Master Large Cap Series N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-02405, 811-09739 and 811-21434

Name of Fund: BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC

Fund Address:     100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC, 55 East 52^nd Street, New York, NY 10055

Registrants’ telephone number, including area code: (800) 441-7762

Date of fiscal year end: 09/30/2015

Date of reporting period: 03/31/2015

Item 1 – Report to Stockholders

MARCH 31, 2015        

  SEMI-ANNUAL REPORT (UNAUDITED)   BLACKROCK^®

BlackRock Balanced Capital Fund, Inc.

Not FDIC Insured ¡ May Lose Value ¡ No Bank Guarantee

Table of Contents

	Page
The Markets in Review	3
Semi-Annual Report:
Fund Summary	4
About Fund Performance	6
Disclosure of Expenses	6
The Benefits and Risks of Leveraging	7
Derivative Financial Instruments	7
Fund Financial Statements:
Statement of Assets and Liabilities	8
Statement of Operations	9
Statements of Changes in Net Assets	10
Fund Financial Highlights	11
Fund Notes to Financial Statements	16
Master Large Cap Core Portfolio Summary	21
Master Large Cap Core Portfolio Financial Statements:
Schedule of Investments	22
Statement of Assets and Liabilities	25
Statement of Operations	26
Statements of Changes in Net Assets	27
Master Large Cap Core Portfolio Financial Highlights	28
Master Large Cap Core Portfolio Notes to Financial Statements	29
Master Total Return Portfolio Information	33
Master Total Return Portfolio Consolidated Financial Statements:
Consolidated Schedule of Investments	34
Consolidated Statement of Assets and Liabilities	80
Consolidated Statement of Operations	81
Consolidated Statements of Changes in Net Assets	82
Master Total Return Portfolio Financial Highlights	83
Master Total Return Portfolio Notes to Consolidated Financial Statements	84
Officers and Directors	100
Additional Information	101

    Shareholders can sign up for e-mail notifications of quarterly statements, annual and semi-annual shareholder reports and prospectuses by enrolling in the electronic delivery program. Electronic copies of shareholder reports and prospectuses are also available on BlackRock’s website.   TO ENROLL IN ELECTRONIC DELIVERY:   Shareholders Who Hold Accounts with Investment Advisors, Banks or Brokerages: Please contact your financial advisor. Please note that not all investment advisors, banks or brokerages may offer this service.   Shareholders Who Hold Accounts Directly with BlackRock: 1.    Access the BlackRock website at blackrock.com 2.    Select “Access Your Account” 3.    Next, select “eDelivery” in the “Related Resources” box and follow the sign-up instructions  

2 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

The Markets in Review

Dear Shareholder,

Market volatility has remained low from a long-term perspective, but increased over the course of 2014 amid higher valuations in risk assets (such as equities and high yield bonds), geopolitical risks, uneven global economic growth and uncertainty around policy moves from the world’s largest central banks. As the U.S. Federal Reserve (the “Fed”) gradually reduced its bond buying program (which ultimately ended in October 2014), U.S. interest rates surprisingly trended lower and stock prices forged ahead despite high valuations on the back of a multi-year bull market. Geopolitical tensions intensified in Ukraine and the Middle East and oil prices became highly volatile in the middle of the summer, stoking worries about economic growth outside the United States. As the U.S. economy continued to show steady improvement, the stronger data caused concern among investors that the Fed would raise short-term rates sooner than previously anticipated. The U.S. dollar appreciated and global credit markets tightened, ultimately putting a strain on investor flows, and financial markets broadly weakened in the third quarter.

U.S. economic growth picked up considerably in the fourth quarter while the broader global economy showed signs of slowing. U.S. markets significantly outperformed international markets even as the European Central Bank (“ECB”) and the Bank of Japan eased monetary policy, which drove further strengthening in the U.S. dollar. Oil prices plummeted in the fourth quarter due to a global supply-and-demand imbalance, sparking a selloff in energy-related assets and stress in emerging markets. Fixed income investors piled into U.S. Treasuries as their persistently low yields became relatively attractive as compared to international sovereign debt.

Equity markets reversed in the first quarter of 2015 and U.S. stocks underperformed international markets, notably Europe and Japan, but also emerging markets. Investors had held high expectations for the U.S. economy, but after a harsh winter, first-quarter data disappointed and high valuations took their toll on U.S. stocks. Meanwhile, economic reports in Europe and Asia easily beat investors’ very low expectations for those economies, and accommodative policies from global central banks helped international equities rebound. The ECB’s asset purchase program (announced in January and commenced in March) was the largest in scale and effect on the markets. Overall, market volatility decreased in the first quarter as global risks abated, with a ceasefire in Ukraine and an improving outlook for Greece’s continued membership in the Eurozone.

At BlackRock, we believe investors need to think globally, extend their scope across a broad array of asset classes and be prepared to move freely as market conditions change over time. We encourage you to talk with your financial advisor and visit blackrock.com for further insight about investing in today’s markets.

Sincerely,

Rob Kapito

President, BlackRock Advisors, LLC

Rob Kapito

President, BlackRock Advisors, LLC

Total Returns as of March 31, 2015
	6-month			12-month
U.S. large cap equities (S&P 500® Index)		5.93	%		12.73	%
U.S. small cap equities (Russell 2000® Index)		14.46			8.21
International equities (MSCI Europe, Australasia, Far East Index)		1.13			(0.92	)
Emerging market equities (MSCI Emerging Markets Index)		(2.37	)		0.44
3-month Treasury bills (BofA Merrill Lynch 3-Month U.S. Treasury Bill Index)		0.01			0.03
U.S. Treasury securities (BofA Merrill Lynch 10-Year U.S. Treasury Index)		6.25			9.88
U.S. investment-grade bonds (Barclays U.S. Aggregate Bond Index)		3.43			5.72
Tax-exempt municipal bonds (S&P Municipal Bond Index)		2.29			6.60
U.S. high yield bonds (Barclays U.S. Corporate High Yield 2% Issuer Capped Index)		1.50			2.00
Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

THIS PAGE NOT PART OF YOUR FUND REPORT 3

Fund Summary as of March 31, 2015

Investment Objective

BlackRock Balanced Capital Fund, Inc.’s (the “Fund”) investment objective is to seek the highest total investment return through a fully managed investment policy utilizing equity, debt (including money market) and convertible securities.

Portfolio Management Commentary

How did the Fund perform?

• For the six-month period ended March 31, 2015, through its investments in Master Large Cap Core Portfolio of Master Large Cap Series LLC (the “equity allocation” or the “Master Large Cap Core Portfolio”) and Master Total Return Portfolio of Master Bond LLC (the “fixed income allocation” or the “Master Total Return Portfolio”) (collectively, the “Master Portfolios”), each of the Fund’s share classes underperformed the blended reference benchmark (60% Russell 1000^® Index/40% Barclays U.S. Aggregate Bond Index) with the exception of the Fund’s Institutional Shares, which performed in line with the benchmark. For the same period, the Fund outperformed the fixed income portion of the benchmark, the Barclays U.S. Aggregate Bond Index, and underperformed the equity portion of the benchmark, the Russell 1000^® Index.

What factors influenced performance?

• From an asset allocation perspective, the Fund benefited from its overweight position in equities relative to the blended reference benchmark as equities outperformed fixed income over the six-month period.

• Within these allocations, relative to the Russell 1000^® Index, the primary detractor from performance in the Master Large Cap Core Portfolio was the information technology (“IT”) sector, largely owing to a tilt toward enterprise hardware and PC-focused semiconductor companies. Financials were a second source of underperformance, as the most interest-rate-sensitive bank holdings lagged amid a further decline in long-term U.S. Treasury rates. Elsewhere in the sector, an underweight stance in real estate investment trusts (“REITs”) detracted, as the industry benefited from declining interest rates. Weakness in the energy sector over the period impacted performance as well, notably through exposure to energy services companies. Conversely, the equity allocation benefited from strong selection in the health care sector, especially in managed-care companies. Strong earnings from several bellwether stocks boosted sentiment across the group, with better-than-feared preliminary Medicare Advantage payment rates from the Centers for Medicare & Medicaid Services providing an additional lift. Market speculation about further consolidation in the industry boosted returns as well.

• The Master Total Return Portfolio’s most significant contributions to performance relative to the Barclays U.S. Aggregate Bond Index were its macro-related hedging strategies, led by long U.S. dollar exposure. There was also a positive contribution from tactical high-yield exposure as spreads narrowed in the first quarter of 2015. Also, within the fixed income allocation, exposure to structured products and investment grade corporate credit added to performance. The main detractor from performance in the fixed income allocation was from overall portfolio

duration (a measure of sensitivity to changes in market interest rate levels) and yield curve positioning.

Describe recent portfolio activity.

• Within the equity allocation, due to a combination of portfolio trading activity and market movement during the six-month period, the weighting in the health care sector increased, specifically within the health care providers & services industry. The allocation to consumer staples increased as well, mainly within food & staples retailing. The weighting in the energy sector decreased, both in oil, gas & consumable fuels and energy equipment & services. Exposure to financials also declined, largely with respect to banks and insurance.

• In the fixed income allocation, the allocation to high yield was tactically increased through the use of index exposure given an improvement in valuations, while exposure to investment grade corporates was reduced on their relative lack of value and low yields. Exposure was added to securitized assets as a source of income with relatively low credit risk. More recently, U.S. dollar exposure was scaled back with the intention of re-entering at more favorable levels.

Describe portfolio positioning at period end.

• At period end, the Fund was modestly overweight in equities and underweight in fixed income relative to the blended reference benchmark, given a generally constructive view on the broader economic recovery and a cautious view on fixed income overall and the direction of interest rates.

• In equities, the Master Large Cap Core Portfolio held its largest sector overweight positions relative to the Russell 1000^® Index in IT and health care, while consumer staples and utilities, telecommunication services and consumer staples were the most notable underweights.

• Relative to the Barclays U.S. Aggregate Bond Index, the Master Total Return Portfolio remained generally underweight in government-related sectors in favor of non-government spread sectors. Within spread sectors, the fixed income allocation was most significantly overweight in commercial mortgage-backed securities and asset-backed securities, while maintaining an underweight in investment grade corporate credit. The Master Total Return Portfolio also held non-benchmark allocations to non-agency residential MBS, high yield bonds, non-U.S. sovereign bonds and U.S. Treasury inflation-protected securities. The fixed income allocation ended the period with a slight underweight in duration relative to that of the Barclays U.S. Aggregate Bond Index.

The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

4 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Total Return Based on a $10,000 Investment

¹  Assuming maximum sales charges, if any, transaction costs and other operating expenses, including investment advisory and administration fees. Institutional Shares do not have a sales charge.

²  The Fund invests in equity securities (including common stock, preferred stock, securities convertible into common stock, or securities or other instruments whose price is linked to the value of common stock) and fixed-income securities (including debt securities, convertible securities and short term securities).

³  A widely recognized unmanaged market-weighted index, comprised of investment-grade corporate bonds rated BBB or better, mortgages and U.S. Treasury and U.S. Government agency issues with at least one year to maturity.

⁴  An index that measures the performance of the large cap segment of the U.S. equity universe. It is a subset of the Russell 3000^® Index and includes approximately 1,000 of the largest securities based on a combination of their market capitalization and current index membership. The index represents approximately 92% of the total market capitalization of the Russell 3000^® Index.

⁵  A customized weighted index comprised of the returns of the Russell 1000^® Index (60%) and Barclays U.S. Aggregate Bond Index (40%).

Performance Summary for the Period Ended March 31, 2015
				Average Annual Total Returns6
				1 Year						5 Years						10 Years
	6-Month Total Returns			w/o sales charge			w/ sales charge			w/o sales charge			w/ sales charge			w/o sales charge			w/ sales charge
Institutional		5.39	%		9.35	%		N/A			10.67	%		N/A			6.57	%		N/A
Investor A		5.24			9.05			3.33	%		10.32			9.14	%		6.25			5.68	%
Investor B		4.64			7.94			3.64			9.22			8.94			5.49			5.49
Investor C		4.85			8.21			7.27			9.46			9.46			5.42			5.42
Class R		5.03			8.64			N/A			9.90			N/A			5.86			N/A
60% Russell 1000® Index/40% Barclays U.S. Aggregate Bond Index		5.39			10.00			N/A			10.76			N/A			7.27			N/A
Barclays U.S. Aggregate Bond Index		3.43			5.72			N/A			4.41			N/A			4.93			N/A
Russell 1000® Index		6.55			12.73			N/A			14.73			N/A			8.34			N/A

⁶  Assuming maximum sales charges, if any. Average annual total returns with and without sales charges reflect reductions for distribution and service fees. See “About Fund Performance” on page 6 for a detailed description of share classes, including any related sales charges and fees.

N/A—Not applicable as share class and index do not have a sales charge.

Past performance is not indicative of future results.

Expense Example
	Actual			Hypothetical8
	Beginning Account Value October 1, 2014	Ending Account Value March 31, 2015	Expenses Paid During the  Period7	Beginning Account Value October 1, 2014	Ending Account Value March 31, 2015	Expenses Paid During the  Period7	Annualized Expense Ratio
Institutional	$1,000.00	$1,053.90	$2.92	$1,000.00	$1,022.09	$2.87	0.57%
Investor A	$1,000.00	$1,052.40	$4.40	$1,000.00	$1,020.64	$4.33	0.86%
Investor B	$1,000.00	$1,046.40	$10.20	$1,000.00	$1,014.96	$10.05	2.00%
Investor C	$1,000.00	$1,048.50	$8.27	$1,000.00	$1,016.85	$8.15	1.62%
Class R	$1,000.00	$1,050.30	$6.24	$1,000.00	$1,018.85	$6.14	1.22%

⁷  For each class of the Fund, expenses are equal to the annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period shown). Because the Fund invests significantly in the Master Portfolios, the expense table example reflects the net expenses of both the Fund and the Master Portfolios in which it invests.

⁸  Hypothetical 5% annual return before expenses is calculated by pro rating the number of days in the most recent fiscal half year divided by 365.

See “Disclosure of Expenses” on page 6 for further information on how expenses were calculated.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 5

About Fund Performance

• Institutional Shares are not subject to any sales charge. These shares bear no ongoing distribution or service fees and are available only to eligible investors.

• Investor A Shares incur a maximum initial sales charge (front-end load) of 5.25% and a service fee of 0.25% per year (but no distribution fee). Certain redemptions of these shares may be subject to a contingent deferred sales charge (“CDSC”) where no initial sales charge was paid at the time of purchase.

• Investor B Shares are subject to a maximum CDSC of 4.50% declining to 0% after six years. In addition, Investor B Shares are subject to a distribution fee of 0.75% per year and a service fee of 0.25% per year. Investor B Shares automatically convert to Investor A Shares after approximately eight years. (There is no initial sales charge for automatic share conversions.) All returns for periods greater than eight years reflect this conversion. Investor B Shares of the Fund are only available through exchanges and distribution reinvestments by existing shareholders and for purchase by certain employer-sponsored retirement plans.

• Investor C Shares are subject to a distribution fee of 0.75% per year and a service fee of 0.25% per year. In addition, these shares are subject to a 1.00% CDSC if redeemed within one year of purchase.

• Class R Shares do not incur a maximum initial sales charge (front-end load) or CDSC. These shares are subject to a distribution fee of 0.25% per year and a service fee of 0.25% per year. These shares are available only to certain employer-sponsored retirement plans.

Performance information reflects past performance and does not guarantee future results. The performance information for periods prior to February 2009 does not reflect any investment by the Fund in the Master Large Cap Core Portfolio. Current performance may be lower or higher than the performance data quoted. Refer to www.blackrock.com/funds to obtain performance data current to the most recent month end. Performance results do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Figures shown in the performance table on the previous page assume reinvestment of all distributions, if any, at net asset value (“NAV”) on the ex-dividend dates. Investment return and principal value of shares will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Distributions paid to each class of shares will vary because of the different levels of service, distribution and transfer agency fees applicable to each class, which are deducted from the income available to be paid to shareholders.

BlackRock Advisors, LLC (the “Manager”), the Fund’s investment advisor, waived and/or reimbursed a portion of the Fund’s expenses. Without such waiver and/or reimbursement, the Fund’s performance would have been lower. The Manager is under no obligation to waive or reimburse or to continue waiving or reimbursing its fees after the applicable termination date. See Note 3 of the Notes to Financial Statements for additional information on waivers and reimbursements.

Disclosure of Expenses

Shareholders of the Fund may incur the following charges: (a) transactional expenses, such as sales charges; and (b) operating expenses, including investment advisory fees, service and distribution fees, including 12b-1 fees, acquired fund fees and expenses and other Fund expenses. The expense example on the previous page (which is based on a hypothetical investment of $1,000 invested on October 1, 2014 and held through March 31, 2015) is intended to assist shareholders both in calculating expenses based on an investment in the Fund and in comparing these expenses with similar costs of investing in other mutual funds.

The expense example provides information about actual account values and actual expenses. 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 corresponding to their share class under the heading entitled “Expenses Paid During the Period.”

The expense example also provides information about hypothetical account values and hypothetical expenses based on the 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 Fund and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in shareholder reports of other funds.

The expenses shown in the expense example are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as sales charges, if any. Therefore, the hypothetical example is 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.

6 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

The Benefits and Risks of Leveraging

The Master Portfolio may utilize leverage to seek to enhance its yield and NAV. However, these objectives cannot be achieved in all interest rate environments.

The Master Portfolio may utilize leverage by entering into reverse repurchase agreements and/or treasury roll transactions. In general, the concept of leveraging is based on the premise that the financing cost of leverage, which is based on short-term interest rates, is normally lower than the income earned by the Master Portfolio on its longer-term portfolio investments purchased with the proceeds from leverage. To the extent that the total assets of the Master Portfolio (including the assets obtained from leverage) are invested in higher-yielding portfolio investments, the Master Portfolio’s investors benefit from the incremental net income.

The interest earned on securities purchased with the proceeds from leverage is distributed to shareholders, and the value of these portfolio holdings is reflected in the Master Portfolio’s per share NAV. However, in order to benefit shareholders, the return on assets purchased with leverage proceeds must exceed the ongoing costs associated with the leverage. If interest and other ongoing costs of leverage exceed the Master Portfolio’s return on assets purchased with leverage proceeds, income to shareholders is lower than if the Master Portfolio had not used leverage.

Furthermore, the value of the Master Portfolio’s investments generally varies inversely with the direction of long-term interest rates, although other factors can influence the value of portfolio investments. As a result, changes in interest rates can influence the Master Portfolio’s NAV positively or negatively in addition to the impact on the Master Portfolio’s performance from leverage. Changes in the direction of interest rates are difficult to predict accurately, and there is no assurance that the Master Portfolio’s leveraging strategy will be successful.

The use of leverage also generally causes greater changes in the Master Portfolio’s NAV and distribution rates than a comparable fund that does not use leverage. In a declining market, leverage is likely to cause a greater decline in the NAV of the Master Portfolio’s shares than if the Master Portfolio were not leveraged. In addition, the Master Portfolio may be required to sell portfolio securities at inopportune times or at distressed values in order to comply with regulatory requirements applicable to the use of leverage or as required by the terms of leverage instruments, which may cause the Master Portfolio to incur losses. The use of leverage may limit the Master Portfolio’s ability to invest in certain types of securities or use certain types of hedging strategies. The Master Portfolio incurs expenses in connection with the use of leverage, all of which are borne by Master Portfolio investors and may reduce income.

Derivative Financial Instruments

The Master Portfolio may invest in various derivative financial instruments. Derivative financial instruments are used to obtain exposure to a security, index and/or market without owning or taking physical custody of securities or to manage market, equity, credit, interest rate, foreign currency exchange rate, commodity and/or other risks. Derivative financial instruments may give rise to a form of economic leverage. Derivative financial instruments also involve risks, including the imperfect correlation between the value of a derivative financial instrument and the underlying asset, possible default of the counterparty to the transaction or illiquidity of the derivative financial instrument. The Master Portfolio’s

ability to use a derivative financial instrument successfully depends on the investment advisor’s ability to predict pertinent market movements accurately, which cannot be assured. The use of derivative financial instruments may result in losses greater than if they had not been used, may limit the amount of appreciation the Master Portfolio can realize on an investment and/or may result in lower distributions paid to shareholders. The Master Portfolio’s investments in these instruments are discussed in detail in the Master Portfolio’s Notes to Consolidated Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 7

Statement of Assets and Liabilities BlackRock Balanced Capital Fund, Inc.

March 31, 2015 (Unaudited)
Assets
Investments at value — Master Large Cap Core Portfolio (cost — $470,980,965)	$	597,285,996
Investments at value — Master Total Return Portfolio (cost — $353,236,023)		359,457,169
Investments in BlackRock Liquidity Funds, TempFund, Institutional Class, 0.06% (shares — 39,561,551; cost — $39,561,551)		39,561,551
Capital shares sold receivable		1,403,000
Dividends receivable — affiliated		2,269
Prepaid expenses		61,494
Total assets		997,771,479
Liabilities
Capital shares redeemed payable		1,106,759
Service and distribution fees payable		190,515
Transfer agent fees payable		286,583
Investment advisory fees payable		102,313
Officer’s fees payable		7,308
Other accrued expenses payable		32,469
Total liabilities		1,725,947
Net Assets	$	996,045,532
Net Assets Consist of
Paid-in capital	$	830,149,807
Distributions in excess of net investment income		(3,786,217	)
Accumulated net realized gain		37,155,765
Net unrealized appreciation/depreciation		132,526,177
Net Assets	$	996,045,532
Net Asset Value
Institutional — Based on net assets of $385,144,689 and 15,877,551 shares outstanding, 400 million shares authorized, $0.10 par value	$	24.26
Investor A — Based on net assets of $506,537,695 and 20,942,392 shares outstanding, 200 million shares authorized, $0.10 par value	$	24.19
Investor B — Based on net assets of $2,927,039 and 124,737 shares outstanding, 500 million shares authorized, $0.10 par value	$	23.47
Investor C — Based on net assets of $91,463,374 and 4,182,807 shares outstanding, 200 million shares authorized, $0.10 par value	$	21.87
Class R — Based on net assets of $9,972,735 and 437,341 shares outstanding, 500 million shares authorized, $0.10 par value	$	22.80

See Notes to Financial Statements.

8 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Statement of Operations BlackRock Balanced Capital Fund, Inc.

Six Months Ended March 31, 2015 (Unaudited)
Investment Income
Dividends — affiliated	$	11,032
Net investment income allocated from the Master Portfolios:
Interest — unaffiliated		4,862,204
Dividends — unaffiliated		5,099,190
Foreign taxes withheld		(43,589	)
Securities lending — affiliated		2,709
Dividends — affiliated		1,666
Total expenses		(1,719,626	)
Fees waived		5,754
Total income		8,219,340
Fund Expenses
Investment advisory		2,062,522
Service — Investor A		615,595
Service and distribution — Investor B		15,550
Service and distribution — Investor C		416,061
Service and distribution — Class R		23,105
Transfer agent — Institutional		141,881
Transfer agent — Investor A		287,086
Transfer agent — Investor B		7,916
Transfer agent — Investor C		52,909
Transfer agent — Class R		10,367
Printing		34,377
Professional		42,996
Registration		45,688
Officer		13,917
Custodian		1,120
Miscellaneous		13,721
Total expenses		3,784,811
Less fees waived by Manager		(1,559,938	)
Total expenses after fees waived		2,224,873
Net investment income		5,994,467
Realized and Unrealized Gain Allocated from the Master Portfolios
Net realized gain from investments, financial futures contracts, options written, structured options, swaps, foreign currency transactions and borrowed bonds		31,744,072
Net change in unrealized appreciation/depreciation on investments, financial futures contracts, options written, interest rate floors, short sales, structured options, swaps, foreign currency translations and borrowed bonds		11,467,730
Total realized and unrealized gain		43,211,802
Net Increase in Net Assets Resulting from Operations	$	49,206,269

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 9

Statements of Changes in Net Assets BlackRock Balanced Capital Fund, Inc.

Increase (Decrease) in Net Assets:	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30, 2014
Operations
Net investment income	$	5,994,467		$	14,392,764
Net realized gain		31,744,072			97,047,934
Net change in unrealized appreciation/depreciation		11,467,730			6,881,016
Net increase in net assets resulting from operations		49,206,269			118,321,714
Distributions to Shareholders From1
Net investment income:
Institutional		(4,291,841	)		(7,103,520	)
Investor A		(4,984,095	)		(8,592,906	)
Investor B		(13,241	)		(37,523	)
Investor C		(631,873	)		(915,737	)
Class R		(78,974	)		(150,374	)
Net realized gain:
Institutional		(40,073,427	)		(25,527,071	)
Investor A		(53,303,235	)		(35,924,272	)
Investor B		(346,522	)		(379,669	)
Investor C		(9,717,422	)		(5,751,000	)
Class R		(1,028,941	)		(740,627	)
Decrease in net assets resulting from distributions to shareholders		(114,469,571	)		(85,122,699	)
Capital Share Transactions
Net increase in net assets derived from capital share transactions		148,181,461			39,640,238
Net Assets
Total increase in net assets		82,918,159			72,839,253
Beginning of period		913,127,373			840,288,120
End of period	$	996,045,532		$	913,127,373
Undistributed (distributions in excess of) net investment income, end of period	$	(3,786,217	)	$	219,340

¹  Distributions for annual periods determined in accordance with federal income tax regulations.

See Notes to Financial Statements.

10 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Financial Highlights BlackRock Balanced Capital Fund, Inc.

	Institutional
	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Per Share Operating Performance
Net asset value, beginning of period	$	26.07		$	25.16		$	23.77		$	20.18		$	20.28		$	19.17
Net investment income1		0.19			0.48			0.47			0.55			0.51			0.46
Net realized and unrealized gain (loss)		1.20			3.05			2.35			3.55			(0.13	)		1.20
Net increase from investment operations		1.39			3.53			2.82			4.10			0.38			1.66
Distributions from:2
Net investment income		(0.31	)		(0.56	)		(0.53	)		(0.51	)		(0.48	)		(0.55	)
Net realized gain		(2.89	)		(2.06	)		(0.90	)		—			—			—
Total distributions		(3.20	)		(2.62	)		(1.43	)		(0.51	)		(0.48	)		(0.55	)
Net asset value, end of period	$	24.26		$	26.07		$	25.16		$	23.77		$	20.18		$	20.28
Total Return3
Based on net asset value		5.39	%4		14.77	%		12.42	%		20.52	%		1.67	%		8.75	%5
Ratios to Average Net Assets6
Total expenses		0.90	%7		0.95	%		0.98	%		0.96	%		1.07	%		1.08	%
Total expenses after fees waived and/or reimbursed		0.57	%7		0.63	%		0.66	%		0.66	%		0.76	%		0.76	%
Net investment income		1.51	%7		1.88	%		1.87	%		2.45	%		2.33	%		2.28	%
Supplemental Data
Net assets, end of period (000)	$	385,145		$	348,345		$	317,572		$	426,027		$	511,458		$	547,721
Portfolio turnover rate of the Fund8		—			—			—			—			—			—
Portfolio turnover rate of the Master Total Return Portfolio9		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%
Portfolio turnover rate of the Master Large Cap Core Portfolio		23	%		40	%		50	%		128	%		129	%		173	%

¹  Based on average shares outstanding.

²  Distributions for annual periods determined in accordance with federal income tax regulations.

³  Where applicable, assumes the reinvestment of distributions.

⁴  Aggregate total return.

⁵  Includes proceeds received from a settlement of litigation, through its investment in Master Large Cap Core Portfolio, which impacted the Fund’s total return. Excluding these proceeds, the Fund’s total return would have been 8.32%.

⁶  Includes the Fund’s share of the Master Portfolio’s allocated expenses and/or net investment income.

⁷  Annualized.

⁸  Excludes transactions in the Master Portfolios.

⁹  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 11

Financial Highlights (continued) BlackRock Balanced Capital Fund, Inc.

	Investor A
	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Per Share Operating Performance
Net asset value, beginning of period	$	26.00		$	25.11		$	23.68		$	20.10		$	20.21		$	19.11
Net investment income1		0.15			0.40			0.38			0.47			0.40			0.39
Net realized and unrealized gain (loss)		1.20			3.03			2.37			3.55			(0.10	)		1.19
Net increase from investment operations		1.35			3.43			2.75			4.02			0.30			1.58
Distributions from:2
Net investment income		(0.27	)		(0.48	)		(0.42	)		(0.44	)		(0.41	)		(0.48	)
Net realized gain		(2.89	)		(2.06	)		(0.90	)		—			—			—
Total distributions		(3.16	)		(2.54	)		(1.32	)		(0.44	)		(0.41	)		(0.48	)
Net asset value, end of period	$	24.19		$	26.00		$	25.11		$	23.68		$	20.10		$	20.21
Total Return3
Based on net asset value		5.24	%4		14.39	%		12.14	%		20.16	%		1.31	%		8.38	%5
Ratios to Average Net Assets6
Total expenses		1.19	%7		1.25	%		1.29	%		1.28	%		1.39	%		1.40	%
Total expenses after fees waived and/or reimbursed		0.86	%7		0.92	%		0.97	%		0.97	%		1.07	%		1.08	%
Net investment income		1.22	%7		1.58	%		1.51	%		2.12	%		1.83	%		1.96	%
Supplemental Data
Net assets, end of period (000)	$	506,538		$	476,919		$	445,295		$	447,620		$	426,819		$	488,087
Portfolio turnover rate of the Fund8		—			—			—			—			—			—
Portfolio turnover rate of the Master Total Return Portfolio9		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%
Portfolio turnover rate of the Master Large Cap Core Portfolio		23	%		40	%		50	%		128	%		129	%		173	%

¹  Based on average shares outstanding.

²  Distributions for annual periods determined in accordance with federal income tax regulations.

³  Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

⁴  Aggregate total return.

⁵  Includes proceeds received from a settlement of litigation, through its investment in Master Large Cap Core Portfolio, which impacted the Fund’s total return. Excluding these proceeds, the Fund’s total return would have been 7.95%.

⁶  Includes the Fund’s share of the Master Portfolio’s allocated expenses and/or net investment income.

⁷  Annualized.

⁸  Excludes transactions in the Master Portfolios.

⁹  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Financial Statements.

12 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Financial Highlights (continued) BlackRock Balanced Capital Fund, Inc.

	Investor B
	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Per Share Operating Performance
Net asset value, beginning of period	$	25.30		$	24.47		$	23.07		$	19.55		$	19.65		$	18.56
Net investment income1		0.01			0.14			0.13			0.24			0.18			0.20
Net realized and unrealized gain (loss)		1.16			2.96			2.29			3.46			(0.10	)		1.16
Net increase from investment operations		1.17			3.10			2.42			3.70			0.08			1.36
Distributions from:2
Net investment income		(0.11	)		(0.21	)		(0.12	)		(0.18	)		(0.18	)		(0.27	)
Net realized gain		(2.89	)		(2.06	)		(0.90	)		—			—			—
Total distributions		(3.00	)		(2.27	)		(1.02	)		(0.18	)		(0.18	)		(0.27	)
Net asset value, end of period	$	23.47		$	25.30		$	24.47		$	23.07		$	19.55		$	19.65
Total Return3
Based on net asset value		4.64	%4		13.27	%		10.94	%		19.01	%		0.34	%		7.37	%5
Ratios to Average Net Assets6
Total expenses		2.33	%7		2.26	%		2.33	%		2.29	%		2.36	%		2.34	%
Total expenses after fees waived and/or reimbursed		2.00	%7		1.93	%		2.01	%		1.98	%		2.04	%		2.02	%
Net investment income		0.07	%7		0.56	%		0.51	%		1.13	%		0.86	%		1.03	%
Supplemental Data
Net assets, end of period (000)	$	2,927		$	3,633		$	4,926		$	7,128		$	8,786		$	14,374
Portfolio turnover rate of the Fund8		—			—			—			—			—			—
Portfolio turnover rate of the Master Total Return Portfolio9		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%
Portfolio turnover rate of the Master Large Cap Core Portfolio		23	%		40	%		50	%		128	%		129	%		173	%

¹  Based on average shares outstanding.

²  Distributions for annual periods determined in accordance with federal income tax regulations.

³  Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

⁴  Aggregate total return.

⁵  Includes proceeds received from a settlement of litigation, through its investment in Master Large Cap Core Portfolio, which impacted the Fund’s total return. Excluding these proceeds, the Fund’s total return would have been 6.82%.

⁶  Includes the Fund’s share of the Master Portfolio’s allocated expenses and/or net investment income.

⁷  Annualized.

⁸  Excludes transactions in the Master Portfolios.

⁹  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 13

Financial Highlights (continued) BlackRock Balanced Capital Fund, Inc.

	Investor C
	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Per Share Operating Performance
Net asset value, beginning of period	$	23.80		$	23.20		$	21.92		$	18.64		$	18.77		$	17.79
Net investment income1		0.06			0.19			0.18			0.28			0.21			0.21
Net realized and unrealized gain (loss)		1.09			2.79			2.17			3.28			(0.08	)		1.12
Net increase from investment operations		1.15			2.98			2.35			3.56			0.13			1.33
Distributions from:2
Net investment income		(0.19	)		(0.32	)		(0.17	)		(0.28	)		(0.26	)		(0.35	)
Net realized gain		(2.89	)		(2.06	)		(0.90	)		—			—			—
Total distributions		(3.08	)		(2.38	)		(1.07	)		(0.28	)		(0.26	)		(0.35	)
Net asset value, end of period	$	21.87		$	23.80		$	23.20		$	21.92		$	18.64		$	18.77
Total Return3												��
Based on net asset value		4.85	%4		13.51	%		11.22	%		19.22	%		0.55	%		7.53	%5
Ratios to Average Net Assets6
Total expenses		1.95	%7		2.02	%		2.07	%		2.06	%		2.18	%		2.20	%
Total expenses after fees waived and/or reimbursed		1.62	%7		1.69	%		1.75	%		1.75	%		1.87	%		1.88	%
Net investment income		0.46	%7		0.81	%		0.72	%		1.33	%		1.04	%		1.16	%
Supplemental Data
Net assets, end of period (000)	$	91,463		$	74,908		$	63,952		$	61,541		$	56,608		$	61,017
Portfolio turnover rate of the Fund8		—			—			—			—			—			—
Portfolio turnover rate of the Master Total Return Portfolio9		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%
Portfolio turnover rate of the Master Large Cap Core Portfolio		23	%		40	%		50	%		128	%		129	%		173	%

¹  Based on average shares outstanding.

²  Distributions for annual periods determined in accordance with federal income tax regulations.

³  Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

⁴  Aggregate total return.

⁵  Includes proceeds received from a settlement of litigation, through its investment in Master Large Cap Core Portfolio, which impacted the Fund’s total return. Excluding these proceeds, the Fund’s total return would have been 7.12%.

⁶  Includes the Fund’s share of the Master Portfolio’s allocated expenses and/or net investment income.

⁷  Annualized.

⁸  Excludes transactions in the Master Portfolios.

⁹  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Financial Statements.

14 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Financial Highlights (concluded) BlackRock Balanced Capital Fund, Inc.

	Class R
	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Per Share Operating Performance
Net asset value, beginning of period	$	24.68		$	23.96		$	22.63		$	19.22		$	19.33		$	18.31
Net investment income1		0.10			0.30			0.28			0.37			0.30			0.29
Net realized and unrealized gain (loss)		1.13			2.89			2.24			3.39			(0.09	)		1.14
Net increase from investment operations		1.23			3.19			2.52			3.76			0.21			1.43
Distributions from:2
Net investment income		(0.22	)		(0.41	)		(0.29	)		(0.35	)		(0.32	)		(0.41	)
Net realized gain		(2.89	)		(2.06	)		(0.90	)		—			—			—
Total distributions		(3.11	)		(2.47	)		(1.19	)		(0.35	)		(0.32	)		(0.41	)
Net asset value, end of period	$	22.80		$	24.68		$	23.96		$	22.63		$	19.22		$	19.33
Total Return3
Based on net asset value		5.03	%4		14.03	%		11.66	%		19.73	%		0.96	%		7.87	%5
Ratios to Average Net Assets6
Total expenses		1.55	%7		1.59	%		1.66	%		1.67	%		1.77	%		1.84	%
Total expenses after fees waived and/or reimbursed		1.22	%7		1.27	%		1.33	%		1.36	%		1.46	%		1.52	%
Net investment income		0.86	%7		1.23	%		1.16	%		1.73	%		1.44	%		1.51	%
Supplemental Data
Net assets, end of period (000)	$	9,973		$	9,322		$	8,542		$	8,963		$	8,118		$	9,737
Portfolio turnover rate of the Fund8		—			—			—			—			—			—
Portfolio turnover rate of the Master Total Return Portfolio9		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%
Portfolio turnover rate of the Master Large Cap Core Portfolio		23	%		40	%		50	%		128	%		129	%		173	%

¹  Based on average shares outstanding.

²  Distributions for annual periods determined in accordance with federal income tax regulations.

³  Where applicable, assumes the reinvestment of distributions.

⁴  Aggregate total return.

⁵  Includes proceeds received from a settlement of litigation, through its investment in Master Large Cap Core Portfolio, which impacted the Fund’s total return. Excluding these proceeds, the Fund’s total return would have been 7.53%.

⁶  Includes the Fund’s share of the Master Portfolio’s allocated expenses and/or net investment income.

⁷  Annualized.

⁸  Excludes transactions in the Master Portfolios.

⁹  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 15

Notes to Financial Statements (Unaudited) BlackRock Balanced Capital Fund, Inc.

1. Organization:

BlackRock Balanced Capital Fund, Inc. (the “Fund”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as a diversified, open-end management investment company. The Fund is organized as a Maryland corporation. The Fund seeks to achieve its investment objective by investing the fixed income portion of its assets in Master Total Return Portfolio (the “Master Total Return Portfolio”) of Master Bond LLC, a mutual fund that has an investment objective and strategy consistent with that of the fixed income portion of the Fund, and investing the equity portion of its assets in Master Large Cap Core Portfolio (the “Master Large Cap Core Portfolio”) of Master Large Cap Series LLC, a mutual fund that has an investment objective and strategy consistent with that of the equity portion of the Fund. Master Total Return Portfolio and Master Large Cap Core Portfolio, both affiliates of the Fund, are collectively referred to as the “Master Portfolios.” The value of the Fund’s investment in the Master Portfolios reflects the Fund’s proportionate interest in the net assets of the Master Portfolios. The performance of the Fund is directly affected by the performance of the Master Portfolios. At March 31, 2015, the percentages of the Master Large Cap Core Portfolio and Master Total Return Portfolio owned by the Fund were 25.2% and 5.4%, respectively. The financial statements of the Master Portfolios, including the Schedules of Investments, are included elsewhere in this report and should be read in conjunction with the Fund’s financial statements.

The Fund offers multiple classes of shares. All classes of shares have identical voting, dividend, liquidation and other rights and are subject to the same terms and conditions, except that certain classes bear expenses related to the shareholder servicing and distribution of such shares. Institutional Shares are sold only to certain eligible investors. Investor B and Class R Shares are only available through exchanges and distribution reinvestments by current holders and for purchase by certain employer-sponsored retirement plans. Investor A and Investor C Shares are generally available through financial intermediaries. Each class has exclusive voting rights with respect to matters relating to its shareholder servicing and distribution expenditures (except that Investor B shareholders may vote on material changes to the Investor A distribution and service plan).

Share Class	Initial Sales Charge	CDSC	Conversion Privilege
Institutional and Class R Shares	No	No	None
Investor A Shares	Yes	No1	None
Investor B Shares	No	Yes	To Investor A Shares after approximately 8 years
Investor C Shares	No	Yes	None

¹  Investor A Shares may be subject to a CDSC where no initial sales charge was paid at the time of purchase.

The Fund, together with certain other registered investment companies advised by the Manager or its affiliates, is included in a complex of open-end funds referred to as the Equity-Bond Complex.

2. Significant Accounting Policies:

The Fund’s 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 and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. The Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Fund:

Valuation: U.S. GAAP defines fair value as the price the 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 Fund’s policy is to fair value its financial instruments at market value. The Fund records its investment in the Master Portfolios at fair value based on the Fund’s proportionate interest in the net assets of the Master Portfolios. Valuation of securities held by the Master Portfolios is discussed in Note 2 of each Master Portfolio’s Notes to Financial Statements, which are included elsewhere in this report. Investments in open-end registered investment companies are valued at NAV each business day.

• Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial statement purposes. 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. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities. The three levels of the fair value hierarchy are as follows:

• Level 1 — unadjusted quoted prices in active markets/exchanges for identical assets or liabilities that the Fund has the ability to access

16 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Financial Statements (continued) BlackRock Balanced Capital Fund, Inc.

• 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)

• Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the Fund’s policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

As of March 31, 2015, the following table summarizes the Fund’s investments categorized in the disclosure hierarchy:

	Level 1		Level 2	Level 3	Total
BlackRock Liquidity Funds, TempFund, Institutional Class	$	39,561,551	—	—	$	39,561,551

During the six months ended March 31, 2015, there were no transfers between levels.

Investment Transactions and Investment Income: For financial reporting purposes, contributions to and withdrawals from the Master Portfolios are accounted on a trade date basis. The Fund records daily its proportionate share of the Master Portfolios’ income, expenses and realized and unrealized gains and losses. In addition, the Fund accrues its own expenses. Income, expenses and realized and unrealized gains and losses are allocated daily to each class based on its relative net assets.

Distributions: Distributions paid by the Fund are recorded on the ex-dividend date. The character and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.

Net income and realized gains from investments held by the Master Portfolio’s investment in BlackRock Cayman Master Total Return Portfolio I, Ltd. (the “Subsidiary”) are treated as ordinary income for tax purposes. Accordingly, the net investment income (loss) and realized gains (losses) reported in the Fund’s financial statements presented under U.S. GAAP for such investments held by the Subsidiary may differ significantly from distributions. As such, any net gain will pass through to the Fund as ordinary income for federal income tax purposes. If a net loss is realized by Subsidiary in any taxable year, the loss will generally not be available to offset the Fund’s ordinary income and/or capital gains for that year.

Other: Expenses directly related to the Fund or its classes are charged to the Fund or the applicable class. Other operating expenses shared by several funds are prorated among those funds on the basis of relative net assets or other appropriate methods. Expenses directly related to the Fund and other shared expenses prorated to the Fund are allocated daily to each class based on its relative net assets or other appropriate methods.

The Fund has an arrangement with its custodian whereby fees may be reduced by credits earned on uninvested cash balances, which, if applicable, are shown as fees paid indirectly in the Statement of Operations. The custodian imposes fees on overdrawn cash balances, which can be offset by accumulated credits earned or may result in additional custody charges.

3. Investment Advisory Agreement and Other Transactions with Affiliates:

The PNC Financial Services Group, Inc. is the largest stockholder and an affiliate of BlackRock, Inc. (“BlackRock”), for 1940 Act purposes.

The Fund entered into an Investment Advisory Agreement with the Manager, the Fund’s investment advisor, an indirect, wholly owned subsidiary of BlackRock, to provide investment advisory and administration services. The Manager is responsible for the management of the Fund’s portfolio and provides the necessary personnel, facilities, equipment and certain other services to the operations of the Fund. For such services, the Fund pays the Manager a monthly fee based on a percentage of the Fund’s average daily net assets at the following annual rates:

Average Daily Net Assets	Investment Advisory Fee
First $250 million		0.500	%
$250 million — $ 300 million		0.450	%
$300 million — $ 400 million		0.425	%
Greater than $400 million		0.400	%

The Fund also pays an investment advisory fee to the Manager, which is the investment advisor of Master Total Return Portfolio and Master Large Cap Core Portfolio, to the extent it invests in the Master Total Return Portfolio and Master Large Cap Core Portfolio. The Manager has contractually agreed to

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 17

Notes to Financial Statements (continued) BlackRock Balanced Capital Fund, Inc.

waive its investment advisory fee by the amount the Fund pays in connection with its investments in the Master Portfolios. For the six months ended March 31, 2015, the Manager waived $1,548,922, which is included in fees waived by the Manager in the Statement of Operations.

Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows:

Affiliate	Shares Held at September 30, 2014		Net Activity		Shares Held at March 31, 2015		Income
BlackRock Liquidity Funds, TempFund, Institutional Class		11,246,786		28,314,765		39,561,551	$	11,032

The Manager voluntarily agreed to waive its investment advisory fees by the amount of investment advisory fees the Fund pays to the Manager indirectly through its investment in affiliated money market funds. However, the Manager does not waive its investment advisory fees by the amount of investment advisory fees paid in connection with the Fund’s investment in other affiliated investment companies except to the extent noted above with respect to Master Total Return Portfolio and Master Large Cap Core Portfolio, if any. For the six months ended March 31, 2015, the Manager waived $11,016, which is included in fees waived by the Manager in the Statement of Operations.

The Manager, on behalf of each Fund, entered into a sub-advisory agreement with BlackRock Investment Management, LLC (“BIM”), an affiliate of the Manager. The Manager pays BIM, for services it provides, a monthly fee that is a percentage of the investment advisory fees paid by the Fund to the Manager.

The Manager, on behalf of the Fund, entered into a Distribution Agreement and a Distribution and Service Plan with BlackRock Investments, LLC (“BRIL”), an affiliate of the Manager. Pursuant to the Distribution and Service Plan and in accordance with Rule 12b-1 under the 1940 Act, the Fund pays BRIL ongoing service and distribution fees. The fees are accrued daily and paid monthly at annual rates based upon the average daily net assets of the relevant share class of the Fund as follows:

	Service Fee			Distribution Fee
Investor A		0.25	%		—
Investor B		0.25	%		0.75	%
Investor C		0.25	%		0.75	%
Class R		0.25	%		0.25	%

Pursuant to sub-agreements with BRIL, broker-dealers and BRIL provide shareholder servicing and distribution services to the Fund. The ongoing service and/or distribution fee compensates BRIL and each broker-dealer for providing shareholder servicing and/or distribution related services to Investor A, Investor B, Investor C and Class R shareholders.

Pursuant to written agreements, certain financial intermediaries, some of which may be affiliates, provide the Fund with sub-accounting, recordkeeping, sub-transfer agency and other administrative services with respect to sub-accounts they service. For these services, these entities receive an asset-based fee or annual fee per shareholder account, which will vary depending on share class and/or net assets. For the six months ended March 31, 2015, the Fund paid the following amounts to affiliates of BlackRock in return for these services, which are included in transfer agent — class specific in the Statement of Operations:

Institutional	$	15
Investor A	$	13

The Manager maintains a call center, which is responsible for providing certain shareholder services to the Fund, such as responding to shareholder inquiries and processing transactions based upon instructions from shareholders with respect to the subscription and redemption of Fund shares. For the six months ended March 31, 2015, the Fund reimbursed the Manager the following amounts for costs incurred in running the call center, which are included in transfer agent — class specific in the Statement of Operations:

Institutional	$	9,663
Investor A	$	13,001
Investor B	$	473
Investor C	$	2,491
Class R	$	18

18 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Financial Statements (continued) BlackRock Balanced Capital Fund, Inc.

For the six months ended March 31, 2015, affiliates earned underwriting discounts, direct commissions and dealer concessions on sales of the Fund’s Investor A Shares, which totaled $22,729.

For the six months ended March 31, 2015, affiliates received CDSCs as follows:

Investor B	$	97
Investor C	$	4,567

Certain officers and/or directors of the Fund are officers and/or directors of BlackRock or its affiliates. The Fund reimburses the Manager for a portion of the compensation paid to the Fund’s Chief Compliance Officer, which is included in officer in the Statement of Operations.

4. Income Tax Information:

It is the Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no federal income tax provision is required.

The Fund files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on the Fund’s U.S. federal tax returns remains open for each of the four years ended September 30, 2014. The statutes of limitations on the Fund’s state and local tax returns may remain open for an additional year depending upon the jurisdiction.

Management has analyzed tax laws and regulations and their application to the Fund as of March 31, 2015, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Fund’s financial statements.

5. Bank Borrowings:

The Fund, along with certain other funds managed by the Manager and its affiliates (“Participating Funds”), was a party to a 364-day, $1.1 billion credit agreement with a group of lenders, under which the Fund may borrow to fund shareholder redemptions. Excluding commitments designated for a certain individual fund, the Participating Funds, including the Fund, could borrow up to an aggregate commitment amount of $650 million, subject to asset coverage and other limitations as specified in the agreement. Effective November 25, 2014, the credit agreement was amended to an aggregate commitment amount of $2.1 billion, of which the Participating Funds, including the Fund, can borrow up to $1.6 billion at any time outstanding, subject to asset coverage and other limitations as specified in the agreement. The agreement terminates on April 23, 2015, unless otherwise extended to November 24, 2015 or renewed for a period of 364 days from April 23, 2015. The amended agreement has the following terms: a fee of 0.06% per annum on unused commitment amounts and interest at a rate equal to the higher of (a) one-month LIBOR (but, in any event, not less than 0.00%) on the date the loan is made plus 0.80% per annum or (b) Fed Funds rate (but, in any event, not less than 0.00%) in effect from time to time plus 0.80% per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are included in miscellaneous expenses in the Statement of Operations, and along with commitment fees, were allocated among such funds based upon portions of the aggregate commitment available to them and relative net assets of Participating Funds. During the six months ended March 31, 2015, the Fund did not borrow under the credit agreement.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 19

Notes to Financial Statements (concluded) BlackRock Balanced Capital Fund, Inc.

6. Capital Share Transactions:

Transactions in capital shares for each class were as follows:

	Six Months Ended March 31, 2015						Year Ended September 30, 2014
	Shares			Amount			Shares			Amount
Institutional
Shares sold		2,388,231		$	60,157,358			980,571		$	25,081,312
Shares issued to shareholders in reinvestment of distributions		1,519,124			36,641,250			1,058,374			25,988,038
Shares redeemed		(1,392,312	)		(35,300,685	)		(1,296,288	)		(33,207,672	)
Net increase		2,515,043		$	61,497,923			742,657		$	17,861,678
Investor A
Shares sold and automatic conversion of shares		2,050,306		$	50,892,313			1,724,599		$	43,864,042
Shares issued to shareholders in reinvestment of distributions		2,147,804			51,697,578			1,585,357			38,831,120
Shares redeemed		(1,598,916	)		(39,816,745	)		(2,703,341	)		(68,793,610	)
Net increase		2,599,194		$	62,773,146			606,615		$	13,901,552
Investor B
Shares sold		8,988		$	217,497			8,370		$	206,975
Shares issued to shareholders in reinvestment of distributions		12,134			284,294			14,354			341,728
Shares redeemed and automatic conversion of shares		(39,992	)		(983,245	)		(80,436	)		(1,998,619	)
Net decrease		(18,870	)	$	(481,454	)		(57,712	)	$	(1,449,916	)
Investor C
Shares sold		949,623		$	21,440,327			579,939		$	13,558,206
Shares issued to shareholders in reinvestment of distributions		428,262			9,340,381			262,991			5,906,750
Shares redeemed		(342,538	)		(7,701,673	)		(452,565	)		(10,607,564	)
Net increase		1,035,347		$	23,079,035			390,365		$	8,857,392
Class R
Shares sold		88,711		$	2,075,999			150,010		$	3,643,101
Shares issued to shareholders in reinvestment of distributions		48,763			1,107,910			38,306			891,000
Shares redeemed		(77,872	)		(1,871,098	)		(167,052	)		(4,064,569	)
Net increase		59,602		$	1,312,811			21,264		$	469,532
Total Net Increase		6,190,316		$	148,181,461			1,703,189		$	39,640,238

7. Subsequent Events:

Management’s evaluation of the impact of all subsequent events on the Fund’s financial statements was completed through the date the financial statements were issued and the following items were noted:

Effective April 23, 2015, the 364-day, $2.1 billion credit agreement to which the Fund is a party, was further amended to expire on April 21, 2016, unless otherwise extended or renewed.

