|
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SEPTEMBER 30, 2021 |
|
2021 Semi-Annual Report (Unaudited) | ||
iShares Trust
| · |
iShares ESG Screened S&P 500 ETF | XVV | Cboe BZX |
| · |
iShares ESG Screened S&P Mid-Cap ETF | XJH | Cboe BZX |
| · |
iShares ESG Screened S&P Small-Cap ETF | XJR | Cboe BZX |
Dear Shareholder,
The 12-month reporting period as of September 30, 2021 was a remarkable period of adaptation and recovery, as the global economy dealt with the implications of the coronavirus (or “COVID-19”) pandemic. The United States began the reporting period as the initial reopening-led economic rebound was beginning to slow. Nonetheless, the economy continued to grow at a brisk pace for the reporting period, eventually regaining the output lost from the pandemic.
Equity prices rose with the broader economy, as strong fiscal and monetary support, as well as the development of vaccines, made investors increasingly optimistic about the economic outlook. The implementation of mass vaccination campaigns and passage of two additional fiscal stimulus packages further boosted stocks, and many equity indices neared or surpassed all-time highs late in the reporting period. In the United States, returns of small-capitalization stocks, which benefited the most from the resumption of in-person activities, outpaced large-capitalization stocks. International equities also gained, as both developed and emerging markets continued to recover from the effects of the pandemic.
The 10-year U.S. Treasury yield (which is inversely related to bond prices) had fallen sharply prior to the beginning of the reporting period, which meant bonds were priced for extreme risk avoidance and economic disruption. Despite expectations of doom and gloom, the economy expanded rapidly, stoking inflation concerns in early 2021, which led to higher yields and a negative overall return for most U.S. Treasuries. In the corporate bond market, support from the U.S. Federal Reserve (the “Fed”) assuaged credit concerns and led to solid returns for high-yield corporate bonds, although investment-grade corporates declined slightly.
The Fed remained committed to accommodative monetary policy by maintaining near-zero interest rates and by reiterating that inflation could exceed its 2% target for a sustained period without triggering a rate increase. In response to rising inflation late in the period, the Fed changed its market guidance, raising the possibility of higher rates in 2022 and reducing bond purchasing beginning in late 2021.
Looking ahead, we believe that the global expansion will continue to broaden as Europe and other developed market economies gain momentum, although the delta variant of the coronavirus remains a threat, particularly in emerging markets. While we expect inflation to remain elevated in the medium-term as the expansion continues, we believe the recent uptick owes more to temporary supply disruptions than a lasting change in fundamentals. The change in Fed policy also means that moderate inflation is less likely to be followed by interest rate hikes that could threaten the economic expansion.
Overall, we favor a moderately positive stance toward risk, with an overweight in equities. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and health care, are particularly attractive in the long-term. U.S. small-capitalization stocks and European equities are likely to benefit from the continuing vaccine-led restart, while Chinese equities stand to gain from a more accommodative monetary and fiscal environment as the Chinese economy slows. We are underweight long-term credit, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities. We believe that international diversification and a focus on sustainability can help provide portfolio resilience, and the disruption created by the coronavirus appears to be accelerating the shift toward sustainable investments.
In this environment, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.
Sincerely,
Trust
Rob Kapito
President, BlackRock, Inc.
Rob Kapito
President, BlackRock, Inc.
| Total Returns as of September 30, 2021 | ||||
| 6-Month |
12-Month | |||
|
U.S.
large cap equities |
9.18% | 30.00% | ||
|
U.S.
small cap equities |
(0.25) | 47.68 | ||
|
International
equities |
4.70 | 25.73 | ||
|
Emerging
market equities |
(3.45) | 18.20 | ||
|
3-month Treasury bills |
0.01 | 0.07 | ||
|
U.S.
Treasury securities |
2.92 | (6.22) | ||
|
U.S.
investment grade bonds |
1.88 | (0.90) | ||
|
Tax-exempt municipal bonds |
1.24 | 2.71 | ||
|
U.S.
high yield bonds |
3.65 | 11.27 | ||
| 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 |
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| 7 | ||||
| 8 | ||||
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Financial Statements |
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| 31 | ||||
| 32 | ||||
| 33 | ||||
| 35 | ||||
| 38 | ||||
| 46 | ||||
| 48 | ||||
| 49 | ||||
| 50 | ||||
| Fund Summary as of September 30, 2021 | iShares® ESG Screened S&P 500 ETF |
Investment Objective
The iShares ESG Screened S&P 500 ETF (the “Fund”) seeks to track the investment results of an index composed of large-capitalization U.S. equities while applying screens for company involvement in controversies and controversial business activities, as represented by the S&P 500 Sustainability Screened Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns
|
Cumulative Total Returns
|
|||||||||||||||||||||||
| 6 Months | 1 Year | Since Inception |
1 Year | Since Inception |
||||||||||||||||||||
|
Fund NAV |
9.61 | % | 29.72 | % | 30.95% | 29.72 | % | 31.82 | % | |||||||||||||||
|
Fund Market |
9.58 | 29.77 | 31.30 | 29.77 | 32.18 | |||||||||||||||||||
|
Index |
9.64 | 29.91 | 31.19 | 29.91 | 31.99 | |||||||||||||||||||
The inception date of the Fund was 9/22/20. The first day of secondary market trading was 9/24/20.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 7 for more information.
Expense Example
|
Actual
|
Hypothetical 5% Return
|
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Beginning Account Value (04/01/21) |
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Ending Account Value (09/30/21) |
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Expenses Paid During the Period |
(a) |
|
Beginning Account Value (04/01/21) |
|
|
Ending Account Value (09/30/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
| $ 1,000.00 | $ 1,096.10 | $ 0.42 | $ 1,000.00 | $ 1,024.70 | $ 0.41 | 0.08 | % | |||||||||||||||||||||||
| (a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (183 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 7 for more information. |
Portfolio Information
ALLOCATION BY SECTOR
| Sector | |
Percent of Total Investments |
(a) | |
|
Information Technology |
30.2 | % | ||
|
Consumer Discretionary |
13.5 | |||
|
Health Care |
13.2 | |||
|
Communication Services |
12.2 | |||
|
Financials |
11.9 | |||
|
Industrials |
6.5 | |||
|
Consumer Staples |
5.0 | |||
|
Real Estate |
2.8 | |||
|
Materials |
2.6 | |||
|
Utilities |
1.3 | |||
|
Energy |
0.8 | |||
| (a) |
Excludes money market funds. |
TEN LARGEST HOLDINGS
| Security | |
Percent of Total Investments |
(a) | |
|
Apple Inc. |
6.7 | % | ||
|
Microsoft Corp. |
6.3 | |||
|
Amazon.com Inc. |
4.3 | |||
|
Facebook Inc., Class A |
2.4 | |||
|
Alphabet Inc., Class A |
2.4 | |||
|
Alphabet Inc., Class C |
2.3 | |||
|
Tesla Inc. |
1.9 | |||
|
NVIDIA Corp. |
1.5 | |||
|
Berkshire Hathaway Inc., Class B |
1.5 | |||
|
JPMorgan Chase & Co. |
1.5 | |||
| 4 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
| Fund Summary as of September 30, 2021 | iShares® ESG Screened S&P Mid-Cap ETF |
Investment Objective
The iShares ESG Screened S&P Mid Cap ETF (the “Fund”) seeks to track the investment results of an index composed of mid-capitalization U.S. equities while applying screens for company involvement in controversies and controversial business activities, as represented by the S&P MidCap 400 Sustainability Screened Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns
|
Cumulative Total Returns
|
|||||||||||||||||||||||
| 6 Months | 1 Year | Since Inception |
1 Year | Since Inception |
||||||||||||||||||||
|
Fund NAV |
1.06 | % | 42.33 | % | 43.53% | 42.33 | % | 44.81 | % | |||||||||||||||
|
Fund Market |
0.95 | 42.28 | 43.76 | 42.28 | 45.05 | |||||||||||||||||||
|
Index |
1.14 | 42.70 | 43.99 | 42.70 | 45.16 | |||||||||||||||||||
The inception date of the Fund was 9/22/20. The first day of secondary market trading was 9/24/20.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 7 for more information.
Expense Example
|
Actual
|
Hypothetical 5% Return
|
|||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||
| |
Beginning Account Value (04/01/21) |
|
|
Ending Account Value (09/30/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (04/01/21) |
|
|
Ending Account Value (09/30/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
| $ 1,000.00 | $ 1,010.60 | $ 0.60 | $ 1,000.00 | $ 1,024.50 | $ 0.61 | 0.12 | % | |||||||||||||||||||||||
| (a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (183 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 7 for more information. |
Portfolio Information
ALLOCATION BY SECTOR
| Sector | |
Percent of Total Investments |
(a) | |
|
Industrials |
18.8 | % | ||
|
Consumer Discretionary |
15.9 | |||
|
Financials |
15.7 | |||
|
Information Technology |
14.8 | |||
|
Real Estate |
10.5 | |||
|
Health Care |
10.3 | |||
|
Materials |
6.0 | |||
|
Consumer Staples |
3.0 | |||
|
Utilities |
2.0 | |||
|
Communication Services |
1.8 | |||
|
Energy |
1.2 | |||
| (a) |
Excludes money market funds. |
TEN LARGEST HOLDINGS
| Security | |
Percent of Total Investments |
(a) | |
|
Signature Bank/New York NY |
0.8 | % | ||
|
Molina Healthcare Inc. |
0.7 | |||
|
FactSet Research Systems Inc. |
0.7 | |||
|
Camden Property Trust |
0.7 | |||
|
Repligen Corp. |
0.7 | |||
|
Cognex Corp. |
0.7 | |||
|
SolarEdge Technologies Inc. |
0.6 | |||
|
Masimo Corp. |
0.6 | |||
|
Williams-Sonoma Inc. |
0.6 | |||
|
Nordson Corp. |
0.6 | |||
|
F U N D S U M M A R Y |
5 |
| Fund Summary as of September 30, 2021 | iShares® ESG Screened S&P Small-Cap ETF |
Investment Objective
The iShares ESG Screened S&P Small Cap ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization U.S. equities while applying screens for company involvement in controversies and controversial business activities, as represented by the S&P SmallCap 600 Sustainability Screened Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns
|
Cumulative Total Returns
|
|||||||||||||||||||||||
| 6 Months | 1 Year | Since Inception |
1 Year | Since Inception |
||||||||||||||||||||
|
Fund NAV |
0.45 | % | 54.12 | % | 54.36% | 54.12 | % | 56.02 | % | |||||||||||||||
|
Fund Market |
0.35 | 53.80 | 54.28 | 53.80 | 55.94 | |||||||||||||||||||
|
Index |
0.52 | 55.10 | 55.57 | 55.10 | 57.10 | |||||||||||||||||||
The inception date of the Fund was 9/22/20. The first day of secondary market trading was 9/24/20.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 7 for more information.
Expense Example
|
Actual
|
Hypothetical 5% Return
|
|||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||
| |
Beginning Account Value (04/01/21) |
|
|
Ending Account Value (09/30/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Beginning Account Value (04/01/21) |
|
|
Ending Account Value (09/30/21) |
|
|
Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
| $ 1,000.00 | $ 1,004.50 | $ 0.60 | $ 1,000.00 | $ 1,024.50 | $ 0.61 | 0.12 | % | |||||||||||||||||||||||
| (a) |
Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (183 days) and divided by the number of days in the year (365 days). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” on page 7 for more information. |
Portfolio Information
ALLOCATION BY SECTOR
| Sector | |
Percent of Total Investments |
(a) | |
|
Industrials |
17.4 | % | ||
|
Financials |
16.7 | |||
|
Information Technology |
14.6 | |||
|
Consumer Discretionary |
14.3 | |||
|
Health Care |
13.0 | |||
|
Real Estate |
8.8 | |||
|
Materials |
5.4 | |||
|
Consumer Staples |
4.2 | |||
|
Energy |
2.3 | |||
|
Communication Services |
1.7 | |||
|
Utilities |
1.6 | |||
TEN LARGEST HOLDINGS
| Security | |
Percent of Total Investments |
(a) | |
|
Chart Industries Inc. |
0.7 | % | ||
|
Omnicell Inc. |
0.7 | |||
|
Stamps.com Inc. |
0.6 | |||
|
Power Integrations Inc. |
0.6 | |||
|
NeoGenomics Inc. |
0.6 | |||
|
Exponent Inc. |
0.6 | |||
|
SPS Commerce Inc. |
0.6 | |||
|
Innovative Industrial Properties Inc. |
0.6 | |||
|
AMN Healthcare Services Inc. |
0.6 | |||
|
Macy’s Inc. |
0.5 | |||
| (a) |
Excludes money market funds. |
| 6 |
2 0 2 1 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 |
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 by 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.
As a shareholder of your Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested at the beginning of the period (or from the commencement of operations if less than 6 months) and held through the end of the period, is intended to help you understand your ongoing costs (in dollars and cents) of investing in your Fund and to compare these costs with the ongoing costs of investing in other funds.
Actual Expenses – The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During the Period.”
Hypothetical Example for Comparison Purposes – The table also provides information about hypothetical account values and hypothetical expenses based on your Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
|
A B O U T F U N D P E R F O R M A N C E / S H A R E H O L D E R E X P E N S E S |
7 |
|
Schedule of Investments (unaudited) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
||||||||
| Aerospace & Defense — 0.1% | ||||||||
|
Howmet Aerospace Inc. |
1,712 | $ | 53,414 | |||||
|
TransDigm Group Inc.(a) |
242 | 151,146 | ||||||
|
|
|
|||||||
| 204,560 | ||||||||
| Air Freight & Logistics — 0.7% | ||||||||
|
CH Robinson Worldwide Inc. |
560 | 48,720 | ||||||
|
Expeditors International of Washington Inc. |
737 | 87,799 | ||||||
|
FedEx Corp. |
1,078 | 236,394 | ||||||
|
United Parcel Service Inc., Class B |
3,199 | 582,538 | ||||||
|
|
|
|||||||
| 955,451 | ||||||||
| Airlines — 0.3% | ||||||||
|
Alaska Air Group Inc.(a) |
544 | 31,878 | ||||||
|
American Airlines Group Inc.(a) |
2,831 | 58,092 | ||||||
|
Delta Air Lines Inc.(a) |
2,832 | 120,672 | ||||||
|
Southwest Airlines Co.(a) |
2,593 | 133,358 | ||||||
|
United Airlines Holdings Inc.(a) |
1,412 | 67,169 | ||||||
|
|
|
|||||||
| 411,169 | ||||||||
| Auto Components — 0.2% | ||||||||
|
Aptiv PLC(a) |
1,175 | 175,040 | ||||||
|
BorgWarner Inc. |
1,059 | 45,759 | ||||||
|
|
|
|||||||
| 220,799 | ||||||||
| Automobiles — 2.3% | ||||||||
|
Ford Motor Co.(a) |
17,268 | 244,515 | ||||||
|
General Motors Co.(a) |
6,396 | 337,133 | ||||||
|
Tesla Inc.(a) |
3,561 | 2,761,484 | ||||||
|
|
|
|||||||
| 3,343,132 | ||||||||
| Banks — 4.2% | ||||||||
|
Bank of America Corp. |
32,500 | 1,379,625 | ||||||
|
Citigroup Inc. |
8,898 | 624,462 | ||||||
|
Citizens Financial Group Inc. |
1,872 | 87,946 | ||||||
|
Comerica Inc. |
600 | 48,300 | ||||||
|
Fifth Third Bancorp. |
3,036 | 128,848 | ||||||
|
First Republic Bank/CA |
782 | 150,832 | ||||||
|
Huntington Bancshares Inc./OH |
6,498 | 100,459 | ||||||
|
JPMorgan Chase & Co. |
13,106 | 2,145,321 | ||||||
|
KeyCorp |
4,195 | 90,696 | ||||||
|
M&T Bank Corp. |
550 | 82,137 | ||||||
|
People’s United Financial Inc. |
1,891 | 33,036 | ||||||
|
PNC Financial Services Group Inc. (The) |
1,870 | 365,847 | ||||||
|
Regions Financial Corp. |
4,172 | 88,905 | ||||||
|
SVB Financial Group(a) |
260 | 168,189 | ||||||
|
Truist Financial Corp. |
5,875 | 344,569 | ||||||
|
U.S. Bancorp. |
5,900 | 350,696 | ||||||
|
Zions Bancorp. NA |
706 | 43,694 | ||||||
|
|
|
|||||||
| 6,233,562 | ||||||||
| Beverages — 1.5% | ||||||||
|
Brown-Forman Corp., Class B, NVS |
800 | 53,608 | ||||||
|
Coca-Cola Co. (The) |
17,066 | 895,453 | ||||||
|
Constellation Brands Inc., Class A |
729 | 153,593 | ||||||
|
Molson Coors Beverage Co., Class B |
824 | 38,217 | ||||||
|
Monster Beverage Corp.(a) |
1,665 | 147,902 | ||||||
|
PepsiCo Inc. |
6,062 | 911,786 | ||||||
|
|
|
|||||||
| 2,200,559 | ||||||||
| Biotechnology — 2.1% | ||||||||
|
AbbVie Inc. |
7,753 | 836,316 | ||||||
|
Amgen Inc. |
2,492 | 529,924 | ||||||
|
Biogen Inc.(a) |
645 | 182,529 | ||||||
|
Gilead Sciences Inc. |
5,506 | 384,594 | ||||||
| Security | Shares | Value | ||||||
| Biotechnology (continued) | ||||||||
|
Incyte Corp.(a) |
815 | $ | 56,056 | |||||
|
Moderna Inc.(a) |
1,532 | 589,605 | ||||||
|
Regeneron Pharmaceuticals Inc.(a) |
455 | 275,357 | ||||||
|
Vertex Pharmaceuticals Inc.(a) |
1,142 | 207,147 | ||||||
|
|
|
|||||||
| 3,061,528 | ||||||||
| Building Products — 0.5% | ||||||||
|
A O Smith Corp. |
562 | 34,321 | ||||||
|
Allegion PLC |
375 | 49,567 | ||||||
|
Carrier Global Corp. |
3,822 | 197,827 | ||||||
|
Fortune Brands Home & Security Inc. |
616 | 55,083 | ||||||
|
Johnson Controls International PLC |
3,123 | 212,614 | ||||||
|
Masco Corp. |
1,081 | 60,050 | ||||||
|
Trane Technologies PLC |
1,053 | 181,800 | ||||||
|
|
|
|||||||
| 791,262 | ||||||||
| Capital Markets — 3.3% | ||||||||
|
Ameriprise Financial Inc. |
512 | 135,230 | ||||||
|
Bank of New York Mellon Corp. (The) |
3,487 | 180,766 | ||||||
|
BlackRock Inc.(b) |
627 | 525,840 | ||||||
|
Cboe Global Markets Inc. |
456 | 56,480 | ||||||
|
Charles Schwab Corp. (The) |
6,597 | 480,526 | ||||||
|
CME Group Inc. |
1,585 | 306,507 | ||||||
|
Franklin Resources Inc. |
1,242 | 36,912 | ||||||
|
Goldman Sachs Group Inc. (The) |
1,490 | 563,265 | ||||||
|
Intercontinental Exchange Inc. |
2,476 | 284,294 | ||||||
|
Invesco Ltd. |
1,506 | 36,310 | ||||||
|
MarketAxess Holdings Inc. |
172 | 72,359 | ||||||
|
Moody’s Corp. |
711 | 252,483 | ||||||
|
Morgan Stanley |
6,408 | 623,563 | ||||||
|
MSCI Inc. |
360 | 219,002 | ||||||
|
Nasdaq Inc. |
520 | 100,370 | ||||||
|
Northern Trust Corp. |
907 | 97,784 | ||||||
|
Raymond James Financial Inc. |
801 | 73,916 | ||||||
|
S&P Global Inc. |
1,061 | 450,808 | ||||||
|
State Street Corp. |
1,604 | 135,891 | ||||||
|
T Rowe Price Group Inc. |
989 | 194,536 | ||||||
|
|
|
|||||||
| 4,826,842 | ||||||||
| Chemicals — 1.7% | ||||||||
|
Air Products & Chemicals Inc. |
973 | 249,195 | ||||||
|
Albemarle Corp. |
519 | 113,645 | ||||||
|
Celanese Corp. |
504 | 75,923 | ||||||
|
CF Industries Holdings Inc. |
951 | 53,085 | ||||||
|
Corteva Inc. |
3,226 | 135,750 | ||||||
|
Dow Inc. |
3,274 | 188,451 | ||||||
|
Eastman Chemical Co. |
601 | 60,545 | ||||||
|
Ecolab Inc. |
1,082 | 225,727 | ||||||
|
FMC Corp. |
549 | 50,266 | ||||||
|
International Flavors & Fragrances Inc. |
1,083 | 144,819 | ||||||
|
Linde PLC |
2,253 | 660,985 | ||||||
|
LyondellBasell Industries NV, Class A |
1,161 | 108,960 | ||||||
|
Mosaic Co. (The) |
