UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORMN-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number:811-10333
Name of Fund: BlackRock Municipal Income Investment Trust (BBF)
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Municipal Income
Investment Trust, 55 East 52nd Street, New York, NY 10055
Registrant’s telephone number, including area code: (800)882-0052, Option 4
Date of fiscal year end: 07/31/2019
Date of reporting period: 01/31/2019
Item 1 – Report to Stockholders
JANUARY 31, 2019
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SEMI-ANNUAL REPORT (UNAUDITED) | | | |  |
BlackRock California Municipal Income Trust (BFZ)
BlackRock Municipal 2030 Target Term Trust (BTT)
BlackRock Municipal Income Investment Trust (BBF)
BlackRock New York Municipal Income Trust (BNY)
Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of each Trust’s shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports from BlackRock or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on a website, and you will be notified by mail each time a report is posted and provided with a website link to access the report.
You may elect to receive all future reports in paper free of charge. If you hold accounts directly with BlackRock, you can call Computershare at (800) 699-1236 to request that you continue receiving paper copies of your shareholder reports. If you hold accounts through a financial intermediary, you can follow the instructions included with this disclosure, if applicable, or contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports. Please note that not all financial intermediaries may offer this service. Your election to receive reports in paper will apply to all funds advised by BlackRock Advisors, LLC or its affiliates, or all funds held with your financial intermediary, as applicable.
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive electronic delivery of shareholder reports and other communications by contacting your financial intermediary, if you hold accounts through a financial intermediary. Please note that not all financial intermediaries may offer this service.
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| Not FDIC Insured • May Lose Value • No Bank Guarantee |
The Markets in Review
Dear Shareholder,
In the 12 months ended January 31, 2019, concerns about a variety of political risks and a modest slowdown in global growth worked against the equity market, while the bond market delivered modest positive returns. Though the market’s appetite for risk remained healthy for most of the reporting period, risk-taking declined sharply later in the reporting period. As a result, bonds held their value better than stocks, which posted negative returns across the globe. Shorter-term, higher-quality securities led the bond market, and U.S. equities outperformed most international stock markets.
Volatility rose in emerging market stocks, as the rising U.S. dollar and higher interest rates in the U.S. disrupted economic growth abroad. U.S.-China trade relations and debt concerns adversely affected the Chinese stock market, while Turkey and Argentina became embroiled in currency crises, largely due to hyperinflation in both countries. An economic slowdown in Europe also led to negative performance for European equities.
Volatility in the U.S. equity market spiked in October, as a wide range of risks were brought to bear on markets, ranging from rising interest rates and slowing global growth to heightened trade tensions and political turmoil in several countries, including the United States. These risks manifested in a broad basedsell-off in December, leading to the worst December performance on record since 1931.
By comparison, fixed income securities delivered modest positive returns with relatively low volatility. In fixed income markets, short-term U.S. Treasury interest rates rose the fastest, while longer-term rates were relatively unchanged. This led to positive returns for U.S. Treasuries and a substantial flattening of the yield curve. Although the credit fundamentals in corporate markets remained relatively solid, investment-grade and high-yield bonds trailed U.S. Treasuries.
The U.S. Federal Reserve (the “Fed”) increased short-term interest rates four times during the reporting period. The Fed also continued to reduce its balance sheet, gradually reversing the unprecedented stimulus measures it enacted after the financial crisis. By our estimation, the Fed’s neutral interest rate (the theoretical rate that is neither stimulative nor restrictive to the economy) is approximately 3.5%. The Fed funds rate is currently at 2.5%, which is stimulative to the economy. At its latest meeting in late January, the Fed left interest rates unchanged and signaled a slower pace of rate hikes in response to the global economic slowdown. Relatively low inflation gives the Fed room to maintain support for the economy until the economic data builds the case for changing interest rates.
Although fears of recession drove equity volatility higher at the end of 2018, we continue to believe the probability of recession in 2019 remains relatively low. Economic growth and global earnings are likely to slow somewhat in 2019 — the tax cut stimulus will be less pronounced, and the Fed’s rate hikes in 2018 will gain traction in 2019. Trade frictions look more baked into asset prices than a year ago, but markets may be overlooking European political risks. Consequently, we are cautious on European equities, as European unity remains tenuous with a history offlare-ups. We continue to prefer to take risk in U.S. and emerging market equities. Within U.S. equities, we believe that companies with high-quality earnings and strong balance sheets offer the most attractive risk/rewardtrade-off. We also favor short-term bonds over long-term bonds because they offer nearly equivalent yields with far lower volatility.
In this environment, investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visitblackrock.com for further insight about investing in today’s markets.
Sincerely,
Rob Kapito
President, BlackRock Advisors, LLC
Rob Kapito
President, BlackRock Advisors, LLC
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| Total Returns as of January 31, 2019 |
| | | 6-month | | 12-month |
U.S. large cap equities
(S&P 500® Index) | | (3.00)% | | (2.31)% |
U.S. small cap equities
(Russell 2000® Index) | | (9.62) | | (3.52) |
International equities
(MSCI Europe, Australasia, Far East Index) | | (7.80) | | (12.51) |
Emerging market equities
(MSCI Emerging Markets Index) | | (2.60) | | (14.24) |
3-month Treasury bills
(ICE BofAML3-Month U.S. Treasury Bill Index) | | 1.10 | | 1.95 |
U.S. Treasury securities
(ICE BofAML10-Year U.S. Treasury Index) | | 4.20 | | 3.21 |
U.S. investment grade bonds
(Bloomberg Barclays U.S. Aggregate Bond Index) | | 2.71 | | 2.25 |
Tax-exempt municipal bonds
(S&P Municipal Bond Index) | | 1.86 | | 3.08 |
U.S. high yield bonds
(Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index) | | 1.07 | | 1.73 |
| Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index. |
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| 2 | | THIS PAGEISNOT PARTOF YOUR FUND REPORT |
Table of Contents
Municipal Market Overview For the Reporting Period Ended January 31, 2019
Municipal Market Conditions
Municipal bonds experienced positive performance during the period, despite challenged total returns during most of 2018 as interest rates moved higher on the back of continued Fed policy normalization, fiscal stimulus, strong economic growth, and increased U.S. Treasury issuance. Performance turned particularly strong late in the year, with interest rates rallying as the Fed began to indicate a pivot from forecast based to data driven policy and the potential for a slower pace of future rate hikes. During the period, demand for the asset class remained firm, although displayed some bouts of volatility. Broadly, investors favored thetax-exempt income, diversification, quality, and value of municipal bonds given that tax reform ultimately lowered the top individual tax rate just 2.6% while eliminating deductions. During the 12 months ended January 31, 2019, municipal bond funds experienced net inflows of approximately $2.7 billion (based on data from the Investment Company Institute).
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| For the same12-month period, total new issuance underwhelmed from a historical perspective at $315 billion (below the $394 billion issued in the prior12-month period), a direct result of the elimination of advanced refundings through the 2017 Tax Cuts and Jobs Act. This shift transitioned the market from an existing net positive supply environment to a much more favorable net negative supply environment in which reinvestment income (coupons, calls, and maturities) largely outstripped gross issuance and provided a powerful technical tailwind. | | S&P Municipal Bond Index
Total Returns as of January 31, 2019 6 months: 1.86% 12 months: 3.08% |
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A Closer Look at Yields
| From January 31, 2018 to January 31, 2019, yields onAAA-rated30-year municipal bonds increased by 11 basis points (“bps”) from 2.91% to 3.02%, while10-year rates decreased by 18 bps from 2.35% to 2.17% and5-year rates decreased by 7 bps from 1.83% to 1.76% (as measured by Thomson Municipal Market Data). The municipal yield curve was nearly unchanged over the12-month period with the spread between2- and30-year maturities bear steepening just 1 bp, which is significant given that the corresponding U.S. Treasury curve bear flattened 26 bps. (Bear steepening is the widening of the yield curve caused by long-term rates increasing at a faster rate than short-term rates. Bear flattened is a yield-rate environment in which short-term interest rates are increasing at a faster rate than long-term interest rates.) The municipal yield curve is now more than 2.5 times steeper than the U.S. Treasury curve. |
During the same time period, on a relative basis,tax-exempt municipal bonds strongly outperformed U.S. Treasuries, driven by the front and intermediate portions of the yield curve. The relative positive performance of municipal bonds was driven largely by a supply/demand imbalance within the municipal market as investors sought income, incremental yield, and tax shelter in an environment where opportunities became increasingly scarce. The asset class is known for its lower relative volatility and preservation of principal with an emphasis on income as tax rates rise.
Financial Conditions of Municipal Issuers
The majority of municipal credits remain strong, despite well-publicized problems among a few issuers. Four of the five states with the largest amount of debt outstanding — California, New York, Texas and Florida — continue to exhibit improved credit fundamentals. However, several states with the largest unfunded pension liabilities are faced with elevated borrowing costs and difficult budgetary decisions. Across the country on the local level, property values support credit stability. Standard & Poor’s recent decision to remove its “negative” outlook on New Mexico underscores the improvement in state finances as it was the only remaining state with the designation. Revenue bonds continue to drive performance as investors continue to seek higher yield bonds in the tobacco sector. BlackRock maintains the view that municipal bond defaults will remain minimal and in the periphery while the overall market is fundamentally sound. We continue to advocate careful credit research and believe that a thoughtful approach to structure and security selection remains imperative amid uncertainty in a modestly improving economic environment.
The opinions expressed are those of BlackRock as of January 31, 2019, and are subject to change at any time due to changes in market or economic conditions. The comments should not be construed as a recommendation of any individual holdings or market sectors. Investing involves risk including loss of principal. Bond values fluctuate in price so the value of your investment can go down depending on market conditions. Fixed income risks include interest-rate and credit risk. Typically, when interest rates rise, there is a corresponding decline in bond values. Credit risk refers to the possibility that the bond issuer will not be able to make principal and interest payments. There may be less information on the financial condition of municipal issuers than for public corporations. The market for municipal bonds may be less liquid than for taxable bonds. Some investors may be subject to Alternative Minimum Tax (“AMT”). Capital gains distributions, if any, are taxable.
The Standard & Poor’s Municipal Bond Index, a broad, market value-weighted index, seeks to measure the performance of the U.S. municipal bond market. All bonds in the index are exempt from U.S. federal income taxes or subject to the AMT. Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. It is not possible to invest directly in an index.
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| 4 | | 2019 BLACKROCK SEMI-ANNUAL REPORTTO SHAREHOLDERS |
The Benefits and Risks of Leveraging
The Trusts may utilize leverage to seek to enhance the distribution rate on, and net asset value (“NAV”) of, their common shares (“Common Shares”). However, there is no guarantee that these objectives can be achieved in all interest rate environments.
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 a Trust on its longer-term portfolio investments purchased with the proceeds from leverage. To the extent that the total assets of the Trusts (including the assets obtained from leverage) are invested in higher-yielding portfolio investments, the Trusts’ shareholders benefit from the incremental net income. The interest earned on securities purchased with the proceeds from leverage is paid to shareholders in the form of dividends, and the value of these portfolio holdings is reflected in the per share NAV.
To illustrate these concepts, assume a Trust’s Common Shares capitalization is $100 million and it utilizes leverage for an additional $30 million, creating a total value of $130 million available for investment in longer-term income securities. If prevailing short-term interest rates are 3% and longer-term interest rates are 6%, the yield curve has a strongly positive slope. In this case, a Trust’s financing costs on the $30 million of proceeds obtained from leverage are based on the lower short-term interest rates. At the same time, the securities purchased by a Trust with the proceeds from leverage earn income based on longer-term interest rates. In this case, a Trust’s financing cost of leverage is significantly lower than the income earned on a Trust’s longer-term investments acquired from such leverage proceeds, and therefore the holders of Common Shares (“Common Shareholders”) are the beneficiaries of the incremental net income.
However, in order to benefit Common Shareholders, the return on assets purchased with leverage proceeds must exceed the ongoing costs associated with the leverage. If interest and other costs of leverage exceed the Trusts’ return on assets purchased with leverage proceeds, income to shareholders is lower than if the Trusts had not used leverage. Furthermore, the value of the Trusts’ portfolio investments generally varies inversely with the direction of long-term interest rates, although other factors can influence the value of portfolio investments. In contrast, the value of the Trusts’ obligations under their respective leverage arrangements generally does not fluctuate in relation to interest rates. As a result, changes in interest rates can influence the Trusts’ NAVs positively or negatively. Changes in the future direction of interest rates are very difficult to predict accurately, and there is no assurance that the Trusts’ intended leveraging strategy will be successful.
The use of leverage also generally causes greater changes in each Trust’s NAV, market price and dividend rates than comparable portfolios without leverage. In a declining market, leverage is likely to cause a greater decline in the NAV and market price of a Trust’s Common Shares than if the Trust were not leveraged. In addition, each Trust 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 Trusts to incur losses. The use of leverage may limit a Trust’s ability to invest in certain types of securities or use certain types of hedging strategies. Each Trust incurs expenses in connection with the use of leverage, all of which are borne by Common Shareholders and may reduce income to the Common Shares. Moreover, to the extent the calculation of the Trusts’ investment advisory fees includes assets purchased with the proceeds of leverage, the investment advisory fees payable to the Trusts’ investment adviser will be higher than if the Trusts did not use leverage.
To obtain leverage, each Trust has issuedVariable Rate Demand Preferred Shares (“VRDP Shares”), Variable Rate Muni Term Preferred Shares (“VMTP Shares”) or Remarketable Variable Rate Muni Term Preferred Shares (“RVMTP Shares”) (collectively, “Preferred Shares”) and/or leveraged its assets through the use of tender option bond trusts (“TOB Trusts”) as described in the Notes to Financial Statements.
Under the Investment Company Act of 1940, as amended (the “1940 Act”), each Trust is permitted to issue debt up to 33 1/3% of its total managed assets or equity securities (e.g., Preferred Shares) up to 50% of its total managed assets. A Trust may voluntarily elect to limit its leverage to less than the maximum amount permitted under the 1940 Act. In addition, a Trust may also be subject to certain asset coverage, leverage or portfolio composition requirements imposed by the Preferred Shares’ governing instruments or by agencies rating the Preferred Shares, which may be more stringent than those imposed by the 1940 Act.
If a Trust segregates or designates on its books and records cash or liquid assets having a value not less than the value of a Trust’s obligations under the TOB Trust (including accrued interest), then the TOB Trust is not considered a senior security and is not subject to the foregoing limitations and requirements imposed by the 1940 Act.
Derivative Financial Instruments
The Trusts may invest in various derivative financial instruments. These instruments are used to obtain exposure to a security, commodity, index, market, and/or other assets without owning or taking physical custody of securities, commodities and/or other referenced assets 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 and 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 instrument. The Trusts’ successful use of a derivative financial instrument depends on the investment adviser’s ability to predict pertinent market movements accurately, which cannot be assured. The use of these instruments may result in losses greater than if they had not been used, may limit the amount of appreciation a Trust can realize on an investment and/or may result in lower distributions paid to shareholders. The Trusts’ investments in these instruments, if any, are discussed in detail in the Notes to Financial Statements.
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| THE BENEFITSAND RISKSOF LEVERAGING / DERIVATIVE FINANCIAL INSTRUMENTS | | | 5 | |
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| Trust Summary as of January 31, 2019 | | BlackRock California Municipal Income Trust |
Trust Overview
BlackRock California Municipal Income Trust’s (BFZ) (the “Trust”)investment objective is to provide current income exempt from regular U.S. federal income and California income taxes. The Trust seeks to achieve its investment objective by investing primarily in municipal obligations exempt from U.S. federal income taxes (except that the interest may be subject to the federal alternative minimum tax) and California income taxes. The Trust invests, under normal market conditions, at least 80% of its assets in municipal obligations that are investment grade quality, or are considered by the Trust’s investment adviser to be of comparable quality, at the time of investment. The Trust may invest directly in such securities or synthetically through the use of derivatives.
No assurance can be given that the Trust’s investment objective will be achieved.
Trust Information
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Symbol on New York Stock Exchange (“NYSE”) | | BFZ |
Initial Offering Date | | July 27, 2001 |
Yield on Closing Market Price as of January 31, 2019 ($12.46)(a) | | 4.29% |
Tax Equivalent Yield(b) | | 9.35% |
Current Monthly Distribution per Common Share(c) | | $0.0445 |
Current Annualized Distribution per Common Share(c) | | $0.5340 |
Economic Leverage as of January 31, 2019(d) | | 42% |
| | (a) | Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results. | |
| | (b) | Tax equivalent yield assumes the maximum marginal U.S. federal and state tax rate of 54.10%, which includes the 3.8% Medicare tax. Actual tax rates will vary based on income, exemptions and deductions. Lower taxes will result in lower tax equivalent yields. | |
| | (c) | The distribution rate is not constant and is subject to change. | |
| | (d) | Represents VMTP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Trust, including any assets attributable to VMTP Shares and TOB Trusts, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 5. | |
Performance
Returns for the six months ended January 31, 2019 were as follows:
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| | | Returns Based On | |
| | | Market Price | | | NAV | |
BFZ(a)(b) | | | 1.29 | % | | | 0.70 | % |
Lipper California Municipal Debt Funds(c) | | | 2.77 | | | | 0.80 | |
| | (a) | All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. | |
| | (b) | The Trust’s discount to NAV narrowed during the period, which accounts for the difference between performance based on market price and performance based on NAV. | |
| | (c) | Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on theex-dividend date as calculated by Lipper. | |
Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.
Past performance is not indicative of future results.
The following discussion relates to the Trust’s absolute performance based on NAV:
After performing poorly through the first half of the period, municipal bonds recovered to post a positive total return for the full six months. The initial downturn was largely brought about by concerns that the Fed would raise interest rates aggressively in 2019. However, subsequent signs of slowing growth prompted investors to adjust their expectations in favor of more accommodative Fed policy, sparking a rally across the bond market from early November onward.
California municipal bonds lagged the national market. However, the state’s debt gained a measure of support from strong demand among retail investors looking fortax-exempt income in a state with the country’s most punitive income tax regime. The credit quality of state and local authorities remained consistent, but investors were alert for any changes in fiscal responsibility demonstrated by the new governor and his administration.
In alow-return environment, income was a key contributor to the Trust’s return. The Trust’s use of leverage aided performance by augmenting the contribution from income.
The Trust sought to manage interest rate risk using U.S. Treasury futures. Given that Treasury yields fell, as prices rose, this strategy detracted from the Trust’s return.
The Trust benefited from its positions in higher-quality issues and bonds with maturities between six and seven years. Conversely, the Trust’s positions in the tobacco sector detracted from Trust performance.
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.
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| 6 | | 2019 BLACKROCK SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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| Trust Summary as of January 31, 2019 (continued) | | BlackRock California Municipal Income Trust |
Market Price and Net Asset Value Per Share Summary
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| | | 01/31/19 | | | 07/31/18 | | | Change | | | High | | | Low | |
Market Price | | $ | 12.46 | | | $ | 12.75 | | | | (2.27 | )% | | $ | 12.87 | | | $ | 11.83 | |
Net Asset Value | | | 14.39 | | | | 14.81 | | | | (2.84 | ) | | | 14.81 | | | | 14.23 | |
Market Price and Net Asset Value History For the Past Five Years
Overview of the Trust’s Total Investments *
SECTOR ALLOCATION
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| Sector | | 01/31/19 | | | 07/31/18 | |
County/City/Special District/School District | | | 29 | % | | | 29 | % |
Transportation | | | 17 | | | | 18 | |
Utilities | | | 16 | | | | 12 | |
Education | | | 14 | | | | 16 | |
Health | | | 14 | | | | 12 | |
State | | | 7 | | | | 9 | |
Tobacco | | | 3 | | | | 4 | |
Housing(b) | | | — | | | | — | |
| | | For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease. | |
CALL /MATURITY SCHEDULE (c)
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Calendar Year Ended December 31, | | | | |
2019 | | | 19 | % |
2020 | | | 3 | |
2021 | | | 8 | |
2022 | | | 5 | |
2023 | | | 5 | |
| | (c) | Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years. | |
| | * | Excludes short-term securities. | |
CREDIT QUALITY ALLOCATION (a)
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| Credit Rating | | 01/31/19 | | | 07/31/18 | |
AAA/Aaa | | | 8 | % | | | 7 | % |
AA/Aa | | | 72 | | | | 72 | |
A | | | 15 | | | | 14 | |
BBB/Baa | | | — | | | | 1 | |
BB/Ba | | | 1 | | | | 1 | |
B | | | 1 | | | | 1 | |
N/R | | | 3 | | | | 4 | |
| | (a) | 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. | |
| | (b) | Represents less than 1% of the Trust’s total investments. | |
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| Trust Summary as of January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust |
Trust Overview
BlackRock Municipal 2030 Target Term Trust’s (BTT) (the “Trust”) investment objectives are to provide current income exempt from regular U.S. federal income tax (but which may be subject to the federal alternative minimum tax in certain circumstances) and to return $25.00 per common share (the initial offering price per share) to holders of common shares on or about December 31, 2030. The Trust seeks to achieve its investment objectives by investing at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the federal alternative minimum tax). The Trust invests at least 80% of its assets in municipal bonds that are investment grade quality, or are considered by the Trust’s investment adviser to be of comparable quality, at the time of investment. The Trust actively manages the maturity of its bonds to seek to have a dollar weighted average effective maturity approximately equal to the Trust’s maturity date. The Trust may invest directly in such securities or synthetically through the use of derivatives.
There is no assurance that the Trust will achieve its investment objective of returning $25.00 per share.
Trust Information
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Symbol on NYSE | | BTT |
Initial Offering Date | | August 30, 2012 |
Termination Date (on or about) | | December 31, 2030 |
Current Distribution Rate on Closing Market Price as of January 31, 2019 ($21.69)(a) | | 3.45% |
Tax Equivalent Yield(b) | | 5.83% |
Current Monthly Distribution per Common Share(c) | | $0.0624 |
Current Annualized Distribution per Common Share(c) | | $0.7488 |
Economic Leverage as January 31, 2019(d) | | 38% |
| | (a) | Current Distribution Rate on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. The current distribution rate may consist of income, net realized gains and/or a return of capital. See the financial highlights for the actual sources and character of distributions. Past performance does not guarantee future results. | |
| | (b) | Tax equivalent yield assumes the maximum marginal U.S. federal tax rate of 40.80%, which includes the 3.8% Medicare tax. Actual tax rates will vary based on income, exemptions and deductions. Lower taxes will result in lower tax equivalent yields. | |
| | (c) | The distribution rate is not constant and is subject to change. | |
| | (d) | Represents RVMTP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Trust, including any assets attributable to RVMTP Shares and TOB Trusts, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 5. | |
Performance
Returns for the six months ended January 31, 2019 were as follows:
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| | | Returns Based On | |
| | | Market Price | | | NAV | |
BTT(a)(b) | | | 3.05 | % | | | 3.07 | % |
Lipper General & Insured Municipal Debt Funds (Leveraged)(c) | | | 2.46 | | | | 0.94 | |
| | (a) | All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. | |
| | (b) | The Trust’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV. | |
| | (c) | Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on theex-dividend date as calculated by Lipper. | |
Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.
Past performance is not indicative of future results.
The following discussion relates to the Trust’s absolute performance based on NAV:
After performing poorly through the first half of the period, municipal bonds recovered to post a positive total return for the full six months. The initial downturn was largely brought about by concerns that the Fed would raise interest rates aggressively in 2019. However, subsequent signs of slowing growth prompted investors to adjust their expectations in favor of more accommodative Fed policy, sparking a rally across the bond market from early November onward.
The Trust’s yield curve positioning contributed to Trust performance. The majority of portfolio holdings were held in the10- to15-year range, which outperformed other areas of the curve.
The Trust’s positions in the health care, transportation and statetax-backed sectors contributed to performance. Its allocation to the tobacco sector, while limited, detracted from Trust performance.
The Trust’s allocation to higher-rated issues, which outpaced lower-quality bonds, aided results.
Income made a meaningful contribution to performance relative to price appreciation. The Trust’s use of leverage augmented the contribution from income.
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.
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| 8 | | 2019 BLACKROCK SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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| Trust Summary as of January 31, 2019 (continued) | | BlackRock Municipal 2030 Target Term Trust |
Market Price and Net Asset Value Per Share Summary
| | | | | | | | | | | | | | | | | | | | |
| | | 01/31/19 | | | 07/31/18 | | | Change | | | High | | | Low | |
Market Price | | $ | 21.69 | | | $ | 21.43 | | | | 1.21 | % | | $ | 21.75 | | | $ | 19.92 | |
Net Asset Value | | | 23.91 | | | | 23.62 | | | | 1.23 | | | | 23.91 | | | | 22.86 | |
Market Price and Net Asset Value History For the Past Five Years
Overview of the Trust’s Total Investments *
SECTOR ALLOCATION
| | | | | | | | |
| Sector | | 01/31/19 | | | 07/31/18 | |
Transportation | | | 26 | % | | | 23 | % |
Health | | | 20 | | | | 19 | |
County/City/Special District/School District | | | 17 | | | | 15 | |
State | | | 9 | | | | 10 | |
Education | | | 8 | | | | 12 | |
Corporate | | | 7 | | | | 8 | |
Utilities | | | 7 | | | | 7 | |
Housing | | | 3 | | | | 3 | |
Tobacco | | | 3 | | | | 3 | |
| | | For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease. | |
CALL/MATURITY SCHEDULE (c)
| | | | |
Calendar Year Ended December 31, | | | | |
2019 | | | 0 | % |
2020 | | | 4 | |
2021 | | | 1 | |
2022 | | | 28 | |
2023 | | | 9 | |
| | (c) | Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years. | |
| | * | Excludes short-term securities. | |
CREDIT QUALITY ALLOCATION (a)
| | | | | | | | |
| Credit Rating | | 01/31/19 | | | 07/31/18 | |
AAA/Aaa | | | 3 | % | | | 3 | % |
AA/Aa | | | 32 | | | | 32 | |
A | | | 38 | | | | 37 | |
BBB/Baa | | | 15 | | | | 17 | |
BB/Ba | | | 2 | | | | 2 | |
B | | | 2 | | | | 1 | |
CCC/Caa | | | — | | | | — | |
N/R(b) | | | 8 | | | | 8 | |
| | (a) | For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P or 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. | |
| | (b) | The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of January 31, 2019 and July 31, 2018, the market value of unrated securities deemed by the investment adviser to be investment grade represents less than 1% of the Trust’s total investments. | |
| | |
| Trust Summary as of January 31, 2019 | | BlackRock Municipal Income Investment Trust |
Trust Overview
BlackRock Municipal Income Investment Trust’s (BBF) (the “Trust”) investment objective is to provide current income exempt from regular U.S. federal income tax. The Trust seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds, the interest of which is exempt from U.S. federal income taxes. The Trust invests at least 80% of its assets in municipal bonds that are investment grade quality, or are considered by the Trust’s investment adviser to be of comparable quality, at the time of investment. The Trust may invest directly in such securities or synthetically through the use of derivatives.
No assurance can be given that the Trust’s investment objective will be achieved.
Trust Information
| | |
Symbol on NYSE | | BBF |
Initial Offering Date | | July 27, 2001 |
Yield on Closing Market Price as of January 31, 2019 ($12.90)(a) | | 5.40% |
Tax Equivalent Yield(b) | | 9.12% |
Current Monthly Distribution per Common Share(c) | | $0.0580 |
Current Annualized Distribution per Common Share(c) | | $0.6960 |
Economic Leverage as of January 31, 2019(d) | | 41% |
| | (a) | Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results. | |
| | (b) | Tax equivalent yield assumes the maximum marginal U.S. federal tax rate of 40.80%, which includes the 3.8% Medicare tax. Actual tax rates will vary based on income, exemptions and deductions. Lower taxes will result in lower tax equivalent yields. | |
| | (c) | The distribution rate is not constant and is subject to change. A portion of the distribution may be deemed a return of capital or net realized gain. | |
| | (d) | Represents VRDP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Trust, including any assets attributable to VRDP Shares and TOB Trusts, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 5. | |
Performance
Returns for the six months ended January 31, 2019 were as follows:
| | | | | | | | |
| | | Returns Based On | |
| | | Market Price | | | NAV | |
BBF(a)(b) | | | (0.77 | )% | | | 0.48 | % |
Lipper General & Insured Municipal Debt Funds (Leveraged)(c) | | | 2.46 | | | | 0.94 | |
| | (a) | All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. | |
| | (b) | The Trust’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV. | |
| | (c) | Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on theex-dividend date as calculated by Lipper. | |
Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.
Past performance is not indicative of future results.
The following discussion relates to the Trust’s absolute performance based on NAV:
After performing poorly through the first half of the period, municipal bonds recovered to post a positive total return for the full six months. The initial downturn was largely brought about by concerns that the Fed would raise interest rates aggressively in 2019. However, subsequent signs of slowing growth prompted investors to adjust their expectations in favor of more accommodative Fed policy, sparking a rally across the bond market from early November onward.
Income, which was enhanced by leverage, was the largest contributor to Trust performance. However, the cost of leverage became more expensive during the period due to the Fed’s two interest rate increases.
Positions in short-dated maturities were top performers on a price basis, as yields fell the most for bond with maturities of ten years and below. (Prices and yields move in opposite directions.) Longer-dated maturities, while experiencing less price appreciation than short-term issues, provided the Trust with an attractive level of income.
The Trust’s holdings in higher-quality bonds generally added value and outpaced lower-quality securities.
At the sector level, positions in health care and transportation issues were contributors. Conversely, an allocation to the tobacco sector was a slight detractor. The sector experienced yield spread widening, which led to poor performance relative to other market segments.
The Trust sought to manage interest rate risk using U.S. Treasury futures. Given that Treasury yields fell, as prices rose, this strategy detracted from the Trust’s return.
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.
| | |
| 10 | | 2019 BLACKROCK SEMI-ANNUAL REPORTTO SHAREHOLDERS |
| | |
| Trust Summary as of January 31, 2019 (continued) | | BlackRock Municipal Income Investment Trust |
Market Price and Net Asset Value Per Share Summary
| | | | | | | | | | | | | | | | | | | | |
| | | 01/31/19 | | | 07/31/18 | | | Change | | | High | | | Low | |
Market Price | | $ | 12.90 | | | $ | 13.37 | | | | (3.52 | )% | | $ | 14.17 | | | $ | 11.80 | |
Net Asset Value | | | 13.55 | | | | 13.87 | | | | (2.31 | ) | | | 13.87 | | | | 13.36 | |
Market Price and Net Asset Value History For the Past Five Years
Overview of the Trust’s Total Investments *
SECTOR ALLOCATION
| | | | | | | | |
| Sector | | 01/31/19 | | | 07/31/18 | |
County/City/Special District/School District | | | 22 | % | | | 22 | % |
Health | | | 19 | | | | 16 | |
Transportation | | | 19 | | | | 19 | |
Utilities | | | 10 | | | | 13 | |
State | | | 9 | | | | 9 | |
Education | | | 7 | | | | 9 | |
Tobacco | | | 7 | | | | 7 | |
Housing | | | 6 | | | | 3 | |
Corporate | | | 1 | | | | 2 | |
| | | For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease. | |
CALL/MATURITY SCHEDULE (c)
| | | | |
Calendar Year Ended December 31, | | | | |
2019 | | | 25 | % |
2020 | | | 10 | |
2021 | | | 13 | |
2022 | | | 2 | |
2023 | | | 16 | |
| | (c) | Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years. | |
| | * | Excludes short-term securities. | |
CREDIT QUALITY ALLOCATION (a)
| | | | | | | | |
| Credit Rating | | 01/31/19 | | | 07/31/18 | |
AAA/Aaa | | | 3 | % | | | 7 | % |
AA/Aa | | | 36 | | | | 43 | |
A | | | 22 | | | | 17 | |
BBB/Baa | | | 17 | | | | 16 | |
BB/Ba | | | 3 | | | | 4 | |
B | | | 3 | | | | 3 | |
N/R(b) | | | 16 | | | | 10 | |
| | (a) | For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P or 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. | |
| | (b) | The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of January 31, 2019 and July 31, 2018, the market value of unrated securities deemed by the investment adviser to be investment grade represents 1% and less than 1%, respectively, of the Trust’s total investments. | |
| | |
| Trust Summary as of January 31, 2019 | | BlackRock New York Municipal Income Trust |
Trust Overview
BlackRock New York Municipal Income Trust’s (BNY) (the “Trust”) investment objective is to provide current income exempt from regular U.S. federal income tax and New York State and New York City personal income taxes. The Trust seeks to achieve its investment objective by investing primarily in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the federal alternative minimum tax) and New York State and New York City personal income taxes. The Trust invests at least 80% of its assets in municipal bonds that are investment grade quality, or are considered by the Trust’s investment adviser to be of comparable quality, at the time of investment. The Trust may invest directly in such securities or synthetically through the use of derivatives.
No assurance can be given that the Trust’s investment objective will be achieved.
Trust Information
| | |
Symbol on NYSE | | BNY |
Initial Offering Date | | July 27, 2001 |
Yield on Closing Market Price as of January 31, 2019 ($12.66)(a) | | 4.22% |
Tax Equivalent Yield(b) | | 8.38% |
Current Monthly Distribution per Common Share(c) | | $0.0445 |
Current Annualized Distribution per Common Share(c) | | $0.5340 |
Economic Leverage as of January 31, 2019(d) | | 41% |
| | (a) | Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results. | |
| | (b) | Tax equivalent yield assumes the maximum marginal U.S. federal and state tax rate of 49.62%, which includes the 3.8% Medicare tax. Actual tax rates will vary based on income, exemptions and deductions. Lower taxes will result in lower tax equivalent yields. | |
| | (c) | The distribution rate is not constant and is subject to change. | |
| | (d) | Represents VMTP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Trust, including any assets attributable to VMTP Shares and TOB Trusts, minus the sum of accrued liabilities. For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 5. | |
Performance
Returns for the six months ended January 31, 2019 were as follows:
| | | | | | | | |
| | | Returns Based On | |
| | | Market Price | | | NAV | |
BNY(a)(b) | | | 3.25 | % | | | 1.28 | % |
Lipper New York Municipal Debt Funds(c) | | | 3.35 | | | | 1.12 | |
| | (a) | All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices. | |
| | (b) | The Trust’s discount to NAV narrowed during the period, which accounts for the difference between performance based on market price and performance based on NAV. | |
| | (c) | Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on theex-dividend date as calculated by Lipper. | |
Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.
Past performance is not indicative of future results.
The following discussion relates to the Trust’s absolute performance based on NAV:
After performing poorly through the first half of the period, municipal bonds recovered to post a positive total return for the full six months. The initial downturn was largely brought about by concerns that the Fed would raise interest rates aggressively in 2019. However, subsequent signs of slowing growth prompted investors to adjust their expectations in favor of more accommodative Fed policy, sparking a rally across the bond market from early November onward.
The New York municipal market finished somewhat behind the national indexes due primarily to elevatednew-issue supply. While New York continues to benefit from a broad and diverse economic base, a tax revenue shortfall — possibly driven by changes stemming from the federal Tax Cuts and Jobs Act — had an adverse effect on investor sentiment. In addition to making revenue forecasting more of a challenge, thetax-law changes made New York’s tax structure less competitive relative tolower-tax states.
Income, which was enhanced by leverage, was the largest contributor to Trust performance. However, the cost of leverage became more expensive during the period due to the Fed’s two interest rate increases.
Positions in short-dated maturities were top performers on a price basis, as yields fell the most for bond with maturities of ten years and below. (Prices and yields move in opposite directions.) Longer-dated maturities, while experiencing less prices appreciation than short-term issues, provided the Trust with an attractive level of income.
At the sector level, positions in transportation and localtax-backed issues aided results. In both cases, holdings in higher-quality bonds were key contributors. Conversely, an allocation to the tobacco sector was a slight detractor. The sector experienced yield spread widening, which led to poor performance relative to other market segments.
The Trust sought to manage interest rate risk using U.S. Treasury futures. Given that Treasury yields fell, as prices rose, this strategy detracted from the Trust’s return.
