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AUGUST 31, 2022 |
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2022 Annual Report
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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
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.
Rob Kapito
President, BlackRock, Inc.
Rob Kapito
President, BlackRock, Inc.
Total Returns as of August 31, 2022 | ||||
6-Month | 12-Month | |||
U.S.
large cap equities |
(8.84)% | (11.23)% | ||
U.S.
small cap equities |
(9.31) | (17.88) | ||
International
equities |
(13.97) | (19.80) | ||
Emerging
market equities |
(13.30) | (21.80) | ||
3-month
Treasury bills |
0.36 | 0.39 | ||
U.S.
Treasury securities |
(9.71) | (13.27) | ||
U.S.
investment grade bonds |
(7.76) | (11.52) | ||
Tax-exempt
municipal bonds |
(5.72) | (8.63) | ||
U.S.
high yield bonds |
(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. |
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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.
4 |
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 |
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)
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 |
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. |
6 |
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 |
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)
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 |
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. |
8 |
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 |
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)
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 |
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. |
10 |
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 |
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)
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 |
|
|
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 |
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 |
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 |
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)
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 |
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 |
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 |
Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at iShares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.
An index is a statistical composite that tracks a specified financial market or sector. Unlike a fund, an index does not actually hold a portfolio of securities and therefore does not incur the expenses incurred by a fund. These expenses negatively impact fund performance. Also, market returns do not include brokerage commissions that may be payable on secondary market transactions. If brokerage commissions were included, market returns would be lower.
Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.
The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During the Period.”
The expense examples also provide information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in the Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.
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 |
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 |
16 |
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 |
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% |
|
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% |
|
7,249,839 | ||||||
|
|
|||||||
Total
Long-Term Investments — 99.6% |
|
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 |
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% |
|
807,964 | ||||||
|
|
|||||||
Total
Investments in Securities — 99.9% |
|
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 from Underlying |
|||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||
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 |
$ | — | $ | — | $ | 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 |
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 |
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 |
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 |
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% |
|
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% |
|
1,361,795 | ||||||
|
|
|||||||
Rights |
||||||||
Thailand — 0.0% | ||||||||
Thai Oil PCL (Expires 09/14/22)(a) |
4,588 | — | ||||||
|
|
|||||||
Total
Rights — 0.0% |
— | |||||||
|
|
|||||||
Total
Long-Term Investments — 98.8% |
|
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% |
|
664,806 | ||||||
|
|
|||||||
Total
Investments in Securities — 99.3% |
|
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 |
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 |
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 |
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 |
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% |
|
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% |
|
2,022,895 | ||||||
|
|
|||||||
Total
Investments in Securities — 99.9% |
|
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 |
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 |
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 |
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 | 650,419 | ||||||
Aluminum Corp. of China Ltd., Class H |
4,872,000 | 1,800,253 | ||||||
Anhui Honglu Steel Construction Group Co. Ltd., Class A |
138,050 | 576,315 | ||||||
Baoshan Iron & Steel Co. Ltd., Class A |
1,736,893 | 1,336,613 | ||||||
Chengtun Mining Group Co. Ltd., Class A |
267,200 | 276,160 | ||||||
China Hongqiao Group Ltd.(c) |
3,006,000 | 2,914,803 | ||||||
China Metal Recycling Holdings Ltd.(b) |
132,000 | — | ||||||
China Minmetals Rare Earth Co. Ltd., Class A(a) |
66,800 | 253,137 | ||||||
China Nonferrous Mining Corp Ltd. |
1,336,000 | 571,197 | ||||||
China Northern Rare Earth Group High-Tech Co. Ltd., Class A |
267,270 | 1,160,022 | ||||||
China Oriental Group Co. Ltd. |
1,180,000 | 217,390 | ||||||
China Zhongwang Holdings Ltd.(a)(b) |
1,552,000 | 180,886 | ||||||
CMOC Group Ltd., Class A |
1,536,400 | 1,090,057 | ||||||
CMOC Group Ltd., Class H |
4,338,000 | 1,934,386 | ||||||
E-Commodities Holdings Ltd. |
1,336,000 | 298,379 | ||||||
Ganfeng Lithium Co. Ltd., Class A |
116,920 | 1,441,260 | ||||||
Ganfeng Lithium Co. Ltd., Class H(d) |
447,280 | 3,929,560 | ||||||
GEM Co. Ltd., Class A |
465,517 | 560,484 | ||||||
Henan Shenhuo Coal & Power Co. Ltd. |
200,400 | 463,664 | ||||||
Hesteel Co. Ltd., Class A |
864,100 | 302,120 | ||||||
Huaibei Mining Holdings Co. Ltd. |
200,400 | 428,572 | ||||||
Hunan Valin Steel Co. Ltd., Class A |
534,400 | 343,565 | ||||||
Inner Mongolia BaoTou Steel Union Co. Ltd., Class A |
3,540,421 | 1,026,941 | ||||||
Inner Mongolia ERDOS Resources Co. Ltd. |
95,360 | 242,838 | ||||||
Jiangxi Copper Co. Ltd., Class A |
135,725 | 319,984 | ||||||
Jiangxi Copper Co. Ltd., Class H |
1,466,000 | 1,800,502 | ||||||
Jinchuan Group International Resources Co. Ltd. |
4,008,000 | 432,523 | ||||||
Maanshan Iron & Steel Co. Ltd., Class A |
603,400 | 261,293 | ||||||
MMG Ltd.(a) |
3,706,000 | 1,013,815 | ||||||
