LOGO

  AUGUST 31, 2023

 

  

2023 Semi-Annual Report

(Unaudited)

 

iShares Trust

·  iShares High Yield Bond Factor ETF | HYDB | Cboe BZX

·  iShares Investment Grade Bond Factor ETF | IGEB | Cboe BZX

·  iShares USD Bond Factor ETF | USBF | NASDAQ


The Markets in Review

Dear Shareholder,

Despite an uncertain economic landscape during the 12-month reporting period ended August 31, 2023, the resilience of the U.S. economy in the face of ever tighter financial conditions provided an encouraging backdrop for investors. While inflation was near multi-decade highs at the beginning of the period, it declined precipitously as commodity prices dropped. Labor shortages also moderated, although wages continued to grow and unemployment rates reached the lowest levels in decades. This robust labor market powered further growth in consumer spending, backstopping the economy.

Equity returns were solid, as the durability of consumer sentiment eased investors’ concerns about the economy’s trajectory. The U.S. economy resumed growth in the third quarter of 2022 and continued to expand thereafter. Most major classes of equities rose, as large-capitalization U.S. stocks and developed market equities advanced strongly. However, small-capitalization U.S. stocks and emerging market equities posted more modest gains.

The 10-year U.S. Treasury yield rose during the reporting period, driving its price down, as investors reacted to elevated inflation and attempted to anticipate future interest rate changes. The corporate bond market also faced inflationary headwinds, although high-yield corporate bond prices fared significantly better than investment-grade bonds as demand from yield-seeking investors remained strong.

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation has been more persistent than expected, raised interest rates seven times during the 12-month period. Furthermore, the Fed wound down its bond-buying programs and incrementally reduced its balance sheet by not replacing securities that reach maturity. However, the Fed declined to raise interest rates at its June 2023 meeting, the first time it paused its tightening in the current cycle, before again raising rates in July 2023.

Supply constraints appear to have become an embedded feature of the new macroeconomic environ-ment, making it difficult for developed economies to increase production without sparking higher inflation. Geopolitical fragmentation and an aging population risk further exacerbating these constraints, keeping the labor market tight and wage growth high. Although the Fed has decelerated the pace of interest rate hikes and recently opted for two pauses, we believe that the new economic regime means that the Fed will need to maintain high rates for an extended period to keep inflation under control. Furthermore, ongoing structural changes may mean that the Fed will be hesitant to cut interest rates in the event of faltering economic activity lest inflation accelerate again. We believe investors should expect a period of higher volatility as markets adjust to the new economic reality and policymakers attempt to adapt.

While we favor an overweight position to developed market equities in the long term, we prefer an underweight stance in the near term. Expectations for corporate earnings remain elevated, which seems inconsistent with macroeconomic constraints. Nevertheless, we are overweight on emerging market stocks in the near term as growth trends for emerging markets appear brighter. We also believe that stocks with an AI tilt should benefit from an investment cycle that is set to support revenues and margins. In credit, there are selective opportunities in the near term despite tightening credit and financial conditions. For fixed income investing with a six- to twelve-month horizon, we see the most attractive investments in short-term U.S. Treasuries, U.S. inflation-linked bonds, U.S. mortgage-backed securities, and hard-currency emerging market bonds.

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

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

 

Rob Kapito

President, BlackRock, Inc.

 

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

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

    14.50%        15.94%  
 

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

    0.99           4.65     
 

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

    4.75           17.92     
 

Emerging market equities (MSCI Emerging Markets Index)

    3.62           1.25     
 

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

    2.47           4.25     
 

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

    0.11           (4.71)    
 

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

    0.95           (1.19)    
 

Tax-exempt municipal bonds (Bloomberg Municipal Bond Index)

    1.04           1.70     
 

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

    4.55           7.19     
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

2  

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


Table of Contents

 

   

Page

 

 

 

 

The Markets in Review

    2  

Semi-Annual Report:

 

Fund Summary

    4  

About Fund Performance

    7  

Disclosure of Expenses

    7  

Schedules of Investments

    8  

Financial Statements

 

Statements of Assets and Liabilities

    32  

Statements of Operations

    33  

Statements of Changes in Net Assets

    34  

Financial Highlights

    36  

Notes to Financial Statements

    39  

Board Review and Approval of Investment Advisory Contract

    47  

Supplemental Information

    51  

General Information

    52  

Glossary of Terms Used in this Report

    53  

 

 

 


Fund Summary as of August 31, 2023    iShares® High Yield Bond Factor ETF

 

Investment Objective

The iShares High Yield Bond Factor ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated, high yield corporate bonds, as represented by the BlackRock High Yield Defensive Bond 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  
   

 

           
    

6-Month

Total Returns

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

Fund NAV

    5.24 %         7.37      3.99 %       4.09%            7.37      21.60      27.94

Fund Market

    5.45         8.07        3.90       4.12             8.07        21.07        28.11  

Index

    5.46           7.72        4.36       4.40               7.72        23.81        30.28  

The inception date of the Fund was July 11, 2017. The first day of secondary market trading was July 13, 2017.

The Bloomberg U.S. Corporate High Yield Index is an unmanaged index that measures the USD-denominated, high yield, fixed-rate corporate bond market.

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

      

Ending

Account Value

      

Expenses

Paid During

       

Beginning

Account Value

      

Ending

Account Value

      

Expenses

Paid During

      

Annualized

Expense

 
      (03/01/23)          (08/31/23)          the Period (a)          (03/01/23)          (08/31/23)          the Period (a)         Ratio  
      $  1,000.00          $  1,052.40          $   1.81           $  1,000.00          $  1,023.40          $   1.78          0.35

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (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.

 

Portfolio Information

 

CREDIT QUALITY ALLOCATION

 
   
    Percent of  
Moody’s Credit Rating*     Total Investments (a) 

Baa

    1.1

Ba

    40.4  

B

    46.5  

Caa

    5.7  

Ca

    1.4  

Not Rated

    4.9  

MATURITY ALLOCATION

 
   
    Percent of  
Maturity     Total Investments (a) 

1-5 Years

    54.5

5-10 Years

    41.9  

10-15 Years

    1.9  

15-20 Years

    0.2  

More than 20 Years

    1.5  

 

  *

Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

 
  (a) 

Excludes money market funds.

 

 

 

4  

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


Fund Summary as of August 31, 2023    iShares® Investment Grade Bond Factor ETF

 

Investment Objective

The iShares Investment Grade Bond Factor ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar denominated investment-grade corporate bonds, as represented by the BlackRock Investment Grade Enhanced Bond 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  
   

 

     
                 
    

6-Month

Total Returns

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

Fund NAV

    2.46 %          2.20      2.25     1.84%           2.20      11.79      11.88

Fund Market

    2.45          2.50        2.18       1.86              2.50        11.40        11.97  

Index

    2.55            2.44        2.42       2.01                2.44        12.71        12.97  

The inception date of the Fund was July 11, 2017. The first day of secondary market trading was July 13, 2017.

The Bloomberg U.S. Corporate Index is an unmanaged index that measures the USD-denominated, investment grade, fixed-rate, taxable corporate bond market.

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

      

Ending

Account Value

      

Expenses

Paid During

       

Beginning

Account Value

      

Ending

Account Value

      

Expenses

Paid During

      

Annualized

Expense

 
      (03/01/23)          (08/31/23)          the Period (a)          (03/01/23)          (08/31/23)          the Period (a)         Ratio  
      $  1,000.00          $  1,024.60          $   0.92           $  1,000.00          $  1,024.20          $   0.92          0.18

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (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.

 

Portfolio Information

 

CREDIT QUALITY ALLOCATION

 
   
    Percent of  
Moody’s Credit Rating*     Total Investments (a) 

Aaa

    0.7

Aa

    3.0  

A

    20.1  

Baa

    69.6  

Ba

    6.0  

Not Rated

    0.6  

MATURITY ALLOCATION

 
   
    Percent of  
Maturity     Total Investments (a) 

1-5 Years

    17.2

5-10 Years

    56.9  

10-15 Years

    6.5  

15-20 Years

    4.3  

More than 20 Years

    15.1  

 

  *

Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

 
  (a) 

Excludes money market funds.

 

 

 

F U N D  S U M M A R Y

  5


Fund Summary as of August 31, 2023    iShares® USD Bond Factor ETF

 

Investment Objective

The iShares USD Bond Factor ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. dollar-denominated bonds that are rated either investment grade or high-yield, as represented by the BlackRock USD Bond Factor 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  
   

 

 

     
                   
    

6-Month

Total Returns

    1 Year    

Since   

Inception  

         1 Year      Since
Inception
 

Fund NAV

    1.12     (0.69 )%      (6.80)%         (0.69 )%       (12.45 )% 

Fund Market

    1.15       (0.60     (6.74)            (0.60      (12.34

Index

    1.25       (0.45     (6.63)              (0.45      (12.13

The inception date of the Fund was October 12, 2021. The first day of secondary market trading was October 14, 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

      

Ending

Account Value

      

Expenses

Paid During

       

Beginning

Account Value

      

Ending

Account Value

      

Expenses

Paid During

       Annualized
Expense
 
      (03/01/23)          (08/31/23)          the Period (a)          (03/01/23)          (08/31/23)          the Period (a)         Ratio  
      $  1,000.00          $  1,011.20          $  0.86           $  1,000.00          $  1,024.30          $   0.87          0.17

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 (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.

 

Portfolio Information

 

CREDIT QUALITY ALLOCATION

 
   
    Percent of  
Moody’s Credit Rating*     Total Investments (a) 

Aaa

    26.4

Aa

    15.3  

A

    16.9  

Baa

    30.2  

Ba

    3.2  

B

    1.9  

Caa

    0.2  

Not Rated

    5.9  

MATURITY ALLOCATION

 
   
    Percent of  
Maturity     Total Investments (a) 

0-1 Year

    0.8

1-5 Years

    30.0  

5-10 Years

    23.8  

10-15 Years

    3.9  

15-20 Years

    5.6  

More than 20 Years

    35.9  

 

  *

Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

 
  (a) 

Excludes money market funds.

 

 

 

6  

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


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 EO F  E X P E N S E S

  7


 

Schedule of Investments (unaudited) 

August 31, 2023

  

iShares® High Yield Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  

Corporate Bonds & Notes

   
Advertising — 0.6%            

Advantage Sales & Marketing Inc., 6.50%, 11/15/28 (Call 11/15/23)(a)

  $  1,285     $ 1,120,212  
   

 

 

 
Aerospace & Defense — 1.9%            

Rolls-Royce PLC

   

3.63%, 10/14/25 (Call 07/14/25)(a)

    275       257,813  

5.75%, 10/15/27 (Call 07/15/27)(a)

    1,465       1,422,244  

Spirit AeroSystems Inc.

   

7.50%, 04/15/25 (Call 10/02/23)(a)

    1,375       1,357,960  

9.38%, 11/30/29 (Call 11/30/25)(a)

    430       448,109  

TransDigm UK Holdings PLC, 6.88%, 05/15/26
(Call 09/17/23)

    225       228,824  
   

 

 

 
      3,714,950  
Agriculture — 0.7%            

Vector Group Ltd., 5.75%, 02/01/29
(Call 02/01/24)(a)

    1,475       1,284,051  
   

 

 

 
Airlines — 2.1%            

Air Canada, 3.88%, 08/15/26 (Call 02/15/26)(a)

    1,555       1,435,920  

American Airlines Inc., 11.75%, 07/15/25(a)

    1,155       1,264,198  

Delta Air Lines Inc.

   

4.38%, 04/19/28 (Call 01/19/28)(b)

    575       543,087  

7.38%, 01/15/26 (Call 12/15/25)(b)

    950       977,405  
   

 

 

 
      4,220,610  
Auto Manufacturers — 3.2%            

Allison Transmission Inc., 5.88%, 06/01/29
(Call 06/01/24)(a)

    386       372,809  

Aston Martin Capital Holdings Ltd., 10.50%,
11/30/25 (Call 11/01/24)(a)

    682       692,672  

Ford Motor Co.