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.
| | |
| 12 | | 2019 BLACKROCK SEMI-ANNUAL REPORTTO SHAREHOLDERS |
| | |
| Trust Summary as of January 31, 2019 (continued) | | BlackRock New York Municipal Income Trust |
Market Price and Net Asset Value Per Share Summary
| | | | | | | | | | | | | | | | | | | | |
| | | 01/31/19 | | | 07/31/18 | | | Change | | | High | | | Low | |
Market Price | | $ | 12.66 | | | $ | 12.53 | | | | 1.04 | % | | $ | 12.83 | | | $ | 11.70 | |
Net Asset Value | | | 14.39 | | | | 14.52 | | | | (0.90 | ) | | | 14.52 | | | | 14.01 | |
Market Price and Net Asset Value History For the Past Five Years
Overview of the Trust’s Total Investments *
SECTOR ALLOCATION
| | | | | | | | |
| Sector | | 01/31/19 | | | 07/31/18 | |
County/City/Special District/School District | | | 22 | % | | | 22 | % |
Transportation | | | 21 | | | | 21 | |
Education | | | 18 | | | | 19 | |
State | | | 12 | | | | 11 | |
Utilities | | | 11 | | | | 11 | |
Health | | | 7 | | | | 8 | |
Corporate | | | 3 | | | | 3 | |
Tobacco | | | 3 | | | | 3 | |
Housing | | | 3 | | | | 2 | |
| | | For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease. | |
CALL/MATURITY SCHEDULE (c)
| | | | |
Calendar Year Ended December 31, | | | | |
2019 | | | 9 | % |
2020 | | | 8 | |
2021 | | | 18 | |
2022 | | | 13 | |
2023 | | | 8 | |
| | (c) | Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years. | |
| | * | Excludes short-term securities. | |
CREDIT QUALITY ALLOCATION (a)
| | | | | | | | |
| Credit Rating | | 01/31/19 | | | 07/31/18 | |
AAA/Aaa | | | 7 | % | | | 17 | % |
AA/Aa | | | 45 | | | | 35 | |
A | | | 26 | | | | 30 | |
BBB/Baa | | | 8 | | | | 7 | |
BB/Ba | | | 2 | | | | 2 | |
B | | | 2 | | | | 1 | |
N/R(b) | | | 10 | | | | 8 | |
| | (a) | For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P or 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. | |
| | (b) | The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of January 31, 2019 and July 31, 2018, the market value of unrated securities deemed by the investment adviser to be investment grade represents 1% and 4%, respectively, of the Trust’s total investments. | |
| | |
Schedule of Investments (unaudited) January 31, 2019 | | BlackRock California Municipal Income Trust (BFZ) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
Municipal Bonds — 97.2% | |
|
California — 96.5% | |
|
| County/City/Special District/School District — 23.3% | |
City of San Jose California Hotel Tax, RB, Convention Center Expansion & Renovation Project: | | | | | | | | |
6.13%, 05/01/31 | | $ | 500 | | | $ | 546,015 | |
6.50%, 05/01/36 | | | 1,210 | | | | 1,331,254 | |
6.50%, 05/01/42 | | | 2,225 | | | | 2,447,967 | |
County of Kern California, COP, Capital Improvements Projects, Series A (AGC), 6.00%, 02/01/19(a) | | | 2,000 | | | | 2,000,000 | |
County of Los Angeles Metropolitan Transportation Authority, Refunding RB, Series A, 5.00%, 07/01/38 | | | 4,815 | | | | 5,587,952 | |
County of Riverside California Public Financing Authority, RB, Capital Facilities Project, 5.25%, 11/01/45 | | | 8,990 | | | | 10,382,012 | |
County of San Joaquin California Transportation Authority, Refunding RB, Limited Tax, Measure K, Series A, 6.00%, 03/01/21(a) | | | 2,880 | | | | 3,138,192 | |
Evergreen Elementary School District, GO, Election of 2006, Series B (AGC), 5.13%, 08/01/33 | | | 2,500 | | | | 2,540,625 | |
Los Angeles California Community College District, GO, Series G, 4.00%, 08/01/39 | | | 5,000 | | | | 5,169,400 | |
Los Angeles California Unified School District, GO, Election of 2008, SeriesB-1, 5.25%, 07/01/42 | | | 12,500 | | | | 14,737,500 | |
Modesto Irrigation District, COP, Capital Improvments, Series A, 5.75%, 10/01/29 | | | 3,035 | | | | 3,053,908 | |
Sacramento Area Flood Control Agency, Refunding, Consolidated Capital Assessment District, 5.00%, 10/01/41 | | | 8,000 | | | | 9,049,520 | |
San Jose California Financing Authority, Refunding LRB, Civic Center Project, Series A, 5.00%, 06/01/32 | | | 3,375 | | | | 3,761,269 | |
San Leandro California Unified School District, GO, Election of 2010, Series A, 5.75%, 08/01/41 | | | 3,060 | | | | 3,335,981 | |
Santa Clarita Public Finance Authority, RB, Streetlights Acquisition And Retrofit Program, Series A, 5.00%, 09/01/43 | | | 3,205 | | | | 3,644,854 | |
Santa Monica Public Financing Authority, RB, Downtown Fire Station Project, 5.00%, 07/01/42 | | | 1,250 | | | | 1,437,550 | |
State of California, GO, Refunding, 5.00%, 08/01/46 | | | 2,500 | | | | 2,811,825 | |
State of California, GO, Refunding VariousPurposes-Bid Group, 5.00%, 08/01/37 | | | 15,000 | | | | 17,570,100 | |
Torrance Unified School District California, GO, Election of 2008, Measure Z, 6.00%, 08/01/19(a) | | | 4,000 | | | | 4,088,840 | |
Tracy Community Facilities District, Special Tax Bonds, Series 1: | | | | | | | | |
5.00%, 09/01/38 | | | 335 | | | | 365,924 | |
5.00%, 09/01/43 | | | 515 | | | | 560,619 | |
5.00%, 09/01/48 | | | 570 | | | | 619,516 | |
Tustin California School District, GO, Election of 2008, Series B, 5.25%, 08/01/21(a) | | | 3,445 | | | | 3,764,214 | |
Washington Township Health Care District, GO, Election of 2004, Series B, 5.50%, 08/01/38 | | | 1,625 | | | | 1,895,481 | |
West Contra Costa California Unified School District, GO, Election of 2012, Series A, 5.50%, 08/01/39 | | | 2,500 | | | | 2,867,150 | |
| | | | | | | | |
| | | | 106,707,668 | |
|
| Education — 7.9% | |
California Educational Facilities Authority, Refunding RB, San Francisco University(a): | | | | | | | | |
6.13%, 10/01/21 | | | 3,075 | | | | 3,439,910 | |
6.13%, 10/01/21 | | | 3,205 | | | | 3,589,792 | |
California Municipal Finance Authority, RB, Emerson College, 5.75%, 01/01/22(a) | | | 2,500 | | | | 2,797,425 | |
California Municipal Finance Authority, Refunding RB, Emerson College, Series B, 5.00%, 01/01/42 | | | 1,000 | | | | 1,094,680 | |
California State University, Refunding RB, Systemwide, Series A, 5.00%, 11/01/33 | | | 5,640 | | | | 6,560,335 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Education (continued) | |
University of California, Refunding RB: | | | | | | | | |
General, Series AZ, 5.00%, 05/15/43 | | $ | 5,800 | | | $ | 6,637,288 | |
Limited Project, Series O, 5.00%, 05/15/40 | | | 6,350 | | | | 7,283,196 | |
Series AR, 5.00%, 05/15/38 | | | 4,250 | | | | 4,825,833 | |
| | | | | | | | |
| | | | 36,228,459 | |
|
| Health — 13.9% | |
ABAG Finance Authority for Nonprofit Corps., Refunding RB, Sharp Healthcare, Series B, 6.25%, 08/01/19(a) | | | 4,975 | | | | 5,089,077 | |
California Health Facilities Financing Authority, RB: | | | | | | | | |
Adventist Health System West, Series A, 5.75%, 09/01/19(a) | | | 6,710 | | | | 6,870,235 | |
Cedars Sinai Medical Center, Series A, 5.00%, 08/15/34 | | | 5,475 | | | | 6,331,892 | |
Children’s Hospital, Series A, 5.25%, 11/01/41 | | | 8,500 | | | | 9,266,445 | |
Sutter Health, Series A, 5.00%, 11/15/36 | | | 1,900 | | | | 2,181,846 | |
Sutter Health, Series A, 5.00%, 11/15/41 | | | 3,000 | | | | 3,318,960 | |
Sutter Health, Series B, 6.00%, 08/15/20(a) | | | 6,015 | | | | 6,421,133 | |
California Health Facilities Financing Authority, Refunding RB, Series A(a): | | | | | | | | |
Catholic Healthcare West, 6.00%, 07/01/19 | | | 5,550 | | | | 5,650,233 | |
Dignity Health, 6.00%, 07/01/19 | | | 4,520 | | | | 4,601,631 | |
California Statewide Communities Development Authority, RB, Loma Linda University Medical Center, 5.50%, 12/01/58(b) | | | 930 | | | | 1,011,207 | |
California Statewide Communities Development Authority, Refunding RB, Trinity Health Credit Group Composite Issue, 5.00%, 12/01/41 | | | 4,000 | | | | 4,295,920 | |
State of California Public Works Board, Refunding RB, Various Capital Projects, Series C, 5.00%, 11/01/34 | | | 7,750 | | | | 8,946,445 | |
| | | | | | | | |
| | | | 63,985,024 | |
|
| State — 8.7% | |
Hayward Area Recreation & Park District, GO, Series A,
5.00%, 08/01/42 | | | 4,950 | | | | 5,659,335 | |
State of California, GO, Refunding, Various Purposes,
5.00%, 11/01/37 | | | 4,690 | | | | 5,437,633 | |
State of California, GO, Various Purposes, 6.00%, 04/01/38 | | | 4,000 | | | | 4,026,040 | |
State of California Public Works Board, LRB: | | | | | | | | |
Department of Education, Riverside Campus Project, Series B, 6.50%, 04/01/19(a) | | | 9,000 | | | | 9,072,090 | |
Various Capital Projects, Series I, 5.50%, 11/01/33 | | | 4,940 | | | | 5,615,150 | |
Various Capital Projects,Sub-SeriesI-1, 6.38%, 11/01/19(a) | | | 5,025 | | | | 5,205,598 | |
State of California Public Works Board, RB, Department of Corrections & Rehabilitation, Series F, 5.25%, 09/01/33 | | | 4,335 | | | | 4,861,226 | |
| | | | | | | | |
| | | | 39,877,072 | |
|
| Tobacco — 5.1% | |
County of California Tobacco Securitization Agency, Refunding RB, Asset-Backed, Merced County, Series A, 5.25%, 06/01/45 | | | 1,135 | | | | 1,137,781 | |
Golden State Tobacco Securitization Corp., Refunding RB: | | | | | | | | |
Asset-Backed, Series A, 5.00%, 06/01/40 | | | 500 | | | | 550,540 | |
SeriesA-1, 5.00%, 06/01/47 | | | 17,470 | | | | 16,504,258 | |
Tobacco Securitization Authority of Northern California, Refunding RB, Asset-Backed Bonds, SeriesA-1, 5.38%, 06/01/38 | | | 2,000 | | | | 2,008,880 | |
Tobacco Securitization Authority of Southern California, Refunding RB, Tobacco Settlement, Asset-Backed, Senior SeriesA-1: | | | | | | | | |
5.00%, 06/01/37 | | | 2,500 | | | | 2,500,000 | |
5.13%, 06/01/46 | | | 885 | | | | 885,000 | |
| | | | | | | | |
| | | | 23,586,459 | |
|
| Transportation — 17.6% | |
City & County of San Francisco California Airports Commission, Refunding ARB, Series A, AMT, 5.00%, 05/01/42 | | | 16,535 | | | | 18,359,141 | |
City & County of San Francisco California Airports Commission, ARB, Second Series E: | | | | | | | | |
6.00%, 05/01/19(a) | | | 520 | | | | 525,658 | |
6.00%, 05/01/39 | | | 6,230 | | | | 6,297,782 | |
| | |
| 14 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock California Municipal Income Trust (BFZ) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Transportation (continued) | |
City of Los Angeles California Department of Airports, ARB, AMT: | | | | | | | | |
Los Angeles International Airport, Series B, 5.00%, 05/15/36 | | $ | 2,100 | | | $ | 2,358,174 | |
Los Angeles International Airport,Sub-Series A, 5.00%, 05/15/42 | | | 4,220 | | | | 4,666,349 | |
Subordinate, Los Angeles International Airport, Series B, 5.00%, 05/15/31 | | | 100 | | | | 114,395 | |
Subordinate, Series C, 5.00%, 05/15/44 | | | 1,190 | | | | 1,332,467 | |
City of Los Angeles California Department of Airports, Refunding ARB, Los Angeles International Airport: | | | | | | | | |
AMT, 5.00%, 05/15/36 | | | 600 | | | | 697,380 | |
Senior Series A, 5.00%, 05/15/34 | | | 6,650 | | | | 6,712,044 | |
Senior, Series A, 5.00%, 05/15/40 | | | 4,760 | | | | 4,941,975 | |
City of San Jose California, Refunding ARB, Norman Y Mineta San Jose International Airport SJC, SeriesA-1, AMT: | | | | | | | | |
5.75%, 03/01/34 | | | 3,875 | | | | 4,133,734 | |
6.25%, 03/01/34 | | | 2,650 | | | | 2,861,974 | |
County of Riverside Transportation Commission, Refunding RB, Series A, 5.00%, 06/01/38 | | | 2,150 | | | | 2,485,164 | |
County of Sacramento California Airport System Revenue, Refunding RB, Series B, 5.00%, 07/01/38 | | | 1,500 | | | | 1,731,000 | |
County of Sacramento California Airport System Revenue, Refunding ARB, Senior Series A, 5.00%, 07/01/41 | | | 12,500 | | | | 13,955,750 | |
Port of Los Angeles California Harbor Department, Refunding RB, Series A, AMT, 5.00%, 08/01/44 | | | 4,135 | | | | 4,590,636 | |
San Francisco Municipal Transportation Agency, RB, 4.00%, 03/01/46 | | | 4,935 | | | | 5,102,148 | |
| | | | | | | | |
| | | | 80,865,771 | |
|
| Utilities — 20.0% | |
City & County of San Francisco Public Utilities Commission Wastewater Revenue, RB, Series B, 5.00%, 10/01/43 | | | 2,485 | | | | 2,848,183 | |
City of Chula Vista California, Refunding RB, San Diego Gas & Electric, Series D, 5.88%, 01/01/34 | | | 2,550 | | | | 2,576,112 | |
City of Los Angeles California Department of Water & Power, RB, Power System, Series A, 5.00%, 07/01/42 | | | 10,670 | | | | 12,113,971 | |
City of Los Angeles California Department of Water & Power, Refunding RB: | | | | | | | | |
Series B, 5.00%, 07/01/43 | | | 8,000 | | | | 9,239,040 | |
Water System, Series A, 5.25%, 07/01/39 | | | 4,000 | | | | 4,250,680 | |
City of Petaluma California Wastewater Revenue, Refunding RB, 6.00%, 05/01/21(a) | | | 5,625 | | | | 6,180,806 | |
City of Richmond California Wastewater Revenue, Refunding RB, Series A, 5.00%, 08/01/42 | | | 1,750 | | | | 2,007,828 | |
City of San Francisco California Public Utilities Commission Water Revenue, RB,Sub-Series A, 5.00%, 11/01/37 | | | 5,000 | | | | 5,449,900 | |
City of San Francisco California Public Utilities Commission Water Revenue, Refunding RB, Green Bond, Series D, 5.00%, 11/01/32 | | | 10,325 | | | | 12,358,199 | |
Dublin-San Ramon Services District Water Revenue, Refunding RB, 6.00%, 02/01/21(a) | | | 2,425 | | | | 2,638,836 | |
East Bay California Municipal Utility District Water System Revenue, RB, Green Bond, Series A, 5.00%, 06/01/45 | | | 4,230 | | | | 4,842,250 | |
El Dorado Irrigation District/El Dorado County Water Agency, Refunding RB, Series A (AGM), 5.25%, 03/01/39 | | | 10,000 | | | | 11,379,600 | |
Los Angeles Department of Water, Refunding RB, Series A: | | | | | | | | |
5.00%, 07/01/41 | | | 5,000 | | | | 5,680,400 | |
5.25%, 07/01/44 | | | 3,000 | | | | 3,456,030 | |
Los Angeles Department of Water & Power System Revenue, RB, Series B, 5.00%, 07/01/38 | | | 6,000 | | | | 6,791,520 | |
| | | | | | | | |
| | | | 91,813,355 | |
| | | | | |
| |
Total Municipal Bonds in California | | | | 443,063,808 | |
| | | | | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
Multi-State — 0.5% | |
|
| Housing — 0.5% | |
Centerline Equity Issuer Trust(b): | | | | | | | | |
SeriesA-4-2, 6.00%, 10/31/52 | | $ | 1,000 | | | $ | 1,009,800 | |
SeriesB-3-2, 6.30%, 10/31/52 | | | 1,000 | | | | 1,010,510 | |
| | | | | | | | |
| |
Total Municipal Bonds in Multi-State | | | | 2,020,310 | |
| | | | | |
|
Puerto Rico — 0.2% | |
|
| Tobacco — 0.2% | |
Children’s Trust Fund, Refunding RB, Tobacco Settlement Asset-Backed Bonds, 5.50%, 05/15/39 | | | 780 | | | | 788,713 | |
| | | | | | | | |
| |
Total Municipal Bonds — 97.2%
(Cost — $433,773,747) | | | | 445,872,831 | |
| | | | | |
|
Municipal Bonds Transferred to Tender Option Bond Trusts(c) | |
|
California — 74.1% | |
|
| County/City/Special District/School District — 27.2% | |
Los Angeles California Unified School District, GO, Series I, 5.00%, 01/01/34 | | | 5,000 | | | | 5,060,375 | |
Los Angeles Community College District California, GO, Election of 2008, Series C, 5.25%, 08/01/20(a)(d) | | | 12,902 | | | | 13,602,037 | |
Los Angeles Community College District California, GO, Refunding, Election of 2008, Series A, 6.00%, 08/01/19(a) | | | 20,132 | | | | 20,574,490 | |
Palomar Community College District, GO, Election of 2006, Series C, 5.00%, 08/01/44 | | | 15,140 | | | | 17,196,088 | |
San Diego California Community College District, GO, Election of 2002, 5.25%, 08/01/19(a) | | | 10,487 | | | | 10,681,432 | |
San Diego Unified School District California, GO, Election of 2012, Series I, 5.00%, 07/01/47 | | | 10,000 | | | | 11,412,300 | |
San Francisco California Bay Area Rapid Transit District, GO, Election 2016, Green Bond, Series A, 5.00%, 08/01/47 | | | 10,615 | | | | 12,178,899 | |
San Joaquin California Delta Community College District, GO, Election of 2004, Series C, 5.00%, 08/01/39 | | | 14,505 | | | | 16,375,116 | |
San Jose Unified School District, GO, Series C, 4.00%, 08/01/39 | | | 6,100 | | | | 6,318,990 | |
Santa Monica Community College District, GO, Election of 2016, Series A, 5.00%, 08/01/43 | | | 10,000 | | | | 11,614,450 | |
| | | | | | | | |
| | | | 125,014,177 | |
|
| Education — 16.2% | |
University of California, RB: | | | | | | | | |
Limited Project, Series M, 5.00%, 05/15/42 | | | 10,000 | | | | 11,346,450 | |
Series AM, 5.25%, 05/15/44 | | | 5,000 | | | | 5,630,975 | |
Series O, 5.75%, 05/15/19(a) | | | 12,303 | | | | 12,446,932 | |
University of California, Refunding RB: | | | | | | | | |
Series A, 5.00%, 11/01/43 | | | 11,791 | | | | 13,278,069 | |
Series AI, 5.00%, 05/15/38 | | | 14,225 | | | | 15,723,559 | |
Series I, 5.00%, 05/15/40 | | | 14,065 | | | | 15,772,252 | |
| | | | | | | | |
| | | | 74,198,237 | |
|
| Health — 9.5% | |
California Health Facilities Financing Authority, RB, Sutter Health, Series A: | | | | | | | | |
5.00%, 11/15/41 | | | 11,620 | | | | 12,855,438 | |
5.00%, 08/15/52 | | | 9,695 | | | | 10,403,585 | |
California Statewide Communities Development Authority, RB, Kaiser Permanente, Series A, 5.00%, 04/01/42 | | | 18,960 | | | | 20,300,093 | |
| | | | | | | | |
| | | | 43,559,116 | |
|
| State — 2.5% | |
University of California, Refunding RB, Series AR, 5.00%, 05/15/41 | | | 10,165 | | | | 11,463,040 | |
| | | | | | | | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 15 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock California Municipal Income Trust (BFZ) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Transportation — 12.1% | |
City & County of San Francisco California Airports Commission, Refunding RB, San Francisco International Airport, Series B, AMT, 5.00%, 05/01/41 | | $ | 8,720 | | | $ | 9,596,709 | |
City of Los Angeles California Department of Airports, ARB, AMT: | | | | | | | | |
Los Angeles International Airport,Sub-Series A, 5.00%, 05/15/42 | | | 22,710 | | | | 25,112,007 | |
Series D, 5.00%, 05/15/41 | | | 18,632 | | | | 20,798,159 | |
| | | | | | | | |
| | | | 55,506,875 | |
|
| Utilities — 6.6% | |
County of Orange California Water District, COP, Refunding, 5.00%, 08/15/19(a) | | | 10,480 | | | | 10,670,998 | |
Los Angeles Department of Water, Refunding RB, Series A, 5.00%, 07/01/46 | | | 6,412 | | | | 7,171,040 | |
San Diego Public Facilities Financing Authority Sewer, Refunding RB, Senior Series A, 5.25%, 05/15/19(a) | | | 12,460 | | | | 12,588,587 | |
| | | | | | | | |
| | | | 30,430,625 | |
| | | | | |
| |
Total Municipal Bonds Transferred to Tender Option
Bond Trusts — 74.1%
(Cost — $336,839,799) | | | | 340,172,070 | |
| | | | | |
| |
Total Long-Term Investments — 171.3%
(Cost — $770,613,546) | | | | 786,044,901 | |
| |
Other Assets Less Liabilities — 1.3% | | | | 7,179,767 | |
| |
Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable — (35.3)% | | | | (162,955,074 | ) |
| |
VMTP Shares at Liquidation Value, Net of Deferred
Offering Costs — (37.3)% | | | | (171,300,000 | ) |
| | | | | | | | |
| |
Net Assets Applicable to Common Shares — 100.0% | | | $ | 458,969,594 | |
| | | | | | | | |
| (a) | U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par. |
| (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) | Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Trust. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details. |
| (d) | All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Trust could ultimately be required to pay under the agreement, which expires on May 18, 2020, is $6,798,086. See Note 4 of the Notes to Financial Statements for details. |
During the period ended January 31, 2019, investments in issuers considered to be an affiliate of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affiliate | | Shares
Held at
07/31/18 | | | Net
Activity | | | Shares
Held at
01/31/19 | | | Value at
01/31/19 | | | Income | | | Net
Realized
Gain (Loss) (a) | | | Change in
Unrealized
Appreciation
(Depreciation) | |
BlackRock Liquidity Funds California Money Fund, Institutional Class | | | — | | | | — | | | | — | | | $ | — | | | $ | 9,521 | | | $ | — | | | $ | — | |
BlackRock Liquidity Funds, MuniCash, Institutional Class | | | 6,190,589 | | | | (6,190,589 | ) | | | — | | | | — | | | | 7,151 | | | | (9 | ) | | | (610 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | $ | — | | | $ | 16,672 | | | $ | (9 | ) | | $ | (610 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes net capital gain distributions, if applicable. | |
For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sectorsub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sectorsub-classifications for reporting ease.
| | |
| 16 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock California Municipal Income Trust (BFZ) |
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts
| | | | | | | | | | | | | | | | |
| Description | | Number of
Contracts | | | Expiration
Date | | | Notional
Amount (000) | | | Value/
Unrealized
Appreciation (Depreciation) | |
Short Contracts: | | | | | | | | | | | | | | | | |
10-Year U.S. Treasury Note | | | 140 | | | | 03/20/19 | | | $ | 17,146 | | | $ | (333,934 | ) |
Long U.S. Treasury Bond | | | 203 | | | | 03/20/19 | | | | 29,778 | | | | (1,113,463 | ) |
5-Year U.S. Treasury Note | | | 18 | | | | 03/29/19 | | | | 2,067 | | | | (36,458 | ) |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | $ | (1,483,855 | ) |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Liabilities — Derivative Financial Instruments | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized depreciation(a) | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 1,483,855 | | | $ | — | | | $ | 1,483,855 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes cumulative depreciation on futures contracts, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities. | |
For the six months ended January 31, 2019, the effect of derivative financial instruments in the Statements of Operations were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange
Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Net Realized Gain (Loss) from: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 139,038 | | | $ | — | | | $ | 139,038 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
| Net Change in Unrealized Appreciation (Depreciation) on: | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | (1,504,938 | ) | | $ | — | | | $ | (1,504,938 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
| | | | |
Futures contracts: | | | | |
Average notional value of contracts — short | | $ | 35,059,703 | |
For more information about the Trust’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of investments and derivative financial instruments. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Notes to Financial Statements.
The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Assets: | | | | | | | | | | | | | | | | |
Investments: | | | | | | | | | | | | | | | | |
Long-Term Investments(a) | | $ | — | | | $ | 786,044,901 | | | $ | — | | | $ | 786,044,901 | |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments(b) | |
Liabilities: | |
Interest rate contracts | | $ | (1,483,855 | ) | | $ | — | | | $ | — | | | $ | (1,483,855 | ) |
| | | | | | | | | | | | | | | | |
| | (a) | See above Schedule of Investments for values in each sector. | |
| | (b) | Derivative financial instruments are futures contracts which are valued at the unrealized appreciation (depreciation) on the instrument. | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 17 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock California Municipal Income Trust (BFZ) |
The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Liabilities: | | | | | | | | | | | | | | | | |
TOB Trust Certificates | | $ | — | | | $ | (162,130,035 | ) | | $ | — | | | $ | (162,130,035 | ) |
VMTP Shares at Liquidation Value | | | — | | | | (171,300,000 | ) | | | — | | | | (171,300,000 | ) |
| | | | | | | | | | | | | | | | |
| | $ | — | | | $ | (333,430,035 | ) | | $ | — | | | $ | (333,430,035 | ) |
| | | | | | | | | | | | | | | | |
During the period ended January 31, 2019, there were no transfers between levels.
See notes to financial statements.
| | |
| 18 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
Municipal Bonds — 129.9% | |
|
Alabama — 2.3% | |
Alabama Federal Aid Highway Finance Authority, RB, Series A: | | | | | | | | |
5.00%, 09/01/33 | | $ | 3,985 | | | $ | 4,685,682 | |
5.00%, 09/01/34 | | | 3,500 | | | | 4,092,025 | |
Alabama Special Care Facilities Financing Authority-Birmingham, Refunding RB, Children’s Hospital of Albama, 5.00%, 06/01/30 | | | 10,000 | | | | 11,353,600 | |
Birmingham-Jefferson Civic Center Authority, Special Tax Bonds, Series A: | | | | | | | | |
5.00%, 07/01/31 | | | 1,100 | | | | 1,284,052 | |
5.00%, 07/01/32 | | | 1,150 | | | | 1,332,183 | |
5.00%, 07/01/33 | | | 1,600 | | | | 1,844,976 | |
County of Jefferson Alabama Sewer Revenue, Refunding RB, CAB, Senior Lien-Warrants, Series B (AGM)(a): | | | | | | | | |
0.00%, 10/01/31 | | | 7,375 | | | | 4,046,589 | |
0.00%, 10/01/32 | | | 6,295 | | | | 3,202,896 | |
0.00%, 10/01/33 | | | 1,275 | | | | 607,410 | |
Homewood Educational Building Authority, Refunding RB, Educational Facilities, Samford University, Series A: | | | | | | | | |
5.00%, 12/01/33 | | | 1,010 | | | | 1,143,482 | |
5.00%, 12/01/34 | | | 1,380 | | | | 1,550,568 | |
University of South Alabama, Refunding RB, (AGM): | | | | | | | | |
5.00%, 11/01/29 | | | 1,105 | | | | 1,275,589 | |
5.00%, 11/01/30 | | | 2,000 | | | | 2,290,780 | |
| | | | | | | | |
| | | | 38,709,832 | |
|
| Alaska — 0.1% | |
Northern Tobacco Securitization Corp., Refunding RB, Tobacco Settlement, Asset-Backed, Series A, 4.63%, 06/01/23 | | | 1,285 | | | | 1,285,154 | |
| | | | | | | | |
|
| Arizona — 2.2% | |
Arizona Health Facilities Authority, Refunding RB, Phoenix Children’s Hospital: | | | | | | | | |
Series A, 5.00%, 02/01/34 | | | 6,340 | | | | 6,754,509 | |
Series B, 5.00%, 02/01/33 | | | 1,810 | | | | 1,952,302 | |
City of Phoenix Arizona IDA, RB, Facility: | | | | | | | | |
Candeo Schools, Inc. Project, 6.00%, 07/01/23 | | | 430 | | | | 461,188 | |
Eagle College Preparatory Project, Series A, 4.50%, 07/01/22 | | | 400 | | | | 406,300 | |
Eagle College Preparatory Project, Series A, 5.00%, 07/01/33 | | | 1,000 | | | | 1,010,870 | |
Legacy Traditional Schools Project, Series A, 5.75%, 07/01/24(b) | | | 750 | | | | 797,243 | |
City of Phoenix Arizona IDA, Refunding RB, Downtown Phoenix Student Housing, Series A: | | | | | | | | |
5.00%, 07/01/29 | | | 175 | | | | 198,434 | |
5.00%, 07/01/31 | | | 175 | | | | 195,141 | |
County of Maricopa IDA, Refunding RB, Banner Health, Series A, 5.00%, 01/01/31 | | | 16,280 | | | | 18,930,058 | |
County of Pima Arizona IDA, Refunding RB, Tucson Electric Power Co. Project, Series A, 4.00%, 09/01/29 | | | 6,000 | | | | 6,228,420 | |
| | | | | | | | |
| | | | 36,934,465 | |
|
| California — 7.9% | |
Alameda Corridor Transportation Authority, Refunding RB, CAB,Sub-Lien, Series A (AMBAC),
0.00%, 10/01/30(a) | | | 10,530 | | | | 6,891,253 | |
California Health Facilities Financing Authority, RB, Sutter Health, Series A: | | | | | | | | |
5.00%, 11/15/32 | | | 1,600 | | | | 1,866,848 | |
5.00%, 11/15/33 | | | 1,855 | | | | 2,156,549 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| California (continued) | |
California Health Facilities Financing Authority, Refunding RB, Sutter Health, Series A, 5.00%, 11/15/32 | | $ | 1,700 | | | $ | 1,983,526 | |
California Municipal Finance Authority, ARB, LINX APM Project, AMT, 5.00%, 12/31/33 | | | 4,000 | | | | 4,521,720 | |
California Municipal Finance Authority, RB: | | | | | | | | |
Biola University, 4.00%, 10/01/33 | | | 2,500 | | | | 2,561,850 | |
Senior, S/F Housing, Caritas Affordable Housing, Inc. Project, Series A, 5.00%, 08/15/30 | | | 1,000 | | | | 1,095,340 | |
California Municipal Finance Authority, Refunding RB, Eisenhower Medical Center, Series A: | | | | | | | | |
5.00%, 07/01/30 | | | 1,200 | | | | 1,376,196 | |
5.00%, 07/01/31 | | | 1,050 | | | | 1,194,973 | |
California Statewide Communities Development Authority, RB: | | | | | | | | |
Eskaton Properties, Inc., 5.25%, 11/15/34 | | | 2,500 | | | | 2,649,900 | |
Loma Linda University Medical Center, 5.00%, 12/01/28(b) | | | 275 | | | | 307,335 | |
Loma Linda University Medical Center, 5.00%, 12/01/33(b) | | | 1,350 | | | | 1,468,395 | |
City of Long Beach California Harbor Revenue, RB, AMT, Series A: | | | | | | | | |
5.00%, 05/15/31 | | | 1,200 | | | | 1,403,520 | |
5.00%, 05/15/32 | | | 1,800 | | | | 2,095,128 | |
5.00%, 05/15/33 | | | 675 | | | | 782,426 | |
5.00%, 05/15/34 | | | 1,650 | | | | 1,902,070 | |
City of San Jose California, Refunding ARB, Norman Y Mineta San Jose International Airport SJC, Series A, AMT: | | | | | | | | |
5.00%, 03/01/30 | | | 500 | | | | 578,995 | |
5.00%, 03/01/31 | | | 1,500 | | | | 1,725,300 | |
5.00%, 03/01/32 | | | 1,000 | | | | 1,144,770 | |
5.00%, 03/01/33 | | | 975 | | | | 1,110,896 | |
5.00%, 03/01/34 | | | 1,250 | | | | 1,418,487 | |
5.00%, 03/01/35 | | | 2,000 | | | | 2,260,420 | |
County of San Diego Regional Airport Authority, ARB, AMT,Sub-Series B, 5.00%, 07/01/33 | | | 1,000 | | | | 1,142,050 | |
El Camino Community College District, GO, CAB, Election of 2002, Series C(a): | | | | | | | | |
0.00%, 08/01/30 | | | 9,090 | | | | 6,581,342 | |
0.00%, 08/01/31 | | | 12,465 | | | | 8,614,312 | |
0.00%, 08/01/32 | | | 17,435 | | | | 11,525,407 | |
Golden State Tobacco Securitization Corp., Refunding RB, SeriesA-1, 5.00%, 06/01/29 | | | 14,500 | | | | 16,405,010 | |
Los Angeles California Unified School District, GO, Election of 2008, Series A, 4.00%, 07/01/33 | | | 3,000 | | | | 3,179,040 | |
Los Angeles Regional Airports Improvement Corp., Refunding RB, LAXFuel Corp., Los Angeles International, AMT, 5.00%, 01/01/32 | | | 4,110 | | | | 4,321,953 | |
M-S-R Energy Authority, RB, Series C, 6.13%, 11/01/29 | | | 2,500 | | | | 3,076,975 | |
Monterey Peninsula Community College District, GO, Refunding, CAB(a): | | | | | | | | |
0.00%, 08/01/30 | | | 3,500 | | | | 2,502,570 | |
0.00%, 08/01/31 | | | 5,940 | | | | 4,053,991 | |
Oakland Unified School District/Alameda County, GO, Refunding, Series C, 5.00%, 08/01/30 | | | 1,300 | | | | 1,534,182 | |
Poway Unified School District, GO, Election of 2008, Series A(a): | | | | | | | | |
0.00%, 08/01/30 | | | 10,000 | | | | 7,102,100 | |
0.00%, 08/01/32 | | | 12,500 | | | | 8,027,000 | |
State of California, GO, Refunding, 5.00%, 08/01/30 | | | 10,000 | | | | 11,969,700 | |
Washington Township Health Care District, Refunding RB, Series B, 3.00%, 07/01/28 | | | 750 | | | | 734,895 | |
| | | | | | | | |
| | | | 133,266,424 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 19 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Colorado — 3.9% | |
Central Platte Valley Metropolitan District, GO, Series A: | | | | | | | | |
5.13%, 12/01/29 | | $ | 700 | | | $ | 778,295 | |
5.50%, 12/01/29 | | | 750 | | | | 846,548 | |
City & County of Denver Colarado, RB, CAB, SeriesA-2, 0.00%, 08/01/30(a) | | | 1,000 | | | | 671,040 | |
City & County of Denver Colarado Airport System Revenue, Refunding ARB, AMT, Series A, 5.00%, 12/01/33 | | | 25,000 | | | | 29,110,750 | |
City of Lakewood Colorado Plaza Metropolitan District No. 1, Refunding, Tax Allocation Bonds(b): | | | | | | | | |
4.00%, 12/01/23 | | | 1,000 | | | | 1,020,950 | |
4.10%, 12/01/24 | | | 5,080 | | | | 5,171,643 | |
4.20%, 12/01/25 | | | 5,280 | | | | 5,358,038 | |
4.50%, 12/01/30 | | | 4,305 | | | | 4,359,071 | |
Colorado Health Facilities Authority, Refunding RB: | | | | | | | | |
Covenant Retirement Communities, Series A, 4.50%, 12/01/33 | | | 4,595 | | | | 4,631,117 | |
Covenant Retirement Communities, Series A,
5.00%, 12/01/33 | | | 3,000 | | | | 3,191,220 | |
NCMC, Inc. Project, 4.00%, 05/15/30 | | | 2,860 | | | | 3,066,978 | |
Copperleaf Metropolitan District No. 2, GO, Refunding, 5.25%, 12/01/30 | | | 500 | | | | 521,355 | |
Park Creek Metropolitan District, Refunding, Tax Allocation Bonds, Senior Limited Property, Series A: | | | | | | | | |
5.00%, 12/01/27 | | | 1,500 | | | | 1,709,655 | |
5.00%, 12/01/28 | | | 1,500 | | | | 1,705,665 | |
5.00%, 12/01/30 | | | 1,350 | | | | 1,522,570 | |
5.00%, 12/01/31 | | | 1,500 | | | | 1,683,840 | |
Tallyns Reach Metropolitan District No. 3, GO, Refunding, 5.00%, 12/01/33 | | | 503 | | | | 524,398 | |
| | | | | | | | |
| | | | 65,873,133 | |
|
| Connecticut — 1.4% | |
Capital Region Development Authority, Refunding RB: | | | | | | | | |
5.00%, 06/15/30 | | | 1,095 | | | | 1,260,049 | |
5.00%, 06/15/31 | | | 1,125 | | | | 1,281,825 | |
State of Connecticut, GO: | | | | | | | | |
Series A, 5.00%, 04/15/33 | | | 7,000 | | | | 7,860,230 | |
Series D, 4.00%, 08/15/29 | | | 11,500 | | | | 12,111,225 | |
State of Connecticut Health & Educational Facilities Authority, RB, Sacred Heart University Issue, SeriesI-1: | | | | | | | | |
5.00%, 07/01/31 | | | 400 | | | | 459,052 | |
5.00%, 07/01/35 | | | 400 | | | | 448,316 | |
| | | | | | | | |
| | | | 23,420,697 | |
|
| Delaware — 0.4% | |
County of Kent Delaware, RB,CHF-Dover,LLC-Delaware State University Project, Series A: | | | | | | | | |
4.00%, 07/01/22 | | | 230 | | | | 239,287 | |
4.00%, 07/01/23 | | | 570 | | | | 595,998 | |
5.00%, 07/01/24 | | | 705 | | | | 775,260 | |
5.00%, 07/01/25 | | | 805 | | | | 894,242 | |
5.00%, 07/01/26 | | | 850 | | | | 951,371 | |
5.00%, 07/01/27 | | | 890 | | | | 1,000,974 | |
5.00%, 07/01/28 | | | 935 | | | | 1,049,884 | |
State of Delaware Health Facilities Authority, RB, Beebe Medical Center Project, 4.00%, 06/01/35 | | | 1,250 | | | | 1,235,175 | |
| | | | | | | | |
| | | | 6,742,191 | |
|
| District of Columbia — 0.1% | |
District of Columbia, Refunding RB, Kipp Charter School, Series A, 6.00%, 07/01/23(c) | | | 1,700 | | | | 2,000,458 | |
| | | | | | | | |
|
| Florida — 9.6% | |
Central Florida Expressway Authority, Refunding RB, Senior Lien: | | | | | | | | |