1,530 | 54,652 | ||||||
|
PPG Industries Inc. |
1,049 | 150,017 | ||||||
|
Sherwin-Williams Co. (The) |
1,063 | 297,353 | ||||||
|
|
|
|||||||
| 2,569,373 | ||||||||
| Commercial Services & Supplies — 0.5% | ||||||||
|
Cintas Corp. |
376 | 143,128 | ||||||
|
Copart Inc.(a) |
951 | 131,923 | ||||||
|
Republic Services Inc. |
909 | 109,134 | ||||||
|
Rollins Inc. |
988 | 34,906 | ||||||
| 8 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Commercial Services & Supplies (continued) | ||||||||
|
Waste Management Inc. |
1,694 | $ | 253,016 | |||||
|
|
|
|||||||
| 672,107 | ||||||||
| Communications Equipment — 0.9% | ||||||||
|
Arista Networks Inc.(a) |
254 | 87,285 | ||||||
|
Cisco Systems Inc. |
18,504 | 1,007,173 | ||||||
|
F5 Networks Inc.(a) |
263 | 52,279 | ||||||
|
Juniper Networks Inc. |
1,426 | 39,243 | ||||||
|
Motorola Solutions Inc. |
731 | 169,826 | ||||||
|
|
|
|||||||
| 1,355,806 | ||||||||
| Construction & Engineering — 0.0% | ||||||||
|
Quanta Services Inc. |
618 | 70,341 | ||||||
|
|
|
|||||||
| Construction Materials — 0.1% | ||||||||
|
Martin Marietta Materials Inc. |
272 | 92,937 | ||||||
|
Vulcan Materials Co. |
597 | 100,989 | ||||||
|
|
|
|||||||
| 193,926 | ||||||||
| Consumer Finance — 0.7% | ||||||||
|
American Express Co. |
2,830 | 474,110 | ||||||
|
Capital One Financial Corp. |
1,962 | 317,785 | ||||||
|
Discover Financial Services |
1,324 | 162,653 | ||||||
|
Synchrony Financial |
2,502 | 122,298 | ||||||
|
|
|
|||||||
| 1,076,846 | ||||||||
| Containers & Packaging — 0.4% | ||||||||
|
Amcor PLC |
6,779 | 78,569 | ||||||
|
Avery Dennison Corp. |
362 | 75,010 | ||||||
|
Ball Corp. |
1,435 | 129,107 | ||||||
|
International Paper Co. |
1,711 | 95,679 | ||||||
|
Packaging Corp. of America |
430 | 59,099 | ||||||
|
Sealed Air Corp. |
648 | 35,504 | ||||||
|
Westrock Co. |
1,171 | 58,351 | ||||||
|
|
|
|||||||
| 531,319 | ||||||||
| Distributors — 0.1% | ||||||||
|
Genuine Parts Co. |
624 | 75,647 | ||||||
|
LKQ Corp.(a) |
1,179 | 59,327 | ||||||
|
Pool Corp. |
177 | 76,891 | ||||||
|
|
|
|||||||
| 211,865 | ||||||||
| Diversified Financial Services — 1.5% | ||||||||
|
Berkshire Hathaway Inc., Class B(a) |
8,125 | 2,217,639 | ||||||
|
|
|
|||||||
| Diversified Telecommunication Services — 1.3% | ||||||||
|
AT&T Inc. |
31,339 | 846,466 | ||||||
|
Lumen Technologies Inc. |
4,339 | 53,760 | ||||||
|
Verizon Communications Inc. |
18,169 | 981,308 | ||||||
|
|
|
|||||||
| 1,881,534 | ||||||||
| Electric Utilities — 0.9% | ||||||||
|
Edison International |
1,681 | 93,245 | ||||||
|
Entergy Corp. |
887 | 88,088 | ||||||
|
Eversource Energy |
1,513 | 123,703 | ||||||
|
Exelon Corp. |
4,289 | 207,330 | ||||||
|
FirstEnergy Corp. |
2,399 | 85,452 | ||||||
|
NextEra Energy Inc. |
8,619 | 676,764 | ||||||
|
|
|
|||||||
| 1,274,582 | ||||||||
| Electrical Equipment — 0.6% | ||||||||
|
AMETEK Inc. |
999 | 123,886 | ||||||
|
Eaton Corp. PLC |
1,760 | 262,785 | ||||||
|
Emerson Electric Co. |
2,644 | 249,065 | ||||||
|
Generac Holdings Inc.(a) |
272 | 111,158 | ||||||
|
Rockwell Automation Inc. |
518 | 152,313 | ||||||
|
|
|
|||||||
| 899,207 | ||||||||
| Security | Shares | Value | ||||||
| Electronic Equipment, Instruments & Components — 0.7% | ||||||||
|
Amphenol Corp., Class A |
2,608 | $ | 190,984 | |||||
|
CDW Corp./DE |
611 | 111,214 | ||||||
|
Corning Inc. |
3,370 | 122,971 | ||||||
|
IPG Photonics Corp.(a) |
163 | 25,819 | ||||||
|
Keysight Technologies Inc.(a) |
806 | 132,418 | ||||||
|
TE Connectivity Ltd. |
1,432 | 196,499 | ||||||
|
Teledyne Technologies Inc.(a) |
196 | 84,198 | ||||||
|
Trimble Inc.(a) |
1,087 | 89,406 | ||||||
|
Zebra Technologies Corp., Class A(a) |
245 | 126,278 | ||||||
|
|
|
|||||||
| 1,079,787 | ||||||||
| Energy Equipment & Services — 0.2% | ||||||||
|
Baker Hughes Co. |
3,647 | 90,190 | ||||||
|
Halliburton Co. |
3,918 | 84,707 | ||||||
|
Schlumberger NV |
6,151 | 182,316 | ||||||
|
|
|
|||||||
| 357,213 | ||||||||
| Entertainment — 2.1% | ||||||||
|
Activision Blizzard Inc. |
3,403 | 263,358 | ||||||
|
Electronic Arts Inc. |
1,246 | 177,244 | ||||||
|
Live Nation Entertainment Inc.(a) |
594 | 54,131 | ||||||
|
Netflix Inc.(a) |
1,948 | 1,188,942 | ||||||
|
Take-Two Interactive Software Inc.(a) |
521 | 80,271 | ||||||
|
Walt Disney Co. (The)(a) |
7,988 | 1,351,330 | ||||||
|
|
|
|||||||
| 3,115,276 | ||||||||
| Equity Real Estate Investment Trusts (REITs) — 2.7% | ||||||||
|
Alexandria Real Estate Equities Inc. |
613 | 117,126 | ||||||
|
American Tower Corp. |
1,985 | 526,839 | ||||||
|
AvalonBay Communities Inc. |
619 | 137,195 | ||||||
|
Boston Properties Inc. |
623 | 67,502 | ||||||
|
Crown Castle International Corp. |
1,887 | 327,055 | ||||||
|
Digital Realty Trust Inc. |
1,243 | 179,551 | ||||||
|
Duke Realty Corp. |
1,671 | 79,991 | ||||||
|
Equinix Inc. |
382 | 301,830 | ||||||
|
Equity Residential |
1,501 | 121,461 | ||||||
|
Essex Property Trust Inc. |
277 | 88,568 | ||||||
|
Extra Space Storage Inc. |
599 | 100,626 | ||||||
|
Federal Realty Investment Trust |
295 | 34,807 | ||||||
|
Healthpeak Properties Inc. |
2,388 | 79,950 | ||||||
|
Host Hotels & Resorts Inc.(a) |
3,189 | 52,076 | ||||||
|
Iron Mountain Inc. |
1,262 | 54,834 | ||||||
|
Kimco Realty Corp. |
2,658 | 55,154 | ||||||
|
Mid-America Apartment Communities Inc. |
519 | 96,923 | ||||||
|
Prologis Inc. |
3,230 | 405,139 | ||||||
|
Public Storage |
684 | 203,217 | ||||||
|
Realty Income Corp. |
1,706 | 110,651 | ||||||
|
Regency Centers Corp. |
686 | 46,188 | ||||||
|
SBA Communications Corp. |
470 | 155,368 | ||||||
|
Simon Property Group Inc. |
1,436 | 186,637 | ||||||
|
UDR Inc. |
1,234 | 65,377 | ||||||
|
Ventas Inc. |
1,671 | 92,256 | ||||||
|
Vornado Realty Trust |
697 | 29,281 | ||||||
|
Welltower Inc. |
1,854 | 152,770 | ||||||
|
Weyerhaeuser Co. |
3,297 | 117,274 | ||||||
|
|
|
|||||||
| 3,985,646 | ||||||||
| Food & Staples Retailing — 0.9% | ||||||||
|
Costco Wholesale Corp. |
1,946 | 874,435 | ||||||
|
Kroger Co. (The) |
3,004 | 121,452 | ||||||
|
Sysco Corp. |
2,240 | 175,840 | ||||||
|
Walgreens Boots Alliance Inc. |
3,138 | 147,643 | ||||||
|
|
|
|||||||
| 1,319,370 | ||||||||
|
S C H E D U L E O F I N V E S T M E N T S |
9 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Food Products — 0.9% | ||||||||
|
Archer-Daniels-Midland Co. |
2,476 | $ | 148,585 | |||||
|
Campbell Soup Co. |
887 | 37,085 | ||||||
|
Conagra Brands Inc. |
2,125 | 71,974 | ||||||
|
General Mills Inc. |
2,662 | 159,241 | ||||||
|
Hershey Co. (The) |
634 | 107,304 | ||||||
|
Hormel Foods Corp. |
1,241 | 50,881 | ||||||
|
JM Smucker Co. (The) |
463 | 55,574 | ||||||
|
Kellogg Co. |
1,136 | 72,613 | ||||||
|
Kraft Heinz Co. (The) |
2,954 | 108,766 | ||||||
|
Lamb Weston Holdings Inc. |
634 | 38,909 | ||||||
|
McCormick & Co. Inc./MD, NVS |
1,086 | 87,998 | ||||||
|
Mondelez International Inc., Class A |
6,132 | 356,760 | ||||||
|
Tyson Foods Inc., Class A |
1,273 | 100,491 | ||||||
|
|
|
|||||||
| 1,396,181 | ||||||||
| Gas Utilities — 0.0% | ||||||||
|
Atmos Energy Corp. |
553 | 48,775 | ||||||
|
|
|
|||||||
| Health Care Equipment & Supplies — 4.1% | ||||||||
|
Abbott Laboratories |
7,770 | 917,870 | ||||||
|
ABIOMED Inc.(a) |
191 | 62,174 | ||||||
|
Align Technology Inc.(a) |
334 | 222,254 | ||||||
|
Baxter International Inc. |
2,204 | 177,268 | ||||||
|
Becton Dickinson and Co. |
1,254 | 308,258 | ||||||
|
Boston Scientific Corp.(a) |
6,245 | 270,971 | ||||||
|
Cooper Companies Inc. (The) |
204 | 84,315 | ||||||
|
Danaher Corp. |
2,779 | 846,039 | ||||||
|
DENTSPLY SIRONA Inc. |
970 | 56,308 | ||||||
|
Dexcom Inc.(a) |
432 | 236,244 | ||||||
|
Edwards Lifesciences Corp.(a) |
2,748 | 311,101 | ||||||
|
Hologic Inc.(a) |
1,127 | 83,184 | ||||||
|
IDEXX Laboratories Inc.(a) |
368 | 228,859 | ||||||
|
Intuitive Surgical Inc.(a) |
526 | 522,923 | ||||||
|
Medtronic PLC |
5,891 | 738,437 | ||||||
|
ResMed Inc. |
632 | 166,564 | ||||||
|
STERIS PLC |
437 | 89,270 | ||||||
|
Stryker Corp. |
1,485 | 391,624 | ||||||
|
Teleflex Inc. |
197 | 74,180 | ||||||
|
West Pharmaceutical Services Inc. |
336 | 142,645 | ||||||
|
Zimmer Biomet Holdings Inc. |
905 | 132,456 | ||||||
|
|
|
|||||||
| 6,062,944 | ||||||||
| Health Care Providers & Services — 2.8% | ||||||||
|
AmerisourceBergen Corp. |
647 | 77,284 | ||||||
|
Anthem Inc. |
1,069 | 398,523 | ||||||
|
Cardinal Health Inc. |
1,268 | 62,715 | ||||||
|
Centene Corp.(a) |
2,574 | 160,386 | ||||||
|
Cigna Corp. |
1,502 | 300,640 | ||||||
|
CVS Health Corp. |
5,792 | 491,509 | ||||||
|
DaVita Inc.(a) |
286 | 33,250 | ||||||
|
HCA Healthcare Inc. |
1,079 | 261,895 | ||||||
|
Henry Schein Inc.(a) |
621 | 47,296 | ||||||
|
Humana Inc. |
554 | 215,589 | ||||||
|
Laboratory Corp. of America Holdings(a) |
432 | 121,582 | ||||||
|
McKesson Corp. |
691 | 137,772 | ||||||
|
Quest Diagnostics Inc. |
537 | 78,032 | ||||||
|
UnitedHealth Group Inc. |
4,154 | 1,623,134 | ||||||
|
Universal Health Services Inc., Class B |
341 | 47,184 | ||||||
|
|
|
|||||||
| 4,056,791 | ||||||||
| Health Care Technology — 0.1% | ||||||||
|
Cerner Corp. |
1,312 | 92,522 | ||||||
|
|
|
|||||||
| Security | Shares | Value | ||||||
| Hotels, Restaurants & Leisure — 2.3% | ||||||||
|
Booking Holdings Inc.(a) |
179 | $ | 424,923 | |||||
|
Caesars Entertainment Inc.(a) |
952 | 106,890 | ||||||
|
Carnival Corp.(a) |
3,537 | 88,460 | ||||||
|
Chipotle Mexican Grill Inc.(a) |
123 | 223,555 | ||||||
|
Darden Restaurants Inc. |
555 | 84,066 | ||||||
|
Domino’s Pizza Inc. |
167 | 79,652 | ||||||
|
Expedia Group Inc.(a) |
634 | 103,913 | ||||||
|
Hilton Worldwide Holdings Inc.(a) |
1,228 | 162,231 | ||||||
|
Las Vegas Sands Corp.(a) |
1,513 | 55,376 | ||||||
|
Marriott International Inc./MD, Class A(a) |
1,218 | 180,374 | ||||||
|
McDonald’s Corp. |
3,283 | 791,564 | ||||||
|
MGM Resorts International |
1,763 | 76,073 | ||||||
|
Norwegian Cruise Line Holdings Ltd.(a)(c) |
1,620 | 43,270 | ||||||
|
Penn National Gaming Inc.(a) |
697 | 50,505 | ||||||
|
Royal Caribbean Cruises Ltd.(a) |
984 | 87,527 | ||||||
|
Starbucks Corp. |
5,172 | 570,523 | ||||||
|
Wynn Resorts Ltd.(a) |
459 | 38,900 | ||||||
|
Yum! Brands Inc. |
1,312 | 160,471 | ||||||
|
|
|
|||||||
| 3,328,273 | ||||||||
| Household Durables — 0.4% | ||||||||
|
DR Horton Inc. |
1,435 | 120,497 | ||||||
|
Garmin Ltd. |
683 | 106,179 | ||||||
|
Leggett & Platt Inc. |
604 | 27,083 | ||||||
|
Lennar Corp., Class A |
1,219 | 114,196 | ||||||
|
Mohawk Industries Inc.(a) |
253 | 44,882 | ||||||
|
Newell Brands Inc. |
1,679 | 37,173 | ||||||
|
NVR Inc.(a) |
15 | 71,911 | ||||||
|
PulteGroup Inc. |
1,157 | 53,130 | ||||||
|
Whirlpool Corp. |
272 | 55,450 | ||||||
|
|
|
|||||||
| 630,501 | ||||||||
| Household Products — 1.5% | ||||||||
|
Church & Dwight Co. Inc. |
1,074 | 88,680 | ||||||
|
Clorox Co. (The) |
537 | 88,933 | ||||||
|
Colgate-Palmolive Co. |
3,714 | 280,704 | ||||||
|
Kimberly-Clark Corp. |
1,491 | 197,468 | ||||||
|
Procter & Gamble Co. (The) |
10,664 | 1,490,827 | ||||||
|
|
|
|||||||
| 2,146,612 | ||||||||
| Industrial Conglomerates — 0.5% | ||||||||
|
General Electric Co. |
4,810 | 495,574 | ||||||
|
Roper Technologies Inc. |
458 | 204,328 | ||||||
|
|
|
|||||||
| 699,902 | ||||||||
| Insurance — 2.1% | ||||||||
|
Aflac Inc. |
2,730 | 142,315 | ||||||
|
Allstate Corp. (The) |
1,312 | 167,031 | ||||||
|
American International Group Inc. |
3,760 | 206,386 | ||||||
|
Aon PLC, Class A |
987 | 282,055 | ||||||
|
Arthur J Gallagher & Co. |
904 | 134,379 | ||||||
|
Assurant Inc. |
260 | 41,015 | ||||||
|
Chubb Ltd. |
1,934 | 335,510 | ||||||
|
Cincinnati Financial Corp. |
642 | 73,329 | ||||||
|
Everest Re Group Ltd. |
176 | 44,137 | ||||||
|
Globe Life Inc. |
423 | 37,660 | ||||||
|
Hartford Financial Services Group Inc. (The) |
1,523 | 106,991 | ||||||
|
Lincoln National Corp. |
793 | 54,519 | ||||||
|
Loews Corp. |
893 | 48,159 | ||||||
|
Marsh & McLennan Companies Inc. |
2,224 | 336,780 | ||||||
|
MetLife Inc. |
3,205 | 197,845 | ||||||
|
Principal Financial Group Inc. |
1,089 | 70,132 | ||||||
|
Progressive Corp. (The) |
2,579 | 233,116 | ||||||
| 10 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares |
Value | ||||||
| Insurance (continued) | ||||||||
|
Prudential Financial Inc. |
1,699 | $ | 178,735 | |||||
|
Travelers Companies Inc. (The) |
1,088 | 165,387 | ||||||
|
W R Berkley Corp. |
627 | 45,884 | ||||||
|
Willis Towers Watson PLC. |
557 | 129,480 | ||||||
|
|
|
|||||||
| 3,030,845 | ||||||||
| Interactive Media & Services — 7.2% | ||||||||
|
Alphabet Inc., Class A(a) |
1,326 | 3,545,088 | ||||||
|
Alphabet Inc., Class C, NVS(a) |
1,240 | 3,304,984 | ||||||
|
Facebook Inc., Class A(a) |
10,477 | 3,555,789 | ||||||
|
Twitter Inc.(a) |
3,494 | 211,003 | ||||||
|
|
|
|||||||
| 10,616,864 | ||||||||
| Internet & Direct Marketing Retail — 4.5% | ||||||||
|
Amazon.com Inc.(a) |
1,913 | 6,284,281 | ||||||
|
eBay Inc. |
2,849 | 198,490 | ||||||
|
Etsy Inc.(a) |
547 | 113,754 | ||||||
|
|
|
|||||||
| 6,596,525 | ||||||||
| IT Services — 5.3% | ||||||||
|
Accenture PLC, Class A |
2,776 | 888,098 | ||||||
|
Akamai Technologies Inc.(a) |
715 | 74,782 | ||||||
|
Automatic Data Processing Inc. |
1,864 | 372,651 | ||||||
|
Broadridge Financial Solutions Inc. |
515 | 85,820 | ||||||
|
Cognizant Technology Solutions Corp., Class A |
2,305 | 171,054 | ||||||
|
DXC Technology Co.(a) |
1,139 | 38,282 | ||||||
|
Fidelity National Information Services Inc. |
2,694 | 327,806 | ||||||
|
Fiserv Inc.(a) |
2,604 | 282,534 | ||||||
|
FleetCor Technologies Inc.(a) |
360 | 94,057 | ||||||
|
Gartner Inc.(a) |
364 | 110,612 | ||||||
|
Global Payments Inc. |
1,307 | 205,957 | ||||||
|
International Business Machines Corp. |
3,928 | 545,717 | ||||||
|
Jack Henry & Associates Inc. |
334 | 54,796 | ||||||
|
Mastercard Inc., Class A |
3,825 | 1,329,876 | ||||||
|
Paychex Inc. |
1,408 | 158,330 | ||||||
|
PayPal Holdings Inc.(a) |
5,159 | 1,342,423 | ||||||
|
VeriSign Inc.(a) |
434 | 88,974 | ||||||
|
Visa Inc., Class A |
7,402 | 1,648,795 | ||||||
|
Western Union Co. (The) |
1,766 | 35,709 | ||||||
|
|
|
|||||||
| 7,856,273 | ||||||||
| Leisure Products — 0.0% | ||||||||
|
Hasbro Inc. |
555 | 49,517 | ||||||
|
|
|
|||||||
| Life Sciences Tools & Services — 1.5% | ||||||||
|
Agilent Technologies Inc. |
1,336 | 210,460 | ||||||
|
Bio-Rad Laboratories Inc., Class A(a) |
92 | 68,627 | ||||||
|
Charles River Laboratories International Inc.(a) |
237 | 97,803 | ||||||
|
Illumina Inc.(a) |
638 | 258,779 | ||||||
|
IQVIA Holdings Inc.(a) |
830 | 198,818 | ||||||
|
Mettler-Toledo International Inc.(a) |
97 | 133,604 | ||||||
|
PerkinElmer Inc. |
507 | 87,858 | ||||||
|
Thermo Fisher Scientific Inc. |
1,715 | 979,831 | ||||||
|
Waters Corp.(a) |
269 | 96,114 | ||||||
|
|
|
|||||||
| 2,131,894 | ||||||||
| Machinery — 1.7% | ||||||||
|
Caterpillar Inc. |
2,402 | 461,112 | ||||||
|
Cummins Inc. |
629 | 141,248 | ||||||
|
Deere & Co. |
1,245 | 417,162 | ||||||
|
Dover Corp. |
632 | 98,276 | ||||||
|
Fortive Corp. |
1,585 | 111,853 | ||||||
|
IDEX Corp. |
340 | 70,363 | ||||||
|
Illinois Tool Works Inc. |
1,256 | 259,527 | ||||||
| Security | Shares |
Value | ||||||
| Machinery (continued) | ||||||||
|
Ingersoll Rand Inc.(a) |
1,782 | $ | 89,831 | |||||
|
Otis Worldwide Corp. |
1,875 | 154,275 | ||||||
|
PACCAR Inc. |
1,521 | 120,037 | ||||||
|
Parker-Hannifin Corp. |
557 | 155,748 | ||||||
|
Pentair PLC. |
727 | 52,802 | ||||||
|
Snap-on Inc. |
246 | 51,402 | ||||||
|
Stanley Black & Decker Inc. |
712 | 124,821 | ||||||
|
Westinghouse Air Brake Technologies Corp. |
822 | 70,865 | ||||||
|
Xylem Inc./NY |
797 | 98,573 | ||||||
|
|
|
|||||||
| 2,477,895 | ||||||||
| Media — 1.4% | ||||||||
|
Charter Communications Inc., Class A(a) |
550 | 400,158 | ||||||
|
Comcast Corp., Class A |
20,109 | 1,124,696 | ||||||
|
Discovery Inc., Class A(a)(c) |
720 | 18,274 | ||||||
|
Discovery Inc., Class C, NVS(a) |
1,343 | 32,595 | ||||||
|
DISH Network Corp., Class A(a) |
1,087 | 47,241 | ||||||
|
Fox Corp., Class A, NVS |
1,420 | 56,956 | ||||||
|
Fox Corp., Class B |
646 | 23,979 | ||||||
|
Interpublic Group of Companies Inc. (The) |
1,713 | 62,816 | ||||||
|
News Corp., Class A, NVS |
1,711 | 40,260 | ||||||
|
News Corp., Class B |
546 | 12,684 | ||||||
|
Omnicom Group Inc. |
949 | 68,764 | ||||||
|
ViacomCBS Inc., Class B, NVS |
2,669 | 105,452 | ||||||
|
|
|
|||||||
| 1,993,875 | ||||||||
| Metals & Mining — 0.4% | ||||||||
|
Freeport-McMoRan Inc. |
6,475 | 210,632 | ||||||
|
Newmont Corp. |
3,497 | 189,887 | ||||||
|
Nucor Corp. |
1,306 | 128,628 | ||||||
|
|
|
|||||||
| 529,147 | ||||||||
| Multi-Utilities — 0.3% | ||||||||
|
CenterPoint Energy Inc. |
2,565 | 63,099 | ||||||
|
Consolidated Edison Inc. |
1,542 | 111,934 | ||||||
|
Public Service Enterprise Group Inc. |
2,225 | 135,503 | ||||||
|
Sempra Energy |
1,405 | 177,732 | ||||||
|
|
|
|||||||
| 488,268 | ||||||||
| Multiline Retail — 0.6% | ||||||||
|
Dollar General Corp. |
1,049 | 222,535 | ||||||
|
Dollar Tree Inc.(a) |
1,001 | 95,816 | ||||||
|
Target Corp. |
2,159 | 493,914 | ||||||
|
|
|
|||||||
| 812,265 | ||||||||
| Oil, Gas & Consumable Fuels — 0.6% | ||||||||
|
Kinder Morgan Inc. |
8,563 | 143,259 | ||||||
|
Marathon Petroleum Corp. |
2,826 | 174,675 | ||||||
|
ONEOK Inc. |
1,960 | 113,661 | ||||||
|
Phillips 66 |
1,898 | 132,917 | ||||||
|
Valero Energy Corp. |
1,791 | 126,391 | ||||||
|
Williams Companies Inc. (The) |
5,346 | 138,675 | ||||||
|
|
|
|||||||
| 829,578 | ||||||||
| Personal Products — 0.2% | ||||||||
|
Estee Lauder Companies Inc. (The), Class A |
1,007 | 302,030 | ||||||
|
|
|
|||||||
| Pharmaceuticals — 2.6% | ||||||||
|
Bristol-Myers Squibb Co. |
9,766 | 577,854 | ||||||
|
Catalent Inc.(a) |
732 | 97,407 | ||||||
|
Eli Lilly & Co. |
3,481 | 804,285 | ||||||
|
Merck & Co. Inc. |
11,117 | 834,998 | ||||||
|
Organon & Co. |
1,088 | 35,676 | ||||||
|
Pfizer Inc. |
24,626 | 1,059,164 | ||||||
|
Viatris Inc. |
5,332 | 72,249 | ||||||
|
S C H E D U L E O F I N V E S T M E N T S |
11 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares |
Value | ||||||
| Pharmaceuticals (continued) | ||||||||
|
Zoetis Inc. |
2,067 | $ | 401,287 | |||||
|
|
|
|||||||
| 3,882,920 | ||||||||
| Professional Services — 0.4% | ||||||||
|
Equifax Inc. |
535 | 135,580 | ||||||
|
IHS Markit Ltd. |
1,763 | 205,601 | ||||||
|
Leidos Holdings Inc. |
623 | 59,889 | ||||||
|
Nielsen Holdings PLC |
1,611 | 30,915 | ||||||
|
Robert Half International Inc. |
506 | 50,767 | ||||||
|
Verisk Analytics Inc. |
708 | 141,791 | ||||||
|
|
|
|||||||
| 624,543 | ||||||||
| Real Estate Management & Development — 0.1% | ||||||||
|
CBRE Group Inc., Class A(a) |
1,484 | 144,482 | ||||||
|
|
|
|||||||
| Road & Rail — 1.0% | ||||||||
|
CSX Corp. |
9,875 | 293,682 | ||||||
|
JB Hunt Transport Services Inc. |
362 | 60,534 | ||||||
|
Kansas City Southern |
415 | 112,316 | ||||||
|
Norfolk Southern Corp. |
1,076 | 257,433 | ||||||
|
Old Dominion Freight Line Inc. |