20 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Portfolio Information as of March 31, 2015 (Unaudited) Master Large Cap Core Portfolio

As of March 31, 2015

Ten Largest Holdings Percent of Long-Term  Investments

CVS Health Corp.	3	%
JPMorgan Chase & Co.	3
Comcast Corp., Class A	3
Lowe’s Cos., Inc.	3
3M Co.	3
U.S. Bancorp	3
Bank of America Corp.	2
American International Group, Inc.	2
Aetna, Inc.	2
Citigroup, Inc.	2

Sector Allocations Percent of Long-Term  Investments

Information Technology	24	%
Financials	19
Health Care	19
Consumer Discretionary	12
Industrials	10
Consumer Staples	7
Energy	7
Materials	2

For Portfolio compliance purposes, the Portfolio’s sector classifications refer to any one or more of the sector sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Portfolio management. These definitions may not apply for purposes of this report, which may combine sector sub-classifications for reporting ease.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 21

Schedule of Investments March 31, 2015 (Unaudited)	Master Large Cap Core Portfolio
	(Percentages shown are based on Net Assets)

Common Stocks	Shares		Value
Aerospace & Defense — 1.2%
Honeywell International, Inc.		34,400	$	3,588,264
Raytheon Co.		225,920		24,681,760
				28,270,024
Air Freight & Logistics — 1.1%
FedEx Corp.		161,600		26,736,720
Airlines — 1.7%
Southwest Airlines Co.		372,400		16,497,320
United Continental Holdings, Inc. (a)		371,700		24,996,825
				41,494,145
Auto Components — 0.5%
Lear Corp.		118,200		13,098,924
Banks — 11.8%
Bank of America Corp.		3,758,536		57,843,869
Citigroup, Inc.		1,011,418		52,108,255
JPMorgan Chase & Co.		1,112,024		67,366,414
SunTrust Banks, Inc.		765,640		31,460,148
U.S. Bancorp		1,347,625		58,850,784
Wells Fargo & Co.		209,930		11,420,192
				279,049,662
Beverages — 2.7%
Dr Pepper Snapple Group, Inc.		491,400		38,565,072
Molson Coors Brewing Co., Class B		344,300		25,633,135
				64,198,207
Biotechnology — 1.9%
Amgen, Inc.		280,200		44,789,970
Capital Markets — 1.1%
The Goldman Sachs Group, Inc.		136,480		25,654,146
Chemicals — 0.6%
Cabot Corp.		139,874		6,294,330
The Dow Chemical Co.		165,500		7,940,690
				14,235,020
Communications Equipment — 3.2%
Brocade Communications Systems, Inc.		1,684,342		19,984,718
Cisco Systems, Inc.		1,408,720		38,775,018
QUALCOMM, Inc.		255,690		17,729,545
				76,489,281
Construction & Engineering — 0.7%
AECOM (a)		558,500		17,212,970
Consumer Finance — 2.5%
Discover Financial Services		687,770		38,755,839
SLM Corp.		2,106,040		19,544,051
				58,299,890
Containers & Packaging — 0.7%
Packaging Corp. of America		218,413		17,077,712

Common Stocks	Shares		Value
Electronic Equipment, Instruments & Components — 0.6%
TE Connectivity Ltd.		33,370	$	2,389,959
Zebra Technologies Corp., Class A (a)		133,203		12,083,510
				14,473,469
Energy Equipment & Services — 2.3%
Atwood Oceanics, Inc.		211,300		5,939,643
Halliburton Co.		102,110		4,480,587
Schlumberger Ltd.		443,320		36,990,621
Weatherford International PLC (a)		593,890		7,304,847
				54,715,698
Food & Staples Retailing — 4.1%
CVS Health Corp.		744,025		76,790,820
The Kroger Co.		34,600		2,652,436
Wal-Mart Stores, Inc.		218,040		17,933,790
				97,377,046
Food Products — 0.4%
Pilgrim’s Pride Corp. (b)		158,300		3,575,997
Tyson Foods, Inc., Class A		170,000		6,511,000
				10,086,997
Health Care Equipment & Supplies — 0.1%
Medtronic PLC		32,140		2,506,599
Health Care Providers & Services — 11.7%
Aetna, Inc.		498,100		53,062,593
Centene Corp. (a)		419,600		29,661,524
Cigna Corp.		284,100		36,773,904
Express Scripts Holding Co. (a)		82,500		7,158,525
Humana, Inc.		112,800		20,080,656
Laboratory Corp. of America Holdings (a)		214,040		26,988,304
McKesson Corp.		142,525		32,239,155
UnitedHealth Group, Inc.		357,500		42,288,675
Universal Health Services, Inc., Class B		247,450		29,127,339
				277,380,675
Hotels, Restaurants & Leisure — 1.7%
Carnival Corp.		576,038		27,557,658
Las Vegas Sands Corp.		213,400		11,745,536
				39,303,194
Industrial Conglomerates — 2.5%
3M Co.		357,175		58,916,016
Insurance — 3.5%
American International Group, Inc.		980,400		53,716,116
The Travelers Cos., Inc.		276,730		29,922,815
				83,638,931
Internet & Catalog Retail — 0.5%
The Priceline Group, Inc. (a)		9,420		10,966,293

Portfolio Abbreviations

ADR	American Depositary Receipts
SPDR	Standard & Poor’s Depositary Receipts

See Notes to Financial Statements.

22 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Schedule of Investments (continued)	Master Large Cap Core Portfolio
	(Percentages shown are based on Net Assets)

Common Stocks	Shares		Value
Internet Software & Services — 3.9%
Facebook, Inc., Class A (a)		402,100	$	33,058,651
Google, Inc., Class A (a)		53,285		29,557,190
Google, Inc., Class C (a)		54,445		29,835,860
				92,451,701
IT Services — 3.9%
Alliance Data Systems Corp. (a)		15,640		4,633,350
Amdocs Ltd.		310,279		16,879,178
Cognizant Technology Solutions Corp., Class A (a)		165,500		10,325,545
DST Systems, Inc.		46,044		5,097,531
MasterCard, Inc., Class A		479,160		41,394,632
Total System Services, Inc.		349,354		13,327,855
				91,658,091
Machinery — 1.5%
Parker Hannifin Corp.		147,266		17,492,255
WABCO Holdings, Inc. (a)		138,300		16,994,304
				34,486,559
Media — 3.1%
Comcast Corp., Class A		1,136,000		64,149,920
Omnicom Group, Inc.		130,500		10,176,390
				74,326,310
Multiline Retail — 0.7%
Macy’s, Inc.		258,400		16,772,744
Multi-Utilities — 0.4%
Public Service Enterprise Group, Inc.		204,500		8,572,640
Oil, Gas & Consumable Fuels — 4.4%
BP PLC — ADR		678,410		26,532,615
Exxon Mobil Corp.		90,770		7,715,450
Hess Corp.		231,552		15,715,434
Marathon Petroleum Corp.		110,053		11,268,327
PBF Energy, Inc., Class A		176,240		5,978,061
Suncor Energy, Inc.		1,014,410		29,671,493
Tesoro Corp.		71,893		6,563,112
				103,444,492
Paper & Forest Products — 0.7%
Domtar Corp.		360,100		16,643,822
Pharmaceuticals — 4.7%
AstraZeneca PLC — ADR		348,800		23,868,384
Johnson & Johnson		80,095		8,057,557
Merck & Co., Inc.		103,243		5,934,408
Pfizer, Inc.		72,690		2,528,885
Shire PLC — ADR		95,400		22,828,266
Teva Pharmaceutical Industries Ltd. — ADR		767,036		47,786,343
				111,003,843
Road & Rail — 0.9%
Norfolk Southern Corp.		146,700		15,098,364
Union Pacific Corp.		60,700		6,574,417
				21,672,781
Semiconductors & Semiconductor Equipment — 4.1%
Intel Corp.		1,467,970		45,903,422
Micron Technology, Inc. (a)		1,538,870		41,749,543
NVIDIA Corp.		479,900		10,041,907
				97,694,872
Software — 2.1%
Microsoft Corp.		754,940		30,692,086
Oracle Corp.		459,450		19,825,267
				50,517,353

Common Stocks	Shares		Value
Specialty Retail — 5.0%
The Home Depot, Inc.		330,800	$	37,582,188
Lowe’s Cos., Inc.		840,800		62,547,112
Ross Stores, Inc.		187,139		19,716,965
				119,846,265
Technology Hardware, Storage & Peripherals — 5.4%
Apple Inc.		270,870		33,704,354
EMC Corp.		1,216,070		31,082,749
Hewlett-Packard Co.		751,966		23,431,261
Western Digital Corp.		449,110		40,873,501
				129,091,865
Textiles, Apparel & Luxury Goods — 0.6%
Deckers Outdoor Corp. (a)		62,500		4,554,375
Fossil Group, Inc. (a)		105,300		8,681,985
				13,236,360
Total Common Stocks — 98.5%				2,337,391,287
Investment Companies — 0.1%
Utilities Select Sector SPDR Fund		81,300		3,612,159
Total Long-Term Investments (Cost — $1,761,376,729) — 98.6%				2,341,003,446
Short-Term Securities
BlackRock Liquidity Funds, TempFund, Institutional Class, 0.06% (c)(d)		25,332,154		25,332,154
	Beneficial Interest (000)
BlackRock Liquidity Series, LLC, Money Market Series, 0.22% (c)(d)(e)	$	2,699		2,698,794
Total Short-Term Securities (Cost — $28,030,948) — 1.2%				28,030,948
Total Investments (Cost — $1,789,407,677) — 99.8%				2,369,034,394
Other Assets Less Liabilities — 0.2%				4,076,177
Net Assets — 100.0%			$	2,373,110,571

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 23

Schedule of Investments (concluded) Master Large Cap Core Portfolio

Notes to Schedule of Investments

(a) Non-income producing security.

(b) Security, or a portion of security, is on loan.

(c) During the six months ended March 31, 2015, investments in issuers considered to be affiliates of the Portfolio for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

Affiliate	Shares/Beneficial Interest Held at September 30,  2014		Net Activity		Shares/Beneficial Interest Held at March 31,  2015		Income		Realized Gain
BlackRock Liquidity Funds, TempFund, Institutional Class		11,267,596		14,064,558		25,332,154	$	13,477	$	6,359
BlackRock Liquidity Series, LLC, Money Market Series		—	$	2,698,794	$	2,698,794	$	10,580		—

(d) Represents the current yield as of report date.

(e) Security was purchased with the cash collateral from loaned securities. The Portfolio may withdraw up to 25% of its investment daily, although the manager of the BlackRock Liquidity Series, LLC, Money Market Series, in its sole discretion, may permit an investor to withdraw more than 25% on any one day.

• For Portfolio compliance purposes, the Portfolio’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by the investment advisor. These definitions may not apply for purposes of this report, which may combine such industry sub-classifications for reporting ease.

• Fair Value Measurements — Various inputs are used in determining the fair value of investments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial statement purposes. 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. The categorization of a value determined for investments is based on the pricing transparency of the investment and is not necessarily an indication of the risks associated with investing in those securities. The three levels of the fair value hierarchy are as follows:

• Level 1 — unadjusted quoted prices in active markets/exchanges for identical assets or liabilities that the Portfolio 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)

• Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Portfolio’s own assumptions used in determining the fair value of investments)

Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the Portfolio’s policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of the reporting period. For information about the Portfolio’s policy regarding valuation of investments, refer to Note 2 of the Notes to Financial Statements.

As of March 31, 2015, the following table summarizes the Portfolio’s investments categorized in the disclosure hierarchy:

	Level 1		Level 2		Level 3	Total
Assets:
Investments:
Long-Term Investments:
Common Stocks1	$	2,337,391,287		—	—	$	2,337,391,287
Investment Companies		3,612,159		—	—		3,612,159
Short-Term Securities		25,332,154	$	2,698,794	—		28,030,948
Total	$	2,366,335,600	$	2,698,794	—	$	2,369,034,394

¹  See above Schedule of Investments for values in each industry.

The Portfolio may hold liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of March 31, 2015, collateral on securities loaned at value of $2,698,794 is categorized as Level 2 within the disclosure hierarchy.

During the six months ended March 31, 2015, there were no transfers between levels.

See Notes to Financial Statements.

24 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Statement of Assets and Liabilities Master Large Cap Core Portfolio

March 31, 2015 (Unaudited)
Assets
Investments at value — unaffiliated (including securities loaned at value of $2,556,217) (cost — $1,761,376,729)	$	2,341,003,446
Investments at value — affiliated (cost — $28,030,948)		28,030,948
Investments sold receivable		5,832,425
Contributions receivable from investors		1,723,734
Dividends receivable — unaffiliated		3,074,189
Securities lending income receivable — affiliated		6,185
Dividends receivable — affiliated		2,211
Prepaid expenses		8,664
Total assets		2,379,681,802
Liabilities
Collateral on securities loaned at value		2,698,794
Withdrawals payable to investors		2,800,189
Investment advisory fees payable		956,450
Directors’ fees payable		14,955
Other affiliates payable		11,724
Other accrued expenses payable		89,119
Total liabilities		6,571,231
Net Assets	$	2,373,110,571
Net Assets Consist of
Investors’ capital	$	1,793,483,854
Net unrealized appreciation/depreciation		579,626,717
Net Assets	$	2,373,110,571

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 25

Statement of Operations Master Large Cap Core Portfolio

Six Months Ended March 31, 2015 (Unaudited)
Investment Income
Dividends — unaffiliated	$	19,571,853
Dividends — affiliated		13,477
Securities lending — affiliated — net		10,580
Foreign taxes withheld		(166,414	)
Total income		19,429,496
Expenses
Investment advisory		5,632,982
Accounting services		210,438
Professional		36,902
Directors		34,924
Custodian		34,458
Printing		1,095
Miscellaneous		14,813
Total expenses		5,965,612
Less fees waived by the Manager		(19,973	)
Total expenses after fees waived		5,945,639
Net investment income		13,483,857
Realized and Unrealized Gain
Net realized gain (loss) from:
Investments		96,916,681
Capital gain distributions received from affiliated investment companies		6,359
		96,923,040
Net change in unrealized appreciation/depreciation on investments		24,169,516
Total realized and unrealized gain		121,092,556
Net Increase in Net Assets Resulting from Operations	$	134,576,413

See Notes to Financial Statements.

26 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Statements of Changes in Net Assets Master Large Cap Core Portfolio

Increase (Decrease) in Net Assets:	Six Months Ended March 31, 2014 (Unaudited)			Year Ended September 30, 2014
Operations
Net investment income	$	13,483,857		$	25,125,980
Net realized gain		96,923,040			363,322,933
Net change in unrealized appreciation/depreciation		24,169,516			28,704,584
Net increase in net assets resulting from operations		134,576,413			417,153,497
Capital Transactions
Proceeds from contributions		133,313,097			155,850,428
Value of withdrawals		(230,282,109	)		(546,397,150	)
Net decrease in net assets derived from capital transactions		(96,969,012	)		(390,546,722	)
Net Assets
Total increase in net assets		37,607,401			26,606,775
Beginning of period		2,335,503,170			2,308,896,395
End of period	$	2,373,110,571		$	2,335,503,170

See Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 27

Financial Highlights Master Large Cap Core Portfolio

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Total Return
Total return		5.59	%1		19.44	%		20.39	%		29.97	%		(1.61	)%		6.16	%
Ratios to Average Net Assets
Total expenses		0.50	%2		0.50	%		0.50	%		0.50	%		0.49	%		0.49	%
Total expenses after fees waived		0.50	%2		0.50	%		0.50	%		0.50	%		0.49	%		0.49	%
Net investment income		1.13	%2		1.08	%		1.29	%		1.67	%		1.13	%		1.11	%
Supplemental Data
Net assets, end of period (000)	$	2,373,111		$	2,335,503		$	2,308,896		$	2,318,851		$	2,306,714		$	3,209,486
Portfolio turnover rate		23	%		40	%		50	%		128	%		129	%		173	%

¹  Aggregate total return.

²  Annualized.

See Notes to Financial Statements.

28 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Financial Statements (Unaudited) Master Large Cap Core Portfolio

1. Organization:

Master Large Cap Core Portfolio (the “Portfolio”) is a series of Master Large Cap Series LLC (the “Master LLC”). The Master LLC is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company and is organized as a Delaware limited liability company. The Portfolio is classified as diversified. The Limited Liability Company Agreement of the Master LLC permits the Board of Directors of the Master LLC (the “Board”) to issue non-transferable interests in the Master LLC, subject to certain limitations.

The Portfolio, together with certain other registered investment companies advised by BlackRock Advisors, LLC (the “Manager”) or its affiliates, is included in a complex of open-end funds referred to as the Equity-Liquidity Complex.

2. Significant Accounting Policies:

The Portfolio’s 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 and the reported amount of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. The Portfolio is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Portfolio:

Valuation: The Portfolio’s investments are valued at fair value as of the close of trading on the New York Stock Exchange (“NYSE”) (generally 4:00 p.m., Eastern time). U.S. GAAP defines fair value as the price the Portfolio would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Portfolio determines the fair value of its financial instruments at market value using independent dealers or pricing services under policies approved by the Board. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to provide oversight of the pricing function for the Portfolio for all financial instruments.

Equity investments traded on a recognized securities exchange are valued at the official close price each day, if available. For equity investments traded on more than one exchange, the official close price on the exchange where the stock is primarily traded is used. Equity investments traded on a recognized exchange for which there were no sales on that day may be valued at the last available bid (long positions) or ask (short positions) price. Investments in open-end registered investment companies are valued at NAV each business day.

The Portfolio values its investment in BlackRock Liquidity Series, LLC, Money Market Series (the “Money Market Series”) at fair value, which is ordinarily based upon its pro rata ownership in the underlying fund’s net assets. The Money Market Series seeks current income consistent with maintaining liquidity and preserving capital. Although the Money Market Series is not registered under the 1940 Act, its investments will follow the parameters of investments by a money market fund that is subject to Rule 2a-7 under the 1940 Act. The Portfolio may withdraw up to 25% of its investment daily, although the Manager of the Money Market Series, in its sole discretion, may permit an investor to withdraw more than 25% on any one day.

In the event that the application of these methods of valuation results in a price for an investment which is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, or its delegate, in accordance with a policy approved by the Board as reflecting fair value (“Fair Value Investments”). When determining the price for Fair Value Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that the Portfolio might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant consistent with the principles of fair value measurement. The pricing of all Fair Value Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

Investment Transactions and Investment Income: For financial reporting purposes, investment transactions are recorded on the dates the transactions are entered into (the trade dates). Realized gains and losses on investment transactions are determined on the identified cost basis. Dividend income is recorded on the ex-dividend dates. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Portfolio is informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

Recent Accounting Standard: In June 2014, the Financial Accounting Standards Board issued guidance to improve the financial reporting of reverse repurchase agreements and other similar transactions. The guidance will require expanded disclosure for entities that enter into reverse repurchase agreements and similar transactions accounted for as secured borrowings. It is effective for financial statements with fiscal years beginning on or after December 15, 2014 and for interim periods beginning after March 31, 2015. Management is evaluating the impact, if any, of this guidance on the Portfolio’s financial statement disclosures.

Other: Expenses directly related to the Portfolio are charged to the Portfolio. Other operating expenses shared by several funds are prorated among those funds on the basis of relative net assets or other appropriate methods.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 29

Notes to Financial Statements (continued) Master Large Cap Core Portfolio

The Portfolio has an arrangement with its custodian whereby fees may be reduced by credits earned on uninvested cash balances, which, if applicable, are shown as fees paid indirectly in the Statement of Operations. The custodian imposes fees on overdrawn cash balances, which can be offset by accumulated credits earned or may result in additional custody charges.

3. Securities and Other Investments:

Securities Lending: The Portfolio may lend its securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Portfolio collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. Government. The initial collateral received by the Portfolio is required to have a value of at least 102% of the current 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 market value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Portfolio and any additional required collateral is delivered to the Portfolio on the next business day. During the term of the loan, the Portfolio is entitled to all distributions made on or in respect of the loaned securities. 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.

The market value of securities on loan and the value of the related collateral are shown separately in the Statement of Assets and Liabilities as a component of investments at value — unaffiliated, and collateral on securities loaned at value, respectively. As of March 31, 2015, any securities on loan were collateralized by cash. The cash collateral invested by the securities lending agent, BlackRock Investment Management, LLC (“BIM”), if any, is disclosed in the Schedule of Investments.

Securities lending transactions are entered into by the Portfolio under Master Securities Lending Agreement (the “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 Portfolio, 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, the borrower can resell or re-pledge the loaned securities, and the Portfolio can reinvest cash collateral, or, upon an event of default, resell or re-pledge the collateral.

As of March 31, 2015, the following table is a summary of the Portfolio’s securities lending agreements by counterparty, which are subject to offset under an MSLA:

	Securities Loaned at Value		Cash Collateral Received1			Net Amount
Master Large Cap Core Portfolio
Counterparty
Citigroup Global Markets, Inc.	$	2,556,217	$	(2,556,217	)	—

¹  Collateral with a value of $2,698,794 has been received in connection with securities lending agreements. Collateral received in excess of the value of securities loaned from the individual counterparty is not shown for financial reporting purposes.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Portfolio benefits from a borrower default indemnity provided by BIM. BIM’s indemnity allows for full replacement of the securities loaned if the collateral received does not cover the value on the securities loaned in the event of borrower default. The Portfolio could suffer a loss if the value of an investment purchased with cash collateral falls below the market value of loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original cash collateral received.

4. Investment Advisory Agreement and Other Transactions with Affiliates:

The PNC Financial Services Group, Inc. is the largest stockholder and an affiliate of BlackRock, Inc. (“BlackRock”) for 1940 Act purposes.

The Master LLC, on behalf of the Portfolio, entered into an Investment Advisory Agreement with the Manager, the Portfolio’s investment advisor, an indirect, wholly owned subsidiary of BlackRock, to provide investment advisory and administration services. The Manager is responsible for the management of the Portfolio and provides the necessary personnel, facilities, equipment and certain other services to the operations of the Portfolio. For such services, the Portfolio pays the Manager a monthly fee based on a percentage of the Portfolio’s average daily net assets at the following annual rates:

30 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Financial Statements (continued) Master Large Cap Core Portfolio

Average Daily Net Assets	Investment Advisory Fee
Not exceeding $1 Billion		0.50	%
In excess of $1 Billion, but not exceeding $5 Billion		0.45	%
In excess of $5 Billion		0.40	%

The Manager voluntarily agreed to waive its investment advisory fees by the amount of investment advisory fees the Portfolio pays to the Manager indirectly through its investment in affiliated money market funds. However, the Manager does not waive its investment advisory fees by the amount of investment advisory fees paid in connection with the Portfolio’s investment in other affiliated investment companies, if any. This amount is shown as fees waived by the Manager in the Statement of Operations.

For the six months ended March 31, 2015, the Portfolio reimbursed the Manager $11,802 for certain accounting services, which are included in accounting services in the Statement of Operations.

The U.S. Securities and Exchange Commission has issued an exemptive order which permits BIM, an affiliate of the Manager, to serve as securities lending agent for the Portfolio, subject to applicable conditions. As securities lending agent, BIM bears all operational costs directly related to securities lending. The Portfolio is responsible for expenses in connection with the investment of cash collateral received for securities on loan (the “collateral investment expenses”). The cash collateral is invested in a private investment company managed by the Manager or its affiliates. However, BIM has agreed to cap the collateral investment expenses of the private investment company to an annual rate of 0.04%. The investment advisor to the private investment company will not charge any advisory fees with respect to shares purchased by the Portfolio.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment expenses. The Portfolio retains a portion of securities lending income and remits a remaining portion to BIM as compensation for its services as securities lending agent. Pursuant to a securities lending agreement, BIM may lend securities only when the difference between the borrower rebate rate and the risk free rate exceeds a certain level (such securities, the “specials only securities”).

Pursuant to such agreement, the Portfolio retains 80% of securities lending income. In addition, commencing the business day following the date that the aggregate securities lending income earned across certain funds in the Equity-Liquidity Complex in a calendar year exceeds a specified threshold, the Portfolio, pursuant to the securities lending agreement, will retain for the remainder of the calendar year securities lending income in an amount equal to 85% of securities lending income.

The share of securities lending income earned by the Portfolio is shown as securities lending — affiliated — net in the Statement of Operations. For the six months ended March 31, 2015, the Portfolio paid BIM $2,645 for securities lending agent services.

Certain officers and/or directors of the Master LLC are officers and/or directors of BlackRock or its affiliates.

The Portfolio may purchase securities from, or sell securities to, an affiliated fund provided the affiliation is due solely to having a common investment advisor, common officers, or common trustees. For the six months ended March 31, 2015, the sale transactions with an affiliated fund in compliance with Rule 17a-7 under the 1940 Act were $12,220,775.

5. Purchases and Sales:

Purchases and sales of investments, excluding short-term securities, for the six months ended March 31, 2015, were $537,653,919 and $638,573,778, respectively.

6. Income Tax Information

The Portfolio is classified as a partnership for federal income tax purposes. As such, each investor in the Portfolio is treated as the owner of its proportionate share of net assets, income, expenses and realized and unrealized gains and losses of the Portfolio. Therefore, no federal income tax provision is required. It is intended that the Portfolio’s assets will be managed so an investor in the Portfolio can satisfy the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended.

The Portfolio files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on the Portfolio’s U.S. federal tax returns remains open for each of the four years ended September 30, 2014. The statutes of limitations on the Portfolio’s state and local tax returns may remain open for an additional year depending upon the jurisdiction.

Management has analyzed tax laws and regulations and their application to the Portfolio as of March 31, 2015, inclusive of the open tax return years and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Portfolio’s financial statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 31

Notes to Financial Statements (concluded) Master Large Cap Core Portfolio

As of March 31, 2015, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

Tax cost	$	1,793,001,400
Gross unrealized appreciation	$	619,590,193
Gross unrealized depreciation		(43,557,199	)
Net unrealized appreciation	$	576,032,994

7. Bank Borrowings:

The Master LLC, on behalf of the Portfolio, along with certain other funds managed by the Manager and its affiliates (“Participating Funds”), was a party to a 364-day, $1.1 billion credit agreement with a group of lenders, under which the Portfolio may borrow to fund shareholder redemptions. Excluding commitments designated for a certain individual fund, the Participating Funds, including the Portfolio, could borrow up to an aggregate commitment amount of $650 million, subject to asset coverage and other limitations as specified in the agreement. Effective November 25, 2014, the credit agreement was amended to an aggregate commitment amount of $2.1 billion, of which the Participating Funds, including the Fund, can borrow up to $1.6 billion at any time outstanding, subject to asset coverage and other limitations as specified in the agreement. The agreement terminates on April 23, 2015, unless otherwise extended to November 24, 2015 or renewed for a period of 364 days from April 23, 2015. The amended agreement has the following terms: a fee of 0.06% per annum on unused commitment amounts and interest at a rate equal to the higher of (a) one-month LIBOR (but, in any event, not less than 0.00%) on the date the loan is made plus 0.80% per annum or (b) the Fed Funds rate (but, in any event, not less than 0.00%) in effect from time to time plus 0.80% per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are included in miscellaneous expenses in the Statement of Operations, and along with commitment fees, were allocated among such funds based upon portions of the aggregate commitment available to them and relative net assets of Participating Funds. During the six months ended March 31, 2015, the Portfolio did not borrow under the credit agreement.

8. Principal Risks:

In the normal course of business, the Portfolio invests in securities and enters into transactions where risks exist due to fluctuations in the market (market risk) or failure of the issuer of a security to meet all its obligations (issuer credit risk). The value of securities held by the Portfolio may decline in response to certain events, including those directly involving the issuers whose securities are owned by the Portfolio; conditions affecting the general economy; overall market changes; local, regional or global political, social or economic instability; and currency, interest rate and price fluctuations. Similar to issuer credit risk, the Portfolio may be exposed to counterparty credit risk, or the risk that an entity with which the Portfolio has unsettled or open transactions may fail to or be unable to perform on its commitments. The Portfolio manages counterparty credit risk by entering into transactions only with counterparties that it believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Portfolio to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Portfolio’s exposure to market, issuer and counterparty credit risks with respect to these financial assets is generally approximated by their value recorded in the Statement of Assets and Liabilities, less any collateral held by the Portfolio.

As of March 31, 2015, the Portfolio invested a significant portion of its assets in securities in the Information Technology sector. Changes in economic conditions affecting such sector would have a greater impact on the Portfolio and could affect the value, income and/or liquidity of positions in such securities.

9. Subsequent Events:

Management’s evaluation of the impact of all subsequent events on the Portfolio’s financial statements was completed through the date the financial statements were issued and the following item was noted:

Effective April 23, 2015, the 364-day, $2.1 billion credit agreement to which the Master LLC is a party, was further amended to expire on April 21, 2016, unless otherwise extended or renewed.

32 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Master Portfolio Information Master Total Return Portfolio

As of March 31, 2015

Portfolio Composition Percent of Long-Term  Investments

U.S. Government Sponsored Agency Securities	44	%
U.S. Treasury Obligations	18
Corporate Bonds	18
Asset-Backed Securities	8
Non-Agency Mortgage-Backed Securities	5
Taxable Municipal Bonds	3
Foreign Government Obligations	2
Preferred Securities	1
Floating Rate Loan Interests	1

Credit Quality Allocation¹ Percent of Long-Term  Investments

AAA/Aaa2	68	%
AA/Aa	4
A	9
BBB/Baa	8
BB/Ba	3
B	2
CCC/Caa	1
CC/Ca	1
N/R	4

¹  For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either Standard & Poor’s (“S&P”) or Moody’s Investors Service (“Moody’s”) if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated N/R are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

²  The investment advisor evaluates the credit quality of not-rated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors, individual investments and/or issuers. Using this approach, the investment advisor has deemed U.S. Government Sponsored Agency Securities and U.S. Treasury Obligations as AAA/Aaa.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 33

Consolidated Schedule of Investments March 31, 2015 (Unaudited)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Asset-Backed Securities		Par   (000)		Value
ACE Securities Corp. Home Equity Loan Trust:
Series 2003-OP1, Class A2, 0.89%, 12/25/33 (a)	USD		581	$	525,894
Series 2006-CW1, Class A2C, 0.31%, 7/25/36 (a)			1,328		977,346
Series 2006-CW1, Class A2D, 0.43%, 7/25/36 (a)			13,114		7,507,037
ALM V Ltd., Series 2012-5A, Class A1R, 1.49%, 2/13/23 (a)(b)			3,400		3,395,639
ALM VII R Ltd., Series 2013-7RA, Class A2, 2.11%, 4/24/24 (a)(b)			2,253		2,248,012
ALM VII R-2 Ltd., Series 2013-7R2A, Class A2, 2.11%, 4/24/24 (a)(b)			3,187		3,179,941
ALME Loan Funding II Ltd.:
Series 2X, Class A, 1.48%, 8/15/27 (a)	EUR		1,740		1,872,050
Series 2X, Class E, 5.18%, 8/15/27 (a)			395		399,628
Series 2X, Class F, 5.93%, 8/15/27 (a)			250		233,320
American Homes 4 Rent:
Series 2014-SFR1, Class A, 1.25%, 6/17/31 (a)(b)	USD		2,171		2,147,042
Series 2014-SFR3, Class A, 3.68%, 12/16/24 (b)			5,227		5,395,073
Anchorage Capital CLO 6 Ltd.:
Series 2015-6A, Class A1, 1.80%, 4/15/27 (a)(b)			2,020		2,014,950
Series 2015-6A, Class B, 2.31%, 4/15/27 (a)(b)			250		245,450
Apidos CDO, Series 2012-9AR, Class BR, 2.12%, 7/15/23 (a)(b)			3,035		3,035,000
Arbour CLO Ltd.:
Series 2014-1X, Class E, 5.07%, 6/16/27 (a)	EUR		338		341,535
Series 2014-1X, Class F, 6.11%, 6/16/27 (a)			336		313,155
Arianna SPV Srl, Series 1, Class A, 3.60%, 10/20/30			1,936		2,168,915
Auto ABS, Series 2012-2, Class A, 2.80%, 4/27/25			859		929,265
Avoca CLO XI Ltd., Series 11X, Class A, 1.47%, 7/15/27 (a)			1,300		1,397,842
Avoca CLO XIII Ltd., Series 13X, Class E, 5.69%, 1/21/28 (a)(b)			430		444,555
Battalion CLO IV Ltd., Series 2013-4A, Class A1, 1.63%, 10/22/25 (a)(b)	USD		4,715		4,683,971

Asset-Backed Securities		Par   (000)		Value
Bayview Opportunity Master Fund IIA Trust, Series 2012-4NR3, Class A, 3.72%, 2/28/35 (a)(b)	USD		1,979	$	1,980,045
Bayview Opportunity Master Fund IIIa Trust, Series 2014-16RP, Class A, 3.84%, 11/28/29 (a)(b)			3,927		3,946,488
BCMSC Trust:
Series 2000-A, Class A2, 7.58%, 6/15/30 (a)			1,714		955,156
Series 2000-A, Class A3, 7.83%, 6/15/30 (a)			1,591		915,212
Series 2000-A, Class A4, 8.29%, 6/15/30 (a)			2,725		1,655,972
Bear Stearns Asset-Backed Securities I Trust:
Series 2006-HE10, Class 21A1, 0.24%, 12/25/36 (a)			98		108,580
Series 2006-HE10, Class 22A, 0.31%, 12/25/36 (a)			4,060		3,132,959
Series 2006-HE7, Class 1A2, 0.34%, 9/25/36 (a)			6,585		5,288,272
Series 2007-AQ2, Class A2, 0.34%, 1/25/37 (a)			1,730		1,439,105
Series 2007-HE1, Class 21A2, 0.33%, 1/25/37 (a)			1,331		1,200,065
Series 2007-HE2, Class 22A, 0.31%, 3/25/37 (a)			1,567		1,252,052
Benefit Street Partners CLO II Ltd., Series 2013-IIA, Class A1, 1.43%, 7/15/24 (a)(b)			2,090		2,055,097
BlueMountain CLO Ltd.:
Series 2012-2A, Class B1, 2.29%, 11/20/24 (a)(b)			3,150		3,149,960
Series 2013-1A, Class A1, 1.46%, 5/15/25 (a)(b)			1,025		1,012,323
Canyon Capital CLO Ltd., Series 2015-1A, Class B, 2.47%, 4/15/27 (a)(b)			250		245,625
Carlyle Global Market Strategies CLO Ltd., Series 2012-4A, Class A, 1.65%, 1/20/25 (a)(b)			6,630		6,612,668
Carrington Mortgage Loan Trust:
Series 2006-NC3, Class A4, 0.41%, 8/25/36 (a)			2,003		1,225,037
Series 2006-NC5, Class A3, 0.32%, 1/25/37 (a)			7,250		4,503,163
Series 2006-NC5, Class A4, 0.39%, 1/25/37 (a)			803		492,366

Portfolio Abbreviations
ABS	Asset-Backed Security	EURIBOR	Euro Interbank Offered Rate	MXN	Mexican Peso
AKA	Also Known As	FKA	Formerly Known As	NOK	Norwegian Krone
AMBAC	American Municipal Bond Assurance Corporation	GBP	British Pound	OTC	Over-the-counter
AUD	Australian Dollar	GO	General Obligation	PIK	Payment-in-kind
BRL	Brazilian Real	HKD	Hong Kong Dollar	PLN	Polish Zloty
BZDIOVER	Overnight Brazil CETIP - Interbank Rate	IDR	Indonesian Rupiah	RB	Revenue Bonds
CAD	Canadian Dollar	INR	Indian Rupee	SGD	Singapore Dollar
CDO	Collateralized Debt Obligation	JIBAR	Johannesburg Interbank	S&P	Standard & Poor’s
CHF	Swiss Franc		Offered Rate	TBA	To-be-announced
CNH	Chinese Yuan	JPY	Japanese Yen	TRY	Turkish Lira
CLO	Collateralized Loan Obligation	KRW	South Korean Won	USD	U.S. Dollar
COP	Columbian Peso	LIBOR	London Interbank Offered Rate	TWD	Taiwan Dollar
ETF	Exchange-Traded Fund	MXIBTIIE	Mexico Interbank TIIE 28-Day Rate	ZAR	South African Rand
EUR	Euro	MYR	Malaysian Ringgit

See Consolidated Notes to Financial Statements.

34 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Asset-Backed Securities		Par   (000)		Value
CHLUPA Trust, Series 2013-VM, Class A, 3.33%, 8/15/20 (b)	USD		3,424	$	3,428,142
Chrysler Capital Auto Receivables Trust:
Series 2013-BA, Class A2, 0.56%, 12/15/16 (b)			430		430,363
Series 2013-BA, Class A4, 1.27%, 3/15/19 (b)			2,710		2,716,252
Series 2013-BA, Class B, 1.78%, 6/17/19 (b)			1,240		1,250,503
Series 2013-BA, Class C, 2.24%, 9/16/19 (b)			1,285		1,297,431
Series 2014-AA, Class B, 1.76%, 8/15/19 (b)			1,435		1,444,104
Series 2014-AA, Class C, 2.28%, 11/15/19 (b)			1,850		1,866,569
CIFC Funding Ltd.:
Series 2011-1AR, Class A1R, 1.55%, 1/19/23 (a)(b)			22,425		22,425,000
Series 2012-3A, Class A1L, 1.61%, 1/29/25 (a)(b)			5,000		4,971,818
Series 2012-3A, Class A2L, 2.48%, 1/29/25 (a)(b)			4,480		4,480,543
Series 2014-2A, Class A1L, 1.74%, 5/24/26 (a)(b)			2,365		2,357,596
Series 2014-5A, Class A1, 1.82%, 1/17/27 (a)(b)			4,565		4,570,921
Colombo Srl, Series 1, Class B, 0.23%, 8/28/26 (a)	EUR		376		396,452
Countrywide Asset-Backed Certificates:
Series 2003-BC3, Class A2, 0.79%, 9/25/33 (a)	USD		672		639,408
Series 2004-5, Class A, 1.07%, 10/25/34 (a)			752		738,921
Series 2006-12, Class 2A2, 0.32%, 12/25/36 (a)			1,711		1,595,039
Series 2006-14, Class 2A2, 0.32%, 2/25/37 (a)			2,407		2,257,438
Series 2006-17, Class 2A2, 0.32%, 3/25/47 (a)			770		645,833
Series 2006-25, Class 2A4, 0.39%, 6/25/47 (a)			8,142		5,131,870
Series 2006-8, Class 2A3, 0.33%, 1/25/46 (a)			2,264		2,015,698
Series 2006-SPS1, Class A, 0.39%, 12/25/25 (a)			473		1,306,896
Series 2007-7, Class 2A4, 0.46%, 10/25/47 (a)			1,840		1,024,162
Series 2007-BC3, Class 2A4, 0.42%, 11/25/47 (a)			2,690		1,293,219
CT CDO IV Ltd., Series 2006-4A, Class A1, 0.49%, 10/20/43 (a)(b)			2,651		2,640,213
CVC Cordatus Loan Fund III Ltd., Series 3X, Class A1, 1.85%, 7/08/27 (a)	EUR		1,640		1,763,776
DCP Rights LLC, Series 2014-1A, Class A, 5.46%, 10/25/44 (b)	USD		8,249		8,394,324
Dryden XXV Senior Loan Fund, Series 2012-25A, Class A, 1.61%, 1/15/25 (a)(b)			2,000		1,998,527
Dryden XXVIII Senior Loan Fund, Series 2013-28A, Class A1L, 1.33%, 8/15/25 (a)(b)			2,090		2,056,774
ECP CLO Ltd., Series 2012-4A, Class A1, 1.62%, 6/19/24 (a)(b)			4,910		4,885,116
Fannie Mae REMIC Trust, Series 2003-W5, Class A, 0.39%, 4/25/33 (a)			5		4,605
GFT Mortgage Loan Trust, Series 2015-GFT1, Class A, 3.72%, 1/25/55 (b)(c)			2,694		2,697,001
GSAA Home Equity Trust, Series 2006-5, Class 2A1, 0.24%, 3/25/36 (a)			25		14,917

Asset-Backed Securities		Par   (000)			Value
GT Loan Financing I Ltd., Series 2013-1A, Class A, 1.51%, 10/28/24 (a)(b)	USD		5,105		$	5,059,115
Harvest CLO:
Series 11X, Class A1, 1.34%, 3/26/29 (a)	EUR		5,190			5,565,458
Series 11X, Class E, 5.34%, 3/26/29 (a)			970			972,378
Series 11X, Class SUB, 0.00%, 3/26/29 (a)			4,040			3,754,947
Home Loan Mortgage Loan Trust, Series 2005-1, Class A3, 0.53%, 4/15/36 (a)	USD		2,274			2,002,831
ING IM CLO Ltd., Series 2012-4A, Class A1, 1.62%, 10/15/23 (a)(b)			1,210			1,206,980
ING Investment Management CLO Ltd.:
Series 2012-2A, Class A, 1.76%, 10/15/22 (a)(b)			2,850			2,850,849
Series 2013-2A, Class A1, 1.38%, 4/25/25 (a)(b)			1,815			1,790,946
Series 2013-3A, Class A1, 1.68%, 1/18/26 (a)(b)			2,685			2,677,114
Invitation Homes Trust:
Series 2013-SFR1, Class A, 1.40%, 12/17/30 (a)(b)			2,786			2,776,344
Series 2014-SFR1, Class A, 1.18%, 6/17/31 (a)(b)			1,730	��		1,710,399
Series 2014-SFR2, Class A, 1.27%, 9/17/31 (a)(b)			3,079			3,047,505
Series 2014-SFR3, Class A, 1.37%, 12/17/31 (a)(b)			2,517			2,508,039
Series 2015-SFR1, Class A, 1.62%, 3/17/32 (a)(b)			2,002			2,011,750
Series 2015-SFR2, Class A, 1.53%, 6/17/32			1,600			1,600,000
Jubilee CDO BV, Series 2014-11X, Class A, 1.48%, 4/15/27 (a)	EUR		1,330			1,430,100
Jubilee CDO VIII BV, Series VIII-X, Class SUB, 5.30%, 1/15/24 (a)			880			424,229
KKR Financial CLO Ltd., Series 2013-1A, Class A1, 1.38%, 7/15/25 (a)(b)	USD		4,515			4,431,473
Lehman XS Trust, Series 2007-1, Class 2A1, 5.60%, 2/25/37 (a)			5,436			5,009,973
Long Beach Mortgage Loan Trust:
Series 2006-10, Class 2A3, 0.33%, 11/25/36 (a)			4,843			2,445,244
Series 2006-10, Class 2A4, 0.39%, 11/25/36 (a)			942			480,554
Series 2006-11, Class 1A, 0.33%, 12/25/36 (a)			4,855			3,221,185
Series 2006-2, Class 1A, 0.35%, 3/25/46 (a)			4,743			3,340,341
Series 2006-3, Class 2A3, 0.35%, 5/25/46 (a)			2,137			1,024,191
Series 2006-3, Class 2A4, 0.44%, 5/25/46 (a)			1,288			616,921
Morgan Stanley ABS Capital I, Inc., Trust, Series 2005-HE1, Class A2MZ, 0.77%, 12/25/34 (a)			820			778,984
MSCC Heloc Trust, Series 2007-1, Class A, 0.27%, 12/25/31 (a)			369			348,814
Muir Woods CLO Ltd., Series 2012-1A, Class B, 2.84%, 9/14/23 (a)(b)			500			500,144
Navient Private Education Loan Trust:
Series 2014-AA, Class A2A, 2.74%, 2/15/29 (b)			5,000			5,039,705
Series 2014-AA, Class A2B, 1.42%, 2/15/29 (a)(b)			6,500			6,555,023
Series 2014-AA, Class A3, 1.77%, 10/15/31 (a)(b)			8,500			8,551,229

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 35

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Asset-Backed Securities		Par   (000)		Value
Series 2014-AA, Class B, 3.50%, 8/15/44 (b)	USD		6,000	$	5,689,098
Series 2014-CTA, Class A, 0.86%, 9/16/24 (a)(b)			3,094		3,087,398
Series 2014-CTA, Class B, 1.91%, 10/17/44 (a)(b)			8,550		8,455,651
Series 2015-AA, Class A2A, 2.65%, 12/15/28 (b)			6,068		6,086,174
Series 2015-AA, Class A2B, 1.36%, 12/15/28 (a)(b)			16,203		16,281,423
Series 2015-AA, Class A3, 1.86%, 11/15/30 (a)(b)			4,476		4,484,285
Nelnet Student Loan Trust:
Series 2006-1, Class A6, 0.71%, 8/23/36 (a)(b)			3,160		3,086,148
Series 2008-3, Class A4, 1.88%, 11/25/24 (a)			5,600		5,796,487
NextGear Floorplan Master Owner Trust, Series 2014-1A, Class A, 1.92%, 10/15/19 (b)			7,655		7,687,641
North Westerly CLO BV, Series IV-X, Class A-1, 1.79%, 1/15/26 (a)	EUR		2,500		2,691,730
Northwoods Capital Corp./Northwoods Capital Ltd., Series 2012-9A, Class A, 1.65%, 1/18/24 (a)(b)	USD		4,300		4,282,258
Oaktree EIF II Ltd.:
Series 2013-2A, Class A, 1.43%, 4/20/23 (a)(b)			709		705,682
Series 2014-A2, Class B, 2.53%, 11/15/25 (a)(b)			1,900		1,899,908
Octagon Investment Partners XIX Ltd., Series 2014-1A, Class A, 1.75%, 4/15/26 (a)(b)			1,500		1,498,022
Octagon Investment Partners XVI Ltd., Series 2013-1A, Class A, 1.35%, 7/17/25 (a)(b)			5,195		5,119,673
OHA Loan Funding Ltd., Series 2013-2A, Class A, 1.53%, 8/23/24 (a)(b)			5,315		5,264,847
OneMain Financial Issuance Trust:
Series 2014-1A, Class A, 2.43%, 6/18/24 (b)			8,825		8,838,326
Series 2014-2A, Class A, 2.47%, 9/18/24 (b)			10,667		10,639,586
Series 2014-2A, Class B, 3.02%, 9/18/24 (b)			1,030		1,021,451
Series 2014-2A, Class C, 4.33%, 9/18/24 (b)			2,400		2,372,808
Series 2015-1A, Class A, 3.19%, 3/18/26 (b)			7,540		7,608,312
Series 2015-1A, Class B, 3.97%, 3/18/26 (b)			5,857		5,889,916
Series 2015-1A, Class C, 5.26%, 3/18/26 (b)			1,536		1,535,846
Series 2015-1A, Class D, 6.81%, 3/18/26 (b)			2,135		2,134,573
Option One Mortgage Acceptance Corp. Asset Back Certificates, Series 2003-4, Class A2, 0.81%, 7/25/33 (a)			1,294		1,204,198
OZLM Funding IV Ltd., Series 2013-4A, Class A1, 1.38%, 7/22/25 (a)(b)			8,895		8,762,465
OZLM Funding Ltd., Series 2012-2A, Class A1, 1.71%, 10/30/23 (a)(b)			7,530		7,525,196
OZLM XI Ltd., Series 2015-11A, Class A1A, 1.81%, 1/30/27 (a)(b)			9,258		9,248,742
PFS Financing Corp., Series 2014-BA, Class A, 0.77%, 10/15/19 (a)(b)			18,000		18,009,522
Progress Residential Trust, Series 2015-SFR1, Class A, 1.57%, 2/17/32 (a)(b)			3,011		3,019,536

Asset-Backed Securities		Par   (000)		Value
Race Point VIII CLO Ltd., Series 2013-8A, Class A, 1.48%, 2/20/25 (a)(b)	USD		1,665	$	1,648,350
RASC Trust, Series 2003-KS5, Class AIIB, 0.75%, 7/25/33 (a)			543		476,167
SACO I Trust, Series 2006-9, Class A1, 0.47%, 8/25/36 (a)			1,460		1,808,590
Santander Drive Auto Receivables Trust:
Series 2014-S1, Class R, 1.42%, 8/16/18 (b)			473		470,501
Series 2014-S2, Class R, 1.43%, 11/16/18 (b)			1,041		1,044,229
Series 2014-S3, Class R, 1.43%, 2/19/19 (b)			590		592,312
Series 2014-S4, Class R, 1.43%, 4/16/19 (b)			939		935,002
Series 2014-S5, Class R, 1.43%, 6/18/19 (b)			969		968,820
Series 2014-S6, Class R, 1.43%, 12/17/19 (b)			1,821		1,826,997
SASCO Mortgage Loan Trust, Series 2005-GEL2, Class A, 0.73%, 4/25/35 (a)			140		138,216
Scholar Funding Trust, Series 2011-A, Class A, 1.14%, 10/28/43 (a)(b)			3,058		3,074,985
Silvermore CLO Ltd., Series 2014-1A, Class A1, 1.71%, 5/15/26 (a)(b)			3,700		3,667,109
SLC Private Student Loan Trust:
Series 2006-A, Class A5, 0.40%, 7/15/36 (a)			6,830		6,780,032
Series 2010-B, Class A2, 3.67%, 7/15/42 (a)(b)			2,871		2,997,772
SLM Private Credit Student Loan Trust:
Series 2002-A, Class A2, 0.79%, 12/16/30 (a)			3,589		3,539,112
Series 2004-A, Class A3, 0.63%, 6/15/33 (a)			4,515		4,314,200
Series 2004-B, Class A2, 0.43%, 6/15/21 (a)			2,378		2,363,332
Series 2004-B, Class A3, 0.56%, 3/15/24 (a)			17,980		17,211,409
Series 2005-B, Class A2, 0.41%, 3/15/23 (a)			3,387		3,361,707
Series 2006-A, Class A4, 0.43%, 12/15/23 (a)			9,932		9,831,372
Series 2006-B, Class A5, 0.54%, 12/15/39 (a)			830		756,040
Series 2006-C, Class A4, 0.40%, 3/15/23 (a)			913		901,839
Series 2007-A, Class A2, 0.35%, 9/15/25 (a)			2,395		2,368,026
SLM Private Education Loan Trust:
Series 2011-A, Class A3, 2.67%, 1/15/43 (a)(b)			4,425		4,702,881
Series 2011-B, Class A2, 3.74%, 2/15/29 (b)			1,420		1,496,379
Series 2011-B, Class A3, 2.40%, 6/16/42 (a)(b)			2,817		2,978,721
Series 2011-C, Class A2A, 3.42%, 10/17/44 (a)(b)			2,920		3,137,560
Series 2011-C, Class A2B, 4.54%, 10/17/44 (b)			4,120		4,438,282
Series 2012-A, Class A1, 1.55%, 8/15/25 (a)(b)			9,761		9,852,083
Series 2012-A, Class A2, 3.83%, 1/17/45 (b)			10,954		11,580,251

See Consolidated Notes to Financial Statements.