Pangang Group Vanadium Titanium & Resources Co. Ltd., Class A(a) |
734,800 | 607,804 | ||||||
Shandong Nanshan Aluminum Co. Ltd., Class A |
996,130 | 486,718 | ||||||
Shanxi Meijin Energy Co. Ltd., Class A |
336,628 | 550,275 | ||||||
Shanxi Taigang Stainless Steel Co. Ltd., Class A |
467,600 | 331,174 | ||||||
Shenghe Resources Holding Co. Ltd., Class A |
133,600 | 333,417 | ||||||
Shougang Fushan Resources Group Ltd. |
2,672,000 | 847,525 | ||||||
Tiangong International Co. Ltd. |
1,336,000 | 448,051 | ||||||
Tianshan Aluminum Group Co. Ltd., Class A |
326,200 | 359,968 | ||||||
Tibet Summit Resources Co. Ltd., Class-A(a) |
66,800 | 271,572 | ||||||
Tongling Nonferrous Metals Group Co. Ltd., Class A |
870,600 | 363,209 | ||||||
Western Mining Co. Ltd., Class A |
200,400 | 307,283 |
28 |
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 |
Schedule of Investments (continued) August 31, 2022 |
iShares® MSCI Global Metals & Mining Producers ETF (Percentages shown are based on Net Assets) |
Security | Shares | Value | ||||||
China (continued) | ||||||||
Western Superconducting Technologies Co. Ltd., Class A |
24,450 | $ | 359,407 | |||||
Xiamen Tungsten Co. Ltd., Class A |
133,699 | 487,834 | ||||||
Yintai Gold Co. Ltd., Class A |
259,440 | 428,398 | ||||||
YongXing Special Materials Technology Co. Ltd., Class A |
21,100 | 407,804 | ||||||
Yunnan Aluminium Co. Ltd., Class A |
267,200 | 387,886 | ||||||
Yunnan Tin Co. Ltd., Class A |
133,600 | 267,153 | ||||||
Zhejiang Huayou Cobalt Co. Ltd., Class A |
113,050 | 1,216,710 | ||||||
|
|
|||||||
34,289,326 | ||||||||
Cyprus — 0.0% | ||||||||
Atalaya Mining PLC |
136,940 | 353,960 | ||||||
|
|
|||||||
Finland — 0.2% | ||||||||
Outokumpu OYJ |
460,340 | 1,845,945 | ||||||
|
|
|||||||
France — 1.5% | ||||||||
APERAM SA |
59,452 | 1,604,689 | ||||||
ArcelorMittal SA |
656,689 | 15,585,930 | ||||||
Eramet SA |
12,714 | 1,077,938 | ||||||
|
|
|||||||
18,268,557 | ||||||||
Germany — 0.5% | ||||||||
Aurubis AG |
39,434 | 2,387,590 | ||||||
Salzgitter AG(c) |
37,408 | 919,659 | ||||||
thyssenkrupp AG(a) |
582,562 | 3,249,455 | ||||||
|
|
|||||||
6,556,704 | ||||||||
India — 3.3% | ||||||||
APL Apollo Tubes Ltd.(a) |
175,684 | 2,066,011 | ||||||
Godawari Power and Ispat Ltd. |
52,772 | 193,260 | ||||||
Hindalco Industries Ltd. |
1,672,004 | 9,068,280 | ||||||
Hindustan Copper Ltd. |
245,824 | 360,608 | ||||||
Jindal Stainless Hisar Ltd.(a) |
122,244 | 371,191 | ||||||
Jindal Stainless Ltd.(a) |
199,064 | 316,690 | ||||||
Jindal Steel & Power Ltd. |
505,008 | 2,717,308 | ||||||
JSW Steel Ltd. |
901,132 | 7,473,210 | ||||||
Lloyds Metals & Energy Ltd. |
94,856 | 164,121 | ||||||
National Aluminium Co. Ltd. |
1,024,044 | 1,019,752 | ||||||
Ratnamani Metals & Tubes Ltd. |
36,180 | 842,107 | ||||||
Tata Steel Ltd. |
7,899,768 | 10,606,247 | ||||||
Tata Steel Ltd., GDR |
119,933 | 1,583,396 | ||||||
Usha Martin Ltd. |
153,065 | 269,814 | ||||||
Vedanta Ltd. |
921,172 | 3,087,224 | ||||||
Welspun Corp. Ltd. |
149,632 | 419,554 | ||||||
|
|
|||||||
40,558,773 | ||||||||
Indonesia — 0.7% | ||||||||
Adaro Minerals Indonesia Tbk PT(a) |
10,153,600 | 1,170,985 | ||||||
Bumi Resources Minerals Tbk PT(a) |
54,575,600 | 911,892 | ||||||
Merdeka Copper Gold Tbk PT(a) |
15,030,086 | 4,322,204 | ||||||
Timah Tbk PT |
3,144,000 | 316,007 | ||||||
Vale Indonesia Tbk PT(a) |
3,072,800 | 1,259,454 | ||||||
|
|
|||||||
7,980,542 | ||||||||
Japan — 4.4% | ||||||||
Daido Steel Co. Ltd. |
28,600 | 802,291 | ||||||
Daiki Aluminium Industry Co. Ltd. |
59,000 | 569,634 | ||||||
Dowa Holdings Co. Ltd. |
66,800 | 2,517,963 | ||||||
Hitachi Metals Ltd.(a) |
274,700 | 4,133,341 | ||||||
JFE Holdings Inc. |
601,200 | 6,459,024 | ||||||
Kobe Steel Ltd. |
400,800 | 1,823,620 | ||||||
Kyoei Steel Ltd. |
18,400 | 202,417 | ||||||
Maruichi Steel Tube Ltd. |
68,900 | 1,468,807 |
Security | Shares | Value | ||||||
Japan (continued) | ||||||||
Mitsubishi Materials Corp. |
141,000 | $ | 2,104,428 | |||||
Mitsui Mining & Smelting Co. Ltd. |
69,600 | 1,643,646 | ||||||
Nippon Light Metal Holdings Co. Ltd. |
71,440 | 822,026 | ||||||
Nippon Steel Corp. |
1,002,005 | 15,827,776 | ||||||
Pacific Metals Co. Ltd. |
22,600 | 394,025 | ||||||
Sanyo Special Steel Co. Ltd. |
25,900 | 389,301 | ||||||
Sumitomo Metal Mining Co. Ltd. |
320,200 | 10,075,611 | ||||||
Toho Titanium Co. Ltd. |
66,800 | 1,058,148 | ||||||
Tokyo Steel Manufacturing Co. Ltd. |
66,800 | 707,757 | ||||||
UACJ Corp. |
33,638 | 580,786 | ||||||
Yamato Kogyo Co. Ltd. |
52,300 | 1,851,454 | ||||||
Yodogawa Steel Works Ltd. |
19,600 | 352,481 | ||||||
|
|
|||||||
53,784,536 | ||||||||
Malaysia — 0.4% | ||||||||
Press Metal Aluminium Holdings Bhd |
4,609,200 | 4,885,274 | ||||||
|
|
|||||||
Mexico — 1.2% | ||||||||
Grupo Mexico SAB de CV, Series B |
3,874,400 | 14,669,507 | ||||||
|
|
|||||||
Netherlands — 0.1% | ||||||||
AMG Advanced Metallurgical Group NV |
34,736 | 886,885 | ||||||
|
|
|||||||
New Zealand — 0.0% | ||||||||
Vulcan Steel Ltd. |
70,874 | 380,685 | ||||||
|
|
|||||||
Norway — 1.0% | ||||||||
Norsk Hydro ASA |
1,708,744 | 11,740,949 | ||||||
|
|
|||||||
Peru — 0.4% | ||||||||
Southern Copper Corp. |
106,234 | 5,000,434 | ||||||
|
|
|||||||
Poland — 0.3% | ||||||||
Jastrzebska Spolka Weglowa SA(a)(c) |
66,132 | 668,031 | ||||||
KGHM Polska Miedz SA |
173,724 | 3,255,481 | ||||||
|
|
|||||||
3,923,512 | ||||||||
Qatar — 0.2% | ||||||||
Qatar Aluminum Manufacturing Co. |
3,375,404 | 1,718,986 | ||||||
|
|
|||||||
Russia — 0.0% | ||||||||
Alrosa PJSC(b) |
2,886,002 | 473 | ||||||
MMC Norilsk Nickel PJSC(b) |
71,400 | 12 | ||||||
Novolipetsk Steel PJSC(b) |
1,668,000 | 273 | ||||||
Severstal PAO(b) |
233,400 | 38 | ||||||
United Co. RUSAL International PJSC(a)(b) |
3,450,000 | 566 | ||||||
|
|
|||||||
1,362 | ||||||||
Saudi Arabia — 1.7% | ||||||||
Saudi Arabian Mining Co.(a) |
1,073,050 | 21,173,248 | ||||||
|
|
|||||||
Singapore — 0.1% | ||||||||
Straits Trading Co. Ltd. |
202,600 | 472,188 | ||||||
|
|
|||||||
South Africa — 2.6% |
||||||||
African Rainbow Minerals Ltd. |
138,276 | 1,907,428 | ||||||
Anglo American Platinum Ltd. |
66,132 | 4,616,645 | ||||||
Impala Platinum Holdings Ltd. |
1,059,000 | 11,096,569 | ||||||
Kumba Iron Ore Ltd. |
80,979 | 1,792,818 | ||||||
Northam Platinum Holdings Ltd.(a) |
421,552 | 3,967,259 | ||||||
Royal Bafokeng Platinum Ltd. |
112,224 | 951,779 | ||||||
Sibanye Stillwater Ltd. |
3,525,981 | 7,877,116 | ||||||
|
|
|||||||
32,209,614 | ||||||||
South Korea — 2.3% | ||||||||
Dongkuk Steel Mill Co. Ltd. |
78,156 | 765,635 |
S C H E D U L E O F I N V E S T M E N T S |
29 |
Schedule of Investments (continued) August 31, 2022 |
iShares® MSCI Global Metals & Mining Producers ETF (Percentages shown are based on Net Assets) |
Security | Shares | Value | ||||||
|
||||||||
South Korea (continued) | ||||||||
Hyundai Steel Co. |
107,548 | $ | 2,622,528 | |||||
KG Dongbu Steel Co. Ltd.(c) |
33,444 | 311,425 | ||||||
Korea Zinc Co. Ltd. |
10,688 | 5,346,422 | ||||||
Poongsan Corp. |
20,040 | 462,815 | ||||||
POSCO Holdings Inc. |
97,528 | 18,448,902 | ||||||
Seah Besteel Holdings Corp. |