423 | 120,969 | ||||||
|
Union Pacific Corp. |
2,857 | 560,001 | ||||||
|
|
|
|||||||
| 1,404,935 | ||||||||
| Semiconductors & Semiconductor Equipment — 6.1% | ||||||||
|
Advanced Micro Devices Inc.(a) |
5,330 | 548,457 | ||||||
|
Analog Devices Inc. |
2,378 | 398,267 | ||||||
|
Applied Materials Inc. |
4,008 | 515,950 | ||||||
|
Broadcom Inc. |
1,794 | 869,964 | ||||||
|
Enphase Energy Inc.(a) |
602 | 90,282 | ||||||
|
Intel Corp. |
17,807 | 948,757 | ||||||
|
KLA Corp. |
685 | 229,139 | ||||||
|
Lam Research Corp. |
624 | 355,150 | ||||||
|
Microchip Technology Inc. |
1,218 | 186,951 | ||||||
|
Micron Technology Inc. |
4,922 | 349,363 | ||||||
|
Monolithic Power Systems Inc. |
187 | 90,635 | ||||||
|
NVIDIA Corp. |
10,942 | 2,266,745 | ||||||
|
NXP Semiconductors NV |
1,164 | 227,993 | ||||||
|
Qorvo Inc.(a) |
504 | 84,264 | ||||||
|
QUALCOMM Inc. |
4,968 | 640,773 | ||||||
|
Skyworks Solutions Inc. |
723 | 119,136 | ||||||
|
Teradyne Inc. |
725 | 79,148 | ||||||
|
Texas Instruments Inc. |
4,066 | 781,526 | ||||||
|
Xilinx Inc. |
1,076 | 162,465 | ||||||
|
|
|
|||||||
| 8,944,965 | ||||||||
| Software — 10.1% | ||||||||
|
Adobe Inc.(a) |
2,106 | 1,212,466 | ||||||
|
ANSYS Inc.(a) |
373 | 126,988 | ||||||
|
Autodesk Inc.(a) |
970 | 276,615 | ||||||
|
Cadence Design Systems Inc.(a) |
1,227 | 185,817 | ||||||
|
Citrix Systems Inc. |
541 | 58,087 | ||||||
|
Fortinet Inc.(a) |
605 | 176,684 | ||||||
|
Intuit Inc. |
1,186 | 639,859 | ||||||
|
Microsoft Corp. |
32,999 | 9,303,078 | ||||||
|
NortonLifeLock Inc. |
2,567 | 64,945 | ||||||
|
Oracle Corp. |
7,224 | 629,427 | ||||||
|
Paycom Software Inc.(a) |
201 | 99,646 | ||||||
|
PTC Inc.(a) |
453 | 54,265 | ||||||
|
salesforce.com Inc.(a) |
4,267 | 1,157,296 | ||||||
|
ServiceNow Inc.(a) |
876 | 545,108 | ||||||
|
Synopsys Inc.(a) |
685 | 205,096 | ||||||
| Security | Shares |
Value | ||||||
| Software (continued) | ||||||||
|
Tyler Technologies Inc.(a) |
178 | $ | 81,640 | |||||
|
|
|
|||||||
| 14,817,017 | ||||||||
| Specialty Retail — 2.4% | ||||||||
|
Advance Auto Parts Inc. |
283 | 59,116 | ||||||
|
AutoZone Inc.(a) |
93 | 157,913 | ||||||
|
Bath & Body Works Inc. |
1,164 | 73,367 | ||||||
|
Best Buy Co. Inc. |
981 | 103,702 | ||||||
|
CarMax Inc.(a) |
714 | 91,363 | ||||||
|
Gap Inc. (The) |
912 | 20,702 | ||||||
|
Home Depot Inc. (The) |
4,655 | 1,528,050 | ||||||
|
Lowe’s Companies Inc. |
3,107 | 630,286 | ||||||
|
O’Reilly Automotive Inc.(a) |
292 | 178,430 | ||||||
|
Ross Stores Inc. |
1,577 | 171,656 | ||||||
|
TJX Companies Inc. (The) |
5,311 | 350,420 | ||||||
|
Tractor Supply Co. |
513 | 103,939 | ||||||
|
Ulta Beauty Inc.(a) |
249 | 89,869 | ||||||
|
|
|
|||||||
| 3,558,813 | ||||||||
| Technology Hardware, Storage & Peripherals — 7.0% | ||||||||
|
Apple Inc. |
68,950 | 9,756,425 | ||||||
|
Hewlett Packard Enterprise Co. |
5,712 | 81,396 | ||||||
|
HP Inc. |
5,272 | 144,242 | ||||||
|
NetApp Inc. |
980 | 87,965 | ||||||
|
Seagate Technology Holdings PLC |
911 | 75,176 | ||||||
|
Western Digital Corp.(a) |
1,342 | 75,742 | ||||||
|
|
|
|||||||
| 10,220,946 | ||||||||
| Textiles, Apparel & Luxury Goods — 0.7% | ||||||||
|
Hanesbrands Inc. |
1,532 | 26,289 | ||||||
|
Nike Inc., Class B |
5,609 | 814,595 | ||||||
|
PVH Corp.(a) |
328 | 33,715 | ||||||
|
Ralph Lauren Corp. |
198 | 21,986 | ||||||
|
Tapestry Inc. |
1,232 | 45,609 | ||||||
|
Under Armour Inc., Class A(a) |
808 | 16,306 | ||||||
|
Under Armour Inc., Class C, NVS(a) |
895 | 15,680 | ||||||
|
VF Corp. |
1,420 | 95,126 | ||||||
|
|
|
|||||||
| 1,069,306 | ||||||||
| Trading Companies & Distributors — 0.2% | ||||||||
|
Fastenal Co. |
2,512 | 129,644 | ||||||
|
United Rentals Inc.(a) |
331 | 116,158 | ||||||
|
WW Grainger Inc. |
186 | 73,109 | ||||||
|
|
|
|||||||
| 318,911 | ||||||||
| Water Utilities — 0.1% | ||||||||
|
American Water Works Co. Inc. |
800 | 135,232 | ||||||
|
|
|
|||||||
| Wireless Telecommunication Services — 0.2% | ||||||||
|
T-Mobile U.S. Inc.(a) |
2,573 | 328,727 | ||||||
|
|
|
|||||||
| Total Common Stocks — 99.8% | ||||||||
| (Cost: $142,729,156) | 146,688,975 | |||||||
|
|
|
|||||||
| Short-Term Investments | ||||||||
| Money Market Funds — 0.1% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(b)(d)(e) |
33,986 | 34,003 | ||||||
| 12 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF (Percentages shown are based on Net Assets) |
| Security | Shares |
Value | ||||||
| Money Market Funds (continued) | ||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(b)(d) |
120,000 | $ | 120,000 | |||||
|
|
|
|||||||
| 154,003 | ||||||||
|
|
|
|||||||
|
Total
Short-Term Investments — 0.1% |
|
154,003 | ||||||
|
|
|
|||||||
|
Total
Investments in Securities — 99.9% |
|
146,842,978 | ||||||
|
Other Assets, Less Liabilities — 0.1% |
|
98,935 | ||||||
|
|
|
|||||||
|
Net Assets — 100.0% |
|
$ | 146,941,913 | |||||
|
|
|
|||||||
| (a) |
Non-income producing security. |
| (b) |
Affiliate of the Fund. |
| (c) |
All or a portion of this security is on loan. |
| (d) |
Annualized 7-day yield as of period end. |
| (e) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer | Value at 03/31/21 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 09/30/21 |
Shares Held at 09/30/21 |
Income | Capital Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | — | $ | 33,983 | (a) | $ | — | $ | 20 | $ | — | $ | 34,003 | 33,986 | $ | 63 | (b) | $ | — | |||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
60,000 | 60,000 | (a) | — | — | — | 120,000 | 120,000 | 4 | — | ||||||||||||||||||||||||||
|
BlackRock Inc. |
106,308 | 420,351 | (6,152 | ) | 2,296 | 3,037 | 525,840 | 627 | 3,015 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $ | 2,316 | $ | 3,037 | $ | 679,843 | $ | 3,082 | $ | — | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| (a) |
Represents net amount purchased (sold). |
| (b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts
| Description | Number of Contracts |
Expiration Date |
Notional Amount (000) |
Value/ Unrealized Appreciation (Depreciation) |
||||||||||||
|
Long Contracts |
||||||||||||||||
|
S&P 500 Micro E-Mini Index |
5 | 12/17/21 | $ | 107 | $ | (4,643 | ) | |||||||||
|
|
|
|||||||||||||||
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
| Equity Contracts |
||||
|
Liabilities — Derivative Financial Instruments |
||||
|
Futures contracts |
||||
|
Unrealized depreciation on futures contracts(a) |
$ | 4,643 | ||
|
|
|
|||
| (a) |
Net cumulative appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
|
S C H E D U L E O F I N V E S T M E N T S |
13 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P 500 ETF |
For the period ended September 30, 2021, the effect of derivative financial instruments in the Statements of Operations was as follows:
| Equity Contracts |
||||
|
Net Realized Gain (Loss) from: |
||||
|
Futures contracts |
$ | 12,811 | ||
|
|
|
|||
|
Net Change in Unrealized Appreciation (Depreciation) on: |
||||
|
Futures contracts |
$ | (5,397 | ) | |
|
|
|
|||
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
Futures contracts: |
||||
|
Average notional value of contracts — long |
$ | 98,002 | ||
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
Investments |
||||||||||||||||
|
Assets |
||||||||||||||||
|
Common Stocks |
$ | 146,688,975 | $ | — | $ | — | $ | 146,688,975 | ||||||||
|
Money Market Funds |
154,003 | — | — | 154,003 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 146,842,978 | $ | — | $ | — | $ | 146,842,978 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative financial instruments(a) |
||||||||||||||||
|
Liabilities |
||||||||||||||||
|
Futures Contracts |
$ | (4,643 | ) | $ | — | $ | — | $ | (4,643 | ) | ||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
| 14 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Mid-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
| |||||||
| Aerospace & Defense — 1.1% | ||||||||
|
Axon Enterprise Inc.(a) |
1,206 | $ | 211,074 | |||||
|
Curtiss-Wright Corp. |
753 | 95,013 | ||||||
|
Hexcel Corp.(a) |
1,545 | 91,758 | ||||||
|
Mercury Systems Inc.(a) |
1,031 | 48,890 | ||||||
|
|
|
|||||||
| 446,735 | ||||||||
| Air Freight & Logistics — 0.4% | ||||||||
|
GXO Logistics Inc.(a) |
1,810 | 141,976 | ||||||
|
|
|
|||||||
| Airlines — 0.2% | ||||||||
|
JetBlue Airways Corp.(a) |
5,859 | 89,584 | ||||||
|
|
|
|||||||
| Auto Components — 1.8% | ||||||||
|
Adient PLC(a) |
1,736 | 71,957 | ||||||
|
Dana Inc. |
2,676 | 59,514 | ||||||
|
Fox Factory Holding Corp.(a) |
775 | 112,019 | ||||||
|
Gentex Corp. |
4,402 | 145,178 | ||||||
|
Goodyear Tire & Rubber Co. (The)(a) |
5,176 | 91,615 | ||||||
|
Lear Corp. |
1,097 | 171,659 | ||||||
|
Visteon Corp.(a) |
524 | 49,460 | ||||||
|
|
|
|||||||
| 701,402 | ||||||||
| Automobiles — 0.6% | ||||||||
|
Harley-Davidson Inc. |
2,835 | 103,790 | ||||||
|
Thor Industries Inc. |
1,020 | 125,215 | ||||||
|
|
|
|||||||
| 229,005 | ||||||||
| Banks — 7.6% | ||||||||
|
Associated Banc-Corp. |
2,818 | 60,362 | ||||||
|
BancorpSouth Bank |
1,285 | 38,267 | ||||||
|
Bank of Hawaii Corp. |
756 | 62,121 | ||||||
|
Bank OZK |
2,245 | 96,490 | ||||||
|
Cathay General Bancorp. |
1,460 | 60,429 | ||||||
|
CIT Group Inc. |
1,827 | 94,913 | ||||||
|
Commerce Bancshares Inc. |
1,958 | 136,433 | ||||||
|
Cullen/Frost Bankers Inc. |
1,043 | 123,721 | ||||||
|
East West Bancorp. Inc. |
2,614 | 202,690 | ||||||
|
First Financial Bankshares Inc. |
2,360 | 108,442 | ||||||
|
First Horizon Corp. |
10,121 | 164,871 | ||||||
|
FNB Corp. |
5,887 | 68,407 | ||||||
|
Fulton Financial Corp. |
3,058 | 46,726 | ||||||
|
Glacier Bancorp. Inc. |
1,992 | 110,257 | ||||||
|
Hancock Whitney Corp. |
1,600 | 75,392 | ||||||
|
Home BancShares Inc./AR |
2,781 | 65,437 | ||||||
|
International Bancshares Corp. |
981 | 40,849 | ||||||
|
PacWest Bancorp. |
2,159 | 97,846 | ||||||
|
Pinnacle Financial Partners Inc. |
1,402 | 131,900 | ||||||
|
Prosperity Bancshares Inc. |
1,712 | 121,775 | ||||||
|
Signature Bank/New York NY |
1,114 | 303,320 | ||||||
|
Sterling Bancorp./DE |
3,550 | 88,608 | ||||||
|
Synovus Financial Corp. |
2,698 | 118,415 | ||||||
|
Texas Capital Bancshares Inc.(a) |
946 | 56,779 | ||||||
|
UMB Financial Corp. |
793 | 76,691 | ||||||
|
Umpqua Holdings Corp. |
4,097 | 82,964 | ||||||
|
United Bankshares Inc./WV |
2,380 | 86,584 | ||||||
|
Valley National Bancorp. |
7,492 | 99,718 | ||||||
|
Webster Financial Corp. |
1,669 | 90,894 | ||||||
|
Wintrust Financial Corp. |
1,051 | 84,469 | ||||||
|
|
|
|||||||
| 2,995,770 | ||||||||
| Beverages — 0.2% | ||||||||
|
Boston Beer Co. Inc. (The), Class A, NVS(a) |
173 | 88,187 | ||||||
|
|
|
|||||||
| Security | Shares | Value | ||||||
| Biotechnology — 1.8% | ||||||||
|
Arrowhead Pharmaceuticals Inc.(a) |
1,920 | $ | 119,866 | |||||
|
Emergent BioSolutions Inc.(a) |
897 | 44,913 | ||||||
|
Exelixis Inc.(a) |
5,804 | 122,696 | ||||||
|
Halozyme Therapeutics Inc.(a) |
2,614 | 106,337 | ||||||
|
Neurocrine Biosciences Inc.(a) |
1,738 | 166,692 | ||||||
|
United Therapeutics Corp.(a) |
824 | 152,094 | ||||||
|
|
|
|||||||
| 712,598 | ||||||||
| Building Products — 2.6% | ||||||||
|
Builders FirstSource Inc.(a) |
3,805 | 196,870 | ||||||
|
Carlisle Companies Inc. |
958 | 190,441 | ||||||
|
Lennox International Inc. |
628 | 184,739 | ||||||
|
Owens Corning |
1,894 | 161,937 | ||||||
|
Simpson Manufacturing Co. Inc. |
800 | 85,576 | ||||||
|
Trex Co. Inc.(a) |
2,118 | 215,888 | ||||||
|
|
|
|||||||
| 1,035,451 | ||||||||
| Capital Markets — 2.9% | ||||||||
|
Affiliated Managers Group Inc. |
760 | 114,828 | ||||||
|
Evercore Inc., Class A |
731 | 97,713 | ||||||
|
FactSet Research Systems Inc. |
694 | 273,977 | ||||||
|
Federated Hermes Inc. |
1,823 | 59,248 | ||||||
|
Interactive Brokers Group Inc., Class A |
1,591 | 99,183 | ||||||
|
Janus Henderson Group PLC |
2,986 | 123,411 | ||||||
|
Jefferies Financial Group Inc. |
3,629 | 134,745 | ||||||
|
SEI Investments Co. |
1,976 | 117,177 | ||||||
|
Stifel Financial Corp. |
1,931 | 131,231 | ||||||
|
|
|
|||||||
| 1,151,513 | ||||||||
| Chemicals — 2.3% | ||||||||
|
Ashland Global Holdings Inc. |
1,037 | 92,418 | ||||||
|
Avient Corp. |
1,682 | 77,961 | ||||||
|
Cabot Corp. |
1,046 | 52,426 | ||||||
|
Chemours Co. (The) |
3,043 | 88,430 | ||||||
|
Ingevity Corp.(a) |
728 | 51,957 | ||||||
|
Minerals Technologies Inc. |
630 | 43,999 | ||||||
|
NewMarket Corp. |
133 | 45,056 | ||||||
|
RPM International Inc. |
2,391 | 185,661 | ||||||
|
Scotts Miracle-Gro Co. (The) |
750 | 109,770 | ||||||
|
Sensient Technologies Corp. |
774 | 70,496 | ||||||
|
Valvoline Inc. |
3,330 | 103,829 | ||||||
|
|
|
|||||||
| 922,003 | ||||||||
| Commercial Services & Supplies — 1.9% | ||||||||
|
Brink’s Co. (The) |
918 | 58,109 | ||||||
|
Clean Harbors Inc.(a) |
919 | 95,457 | ||||||
|
Herman Miller Inc. |
1,383 | 52,084 | ||||||
|
IAA Inc.(a) |
2,484 | 135,552 | ||||||
|
KAR Auction Services Inc.(a) |
2,196 | 35,992 | ||||||
|
MSA Safety Inc. |
672 | 97,910 | ||||||
|
Stericycle Inc.(a) |
1,692 | 115,005 | ||||||
|
Tetra Tech Inc. |
993 | 148,295 | ||||||
|
|
|
|||||||
| 738,404 | ||||||||
| Communications Equipment — 0.9% | ||||||||
|
Ciena Corp.(a) |
2,852 | 146,450 | ||||||
|
Lumentum Holdings Inc.(a) |
1,399 | 116,873 | ||||||
|
NetScout Systems Inc.(a)(b) |
1,394 | 37,568 | ||||||
|
Viasat Inc.(a) |
1,351 | 74,400 | ||||||
|
|
|
|||||||
| 375,291 | ||||||||
| Construction & Engineering — 1.3% | ||||||||
|
AECOM(a) |
2,645 | 167,032 | ||||||
|
Dycom Industries Inc.(a)(b) |
578 | 41,177 | ||||||
|
EMCOR Group Inc. |
990 | 114,226 | ||||||
|
S C H E D U L E O F I N V E S T M E N T S |
15 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Mid-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Construction & Engineering (continued) | ||||||||
|
MasTec Inc.(a) |
1,054 | $ | 90,939 | |||||
|
Valmont Industries Inc. |
390 | 91,697 | ||||||
|
|
|
|||||||
| 505,071 | ||||||||
| Construction Materials — 0.3% | ||||||||
|
Eagle Materials Inc. |
769 | 100,862 | ||||||
|
|
|
|||||||
| Consumer Finance — 0.6% | ||||||||
|
LendingTree Inc.(a) |
216 | 30,203 | ||||||
|
Navient Corp. |
3,082 | 60,808 | ||||||
|
PROG Holdings Inc. |
1,225 | 51,462 | ||||||
|
SLM Corp. |
5,634 | 99,159 | ||||||
|
|
|
|||||||
| 241,632 | ||||||||
| Containers & Packaging — 0.9% | ||||||||
|
AptarGroup Inc. |
1,215 | 145,010 | ||||||
|
Greif Inc., Class A, NVS |
487 | 31,460 | ||||||
|
Silgan Holdings Inc. |
1,542 | 59,151 | ||||||
|
Sonoco Products Co. |
1,811 | 107,900 | ||||||
|
|
|
|||||||
| 343,521 | ||||||||
| Diversified Consumer Services — 1.0% | ||||||||
|
Graham Holdings Co., Class B |
75 | 44,187 | ||||||
|
Grand Canyon Education Inc.(a) |
833 | 73,271 | ||||||
|
H&R Block Inc. |
3,280 | 82,000 | ||||||
|
Service Corp. International |
3,077 | 185,420 | ||||||
|
|
|
|||||||
| 384,878 | ||||||||
| Diversified Telecommunication Services — 0.2% | ||||||||
|
Iridium Communications Inc.(a) |
2,430 | 96,835 | ||||||
|
|
|
|||||||
| Electric Utilities — 0.2% | ||||||||
|
Hawaiian Electric Industries Inc. |
2,014 | 82,232 | ||||||
|
|
|
|||||||
| Electrical Equipment — 1.8% | ||||||||
|
Acuity Brands Inc. |
658 | 114,077 | ||||||
|
EnerSys |
784 | 58,361 | ||||||
|
Hubbell Inc. |
998 | 180,309 | ||||||
|
nVent Electric PLC |
3,097 | 100,126 | ||||||
|
Regal Beloit Corp. |
747 | 112,304 | ||||||
|
Sunrun Inc.(a) |
3,782 | 166,408 | ||||||
|
|
|
|||||||
| 731,585 | ||||||||
| Electronic Equipment, Instruments & Components — 3.4% | ||||||||
|
Arrow Electronics Inc.(a) |
1,323 | 148,560 | ||||||
|
Avnet Inc. |
1,833 | 67,766 | ||||||
|
Belden Inc. |
840 | 48,938 | ||||||
|
Cognex Corp. |
3,244 | 260,234 | ||||||
|
Coherent Inc.(a) |
452 | 113,041 | ||||||
|
II-VI Inc.(a) |
1,932 | 114,683 | ||||||
|
Jabil Inc. |
2,678 | 156,315 | ||||||
|
Littelfuse Inc. |
454 | 124,065 | ||||||
|
National Instruments Corp. |
2,450 | 96,113 | ||||||
|
SYNNEX Corp. |
766 | 79,741 | ||||||
|
Vishay Intertechnology Inc. |
2,484 | 49,903 | ||||||
|
Vontier Corp. |
3,136 | 105,370 | ||||||
|
|
|
|||||||
| 1,364,729 | ||||||||
| Energy Equipment & Services — 0.2% | ||||||||
|
ChampionX Corp.(a) |
3,683 | 82,352 | ||||||
|
|
|
|||||||
| Entertainment — 0.1% | ||||||||
|
World Wrestling Entertainment Inc., Class A |
846 | 47,596 | ||||||
|
|
|
|||||||
| Equity Real Estate Investment Trusts (REITs) — 9.9% | ||||||||
|
American Campus Communities Inc. |
2,554 | 123,741 | ||||||
| Security | Shares | Value | ||||||
| Equity Real Estate Investment Trusts (REITs) (continued) | ||||||||
|
Apartment Income REIT Corp. |
2,882 | $ | 140,670 | |||||
|
Brixmor Property Group Inc. |
5,472 | 120,986 | ||||||
|
Camden Property Trust |
1,847 | 272,377 | ||||||
|
CoreSite Realty Corp. |
812 | 112,495 | ||||||
|
Corporate Office Properties Trust |
2,070 | 55,849 | ||||||
|
Cousins Properties Inc. |
2,740 | 102,175 | ||||||
|
CyrusOne Inc. |
2,278 | 176,340 | ||||||
|
Douglas Emmett Inc. |
3,222 | 101,847 | ||||||
|
EastGroup Properties Inc. |
742 | 123,640 | ||||||
|
EPR Properties |
1,379 | 68,095 | ||||||
|
First Industrial Realty Trust Inc. |
2,371 | 123,482 | ||||||
|
Healthcare Realty Trust Inc. |
2,672 | 79,572 | ||||||
|
Highwoods Properties Inc. |
1,914 | 83,948 | ||||||
|
Hudson Pacific Properties Inc. |
2,809 | 73,792 | ||||||
|
JBG SMITH Properties |
2,166 | 64,135 | ||||||
|
Kilroy Realty Corp. |
1,931 | 127,852 | ||||||
|
Lamar Advertising Co., Class A |
1,593 | 180,726 | ||||||
|
Life Storage Inc. |
1,438 | 164,996 | ||||||
|
Macerich Co. (The) |
3,923 | 65,553 | ||||||
|
Medical Properties Trust Inc. |
10,939 | 219,546 | ||||||
|
National Retail Properties Inc. |
3,225 | 139,288 | ||||||
|
National Storage Affiliates Trust |
1,498 | 79,079 | ||||||
|
Omega Healthcare Investors Inc. |
4,401 | 131,854 | ||||||
|
Park Hotels & Resorts Inc.(a) |
4,357 | 83,393 | ||||||
|
Pebblebrook Hotel Trust |
2,420 | 54,232 | ||||||
|
Physicians Realty Trust |
4,052 | 71,396 | ||||||
|
PotlatchDeltic Corp. |
1,235 | 63,701 | ||||||
|
PS Business Parks Inc. |
376 | 58,934 | ||||||
|
Rayonier Inc. |
2,603 | 92,875 | ||||||
|
Rexford Industrial Realty Inc. |
2,529 | 143,521 | ||||||
|
Sabra Health Care REIT Inc. |
4,120 | 60,646 | ||||||
|
SL Green Realty Corp. |
1,237 | 87,629 | ||||||
|
Spirit Realty Capital Inc. |
2,187 | 100,690 | ||||||
|
STORE Capital Corp. |
4,490 | 143,815 | ||||||
|
Urban Edge Properties |
2,073 | 37,957 | ||||||
|
|
|
|||||||
| 3,930,827 | ||||||||
| Food & Staples Retailing — 0.5% | ||||||||
|
BJ’s Wholesale Club Holdings Inc.(a) |
2,518 | 138,288 | ||||||
|
Sprouts Farmers Market Inc.(a) |
2,104 | 48,750 | ||||||
|
|
|
|||||||
| 187,038 | ||||||||
| Food Products — 1.9% | ||||||||
|
Darling Ingredients Inc.(a) |
2,976 | 213,974 | ||||||
|
Flowers Foods Inc. |
3,667 | 86,651 | ||||||
|
Hain Celestial Group Inc. (The)(a)(b) |
1,564 | 66,908 | ||||||
|
Ingredion Inc. |
1,234 | 109,838 | ||||||
|
Lancaster Colony Corp. |
366 | 61,784 | ||||||
|
Pilgrim’s Pride Corp.(a) |