36 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Asset-Backed Securities		Par   (000)		Value
Series 2012-B, Class A2, 3.48%, 10/15/30 (b)	USD		4,730	$	4,918,774
Series 2013-A, Class A1, 0.76%, 8/15/22 (a)(b)			4,300		4,303,456
Series 2013-A, Class A2A, 1.77%, 5/17/27 (b)			18,455		18,412,646
Series 2013-A, Class A2B, 1.22%, 5/17/27 (a)(b)			11,170		11,249,151
Series 2013-A, Class B, 2.50%, 3/15/47 (b)			620		601,819
Series 2013-B, Class A2A, 1.85%, 6/17/30 (b)			18,000		17,878,446
Series 2013-B, Class A2B, 1.27%, 6/17/30 (a)(b)			1,400		1,414,279
Series 2013-B, Class B, 3.00%, 5/16/44 (b)			2,095		2,065,014
Series 2013-C, Class A2A, 2.94%, 10/15/31 (b)			10,120		10,416,202
Series 2014-A, Class A2A, 2.59%, 1/15/26 (b)			500		511,033
SLM Student Loan Trust:
Series 2008-5, Class A4, 1.93%, 7/25/23 (a)			10,866		11,308,616
Series 2008-7, Class A4, 1.16%, 7/25/23 (a)			4,660		4,736,974
Series 2008-9, Class A, 1.76%, 4/25/23 (a)			4,522		4,637,083
SMB Private Education Loan Trust:
Series 2014-A, Class A1, 0.67%, 9/15/21 (a)(b)			7,270		7,266,433
Series 2014-A, Class A2B, 1.30%, 5/15/26 (a)(b)			3,405		3,405,909
SoFi Professional Loan Program LLC:
Series 2014-B, Class A2, 2.55%, 8/25/29 (b)			1,448		1,456,546
Series 2015-A, Class A2, 2.40%, 3/25/30 (b)			8,068		8,066,286
Sorrento Park CLO Ltd., Series 1X, Class E, 6.46%, 11/16/27 (a)(b)	EUR		340		327,274
Sound Point CLO IV Ltd., Series 2013-3A, Class A, 1.60%, 1/21/26 (a)(b)	USD		1,865		1,845,359
Sound Point CLO Ltd., Series 2014-3A, Class A, 1.73%, 1/23/27 (a)(b)			6,225		6,200,100
Sound Point CLO VI Ltd., Series 2014-2A, Class A1, 1.62%, 10/20/26 (a)(b)			1,250		1,235,625
SpringCastle America Funding LLC:
Series 2014-AA, Class A, 2.70%, 5/25/23 (b)			9,634		9,659,014
Series 2014-AA, Class B, 4.61%, 10/25/27 (b)			8,236		8,372,932
Springleaf Funding Trust:
Series 2014-AA, Class B, 3.45%, 12/15/22 (b)			2,335		2,343,037
Series 2015-AA, Class A, 3.16%, 11/15/24 (b)			16,237		16,390,911
Series 2015-AA, Class B, 3.62%, 11/15/24 (b)			770		777,926
St. Pauls CLO, Series 4X, Class A1, 1.46%, 4/25/28 (a)	EUR		2,000		2,145,545
Structured Asset Investment Loan Trust, Series 2005-HE3, Class M1, 0.65%, 9/25/35 (a)	USD		1,388		1,235,564
Structured Asset Securities Corp. Assistance Loan Trust, Series 2003-AL2, Class A, 3.36%, 1/25/31 (b)			828		803,729
Structured Asset Securities Corp. Mortgage Pass-Through Certificates, Series 2004-23XS, Class 2A1, 0.47%, 1/25/35 (a)			1,405		1,294,722
Sunset Mortgage Loan Co. LLC, Series 2014-NPL2, Class A, 3.72%, 11/16/44 (b)(c)			2,888		2,875,718

Asset-Backed Securities		Par   (000)		Value
SWAY Residential Trust, Series 2014-1, Class A, 1.47%, 1/17/20 (a)(b)	USD		9,913	$	9,899,839
Symphony CLO XII Ltd., Series 2013-12A, Class A, 1.53%, 10/15/25 (a)(b)			3,000		2,974,025
Symphony CLO XV Ltd., Series 2014-15A, Class B1, 2.43%, 10/17/26 (a)(b)			6,230		6,229,707
TAGUS-Sociedade de Titularizacao de Creditos SA/Volta II Electricity Receivables, Series 2, Class SNR, 2.98%, 2/16/21	EUR		1,851		2,024,234
TICP CLO III Ltd.:
Series 2014-3A, Class A, 1.78%, 1/20/27 (a)(b)	USD		1,960		1,959,022
Series 2014-3A, Class B1, 2.35%, 1/20/27 (a)(b)			374		375,157
U.S. Residential Opportunity Fund Trust, Series 2015-1III, Class A, 3.72%, 1/27/35- 2/27/35 (b)			10,812		10,840,807
Venture XIX CLO Ltd., Series 2014-19A, Class A, 1.84%, 1/15/26 (a)(b)			1,940		1,944,402
Venture XX CLO Ltd., Series 2015-20A, Class B1, 2.37%, 4/15/27 (a)(b)			250		246,925
Vibrant CLO Ltd.:
Series 2012-1A, Class A1, 1.71%, 7/17/24 (a)(b)			13,740		13,672,674
Series 2012-1A, Class A2, 2.63%, 7/17/24 (a)(b)			2,600		2,600,832
Voya CLO Ltd.:
Series 2012-2RA, Class BR, 2.22%, 10/15/22 (a)(b)			2,470		2,470,000
Series 2012-3AR, Class AR, 1.61%, 10/15/22 (a)(b)			1,700		1,700,000
Series 2014-4A, Class A1, 1.73%, 10/14/26 (a)(b)			4,740		4,735,471
Wachovia Asset Securitization Issuance II LLC Trust, Series 2007-HE2A, Class A, 0.30%, 7/25/37 (a)(b)			723		636,609
World Financial Network Credit Card Master Trust:
Series 2012-C, Class B, 3.57%, 8/15/22			3,000		3,131,784
Series 2012-C, Class C, 4.55%, 8/15/22			5,030		5,271,028
Series 2012-D, Class B, 3.34%, 4/17/23			3,551		3,680,988
Series 2012-D, Class M, 3.09%, 4/17/23			2,725		2,808,499
Ziggurat CLO I Ltd., Series 2014-1A, Class A1, 1.81%, 10/17/26 (a)(b)			12,445		12,462,423
Total Asset-Backed Securities — 12.0%					798,107,688
Common Stocks		Shares
Airlines — 0.0%
United Continental Holdings, Inc. (d)			19,086		1,283,534
Automobiles — 0.1%
Tesla Motors, Inc. (d)			4,153		783,962
Volkswagen AG, Preference Shares			6,887		1,826,442
					2,610,404
Banks — 0.0%
Banco Popular Espanol SA			225,831		1,106,791
Barclays PLC			308,919		1,115,046
Commerzbank AG (e)			11,142		153,948
					2,375,785
Building Products — 0.0%
Wienerberger AG			31,439		501,678
Chemicals — 0.1%
LyondellBasell Industries NV, Class A (d)			28,332		2,487,550

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 37

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Common Stocks		Shares		Value
Commercial Services & Supplies — 0.0%
AA PLC			170,234	$	972,217
Diversified Financial Services — 0.0%
Concrete Investment II SCA — Stapled (f)			12,471		—
Diversified Telecommunication Services — 0.0%
Telecom Italia SpA			906,430		1,061,337
Energy Equipment & Services — 0.0%
Vantage Drilling Co. (e)			311,000		101,853
Independent Power and Renewable Electricity Producers — 0.0%
Abengoa Yield PLC			28,392		959,082
Media — 0.0%
CBS Corp., Class B, Non-Voting Shares			15,442		936,248
Time Warner Cable, Inc.			7,962		1,193,345
					2,129,593
Metals & Mining — 0.0%
Freeport-McMoRan, Inc.			32,745		620,518
Northern Graphite Corp.			22,986		12,704
					633,222
Oil, Gas & Consumable Fuels — 0.0%
Matador Resources Co.			21,712		475,927
The Williams Cos., Inc. (d)			26,768		1,354,193
					1,830,120
Real Estate Investment Trusts (REITs) — 0.0%
American Realty Capital Properties, Inc.			129,390		1,274,492
Technology Hardware, Storage & Peripherals — 0.1%
Apple Inc. (d)			21,528		2,678,729
Trading Companies & Distributors — 0.0%
United Rentals, Inc.			12,354		1,126,191
Total Common Stocks — 0.3%					22,025,787
Corporate Bonds		Par   (000)
Aerospace & Defense — 0.2%
The Boeing Co., 2.35%, 10/30/21	USD		1,291		1,312,144
Lockheed Martin Corp.:
2.90%, 3/01/25			866		872,236
3.60%, 3/01/35			1,727		1,726,116
4.07%, 12/15/42			1,711		1,787,124
Meccanica Holdings USA, Inc.:
6.25%, 7/15/19 (b)			2,254		2,507,575
7.38%, 7/15/39 (b)			150		168,000
6.25%, 1/15/40 (b)			2,560		2,604,800
Northrop Grumman Corp., 3.85%, 4/15/45			2,712		2,669,652
Raytheon Co., 3.15%, 12/15/24			932		967,589
TA Manufacturing Ltd., 3.63%, 4/15/23	EUR		350		381,537
					14,996,773
Air Freight & Logistics — 0.1%
FedEx Corp.:
4.90%, 1/15/34	USD		4,140		4,661,640
4.10%, 2/01/45			2,406		2,402,377
					7,064,017
Airlines — 0.2%
American Airlines Group, Inc., 4.63%, 3/01/20 (b)			3,144		3,079,155
American Airlines Pass-Through Trust, Series 2015-1, Class A, 3.38%, 5/01/27			7,615		7,672,113
Southwest Airlines Co., 2.75%, 11/06/19			1,341		1,371,527

Corporate Bonds			Par   (000)		Value
Airlines (concluded)
Turkish Airlines Pass-Through Trust, Series 2015-1, Class A, 4.20%, 3/15/27 (b)		USD		2,020	$	2,050,300
United Airlines Pass-Through Trust, Series 2014-1, Class B, 4.75%, 10/11/23				477		484,155
United Continental Holdings, Inc., 6.00%, 7/15/28				1,815		1,815,000
						16,472,250
Auto Components — 0.2%
AA Bond Co. Ltd., 5.50%, 7/31/22		GBP		2,075		3,108,821
BorgWarner, Inc., 3.38%, 3/15/25		USD		2,612		2,688,505
Faurecia, 3.13%, 6/15/22		EUR		575		619,039
FTE Verwaltungs GmbH, 9.00%, 7/15/20				520		591,278
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
3.50%, 3/15/17		USD		877		883,577
4.88%, 3/15/19				1,195		1,217,406
6.00%, 8/01/20				1,415		1,469,902
Mahle GmbH, 2.50%, 5/14/21		EUR		325		361,909
Nexteer Automotive Group Ltd., 5.88%, 11/15/21 (b)		USD		200		205,000
Samvardhana Motherson Automotive Systems Group BV, 4.13%, 7/15/21		EUR		433		474,858
Schaeffler Finance BV, 3.25%, 5/15/25				875		938,704
Servus Luxembourg Holding SCA, 7.75%, 6/15/18				150		168,708
						12,727,707
Automobiles — 0.5%
Daimler Finance North America LLC, 2.25%, 3/02/20 (b)		USD		12,042		12,124,692
Ford Motor Credit Co. LLC, 2.15%, 1/09/18				4,224		4,272,251
General Motors Co.:
4.88%, 10/02/23				3,375		3,654,160
4.00%, 4/01/25				1,785		1,813,058
6.25%, 10/02/43				1,565		1,917,222
Volkswagen International Finance NV:
5.50%, 11/09/15 (g)				3,800		5,770,155
5.50%, 11/09/15 (b)(g)		EUR		400		616,262
						30,167,800
Banks — 6.0%
Abbey National Treasury Services PLC, 2.38%, 3/16/20		USD		8,000		8,057,056
Allied Irish Banks PLC, 2.75%, 4/16/19		EUR		3,550		4,015,681
Banca Monte dei Paschi di Siena SpA:
3.63%, 4/01/19				125		139,792
2.88%, 4/16/22				1,475		1,779,708
2.88%, 7/16/24				5,250		6,423,169
Banco Popolare SC, 3.50%, 3/14/19				8,106		9,231,045
Bank of America Corp.:
2.60%, 1/15/19		USD		28,505		29,012,161
3.30%, 1/11/23				12,651		12,815,956
4.00%, 1/22/25	��			5,884		5,931,619
4.88%, 4/01/44				734		826,138
Bank of Ireland:
3.25%, 1/15/19		EUR		1,930		2,229,432
1.25%, 4/09/20				2,250		2,406,481
4.25%, 6/11/24 (a)				8,266		9,175,845
The Bank of Nova Scotia:
1.30%, 7/21/17		USD		13,088		13,109,059
2.80%, 7/21/21				6,701		6,845,319
Bankia SA:
3.50%, 1/17/19		EUR		3,100		3,630,692
4.00%, 5/22/24 (a)				8,400		9,177,480
Barclays Bank PLC, 7.63%, 11/21/22		USD		226		264,561

See Consolidated Notes to Financial Statements.

38 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Banks (continued)
Barclays PLC:
2.75%, 11/08/19	USD		4,935	$	4,983,620
3.65%, 3/16/25			3,330		3,340,160
BB&T Corp., 2.45%, 1/15/20			3,418		3,476,981
BNP Paribas SA, 2.63%, 10/14/27 (a)	EUR		1,300		1,446,785
Branch Banking & Trust Co., 2.30%, 10/15/18	USD		1,605		1,642,258
CaixaBank SA:
4.50%, 11/22/16 (g)	EUR		1,200		1,219,071
5.00%, 11/14/23 (a)			1,300		1,517,534
CIT Group, Inc.:
5.00%, 5/15/17	USD		710		730,192
4.25%, 8/15/17			2,490		2,521,125
Citigroup, Inc.:
1.85%, 11/24/17			6,316		6,360,383
1.80%, 2/05/18			5,666		5,677,831
2.50%, 9/26/18			6,565		6,693,674
2.50%, 7/29/19			14,050		14,250,325
2.40%, 2/18/20			10,010		10,045,716
3.88%, 3/26/25			3,860		3,874,498
Commerzbank AG, 7.75%, 3/16/21	EUR		6,900		9,310,170
Commonwealth Bank of Australia, 2.42%, 3/12/20	USD		7,565		7,633,108
Cooperatieve Centrale Raiffeisen-Boerenleenbank BA, 2.25%, 1/14/20			3,594		3,630,418
Credit Agricole SA, 2.63%, 3/17/27	EUR		1,425		1,577,993
DEPFA Bank PLC, 0.73%, 12/15/15 (a)			307		321,848
HSBC Bank Brasil SA — Banco Multiplo, 4.00%, 5/11/16 (b)	USD		15,610		15,844,150
HSBC Holdings PLC, 4.25%, 3/14/24			12,518		13,135,726
HSBC USA, Inc., 2.35%, 3/05/20			14,937		15,025,651
Intesa Sanpaolo SpA:
3.50%, 1/17/22	EUR		790		977,601
6.63%, 9/13/23			2,575		3,556,101
4.10%, 9/15/26			1,980		2,343,795
JPMorgan Chase & Co.:
1.35%, 2/15/17	USD		15,097		15,155,335
2.35%, 1/28/19			9,333		9,485,977
2.20%, 10/22/19			3,008		3,016,185
2.25%, 1/23/20			10,655		10,677,823
3.88%, 9/10/24			7,282		7,470,531
KeyBank NA, 2.25%, 3/16/20			2,728		2,746,829
Macquarie Bank Ltd.:
1.65%, 3/24/17 (b)			3,857		3,876,524
1.60%, 10/27/17 (b)			5,410		5,407,484
Mizuho Bank Ltd., 3.31%, 3/26/25			500		500,250
Novo Banco SA:
2.63%, 5/08/17	EUR		400		416,120
4.75%, 1/15/18			1,400		1,532,184
4.00%, 1/21/19			2,100		2,280,531
Oversea-Chinese Banking Corp. Ltd., 3.75%, 11/15/22 (a)	USD		800		829,440
Rizal Commercial Banking Corp., 4.25%, 1/22/20			300		313,110
Royal Bank of Canada, 2.15%, 3/06/20			7,525		7,589,888
Societe Generale SA, 2.63%, 2/27/25	EUR		2,000		2,189,458
Standard Chartered PLC, 6.73%, 12/31/49 (a)	USD		200		201,939
Swedbank AB, 2.20%, 3/04/20 (b)			10,889		10,938,578
TMB Bank PCL, 5.50%, 3/09/18	CNH		2,000		323,907
U.S. Bancorp, 2.95%, 7/15/22	USD		5,896		5,997,794
UniCredit SpA:
3.25%, 1/14/21	EUR		1,850		2,229,500
5.75%, 10/28/25 (a)			7,540		9,127,744
Unione di Banche Italiane SCpA, 2.88%, 2/18/19			1,175		1,353,974
United Overseas Bank Ltd., 3.75%, 9/19/24 (a)	USD		600		620,466

Corporate Bonds			Par   (000)		Value
Banks (concluded)
Vietnam Joint Stock Commercial Bank for Industry and Trade, 8.00%, 5/17/17	USD			200	$	210,500
Wells Fargo & Co.:
1.50%, 7/01/15				2,575		2,581,772
2.13%, 4/22/19				7,298		7,386,736
2.15%, 1/30/20				5,783		5,812,835
3.30%, 9/09/24				2,233		2,306,312
3.00%, 2/19/25				8,309		8,344,729
Woori Bank:
2.86%, 7/22/20				700		696,269
4.75%, 4/30/24				1,800		1,923,062
						399,751,694
Beverages — 0.0%
Anheuser-Busch InBev Finance, Inc., 3.70%, 2/01/24				1,465		1,550,991
Anheuser-Busch InBev Worldwide, Inc., 3.75%, 7/15/42				1,321		1,288,213
						2,839,204
Biotechnology — 0.2%
Amgen, Inc., 5.65%, 6/15/42				3,271		4,008,476
Celgene Corp.:
2.25%, 5/15/19				2,883		2,912,202
3.25%, 8/15/22				3,562		3,641,803
Gilead Sciences, Inc.:
2.35%, 2/01/20				982		1,009,000
4.50%, 2/01/45				2,094		2,312,649
						13,884,130
Building Products — 0.0%
Pfleiderer GmbH, 7.88%, 8/01/19	EUR			1,413		1,549,709
Capital Markets — 1.5%
The Bank of New York Mellon Corp.:
2.10%, 1/15/19	USD			5,837		5,908,492
3.00%, 2/24/25				4,698		4,766,215
Beijing Capital Polaris Investment Co. Ltd., 2.88%, 4/01/18				800		802,320
Credit Suisse, 3.00%, 10/29/21				2,565		2,614,376
Credit Suisse AG, 5.75%, 9/18/25 (a)	EUR			315		392,006
Credit Suisse Group Funding Guernsey Ltd., 2.75%, 3/26/20 (b)	USD			6,186		6,221,291
Deutsche Bank AG:
1.88%, 2/13/18				3,603		3,608,077
2.75%, 2/17/25	EUR			1,250		1,379,415
4.50%, 4/01/25	USD			4,325		4,320,294
The Goldman Sachs Group, Inc.:
3.63%, 2/07/16				4,147		4,235,733
2.90%, 7/19/18				7,652		7,908,434
2.63%, 1/31/19				8,303		8,482,893
2.55%, 10/23/19				12,534		12,708,223
3.50%, 1/23/25				3,247		3,303,998
4.80%, 7/08/44				1,464		1,625,904
Haitong International Finance 2015 Ltd., 4.64%, 7/22/20				300		305,477
Haitong International Securities Group Ltd., 1.25%, 11/04/19 (g)	HKD			3,000		418,889
Jefferies Group LLC, 6.50%, 1/20/43	USD			1,009		1,003,946
Mediobanca SpA, 2.25%, 3/18/19	EUR	��		1,175		1,325,857
Morgan Stanley:
2.65%, 1/27/20	USD			5,538		5,615,100
3.75%, 2/25/23				9,697		10,156,046
4.30%, 1/27/45				6,871		7,119,916
UBS AG:
4.75%, 5/22/23 (a)				1,340		1,385,754

.

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 39

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Capital Markets (concluded)
5.10%, 5/15/24	USD		1,050	$	1,091,287
4.75%, 2/12/26 (a)	EUR		3,865		4,622,790
					101,322,733
Chemicals — 0.5%
Agrium, Inc.:
3.15%, 10/01/22	USD		2,371		2,377,406
4.13%, 3/15/35			1,763		1,747,919
Axalta Coating Systems U.S. Holdings, Inc./Axalta Coating Systems Dutch Holding B BV, 7.38%, 5/01/21 (b)			630		677,250
The Dow Chemical Co.:
4.38%, 11/15/42			1,117		1,120,784
4.63%, 10/01/44			1,711		1,788,565
Eastman Chemical Co.:
2.70%, 1/15/20			3,138		3,183,366
3.60%, 8/15/22			3,664		3,808,743
4.80%, 9/01/42			1,821		1,900,321
Ecolab, Inc., 2.25%, 1/12/20			2,434		2,449,217
INEOS Group Holdings SA, 5.75%, 2/15/19	EUR		150		162,469
LYB International Finance BV, 4.00%, 7/15/23	USD		8,497		9,000,617
Monsanto Co., 3.60%, 7/15/42			1,188		1,124,926
PSPC Escrow Corp., 6.00%, 1/02/23	EUR		1,167		1,311,278
Rockwood Specialties Group, Inc., 4.63%, 10/15/20	USD		2,875		2,993,594
The Sherwin-Williams Co., 4.00%, 12/15/42			847		862,749
					34,509,204
Commercial Services & Supplies — 0.2%
The ADT Corp., 4.88%, 7/15/42			587		469,600
Bilbao Luxembourg SA, 10.50% (10.50% Cash or 11.25% PIK), 12/01/18 (h)	EUR		745		845,464
GCL Holdings SCA, 9.38%, 4/15/18			290		325,853
IVS F. SpA, 7.13%, 4/01/20			110		124,191
Republic Services, Inc., 3.20%, 3/15/25	USD		3,915		3,931,788
Transfield Services Ltd., 8.38%, 5/15/20 (b)			200		213,000
Verisure Holding AB, 8.75%, 12/01/18	EUR		300		344,347
Waste Management, Inc.:
3.13%, 3/01/25	USD		1,850		1,867,827
3.90%, 3/01/35			2,086		2,137,975
					10,260,045
Communications Equipment — 0.1%
Cisco Systems, Inc., 2.13%, 3/01/19			1,564		1,596,024
Juniper Networks, Inc., 3.30%, 6/15/20			2,303		2,330,560
					3,926,584
Construction & Engineering — 0.1%
Abengoa Finance SAU, 6.00%, 3/31/21	EUR		3,126		3,143,411
Abengoa Greenfield SA, 5.50%, 10/01/19			450		448,781
Aldesa Financial Services SA, 7.25%, 4/01/21			255		250,882
Astaldi SpA, 7.13%, 12/01/20			565		653,235
Obrascon Huarte Lain SA, 5.50%, 3/30/23			2,150		2,212,164
Pratama Agung Pte Ltd., 6.50%, 2/24/20	USD		800		782,950
					7,491,423
Construction Materials — 0.1%
Cemex Finance LLC, 5.25%, 4/01/21	EUR		1,150		1,289,085
Cemex SAB de CV:
4.75%, 1/11/22			665		729,697
4.38%, 3/05/23			679		731,004
Kerneos Corporate SAS:
4.83%, 3/01/21 (a)			180		193,730
5.75%, 3/01/21			244		278,319
Xefin Lux SCA, 3.79%, 6/01/19 (a)			880		947,399
					4,169,234

Corporate Bonds		Par   (000)		Value
Consumer Finance — 1.0%
Ally Financial, Inc.:
3.50%, 1/27/19	USD		2,300	$	2,271,250
4.13%, 3/30/20			1,200		1,192,500
5.13%, 9/30/24			4,205		4,336,406
American Express Credit Corp.:
1.13%, 6/05/17			8,159		8,157,393
2.25%, 8/15/19			5,094		5,167,807
Capital One NA/Mclean VA, 2.95%, 7/23/21			8,704		8,828,398
Discover Financial Services, 3.75%, 3/04/25			2,143		2,158,723
Ford Motor Credit Co. LLC:
1.72%, 12/06/17			20,068		20,023,569
4.25%, 9/20/22			3,600		3,881,315
Hyundai Capital Services, Inc., 2.63%, 9/29/20			800		803,360
Synchrony Financial, 2.70%, 2/03/20			1,613		1,620,010
Toyota Motor Credit Corp., 2.75%, 5/17/21			10,343		10,688,167
					69,128,898
Containers & Packaging — 0.1%
Ardagh Packaging Finance PLC, 9.25%, 10/15/20	EUR		146		167,975
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc., 4.25%, 1/15/22			1,456		1,596,869
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Luxembourg SA, 6.88%, 2/15/21	USD		3,810		4,010,025
SGD Group SAS, 5.63%, 5/15/19	EUR		526		578,729
SIG Combibloc Holdings SCA, 7.75%, 2/15/23			282		320,533
					6,674,131
Distributors — 0.1%
Rhino Bondco SpA, 7.25%, 11/15/20			2,668		3,060,962
VWR Funding, Inc., 7.25%, 9/15/17	USD		4,651		4,854,481
					7,915,443
Diversified Consumer Services — 0.0%
Massachusetts Institute of Technology, 3.96%, 7/01/38			1,385		1,488,642
Diversified Financial Services — 0.9%
Annington Finance No. 4 PLC, 1.53%, 1/10/23 (a)	GBP		1,016		1,493,469
APT Pipelines Ltd., 4.20%, 3/23/25	USD		600		607,219
BP Capital Markets PLC, 2.24%, 5/10/19			6,977		7,052,142
BPE Financiaciones SA, 2.00%, 2/03/20	EUR		9,900		10,728,878
FGA Capital Ireland PLC, 2.63%, 4/17/19			525		595,528
Fresenius Finance BV, 3.00%, 2/01/21			1,470		1,728,793
Gala Electric Casinos PLC, 11.50%, 6/01/19	GBP		300		467,287
General Electric Capital Corp.:
3.15%, 9/07/22	USD		4,695		4,855,569
3.10%, 1/09/23			6,671		6,871,017
General Motors Financial Co., Inc.:
2.75%, 5/15/16			3,270		3,306,493
2.63%, 7/10/17			6,640		6,706,500
4.75%, 8/15/17			4,115		4,333,918
Moody’s Corp., 4.50%, 9/01/22			2,830		3,069,367
Santander Issuances SAU, 2.50%, 3/18/25	EUR		2,200		2,420,142
Shell International Finance BV, 3.63%, 8/21/42	USD		1,738		1,714,646
Volvo Treasury AB, 4.50%, 6/10/75 (a)	EUR		875		971,417
Woodside Finance Ltd., 3.65%, 3/05/25 (b)	USD		3,905		3,855,762
					60,778,147
Diversified Telecommunication Services — 1.3%
Altice Financing SA:
5.25%, 2/15/23	EUR		1,626		1,851,065
6.63%, 2/15/23 (b)	USD		350		360,500

See Consolidated Notes to Financial Statements.

40 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)			Value
Diversified Telecommunication Services (concluded)
AT&T Inc.:
2.38%, 11/27/18	USD		2,592		$	2,625,364
2.30%, 3/11/19			6,289			6,337,155
3.88%, 8/15/21			3,695			3,914,450
3.00%, 2/15/22			2,920			2,929,983
4.30%, 12/15/42			6,120			5,853,811
4.80%, 6/15/44			1,170			1,198,116
Level 3 Financing, Inc., 8.13%, 7/01/19			5,304			5,575,830
PCCW-HKT Capital No. 5 Ltd., 3.75%, 3/08/23			400			405,435
Telecom Italia Capital SA:
6.38%, 11/15/33			709			758,630
6.00%, 9/30/34			595			614,337
7.72%, 6/04/38			400			467,000
Telecom Italia Finance SA:
6.13%, 11/15/16 (g)	EUR		3,400			5,114,514
7.75%, 1/24/33			785			1,264,329
Telecom Italia SpA:
4.88%, 9/25/20			600			736,191
4.50%, 1/25/21			1,190			1,435,931
3.50%, 1/16/23			840			957,297
5.88%, 5/19/23	GBP		650			1,078,750
Telefonica SA, 5.50%, 7/24/17 (g)	EUR		1,200			1,535,967
Telenet Finance V Luxembourg SCA:
6.25%, 8/15/22			100			117,202
6.75%, 8/15/24			200			240,855
Verizon Communications, Inc.:
2.63%, 2/21/20	USD		6,890			7,009,610
3.45%, 3/15/21			5,201			5,439,445
4.40%, 11/01/34			6,814			6,941,108
3.85%, 11/01/42			5,299			4,813,696
4.86%, 8/21/46			5,855			6,129,804
Wind Acquisition Finance SA:
4.00%, 7/15/20	EUR		4,643	��		5,030,707
4.08%, 7/15/20 (a)			1,532			1,643,158
Ziggo Bond Finance BV, 4.63%, 1/15/25			2,725			3,036,552
						85,416,792
Electric Utilities — 0.7%
CE Energy AS, 7.00%, 2/01/21			735			810,063
The Chugoku Electric Power Co., Inc.:
0.00%, 3/23/18 (g)(i)	JPY		20,000			173,344
0.00%, 3/25/20 (g)(i)			10,000			87,881
Commonwealth Edison Co., 4.70%, 1/15/44	USD		2,083			2,479,512
Duke Energy Carolinas LLC, 4.25%, 12/15/41			4,364			4,801,412
Duke Energy Corp., 3.75%, 4/15/24			1,040			1,113,228
Entergy Arkansas, Inc., 3.70%, 6/01/24			5,773			6,180,528
Florida Power & Light Co., 3.80%, 12/15/42			1,372			1,430,038
Georgia Power Co., 3.00%, 4/15/16			10,948			11,219,795
PacifiCorp, 3.60%, 4/01/24			8,349			8,945,519
Progress Energy, Inc., 4.88%, 12/01/19			671			752,650
Public Service Co. of Colorado, 2.50%, 3/15/23			3,670			3,683,348
Southern California Edison Co., 1.25%, 11/01/17			1,306			1,307,772
Trans-Allegheny Interstate Line Co., 3.85%, 6/01/25 (b)			2,074			2,166,347
Viridian Group FundCo II Ltd., 7.50%, 3/01/20	EUR		830			914,542
						46,065,979
Electrical Equipment — 0.1%
AE-Rotor Holding BV, 4.97%, 3/28/18	USD		400			411,814
Rockwell Automation, Inc., 2.88%, 3/01/25			2,904			2,927,383
Trionista Holdco GmbH, 5.00%, 4/30/20	EUR		405			455,006
						3,794,203
Electronic Equipment, Instruments & Components — 0.0%
Belden, Inc., 5.50%, 4/15/23			676			778,655

Corporate Bonds		Par   (000)		Value
Energy Equipment & Services — 0.0%
Ensco PLC, 5.75%, 10/01/44	USD		653	$	632,443
Transocean, Inc.:
6.50%, 11/15/20			800		671,000
6.80%, 3/15/38			673		482,877
					1,786,320
Food & Staples Retailing — 0.1%
Brakes Capital, 7.13%, 12/15/18	GBP		350		527,017
CVS Health Corp., 5.30%, 12/05/43	USD		1,515		1,850,789
Wal-Mart Stores, Inc.:
2.55%, 4/11/23			2,283		2,300,823
4.00%, 4/11/43			1,644		1,743,855
					6,422,484
Food Products — 0.0%
Bakkavor Finance 2 PLC, 8.25%, 2/15/18	GBP		300		463,375
Boparan Finance PLC:
4.38%, 7/15/21	EUR		124		121,997
5.50%, 7/15/21	GBP		208		272,292
					857,664
Health Care Equipment & Supplies — 0.7%
Abbott Laboratories, 2.95%, 3/15/25	USD		7,513		7,602,224
Baxter International, Inc., 2.40%, 8/15/22			2,740		2,645,475
Becton Dickinson and Co.:
1.80%, 12/15/17			1,287		1,296,861
2.68%, 12/15/19			4,315		4,407,414
3.13%, 11/08/21			2,365		2,429,333
4.69%, 12/15/44			600		652,032
Boston Scientific Corp., 2.65%, 10/01/18			3,150		3,184,672
CareFusion Corp., 1.45%, 5/15/17			3,277		3,279,468
Medtronic, Inc.:
2.50%, 3/15/20 (b)			2,901		2,965,228
3.13%, 3/15/22			2,665		2,763,269
3.63%, 3/15/24			3,363		3,570,645
4.63%, 3/15/44			3,910		4,373,992
Zimmer Holdings, Inc.:
3.55%, 4/01/25			4,413		4,504,534
4.25%, 8/15/35			3,336		3,441,094
					47,116,241
Health Care Providers & Services — 1.0%
Aetna, Inc.:
4.50%, 5/15/42			2,295		2,546,681
4.13%, 11/07/42			1,120		1,179,600
AmerisourceBergen Corp.:
1.15%, 5/15/17			8,885		8,853,911
3.25%, 3/01/25			960		972,790
4.25%, 3/01/45			960		1,008,344
Anthem, Inc.:
1.88%, 1/15/18 (j)			8,094		8,139,003
2.30%, 7/15/18			8,719		8,846,132
3.30%, 1/15/23			5,477		5,563,674
Care UK Health & Social Care PLC, 5.56%, 7/15/19 (a)	GBP		200		280,361
Cigna Corp., 3.30%, 4/15/25	USD		5,763		5,879,724
Express Scripts Holding Co.:
1.25%, 6/02/17			3,267		3,263,936
3.90%, 2/15/22			1,890		2,006,823
HCA, Inc., 5.25%, 4/15/25			4,205		4,541,400
IDH Finance PLC, 6.00%, 12/01/18	GBP		309		462,379
Laboratory Corp. of America Holdings, 2.63%, 2/01/20	USD		2,405		2,420,060
Priory Group No. 3 PLC, 7.00%, 2/15/18	GBP		220		339,287
Tenet Healthcare Corp., 4.75%, 6/01/20	USD		1,977		2,003,571
UnitedHealth Group, Inc.:
2.88%, 12/15/21			2,559		2,627,005

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 41

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Health Care Providers & Services (concluded)
3.95%, 10/15/42	USD		3,470	$	3,552,482
Voyage Care BondCo PLC, 11.00%, 2/01/19	GBP		1,800		2,870,365
					67,357,528
Hotels, Restaurants & Leisure — 0.3%
Cirsa Funding Luxembourg SA, 8.75%, 5/15/18	EUR		464		512,010
Gala Group Finance PLC, 8.88%, 9/01/18	GBP		252		392,031
Intralot Capital Luxembourg SA, 6.00%, 5/15/21	EUR		2,800		2,649,405
Intralot Finance Luxembourg SA, 9.75%, 8/15/18			1,575		1,708,330
Merlin Entertainments PLC, 2.75%, 3/15/22			525		568,738
PortAventura Entertainment Barcelona BV, 7.25%, 12/01/20			1,986		2,242,415
Punch Taverns Finance PLC:
0.56%, 7/15/21 (a)	GBP		923		1,218,057
6.06%, 10/15/27 (a)(b)			1,055		1,515,230
Stonegate Pub Co. Financing PLC, 5.75%, 4/15/19			400		593,357
The Unique Pub Finance Co. PLC:
Series A3, 6.54%, 3/30/21			418		647,214
Series M, 7.40%, 3/28/24			650		985,382
Series A4, 5.66%, 6/30/27			3,361		4,943,985
Vougeot Bidco PLC, 7.88%, 7/15/20			1,800		2,803,613
					20,779,767
Household Durables — 0.2%
K. Hovnanian Enterprises, Inc., 7.25%, 10/15/20 (b)	USD		4,285		4,499,250
Magnolia BC SA, 9.00%, 8/01/20	EUR		300		333,864
Newell Rubbermaid, Inc., 2.88%, 12/01/19	USD		6,986		7,119,146
					11,952,260
Household Products — 0.1%
Kimberly-Clark Corp.:
1.90%, 5/22/19			6,140		6,204,445
2.65%, 3/01/25			1,256		1,258,242
					7,462,687
Independent Power and Renewable Electricity Producers — 0.0%
Abengoa Yield PLC, 7.00%, 11/15/19 (b)			210		216,300
Greenko Dutch BV, 8.00%, 8/01/19			800		738,000
					954,300
Industrial Conglomerates — 0.2%
CITIC Ltd.:
6.63%, 4/15/21			600		698,214
6.80%, 1/17/23			1,000		1,185,000
Eaton Corp., 2.75%, 11/02/22			4,683		4,692,750
General Electric Co., 4.50%, 3/11/44			6,192		6,950,563
					13,526,527
Insurance — 1.2%
Achmea BV, 6.00%, 4/04/43 (a)	EUR		769		995,167
Aflac, Inc., 3.63%, 6/15/23	USD		1,688		1,775,450
The Allstate Corp., 3.15%, 6/15/23			1,906		1,968,719
American International Group, Inc.:
3.88%, 1/15/35			1,705		1,713,530
4.50%, 7/16/44			2,294		2,462,419
4.38%, 1/15/55			1,556		1,568,152
Berkshire Hathaway Finance Corp., 4.30%, 5/15/43			1,582		1,726,990
Lincoln National Corp., 3.35%, 3/09/25			991		1,002,340
Loews Corp., 2.63%, 5/15/23			1,906		1,861,018
Manulife Financial Corp., 3.40%, 9/17/15			3,420		3,462,124
MassMutual Global Funding II, 2.35%, 4/09/19 (b)			5,289		5,391,601

Corporate Bonds		Par   (000)		Value
Insurance (concluded)
MetLife, Inc., 4.05%, 3/01/45	USD		4,084	$	4,229,464
Metropolitan Life Global Funding I:
1.30%, 4/10/17 (b)			19,582		19,691,228
2.30%, 4/10/19 (b)			9,169		9,307,589
Nippon Life Insurance Co., 5.10%, 10/16/44 (a)			1,200		1,300,500
Pension Insurance Corp. PLC, 6.63%, 7/03/24	GBP		225		346,057
Prudential Financial, Inc.:
4.75%, 9/17/15	USD		9,169		9,332,621
4.60%, 5/15/44			3,500		3,710,913
The Travelers Cos., Inc., 4.60%, 8/01/43			2,680		3,117,389
XLIT Ltd., 2.30%, 12/15/18			2,700		2,742,619
					77,705,890
Internet & Catalog Retail — 0.1%
Amazon.com, Inc., 2.60%, 12/05/19			4,271		4,374,730
Internet Software & Services — 0.0%
Alibaba Group Holding Ltd., 3.60%, 11/28/24			1,100		1,103,551
Baidu, Inc., 3.50%, 11/28/22			800		812,188
Tencent Holdings Ltd., 3.80%, 2/11/25			500		510,953
United Group BV, 7.88%, 11/15/20	EUR		300		346,767
					2,773,459
IT Services — 0.1%
MasterCard Inc., 3.38%, 4/01/24	USD		3,836		4,038,479
Rolta Americas LLC, 8.88%, 7/24/19 (b)			200		191,500
					4,229,979
Life Sciences Tools & Services — 0.2%
Thermo Fisher Scientific, Inc.:
3.60%, 8/15/21			7,100		7,411,001
3.30%, 2/15/22			2,678		2,745,935
					10,156,936
Machinery — 0.2%
Caterpillar, Inc., 4.75%, 5/15/64			3,935		4,321,885
CNH Industrial Finance Europe SA, 2.75%, 3/18/19	EUR		730		803,383
Gates Global LLC/Gates Global Co., 5.75%, 7/15/22			1,300		1,289,488
Ingersoll-Rand Luxembourg Finance SA, 2.63%, 5/01/20	USD		2,795		2,822,958
John Deere Capital Corp., 3.35%, 6/12/24			4,843		5,107,810
Schaeffler Holding Finance BV, 5.75% (5.75% Cash or 6.50% PIK), 10/15/21 (h)	EUR		955		1,107,725
					15,453,249
Media — 1.7%
Altice SA:
7.25%, 5/15/22			1,800		2,016,731
6.25%, 2/15/25			2,322		2,496,096
7.63%, 2/15/25 (b)	USD		200		200,375
CBS Corp.:
2.30%, 8/15/19			3,620		3,620,550
3.50%, 1/15/25			2,248		2,269,929
Clear Channel Worldwide Holdings, Inc., 6.50%, 11/15/22			5,914		6,224,485
Cleopatra Finance Ltd.:
6.25%, 2/15/22 (b)			900		879,750
6.50%, 2/15/25 (b)			350		337,750
Comcast Corp., 4.75%, 3/01/44			6,321		7,273,347
DIRECTV Holdings LLC/DIRECTV Financing Co., Inc.:
4.60%, 2/15/21			8,186		8,951,203
6.38%, 3/01/41			1,621		1,908,802
5.15%, 3/15/42			1,950		2,037,890

See Consolidated Notes to Financial Statements.

42 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Media (concluded)
Discovery Communications LLC, 3.45%, 3/15/25	USD		2,101	$	2,099,311
The Interpublic Group of Cos., Inc.:
4.00%, 3/15/22			2,564		2,685,980
3.75%, 2/15/23			1,774		1,837,617
LGE HoldCo VI BV, 7.13%, 5/15/24	EUR		3,586		4,371,934
NBCUniversal Media LLC, 4.45%, 1/15/43	USD		4,967		5,393,606
Numericable-SFR, 5.38%, 5/15/22	EUR		3,739		4,201,661
Numericable-SFR SAS, 5.63%, 5/15/24			2,933		3,327,464
Omnicom Group, Inc., 3.65%, 11/01/24	USD		1,298		1,342,724
Scripps Networks Interactive, Inc., 2.75%, 11/15/19			4,520		4,558,226
Time Warner Cable, Inc.:
6.55%, 5/01/37			3,534		4,438,163
5.50%, 9/01/41			5,569		6,397,344
4.50%, 9/15/42			3,687		3,781,992
Time Warner, Inc.:
2.10%, 6/01/19			7,557		7,595,382
4.65%, 6/01/44			4,320		4,653,737
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH:
5.13%, 1/21/23	EUR		90		103,769
5.63%, 4/15/23			180		209,995
4.00%, 1/15/25			2,974		3,329,561
6.25%, 1/15/29			370		449,560
Unitymedia KabelBW GmbH, 9.50%, 3/15/21			340		415,029
Viacom, Inc.:
2.75%, 12/15/19	USD		5,064		5,143,768
4.50%, 3/01/21			2,920		3,164,246
4.85%, 12/15/34			1,254		1,295,482
Virgin Media Secured Finance PLC, 6.00%, 4/15/21	GBP		1,746		2,715,360
					111,728,819
Metals & Mining — 0.4%
APERAM, 0.63%, 7/08/21 (g)	USD		1,000		1,193,750
Eco-Bat Finance PLC, 7.75%, 2/15/17	EUR		300		314,664
Freeport-McMoRan, Inc.:
4.00%, 11/14/21	USD		4,195		4,094,450
5.40%, 11/14/34			3,860		3,529,140
JSW Steel Ltd., 4.88%, 11/12/19			600		577,500
Newmont Mining Corp., 3.50%, 3/15/22			2,982		2,896,011
Novelis, Inc., 8.75%, 12/15/20			8,380		8,977,075
Nucor Corp., 5.20%, 8/01/43			1,431		1,610,251
Steel Dynamics, Inc., 6.38%, 8/15/22			1,345		1,435,787
					24,628,628
Multiline Retail — 0.1%
Debenhams PLC, 5.25%, 7/15/21	GBP		180		264,299
Hema Bondco I BV:
5.28%, 6/15/19 (a)	EUR		675		573,230
6.25%, 6/15/19			1,400		1,270,134
Macy’s Retail Holdings, Inc., 4.50%, 12/15/34	USD		2,201		2,329,569
Target Corp.:
3.50%, 7/01/24			1,431		1,519,267
4.00%, 7/01/42			1,930		2,044,733
					8,001,232
Multi-Utilities — 0.6%
Berkshire Hathaway Energy Co.:
2.40%, 2/01/20			1,702		1,726,648
3.50%, 2/01/25			1,790		1,864,059
CenterPoint Energy Houston Electric LLC, 4.50%, 4/01/44			1,585		1,812,871
CMS Energy Corp., 3.88%, 3/01/24			2,011		2,150,201

Corporate Bonds		Par   (000)		Value
Multi-Utilities (concluded)
Consumers Energy Co., 3.95%, 5/15/43	USD		1,442	$	1,525,894
Dominion Resources, Inc.:
1.95%, 8/15/16			4,299		4,350,051
2.50%, 12/01/19			4,104		4,170,719
DTE Energy Co.:
2.40%, 12/01/19			1,251		1,271,336
3.50%, 6/01/24			5,101		5,299,852
NiSource Finance Corp., 3.85%, 2/15/23			2,935		3,097,602
Pacific Gas & Electric Co.:
4.75%, 2/15/44			1,921		2,213,828
4.30%, 3/15/45			1,348		1,450,630
PG&E Corp., 2.40%, 3/01/19			2,718		2,752,380
Sempra Energy, 2.88%, 10/01/22			1,470		1,469,581
Virginia Electric & Power Co.:
3.45%, 2/15/24			1,023		1,085,619
4.45%, 2/15/44			1,442		1,624,936
					37,866,207
Oil, Gas & Consumable Fuels — 2.9%
Anadarko Petroleum Corp., 3.45%, 7/15/24			1,487		1,489,367
Berau Capital Resources Pte Ltd., 12.50%, 7/08/15			1,400		980,000
Chevron Corp.:
2.19%, 11/15/19			1,277		1,303,647
1.96%, 3/03/20			13,610		13,697,145
Continental Resources, Inc.:
3.80%, 6/01/24			1,900		1,751,306
4.90%, 6/01/44			2,809		2,477,282
Energy Transfer Partners LP:
4.15%, 10/01/20			2,322		2,437,670
4.65%, 6/01/21			6,818		7,284,658
Enterprise Products Operating LLC:
3.90%, 2/15/24			2,149		2,248,348
4.45%, 2/15/43			4,650		4,721,243
EOG Resources, Inc., 3.90%, 4/01/35			7,552		7,744,040
EP Energy LLC/Everest Acquisition Finance, Inc., 6.88%, 5/01/19			1,260		1,291,500
Exxon Mobil Corp., 1.82%, 3/15/19			6,236		6,316,937
Galp Energia SGPS SA, 3.00%, 1/14/21	EUR		400		444,808
Indo Energy Finance II BV, 6.38%, 1/24/23	USD		200		132,000
Kinder Morgan Energy Partners LP, 3.50%, 3/01/21			23,936		24,126,100
Kinder Morgan, Inc., 3.05%, 12/01/19			11,024		11,133,402
Laredo Petroleum, Inc.:
9.50%, 2/15/19			2,280		2,388,300
7.38%, 5/01/22			655		675,469
Linn Energy LLC/Linn Energy Finance Corp., 6.25%, 11/01/19			4,880		3,855,200
Marathon Petroleum Corp., 4.75%, 9/15/44			1,512		1,538,703
MarkWest Energy Partners LP/MarkWest Energy Finance Corp., 4.50%, 7/15/23			1,105		1,093,950
MEG Energy Corp., 6.50%, 3/15/21 (b)			910		841,750
MIE Holdings Corp.:
6.88%, 2/06/18			200		127,100
7.50%, 4/25/19			400		238,500
Noble Energy, Inc., 4.15%, 12/15/21			7,397		7,834,496
Noble Holding International Ltd., 3.95%, 3/15/22 (k)			1,681		1,492,973
Occidental Petroleum Corp., 3.13%, 2/15/22			3,548		3,654,071
Peabody Energy Corp., 6.00%, 11/15/18			614		485,060
Phillips 66, 4.88%, 11/15/44			1,717		1,838,780
Pioneer Natural Resources Co., 3.95%, 7/15/22			4,327		4,450,237

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 43

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Oil, Gas & Consumable Fuels (concluded)
Plains All American Pipeline LP/PAA Finance Corp.:
2.60%, 12/15/19	USD		7,302	$	7,336,392
2.85%, 1/31/23			2,648		2,580,839
4.90%, 2/15/45			1,885		1,981,996
Sabine Pass Liquefaction LLC:
5.63%, 2/01/21			4,890		4,922,078
5.63%, 4/15/23			1,053		1,050,367
Sabine Pass LNG LP, 7.50%, 11/30/16			6,105		6,486,563
Southwestern Energy Co., 4.95%, 1/23/25			1,835		1,866,347
Spectra Energy Partners LP, 3.50%, 3/15/25			7,915		7,954,425
Sunoco Logistics Partners Operations LP, 3.45%, 1/15/23			3,573		3,515,543
TransCanada PipeLines Ltd.:
1.88%, 1/12/18			1,793		1,809,981
2.50%, 8/01/22			2,210		2,157,859
4.63%, 3/01/34			1,804		1,941,737
Valero Energy Corp., 3.65%, 3/15/25			6,437		6,583,023
Western Gas Partners LP, 4.00%, 7/01/22			6,486		6,593,077
Williams Partners LP:
4.00%, 11/15/21			7,196		7,386,831
3.60%, 3/15/22			3,915		3,902,773
4.50%, 11/15/23			1,195		1,239,060
4.90%, 1/15/45			4,668		4,377,389
Williams Partners LP/ACMP Finance Corp., 4.88%, 5/15/23			1,345		1,355,087
					195,135,409
Paper & Forest Products — 0.1%
International Paper Co.:
3.65%, 6/15/24			2,271		2,315,459
4.80%, 6/15/44			3,262		3,350,224
					5,665,683
Pharmaceuticals — 1.5%
AbbVie, Inc.:
2.90%, 11/06/22			3,301		3,274,453
4.40%, 11/06/42			3,664		3,771,784
Actavis Funding SCS:
2.35%, 3/12/18			28,510		28,895,569
3.00%, 3/12/20			21,407		21,901,181
Bristol-Myers Squibb Co., 4.50%, 3/01/44			2,122		2,411,354
Eli Lilly & Co.:
2.75%, 6/01/25			647		649,856
3.70%, 3/01/45			1,564		1,564,433
GlaxoSmithKline Capital PLC, 2.85%, 5/08/22			2,752		2,794,595
Merck & Co., Inc., 3.70%, 2/10/45			5,081		5,105,028
Merck KGaA, 3.00%, 12/12/74 (a)	EUR		775		854,336
Mylan, Inc., 3.13%, 1/15/23 (b)	USD		3,805		3,757,171
Novartis Capital Corp., 4.40%, 4/24/20			4,127		4,620,536
Pfizer, Inc.:
4.30%, 6/15/43			2,014		2,175,023
4.40%, 5/15/44			1,591		1,749,740
Roche Holdings, Inc., 2.88%, 9/29/21 (b)			2,845		2,945,537
Teva Pharmaceutical Finance Co. BV, 3.65%, 11/10/21			1,007		1,060,569
VRX Escrow Corp.:
4.50%, 5/15/23	EUR		3,725		4,030,323
6.13%, 4/15/25 (b)	USD		5,294		5,479,290
Zoetis, Inc., 3.25%, 2/01/23			1,835		1,828,765
					98,869,543
Professional Services — 0.0%
TMF Group Holding BV, 9.88%, 12/01/19	EUR		1,326		1,525,865
Real Estate Investment Trusts (REITs) — 0.2%
American Tower Corp.:
3.45%, 9/15/21	USD		4,650		4,746,562

Corporate Bonds		Par   (000)		Value
Real Estate Investment Trusts (REITs) (concluded)
5.90%, 11/01/21	USD		623	$	718,079
3.50%, 1/31/23			657		651,243
5.00%, 2/15/24			659		720,613
ARC Properties Operating Partnership LP, 2.00%, 2/06/17			920		891,940
The Link Finance Cayman 2009 Ltd., 3.60%, 9/03/24			800		819,040
Omega Healthcare Investors, Inc., 4.50%, 4/01/27 (b)			1,552		1,517,080
Simon Property Group LP, 4.25%, 10/01/44			2,073		2,173,022
Ventas Realty LP, 3.75%, 5/01/24			3,107		3,191,871
					15,429,450
Real Estate Management & Development — 0.3%
Agile Property Holdings Ltd., 9.88%, 3/20/17			800		793,600
Annington Finance No. 5 PLC, 13.00% (13.00% Cash or 13.50% PIK), 1/15/23 (h)	GBP		266		492,668
Caifu Holdings Ltd., 8.75%, 1/24/20	USD		600		540,321
Central Plaza Development Ltd., 7.13%, 12/31/49 (a)			350		355,233
CIFI Holdings Group Co. Ltd., 8.88%, 1/27/19			200		196,017
Country Garden Holdings Co. Ltd.:
7.88%, 5/27/19			600		623,250
7.88%, 3/09/20			1,000		1,001,250
7.25%, 4/04/21			600		598,800
Double Rosy Ltd., 3.97%, 11/18/19			1,400		1,407,350
Evergrande Real Estate Group Ltd., 8.75%, 10/30/18			400		364,000
Fantasia Holdings Group Co. Ltd.:
13.75%, 9/27/17			400		379,500
10.63%, 1/23/19			1,000		808,616
Filinvest Development, 4.25%, 4/02/20			600		577,608
Greenland Global Investment Ltd., 3.50%, 10/17/17			800		800,786
KWG Property Holding Ltd., 8.25%, 8/05/19			600		574,080
Lodha Developers International Ltd., 12.00%, 3/13/20			550		536,250
Pakuwon Prima Pte Ltd., 7.13%, 7/02/19			200		199,506
RPG Byty Sro, 6.75%, 5/01/20	EUR		1,280		1,449,947
Shui On Development Holding Ltd.:
9.00%, 11/24/17	USD		400		398,745
9.63%, 6/10/19			200		198,500
Sparkle Assets Ltd., 6.88%, 1/30/20			600		613,500
Sunac China Holdings Ltd., 9.38%, 4/05/18			800		792,000
Trillion Chance Ltd., 8.50%, 1/10/19			1,000		907,695
Vingroup JSC, 11.63%, 5/07/18			1,210		1,276,550
Wanda Properties International Co. Ltd., 7.25%, 1/29/24			2,400		2,610,703
					18,496,475
Road & Rail — 0.4%
Burlington Northern Santa Fe LLC:
3.00%, 3/15/23			2,685		2,738,909
4.15%, 4/01/45			1,161		1,207,720
CSX Corp., 4.10%, 3/15/44			1,910		1,989,248
EC Finance PLC, 5.13%, 7/15/21	EUR		300		339,844
Penske Truck Leasing Co. LP/PTL Finance Corp., 3.38%, 2/01/22 (b)	USD		4,197		4,195,707
Ryder System, Inc., 2.45%, 9/03/19			6,080		6,090,676
Union Pacific Corp.:
3.38%, 2/01/35			519		506,978
4.82%, 2/01/44			2,327		2,764,716
3.88%, 2/01/55			650		634,064
Union Pacific Railroad Co. Pass-Through Trust, Series 2014-1, 3.23%, 5/14/26			3,355		3,398,951
					23,866,813

See Consolidated Notes to Financial Statements.

