Table of Contents

 

LOGO

  AUGUST 31, 2022

 

 

   

  

2022 Annual Report

 

 

iShares, Inc.

·  iShares MSCI Global Agriculture Producers ETF | VEGI | NYSE Arca

·  iShares MSCI Global Energy Producers ETF | FILL | NYSE Arca

·  iShares MSCI Global Gold Miners ETF | RING | NASDAQ

·  iShares MSCI Global Metals & Mining Producers ETF | PICK | Cboe BZX

·  iShares MSCI Global Silver and Metals Miners ETF | SLVP | Cboe BZX


Table of Contents

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of August 31, 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 growing faster than expected, raised interest rates four times while indicating that additional rate hikes were likely. Furthermore, the Fed wound down its bond-buying programs and began to reduce 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 horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metals markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption have magnified supply problems for key commodities. We believe elevated energy prices will continue to exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will ultimately err on the side of protecting employment, even at the expense of higher inflation. In the meantime, however, we are likely to see a period of slowing growth paired with relatively high inflation.

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. Furthermore, the energy shock 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. We take the opposite view on credit, where higher spreads provide near-term opportunities, while the likelihood of higher inflation leads us to take an underweight stance on credit in the long term. We believe that investment-grade corporates, U.K. gilts, 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, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of August 31, 2022
     
     6-Month   12-Month
     

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

        (8.84)%     (11.23)%
     

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

    (9.31)   (17.88)  
     

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

  (13.97)   (19.80)  
     

Emerging market equities
(MSCI Emerging Markets Index)

  (13.30)   (21.80)  
     

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

    0.36   0.39 
     

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

    (9.71)   (13.27)  
     

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

    (7.76)   (11.52)  
     

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

    (5.72)   (8.63) 
     

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

    (7.78)   (10.61)  
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

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


Table of Contents

Table of Contents

 

 

     Page  

 

 

The Markets in Review

     2  

Annual Report:

  

Market Overview

     4  

Fund Summary

     5  

Market Overview

     11  

About Fund Performance

     15  

Disclosure of Expenses

     15  

Schedules of Investments

     16  

Financial Statements

  

Statements of Assets and Liabilities

     35  

Statements of Operations

     37  

Statements of Changes in Net Assets

     39  

Financial Highlights

     42  

Notes to Financial Statements

     47  

Report of Independent Registered Public Accounting Firm

     57  

Important Tax Information

     58  

Board Review and Approval of Investment Advisory Contract

     59  

Supplemental Information

     61  

Director and Officer Information

     63  

General Information

     66  

Glossary of Terms Used in this Report

     67  

 

 

      


Table of Contents

Market Overview

 

iShares, Inc.

Global Market Overview

Global equity markets declined in U.S. dollar terms during the 12 months ended August 31, 2022 (“reporting period”). The MSCI ACWI, a broad global equity index that includes both developed and emerging markets, returned -15.88% in U.S. dollar terms for the reporting period.

For the first third of the reporting period, economic recovery supported stocks in most regions of the world. The global economy continued to rebound from the impact of restrictions imposed at the beginning of the coronavirus pandemic, as mitigation and adaptation allowed most economic activity to continue. However, substantial challenges emerged at the beginning of 2022 which negatively affected stock prices. Inflation rose significantly in many countries, reducing consumers’ purchasing power and leading many central banks to tighten monetary policy. Russia’s invasion of Ukraine presented a further challenge to the global economy, disrupting important commodities markets.

The U.S. economy grew briskly over the final half of 2021, powered primarily by consumer spending. Record-high personal savings rates allowed consumers to spend at an elevated level, releasing pent-up demand for goods and services. Growth subsequently stalled in the first half of 2022, and the economy contracted amid lower inventories and faltering business investment. Despite the economic downturn, unemployment declined substantially, falling to 3.7% in August 2022 while the number of long-term unemployed dropped below the pre-pandemic level. Although high inflation negatively impacted consumer sentiment, which declined significantly, consumer spending continued to grow.

Rising inflation led to a shift in policy from the U.S. Federal Reserve (“the Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near-zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy during the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities, finally reversing course as it began to reduce its balance sheet in June 2022. In March 2022, the Fed began to raise short-term interest rates, followed by three more increases for a total increase of 225 basis points, the most rapid rise in decades. Interest rates rose significantly in response, leading to higher borrowing costs for businesses. In that environment, the U.S. dollar significantly appreciated relative to most foreign currencies.

Stocks declined in Europe in U.S. dollar terms as economic growth stalled and the euro declined sharply relative to the U.S. dollar. Significantly higher inflation and Russia’s invasion of Ukraine negatively impacted equities. Russia is an important trading partner with many European countries, and new sanctions imposed limits on certain types of trade with Russia. Investors became concerned that the sharp rise in energy prices during the reporting period would constrain economic growth, as Europe relies on imported energy for much of its industrial and heating needs. The European Central Bank (“ECB”) responded to elevated inflation by raising interest rates in July 2022, the first such increase in over a decade.

Despite relatively low inflation by global standards, Asia-Pacific stocks declined significantly in U.S. dollar terms. Chinese stocks faced significant headwinds amid regulatory interventions by the Chinese government and strict lockdowns following COVID-19 outbreaks. Japanese stocks also declined amid an economic contraction in the first quarter of 2022 and a sharp decline in the Japanese yen relative to the U.S. dollar. Emerging market stocks declined substantially, as higher interest rates and a strengthening U.S. dollar raised the cost of borrowing in many emerging economies.

 

 

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Table of Contents
Fund Summary  as of August 31, 2022      iShares® MSCI Global Agriculture Producers ETF

 

Investment Objective

The iShares MSCI Global Agriculture Producers ETF(the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of agriculture, as represented by the MSCI ACWI Select Agriculture Producers Investable Market Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

     Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

    10.43      11.73      7.61       10.43      74.15      108.25

Fund Market

    10.88        11.72        7.57         10.88        74.07        107.38  

Index

    10.77        11.86        7.71           10.77        75.14        110.19  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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

Expense Example

 

    Actual         Hypothetical 5% Return           
                                                              
   

Beginning
Account Value
(03/01/22)

 
 
      

Ending
Account Value
(08/31/22

 
      

Expenses
Paid During
the Period


(a) 
     

Beginning
Account Value
(03/01/22
 
 
      

Ending
Account Value
(08/31/22


      

Expenses
Paid During
the Period

 
(a) 
      

Annualized
Expense
Ratio
 

 
                 
        $        1,000.00          $        1,017.70          $        1.98           $      1,000.00          $      1,023.20          $        1.99          0.39

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

  5


Table of Contents
Fund Summary  as of August 31, 2022   (continued)    iShares® MSCI Global Agriculture Producers ETF

 

Portfolio Management Commentary

Stocks of global agricultural producers advanced for the reporting period. The war in Ukraine sent the prices of many crops up as the conflict disrupted the planting season in Ukraine, one of the world’s major suppliers of wheat, corn, and sunflower oil. Prices for fertilizers and pesticides rose after countries imposed sanctions against Russia and Belarus, two of the world’s largest suppliers of commodities used in producing the crop chemicals. While the prices of some agricultural commodities moderated by the end of the reporting period, the volatile markets benefited many food producers.

Stocks in the U.S. materials sector contributed the most to the Index’s performance, specifically in the chemicals industry. Stronger demand for pesticides and herbicides increased profits for chemical companies as farmers sought to maximize crop yields to benefit from higher crop prices. Stronger sales offset rising costs of raw materials used to produce crop protection chemicals, in addition to losses from withdrawing from the Russian market.

In the U.S. consumer staples sector, the food products industry benefited from rising global demand for grains in the wake of the conflict in Ukraine, in addition to a weak canola crop in Canada and poor weather conditions in South America. Demand for biofuels increased as pandemic-related restrictions eased, economies reopened, and people traveled more.

Canadian companies in the materials sector also contributed to the Index’s return. Prices for fertilizers climbed sharply in the wake of sanctions against Russia and Belarus, the world’s second and third largest suppliers of crop nutrients. Prices for fertilizers such as potash and nitrogen rose to approach their highest levels since reaching all-time highs in 2008.

On the downside, Japanese companies in the industrials sector detracted from the Index’s performance. Despite rising demand for farm machinery, profits for manufacturers were pressured by rising raw materials costs.

Consumer staples companies in Norway declined as the stock of a salmon fish farming company retreated after rival companies agreed to a merger. Swedish industrials stocks also weakened as coronavirus-related restrictions exacerbated global supply constraints.

Portfolio Information

 

INDUSTRY ALLOCATION

 

   
Sector   Percent of   
Total Investments(a)

Fertilizers & Agricultural Chemicals

  39.5%

Agricultural & Farm Machinery

  27.3   

Agricultural Products

  20.1   

Packaged Foods & Meats

  13.1   

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region   Percent of   
Total Investments(a)

United States

  57.0%

Canada

  9.0   

Japan

  3.8   

India

  3.8   

Norway

  3.3   

China

  2.9   

United Kingdom

  2.5   

Chile

  2.5   

Saudi Arabia

  2.5   

Brazil

  1.7   

Malaysia

  1.5   

Israel

  1.5   

Singapore

  1.3   

Germany

  1.1   

Hong Kong

  1.0   

Australia

  1.0   

Other (each representing less than 1%)

  3.6   
  (a) 

Excludes money market funds.

