
large
as
to
bear
no
reasonable
relationship
to
the
services
rendered
and
that
could
not
have
been
the
product
of
arm’s-length
bargaining,
and
concluded
to
approve
the
continuance
of
the
Advisory
Agreement
for
the
coming
year.
Supplemental
Information
(unaudited)
40
2023
iShares
Annual
Report
to
Shareholders
Tailored
Shareholder
Reports
for
Open-End
Mutual
Funds
and
ETFs 
Effective
January
24,
2023,
the
SEC adopted
rule
and
form
amendments
to
require
open-end
mutual
funds
and
ETFs
to
transmit
concise
and
visually
engaging
streamlined
annual
and
semiannual
reports
to
shareholders
that
highlight
key
information.
Other
information,
including
financial
statements,
will
no
longer
appear
in
a
streamlined
shareholder
report
but
must
be
available
online,
delivered
free
of
charge
upon
request,
and
filed
on
a
semiannual
basis
on
Form
N-CSR.
The
rule
and
form
amendments
have
a
compliance
date
of
July
24,
2024.
At
this
time,
management
is
evaluating
the
impact
of
these
amendments
on
the
shareholder
reports
for
the
Funds.
Premium/Discount
Information
Information
on
the
Fund’s
net
asset
value,
market
price,
premiums
and
discounts,
and
bid-ask
spreads
can
be
found
at
iShares.com
.
Trustee
and
Officer
Information
(unaudited)
41
Trustee
and
Officer
Information
The
Board
of
Trustees
has
responsibility
for
the
overall
management
and
operations
of
the
Funds,
including
general
supervision
of
the
duties
performed
by
BFA
and
other
service
providers.
Each Trustee
serves
until
he
or
she
resigns,
is
removed,
dies,
retires
or
becomes
incapacitated.
Each
officer
shall
hold
office
until
his
or
her
successor
is
elected
and
qualifies
or
until
his
or
her
death,
resignation
or
removal. Trustees
who
are
not
“interested
persons”
(as
defined
in
the
1940
Act)
of
the Trust
are
referred
to
as
independent trustees
(“Independent
Trustees”).
The
registered
investment
companies
advised
by
BFA
or
its
affiliates
(the
“BlackRock-advised
Funds”)
are
organized
into
one
complex
of
open-end
equity,
multi-asset,
index
and
money
market
funds
and
ETFs
(the
“BlackRock
Multi-Asset
Complex”),
one
complex
of
closed-end
funds
and
open-end
non-index
fixed-income
funds
(including
ETFs)
(the
“BlackRock
Fixed-Income
Complex”)
and
one
complex
of
ETFs
(“Exchange-Traded
Fund
Complex”)
(each,
a
“BlackRock
Fund
Complex”).
Each
Fund
is
included
in
the
Exchange-Traded
Fund
Complex.
Each Trustee
also
serves
as
a Director
of
iShares,
Inc.
and
a
Trustee
of
iShares
U.S.
ETF
Trust
and,
as
a
result,
oversees
all
of
the
funds
within
the
Exchange-Traded
Fund
Complex,
which
consists
of
387
funds
as
of
August
31,
2023.
With
the
exception
of
Robert
S.
Kapito,
Salim
Ramji
and
Aaron
Wasserman,
the
address
of
each Trustee
and
officer
is
c/o
BlackRock,
Inc.,
400
Howard
Street,
San
Francisco,
CA
94105.
The
address
of
Mr.
Kapito,
Mr.
Ramji
and
Mr.
Wasserman
is
c/o
BlackRock,
Inc.,
50
Hudson
Yards,
New
York,
NY
10001.
The
Board
has
designated
John
E.
Kerrigan
as
its
Independent
Board
Chair.
Additional
information
about
the
Funds’ Trustees
and
officers
may
be
found
in
the
Funds’
combined
Statement
of
Additional
Information,
which
is
available
without
charge,
upon
request,
by
calling
toll-free
1-800-iShares
(1-800-474-2737).
Interested
Trustees
(a)
Robert
S.
Kapito
is
deemed
to
be
an
“interested
person”
(as
defined
in
the
1940
Act)
of
the
Trust
due
to
his
affiliations
with
BlackRock,
Inc.
and
its
affiliates.
(b)
Salim
Ramji
is
deemed
to
be
an
“interested
person”
(as
defined
in
the
1940
Act)
of
the
Trust
due
to
his
affiliations
with
BlackRock,
Inc.
and
its
affiliates.
Independent
Trustees
Name
(Year
of
Birth)
Position(s)
Principal
Occupation(s)
During
Past
5
Years
Other
Directorships
Held
by
Trustee
Robert
S.
Kapito
(a)
(1957)
Trustee
(since
2009).
President,
BlackRock,
Inc.