44 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Corporate Bonds		Par   (000)		Value
Semiconductors & Semiconductor Equipment — 0.0%
Global A&T Electronics Ltd., 10.00%, 2/01/19	USD		345	$	337,238
Semiconductor Manufacturing International Corp., 4.13%, 10/07/19			1,000		1,008,800
					1,346,038
Software — 0.4%
Adobe Systems, Inc., 3.25%, 2/01/25			1,987		2,008,336
First Data Corp., 7.38%, 6/15/19 (b)			2,715		2,837,175
Microsoft Corp.:
3.50%, 2/12/35			4,377		4,365,467
3.75%, 2/12/45			4,575		4,592,431
Oracle Corp.:
2.80%, 7/08/21			10,087		10,447,953
4.30%, 7/08/34			3,518		3,817,255
					28,068,617
Specialty Retail — 0.2%
3AB Optique Developpement SAS, 5.63%, 4/15/19	EUR		265		272,830
The Home Depot, Inc., 4.40%, 3/15/45	USD		949		1,059,591
House of Fraser Funding PLC, 8.88%, 8/15/18	GBP		491		771,726
Lion/Seneca France 2, 7.88%, 4/15/19	EUR		690		615,793
Lowe’s Cos., Inc., 4.25%, 9/15/44	USD		1,747		1,894,470
Marks & Spencer PLC, 4.75%, 6/12/25	GBP		800		1,338,555
Punch Taverns Finance B Ltd., 5.94%, 9/30/22			1,092		1,602,656
QVC, Inc., 3.13%, 4/01/19	USD		1,780		1,792,239
THOM Europe SAS, 7.38%, 7/15/19	EUR		1,194		1,341,616
					10,689,476
Technology Hardware, Storage & Peripherals — 0.4%
Apple Inc.:
2.10%, 5/06/19 (l)	USD		19,801		20,244,622
3.45%, 2/09/45			1,581		1,500,747
Hewlett-Packard Co., 3.75%, 12/01/20			7,408		7,788,527
					29,533,896
Thrifts & Mortgage Finance — 0.0%
Achmea Bank NV, 2.75%, 2/18/21	EUR		625		738,315
Tobacco — 0.3%
Altria Group, Inc.:
2.63%, 1/14/20	USD		2,809		2,854,054
2.85%, 8/09/22			1,829		1,818,253
Lorillard Tobacco Co., 3.75%, 5/20/23			899		915,329
Philip Morris International, Inc.:
1.13%, 8/21/17			5,933		5,937,966
4.88%, 11/15/43			2,729		3,109,095
Reynolds American, Inc.:
3.25%, 11/01/22			2,642		2,628,930
4.75%, 11/01/42			2,357		2,431,184
					19,694,811
Trading Companies & Distributors — 0.3%
Air Lease Corp., 3.75%, 2/01/22			3,519		3,576,057
Aircastle Ltd., 6.25%, 12/01/19			2,565		2,819,910
GATX Corp., 2.60%, 3/30/20			2,415		2,421,458
H&E Equipment Services, Inc., 7.00%, 9/01/22			1,605		1,653,150
Monitchem HoldCo 2 SA, 6.88%, 6/15/22	EUR		270		271,446
Noble Group Ltd., 6.75%, 1/29/20	USD		350		364,875
United Rentals North America, Inc.:
5.75%, 7/15/18			753		785,003
7.38%, 5/15/20			4,315		4,662,897
7.63%, 4/15/22			1,874		2,050,156
5.50%, 7/15/25			1,184		1,206,200
					19,811,152

Corporate Bonds		Par   (000)		Value
Transportation Infrastructure — 0.1%
Delhi International Airport Pvt Ltd., 6.50%, 2/03/22	USD		275	$	288,613
Deutsche Raststaetten Gruppe IV GmbH, 6.75%, 12/30/20	EUR		207		240,382
Gategroup Finance Luxembourg SA, 6.75%, 3/01/19			300		340,315
Goodman HK Finance, 4.38%, 6/19/24	USD		400		417,524
HPHT Finance 15 Ltd., 2.88%, 3/17/20			1,200		1,212,248
Silk Bidco AS, 7.50%, 2/01/22	EUR		2,110		2,348,175
					4,847,257
Wireless Telecommunication Services — 0.6%
America Movil SAB de CV, 2.38%, 9/08/16	USD		8,225		8,359,808
Crown Castle International Corp., 5.25%, 1/15/23			2,730		2,866,500
Orange SA, 4.00%, 12/31/49 (a)	EUR		575		661,019
Play Finance 1 SA, 6.50%, 8/01/19			905		1,028,321
Play Finance 2 SA, 5.25%, 2/01/19			710		791,595
Sprint Communications, Inc., 9.00%, 11/15/18 (b)	USD		13,015		14,934,713
Sprint Corp., 7.88%, 9/15/23			3,895		3,972,900
T-Mobile USA, Inc.:
6.63%, 4/28/21			1,230		1,288,425
6.73%, 4/28/22			1,180		1,241,950
Vodafone Group PLC, 2.50%, 9/26/22			2,280		2,205,045
					37,350,276
Total Corporate Bonds — 29.0%					1,929,377,380
Floating Rate Loan Interests (a)
Capital Markets — 0.0%
Yellow Maple Holding BV:
Facility B3, 5.06%, 9/23/21	GBP		320		476,228
Term Loan B (First Lien), 4.02%, 9/17/21	EUR		560		605,985
					1,082,213
Containers & Packaging — 0.0%
Ardagh Holdings USA, Inc. (Ardagh Packaging Finance SA), New Term Loan, 4.00%, 12/17/19	USD		505		506,162
Constantia Flexibles Group GmbH (AKA Constantinople Acquisition GmbH), Term Loan B1 Euro, 3.75%, 4/29/22	EUR		1,994		2,163,987
					2,670,149
Diversified Consumer Services — 0.1%
Nelson Bidco Ltd.:
Initial Term Loan (First Lien), 5.28% - 5.43%, 12/10/21	GBP		1,461		2,174,523
Initial Term Loan (Second Lien), 8.25%, 12/09/22			730		1,082,877
					3,257,400
Diversified Telecommunication Services — 0.4%
Altice Financing SA, Euro Denominated Tranche Loan, 5.25%, 2/04/22	EUR		1,785		1,939,307
Intelsat Jackson Holdings SA, Tranche B-2 Term Loan, 3.75%, 6/30/19	USD		12,002		11,951,432
Level 3 Financing, Inc., Tranche B 2020 Term Loan, 4.00%, 1/15/20			8,090		8,103,510
Livister Investments S.L.U., Facility B, 4.79%, 6/28/21	EUR		930		1,004,148
Virgin Media Investment Holdings Ltd., E Facility, 4.25%, 6/30/23	GBP		810		1,202,546

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 45

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Floating Rate Loan Interests (a)		Par   (000)		Value
Diversified Telecommunication Services (concluded)
Ziggo BV:
EUR B1 Facility, 3.75%, 1/15/22	EUR		631	$	677,940
EUR B2 Facility, 3.50% - 3.75%, 1/15/22			407		436,739
EUR B3 Facility, 2.75% - 3.75%, 1/15/22			1,142		1,227,083
					26,542,705
Food & Staples Retailing — 0.0%
Bestway UK Holdco Ltd., Facility B, 5.26%, 10/06/21	GBP		700		1,043,089
Food Products — 0.0%
Charger OpCo BV, Term B-1 EUR Loan, 0.00% - 3.50%, 7/23/21	EUR		1,470		1,586,760
Iglo Foods Midco Ltd., Facility B2, 5.26%, 6/30/20	GBP		435		646,992
					2,233,752
Health Care Equipment & Supplies — 0.0%
Auris Luxembourg III S.à r.l. (AKA Siemens Audiology), Facility B1 (EUR), 5.50%, 1/17/22	EUR		680		740,614
Health Care Providers & Services — 0.0%
Emdeon, Inc., Term B-2 Loan, 3.75%, 11/02/18	USD		911		912,037
Hotels, Restaurants & Leisure — 0.3%
Caesars Entertainment Resort Properties LLC, Term B Loan, 7.00%, 10/11/20			5,713		5,401,689
Hilton Worldwide Finance LLC, Initial Term Loan, 3.50%, 10/26/20			10,619		10,628,279
					16,029,968
Insurance — 0.0%
Saga Mid Co. Ltd., Facility A, 2.81%, 4/25/19	GBP		680		965,212
Internet Software & Services — 0.0%
Nassa Midco AS, Facility B (EUR), 4.25%, 7/09/21	EUR		1,300		1,402,768
Leisure Products — 0.0%
PAW Luxco II S.à r.l. (Jack Wolfskin), Facility B, 5.00%, 7/29/18			1,000		990,796
Life Sciences Tools & Services — 0.0%
Pharmaceutical Product Development, Inc. (Jaguar Holdings LLC), 2013 Term Loan, 4.00%, 12/05/18	USD		968		967,319
Machinery — 0.1%
Onex Wizard Acquisition Co. II SCA, Initial Euro Term Loan, 5.25%, 3/11/22	EUR		5,720		6,206,559
Schaeffler AG (FKA named INA Beteiligungsge-sellschaft mit beschränkter Haftung), Facility B-EUR, 4.25%, 5/15/20			860		932,174
					7,138,733
Media — 0.2%
Charter Communications Operating LLC (AKA CCO Safari LLC), Term G Loan, 4.25%, 9/10/21	USD		6,055		6,102,108
Numericable Group SA, Euro Denominated Tranche B-1 Loan, 4.50%, 5/21/20	EUR		918		991,480
Springer Science+Business Media Deutschland GmbH, Term Loan B8, 4.75%, 8/14/20			3,070		3,324,937
					10,418,525
Oil, Gas & Consumable Fuels — 0.0%
Obsidian Natural Gas Trust, Loan, 7.00%, 11/02/15	USD		2,043		2,052,766

Floating Rate Loan Interests (a)		Par   (000)		Value
Professional Services — 0.1%
Wood Mackenzie Ltd: Tl-C 1210083, Term Loan, 5.00%, 8/15/19	GBP		2,750	$	4,079,331
Real Estate Management & Development — 0.0%
Realogy Group LLC (FKA Realogy Corp.), Extended Synthetic Commitment, 0.03% - 4.40%, 10/10/16	USD		82		81,350
Road & Rail — 0.1%
Car Rentals Subsidiary SLU (AKA Goldcar), Facility B, 6.50%, 6/18/20	EUR		3,580		3,706,645
Software — 0.1%
First Data Corp., 2018 New Dollar Term Loan, 3.67%, 3/23/18	USD		6,090		6,083,801
Specialty Retail — 0.0%
Action Holding BV (FKA Peer Holdings BV), Term B (A2), 4.78%, 1/13/21	EUR		1,100		1,192,008
Textiles, Apparel & Luxury Goods — 0.0%
Vivarte Sas, Term Loan, 4.00%, 10/20/19			1,000		1,016,107
Total Floating Rate Loan Interests — 1.4%					94,607,288
Foreign Agency Obligations
Brazil — 0.1%
Petrobras Global Finance BV:
6.25%, 12/14/26	GBP		800		1,023,080
5.38%, 10/01/29			185		227,311
6.63%, 1/16/34			530		658,712
7.25%, 3/17/44	USD		2,187		2,053,549
					3,962,652
British Virgin Islands — 0.1%
China Cinda Finance 2014 Ltd., 5.63%, 5/14/24			400		437,329
CNOOC Finance 2012 Ltd., 5.00%, 5/02/42			300		332,963
Huarong Finance II Co. Ltd., 5.50%, 1/16/25			1,800		1,917,659
					2,687,951
China — 0.1%
CDBL Funding 1, 4.25%, 12/02/24	USD		1,400		1,427,042
CNOOC Nexen Finance 2014 ULC, 4.25%, 4/30/24			1,549		1,646,703
COSCO Finance 2011 Ltd., 4.00%, 12/03/22			200		206,094
Eastern Creation II Investment Holdings Ltd., 3.25%, 1/20/20			1,200		1,222,440
Huarong Finance II Co. Ltd., 4.70%, 1/16/20			1,000		1,045,923
					5,548,202
Germany — 0.1%
HSH Nordbank AG:
0.88%, 2/14/17 (a)	EUR		4,090		3,710,606
0.92%, 2/14/17 (a)			1,993		1,810,805
					5,521,411
India — 0.0%
IDBI Bank Ltd., 4.44%, 4/23/20	USD		400		406,442
Syndicate Bank, 3.88%, 12/04/19			200		204,435
					610,877

See Consolidated Notes to Financial Statements.

46 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Foreign Agency Obligations		Par   (000)		Value
Indonesia — 0.0%
Pertamina Persero PT, 6.45%, 5/30/44	USD		200	$	215,420
Malaysia — 0.0%
1MDB Global Investments Ltd., 4.40%, 3/09/23			1,800		1,633,770
Cagamas Global PLC, 2.75%, 12/10/19			400		404,180
Petronas Capital Ltd., 3.50%, 3/18/25			200		202,447
					2,240,397
Norway — 0.1%
Eksportfinans ASA, 5.50%, 6/26/17			275		292,875
Statoil ASA, 2.90%, 11/08/20			6,595		6,908,896
					7,201,771
Singapore — 0.0%
BOC Aviation Pte Ltd., 3.00%, 3/30/20			400		399,274
South Korea — 0.0%
Korea East-West Power Co. Ltd., 2.50%, 6/02/20			800		808,115
Sri Lanka — 0.0%
SriLankan Airlines Ltd., 5.30%, 6/27/19			400		392,000
United Arab Emirates — 0.0%
Abu Dhabi National Energy Co. PJSC, 3.63%, 1/12/23			600		609,750
United States — 0.0%
Export-Import Bank of India, 2.75%, 4/01/20			800		796,248
Petronas Capital Ltd., 4.50%, 3/18/45			500		501,467
					1,297,715
Total Foreign Agency Obligations — 0.5%					31,495,535
Foreign Government Obligations
Brazil — 0.2%
Federative Republic of Brazil, 4.25%, 1/07/25			11,595		11,363,100
Colombia — 0.1%
Republic of Colombia:
4.38%, 3/21/23	COP		813,000		284,412
4.00%, 2/26/24	USD		7,250		7,474,750
					7,759,162
Germany — 0.1%
Deutsche Bundesrepublik Inflation Linked Bond, 0.10%, 4/15/23	EUR		1,800		2,170,871
Greece — 0.0%
Hellenic Republic:
3.38%, 7/17/17			1,529		1,148,156
3.00%, 2/24/24 (c)			1,610		946,604
					2,094,760
Indonesia — 0.2%
Republic of Indonesia:
5.38%, 10/17/23 (b)			1,480		1,655,750
5.38%, 10/17/23	USD		1,200		1,348,920
5.88%, 1/15/24 (b)			2,720		3,145,000
8.38%, 3/15/24	IDR		53,992,000		4,383,366
4.13%, 1/15/25	USD		1,200		1,237,440
8.38%, 3/15/34	IDR		32,158,000		2,609,533
5.13%, 1/15/45	USD		400		420,000
					14,800,009

Foreign Government Obligations		Par   (000)		Value
Italy — 0.7%
Buoni Poliennali Del Tesoro:
5.50%, 9/01/22	USD		7,480	$	10,617,125
5.50%, 11/01/22			6,200		8,839,457
3.10%, 9/15/26			1,800		2,701,557
Buoni Poliennali Del Tesoro Inflation Linked Bond:
2.35%, 9/15/19	EUR		11,677		15,382,264
2.10%, 9/15/21			7,055		9,313,810
					46,854,213
Mexico — 1.0%
United Mexican States:
4.75%, 6/14/18	MXN		202,600		13,289,118
5.00%, 12/11/19			49,600		3,212,773
6.50%, 6/09/22			116,000		7,949,333
4.00%, 10/02/23	USD		27,891		29,508,678
8.00%, 12/07/23	MXN		105,000		7,853,354
4.60%, 1/23/46	USD		2,870		2,934,575
					64,747,831
Peru — 0.1%
Republic of Peru, 7.35%, 7/21/25			4,020		5,467,200
Portugal — 0.0%
Republic of Portugal, 5.13%, 10/15/24			875		967,995
Slovenia — 0.1%
Republic of Slovenia:
4.13%, 2/18/19 (b)			1,556		1,645,069
5.50%, 10/26/22 (b)			2,189		2,522,910
5.25%, 2/18/24 (b)			1,346		1,544,871
					5,712,850
South Africa — 0.1%
Republic of South Africa:
7.75%, 2/28/23	ZAR		67,545		5,621,789
8.00%, 1/31/30			37,525		3,050,202
					8,671,991
Spain — 0.3%
Kingdom of Spain:
5.40%, 1/31/23	EUR		14,140		20,222,806
4.40%, 10/31/23			907		1,239,205
					21,462,011
Sri Lanka — 0.0%
Republic of Sri Lanka, 6.25%, 10/04/20	USD		700		722,750
Turkey — 0.2%
Turkey Government International Bond, 5.75%, 3/22/24			12,910		14,357,211
Vietnam — 0.0%
Socialist Republic of Vietnam, 5.13%, 11/19/24			200		208,250
Total Foreign Government Obligations — 3.1%					207,360,204

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 47

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Collateralized Mortgage Obligations — 2.5%
Bear Stearns Mortgage Funding Trust, Series 2007-AR1, Class 2A3, 0.37%, 2/25/37 (a)	USD		3,587	$	2,706,906
Berica 8 Residential Mbs Srl, Series 8, Class A, 0.62%, 3/31/48 (a)	EUR		403		425,968
BlackRock Capital Finance LP, Series 1997-R2, Class AP, 1.36%, 12/25/35 (a)(b)(m)	USD		7		7,089
Citigroup Mortgage Loan Trust, Series 2007-2, Class 2A, 6.00%, 11/25/36			155		144,891
Collateralized Mortgage Obligation Trust, Series 57, Class D, 9.90%, 2/01/19			4		4,299
Countrywide Alternative Loan Trust:
Series 2005-56, Class 4A1, 0.48%, 11/25/35 (a)			3,968		3,300,212
Series 2005-72, Class A3, 0.47%, 1/25/36 (a)			1,379		1,107,465
Series 2006-23CB, Class 2A5, 0.57%, 8/25/36 (a)			10,921		5,514,094
Series 2006-OA14, Class 1A1, 1.84%, 11/25/46 (a)			6,804		5,782,367
Series 2006-OA21, Class A1, 0.37%, 3/20/47 (a)			19,321		15,214,883
Series 2006-OA6, Class 1A2, 0.38%, 7/25/46 (a)			7,638		6,543,591
Series 2007-22, Class 2A16, 6.50%, 9/25/37			19,567		15,681,859
Countrywide Home Loan Mortgage Pass-Through Trust:
Series 2004-29, Class 1A1, 0.71%, 2/25/35 (a)			684		645,529
Series 2006-OA4, Class A1, 1.07%, 4/25/46 (a)			2,280		1,270,484
Credit Suisse Mortgage Capital Certificates:
Series 2010-20R, Class 9A1, 2.54%, 1/27/36 (a)(b)			5,746		5,666,977
Series 2011-2R, Class 1A1, 2.44%, 3/27/37 (a)(b)			2,671		2,622,602
Series 2011-2R, Class 2A1, 2.61%, 7/27/36 (a)(b)			10,181		10,269,016
Series 2011-5R, Class 3A1, 2.87%, 9/27/47 (a)(b)			3,597		3,423,643
Series 2014-11R, Class 16A1, 2.13%, 9/27/47 (a)(b)			3,658		3,534,789
Series 2015-PR1, Class A-1, 0.00%, 2/25/55 (a)(b)			3,110		3,032,250
Deutsche Alt-A Securities Mortgage Loan Trust:
Series 2007-OA4, Class 1A1B, 0.30%, 8/25/47 (a)			1,398		1,140,499
Series 2007-RMP1, Class A2, 0.32%, 12/25/36 (a)			4,256		3,630,075
Deutsche ALT-A Securities, Inc., Series 2007-RS1, Class A2, 0.67%, 1/27/37 (a)(b)			1,397		2,108,986
Gemgarto, Series 2012-1, Class A1, 3.51%, 5/14/45 (a)	GBP		609		923,860
Grifonas Finance PLC, Series 1, Class A, 0.39%, 8/28/39 (a)	EUR		1,661		1,239,581
HomeBanc Mortgage Trust:
Series 2005-4, Class A1, 0.44%, 10/25/35 (a)	USD		18,296		16,215,009
Series 2006-2, Class A1, 0.35%, 12/25/36 (a)			4,931		4,240,906
Impac Secured Assets CMN Owner Trust, Series 2004-3, Class 1A4, 0.97%, 11/25/34 (a)			763		757,021
JPMorgan Alternative Loan Trust, Series 2007-A2, Class 2A1, 3.34%, 5/25/37 (a)			822		656,607

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Collateralized Mortgage Obligations (concluded)
JPMorgan Madison Avenue Securities Trust, Series 2014-1, Class M1, 2.42%, 11/25/24 (a)(b)	USD		2,236	$	2,243,620
LSTAR Securities Investment Trust:
Series 2014-1, Class Note, 3.27%, 9/01/21 (a)(b)			7,395		7,413,556
Series 2014-2, Class A, 2.16%, 12/01/21 (a)(b)			8,484		8,381,813
Series 2015-1, Class A, 2.17%, 1/01/20 (a)(b)			3,429		3,379,685
Series 2015-2, Class A, 2.17%, 1/01/20 (a)(b)			2,406		2,372,307
Series 2015-3, Class A, 2.18%, 3/01/20 (a)(b)			4,110		4,056,500
MASTR Resecuritization Trust, Series 2008-3, Class A1, 0.68%, 8/25/37 (a)(b)			3,159		2,226,927
Merrill Lynch Mortgage Investors Trust, Series 2006-A3, Class 6A1, 5.34%, 5/25/36 (a)			5,165		4,878,819
Morgan Stanley Re-REMIC Trust, Series 2010-R9, Class 3B, 5.00%, 11/26/36 (b)			792		821,708
Paragon Mortgages No. 13 PLC, Series 13X, Class A2C, 0.41%, 1/15/39 (a)			464		432,793
Reperforming Loan REMIC Trust, Series 2005-R2, Class 1AF1, 0.51%, 6/25/35 (a)(b)			1,310		1,148,347
Residential Mortgage Securities PLC, Series 26, Class A1, 2.81%, 2/14/41 (a)	GBP		1,577		2,422,002
Silk Road Finance Number Three PLC, Series 2012-1, Class A, 1.91%, 6/21/55 (a)			551		823,329
Structured Asset Mortgage Investments II Trust, Series 2005-AR8, Class A1A, 0.45%, 2/25/36 (a)	USD		2,310		1,852,328
Thornburg Mortgage Securities Trust, Series 2007-3, Class 4A1, 5.92%, 6/25/47 (a)			2,966		2,885,202
					163,150,394
Commercial Mortgage-Backed Securities — 5.6%
American Homes 4 Rent Pass-Through Certificates, Series 2014-SFR2, Class A, 3.79%, 10/17/36 (b)			1,866		1,943,339
Banc of America Commercial Mortgage Trust:
Series 2006-6, Class AJ, 5.42%, 10/10/45			6,069		6,289,481
Series 2007-3, Class A1A, 5.55%, 6/10/49 (a)			5,993		6,437,738
Series 2007-3, Class A4, 5.55%, 6/10/49 (a)			2,730		2,913,330
Series 2007-3, Class AJ, 5.55%, 6/10/49 (a)			1,765		1,815,964
Series 2007-5, Class AM, 5.77%, 2/10/51 (a)			2,030		2,164,983
Banc of America Merrill Lynch Commercial Mortgage Securities Trust, Series 2014-FL1, Class A, 1.57%, 12/15/31 (a)(b)			2,840		2,844,447
Banc of America Merrill Lynch Commercial Mortgage, Inc., Series 2005-4, Class A5B, 5.00%, 7/10/45 (a)			300		301,958
Barclays Commercial Mortgage Trust:
Series 2015-SLP, Class D, 3.38%, 2/15/28 (a)(b)			2,030		2,030,000
Series 2015-VFM, Class A2, 3.38%, 3/15/36 (a)(b)			2,460		2,532,004
Bayview Commercial Asset Trust, Series 2008-4, Class A3, 2.92%, 7/25/38 (a)(b)			2,618		2,578,302

See Consolidated Notes to Financial Statements.

48 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Commercial Mortgage-Backed Securities (continued)
Bear Stearns Commercial Mortgage Securities Trust:
Series 2007-PW15, Class A1A, 5.32%, 2/11/44	USD		4,769	$	5,044,578
Series 2007-PW16, Class AM, 5.90%, 6/11/40 (a)			3,071		3,343,094
Series 2007-PW18, Class A1A, 5.60%, 6/11/50			171		183,304
Series 2007-PW18, Class AMA, 6.09%, 6/11/50 (a)			4,033		4,436,256
BHMS Mortgage Trust, Series 2014-ATLS, Class AFL, 1.67%, 7/05/33 (a)(b)			2,075		2,111,333
Carefree Portfolio Trust:
Series 2014-CARE, Class A, 1.47%, 11/15/19 (a)(b)			1,550		1,546,348
Series 2014-CARE, Class D, 3.40%, 11/15/19 (a)(b)			2,510		2,517,530
CDGJ Commercial Mortgage Trust, Series 2014-BXCH, Class A, 1.57%, 12/15/27 (a)(b)			4,271		4,274,852
Citigroup Commercial Mortgage Trust:
Series 2012-GC8, Class D, 4.88%, 9/10/45 (a)(b)			3,637		3,722,164
Series 2013-375P, Class E, 3.63%, 5/10/35 (a)(b)			2,200		2,058,899
Series 2013-GC11, Class D, 4.46%, 4/10/46 (a)(b)			3,200		3,165,114
Series 2014-388G, Class A, 0.92%, 6/15/33 (a)(b)			2,344		2,332,854
Series 2014-388G, Class E, 2.52%, 6/15/33 (a)(b)			2,200		2,191,356
Series 2015-SSHP, Class A, 1.32%, 9/15/27 (a)(b)			4,370		4,364,651
Citigroup/Deutsche Bank Commercial Mortgage Trust:
Series 2007-CD4, Class AMFX, 5.37%, 12/11/49 (a)			956		999,960
Series 2007-CD5, Class AMA, 6.12%, 11/15/44 (a)			640		701,290
COBALT CMBS Commercial Mortgage Trust, Series 2007-C3, Class AM, 5.77%, 5/15/46 (a)			3,819		4,122,553
Commercial Mortgage Pass-Through Certificates:
Series 2010-RR1, Class GEB, 5.54%, 12/11/49 (a)(b)			2,260		2,394,050
Series 2012-LTRT, Class A2, 3.40%, 10/05/30 (b)			3,755		3,850,985
Series 2013-FL3, Class A, 1.52%, 10/13/28 (a)(b)			5,029		5,040,097
Series 2013-FL3, Class RRI1, 3.42%, 11/13/28 (a)(b)			4,914		4,914,253
Series 2013-GAM, Class A2, 3.37%, 2/10/28 (b)			3,196		3,311,772
Series 2014-277P, Class A, 3.61%, 8/10/49 (a)(b)			1,300		1,384,321
Series 2014-CR20, Class A4, 3.59%, 11/10/47			336		357,446
Series 2014-CR21, Class B, 4.34%, 12/10/47			630		674,528
Series 2014-FL5, Class D, 2.15%, 10/15/31 (a)(b)			3,095		2,849,517
Series 2014-KYO, Class F, 3.66%, 6/11/27 (a)(b)			5,390		5,376,622

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Commercial Mortgage-Backed Securities (continued)
Series 2015-CR22, Class A5, 3.31%, 3/10/48	USD		5,670	$	5,839,648
Series 2015-DC1, Class A5, 3.35%, 2/04/48			1,340		1,397,284
Credit Suisse Commercial Mortgage Trust:
Series 2006-C5, Class AM, 5.34%, 12/15/39			11,696		12,269,691
Series 2007-C4, Class A1AM, 6.10%, 9/15/39 (a)			3,146		3,406,294
Credit Suisse First Boston Mortgage Securities Corp., Series 2005-C3, Class AJ, 4.77%, 7/15/37			920		921,063
Credit Suisse Mortgage Capital Certificates:
Series 2006-C3, Class AM, 5.81%, 6/15/38 (a)			3,122		3,270,595
Series 2010-RR1, Class 2A, 5.70%, 9/15/40 (a)(b)			4,730		4,946,222
Series 2014-SURF, Class E, 3.27%, 2/15/29 (a)(b)			1,300		1,298,482
CSAIL Commercial Mortgage Trust, Series 2015-C1, Class A4, 3.51%, 4/17/50			1,050		1,109,112
Del Coronado Trust, Series 2013-HDMZ, Class M, 5.15%, 3/15/18 (a)(b)			2,388		2,393,970
Deutsche Bank Re-REMIC Trust, Series 2011-C32, Class A3A, 5.72%, 6/17/49 (a)(b)			3,400		3,642,185
Extended Stay America Trust, Series 2013-ESH7, Class A27, 2.96%, 12/05/31 (b)			3,850		3,936,675
GAHR Commericial Mortgage Trust:
Series 2015-NRF, Class AFL1, 1.47%, 12/15/16 (a)(b)			6,000		5,998,452
Series 2015-NRF, Class GFX, 8.12%, 12/15/34 (b)			7,142		6,396,075
German Residential Funding Ltd., Series 2013-1, Class E, 4.19%, 8/27/24 (a)	EUR		1,143		1,297,034
Greenwich Capital Commercial Funding Corp., Series 2007-GG11, Class AM, 5.87%, 12/10/49 (a)	USD		2,870		3,106,864
GS Mortgage Securities Trust:
Series 2006-GG6, Class AJ, 5.52%, 4/10/38 (a)			1,275		1,303,221
Series 2006-GG8, Class AM, 5.59%, 11/10/39			735		776,736
Series 2010-C1, Class A1, 3.68%, 8/10/43 (b)			1,664		1,724,434
Series 2014-GC18, Class B, 4.89%, 1/10/47 (a)			1,314		1,461,751
Hilton USA Trust, Series 2013-HLT, Class EFX, 5.22%, 11/05/30 (a)(b)			5,763		5,919,506
Houston Galleria Mall Trust, Series 2015-HGLR, Class A1A2, 3.22%, 3/05/37 (b)			4,030		4,076,345
JPMorgan Chase Commercial Mortgage Securities Trust:
Series 2006-LDP7, Class A4, 5.88%, 4/15/45 (a)			7,240		7,481,085
Series 2006-LDP8, Class AJ, 5.48%, 5/15/45 (a)			2,000		2,090,172
Series 2006-LDP8, Class D, 5.62%, 5/15/45 (a)			4,323		4,360,212
Series 2007-CB20, Class AJ, 6.08%, 2/12/51 (a)			11,429		12,027,491
Series 2007-CB20, Class AM, 5.88%, 2/12/51 (a)			1,000		1,096,133
Series 2007-LDPX, Class A1A, 5.44%, 1/15/49			1,937		2,074,548
Series 2007-LDPX, Class AM, 5.46%, 1/15/49 (a)			5,463		5,703,345

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 49

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Commercial Mortgage-Backed Securities (continued)
Series 2008-C2, Class A4FL, 1.68%, 2/12/51 (a)	USD		1,873	$	1,841,878
Series 2008-C2, Class ASB, 6.13%, 2/12/51 (a)			1,255		1,316,121
Series 2014-C20, Class A5, 3.80%, 7/15/47			1,620		1,753,890
Series 2014-C21, Class D, 4.66%, 8/15/47 (a)			1,250		1,204,780
Series 2014-C26, Class A4, 3.49%, 1/15/48			1,247		1,316,088
Series 2014-DSTY, Class A, 3.43%, 6/10/27 (b)			885		921,760
Series 2014-DSTY, Class D, 3.80%, 6/10/27 (a)(b)			2,680		2,610,435
Series 2014-FL6, Class A, 1.57%, 11/15/31 (a)(b)			3,670		3,674,353
Series 2015-CSMO, Class A, 1.43%, 1/15/32 (a)(b)			5,400		5,395,680
Series 2015-CSMO, Class D, 3.48%, 1/15/32 (a)(b)			2,900		2,901,740
LB-UBS Commercial Mortgage Trust:
Series 2006-C4, Class AJ, 5.85%, 6/15/38 (a)			985		1,032,570
Series 2007-C1, Class AJ, 5.48%, 2/15/40			3,720		3,881,548
Series 2007-C7, Class A1A, 5.68%, 9/15/45 (a)			591		644,198
Merrill Lynch Mortgage Investors Trust, Series 1998-C3, Class G, 6.00%, 12/15/30 (b)			2,606		2,593,382
Merrill Lynch Mortgage Trust:
Series 2005-CKI1, Class AJ, 5.28%, 11/12/37 (a)			4,160		4,241,178
Series 2007-C1, Class A1A, 5.84%, 6/12/50 (a)			2,555		2,676,241
ML-CFC Commercial Mortgage Trust, Series 2007-9, Class ASB, 5.64%, 9/12/49			9,842		9,840,887
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2014-C19, Class A2, 3.10%, 12/15/47			1,152		1,208,751
Morgan Stanley Capital I Trust:
Series 2007-HQ11, Class AMFL, 0.35%, 2/12/44 (a)			746		723,239
Series 2007-HQ12, Class A2FX, 5.67%, 4/12/49 (a)			187		186,363
Series 2007-HQ12, Class AM, 5.67%, 4/12/49 (a)			6,695		7,134,239
Series 2007-IQ13, Class A1A, 5.31%, 3/15/44			1,811		1,917,872
Series 2007-IQ13, Class AM, 5.41%, 3/15/44			1,547		1,648,203
Series 2007-IQ14, Class A1A, 5.67%, 4/15/49 (a)			3,513		3,780,477
Series 2007-IQ15, Class AM, 5.91%, 6/11/49 (a)			7,480		8,018,410
Morgan Stanley Re-REMIC Trust:
Series 2009-GG10 5.80%, 8/12/45 (a)(b)			6,666		7,150,913
Series 2010-GG10, Class A4B, 5.80%, 8/15/45 (a)(b)			6,998		7,507,461
Series 2011-IO, Class B, 0.00%, 3/23/51 (b)(i)			400		396,882
Series 2011-IO, Class C, 0.00%, 3/23/51 (b)(i)			1,735		1,639,575
Series 2012-IO, Class AXB2, 1.00%, 3/27/51 (b)			2,294		2,287,935
Series 2012-XA, Class A, 2.00%, 7/27/49 (b)			2,831		2,832,836

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Commercial Mortgage-Backed Securities (concluded)
RBSCF Trust, Series 2010-RR3, Class WBTA, 5.94%, 2/16/51 (a)(b)	USD		14,055	$	14,635,702
RCMC LLC, Series 2012-CRE1, Class A, 5.62%, 11/15/44 (b)			3,039		3,116,877
Resource Capital Corp. Ltd., Series 2014-CRE2, Class A, 1.22%, 4/15/32 (a)(b)			2,645		2,629,535
SCG Trust, Series 2013-SRP1, Class AJ, 2.11%, 11/15/26 (a)(b)			2,775		2,783,589
SFAVE Commercial Mortgage Securities Trust, Series 2015-5AVE, Class A2B, 4.14%, 1/05/35 (a)(b)			1,219		1,273,144
STRIPs Ltd.:
Series 2012-1A, Class A, 1.50%, 12/25/44 (b)			3,508		3,508,065
Series 2012-1A, Class B, 0.50%, 12/25/44 (b)			3,480		3,158,100
Taurus IT Srl, Series 2015-IT1, Class A, 1.56%, 2/18/27 (a)	EUR		310		333,493
Wachovia Bank Commercial Mortgage Trust:
Series 2006-C28, Class AJ, 5.63%, 10/15/48 (a)	USD		326		334,483
Series 2006-C29, Class AM, 5.34%, 11/15/48			955		1,012,717
Series 2006-WL7A, Class H, 0.55%, 9/15/21 (a)(b)			3,690		3,604,953
Series 2007-C32, Class AMFX, 5.70%, 6/15/49 (b)			3,263		3,508,541
Series 2007-C33, Class AJ, 5.94%, 2/15/51 (a)			1,772		1,868,726
Series 2007-C33, Class B, 5.94%, 2/15/51 (a)			200		204,337
Wells Fargo Commercial Mortgage Trust:
Series 2014-TISH, Class SCH1, 2.91%, 1/15/27 (a)(b)			8,224		8,157,863
Series 2015-C27, Class A5, 3.45%, 2/15/48			2,016		2,116,516
Series 2015-C27, Class C, 3.89%, 2/15/48			1,402		1,369,318
Wells Fargo Resecuritization Trust, Series 2012-IO, Class A, 1.75%, 8/20/21 (b)			1,707		1,707,271
WFRBS Commercial Mortgage Trust, Series 2014-LC14, Class D, 4.59%, 3/15/47 (a)(b)			513		490,023
					370,539,036
Interest Only Collateralized Mortgage Obligations — 0.0%
American Home Mortgage Investment Trust, Series 2007-1, Class GIOP, 2.08%, 5/25/47			4,059		726,617
Interest Only Commercial Mortgage-Backed Securities — 0.4%
BWAY Mortgage Trust, Series 2015-1740, Class XA, 0.90%, 1/10/35 (a)(b)			56,320		3,310,653
Commercial Mortgage Pass-Through Certificates:
Series 2013-CR6, Class XA, 1.52%, 3/10/46 (a)			31,726		2,012,434
Series 2015-3BP, Class XA, 0.05%, 2/10/35 (a)(b)			133,078		1,184,394
Series 2015-CR22, Class XA, 1.17%, 3/10/48 (a)			28,980		2,046,772
Commercial Mortgage Trust, Series 2015-LC19, Class XA, 1.24%, 2/10/48 (a)			40,178		3,664,231
GS Mortgage Securities Trust, Series 2014-GC20, Class XA, 1.21%, 4/10/47 (a)			9,659		723,044
Hilton USA Trust, Series 2013-HLT, Class X1FX, 0.09%, 11/05/30 (a)(b)			54,590		34,119
JPMBB Commercial Mortgage Securities Trust, Series 2014-C24, Class XA, 1.09%, 11/15/47 (a)			29,943		2,019,770

See Consolidated Notes to Financial Statements.

50 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Non-Agency Mortgage-Backed Securities		Par   (000)		Value
Interest Only Commercial Mortgage-Backed Securities (concluded)
JPMorgan Chase Commercial Mortgage Securities Trust:
Series 2013-LC11, Class XA, 1.57%, 4/15/46 (a)	USD		25,714	$	2,176,015
Series 2013-LC11, Class XB, 0.58%, 4/15/46 (a)			4,570		186,374
Series 2015-C27, Class XA, 1.40%, 2/15/48 (a)			38,310		3,459,397
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2014-C19, Class XA, 1.17%, 12/15/47 (a)			14,504		1,074,607
WaMu Commercial Mortgage Securities Trust, Series 2005-C1A, Class X, 0.86%, 5/25/36 (a)(b)			441		5,729
Wells Fargo Commercial Mortgage Trust, Series 2015-C27, Class XA, 1.15%, 2/15/48 (a)			12,790		946,575
WF-RBS Commercial Mortgage Trust:
Series 2012-C10, Class XA, 1.79%, 12/15/45 (a)(b)			17,725		1,694,230
Series 2012-C8, Class XA, 2.19%, 8/15/45 (a)(b)			1,190		118,450
Series 2014-C24, Class XA, 0.99%, 11/15/47 (a)			26,448		1,810,818
Series 2014-LC14, Class XA, 1.46%, 3/15/47 (a)			23,456		1,932,928
					28,400,540
Total Non-Agency Mortgage-Backed Securities — 8.5%					562,816,587
Other Interests (n)		Beneficial Interest (000)
Capital Markets — 0.0%
Lehman Brothers Holdings Capital Trust VII (e)(o)			1,888		—
Lehman Brothers Holdings, Inc. (e)(o)			7,360		1
Total Other Interests — 0.0%					1
Preferred Securities		Par   (000)
Capital Trusts
Automobiles — 0.1%
Volkswagen International Finance NV, 3.63%, 12/31/45 (a)	EUR		4,725		5,172,595
Banks — 0.4%
Banco Bilbao Vizcaya Argentaria SA:
6.57% (a)(p)			1,800		1,983,983
7.00% (a)(p)			1,400		1,548,623
9.00% (a)(p)	USD		2,800		3,045,000
Banco Popular Espanol SA:
8.25% (a)(p)	EUR		1,800		2,010,247
11.50% (a)(p)			2,100		2,627,766
Banco Santander SA, 6.25% (a)(p)			1,600		1,736,479
Bank of America Corp., 6.25% (a)(p)	USD		3,852		3,907,373
Barclays PLC, 8.00% (a)(p)	EUR		378		451,711
Citigroup, Inc.:
5.80% (a)(p)	USD		1,841		1,845,603
5.88% (a)(p)			3,309		3,342,090

Capital Trusts		Par   (000)		Value
Banks (concluded)
HSH Nordbank AG, 7.25% (a)(p)	USD		1,871	$	611,514
Industrial & Commercial Bank of China Ltd., 6.00% (a)(p)			1,200		1,252,800
JPMorgan Chase & Co., 6.75% (a)(p)			380		412,300
Lloyds Banking Group PLC, 6.38% (a)(p)	EUR		1,266		1,451,649
Swedbank AB, 5.75% (a)(p)	USD		400		400,397
UniCredit SpA, 6.75% (a)(p)	EUR		1,200		1,316,101
					27,943,636
Capital Markets — 0.1%
Credit Suisse Group AG, 6.25% (a)(b)(p)	USD		2,200		2,161,500
State Street Capital Trust IV, 1.24%, 6/01/77 (a)			946		799,370
UBS Group AG:
5.13% (a)(p)	EUR		2,525		2,848,980
7.13% (a)(p)	USD		2,650		2,760,505
					8,570,355
Construction & Engineering — 0.0%
CRCC Yupeng Ltd., 3.95% (a)(p)			1,200		1,231,860
Dianjian Haixing Ltd., 4.05% (a)(p)			200		205,240
					1,437,100
Diversified Financial Services — 0.0%
Far East Horizon Ltd., 5.50% (a)(p)			800		820,960
HBOS Capital Funding LP, 6.85% (p)			346		355,947
					1,176,907
Electric Utilities — 0.2%
Electricite de France SA:
4.25% (a)(p)	EUR		700		815,595
5.00% (a)(p)			1,600		1,974,770
5.88% (a)(p)	GBP		1,500		2,415,112
EnBW Energie Baden-Wuerttemberg AG, 4.00%, 4/02/76	EUR		900		999,689
Enel SpA:
6.50%, 1/10/74 (a)			700		850,512
5.00%, 1/15/75 (a)			1,119		1,317,198
Gas Natural Fenosa Finance BV, 4.13% (a)(p)			2,600		2,970,366
SSE PLC, 4.13% (a)(p)	GBP		950		1,402,787
					12,746,029
Industrial Conglomerates — 0.0%
CITIC Ltd., 8.63% (a)(p)	USD		200		231,500
Insurance — 0.1%
AXA SA, 3.88% (a)(p)	EUR		750		888,344
BNP Paribas Cardif SA, 4.00% (a)(p)			1,100		1,256,846
Credit Agricole Assurances SA, 4.35% (a)(p)			2,700		3,062,837
					5,208,027
Oil, Gas & Consumable Fuels — 0.1%
TOTAL SA:
2.40% (a)(p)	EUR		1,925		2,083,302
2.85% (a)(p)			1,575		1,716,798
					3,800,100
Pharmaceuticals — 0.1%
Bayer AG, 2.63%, 4/02/75 (a)			2,150		2,301,838
Real Estate Management & Development — 0.0%
Deutsche Annington Finance BV, 4.13% (a)(p)			900		1,020,462
Thrifts & Mortgage Finance — 0.0%
Coventry Building Society, 6.38% (a)(p)	GBP		250		365,471
Transportation Infrastructure — 0.0%
Royal Capital BV, 6.38% (a)(p)	USD		550		574,063

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 51

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Capital Trusts		Par   (000)		Value
Wireless Telecommunication Services — 0.1%
Orange SA:
4.25% (a)(p)	EUR		558	$	642,586
5.25% (a)(p)			1,950		2,388,233
Telefonica Europe BV:
4.20% (a)(p)			1,200		1,361,906
5.00% (a)(p)			700		815,448
5.88% (a)(p)			1,600		1,978,452
6.50% (a)(p)			300		362,329
					7,548,954
Total Capital Trusts — 1.2%					78,097,037
Preferred Stocks		Shares
Banks — 0.0%
Royal Bank of Scotland Group PLC, 6.13%			1,919		47,227
Royal Bank of Scotland Group PLC, 6.60%			9,596		240,092
					287,319
Diversified Financial Services — 0.0%
Concrete Investment II SCA, 0.00% (e)			12,471		1,810,268
Media — 0.1%
NBCUniversal Enterprise, Inc., 5.25% (b)(p)			3,770,000		3,996,954
Total Preferred Stocks — 0.1%					6,094,541
Trust Preferreds
Banks — 0.0%
RBS Capital Funding Trust V, Series E, 5.90% (p)			32,000		785,600
Consumer Finance — 0.1%
GMAC Capital Trust I, 8.13%, 2/15/40 (a)			325,000		8,531,250
Diversified Financial Services — 0.2%
Citigroup Capital XIII, 7.88%, 10/30/40			349,440		9,267,149
RBS Capital Funding Trust VII, 6.08% (p)			50,000		1,238,500
					10,505,649
Total Trust Preferreds — 0.3%					19,822,499
Total Preferred Securities — 1.6%					104,014,077
Taxable Municipal Bonds		Par   (000)
Alachua County Health Facilities Authority RB, 5.00%, 12/01/44	USD		6,270		7,013,559
American Municipal Power, Inc. RB, 5.00%, 2/15/34			3,520		3,990,659
Bay Area Toll Authority RB, 5.00%, 10/01/54			4,940		5,532,701
Board of Governors of Colorado State University System RB, 5.00%, 3/01/45 (q)			660		753,621
Buckeye Tobacco Settlement Financing Authority RB, 5.88%, 6/01/47			1,500		1,227,705
California Educational Facilities Authority RB, 5.00%, 10/01/32			1,750		2,279,777
California Statewide Communities Development Authority, 5.50%, 12/01/54			4,000		4,466,680
Casino Reinvestment Development Authority RB, 5.25%, 11/01/44			1,125		1,211,839
Central Texas Turnpike System RB, 5.00%, 8/15/37			1,250		1,382,875
Chicago Board of Education GO, 5.00%, 12/01/42			1,715		1,694,609

Taxable Municipal Bonds		Par   (000)		Value
Chicago Midway International Airport RB, 5.00%, 1/01/41	USD		1,860	$	2,045,070
City of Atlanta, GA Water & Wastewater Revenue RB, 5.00%, 11/01/40			1,300		1,496,651
City of Chicago, IL GO, 5.00%, 1/01/40			3,000		2,970,330
City of Houston, TX Airport System Revenue RB, 5.00%, 7/01/24			700		817,635
City of Portland, OR Sewer System Revenue RB, 5.00%, 10/01/23			655		816,156
Commonwealth of Massachusetts GO, 5.00%, 8/01/25			2,005		2,529,608
Commonwealth of Massachusetts RB, 5.00%, 6/15/26			5,210		6,444,874
Commonwealth of Puerto Rico GO, 8.00%, 7/01/35			7,755		6,369,026
County of Fairfax, VA GO, 5.00%, 10/01/24			3,330		4,216,779
County of Miami-Dade, FL Aviation Revenue RB, 5.00%, 10/01/36			2,145		2,410,530
County of Miami-Dade, FL Aviation Revenue RB, CIFG, 5.00%, 10/01/38			8,770		8,924,703
County of Miami-Dade, FL Transit System Sales Surtax Revenue RB, 5.00%, 7/01/42			750		843,413
County of Miami-Dade, FL Water & Sewer System Revenue RB, 5.00%, 10/01/42			3,000		3,363,900
County of Montgomery, MD GO, 5.00%, 11/01/23			1,300		1,626,703
County of New Castle, DE GO, 5.00%, 10/01/40			1,320		1,578,628
Dallas/Fort Worth International Airport RB:
5.00%, 11/01/42			5,000		5,416,050
Series A, 5.00%, 11/01/43			5,000		5,433,600
5.00%, 11/01/45			4,170		4,543,715
5.00%, 11/01/45			2,650		2,862,424
District of Columbia GO:
5.00%, 6/01/30			835		987,772
5.00%, 6/01/32			2,705		3,175,913
5.00%, 6/01/38			4,740		5,515,274
District of Columbia Water & Sewer Authority RB, 5.00%, 10/01/27			1,155		1,402,459
Fairfax County Industrial Development Authority RB, 5.00%, 5/15/44			3,175		3,632,041
Florida Department of Environmental Protection RB, 5.00%, 7/01/23			450		549,711
Health & Educational Facilities Authority of the State of Missouri RB, 5.00%, 1/01/44			2,270		2,601,965
Illinois Finance Authority RB, 5.00%, 8/01/38			2,920		3,351,226
Kansas Development Finance Authority RB, 5.00%, 6/01/46			955		1,059,372
Las Vegas Valley Water District GO, 5.00%, 6/01/39			5,000		5,792,600
Long Island Power Authority RB, 5.00%, 9/01/44			3,425		3,836,925
Los Angeles Community College District/CA GO, 6.60%, 8/01/42			1,195		1,728,950
Los Angeles Department of Water & Power RB, 5.00%, 7/01/44			625		721,469
Lower Colorado River Authority RB:
5.00%, 5/15/24 (q)			850		1,030,107
5.00%, 5/15/26 (q)			875		1,045,153
5.00%, 5/15/36			980		1,089,544
Maryland Health & Higher Educational Facilities Authority RB:
5.00%, 7/01/20			685		792,100
5.00%, 7/01/21			965		1,128,114
5.00%, 7/01/27			815		954,235
The Massachusetts Clean Water Trust RB, 5.00%, 8/01/25			1,565		1,991,807
Metropolitan Transportation Authority RB:
0.00%, 11/15/30 (i)			1,785		1,079,389
6.67%, 11/15/39			350		491,323

See Consolidated Notes to Financial Statements.