18,036 | 249,560 | ||||||
SeAH Steel Holdings Corp. |
1 | 136 | ||||||
Young Poong Corp.(c) |
668 | 347,121 | ||||||
|
|
|||||||
28,554,544 | ||||||||
Spain — 0.2% | ||||||||
Acerinox SA |
251,836 | 2,278,567 | ||||||
|
|
|||||||
Sweden — 1.4% | ||||||||
Boliden AB |
341,414 | 10,932,809 | ||||||
Granges AB |
134,312 | 1,041,140 | ||||||
SSAB AB, Class A |
285,904 | 1,375,126 | ||||||
SSAB AB, Class B |
817,052 | 3,814,794 | ||||||
|
|
|||||||
17,163,869 | ||||||||
Switzerland — 0.0% | ||||||||
Swiss Steel Holding AG, Registered(a) |
1,148,292 | 340,670 | ||||||
|
|
|||||||
Taiwan — 1.9% | ||||||||
Century Iron & Steel Industrial Co. Ltd. |
194,000 | 553,380 | ||||||
China Metal Products |
208,011 | 202,831 | ||||||
China Steel Corp. |
14,998,612 | 14,204,677 | ||||||
Chun Yuan Steel Industry Co. Ltd. |
475,000 | 258,934 | ||||||
Chung Hung Steel Corp. |
1,145,000 | 966,140 | ||||||
EVERGREEN Steel Corp. |
199,000 | 400,227 | ||||||
Feng Hsin Steel Co. Ltd. |
668,000 | 1,463,292 | ||||||
Hsin Kuang Steel Co. Ltd. |
200,000 | 249,233 | ||||||
TA Chen Stainless Pipe |
1,945,365 | 2,507,862 | ||||||
Tung Ho Steel Enterprise Corp. |
640,700 | 1,132,759 | ||||||
YC INOX Co. Ltd. |
370,263 | 372,916 | ||||||
Yieh Phui Enterprise Co. Ltd. |
1,405,776 | 718,829 | ||||||
|
|
|||||||
23,031,080 | ||||||||
Turkey — 0.3% | ||||||||
Eregli Demir ve Celik Fabrikalari TAS |
1,742,812 | 2,753,929 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS, Class D |
910,001 | 589,498 | ||||||
Koza Anadolu Metal Madencilik Isletmeleri AS(a)(c) |
254,904 | 379,081 | ||||||
|
|
|||||||
3,722,508 | ||||||||
United Kingdom — 4.9% | ||||||||
Anglo American PLC |
1,585,318 | 50,943,345 | ||||||
Antofagasta PLC |
490,356 | 6,239,236 | ||||||
Central Asia Metals PLC |
223,360 | 596,798 | ||||||
Ferrexpo PLC |
378,088 | 650,354 | ||||||
Hill & Smith Holdings PLC |
110,220 | 1,331,561 | ||||||
|
|
|||||||
59,761,294 | ||||||||
United States — 16.5% | ||||||||
5E Advanced Materials Inc.(a) |
321,308 | 470,490 | ||||||
Alcoa Corp. |
229,814 | 11,371,197 | ||||||
Alpha Metallurgical Resources Inc. |
22,044 | 3,464,215 | ||||||
Arconic Corp.(a)(c) |
137,167 | 3,457,980 | ||||||
ATI Inc.(a)(c) |
154,845 | 4,634,511 | ||||||
Carpenter Technology Corp. |
60,099 | 2,041,563 | ||||||
Century Aluminum Co.(a) |
61,413 | 474,108 | ||||||
Cleveland-Cliffs Inc.(a)(c) |
654,706 | 11,306,773 | ||||||
Commercial Metals Co. |
152,304 | 6,169,835 | ||||||
Compass Minerals International Inc. |
41,416 | 1,676,934 | ||||||
Coronado Global Resources Inc.(d) |
929,856 | 1,017,283 |
Security | Shares | Value | ||||||
|
||||||||
United States (continued) | ||||||||
Freeport-McMoRan Inc. |
1,810,883 | $ | 53,602,137 | |||||
Kaiser Aluminum Corp. |
20,040 | 1,438,070 | ||||||
Materion Corp. |
25,384 | 2,190,893 | ||||||
MP Materials Corp.(a) |
100,200 | 3,505,998 | ||||||
Nucor Corp. |
332,577 | 44,212,786 | ||||||
Piedmont Lithium Inc.(a)(c) |
24,782 | 1,515,419 | ||||||
Ramaco Resources Inc. |
28,056 | 295,710 | ||||||
Reliance Steel & Aluminum Co. |
77,532 | 14,574,465 | ||||||
Ryerson Holding Corp. |
21,355 | 608,618 | ||||||
Schnitzer Steel Industries Inc., Class A |
32,732 | 1,081,465 | ||||||
Steel Dynamics Inc. |
235,717 | 19,027,076 | ||||||
SunCoke Energy Inc. |
105,544 | 695,535 | ||||||
TimkenSteel Corp.(a) |
49,432 | 758,287 | ||||||
U.S. Steel Corp. |
325,295 | 7,439,497 | ||||||
Warrior Met Coal Inc. |
64,840 | 2,110,542 | ||||||
Worthington Industries Inc. |
41,416 | 2,111,802 | ||||||
|
|
|||||||
201,253,189 | ||||||||
|
|
|||||||
Total
Common Stocks — 98.0% |
|
1,197,728,173 | ||||||
|
|
|||||||
Preferred Stocks |
||||||||
Brazil — 0.8% | ||||||||
Bradespar SA, Preference Shares, NVS |
346,846 | 1,459,415 | ||||||
Cia. Ferro Ligas da Bahia-Ferbasa, Preference Shares, NVS |
46,760 | 474,215 | ||||||
Gerdau SA, Preference Shares, NVS |
1,427,670 | 6,399,597 | ||||||
Metalurgica Gerdau SA, Preference Shares, NVS |
889,776 | 1,705,187 | ||||||
|
|
|||||||
10,038,414 | ||||||||
Russia — 0.0% | ||||||||
Mechel PJSC, Preference Shares, NVS(a)(b) |
96,000 | 16 | ||||||
|
|
|||||||
Total
Preferred Stocks — 0.8% |
|
10,038,430 | ||||||
|
|
|||||||
Total
Long-Term Investments — 98.8% |
|
1,207,766,603 | ||||||
|
|
|||||||
Short-Term Securities |
||||||||
Money Market Funds — 1.8% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 2.42%(e)(f)(g) |
20,081,698 | 20,087,722 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.07%(e)(f) |
1,990,000 | 1,990,000 | ||||||
|
|
|||||||
Total
Short-Term Securities — 1.8% |
|
22,077,722 | ||||||
|
|
|||||||
Total
Investments in Securities — 100.6% |
|
1,229,844,325 | ||||||
Liabilities in Excess of Other Assets — (0.6)% |
|
(6,853,033 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
$ | 1,222,991,292 | ||||||
|
|
(a) |
Non-income producing security. |
(b) |
Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
(c) |
All or a portion of this security is on loan. |
(d) |
Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
(e) |
Affiliate of the Fund. |
30 |
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 |
Schedule of Investments (continued) August 31, 2022 |
iShares® MSCI Global Metals & Mining Producers ETF |
(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 |
|||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
$ | 6,852,782 | $ | 13,241,031 | (a) | $ | — | $ | (13,323 | ) | $ | 7,232 | $ | 20,087,722 | 20,081,698 | $ | 309,374 | (b) | $ | — | ||||||||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
— | 1,990,000 | (a) | — | — | — | 1,990,000 | 1,990,000 | 10,416 | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
$ | (13,323 | ) | $ | 7,232 | $ | 22,077,722 | $ | 319,790 | $ | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(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 |
||||||||||||||||
E-mini Energy Select Sector Index |
21 | 09/16/22 | $ | 1,761 | $ | 54,997 | ||||||||||
MSCI Emerging Markets Index |
267 | 09/16/22 | 13,108 | (397,565 | ) | |||||||||||
|
|
|||||||||||||||
$ | (342,568 | ) | ||||||||||||||
|
|
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) |
$ | — | $ | — | $ | 54,997 | $ | — | $ | — | $ | — | $ | 54,997 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Liabilities — Derivative Financial Instruments |
||||||||||||||||||||||||||||
Futures contracts |
||||||||||||||||||||||||||||
Unrealized depreciation on futures contracts(a) |
$ | — | $ | — | $ | 397,565 | $ | — | $ | — | $ | — | $ | 397,565 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(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). |
S C H E D U L E O F I N V E S T M E N T S |
31 |
Schedule of Investments (continued) August 31, 2022 |
iShares® MSCI Global Metals & Mining 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 |
$ | — | $ | — | $ | 526,512 | $ | — | $ | — | $ | — | $ | 526,512 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net Change in Unrealized Appreciation (Depreciation) on |
||||||||||||||||||||||||||||
Futures contracts |
$ | — | $ | — | $ | (621,540 | ) | $ | — | $ | — | $ | — | $ | (621,540 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