5.00%, 07/01/32 | | | 1,610 | | | | 1,896,773 | |
5.00%, 07/01/33 | | | 2,750 | | | | 3,222,478 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Florida (continued) | |
City of Jacksonville Florida, RB, 5.00%, 10/01/35 | | $ | 1,200 | | | $ | 1,369,620 | |
City of Lakeland Florida, Refunding RB, Lakeland Regional Health System, 5.00%, 11/15/30 | | | 3,750 | | | | 4,269,637 | |
City of Tampa Florida, Refunding RB, H. Lee Moffitt Cancer Center Project, Series A, 4.00%, 09/01/33 | | | 10,000 | | | | 10,336,400 | |
County of Alachua Florida Health Facilities Authority, RB, East Ridge Retirement Village, Inc. Project, 6.00%, 11/15/29 | | | 5,000 | | | | 4,719,050 | |
County of Broward Florida, RB, Fort Lauderdale Fuel Facilities, Series A, AMT (AGM): | | | | | | | | |
5.00%, 04/01/30 | | | 600 | | | | 650,472 | |
5.00%, 04/01/33 | | | 740 | | | | 799,230 | |
County of Martin Florida IDA, Refunding RB, Indiantown Cogeneration, L.P. Project, AMT, 4.20%, 12/15/25(b) | | | 5,250 | | | | 5,315,152 | |
County of Miami-Dade Florida, Refunding RB, Series B, 4.00%, 04/01/32 | | | 6,690 | | | | 7,069,256 | |
County of Miami-Dade Florida School Board, COP, Refunding, Series A, 5.00%, 05/01/32 | | | 9,000 | | | | 10,169,640 | |
County of Orange Convention Center, Refunding RB, 4.00%, 10/01/32 | | | 9,485 | | | | 10,055,997 | |
County of Orange Florida Tourist Development Tax Revenue, Refunding RB: | | | | | | | | |
5.00%, 10/01/30 | | | 11,470 | | | | 14,170,841 | |
4.00%, 10/01/31 | | | 7,000 | | | | 7,450,870 | |
County of Palm Beach Florida Health Facilities Authority, Refunding RB, Acts Retirement-Life Communities, Inc. Obligated Group, 5.00%, 11/15/32 | | | 30,305 | | | | 33,139,730 | |
County of Palm Beach Health Facilities Authority, RB, Lifespace Communities, Inc.: | | | | | | | | |
5.00%, 05/15/31 | | | 410 | | | | 441,902 | |
5.00%, 05/15/33 | | | 1,000 | | | | 1,064,730 | |
County of St. Johns Florida Water & Sewer Revenue, Refunding RB, CAB, Series B(a): | | | | | | | | |
0.00%, 06/01/30 | | | 2,000 | | | | 1,424,320 | |
0.00%, 06/01/31 | | | 1,295 | | | | 877,790 | |
0.00%, 06/01/32 | | | 2,495 | | | | 1,621,575 | |
Double Branch Community Development District, Refunding, Special Assessment Bonds, Senior Lien, SeriesA-1, 4.13%, 05/01/31 | | | 1,200 | | | | 1,238,832 | |
Greater Orlando Aviation Authority, Refunding RB, Jet Blue Airways Corp. Project, AMT, 5.00%, 11/15/26 | | | 2,000 | | | | 2,137,060 | |
Jacksonville Florida Port Authority, Refunding ARB, AMT, 4.50%, 11/01/33 | | | 630 | | | | 652,781 | |
Jacksonville Florida Port Authority, Refunding RB, AMT: | | | | | | | | |
4.50%, 11/01/30 | | | 2,895 | | | | 3,028,691 | |
4.50%, 11/01/31 | | | 3,620 | | | | 3,766,393 | |
4.50%, 11/01/32 | | | 2,300 | | | | 2,388,895 | |
Miami Beach Health Facilities Authority, Refunding RB, Mont Sinai Medical Center, 5.00%, 11/15/30 | | | 1,000 | | | | 1,093,160 | |
Reedy Creek Improvement District, GO, Series A, 5.25%, 06/01/30 | | | 3,825 | | | | 4,322,250 | |
Village Community Development District No. 10, Special Assessment Bonds, Sumter County: | | | | | | | | |
4.50%, 05/01/23 | | | 2,000 | | | | 2,095,720 | |
5.00%, 05/01/32 | | | 5,475 | | | | 5,849,380 | |
Village Community Development District No. 5, Refunding, Special Assessment Bonds, Sumter County: | | | | | | | | |
Phase I, 3.50%, 05/01/28 | | | 1,925 | | | | 1,953,779 | |
Phase I, 3.50%, 05/01/28 | | | 3,645 | | | | 3,699,493 | |
Phase II, 4.00%, 05/01/33 | | | 1,115 | | | | 1,131,469 | |
Phase II, 4.00%, 05/01/34 | | | 2,335 | | | | 2,364,911 | |
Village Community Development District No. 6, Refunding, Special Assessment Bonds, Sumter County, 4.00%, 05/01/29 | | | 5,830 | | | | 6,010,438 | |
| | | | | | | | |
| | | | 161,798,715 | |
| | |
| 20 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Idaho — 0.0% | |
Idaho Housing & Finance Association, RB, Compass Charter School Project, Series A, 4.63%, 07/01/29(b) | | $ | 185 | | | $ | 184,162 | |
| | | | | | | | |
|
| Illinois — 13.7% | |
Chicago Board of Education, GO, Refunding: | | | | | | | | |
Dedicated Revenues, Series C, 5.00%, 12/01/30 | | | 7,025 | | | | 7,382,573 | |
Dedicated Revenues, Series F, 5.00%, 12/01/22 | | | 4,760 | | | | 4,961,300 | |
Series C, 5.00%, 12/01/22 | | | 14,830 | | | | 15,457,161 | |
Chicago Housing Authority, RB, M/F Housing, Series A: | | | | | | | | |
5.00%, 01/01/33 | | | 3,000 | | | | 3,428,100 | |
5.00%, 01/01/35 | | | 1,500 | | | | 1,697,865 | |
Chicago Midway International Airport, Refunding ARB, 2nd Lien, Series A, AMT, 5.00%, 01/01/33 | | | 5,000 | | | | 5,419,850 | |
Chicago Transit Authority, Refunding RB: | | | | | | | | |
Section 5307, Urbanized Area Formula Funds, 5.00%, 06/01/26 | | | 2,000 | | | | 2,300,320 | |
Section 5337, State of Good Repair Formula Funds, 5.00%, 06/01/26 | | | 1,000 | | | | 1,149,750 | |
City of Chicago Illinois, RB, Wastewater Transmission, 2nd Lien: | | | | | | | | |
4.00%, 01/01/31 | | | 10,375 | | | | 10,502,612 | |
4.00%, 01/01/32 | | | 10,790 | | | | 10,901,892 | |
4.00%, 01/01/33 | | | 11,220 | | | | 11,311,667 | |
4.00%, 01/01/35 | | | 9,135 | | | | 9,184,603 | |
City of Chicago Illinois, Refunding ARB, O’Hare International Airport Passenger Facility Charge,
Series B, AMT, 4.00%, 01/01/27 | | | 5,000 | | | | 5,121,300 | |
City of Chicago Illinois Motor Fuel Tax Revenue, Refunding RB, (AGM), 5.00%, 01/01/30 | | | 730 | | | | 789,714 | |
City of Chicago O’Hare International Airport, Refunding GARB, Senior Lien, Series B, 5.00%, 01/01/33 | | | 6,000 | | | | 6,793,980 | |
City of St. Charles Illinois, GO, Refunding, Corporate Purpose: | | | | | | | | |
4.00%, 12/01/30 | | | 1,620 | | | | 1,710,493 | |
4.00%, 12/01/31 | | | 1,715 | | | | 1,804,386 | |
Counties of Kane McHenry Cook & De Kalb Unit School District No. 300, GO, Refunding, Series A, 5.00%, 01/01/30 | | | 6,350 | | | | 7,257,225 | |
County of Cook Illinois, GO, Refunding, Series C, 4.00%, 11/15/29 | | | 19,750 | | | | 20,335,982 | |
Illinois Finance Authority, Refunding RB: | | | | | | | | |
DePaul University, Series A, 5.00%, 10/01/30 | | | 1,000 | | | | 1,153,640 | |
DePaul University, Series A, 4.00%, 10/01/31 | | | 1,000 | | | | 1,055,310 | |
DePaul University, Series A, 4.00%, 10/01/32 | | | 1,000 | | | | 1,050,450 | |
Lutheran Home & Services Obligated Group, 5.00%, 05/15/22 | | | 3,185 | | | | 3,267,619 | |
Lutheran Home & Services Obligated Group, 5.50%, 05/15/27 | | | 3,350 | | | | 3,488,188 | |
Presence Health Network, Series C, 5.00%, 02/15/30 | | | 12,000 | | | | 13,999,440 | |
Rush University Medical Center, Series A, 5.00%, 11/15/31 | | | 8,415 | | | | 9,381,715 | |
Rush University Medical Center, Series A, 5.00%, 11/15/32 | | | 2,075 | | | | 2,303,333 | |
Rush University Medical Center, Series A, 5.00%, 11/15/33 | | | 2,125 | | | | 2,349,889 | |
The Peoples Gas Light & Coke Company Project, 4.00%, 02/01/33 | | | 11,000 | | | | 11,326,700 | |
The University of Chicago Medical Centre, Series B, 5.00%, 08/15/30 | | | 3,205 | | | | 3,718,922 | |
Illinois State Toll Highway Authority, Refunding RB, Senior, Series A, 4.00%, 12/01/31 | | | 20,000 | | | | 21,048,600 | |
Metropolitan Pier & Exposition Authority, Refunding RB, McCormick Place Expansion Project: | | | | | | | | |
5.00%, 12/15/28 | | | 1,200 | | | | 1,304,628 | |
5.00%, 12/15/30 | | | 1,385 | | | | 1,491,728 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Illinois (continued) | |
State of Illinois, GO, Refunding, Series B, 5.00%, 10/01/30 | | $ | 7,000 | | | $ | 7,515,270 | |
Winnebago & Boone Counties School District No. 205 Rockford, GO: | | | | | | | | |
4.00%, 02/01/29 | | | 9,080 | | | | 9,478,340 | |
4.00%, 02/01/30 | | | 9,835 | | | | 10,127,591 | |
| | | | | | | | |
| | | | 231,572,136 | |
|
| Indiana — 3.6% | |
City of Indianapolis Department of Public Utilities Water System Revenue, Refunding RB, First Lien, Series A, 5.00%, 10/01/35 | | | 10,000 | | | | 11,749,600 | |
City of Valparaiso Indiana, RB, Exempt Facilities, Pratt Paper LLC Project, AMT, 5.88%, 01/01/24 | | | 1,525 | | | | 1,669,402 | |
City of Whiting Indiana, RB, BP Products North America, Inc. Project, AMT, 5.00%, 03/01/46(d) | | | 8,500 | | | | 9,252,845 | |
Indiana Finance Authority, Refunding RB: | | | | | | | | |
Community Health Network Project, Series A, 4.00%, 05/01/35 | | | 22,565 | | | | 23,103,626 | |
Earlham College Project, 5.00%, 10/01/32 | | | 11,255 | | | | 11,408,181 | |
Northern Indiana Commuter Transportation District, RB: | | | | | | | | |
5.00%, 07/01/32 | | | 1,000 | | | | 1,136,210 | |
5.00%, 07/01/33 | | | 1,400 | | | | 1,583,736 | |
| | | | | | | | |
| | | | 59,903,600 | |
|
| Iowa — 0.8% | |
Iowa Finance Authority, Refunding RB, Midwestern Disaster Area, Iowa Fertilizer Co. Project: | | | | | | | | |
5.50%, 12/01/22 | | | 60 | | | | 60,058 | |
5.25%, 12/01/25 | | | 13,345 | | | | 14,141,696 | |
| | | | | | | | |
| | | | 14,201,754 | |
|
| Kansas — 0.1% | |
Wyandotte County-Kansas City Unified Government Utility System Revenue, RB, Series A, 5.00%, 09/01/33 | | | 1,370 | | | | 1,562,184 | |
| | | | | | | | |
|
| Kentucky — 0.6% | |
Countyof Louisville/Jefferson Metropolitan Government, Refunding RB, Norton Healthcare, Inc., Series A, 5.00%, 10/01/32 | | | 7,300 | | | | 8,170,160 | |
Kentucky Public Transportation Infrastructure Authority, RB, CAB, 1st Tier-DownTown Crossing Project: | | | | | | | | |
Series B, 0.00%, 07/01/30(a) | | | 1,230 | | | | 725,282 | |
Convertible Series C, 0.00%, 07/01/33(e) | | | 1,500 | | | | 1,479,150 | |
| | | | | | | | |
| | | | 10,374,592 | |
|
| Louisiana — 3.0% | |
City of Ruston Louisiana, RB, (AGM): | | | | | | | | |
5.00%, 06/01/29 | | | 1,060 | | | | 1,219,488 | |
5.00%, 06/01/30 | | | 1,000 | | | | 1,145,460 | |
5.00%, 06/01/31 | | | 1,020 | | | | 1,160,403 | |
5.00%, 06/01/32 | | | 1,225 | | | | 1,387,570 | |
Louisiana Public Facilities Authority, Refunding RB: | | | | | | | | |
5.00%, 05/15/29 | | | 1,235 | | | | 1,406,677 | |
5.00%, 05/15/30 | | | 990 | | | | 1,119,284 | |
3.00%, 05/15/31 | | | 2,225 | | | | 2,202,350 | |
5.00%, 05/15/32 | | | 1,485 | | | | 1,658,329 | |
5.00%, 05/15/33 | | | 2,175 | | | | 2,416,925 | |
Entergy Louisiana, Series B, 3.50%, 06/01/30 | | | 5,990 | | | | 5,956,516 | |
Louisiana Stadium & Exposition District, Refunding RB, Senior, Series A, 5.00%, 07/01/30 | | | 3,000 | | | | 3,339,000 | |
Port New Orleans Board of Commissioners, Refunding RB, Series B, AMT: | | | | | | | | |
5.00%, 04/01/31 | | | 300 | | | | 323,646 | |
5.00%, 04/01/32 | | | 1,000 | | | | 1,074,770 | |
5.00%, 04/01/33 | | | 1,575 | | | | 1,686,400 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 21 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Louisiana (continued) | |
State of Louisiana, GO, Series A, 4.00%, 05/15/30 | | $ | 6,540 | | | $ | 6,884,004 | |
Terrebonne Levee & Conservation District, RB, Sales Tax, 5.00%, 07/01/29 | | | 1,925 | | | | 2,142,525 | |
Tobacco Settlement Financing Corp., Refunding RB, Asset-Backed, Series A: | | | | | | | | |
5.25%, 05/15/31 | | | 3,425 | | | | 3,596,592 | |
5.25%, 05/15/32 | | | 4,375 | | | | 4,654,781 | |
5.25%, 05/15/33 | | | 4,750 | | | | 5,021,890 | |
5.25%, 05/15/35 | | | 1,500 | | | | 1,592,400 | |
| | | | | | | | |
| | | | 49,989,010 | |
|
| Maryland — 1.8% | |
City of Baltimore Maryland, Refunding RB, Convention Center Hotel, 5.00%, 09/01/31 | | | 1,250 | | | | 1,405,263 | |
County of Anne Arundel Maryland Consolidated, Special Taxing District, Special Tax Bonds, Villages At Two Rivers Project: | | | | | | | | |
4.20%, 07/01/24 | | | 700 | | | | 693,301 | |
4.90%, 07/01/30 | | | 1,315 | | | | 1,315,565 | |
County of Howard Maryland Housing Commission, RB, M/F Housing, Woodfield Oxford Square Apartments, 5.00%, 12/01/33 | | | 1,765 | | | | 2,004,599 | |
County of Prince George’s Maryland, Tax Allocation Bonds, Westphalia Town Center Project, 5.00%, 07/01/30(b) | | | 585 | | | | 614,753 | |
Maryland EDC, RB, Purple Line Light Rail Project,
Series D, AMT, 5.00%, 03/31/30 | | | 1,325 | | | | 1,488,584 | |
Maryland EDC, Refunding RB, CNX Marine Terminals, Inc., 5.75%, 09/01/25 | | | 3,225 | | | | 3,319,654 | |
Maryland Health & Higher Educational Facilities Authority, Refunding RB: | | | | | | | | |
Charlestown Community, Series A, 5.00%, 01/01/31 | | | 2,865 | | | | 3,245,071 | |
Charlestown Community, Series A, 5.00%, 01/01/32 | | | 3,010 | | | | 3,396,514 | |
Charlestown Community, Series A, 5.00%, 01/01/33 | | | 3,165 | | | | 3,546,889 | |
LifeBridge Health Issue, 5.00%, 07/01/31 | | | 1,000 | | | | 1,156,480 | |
LifeBridge Health Issue, 5.00%, 07/01/32 | | | 500 | | | | 575,020 | |
Lifebridge Health Issue, 5.00%, 07/01/33 | | | 385 | | | | 436,894 | |
LifeBridge Health Issue, 5.00%, 07/01/33 | | | 1,000 | | | | 1,142,840 | |
LifeBridge Health Issue, 5.00%, 07/01/34 | | | 775 | | | | 880,780 | |
Meritus Medical Center, 5.00%, 07/01/29 | | | 2,200 | | | | 2,469,720 | |
Meritus Medical Center, 5.00%, 07/01/31 | | | 1,400 | | | | 1,551,774 | |
Meritus Medical Center, 5.00%, 07/01/33 | | | 1,200 | | | | 1,320,576 | |
| | | | | | | | |
| | | | 30,564,277 | |
|
| Massachusetts — 2.3% | |
Commonwealth of Massachusetts, Refunding, GOL, Series A (AMBAC), 5.50%, 08/01/30 | | | 2,500 | | | | 3,212,300 | |
Commonwealth of Massachusetts, GOL, Series I, 5.00%, 12/01/33 | | | 5,000 | | | | 5,817,600 | |
Massachusetts Bay Transportation Authority, Refunding RB, CAB, Series A, 0.00%, 07/01/32(a) | | | 5,500 | �� | | | 3,511,475 | |
Massachusetts Development Finance Agency, RB: | | | | | | | | |
Emmanuel College Issue, Series A, 5.00%, 01/01/33 | | | 1,070 | | | | 1,186,245 | |
UMass Darthmouth Student Housing Project, 5.00%, 10/01/29 | | | 2,365 | | | | 2,674,200 | |
UMass Darthmouth Student Housing Project, 5.00%, 10/01/30 | | | 2,485 | | | | 2,783,821 | |
Massachusetts Development Finance Agency, Refunding RB, Series A: | | | | | | | | |
Emmanuel College Issue, 5.00%, 10/01/31 | | | 3,635 | | | | 4,006,061 | |
Emmanuel College Issue, 5.00%, 10/01/33 | | | 1,285 | | | | 1,405,315 | |
5.00%, 01/01/32 | | | 2,020 | | | | 2,276,479 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Massachusetts (continued) | |
5.00%, 01/01/33 | | $ | 1,500 | | | $ | 1,680,630 | |
5.00%, 01/01/34 | | | 2,085 | | | | 2,324,212 | |
5.00%, 01/01/35 | | | 2,000 | | | | 2,219,760 | |
Massachusetts Educational Financing Authority, Refunding RB, Series K, AMT, 5.25%, 07/01/29 | | | 5,405 | | | | 5,765,351 | |
| | | | | | | | |
| | | | 38,863,449 | |
|
| Michigan — 1.5% | |
City of Detroit Michigan, GO: | | | | | | | | |
5.00%, 04/01/26 | | | 735 | | | | 797,945 | |
5.00%, 04/01/27 | | | 580 | | | | 629,671 | |
5.00%, 04/01/28 | | | 665 | | | | 720,847 | |
5.00%, 04/01/29 | | | 665 | | | | 717,129 | |
5.00%, 04/01/30 | | | 510 | | | | 547,949 | |
5.00%, 04/01/31 | | | 735 | | | | 783,312 | |
5.00%, 04/01/32 | | | 625 | | | | 662,656 | |
5.00%, 04/01/33 | | | 830 | | | | 877,418 | |
Michigan Finance Authority, Refunding RB: | | | | | | | | |
MidMichigan Health, 5.00%, 06/01/33 | | | 2,750 | | | | 3,054,453 | |
Oakwood Obligation Group, 5.00%, 08/15/30 | | | 2,105 | | | | 2,327,183 | |
Michigan State Hospital Finance Authority, Refunding RB, Trinity Health Credit Group, Series C, 4.00%, 12/01/32 | | | 8,195 | | | | 8,446,996 | |
Michigan Strategic Fund, RB,I-75 Improvement Projects, AMT, 5.00%, 12/31/32 | | | 2,000 | | | | 2,260,020 | |
Saginaw Valley State University, Refunding RB, Series A: | | | | | | | | |
5.00%, 07/01/31 | | | 2,070 | | | | 2,353,445 | |
5.00%, 07/01/32 | | | 1,430 | | | | 1,619,704 | |
| | | | | | | | |
| | | | 25,798,728 | |
|
| Minnesota — 0.3% | |
Sartell-St Stephen Independent School District No. 748, GO, Series B(a): | | | | | | | | |
0.00%, 02/01/30 | | | 3,915 | | | | 2,782,743 | |
0.00%, 02/01/31 | | | 2,190 | | | | 1,480,812 | |
0.00%, 02/01/32 | | | 1,450 | | | | 939,310 | |
| | | | | | | | |
| | | | 5,202,865 | |
|
| Mississippi — 1.7% | |
Mississippi Development Bank, Refunding RB, Municipal Energy Agency of Mississippi, Series A (AGM): | | | | | | | | |
5.00%, 03/01/30 | | | 2,280 | | | | 2,599,861 | |
5.00%, 03/01/31 | | | 1,595 | | | | 1,806,736 | |
5.00%, 03/01/32 | | | 2,000 | | | | 2,257,320 | |
5.00%, 03/01/33 | | | 1,275 | | | | 1,431,251 | |
State of Mississippi, RB: | | | | | | | | |
Series A, 5.00%, 10/15/35 | | | 5,000 | | | | 5,740,500 | |
Series E, 5.00%, 10/15/33 | | | 12,225 | | | | 13,729,531 | |
| | | | | | | | |
| | | | 27,565,199 | |
|
| Missouri — 0.7% | |
City of St. Louis Missouri IDA, Refunding RB, Ballpark Village Development Project, Series A, 3.88%, 11/15/29 | | | 1,035 | | | | 1,056,942 | |
Missouri State Health & Educational Facilities Authority, Refunding RB: | | | | | | | | |
CoxHealth, Series A, 4.00%, 11/15/33 | | | 2,010 | | | | 2,086,099 | |
St. Louis College of Pharmacy, 5.00%, 05/01/30 | | | 3,000 | | | | 3,189,180 | |
The Children’s Mercy Hospital, 5.00%, 05/15/31 | | | 1,175 | | | | 1,327,621 | |
The Children’s Mercy Hospital, 4.00%, 05/15/32 | | | 1,680 | | | | 1,759,934 | |
The Children’s Mercy Hospital, 4.00%, 05/15/33 | | | 2,000 | | | | 2,085,920 | |
| | | | | | | | |
| | | | 11,505,696 | |
| | |
| 22 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Nebraska — 1.1% | |
Central Plains Nebraska Energy Project, RB: | | | | | | | | |
Energy Project No. 3, 5.00%, 09/01/27 | | $ | 5,000 | | | $ | 5,366,350 | |
Gas Project No. 3, 5.00%, 09/01/32 | | | 4,500 | | | | 4,829,715 | |
Public Power Generation Agency, Refunding RB, Whelan Energy Center Unit 2, Series A, 5.00%, 01/01/32 | | | 7,630 | | | | 8,625,944 | |
| | | | | | | | |
| | | | 18,822,009 | |
|
| Nevada — 0.0% | |
Nevada Department of Business & Industry, RB, Series A, 5.00%, 07/15/27(b) | | | 335 | | | | 350,186 | |
| | | | | | | | |
|
| New Hampshire — 0.4% | |
New Hampshire Business Finance Authority, Refunding RB, Resource Recovery, Covanta Project, Series A, AMT, 4.00%, 11/01/27(b) | | | 2,205 | | | | 2,171,308 | |
New Hampshire State Turnpike System, RB, Series C, 4.00%, 08/01/33 | | | 4,350 | | | | 4,497,552 | |
| | | | | | | | |
| | | | 6,668,860 | |
|
| New Jersey — 16.6% | |
Casino Reinvestment Development Authority, Refunding RB: | | | | | | | | |
5.00%, 11/01/21 | | | 2,465 | | | | 2,618,471 | |
5.00%, 11/01/22 | | | 1,890 | | | | 2,029,690 | |
County of Gloucester New Jersey Pollution Control Financing Authority, Refunding RB, Keystone Urban Renewal Project, Series A, AMT, 5.00%, 12/01/24 | | | 1,500 | | | | 1,587,555 | |
New Jersey EDA, RB: | | | | | | | | |
Continental Airlines, Inc. Project, AMT, 5.25%, 09/15/29 | | | 12,230 | | | | 13,267,226 | |
Continental Airlines, Inc. Project, Series A, AMT, 5.63%, 11/15/30 | | | 1,740 | | | | 1,960,963 | |
Continental Airlines, Inc. Project, Series B, AMT, 5.63%, 11/15/30 | | | 1,315 | | | | 1,482,663 | |
Foundation Academy Charter School Project, Series A, 4.00%, 07/01/29 | | | 350 | | | | 348,516 | |
Private Activity Bond, The Goethals Bridge Replacement Project, AMT, 5.00%, 01/01/28 | | | 4,705 | | | | 5,131,367 | |
Series DDD, 5.00%, 06/15/35 | | | 2,000 | | | | 2,137,960 | |
State Government Buildings Project, Series A, 5.00%, 06/15/32 | | | 4,500 | | | | 4,881,780 | |
State Government Buildings Project, Series C, 5.00%, 06/15/32 | | | 3,600 | | | | 3,905,424 | |
New Jersey EDA, Refunding RB: | | | | | | | | |
Cigarette Tax, 5.00%, 06/15/26 | | | 10,610 | | | | 11,354,079 | |
Cigarette Tax, 4.25%, 06/15/27 | | | 16,500 | | | | 17,197,785 | |
Continental Airlines, Inc. Project, AMT, 5.75%, 09/15/27 | | | 6,200 | | | | 6,819,814 | |
Provident Group — Montclaire Properties LLC (AGM), 5.00%, 06/01/30 | | | 1,500 | | | | 1,713,555 | |
Provident Group — Montclaire Properties LLC (AGM), 5.00%, 06/01/31 | | | 1,750 | | | | 1,979,915 | |
Provident Group — Montclaire Properties LLC (AGM), 4.00%, 06/01/32 | | | 2,125 | | | | 2,219,839 | |
Provident Group-Monteclair Properites LLC (AGM), 5.00%, 06/01/28 | | | 1,000 | | | | 1,156,700 | |
Series BBB, 5.50%, 06/15/29 | | | 10,000 | | | | 11,452,800 | |
Sub-Series A, 4.00%, 07/01/32 | | | 9,855 | | | | 9,834,403 | |
New Jersey EDA, Refunding, Special Assessment Bonds, Kapkowski Road Landfill Project, 5.75%, 04/01/31 | | | 5,000 | | | | 5,455,000 | |
New Jersey EDA, RB, Reunding Cranes Mill Project, 5.00%, 01/01/29 | | | 2,280 | | | | 2,531,552 | |
New Jersey Health Care Facilities Financing Authority, Refunding RB: | | | | | | | | |
Princeton HealthCare System, 5.00%, 07/01/29 | | | 2,900 | | | | 3,385,344 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| New Jersey (continued) | |
Princeton HealthCare System, 5.00%, 07/01/30 | | $ | 2,400 | | | $ | 2,777,064 | |
RWJ Barnabas Health Obligated Group, Series A, 5.00%, 07/01/30 | | | 11,245 | | | | 13,110,321 | |
St. Joseph Health System, 5.00%, 07/01/28 | | | 1,500 | | | | 1,684,155 | |
St. Joseph Health System, 5.00%, 07/01/29 | | | 1,250 | | | | 1,398,200 | |
St. Joseph Health System Obligated Group Issue, 5.00%, 07/01/30 | | | 1,100 | | | | 1,221,979 | |
New Jersey Higher Education Student Assistance Authority, RB, Senior Student Loan, AMT: | | | | | | | | |
Series 1A, 5.00%, 12/01/23 | | | 3,475 | | | | 3,865,764 | |
Series 1A, 5.00%, 12/01/24 | | | 6,000 | | | | 6,780,420 | |
Series 1A, 5.00%, 12/01/25 | | | 5,500 | | | | 6,301,900 | |
Series 1A, 5.00%, 12/01/26 | | | 2,250 | | | | 2,559,982 | |
Series A, 4.00%, 12/01/32 | | | 2,500 | | | | 2,588,550 | |
Series A, 4.00%, 12/01/33 | | | 2,000 | | | | 2,066,020 | |
Series A, 4.00%, 12/01/34 | | | 1,000 | | | | 1,028,210 | |
Series A, 4.00%, 12/01/35 | | | 1,000 | | | | 1,023,440 | |
New Jersey Housing & Mortgage Finance Agency, Refunding RB, S/F Housing, Series BB, AMT, 3.80%, 10/01/32 | | | 13,230 | | | | 13,365,872 | |
New Jersey Transportation Trust Fund Authority, RB: | | | | | | | | |
Transportation Program, Series AA, 5.25%, 06/15/27 | | | 4,225 | | | | 4,740,619 | |
Transportation Program, Series AA, 5.25%, 06/15/28 | | | 4,500 | | | | 5,032,665 | |
Transportation System, Series AA, 4.00%, 06/15/30 | | | 10,815 | | | | 10,936,885 | |
Transportation System, Series C, 5.25%, 06/15/32 | | | 10,000 | | | | 10,831,800 | |
Transportation System, Series D, 5.00%, 06/15/32 | | | 5,000 | | | | 5,350,500 | |
New Jersey Transportation Trust Fund Authority, Refunding RB, Series A: | | | | | | | | |
Federal Highway Reimbursement Revenue Notes, 5.00%, 06/15/30 | | | 6,600 | | | | 7,341,642 | |
5.00%, 12/15/30 | | | 20,000 | | | | 22,236,400 | |
Newark Housing Authority, Refunding RB, Newark Redevelopment Project (NPFGC), 5.25%, 01/01/27 | | | 5,000 | | | | 5,855,750 | |
South Jersey Transportation Authority, Refunding RB, Transportation System, Series A: | | | | | | | | |
5.00%, 11/01/33 | | | 500 | | | | 538,680 | |
5.00%, 11/01/34 | | | 500 | | | | 536,795 | |
Tobacco Settlement Financing Corp., Refunding RB, Series A: | | | | | | | | |
5.00%, 06/01/30 | | | 16,740 | | | | 19,152,067 | |
5.00%, 06/01/32 | | | 8,270 | | | | 9,291,345 | |
Township of Irvington New Jersey, GO, Refunding, Series A (AGM): | | | | | | | | |
5.00%, 07/15/30 | | | 2,000 | | | | 2,248,780 | |
5.00%, 07/15/31 | | | 1,450 | | | | 1,628,016 | |
| | | | | | | | |
| | | | 279,946,222 | |
|
| New Mexico — 1.0% | |
New Mexico Educational Assistance Foundation, RB, Education Loan, AMT: | | | | | | | | |
SeriesA-1, 3.75%, 09/01/31 | | | 6,250 | | | | 6,407,687 | |
SeriesA-2, 3.80%, 11/01/32 | | | 5,850 | | | | 5,980,748 | |
SeriesA-2, 3.80%, 09/01/33 | | | 5,000 | | | | 5,100,400 | |
| | | | | | | | |
| | | | 17,488,835 | |
|
| New York — 4.5% | |
Build NYC Resource Corp., Refunding RB, Pratt Paper, Inc. Project, AMT, 4.50%, 01/01/25(b) | | | 900 | | | | 966,015 | |
County of Nassau New York, GOL, Series A (AGM): | | | | | | | | |
5.00%, 04/01/34 | | | 4,165 | | | | 4,816,739 | |
5.00%, 04/01/35 | | | 4,385 | | | | 5,052,222 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 23 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| New York (continued) | |
Metropolitan Transportation Authority, Refunding RB: | | | | | | | | |
Green Bond, SeriesC-1, 5.00%, 11/15/34 | | $ | 10,000 | | | $ | 11,383,300 | |
CAB, Series A, 0.00%, 11/15/30(a) | | | 23,000 | | | | 15,768,570 | |
Green Bond, CAB, SeriesC-2, 0.00%, 11/15/32(a) | | | 19,315 | | | | 11,925,467 | |
New York City Housing Development Corp., RB, M/F Housing, SeriesC-4, 1.48%, 05/01/57(d) | | | 3,900 | | | | 3,900,000 | |
New York City Transitional Finance Authority Future Tax Secured Revenue, RB,Sub-SeriesB-1, 5.00%, 08/01/30 | | | 5,150 | | | | 6,125,204 | |
New York Transportation Development Corp., RB, LaGuardia Airport Terminal B Redevelopment Project, Series A, AMT: | | | | | | | | |
4.00%, 07/01/32 | | | 5,500 | | | | 5,631,560 | |
4.00%, 07/01/33 | | | 6,000 | | | | 6,122,760 | |
New York Transportation Development Corp., Refunding ARB, American Airlines, Inc., AMT, 5.00%, 08/01/31 | | | 3,465 | | | | 3,591,334 | |
| | | | | | | | |
| | | | 75,283,171 | |
|
| North Carolina — 0.3% | |
North Carolina Medical Care Commission, Refunding RB, Mission Health Combined Group: | | | | | | | | |
5.00%, 10/01/32 | | | 3,700 | | | | 3,711,433 | |
4.00%, 10/01/33 | | | 1,500 | | | | 1,504,845 | |
| | | | | | | | |
| | | | 5,216,278 | |
|
| Ohio — 1.1% | |
County of Butler Ohio, Refunding RB, UC Health: | | | | | | | | |
5.00%, 11/15/30 | | | 1,225 | | | | 1,420,008 | |
5.00%, 11/15/31 | | | 2,500 | | | | 2,877,100 | |
5.00%, 11/15/32 | | | 2,200 | | | | 2,520,892 | |
County of Franklin Ohio, RB, Health Care Facilities Improvement, OPRS Communities, Series A: | | | | | | | | |
5.25%, 07/01/28 | | | 500 | | | | 503,265 | |
5.63%, 07/01/32 | | | 1,000 | | | | 1,007,630 | |
County of Hamilton Ohio Sales Tax Revenue, Refunding RB, Series A, 5.00%, 12/01/30 | | | 4,500 | | | | 5,251,635 | |
Ohio Air Quality Development Authority, Refunding RB, AMT, 3.95%, 11/01/32(d)(f)(g) | | | 1,500 | | | | 1,192,500 | |
State of Ohio, RB, Portsmouth Bypass Project, AMT (AGM): | | | | | | | | |
5.00%, 12/31/29 | | | 1,625 | | | | 1,832,252 | |
5.00%, 12/31/30 | | | 2,400 | | | | 2,695,608 | |
| | | | | | | | |
| | | | 19,300,890 | |
|
| Oklahoma — 0.8% | |
Norman Regional Hospital Authority, Refunding RB: | | | | | | | | |
5.00%, 09/01/27 | | | 2,100 | | | | 2,428,839 | |
5.00%, 09/01/28 | | | 2,000 | | | | 2,301,360 | |
5.00%, 09/01/29 | | | 2,150 | | | | 2,461,320 | |
5.00%, 09/01/30 | | | 5,130 | | | | 5,839,120 | |
| | | | | | | | |
| | | | 13,030,639 | |
|
| Oregon — 0.5% | |
Oregon Health & Science University, Refunding RB, Series B, 5.00%, 07/01/35 | | | 7,390 | | | | 8,438,863 | |
| | | | | | | | |
|
| Pennsylvania — 20.6% | |
Allentown Neighborhood Improvement Zone Development Authority, RB, City Center Project(b): | | | | | | | | |
5.00%, 05/01/23 | | | 640 | | | | 675,949 | |
5.00%, 05/01/28 | | | 835 | | | | 911,478 | |
Allentown Neighborhood Improvement Zone Development Authority, Refunding RB, Series A: | | | | | | | | |
5.00%, 05/01/27 | | | 6,750 | | | | 7,112,475 | |
5.00%, 05/01/28 | | | 5,000 | | | | 5,254,300 | |
5.00%, 05/01/29 | | | 3,745 | | | | 3,922,550 | |
5.00%, 05/01/30 | | | 5,300 | | | | 5,533,094 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Pennsylvania (continued) | |
Chester County Health & Education Facilities Authority, Refunding RB, Series A: | | | | | | | | |
Main Line Health System, 5.00%, 10/01/31 | | $ | 1,350 | | | $ | 1,579,163 | |
Main Line Health System, 5.00%, 10/01/32 | | | 1,450 | | | | 1,688,859 | |
Main Line Health System, 5.00%, 10/01/33 | | | 2,300 | | | | 2,669,311 | |
Simpson Senior Services Project, 5.00%, 12/01/30 | | | 2,180 | | | | 2,216,384 | |
City of Philadelphia Pennsylvania, GO, Refunding: | | | | | | | | |
(AGM), 4.00%, 08/01/32 | | | 6,000 | | | | 6,286,140 | |
(AGM), 5.00%, 08/01/30 | | | 9,235 | | | | 10,751,849 | |
Series A, 5.00%, 08/01/30 | | | 4,500 | | | | 5,165,865 | |
Commonwealth Financing Authority, RB, Tobacco Master Settlement Payment: | | | | | | | | |
5.00%, 06/01/30 | | | 3,500 | | | | 4,053,245 | |
5.00%, 06/01/32 | | | 6,000 | | | | 6,838,560 | |
Commonwealth of Pennsylvania, GO, Refunding, , 1st Series, 4.00%, 01/01/30 | | | 7,000 | | | | 7,501,690 | |
County of Allegheny Hospital Development Authority, Refunding RB, Allegheny Health Network Obligated Group Issue, Series A: | | | | | | | | |
5.00%, 04/01/31 | | | 3,075 | | | | 3,516,508 | |
5.00%, 04/01/34 | | | 3,345 | | | | 3,751,819 | |
5.00%, 04/01/35 | | | 1,000 | | | | 1,115,790 | |
County of Beaver Pennsylvania IDA, Refunding RB, First Energy Nuclear Energy Project, Series A, 4.00%, 01/01/35(d)(f)(g) | | | 9,765 | | | | 7,763,175 | |
County of Berks IDA, Refunding RB, Tower Health Project: | | | | | | | | |
5.00%, 11/01/29 | | | 2,000 | | | | 2,310,480 | |
5.00%, 11/01/30 | | | 2,000 | | | | 2,290,580 | |
5.00%, 11/01/34 | | | 2,500 | | | | 2,810,225 | |
5.00%, 11/01/35 | | | 3,325 | | | | 3,718,879 | |
County of Chester IDA, Woodlands At Graystone Project, 4.38%, 03/01/28(b) | | | 265 | | | | 260,802 | |
County of Cumberland Pennsylvania Municipal Authority, Refunding RB, Diakon Lutheran Social Ministries Project: | | | | | | | | |
5.00%, 01/01/29 | | | 1,300 | | | | 1,414,075 | |
5.00%, 01/01/30 | | | 2,675 | | | | 2,897,801 | |
5.00%, 01/01/32 | | | 1,510 | | | | 1,640,162 | |
County of Dauphin General Authority, Refunding RB, Pinnacle Health System Project, Series A, 4.00%, 06/01/31 | | | 2,275 | | | | 2,385,337 | |
County of Delaware Authority, Refunding RB, Cabrini University: | | | | | | | | |
5.00%, 07/01/26 | | | 1,180 | | | | 1,314,957 | |
5.00%, 07/01/28 | | | 800 | | | | 888,576 | |
5.00%, 07/01/29 | | | 1,365 | | | | 1,504,626 | |
5.00%, 07/01/30 | | | 1,435 | | | | 1,569,790 | |
County of Delaware Pennsylvania Authority, Refunding RB, Villanova University, 4.00%, 12/01/31 | | | 1,000 | | | | 1,075,030 | |
County of Lancaster Hospital Authority, Refunding RB, University of Pennsylvania Health System Obligation, Series A, 3.00%, 08/15/30 | | | 2,535 | | | | 2,532,541 | |
County of Montgomery Higher Education & Health Authority, Refunding RB, Thomas Jefferson University: | | | | | | | | |
5.00%, 09/01/31 | | | 1,750 | | | | 2,037,788 | |
5.00%, 09/01/32 | | | 1,315 | | | | 1,519,417 | |
County of Montgomery Pennsylvania IDA, Refunding RB: | | | | | | | | |
Acts Retirement-Life Communities, Inc. Obligated Group, 5.00%, 11/15/26 | | | 2,500 | | | | 2,673,575 | |
Albert Einstein Healthcare Network, Series A, 5.25%, 01/15/29 | | | 3,250 | | | | 3,621,182 | |
Albert Einstein Healthcare Network, Series A, 5.25%, 01/15/30 | | | 6,185 | | | | 6,863,062 | |
| | |
| 24 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Pennsylvania (continued) | |
Whitemarsh Continuing Care Retirement Community Project, 5.00%, 01/01/30 | | $ | 2,000 | | | $ | 1,999,900 | |
County of Northampton Pennsylvania General Purpose Authority, RB, St. Luke’s Hospital of Bethlehem, Series A, 5.00%, 08/15/33 | | | 12,660 | | | | 13,608,361 | |
County of Northampton Pennsylvania General Purpose Authority, Refunding RB, Lafayette College, 5.00%, 11/01/34 | | | 5,400 | | | | 6,251,796 | |
County of Westmoreland Municipal Authority, Refunding RB, (BAM): | | | | | | | | |
5.00%, 08/15/27 | | | 1,500 | | | | 1,741,305 | |
5.00%, 08/15/30 | | | 4,000 | | | | 4,663,640 | |
5.00%, 08/15/31 | | | 17,010 | | | | 19,678,359 | |
5.00%, 08/15/32 | | | 17,945 | | | | 20,657,566 | |
Geisinger Authority, Refunding RB, Geisinger Health System, SeriesA-2: | | | | | | | | |
5.00%, 02/15/32 | | | 4,000 | | | | 4,619,600 | |
5.00%, 02/15/34 | | | 1,750 | | | | 1,998,115 | |
Pennsylvania Economic Development Financing Authority, RB: | | | | | | | | |
PA Bridges Finco LP, AMT, 5.00%, 12/31/34 | | | 16,500 | | | | 18,045,555 | |
Pennsylvania Bridge Finco LP, 5.00%, 12/31/29 | | | 5,000 | | | | 5,603,100 | |
Pennsylvania Rapid Bridge Replacement Project, AMT, 5.00%, 12/31/30 | | | 13,100 | | | | 14,579,514 | |
Pennsylvania Economic Development Financing Authority, Refunding RB, University of Pittsburgh Medical Center: | | | | | | | | |
5.00%, 03/15/30 | | | 5,250 | | | | 6,052,462 | |
5.00%, 03/15/31 | | | 4,500 | | | | 5,141,340 | |
Pennsylvania Higher Educational Facilities Authority, RB, SeriesAT-1, 5.00%, 06/15/30 | | | 7,910 | | | | 9,094,522 | |
Pennsylvania Higher Educational Facilities Authority, Refunding RB: | | | | | | | | |
Drexel University, 5.00%, 05/01/30 | | | 425 | | | | 485,286 | |
Drexel University, 5.00%, 05/01/31 | | | 1,000 | | | | 1,134,140 | |
Drexel University, 5.00%, 05/01/32 | | | 1,750 | | | | 1,974,998 | |
Drexel University, 5.00%, 05/01/33 | | | 3,320 | | | | 3,733,074 | |
Drexel University, 5.00%, 05/01/35 | | | 1,000 | | | | 1,113,430 | |
La Salle University, 4.00%, 05/01/32 | | | 3,000 | | | | 2,966,400 | |
Pennsylvania Housing Finance Agency, Refunding RB, Series125-A, AMT, 3.40%, 10/01/32 | | | 9,000 | | | | 8,749,890 | |
Pennsylvania Turnpike Commission, RB,Sub-SeriesB-1: | | | | | | | | |
5.00%, 06/01/31 | | | 3,000 | | | | 3,391,800 | |
5.00%, 06/01/32 | | | 4,075 | | | | 4,575,491 | |
5.00%, 06/01/33 | | | 4,000 | | | | 4,469,680 | |
Pennsylvania Turnpike Commission, Refunding RB: | | | | | | | | |
Motor License Fund, Enhanced Turnpike, 5.00%, 12/01/30 | | | 5,000 | | | | 5,715,100 | |
Subordinate, SeriesB-2 (AGM), 5.00%, 06/01/34 | | | 5,000 | | | | 5,664,700 | |
Turnpike Subordinate Revenue, Second Series, 5.00%, 12/01/32 | | | 1,000 | | | | 1,125,120 | |
Turnpike Subordinate Revenue, Second Series, 5.00%, 12/01/33 | | | 1,815 | | | | 2,036,194 | |
Turnpike Subordinate Revenue, Second Series, 5.00%, 12/01/34 | | | 1,500 | | | | 1,675,530 | |