52 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Taxable Municipal Bonds		Par   (000)		Value
6.81%, 11/15/40	USD		860	$	1,222,249
5.25%, 11/15/55			6,820		7,751,407
Metropolitan Washington Airports Authority Dulles Toll Road Revenue RB, 5.00%, 10/01/53			1,390		1,486,230
Miami-Dade County Expressway Authority RB, 5.00%, 7/01/39			2,000		2,260,520
Michigan Finance Authority RB, 5.00%, 6/01/39			840		940,136
Municipal Electric Authority of Georgia RB, 6.64%, 4/01/57			1,035		1,354,049
New Jersey Economic Development Authority RB:
5.00%, 3/01/26			840		924,924
5.00%, 6/15/27			1,160		1,281,278
5.00%, 6/15/29			740		805,993
5.00%, 6/15/30			690		750,416
5.00%, 6/15/31			975		1,054,872
New Jersey Health Care Facilities Financing Authority RB, 5.00%, 7/01/44			680		762,253
New Jersey State Turnpike Authority RB, 7.41%, 1/01/40			1,499		2,255,545
New Jersey Transportation Trust Fund Authority RB:
0.00%, 12/15/38 (i)			690		219,013
5.00%, 6/15/42			5,000		5,326,150
Series B, 5.00%, 6/15/42			835		892,740
New Jersey Transportation Trust Fund Authority RB, AMBAC, 0.00%, 12/15/28 (i)			1,715		931,982
New York City Water & Sewer System RB:
5.38%, 6/15/43			4,410		5,173,636
5.50%, 6/15/43			5,285		6,241,691
5.88%, 6/15/44			1,195		1,620,767
New York State Dormitory Authority RB:
5.00%, 3/15/32			1,380		1,632,181
5.00%, 3/15/36			1,380		1,610,667
5.00%, 3/15/37			1,140		1,314,010
5.00%, 3/15/37			830		968,021
5.00%, 3/15/38			1,240		1,444,067
5.00%, 3/15/39			1,840		2,141,226
5.39%, 3/15/40			1,070		1,365,684
New York State Urban Development Corp. RB:
5.00%, 3/15/23			1,500		1,830,660
5.00%, 3/15/44			1,250		1,431,313
North Carolina Medical Care Commission RB:
5.00%, 6/01/40			1,300		1,465,555
5.00%, 6/01/45			1,300		1,464,359
Orange County Sanitation District RB:
5.00%, 2/01/29			1,250		1,527,287
5.00%, 2/01/34			1,000		1,196,810
Pennsylvania Economic Development Financing Authority RB:
5.00%, 12/31/22			1,055		1,226,015
5.00%, 12/31/38			790		864,710
Philadelphia Authority for Industrial Development RB, 5.00%, 7/01/42			925		1,063,750
Port Authority of New York & New Jersey RB:
5.00%, 10/15/44			2,470		2,774,625
4.96%, 8/01/46			1,970		2,351,589
Private Colleges & Universities Authority RB, 5.00%, 4/01/44			745		820,364
Royal Oak Hospital Finance Authority RB, 5.00%, 9/01/39			2,005		2,238,482
Sales Tax Asset Receivable Corp. RB:
5.00%, 10/15/24			3,890		4,920,772
5.00%, 10/15/25			990		1,242,539

Taxable Municipal Bonds		Par   (000)		Value
5.00%, 10/15/28	USD		2,460	$	3,007,227
5.00%, 10/15/29			1,890		2,304,912
5.00%, 10/15/31			1,005		1,211,367
Salt Verde Financial Corp. RB, 5.00%, 12/01/37			855		998,469
South Carolina State Public Service Authority RB:
5.00%, 12/01/46			5,180		5,862,672
5.00%, 12/01/48			2,090		2,324,038
State of California GO:
5.00%, 10/01/25			1,250		1,535,350
5.00%, 10/01/37			1,180		1,371,715
7.55%, 4/01/39			1,620		2,529,274
7.60%, 11/01/40			3,900		6,257,667
5.00%, 4/01/43			5,000		5,691,300
5.00%, 12/01/43			5,000		5,741,550
5.00%, 10/01/44			2,865		3,304,892
State of Connecticut GO:
5.00%, 9/01/23			2,020		2,463,350
5.00%, 3/01/26			1,140		1,366,894
5.00%, 11/15/29			750		884,843
State of Connecticut Special Tax Revenue RB:
5.00%, 9/01/24			1,205		1,496,321
5.00%, 9/01/33			865		1,009,074
State of Delaware GO, 5.00%, 7/01/22			1,250		1,534,550
State of Illinois GO:
5.00%, 5/01/24			9,335		10,597,745
5.10%, 6/01/33			5,265		5,356,769
State of Maryland GO:
5.00%, 8/01/21			1,705		2,063,186
5.00%, 8/01/22			1,250		1,535,600
5.00%, 8/01/23			1,320		1,645,684
State of Minnesota GO:
5.00%, 8/01/24			1,790		2,252,608
5.00%, 8/01/24			1,425		1,793,277
State of Mississippi GO, 5.00%, 10/01/26			1,260		1,573,085
State of New Jersey GO:
5.00%, 6/01/27			2,565		3,015,260
5.00%, 6/01/32			3,250		3,705,683
State of North Carolina RB, 5.00%, 5/01/27			1,250		1,518,763
State of Texas GO:
5.00%, 10/01/23			1,340		1,663,744
5.00%, 4/01/30			680		808,411
5.00%, 10/01/44			1,250		1,458,700
State of Washington GO:
5.00%, 7/01/31			5,775		6,846,840
5.00%, 7/01/32			3,210		3,793,739
Tobacco Settlement Financing Corp./NJ RB, 5.00%, 6/01/41			1,795		1,376,711
University of Arizona RB, 5.00%, 8/01/39			1,285		1,470,297
University of California RB, 4.86%, 5/15/2112			910		981,389
University of Kentucky RB:
5.00%, 10/01/21 (q)			500		600,875
5.00%, 10/01/27 (q)			2,610		3,195,188
University of Massachusetts Building Authority RB, 5.00%, 11/01/44			11,655		13,520,499
University of North Carolina at Chapel Hill RB, 3.85%, 12/01/34			1,385		1,478,737
University of Virginia RB:
5.00%, 8/01/21 (q)			615		745,441
5.00%, 4/01/45 (q)			1,475		1,753,495
Utah Transit Authority RB, 5.00%, 6/15/24			1,250		1,561,013
Victor Valley Community College District GO, 0.00%, 8/01/38 (i)			4,585		1,783,427

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 53

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Taxable Municipal Bonds		Par   (000)		Value
Washington Health Care Facilities Authority RB, 5.00%, 10/01/38	USD		3,420	$	3,917,849
Wisconsin Health & Educational Facilities Authority RB, 5.00%, 8/15/39			1,250		1,394,437
Total Taxable Municipal Bonds — 5.3%					352,675,723
U.S. Government Sponsored Agency Securities
Agency Obligations — 0.3%
Fannie Mae, 6.63%, 11/15/30 (r)			1,450		2,182,385
Freddie Mac:
3.75%, 3/27/19			3,650		4,005,167
4.38%, 7/17/15			7,950		8,048,771
4.88%, 6/13/18			4,300		4,825,047
					19,061,370
Collateralized Mortgage Obligations — 0.1%
Fannie Mae:
Series 2005-48, Class AR, 5.50%, 2/25/35			15		15,806
Series 2013-C01, Class M2, 5.41%, 10/25/23 (a)			5,505		6,017,692
Series 2014-C01, Class M2, 4.57%, 1/25/24 (a)			2,112		2,192,554
					8,226,052
Commercial Mortgage-Backed Securities — 0.2%
Fannie Mae:
Series 2006-M2, Class A2A, 5.27%, 10/25/32 (a)			3,577		4,188,949
Series 2014-M13, Class A2, 3.02%, 8/25/24 (a)			950		984,830
Series 2015-M3, Class A2, 2.72%, 10/25/24			5,000		5,087,000
Freddie Mac:
Series K037, Class A2, 3.49%, 1/25/24			945		1,024,857
Series K041, Class A2, 3.17%, 10/25/24			2,000		2,116,786
					13,402,422
Interest Only Collateralized Mortgage Obligations — 0.1%
Freddie Mac:
Series 4307, Class SE, 5.93%, 9/15/36 (a)			2,314		400,026
Series 4320, Class SD, 5.93%, 7/15/39 (a)			3,808		644,387
Ginnie Mae:
Series 2009-121, Class UI, 5.00%, 12/20/39			1,574		280,730
Series 2010-20, Class SE, 6.07%, 2/20/40 (a)			1,648		278,025
Series 2010-35, Class UI, 5.00%, 3/20/40			1,334		238,301
Series 2010-45, Class SA, 5.67%, 4/20/40 (a)			988		145,589
Series 2010-50, Class LS, 6.32%, 4/20/40 (a)			984		166,742
Series 2010-9, Class UI, 5.00%, 1/20/40			5,776		1,073,125
Series 2013-103, Class IO, 5.00%, 6/20/43			1,991		342,091
Series 2013-106, Class DS, 6.02%, 2/20/43 (a)			1,542		225,777
Series 2013-111, Class SA, 6.52%, 7/20/43 (a)			3,802		700,781

U.S. Government Sponsored Agency Securities		Par   (000)		Value
Interest Only Collateralized Mortgage Obligations (concluded)
Series 2013-113, Class SA, 6.52%, 8/20/43 (a)	USD		2,336	$	423,909
Series 2013-134, Class DS, 5.92%, 9/20/43 (a)			1,899		257,458
Series 2013-147, Class SD, 6.47%, 12/20/39 (a)			2,375		359,862
Series 2013-148, Class SA, 6.02%, 10/20/43 (a)			7,590		1,216,368
Series 2013-167, Class SG, 5.97%, 11/20/43 (a)			3,148		481,324
Series 2013-54, Class LI, 5.00%, 2/20/43			1,228		127,660
Series 2014-180, Class IO, 5.00%, 12/20/44			3,225		580,145
Series 2014-182, Class KI, 5.00%, 10/20/44			850		146,482
Series 2015-14, Class IO, 5.00%, 10/20/44			2,891		536,023
					8,624,805
Interest Only Commercial Mortgage-Backed Securities — 0.2%
Fannie Mae:
Series 2013-M5, Class X2, 2.48%, 1/25/22 (a)			12,585		1,359,067
Series 2014-M13, Class X2, 0.24%, 2/25/24 (a)			127,014		1,588,688
Series 2015-M4, Class X2, 0.68%, 7/25/22			44,320		1,494,324
Freddie Mac, Series K038, Class X1, 1.20%, 3/25/24 (a)			33,915		2,901,908
Ginnie Mae:
Series 2012-120, Class IO, 0.95%, 2/16/53 (a)			22,065		1,560,120
Series 2014-40, Class AI, 1.00%, 2/16/39			18,608		581,501
Series 2014-52, Class AI, 0.83%, 8/16/41			11,744		336,696
					9,822,304
Mortgage-Backed Securities — 70.8%
Fannie Mae Mortgage-Backed Securities:
2.23%, 10/01/42 (a)			3,544		3,698,396
2.50%, 4/01/30 (s)			64,600		66,294,872
3.00%, 1/01/29-4/01/45 (s)			449,592		466,140,677
3.18%, 12/01/40 (a)			2,989		3,159,763
3.50%, 12/01/25-4/01/45 (s)			380,062		402,242,772
4.00%, 1/01/25-4/01/45 (s)			652,534		697,793,220
4.50%, 2/01/25-4/01/45 (s)			970,684		1,059,097,701
5.00%, 5/01/23-4/01/45 (s)			241,925		269,616,790
5.50%, 12/01/32-4/01/45 (s)			56,993		64,291,952
6.00%, 2/01/34-4/01/45 (s)			44,235		50,545,855
6.50%, 5/01/40			9,013		10,347,966
Freddie Mac Mortgage-Backed Securities:
2.50%, 4/01/30 (s)			37,800		38,756,813
2.92%, 6/01/42 (a)			3,815		3,977,027
3.00%, 4/01/30-4/01/45 (s)			97,641		100,434,835
3.50%, 4/01/30-4/01/45 (s)			161,192		169,093,932
4.00%, 4/01/30-4/01/45 (s)			162,819		173,955,988
4.50%, 2/01/39-4/01/45 (s)			73,112		79,653,846
5.00%, 7/01/35-10/01/41			30,519		33,924,214
5.50%, 10/01/39-4/01/45 (s)			16,177		18,142,174
6.00%, 4/01/45 (s)			15,600		17,743,781
Ginnie Mae Mortgage-Backed Securities:
1.75%, 5/20/34 (a)			968		1,002,699
3.00%, 4/15/45 (s)			87,300		89,855,318
3.50%, 2/15/42-4/15/45 (s)			145,688		153,731,040

See Consolidated Notes to Financial Statements.

54 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

U.S. Government Sponsored Agency Securities		Par   (000)		Value
Mortgage-Backed Securities (concluded)
4.00%, 9/20/40-4/15/45 (s)	USD		584,438	$	624,476,497
4.50%, 5/20/41-4/15/45			64,003		70,112,412
5.00%, 12/15/38-4/15/45			25,480		28,435,095
5.50%, 4/15/45 (s)			5,800		6,418,063
					4,702,943,698
Total U.S. Government Sponsored Agency Securities — 71.7%					4,762,080,651
U.S. Treasury Obligations
U.S. Treasury Bonds:
4.75%, 2/15/37			8,629		12,142,625
2.50%, 2/15/45			227,062		224,968,914
U.S. Treasury Inflation Indexed Bonds:
0.75%, 2/15/42-2/15/45 (j)			15,410		15,601,778
1.38%, 2/15/44 (l)			18,250		21,450,551
U.S. Treasury Inflation Indexed Notes:
0.13%, 7/15/24			3,893		3,953,454
0.25%, 1/15/25 (l)			27,721		27,911,479
U.S. Treasury Notes:
0.50%, 3/31/17 (k)			329,215		328,854,921
1.00%, 3/15/18 (k)			459,485		461,172,626
1.63%, 4/30/19 (l)			19,620		19,944,946
1.38%, 3/31/20 (k)			520,345		520,345,000
1.75%, 2/28/22-3/31/22			232,061		232,682,842
2.25%, 11/15/24			16,398		16,857,606
2.00%, 2/15/25 (k)			40,706		40,963,386
U.S. Treasury Strips, 0.00%, 5/15/36 (k)			14,105		8,257,532
Total U.S. Treasury Obligations — 29.1%					1,935,107,660
Total Long-Term Investments (Cost — $10,744,646,941) — 162.5%					10,799,668,581
Short-Term Securities
Borrowed Bond Agreements — 1.6% (t)
Barclays Bank PLC, (0.30)%, Open (u) (Purchased on 12/17/14 to be repurchased at EUR 3,369,516, collateralized by Buoni Poliennali Del Tesoro, 4.50% due at 3/01/26, par and fair value of EUR 2,600,000 and $3,688,845, respectively)	EUR		3,372		3,626,200
Barclays Capital, Inc., (0.25)%, Open (u) (Purchased on 3/31/15 to be repurchased at $2,785,981, collateralized by Rio Tinto Finance USA PLC, 4.13% due at 8/21/42, par and fair value of USD 2,800,000 and $2,757,695, respectively)	USD		2,786		2,786,000
Barclays Capital, Inc., (0.15)%, Open (u) (Purchased on 3/23/15 to be repurchased at $940,465, collateralized by United Rentals North America, Inc., 5.75% due at 11/15/24, par and fair value of USD 900,000 and $929,250, respectively)			941		940,500
Barclays Capital, Inc., (0.10)%, Open (u) (Purchased on 2/02/15 to be repurchased at $2,051,989, collateralized by Chesapeake Energy Corp., 4.88% due at 4/15/22, par and fair value of USD 2,032,000 and $1,905,000, respectively)			2,052		2,052,320

Short-Term Securities		Par   (000)		Value
Borrowed Bond Agreements (continued)
Citigroup Global Markets, Inc., (0.75)%, Open (u) (Purchased on 3/19/15 to be repurchased at $4,173,869, collateralized by AT&T Inc., 3.90% due at 3/11/24, par and fair value of USD 4,000,000 and $4,186,080, respectively)	USD		4,175	$	4,175,000
Citigroup Global Markets, Inc., (0.25)%, Open (u) (Purchased on 3/04/15 to be repurchased at $995,338, collateralized by T-Mobile USA, Inc., 6.84% due at 4/28/23, par and fair value of USD 925,000 and $973,563, respectively)			996		995,531
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 1/13/15 to be repurchased at $1,039,775, collateralized by Iron Mountain, Inc., 5.75% due at 8/15/24, par and fair value of USD 1,000,000 and $1,012,500, respectively)			1,040		1,040,000
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 1/16/15 to be repurchased at $2,803,116, collateralized by Calpine Corp., 5.88% due at 1/15/24, par and fair value of USD 2,645,000 and $2,857,923, respectively)			2,804		2,803,700
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 2/17/15 to be repurchased at $2,591,878, collateralized by Virgin Media Finance PLC, 6.38% due at 4/15/23, par and fair value of USD 2,370,000 and $2,524,050, respectively)			2,592		2,592,187
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 3/13/15 to be repurchased at $2,828,101, collateralized by ConocoPhillips Co., 4.30% due at 11/15/44, par and fair value of USD 2,700,000 and $2,865,745, respectively)			2,828		2,828,250
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 3/31/15 to be repurchased at $1,231,497, collateralized by CBS Corp., 4.60% due at 1/15/45, par and fair value of USD 1,200,000 and $1,221,632, respectively)			1,232		1,231,500
Citigroup Global Markets, Inc., (0.10)%, Open (u) (Purchased on 3/31/15 to be repurchased at $2,741,992, collateralized by BHP Billiton Finance USA Ltd., 5.00% due at 9/30/43, par and fair value of USD 2,400,000 and $2,748,487, respectively)			2,742		2,742,000
Citigroup Global Markets, Inc., 0.00%, 04/07/15 (Purchased on 3/30/15 to be repurchased at $33,872,504, collateralized by U.S. Treasury Bonds, 6.25% due at 5/15/30, par and fair value of USD 22,013,000 and $33,459,760, respectively)			33,873		33,872,504
Deutsche Bank Securities, Inc., 0.04%, Open (u) (Purchased on 3/30/15 to be repurchased at $148,405, collateralized by U.S. Treasury Bonds, 3.00% due at 11/15/44, par and fair value of USD 134,000 and $146,824, respectively)			148		148,405
Deutsche Bank Securities, Inc., 0.15%, 05/21/15 (Purchased on 2/19/15 to be repurchased at $8,129,645, collateralized by U.S. Treasury Strips, 0.00% due at 2/15/36, par and fair value of USD 13,601,000 and $8,204,504, respectively)			8,127		8,126,598

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 55

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Short-Term Securities		Par   (000)		Value
Borrowed Bond Agreements (concluded)
Deutsche Bank Securities, Inc., 0.17%, Open (u) (Purchased on 3/17/15 to be repurchased at $13,529,493, collateralized by U.S. Treasury Bonds, 3.63% due at 2/15/44, par and fair value of USD 11,227,000 and $13,726,657, respectively)	USD		13,529	$	13,528,535
J.P. Morgan Securities LLC, 0.20%, Open (u) (Purchased on 3/12/15 to be repurchased at $18,447,043, collateralized by U.S. Treasury Inflation Indexed Notes, 0.13% due at 4/15/19, par and fair value of USD 18,285,000 and $18,577,751, respectively)			18,445		18,444,994
JPMorgan Chase Bank N.A., (0.18)%, Open (u) (Purchased on 12/16/14 to be repurchased at EUR 473,269, collateralized by Bundesrepublik Deutschland, 2.50% due at 1/04/21, par and fair value of EUR 404,000 and $499,016, respectively)	EUR		474		509,145
JPMorgan Chase Bank N.A., (0.18)%, Open (u) (Purchased on 12/16/14 to be repurchased at EUR 931,718, collateralized by Bundesrepublik Deutschland, 0.75% due at 2/24/17, par and fair value of EUR 906,000 and $992,594, respectively)			932		1,002,347
RBC Capital Markets, LLC, (0.40)%, Open (u) (Purchased on 3/09/15 to be repurchased at $411,330, collateralized by ArcelorMittal, 6.50% due at 2/25/22, par and fair value of USD 369,000 and $404,055, respectively)	USD		411		411,435
RBC Capital Markets, LLC, (0.10)%, Open (u) (Purchased on 1/26/15 to be repurchased at $1,171,292, collateralized by CIT Group, Inc., 5.00% due at 8/01/23, par and fair value of USD 1,100,000 and $1,127,500, respectively)			1,172		1,171,500
RBC Capital Markets, LLC, (0.10)%, Open (u) (Purchased on 12/24/14 to be repurchased at $994,735, collateralized by Apache Corp., 4.75% due at 4/15/43, par and fair value of USD 1,000,000 and $1,045,158, respectively)			995		995,000
RBC Capital Markets, LLC, (0.10)%, Open (u) (Purchased on 3/11/15 to be repurchased at $1,988,884, collateralized by Nova Chemicals Corp., 5.25% due at 8/01/23, par and fair value of USD 1,872,000 and $1,956,240, respectively)			1,989		1,989,000
					108,012,651
		Shares
Mutual Funds — 0.2%
BlackRock Liquidity Funds, TempFund, Institutional Class, 0.06% (m)(v)			12,866,608		12,866,608
Total Short-Term Securities (Cost — $121,625,045) — 1.8%					120,879,259
Options Purchased
(Cost — $26,653,717) — 0.5%					32,024,009
Total Investments Before TBA Sale Commitments, Options Written and Borrowed Bonds
(Cost — $10,892,925,703) — 164.8%					10,952,571,849

TBA Sale Commitments (s)		Par   (000)		Value
Fannie Mae Mortgage-Backed Securities:
2.50%, 4/01/30	USD		28,000	$	(28,756,874	)
3.00%, 4/01/30-4/01/45			215,125		(223,618,063	)
3.50%, 4/01/30-4/01/45			149,000		(157,309,958	)
4.00%, 4/01/30-4/01/45			477,875		(510,920,840	)
4.50%, 4/01/45			697,100		(759,698,662	)
5.00%, 4/01/45			195,900		(217,714,733	)
5.50%, 4/01/45			7,000		(7,876,899	)
6.00%, 4/01/45			12,200		(13,917,528	)
Freddie Mac Mortgage-Backed Securities:
3.50%, 4/01/45			52,000		(54,497,425	)
4.00%, 4/01/45			63,300		(67,612,961	)
4.50%, 4/01/45			25,200		(27,442,407	)
5.00%, 4/01/45			9,400		(10,423,718	)
5.50%, 4/01/45			3,400		(3,814,906	)
6.00%, 4/01/45			7,800		(8,874,023	)
Ginnie Mae Mortgage-Backed Securities:
3.00%, 4/15/45			8,700		(8,958,109	)
3.50%, 4/15/45			104,900		(110,384,320	)
4.00%, 4/15/45			498,900		(531,495,846	)
Total TBA Sale Commitments (Proceeds — $2,731,349,440) — (41.3)%					(2,743,317,272	)
Options Written
(Premiums Received — $20,097,434) — (0.4)%					(24,917,981	)
Borrowed Bonds		Par   (000)		Value
Corporate Bonds — (0.4)%
Apache Corp., 4.75%, 4/15/43	USD		1,000		(1,045,158	)
ArcelorMittal, 6.50%, 2/25/22			369		(404,055	)
AT&T Inc., 3.90%, 3/11/24			4,000		(4,186,080	)
BHP Billiton Finance USA Ltd., 5.00%, 9/30/43			2,400		(2,748,487	)
Calpine Corp., 5.88%, 1/15/24 (b)			2,645		(2,857,923	)
CBS Corp., 4.60%, 1/15/45			1,200		(1,221,632	)
Chesapeake Energy Corp., 4.88%, 4/15/22			2,032		(1,905,000	)
CIT Group, Inc., 5.00%, 8/01/23			1,100		(1,127,500	)
ConocoPhillips Co., 4.30%, 11/15/44			2,700		(2,865,745	)
Iron Mountain, Inc., 5.75%, 8/15/24			1,000		(1,012,500	)
Nova Chemicals Corp., 5.25%, 8/01/23 (b)			1,872		(1,956,240	)
Rio Tinto Finance USA PLC, 4.13%, 8/21/42			2,800		(2,757,695	)
T-Mobile USA, Inc., 6.84%, 4/28/23			925		(973,563	)
United Rentals North America, Inc., 5.75%, 11/15/24			900		(929,250	)
Virgin Media Finance PLC, 6.38%, 4/15/23 (b)			2,370		(2,524,050	)
					(28,514,878	)

See Consolidated Notes to Financial Statements.

56 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued)	Master Total Return Portfolio
	(Percentages shown are based on Net Assets)

Borrowed Bonds		Par   (000)		Value
Foreign Government Obligations — (0.1)%
Bundesrepublik Deutschland,
0.75%, 2/24/17	EUR		906	$	(992,594	)
2.50%, 1/04/21			404		(499,016	)
Buoni Poliennali Del Tesoro, 4.50%, 3/01/26			2,600		(3,688,845	)
					(5,180,455	)
U.S. Treasury Obligations — (1.1)%
U.S. Treasury Bonds,
6.25%, 5/15/30	USD		22,013		(33,459,760	)
3.63%, 2/15/44			11,227		(13,726,657	)
3.00%, 11/15/44			134		(146,824	)
U.S. Treasury Inflation Indexed Notes, 0.13%, 4/15/19	USD		18,285		(18,577,751	)

Borrowed Bonds		Par   (000)		Value
U.S. Treasury Obligations (concluded)
U.S. Treasury Strips, 0.00%, 2/15/36	USD		13,601	$	(8,204,504	)
					(74,115,496	)
Total Borrowed Bonds (Proceeds — $107,498,813) — (1.6)%					(107,810,829	)
Total Investments Net of TBA Sale Commitments, Options Written and Borrowed Bonds — 121.5%					8,076,525,767
Liabilities in Excess of Other Assets — (21.5)%					(1,430,828,903	)
Net Assets — 100.0%				$	6,645,696,864

Notes to Consolidated Schedule of Investments

(a) Variable rate security. Rate shown is as of report date.

(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) Represents a step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate shown is as of report date.

(d) All or a portion of security has been pledged and/or segregated as collateral in connection with outstanding options written.

(e) Non-income producing security.

(f) Stapled Security — A security contractually bound to one or more other securities to form a single saleable unit which cannot be sold separately.

(g) Convertible security.

(h) Represents a payment-in-kind security which may pay interest/dividends in additional par/shares and/or in cash. Rates shown are the current rate and possible payment rates.

(i) Zero-coupon bond.

(j) All or a portion of security has been pledged as collateral in connection with outstanding borrowed bonds.

(k) All or a portion of security has been pledged as collateral in connection with outstanding reverse repurchase agreements.

(l) All or a portion of security has been pledged as collateral in connection with outstanding OTC derivatives.

(m) During the six months ended March 31, 2015, investments in issuers considered to be an affiliate of the Master Portfolio for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

Affiliate	Par/Shares Held at September 30, 2014		Par/Shares Purchased			Par/Shares Sold		Par/Shares Held at March 31, 2015		Value at March 31, 2015		Income		Realized Gain
BlackRock Capital Finance LP, Series 1997-R2, Class AP		7,197		—			—		7,237	$	7,089	$	48		—
BlackRock Liquidity Funds, TempFund, Institutional Class		12,191,454		675,154	1		—		12,866,608	$	12,866,608	$	8,560	$	1,154

¹  Represents net shares purchased.

(n) Other interests represent beneficial interests in liquidation trusts and other reorganization or private entities.

(o) Issuer filed for bankruptcy and/or is in default of interest payments.

(p) Security is perpetual in nature and has no stated maturity date.

(q) When-issued security. Unsettled when-issued transactions were as follows:

Counterparty	Value		Unrealized Appreciation (Depreciation)
RBC Capital Markets, LLC	$	753,621	$	20
Merrill Lynch, Pierce, Fenner & Smith Inc.	$	1,030,107	$	11,101
Merrill Lynch, Pierce, Fenner & Smith Inc.	$	1,045,153	$	(3,342	)
Morgan Stanley & Co. LLC	$	600,875	$	(1,375	)
Morgan Stanley & Co. LLC	$	3,195,188	$	(2,454	)
Wells Fargo Securities, LLC	$	1,753,495	$	25,695
Wells Fargo Securities, LLC	$	745,441	$	(1,231	)

(r) All or a portion of security has been pledged as collateral in connection with outstanding TBA commitments.

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 57

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

(s) Represents or includes a TBA transaction. As of March 31, 2015 , unsettled TBA transactions were as follows:

Counterparty	Value			Unrealized Appreciation (Depreciation)
Barclays Capital, Inc.	$	55,652,218		$	189,749
BB&T Securities LLC	$	(1,176,141	)	$	(4,391	)
BNP Paribas Securities Corp.	$	17,999,492		$	83,946
Citigroup Global Markets, Inc.	$	18,866,945		$	85,831
Credit Suisse Securities (USA) LLC	$	257,566,134		$	1,083,543
Deutsche Bank Securities, Inc.	$	(23,193,996	)	$	(493,892	)
Goldman Sachs & Co.	$	66,025,658		$	145,189
J.P. Morgan Securities LLC	$	312,041,244		$	1,924,986
Merrill Lynch, Pierce, Fenner & Smith, Inc.	$	(125,576,452	)	$	(715,098	)
Morgan Stanley & Co. LLC	$	(41,984,249	)	$	(30,820	)
Nomura Securities International, Inc.	$	(103,929,782	)	$	(199,732	)
RBC Capital Markets, LLC	$	(521,858	)	$	(20,451	)
SG Americas Securities LLC	$	(4,464,836	)	$	(16,336	)
Wells Fargo Securities, LLC	$	24,227,324		$	124,617

(t) Certain agreements have no stated maturity and can be terminated by either party at any time.

(u) The amount to be repurchased assumes the maturity will be the day after the report date.

(v) Represents the current yield as of report date.

• For Master Portfolio compliance purposes, the Master Portfolio’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by the investment advisor. These definitions may not apply for purposes of this report, which may combine such industry sub-classifications for reporting ease.

• As of March 31, 2015, reverse repurchase agreements outstanding were as follows:

Counterparty	Interest Rate			Trade Date	Maturity Date1	Face Value		Face Value Including Accrued Interest
Deutsche Bank Securities, Inc.		0.22	%	2/19/15	5/21/15	$	7,969,325	$	7,971,273
Barclays Capital, Inc.		(3.25	%)	3/02/15	Open		1,231,333		1,228,109
Bank of Montreal		0.24	%	3/31/15	Open		249,687,500		249,689,164
Credit Suisse Securities (USA) LLC		0.00	%	3/31/15	4/01/15		66,705,117		66,705,117
J.P. Morgan Securities LLC		0.12	%	3/31/15	4/01/15		451,687,500		451,689,006
Merrill Lynch, Pierce, Fenner & Smith, Inc.		0.48	%	3/31/15	4/01/15		339,575,000		339,579,528
Total						$	1,116,855,775	$	1,116,862,197

¹  Certain agreements have no stated maturity and can be terminated by either party at any time.

• As of March 31, 2015, financial futures contracts outstanding were as follows:

Contracts Long/(Short)			Issue	Exchange	Expiration		Notional Value		Unrealized Appreciation (Depreciation)
	81		CBOE Volatility Index	Chicago Board Options	April 2015	USD		1,318,275	$	44,896
	18		SGX CNX Nifty Index	Singapore	April 2015	USD		307,404		(470	)
	113		CBOE Volatility Index	Chicago Board Options	May 2015	USD		2,014,225		12,636
	408		Canadian Bankers Acceptance	Montreal	June 2015	USD		79,796,850		318,916
	(81	)	CBOE Volatility Index	Chicago Board Options	June 2015	USD		1,484,325		(33,191	)
	(160	)	E-Mini S&P 500 Futures	Chicago Mercantile	June 2015	USD		16,486,400		96,964
	(37	)	Euro Currency Futures	Chicago Mercantile	June 2015	USD		4,973,725		(66,426	)
	82		Euro STOXX 50 Index	Eurex	June 2015	USD		3,201,458		24,376
	(192	)	Euro STOXX Banks Index	Eurex	June 2015	USD		1,606,159		(60,217	)
	(829	)	Euro-Bobl	Eurex	June 2015	USD		115,371,143		(203,962	)
	487		Euro-Bobl 4.5 to 5.5-Year Bond Futures Put Options, Strike Price EUR 128.75	Eurex	June 2015	USD		41,892		(37,037	)
	(67	)	Euro-BTP Italian Government Bond Futures	Eurex	June 2015	USD		10,127,589		(36,906	)
	(477	)	Euro-Bund	Eurex	June 2015	USD		81,426,765		(538,666	)
	197		Euro-Bund 8.5 to 10.5-Year Bond Futures Put Options, Strike Price EUR 156	Eurex	June 2015	USD		46,601		(93,357	)
	(15	)	Euro-Buxl	Eurex	June 2015	USD		2,841,229		(167,686	)
	(241	)	Euro-Schatz	Eurex	June 2015	USD		28,822,203		(22,158	)
	(43	)	Japanese Yen Currency Futures	Chicago Mercantile	June 2015	USD		4,485,975		(55,698	)
	(38	)	Long Gilt British	NYSE Liffe	June 2015	USD		6,806,549		(128,757	)

See Consolidated Notes to Financial Statements.

58 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, financial futures contracts outstanding were as follows: (concluded)

Contracts Long/(Short)			Issue	Exchange	Expiration		Notional Value		Unrealized Appreciation (Depreciation)
	1,191		U.S. Treasury Bonds (30 Year)	Chicago Board of Trade	June 2015	USD		195,175,125	$	2,968,668
	(253	)	U.S. Treasury Notes (10 Year)	Chicago Board of Trade	June 2015	USD		32,613,281		(92,980	)
	1,658		U.S. Treasury Notes (2 Year)	Chicago Board of Trade	June 2015	USD		363,361,062		929,636
	198		U.S. Treasury Notes (5 Year)	Chicago Board of Trade	June 2015	USD		23,801,766		(1,603	)
	(123	)	U.S. Ultra Treasury Bonds	Chicago Board of Trade	June 2015	USD		20,894,625		(333,892	)
	716		Canadian Bankers Acceptance	Montreal	September 2015	USD		140,141,645		4,712
	81		Three Month Sterling	NYSE Liffe	December 2015	USD		14,920,226		(1,591	)
	(604	)	Canadian Bankers Acceptance	Montreal	March 2016	USD		118,267,735		(52,416	)
	(686	)	Euro Dollar Futures	Chicago Mercantile	March 2016	USD		170,059,400		(328,745	)
	81		Three Month Sterling	NYSE Liffe	March 2016	USD		14,905,207		(89	)
	(191	)	Canadian Bankers Acceptance	Montreal	June 2016	USD		37,380,384		(359,829	)
	(526	)	Euro Dollar Futures	Chicago Mercantile	June 2016	USD		130,145,550		(201,805	)
	(217	)	Canadian Bankers Acceptance	Montreal	September 2016	USD		42,438,830		(371,525	)
	(247	)	Euro Dollar Futures	Chicago Mercantile	September 2016	USD		60,993,562		(150,089	)
	(1,189	)	Euro Dollar Futures	Chicago Mercantile	December 2016	USD		293,073,637		(777,636	)
	(81	)	Three Month Sterling	NYSE Liffe	December 2016	USD		14,851,137		2,915
	1,240		3-month EURIBOR	NYSE Liffe	December 2016	USD		333,259,500		245,495
	(187	)	Euro Dollar Futures	Chicago Mercantile	March 2017	USD		46,025,375		(123,592	)
	(81	)	Three Month Sterling	NYSE Liffe	March 2017	USD		14,837,620		690
	(49	)	Euro Dollar Futures	Chicago Mercantile	June 2017	USD		12,042,975		(679	)
	(49	)	Euro Dollar Futures	Chicago Mercantile	September 2017	USD		12,028,275		(26,184	)
	(49	)	Euro Dollar Futures	Chicago Mercantile	December 2017	USD		12,014,187		(41,287	)
	(1,240	)	3-month EURIBOR	NYSE Liffe	December 2017	USD		332,776,177		(287,867	)
	(49	)	Euro Dollar Futures	Chicago Mercantile	March 2018	USD		12,003,775		(25,094	)
	Total								$	28,470

• As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows:

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
BRL	2,384,888		USD	731,000	BNP Paribas S.A.		4/02/15	$	15,854
BRL	2,566,465		USD	825,230	Credit Suisse International		4/02/15		(21,513	)
BRL	2,739,799		USD	878,000	Credit Suisse International		4/02/15		(20,001	)
BRL	2,417,783		USD	731,000	Deutsche Bank AG		4/02/15		26,156
BRL	2,738,043		USD	878,000	Deutsche Bank AG		4/02/15		(20,551	)
BRL	2,751,213		USD	878,000	Deutsche Bank AG		4/02/15		(16,427	)
BRL	2,380,895		USD	730,000	Goldman Sachs International		4/02/15		15,604
BRL	2,565,162		USD	804,000	Goldman Sachs International		4/02/15		(691	)
BRL	2,795,991		USD	878,000	Goldman Sachs International		4/02/15		(2,404	)
BRL	2,668,381		USD	825,230	Royal Bank of Scotland PLC		4/02/15		10,404

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 59

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (continued)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
BRL	2,840,330		USD	878,000	UBS AG		4/02/15	$	11,481
IDR	28,066,860,000		USD	2,169,000	Royal Bank of Scotland PLC		4/02/15		(23,380	)
IDR	57,348,000,000		USD	4,320,000	Standard Chartered Bank		4/02/15		64,068
USD	731,000		BRL	2,399,508	Citibank N.A.		4/02/15		(20,433	)
USD	878,000		BRL	2,667,364	Deutsche Bank AG		4/02/15		42,685
USD	1,097,000		BRL	3,308,552	Deutsche Bank AG		4/02/15		60,890
USD	878,000		BRL	2,647,609	Goldman Sachs International		4/02/15		48,871
USD	878,000		BRL	2,755,164	Goldman Sachs International		4/02/15		15,189
USD	878,000		BRL	2,771,846	Goldman Sachs International		4/02/15		9,965
USD	1,097,000		BRL	3,361,757	Goldman Sachs International		4/02/15		44,228
USD	731,000		BRL	2,411,935	HSBC Bank PLC		4/02/15		(24,324	)
USD	730,000		BRL	2,377,245	Morgan Stanley Capital Services LLC		4/02/15		(14,461	)
USD	1,097,000		BRL	3,542,762	Morgan Stanley Capital Services LLC		4/02/15		(12,456	)
USD	41,460		BRL	131,615	Royal Bank of Scotland PLC		4/02/15		243
COP	2,361,540,870		USD	897,000	Credit Suisse International		4/06/15		10,592
USD	897,000		COP	2,302,150,500	Morgan Stanley & Co. International PLC		4/06/15		12,233
EUR	300,000		USD	326,335	UBS AG		4/07/15		(3,729	)
TRY	6,917,750		USD	2,775,365	BNP Paribas S.A.		4/07/15		(118,989	)
TRY	8,293,207		USD	3,194,276	BNP Paribas S.A.		4/07/15		(9,733	)
TRY	32,390,000		USD	12,241,581	Deutsche Bank AG		4/07/15		195,992
TRY	7,539,578		USD	2,891,000	Royal Bank of Canada		4/07/15		4,154
USD	2,276,299		MXN	34,628,045	BNP Paribas S.A.		4/07/15		7,212
USD	1,811,901		MXN	27,027,247	JPMorgan Chase Bank N.A.		4/07/15		40,875
USD	13,089,513		TRY	32,390,000	Deutsche Bank AG		4/07/15		651,939
MXN	5,965,721		USD	398,400	Deutsche Bank AG		4/08/15		(7,508	)
MXN	21,810,920		USD	1,465,000	JPMorgan Chase Bank N.A.		4/08/15		(35,883	)
MXN	43,502,199		USD	2,905,600	Morgan Stanley Capital Services LLC		4/08/15		(55,206	)
USD	908,000		ZAR	10,892,200	Barclays Bank PLC		4/08/15		11,224
USD	624,000		ZAR	7,579,542	BNP Paribas S.A.		4/08/15		(38	)
ZAR	3,917,099		USD	321,000	BNP Paribas S.A.		4/08/15		1,502
ZAR	5,542,126		USD	462,500	BNP Paribas S.A.		4/08/15		(6,206	)
ZAR	15,123,682		USD	1,273,000	Royal Bank of Scotland PLC		4/08/15		(27,839	)
IDR	5,722,476,431		USD	438,168	Standard Chartered Bank		4/09/15		(1,405	)
IDR	84,746,340,000		USD	6,489,000	Standard Chartered Bank		4/09/15		(20,801	)
KRW	815,878,800		USD	726,000	JPMorgan Chase Bank N.A.		4/09/15		9,162
KRW	815,334,300		USD	726,000	Standard Chartered Bank		4/09/15		8,671
MYR	5,429,193		USD	1,463,000	Standard Chartered Bank		4/09/15		1,687
USD	1,452,000		KRW	1,602,282,000	JPMorgan Chase Bank N.A.		4/09/15		8,236
USD	3,167,000		MYR	11,531,680	Royal Bank of Scotland PLC		4/09/15		55,984
EUR	1,884,000		USD	2,024,081	Citibank N.A.		4/13/15		2,050
TRY	3,792,370		USD	1,494,000	BNP Paribas S.A.		4/13/15		(40,315	)
TRY	26,480,000		USD	10,401,854	Deutsche Bank AG		4/13/15		(251,581	)
USD	597,600		TRY	1,520,055	BNP Paribas S.A.		4/13/15		14,935
USD	10,566,218		TRY	26,480,000	Deutsche Bank AG		4/13/15		415,946
USD	896,400		TRY	2,280,352	Goldman Sachs International		4/13/15		22,299
USD	3,675,000		ZAR	45,195,260	Barclays Bank PLC		4/13/15		(42,767	)
USD	929,000		ZAR	11,435,340	BNP Paribas S.A.		4/13/15		(11,672	)
USD	1,211,000		ZAR	15,118,003	BNP Paribas S.A.		4/13/15		(32,609	)
USD	4,035,200		ZAR	49,766,041	Royal Bank of Scotland PLC		4/13/15		(58,560	)

See Consolidated Notes to Financial Statements.

60 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (continued)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
ZAR	3,576,283		USD	302,667	Barclays Bank PLC		4/13/15	$	(8,482	)
ZAR	9,145,810		USD	743,000	BNP Paribas S.A.		4/13/15		9,335
ZAR	15,190,905		USD	1,211,000	BNP Paribas S.A.		4/13/15		38,606
ZAR	17,895,932		USD	1,513,333	BNP Paribas S.A.		4/13/15		(41,212	)
ZAR	21,545,387		USD	1,816,000	BNP Paribas S.A.		4/13/15		(43,674	)
ZAR	3,577,000		USD	302,667	Citibank N.A.		4/13/15		(8,423	)
ZAR	7,145,109		USD	605,333	Deutsche Bank AG		4/13/15		(17,576	)
ZAR	24,997,631		USD	2,119,000	JPMorgan Chase Bank N.A.		4/13/15		(62,692	)
PLN	12,565,407		EUR	3,069,000	Credit Suisse International		4/15/15		13,443
PLN	3,135,980		EUR	767,250	Deutsche Bank AG		4/15/15		1,944
PLN	3,135,025		EUR	767,250	Goldman Sachs International		4/15/15		1,692
PLN	3,135,505		EUR	767,250	Morgan Stanley Capital Services LLC		4/15/15		1,819
PLN	3,134,891		EUR	767,250	UBS AG		4/15/15		1,657
ZAR	12,893,954		USD	1,090,000	BNP Paribas S.A.		4/15/15		(29,712	)
ZAR	8,675,879		USD	726,000	Royal Bank of Scotland PLC		4/15/15		(12,570	)
ZAR	8,707,503		USD	726,000	Standard Chartered Bank		4/15/15		(9,970	)
KRW	1,595,960,100		USD	1,407,000	Bank of America N.A.		4/16/15		30,720
KRW	1,622,087,000		USD	1,447,000	Deutsche Bank AG		4/16/15		14,256
KRW	1,341,433,800		USD	1,206,000	JPMorgan Chase Bank N.A.		4/16/15		2,430
TRY	41,187,000		USD	16,166,346	Deutsche Bank AG		4/16/15		(392,489	)
USD	1,206,000		KRW	1,365,192,000	HSBC Bank PLC		4/16/15		(23,833	)
USD	1,608,000		KRW	1,812,055,200	HSBC Bank PLC		4/16/15		(24,389	)
USD	1,206,000		KRW	1,355,242,500	Standard Chartered Bank		4/16/15		(14,870	)
USD	2,010,000		KRW	2,259,742,500	Standard Chartered Bank		4/16/15		(25,688	)
USD	1,077,000		MYR	3,994,162	Bank of America N.A.		4/16/15		184
USD	989,000		MYR	3,668,498	Royal Bank of Scotland PLC		4/16/15		(18	)
USD	16,954,965		TRY	41,187,000	BNP Paribas S.A.		4/16/15		1,181,107
EUR	17,873,000		USD	19,351,313	Bank of America N.A.		4/21/15		(127,803	)
EUR	6,948,000		USD	7,457,870	Citibank N.A.		4/21/15		15,131
EUR	150,000		USD	170,130	Royal Bank of Scotland PLC		4/21/15		(8,795	)
EUR	6,500,000		USD	7,299,290	State Street Bank and Trust Co.		4/21/15		(308,141	)
USD	1,246,095		AUD	1,538,000	TD Securities, Inc.		4/21/15		76,180
USD	316,408		CNH	2,000,000	JPMorgan Chase Bank N.A.		4/21/15		(5,331	)
USD	59,366		EUR	52,000	Bank of America N.A.		4/21/15		3,437
USD	260,885		EUR	230,000	Bank of America N.A.		4/21/15		13,506
USD	479,658		EUR	417,000	Bank of America N.A.		4/21/15		31,149
USD	960,094		EUR	916,000	Bank of America N.A.		4/21/15		(25,121	)
USD	1,286,711		EUR	1,134,000	Bank of America N.A.		4/21/15		67,025
USD	2,127,575		EUR	1,829,000	Bank of America N.A.		4/21/15		160,373
USD	1,956,940		EUR	1,724,000	Barclays Bank PLC		4/21/15		102,672
USD	522,285		EUR	490,000	BNP Paribas S.A.		4/21/15		(4,740	)
USD	769,289		EUR	726,000	BNP Paribas S.A.		4/21/15		(11,568	)
USD	995,400		EUR	864,000	BNP Paribas S.A.		4/21/15		66,115
USD	3,661,362		EUR	3,223,000	BNP Paribas S.A.		4/21/15		194,827
USD	180,765		EUR	160,000	Citibank N.A.		4/21/15		8,675
USD	1,860,637		EUR	1,642,000	Citibank N.A.		4/21/15		94,565
USD	3,001,624		EUR	2,651,000	Citibank N.A.		4/21/15		150,311
USD	10,811,676		EUR	9,954,000	Citibank N.A.		4/21/15		105,538
USD	13,346,203		EUR	11,312,000	Citibank N.A.		4/21/15		1,179,452

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 61

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (continued)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
USD	297,474,658		EUR	257,777,000	Citibank N.A.		4/21/15	$	20,219,663
USD	20,622,352		EUR	18,400,000	Deutsche Bank AG		4/21/15		832,022
USD	2,089,520		EUR	1,800,000	Goldman Sachs Bank USA		4/21/15		153,509
USD	1,588,267		EUR	1,399,000	Goldman Sachs International		4/21/15		83,556
USD	1,842,223		EUR	1,616,000	Goldman Sachs International		4/21/15		104,116
USD	3,674,152		EUR	3,161,000	Goldman Sachs International		4/21/15		274,303
USD	4,091,433		EUR	3,603,000	Goldman Sachs International		4/21/15		216,185
USD	6,294,253		EUR	5,822,000	Goldman Sachs International		4/21/15		32,335
USD	455,931		EUR	405,000	JPMorgan Chase Bank N.A.		4/21/15		20,328
USD	11,986,390		EUR	10,624,000	JPMorgan Chase Bank N.A.		4/21/15		559,625
USD	7,792,816		EUR	7,119,000	Morgan Stanley & Co. International PLC		4/21/15		135,894
USD	9,305,486		EUR	8,520,000	Morgan Stanley & Co. International PLC		4/21/15		141,703
USD	237,617		EUR	207,000	Morgan Stanley Capital Services LLC		4/21/15		14,976
USD	3,052,477		EUR	2,708,000	Morgan Stanley Capital Services LLC		4/21/15		139,857
USD	14,622,693		EUR	12,856,000	Morgan Stanley Capital Services LLC		4/21/15		795,276
USD	1,176,980		EUR	1,107,000	Royal Bank of Scotland PLC		4/21/15		(13,666	)
USD	2,482,057		EUR	2,343,000	Royal Bank of Scotland PLC		4/21/15		(37,983	)
USD	10,712,881		EUR	9,428,000	Royal Bank of Scotland PLC		4/21/15		572,488
USD	11,509,703		EUR	9,936,000	Royal Bank of Scotland PLC		4/21/15		822,925
USD	265,780		EUR	235,000	Standard Chartered Bank		4/21/15		13,023
USD	1,131,317		EUR	992,000	Standard Chartered Bank		4/21/15		64,361
USD	6,570,737		EUR	6,116,000	Standard Chartered Bank		4/21/15		(7,397	)
USD	1,201,147		EUR	1,054,000	State Street Bank and Trust Co.		4/21/15		67,505
USD	1,320,767		EUR	1,167,000	State Street Bank and Trust Co.		4/21/15		65,587
USD	2,647,851		EUR	2,291,000	State Street Bank and Trust Co.		4/21/15		183,740
USD	3,945,941		EUR	3,458,000	State Street Bank and Trust Co.		4/21/15		226,650
USD	11,832,051		EUR	10,401,000	State Street Bank and Trust Co.		4/21/15		645,136
USD	29,878		EUR	26,000	The Bank of New York Mellon		4/21/15		1,913
USD	57,338		EUR	50,000	The Bank of New York Mellon		4/21/15		3,560
USD	209,662		EUR	185,000	The Bank of New York Mellon		4/21/15		10,683
USD	2,804,134		EUR	2,577,000	UBS AG		4/21/15		32,413
USD	2,879,815		EUR	2,545,000	UBS AG		4/21/15		142,511
USD	9,038,958		EUR	8,005,000	UBS AG		4/21/15		429,089
USD	35,268,390		GBP	23,250,000	Bank of America N.A.		4/21/15		784,506
USD	1,163,132		GBP	762,000	Citibank N.A.		4/21/15		32,951
USD	1,620,788		GBP	1,074,000	Citibank N.A.		4/21/15		27,855
USD	3,939,383		GBP	2,654,000	Morgan Stanley & Co. International PLC		4/21/15		3,030
USD	1,443,479		GBP	948,000	Standard Chartered Bank		4/21/15		37,426
USD	400,852		GBP	270,000	State Street Bank and Trust Co.		4/21/15		394
USD	537,600		GBP	353,000	State Street Bank and Trust Co.		4/21/15		14,038
USD	695,230		GBP	469,000	TD Securities, Inc.		4/21/15		(381	)
USD	942,607		GBP	639,000	UBS AG		4/21/15		(5,144	)
USD	415,562		HKD	3,225,000	State Street Bank and Trust Co.		4/21/15		(399	)
USD	14,351,734		MXN	210,461,000	HSBC Bank PLC		4/21/15		573,906
USD	1,503,039		MXN	22,134,000	Morgan Stanley Capital Services LLC		4/21/15		54,037
TRY	2,265,845		USD	874,000	BNP Paribas S.A.		4/22/15		(7,747	)
TRY	2,283,412		USD	874,000	BNP Paribas S.A.		4/22/15		(1,030	)
TRY	2,286,561		USD	874,000	BNP Paribas S.A.		4/22/15		173
TRY	2,811,356		USD	1,121,000	BNP Paribas S.A.		4/22/15		(46,193	)

See Consolidated Notes to Financial Statements.