||||
Futures contracts |
||||
Average notional value of contracts — long |
$ | 9,152,672 | ||
|
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 |
$ | 354,519,509 | $ | 841,491,494 | $ | 1,717,170 | $ | 1,197,728,173 | ||||||||
Preferred Stocks |
10,038,414 | — | 16 | 10,038,430 | ||||||||||||
Money Market Funds |
22,077,722 | — | — | 22,077,722 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 386,635,645 | $ | 841,491,494 | $ | 1,717,186 | $ | 1,229,844,325 | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Derivative financial instruments(a) |
||||||||||||||||
Assets |
||||||||||||||||
Futures Contracts |
$ | 54,997 | $ | — | $ | — | $ | 54,997 | ||||||||
Liabilities |
||||||||||||||||
Futures Contracts |
(397,565 | ) | — | — | (397,565 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | (342,568 | ) | $ | — | $ | — | $ | (342,568 | ) | |||||||
|
|
|
|
|
|
|
|
(a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
32 |
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 |
Schedule of Investments August 31, 2022 |
iShares® MSCI Global Silver and Metals Miners ETF (Percentages shown are based on Net Assets) |
Security | Shares | Value | ||||||
|
||||||||
Common Stocks |
||||||||
Canada — 68.6% | ||||||||
Agnico Eagle Mines Ltd. |
169,227 | $ | 6,978,592 | |||||
Aya Gold & Silver Inc.(a)(b) |
855,434 | 4,995,758 | ||||||
Dundee Precious Metals Inc. |
326,807 | 1,488,031 | ||||||
Eldorado Gold Corp.(a) |
273,203 | 1,506,064 | ||||||
Endeavour Silver Corp.(a)(b) |
1,610,539 | 4,672,139 | ||||||
First Majestic Silver Corp. |
1,890,994 | 13,807,921 | ||||||
Fortuna Silver Mines Inc.(a) |
2,670,953 | 6,182,432 | ||||||
GoGold Resources Inc.(a)(b) |
2,566,426 | 3,497,851 | ||||||
i-80 Gold Corp.(a) |
253,446 | 453,495 | ||||||
Kinross Gold Corp. |
649,832 | 2,132,544 | ||||||
Lundin Gold Inc. |
122,560 | 818,404 | ||||||
MAG Silver Corp.(a)(b) |
579,945 | 6,870,936 | ||||||
New Gold Inc.(a) |
1,116,840 | 722,819 | ||||||
New Pacific Metals Corp.(a)(b) |
903,832 | 2,346,722 | ||||||
Orla Mining Ltd.(a)(b) |
318,497 | 1,064,607 | ||||||
Pan American Silver Corp. |
1,747,679 | 26,001,940 | ||||||
Seabridge Gold Inc.(a) |
108,048 | 1,308,900 | ||||||
Silvercorp Metals Inc. |
1,710,951 | 3,895,187 | ||||||
SilverCrest Metals Inc.(a) |
1,234,340 | 6,738,659 | ||||||
SSR Mining Inc. |
174,711 | 2,358,569 | ||||||
Victoria Gold Corp.(a) |
72,056 | 426,844 | ||||||
Wheaton Precious Metals Corp. |
208,512 | 6,364,827 | ||||||
Yamana Gold Inc. |
517,875 | 2,287,033 | ||||||
|
|
|||||||
106,920,274 | ||||||||
China — 0.3% | ||||||||
Chifeng Jilong Gold Mining Co. Ltd., Class A(a) |
128,000 | 358,968 | ||||||
|
|
|||||||
Japan — 4.6% | ||||||||
Asahi Holdings Inc. |
475,800 | 7,091,767 | ||||||
|
|
|||||||
Mexico — 4.5% | ||||||||
Industrias Penoles SAB de CV |
857,100 | 7,044,757 | ||||||
|
|
|||||||
Peru — 0.5% | ||||||||
Cia. de Minas Buenaventura SAA, ADR |
153,194 | 814,992 | ||||||
|
|
|||||||
Russia — 0.0% | ||||||||
Polymetal International PLC(c) |
183,040 | 30 | ||||||
|
|
Security | Shares | Value | ||||||
|
||||||||
South Africa — 0.6% |
||||||||
Harmony Gold Mining Co. Ltd. |
379,907 | $ | 967,471 | |||||
|
|
|||||||
United Kingdom — 0.4% |
||||||||
Hochschild Mining PLC |
534,925 | 402,748 | ||||||
SolGold PLC(a)(b) |
928,896 | 214,740 | ||||||
|
|
|||||||
617,488 | ||||||||
United States — 20.3% | ||||||||
Coeur Mining Inc.(a)(b) |
424,384 | 1,171,300 | ||||||
Hecla Mining Co.(b) |
4,390,968 | 17,300,414 | ||||||
Newmont Corp. |
318,487 | 13,172,622 | ||||||
|
|
|||||||
31,644,336 | ||||||||
|
|
|||||||
Total
Long-Term Investments — 99.8% |
|
155,460,083 | ||||||
|
|
|||||||
Short-Term Securities |
| |||||||
Money Market Funds — 4.1% | ||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares, 2.42%(d)(e)(f) |
6,271,355 | 6,273,237 | ||||||
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.07%(d)(e) |
60,000 | 60,000 | ||||||
|
|
|||||||
Total
Short-Term Securities — 4.1% |
|
6,333,237 | ||||||
|
|
|||||||
Total
Investments in Securities — 103.9% |
|
161,793,320 | ||||||
Liabilities in Excess of Other Assets — (3.9)% |
|
(5,998,176 | ) | |||||
|
|
|||||||
Net Assets — 100.0% |
$ | 155,795,144 | ||||||
|
|
(a) |
Non-income producing security. |
(b) |
All or a portion of this security is on loan. |
(c) |
Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
(d) |
Affiliate of the Fund. |
(e) |
Annualized 7-day yield as of period end. |
(f) |
All or a portion of this security was purchased with the cash collateral from loaned securities. |
Affiliates
Investments in issuers considered to be affiliate(s) of the Fund during the 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 |
$ | 22,991,219 | $ | — | $ | (16,716,168 | )(a) | $ | (1,197 | ) | $ | (617 | ) | $ | 6,273,237 | 6,271,355 | $ | 230,670 | (b) | $ | — | |||||||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares |
140,000 | — | (80,000 | )(a) | — | — | 60,000 | 60,000 | 387 | — | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||||
$ | (1,197 | ) | $ | (617 | ) | $ | 6,333,237 | $ | 231,057 | $ | — | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(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. |
S C H E D U L E O F I N V E S T M E N T S |
33 |
Schedule of Investments (continued) August 31, 2022 |
iShares® MSCI Global Silver and Metals Miners 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 |
||||||||||||||||
S&P/TSX 60 Index |
3 | 09/15/22 | $ | 532 | $ | (15,636 | ) | |||||||||
|
|
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) |
$ | — | $ | — | $ | 15,636 | $ | — | $ | — | $ | — | $ | 15,636 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(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 |
$ | — | $ | — | $ | (23,841 | ) | $ | — | $ | — | $ | — | $ | (23,841 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Net Change in Unrealized Appreciation (Depreciation) on |
||||||||||||||||||||||||||||||||
Futures contracts |
$ | — | $ | — | $ | (17,632 | ) | $ | — | $ | — | $ | — | $ | (17,632 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Quarterly Balances of Outstanding Derivative Financial Instruments
|
||||
Futures contracts |
||||
Average notional value of contracts — long |
$ | 461,841 | ||
|
For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.
The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.
|
||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
|
||||||||||||||||
Investments |
||||||||||||||||
Assets |
||||||||||||||||
Common Stocks |
$ | 146,639,099 | $ | 8,820,954 | $ | 30 | $ | 155,460,083 | ||||||||
Money Market Funds |
6,333,237 | — | — | 6,333,237 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 152,972,336 | $ | 8,820,954 | $ | 30 | $ | 161,793,320 | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Derivative financial instruments(a) |
||||||||||||||||
Liabilities |
||||||||||||||||
Futures Contracts |
$ | (15,636 | ) | $ | — | $ | — | $ | (15,636 | ) | ||||||
|
|
|
|
|
|
|
|
(a) |
Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
See notes to financial statements.