 

 

 

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Table of Contents
Fund Summary  as of August 31, 2022       iShares® MSCI Global Energy Producers ETF

 

Investment Objective

The iShares MSCI Global Energy Producers ETF(the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of energy exploration and production, as represented by the MSCI ACWI Select Energy Producers Investable Market Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

     Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

    54.58      9.07      3.38       54.58      54.38      39.43

Fund Market

    55.02        9.03        3.40         55.02        54.05        39.64  

Index

    54.56        8.78        3.17           54.56        52.32        36.63  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.

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

Expense Example

 

    Actual         Hypothetical 5% Return           
                                                              
   

Beginning
Account Value
(03/01/22)

 
 
      

Ending
Account Value
(08/31/22

 
      

Expenses
Paid During
the Period
 
 
(a) 
     

Beginning
Account Value
(03/01/22
 
 
      

Ending
Account Value
(08/31/22

 
      

Expenses
Paid During
the Period

 
(a) 
      

Annualized
Expense
Ratio
 

 
                 
        $        1,000.00          $        1,142.20          $      2.11           $      1,000.00          $      1,023.20          $      1.99          0.39

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

  7


Table of Contents
Fund Summary  as of August 31, 2022   (continued)    iShares® MSCI Global Energy Producers ETF

 

Portfolio Management Commentary

Stocks of global energy producers rose sharply for the reporting period amid substantial volatility in energy markets. Oil prices were relatively subdued early in the reporting period as several nations, including the U.S., the U.K., China, India, and Japan, coordinated to release millions of barrels of fuel to fight high prices. However, tight supplies and rising geopolitical tensions among major oil producing nations, including the United Arab Emirates and Russia, began to drive prices higher in early 2022. Prices surged further after Russia invaded Ukraine and nations imposed sanctions against Russia, one of the world’s largest suppliers of petroleum products. However, oil and gas prices moderated somewhat in the final months of the reporting period as rising interest rates and inflationary pressures weakened global economies and lowered demand forecasts. Nonetheless, natural gas prices remained high as Russia retaliated against sanctions by curbing exports to Europe.

The U.S. energy sector contributed the most to the Index’s performance. Companies in the oil, gas, and consumable fuels industry posted record profits due to higher energy prices, sending oil stocks up sharply. The industry rewarded shareholders by raising dividends and buying back stock. Furthermore, companies in the industry increased investment in new production to profit from higher oil prices. The profits from higher oil prices more than offset losses incurred from the cessation of business operations in Russia.

Canadian energy companies also contributed to the Index’s return. Higher oil and natural gas prices strengthened the revenues and profits of Canadian energy companies. Strong cash flows allowed the companies to reduce their debt levels while also buying back stock and increasing dividend payments. Similar to their North American counterparts, U.K. oil and gas companies advanced, raising their dividends and increasing stock buybacks after posting stronger profits.

On the downside, energy companies in Russia detracted from the Index’s performance as the stocks of oil and gas companies dropped sharply following the imposition of global sanctions against Russia. BlackRock suspended the purchase of Russian securities in its active and index funds on Monday, February 28, 2022, in response to the Russian attack on Ukraine. All major index providers began the removal of Russian securities from their indexes beginning the week of March 7.

Portfolio Information

 

INDUSTRY ALLOCATION

 

   
Sector   Percent of   
Total Investments(a)

Integrated Oil & Gas

  54.5%

Oil & Gas Exploration & Production

  31.1   

Oil & Gas Refining & Marketing

  11.0   

Coal & Consumable Fuels

  3.4   

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region  

Percent of   

Total Investments(a)

United States

  54.7%

United Kingdom

  11.3   

Canada

  8.9   

France

  4.7   

India

  4.3   

Australia

  2.8   

Brazil

  2.3   

Norway

  1.9   

China

  1.5   

Japan

  1.2   

Italy

  1.1   

Saudi Arabia

  1.0   

Other (each representing less than 1%)

  4.3   
  (a) 

Excludes money market funds.

 

 

 

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Table of Contents
Fund Summary  as of August 31, 2022      iShares® MSCI Global Gold Miners ETF

 

Investment Objective

The iShares MSCI Global Gold Miners ETF(the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of gold mining, as represented by the MSCI ACWI Select Gold Miners Investable Market Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

     Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

    (30.42 )%       (0.48 )%       (6.47 )%        (30.42 )%       (2.38 )%       (48.78 )% 

Fund Market

    (30.37      (0.61      (6.55       (30.37      (3.01      (49.19

Index

    (30.30      (0.30      (6.32         (30.30      (1.51      (47.93

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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

Expense Example

 

    Actual         Hypothetical 5% Return           
                                                              
   

Beginning
Account Value
(03/01/22)
 
 
 
      

Ending
Account Value
(08/31/22
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
     

Beginning
Account Value
(03/01/22
 
 
      

Ending
Account Value
(08/31/22
 
 
      

Expenses
Paid During
the Period
 
 
(a) 
      

Annualized
Expense
Ratio
 
 
 
                 
        $        1,000.00          $        666.50          $        1.64           $      1,000.00          $      1,023.20          $        1.99          0.39

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

  9


Table of Contents
Fund Summary  as of August 31, 2022   (continued)    iShares® MSCI Global Gold Miners ETF

 

Portfolio Management Commentary

Global gold mining stocks declined sharply for the reporting period as the price of gold fell overall. However, at the beginning of the reporting period, gold prices initially climbed as U.S. inflation rates climbed to the highest levels in 30 years, weakening the outlook for the stock market. Gold is traditionally perceived as an attractive investment and store of value during periods of rising inflation. Gold prices surged after Russia invaded Ukraine, sending commodities prices sharply higher and stock markets lower, increasing geopolitical and economic uncertainty and further provoking inflation concerns. Gold prices peaked in early March 2022 near record highs of over $2,000 U.S. an ounce after many nations took steps to sanction Russia, including limiting gold sales. However, gold prices declined as bond yields rose, particularly after the Fed began a series of interest rates hikes starting in March 2022. Because gold does not pay interest, its appeal decreases as its carrying cost relative to bonds increases, such as when yields rise. The stronger U.S. dollar, which climbed against most major currencies, made the precious metal more expensive to buy in most other countries and sent the price of gold lower.

From a country perspective, the Canadian gold mining industry detracted the most from the Index’s return. Even as profits rose, the stocks of Canadian gold miners declined as the price of gold fell. In addition, rising inflation rates, particularly costs for energy, explosives, and cyanide, drove production expenses higher. Some gold mining companies increased production of industrial metals, such as copper, which is a common byproduct of gold mining as it is often discovered in the same ore. They also sought new mining projects to diversify revenues.

The Russian gold mining industry also detracted from the Index’s performance. Stocks of Russian gold miners dropped after Russia invaded Ukraine and nations imposed sanctions, leading Western banks and shipping companies to curtail operating with the companies. As sales to Western countries disappeared, the companies sought new markets for gold sales, such as in Asia. BlackRock suspended the purchase of Russian securities in its active and index funds on Monday, February 28, 2022, in response to the Russian attack on Ukraine. All major index providers began the removal of Russian securities from their indexes beginning the week of March 7.

Portfolio Information

 

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region  

Percent of   

Total Investments(a)

Canada

  51.5%

United States

  20.6   

Australia

  8.2   

South Africa

  6.3   

China

  4.7   

Saudi Arabia

  4.0   

United Kingdom

  1.7   

Indonesia

  1.2   

Peru

  1.1   

Other (each representing less than 1%)

  0.7   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of   

Total Investments(a)

Newmont Corp.

  19.4%

Barrick Gold Corp.

  15.3   

Agnico Eagle Mines Ltd.

  10.4   

Wheaton Precious Metals Corp.

  4.6   

Gold Fields Ltd.

  4.5   

Newcrest Mining Ltd.

  4.3   

AngloGold Ashanti Ltd.

  4.0   

Zijin Mining Group Co. Ltd., Class H

  3.9   

Yamana Gold Inc.

  3.1   

Kinross Gold Corp.

  3.1   
  (a) 

Excludes money market funds.

 

 

 

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Table of Contents
Fund Summary  as of August 31, 2022    iShares® MSCI Global Metals & Mining Producers ETF

 

Investment Objective

The iShares MSCI Global Metals & Mining Producers ETF(the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in mining, extraction or production of diversified metals, excluding gold and silver, as represented by the MSCI ACWI Select Metals & Mining Producers ex Gold & Silver Investable Market Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

     Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

    (12.69 )%       7.88      4.12       (12.69 )%       46.10      49.80

Fund Market

    (12.76      7.68        3.96         (12.76      44.80        47.40  

Index

    (12.46      8.35        4.39           (12.46      49.36        53.64  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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

Expense Example

 

    Actual         Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(03/01/22)

 

 

 

      

Ending
Account Value
(08/31/22
 
 
      


Expenses

Paid During
the Period

 


(a) 

     

Beginning

Account Value

(03/01/22

 

 

      

Ending
Account Value
(08/31/22
 
 
      

Expenses
Paid During

the Period

 

(a) 

      

Annualized

Expense

Ratio

 

 

 

                 
        $        1,000.00          $        804.60          $        1.77           $      1,000.00          $      1,023.20          $      1.99          0.39

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information.