   

5.29%, 12/08/46 (Call 06/08/46)(b)

    715       561,463  

7.45%, 07/16/31(b)

    45       47,441  

9.63%, 04/22/30 (Call 01/22/30)

    270       312,270  

Ford Motor Credit Co. LLC

   

4.13%, 08/04/25

    1,510       1,438,163  

5.13%, 06/16/25 (Call 05/16/25)

    1,145       1,114,671  

Jaguar Land Rover Automotive PLC

   

4.50%, 10/01/27 (Call 07/01/27)(a)

    800       698,007  

5.50%, 07/15/29 (Call 07/15/24)(a)

    690       599,528  

5.88%, 01/15/28 (Call 01/15/24)(a)

    325       299,335  

7.75%, 10/15/25 (Call 10/02/23)(a)

    175       175,619  
   

 

 

 
       6,311,978  
Banks — 0.8%            

Intesa Sanpaolo SpA

   

4.20%, 06/01/32 (Call 06/01/31),
(1-year CMT + 2.600%)(a)(c)

    100       76,210  

4.95%, 06/01/42 (Call 06/01/41),
(1-year CMT + 2.750%)(a)(b)(c)

    700       466,492  

5.71%, 01/15/26(a)(b)

    1,065       1,023,690  
   

 

 

 
      1,566,392  
Building Materials — 0.5%            

Builders FirstSource Inc., 6.38%, 06/15/32
(Call 06/15/27)(a)(b)

    1,040       1,013,933  
   

 

 

 
Chemicals — 2.7%            

Avient Corp., 5.75%, 05/15/25 (Call 10/02/23)(a)

    65       64,135  

CVR Partners LP/CVR Nitrogen Finance Corp.,
6.13%, 06/15/28 (Call 06/15/24)(a)

    895       801,267  

EverArc Escrow Sarl, 5.00%, 10/30/29
(Call 10/30/24)(a)(b)

    1,210       994,100  
Security   Par
(000)
    Value  
Chemicals (continued)            

Methanex Corp., 5.25%, 12/15/29 (Call 09/15/29)

  $ 245     $ 223,180  

Rain Carbon Inc., 12.25%, 09/01/29
(Call 03/01/26)(a)

    155       159,879  

Rain CII Carbon LLC/CII Carbon Corp., 7.25%,
04/01/25 (Call 10/02/23)(a)

    18       17,683  

Sasol Financing USA LLC

   

5.50%, 03/18/31 (Call 03/18/30)

     1,450       1,160,515  

6.50%, 09/27/28 (Call 06/27/28)

    555       499,564  

8.75%, 05/03/29 (Call 03/03/29)(a)

    275       268,469  

Tronox Inc., 4.63%, 03/15/29 (Call 03/15/24)(a)

    1,375       1,133,049  
   

 

 

 
      5,321,841  
Coal — 0.5%            

SunCoke Energy Inc., 4.88%, 06/30/29
(Call 06/30/24)(a)

    810       689,277  

Warrior Met Coal Inc., 7.88%, 12/01/28
(Call 12/01/24)(a)

    345       351,941  
   

 

 

 
      1,041,218  
Commercial Services — 7.7%            

ADT Security Corp. (The)

   

4.13%, 08/01/29 (Call 08/01/28)(a)(b)

    762       665,089  

4.88%, 07/15/32(a)(b)

    1,220       1,052,372  

Adtalem Global Education Inc., 5.50%, 03/01/28
(Call 03/01/24)(a)

    428       398,895  

APX Group Inc.

   

5.75%, 07/15/29 (Call 07/15/24)(a)

    900       775,344  

6.75%, 02/15/27 (Call 10/02/23)(a)

    852       827,888  

Cimpress PLC, 7.00%, 06/15/26 (Call 09/18/23)(b)

    1,175       1,101,562  

Deluxe Corp., 8.00%, 06/01/29 (Call 06/01/24)(a)

    825       696,194  

Graham Holdings Co., 5.75%, 06/01/26
(Call 09/11/23)(a)

    159       155,196  

Hertz Corp. (The), 5.00%, 12/01/29
(Call 12/01/24)(a)(b)

    1,767       1,452,816  

Korn Ferry, 4.63%, 12/15/27 (Call 10/02/23)(a)

    345       320,871  

MPH Acquisition Holdings LLC

   

5.50%, 09/01/28 (Call 09/01/24)(a)

    1,750       1,486,160  

5.75%, 11/01/28 (Call 11/01/23)(a)

    340       254,684  

NESCO Holdings II Inc., 5.50%, 04/15/29
(Call 04/15/24)(a)(b)

    1,400       1,269,593  

Prime Security Services Borrower LLC/Prime Finance Inc.

   

5.75%, 04/15/26(a)

    1,078       1,057,890  

6.25%, 01/15/28 (Call 10/02/23)(a)(b)

    1,005       957,163  

Rent-A-Center Inc./TX, 6.38%, 02/15/29
(Call 02/15/24)(a)

    725       658,663  

United Rentals North America Inc., 4.88%,
01/15/28 (Call 09/11/23)(b)

    640       608,929  

WW International Inc., 4.50%, 04/15/29
(Call 04/15/24)(a)

    1,005       695,963  

ZipRecruiter Inc., 5.00%, 01/15/30
(Call 01/15/25)(a)

    945       792,770  
   

 

 

 
       15,228,042  
Computers — 0.6%            

Conduent Business Services LLC/Conduent State & Local Solutions Inc., 6.00%, 11/01/29 (Call 11/01/24)(a)(b)

    930       767,464  

Unisys Corp., 6.88%, 11/01/27 (Call 11/01/23)(a)

    406       320,297  
   

 

 

 
      1,087,761  
Cosmetics & Personal Care — 0.8%            

Coty Inc., 5.00%, 04/15/26 (Call 10/02/23)(a)

    960       922,829  

Coty Inc./HFC Prestige Products Inc./HFC Prestige International U.S. LLC, 4.75%, 01/15/29 (Call 01/15/25)(a)

    755       691,768  
   

 

 

 
      1,614,597  
Diversified Financial Services — 8.2%            

Burford Capital Global Finance LLC

   

6.25%, 04/15/28 (Call 04/15/24)(a)

    361       332,301  

6.88%, 04/15/30 (Call 04/15/25)(a)

    540       495,269  

Coinbase Global Inc.

   

3.38%, 10/01/28 (Call 10/01/24)(a)

    2,328       1,712,507  

 

 

8  

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


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® High Yield Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Diversified Financial Services (continued)            

3.63%, 10/01/31 (Call 10/01/26)(a)

  $ 53     $ 35,682  

Credit Acceptance Corp., 6.63%, 03/15/26
(Call 09/11/23)(b)

    345       335,802  

goeasy Ltd., 5.38%, 12/01/24 (Call 10/03/23)(a)(b)

    780       769,239  

Nationstar Mortgage Holdings Inc.

   

5.13%, 12/15/30 (Call 12/15/25)(a)(b)

    960       813,189  

5.50%, 08/15/28 (Call 10/02/23)(a)

    215       194,829  

5.75%, 11/15/31 (Call 11/15/26)(a)

    985       850,106  

OneMain Finance Corp.

   

5.38%, 11/15/29 (Call 05/15/29)(b)

    25       21,595  

6.63%, 01/15/28 (Call 07/15/27)(b)

    115       107,525  

6.88%, 03/15/25

    995       990,002  

7.13%, 03/15/26(b)

    1,465       1,441,184  

PennyMac Financial Services Inc.

   

4.25%, 02/15/29 (Call 02/15/24)(a)

    400       331,106  

5.38%, 10/15/25 (Call 10/02/23)(a)

    705       682,320  

5.75%, 09/15/31 (Call 09/15/26)(a)

    820       689,209  

Rocket Mortgage LLC/Rocket Mortgage Co-Issuer Inc.

   

3.63%, 03/01/29 (Call 03/01/24)(a)

    170       144,693  

3.88%, 03/01/31 (Call 03/01/26)(a)(b)

    1,800       1,465,137  

4.00%, 10/15/33 (Call 10/15/27)(a)

    475       375,561  

SLM Corp.

   

3.13%, 11/02/26 (Call 10/02/26)

    810       720,900  

4.20%, 10/29/25 (Call 09/29/25)(b)

    780       733,559  

Synchrony Financial, 7.25%, 02/02/33
(Call 11/02/32)(b)

    1,185       1,089,564  

United Wholesale Mortgage LLC

   

5.50%, 04/15/29 (Call 04/15/24)(a)

    1,190       1,032,325  

5.75%, 06/15/27 (Call 06/15/24)(a)(b)

    780       718,635  
   

 

 

 
      16,082,239  
Electric — 3.2%            

Drax Finco PLC, 6.63%, 11/01/25 (Call 09/11/23)(a)

    711       697,309  

FirstEnergy Corp.

   

Series C, 3.40%, 03/01/50 (Call 09/01/49)(b)

    380       251,513  

Series C, 5.10%, 07/15/47 (Call 01/15/47)

    459       399,439  

Mercury Chile Holdco LLC, 6.50%, 01/24/27
(Call 01/24/24)(a)(b)

    345       319,059  

NRG Energy Inc.

   

3.88%, 02/15/32 (Call 02/15/27)(a)

    1,325       1,025,183  

5.75%, 01/15/28 (Call 09/18/23)(b)

    627       593,189  

PG&E Corp.

   

5.00%, 07/01/28 (Call 09/11/23)(b)

     1,515       1,393,660  

5.25%, 07/01/30 (Call 07/01/25)(b)

    360       319,832  

Vistra Operations Co. LLC

   

5.50%, 09/01/26 (Call 09/11/23)(a)

    830       800,590  

5.63%, 02/15/27 (Call 09/11/23)(a)

    480       462,101  
   

 

 

 
       6,261,875  
Electrical Components & Equipment — 0.8%            

Energizer Holdings Inc.

   

4.38%, 03/31/29 (Call 10/02/23)(a)

    900       770,841  

4.75%, 06/15/28 (Call 10/02/23)(a)

    1,010       891,776  
   

 

 

 
      1,662,617  
Engineering & Construction — 1.2%            

AECOM, 5.13%, 03/15/27 (Call 12/15/26)

    1,200       1,151,323  

Brundage-Bone Concrete Pumping Holdings Inc.,
6.00%, 02/01/26 (Call 10/02/23)(a)

    375       360,000  

Tutor Perini Corp., 6.88%, 05/01/25
(Call 09/18/23)(a)(b)

    860       777,754  
   

 

 

 
      2,289,077  
Security   Par
(000)
    Value  
Entertainment — 1.7%            

AMC Entertainment Holdings Inc., 7.50%, 02/15/29
(Call 02/15/25)(a)(b)

  $ 633     $ 432,061  

Live Nation Entertainment Inc., 6.50%, 05/15/27
(Call 10/02/23)(a)

    1,195       1,195,926  

Resorts World Las Vegas LLC/RWLV Capital Inc.,
4.63%, 04/16/29 (Call 01/16/29)(a)(b)

    1,990       1,626,737  
   

 

 

 
      3,254,724  
Environmental Control — 0.7%            

GFL Environmental Inc.

   

3.50%, 09/01/28 (Call 03/01/28)(a)(b)

    1,078       952,304  

5.13%, 12/15/26 (Call 10/03/23)(a)(b)

    486       470,261  
   

 

 

 
      1,422,565  
Gas — 0.4%            

AmeriGas Partners LP/AmeriGas Finance Corp.

   

5.75%, 05/20/27 (Call 02/20/27)(b)

    661       611,234  

5.88%, 08/20/26 (Call 05/20/26)

    130       123,331  
   

 

 

 
      734,565  
Health Care - Products — 0.2%            

Garden Spinco Corp., 8.63%, 07/20/30
(Call 07/20/27)(a)

    445       475,091  
   

 

 

 
Health Care - Services — 1.4%            

DaVita Inc.

