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SEPTEMBER 30, 2022 |
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2022 Semi-Annual Report (Unaudited)
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iShares Trust
· iShares S&P 100 ETF | OEF | NYSE Arca
· iShares S&P 500 Growth ETF | IVW | NYSE Arca
· iShares S&P 500 Value ETF | IVE | NYSE Arca
· iShares S&P Small-Cap 600 Value ETF | IJS | NYSE Arca
Dear Shareholder,
The 12-month reporting period as of September 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets of 2021. The U.S. economy shrank in the first half of 2022, ending the run of robust growth that followed the reopening of global economies and the development of COVID-19 vaccines. Changes in consumer spending patterns and a tight labor market led to elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the ongoing war continued to present challenges for both investors and policymakers.
Equity prices fell as interest rates rose, particularly weighing on relatively high-valuation growth stocks and economically sensitive small-capitalization stocks. While both large-and small-capitalization U.S. stocks fell, declines for small-capitalization U.S. stocks were steeper. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar.
The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose notably during the reporting period as investors reacted to higher inflation and attempted to anticipate its impact on future interest rate changes. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).
The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is proving more persistent than expected, raised interest rates five times while indicating that additional rate hikes were likely. Furthermore, the Fed wound down its bond-buying programs and is accelerating the reduction of its balance sheet. As investors attempted to assess the Fed’s future trajectory, the Fed’s statements late in the reporting period led markets to believe that additional tightening is likely in the near term.
The pandemic’s restructuring of the economy brought an ongoing mismatch between supply and demand, contributing to the current inflationary regime. While growth has slowed in 2022, we believe that taming inflation requires a more dramatic economic decline to bring demand back to a lower level that is more in line with the economy’s capacity. The Fed has been raising interest rates at the fastest pace in decades, and seems set to overtighten in its effort to get inflation back to target. With this in mind, we believe the possibility of a U.S. recession in the near-term is high, and the outlook for Europe and the U.K. is also troubling. Investors should expect a period of higher volatility as markets adjust to the new economic reality and policymakers attempt to adapt to rapidly changing conditions.
In this environment, while we favor an overweight to equities in the long-term, the market’s concerns over excessive rate hikes from central banks moderate our outlook. Rising input costs and a deteriorating economic backdrop in China and Europe are likely to challenge corporate earnings, so we are underweight equities overall in the near term. However, we see better opportunities in credit, where higher spreads provide income opportunities and partially compensate for inflation risk. We believe that investment-grade corporates, local-currency emerging market debt, and inflation-protected bonds (particularly in Europe) offer strong opportunities for a six-to twelve-month horizon.
Overall, our view is that investors need to think globally, position themselves to be prepared for a decarbonizing economy, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.
Sincerely,
Rob Kapito
President, BlackRock, Inc.
Rob Kapito
President, BlackRock, Inc.
| Total Returns as of September 30, 2022 | ||||||||
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6-Month
|
12-Month
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U.S. large cap equities (S&P 500® Index) |
(20.20) | % | (15.47) | % | ||||
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U.S. small cap equities (Russell 2000® Index) |
(19.01) | (23.50) | ||||||
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International equities (MSCI Europe, Australasia, Far East Index) |
(22.51) | (25.13) | ||||||
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Emerging market equities (MSCI Emerging Markets Index) |
(21.70) | (28.11) | ||||||
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3-month Treasury bills (ICE BofA 3-Month U.S. Treasury Bill Index) |
0.58 | 0.63 | ||||||
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U.S. Treasury securities (ICE BofA 10-Year U.S. Treasury Index) |
(10.81) | (16.20) | ||||||
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U.S. investment grade bonds (Bloomberg U.S. Aggregate Bond Index) |
(9.22) | (14.60) | ||||||
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Tax-exempt municipal bonds (Bloomberg Municipal Bond Index) |
(6.30) | (11.50) | ||||||
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U.S. high yield bonds (Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index) |
(10.42) | (14.15) | ||||||
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Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index. |
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| 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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Semi-Annual Report: |
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Financial Statements: |
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| Fund Summary as of September 30, 2022 | iShares® S&P 100 ETF |
Investment Objective
The iShares S&P 100 ETF (the “Fund”) seeks to track the investment results of an index composed of 100 large-capitalization U.S. equities, as represented by the S&P 100® (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||||||
| 6-Month Total Returns |
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | ||||||||||||||||||||||||||
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Fund NAV |
(21.50 | )% | (16.71 | )% | 9.65 | % | 11.43 | % | (16.71 | )% | 58.54 | % | 195.07 | % | ||||||||||||||||||
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Fund Market |
(21.49 | ) | (16.60 | ) | 9.69 | 11.45 | (16.60 | ) | 58.82 | 195.68 | ||||||||||||||||||||||
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Index |
(21.43 | ) | (16.55 | ) | 9.87 | 11.65 | (16.55 | ) | 60.14 | 200.97 | ||||||||||||||||||||||
Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.
Expense Example
| Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Annualized Expense Ratio |
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| $ | 1,000.00 | $ 785.00 | $ 0.89 | $ 1,000.00 | $ 1,024.07 | $ 1.01 | 0.20 | % | ||||||||||||||||||||||
| (a) |
Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 183/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information. |
Portfolio Information
SECTOR ALLOCATION
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Sector |
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Percent of Total Investments |
(a) | |
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Information Technology |
31.3 | % | ||
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Health Care |
15.0 | |||
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Consumer Discretionary |
13.6 | |||
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Communication Services |
11.0 | |||
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Financials |
9.6 | |||
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Consumer Staples |
7.7 | |||
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Industrials |
4.9 | |||
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Energy |
3.8 | |||
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Utilities |
1.7 | |||
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Other (each representing less than 1%) |
1.4 | |||
TEN LARGEST HOLDINGS
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Security |
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Percent of Total Investments |
(a) | |
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Apple, Inc. |
10.5 | % | ||
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Microsoft Corp. |
8.7 | |||
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Amazon.com, Inc. |
5.0 | |||
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Tesla, Inc. |
3.6 | |||
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Alphabet, Inc., Class A |
2.9 | |||
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Alphabet, Inc., Class C |
2.6 | |||
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Berkshire Hathaway, Inc., Class B |
2.4 | |||
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UnitedHealth Group, Inc. |
2.4 | |||
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Johnson & Johnson |
2.2 | |||
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Exxon Mobil Corp. |
1.8 | |||
| (a) |
Excludes money market funds. |
| 4 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
| Fund Summary as of September 30, 2022 | iShares® S&P 500 Growth ETF |
Investment Objective
The iShares S&P 500 Growth ETF (the “Fund”) seeks to track the investment results of an index composed of large-capitalization U.S. equities that exhibit growth characteristics, as represented by the S&P 500 Growth IndexTM (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||||||
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6-Month Total Returns |
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | ||||||||||||||||||||||||||
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Fund NAV |
(23.93 | )% | (21.24 | )% | 11.22 | % | 12.99 | % | (21.24 | )% | 70.19 | % | 239.13 | % | ||||||||||||||||||
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Fund Market |
(23.94 | ) | (21.18 | ) | 11.24 | 13.00 | (21.18 | ) | 70.33 | 239.40 | ||||||||||||||||||||||
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Index |
(23.87 | ) | (21.11 | ) | 11.42 | 13.19 | (21.11 | ) | 71.70 | 245.29 | ||||||||||||||||||||||
Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.
Expense Example
| Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Annualized Expense Ratio |
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| $ | 1,000.00 | $ 760.70 | $ 0.79 | $ 1,000.00 | $ 1,024.17 | $ 0.91 | 0.18 | % | ||||||||||||||||||||||
| (a) |
Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 183/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information. |
Portfolio Information
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SECTOR ALLOCATION
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| Sector | |
Percent of Total Investments |
(a) | |
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Information Technology |
42.8 | % | ||
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Consumer Discretionary |
17.4 | |||
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Health Care |
12.3 | |||
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Communication Services |
10.5 | |||
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Financials |
6.9 | |||
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Industrials |
3.5 | |||
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Real Estate |
2.3 | |||
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Consumer Staples |
1.8 | |||
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Materials |
1.3 | |||
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Energy |
1.2 | |||
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Utilities |
0.0 | (b) | ||
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TEN LARGEST HOLDINGS
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| Security | |
Percent of Total Investments |
(a) | |
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Apple, Inc. |
14.3 | % | ||
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Microsoft Corp. |
11.9 | |||
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Amazon.com, Inc. |
6.8 | |||
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Tesla, Inc. |
4.8 | |||
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Alphabet, Inc., Class A |
3.9 | |||
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Alphabet, Inc., Class C |
3.5 | |||
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Meta Platforms, Inc., Class A |
2.1 | |||
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NVIDIA Corp. |
2.1 | |||
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Eli Lilly & Co. |
1.7 | |||
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Home Depot, Inc. |
1.5 | |||
| (a) |
Excludes money market funds. |
| (b) |
Rounds to less than 0.1%. |
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F U N D S U M M A R Y |
5 |
| Fund Summary as of September 30, 2022 | iShares® S&P 500 Value ETF |
Investment Objective
The iShares S&P 500 Value ETF (the “Fund”) seeks to track the investment results of an index composed of large-capitalization U.S. equities that exhibit value characteristics, as represented by the S&P 500 Value IndexTM (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||||||
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6-Month Total Returns |
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | ||||||||||||||||||||||||||
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Fund NAV |
(16.51 | )% | (9.80 | )% | 6.00 | % | 9.45 | % | (9.80 | )% | 33.80 | % | 146.68 | % | ||||||||||||||||||
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Fund Market |
(16.55 | ) | (9.79 | ) | 6.01 | 9.45 | (9.79 | ) | 33.86 | 146.76 | ||||||||||||||||||||||
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Index |
(16.43 | ) | (9.63 | ) | 6.17 | 9.63 | (9.63 | ) | 34.91 | 150.89 | ||||||||||||||||||||||
Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.
Expense Example
| Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
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Annualized Expense Ratio |
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| $ | 1,000.00 | $ 834.90 | $ 0.83 | $ 1,000.00 | $ 1,024.17 | $ 0.91 | 0.18 | % | ||||||||||||||||||||||
| (a) |
Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 183/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information. |
Portfolio Information
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SECTOR ALLOCATION
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Sector |
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Percent of Total Investments |
(a) | |
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Health Care |
17.7 | % | ||
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Financials |
14.9 | |||
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Industrials |
12.0 | |||
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Consumer Staples |
11.6 | |||
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Information Technology |
10.9 | |||
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Energy |
7.8 | |||
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Consumer Discretionary |
6.3 | |||
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Utilities |
6.1 | |||
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Communication Services |
5.8 | |||
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Materials |
3.6 | |||
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Real Estate |
3.3 | |||
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TEN LARGEST HOLDINGS
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| Security | |
Percent of Total Investments |
(a) | |
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Berkshire Hathaway, Inc., Class B |
3.1 | % | ||
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Johnson & Johnson |
2.8 | |||
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Exxon Mobil Corp. |
2.3 | |||
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Procter & Gamble Co. |
1.9 | |||
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UnitedHealth Group, Inc. |
1.8 | |||
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Chevron Corp. |
1.7 | |||
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Merck & Co., Inc. |
1.4 | |||
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Coca-Cola Co. |
1.4 | |||
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Walmart, Inc. |
1.2 | |||
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Walt Disney Co. |
1.1 | |||
| (a) |
Excludes money market funds. |
| 6 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
| Fund Summary as of September 30, 2022 | iShares® S&P Small-Cap 600 Value ETF |
Investment Objective
The iShares S&P Small-Cap 600 Value ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization U.S. equities that exhibit value characteristics, as represented by the S&P SmallCap 600 Value IndexTM (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.
Performance
| Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||||||
| 6-Month Total Returns |
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | ||||||||||||||||||||||||||
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Fund NAV |
(18.76 | )% | (16.70 | )% | 3.77 | % | 9.31 | % | (16.70 | )% | 20.35 | % | 143.50 | % | ||||||||||||||||||
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Fund Market |
(18.74 | ) | (16.72 | ) | 3.78 | 9.31 | (16.72 | ) | 20.36 | 143.55 | ||||||||||||||||||||||
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Index |
(18.66 | ) | (16.41 | ) | 3.99 | 9.51 | (16.41 | ) | 21.58 | 148.12 | ||||||||||||||||||||||
Past performance is not an indication of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” for more information.
Expense Example
| Actual | Hypothetical 5% Return | |||||||||||||||||||||||||||||
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Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
|
Beginning Account Value (04/01/22) |
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Ending Account Value (09/30/22) |
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Expenses Paid During the Period |
(a) |
|
Annualized Expense Ratio |
| ||||||||||
| $ | 1,000.00 | $ 812.40 | $ 0.82 | $ 1,000.00 | $ 1,024.17 | $ 0.91 | 0.18 | % | ||||||||||||||||||||||
| (a) |
Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 183/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information. |
Portfolio Information
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SECTOR ALLOCATION
|
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Sector |
|
Percent of Total Investments |
(a) | |
|
Financials |
21.2 | % | ||
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Industrials |
17.1 | |||
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Consumer Discretionary |
12.6 | |||
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Health Care |
9.5 | |||
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Real Estate |
8.5 | |||
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Information Technology |
7.5 | |||
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Materials |
6.7 | |||
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Energy |
6.0 | |||
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Consumer Staples |
5.8 | |||
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Utilities |
3.0 | |||
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Communication Services |
2.1 | |||
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TEN LARGEST HOLDINGS
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Security |
|
Percent of Total Investments |
(a) | |
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South Jersey Industries, Inc. |
1.0 | % | ||
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Helmerich & Payne, Inc. |
0.9 | |||
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PBF Energy, Inc., Class A |
0.9 | |||
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CVB Financial Corp. |
0.8 | |||
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Hostess Brands, Inc. |
0.7 | |||
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First Hawaiian, Inc. |
0.7 | |||
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Agree Realty Corp. |
0.7 | |||
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Mr Cooper Group, Inc. |
0.7 | |||
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Simmons First National Corp., Class A |
0.7 | |||
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Resideo Technologies, Inc. |
0.7 | |||
| (a) |
Excludes money market funds. |
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F U N D S U M M A R Y |
7 |
Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at iShares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. 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.
Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.
The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During the Period.”
The expense examples also provide information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in the Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.
| 8 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) September 30, 2022 |
iShares® S&P 100 ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
||||||||
| Aerospace & Defense — 1.6% | ||||||||
|
Boeing Co.(a)(b) |
200,435 | $ | 24,268,670 | |||||
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General Dynamics Corp. |
80,751 | 17,132,940 | ||||||
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Lockheed Martin Corp. |
84,739 | 32,733,828 | ||||||
|
Raytheon Technologies Corp. |
530,194 | 43,401,681 | ||||||
|
|
|
|||||||
| 117,537,119 | ||||||||
| Air Freight & Logistics — 0.8% | ||||||||
|
FedEx Corp. |
85,843 | 12,745,110 | ||||||
|
United Parcel Service, Inc., Class B |
262,798 | 42,452,389 | ||||||
|
|
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|||||||
| 55,197,499 | ||||||||
| Automobiles — 4.0% | ||||||||
|
Ford Motor Co. |
1,419,754 | 15,901,245 | ||||||
|
General Motors Co. |
524,177 | 16,820,840 | ||||||
|
Tesla, Inc.(a) |
956,405 | 253,686,426 | ||||||
|
|
|
|||||||
| 286,408,511 | ||||||||
| Banks — 4.0% | ||||||||
|
Bank of America Corp. |
2,510,239 | 75,809,218 | ||||||
|
Citigroup, Inc. |