895 | 26,027 | ||||||
|
Post Holdings Inc.(a) |
1,080 | 118,973 | ||||||
|
Sanderson Farms Inc. |
395 | 74,339 | ||||||
|
Tootsie Roll Industries Inc. |
346 | 10,529 | ||||||
|
|
|
|||||||
| 769,023 | ||||||||
| Gas Utilities — 1.1% | ||||||||
|
New Jersey Resources Corp. |
1,777 | 61,858 | ||||||
|
ONE Gas Inc. |
986 | 62,483 | ||||||
|
Southwest Gas Holdings Inc. |
1,101 | 73,635 | ||||||
|
Spire Inc. |
952 | 58,243 | ||||||
|
UGI Corp. |
3,852 | 164,172 | ||||||
|
|
|
|||||||
| 420,391 | ||||||||
| 16 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Mid-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Health Care Equipment & Supplies — 3.5% | ||||||||
|
Globus Medical Inc., Class A(a) |
1,438 | $ | 110,180 | |||||
|
Haemonetics Corp.(a) |
939 | 66,284 | ||||||
|
Hill-Rom Holdings Inc. |
1,209 | 181,350 | ||||||
|
ICU Medical Inc.(a) |
366 | 85,417 | ||||||
|
Integra LifeSciences Holdings Corp.(a) |
1,340 | 91,763 | ||||||
|
LivaNova PLC(a) |
990 | 78,398 | ||||||
|
Masimo Corp.(a) |
930 | 251,760 | ||||||
|
Neogen Corp.(a) |
1,980 | 85,992 | ||||||
|
NuVasive Inc.(a) |
952 | 56,977 | ||||||
|
Penumbra Inc.(a) |
632 | 168,428 | ||||||
|
Quidel Corp.(a) |
698 | 98,523 | ||||||
|
STAAR Surgical Co.(a) |
874 | 112,335 | ||||||
|
|
|
|||||||
| 1,387,407 | ||||||||
| Health Care Providers & Services — 3.2% | ||||||||
|
Acadia Healthcare Co. Inc.(a) |
1,655 | 105,556 | ||||||
|
Amedisys Inc.(a) |
601 | 89,609 | ||||||
|
Chemed Corp. |
290 | 134,885 | ||||||
|
Encompass Health Corp. |
1,833 | 137,548 | ||||||
|
HealthEquity Inc.(a) |
1,536 | 99,471 | ||||||
|
LHC Group Inc.(a) |
584 | 91,636 | ||||||
|
Molina Healthcare Inc.(a) |
1,073 | 291,116 | ||||||
|
Patterson Companies Inc. |
1,588 | 47,862 | ||||||
|
Progyny Inc.(a) |
1,264 | 70,784 | ||||||
|
R1 RCM Inc.(a) |
2,466 | 54,277 | ||||||
|
Tenet Healthcare Corp.(a) |
1,966 | 130,621 | ||||||
|
|
|
|||||||
| 1,253,365 | ||||||||
| Hotels, Restaurants & Leisure — 3.3% | ||||||||
|
Boyd Gaming Corp.(a) |
1,510 | 95,523 | ||||||
|
Choice Hotels International Inc. |
612 | 77,338 | ||||||
|
Churchill Downs Inc. |
639 | 153,411 | ||||||
|
Cracker Barrel Old Country Store Inc. |
437 | 61,110 | ||||||
|
Jack in the Box Inc. |
399 | 38,835 | ||||||
|
Marriott Vacations Worldwide Corp. |
787 | 123,819 | ||||||
|
Papa John’s International Inc. |
606 | 76,956 | ||||||
|
Scientific Games Corp./DE, Class A(a) |
1,587 | 131,832 | ||||||
|
Six Flags Entertainment Corp.(a) |
1,443 | 61,327 | ||||||
|
Texas Roadhouse Inc. |
1,291 | 117,907 | ||||||
|
Travel + Leisure Co. |
1,590 | 86,703 | ||||||
|
Wendy’s Co. (The) |
3,283 | 71,175 | ||||||
|
Wingstop Inc. |
546 | 89,506 | ||||||
|
Wyndham Hotels & Resorts Inc. |
1,717 | 132,535 | ||||||
|
|
|
|||||||
| 1,317,977 | ||||||||
| Household Durables — 1.7% | ||||||||
|
Helen of Troy Ltd.(a) |
442 | 99,309 | ||||||
|
KB Home |
1,677 | 65,269 | ||||||
|
Taylor Morrison Home Corp.(a)(b) |
2,308 | 59,500 | ||||||
|
Tempur Sealy International Inc. |
3,608 | 167,447 | ||||||
|
Toll Brothers Inc. |
2,137 | 118,155 | ||||||
|
TopBuild Corp.(a) |
604 | 123,705 | ||||||
|
TRI Pointe Homes Inc.(a) |
2,096 | 44,058 | ||||||
|
|
|
|||||||
| 677,443 | ||||||||
| Household Products — 0.1% | ||||||||
|
Energizer Holdings Inc. |
1,145 | 44,712 | ||||||
|
|
|
|||||||
| Insurance — 3.7% | ||||||||
|
Alleghany Corp.(a) |
256 | 159,849 | ||||||
|
American Financial Group Inc./OH |
1,218 | 153,261 | ||||||
|
Brighthouse Financial Inc.(a) |
1,532 | 69,292 | ||||||
|
CNO Financial Group Inc. |
2,354 | 55,413 | ||||||
| Security | Shares | Value | ||||||
| Insurance (continued) | ||||||||
|
First American Financial Corp. |
2,026 | $ | 135,843 | |||||
|
Hanover Insurance Group Inc. (The) |
658 | 85,290 | ||||||
|
Kemper Corp. |
1,102 | 73,603 | ||||||
|
Kinsale Capital Group Inc. |
395 | 63,871 | ||||||
|
Mercury General Corp. |
504 | 28,058 | ||||||
|
Old Republic International Corp. |
5,238 | 121,155 | ||||||
|
Primerica Inc. |
727 | 111,689 | ||||||
|
Reinsurance Group of America Inc. |
1,253 | 139,409 | ||||||
|
RenaissanceRe Holdings Ltd. |
868 | 120,999 | ||||||
|
RLI Corp. |
733 | 73,498 | ||||||
|
Selective Insurance Group Inc. |
1,107 | 83,612 | ||||||
|
|
|
|||||||
| 1,474,842 | ||||||||
| Interactive Media & Services — 0.3% | ||||||||
|
TripAdvisor Inc.(a) |
1,813 | 61,370 | ||||||
|
Yelp Inc.(a) |
1,274 | 47,444 | ||||||
|
|
|
|||||||
| 108,814 | ||||||||
| IT Services — 1.9% | ||||||||
|
Alliance Data Systems Corp. |
918 | 92,617 | ||||||
|
Concentrix Corp.(a) |
787 | 139,299 | ||||||
|
Genpact Ltd. |
3,182 | 151,177 | ||||||
|
LiveRamp Holdings Inc.(a) |
1,251 | 59,085 | ||||||
|
Maximus Inc. |
1,132 | 94,182 | ||||||
|
Sabre Corp.(a) |
6,016 | 71,229 | ||||||
|
WEX Inc.(a) |
826 | 145,492 | ||||||
|
|
|
|||||||
| 753,081 | ||||||||
| Leisure Products — 1.5% | ||||||||
|
Brunswick Corp./DE |
1,428 | 136,046 | ||||||
|
Callaway Golf Co.(a) |
2,151 | 59,432 | ||||||
|
Mattel Inc.(a) |
6,429 | 119,322 | ||||||
|
Polaris Inc. |
1,050 | 125,643 | ||||||
|
YETI Holdings Inc.(a) |
1,606 | 137,618 | ||||||
|
|
|
|||||||
| 578,061 | ||||||||
| Life Sciences Tools & Services — 1.4% | ||||||||
|
Medpace Holdings Inc.(a) |
526 | 99,561 | ||||||
|
Repligen Corp.(a) |
939 | 271,362 | ||||||
|
Syneos Health Inc.(a) |
1,900 | 166,212 | ||||||
|
|
|
|||||||
| 537,135 | ||||||||
| Machinery — 5.4% | ||||||||
|
AGCO Corp. |
1,139 | 139,562 | ||||||
|
Colfax Corp.(a) |
2,386 | 109,517 | ||||||
|
Crane Co. |
918 | 87,035 | ||||||
|
Donaldson Co. Inc. |
2,314 | 132,847 | ||||||
|
Flowserve Corp. |
2,400 | 83,208 | ||||||
|
Graco Inc. |
3,117 | 218,096 | ||||||
|
ITT Inc. |
1,586 | 136,142 | ||||||
|
Kennametal Inc. |
1,540 | 52,714 | ||||||
|
Lincoln Electric Holdings Inc. |
1,094 | 140,896 | ||||||
|
Middleby Corp. (The)(a) |
1,021 | 174,091 | ||||||
|
Nordson Corp. |
993 | 236,483 | ||||||
|
Oshkosh Corp. |
1,264 | 129,396 | ||||||
|
Terex Corp. |
1,286 | 54,141 | ||||||
|
Timken Co. (The) |
1,278 | 83,607 | ||||||
|
Toro Co. (The) |
1,966 | 191,508 | ||||||
|
Trinity Industries Inc. |
1,532 | 41,624 | ||||||
|
Woodward Inc. |
1,168 | 132,218 | ||||||
|
|
|
|||||||
| 2,143,085 | ||||||||
| Marine — 0.1% | ||||||||
|
Kirby Corp.(a) |
1,107 | 53,092 | ||||||
|
|
|
|||||||
|
S C H E D U L E O F I N V E S T M E N T S |
17 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Mid-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Media — 1.1% | ||||||||
|
Cable One Inc. |
91 | $ | 164,995 | |||||
|
John Wiley & Sons Inc., Class A |
816 | 42,603 | ||||||
|
New York Times Co. (The), Class A |
3,078 | 151,653 | ||||||
|
TEGNA Inc. |
4,073 | 80,320 | ||||||
|
|
|
|||||||
| 439,571 | ||||||||
| Metals & Mining — 2.3% | ||||||||
|
Cleveland-Cliffs Inc.(a) |
8,351 | 165,433 | ||||||
|
Commercial Metals Co. |
2,222 | 67,682 | ||||||
|
Compass Minerals International Inc. |
639 | 41,152 | ||||||
|
Reliance Steel & Aluminum Co. |
1,169 | 166,489 | ||||||
|
Royal Gold Inc. |
1,209 | 115,447 | ||||||
|
Steel Dynamics Inc. |
3,561 | 208,247 | ||||||
|
United States Steel Corp. |
4,976 | 109,323 | ||||||
|
Worthington Industries Inc. |
610 | 32,147 | ||||||
|
|
|
|||||||
| 905,920 | ||||||||
| Multi-Utilities — 0.3% | ||||||||
|
MDU Resources Group Inc. |
3,730 | 110,669 | ||||||
|
|
|
|||||||
| Multiline Retail — 0.7% | ||||||||
|
Kohl’s Corp. |
2,879 | 135,572 | ||||||
|
Nordstrom Inc.(a) |
2,080 | 55,016 | ||||||
|
Ollie’s Bargain Outlet Holdings Inc.(a) |
1,119 | 67,453 | ||||||
|
|
|
|||||||
| 258,041 | ||||||||
| Oil, Gas & Consumable Fuels — 0.9% | ||||||||
|
Equitrans Midstream Corp. |
7,466 | 75,705 | ||||||
|
HollyFrontier Corp. |
2,745 | 90,942 | ||||||
|
Targa Resources Corp. |
4,199 | 206,633 | ||||||
|
|
|
|||||||
| 373,280 | ||||||||
| Paper & Forest Products — 0.3% | ||||||||
|
Louisiana-Pacific Corp. |
1,755 | 107,704 | ||||||
|
|
|
|||||||
| Personal Products — 0.2% | ||||||||
|
Coty Inc., Class A(a) |
6,163 | 48,441 | ||||||
|
Nu Skin Enterprises Inc., Class A |
943 | 38,163 | ||||||
|
|
|
|||||||
| 86,604 | ||||||||
| Pharmaceuticals — 0.5% | ||||||||
|
Jazz Pharmaceuticals PLC(a) |
1,126 | 146,616 | ||||||
|
Nektar Therapeutics(a) |
3,436 | 61,711 | ||||||
|
|
|
|||||||
| 208,327 | ||||||||
| Professional Services — 1.4% | ||||||||
|
ASGN Inc.(a) |
971 | 109,859 | ||||||
|
FTI Consulting Inc.(a)(b) |
632 | 85,130 | ||||||
|
Insperity Inc. |
661 | 73,199 | ||||||
|
KBR Inc. |
2,586 | 101,889 | ||||||
|
ManpowerGroup Inc. |
999 | 108,172 | ||||||
|
Science Applications International Corp. |
1,068 | 91,378 | ||||||
|
|
|
|||||||
| 569,627 | ||||||||
| Real Estate Management & Development — 0.6% | ||||||||
|
Jones Lang LaSalle Inc.(a) |
931 | 230,972 | ||||||
|
|
|
|||||||
| Road & Rail — 1.6% | ||||||||
|
Avis Budget Group Inc.(a) |
867 | 101,014 | ||||||
|
Knight-Swift Transportation Holdings Inc. |
3,048 | 155,905 | ||||||
|
Landstar System Inc. |
705 | 111,263 | ||||||
|
Ryder System Inc. |
991 | 81,966 | ||||||
|
Werner Enterprises Inc. |
1,136 | 50,291 | ||||||
|
XPO Logistics Inc.(a) |
1,810 | 144,040 | ||||||
|
|
|
|||||||
| 644,479 | ||||||||
| Security | Shares | Value | ||||||
| Semiconductors & Semiconductor Equipment — 3.9% | ||||||||
|
Amkor Technology Inc. |
1,900 | $ | 47,405 | |||||
|
Brooks Automation Inc. |
1,369 | 140,117 | ||||||
|
Cirrus Logic Inc.(a) |
1,071 | 88,197 | ||||||
|
CMC Materials Inc. |
538 | 66,298 | ||||||
|
First Solar Inc.(a) |
1,822 | 173,928 | ||||||
|
Lattice Semiconductor Corp.(a) |
2,505 | 161,948 | ||||||
|
MKS Instruments Inc. |
1,021 | 154,079 | ||||||
|
Semtech Corp.(a) |
1,192 | 92,940 | ||||||
|
Silicon Laboratories Inc.(a) |
748 | 104,840 | ||||||
|
SolarEdge Technologies Inc.(a) |
963 | 255,407 | ||||||
|
Synaptics Inc.(a) |
648 | 116,465 | ||||||
|
Universal Display Corp. |
798 | 136,426 | ||||||
|
|
|
|||||||
| 1,538,050 | ||||||||
| Software — 4.4% | ||||||||
|
ACI Worldwide Inc.(a) |
2,164 | 66,500 | ||||||
|
Aspen Technology Inc.(a) |
1,251 | 153,623 | ||||||
|
Blackbaud Inc.(a) |
774 | 54,451 | ||||||
|
CDK Global Inc. |
2,244 | 95,482 | ||||||
|
Cerence Inc.(a) |
698 | 67,085 | ||||||
|
CommVault Systems Inc.(a) |
856 | 64,465 | ||||||
|
Envestnet Inc.(a) |
356 | 28,565 | ||||||
|
Fair Isaac Corp.(a) |
523 | 208,117 | ||||||
|
J2 Global Inc.(a) |
885 | 120,909 | ||||||
|
Manhattan Associates Inc.(a) |
1,164 | 178,127 | ||||||
|
NCR Corp.(a) |
2,421 | 93,838 | ||||||
|
Paylocity Holding Corp.(a) |
722 | 202,449 | ||||||
|
Qualys Inc.(a) |
617 | 68,666 | ||||||
|
SailPoint Technologies Holdings Inc.(a) |
1,712 | 73,411 | ||||||
|
Teradata Corp.(a) |
2,010 | 115,273 | ||||||
|
Wolfspeed Inc. |
2,128 | 171,793 | ||||||
|
|
|
|||||||
| 1,762,754 | ||||||||
| Specialty Retail — 3.6% | ||||||||
|
American Eagle Outfitters Inc. |
2,812 | 72,549 | ||||||
|
AutoNation Inc.(a) |
805 | 98,017 | ||||||
|
Five Below Inc.(a) |
1,032 | 182,468 | ||||||
|
Foot Locker Inc. |
1,659 | 75,750 | ||||||
|
GameStop Corp., Class A(a) |
1,146 | 201,089 | ||||||
|
Lithia Motors Inc. |
557 | 176,591 | ||||||
|
Murphy USA Inc. |
438 | 73,260 | ||||||
|
RH(a) |
313 | 208,743 | ||||||
|
Urban Outfitters Inc.(a) |
1,214 | 36,044 | ||||||
|
Victoria’s Secret & Co.(a) |
1,379 | 76,203 | ||||||
|
Williams-Sonoma Inc. |
1,380 | 244,715 | ||||||
|
|
|
|||||||
| 1,445,429 | ||||||||
| Technology Hardware, Storage & Peripherals — 0.1% | ||||||||
|
Xerox Holdings Corp. |
2,532 | 51,070 | ||||||
|
|
|
|||||||
| Textiles, Apparel & Luxury Goods — 1.8% | ||||||||
|
Capri Holdings Ltd.(a) |
2,800 | 135,548 | ||||||
|
Carter’s Inc. |
811 | 78,862 | ||||||
|
Columbia Sportswear Co. |
644 | 61,721 | ||||||
|
Crocs Inc.(a) |
1,146 | 164,428 | ||||||
|
Deckers Outdoor Corp.(a) |
508 | 182,981 | ||||||
|
Skechers U.S.A. Inc., Class A(a) |
2,485 | 104,668 | ||||||
|
|
|
|||||||
| 728,208 | ||||||||
| Thrifts & Mortgage Finance — 0.9% | ||||||||
|
Essent Group Ltd. |
2,061 | 90,705 | ||||||
|
MGIC Investment Corp. |
6,251 | 93,515 | ||||||
|
New York Community Bancorp. Inc. |
8,567 | 110,257 | ||||||
| 18 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Mid-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Thrifts & Mortgage Finance (continued) | ||||||||
|
Washington Federal Inc. |
1,277 | $ | 43,814 | |||||
|
|
|
|||||||
| 338,291 | ||||||||
| Trading Companies & Distributors — 0.9% | ||||||||
|
GATX Corp. |
654 | 58,572 | ||||||
|
MSC Industrial Direct Co. Inc., Class A |
865 | 69,364 | ||||||
|
Univar Solutions Inc.(a) |
3,149 | 75,009 | ||||||
|
Watsco Inc. |
606 | 160,360 | ||||||
|
|
|
|||||||
| 363,305 | ||||||||
| Water Utilities — 0.5% | ||||||||
|
Essential Utilities Inc. |
4,120 | 189,850 | ||||||
|
|
|
|||||||
| Wireless Telecommunication Services — 0.1% | ||||||||
|
Telephone and Data Systems Inc. |
1,863 | 36,328 | ||||||
|
|
|
|||||||
|
Total
Common Stocks — 99.9% |
39,633,984 | |||||||
|
|
|
|||||||
|
Short-Term Investments |
| |||||||
| Money Market Funds — 0.7% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, |
||||||||
|
0.05%(c)(d)(e) |
236,552 | 236,670 | ||||||
| Security | Shares | Value | ||||||
| Money Market Funds (continued) | ||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, |
||||||||
|
0.00%(c)(d) |
40,000 | $ | 40,000 | |||||
|
|
|
|||||||
| 276,670 | ||||||||
|
|
|
|||||||
|
Total
Short-Term Investments — 0.7% |
276,670 | |||||||
|
|
|
|||||||
|
Total
Investments in Securities — 100.6% |
|
39,910,654 | ||||||
|
Other Assets, Less Liabilities — (0.6)% |
|
(221,296 | ) | |||||
|
|
|
|||||||
|
Net Assets — 100.0% |
|
$ | 39,689,358 | |||||
|
|
|
|||||||
| (a) |
Non-income producing security. |
| (b) |
All or a portion of this security is on loan. |
| (c) |
Affiliate of the Fund. |
| (d) |
Annualized 7-day yield as of period end. |
| (e) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer | Value at 03/31/21 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 09/30/21 |
Shares Held at 09/30/21 |
Income |
Capital Gain |
|||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 265,494 | $ | — | $ | (28,792 | )(a) | $ | (32 | ) | $ | — | $ | 236,670 | 236,552 | $ | 191 | (b) | $ | — | ||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
20,000 | 20,000 | (a) | — | — | — | 40,000 | 40,000 | 1 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $ | (32 | ) | $ | — | $ | 276,670 | $ | 192 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| (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 | |||||||||||||
|
Investments |
||||||||||||||||
|
Assets |
||||||||||||||||
|
Common Stocks |
$ | 39,633,984 | $ | — | $ | — | $ | 39,633,984 | ||||||||
|
Money Market Funds |
276,670 | — | — | 276,670 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 39,910,654 | $ | — | $ | — | $ | 39,910,654 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
See notes to financial statements.
|
S C H E D U L E O F I N V E S T M E N T S |
19 |
|
Schedule of Investments (unaudited) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
| |||||||
| Aerospace & Defense — 0.6% | ||||||||
|
AAR Corp.(a) |
595 | $ | 19,296 | |||||
|
Aerovironment Inc.(a) |
411 | 35,477 | ||||||
|
Kaman Corp. |
498 | 17,764 | ||||||
|
National Presto Industries Inc. |
91 | 7,469 | ||||||
|
Park Aerospace Corp. |
346 | 4,733 | ||||||
|
Triumph Group Inc.(a) |
1,155 | 21,518 | ||||||
|
|
|
|||||||
| 106,257 | ||||||||
| Air Freight & Logistics — 0.8% | ||||||||
|
Atlas Air Worldwide Holdings Inc.(a) |
482 | 39,370 | ||||||
|
Echo Global Logistics Inc.(a) |
475 | 22,662 | ||||||
|
Forward Air Corp. |
484 | 40,182 | ||||||
|
Hub Group Inc., Class A(a) |
603 | 41,456 | ||||||
|
|
|
|||||||
| 143,670 | ||||||||
| Airlines — 0.7% | ||||||||
|
Allegiant Travel Co.(a) |
271 | 52,975 | ||||||
|
Hawaiian Holdings Inc.(a) |
915 | 19,819 | ||||||
|
SkyWest Inc.(a) |
901 | 44,455 | ||||||
|
|
|
|||||||
| 117,249 | ||||||||
| Auto Components — 1.4% | ||||||||
|
American Axle & Manufacturing Holdings Inc.(a) |
2,041 | 17,981 | ||||||
|
Cooper-Standard Holdings Inc.(a) |
304 | 6,661 | ||||||
|
Dorman Products Inc.(a) |
513 | 48,566 | ||||||
|
Gentherm Inc.(a) |
592 | 47,910 | ||||||
|
LCI Industries |
452 | 60,853 | ||||||
|
Motorcar Parts of America Inc.(a) |
343 | 6,688 | ||||||
|
Patrick Industries Inc. |
402 | 33,487 | ||||||
|
Standard Motor Products Inc. |
345 | 15,080 | ||||||
|
|
|
|||||||
| 237,226 | ||||||||
| Automobiles — 0.3% | ||||||||
|
Winnebago Industries Inc. |
600 | 43,470 | ||||||
|
|
|
|||||||
| Banks — 8.1% | ||||||||
|
Allegiance Bancshares Inc. |
295 | 11,254 | ||||||
|
Ameris Bancorp. |
1,084 | 56,238 | ||||||
|
Banc of California Inc. |
804 | 14,866 | ||||||
|
BancFirst Corp. |
339 | 20,381 | ||||||
|
Bancorp. Inc. (The)(a) |
708 | 18,019 | ||||||
|
BankUnited Inc. |
1,447 | 60,514 | ||||||
|
Banner Corp. |
377 | 20,814 | ||||||
|
Berkshire Hills Bancorp. Inc. |
581 | 15,675 | ||||||
|
Brookline Bancorp. Inc. |
625 | 9,537 | ||||||
|
Cadence BanCorp |
1,718 | 37,727 | ||||||
|
Central Pacific Financial Corp. |
226 | 5,804 | ||||||
|
City Holding Co. |
125 | 9,739 | ||||||
|
Columbia Banking System Inc. |
1,120 | 42,549 | ||||||
|
Community Bank System Inc. |
842 | 57,610 | ||||||
|
Customers Bancorp. Inc.(a) |
530 | 22,801 | ||||||
|
CVB Financial Corp. |
2,264 | 46,118 | ||||||
|
Dime Community Bancshares Inc. |
600 | 19,596 | ||||||
|
Eagle Bancorp. Inc. |
503 | 28,922 | ||||||
|
FB Financial Corp. |
635 | 27,229 | ||||||
|
First BanCorp./Puerto Rico |
2,024 | 26,616 | ||||||
|
First Bancorp./Southern Pines NC |
228 | 9,806 | ||||||
|
First Commonwealth Financial Corp. |
769 | 10,481 | ||||||
|
First Financial Bancorp |
778 | 18,213 | ||||||
|
First Hawaiian Inc. |
2,318 | 68,033 | ||||||
|
First Midwest Bancorp. Inc. |
1,788 | 33,990 | ||||||
|
Great Western Bancorp. Inc. |
860 | 28,156 | ||||||
| Security | Shares | Value | ||||||
| Banks (continued) | ||||||||
|
Hanmi Financial Corp. |
245 | $ | 4,915 | |||||
|
Heritage Financial Corp./WA |
556 | 14,178 | ||||||
|
Hilltop Holdings Inc. |
1,118 | 36,525 | ||||||
|
Hope Bancorp Inc. |
988 | 14,267 | ||||||
|
Independent Bank Corp. |
515 | 39,217 | ||||||
|
Independent Bank Group Inc. |
663 | 47,099 | ||||||
|
Investors Bancorp. Inc. |
4,030 | 60,893 | ||||||
|
National Bank Holdings Corp., Class A |
486 | 19,673 | ||||||
|
NBT Bancorp. Inc. |
680 | 24,562 | ||||||
|
OFG Bancorp |
413 | 10,416 | ||||||
|
Old National Bancorp./IN |
1,325 | 22,459 | ||||||
|
Pacific Premier Bancorp. Inc. |
1,110 | 45,998 | ||||||
|
Park National Corp. |
259 | 31,585 | ||||||
|
Preferred Bank/Los Angeles CA |
107 | 7,135 | ||||||
|
Renasant Corp. |
885 | 31,904 | ||||||
|
S&T Bancorp. Inc. |
600 | 17,682 | ||||||
|
Seacoast Banking Corp. of Florida |
442 | 14,944 | ||||||
|
ServisFirst Bancshares Inc. |
873 | 67,919 | ||||||
|
Simmons First National Corp., Class A |
866 | 25,599 | ||||||
|
Southside Bancshares Inc. |
432 | 16,541 | ||||||
|
Tompkins Financial Corp. |
213 | 17,234 | ||||||