   

3.75%, 02/15/31 (Call 02/15/26)(a)

    610       485,769  

4.63%, 06/01/30 (Call 06/01/25)(a)

    1,735       1,488,202  

Fortrea Holdings Inc., 7.50%, 07/01/30
(Call 07/01/26)(a)

    840       822,150  
   

 

 

 
      2,796,121  
Holding Companies - Diversified — 0.2%            

Compass Group Diversified Holdings LLC, 5.25%,
04/15/29 (Call 04/15/24)(a)

    405       371,935  
   

 

 

 
Home Builders — 0.8%            

Brookfield Residential Properties Inc./Brookfield
Residential U.S. LLC

   

4.88%, 02/15/30 (Call 02/15/25)(a)

    925       763,950  

6.25%, 09/15/27 (Call 10/03/23)(a)(b)

    940       862,695  
   

 

 

 
      1,626,645  
Housewares — 0.4%            

Newell Brands Inc., 6.00%, 04/01/46 (Call 10/01/45)

    1,072       869,947  
   

 

 

 
Insurance — 0.2%            

NMI Holdings Inc., 7.38%, 06/01/25
(Call 03/30/25)(a)

    336       338,275  
   

 

 

 
Internet — 0.8%            

Gen Digital Inc., 5.00%, 04/15/25 (Call 09/11/23)(a)

    855       838,148  

GrubHub Holdings Inc., 5.50%, 07/01/27
(Call 09/11/23)(a)

     1,175       812,219  
   

 

 

 
      1,650,367  
Iron & Steel — 1.6%            

Cleveland-Cliffs Inc., 5.88%, 06/01/27
(Call 10/02/23)(b)

    740       712,632  

Mineral Resources Ltd.

   

8.13%, 05/01/27 (Call 10/02/23)(a)

    938       935,672  

8.50%, 05/01/30 (Call 05/01/25)(a)(b)

    785       787,807  

U.S. Steel Corp., 6.88%, 03/01/29 (Call 03/01/24)

    665       662,440  
   

 

 

 
       3,098,551  
Leisure Time — 4.4%            

Carnival Corp.

   

6.00%, 05/01/29 (Call 11/01/24)(a)

    726       655,488  

7.63%, 03/01/26 (Call 03/01/24)(a)

    1,798       1,792,541  

9.88%, 08/01/27 (Call 02/01/24)(a)

    545       576,075  

10.50%, 06/01/30 (Call 06/01/25)(a)(b)

    195       207,700  

NCL Corp. Ltd., 5.88%, 02/15/27 (Call 02/15/24)(a)(b)

    1,545       1,497,179  

 

 

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

  9


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® High Yield Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Leisure Time (continued)            

NCL Finance Ltd., 6.13%, 03/15/28
(Call 12/15/27)(a)

  $ 20     $ 18,032  

Royal Caribbean Cruises Ltd.

   

4.25%, 07/01/26 (Call 01/01/26)(a)

    805       750,541  

5.50%, 08/31/26 (Call 02/28/26)(a)

    1,805       1,729,582  

11.63%, 08/15/27 (Call 08/15/24)(a)

    585       637,431  

Vista Outdoor Inc., 4.50%, 03/15/29
(Call 03/15/24)(a)(b)

    895       745,953  
   

 

 

 
      8,610,522  
Lodging — 1.5%            

Genting New York LLC, 3.30%, 02/15/26
(Call 01/15/26)(a)

    835       744,255  

Las Vegas Sands Corp., 3.20%, 08/08/24
(Call 07/08/24)

    66       63,899  

Travel + Leisure Co.

   

4.50%, 12/01/29 (Call 09/01/29)(a)(b)

    1,065       916,603  

6.63%, 07/31/26 (Call 04/30/26)(a)

    885       878,327  

Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.

   

5.25%, 05/15/27 (Call 02/15/27)(a)(b)

    175       165,641  

5.50%, 03/01/25 (Call 12/01/24)(a)

    187       184,734  
   

 

 

 
      2,953,459  
Machinery — 1.3%            

GrafTech Finance Inc., 4.63%, 12/15/28
(Call 12/15/23)(a)(b)

    902       708,070  

GrafTech Global Enterprises Inc., 9.88%,
12/15/28 (Call 12/15/25)(a)(b)

    635       619,125  

Vertiv Group Corp., 4.13%, 11/15/28
(Call 11/15/24)(a)

    1,335       1,198,512  
   

 

 

 
      2,525,707  
Manufacturing — 0.5%            

LSB Industries Inc., 6.25%, 10/15/28
(Call 10/15/24)(a)

    1,100       1,006,007  
   

 

 

 
Media — 7.5%            

CCO Holdings LLC/CCO Holdings Capital Corp.

   

4.25%, 01/15/34 (Call 01/15/28)(a)

    1,670       1,278,881  

4.50%, 06/01/33 (Call 06/01/27)(a)(b)

    1,460       1,152,481  

4.75%, 02/01/32 (Call 02/01/27)(a)(b)

    200       165,500  

Directv Financing LLC/Directv Financing Co-Obligor Inc., 5.88%, 08/15/27
(Call 10/02/23)(a)

     1,605       1,422,380  

GCI LLC, 4.75%, 10/15/28 (Call 10/15/23)(a)

    971       842,343  

Sirius XM Radio Inc.

   

3.88%, 09/01/31 (Call 09/01/26)(a)(b)

    505       393,047  

4.13%, 07/01/30 (Call 07/01/25)(a)

    1,080       880,448  

5.50%, 07/01/29 (Call 07/01/24)(a)

    1,530       1,377,391  

TEGNA Inc.

   

4.63%, 03/15/28 (Call 10/02/23)

    1,675       1,496,048  

5.00%, 09/15/29 (Call 09/15/24)

    520       457,600  

Telenet Finance Luxembourg Notes Sarl, 5.50%,
03/01/28 (Call 09/11/23)(a)

    1,600       1,460,800  

Townsquare Media Inc., 6.88%, 02/01/26
(Call 10/02/23)(a)(b)

    790       760,375  

UPC Broadband Finco BV, 4.88%, 07/15/31
(Call 07/15/26)(a)

    1,680       1,386,588  

UPC Holding BV, 5.50%, 01/15/28
(Call 09/11/23)(a)

    255       226,950  

Urban One Inc., 7.38%, 02/01/28
(Call 02/01/24)(a)

    1,360       1,182,594  

VTR Finance NV, 6.38%, 07/15/28
(Call 07/15/24)(a)

    500       227,574  
   

 

 

 
       14,711,000  
Mining — 4.2%            

Azul Secured Finance LLP

   

10.88%, 05/28/30(a)

    645       549,430  

11.93%, 08/28/28(a)(b)

    1,170       1,161,106  

Eldorado Gold Corp., 6.25%, 09/01/29
(Call 09/01/24)(a)

    900       768,843  

Endeavour Mining PLC, 5.00%, 10/14/26
(Call 10/14/23)(a)(b)

    855       750,262  
Security   Par
(000)
    Value  
Mining (continued)            

First Quantum Minerals Ltd.

   

6.88%, 03/01/26 (Call 09/11/23)(a)(b)

  $ 800     $ 788,096  

7.50%, 04/01/25 (Call 09/11/23)(a)

    1,339       1,336,822  

Hecla Mining Co., 7.25%, 02/15/28 (Call 09/18/23)

    625       613,703  

IAMGOLD Corp., 5.75%, 10/15/28
(Call 10/15/23)(a)

    835       645,873  

Stillwater Mining Co.

   

4.00%, 11/16/26 (Call 11/16/23)(a)(b)

    980       861,175  

4.50%, 11/16/29 (Call 11/16/25)(a)(b)

    930       732,375  
   

 

 

 
      8,207,685  
Office Furnishings — 0.3%            

Steelcase Inc., 5.13%, 01/18/29 (Call 10/18/28)(b)

    750       663,241  
   

 

 

 
Oil & Gas — 10.1%            

Antero Resources Corp., 7.63%, 02/01/29
(Call 02/01/24)(a)

    546       559,545  

Baytex Energy Corp.

   

8.50%, 04/30/30(a)

    950       963,249  

8.75%, 04/01/27 (Call 10/03/23)(a)

    680       695,913  

California Resources Corp., 7.13%, 02/01/26
(Call 10/02/23)(a)(b)

    855       857,196  

Civitas Resources Inc., 5.00%, 10/15/26
(Call 10/15/23)(a)

    396       375,820  

CNX Resources Corp.

   

6.00%, 01/15/29 (Call 01/15/24)(a)(b)

    480       457,136  

7.25%, 03/14/27 (Call 10/02/23)(a)

    469       468,520  

7.38%, 01/15/31 (Call 01/15/26)(a)(b)

    725       723,652  

Comstock Resources Inc., 6.75%, 03/01/29
(Call 03/01/24)(a)(b)

    695       650,295  

Crescent Energy Finance LLC, 9.25%, 02/15/28
(Call 02/15/25)(a)

    640       654,701  

Earthstone Energy Holdings LLC, 8.00%, 04/15/27
(Call 04/15/24)(a)

    820       836,966  

Energean PLC, 6.50%, 04/30/27 (Call 10/30/23)(a)

    710       648,122  

Gulfport Energy Corp., 8.00%, 05/17/26
(Call 05/17/24)(b)

    415       421,445  

Harbour Energy PLC, 5.50%, 10/15/26
(Call 10/15/23)(a)

    745       695,644  

Independence Energy Finance LLC, 7.25%, 05/01/26 (Call 10/02/23)(a)

    1,055       1,039,301  

Ithaca Energy North Sea PLC, 9.00%, 07/15/26
(Call 10/02/23)(a)

    1,010       967,321  

Kosmos Energy Ltd.

   

7.13%, 04/04/26 (Call 09/11/23)(a)

    1,045       958,787  

7.50%, 03/01/28 (Call 03/01/24)(a)

    770       677,677  

Magnolia Oil & Gas Operating LLC/Magnolia Oil & Gas Finance Corp., 6.00%, 08/01/26
(Call 09/11/23)(a)

    165       159,843  

Matador Resources Co., 5.88%, 09/15/26
(Call 09/18/23)

     1,473       1,436,673  

Northern Oil and Gas Inc., 8.13%, 03/01/28
(Call 03/01/24)(a)

    1,100       1,102,651  

Oasis Petroleum Inc., 6.38%, 06/01/26
(Call 10/02/23)(a)

    365       359,751  

Patterson-UTI Energy Inc., 3.95%, 02/01/28
(Call 11/01/27)(b)

    500       458,735  

PBF Holding Co. LLC/PBF Finance Corp.

   

6.00%, 02/15/28 (Call 10/02/23)(b)

    696       658,353  

7.25%, 06/15/25 (Call 09/13/23)(b)

    975       975,067  

Sunoco LP/Sunoco Finance Corp.,
6.00%, 04/15/27 (Call 10/02/23)

    435       430,451  

Talos Production Inc., 12.00%, 01/15/26
(Call 09/18/23)(b)

    880       917,400  

Tullow Oil PLC, 10.25%, 05/15/26
(Call 10/02/23)(a)

    950       782,838  
   

 

 

 
       19,933,052  
Oil & Gas Services — 2.6%            

Archrock Partners LP/Archrock Partners Finance Corp.

   

6.25%, 04/01/28 (Call 10/02/23)(a)

    280       267,301  

 

 

10  

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


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® High Yield Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Oil & Gas Services (continued)            

6.88%, 04/01/27 (Call 10/02/23)(a)

  $ 670     $ 658,711  

Bristow Group Inc., 6.88%, 03/01/28 (Call 03/01/24)(a)

    376       351,703  

CGG SA, 8.75%, 04/01/27 (Call 04/01/24)(a)(b)

    840       722,898  

USA Compression Partners LP/USA Compression

   

Finance Corp.

6.88%, 04/01/26 (Call 10/02/23)

    1,035       1,023,377  

6.88%, 09/01/27 (Call 10/02/23)

    595       580,022  

Weatherford International Ltd., 8.63%, 04/30/30
(Call 10/30/24)(a)

    1,445       1,479,979  
   

 

 

 
      5,083,991  
Packaging & Containers — 0.7%            

Berry Global Inc., 5.63%, 07/15/27
(Call 10/02/23)(a)(b)

    710       695,977  

Graham Packaging Co. Inc., 7.13%, 08/15/28

(Call 10/02/23)(a)

    820       715,085  
   

 

 

 
      1,411,062  
Pharmaceuticals — 1.5%            

Bausch Health Americas Inc., 8.50%, 01/31/27
(Call 10/03/23)(a)

    499       277,569  

Bausch Health Companies Inc.
6.13%, 02/01/27 (Call 02/01/24)(a)

    622       408,965  

6.25%, 02/15/29 (Call 02/15/24)(a)

    165       72,187  

Elanco Animal Health Inc., 6.65%, 08/28/28
(Call 05/28/28)(b)

    1,080       1,065,150  

Grifols Escrow Issuer SA, 4.75%, 10/15/28
(Call 10/15/24)(a)

    1,275       1,118,596  
   

 

 

 
      2,942,467  
Pipelines — 3.2%            

Antero Midstream Partners LP/Antero Midstream

   

Finance Corp.