62 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (continued)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
TRY	2,878,264		USD	1,093,000	BNP Paribas S.A.		4/22/15	$	7,387
TRY	2,880,274		USD	1,093,000	BNP Paribas S.A.		4/22/15		8,155
USD	874,000		TRY	2,234,031	BNP Paribas S.A.		4/22/15		19,909
USD	874,000		TRY	2,304,758	BNP Paribas S.A.		4/22/15		(7,130	)
USD	896,000		TRY	2,270,156	BNP Paribas S.A.		4/22/15		28,099
USD	1,093,000		TRY	2,799,173	BNP Paribas S.A.		4/22/15		22,850
USD	1,345,000		TRY	3,360,684	BNP Paribas S.A.		4/22/15		60,179
USD	874,000		TRY	2,259,552	Deutsche Bank AG		4/22/15		10,152
USD	874,000		TRY	2,293,665	Deutsche Bank AG		4/22/15		(2,889	)
USD	1,093,000		TRY	2,793,489	Deutsche Bank AG		4/22/15		25,023
COP	4,174,475,250		USD	1,627,000	Royal Bank of Scotland PLC		4/27/15		(26,930	)
USD	1,627,000		COP	4,132,580,000	Goldman Sachs International		4/27/15		42,988
USD	1,081,000		MYR	3,996,457	Deutsche Bank AG		4/30/15		5,020
PLN	15,196,268		USD	4,075,127	Standard Chartered Bank		5/04/15		(69,856	)
PLN	15,210,517		USD	4,028,352	Standard Chartered Bank		5/04/15		(19,325	)
USD	3,555,522		PLN	13,176,365	Standard Chartered Bank		5/04/15		82,635
USD	4,709,078		PLN	17,456,975	Standard Chartered Bank		5/04/15		107,953
BRL	1,850		USD	567	UBS AG		5/05/15		7
TRY	42,750,000		USD	16,040,072	Deutsche Bank AG		5/05/15		246,005
USD	825,230		BRL	2,690,415	Royal Bank of Scotland PLC		5/05/15		(9,762	)
USD	17,135,642		TRY	42,750,000	Deutsche Bank AG		5/05/15		849,565
USD	2,767,938		MXN	41,452,936	Morgan Stanley Capital Services LLC		5/06/15		57,062
TRY	2,277,659		USD	998,370	Bank of America N.A.		5/07/15		(131,085	)
TRY	2,664,209		USD	1,160,521	Bank of America N.A.		5/07/15		(146,047	)
TRY	3,691,153		USD	1,610,640	Bank of America N.A.		5/07/15		(205,127	)
TRY	4,203,655		USD	1,846,504	Bank of America N.A.		5/07/15		(245,841	)
TRY	5,978,957		USD	2,620,959	Barclays Bank PLC		5/07/15		(344,298	)
USD	494,829		TRY	1,121,629	Bank of America N.A.		5/07/15		67,736
USD	662,912		TRY	1,519,195	Bank of America N.A.		5/07/15		84,434
USD	686,041		TRY	1,554,466	Bank of America N.A.		5/07/15		94,133
USD	2,340,978		TRY	5,278,203	BNP Paribas S.A.		5/07/15		331,150
USD	1,152,400		TRY	2,645,335	Deutsche Bank AG		5/07/15		145,113
USD	1,635,738		TRY	3,684,174	Deutsche Bank AG		5/07/15		232,883
USD	1,335,919		TRY	3,012,631	Goldman Sachs International		5/07/15		188,773
USD	360,420		COP	944,005,783	Credit Suisse International		5/13/15		(704	)
USD	1,730,395		MXN	25,922,645	Morgan Stanley Capital Services LLC		5/13/15		36,004
USD	106,196		MXN	1,649,568	Morgan Stanley Capital Services LLC		5/18/15		(1,586	)
USD	6,055,477		MXN	90,715,645	Morgan Stanley Capital Services LLC		5/18/15		128,140
USD	1,639,324		MXN	24,568,693	Morgan Stanley Capital Services LLC		5/20/15		34,244
TRY	20,959,000		USD	9,240,367	Deutsche Bank AG		5/26/15		(1,295,678	)
TRY	23,319,400		USD	10,172,483	Deutsche Bank AG		5/26/15		(1,333,065	)
TRY	37,361,300		USD	16,333,523	Deutsche Bank AG		5/26/15		(2,477,904	)
TRY	37,361,300		USD	16,238,395	Goldman Sachs International		5/26/15		(2,076,275	)
USD	2,507,340		MXN	38,463,149	Morgan Stanley Capital Services LLC		5/26/15		(4,380	)
USD	4,957,348		MXN	74,762,094	Morgan Stanley Capital Services LLC		5/26/15		75,236
USD	6,343,201		TRY	14,250,000	Bank of America N.A.		5/26/15		941,616
USD	10,715,702		TRY	24,322,500	Bank of America N.A.		5/26/15		1,496,050
USD	2,444,268		TRY	5,526,000	Deutsche Bank AG		5/26/15		349,590
USD	3,256,287		TRY	7,368,000	Deutsche Bank AG		5/26/15		463,383

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 63

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (continued)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
USD	10,630,463		TRY	24,322,500	Deutsche Bank AG		5/26/15	$	1,610,346
USD	1,596,515		TRY	3,573,000	Goldman Sachs International		5/26/15		242,139
USD	3,176,727		TRY	7,147,000	Goldman Sachs International		5/26/15		467,595
USD	4,729,968		TRY	10,720,000	Goldman Sachs International		5/26/15		666,460
USD	4,734,982		TRY	10,720,000	Goldman Sachs International		5/26/15		671,475
USD	4,858,022		TRY	11,052,000	Goldman Sachs International		5/26/15		668,678
USD	1,642,199		MXN	24,623,397	Morgan Stanley Capital Services LLC		5/27/15		34,359
USD	2,554,506		ZAR	30,789,187	Citibank N.A.		5/29/15		40,790
USD	6,347,586		ZAR	76,521,547	Citibank N.A.		5/29/15		100,151
USD	49,497,456		EUR	44,829,000	Morgan Stanley Capital Services LLC		6/08/15		1,249,469
AUD	3,120,000		USD	2,376,535	Bank of America N.A.		6/17/15		(10,644	)
CAD	1,561,827		USD	1,250,000	Deutsche Bank AG		6/17/15		(18,162	)
CAD	1,984,049		USD	1,557,308	State Street Bank and Trust Co.		6/17/15		7,544
EUR	7,645,000		USD	8,439,545	Citibank N.A.		6/17/15		(210,350	)
GBP	1,600,000		USD	2,368,970	Goldman Sachs International		6/17/15		3,195
JPY	499,350,240		USD	4,140,000	Deutsche Bank AG		6/17/15		28,135
MXN	58,188,851		USD	3,817,000	Goldman Sachs International		6/17/15		(22,480	)
SGD	3,958,642		USD	2,845,000	Deutsche Bank AG		6/17/15		33,892
USD	32,869,183		AUD	42,395,000	Bank of America N.A.		6/17/15		721,114
USD	30,028,592		AUD	39,421,000	Citibank N.A.		6/17/15		135,703
USD	2,425,491		AUD	3,120,000	HSBC Bank PLC		6/17/15		59,599
USD	1,559,615		CAD	1,979,947	Deutsche Bank AG		6/17/15		(2,001	)
USD	1,247,692		CAD	1,586,728	Royal Bank of Scotland PLC		6/17/15		(3,785	)
USD	33,000,000		CHF	31,814,706	JPMorgan Chase Bank N.A.		6/17/15		156,314
USD	8,212,247		EUR	7,519,512	HSBC Bank PLC		6/17/15		118,129
USD	8,384,287		EUR	7,645,000	UBS AG		6/17/15		155,092
USD	2,355,046		GBP	1,600,000	JPMorgan Chase Bank N.A.		6/17/15		(17,119	)
USD	22,764		IDR	298,437,249	Deutsche Bank AG		6/17/15		364
USD	2,389,299		IDR	31,323,707,128	Deutsche Bank AG		6/17/15		38,163
USD	4,844,995		IDR	63,701,992,872	Deutsche Bank AG		6/17/15		63,568
USD	4,140,000		KRW	4,609,062,000	JPMorgan Chase Bank N.A.		6/17/15		(4,020	)
USD	1,909,000		MXN	29,407,202	BNP Paribas S.A.		6/17/15		(8,656	)
USD	2,845,000		SGD	3,929,573	Société Générale		6/17/15		(12,752	)
USD	2,835,000		TWD	89,926,200	Standard Chartered Bank		6/17/15		(39,713	)
TRY	26,480,000		USD	9,969,880	BNP Paribas S.A.		7/02/15		(20,453	)
TRY	26,904,000		USD	9,959,649	Deutsche Bank AG		7/02/15		149,089
TRY	44,363		USD	16,619	State Street Bank and Trust Co.		7/02/15		50
USD	10,372,427		TRY	26,904,000	Deutsche Bank AG		7/02/15		263,689
USD	10,518,129		TRY	27,286,130	Deutsche Bank AG		7/02/15		265,812
USD	15,775,367		TRY	40,929,190	Deutsche Bank AG		7/02/15		396,893
TRY	2,666,567		USD	1,064,728	Deutsche Bank AG		7/13/15		(65,438	)
USD	1,124,849		TRY	2,666,567	Deutsche Bank AG		7/13/15		125,559
TRY	26,480,000		USD	10,304,705	Deutsche Bank AG		8/12/15		(451,903	)
USD	7,873,000		CNH	50,456,003	Deutsche Bank AG		9/09/15		(134,364	)
USD	47,235,439		CNH	302,779,164	HSBC Bank PLC		9/09/15		(815,593	)
USD	1,574,000		CNH	10,089,264	JPMorgan Chase Bank N.A.		9/09/15		(27,166	)
USD	7,872,561		CNH	50,452,170	JPMorgan Chase Bank N.A.		9/09/15		(134,195	)
TRY	26,480,000		USD	10,948,935	Deutsche Bank AG		10/28/15		(1,268,528	)

See Consolidated Notes to Financial Statements.

64 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, forward foreign currency exchange contracts outstanding were as follows: (concluded)

Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
USD	9,699,634		TRY	26,480,000	BNP Paribas S.A.		10/28/15	$	19,226
TRY	26,904,000		USD	10,035,062	Deutsche Bank AG		12/02/15		(274,471	)
USD	9,615,440		TRY	26,904,000	Deutsche Bank AG		12/02/15		(145,151	)
TRY	32,390,000		USD	12,357,407	Deutsche Bank AG		2/02/16		(762,794	)
TRY	42,750,000		USD	16,327,388	Deutsche Bank AG		2/02/16		(1,024,217	)
USD	3,624,884		TRY	10,283,432	Deutsche Bank AG		2/02/16		(56,266	)
USD	22,857,746		TRY	64,856,568	Deutsche Bank AG		2/02/16		(358,890	)
Total								$	32,158,282

• As of March 31, 2015, exchange-traded options purchased were as follows:

Description	Put/ Call		Strike Price			Expiration Date		Contracts		Value
SPDR S&P 500 ETF Trust		Call		USD	213.00		4/10/15		1,223	$	7,950
E-Mini S&P 500 Index Futures		Call		USD	2,095.00		4/17/15		101		40,400
Freeport-McMoRan, Inc.		Call		USD	22.00		4/17/15		1,834		8,253
SPDR Gold Shares1		Call		USD	116.00		6/19/15		9,100		2,042,950
Barrick Gold Corp.		Call		USD	20.00		1/15/16		2,000		26,000
Transocean Ltd.		Put		USD	15.00		5/15/15		344		55,728
Transocean Ltd.		Put		USD	16.00		5/15/15		115		26,278
Euro Dollar 90-Day		Put		USD	98.63		6/12/15		216		13,500
Euro Dollar 90-Day		Put		USD	98.88		6/12/15		172		36,550
Euro Dollar 90-Day		Put		USD	98.75		6/12/15		108		12,825
Euro Dollar 90-Day		Put		USD	99.25		6/15/15		194		1,213
Transocean Ltd.		Put		USD	14.00		8/21/15		207		49,163
Euro Dollar 90-Day		Put		USD	98.50		9/11/15		456		116,850
Volkswagen AG		Put		EUR	150.00		12/18/15		283		31,342
Freeport-McMoRan, Inc.		Put		USD	15.00		1/15/16		236		30,326
Euro Dollar 90-Day		Put		USD	99.00		3/14/16		755		264,250
Euro Dollar 90-Day		Put		USD	98.50		3/14/16		755		75,500
Transocean Ltd.		Put		USD	13.00		1/20/17		425		206,125
Total										$	3,045,203

¹  Security is held by a wholly owned subsidiary. See Note 1 of the Consolidated Notes to Financial Statements for details on the wholly owned subsidiary.

• As of March 31, 2015, OTC barrier options purchased were as follows:

Description	Counterparty	Barrier Price			Expiration Date		Contracts		Notional Amount (000)			Value
EUR Currency	Deutsche Bank AG		PLN	3.90		6/09/15		—		EUR	680	$	59,993
AUD Currency	Deutsche Bank AG		USD	0.71		8/20/15		—		USD	1,010		168,611
AUD Currency	Deutsche Bank AG		USD	0.70		11/20/15		—		USD	1,010		172,415
USD Currency	Deutsche Bank AG		EUR	1.10		12/18/15		—		USD	165		89,448
S&P 500 Index	Deutsche Bank AG		USD	2,015.18		9/18/15		26,507			—		605,560
Total												$	1,096,027

• As of March 31, 2015, OTC options purchased were as follows:

Description

Counterparty

Put/ Call

Strike Price

Expiration Date

Notional Amount (000)

Value

USD Currency

Deutsche Bank AG

Call

MXN

15.70

4/09/15

USD

3,822

$

5,114

USD Currency

Deutsche Bank AG

Call

CAD

1.18

4/15/15

USD

7,130

499,581

USD Currency

Deutsche Bank AG

Call

INR

64.30

4/15/15

USD

4,486

1,112

USD Currency

JPMorgan Chase Bank N.A.

Call

CAD

1.15

4/15/15

USD

7,130

698,741

USD Currency

JPMorgan Chase Bank N.A.

Call

MXN

15.15

4/23/15

USD

4,577

77,587

USD Currency

BNP Paribas S.A.

Call

JPY

115.00

4/27/15

USD

13,970

582,422

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 65

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC options purchased were as follows: (concluded)

Description

Counterparty

Put/ Call

Strike Price

Expiration Date

Notional Amount (000)

Value

USD Currency

Deutsche Bank AG

Call

JPY

111.00

4/27/15

USD

28,140

$

2,090,681

USD Currency

UBS AG

Call

JPY

115.00

4/27/15

USD

14,170

590,760

USD Currency

Goldman Sachs International

Call

ZAR

11.65

4/29/15

USD

4,625

212,552

USD Currency

Bank of America N.A.

Call

CAD

1.30

6/04/15

USD

23,740

214,417

USD Currency

Bank of America N.A.

Call

CAD

1.31

6/04/15

USD

23,740

172,030

USD Currency

Citibank N.A.

Call

CAD

1.26

6/04/15

USD

23,740

499,188

USD Currency

BNP Paribas S.A.

Call

JPY

125.00

6/19/15

USD

14,250

67,257

USD Currency

JPMorgan Chase Bank N.A.

Call

JPY

120.00

6/19/15

USD

14,250

236,618

USD Currency

BNP Paribas S.A.

Call

CAD

1.33

7/09/15

USD

262,200

1,999,799

USD Currency

BNP Paribas S.A.

Call

SGD

1.40

9/28/15

USD

15,555

229,450

EUR Currency

Citibank N.A.

Put

USD

1.07

4/09/15

EUR

7,536

56,318

USD Currency

BNP Paribas S.A.

Put

TRY

2.55

4/10/15

USD

2,989

6,688

USD Currency

BNP Paribas S.A.

Put

TRY

2.40

4/10/15

USD

2,989

2

USD Currency

Goldman Sachs International

Put

TRY

2.50

4/10/15

USD

2,989

934

EUR Currency

Deutsche Bank AG

Put

PLN

4.26

4/16/15

EUR

15,190

740,740

EUR Currency

Goldman Sachs International

Put

PLN

4.20

4/16/15

EUR

7,578

251,565

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.15

4/16/15

EUR

7,578

157,446

GBP Currency

Deutsche Bank AG

Put

NOK

11.20

4/23/15

GBP

14,860

7,303

GBP Currency

Deutsche Bank AG

Put

USD

1.49

4/30/15

GBP

16,695

359,203

GBP Currency

UBS AG

Put

USD

1.54

4/30/15

GBP

16,695

952,001

EUR Currency

Morgan Stanley Capital Services LLC

Put

PLN

4.05

5/05/15

EUR

16,000

84,038

EUR Currency

Deutsche Bank AG

Put

PLN

4.15

5/08/15

EUR

13,895

294,004

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.12

5/08/15

EUR

13,895

218,707

EUR Currency

Goldman Sachs International

Put

PLN

4.20

6/04/15

EUR

7,430

252,249

EUR Currency

Citibank N.A.

Put

NOK

8.70

6/12/15

EUR

6,280

135,024

EUR Currency

Deutsche Bank AG

Put

PLN

4.10

6/12/15

EUR

7,956

115,674

USD Currency

Deutsche Bank AG

Put

NOK

7.00

6/19/15

USD

5,135

1,213

EUR Currency

BNP Paribas S.A.

Put

PLN

4.06

6/30/15

EUR

4,774

48,133

EUR Currency

Citibank N.A.

Put

USD

1.08

7/03/15

EUR

66,000

1,848,691

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.20

7/09/15

EUR

7,595

264,938

Total

$

13,972,180

• As of March 31, 2015, OTC interest rate swaptions purchased were as follows:

Description

Counterparty

Put/ Call

Exercise Rate

Pay/Receive Exercise Rate

Floating Rate Index

Expiration Date

Notional Amount (000)

Market Value

1-Year Interest Rate Swap

Credit Suisse International

Call

11.40

%

Receive

1-day BZDIOVER

7/01/15

BRL

50,893

$

2,703

1-Year Interest Rate Swap

Deutsche Bank AG

Call

11.40

%

Receive

1-day BZDIOVER

7/01/15

BRL

18,175

965

5-Year Interest Rate Swap

Goldman Sachs International

Call

1.90

%

Receive

3-month LIBOR

8/24/15

USD

155,425

2,492,053

5-Year Interest Rate Swap

Citibank N.A.

Call

2.53

%

Receive

3-month LIBOR

9/30/15

USD

55,885

2,218,154

5-Year Interest Rate Swap

Bank of America N.A.

Call

2.09

%

Receive

3-month LIBOR

2/10/16

USD

243,978

5,200,659

5-Year Interest Rate Swap

Goldman Sachs International

Put

1.90

%

Pay

3-month LIBOR

8/24/15

USD

155,425

1,019,697

5-Year Interest Rate Swap

Citibank N.A.

Put

2.53

%

Pay

3-month LIBOR

9/30/15

USD

55,885

115,067

5-Year Interest Rate Swap

Bank of America N.A.

Put

2.09

%

Pay

3-month LIBOR

2/10/16

USD

243,978

2,861,301

Total

$

13,910,599

See Consolidated Notes to Financial Statements.

66 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

• As of March 31, 2015, exchange-traded options written were as follows:

Description	Put/ Call		Strike Price			Expiration Date		Contracts		Value
CBOE Volatility Index		Call		USD	16.00		4/15/15		766	$	(93,835	)
CBOE Volatility Index		Call		USD	17.00		4/15/15		1,532		(137,880	)
The Williams Cos., Inc.		Call		USD	50.00		5/15/15		133		(27,997	)
Apple Inc.		Call		USD	140.00		6/19/15		215		(33,970	)
LyondellBasell Industries NV, Class A		Call		USD	90.00		6/19/15		282		(94,470	)
Tesla Motors, Inc.		Call		USD	210.00		6/19/15		41		(33,313	)
United Continental Holdings, Inc.		Call		USD	72.50		6/19/15		190		(60,800	)
The Williams Cos., Inc.		Call		USD	50.00		8/21/15		134		(42,210	)
Euro Dollar 90-Day		Call		USD	98.75		9/11/15		418		(229,900	)
SPDR S&P 500 ETF Trust		Put		USD	205.00		4/10/15		1,529		(224,763	)
Transocean Ltd.		Put		USD	10.00		5/15/15		462		(10,164	)
Euro Dollar 90-Day		Put		USD	98.38		6/12/15		108		(2,025	)
Euro Dollar 1-Year Mid-Curve		Put		USD	98.00		9/11/15		456		(25,650	)
Euro Dollar 90-Day		Put		USD	98.75		3/14/16		1,510		(283,125	)
Total										$	(1,300,102	)

• As of March 31, 2015, OTC options written were as follows:

Description

Counterparty

Put/ Call

Strike Price

Expiration Date

Notional Amount (000)

Value

USD Currency

Deutsche Bank AG

Call

MXN

16.10

4/09/15

USD

3,822

$

(651

)

USD Currency

Deutsche Bank AG

Call

CAD

1.15

4/15/15

USD

7,130

(696,207

)

USD Currency

JPMorgan Chase Bank N.A.

Call

CAD

1.18

4/15/15

USD

7,130

(502,190

)

USD Currency

JPMorgan Chase Bank N.A.

Call

MXN

15.60

4/23/15

USD

6,103

(34,832

)

USD Currency

BNP Paribas S.A.

Call

JPY

111.00

4/27/15

USD

13,970

(1,037,911

)

USD Currency

Deutsche Bank AG

Call

JPY

115.00

4/27/15

USD

28,140

(1,173,182

)

USD Currency

UBS AG

Call

JPY

111.00

4/27/15

USD

14,170

(1,052,770

)

USD Currency

Goldman Sachs International

Call

ZAR

12.00

4/29/15

USD

6,938

(172,348

)

USD Currency

UBS AG

Call

TRY

2.66

5/08/15

USD

1,107

(15,608

)

USD Currency

Bank of America N.A.

Call

CAD

1.35

6/04/15

USD

23,740

(67,740

)

USD Currency

Bank of America N.A.

Call

CAD

1.26

6/04/15

USD

23,740

(499,188

)

USD Currency

Citibank N.A.

Call

CAD

1.30

6/04/15

USD

23,740

(214,417

)

USD Currency

BNP Paribas S.A.

Call

JPY

120.00

6/19/15

USD

14,250

(236,618

)

USD Currency

JPMorgan Chase Bank N.A.

Call

JPY

125.00

6/19/15

USD

14,250

(67,257

)

EUR Currency

BNP Paribas S.A.

Call

PLN

4.16

6/30/15

EUR

4,774

(36,251

)

USD Currency

BNP Paribas S.A.

Call

SGD

1.46

9/28/15

USD

15,555

(93,156

)

USD Currency

BNP Paribas S.A.

Put

TRY

2.45

4/10/15

USD

2,989

(68

)

USD Currency

BNP Paribas S.A.

Put

TRY

2.50

4/10/15

USD

2,989

(934

)

USD Currency

Goldman Sachs International

Put

TRY

2.40

4/10/15

USD

2,989

(2

)

EUR Currency

Goldman Sachs International

Put

PLN

4.26

4/16/15

EUR

15,190

(740,740

)

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.15

4/16/15

EUR

7,578

(157,446

)

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.20

4/16/15

EUR

7,578

(251,565

)

GBP Currency

Deutsche Bank AG

Put

USD

1.54

4/30/15

GBP

16,695

(952,001

)

GBP Currency

UBS AG

Put

USD

1.49

4/30/15

GBP

16,695

(359,203

)

EUR Currency

Morgan Stanley Capital Services LLC

Put

PLN

4.12

5/05/15

EUR

7,225

(112,619

)

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.12

5/08/15

EUR

6,670

(104,979

)

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.15

5/08/15

EUR

13,895

(303,722

)

EUR Currency

JPMorgan Chase Bank N.A.

Put

PLN

4.20

6/04/15

EUR

7,430

(252,249

)

EUR Currency

Deutsche Bank AG

Put

NOK

8.70

6/12/15

EUR

6,280

(135,024

)

EUR Currency

Deutsche Bank AG

Put

PLN

4.02

6/12/15

EUR

7,956

(41,570

)

EUR Currency

Citibank N.A.

Put

USD

1.02

7/03/15

EUR

66,000

(618,797

)

EUR Currency

Deutsche Bank AG

Put

PLN

4.20

7/09/15

EUR

7,595

(264,938

)

Total

$

(10,196,183

)

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 67

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

• As of March 31, 2015, OTC interest rate swaptions written were as follows:

Description	Counterparty	Put/ Call		Exercise Rate			Pay/Receive Exercise Rate	Floating Rate Index	Expiration Date		Notional Amount (000)			Value
5-Year Interest Rate Swap	Goldman Sachs International		Call		1.77	%	Pay	3-month LIBOR		4/24/15		USD	269,150	$	(2,917,667	)
1-Year Interest Rate Swap	Credit Suisse International		Call		3.83	%	Pay	28-day MXIBTIIE		6/26/15		MXN	164,716		(6,818	)
1-Year Interest Rate Swap	Credit Suisse International		Call		10.60	%	Pay	1-day BZDIOVER		7/01/15		BRL	50,893		(523	)
1-Year Interest Rate Swap	Deutsche Bank AG		Call		10.60	%	Pay	1-day BZDIOVER		7/01/15		BRL	18,175		(187	)
10-Year Interest Rate Swap	Citibank N.A.		Call		3.00	%	Pay	3-month LIBOR		9/30/15		USD	29,620		(2,383,231	)
10-Year Interest Rate Swap	Bank of America N.A.		Call		2.37	%	Pay	3-month LIBOR		2/10/16		USD	128,378		(4,657,695	)
5-Year Interest Rate Swap	Goldman Sachs International		Put		1.77	%	Receive	3-month LIBOR		4/24/15		USD	269,150		(257,334	)
10-Year Interest Rate Swap	Citibank N.A.		Put		3.00	%	Receive	3-month LIBOR		9/30/15		USD	29,620		(85,652	)
10-Year Interest Rate Swap	Bank of America N.A.		Put		2.37	%	Receive	3-month LIBOR		2/10/16		USD	128,378		(3,112,589	)
Total														$	(13,421,696	)

• As of March 31, 2015, interest rate floors purchased outstanding were as follows:

Description	Exercise Rate			Counterparty	Expiration Date		Notional Amount (000)			Value		Premiums Paid		Unrealized Depreciation
10Y-2Y CMS Index Floor1		0.50	%	Goldman Sachs International		12/16/15		USD	2,371,975	$	1,452,450	$	2,609,173	$	(1,156,723	)

¹  Fund pays the upfront premium and receives the greater of the exercise rate minus the difference of the 10-year CMS Index and 2-year CMS Index or $0.

• As of March 31, 2015, interest rate floors sold outstanding were as follows:

Description	Exercise Rate			Counterparty	Expiration Date		Notional Amount (000)				Value			Premiums Received			Unrealized Appreciation
10Y-2Y CMS Index Floor1		0.00	%	Goldman Sachs International		12/16/15		USD	(2,371,975	)	$	(263,211	)	$	(711,593	)	$	448,382

¹ Fund receives the upfront premium and pays the greater of the exercise rate minus the difference of the 10-year CMS Index and 2-year CMS Index or $0.

• As of March 31, 2015, centrally cleared credit default swaps — buy protection outstanding were as follows:

Issuer/Index	Pay Fixed Rate			Clearinghouse	Expiration Date		Notional Amount (000)			Unrealized Appreciation (Depreciation)
iTraxx Sub Financials Series 22 Version 1		1.00	%	InterContinental Exchange		12/20/19		EUR	6,720	$	(53,002	)
CDX.NA.IG Series 24 Version 1		1.00	%	Chicago Mercantile		6/20/20		USD	28,401		5,174
Total										$	(47,828	)

• As of March 31, 2015, centrally cleared credit default swaps — sold protection outstanding were as follows:

Issuer/Index	Receive Fixed Rate			Clearinghouse	Expiration Date		Credit Rating1		Notional Amount (000)2			Unrealized Appreciation (Depreciation)
iTraxx Europe Crossover Series 21 Version 1		5.00	%	InterContinental Exchange		6/20/19		B-		EUR	3,080	$	4,279
iTraxx Europe Series 21 Version 1		1.00	%	InterContinental Exchange		6/20/19		A+		EUR	1,445		9,862
iTraxx Europe Crossover Series 22 Version 1		5.00	%	InterContinental Exchange		12/20/19		A-		EUR	33,530		14,949
iTraxx Europe Series 22 Version 1		1.00	%	InterContinental Exchange		12/20/19		BBB+		EUR	12,500		(27,736	)
CDX.NA.HY Series 24 Version 1		5.00	%	Chicago Mercantile		6/20/20		B+		USD	114,010		460,741
Total												$	462,095

¹  Using S&P’s rating of the issuer or the underlying securities of the index, as applicable.

²  The maximum potential amount the Master Portfolio may pay should a negative credit event take place as defined under the terms of the agreement.

See Consolidated Notes to Financial Statements.

68 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

• As of March 31, 2015, centrally cleared interest rate swaps outstanding were as follows:

Fixed Rate	Floating Rate	Clearinghouse	Effective Date	Expiration Date		Notional Amount (000)			Unrealized Appreciation (Depreciation)
0.65%1	3-month LIBOR	Chicago Mercantile	N/A		11/26/16		USD	12,695	$	10,537
1.26%1	3-month LIBOR	Chicago Mercantile	1/12/162		1/12/17		USD	283,520		(736,673	)
1.75%1	3-month LIBOR	Chicago Mercantile	7/06/152		8/31/19		USD	94,748		(973,379	)
2.10%1	3-month LIBOR	Chicago Mercantile	N/A		11/26/21		USD	1,000		(28,785	)
2.23%1	3-month LIBOR	Chicago Mercantile	N/A		11/26/22		USD	1,000		(34,326	)
2.19%1	3-month LIBOR	Chicago Mercantile	N/A		11/28/22		USD	800		(25,242	)
2.21%1	3-month LIBOR	Chicago Mercantile	N/A		11/28/22		USD	731		(24,346	)
1.89%1	3-month LIBOR	Chicago Mercantile	N/A		2/05/25		USD	3,240		30,668
0.73%1	6-month EURIBOR	Chicago Mercantile	N/A		2/20/25		EUR	2,630		(50,148	)
0.75%1	6-month EURIBOR	Chicago Mercantile	N/A		2/20/25		EUR	2,630		(56,048	)
2.03%3	3-month LIBOR	Chicago Mercantile	N/A		3/24/25		USD	2,800		995
Total									$	(1,886,747	)

¹  Master Portfolio pays the fixed rate and receives the floating rate.

² Forward swap.

³  Master Portfolio pays the floating rate and receives the fixed rate.

• As of March 31, 2015, OTC credit default swaps — buy protection outstanding were as follows:

Issuer/Index	Pay Fixed Rate			Counterparty	Expiration Date	Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Banca Monte dei Paschi di Siena SpA		5.00	%	Deutsche Bank AG	12/20/16		EUR	750	$	(39,113	)	$	61,146		$	(100,259	)
Transocean Worldwide, Inc.		1.00	%	Goldman Sachs Bank USA	12/20/16		USD	5,750		(81,686	)		(18,964	)		(62,722	)
Genworth Holdings, Inc.		1.00	%	JPMorgan Chase Bank N.A.	12/20/16		USD	2,830		60,154			40,997			19,157
Banca Monte dei Paschi di Siena SpA		5.00	%	JPMorgan Chase Bank N.A.	3/20/17		EUR	3,800		(222,115	)		258,639			(480,754	)
AK Steel Corp.		5.00	%	Citibank N.A.	3/20/17		USD	2,500		(1,029	)		(31,898	)		30,869
AK Steel Corp.		5.00	%	Citibank N.A.	3/20/17		USD	1,100		(454	)		(15,684	)		15,230
Republic of Ireland		1.00	%	Citibank N.A.	3/20/17		USD	2,000		(32,887	)		148,127			(181,014	)
CDX.NA.IG Series 18 Version 1		1.00	%	Credit Suisse International	6/20/17		USD	103,800		(1,711,230	)		(5,478	)		(1,705,752	)
Peugeot SA		5.00	%	BNP Paribas S.A.	9/20/17		EUR	2,975		(337,211	)		178,103			(515,314	)
Energias de Portugal SA		5.00	%	Citibank N.A.	9/20/17		EUR	809		(98,613	)		(112,232	)		13,619
Energias de Portugal SA		5.00	%	Goldman Sachs International	9/20/17		EUR	325		(39,624	)		(45,483	)		5,859
Finmeccanica SpA		5.00	%	Bank of America N.A.	3/20/18		EUR	470		(65,623	)		(25,628	)		(39,995	)
Marks & Spencer PLC		1.00	%	Credit Suisse International	3/20/18		EUR	1,330		(26,712	)		41,390			(68,102	)
Republic of Italy		1.00	%	Barclays Bank PLC	3/20/18		USD	6,000		(53,098	)		218,836			(271,934	)
iTraxx Europe Series 9 3-6%		5.00	%	Citibank N.A.	6/20/18		EUR	3,780		(422,979	)		337,947			(760,926	)
Finmeccanica SpA		5.00	%	Credit Suisse International	6/20/18		EUR	570		(85,182	)		(26,045	)		(59,137	)
Finmeccanica SpA		5.00	%	Goldman Sachs International	6/20/18		EUR	90		(13,450	)		(7,080	)		(6,370	)
Finmeccanica SpA		5.00	%	JPMorgan Chase Bank N.A.	6/20/18		EUR	1,290		(192,781	)		(92,520	)		(100,261	)
Republic of France		0.25	%	Barclays Bank PLC	6/20/18		USD	2,530		(4,975	)		29,309			(34,284	)
Republic of France		0.25	%	Citibank N.A.	6/20/18		USD	2,740		(5,389	)		35,949			(41,338	)
Republic of France		0.25	%	JPMorgan Chase Bank N.A.	6/20/18		USD	2,735		(5,378	)		27,551			(32,929	)
Peugeot SA		5.00	%	Barclays Bank PLC	9/20/18		EUR	2,975		(431,795	)		74,751			(506,546	)
Finmeccanica SpA		5.00	%	Barclays Bank PLC	12/20/18		EUR	530		(87,849	)		(45,522	)		(42,327	)
iTraxx Financials Series 20 Version 1		1.00	%	Barclays Bank PLC	12/20/18		EUR	1,450		(31,390	)		(6,990	)		(24,400	)
iTraxx Financials Series 20 Version 1		1.00	%	Citibank N.A.	12/20/18		EUR	3,120		(67,543	)		(14,745	)		(52,798	)
Marks & Spencer PLC		1.00	%	Barclays Bank PLC	3/20/19		EUR	136		(2,376	)		3,122			(5,498	)
GDF Suez		1.00	%	Bank of America N.A.	6/20/19		EUR	795		(24,766	)		(21,883	)		(2,883	)
GKN Holdings PLC		1.00	%	Bank of America N.A.	6/20/19		EUR	90		(1,705	)		(709	)		(996	)
GKN Holdings PLC		1.00	%	Barclays Bank PLC	6/20/19		EUR	105		(1,989	)		(767	)		(1,222	)

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 69

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC credit default swaps — buy protection outstanding were as follows: (continued)

Issuer/Index	Pay Fixed Rate			Counterparty	Expiration Date	Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
GKN Holdings PLC		1.00	%	BNP Paribas S.A.	6/20/19		EUR	150	$	(2,841	)	$	(1,095	)	$	(1,746	)
GDF Suez		1.00	%	Citibank N.A.	6/20/19		EUR	455		(14,174	)		(11,464	)		(2,710	)
GKN Holdings PLC		1.00	%	Citibank N.A.	6/20/19		EUR	135		(2,557	)		(1,055	)		(1,502	)
iTraxx Financials Series 21 Version 1		1.00	%	Citibank N.A.	6/20/19		EUR	5,210		(113,546	)		(66,589	)		(46,957	)
iTraxx Financials Series 21 Version 1		1.00	%	Citibank N.A.	6/20/19		EUR	2,690		(58,625	)		(26,124	)		(32,501	)
iTraxx Financials Series 21 Version 1		1.00	%	Citibank N.A.	6/20/19		EUR	2,690		(58,625	)		(25,561	)		(33,064	)
iTraxx Financials Series 21 Version 1		1.00	%	Citibank N.A.	6/20/19		EUR	2,555		(55,684	)		(26,241	)		(29,443	)
GDF Suez		1.00	%	Deutsche Bank AG	6/20/19		EUR	450		(14,018	)		(12,387	)		(1,631	)
iTraxx Financials Series 21 Version 1		1.00	%	Deutsche Bank AG	6/20/19		EUR	2,690		(58,625	)		(36,078	)		(22,547	)
Federative Republic of Brazil		1.00	%	Bank of America N.A.	6/20/19		USD	1,187		71,431			39,312			32,119
Federative Republic of Brazil		1.00	%	Citibank N.A.	6/20/19		USD	1,155		69,505			44,482			25,023
Carlsberg Breweries A/S		1.00	%	Citibank N.A.	9/20/19		EUR	150		(2,259	)		(1,674	)		(585	)
Fortum Oyj		1.00	%	Credit Suisse International	9/20/19		EUR	425		(11,325	)		(10,654	)		(671	)
Fortum Oyj		1.00	%	Credit Suisse International	9/20/19		EUR	265		(7,061	)		(6,643	)		(418	)
Fortum Oyj		1.00	%	Deutsche Bank AG	9/20/19		EUR	425		(11,325	)		(10,659	)		(666	)
Fortum Oyj		1.00	%	Deutsche Bank AG	9/20/19		EUR	315		(8,394	)		(8,089	)		(305	)
Fortum Oyj		1.00	%	Deutsche Bank AG	9/20/19		EUR	270		(7,195	)		(6,934	)		(261	)
Carlsberg Breweries A/S		1.00	%	Goldman Sachs International	9/20/19		EUR	270		(4,065	)		(3,338	)		(727	)
Republic of Portugal		1.00	%	BNP Paribas S.A.	9/20/19		USD	875		2,543			23,047			(20,504	)
Casino Guichard Perrachon SA		1.00	%	Bank of America N.A.	3/20/20		EUR	120		(553	)		8			(561	)
Deutsche Lufthansa AG		1.00	%	Barclays Bank PLC	3/20/20		EUR	330		4,384			2,914			1,470
Deutsche Lufthansa AG		1.00	%	Barclays Bank PLC	3/20/20		EUR	330		4,384			2,914			1,470
Casino Guichard Perrachon SA		1.00	%	Citibank N.A.	3/20/20		EUR	230		(1,060	)		154			(1,214	)
Arrow Electronics, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(15,800	)		(8,392	)		(7,408	)
Avnet, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(11,746	)		(3,408	)		(8,338	)
Block Financial LLC		5.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(172,140	)		(182,551	)		10,411
CBS Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(26,560	)		(13,925	)		(12,635	)
Computer Sciences Corp.		5.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(190,209	)		(181,042	)		(9,167	)
The Dow Chemical Co.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(16,948	)		(5,895	)		(11,053	)
Eastman Chemical Co.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(12,126	)		(9,896	)		(2,230	)
Expedia, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(12,621	)		(2,912	)		(9,709	)
FirstEnergy Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(3,063	)		7,408			(10,471	)
Ford Motor Co.		5.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(200,166	)		(192,437	)		(7,729	)
Gap, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(14,835	)		2,845			(17,680	)
Hewlett-Packard Co.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(233	)		(5,895	)		5,662
International Paper Co.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(21,152	)		(8,893	)		(12,259	)
Kinder Morgan Energy Partners LP		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(22,771	)		1,041			(23,812	)
Kohl’s Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(16,001	)		15,146			(31,147	)
Meadwestvaco Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(34,157	)		(6,047	)		(28,110	)
Motorola Solutions, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(8,056	)		(4,401	)		(3,655	)
Pitney Bowes, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(6,073	)		(3,223	)		(2,850	)
Quest Diagnostics, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(13,302	)		3,498			(16,800	)
Transocean, Inc.		5.00	%	Barclays Bank PLC	3/20/20		USD	3,300		337,031			432,327			(95,296	)
Valero Energy Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(10,541	)		17,064			(27,605	)

See Consolidated Notes to Financial Statements.

70 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC credit default swaps — buy protection outstanding as follows: (concluded)

Issuer/Index	Pay Fixed Rate			Counterparty	Expiration Date	Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Viacom, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000	$	(19,025	)	$	(19,000	)	$	(25	)
Xerox Corp.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(5,637	)		(6,519	)		882
YUM! Brands, Inc.		1.00	%	Barclays Bank PLC	3/20/20		USD	1,000		(23,305	)		(5,104	)		(18,201	)
Boyd Gaming Corp.		5.00	%	Citibank N.A.	3/20/20		USD	1,300		(104,928	)		(84,661	)		(20,267	)
Valero Energy Corp.		1.00	%	Goldman Sachs International	3/20/20		USD	2,300		(24,244	)		(21,437	)		(2,807	)
Staples, Inc.		1.00	%	Morgan Stanley Capital Services LLC	3/20/20		USD	3,500		121,117			111,939			9,178
Republic of South Africa		1.00	%	Barclays Bank PLC	6/20/20		USD	10,520		549,383			572,095			(22,712	)
Republic of South Africa		1.00	%	JPMorgan Chase Bank N.A.	6/20/20		USD	3,693		192,858			197,778			(4,920	)
Total									$	(4,093,723	)	$	1,437,988		$	(5,531,711	)

• As of March 31, 2015, OTC credit default swaps — sold protection outstanding were as follows:

Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date	Credit Rating1		Notional Amount (000)2			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Banca Monte dei Paschi di Siena SpA		3.00	%	BNP Paribas S.A.	9/20/16		Not Rated		EUR	2,000	$	27,515		$	(117,734	)	$	145,249
Banca Monte dei Paschi di Siena SpA		5.00	%	Deutsche Bank AG	9/20/16		Not Rated		EUR	750		34,539			(12,575	)		47,114
Banca Monte dei Paschi di Siena SpA		3.00	%	JPMorgan Chase Bank N.A.	9/20/16		Not Rated		EUR	2,200		30,267			(77,140	)		107,407
CDX.NA.IG Series 18 Version 1		1.00	%	Citibank N.A.	6/20/17		BBB+		USD	103,800		1,711,230			52,085			1,659,145
Abengoa SA		5.00	%	Barclays Bank PLC	3/20/18		B		EUR	135		(14,775	)		(12,702	)		(2,073	)
Abengoa SA		5.00	%	Credit Suisse International	3/20/18		B		EUR	200		(21,889	)		(18,818	)		(3,071	)
Republic of Italy		1.00	%	Barclays Bank PLC	3/20/18		BBB-		EUR	4,500		52,828			(168,442	)		221,270
Republic of Italy		1.00	%	Barclays Bank PLC	3/20/18		BBB-		USD	37		327			(1,769	)		2,096
Bayerische Landesbank Gtd.		1.00	%	Barclays Bank PLC	12/20/18		Not Rated		EUR	790		14,015			1,919			12,096
iTraxx Sub Financials Series 20 Version 1		5.00	%	Barclays Bank PLC	12/20/18		BBB		EUR	1,160		201,752			213,194			(11,442	)
iTraxx Sub Financials Series 20 Version 1		5.00	%	Citibank N.A.	12/20/18		BBB		EUR	1,660		288,714			302,331			(13,617	)
iTraxx Sub Financials Series 20 Version 1		5.00	%	Deutsche Bank AG	12/20/18		BBB		EUR	830		144,357			151,855			(7,498	)
CNH Industrial NV		5.00	%	Citibank N.A.	3/20/19		BB+		EUR	240		36,174			39,682			(3,508	)
CNH Industrial NV		5.00	%	Citibank N.A.	3/20/19		BB+		EUR	240		36,174			40,453			(4,279	)
Astaldi SpA		5.00	%	Barclays Bank PLC	6/20/19		B+		EUR	48		3,356			808			2,548
Astaldi SpA		5.00	%	Credit Suisse International	6/20/19		B+		EUR	72		5,034			472			4,562
Astaldi SpA		5.00	%	Credit Suisse International	6/20/19		B+		EUR	50		3,496			1,680			1,816
Astaldi SpA		5.00	%	Deutsche Bank AG	6/20/19		B+		EUR	47		3,295			1,702			1,593
Astaldi SpA		5.00	%	Goldman Sachs International	6/20/19		B+		EUR	73		5,095			2,448			2,647
Transocean, Inc.		1.00	%	Goldman Sachs International	6/20/19		BB+		USD	350		(75,848	)		(9,256	)		(66,592	)
ArcelorMittal		1.00	%	Barclays Bank PLC	9/20/19		BB		EUR	140		(8,921	)		(10,752	)		1,831
ArcelorMittal		1.00	%	Barclays Bank PLC	9/20/19		BB		EUR	135		(8,602	)		(10,804	)		2,202
ArcelorMittal		1.00	%	Citibank N.A.	9/20/19		BB		EUR	270		(17,205	)		(21,329	)		4,124
ArcelorMittal		1.00	%	Credit Suisse International	9/20/19		BB		EUR	270		(17,204	)		(20,735	)		3,531
Abengoa SA		5.00	%	Citibank N.A.	12/20/19		B		EUR	5		(732	)		(892	)		160
Abengoa SA		5.00	%	Credit Suisse International	12/20/19		B		EUR	145		(23,564	)		(36,442	)		12,878
Abengoa SA		5.00	%	Credit Suisse International	12/20/19		B		EUR	105		(17,064	)		(22,099	)		5,035
Abengoa SA		5.00	%	Credit Suisse International	12/20/19		B		EUR	100		(16,251	)		(26,770	)		10,519
Altice Finco SA		5.00	%	Citibank N.A.	12/20/19		B-		EUR	120		11,340			1,733			9,607
ArcelorMittal		1.00	%	Citibank N.A.	12/20/19		BB		EUR	245		(18,074	)		(18,682	)		608
Barrick Gold Corp.		1.00	%	Deutsche Bank AG	12/20/19		BBB-		USD	1,533		(31,829	)		(56,939	)		25,110

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 71

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC credit default swaps — sold protection outstanding were as follows: (continued)

Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date	Credit Rating1		Notional Amount (000)2			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Republic of Italy		1.00	%	HSBC Bank PLC	12/20/19		BBB-		USD	1,808	$	(3,552	)	$	(43,338	)	$	39,786
Republic of Italy		1.00	%	Morgan Stanley Capital Services LLC	12/20/19		BBB-		USD	992		(1,950	)		(23,362	)		21,412
Transocean, Inc.		1.00	%	Bank of America N.A.	12/20/19		BB+		USD	720		(174,879	)		(54,886	)		(119,993	)
Transocean, Inc.		1.00	%	Bank of America N.A.	12/20/19		BB+		USD	595		(144,519	)		(43,864	)		(100,655	)
Transocean, Inc.		1.00	%	Bank of America N.A.	12/20/19		BB+		USD	595		(144,518	)		(42,820	)		(101,698	)
Abengoa SA		5.00	%	Barclays Bank PLC	3/20/20		B		EUR	450		(75,962	)		(73,159	)		(2,803	)
Abengoa SA		5.00	%	Goldman Sachs International	3/20/20		B		EUR	270		(45,577	)		(36,431	)		(9,146	)
Abengoa SA		5.00	%	Goldman Sachs International	3/20/20		B		EUR	180		(30,385	)		(24,288	)		(6,097	)
AK Steel Corp.		5.00	%	Citibank N.A.	3/20/20		B-		USD	2,500		(328,557	)		(294,807	)		(33,750	)
AK Steel Corp.		5.00	%	Citibank N.A.	3/20/20		B-		USD	1,100		(144,565	)		(127,147	)		(17,418	)
Apache Corp.		1.00	%	BNP Paribas S.A.	3/20/20		A-		USD	1,050		(13,038	)		(55,872	)		42,834
Apache Corp.		1.00	%	BNP Paribas S.A.	3/20/20		A-		USD	1,050		(13,038	)		(49,347	)		36,309
Apache Corp.		1.00	%	JPMorgan Chase Bank N.A.	3/20/20		A-		USD	2,510		(31,167	)		(107,885	)		76,718
Apache Corp.		1.00	%	JPMorgan Chase Bank N.A.	3/20/20		A-		USD	540		(6,705	)		(23,576	)		16,871
Bank of America Corp.		1.00	%	Barclays Bank PLC	3/20/20		A-		USD	3,200		57,834			40,616			17,218
Chesapeake Energy Corp.		5.00	%	Goldman Sachs International	3/20/20		BB+		USD	1,200		62,124			101,579			(39,455	)
Chesapeake Energy Corp.		5.00	%	JPMorgan Chase Bank N.A.	3/20/20		BB+		USD	1,500		77,656			132,245			(54,589	)
Chesapeake Energy Corp.		5.00	%	JPMorgan Chase Bank N.A.	3/20/20		BB+		USD	725		37,534			55,500			(17,966	)
Chesapeake Energy Corp.		5.00	%	JPMorgan Chase Bank N.A.	3/20/20		BB+		USD	500		25,886			29,134			(3,248	)
Chesapeake Energy Corp.		5.00	%	Morgan Stanley Capital Services LLC	3/20/20		BB+		USD	1,200		62,125			78,110			(15,985	)
Chesapeake Energy Corp.		5.00	%	Morgan Stanley Capital Services LLC	3/20/20		BB+		USD	500		25,885			36,307			(10,422	)
Chesapeake Energy Corp.		5.00	%	Morgan Stanley Capital Services LLC	3/20/20		BB+		USD	307		15,893			23,093			(7,200	)
Citigroup, Inc.		1.00	%	Barclays Bank PLC	3/20/20		A-		USD	3,200		44,580			36,037			8,543
Freeport-McMoRan, Inc.		1.00	%	Citibank N.A.	3/20/20		BBB-		USD	3,720		(245,071	)		(316,964	)		71,893
Freeport-McMoRan, Inc.		1.00	%	Citibank N.A.	3/20/20		BBB-		USD	1,915		(126,159	)		(145,958	)		19,799
Freeport-McMoRan, Inc.		1.00	%	Credit Suisse International	3/20/20		BBB-		USD	765		(50,397	)		(56,134	)		5,737
The Goldman Sachs Group, Inc.		1.00	%	Barclays Bank PLC	3/20/20		A-		USD	3,200		28,298			14,827			13,471
JPMorgan Chase and Co.		1.00	%	Barclays Bank PLC	3/20/20		A		USD	3,200		60,522			49,808			10,714
Morgan Stanley		1.00	%	Barclays Bank PLC	3/20/20		A-		USD	3,200		43,955			17,841			26,114
Novo Banco SA		5.00	%	BNP Paribas S.A.	3/20/20		Not Rated		EUR	575		58,809			55,398			3,411
Novo Banco SA		5.00	%	BNP Paribas S.A.	3/20/20		Not Rated		EUR	575		58,803			55,522			3,281
Republic of Italy		1.00	%	Goldman Sachs International	3/20/20		BBB-		USD	5,000		(17,006	)		(35,075	)		18,069
Transocean, Inc.		1.00	%	Barclays Bank PLC	3/20/20		BB+		USD	3,300		(844,424	)		(829,572	)		(14,852	)
Transocean, Inc.		1.00	%	Barclays Bank PLC	3/20/20		BB+		USD	1,100		(281,474	)		(246,359	)		(35,115	)
Transocean, Inc.		1.00	%	Barclays Bank PLC	3/20/20		BB+		USD	1,100		(281,474	)		(236,503	)		(44,971	)
Transocean, Inc.		1.00	%	Goldman Sachs International	3/20/20		BB+		USD	1,100		(281,474	)		(303,593	)		22,119
United Rentals, Inc.		5.00	%	Barclays Bank PLC	3/20/20		BB-		USD	700		90,925			75,431			15,494
United Rentals, Inc.		5.00	%	Goldman Sachs International	3/20/20		BB-		USD	800		103,915			86,640			17,275
United Rentals, Inc.		5.00	%	Goldman Sachs International	3/20/20		BB-		USD	700		90,926			75,810			15,116

See Consolidated Notes to Financial Statements.

72 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC credit default swaps — sold protection outstanding were as follows: (concluded)

Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date	Credit Rating1		Notional Amount (000)2			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Vougeot Bidco PLC		5.00	%	Goldman Sachs International	3/20/20		B		EUR	340	$	33,539		$	25,960		$	7,579
Vougeot Bidco PLC		5.00	%	Goldman Sachs International	3/20/20		B		EUR	340		33,541			31,188			2,353
Wells Fargo & Co.		1.00	%	Barclays Bank PLC	3/20/20		A+		USD	3,200		95,410			76,113			19,297
Abengoa SA		5.00	%	Barclays Bank PLC	6/20/20		B		EUR	180		(31,574	)		(39,630	)		8,056
Abengoa SA		5.00	%	BNP Paribas S.A.	6/20/20		B		EUR	190		(33,329	)		(35,223	)		1,894
Abengoa SA		5.00	%	BNP Paribas S.A.	6/20/20		B		EUR	127		(22,220	)		(23,138	)		918
Abengoa SA		5.00	%	Credit Suisse International	6/20/20		B		EUR	180		(31,574	)		(40,124	)		8,550
Abengoa SA		5.00	%	Goldman Sachs International	6/20/20		B		EUR	180		(31,574	)		(39,630	)		8,056
The Goldman Sachs Group, Inc.		1.00	%	Bank of America N.A.	6/20/20		A-		USD	8,770		67,576			51,040			16,536
United Mexican States		1.00	%	Bank of America N.A.	6/20/20		BBB+		USD	1,846		(22,016	)		(25,456	)		3,440
United Mexican States		1.00	%	Bank of America N.A.	6/20/20		BBB+		USD	1,845		(22,004	)		(30,053	)		8,049
United Mexican States		1.00	%	Citibank N.A.	6/20/20		BBB+		USD	3,763		(44,883	)		(68,587	)		23,704
United Mexican States		1.00	%	HSBC Bank PLC	6/20/20		BBB+		USD	2,083		(24,840	)		(37,203	)		12,363
Barrick Gold Corp.		1.00	%	Goldman Sachs International	6/20/21		BBB-		USD	3,172		(180,978	)		(233,023	)		52,045
Glencore International AG		1.00	%	BNP Paribas S.A.	6/20/21		BBB		EUR	160		(8,359	)		(18,028	)		9,669
Glencore International AG		1.00	%	Citibank N.A.	6/20/21		BBB		EUR	320		(16,718	)		(37,111	)		20,393
Republic of France		0.25	%	Barclays Bank PLC	6/20/23		AA		USD	1,550		(44,530	)		(98,663	)		54,133
Republic of France		0.25	%	Citibank N.A.	6/20/23		AA		USD	1,670		(47,977	)		(112,261	)		64,284
Republic of France		0.25	%	JPMorgan Chase Bank N.A.	6/20/23		AA		USD	1,670		(47,978	)		(104,312	)		56,334
CMBX.NA Series 7 AAA		0.50	%	Morgan Stanley Capital Services LLC	1/17/47		AAA		USD	5,000		(122,252	)		(172,311	)		50,059
CMBX.NA Series 3 AM		0.50	%	Credit Suisse International	12/13/49		BBB-		USD	920		(15,989	)		(86,739	)		70,750
CMBX.NA Series 3 AM		0.50	%	JPMorgan Chase Bank N.A.	12/13/49		BBB-		USD	5,000		(86,901	)		(452,979	)		366,078
CMBX.NA Series 3 AM		0.50	%	Royal Bank of Scotland PLC	12/13/49		BBB-		USD	2,320		(40,322	)		(221,501	)		181,179
CMBX.NA Series 4 AM		0.50	%	Deutsche Bank AG	2/17/51		BB		USD	2,000		(51,300	)		(284,663	)		233,363
Total											$	(699,923	)	$	(4,016,894	)	$	3,316,971

¹  Using S&P’s rating of the issuer or the underlying securities of the index, as applicable.