|
Triumph Bancorp. Inc.(a) |
421 | 42,155 | ||||||
|
United Community Banks Inc./GA |
694 | 22,777 | ||||||
|
Veritex Holdings Inc. |
782 | 30,780 | ||||||
|
Westamerica Bancorp |
422 | 23,742 | ||||||
|
|
|
|||||||
| 1,410,887 | ||||||||
| Beverages — 0.8% | ||||||||
|
Celsius Holdings Inc.(a) |
679 | 61,171 | ||||||
|
Coca-Cola Consolidated Inc. |
83 | 32,717 | ||||||
|
MGP Ingredients Inc. |
223 | 14,517 | ||||||
|
National Beverage Corp. |
417 | 21,889 | ||||||
|
|
|
|||||||
| 130,294 | ||||||||
| Biotechnology — 1.6% | ||||||||
|
Anika Therapeutics Inc.(a)(b) |
258 | 10,980 | ||||||
|
Coherus Biosciences Inc.(a)(b) |
1,135 | 18,239 | ||||||
|
Cytokinetics Inc.(a)(b) |
1,494 | 53,396 | ||||||
|
Eagle Pharmaceuticals Inc./DE(a) |
205 | 11,435 | ||||||
|
Enanta Pharmaceuticals Inc.(a) |
321 | 18,236 | ||||||
|
Myriad Genetics Inc.(a) |
1,396 | 45,077 | ||||||
|
REGENXBIO Inc.(a) |
670 | 28,086 | ||||||
|
Spectrum Pharmaceuticals Inc.(a) |
2,948 | 6,427 | ||||||
|
Vanda Pharmaceuticals Inc.(a) |
995 | 17,054 | ||||||
|
Vericel Corp.(a) |
834 | 40,699 | ||||||
|
Xencor Inc.(a) |
1,042 | 34,032 | ||||||
|
|
|
|||||||
| 283,661 | ||||||||
| Building Products — 1.9% | ||||||||
|
AAON Inc. |
740 | 48,352 | ||||||
|
American Woodmark Corp.(a) |
301 | 19,676 | ||||||
|
Apogee Enterprises Inc. |
456 | 17,218 | ||||||
|
Gibraltar Industries Inc.(a) |
583 | 40,606 | ||||||
|
Griffon Corp. |
851 | 20,935 | ||||||
|
Insteel Industries Inc. |
347 | 13,203 | ||||||
|
PGT Innovations Inc.(a) |
1,066 | 20,361 | ||||||
|
Quanex Building Products Corp. |
604 | 12,932 | ||||||
|
Resideo Technologies Inc.(a) |
2,579 | 63,933 | ||||||
|
UFP Industries Inc. |
1,107 | 75,254 | ||||||
|
|
|
|||||||
| 332,470 | ||||||||
| Capital Markets — 1.1% | ||||||||
|
B. Riley Financial Inc. |
285 | 16,826 | ||||||
| 20 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Capital Markets (continued) | ||||||||
|
Blucora Inc.(a) |
874 | $ | 13,626 | |||||
|
BrightSphere Investment Group Inc. |
1,065 | 27,829 | ||||||
|
Donnelley Financial Solutions Inc.(a) |
531 | 18,383 | ||||||
|
Greenhill & Co. Inc. |
257 | 3,757 | ||||||
|
Piper Sandler Cos |
255 | 35,307 | ||||||
|
StoneX Group Inc.(a) |
301 | 19,836 | ||||||
|
Virtus Investment Partners Inc. |
114 | 35,377 | ||||||
|
WisdomTree Investments Inc. |
1,955 | 11,085 | ||||||
|
|
|
|||||||
| 182,026 | ||||||||
| Chemicals — 3.0% | ||||||||
|
AdvanSix Inc.(a) |
505 | 20,074 | ||||||
|
American Vanguard Corp. |
482 | 7,254 | ||||||
|
Balchem Corp. |
579 | 83,995 | ||||||
|
Ferro Corp.(a) |
1,483 | 30,164 | ||||||
|
FutureFuel Corp. |
463 | 3,301 | ||||||
|
GCP Applied Technologies Inc.(a) |
959 | 21,021 | ||||||
|
Hawkins Inc. |
337 | 11,755 | ||||||
|
HB Fuller Co. |
939 | 60,622 | ||||||
|
Innospec Inc. |
441 | 37,141 | ||||||
|
Koppers Holdings Inc.(a) |
383 | 11,973 | ||||||
|
Kraton Corp.(a) |
574 | 26,197 | ||||||
|
Livent Corp.(a) |
2,890 | 66,788 | ||||||
|
Quaker Chemical Corp. |
240 | 57,053 | ||||||
|
Stepan Co. |
381 | 43,030 | ||||||
|
Tredegar Corp. |
460 | 5,603 | ||||||
|
Trinseo SA |
694 | 37,462 | ||||||
|
|
|
|||||||
| 523,433 | ||||||||
| Commercial Services & Supplies — 1.9% | ||||||||
|
ABM Industries Inc. |
1,201 | 54,057 | ||||||
|
Brady Corp., Class A, NVS |
868 | 44,008 | ||||||
|
CoreCivic Inc.(a) |
2,153 | 19,162 | ||||||
|
Deluxe Corp. |
761 | 27,312 | ||||||
|
Harsco Corp.(a) |
1,416 | 24,001 | ||||||
|
HNI Corp. |
785 | 28,825 | ||||||
|
Interface Inc. |
1,060 | 16,059 | ||||||
|
Matthews International Corp., Class A |
565 | 19,600 | ||||||
|
Pitney Bowes Inc. |
1,002 | 7,224 | ||||||
|
U.S. Ecology Inc.(a) |
563 | 18,213 | ||||||
|
UniFirst Corp./MA |
273 | 58,045 | ||||||
|
Viad Corp.(a) |
367 | 16,666 | ||||||
|
|
|
|||||||
| 333,172 | ||||||||
| Communications Equipment — 1.1% | ||||||||
|
ADTRAN Inc. |
868 | 16,284 | ||||||
|
Applied Optoelectronics Inc.(a)(b) |
448 | 3,217 | ||||||
|
CalAmp Corp.(a) |
634 | 6,308 | ||||||
|
Comtech Telecommunications Corp. |
468 | 11,985 | ||||||
|
Digi International Inc.(a) |
613 | 12,885 | ||||||
|
Extreme Networks Inc.(a) |
2,265 | 22,310 | ||||||
|
Harmonic Inc.(a) |
1,829 | 16,004 | ||||||
|
NETGEAR Inc.(a) |
546 | 17,423 | ||||||
|
Plantronics Inc.(a) |
757 | 19,462 | ||||||
|
Viavi Solutions Inc.(a) |
4,090 | 64,377 | ||||||
|
|
|
|||||||
| 190,255 | ||||||||
| Construction & Engineering — 0.9% | ||||||||
|
Arcosa Inc. |
866 | 43,447 | ||||||
|
Comfort Systems USA Inc. |
649 | 46,287 | ||||||
|
Granite Construction Inc. |
820 | 32,431 | ||||||
|
Matrix Service Co.(a) |
477 | 4,989 | ||||||
| Security | Shares | Value | ||||||
| Construction & Engineering (continued) | ||||||||
|
MYR Group Inc.(a) |
301 | $ | 29,950 | |||||
|
|
|
|||||||
| 157,104 | ||||||||
| Consumer Finance — 0.8% | ||||||||
|
Encore Capital Group Inc.(a) |
541 | 26,655 | ||||||
|
Enova International Inc.(a) |
659 | 22,768 | ||||||
|
Green Dot Corp., Class A(a) |
960 | 48,317 | ||||||
|
PRA Group Inc.(a) |
820 | 34,555 | ||||||
|
World Acceptance Corp.(a) |
75 | 14,219 | ||||||
|
|
|
|||||||
| 146,514 | ||||||||
| Containers & Packaging — 0.3% | ||||||||
|
Myers Industries Inc. |
650 | 12,720 | ||||||
|
O-I Glass Inc.(a) |
2,813 | 40,142 | ||||||
|
|
|
|||||||
| 52,862 | ||||||||
| Diversified Consumer Services — 0.5% | ||||||||
|
Adtalem Global Education Inc.(a) |
884 | 33,424 | ||||||
|
American Public Education Inc.(a) |
336 | 8,605 | ||||||
|
Perdoceo Education Corp.(a) |
1,258 | 13,284 | ||||||
|
Regis Corp.(a) |
435 | 1,514 | ||||||
|
Strategic Education Inc. |
405 | 28,553 | ||||||
|
|
|
|||||||
| 85,380 | ||||||||
| Diversified Telecommunication Services — 0.4% | ||||||||
|
ATN International Inc. |
196 | 9,183 | ||||||
|
Cogent Communications Holdings Inc. |
759 | 53,767 | ||||||
|
Consolidated Communications Holdings Inc.(a) |
1,293 | 11,883 | ||||||
|
|
|
|||||||
| 74,833 | ||||||||
| Electrical Equipment — 0.7% | ||||||||
|
AZZ Inc. |
448 | 23,834 | ||||||
|
Encore Wire Corp. |
370 | 35,087 | ||||||
|
Powell Industries Inc. |
162 | 3,980 | ||||||
|
Vicor Corp.(a) |
381 | 51,115 | ||||||
|
|
|
|||||||
| 114,016 | ||||||||
| Electronic Equipment, Instruments & Components — 3.9% | ||||||||
|
Advanced Energy Industries Inc. |
686 | 60,196 | ||||||
|
Arlo Technologies Inc.(a) |
1,490 | 9,551 | ||||||
|
Badger Meter Inc. |
522 | 52,795 | ||||||
|
Benchmark Electronics Inc. |
639 | 17,068 | ||||||
|
CTS Corp. |
580 | 17,928 | ||||||
|
Daktronics Inc.(a) |
670 | 3,638 | ||||||
|
ePlus Inc.(a) |
241 | 24,729 | ||||||
|
Fabrinet(a) |
660 | 67,657 | ||||||
|
FARO Technologies Inc.(a) |
325 | 21,388 | ||||||
|
Insight Enterprises Inc.(a) |
623 | 56,120 | ||||||
|
Itron Inc.(a) |
808 | 61,109 | ||||||
|
Knowles Corp.(a) |
1,645 | 30,827 | ||||||
|
Methode Electronics Inc. |
682 | 28,678 | ||||||
|
OSI Systems Inc.(a) |
299 | 28,345 | ||||||
|
PC Connection Inc. |
198 | 8,718 | ||||||
|
Plexus Corp.(a) |
505 | 45,152 | ||||||
|
Rogers Corp.(a) |
335 | 62,471 | ||||||
|
Sanmina Corp.(a) |
1,164 | 44,861 | ||||||
|
ScanSource Inc.(a) |
456 | 15,864 | ||||||
|
TTM Technologies Inc.(a) |
1,928 | 24,235 | ||||||
|
|
|
|||||||
| 681,330 | ||||||||
| Energy Equipment & Services — 1.3% | ||||||||
|
Archrock Inc. |
2,397 | 19,775 | ||||||
|
Bristow Group Inc.(a) |
416 | 13,241 | ||||||
|
Core Laboratories NV |
829 | 23,005 | ||||||
|
DMC Global Inc.(a) |
336 | 12,402 | ||||||
|
S C H E D U L E O F I N V E S T M E N T S |
21 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Energy Equipment & Services (continued) | ||||||||
|
Dril-Quip Inc.(a) |
636 | $ | 16,014 | |||||
|
Helix Energy Solutions Group Inc.(a)(b) |
2,547 | 9,882 | ||||||
|
Helmerich & Payne Inc. |
1,930 | 52,901 | ||||||
|
Nabors Industries Ltd.(a) |
139 | 13,411 | ||||||
|
Oil States International Inc.(a) |
1,102 | 7,042 | ||||||
|
Patterson-UTI Energy Inc. |
3,381 | 30,429 | ||||||
|
ProPetro Holding Corp.(a) |
1,521 | 13,157 | ||||||
|
RPC Inc.(a) |
1,274 | 6,192 | ||||||
|
U.S. Silica Holdings Inc.(a) |
1,343 | 10,731 | ||||||
|
|
|
|||||||
| 228,182 | ||||||||
| Entertainment — 0.0% | ||||||||
|
Marcus Corp. (The)(a) |
392 | 6,840 | ||||||
|
|
|
|||||||
| Equity Real Estate Investment Trusts (REITs) — 7.9% | ||||||||
|
Acadia Realty Trust |
1,581 | 32,268 | ||||||
|
Agree Realty Corp. |
1,233 | 81,662 | ||||||
|
Alexander & Baldwin Inc. |
1,297 | 30,402 | ||||||
|
American Assets Trust Inc. |
941 | 35,212 | ||||||
|
Armada Hoffler Properties Inc. |
1,095 | 14,640 | ||||||
|
Brandywine Realty Trust |
3,057 | 41,025 | ||||||
|
CareTrust REIT Inc. |
1,337 | 27,168 | ||||||
|
Centerspace |
250 | 23,625 | ||||||
|
Chatham Lodging Trust(a) |
876 | 10,731 | ||||||
|
Community Healthcare Trust Inc. |
415 | 18,754 | ||||||
|
DiamondRock Hospitality Co.(a) |
3,767 | 35,598 | ||||||
|
Diversified Healthcare Trust |
4,267 | 14,465 | ||||||
|
Easterly Government Properties Inc. |
1,501 | 31,011 | ||||||
|
Essential Properties Realty Trust Inc. |
2,115 | 59,051 | ||||||
|
Four Corners Property Trust Inc. |
1,363 | 36,610 | ||||||
|
Franklin Street Properties Corp., Class C |
1,737 | 8,060 | ||||||
|
GEO Group Inc. (The) |
938 | 7,007 | ||||||
|
Getty Realty Corp. |
689 | 20,195 | ||||||
|
Global Net Lease Inc. |
1,794 | 28,740 | ||||||
|
Hersha Hospitality Trust, Class A(a) |
591 | 5,514 | ||||||
|
Independence Realty Trust Inc. |
1,883 | 38,319 | ||||||
|
Industrial Logistics Properties Trust |
1,168 | 29,679 | ||||||
|
Innovative Industrial Properties Inc. |
428 | 98,941 | ||||||
|
iStar Inc. |
1,167 | 29,268 | ||||||
|
Kite Realty Group Trust |
1,512 | 30,784 | ||||||
|
Lexington Realty Trust |
4,989 | 63,610 | ||||||
|
LTC Properties Inc. |
704 | 22,310 | ||||||
|
Mack-Cali Realty Corp.(a) |
1,432 | 24,516 | ||||||
|
NexPoint Residential Trust Inc. |
405 | 25,061 | ||||||
|
Office Properties Income Trust |
865 | 21,910 | ||||||
|
Retail Opportunity Investments Corp. |
2,172 | 37,836 | ||||||
|
Retail Properties of America Inc., Class A |
3,859 | 49,704 | ||||||
|
RPT Realty |
1,452 | 18,527 | ||||||
|
Safehold Inc.(b) |
238 | 17,110 | ||||||
|
Saul Centers Inc. |
232 | 10,222 | ||||||
|
Service Properties Trust |
2,949 | 33,058 | ||||||
|
SITE Centers Corp. |
3,223 | 49,763 | ||||||
|
Summit Hotel Properties Inc.(a) |
1,905 | 18,345 | ||||||
|
Tanger Factory Outlet Centers Inc. |
1,859 | 30,302 | ||||||
|
Uniti Group Inc. |
4,176 | 51,657 | ||||||
|
Universal Health Realty Income Trust |
229 | 12,657 | ||||||
|
Urstadt Biddle Properties Inc., Class A |
541 | 10,241 | ||||||
|
Washington REIT |
1,513 | 37,447 | ||||||
|
Whitestone REIT |
775 | 7,579 | ||||||
|
Xenia Hotels & Resorts Inc.(a) |
2,043 | 36,243 | ||||||
|
|
|
|||||||
| 1,366,827 | ||||||||
| Security | Shares | Value | ||||||
| Food & Staples Retailing — 0.8% | ||||||||
|
Andersons Inc. (The) |
555 | $ | 17,111 | |||||
|
Chefs’ Warehouse Inc. (The)(a) |
586 | 19,086 | ||||||
|
PriceSmart Inc. |
429 | 33,269 | ||||||
|
SpartanNash Co. |
651 | 14,257 | ||||||
|
United Natural Foods Inc.(a) |
1,008 | 48,807 | ||||||
|
|
|
|||||||
| 132,530 | ||||||||
| Food Products — 1.2% | ||||||||
|
B&G Foods Inc. |
1,159 | 34,643 | ||||||
|
Calavo Growers Inc. |
317 | 12,122 | ||||||
|
Cal-Maine Foods Inc. |
670 | 24,227 | ||||||
|
Fresh Del Monte Produce Inc. |
597 | 19,235 | ||||||
|
J&J Snack Foods Corp. |
265 | 40,497 | ||||||
|
John B Sanfilippo & Son Inc. |
158 | 12,912 | ||||||
|
Seneca Foods Corp., Class A(a) |
115 | 5,545 | ||||||
|
Simply Good Foods Co. (The)(a) |
1,507 | 51,977 | ||||||
|
|
|
|||||||
| 201,158 | ||||||||
| Gas Utilities — 0.6% | ||||||||
|
Chesapeake Utilities Corp. |
280 | 33,614 | ||||||
|
Northwest Natural Holding Co. |
549 | 25,248 | ||||||
|
South Jersey Industries Inc. |
2,011 | 42,754 | ||||||
|
|
|
|||||||
| 101,616 | ||||||||
| Health Care Equipment & Supplies — 3.4% | ||||||||
|
AngioDynamics Inc.(a) |
689 | 17,873 | ||||||
|
Avanos Medical Inc.(a) |
860 | 26,832 | ||||||
|
Cardiovascular Systems Inc.(a) |
718 | 23,572 | ||||||
|
CONMED Corp. |
522 | 68,293 | ||||||
|
CryoLife Inc.(a) |
703 | 15,670 | ||||||
|
Cutera Inc.(a) |
292 | 13,607 | ||||||
|
Glaukos Corp.(a) |
832 | 40,077 | ||||||
|
Heska Corp.(a) |
191 | 49,381 | ||||||
|
Inogen Inc.(a) |
364 | 15,685 | ||||||
|
Integer Holdings Corp.(a) |
590 | 52,711 | ||||||
|
Invacare Corp.(a) |
626 | 2,980 | ||||||
|
Lantheus Holdings Inc.(a) |
1,212 | 31,124 | ||||||
|
LeMaitre Vascular Inc. |
343 | 18,210 | ||||||
|
Meridian Bioscience Inc.(a) |
778 | 14,969 | ||||||
|
Merit Medical Systems Inc.(a) |
905 | 64,979 | ||||||
|
Mesa Laboratories Inc.(b) |
93 | 28,120 | ||||||
|
Natus Medical Inc.(a) |
613 | 15,374 | ||||||
|
OraSure Technologies Inc.(a) |
1,288 | 14,567 | ||||||
|
Orthofix Medical Inc.(a) |
352 | 13,418 | ||||||
|
Surmodics Inc.(a) |
249 | 13,844 | ||||||
|
Tactile Systems Technology Inc.(a) |
355 | 15,780 | ||||||
|
Varex Imaging Corp.(a) |
707 | 19,937 | ||||||
|
Zynex Inc.(a) |
355 | 4,043 | ||||||
|
|
|
|||||||
| 581,046 | ||||||||
| Health Care Providers & Services — 4.3% | ||||||||
|
Addus HomeCare Corp.(a) |
284 | 22,649 | ||||||
|
AMN Healthcare Services Inc.(a) |
846 | 97,079 | ||||||
|
Apollo Medical Holdings Inc.(a) |
672 | 61,186 | ||||||
|
Community Health Systems Inc.(a) |
2,220 | 25,974 | ||||||
|
CorVel Corp.(a)(b) |
168 | 31,285 | ||||||
|
Covetrus Inc.(a) |
1,846 | 33,486 | ||||||
|
Cross Country Healthcare Inc.(a) |
634 | 13,466 | ||||||
|
Ensign Group Inc. (The) |
937 | 70,172 | ||||||
|
Fulgent Genetics Inc.(a) |
343 | 30,853 | ||||||
|
Hanger Inc.(a) |
660 | 14,494 | ||||||
|
Joint Corp. (The)(a) |
257 | 25,191 | ||||||
|
Magellan Health Inc.(a) |
416 | 39,333 | ||||||
| 22 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Health Care Providers & Services (continued) | ||||||||
|
MEDNAX Inc.(a) |
1,543 | $ | 43,867 | |||||
|
ModivCare Inc.(a) |
220 | 39,956 | ||||||
|
Owens & Minor Inc. |
1,350 | 42,242 | ||||||
|
Pennant Group Inc. (The)(a) |
483 | 13,567 | ||||||
|
RadNet Inc.(a) |
792 | 23,214 | ||||||
|
Select Medical Holdings Corp. |
1,902 | 68,795 | ||||||
|
Tivity Health Inc.(a) |
791 | 18,240 | ||||||
|
U.S. Physical Therapy Inc. |
230 | 25,438 | ||||||
|
|
|
|||||||
| 740,487 | ||||||||
| Health Care Technology — 1.2% | ||||||||
|
Allscripts Healthcare Solutions Inc.(a) |
2,236 | 29,895 | ||||||
|
Computer Programs & Systems Inc. |
264 | 9,362 | ||||||
|
HealthStream Inc.(a) |
451 | 12,890 | ||||||
|
NextGen Healthcare Inc.(a) |
1,011 | 14,255 | ||||||
|
Omnicell Inc.(a) |
777 | 115,330 | ||||||
|
Simulations Plus Inc. |
282 | 11,139 | ||||||
|
Tabula Rasa HealthCare Inc.(a) |
411 | 10,772 | ||||||
|
|
|
|||||||
| 203,643 | ||||||||
| Hotels, Restaurants & Leisure — 1.7% | ||||||||
|
BJ’s Restaurants Inc.(a) |
416 | 17,372 | ||||||
|
Bloomin’ Brands Inc.(a) |
1,452 | 36,300 | ||||||
|
Brinker International Inc.(a) |
819 | 40,172 | ||||||
|
Cheesecake Factory Inc. (The)(a) |
868 | 40,796 | ||||||
|
Chuy’s Holdings Inc.(a) |
358 | 11,288 | ||||||
|
Dave & Buster’s Entertainment Inc.(a) |
689 | 26,409 | ||||||
|
Dine Brands Global Inc.(a) |
307 | 24,931 | ||||||
|
El Pollo Loco Holdings Inc.(a) |
348 | 5,881 | ||||||
|
Fiesta Restaurant Group Inc.(a) |
313 | 3,431 | ||||||
|
Monarch Casino & Resort Inc.(a) |
232 | 15,542 | ||||||
|
Red Robin Gourmet Burgers Inc.(a) |
281 | 6,480 | ||||||
|
Ruth’s Hospitality Group Inc.(a) |
578 | 11,970 | ||||||
|
Shake Shack Inc., Class A(a) |
699 | 54,844 | ||||||
|
|
|
|||||||
| 295,416 | ||||||||
| Household Durables — 2.4% | ||||||||
|
Cavco Industries Inc.(a) |
153 | 36,221 | ||||||
|
Century Communities Inc. |
531 | 32,630 | ||||||
|
Ethan Allen Interiors Inc. |
393 | 9,314 | ||||||
|
Installed Building Products Inc. |
419 | 44,896 | ||||||
|
iRobot Corp.(a) |
501 | 39,329 | ||||||
|
La-Z-Boy Inc. |
808 | 26,042 | ||||||
|
LGI Homes Inc.(a) |
387 | 54,919 | ||||||
|
M/I Homes Inc.(a) |
524 | 30,287 | ||||||
|
MDC Holdings Inc. |
1,010 | 47,187 | ||||||
|
Meritage Homes Corp.(a) |
673 | 65,281 | ||||||
|
Tupperware Brands Corp.(a) |
892 | 18,839 | ||||||
|
Universal Electronics Inc.(a) |
241 | 11,869 | ||||||
|
|
|
|||||||
| 416,814 | ||||||||
| Household Products — 0.6% | ||||||||
|
Central Garden & Pet Co.(a) |
175 | 8,400 | ||||||
|
Central Garden & Pet Co., Class A, NVS(a) |
718 | 30,874 | ||||||
|
WD-40 Co. |
244 | 56,481 | ||||||
|
|
|
|||||||
| 95,755 | ||||||||
| Industrial Conglomerates — 0.2% | ||||||||
|
Raven Industries Inc.(a) |
642 | 36,986 | ||||||
|
|
|
|||||||
| Insurance — 2.1% | ||||||||
|
Ambac Financial Group Inc.(a) |
830 | 11,886 | ||||||
|
American Equity Investment Life Holding Co. |
1,472 | 43,527 | ||||||
|
AMERISAFE Inc. |
347 | 19,488 | ||||||
| Security | Shares | Value | ||||||
| Insurance (continued) | ||||||||
|
Assured Guaranty Ltd. |
1,305 | $ | 61,087 | |||||
|
eHealth Inc.(a) |
423 | 17,132 | ||||||
|
Employers Holdings Inc. |
224 | 8,846 | ||||||
|
Genworth Financial Inc., Class A(a) |
7,098 | 26,617 | ||||||
|
HCI Group Inc. |
118 | 13,071 | ||||||
|
Horace Mann Educators Corp. |
332 | 13,210 | ||||||
|
James River Group Holdings Ltd. |
442 | 16,677 | ||||||
|
ProAssurance Corp. |
431 | 10,249 | ||||||
|
Safety Insurance Group Inc. |
226 | 17,910 | ||||||
|
SiriusPoint Ltd.(a) |
1,562 | 14,464 | ||||||
|
Stewart Information Services Corp. |
413 | 26,126 | ||||||
|
Trupanion Inc.(a) |
612 | 47,534 | ||||||
|
United Fire Group Inc. |
388 | 8,963 | ||||||
|
Universal Insurance Holdings Inc. |
506 | 6,598 | ||||||
|
|
|
|||||||
| 363,385 | ||||||||
| Interactive Media & Services — 0.1% | ||||||||
|
QuinStreet Inc.(a) |
883 | 15,505 | ||||||
|
|
|
|||||||
| Internet & Direct Marketing Retail — 1.0% | ||||||||
|
Liquidity Services Inc.(a) |
477 | 10,308 | ||||||
|
PetMed Express Inc. |
365 | 9,808 | ||||||
|
Shutterstock Inc. |
419 | 47,481 | ||||||
|
Stamps.com Inc.(a) |
328 | 108,171 | ||||||
|
|
|
|||||||
| 175,768 | ||||||||
| IT Services — 1.6% | ||||||||
|
CSG Systems International Inc. |
586 | 28,245 | ||||||
|
EVERTEC Inc. |
1,068 | 48,829 | ||||||
|
ExlService Holdings Inc.(a) |
594 | 73,133 | ||||||
|
Perficient Inc.(a) |
589 | 68,148 | ||||||
|
TTEC Holdings Inc. |
328 | 30,678 | ||||||
|
Unisys Corp.(a) |
1,200 | 30,168 | ||||||
|
|
|
|||||||
| 279,201 | ||||||||
| Life Sciences Tools & Services — 0.6% | ||||||||
|
NeoGenomics Inc.(a) |
2,188 | 105,549 | ||||||
|
|
|
|||||||
| Machinery — 5.8% | ||||||||
|
Alamo Group Inc. |
176 | 24,557 | ||||||
|
Albany International Corp., Class A |
579 | 44,508 | ||||||
|
Astec Industries Inc. |
407 | 21,901 | ||||||
|
Barnes Group Inc. |
832 | 34,719 | ||||||
|
Chart Industries Inc.(a) |
636 | 121,546 | ||||||
|
CIRCOR International Inc.(a) |
362 | 11,950 | ||||||
|
Enerpac Tool Group Corp. |
1,076 | 22,306 | ||||||
|
EnPro Industries Inc. |
369 | 32,147 | ||||||
|
ESCO Technologies Inc. |
465 | 35,805 | ||||||
|
Federal Signal Corp. |
1,093 | 42,212 | ||||||
|
Franklin Electric Co. Inc. |
