LOGO

  MARCH 31, 2023

 

 

  

  

 

2023 Annual Report

 

 

 

iShares Trust

·  iShares Asia 50 ETF | AIA | NASDAQ

·  iShares Blockchain and Tech ETF | IBLC | NYSE Arca

·  iShares Emerging Markets Infrastructure ETF | EMIF | NASDAQ

·  iShares Europe ETF | IEV | NYSE Arca

·  iShares Future Metaverse Tech and Communications ETF | IVRS | NYSE Arca

·  iShares India 50 ETF | INDY | NASDAQ

·  iShares International Developed Property ETF | WPS | NYSE Arca

·  iShares International Developed Small Cap Value Factor ETF | ISVL | Cboe BZX

·  iShares International Dividend Growth ETF | IGRO | Cboe BZX

·  iShares Latin America 40 ETF | ILF | NYSE Arca


The Markets in Review

Dear Shareholder,

Significant economic headwinds emerged during the 12-month reporting period ended March 31, 2023, as investors navigated changing economic conditions and volatile markets. The U.S. economy shrank in the first half of 2022 before returning to modest growth in the second half of the year, marking a shift to a more challenging post-reopening economic environment. Changes in consumer spending patterns and a tight labor market led to elevated inflation, which reached a 40-year high before beginning to moderate.

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

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

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

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

While we favor an overweight to equities in the long term, we prefer an underweight stance on equities overall in the near term. Expectations for corporate earnings remain elevated, which seems inconsistent with the possibility of a recession. Nevertheless, we are overweight on emerging market stocks as we believe a weakening U.S. dollar provides a supportive backdrop. We also see long-term opportunities in credit, where we believe that valuations are appealing and higher yields provide attractive income, although we are neutral on credit in the near term, as we’re concerned about tightening credit and financial conditions. However, we believe there are still some strong opportunities for a six- to twelve-month horizon, particularly short-term U.S. Treasuries, global inflation-linked bonds, and emerging market bonds denominated in local currency.

Overall, our view is that investors need to think globally, position themselves to be prepared for a decarbonizing economy, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

 

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of March 31, 2023
     
      6-Month     12-Month
   

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

    15.62%         (7.73)%
   

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

    9.14         (11.61) 
   

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

    27.27          (1.38)
   

Emerging market equities
(MSCI Emerging Markets Index)

    14.04         (10.70) 
   

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

    1.93         2.52
   

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

    4.38         (6.90)
   

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

    4.89         (4.78)
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

    7.00         0.26
   

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

    7.88         (3.35)
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

2  

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


Table of Contents

 

     Page  

 

 

The Markets in Review

     2  

Annual Report:

  

Market Overview

     4  

Fund Summary

     5  

About Fund Performance

     25  

Disclosure of Expenses

     25  

Schedules of Investments

     26  

Financial Statements

  

Statements of Assets and Liabilities

     68  

Statements of Operations

     71  

Statements of Changes in Net Assets

     74  

Financial Highlights

     79  

Notes to Financial Statements

     89  

Report of Independent Registered Public Accounting Firm

     103  

Important Tax Information

     104  

Board Review and Approval of Investment Advisory Contract

     105  

Statement Regarding Liquidity Risk Management Program

     107  

Supplemental Information

     108  

Trustee and Officer Information

     110  

General Information

     113  

Glossary of Terms Used in this Report

     114  

 

 

 


Market Overview

 

iShares Trust

Global Market Overview

Global equity markets declined during the 12 months ended March 31, 2023 (“reporting period”). The MSCI ACWI, a broad global equity index that includes both developed and emerging markets, returned -7.44% in U.S. dollar terms for the reporting period. In the first half of the reporting period, concerns about the state of the global economy in the face of high inflation and rapidly rising interest rates drove stocks sharply lower. However, stock prices recovered somewhat in the reporting period’s second half, as economic growth proved resilient despite its slower pace.

Inflation was a significant factor in equity markets, and while its impact varied by country, most major economies experienced substantial inflation during the reporting period. This drove a wave of monetary tightening by most of the world’s central banks, which sent interest rates and borrowing costs sharply higher. The U.S. Federal Reserve (“Fed”) raised interest rates eight times, driving an increase in the value of the U.S. dollar relative to most other currencies. Commodities prices were volatile, and as the reporting period began, disruptions in the wake of Russia’s invasion of Ukraine meant high prices for energy commodities and some foods. While oil, gas, and most other commodities declined as markets adjusted to the war’s disruption, elevated prices exacerbated inflationary pressure.

The U.S. economy recovered from a decline in the first half of 2022 to post modest growth in the third and fourth quarters of 2022. Consumers continued to power the economy with growing spending, despite higher prices for many consumer goods and services. The strong labor market supported spending as unemployment remained very low, at one point dropping to the lowest recorded level since 1969. Furthermore, the labor force participation rate—which measures the total proportion of employed persons of working age—rose, indicating that more people were being drawn into the labor force. Amid tightening labor supply, wages rose significantly, with the largest gains at the lower end of the wage spectrum.

In addition to its interest rate increases, the Fed also started to reduce 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. While the Fed indicated that more tightening could be needed to achieve its long-term inflation goal, it sounded a more cautious note about the potential for further interest rate increases near the end of the reporting period.

European stocks outpaced most other regions of the globe, advancing modestly for the reporting period despite slowing economic growth. European stocks benefited from a solid recovery following the early phases of the war in Ukraine. While the conflict disrupted critical natural gas supplies, new sources were secured and prices began to decline, while a warm winter helped moderate consumption. The European Central Bank (“ECB”) responded to the highest inflation since the introduction of the euro by raising interest rates six times.

While inflation was somewhat more moderate in the Asia-Pacific region, stocks there declined amid higher interest rates and disruption from coronavirus-related lockdowns in China. However, China relaxed its strict anti-coronavirus protocols in December 2022, boosting analysts’ expectations for future growth in the region. Emerging market stocks declined substantially, pressured by slowing economic growth and a stronger U.S. dollar. The Fed’s interest rate increases weighed on emerging market equities by making U.S. assets relatively more attractive.

 

 

4  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023    iShares® Asia 50 ETF

 

Investment Objective

The iShares Asia 50 ETF (the “Fund”) seeks to track the investment results of an index composed of 50 of the largest Asian equities, as represented by the S&P Asia 50TM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
      1 Year      5 Years      10 Years                1 Year      5 Years      10 Years  

Fund NAV

    (7.77 )%       0.33      5.12%          (7.77 )%       1.66      64.70

Fund Market

    (7.62      0.02        5.09             (7.62      0.08        64.26  

Index

    (8.86      0.96        5.73                   (8.86      4.90        74.57  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 


Beginning

Account Value
(10/01/22)

 


 

      


Ending

Account Value
(03/31/23)

 


 

      

Expenses

Paid During

the Period

 

 

(a) 

   

Beginning      

Account Value      

(10/01/22)      

 

 

 

   

Ending

Account Value

(03/31/23)

 

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,251.40          $        2.81       $      1,000.00             $      1,022.40          $        2.52          0.50

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  5


Fund Summary as of March 31, 2023   (continued)    iShares® Asia 50 ETF

 

Portfolio Management Commentary

Large-capitalization stocks in Asia declined significantly for the reporting period, pressured by higher interest rates. South Korean stocks detracted the most from the Index’s return in an environment of stalling economic growth. The South Korean economy slowed in the first half of the reporting period before contracting in the fourth quarter of 2022 amid normalizing consumer spending patterns and declining exports. Inflation was elevated, although it remained lower than in many other developed economies and decelerated by the end of the reporting period. In response to inflation, the Bank of Korea raised interest rates multiple times, pressuring stocks. The South Korean won also declined relative to the U.S. dollar, reducing the value of South Korean equities in U.S. dollar terms.

The South Korean information technology sector was the largest source of weakness, led by the technology hardware, storage, and peripherals industry. A sharp decline in demand for smartphones worked against the industry, driving a significant decline in earnings. Softer pricing for memory chips also dented the industry’s profitability. Stocks in the communication services sector also declined, as the interactive media and services industry faced slower growth in advertising revenue.

Taiwanese stocks also detracted from the Index’s performance. Taiwan’s economy contracted on an annual basis in the fourth quarter of 2022, stifled by declining exports. The economy of China, Taiwan’s largest trading partner, was slowed by strict lockdowns to prevent the spread of COVID-19, disrupting many Taiwanese businesses. The Taiwanese information technology sector declined the most, primarily the semiconductors and semiconductor equipment industry. As supply chains and spending patterns recovered from the coronavirus pandemic, global demand for semiconductors cooled significantly, pressuring the outlook for the industry. New U.S. restrictions on certain technology sales to China disrupted investment plans in the industry.

Chinese stocks also declined, driven by the internet and direct marketing retail industry in the consumer discretionary sector. Profitability in the industry was constrained by government restrictions and heightened competition among e-retailers.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Information Technology

    33.9

Financials

    22.4  

Communication Services

    17.8  

Consumer Discretionary

    17.6  

Materials

    3.1  

Industrials

    2.3  

Real Estate

    1.5  

Health Care

    1.4  

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

China

    41.1

South Korea

    22.1  

Taiwan

    21.9  

Hong Kong

    10.1  

Singapore

    4.8  

 

  (a) 

Excludes money market funds.