Turnpike Subordinate Revenue, Second Series, 5.00%, 12/01/35 | | | 2,005 | | | | 2,231,545 | |
Philadelphia Gas Works Co., Refunding RB, General Ordinance, Series14-T, 5.00%, 10/01/30 | | | 425 | | | | 485,881 | |
State Public School Building Authority, RB, School District of Philadelphia Project: | | | | | | | | |
5.00%, 04/01/27 | | | 4,130 | | | | 4,401,382 | |
5.00%, 04/01/28 | | | 8,000 | | | | 8,500,720 | |
5.00%, 04/01/29 | | | 6,000 | | | | 6,362,520 | |
5.00%, 04/01/30 | | | 5,500 | | | | 5,816,965 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Pennsylvania (continued) | |
Township of East Hempfield Pennsylvania IDA, RB, Student Services, Inc. Student Housing Project: | | | | | | | | |
5.00%, 07/01/30 | | $ | 825 | | | $ | 887,618 | |
5.00%, 07/01/30 | | | 1,280 | | | | 1,351,872 | |
Wayne County Hospital & Health Facilities Authority, RB, Wayne Memorial Hospital Project, Series A: | | | | | | | | |
5.00%, 07/01/31 | | | 460 | | | | 533,099 | |
4.00%, 07/01/33 | | | 440 | | | | 459,483 | |
| | | | | | | | |
| | | | 347,214,142 | |
|
| Rhode Island — 1.6% | |
Rhode Island Health & Educational Building Corp., RB, Hospital Financing, LifeSpan Obligation, 5.00%, 05/15/30 | | | 1,500 | | | | 1,674,045 | |
Rhode Island Housing & Mortgage Finance Corp., RB, S/F Housing, Homeownership Opportunity Bonds,Series 68-B, 3.00%, 10/01/31 | | | 13,500 | | | | 13,110,660 | |
Tobacco Settlement Financing Corp., Refunding RB, Series A: | | | | | | | | |
5.00%, 06/01/28 | | | 2,750 | | | | 2,967,525 | |
5.00%, 06/01/29 | | | 4,500 | | | | 4,829,625 | |
5.00%, 06/01/30 | | | 4,215 | | | | 4,496,773 | |
| | | | | | | | |
| | | | 27,078,628 | |
|
| South Carolina — 0.7% | |
South Carolina Jobs EDA, Refunding RB, Prisma Health Obligated Group, Series A, 5.00%, 05/01/35 | | | 10,000 | | | | 11,200,300 | |
| | | | | | | | |
|
| Tennessee — 0.5% | |
Chattanooga-Hamilton County Hospital Authority, Refunding RB, Erlanger Health System, Series A, 5.00%, 10/01/31 | | | 6,210 | | | | 6,784,115 | |
Counties of Nashville & Davidson Tennessee Metropolitan Government Health & Educational Facilities Board, RB, Vanderbilt University Medical Center, Series A, 5.00%, 07/01/31 | | | 1,300 | | | | 1,466,010 | |
County of Memphis-Shelby Industrial Development Board, Refunding, Tax Allocation Bonds, Graceland Project, Series A, 4.75%, 07/01/27 | | | 605 | | | | 630,089 | |
| | | | | | | | |
| | | | 8,880,214 | |
|
| Texas — 16.7% | |
Central Texas Regional Mobility Authority, RB, Senior Lien, Series A: | | | | | | | | |
5.00%, 01/01/30 | | | 1,600 | | | | 1,804,144 | |
5.00%, 01/01/31 | | | 1,175 | | | | 1,316,870 | |
5.00%, 01/01/33 | | | 1,500 | | | | 1,667,205 | |
Central Texas Turnpike System, Refunding RB, Series C: | | | | | | | | |
5.00%, 08/15/32 | | | 12,500 | | | | 13,583,125 | |
5.00%, 08/15/33 | | | 14,000 | | | | 15,160,040 | |
City of Houston Texas Airport System, Refunding ARB, United Airlines, Inc. Terminal E Project, AMT, 5.00%, 07/01/29 | | | 2,665 | | | | 2,906,955 | |
City of Houston Texas Airport System Revenue, Refunding RB: | | | | | | | | |
SeriesB-2, AMT, 5.00%, 07/15/20 | | | 5,970 | | | | 6,150,592 | |
Series D, 5.00%, 07/01/33 | | | 7,000 | | | | 8,221,570 | |
City of Houston Texas Combined Utility System Revenue, Refunding RB, First Lien, Series B: | | | | | | | | |
5.25%, 11/15/33 | | | 10,000 | | | | 11,732,300 | |
5.00%, 11/15/34 | | | 7,315 | | | | 8,421,759 | |
Clifton Higher Education Finance Corp., RB, Idea Public Schools, 6.00%, 08/15/33 | | | 1,650 | | | | 1,858,956 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 25 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Texas (continued) | |
Clifton Higher Education Finance Corp., Refunding RB, Series A: | | | | | | | | |
Idea Public Schools(PSF-GTD), 4.00%, 08/15/31 | | $ | 1,250 | | | $ | 1,338,038 | |
Idea Public Schools(PSF-GTD), 4.00%, 08/15/33 | | | 1,200 | | | | 1,262,136 | |
Uplift Education, 3.10%, 12/01/22 | | | 630 | | | | 621,256 | |
Uplift Education, 3.95%, 12/01/32 | | | 1,800 | | | | 1,745,730 | |
County of Harris Texas, Refunding RB, Toll Road, Senior Lien, Series C, 4.00%, 08/15/33 | | | 12,325 | | | | 12,886,404 | |
County of Harris Texas Cultural Education Facilities Finance Corp., RB, 1st Mortgage, Brazos Presbyterian Homes, Inc. Project, Series B: | | | | | | | | |
5.75%, 01/01/28 | | | 500 | | | | 539,415 | |
6.38%, 01/01/33 | | | 460 | | | | 504,726 | |
County of Harris Texas Cultural Education Facilities Finance Corp., Refunding RB, Series A: | | | | | | | | |
Brazos Presbyterian Homes, Inc. Project, 5.00%, 01/01/33 | | | 1,090 | | | | 1,115,953 | |
YMCA of the Greater Houston Area, 5.00%, 06/01/28 | | | 1,150 | | | | 1,209,191 | |
YMCA of the Greater Houston Area, 5.00%, 06/01/33 | | | 3,000 | | | | 3,125,160 | |
County of Matagorda Texas Navigation District No. 1, Refunding RB: | | | | | | | | |
Series A (AMBAC), 4.40%, 05/01/30 | | | 31,120 | | | | 33,284,396 | |
Series B (AMBAC), AMT, 4.55%, 05/01/30 | | | 10,000 | | | | 10,586,500 | |
SeriesB-2, 4.00%, 06/01/30 | | | 12,995 | | | | 13,353,532 | |
County of Midland Texas Fresh Water Supply District No. 1, RB, CAB, City of Midland Project, Series A(a): | | | | | | | | |
0.00%, 09/15/31 | | | 6,235 | | | | 4,012,472 | |
0.00%, 09/15/32 | | | 15,135 | | | | 9,254,598 | |
County of Tarrant Texas Cultural Education Facilities Finance Corp., RB: | | | | | | | | |
Christus Health, Series B, 5.00%, 07/01/35 | | | 6,000 | | | | 6,796,260 | |
Baylor Health Care System Project, Series A, 4.00%, 11/15/31 | | | 5,500 | | | | 5,661,150 | |
Baylor Health Care System Project, Series A, 4.00%, 11/15/32 | | | 15,420 | | | | 15,815,986 | |
County of Tarrant Texas Cultural Education Facilities Finance Corp., Refunding RB, Trinity Terrace Project, SeriesA-1, 5.00%, 10/01/29 | | | 1,000 | | | | 1,063,670 | |
Leander ISD, GO, CAB, Refunding, Series D
(PSF-GTD)(a): | | | | | | | | |
0.00%, 08/15/31 | | | 1,200 | | | | 757,152 | |
0.00%, 08/15/32 | | | 2,000 | | | | 1,199,440 | |
0.00%, 08/15/33 | | | 4,485 | | | | 2,557,616 | |
Mission EDC, Refunding RB, Senior Lien, NatGasoline Project, AMT, 4.63%, 10/01/31(b) | | | 4,125 | | | | 4,206,056 | |
New Hope Cultural Education Facilities Corp., RB, Series A: | | | | | | | | |
Station 1 LLC Texas A&M University Project, 5.00%, 04/01/29 | | | 2,290 | | | | 2,426,324 | |
Stephenville LLC Tarleton State University Project, 5.38%, 04/01/28 | | | 1,150 | | | | 1,238,251 | |
Stephenville LLC Tarleton State University Project, 5.00%, 04/01/29 | | | 725 | | | | 775,177 | |
New Hope Cultural Education Facilities Corp., Refunding RB, 1st Mortgage, Morningside Ministries Project, 6.25%, 01/01/33 | | | 1,600 | | | | 1,732,608 | |
New Hope Cultural Education Facilities Finance Corp., RB, Jubilee Academic Center Project, Series A(b): | | | | | | | | |
3.63%, 08/15/22 | | | 295 | | | | 292,251 | |
4.25%, 08/15/27 | | | 450 | | | | 446,184 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Texas (continued) | |
North Texas Tollway Authority, Refunding RB, 1st Tier, Series A, 5.00%, 01/01/35 | | $ | 5,750 | | | $ | 6,541,142 | |
Red River Health Facilities Development Corp., RB, Wichita Falls Retirement Foundation Project: | | | | | | | | |
4.70%, 01/01/22 | | | 400 | | | | 411,108 | |
5.50%, 01/01/32 | | | 1,000 | | | | 1,031,610 | |
Socorro Independent School District, GO, Refunding, Series B, 4.00%, 08/15/34 | | | 3,000 | | | | 3,198,690 | |
Texas Municipal Gas Acquisition & Supply Corp. III, RB, Natural Gas Utility Improvements: | | | | | | | | |
5.00%, 12/15/30 | | | 13,000 | | | | 13,931,580 | |
5.00%, 12/15/31 | | | 25,000 | | | | 26,716,250 | |
Texas Public Finance Authority, Refunding RB, Midwestern State University: | | | | | | | | |
4.00%, 12/01/30 | | | 2,000 | | | | 2,119,860 | |
4.00%, 12/01/31 | | | 1,650 | | | | 1,737,169 | |
Texas Transportation Commission State Highway Fund, Refunding RB, 1st Tier, 5.00%, 10/01/22 | | | 5,000 | | | | 5,575,200 | |
University of Texas System, Refunding RB, Financing System, Series C, 5.00%, 08/15/20 | | | 7,410 | | | | 7,783,612 | |
| | | | | | | | |
| | | | 281,677,369 | |
|
| Virginia — 0.8% | |
County of Fairfax Virginia EDA, RB, Vinson Hall LLC, Series A, 5.00%, 12/01/32 | | | 2,000 | | | | 2,105,700 | |
County of Hanover Virginia EDA, Refunding RB, Covenant Woods, Series A: | | | | | | | | |
4.50%, 07/01/30 | | | 3,000 | | | | 3,026,310 | |
4.50%, 07/01/32 | | | 1,100 | | | | 1,106,171 | |
Dulles Town Center Community Development Authority, Refunding, Special Assessment, Dulles Town Center Project, 4.25%, 03/01/26 | | | 500 | | | | 495,765 | |
Virginia College Building Authority, RB, Green Bonds, Marymount University Project, Series B,
5.25%, 07/01/30(b) | | | 2,000 | | | | 2,133,040 | |
Virginia Small Business Financing Authority, RB, Senior Lien, Express Lanes LLC, AMT, 5.00%, 07/01/34 | | | 3,940 | | | | 4,135,345 | |
| | | | | | | | |
| | | | 13,002,331 | |
|
| Washington — 2.3% | |
Grant & Douglas Counties School DistrictNo. 144-101 Quincy, GO, 4.00%, 12/01/34 | | | 7,475 | | | | 7,937,777 | |
Greater Wenatchee Regional Events Center Public Facilities District, Refunding RB, Series A: | | | | | | | | |
5.00%, 09/01/27 | | | 1,000 | | | | 1,017,960 | |
5.25%, 09/01/32 | | | 1,850 | | | | 1,875,160 | |
Port of Seattle Washington, Refunding RB, Interemediate Lien, AMT, Series C, 5.00%, 05/01/34 | | | 6,000 | | | | 6,776,700 | |
Port of Seattle Washington Industrial Development Corp., Refunding RB, Special Facilities, Delta Airline, Inc. Project, AMT, 5.00%, 04/01/30 | | | 5,000 | | | | 5,361,700 | |
Washington Biomedical Research Properties 3.2, RB, Series A: | | | | | | | | |
5.00%, 01/01/31 | | | 1,000 | | | | 1,153,560 | |
5.00%, 01/01/32 | | | 1,140 | | | | 1,310,681 | |
Washington Health Care Facilities Authority, Refunding RB, MultiCare Health System, Series B, 5.00%, 08/15/35 | | | 9,485 | | | | 10,822,764 | |
Washington State Housing Finance Commission, Refunding RB, Emerald Heights Project: | | | | | | | | |
5.00%, 07/01/28 | | | 1,000 | | | | 1,091,190 | |
5.00%, 07/01/33 | | | 1,100 | | | | 1,180,311 | |
| | | | | | | | |
| | | | 38,527,803 | |
| | |
| 26 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| West Virginia — 0.2% | |
West Virginia Hospital Finance Authority, RB, West Virginia University Health System, Series A: | | | | | | | | |
5.00%, 06/01/31 | | $ | 1,950 | | | $ | 2,215,337 | |
5.00%, 06/01/33 | | | 1,100 | | | | 1,232,561 | |
| | | | | | | | |
| | | | 3,447,898 | |
|
| Wisconsin — 2.2% | |
Public Finance Authority, Refunding RB, AMT: | | | | | | | | |
National Gypsum Co., 5.25%, 04/01/30 | | | 6,690 | | | | 7,002,958 | |
Waste Management, Inc. Project, 2.63%, 11/01/25 | | | 3,000 | | | | 2,940,720 | |
Wisconsin Airport Facilities, Senior Obligated Group, Series B, 5.25%, 07/01/28 | | | 2,250 | | | | 2,426,422 | |
Wisconsin Health & Educational Facilities Authority, Refunding RB: | | | | | | | | |
Advocate Aurora Health Credit Group, SeriesC-4, 2.16%, 08/15/54(d) | | | 8,200 | | | | 8,205,576 | |
Marquette University, 4.00%, 10/01/32 | | | 4,520 | | | | 4,684,890 | |
Milwaukee Regional Medical Center Thermal Service, Inc., 5.00%, 04/01/35 | | | 2,500 | | | | 2,893,750 | |
Wisconsin Housing & Economic Development Authority, Refunding RB, S/F Housing, Series D, 3.00%, 09/01/32 | | | 9,000 | | | | 8,715,960 | |
| | | | | | | | |
| | | | 36,870,276 | |
| | | | | | | | |
| |
Total Municipal Bonds — 129.9%
(Cost — $2,153,423,403) | | | | 2,189,763,635 | |
| | | | | | | | |
|
Municipal Bonds Transferred to Tender Option Bond Trusts(h) | |
|
Colorado — 4.9% | |
City & County of Denver Colorado, Refunding ARB, Department of Aviation, Series A, AMT: | | | | | | | | |
4.25%, 11/15/29(i) | | | 33,820 | | | | 35,355,627 | |
4.25%, 11/15/30 | | | 35,210 | | | | 36,808,741 | |
4.25%, 11/15/31 | | | 8,085 | | | | 8,452,106 | |
4.25%, 11/15/32 | | | 2,230 | | | | 2,331,255 | |
| | | | | | | | |
| | | | 82,947,729 | |
|
| Florida — 5.8% | |
County of Broward Florida, ARB, SeriesQ-1: | | | | | | | | |
4.00%, 10/01/29(i) | | | 17,200 | | | | 17,769,692 | |
4.00%, 10/01/30 | | | 18,095 | | | | 18,694,335 | |
4.00%, 10/01/31 | | | 18,820 | | | | 19,443,348 | |
4.00%, 10/01/32 | | | 19,575 | | | | 20,223,355 | |
4.00%, 10/01/33 | | | 20,355 | | | | 21,029,190 | |
| | | | | | | | |
| | | | 97,159,920 | |
|
| Iowa — 2.6% | |
Iowa State Board of Regents, RB, University of Iowa Hospitals & Clinics: | | | | | | | | |
4.00%, 09/01/28 | | | 3,375 | | | | 3,533,458 | |
4.00%, 09/01/29 | | | 6,524 | | | | 6,831,352 | |
4.00%, 09/01/30 | | | 6,324 | | | | 6,621,962 | |
4.00%, 09/01/31 | | | 8,649 | | | | 9,056,122 | |
4.00%, 09/01/32 | | | 7,749 | | | | 8,113,866 | |
4.00%, 09/01/33 | | | 9,374 | | | | 9,815,161 | |
| | | | | | | | |
| | | | 43,971,921 | |
|
| Nevada — 1.1% | |
Clark County Nevada, 4.00%, 11/01/34 | | | 17,710 | | | | 18,674,049 | |
| | | | | | | | |
|
| Pennsylvania — 2.8% | |
Commonwealth of Pennsylvania, GO, 1st Series, 5.00%, 03/01/32(i) | | | 20,000 | | | | 23,167,500 | |
Lehigh County Pennsylvania General Purpose Hospital, 4.00%, 07/01/33 | | | 22,285 | | | | 22,946,641 | |
| | | | | | | | |
| | | | 46,114,141 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Texas — 9.4% | |
City of San Antonio Texas Public Facilities Corp., Refunding LRB, Convention Center Refinancing & Expansion Project: | | | | | | | | |
4.00%, 09/15/30 | | $ | 15,000 | | | $ | 15,586,312 | |
4.00%, 09/15/31 | | | 19,475 | | | | 20,236,229 | |
4.00%, 09/15/32 | | | 18,075 | | | | 18,781,507 | |
4.00%, 09/15/33(i) | | | 11,000 | | | | 11,429,962 | |
4.00%, 09/15/34 | | | 11,885 | | | | 12,349,555 | |
4.00%, 09/15/35 | | | 4,500 | | | | 4,675,894 | |
Dallas Fort Worth International Airport, Refunding RB, AMT: | | | | | | | | |
Series E, 4.00%, 11/01/32 | | | 6,915 | | | | 7,186,025 | |
Series E, 4.13%, 11/01/35(i) | | | 10,435 | | | | 10,843,987 | |
Series F, 5.00%, 11/01/29 | | | 12,820 | | | | 13,322,464 | |
Series F, 5.00%, 11/01/30 | | | 15,565 | | | | 16,175,050 | |
Series F, 5.00%, 11/01/31 | | | 10,000 | | | | 10,391,937 | |
Series F, 5.00%, 11/01/32 | | | 17,170 | | | | 17,842,956 | |
| | | | | | | | |
| | | | 158,821,878 | |
| | | | | | | | |
| |
Total Municipal Bonds Transferred to Tender Option
Bond Trusts — 26.6%
(Cost — $438,353,316) | | | | 447,689,638 | |
| | | | | | | | |
| |
Total Long-Term Investments — 156.5%
(Cost — $2,591,776,719) | | | | 2,637,453,273 | |
| |
Other Assets Less Liabilities — 3.6% | | | | 60,824,633 | |
| |
Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable — (15.6)% | | | | (263,062,037 | ) |
| |
RVMTP Shares at Liquidation Value,Net of Deferred Offering
Costs — (44.5)% | | | | (749,627,142 | ) |
| | | | | | | | |
| |
Net Assets Applicable to Common Shares — 100.0% | | | $ | 1,685,588,727 | |
| | | | | | | | |
| (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) | U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par. |
| (d) | Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end. |
| (e) | Step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate as of period end. |
| (f) | Non-income producing security. |
| (g) | Issuer filed for bankruptcy and/or is in default. |
| (h) | Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Trust. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details. |
| (i) | All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Trust could ultimately be required to pay under the agreement, which expires between May 1, 2020 to March 1, 2026, is $221,778,857. See Note 4 of the Notes to Financial Statements for details. |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 27 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal 2030 Target Term Trust (BTT) |
During the period ended January 31, 2019, investments in issuers considered to be an affiliate of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affiliate | | Shares
Held at
07/31/18 | | | Net
Activity | | | Shares
Held at
01/31/19 | | | Value at
01/31/19 | | | Income | | | Net
Realized
Gain (Loss) (a) | | | Change in
Unrealized
Appreciation
(Depreciation) | |
BlackRock Liquidity Funds, MuniCash, Institutional Class | | | 26,798,334 | | | | (26,798,334 | ) | | | — | | | $ | — | | | $ | 110,411 | | | $ | 2,607 | | | $ | (2,680 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes net capital gain distributions, if applicable. | |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of investments. For information about the Trust’s policy regarding valuation of investments, refer to the Notes to Financial Statements.
The following tables summarize the Trust’s investments categorized in the disclosure hierarchy:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Assets: | | | | | | | | | | | | | | | | |
Investments: | | | | | | | | | | | | | | | | |
Long-Term Investments(a) | | $ | — | | | $ | 2,637,453,273 | | | $ | — | | | $ | 2,637,453,273 | |
| | | | | | | | | | | | | | | | |
| | (a) | See above Schedule of Investments for values in each state or political subdivision. | |
The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Liabilities: | |
TOB Trust Certificates | | $ | — | | | $ | (261,819,915 | ) | | $ | — | | | $ | (261,819,915 | ) |
RVMTP Shares at Liquidation Value | | | — | | | | (750,000,000 | ) | | | — | | | | (750,000,000 | ) |
| | | | | | | | | | | | | | | | |
| | $ | — | | | $ | (1,011,819,915 | ) | | $ | — | | | $ | (1,011,819,915 | ) |
| | | | | | | | | | | | | | | | |
During the period ended January 31, 2019, there were no transfers between levels.
See notes to financial statements.
| | |
| 28 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
Municipal Bonds — 112.1% | |
|
| Alabama — 0.3% | |
City of Selma Alabama IDB, RB, Gulf Opportunity Zone, International Paper Co. Project, Series A, 5.38%, 12/01/35 | | $ | 420 | | | $ | 451,412 | |
| | | | | | | | |
|
| Arizona — 1.3% | |
Arizona IDA, Refunding RB, Basis Schools, Inc. Projects, Series A, 5.38%, 07/01/50(a) | | | 1,185 | | | | 1,215,123 | |
City of Phoenix Arizona IDA, Refunding RB, Basis Schools, Inc. Projects, Series A, 5.00%, 07/01/35(a) | | | 275 | | | | 281,493 | |
County of Maricopa IDA, Refunding RB, Honorhealth, Series A, 4.13%, 09/01/38 | | | 320 | | | | 324,419 | |
| | | | | | | | |
| | | | | | | 1,821,035 | |
|
| California — 14.5% | |
California Health Facilities Financing Authority, Refunding RB, Series A: | | | | | | | | |
Adventist Health System/West, 4.00%, 03/01/39 | | | 980 | | | | 998,747 | |
Catholic Healthcare West, 6.00%, 07/01/19(b) | | | 1,010 | | | | 1,028,241 | |
California School Finance Authority, RB, Alliance ForCollege-Ready Public School Projects, Series A, 5.00%, 07/01/51(a) | | | 1,200 | | | | 1,247,256 | |
California Statewide Communities Development Authority, RB, Lancer Educational student Housing Project, Series A, 5.00%, 06/01/46(a) | | | 1,220 | | | | 1,288,796 | |
California Statewide Communities Development Authority, Refunding RB, Lancer Educational student Housing Project, Series A, 5.00%, 06/01/36(a) | | | 990 | | | | 1,058,755 | |
Golden State Tobacco Securitization Corp., Refunding RB, SeriesA-1, 5.25%, 06/01/47 | | | 475 | | | | 467,367 | |
Kern Community College District, GO, Safety, Repair & Improvement, Series C, 5.50%, 11/01/33 | | | 1,185 | | | | 1,374,019 | |
Regents of the University of California Medical Center Pooled Revenue, Refunding RB, Series J: | | | | | | | | |
5.25%, 05/15/23(b) | | | 2,165 | | | | 2,490,616 | |
5.25%, 05/15/38 | | | 615 | | | | 686,937 | |
State of California, GO, Various Purposes, 6.00%, 03/01/33 | | | 1,960 | | | | 2,051,316 | |
State of California Public Works Board, LRB, Various Capital Projects, Series I: | | | | | | | | |
5.50%, 11/01/31 | | | 2,100 | | | | 2,394,084 | |
5.50%, 11/01/33 | | | 1,500 | | | | 1,705,005 | |
State of California Public Works Board, RB, Department of Corrections & Rehabilitation, Series F, 5.25%, 09/01/33 | | | 610 | | | | 684,048 | |
Tobacco Securitization Authority of Southern California, Refunding RB, Tobacco Settlement, Asset-Backed, Senior SeriesA-1, 5.00%, 06/01/37 | | | 2,025 | | | | 2,025,000 | |
Township of Washington California Health Care District, GO, Election of 2004, Series B, 5.50%, 08/01/40 | | | 460 | | | | 533,729 | |
| | | | | | | | |
| | | | | | | 20,033,916 | |
|
| Colorado — 3.3% | |
Centerra Metropolitan District No. 1, Tax Allocation Bonds, 5.00%, 12/01/47(a) | | | 250 | | | | 250,125 | |
City & County of Denver Colorado, RB, Capital Appreciation Bonds Series, SeriesA-2, 0.00%, 08/01/38(c) | | | 1,000 | | | | 457,570 | |
City & County of Denver Colorado Airport System, ARB,Sub-System, Series B, 5.25%, 11/15/32 | | | 1,750 | | | | 1,969,712 | |
Colorado Health Facilities Authority, Refunding RB, Series A: | | | | | | | | |
Catholic Health Initiative, 5.50%, 07/01/34 | | | 1,675 | | | | 1,698,953 | |
Frasier Meadows Retirement Community Project, 5.25%, 05/15/37 | | | 210 | | | | 225,122 | |
| | | | | | | | |
| | | | | | | 4,601,482 | |
|
| Connecticut — 0.3% | |
Connecticut Housing Finance Authority, Refunding RB, S/F Housing,Sub-SeriesB-1, 4.00%, 05/15/45 | | | 460 | | | | 462,038 | |
| | | | | | | | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Florida — 6.2% | |
Celebration Pointe Community Development District, Special Assessment Bonds, County of Alachua Florida(a): | | | | | | | | |
5.00%, 05/01/32 | | $ | 225 | | | $ | 233,689 | |
5.00%, 05/01/48 | | | 555 | | | | 556,815 | |
County of Miami-Dade Florida, RB, Seaport Department, Series A, 6.00%, 10/01/38 | | | 5,675 | | | | 6,492,030 | |
Lakewood Ranch Stewardship District, Special Assessment Bonds, Lakewood National & Polo Run Projects: | | | | | | | | |
5.25%, 05/01/37 | | | 180 | | | | 185,942 | |
5.38%, 05/01/47 | | | 185 | | | | 190,380 | |
Reedy Creek Florida Improvement District, GO, Series A, 5.25%, 06/01/32 | | | 875 | | | | 986,431 | |
| | | | | | | | |
| | | | | | | 8,645,287 | |
|
| Idaho — 0.4% | |
Idaho Health Facilities Authority, Refunding RB, St. Luke’s Health System Project, Series A, 4.00%, 03/01/43 | | | 15 | | | | 14,749 | |
Idaho State Building Authority, RB, Department of Health And Welfare Project, 4.00%, 09/01/48 | | | 555 | | | | 563,009 | |
| | | | | | | | |
| | | | | | | 577,758 | |
|
| Illinois — 20.3% | |
Chicago Board of Education, GO, Series C: | | | | | | | | |
Dedicated Revenues, Series H, 5.00%, 12/01/46 | | | 215 | | | | 215,899 | |
Project, 5.25%, 12/01/35 | | | 700 | | | | 722,974 | |
Chicago Board of Education, GO, Refunding: | | | | | | | | |
Dedicated Revenues, 5.00%, 12/01/27 | | | 400 | | | | 422,768 | |
Dedicated Revenues, Series G, 5.00%, 12/01/34 | | | 215 | | | | 222,269 | |
5.00%, 12/01/25 | | | 295 | | | | 311,729 | |
Chicago Board of Education, GO, Series D: | | | | | | | | |
5.00%, 12/01/46 | | | 245 | | | | 246,495 | |
5.00%, 12/01/46 | | | 635 | | | | 637,115 | |
Refunding Dedicated Revenues, Series F, 5.00%, 12/01/23 | | | 290 | | | | 304,021 | |
City of Chicago Illinois O’Hare International Airport, GARB, 3rd Lien, Series C, 6.50%, 01/01/21(b) | | | 4,545 | | | | 4,954,641 | |
City of Chicago Illinois Transit Authority, RB: | | | | | | | | |
5.25%, 12/01/31 | | | 560 | | | | 594,014 | |
Sales Tax Receipts, 5.25%, 12/01/36 | | | 1,500 | | | | 1,584,855 | |
Sales Tax Receipts, 5.25%, 12/01/40 | | | 1,750 | | | | 1,839,320 | |
County of Cook Illinois Community College District No. 508, GO, City College of Chicago: | | | | | | | | |
5.50%, 12/01/38 | | | 580 | | | | 604,609 | |
5.25%, 12/01/43 | | | 2,660 | | | | 2,739,667 | |
Illinois Finance Authority, RB, Carle Foundation, Series A, 6.00%, 08/15/41 | | | 1,750 | | | | 1,902,425 | |
Illinois Finance Authority, Refunding RB, Northwestern Memorial Hospital, Series A, 6.00%, 08/15/19(b) | | | 2,900 | | | | 2,965,569 | |
Metropolitan Pier & Exposition Authority, RB, Series A, McCormick Place Expansion Project: | | | | | | | | |
Bonds, 0.00%, 12/15/56(c) | | | 2,165 | | | | 328,972 | |
Bonds, 5.00%, 06/15/57 | | | 590 | | | | 606,555 | |
5.50%, 06/15/53 | | | 280 | | | | 297,889 | |
Metropolitan Pier & Exposition Authority, Refunding RB, McCormick Place Expansion Project: | | | | | | | | |
Bonds, Series B, 0.00%, 12/15/54(c) | | | 3,020 | | | | 508,810 | |
SeriesB-2, 5.00%, 06/15/50 | | | 150 | | | | 150,383 | |
Railsplitter Tobacco Settlement Authority, RB(b): | | | | | | | | |
5.50%, 06/01/21 | | | 1,055 | | | | 1,143,968 | |
6.00%, 06/01/21 | | | 300 | | | | 328,701 | |
State of Illinois, GO: | | | | | | | | |
5.25%, 02/01/31 | | | 730 | | | | 764,865 | |
5.25%, 02/01/32 | | | 1,500 | | | | 1,566,825 | |
5.50%, 07/01/33 | | | 1,500 | | | | 1,582,605 | |
5.50%, 07/01/38 | | | 340 | | | | 354,824 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 29 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Illinois (continued) | |
State of Illinois, GO, Refunding, Series B, 5.00%, 10/01/27 | | $ | 225 | | | $ | 244,060 | |
| | | | | | | | |
| | | | | | | 28,146,827 | |
|
| Indiana — 1.3% | |
County of Allen Indiana, RB, StoryPoint Fort Wayne Project, SeriesA-1(a): | | | | | | | | |
6.63%, 01/15/34 | | | 125 | | | | 131,001 | |
6.75%, 01/15/43 | | | 185 | | | | 193,542 | |
6.88%, 01/15/52 | | | 375 | | | | 393,071 | |
Indiana Finance Authority, Refunding RB, Marquette Project, 4.75%, 03/01/32 | | | 500 | | | | 505,825 | |
Town of Chesterton Indiana, RB, StoryPoint Chesterton Project, SeriesA-1, 6.38%, 01/15/51(a) | | | 520 | | | | 529,204 | |
| | | | | | | | |
| | | | | | | 1,752,643 | |
|
| Iowa — 1.2% | |
Iowa Finance Authority, Refunding RB, Iowa Fertilizer Co. Project: | | | | | | | | |
Series B, 5.25%, 12/01/50 (d) | | | 905 | | | | 962,721 | |
Midwestern Disaster Area, 5.50%, 12/01/22 | | | 5 | | | | 5,005 | |
Midwestern Disaster Area, 5.25%, 12/01/25 | | | 625 | | | | 662,312 | |
| | | | | | | | |
| | | | | | | 1,630,038 | |
|
| Kansas — 2.2% | |
City of Lenexa Kansas, Refunding RB, Lakeview Village, Inc., Series A, 5.00%, 05/15/43 | | | 475 | | | | 482,690 | |
Kansas Development Finance Authority, Refunding RB, Adventist Health System: | | | | | | | | |
5.50%, 11/15/19(b) | | | 55 | | | | 56,534 | |
5.50%, 11/15/29 | | | 2,445 | | | | 2,510,477 | |
| | | | | | | | |
| | | | | | | 3,049,701 | |
|
| Louisiana — 1.5% | |
Louisiana Local Government Environmental Facilities & Community Development Authority, RB, Westlake Chemical Corp. Project, SeriesA-1, 6.50%, 11/01/35 | | | 1,095 | | | | 1,165,463 | |
Tobacco Settlement Financing Corp., Refunding RB, Asset-Backed, Series A, 5.50%, 05/15/29 | | | 915 | | | | 922,723 | |
| | | | | | | | |
| | | | | | | 2,088,186 | |
|
| Maine — 0.5% | |
Maine Health & Higher Educational Facilities Authority, RB, Maine General Medical Center, 7.50%, 07/01/32 | | | 680 | | | | 745,076 | |
| | | | | | | | |
|
| Maryland — 0.7% | |
City of Baltimore Maryland, Refunding RB, East Baltimore Research Park, Series A, 4.50%, 09/01/33 | | | 135 | | | | 137,888 | |
Maryland Community Development Administration, Refunding RB, S/F Housing, Series A, 4.10%, 09/01/38 | | | 770 | | | | 783,929 | |
| | | | | | | | |
| | | | | | | 921,817 | |
|
| Massachusetts — 2.5% | |
Massachusetts Development Finance Agency, RB: | | | | | | | | |
Emerson College Issue, Series A, 5.00%, 01/01/47 | | | 790 | | | | 846,398 | |
UMass Boston Student Housing Project, 5.00%, 10/01/41 | | | 500 | | | | 527,610 | |
UMass Boston Student Housing Project, 5.00%, 10/01/48 | | | 875 | | | | 918,033 | |
Massachusetts Development Finance Agency, Refunding RB: | | | | | | | | |
Emerson College Issue, 5.00%, 01/01/45 | | | 375 | | | | 395,554 | |
Trustees of Deerfield Academy, 5.00%, 10/01/40 | | | 375 | | | | 392,621 | |
Metropolitan Boston Transit Parking Corp., Refunding RB, 5.25%, 07/01/36 | | | 300 | | | | 320,247 | |
| | | | | | | | |
| | | | | | | 3,400,463 | |
|
| Michigan — 2.0% | |
City of Lansing Michigan, RB, Board of Water & Light Utilities System, Series A, 5.50%, 07/01/41 | | | 1,400 | | | | 1,512,560 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Michigan (continued) | |
Grand Traverse County Hospital Finance Authority, RB, Munson Health Care Obligated Group, Series A, 5.00%, 07/01/44 | | $ | 1,110 | | | $ | 1,209,911 | |
| | | | | | | | |
| | | | | | | 2,722,471 | |
|
| Minnesota — 4.1% | |
City of Minneapolis Minnesota, Refunding RB, Fairview Health Services, Series A: | | | | | | | | |
4.00%, 11/15/48 | | | 430 | | | | 429,235 | |
5.00%, 11/15/49 | | | 1,790 | | | | 1,970,145 | |
Duluth EDA, Refunding RB, Essentia Health Obligated Group, Series A: | | | | | | | | |
4.25%, 02/15/48 | | | 2,665 | | | | 2,676,886 | |
5.25%, 02/15/58 | | | 560 | | | | 616,627 | |
| | | | | | | | |
| | | | | | | 5,692,893 | |
|
| Montana — 0.1% | |
City of Kalispell Montana, Refunding RB, Immanuel Lutheran Corporation Project, Series A, 5.25%, 05/15/37 | | | 125 | | | | 128,625 | |
| | | | | | | | |
|
| Nevada — 4.0% | |
City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 04/01/19(b) | | | 2,600 | | | | 2,617,966 | |
County of Clark Nevada Airport System, ARB, Series B, 5.75%, 07/01/42 | | | 2,825 | | | | 2,913,846 | |
| | | | | | | | |
| | | | | | | 5,531,812 | |
|
| New Hampshire — 0.7% | |
New Hampshire Health and Education Facilities Authority Act, RB, Dartmouth College Issue, 5.25%, 06/01/19(b) | | | 925 | | | | 935,961 | |
| | | | | | | | |
|
| New Jersey — 8.7% | |
Casino Reinvestment Development Authority, Refunding RB, 5.25%, 11/01/39 | | | 265 | | | | 281,965 | |
New Jersey EDA, Refunding RB, School Facilities Construction, Series AA: | | | | | | | | |
5.50%, 06/15/19(b) | | | 500 | | | | 506,995 | |
5.50%, 12/15/29 | | | 250 | | | | 252,982 | |
New Jersey Housing & Mortgage Finance Agency, RB, S/F, Series CC, 5.25%, 10/01/29 | | | 1,400 | | | | 1,404,802 | |
New Jersey Transportation Trust Fund Authority, RB: | | | | | | | | |
Transportation Program Bonds, Series S, 5.25%, 06/15/43 | | | 1,145 | | | | 1,235,455 | |
Transportation Program Bonds, Series S, 5.00%, 06/15/46 | | | 1,045 | | | | 1,097,240 | |
Transportation System, Series AA, 5.50%, 06/15/39 | | | 2,245 | | | | 2,380,351 | |
New Jersey Turnpike Authority, RB, Series A,
4.00%, 01/01/48(e) | | | 640 | | | | 650,989 | |
Tobacco Settlement Financing Corp., Refunding RB: | | | | | | | | |
Series A, 5.00%, 06/01/35 | | | 630 | | | | 694,065 | |
Series A, 5.00%, 06/01/46 | | | 1,515 | | | | 1,566,237 | |
Sub-Series B, 5.00%, 06/01/46 | | | 1,965 | | | | 1,956,747 | |
| | | | | | | | |
| | | | | | | 12,027,828 | |
|
| New York — 3.6% | |
Counties of New York Tobacco Trust IV, Refunding RB, Settlement Pass-Through Turbo, Series A,
6.25%, 06/01/41(a) | | | 900 | | | | 920,673 | |
Hudson Yards Infrastructure Corp., RB, Senior, Fiscal 2012: | | | | | | | | |
5.75%, 02/15/21(b) | | | 1,005 | | | | 1,087,360 | |
5.75%, 02/15/47 | | | 615 | | | | 660,535 | |
Metropolitan Transportation Authority, RB, Series A, 5.25%, 11/15/21(b) | | | 500 | | | | 549,570 | |
New York Liberty Development Corp., Refunding RB, 2nd Priority, Bank of America Tower at One Bryant Park Project, Class 3, 6.38%, 07/15/49 | | | 1,480 | | | | 1,536,728 | |
Westchester New York Tobacco Asset Securitization, Refunding RB, Tobacco Settlement Bonds,Sub-Series C, 4.00%, 06/01/42 | | | 275 | | | | 255,629 | |
| | | | | | | | |
| | | | | | | 5,010,495 | |
| | |
| 30 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Ohio — 3.9% | |
Buckeye Tobacco Settlement Financing Authority, RB, Asset-Backed, Senior Turbo Term, SeriesA-2: | | | | | | | | |
5.75%, 06/01/34 | | $ | 225 | | | $ | 210,265 | |
5.88%, 06/01/47 | | | 1,000 | | | | 928,690 | |
County of Allen Ohio Hospital Facilities Revenue, Refunding RB, Catholic Healthcare Partners, Series A, 5.25%, 06/01/20(b) | | | 2,405 | | | | 2,512,455 | |
Ohio Housing Finance Agency, RB, S/F Housing, Series A (Ginnie Mae, Fannie Mae & Freddie Mac), 4.00%, 09/01/48 | | | 270 | | | | 271,164 | |
State of Ohio Turnpike Commission, RB, Junior Lien, Infrastructure Projects, SeriesA-1, 5.25%, 02/15/31 | | | 1,385 | | | | 1,541,976 | |
| | | | | | | | |
| | | | | | | 5,464,550 | |
|
| Oklahoma — 1.8% | |
Oklahoma Development Finance Authority, RB: | | | | | | | | |
OU Medicine Project, Series B, 5.25%, 08/15/48 | | | 560 | | | | 609,913 | |
Provident Oklahoma Education Resources, Inc., Cross Village Student Housing Project, Series A, 5.25%, 08/01/57 | | | 1,110 | | | | 1,034,542 | |
Tulsa County Industrial Authority, Refunding RB, Montereau, Inc. Project, 5.25%, 11/15/45 | | | 850 | | | | 914,277 | |
| | | | | | | | |
| | | | | | | 2,558,732 | |
|
| Oregon — 0.2% | |
County of Clackamas Oregon School District No. 12 North Clackamas, GO, CAB, Series A, 0.00%, 06/15/38(c) | | | 575 | | | | 265,466 | |
| | | | | | | | |
|
| Pennsylvania — 4.1% | |
Allentown Neighborhood Improvement Zone Development Authority, RB, City Center Project, 5.00%, 05/01/42(a) | | | 420 | | | | 443,776 | |
Pennsylvania Economic Development Financing Authority, RB, American Water Co. Project, 6.20%, 04/01/39 | | | 800 | | | | 805,168 | |
Pennsylvania Housing Finance Agency, RB, S/F Housing Mortgage, Series123-B, 4.00%, 10/01/42 | | | 990 | | | | 991,901 | |
Pennsylvania Turnpike Commission, RB, Series A(b): | | | | | | | | |
5.63%, 12/01/20 | | | 1,200 | | | | 1,283,808 | |
5.63%, 12/01/20 | | | 445 | | | | 476,079 | |
Township of Bristol Pennsylvania School District, GO, 5.25%, 06/01/37 | | | 1,530 | | | | 1,691,491 | |
| | | | | | | | |
| | | | | | | 5,692,223 | |
|
| Puerto Rico — 0.5% | |
Children’s Trust Fund, Refunding RB, Tobacco Settlement Asset-Backed Bonds, 5.63%, 05/15/43 | | | 620 | | | | 626,925 | |
| | | | | | | | |
|
| Rhode Island — 2.0% | |