697 | 55,656 | ||||||
|
Greenbrier Companies Inc. (The) |
579 | 24,891 | ||||||
|
Hillenbrand Inc. |
1,306 | 55,701 | ||||||
|
John Bean Technologies Corp. |
568 | 79,832 | ||||||
|
Lindsay Corp. |
194 | 29,447 | ||||||
|
Lydall Inc.(a) |
321 | 19,931 | ||||||
|
Meritor Inc.(a) |
1,254 | 26,723 | ||||||
|
Mueller Industries Inc. |
1,022 | 42,004 | ||||||
|
Proto Labs Inc.(a) |
496 | 33,034 | ||||||
|
SPX Corp.(a) |
811 | 43,348 | ||||||
|
SPX FLOW Inc. |
744 | 54,386 | ||||||
|
Standex International Corp. |
218 | 21,562 | ||||||
|
Tennant Co. |
334 | 24,699 | ||||||
|
Titan International Inc.(a) |
919 | 6,580 | ||||||
|
S C H E D U L E O F I N V E S T M E N T S |
23 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Machinery (continued) | ||||||||
|
Wabash National Corp. |
898 | $ | 13,587 | |||||
|
Watts Water Technologies Inc., Class A |
492 | 82,700 | ||||||
|
|
|
|||||||
| 1,005,732 | ||||||||
| Marine — 0.4% | ||||||||
|
Matson Inc. |
777 | 62,712 | ||||||
|
|
|
|||||||
| Media — 0.9% | ||||||||
|
AMC Networks Inc., Class A(a)(b) |
522 | 24,320 | ||||||
|
EW Scripps Co. (The), Class A |
1,022 | 18,457 | ||||||
|
Gannett Co. Inc.(a) |
2,562 | 17,114 | ||||||
|
Meredith Corp.(a) |
725 | 40,383 | ||||||
|
Scholastic Corp. |
546 | 19,465 | ||||||
|
TechTarget Inc.(a) |
453 | 37,336 | ||||||
|
|
|
|||||||
| 157,075 | ||||||||
| Metals & Mining — 1.3% | ||||||||
|
Allegheny Technologies Inc.(a) |
2,275 | 37,833 | ||||||
|
Arconic Corp.(a) |
1,956 | 61,692 | ||||||
|
Carpenter Technology Corp. |
859 | 28,124 | ||||||
|
Century Aluminum Co.(a) |
906 | 12,186 | ||||||
|
Haynes International Inc. |
227 | 8,456 | ||||||
|
Kaiser Aluminum Corp. |
283 | 30,836 | ||||||
|
Materion Corp. |
365 | 25,053 | ||||||
|
Olympic Steel Inc. |
166 | 4,044 | ||||||
|
SunCoke Energy Inc. |
1,491 | 9,363 | ||||||
|
TimkenSteel Corp.(a) |
738 | 9,653 | ||||||
|
|
|
|||||||
| 227,240 | ||||||||
| Mortgage Real Estate Investment — 1.5% | ||||||||
|
Apollo Commercial Real Estate Finance Inc. |
2,352 | 34,880 | ||||||
|
ARMOUR Residential REIT Inc. |
1,465 | 15,793 | ||||||
|
Capstead Mortgage Corp. |
1,738 | 11,627 | ||||||
|
Ellington Financial Inc. |
855 | 15,638 | ||||||
|
Granite Point Mortgage Trust Inc. |
983 | 12,946 | ||||||
|
Invesco Mortgage Capital Inc. |
5,206 | 16,399 | ||||||
|
KKR Real Estate Finance Trust Inc. |
725 | 15,297 | ||||||
|
New York Mortgage Trust Inc. |
6,787 | 28,913 | ||||||
|
PennyMac Mortgage Investment Trust |
1,750 | 34,457 | ||||||
|
Ready Capital Corp. |
1,023 | 14,762 | ||||||
|
Redwood Trust Inc. |
2,022 | 26,064 | ||||||
|
Two Harbors Investment Corp. |
5,614 | 35,593 | ||||||
|
|
|
|||||||
| 262,369 | ||||||||
| Multi-Utilities — 0.3% | ||||||||
|
Avista Corp. |
1,052 | 41,154 | ||||||
|
Unitil Corp. |
284 | 12,150 | ||||||
|
|
|
|||||||
| 53,304 | ||||||||
| Multiline Retail — 0.6% | ||||||||
|
Big Lots Inc. |
619 | 26,840 | ||||||
|
Macy’s Inc. |
3,749 | 84,727 | ||||||
|
|
|
|||||||
| 111,567 | ||||||||
| Oil, Gas & Consumable Fuels — 0.9% | ||||||||
|
Dorian LPG Ltd. |
499 | 6,192 | ||||||
|
Green Plains Inc.(a) |
588 | 19,198 | ||||||
|
Par Pacific Holdings Inc.(a) |
822 | 12,922 | ||||||
|
PBF Energy Inc., Class A(a) |
1,701 | 22,062 | ||||||
|
Renewable Energy Group Inc.(a) |
898 | 45,080 | ||||||
|
REX American Resources Corp.(a) |
94 | 7,508 | ||||||
|
World Fuel Services Corp. |
1,136 | 38,192 | ||||||
|
|
|
|||||||
| 151,154 | ||||||||
| Paper & Forest Products — 0.5% | ||||||||
|
Clearwater Paper Corp.(a) |
298 | 11,422 | ||||||
| Security | Shares | Value | ||||||
| Paper & Forest Products (continued) | ||||||||
|
Domtar Corp.(a) |
901 | $ | 49,141 | |||||
|
Glatfelter Corp. |
799 | 11,266 | ||||||
|
Mercer International Inc. |
723 | 8,380 | ||||||
|
Neenah Inc. |
302 | 14,076 | ||||||
|
|
|
|||||||
| 94,285 | ||||||||
| Personal Products — 0.8% | ||||||||
|
Edgewell Personal Care Co. |
972 | 35,283 | ||||||
|
elf Beauty Inc.(a) |
852 | 24,751 | ||||||
|
Inter Parfums Inc. |
317 | 23,702 | ||||||
|
Medifast Inc. |
210 | 40,454 | ||||||
|
USANA Health Sciences Inc.(a) |
214 | 19,731 | ||||||
|
|
|
|||||||
| 143,921 | ||||||||
| Pharmaceuticals — 1.4% | ||||||||
|
Amphastar Pharmaceuticals Inc.(a) |
664 | 12,623 | ||||||
|
ANI Pharmaceuticals Inc.(a) |
174 | 5,711 | ||||||
|
Cara Therapeutics Inc.(a) |
756 | 11,680 | ||||||
|
Collegium Pharmaceutical Inc.(a) |
639 | 12,614 | ||||||
|
Corcept Therapeutics Inc.(a) |
1,866 | 36,723 | ||||||
|
Endo International PLC(a) |
4,178 | 13,537 | ||||||
|
Innoviva Inc.(a) |
1,122 | 18,749 | ||||||
|
Pacira BioSciences Inc.(a) |
795 | 44,520 | ||||||
|
Phibro Animal Health Corp., Class A |
365 | 7,862 | ||||||
|
Prestige Consumer Healthcare Inc.(a) |
895 | 50,218 | ||||||
|
Supernus Pharmaceuticals Inc.(a) |
950 | 25,336 | ||||||
|
|
|
|||||||
| 239,573 | ||||||||
| Professional Services — 1.4% | ||||||||
|
Exponent Inc. |
931 | 105,343 | ||||||
|
Forrester Research Inc.(a) |
199 | 9,803 | ||||||
|
Heidrick & Struggles International Inc. |
349 | 15,576 | ||||||
|
Kelly Services Inc., Class A, NVS |
646 | 12,196 | ||||||
|
Korn Ferry |
995 | 71,998 | ||||||
|
Resources Connection Inc. |
554 | 8,742 | ||||||
|
TrueBlue Inc.(a) |
636 | 17,223 | ||||||
|
|
|
|||||||
| 240,881 | ||||||||
| Real Estate Management & Development — 0.5% | ||||||||
|
Marcus & Millichap Inc.(a) |
447 | 18,157 | ||||||
|
RE/MAX Holdings Inc., Class A |
339 | 10,563 | ||||||
|
Realogy Holdings Corp.(a) |
2,085 | 36,571 | ||||||
|
St Joe Co. (The) |
589 | 24,797 | ||||||
|
|
|
|||||||
| 90,088 | ||||||||
| Road & Rail — 0.4% | ||||||||
|
ArcBest Corp. |
456 | 37,287 | ||||||
|
Heartland Express Inc. |
842 | 13,489 | ||||||
|
Marten Transport Ltd. |
1,067 | 16,741 | ||||||
|
|
|
|||||||
| 67,517 | ||||||||
| Semiconductors & Semiconductor Equipment — 3.9% | ||||||||
|
Axcelis Technologies Inc.(a) |
600 | 28,218 | ||||||
|
CEVA Inc.(a) |
410 | 17,495 | ||||||
|
Cohu Inc.(a) |
869 | 27,756 | ||||||
|
Diodes Inc.(a) |
804 | 72,834 | ||||||
|
DSP Group Inc.(a) |
408 | 8,939 | ||||||
|
FormFactor Inc.(a) |
1,389 | 51,851 | ||||||
|
Ichor Holdings Ltd.(a) |
507 | 20,833 | ||||||
|
Kulicke & Soffa Industries Inc. |
1,108 | 64,574 | ||||||
|
MaxLinear Inc.(a) |
1,258 | 61,957 | ||||||
|
Onto Innovation Inc.(a) |
880 | 63,580 | ||||||
|
PDF Solutions Inc.(a) |
534 | 12,303 | ||||||
|
Photronics Inc.(a) |
1,112 | 15,157 | ||||||
|
Power Integrations Inc. |
1,078 | 106,711 | ||||||
| 24 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Semiconductors & Semiconductor Equipment (continued) | ||||||||
|
Rambus Inc.(a) |
1,948 | $ | 43,246 | |||||
|
SMART Global Holdings Inc.(a) |
414 | 18,423 | ||||||
|
Ultra Clean Holdings Inc.(a) |
799 | 34,037 | ||||||
|
Veeco Instruments Inc.(a) |
904 | 20,078 | ||||||
|
|
|
|||||||
| 667,992 | ||||||||
| Software — 3.1% | ||||||||
|
8x8 Inc.(a) |
2,004 | 46,874 | ||||||
|
Agilysys Inc.(a) |
347 | 18,169 | ||||||
|
Alarm.com Holdings Inc.(a)(b) |
821 | 64,194 | ||||||
|
Bottomline Technologies DE Inc.(a) |
703 | 27,614 | ||||||
|
Ebix Inc. |
426 | 11,472 | ||||||
|
InterDigital Inc. |
549 | 37,233 | ||||||
|
LivePerson Inc.(a) |
1,161 | 68,441 | ||||||
|
OneSpan Inc.(a) |
621 | 11,662 | ||||||
|
Progress Software Corp. |
783 | 38,516 | ||||||
|
SPS Commerce Inc.(a) |
641 | 103,400 | ||||||
|
Vonage Holdings Corp.(a) |
4,525 | 72,943 | ||||||
|
Xperi Holding Corp. |
1,874 | 35,306 | ||||||
|
|
|
|||||||
| 535,824 | ||||||||
| Specialty Retail — 4.5% | ||||||||
|
Aaron’s Co. Inc. (The) |
587 | 16,166 | ||||||
|
Abercrombie & Fitch Co., Class A(a) |
1,101 | 41,431 | ||||||
|
America’s Car-Mart Inc./TX(a) |
112 | 13,079 | ||||||
|
Asbury Automotive Group Inc.(a) |
346 | 68,072 | ||||||
|
Barnes & Noble Education Inc.(a) |
643 | 6,424 | ||||||
|
Bed Bath & Beyond Inc.(a) |
1,869 | 32,287 | ||||||
|
Boot Barn Holdings Inc.(a) |
528 | 46,923 | ||||||
|
Buckle Inc. (The) |
525 | 20,785 | ||||||
|
Caleres Inc. |
687 | 15,265 | ||||||
|
Cato Corp. (The), Class A |
351 | 5,806 | ||||||
|
Chico’s FAS Inc.(a) |
2,200 | 9,878 | ||||||
|
Children’s Place Inc. (The)(a) |
249 | 18,740 | ||||||
|
Conn’s Inc.(a) |
342 | 7,808 | ||||||
|
Designer Brands Inc. , Class A(a) |
1,095 | 15,253 | ||||||
|
Genesco Inc.(a) |
252 | 14,548 | ||||||
|
Group 1 Automotive Inc. |
322 | 60,497 | ||||||
|
Guess? Inc. |
699 | 14,686 | ||||||
|
Haverty Furniture Companies Inc. |
275 | 9,270 | ||||||
|
Hibbett Inc. |
270 | 19,100 | ||||||
|
Lumber Liquidators Holdings Inc.(a) |
523 | 9,770 | ||||||
|
MarineMax Inc.(a) |
390 | 18,923 | ||||||
|
Monro Inc. |
599 | 34,448 | ||||||
|
ODP Corp. (The)(a) |
849 | 34,096 | ||||||
|
Rent-A-Center Inc./TX |
1,082 | 60,819 | ||||||
|
Sally Beauty Holdings Inc.(a) |
2,021 | 34,054 | ||||||
|
Shoe Carnival Inc. |
316 | 10,245 | ||||||
|
Signet Jewelers Ltd. |
942 | 74,380 | ||||||
|
Sleep Number Corp.(a) |
423 | 39,542 | ||||||
|
Sonic Automotive Inc., Class A |
376 | 19,755 | ||||||
|
Zumiez Inc.(a) |
391 | 15,546 | ||||||
|
|
|
|||||||
| 787,596 | ||||||||
| Technology Hardware, Storage & Peripherals — 0.4% | ||||||||
|
3D Systems Corp.(a) |
2,241 | 61,784 | ||||||
|
Diebold Nixdorf Inc.(a) |
1,309 | 13,234 | ||||||
|
|
|
|||||||
| 75,018 | ||||||||
| Textiles, Apparel & Luxury Goods — 1.3% | ||||||||
|
Fossil Group Inc.(a) |
852 | 10,096 | ||||||
|
G-III Apparel Group Ltd.(a) |
778 | 22,017 | ||||||
|
Kontoor Brands Inc. |
856 | 42,757 | ||||||
| Security | Shares | Value | ||||||
| Textiles, Apparel & Luxury Goods (continued) | ||||||||
|
Movado Group Inc. |
301 | $ | 9,479 | |||||
|
Oxford Industries Inc. |
284 | 25,608 | ||||||
|
Steven Madden Ltd. |
1,378 | 55,340 | ||||||
|
Unifi Inc.(a) |
249 | 5,461 | ||||||
|
Vera Bradley Inc.(a) |
456 | 4,291 | ||||||
|
Wolverine World Wide Inc. |
1,470 | 43,865 | ||||||
|
|
|
|||||||
| 218,914 | ||||||||
| Thrifts & Mortgage Finance — 2.4% | ||||||||
|
Axos Financial Inc.(a) |
949 | 48,911 | ||||||
|
Capitol Federal Financial Inc. |
2,309 | 26,530 | ||||||
|
Flagstar Bancorp. Inc. |
772 | 39,202 | ||||||
|
HomeStreet Inc. |
171 | 7,037 | ||||||
|
Meta Financial Group Inc. |
505 | 26,502 | ||||||
|
Mr Cooper Group Inc.(a) |
1,541 | 63,443 | ||||||
|
NMI Holdings Inc., Class A(a) |
1,533 | 34,661 | ||||||
|
Northfield Bancorp. Inc. |
802 | 13,762 | ||||||
|
Northwest Bancshares Inc. |
1,978 | 26,268 | ||||||
|
Provident Financial Services Inc. |
1,121 | 26,310 | ||||||
|
TrustCo Bank Corp. NY |
148 | 4,732 | ||||||
|
Walker & Dunlop Inc. |
524 | 59,474 | ||||||
|
WSFS Financial Corp. |
721 | 36,995 | ||||||
|
|
|
|||||||
| 413,827 | ||||||||
| Trading Companies & Distributors — 1.0% | ||||||||
|
Applied Industrial Technologies Inc. |
695 | 62,640 | ||||||
|
Boise Cascade Co. |
703 | 37,948 | ||||||
|
DXP Enterprises Inc./TX(a) |
317 | 9,374 | ||||||
|
GMS Inc.(a) |
770 | 33,726 | ||||||
|
NOW Inc.(a) |
1,986 | 15,193 | ||||||
|
Veritiv Corp.(a) |
252 | 22,569 | ||||||
|
|
|
|||||||
| 181,450 | ||||||||
| Water Utilities — 0.6% | ||||||||
|
American States Water Co. |
660 | 56,443 | ||||||
|
California Water Service Group |
922 | 54,334 | ||||||
|
|
|
|||||||
| 110,777 | ||||||||
| Wireless Telecommunication Services — 0.2% | ||||||||
|
Shenandoah Telecommunications Co. |
894 | 28,232 | ||||||
|
|
|
|||||||
|
Total
Common Stocks — 95.9% |
16,619,865 | |||||||
|
|
|
|||||||
|
Short-Term Investments |
||||||||
| Money Market Funds — 5.1% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.05%(c)(d)(e) |
172,073 | 172,160 | ||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.00%(c)(d) |
720,000 | 720,000 | ||||||
|
|
|
|||||||
| 892,160 | ||||||||
|
|
|
|||||||
|
Total
Short-Term Investments — 5.1% |
892,160 | |||||||
|
|
|
|||||||
|
Total
Investments in Securities — 101.0% |
17,512,025 | |||||||
|
Other Assets, Less Liabilities — (1.0)% |
(181,027 | ) | ||||||
|
|
|
|||||||
|
Net Assets — 100.0% |
$ | 17,330,998 | ||||||
|
|
|
|||||||
| (a) |
Non-income producing security. |
| (b) |
All or a portion of this security is on loan. |
| (c) |
Affiliate of the Fund. |
|
S C H E D U L E O F I N V E S T M E N T S |
25 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF |
| (d) |
Annualized 7-day yield as of period end. |
| (e) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer | Value at 03/31/21 |
Purchases at Cost |
Proceeds from Sales |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 09/30/21 |
Shares Held at 09/30/21 |
Income | Capital Gain Distributions from Underlying Funds |
|||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 250,662 | $ | — | $(78,488 | )(a) | $ | (14 | ) | $ | — | $ | 172,160 | 172,073 | $ | 221 | (b) | $ | — | |||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
520,000 | 200,000 | (a) | — | — | — | 720,000 | 720,000 | 18 | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $ | (14 | ) | $ | — | $ | 892,160 | $ | 239 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| (a) |
Represents net amount purchased (sold). |
| (b) |
All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities. |
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts
| Description | Number of Contracts |
Expiration Date |
Notional Amount (000) |
Value/ Unrealized Appreciation (Depreciation) |
||||||||||||
|
Long Contracts |
||||||||||||||||
|
Russell 2000 E-Mini Index |
1 | 12/17/21 | $ | 110 | $ | (1,058 | ) | |||||||||
|
|
|
|||||||||||||||
OTC Total Return Swaps
| Reference Entity | Payment Frequency |
Counterparty(a) | Termination Date |
Net Notional | Accrued Unrealized Appreciation (Depreciation) |
Net Value of Reference Entity |
Gross Notional Amount Net Asset Percentage |
|||||||||||||||||||
|
Equity Securities Long |
Monthly | Goldman Sachs Bank USA(b) | 02/27/23 | $ | 212,243 | $ | 16,708 | (c) | $ | 219,391 | 1.2 | % | ||||||||||||||
| Monthly | HSBC Bank PLC(d) | 02/10/23 | 213,177 | 16,130 | (e) | 221,644 | 1.2 | |||||||||||||||||||
| Monthly | JPMorgan Chase Bank NA(f) | 02/08/23 | 156,110 | 5,514 | (g) | 160,087 | 0.9 | |||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||
| $ | 38,352 | $ | 601,122 | |||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||
| (a) |
The Fund receives the total return on a portfolio of long positions underlying the total return swap. The Fund pays the total return on a portfolio of short positions underlying the total return swap. In addition, the Fund pays or receives a variable rate of interest, based on a specified benchmark. The benchmark and spread are determined based upon the country and/or currency of the individual underlying positions. |
| (c) |
Amount includes $9,560 of net dividends and financing fees. |
| (e) |
Amount includes $7,663 of net dividends, payable for referenced securities purchased and financing fees. |
| (g) |
Amount includes $1,537 of net dividends, payable for referenced securities purchased and financing fees. |
The following are the specified benchmarks (plus or minus a range) used in determining the variable rate of interest:
| (b) | (d) | (f) | ||||
|
Range: |
65 basis points | 65 basis points | 65 basis points | |||
|
Benchmarks: |
USD - 1D Overnight Fed Funds Effective Rate | USD - 1D Overnight Bank Funding Rate | USD - 1D Overnight Bank Funding Rate | |||
| (FEDL01) | (OBFR01) | (OBFR01) |
| 26 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF |
The following table represents the individual long positions and related values of the equity securities underlying the total return swap with Goldman Sachs Bank USA as of September 30, 2021 expiration 2/27/2023.
| Shares | Value | % of Basket Value |
||||||||||
|
Reference Entity — Long |
||||||||||||
| Banks | ||||||||||||
|
Ameris Bancorp. |
78 | $ | 4,047 | 1.8 | % | |||||||
|
Bancorp. Inc. (The)(a) |
312 | 7,940 | 3.6 | |||||||||
|
BankUnited Inc. |
29 | 1,213 | 0.6 | |||||||||
|
Banner Corp. |
37 | 2,043 | 0.9 | |||||||||
|
Berkshire Hills Bancorp. Inc. |
295 | 7,959 | 3.6 | |||||||||
|
Brookline Bancorp. Inc. |
304 | 4,639 | 2.1 | |||||||||
|
Cadence BanCorp. |
249 | 5,468 | 2.5 | |||||||||
|
Central Pacific Financial Corp. |
173 | 4,443 | 2.0 | |||||||||
|
City Holding Co. |
61 | 4,753 | 2.2 | |||||||||
|
First Bancorp./Southern Pines NC |
120 | 5,161 | 2.4 | |||||||||
|
First Commonwealth Financial Corp. |
11 | 150 | 0.1 | |||||||||
|
First Financial Bancorp. |
399 | 9,341 | 4.3 | |||||||||
|
Hanmi Financial Corp. |
62 | 1,244 | 0.6 | |||||||||
|
Heritage Financial Corp./WA |
19 | 485 | 0.2 | |||||||||
|
Hope Bancorp Inc. |
249 | 3,596 | 1.6 | |||||||||
|
Independent Bank Corp. |
10 | 762 | 0.3 | |||||||||
|
NBT Bancorp. Inc. |
9 | 325 | 0.1 | |||||||||
|
Old National Bancorp./IN |
984 | 16,679 | 7.6 | |||||||||
|
Pacific Premier Bancorp. Inc. |
388 | 16,079 | 7.3 | |||||||||
|
Preferred Bank/Los Angeles CA |
55 | 3,667 | 1.7 | |||||||||
|
Renasant Corp. |
10 | 361 | 0.2 | |||||||||
|
S&T Bancorp. Inc. |
1 | 29 | 0.0 | |||||||||
|
Seacoast Banking Corp. of Florida |
215 | 7,269 | 3.3 | |||||||||
|
Simmons First National Corp. |
622 | 18,386 | 8.4 | |||||||||
|
Southside Bancshares Inc. |
68 | 2,604 | 1.2 | |||||||||
|
Westamerica Bancorp. |
54 | 3,038 | 1.4 | |||||||||
|
|
|
|||||||||||
| 131,681 | ||||||||||||
|
|
|
|||||||||||
| Commercial Services & Supplies | ||||||||||||
|
Pitney Bowes Inc. |
21 | 151 | 0.1 | |||||||||
|
|
|
|||||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||
|
GEO Group Inc. (The) |
279 | 2,084 | 0.9 | |||||||||
|
|
|
|||||||||||
| Gas Utilities | ||||||||||||
|
Chesapeake Utilities Corp. |
35 | 4,202 | 1.9 | |||||||||
|
|
|
|||||||||||
| Insurance | ||||||||||||
|
Employers Holdings Inc. |
63 | 2,488 | 1.1 | |||||||||
|
Horace Mann Educators Corp. |
90 | 3,581 | 1.6 | |||||||||
|
James River Group Holdings Ltd. |
161 | 6,075 | 2.8 | |||||||||
|
ProAssurance Corp. |
317 | 7,538 | 3.5 | |||||||||
|
|
|
|||||||||||
| 19,682 | ||||||||||||
|
|
|
|||||||||||
| Multi-Utilities | ||||||||||||
|
Avista Corp. |
56 | 2,191 | 1.0 | |||||||||
|
|
|
|||||||||||
| Oil, Gas & Consumable Fuels | ||||||||||||
|
Green Plains Inc.(a) |
372 | 12,146 | 5.5 | |||||||||
|
|
|
|||||||||||
| Thrifts & Mortgage Finance | ||||||||||||
|
HomeStreet Inc. |
169 | 6,954 | 3.2 | |||||||||
|
Northwest Bancshares Inc. |
40 | 531 | 0.2 | |||||||||
|
Provident Financial Services Inc. |
272 | 6,384 | 2.9 | |||||||||
|
TrustCo Bank Corp. NY |
38 | 1,215 | 0.6 | |||||||||
|
|
|
|||||||||||
| 15,084 | ||||||||||||
|
|
|
|||||||||||
| Shares | Value | % of Basket Value |
||||||||||
| Water Utilities | ||||||||||||
|
Middlesex Water Co. |
313 | $ | 32,170 | 14.7 | ||||||||
|
|
|
|||||||||||
|
Total Reference Entity — Long |
219,391 | |||||||||||
|
|
|
|||||||||||
|
Net Value of Reference Entity — Goldman Sachs Bank USA |
$ | 219,391 | ||||||||||
|
|
|
|||||||||||
The following table represents the individual long positions and related values of the equity securities underlying the total return swap with HSBC Bank PLC as of September 30, 2021 expiration 2/10/2023.