695,444 | 28,979,151 | ||||||
|
JPMorgan Chase & Co. |
1,053,042 | 110,042,889 | ||||||
|
US Bancorp |
486,079 | 19,598,705 | ||||||
|
Wells Fargo & Co. |
1,362,025 | 54,780,646 | ||||||
|
|
|
|||||||
| 289,210,609 | ||||||||
| Beverages — 2.2% | ||||||||
|
Coca-Cola Co. |
1,397,617 | 78,294,504 | ||||||
|
PepsiCo, Inc. |
495,567 | 80,906,269 | ||||||
|
|
|
|||||||
| 159,200,773 | ||||||||
| Biotechnology — 2.2% | ||||||||
|
AbbVie, Inc. |
634,896 | 85,209,392 | ||||||
|
Amgen, Inc. |
192,085 | 43,295,959 | ||||||
|
Gilead Sciences, Inc. |
449,881 | 27,753,159 | ||||||
|
|
|
|||||||
| 156,258,510 | ||||||||
| Capital Markets — 2.2% | ||||||||
|
Bank of New York Mellon Corp. |
265,165 | 10,214,156 | ||||||
|
BlackRock, Inc.(c) |
54,140 | 29,792,159 | ||||||
|
Charles Schwab Corp. |
548,303 | 39,406,537 | ||||||
|
Goldman Sachs Group, Inc. |
122,575 | 35,920,604 | ||||||
|
Morgan Stanley |
480,860 | 37,992,748 | ||||||
|
|
|
|||||||
| 153,326,204 | ||||||||
| Chemicals — 0.8% | ||||||||
|
Dow, Inc. |
257,279 | 11,302,267 | ||||||
|
Linde PLC |
178,955 | 48,244,478 | ||||||
|
|
|
|||||||
| 59,546,745 | ||||||||
| Communications Equipment — 0.8% | ||||||||
|
Cisco Systems, Inc. |
1,486,957 | 59,478,280 | ||||||
|
|
|
|||||||
| Consumer Finance — 0.6% | ||||||||
|
American Express Co. |
215,379 | 29,056,781 | ||||||
|
Capital One Financial Corp. |
137,612 | 12,683,698 | ||||||
|
|
|
|||||||
| 41,740,479 | ||||||||
| Diversified Financial Services — 2.4% | ||||||||
|
Berkshire Hathaway, Inc., Class B(a) |
648,086 | 173,051,924 | ||||||
|
|
|
|||||||
| Diversified Telecommunication Services — 1.4% | ||||||||
|
AT&T Inc. |
2,558,839 | 39,252,590 | ||||||
|
Verizon Communications, Inc. |
1,508,054 | 57,260,811 | ||||||
|
|
|
|||||||
| 96,513,401 | ||||||||
| Electric Utilities — 1.7% | ||||||||
|
Duke Energy Corp. |
276,484 | 25,718,542 | ||||||
| Security | Shares | Value | ||||||
| Electric Utilities (continued) | ||||||||
|
Exelon Corp. |
355,813 | $ | 13,328,755 | |||||
|
NextEra Energy, Inc. |
705,522 | 55,319,980 | ||||||
|
Southern Co. |
381,707 | 25,956,076 | ||||||
|
|
|
|||||||
| 120,323,353 | ||||||||
| Electrical Equipment — 0.2% | ||||||||
|
Emerson Electric Co. |
212,217 | 15,538,529 | ||||||
|
|
|
|||||||
| Entertainment — 1.4% | ||||||||
|
Netflix, Inc.(a)(b) |
159,687 | 37,596,707 | ||||||
|
Walt Disney Co.(a)(b) |
654,632 | 61,751,437 | ||||||
|
|
|
|||||||
| 99,348,144 | ||||||||
| Equity Real Estate Investment Trusts (REITs) — 0.7% | ||||||||
|
American Tower Corp. |
167,185 | 35,894,619 | ||||||
|
Simon Property Group, Inc. |
117,392 | 10,535,932 | ||||||
|
|
|
|||||||
| 46,430,551 | ||||||||
| Food & Staples Retailing — 2.1% | ||||||||
|
Costco Wholesale Corp. |
159,062 | 75,120,211 | ||||||
|
Walgreens Boots Alliance, Inc. |
257,582 | 8,088,075 | ||||||
|
Walmart, Inc. |
511,839 | 66,385,518 | ||||||
|
|
|
|||||||
| 149,593,804 | ||||||||
| Food Products — 0.5% | ||||||||
|
Kraft Heinz Co. |
287,219 | 9,578,754 | ||||||
|
Mondelez International, Inc., Class A |
492,150 | 26,984,584 | ||||||
|
|
|
|||||||
| 36,563,338 | ||||||||
| Health Care Equipment & Supplies — 1.4% | ||||||||
|
Abbott Laboratories |
628,837 | 60,846,268 | ||||||
|
Medtronic PLC |
477,119 | 38,527,359 | ||||||
|
|
|
|||||||
| 99,373,627 | ||||||||
| Health Care Providers & Services — 3.0% | ||||||||
|
CVS Health Corp. |
471,418 | 44,959,135 | ||||||
|
UnitedHealth Group, Inc. |
335,882 | 169,633,845 | ||||||
|
|
|
|||||||
| 214,592,980 | ||||||||
| Hotels, Restaurants & Leisure — 1.7% | ||||||||
|
Booking Holdings, Inc.(a) |
14,258 | 23,428,888 | ||||||
|
McDonald’s Corp. |
264,184 | 60,957,816 | ||||||
|
Starbucks Corp. |
412,014 | 34,716,300 | ||||||
|
|
|
|||||||
| 119,103,004 | ||||||||
| Household Products — 1.8% | ||||||||
|
Colgate-Palmolive Co. |
299,519 | 21,041,210 | ||||||
|
Procter & Gamble Co. |
858,052 | 108,329,065 | ||||||
|
|
|
|||||||
| 129,370,275 | ||||||||
| Industrial Conglomerates — 1.2% | ||||||||
|
3M Co. |
198,794 | 21,966,737 | ||||||
|
General Electric Co. |
393,757 | 24,377,496 | ||||||
|
Honeywell International, Inc. |
241,914 | 40,392,380 | ||||||
|
|
|
|||||||
| 86,736,613 | ||||||||
| Insurance — 0.4% | ||||||||
|
American International Group, Inc. |
272,728 | 12,949,125 | ||||||
|
MetLife, Inc. |
240,405 | 14,611,816 | ||||||
|
|
|
|||||||
| 27,560,941 | ||||||||
| Interactive Media & Services — 7.0% | ||||||||
|
Alphabet, Inc., Class A(a) |
2,153,073 | 205,941,432 | ||||||
|
Alphabet, Inc., Class C, NVS(a) |
1,925,344 | 185,121,826 | ||||||
|
Meta Platforms, Inc., Class A(a) |
818,954 | 111,115,679 | ||||||
|
|
|
|||||||
| 502,178,937 | ||||||||
| Internet & Direct Marketing Retail — 5.0% | ||||||||
|
Amazon.com, Inc.(a) |
3,182,631 | 359,637,303 | ||||||
|
|
|
|||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
9 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 100 ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
|
||||||||
| IT Services — 4.5% | ||||||||
|
Accenture PLC, Class A |
227,137 | $ | 58,442,350 | |||||
|
International Business Machines Corp. |
324,318 | 38,532,221 | ||||||
|
Mastercard, Inc., Class A |
306,379 | 87,115,805 | ||||||
|
PayPal Holdings, Inc.(a)(b) |
415,272 | 35,742,461 | ||||||
|
Visa, Inc., Class A |
587,109 | 104,299,914 | ||||||
|
|
|
|||||||
| 324,132,751 | ||||||||
| Life Sciences Tools & Services — 1.9% | ||||||||
|
Danaher Corp. |
235,092 | 60,721,913 | ||||||
|
Thermo Fisher Scientific, Inc. |
140,685 | 71,354,025 | ||||||
|
|
|
|||||||
| 132,075,938 | ||||||||
| Machinery — 0.4% | ||||||||
|
Caterpillar, Inc. |
189,564 | 31,103,661 | ||||||
|
|
|
|||||||
| Media — 0.8% | ||||||||
|
Charter Communications, Inc., Class A(a) |
39,748 | 12,057,556 | ||||||
|
Comcast Corp., Class A |
1,581,336 | 46,380,585 | ||||||
|
|
|
|||||||
| 58,438,141 | ||||||||
| Multiline Retail — 0.4% | ||||||||
|
Target Corp. |
166,505 | 24,707,677 | ||||||
|
|
|
|||||||
| Oil, Gas & Consumable Fuels — 3.8% | ||||||||
|
Chevron Corp. |
646,655 | 92,904,924 | ||||||
|
ConocoPhillips |
457,128 | 46,782,479 | ||||||
|
Exxon Mobil Corp. |
1,496,534 | 130,662,384 | ||||||
|
|
|
|||||||
| 270,349,787 | ||||||||
| Pharmaceuticals — 6.5% | ||||||||
|
Bristol-Myers Squibb Co. |
766,738 | 54,507,404 | ||||||
|
Eli Lilly & Co. |
283,191 | 91,569,810 | ||||||
|
Johnson & Johnson |
944,099 | 154,228,013 | ||||||
|
Merck & Co., Inc. |
909,663 | 78,340,178 | ||||||
|
Pfizer, Inc. |
2,015,311 | 88,190,009 | ||||||
|
|
|
|||||||
| 466,835,414 | ||||||||
| Road & Rail — 0.6% | ||||||||
|
Union Pacific Corp. |
224,242 | 43,686,826 | ||||||
|
|
|
|||||||
| Semiconductors & Semiconductor Equipment — 4.8% | ||||||||
|
Advanced Micro Devices, Inc.(a) |
579,679 | 36,728,461 | ||||||
|
Broadcom, Inc. |
145,006 | 64,384,114 | ||||||
|
Intel Corp. |
1,474,401 | 37,995,314 | ||||||
|
NVIDIA Corp. |
899,154 | 109,148,304 | ||||||
|
QUALCOMM, Inc. |
403,253 | 45,559,524 | ||||||
|
Texas Instruments, Inc. |
328,098 | 50,783,009 | ||||||
|
|
|
|||||||
| 344,598,726 | ||||||||
| Software — 10.6% | ||||||||
|
Adobe, Inc.(a) |
168,051 | 46,247,635 | ||||||
| Security | Shares | Value | ||||||
|
|
||||||||
| Software (continued) | ||||||||
|
Microsoft Corp. |
2,678,016 | $ | 623,709,926 | |||||
|
Oracle Corp. |
545,453 | 33,310,815 | ||||||
|
Salesforce, Inc.(a) |
357,289 | 51,392,450 | ||||||
|
|
|
|||||||
| 754,660,826 | ||||||||
| Specialty Retail — 2.0% | ||||||||
|
Home Depot, Inc. |
369,052 | 101,836,209 | ||||||
|
Lowe’s Cos., Inc. |
229,502 | 43,102,770 | ||||||
|
|
|
|||||||
| 144,938,979 | ||||||||
| Technology Hardware, Storage & Peripherals — 10.5% | ||||||||
|
Apple Inc. |
5,424,517 | 749,668,249 | ||||||
|
|
|
|||||||
| Textiles, Apparel & Luxury Goods — 0.5% | ||||||||
|
Nike, Inc., Class B(b) |
453,759 | 37,716,448 | ||||||
|
|
|
|||||||
| Tobacco — 1.0% | ||||||||
|
Altria Group, Inc. |
646,649 | 26,111,687 | ||||||
|
Philip Morris International, Inc. |
556,641 | 46,206,769 | ||||||
|
|
|
|||||||
| 72,318,456 | ||||||||
| Wireless Telecommunication Services — 0.4% | ||||||||
|
T-Mobile U.S., Inc.(a)(b) |
216,148 | 29,000,577 | ||||||
|
|
|
|||||||
|
Total
Long-Term Investments — 99.8% |
|
7,138,053,909 | ||||||
|
|
|
|||||||
|
Short-Term Securities(c)(d) |
||||||||
| Money Market Funds — 0.4% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 3.18%(e) |
19,741,638 | 19,747,561 | ||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.81% |
10,708,836 | 10,708,836 | ||||||
|
|
|
|||||||
|
Total
Short-Term Securities — 0.4% |
|
30,456,397 | ||||||
|
|
|
|||||||
|
Total
Investments — 100.2% |
|
7,168,510,306 | ||||||
|
Liabilities in Excess of Other Assets — (0.2)% |
|
(13,127,508 | ) | |||||
|
|
|
|||||||
|
Net Assets — 100.0% |
|
$ | 7,155,382,798 | |||||
|
|
|
|||||||
| (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. |
| 10 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 100 ETF |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer |
Value at 03/31/22 |
Purchases at Cost |
Proceeds from Sale |
Net Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 09/30/22 |
Shares Held at 09/30/22 |
Income |
Capital Gain |
|||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 9,415,762 | $ | 10,327,378 | (a) | $ | — | $ | 3,335 | $ | 1,086 | $ | 19,747,561 | 19,741,638 | $ | 96,480 | (b) | $ | — | |||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
16,943,000 | — | (6,234,164 | )(a) | — | — | 10,708,836 | 10,708,836 | 120,621 | — | ||||||||||||||||||||||||||
|
BlackRock, Inc. |
37,188,333 | 6,170,775 | (2,544,842 | ) | 613,091 | (11,635,198 | ) | 29,792,159 | 54,140 | 493,939 | — | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $ | 616,426 | $ | (11,634,112 | ) | $ | 60,248,556 | $ | 711,040 | $ | — | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| (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 E-Mini Index |
96 | 12/16/22 | $ | 17,287 | $ | (1,828,277 | ) | |||||||||
|
|
|
|||||||||||||||
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
Liabilities — Derivative Financial Instruments |
||||||||||||||||||||||||||||
|
Futures contracts |
||||||||||||||||||||||||||||
|
Unrealized depreciation on futures contracts(a) |
$ | — | $ | — | $ | 1,828,277 | $ | — | $ | — | $ | — | $ | 1,828,277 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (a) |
Net cumulative unrealized appreciation (depreciation) on futures contracts, if any, are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
For the period ended September 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
Net Realized Gain (Loss) from |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (962,171 | ) | $ | — | $ | — | $ | — | $ | (962,171 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
Net Change in Unrealized Appreciation (Depreciation) on |
|
|||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (2,953,922 | ) | $ | — | $ | — | $ | — | $ | (2,953,922 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
11 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 100 ETF |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
Futures contracts |
||||
|
Average notional value of contracts — long |
$ | 18,875,250 | ||
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
|
||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
|
||||||||||||||||
|
Assets |
||||||||||||||||
|
Investments |
||||||||||||||||
|
Long-Term Investments |
||||||||||||||||
|
Common Stocks |
$ | 7,138,053,909 | $ | — | $ | — | $ | 7,138,053,909 | ||||||||
|
Short-Term Securities |
||||||||||||||||
|
Money Market Funds |
30,456,397 | — | — | 30,456,397 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 7,168,510,306 | $ | — | $ | — | $ | 7,168,510,306 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative Financial Instruments(a) |
||||||||||||||||
|
Liabilities |
||||||||||||||||
|
Equity Contracts |
$ | (1,828,277 | ) | $ | — | $ | — | $ | (1,828,277 | ) | ||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
| 12 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) September 30, 2022 |
iShares® S&P 500 Growth ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
||||||||
| Aerospace & Defense — 0.2% | ||||||||
|
L3Harris Technologies, Inc. |
146,630 | $ | 30,474,113 | |||||
|
TransDigm Group, Inc. |
41,161 | 21,602,116 | ||||||
|
|
|
|||||||
| 52,076,229 | ||||||||
| Air Freight & Logistics — 0.4% | ||||||||
|
Expeditors International of Washington, Inc. |
299,730 | 26,469,156 | ||||||
|
United Parcel Service, Inc., Class B |
574,920 | 92,872,577 | ||||||
|
|
|
|||||||
| 119,341,733 | ||||||||
| Auto Components — 0.1% | ||||||||
|
Aptiv PLC(a) |
203,636 | 15,926,372 | ||||||
|
|
|
|||||||
| Automobiles — 4.8% | ||||||||
|
Tesla, Inc.(a) |
4,868,097 | 1,291,262,729 | ||||||
|
|
|
|||||||
| Banks — 2.1% | ||||||||
|
Bank of America Corp. |
5,621,946 | 169,782,769 | ||||||
|
Comerica, Inc. |
104,617 | 7,438,269 | ||||||
|
First Republic Bank |
334,748 | 43,701,351 | ||||||
|
JPMorgan Chase & Co. |
2,465,606 | 257,655,827 | ||||||
|
Regions Financial Corp. |
770,584 | 15,465,621 | ||||||
|
Signature Bank |
114,760 | 17,328,760 | ||||||
|
SVB Financial Group(a) |
108,243 | 36,345,835 | ||||||
|
Zions Bancorp NA |
132,729 | 6,750,597 | ||||||
|
|
|
|||||||
| 554,469,029 | ||||||||
| Beverages — 0.8% | ||||||||
|
Keurig Dr Pepper, Inc. |
373,595 | 13,382,173 | ||||||
|
Monster Beverage Corp.(a) |
366,397 | 31,861,883 | ||||||
|
PepsiCo, Inc. |
1,060,301 | 173,104,741 | ||||||
|
|
|
|||||||
| 218,348,797 | ||||||||
| Biotechnology — 2.3% | ||||||||
|
AbbVie, Inc. |
1,745,095 | 234,209,200 | ||||||
|
Amgen, Inc. |
400,874 | 90,357,000 | ||||||
|
Incyte Corp.(a) |
143,990 | 9,595,494 | ||||||
|
Moderna, Inc.(a)(b) |
614,106 | 72,618,034 | ||||||
|
Regeneron Pharmaceuticals, Inc.(a) |
195,921 | 134,964,099 | ||||||
|
Vertex Pharmaceuticals, Inc.(a) |
280,944 | 81,344,526 | ||||||
|
|
|
|||||||
| 623,088,353 | ||||||||
| Building Products — 0.2% | ||||||||
|
A O Smith Corp. |
116,090 | 5,639,652 | ||||||
|
Fortune Brands Home & Security, Inc. |
102,202 | 5,487,226 | ||||||
|
Johnson Controls International PLC |
769,551 | 37,877,300 | ||||||
|
Masco Corp. |
196,739 | 9,185,744 | ||||||
|
|
|
|||||||
| 58,189,922 | ||||||||
| Capital Markets — 3.4% | ||||||||
|
Ameriprise Financial, Inc. |
120,883 | 30,456,472 | ||||||
|
BlackRock, Inc.(c) |
143,173 | 78,785,238 | ||||||
|
Cboe Global Markets, Inc. |
112,749 | 13,233,350 | ||||||
|
Charles Schwab Corp. |
1,897,790 | 136,394,167 | ||||||
|
FactSet Research Systems, Inc.(b) |
40,150 | 16,064,417 | ||||||
|
Franklin Resources, Inc. |
231,463 | 4,981,084 | ||||||
|
Goldman Sachs Group, Inc. |
623,925 | 182,841,221 | ||||||
|
Intercontinental Exchange, Inc. |
580,626 | 52,459,559 | ||||||
|
MarketAxess Holdings, Inc. |
32,427 | 7,214,683 | ||||||
|
Moody’s Corp. |
190,796 | 46,384,416 | ||||||
|
Morgan Stanley |
1,198,836 | 94,720,032 | ||||||
|
MSCI, Inc., Class A |
147,481 | 62,206,011 | ||||||
|
Nasdaq, Inc.(b) |
484,365 | 27,453,808 | ||||||
|
Raymond James Financial, Inc. |
209,452 | 20,698,047 | ||||||
| Security | Shares | Value | ||||||
| Capital Markets (continued) | ||||||||
|
S&P Global, Inc. |
379,855 | $ | 115,988,724 | |||||
|
T Rowe Price Group, Inc. |
287,575 | 30,198,251 | ||||||
|
|
|
|||||||
| 920,079,480 | ||||||||
| Chemicals — 0.9% | ||||||||
|
Albemarle Corp.(b) |
145,566 | 38,493,473 | ||||||
|
Celanese Corp. |
78,549 | 7,096,117 | ||||||
|
CF Industries Holdings, Inc. |
219,015 | 21,080,194 | ||||||
|
Linde PLC |
464,558 | 125,240,191 | ||||||
|
Sherwin-Williams Co. |
228,999 | 46,887,545 | ||||||
|
|
|
|||||||
| 238,797,520 | ||||||||
| Commercial Services & Supplies — 0.5% | ||||||||
|
Cintas Corp. |
72,310 | 28,070,019 | ||||||
|
Copart, Inc.(a) |
265,642 | 28,264,309 | ||||||
|
Republic Services, Inc. |
165,531 | 22,518,837 | ||||||
|
Rollins, Inc. |
189,626 | 6,576,230 | ||||||
|
Waste Management, Inc. |
351,436 | 56,303,561 | ||||||
|
|
|
|||||||
| 141,732,956 | ||||||||
| Communications Equipment — 0.9% | ||||||||
|
Arista Networks, Inc.(a) |
451,525 | 50,972,657 | ||||||
|
Cisco Systems, Inc. |
3,405,875 | 136,235,000 | ||||||
|
F5, Inc.(a)(b) |
56,467 | 8,172,469 | ||||||
|
Motorola Solutions, Inc. |
179,978 | 40,309,673 | ||||||
|
|
|
|||||||
| 235,689,799 | ||||||||
| Construction & Engineering — 0.1% | ||||||||
|
Quanta Services, Inc. |
141,683 | 18,048,997 | ||||||
|
|
|
|||||||
| Construction Materials — 0.2% | ||||||||
|
Martin Marietta Materials, Inc. |
66,209 | 21,325,257 | ||||||
|
Vulcan Materials Co. |
116,673 | 18,400,499 | ||||||
|
|
|
|||||||
| 39,725,756 | ||||||||
| Consumer Finance — 0.6% | ||||||||
|
American Express Co. |
481,539 | 64,964,426 | ||||||
|
Capital One Financial Corp. |
337,543 | 31,111,338 | ||||||
|
Discover Financial Services |
500,462 | 45,502,005 | ||||||
|
Synchrony Financial |
503,098 | 14,182,333 | ||||||
|
|
|
|||||||
| 155,760,102 | ||||||||
| Containers & Packaging — 0.1% | ||||||||
|
Avery Dennison Corp. |
75,490 | 12,282,223 | ||||||
|
Sealed Air Corp. |
143,205 | 6,374,055 | ||||||
|
|
|
|||||||
| 18,656,278 | ||||||||
| Distributors — 0.1% | ||||||||
|
LKQ Corp. |
204,029 | 9,619,967 | ||||||
|
Pool Corp. |
71,869 | 22,869,435 | ||||||
|
|
|
|||||||
| 32,489,402 | ||||||||
| Electric Utilities — 0.1% | ||||||||
|
NRG Energy, Inc. |
425,554 | 16,285,952 | ||||||
|
|
|
|||||||
| Electrical Equipment — 0.2% | ||||||||
|
Generac Holdings, Inc.(a)(b) |
116,525 | 20,757,764 | ||||||
|
Rockwell Automation, Inc. |
109,446 | 23,542,929 | ||||||
|
|
|
|||||||
| 44,300,693 | ||||||||
| Electronic Equipment, Instruments & Components — 0.5% | ||||||||
|
Amphenol Corp., Class A |
575,361 | 38,526,173 | ||||||
|
CDW Corp. |
146,730 | 22,901,618 | ||||||
|
Keysight Technologies, Inc.(a) |
247,236 | 38,905,057 | ||||||
|
Trimble, Inc.(a)(b) |
252,319 | 13,693,352 | ||||||
|
Zebra Technologies Corp., Class A(a) |
69,035 | 18,087,860 | ||||||
|
|
|
|||||||
| 132,114,060 | ||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
13 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Growth ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Entertainment — 0.8% | ||||||||
|
Live Nation Entertainment, Inc.(a) |
111,932 | $ | 8,511,309 | |||||
|
Netflix, Inc.(a)(b) |
812,802 | 191,366,103 | ||||||
|
Take-Two Interactive Software, Inc.(a) |
177,988 | 19,400,692 | ||||||
|
|
|
|||||||
| 219,278,104 | ||||||||
| Equity Real Estate Investment Trusts (REITs) — 2.2% | ||||||||
|
American Tower Corp. |
433,806 | 93,138,148 | ||||||
|
AvalonBay Communities, Inc. |
107,303 | 19,764,140 | ||||||
|
Camden Property Trust |
194,466 | 23,228,964 | ||||||
|
Crown Castle, Inc.(b) |
355,759 | 51,424,963 | ||||||
|
Duke Realty Corp. |
462,683 | 22,301,321 | ||||||
|
Equinix, Inc.(b) |
76,456 | 43,491,231 | ||||||
|
Essex Property Trust, Inc. |
51,460 | 12,465,156 | ||||||
|
Extra Space Storage, Inc. |
244,772 | 42,274,572 | ||||||
|
Federal Realty Investment Trust |
54,315 | 4,894,868 | ||||||
|
Invitation Homes, Inc. |
488,643 | 16,501,474 | ||||||
|
Iron Mountain, Inc. |
323,205 | 14,211,324 | ||||||
|
Mid-America Apartment Communities, Inc. |
130,611 | 20,253,848 | ||||||
|
Prologis, Inc. |
809,984 | 82,294,374 | ||||||
|
Public Storage(b) |
170,791 | 50,009,313 | ||||||
|
SBA Communications Corp., Class A(b) |
110,239 | 31,379,531 | ||||||
|
Simon Property Group, Inc. |
361,151 | 32,413,302 | ||||||
|
UDR, Inc. |
307,766 | 12,836,920 | ||||||
|
Weyerhaeuser Co. |
565,667 | 16,155,449 | ||||||
|
|
|
|||||||
| 589,038,898 | ||||||||
| Food & Staples Retailing — 0.7% | ||||||||
|
Costco Wholesale Corp. |
412,894 | 194,997,449 | ||||||
|
|
|
|||||||
| Food Products — 0.1% | ||||||||
|
Hershey Co. |
121,290 | 26,740,806 | ||||||
|
|
|
|||||||
| Health Care Equipment & Supplies — 2.1% | ||||||||
|
Abbott Laboratories |
1,696,422 | 164,145,793 | ||||||
|
ABIOMED, Inc.(a) |
44,954 | 11,043,400 | ||||||
|
Align Technology, Inc.(a) |
133,098 | 27,565,927 | ||||||
|
Dexcom, Inc.(a)(b) |
716,418 | 57,700,306 | ||||||
|
Edwards Lifesciences Corp.(a) |
715,239 | 59,100,198 | ||||||
|
Hologic, Inc.(a)(b) |
335,624 | 21,654,460 | ||||||
|
IDEXX Laboratories, Inc.(a) |
104,861 | 34,163,714 | ||||||
|
Intuitive Surgical, Inc.(a)(b) |
450,796 | 84,497,202 | ||||||
|
ResMed, Inc.(b) |
154,823 | 33,797,861 | ||||||
|
STERIS PLC |
77,089 | 12,818,359 | ||||||
|
Stryker Corp. |
251,904 | 51,020,636 | ||||||
|
|
|
|||||||
| 557,507,856 | ||||||||
| Health Care Providers & Services — 1.7% | ||||||||
|
HCA Healthcare, Inc. |
228,726 | 42,037,551 | ||||||
|
Laboratory Corp. of America Holdings |
87,465 | 17,913,707 | ||||||
|
Molina Healthcare, Inc.(a) |
52,139 | 17,197,528 | ||||||
|
Quest Diagnostics, Inc. |
97,839 | 12,003,867 | ||||||
|
UnitedHealth Group, Inc. |
718,034 | 362,635,891 | ||||||
|
|
|
|||||||
| 451,788,544 | ||||||||
| Hotels, Restaurants & Leisure — 1.3% | ||||||||
|
Caesars Entertainment, Inc.(a)(b) |
246,616 | 7,955,832 | ||||||
|
Chipotle Mexican Grill, Inc.(a)(b) |
34,065 | 51,191,519 | ||||||
|
Domino’s Pizza, Inc. |
44,096 | 13,678,579 | ||||||
|
Hilton Worldwide Holdings, Inc. |
204,525 | 24,669,806 | ||||||
|
McDonald’s Corp. |
605,128 | 139,627,235 | ||||||
|
Starbucks Corp.(b) |
1,069,566 | 90,121,631 | ||||||
|
Yum! Brands, Inc. |
244,135 | 25,961,316 | ||||||
|
|
|
|||||||
| 353,205,918 | ||||||||
| Household Durables — 0.2% | ||||||||
|
DR Horton, Inc. |
307,039 | 20,679,077 | ||||||
| Security | Shares | Value | ||||||
| Household Durables (continued) | ||||||||
|
Garmin Ltd. |
145,382 | $ | 11,675,629 | |||||
|
Newell Brands, Inc. |
369,252 | 5,128,910 | ||||||
|
NVR, Inc.(a) |
2,654 | 10,581,710 | ||||||
|
|
|
|||||||
| 48,065,326 | ||||||||
| Insurance — 0.8% | ||||||||
|
Aon PLC, Class A(b) |
231,610 | 62,041,371 | ||||||
|
Arthur J. Gallagher & Co.(b) |
169,631 | 29,044,220 | ||||||
|
Brown & Brown, Inc. |
296,141 | 17,910,607 | ||||||
|
Cincinnati Financial Corp. |
137,070 | 12,277,360 | ||||||
|
Marsh & McLennan Cos., Inc. |
555,824 | 82,978,965 | ||||||
|
|
|
|||||||
| 204,252,523 | ||||||||
| Interactive Media & Services — 9.6% | ||||||||
|
Alphabet, Inc., Class A(a) |
10,959,176 | 1,048,245,184 | ||||||
|
Alphabet, Inc., Class C, NVS(a)(b) |
9,800,032 | 942,273,077 | ||||||
|
Meta Platforms, Inc., Class A(a) |
4,168,492 | 565,580,994 | ||||||
|
Twitter, Inc.(a) |
591,252 | 25,920,488 | ||||||
|