5.75%, 03/01/27 (Call 09/18/23)(a)

    790       765,679  

7.88%, 05/15/26 (Call 09/18/23)(a)

    744       756,937  

Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp.

   

5.75%, 04/01/25 (Call 10/02/23)

    557       552,282  

8.00%, 04/01/29 (Call 04/01/24)(a)

    635       656,156  

EnLink Midstream Partners LP, 4.15%, 06/01/25
(Call 03/01/25)

    595       575,853  

EQM Midstream Partners LP, 6.50%, 07/15/48
(Call 01/15/48)

    565       512,877  

Holly Energy Partners LP/Holly Energy Finance Corp.,
5.00%, 02/01/28 (Call 09/18/23)(a)

    750       703,549  

New Fortress Energy Inc.
6.50%, 09/30/26 (Call 10/02/23)(a)

    1,570       1,459,351  

6.75%, 09/15/25 (Call 09/21/23)(a)

    438       423,318  
   

 

 

 
      6,406,002  
Real Estate — 0.6%            

Howard Hughes Corp. (The), 4.13%, 02/01/29
(Call 02/01/24)(a)

    260       214,500  

Kennedy-Wilson Inc.
4.75%, 03/01/29 (Call 03/01/24)

    1,055       847,713  

4.75%, 02/01/30 (Call 09/01/24)(b)

    245       188,741  
   

 

 

 
      1,250,954  
Real Estate Investment Trusts — 5.3%            

Apollo Commercial Real Estate Finance Inc., 4.63%,
06/15/29 (Call 06/15/24)(a)(b)

    915       717,561  

Brookfield Property REIT Inc./BPR Cumulus LLC/BPR

   

Nimbus LLC/GGSI Sellco LL

4.50%, 04/01/27 (Call 10/02/23)(a)(b)

    367       306,445  

5.75%, 05/15/26 (Call 09/11/23)(a)

    1,521       1,395,266  
Security   Par
(000)
    Value  
Real Estate Investment Trusts (continued)            

Iron Mountain Inc.
4.50%, 02/15/31 (Call 02/15/26)(a)(b)

  $ 270     $ 231,943  

5.25%, 03/15/28 (Call 09/11/23)(a)

    120       112,508  

5.63%, 07/15/32 (Call 07/15/26)(a)

    315       282,675  

Office Properties Income Trust, 4.50%, 02/01/25
(Call 11/01/24)(b)

    1,100       983,483  

Park Intermediate Holdings LLC/PK Domestic

   

Property LLC/PK Finance Co-Issuer

4.88%, 05/15/29 (Call 05/15/24)(a)

    140       121,450  

5.88%, 10/01/28 (Call 10/02/23)(a)(b)

    1,014       937,927  

7.50%, 06/01/25 (Call 10/02/23)(a)

    545       545,620  

RLJ Lodging Trust LP
3.75%, 07/01/26 (Call 10/02/23)(a)

    735       673,444  

4.00%, 09/15/29 (Call 09/15/24)(a)(b)

    825       689,935  

Service Properties Trust, 4.75%, 10/01/26
(Call 08/01/26)

    765       664,955  

Uniti Group LP/Uniti Group Finance Inc./CSL Capital LLC
6.50%, 02/15/29 (Call 02/15/24)(a)

    975       665,438  

10.50%, 02/15/28 (Call 09/15/25)(a)

    1,415       1,411,653  

XHR LP, 6.38%, 08/15/25 (Call 09/11/23)(a)

    697       688,631  
   

 

 

 
      10,428,934  
Retail — 5.7%            

Arko Corp., 5.13%, 11/15/29 (Call 11/15/24)(a)(b)

    775       636,500  

Bath & Body Works Inc.
6.75%, 07/01/36(b)

    690       636,950  

6.88%, 11/01/35(b)

    1,405       1,313,730  

Brinker International Inc., 8.25%, 07/15/30
(Call 06/27/26)(a)

    510       501,075  

Carvana Co.
5.50%, 04/15/27 (Call 04/15/24)(a)

    1,075       784,750  

5.63%, 10/01/25 (Call 09/11/23)(a).

    675       586,917  

5.88%, 10/01/28 (Call 10/02/23)(a)

    950       584,250  

10.25%, 05/01/30 (Call 05/01/27)(a)

    375       290,702  

FirstCash Inc.
4.63%, 09/01/28 (Call 10/02/23)(a)

    769       683,957  

5.63%, 01/01/30 (Call 01/01/25)(a)(b)

    860       780,735  

Gap Inc. (The)
3.63%, 10/01/29 (Call 10/01/24)(a)(b)

    1,590       1,210,440  

3.88%, 10/01/31 (Call 10/01/26)(a)(b)

    765       554,361  

Kohl’s Corp., 4.63%, 05/01/31 (Call 02/01/31)(b)

    650       478,563  

Macy’s Retail Holdings LLC, 6.13%, 03/15/32
(Call 03/15/27)(a)(b)

    410       351,575  

Nordstrom Inc., 5.00%, 01/15/44
(Call 07/15/43)

    382       242,570  

QVC Inc.
4.38%, 09/01/28 (Call 06/01/28)

    1,140       644,999  

4.45%, 02/15/25 (Call 11/15/24)(b)

    215       193,292  

4.75%, 02/15/27 (Call 11/15/26)(b)

    1,300       858,125  
   

 

 

 
      11,333,491  
Software — 1.1%            

MicroStrategy Inc., 6.13%, 06/15/28
(Call 06/15/24)(a)(b)

    910       814,654  

ROBLOX Corp., 3.88%, 05/01/30
(Call 11/01/24)(a)(b)

    1,759       1,451,181  
   

 

 

 
      2,265,835  
Telecommunications — 1.0%            

Frontier Communications Holdings LLC
6.75%, 05/01/29 (Call 05/01/24)(a)

    1,290       1,001,124  

8.63%, 03/15/31 (Call 03/15/26)(a)

    200       192,610  

8.75%, 05/15/30 (Call 05/15/25)(a)

    853       829,060  
   

 

 

 
      2,022,794  

 

 

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

  11


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® High Yield Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par/
Shares
(000)
    Value  
Trucking & Leasing — 0.9%            

Fortress Transportation and Infrastructure Investors LLC 5.50%, 05/01/28
(Call 05/01/24)(a)

  $ 1,555     $ 1,444,462  

6.50%, 10/01/25 (Call 10/02/23)(a)

    285       281,418  
   

 

 

 
      1,725,880  
   

 

 

 

Total Long-Term Investments — 96.3%
(Cost: $193,058,217)

      189,942,262  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 23.4%            

BlackRock Cash Funds: Institutional, SL Agency
Shares, 5.52%(d)(e)(f)

    43,391       43,403,529  

BlackRock Cash Funds: Treasury, SL Agency
Shares, 5.31%(d)(e)

    2,680       2,680,000  
   

 

 

 

Total Short-Term Securities — 23.4%
(Cost: $46,072,844)

      46,083,529  
   

 

 

 
Security   Par/
Shares
(000)
    Value  
Money Market Funds (continued)            

Total Investments — 119.7%
(Cost: $239,131,061)

    $ 236,025,791  

Liabilities in Excess of Other Assets — (19.7)%

      (38,897,444
   

 

 

 

NetAssets — 100.0%

    $ 197,128,347  
   

 

 

 

 

(a)

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

(b)

All or a portion of this security is on loan.

(c)

Variable rate security. Interest rate resets periodically. The rate shown is the effective interest rate as of period end. Security description also includes the reference rate and spread if published and available.

(d)

Affiliate of the Fund.

(e)

Annualized 7-day yield as of period end.

(f)

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

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended August 31, 2023 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 
Affiliated Issuer   Value at
02/28/23
    Purchases
at Cost
    Proceeds
from Sale
    Net Realized
Gain (Loss)
    Change in
Unrealized
Appreciation
(Depreciation)
    Value at
08/31/23
    Shares
Held at
08/31/23
(000)
    Income     Capital Gain
Distributions from
Underlying Funds
 

 

 

BlackRock Cash Funds: Institutional, SL Agency Shares

  $ 24,449,304     $ 18,962,419 (a)    $     $ (4,647   $ (3,547)     $ 43,403,529       43,391     $ 132,996 (b)    $  

BlackRock Cash Funds: Treasury, SL Agency Shares

    1,280,000       1,400,000 (a)                         2,680,000       2,680       32,230        
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 
        $ (4,647)     $ (3,547)     $ 46,083,529       $ 165,226     $  
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 

 

  (a)

Represents net amount purchased (sold).

 
  (b)

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Fair Value Hierarchy as of Period End

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

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

 

 

 
     Level 1        Level 2        Level 3        Total  

 

 

Assets

                 

Investments

                 

Long-Term Investments

                 

Corporate Bonds & Notes

   $        $ 189,942,262        $        $ 189,942,262  

Short-Term Securities

                 

Money Market Funds

     46,083,529                            46,083,529  
  

 

 

      

 

 

      

 

 

      

 

 

 
   $  46,083,529        $ 189,942,262        $        $  236,025,791  
  

 

 

      

 

 

      

 

 

      

 

 

 

See notes to financial statements.

 

 

12  

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


Schedule of Investments (unaudited)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security  

Par

(000)

    Value  

Corporate Bonds & Notes

   
Aerospace & Defense — 2.0%            

Boeing Co. (The)
3.25%, 02/01/35 (Call 11/01/34)(a)

  $ 625     $ 501,770  

5.15%, 05/01/30 (Call 02/01/30)

    1,223       1,203,230  

5.71%, 05/01/40 (Call 11/01/39)

    164       159,438  

5.93%, 05/01/60 (Call 11/01/59)

    770       743,263  

L3Harris Technologies Inc., 4.40%, 06/15/28
(Call 03/15/28)

    1,200       1,153,773  

Northrop Grumman Corp., 4.75%, 06/01/43

    285       258,869  

RTX Corp.
4.50%, 06/01/42

    905       789,285  

4.88%, 10/15/40

    290       265,250  
   

 

 

 
      5,074,878  
Agriculture — 2.4%            

Altria Group Inc.
3.40%, 05/06/30 (Call 02/06/30)

    130       114,204  

5.38%, 01/31/44(a)

    1,023       949,882  

5.80%, 02/14/39 (Call 08/14/38)

    1,027       1,000,655  

BAT Capital Corp.
2.73%, 03/25/31 (Call 12/25/30)

    685       542,360  

4.74%, 03/16/32 (Call 12/16/31)

    110       99,454  

4.91%, 04/02/30 (Call 01/02/30)

    314       295,708  

7.75%, 10/19/32 (Call 07/19/32)

    270       292,986  

BAT International Finance PLC, 4.45%, 03/16/28
(Call 02/16/28)

    226       214,255  

Philip Morris International Inc.
5.38%, 02/15/33 (Call 11/15/32)

    620       612,227  

6.38%, 05/16/38

    995       1,068,876  

Reynolds American Inc.
5.70%, 08/15/35 (Call 02/15/35)

    397       367,194  

5.85%, 08/15/45 (Call 02/15/45)

    748       649,764  
   

 

 

 
      6,207,565  
Auto Parts & Equipment — 0.4%            

Aptiv PLC, 3.25%, 03/01/32 (Call 12/01/31)(a)

    1,150       975,172  
   

 

 

 
Banks — 15.2%            

Bank of America Corp.