Tobacco Settlement Financing Corp., Refunding RB, Series B: | | | | | | | | |
4.50%, 06/01/45 | | | 2,870 | | | | 2,668,956 | |
5.00%, 06/01/50 | | | 125 | | | | 125,328 | |
| | | | | | | | |
| | | | | | | 2,794,284 | |
|
| South Carolina — 5.1% | |
County of Charleston South Carolina, RB, Special Source, 5.25%, 12/01/38 | | | 1,825 | | | | 2,062,360 | |
South Carolina Jobs EDA, Refunding RB, Prisma Health Obligated Group, Series A: | | | | | | | | |
5.00%, 05/01/43 | | | 950 | | | | 1,035,766 | |
5.00%, 05/01/48 | | | 565 | | | | 613,262 | |
State of South Carolina Public Service Authority, RB, Series E, 5.50%, 12/01/53 | | | 1,500 | | | | 1,599,780 | |
State of South Carolina Public Service Authority, Refunding RB: | | | | | | | | |
Series A, 5.00%, 12/01/50 | | | 210 | | | | 220,067 | |
Series A, 5.00%, 12/01/55 | | | 465 | | | | 486,237 | |
Series E, 5.25%, 12/01/55 | | | 945 | | | | 1,010,233 | |
| | | | | | | | |
| | | | | | | 7,027,705 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Texas — 9.8% | |
Central Texas Regional Mobility Authority, Refunding RB, Senior Lien, 6.00%, 01/01/21(b) | | $ | 2,560 | | | $ | 2,757,248 | |
City of Beaumont Texas, GO, Certificates of Obligation, 5.25%, 03/01/37 | | | 1,140 | | | | 1,266,791 | |
County of Tarrant Texas Cultural Education Facilities Finance Corp., RB, Scott & White Healthcare, 6.00%, 08/15/20(b) | | | 2,710 | | | | 2,882,329 | |
Lower Colorado River Authority, Refunding RB: | | | | | | | | |
5.50%, 05/15/19(b) | | | 5 | | | | 5,052 | |
5.50%, 05/15/19(b) | | | 80 | | | | 80,838 | |
5.50%, 05/15/19(b) | | | 5 | | | | 5,052 | |
5.50%, 05/15/33 | | | 1,910 | | | | 1,928,298 | |
North Texas Tollway Authority, RB, Special Projects, Series A, 5.50%, 09/01/21(b) | | | 1,500 | | | | 1,639,815 | |
North Texas Tollway Authority, Refunding RB,
4.25%, 01/01/49 | | | 285 | | | | 293,302 | |
Red River Texas Education Financing Corp., RB, Texas Christian University Project, 5.25%, 03/15/38 | | | 520 | | | | 578,375 | |
Texas Private Activity Bond Surface Transportation Corp., RB, Senior Lien, NTE Mobility Partners LLC, North Tarrant Express Managed Lanes Project, 6.88%, 12/31/39 | | | 2,005 | | | | 2,081,010 | |
| | | | | | | | |
| | | | | | | 13,518,110 | |
|
| Virginia — 2.5% | |
Ballston Quarter Community Development Authority, Tax Allocation Bonds, Series A: | | | | | | | | |
5.00%, 03/01/26 | | | 240 | | | | 245,230 | |
5.13%, 03/01/31 | | | 470 | | | | 482,004 | |
City of Lexington Virginia IDA, RB, Washington & Lee University, 5.00%, 01/01/43 | | | 425 | | | | 458,588 | |
County of Fairfax Virginia IDA, Refunding RB, Health Care-Inova Health(b): | | | | | | | | |
5.50%, 05/15/19 | | | 475 | | | | 480,082 | |
5.50%, 05/15/19 | | | 885 | | | | 894,469 | |
Tobacco Settlement Financing Corp., Refunding RB, Senior SeriesB-1, 5.00%, 06/01/47 | | | 1,010 | | | | 953,046 | |
| | | | | | | | |
| | | | | | | 3,513,419 | |
|
| Washington — 1.0% | |
Washington State Housing Finance Commission, Refunding RB, Horizon House Project, 5.00%, 01/01/48(a) | | | 1,405 | | | | 1,456,030 | |
| | | | | | | | |
|
| West Virginia — 0.5% | |
City of Martinsburg West Virginia, RB, M/F Housing, Kings Daughters Apartments, SeriesA-1, 4.63%, 12/01/43 | | | 570 | | | | 554,781 | |
West Virginia Hospital Finance Authority, RB, Improvement, West Virginia University Health System Obligated Group, Series A, 4.00%, 06/01/51 | | | 140 | | | | 136,031 | |
| | | | | | | | |
| | | | | | | 690,812 | |
|
| Wisconsin — 1.0% | |
Public Finance Authority, Refunding RB: | | | | | | | | |
Mery’s Wood at Marylhurst Projects, 5.25%, 05/15/52(a) | | | 735 | | | | 756,315 | |
Wingate University, Series A, 5.25%, 10/01/48 | | | 590 | | | | 621,482 | |
| | | | | | | | |
| | | | | | | 1,377,797 | |
| | | | | | | | |
| |
Total Municipal Bonds — 112.1%
(Cost — $149,135,746) | | | | 155,363,817 | |
| | | | | | | | |
|
Municipal Bonds Transferred to Tender Option Bond Trusts(f) — 55.8% | |
|
California — 18.5% | |
Fremont Union High School District, GO, Refunding Series A, 4.00%, 08/01/46 | | | 1,840 | | | | 1,913,940 | |
Grossmont California Union High School District, GO, Election of 2008, Series B, 5.00%, 08/01/20(b) | | | 3,700 | | | | 3,889,181 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 31 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| California (continued) | |
Los Angeles California Unified School District, GO, Series I, 5.00%, 01/01/34 | | $ | 600 | | | $ | 607,245 | |
Los Angeles Community College District California, GO, Election of 2008, Series C, 5.25%, 08/01/20(b)(g) | | | 4,041 | | | | 4,259,863 | |
Los Angeles Community College District California, GO, Refunding, Election of 2008, Series A, 6.00%, 08/01/19(b) | | | 5,978 | | | | 6,109,010 | |
San Diego Public Facilities Financing Authority Water, RB, Series B, 5.50%, 08/01/19(b) | | | 6,448 | | | | 6,573,690 | |
University of California, RB, Series O, 5.75%, 05/15/19(b) | | | 2,311 | | | | 2,337,594 | |
| | | | | | | | |
| | | | | | | 25,690,523 | |
|
| District of Columbia — 2.3% | |
District of Columbia, RB, Series A, 5.50%, 12/01/30(g) | | | 2,129 | | | | 2,191,384 | |
District of Columbia Housing Finance Agency, RB, M/F Housing, SeriesB-2, 4.10%, 09/01/39 | | | 1,051 | | | | 1,064,547 | |
| | | | | | | | |
| | | | | | | 3,255,931 | |
|
| Georgia — 0.7% | |
County of Dalton Whitfield Joint Development Authority, RB, Hamilton Health Care System Obligation, 4.00%, 08/15/48 | | | 1,025 | | | | 1,046,042 | |
| | | | | | | | |
|
| Idaho — 1.4% | |
Idaho State Building Authority, RB, State Office Campus Project, Series A, 4.00%, 09/01/48 | | | 1,900 | | | | 1,934,513 | |
| | | | | | | | |
|
| Illinois — 1.0% | |
State of Illinois Toll Highway Authority, RB, Series C, 5.00%, 01/01/38 | | | 1,244 | | | | 1,385,509 | |
| | | | | | | | |
|
| Iowa — 1.2% | |
Iowa Finance Authority, Refunding RB, UnityPoint Health, Series E, 4.00%, 08/15/46 | | | 1,605 | | | | 1,605,958 | |
| | | | | | | | |
|
| Nevada — 1.5% | |
County of Clark Nevada Water Reclamation District, GO, Series B, 5.50%, 07/01/19(b) | | | 1,994 | | | | 2,025,944 | |
| | | | | | | | |
|
| New Jersey — 1.9% | |
New Jersey Transportation Trust Fund Authority, RB, Transportation System, Series B, 5.25%, 06/15/36(g) | | | 2,481 | | | | 2,585,346 | |
| | | | | | | | |
|
| New York — 12.0% | |
City of New York Housing Development Corp., Refunding RB, Sustainable Neighborhood Bonds, Series A, 4.15%, 11/01/38(e) | | | 2,070 | | | | 2,137,441 | |
City of New York Municipal Water Finance Authority, Refunding RB: | | | | | | | | |
Series FF, 5.00%, 06/15/45 | | | 2,499 | | | | 2,705,005 | |
Water & Sewer System, 2nd General Resolution,Series FF-2, 5.50%, 06/15/40 | | | 2,985 | | | | 3,024,999 | |
New York Liberty Development Corp., ARB, 1 World Trade Center Port Authority Consolidated Bonds, 5.25%, 12/15/43 | | | 3,375 | | | | 3,663,783 | |
New York Liberty Development Corp., Refunding RB, 4 World Trade Center Project, 5.75%, 11/15/51(g) | | | 1,980 | | | | 2,166,505 | |
State of New York Dormitory Authority, ERB, Personal Income Tax, Series B, 5.25%, 03/15/19(b) | | | 3,000 | | | | 3,012,690 | |
| | | | | | | | |
| | | | | | | 16,710,423 | |
|
| North Carolina — 0.8% | |
North Carolina Housing Finance Agency, RB, S/F Housing, Series39-B (Ginnie Mae, Fannie Mae & Freddie Mac), 4.00%, 01/01/48 | | | 1,089 | | | | 1,091,456 | |
| | | | | | | | |
|
| Pennsylvania — 2.7% | |
Pennsylvania Turnpike Commission, RB,Sub-Series A, 5.50%, 12/01/42 | | | 1,514 | | | | 1,732,036 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Pennsylvania (continued) | |
Pennsylvania Turnpike Commission, Refunding RB, SubSeries B-2 (AGM), 5.00%, 06/01/35 | | $ | 1,830 | | | $ | 2,065,887 | |
| | | | | | | | |
| | | | | | | 3,797,923 | |
|
| Rhode Island — 1.6% | |
Rhode Island Health & Educational Building Corp., RB, Series A, 4.00%, 09/15/47 | | | 2,207 | | | | 2,224,759 | |
| | | | | | | | |
|
| Texas — 5.3% | |
City of San Antonio Texas Public Service Board, Refunding RB, Series A, 5.25%, 02/01/19(b)(g) | | | 3,074 | | | | 3,074,291 | |
County of Harris Texas Cultural Education Facilities Finance Corp., RB, Texas Children’s Hospital Project, 5.50%, 10/01/39 | | | 4,200 | | | | 4,279,527 | |
| | | | | | | | |
| | | | | | | 7,353,818 | |
|
| Virginia — 1.3% | |
Hampton Roads Transportation Accountability Commission, RB, Transportation Fund, Senior Lien, Series A, 5.50%, 07/01/57(g) | | | 1,473 | | | | 1,746,519 | |
| | | | | | | | |
|
| West Virginia — 1.2% | |
Morgantown Utility Board, Inc., RB, Series B,
4.00%, 12/01/48(g) | | | 1,671 | | | | 1,694,149 | |
| | | | | | | | |
|
| Wisconsin — 2.4% | |
Wisconsin Housing & Economic Development Authority, RB, M/F Housing, Series A: | | | | | | | | |
4.10%, 11/01/43 | | | 1,436 | | | | 1,451,282 | |
4.45%, 05/01/57 | | | 1,794 | | | | 1,814,135 | |
| | | | | | | | |
| | | | | | | 3,265,417 | |
| | | | | | | | |
| |
Total Municipal Bonds Transferred to Tender Option
Bond Trusts — 55.8%
(Cost — $75,889,310) | | | | 77,414,230 | |
| | | | | | | | |
| |
Total Long-Term Investments — 167.9%
(Cost — $225,025,056) | | | | 232,778,047 | |
| | | | | | | | |
| | |
| | | Shares | | | | |
|
Short-Term Securities — 0.3% | |
BlackRock Liquidity Funds, MuniCash, Institutional Class,
1.24%(h)(i) | | | 343,495 | | | | 343,563 | |
| | | | | | | | |
| |
Total Short-Term Securities — 0.3%
(Cost — $343,563) | | | | 343,563 | |
| | | | | | | | |
| |
Total Investments — 168.2%
(Cost — $225,368,619) | | | | 233,121,610 | |
| |
Other Assets Less Liabilities — 0.9% | | | | 1,344,850 | |
| |
Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable — (31.8)% | | | | (44,133,365 | ) |
| |
VRDP Shares at Liquidity Value, Net of Deferred Offering
Cost — (37.3)% | | | | (51,715,976 | ) |
| | | | | | | | |
| |
Net Assets Applicable to Common Shares — 100.0% | | | $ | 138,617,119 | |
| | | | | |
| (a) | 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. |
| (b) | U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par. |
| (d) | Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end. |
| (e) | When-issued security. |
| | |
| 32 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) |
| (f) | Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Trust. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details. |
| (g) | All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Trust could ultimately be required to pay under the agreement, which expire between February 1, 2019 to December 1, 2030, is $10,613,837. See Note 4 of the Notes to Financial Statements for details. |
| (h) | Annualized7-day yield as of period end. |
| (i) | During the period ended January 31, 2019, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affiliate | | Shares
Held at
07/31/18 | | | Net
Activity | | | Shares
Held at
01/31/19 | | | Value at
01/31/19 | | | Income | | | Net
Realized
Gain (Loss) (a) | | | Change in
Unrealized
Appreciation
(Depreciation) | |
BlackRock Liquidity Funds, MuniCash, Institutional Class | | | 569,880 | | | | (226,385 | ) | | | 343,495 | | | $ | 343,563 | | | $ | 4,988 | | | $ | 78 | | | $ | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes net capital gain distributions, if applicable. | |
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts
| | | | | | | | | | | | | | | | |
| Description | | Number of
Contracts | | | Expiration
Date | | | Notional
Amount (000) | | | Value/
Unrealized
Appreciation
(Depreciation) | |
Short Contracts: | | | | | | | | | | | | | | | | |
10-Year U.S. Treasury Note | | | 11 | | | | 03/20/19 | | | $ | 1,347 | | | $ | (23,266 | ) |
Long U.S. Treasury Bond | | | 42 | | | | 03/20/19 | | | | 6,161 | | | | (282,711 | ) |
5-Year U.S. Treasury Note | | | 8 | | | | 03/29/19 | | | | 919 | | | | (14,991 | ) |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | $ | (320,968 | ) |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange
Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Liabilities — Derivative Financial Instruments | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized depreciation(a) | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 320,968 | | | $ | — | | | $ | 320,968 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes cumulative depreciation on futures contracts, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities. | |
For the six months ended January 31, 2019, the effect of derivative financial instruments in the Statements of Operations were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange
Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Net Realized Gain (Loss) from: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 39,470 | | | $ | — | | | $ | 39,470 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
| Net Change in Unrealized Appreciation (Depreciation) on: | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | (339,127 | ) | | $ | — | | | $ | (339,127 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
| | | | |
Futures contracts: | | | | |
Average notional value of contracts — short | | $ | 6,659,898 | |
For more information about the Trust’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
| | | | |
| SCHEDULES OF INVESTMENTS | | | 33 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock Municipal Income Investment Trust (BBF) |
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of investments and derivative financial instruments. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Notes to Financial Statements.
The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Assets: | | | | | | | | | | | | | | | | |
Investments: | | | | | | | | | | | | | | | | |
Long-Term Investments(a) | | $ | — | | | $ | 232,778,047 | | | $ | — | | | $ | 232,778,047 | |
Short-Term Securities | | | 343,563 | | | | — | | | | — | | | | 343,563 | |
| | | | | | | | | | | | | | | | |
| | $ | 343,563 | | | $ | 232,778,047 | | | $ | — | | | $ | 233,121,610 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments(b) | | | | | | | | | | | | | | | | |
Liabilities: | | | | | | | | | | | | | | | | |
Interest rate contracts | | $ | (320,968 | ) | | $ | — | | | $ | — | | | $ | (320,968 | ) |
| | | | | | | | | | | | | | | | |
| | (a) | See above Schedule of Investments for values in each state or political subdivision. | |
| | (b) | Derivative financial instruments are futures contracts which are valued at the unrealized appreciation (depreciation) on the instrument. | |
The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Liabilities: | | | | | | | | | | | | | | | | |
TOB Trust Certificates | | $ | — | | | $ | (43,928,144 | ) | | $ | — | | | $ | (43,928,144 | ) |
VRDP Shares at Liquidation Value | | | — | | | | (52,000,000 | ) | | | — | | | | (52,000,000 | ) |
| | | | | | | | | | | | | | | | |
| | $ | — | | | $ | (95,928,144 | ) | | $ | — | | | $ | (95,928,144 | ) |
| | | | | | | | | | | | | | | | |
During the period ended January 31, 2019, there were no transfers between levels.
See notes to financial statements.
| | |
| 34 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
Municipal Bonds — 133.6% | |
|
New York — 133.1% | |
|
| Corporate — 4.6% | |
Build NYC Resource Corp., Refunding RB, Pratt Paper, Inc. Project, AMT, 5.00%, 01/01/35(a) | | $ | 280 | | | $ | 295,498 | |
City of New York Industrial Development Agency, Refunding RB, Transportation Infrastructure Properties LLC, Series A, AMT: | | | | | | | | |
5.00%, 07/01/22 | | | 650 | | | | 709,657 | |
5.00%, 07/01/28 | | | 795 | | | | 849,052 | |
New York Liberty Development Corp., Refunding RB, Goldman Sachs Headquarters, 5.25%, 10/01/35 | | | 3,195 | | | | 3,900,648 | |
Niagara Area Development Corp., Refunding RB, Covanta Project, Series A, AMT, 4.75%, 11/01/42(a) | | | 2,820 | | | | 2,737,712 | |
| | | | | | | | |
| | | | | | | 8,492,567 | |
|
| County/City/Special District/School District — 33.4% | |
City of New York, GO, Refunding, Series E: | | | | | | | | |
5.50%, 08/01/25 | | | 1,115 | | | | 1,285,996 | |
5.00%, 08/01/30 | | | 1,000 | | | | 1,109,270 | |
City of New York, GO: | | | | | | | | |
SeriesA-1, 5.00%, 08/01/35 | | | 1,000 | | | | 1,069,790 | |
Series D, 5.38%, 06/01/32 | | | 25 | | | | 25,084 | |
SeriesG-1, 6.25%, 12/15/31 | | | 15 | | | | 15,057 | |
Sub-SeriesD-1, Fiscal 2014, 5.00%, 08/01/31 | | | 690 | | | | 772,510 | |
Sub-SeriesG-1, 5.00%, 04/01/29 | | | 750 | | | | 818,753 | |
Sub-SeriesI-1, 5.38%, 04/01/19(b) | | | 465 | | | | 467,841 | |
Sub-SeriesI-1, 5.38%, 04/01/36 | | | 65 | | | | 65,360 | |
City of New York Convention Center Development Corp., RB, CAB, Sub Lien, Hotel Unit Fee, Series B (AGM),
0.00%, 11/15/55(c) | | | 2,000 | | | | 430,480 | |
City of New York Convention Center Development Corp., Refunding RB, Hotel Unit Fee Secured: | | | | | | | | |
5.00%, 11/15/40 | | | 2,975 | | | | 3,331,673 | |
5.00%, 11/15/45 | | | 3,700 | | | | 4,126,758 | |
City of New York Industrial Development Agency, RB, PILOT: | | | | | | | | |
CAB, Yankee Stadium Project, Series A (AGC), 0.00%, 03/01/42(c) | | | 1,960 | | | | 759,676 | |
CAB, Yankee Stadium Project, Series A (AGC), 0.00%, 03/01/45(c) | | | 1,500 | | | | 499,740 | |
(AMBAC), 5.00%, 01/01/39 | | | 3,000 | | | | 3,040,620 | |
Queens Baseball Stadium (AGC), 6.38%, 01/01/39 | | | 150 | | | | 150,533 | |
Queens Baseball Stadium (AMBAC), 5.00%, 01/01/46 | | | 175 | | | | 177,536 | |
Yankee Stadium Project (NPFGC), 4.75%, 03/01/46 | | | 350 | | | | 350,238 | |
Yankee Stadium Project (NPFGC), 5.00%, 03/01/46 | | | 500 | | | | 502,820 | |
City of New York Transitional Finance Authority, RB, Future Tax Secured, 5.00%, 02/01/32 | | | 5,000 | | | | 5,610,600 | |
City of New York Transitional Finance Authority Future Tax Secured, RB: | | | | | | | | |
Future Tax Secured Subordinate Bond, SeriesC-3, 5.00%, 05/01/41 | | | 355 | | | | 405,147 | |
Future Tax Secured,Sub-SeriesE-1, 5.00%, 02/01/43 | | | 1,725 | | | | 1,937,244 | |
SeriesA-2, 5.00%, 08/01/38 | | | 1,420 | | | | 1,622,350 | |
City of New York Transitional Finance Authority Future Tax Secured Revenue, RB, Fiscal 2012,Sub-SeriesE-1,
5.00%, 02/01/42 | | | 2,500 | | | | 2,682,075 | |
County of Nassau New York, GO, General Improvement Bonds, Series B, 5.00%, 07/01/37 | | | 1,200 | | | | 1,374,252 | |
County of Nassau New York, GO, Refunding, Series C, 5.00%, 10/01/31 | | | 945 | | | | 1,090,473 | |
Hudson Yards Infrastructure Corp., RB, Senior, Fiscal 2012: | | | | | | | | |
5.75%, 02/15/21(b) | | | 125 | | | | 135,244 | |
5.75%, 02/15/47 | | | 75 | | | | 80,553 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| County/City/Special District/School District (continued) | |
Hudson Yards Infrastructure Corp., Refunding RB, Series A: | | | | | | | | |
5.00%, 02/15/39 | | $ | 1,370 | | | $ | 1,549,621 | |
5.00%, 02/15/42 | | | 1,875 | | | | 2,106,675 | |
Metropolitan Transportation Authority Hudson Rail Yards Trust Obligations, Refunding RB, Series A, 5.00%, 11/15/56 | | | 2,695 | | | | 2,883,650 | |
New York Liberty Development Corp., Refunding RB: | | | | | | | | |
2nd Priority, Bank of America Tower at One Bryant Park Project, Class 2, 5.63%, 07/15/47 | | | 2,000 | | | | 2,070,160 | |
2nd Priority, Bank of America Tower at One Bryant Park Project, Class 3, 6.38%, 07/15/49 | | | 1,200 | | | | 1,245,996 | |
3 World Trade Center Project, Class 1,
5.00%, 11/15/44(a) | | | 1,835 | | | | 1,900,014 | |
3 World Trade Center Project, Class 2,
5.38%, 11/15/40(a) | | | 480 | | | | 507,638 | |
4 World Trade Center Project, 5.00%, 11/15/31 | | | 860 | | | | 923,133 | |
4 World Trade Center Project, 5.00%, 11/15/44 | | | 7,655 | | | | 8,159,312 | |
7 World Trade Center Project, Class 1,
4.00%, 09/15/35 | | | 1,935 | | | | 2,017,837 | |
7 World Trade Center Project, Class 2,
5.00%, 09/15/43 | | | 1,420 | | | | 1,525,236 | |
7 World Trade Center Project, Class 3,
5.00%, 03/15/44 | | | 2,070 | | | | 2,206,558 | |
World Trade Center Project, 5.75%, 11/15/51 | | | 1,340 | | | | 1,468,720 | |
| | | | | | | | |
| | | | | | | 62,502,223 | |
|
| Education — 28.6% | |
Amherst Development Corp., Refunding RB: | | | | | | | | |
Daemen College Project, 5.00%, 10/01/43 | | | 380 | | | | 401,128 | |
Daemen College Project, 5.00%, 10/01/48 | | | 290 | | | | 304,953 | |
University at Buffalo Foundation Faculty-Student Housing Corp., Series A (AGM), 4.63%, 10/01/20(b) | | | 1,100 | | | | 1,153,482 | |
Build NYC Resource Corp., RB, Inwood Academy for Leadership Charter School Project, Series A, 5.13%, 05/01/38(a) | | | 660 | | | | 662,119 | |
Build NYC Resource Corp., Refunding RB, City University New York-Queens College Student Residences, LLC Project, Series A, 5.00%, 06/01/38 | | | 250 | | | | 280,708 | |
City of New York Trust for Cultural Resources, Refunding RB, Series A: | | | | | | | | |
American Museum of Natural History,
5.00%, 07/01/37 | | | 225 | | | | 254,867 | |
Carnegie Hall, 4.75%, 12/01/39 | | | 2,000 | | | | 2,039,760 | |
City of Troy New York Capital Resource Corp., Refunding RB, Rensselaer Polytechnic Institute Project: | | | | | | | | |
Series A, 5.13%, 09/01/40 | | | 3,135 | | | | 3,263,221 | |
Series B, 4.00%, 08/01/35 | | | 470 | | | | 488,010 | |
City of Yonkers New York Industrial Development Agency, RB, Sarah Lawrence College Project, Series A, 6.00%, 06/01/19(b) | | | 625 | | | | 633,837 | |
Counties of Buffalo & Erie New York Industrial Land Development Corp., Refunding RB, The Charter School for Applied Technologies Project, Series A, 5.00%, 06/01/35 | | | 245 | | | | 261,582 | |
County of Cattaraugus New York, RB, St. Bonaventure University Project, 5.00%, 05/01/34 | | | 170 | | | | 183,627 | |
County of Dutchess New York Industrial Development Agency, RB, Bard College Civic Facility, SeriesA-2, 4.50%, 08/01/36 | | | 2,155 | | | | 2,011,261 | |
County of Dutchess New York Local Development Corp., RB, Marist College Project: | | | | | | | | |
5.00%, 07/01/43 | | | 240 | | | | 272,762 | |
5.00%, 07/01/48 | | | 360 | | | | 407,898 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 35 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Education (continued) | |
County of Dutchess New York Local Development Corp., Refunding RB, Vassar College Project: | | | | | | | | |
5.00%, 07/01/42 | | $ | 395 | | | $ | 447,547 | |
4.00%, 07/01/46 | | | 745 | | | | 765,890 | |
County of Monroe New York Industrial Development Corp., RB, University of Rochester Project, Series A, 5.00%, 07/01/21(b) | | | 1,900 | | | | 2,052,456 | |
County of Monroe New York Industrial Development Corp., Refunding RB, University of Rochester Project, Series A, 5.00%, 07/01/23(b) | | | 320 | | | | 365,248 | |
County of Nassau New York Industrial Development Agency, Refunding RB, New York Institute of Technology Project, Series A, 4.75%, 03/01/20(b) | | | 1,165 | | | | 1,201,663 | |
County of Orange New York Funding Corp., Refunding RB, Mount St. Mary College Project, Series A: | | | | | | | | |
5.00%, 07/01/37 | | | 360 | | | | 375,433 | |
5.00%, 07/01/42 | | | 220 | | | | 228,001 | |
County of St. Lawrence New York Industrial Development Agency, RB, Clarkson University Project, 5.38%, 09/01/41 | | | 750 | | | | 800,715 | |
County of Tompkins New York Development Corp., RB, Ithaca College Project (AGM), 5.50%, 01/01/21(b) | | | 700 | | | | 750,001 | |
Geneva Development Corp., Refunding RB, Hobart & William Smith Colleges, 5.25%, 09/01/44 | | | 500 | | | | 558,625 | |
State of New York Dormitory Authority, RB: | | | | | | | | |
Convent of the Sacred Heart (AGM), 5.25%, 11/01/24 | | | 155 | | | | 166,693 | |
Convent of the Sacred Heart (AGM), 5.63%, 11/01/32 | | | 750 | | | | 807,742 | |
Convent of the Sacred Heart (AGM), 5.75%, 11/01/40 | | | 210 | | | | 226,546 | |
New York University Mount Sinai School of Medicine,
5.13%, 07/01/19(b) | | | 2,000 | | | | 2,028,300 | |
New York University, Series 1 (AMBAC),
5.50%, 07/01/40 | | | 1,440 | | | | 1,860,912 | |
New York University, Series B, 5.00%, 07/01/37 | | | 1,250 | | | | 1,366,025 | |
Series B, 5.75%, 03/15/19(b) | | | 600 | | | | 602,874 | |
State University Dormitory Facilities, Series A,
5.00%, 07/01/19(b) | | | 750 | | | | 760,387 | |
State University Dormitory Facilities, Series A,
5.00%, 07/01/41 | | | 2,000 | | | | 2,132,080 | |
State University Of New York Dormitory Facilities,
Series A, 5.00%, 07/01/43 | | | 845 | | | | 966,224 | |
Teachers College, Series B, 5.00%, 07/01/42 | | | 1,225 | | | | 1,323,600 | |
Touro College & University System, Series A,
5.25%, 01/01/34 | | | 800 | | | | 853,784 | |
Touro College & University System, Series A,
5.50%, 01/01/39 | | | 2,000 | | | | 2,139,520 | |
University of Rochester, Series A, 5.13%, 07/01/19(b) | | | 740 | | | | 750,619 | |
University of Rochester, Series A, 5.75%, 07/01/19(b) | | | 565 | | | | 574,537 | |
University of Rochester, Series A, 5.13%, 07/01/39 | | | 110 | | | | 111,438 | |
University of Rochester, Series A, 5.75%, 07/01/39 | | | 85 | | | | 86,379 | |
State of New York Dormitory Authority, Refunding RB: | | | | | | | | |
3rd General Resolution, State University Educational Facilities Issue, Series A, 5.00%, 05/15/29 | | | 2,000 | | | | 2,190,200 | |
Barnard College, Series A, 5.00%, 07/01/33 | | | 530 | | | | 608,673 | |
Brooklyn Law School, 5.75%, 07/01/33 | | | 475 | | | | 481,099 | |
Cornell University, Series A, 5.00%, 07/01/40 | | | 800 | | | | 832,696 | |
Culinary Institute of America, 5.00%, 07/01/42 | | | 300 | | | | 316,206 | |
Fordham University, 5.00%, 07/01/44 | | | 850 | | | | 933,376 | |
Icahn School of Medicine at Mount Sinai, Series A,
5.00%, 07/01/35 | | | 1,380 | | | | 1,547,477 | |
New York University, Series A, 5.00%, 07/01/37 | | | 1,790 | | | | 1,956,148 | |
Rochester Institute of Technology, 5.00%, 07/01/42 | | | 1,790 | | | | 1,928,009 | |
Skidmore College, Series A, 5.00%, 07/01/28 | | | 75 | | | | 80,172 | |
Skidmore College, Series A, 5.25%, 07/01/29 | | | 85 | | | | 91,525 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Education (continued) | |
St. John’s University, Series A, 5.00%, 07/01/37 | | $ | 835 | | | $ | 941,538 | |
State University Dormitory Facilities, Series A,
5.25%, 07/01/30 | | | 2,355 | | | | 2,663,623 | |
State University Dormitory Facilities, Series A,
5.25%, 07/01/32 | | | 445 | | | | 502,516 | |
Teachers College, 5.50%, 03/01/19(b) | | | 450 | | | | 451,337 | |
St. John’s Univerisity, Series A, 5.00%, 07/01/34 | | | 250 | | | | 284,253 | |
Town of Hempstead New York Local Development Corp., Refunding RB: | | | | | | | | |
Adelphi University Project, 5.00%, 10/01/35 | | | 415 | | | | 466,381 | |
Hofstra University Project, 5.00%, 07/01/47 | | | 120 | | | | 134,122 | |
| | | | | | | | |
| | | | | | | 53,331,805 | |
|
| Health — 12.4% | |
County of Dutchess New York Local Development Corp., RB, Health Quest Systems, Inc., Series B, 4.00%, 07/01/41 | | | 1,600 | | | | 1,605,056 | |
County of Dutchess New York Local Development Corp., Refunding RB, Health Quest System, Inc., Series A, 5.75%, 07/01/40 | | | 300 | | | | 317,610 | |
County of Genesee New York Industrial Development Agency, Refunding RB, United Memorial Medical Center Project, 5.00%, 12/01/27 | | | 395 | | | | 395,241 | |
County of Monroe New York Industrial Development Corp., RB, Rochester General Hospital Project: | | | | | | | | |
4.00%, 12/01/41 | | | 200 | | | | 200,658 | |
5.00%, 12/01/46 | | | 320 | | | | 349,616 | |
Series A, 5.00%, 12/01/32 | | | 240 | | | | 260,652 | |
County of Monroe New York Industrial Development Corp., Refunding RB, Unity Hospital of Rochester Project (FHA), 5.50%, 08/15/40 | | | 1,650 | | | | 1,764,691 | |
County of Nassau New York Local Economic Assistance Corp., Refunding RB, Winthrop University Hospital Association Project, 5.00%, 07/01/42 | | | 2,800 | | | | 2,931,908 | |
County of Suffolk New York EDC, RB, Catholic Health Services, Series C, 5.00%, 07/01/32 | | | 230 | | | | 249,690 | |
County of Westchester New York Healthcare Corp., Refunding RB, Senior Lien: | | | | | | | | |
Remarketing, Series A, 5.00%, 11/01/30 | | | 3,130 | | | | 3,294,294 | |
Series B, 6.00%, 11/01/20(b) | | | 435 | | | | 467,029 | |
Series B, 6.00%, 11/01/30 | | | 65 | | | | 69,126 | |
County of Westchester New York Local Development Corp., Refunding RB, Kendal On Hudson Project: | | | | | | | | |
5.00%, 01/01/28 | | | 675 | | | | 716,479 | |
5.00%, 01/01/34 | | | 1,250 | | | | 1,307,663 | |
State of New York Dormitory Authority, RB: | | | | | | | | |
New York State Association for Retarded Children, Inc., Series A, 6.00%, 07/01/19(b) | | | 500 | | | | 508,845 | |
New York State Association for Retarded Children, Inc., Series B (AMBAC), 6.00%, 07/01/19(b) | | | 200 | | | | 203,538 | |
New York University Hospitals Center, Series A,
6.00%, 07/01/20(b) | | | 500 | | | | 530,220 | |
North Shore-Long Island Jewish Obligated Group, Series D, 4.25%, 05/01/39 | | | 500 | | | | 520,095 | |
State of New York Dormitory Authority, Refunding RB: | | | | | | | | |
Miriam Osborn Memorial Home Association,
5.00%, 07/01/29 | | | 290 | | | | 293,274 | |
Mount Sinai Hospital, Series A, 5.00%, 07/01/26 | | | 1,385 | | | | 1,443,184 | |
North Shore-Long Island Jewish Obligated Group, Series A, 5.00%, 05/01/21(b) | | | 1,000 | | | | 1,073,630 | |
North Shore-Long Island Jewish Obligated Group, Series A, 5.00%, 05/01/21(b) | | | 1,750 | | | | 1,878,852 | |
North Shore-Long Island Jewish Obligated Group, Series A, 5.00%, 05/01/43 | | | 1,430 | | | | 1,556,784 | |
| | |
| 36 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Health (continued) | |
North Shore-Long Island Jewish Obligated Group, Series E, 5.50%, 05/01/33 | | $ | 1,100 | | | $ | 1,108,613 | |
| | | | | | | | |
| | | | | | | 23,046,748 | |
|
| Housing — 4.2% | |
City of New York Housing Development Corp., RB, M/F Housing, Fund Grant Program, New York City Housing Authority Program, Series B1: | | | | | | | | |
5.25%, 07/01/32 | | | 1,140 | | | | 1,254,046 | |
5.00%, 07/01/33 | | | 500 | | | | 543,145 | |
City of New York Housing Development Corp., Refunding RB, M/F Housing, 8 Spruce Street, Class F, 4.50%, 02/15/48 | | | 925 | | | | 958,189 | |
County of Onondaga New York Trust for Cultural Resources, Refunding RB, Abby Lane Housing Corporation Project, 5.00%, 05/01/40 | | | 355 | | | | 384,880 | |
State of New York HFA, RB: | | | | | | | | |
Affordable Housing, Series E (SONYMA), 4.15%, 11/01/47 | | | 495 | | | | 502,717 | |
M/F Housing, Highland Avenue Senior Apartments, Series A, AMT (SONYMA), 5.00%, 02/15/39 | | | 1,420 | | | | 1,425,197 | |
Series H, 4.25%, 11/01/51 | | | 1,000 | | | | 1,020,880 | |
State of New York Mortgage Agency, Refunding RB, S/F, Series 213, 4.20%, 10/01/43 | | | 1,785 | | | | 1,833,195 | |
| | | | | | | | |
| | | | | | | 7,922,249 | |
|
| State — 9.7% | |
City of New York Transitional Finance Authority Building Aid Revenue, Refunding RB, SeriesS-3, 4.00%, 07/15/38 | | | 2,360 | | | | 2,483,310 | |
State of New York Dormitory Authority, RB: | | | | | | | | |
General Purpose, Series B, 5.00%, 03/15/42 | | | 4,380 | | | | 4,707,317 | |
General Purpose, Series C, 5.00%, 03/15/34 | | | 2,185 | | | | 2,318,569 | |
Group B, State Sales Tax, Series A, 5.00%, 03/15/39 | | | 620 | | | | 703,440 | |
Series A, 5.00%, 03/15/36 | | | 1,360 | | | | 1,555,826 | |
Series A, 5.00%, 02/15/42 | | | 1,500 | | | | 1,679,400 | |
State of New York Dormitory Authority, Refunding RB: | | | | | | | | |
Group 3, Series E, 5.00%, 03/15/41 | | | 1,160 | | | | 1,333,664 | |
Series A, 5.25%, 03/15/39 | | | 1,030 | | | | 1,212,856 | |
State of New York Urban Development Corp., RB, State Personal Income Tax, Series C: | | | | | | | | |
5.00%, 03/15/30 | | | 885 | | | | 985,996 | |
5.00%, 03/15/32 | | | 1,000 | | | | 1,109,950 | |
| | | | | | | | |
| | | | | | | 18,090,328 | |
|
| Tobacco — 4.4% | |
Counties of New York Tobacco Trust IV, Refunding RB, Settlement Pass-Through Turbo, Series A,
6.25%, 06/01/41(a) | | | 1,000 | | | | 1,022,970 | |
Counties of New York Tobacco Trust VI, Refunding RB: | | | | | | | | |
Settlement Pass-Through Turbo, Series C,
4.00%, 06/01/51 | | | 1,500 | | | | 1,260,705 | |
Tobacco Settlement Pass-Through, SeriesA-2B, 5.00%, 06/01/51 | | | 1,470 | | | | 1,484,259 | |
Tobacco Settlement Pass-Through, Series B,
5.00%, 06/01/45 | | | 130 | | | | 131,983 | |
County of Chautauqua New York Tobacco Asset Securitization Corp., Refunding RB, Asset-Backed, 4.75%, 06/01/39 | | | 150 | | | | 146,549 | |
County of Niagara New York Tobacco Asset Securitization Corp., Refunding RB, Asset-Backed: | | | | | | | | |
5.25%, 05/15/34 | | | 250 | | | | 263,390 | |
5.25%, 05/15/40 | | | 110 | | | | 115,041 | |
TSASC, Inc., Refunding RB, Tobacco Settlement Bonds, Series B: | | | | | | | | |
5.00%, 06/01/45 | | | 1,125 | | | | 1,069,650 | |
Subordinate, 5.00%, 06/01/48 | | | 1,225 | | | | 1,158,103 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Tobacco (continued) | |
Westchester New York Tobacco Asset Securitization, Refunding RB, Tobacco Settlement Bonds,Sub-Series C: | | | | | | | | |
4.00%, 06/01/42 | | $ | 725 | | | $ | 673,931 | |
5.13%, 06/01/51 | | | 870 | | | | 873,149 | |
| | | | | | | | |
| | | | | | | 8,199,730 | |
|
| Transportation — 26.6% | |
Buffalo & Fort Erie Public Bridge Authority, RB, 5.00%, 01/01/47 | | | 535 | | | | 594,299 | |
Metropolitan Transportation Authority, RB: | | | | | | | | |
SeriesA-1, 5.25%, 11/15/23(b) | | | 540 | | | | 628,457 | |
Series D, 5.25%, 11/15/21(b) | | | 220 | | | | 241,811 | |
Series E, 5.00%, 11/15/38 | | | 4,000 | | | | 4,346,200 | |
Metropolitan Transportation Authority, Refunding RB: | | | | | | | | |
Green Bonds, Climate Bond Certified,Sub-SeriesB-2, 4.00%, 11/15/34 | | | 750 | | | | 805,695 | |
Green Bonds, SeriesA-1, 5.25%, 11/15/56 | | | 750 | | | | 826,575 | |