| Shares | Value | % of Basket Value |
||||||||||
|
Reference Entity — Long |
||||||||||||
| Banks | ||||||||||||
|
Allegiance Bancshares Inc. |
36 | $ | 1,373 | 0.6 | % | |||||||
|
Ameris Bancorp. |
7 | 363 | 0.2 | |||||||||
|
Banner Corp. |
74 | 4,086 | 1.8 | |||||||||
|
Cadence BanCorp. |
5 | 110 | 0.0 | |||||||||
|
City Holding Co. |
89 | 6,934 | 3.1 | |||||||||
|
Columbia Banking System Inc. |
264 | 10,029 | 4.5 | |||||||||
|
Community Bank System Inc. |
15 | 1,026 | 0.5 | |||||||||
|
First BanCorp./Puerto Rico |
1,707 | 22,447 | 10.1 | |||||||||
|
First Bancorp./Southern Pines NC |
56 | 2,409 | 1.1 | |||||||||
|
First Commonwealth Financial Corp. |
443 | 6,038 | 2.7 | |||||||||
|
First Financial Bancorp. |
536 | 12,548 | 5.7 | |||||||||
|
First Midwest Bancorp. Inc. |
30 | 570 | 0.3 | |||||||||
|
Great Western Bancorp. Inc. |
16 | 524 | 0.2 | |||||||||
|
Hanmi Financial Corp. |
130 | 2,608 | 1.2 | |||||||||
|
Hope Bancorp Inc. |
254 | 3,668 | 1.7 | |||||||||
|
Lakeland Financial Corp. |
453 | 32,272 | 14.6 | |||||||||
|
OFG Bancorp. |
297 | 7,490 | 3.4 | |||||||||
|
Pacific Premier Bancorp. Inc. |
196 | 8,122 | 3.7 | |||||||||
|
Renasant Corp. |
1 | 36 | 0.0 | |||||||||
|
S&T Bancorp. Inc. |
27 | 796 | 0.4 | |||||||||
|
Seacoast Banking Corp. of Florida |
335 | 11,326 | 5.1 | |||||||||
|
Simmons First National Corp. |
442 | 13,066 | 5.9 | |||||||||
|
Southside Bancshares Inc. |
64 | 2,451 | 1.1 | |||||||||
|
United Community Banks Inc./GA |
347 | 11,389 | 5.1 | |||||||||
|
Veritex Holdings Inc. |
6 | 236 | 0.1 | |||||||||
|
Westamerica Bancorp. |
5 | 281 | 0.1 | |||||||||
|
|
|
|||||||||||
| 162,198 | ||||||||||||
|
|
|
|||||||||||
| Commercial Services & Supplies | ||||||||||||
|
Pitney Bowes Inc. |
1,764 | 12,718 | 5.7 | |||||||||
|
|
|
|||||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||
|
CareTrust REIT Inc. |
399 | 8,108 | 3.7 | |||||||||
|
GEO Group Inc. (The) |
491 | 3,668 | 1.6 | |||||||||
|
|
|
|||||||||||
| 11,776 | ||||||||||||
|
|
|
|||||||||||
| Insurance | ||||||||||||
|
Employers Holdings Inc. |
94 | 3,712 | 1.7 | |||||||||
|
Genworth Financial Inc.(a) |
1,006 | 3,773 | 1.7 | |||||||||
|
Horace Mann Educators Corp. |
240 | 9,550 | 4.3 | |||||||||
|
James River Group Holdings Ltd. |
64 | 2,415 | 1.1 | |||||||||
|
ProAssurance Corp. |
218 | 5,184 | 2.4 | |||||||||
|
Safety Insurance Group Inc. |
1 | 79 | 0.0 | |||||||||
|
|
|
|||||||||||
| 24,713 | ||||||||||||
|
|
|
|||||||||||
|
S C H E D U L E O F I N V E S T M E N T S |
27 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF |
| Shares | Value | % of Basket Value |
||||||||||
|
Thrifts & Mortgage Finance |
||||||||||||
|
Northwest Bancshares Inc. |
253 | $ | 3,360 | 1.5 | ||||||||
|
TrustCo Bank Corp. NY |
159 | 5,083 | 2.3 | |||||||||
|
WSFS Financial Corp. |
35 | 1,796 | 0.8 | |||||||||
|
|
|
|||||||||||
| 10,239 | ||||||||||||
|
|
|
|||||||||||
|
Total Reference Entity — Long |
221,644 | |||||||||||
|
|
|
|||||||||||
|
Net Value of Reference Entity — HSBC Bank PLC |
$ | 221,644 | ||||||||||
|
|
|
|||||||||||
The following table represents the individual long positions and related values of the equity securities underlying the total return swap with JPMorgan Chase Bank NA as of September 30, 2021 expiration 2/8/2023.
| Shares | Value | % of Basket Value |
||||||||||
|
|
||||||||||||
|
Reference Entity — Long |
||||||||||||
| Banks | ||||||||||||
|
Allegiance Bancshares Inc. |
3 | $ | 114 | 0.1 | % | |||||||
|
Banner Corp. |
130 | 7,177 | 4.5 | |||||||||
|
Brookline Bancorp. Inc. |
470 | 7,172 | 4.5 | |||||||||
|
Cadence BanCorp. |
261 | 5,732 | 3.6 | |||||||||
|
Central Pacific Financial Corp. |
106 | 2,722 | 1.7 | |||||||||
|
Eagle Bancorp. Inc. |
5 | 288 | 0.2 | |||||||||
|
First Bancorp./Southern Pines NC |
106 | 4,559 | 2.8 | |||||||||
|
First Commonwealth Financial Corp. |
494 | 6,733 | 4.2 | |||||||||
|
Hanmi Financial Corp. |
112 | 2,247 | 1.4 | |||||||||
|
Hope Bancorp Inc. |
708 | 10,224 | 6.4 | |||||||||
|
National Bank Holdings Corp. |
4 | 162 | 0.1 | |||||||||
|
OFG Bancorp. |
215 | 5,422 | 3.4 | |||||||||
|
Old National Bancorp./IN |
657 | 11,136 | 6.9 | |||||||||
| Shares | Value | % of Basket Value |
||||||||||
|
Preferred Bank/Los Angeles CA |
84 | 5,601 | 3.5 | |||||||||
|
Simmons First National Corp. |
8 | 236 | 0.1 | |||||||||
|
Southside Bancshares Inc. |
20 | $ | 766 | 0.5 | ||||||||
|
United Community Banks Inc./GA |
509 | 16,705 | 10.4 | |||||||||
|
|
|
|||||||||||
| 86,996 | ||||||||||||
|
|
|
|||||||||||
| Capital Markets | ||||||||||||
|
Virtus Investment Partners Inc. |
15 | 4,655 | 2.9 | |||||||||
|
|
|
|||||||||||
| Commercial Services & Supplies | ||||||||||||
|
Pitney Bowes Inc. |
172 | 1,240 | 0.8 | |||||||||
|
|
|
|||||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||
|
CareTrust REIT Inc. |
1 | 20 | 0.0 | |||||||||
|
GEO Group Inc. (The) |
485 | 3,623 | 2.3 | |||||||||
|
iStar Inc. |
108 | 2,709 | 1.7 | |||||||||
|
|
|
|||||||||||
| 6,352 | ||||||||||||
|
|
|
|||||||||||
| Insurance | ||||||||||||
|
Employers Holdings Inc. |
125 | 4,936 | 3.1 | |||||||||
|
Horace Mann Educators Corp. |
80 | 3,183 | 2.0 | |||||||||
|
Stewart Information Services Corp. |
16 | 1,012 | 0.6 | |||||||||
|
|
|
|||||||||||
| 9,131 | ||||||||||||
|
|
|
|||||||||||
| Multiline Retail | ||||||||||||
|
Macy’s Inc. |
1,832 | 41,403 | 25.9 | |||||||||
|
|
|
|||||||||||
| Thrifts & Mortgage Finance | ||||||||||||
|
Flagstar Bancorp. Inc. |
174 | 8,836 | 5.5 | |||||||||
|
HomeStreet Inc. |
32 | 1,317 | 0.8 | |||||||||
|
Meta Financial Group Inc. |
3 | 157 | 0.1 | |||||||||
|
|
|
|||||||||||
| 10,310 | ||||||||||||
|
|
|
|||||||||||
| Total Reference Entity — Long | 160,087 | |||||||||||
|
|
|
|||||||||||
| Net Value of Reference Entity — JPMorgan
Chase Bank NA |
$160,087 | |||||||||||
|
|
|
|||||||||||
| (a) |
Non-income producing security. |
Balances Reported in the Statements of Assets and Liabilities for Total Return Swaps
| Premiums Paid |
Premiums Received |
Unrealized Appreciation |
Unrealized Depreciation | |||||||||||||||||
|
Total Return Swaps |
$ | — | $ | — | $ | 38,352 | $ | — | ||||||||||||
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
|
|
||||
| Equity Contracts |
||||
|
|
||||
| Assets — Derivative Financial Instruments | ||||
|
Swaps — OTC |
||||
|
Unrealized appreciation on OTC swaps; Swap premiums paid |
$ | 38,352 | ||
|
|
|
|||
| Liabilities — Derivative Financial Instruments | ||||
|
Futures contracts |
||||
|
Unrealized depreciation on futures contracts(a) |
$ | 1,058 | ||
|
|
|
|||
| (a) |
Net cumulative appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
| 28 |
2 0 2 1 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) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF |
For the period ended September 30, 2021, the effect of derivative financial instruments in the Statements of Operations was as follows:
| Equity Contracts |
||||
|
Net Realized Gain (Loss) from: |
||||
|
Swaps |
$ | (59,779 | ) | |
|
|
|
|||
|
Net Change in Unrealized Appreciation (Depreciation) on: |
||||
|
Futures contracts |
$ | (1,058 | ) | |
|
Swaps |
55,271 | |||
|
|
|
|||
| $ | 54,213 | |||
|
|
|
|||
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
Futures contracts: |
||||
|
Average notional value of contracts — long |
$ | 36,680 | ||
|
Total return swaps: |
||||
|
Average notional value |
$ | 552,747 | ||
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Derivative Financial Instruments - Offsetting as of Period End
The Fund’s derivative assets and liabilities (by type) were as follows:
| Assets | Liabilities | |||||||
|
Derivative Financial Instruments: |
||||||||
|
Futures contracts |
$ | — | $ | 1,058 | ||||
|
Swaps - OTC |
38,352 | — | ||||||
|
|
|
|
|
|||||
|
Total derivative assets and liabilities in the Statement of Assets and Liabilities |
38,352 | 1,058 | ||||||
|
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”) |
— | (1,058 | ) | |||||
|
|
|
|
|
|||||
|
Total derivative assets and liabilities subject to an MNA |
38,352 | — | ||||||
|
|
|
|
|
|||||
The following table presents the Fund’s derivative assets by counterparty net of amounts available for offset under an MNA and net of the related collateral received by the Fund:
| Counterparty | |
Derivative Assets Subject to an MNA by Counterparty |
|
|
Derivatives Available for Offset |
(a) |
|
Non-Cash Collateral Received |
|
|
Cash Collateral Received |
|
|
Net Amount of Derivative Assets |
(b) | |||||
|
Goldman Sachs Bank USA |
$ | 16,708 | $ | — | $ | — | $ | — | $ | 16,708 | ||||||||||
|
HSBC Bank PLC |
16,130 | — | — | — | 16,130 | |||||||||||||||
|
JPMorgan Chase Bank NA |
5,514 | — | — | — | 5,514 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| $ | 38,352 | $ | — | $ | — | $ | — | $ | 38,352 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| (a) |
The amount of derivatives available for offset is limited to the amount of derivative assets and/or liabilities that are subject to an MNA. |
| (b) |
Net amount represents the net amount receivable from the counterparty in the event of default. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
|
S C H E D U L E O F I N V E S T M E N T S |
29 |
|
Schedule of Investments (unaudited) (continued) September 30, 2021 |
iShares® ESG Screened S&P Small-Cap ETF |
Fair Value Hierarchy as of Period End (continued)
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
Investments |
||||||||||||||||
|
Assets |
||||||||||||||||
|
Common Stocks |
$ | 16,619,865 | $ | — | $ | — | $ | 16,619,865 | ||||||||
|
Money Market Funds |
892,160 | — | — | 892,160 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 17,512,025 | $ | — | $ | — | $ | 17,512,025 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative financial instruments(a) |
||||||||||||||||
|
Assets |
||||||||||||||||
|
Swaps |
$ | — | $ | 38,352 | $ | — | $ | 38,352 | ||||||||
|
Liabilities |
||||||||||||||||
|
Futures Contracts |
(1,058 | ) | — | — | (1,058 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | (1,058 | ) | $ | 38,352 | $ | — | $ | 37,294 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are swaps and futures contracts. Swaps and futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
| 30 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Assets and Liabilities (unaudited)
September 30, 2021
| iShares ESG Screened S&P 500 ETF |
iShares ESG Screened S&P Mid-Cap ETF |
iShares ESG Screened S&P Small-Cap ETF |
||||||||||
|
|
||||||||||||
|
ASSETS |
||||||||||||
|
Investments in securities, at value (including securities on loan)(a): |
||||||||||||
|
Unaffiliated(b) |
$ | 146,163,135 | $ | 39,633,984 | $ | 16,619,865 | ||||||
|
Affiliated(c) |
679,843 | 276,670 | 892,160 | |||||||||
|
Cash |
10,172 | 5,821 | 5,283 | |||||||||
|
Cash pledged: |
||||||||||||
|
Futures contracts |
7,000 | — | — | |||||||||
|
Receivables: |
||||||||||||
|
Investments sold |
22,893 | — | 1,366 | |||||||||
|
Securities lending income — Affiliated |
24 | 38 | 37 | |||||||||
|
Capital shares sold |
160,603 | 21,930 | 281,871 | |||||||||
|
Dividends |
56,875 | 44,423 | 15,989 | |||||||||
|
Unrealized appreciation on: |
||||||||||||
|
OTC swaps |
— | — | 38,352 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Total assets |
147,100,545 | 39,982,866 | 17,854,923 | |||||||||
|
|
|
|
|
|
|
|||||||
|
LIABILITIES |
||||||||||||
|
Collateral on securities loaned, at value |
33,984 | 236,706 | 172,180 | |||||||||
|
Payables: |
||||||||||||
|
Investments purchased |
93,643 | 52,933 | 349,118 | |||||||||
|
Variation margin on futures contracts |
1,347 | — | 1,058 | |||||||||
|
Capital shares redeemed |
22,893 | — | — | |||||||||
|
Investment advisory fees |
6,765 | 3,869 | 1,569 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Total liabilities |
158,632 | 293,508 | 523,925 | |||||||||
|
|
|
|
|
|
|
|||||||
|
NET ASSETS |
$ | 146,941,913 | $ | 39,689,358 | $ | 17,330,998 | ||||||
|
|
|
|
|
|
|
|||||||
|
NET ASSETS CONSIST OF: |
||||||||||||
|
Paid-in capital |
$ | 142,677,499 | $ | 39,116,849 | $ | 16,372,855 | ||||||
|
Accumulated earnings |
4,264,414 | 572,509 | 958,143 | |||||||||
|
|
|
|
|
|
|
|||||||
|
NET ASSETS |
$ | 146,941,913 | $ | 39,689,358 | $ | 17,330,998 | ||||||
|
|
|
|
|
|
|
|||||||
|
Shares outstanding |
4,450,000 | 1,100,000 | 450,000 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Net asset value |
$ | 33.02 | $ | 36.08 | $ | 38.51 | ||||||
|
|
|
|
|
|
|
|||||||
|
Shares authorized |
Unlimited | Unlimited | Unlimited | |||||||||
|
|
|
|
|
|
|
|||||||
|
Par value |
None | None | None | |||||||||
|
|
|
|
|
|
|
|||||||
|
(a) Securities loaned, at value |
$ | 32,718 | $ | 227,556 | $ | 142,769 | ||||||
|
(b) Investments, at cost — Unaffiliated |
$ | 142,216,630 | $ | 40,009,233 | $ | 17,040,142 | ||||||
|
(c) Investments, at cost — Affiliated |
$ | 666,529 | $ | 276,670 | $ | 892,160 | ||||||
See notes to financial statements.
|
F I N A N C I A L S T A T E M E N T S |
31 |
Statements of Operations (unaudited)
Six Months Ended September 30, 2021
|
iShares ESG Screened S&P 500 ETF |
iShares ESG Screened S&P Mid-Cap ETF |
iShares ESG Screened S&P Small-Cap ETF |
||||||||||
|
|
||||||||||||
|
INVESTMENT INCOME |
||||||||||||
|
Dividends — Unaffiliated |
$ | 480,113 | $ | 193,809 | $ | 82,888 | ||||||
|
Dividends — Affiliated |
3,019 | 1 | 18 | |||||||||
|
Securities lending income — Affiliated — net |
63 | 191 | 221 | |||||||||
|
Foreign taxes withheld |
(70 | ) | — | (76 | ) | |||||||
|
|
|
|
|
|
|
|||||||
|
Total investment income |
483,125 | 194,001 | 83,051 | |||||||||
|
|
|
|
|
|
|
|||||||
|
EXPENSES |
||||||||||||
|
Investment advisory fees |
30,886 | 18,616 | 7,201 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Total expenses |
30,886 | 18,616 | 7,201 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Net investment income |
452,239 | 175,385 | 75,850 | |||||||||
|
|
|
|
|
|
|
|||||||
|
REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||
|
Net realized gain (loss) from: |
||||||||||||
|
Investments — Unaffiliated |
(60,910 | ) | (464,681 | ) | (199,349 | ) | ||||||
|
Investments — Affiliated |
20 | (32 | ) | (14 | ) | |||||||
|
In-kind redemptions — Unaffiliated |
371,355 | 1,486,608 | 1,593,674 | |||||||||
|
In-kind redemptions — Affiliated |
2,296 | — | — | |||||||||
|
Futures contracts |
12,811 | — | — | |||||||||
|
Swaps |
— | — | (59,779 | ) | ||||||||
|
|
|
|
|
|
|
|||||||
|
Net realized gain |
325,572 | 1,021,895 | 1,334,532 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Net change in unrealized appreciation (depreciation) on: |
||||||||||||
|
Investments — Unaffiliated |
2,640,979 | (1,643,186 | ) | (1,617,220 | ) | |||||||
|
Investments — Affiliated |
3,037 | — | — | |||||||||
|
Futures contracts |
(5,397 | ) | — | (1,058 | ) | |||||||
|
Swaps |
— | — | 55,271 | |||||||||
|
|
|
|
|
|
|
|||||||
|
Net change in unrealized appreciation (depreciation) |
2,638,619 | (1,643,186 | ) | (1,563,007 | ) | |||||||
|
|
|
|
|
|
|
|||||||
|
Net realized and unrealized gain (loss) |
2,964,191 | (621,291 | ) | (228,475 | ) | |||||||
|
|
|
|
|
|
|
|||||||
|
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
$ | 3,416,430 | $ | (445,906 | ) | $ | (152,625 | ) | ||||
|
|
|
|
|
|
|
|||||||
See notes to financial statements.
| 32 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Changes in Net Assets
| iShares ESG Screened S&P 500 ETF
|
iShares ESG Screened S&P Mid-Cap ETF
|
|||||||||||||||
| |
Six Months Ended 09/30/21 (unaudited |
) |
|
Period From 09/22/20 to 03/31/21 |
(a)
|
|
Six Months Ended 09/30/21 (unaudited |
) |
|
Period From 09/22/20 to 03/31/21 |
(a)
| |||||
|
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||
|
OPERATIONS |
||||||||||||||||
|
Net investment income |
$ | 452,239 | $ | 74,190 | $ | 175,385 | $ | 75,611 | ||||||||
|
Net realized gain |
325,572 | 222,607 | 1,021,895 | 1,982,039 | ||||||||||||
|
Net change in unrealized appreciation (depreciation) |
2,638,619 | 1,316,557 | (1,643,186 | ) | 1,267,937 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net increase (decrease) in net assets resulting from operations |
3,416,430 | 1,613,354 | (445,906 | ) | 3,325,587 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
DISTRIBUTIONS TO SHAREHOLDERS(b) |
||||||||||||||||
|
Decrease in net assets resulting from distributions to shareholders |
(429,085 | ) | (69,238 | ) | (187,020 | ) | (72,947 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||
|
Net increase in net assets derived from capital share transactions |
113,680,973 | 28,729,479 | 20,582,013 | 16,487,631 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET ASSETS |
||||||||||||||||
|
Total increase in net assets |
116,668,318 | 30,273,595 | 19,949,087 | 19,740,271 | ||||||||||||
|
Beginning of period |
30,273,595 | — | 19,740,271 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
End of period |
$ | 146,941,913 | $ | 30,273,595 | $ | 39,689,358 | $ | 19,740,271 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Commencement of operations. |
| (b) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
|
F I N A N C I A L S T A T E M E N T S |
33 |
Statements of Changes in Net Assets (continued)
| iShares ESG Screened S&P Small-Cap ETF |
||||||||
| |
Six Months Ended 09/30/21 (unaudited |
) |
|
Period From 09/22/20 to 03/31/21 |
(a)
| |||
|
INCREASE (DECREASE) IN NET ASSETS |
||||||||
|
OPERATIONS |
||||||||
|
Net investment income |
$ | 75,850 | $ | 43,432 | ||||
|
Net realized gain |
1,334,532 | 1,750,921 | ||||||
|
Net change in unrealized appreciation (depreciation) |
(1,563,007 | ) | 1,180,024 | |||||
|
|
|
|
|
|||||
|
Net increase (decrease) in net assets resulting from operations |
|
(152,625 |
) |
|
2,974,377 |
| ||
|
|
|
|
|
|||||
|
DISTRIBUTIONS TO SHAREHOLDERS(b) |
||||||||
|
Decrease in net assets resulting from distributions to shareholders |
(145,245 | ) | (54,674 | ) | ||||
|
|
|
|
|
|||||
|
CAPITAL SHARE TRANSACTIONS |
||||||||
|
Net increase in net assets derived from capital share transactions |
7,927,557 | 6,781,608 | ||||||
|
|
|
|
|
|||||
|
NET ASSETS |
||||||||
|
Total increase in net assets |
7,629,687 | 9,701,311 | ||||||
|
Beginning of period |
9,701,311 | — | ||||||
|
|
|
|
|
|||||
|
End of period |
$ | 17,330,998 | $ | 9,701,311 | ||||
|
|
|
|
|
|||||
| (a) |
Commencement of operations. |
| (b) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
| 34 |
2 0 2 1 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 |
(For a share outstanding throughout each period)
| iShares ESG Screened S&P 500 ETF | ||||||||||||||
| Six Months Ended
09/30/21
(unaudited) |
|
|
Period From 09/22/20 to 03/31/21 |
(a)
| ||||||||||
|
|
||||||||||||||
|
Net asset value, beginning of period |
|
$ 30.27 | $ 25.29 | |||||||||||
|
|
|
|
|
|||||||||||
|
Net investment income(b) |
|
0.19 |
|
|
0.21 |
| ||||||||
|
Net realized and unrealized gain(c) |
2.72 | 4.91 | ||||||||||||
|
|
|
|
|
|||||||||||
|
Net increase from investment operations |
|
2.91 |
|
|
5.12 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Distributions(d) |
||||||||||||||
|
From net investment income |
|
(0.16 |
) |
|
(0.14 |
) | ||||||||
|
|
|
|
|
|||||||||||
|
Total distributions |
|
(0.16 |
) |
|
(0.14 |
) | ||||||||
|
|
|
|
|
|||||||||||
|
Net asset value, end of period |
$ 33.02 | $ 30.27 | ||||||||||||
|
|
|
|
|
|||||||||||
|
Total Return(e) |
||||||||||||||
|
Based on net asset value |
9.61 | %(f) | 20.27 | %(f) | ||||||||||
|
|
|
|
|
|||||||||||
|
Ratios to Average Net Assets |
||||||||||||||
|
Total expenses |
0.08 | %(g) | 0.08 | %(g) | ||||||||||
|
|
|
|
|
|||||||||||
|
Net investment income |
|
1.17 |
%(g) |
|
1.37 |
%(g) | ||||||||
|
|
|
|
|
|||||||||||
|
Supplemental Data |
||||||||||||||
|
Net assets, end of period (000) |
|
$146,942 |
|
|
$ 30,274 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Portfolio turnover rate(h) |
|
2 |
%(f) |
|
6 |
%(f) | ||||||||
|
|
|
|
|
|||||||||||
| (a) |
Commencement of operations. |
| (b) |
Based on average shares outstanding. |
| (c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (e) |
Where applicable, assumes the reinvestment of distributions. |
| (f) |
Not annualized. |
| (g) |
Annualized. |
| (h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
|
F I N A N C I A L H I G H L I G H T S |
35 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| iShares ESG Screened S&P Mid-Cap ETF | ||||||||||||||
| Six Months Ended
09/30/21
(unaudited) |
|
|
Period From 09/22/20 to 03/31/21 |
(a)
| ||||||||||
|
|
||||||||||||||
|
Net asset value, beginning of period |
|
$ 35.89 | $ 25.19 | |||||||||||
|
|
|
|
|
|||||||||||
|
Net investment income(b) |
|
0.21 |
|
|
0.22 |
| ||||||||
|
Net realized and unrealized gain(c) |
|
0.18 |
|
|
10.66 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Net increase from investment operations |
|
0.39 |
|
|
10.88 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Distributions(d) |
||||||||||||||
|
From net investment income |
(0.20 | ) | (0.18 | ) | ||||||||||
|
|
|
|
|
|||||||||||
|
Total distributions |
|
(0. 20 |
) |
|
(0.18 |
) | ||||||||
|
|
|
|
|
|||||||||||
|
Net asset value, end of period |
$ 36.08 | $ 35.89 | ||||||||||||
|
|
|
|
|
|||||||||||
|
Total Return(e) |
||||||||||||||
|
Based on net asset value |
1.06 | %(f) | 43.29 | %(f) | ||||||||||
|
|
|
|
|
|||||||||||
|
Ratios to Average Net Assets |
||||||||||||||
|
Total expenses |
|
0.12 |
%(g) |
|
0.12 |
%(g) | ||||||||
|
|
|
|
|
|||||||||||
|
Net investment income |
|
1.13 |
%(g) |
|
1.29 |
%(g) | ||||||||
|
|
|
|
|
|||||||||||
|
Supplemental Data |
||||||||||||||
|
Net assets, end of period (000) |
$39,689 | $ 19,740 | ||||||||||||
|
|
|
|
|
|||||||||||
|
Portfolio turnover rate(h) |
|
14 |
%(f) |
|
11 |
%(f) | ||||||||
|
|
|
|
|
|||||||||||
| (a) |
Commencement of operations. |
| (b) |
Based on average shares outstanding. |
| (c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (e) |
Where applicable, assumes the reinvestment of distributions. |
| (f) |
Not annualized. |
| (g) |
Annualized. |
| (h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
| 36 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| iShares ESG Screened S&P Small-Cap ETF | ||||||||||||||
| Six Months Ended 09/30/21 (unaudited) |
|
|
Period From 09/22/20 to 03/31/21 |
(a)
| ||||||||||
|
|
||||||||||||||
|
Net asset value, beginning of period |
|
$ | 38.81 | $ | 25.18 | |||||||||
|
|
|
|
|
|||||||||||
|
Net investment income(b) |
|
0.25 |
|
|
0.20 |
| ||||||||
|
Net realized and unrealized gain (loss)(c) |
|
(0.06 |
) |
|
13.69 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Net increase from investment operations |
|
0.19 |
|
|
13.89 |
| ||||||||
|
|
|
|
|
|||||||||||
|
Distributions(d) |
||||||||||||||
|
From net investment income |
(0.49 | ) | (0.26 | ) | ||||||||||
|
|
|
|
|
|||||||||||
|
Total distributions |
|
(0.49 |
) |
|
(0.26 |
) | ||||||||
|
|
|
|
|
|||||||||||
|
Net asset value, end of period |
$ | 38.51 | $ | 38.81 | ||||||||||
|
|
|
|
|
|||||||||||
|
Total Return(e) |
||||||||||||||
|
Based on net asset value |
0.45 | %(f) | 55.32 | %(f) | ||||||||||
|
|
|
|
|
|||||||||||
|
Ratios to Average Net Assets |
||||||||||||||
|
Total expenses |
|
0.12 |
%(g) |
|
0.12 |
%(g) | ||||||||
|
|
|
|
|
|||||||||||
|
Net investment income |
|
1.26 |
%(g) |
|
1.13 |
%(g) | ||||||||
|
|
|
|
|
|||||||||||
|
Supplemental Data |
||||||||||||||
|
Net assets, end of period (000) |
$ | 17,331 | $ | 9,701 | ||||||||||
|
|
|
|
|
|||||||||||
|
Portfolio turnover rate(h) |
|
16 |
%(f) |
|
18 |
%(f) | ||||||||
|
|
|
|
|
|||||||||||
| (a) |
Commencement of operations. |
| (b) |
Based on average shares outstanding. |
| (c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (e) |
Where applicable, assumes the reinvestment of distributions. |
| (f) |
Not annualized. |
| (g) |
Annualized. |
| (h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
|
F I N A N C I A L H I G H L I G H T S |
37 |
Notes to Financial Statements (unaudited)
| 1. |
ORGANIZATION |
iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
| iShares ETF | Diversification Classification | |
|
ESG Screened S&P 500 |
Non-diversified | |
|
ESG Screened S&P Mid-Cap |
Non-diversified | |
|
ESG Screened S&P Small-Cap |
Non-diversified | |
| 2. |
SIGNIFICANT ACCOUNTING POLICIES |
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:
Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.