 

 

 

6  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023    iShares® Blockchain and Tech ETF

 

Investment Objective

The iShares Blockchain and Tech ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. and non-U.S. companies that are involved in the development, innovation, and utilization of blockchain and crypto technologies; as represented by the NYSE FactSet Global Blockchain Technologies 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

 

    Cumulative Total Returns  
    

Since

Inception

 

Fund NAV

    (35.71 )% 

Fund Market

    (35.53

Index

    (36.20

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSETVALUE)

 

LOGO

The inception date of the Fund was April 25, 2022. The first day of secondary market trading was April 27, 2022.

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning

Account Value

(10/01/22)

 

 

 

      

Ending

Account Value

(03/31/23)

 

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

   

Beginning      

Account Value      

(10/01/22)      

 

 

 

   

Ending

Account Value

(03/31/23)

 

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

      

Annualized

Expense

Ratio

 

 

 

  $      1,000.00          $      1,130.80          $        2.50       $      1,000.00             $      1,022.60          $        2.37          0.47

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  7


Fund Summary as of March 31, 2023   (continued)    iShares® Blockchain and Tech ETF

 

Portfolio Management Commentary

The blockchain industry contracted significantly in 2022, in contrast to the exponential growth of preceding years. In particular, investor confidence in cryptocurrencies and digital assets —which underpin the model of decentralized finance that blockchain technology supports —dissipated amid a series of high-profile business failures. The collapse of an algorithmically powered stablecoin, an asset intended to maintain a 1:1 peg with the U.S. dollar, created significant ripple effects across the industry, leading to the demise of a major hedge fund and multiple lenders. The revelation of large-scale fraud within a major U.S. cryptocurrency exchange further weakened confidence, sending asset prices sharply lower.

At the same time, the sharp rise in interest rates offered investors of digital assets the opportunity to earn higher yields on other securities deemed less volatile, such as U.S. Treasuries. As gold prices climbed and cryptocurrencies dropped amid high inflation, investors were increasingly skeptical of bitcoin’s appeal over the precious metal as a store of value. This sentiment, along with ongoing volatility in the cryptocurrency markets, fueled an exodus of assets away from decentralized finance.

Profitability among bitcoin miners, or companies that devote extensive computing power to solving mathematical equations to generate cryptocurrencies, fell substantially as operating costs climbed and the market value of the assets fell. Cryptocurrency exchanges reported a sizable reduction in trading activity, which substantially decreased revenues and profits. Venture capital funding for blockchain and cryptocurrency projects also slowed. U.S. regulators took enforcement actions against multiple cryptocurrency businesses. Citing a lack of regulatory clarity and increased scrutiny, a handful of cryptocurrency companies closed U.S. business units.

Signs of a recovery emerged later in the reporting period, as digital asset and blockchain technology stocks climbed from their lowest prices, and investors returned. Blockchain technology continued to help businesses achieve tangible operational benefits beyond their current infrastructures. Technology conglomerates also announced efforts to broaden blockchain usage among enterprises and governments. The E.U. advanced measures to create a clear and comprehensive set of operating guidelines for cryptocurrency companies in the region.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Information Technology

    58.9

Financials

    34.4  

Industrials

    3.9  

Communication Services

    1.4  

Consumer Discretionary

    1.4  

TEN LARGEST HOLDINGS

 

   
Security    
Percent of
Total Investments
 
(a) 

Riot Blockchain Inc.

    17.0

Coinbase Global Inc., Class A

    11.3  

Block Inc. New

    9.2  

Marathon Digital Holdings Inc.

    5.5  

Hut 8 Mining Corp.

    4.8  

Cleanspark Inc.

    4.4  

Advanced Micro Devices Inc.

    4.3  

Nvidia Corp.

    4.2  

Wolters Kluwer NV

    3.9  

International Business Machines Corp.

    3.6  

 

  (a) 

Excludes money market funds.

 

 

 

8  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023    iShares® Emerging Markets Infrastructure ETF

 

Investment Objective

The iShares Emerging Markets Infrastructure ETF (the “Fund”) seeks to track the investment results of an index composed of 30 of the largest equities in the emerging markets infrastructure industry, as represented by the S&P Emerging Markets Infrastructure IndexTM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
     1 Year      5 Years      10 Years                1 Year      5 Years      10 Years  

Fund NAV

    (3.11 )%       (4.92 )%       (2.21)%          (3.11 )%       (22.28 )%       (20.05 )% 

Fund Market

    (4.32      (5.25      (2.32)             (4.32      (23.65      (20.95

Index

    (2.76      (4.48      (1.64)                   (2.76      (20.49      (15.28

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning

Account Value

(10/01/22)

 

 

 

      

Ending

Account Value

(03/31/23)

 

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

   

Beginning      

Account Value      

(10/01/22)      

 

 

 

   

Ending

Account Value

(03/31/23)

 

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,157.20          $        3.23       $      1,000.00             $      1,021.90          $        3.02          0.60

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  9


Fund Summary as of March 31, 2023   (continued)    iShares® Emerging Markets Infrastructure ETF

 

Portfolio Management Commentary

Infrastructure stocks in emerging markets declined for the reporting period amid volatility due to slowing economic growth, high global inflation, and concerns about the impact of rising interest rates. During the reporting period, rising energy prices in the wake of Russia’s invasion of Ukraine, as well as turmoil in the global banking system, were headwinds for emerging market infrastructure stocks. A slowdown in global inflation and China’s shift away from COVID-19 pandemic restrictions generally helped the Index’s performance later in the reporting period.

Utilities stocks in China detracted the most from the Index’s return. The country’s reopening from pandemic restrictions, along with government subsidies to renewable energy firms, were tailwinds for the sector. However, large renewable electricity stocks declined amid weak demand and relatively high industry-wide debt as many firms awaited overdue green energy subsidies promised by the central government. In addition, higher coal prices reduced profitability for companies distributing power generated from coal-fired plants.

Stocks in Brazil also detracted from the Index’s return. Electric utilities stocks fell as a change in the country’s presidential administration cast doubt on the industry’s recent privatization. Oil and gas storage and transportation stocks also declined, reflecting a surge in oil prices early in the reporting period and high debt levels that clouded credit rating outlooks.

Conversely, stocks of airport services firms in Mexico contributed to the Index’s return. North American companies, responding to supply-chain difficulties that surfaced during the pandemic, returned more of their production base closer to home. The country’s increased travel tied to that environment benefited the industry’s stocks. Overall, air travel in Mexico finally returned to pre-pandemic levels. Passenger traffic rose 5% in the first 11 months of 2022 compared with the same time frame in 2019. The increase, in part, reflected fewer U.S. border restrictions with Mexico beginning in late 2021 and a large influx of international workers.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    

Percent of

Total Investments

 

(a) 

Utilities

    40.0

Industrials

    40.0  

Energy

    20.0  

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    

Percent of

Total Investments

 

(a) 

China

    39.7

Brazil

    20.2  

Mexico

    17.7  

Thailand

    9.8  

United Arab Emirates

    4.8  

Qatar

    4.5  

South Korea

    3.3  

Russia

    0.0  

 

  (a) 

Excludes money market funds.

 

 

 

10  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023     iShares® Europe ETF

 

Investment Objective

The iShares Europe ETF (the “Fund”) seeks to track the investment results of an index composed of European equities, as represented by the S&P Europe 350TM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
      1 Year      5 Years      10 Years                1 Year      5 Years      10 Years  

Fund NAV

    2.87      4.41      5.28%          2.87      24.07      67.34

Fund Market

    2.60        4.32        5.27             2.60        23.54        67.07  

Index

    1.58        4.58        5.55                   1.58        25.10        71.68  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through January 30, 2013 is calculated using currency exchange (FX) rates corresponding to 5:15 P.M. ET. Index performance beginning on January 31, 2013 is calculated using FX rates corresponding to World Market Reuters 4:00 P.M. London.

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning

Account Value

(10/01/22)

 

 

 

      

Ending
Account Value

(03/31/23)

 
 

 

      

Expenses
Paid During

the Period

 
 

(a) 

   

Beginning      

Account Value      

(10/01/22)      

 

 

 

   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,332.20          $        3.78       $      1,000.00             $      1,021.70          $        3.28          0.65

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  11


Fund Summary as of March 31, 2023   (continued)    iShares® Europe ETF

 

Portfolio Management Commentary

European stocks rose modestly during the reporting period as companies navigated an array of economic and business challenges, including stubbornly high inflation, the ongoing war in Ukraine, COVID-19 lockdowns in China, and a Swiss banking crisis. French stocks contributed the most to the Index’s return as surging consumer demand for luxury goods benefited companies in the consumer discretionary sector. Textile and apparel makers added new jobs and increased shareholder dividends. Sales at the world’s largest luxury group topped pre-pandemic levels as affluent Americans, buoyed by the strong U.S. dollar, returned to spending on international travel and luxury goods such as jewelry and luggage. Demand from U.S. and European consumers also drove sales of beauty products and helped offset rising input costs and the impact of China’s slowdown. A strong recovery in oil demand and the ongoing restriction on supply stemming from Russia’s war in Ukraine aided profits of French energy companies.