|
|
|||||||
| 2,582,019,743 | ||||||||
| Internet & Direct Marketing Retail — 7.0% | ||||||||
|
Amazon.com, Inc.(a) |
16,199,634 | 1,830,558,642 | ||||||
|
eBay, Inc. |
774,961 | 28,526,315 | ||||||
|
Etsy, Inc.(a)(b) |
229,687 | 22,998,559 | ||||||
|
|
|
|||||||
| 1,882,083,516 | ||||||||
| IT Services — 3.5% | ||||||||
|
Accenture PLC, Class A |
670,573 | 172,538,433 | ||||||
|
Akamai Technologies, Inc.(a)(b) |
121,789 | 9,782,093 | ||||||
|
Automatic Data Processing, Inc. |
402,974 | 91,148,689 | ||||||
|
Broadridge Financial Solutions, Inc.(b) |
94,092 | 13,579,357 | ||||||
|
EPAM Systems, Inc.(a)(b) |
105,115 | 38,071,602 | ||||||
|
Gartner, Inc.(a) |
144,886 | 40,088,507 | ||||||
|
Mastercard, Inc., Class A |
732,957 | 208,408,993 | ||||||
|
Paychex, Inc. |
310,823 | 34,877,449 | ||||||
|
PayPal Holdings, Inc.(a) |
1,140,695 | 98,179,619 | ||||||
|
VeriSign, Inc.(a) |
80,024 | 13,900,169 | ||||||
|
Visa, Inc., Class A |
1,285,000 | 228,280,250 | ||||||
|
|
|
|||||||
| 948,855,161 | ||||||||
| Life Sciences Tools & Services — 3.2% | ||||||||
|
Agilent Technologies, Inc. |
328,368 | 39,913,130 | ||||||
|
Bio-Rad Laboratories, Inc., Class A(a) |
22,003 | 9,178,332 | ||||||
|
Bio-Techne Corp. |
71,181 | 20,215,404 | ||||||
|
Charles River Laboratories International, Inc.(a) |
94,146 | 18,527,933 | ||||||
|
Danaher Corp. |
813,701 | 210,170,831 | ||||||
|
Illumina, Inc.(a)(b) |
140,067 | 26,723,383 | ||||||
|
IQVIA Holdings, Inc.(a) |
249,430 | 45,181,750 | ||||||
|
Mettler-Toledo International, Inc.(a)(b) |
25,961 | 28,144,839 | ||||||
|
PerkinElmer, Inc.(b) |
231,246 | 27,825,831 | ||||||
|
Thermo Fisher Scientific, Inc. |
716,102 | 363,199,773 | ||||||
|
Waters Corp.(a) |
80,386 | 21,666,439 | ||||||
|
West Pharmaceutical Services, Inc. |
135,687 | 33,389,857 | ||||||
|
|
|
|||||||
| 844,137,502 | ||||||||
| Machinery — 0.7% | ||||||||
|
Deere & Co. |
233,627 | 78,005,719 | ||||||
|
Dover Corp. |
118,903 | 13,861,712 | ||||||
|
IDEX Corp. |
55,470 | 11,085,680 | ||||||
|
Illinois Tool Works, Inc. |
211,605 | 38,226,443 | ||||||
|
Nordson Corp. |
60,348 | 12,810,070 | ||||||
|
Otis Worldwide Corp. |
306,241 | 19,538,176 | ||||||
|
Pentair PLC |
169,607 | 6,891,132 | ||||||
|
Xylem, Inc. |
135,247 | 11,815,178 | ||||||
|
|
|
|||||||
| 192,234,110 | ||||||||
| 14 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Growth ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Metals & Mining — 0.2% | ||||||||
|
Freeport-McMoRan, Inc. |
1,152,741 | $ | 31,504,412 | |||||
|
Nucor Corp. |
258,982 | 27,708,484 | ||||||
|
|
|
|||||||
| 59,212,896 | ||||||||
| Multiline Retail — 0.3% | ||||||||
|
Target Corp. |
467,251 | 69,335,376 | ||||||
|
|
|
|||||||
| Oil, Gas & Consumable Fuels — 1.2% | ||||||||
|
APA Corp. |
328,996 | 11,248,373 | ||||||
|
Devon Energy Corp. |
1,195,172 | 71,865,693 | ||||||
|
Diamondback Energy, Inc. |
325,656 | 39,228,522 | ||||||
|
EOG Resources, Inc. |
491,888 | 54,958,646 | ||||||
|
Hess Corp.(b) |
362,464 | 39,504,951 | ||||||
|
Occidental Petroleum Corp.(b) |
559,763 | 34,397,436 | ||||||
|
ONEOK, Inc. |
350,440 | 17,956,546 | ||||||
|
Pioneer Natural Resources Co. |
244,879 | 53,023,650 | ||||||
|
|
|
|||||||
| 322,183,817 | ||||||||
| Personal Products — 0.2% | ||||||||
|
Estee Lauder Cos., Inc., Class A |
249,400 | 53,845,460 | ||||||
|
|
|
|||||||
| Pharmaceuticals — 3.0% | ||||||||
|
Catalent, Inc.(a) |
199,305 | 14,421,710 | ||||||
|
Eli Lilly & Co. |
1,441,431 | 466,086,714 | ||||||
|
Pfizer, Inc. |
5,539,299 | 242,399,724 | ||||||
|
Zoetis, Inc. |
564,171 | 83,660,917 | ||||||
|
|
|
|||||||
| 806,569,065 | ||||||||
| Professional Services — 0.4% | ||||||||
|
CoStar Group, Inc.(a) |
362,705 | 25,262,403 | ||||||
|
Equifax, Inc. |
225,105 | 38,589,750 | ||||||
|
Jacobs Solutions, Inc. |
102,256 | 11,093,753 | ||||||
|
Robert Half International, Inc. |
135,413 | 10,359,095 | ||||||
|
Verisk Analytics, Inc. |
145,430 | 24,800,178 | ||||||
|
|
|
|||||||
| 110,105,179 | ||||||||
| Real Estate Management & Development — 0.1% | ||||||||
|
CBRE Group, Inc., Class A(a)(b) |
294,188 | 19,860,632 | ||||||
|
|
|
|||||||
| Road & Rail — 0.5% | ||||||||
|
JB Hunt Transport Services, Inc. |
88,530 | 13,847,863 | ||||||
|
Old Dominion Freight Line, Inc.(b) |
167,524 | 41,674,945 | ||||||
|
Union Pacific Corp. |
468,759 | 91,323,628 | ||||||
|
|
|
|||||||
| 146,846,436 | ||||||||
| Semiconductors & Semiconductor Equipment — 6.9% | ||||||||
|
Advanced Micro Devices, Inc.(a)(b) |
2,950,555 | 186,947,165 | ||||||
|
Applied Materials, Inc.(b) |
1,590,031 | 130,271,240 | ||||||
|
Broadcom, Inc. |
420,718 | 186,802,999 | ||||||
|
Enphase Energy, Inc.(a)(b) |
247,161 | 68,579,763 | ||||||
|
KLA Corp. |
258,894 | 78,349,091 | ||||||
|
Lam Research Corp. |
250,220 | 91,580,520 | ||||||
|
Microchip Technology, Inc. |
482,695 | 29,458,876 | ||||||
|
Monolithic Power Systems, Inc. |
81,423 | 29,589,118 | ||||||
|
NVIDIA Corp.(b) |
4,576,707 | 555,566,463 | ||||||
|
NXP Semiconductors N.V.(b) |
302,072 | 44,558,641 | ||||||
|
ON Semiconductor Corp.(a)(b) |
601,802 | 37,510,318 | ||||||
|
Qorvo, Inc.(a) |
92,646 | 7,357,019 | ||||||
|
QUALCOMM, Inc. |
2,052,546 | 231,896,647 | ||||||
|
Skyworks Solutions, Inc. |
139,505 | 11,895,591 | ||||||
|
SolarEdge Technologies, Inc.(a)(b) |
76,765 | 17,768,027 | ||||||
|
Teradyne, Inc. |
287,231 | 21,585,409 | ||||||
|
Texas Instruments, Inc. |
818,324 | 126,660,189 | ||||||
|
|
|
|||||||
| 1,856,377,076 | ||||||||
| Software — 16.4% | ||||||||
|
Adobe, Inc.(a) |
855,397 | 235,405,254 | ||||||
| Security | Shares | Value | ||||||
| Software (continued) | ||||||||
|
ANSYS, Inc.(a) |
99,216 | $ | 21,996,187 | |||||
|
Autodesk, Inc.(a) |
254,090 | 47,464,012 | ||||||
|
Cadence Design Systems, Inc.(a) |
500,015 | 81,717,451 | ||||||
|
Ceridian HCM Holding, Inc.(a)(b) |
114,986 | 6,425,418 | ||||||
|
Fortinet, Inc.(a)(b) |
1,193,268 | 58,625,257 | ||||||
|
Intuit, Inc. |
515,554 | 199,684,375 | ||||||
|
Microsoft Corp. |
13,631,126 | 3,174,689,245 | ||||||
|
Oracle Corp. |
2,776,353 | 169,551,878 | ||||||
|
Paycom Software, Inc.(a)(b) |
66,909 | 22,079,301 | ||||||
|
PTC, Inc.(a) |
96,331 | 10,076,223 | ||||||
|
Salesforce, Inc.(a)(b) |
1,109,343 | 159,567,897 | ||||||
|
ServiceNow, Inc.(a) |
369,200 | 139,413,612 | ||||||
|
Synopsys, Inc.(a) |
187,333 | 57,232,105 | ||||||
|
Tyler Technologies, Inc.(a) |
46,933 | 16,309,218 | ||||||
|
|
|
|||||||
| 4,400,237,433 | ||||||||
| Specialty Retail — 3.2% | ||||||||
|
Advance Auto Parts, Inc. |
54,077 | 8,454,398 | ||||||
|
AutoZone, Inc.(a) |
35,560 | 76,167,031 | ||||||
|
Bath & Body Works, Inc. |
271,882 | 8,863,353 | ||||||
|
CarMax, Inc.(a)(b) |
153,751 | 10,150,641 | ||||||
|
Home Depot, Inc. |
1,427,646 | 393,944,637 | ||||||
|
Lowe’s Cos., Inc. |
1,168,170 | 219,394,008 | ||||||
|
O’Reilly Automotive, Inc.(a)(b) |
116,373 | 81,850,950 | ||||||
|
Tractor Supply Co. |
202,697 | 37,677,318 | ||||||
|
Ulta Beauty, Inc.(a)(b) |
52,703 | 21,143,917 | ||||||
|
|
|
|||||||
| 857,646,253 | ||||||||
| Technology Hardware, Storage & Peripherals — 14.4% | ||||||||
|
Apple Inc. |
27,610,867 | 3,815,821,819 | ||||||
|
HP, Inc. |
833,616 | 20,773,711 | ||||||
|
NetApp, Inc. |
285,813 | 17,677,534 | ||||||
|
Seagate Technology Holdings PLC |
258,729 | 13,772,145 | ||||||
|
|
|
|||||||
| 3,868,045,209 | ||||||||
| Textiles, Apparel & Luxury Goods — 0.4% | ||||||||
|
Nike, Inc., Class B |
1,247,193 | 103,666,682 | ||||||
|
|
|
|||||||
| Trading Companies & Distributors — 0.2% | ||||||||
|
Fastenal Co.(b) |
505,628 | 23,279,113 | ||||||
|
United Rentals, Inc.(a) |
76,944 | 20,784,113 | ||||||
|
|
|
|||||||
| 44,063,226 | ||||||||
|
|
|
|||||||
|
Total
Long-Term Investments — 99.8% |
26,738,584,355 | |||||||
|
|
|
|||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
15 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Growth ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
|
||||||||
|
Short-Term Securities(c)(d) |
||||||||
| Money Market Funds — 1.3% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 3.18%(e) |
306,572,400 | $ | 306,664,372 | |||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.81% |
31,865,108 | 31,865,108 | ||||||
|
|
|
|||||||
|
Total
Short-Term Securities — 1.3% |
338,529,480 | |||||||
|
|
|
|||||||
|
Total
Investments — 101.1% |
27,077,113,835 | |||||||
|
Liabilities in Excess of Other Assets — (1.1)% |
|
(295,371,994 | ) | |||||
|
|
|
|||||||
|
Net Assets — 100.0% |
$ | 26,781,741,841 | ||||||
|
|
|
|||||||
| (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, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer | Value at 03/31/22 |
Purchases at Cost |
Proceeds from Sale |
Net Realized Gain (Loss) |
Change
in Unrealized Appreciation (Depreciation) |
Value at 09/30/22 |
Shares Held at 09/30/22 |
Income |
Capital Gain |
|
||||||||||||||||||||||||||||||||
|
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 67,653,659 | $ | 238,892,038 | (a) | $ | — | $ | 35,495 | $ | 83,180 | $ | 306,664,372 | 306,572,400 | $ | 191,951 | (b) | $ | — | ||||||||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
48,780,000 | — | (16,914,892 | )(a) | — | — | 31,865,108 | 31,865,108 | 271,671 | — | ||||||||||||||||||||||||||||||||
|
BlackRock, Inc. |
107,435,424 | 11,794,947 | (10,427,484 | ) | 2,309,898 | (32,327,547 | ) | 78,785,238 | 143,173 | 1,326,125 | — | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
| $ | 2,345,393 | $ | (32,244,367 | ) | $ | 417,314,718 | $ | 1,789,747 | $ | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
| (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 E-Mini Index |
218 | 12/16/22 | $ | 39,256 | $ | (4,486,704 | ) | |||||||||
|
|
|
|||||||||||||||
| 16 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Growth ETF |
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
|
|
||||||||||||||||||||||||||||
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Liabilities — Derivative Financial Instruments |
||||||||||||||||||||||||||||
|
Futures contracts |
||||||||||||||||||||||||||||
|
Unrealized depreciation on futures contracts(a) |
$ | — | $ | — | $ | 4,486,704 | $ | — | $ | — | $ | — | $ | 4,486,704 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (a) |
Net cumulative unrealized appreciation (depreciation) on futures contracts, if any, are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
For the period ended September 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:
|
|
||||||||||||||||||||||||||||
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Net Realized Gain (Loss) from |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | 86,149 | $ | — | $ | — | $ | — | $ | 86,149 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
Net Change in Unrealized Appreciation (Depreciation) on |
|
|||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (7,370,510 | ) | $ | — | $ | — | $ | — | $ | (7,370,510 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
|
||||
|
Futures contracts |
||||
|
Average notional value of contracts — long |
$ | 41,512,538 | ||
|
|
||||
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
|
||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
|
||||||||||||||||
|
Assets |
||||||||||||||||
|
Investments |
||||||||||||||||
|
Long-Term Investments |
||||||||||||||||
|
Common Stocks |
$ | 26,738,584,355 | $ | — | $ | — | $ | 26,738,584,355 | ||||||||
|
Short-Term Securities |
||||||||||||||||
|
Money Market Funds |
338,529,480 | — | — | 338,529,480 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 27,077,113,835 | $ | — | $ | — | $ | 27,077,113,835 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative Financial Instruments(a) |
||||||||||||||||
|
Liabilities |
||||||||||||||||
|
Equity Contracts |
$ | (4,486,704 | ) | $ |
— |
|
$ | — | $ | (4,486,704 | ) | |||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
|
S C H E D U L E S O F I N V E S T M E N T S |
17 |
|
Schedule of Investments (unaudited) September 30, 2022 |
iShares® S&P 500 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
| |||||||
| Aerospace & Defense — 3.0% | ||||||||
|
Boeing Co.(a)(b) |
765,449 | $ | 92,680,565 | |||||
|
General Dynamics Corp. |
308,053 | 65,359,605 | ||||||
|
Howmet Aerospace, Inc. |
511,346 | 15,815,932 | ||||||
|
Huntington Ingalls Industries, Inc. |
54,505 | 12,072,857 | ||||||
|
L3Harris Technologies, Inc. |
152,219 | 31,635,675 | ||||||
|
Lockheed Martin Corp. |
323,759 | 125,064,864 | ||||||
|
Northrop Grumman Corp.(b) |
199,857 | 93,996,744 | ||||||
|
Raytheon Technologies Corp. |
2,026,496 | 165,888,962 | ||||||
|
Textron, Inc.(b) |
290,722 | 16,937,464 | ||||||
|
TransDigm Group, Inc. |
39,741 | 20,856,872 | ||||||
|
|
|
|||||||
| 640,309,540 | ||||||||
| Air Freight & Logistics — 0.7% | ||||||||
|
CH Robinson Worldwide, Inc. |
169,137 | 16,289,585 | ||||||
|
FedEx Corp. |
327,069 | 48,559,934 | ||||||
|
United Parcel Service, Inc., Class B |
573,287 | 92,608,782 | ||||||
|
|
|
|||||||
| 157,458,301 | ||||||||
| Airlines — 0.4% | ||||||||
|
Alaska Air Group, Inc.(a) |
174,034 | 6,813,431 | ||||||
|
American Airlines Group, Inc.(a)(b) |
893,064 | 10,752,491 | ||||||
|
Delta Air Lines, Inc.(a) |
879,842 | 24,688,366 | ||||||
|
Southwest Airlines Co.(a) |
813,908 | 25,100,923 | ||||||
|
United Airlines Holdings, Inc.(a) |
449,035 | 14,607,108 | ||||||
|
|
|
|||||||
| 81,962,319 | ||||||||
| Auto Components — 0.1% | ||||||||
|
Aptiv PLC(a)(b) |
219,677 | 17,180,938 | ||||||
|
BorgWarner, Inc. |
325,902 | 10,233,323 | ||||||
|
|
|
|||||||
| 27,414,261 | ||||||||
| Automobiles — 0.6% | ||||||||
|
Ford Motor Co. |
5,409,519 | 60,586,613 | ||||||
|
General Motors Co. |
2,003,751 | 64,300,369 | ||||||
|
|
|
|||||||
| 124,886,982 | ||||||||
| Banks — 5.2% | ||||||||
|
Bank of America Corp. |
5,372,888 | 162,261,218 | ||||||
|
Citigroup, Inc. |
2,656,508 | 110,696,688 | ||||||
|
Citizens Financial Group, Inc. |
679,183 | 23,336,728 | ||||||
|
Comerica, Inc. |
97,736 | 6,949,030 | ||||||
|
Fifth Third Bancorp |
943,010 | 30,138,600 | ||||||
|
Huntington Bancshares, Inc. |
1,981,084 | 26,110,687 | ||||||
|
JPMorgan Chase & Co. |
2,174,072 | 227,190,524 | ||||||
|
KeyCorp. |
1,276,516 | 20,449,786 | ||||||
|
M&T Bank Corp. |
241,342 | 42,553,421 | ||||||
|
PNC Financial Services Group, Inc. |
562,174 | 84,000,039 | ||||||
|
Regions Financial Corp. |
703,534 | 14,119,927 | ||||||
|
Truist Financial Corp. |
1,822,822 | 79,365,670 | ||||||
|
US Bancorp |
1,858,098 | 74,918,511 | ||||||
|
Wells Fargo & Co. |
5,207,298 | 209,437,526 | ||||||
|
Zions Bancorp NA |
106,884 | 5,436,120 | ||||||
|
|
|
|||||||
| 1,116,964,475 | ||||||||
| Beverages — 2.9% | ||||||||
|
Brown-Forman Corp., Class B |
251,273 | 16,727,244 | ||||||
|
Coca-Cola Co. |
5,343,463 | 299,340,797 | ||||||
|
Constellation Brands, Inc., Class A |
218,962 | 50,291,192 | ||||||
|
Keurig Dr Pepper, Inc. |
887,099 | 31,775,886 | ||||||
|
Molson Coors Beverage Co., Class B |
260,169 | 12,485,510 | ||||||
|
Monster Beverage Corp.(a)(b) |
252,896 | 21,991,836 | ||||||
|
PepsiCo, Inc. |
1,098,733 | 179,379,150 | ||||||
|
|
|
|||||||
| 611,991,615 | ||||||||
| Security | Shares | Value | ||||||
| Biotechnology — 2.1% | ||||||||
|
AbbVie, Inc. |
1,116,208 | $ | 149,806,276 | |||||
|
Amgen, Inc. |
433,733 | 97,763,418 | ||||||
|
Biogen, Inc.(a) |
199,144 | 53,171,448 | ||||||
|
Gilead Sciences, Inc. |
1,719,035 | 106,047,269 | ||||||
|
Incyte Corp.(a) |
145,139 | 9,672,063 | ||||||
|
Vertex Pharmaceuticals, Inc.(a) |
140,977 | 40,818,481 | ||||||
|
|
|
|||||||
| 457,278,955 | ||||||||
| Building Products — 0.6% | ||||||||
|
A O Smith Corp. |
85,942 | 4,175,062 | ||||||
|
Allegion PLC |
122,511 | 10,986,787 | ||||||
|
Carrier Global Corp. |
1,153,732 | 41,026,710 | ||||||
|
Fortune Brands Home & Security, Inc. |
94,541 | 5,075,906 | ||||||
|
Johnson Controls International PLC |
370,383 | 18,230,251 | ||||||
|
Masco Corp. |
161,742 | 7,551,734 | ||||||
|
Trane Technologies PLC |
318,442 | 46,113,586 | ||||||
|
|
|
|||||||
| 133,160,036 | ||||||||
| Capital Markets — 2.5% | ||||||||
|
Ameriprise Financial, Inc. |
58,334 | 14,697,251 | ||||||
|
Bank of New York Mellon Corp. |
1,010,601 | 38,928,350 | ||||||
|
BlackRock, Inc.(c) |
99,455 | 54,728,097 | ||||||
|
Cboe Global Markets, Inc. |
60,791 | 7,135,040 | ||||||
|
Charles Schwab Corp.(b) |
671,499 | 48,260,633 | ||||||
|
CME Group, Inc. |
492,736 | 87,278,328 | ||||||
|
FactSet Research Systems, Inc. |
21,876 | 8,752,806 | ||||||
|
Franklin Resources, Inc. |
209,605 | 4,510,699 | ||||||
|
Intercontinental Exchange, Inc. |
329,763 | 29,794,087 | ||||||
|
Invesco Ltd. |
629,177 | 8,619,725 | ||||||
|
MarketAxess Holdings, Inc. |
26,561 | 5,909,557 | ||||||
|
Moody’s Corp. |
73,342 | 17,830,174 | ||||||
|
Morgan Stanley |
938,563 | 74,155,863 | ||||||
|
Nasdaq, Inc. |
101,004 | 5,724,907 | ||||||
|
Northern Trust Corp. |
285,727 | 24,446,802 | ||||||
|
Raymond James Financial, Inc. |
109,172 | 10,788,377 | ||||||
|
S&P Global, Inc. |
182,603 | 55,757,826 | ||||||
|
State Street Corp. |
505,207 | 30,721,638 | ||||||
|
T Rowe Price Group, Inc. |
93,476 | 9,815,915 | ||||||
|
|
|
|||||||
| 537,856,075 | ||||||||
| Chemicals — 2.6% | ||||||||
|
Air Products and Chemicals, Inc. |
304,812 | 70,938,897 | ||||||
|
Albemarle Corp. |
51,356 | 13,580,581 | ||||||
|
Celanese Corp. |
78,584 | 7,099,278 | ||||||
|
CF Industries Holdings, Inc. |
110,241 | 10,610,696 | ||||||
|
Corteva, Inc. |
987,549 | 56,438,425 | ||||||
|
Dow, Inc. |
986,956 | 43,356,977 | ||||||
|
DuPont de Nemours, Inc. |
688,374 | 34,694,050 | ||||||
|
Eastman Chemical Co. |
169,859 | 12,068,482 | ||||||
|
Ecolab, Inc. |
340,738 | 49,209,382 | ||||||
|
FMC Corp. |
172,180 | 18,199,426 | ||||||
|
International Flavors & Fragrances, Inc. |
350,365 | 31,823,653 | ||||||
|
Linde PLC |
335,596 | 90,473,326 | ||||||
|
LyondellBasell Industries NV, Class A |
348,322 | 26,221,680 | ||||||
|
Mosaic Co. |
473,291 | 22,874,154 | ||||||
|
PPG Industries, Inc. |
321,630 | 35,601,225 | ||||||
|
Sherwin-Williams Co. |
152,250 | 31,173,187 | ||||||
|
|
|
|||||||
| 554,363,419 | ||||||||
| Commercial Services & Supplies — 0.5% | ||||||||
|
Cintas Corp. |
63,667 | 24,714,893 | ||||||
|
Copart, Inc.(a) |
94,636 | 10,069,270 | ||||||
|
Republic Services, Inc. |
158,595 | 21,575,264 | ||||||
| 18 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Commercial Services & Supplies (continued) | ||||||||
|
Rollins, Inc. |
178,700 | $ | 6,197,316 | |||||
|
Waste Management, Inc.(b) |
253,286 | 40,578,950 | ||||||
|
|
|
|||||||
| 103,135,693 | ||||||||
| Communications Equipment — 0.8% | ||||||||
|
Cisco Systems, Inc. |
3,129,939 | 125,197,560 | ||||||
|
F5, Inc.(a) |
38,307 | 5,544,172 | ||||||
|
Juniper Networks, Inc. |
440,534 | 11,506,748 | ||||||
|
Motorola Solutions, Inc.(b) |
94,016 | 21,056,764 | ||||||
|
|
|
|||||||
| 163,305,244 | ||||||||
| Construction & Engineering — 0.1% | ||||||||
|
Quanta Services, Inc.(b) |
91,009 | 11,593,637 | ||||||
|
|
|
|||||||
| Construction Materials — 0.1% | ||||||||
|
Martin Marietta Materials, Inc. |
35,569 | 11,456,419 | ||||||
|
Vulcan Materials Co. |
94,975 | 14,978,507 | ||||||
|
|
|
|||||||
| 26,434,926 | ||||||||
| Consumer Finance — 0.4% | ||||||||
|
American Express Co. |
461,599 | 62,274,321 | ||||||
|
Capital One Financial Corp. |
273,711 | 25,227,943 | ||||||
|
Synchrony Financial |
286,521 | 8,077,027 | ||||||
|
|
|
|||||||
| 95,579,291 | ||||||||
| Containers & Packaging — 0.5% | ||||||||
|
Amcor PLC |
2,065,207 | 22,159,671 | ||||||
|
Avery Dennison Corp. |
54,945 | 8,939,552 | ||||||
|
Ball Corp. |
429,179 | 20,737,929 | ||||||
|
International Paper Co. |
500,707 | 15,872,412 | ||||||
|
Packaging Corp. of America |
128,098 | 14,384,124 | ||||||
|
Sealed Air Corp. |
90,402 | 4,023,793 | ||||||
|
Westrock Co. |
348,174 | 10,755,095 | ||||||
|
|
|
|||||||
| 96,872,576 | ||||||||
| Distributors — 0.2% | ||||||||
|
Genuine Parts Co. |
194,365 | 29,022,582 | ||||||
|
LKQ Corp. |
203,059 | 9,574,232 | ||||||
|
|
|
|||||||
| 38,596,814 | ||||||||
| Diversified Financial Services — 3.1% | ||||||||
|
Berkshire Hathaway, Inc., Class B(a) |
2,477,809 | 661,624,559 | ||||||
|
|
|
|||||||
| Diversified Telecommunication Services — 1.8% | ||||||||
|
AT&T Inc. |
9,779,192 | 150,012,805 | ||||||
|
Lumen Technologies, Inc. |
1,317,424 | 9,590,847 | ||||||
|
Verizon Communications, Inc. |
5,765,689 | 218,923,211 | ||||||
|
|
|
|||||||
| 378,526,863 | ||||||||
| Electric Utilities — 3.9% | ||||||||
|
Alliant Energy Corp. |
344,840 | 18,273,072 | ||||||
|
American Electric Power Co., Inc. |
706,010 | 61,034,564 | ||||||
|
Constellation Energy Corp. |
449,173 | 37,366,702 | ||||||
|
Duke Energy Corp. |
1,058,146 | 98,428,741 | ||||||
|
Edison International |
524,191 | 29,658,727 | ||||||
|
Entergy Corp. |
279,551 | 28,131,217 | ||||||
|
Evergy, Inc. |
313,683 | 18,632,770 | ||||||
|
Eversource Energy |
476,105 | 37,117,146 | ||||||
|
Exelon Corp. |
1,362,940 | 51,055,732 | ||||||
|
FirstEnergy Corp. |
743,229 | 27,499,473 | ||||||
|
NextEra Energy, Inc. |
2,697,399 | 211,503,055 | ||||||
|
PG&E Corp.(a) |
2,481,514 | 31,018,925 | ||||||
|
Pinnacle West Capital Corp. |
153,311 | 9,890,093 | ||||||
|
PPL Corp. |
1,011,717 | 25,647,026 | ||||||
|
Southern Co. |
1,457,826 | 99,132,168 | ||||||
|
Xcel Energy, Inc. |
751,712 | 48,109,568 | ||||||
|
|
|
|||||||
| 832,498,979 | ||||||||
| Security | Shares | Value | ||||||
| Electrical Equipment — 0.9% | ||||||||
|
AMETEK, Inc.(b) |
315,494 | $ | 35,780,174 | |||||
|
Eaton Corp. PLC |
547,372 | 72,997,530 | ||||||
|
Emerson Electric Co. |
812,606 | 59,499,011 | ||||||
|
Rockwell Automation, Inc. |
76,579 | 16,472,909 | ||||||
|
|
|
|||||||
| 184,749,624 | ||||||||
| Electronic Equipment, Instruments & Components — 0.8% | ||||||||
|
Amphenol Corp., Class A |
384,204 | 25,726,300 | ||||||
|
CDW Corp. |
75,626 | 11,803,706 | ||||||
|
Corning, Inc. |
1,045,526 | 30,341,164 | ||||||
|
Keysight Technologies, Inc.(a) |
61,028 | 9,603,366 | ||||||
|
TE Connectivity Ltd. |
439,100 | 48,459,076 | ||||||
|
Teledyne Technologies, Inc.(a) |
64,404 | 21,734,418 | ||||||
|
Trimble, Inc.(a)(b) |
149,926 | 8,136,484 | ||||||
|
Zebra Technologies Corp., Class A(a) |
18,883 | 4,947,535 | ||||||
|
|
|
|||||||
| 160,752,049 | ||||||||
| Energy Equipment & Services — 0.6% | ||||||||
|
Baker Hughes Co. |
1,389,654 | 29,127,148 | ||||||