Series D, 5.25%, 11/15/21(b) | | | 780 | | | | 857,329 | |
Series D, 5.25%, 11/15/23(b) | | | 910 | | | | 1,059,067 | |
Series F, 5.00%, 11/15/30 | | | 2,000 | | | | 2,175,460 | |
Series F, 5.00%, 11/15/35 | | | 500 | | | | 556,700 | |
Transportation, Series D, 5.00%, 11/15/20(b) | | | 800 | | | | 847,688 | |
New York Transportation Development Corp., ARB, LaGuardia Airport Terminal B Redevelopment Project, Series A, AMT: | | | | | | | | |
5.00%, 07/01/41 | | | 1,040 | | | | 1,098,375 | |
5.00%, 07/01/46 | | | 5,960 | | | | 6,276,714 | |
5.25%, 01/01/50 | | | 560 | | | | 595,398 | |
(AGM), 4.00%, 07/01/41 | | | 800 | | | | 803,848 | |
New York Transportation Development Corp., Refunding ARB, American Airlines, Inc., AMT, 5.00%, 08/01/31 | | | 2,305 | | | | 2,389,040 | |
Port Authority of New York & New Jersey, ARB, JFK International Air Terminal LLC, Special Project, AMT (NPFGC): | | | | | | | | |
Series 6, 5.75%, 12/01/22 | | | 4,930 | | | | 5,129,172 | |
Series 8, 6.00%, 12/01/42 | | | 1,000 | | | | 1,058,520 | |
Port Authority of New York & New Jersey, Refunding ARB: | | | | | | | | |
178th Series, AMT, 5.00%, 12/01/33 | | | 750 | | | | 831,458 | |
179th Series, 5.00%, 12/01/38 | | | 575 | | | | 644,943 | |
Consolidated, 177th Series, AMT, 4.00%, 01/15/43 | | | 640 | | | | 646,042 | |
Consolidated, 178th Series, AMT, 5.00%, 12/01/43 | | | 500 | | | | 544,825 | |
Consolidated, 195th Series, AMT, 5.00%, 04/01/36 | | | 750 | | | | 841,020 | |
State of New York Thruway Authority, RB, Junior Lien,
Series A, 5.25%, 01/01/56 | | | 920 | | | | 1,015,634 | |
State of New York Thruway Authority, Refunding RB, General: | | | | | | | | |
2nd Highway & Bridge Trust, Series A, 5.00%, 04/01/32 | | | 2,500 | | | | 2,727,575 | |
Series I, 5.00%, 01/01/37 | | | 1,760 | | | | 1,875,509 | |
Series I, 5.00%, 01/01/42 | | | 280 | | | | 297,083 | |
Series J, 5.00%, 01/01/41 | | | 2,000 | | | | 2,192,740 | |
Series K, 5.00%, 01/01/32 | | | 2,575 | | | | 2,921,955 | |
Triborough Bridge & Tunnel Authority, RB: | | | | | | | | |
Series A, 5.00%, 11/15/42 | | | 1,000 | | | | 1,136,210 | |
Series B, 5.00%, 11/15/40 | | | 350 | | | | 397,702 | |
Series B, 5.00%, 11/15/45 | | | 310 | | | | 350,818 | |
Triborough Bridge & Tunnel Authority, Refunding RB: | | | | | | | | |
General, CAB, Series B, 0.00%, 11/15/32(c) | | | 1,700 | | | | 1,063,928 | |
General, Series A, 5.25%, 11/15/45 | | | 590 | | | | 682,624 | |
General, Series A, 5.00%, 11/15/50 | | | 500 | | | | 562,620 | |
Series B, 5.00%, 11/15/38 | | | 515 | | | | 590,818 | |
| | | | | | | | |
| | | | | | | 49,613,852 | |
|
| Utilities — 9.2% | |
City of New York Municipal Water Finance Authority, Refunding RB, Water & Sewer System, 2nd General Resolution, Fiscal 2015, Series HH, 5.00%, 06/15/39 | | | 1,000 | | | | 1,121,820 | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 37 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) (Percentages shown are based on Net Assets) |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| Utilities (continued) | |
City of New York Municipal Water Finance Authority, Refunding RB, Water & Sewer System, 2nd General Resolution, Fiscal 2011, Series BB, 5.00%, 06/15/31 | | $ | 1,000 | | | $ | 1,042,070 | |
Long Island Power Authority, RB: | | | | | | | | |
5.00%, 09/01/38 | | | 2,750 | | | | 3,162,747 | |
General, 5.00%, 09/01/47 | | | 490 | | | | 548,266 | |
General, 5.00%, 09/01/36 | | | 340 | | | | 390,238 | |
General, Electric Systems, Series A (AGM),
5.00%, 05/01/21(b) | | | 500 | | | | 536,815 | |
General, Electric Systems, Series C (CIFG),
5.25%, 09/01/29 | | | 2,000 | | | | 2,426,100 | |
Long Island Power Authority, Refunding RB, Electric System: | | | | | | | | |
Series A, 5.75%, 04/01/19(b) | | | 4,000 | | | | 4,026,480 | |
Series B, 5.00%, 09/01/46 | | | 250 | | | | 277,213 | |
State of New York Environmental Facilities Corp., RB, Subordinated SRF Bonds, Series B, 5.00%, 06/15/48 | | | 930 | | | | 1,067,733 | |
State of New York Environmental Facilities Corp., Refunding RB, Revolving Funds, New York City Municipal Water, Series B, 5.00%, 06/15/36 | | | 350 | | | | 373,447 | |
Utility Debt Securitization Authority, Refunding RB, Restructuring, Series E, 5.00%, 12/15/41 | | | 2,000 | | | | 2,224,680 | |
| | | | | | | | |
| | | | | | | 17,197,609 | |
| | | | | | | | |
| |
Total Municipal Bonds in New York | | | | 248,397,111 | |
| | | | | | | | |
|
| Puerto Rico — 0.5% | |
Children’s Trust Fund, Refunding RB, Tobacco Settlement Asset-Backed Bonds, 5.63%, 05/15/43 | | | 985 | | | | 996,002 | |
| | | | | | | | |
| |
Total Municipal Bonds — 133.6%
(Cost — $238,911,525) | | | | 249,393,113 | |
| | | | | | | | |
|
Municipal Bonds Transferred to Tender Option Bond Trusts(d) | |
|
New York — 35.1% | |
|
| County/City/Special District/School District — 7.9% | |
City of New York, GO: | | | | | | | | |
Series D, 5.00%, 12/01/43(e) | | | 2,850 | | | | 3,260,884 | |
Sub-SeriesG-1, 5.00%, 04/01/29 | | | 4,370 | | | | 4,767,714 | |
Sub-SeriesI-1, 5.00%, 03/01/36 | | | 1,500 | | | | 1,677,172 | |
City of New York Transitional Finance Authority, RB, Future Tax Secured,Sub-SeriesD-1, 5.00%, 11/01/38 | | | 825 | | | | 882,684 | |
Hudson Yards Infrastructure Corp., RB, Senior-Fiscal 2012(e): | | | | | | | | |
5.75%, 02/15/21(b) | | | 774 | | | | 833,703 | |
5.75%, 02/15/47 | | | 476 | | | | 512,869 | |
New York Liberty Development Corp., Refunding RB, 7 World Trade Center Project, Class 1, 5.00%, 09/15/40 | | | 2,610 | | | | 2,825,551 | |
| | | | | | | | |
| | | | | | | 14,760,577 | |
|
| Education — 2.1% | |
City of New York Trust for Cultural Resources, Refunding RB, Wildlife Conservation Society, Series A, 5.00%, 08/01/33 | | | 3,527 | | | | 3,928,138 | |
| | | | | | | | |
|
| Housing — 1.6% | |
City of New York Housing Development Corp., Refunding RB, Sustainable Neighborhood Bonds, Series A, 4.25%, 11/01/43 | | | 2,830 | | | | 2,919,867 | |
| | | | | | | | |
|
| State — 4.2% | |
City of New York Transitional Finance Authority, RB, Future Tax Secured,Sub-SeriesF-1, 5.00%, 05/01/38 | | | 1,420 | | | | 1,621,841 | |
Sales Tax Asset Receivable Corp., Refunding RB, Fiscal 2015, Series A: | | | | | | | | |
5.00%, 10/15/31 | | | 750 | | | | 858,398 | |
4.00%, 10/15/32 | | | 1,000 | | | | 1,084,060 | |
| | | | | | | | |
| Security | | Par
(000) | | | Value | |
|
| State (continued) | |
State of New York Dormitory Authority, RB, General Purpose, Series C, 5.00%, 03/15/41 | | $ | 1,500 | | | $ | 1,586,887 | |
State of New York Dormitory Authority, Refunding RB, Bid Group 4, Series C, 5.00%, 03/15/39 | | | 1,000 | | | | 1,148,030 | |
State of New York Urban Development Corp., RB, State Personal Income Tax, Series A, 4.00%, 03/15/47 | | | 1,497 | | | | 1,542,611 | |
| | | | | | | | |
| | | | | | | 7,841,827 | |
|
| Transportation — 8.3% | |
New York Liberty Development Corp., ARB, 1 World Trade Center Port Authority Consolidated Bonds,
5.25%, 12/15/43 | | | 6,495 | | | | 7,050,747 | |
Port Authority of New York & New Jersey, Refunding ARB: | | | | | | | | |
194th Series, 5.25%, 10/15/55 | | | 1,455 | | | | 1,659,340 | |
Consolidated, 210th Series, 5.00%, 09/01/48 | | | 1,900 | | | | 2,169,990 | |
Consolidated, Series 169th, 5.00%, 10/15/26 | | | 1,500 | | | | 1,608,037 | |
State of New York Thruway Authority, Refunding RB, Transportation, Personal Income Tax, Series A, 5.00%, 03/15/31 | | | 1,180 | | | | 1,267,963 | |
Triborough Bridge & Tunnel Authority, Refunding RB, General, Series A, 5.00%, 11/15/46 | | | 1,500 | | | | 1,679,220 | |
| | | | | | | | |
| | | | | | | 15,435,297 | |
|
| Utilities — 11.0% | |
City of New York Municipal Water Finance Authority, Refunding RB, Water & Sewer System, 2nd General Resolution: | | | | | | | | |
Fiscal 2011, Series HH, 5.00%, 06/15/32 | | | 5,310 | | | | 5,673,275 | |
Fiscal 2012, Series BB, 5.00%, 06/15/44 | | | 3,511 | | | | 3,768,560 | |
City of New York Municipal Water Finance Authority, Refunding RB, Water & Sewer System, 2nd General Resolution, SeriesFF-2, 5.50%, 06/15/40 | | | 810 | | | | 820,854 | |
Utility Debt Securitization Authority, Refunding RB: | | | | | | | | |
5.00%, 12/15/41 | | | 6,868 | | | | 7,631,482 | |
Restructuring, Series A, 5.00%, 12/15/35 | | | 2,000 | | | | 2,303,650 | |
Restructuring, Series B, 4.00%, 12/15/35 | | | 370 | | | | 392,355 | |
| | | | | | | | |
| | | | | | | 20,590,176 | |
| | | | | | | | |
| |
Total Municipal Bonds Transferred to Tender Option
Bond Trusts — 35.1%
(Cost — $62,839,000) | | | | 65,475,882 | |
| | | | | |
| |
Total Long-Term Investments — 168.7%
(Cost — $301,750,525) | | | | 314,868,995 | |
| | | | | | | | |
| | |
| | | Shares | | | | |
|
Short-Term Securities — 0.7% | |
BlackRock Liquidity Funds New York Money Fund Portfolio, 1.13%(f)(g) | | | 1,332,918 | | | | 1,332,918 | |
| | | | | | | | |
| |
Total Short-Term Securities — 0.7%
(Cost — $1,332,918) | | | | 1,332,918 | |
| | | | | | | | |
| |
Total Investments — 169.4%
(Cost — $303,083,443) | | | | 316,201,913 | |
| |
Other Assets Less Liabilities — 0.6% | | | | 1,168,906 | |
| |
Liability for TOB Trust Certificates, Including Interest Expense and
Fees Payable — (19.4)% | | | | (36,186,468 | ) |
| |
VMTP Shares, at Liquidation Value, Net of Deferred Offering Costs — (50.6)% | | | | (94,500,000 | ) |
| | | | | | | | |
| |
Net Assets Applicable to Common Shares — 100.0% | | | $ | 186,684,351 | |
| | | | | | | | |
| (a) | 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. |
| | |
| 38 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) |
| (b) | U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par. |
| (d) | Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Trust. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details. |
| (e) | All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Trust could ultimately be required to pay under the agreement, which expires between February 15, 2019 to December 1, 2026 is $2,160,162. See Note 4 of the Notes to Financial Statements for details. |
| (f) | Annualized7-day yield as of period end. |
| (g) | During the period ended January 31, 2019, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Affiliate | | Shares
Held at
07/31/18 | | | Net
Activity | | | Shares
Held at
01/31/19 | | | Value at
01/31/19 | | | Income | | | Net
Realized
Gain (Loss) (a) | | | Change in
Unrealized
Appreciation
(Depreciation) | |
BlackRock Liquidity Funds New York Money Fund Portfolio | | | — | | | | 1,332,918 | | | | 1,332,918 | | | $ | 1,332,918 | | | $ | 3,134 | | | $ | — | | | $ | — | |
BlackRock Liquidity Funds, MuniCash, Institutional Class | | | 2,136,343 | | | | (2,136,343 | ) | | | — | | | | — | | | | 5,172 | | | | 45 | | | | (259 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | $ | 1,332,918 | | | $ | 8,306 | | | $ | 45 | | | $ | (259 | ) |
| | | | | | | | | | | | | | | | | |
| | (a) | Includes net capital gain distributions, if applicable. | |
For Trust compliance purposes, the Trust’s sector classifications refer to one or more of the sectorsub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sectorsub-classifications for reporting ease.
Derivative Financial Instruments Outstanding as of Period End
Futures Contracts
| | | | | | | | | | | | | | | | |
| Description | | Number of
Contracts | | | Expiration
Date | | | Notional
Amount (000) | | | Value/
Unrealized
Appreciation
(Depreciation) | |
Short Contracts: | | | | | | | | | | | | | | | | |
10-Year U.S. Treasury Note | | | 38 | | | | 03/20/19 | | | $ | 4,654 | | | $ | (99,735 | ) |
Long U.S. Treasury Bond | | | 61 | | | | 03/20/19 | | | | 8,948 | | | | (449,837 | ) |
5-Year U.S. Treasury Note | | | 37 | | | | 03/29/19 | | | | 4,250 | | | | (70,969 | ) |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | $ | (620,541 | ) |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments Categorized by Risk Exposure
As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange
Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Liabilities — Derivative Financial Instruments | |
Futures contracts | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized depreciation(a) | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 620,541 | | | $ | — | | | $ | 620,541 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (a) | Includes cumulative depreciation on futures contracts if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities. | |
For the six months ended January 31, 2019, the effect of derivative financial instruments in the Statements of Operations was as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Commodity
Contracts | | | Credit
Contracts | | | Equity
Contracts | | | Foreign
Currency
Exchange
Contracts | | | Interest
Rate
Contracts | | | Other
Contracts | | | Total | |
Net Realized Gain (Loss) from: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | 103,595 | | | $ | — | | | $ | 103,595 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net Change in Unrealized Appreciation (Depreciation) on: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Futures contracts | | $ | — | | | $ | — | | | $ | — | | | $ | — | | | $ | (601,681 | ) | | $ | — | | | $ | (601,681 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | |
| SCHEDULES OF INVESTMENTS | | | 39 | |
| | |
Schedule of Investments (unaudited) (continued) January 31, 2019 | | BlackRock New York Municipal Income Trust (BNY) |
Average Quarterly Balances of Outstanding Derivative Financial Instruments
| | | | |
Futures contracts: | |
Average notional value of contracts — short | | $ | 13,642,844 | |
For more information about the Trust’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.
Fair Value Hierarchy as of Period End
Various inputs are used in determining the fair value of investments and derivative financial instruments. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Notes to Financial Statements.
The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Assets: | |
Investments: | |
Long-Term Investments(a) | | $ | — | | | $ | 314,868,995 | | | $ | — | | | $ | 314,868,995 | |
Short-Term Securities | | | 1,332,918 | | | | — | | | | — | | | | 1,332,918 | |
| | | | | | | | | | | | | | | | |
| | $ | 1,332,918 | | | $ | 314,868,995 | | | $ | | | | $ | 316,201,913 | |
| | | | | | | | | | | | | | | | |
Derivative Financial Instruments(b) | |
Liabilities: | |
Interest rate contracts | | $ | (620,541 | ) | | $ | — | | | $ | — | | | $ | (620,541 | ) |
| | | | | | | | | | | | | | | | |
| | (a) | See above Schedule of Investments for values in each state or political subdivision. | |
| | (b) | Derivative financial instruments are futures contracts which are valued at the unrealized appreciation (depreciation) on the instrument. | |
The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Liabilities: | |
TOB Trust Certificates | | $ | — | | | $ | (36,057,166 | ) | | $ | — | | | $ | (36,057,166 | ) |
VMTP Shares at Liquidation Value | | | — | | | | (94,500,000 | ) | | | — | | | | (94,500,000 | ) |
| | | | | | | | | | | | | | | | |
| | $ | — | | | $ | (130,557,166 | ) | | $ | — | | | $ | (130,557,166 | ) |
| | | | | | | | | | | | | | | | |
During the period ended January 31, 2019, there were no transfers between levels.
See notes to financial statements.
| | |
| 40 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Statements of Assets and Liabilities (unaudited)
January 31, 2019
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
| | | | |
ASSETS | | | | | | | | | | | | | | | | |
Investments at value — unaffiliated(a) | | $ | 786,044,901 | | | $ | 2,637,453,273 | | | $ | 232,778,047 | | | $ | 314,868,995 | |
Investments at value — affiliated(b) | | | — | | | | — | | | | 343,563 | | | | 1,332,918 | |
Cash pledged for futures contracts | | | 699,000 | | | | — | | | | 127,850 | | | | 229,250 | |
Receivables: | | | | | | | | | | | | | | | | |
Interest — unaffiliated | | | 10,909,962 | | | | 26,059,375 | | | | 2,798,286 | | | | 3,286,918 | |
Investments sold | | | 314,678 | | | | 41,993,799 | | | | 425,466 | | | | 20,000 | |
Dividends — affiliated | | | 864 | | | | 12,292 | | | | 331 | | | | 727 | |
TOB Trust | | | — | | | | — | | | | 1,570,000 | | | | 1,415,000 | |
Prepaid expenses | | | 6,036 | | | | 12,320 | | | | 4,275 | | | | 4,598 | |
| | | | | | | | | | | | | | | | |
Total assets | | | 797,975,441 | | | | 2,705,531,059 | | | | 238,047,818 | | | | 321,158,406 | |
| | | | | | | | | | | | | | | | |
| | | | |
ACCRUED LIABILITIES | | | | | | | | | | | | | | | | |
Bank overdraft | | | 803,012 | | | | 1,583,557 | | | | — | | | | — | |
Payables: | | | | | | | | | | | | | | | | |
Investments purchased | | | 1,674,165 | | | | — | | | | 2,716,536 | | | | 2,830,000 | |
Income dividend distributions | | | 1,419,678 | | | | 4,399,548 | | | | 593,199 | | | | 577,435 | |
Interest expense and fees | | | 825,039 | | | | 1,242,122 | | | | 205,221 | | | | 129,302 | |
Investment advisory fees | | | 390,150 | | | | 912,534 | | | | 113,152 | | | | 160,541 | |
Variation margin on futures contracts | | | 273,547 | | | | — | | | | 49,200 | | | | 88,930 | |
Directors’ and Officer’s fees | | | 82,767 | | | | 21,847 | | | | 31,195 | | | | 33,968 | |
Other accrued expenses | | | 107,454 | | | | 335,667 | | | | 78,076 | | | | 96,713 | |
| | | | | | | | | | | | | | | | |
Total accrued liabilities | | | 5,575,812 | | | | 8,495,275 | | | | 3,786,579 | | | | 3,916,889 | |
| | | | | | | | | | | | | | | | |
| | |
OTHER LIABILITIES | | | | | | | | |
TOB Trust Certificates | | | 162,130,035 | | | | 261,819,915 | | | | 43,928,144 | | | | 36,057,166 | |
RVMTP Shares, at liquidation value of $5,000,000 per share, net of deferred offering costs(c) | | | — | | | | 749,627,142 | | | | — | | | | — | |
VMTP Shares, at liquidation value of $100,000 per share(c) | | | 171,300,000 | | | | — | | | | — | | | | 94,500,000 | |
VRDP Shares, at liquidation value of $100,000 per share, net of deferred offering costs(c) | | | — | | | | | | | | 51,715,976 | | | | — | |
| | | | | | | | | | | | | | | | |
Total other liabilities | | | 333,430,035 | | | | 1,011,447,057 | | | | 95,644,120 | | | | 130,557,166 | |
| | | | | | | | | | | | | | | | |
Total liabilities | | | 339,005,847 | | | | 1,019,942,332 | | | | 99,430,699 | | | | 134,474,055 | |
| | | | | | | | | | | | | | | | |
| | | | |
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS | | $ | 458,969,594 | | | $ | 1,685,588,727 | | | $ | 138,617,119 | | | $ | 186,684,351 | |
| | | | | | | | | | | | | | | | |
| | | | |
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS CONSIST OF | | | | | | | | | | | | | | | | |
Paid-in capital(d) | | $ | 446,985,849 | | | $ | 1,671,158,205 | | | $ | 134,902,792 | | | $ | 180,169,188 | |
Accumulated earnings | | | 11,983,745 | | | | 14,430,522 | | | | 3,714,327 | | | | 6,515,163 | |
| | | | | | | | | | | | | | | | |
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS | | $ | 458,969,594 | | | $ | 1,685,588,727 | | | $ | 138,617,119 | | | $ | 186,684,351 | |
| | | | | | | | | | | | | | | | |
| | | | |
Net asset value per Common share | | $ | 14.39 | | | $ | 23.91 | | | $ | 13.55 | | | $ | 14.39 | |
| | | | | | | | | | | | | | | | |
| | | | |
(a) Investments at cost — unaffiliated | | $ | 770,613,546 | | | $ | 2,591,776,719 | | | $ | 225,025,056 | | | $ | 301,750,525 | |
(b) Investments at cost — affiliated | | $ | — | | | $ | — | | | $ | 343,563 | | | $ | 1,332,918 | |
(c) Preferred Shares outstanding, unlimited number of shares authorized, par value $0.001 per share | | | 1,713 | | | | 150 | | | | 520 | | | | 945 | |
(d) Common Shares outstanding, unlimited number of shares authorized, par value $0.001 per share | | | 31,902,885 | | | | 70,505,571 | | | | 10,227,565 | | | | 12,976,074 | |
See notes to financial statements.
Statements of Operations (unaudited)
Six Months Ended January 31, 2019
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
| | | | |
INVESTMENT INCOME | | | | | | | | | | | | | | | | |
Interest — unaffiliated | | $ | 15,006,013 | | | $ | 44,882,142 | | | $ | 5,560,403 | | | $ | 6,299,962 | |
Dividends — affiliated | | | 16,672 | | | | 110,411 | | | | 4,988 | | | | 8,306 | |
| | | | | | | | | | | | | | | | |
Total investment income | | | 15,022,685 | | | | 44,992,553 | | | | 5,565,391 | | | | 6,308,268 | |
| | | | | | | | | | | | | | | | |
| | | | |
EXPENSES | | | | | | | | | | | | | | | | |
Investment advisory | | | 2,320,432 | | | | 5,368,044 | | | | 680,739 | | | | 947,015 | |
Professional | | | 50,558 | | | | 105,688 | | | | 35,203 | | | | 31,841 | |
Accounting services | | | 23,509 | | | | 121,642 | | | | 21,599 | | | | 27,434 | |
Directors and Officer | | | 21,945 | | | | 80,437 | | | | 2,967 | | | | 8,749 | |
Transfer agent | | | 18,455 | | | | 39,240 | | | | 13,192 | | | | 11,726 | |
Custodian | | | 10,186 | | | | 14,559 | | | | 4,110 | | | | 2,756 | |
Registration | | | 6,249 | | | | 13,810 | | | | 4,803 | | | | 4,807 | |
Printing | | | 4,306 | | | | 8,291 | | | | 3,194 | | | | 3,534 | |
Rating agency | | | 21,764 | | | | 21,943 | | | | 21,727 | | | | 21,740 | |
Miscellaneous | | | 12,611 | | | | 55,168 | | | | 6,904 | | | | 9,360 | |
| | | | | | | | | | | | | | | | |
Total expenses excluding interest expense, fees and amortization of offering costs | | | 2,490,015 | | | | 5,828,822 | | | | 794,438 | | | | 1,068,962 | |
Interest expense, fees and amortization of offering costs(a) | | | 3,819,317 | | | | 11,470,488 | | | | 1,147,007 | | | | 1,501,835 | |
| | | | | | | | | | | | | | | | |
Total expenses | | | 6,309,332 | | | | 17,299,310 | | | | 1,941,445 | | | | 2,570,797 | |
Less fees waived and/or reimbursed by the Manager | | | (478 | ) | | | (7,544 | ) | | | (317 | ) | | | (354 | ) |
| | | | | | | | | | | | | | | | |
Total expenses after fees waived and/or reimbursed | | | 6,308,854 | | | | 17,291,766 | | | | 1,941,128 | | | | 2,570,443 | |
| | | | | | | | | | | | | | | | |
Net investment income | | | 8,713,831 | | | | 27,700,787 | | | | 3,624,263 | | | | 3,737,825 | |
| | | | | | | | | | | | | | | | |
| | | | |
REALIZED AND UNREALIZED GAIN (LOSS) | | | | | | | | | | | | | | | | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments — unaffiliated | | | (1,548,073 | ) | | | (1,520,394 | ) | | | 222,564 | | | | (906,302 | ) |
Investments — affiliated | | | (9 | ) | | | 2,602 | | | | 66 | | | | 45 | |
Futures contracts | | | 139,038 | | | | — | | | | 39,470 | | | | 103,595 | |
Capital gain distributions from investment companies — affiliated | | | — | | | | 5 | | | | 12 | | | | — | |
| | | | | | | | | | | | | | | | |
| | | (1,409,044 | ) | | | (1,517,787 | ) | | | 262,112 | | | | (802,662 | ) |
| | | | | | | | | | | | | | | | |
Net change in unrealized appreciation (depreciation) on: | | | | | | | | | | | | | | | | |
Investments — unaffiliated | | | (5,054,823 | ) | | | 20,608,093 | | | | (3,095,149 | ) | | | (625,628 | ) |
Investments — affiliated | | | (610 | ) | | | (2,680 | ) | | | — | | | | (259 | ) |
Futures contracts | | | (1,504,938 | ) | | | — | | | | (339,127 | ) | | | (601,681 | ) |
| | | | | | | | | | | | | | | | |
| | | (6,560,371 | ) | | | 20,605,413 | | | | (3,434,276 | ) | | | (1,227,568 | ) |
| | | | | | | | | | | | | | | | |
Net realized and unrealized gain (loss) | | | (7,969,415 | ) | | | 19,087,626 | | | | (3,172,164 | ) | | | (2,030,230 | ) |
| | | | | | | | | | | | | | | | |
NET INCREASE IN NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS RESULTING FROM OPERATIONS | | $ | 744,416 | | | $ | 46,788,413 | | | $ | 452,099 | | | $ | 1,707,595 | |
| | | | | | | | | | | | | | | | |
| (a) | Related to TOB Trusts, VMTP Shares, RVMTP Shares and/or VRDP Shares. |
See notes to financial statements.
| | |
| 42 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Statements of Changes in Net Assets
| | | | | | | | | | | | | | | | | | | | |
| | | BFZ | | | | | | BTT | |
| | | Six Months Ended
01/31/19
(unaudited) | | | Year Ended
07/31/18 | | | | | | Six Months Ended
01/31/19
(unaudited) | | | Year Ended
07/31/2018 | |
| | | | | |
INCREASE (DECREASE) IN NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS | | | | | | | | | | | | | | | | | | | | |
| | | | | |
OPERATIONS | | | | | | | | | | | | | | | | | | | | |
Net investment income | | $ | 8,713,831 | | | $ | 20,790,086 | | | | | | | $ | 27,700,787 | | | $ | 59,750,624 | |
Net realized gain (loss) | | | (1,409,044 | ) | | | 7,053,535 | | | | | | | | (1,517,787 | ) | | | 5,215,938 | |
Net change in unrealized appreciation (depreciation) | | | (6,560,371 | ) | | | (23,389,382 | ) | | | | | | | 20,605,413 | | | | (19,498,300 | ) |
| | | | | | | | | | | | | | | | | | | | |
Net increase in net assets applicable to Common Shareholders resulting from operations | | | 744,416 | | | | 4,454,239 | | | | | | | | 46,788,413 | | | | 45,468,262 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
DISTRIBUTIONS TO COMMON SHAREHOLDERS(a)(b) | | | | | | | | | | | | | | | | | | | | |
Decrease in net assets resulting from distributions to shareholders | | | (14,182,045 | ) | | | (21,374,933 | ) | | | | | | | (26,397,286 | ) | | | (60,111,851 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS(b) | | | | | | | | | | | | | | | | | | | | |
Total increase (decrease) in net assets applicable to Common Shareholders | | | (13,437,629 | ) | | | (16,920,694 | ) | | | | | | | 20,391,127 | | | | (14,643,589 | ) |
Beginning of period | | | 472,407,223 | | | | 489,327,917 | | | | | | | | 1,665,197,600 | | | | 1,679,841,189 | |
| | | | | | | | | | | | | | | | | | | | |
End of period | | $ | 458,969,594 | | | $ | 472,407,223 | | | | | | | $ | 1,685,588,727 | | | $ | 1,665,197,600 | |
| | | | | | | | | | | | | | | | | | | | |
| (a) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (b) | Prior year distribution character information and undistributed net investment income has been modified or removed to conform with current year Regulation S-X presentation changes. Refer to Note 11 for this prior year information. |
See notes to financial statements.
Statements of Changes in Net Assets (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | BBF | | | | | | BNY | |
| | | Six Months Ended
01/31/19
(unaudited) | | | Year Ended
07/31/18 | | | | | | Six Months Ended
01/31/19
(unaudited) | | | Year Ended
07/31/18 | |
| | | | | |
INCREASE (DECREASE) IN NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS | | | | | | | | | | | | | | | | | | | | |
| | | | | |
OPERATIONS | | | | | | | | | | | | | | | | | | | | |
Net investment income | | $ | 3,624,263 | | | $ | 8,136,606 | | | | | | | $ | 3,737,825 | | | $ | 7,786,646 | |
Net realized gain (loss) | | | 262,112 | | | | 1,259,032 | | | | | | | | (802,662 | ) | | | 832,277 | |
Net change in unrealized appreciation (depreciation) | | | (3,434,276 | ) | | | (7,344,232 | ) | | | | | | | (1,227,568 | ) | | | (7,072,798 | ) |
| | | | | | | | | | | | | | | | | | | | |
Net increase in net assets applicable to Common Shareholders resulting from operations | | | 452,099 | | | | 2,051,406 | | | | | | | | 1,707,595 | | | | 1,546,125 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
DISTRIBUTIONS TO COMMON SHAREHOLDERS(a)(b) | | | | | | | | | | | | | | | | | | | | |
Decrease in net assets resulting from distributions to shareholders | | | (3,661,395 | ) | | | (8,338,505 | ) | | | | | | | (3,475,356 | ) | | | (8,310,969 | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
CAPITAL SHARE TRANSACTIONS | | | | | | | | | | | | | | | | | | | | |
Reinvestment of common distributions | | | 18,055 | | | | 105,235 | | | | | | | | — | | | | 188,434 | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS(b) | | | | | | | | | | | | | | | | | | | | |
Total decrease in net assets applicable to Common Shareholders | | | (3,191,241 | ) | | | (6,181,864 | ) | | | | | | | (1,767,761 | ) | | | (6,576,410 | ) |
Beginning of period | | | 141,808,360 | | | | 147,990,224 | | | | | | | | 188,452,112 | | | | 195,028,522 | |
| | | | | | | | | | | | | | | | | | | | |
End of period | | $ | 138,617,119 | | | $ | 141,808,360 | | | | | | | $ | 186,684,351 | | | $ | 188,452,112 | |
| | | | | | | | | | | | | | | | | | | | |
| (a) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (b) | Prior year distribution character information and undistributed net investment income has been modified or removed to conform with current year Regulation S-X presentation changes. Refer to Note 11 for this prior year information. |
See notes to financial statements.
| | |
| 44 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Statements of Cash Flows (unaudited)
Six Months Ended January 31, 2019
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
| |
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | | | | |
Net increase in net assets resulting from operations | | $ | 744,416 | | | $ | 46,788,413 | | | $ | 452,099 | | | $ | 1,707,595 | |
Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by (used for) operating activities: | | | | | | | | | | | | | | | | |
Proceeds from sales of long-term investments and principal paydowns | | | 183,576,006 | | | | 301,405,225 | | | | 45,840,448 | | | | 48,284,497 | |
Purchases of long-term investments | | | (191,774,286 | ) | | | (338,653,119 | ) | | | (39,396,190 | ) | | | (52,410,500 | ) |
Net proceeds from sales of short-term securities | | | 6,191,208 | | | | 26,803,616 | | | | 226,497 | | | | 803,638 | |
Amortization of premium and accretion of discount on investments and other fees | | | 3,791,411 | | | | 8,467,791 | | | | 367,971 | | | | 928,198 | |
Net realized gain (loss) on investments | | | 1,548,082 | | | | 1,517,792 | | | | (222,630 | ) | | | 906,257 | |
Net unrealized (appreciation) depreciation on investments | | | 5,055,433 | | | | (20,605,413 | ) | | | 3,095,149 | | | | 625,887 | |
| | | | |
(Increase) Decrease in Assets: | | | | | | | | | | | | | | | | |
Receivables: | | | | | | | | | | | | | | | | |
Interest — unaffiliated | | | (410,186 | ) | | | 69,386 | | | | 129,028 | | | | 13,251 | |
Dividends — affiliated | | | 2,991 | | | | 19,360 | | | | 351 | | | | 645 | |
Variation margin on futures contracts | | | 202 | | | | — | | | | 54 | | | | 50 | |
Prepaid expenses | | | 15,232 | | | | 28,077 | | | | 12,197 | | | | 12,382 | |
| | | | |
Increase (Decrease) in Liabilities: | | | | | | | | | | | | | | | | |
Payables: | | | | | | | | | | | | | | | | |
Investment advisory fees | | | (4,895 | ) | | | 4,898 | | | | (4,631 | ) | | | 353 | |
Interest expense and fees | | | 187,036 | | | | 231,411 | | | | 19,922 | | | | 33,255 | |
Directors’ and Officer’s | | | 1,000 | | | | 6,302 | | | | (3,606 | ) | | | 114 | |
Variation margin on futures contracts | | | 240,379 | | | | — | | | | 44,038 | | | | 76,093 | |
Other accrued expenses | | | (53,807 | ) | | | (180,088 | ) | | | (38,977 | ) | | | (31,445 | ) |
| | | | | | | | | | | | | | | | |
Net cash provided by (used for) operating activities | | | 9,110,222 | | | | 25,903,651 | | | | 10,521,720 | | | | 950,270 | |
| | | | | | | | | | | | | | | | |
| | | | |
CASH PROVIDED BY (USED FOR) FINANCING ACTIVITIES | | | | | | | | | | | | | | | | |
Proceeds from TOB Trust Certificates | | | 13,502,987 | | | | — | | | | 1,606,342 | | | | 3,872,006 | |
Repayments of TOB Trust Certificates | | | (8,498,820 | ) | | | — | | | | (8,291,014 | ) | | | (1,094,863 | ) |
Proceeds from Loan for TOB Trust Certificates | | | 8,498,820 | | | | — | | | | — | | | | — | |
Repayments of Loan for TOB Trust Certificates | | | (8,498,820 | ) | | | — | | | | — | | | | — | |
Cash dividends paid to Common Shareholders | | | (14,261,802 | ) | | | (26,397,286 | ) | | | (3,668,830 | ) | | | (3,475,356 | ) |
Increase (decrease) in bank overdraft | | | 537,413 | | | | 477,872 | | | | (91,298 | ) | | | (148,057 | ) |
Amortization of deferred offering costs | | | — | | | | 15,763 | | | | 3,080 | | | | — | |
| | | | | | | | | | | | | | | | |
Net cash (provided by) used for financing activities | | | (8,720,222 | ) | | | (25,903,651 | ) | | | (10,441,720 | ) | | | (846,270 | ) |
| | | | | | | | | | | | | | | | |
| | | | |
CASH | | | | | | | | | | | | | | | | |
Net increase (decrease) in restricted and unrestricted cash and foreign currency | | | 390,000 | | | | — | | | | 80,000 | | | | 104,000 | |
Restricted and unrestricted cash and foreign currency at beginning of period | | | 309,000 | | | | — | | | | 47,850 | | | | 125,250 | |
| | | | | | | | | | | | | | | | |
Restricted and unrestricted cash and foreign currency at end of period | | $ | 699,000 | | | $ | — | | | $ | 127,850 | | | $ | 229,250 | |
| | | | | | | | | | | | | | | | |
| | | | |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | | | | | | | | | | | | | | | | |
Cash paid during the period for interest expense | | $ | 3,632,281 | | | $ | 11,223,314 | | | $ | 1,124,005 | | | $ | 1,468,580 | |
| | | | | | | | | | | | | | | | |
| | | | |
NON-CASH FINANCING ACTIVITIES | | | | | | | | | | | | | | | | |
Capital shares issued in reinvestment of distributions paid to Common Shareholders | | | — | | | | — | | | | 18,055 | | | | — | |
| | | | | | | | | | | | | | | | |
| | | | |
RECONCILIATION OF RESTRICTED AND UNRESTRICTED CASH AT THE END OF PERIOD TO THE STATEMENTS OF ASSETS AND LIABILITIES | | | | | | | | | | | | | | | | |
Cash pledged: | | | | | | | | | | | | | | | | |
Futures contracts | | $ | 699,000 | | | | — | | | $ | 127,850 | | | $ | 229,250 | |
| | | | | | | | | | | | | | | | |
| | | | |
RECONCILIATION OF RESTRICTED AND UNRESTRICTED CASH AT THE BEGINNING OF PERIOD TO THE STATEMENTS OF ASSETS AND LIABILITIES | | | | | | | | | | | | | | | | |
Cash pledged: | | | | | | | | | | | | | | | | |
Futures contracts | | $ | 309,000 | | | | — | | | $ | 47,850 | | | $ | 125,250 | |
| | | | | | | | | | | | | | | | |
See notes to financial statements.