Danish stocks also contributed to the Index’s return, with pharmaceuticals companies leading returns. Demand for a new medicine for obesity outstripped supply in the U.S. and delayed its entry into many European markets. Sales of the drug increased operating profits of the drug’s developer and boosted the stock’s price.

On the downside, pharmaceuticals stocks in Switzerland were the largest detractors from the Index’s return, as the receding pandemic reduced demand for COVID-19 products. The failure of a highly anticipated Alzheimer’s drug to slow the onset of the disease in clinical trials disappointed investors, sending stock prices lower. Bank stocks were also notable detractors from the Index’s return after the near-collapse of a prominent Swiss bank shook investor confidence, leading to a government-structured deal with a rival lender. Swiss consumer staples stocks also detracted from the Index’s return as packaged foods companies reported lower sales volumes despite moves to offset higher raw material costs by increasing the prices of consumer goods.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Financials

    17.1

Health Care

    15.4  

Industrials

    14.8  

Consumer Staples

    12.9  

Consumer Discretionary

    11.7  

Materials

    7.1  

Information Technology

    6.8  

Energy

    5.9  

Utilities

    4.2  

Communication Services

    3.5  

Real Estate

    0.6  

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

United Kingdom

    23.4

France

    18.4  

Switzerland

    15.5  

Germany

    12.8  

Netherlands

    7.2  

Sweden

    4.7  

Denmark

    4.7  

Spain

    3.9  

Italy

    3.6  

Belgium

    1.5  

Finland

    1.5  

Ireland

    1.2  

Other (each representing less than 1%)

    1.6  

 

  (a) 

Excludes money market funds.

 

 

 

12  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023     iShares® Future Metaverse Tech and Communications ETF

 

Investment Objective

The iShares Future Metaverse Tech and Communications ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. and non-U.S. companies that provide products and services that are expected to contribute to the metaverse in areas including virtual platforms, social media, gaming, 3D software, digital assets, and virtual and augmented reality, as represented by the Morningstar Global Metaverse & Virtual Interaction Select 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

 

    Cumulative Total Returns
    

Since   

Inception   

Fund NAV

  4.82%

Fund Market

  4.62   

Index

  4.78   

For the fiscal period ended March 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 February 14, 2023. The first day of secondary market trading was February 16, 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

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(02/14/23)
 
 
(a)  
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(b) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(b) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,048.20          $       0.59       $      1,000.00             $      1,022.60          $        2.37          0.47

 

  (a) 

Commencement of operations.

 
  (b) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 45/365 for actual expenses and 182/365 for hypothetical expenses (to reflect the six month 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.

 

Portfolio Information

 

INDUSTRY ALLOCATION

 

   
Industry    
Percent of
Total Investments
 
(a) 

Software

    29.8

Entertainment

    28.2  

Semiconductors & Semiconductor Equipment

    15.5  

Interactive Media & Services

    13.4  

Technology Hardware, Storage & Peripherals

    7.4  

Household Durables

    5.1  

Other (each representing less than 1%)

    0.6  

TEN LARGEST HOLDINGS

 

   
Security    
Percent of
Total Investments
 
(a)  

Apple Inc.

    6.2

Nvidia Corp.

    5.3  

Meta Platforms Inc, Class A

    5.2  

Tencent Holdings Ltd.

    4.8  

Ansys Inc.

    4.7  

ROBLOX Corp., Class A

    4.6  

Activision Blizzard Inc.

    4.6  

Zoom Video Communications Inc., Class A

    4.6  

Electronic Arts Inc.

    4.5  

NetEase Inc.

    4.5  
  (a) 

Excludes money market funds.

 

 

 

F U N D   S U M M A R Y

  13


Fund Summary as of March 31, 2023     iShares® India 50 ETF

 

Investment Objective

The iShares India 50 ETF (the “Fund”) seeks to track the investment results of an index composed of 50 of the largest Indian equities, as represented by the Nifty 50 Index (the “Index”) and determined by the Index provider, NSE Indices Ltd. The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
     1 Year     5 Years      10 Years                1 Year     5 Years      10 Years  

Fund NAV

    (7.59 )%(a)      5.87      7.16%          (7.59 )%(a)      32.99      99.69

Fund Market

    (7.75     5.52        7.06             (7.75     30.85        97.80  

Index

    (7.25     7.66        8.61                   (7.25     44.62        128.33  

 

  (a) 

The NAV total return presented in the table for the one-year period differs from the same period return disclosed in the financial highlights. The total return in the financial highlights is calculated in the same manner but differs due to certain adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

 

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(10/01/22)
 
 
 
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,011.00          $        4.46       $      1,000.00             $      1,020.50          $        4.48          0.89

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

14  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023   (continued)    iShares® India 50 ETF

 

Portfolio Management Commentary

Large-capitalization Indian stocks declined for the reporting period amid slowing economic growth and rising interest rates. While India’s economy continued to recover from the effects of the coronavirus pandemic, the rate of growth slowed on an annual basis in the second half of 2022 as the effect of pent-up consumer demand faded and manufacturing growth stalled. Rising interest rates also weighed on the economy, and the Reserve Bank of India increased its headline interest rate multiple times during the reporting period. While inflation was substantial, it was not significantly higher than India’s historical average and showed signs of easing as the reporting period continued. The Indian rupee declined notably relative to the U.S. dollar, reducing the value of equities held in U.S. dollar terms.

Higher oil and gas prices following Russia’s invasion of Ukraine initially had a negative impact on India, which is a large net-importer of energy commodities. However, India benefited from falling prices thereafter and was able to negotiate discounts on Russian oil that were below standard market prices. India’s exports grew, particularly exports of services, which helped to offset weaker growth in goods exports.

The Indian labor market was tepid, as unemployment remained high even as the economy continued to grow. The labor force participation rate stayed relatively low, indicating that many Indians, particularly young workers, stopped looking for work entirely. Nonetheless, consumer spending rose as economic activity continued to return to normal, sustaining the country’s economic growth.

A high-profile report from a U.S.-based finance firm accusing a large Indian conglomerate of fraud and market manipulation negatively impacted India’s stock market. The report led to intensified investor scrutiny of Indian companies associated with the conglomerate, driving a decline in Indian equities overall. However, the conglomerate vigorously contested the accusations, and an investigation by the Securities and Exchange Board of India had not released any findings by the end of the reporting period. The government’s business-friendly financial reforms helped attract investors to Indian markets.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Financials

    37.7

Information Technology

    14.1  

Energy

    12.1  

Consumer Staples

    9.6  

Materials

    6.8  

Consumer Discretionary

    6.7  

Industrials

    4.7  

Health Care

    3.8  

Communication Services

    2.4  

Utilities

    2.1  

TEN LARGEST HOLDINGS

 

   
Security    
Percent of
Total Investments
 
(a) 

Reliance Industries Ltd.

    10.3

HDFC Bank Ltd.

    9.3  

ICICI Bank Ltd.

    8.0  

Infosys Ltd.

    6.7  

Housing Development Finance Corp. Ltd.

    6.2  

ITC Ltd.

    4.4  

Tata Consultancy Services Ltd.

    4.3  

Larsen & Toubro Ltd.

    3.4  

Kotak Mahindra Bank Ltd.

    3.3  

Axis Bank Ltd.

    3.1  
  (a) 

Excludes money market funds.

 

 

 

F U N D   S U M M A R Y

  15


Fund Summary as of March 31, 2023     iShares® International Developed Property ETF

 

Investment Objective

The iShares International Developed Property ETF (the “Fund”) seeks to track the investment results of an index composed of real estate equities in developed non-U.S. markets, as represented by the S&P Developed ex-U.S. Property IndexTM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
      1 Year      5 Years      10 Years                1 Year      5 Years      10 Years  

Fund NAV

    (22.49 )%       (3.27 )%       0.69%          (22.49 )%       (15.33 )%       7.13

Fund Market

    (22.48      (3.40      0.63             (22.48      (15.88      6.52  

Index

    (23.28      (3.25      0.71                   (23.28      (15.23      7.38  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(10/01/22)
 
 
 
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,081.70          $        2.54       $      1,000.00             $      1,022.50          $        2.47          0.49

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

16  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023   (continued)    iShares® International Developed Property ETF

 

Portfolio Management Commentary

International developed property stocks declined significantly during the reporting period amid a slowing global economy, elevated inflation, and sharply higher interest rates. German stocks were the largest detractors from the Index’s performance, led by equity real estate investment trusts (“REITs”). Rising interest rates drove a downturn in the real estate market in Germany, as property financing and mortgages became more expensive. Transactions in the German commercial real estate market declined significantly amid pricing uncertainty and the economic impact of Russia’s invasion of Ukraine.