²  The maximum potential amount the Master Portfolio may pay should a negative credit event take place as defined under the terms of the agreement.

• As of March 31, 2015, OTC interest rate swaps outstanding were as follows:

Fixed Rate	Floating Rate	Counterparty	Expiration Date	Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
12.30%1	1-day BZDIOVER	Bank of America N.A.	1/04/16		BRL	46,303	$	81,487		$	1,377		$	80,110
12.30%2	1-day BZDIOVER	Credit Suisse International	1/04/16		BRL	30,093		(56,327	)		(895	)		(55,432	)
11.36%2	1-day BZDIOVER	Credit Suisse International	1/04/16		BRL	21,685		(74,993	)		(286	)		(74,707	)
11.12%2	1-day BZDIOVER	Credit Suisse International	1/04/16		BRL	5,825		(28,913	)		(45	)		(28,868	)
11.26%2	1-day BZDIOVER	Deutsche Bank AG	1/04/16		BRL	5,234		(22,620	)		(114	)		(22,506	)
12.14%1	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	59,840		31,529			2,869			28,660
11.83%2	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	27,175		50,084			(1,168	)		51,252
11.80%1	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	26,976		(7,896	)		672			(8,568	)
12.13%1	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	24,659		14,206			1,171			13,035
11.85%2	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	16,143		(22,248	)		(379	)		(21,869	)
11.91%2	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/04/16		BRL	11,845		31,825			(277	)		32,102
4.19%2	28-day MXIBTIIE	Deutsche Bank AG	12/16/16		MXN	99,813		7,479			(509	)		7,988
12.50%2	1-day BZDIOVER	Bank of America N.A.	1/02/17		BRL	12,538		(40,793	)		(475	)		(40,318	)
11.17%1	1-day BZDIOVER	Credit Suisse International	1/02/17		BRL	12,812		138,136			233			137,903
12.18%1	1-day BZDIOVER	Deutsche Bank AG	1/02/17		BRL	7,200		31,740			361			31,379
12.22%1	1-day BZDIOVER	Deutsche Bank AG	1/02/17		BRL	3,929		16,007			204			15,803

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 73

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC interest rate swaps outstanding were as follows: (concluded)

Fixed Rate	Floating Rate	Counterparty	Expiration Date	Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
13.11%2	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/02/17		BRL	8,230	$	(5,786	)	$	(154	)	$	(5,632	)
12.18%2	1-day BZDIOVER	JPMorgan Chase Bank N.A.	1/02/17		BRL	8,211		(26,150	)		(237	)		(25,913	)
4.35%1	28-day MXIBTIIE	Bank of America N.A.	11/17/17		MXN	30,329		8,962			195			8,767
13.34%2	1-day BZDIOVER	Bank of America N.A.	1/02/18		BRL	18,331		22,648			(228	)		22,876
13.14%2	1-day BZDIOVER	Bank of America N.A.	1/02/18		BRL	11,058		(7,433	)		(102	)		(7,331	)
4.69%1	28-day MXIBTIIE	Bank of America N.A.	3/16/18		MXN	40,270		(2,165	)		305			(2,470	)
4.55%1	28-day MXIBTIIE	Barclays Bank PLC	3/21/18		MXN	39,525		7,995			551			7,444
4.57%1	28-day MXIBTIIE	Citibank N.A.	3/21/18		MXN	39,525		6,513			560			5,953
4.85%1	28-day MXIBTIIE	Bank of America N.A.	11/01/18		MXN	23,232		3,604			75			3,529
4.72%1	28-day MXIBTIIE	Citibank N.A.	11/14/18		MXN	35,665		15,520			106			15,414
5.05%1	28-day MXIBTIIE	Citibank N.A.	11/15/19		MXN	25,117		6,252			269			5,983
5.04%1	28-day MXIBTIIE	Bank of America N.A.	11/18/19		MXN	23,840		10,759			85			10,674
4.81%2	28-day MXIBTIIE	Bank of America N.A.	1/28/20		MXN	23,824		(29,543	)		—			(29,543	)
1.96%2	3-month KRW Certificate of Deposit	Citibank N.A.	1/30/20		KRW	6,379,000		36,530			79			36,451
5.59%2	28-day MXIBTIIE	Goldman Sachs International	3/04/20		MXN	95,557		92,491			(389	)		92,880
5.42%2	28-day MXIBTIIE	Goldman Sachs International	3/06/20		MXN	54,720		25,463			(837	)		26,300
5.23%2	28-day MXIBTIIE	Bank of America N.A.	3/12/20		MXN	72,977		(10,005	)		(252	)		(9,753	)
5.21%2	28-day MXIBTIIE	Deutsche Bank AG	3/16/20		MXN	83,955		(18,783	)		(298	)		(18,485	)
12.97%2	1-day BZDIOVER	Bank of America N.A.	1/04/21		BRL	9,908		7,155			(16	)		7,171
11.41%1	1-day BZDIOVER	Bank of America N.A.	1/04/21		BRL	4,756		112,016			120			111,896
12.05%2	1-day BZDIOVER	Bank of America N.A.	1/04/21		BRL	2,974		(41,027	)		(29	)		(40,998	)
11.84%2	1-day BZDIOVER	HSBC Bank PLC	1/04/21		BRL	1,990		(34,619	)		(11	)		(34,608	)
3.27%1	3-month LIBOR	Deutsche Bank AG	5/16/21		USD	9,510		(988,407	)		—			(988,407	)
6.19%2	28-day MXIBTIIE	Goldman Sachs International	7/25/24		MXN	23,177		24,597			(142	)		24,739
6.37%2	28-day MXIBTIIE	JPMorgan Chase Bank N.A.	9/18/24		MXN	17,946		34,151			(114	)		34,265
2.54%2	3-month KRW Certificate of Deposit	Morgan Stanley Capital Services LLC	11/13/24		KRW	1,411,696		59,686			—			59,686
5.84%2	28-day MXIBTIIE	Deutsche Bank AG	11/14/24		MXN	37,523		(27,604	)		(191	)		(27,413	)
5.85%2	28-day MXIBTIIE	Deutsche Bank AG	11/14/24		MXN	16,314		(11,362	)		(83	)		(11,279	)
2.55%2	3-month KRW Certificate of Deposit	Deutsche Bank AG	11/20/24		KRW	1,411,696		58,478			(14	)		58,492
5.73%1	28-day MXIBTIIE	Bank of America N.A.	1/03/25		MXN	23,376		28,776			324			28,452
5.55%2	28-day MXIBTIIE	Bank of America N.A.	1/13/25		MXN	31,430		(67,589	)		(134	)		(67,455	)
5.56%2	28-day MXIBTIIE	Goldman Sachs International	1/13/25		MXN	45,012		(107,232	)		(193	)		(107,039	)
2.24%2	3-month KRW Certificate of Deposit	Bank of America N.A.	1/15/25		KRW	1,346,200		22,616			(4	)		22,620
6.04%2	28-day MXIBTIIE	Bank of America N.A.	3/17/25		MXN	21,288		1,530			(107	)		1,637
6.04%2	28-day MXIBTIIE	Credit Suisse International	3/17/25		MXN	14,192		1,020			(71	)		1,091
7.48%2	3-month JIBAR	JPMorgan Chase Bank N.A.	3/25/25		ZAR	52,535		(69,979	)		(333	)		(69,646	)
Total							$	(712,219	)	$	1,469		$	(713,688	)

¹  Master Portfolio pays the fixed rate and receives the floating rate.

²  Master Portfolio pays the floating rate and receives the fixed rate.

See Consolidated Notes to Financial Statements.

74 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

• As of March 31, 2015, OTC cross-currency swaps outstanding were as follows:

		Notional Amount (000)
Fund Pays	Fund Receives	Fund Pays			Fund Receives			Counterparty	Expiration Date	Value			Premiums Received			Unrealized Depreciation
3-month LIBOR	3-month EURIBOR minus 0.315%		EUR	44,829		USD	49,872	Credit Suisse International	3/06/20	$	(3,388,275	)	$	(62,167	)	$	(3,326,108	)
3-month LIBOR	3-month EURIBOR minus 0.33125%		EUR	29,351		USD	31,591	Credit Suisse International	4/02/20		(36,967	)		(30,267	)		(6,700	)
Total										$	(3,425,242	)	$	(92,434	)	$	(3,332,808	)

• As of March 31, 2015, OTC total return swaps outstanding were as follows:

Reference Entity	Fixed Rate/ Floating Rate	Counterparty	Expiration Date	Notional Amount/ Contract Amount (000)3				Value			Premiums Paid (Received)		Unrealized Appreciation (Depreciation)
Telecom Italia SpA	3-month EURIBOR minus 0.40%1	Citibank N.A.	5/04/15		EUR	804		$	(131,807	)		—	$	(131,807	)
Telecom Italia SpA	3-month EURIBOR  minus 0.40%1	Citibank N.A.	5/07/15		EUR	809			(132,672	)		—		(132,672	)
Volkswagen AG	3-month EURIBOR minus 0.20%1	Bank of America N.A.	5/22/15		EUR	3			(213,957	)		—		(213,957	)
Volkswagen AG	3-month EURIBOR minus 0.40%1	Bank of America N.A.	5/22/15		EUR	3			(212,534	)		—		(212,534	)
Telecom Italia SpA	3-month EURIBOR minus 0.25%1	BNP Paribas S.A.	6/11/15		EUR	112			(11,160	)		—		(11,160	)
Telecom Italia SpA	3-month EURIBOR minus 0.25%1	BNP Paribas S.A.	6/12/15		EUR	297			(29,385	)		—		(29,385	)
Repsol SA	0% Fixed1	Citibank N.A.	7/17/15		EUR	—	3		(727	)		—		(727	)
Repsol SA	3-month EURIBOR minus 0.50%1	Citibank N.A.	7/17/15		EUR	1			(24,902	)		—		(24,902	)
Telecom Italia SpA	3-month EURIBOR minus 0.30%1	BNP Paribas S.A.	7/17/15		EUR	1,047			(241,236	)		—		(241,236	)
Aperam SA	3-month EURIBOR minus 0.25%1	BNP Paribas S.A.	9/18/15		EUR	2			(26,650	)		—		(26,650	)
Aperam SA	3-month EURIBOR minus 0.35%1	JPMorgan Chase Bank N.A.	9/30/15		EUR	1			(7,693	)		—		(7,693	)
Telecom Italia SpA	3-month EURIBOR minus 0.25%1	JPMorgan Chase Bank N.A.	11/10/15		EUR	1,244			(316,453	)		—		(316,453	)
Telecom Italia SpA	3-month EURIBOR minus 0.30%1	JPMorgan Chase Bank N.A.	11/10/15		EUR	76			(14,894	)		—		(14,894	)
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	233			(18,084	)		—		(18,084	)
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	216			12,918			—		12,918
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	62			4,788			—		4,788
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	53			(3,043	)		—		(3,043	)

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 75

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC total return swaps outstanding were as follows: (continued)

Reference Entity	Fixed Rate/ Floating Rate	Counterparty	Expiration Date	Notional Amount/ Contract Amount (000)3			Value			Premiums Paid (Received)		Unrealized Appreciation (Depreciation)
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	41	$	(2,455	)		—	$	(2,455	)
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	24		2,097			—		2,097
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	20		684			—		684
Bankia SA	3-month EURIBOR minus 0.40%1	JPMorgan Chase Bank N.A.	11/12/15		EUR	16		590			—		590
Repsol SA	3-month EURIBOR minus 0.20%1	Goldman Sachs International	11/12/15		EUR	51		3,391			—		3,391
Bankia SA	3-month EURIBOR minus 0.50%1	JPMorgan Chase Bank N.A.	12/17/15		EUR	146		(8,830	)		—		(8,830	)
Bankia SA	3-month EURIBOR minus 0.50%1	JPMorgan Chase Bank N.A.	12/17/15		EUR	74		(1,791	)		—		(1,791	)
Comcast Corp.	3-month LIBOR minus 0.30%1	Bank of America N.A.	12/31/15		USD	23		24,709			—		24,709
Banco Bilbao	1-month
Vizcaya Argentaria SA	EURIBOR minus 0.35%1	BNP Paribas S.A.	1/16/16		EUR	49		(28,590	)		—		(28,590	)
Aperam SA	3-month EURIBOR minus 0.50%1	JPMorgan Chase Bank N.A.	1/18/16		EUR	6		(79,027	)		—		(79,027	)
Bankia SA	3-month EURIBOR minus 0.35%1	BNP Paribas S.A.	1/18/16		EUR	255		(33,677	)		—		(33,677	)
Repsol SA	3-month EURIBOR minus 0.30%1	BNP Paribas S.A.	1/18/16		EUR	1		(3,071	)		—		(3,071	)
Standard Chartered PLC	1-month LIBOR minus 0.40%1	Goldman Sachs International	1/18/16		GBP	34		(101,291	)		—		(101,291	)
Volkswagen AG	3-month EURIBOR minus 0.43%1	BNP Paribas S.A.	1/18/16		EUR	3		(162,706	)		—		(162,706	)
Volkswagen AG	3-month EURIBOR minus 0.43%1	BNP Paribas S.A.	1/18/16		EUR	4		(152,060	)		—		(152,060	)
Freeport-McMoRan Copper & Gold, Inc.	3-month LIBOR minus 0.30%1	Bank of America N.A.	1/29/16		USD	33		(64,738	)		—		(64,738	)
Standard Chartered PLC	3-month LIBOR minus 0.25%1	BNP Paribas S.A.	3/09/16		GBP	32		(56,674	)		—		(56,674	)
Altice SA	3-month EURIBOR minus 0.40%1	BNP Paribas S.A.	3/11/16		EUR	5		(4,909	)		—		(4,909	)
Volkswagen AG	3-month EURIBOR minus 0.10%1	JPMorgan Chase Bank N.A.	3/16/16		EUR	9		(17,990	)		—		(17,990	)
Energy Select Sector SPDR Fund	3-month LIBOR minus 0.20%1	Bank of America N.A.	3/19/16		USD	12		(18,048	)		—		(18,048	)
Return on Markit IOS 6.00%, 30-year,fixed rate Fannie Mae	1-month LIBOR1	Deutsche Bank AG	1/12/39		USD	843		(5,944	)	$	686		(6,630	)

See Consolidated Notes to Financial Statements.

76 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

As of March 31, 2015, OTC total return swaps outstanding were as follows: (concluded)

Reference Entity	Fixed Rate/ Floating Rate	Counterparty	Expiration Date	Notional Amount/ Contract Amount (000)3			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Return on Markit IOS 6.00%, 30-year, fixed rate Fannie Mae	1-month LIBOR1	Deutsche Bank AG	1/12/39		USD	587	$	(4,139	)	$	5,542		$	(9,681	)
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Citibank N.A.	1/12/41		USD	1,347		(15,774	)		(13,625	)		(2,149	)
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,383		(16,189	)		(11,905	)		(4,284	)
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,347		(15,773	)		(20,521	)		4,748
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,347		(16,970	)		(17,146	)		176
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,347		(15,773	)		(7,556	)		(8,217	)
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,312		(15,359	)		15,012			(30,371	)
Return on Markit IOS 4.50%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/41		USD	1,312		(15,358	)		17,231			(32,589	)
Return on Markit IOS 4.00%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/45		USD	2,664		(48,116	)		(21,963	)		(26,153	)
Return on Markit IOS 4.00%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Credit Suisse International	1/12/45		USD	1,400		(23,229	)		(25,070	)		1,841
Return on Markit IOS 4.00%, 30-year, fixed rate Fannie Mae	1-month LIBOR2	Goldman Sachs Bank USA	1/12/45		USD	1,400		(23,228	)		(10,603	)		(12,625	)
Total							$	(2,287,729	)	$	(89,918	)	$	(2,197,811	)

¹  Master Portfolio pays the total return of the reference entity and receives the floating rate.

²  Master Portfolio pays the floating rate and receives the total return of the reference entity.

³  Amount is less than 500.

• Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial statement purposes. 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. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and is not necessarily an indication of the risks associated with investing in those securities. The three levels of the fair value hierarchy are as follows:

• Level 1 — unadjusted quoted prices in active markets/exchanges for identical assets or liabilities that the 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)

• Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Master Portfolio’s own assumptions used in determining the fair value of investments and derivative financial instruments)

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 77

Consolidated Schedule of Investments (continued) Master Total Return Portfolio

Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the Master Portfolio’s policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of the reporting period. For information about the Master Portfolio’s policy regarding valuation of investments and derivative financial instruments, please refer to Note 2 of the Notes to Consolidated Financial Statements.

The following tables summarize the Master Portfolio’s investments and derivative financial instruments categorized in the disclosure hierarchy as of March 31, 2015:

	Level 1				Level 2				Level 3			Total
Assets:
Investments:
Long-Term Investments:
Asset-Backed Securities			—			$	669,463,998			$	128,643,690		$	798,107,688
Common Stocks		$	15,288,328				6,737,459				—			22,025,787
Corporate Bonds			—				1,928,159,323				1,218,057			1,929,377,380
Floating Rate Loan Interests			—				92,473,172				2,134,116			94,607,288
Foreign Agency Obligations			—				31,495,535				—			31,495,535
Foreign Government Obligations			—				207,360,204				—			207,360,204
Non-Agency Mortgage-Backed Securities			—				481,586,242				81,230,345			562,816,587
Other Interests			—				1				—			1
Preferred Securities			20,109,818				82,093,991				1,810,268			104,014,077
Taxable Municipal Bonds			—				352,675,723				—			352,675,723
U.S. Government Sponsored Agency Securities			—				4,755,499,327				6,581,324			4,762,080,651
U.S. Treasury Obligations			—				1,935,107,660				—			1,935,107,660
Short-Term Securities:
Borrowed Bond Agreements			—				108,012,651				—			108,012,651
Mutual Funds			12,866,608				—				—			12,866,608
Options Purchased:
Equity Contracts			2,524,515				605,560				—			3,130,075
Foreign Currency Exchange Contracts			—				14,462,647				—			14,462,647
Interest Rate Contracts			520,688				13,910,599				—			14,431,287
Liabilities:
Investments in Securities:
TBA Sale Commitments			—				(2,743,317,272	)			—			(2,743,317,272	)
Borrowed Bonds			—				(107,810,829	)			—			(107,810,829	)
Total		$	51,309,957			$	7,828,515,991			$	221,617,800		$	8,101,443,748
	Level 1				Level 2				Level 3			Total
Derivative Financial Instruments1
Assets:
Credit contracts			—			$	4,730,368				—		$	4,730,368
Equity contracts		$	178,872				49,177				—			228,049
Foreign currency exchange contracts			—				48,673,794				—			48,673,794
Interest rate contracts			4,471,032				1,481,899				—			5,952,931
Liabilities:
Credit contracts			—				(6,530,841	)			—			(6,530,841	)
Equity contracts			(853,280	)			(2,121,054	)			—			(2,974,334	)
Foreign currency exchange contracts			(122,124	)			(26,711,695	)			—			(26,833,819	)
Interest rate contracts			(4,946,132	)			(21,671,113	)			—			(26,617,245	)
Total		$	(1,271,632	)		$	(2,099,465	)			—		$	(3,371,097	)
1    Derivative financial instruments are swaps, financial futures contracts, forward foreign currency exchange contracts and options written. Swaps, financial futures contracts and forward foreign currency exchange contracts are valued at the unrealized appreciation/depreciation on the instrument and options written are shown at value.

See Consolidated Notes to Financial Statements.

78 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Schedule of Investments (concluded) Master Total Return Portfolio

The carrying amount or face value, including accrued interest, for certain of the Master Portfolio’s assets and/or liabilities approximates fair value for financial reporting purposes. As of March 31, 2015, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:

	Level 1			Level 2				Level 3		Total
Assets:
Cash		$	14,890,057			—			—		$	14,890,057
Foreign currency at value			15,292,816			—			—			15,292,816
Cash pledged for financial futures contracts			9,256,000			—			—			9,256,000
Cash pledged as collateral for OTC derivatives			3,550,000			—			—			3,550,000
Cash pledged for centrally cleared swaps			9,830,000			—			—			9,830,000
Liabilities:
Reverse repurchase agreements			—		$	(1,116,862,197	)		—			(1,116,862,197	)
Cash received as collateral for OTC derivatives			—			(2,900,000	)		—			(2,900,000	)
Cash received as collateral for TBA commitments			—			(2,497,000	)		—			(2,497,000	)
Total		$	52,818,873		$	(1,122,259,197	)		—		$	(1,069,440,324	)

There were no transfers between Level 1 and Level 2 during the year ended March 31, 2015.

A reconciliation of Level 3 investments is presented when the Master Portfolio had a significant amount of Level 3 investments at the beginning and/or end of the period in relation to net assets. The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used in determining fair value:

	Asset-Backed Securities			Corporate Bonds			Floating Rate Loan Interests			Non-Agency Mortgage-Backed Securities			Other Interests			Preferred Securities			U.S. Government Sponsored Agency  Securities			Total
Assets:
Opening Balance, as of September 30, 2014	$	33,947,846			—		$	9,752,869		$	22,024,354		$	1		$	2,346,986			—		$	68,072,056
Transfers into Level 3		39,230,940			—			—			—			—			—			—			39,230,940
Transfers out of Level 31		(11,500,099	)		—			—			(12,831	)		(1	)		—			—			(11,512,931	)
Accrued discounts/premiums		19,137		$	3,754			3,073			21,738			—			—		$	(960	)		46,742
Net realized gain (loss)		6,902			11,462			2,761			59,984			—			—			—			81,109
Net change in unrealized appreciation/depreciation2,3		(851,215	)		(139,561	)		(182,461	)		(195,970	)		—			(536,718	)		12,866			(1,893,059	)
Purchases		81,560,866			1,520,444			—			66,044,450			—			—			6,569,418			155,695,178
Sales		(13,770,687	)		(178,042	)		(7,442,126	)		(6,711,380	)		—			—			—			(28,102,235	)
Closing Balance, as of March 31, 2015	$	128,643,690		$	1,218,057		$	2,134,116		$	81,230,345			—		$	1,810,268		$	6,581,324		$	221,617,800
Net change in unrealized appreciation/depreciation on investments still held at March 31, 20153	$	(850,568	)	$	(139,561	)	$	(4,721	)	$	(196,883	)		—		$	(536,718	)	$	12,866		$	(1,715,585	)

¹  As of September 30, 2014, the Master Portfolio used significant unobservable inputs in determining the value of certain investments. As of March 31, 2015, the Master Portfolio used observable inputs in determining the value of the same investments. As a result, investments with a beginning of period value of $11,512,931 transferred from Level 3 to Level 2 in the disclosure hierarchy.

²  Included in the related net change in unrealized appreciation/depreciation in the Consolidated Statement of Operations.

³  Any difference between Net change in unrealized appreciation/depreciation and Net change in unrealized appreciation/depreciation on investments still held at March 31, 2015 is generally due to investments no longer held or categorized as Level 3 at period end.

The Master Portfolio’s investments that are categorized as Level 3 were valued utilizing third party pricing information without adjustment. Such valuations are based on unobservable inputs. A significant change in third party information could result in a significantly lower or higher value in such Level 3 investments.

See Consolidated Notes to Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 79

Consolidated Statement of Assets and Liabilities Master Total Return Portfolio

March 31, 2015 (Unaudited)
Assets
Investments at value — unaffiliated (cost — $10,880,051,897)	$	10,939,698,152
Investments at value — affiliated (cost — $12,873,806)		12,873,697
Cash		14,890,057
Cash pledged as collateral for OTC derivatives		3,550,000
Cash pledged for centrally cleared swaps		9,830,000
Cash pledged for financial futures contracts		9,256,000
Foreign currency at value (cost — $15,360,411)		15,292,816
Variation margin receivable on financial futures contracts		1,026,438
Variation margin receivable on centrally cleared swaps		916,707
Investments sold receivable		153,113,081
Swaps receivable		151,439
TBA sale commitments receivable		2,731,349,440
Swap premiums paid		4,936,427
Interest rate floors premiums paid		2,609,173
Unrealized appreciation on forward foreign currency exchange contracts		48,673,794
Unrealized appreciation on OTC swaps		5,275,857
Unrealized appreciation on interest rate floors		448,382
Contributions receivable from investors		11,371,464
Interest receivable		34,663,441
Dividends receivable — unaffiliated		29,613
Prepaid expenses		17,933
Other assets		1,599
Total assets		13,999,975,510
Liabilities
Options written at value (premiums received — $20,097,434)		24,917,981
Borrowed bonds at value (proceeds — $107,498,813)		107,810,829
TBA sale commitments at value (proceeds — $2,731,349,440)		2,743,317,272
Reverse repurchase agreements		1,116,862,197
Cash received as collateral for OTC derivatives		2,900,000
Cash received as collateral for TBA commitments		2,497,000
Variation margin payable on financial futures contracts		842,495
Investments purchased payable		3,313,529,470
Swaps payable		239,103
Swap premiums received		7,696,216
Interest rate floors premiums received		711,593
Unrealized depreciation on forward foreign currency exchange contracts		16,515,512
Unrealized depreciation on OTC swaps		13,734,904
Unrealized depreciation on interest rate floors		1,156,723
Interest expense payable		912,269
Investment advisory fees payable		319,466
Professional fees payable		29,483
Directors’ fees payable		10,048
Other affiliates payable		17,103
Other accrued expenses payable		258,982
Total liabilities		7,354,278,646
Net Assets	$	6,645,696,864
Net Assets Consist of
Investors’ capital	$	6,583,100,733
Net unrealized appreciation/depreciation		62,596,131
Net Assets	$	6,645,696,864

See Notes to Consolidated Financial Statements.

80 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Consolidated Statement of Operations Master Total Return Portfolio

Six Months Ended March 31, 2015 (Unaudited)
Investment Income
Interest — unaffiliated	$	83,724,414
Dividends — unaffiliated		647,696
Dividends — affiliated		8,560
Interest — affiliated		48
Foreign taxes withheld		(6,501	)
Total income		84,374,217
Expenses
Investment advisory		1,622,767
Accounting services		271,596
Custodian		257,467
Professional		78,533
Directors		31,712
Printing		3,797
Miscellaneous		80,697
Total expenses excluding interest expense		2,346,569
Interest expense		773,093
Total expenses		3,119,662
Less fees waived by Manager		(9,851	)
Total expenses after fees waived		3,109,811
Net investment income		81,264,406
Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments — unaffiliated		53,469,386
Investments — affiliated		1,154
Options written and structured options		637,531
Financial futures contracts		5,780,960
Swaps		(6,399,229	)
Foreign currency transactions		69,736,738
Borrowed bonds		(815,355	)
		122,411,185
Net change in unrealized appreciation/depreciation on:
Investments — unaffiliated		10,820,325
Investments — affiliated		41
Options written and structured options		3,688,465
Financial futures contracts		360,922
Interest rate floors		(708,341	)
Swaps		(6,407,582	)
Foreign currency translations		2,062,368
Short Sales		(3,215	)
Unfunded floating rate loan interests		134,852
Borrowed bonds		1,130,384
		11,078,219
Total realized and unrealized gain		133,489,404
Net Increase in Net Assets Resulting from Operations	$	214,753,810

See Notes to Consolidated Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 81

Consolidated Statements of Changes in Net Assets Master Total Return Portfolio

Increase (Decrease) in Net Assets:	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30, 2014
Operations
Net investment income	$	81,264,406		$	134,783,460
Net realized gain		122,411,185			77,891,869
Net change in unrealized appreciation/depreciation		11,078,219			18,644,434
Net increase in net assets resulting from operations		214,753,810			231,319,763
Capital Transactions
Proceeds from contributions		3,716,964,451	1		1,051,326,985
Value of withdrawals		(717,790,793	)		(1,182,035,050	)
Net decrease in net assets derived from capital transactions		2,999,173,658			(130,708,065	)
Net Assets
Total increase in net assets		3,213,927,468			100,611,698
Beginning of period		3,431,769,396			3,331,157,698
End of period	$	6,645,696,864		$	3,431,769,396

¹  Includes reimbursement from affiliate relating to processing errors.

See Notes to Consolidated Financial Statements.

82 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Financial Highlights Master Total Return Portfolio

	Six Months Ended March  31, 20151 (Unaudited)			Year Ended September 30,
				20141			20131			20121			2011			2010
Total Return
Total return		4.23	%2		7.15	%		1.30	%		10.04	%		2.82	%		13.05	%
Ratios to Average Net Assets
Total expenses		0.12	%3		0.25	%		0.32	%		0.29	%		0.56	%		0.58	%
Total expenses after fees waived and paid indirectly		0.12	%3		0.25	%		0.32	%		0.29	%		0.56	%		0.58	%
Total expenses after fees waived and paid indirectly and excluding interest expense		0.09	%3		0.14	%		0.12	%		0.12	%		0.11	%		0.13	%
Net investment income		3.06	%3		4.03	%		3.59	%		4.20	%		4.67	%		4.97	%
Supplemental Data
Net assets, end of period (000)	$	6,645,697		$	3,431,769		$	3,331,158		$	3,470,151		$	3,899,364		$	3,591,890
Portfolio turnover rate4		529	%		750	%		777	%		1,346	%		1,771	%		1,754	%

¹  Consolidated Financial Highlights.

²  Aggregate total return.

³  Annualized.

⁴  Includes mortgage dollar roll transactions. Additional information regarding portfolio turnover rate is as follows:

	Six Months Ended March 31, 2015 (Unaudited)			Year Ended September 30,
				2014			2013			2012			2011			2010
Portfolio turnover rate (excluding mortgage dollar roll transactions)		468	%		529	%		450	%		752	%		1,379	%		1,248%

See Notes to Consolidated Financial Statements.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 83

Notes to Consolidated Financial Statements (Unaudited) Master Total Return Portfolio

1. Organization:

Master Total Return Portfolio (the “Master Portfolio”), a series of Master Bond LLC (the “Master LLC”), is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as a diversified, open-end management investment company. The Master LLC is organized as a Delaware limited liability company. The Limited Liability Company Agreement of the Master LLC permits the Board of Directors of the Master LLC (the “Board”) to issue nontransferable interests in the Master LLC, subject to certain limitations.

Basis of Consolidation: The accompanying consolidated financial statements include the accounts of BlackRock Cayman Master Total Return Portfolio I, Ltd. (the “Subsidiary”), which is a wholly owned subsidiary of the Master Portfolio and primarily invests in commodity-related instruments. The Subsidiary enables the Master Portfolio to hold these commodity-related instruments while allowing its investors to satisfy regulated investment company tax requirements. The Master Portfolio may invest up to 25% of its total assets in the Subsidiary. Intercompany accounts and transactions, if any, have been eliminated. The Subsidiary is subject to the same investment policies and restrictions that apply to the Master Portfolio, except that the Subsidiary may invest without limitation in commodity-related instruments.

2. Significant Accounting Policies:

The Master Portfolio’s consolidated 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 consolidated 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. The Master Portfolio is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. The following is a summary of significant accounting policies followed by the Master Portfolio:

Valuation: The Master Portfolio investments are valued at fair value as of the close of trading on the New York Stock Exchange (“NYSE”) (generally 4:00 p.m., Eastern time). U.S. GAAP defines fair value as the price the Master Portfolio would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Master Portfolio determines the fair values of its financial instruments at market value using independent dealers or pricing services under policies approved by the Board. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to provide oversight of the pricing function for the Master Portfolio for all financial instruments.

Bond investments are valued on the basis of last available bid prices or current market quotations provided by dealers or pricing services. Floating rate loan interests are valued at the mean of the bid prices from one or more brokers or dealers as obtained from a pricing service. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrixes, market transactions in comparable investments, various relationships observed in the market between investments and calculated yield measures. Asset-backed and mortgage-backed securities are valued by independent pricing services using models that consider estimated cash flows of each tranche of the security, establish a benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique attributes of the tranche. Financial futures contracts traded on exchanges are valued at their last sale price. To-be-announced (“TBA”) commitments are valued on the basis of last available bid prices or current market quotations provided by pricing services. Swap agreements are valued utilizing quotes received daily by the Master Portfolio’s pricing service or through brokers, which are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades and values of the underlying reference instruments. Certain centrally cleared swaps are valued at the price determined by the relevant exchange or clearinghouse. Investments in open-end registered investment companies are valued at NAV each business day. Short-term securities with remaining maturities of 60 days or less may be valued at amortized cost, which approximates fair value.

Municipal investments (including commitments to purchase such investments on a “when-issued” basis) are valued on the basis of prices provided by dealers or pricing services. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrixes, market transactions in comparable investments and information with respect to various relationships between investments.

Equity investments traded on a recognized securities exchange are valued at the official close price each day, if available. For equity investments traded on more than one exchange, the official close price on the exchange where the stock is primarily traded is used. Equity investments traded on a recognized exchange for which there were no sales on that day may be valued at the last available bid (long positions) or ask (short positions) price.

Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates determined as of the close of business on the NYSE. Forward foreign currency exchange contracts are valued at the mean between the bid and ask prices and are determined as of the close of business on the NYSE. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available.

84 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

Exchange-traded options are valued at the mean between the last bid and ask prices at the close of the options market in which the options trade. An exchange-traded option for which there is no mean price is valued at the last bid (long positions) or ask (short positions) price. If no bid or ask price is available, the prior day’s price will be used, unless it is determined that the prior day’s price no longer reflects the fair value of the option. Over-the-counter (“OTC”) options and options on swaps (“swaptions”) are valued by an independent pricing service using a mathematical model, which incorporates a number of market data factors, such as the trades and prices of the underlying instruments.

In the event that the application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, or its delegate, in accordance with a policy approved by the Board as reflecting fair value (“Fair Value Investments”). When determining the price for Fair Value Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that the Master Portfolio might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant consistent with the principles of fair value measurement, which include the market approach, income approach and/or in the case of recent investments, the cost approach, as appropriate. The market approach generally consists of using comparable market transactions. The income approach generally is used to discount future cash flows to present value and is adjusted for liquidity as appropriate. These factors include but are not limited to: (i) attributes specific to the investment or asset; (ii) the principal market for the investment or asset; (iii) the customary participants in the principal market for the investment or asset; (iv) data assumptions by market participants for the investment or asset, if reasonably available; (v) quoted prices for similar investments or assets in active markets; and (vi) other factors, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks, recovery rates, liquidation amounts and/or default rates. Due to the inherent uncertainty of valuations of such investments, the fair values may differ from the values that would have been used had an active market existed. The Global Valuation Committee, or its delegate, employs various methods for calibrating valuation approaches for investments where an active market does not exist, including regular due diligence of the Master Portfolio’s pricing vendors, regular reviews of key inputs and assumptions, transactional back-testing or disposition analysis to compare unrealized gains and losses to realized gains and losses, reviews of missing or stale prices and large movements in market values and reviews of any market related activity. The pricing of all Fair Value Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

Generally, trading in foreign instruments is substantially completed each day at various times prior to the close of business on the NYSE. Occasionally, events affecting the values of such instruments may occur between the foreign market close and the close of business on the NYSE that may not be reflected in the computation of the Fund’s net assets. If events (e.g., a company announcement, market volatility or a natural disaster) occur during such periods that are expected to materially affect the value of such instruments, those instruments may be Fair Value Investments and be valued at their fair value, as determined in good faith by the Global Valuation Committee, or its delegate, using a pricing service and/or policies approved by the Board. Each business day, the Fund uses a pricing service to assist with the valuation of certain foreign exchange-traded equity securities and foreign exchange-traded and OTC options (the “Systematic Fair Value Price”). Using current market factors, the Systematic Fair Value Price is designed to value such foreign securities and foreign options at fair value as of the close of business on the NYSE, which follows the close of the local markets.

Foreign Currency: The Master Portfolio’s books and records are maintained in U.S. dollars. Purchases and sales of investment securities 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 Master Portfolio’s investments denominated in that currency will lose value because that currency is worth fewer U.S. dollars; the opposite effect occurs if the U.S. dollar falls in relative value.

The Master Portfolio does not isolate the portion of the results of operations arising as a result of changes in the foreign exchange rates from the changes in the market prices of investments held or sold for financial reporting purposes. Accordingly, the effects of changes in foreign currency exchange rates on investments are not segregated in the Consolidated Statement 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. The Master Portfolio 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 federal income tax purposes.

The Master Portfolio does not isolate the portion of the results of operations arising as a result of changes in the foreign exchange rates from the changes in the market prices of investments held or sold for financial reporting purposes. Accordingly, the effects of changes in foreign currency exchange rates on investments are not segregated in the Consolidated Statement 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. The Master Portfolio 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 federal income tax purposes. The Master Portfolio has elected to treat realized gains (losses) from certain foreign currency exchange contracts as capital gain (loss) for federal income tax purposes.

Segregation and Collateralization: In cases where the Master Portfolio enters into certain investments (e.g., dollar rolls, TBA sale commitments, financial futures contracts, forward foreign currency exchange contracts, options written, swaps, short sales and structured options), or certain borrowings (e.g., reverse repurchase transactions and treasury roll transactions) that would be “senior securities” for 1940 Act purposes, the Master Portfolio may

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 85

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

segregate or designate on its books and records cash or liquid securities having a market value at least equal to the amount of the Master Portfolio’s future obligations under such investments or borrowings. Doing so allows the investment or borrowing to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Master Portfolio may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

Investment Transactions and Investment Income: For financial reporting purposes, investment transactions are recorded on the dates the transactions are entered into (the trade dates). Realized gains and losses on investment transactions are determined on the identified cost basis. Dividend income is recorded on the ex-dividend date. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Master Portfolio is informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain. Interest income, including amortization and accretion of premiums and discounts on debt securities, is recognized on the accrual basis. Income, expenses and realized and unrealized gains and losses are allocated daily to each class based on its relative net assets.

Recent Accounting Standard: In June 2014, the Financial Accounting Standards Board issued guidance to improve the financial reporting of reverse repurchase agreements and other similar transactions. The guidance will require expanded disclosure for entities that enter into reverse repurchase agreements and similar transactions accounted for as secured borrowings. It is effective for financial statements with fiscal years beginning on or after December 15, 2014 and for interim periods beginning after March 31, 2015. Management is evaluating the impact, if any, of this guidance on the Master Portfolio’s financial statement disclosures.

Other: Expenses directly related to the Master Portfolio are charged to the Master Portfolio. Other operating expenses shared by several funds are prorated among those funds on the basis of relative net assets or other appropriate methods.

The Master Portfolio has an arrangement with its custodian whereby fees may be reduced by credits earned on uninvested cash balances, which, if applicable, are shown as fees paid indirectly in the Consolidated Statement of Operations. The custodian imposes fees on overdrawn cash balances, which can be offset by accumulated credits earned or may result in additional custody charges.

3. Securities and Other Investments:

Asset-Backed and Mortgage-Backed Securities: The Master Portfolio may invest in asset-backed securities. Asset-backed securities are generally issued as pass-through certificates, which represent undivided fractional ownership interests in an underlying pool of assets, or as debt instruments, which are also known as collateralized obligations, and are generally issued as the debt of a special purpose entity organized solely for the purpose of owning such assets and issuing such debt. Asset-backed securities are often backed by a pool of assets representing the obligations of a number of different parties. The yield characteristics of certain asset-backed securities may differ from traditional debt securities. One such major difference is that all or a principal part of the obligations may be prepaid at any time because the underlying assets (i.e., loans) may be prepaid at any time. As a result, a decrease in interest rates in the market may result in increases in the level of prepayments as borrowers, particularly mortgagors, refinance and repay their loans. An increased prepayment rate with respect to an asset-backed security subject to such a prepayment feature will have the effect of shortening the maturity of the security. In addition, the Master Portfolio may subsequently have to reinvest the proceeds at lower interest rates. If the Master Portfolio has purchased such an asset-backed security at a premium, a faster than anticipated prepayment rate could result in a loss of principal to the extent of the premium paid.

The Master Portfolio may purchase certain mortgage pass-through securities. There are a number of important differences among the agencies and instrumentalities of the U.S. Government that issue mortgage-related securities and among the securities that they issue. For example, mortgage-related securities guaranteed by Ginnie Mae are guaranteed as to the timely payment of principal and interest by Ginnie Mae and such guarantee is backed by the full faith and credit of the United States. However, mortgage-related securities issued by Freddie Mac and Fannie Mae, including Freddie Mac and Fannie Mae guaranteed mortgage pass-through certificates, which are solely the obligations of Freddie Mac and Fannie Mae, are not backed by or entitled to the full faith and credit of the United States, but are supported by the right of the issuer to borrow from the U.S. Treasury.

Collateralized Debt Obligations: The Master Portfolio may invest in collateralized debt obligations (“CDOs”), which include collateralized bond obligations (“CBOs”) and collateralized loan obligations (“CLOs”). CBOs and CLOs are types of asset-backed securities. A CDO is an entity that is backed by a diversified pool of debt securities (CBOs) or syndicated bank loans (CLOs). The cash flows of the CDO can be split into multiple segments, called “tranches,” which will vary in risk profile and yield. The riskiest segment is the subordinated or “equity” tranche. This tranche bears the greatest risk of defaults from the underlying assets in the CDO and serves to protect the other, more senior, tranches from default in all but the most severe circumstances. Since it is shielded from defaults by the more junior tranches, a “senior” tranche will typically have higher credit ratings and lower yields than their underlying securities, and often receive investment grade ratings from one or more of the nationally recognized rating agencies. Despite the protection from the more junior tranches, senior tranches can experience substantial losses due to actual defaults, increased sensitivity to future defaults and the disappearance of one or more protecting tranches as a result of changes in the credit profile of the underlying pool of assets.

86 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

Inflation-Indexed Bonds: The Master Portfolio may invest in inflation-indexed bonds. Inflation-indexed bonds are fixed income securities whose principal value is periodically adjusted according to the rate of inflation. If the index measuring inflation rises or falls, the principal value of inflation-indexed bonds will be adjusted upward or downward, and consequently the interest payable on these securities (calculated with respect to a larger or smaller principal amount) will be increased or reduced, respectively. Any upward or downward adjustment in the principal amount of an inflation-indexed bond will be included as interest income in the Consolidated Statement of Operations, even though investors do not receive their principal until maturity. Repayment of the original bond principal upon maturity (as adjusted for inflation) is guaranteed in the case of U.S. Treasury inflation-indexed bonds. For bonds that do not provide a similar guarantee, the adjusted principal value of the bond repaid at maturity may be less than the original principal.

Multiple Class Pass-Through Securities: The Master Portfolio may invest in multiple class pass-through securities, including collateralized mortgage obligations (“CMOs”) and commercial mortgage-backed securities. These multiple class securities may be issued by Ginnie Mae, U.S. Government agencies or instrumentalities or by trusts formed by private originators of, or investors in, mortgage loans. In general, CMOs are debt obligations of a legal entity that are collateralized by, and multiple class pass-through securities represent direct ownership interests in, a pool of residential or commercial mortgage loans or mortgage pass-through securities (the “Mortgage Assets”), the payments on which are used to make payments on the CMOs or multiple pass-through securities. Classes of CMOs include interest only (“IOs”), principal only (“POs”), planned amortization classes and targeted amortization classes. IOs and POs are stripped mortgage-backed securities representing interests in a pool of mortgages, the cash flow from which has been separated into interest and principal components. IOs receive the interest portion of the cash flow while POs receive the principal portion. IOs and POs can be extremely volatile in response to changes in interest rates. As interest rates rise and fall, the value of IOs tends to move in the same direction as interest rates. POs perform best when prepayments on the underlying mortgages rise since this increases the rate at which the principal is returned and the yield to maturity on the PO. When payments on mortgages underlying a PO are slower than anticipated, the life of the PO is lengthened and the yield to maturity is reduced. If the underlying Mortgage Assets experience greater than anticipated pre-payments of principal, the Master Portfolio may not fully recoup its initial investment in IOs.

Stripped Mortgage-Backed Securities: The Master Portfolio may invest in stripped mortgage-backed securities issued by the U.S. Government, its agencies and instrumentalities. Stripped mortgage-backed securities are usually structured with two classes that receive different proportions of the interest (IOs) and principal (POs) distributions on a pool of Mortgage Assets. The Master Portfolio also may invest in stripped mortgage-backed securities that are privately issued.

Zero-Coupon Bonds: The Master Portfolio may invest in zero-coupon bonds, which are normally issued at a significant discount from face value and do not provide for periodic interest payments. Zero-coupon bonds may experience greater volatility in market value than other debt obligations of similar maturity which provide for regular interest payments.

Capital Trusts and Trust Preferred Securities: The Master Portfolio may invest in capital trusts and/or trust preferred securities. These securities are typically issued by corporations, generally in the form of interest bearing notes with preferred securities characteristics, or by an affiliated business trust of a corporation, generally in the form of beneficial interests in subordinated debentures or similarly structured securities. The securities can be structured as either fixed or adjustable coupon securities that can have either a perpetual or stated maturity date. For trust preferred securities, the issuing bank or corporation will pay interest to the trust, which will then be distributed to holders of the trust preferred securities as a dividend. Dividends can be deferred without creating an event of default or acceleration, although maturity cannot take place unless all cumulative payment obligations have been met. The deferral of payments does not affect the purchase or sale of these securities in the open market. Payments on these securities are treated as interest rather than dividends for federal income tax purposes. These securities generally are rated below that of the issuing company’s senior debt securities and are freely callable at the issuer’s option.

Preferred Stock: The Master Portfolio may invest in preferred stock. Preferred stock has a preference over common stock in liquidation (and generally in receiving dividends as well) but is subordinated to the liabilities of the issuer in all respects. As a general rule, the market value of preferred stock with a fixed dividend rate and no conversion element varies inversely with interest rates and perceived credit risk, while the market price of convertible preferred stock generally also reflects some element of conversion value. Because preferred stock is junior to debt securities and other obligations of the issuer, deterioration in the credit quality of the issuer will cause greater changes in the value of a preferred stock than in a more senior debt security with similar stated yield characteristics. Unlike interest payments on debt securities, preferred stock dividends are payable only if declared by the issuer’s board of directors. Preferred stock also may be subject to optional or mandatory redemption provisions.

Floating Rate Loan Interests: The Master Portfolio may invest in floating rate loan interests. The floating rate loan interests held by the Master Portfolio are typically issued to companies (the “borrower”) by banks, other financial institutions, and privately and publicly offered corporations (the “lender”). Floating rate loan interests are generally non-investment grade, often involve borrowers whose financial condition is troubled or uncertain and companies that are highly leveraged. The Master Portfolio may invest in obligations of borrowers who are in bankruptcy proceedings. Floating rate loan interests may include fully funded term loans or revolving lines of credit. Floating rate loan interests are typically senior in the corporate capital structure of the borrower. Floating rate loan interests generally pay interest at rates that are periodically determined by reference to a base lending rate plus a premium. The base lending rates are generally the lending rate offered by one or more European banks, such as the London Interbank Offered Rate (“LIBOR”), the prime rate offered by one or more U.S. banks or the certificate of deposit rate. Floating rate loan interests may involve foreign borrowers,

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and investments may be denominated in foreign currencies. The Master Portfolio considers these investments to be investments in debt securities for purposes of its investment policies.

When the Master Portfolio purchases a floating rate loan interest it may receive a facility fee and when it sells a floating rate loan interest it may pay a facility fee. On an ongoing basis, the Master Portfolio may receive a commitment fee based on the undrawn portion of the underlying line of credit amount of a floating rate loan interest. Facility and commitment fees are typically amortized to income over the term of the loan or term of the commitment, respectively. Consent and amendment fees are recorded to income as earned. Prepayment penalty fees, which may be received by the Master Portfolio upon the prepayment of a floating rate loan interest by a borrower, are recorded as realized gains. The Master Portfolio may invest in multiple series or tranches of a loan. A different series or tranche may have varying terms and carry different associated risks.

Floating rate loan interests are usually freely callable at the borrower’s option. The Master Portfolio may invest in such loans in the form of participations in loans (“Participations”) or assignments (“Assignments”) of all or a portion of loans from third parties. Participations typically will result in the Master Portfolio having a contractual relationship only with the lender, not with the borrower. The Master Portfolio will have the right to receive payments of principal, interest and any fees to which it is entitled only from the lender selling the Participation and only upon receipt by the lender of the payments from the borrower. In connection with purchasing Participations, the Master Portfolio generally will have no right to enforce compliance by the borrower with the terms of the loan agreement, nor any rights of offset against the borrower, and the Master Portfolio may not benefit directly from any collateral supporting the loan in which it has purchased the Participation. As a result, the Master Portfolio will assume the credit risk of both the borrower and the lender that is selling the Participation. The Master Portfolio’s investment in loan participation interests involves the risk of insolvency of the financial intermediaries who are parties to the transactions. In the event of the insolvency of the lender selling the Participation, the Master Portfolio may be treated as a general creditor of the lender and may not benefit from any offset between the lender and the borrower. Assignments typically result in the Master Portfolio having a direct contractual relationship with the borrower, and the Master Portfolio may enforce compliance by the borrower with the terms of the loan agreement.

Forward Commitments and When-Issued Delayed Delivery Securities: The Master Portfolio may purchase securities on a when-issued basis and may purchase or sell securities on a forward commitment basis. Settlement of such transactions normally occurs within a month or more after the purchase or sale commitment is made. The Master Portfolio may purchase securities under such conditions with the intention of actually acquiring them, but may enter into a separate agreement to sell the securities before the settlement date. Since the value of securities purchased may fluctuate prior to settlement, the Master Portfolio may be required to pay more at settlement than the security is worth. In addition, the Master Portfolio is not entitled to any of the interest earned prior to settlement. When purchasing a security on a delayed delivery basis, the Master Portfolio assumes the rights and risks of ownership of the security, including the risk of price and yield fluctuations. In the event of default by the counterparty, the Master Portfolio’s maximum amount of loss is the unrealized appreciation of unsettled when-issued transactions, which is shown in the Consolidated Schedule of Investments.

TBA Commitments: The Master Portfolio may enter into TBA commitments. TBA commitments are forward agreements for the purchase or sale of mortgage-backed securities for a fixed price, with payment and delivery on an agreed upon future settlement date. The specific securities to be delivered are not identified at the trade date. However, delivered securities must meet specified terms, including issuer, rate and mortgage terms. When entering into TBA commitments, the Master Portfolio may take possession of or deliver the underlying mortgage-backed securities but can extend the settlement or roll the transaction. TBA commitments involve a risk of loss if the value of the security to be purchased or sold declines or increases, respectively, prior to settlement date.