 

 

 

M A R K E T   O V E R V I E W

  11


Table of Contents
Fund Summary  as of August 31, 2022   (continued)    iShares® MSCI Global Metals & Mining Producers ETF

 

Portfolio Management Commentary

Stocks of global metals and mining producers declined for the reporting period. Prices for industrial metals dropped as the global economy slowed and manufacturing activity weakened.

The Russian metals and mining industry detracted the most from the Index’s performance. Stocks in the industry dropped sharply after sanctions were imposed against Russia following its invasion of Ukraine. BlackRock suspended the purchase of Russian securities in its active and index funds on Monday, February 28, 2022, in response to the Russian attack on Ukraine. All major index providers began the removal of Russian securities from their indexes beginning the week of March 7.

Brazilian mining stocks also weakened the Index’s performance. Stocks of iron ore miners dropped as global demand for the metal weakened, particularly in China, where coronavirus-related restrictions curtailed production and falling property prices slowed new construction. Increased logistics and fuel costs also weakened profits.

Chinese mining companies also detracted from the Index’s return. The stock of a major lithium miner retreated as mining companies raised output of lithium to profit from the high prices for the metal.

Precious metals mining companies in South Africa also detracted from the Index’s performance. The stock price of one major precious metals mining company dropped sharply after labor disruptions led production to drop, reducing profits.

The stocks of Japanese mining companies also declined. Steel companies faced rising costs for fuel, logistics, and raw materials such as iron ore and coking coal, while demand for steel fell as economic growth slowed, particularly in China and Japan.

On the upside, the Saudi Arabian metals and mining sector contributed to the Index’s performance. One prominent Saudi diversified mining company posted sharply stronger profits as demand rose for the raw materials it provides for fertilizer manufacturers.

Portfolio Information

 

INDUSTRY ALLOCATION

 

   
Sector   Percent of   
Total Investments(a)

Diversified Metals & Mining

  51.2%

Steel

  33.0   

Copper

  8.6   

Aluminum

  4.8   

Precious Metals & Minerals

  2.4   

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region   Percent of   
Total Investments(a)

Australia

  39.0%

United States

  16.7   

Brazil

  6.2   

Canada

  5.0   

United Kingdom

  4.9   

Japan

  4.5   

India

  3.4   

China

  2.8   

South Africa

  2.7   

South Korea

  2.4   

Taiwan

  1.9   

Saudi Arabia

  1.8   

France

  1.5   

Sweden

  1.4   

Mexico

  1.2   

Norway

  1.0   

Other (each representing less than 1%)

  3.6   
  (a) 

Excludes money market funds.

 

 

 

12  

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Table of Contents
Fund Summary  as of August 31, 2022    iShares® MSCI Global Silver and Metals Miners ETF

 

Investment Objective

The iShares MSCI Global Silver and Metals Miners ETF(the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of silver exploration or metals mining, as represented by the MSCI ACWI Select Silver Miners Investable Market Index (the “Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index.

Performance

 

     Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

    (37.54 )%       (4.00 )%       (6.97 )%        (37.54 )%       (18.48 )%       (51.45 )% 

Fund Market

    (37.42      (4.07      (6.78       (37.42      (18.76      (50.47

Index

    (37.34      (4.00      (6.97         (37.34      (18.46      (51.47

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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

Expense Example

 

    Actual         Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(03/01/22)

 

 

 

      

Ending

Account Value

(08/31/22

 

 

      

Expenses

Paid During

the Period

 

 

(a) 

     

Beginning

Account Value

(03/01/22

 

 

      

Ending
Account Value

(08/31/22

 
 

      

Expenses

Paid During

the Period

 

 

(a) 

      

Annualized

Expense

Ratio

 

 

 

                 
        $        1,000.00          $        667.60          $        1.64           $      1,000.00          $      1,023.20          $      1.99          0.39

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Disclosure of Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

  13


Table of Contents
Fund Summary  as of August 31, 2022   (continued)    iShares® MSCI Global Silver and Metals Miners ETF

 

Portfolio Management Commentary

Global silver mining stocks declined sharply for the reporting period as the price of silver fell overall. However, silver prices initially surged after Russia invaded Ukraine, sending commodities prices sharply higher and stock markets lower and increasing geopolitical and economic uncertainty. But silver prices began to decline as bond yields rose, particularly after the Fed began a series of interest rates hikes starting in March 2022 to reverse rising inflation. Because silver does not pay interest, its appeal decreases as its carrying cost relative to bonds increases, such as when yields rise. The stronger U.S. dollar, which climbed against most major currencies, made the precious metal more expensive to buy in most other countries and sent the price of silver lower.

Russia’s invasion of Ukraine led to rising production costs for silver miners. The price of sodium cyanide, a chemical used for removing silver from ore, rose sharply as the war sent energy prices higher, leading one major supplier of the chemical to suspend production in Europe. The war also drove up the cost of explosives made with ammonium nitrate and other raw materials used in mining. Russia, the world’s largest supplier of ammonium nitrate, suspended exports of the chemical following Western sanctions.

Canadian silver mining companies detracted the most from the Index’s performance. The Omicron variant of the coronavirus led to high levels of workforce absenteeism and reduced production. Production expenses rose during the reporting period, particularly the cost of energy, cyanide, explosives, and steel. Rising production costs and low silver prices reduced profit margins, leading mining companies to suspend operations at some sites and reduce the value of the mining assets on their balance sheets.

U.S. silver mining stocks also weakened the Index’s return as costs escalated and silver prices fell. Earnings declined as coronavirus-related restrictions and a shortage of skilled workers diminished production.

Silver mining companies in Mexico further detracted from the Index’s performance. Drug cartel violence and fewer government concessions to explore and exploit mining activities hindered mining development projects in Mexico.

Portfolio Information

 

GEOGRAPHIC ALLOCATION

 

   
Country/Geographic Region   Percent of   
Total Investments(a)

Canada

  68.8%

United States

  20.4   

Japan

  4.6   

Mexico

  4.5   

Other (each representing less than 1%)

  1.7   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

Pan American Silver Corp.

  16.7%

Hecla Mining Co.

  11.1   

First Majestic Silver Corp.

  8.9   

Newmont Corp.

  8.5   

Asahi Holdings Inc.

  4.6   

Industrias Penoles SAB de CV

  4.5   

Agnico Eagle Mines Ltd.

  4.5   

MAG Silver Corp.

  4.4   

SilverCrest Metals Inc.

  4.3   

Wheaton Precious Metals Corp.

  4.1   
  (a) 

Excludes money market funds.

 

 

 

14  

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Table of Contents

About Fund Performance

 

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

Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Disclosure of Expenses

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

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

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

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

 

 

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

  15


Table of Contents

Schedule of Investments

August 31, 2022

  

iShares® MSCI Global Agriculture Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   
Australia — 1.0%            

Australian Agricultural Co. Ltd.(a)

    106,354     $ 131,066  

Costa Group Holdings Ltd.

    236,691       431,941  

Elders Ltd.

    79,752       628,245  

Inghams Group Ltd.

    189,442       334,750  

Nufarm Ltd./Australia

    193,660       699,213  

Select Harvests Ltd.

    61,182       206,620  

Tassal Group Ltd.

    108,873       384,133  
   

 

 

 
      2,815,968  
Brazil — 1.7%            

BrasilAgro - Co. Brasileira de Propriedades Agricolas

    23,227       127,868  

Jalles Machado SA

    51,996       75,160  

Sao Martinho SA

    81,195       497,246  

SLC Agricola SA

    59,549       556,297  

Tres Tentos Agroindustrial SA

    61,924       129,861  

Yara International ASA

    84,069       3,555,908  
   

 

 

 
      4,942,340  
Canada — 9.0%            

Ag Growth International Inc.

    9,475       283,309  

Nutrien Ltd.

    279,927       25,698,251  

Rogers Sugar Inc.

    47,604       226,539  
   

 

 

 
          26,208,099  
China — 2.9%            

Asia - Potash International Investment Guangzhou Co. Ltd.(a)

    27,700       135,623  

Beijing Dabeinong Technology Group Co. Ltd., Class A(a)

    125,400       156,479  

China BlueChemical Ltd., Class H

    752,000       195,811  

China Modern Dairy Holdings Ltd.

    1,601,000       211,796  

China XLX Fertiliser Ltd.

    280,000       159,558  

China Youran Dairy Group Ltd.(a)(b)

    388,000       117,467  

COFCO Joycome Foods Ltd

    1,191,000       455,926  

First Tractor Co. Ltd., Class H

    192,000       76,900  

Fujian Sunner Development Co. Ltd., Class A

    38,100       122,790  

Heilongjiang Agriculture Co. Ltd., Class A

    54,900       116,325  

Henan Shuanghui Investment & Development Co. Ltd., Class A

    105,800       409,624  

Inner Mongolia Yili Industrial Group Co. Ltd., Class A

    195,500       1,009,726  

Jiangsu Yangnong Chemical Co. Ltd., Class A

    9,000       147,990  

Jiangxi Zhengbang Technology Co. Ltd., Class A(a)

    97,300       83,904  

Muyuan Foods Co. Ltd., Class A

    162,066       1,369,222  

New Hope Liuhe Co. Ltd., Class A(a)

    137,700       311,896  

Qinghai Salt Lake Industry Co. Ltd., Class A(a)

    159,400       641,523  

Shandong Hualu Hengsheng Chemical Co. Ltd., Class A

    64,880       273,279  

Sinofert Holdings Ltd.