German real estate operating companies were negatively affected by government action against a prominent company in the industry. German authorities raided the offices of the company and prosecutors alleged that illegal kickbacks were made in the awarding of contracts to subcontractors. While the investigation was still ongoing at the end of the reporting period, the high-profile accusations drove a significant decline in the industry.

The U.K. diversified REIT industry was another notable source of detraction from the Index’s return. Interest rates rose rapidly in the U.K. and the Bank of England was one of the first major central banks to raise interest rates. Consequently, borrowing costs rose significantly for firms investing in the U.K. property market, weighing on profitability. The deteriorating economic outlook and high interest rates led to a devaluation of some properties in the industry, while elevated inflation drove operating costs sharply higher.

Despite facing a different macroeconomic backdrop, Japanese diversified REITs also declined. Inflation was lower in Japan than in most other major economies, and the Bank of Japan (“BOJ”) held interest rates steady, keeping its key short-term interest rate in negative territory. Nonetheless, investor concerns about pressure on the BOJ to increase interest rates and modify its yield curve control policy weighed on the industry.

Diversified REITs in Australia were another source of weakness, declining amid a downturn in the real estate market. Higher interest rates and economic uncertainty negatively impacted the tenants of some warehouses and industrial properties, which in turn pressured REITs that own these properties.

 

 

F U N D   S U M M A R Y

  17


Fund Summary as of March 31, 2023   (continued)    iShares® International Developed Property ETF

 

Portfolio Information

 

INDUSTRY ALLOCATION

 

   
Industry    
Percent of
Total Investments
 
(a) 

Real Estate Operating Companies

    19.3

Diversified Real Estate Activities

    17.9  

Retail REITs

    14.3  

Industrial REITs

    14.1  

Diversified REITs

    12.1  

Office REITs

    8.8  

Real Estate Development

    4.2  

Multi-Family Residential REITs

    4.0  

Health Care REITs

    2.0  

Hotel & Resort REITs

    1.5  

Self Storage REITs

    1.0  

Other (each representing less than 1%)

    0.8  

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

Japan

    29.0

Hong Kong

    13.3  

Australia

    12.8  

United Kingdom

    9.6  

Singapore

    9.0  

Sweden

    4.0  

Canada

    3.7  

Germany

    3.7  

France

    3.5  

Switzerland

    2.5  

Belgium

    2.5  

Israel

    2.2  

Other (each representing less than 1%)

    4.2  
  (a) 

Excludes money market funds.

 

 

 

18  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023     iShares® International Developed Small Cap Value Factor ETF

 

Investment Objective

The iShares International Developed Small Cap Value Factor ETF (the “Fund”) seeks to track the investment results of an index composed of international developed market small-capitalization stocks, excluding the U.S. and Korea, with prominent value characteristics, as represented by the FTSE Developed ex US ex Korea Small Cap Focused Value 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

 

    Average Annual Total Returns            Cumulative Total Returns  
     1 Year     Since   
Inception   
         1 Year     Since
Inception
 

Fund NAV

    (4.56 )%    (1.33)%       (4.56 )%      (2.67 )% 

Fund Market

    (4.09   (1.10)          (4.09     (2.22

Index

    (5.37   (1.23)                (5.37     (2.46

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSETVALUE)

 

LOGO

The inception date of the Fund was March 23, 2021. The first day of secondary market trading was March 25, 2021.

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(10/01/22)
 
 
 
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,243.30          $        1.68       $      1,000.00             $      1,023.40          $        1.51          0.30

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  19


Fund Summary as of March 31, 2023   (continued)    iShares® International Developed Small Cap Value Factor ETF

 

Portfolio Management Commentary

International developed market small-capitalization stocks with prominent value characteristics declined for the reporting period amid a slowing global economy, elevated inflation, and high interest rates. U.K. stocks were the largest detractors from the Index’s performance, led by diversified real estate investment trusts (“REITs”). As interest rates edged higher, borrowing costs for firms investing in the U.K. rose significantly, squeezing profit margins and shrinking budgets. The deteriorating outlook and changing post-pandemic consumer shopping habits lowered rental income and decreased demand for warehouse properties. A sharp rise in yields also prompted property investors to cycle away from REITs in favor of government bonds.

Diversified REITs in Australia detracted from the Index’s performance amid a broader downturn in the real estate market. Higher interest rates and economic uncertainty negatively impacted the tenants of some commercial and industrial properties, which in turn pressured the REITs that own these properties. Companies involved in residential communities reported lower earnings and fewer deal closings due to labor shortages, construction delays, and rising inflation.

Canadian REIT stocks also detracted from the Index’s return as real estate stocks traded sharply lower following multiple interest rate hikes by the Bank of Canada. Commercial real estate companies reported delays in new lease agreements as clients weighed recession fears. Financials companies also detracted from the Index’s return amid high inflation and a challenging capital markets environment.

Conversely, Japanese stocks were significant contributors to the Index’s return. Steel makers raised prices to offset increased production costs and expanded into more profitable business lines, benefiting industrials stocks. Consumer discretionary companies gained as Japan reopened to foreigners and retail sales increased, particularly in the luxury watch market. Lastly, rising bank fees and higher interest rates proved profitable for Italian banks, driving contribution from Italian financials.

The Index’s selection process is designed to maximize exposure to small-capitalization stocks with prominent value characteristics, with screens to eliminate stocks with low liquidity, high volatility, high debt, negative sentiment, and negative momentum. Reflecting those constraints, the Index outperformed the broader market, as represented by the FTSE Developed ex US ex Korea Small Cap Focused Value Index. The value factor tends to perform relatively well during economic environments with high inflation and rising interest rates due in part to value’s lower-interest rate sensitivity and shorter-dated cash flows. Stock selection in the U.K., Japan, and Germany also contributed.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Industrials

    23.9

Financials

    16.6  

Materials

    14.4  

Real Estate

    14.1  

Consumer Discretionary

    9.1  

Consumer Staples

    4.9  

Energy

    4.2  

Information Technology

    4.1  

Health Care

    3.8  

Utilities

    2.8  

Communication Services

    2.1  

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

Japan

    19.0

United Kingdom

    18.4  

Canada

    17.0  

Australia

    8.9  

Switzerland

    8.8  

Sweden

    5.6  

Germany

    3.3  

France

    2.9  

Finland

    2.9  

Belgium

    2.2  

Austria

    2.2  

Denmark

    2.2  

Norway

    1.6  

Singapore

    1.5  

Italy

    1.1  

New Zealand

    1.0  

Other (each representing less than 1%)

    1.4  
  (a) 

Excludes money market funds.

 

 

 

20  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023    iShares® International Dividend Growth ETF

 

Investment Objective

The iShares International Dividend Growth ETF (the “Fund”) seeks to track the investment results of an index composed of international equities with a history of consistently growing dividends, as represented by the Morningstar® Global ex-US Dividend Growth IndexSM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
      1 Year      5 Years     

Since   

Inception   

            1 Year      5 Years      Since
Inception
 

Fund NAV

    (4.60 )%       4.17      6.01%          (4.60 )%       22.69      49.36

Fund Market

    (4.61      4.01        6.04             (4.61      21.73        49.63  

Index

    (5.46      4.08        5.95                   (5.46      22.12        48.76  

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

 

LOGO

The inception date of the Fund was May 17, 2016. The first day of secondary market trading was May 19, 2016.

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(10/01/22)
 
 
 
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $      1,000.00          $      1,207.20          $        0.83       $      1,000.00             $      1,024.20          $        0.76          0.15

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  21


Fund Summary as of March 31, 2023  (continued)    iShares® International Dividend Growth ETF

 

Portfolio Management Commentary

Dividend stocks outside the U.S. declined amid rapidly rising interest rates and a weakening global economy. As central banks around the world raised interest rates, bond yields rose significantly. Dividend-bearing stocks are typically negatively impacted by higher yields, since higher income from bonds makes those investments relatively more attractive to income-seeking investors. Nonetheless, some investors viewed dividend-paying stocks as being more resilient in an economic downturn.

Canadian stocks led the decline, as bank stocks in the financials sector faced significant headwinds. Canada’s economic growth slowed during the reporting period, and the worsening economy drove an increase in provisions for loan losses at banks. A substantial payment to settle claims surrounding a large bank’s involvement with a fraudulent investment scheme also weighed on the banking industry. However, improved net interest margins amid rising interest rates helped the industry offset some of the negative impacts to income.

Swiss stocks also detracted from the Index’s performance, most notably in the healthcare sector. Pharmaceuticals companies faced declining demand for COVID-19 treatments and diagnostic testing kits as vaccinations against the virus expanded. Increased competition from several biosimilar cancer treatment drugs, which have similar active properties as older licensed drugs, also weakened sales.

In China, weakness in the financials sector detracted from performance, particularly in the banking industry. Investors’ concerns about exposure of banks to troubled Chinese property developers pressured the industry.

On the upside, Danish stocks contributed to the Index’s return, buoyed by the pharmaceuticals industry in the healthcare sector. The industry benefited from soaring sales and profits from a new anti-obesity drug, outstripping projections. However, the high costs of the drug, lack of insurance coverage, and production delays limited sales growth.