Financial Highlights
(For a share outstanding throughout each period)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | BFZ | |
| | | Six Months Ended
01/31/19
(unaudited) | | | | | | Year Ended July 31, | |
| | | 2018 | | | 2017 | | | 2016 | | | 2015 | | | 2014 | |
| | | | | | | | |
Net asset value, beginning of period | | $ | 14.81 | | | | | | | $ | 15.34 | | | $ | 16.35 | | | $ | 15.84 | | | $ | 15.83 | | | $ | 14.50 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | 0.27 | | | | | | | | 0.65 | | | | 0.73 | | | | 0.83 | | | | 0.83 | | | | 0.87 | |
Net realized and unrealized gain (loss) | | | (0.25 | ) | | | | | | | (0.51 | ) | | | (0.97 | ) | | | 0.54 | | | | 0.05 | | | | 1.39 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net increase (decrease) from investment operations | | | 0.02 | | | | | | | | 0.14 | | | | (0.24 | ) | | | 1.37 | | | | 0.88 | | | | 2.26 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
| Distributions to Common Shareholders(b) | | | | | | | | | | | | | | | | | | | | | |
From net investment income | | | (0.28 | ) | | | | | | | (0.67 | ) | | | (0.77 | ) | | | (0.86 | ) | | | (0.87 | ) | | | (0.93 | ) |
From net realized gain | | | (0.16 | ) | | | | | | | — | | | | — | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total distributions | | | (0.44 | ) | | | | | | | (0.67 | ) | | | (0.77 | ) | | | (0.86 | ) | | | (0.87 | ) | | | (0.93 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Net asset value, end of period | | $ | 14.39 | | | | | | | $ | 14.81 | | | $ | 15.34 | | | $ | 16.35 | | | $ | 15.84 | | | $ | 15.83 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Market price, end of period | | $ | 12.46 | | | | | | | $ | 12.75 | | | $ | 14.71 | | | $ | 16.76 | | | $ | 14.65 | | | $ | 14.41 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Total Return Applicable to Common Shareholders(c) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on net asset value | | | 0.70 | %(d) | | | | | | | 1.41 | % | | | (1.22 | )% | | | 8.92 | % | | | 5.96 | % | | | 16.48 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on market price | | | 1.29 | %(d) | | | | | | | (8.95 | )% | | | (7.59 | )% | | | 20.72 | % | | | 7.66 | % | | | 12.80 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Ratios to Average Net Assets Applicable to Common Shareholders | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses | | | 2.71 | %(e) | | | | | | | 2.41 | % | | | 2.14 | % | | | 1.68 | % | | | 1.53 | % | | | 1.59 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly | | | 2.71 | %(e) | | | | | | | 2.41 | % | | | 2.14 | % | | | 1.68 | % | | | 1.53 | % | | | 1.59 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly and excluding interest expense, fees and amortization of offering costs(f) | | | 1.07 | %(e) | | | | | | | 1.05 | % | | | 1.07 | % | | | 1.04 | % | | | 1.00 | % | | | 1.03 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income to Common Shareholders | | | 3.75 | %(e) | | | | | | | 4.33 | % | | | 4.73 | % | | | 5.17 | % | | | 5.20 | % | | | 5.78 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net assets applicable to Common Shareholders, end of period (000) | | $ | 458,970 | | | | | | | $ | 472,407 | | | $ | 489,328 | | | $ | 521,335 | | | $ | 504,967 | | | $ | 504,531 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
VMTP Shares outstanding at $100,000 liquidation value, end of period (000) | | $ | 171,300 | | | | | | | $ | 171,300 | | | $ | 171,300 | | | $ | 171,300 | | | $ | 171,300 | | | $ | 171,300 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Asset coverage per VMTP Shares at $100,000 liquidation value, end of period | | $ | 367,933 | | | | | | | $ | 375,778 | | | $ | 385,656 | | | $ | 404,341 | | | $ | 394,785 | | | $ | 394,531 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Borrowings outstanding, end of period (000) | | $ | 162,130 | | | | | | | $ | 157,126 | | | $ | 169,863 | | | $ | 183,691 | | | $ | 155,533 | | | $ | 106,698 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Portfolio turnover rate | | | 22 | % | | | | | | | 45 | % | | | 38 | % | | | 30 | % | | | 37 | % | | | 25 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (a) | Based on average Common Shares outstanding. |
| (b) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (c) | Total returns based on market price, which can be significantly greater or less than the net asset value, may result in substantially different returns. Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions at actual reinvestment prices. |
| (d) | Aggregate total return. |
| (f) | Interest expense, fees and amortization of offering costs related to TOBs and/or VMTP Shares. See Note 4 and Note 10 of the Notes to Financial Statements for details. |
See notes to financial statements.
| | |
| 46 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | BTT | |
| | | Six Months Ended
01/31/19
(unaudited) | | | | | | Year Ended July 31, | |
| | | 2018 | | | 2017 | | | 2016 | | | 2015 | | | 2014 | |
| | | | | | | | |
Net asset value, beginning of period | | $ | 23.62 | | | | | | | $ | 23.83 | | | $ | 25.38 | | | $ | 22.73 | | | $ | 21.99 | | | $ | 18.75 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | 0.39 | | | | | | | | 0.85 | | | | 0.90 | | | | 1.03 | | | | 1.09 | | | | 1.12 | |
Net realized and unrealized gain (loss) | | | 0.27 | | | | | | | | (0.21 | ) | | | (1.50 | ) | | | 2.58 | | | | 0.61 | | | | 3.23 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net increase (decrease) from investment operations | | | 0.66 | | | | | | | | 0.64 | | | | (0.60 | ) | | | 3.61 | | | | 1.70 | | | | 4.35 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Distributions to Common Shareholders(b) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
From net investment income | | | (0.37 | ) | | | | | | | (0.85 | ) | | | (0.95 | ) | | | (0.96 | ) | | | (0.96 | ) | | | (1.09 | ) |
From return of capital | | | — | | | | | | | | — | | | | — | | | | — | | | | — | | | | (0.02 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total distributions | | | (0.37 | ) | | | | | | | (0.85 | ) | | | (0.95 | ) | | | (0.96 | ) | | | (0.96 | ) | | | (1.11 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Net asset value, end of period | | $ | 23.91 | | | | | | | $ | 23.62 | | | $ | 23.83 | | | $ | 25.38 | | | $ | 22.73 | | | $ | 21.99 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Market price, end of period | | $ | 21.69 | | | | | | | $ | 21.43 | | | $ | 23.14 | | | $ | 24.24 | | | $ | 20.80 | | | $ | 19.57 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Total Return Applicable to Common Shareholders(c) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on net asset value | | | 3.07 | %(d) | | | | | | | 3.04 | % | | | (2.14 | )% | | | 16.57 | % | | | 8.32 | % | | | 24.50 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on market price | | | 3.05 | %(d) | | | | | | | (3.73 | )% | | | (0.51 | )% | | | 21.67 | % | | | 11.37 | % | | | 12.78 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Ratios to Average Net Assets Applicable to Common Shareholders | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses | | | 2.08 | %(e) | | | | | | | 1.76 | % | | | 1.49 | %(f) | | | 1.17 | % | | | 1.14 | % | | | 1.22 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly | | | 2.08 | %(e) | | | | | | | 1.76 | % | | | 1.49 | %(f) | | | 1.09 | % | | | 1.06 | % | | | 1.21 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and/or reimbursed and paid indirectly and excluding interest expense and fees, and amortization of offering costs(g) | | | 0.70 | %(e) | | | | | | | 0.69 | % | | | 0.68 | %(f) | | | 0.61 | % | | | 0.62 | % | | | 0.72 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income to Common Shareholders | | | 3.33 | %(e) | | | | | | | 3.55 | % | | | 3.80 | %(f) | | | 4.30 | % | | | 4.77 | % | | | 5.61 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net assets, end of period (000) | | $ | 1,685,589 | | | | | | | $ | 1,665,198 | | | $ | 1,679,841 | | | $ | 1,789,120 | | | $ | 1,602,414 | | | $ | 1,550,376 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
RVMTP Shares outstanding at $100,000 liquidation value, end of period (000) | | $ | 750,000 | | | | | | | $ | 750,000 | | | $ | 750,000 | | | $ | 750,000 | | | $ | 750,000 | | | $ | 750,000 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Asset coverage per RVMTP Shares at $100,000 liquidation value, end of period | | $ | 16,237,258 | | | | | | | $ | 16,101,317 | | | $ | 16,198,941 | | | $ | 16,927,465 | | | $ | 15,682,760 | | | $ | 15,335,837 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Borrowings outstanding, end of period (000) | | $ | 261,820 | | | | | | | $ | 261,820 | | | $ | 184,115 | | | $ | 184,115 | | | $ | 184,120 | | | $ | 184,120 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Portfolio turnover rate | | | 12 | % | | | | | | | 23 | % | | | 32 | % | | | 42 | % | | | 12 | % | | | 6 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (a) | Based on average Common Shares outstanding. |
| (b) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (c) | Total returns based on market price, which can be significantly greater or less than the net asset value, may result in substantially different returns. Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions at actual reinvestment prices. |
| (d) | Aggregate total return. |
| (f) | Excludes 0.01% of expenses incurred indirectly as a result of investments in underlying funds. |
| (g) | Interest expense, fees and amortization of offering costs related to TOB Trusts and/or RVMTP Shares. See Note 4 and Note 10 of the Notes to Financial Statements for details. |
See notes to financial statements.
Financial Highlights (continued)
(For a share outstanding throughout each period)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | BBF | |
| | | Six Months Ended
01/31/19
(unaudited) | | | | | | Year Ended July 31, | |
| | | | | | 2018 | | | 2017 | | | 2016 | | | 2015 | | | 2014 | |
| | | | | | | | |
Net asset value, beginning of period | | $ | 13.87 | | | | | | | $ | 14.48 | | | $ | 15.47 | | | $ | 15.14 | | | $ | 15.09 | | | $ | 13.89 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | 0.35 | | | | | | | | 0.80 | | | | 0.84 | | | | 0.84 | | | | 0.87 | | | | 0.87 | |
Net realized and unrealized gain (loss) | | | (0.31 | ) | | | | | | | (0.59 | ) | | | (0.96 | ) | | | 0.36 | | | | 0.05 | | | | 1.20 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net increase (decrease) from investment operations | | | 0.04 | | | | | | | | 0.21 | | | | (0.12 | ) | | | 1.20 | | | | 0.92 | | | | 2.07 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Distributions to Common Shareholders from net investment income(b) | | | (0.36 | ) | | | | | | | (0.82 | ) | | | (0.87 | ) | | | (0.87 | ) | | | (0.87 | ) | | | (0.87 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Net asset value, end of period | | $ | 13.55 | | | | | | | $ | 13.87 | | | $ | 14.48 | | | $ | 15.47 | | | $ | 15.14 | | | $ | 15.09 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Market price, end of period | | $ | 12.90 | | | | | | | $ | 13.37 | | | $ | 15.27 | | | $ | 16.00 | | | $ | 13.44 | | | $ | 13.48 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Total Return Applicable to Common Shareholders(c) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on net asset value | | | 0.48 | %(d) | | | | | | | 1.65 | % | | | (0.65 | )% | | | 8.40 | % | | | 6.76 | % | | | 16.06 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on market price | | | (0.77 | )%(d) | | | | | | | (7.08 | )% | | | 1.30 | % | | | 26.29 | % | | | 6.09 | % | | | 15.49 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Ratios to Average Net Assets Applicable to Common Shareholders | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses | | | 2.77 | %(e) | | | | | | | 2.53 | % | | | 2.16 | % | | | 2.01 | %(f) | | | 1.76 | % | | | 1.85 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly | | | 2.77 | %(e) | | | | | | | 2.53 | % | | | 2.16 | % | | | 2.01 | %(f) | | | 1.76 | % | | | 1.85 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly and excluding interest expense, fees and amortization of offering costs(g) | | | 1.13 | %(e) | | | | | | | 1.15 | % | | | 1.13 | % | | | 1.45 | %(f),(h) | | | 1.50 | %(h) | | | 1.56 | %(h) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income to Common Shareholders | | | 5.18 | %(e) | | | | | | | 5.63 | % | | | 5.72 | % | | | 5.50 | % | | | 5.65 | % | | | 6.09 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net assets, end of period (000) | | $ | 138,617 | | | | | | | $ | 141,808 | | | $ | 147,990 | | | $ | 157,965 | | | $ | 101,509 | | | $ | 101,163 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
VRDP Shares outstanding at $100,000 liquidation value, end of period (000) | | $ | 52,000 | | | | | | | $ | 52,000 | | | $ | 52,000 | | | $ | 52,000 | | | $ | 34,200 | | | $ | 34,200 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Asset coverage per VRDP Shares at $100,000 liquidation value, end of period | | $ | 366,571 | | | | | | | $ | 372,708 | | | $ | 384,597 | | | $ | 403,780 | | | $ | 396,809 | | | $ | 395,798 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Borrowings outstanding, end of period (000) | | $ | 43,928 | | | | | | | $ | 49,043 | | | $ | 50,028 | | | $ | 47,193 | | | $ | 29,682 | | | $ | 29,682 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Portfolio turnover rate | | | 17 | % | | | | | | | 31 | % | | | 39 | % | | | 17 | % | | | 11 | % | | | 22 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (a) | Based on average Common Shares outstanding. |
| (b) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (c) | Total returns based on market price, which can be significantly greater or less than the net asset value, may result in substantially different returns. Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions at actual reinvestment prices. |
| (d) | Aggregate total return. |
| (f) | Includes reorganization costs associated with the Trust’s reorganization in 2016. Without these costs, total expenses, total expenses after fees waived and/or paid indirectly and total expenses after fees waived and/or paid indirectly and excluding interest expense, fees and amortization of offering costs would have been 1.83%, 1.83% and 1.26%, respectively, for the year ended July 31, 2016. |
| (g) | Interest expense, fees and amortization of offering costs related to TOBs and/or VRDP Shares. See Note 4 and Note 10 of the Notes to Financial Statements for details. |
| (h) | The total expense ratio after fees waived and paid indirectly and excluding interest expense, fees, amortization of offering costs, liquidity and remarketing fees as follows: |
| | | | | | | | | | | | |
| | | Year Ended July 31, | |
| | | 2016 | | | 2015 | | | 2014 | |
Expense ratios | | | 1.38 | % | | | 1.17 | % | | | 1.19 | % |
| | | | | | | | | | | | |
See notes to financial statements.
| | |
| 48 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Financial Highlights (continued)
(For a share outstanding throughout each period)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | BNY | |
| | | Six Months Ended
01/31/19
(unaudited) | | | | | | Year Ended July 31, | |
| | | | | | 2018 | | | 2017 | | | 2016 | | | 2015 | | | 2014 | |
| �� | | | | | | | |
Net asset value, beginning of period | | $ | 14.52 | | | | | | | $ | 15.04 | | | $ | 15.94 | | | $ | 14.97 | | | $ | 14.68 | | | $ | 13.47 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income(a) | | | 0.29 | | | | | | | | 0.60 | | | | 0.67 | | | | 0.75 | | | | 0.79 | | | | 0.81 | |
Net realized and unrealized gain (loss) | | | (0.15 | ) | | | | | | | (0.48 | ) | | | (0.85 | ) | | | 1.02 | | | | 0.33 | | | | 1.23 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net increase (decrease) from investment operations | | | 0.14 | | | | | | | | 0.12 | | | | (0.18 | ) | | | 1.77 | | | | 1.12 | | | | 2.04 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Distributions to Common Shareholders from net investment income(b) | | | (0.27 | ) | | | | | | | (0.64 | ) | | | (0.72 | ) | | | (0.80 | ) | | | (0.83 | ) | | | (0.83 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Net asset value, end of period | | $ | 14.39 | | | | | | | $ | 14.52 | | | $ | 15.04 | | | $ | 15.94 | | | $ | 14.97 | | | $ | 14.68 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Market price, end of period | | $ | 12.66 | | | | | | | $ | 12.53 | | | $ | 15.37 | | | $ | 16.71 | | | $ | 14.54 | | | $ | 13.79 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Total Return Applicable to Common Shareholders(c) | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on net asset value | | | 1.28 | %(d) | | | | | | | 1.13 | % | | | (0.93 | )% | | | 12.13 | % | | | 8.00 | % | | | 15.98 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Based on market price | | | 3.25 | %(d) | | | | | | | (14.61 | )% | | | (3.43 | )% | | | 21.02 | % | | | 11.67 | % | | | 11.51 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Ratios to Average Net Assets Applicable to Common Shareholders | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses | | | 2.75 | %(e) | | | | | | | 2.45 | % | | | 2.15 | % | | | 1.75 | % | | | 1.73 | % | | | 1.82 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly | | | 2.75 | %(e) | | | | | | | 2.45 | % | | | 2.14 | % | | | 1.75 | % | | | 1.73 | % | | | 1.82 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses after fees waived and paid indirectly and excluding interest expense, fees and amortization of offering costs(f) | | | 1.14 | %(e) | | | | | | | 1.12 | % | | | 1.12 | % | | | 1.11 | % | | | 1.12 | % | | | 1.13 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net investment income to Common Shareholders | | | 4.00 | %(e) | | | | | | | 4.06 | % | | | 4.45 | % | | | 4.89 | % | | | 5.24 | % | | | 5.89 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
Supplemental Data | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net assets applicable to Common Shareholders, end of period (000) | | $ | 186,684 | | | | | | | $ | 188,452 | | | $ | 195,029 | | | $ | 206,414 | | | $ | 193,299 | | | $ | 189,548 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
VMTP Shares outstanding at $100,000 liquidation value, end of period (000) | | $ | 94,500 | | | | | | | $ | 94,500 | | | $ | 94,500 | | | $ | 94,500 | | | $ | 94,500 | | | $ | 94,500 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Asset coverage per VMTP Shares at $100,000 liquidation value, end of period | | $ | 297,550 | | | | | | | $ | 299,420 | | | $ | 306,379 | | | $ | 318,428 | | | $ | 304,549 | | | $ | 300,580 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Borrowings outstanding, end of period (000) | | $ | 36,057 | | | | | | | $ | 31,865 | | | $ | 32,047 | | | $ | 31,780 | | | $ | 28,961 | | | $ | 28,461 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Portfolio turnover rate | | | 20 | % | | | | | | | 9 | % | | | 16 | % | | | 14 | % | | | 11 | % | | | 26 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (a) | Based on average Common Shares outstanding. |
| (b) | Distributions for annual periods determined in accordance with U.S. federal income tax regulations. |
| (c) | Total returns based on market price, which can be significantly greater or less than the net asset value, may result in substantially different returns. Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions at actual reinvestment prices. |
| (d) | Aggregate total return. |
| (f) | Interest expense, fees and amortization of offering costs related to TOB Trusts and/or VMTP Shares. See Note 4 and Note 10 of the Notes to Financial Statements for details. |
See notes to financial statements.
Notes to Financial Statements (unaudited)
The following are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), asclosed-end management investment companies and are referred to herein collectively as the “Trusts”, or individually as a “Trust”:
| | | | | | |
| Trust Name | | Herein Referred To As | | Organized | | Diversification
Classification |
BlackRock California Municipal Income Trust | | BFZ | | Delaware | | Diversified |
BlackRock Municipal 2030 Target Term Trust | | BTT | | Delaware | | Diversified |
BlackRock Municipal Income Investment Trust | | BBF | | Delaware | | Diversified |
BlackRock New York Municipal Income Trust | | BNY | | Delaware | | Diversified |
The Board of Trustees of the Trusts are collectively referred to throughout this report as the “Board of Trustees” or the “Board,” and the trustees thereof are collectively referred to throughout this report as “Trustees”. The Trusts determine and make available for publication the net asset values (“NAVs”) of their Common Shares on a daily basis.
The Trusts, together with certain other registered investment companies advised by BlackRock Advisors, LLC (the “Manager”) or its affiliates, are included in a complex of non-index fixed-income mutual funds and all BlackRock-advisedclosed-end funds referred to as the Fixed-Income Complex.
| 2. | SIGNIFICANT ACCOUNTING POLICIES |
The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Trust is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:
Investment Transactions and Income Recognition:For financial reporting purposes, investment transactions are recorded on the dates the transactions are entered into (the “trade dates”). Realized gains and losses on investment transactions are determined on the identified cost basis. Dividend income is recorded on theex-dividend date. Interest income, including amortization and accretion of premiums and discounts on debt securities, is recognized on an accrual basis.
Segregation and Collateralization:In cases where a Trust enters into certain investments (e.g., futures contracts) or certain borrowings (e.g., TOB Trust transactions) that would be treated as “senior securities” for 1940 Act purposes, a Trust may segregate or designate on its books and records cash or liquid assets having a market value at least equal to the amount of its 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 Trusts 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.
Distributions: Distributions from net investment income are declared monthly and paid monthly. Distributions of capital gains are recorded on theex-dividend date and made at least annually. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP. Distributions to Preferred Shareholders are accrued and determined as described in Note 10.
Deferred Compensation Plan:Under the Deferred Compensation Plan (the “Plan”) approved by each Trust’s Board, the independent Trustees (“Independent Trustees”) may defer a portion of their annual complex-wide compensation. Deferred amounts earn an approximate return as though equivalent dollar amounts had been invested in common shares of certain funds in the BlackRock Fixed-Income Complex selected by the Independent Trustees. This has the same economic effect for the Independent Trustees as if the Independent Trustees had invested the deferred amounts directly in certain funds in the BlackRock Fixed-Income Complex.
The Plan is not funded and obligations thereunder represent general unsecured claims against the general assets of each Trust, as applicable. Deferred compensation liabilities are included in the Trustees’ and Officer’s fees payable in the Statements of Assets and Liabilities and will remain as a liability of the Trusts until such amounts are distributed in accordance with the Plan.
Recent Accounting Standards: In March 2017, the Financial Accounting Standards Board issued Accounting Standards Update “Premium Amortization of Purchased Callable Debt Securities” which amends the amortization period for certain purchased callable debt securities. Under the new guidance, the premium amortization of purchased callable debt securities that have explicit,non-contingent call features and are callable at fixed prices will be amortized to the earliest call date. The guidance will be applied on a modified retrospective basis and is effective for fiscal years, and their interim periods, beginning after December 15, 2018. Management is currently evaluating the impact of this guidance to the Trusts.
In August 2018, the Financial Accounting Standards Board issued Accounting Standards Update2018-13 “Changes to the Disclosure Requirements for Fair Value Measurement” which modifies disclosure requirements for fair value measurements. The guidance is effective for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years. Management is currently evaluating the impact of this guidance to the Trusts.
Indemnifications:In the normal course of business, a Trust enters into contracts that contain a variety of representations that provide general indemnification. A Trust’s maximum exposure under these arrangements is unknown because it involves future potential claims against a Trust, which cannot be predicted with any certainty.
Other: Expenses directly related to a Trust are charged to that Trust. Other operating expenses shared by several funds, including other funds managed by the Manager, are prorated among those funds on the basis of relative net assets or other appropriate methods.
| | |
| 50 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Notes to Financial Statements (unaudited) (continued)
| 3. | INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS |
Investment Valuation Policies: The Trusts’ investments are valued at fair value (also referred to as “market value” within the financial statements) 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 Trusts would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Trusts determine the fair values of their financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of each Trust (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 oversee the pricing function for all financial instruments.
Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Trust’s assets and liabilities:
| | • | | 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. |
| | • | | Investments inopen-end U.S. mutual funds are valued at NAV each business day. |
| | • | | Futures contracts traded on exchanges are valued at their last sale price. |
If events (e.g., a company announcement, market volatility or a natural disaster) occur that are expected to materially affect the value of such investments, or 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 Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee will include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Trust might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in anarm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.
Fair Value Hierarchy: Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial statement purposes as follows:
| | • | | Level 1 — Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that each Trust 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 each Trust’s own assumptions used in determining the fair value of investments and derivative financial instruments) |
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds. There may not be a secondary market, and/or there are a limited number of investors. Level 3 investments may also be adjusted to reflect illiquidity and/ornon-transferability, with the amount of such discount estimated by the Global Valuation Committee in the absence of market information.
Changes in valuation techniques may result in transfers into or out of an assigned level within the hierarchy. In accordance with each Trust’s policy, transfers between different levels of the fair value 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 investments and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities.
| 4. | SECURITIES AND OTHER INVESTMENTS |
Zero-Coupon Bonds: Zero-coupon bonds are normally issued at a significant discount from face value and do not provide for periodic interest payments. These bonds may experience greater volatility in market value than other debt obligations of similar maturity which provide for regular interest payments.
Forward Commitments and When-Issued Delayed Delivery Securities: Certain Trusts 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. A Trust 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, a Trust may be required to pay more at settlement than the security is worth. In
| | | | |
| NOTESTO FINANCIAL STATEMENTS | | | 51 | |
Notes to Financial Statements (unaudited) (continued)
addition, a Trust is not entitled to any of the interest earned prior to settlement. When purchasing a security on a delayed delivery basis, a Trust 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, a Trust’s maximum amount of loss is the unrealized appreciation of unsettled when-issued transactions.
Municipal Bonds Transferred to TOB Trusts: Certain trusts leverage their assets through the use of “TOB Trust” transactions. The trusts transfer municipal bonds into a special purpose trust (a “TOB Trust”). A TOB Trust issues two classes of beneficial interests: short-term floating rate interests (“TOB Trust Certificates”), which are sold to third party investors, and residual inverse floating rate interests (“TOB Residuals”), which are issued to the participating trusts that contributed the municipal bonds to the TOB Trust. The TOB Trust Certificates have interest rates that reset weekly and their holders have the option to tender such certificates to the TOB Trust for redemption at par and any accrued interest at each reset date. The TOB Residuals held by a trust provide the trust with the right to cause the holders of a proportional share of the TOB Trust Certificates to tender their certificates to the TOB Trust at par plus accrued interest. The trusts may withdraw a corresponding share of the municipal bonds from the TOB Trust. Other trusts managed by the investment adviser may also contribute municipal bonds to a TOB Trust into which a trust has contributed bonds. If multiple BlackRock-advised funds participate in the same TOB Trust, the economic rights and obligations under the TOB Residuals will be shared among the trusts ratably in proportion to their participation in the TOB Trust.
TOB Trusts are supported by a liquidity facility provided by a third party bank or other financial institution (the “Liquidity Provider”) that allows the holders of the TOB Trust Certificates to tender their certificates in exchange for payment of par plus accrued interest on any business day. The tendered TOB Trust Certificates are remarketed by a Remarketing Agent. In the event of a failed remarketing, the TOB Trust may draw upon a loan from the Liquidity Provider to purchase the tendered TOB Trust Certificates. Any loans made by the Liquidity Provider will be secured by the purchased TOB Trust Certificates held by the TOB Trust and will be subject to an increased interest rate based on number of days the loan is outstanding.
The TOB Trust may be collapsed without the consent of a trust, upon the occurrence of a termination event, as defined in the TOB Trust agreement. Upon the occurrence of a termination event, a TOB Trust would be liquidated with the proceeds applied first to any accrued fees owed to the trustee of the TOB Trust, the Remarketing Agent and the Liquidity Provider. Upon certain termination events, TOB Trust Certificates holders will be paid before the TOB Residuals holders (i.e., the Trusts) whereas in other termination events, TOB Trust Certificates holders and TOB Residuals holders will be paid pro rata.
While a trust’s investment policies and restrictions expressly permit investments in inverse floating rate securities, such as TOB Residuals, they restrict the ability of a Trust to borrow money for purposes of making investments. Each trust’s transfer of the municipal bonds to a TOB Trust is considered a secured borrowing for financial reporting purposes. The cash received by the TOB Trust from the sale of the TOB Trust Certificates, less certain transaction expenses, is paid to a trust. A trust typically invests the cash received in additional municipal bonds.
Accounting for TOB Trusts: The municipal bonds deposited into a TOB Trust are presented in a trust’s Schedule of Investments and the TOB Trust Certificates are shown in Other Liabilities in the Statements of Assets and Liabilities. Any loans drawn by the TOB Trust pursuant to the liquidity facility to purchase tendered TOB Trust Certificates are shown as Loan for TOB Trust Certificates. The carrying amount of a trust’s payable to the holder of the TOB Trust Certificates, as reported in the Statements of Assets and Liabilities as TOB Trust Certificates, approximates its fair value.
Interest income, including amortization and accretion of premiums and discounts, from the underlying municipal bonds is recorded by a trust on an accrual basis. Interest expense incurred on the TOB Trust transaction and other expenses related to remarketing, administration, trustee, liquidity and other services to a TOB Trust are shown as interest expense, fees and amortization of offering costs in the Statements of Operations. Fees paid upon creation of the TOB Trust are recorded as debt issuance costs and are amortized to interest expense, fees and amortization of offering costs in the Statements of Operations to the expected maturity of the TOB Trust. In connection with the restructurings of the TOB Trusts tonon-bank sponsored TOB Trusts, a trust incurrednon-recurring, legal and restructuring fees, which are recorded as interest expense, fees and amortization of deferred offering costs in the Statements of Operations.
Amounts recorded within interest expense, fees and amortization of offering costs in the Statements of Operations are:
| | | | | | | | | | | | | | | | |
| | | Interest
Expense | | | Liquidity
Fees | | | Other
Expenses | | | Total | |
BFZ | | $ | 1,270,179 | | | $ | 376,550 | | | $ | 116,894 | | | $ | 1,763,623 | |
BTT | | | 2,101,198 | | | | 512,849 | | | | 284,133 | | | | 2,898,180 | |
BBF | | | 364,420 | | | | 101,650 | | | | 37,757 | | | | 503,827 | |
BNY | | | 265,910 | | | | 80,875 | | | | 20,998 | | | | 367,783 | |
For the six months ended January 31, 2019, the following table is a summary of each Trust’s TOB Trusts:
| | | | | | | | | | | | | | | | | | | | |
| | | Underlying
Municipal Bonds
Transferred to
TOB Trusts (a) | | | Liability for
TOB Trust
Certificates (b) | | | Range of
Interest Rates
on TOB Trust
Certificates at
Period End | | | Average
TOB Trust
Certificates
Outstanding | | | Daily Weighted
Average Rate
of Interest and
Other Expenses
on TOB Trusts | |
BFZ | | $ | 340,172,070 | | | $ | 162,130,035 | | | | 1.25% — 1.54% | | | $ | 160,508,050 | | | | 2.17 | % |
BTT | | | 447,689,638 | | | | 261,819,915 | | | | 1.32 — 1.46 | | | | 261,819,915 | | | | 2.20 | |
BBF | | | 77,414,230 | | | | 43,928,144 | | | | 1.25 — 1.49 | | | | 45,700,693 | | | | 2.19 | |
BNY | | | 65,475,882 | | | | 36,057,166 | | | | 1.30 — 1.45 | | | | 33,467,216 | | | | 2.18 | |
| | (a) | The municipal bonds transferred to a TOB Trust are generally high grade municipal bonds. In certain cases, when municipal bonds transferred are lower grade municipal bonds, the TOB Trust transaction may include a credit enhancement feature that provides for the timely payment of principal and interest on the bonds to the TOB Trust by a credit enhancement provider in the event of default of the municipal bond. The TOB Trust would be responsible for the payment of the credit enhancement fee and the trusts, as TOB | |
| | |
| 52 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Notes to Financial Statements (unaudited) (continued)
| | Residuals holders, would be responsible for reimbursement of any payments of principal and interest made by the credit enhancement provider. The maximum potential amounts owed by the trusts, for such reimbursements, as applicable, are included in the maximum potential amounts disclosed for recourse TOB Trusts. | |
| | (b) | TOB Trusts may be structured on anon-recourse or recourse basis. When a Trust invests in TOB Trusts on anon-recourse basis, the Liquidity Provider may be required to make a payment under the liquidity facility to allow the TOB Trust to repurchase TOB Trust Certificates. The Liquidity Provider will be reimbursed from the liquidation of bonds held in the TOB Trust. If a trust invests in a TOB Trust on a recourse basis, a trust enters into a reimbursement agreement with the Liquidity Provider where a trust is required to reimburse the Liquidity Provider for any shortfall between the amount paid by the Liquidity Provider and proceeds received from liquidation of municipal bonds held in the TOB Trust (the “Liquidation Shortfall”). As a result, if a trust invests in a recourse TOB Trust, a trust will bear the risk of loss with respect to any Liquidation Shortfall. If multiple trusts participate in any such TOB Trust, these losses will be shared ratably, including the maximum potential amounts owed by a trust at January 31, 2019, in proportion to their participation in the TOB Trust. The recourse TOB Trusts are identified in the Schedule of Investments including the maximum potential amounts owed by a trust at January 31, 2019. | |
For the six months ended January 31, 2019, the following table is a summary of each Trust’s Loan for TOB Trust Certificates:
| | | | | | | | | | | | | | | | |
| | | Loans
Outstanding
at Period End | | | Range of
Interest Rates
on Loans at
Period End | | | Average
Loans
Outstanding | | | Daily Weighted
Average Rate
of Interest and
Other Expenses
on Loans | |
BFZ . . . | | $ | — | | | | — | % | | $ | 504,820 | | | | 0.82 | % |
| 5. | DERIVATIVE FINANCIAL INSTRUMENTS |
The Trusts engage in various portfolio investment strategies using derivative contracts both to increase the returns of the Trusts and/or to manage their exposure to certain risks such as credit risk, equity risk, interest rate risk, foreign currency exchange rate risk, commodity price risk or other risks (e.g., inflation risk). Derivative financial instruments categorized by risk exposure are included in the Schedules of Investments. These contracts may be transacted on an exchange orover-the-counter (“OTC”).
Futures Contracts:Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk), and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).
Futures contracts are agreements between the Trusts and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Trusts are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.
Securities deposited as initial margin are designated in the Schedules of Investments and cash deposited, if any, is shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Trusts agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest, foreign currency exchange rates or underlying assets.
| 6. | INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Investment Advisory:Each Trust entered into an Investment Advisory Agreement with the Manager, the Trusts’ investment adviser and an indirect, wholly-owned subsidiary of BlackRock, to provide investment advisory and administrative services. The Manager is responsible for the management of each Trust’s portfolio and provides the personnel, facilities, equipment and certain other services necessary to the operations of each Trust.
For such services, each Trust, except BTT, pays the Manager a monthly fee at an annual rate equal to the following percentages of the average weekly value of each Trust’s managed assets.
| | | | | | | | | | | | |
| | | BFZ | | | BBF | | | BNY | |
Investment advisory fees | | | 0.58 | % | | | 0.57 | % | | | 0.60 | % |
For purposes of calculating these fees, for each Trust except for BTT, “managed assets” means the total assets of the Trust minus the sum of its accrued liabilities (other than the aggregate indebtedness constituting financial leverage).
For purposes of calculating these fees for BTT, “managed assets” means the total assets of the Trust (including any assets attributable to money borrowed for investment purposes) minus the sum of its accrued liabilities (other than money borrowed for investment purposes).
For such services, BTT pays the Manager a monthly fee at an annual rate equal to 0.40% of the average daily value of the Trust’s managed assets.
| | | | |
| NOTESTO FINANCIAL STATEMENTS | | | 53 | |
Notes to Financial Statements (unaudited) (continued)
ExpenseWaivers:With respect to each Trust, the Manager voluntarily agreed to waive its investment advisory fees by the amount of investment advisory fees each Trust pays to the Manager indirectly through its investment in affiliated money market funds (the “affiliated money market fund waiver”). These amounts are included in fees waived and/or reimbursed by the Manager in the Statements of Operations. For the six months ended January 31, 2019, the amounts waived were as follows:
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
Amounts waived | | $ | 478 | | | $ | 7,544 | | | $ | 317 | | | $ | 354 | |
The Manager contractually agreed to waive its investment advisory fee with respect to any portion of each Trust’s assets invested in affiliated equity and fixed-income mutual funds and affiliated exchange-traded funds that have a contractual management fee through June 30, 2019. The agreement can be renewed for annual periods thereafter, and may be terminated on 90 days’ notice, each subject to approval by a majority of the Trust’s Independent Trustees. For the six months ended January 31, 2019, there were no fees waived by the Manager pursuant to these arrangements.
Trustees and Officers:Certain Trustees and/or officers of the Trusts are trustees and/or officers of BlackRock or its affiliates. The Trusts reimburse the Manager for a portion of the compensation paid to the Trusts’ Chief Compliance Officer, which is included in Trustees and Officer in the Statements of Operations.