    1,084,000       145,978  

Tongwei Co. Ltd., Class A

    137,100       1,045,746  

Wens Foodstuffs Group Co. Ltd., Class A(a)

    193,120       661,446  

Yuan Longping High-Tech Agriculture Co. Ltd., Class A(a)

    40,600       91,333  

Yunnan Yuntianhua Co. Ltd.(a)

    53,900       206,782  

Zangge Mining Co. Ltd.

    46,400       210,253  
   

 

 

 
      8,357,377  
Egypt — 0.0%            

Misr Fertilizers Production Co. SAE

    22,404       133,794  
   

 

 

 
France — 0.0%            

Vilmorin & Cie SA

    2,891       124,347  
   

 

 

 
Germany — 1.0%            

K+S AG, Registered

    97,182       2,213,959  

KWS Saat SE & Co. KGaA

    5,884       358,019  
Security   Shares     Value  
Germany (continued)            

Suedzucker AG

    36,421     $ 499,448  
   

 

 

 
      3,071,426  
Hong Kong — 1.0%            

WH Group Ltd.(b)

    4,232,500       2,883,700  
   

 

 

 
India — 3.7%            

Balrampur Chini Mills Ltd.

    62,398       272,125  

Bayer CropScience Ltd.

    6,838       466,239  

Chambal Fertilisers and Chemicals Ltd.

    84,853       369,550  

Coromandel International Ltd.

    59,836       785,602  

Deepak Fertilisers & Petrochemicals Corp. Ltd.

    27,248       307,982  

EID Parry India Ltd.

    40,615       268,681  

Gujarat Ambuja Exports Ltd.

    34,703       118,225  

Gujarat Narmada Valley Fertilizers & Chemicals Ltd.

    39,606       368,578  

Gujarat State Fertilizers & Chemicals Ltd.

    100,460       196,980  

Kaveri Seed Co. Ltd.

    10,135       57,717  

PI Industries Ltd.

    38,503       1,646,359  

Rallis India Ltd.

    38,610       108,585  

Rashtriya Chemicals & Fertilizers Ltd.

    71,536       87,994  

Sharda Cropchem Ltd.

    13,908       89,798  

Shree Renuka Sugars Ltd.(a)

    326,141       189,342  

Sumitomo Chemical India Ltd.

    50,878       310,650  

Tata Consumer Products Ltd.

    280,754       2,837,599  

Triveni Engineering & Industries Ltd.

    36,962       108,105  

UPL Ltd.

    247,833       2,373,758  
   

 

 

 
          10,963,869  
Indonesia — 0.8%            

Astra Agro Lestari Tbk PT

    245,200       151,136  

Charoen Pokphand Indonesia Tbk PT

    3,746,500       1,482,950  

Inti Agri Resources Tbk PT(a)(c)

    2,230,700        

Japfa Comfeed Indonesia Tbk PT

    2,689,500       287,007  

Perusahaan Perkebunan London Sumatra Indonesia Tbk PT

    1,548,100       123,021  

Sawit Sumbermas Sarana Tbk PT

    1,701,900       161,175  
   

 

 

 
      2,205,289  
Ireland — 0.1%            

Origin Enterprises PLC

    58,983       221,096  
   

 

 

 
Israel — 1.5%            

ICL Group Ltd.

    359,458       3,432,348  

Israel Corp Ltd.(a)

    1,959       946,892  
   

 

 

 
      4,379,240  
Japan — 3.8%            

Hokuto Corp.

    9,700       134,160  

Kubota Corp.

    517,800       8,041,552  

Kumiai Chemical Industry Co. Ltd.

    36,800       286,725  

Maruha Nichiro Corp.

    21,400       382,648  

Mitsui DM Sugar Holdings Co. Ltd.

    8,000       107,663  

NH Foods Ltd.

    41,800       1,196,534  

Prima Meat Packers Ltd.

    11,100       173,256  

Sakata Seed Corp.

    14,400       534,621  

YAMABIKO Corp.

    16,700       136,330  
   

 

 

 
      10,993,489  
Malaysia — 1.5%            

Genting Plantations Bhd

    136,500       204,651  

IOI Corp. Bhd

    1,276,200       1,206,195  

Kuala Lumpur Kepong Bhd

    219,400       1,134,380  

QL Resources Bhd

    558,007       635,870  

Sime Darby Plantation Bhd

    1,053,400       1,047,081  

TSH Resources Bhd

    279,000       68,953  

 

 

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Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Agriculture Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Malaysia (continued)            

United Plantations Bhd

    52,700     $ 174,023  
   

 

 

 
      4,471,153  
Netherlands — 0.7%            

OCI NV

    53,493       2,008,278  
   

 

 

 
Norway — 3.3%            

Austevoll Seafood ASA

    46,494       498,366  

Bakkafrost P/F

    25,523       1,493,501  

Grieg Seafood ASA

    23,029       278,630  

Leroy Seafood Group ASA

    136,129       909,573  

Mowi ASA

    206,809       4,239,941  

Norway Royal Salmon ASA(a)

    6,659       166,846  

Salmar ASA

    29,905       1,977,540  
   

 

 

 
      9,564,397  
Poland — 0.1%            

Grupa Azoty SA(a)

    25,003       173,056  
   

 

 

 
Russia — 0.0%            

PhosAgro PJSC(c)

    7,038       1  

PhosAgro PJSC, GDR(c)

    2        

PhosAgro PJSC, New(c)

 

 

136

 

    1  

Ros Agro PLC, GDR(c)

    5,334       1  
   

 

 

 
      3  
Saudi Arabia — 2.5%            

Al Jouf Agricultural Development Co.

    7,490       98,331  

Almarai Co. JSC

    126,937       1,786,531  

National Agriculture Development Co. (The)(a)

    25,406       207,175  

SABIC Agri-Nutrients Co.

    108,767       5,021,107  

Saudi Fisheries Co.(a)

    9,973       95,934  
   

 

 

 
          7,209,078  
Singapore — 1.3%            

Bumitama Agri Ltd.

    176,800       78,986  

First Resources Ltd.

    281,600       303,537  

Golden Agri-Resources Ltd.(d)

    3,271,500       655,833  

Japfa Ltd.

    208,740       89,555  

Wilmar International Ltd.

    975,200       2,814,815  
   

 

 

 
          3,942,726  
South Africa — 0.1%            

Astral Foods Ltd.

    19,475       235,286  

Oceana Group Ltd.

    42,987       137,534  
   

 

 

 
      372,820  
South Korea — 0.1%            

Dongwon Industries Co. Ltd.

    557       93,836  

Harim Holdings Co. Ltd.

    23,446       145,787  

Hyundai Feed Inc.

    4,657       81,647  

Namhae Chemical Corp.

    11,272       90,237  
   

 

 

 
      411,507  
Sweden — 0.5%            

Husqvarna AB, Class B

    213,516       1,436,627  
   

 

 

 
Taiwan — 0.4%            

Charoen Pokphand Enterprise

    85,800       226,699  

Sesoda Corp.

    79,000       124,250  

Taiwan Fertilizer Co. Ltd.

    369,000       758,805  

Taiwan TEA Corp.(a)

    259,000       168,867  
   

 

 

 
      1,278,621  
Thailand — 0.6%            

Charoen Pokphand Foods PCL, NVDR

    1,967,400       1,401,783  

GFPT PCL, NVDR

    221,400       101,874  
Security   Shares     Value  
Thailand (continued)            

Khon Kaen Sugar Industry PCL, NVDR

    1,000,454     $ 98,641  

Thaifoods Group PCL, NVDR(d)

    564,500       96,741  
   

 

 

 
      1,699,039  
Turkey — 0.2%            

Gubre Fabrikalari TAS(a)

    25,009       160,383  

Hektas Ticaret TAS(a)

    194,852       438,880  

Turk Traktor ve Ziraat Makineleri AS(d)

    6,731       90,362  
   

 

 

 
      689,625  
United Kingdom — 2.5%            

CNH Industrial NV

    519,590       6,326,043  

Cranswick PLC

    27,038       968,058  
   

 

 

 
      7,294,101  
United States — 56.8%            

AGCO Corp.

    32,172       3,497,418  

American Vanguard Corp.

    14,045       279,917  

AppHarvest Inc.(a)(d)

    36,391       104,806  

Archer-Daniels-Midland Co.

    285,713       25,111,316  

Benson Hill Inc.(a)(d)

    57,768       205,076  

Bunge Ltd.

    76,921       7,628,256  

Cal-Maine Foods Inc.

    19,086       1,023,200  

CF Industries Holdings Inc.

    105,902       10,956,621  

Corteva Inc.

    367,503       22,575,709  

Darling Ingredients Inc.(a)(d)

    82,010       6,237,681  

Deere & Co.

    147,442       53,853,190  

FMC Corp.