Spanish and French high-dividend stocks also gained. In Spain, the utilities sector benefited from its foreign operations, as strong profits from North and South America helped to offset a decline domestically. In France, the successful trial of a drug to treat pulmonary disease supported the pharmaceuticals industry in the healthcare sector.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Financials

    25.7

Health Care

    15.9  

Consumer Staples

    12.7  

Industrials

    12.5  

Utilities

    8.8  

Materials

    7.0  

Information Technology

    6.7  

Communication Services

    3.1  

Consumer Discretionary

    2.8  

Energy

    2.8  

Real Estate

    2.0  
GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

Canada

    19.5

Japan

    19.0  

Switzerland

    12.2  

United Kingdom

    11.9  

China

    6.1  

Germany

    5.9  

France

    4.4  

Denmark

    3.6  

Spain

    2.7  

Hong Kong

    2.5  

India

    2.1  

Australia

    2.1  

Ireland

    1.2  

Netherlands

    1.1  

Other (each representing less than 1%)

    5.7  

 

  (a) 

Excludes money market funds.

 

 

 

22  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Fund Summary as of March 31, 2023     iShares® Latin America 40 ETF

 

Investment Objective

The iShares Latin America 40 ETF (the “Fund”) seeks to track the investment results of an index composed of 40 of the largest Latin American equities, as represented by the S&P Latin America 40TM (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

 

    Average Annual Total Returns            Cumulative Total Returns  
 

 

 

      
      1 Year      5 Years      10 Years                1 Year      5 Years      10 Years  

Fund NAV

    (11.29 )%       (3.15 )%       (1.97)%          (11.29 )%       (14.80 )%       (18.07 )% 

Fund Market

    (11.43      (3.31      (1.97)             (11.43      (15.49      (18.07

Index

    (10.76      (2.85      (1.60)                   (10.76      (13.46      (14.87

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through January 30, 2013 is calculated using currency exchange (FX) rates corresponding to 5:15 P.M. ET. Index performance beginning on January 31, 2013 is calculated using FX rates corresponding to World Market Reuters 4:00 P.M. London.

Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.

Expense Example

 

Actual     Hypothetical 5% Return           

 

 

   

 

 

      
 

Beginning
Account Value
(10/01/22)
 
 
 
      

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
   

Beginning      
Account Value      
(10/01/22)      
 
 
 
   

Ending
Account Value
(03/31/23)
 
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
  $        1,000.00          $      1,088.20          $        2.50       $      1,000.00             $      1,022.50          $        2.42          0.48

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (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.

 

 

 

F U N D   S U M M A R Y

  23


Fund Summary as of March 31, 2023  (continued)    iShares® Latin America 40 ETF

 

Portfolio Management Commentary

Large-capitalization Latin American stocks declined significantly for the reporting period amid high inflation and tighter monetary policy. Brazil was the largest detractor from the Index’s return, as economic growth in the country faltered. Rising borrowing costs weakened the Brazilian economy, which slowed before finally contracting in the fourth quarter of 2022. The central bank of Brazil raised interest rates multiple times in response to elevated inflation and prices fell substantially over the course of the reporting period. The Brazilian real declined relative to the U.S. dollar amid tightening U.S. monetary policy and fiscal concerns in Brazil, reducing the value of Brazilian stocks in U.S. dollar terms.

The Brazilian financials sector was a significant source of weakness, particularly the banking industry. The worsening economic environment in Brazil weakened bank profits, as consumers’ reduced purchasing power drove an increase in expenses from delinquent loans expected to go unpaid. Rising operating costs also dented earnings in the banking industry. Brazil’s materials sector also detracted, as the metals and mining industry faced volatile prices for iron ore and fines for safety practices related to a dam collapse. Furthermore, high rainfall and equipment maintenance needs led to a reduction in iron ore production late in 2022. The consumer staples sector also declined, as an oversupply of poultry and high costs weighed on profitability in the packaged foods and meats industry.

Colombian stocks also detracted from the Index’s performance in an environment of tepid economic growth. Equities in Colombia faced headwinds following a presidential election and a new administration perceived by some investors as less business friendly. The financials sector declined the most, as inflation rose during the reporting period, pressuring bank customers’ purchasing power and ability to repay loans.

On the upside, Mexican stocks contributed slightly to the Index’s performance. Despite slow economic growth, unemployment dropped to the lowest rate in 20 years, and inflation began to decelerate. The Mexican banking industry benefited from an influx of new customers relocating factories closer to the U.S.

Portfolio Information

 

SECTOR ALLOCATION

 

   
Sector    
Percent of
Total Investments
 
(a) 

Financials

    29.3

Materials

    26.7  

Consumer Staples

    15.1  

Energy

    11.2  

Communication Services

    5.7  

Industrials

    5.5  

Utilities

    3.0  

Consumer Discretionary

    1.6  

Real Estate

    1.0  

Health Care

    0.9  
GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region    
Percent of
Total Investments
 
(a) 

Brazil

    59.0

Mexico

    28.3  

Chile

    7.2  

Peru

    3.8  

Colombia

    1.7  

 

  (a)

Excludes money market funds.

 

 

 

24  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at iShares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower.

Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. Since shares of a fund may not trade in the secondary market until after the fund’s inception, for the period from inception to the first day of secondary market trading in shares of the fund, the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

An index is a statistical composite that tracks a specified financial market or sector. Unlike a fund, an index does not actually hold a portfolio of securities and therefore does not incur the expenses incurred by a fund. These expenses negatively impact fund performance. Also, market returns do not include brokerage commissions that may be payable on secondary market transactions. If brokerage commissions were included, market returns would be lower.

Disclosure of Expenses

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

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

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

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

 

 

A B O U T   F U N D   P E R F O R M A N C E / D I S C L O S U R E   O F   E X P E N S E S

  25


Schedule of Investments  

March 31, 2023

  

iShares® Asia 50 ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   
China — 40.9%            

Alibaba Group Holding Ltd.(a)

    10,500,000     $     132,987,613  

ANTA Sports Products Ltd.

    733,600       10,651,218  

Baidu Inc.(a)

    1,540,100       29,017,438  

Bank of China Ltd., Class H

    52,862,000       20,265,535  

BYD Co. Ltd., Class H

    589,500       17,340,821  

China Construction Bank Corp., Class H

    66,988,960       43,354,911  

China Merchants Bank Co. Ltd., Class H

    2,243,500       11,392,531  

Industrial & Commercial Bank of China Ltd., Class H

    48,395,115       25,719,058  

JD.com Inc., Class A

    1,633,500       35,669,421  

Kuaishou Technology(a)(b)

    1,319,600       10,146,820  

Li Ning Co. Ltd.

    1,593,000       12,527,205  

Meituan, Class B(a)(b)

    3,197,580       58,011,181  

NetEase Inc.

    1,244,000       21,960,168  

Ping An Insurance Group Co. of China Ltd., Class H

    4,203,500       27,193,334  

Tencent Holdings Ltd.

    4,088,400       199,797,222  

Wuxi Biologics Cayman Inc.(a)(b)

    2,419,500       14,908,857  

Xiaomi Corp., Class B(a)(b)

    9,803,000       15,086,326  
   

 

 

 
      686,029,659  
Hong Kong — 10.1%            

AIA Group Ltd.

    7,939,600       83,265,405  

CK Hutchison Holdings Ltd.

    1,825,148       11,291,547  

Hong Kong Exchanges & Clearing Ltd.

    795,300       35,251,430  

Link REIT

    1,725,460       11,095,106  

Sun Hung Kai Properties Ltd.

    1,025,500       14,366,841  

Techtronic Industries Co. Ltd.

    1,247,000       13,511,376  
   

 

 

 
      168,781,705  
Singapore — 4.8%            

DBS Group Holdings Ltd.

    1,241,900       30,875,790  

Oversea-Chinese Banking Corp. Ltd.

    2,748,374       25,619,742  

United Overseas Bank Ltd.

    1,047,200       23,487,690  
   

 

 

 
      79,983,222  
South Korea — 20.4%            

Celltrion Inc.

    73,060       8,444,871  

Hyundai Motor Co.

    95,728       13,619,467  

Kakao Corp.

    212,251       10,051,953  

KB Financial Group Inc.

    260,683       9,520,713  

Kia Corp.

    182,945       11,417,240  

LG Chem Ltd.

    32,157       17,660,417  

LG Energy Solution(a)

    28,546       12,861,478  

NAVER Corp.

    101,405       15,889,244  

POSCO Holdings Inc.

    50,030       14,154,545  

Samsung Electronics Co. Ltd.

    3,485,719       172,372,139  

Samsung SDI Co. Ltd.

    37,423       21,257,711  

Shinhan Financial Group Co. Ltd.

    345,068       9,373,881  

SK Hynix Inc.

    366,508       25,081,944  
   

 

 

 
      341,705,603  
Security   Shares     Value  
Taiwan — 21.8%            

Cathay Financial Holding Co. Ltd.

    6,465,235     $ 8,901,640  

Chunghwa Telecom Co. Ltd.