34 |
2 0 2 2 I S H A R E S A N N U A L R E P O R T T O S H A R E H O L D E R S |
Statements of Assets and Liabilities
August 31, 2022
iShares MSCI Global ETF |
iShares MSCI Global ETF |
iShares MSCI Global |
iShares MSCI Global |
|||||||||||||
|
||||||||||||||||
ASSETS |
||||||||||||||||
Investments, at value — unaffiliated(a)(b) |
$ | 290,943,378 | $ | 120,875,946 | $ | 359,998,186 | $ | 1,207,766,603 | ||||||||
Investments, at value — affiliated(c) |
807,964 | 664,806 | 2,022,895 | 22,077,722 | ||||||||||||
Cash |
690,161 | 6,465 | 9,588 | — | ||||||||||||
Foreign currency, at value(d) |
443,419 | 514,661 | 1,466,035 | 3,633,919 | ||||||||||||
Cash pledged for futures contracts |
31,000 | 110,000 | 116,000 | 854,000 | ||||||||||||
Foreign currency collateral pledged for futures contracts(e) |
26,113 | 10,455 | — | — | ||||||||||||
Receivables: |
||||||||||||||||
Investments sold |
1,517,466 | 738,051 | 7,259,977 | 10,583,838 | ||||||||||||
Securities lending income — affiliated |
3,528 | 411 | 8,341 | 34,365 | ||||||||||||
Variation margin on futures contracts |
— | — | — | 23,642 | ||||||||||||
Capital shares sold |
1,350,072 | — | 23,522 | — | ||||||||||||
Dividends — unaffiliated |
543,325 | 850,267 | 1,704,246 | 11,071,422 | ||||||||||||
Dividends — affiliated |
640 | 165 | 242 | 2,594 | ||||||||||||
Tax reclaims |
4,680 | 28,908 | 481 | 98,180 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total assets |
296,361,746 | 123,800,135 | 372,609,513 | 1,256,146,285 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
LIABILITIES |
||||||||||||||||
Bank overdraft |
— | — | — | 441,674 | ||||||||||||
Collateral on securities loaned, at value |
807,028 | 504,003 | 1,927,990 | 20,091,394 | ||||||||||||
Deferred foreign capital gain tax |
126,256 | 85,001 | — | — | ||||||||||||
Payables: |
||||||||||||||||
Investments purchased |
3,152,265 | 796,782 | 8,165,846 | 4,280,441 | ||||||||||||
Variation margin on futures contracts |
8,068 | 14,010 | 20,314 | — | ||||||||||||
Capital shares redeemed |
— | — | — | 7,914,789 | ||||||||||||
Investment advisory fees |
93,649 | 40,743 | 130,594 | 425,680 | ||||||||||||
Professional fees |
— | — | — | 1,015 | ||||||||||||
Foreign taxes |
2,071 | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total liabilities |
4,189,337 | 1,440,539 | 10,244,744 | 33,154,993 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
$ | 292,172,409 | $ | 122,359,596 | $ | 362,364,769 | $ | 1,222,991,292 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS CONSIST OF |
||||||||||||||||
Paid-in capital |
$ | 311,285,276 | $ | 103,481,878 | $ | 606,906,442 | $ | 1,536,179,772 | ||||||||
Accumulated earnings (loss) |
(19,112,867 | ) | 18,877,718 | (244,541,673 | ) | (313,188,480 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
$ | 292,172,409 | $ | 122,359,596 | $ | 362,364,769 | $ | 1,222,991,292 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSET VALUE |
||||||||||||||||
Shares outstanding |
6,750,000 | 5,200,000 | 19,750,000 | 33,400,000 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net asset value |
$ | 43.28 | $ | 23.53 | $ | 18.35 | $ | 36.62 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Shares authorized |
500 million | 500 million | 500 million | 500 million | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Par value |
$ | 0.001 | $ | 0.001 | $ | 0.001 | $ | 0.001 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
(a) Investments, at cost — unaffiliated |
$ | 303,468,733 | $ | 93,751,491 | $ | 524,087,513 | $ | 1,400,144,153 | ||||||||
(b) Securities loaned, at value |
$ | 769,449 | $ | 389,066 | $ | 1,793,642 | $ | 18,726,345 | ||||||||
(c) Investments, at cost — affiliated |
$ | 807,639 | $ | 664,546 | $ | 2,021,667 | $ | 22,069,935 | ||||||||
(d) Foreign currency, at cost |
$ | 445,037 | $ | 516,387 | $ | 1,475,446 | $ | 3,671,550 | ||||||||
(e) Foreign currency collateral pledged, at cost |
$ | 27,097 | $ | 10,923 | $ | — | $ | — |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
35 |
Statements of Assets and Liabilities (continued)
August 31, 2022
iShares MSCI Global Miners ETF |
||||
|
||||
ASSETS |
||||
Investments, at value — unaffiliated(a)(b) |
$ | 155,460,083 | ||
Investments, at value — affiliated(c) |
6,333,237 | |||
Cash |
4,716 | |||
Foreign currency, at value(d) |
88,977 | |||
Foreign currency collateral pledged for futures contracts(e) |
21,320 | |||
Receivables: |
||||
Investments sold |
3,159,581 | |||
Securities lending income — affiliated |
23,199 | |||
Dividends — unaffiliated |
327,538 | |||
Dividends — affiliated |
57 | |||
Tax reclaims |
9,359 | |||
|
|
|||
Total assets |
165,428,067 | |||
|
|
|||
LIABILITIES |
||||
Collateral on securities loaned, at value |
6,276,144 | |||
Payables: |
||||
Investments purchased |
3,295,299 | |||
Variation margin on futures contracts |
3,621 | |||
Investment advisory fees |
57,859 | |||
|
|
|||
Total liabilities |
9,632,923 | |||
|
|
|||
NET ASSETS |
$ | 155,795,144 | ||
|
|
|||
NET ASSETS CONSIST OF |
||||
Paid-in capital |
$ | 286,290,388 | ||
Accumulated loss |
(130,495,244 | ) | ||
|
|
|||
NET ASSETS |
$ | 155,795,144 | ||
|
|
|||
NET ASSET VALUE |
||||
Shares outstanding |
18,100,000 | |||
|
|
|||
Net asset value |
$ | 8.61 | ||
|
|
|||
Shares authorized |
500 million | |||
|
|
|||
Par value |
$ | 0.001 | ||
|
|
|||
(a) Investments, at cost — unaffiliated |
$ | 242,838,445 | ||
(b) Securities loaned, at value |
$ | 5,911,883 | ||
(c) Investments, at cost — affiliated |
$ | 6,327,765 | ||
(d) Foreign currency, at cost |
$ | 91,339 | ||
(e) Foreign currency collateral pledged, at cost |
$ | 21,760 |
See notes to financial statements.