    63,941       6,910,743  

Fresh Del Monte Produce Inc.

    19,408       530,615  

Hydrofarm Holdings Group Inc.(a)

    14,897       50,650  

Ingredion Inc.

    33,627       2,927,903  

Intrepid Potash Inc.(a)(d)

    5,540       258,884  

Lamb Weston Holdings Inc.

    73,352       5,833,685  

Lindsay Corp.

    5,590       896,412  

Local Bounti Corp.(a)

    15,256       56,752  

Mosaic Co. (The)

    183,877       9,905,454  

Pilgrim’s Pride Corp.(a)(d)

    24,412       695,010  

Scotts Miracle-Gro Co. (The)

    21,095       1,412,310  

Titan International Inc.(a)

    25,450       357,064  

Toro Co. (The)

    53,084       4,402,256  

Vital Farms Inc.(a)(d)

    10,158       131,546  
   

 

 

 
          165,842,474  
   

 

 

 

Total Common Stocks — 97.1%
(Cost: $298,332,228)

 

    283,693,539  
   

 

 

 

Preferred Stocks

 

Chile — 2.5%            

Sociedad Quimica y Minera de Chile SA, Class B, Preference Shares

    72,517       7,249,839  
   

 

 

 

Total Preferred Stocks — 2.5%
(Cost: $5,136,505)

 

    7,249,839  
   

 

 

 

Total Long-Term Investments — 99.6%
(Cost: $303,468,733)

 

    290,943,378  
   

 

 

 

 

 

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

  17


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Agriculture Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

 

Short-Term Securities

   
Money Market Funds — 0.3%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 2.42%(e)(f)(g)

    807,722     $ 807,964  
   

 

 

 

Total Short-Term Securities — 0.3%
(Cost: $807,639)

 

    807,964  
   

 

 

 

Total Investments in Securities — 99.9%
(Cost: $304,276,372)

 

    291,751,342  

Other Assets Less Liabilities — 0.1%

      421,067  
   

 

 

 

Net Assets — 100.0%

    $   292,172,409  
   

 

 

 

 

(a) 

Non-income producing security.

 

 

(b) 

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

(c) 

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

(d) 

All or a portion of this security is on loan.

(e) 

Affiliate of the Fund.

(f) 

Annualized 7-day yield as of period end.

(g) 

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

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended August 31, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

   
    Affiliated Issuer   Value at
08/31/21
     Purchases
at Cost
    

Proceeds

from Sale

    Net Realized
Gain (Loss)
     Change in
Unrealized
Appreciation
(Depreciation)
     Value at
08/31/22
     Shares
Held at
08/31/22
     Income    

Capital

Gain
Distributions

from

Underlying
Funds

          
 

 

   
      

BlackRock Cash Funds: Institutional, SL Agency Shares

  $ 1,825,834      $             —      $ (1,018,252 )(a)    $ 73      $ 309      $ 807,964        807,722      $ 71,028 (b)    $    
 

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

    80,000               (80,000 )(a)                                  1,445          
           

 

 

    

 

 

    

 

 

       

 

 

   

 

 

   
            $ 73      $ 309      $ 807,964         $ 72,473     $             —    
           

 

 

    

 

 

    

 

 

       

 

 

   

 

 

   

 

  (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.

 
  (c) 

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

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

 
Description  

Number of

Contracts

   

Expiration

Date

   

Notional

Amount

(000)

   

Value/

Unrealized

Appreciation

(Depreciation)

 

 

 

Long Contracts

       

Euro STOXX 50 Index

    7       09/16/22     $ 247     $ 4,106  

S&P 500 E-Mini Index

    3       09/16/22       593       3,537  
       

 

 

 
        $ 7,643  
       

 

 

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

 
    

Commodity

Contracts

    

Credit

Contracts

    

Equity

Contracts

    

Foreign

Currency

Exchange

Contracts

    

Interest

Rate

Contracts

    

Other

Contracts

     Total  

 

 

Assets — Derivative Financial Instruments

                    

Futures contracts
Unrealized appreciation on futures contracts(a)

   $      $      $ 7,643      $      $      $      $ 7,643  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

18  

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


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Agriculture Producers ETF

 

Derivative Financial Instruments Categorized by Risk Exposure (continued)

For the period ended August 31, 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

   $      $      $ (57,737    $      $      $      $ (57,737
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

                    

Futures contracts

   $      $      $ 7,643      $      $      $      $ 7,643  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts

  

Average notional value of contracts — long

   $ 432,179  

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

Fair Value Hierarchy as of Period End

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

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

 

 

 
     Level 1      Level 2      Level 3      Total  

 

 

Investments

           

Assets

 

Common Stocks

   $ 201,092,512      $ 82,601,024      $ 3      $ 283,693,539  

Preferred Stocks

     7,249,839                      7,249,839  

Money Market Funds

     807,964                      807,964  
  

 

 

    

 

 

    

 

 

    

 

 

 
   $   209,150,315      $  82,601,024      $ 3      $ 291,751,342  
  

 

 

    

 

 

    

 

 

    

 

 

 

Derivative financial instruments(a)

           

Assets

           

Futures Contracts

   $ 3,537      $ 4,106      $             —      $ 7,643  
  

 

 

    

 

 

    

 

 

    

 

 

 

 

  (a) 

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

 

See notes to financial statements.

 

 

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

  19


Table of Contents

Schedule of Investments  

August 31, 2022

  

iShares® MSCI Global Energy Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   
Australia — 2.8%            

Beach Energy Ltd.

    70,304     $ 81,259  

Boss Energy Ltd. (a)

    15,392       27,933  

Karoon Energy Ltd.(a)

    24,648       35,691  

New Hope Corp. Ltd.(b)

    22,360       73,891  

Paladin Energy Ltd.(a)

    119,496       67,248  

Santos Ltd.

    144,584       771,831  

Washington H Soul Pattinson & Co. Ltd.

    9,776       170,377  

Whitehaven Coal Ltd.

    40,664       216,601  

Woodside Energy Group Ltd.

    85,064       1,975,910  
   

 

 

 
      3,420,741  
Austria — 0.2%            

OMV AG

    6,552       263,995  
   

 

 

 
Brazil — 1.2%            

3R Petroleum Oleo E Gas SA(a)

    8,112       58,301  

Enauta Participacoes SA

    4,680       15,032  

Petro Rio SA(a)

    31,616       165,968  

Petroleo Brasileiro SA

    166,674       1,190,849  

Petroreconcavo SA

    5,812       30,477  
   

 

 

 
      1,460,627  
Canada — 8.8%            

Advantage Energy Ltd.(a)

    8,450       72,189  

ARC Resources Ltd.

    30,549       421,710  

Athabasca Oil Corp.(a)

    25,480       50,248  

Baytex Energy Corp.(a)

    25,584       132,659  

Birchcliff Energy Ltd.

    11,752       103,530  

Cameco Corp.

    17,888       521,379  

Canacol Energy Ltd.

    6,760       12,919  

Canadian Natural Resources Ltd.

    51,707           2,834,663  

Cardinal Energy Ltd.

    5,720       36,410  

Cenovus Energy Inc.

    62,002       1,163,231  

Crescent Point Energy Corp.

    25,649       194,904  

Crew Energy Inc.(a)

    6,240       30,883  

Denison Mines Corp.(a)(b)

    36,296       51,403  

Energy Fuels Inc./Canada(a)

    6,864       55,765  

Enerplus Corp.

    10,712       165,082  

Freehold Royalties Ltd.

    5,616       61,319  

Frontera Energy Corp.(a)

    2,704       22,833  

Headwater Exploration Inc.(a)

    8,944       40,792  

Imperial Oil Ltd.

    10,497       515,199  

Kelt Exploration Ltd.(a)

    7,280       34,866  

MEG Energy Corp.(a)

    12,480       174,464  

NexGen Energy Ltd.(a)(b)

    17,992       80,004  

NuVista Energy Ltd.(a)

    8,112       66,707  

Obsidian Energy Ltd.(a)

    3,120       28,080  

Paramount Resources Ltd., Class A

    3,432       78,238  

Parex Resources Inc.

    5,304       84,849  

Peyto Exploration & Development Corp.

    7,696       71,783  

Pipestone Energy Corp.(a)

    5,408       20,094  

PrairieSky Royalty Ltd.

    9,568       130,405  

Spartan Delta Corp.(a)

    6,032       60,855  

Suncor Energy Inc.

    64,418       2,084,076  

Surge Energy Inc.

    3,120       23,946  

Tamarack Valley Energy Ltd.

    19,552       62,377  

Topaz Energy Corp.

    4,160       65,503  

Tourmaline Oil Corp.

    14,314       846,295  

Vermilion Energy Inc.

    7,384       197,229  
Security   Shares     Value  
Canada (continued)            

Whitecap Resources Inc.

    27,840     $ 202,862  
   

 

 

 
          10,799,751  
China — 1.5%            

AAG Energy Holdings Ltd.(c)

    67,000       12,648  

CGN Mining Co. Ltd.(a)

    90,000       11,726  

China Coal Energy Co. Ltd., Class H

    91,000       80,923  

China Shenhua Energy Co. Ltd., Class A

    18,400       80,640  

China Shenhua Energy Co. Ltd., Class H

    150,000       470,441  

Guanghui Energy Co. Ltd., Class A

    20,800       38,144  

Inner Mongolia Dian Tou Energy Corp. Ltd.