    2,580,551       10,143,876  

CTBC Financial Holding Co. Ltd.

    13,292,359       9,572,231  

Delta Electronics Inc.

    1,305,000       12,947,735  

Formosa Plastics Corp.

    2,951,071       8,909,300  

Fubon Financial Holding Co. Ltd.

    5,364,600       9,984,084  

Hon Hai Precision Industry Co. Ltd.

    8,180,052       28,000,273  

MediaTek Inc.

    1,085,112       28,132,739  

Nan Ya Plastics Corp.

    3,846,510       9,798,262  

Taiwan Semiconductor Manufacturing Co. Ltd.

    12,852,343       225,232,246  

United Microelectronics Corp.

    7,884,000       13,796,460  
   

 

 

 
      365,418,846  
   

 

 

 

Total Common Stocks — 98.0%
(Cost: $1,680,822,164)

        1,641,919,035  
   

 

 

 

Preferred Stocks

   
South Korea — 1.6%            

Hyundai Motor Co., Series 2, Preference Shares, NVS

    24,550       1,813,440  

LG Chem Ltd., Preference Shares, NVS

    5,173       1,239,478  

Samsung Electronics Co. Ltd., Preference Shares, NVS.

    559,778       23,294,938  
   

 

 

 
      26,347,856  
   

 

 

 

Total Preferred Stocks — 1.6%
(Cost: $9,894,202)

      26,347,856  
   

 

 

 

Total Long-Term Investments — 99.6%
(Cost: $1,690,716,366)

      1,668,266,891  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 0.0%            

BlackRock Cash Funds: Treasury, SL Agency Shares, 4.73%(c)(d)

    700,000       700,000  
   

 

 

 

Total Short-Term Securities — 0.0%
(Cost: $700,000)

      700,000  
   

 

 

 

Total Investments — 99.6%
(Cost: $1,691,416,366)

      1,668,966,891  

Other Assets Less Liabilities — 0.4%

      6,557,662  
   

 

 

 

Net Assets — 100.0%

    $ 1,675,524,553  
   

 

 

 

 

(a) 

Non-income producing security.

(b) 

Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors.

(c) 

Affiliate of the Fund.

(d) 

Annualized 7-day yield as of period end.

 

 

26  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Asia 50 ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended March 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
03/31/22
     Purchases
at Cost
    Proceeds
from Sale
     Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
     Value at
03/31/23
     Shares
Held at
03/31/23
     Income    

Capital

Gain
Distributions
from
Underlying
Funds

 

 

 

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

  $       $ 3,438 (b)    $      $ (3,438   $      $             $ 10,844 (c)    $  

BlackRock Cash Funds: Treasury, SL Agency Shares

           700,000 (b)                          700,000        700,000        33,046        
         

 

 

   

 

 

    

 

 

       

 

 

   

 

 

 
          $ (3,438   $      $ 700,000         $ 43,890     $  
         

 

 

   

 

 

    

 

 

       

 

 

   

 

 

 

 

  (a) 

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

 
  (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.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

 
Description   Number of
Contracts
     Expiration
Date
     Notional
Amount
(000)
     Value/
Unrealized
Appreciation
(Depreciation)
 

 

 

Long Contracts

          

FTSE Taiwan Index

    35        04/27/23      $ 1,948      $ 2,223  

MSCI China Index

    130        06/16/23        3,293        127,253  

MSCI Emerging Markets Index

    30        06/16/23        1,493        47,090  
          

 

 

 
           $ 176,566  
          

 

 

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

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

 

 

Assets — Derivative Financial Instruments

                   

Futures contracts

                   

Unrealized appreciation on futures contracts(a)

  $      $      $ 176,566      $      $      $      $ 176,566  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (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).

 

For the period ended March 31, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

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

 

 

Net Realized Gain (Loss) from

                  

Futures contracts

  $      $      $ (556,346   $      $      $      $ (556,346
 

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

                  

Futures contracts

  $      $      $ (63,530   $      $      $      $ (63,530
 

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

 

 

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

  27


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Asia 50 ETF

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts

    

Average notional value of contracts — long

     $ 6,913,361  

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.

 

 

 
    Level 1      Level 2      Level 3      Total  

 

 

Assets

          

Investments

          

Long-Term Investments

          

Common Stocks

  $      $ 1,641,919,035      $      $ 1,641,919,035  

Preferred Stocks

           26,347,856               26,347,856  

Short-Term Securities

          

Money Market Funds

    700,000                      700,000  
 

 

 

    

 

 

    

 

 

    

 

 

 
  $             700,000      $ 1,668,266,891      $                   —      $ 1,668,966,891  
 

 

 

    

 

 

    

 

 

    

 

 

 

Derivative Financial Instruments(a)

          

Assets

          

Equity Contracts

  $ 47,090      $ 129,476      $      $ 176,566  
 

 

 

    

 

 

    

 

 

    

 

 

 

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

28  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Schedule of Investments  

March 31, 2023

  

iShares® Blockchain and Tech ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

 

Common Stocks

   
Capital Markets — 18.0%            

Allfunds Group PLC

    5,971     $ 39,570  

Bakkt Holdings Inc.(a)(b)

    102,362       176,063  

Coinbase Global Inc., Class A(a)(b)

    10,877       734,959  

Galaxy Digital Holdings Ltd.(a)

    24,446       93,334  

Robinhood Markets Inc., Class A(a)

    6,257       60,756  

SBI Holdings Inc.

    3,500       69,509  

Voyager Digital Ltd.(a)

    57,043       1,426  
   

 

 

 
        1,175,617  
Financial Services — 12.9%  

Block Inc. New(a)

    8,675       595,539  

Lakala Payment Co. Ltd., Class A(a)

    6,200       16,956  

PayPal Holdings Inc.(a)

    3,066       232,832  
   

 

 

 
      845,327  
Insurance — 3.3%  

Ping An Insurance Group Co. of China Ltd., Class A

    32,100       212,614  
   

 

 

 
Interactive Media & Services — 1.4%  

Z Holdings Corp.

    32,900       93,286  
   

 

 

 
IT Services — 7.2%  

Digital Garage Inc.

    500       16,517  

DXC Technology Co.(a)

    3,280       83,837  

GMO internet group Inc.

    900       17,542  

International Business Machines Corp.

    1,804       236,486  

NTT Data Corp.

    8,600       113,060  
   

 

 

 
      467,442  
Broadline Retail — 1.4%  

GoTo Gojek Tokopedia Tbk PT(a)

    12,556,000       91,408  
   

 

 

 
Professional Services — 3.8%  

Wolters Kluwer NV

    1,993       251,589  
   

 

 

 
Semiconductors & Semiconductor Equipment — 9.7%  

Advanced Micro Devices Inc.(a)

    2,869       281,191  

Ambarella Inc.(a)

    530       41,032  

Amlogic Shanghai Co. Ltd.(a)

    3,101       37,921  

Nvidia Corp.

    979       271,937  
   

 

 

 
      632,081  
Security   Shares     Value  

 

 

Software — 38.8%

   

Applied Blockchain Inc., NVS(a)

    22,747     $ 50,953  

Bit Digital Inc.(a)(b)

    53,215       81,951  

Bitfarms Ltd/Canada(a)(b)

    122,295       118,626  

Cleanspark Inc.(a)

    103,187       286,860  

Hive Blockchain Technologies Ltd.(a)(b)

    35,373       116,377  

Hut 8 Mining Corp.(a)(b)

    168,672       312,043  

Iris Energy Ltd.(a)

    20,449       62,574  

Marathon Digital Holdings Inc.(a)(b)

    41,243       359,639  

Riot Blockchain Inc.(a)(b)

    110,674       1,105,633  

Shenzhen Kingdom Sci-Tech Co. Ltd., Class A

    8,800       18,037  

YGSOFT Inc.

    15,400       21,022  
   

 

 

 
      2,533,715  
Technology Hardware, Storage & Peripherals — 3.0%  

Canaan Inc., ADR(a)(b)

    62,001       167,403  

GRG Banking Equipment Co. Ltd., Class A

    15,100       26,933  
   

 

 

 
      194,336  
   

 

 

 

Total Long-Term Investments — 99.5%
(Cost: $5,826,031)

      6,497,415  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 34.9%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 5.01%(c)(d)(e)

    2,274,156       2,274,838  
   

 

 

 

Total Short-Term Securities — 34.9%
(Cost: $2,274,707)

      2,274,838  
   

 

 

 

Total Investments — 134.4%
(Cost: $8,100,738)

      8,772,253  
   

 

 

 

Liabilities in Excess of Other Assets — (34.4)%

 

    (2,242,868
   

 

 

 

Net Assets — 100.0%

    $ 6,529,385  
   

 

 

 

 

(a) 

Non-income producing security.

(b) 

All or a portion of this security is on loan.