   

2.88%, 10/22/30 (Call 10/22/29),
(3-mo. SOFR + 1.452%)(b)

     1,473       1,263,702  

3.19%, 07/23/30 (Call 07/23/29),
(3-mo. SOFR + 1.442%)(b)

    1,380       1,211,529  

3.71%, 04/24/28 (Call 04/24/27),
(3-mo. SOFR + 1.774%)(b)

    1,000       936,075  

3.82%, 01/20/28 (Call 01/20/27),
(3-mo. SOFR + 1.837%)(b)

    300       282,826  

3.97%, 03/05/29 (Call 03/05/28),
(3-mo. SOFR + 1.332%)(b)

    603       563,512  

3.97%, 02/07/30 (Call 02/07/29),
(3-mo. SOFR + 1.472%)(b)

    1,410       1,298,175  

4.30%, (Call 01/28/25),
(3-mo. SOFR + 2.926%)(a)(b)(c)

    1,090       988,724  

6.10%, (Call 03/17/25),
(3-mo. SOFR + 4.160%)(b)(c)

    1,215       1,194,269  

Bank of New York Mellon Corp. (The),
Series F, 4.63%, (Call 09/20/26), (3-mo. SOFR + 3.393%)(b)(c)

    1,400       1,256,239  

Citigroup Inc.
3.30%, 04/27/25

    1,205       1,164,006  

3.98%, 03/20/30 (Call 03/20/29),

   

 (3-mo. SOFR + 1.600%)(b)

    359       330,618  
Security  

Par

(000)

    Value  
Banks (continued)            

Goldman Sachs Group Inc.,
3.81%, 04/23/29 (Call 04/23/28),
 (3-mo. SOFR + 1.420%)(b)

  $ 1,278     $ 1,182,540  

4.02%, 10/31/38 (Call 10/31/37),
(3-mo. SOFR + 1.645%)(b)

    274       227,842  

4.22%, 05/01/29 (Call 05/01/28),
(3-mo. SOFR + 1.563%)(b)

    1,323       1,246,471  

HSBC Holdings PLC

   

3.97%, 05/22/30 (Call 05/22/29),
(3-mo. SOFR + 1.872%)(b)

    1,502       1,352,111  

4.04%, 03/13/28 (Call 03/13/27),
(3-mo. SOFR + 1.808%)(b)

    1,320       1,239,721  

4.58%, 06/19/29 (Call 06/19/28),
(3-mo. SOFR + 1.796%)(b)

    750       708,061  

5.40%, 08/11/33 (Call 08/11/32),
(1-day SOFR + 2.870%)(b)

    365       348,426  

7.39%, 11/03/28 (Call 11/03/27),
(1-day SOFR + 3.350%)(b)

    680       714,423  

JPMorgan Chase & Co.

   

1.95%, 02/04/32 (Call 02/04/31),
(1-day SOFR + 1.065%)(b)

    1,545       1,217,729  

2.74%, 10/15/30 (Call 10/15/29),
(3-mo. SOFR + 1.510%)(b)

    1,470       1,260,154  

3.96%, 11/15/48 (Call 11/15/47),
(3-mo. SOFR + 1.642%)(b)

    522       414,374  

Series HH, 4.60%, (Call 02/01/25),
(3-mo. SOFR + 3.125%)(b)(c)

    1,396       1,309,727  

Manufacturers & Traders Trust Co.
4.70%, 01/27/28 (Call 12/27/27)

     1,398       1,306,898  

5.40%, 11/21/25 (Call 10/21/25)

    294       287,152  

Morgan Stanley

   

2.70%, 01/22/31 (Call 01/22/30),
(1-day SOFR + 1.143%)(b)

    1,274       1,072,295  

3.59%, 07/22/28 (Call 07/22/27),
(3-mo. LIBOR US + 1.340%)(b)

    1,261       1,166,579  

3.62%, 04/01/31 (Call 04/01/30),
(1-day SOFR + 3.120%)(b)

    1,360       1,208,533  

3.77%, 01/24/29 (Call 01/24/28),
(3-mo. SOFR + 1.402%)(b)

    1,333       1,236,400  

4.43%, 01/23/30 (Call 01/23/29),
(3-mo. SOFR + 1.890%)(b)

    1,310       1,244,045  

PNC Financial Services Group Inc. (The)

   

5.58%, 06/12/29 (Call 06/12/28),
(1-day SOFR + 1.841%)(b)

    1,200       1,190,165  

6.04%, 10/28/33 (Call 10/28/32),
(1-day SOFR + 2.140%)(b)

    1,193       1,211,924  

Regions Financial Corp., 2.25%, 05/18/25
(Call 04/18/25)

    1,013       946,548  

Wells Fargo & Co.

   

2.88%, 10/30/30 (Call 10/30/29),
(3-mo. SOFR + 1.432%)(b)

    1,445       1,236,556  

3.20%, 06/17/27 (Call 06/17/26),
(3-mo. SOFR + 1.432%)(b)

    1,165       1,089,114  

4.48%, 04/04/31 (Call 04/04/30),
(3-mo. SOFR + 4.032%)(b)

    580       542,621  

4.90%, 07/25/33 (Call 07/25/32),
(1-day SOFR + 2.100%)(b)

    1,270       1,194,990  

5.39%, 04/24/34, (1-day SOFR + 2.020%)(b)

    595       579,535  

5.88%, (Call 06/15/25),
(3-mo. LIBOR US + 3.990%)(a)(b)(c)

    1,210       1,199,413  
   

 

 

 
      38,424,022  

 

 

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

  13


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Beverages — 0.7%            

Anheuser-Busch Companies LLC/Anheuser-Busch InBev Worldwide Inc., 4.70%, 02/01/36
(Call 08/01/35)

  $  1,145     $  1,095,890  

Anheuser-Busch InBev Worldwide Inc.
5.45%, 01/23/39 (Call 07/23/38)

    100       101,512  

8.20%, 01/15/39

    412       526,570  
   

 

 

 
      1,723,972  
Biotechnology — 2.7%            

Amgen Inc., 4.40%, 05/01/45 (Call 11/01/44)

    504       424,077  

Biogen Inc., 2.25%, 05/01/30 (Call 02/01/30)

    1,540       1,267,771  

Bio-Rad Laboratories Inc., 3.70%, 03/15/32

   

(Call 12/15/31)

    580       508,050  

Gilead Sciences Inc.

   

4.80%, 04/01/44 (Call 10/01/43)

    1,105       1,016,468  

5.65%, 12/01/41 (Call 06/01/41)

    520       530,311  

Illumina Inc.

   

2.55%, 03/23/31 (Call 12/23/30)

    490       393,200  

5.75%, 12/13/27 (Call 11/13/27)

    195       194,501  

Regeneron Pharmaceuticals Inc., 1.75%, 09/15/30

   

(Call 06/15/30)

    1,505       1,197,748  

Royalty Pharma PLC

   

1.20%, 09/02/25 (Call 08/02/25)

    1,355       1,234,284  

1.75%, 09/02/27 (Call 07/02/27)

    105       90,589  

2.15%, 09/02/31 (Call 06/02/31)

    35       27,160  

3.55%, 09/02/50 (Call 03/02/50)(a)

    125       81,723  
   

 

 

 
      6,965,882  
Building Materials — 0.5%            

Eagle Materials Inc., 2.50%, 07/01/31 (Call 04/01/31)

    1,155       932,530  

Fortune Brands Innovations Inc., 5.88%, 06/01/33

   

(Call 03/01/33)

    395       393,430  
   

 

 

 
      1,325,960  
Chemicals — 1.4%            

Albemarle Corp., 5.05%, 06/01/32 (Call 03/01/32)(a)

    366       344,525  

Dow Chemical Co. (The), 5.55%, 11/30/48
(Call 05/30/48)

    552       526,450  

DuPont de Nemours Inc., 5.32%, 11/15/38
(Call 05/15/38)

    501       491,129  

Eastman Chemical Co., 5.75%, 03/08/33
(Call 12/08/32)

    315       310,680  

FMC Corp., 5.65%, 05/18/33 (Call 02/18/33)

    300       286,040  

Huntsman International LLC, 4.50%, 05/01/29

   

(Call 02/01/29)

    1,035       958,467  

LYB International Finance BV, 4.88%, 03/15/44

   

(Call 09/15/43)(a)

    499       422,651  

LYB International Finance III LLC, 5.63%, 05/15/33

   

(Call 02/15/33)

    150       148,560  

LyondellBasell Industries NV, 4.63%, 02/26/55

   

(Call 08/26/54)

    55       43,172  
   

 

 

 
      3,531,674  
Commercial Services — 1.5%            

Equifax Inc., 2.35%, 09/15/31 (Call 06/15/31)

    960       752,374  

Global Payments Inc. 2.15%, 01/15/27 (Call 12/15/26)

    950       846,664  

3.20%, 08/15/29 (Call 05/15/29)

    530       461,381  

5.30%, 08/15/29 (Call 06/15/29)

    325       317,215  

Quanta Services Inc. 2.35%, 01/15/32 (Call 10/15/31)

    155       122,613  

2.90%, 10/01/30 (Call 07/01/30)

    1,425       1,201,692  
   

 

 

 
      3,701,939  
Computers — 2.2%            

Apple Inc., 2.40%, 08/20/50 (Call 02/20/50)(a)

    868       558,275  
Security   Par
(000)
    Value  
Computers (continued)            

Dell International LLC/EMC Corp.
8.10%, 07/15/36 (Call 01/15/36)

  $  1,055     $  1,212,073  

8.35%, 07/15/46 (Call 01/15/46)

    590       723,611  

HP Inc.
3.40%, 06/17/30 (Call 03/17/30)

    180       157,175  

5.50%, 01/15/33 (Call 10/15/32)

    920       893,134  

6.00%, 09/15/41(a)

    535       526,849  

Leidos Inc.
2.30%, 02/15/31 (Call 11/15/30)

    502       397,578  

4.38%, 05/15/30 (Call 02/15/30)

    977       900,611  

5.75%, 03/15/33 (Call 12/15/32)

    50       49,687  

Teledyne FLIR LLC, 2.50%, 08/01/30 (Call 05/01/30)

    190       156,781  
   

 

 

 
      5,575,774  
Distribution & Wholesale — 0.5%            

LKQ Corp.
5.75%, 06/15/28 (Call 05/15/28)(d)

    925       917,129  

6.25%, 06/15/33 (Call 03/15/33)(d)

    365       362,381  
   

 

 

 
      1,279,510  
Diversified Financial Services — 1.8%            

American Express Co., 3.55%, (Call 09/15/26),

   

(5-year CMT + 2.854%)(b)(c)

    1,507       1,254,578  

Charles Schwab Corp. (The)
1.15%, 05/13/26 (Call 04/13/26)

    545       485,163  

2.45%, 03/03/27 (Call 02/03/27)

    64       57,596  

5.38%, (Call 06/01/25), (5-year CMT + 4.971%)(a)(b)(c)

    1,343       1,295,995  

5.85%, 05/19/34 (Call 05/19/33),

   

(1-day SOFR + 2.500%)(b)

    450       450,350  

Raymond James Financial Inc., 4.95%, 07/15/46

    585       509,606  

Visa Inc., 2.00%, 08/15/50 (Call 02/15/50)(a)

    815       481,939  
   

 

 

 
      4,535,227  
Electric — 11.7%            

Ameren Illinois Co.
3.85%, 09/01/32 (Call 06/01/32)

    340       307,243  

4.95%, 06/01/33 (Call 03/01/33)

    335       328,107  

Avangrid Inc.
3.20%, 04/15/25 (Call 03/15/25)

    615       588,545  

3.80%, 06/01/29 (Call 03/01/29)

    950       862,218  

CenterPoint Energy Houston Electric LLC
4.95%, 04/01/33 (Call 01/01/33)

    300       294,958  

Series ai., 4.45%, 10/01/32 (Call 07/01/32)

    105       99,548  

Commonwealth Edison Co.
3.00%, 03/01/50 (Call 09/01/49)

    275       182,080  

4.00%, 03/01/48 (Call 09/01/47)

    150       120,795  

Connecticut Light & Power Co. (The), 4.00%, 04/01/48

   

(Call 10/01/47)

    960       781,547  

Consumers Energy Co.,
3.10%, 08/15/50 (Call 02/15/50)

    168       115,544  

Dominion Energy Inc.
4.35%, (Call 01/15/27), (5-year CMT + 3.195%)(a)(b)(c)

    1,435       1,212,211  

Series B, 4.65%, (Call 12/15/24),

   

(5-year CMT + 2.993%)(a)(b)(c)

    1,135       1,032,850  

DTE Electric Co.
2.95%, 03/01/50 (Call 09/01/49)

    165       109,480  

5.20%, 04/01/33 (Call 01/01/33)

    360       361,343  

Series A, 3.00%, 03/01/32 (Call 12/01/31)

    245       209,198  

Duke Energy Carolinas LLC
2.85%, 03/15/32 (Call 12/15/31)