    5,800       11,677  

Inner Mongolia Yitai Coal Co. Ltd., Class B

    50,200       84,484  

Jizhong Energy Resources Co. Ltd.

    10,700       10,553  

PetroChina Co. Ltd., Class A

    52,000       40,289  

PetroChina Co. Ltd., Class H

    946,000       439,907  

Pingdingshan Tianan Coal Mining Co. Ltd.

    7,000       13,275  

Shaanxi Coal Industry Co. Ltd., Class A

    25,500       81,216  

Shan Xi Hua Yang Group New Energy Co. Ltd.

    7,300       19,688  

Shanxi Coking Coal Energy Group Co. Ltd., Class A

    10,410       19,264  

Shanxi Lu’an Environmental Energy Development Co. Ltd., Class A

    10,400       23,840  

United Energy Group Ltd.

    372,000       45,903  

Yankuang Energy Group Co. Ltd., Class A

    6,100       42,257  

Yankuang Energy Group Co. Ltd., Class H

    66,000       261,255  
   

 

 

 
      1,788,130  
Colombia — 0.1%            

Ecopetrol SA

    220,376       112,303  
   

 

 

 
Finland — 0.8%            

Neste OYJ

    18,960       935,426  
   

 

 

 
France — 4.6%            

Etablissements Maurel et Prom SA

    2,704       13,685  

TotalEnergies SE

    111,030       5,621,414  
   

 

 

 
      5,635,099  
Greece — 0.1%            

Hellenic Petroleum Holdings SA

    2,971       20,442  

Motor Oil Hellas Corinth Refineries SA

    2,974       56,071  
   

 

 

 
          76,513  
Hungary — 0.1%            

MOL Hungarian Oil & Gas PLC

    18,408       126,838  
   

 

 

 
India — 4.3%            

Bharat Petroleum Corp. Ltd.

    38,584       158,055  

Coal India Ltd.

    68,432       199,957  

Gujarat Mineral Development Corp. Ltd.

    2,808       5,787  

Hindustan Petroleum Corp. Ltd.

    28,600       86,808  

Indian Oil Corp. Ltd.

    123,718       110,395  

Oil & Natural Gas Corp. Ltd.

    111,215       192,526  

Oil India Ltd.

    11,440       27,546  

Reliance Industries Ltd.

    97,704       3,200,787  

Reliance Industries Ltd., GDR(c)

    19,284       1,266,819  
   

 

 

 
      5,248,680  
Indonesia — 0.4%            

Adaro Energy Indonesia Tbk PT

    634,400       151,239  

Bukit Asam Tbk PT

    179,400       51,332  

Harum Energy Tbk PT

    104,000       11,895  

Indika Energy Tbk PT

    72,800       14,064  

Indo Tambangraya Megah Tbk PT

    20,800       55,094  

Medco Energi Internasional Tbk PT

    353,612       20,497  

Sugih Energy Tbk PT(a)(d)

    206,700        

 

 

20  

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


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Energy Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Indonesia (continued)            

United Tractors Tbk PT

    75,400     $ 171,691  
   

 

 

 
      475,812  
Israel — 0.2%            

Delek Group Ltd.(a)

    416       72,254  

Equital Ltd.(a)

    1,011       37,546  

Naphtha Israel Petroleum Corp. Ltd.(a)

    1,457       8,769  

Oil Refineries Ltd.

    91,936       39,477  

Paz Oil Co. Ltd.(a)

    435       57,019  
   

 

 

 
      215,065  
Italy — 1.1%            

Eni SpA

    113,040           1,335,333  

Saras SpA(a)

    25,688       31,115  
   

 

 

 
      1,366,448  
Japan — 1.2%            

Cosmo Energy Holdings Co. Ltd.

    3,436       102,876  

ENEOS Holdings Inc.

    137,300       518,846  

Idemitsu Kosan Co. Ltd.

    9,268       244,372  

Inpex Corp.

    46,800       537,949  

Japan Petroleum Exploration Co. Ltd.

    1,300       37,038  
   

 

 

 
      1,441,081  
Malaysia — 0.0%            

Hibiscus Petroleum Bhd

    62,400       14,619  
   

 

 

 
Norway — 1.8%            

Aker BP ASA

    14,133       495,091  

BW Energy Ltd.(a)

    4,056       10,115  

DNO ASA

    20,592       29,257  

Equinor ASA

    43,780       1,699,129  
   

 

 

 
      2,233,592  
Philippines — 0.0%            

Semirara Mining & Power Corp.

    30,800       22,528  
   

 

 

 
Poland — 0.2%            

Polski Koncern Naftowy ORLEN SA

    18,196       235,679  
   

 

 

 
Portugal — 0.2%            

Galp Energia SGPS SA

    22,364       241,508  
   

 

 

 
Russia — 0.0%            

LUKOIL PJSC(d)

    17,021       3  

Rosneft Oil Co. PJSC(d)

    47,821       8  

Surgutneftegas PJSC(d)

    285,010       47  

Tatneft PJSC(d)

    57,983       9  
   

 

 

 
      67  
Saudi Arabia — 0.9%            

Rabigh Refining & Petrochemical Co.(a)

    18,847       86,691  

Saudi Arabian Oil Co.(c)

    108,360       1,079,372  
   

 

 

 
      1,166,063  
South Africa — 0.2%            

Exxaro Resources Ltd.

    10,816       137,798  

Thungela Resources Ltd.

    5,854       111,579  
   

 

 

 
      249,377  
South Korea — 0.5%            

HD Hyundai Co. Ltd.

    2,080       97,663  

SK Innovation Co. Ltd.(a)

    2,519       354,613  

S-Oil Corp.

    1,976       149,879  
   

 

 

 
      602,155  
Spain — 0.7%            

Repsol SA

    65,114       845,706  
   

 

 

 
Security   Shares     Value  
Thailand — 0.5%            

Bangchak Corp. PCL, NVDR

    41,600     $ 40,180  

Banpu PCL, NVDR

    260,000       103,222  

Esso Thailand PCL, NVDR(a)

    41,600       16,068  

IRPC PCL, NVDR

    478,400       44,784  

PTT Exploration & Production PCL, NVDR

    62,431       288,745  

Star Petroleum Refining PCL, NVDR

    72,800       25,723  

Thai Oil PCL, NVDR

    52,000       86,517  
   

 

 

 
      605,239  
Turkey — 0.1%            

Turkiye Petrol Rafinerileri AS(a)

    5,408       106,623  
   

 

 

 
United Arab Emirates — 0.0%            

Dana Gas PJSC

    149,760       39,671  
   

 

 

 
United Kingdom — 11.2%            

BP PLC

    865,764           4,423,990  

Capricorn Energy PLC(a)

    14,872       40,117  

Diversified Energy Co. PLC

    36,712       56,466  

Energean PLC(a)

    5,408       81,295  

EnQuest PLC(a)

    65,104       22,590  

Genel Energy PLC

    7,488       12,344  

Gulf Keystone Petroleum Ltd.

    8,840       24,750  

Harbour Energy PLC

    20,675       114,074  

Pantheon Resources PLC(a)(b)

    31,512       48,778  

Serica Energy PLC

    8,944       38,718  

Shell PLC

    333,330       8,822,592  

Tullow Oil PLC(a)

    55,016       30,897  
   

 

 

 
      13,716,611  
United States — 54.0%            

Antero Resources Corp.(a)

    12,584       504,367  

APA Corp.

    15,184       593,846  

Arch Resources Inc.

    728       105,982  

Berry Corp.

    2,496       22,838  

Brigham Minerals Inc., Class A

    2,184       64,974  

California Resources Corp.

    2,392       119,504  

Callon Petroleum Co.(a)

    2,166       92,185  

Centrus Energy Corp., Class A(a)(b)

    438       21,817  

Chesapeake Energy Corp.

    5,125       515,011  

Chevron Corp.

    83,596       13,213,184  

Chord Energy Corp.

    1,801       254,932  

Civitas Resources Inc.

    2,496       167,706  

CNX Resources Corp.(a)

    8,736       154,365  

Comstock Resources Inc.(a)

    4,160       81,536  

ConocoPhillips

    57,933       6,340,767  

CONSOL Energy Inc.

    1,456       104,512  

Coterra Energy Inc.

    36,088       1,115,480  

Crescent Energy Co., Class A

    1,598       27,374  

CVR Energy Inc.

    1,352       44,156  

Delek U.S. Holdings Inc.

    2,912       82,264  

Denbury Inc.(a)

    2,288       203,472  

Devon Energy Corp.

    28,080       1,983,010  

Diamondback Energy Inc.

    7,604       1,013,461  

Earthstone Energy Inc., Class A(a)(b)

    1,976       30,035  

Enviva Inc.

    1,456       101,221  

EOG Resources Inc.

    26,234       3,182,184  

EQT Corp.

    14,912       712,794  

Exxon Mobil Corp.

    188,698       18,037,642  

Gran Tierra Energy Inc.(a)

    16,120       22,729  

Gulfport Energy Corp.(a)

    560       54,746  

Hess Corp.