36 |
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 |
Year Ended August 31, 2022
iShares MSCI Global Agriculture Producers ETF |
iShares MSCI Global Energy Producers ETF |
iShares MSCI Global Gold Miners ETF |
iShares MSCI Global Metals & Mining Producers ETF |
|||||||||||||
|
||||||||||||||||
INVESTMENT INCOME |
|
|||||||||||||||
Dividends — unaffiliated |
$ | 4,352,441 | $ | 5,855,302 | $ | 13,669,701 | $ | 88,222,530 | ||||||||
Dividends — affiliated |
1,524 | 929 | 1,866 | 10,790 | ||||||||||||
Securities lending income — affiliated — net |
70,949 | 5,966 | 68,676 | 309,000 | ||||||||||||
Foreign taxes withheld |
(391,298 | ) | (270,071 | ) | (1,127,238 | ) | (3,736,056 | ) | ||||||||
Foreign withholding tax claims |
— | — | — | 11,974 | ||||||||||||
Other foreign taxes |
— | (653 | ) | — | (1,317 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total investment income |
4,033,616 | 5,591,473 | 12,613,005 | 84,816,921 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
EXPENSES |
||||||||||||||||
Investment advisory fees |
657,066 | 415,723 | 1,928,455 | 4,995,637 | ||||||||||||
Commitment fees |
1,011 | 696 | — | 15,838 | ||||||||||||
Professional fees |
217 | 217 | 217 | 1,415 | ||||||||||||
Interest expense |
— | — | — | 1,272 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total expenses |
658,294 | 416,636 | 1,928,672 | 5,014,162 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net investment income |
3,375,322 | 5,174,837 | 10,684,333 | 79,802,759 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments — unaffiliated(a) |
(2,910,298 | ) | (995,505 | ) | (24,964,196 | ) | (45,135,998 | ) | ||||||||
Investments — affiliated |
73 | (136 | ) | (130 | ) | (13,323 | ) | |||||||||
In-kind redemptions — unaffiliated(b) |
11,894,368 | 8,898,833 | 21,121,794 | 36,395,594 | ||||||||||||
Futures contracts |
(57,737 | ) | 135,445 | (128,280 | ) | 526,512 | ||||||||||
Foreign currency transactions |
(49,999 | ) | (66,685 | ) | (99,493 | ) | (634,003 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
8,876,407 | 7,971,952 | (4,070,305 | ) | (8,861,218 | ) | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments — unaffiliated(c) |
(23,929,245 | ) | 28,173,817 | (169,392,366 | ) | (305,547,572 | ) | |||||||||
Investments — affiliated |
309 | 171 | (36 | ) | 7,232 | |||||||||||
Futures contracts |
7,643 | 16,832 | (48,603 | ) | (621,540 | ) | ||||||||||
Foreign currency translations |
(9,055 | ) | (14,767 | ) | (8,628 | ) | (325,195 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
(23,930,348 | ) | 28,176,053 | (169,449,633 | ) | (306,487,075 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net realized and unrealized gain (loss) |
(15,053,941 | ) | 36,148,005 | (173,519,938 | ) | (315,348,293 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
$ | (11,678,619 | ) | $ | 41,322,842 | $ | (162,835,605 | ) | $ | (235,545,534 | ) | |||||
|
|
|
|
|
|
|
|
|||||||||
(a) Net of foreign capital gain tax and capital gain tax refund, if applicable |
$ | (61,708 | ) | $ | (27,214 | ) | $ | — | $ | (610,518 | ) | |||||
(b) See Note 2 of the Notes to Financial Statements. |
||||||||||||||||
(c) Net of reduction/increase in deferred foreign capital gain tax of |
$ | 7,125 | $ | (7,041 | ) | $ | — | $ | 1,681,594 |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
37 |
Statements of Operations (continued)
Year Ended August 31, 2022
iShares MSCI Global Silver and Metals Miners ETF |
||||
|
||||
INVESTMENT INCOME |
||||
Dividends — unaffiliated |
$ | 3,141,513 | ||
Dividends — affiliated |
1,220 | |||
Securities lending income — affiliated — net |
229,837 | |||
Foreign taxes withheld |
(280,728 | ) | ||
|
|
|||
Total investment income |
3,091,842 | |||
|
|
|||
EXPENSES |
||||
Investment advisory fees |
903,732 | |||
Professional fees |
217 | |||
|
|
|||
Total expenses |
903,949 | |||
|
|
|||
Net investment income |
2,187,893 | |||
|
|
|||
REALIZED AND UNREALIZED GAIN (LOSS) |
||||
Net realized gain (loss) from: |
||||
Investments — unaffiliated |
(20,878,361 | ) | ||
Investments — affiliated |
(1,197 | ) | ||
In-kind redemptions — unaffiliated(a) |
7,965,864 | |||
Futures contracts |
(23,841 | ) | ||
Foreign currency transactions |
(67,830 | ) | ||
|
|
|||
(13,005,365 | ) | |||
|
|
|||
Net change in unrealized appreciation (depreciation) on: |
||||
Investments — unaffiliated |
(84,506,556 | ) | ||
Investments — affiliated |
(617 | ) | ||
Futures contracts |
(17,632 | ) | ||
Foreign currency translations |
(9,424 | ) | ||
|
|
|||
(84,534,229 | ) | |||
|
|
|||
Net realized and unrealized loss |
(97,539,594 | ) | ||
|
|
|||
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS |
$ | (95,351,701 | ) | |
|
|
|||
(a) See Note 2 of the Notes to Financial Statements. |
See notes to financial statements.
38 |
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 |
Statements of Changes in Net Assets
iShares MSCI Global Agriculture Producers ETF |
iShares MSCI Global Energy Producers ETF |
|||||||||||||||
|
|
|
|
|||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/22 |
Year Ended 08/31/21 |
|||||||||||||
|
||||||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 3,375,322 | $ | 929,163 | $ | 5,174,837 | $ | 2,531,709 | ||||||||
Net realized gain (loss) |
8,876,407 | 1,043,316 | 7,971,952 | (2,495,908 | ) | |||||||||||
Net change in unrealized appreciation (depreciation) |
(23,930,348 | ) | 10,285,535 | 28,176,053 | 16,848,585 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase (decrease) in net assets resulting from operations |
(11,678,619 | ) | 12,258,014 | 41,322,842 | 16,884,386 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||
Decrease in net assets resulting from distributions to shareholders |
(2,600,095 | ) | (743,435 | ) | (4,516,824 | ) | (2,192,248 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||
Net increase in net assets derived from capital share transactions |
220,839,002 | 46,922,973 | 5,467,754 | 15,409,142 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
||||||||||||||||
Total increase in net assets |
206,560,288 | 58,437,552 | 42,273,772 | 30,101,280 | ||||||||||||
Beginning of year |
85,612,121 | 27,174,569 | 80,085,824 | 49,984,544 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
End of year |
$ | 292,172,409 | $ | 85,612,121 | $ | 122,359,596 | $ | 80,085,824 | ||||||||
|
|
|
|
|
|
|
|
(a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
39 |
Statements of Changes in Net Assets (continued)
iShares MSCI Global Gold Miners ETF |
iShares MSCI Global Metals & Mining Producers ETF |
|||||||||||||||
|
|
|
|
|||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/22 |
Year Ended 08/31/21 |
|||||||||||||
|
||||||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
||||||||||||||||
OPERATIONS |
||||||||||||||||
Net investment income |
$ | 10,684,333 | $ | 8,315,601 | $ | 79,802,759 | $ | 42,347,311 | ||||||||
Net realized gain (loss) |
(4,070,305 | ) | 22,658,655 | (8,861,218 | ) | 81,762,667 | ||||||||||
Net change in unrealized appreciation (depreciation) |
(169,449,633 | ) | (168,417,833 | ) | (306,487,075 | ) | 142,395,181 | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Net increase (decrease) in net assets resulting from operations |
(162,835,605 | ) | (137,443,577 | ) | (235,545,534 | ) | 266,505,159 | |||||||||
|
|
|
|
|
|
|
|
|||||||||
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||||||||||
Decrease in net assets resulting from distributions to shareholders |
(10,485,280 | ) | (7,902,083 | ) | (107,607,704 | ) | (26,536,436 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
CAPITAL SHARE TRANSACTIONS |
||||||||||||||||
Net increase (decrease) in net assets derived from capital share transactions |
(22,456,828 | ) | 130,863,348 | 460,084,733 | 568,697,109 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
NET ASSETS |
||||||||||||||||
Total increase (decrease) in net assets |
(195,777,713 | ) | (14,482,312 | ) | 116,931,495 | 808,665,832 | ||||||||||
Beginning of year |
558,142,482 | 572,624,794 | 1,106,059,797 | 297,393,965 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
End of year |
$ | 362,364,769 | $ | 558,142,482 | $ | 1,222,991,292 | $ | 1,106,059,797 | ||||||||
|
|
|
|
|
|
|
|
(a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
40 |
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 |
Statements of Changes in Net Assets (continued)
iShares MSCI Global Silver and Metals Miners ETF |
||||||||
|
|
|||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
|||||||
|
||||||||
INCREASE (DECREASE) IN NET ASSETS |
||||||||
OPERATIONS |
||||||||
Net investment income |
$ | 2,187,893 | $ | 1,710,322 | ||||
Net realized gain (loss) |
(13,005,365 | ) | 12,126,628 | |||||
Net change in unrealized appreciation (depreciation) |
(84,534,229 | ) | (72,828,176 | ) | ||||
|
|
|
|
|||||
Net decrease in net assets resulting from operations |
(95,351,701 | ) | (58,991,226 | ) | ||||
|
|
|
|
|||||
DISTRIBUTIONS TO SHAREHOLDERS(a) |
||||||||
Decrease in net assets resulting from distributions to shareholders |
(2,201,237 | ) | (8,369,316 | ) | ||||
|
|
|
|
|||||
CAPITAL SHARE TRANSACTIONS |
||||||||
Net increase (decrease) in net assets derived from capital share transactions |
(13,980,090 | ) | 84,032,695 | |||||
|
|
|
|
|||||
NET ASSETS |
||||||||
Total increase (decrease) in net assets |
(111,533,028 | ) | 16,672,153 | |||||
Beginning of year |
267,328,172 | 250,656,019 | ||||||
|
|
|
|
|||||
End of year |
$ | 155,795,144 | $ | 267,328,172 | ||||
|
|
|
|
(a) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
See notes to financial statements.