|
Halliburton Co. |
1,246,112 | 30,679,277 | ||||||
|
Schlumberger NV |
1,937,563 | 69,558,512 | ||||||
|
|
|
|||||||
| 129,364,937 | ||||||||
| Entertainment — 1.9% | ||||||||
|
Activision Blizzard, Inc. |
978,342 | 72,729,944 | ||||||
|
Electronic Arts, Inc. |
363,003 | 42,003,077 | ||||||
|
Live Nation Entertainment, Inc.(a)(b) |
112,011 | 8,517,316 | ||||||
|
Take-Two Interactive Software, Inc.(a) |
81,925 | 8,929,825 | ||||||
|
Walt Disney Co.(a) |
2,502,833 | 236,092,237 | ||||||
|
Warner Bros Discovery, Inc.(a) |
3,035,911 | 34,912,977 | ||||||
|
|
|
|||||||
| 403,185,376 | ||||||||
| Equity Real Estate Investment Trusts (REITs) — 3.2% | ||||||||
|
Alexandria Real Estate Equities, Inc. |
204,055 | 28,606,471 | ||||||
|
American Tower Corp. |
313,522 | 67,313,173 | ||||||
|
AvalonBay Communities, Inc. |
110,985 | 20,442,327 | ||||||
|
Boston Properties, Inc. |
195,319 | 14,643,065 | ||||||
|
Crown Castle, Inc. |
327,313 | 47,313,094 | ||||||
|
Digital Realty Trust, Inc. |
394,976 | 39,173,720 | ||||||
|
Duke Realty Corp. |
184,370 | 8,886,634 | ||||||
|
Equinix, Inc. |
67,587 | 38,446,189 | ||||||
|
Equity Residential |
464,920 | 31,251,922 | ||||||
|
Essex Property Trust, Inc. |
50,119 | 12,140,325 | ||||||
|
Federal Realty Investment Trust |
58,001 | 5,227,050 | ||||||
|
Healthpeak Properties, Inc. |
739,028 | 16,938,522 | ||||||
|
Host Hotels & Resorts, Inc. |
981,162 | 15,580,853 | ||||||
|
Invitation Homes, Inc.(b) |
433,073 | 14,624,875 | ||||||
|
Iron Mountain, Inc. |
153,632 | 6,755,199 | ||||||
|
Kimco Realty Corp. |
847,583 | 15,604,003 | ||||||
|
Mid-America Apartment Communities, Inc. |
60,567 | 9,392,125 | ||||||
|
Prologis, Inc. |
406,722 | 41,322,955 | ||||||
|
Public Storage |
88,600 | 25,942,966 | ||||||
|
Realty Income Corp. |
848,716 | 49,395,271 | ||||||
|
Regency Centers Corp. |
212,873 | 11,463,211 | ||||||
|
SBA Communications Corp., Class A |
64,963 | 18,491,718 | ||||||
|
Simon Property Group, Inc. |
179,948 | 16,150,333 | ||||||
|
UDR, Inc. |
187,802 | 7,833,221 | ||||||
|
Ventas, Inc. |
548,651 | 22,039,311 | ||||||
|
VICI Properties, Inc. |
1,323,548 | 39,507,908 | ||||||
|
Vornado Realty Trust |
214,647 | 4,971,225 | ||||||
|
Welltower, Inc. |
636,796 | 40,958,719 | ||||||
|
Weyerhaeuser Co. |
588,468 | 16,806,646 | ||||||
|
|
|
|||||||
| 687,223,031 | ||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
19 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Food & Staples Retailing — 2.4% | ||||||||
|
Costco Wholesale Corp.(b) |
297,838 | $ | 140,659,953 | |||||
|
Kroger Co. |
893,260 | 39,080,125 | ||||||
|
Sysco Corp. |
700,158 | 49,508,172 | ||||||
|
Walgreens Boots Alliance, Inc. |
985,810 | 30,954,434 | ||||||
|
Walmart, Inc. |
1,956,896 | 253,809,411 | ||||||
|
|
|
|||||||
| 514,012,095 | ||||||||
| Food Products — 2.1% | ||||||||
|
Archer-Daniels-Midland Co. |
770,363 | 61,975,703 | ||||||
|
Campbell Soup Co. |
275,079 | 12,961,722 | ||||||
|
Conagra Brands, Inc. |
658,119 | 21,474,423 | ||||||
|
General Mills, Inc. |
818,665 | 62,717,926 | ||||||
|
Hershey Co. |
110,732 | 24,413,084 | ||||||
|
Hormel Foods Corp. |
395,615 | 17,976,746 | ||||||
|
J M Smucker Co. |
146,985 | 20,197,209 | ||||||
|
Kellogg Co. |
350,421 | 24,410,327 | ||||||
|
Kraft Heinz Co. |
1,094,656 | 36,506,778 | ||||||
|
Lamb Weston Holdings, Inc. |
197,512 | 15,283,478 | ||||||
|
McCormick & Co., Inc., NVS(b) |
343,521 | 24,482,742 | ||||||
|
Mondelez International, Inc., Class A |
1,879,730 | 103,065,596 | ||||||
|
Tyson Foods, Inc., Class A |
398,012 | 26,240,931 | ||||||
|
|
|
|||||||
| 451,706,665 | ||||||||
| Gas Utilities — 0.1% | ||||||||
|
Atmos Energy Corp. |
191,635 | 19,518,025 | ||||||
|
|
|
|||||||
| Health Care Equipment & Supplies — 3.2% | ||||||||
|
Abbott Laboratories |
1,128,902 | 109,232,557 | ||||||
|
ABIOMED, Inc.(a) |
27,784 | 6,825,417 | ||||||
|
Baxter International, Inc. |
692,096 | 37,276,291 | ||||||
|
Becton Dickinson and Co. |
390,983 | 87,122,742 | ||||||
|
Boston Scientific Corp.(a) |
1,967,422 | 76,198,254 | ||||||
|
Cooper Cos., Inc. |
68,235 | 18,007,216 | ||||||
|
DENTSPLY SIRONA, Inc. |
294,571 | 8,351,088 | ||||||
|
Edwards Lifesciences Corp.(a) |
315,032 | 26,031,094 | ||||||
|
Hologic, Inc.(a) |
89,569 | 5,778,992 | ||||||
|
IDEXX Laboratories, Inc.(a) |
35,047 | 11,418,313 | ||||||
|
Intuitive Surgical, Inc.(a) |
152,361 | 28,558,546 | ||||||
|
Medtronic PLC |
1,823,349 | 147,235,432 | ||||||
|
ResMed, Inc. |
84,220 | 18,385,226 | ||||||
|
STERIS PLC(b) |
80,233 | 13,341,143 | ||||||
|
Stryker Corp. |
273,007 | 55,294,838 | ||||||
|
Teleflex, Inc. |
64,352 | 12,964,354 | ||||||
|
Zimmer Biomet Holdings, Inc. |
288,141 | 30,125,142 | ||||||
|
|
|
|||||||
| 692,146,645 | ||||||||
| Health Care Providers & Services — 5.5% | ||||||||
|
AmerisourceBergen Corp. |
213,399 | 28,879,287 | ||||||
|
Cardinal Health, Inc. |
374,389 | 24,964,258 | ||||||
|
Centene Corp.(a) |
785,505 | 61,120,144 | ||||||
|
Cigna Corp. |
418,536 | 116,131,184 | ||||||
|
CVS Health Corp. |
1,801,946 | 171,851,590 | ||||||
|
DaVita, Inc.(a)(b) |
77,030 | 6,375,773 | ||||||
|
Elevance Health, Inc. |
329,342 | 149,600,310 | ||||||
|
HCA Healthcare, Inc. |
123,898 | 22,771,213 | ||||||
|
Henry Schein, Inc.(a) |
187,971 | 12,362,853 | ||||||
|
Humana, Inc. |
173,919 | 84,383,760 | ||||||
|
Laboratory Corp. of America Holdings |
58,764 | 12,035,455 | ||||||
|
McKesson Corp. |
197,523 | 67,132,142 | ||||||
|
Molina Healthcare, Inc.(a) |
40,356 | 13,311,023 | ||||||
|
Quest Diagnostics, Inc. |
86,410 | 10,601,643 | ||||||
|
UnitedHealth Group, Inc. |
744,815 | 376,161,367 | ||||||
|
Universal Health Services, Inc., Class B(b) |
89,459 | 7,888,495 | ||||||
|
|
|
|||||||
| 1,165,570,497 | ||||||||
| Security | Shares | Value | ||||||
| Hotels, Restaurants & Leisure — 2.4% | ||||||||
|
Booking Holdings, Inc.(a) |
54,439 | $ | 89,454,709 | |||||
|
Caesars Entertainment, Inc.(a)(b) |
101,941 | 3,288,617 | ||||||
|
Carnival Corp.(a)(b) |
1,365,238 | 9,597,623 | ||||||
|
Chipotle Mexican Grill, Inc.(a)(b) |
12,592 | 18,922,754 | ||||||
|
Darden Restaurants, Inc. |
168,954 | 21,342,269 | ||||||
|
Domino’s Pizza, Inc. |
16,274 | 5,048,195 | ||||||
|
Expedia Group, Inc.(a) |
207,859 | 19,474,310 | ||||||
|
Hilton Worldwide Holdings, Inc. |
221,962 | 26,773,056 | ||||||
|
Las Vegas Sands Corp.(a)(b) |
448,948 | 16,844,529 | ||||||
|
Marriott International, Inc., Class A(b) |
379,117 | 53,129,456 | ||||||
|
McDonald’s Corp. |
555,163 | 128,098,311 | ||||||
|
MGM Resorts International |
451,272 | 13,411,804 | ||||||
|
Norwegian Cruise Line Holdings Ltd.(a)(b) |
571,493 | 6,492,160 | ||||||
|
Royal Caribbean Cruises Ltd.(a) |
303,387 | 11,498,367 | ||||||
|
Starbucks Corp. |
770,134 | 64,891,491 | ||||||
|
Wynn Resorts Ltd.(a)(b) |
142,135 | 8,958,769 | ||||||
|
Yum! Brands, Inc. |
206,426 | 21,951,341 | ||||||
|
|
|
|||||||
| 519,177,761 | ||||||||
| Household Durables — 0.4% | ||||||||
|
DR Horton, Inc.(b) |
204,997 | 13,806,548 | ||||||
|
Garmin Ltd. |
102,989 | 8,271,047 | ||||||
|
Lennar Corp., Class A |
351,431 | 26,199,181 | ||||||
|
Mohawk Industries, Inc.(a) |
72,935 | 6,650,943 | ||||||
|
Newell Brands, Inc. |
241,005 | 3,347,559 | ||||||
|
NVR, Inc.(a) |
2,230 | 8,891,188 | ||||||
|
PulteGroup, Inc. |
319,229 | 11,971,088 | ||||||
|
Whirlpool Corp. |
75,324 | 10,154,428 | ||||||
|
|
|
|||||||
| 89,291,982 | ||||||||
| Household Products — 2.8% | ||||||||
|
Church & Dwight Co., Inc. |
333,821 | 23,848,172 | ||||||
|
Clorox Co. |
169,259 | 21,731,163 | ||||||
|
Colgate-Palmolive Co. |
1,143,297 | 80,316,614 | ||||||
|
Kimberly-Clark Corp. |
463,984 | 52,216,760 | ||||||
|
Procter & Gamble Co. |
3,280,563 | 414,171,079 | ||||||
|
|
|
|||||||
| 592,283,788 | ||||||||
| Independent Power and Renewable Electricity Producers — 0.1% | ||||||||
|
AES Corp. |
915,783 | 20,696,696 | ||||||
|
|
|
|||||||
| Industrial Conglomerates — 1.6% | ||||||||
|
3M Co. |
758,896 | 83,858,008 | ||||||
|
General Electric Co. |
1,506,960 | 93,295,893 | ||||||
|
Honeywell International, Inc. |
924,573 | 154,375,954 | ||||||
|
|
|
|||||||
| 331,529,855 | ||||||||
| Insurance — 3.6% | ||||||||
|
Aflac, Inc. |
790,266 | 44,412,949 | ||||||
|
Allstate Corp. |
371,460 | 46,257,914 | ||||||
|
American International Group, Inc. |
1,045,018 | 49,617,455 | ||||||
|
Aon PLC, Class A |
115,522 | 30,944,878 | ||||||
|
Arthur J. Gallagher & Co.(b) |
161,873 | 27,715,895 | ||||||
|
Assurant, Inc. |
73,221 | 10,636,815 | ||||||
|
Brown & Brown, Inc. |
99,101 | 5,993,628 | ||||||
|
Chubb Ltd.(b) |
572,736 | 104,169,224 | ||||||
|
Cincinnati Financial Corp. |
116,701 | 10,452,909 | ||||||
|
Everest Re Group Ltd. |
54,159 | 14,213,488 | ||||||
|
Globe Life, Inc. |
123,755 | 12,338,373 | ||||||
|
Hartford Financial Services Group, Inc. |
443,361 | 27,461,780 | ||||||
|
Lincoln National Corp. |
214,254 | 9,407,893 | ||||||
|
Loews Corp. |
276,603 | 13,785,894 | ||||||
|
Marsh & McLennan Cos., Inc. |
266,900 | 39,845,501 | ||||||
|
MetLife, Inc. |
920,754 | 55,963,428 | ||||||
|
Principal Financial Group, Inc. |
318,633 | 22,989,371 | ||||||
| 20 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Insurance (continued) | ||||||||
|
Progressive Corp. |
803,831 | $ | 93,413,200 | |||||
|
Prudential Financial, Inc. |
510,352 | 43,777,995 | ||||||
|
Travelers Cos., Inc. |
326,132 | 49,963,422 | ||||||
|
W R Berkley Corp. |
279,058 | 18,021,566 | ||||||
|
Willis Towers Watson PLC(b) |
151,465 | 30,435,377 | ||||||
|
|
|
|||||||
| 761,818,955 | ||||||||
| Interactive Media & Services — 0.2% | ||||||||
|
Match Group, Inc.(a) |
388,899 | 18,569,927 | ||||||
|
Twitter, Inc.(a) |
478,500 | 20,977,440 | ||||||
|
|
|
|||||||
| 39,547,367 | ||||||||
| Internet & Direct Marketing Retail — 0.0% | ||||||||
|
eBay, Inc. |
170,736 | 6,284,792 | ||||||
|
|
|
|||||||
| IT Services — 5.1% | ||||||||
|
Accenture PLC, Class A |
364,264 | 93,725,127 | ||||||
|
Akamai Technologies, Inc.(a)(b) |
126,547 | 10,164,255 | ||||||
|
Automatic Data Processing, Inc. |
268,113 | 60,644,479 | ||||||
|
Broadridge Financial Solutions, Inc. |
90,216 | 13,019,973 | ||||||
|
Cognizant Technology Solutions Corp., Class A |
711,207 | 40,851,730 | ||||||
|
DXC Technology Co.(a) |
317,943 | 7,783,245 | ||||||
|
Fidelity National Information Services, Inc. |
835,528 | 63,140,851 | ||||||
|
Fiserv, Inc.(a) |
878,961 | 82,244,381 | ||||||
|
FleetCor Technologies, Inc.(a) |
102,532 | 18,063,062 | ||||||
|
Global Payments, Inc. |
380,897 | 41,155,921 | ||||||
|
International Business Machines Corp. |
1,239,427 | 147,256,322 | ||||||
|
Jack Henry & Associates, Inc. |
100,126 | 18,249,966 | ||||||
|
Mastercard, Inc., Class A |
620,699 | 176,489,554 | ||||||
|
Paychex, Inc. |
206,763 | 23,200,876 | ||||||
|
PayPal Holdings, Inc.(a) |
731,082 | 62,924,228 | ||||||
|
VeriSign, Inc.(a)(b) |
67,343 | 11,697,479 | ||||||
|
Visa, Inc., Class A(b) |
1,279,464 | 227,296,780 | ||||||
|
|
|
|||||||
| 1,097,908,229 | ||||||||
| Leisure Products — 0.1% | ||||||||
|
Hasbro, Inc. |
178,567 | 12,038,987 | ||||||
|
|
|
|||||||
| Life Sciences Tools & Services — 0.7% | ||||||||
|
Agilent Technologies, Inc. |
164,201 | 19,958,631 | ||||||
|
Bio-Rad Laboratories, Inc., Class A(a) |
13,197 | 5,504,997 | ||||||
|
Danaher Corp. |
287,916 | 74,365,824 | ||||||
|
Illumina, Inc.(a)(b) |
109,953 | 20,977,933 | ||||||
|
IQVIA Holdings, Inc.(a) |
68,802 | 12,462,794 | ||||||
|
Mettler-Toledo International, Inc.(a) |
11,510 | 12,478,221 | ||||||
|
Waters Corp.(a)(b) |
21,507 | 5,796,782 | ||||||
|
|
|
|||||||
| 151,545,182 | ||||||||
| Machinery — 2.5% | ||||||||
|
Caterpillar, Inc. |
724,181 | 118,823,618 | ||||||
|
Cummins, Inc. |
193,760 | 39,432,098 | ||||||
|
Deere & Co. |
206,401 | 68,915,230 | ||||||
|
Dover Corp. |
107,153 | 12,491,897 | ||||||
|
Fortive Corp. |
489,405 | 28,532,311 | ||||||
|
IDEX Corp. |
60,948 | 12,180,458 | ||||||
|
Illinois Tool Works, Inc. |
228,454 | 41,270,215 | ||||||
|
Ingersoll Rand, Inc.(b) |
554,080 | 23,969,501 | ||||||
|
Nordson Corp. |
29,402 | 6,241,163 | ||||||
|
Otis Worldwide Corp. |
345,730 | 22,057,574 | ||||||
|
PACCAR, Inc. |
477,860 | 39,992,103 | ||||||
|
Parker-Hannifin Corp. |
176,417 | 42,747,603 | ||||||
|
Pentair PLC |
93,497 | 3,798,783 | ||||||
|
Snap-on, Inc. |
72,939 | 14,686,268 | ||||||
|
Stanley Black & Decker, Inc. |
203,938 | 15,338,177 | ||||||
| Security | Shares | Value | ||||||
| Machinery (continued) | ||||||||
|
Westinghouse Air Brake Technologies Corp. |
249,945 | $ | 20,333,026 | |||||
|
Xylem, Inc.(b) |
144,743 | 12,644,748 | ||||||
|
|
|
|||||||
| 523,454,773 | ||||||||
| Media — 1.4% | ||||||||
|
Charter Communications, Inc., Class A(a) |
152,341 | 46,212,642 | ||||||
|
Comcast Corp., Class A |
6,044,962 | 177,298,735 | ||||||
|
DISH Network Corp., Class A(a)(b) |
333,620 | 4,613,965 | ||||||
|
Fox Corp., Class A, NVS |
421,163 | 12,921,281 | ||||||
|
Fox Corp., Class B |
191,909 | 5,469,406 | ||||||
|
Interpublic Group of Cos., Inc. |
534,021 | 13,670,938 | ||||||
|
News Corp., Class A, NVS |
533,183 | 8,056,395 | ||||||
|
News Corp., Class B(b) |
165,109 | 2,545,981 | ||||||
|
Omnicom Group, Inc. |
281,510 | 17,760,466 | ||||||
|
Paramount Global, Class B, NVS |
698,426 | 13,298,031 | ||||||
|
|
|
|||||||
| 301,847,840 | ||||||||
| Metals & Mining — 0.4% | ||||||||
|
Freeport-McMoRan, Inc. |
1,099,727 | 30,055,539 | ||||||
|
Newmont Corp. |
1,085,534 | 45,624,994 | ||||||
|
Nucor Corp. |
165,602 | 17,717,758 | ||||||
|
|
|
|||||||
| 93,398,291 | ||||||||
| Multiline Retail — 0.7% | ||||||||
|
Dollar General Corp. |
311,955 | 74,825,526 | ||||||
|
Dollar Tree, Inc.(a) |
290,084 | 39,480,433 | ||||||
|
Target Corp. |
286,759 | 42,552,168 | ||||||
|
|
|
|||||||
| 156,858,127 | ||||||||
| Multi-Utilities — 1.8% | ||||||||
|
Ameren Corp. |
354,056 | 28,519,211 | ||||||
|
CenterPoint Energy, Inc. |
865,106 | 24,378,687 | ||||||
|
CMS Energy Corp. |
398,807 | 23,226,520 | ||||||
|
Consolidated Edison, Inc. |
487,292 | 41,790,162 | ||||||
|
Dominion Energy, Inc. |
1,141,153 | 78,865,084 | ||||||
|
DTE Energy Co. |
266,196 | 30,625,850 | ||||||
|
NiSource, Inc. |
561,477 | 14,143,606 | ||||||
|
Public Service Enterprise Group, Inc. |
685,567 | 38,549,432 | ||||||
|
Sempra Energy |
430,549 | 64,556,517 | ||||||
|
WEC Energy Group, Inc. |
433,492 | 38,767,189 | ||||||
|
|
|
|||||||
| 383,422,258 | ||||||||
| Oil, Gas & Consumable Fuels — 7.2% | ||||||||
|
APA Corp. |
202,698 | 6,930,245 | ||||||
|
Chevron Corp. |
2,472,331 | 355,199,795 | ||||||
|
ConocoPhillips |
1,747,362 | 178,825,027 | ||||||
|
Coterra Energy, Inc. |
1,092,440 | 28,534,533 | ||||||
|
EOG Resources, Inc. |
434,907 | 48,592,159 | ||||||
|
EQT Corp. |
507,752 | 20,690,894 | ||||||
|
Exxon Mobil Corp. |
5,721,649 | 499,557,174 | ||||||
|
Hess Corp.(b) |
110,572 | 12,051,242 | ||||||
|
Kinder Morgan, Inc. |
2,724,682 | 45,338,708 | ||||||
|
Marathon Oil Corp. |
927,500 | 20,942,950 | ||||||
|
Marathon Petroleum Corp. |
683,052 | 67,847,555 | ||||||
|
Occidental Petroleum Corp.(b) |
604,217 | 37,129,135 | ||||||
|
ONEOK, Inc. |
348,886 | 17,876,919 | ||||||
|
Phillips 66 |
661,094 | 53,363,508 | ||||||
|
Pioneer Natural Resources Co. |
144,258 | 31,236,185 | ||||||
|
Valero Energy Corp. |
541,421 | 57,850,834 | ||||||
|
Williams Cos., Inc. |
1,674,588 | 47,943,454 | ||||||
|
|
|
|||||||
| 1,529,910,317 | ||||||||
| Personal Products — 0.1% | ||||||||
|
Estee Lauder Cos., Inc., Class A |
130,610 | 28,198,699 | ||||||
|
|
|
|||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
21 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
|
||||||||
| Pharmaceuticals — 6.2% | ||||||||
|
Bristol-Myers Squibb Co. |
2,931,371 | $ | 208,391,164 | |||||
|
Catalent, Inc.(a) |
98,345 | 7,116,244 | ||||||
|
Johnson & Johnson |
3,609,540 | 589,654,455 | ||||||
|
Merck & Co., Inc. |
3,477,880 | 299,515,026 | ||||||
|
Organon & Co. |
351,157 | 8,217,074 | ||||||
|
Pfizer, Inc. |
3,542,991 | 155,041,286 | ||||||
|
Viatris, Inc. |
1,665,018 | 14,185,953 | ||||||
|
Zoetis, Inc. |
217,814 | 32,299,638 | ||||||
|
|
|
|||||||
| 1,314,420,840 | ||||||||
| Professional Services — 0.4% | ||||||||
|
CoStar Group, Inc.(a) |
270,786 | 18,860,245 | ||||||
|
Jacobs Solutions, Inc. |
98,873 | 10,726,732 | ||||||
|
Leidos Holdings, Inc. |
187,148 | 16,369,835 | ||||||
|
Nielsen Holdings PLC(a) |
497,512 | 13,791,033 | ||||||
|
Robert Half International, Inc. |
46,060 | 3,523,590 | ||||||
|
Verisk Analytics, Inc. |
105,653 | 18,017,006 | ||||||
|
|
|
|||||||
| 81,288,441 | ||||||||
| Real Estate Management & Development — 0.1% | ||||||||
|
CBRE Group, Inc., Class A(a)(b) |
220,719 | 14,900,740 | ||||||
|
|
|
|||||||
| Road & Rail — 1.2% | ||||||||
|
CSX Corp. |
2,942,642 | 78,391,983 | ||||||
|
JB Hunt Transport Services, Inc. |
46,415 | 7,260,234 | ||||||
|
Norfolk Southern Corp. |
321,768 | 67,458,661 | ||||||
|
Union Pacific Corp. |
505,251 | 98,433,000 | ||||||
|
|
|
|||||||
| 251,543,878 | ||||||||
| Semiconductors & Semiconductor Equipment — 2.8% | ||||||||
|
Analog Devices, Inc. |
714,353 | 99,537,947 | ||||||
|
Broadcom, Inc. |
238,160 | 105,745,422 | ||||||
|
Intel Corp. |
5,634,668 | 145,205,394 | ||||||
|
Microchip Technology, Inc. |
394,503 | 24,076,518 | ||||||
|
Micron Technology, Inc. |
1,516,017 | 75,952,452 | ||||||
|
NXP Semiconductors N.V |
133,456 | 19,686,095 | ||||||
|
ON Semiconductor Corp.(a)(b) |
142,778 | 8,899,353 | ||||||
|
Qorvo, Inc.(a) |
72,798 | 5,780,889 | ||||||
|
Skyworks Solutions, Inc. |
116,098 | 9,899,676 | ||||||
|
SolarEdge Technologies, Inc.(a)(b) |
18,662 | 4,319,506 | ||||||
|
Texas Instruments, Inc. |
640,397 | 99,120,648 | ||||||
|
|
|
|||||||
| 598,223,900 | ||||||||
| Software — 1.1% | ||||||||
|
ANSYS, Inc.(a) |
45,129 | 10,005,099 | ||||||
|
Autodesk, Inc.(a) |
107,492 | 20,079,506 | ||||||
|
Ceridian HCM Holding, Inc.(a)(b) |
124,898 | 6,979,300 | ||||||
|
Citrix Systems, Inc.(a) |
171,352 | 17,803,473 | ||||||
|
NortonLifeLock, Inc. |
815,459 | 16,423,344 | ||||||
|
Paycom Software, Inc.(a) |
16,459 | 5,431,305 | ||||||
|
PTC, Inc.(a)(b) |
71,985 | 7,529,631 | ||||||
|
Roper Technologies, Inc. |
145,687 | 52,394,873 | ||||||
|
Salesforce, Inc.(a) |
533,286 | 76,707,858 | ||||||
|
Synopsys, Inc.(a) |
69,324 | 21,179,175 | ||||||
|
Tyler Technologies, Inc.(a) |
21,693 | 7,538,318 | ||||||
|
|
|
|||||||
| 242,071,882 | ||||||||
| Specialty Retail — 1.3% | ||||||||
|
Advance Auto Parts, Inc. |
42,949 | 6,714,647 | ||||||
|
Bath & Body Works, Inc. |
107,340 | 3,499,284 | ||||||
|
Best Buy Co., Inc. |
273,915 | 17,349,776 | ||||||
|
CarMax, Inc.(a)(b) |
103,285 | 6,818,876 | ||||||
| Security | Shares | Value | ||||||
|
|
||||||||
| Specialty Retail (continued) | ||||||||
|
Home Depot, Inc. |
338,202 | $ | 93,323,460 | |||||
|
Ross Stores, Inc.(b) |
480,893 | 40,524,853 | ||||||
|
TJX Cos., Inc. |
1,610,144 | 100,022,145 | ||||||
|
Ulta Beauty, Inc.(a)(b) |
31,332 | 12,570,085 | ||||||
|
|
|
|||||||
| 280,823,126 | ||||||||
| Technology Hardware, Storage & Peripherals — 0.3% | ||||||||
|
Hewlett Packard Enterprise Co. |
1,782,407 | 21,353,236 | ||||||
|
HP, Inc. |
629,345 | 15,683,277 | ||||||
|
NetApp, Inc. |
88,010 | 5,443,418 | ||||||
|
Seagate Technology Holdings PLC |
71,737 | 3,818,561 | ||||||
|
Western Digital Corp.(a) |
430,378 | 14,008,804 | ||||||
|
|
|
|||||||
| 60,307,296 | ||||||||
| Textiles, Apparel & Luxury Goods — 0.4% | ||||||||
|
Nike, Inc., Class B |
798,835 | 66,399,165 | ||||||
|
Ralph Lauren Corp. |
59,332 | 5,039,067 | ||||||
|
Tapestry, Inc. |
344,414 | 9,791,690 | ||||||
|
VF Corp. |
456,733 | 13,660,884 | ||||||
|
|
|
|||||||
| 94,890,806 | ||||||||
| Tobacco — 1.3% | ||||||||
|
Altria Group, Inc. |
2,474,816 | 99,933,070 | ||||||
|
Philip Morris International, Inc. |
2,127,831 | 176,631,251 | ||||||
|
|
|
|||||||
| 276,564,321 | ||||||||
| Trading Companies & Distributors — 0.3% | ||||||||
|
Fastenal Co. |
410,678 | 18,907,615 | ||||||
|
United Rentals, Inc.(a) |
38,483 | 10,395,028 | ||||||
|
WW Grainger, Inc. |
62,177 | 30,416,367 | ||||||
|
|
|
|||||||
| 59,719,010 | ||||||||
| Water Utilities — 0.1% | ||||||||
|
American Water Works Co., Inc. |
249,822 | 32,516,832 | ||||||
|
|
|
|||||||
| Wireless Telecommunication Services — 0.5% | ||||||||
|
T-Mobile U.S., Inc.(a) |
825,609 | 110,771,960 | ||||||
|
|
|
|||||||
|
Total
Long-Term Investments — 99.9% |
|
21,317,300,435 | ||||||
|
|
|
|||||||
|
Short-Term Securities(c)(d) |
||||||||
| Money Market Funds — 1.2% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 3.18%(e) |
249,754,690 | 249,829,616 | ||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.81% |
17,574,566 | 17,574,566 | ||||||
|
|
|
|||||||
|
Total
Short-Term Securities — 1.2% |
|
267,404,182 | ||||||
|
|
|
|||||||
|
Total
Investments — 101.1% |
|
21,584,704,617 | ||||||
|
Liabilities in Excess of Other Assets — (1.1)% |
|
(241,594,951 | ) | |||||
|
|
|
|||||||
|
Net Assets — 100.0% |
$ | 21,343,109,666 | ||||||
|
|
|
|||||||
| (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. |
| 22 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
|
|
||||||||||||||||||||||||||||||||||||||||||
| Affiliated Issuer | Value at 03/31/22 |
Purchases at Cost |
Proceeds from Sale |
Net Realized Gain (Loss) |
Change in Unrealized Appreciation (Depreciation) |
Value at 09/30/22 |
Shares Held at 09/30/22 |
Income |
Capital Gain Distributions Funds |
|
||||||||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 121,421,682 | $ | 128,328,101 | (a) | $ | — | $ | (1,814 | ) | $ | 81,647 | $ | 249,829,616 | 249,754,690 | $ | 282,117 | (b) | $ | — | ||||||||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
38,340,000 | — | (20,765,434 | )(a) | — | — | 17,574,566 | 17,574,566 | 255,029 | — | ||||||||||||||||||||||||||||||||
|
BlackRock, Inc. |
71,414,743 | 11,382,875 | (7,768,347 | ) | 2,788,716 | (23,089,890 | ) | 54,728,097 | 99,455 | 931,499 | — | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
| $ | 2,786,902 | $ | (23,008,243 | ) | $ | 322,132,279 | $ | 1,468,645 | $ | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
| (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/ Appreciation (Depreciation) |
||||||||||||
|
|
||||||||||||||||
|
Long Contracts |
||||||||||||||||
|
S&P 500 E-Mini Index |
241 | 12/16/22 | $ | 43,398 | $ | (3,910,208 | ) | |||||||||
|
|
|
|||||||||||||||