    330       278,467  

3.20%, 08/15/49 (Call 02/15/49)

    875       601,357  

Duke Energy Corp., 3.75%, 09/01/46 (Call 03/01/46)

    165       120,748  

 

 

14  

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


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Electric (continued)            

Duke Energy Florida LLC, 2.40%, 12/15/31

   

(Call 09/15/31)

  $ 575     $ 469,265  

Duke Energy Indiana LLC

   

2.75%, 04/01/50 (Call 10/01/49)

    370       225,629  

5.40%, 04/01/53 (Call 10/01/52)

    285       277,011  

Series YYY, 3.25%, 10/01/49 (Call 04/01/49)

    265       180,501  

Duke Energy Progress LLC

   

2.00%, 08/15/31 (Call 05/15/31)

    480       382,132  

3.40%, 04/01/32 (Call 01/01/32)

    335       294,527  

3.45%, 03/15/29 (Call 12/15/28)

    330       303,143  

Edison International

   

5.25%, 11/15/28 (Call 10/15/28)

    380       370,987  

6.95%, 11/15/29 (Call 09/15/29)

    320       337,339  

Emera U.S. Finance LP, 4.75%, 06/15/46
(Call 12/15/45)

    1,500       1,174,037  

Enel Finance International NV, 4.63%, 06/15/27
(Call 05/15/27)(d)

    1,005       969,680  

Entergy Louisiana LLC

   

2.35%, 06/15/32 (Call 03/15/32)

    345       274,484  

4.00%, 03/15/33 (Call 12/15/32)

    683       612,798  

4.20%, 09/01/48 (Call 03/01/48)

    308       246,906  

Evergy Inc., 2.90%, 09/15/29 (Call 06/15/29)

    920       800,429  

Evergy Kansas Central Inc., 3.45%, 04/15/50

   

(Call 10/15/49)

    225       158,660  

Exelon Corp., 4.05%, 04/15/30 (Call 01/15/30)

    1,210       1,118,033  

Florida Power & Light Co. 2.45%, 02/03/32
(Call 11/03/31)

    1,325       1,098,579  

3.15%, 10/01/49 (Call 04/01/49)

    145       101,221  

3.95%, 03/01/48 (Call 09/01/47)

    895       726,719  

Fortis Inc./Canada, 3.06%, 10/04/26 (Call 07/04/26)

    1,245       1,154,770  

Georgia Power Co., 4.30%, 03/15/42

    90       75,322  

Kentucky Utilities Co., 3.30%, 06/01/50
(Call 12/01/49)

    238       163,886  

National Grid PLC, 5.81%, 06/12/33 (Call 03/12/33)

    990       991,943  

Oncor Electric Delivery Co. LLC
3.10%, 09/15/49 (Call 03/15/49)

    305       207,128  

4.55%, 09/15/32 (Call 06/15/32)

    440       419,116  

Pacific Gas and Electric Co.

   

5.90%, 06/15/32 (Call 03/15/32)

    327       313,003  

6.10%, 01/15/29 (Call 12/15/28)

    1,070       1,057,434  

6.15%, 01/15/33 (Call 10/15/32)

    540       525,875  

6.40%, 06/15/33 (Call 03/15/33)

    305       300,839  

Public Service Co. of Colorado, 1.88%, 06/15/31

   

(Call 12/15/30)

    1,198       945,347  

Public Service Electric & Gas Co., 3.10%, 03/15/32

   

(Call 12/15/31)(a)

    262       227,339  

San Diego Gas & Electric Co.

   

Series WWW, 2.95%, 08/15/51 (Call 02/15/51)

    740       482,996  

Series XXX, 3.00%, 03/15/32 (Call 12/15/31)

    75       63,864  

Sempra Energy, 4.88%, (Call 10/15/25),

   

(5-year CMT + 4.550%)(a)(b)(c)

    1,144       1,081,984  

Southern California Edison Co., 5.95%, 11/01/32

   

(Call 08/01/32)

    875       906,936  

Southern California Gas Co., 5.20%, 06/01/33

   

(Call 03/01/33)

    450       441,895  

Southern Co. (The)
4.40%, 07/01/46 (Call 01/01/46)

    755       621,759  

Series B, 4.00%, 01/15/51 (Call 10/15/25),

   

(5-year CMT + 3.733%)(b)

    1,345       1,247,240  
Security   Par
(000)
    Value  
Electric (continued)            

Union Electric Co.
2.15%, 03/15/32 (Call 12/15/31)

  $ 385     $ 304,584  

2.63%, 03/15/51 (Call 09/15/50)

    405       247,219  
   

 

 

 
      29,508,798  

Electronics — 0.8%

   

Jabil Inc., 4.25%, 05/15/27 (Call 04/15/27)

    300       286,616  

TD SYNNEX Corp.
1.75%, 08/09/26 (Call 07/09/26)

    520       458,370  

2.38%, 08/09/28 (Call 06/09/28)

    430       356,888  

Trimble Inc., 6.10%, 03/15/33 (Call 12/15/32)

    985       994,585  
   

 

 

 
      2,096,459  
Engineering & Construction — 0.3%            

Jacobs Engineering Group Inc.
5.90%, 03/01/33 (Call 12/01/32)

    335       331,444  

6.35%, 08/18/28 (Call 07/18/28)

    330       335,557  
   

 

 

 
      667,001  
Food — 1.1%            

Conagra Brands Inc.
4.85%, 11/01/28 (Call 08/01/28)

    284       276,467  

5.30%, 11/01/38 (Call 05/01/38)

    1,015       937,530  

Sysco Corp.
5.95%, 04/01/30 (Call 01/01/30)

    825       854,424  

6.60%, 04/01/50 (Call 10/01/49)

    607       669,259  
      2,737,680  
Gas — 0.8%            

National Fuel Gas Co.
2.95%, 03/01/31 (Call 12/01/30)

    345       277,515  

5.50%, 01/15/26 (Call 12/15/25)

    145       143,615  

NiSource Inc. 3.60%, 05/01/30 (Call 02/01/30)

    615       551,176  

4.38%, 05/15/47 (Call 11/15/46)

    1,180       967,878  
   

 

 

 
      1,940,184  
Health Care - Products — 2.3%            

DENTSPLY SIRONA Inc., 3.25%, 06/01/30
(Call 03/01/30).

    1,105       949,270  

HCA Inc. 3.13%, 03/15/27 (Call 02/15/27)

    70       64,332  

3.63%, 03/15/32 (Call 12/15/31)

    1,035       890,174  

Revvity Inc.
2.25%, 09/15/31 (Call 06/15/31)

    375       295,249  

3.30%, 09/15/29 (Call 06/15/29)

    1,196       1,063,396  

Smith & Nephew PLC, 2.03%, 10/14/30
(Call 07/14/30)(a)

    1,570       1,242,227  

STERIS Irish FinCo UnLtd Co.
2.70%, 03/15/31 (Call 12/15/30)(a)

    510       422,135  

3.75%, 03/15/51 (Call 09/15/50)

    495       361,043  

Zimmer Biomet Holdings Inc., 2.60%, 11/24/31

   

(Call 08/24/31)

    780       635,402  
   

 

 

 
      5,923,228  
Health Care - Services — 2.0%            

Centene Corp.
2.45%, 07/15/28 (Call 05/15/28)

    1,423       1,218,327  

3.38%, 02/15/30 (Call 02/15/25)

    705       603,337  

Elevance Health Inc., 4.65%, 01/15/43

    300       266,567  

HCA Inc. 3.38%, 03/15/29 (Call 01/15/29)

    315       280,843  

4.13%, 06/15/29 (Call 03/15/29)

    1,300       1,200,819  

5.13%, 06/15/39 (Call 12/15/38)

    40       36,284  

Humana Inc.
3.13%, 08/15/29 (Call 05/15/29)

    140       124,449  

 

 

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

  15


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  
Health Care - Services (continued)            

4.95%, 10/01/44 (Call 04/01/44)

  $ 342     $ 303,118  

IQVIA Inc., 5.70%, 05/15/28 (Call 04/15/28)(d)

    800       797,030  

Laboratory Corp. of America Holdings, 4.70%, 02/01/45

   

(Call 08/01/44)

    173       148,223  
   

 

 

 
      4,978,997  
Holding Companies - Diversified — 2.4%            

Ares Capital Corp.
3.20%, 11/15/31 (Call 08/15/31)

    391       303,810  

3.88%, 01/15/26 (Call 12/15/25)

    1,363       1,274,892  

Blackstone Secured Lending Fund
2.85%, 09/30/28 (Call 07/30/28)

    470       388,207  

3.63%, 01/15/26 (Call 12/15/25)

    1,065       986,557  

Blue Owl Capital Corp.
2.88%, 06/11/28 (Call 04/11/28)

    165       136,328  

3.40%, 07/15/26 (Call 06/15/26)

    1,395       1,256,481  

FS KKR Capital Corp.
3.13%, 10/12/28 (Call 08/12/28)(a)

    1,140       931,121  

3.40%, 01/15/26 (Call 12/15/25)

    480       440,142  

Golub Capital BDC Inc.,
2.50%, 08/24/26 (Call 07/24/26)

    420       369,070  
   

 

 

 
      6,086,608  
Home Builders — 0.7%            

Lennar Corp., 4.75%, 11/29/27 (Call 05/29/27)

    765       741,762  

NVR Inc., 3.00%, 05/15/30 (Call 11/15/29)

    1,295       1,108,225  
   

 

 

 
      1,849,987  
Household Products & Wares — 0.1%            

Avery Dennison Corp., 4.88%, 12/06/28
(Call 09/06/28)

    150       146,632  
   

 

 

 
Insurance — 3.7%            

American International Group Inc.
5.13%, 03/27/33 (Call 12/27/32)(a)

    915       885,038  

Series A-9, 5.75%, 04/01/48 (Call 04/01/28),

   

(3-mo. LIBOR US + 2.868%)(b)

    710       670,418  

Brown & Brown Inc.
2.38%, 03/15/31 (Call 12/15/30)

    475       379,717  

4.20%, 03/17/32 (Call 12/17/31)

    380       340,084  

CNA Financial Corp.
3.90%, 05/01/29 (Call 02/01/29)

    155       144,257  

5.50%, 06/15/33 (Call 03/15/33)

    300       293,775  

Everest Reinsurance Holdings Inc.,
3.50%, 10/15/50

   

(Call 04/15/50)

    925       633,837  

Fairfax Financial Holdings Ltd.
3.38%, 03/03/31 (Call 12/03/30)

    380       318,510  

5.63%, 08/16/32 (Call 05/16/32)

    1,015       979,621  

Fidelity National Financial Inc.
2.45%, 03/15/31 (Call 12/15/30)

    430       341,947  

3.40%, 06/15/30 (Call 03/15/30)(a)

    235       204,230  

First American Financial Corp., 2.40%, 08/15/31
(Call 05/15/31)

    475       364,211  

Markel Group Inc.
3.45%, 05/07/52 (Call 11/07/51)

    400       271,310  

5.00%, 05/20/49 (Call 11/20/48)

    190       166,294  

Old Republic International Corp.,
3.85%, 06/11/51

   

(Call 12/11/50)

    440       306,738  

Prudential Financial Inc.
3.70%, 10/01/50 (Call 07/01/30),

   

 (5-year CMT + 3.035%)(b)

    776       660,373  

5.70%, 09/15/48 (Call 09/15/28),

   

 (3-mo. LIBOR US + 2.665%)(b)

    1,200       1,136,208  
Security   Par
(000)
    Value  
Insurance (continued)            

Willis North America Inc. 4.50%, 09/15/28
(Call 06/15/28)

  $ 178     $ 169,657  

4.65%, 06/15/27 (Call 05/15/27)

    915       886,090  

5.35%, 05/15/33 (Call 02/15/33)

    360       347,510  
   

 

 

 
      9,499,825  
Internet — 0.9%            

Alphabet Inc., 2.05%, 08/15/50 (Call 02/15/50)

    2,080       1,245,068  

VeriSign Inc., 2.70%, 06/15/31 (Call 03/15/31)

    1,135       929,235  
   

 

 

 
      2,174,303  
Iron & Steel — 0.6%            

ArcelorMittal SA 6.55%, 11/29/27 (Call 10/29/27)