F I N A N C I A L S T A T E M E N T S |
41 |
(For a share outstanding throughout each period)
iShares MSCI Global Agriculture Producers ETF | ||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/20 |
Year Ended 08/31/19 |
Year Ended 08/31/18 |
||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||
Net asset value, beginning of year |
$ | 39.82 | $ | 28.60 | $ | 26.88 | $ | 29.15 | $ | 27.08 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income(a) |
0.86 | 0.60 | 0.49 | 0.53 | 0.53 | |||||||||||||||||||||||||||||||||||
Net realized and unrealized gain (loss)(b) |
3.25 | 11.11 | 1.73 | (2.25 | ) | 2.03 | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net increase (decrease) from investment operations |
4.11 | 11.71 | 2.22 | (1.72 | ) | 2.56 | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Distributions from net investment income(c) |
(0.65 | ) | (0.49 | ) | (0.50 | ) | (0.55 | ) | (0.49 | ) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net asset value, end of year |
$ | 43.28 | $ | 39.82 | $ | 28.60 | $ | 26.88 | $ | 29.15 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total Return(d) |
||||||||||||||||||||||||||||||||||||||||
Based on net asset value |
10.43 | % | 41.16 | % | 8.41 | % | (5.88 | )% | 9.49 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Ratios to Average Net Assets(e) |
||||||||||||||||||||||||||||||||||||||||
Total expenses |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total expenses after fees waived |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.37 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income |
2.00 | % | 1.60 | % | 1.84 | % | 1.88 | % | 1.84 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Supplemental Data |
||||||||||||||||||||||||||||||||||||||||
Net assets, end of year (000) |
$ | 292,172 | $ | 85,612 | $ | 27,175 | $ | 25,535 | $ | 33,521 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Portfolio turnover rate(f) |
10 | % | 6 | % | 9 | % | 13 | % | 25 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Based on average shares outstanding. |
(b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(d) |
Where applicable, assumes the reinvestment of distributions. |
(e) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
(f) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
42 |
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 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares MSCI Global Energy Producers ETF | ||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/20 |
Year Ended 08/31/19 |
Year Ended 08/31/18 |
||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||
Net asset value, beginning of year |
$ | 15.86 | $ | 12.04 | $ | 17.97 | $ | 22.80 | $ | 18.57 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income(a) |
1.01 | 0.58 | 0.68 | 0.70 | 0.64 | |||||||||||||||||||||||||||||||||||
Net realized and unrealized gain (loss)(b) |
7.51 | 3.76 | (5.61 | ) | (4.90 | ) | 4.23 | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net increase (decrease) from investment operations |
8.52 | 4.34 | (4.93 | ) | (4.20 | ) | 4.87 | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Distributions from net investment income(c) |
(0.85 | ) | (0.52 | ) | (1.00 | ) | (0.63 | ) | (0.64 | ) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net asset value, end of year |
$ | 23.53 | $ | 15.86 | $ | 12.04 | $ | 17.97 | $ | 22.80 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total Return(d) |
||||||||||||||||||||||||||||||||||||||||
Based on net asset value |
54.58 | % | 36.41 | % | (28.92 | )% | (18.56 | )% | 26.48 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Ratios to Average Net Assets(e) |
||||||||||||||||||||||||||||||||||||||||
Total expenses |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income |
4.85 | % | 4.01 | % | 4.62 | % | 3.41 | % | 2.93 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Supplemental Data |
||||||||||||||||||||||||||||||||||||||||
Net assets, end of year (000) |
$ | 122,360 | $ | 80,086 | $ | 49,985 | $ | 46,733 | $ | 47,889 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Portfolio turnover rate(f) |
12 | % | 8 | % | 12 | % | 6 | % | 5 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Based on average shares outstanding. |
(b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(d) |
Where applicable, assumes the reinvestment of distributions. |
(e) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
(f) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
F I N A N C I A L H I G H L I G H T S |
43 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares MSCI Global Gold Miners ETF | ||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/20 |
Year Ended 08/31/19 |
Year Ended 08/31/18 |
||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||
Net asset value, beginning of year |
$ | 26.96 | $ | 35.13 | $ | 24.01 | $ | 14.43 | $ | 19.96 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income(a) |
0.56 | 0.49 | 0.17 | 0.18 | 0.10 | |||||||||||||||||||||||||||||||||||
Net realized and unrealized gain (loss)(b) |
(8.61 | ) | (8.20 | ) | 11.11 | 9.59 | (5.51 | ) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net increase (decrease) from investment operations |
(8.05 | ) | (7.71 | ) | 11.28 | 9.77 | (5.41 | ) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Distributions from net investment income(c) |
(0.56 | ) | (0.46 | ) | (0.16 | ) | (0.19 | ) | (0.12 | ) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net asset value, end of year |
$ | 18.35 | $ | 26.96 | $ | 35.13 | $ | 24.01 | $ | 14.43 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total Return(d) |
||||||||||||||||||||||||||||||||||||||||
Based on net asset value |
(30.42 | )% | (22.12 | )% | 47.22 | % | 68.13 | % | (27.22 | )% | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Ratios to Average Net Assets(e) |
||||||||||||||||||||||||||||||||||||||||
Total expenses |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income |
2.16 | % | 1.63 | % | 0.66 | % | 1.04 | % | 0.56 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Supplemental Data |
||||||||||||||||||||||||||||||||||||||||
Net assets, end of year (000) |
$ | 362,365 | $ | 558,142 | $ | 572,625 | $ | 325,284 | $ | 232,989 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Portfolio turnover rate(f) |
25 | % | 12 | % | 21 | % | 15 | % | 4 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Based on average shares outstanding. |
(b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(d) |
Where applicable, assumes the reinvestment of distributions. |
(e) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
(f) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
44 |
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 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares MSCI Global Metals & Mining Producers ETF | ||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/20 |
Year Ended 08/31/19 |
Year Ended 08/31/18 |
||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||
Net asset value, beginning of year |
$ | 45.61 | $ | 27.79 | $ | 25.60 | $ | 30.93 | $ | 31.86 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income(a) |
2.67 | 2.13 | 1.04 | 1.49 | 1.06 | |||||||||||||||||||||||||||||||||||
Net realized and unrealized gain (loss)(b) |
(8.08 | ) | 16.86 | 2.26 | (5.13 | ) | (1.05 | ) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net increase (decrease) from investment operations |
(5.41 | ) | 18.99 | 3.30 | (3.64 | ) | 0.01 | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Distributions from net investment income(c) |
(3.58 | ) | (1.17 | ) | (1.11 | ) | (1.69 | ) | (0.94 | ) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net asset value, end of year |
$ | 36.62 | $ | 45.61 | $ | 27.79 | $ | 25.60 | $ | 30.93 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total Return(d) |
||||||||||||||||||||||||||||||||||||||||
Based on net asset value |
(12.69 | )% | 68.77 | % | 13.00 | % | (12.16 | )% | (0.10 | )% | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Ratios to Average Net Assets(e) |
||||||||||||||||||||||||||||||||||||||||
Total expenses |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total expenses excluding professional fees for foreign withholding tax claims |
0.39 | % | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income |
6.23 | % | 5.11 | % | 4.03 | % | 5.05 | % | 3.15 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Supplemental Data |
||||||||||||||||||||||||||||||||||||||||
Net assets, end of year (000) |
$ | 1,222,991 | $ | 1,106,060 | $ | 297,394 | $ | 221,470 | $ | 403,636 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Portfolio turnover rate(f) |
19 | % | 17 | % | 11 | % | 14 | % | 14 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Based on average shares outstanding. |
(b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(d) |
Where applicable, assumes the reinvestment of distributions. |
(e) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
(f) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
F I N A N C I A L H I G H L I G H T S |
45 |
Financial Highlights (continued)
(For a share outstanding throughout each period)
iShares MSCI Global Silver and Metals Miners ETF | ||||||||||||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||||||||||
Year Ended 08/31/22 |
Year Ended 08/31/21 |
Year Ended 08/31/20 |
Year Ended 08/31/19 |
Year Ended 08/31/18 |
||||||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||
Net asset value, beginning of year |
$ | 13.92 | $ | 17.29 | $ | 10.84 | $ | 8.43 | $ | 11.47 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income(a) |
0.12 | 0.10 | 0.04 | 0.09 | 0.10 | |||||||||||||||||||||||||||||||||||
Net realized and unrealized gain (loss)(b) |
(5.31 | ) | (2.93 | ) | 6.62 | 2.40 | (3.05 | ) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net increase (decrease) from investment operations |
(5.19 | ) | (2.83 | ) | 6.66 | 2.49 | (2.95 | ) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Distributions from net investment income(c) |
(0.12 | ) | (0.54 | ) | (0.21 | ) | (0.08 | ) | (0.09 | ) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net asset value, end of year |
$ | 8.61 | $ | 13.92 | $ | 17.29 | $ | 10.84 | $ | 8.43 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Total Return(d) |
||||||||||||||||||||||||||||||||||||||||
Based on net asset value |
(37.54 | )% | (16.69 | )% | 62.71 | % | 29.89 | % | (25.87 | )% | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Ratios to Average Net Assets(e) |
||||||||||||||||||||||||||||||||||||||||
Total expenses |
0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Net investment income |
0.94 | % | 0.63 | % | 0.35 | % | 0.98 | % | 0.94 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Supplemental Data |
||||||||||||||||||||||||||||||||||||||||
Net assets, end of year (000) |
$ | 155,795 | $ | 267,328 | $ | 250,656 | $ | 99,757 | $ | 50,577 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Portfolio turnover rate(f) |
38 | % | 31 | % | 66 | % | 27 | % | 19 | % | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
(a) |
Based on average shares outstanding. |
(b) |
The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities. |
(c) |
Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
(d) |
Where applicable, assumes the reinvestment of distributions. |
(e) |
Excludes fees and expenses incurred indirectly as a result of investments in underlying funds. |
(f) |
Portfolio turnover rate excludes in-kind transactions. |
See notes to financial statements.