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
|
Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
Liabilities — Derivative Financial Instruments |
||||||||||||||||||||||||||||
|
Futures contracts |
||||||||||||||||||||||||||||
|
Unrealized depreciation on futures contracts(a) |
$ | — | $ | — | $ | 3,910,208 | $ | — | $ | — | $ | — | $ | 3,910,208 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (a) |
Net cumulative unrealized appreciation (depreciation) on futures contracts, if any, are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
For the period ended September 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:
|
Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
Net Realized Gain (Loss) from |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (9,010,111 | ) | $ | — | $ | — | $ | — | $ | (9,010,111 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
Net Change in Unrealized Appreciation (Depreciation) on |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (7,206,552 | ) | $ | — | $ | — | $ | — | $ | (7,206,552 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
23 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
|
||||
|
Futures contracts |
||||
|
Average notional value of contracts — long |
$ | 46,330,788 | ||
|
|
||||
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
|
||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
|
||||||||||||||||
|
Assets |
||||||||||||||||
|
Investments |
||||||||||||||||
|
Long-Term Investments |
||||||||||||||||
|
Common Stocks |
||||||||||||||||
|
Aerospace & Defense |
$ | 640,309,540 | $ | — | $ | — | $ | 640,309,540 | ||||||||
|
Air Freight & Logistics |
157,458,301 | — | — | 157,458,301 | ||||||||||||
|
Airlines |
81,962,319 | — | — | 81,962,319 | ||||||||||||
|
Auto Components |
27,414,261 | — | — | 27,414,261 | ||||||||||||
|
Automobiles |
124,886,982 | — | — | 124,886,982 | ||||||||||||
|
Banks |
1,116,964,475 | — | — | 1,116,964,475 | ||||||||||||
|
Beverages |
611,991,615 | — | — | 611,991,615 | ||||||||||||
|
Biotechnology |
457,278,955 | — | — | 457,278,955 | ||||||||||||
|
Building Products |
133,160,036 | — | — | 133,160,036 | ||||||||||||
|
Capital Markets |
537,856,075 | — | — | 537,856,075 | ||||||||||||
|
Chemicals |
554,363,419 | — | — | 554,363,419 | ||||||||||||
|
Commercial Services & Supplies |
103,135,693 | — | — | 103,135,693 | ||||||||||||
|
Communications Equipment |
163,305,244 | — | — | 163,305,244 | ||||||||||||
|
Construction & Engineering |
11,593,637 | — | — | 11,593,637 | ||||||||||||
|
Construction Materials |
26,434,926 | — | — | 26,434,926 | ||||||||||||
|
Consumer Finance |
95,579,291 | — | — | 95,579,291 | ||||||||||||
|
Containers & Packaging |
96,872,576 | — | — | 96,872,576 | ||||||||||||
|
Distributors |
38,596,814 | — | — | 38,596,814 | ||||||||||||
|
Diversified Financial Services |
661,624,559 | — | — | 661,624,559 | ||||||||||||
|
Diversified Telecommunication Services |
378,526,863 | — | — | 378,526,863 | ||||||||||||
|
Electric Utilities |
832,498,979 | — | — | 832,498,979 | ||||||||||||
|
Electrical Equipment |
184,749,624 | — | — | 184,749,624 | ||||||||||||
|
Electronic Equipment, Instruments & Components |
160,752,049 | — | — | 160,752,049 | ||||||||||||
|
Energy Equipment & Services |
129,364,937 | — | — | 129,364,937 | ||||||||||||
|
Entertainment |
403,185,376 | — | — | 403,185,376 | ||||||||||||
|
Equity Real Estate Investment Trusts (REITs) |
687,223,031 | — | — | 687,223,031 | ||||||||||||
|
Food & Staples Retailing |
514,012,095 | — | — | 514,012,095 | ||||||||||||
|
Food Products |
451,706,665 | — | — | 451,706,665 | ||||||||||||
|
Gas Utilities |
19,518,025 | — | — | 19,518,025 | ||||||||||||
|
Health Care Equipment & Supplies |
692,146,645 | — | — | 692,146,645 | ||||||||||||
|
Health Care Providers & Services |
1,165,570,497 | — | — | 1,165,570,497 | ||||||||||||
|
Hotels, Restaurants & Leisure |
519,177,761 | — | — | 519,177,761 | ||||||||||||
|
Household Durables |
89,291,982 | — | — | 89,291,982 | ||||||||||||
|
Household Products |
592,283,788 | — | — | 592,283,788 | ||||||||||||
|
Independent Power and Renewable Electricity Producers |
20,696,696 | — | — | 20,696,696 | ||||||||||||
|
Industrial Conglomerates |
331,529,855 | — | — | 331,529,855 | ||||||||||||
|
Insurance |
761,818,955 | — | — | 761,818,955 | ||||||||||||
|
Interactive Media & Services |
39,547,367 | — | — | 39,547,367 | ||||||||||||
|
Internet & Direct Marketing Retail |
6,284,792 | — | — | 6,284,792 | ||||||||||||
|
IT Services |
1,097,908,229 | — | — | 1,097,908,229 | ||||||||||||
|
Leisure Products |
12,038,987 | — | — | 12,038,987 | ||||||||||||
|
Life Sciences Tools & Services |
151,545,182 | — | — | 151,545,182 | ||||||||||||
|
Machinery |
523,454,773 | — | — | 523,454,773 | ||||||||||||
|
Media |
301,847,840 | — | — | 301,847,840 | ||||||||||||
|
Metals & Mining |
93,398,291 | — | — | 93,398,291 | ||||||||||||
|
Multiline Retail |
156,858,127 | — | — | 156,858,127 | ||||||||||||
|
Multi-Utilities |
383,422,258 | — | — | 383,422,258 | ||||||||||||
| 24 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P 500 Value ETF |
|
|
||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
|
||||||||||||||||
|
Common Stocks (continued) |
||||||||||||||||
|
Oil, Gas & Consumable Fuels |
$ | 1,529,910,317 | $ | — | $ | — | $ | 1,529,910,317 | ||||||||
|
Personal Products |
28,198,699 | — | — | 28,198,699 | ||||||||||||
|
Pharmaceuticals |
1,314,420,840 | — | — | 1,314,420,840 | ||||||||||||
|
Professional Services |
81,288,441 | — | — | 81,288,441 | ||||||||||||
|
Real Estate Management & Development |
14,900,740 | — | — | 14,900,740 | ||||||||||||
|
Road & Rail |
251,543,878 | — | — | 251,543,878 | ||||||||||||
|
Semiconductors & Semiconductor Equipment |
598,223,900 | — | — | 598,223,900 | ||||||||||||
|
Software |
224,268,409 | 17,803,473 | — | 242,071,882 | ||||||||||||
|
Specialty Retail |
280,823,126 | — | — | 280,823,126 | ||||||||||||
|
Technology Hardware, Storage & Peripherals |
60,307,296 | — | — | 60,307,296 | ||||||||||||
|
Textiles, Apparel & Luxury Goods |
94,890,806 | — | — | 94,890,806 | ||||||||||||
|
Tobacco |
276,564,321 | — | — | 276,564,321 | ||||||||||||
|
Trading Companies & Distributors |
59,719,010 | — | — | 59,719,010 | ||||||||||||
|
Water Utilities |
32,516,832 | — | — | 32,516,832 | ||||||||||||
|
Wireless Telecommunication Services |
110,771,960 | — | — | 110,771,960 | ||||||||||||
|
Short-Term Securities |
||||||||||||||||
|
Money Market Funds |
267,404,182 | — | — | 267,404,182 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 21,566,901,144 | $ | 17,803,473 | $ | — | $ | 21,584,704,617 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative Financial Instruments(a) |
||||||||||||||||
|
Liabilities |
||||||||||||||||
|
Equity Contracts |
$ | (3,910,208 | ) | $ | — | $ | — | $ | (3,910,208 | ) | ||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
|
S C H E D U L E S O F I N V E S T M E N T S |
25 |
|
Schedule of Investments (unaudited) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
Common Stocks |
| |||||||
| Aerospace & Defense — 1.6% | ||||||||
|
AAR Corp.(a) |
470,020 | $ | 16,836,116 | |||||
|
Aerojet Rocketdyne Holdings, Inc.(a) |
507,609 | 20,299,284 | ||||||
|
AeroVironment, Inc.(a)(b) |
161,525 | 13,464,724 | ||||||
|
Kaman Corp. |
393,197 | 10,981,992 | ||||||
|
Moog, Inc., Class A |
405,873 | 28,553,166 | ||||||
|
National Presto Industries, Inc. |
71,946 | 4,680,087 | ||||||
|
Park Aerospace Corp. |
146,787 | 1,620,529 | ||||||
|
|
|
|||||||
| 96,435,898 | ||||||||
| Air Freight & Logistics — 1.1% | ||||||||
|
Atlas Air Worldwide Holdings, Inc.(a)(b) |
361,385 | 34,537,564 | ||||||
|
Hub Group, Inc., Class A(a)(b) |
476,550 | 32,872,419 | ||||||
|
|
|
|||||||
| 67,409,983 | ||||||||
| Airlines — 0.7% | ||||||||
|
Allegiant Travel Co.(a) |
216,225 | 15,780,101 | ||||||
|
Hawaiian Holdings, Inc.(a)(b) |
720,943 | 9,480,400 | ||||||
|
SkyWest, Inc.(a) |
705,338 | 11,468,796 | ||||||
|
Sun Country Airlines Holdings, Inc.(a)(b) |
183,795 | 2,501,450 | ||||||
|
|
|
|||||||
| 39,230,747 | ||||||||
| Auto Components — 0.9% | ||||||||
|
American Axle & Manufacturing Holdings, Inc.(a)(b) |
1,608,209 | 10,984,067 | ||||||
|
Dorman Products, Inc.(a)(b) |
131,017 | 10,759,116 | ||||||
|
LCI Industries |
117,077 | 11,878,632 | ||||||
|
Motorcar Parts of America, Inc.(a)(b) |
264,689 | 4,028,567 | ||||||
|
Patrick Industries, Inc. |
161,503 | 7,080,292 | ||||||
|
Standard Motor Products, Inc. |
261,311 | 8,492,608 | ||||||
|
|
|
|||||||
| 53,223,282 | ||||||||
| Automobiles — 0.2% | ||||||||
|
Winnebago Industries, Inc.(b) |
218,420 | 11,622,128 | ||||||
|
|
|
|||||||
| Banks — 12.1% | ||||||||
|
Allegiance Bancshares, Inc.(b) |
265,765 | 11,063,797 | ||||||
|
Ameris Bancorp |
392,867 | 17,565,084 | ||||||
|
Banc of California, Inc.(b) |
431,517 | 6,891,326 | ||||||
|
BancFirst Corp. |
114,620 | 10,255,051 | ||||||
|
BankUnited, Inc. |
1,091,959 | 37,312,239 | ||||||
|
Banner Corp. |
273,103 | 16,134,925 | ||||||
|
Berkshire Hills Bancorp, Inc. |
641,641 | 17,516,799 | ||||||
|
Brookline Bancorp, Inc. |
606,278 | 7,063,139 | ||||||
|
Central Pacific Financial Corp. |
147,928 | 3,060,630 | ||||||
|
City Holding Co.(b) |
110,100 | 9,764,769 | ||||||
|
Columbia Banking System, Inc. |
1,102,132 | 31,840,593 | ||||||
|
Community Bank System, Inc. |
406,600 | 24,428,528 | ||||||
|
CVB Financial Corp. |
1,841,477 | 46,626,198 | ||||||
|
Dime Community Bancshares, Inc. |
233,732 | 6,843,673 | ||||||
|
Eagle Bancorp, Inc. |
182,903 | 8,197,712 | ||||||
|
FB Financial Corp. |
256,547 | 9,802,661 | ||||||
|
First Bancorp/Southern Pines NC |
250,025 | 9,145,915 | ||||||
|
First Commonwealth Financial Corp. |
592,257 | 7,604,580 | ||||||
|
First Financial Bancorp |
1,329,498 | 28,025,818 | ||||||
|
First Hawaiian, Inc. |
1,786,017 | 43,989,599 | ||||||
|
Hanmi Financial Corp. |
191,075 | 4,524,656 | ||||||
|
Heritage Financial Corp. |
491,923 | 13,021,202 | ||||||
|
Hilltop Holdings, Inc. |
315,186 | 7,832,372 | ||||||
|
Hope Bancorp, Inc. |
1,674,253 | 21,162,558 | ||||||
|
Independent Bank Corp.(b) |
373,062 | 27,804,311 | ||||||
|
Independent Bank Group, Inc. |
496,407 | 30,474,426 | ||||||
|
National Bank Holdings Corp., Class A |
177,027 | 6,548,229 | ||||||
|
NBT Bancorp, Inc. |
600,316 | 22,781,992 | ||||||
|
Northwest Bancshares, Inc. |
1,777,952 | 24,020,132 | ||||||
|
OFG Bancorp |
331,241 | 8,324,086 | ||||||
| Security | Shares | Value | ||||||
| Banks (continued) | ||||||||
|
Pacific Premier Bancorp, Inc. |
745,202 | $ | 23,071,454 | |||||
|
Park National Corp. |
74,897 | 9,323,179 | ||||||
|
Renasant Corp. |
784,030 | 24,524,458 | ||||||
|
S&T Bancorp, Inc. |
548,565 | 16,078,440 | ||||||
|
Seacoast Banking Corp. of Florida(b) |
413,067 | 12,487,015 | ||||||
|
Simmons First National Corp., Class A |
1,798,159 | 39,181,885 | ||||||
|
Southside Bancshares, Inc. |
158,893 | 5,618,456 | ||||||
|
Stellar Bancorp, Inc. |
120,187 | 3,515,470 | ||||||
|
Tompkins Financial Corp. |
98,180 | 7,129,832 | ||||||
|
Trustmark Corp. |
857,628 | 26,269,146 | ||||||
|
United Community Banks, Inc. |
535,065 | 17,710,651 | ||||||
|
Westamerica Bancorp |
377,112 | 19,719,186 | ||||||
|
|
|
|||||||
| 724,256,172 | ||||||||
| Beverages — 0.1% | ||||||||
|
National Beverage Corp. |
140,392 | 5,410,708 | ||||||
|
|
|
|||||||
| Biotechnology — 0.8% | ||||||||
|
Anika Therapeutics, Inc.(a)(b) |
98,475 | 2,343,705 | ||||||
|
Eagle Pharmaceuticals, Inc.(a)(b) |
74,318 | 1,963,481 | ||||||
|
Emergent BioSolutions, Inc.(a)(b) |
623,230 | 13,081,598 | ||||||
|
Enanta Pharmaceuticals, Inc.(a) |
109,346 | 5,671,777 | ||||||
|
Ironwood Pharmaceuticals, Inc.(a)(b) |
467,514 | 4,843,445 | ||||||
|
Myriad Genetics, Inc.(a)(b) |
543,198 | 10,364,218 | ||||||
|
Progenics Pharmaceuticals,Inc., CVR(a)(b)(c) |
181,178 | 2 | ||||||
|
REGENXBIO, Inc.(a)(b) |
290,207 | 7,670,171 | ||||||
|
Vanda Pharmaceuticals, Inc.(a) |
280,086 | 2,767,250 | ||||||
|
|
|
|||||||
| 48,705,647 | ||||||||
| Building Products — 2.0% | ||||||||
|
AAON, Inc. |
194,417 | 10,475,188 | ||||||
|
American Woodmark Corp.(a)(b) |
230,930 | 10,128,590 | ||||||
|
Apogee Enterprises, Inc.(b) |
311,092 | 11,889,936 | ||||||
|
Gibraltar Industries, Inc.(a) |
235,185 | 9,626,122 | ||||||
|
Griffon Corp. |
665,951 | 19,658,873 | ||||||
|
PGT Innovations, Inc.(a)(b) |
459,096 | 9,622,652 | ||||||
|
Quanex Building Products Corp. |
468,973 | 8,516,550 | ||||||
|
Resideo Technologies, Inc.(a) |
2,042,943 | 38,938,494 | ||||||
|
|
|
|||||||
| 118,856,405 | ||||||||
| Capital Markets — 0.5% | ||||||||
|
Blucora, Inc.(a)(b) |
376,628 | 7,283,986 | ||||||
|
StoneX Group, Inc.(a)(b) |
241,326 | 20,015,578 | ||||||
|
WisdomTree Investments, Inc. |
599,812 | 2,807,120 | ||||||
|
|
|
|||||||
| 30,106,684 | ||||||||
| Chemicals — 2.9% | ||||||||
|
AdvanSix, Inc. |
180,264 | 5,786,474 | ||||||
|
American Vanguard Corp.(b) |
407,130 | 7,613,331 | ||||||
|
FutureFuel Corp. |
358,381 | 2,164,621 | ||||||
|
Hawkins, Inc. |
122,152 | 4,762,706 | ||||||
|
HB Fuller Co. |
401,828 | 24,149,863 | ||||||
|
Innospec, Inc. |
347,404 | 29,762,101 | ||||||
|
Koppers Holdings, Inc. |
293,184 | 6,092,364 | ||||||
|
Mativ Holdings, Inc. |
763,242 | 16,852,383 | ||||||
|
Minerals Technologies, Inc. |
456,546 | 22,557,938 | ||||||
|
Quaker Chemical Corp.(b) |
80,175 | 11,575,666 | ||||||
|
Rayonier Advanced Materials, Inc.(a)(b) |
910,377 | 2,867,688 | ||||||
|
Stepan Co. |
296,901 | 27,810,717 | ||||||
|
Tredegar Corp. |
356,956 | 3,369,665 | ||||||
|
Trinseo PLC |
490,772 | 8,990,943 | ||||||
|
|
|
|||||||
| 174,356,460 | ||||||||
| Commercial Services & Supplies — 3.3% | ||||||||
|
ABM Industries, Inc. |
936,507 | 35,802,663 | ||||||
|
Brady Corp., Class A, NVS |
354,210 | 14,781,183 | ||||||
| 26 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Commercial Services & Supplies (continued) | ||||||||
|
CoreCivic, Inc.(a) |
1,652,671 | $ | 14,609,612 | |||||
|
Deluxe Corp. |
605,440 | 10,080,576 | ||||||
|
GEO Group, Inc.(a) |
1,738,911 | 13,389,615 | ||||||
|
Harsco Corp.(a)(b) |
1,118,227 | 4,182,169 | ||||||
|
Healthcare Services Group, Inc. |
1,040,138 | 12,575,268 | ||||||
|
HNI Corp. |
576,452 | 15,281,742 | ||||||
|
Interface, Inc.(b) |
458,772 | 4,124,360 | ||||||
|
KAR Auction Services, Inc.(a)(b) |
1,618,237 | 18,075,707 | ||||||
|
Matthews International Corp., Class A |
429,392 | 9,622,675 | ||||||
|
Pitney Bowes, Inc. |
2,083,630 | 4,854,858 | ||||||
|
UniFirst Corp. |
211,636 | 35,603,524 | ||||||
|
Viad Corp.(a) |
136,494 | 4,310,481 | ||||||
|
|
|
|||||||
| 197,294,433 | ||||||||
| Communications Equipment — 1.1% | ||||||||
|
Comtech Telecommunications Corp. |
387,742 | 3,881,297 | ||||||
|
Digi International, Inc.(a)(b) |
261,368 | 9,035,492 | ||||||
|
NETGEAR, Inc.(a)(b) |
399,584 | 8,007,663 | ||||||
|
NetScout Systems, Inc.(a) |
951,728 | 29,808,121 | ||||||
|
Viavi Solutions, Inc.(a) |
1,216,720 | 15,878,196 | ||||||
|
|
|
|||||||
| 66,610,769 | ||||||||
| Construction & Engineering — 0.9% | ||||||||
|
Arcosa, Inc.(b) |
678,077 | 38,772,443 | ||||||
|
Granite Construction, Inc.(b) |
619,631 | 15,732,431 | ||||||
|
|
|
|||||||
| 54,504,874 | ||||||||
| Consumer Finance — 0.8% | ||||||||
|
Encore Capital Group, Inc.(a)(b) |
174,220 | 7,923,526 | ||||||
|
EZCORP, Inc., Class A, NVS(a)(b) |
754,190 | 5,814,805 | ||||||
|
LendingTree, Inc.(a)(b) |
153,624 | 3,665,469 | ||||||
|
PRA Group, Inc.(a) |
545,246 | 17,916,783 | ||||||
|
PROG Holdings, Inc.(a) |
708,634 | 10,615,337 | ||||||
|
|
|
|||||||
| 45,935,920 | ||||||||
| Containers & Packaging — 0.6% | ||||||||
|
Myers Industries, Inc. |
290,248 | 4,780,385 | ||||||
|
O-I Glass, Inc.(a) |
2,181,170 | 28,246,151 | ||||||
|
|
|
|||||||
| 33,026,536 | ||||||||
| Diversified Consumer Services — 1.4% | ||||||||
|
Adtalem Global Education, Inc.(a)(b) |
632,344 | 23,048,939 | ||||||
|
Frontdoor, Inc.(a)(b) |
675,404 | 13,771,488 | ||||||
|
Mister Car Wash, Inc.(a) |
597,947 | 5,130,385 | ||||||
|
Perdoceo Education Corp.(a)(b) |
950,595 | 9,791,128 | ||||||
|
Strategic Education, Inc. |
313,329 | 19,241,534 | ||||||
|
Stride, Inc.(a)(b) |
296,634 | 12,467,527 | ||||||
|
WW International, Inc.(a)(b) |
758,768 | 2,981,958 | ||||||
|
|
|
|||||||
| 86,432,959 | ||||||||
| Diversified Telecommunication Services — 0.3% | ||||||||
|
ATN International, Inc. |
150,215 | 5,793,792 | ||||||
|
Cogent Communications Holdings, Inc. |
196,023 | 10,224,560 | ||||||
|
Consolidated
Communications Holdings, |
1,040,685 | 4,329,250 | ||||||
|
|
|
|||||||
| 20,347,602 | ||||||||
| Electrical Equipment — 0.3% | ||||||||
|
AZZ, Inc. |
347,601 | 12,690,913 | ||||||
|
Powell Industries, Inc. |
123,067 | 2,594,252 | ||||||
|
|
|
|||||||
| 15,285,165 | ||||||||
| Electronic Equipment, Instruments & Components — 4.2% | ||||||||
|
Arlo Technologies, Inc.(a) |
550,227 | 2,553,053 | ||||||
|
Badger Meter, Inc. |
143,191 | 13,229,417 | ||||||
|
Benchmark Electronics, Inc. |
493,692 | 12,233,688 | ||||||
|
CTS Corp.(b) |
219,060 | 9,123,849 | ||||||
|
ePlus, Inc.(a)(b) |
377,904 | 15,698,132 | ||||||
| Security | Shares | Value | ||||||
| Electronic Equipment, Instruments & Components (continued) | ||||||||
|
FARO Technologies, Inc.(a)(b) |
134,576 | $ | 3,692,765 | |||||
|
Insight Enterprises, Inc.(a)(b) |
428,123 | 35,281,616 | ||||||
|
Itron, Inc.(a)(b) |
632,427 | 26,631,501 | ||||||
|
Knowles Corp.(a) |
771,404 | 9,387,987 | ||||||
|
Methode Electronics, Inc.(b) |
288,795 | 10,728,734 | ||||||
|
OSI Systems, Inc.(a)(b) |
126,611 | 9,123,589 | ||||||
|
PC Connection, Inc. |
157,123 | 7,084,676 | ||||||
|
Plexus Corp.(a)(b) |
388,337 | 34,002,788 | ||||||
|
Sanmina Corp.(a)(b) |
810,543 | 37,349,821 | ||||||
|
ScanSource, Inc.(a)(b) |
352,087 | 9,298,618 | ||||||
|
TTM Technologies, Inc.(a)(b) |
1,435,532 | 18,920,312 | ||||||
|
|
|
|||||||
| 254,340,546 | ||||||||
| Energy Equipment & Services — 3.2% | ||||||||
|
Archrock, Inc. |
1,879,310 | 12,065,170 | ||||||
|
Bristow Group, Inc.(a)(b) |
325,839 | 7,653,958 | ||||||
|
Core Laboratories NV(b) |
375,603 | 5,063,128 | ||||||
|
DMC Global, Inc.(a) |
260,270 | 4,159,115 | ||||||
|
Dril-Quip, Inc.(a)(b) |
479,738 | 9,364,486 | ||||||
|
Helix Energy Solutions Group, Inc.(a) |
2,002,369 | 7,729,144 | ||||||
|
Helmerich & Payne, Inc. |
1,473,569 | 54,477,846 | ||||||
|
Nabors Industries Ltd.(a)(b) |
125,656 | 12,747,801 | ||||||
|
Oceaneering International, Inc.(a) |
1,407,224 | 11,201,503 | ||||||
|
Oil States International, Inc.(a)(b) |
881,994 | 3,430,957 | ||||||
|
Patterson-UTI Energy, Inc. |
3,040,206 | 35,509,606 | ||||||
|
ProPetro Holding Corp.(a) |
1,231,930 | 9,917,037 | ||||||
|
RPC, Inc.(b) |
1,167,576 | 8,091,302 | ||||||
|
US Silica Holdings, Inc.(a)(b) |
1,060,810 | 11,615,869 | ||||||
|
|
|
|||||||
| 193,026,922 | ||||||||
| Entertainment — 0.2% | ||||||||
|
Cinemark Holdings, Inc.(a)(b) |
725,565 | 8,786,592 | ||||||
|
Marcus Corp.(b) |
342,297 | 4,754,505 | ||||||
|
|
|
|||||||
| 13,541,097 | ||||||||
| Equity Real Estate Investment Trusts (REITs) — 8.1% | ||||||||
|
Acadia Realty Trust |
756,007 | 9,540,808 | ||||||
|
Agree Realty Corp. |
615,768 | 41,613,601 | ||||||
|
Alexander & Baldwin, Inc. |
1,014,533 | 16,820,957 | ||||||
|
American Assets Trust, Inc. |
416,359 | 10,708,753 | ||||||
|
Armada Hoffler Properties, Inc. |
374,377 | 3,886,033 | ||||||
|
Brandywine Realty Trust |
2,411,980 | 16,280,865 | ||||||
|
CareTrust REIT, Inc. |
722,364 | 13,082,012 | ||||||
|
Centerspace |
77,568 | 5,221,878 | ||||||
|
Chatham Lodging Trust(a) |
680,433 | 6,715,874 | ||||||
|
Community Healthcare Trust, Inc. |
133,273 | 4,364,691 | ||||||
|
DiamondRock Hospitality Co. |
2,951,017 | 22,162,138 | ||||||
|
Diversified Healthcare Trust |
3,361,392 | 3,328,114 | ||||||
|
Easterly Government Properties, Inc. |
1,269,456 | 20,019,321 | ||||||
|
Elme Communities |
684,256 | 12,015,535 | ||||||
|
Essential Properties Realty Trust, Inc. |
949,914 | 18,475,827 | ||||||
|
Four Corners Property Trust, Inc. |
583,792 | 14,121,928 | ||||||
|
Franklin Street Properties Corp. |
1,279,563 | 3,365,251 | ||||||
|
Getty Realty Corp. |
320,413 | 8,615,906 | ||||||
|
Global Net Lease, Inc. |
1,446,538 | 15,405,630 | ||||||
|
Hersha Hospitality Trust, Class A |
467,944 | 3,734,193 | ||||||
|
Hudson Pacific Properties, Inc. |
1,803,673 | 19,750,219 | ||||||
|
Industrial Logistics Properties Trust |
545,150 | 2,998,325 | ||||||
|
iStar, Inc. |
530,774 | 4,914,967 | ||||||
|
LTC Properties, Inc. |
566,547 | 21,217,185 | ||||||
|
LXP Industrial Trust |
1,967,592 | 18,023,143 | ||||||
|
Office Properties Income Trust |
680,027 | 9,554,379 | ||||||
|
Orion Office REIT, Inc. |
789,585 | 6,908,869 | ||||||
|
Outfront Media, Inc., REIT |
648,325 | 9,848,057 | ||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
27 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Equity Real Estate Investment Trusts (REITs) (continued) | ||||||||
|
Retail Opportunity Investments Corp. |
889,292 | $ | 12,236,658 | |||||
|
RPT Realty |
587,321 | 4,440,147 | ||||||
|
Saul Centers, Inc. |
56,110 | 2,104,125 | ||||||
|
Service Properties Trust(b) |
2,319,488 | 12,038,143 | ||||||
|
SITE Centers Corp. |
1,177,520 | 12,611,239 | ||||||
|
Summit Hotel Properties, Inc.(b) |
1,500,052 | 10,080,349 | ||||||
|
Sunstone Hotel Investors, Inc. |
2,259,230 | 21,281,947 | ||||||
|
Uniti Group, Inc. |
1,386,748 | 9,637,899 | ||||||
|
Universal Health Realty Income Trust |
80,799 | 3,491,325 | ||||||
|
Urban Edge Properties |
907,128 | 12,101,088 | ||||||
|
Urstadt Biddle Properties, Inc., Class A |
190,720 | 2,958,067 | ||||||
|
Veris Residential, Inc.(a) |
1,113,018 | 12,655,015 | ||||||
|
Whitestone REIT |
646,102 | 5,466,023 | ||||||
|
Xenia Hotels & Resorts, Inc. |
1,599,941 | 22,063,186 | ||||||
|
|
|
|||||||
| 485,859,670 | ||||||||
| Food & Staples Retailing — 1.0% | ||||||||
|
Andersons, Inc. |
447,271 | 13,878,819 | ||||||
|
Chefs’ Warehouse, Inc.(a)(b) |
474,348 | 13,741,862 | ||||||
|
PriceSmart, Inc.(b) |
350,892 | 20,207,870 | ||||||
|
SpartanNash Co. |
507,576 | 14,729,855 | ||||||
|
|
|
|||||||
| 62,558,406 | ||||||||
| Food Products — 3.2% | ||||||||
|
B&G Foods, Inc. |
1,000,446 | 16,497,355 | ||||||
|
Calavo Growers, Inc. |
249,950 | 7,935,913 | ||||||
|
Cal-Maine Foods, Inc. |
531,611 | 29,552,255 | ||||||