The Trusts may purchase securities from, or sell securities to, an affiliated fund provided the affiliation is due solely to having a common investment adviser, common officers, or common trustees. For the six months ended December 31, 2019, the purchase and sale transactions and any net realized gains (losses) with an affiliated fund in compliance with Rule 17a-7 under the 1940 Act were as follows:
| | | | | | | | | | | | |
| | | Purchase | | | Sales | | | Net Realized
Gain (Loss) | |
BBF | | $ | — | | | $ | 259,416 | | | $ | — | |
For the six months ended January 31, 2019, purchases and sales of investments, excluding short-term securities, were as follows:
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
Purchases | | $ | 174,005,678 | | | $ | 326,852,949 | | | $ | 40,491,557 | | | $ | 72,011,083 | |
Sales | | | 171,529,044 | | | | 355,149,024 | | | | 44,693,806 | | | | 63,722,161 | |
It is each Trust’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.
Each Trust files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on each Trust’s U.S. federal tax returns generally remains open for each of the four years ended July 31, 2018. The statutes of limitations on each Trust’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 Trusts as of January 31, 2019, 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 Trusts’ financial statements.
As of July 31, 2018, the Trusts had capital loss carryforwards available to offset future realized capital gains through the indicated expiration dates as follows:
| | | | | | | | | | | | |
| Expires July 31, | | BTT | | | BBF | | | BNY | |
No expiration date(a) | | $ | 24,254,453 | | | $ | 2,500,578 | | | $ | 3,437,611 | |
2019 | | | — | | | | 651,464 | | | | 1,982,931 | |
| | | | | | | | | | | | |
| | $ | 24,254,453 | | | $ | 3,152,042 | | | $ | 5,420,542 | |
| | | | | | | | | | | | |
| | (a) | Must be utilized prior to losses subject to expiration | |
As of January 31, 2019, gross unrealized appreciation and depreciation for investments and derivatives based on cost for U.S. federal income tax purposes were as follows:
| | | | | | | | | | | | | | | | |
| | | BFZ | | | BTT | | | BBF | | | BNY | |
Tax cost | | $ | 608,889,173 | | | $ | 2,335,723,222 | | | $ | 181,774,162 | | | $ | 267,327,988 | |
| | | | | | | | | | | | | | | | |
Gross unrealized appreciation | | $ | 17,915,917 | | | $ | 59,723,125 | | | $ | 8,318,516 | | | $ | 13,786,891 | |
Gross unrealized depreciation | | | (4,374,079 | ) | | | (19,812,989 | ) | | | (1,220,180 | ) | | | (1,590,673 | ) |
| | | | | | | | | | | | | | | | |
Net unrealized appreciation | | $ | 13,541,838 | | | $ | 39,910,136 | | | $ | 7,098,336 | | | $ | 12,196,218 | |
| | | | | | | | | | | | | | | | |
Many municipalities insure repayment of their bonds, which may reduce the potential for loss due to credit risk. The market value of these bonds may fluctuate for other reasons, including market perception of the value of such insurance, and there is no guarantee that the insurer will meet its obligation.
| | |
| 54 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Notes to Financial Statements (unaudited) (continued)
Inventories of municipal bonds held by brokers and dealers may decrease, which would lessen their ability to make a market in these securities. Such a reduction in market making capacity could potentially decrease a Trust’s ability to buy or sell bonds. As a result, a Trust may sell a security at a lower price, sell other securities to raise cash, or give up an investment opportunity, any of which could have a negative impact on performance. If a Trust needed to sell large blocks of bonds, those sales could further reduce the bonds’ prices and impact performance.
In the normal course of business, certain Trusts invest in securities or other instruments and may enter into certain transactions, and such activities subject each Trust to various risks, including among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate and price fluctuations.
Each Trust may be exposed to prepayment risk, which is the risk that borrowers may exercise their option to prepay principal earlier than scheduled during periods of declining interest rates, which would force each Trust to reinvest in lower yielding securities. Each Trust may also be exposed to reinvestment risk, which is the risk that income from each Trust’s portfolio will decline if each Trust invests the proceeds from matured, traded or called fixed-income securities at market interest rates that are below each Trust portfolio’s current earnings rate.
The Trusts may hold a significant amount of bonds subject to calls by the issuers at defined dates and prices. When bonds are called by issuers and the Trusts reinvest the proceeds received, such investments may be in securities with lower yields than the bonds originally held, and correspondingly, could adversely impact the yield and total return performance of a Trust.
There is no assurance that BTT will achieve its investment objective and BTT may return less than $25.00 per share. As BTT approaches its scheduled termination date, it is expected that the maturity of BTT’s portfolio securities will shorten, which is likely to reduce BTT’s income and distributions to shareholders.
A Trust structures and “sponsors” the TOB Trusts in which it holds TOB Residuals and has certain duties and responsibilities, which may give rise to certain additional risks including, but not limited to, compliance, securities law and operational risks.
Should short-term interest rates rise, the Trusts’ investments in the TOB Trusts may adversely affect the Trusts’ net investment income and dividends to Common Shareholders. Also, fluctuations in the market value of municipal bonds deposited into the TOB Trust may adversely affect the Trusts’ NAVs per share.
The SEC and various federal banking and housing agencies have adopted credit risk retention rules for securitizations (the “Risk Retention Rules”). The Risk Retention Rules would require the sponsor of a TOB Trust to retain at least 5% of the credit risk of the underlying assets supporting the TOB Trust’s municipal bonds. The Risk Retention Rules may adversely affect the Trusts’ ability to engage in TOB Trust transactions or increase the costs of such transactions in certain circumstances.
TOB Trusts constitute an important component of the municipal bond market. Any modifications or changes to rules governing TOB Trusts may adversely impact the municipal market and the Trusts, including through reduced demand for and liquidity of municipal bonds and increased financing costs for municipal issuers. The ultimate impact of any potential modifications on the TOB Trust market and the overall municipal market is not yet certain.
Counterparty Credit Risk:The Trusts may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions. The Trusts manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Trusts to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Trusts’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Trusts.
A derivative contract may suffer amark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.
With exchange-traded futures, there is less counterparty credit risk to the Trusts since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Trust does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists inexchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Trusts.
Concentration Risk:Each of BFZ and BNY invests a substantial amount of its assets in issuers located in a single state or limited number of states. This may subject each Trust to the risk that economic, political or social issues impacting a particular state or group of states could have an adverse and disproportionate impact on the income from, or the value or liquidity of, the Trusts’ respective portfolios. Investment percentages in specific states or U.S. territories are presented in the Schedules of Investments.
As of period end, BFZ invested a significant portion of its assets in securities in the county, city, special district and school district sector and BTT invested a significant portion of its assets in the transportation sector. Changes in economic conditions affecting such sectors would have a greater impact on the Trusts and could affect the value, income and/or liquidity of positions in such securities.
The Trusts invest a significant portion of their assets in fixed-income securities and/or use 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 Funds may be subject to a greater risk of rising interest rates due to the current period of historically low rates. The Federal Reserve has begun to raise the Federal Funds rate, and each increase results in more pronounced interest rate risk in the current market environment.
| | | | |
| NOTESTO FINANCIAL STATEMENTS | | | 55 | |
Notes to Financial Statements (unaudited) (continued)
| 10. | CAPITAL SHARE TRANSACTIONS |
Each Trust is authorized to issue an unlimited number of shares, all of which were initially classified as Common Shares. The par value for each Trust’s Common Shares is $0.001. The par value for each Trust’s Preferred Shares outstanding is $0.001. The Board is authorized, however, to reclassify any unissued Common Shares to Preferred Shares without the approval of Common Shareholders.
Common Shares
For the periods shown, shares issued and outstanding increased by the following amounts as a result of dividend reinvestment:
| | | | | | | | |
| | | BBF | | | BNY | |
Six Months Ended January 31, 2019 | | | 1,306 | | | | — | |
Year Ended July 31, 2018 | | | 7,282 | | | | 12,500 | |
For the six months ended January 31, 2019 and year ended July 31, 2018, shares issued and outstanding remained constant for BFZ and BTT.
On November 15, 2018, the Board authorized BFZ, BBF and BNY to participate in an open market share repurchase program. Under the program, BFZ, BBF and BNY may repurchase up to 5% of its outstanding common shares through November 30, 2019, based on common shares outstanding as of the close of business on November 30, 2018, subject to certain conditions. There is no assurance that the Trusts will purchase shares in any particular amounts. For the six months ended January 31, 2019, BFZ, BBF and BNY did not repurchase any shares.
Preferred Shares
A Trust’s Preferred Shares rank prior to its Common Shares as to the payment of dividends by the Trust and distribution of assets upon dissolution or liquidation of the Trust. The 1940 Act prohibits the declaration of any dividend on Common Shares or the repurchase of Common Shares if the Trust fails to maintain asset coverage of at least 200% of the liquidation preference of the its outstanding Preferred Shares. In addition, pursuant to the Preferred Shares’ governing instruments, a Trust is restricted from declaring and paying dividends on classes of shares ranking junior to or on parity with its Preferred Shares or repurchasing such shares if the Trust fails to declare and pay dividends on the Preferred Shares, redeem any Preferred Shares required to be redeemed under the Preferred Shares’ governing instruments or comply with the basic maintenance amount requirement of the ratings agencies rating the Preferred Shares.
Holders of Preferred Shares have voting rights equal to the voting rights of holders of Common Shares (one vote per share) and vote together with holders of Common Shares (one vote per share) as a single class on certain matters. Holders of Preferred Shares, voting as a separate class, are also entitled to (i) elect two members of the Board, (ii) elect the full Board if dividends on the Preferred Shares are not paid for a period of two years and (iii) a separate class vote to amend the Preferred Share governing documents. In addition, the 1940 Act requires the approval of the holders of a majority of any outstanding Preferred Shares, voting as a separate class, to (a) adopt any plan of reorganization that would adversely affect the Preferred Shares, (b) change a Fund’s sub-classification as a closed-end investment company or change its fundamental investment restrictions or (c) change its business so as to cease to be an investment company.
VRDP Shares
BBF (for purposes of this section, a “VRDP Trust”), has issued SeriesW-7 VRDP Shares, $100,000 liquidation preference per share, in one or more privately negotiated offerings to qualified institutional buyers as defined pursuant to Rule 144A under the Securities Act of 1933 as amended, (the “Securities Act”). The VRDP Shares include a liquidity feature and may be subject to a special rate period. As of period end, the VRDP Shares outstanding were as follows:
| | | | | | | | | | | | | | | | |
| | | Issue
Date | | | Shares
Issued | | | Aggregate
Principal | | | Maturity
Date | |
BBF | | | 09/15/11 | | | | 342 | | | $ | 34,200,000 | | | | 10/01/41 | |
BBF | | | 05/16/16 | | | | 178 | | | | 17,800,000 | | | | 10/01/41 | |
Redemption Terms: A VRDP Trust is required to redeem its VRDP Shares on the maturity date, unless earlier redeemed or repurchased. Six months prior to the maturity date, a VRDP Trust is required to begin to segregate liquid assets with the Trust’s custodian to fund the redemption. In addition, a VRDP Trust is required to redeem certain of its outstanding VRDP Shares if it fails to comply with certain asset coverage, basic maintenance amount or leverage requirements.
Subject to certain conditions, the VRDP Shares may also be redeemed, in whole or in part, at any time at the option of a VRDP Trust. The redemption price per VRDP Share is equal to the liquidation preference per share plus any outstanding unpaid dividends.
Liquidity Feature: VRDP Shares are subject to a fee agreement between the VRDP Trust and the liquidity provider that requires a per annum liquidity fee and, in some cases, an upfront or initial commitment fee, payable to the liquidity provider. These fees, if applicable, are shown as liquidity fees in the Statements of Operations. The fee agreement is set to expire, unless renewed or terminated in advance, as follows:
| | | | |
| | | BBF | |
Expiration Date | | | 10/21/19 | |
In the event the fee agreement is not renewed or is terminated in advance, and the VRDP Trust does not enter into a fee agreement with an alternate liquidity provider, the VRDP Shares will be subject to mandatory purchase by the liquidity provider prior to the termination of the fee agreement. In the event of such mandatory purchase, the VRDP Trust is required to redeem the VRDP Shares six months after the purchase date. Immediately after such mandatory purchase, the VRDP Trust is required to begin
| | |
| 56 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Notes to Financial Statements (unaudited) (continued)
to segregate liquid assets with its custodian to fund the redemption. There is no assurance a VRDP Trust will replace such redeemed VRDP Shares with any other preferred shares or other form of leverage.
Remarketing: A VRDP Trust may incur remarketing fees on the aggregate principal amount of all its VRDP Shares, which, if any, are included in remarketing fees on Preferred Shares in the Statements of Operations. During any special rate period (as described below), a VRDP Trust may incur nominal or no remarketing fees.
Ratings:As of period end, the VRDP Shares were assigned the following long-term ratings:
| | | | | | | | |
| | | Moody’s | | | Fitch | |
BBF | | | Aa1 | | | | AAA | |
Any short-term ratings on VRDP Shares are directly related to the short-term ratings of the liquidity provider for such VRDP Shares. Changes in the credit quality of the liquidity provider could cause a change in the short-term credit ratings of the VRDP Shares as rated by Moody’s and Fitch. The liquidity provider may be terminated prior to the scheduled termination date if the liquidity provider fails to maintain short-term debt ratings in one of the two highest rating categories.
Special Rate Period:A VRDP Trust may commence a “special rate period” with respect to its VRDP Shares, during which the VRDP Shares will not be subject to any remarketing and the dividend rate will be based on a predetermined methodology. During a special rate period, short-term ratings on VRDP Shares are withdrawn. The following VRDP Trust is set to commence a special rate period:
| | | | | | | | |
| | | Commencement
Date | | | Expiration Date
as of period ended
January 31, 2019 | |
BBF | | | October 22, 2015 | * | | | April 17, 2019 | |
| | * | Issuance date of VRDP Shares | |
Prior to the expiration date, the VRDP Trust and the VRDP Shares holder may mutually agree to extend the special rate period. If a special rate period is not extended, the VRDP Shares will revert to remarketable securities upon the termination of the special rate period and will be remarketed and available for purchase by qualified institutional investors.
During the special rate period: (i) the liquidity and fee agreements remain in effect, (ii) VRDP Shares remain subject to mandatory redemption by the VRDP Trust on the maturity date, (iii) VRDP Shares will not be remarketed or subject to optional or mandatory tender events, (iv) the VRDP Trust is required to comply with the same asset coverage, basic maintenance amount and leverage requirements for the VRDP Shares as is required when the VRDP Shares are not in a special rate period, (v) the VRDP Trust will pay dividends monthly based on the sum of the Securities Industry and Financial Markets Association (“SIFMA”) Municipal Swap Index rate and a percentage per annum based on the long-term ratings assigned to the VRDP Shares and (vi) the VRDP Trust will pay nominal or no fees to the liquidity provider and remarketing agent.
If a VRDP Trust redeems its VRDP Shares prior to end of the special rate period and the VRDP Shares have long-term ratings above A1/A+ and its equivalent by all ratings agencies then rating the VRDP Shares, then such redemption may be subject to a redemption premium payable to the holder of the VRDP Shares based on the time remaining in the special rate period, subject to certain exceptions for redemptions that are required to comply with minimum asset coverage requirements.
Dividends: Except on the Special Rate Period, dividends on the VRDP Shares are payable monthly at a variable rate set weekly by the remarketing agent. Such dividend rates are generally based upon a spread over a base rate and cannot exceed a maximum rate. A change in the short-term credit rating of the liquidity provider or the VRDP Shares may adversely affect the dividend rate paid on such shares, although the dividend rate paid on the VRDP Shares is not directly based upon either short-term rating. In the event of a failed remarketing, the dividend rate of the VRDP Shares will be reset to a maximum rate. The maximum rate is determined based on, among other things, the long-term preferred share rating assigned to the VRDP Shares and the length of time that the VRDP Shares fail to be remarketed.
For the six months ended January 31, 2019, the annualized dividend rate for BBF’s VRDP Shares was 2.44%.
VMTP Shares
BFZ and BNY (collectively, the “VMTP Trusts”) have issued SeriesW-7 VMTP Shares, $100,000 liquidation preference per share, in one or more privately negotiated offerings to qualified institutional buyers as defined pursuant to Rule 144A under the Securities Act. The VMTP Shares are subject to certain restrictions on transfer, and VMTP Trusts may also be required to register the VMTP Shares for sale under the Securities Act under certain circumstances.
As of period end, the VMTP Shares outstanding were as follows:
| | | | | | | | | | | | | | | | |
| | | Issue
Date | | | Shares
Issued | | | Aggregate
Principal | | | Term Redemption Date | |
BFZ | | | 3/22/12 | | | | 1,713 | | | $ | 171,300,000 | | | | 03/30/20 | |
BNY | | | 3/22/12 | | | | 945 | | | | 94,500,000 | | | | 03/30/20 | |
Redemption Terms: Each VMTP Trust is required to redeem its VMTP Shares on the term redemption date, unless earlier redeemed or repurchased or unless extended. There is no assurance that a term will be extended further or that any VMTP Shares will be replaced with any other preferred shares or other form of leverage upon the redemption or repurchase of the VMTP Shares. Six months prior to the term redemption date, a VMTP Trust is required to begin to segregate liquid assets with its
| | | | |
| NOTESTO FINANCIAL STATEMENTS | | | 57 | |
Notes to Financial Statements (unaudited) (continued)
custodian to fund the redemption. In addition, a VMTP Trust is required to redeem certain of its outstanding VMTP Shares if it fails to comply with certain asset coverage, basic maintenance amount or leverage requirements.
Subject to certain conditions, VMTP Shares may be redeemed, in whole or in part, at any time at the option of the VMTP Trust. The redemption price per VMTP Share is equal to the liquidation preference per share plus any outstanding unpaid dividends and applicable redemption premium. If a VMTP Trust redeems its VMTP Shares prior to the term redemption date and the VMTP Shares have long-term ratings above A1/A+ or its equivalent by the ratings agencies then rating the VMTP Shares, then such redemption may be subject to a prescribed redemption premium (up to 3% of the liquidation preference) payable to the holder of the VMTP Shares based on the time remaining until the term redemption date, subject to certain exceptions for redemptions that are required to comply with minimum asset coverage requirements.
Dividends: Dividends on the VMTP Shares are declared daily and payable monthly at a variable rate set weekly at a fixed rate spread to the SIFMA Municipal Swap Index or to a percentage of theone-month LIBOR rate, as set forth in the VMTP Shares governing instrument. The fixed spread is determined based on the long-term preferred share rating assigned to the VMTP Shares by the ratings agencies then rating the VMTP Shares. At the date of issuance, the VMTP Shares were assigned long-term ratings:
| | | | | | | | |
| | | Moody’s | | | Fitch | |
BFZ | | | Aa2 | | | | AAA | |
BNY | | | Aa2 | | | | AAA | |
The dividend rate on the VMTP Shares is subject to astep-up spread if the VMTP Trusts fail to comply with certain provisions, including, among other things, the timely payment of dividends, redemptions orgross-up payments, and complying with certain asset coverage and leverage requirements.
For the six months ended January 31, 2019, the average annualized dividend rates for the VMTP Shares were as follows.
RVMTP Shares
BTT has issued SeriesW-7 RVMTP Shares, $5,000,000 liquidation preference per share, in privately negotiated offerings to qualified institutional buyers as defined pursuant to Rule 144A under the Securities Act. The RVMTP Shares are subject to certain restrictions on transfer outside of a remarketing.
As of period end, the RVMTP Shares outstanding of were as follows:
| | | | | | | | | | | | | | | | |
| | | Issue
Date | | | Shares
Issued | | | Aggregate
Principal | | | Term
Redemption Date | |
BTT | | | 01/10/2013 | | | | 50 | | | $ | 250,000,000 | | | | 12/31/2030 | |
| | | 01/30/2013 | | | | 50 | | | | 250,000,000 | | | | 12/31/2030 | |
| | | | 02/20/2013 | | | | 50 | | | | 250,000,000 | | | | 12/31/2030 | |
Redemption Terms: BTT is required to redeem its RVMTP Shares on the term redemption date or within six months of an unsuccessful remarketing, unless earlier redeemed or repurchased. There is no assurance that RVMTP Shares will be replaced with any other preferred shares or other form of leverage upon the redemption or repurchase of the RVMTP Shares. In addition, BTT is required to redeem certain of its outstanding RVMTP Shares if it fails to comply with certain asset coverage, basic maintenance amount or leverage requirements.
Subject to certain conditions, RVMTP Shares may be redeemed, in whole or in part, at any time at the option of BTT. The redemption price per RVMTP Share is equal to the liquidation preference per share plus any outstanding unpaid dividends. The RVMTP Shares are subject to certain restrictions on transfer outside of a remarketing. The RVMTP Shares are subject to remarketing upon 90 days’ notice by holders of the RVMTP Shares and 30 days’ notice by BTT. Each remarketing must be at least six months apart from the last remarketing. A holder of RVMTP Shares may submit notice of remarketing only if such holder requests a remarketing of at least the lesser of (i) $100,000,000 of RVMTP Shares or (ii) all of the RVMTP Shares held by such holder.
Dividends: Dividends on the RVMTP Shares are declared daily and payable monthly at a variable rate set weekly at a fixed rate spread to a percentage of theone-month LIBOR rate. The fixed rate spread may be adjusted at each remarketing or upon the agreement of BTT and the then-holder(s) of the RVMTP Shares. In the event that all of the RVMTP Shares submitted for remarketing are not successfully remarketed, a failed remarketing would occur, and all holders would retain their RVMTP Shares. In the event of a failed remarketing, the fixed rate spread would be set at the fixed rate spread applicable to such failed remarketing. BTT has the right to reject any fixed spread determined at a remarketing, and such rejection would result in a failed remarketing and the fixed rate spread would be set at the fixed rate spread applicable to such failed remarketing. The fixed rate spread applicable due to a failed remarketing depends on whether the remarketing was pursuant to a mandatory ornon-mandatory tender. In the case of a failed remarketing following a mandatory tender, the failed remarketing spread would be the sum of the last applicable spread in effect immediately prior to the failed remarketing date for such failed remarketing plus 0.75%. In the case of a failed remarketing not associated with a mandatory tender, the failed remarketing spread would be the sum of the last applicable spread in effect immediately prior to the failed remarketing date for such failed remarketing plus 0.25%.
For the six months ended January 31, 2019, the average annualized dividend rate for the RVMTP Shares was 2.26%.
Remarketing: In the event of a failed remarketing that is not subsequently cured, BTT will be required to redeem the RVMTP Shares subject to such failed remarketing on a date that is approximately six months from the remarketing date for such failed remarketing, provided that no redemption of any RVMTP Share may occur within one year of the date of issuance of such RVMTP Share. At the date of issuance and as of period end, the RVMTP Shares were assigned long-term ratings of Aa1 from Moody’s and AAA from Fitch. The dividend rate on the RVMTP Shares is subject to astep-up spread if BTT fails to comply with certain provisions, including, among other things, the timely payment of dividends, redemptions orgross-up payments, and complying with certain asset coverage and leverage requirements.
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| 58 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Notes to Financial Statements (unaudited) (continued)
During the six months ended January 31, 2019, no RVMTP Shares were tendered for remarketing.
For the six months ended January 31, 2019, RVMTP Shares issued and outstanding of BTT Trust remained constant.
Offering Costs: The Trusts incurred costs in connection with the issuance of VRDP, VMTP and RVMTP Shares, which were recorded as a direct deduction from the carrying value of the related debt liability and will be amortized over the life of the VRDP, VMTP and RVMTP Shares. with the exception of upfront fees paid to the liquidity provider which were amortized over the life of the liquidity agreement. Amortization of these costs is included in interest expense, fees and amortization of offering costs in the Statements of Operations.
Financial Reporting: The VRDP, VMTP and RVMTP Shares are considered debt of the issuer; therefore, the liquidation preference, which approximates fair value of the VRDP, VMTP and RVMTP Shares, is recorded as a liability in the Statements of Assets and Liabilities net of deferred offering costs. Unpaid dividends are included in interest expense and fees payable in the Statements of Assets and Liabilities, and the dividends accrued and paid on the VRDP, VMTP and RVMTP Shares are included as a component of interest expense, fees and amortization of offering costs in the Statements of Operations. The VRDP, VMTP and RVMTP Shares are treated as equity for tax purposes. Dividends paid to holders of the VRDP, VMTP and RVMTP Shares are generally classified astax-exempt income fortax-reporting purposes. Dividends and amortization of deferred offering costs on VRDP, VMTP and RVMTP Shares are included in interest expense, fees and amortization of offering costs in the Statements of Operations:
| | | | | | | | |
| | | Dividends
Accrued | | | Deferred
Offering Costs
Amortization | |
BFZ | | $ | 2,055,694 | | | $ | — | |
BTT | | | 8,556,545 | | | | 15,763 | |
BBF | | | 640,099 | | | | 3,081 | |
BNY | | | 1,134,052 | | | | — | |
| 11. | REGULATIONS-X AMENDMENTS |
On August 17, 2018, the SEC adopted amendments to certain disclosure requirements in Securities Act ReleaseNo. 33-10532, Disclosure Update and Simplification. The Funds have adopted the amendments pertinent to RegulationS-X in this shareholder report. The amendments impacted certain disclosure presentation on the Statements of Assets and Liabilities, Statements of Changes in Net Assets and Notes to the Financial Statements.
Prior year distribution information and undistributed net investment income in the Statements of Changes in Net Assets has been modified to conform to the current year presentation in accordance with the RegulationS-X changes.
Distributions for the year ended July 31, 2018, were classified as follows:
| | | | |
| | | Net Investment Income | |
BFZ | | $ | 21,374,933 | |
BTT | | | 60,111,851 | |
BBF | | | 8,338,505 | |
BNY | | | 8,310,969 | |
Undistributed (distributions in excess of) net investment income as of July 31, 2018, is as follows:
| | | | |
| | | Undistributed
Net Investment Income | |
BFZ | | $ | (307,812 | ) |
BTT | | | 6,241,370 | |
BBF | | | 294,524 | |
BNY | | | 796,400 | |
Management’s evaluation of the impact of all subsequent events on the Trusts’ financial statements was completed through the date the financial statements were issued and the following items were noted:
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Common Dividend
Per Share | | | | | | Preferred Shares (c) | |
| | | Paid (a) | | | Declared (b) | | | | | | Shares | | | Series | | | Declared | |
BFZ | | $ | 0.0445 | | | $ | 0.0445 | | | | | | | | VMTP | | | | W-7 | | | $ | 310,593 | |
BTT | | | 0.0624 | | | | 0.0624 | | | | | | | | RVMTP | | | | W-7 | | | | 1,408,110 | |
BBF | | | 0.0580 | | | | 0.0580 | | | | | | | | VRDP | | | | W-7 | | | | 100,267 | |
BNY | | | 0.0445 | | | | 0.0445 | | | | | | | | VMTP | | | | W-7 | | | | 171,343 | |
| | (a) | Net investment income dividend paid on March 1, 2019 to Common Shareholders of record on February 15, 2019. | |
| | (b) | Net investment income dividend declared on March 1, 2019, payable to Common Shareholders of record March 15, 2019. | |
| | (c) | Dividends declared for period February 1, 2019 to February 28, 2019. | |
| | | | |
| NOTESTO FINANCIAL STATEMENTS | | | 59 | |
Trustee and Officer Information
Richard E. Cavanagh, Co-Chair of the Board and Trustee
Karen P. Robards, Co-Chair of the Board and Trustee
Michael J. Castellano, Trustee
Cynthia L. Egan, Trustee
Frank J. Fabozzi, Trustee
Henry Gabbay, Trustee
R. Glenn Hubbard, Trustee
W. Carl Kester, Trustee
Catherine A. Lynch, Trustee
Robert Fairbairn, Trustee
John M. Perlowski, Trustee, President and Chief Executive Officer
Jonathan Diorio, Vice President
Neal J. Andrews, Chief Financial Officer
Jay M. Fife, Treasurer
Charles Park, Chief Compliance Officer
Janey Ahn, Secretary
As of the date of this report, the portfolio managers for BNY are Walter O’Connor and Michael Perilli. Mr. Perilli joined BNY’s portfolio management team effective October 1, 2018. Mr. Perilli has been a Vice President of BlackRock, Inc. since 2014, and as Associate thereof from 2008 to 2014.
Effective January 1, 2019, Richard E. Cavanagh and Karen P. Robards were appointed as a Co-Chair of the Board. Prior to January 1, 2019, Mr. Cavanagh served as Chair of the Board and Ms. Robards served as Vice Chair of the Board. In addition, effective January 1, 2019, Henry Gabbay was appointed as a Trustee of each Trust.
Investment Adviser
BlackRock Advisors, LLC
Wilmington, DE 19809
Accounting Agent and Custodian
State Street Bank and Trust Company
Boston, MA 02111
Transfer Agent
Computershare Trust Company, N.A.
Canton, MA 02021
VRDP Tender and Paying Agent, VMTP Tender and Paying Agent and RVMTP Redemption and Paying Agent
The Bank of New York Mellon
New York, NY 10286
VRDP Liquidity Provider
Barclays Bank PLC
New York, NY 10019
VRDP Remarketing Agent
Barclays Capital, Inc.
New York, NY 10019
Independent Registered Public Accounting Firm
Deloitte & Touche LLP
Boston, MA 02116
Legal Counsel
Willkie Farr & Gallagher LLP
New York, NY 10019
Address of the Trusts
100 Bellevue Parkway
Wilmington, DE 19809
| | |
| 60 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Additional Information
Section 19(a) Notices
The amounts and sources of distributions reported are estimates and are being provided to you pursuant to regulatory requirements and are not being provided for tax reporting purposes. The actual amounts and sources for tax reporting purposes will depend upon each Trust’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. Each Trust will provide a Form 1099-DIV each calendar year that will tell you how to report these distributions for U.S. federal income tax purposes.
January 31, 2019
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Total Cumulative Distributions
for the Fiscal Period | | | | | | % Breakdown of the Total Cumulative
Distributions for the Fiscal Period | |
| | | Net
Investment
Income | | | Net Realized
Capital Gains
Short-Term | | | Net Realized
Capital Gains
Long-Term | | | Return of
Capital | | | Total Per
Common
Share | | | | | | Net
Investment
Income | | | Net Realized
Capital Gains
Short-Term | | | Net Realized
Capital Gains
Long-Term | | | Return of
Capital | | | Total Per
Common
Share | |
BBF | | $ | 0.358000 | | | $ | — | | | $ | — | | | $ | — | | | $ | 0.358000 | | | | | | | | 100% | | | | —% | | | | —% | | | | —% | | | | 100% | |
Section 19(a) notices for the Trusts, as applicable, are available on the BlackRock website athttp://www.blackrock.com.
Trust Certification
The Trusts are listed for trading on the NYSE and have filed with the NYSE their annual chief executive officer certification regarding compliance with the NYSE’s listing standards. The Trusts filed with the SEC the certification of its chief executive officer and chief financial officer required by section 302 of the Sarbanes-Oxley Act.
Dividend Policy
Each Trust’s dividend policy is to distribute all or a portion of its net investment income to its shareholders on a monthly basis. In order to provide shareholders with a more stable level of distributions, the Trusts may at times pay out less than the entire amount of net investment income earned in any particular month and may at times in any particular month pay out such accumulated but undistributed income in addition to net investment income earned in that month. As a result, the distributions paid by the Trusts for any particular month may be more or less than the amount of net investment income earned by the Trusts during such month. The Trusts’ current accumulated but undistributed net investment income, if any, is disclosed in the Statements of Assets and Liabilities, which comprises part of the financial information included in this report.
General Information
The Trusts do not make available copies of their Statements of Additional Information because the Trusts’ shares are not continuously offered, which means that the Statement of Additional Information of each Trust has not been updated after completion of the respective Trust’s offerings and the information contained in each Trust’s Statement of Additional Information may have become outdated.
During the period, there were no material changes in the Trusts’ investment objectives or policies or to the Trusts’ charters or by-laws that would delay or prevent a change of control of the Trusts that were not approved by the shareholders or in the principal risk factors associated with investment in the Trusts. Except as disclosed on page 60, there have been no changes in the persons who are primarily responsible for the day-to-day management of the Trusts’ portfolios.
In accordance with Section 23(c) of the Investment Company Act of 1940, each Trust may from time to time purchase shares of its common stock in the open market or in private transactions.
Quarterly performance, semi-annual and annual reports, current net asset value and other information regarding the Trusts may be found on BlackRock’s website, which can be accessed athttp://www.blackrock.com. Any reference to BlackRock’s website in this report is intended to allow investors public access to information regarding the Trusts and does not, and is not intended to, incorporate BlackRock’s website in this report.
Electronic Delivery
Shareholders can sign up for e-mail notifications of quarterly statements, annual and semi-annual shareholder reports by enrolling in the electronic delivery program. Electronic copies of shareholder reports are available on BlackRock’s website.
To enroll in electronic delivery:
Shareholders Who Hold Accounts with Investment Advisers, Banks or Brokerages:
Please contact your financial advisor. Please note that not all investment advisers, banks or brokerages may offer this service.
Householding
The Trusts will mail only one copy of shareholder documents, 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 Trusts at (800) 882-0052.
| | | | |
| ADDITIONAL INFORMATION | | | 61 | |
Additional Information (continued)
Availability of Quarterly Schedule of Investments
The Trusts 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 Trusts’ Forms N-Q are available on the SEC’s website at http://www.sec.gov. The Trusts’ Forms N-Q may also be obtained upon request and without charge by calling (800) 882-0052.
Availability of Proxy Voting Policies and Procedures
A description of the policies and procedures that the Trusts use to determine how to vote proxies relating to portfolio securities is available upon request and without charge (1) by calling (800) 882-0052; (2) athttp://www.blackrock.com; and (3) on the SEC’s website at http://www.sec.gov.
Availability of Proxy Voting Record
Information about how the Trusts voted proxies relating to securities held in the Trusts’ portfolios during the most recent 12-month period ended June 30 is available upon request and without charge (1) athttp://www.blackrock.com; or by calling (800) 882-0052; and (2) on the SEC’s website at http://www.sec.gov.
Availability of Trust Updates
BlackRock will update performance and certain other data for the Trusts on a monthly basis on its website in the “Closed-end Funds” section ofhttp://www.blackrock.comas well as certain other material information as necessary from time to time. Investors and others are advised to check the website for updated performance information and the release of other material information about the Trusts. This reference to BlackRock’s website is intended to allow investors public access to information regarding the Trusts and does not, and is not intended to, incorporate BlackRock’s website in this report.
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 thenon-public personal information of its Clients, including procedures relating to the proper storage and disposal of such information.
| | |
| 62 | | 2019 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS |
Glossary of Terms Used in this Report
| | |
| Portfolio Abbreviations |
| |
| AGC | | Assured Guarantee Corp. |
| |
| AGM | | Assured Guaranty Municipal Corp. |
| |
| AMBAC | | American Municipal Bond Assurance Corp. |
| |
| AMT | | Alternative Minimum Tax (subject to) |
| |
| ARB | | Airport Revenue Bonds |
| |
| BAM | | Build America Mutual Assurance Co. |
| |
| CAB | | Capital Appreciation Bonds |
| |
| CIFG | | CIFG Assurance North America, Inc. |
| |
| COP | | Certificates of Participation |
| |
| EDA | | Economic Development Authority |
| |
| EDC | | Economic Development Corp. |
| |
| ERB | | Education Revenue Bonds |
| |
| FHA | | Federal Housing Administration |
| |
| GARB | | General Airport Revenue Bonds |
| |
| GO | | General Obligation Bonds |
| |
| HFA | | Housing Finance Agency |
| |
| IDA | | Industrial Development Authority |
| |
| IDB | | Industrial Development Board |
| |
| ISD | | Independent School District |
| |
| LRB | | Lease Revenue Bonds |
| |
| M/F | | Multi-Family |
| |
| NPFGC | | National Public Finance Guarantee Corp. |
| |
| PILOT | | Payment in Lieu of Taxes |
| |
| PSF-GTD | | Permanent School Fund Guaranteed |
| |
| RB | | Revenue Bonds |
| |
| S/F | | Single-Family |
| |
| SONYMA | | State of New York Mortgage Agency |
| | | | |
| GLOSSARYOF TERMS USEDINTHIS REPORT | | | 63 | |
This report is intended for current holders. It is not a prospectus. Past performance results shown in this report should not be considered a representation of future performance. The Trusts have leveraged their Common Shares, which creates risks for Common Shareholders, including the likelihood of greater volatility of net asset value and market price of the Common Shares, and the risk that fluctuations in short-term interest rates may reduce the Common Shares’ yield. Statements and other information herein are as dated and are subject to change.
| | |
| CEF-BK6-1/19-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 to this semi-annual report |
| |
| Item 6 – | | Investments |
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| | (a) The registrant’s Schedule of Investments is 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 FormN-CSR filing. |
| |
| Item 7 – | | Disclosure of Proxy Voting Policies and Procedures forClosed-End Management Investment Companies – Not Applicable to this semi-annual report |
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| Item 8 – | | Portfolio Managers ofClosed-End Management Investment Companies |
| |
| | (a) Not Applicable to this semi-annual report. |
| |
| | (b) As of the date of this filing, there have been no changes in any of the portfolio managers identified in the most recent annual report on FormN-CSR. |
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| Item 9 – | | Purchases of Equity Securities byClosed-End Management Investment Company and Affiliated Purchasers |
| | | | | | | | |
| Period | | (a) Total Number of
Shares
Purchased | | (b) Average
Price Paid per
Share | | (c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | | (d) Maximum Number of Shares that May Yet Be
Purchased Under the Plans or Programs1 |
August 1 – 31, 2018 | | N/A | | N/A | | N/A | | N/A |
September 1 – 30, 2018 | | N/A | | N/A | | N/A | | N/A |
October1- 31, 2018 | | N/A | | N/A | | N/A | | N/A |
November 1 – 30, 2018 | | N/A | | N/A | | N/A | | N/A |
December 1 – 31, 2018 | | 0 | | $0 | | 0 | | 511,378 |
January 1 – 31, 2019 | | 0 | | $0 | | 0 | | 511,378 |
Total: | | 0 | | $0 | | 0 | | 511,378 |
1The Fund announced an open market share repurchase program on November 15, 2018 pursuant to which the Fund was authorized to repurchase, through November 30, 2019, up to 5% of its common shares based on common shares outstanding on November 30, 2018, in open market transactions, subject to certain conditions.
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| Item 10 – | | Submission of Matters to a Vote of Security Holders – There have been no material changes to these procedures. |
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| Item 11 – | | Controls and Procedures |
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| | (a) The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a- |
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| | |
| | 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 Rule30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended. |
| |
| | (b) There were no changes in the registrant’s internal control over financial reporting (as defined in Rule30a-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 registrant’s internal control over financial reporting. |
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| Item 12 – | | Disclosure of Securities Lending Activities forClosed-End Management Investment Companies – Not Applicable |
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| Item 13 – | | Exhibits attached hereto |
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| | (a)(1) – Code of Ethics – Not Applicable to this semi-annual report |
| |
| | (a)(2) – Certifications – Attached hereto |
| |
| | (a)(3) – Not Applicable |
| |
| | (a)(4) – Not Applicable |
| |
| | (b) – Certifications – Attached hereto |
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Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
BlackRock Municipal Income Investment Trust
| | |
| By: | | /s/ John M. Perlowski |
| | John M. Perlowski |
| | Chief Executive Officer (principal executive officer) of BlackRock Municipal Income Investment Trust |
Date: April 5, 2019
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 the 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 Municipal Income Investment Trust |
Date: April 5, 2019
| | |
| By: | | /s/ Neal J. Andrews |
| | Neal J. Andrews |
| | Chief Financial Officer (principal financial officer) of BlackRock Municipal Income Investment Trust |
Date: April 5, 2019
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