46 |
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 |
1. |
ORGANIZATION |
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company is organized as a Maryland corporation and is authorized to have multiple series or portfolios.
These financial statements relate only to the following funds (each, a “Fund” and collectively, the “Funds”):
iShares ETF | Diversification Classification |
|||
MSCI Global Agriculture Producers |
Non-diversified | |||
MSCI Global Energy Producers |
Non-diversified | |||
MSCI Global Gold Miners |
Non-diversified | |||
MSCI Global Metals & Mining Producers |
Non-diversified | |||
MSCI Global Silver and Metals Miners |
Non-diversified |
2. |
SIGNIFICANT ACCOUNTING POLICIES |
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:
Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Funds are informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest.
Foreign Currency Translation: Each Fund’s books and records are maintained in U.S. dollars. Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars using prevailing market rates as quoted by one or more data service providers. Purchases and sales of investments are recorded at the rates of exchange prevailing on the respective dates of such transactions. Generally, when the U.S. dollar rises in value against a foreign currency, the investments denominated in that currency will lose value; the opposite effect occurs if the U.S. dollar falls in relative value.
Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of investments for financial reporting purposes. Accordingly, the effects of changes in exchange rates on investments are not segregated in the Statements of Operations from the effects of changes in market prices of those investments, but are included as a component of net realized and unrealized gain (loss) from investments. Each Fund reports realized currency gains (losses) on foreign currency related transactions as components of net realized gain (loss) for financial reporting purposes, whereas such components are generally treated as ordinary income for U.S. federal income tax purposes.
Foreign Taxes: The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its Statements of Operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as “Other foreign taxes”, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of August 31, 2022, if any, are disclosed in the Statements of Assets and Liabilities.
The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.
Collateralization: If required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments.
In-kind Redemptions: For financial reporting purposes, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or net asset value (“NAV”) per share.
Distributions: Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.
N O T E S T O F I N A N C I A L S T A T E M E N T S |
47 |
Notes to Financial Statements (continued)
Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.
3. |
INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS |
Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Board of Directors of the Company (the “Board”) of each Fund has approved the designation of BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, as the valuation designee for each Fund. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under BFA’s policies. If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with BFA’s policies and procedures as reflecting fair value. BFA has formed a committee (the “Valuation Committee”) to develop pricing policies and procedures and to oversee the pricing function for all financial instruments, with assistance from other BlackRock pricing committees.
Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:
• |
Equity investments traded on a recognized securities exchange are valued at that day’s official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price. |
• |
Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV. |
• |
Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded. |
Generally, trading in foreign instruments is substantially completed each day at various times prior to the close of trading on the New York Stock Exchange (“NYSE”). Each business day, the Funds use current market factors supplied by independent pricing services to value certain foreign instruments (“Systematic Fair Value Price”). The Systematic Fair Value Price is designed to value such foreign securities at fair value as of the close of trading on the NYSE, which follows the close of the local markets.
If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Valuation Committee, in accordance with BFA’s policies and procedures as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Valuation Committee seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Valuation Committee deems relevant and consistent with the principles of fair value measurement.
Fair value pricing could result in a difference between the prices used to calculate a fund’s NAV and the prices used by the fund’s underlying index, which in turn could result in a difference between the fund’s performance and the performance of the fund’s underlying index.
Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:
• |
Level 1 – Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access; |
• |
Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and |
• |
Level 3 – Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, (including the Valuation Committee’s assumptions used in determining the fair value of financial instruments). |
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.
48 |
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 |
Notes to Financial Statements (continued)
4. |
SECURITIES AND OTHER INVESTMENTS |
Securities Lending: Each Fund may lend its securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.
As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BFA, or its affiliates is disclosed in the Schedule of Investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.
Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.
As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:
|
||||||||||||||||
iShares ETF and Counterparty | |
Securities Loaned at Value |
|
|
Cash Collateral Received |
(a) |
|
Non-Cash Collateral Received, at Fair Value |
(a) |
Net Amount | ||||||
|
||||||||||||||||
MSCI Global Agriculture Producers |
||||||||||||||||
Barclays Bank PLC |
$ | 178,970 | $ | (178,970 | ) | $ | — | $ | — | |||||||
Barclays Capital, Inc. |
122,421 | (122,421 | ) | — | — | |||||||||||
BNP Paribas SA |
13,202 | (13,202 | ) | — | — | |||||||||||
BofA Securities, Inc. |
56,689 | (56,689 | ) | — | — | |||||||||||
Goldman Sachs & Co. LLC |
246,781 | (246,781 | ) | — | — | |||||||||||
J.P. Morgan Securities LLC |
7,928 | (7,928 | ) | — | — | |||||||||||
Jefferies LLC |
6,987 | (6,987 | ) | — | — | |||||||||||
Morgan Stanley |
136,471 | (136,471 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 769,449 | $ | (769,449 | ) | $ | — | $ | — | ||||||||
|
|
|
|
|
|
|
|
|||||||||
MSCI Global Energy Producers |
||||||||||||||||
Barclays Capital, Inc. |
$ | 74,435 | $ | (74,435 | ) | $ | — | $ | — | |||||||
BNP Paribas SA |
35,972 | (35,972 | ) | — | — | |||||||||||
BofA Securities, Inc. |
78,359 | (78,359 | ) | — | — | |||||||||||
Goldman Sachs & Co. LLC |
604 | (592 | ) | — | 12 | (b) | ||||||||||
J.P. Morgan Securities LLC |
16,692 | (16,692 | ) | — | — | |||||||||||
Jefferies LLC |
37,415 | (37,415 | ) | — | — | |||||||||||
Scotia Capital (USA), Inc. |
118,989 | (118,989 | ) | — | — | |||||||||||
UBS Securities LLC |
26,600 | (26,600 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 389,066 | $ | (389,054 | ) | $ | — | $ | 12 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
MSCI Global Gold Miners |
||||||||||||||||
BNP Paribas SA |
$ | 457,608 | $ | (457,608 | ) | $ | — | $ | — | |||||||
BofA Securities, Inc. |
720,362 | (720,362 | ) | — | — | |||||||||||
HSBC Bank PLC |
108,290 | (108,290 | ) | — | — | |||||||||||
J.P. Morgan Securities LLC |
65,136 | (65,136 | ) | — | — | |||||||||||
Morgan Stanley |
265,330 | (265,330 | ) | — | — | |||||||||||
State Street Bank & Trust Co. |
176,916 | (176,916 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | 1,793,642 | $ | (1,793,642 | ) | $ | — | $ | — | ||||||||
|
|
|
|
|
|
|
|
N O T E S T O F I N A N C I A L S T A T E M E N T S |
49 |