In order to better define contractual rights and to secure rights that will help the Master Portfolio mitigate its counterparty risk, TBA commitments may be entered into by the Master Portfolio under Master Securities Forward Transaction Agreements (each, an “MSFTA”). An MSFTA typically contains, among other things, collateral posting terms and netting provisions in the event of default and/or termination. The collateral requirements are typically calculated by netting the mark to market amount for each transaction under such agreement and comparing that amount to the value of the collateral currently pledged by the Master Portfolio and the counterparty. Cash collateral that has been pledged to cover the obligations of the Master Portfolio and cash collateral received from the counterparty, if any, is reported separately on the Consolidated Statement of Assets and Liabilities as cash pledged as collateral for TBA commitments or cash received as collateral for TBA commitments, respectively. Non-cash collateral pledged by the Master Portfolio, if any, is noted in the Consolidated Schedule of Investments. Typically, the Master Portfolio is permitted to sell, repledge or use the collateral they receive; however, the counterparty is not permitted to do so. To the extent amounts due to the Master Portfolio are not fully collateralized, contractually or otherwise, the Master Portfolio bears the risk of loss from counterparty non-performance.

Mortgage Dollar Roll Transactions: The Master Portfolio may sell TBA mortgage-backed securities and simultaneously contract to repurchase substantially similar (i.e., same type, coupon and maturity) securities on a specific future date at an agreed upon price. During the period between the sale and repurchase, the Master Portfolio will not be entitled to receive interest and principal payments on the securities sold. The Master Portfolio accounts for mortgage dollar roll transactions as purchases and sales and realizes gains and losses on these transactions. These transactions may increase the Master Portfolio’s portfolio turnover rate. Mortgage dollar rolls involve the risk that the market value of the securities that the Master Portfolio is required to purchase may decline below the agreed upon repurchase price of those securities.

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Borrowed Bond Agreements: The Master Portfolio may enter into borrowed bond agreements. In a borrowed bond agreement, the Master Portfolio borrows a bond from a counterparty in exchange for cash collateral. The borrowed bond agreement contains a commitment that the security and the cash will be returned to the counterparty and the Master Portfolio at a mutually agreed upon date. Certain agreements have no stated maturity and can be terminated by either party at any time. Borrowed bond agreements are entered into primarily in connection with short sales of bonds. Earnings on cash collateral and compensation to the lender of the bond are based on agreed upon rates between the Master Portfolio and the counterparty. The value of the underlying cash collateral approximates the market value and accrued interest of the borrowed bond. To the extent that a borrowed bond transaction exceeds one business day, the value of the cash collateral in the possession of the counterparty is monitored on a daily basis to ensure the adequacy of the collateral. As the market value of the borrowed bond changes, the cash collateral is periodically increased or decreased with a frequency and in amounts prescribed in the borrowed bond agreement. Full realization of the collateral by the Master Portfolio may be limited if the value of an investment purchased with the cash collateral by the lender decreases. The Master Portfolio may also experience delays in gaining access to the collateral.

Reverse Repurchase Agreements: The Master Portfolio may enter into reverse repurchase agreements with qualified third party broker-dealers. In a reverse repurchase agreement, the Master Portfolio sells securities to a bank or broker-dealer and agrees to repurchase the same securities at a mutually agreed upon date and price. During the term of the reverse repurchase agreement, the Master Portfolio continues to receive the principal and interest payments on the securities sold. Certain agreements have no stated maturity and can be terminated by either party at any time. Interest on the value of the reverse repurchase agreements issued and outstanding is based upon competitive market rates determined at the time of issuance. The Master Portfolio may utilize reverse repurchase agreements when it is anticipated that the interest income to be earned from the investment of the proceeds of the transaction is greater than the interest expense of the transaction. Reverse repurchase agreements involve leverage risk and also the risk that the market value of the securities to be repurchased may decline below the repurchase price.

For financial reporting purposes, cash received in exchange for securities delivered plus accrued interest due to the counterparty is recorded as a liability in the Consolidated Statement of Assets and Liabilities at face value including accrued interest. Due to the short-term nature of the reverse repurchase agreements, face value approximates fair value. Interest payments made by the Master Portfolio to the counterparties are recorded as a component of interest expense in the Consolidated Statement of Operations. In periods of increased demand for the security, the Master Portfolio may receive a fee for use of the security by the counterparty, which may result in interest income to the Master Portfolio.

Treasury Roll Transactions: The Master Portfolio may enter into treasury roll transactions. In a treasury roll transaction, the Master Portfolio sells a Treasury security to a counterparty with a simultaneous agreement to repurchase the same security at an agreed upon price and future settlement date. The Master Portfolio receives cash from the sale of the Treasury security to use for other investment purposes. The difference between the sale price and repurchase price represents net interest income or net interest expense reflective of an agreed upon rate between the Master Portfolio and the counterparty over the term of the borrowing. For U.S. GAAP purposes, a treasury roll transaction is accounted for as a secured borrowing and not as a purchase or sale. During the term of the borrowing, interest income from the Treasury security and the related interest expense on the secured borrowing is recorded by the Master Portfolio on an accrual basis. The Master Portfolio will benefit from the transaction if the income earned on the investment purchased with the cash received in the treasury roll transaction exceeds the interest expense incurred by the Master Portfolio. If the interest expense exceeds the income earned, the Master Portfolio’s net investment income may be adversely impacted. Treasury roll transactions involve the risk that the market value of the securities that the Master Portfolio is required to repurchase may decline below the agreed upon repurchase price of those securities.

For the six months ended March 31, 2015, the average amount of reverse repurchase agreements and treasury roll transactions outstanding and the daily weighted average interest rate for the Master Portfolio were $854,685,244 and (0.16)%, respectively.

Reverse repurchase transactions, borrowed bond agreements and treasury roll transactions are entered into by the Master Portfolio under Master Repurchase Agreements (each, an “MRA”), which permit the Master Portfolio, under certain circumstances, including an event of default (such as bankruptcy or insolvency), to offset payables and/or receivables under the MRA with collateral held and/or posted to the counterparty and create one single net payment due to or from the Master Portfolio. With reverse repurchase transactions, borrowed bond agreements and treasury roll transactions, typically the Master Portfolio and the counterparties are permitted to sell, re-pledge, or use the collateral associated with the transaction. Bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of the MRA counterparty’s bankruptcy or insolvency. Pursuant to the terms of the MRA, the Master Portfolio receives or posts securities as collateral with a market value in excess of the repurchase price to be paid or received by the Master Portfolio upon the maturity of the transaction. Upon a bankruptcy or insolvency of the MRA counterparty, the Master Portfolio is considered an unsecured creditor with respect to excess collateral and, as such, the return of excess collateral may be delayed.

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As of March 31, 2015, the following table is a summary of the Master Portfolio’s open borrowed bond agreements and reverse repurchase agreements by counterparty which are subject to offset under an MRA on a net basis:

Counterparty	Borrowed Bond Agreements1		Reverse Repurchase Agreements			Borrowed Bonds at Value Including Accrued Interest2			Exposure Due  (to)/from Counterparty Before Collateral			Non-cash Collateral Received3			Non-cash Collateral Pledged3		Net Collateral (Received)/ Pledged		Net Exposure Due (to)/from Counterparty4
Bank of Montreal		���	$	(249,689,164	)		—		$	(249,689,164	)	$	(150,767	)	$	249,729,987	$	249,579,220	$	(109,944	)
Barclays Bank PLC	$	3,626,200		—		$	(3,699,509	)		(73,309	)		—			—		—		(73,309	)
Barclays Capital, Inc.		5,778,820		(1,228,109	)		(5,669,778	)		(1,119,067	)		—			1,119,067		1,119,067		—
Citigroup Global Markets, Inc.		52,280,672		—			(52,557,434	)		(276,762	)		—			43,408		43,408		(233,354	)
Credit Suisse Securities (USA) LLC		—		(66,705,117	)		—			(66,705,117	)		—			66,705,117		66,705,117		—
Deutsche Bank Securities, Inc.		21,803,538		(7,971,273	)		(22,130,091	)		(8,297,826	)		—			8,257,532		8,257,532		(40,294	)
J.P. Morgan Securities LLC		18,444,994		(451,689,006	)		(18,588,332	)		(451,832,344	)		—			451,832,344		451,832,344		—
JPMorgan Chase Bank N.A.		1,511,492		—			(1,495,044	)		16,448			—			—		—		16,448	5
Merrill Lynch, Pierce, Fenner & Smith, Inc.		—		(339,579,528	)		—			(339,579,528	)		—			339,579,528		339,579,528		—
RBC Capital Markets, LLC		4,566,935		—			(4,582,910	)		(15,975	)		—			15,975		15,975		—
Total	$	108,012,651	$	(1,116,862,197	)	$	(108,723,098	)	$	(1,117,572,644	)	$	(150,767	)	$	1,117,282,958	$	1,117,132,191	$	(440,453	)

¹  Included in Investments at value-unaffiliated in the Consolidated Statement of Assets and Liabilities.

²  Includes accrued interest on borrowed bonds in the amount of $912,269 which is included in interest expense payable in the Consolidated Statement of Assets and Liabilities.

³  Net collateral with a value of $1,118,343,609 has been pledged/received in connection with open reverse repurchase agreements. Excess of net collateral pledged to the individual counterparty is not shown for financial reporting purposes.

⁴  Net exposure represents the net receivable (payable) that would be due from/to the counterparty in the event of default.

⁵  Net receivable is subject to set-off provision with net payable under the ISDA Master Agreement.

When the Master Portfolio enters into an MRA and an ISDA and/or MSLA with the same counterparty, the agreements may contain a set-off provision allowing the Master Portfolio to offset a net amount payable with a net amount receivable upon default of the counterparty. Bankruptcy or insolvency laws of a particular jurisdiction may restrict or prohibit the right of offset in bankruptcy, insolvency or other events. For example, regardless of the contractual rights included in an MRA, such laws may prohibit the Master Portfolio from setting off amounts owed to a defaulting counterparty under an MRA against amounts owed to the Master Portfolio by affiliates of the defaulting counterparty. However, the insolvency regimes of many jurisdictions generally permit set-off of simultaneous payables and receivables with the same legal entity under certain types of financial contracts. These rules would apply upon a default of the legal entity, regardless of the existence of a contractual set-off right in those contracts.

In the event the counterparty of securities under an MRA files for bankruptcy or becomes insolvent, the Master Portfolio’s use of the proceeds from the agreement may be restricted while the counterparty, or its trustee or receiver, determines whether or not to enforce the Master Portfolio’s obligation to repurchase the securities.

Short Sales: The Master Portfolio may enter into short sale transactions in which the Master Portfolio sells a security it does not hold in anticipation of a decline in the market price of that security. When the Master Portfolio makes a short sale, it will borrow the security sold short (borrowed bond) and deliver the security to the counterparty to which it sold the security short. An amount equal to the proceeds received by the Master Portfolio is reflected as an asset and an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the market value of the short sale. The Master Portfolio is required to repay the counterparty interest on the security sold short, which is shown as interest expense in the Consolidated Statement of Operations. The Master Portfolio is exposed to market risk based on the amount, if any, that the market value of the security increases beyond the market value at which the position was sold. Thus, a short sale of a security involves the risk that instead of declining, the price of the security sold short will rise. The short sale of securities involves the possibility of a theoretically unlimited loss since there is a theoretically unlimited potential for the market price of the security sold short to increase. A gain, limited to the price at which the Master Portfolio sold the security short, or a loss, unlimited as to the dollar amount, will be recognized upon the termination of a short sale if the market price is either less than or greater than the proceeds originally received. There is no assurance that the Master Portfolio will be able to close out a short position at a particular time or at an acceptable price.

4. Derivative Financial Instruments:

The Master Portfolio engages in various portfolio investment strategies using derivative contracts both to increase the returns of the Master Portfolio and/or to economically manage its exposure to certain risks such as credit risk, equity risk, interest rate risk, foreign currency exchange rate risk or other risk (e.g. inflation risk). These contracts may be transacted on an exchange or OTC.

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Financial Futures Contracts: The Master Portfolio invests in long and/or short positions in financial futures contracts and options on financial futures contracts and options on financial futures contracts to gain exposure to, or economically hedge against, changes in interest rates (interest rate risk), changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk). Financial futures contracts are agreements between the Master Portfolio and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and at a specified date. Depending on the terms of the particular contract, financial futures contracts are settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash settlement amount on the settlement date.

Upon entering into a financial futures contract, the Master Portfolio is required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Securities deposited as initial margin are designated on the Consolidated Schedule of Investments and cash deposited, if any, is recorded on the Consolidated Statement of Assets and Liabilities as cash pledged for financial futures contracts. Pursuant to the contract, the Master Portfolio agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as variation margin. Variation margin is recorded by the Master Portfolio as unrealized appreciation or depreciation and, if applicable, as a receivable or payable for variation margin in the Consolidated Statement of Assets and Liabilities.

When the contract is closed, the Master Portfolio records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. The use of financial futures contracts involves the risk of an imperfect correlation in the movements in the price of financial futures contracts, interest or foreign currency exchange rates and the underlying assets.

Forward Foreign Currency Exchange Contracts: The Master Portfolio enters into forward foreign currency exchange contracts as an economic hedge against either specific transactions or portfolio instruments or to obtain exposure to, or hedge exposure away from, foreign currencies (foreign currency exchange rate risk). A forward foreign currency exchange contract is an agreement between two parties to buy and sell a currency at a set exchange rate on a future date. Forward foreign currency exchange contracts, when used by the Master Portfolio, help to manage the overall exposure to the currencies in which some of the investments held by the Master Portfolio are denominated. The contract is marked-to-market daily and the change in market value is recorded by the Master Portfolio as an unrealized gain or loss. When the contract is closed, the Master Portfolio records a realized gain or loss equal to the difference between the value at the time it was opened and the value at the time it was closed. The use of forward foreign currency exchange contracts involves the risk that the value of a forward foreign currency exchange contract changes unfavorably due to movements in the value of the referenced foreign currencies and the risk that the counterparty to the contract does not perform its obligations under the agreement.

Options: The Master Portfolio purchases and writes call and put options to increase or decrease its exposure to underlying instruments including credit risk, equity risk, interest rate risk and/or foreign currency exchange risk and/or, in the case of options written, to generate gains from options premiums. A call option gives the purchaser (holder) of the option the right (but not the obligation) to buy, and obligates the seller (writer) to sell (when the option is exercised) the underlying instrument at the exercise or strike price at any time or at a specified time during the option period. A put option gives the holder the right to sell and obligates the writer to buy the underlying instrument at the exercise or strike price at any time or at a specified time during the option period. When the Master Portfolio purchases (writes) an option, an amount equal to the premium paid (received) by the Master Portfolio is reflected as an asset (liability). The amount of the asset (liability) is subsequently marked-to-market to reflect the current market value of the option purchased (written). When an instrument is purchased or sold through an exercise of an option, the related premium paid (or received) is added to (or deducted from) the basis of the instrument acquired or deducted from (or added to) the proceeds of the instrument sold. When an option expires (or the Master Portfolio enters into a closing transaction), the Master Portfolio realizes a gain or loss on the option to the extent of the premiums received or paid (or gain or loss to the extent the cost of the closing transaction exceeds the premiums received or paid). When the Master Portfolio writes a call option, such option is “covered,” meaning that the Master Portfolio holds the underlying instrument subject to being called by the option counterparty. When the Master Portfolio writes a put option, such option is covered by cash in an amount sufficient to cover the obligation.

Options on swaps (“swaptions”) are similar to options on securities except that instead of selling or purchasing the right to buy or sell a security, the writer or purchaser of the swaptions is granting or buying the right to enter into a previously agreed upon interest rate or credit default swap agreement (interest rate risk and/or credit risk) at any time before the expiration of the option.

The Master Portfolio also purchases or sells listed or OTC foreign currency options, foreign currency futures and related options on foreign currency futures as a short or long hedge against possible variations in foreign exchange rates or to gain exposure to foreign currencies (foreign currency exchange rate risk). When foreign currency is purchased or sold through an exercise of a foreign currency option, the related premium paid (or received) is added to (or deducted from) the basis of the foreign currency acquired or deducted from (or added to) the proceeds of the foreign currency sold (receipts from the foreign currency purchased). Such transactions may be effected with respect to hedges on non-U.S. dollar denominated instruments owned by the Master Portfolio but not yet delivered, or committed or anticipated to be purchased by the Master Portfolio.

The Master Portfolio may also purchase and write a variety of options with non-standard payout structures or other features (“barrier options”). Barrier options are generally traded OTC. The Master Portfolio may invest in various types of barrier options including up-and-out options. Up-and-out options expire worthless if the price of the underlying instrument increases beyond a predetermined barrier price level prior to the option’s expiration date.

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Barrier options may also be referred to as knockout options. In a reverse knockout option, the option expires worthless if the price of the underlying instrument decreases beyond a predetermined barrier price level prior to the option’s expiration date.

In purchasing and writing options, the Master Portfolio bears the risk of an unfavorable change in the value of the underlying instrument or the risk that the Master Portfolio may not be able to enter into a closing transaction due to an illiquid market. Exercise of a written option could result in the Master Portfolio purchasing or selling a security when it otherwise would not, or at a price different from the current market value.

The Master Portfolio invests in structured options to increase or decrease its exposure to an underlying index or group of securities (equity risk). These structured options are European-style options and may consist of single or multiple OTC options which are priced as a single security. European-style options may only be exercised at the expiration date, but may be transferred/sold prior to the expiration date. The value of a structured option may either increase or decrease with the underlying index or group of securities, depending on the combination of options used. Structured options are issued in units whereby each unit represents a structure based on the specific index with an initial reference strike price. One type of structure involves the combination of selling a put while buying a call on a specific index. This option would rise in value as the underlying index increases and fall in value as the underlying index decreases. Alternatively, another structure involves the sale of a call and the purchase of a put. This option structure would rise in value as the underlying index decreases and fall in value as the underlying index increases. Upon the exercise of the structured option, the Master Portfolio will receive a payment from, or be required to remit a payment to the counterparty, depending on the value of the underlying index at exercise.

For the six months ended March 31, 2015, transactions in options written, including swaptions and currency options, were as follows:

	Calls									Puts
	Contracts			Notional (000)1			Premiums Received			Contracts			Notional (000)1			Premiums Received
Outstanding options, beginning of period		1,095			456,038		$	5,403,960			187			476,317		$	5,341,417
Options written		49,403			1,497,125			18,816,484			30,389			1,199,752			23,448,515
Options exercised		—			—			—			(689	)		—			(42,195	)
Options expired		(7,313	)		(344,978	)		(1,564,795	)		(3,768	)		(242,108	)		(1,613,044	)
Options closed		(39,474	)		(738,694	)		(11,962,116	)		(22,054	)		(811,059	)		(17,730,792	)
Outstanding options, end of period		3,711			869,491		$	10,693,533			4,065			622,902		$	9,403,901

¹  Amount shown is in the currency in which the transaction was denominated.

As of March 31, 2015, the value of portfolio securities subject to covered call options written was $8,553,666.

Swaps: The Master Portfolio enters into swap agreements in which the Master Portfolio and a counterparty agree either to make periodic net payments on a specified notional amount or a net payment upon termination. Swap agreements are privately negotiated in the OTC market and may be entered into as a bilateral contract (“OTC swaps”) or centrally cleared (“centrally cleared swaps”). Swaps are marked-to-market daily and changes in value are recorded as unrealized appreciation (depreciation).

For OTC swaps, any upfront premiums paid are recorded as assets and any upfront fees received are recorded as liabilities and are shown as swap premiums paid and swap premiums received, respectively, in the Consolidated Statement of Assets and Liabilities and amortized over the term of the OTC swap. Payments received or made by the Master Portfolio for OTC swaps are recorded in the Consolidated Statement of Operations as realized gains or losses, respectively. When an OTC swap is terminated, the Master Portfolio will record a realized gain or loss equal to the difference between the proceeds from (or cost of) the closing transaction and the Master Portfolio’s basis in the contract, if any. Generally, the basis of the contract is the premium received or paid.

In a centrally cleared swap, immediately following execution of the swap agreement, the swap agreement is novated to a central counterparty (the “CCP”) and the Master Portfolio’s counterparty on the swap agreement becomes the CCP. The Master Portfolio is required to interface with the CCP through a broker. Upon entering into a centrally cleared swap, the Master Portfolio is required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on the size and risk profile of the particular swap. Securities deposited as initial margin are designated on the Consolidated Schedule of Investments and cash deposited is recorded on the Consolidated Statement of Assets and Liabilities as cash pledged for centrally cleared swaps. The daily change in valuation of centrally cleared swaps is recorded as a receivable or payable for variation margin in the Consolidated Statement of Assets and Liabilities. Payments received from (paid to) the counterparty, including at termination, are recorded as realized gain (loss) in the Consolidated Statement of Operations.

Swap transactions involve, to varying degrees, elements of interest rate, credit and market risk in excess of the amounts recognized in the Consolidated Statement of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to

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Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements, and that there may be unfavorable changes in interest rates and/or market values associated with these transactions.

• Credit default swaps — The Master Portfolio enters into credit default swaps to manage its exposure to the market or certain sectors of the market, to reduce its risk exposure to defaults of corporate and/or sovereign issuers or to create exposure to corporate and/or sovereign issuers to which it is not otherwise exposed (credit risk). The Master Portfolio may either buy or sell (write) credit default swaps on single-name issuers (corporate or sovereign), a combination or basket of single-name issuers or traded indexes. Credit default swaps on single-name issuers are agreements in which the protection buyer pays fixed periodic payments to the seller in consideration for a guarantee from the protection seller to make a specific payment should a negative credit event take place with respect to the referenced entity (e.g., bankruptcy, failure to pay, obligation accelerators, repudiation, moratorium or restructuring). Credit default swaps on traded indexes are agreements in which the buyer pays fixed periodic payments to the seller in consideration for a guarantee from the seller to make a specific payment should a write-down, principal or interest shortfall or default of all or individual underlying securities included in the index occur. As a buyer, if an underlying credit event occurs, the Master Portfolio will either (i) receive from the seller an amount equal to the notional amount of the swap and deliver the referenced security or underlying securities comprising the index, or (ii) receive a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index. As a seller (writer), if an underlying credit event occurs, the Master Portfolio will either pay the buyer an amount equal to the notional amount of the swap and take delivery of the referenced security or underlying securities comprising the index or pay a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index.

• Total return swaps — The Master Portfolio enters into total return swaps to obtain exposure to a security or market without owning such security or investing directly in that market or to transfer the risk/return of one market (e.g., fixed income) to another market (e.g., equity) (equity risk and/or interest rate risk). Total return swaps are agreements in which there is an exchange of cash flows whereby one party commits to make payments based on the total return (coupons plus capital gains/losses) of an underlying instrument in exchange for fixed or floating rate interest payments. To the extent the total return of the instrument or index underlying the transaction exceeds or falls short of the offsetting interest rate obligation, the Master Portfolio will receive a payment from or make a payment to the counterparty.

• Interest rate swaps — The Master Portfolio enters into interest rate swaps to gain or reduce exposure to interest rates or to manage duration, the yield curve or interest rate risk by economically hedging the value of the fixed rate bonds, which may decrease when interest rates rise (interest rate risk). Interest rate swaps are agreements in which one party pays a stream of interest payments, either fixed or floating, for another party’s stream of interest payments, either fixed or floating, on the same notional amount for a specified period of time. In more complex swaps, the notional principal amount may decline (or amortize) over time.

• Cross-currency swaps — The Master Portfolio enter into cross-currency swaps to gain or reduce exposure to foreign currencies or as an economic hedge against either specific transactions or portfolio instruments (foreign currency exchange rate and/or interest rate risk). Cross-currency swaps are interest rate swaps in which one party pays a stream of interest payments, either fixed or floating, in exchange for another party’s stream of interest payments, either fixed or floating, based on the notional amounts of two different currencies. The notional amounts are typically determined based on the spot exchange rates at the inception of the trade. Cross-currency swaps may also involve an exchange of notional amounts at the start, during and/or at expiration of the contract, either at the current spot rate or another specified rate.

• Forward interest rate swaps — The Master Portfolio may enter into forward interest rate swaps and forward total return swaps. In a forward swap, the Master Portfolio and the counterparty agree to make either periodic net payments beginning on a specified future effective date or a net payment at termination, unless terminated earlier.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 93

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

The following is a summary of the Master Portfolio’s derivative financial instruments categorized by risk exposure:

Fair Values of Derivative Financial Instruments as of March 31, 2015
		Value
	Consolidated Statement of Assets and Liabilities Location	Derivative Assets		Derivative Liabilities
Interest rate contracts	Net unrealized appreciation/depreciation1 Unrealized appreciation/depreciation on OTC derivatives; Swap premiums received; Investments at value — unaffiliated2; Options written at value;	$	23,041,418	$	27,557,748
Foreign currency exchange contracts	Unrealized appreciation/depreciation on foreign currency exchange contracts; Investments at value — unaffiliated2; Options written at value;		63,136,441		26,833,819
Credit contracts	Net unrealized appreciation/depreciation1; Unrealized appreciation/depreciation on OTC derivatives; Swap premiums received;		9,618,768		13,998,147
Equity contracts	Net unrealized appreciation/depreciation1; Unrealized appreciation/depreciation on OTC derivatives; Investments at value — unaffiliated2; Options written at value;		3,358,124		2,974,334
Total		$	99,154,751	$	71,364,048

¹  Includes cumulative appreciation/depreciation on financial futures contracts and centrally cleared swaps, if any, as reported in the Consolidated Schedule of Investments. Only current day’s variation margin is reported within the Consolidated Statement of Assets and Liabilities.

²  Includes options purchased at value as reported within the Consolidated Statement of Assets and Liabilities.

The Effect of Derivative Financial Instruments in the Consolidated Statement of Operations Six Months Ended March 31, 2015
	Net Realized Gain  (Loss) From		Net Change in Unrealized Appreciation/Depreciation on
Interest rate contracts:
Financial futures contracts	$	2,636,275	$	167,982
Swaps		(8,680,212)		(4,647,451	)
Interest rate floors		—		(708,341	)
Options1		(4,064,295)		465,138
Foreign currency exchange contracts:
Financial futures contracts		2,764,670		(122,124	)
Foreign currency transactions/translations		72,757,980		3,297,830
Options1		4,280,907		(191,011	)
Credit contracts:
Swaps		1,018,406		1,443,752
Options1		(51,371)		(8,730	)
Equity contracts:
Financial futures contracts		380,015		315,064
Swaps		1,262,577		(3,203,883	)
Options1		583,930		(382,355	)
Other contracts:
Total	$	72,888,882	$	(3,574,129	)

¹  Options purchased are included in the net realized gain (loss) from investments and net change in unrealized appreciation/depreciation on investments.

94 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

For the six months ended March 31, 2015, the average quarterly balances of outstanding derivative financial instruments were as follows:

Financial futures contracts:
Average notional value of contracts - long	$	1,451,961,953
Average notional value of contracts - short	$	1,655,834,037
Forward foreign currency exchange contracts:
Average amounts purchased - in USD	$	944,302,829
Average amounts sold - in USD	$	313,076,315
Options:
Average value of option contracts purchased	$	22,750,260
Average value of option contracts written	$	16,445,709
Average notional value of swaption contracts purchased	$	680,661,745
Average notional value of swaption contracts written	$	558,081,720
Average value of interest rate floors purchased	$	1,921,880
Average value of interest rate floors written	$	481,273
Structured options:
Average notional value	$	6,458
Credit default swaps:
Average notional value - buy protection	$	275,939,411
Average notional value - sell protection	$	336,800,110
Interest rate swaps:
Average notional value - pays fixed rate	$	307,340,994
Average notional value - receives fixed rate	$	157,936,548
Cross currency swaps:
Average notional value - pays	$	39,881,122
Average notional value - receives	$	40,731,500
Total return swaps:
Average notional value	$	210,612,844

Counterparty Credit Risk: A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

The Master Portfolio’s risk of loss from counterparty credit risk on OTC derivatives is generally limited to the aggregate unrealized gain less the value of any collateral held by such Master Portfolio.

For OTC options purchased, the Master Portfolio bears the risk of loss of the amount of the premiums paid plus the positive change in market values net of any collateral held by such Master Portfolio should the counterparty fail to perform under the contracts. Options written by the Master Portfolio do not typically give rise to counterparty credit risk, as options written generally obligate the Master Portfolio, and not the counterparty, to perform.

With exchange-traded options purchased and futures and centrally cleared swaps, there is less counterparty credit risk to the Master Portfolio since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, the Master Portfolio does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency) of the clearing broker or clearinghouse. Additionally, credit risk exists in exchange traded futures and centrally cleared swaps with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Master Portfolio.

In order to better define its contractual rights and to secure rights that will help the Master Portfolio mitigate its counterparty risk, the Master Portfolio may enter into an International Swaps and Derivatives Association, Inc. Master Agreement (“ISDA Master Agreement”) or similar agreement with its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between a Master Portfolio and a counterparty that governs certain OTC derivatives and typically contains, among other things, collateral posting terms and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, the Master Portfolio may, under certain circumstances, offset with the counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default including the bankruptcy or insolvency of the counterparty. Bankruptcy or insolvency laws of a particular jurisdiction may restrict or prohibit the right of offset in bankruptcy, insolvency or other events. In addition, certain ISDA Master Agreements allow counterparties to terminate derivative contracts prior to maturity in the event the Master Portfolio’s net assets decline by a stated percentage or the Master Portfolio fails to meet the terms of its ISDA Master Agreements, which would cause the Master Portfolio to accelerate payment of any net liability owed to the counterparty.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 95

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

Collateral Requirements: For derivatives traded under an ISDA Master Agreement, the collateral requirements are typically calculated by netting the mark-to-market amount for each transaction under such agreement and comparing that amount to the value of any collateral currently pledged by the Master Portfolio and the counterparty.

Cash collateral that has been pledged to cover obligations of the Master Portfolio and cash collateral received from the counterparty, if any, is reported separately on the Consolidated Statement of Assets and Liabilities as cash pledged as collateral and cash received as collateral, respectively. Non-cash collateral pledged by the Master Portfolio, if any, is noted in the Consolidated Schedule of Investments. Generally, the amount of collateral due from or to a party has to exceed a minimum transfer amount threshold (typically either $250,000 or $500,000) before a transfer is required, which is determined at the close of business of the Master Portfolio. Any additional required collateral is delivered to/pledged by the Master Portfolio on the next business day. Typically, the Master Portfolio and counterparties are not permitted to sell, re-pledge or use the collateral they receive. To the extent amounts due to the Master Portfolio from its counterparties are not fully collateralized, the Master Portfolio bears the risk of loss from counterparty non-performance. Likewise, to the extent the Master Portfolio has delivered collateral to a counterparty and stands ready to perform under the terms of its agreement with such counterparty, the Master Portfolio bears the risk of loss from a counterparty in the amount of the value of the collateral in the event the counterparty fails to return such collateral.

For financial reporting purposes, the Master Portfolio does not offset derivative assets and derivative liabilities that are subject to netting arrangements, if any, in the Consolidated Statement of Assets and Liabilities.

As of March 31, 2015, the Master Portfolio’s derivative assets and liabilities (by type) are as follows:

	Assets			Liabilities
Derivative Financial Instruments:
Financial futures contracts	$	1,026,438		$	842,495
Forward foreign currency exchange contracts		48,673,794			16,515,512
Interest rate floors1		3,057,555			1,868,316
Options		32,024,009	2		24,917,981
Swaps — Centrally cleared		916,707			—
Swaps — OTC3		10,212,284			21,431,120
Total derivative assets and liabilities in the Consolidated Statement of Assets and Liabilities		95,910,787			65,575,424
Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		(4,988,348	)		(2,142,597	)
Total derivative assets and liabilities subject to a MNA	$	90,922,439		$	63,432,827

¹  Includes unrealized appreciation/depreciation on interest rate floors and interest rate floors premiums paid/received in the Consolidated Statement of Assets and Liabilities.

²  Includes options purchased at value which is included in Investments at value — unaffiliated in the Consolidated Statement of Assets and Liabilities and reported in the Consolidated Schedule of Investments.

³  Includes unrealized appreciation/depreciation on OTC swaps and swap premiums paid/received in the Consolidated Statement of Assets and Liabilities.

As of March 31, 2015, the following tables present the Master Portfolio’s derivative assets and liabilities by counterparty net of amounts available for offset under an MNA and net of the related collateral received and pledged by the Master Portfolio:

Counterparty	Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset1			Non-cash Collateral Received		Cash Collateral Received2			Net Amount of Derivative Assets3
Bank of America N.A.	$	13,419,816	$	(10,549,452	)		—		—		$	2,870,364
The Bank of New York Mellon		16,156		—			—		—			16,156
Barclays Bank PLC		2,466,733		(2,466,733	)		—		—			—
BNP Paribas S.A.		5,516,007		(3,434,734	)		—		—			2,081,273
Citibank N.A.		30,011,493		(6,685,742	)		—		—			23,325,751
Credit Suisse International		371,893		(371,893	)		—		—			—
Deutsche Bank AG		13,398,029		(13,398,029	)		—		—			—
Goldman Sachs Bank USA		153,509		(104,914	)		—		—			48,595
Goldman Sachs International		11,728,304		(9,157,976	)		—	$	(2,570,328	)		—
HSBC Bank PLC		803,783		(803,783	)		—		—			—
JPMorgan Chase Bank N.A.		4,020,519		(4,020,519	)		—		—			—
Morgan Stanley & Co. International PLC		292,860		—			—		—			292,860
Morgan Stanley Capital Services LLC		3,094,301		(429,988	)		—		—			2,664,313
Royal Bank of Canada		4,154		—			—		—			4,154
Royal Bank of Scotland PLC		1,643,223		(444,789	)		—		—			1,198,434
Standard Chartered Bank		379,824		(209,025	)		—		—			170,799
State Street Bank and Trust Co.		1,210,644		(308,540	)		—		—			902,104

96 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

Counterparty	Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset1			Non-cash Collateral Received			Cash Collateral Received2			Net Amount of Derivative Assets3
TD Securities, Inc.	$	76,180	$	(381	)		—			—		$	75,799
UBS AG		2,315,011		(1,436,454	)		—			—			878,557
Total	$	90,922,439	$	(53,822,952	)		—		$	(2,570,328	)	$	34,529,159
Counterparty	Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset1			Non-cash Collateral Pledged4			Cash Collateral Pledged4			Net Amount of Derivative Liabilities5
Bank of America N.A.	$	10,549,452	$	(10,549,452	)		—			—			—
Barclays Bank PLC		4,213,080		(2,466,733	)	$	(1,531,504	)		—		$	214,843
BNP Paribas S.A.		3,434,734		(3,434,734	)		—			—			—
Citibank N.A.		6,685,742		(6,685,742	)		—			—			—
Credit Suisse International		6,034,712		(371,893	)		(3,215,411	)	$	(300,000	)		2,147,408
Deutsche Bank AG		15,288,714		(13,398,029	)		(1,040,881	)		(600,000	)		249,804
Goldman Sachs Bank USA		104,914		(104,914	)		—			—			—
Goldman Sachs International		9,157,976		(9,157,976	)		—			—			—
HSBC Bank PLC		1,003,299		(803,783	)		—			—			199,516
JPMorgan Chase Bank N.A.		4,118,275		(4,020,519	)		—			(97,756	)		—
Morgan Stanley Capital Services LLC		429,988		(429,988	)		—			—			—
Royal Bank of Scotland PLC		444,789		(444,789	)		—			—			—
Société Générale		12,752		—			—			—			12,752
Standard Chartered Bank		209,025		(209,025	)		—			—			—
State Street Bank and Trust Co.		308,540		(308,540	)		—			—			—
TD Securities, Inc.		381		(381	)		—			—			—
UBS AG		1,436,454		(1,436,454	)		—			—			—
Total	$	63,432,827	$	(53,822,952	)	$	(5,787,796	)	$	(997,756	)	$	2,824,323

¹  The amount of derivatives available for offset is limited to the amount of assets and/or liabilities that are subject to an MNA.

²  Excess of collateral received to the individual counterparty may not be shown for financial reporting purposes.

³  Net amount represents the net amount receivable from the counterparty in the event of default.

⁴  Excess of collateral pledged to the individual counterparty may not be shown for financial reporting purposes.

⁵  Net amount represents the net amount payable due to the counterparty in the event of default.

5. Investment Advisory Agreement and Other Transactions with Affiliates:

The PNC Financial Services Group, Inc. is the largest stockholder and an affiliate of BlackRock, Inc. (“BlackRock”) for 1940 Act purposes.

The Master LLC, on behalf of the Master Portfolio, entered into an Investment Advisory Agreement with BlackRock Advisors, LLC (the “Manager”), the Master LLC’s investment advisor, an indirect, wholly owned subsidiary of BlackRock, to provide investment advisory and administration services. The Manager is responsible for the management of the Master Portfolio’s portfolio and provides the necessary personnel, facilities, equipment and certain other services necessary to the operations of the Master Portfolio. For such services, the Master Portfolio pays the Manager a monthly fee based on the percentage of the Master Portfolio’s average daily net assets at the following annual rates for the period indicated:

	Investment Advisory Fee
Average Daily Net Assets	Period October 1, 2014 to November 20, 2014			Period November 21, 2014 to March 31, 2015
First $250 Million		0.20	%		0.16	%
$250 Million - $500 Million		0.15	%		0.12	%
$500 Million - $750 Million		0.10	%		0.08	%
Greater than $750 Million		0.05	%		0.05	%

The Manager voluntarily agreed to waive its investment advisory fees by the amount of investment advisory fees the Master Portfolio pays to the Manager indirectly through its investment in affiliated money market funds. However, the Manager does not waive its investment advisory fees by the amount of investment advisory fees paid in connection with the Master Portfolio’s investments in other affiliated investment companies, if any. This amount is shown as fees waived by the Manager in the Consolidated Statement of Operations.

The Manager provides investment management and other services to the Subsidiary. The Manager does not receive separate compensation from the Subsidiary for providing investment management or administrative services. However, the Master Portfolio pays the Manager based on the Master Portfolio’s net assets which includes the assets of the Subsidiary.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 97

Notes to Consolidated Financial Statements (continued) Master Total Return Portfolio

The Manager, on behalf of the Master Portfolio, entered into sub-advisory agreements with BlackRock International Limited (“BIL”) and BlackRock (Singapore) Limited (“BRS”), each an affiliate of the Manager. The Manager pays BIL and BRS for services they provide, a monthly fee that is a percentage of the investment advisory fees paid by the Master Portfolio to the Manager.

For the six months ended March 31, 2015, the Master LLC reimbursed the Manager $17,198 for certain accounting services, which is included in accounting services in the Consolidated Statement of Operations.

During the six months ended March 31, 2015, the Portfolio received a reimbursement of $668 from an affiliate, which is included in capital transactions in the Consolidated Statements of Changes in Net Assets, relating to a processing error.

Certain officers and/or directors of the Master LLC are officers and/or directors of BlackRock or its affiliates.

The Master Portfolio may purchase securities from, or sell securities to, an affiliated fund provided the affiliation is due solely to having a common investment advisor, common officers, or common trustees. For the six months ended March 31, 2015, the purchase and sale transactions with an affiliated fund in compliance with Rule 17a-7 under the 1940 Act were $9,977,127 and $661,733, respectively.

6. Purchases and Sales:

For the six months ended March 31, 2015, purchases and sales of investments, including paydown and mortgage dollar rolls and excluding short-term securities, were as follows:

Purchases
Non-U.S. Government Securities	$	22,910,144,245
U.S. Government Securities		12,569,461,991
Total Purchases	$	35,479,606,236
Sales
Non-U.S. Government Securities (including paydowns)	$	21,715,081,483
U.S. Government Securities		11,480,052,711
Total Sales	$	33,195,134,194

For the six months ended March 31, 2015, purchases and sales related to mortgage dollar rolls were as follows:

Purchases	$	3,814,754,517
Sales	$	3,813,458,310

7. Income Tax Information:

The Master Portfolio is classified as a partnership for federal income tax purposes. As such, each investor in the Master Portfolio is treated as the owner of its proportionate share of net assets, income, expenses and realized and unrealized gains and losses of the Master Portfolio. Therefore, no federal income tax provision is required. It is intended that the Master Portfolio’s assets will be managed so an investor in the Master Portfolio can satisfy the requirements of Subchapter M of the Internal Revenue Code of 1986, as amended.

The Master Portfolio files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on the Master Portfolio’s U.S. federal tax returns remains open for each of the four years ended September 30, 2014. The statutes of limitations on Master Portfolio’s state and local tax returns may remain open for an additional year depending upon the jurisdiction.

Management has analyzed tax laws and regulations and their application to the Master Portfolio as of March 31, 2015, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Master Portfolio’s financial statements.

As of March 31, 2015, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

Tax cost	$	10,908,152,054
Gross unrealized appreciation	$	112,712,836
Gross unrealized depreciation		(68,293,041	)
Net unrealized appreciation	$	44,419,795

8. Bank Borrowings:

The Master LLC, on behalf of the Master Portfolio, along with certain other funds managed by the Manager and its affiliates (“Participating Funds”), was a party to a 364-day, $1.1 billion credit agreement with a group of lenders, under which the Master Portfolio may borrow to fund shareholder redemptions. Excluding commitments designated for a certain individual fund, the Participating Funds, including the Master Portfolio, could borrow up to an aggregate commitment amount of $650 million, subject to asset coverage and other limitations as specified in the agreement. Effective November 25,

98 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Notes to Consolidated Financial Statements (concluded) Master Total Return Portfolio

2014, the credit agreement was amended to an aggregate commitment amount of $2.1 billion, of which the Participating Funds, including the Fund, can borrow up to $1.6 billion at any time outstanding, subject to asset coverage and other limitations as specified in the agreement. The agreement terminates on April 23, 2015, unless otherwise extended to November 24, 2015 or renewed for a period of 364 days from April 23, 2015. The amended agreement has the following terms: a fee of 0.06% per annum on unused commitment amounts and interest at a rate equal to the higher of (a) one-month LIBOR (but, in any event, not less than 0.00%) on the date the loan is made plus 0.80% per annum or (b) the Fed Funds rate (but, in any event, not less than 0.00%) in effect from time to time plus 0.80% per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are included in miscellaneous expenses in the Consolidated Statement of Operations, and along with commitment fees, were allocated among such funds based upon portions of the aggregate commitment available to them and relative net assets of Participating Funds. During the six months ended March 31, 2015, the Master Portfolio did not borrow under the credit agreement.

9. Principal Risks:

In the normal course of business, the Master Portfolio invests in securities and enters into transactions where risks exist due to fluctuations in the market (market risk) or failure of the issuer of a security to meet all its obligations (issuer credit risk). The value of securities held by the Master Portfolio may decline in response to certain events, including those directly involving the issuers whose securities are owned by the Master Portfolio; conditions affecting the general economy; overall market changes; local, regional or global political, social or economic instability; and currency, interest rate and price fluctuations. Similar to issuer credit risk, the Master Portfolio may be exposed to counterparty credit risk, or the risk that an entity with which the Master Portfolio has unsettled or open transactions may fail to or be unable to perform on its commitments. The Master Portfolio manages counterparty credit risk by entering into transactions only with counterparties that it believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Master Portfolio to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Master Portfolio’s exposure to market, issuer and counterparty credit risks with respect to these financial assets is generally approximated by their value recorded in the Consolidated Statement of Assets and Liabilities, less any collateral held by the Master Portfolio.

The Master Portfolio invests a significant portion of its assets in fixed-income securities and/or uses derivatives tied to the fixed income markets. Changes in market interest rates or economic conditions may affect the value and/or liquidity of such investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will increase as interest rates fall and decrease as interest rates rise. The Master Portfolio may be subject to a greater risk of rising interest rates due to the current period of historically low rates.

The Master Portfolio invests a significant portion of its assets in securities backed by commercial or residential mortgage loans or in issuers that hold mortgage and other asset-backed securities. Investment percentages in these securities are presented in the Consolidated Schedule of Investments. Changes in economic conditions, including delinquencies and/or defaults on assets underlying these securities, can affect the value, income and/or liquidity of such positions.

10. Subsequent Events:

Management’s evaluation of the impact of all subsequent events on the Master Portfolio’s financial statements was completed through the date the financial statements were issued and the following items were noted:

Effective April 23, 2015, the 364-day, $2.1 billion credit agreement to which the Master LLC is a party, was further amended to expire on April 21, 2016, unless otherwise extended or renewed.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 99

Officers and Directors

Robert M. Hernandez, Chairman of the Board and Director

Fred G. Weiss, Vice Chairman of the Board and Director

James H. Bodurtha, Director

Bruce R. Bond, Director

Donald W. Burton, Director

Honorable Stuart E. Eizenstat, Director

Robert Fairbairn, Director

Kenneth A. Froot, Director

Henry Gabbay, Director

John F. O’Brien, Director

Roberta Cooper Ramo, Director

David H. Walsh, Director

John M. Perlowski, Director, President and Chief Executive Officer

Fernanda Piedra, Anti-Money Laundering Compliance Officer

Jennifer McGovern, Vice President

Neal Andrews, Chief Financial Officer

Jay Fife, Treasurer

Charles Park, Chief Compliance Officer

Benjamin Archibald, Secretary

Effective December 31, 2014, Paul L. Audet and Laurance D. Fink resigned as Directors of the Fund. Effective January 1, 2015, Robert Fairbairn and John M. Perlowski were appointed to serve as Directors of the Fund.

Effective March 1, 2015, Charles Park resigned as Anti-Money Laundering Compliance Officer of the Fund and Fernanda Piedra became Anti-Money Laundering Compliance Officer of the Fund.

Effective as of the close of business on May 13, 2015, Valerie G. Brown and Donald C. Opatrny were appointed to serve as Directors of the Fund.

Investment Advisor	Independent Registered	Custodian	Legal Counsel
BlackRock Advisors, LLC	Public Accounting Firm	Bank of New York Mellon	Willkie Farr & Gallagher LLP
Wilmington, DE 19809	Deloitte & Touche LLP	New York, NY 10286	New York, NY 10019
	Philadelphia, PA 19103
Sub-Advisors BlackRock International Limited Edinburgh, EH3 8BL United Kingdom BlackRock (Singapore) Limited 079912 Singapore	Accounting Agent and	Distributor	Address of the Fund
	Transfer Agent	BlackRock Investments, LLC	100 Bellevue Parkway
	BNY Mellon Investment	New York, NY 10022	Wilmington, DE 19809
	Servicing (US) Inc.
	Wilmington, DE 19809

100 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

Additional Information

General Information

Electronic Delivery

Electronic copies of most financial reports and prospectuses are available on the Fund’s website or shareholders can sign up for e-mail notifications of quarterly statements, annual and semi-annual reports and prospectuses by enrolling in the Fund’s electronic delivery program.

To enroll in electronic delivery:

Shareholders Who Hold Accounts with Investment Advisors, Banks or Brokerages:

Please contact your financial advisor. Please note that not all investment advisors, banks or brokerages may offer this service.

Householding

The Funds will mail only one copy of shareholder documents, including prospectuses [open end only], annual and semi-annual reports and proxy statements, to shareholders with multiple accounts at the same address. This practice is commonly called “householding” and is intended to reduce expenses and eliminate duplicate mailings of shareholder documents. Mailings of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please call the Fund at (800) 441-7762.

Availability of Quarterly Schedule of Investments

The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may also be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on how to access documents on the SEC’s website without charge may be obtained by calling (800) SEC-0330. The Funds’ Forms N-Q may also be obtained upon request and without charge by calling (800) 441-7762.

Availability of Proxy Voting Policies and Procedures

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities is available upon request and without charge (1) by calling (800) 441-7762; (2) at http://www.blackrock.com; and (3) on the SEC’s website at http://www.sec.gov.

Availability of Proxy Voting Record

Information about how the Fund voted proxies relating to securities held in the Fund’s portfolios during the most recent 12-month period ended June 30 is available, upon request and without charge (1) at http://www.blackrock.com; or by calling (800) 441-7762 and (2) on the SEC’s website at http://www.sec.gov.

Shareholder Privileges

Account Information

Call us at (800) 441-7762 from 8:00 AM to 6:00 PM EST on any business day to get information about your account balances, recent transactions and share prices. You can also reach us on the Web at http://www.blackrock.com/funds.

Automatic Investment Plans

Investor Class shareholders who want to invest regularly can arrange to have $50 or more automatically deducted from their checking or savings account and invested in any of the BlackRock funds.

Systematic Withdrawal Plan

Investor Class shareholders can establish a systematic withdrawal plan and receive periodic payments of $50 or more from their BlackRock portfolios, as long as their account balance is at least $10,000.

Retirement Plans

Shareholders may make investments in conjunction with Traditional, Rollover, Roth, Coverdell, Simple IRAs, SEP IRAs and 403(b) Plans.

BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015 101

Additional Information (concluded)

BlackRock Privacy Principles

BlackRock is committed to maintaining the privacy of its current and former fund investors and individual clients (collectively, “Clients”) and to safeguarding their non-public personal information. The following information is provided to help you understand what personal information BlackRock collects, how we protect that information and why in certain cases we share such information with select parties.

If you are located in a jurisdiction where specific laws, rules or regulations require BlackRock to provide you with additional or different privacy-related rights beyond what is set forth below, then BlackRock will comply with those specific laws, rules or regulations.

BlackRock obtains or verifies personal non-public information from and about you from different sources, including the following: (i) information we receive from you or, if applicable, your financial intermediary, on applications, forms or other documents; (ii) information about your transactions with us, our affiliates, or others; (iii) information we receive from a consumer reporting agency; and (iv) from visits to our websites.

BlackRock does not sell or disclose to non-affiliated third parties any non-public personal information about its Clients, except as permitted by law or as is necessary to respond to regulatory requests or to service Client accounts. These non-affiliated third parties are required to protect the confidentiality and security of this information and to use it only for its intended purpose.

We may share information with our affiliates to service your account or to provide you with information about other BlackRock products or services that may be of interest to you. In addition, BlackRock restricts access to non-public personal information about its Clients to those BlackRock employees with a legitimate business need for the information. BlackRock maintains physical, electronic and procedural safeguards that are designed to protect the non-public personal information of its Clients, including procedures relating to the proper storage and disposal of such information.

102 BLACKROCK BALANCED CAPITAL FUND, INC. MARCH 31, 2015

This report is intended for existing shareholders. It is not authorized for use as an offer of sale or a solicitation of an offer to buy shares of a Fund unless preceded or accompanied by the Funds’ current prospectus. Past performance results shown in this report should not be considered a representation of future performance. Investment returns and principal value of shares will fluctuate so that shares, when redeemed, may be worth more or less than their original cost.

Statements and other information herein are as dated and are subject to change.

BC-3/15-SAR

Item 2 – Code of Ethics – Not Applicable to this semi-annual report

Item 3 – Audit Committee Financial Expert – Not Applicable to this semi-annual report

Item 4 – Principal Accountant Fees and Services – Not Applicable to this semi-annual report

Item 5 – Audit Committee of Listed Registrants – Not Applicable

Item 6 – Investments

(a) The registrants’ Schedules of Investments are included as part of the Report to Stockholders filed under Item 1 of this Form.

(b) Not Applicable due to no such divestments during the semi-annual period covered since the previous Form N-CSR filing.

Item 7 – Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not Applicable

Item 8 – Portfolio Managers of Closed-End Management Investment Companies – Not Applicable

Item 9 – Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers – Not Applicable

Item 10 – Submission of Matters to a Vote of Security Holders – There have been no material changes to these procedures.

Item 11 – Controls and Procedures

(a) – The registrants’ principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrants’ disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.

(b) – There were no changes in the registrants’ internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrants’ internal control over financial reporting.

Item 12 – Exhibits attached hereto

(a)(1) – Code of Ethics – Not Applicable to this semi-annual report

(a)(2) – Certifications – Attached hereto

(a)(3) – Not Applicable

(b) – Certifications – Attached hereto

2

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, each registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC

By:	/s/ John M. Perlowski
	John M. Perlowski
	Chief Executive Officer (principal executive officer) of
	BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC

Date: June 2, 2015

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of each registrant and in the capacities and on the dates indicated.

By:	/s/ John M. Perlowski
	John M. Perlowski
	Chief Executive Officer (principal executive officer) of
	BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC
Date: June 2, 2015
By:	/s/ Neal J. Andrews
	Neal J. Andrews
	Chief Financial Officer (principal financial officer) of
	BlackRock Balanced Capital Fund, Inc., Master Large Cap Core Portfolio of Master Large Cap Series LLC and Master Total Return Portfolio of Master Bond LLC

Date: June 2, 2015

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