|
Fresh Del Monte Produce, Inc. |
429,533 | 9,982,347 | ||||||
|
Hain Celestial Group, Inc.(a) |
1,258,353 | 21,240,999 | ||||||
|
Hostess Brands, Inc.(a)(b) |
1,914,291 | 44,488,123 | ||||||
|
J & J Snack Foods Corp. |
117,826 | 15,254,932 | ||||||
|
John B Sanfilippo & Son, Inc. |
124,948 | 9,462,312 | ||||||
|
Seneca Foods Corp., Class A(a) |
78,592 | 3,964,180 | ||||||
|
Tootsie Roll Industries, Inc. |
123,732 | 4,117,801 | ||||||
|
TreeHouse Foods, Inc.(a)(b) |
706,813 | 29,983,007 | ||||||
|
|
|
|||||||
| 192,479,224 | ||||||||
| Gas Utilities — 1.5% | ||||||||
|
Chesapeake Utilities Corp.(b) |
119,313 | 13,767,527 | ||||||
|
Northwest Natural Holding Co. |
486,904 | 21,121,896 | ||||||
|
South Jersey Industries, Inc. |
1,716,139 | 57,353,365 | ||||||
|
|
|
|||||||
| 92,242,788 | ||||||||
| Health Care Equipment & Supplies — 3.3% | ||||||||
|
Artivion, Inc.(a)(b) |
565,736 | 7,829,786 | ||||||
|
Avanos Medical, Inc.(a)(b) |
653,083 | 14,224,148 | ||||||
|
Cardiovascular Systems, Inc.(a) |
334,172 | 4,631,624 | ||||||
|
CONMED Corp.(b) |
154,118 | 12,355,640 | ||||||
|
Cutera, Inc.(a)(b) |
92,472 | 4,216,723 | ||||||
|
Embecta Corp. |
808,878 | 23,287,598 | ||||||
|
Glaukos Corp.(a)(b) |
320,039 | 17,038,876 | ||||||
|
Inogen, Inc.(a)(b) |
320,831 | 7,789,777 | ||||||
|
Integer Holdings Corp.(a)(b) |
464,083 | 28,879,885 | ||||||
|
Lantheus Holdings, Inc.(a) |
394,827 | 27,768,183 | ||||||
|
Meridian Bioscience, Inc.(a) |
219,439 | 6,918,912 | ||||||
|
Merit Medical Systems, Inc.(a) |
343,195 | 19,393,949 | ||||||
|
Mesa Laboratories, Inc. |
28,743 | 4,047,877 | ||||||
|
OraSure Technologies, Inc.(a) |
1,027,433 | 3,893,971 | ||||||
|
Orthofix Medical, Inc.(a)(b) |
278,944 | 5,330,620 | ||||||
|
Surmodics, Inc.(a) |
67,439 | 2,050,145 | ||||||
|
Varex Imaging Corp.(a) |
203,037 | 4,292,202 | ||||||
|
Zimvie, Inc.(a) |
296,216 | 2,923,652 | ||||||
|
|
|
|||||||
| 196,873,568 | ||||||||
| Security | Shares | Value | ||||||
| Health Care Providers & Services — 3.4% | ||||||||
|
AdaptHealth Corp.(a)(b) |
1,071,702 | $ | 20,126,564 | |||||
|
Addus HomeCare Corp.(a)(b) |
127,758 | 12,167,672 | ||||||
|
Covetrus, Inc.(a) |
1,471,092 | 30,716,401 | ||||||
|
Enhabit, Inc.(a) |
694,294 | 9,747,888 | ||||||
|
Ensign Group, Inc. |
356,442 | 28,337,139 | ||||||
|
Hanger, Inc.(a) |
547,610 | 10,251,259 | ||||||
|
ModivCare, Inc.(a) |
76,407 | 7,616,250 | ||||||
|
Owens & Minor, Inc. |
1,067,876 | 25,735,812 | ||||||
|
Pediatrix Medical Group, Inc.(a)(b) |
1,179,042 | 19,465,983 | ||||||
|
Pennant Group, Inc.(a) |
191,513 | 1,993,650 | ||||||
|
Select Medical Holdings Corp. |
1,446,889 | 31,976,247 | ||||||
|
US Physical Therapy, Inc. |
99,626 | 7,573,568 | ||||||
|
|
|
|||||||
| 205,708,433 | ||||||||
| Health Care Technology — 0.7% | ||||||||
|
Allscripts Healthcare Solutions, Inc.(a) |
942,970 | 14,361,433 | ||||||
|
Computer Programs and Systems, Inc.(a)(b) |
206,585 | 5,759,590 | ||||||
|
HealthStream, Inc.(a) |
154,417 | 3,282,905 | ||||||
|
NextGen Healthcare, Inc.(a)(b) |
773,731 | 13,695,039 | ||||||
|
Simulations Plus, Inc.(b) |
88,871 | 4,313,798 | ||||||
|
|
|
|||||||
| 41,412,765 | ||||||||
| Hotels, Restaurants & Leisure — 2.2% | ||||||||
|
BJ’s Restaurants, Inc.(a) |
329,246 | 7,852,517 | ||||||
|
Bloomin’ Brands, Inc.(b) |
1,249,735 | 22,907,643 | ||||||
|
Brinker International, Inc.(a)(b) |
616,273 | 15,394,499 | ||||||
|
Cheesecake Factory, Inc. |
678,910 | 19,878,485 | ||||||
|
Chuy’s Holdings, Inc.(a)(b) |
264,018 | 6,119,937 | ||||||
|
Dave & Buster’s Entertainment, Inc.(a)(b) |
328,637 | 10,197,606 | ||||||
|
Dine Brands Global, Inc. |
101,186 | 6,431,382 | ||||||
|
El Pollo Loco Holdings, Inc.(a)(b) |
274,458 | 2,448,165 | ||||||
|
Golden Entertainment, Inc.(a)(b) |
101,775 | 3,550,930 | ||||||
|
Jack in the Box, Inc. |
91,925 | 6,808,885 | ||||||
|
Ruth’s Hospitality Group, Inc. |
432,376 | 7,289,859 | ||||||
|
Shake Shack, Inc., Class A(a)(b) |
235,619 | 10,598,143 | ||||||
|
Six Flags Entertainment Corp.(a) |
529,304 | 9,368,681 | ||||||
|
|
|
|||||||
| 128,846,732 | ||||||||
| Household Durables — 2.2% | ||||||||
|
Ethan Allen Interiors, Inc. |
320,225 | 6,769,557 | ||||||
|
Green Brick Partners, Inc.(a) |
201,869 | 4,315,959 | ||||||
|
iRobot Corp.(a)(b) |
171,411 | 9,655,582 | ||||||
|
La-Z-Boy, Inc. |
607,698 | 13,715,744 | ||||||
|
M/I Homes, Inc.(a) |
390,036 | 14,131,004 | ||||||
|
MDC Holdings, Inc. |
796,219 | 21,832,325 | ||||||
|
Meritage Homes Corp.(a)(b) |
272,518 | 19,149,840 | ||||||
|
Sonos, Inc.(a)(b) |
911,397 | 12,668,418 | ||||||
|
Tri Pointe Homes, Inc.(a) |
1,421,473 | 21,478,457 | ||||||
|
Tupperware Brands Corp.(a)(b) |
542,602 | 3,554,043 | ||||||
|
Universal Electronics, Inc.(a) |
168,670 | 3,317,739 | ||||||
|
|
|
|||||||
| 130,588,668 | ||||||||
| Household Products — 0.7% | ||||||||
|
Central Garden & Pet Co.(a)(b) |
136,971 | 4,936,435 | ||||||
|
Central Garden & Pet Co., Class A, NVS(a)(b) |
579,363 | 19,791,040 | ||||||
|
WD-40 Co.(b) |
80,426 | 14,134,065 | ||||||
|
|
|
|||||||
| 38,861,540 | ||||||||
| Insurance — 3.7% | ||||||||
|
Ambac Financial Group, Inc.(a) |
632,674 | 8,066,594 | ||||||
|
American Equity Investment Life Holding Co. |
995,375 | 37,117,534 | ||||||
|
AMERISAFE, Inc. |
269,711 | 12,603,595 | ||||||
|
Assured Guaranty Ltd. |
502,611 | 24,351,503 | ||||||
|
Employers Holdings, Inc. |
382,633 | 13,197,012 | ||||||
|
Genworth Financial, Inc., Class A(a) |
7,058,725 | 24,705,537 | ||||||
| 28 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Insurance (continued) | ||||||||
|
Horace Mann Educators Corp. |
573,102 | $ | 20,224,770 | |||||
|
James River Group Holdings Ltd. |
527,798 | 12,039,072 | ||||||
|
Mercury General Corp. |
373,370 | 10,611,175 | ||||||
|
ProAssurance Corp. |
756,200 | 14,753,462 | ||||||
|
Safety Insurance Group, Inc. |
203,539 | 16,600,641 | ||||||
|
Selectquote, Inc.(a)(b) |
862,000 | 629,260 | ||||||
|
SiriusPoint Ltd.(a) |
1,188,681 | 5,883,971 | ||||||
|
Stewart Information Services Corp. |
193,134 | 8,428,368 | ||||||
|
United Fire Group, Inc. |
301,721 | 8,668,444 | ||||||
|
Universal Insurance Holdings, Inc. |
387,827 | 3,820,096 | ||||||
|
|
|
|||||||
| 221,701,034 | ||||||||
| Interactive Media & Services — 0.5% | ||||||||
|
Cars.com, Inc.(a)(b) |
451,598 | 5,193,377 | ||||||
|
QuinStreet, Inc.(a)(b) |
723,900 | 7,600,950 | ||||||
|
Yelp, Inc.(a)(b) |
503,744 | 17,081,959 | ||||||
|
|
|
|||||||
| 29,876,286 | ||||||||
| Internet & Direct Marketing Retail — 0.1% | ||||||||
|
PetMed Express, Inc. |
294,478 | 5,748,211 | ||||||
|
|
|
|||||||
| IT Services — 0.4% | ||||||||
|
CSG Systems International, Inc. |
184,826 | 9,773,599 | ||||||
|
EVERTEC, Inc. |
305,920 | 9,590,592 | ||||||
|
Unisys Corp.(a) |
492,887 | 3,721,297 | ||||||
|
|
|
|||||||
| 23,085,488 | ||||||||
| Life Sciences Tools & Services — 0.1% | ||||||||
|
NeoGenomics, Inc.(a)(b) |
790,702 | 6,807,944 | ||||||
|
|
|
|||||||
| Machinery — 4.7% | ||||||||
|
Alamo Group, Inc. |
82,923 | 10,138,995 | ||||||
|
Albany International Corp., Class A(b) |
218,590 | 17,231,450 | ||||||
|
Astec Industries, Inc. |
320,870 | 10,007,935 | ||||||
|
Barnes Group, Inc. |
706,220 | 20,395,634 | ||||||
|
CIRCOR International, Inc.(a)(b) |
286,604 | 4,726,100 | ||||||
|
Enerpac Tool Group Corp. |
424,161 | 7,562,791 | ||||||
|
EnPro Industries, Inc.(b) |
291,250 | 24,750,425 | ||||||
|
ESCO Technologies, Inc. |
362,137 | 26,595,341 | ||||||
|
Federal Signal Corp.(b) |
329,843 | 12,309,741 | ||||||
|
Franklin Electric Co., Inc. |
180,301 | 14,732,395 | ||||||
|
Greenbrier Cos., Inc. |
457,573 | 11,105,297 | ||||||
|
Hillenbrand, Inc. |
449,098 | 16,490,878 | ||||||
|
John Bean Technologies Corp.(b) |
161,127 | 13,856,922 | ||||||
|
Lindsay Corp.(b) |
62,983 | 9,024,204 | ||||||
|
Proto Labs, Inc.(a) |
386,345 | 14,074,548 | ||||||
|
SPX Technologies, Inc.(a) |
366,523 | 20,239,400 | ||||||
|
Standex International Corp. |
87,057 | 7,108,204 | ||||||
|
Tennant Co. |
147,627 | 8,349,783 | ||||||
|
Titan International, Inc.(a)(b) |
711,851 | 8,641,871 | ||||||
|
Trinity Industries, Inc. |
575,922 | 12,295,935 | ||||||
|
Wabash National Corp. |
681,212 | 10,599,659 | ||||||
|
|
|
|||||||
| 280,237,508 | ||||||||
| Media — 0.5% | ||||||||
|
AMC Networks, Inc., Class A(a)(b) |
392,496 | 7,967,669 | ||||||
|
EW Scripps Co., Class A(a) |
438,807 | 4,945,355 | ||||||
|
Gannett Co., Inc.(a)(b) |
1,230,007 | 1,881,910 | ||||||
|
Scholastic Corp. |
424,709 | 13,064,049 | ||||||
|
|
|
|||||||
| 27,858,983 | ||||||||
| Metals & Mining — 2.6% | ||||||||
|
Arconic Corp.(a)(b) |
1,438,851 | 24,518,021 | ||||||
|
ATI, Inc.(a)(b) |
1,001,105 | 26,639,404 | ||||||
|
Carpenter Technology Corp. |
675,450 | 21,033,513 | ||||||
|
Century Aluminum Co.(a)(b) |
402,918 | 2,127,407 | ||||||
| Security | Shares | Value | ||||||
| Metals & Mining (continued) | ||||||||
|
Compass Minerals International, Inc.(b) |
480,257 | $ | 18,504,302 | |||||
|
Haynes International, Inc. |
75,184 | 2,640,462 | ||||||
|
Kaiser Aluminum Corp. |
222,046 | 13,622,522 | ||||||
|
Materion Corp. |
121,506 | 9,720,480 | ||||||
|
Olympic Steel, Inc. |
133,575 | 3,046,846 | ||||||
|
SunCoke Energy, Inc. |
1,163,290 | 6,758,715 | ||||||
|
TimkenSteel Corp.(a) |
575,640 | 8,628,844 | ||||||
|
Warrior Met Coal, Inc. |
722,194 | 20,539,197 | ||||||
|
|
|
|||||||
| 157,779,713 | ||||||||
| Mortgage Real Estate Investment Trusts (REITs) — 1.9% | ||||||||
|
Apollo Commercial Real Estate Finance, Inc. |
1,818,594 | 15,094,330 | ||||||
|
ARMOUR Residential REIT, Inc. |
1,608,460 | 7,833,200 | ||||||
|
Ellington Financial, Inc. |
446,722 | 5,079,229 | ||||||
|
Franklin BSP Realty Trust, Inc. |
1,169,948 | 12,600,340 | ||||||
|
Granite Point Mortgage Trust, Inc. |
734,430 | 4,729,729 | ||||||
|
Invesco Mortgage Capital, Inc. |
461,008 | 5,117,189 | ||||||
|
KKR Real Estate Finance Trust, Inc. |
497,923 | 8,091,249 | ||||||
|
New York Mortgage Trust, Inc. |
5,304,941 | 12,413,562 | ||||||
|
PennyMac Mortgage Investment Trust |
1,264,362 | 14,894,184 | ||||||
|
Ready Capital Corp. |
1,423,864 | 14,437,981 | ||||||
|
Two Harbors Investment Corp. |
4,815,624 | 15,987,872 | ||||||
|
|
|
|||||||
| 116,278,865 | ||||||||
| Multiline Retail — 0.1% | ||||||||
|
Big Lots, Inc. |
405,138 | 6,324,204 | ||||||
|
|
|
|||||||
| Multi-Utilities — 0.8% | ||||||||
|
Avista Corp. |
1,024,739 | 37,966,580 | ||||||
|
Unitil Corp. |
223,468 | 10,380,089 | ||||||
|
|
|
|||||||
| 48,346,669 | ||||||||
| Oil, Gas & Consumable Fuels — 2.7% | ||||||||
|
CONSOL Energy, Inc. |
459,229 | 29,537,609 | ||||||
|
Green Plains, Inc.(a)(b) |
761,890 | 22,148,142 | ||||||
|
Laredo Petroleum, Inc.(a)(b) |
79,198 | 4,977,594 | ||||||
|
Par Pacific Holdings, Inc.(a) |
777,427 | 12,757,577 | ||||||
|
PBF Energy, Inc., Class A(a)(b) |
1,504,727 | 52,906,202 | ||||||
|
REX American Resources Corp.(a)(b) |
218,988 | 6,114,145 | ||||||
|
Talos Energy, Inc.(a) |
916,570 | 15,260,891 | ||||||
|
World Fuel Services Corp. |
865,752 | 20,293,227 | ||||||
|
|
|
|||||||
| 163,995,387 | ||||||||
| Paper & Forest Products — 0.5% | ||||||||
|
Clearwater Paper Corp.(a) |
233,999 | 8,798,363 | ||||||
|
Mercer International, Inc. |
566,628 | 6,969,524 | ||||||
|
Sylvamo Corp. |
465,120 | 15,767,568 | ||||||
|
|
|
|||||||
| 31,535,455 | ||||||||
| Personal Products — 0.5% | ||||||||
|
Edgewell Personal Care Co.(b) |
725,963 | 27,151,016 | ||||||
|
USANA Health Sciences, Inc.(a)(b) |
51,554 | 2,889,602 | ||||||
|
|
|
|||||||
| 30,040,618 | ||||||||
| Pharmaceuticals — 1.1% | ||||||||
|
Amphastar Pharmaceuticals, Inc.(a)(b) |
173,074 | 4,863,379 | ||||||
|
ANI Pharmaceuticals, Inc.(a)(b) |
69,400 | 2,230,516 | ||||||
|
Corcept Therapeutics, Inc.(a)(b) |
522,091 | 13,386,413 | ||||||
|
Harmony Biosciences Holdings, Inc.(a)(b) |
182,649 | 8,089,524 | ||||||
|
Nektar Therapeutics(a)(b) |
1,446,114 | 4,627,565 | ||||||
|
Pacira BioSciences, Inc.(a)(b) |
249,439 | 13,267,661 | ||||||
|
Phibro Animal Health Corp., Class A |
281,257 | 3,737,906 | ||||||
|
Prestige Consumer Healthcare, Inc.(a)(b) |
328,723 | 16,380,267 | ||||||
|
|
|
|||||||
| 66,583,231 | ||||||||
| Professional Services — 0.4% | ||||||||
|
Kelly Services, Inc., Class A, NVS |
480,890 | 6,535,295 | ||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
29 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
| Professional Services (continued) | ||||||||
|
Resources Connection, Inc. |
441,158 | $ | 7,971,725 | |||||
|
TrueBlue, Inc.(a)(b) |
458,567 | 8,749,459 | ||||||
|
|
|
|||||||
| 23,256,479 | ||||||||
| Real Estate Management & Development — 0.4% | ||||||||
|
Anywhere Real Estate, Inc.(a)(b) |
1,606,497 | 13,028,691 | ||||||
|
Marcus & Millichap, Inc.(b) |
155,660 | 5,102,535 | ||||||
|
RE/MAX Holdings, Inc., Class A |
262,640 | 4,966,522 | ||||||
|
|
|
|||||||
| 23,097,748 | ||||||||
| Road & Rail — 0.4% | ||||||||
|
Heartland Express, Inc. |
648,878 | 9,285,444 | ||||||
|
Marten Transport Ltd. |
808,329 | 15,487,584 | ||||||
|
|
|
|||||||
| 24,773,028 | ||||||||
| Semiconductors & Semiconductor Equipment — 0.7% | ||||||||
|
Alpha & Omega Semiconductor Ltd.(a)(b) |
69,842 | 2,148,340 | ||||||
|
Cohu, Inc.(a) |
284,185 | 7,326,289 | ||||||
|
FormFactor, Inc.(a)(b) |
400,417 | 10,030,446 | ||||||
|
Ichor Holdings Ltd.(a)(b) |
174,290 | 4,219,561 | ||||||
|
PDF Solutions, Inc.(a)(b) |
150,496 | 3,691,667 | ||||||
|
Photronics, Inc.(a) |
860,411 | 12,579,209 | ||||||
|
SMART Global Holdings, Inc.(a)(b) |
273,956 | 4,347,681 | ||||||
|
|
|
|||||||
| 44,343,193 | ||||||||
| Software — 0.9% | ||||||||
|
Adeia, Inc. |
703,272 | 9,944,266 | ||||||
|
Agilysys, Inc.(a)(b) |
102,157 | 5,654,390 | ||||||
|
Cerence, Inc.(a)(b) |
264,016 | 4,158,252 | ||||||
|
Consensus Cloud Solutions, Inc.(a) |
247,767 | 11,719,379 | ||||||
|
Ebix, Inc.(b) |
329,514 | 6,250,880 | ||||||
|
InterDigital, Inc. |
199,709 | 8,072,238 | ||||||
|
LivePerson, Inc.(a)(b) |
370,815 | 3,493,077 | ||||||
|
OneSpan, Inc.(a) |
255,488 | 2,199,752 | ||||||
|
|
|
|||||||
| 51,492,234 | ||||||||
| Specialty Retail — 4.7% | ||||||||
|
Aaron’s Co., Inc. |
432,813 | 4,206,942 | ||||||
|
Abercrombie & Fitch Co., Class A(a)(b) |
374,106 | 5,817,348 | ||||||
|
Academy Sports & Outdoors, Inc.(b) |
488,052 | 20,586,033 | ||||||
|
American Eagle Outfitters, Inc. |
1,272,790 | 12,384,247 | ||||||
|
America’s Car-Mart, Inc.(a)(b) |
83,213 | 5,077,657 | ||||||
|
Asbury Automotive Group, Inc.(a)(b) |
170,423 | 25,750,915 | ||||||
|
Bed Bath & Beyond, Inc.(a)(b) |
975,852 | 5,942,939 | ||||||
|
Caleres, Inc.(b) |
515,900 | 12,495,098 | ||||||
|
Cato Corp., Class A |
226,968 | 2,165,275 | ||||||
|
Chico’s FAS, Inc.(a) |
1,757,865 | 8,508,067 | ||||||
|
Conn’s, Inc.(a) |
180,193 | 1,275,766 | ||||||
|
Designer Brands, Inc., Class A(b) |
791,266 | 12,114,282 | ||||||
|
Genesco, Inc.(a) |
95,077 | 3,738,428 | ||||||
|
Group 1 Automotive, Inc. |
221,242 | 31,608,844 | ||||||
|
Guess?, Inc. |
468,191 | 6,868,362 | ||||||
|
Haverty Furniture Cos., Inc. |
186,893 | 4,653,636 | ||||||
|
Leslie’s, Inc.(a)(b) |
937,471 | 13,790,198 | ||||||
|
LL Flooring Holdings, Inc.(a)(b) |
408,390 | 2,830,143 | ||||||
|
Monro, Inc. |
257,578 | 11,194,340 | ||||||
|
National Vision Holdings, Inc.(a)(b) |
606,447 | 19,800,495 | ||||||
|
ODP Corp.(a) |
598,244 | 21,028,277 | ||||||
|
Rent-A-Center, Inc. |
387,666 | 6,788,032 | ||||||
|
Sally Beauty Holdings, Inc.(a)(b) |
841,151 | 10,598,503 | ||||||
|
Sonic Automotive, Inc., Class A |
259,970 | 11,256,701 | ||||||
|
Urban Outfitters, Inc.(a)(b) |
840,434 | 16,514,528 | ||||||
|
Zumiez, Inc.(a)(b) |
218,404 | 4,702,238 | ||||||
|
|
|
|||||||
| 281,697,294 | ||||||||
| Security | Shares | Value | ||||||
| Technology Hardware, Storage & Peripherals — 0.1% | ||||||||
|
Avid Technology, Inc.(a)(b) |
98,083 | $ | 2,281,411 | |||||
|
Corsair Gaming, Inc.(a)(b) |
327,967 | 3,722,425 | ||||||
|
|
|
|||||||
| 6,003,836 | ||||||||
| Textiles, Apparel & Luxury Goods — 0.8% | ||||||||
|
G-III Apparel Group Ltd.(a)(b) |
606,304 | 9,064,245 | ||||||
|
Kontoor Brands, Inc. |
339,120 | 11,397,823 | ||||||
|
Oxford Industries, Inc. |
75,640 | 6,790,959 | ||||||
|
Steven Madden Ltd. |
343,410 | 9,158,745 | ||||||
|
Unifi, Inc.(a) |
178,598 | 1,698,467 | ||||||
|
Wolverine World Wide, Inc. |
596,590 | 9,181,520 | ||||||
|
|
|
|||||||
| 47,291,759 | ||||||||
| Thrifts & Mortgage Finance — 2.1% | ||||||||
|
Capitol Federal Financial, Inc. |
1,809,597 | 15,019,655 | ||||||
|
Mr Cooper Group, Inc.(a)(b) |
1,004,778 | 40,693,509 | ||||||
|
NMI Holdings, Inc., Class A(a) |
1,185,222 | 24,142,972 | ||||||
|
Northfield Bancorp, Inc. |
247,917 | 3,547,692 | ||||||
|
Provident Financial Services, Inc. |
567,841 | 11,072,900 | ||||||
|
TrustCo Bank Corp. |
270,032 | 8,484,405 | ||||||
|
WSFS Financial Corp. |
498,997 | 23,183,401 | ||||||
|
|
|
|||||||
| 126,144,534 | ||||||||
| Tobacco — 0.3% | ||||||||
|
Universal Corp. |
345,784 | 15,919,895 | ||||||
|
|
|
|||||||
| Trading Companies & Distributors — 1.7% | ||||||||
|
Applied Industrial Technologies, Inc. |
307,178 | 31,571,755 | ||||||
|
Boise Cascade Co. |
286,241 | 17,019,890 | ||||||
|
DXP Enterprises, Inc.(a)(b) |
222,113 | 5,259,636 | ||||||
|
GMS, Inc.(a) |
263,323 | 10,535,553 | ||||||
|
NOW, Inc.(a) |
1,557,663 | 15,654,513 | ||||||
|
Veritiv Corp.(a)(b) |
195,195 | 19,084,215 | ||||||
|
|
|
|||||||
| 99,125,562 | ||||||||
| Water Utilities — 0.6% | ||||||||
|
American States Water Co. |
176,535 | 13,760,903 | ||||||
|
California Water Service Group |
311,070 | 16,390,279 | ||||||
|
Middlesex Water Co. |
76,500 | 5,905,800 | ||||||
|
|
|
|||||||
| 36,056,982 | ||||||||
| Wireless Telecommunication Services — 0.6% | ||||||||
|
Gogo, Inc.(a) |
319,293 | 3,869,831 | ||||||
|
Shenandoah Telecommunications Co. |
701,744 | 11,943,683 | ||||||
|
Telephone & Data Systems, Inc. |
1,402,171 | 19,490,177 | ||||||
|
|
|
|||||||
| 35,303,691 | ||||||||
|
|
|
|||||||
|
Total
Long-Term Investments — 99.4% |
|
5,956,098,562 | ||||||
|
|
|
|||||||
| 30 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF (Percentages shown are based on Net Assets) |
| Security | Shares | Value | ||||||
|
|
||||||||
|
Short-Term Securities(d)(e) |
| |||||||
| Money Market Funds — 4.7% | ||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares, 3.18%(f) |
264,659,208 | $ | 264,738,606 | |||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.81% |
16,262,785 | 16,262,785 | ||||||
|
|
|
|||||||
|
Total
Short-Term Securities — 4.7% |
281,001,391 | |||||||
|
|
|
|||||||
|
Total
Investments — 104.1% |
6,237,099,953 | |||||||
|
Liabilities in Excess of Other Assets — (4.1)% |
|
(244,713,979 | ) | |||||
|
|
|
|||||||
|
Net Assets — 100.0% |
$ | 5,992,385,974 | ||||||
|
|
|
|||||||
| (a) |
Non-income producing security. |
| (b) |
All or a portion of this security is on loan. |
| (c) |
Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
| (d) |
Affiliate of the Fund. |
| (e) |
Annualized 7-day yield as of period end. |
| (f) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the six months ended September 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| Affiliated Issuer |
Value at 03/31/22 |
Purchases at Cost |
Proceeds from Sale |
Net Realized Gain (Loss) |
Change in Unrealized Appreciation (Depreciation) |
Value at 09/30/22 |
Shares Held at 09/30/22 |
Income |
Capital Gain Distributions from Underlying Funds |
|
||||||||||||||||||||||||||||||||
|
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 274,022,994 | $ | — | $ | (9,426,633 | )(a) | $ | (561 | ) | $ | 142,806 | $ | 264,738,606 | 264,659,208 | $ | 544,131 | (b) | $ | — | ||||||||||||||||||||||
|
BlackRock Cash Funds: Treasury, SL Agency Shares |
68,870,000 | — | (52,607,215 | )(a) | — | — | 16,262,785 | 16,262,785 | 702,038 | — | ||||||||||||||||||||||||||||||||
| $ | (561 | ) | $ | 142,806 | $ | 281,001,391 | $ | 1,246,169 | $ | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
| (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 |
||||||||||||||||
|
Russel 2000 E-Mini Index |
216 | 12/16/22 | $ | 21,958 | $ | (965,882 | ) | |||||||||
|
|
|
|||||||||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
31 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF |
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/Short |
Monthly | Goldman Sachs Bank USA(b) | 02/27/23 | $ | 10,427,057 | $ | (1,586,770 | )(c) | $ | 8,852,664 | 0.2 | % | ||||||||||||||||||||||||||||||||||||||||||||
| Monthly | HSBC Bank PLC(d) | 02/10/23 | 5,408,358 | (517,827 | )(e) | 4,902,589 | 0.1 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Monthly | JPMorgan Chase Bank NA(f) | 02/08/23 | 11,559,251 | (902,103 | )(g) | 10,677,498 | 0.2 | |||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||
| $ | (3,006,700 | ) | $ | 24,432,751 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||
| (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 $(12,377) of net dividends, payable for referenced securities purchased and financing fees. |
| (e) |
Amount includes $(12,058) of net dividends, payable for referenced securities purchased and financing fees. |
| (g) |
Amount includes $(20,350) 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) | ||||||
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 period end, termination date February 27, 2023.
|
|
||||||||||||
| Shares | Value |
|
% of Basket Value |
| ||||||||
|
|
||||||||||||
|
Reference Entity — Long |
||||||||||||
| Common Stocks | ||||||||||||
| Banks | ||||||||||||
|
City Holding Co. |
1,000 | $ | 88,690 | 1.0 | % | |||||||
|
|
|
|
|
|||||||||
| Commercial Services & Supplies | ||||||||||||
|
Pitney Bowes, Inc. |
44,239 | 103,077 | 1.2 | |||||||||
|
|
|
|
|
|||||||||
| Consumer Finance | ||||||||||||
|
Green Dot Corp., Class A |
24,813 | 470,951 | 5.3 | |||||||||
|
|
|
|
|
|||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||
|
Outfront Media, Inc. |
517,870 | 7,866,445 | 88.8 | |||||||||
|
|
|
|
|
|||||||||
| Insurance | ||||||||||||
|
Safety Insurance Group, Inc. |
3,017 | 246,067 | 2.8 | |||||||||
|
|
|
|
|
|||||||||
| Multi-Utilities | ||||||||||||
|
Avista Corp. |
2,090 | 77,434 | 0.9 | |||||||||
|
|
|
|
|
|||||||||
|
Net Value of Reference Entity — Goldman Sachs Bank USA |
$ | 8,852,664 | ||||||||||
|
|
|
|||||||||||
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 period end, termination date February 10, 2023.