(since
2006);
Vice
Chairman
of
BlackRock,
Inc.
and
Head
of
BlackRock’s
Portfolio
Management
Group
(since
its
formation
in
1998)
and
BlackRock,
Inc.’s
predecessor
entities
(since
1988);
Trustee,
University
of
Pennsylvania
(since
2009);
President
of
Board
of
Directors,
Hope
&
Heroes
Children’s
Cancer
Fund
(since
2002).
Director
of
BlackRock,
Inc.
(since
2006);
Director
of
iShares,
Inc.
(since
2009);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2011).
Salim
Ramji
(b)
(1970)
Trustee
(since
2019).
Senior
Managing
Director,
BlackRock,
Inc.
(since
2014);
Global
Head
of
BlackRock’s
ETF
and
Index
Investments
Business
(since
2019);
Head
of
BlackRock’s
U.S.
Wealth
Advisory
Business
(2015-2019);
Global
Head
of
Corporate
Strategy,
BlackRock,
Inc.
(2014-2015);
Senior
Partner,
McKinsey
&
Company
(2010-2014).
Director
of
iShares,
Inc.
(since
2019);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2019).
Name
(Year
of
Birth)
Position(s)
Principal
Occupation(s)
During
Past
5
Years
Other
Directorships
Held
by
Trustee
John
E.
Kerrigan
(1955)
Trustee
(since
2005);
Independent
Board
Chair
(since
2022).
Chief
Investment
Officer,
Santa
Clara
University
(since
2002).
Director
of
iShares,
Inc.
(since
2005);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2011);
Independent
Board
Chair
of
iShares,
Inc.
and
iShares
U.S.
ETF
Trust
(since
2022).
Jane
D.
Carlin
(1956)
Trustee
(since
2015);
Risk
Committee
Chair
(since
2016).
Consultant
(since
2012);
Member
of
the
Audit
Committee
(2012-2018),
Chair
of
the
Nominating
and
Governance
Committee
(2017-2018)
and
Director
of
PHH
Corporation
(mortgage
solutions)
(2012-2018);
Managing
Director
and
Global
Head
of
Financial
Holding
Company
Governance
&
Assurance
and
the
Global
Head
of
Operational
Risk
Management
of
Morgan
Stanley
(2006-2012).
Director
of
iShares,
Inc.
(since
2015);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2015);
Member
of
the
Audit
Committee
(since
2016),
Chair
of
the
Audit
Committee
(since
2020)
and
Director
of
The
Hanover
Insurance
Group,
Inc.
(since
2016).
Richard
L.
Fagnani
(1954)
Trustee
(since
2017);
Audit
Committee
Chair
(since
2019).
Partner,
KPMG
LLP
(2002-2016);
Director
of
One
Generation
Away
(since
2021).
Director
of
iShares,
Inc.
(since
2017);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2017).
Cecilia
H.
Herbert
(1949)
Trustee
(since
2005);
Nominating
and
Governance
and
Equity
Plus
Committee
Chairs
(since
2022).
Chair
of
the
Finance
Committee
(since
2019)
and
Trustee
and
Member
of
the
Finance,
Audit
and
Quality
Committees
of
Stanford
Health
Care
(since
2016);
Trustee
of
WNET,
New
York’s
public
media
company
(since
2011)
and
Member
of
the
Audit
Committee
(since
2018),
Investment
Committee
(since
2011)
and
Personnel
Committee
(since
2022);
Member
of
the
Wyoming
State
Investment
Funds
Committee
(since
2022);
Director
of
the
Jackson
Hole
Center
for
the
Arts
(since
2021);
Trustee
of
Forward
Funds
(14
portfolios)
(2009-2018);
Trustee
of
Salient
MF
Trust
(4
portfolios)
(2015-2018).
Director
of
iShares,
Inc.
(since
2005);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2011).
Drew
E.
Lawton
(1959)
Trustee
(since
2017);
15(c)
Committee
Chair
(since
2017).
Senior
Managing
Director
of
New
York
Life
Insurance
Company
(2010-2015).
Director
of
iShares,
Inc.
(since
2017);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2017);
Director
of
Jackson
Financial
Inc.
(since
2021).
Trustee
and
Officer
Information
(unaudited)
(continued)
42
2023
iShares
Annual
Report
to
Shareholders
Officers
Name
(Year
of
Birth)
Position(s)
Principal
Occupation(s)
During
Past
5
Years
Other
Directorships
Held
by
Trustee
John
E.
Martinez
(1961)
Trustee
(since
2003);
Securities
Lending
Committee
Chair
(since
2019).
Director
of
Real
Estate
Equity
Exchange,
Inc.
(since
2005);
Director
of
Cloudera
Foundation
(2017-2020);
and
Director
of
Reading
Partners
(2012-2016).
Director
of
iShares,
Inc.
(since
2003);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2011).
Madhav
V.
Rajan
(1964)
Trustee
(since
2011);
Fixed
Income
Plus
Committee
Chair
(since
2019).