    188       192,806  

6.80%, 11/29/32 (Call 08/29/32)

    1,200       1,232,829  
   

 

 

 
      1,425,635  
Lodging — 0.4%            

Marriott International Inc./MD, Series FF,
4.63%, 06/15/30 (Call 03/15/30)

    1,205       1,141,870  
   

 

 

 
Machinery — 0.6%            

nVent Finance Sarl, 5.65%, 05/15/33 (Call 02/15/33)

    300       290,351  

Westinghouse Air Brake Technologies Corp., 4.95%, 09/15/28
(Call 06/15/28)

    1,259       1,214,361  
   

 

 

 
      1,504,712  
Manufacturing — 1.0%            

Carlisle Companies Inc., 2.75%, 03/01/30
(Call 12/01/29)

    1,140       964,634  

General Electric Co.
5.88%, 01/14/38

    285       299,430  

6.75%, 03/15/32(a)

    1,059       1,180,977  

Textron Inc., 3.00%, 06/01/30 (Call 03/01/30)

    225       194,641  
   

 

 

 
      2,639,682  
Media — 0.7%            

Comcast Corp., 1.95%, 01/15/31 (Call 10/15/30)

    330       266,826  

FactSet Research Systems Inc., 3.45%, 03/01/32

   

 (Call 12/01/31)

    65       55,081  

Fox Corp.
4.71%, 01/25/29 (Call 10/25/28)

    80       77,174  

 5.48%, 01/25/39 (Call 07/25/38)

    1,158       1,050,940  

Walt Disney Co. (The), 6.65%, 11/15/37

    198       223,126  
   

 

 

 
      1,673,147  
Mining — 1.0%            

Freeport-McMoRan Inc.
4.63%, 08/01/30 (Call 08/01/25)

    220       203,465  

5.45%, 03/15/43 (Call 09/15/42)

    425       381,456  

Newmont Corp., 4.88%, 03/15/42 (Call 09/15/41)

    783       702,673  

Southern Copper Corp.
5.25%, 11/08/42

    65       60,118  

5.88%, 04/23/45(a)

    678       667,273  

6.75%, 04/16/40

    535       580,539  
   

 

 

 
      2,595,524  
Office & Business Equipment — 0.6%            

CDW LLC/CDW Finance Corp.
2.67%, 12/01/26 (Call 11/01/26)

    108       97,898  

3.28%, 12/01/28 (Call 10/01/28)

    370       324,461  

3.57%, 12/01/31 (Call 09/01/31)

    1,230       1,040,053  
   

 

 

 
      1,462,412  
Oil & Gas — 3.0%            

BP Capital Markets PLC
4.38%, (Call 06/22/25), (5-year CMT + 4.036%)(a)(b)(c)

    1,280       1,224,640  

 

 

16  

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


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security  

Par

(000)

    Value  
Oil & Gas (continued)            

4.88%, (Call 03/22/30),
(5-year CMT + 4.398%)(b)(c)

  $ 1,317     $ 1,192,694  

Canadian Natural Resources Ltd., 3.85%, 06/01/27

   

(Call 03/01/27)

    1,315       1,244,026  

Diamondback Energy Inc., 6.25%, 03/15/33

   

(Call 12/15/32)

    66       68,202  

EQT Corp., 5.70%, 04/01/28 (Call 03/01/28)

    300       298,669  

Occidental Petroleum Corp.
7.50%, 05/01/31

    560       606,761  

8.88%, 07/15/30 (Call 01/15/30)

    1,088       1,247,338  

Pioneer Natural Resources Co., 2.15%, 01/15/31

   

(Call 10/15/30)(a)

    585       474,082  

Valero Energy Corp., 6.63%, 06/15/37

    1,065       1,133,525  
   

 

 

 
      7,489,937  
Packaging & Containers — 0.5%            

Amcor Finance USA Inc.
3.63%, 04/28/26 (Call 01/28/26)

    184       174,416  

5.63%, 05/26/33 (Call 02/26/33)

    230       228,229  

Amcor Flexibles North America Inc., 2.69%, 05/25/31

   

(Call 02/25/31)

    1,172       953,565  
   

 

 

 
      1,356,210  
Pharmaceuticals — 2.9%            

AbbVie Inc. 4.50%, 05/14/35 (Call 11/14/34)

    597       561,654  

4.70%, 05/14/45 (Call 11/14/44)

    455       409,192  

4.85%, 06/15/44 (Call 12/15/43)

    100       91,420  

AstraZeneca PLC, 6.45%, 09/15/37

    923       1,038,220  

Cencora Inc., 2.70%, 03/15/31 (Call 12/15/30)

     1,414        1,189,417  

Cigna Group (The)
4.80%, 08/15/38 (Call 02/15/38)

    20       18,436  

4.80%, 07/15/46 (Call 01/16/46)

    1,109       984,647  

4.90%, 12/15/48 (Call 06/15/48)

    91       81,147  

CVS Health Corp.
3.25%, 08/15/29 (Call 05/15/29)

    545       487,129  

4.78%, 03/25/38 (Call 09/25/37)

    1,114       997,651  

5.13%, 07/20/45 (Call 01/20/45)

    152       135,404  

Johnson & Johnson
2.25%, 09/01/50 (Call 03/01/50)(a)

    1,905       1,200,508  

2.45%, 09/01/60 (Call 03/01/60)

    100       61,390  

Zoetis Inc., 4.70%, 02/01/43 (Call 08/01/42)

    200       181,323  
   

 

 

 
      7,437,538  
Pipelines — 8.4%            

Boardwalk Pipelines LP
3.40%, 02/15/31 (Call 11/15/30)

    185       157,726  

3.60%, 09/01/32 (Call 06/01/32)

    335       281,671  

Cheniere Corpus Christi Holdings LLC
3.70%, 11/15/29 (Call 05/18/29)(a)

    265       240,909  

5.13%, 06/30/27 (Call 01/01/27)

    1,235       1,221,871  

Cheniere Energy Inc., 4.63%, 10/15/28 (Call 10/15/23)

    1,330       1,251,939  

Cheniere Energy Partners LP
4.00%, 03/01/31 (Call 03/01/26)

    270       238,371  

4.50%, 10/01/29 (Call 10/01/24)

    1,345       1,241,027  

Enbridge Inc.
5.50%, 07/15/77 (Call 07/15/27),
(3-mo. SOFR + 3.680%)(b)

    1,245       1,117,833  

6.25%, 03/01/78 (Call 03/01/28),
(3-mo. SOFR + 3.903%)(b)

    885       824,347  

Energy Transfer LP
4.95%, 05/15/28 (Call 02/15/28)

    746       724,711  

5.25%, 04/15/29 (Call 01/15/29)

    1,235       1,206,631  
Security  

Par

(000)

    Value  
Pipelines (continued)            

5.75%, 02/15/33 (Call 11/15/32)

  $ 515     $ 512,030  

Enterprise Products Operating LLC,
Series E, 5.25%, 08/16/77 (Call 08/16/27),
(3-mo. SOFR + 3.295%)(b)

    1,445       1,271,369  

Kinder Morgan Inc.
4.30%, 03/01/28 (Call 12/01/27)

    1,124       1,071,441  

5.30%, 12/01/34 (Call 06/01/34)

    326       310,063  

MPLX LP
2.65%, 08/15/30 (Call 05/15/30)

    100       82,993  

4.50%, 04/15/38 (Call 10/15/37)

    1,090       923,463  

ONEOK Inc. 3.10%, 03/15/30 (Call 12/15/29)

    430       369,172  

3.40%, 09/01/29 (Call 06/01/29)

    345       304,747  

4.55%, 07/15/28 (Call 04/15/28)

    635       605,490  

6.10%, 11/15/32 (Call 08/15/32)

    440       446,947  

Plains All American Pipeline LP/PAA Finance Corp., 3.55%, 12/15/29 (Call 09/15/29)

    320       281,325  

Sabine Pass Liquefaction LLC
4.20%, 03/15/28 (Call 09/15/27)

    1,300       1,231,119  

4.50%, 05/15/30 (Call 11/15/29)

    360       338,779  

Targa Resources Corp.
4.88%, 02/01/31 (Call 02/01/26)

    1,455       1,336,387  

5.50%, 03/01/30 (Call 03/01/25)

    185       177,344  

Transcanada Trust
5.30%, 03/15/77 (Call 03/15/27),

   

(3 mo. LIBOR US + 3.208%)(b)

    1,492       1,298,040  

Series 16-A, 5.88%, 08/15/76 (Call 08/15/26),

   

(3 mo. LIBOR US + 4.640%)(b)

    843       777,375  

Western Midstream Operating LP
4.05%, 02/01/30 (Call 11/01/29)

     1,360       1,213,128  

6.15%, 04/01/33 (Call 01/01/33)

    290       288,552  
   

 

 

 
      21,346,800  
Real Estate — 0.1%            

CBRE Services Inc., 5.95%, 08/15/34
(Call 05/15/34)

    140       138,478  
   

 

 

 
Real Estate Investment Trusts — 7.0%            

American Homes 4 Rent LP, 3.63%, 04/15/32
(Call 01/15/32)

    435       372,676  

American Tower Corp.
2.90%, 01/15/30 (Call 10/15/29)

    600       511,124  

3.38%, 10/15/26 (Call 07/15/26)

    77       72,130  

3.55%, 07/15/27 (Call 04/15/27)

    180       166,904  

3.80%, 08/15/29 (Call 05/15/29)

    1,333       1,212,300  

3.95%, 03/15/29 (Call 12/15/28)

    65       59,804  

Brixmor Operating Partnership LP
4.05%, 07/01/30 (Call 04/01/30)

    450       406,535  

4.13%, 05/15/29 (Call 02/15/29)

    1,050       955,114  

Crown Castle International Corp.
3.65%, 09/01/27 (Call 06/01/27)

    65       60,553  

3.80%, 02/15/28 (Call 11/15/27)

    245       227,868  

CubeSmart LP,
2.25%, 12/15/28 (Call 10/15/28)

    405       342,967  

Digital Realty Trust LP
3.60%, 07/01/29 (Call 04/01/29)

    100       90,177  

3.70%, 08/15/27 (Call 05/15/27)

    1,165       1,085,428  

5.55%, 01/15/28 (Call 12/15/27)

    80       79,781  

Equinix Inc.
2.15%, 07/15/30 (Call 04/15/30)

    1,040       839,144  

3.20%, 11/18/29 (Call 08/18/29)

    516       452,040  

Extra Space Storage LP
3.50%, 07/01/26 (Call 04/01/26)

    380       356,234  

5.70%, 04/01/28 (Call 03/01/28)

    300       301,319  

 

 

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

  17


Schedule of Investments (unaudited) (continued)

August 31, 2023

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security  

Par

(000)

    Value  
Real Estate Investment Trusts (continued)            

GLP Capital LP/GLP Financing II Inc.
3.25%, 01/15/32 (Call 10/15/31)

  $ 70     $ 56,440  

5.25%, 06/01/25 (Call 03/01/25)

    495       485,881  

5.30%, 01/15/29 (Call 10/15/28)

    946       891,986  

Healthpeak Properties Inc., 3.50%, 07/15/29

   

(Call 04/15/29)

    220       197,570  

Host Hotels & Resorts LP, Series I, 3.50%, 09/15/30

   

(Call 06/15/30)

    1,090       929,886  

Invitation Homes Operating Partnership LP
2.00%, 08/15/31 (Call 05/15/31)

    480       367,291  

2.30%, 11/15/28 (Call 09/15/28)

    425       361,123  

4.15%, 04/15/32 (Call 01/15/32)(a)

    405       360,449  

Physicians Realty LP,
2.63%, 11/01/31 (Call 08/01/31)

    340       264,118  

Sun Communities Operating LP
2.70%, 07/15/31 (Call 04/15/31)

    1,070       849,563  

4.20%, 04/15/32 (Call 01/15/32)

    520       457,275  

Ventas Realty LP, 4.40%, 01/15/29 (Call 10/15/28)

    685       643,137  

VICI Properties LP
4.75%, 02/15/28 (Call 01/15/28)

    1,307       1,242,875  

4.95%, 02/15/30 (Call 12/15/29)

    196       184,358  

Welltower Inc., 3.85%, 06/15/32 (Call 03/15/32)