|
|
||||||||||||
| Shares | Value | % of Basket Value |
||||||||||
|
|
||||||||||||
|
Reference Entity — Long |
||||||||||||
| Common Stocks | ||||||||||||
| Banks | ||||||||||||
|
Brookline Bancorp, Inc. |
2,252 | $ | 26,236 | 0.5 | % | |||||||
|
Central Pacific |
248 | 5,131 | 0.1 | |||||||||
|
OFG Bancorp |
4,498 | 113,035 | 2.3 | |||||||||
|
Southside Bancshares, Inc. |
759 | 26,838 | 0.6 | |||||||||
|
|
|
|
|
|||||||||
| 171,240 | ||||||||||||
| Commercial Services & Supplies | ||||||||||||
|
Pitney Bowes, Inc. |
187,562 | 437,020 | 8.9 | |||||||||
|
|
|
|
|
|||||||||
| Consumer Finance | ||||||||||||
|
Green Dot Corp., Class A |
139,479 | 2,647,311 | 54.0 | |||||||||
|
|
|
|
|
|||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||
|
Acadia Realty Trust |
4,911 | 61,977 | 1.3 | |||||||||
|
|
|
|
|
|||||||||
| Insurance | ||||||||||||
|
James River Group Holdings Ltd. |
3,000 | 68,430 | 1.4 | |||||||||
|
|
|
|
|
|||||||||
| Oil, Gas & Consumable Fuels | ||||||||||||
|
Green Plains, Inc. |
52,171 | 1,516,611 | 30.9 | |||||||||
|
|
|
|
|
|||||||||
|
Net
Value of Reference Entity — |
$ | 4,902,589 | ||||||||||
|
|
|
|||||||||||
| 32 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF |
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 period end, termination date February 8, 2023.
|
|
||||||||||||||||
| Shares | Value |
% of Basket Value |
||||||||||||||
|
|
||||||||||||||||
|
Reference Entity — Long |
||||||||||||||||
| Common Stocks | ||||||||||||||||
| Banks | ||||||||||||||||
|
Brookline Bancorp, Inc. |
2,252 | $ | 26,236 | 0.2 | % | |||||||||||
|
Central Pacific Financial Corp. |
248 | 5,131 | 0.1 | |||||||||||||
|
|
|
|
|
|||||||||||||
| 31,367 | ||||||||||||||||
| Consumer Finance | ||||||||||||||||
|
Green Dot Corp., Class A |
506,069 | 9,605,189 | 90.0 | |||||||||||||
|
|
|
|
|
|||||||||||||
|
|
||||||||||||||||
| Shares | Value |
% of Basket Value |
||||||||||||||
|
|
||||||||||||||||
| Equity Real Estate Investment Trusts (REITs) | ||||||||||||||||
|
Sunstone Hotel Investors, Inc. |
100,962 | $ | 951,062 | 8.9 | % | |||||||||||
|
|
|
|
|
|||||||||||||
| Thrifts & Mortgage Finance | ||||||||||||||||
|
TrustCo Bank Corp. |
2,000 | 62,840 | 0.6 | |||||||||||||
|
WSFS Financial Corp. |
582 | 27,040 | 0.2 | |||||||||||||
|
|
|
|
|
|||||||||||||
| 89,880 | ||||||||||||||||
|
|
|
|||||||||||||||
|
Net Value of Reference Entity — JPMorgan Chase Bank NA |
$ | 10,677,498 | ||||||||||||||
|
|
|
|||||||||||||||
Balances Reported in the Statements of Assets and Liabilities for OTC Swaps
|
|
||||||||||||||||
| Description |
Swap Premiums Paid |
Swap Premiums Received |
Unrealized Appreciation |
Unrealized Depreciation |
||||||||||||
|
|
||||||||||||||||
|
OTC Swaps |
$ | — | $ | — | $ | — | $ | (3,006,700 | ) | |||||||
|
|
||||||||||||||||
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
|
|
||||||||||||||||||||||||||||
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Liabilities — Derivative Financial Instruments |
||||||||||||||||||||||||||||
|
Futures contracts |
||||||||||||||||||||||||||||
|
Unrealized depreciation on futures contracts(a) |
$ | — | $ | — | $ | 965,882 | $ | — | $ | — | $ | — | $ | 965,882 | ||||||||||||||
|
Swaps — OTC |
||||||||||||||||||||||||||||
|
Unrealized depreciation on OTC swaps; Swap premiums received |
— | — | 3,006,700 | — | — | — | 3,006,700 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| $ | — | $ | — | $ | 3,972,582 | $ | — | $ | — | $ | — | $ | 3,972,582 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| (a) |
Net cumulative unrealized appreciation (depreciation) on futures contracts, if any, are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss). |
For the period ended September 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:
|
|
||||||||||||||||||||||||||||
| Commodity Contracts |
Credit Contracts |
Equity Contracts |
Foreign Currency Exchange Contracts |
Interest Rate Contracts |
Other Contracts |
Total | ||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Net Realized Gain (Loss) from |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (567,245 | ) | $ | — | $ | — | $ | — | $ | (567,245 | ) | ||||||||||||
|
Swaps |
— | — | (8,000,107 | ) | — | — | — | (8,000,107 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| $ | — | $ | — | $ | (8,567,352 | ) | $ | — | $ | — | $ | — | $ | (8,567,352 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
Net Change in Unrealized Appreciation (Depreciation) on |
||||||||||||||||||||||||||||
|
Futures contracts |
$ | — | $ | — | $ | (1,393,208 | ) | $ | — | $ | — | $ | — | $ | (1,393,208 | ) | ||||||||||||
|
Swaps |
— | — | (7,032,512 | ) | — | — | — | (7,032,512 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
| $ | — | $ | — | $ | (8,425,720 | ) | $ | — | $ | — | $ | — | $ | (8,425,720 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
S C H E D U L E S O F I N V E S T M E N T S |
33 |
|
Schedule of Investments (unaudited) (continued) September 30, 2022 |
iShares® S&P Small-Cap 600 Value ETF |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
Futures contracts |
||||
|
Average notional value of contracts — long |
$25,496,935 | |||
|
Total return swaps |
||||
|
Average notional amount |
$141,535,272 | |||
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 |
$ | — | $ | 161,745 | ||||
|
Swaps — OTC(a) |
— | 3,006,700 | ||||||
|
|
|
|
|
|||||
|
Total derivative assets and liabilities in the Statements of Assets and Liabilities |
$ | — | $ | 3,168,445 | ||||
|
|
|
|
|
|||||
|
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”) |
— | (161,745 | ) | |||||
|
|
|
|
|
|||||
|
Total derivative assets and liabilities subject to an MNA |
$ | — | $ | 3,006,700 | ||||
|
|
|
|
|
|||||
| (a) |
Includes unrealized appreciation (depreciation) on OTC swaps and swap premiums paid/received in the Statement of Assets and Liabilities. |
The following tables present the Fund’s derivative liabilities by counterparty net of amounts available for offset under an MNA and net of the related collateral received and pledged by the Fund:
|
|
||||||||||||||||||||
| Counterparty |
Derivative Liabilities Subject to an MNA by Counterparty |
Derivatives Available for Offset(a) |
Non- Cash Collateral Pledged(b) |
Cash Collateral Pledged(b) |
Net Amount of Derivative |
|||||||||||||||
|
|
||||||||||||||||||||
|
Goldman Sachs Bank USA |
$ | 1,586,770 | $ | — | $ | — | $ | (1,550,000 | ) | $ | 36,770 | |||||||||
|
HSBC Bank PLC |
517,827 | — | — | (517,827 | ) | — | ||||||||||||||
|
JPMorgan Chase Bank N.A. |
902,103 | — | — | (902,103 | ) | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| $ | 3,006,700 | $ | — | $ | — | $ | (2,969,930 | ) | $ | 36,770 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| (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) |
Excess of collateral received/pledged, if any, from the individual counterparty is not shown for financial reporting purposes. |
| (c) |
Net amount represents the net amount payable due to the counterparty in the event of default. |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
|
||||||||||||||||
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
|
||||||||||||||||
|
Assets |
||||||||||||||||
|
Investments |
||||||||||||||||
|
Long-Term Investments |
||||||||||||||||
|
Common Stocks |
$ | 5,956,098,560 | $ | — | $ | 2 | $ | 5,956,098,562 | ||||||||
|
Short-Term Securities |
||||||||||||||||
|
Money Market Funds |
281,001,391 | — | — | 281,001,391 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 6,237,099,951 | $ | — | $ | 2 | $ | 6,237,099,953 | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Derivative Financial Instruments(a) |
||||||||||||||||
|
Liabilities |
||||||||||||||||
|
Equity Contracts |
$ | (3,972,582 | ) | $ | — | $ | — | $ | (3,972,582 | ) | ||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
| 34 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Assets and Liabilities (unaudited)
September 30, 2022
|
iShares S&P 100 ETF |
iShares S&P 500 Growth ETF |
iShares S&P 500 Value ETF |
iShares S&P Small-Cap 600 Value ETF |
|||||||||||||
|
ASSETS |
||||||||||||||||
|
Investments, at value — unaffiliated(a)(b) |
$ | 7,108,261,750 | $ | 26,659,799,117 | $ | 21,262,572,338 | $ | 5,956,098,562 | ||||||||
|
Investments, at value — affiliated(c) |
60,248,556 | 417,314,718 | 322,132,279 | 281,001,391 | ||||||||||||
|
Cash |
2,684,210 | 6,647,214 | 11,083,278 | 1,652,284 | ||||||||||||
|
Cash pledged: |
||||||||||||||||
|
Collateral — OTC derivatives |
— | — | — | 5,490,000 | ||||||||||||
|
Futures contracts |
1,066,640 | 2,422,340 | 3,255,360 | 1,608,000 | ||||||||||||
|
Receivables: |
||||||||||||||||
|
Investments sold |
23,440,862 | 62,668,426 | 31,206,751 | — | ||||||||||||
|
Securities lending income — affiliated |
59,125 | 45,059 | 146,554 | 118,286 | ||||||||||||
|
Swaps |
— | — | — | 119,824 | ||||||||||||
|
Capital shares sold |
8,112,679 | — | 6,424,786 | 36,858,661 | ||||||||||||
|
Dividends — unaffiliated |
4,342,868 | 5,442,745 | 29,282,015 | 9,794,757 | ||||||||||||
|
Dividends — affiliated |
33,930 | 84,311 | 70,295 | 105,490 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Total assets |
7,208,250,620 | 27,154,423,930 | 21,666,173,656 | 6,292,847,255 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
LIABILITIES |
||||||||||||||||
|
Collateral on securities loaned |
19,744,759 | 306,569,990 | 249,728,696 | 264,677,091 | ||||||||||||
|
Payables: |
||||||||||||||||
|
Investments purchased |
23,473,862 | 14,943,497 | 69,159,919 | 23,053,953 | ||||||||||||
|
Swaps |
— | — | — | 4,418,272 | ||||||||||||
|
Capital shares redeemed |
8,112,679 | 46,260,161 | — | 4,152,370 | ||||||||||||
|
Investment advisory fees |
1,283,322 | 4,333,466 | 3,432,808 | 991,150 | ||||||||||||
|
Variation margin on futures contracts |
253,200 | 574,975 | 742,567 | 161,745 | ||||||||||||
|
Unrealized depreciation on OTC swaps |
— | — | — | 3,006,700 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Total liabilities |
52,867,822 | 372,682,089 | 323,063,990 | 300,461,281 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET ASSETS |
$ | 7,155,382,798 | $ | 26,781,741,841 | $ | 21,343,109,666 | $ | 5,992,385,974 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET ASSETS CONSIST OF: |
||||||||||||||||
|
Paid-in capital |
$ | 7,239,499,581 | $ | 23,077,508,232 | $ | 23,472,248,350 | $ | 7,956,165,339 | ||||||||
|
Accumulated earnings (loss) |
(84,116,783 | ) | 3,704,233,609 | (2,129,138,684 | ) | (1,963,779,365 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET ASSETS |
$ | 7,155,382,798 | $ | 26,781,741,841 | $ | 21,343,109,666 | $ | 5,992,385,974 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET ASSET VALUE |
||||||||||||||||
|
Shares outstanding |
$ | 44,100,000 | $ | 463,150,000 | $ | 166,100,000 | $ | 72,700,000 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net asset value |
$ | 162.25 | $ | 57.83 | $ | 128.50 | $ | 82.43 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Shares authorized |
Unlimited | Unlimited | Unlimited | Unlimited | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Par value |
None | None | None | None | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
(a) Investments, at cost — unaffiliated |
$ | 7,028,806,843 | $ | 23,582,805,320 | $ | 22,692,113,152 | $ | 7,463,873,606 | ||||||||
|
(b) Securities loaned, at value |
$ | 18,857,677 | $ | 294,820,914 | $ | 236,826,658 | $ | 254,706,043 | ||||||||
|
(c) Investments, at cost — affiliated |
$ | 62,921,452 | $ | 422,792,312 | $ | 334,647,747 | $ | 280,848,331 | ||||||||
See notes to financial statements.
|
F I N A N C I A L S T A T E M E N T S |
35 |
Statement of Operations (unaudited)
Six Months Ended September 30, 2022
|
iShares S&P 100 ETF |
iShares S&P 500 Growth ETF |
iShares S&P 500 Value ETF |
iShares S&P Small-Cap |
|||||||||||||
|
INVESTMENT INCOME |
||||||||||||||||
|
Dividends — unaffiliated |
$ | 63,305,582 | $ | 149,235,080 | $ | 280,688,823 | $ | 74,905,843 | ||||||||
|
Dividends — affiliated |
614,560 | 1,597,796 | 1,186,528 | 702,038 | ||||||||||||
|
Securities lending income — affiliated — net |
96,480 | 191,951 | 282,117 | 544,131 | ||||||||||||
|
Foreign taxes withheld |
— | (77,227 | ) | (34,092 | ) | (13,231 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Total investment income |
64,016,622 | 150,947,600 | 282,123,376 | 76,138,781 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
EXPENSES |
||||||||||||||||
|
Investment advisory |
8,016,756 | 27,756,224 | 21,885,301 | 6,911,990 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Total expenses |
8,016,756 | 27,756,224 | 21,885,301 | 6,911,990 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net investment income |
55,999,866 | 123,191,376 | 260,238,075 | 69,226,791 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||
|
Net realized gain (loss) from: |
||||||||||||||||
|
Investments — unaffiliated |
(46,955,802 | ) | (148,018,158 | ) | (134,939,251 | ) | (228,395,506 | ) | ||||||||
|
Investments — affiliated |
616,426 | 2,345,393 | 2,786,902 | (561 | ) | |||||||||||
|
Futures contracts |
(962,171 | ) | 86,149 | (9,010,111 | ) | (567,245 | ) | |||||||||
|
In-kind redemptions — unaffiliated |
205,284,469 | 1,789,142,192 | 699,954,139 | 374,761,093 | ||||||||||||
|
In-kind redemptions — affiliated |
691,312 | 2,466,593 | 2,934,595 | — | ||||||||||||
|
Swaps |
— | — | — | (8,000,107 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 158,674,234 | 1,646,022,169 | 561,726,274 | 137,797,674 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
|
Investments — unaffiliated |
(2,143,294,492 | ) | (10,293,546,983 | ) | (5,055,372,600 | ) | (1,713,701,716 | ) | ||||||||
|
Investments — affiliated |
(11,634,112 | ) | (32,244,367 | ) | (23,008,243 | ) | 142,806 | |||||||||
|
Futures contracts |
(2,953,922 | ) | (7,370,510 | ) | (7,206,552 | ) | (1,393,208 | ) | ||||||||
|
Swaps |
— | — | — | (7,032,512 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (2,157,882,526 | ) | (10,333,161,860 | ) | (5,085,587,395 | ) | (1,721,984,630 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
Net realized and unrealized loss |
(1,999,208,292 | ) | (8,687,139,691 | ) | (4,523,861,121 | ) | (1,584,186,956 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS |
$ | (1,943,208,426 | ) | $ | (8,563,948,315 | ) | $ | (4,263,623,046 | ) | $ | (1,514,960,165 | ) | ||||
|
|
|
|
|
|
|
|
|
|||||||||
See notes to financial statements.
| 36 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Changes in Net Assets
| iShares S&P 100 ETF | iShares S&P 500 Growth ETF | |||||||||||||||||
|
|
|
|
|
|||||||||||||||
|
Six Months Ended 09/30/22 (unaudited) |
Year Ended 03/31/22 |
Six Months Ended 09/30/22 (unaudited) |
Year Ended 03/31/22 |
|||||||||||||||
|
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||||
|
OPERATIONS |
||||||||||||||||||
|
Net investment income |
$ | 55,999,866 | $ | 98,468,954 | $ | 123,191,376 | $ | 196,796,622 | ||||||||||
|
Net realized gain |
158,674,234 | 462,070,579 | 1,646,022,169 | 3,911,096,585 | ||||||||||||||
|
Net change in unrealized appreciation (depreciation) |
(2,157,882,526 | ) | 623,310,831 | (10,333,161,860 | ) | 1,270,127,992 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
Net increase (decrease) in net assets resulting from operations |
(1,943,208,426 | ) | 1,183,850,364 | (8,563,948,315 | ) | 5,378,021,199 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||||
|
Decrease in net assets resulting from distributions to shareholders |
(56,432,892 | ) | (96,979,731 | ) | (119,889,643 | ) | (197,299,111 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||
|
Net increase (decrease) in net assets derived from capital share transactions |
377,575,819 | 713,344,619 | (1,292,832,197 | ) | 402,934,188 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
NET ASSETS |
||||||||||||||||||
|
Total increase (decrease) in net assets |
(1,622,065,499 | ) | 1,800,215,252 | (9,976,670,155 | ) | 5,583,656,276 | ||||||||||||
|
Beginning of period |
8,777,448,297 | 6,977,233,045 | 36,758,411,996 | 31,174,755,720 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
End of period |
$ | 7,155,382,798 | $ | 8,777,448,297 | $ | 26,781,741,841 | $ | 36,758,411,996 | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| (a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
|
F I N A N C I A L S T A T E M E N T S |
37 |
Statements of Changes in Net Assets (continued)
| iShares S&P 500 Value ETF | iShares S&P Small-Cap 600 Value ETF | |||||||||||||||||
|
|
|
|
|
|||||||||||||||
|
Six Months Ended 09/30/22 (unaudited) |
Year Ended 03/31/22 |
Six Months Ended 09/30/22 (unaudited) |
Year Ended 03/31/22 |
|||||||||||||||
|
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||||
|
OPERATIONS |
||||||||||||||||||
|
Net investment income |
$ | 260,238,075 | $ | 444,658,089 | $ | 69,226,791 | $ | 93,472,980 | ||||||||||
|
Net realized gain |
561,726,274 | 1,639,867,069 | 137,797,674 | 1,376,936,932 | ||||||||||||||
|
Net change in unrealized appreciation (depreciation) |
(5,085,587,395 | ) | 559,126,265 | (1,721,984,630 | ) | (1,236,361,719 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
Net increase (decrease) in net assets resulting from operations |
(4,263,623,046 | ) | 2,643,651,423 | (1,514,960,165 | ) | 234,048,193 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||||
|
Decrease in net assets resulting from distributions to shareholders |
(250,481,711 | ) | (441,547,200 | ) | (62,692,391 | ) | (131,583,294 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||
|
Net increase (decrease) in net assets derived from capital share transactions |
(29,140,582 | ) | 2,259,799,358 | (979,231,155 | ) | (359,336,301 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
NET ASSETS |
||||||||||||||||||
|
Total increase (decrease) in net assets |
(4,543,245,339 | ) | 4,461,903,581 | (2,556,883,711 | ) | (256,871,402 | ) | |||||||||||
|
Beginning of period |
25,886,355,005 | 21,424,451,424 | 8,549,269,685 | 8,806,141,087 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
|
End of period |
$ | 21,343,109,666 | $ | 25,886,355,005 | $ | 5,992,385,974 | $ | 8,549,269,685 | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| (a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
| 38 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
(For a share outstanding throughout each period)
| iShares S&P 100 ETF | ||||||||||||||||||||||||
|
Six Months Ended 09/30/22 |
Year Ended 03/31/22 |
Year Ended 03/31/21 |
Year Ended 03/31/20 |
Year Ended 03/31/19 |
Year Ended 03/31/18 |
|||||||||||||||||||
|
Net asset value, beginning of period |
$ | 208.24 | $ | 179.83 | $ | 118.50 | $ | 125.31 | $ | 115.89 | $ | 104.70 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income(a) |
1.29 | 2.41 | 2.37 | 2.48 | 2.35 | 2.17 | ||||||||||||||||||
|
Net realized and unrealized gain (loss)(b) |
(45.99 | ) | 28.36 | 61.39 | (6.58 | ) | 9.45 | 11.20 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net increase (decrease) from investment operations |
(44.70 | ) | 30.77 | 63.76 | (4.10 | ) | 11.80 | 13.37 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Distributions from net investment income(c) |
(1.29 | ) | (2.36 | ) | (2.43 | ) | (2.71 | ) | (2.38 | ) | (2.18 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net asset value, end of period |
$ | 162.25 | $ | 208.24 | $ | 179.83 | $ | 118.50 | $ | 125.31 | $ | 115.89 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Total Return(d) |
||||||||||||||||||||||||
|
Based on net asset value |
(21.50 | )%(e) | 17.14 | % | 54.11 | % | (3.42 | )% | 10.25 | % | 12.85 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Ratios to Average Net Assets(f) |
||||||||||||||||||||||||
|
Total expenses |
0.20 | %(g) | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income |
1.40 | %(g) | 1.19 | % | 1.52 | % | 1.86 | % | 1.94 | % | 1.92 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Supplemental Data |
||||||||||||||||||||||||
|
Net assets, end of period (000) |
$ | 7,155,383 | $ | 8,777,448 | $ | 6,977,233 | $ | 4,852,686 | $ | 4,824,336 | $ | 5,024,007 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Portfolio turnover rate(h) |
2 | % | 2 | % | 8 | % | 4 | % | 7 | % | 4 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| (a) |
Based on average shares outstanding. |
| (b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (d) |
Where applicable, assumes the reinvestment of distributions. |
| (e) |
Not annualized. |
| (f) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
| (g) |
Annualized. |
| (h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
|
F I N A N C I A L H I G H L I G H T S |
39 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| iShares S&P 500 Growth ETF | ||||||||||||||||||||||||
| |
Six Months Ended 09/30/22 (unaudited |
) |
|
Year Ended 03/31/22 |
|
|
Year Ended 03/31/21 |
(a) |
|
Year Ended 03/31/20 |
(a) |
|
Year Ended 03/31/19 |
(a) |
|
Year Ended 03/31/18 |
(a) | |||||||
|
Net asset value, beginning of period |
$ | 76.34 | $ | 65.08 | $ | 41.25 | $ | 43.10 | $ | 38.76 | $ | 32.90 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income(b) |
0.26 | 0.41 | 0.47 | 0.60 | 0.52 | 0.50 | ||||||||||||||||||
|
Net realized and unrealized gain (loss)(c) |
(18.51 | ) | 11.27 | 23.85 | (1.68 | ) | 4.33 | 5.87 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net increase (decrease) from investment operations |
(18.25 | ) | 11.68 | 24.32 | (1.08 | ) | 4.85 | 6.37 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Distributions from net investment income(d) |
(0.26 | ) | (0.42 | ) | (0.49 | ) | (0.77 | ) | (0.51 | ) | (0.51 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net asset value, end of period |
$ | 57.83 | $ | 76.34 | $ | 65.08 | $ | 41.25 | $ | 43.10 | $ | 38.76 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Total Return(e) |
||||||||||||||||||||||||
|
Based on net asset value |
(23.93 | )%(f) | 17.94 | % | 59.13 | % | (2.65 | )% | 12.59 | % | 19.45 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Ratios to Average Net Assets(g) |
||||||||||||||||||||||||
|
Total expenses |
0.18 | %(h) | 0.18 | % | 0.18 | % | 0.18 | % | 0.18 | % | 0.18 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income |
0.80 | %(h) | 0.55 | % | 0.82 | % | 1.30 | % | 1.27 | % | 1.36 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Supplemental Data |
||||||||||||||||||||||||
|
Net assets, end of period (000) |
$ | 26,781,742 | $ | 36,758,412 | $ | 31,174,756 | $ | 22,307,379 | $ | 22,550,900 | $ | 20,022,095 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Portfolio turnover rate(i) |
1 | % | 14 | % | 13 | % | 27 | % | 27 | % | 21 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| (a) |
Per share amounts reflect a four-for-one stock split effective after the close of trading on October 16, 2020. |
| (b) |
Based on average shares outstanding. |
| (c) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (d) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (e) |
Where applicable, assumes the reinvestment of distributions. |
| (f) |
Not annualized. |
| (g) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
| (h) |
Annualized. |
| (i) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
| 40 |
2 0 2 2 B L A C K R O C K 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 S&P 500 Value ETF | ||||||||||||||||||||||||
|
Six Months Ended 09/30/22 (unaudited) |
Year Ended 03/31/22 |
Year Ended 03/31/21 |
Year Ended 03/31/20 |
Year Ended 03/31/19 |
Year Ended 03/31/18 |
|||||||||||||||||||
|
Net asset value, beginning of period |
$ | 155.61 | $ | 141.09 | $ | 96.29 | $ | 112.76 | $ | 109.32 | $ | 104.03 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income(a) |
1.55 | 2.89 | 2.83 | 2.86 | 2.69 | 2.53 | ||||||||||||||||||
|
Net realized and unrealized gain (loss)(b) |
(27.16 | ) | 14.48 | 44.86 | (16.41 | ) | 3.53 | 5.26 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net increase (decrease) from investment operations |
(25.61 | ) | 17.37 | 47.69 | (13.55 | ) | 6.22 | 7.79 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Distributions from net investment income(c) |
(1.50 | ) | (2.85 | ) | (2.89 | ) | (2.92 | ) | (2.78 | ) | (2.50 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net asset value, end of period |
$ | 128.50 | $ | 155.61 | $ | 141.09 | $ | 96.29 | $ | 112.76 | $ | 109.32 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Total Return(d) |
||||||||||||||||||||||||
|
Based on net asset value |
(16.51 | )%(e) | 12.39 | % | 50.10 | % | (12.34 | )% | 5.79 | % | 7.53 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Ratios to Average Net Assets(f) |
||||||||||||||||||||||||
|
Total expenses |
0.18 | %(g) | 0.18 | % | 0.18 | % | 0.18 | % | 0.18 | % | 0.18 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income |
2.14 | %(g) | 1.92 | % | 2.39 | % | 2.40 | % | 2.43 | % | 2.33 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Supplemental Data |
||||||||||||||||||||||||
|
Net assets, end of period (000) |
$ | 21,343,110 | $ | 25,886,355 | $ | 21,424,451 | $ | 14,187,829 | $ | 15,234,432 | $ | 14,638,372 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Portfolio turnover rate(h) |
2 | % | 18 | % | 26 | % | 32 | % | 31 | % | 23 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| (a) |
Based on average shares outstanding. |
| (b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
| (c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (d) |
Where applicable, assumes the reinvestment of distributions. |
| (e) |
Not annualized. |
| (f) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
| (g) |
Annualized. |
| (h) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
|
F I N A N C I A L H I G H L I G H T S |
41 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| iShares S&P Small-Cap 600 Value ETF | ||||||||||||||||||||||||
| |
Six Months Ended 09/30/22 (unaudited |
) |
|
Year Ended 03/31/22 |
|
|
Year Ended 03/31/21 |
(a) |
|
Year Ended 03/31/20 |
(a) |
|
Year Ended 03/31/19 |
(a) |
|
Year Ended 03/31/18 |
(a) | |||||||
|
Net asset value, beginning of period |
$ | 102.39 | $ | 100.53 | $ | 50.14 | $ | 73.81 | $ | 75.49 | $ | 69.36 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income(b) |
0.85 | 1.07 | 1.12 | 1.10 | 1.20 | 1.03 | ||||||||||||||||||
|
Net realized and unrealized gain (loss)(c) |
(20.02 | ) | 2.32 | 50.16 | (23.45 | ) | (1.71 | ) | 6.14 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net increase (decrease) from investment operations |
(19.17 | ) | 3.39 | 51.28 | (22.35 | ) | (0.51 | ) | 7.17 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Distributions from net investment income(d) |
(0.79 | ) | (1.53 | ) | (0.89 | ) | (1.32 | ) | (1.17 | ) | (1.04 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net asset value, end of period |
$ | 82.43 | $ | 102.39 | $ | 100.53 | $ | 50.14 | $ | 73.81 | $ | 75.49 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Total Return(e) |
||||||||||||||||||||||||
|
Based on net asset value |
(18.76 | )%(f) | 3.38 | % | 103.08 | %(g) | (30.75 | )% | (0.71 | )% | 10.38 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Ratios to Average Net Assets(h) |
||||||||||||||||||||||||
|
Total expenses |
0.18 | %(i) | 0.18 | % | 0.21 | % | 0.25 | % | 0.25 | % | 0.25 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Net investment income |
1.80 | %(i) | 1.04 | % | 1.56 | % | 1.48 | % | 1.54 | % | 1.41 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Supplemental Data |
||||||||||||||||||||||||
|
Net assets, end of period (000) |
$ | 5,992,386 | $ | 8,549,270 | $ | 8,806,141 | $ | 4,120,917 | $ | 6,155,204 | $ | 5,163,592 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Portfolio turnover rate(j) |
15 | % | 42 | % | 52 | % | 53 | % | 38 | % | 39 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| (a) |
Per share amounts reflect a two-for-one stock split effective after the close of trading on October 16, 2020. |
| (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) |
Includes a payment received from an affiliate, which had no impact on the Fund’s total return. |
| (h) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
| (i) |
Annualized. |
| (j) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
| 42 |
2 0 2 2 B L A C K R O C K 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)
| 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 | |
|
S&P 100 |
Diversified | |
|
S&P 500 Growth |
Diversified | |
|
S&P 500 Value |
Diversified | |
|
S&P Small-Cap 600 Value |
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. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Funds are informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.