(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 period ended March 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
04/25/22
 
(a) 
   
Purchases
at Cost
 
 
   
Proceeds
from Sale
 
 
    
Net Realized
Gain (Loss)
 
 
    


Change in
Unrealized
Appreciation
(Depreciation)
 
 
 
 
    
Value at
03/31/23
 
 
    


Shares

Held at
03/31/23

 


 

     Income      




Capital

Gain

Distributions
from
Underlying
Funds

 

 


 
 
 

 

 

BlackRock Cash Funds: Institutional, SL Agency Shares

  $     $ 2,274,571 (b)    $      $ 136      $ 131      $ 2,274,838        2,274,156      $ 86,813 (c)    $  

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

          0 (b)                                          206        
        

 

 

    

 

 

    

 

 

       

 

 

   

 

 

 
         $ 136      $ 131      $ 2,274,838         $ 87,019     $  
        

 

 

    

 

 

    

 

 

       

 

 

   

 

 

 

 

  (a) 

Commencement of operations.

 
  (b) 

Represents net amount purchased (sold).

 

 

 

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

  29


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Blockchain and Tech ETF

 

  (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.

 
  (d) 

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

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

 
Description   Number of
Contracts
    Expiration
Date
    Notional
Amount
(000)
    Value/
Unrealized
Appreciation
(Depreciation)
 

 

 

Long Contracts

       

Micro E-Mini Russell 2000 Index

    2       06/16/23     $ 18     $ 750  
       

 

 

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

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

 

 

Assets — Derivative Financial Instruments

                    

Futures contracts

                    

Unrealized appreciation on futures contracts(a)

   $      $      $ 750      $      $      $      $ 750  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (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).

 

For the period ended March 31, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

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

 

 

Net Realized Gain (Loss) from

                    

Futures contracts

   $      $      $ (1,154    $      $      $      $ (1,154
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

                    

Futures contracts

   $      $      $ 750      $      $      $      $ 750  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments    

 

 

 

Futures contracts

  

Average notional value of contracts — long

   $ 6,747      

 

 

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.

 

 

 
     Level 1        Level 2                Level 3        Total  

 

 

Assets

                 

Investments

                 

Long-Term Investments

                 

Common Stocks

   $ 5,470,025        $ 1,027,390        $        $ 6,497,415  

 

 

30  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Blockchain and Tech ETF

 

Fair Value Hierarchy as of Period End (continued)

 

 

 
     Level 1        Level 2                Level 3        Total  

 

 

Short-Term Securities

                 

Money Market Funds

   $ 2,274,838        $        $        $ 2,274,838  
  

 

 

      

 

 

      

 

 

      

 

 

 
   $ 7,744,863        $ 1,027,390        $        $ 8,772,253  
  

 

 

      

 

 

      

 

 

      

 

 

 

Derivative Financial Instruments(a)

                 

Assets

                 

Equity Contracts

   $ 750        $        $        $ 750  
  

 

 

      

 

 

      

 

 

      

 

 

 

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

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

  31


Schedule of Investments  

March 31, 2023

  

iShares® Emerging Markets Infrastructure ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   
Brazil — 17.2%            

CCR SA

    279,027     $ 704,662  

Centrais Eletricas Brasileiras SA, ADR

    258,634       1,714,744  

Cia. de Saneamento Basico do Estado de Sao Paulo, ADR

    69,417       694,864  

Ultrapar Participacoes SA, ADR

    287,621       785,205  
   

 

 

 
          3,899,475  
China — 39.6%            

Beijing Capital International Airport Co. Ltd., Class H(a)

    420,000       309,325  

CGN Power Co. Ltd., Class H(b)

    2,268,000       542,992  

China Gas Holdings Ltd.

    605,600       852,645  

China Longyuan Power Group Corp. Ltd., Class H

    674,000       768,908  

China Merchants Port Holdings Co. Ltd.

    342,000       525,035  

China Oilfield Services Ltd., Class H

    718,000       738,100  

China Power International Development Ltd.

    1,008,000       401,389  

China Resources Gas Group Ltd.

    183,500       674,988  

China Resources Power Holdings Co. Ltd.

    364,000       776,629  

China Suntien Green Energy Corp. Ltd., Class H

    735,000       321,498  

COSCO SHIPPING Energy Transportation Co. Ltd., Class H(a)(c)

    514,000       531,502  

COSCO SHIPPING Ports Ltd.

    424,000       283,519  

Guangdong Investment Ltd.

    570,000       583,095  

Jiangsu Expressway Co. Ltd., Class H

    310,000       288,291  

Kunlun Energy Co. Ltd.

    814,000       635,513  

Shenzhen Expressway Co. Ltd., Class H

    148,000       131,490  

Shenzhen International Holdings Ltd.

    346,999       307,029  

Zhejiang Expressway Co. Ltd., Class H

    346,000       275,278  
   

 

 

 
      8,947,226  
Mexico — 17.6%            

Grupo Aeroportuario del Centro Norte SAB de CV, ADR

    8,533       763,789  

Grupo Aeroportuario del Pacifico SAB de CV, ADR

    9,081       1,771,794  

Grupo Aeroportuario del Sureste SAB de CV, ADR

    4,721       1,446,845  
   

 

 

 
      3,982,428  
Qatar — 4.5%            

Qatar Gas Transport Co. Ltd.

    1,076,310       1,016,503  
   

 

 

 
South Korea — 3.3%            

Korea Electric Power Corp., ADR(a)(c)

    104,315       723,946  

SK Gas Ltd.

    254       23,224  
   

 

 

 
      747,170  
Thailand — 9.8%            

Airports of Thailand PCL, NVDR(a)

    1,062,900       2,208,828  
   

 

 

 
Security   Shares      Value  

 

 
United Arab Emirates — 4.8%             

ADNOC Drilling Co. PJSC

    1,015,219      $ 1,091,930  
    

 

 

 

Total Common Stocks — 96.8%
(Cost: $19,374,816)

       21,893,560  
    

 

 

 

Preferred Stocks

    
Brazil — 3.0%             

Cia. Energetica de Minas Gerais, Preference Shares, ADR

    297,674        666,790  
    

 

 

 
Russia — 0.0%             

Transneft PJSC, Preference Shares, NVS(d)

    640         
    

 

 

 

Total Preferred Stocks — 3.0%
(Cost: $1,998,115)

 

     666,790  
    

 

 

 

Total Long-Term Investments — 99.8%
(Cost: $21,372,931)

 

     22,560,350  
    

 

 

 

Short-Term Securities

    
Money Market Funds — 4.4%             

BlackRock Cash Funds: Institutional, SL Agency Shares, 5.01%(e)(f)(g)

    950,719        951,005  

BlackRock Cash Funds: Treasury, SL Agency Shares, 4.73%(e)(f)

    40,000        40,000  
    

 

 

 

Total Short-Term Securities — 4.4%
(Cost: $990,976)

       991,005  
    

 

 

 

Total Investments — 104.2%
(Cost: $22,363,907)

       23,551,355  

Liabilities in Excess of Other Assets — (4.2)%

 

     (938,471
    

 

 

 

Net Assets — 100.0%

     $  22,612,884  
    

 

 

 

 

(a) 

Non-income producing security.

(b) 

Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors.

(c) 

All or a portion of this security is on loan.

(d) 

Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy.

(e) 

Affiliate of the Fund.

(f) 

Annualized 7-day yield as of period end.

(g) 

All or a portion of this security was purchased with the cash collateral from loaned securities.

 

 

32  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Emerging Markets Infrastructure ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended March 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

03/31/22

    

Purchases

at Cost

    

Proceeds

from Sale

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

03/31/23

    

Shares

Held at

03/31/23

     Income     

Capital

Gain

Distributions

from

Underlying

Funds

 

 

 

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 1,224,889      $      $ (274,225 )(a)     $ (205    $ 546      $ 951,005        950,719      $ 15,180 (b)     $  

BlackRock Cash Funds: Treasury, SL Agency Shares

     30,000        10,000 (a)                            40,000        40,000        824         
           

 

 

    

 

 

    

 

 

       

 

 

    

 

 

 
            $ (205    $ 546      $ 991,005         $ 16,004      $  
           

 

 

    

 

 

    

 

 

       

 

 

    

 

 

 

 

  (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.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

 
Description   

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

 

 

 

Long Contracts

           

MSCI Emerging Markets Index

     1        06/16/23      $ 50      $ 1,985  
           

 

 

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

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

 

 

Assets — Derivative Financial Instruments

                    

Futures contracts

                    

Unrealized appreciation on futures contracts(a)

   $      $      $ 1,985      $      $      $      $ 1,985  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (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).