    12,541       1,514,702  

 

 

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

  21


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Energy Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

 
United States (continued)            

HF Sinclair Corp.

    6,968     $ 366,726  

Kimbell Royalty Partners LP

    2,184       38,744  

Kosmos Energy Ltd.(a)

    20,488       144,850  

Laredo Petroleum Inc.(a)

    694       53,861  

Magnolia Oil & Gas Corp., Class A

    7,488       178,739  

Marathon Oil Corp.

    31,720       811,715  

Marathon Petroleum Corp.

    24,246       2,442,784  

Matador Resources Co.(b)

    5,304       316,118  

Murphy Oil Corp.

    6,604       257,358  

Northern Oil and Gas Inc.

    2,912       92,136  

Occidental Petroleum Corp.

    41,972       2,980,012  

Ovintiv Inc.

    11,593       616,052  

Par Pacific Holdings Inc.(a)

    2,080       39,104  

PBF Energy Inc., Class A(a)

    4,368       149,211  

PDC Energy Inc.

    4,472       303,694  

Peabody Energy Corp.(a)

    5,096       125,667  

Permian Res Corp., NVS

    8,840       72,753  

Pioneer Natural Resources Co.

    10,300       2,608,166  

Range Resources Corp.(a)

    12,064       396,423  

Ranger Oil Corp.

    936       36,495  

SandRidge Energy Inc.(a)

    1,313       27,547  

SilverBow Resources Inc.(a)

    416       16,540  

SM Energy Co.(b)

    5,408       238,331  

Southwestern Energy Co.(a)

    39,950       299,225  

Talos Energy Inc.(a)

    2,600       53,898  

Tellurian Inc.(a)(b)

    21,632       86,528  

Texas Pacific Land Corp.

    279       513,488  

Uranium Energy Corp.(a)

    14,937       67,515  

Valero Energy Corp.

    18,273       2,140,134  

Viper Energy Partners LP

    2,704       82,526  

W&T Offshore Inc.(a)

    4,472       29,068  
   

 

 

 
      66,068,204  
   

 

 

 

Total Common Stocks — 97.7%
(Cost: $92,762,405)

 

    119,514,151  
   

 

 

 

Preferred Stocks

   
Brazil — 1.1%            

Petroleo Brasileiro SA, Preference Shares, NVS

    213,192       1,361,750  
   

 

 

 
Security   Shares     Value  

 

 
Russia — 0.0%            

Surgutneftegas PJSC, Preference Shares, NVS(d)

    275,500     $ 45  
   

 

 

 

Total Preferred Stocks — 1.1%
(Cost: $989,086)

 

    1,361,795  
   

 

 

 

Rights

   
Thailand — 0.0%            

Thai Oil PCL (Expires 09/14/22)(a)

    4,588        
   

 

 

 

Total Rights — 0.0%
(Cost: $—)

       
   

 

 

 

Total Long-Term Investments — 98.8%
(Cost: $93,751,491)

 

    120,875,946  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 0.5%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 2.42%(e)(f)(g)

    504,654       504,806  

BlackRock Cash Funds: Treasury, SL Agency Shares, 2.07%(e)(f)

    160,000       160,000  
   

 

 

 

Total Short-Term Securities — 0.5%
(Cost: $664,546)

 

    664,806  
   

 

 

 

Total Investments in Securities — 99.3%
(Cost: $94,416,037)

 

    121,540,752  

Other Assets Less Liabilities — 0.7%

 

    818,844  
   

 

 

 

Net Assets — 100.0%

    $   122,359,596  
   

 

 

 

 

(a) 

Non-income producing security.

(b) 

All or a portion of this security is on loan.

(c) 

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

(d) 

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

(e) 

Affiliate of the Fund.

(f) 

Annualized 7-day yield as of period end.

(g) 

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

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended August 31, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 
Affiliated Issuer  

Value at

08/31/21

   

Purchases

at Cost

   

Proceeds

from Sale

   

Net Realized

Gain (Loss)

   

Change in

Unrealized

Appreciation

(Depreciation)

   

Value at

08/31/22

   

Shares

Held at

08/31/22

    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

 

BlackRock Cash Funds: Institutional, SL Agency Shares

  $ 525,991     $     $ (21,220 )(a)    $ (136   $ 171     $ 504,806       504,654     $ 6,090 (b)    $  

BlackRock Cash Funds: Treasury, SL Agency Shares

    100,000       60,000 (a)                        160,000       160,000       805        
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 
        $ (136   $ 171     $ 664,806       $ 6,895     $  
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 

 

  (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.

 

 

22  

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Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Energy Producers ETF

 

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

        

E-mini Energy Select Sector Index

     15       09/16/22     $ 1,257     $ 905  

FTSE 100 Index

     2       09/16/22       169       (4,871
        

 

 

 
         $ (3,966
        

 

 

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

 
   

Commodity

Contracts

   

Credit

Contracts

   

Equity

Contracts

   

Foreign

Currency

Exchange

Contracts

   

Interest

Rate

Contracts

   

Other

Contracts

    Total  

 

 

Assets — Derivative Financial Instruments

             

Futures contracts

             

Unrealized appreciation on futures contracts(a)

  $     $     $ 905     $     $     $     $ 905  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities — Derivative Financial Instruments

             

Futures contracts

             

Unrealized depreciation on futures contracts(a)

  $     $     $ 4,871     $     $     $     $ 4,871  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended August 31, 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

  $     $     $ 135,445     $     $     $     $ 135,445  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

             

Futures contracts

  $     $     $ 16,832     $     $     $     $ 16,832  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 

Futures contracts

  

Average notional value of contracts — long

   $ 927,806      

 

 

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.

 

 

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

  23


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Energy Producers ETF

 

Fair Value Hierarchy as of Period End (continued)

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

 

                                                                                               

 

 
     Level 1        Level 2        Level 3        Total  

 

 

Investments

                 

Assets

                 

Common Stocks

   $ 78,752,925        $ 40,761,159        $ 67        $ 119,514,151  

Preferred Stocks

     1,361,750                   45          1,361,795  

Rights

                                 

Money Market Funds

     664,806                            664,806  
  

 

 

      

 

 

      

 

 

      

 

 

 
   $ 80,779,481        $ 40,761,159        $ 112        $ 121,540,752  
  

 

 

      

 

 

      

 

 

      

 

 

 

Derivative financial instruments(a)

                 

Assets

                 

Futures Contracts

   $ 905        $        $        $ 905  

Liabilities

                 

Futures Contracts

              (4,871                 (4,871
  

 

 

      

 

 

      

 

 

      

 

 

 
   $ 905        $ (4,871      $        $ (3,966
  

 

 

      

 

 

      

 

 

      

 

 

 

 

  (a) 

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

 

See notes to financial statements.

 

 

24  

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


Table of Contents

Schedule of Investments

August 31, 2022

  

iShares® MSCI Global Gold Miners ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

 

Common Stocks

   
Australia — 8.1%            

De Grey Mining Ltd.(a)(b)

    5,231,427     $ 3,439,810  

Newcrest Mining Ltd.

    1,300,505       15,634,226  

Red 5 Ltd.(a)

    13,649,054       2,347,814  

St. Barbara Ltd.

    4,291,322       2,647,487  

West African Resources Ltd.(a)(b)

    4,005,342       3,410,466  

Westgold Resources Ltd.

    3,055,538       1,921,004  
   

 

 

 
        29,400,807  
Canada — 51.2%            

Agnico Eagle Mines Ltd.

    910,799       37,559,580  

Alamos Gold Inc., Class A(b)

    1,117,310       8,056,440  

Argonaut Gold Inc.(a)(b)

    6,101,934       2,160,429  

B2Gold Corp.

    2,926,710       8,980,577  

Barrick Gold Corp.

    3,717,150       55,190,486  

Calibre Mining Corp.(a)

    2,939,547       2,126,295  

Centerra Gold Inc.

    777,986       3,524,587  

Eldorado Gold Corp.(a)

    683,612       3,768,494  

Equinox Gold Corp.(a)

    1,041,987       3,657,487  

IAMGOLD Corp.(a)

    2,029,556       2,426,164  

Kinross Gold Corp.

    3,349,784       10,992,933  

Lundin Gold Inc.

    421,943       2,817,558  

New Gold Inc.(a)

    3,155,848       2,042,465  

SSR Mining Inc.(b)

    597,293       8,063,353  

Torex Gold Resources Inc.(a)

    403,098       2,992,504  

Wesdome Gold Mines Ltd.(a)

    563,247       3,293,667  

Wheaton Precious Metals Corp.

    541,627       16,533,161  

Yamana Gold Inc.

    2,554,401       11,280,714  
   

 

 

 
      185,466,894  
China — 4.7%            

Zijin Mining Group Co. Ltd., Class A

    2,231,100       2,825,692  

Zijin Mining Group Co. Ltd., Class H

    12,500,000       14,124,663  
   

 

 

 
      16,950,355  
Indonesia — 1.1%            

Aneka Tambang Tbk

    31,102,700       4,158,947  
   

 

 

 
Peru — 1.1%            

Cia. de Minas Buenaventura SAA, ADR

    767,942       4,085,452  
   

 

 

 
Russia — 0.0%            

Polymetal International PLC(c)

    822,891       135  

Polyus PJSC(c)

    62,547       10  
   

 

 

 
      145  
Saudi Arabia — 3.9%            

AngloGold Ashanti Ltd.