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 jurisdiction 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, 2022, if any, are disclosed in the Statements of Assets and Liabilities.
The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.
Collateralization: If required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments.
In-kind Redemptions: For financial reporting purposes, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or net asset value (“NAV”) per share.
Distributions: Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds. 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. The Board of Trustees of the Trust (the “Board”) of each Fund has approved the designation of BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, as the valuation designee for each Fund. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under BFA’s policies. If a security’s market price is not readily available or does not otherwise
|
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)
accurately represent the fair value of the security, the security will be valued in accordance with BFA’s policies and procedures as reflecting fair value. BFA has formed a committee (the “Valuation Committee”) to develop pricing policies and procedures and to oversee the pricing function for all financial instruments, with assistance from other BlackRock pricing committees.
Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:
| • |
Equity investments traded on a recognized securities exchange are valued at that day’s official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price. |
| • |
Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV. |
| • |
Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded. |
| • |
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 Valuation Committee, in accordance with BFA’s policies and procedures as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Valuation Committee seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Valuation Committee deems relevant and consistent with the principles of fair value measurement.
Fair value pricing could result in a difference between the prices used to calculate a fund’s NAV and the prices used by the fund’s underlying index, which in turn could result in a difference between the fund’s performance and the performance of the fund’s underlying index.
Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:
| • |
Level 1 – Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access; |
| • |
Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market–corroborated inputs); and |
| • |
Level 3 – Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Valuation Committee’s assumptions used in determining the fair value of financial instruments). |
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.
| 4. |
SECURITIES AND OTHER INVESTMENTS |
Securities Lending: Each Fund may lend its securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.
As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BFA or its affiliates is disclosed in the Schedule of Investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.
Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left with a net amount payable to the defaulting party. However, bankruptcy
| 44 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
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 | |
Securities Loaned at Value |
|
|
Cash Collateral Received |
(a) |
|
Non-Cash Collateral Received, at Fair Value |
(a) |
|
Net Amount |
(b) | ||||
|
S&P 100 |
||||||||||||||||
|
BNP Paribas SA |
$ | 9,298,626 | $ | (9,298,626 | ) | $ | — | $ | — | |||||||
|
HSBC Bank PLC |
2,825,092 | (2,825,092 | ) | — | — | |||||||||||
|
UBS AG |
6,733,959 | (6,733,959 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 18,857,677 | $ | (18,857,677 | ) | $ | — | $ | — | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
S&P 500 Growth |
||||||||||||||||
|
Barclays Bank PLC |
$ | 87,671,835 | $ | (87,671,835 | ) | $ | — | $ | — | |||||||
|
BNP Paribas SA |
57,829,258 | (57,829,258 | ) | — | — | |||||||||||
|
BofA Securities, Inc. |
25,980,782 | (25,980,782 | ) | — | — | |||||||||||
|
Citigroup Global Markets, Inc. |
20,909,299 | (20,909,299 | ) | — | — | |||||||||||
|
Credit Suisse Securities (USA) LLC |
131,208 | (131,208 | ) | — | — | |||||||||||
|
Goldman Sachs & Co. LLC |
19,062,695 | (19,062,695 | ) | — | — | |||||||||||
|
J.P. Morgan Securities LLC |
10,230,235 | (10,230,235 | ) | — | — | |||||||||||
|
Jefferies LLC |
784,728 | (784,728 | ) | — | — | |||||||||||
|
Morgan Stanley |
5,827,850 | (5,815,091 | ) | — | 12,759 | |||||||||||
|
RBC Capital Market LLC |
354,431 | (354,431 | ) | — | — | |||||||||||
|
Scotia Capital (USA), Inc. |
18,696,799 | (18,696,799 | ) | — | — | |||||||||||
|
SG Americas Securities LLC |
5,071,670 | (5,071,670 | ) | — | — | |||||||||||
|
Toronto-Dominion Bank |
27,919,549 | (27,919,549 | ) | — | — | |||||||||||
|
UBS AG |
9,301,591 | (9,301,591 | ) | — | — | |||||||||||
|
UBS Securities LLC |
614,747 | (614,747 | ) | — | — | |||||||||||
|
Virtu Americas LLC |
4,434,237 | (4,434,237 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 294,820,914 | $ | (294,808,155 | ) | $ | — | $ | 12,759 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
S&P 500 Value |
||||||||||||||||
|
Barclays Bank PLC |
$ | 20,685,426 | $ | (20,685,426 | ) | $ | — | $ | — | |||||||
|
Barclays Capital, Inc. |
4,635 | (4,635 | ) | — | — | |||||||||||
|
BNP Paribas SA |
34,715,198 | (34,715,198 | ) | — | — | |||||||||||
|
BofA Securities, Inc. |
11,190,386 | (11,190,386 | ) | — | — | |||||||||||
|
Citigroup Global Markets, Inc. |
8,167,240 | (8,167,240 | ) | — | — | |||||||||||
|
Goldman Sachs & Co. LLC |
14,687,348 | (14,687,348 | ) | — | — | |||||||||||
|
HSBC Bank PLC |
15,735,969 | (15,735,969 | ) | — | — | |||||||||||
|
J.P. Morgan Securities LLC |
74,503,952 | (74,503,952 | ) | — | — | |||||||||||
|
Jefferies LLC |
801,265 | (801,265 | ) | — | — | |||||||||||
|
Scotia Capital (USA), Inc. |
409,167 | (409,167 | ) | — | — | |||||||||||
|
SG Americas Securities LLC |
2,785,807 | (2,785,807 | ) | — | — | |||||||||||
|
Toronto-Dominion Bank |
36,721,669 | (36,721,669 | ) | — | — | |||||||||||
|
UBS AG |
15,827,609 | (15,827,609 | ) | — | — | |||||||||||
|
Wells Fargo Bank N.A. |
590,987 | (590,987 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 236,826,658 | $ | (236,826,658 | ) | $ | — | $ | — | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
S&P Small-Cap 600 Value |
||||||||||||||||
|
Barclays Bank PLC |
$ | 682,717 | $ | (682,717 | ) | $ | — | $ | — | |||||||
|
Barclays Capital, Inc. |
4,811,004 | (4,811,004 | ) | — | — | |||||||||||
|
BNP Paribas SA |
60,651,944 | (60,651,944 | ) | — | — | |||||||||||
|
BofA Securities, Inc. |
19,941,762 | (19,941,762 | ) | — | — | |||||||||||
|
Citadel Clearing LLC |
1,571,425 | (1,571,425 | ) | — | — | |||||||||||
|
Citigroup Global Markets, Inc. |
6,234,305 | (6,234,305 | ) | — | — | |||||||||||
|
Credit Suisse Securities (USA) LLC |
1 | (1 | ) | — | — | |||||||||||
|
Goldman Sachs & Co. LLC |
46,725,982 | (46,725,982 | ) | — | — | |||||||||||
|
HSBC Bank PLC |
2,867,996 | (2,702,895 | ) | — | 165,101 | |||||||||||
|
J.P. Morgan Securities LLC |
39,807,712 | (39,807,712 | ) | — | — | |||||||||||
|
Jefferies LLC |
2,646,360 | (2,646,360 | ) | — | — | |||||||||||
|
Morgan Stanley |
29,181,111 | (29,181,111 | ) | — | — | |||||||||||
|
National Financial Services LLC |
4,488,453 | (4,488,453 | ) | — | — | |||||||||||
|
Natixis SA |
335,388 | (335,388 | ) | — | — | |||||||||||
|
Scotia Capital (USA), Inc. |
10,864,156 | (10,864,156 | ) | — | — | |||||||||||
|
SG Americas Securities LLC |
85,860 | (85,860 | ) | — | — | |||||||||||
|
State Street Bank & Trust Co. |
795,983 | (785,551 | ) | — | 10,432 | |||||||||||
|
Toronto-Dominion Bank |
7,510,118 | (7,464,185 | ) | — | 45,933 | |||||||||||
|
UBS AG |
9,751,136 | (9,751,136 | ) | — | — | |||||||||||
|
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 |
Notes to Financial Statements (unaudited) (continued)
| iShares ETF and Counterparty | |
Securities Loaned at Value |
|
|
Cash Collateral Received |
(a) |
|
Non-Cash Collateral Received, at Fair Value |
(a) |
|
Net Amount |
(b) | ||||
|
S&P Small-Cap 600 Value (continued) |
||||||||||||||||
|
UBS Securities LLC |
$ | 1,205,272 | $ | (1,205,272 | ) | $ | — | $ | — | |||||||
|
Virtu Americas LLC |
88,166 | (88,166 | ) | — | — | |||||||||||
|
Wells Fargo Bank N.A. |
1,758,582 | (1,758,582 | ) | — | — | |||||||||||
|
Wells Fargo Securities LLC |
2,700,610 | (2,700,610 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| $ | 254,706,043 | $ | (254,484,577 | ) | $ | — | $ | 221,466 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| (a) |
Collateral received, if any, in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Funds’ Statements of Assets and Liabilities. |
| (b) |
The market value of the loaned securities is determined as of September 30, 2022. Additional collateral is delivered to the Master Portfolio on the next business day in accordance with the MSLA. The net amount would be subject to the borrower default indemnity in the event of default by the counterparty. |
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 to 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 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 S&P Small-Cap 600 Value 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 of 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.
| 46 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
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 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 the 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).
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 Fees | |||
|
S&P 100 |
0.20 | % | ||
|
S&P 500 Growth |
0.18 | |||
|
S&P 500 Value |
0.18 | |||
|
S&P Small-Cap 600 Value |
0.18 | |||
Distributor: BlackRock Investments, LLC (“BRIL”), an affiliate of BFA, is the distributor for each Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Funds.
ETF Servicing Fees: Each Fund has entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. The Funds do not pay BRIL for ETF Services.
Prior to April 25, 2022, ETF Services were performed by State Street Bank and Trust Company.
Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. However, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04%. The SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.
|
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 |
47 |
Notes to Financial Statements (unaudited) (continued)
Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.
Pursuant to the current securities lending agreement, each Fund retains 81% of securities lending income (which excludes collateral investment fees) and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act iShares exchange-traded funds (the “iShares ETF Complex”) in that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.
The share of securities lending income earned by each Fund is shown as securities lending income - affiliated - net in its Statements of Operations. For the six months ended September 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:
|
|
||||
| iShares ETF | Amounts | |||
|
|
||||
|
S&P 100 |
$ | 29,359 | ||
|
S&P 500 Growth |
81,044 | |||
|
S&P 500 Value |
99,056 | |||
|
S&P Small-Cap 600 Value |
191,790 | |||
|
|
||||
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, 2022, 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) |
|||||||||
|
|
||||||||||||
|
S&P 100 |
$ | 21,279,687 | $ | 20,643,477 | $ | (4,914,348 | ) | |||||
|
S&P 500 Growth |
117,016,381 | 44,733,062 | (21,803,460 | ) | ||||||||
|
S&P 500 Value |
152,403,363 | 80,096,809 | (33,160,481 | ) | ||||||||
|
S&P Small-Cap 600 Value |
159,946,655 | 92,390,632 | (5,272,757 | ) | ||||||||
|
|
||||||||||||
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.
| 7. |
PURCHASES AND SALES |
For the six months ended Septemeber 30, 2022, purchases and sales of investments, excluding short-term securities and in-kind transactions, were as follows:
|
|
||||||||
| iShares ETF | Purchases | Sales | ||||||
|
|
||||||||
|
S&P 100 |
$ | 156,796,646 | $ | 155,420,765 | ||||
|
S&P 500 Growth |
414,441,571 | 411,150,748 | ||||||
|
S&P 500 Value |
589,110,777 | 554,936,977 | ||||||
|
S&P Small-Cap 600 Value |
1,182,375,619 | 1,156,400,685 | ||||||
|
|
||||||||
For the six months ended September 30, 2022, in-kind transactions were as follows:
|
|
||||||||
| iShares ETF | In-kind Purchases |
In-kind Sales | ||||||
|
|
||||||||
|
S&P 100 |
$ | 966,271,349 | $ | 591,072,100 | ||||
|
S&P 500 Growth |
2,161,127,340 | 3,453,355,206 | ||||||
|
S&P 500 Value |
2,876,228,084 | 2,905,445,274 | ||||||
|
S&P Small-Cap 600 Value |
2,614,349,111 | 3,582,727,889 | ||||||
|
|
||||||||
| 48 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
| 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, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
As of March 31, 2022, the Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:
|
|
||||
| iShares ETF | Amounts | |||
|
|
||||
|
S&P 100 |
$ | 289,162,375 | ||
|
S&P 500 Growth |
977,554,947 | |||
|
S&P 500 Value |
1,163,006,607 | |||
|
S&P Small-Cap 600 Value |
499,167,863 | |||
|
|
||||
As of September 30, 2022, 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 (Depreciation) |
||||||||||||
|
|
||||||||||||||||
|
S&P 100 |
$ | 7,121,203,988 | $ | 740,990,853 | $ | (695,512,812 | ) | $ | 45,478,041 | |||||||
|
S&P 500 Growth |
24,040,188,633 | 4,697,690,417 | (1,665,251,919 | ) | 3,032,438,498 | |||||||||||
|
S&P 500 Value |
23,118,223,669 | 1,599,607,009 | (3,137,036,269 | ) | (1,537,429,260 | ) | ||||||||||
|
S&P Small-Cap 600 Value |
7,827,776,470 | 214,474,168 | (1,809,123,267 | ) | (1,594,649,099 | ) | ||||||||||
|
|
||||||||||||||||
| 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. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, 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.
The price each Fund could receive upon the sale of any particular portfolio investment may differ from each Fund’s valuation of the investment, particularly for securities that trade in thin or volatile markets or that are valued using a fair valuation technique or a price provided by an independent pricing service. Changes to significant unobservable inputs and assumptions (i.e., publicly traded company multiples, growth rate, time to exit) due to the lack of observable inputs.
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
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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 |
49 |
Notes to Financial Statements (unaudited) (continued)
entering into transactions only with counterparties that the BFA believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Fund’s 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 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.
The Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.
Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.
LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 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:
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Six Months Ended 09/30/22 |
Year Ended 03/31/22 |
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| iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||||
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S&P 100 |
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Shares sold |
5,200,000 | $ | 970,429,685 | 9,000,000 | $ | 1,852,545,063 | ||||||||||||
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Shares redeemed |
(3,250,000 | ) | (592,853,866 | ) | (5,650,000 | ) | (1,139,200,444 | ) | ||||||||||
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| 1,950,000 | $ | 377,575,819 | 3,350,000 | $ | 713,344,619 | |||||||||||||
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S&P 500 Growth |
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Shares sold |
32,850,000 | $ | 2,164,301,073 | 97,500,000 | $ | 7,705,816,385 | ||||||||||||
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Shares redeemed |
(51,200,000 | ) | (3,457,133,270 | ) | (95,050,000 | ) | (7,302,882,197 | ) | ||||||||||
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| (18,350,000 | ) | $ | (1,292,832,197 | ) | 2,450,000 | $ | 402,934,188 | |||||||||||
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S&P 500 Value |
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Shares sold |
20,000,000 | $ | 2,889,939,883 | 46,050,000 | $ | 7,005,954,291 | ||||||||||||
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Shares redeemed |
(20,250,000 | ) | (2,919,080,465 | ) | (31,550,000 | ) | (4,746,154,933 | ) | ||||||||||
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| (250,000 | ) | $ | (29,140,582 | ) | 14,500,000 | $ | 2,259,799,358 | |||||||||||
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| 50 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Notes to Financial Statements (unaudited) (continued)
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Six Months Ended 09/30/22 |
Year Ended 03/31/22 |
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| iShares ETF | Shares | Amount | Shares | Amount | ||||||||||||
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|
S&P Small-Cap 600 Value |
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|
Shares sold |
27,900,000 | $ | 2,642,936,164 | 36,350,000 | $ | 3,774,747,013 | ||||||||||
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Shares redeemed |
(38,700,000 | ) | (3,622,167,319 | ) | (40,450,000 | ) | (4,134,083,314 | ) | ||||||||
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| (10,800,000 | ) | $ | (979,231,155 | ) | (4,100,000 | ) | $ | (359,336,301 | ) | |||||||
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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 BRIL, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in shares sold in the table above.
From time to time, settlement of securities related to in-kind contributions or in-kind redemptions may be delayed. In such cases, securities related to in-kind transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.
| 11. |
SUBSEQUENT EVENTS |
Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or additional disclosure in the financial statements.
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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 |
51 |
Board Review and Approval of Investment Advisory Contract
iShares S&P 100 ETF, iShares S&P Small-Cap 600 Value 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”) on behalf of the Fund. The Board’s consideration entails a year-long process whereby the Board and its committees (composed solely of Independent Board Members) assess BlackRock’s services to the Fund, including investment management; fund accounting; administrative and shareholder services; oversight of the Fund’s service providers; risk management and oversight; legal and compliance services; and ability to meet applicable legal and regulatory requirements. The Independent Board Members requested, and BFA provided, such information as the Independent Board Members, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Agreement. At meetings on May 3, 2022 and May 18, 2022, 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 13-15, 2022, 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, objectively selected by Broadridge as comprising the Fund’s applicable expense peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of the proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board noted that, due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances. The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were lower than the median of the investment advisory fee rates and overall 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, 2021, to that of such relevant comparison fund(s) for the same periods. The Board noted that the Fund seeks to track its specified underlying index and that, during the year, the Board received periodic reports on the Fund’s short- and longer-term performance in comparison with its underlying index. Such periodic 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 enhancements and initiatives with respect to the iShares business, including with respect to capital markets support and analysis, technology, portfolio management, product design and quality, compliance and risk management, global public policy and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Agreement for the coming year as compared with the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to support the iShares funds and their shareholders and have made significant investments into the iShares business. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made relevant officers and other employees of BFA (and its affiliates) available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies, provided at the May 3, 2022 meeting and throughout the year, and matters related to BFA’s portfolio compliance program.
Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided to the Fund under the Advisory Agreement supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates: The Board reviewed information about the estimated profitability to BlackRock in managing the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Agreement), and other sources of revenue and expense to BFA and its affiliates from the Fund’s operations for the last calendar year. The Board reviewed BlackRock’s methodology for calculating estimated profitability of the iShares funds, noting that the 15(c) Committee and the Board had focused on the methodology and profitability presentation. The Board recognized that profitability may be affected by numerous factors, including, among other things, fee waivers by BFA, the types of funds managed, expense allocations and business mix. The Board thus recognized that calculating and comparing profitability at individual fund levels is challenging. The Board discussed with management the sources of direct and ancillary revenue, including the revenues to BTC, a BlackRock affiliate, from securities lending by the Fund. The Board also discussed BFA’s estimated profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below).
| 52 |
2 0 2 2 I S H A R E S S E M I - A N N U A L R E P O R T T O S H A R E H O L D E R S |
Board Review and Approval of Investment Advisory Contract (continued)
Based on this review, the Board concluded that the information considered with respect to the profits realized by BFA and its affiliates under the Advisory Agreement and from other relationships between the Fund and BFA and/or its affiliates, if any, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Economies of Scale: The Board reviewed information and considered the extent to which economies of scale might be realized as the assets of the Fund increase, noting that the issue of potential economies of scale had been focused on by the 15(c) Committee and the Board during their meetings and addressed by management. The 15(c) Committee and the Board received information regarding BlackRock’s historical estimated profitability, including BFA’s and its affiliates’ estimated costs in providing services. The estimated cost information distinguished, among other things, between fixed and variable costs, and showed how the level and nature of fixed and variable costs may impact the existence or size of scale benefits, with the Board recognizing that potential economies of scale are difficult to measure. The 15(c) Committee and the Board reviewed information provided by BFA regarding the sharing of scale benefits with the iShares funds through various means, including, as applicable, through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board noted that the Advisory Agreement for the Fund did not provide for breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that it would continue to assess the appropriateness of adding breakpoints in the future.
The Board concluded that this review of potential economies of scale and the sharing of related benefits, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates: The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (collectively, the “Other Accounts”). The Board acknowledged BFA’s representation that the iShares funds are fundamentally different investment vehicles from the Other Accounts.
The Board received detailed information regarding how the Other Accounts generally differ from the Fund, including in terms of the types of services and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded investment vehicle, as compared to the Other Accounts, particularly those that are institutional clients, in light of differing regulatory requirements and client-imposed mandates. The Board noted that BFA and its affiliates do not manage Other Accounts with substantially the same investment objective and strategy as the Fund and that track the same index as the Fund. The Board also acknowledged management’s assertion that, for certain iShares funds, and for client segmentation purposes, BlackRock has launched an iShares fund that may provide a similar investment exposure at a lower investment advisory fee rate.
The Board considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund’s expenses borne by BFA under this arrangement and noted that the investment advisory fee rate under the Advisory Agreement for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.
Other Benefits to BFA and/or its Affiliates: The Board reviewed other benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, both direct and indirect, including, but not limited to, payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (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 an agreement that permits a service provider to use certain portions of BlackRock’s technology platform to service accounts managed by BFA and/or its affiliates, including the iShares funds. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Agreement for the coming year.
Conclusion: Based on a review of the factors described above, as well as such other factors as deemed appropriate by the Board, the Board, including all of the Independent Board Members, determined that the Fund’s investment advisory fee rate under the Advisory Agreement does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded to approve the continuance of the Advisory Agreement for the coming year.
iShares S&P 500 Growth ETF, iShares S&P 500 Value 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”) on behalf of the Fund. The Board’s consideration entails a year-long process whereby the Board and its committees (composed solely of Independent Board Members) assess BlackRock’s services to the Fund, including investment management; fund accounting; administrative and shareholder services; oversight of the Fund’s service providers; risk management and oversight; legal and compliance services; and ability to meet applicable legal and regulatory requirements. The Independent Board Members requested, and BFA provided, such information as the Independent Board Members, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Agreement. At meetings on May 3, 2022 and May 18, 2022, 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 13-15, 2022, the Board, including the Independent Board Members, reviewed the additional information provided by management in response to these requests.
|
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 |
53 |
Board Review and Approval of Investment Advisory Contract (continued)
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, objectively selected by Broadridge as comprising the Fund’s applicable expense peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of the proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board noted that, due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances. The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were lower than the median of the investment advisory fee rates and overall 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, 2021, to that of such relevant comparison fund(s) for the same periods. The Board noted that the Fund seeks to track its specified underlying index and that, during the year, the Board received periodic reports on the Fund’s short- and longer-term performance in comparison with its underlying index. Such periodic 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 enhancements and initiatives with respect to the iShares business, including with respect to capital markets support and analysis, technology, portfolio management, product design and quality, compliance and risk management, global public policy and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Agreement for the coming year as compared with the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to support the iShares funds and their shareholders and have made significant investments into the iShares business. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made relevant officers and other employees of BFA (and its affiliates) available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies, provided at the May 3, 2022 meeting and throughout the year, and matters related to BFA’s portfolio compliance program.
Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided to the Fund under the Advisory Agreement supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates: The Board reviewed information about the estimated profitability to BlackRock in managing the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Agreement), and other sources of revenue and expense to BFA and its affiliates from the Fund’s operations for the last calendar year. The Board reviewed BlackRock’s methodology for calculating estimated profitability of the iShares funds, noting that the 15(c) Committee and the Board had focused on the methodology and profitability presentation. The Board recognized that profitability may be affected by numerous factors, including, among other things, fee waivers by BFA, the types of funds managed, expense allocations and business mix. The Board thus recognized that calculating and comparing profitability at individual fund levels is challenging. The Board discussed with management the sources of direct and ancillary revenue, including the revenues to BTC, a BlackRock affiliate, from securities lending by the Fund. The Board also discussed BFA’s estimated profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below).
Based on this review, the Board concluded that the information considered with respect to the profits realized by BFA and its affiliates under the Advisory Agreement and from other relationships between the Fund and BFA and/or its affiliates, if any, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Economies of Scale: The Board reviewed information and considered the extent to which economies of scale might be realized as the assets of the Fund increase, noting that the issue of potential economies of scale had been focused on by the 15(c) Committee and the Board during their meetings and addressed by management. The 15(c) Committee and the Board received information regarding BlackRock’s historical estimated profitability, 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
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Board Review and Approval of Investment Advisory Contract (continued)
impact the existence or size of scale benefits, with the Board recognizing that potential economies of scale are difficult to measure. The 15(c) Committee and the Board reviewed information provided by BFA regarding the sharing of scale benefits with the iShares funds through various means, including, as applicable, through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board noted that the Advisory Agreement for the Fund did not provide for breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that it would continue to assess the appropriateness of adding breakpoints in the future.
The Board concluded that this review of potential economies of scale and the sharing of related benefits, as well as the other factors considered at the meeting, supported the Board’s approval of the continuance of the Advisory Agreement for the coming year.
Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates: The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (collectively, the “Other Accounts”). The Board acknowledged BFA’s representation that the iShares funds are fundamentally different investment vehicles from the Other Accounts.
The Board received detailed information regarding how the Other Accounts generally differ from the Fund, including in terms of the types of services and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded investment vehicle, as compared to the Other Accounts, particularly those that are institutional clients, in light of differing regulatory requirements and client-imposed mandates. The Board noted that BFA and its affiliates 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 considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund’s expenses borne by BFA under this arrangement and noted that the investment advisory fee rate under the Advisory Agreement for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.
Other Benefits to BFA and/or its Affiliates: The Board reviewed other benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, both direct and indirect, including, but not limited to, payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (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 an agreement that permits a service provider to use certain portions of BlackRock’s technology platform to service accounts managed by BFA and/or its affiliates, including the iShares funds. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Agreement for the coming year.
Conclusion: Based on a review of the factors described above, as well as such other factors as deemed appropriate by the Board, the Board, including all of the Independent Board Members, determined that the Fund’s investment advisory fee rate under the Advisory Agreement does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded to approve the continuance of the Advisory Agreement for the coming year.
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Supplemental Information (unaudited)
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, 2022
| 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 |
||||||||||||||||||||||||||||
|
S&P 500 Value(a) |
$ | 1.499740 | $ | — | $ | — | $ | 1.499740 | 100 | % | — | % | — | % | 100 | % | ||||||||||||||||||||
|
S&P Small-Cap 600 Value(a) |
0.794065 | — | — | 0.794065 | 100 | — | — | 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. |
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Electronic Delivery
Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
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Go to icsdelivery.com. |
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If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents and Rule 30e-3 notices can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at iShares.com; and (3) on the SEC website at sec.gov.
A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.
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Glossary of Terms Used in this Report
| Portfolio Abbreviation | ||
| CVR | Contingent Value Rights | |
| NVS | Non-Voting Shares | |
| REIT | Real Estate Investment Trust | |
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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 representations regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
©2022 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-301-0922
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