Foreign Taxes: The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its Statements of Operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as “Other foreign taxes”, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of September 30, 2021, if any, are disclosed in the Statements of Assets and Liabilities.
The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.
Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts and swaps) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.
In-kind Redemptions: For financial reporting purposes, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or net asset value (“NAV”) per share.
Distributions: Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.
Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.
| 3. |
INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS |
Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. Each Fund determines the fair values of its financial instruments
| 38 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.
Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:
| • |
Equity investments traded on a recognized securities exchange are valued at that day’s official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price. |
| • |
Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV. |
| • |
Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded. |
| • |
Swap agreements are valued utilizing quotes received daily by independent pricing services or through brokers, which are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades and values of the underlying reference instruments. |
If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.
Fair value pricing could result in a difference between the prices used to calculate a fund’s NAV and the prices used by the fund’s underlying index, which in turn could result in a difference between the fund’s performance and the performance of the fund’s underlying index.
Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:
| • |
Level 1 — Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access; |
| • |
Level 2 — Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and |
| • |
Level 3 — Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, (including the Global Valuation Committee’s assumptions used in determining the fair value of financial instruments). |
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.
| 4. |
SECURITIES AND OTHER INVESTMENTS |
Securities Lending: Each Fund may lend its securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.
As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule of Investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.
Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When
|
N O T E S T O F I N A N C I A L S T A T E M E N T S |
39 |
Notes to Financial Statements (unaudited) (continued)
the value of the collateral is greater than that of the market value of the securities loaned, the lender is left with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.
As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:
| iShares ETF and Counterparty | |
Market Value
of Securities on Loan |
|
|
Cash Collateral Received |
(a) |
|
Non-Cash Collateral Received |
|
Net Amount | ||||||
|
ESG Screened S&P 500 |
||||||||||||||||
|
Barclays Bank PLC |
$ | 964 | $ | 964 | $ | — | $ | — | ||||||||
|
BNP Paribas SA |
20,460 | 20,460 | — | — | ||||||||||||
|
Citigroup Global Markets, Inc. |
11,294 | 11,294 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 32,718 | $ | 32,718 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
ESG Screened S&P Mid-Cap |
||||||||||||||||
|
Barclays Bank PLC |
$ | 121,395 | $ | 121,395 | $ | — | $ | — | ||||||||
|
Citigroup Global Markets, Inc. |
63,229 | 63,229 | — | — | ||||||||||||
|
Jefferies LLC |
42,932 | 42,932 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 227,556 | $ | 227,556 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
ESG Screened S&P Small-Cap |
||||||||||||||||
|
Barclays Bank PLC |
$ | 44,456 | $ | 44,456 | $ | — | $ | — | ||||||||
|
BofA Securities, Inc. |
11,151 | 11,151 | — | — | ||||||||||||
|
Goldman Sachs & Co. LLC |
56,783 | 56,783 | — | — | ||||||||||||
|
Toronto Dominion Bank |
30,379 | 30,379 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 142,769 | $ | 142,769 | $ | — | $ | — | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s statement of assets and liabilities. |
The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the market value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original cash collateral received. Such losses are borne entirely by each Fund.
| 5. |
DERIVATIVE FINANCIAL INSTRUMENTS |
Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).
Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.
Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.
Swaps: Swap contracts are entered into to manage exposure to issuers, markets and securities. Such contracts are agreements between the Funds and a counterparty to make periodic net payments on a specified notional amount or a net payment upon termination. Swap agreements are privately negotiated in the OTC market and may be entered into as a bilateral contract (“OTC swaps”) or centrally cleared (“centrally cleared swaps”). For OTC swaps, any upfront premiums paid and any upfront fees received are shown as swap premiums paid and swap premiums received, respectively, in the Statements of Assets and Liabilities and amortized over the term of the contract. The daily fluctuation in market value is recorded as unrealized appreciation (depreciation) on OTC Swaps in the Statements of Assets and Liabilities. Payments received or paid are recorded in the Statements of Operations as realized gains or losses, respectively. When an OTC swap is terminated, a realized gain or loss is recorded
| 40 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
in the Statements of Operations equal to the difference between the proceeds from (or cost of) the closing transaction and the Funds’ basis in the contract, if any. Generally, the basis of the contract is the premium received or paid. Total return swaps are entered into by the iShares ESG Screened S&P Small-Cap ETF to obtain exposure to a security or market without owning such security or investing directly in such market or to exchange the risk/return of one security or market (e.g., fixed-income) with another security or market (e.g., equity or commodity prices) (equity risk, commodity price risk and/or interest rate risk).
Total return swaps are agreements in which there is an exchange of cash flows whereby one party commits to make payments based on the total return (distributions plus capital gains/losses) of an underlying instrument, or basket or underlying instruments, in exchange for fixed or floating rate interest payments. If the total return of the instruments or index underlying the transaction exceeds or falls short of the offsetting fixed or floating interest rate obligation, the Fund receives payment from or makes a payment to the counterparty.
Certain total return swaps are designed to function as a portfolio of direct investments in long and short equity positions. This means that the Fund has the ability to trade in and out of these long and short positions within the swap and will receive the economic benefits and risks equivalent to direct investment in these positions, subject to certain adjustments due to events related to the counterparty. Benefits and risks include capital appreciation (depreciation), corporate actions and dividends received and paid, all of which are reflected in the swap’s market value. The market value also includes interest charges and credits (“financing fees”) related to the notional values of the long and short positions and cash balances within the swap. These interest charges and credits are based on a specified benchmark rate plus or minus a specified spread determined based upon the country and/or currency of the positions in the portfolio.
Positions within the swap and financing fees are reset periodically. During a reset, any unrealized appreciation (depreciation) on positions and accrued financing fees become available for cash settlement between the Fund and the counterparty. The amounts that are available for cash settlement are recorded as realized gains or losses in the Statements of Operations. Cash settlement in and out of the swap may occur at a reset date or any other date, at the discretion of the Fund and the counterparty, over the life of the agreement. Certain swaps have no stated expiration and can be terminated by either party at any time.
Swap transactions involve, to varying degrees, elements of interest rate, credit and market risks in excess of the amounts recognized in the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements, and that there may be unfavorable changes in interest rates and/or market values associated with these transactions.
Master Netting Arrangements: In order to define its contractual rights and to secure rights that will help mitigate its counterparty risk, a Fund may enter into an International Swaps and Derivatives Association, Inc. Master Agreement (“ISDA Master Agreement”) or similar agreement with its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between a Fund and a counterparty that governs certain OTC derivatives and typically contains, among other things, collateral posting terms and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, a Fund may, under certain circumstances, offset with the counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default including the bankruptcy or insolvency of the counterparty. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency, or other events.
For derivatives traded under an ISDA Master Agreement, the collateral requirements are typically calculated by netting the mark-to-market amount for each transaction under such agreement, and comparing that amount to the value of any collateral currently pledged by a Fund and the counterparty.
Cash collateral that has been pledged to cover obligations of the Funds and cash collateral received from the counterparty, if any, is reported separately in the Statements of Assets and Liabilities as cash pledged as collateral and cash received as collateral, respectively. Non-cash collateral pledged by the Funds, if any, is noted in the Schedules of Investments. Generally, the amount of collateral due from or to a counterparty is subject to a certain minimum transfer amount threshold before a transfer is required, which is determined at the close of business of the Funds. Any additional required collateral is delivered to/pledged by the Funds on the next business day. Typically, the counterparty is not permitted to sell, re-pledge or use cash and non-cash collateral it receives. A Fund generally agrees not to use non-cash collateral that it receives but may, absent default or certain other circumstances defined in the underlying ISDA Master Agreement, be permitted to use cash collateral received. In such cases, interest may be paid pursuant to the collateral arrangement with the counterparty. To the extent amounts due to the Funds from the counterparty are not fully collateralized, each Fund bears the risk of loss from counterparty non-performance. Likewise, to the extent the Funds have delivered collateral to a counterparty and stand ready to perform under the terms of their agreement with such counterparty, each Fund bears the risk of loss from a counterparty in the amount of the value of the collateral in the event the counterparty fails to return such collateral. Based on the terms of agreements, collateral may not be required for all derivative contracts.
For financial reporting purposes, each Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements, if any, in the Statements of Assets and Liabilities.
| 6. |
INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent trustees).
|
N O T E S T O F I N A N C I A L S T A T E M E N T S |
41 |
Notes to Financial Statements (unaudited) (continued)
For its investment advisory services to each of the following Funds, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, based on the average daily net assets of each Fund as follows:
| iShares ETF | Investment Advisory Fee | |||
|
ESG Screened S&P 500 |
0.08 | % | ||
|
ESG Screened S&P Mid-Cap |
0.12 | |||
|
ESG Screened S&P Small-Cap |
0.12 | |||
Distributor: BlackRock Investments, LLC, an affiliate of BFA, is the distributor for each Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Funds.
Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. However, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04%. The SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.
Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.
Pursuant to the current securities lending agreement, each Fund retains 77% of securities lending income (which excludes collateral investment fees) and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act iShares exchange-traded funds (the “iShares ETF Complex”) in that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the six months ended September 30, 2021, the Funds paid BTC the following amounts for securities lending agent services:
| iShares ETF | Fees Paid to BTC |
|||
|
ESG Screened S&P 500 |
$ | 27 | ||
|
ESG Screened S&P Mid-Cap |
82 | |||
|
ESG Screened S&P Small-Cap |
95 | |||
Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.
Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.
For the six months ended September 30, 2021, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
| iShares ETF | Purchases | Sales | Net Realized Gain (Loss) |
|||||||||
|
ESG Screened S&P 500 |
$ | 334,478 | $ | 405,948 | $ | (22,965 | ) | |||||
|
ESG Screened S&P Mid-Cap |
527,440 | 991,588 | (105,059 | ) | ||||||||
|
ESG Screened S&P Small-Cap |
66,636 | 134,703 | (20,802 | ) | ||||||||
Each Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is shown as dividends – affiliated in the Statements of Operations.
A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.
| 42 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
| 7. |
PURCHASES AND SALES |
For the six months ended September 30, 2021, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:
| iShares ETF | Purchases | Sales | ||||||
|
ESG Screened S&P 500 |
$ | 1,723,333 | $ | 1,485,949 | ||||
|
ESG Screened S&P Mid-Cap |
4,566,892 | 4,318,356 | ||||||
|
ESG Screened S&P Small-Cap |
3,842,006 | 1,939,589 | ||||||
For the six months ended September 30, 2021, in-kind transactions were as follows:
| iShares ETF | In-kind Purchases |
In-kind Sales |
||||||
|
ESG Screened S&P 500 |
$ | 114,895,144 | $ | 1,587,421 | ||||
|
ESG Screened S&P Mid-Cap |
27,699,521 | 7,366,159 | ||||||
|
ESG Screened S&P Small-Cap |
13,464,908 | 7,745,546 | ||||||
| 8. |
INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.
Management has analyzed tax laws and regulations and their application to the Funds as of September 30, 2021 and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
As of March 31, 2021, the Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:
| iShares ETF | Non-Expiring | |||
|
ESG Screened S&P 500 |
$ | 34,318 | ||
|
ESG Screened S&P Mid-Cap |
53,137 | |||
|
ESG Screened S&P Small-Cap |
18,543 | |||
As of September 30, 2021, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:
|
iShares ETF |
Tax Cost |
Gross Unrealized Appreciation |
Gross Unrealized Depreciation |
Net Unrealized Appreciation |
||||||||||||
|
ESG Screened S&P 500 |
$ | 142,892,527 | $ | 5,756,570 | $ | (1,810,762 | ) | $ | 3,945,808 | |||||||
|
ESG Screened S&P Mid-Cap |
40,297,932 | 1,426,682 | (1,813,960 | ) | (387,278 | ) | ||||||||||
|
ESG Screened S&P Small-Cap |
17,933,685 | 494,981 | (879,347 | ) | (384,366 | ) | ||||||||||
| 9. |
PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
BFA uses a “passive” or index approach to try to achieve each Fund’s investment objective following the securities included in its underlying index during upturns as well as downturns. BFA does not take steps to reduce market exposure or to lessen the effects of a declining market. Divergence from the underlying index and the composition of the portfolio is monitored by BFA.
The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.
Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time.
|
N O T E S T O F I N A N C I A L S T A T E M E N T S |
43 |
Notes to Financial Statements (unaudited) (continued)
This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. The duration of this pandemic and its effects cannot be determined with certainty.
Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.
Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.
A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.
With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.
Concentration Risk: A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within each Fund’s portfolio are disclosed in its Schedule of Investments.
Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.
LIBORTransition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates will be phased out by the end of 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against, instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.
| 10. |
CAPITAL SHARE TRANSACTIONS |
Capital shares are issued and redeemed by each Fund only in aggregations of a specified number of shares or multiples thereof (“Creation Units”) at NAV. Except when aggregated in Creation Units, shares of each Fund are not redeemable.
Transactions in capital shares were as follows:
|
|
||||||||||||||||
| Six Months
Ended 09/30/21 |
Period Ended 03/31/21 |
|||||||||||||||
| iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||
|
|
||||||||||||||||
|
ESG Screened S&P 500 |
||||||||||||||||
|
Shares sold |
3,500,000 | $ | 115,341,000 | 1,050,000 | $ | 30,222,032 | ||||||||||
|
Shares redeemed |
(50,000 | ) | (1,660,027 | ) | (50,000 | ) | (1,492,553 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net increase |
3,450,000 | $ | 113,680,973 | 1,000,000 | $ | 28,729,479 | ||||||||||
|
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|
|
|
|
|
|
|
|||||||||
|
ESG Screened S&P Mid-Cap |
||||||||||||||||
|
Shares sold |
750,000 | $ | 27,955,666 | 800,000 | $ | 24,979,421 | ||||||||||
|
Shares redeemed |
(200,000 | ) | (7,373,653 | ) | (250,000 | ) | (8,491,790 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net increase |
550,000 | $ | 20,582,013 | 550,000 | $ | 16,487,631 | ||||||||||
|
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|
|
|
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|
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| 44 |
2 0 2 1 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
|
|
||||||||||||||||
| Six Months
Ended 09/30/21 |
Period Ended 03/31/21 |
|||||||||||||||
| iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||
|
|
||||||||||||||||
|
ESG Screened S&P Small-Cap |
||||||||||||||||
|
Shares sold |
400,000 | $ | 15,765,045 | 400,000 | $ | 12,170,388 | ||||||||||
|
Shares redeemed |
(200,000 | ) | (7,837,488 | ) | (150,000 | ) | (5,388,780 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net increase |
200,000 | $ | 7,927,557 | 250,000 | $ | 6,781,608 | ||||||||||
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|
|
|||||||||
The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in shares sold in the table above.
From time to time, settlement of securities related to in-kind contributions or in-kind redemptions may be delayed. In such cases, securities related to in-kind transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.
| 11. |
SUBSEQUENT EVENTS |
Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or additional disclosure in the financial statements.
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N O T E S T O F I N A N C I A L S T A T E M E N T S |
45 |
Board Review and Approval of Investment Advisory Contract
iShares ESG Screened S&P 500 ETF, iShares ESG Screened S&P Mid-Cap ETF, iShares ESG Screened S&P Small-Cap ETF (each the “Fund”)
Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Board Members who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Board Members), is required annually to consider and approve the Investment Advisory Agreement between the Trust and BFA (the “Advisory Agreement”) whereby the Board and its committees (composed solely of Independent Board Members) assess BlackRock’s services to the Fund, including investment management; fund accounting; administrative and shareholder services; oversight of the Fund’s service providers; risk management and oversight; legal and compliance services; and ability to meet applicable legal and regulatory requirements. The Independent Board Members requested, and BFA provided, such information as the Independent Board Members, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Agreement. At meetings on May 7, 2021 and May 14, 2021, a committee composed of all of the Independent Board Members (the “15(c) Committee”), with independent counsel, met with management and reviewed and discussed information provided in response to initial requests of the 15(c) Committee and/or its independent counsel, and requested certain additional information, which management agreed to provide. At a meeting held on June 15-16, 2021, the Board, including the Independent Board Members, reviewed the additional information provided by management in response to these requests.
After extensive discussions and deliberations, the Board, including all of the Independent Board Members, approved the continuance of the Advisory Agreement for the Fund, based on a review of qualitative and quantitative information provided by BFA and their cumulative experience as Board Members. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Independent Board Members were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the continuance of the Advisory Agreement for the Fund, the Board, including the Independent Board Members, considered various factors, including: (i) the expenses and performance of the Fund; (ii) the nature, extent and quality of the services provided by BFA; (iii) the costs of services provided to the Fund and profits realized by BFA and its affiliates; (iv) potential economies of scale and the sharing of related benefits; (v) the fees and services provided for other comparable funds/accounts managed by BFA and its affiliates; and (vi) other benefits to BFA and/or its affiliates. The material factors, none of which was controlling, and conclusions that formed the basis for the Board, including the Independent Board Members, to approve the continuance of the Advisory Agreement are discussed below.
Expenses and Performance of the Fund: The Board reviewed statistical information prepared by Broadridge Financial Solutions Inc. (“Broadridge”), an independent provider of investment company data, regarding the expense ratio components, including gross and net total expenses, fees and expenses of another fund in which the Fund invests (if applicable), and waivers/reimbursements (if applicable) of the Fund in comparison with the same information for other ETFs (including, where applicable, funds sponsored by an “at cost” service provider), objectively selected by Broadridge as comprising the Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of the proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board noted that, due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances. The Board also noted that overall fund expenses (net of waivers and reimbursements) for the Fund were lower than the median of the overall fund expenses (net of waivers and reimbursements ) of the funds in its Peer Group, excluding iShares funds.
In addition, to the extent that any of the comparison funds included in the Peer Group, excluding iShares funds, track the same index as the Fund, Broadridge also provided, and the Board reviewed, a comparison of the Fund’s performance for the one-year, three-year, five-year, ten-year, and since inception periods, as applicable, and for the quarter ended December 31, 2020, to that of relevant comparison fund(s) for the same periods. The Board noted that the Fund seeks to track its specified underlying index and that, during the year, the Board received periodic reports on the Fund’s short- and longer-term performance in comparison with its underlying index. Such periodic comparative performance information, including additional detailed information as requested by the Board, was also considered. The Board noted that the Fund generally performed in line with its underlying index over the relevant periods.
Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Nature, Extent and Quality of Services Provided: Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, technology, portfolio management, product design and quality, compliance and risk management, global public policy and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Agreement for the coming year as compared with the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to support the iShares funds and their shareholders and have made significant investments into the iShares business. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made relevant officers and other employees of BFA (and its affiliates) available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies, which were provided at the May 7, 2021 meeting and throughout the year.
Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided to the Fund under the Advisory Agreement supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates: The Board reviewed information about the estimated profitability to BlackRock in managing the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Agreement), and other sources of revenue and expense to BFA and its affiliates from the Fund’s operations for the last calendar year. The Board reviewed BlackRock’s methodology for calculating estimated profitability of the iShares funds, noting that the 15(c) Committee and the Board had focused on the methodology and profitability presentation. The Board recognized that profitability may be affected
| 46 |
2 0 2 1 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 |
Board Review and Approval of Investment Advisory Contract (continued)
by numerous factors, including, among other things, fee waivers by BFA, the types of funds managed, expense allocations and business mix. The Board thus recognized that calculating and comparing profitability at individual fund levels is challenging. The Board discussed with management the sources of direct and ancillary revenue, including the revenues to BTC, a BlackRock affiliate, from securities lending by the Fund. The Board also discussed BFA’s estimated profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below).
Based on this review, the Board concluded that the profits realized by BFA and its affiliates under the Advisory Agreement and from other relationships between the Fund and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors and other information considered.
Economies of Scale: The Board reviewed information and considered the extent to which economies of scale might be realized as the assets of the Fund increase, noting that the issue of potential economies of scale had been focused on by the 15(c) Committee and the Board during their meetings and addressed by management. The 15(c) Committee and the Board received information regarding BlackRock’s historical estimated profitability, including BFA’s and its affiliates’ estimated costs in providing services. The estimated cost information distinguished, among other things, between fixed and variable costs, and showed how the level and nature of fixed and variable costs may impact the existence or size of scale benefits, with the Board recognizing that potential economies of scale are difficult to measure. The 15(c) Committee and the Board reviewed information provided by BFA regarding the sharing of scale benefits with the iShares funds through various means, including, as applicable, through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board noted that the Advisory Agreement for the Fund did not provide for breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that it would continue to assess the appropriateness of adding breakpoints in the future.
The Board concluded that this review of potential economies of scale and the sharing of related benefits, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates: The Board considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (collectively, the “Other Accounts”). The Board acknowledged BFA’s representation that the iShares funds are fundamentally different investment vehicles from the Other Accounts.
The Board received detailed information regarding how the Other Accounts generally differ from the Fund, including in terms of the types of services and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded investment vehicle, as compared to the Other Accounts, particularly those that are institutional clients, in light of differing regulatory requirements and client-imposed mandates. The Board noted that BFA and its affiliates do not manage Other Accounts with substantially the same investment objective and strategy as the Fund and that track the same index as the Fund. The Board also acknowledged management’s assertion that, for certain iShares funds, and for client segmentation purposes, BlackRock has launched an iShares fund that may provide a similar investment exposure at a lower investment advisory fee rate.
The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund’s expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Agreement for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.
Other Benefits to BFA and/or its Affiliates: The Board reviewed other benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, both direct and indirect, including, but not limited to, payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s estimated profitability methodology), payment of advisory fees or other fees to BFA (or its affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services or other services, and BlackRock’s profile in the investment community. The Board also noted the revenue received by BFA and/or its affiliates pursuant to (i) an agreement that permits a service provider to use certain portions of BlackRock’s technology platform to service accounts managed by BFA and/or its affiliates, including the iShares funds and (ii) other technology-related initiatives aimed to better support the iShares funds. The Board further noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Agreement for the coming year.
Conclusion: Based on a review of the factors described above, as well as such other factors as deemed appropriate by the Board, the Board, including all of the Independent Board Members, determined that the Fund’s investment advisory fee rate under the Advisory Agreement does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded to approve the continuance of the Advisory Agreement for the coming year.
|
B O A R D R E V I E W A N D A P P R O V A L O F I N V E S T M E N T A D V I S O R Y C O N T R A C T |
47 |
Supplemental Information (unaudited)
Regulation Regarding Derivatives
On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted new regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.
Section 19(a) Notices
The amounts and sources of distributions reported are estimates and are being provided pursuant to regulatory requirements and are not being provided for tax reporting purposes. The actual amounts and sources for tax reporting purposes will depend upon each Fund’s investment experience during the year and may be subject to changes based on tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.
September 30, 2021
| Total Cumulative
Distributions for the Fiscal Year-to-Date |
% Breakdown of the Total
Cumulative Distributions for the Fiscal Year-to-Date |
|||||||||||||||||||||||||||||||
| iShares ETF | Net Investment Income |
Net Realized Capital Gains |
Return of Capital |
Total Per Share |
Net Investment Income |
Net Realized Capital Gains |
Return of Capital |
Total Per Share |
||||||||||||||||||||||||
|
ESG Screened S&P 500(a) |
$ | 0.157819 | $ | — | $ | 0.002772 | $ | 0.160591 | 98 | % | — | % | 2 | % | 100 | % | ||||||||||||||||
|
ESG Screened S&P Mid-Cap(a) |
0.186106 | — | 0.010642 | 0.196748 | 95 | — | 5 | 100 | ||||||||||||||||||||||||
|
ESG Screened S&P Small-Cap(a) |
0.455000 | — | 0.034257 | 0.489257 | 93 | — | 7 | 100 | ||||||||||||||||||||||||
| (a) |
The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share. |
| 48 |
2 0 2 1 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 |
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
| • |
Go to icsdelivery.com. |
| • |
If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents and Rule 30e-3 notices can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at iShares.com; and (3) on the SEC website at sec.gov.
A description of the Company’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.
|
G E N E R A L I N F O R M A T I O N |
49 |
Glossary of Terms Used in this Report
| Portfolio Abbreviations - Equity | ||
| NVS | Non-Voting Shares | |
| REIT | Real Estate Investment Trust | |
| 50 |
2 0 2 1 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 |
Want to know more?
iShares.com | 1-800-474-2737
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by S&P Dow Jones Indices LLC, nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
©2021 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-315-0921
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