Dean,
and
George
Pratt
Shultz
Professor
of
Accounting,
University
of
Chicago
Booth
School
of
Business
(since
2017);
Advisory
Board
Member
(since
2016)
and
Director
(since
2020)
of
C.M.
Capital
Corporation;
Chair
of
the
Board
for
the
Center
for
Research
in
Security
Prices,
LLC
(since
2020);
Robert
K.
Jaedicke
Professor
of
Accounting,
Stanford
University
Graduate
School
of
Business
(2001-2017);
Professor
of
Law
(by
courtesy),
Stanford
Law
School
(2005-2017);
Senior
Associate
Dean
for
Academic
Affairs
and
Head
of
MBA
Program,
Stanford
University
Graduate
School
of
Business
(2010-2016).
Director
of
iShares,
Inc.
(since
2011);
Trustee
of
iShares
U.S.
ETF
Trust
(since
2011).
Name
(Year
of
Birth)
Position(s)
Principal
Occupation(s)
During
Past
5
Years
Dominik
Rohé
(1973)
President
(since
2023).
Managing
Director,
BlackRock,
Inc.
(since
2005);
Head
of
Americas
ETF
and
Index
Investments
(since
2023);
Head
of
Latin
America
(2019-2023).
Trent
Walker
(1974)
Treasurer
and
Chief
Financial
Officer
(since
2020).
Managing
Director,
BlackRock,
Inc.
(since
September
2019);
Chief
Financial
Officer
of
iShares
Delaware
Trust
Sponsor
LLC,
BlackRock
Funds,
BlackRock
Funds
II,
BlackRock
Funds
IV,
BlackRock
Funds
V
and
BlackRock
Funds
VI
(since
2021);
Executive
Vice
President
of
PIMCO
(2016-2019);
Senior
Vice
President
of
PIMCO
(2008-2015);
Treasurer
(2013-2019)
and
Assistant
Treasurer
(2007-2017)
of
PIMCO
Funds,
PIMCO
Variable
Insurance
Trust,
PIMCO
ETF
Trust,
PIMCO
Equity
Series,
PIMCO
Equity
Series
VIT,
PIMCO
Managed
Accounts
Trust,
2
PIMCO-sponsored
interval
funds
and
21
PIMCO-sponsored
closed-end
funds.
Aaron
Wasserman
(1974)
Chief
Compliance
Officer
(since
2023).
Managing
Director
of
BlackRock,
Inc.
(since
2018);
Chief
Compliance
Officer
of
the
BlackRock
Multi-Asset
Complex,
the
BlackRock
Fixed-Income
Complex
and
the
Exchange-Traded
Fund
Complex
(since
2023);
Deputy
Chief
Compliance
Officer
for
the
BlackRock
Multi-Asset
Complex,
the
BlackRock
Fixed-Income
Complex
and
the
Exchange-Traded
Funds
Complex
(2014-2023).
Marisa
Rolland
(1980)
Secretary
(since
2022).
Managing
Director,
BlackRock,
Inc.
(since
2023);
Director,
BlackRock,
Inc.
(2018-2022);
Vice
President,
BlackRock,
Inc.
(2010-2017).
Rachel
Aguirre
(1982)
Executive
Vice
President
(since
2022).
Managing
Director,
BlackRock,
Inc.
(since
2018);
Director,
BlackRock,
Inc.
(2009-2018);
Head
of
U.S.
iShares
Product
(since
2022);
Head
of
EII
U.S.
Product
Engineering
(since
2021);
Co-Head
of
EII’s
Americas
Portfolio
Engineering
(2020-2021);
Head
of
Developed
Markets
Portfolio
Engineering
(2016-2019).
Jennifer
Hsui
(1976)
Executive
Vice
President
(since
2022).
Managing
Director,
BlackRock,
Inc.
(since
2009);
Co-Head
of
Index
Equity
(since
2022).
James
Mauro
(1970)
Executive
Vice
President
(since
2022).
Managing
Director,
BlackRock,
Inc.
(since
2010);
Head
of
Fixed
Income
Index
Investments
in
the
Americas
and
Head
of
San
Francisco
Core
Portfolio
Management
(since
2020).
Effective
March
30,
2023,
Dominik
Rohé
replaced
Armando
Senra
as
President.
Effective
July
1,
2023,
Aaron
Wasserman
replaced
Charles
Park
as
Chief
Compliance
Officer.
Independent
Trustees
(
continued
)
General
Information
43
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
.
Glossary
of
Terms
Used
in
this
Report
44
2023
iShares
Annual
Report
to
Shareholders
Portfolio
Abbreviation
NVS
Non-Voting
Shares
iS-AR-824-0823
Want
to
know
more?
iShares.com
|
1-800-474-2737
This
report
is
intended
for
the
Fund’s
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.
©2023
BlackRock,
Inc.
All
rights
reserved.
iSHARES
and
BLACKROCK
are
registered
trademarks
of
BlackRock,
Inc.
or
its
subsidiaries.
All
other
marks
are
the
property
of
their
respective
owners.