    185       162,573  

Welltower OP LLC 2.80%, 06/01/31
(Call 03/01/31)

    145       119,605  

3.10%, 01/15/30 (Call 10/15/29)

    1,035       899,352  

4.25%, 04/15/28 (Call 01/15/28)

    501       474,342  

Weyerhaeuser Co., 4.00%, 11/15/29
(Call 08/15/29)

    990       913,590  

WP Carey Inc., 2.40%, 02/01/31 (Call 11/01/30)(a)

    360       287,736  
   

 

 

 
      17,741,248  
Retail — 1.7%            

Dollar General Corp., 5.45%, 07/05/33
(Call 04/05/33)

    1,270       1,232,266  

Dollar Tree Inc., 4.20%, 05/15/28 (Call 02/15/28)

    1,172       1,112,164  

McDonald’s Corp.
4.70%, 12/09/35 (Call 06/09/35)

    279       266,577  

4.88%, 12/09/45 (Call 06/09/45)

    165       152,394  

O’Reilly Automotive Inc., 3.90%, 06/01/29

   

(Call 03/01/29)(a)

    180       168,886  

Walgreens Boots Alliance Inc. 3.45%, 06/01/26 (Call 03/01/26)

    1,018       961,636  

 4.10%, 04/15/50 (Call 10/15/49)

    68       46,436  

 4.80%, 11/18/44 (Call 05/18/44)(a)

    517       404,525  
   

 

 

 
      4,344,884  
Semiconductors — 3.0%            

Broadcom Corp./Broadcom Cayman Finance Ltd.,
3.88%, 01/15/27 (Call 10/15/26)

    321       305,001  

Broadcom Inc. 4.00%, 04/15/29 (Call 02/15/29)(d)

    450       415,018  

4.15%, 11/15/30 (Call 08/15/30)

    1,000       914,337  

4.75%, 04/15/29 (Call 01/15/29)

    692       667,361  

5.00%, 04/15/30 (Call 01/15/30)(a)

    372       366,553  

Micron Technology Inc.

   

4.66%, 02/15/30 (Call 11/15/29)(a)

    1,022       957,976  

5.33%, 02/06/29 (Call 11/06/28)

    230       225,492  

6.75%, 11/01/29 (Call 09/01/29)

    343       356,945  

NXP BV/NXP Funding LLC, 5.55%, 12/01/28

   

(Call 09/01/28)(a)

    300       300,554  

NXP BV/NXP Funding LLC/NXP USA Inc.
3.40%, 05/01/30 (Call 02/01/30)

    87       76,432  

4.30%, 06/18/29 (Call 03/18/29)

     1,324       1,239,885  
Security  

Par

(000)

    Value  
Semiconductors (continued)            

Qorvo Inc.
1.75%, 12/15/24 (Call 09/11/23)(d)

  $ 235     $ 220,392  

4.38%, 10/15/29 (Call 10/15/24)

    1,185       1,073,627  

Skyworks Solutions Inc.
1.80%, 06/01/26 (Call 05/01/26)

    312       278,883  

3.00%, 06/01/31 (Call 03/01/31)

    355       288,847  
   

 

 

 
      7,687,303  

Shipbuilding — 0.3%

   

Huntington Ingalls Industries Inc.
2.04%, 08/16/28 (Call 06/16/28)

    410       347,722  

4.20%, 05/01/30 (Call 02/01/30)(a)

    320       295,550  
   

 

 

 
      643,272  
Software — 2.7%            

Broadridge Financial Solutions Inc.
2.60%, 05/01/31 (Call 02/01/31)

    520       424,361  

2.90%, 12/01/29 (Call 09/01/29)(a)

    930       801,698  

Oracle Corp.
2.95%, 04/01/30 (Call 01/01/30)

    759       657,909  

3.90%, 05/15/35 (Call 11/15/34)

    215       183,583  

4.30%, 07/08/34 (Call 01/08/34)

     1,230       1,102,891  

5.38%, 07/15/40

    1,315       1,225,715  

6.25%, 11/09/32 (Call 08/09/32)

    830       868,733  

VMware Inc.
3.90%, 08/21/27 (Call 05/21/27)

    1,256       1,183,564  

4.70%, 05/15/30 (Call 02/15/30)

    370       348,725  
   

 

 

 
      6,797,179  
Telecommunications — 5.2%            

AT&T Inc.
4.35%, 03/01/29 (Call 12/01/28)

    251       237,475  

5.54%, 02/20/26 (Call 02/20/24)

    46       45,922  

Deutsche Telekom International Finance BV,
8.75%, 06/15/30

    1,025       1,206,844  

Juniper Networks Inc.,
3.75%, 08/15/29 (Call 05/15/29)(a)

    165       150,048  

Motorola Solutions Inc.
2.30%, 11/15/30 (Call 08/15/30)

    375       298,834  

2.75%, 05/24/31 (Call 02/24/31)

    254       206,036  

4.60%, 05/23/29 (Call 02/23/29)(a)

    935       900,950  

Orange SA, 9.00%, 03/01/31

    968       1,174,490  

Rogers Communications Inc., 3.80%, 03/15/32

   

(Call 12/15/31)

    1,433       1,225,608  

Sprint Capital Corp. 6.88%, 11/15/28

    315       332,767  

8.75%, 03/15/32

    1,030       1,227,616  

TELUS Corp., 3.40%, 05/13/32 (Call 02/13/32)

    1,318       1,109,789  

T-Mobile USA Inc.

   

2.40%, 03/15/29 (Call 01/15/29)

    150       128,942  

2.55%, 02/15/31 (Call 11/15/30)

    725       597,415  

2.70%, 03/15/32 (Call 12/15/31)

    95       77,357  

3.60%, 11/15/60 (Call 05/15/60)

    155       103,802  

3.75%, 04/15/27 (Call 02/15/27)

    930       881,449  

3.88%, 04/15/30 (Call 01/15/30)

    1,295       1,181,979  

4.38%, 04/15/40 (Call 10/15/39)

    290       249,223  

4.50%, 04/15/50 (Call 10/15/49)

    11       9,086  

Verizon Communications Inc.

   

4.27%, 01/15/36

    358       317,835  

4.40%, 11/01/34 (Call 05/01/34)

    366       331,607  

4.50%, 08/10/33

    77       71,142  

5.25%, 03/16/37

    1,034       1,007,266  
   

 

 

 
      13,073,482  

 

 

18  

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


Schedule of Investments (unaudited) (continued)

August 31, 20223

  

iShares® Investment Grade Bond Factor ETF

(Percentages shown are based on Net Assets)

 

Security   Par/
Shares
(000)
    Value  

 

 
Transportation — 0.3%            

United Parcel Service Inc., 6.20%, 01/15/38

  $ 800     $ 894,242  

Total Long-Term Investments — 98.1%
(Cost: $260,133,046)

      248,324,832  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 6.6%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 5.52%(e)(f)(g)

    15,462       15,466,591  

BlackRock Cash Funds: Treasury, SL Agency Shares, 5.31%(e)(f)

    1,090       1,090,000  
   

 

 

 

Total Short-Term Securities — 6.6%
(Cost: $16,552,461)

      16,556,591  
   

 

 

 

Total Investments — 104.7%
(Cost: $276,685,507)

      264,881,423  

Liabilities in Excess of Other Assets — (4.7)%

      (11,830,846
   

 

 

 

Net Assets — 100.0%

    $ 253,050,577  
   

 

 

 
(a)

All or a portion of this security is on loan.

(b)

Variable rate security. Interest rate resets periodically. The rate shown is the effective interest rate as of period end. Security description also includes the reference rate and spread if published and available.

(c)

Perpetual security with no stated maturity date.

(d)

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.

(e)

Affiliate of the Fund.

(f)

Annualized 7-day yield as of period end.

(g)

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

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the six months ended August 31, 2023 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer    Value at
02/28/23
     Purchases
at Cost
    Proceeds
from Sale
    Net Realized
Gain (Loss)
     Change in
Unrealized
Appreciation
(Depreciation)
     Value at
08/31/23
     Shares
Held at
08/31/23
(000)
     Income     Capital Gain
Distributions from
Underlying Funds
     
 

 

   

 

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 13,118,282      $ 2,354,331 (a)    $     $ (5,105    $ (917    $ 15,466,591        15,462      $ 25,536 (b)    $   —    
 

BlackRock Cash Funds: Treasury, SL Agency Shares

     2,043,000              (953,000 )(a)                    1,090,000        1,090        34,841          
            $ (5,105    $ (917    $ 16,556,591         $ 60,377     $    
           

 

 

    

 

 

    

 

 

       

 

 

   

 

 

   

 

(a)

Represents net amount purchased (sold).

(b)

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

Fair Value Hierarchy as of Period End

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

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

 

 

 
     Level 1        Level 2        Level 3        Total  

 

 

Assets

                 

Investments

                 

Long-Term Investments

                 

 Corporate Bonds & Notes

   $        $ 248,324,832        $    —        $ 248,324,832  

Short-Term Securities

                 

 Money Market Funds

     16,556,591                            16,556,591  
  

 

 

      

 

 

      

 

 

      

 

 

 
   $  16,556,591        $ 248,324,832        $        $ 264,881,423  
  

 

 

      

 

 

      

 

 

      

 

 

 

See notes to financial statements.

 

 

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

  19


Schedule of Investments (unaudited)

August 31, 2023

  

iShares® USD Bond Factor ETF

 (Percentages shown are based on Net Assets)

 

Security   Par
(000)
    Value  

Collaterized Mortgage Obligations

   
Mortgage-Backed Securities — 1.5%            

Bank, Series 2017, Class A5, 3.44%, 09/15/60
(Call 09/15/27)

  $ 40     $ 36,803  

COMM Mortgage Trust, 2.87%, 08/15/57
(Call 11/15/29)

    50       45,418  

GS Mortgage Securities Trust, 2.91%, 02/13/53

   

(Call 01/13/30)

    75       64,504  

Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C23, Class A4, 3.72%, 07/15/50

    25       23,913  

Wells Fargo Commercial Mortgage Trust, 3.79%, 12/15/49 (Call 12/15/26)

    10       9,381  
   

 

 

 
      180,019  
   

 

 

 

Total Collaterized Mortgage Obligations — 1.5%
(Cost: $213,110)

      180,019  
   

 

 

 

Corporate Bonds & Notes

   
Advertising — 0.1%            

Advantage Sales & Marketing Inc., 6.50%, 11/15/28
(Call 11/15/23)(a)(b)

    5       4,359  

Omnicom Group Inc., 3.65%, 11/01/24 (Call 08/01/24)

    6       5,858  
   

 

 

 
      10,217  
Aerospace & Defense — 1.1%            

Boeing Co. (The)

   

2.20%, 02/04/26 (Call 09/11/23)

    45       41,513  

3.25%, 02/01/35 (Call 11/01/34)

    8       6,423  

4.88%, 05/01/25 (Call 04/01/25)

    10       9,862  

5.15%, 05/01/30 (Call 02/01/30)

    15       14,758  

5.71%, 05/01/40 (Call 11/01/39)

    2       1,944  

5.93%, 05/01/60 (Call 11/01/59)

    9       8,687  

General Dynamics Corp., 3.25%, 04/01/25
(Call 03/01/25)

    10       9,689  

L3Harris Technologies Inc. 4.40%, 06/15/28
(Call 03/15/28)

    15       14,422  

Northrop Grumman Corp., 4.75%, 06/01/43

    3       2,725  

Rolls-Royce PLC, 5.75%, 10/15/27 (Call 07/15/27)(a)

    5       4,854  

RTX Corp.

   

3.95%, 08/16/25 (Call 06/16/25)

    10       9,722  

4.88%, 10/15/40

    11       10,061  

Spirit AeroSystems Inc.

   

7.50%, 04/15/25 (Call 10/02/23)(a)

    5       4,938  

9.38%, 11/30/29 (Call 11/30/25)(a)

    2       2,084  
   

 

 

 
       141,682  
Agriculture — 1.0%            

Altria Group Inc.

   

3.40%, 05/06/30 (Call 02/06/30)

    10       8,785  

5.38%, 01/31/44(b)

    10       9,285  

5.80%, 02/14/39 (Call 08/14/38)

    13       12,666  

BAT Capital Corp.

   

2.73%, 03/25/31 (Call 12/25/30)