    1,071,715       14,312,393  
   

 

 

 
Security   Shares     Value  

 

 
South Africa — 6.3%            

DRDGOLD Ltd.

    3,736,556     $ 2,024,709  

Gold Fields Ltd.

    1,991,654       16,085,298  

Harmony Gold Mining Co. Ltd.

    1,790,736       4,560,289  
   

 

 

 
      22,670,296  
Turkey — 0.7%            

Koza Altin Isletmeleri AS

    296,131       2,579,248  
   

 

 

 
United Kingdom — 1.7%            

Centamin PLC

    4,131,880       4,333,168  

Hochschild Mining PLC

    2,427,028       1,827,322  
   

 

 

 
      6,160,490  
United States — 20.5%            

Coeur Mining Inc.(a)(b)

    1,202,048       3,317,652  

McEwen Mining Inc., NVS(a)

    368,724       1,131,982  

Newmont Corp.

    1,686,739       69,763,525  
   

 

 

 
      74,213,159  
   

 

 

 

Total Long-Term Investments — 99.3%
(Cost: $524,087,513)

 

    359,998,186  
   

 

 

 

Short-Term Securities

   
Money Market Funds — 0.6%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 2.42%(d)(e)(f)

    1,922,319       1,922,895  

BlackRock Cash Funds: Treasury, SL Agency Shares, 2.07%(d)(e)

    100,000       100,000  
   

 

 

 

Total Short-Term Securities — 0.6%
(Cost: $2,021,667)

 

    2,022,895  
   

 

 

 

Total Investments in Securities — 99.9%
(Cost: $526,109,180)

 

    362,021,081  

Other Assets Less Liabilities — 0.1%

 

    343,688  
   

 

 

 

Net Assets — 100.0%

    $  362,364,769  
   

 

 

 

 

(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.

 

 

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

  25


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Gold Miners ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended August 31, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 
Affiliated Issuer  

Value at

08/31/21

   

Purchases

at Cost

   

Proceeds

from Sale

   

Net Realized

Gain (Loss)

    Change in
Unrealized
Appreciation
(Depreciation)
   

Value at

08/31/22

   

Shares

Held at

08/31/22

    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

 

BlackRock Cash Funds: Institutional, SL Agency Shares

  $ 5,683,523     $     $ (3,760,462 )(a)    $ (130   $ (36   $ 1,922,895       1,922,319     $ 68,842 (b)    $  

BlackRock Cash Funds: Treasury, SL Agency Shares

    130,000             (30,000 )(a)                  100,000       100,000       1,700        
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 
        $ (130   $ (36   $ 2,022,895       $ 70,542     $  
       

 

 

   

 

 

   

 

 

     

 

 

   

 

 

 

 

  (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/TSX 60 Index

     12        09/15/22      $ 2,129      $ (40,173
           

 

 

 

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)

  $     $     $ 40,173     $     $     $     $ 40,173  
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended August 31, 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

   $     $     $ (128,280   $     $     $     $ (128,280
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Change in Unrealized Appreciation (Depreciation) on

              

Futures contracts

   $     $     $ (48,603   $     $     $     $ (48,603
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

 

Futures contracts

  

Average notional value of contracts — long

   $ 1,920,584      

 

 

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

 

 

26  

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


Table of Contents

Schedule of Investments   (continued)

August 31, 2022

  

iShares® MSCI Global Gold Miners ETF

 

Fair Value Hierarchy as of Period End

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

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

 

                                                                                       

 

 
     Level 1        Level 2        Level 3        Total  

 

 

Investments

                 

Assets

                 

Common Stocks

   $ 263,765,505        $ 96,232,536        $ 145        $ 359,998,186  

Money Market Funds

     2,022,895                            2,022,895  
  

 

 

      

 

 

      

 

 

      

 

 

 
   $ 265,788,400        $ 96,232,536        $ 145        $ 362,021,081  
  

 

 

      

 

 

      

 

 

      

 

 

 

Derivative financial instruments(a)

                 

Liabilities

                 

Futures Contracts

   $ (40,173      $        $        $ (40,173
  

 

 

      

 

 

      

 

 

      

 

 

 

 

  (a) 

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

 

See notes to financial statements.

 

 

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

  27


Table of Contents

Schedule of Investments

August 31, 2022

  

iShares® MSCI Global Metals & Mining Producers ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

   
Australia — 38.5%            

29Metals Ltd.(a)

    325,435     $ 440,842  

Allkem Ltd.(a)

    720,192       6,676,156  

Alumina Ltd.

    3,030,883       3,093,390  

Australian Strategic Materials Ltd.(a)

    114,228       263,779  

AVZ Minerals Ltd.(a)(b)(c)

    3,302,250       1,534,922  

BHP Group Ltd.

    6,318,362       172,364,933  

BlueScope Steel Ltd.

    595,307       6,679,238  

Chalice Mining Ltd.(a)

    413,242       1,264,936  

Champion Iron Ltd.

    423,512       1,461,222  

Core Lithium Ltd.(a)(c)

    1,837,668       1,712,701  

Deterra Royalties Ltd.

    561,120       1,585,082  

Fortescue Metals Group Ltd.

    2,112,972       26,259,108  

Glencore PLC

    12,299,436       67,247,905  

Goulamina Holdings Pty Ltd.(a)

    1,053,736       414,586  

Grange Resources Ltd.

    667,332       394,559  

IGO Ltd.

    848,448       7,592,999  

Iluka Resources Ltd.

    525,716       3,696,034  

Imdex Ltd.

    444,888       603,922  

ionner Ltd.(a)(c)

    1,853,089       825,696  

Jervois Global Ltd.(a)

    1,675,344       605,636  

Lake Resources NL(a)(c)

    1,514,198       1,172,954  

Liontown Resources Ltd.(a)

    2,088,335       2,411,182  

Lynas Rare Earths Ltd.(a)

    1,126,916       6,732,272  

Mincor Resources NL(a)

    496,667       738,055  

Mineral Resources Ltd.

    212,468       9,052,713  

Mount Gibson Iron Ltd.(c)

    757,512       219,655  

Neometals Ltd.(a)

    582,813       539,951  

Nickel Mines Ltd.

    1,358,651       902,171  

OZ Minerals Ltd.

    417,610       7,197,046  

Perenti Global Ltd.

    752,168       398,978  

Pilbara Minerals Ltd.(a)

    2,977,782       7,221,515  

Rio Tinto Ltd.

    463,571       29,442,957  

Rio Tinto PLC

    1,403,042       77,462,365  

Sandfire Resources Ltd.

    513,024       1,584,394  

Sayona Mining Ltd.(a)

    8,311,590       1,611,379  

Sims Ltd.

    206,369       2,129,197  

South32 Ltd.

    5,781,070       15,919,372  

Syrah Resources Ltd.(a)

    795,588       993,879  

Vulcan Energy Resources Ltd.(a)(c)

    109,487       604,014  
   

 

 

 
          471,051,695  
Austria — 0.2%            

voestalpine AG

    144,310       2,903,879  
   

 

 

 
Belgium — 0.1%            

Bekaert SA

    47,428       1,454,755  
   

 

 

 
Brazil — 5.3%            

Bradespar SA

    8,016       32,280  

Cia. Brasileira de Aluminio

    187,040       461,991  

Cia. Siderurgica Nacional SA

    823,728       2,185,039  

Vale SA

    4,992,874       61,902,271  
   

 

 

 
      64,581,581  
Canada — 4.9%            

Algoma Steel Group Inc.(c)

    110,888       1,013,177  

Altius Minerals Corp.

    50,856       709,006  

Capstone Mining Corp.(a)

    425,279       955,247  

Copper Mountain Mining Corp.(a)

    206,412       229,460  

ERO Copper Corp.(a)

    95,524       906,254  

Filo Mining Corp.(a)

    106,880       1,342,765  
Security   Shares     Value  
Canada (continued)            

First Quantum Minerals Ltd.

    733,574     $ 12,980,744  

Hudbay Minerals Inc.

    275,884       1,218,355  

Ivanhoe Mines Ltd., Class A(a)

    756,954       4,864,424  

Labrador Iron Ore Royalty Corp.

    71,498       1,589,086  

Largo Inc.(a)(c)

    48,096       327,390  

Lithium Americas Corp.(a)

    135,002       3,868,067  

Lundin Mining Corp.

    826,448       4,297,895  

Major Drilling Group International Inc.(a)

    92,852       629,218  

Solaris Resources Inc.(a)

    62,792       341,846  

Stelco Holdings Inc.

    60,033       1,624,984  

Taseko Mines Ltd.(a)

    349,364       364,433  

Teck Resources Ltd., Class B

    596,678       20,208,046  

Turquoise Hill Resources Ltd.(a)

    100,890       2,774,696  
   

 

 

 
          60,245,093  
Chile — 0.1%            

CAP SA

    84,836       684,462  
   

 

 

 
China — 2.8%            

Aluminum Corp. of China Ltd., Class A

    1,002,065