 

For the period ended March 31, 2023, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

 
    

Commodity

Contracts

    

Credit

Contracts

    

Equity

Contracts

    

Foreign

Currency

Exchange

Contracts

    

Interest

Rate

Contracts

    

Other

Contracts

     Total  

 

 

Net Realized Gain (Loss) from

                    

Futures contracts

   $      $      $ (15,567    $      $      $      $ (15,567
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

                    

Futures contracts

   $      $      $ (1,832    $      $      $      $ (1,832
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 

Futures contracts

  

Average notional value of contracts — long

   $ 121,426  

 

 

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

 

 

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

  33


Schedule of Investments  (continued)

March 31, 2023

  

iShares® Emerging Markets Infrastructure ETF

 

Fair Value Hierarchy as of Period End

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

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

 

 

 
     Level 1      Level 2      Level 3      Total  

 

 

Assets

           

Investments

           

Long-Term Investments

           

Common Stocks

   $ 9,697,779      $ 12,195,781      $      $ 21,893,560  

Preferred Stocks

     666,790                      666,790  

Short-Term Securities

           

Money Market Funds

     991,005                      991,005  
  

 

 

    

 

 

    

 

 

    

 

 

 
   $ 11,355,574      $  12,195,781      $      $ 23,551,355  
  

 

 

    

 

 

    

 

 

    

 

 

 

Derivative Financial Instruments(a)

           

Assets

           

Equity Contracts

   $ 1,985      $      $             —      $ 1,985  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

34  

2 0 2 3   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S


Schedule of Investments  

March 31, 2023

  

iShares® Europe ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   

Austria — 0.2%

   

Erste Group Bank AG

    64,807     $ 2,147,013  

OMV AG

    25,778       1,183,806  

Verbund AG

    5,695       495,367  
   

 

 

 
      3,826,186  
Belgium — 1.5%            

Ageas SA/NV

    32,323       1,398,238  

Anheuser-Busch InBev SA/NV

    181,030       12,067,430  

Argenx SE(a)

    10,095       3,748,833  

Groupe Bruxelles Lambert NV

    18,127       1,546,959  

KBC Group NV

    61,767       4,244,058  

Solvay SA

    13,711       1,568,075  

UCB SA

    22,736       2,032,055  

Umicore SA

    37,759       1,280,832  
   

 

 

 
          27,886,480  
Denmark — 4.6%            

AP Moller - Maersk A/S, Class A

    625       1,108,778  

AP Moller - Maersk A/S, Class B, NVS

    1,032       1,875,876  

Carlsberg AS, Class B

    17,780       2,758,867  

Chr Hansen Holding A/S

    18,883       1,436,437  

Coloplast A/S, Class B

    21,675       2,853,887  

Danske Bank A/S(a)

    123,782       2,490,344  

DSV A/S

    32,863       6,372,051  

Genmab A/S(a)

    11,931       4,509,981  

GN Store Nord A/S(a)

    24,533       550,096  

Novo Nordisk A/S, Class B

    299,747       47,606,196  

Novozymes A/S, Class B

    38,149       1,953,349  

Orsted AS(b)

    34,770       2,964,766  

Pandora A/S

    17,533       1,682,960  

Tryg A/S

    65,891       1,440,744  

Vestas Wind Systems A/S

    183,871       5,358,812  
   

 

 

 
      84,963,144  
Finland — 1.5%            

Elisa OYJ

    27,490       1,657,960  

Fortum OYJ

    79,480       1,217,516  

Kesko OYJ, Class B

    52,088       1,119,439  

Kone OYJ, Class B

    72,232       3,767,189  

Metso Outotec OYJ

    128,064       1,398,379  

Neste OYJ

    78,857       3,895,841  

Nokia OYJ

    982,745       4,824,182  

Sampo OYJ, Class A

    89,988       4,246,095  

Stora Enso OYJ, Class R

    113,331       1,474,422  

UPM-Kymmene OYJ

    97,441       3,272,845  

Wartsila OYJ Abp

    87,830       828,875  
   

 

 

 
      27,702,743  
France — 18.3%            

Accor SA(a)

    32,370       1,052,383  

Air Liquide SA

    95,826       16,040,178  

Airbus SE

    112,181       14,983,731  

Alstom SA

    56,450       1,536,924  

ArcelorMittal SA

    105,362       3,192,077  

Arkema SA

    12,110       1,195,703  

AXA SA

    365,814       11,163,755  

BNP Paribas SA

    206,832       12,351,495  

Bouygues SA

    38,166       1,287,189  

Bureau Veritas SA

    53,642       1,541,267  

Capgemini SE

    28,604       5,315,635  

Carrefour SA

    108,565       2,194,922  
Security   Shares     Value  

France (continued)

   

Cie. de Saint-Gobain

    93,854     $ 5,334,996  

Cie. Generale des Etablissements Michelin SCA

    129,472       3,957,735  

Credit Agricole SA

    248,274       2,800,828  

Danone SA

    115,670       7,197,404  

Dassault Systemes SE

    126,330       5,211,243  

Edenred

    45,558       2,696,337  

Eiffage SA

    14,411       1,559,500  

Engie SA

    338,159       5,351,261  

EssilorLuxottica SA

    55,539       10,014,946  

Eurofins Scientific SE

    24,206       1,620,826  

Euronext NV(b)

    17,807       1,363,568  

Gecina SA

    10,159       1,054,509  

Getlink SE

    73,310       1,207,388  

Hermes International

    6,406       12,973,788  

Kering SA

    13,179       8,598,343  

Legrand SA

    48,723       4,451,933  

L’Oreal SA

    46,123       20,609,723  

LVMH Moet Hennessy Louis Vuitton SE

    47,762       43,841,136  

Orange SA

    345,190       4,100,917  

Pernod Ricard SA

    37,100       8,400,585  

Publicis Groupe SA

    42,726       3,335,183  

Renault SA(a)

    38,009       1,549,101  

Safran SA

    63,787       9,442,810  

Sanofi

    210,748       22,861,672  

Sartorius Stedim Biotech

    4,407       1,352,046  

Schneider Electric SE

    104,537       17,470,618  

Societe Generale SA

    144,098       3,246,722  

Sodexo SA

    15,022       1,467,207  

Teleperformance

    10,879       2,628,738  

Thales SA

    19,419       2,871,035  

TotalEnergies SE

    427,847       25,227,430  

Unibail-Rodamco-Westfield(a)

    19,006       1,022,637  

Valeo

    40,838       837,986  

Veolia Environnement SA

    122,953       3,793,982  

Vinci SA

    97,454       11,172,353  

Vivendi SE

    145,408       1,470,300  

Worldline SA/France(a)(b)

    46,823       1,989,908  
   

 

 

 
          335,941,953  
Germany — 12.1%            

adidas AG

    32,683       5,793,796  

Allianz SE, Registered

    74,691       17,241,375  

Aroundtown SA(c)

    174,323       249,202  

BASF SE

    167,758       8,807,069  

Bayer AG, Registered

    179,569       11,471,156  

Bayerische Motoren Werke AG

    58,079       6,365,377  

Beiersdorf AG

    17,897       2,328,173  

Brenntag SE

    28,106       2,115,150  

Commerzbank AG(a)

    192,813       2,029,981  

Continental AG

    19,347       1,449,659  

Covestro AG(b)

    34,605       1,433,107  

Daimler Truck Holding AG(a)

    93,176       3,144,598  

Delivery Hero SE(a)(b)

    36,112       1,231,957  

Deutsche Bank AG, Registered

    378,122       3,845,197  

Deutsche Boerse AG

    34,593       6,735,604  

Deutsche Post AG, Registered

    180,624       8,459,640  

Deutsche Telekom AG, Registered

    638,724       15,477,748  

E.ON SE

    410,821       5,124,876  

Fresenius Medical Care AG & Co. KGaA

    36,203       1,536,608  

Fresenius SE & Co. KGaA

    74,551       2,013,118  

GEA Group AG

    30,095       1,372,860  

 

 

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

  35


Schedule of Investments   (continued)

March 31, 2023

  

iShares® Europe ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Germany (continued)            

Hannover Rueck SE

    10,848     $ 2,121,656  

HeidelbergCement AG

    26,408       1,928,237  

HelloFresh SE(a)

    31,214       744,370  

Henkel AG & Co. KGaA

    17,544       1,276,269  

Infineon Technologies AG

    238,914       9,811,044  

LEG Immobilien SE

    13,506       742,236  

Mercedes-Benz Group AG

    142,637       10,969,178  

Merck KGaA

    23,593       4,398,556  

MTU Aero Engines AG

    9,893       2,475,622  

Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen, Registered

    25,627       8,960,108  

Puma SE

    18,550       1,149,959  

QIAGEN NV(a)

    42,514       1,936,363  

Rheinmetall AG

    7,928       2,348,670  

RWE AG

    123,173       5,299,931  

SAP SE

    199,683       25,214,064  

Siemens AG, Registered

    136,906       22,179,305  

Siemens Energy AG(a)

    74,531       1,643,518  

Siemens Healthineers AG(b)

    50,503       2,911,598  

Symrise AG

    23,929       2,604,047  

Volkswagen AG

    5,321       912,685  

Vonovia SE

    145,649       2,743,271  

Zalando SE(a)(b)

    41,702       1,747,753  
   

 

 

 
      222,344,691  
Ireland — 1.2%            

Bank of Ireland Group PLC

    181,718       1,838,677  

CRH PLC

    139,739       7,059,653  

Flutter Entertainment PLC, Class DI(a)

    27,945       5,085,188  

Kerry Group PLC, Class A

    27,719       2,764,285  

Kingspan Group PLC

    28,044       1,921,723  

Ryanair Holdings PLC, ADR(a)(c)

    18,116       1,708,158  

Smurfit Kappa Group PLC

    48,659       1,764,865