BlackRock Credit Allocation Income Trust NCSRS Certified semi-annual shareholder report (management investment company)

BlackRock Credit Allocation Income Trust (BTZ) N-CSRSCertified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT

COMPANIES

Investment Company Act file number 811-21972

Name of Fund: BlackRock Credit Allocation Income Trust (BTZ)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Credit Allocation Income Trust, 55 East 52^nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 10/31/2017

Date of reporting period: 04/30/2017

Item 1 – Report to Stockholders

APRIL 30, 2017

SEMI-ANNUAL REPORT (UNAUDITED)

BlackRock Credit Allocation Income Trust (BTZ)

BlackRock Floating Rate Income Trust (BGT)

BlackRock Multi-Sector Income Trust (BIT)

Not FDIC Insured • May Lose Value • No Bank Guarantee

The Markets in Review

Dear Shareholder,

In the 12 months ended April 30, 2017, risk assets, such as stocks and high-yield bonds, delivered strong performance. These markets showed great resilience during a period with big surprises, including the United Kingdom’s vote to leave the European Union and the outcome of the U.S. presidential election, which brought only brief spikes in equity market volatility. However, high-quality assets with more interest rate sensitivity struggled. U.S. Treasuries posted negative returns as rising energy prices, modest wage increases and steady job growth led to expectations of higher inflation and anticipation of interest rate increases by the U.S. Federal Reserve (the “Fed”).

The global reflationary theme — rising nominal growth, wages and inflation — was the dominant driver of asset returns during the period, outweighing significant political upheavals and uncertainty. Reflationary expectations accelerated after the U.S. election and continued into the beginning of 2017, stoked by expectations that the new presidential administration’s policies would provide an extra boost to U.S. growth. More recently, however, growing skepticism about the likelihood of significant near-term U.S. tax reform and infrastructure spending has tempered enthusiasm around the reflation trade. Nonetheless, markets have remained generally positive thus far in 2017 and continue to exhibit low levels of volatility by historical standards. Although political uncertainty persisted, benign credit conditions and expectations for economic growth have kept markets fairly tranquil. The period ended with a global risk asset rally following centrist Emmanuel Macron’s win in the first round of the French presidential election and better-than-expected U.S. and European corporate earnings.

Although economic momentum is gaining traction, the capacity for rapid global growth is restrained by structural factors, including an aging population, low productivity growth and excess savings, as well as cyclical factors, like the Fed moving toward the normalization of monetary policy and the length of the current expansion. Tempered economic growth and high valuations across most assets have set the stage for muted returns going forward.

Equity markets still present opportunities, although the disparity between winners and losers is widening — a dynamic that increases both the risk and return potential of active investing. Fixed income investors are also facing challenges as many sectors are exhibiting higher valuations while rates remain at historically low levels.

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 visit blackrock.com for further insight about investing in today’s markets.

Sincerely,

LOGO

Rob Kapito

President, BlackRock Advisors, LLC

LOGO

Rob Kapito

President, BlackRock Advisors, LLC


Total Returns as of April 30, 2017
	6-month			12-month
U.S. large cap equities (S&P 500^® Index)		13.32	%		17.92	%
U.S. small cap equities (Russell 2000^® Index)		18.37			25.63
International equities (MSCI Europe, Australasia, Far East Index)		11.47			11.29
Emerging market equities (MSCI Emerging Markets Index)		8.88			19.13
3-month Treasury bills (BofA Merrill Lynch 3-Month U.S. Treasury Bill Index)		0.23			0.40
U.S. Treasury securities (BofA Merrill Lynch 10-Year U.S. Treasury Index)		(3.13	)		(2.68	)
U.S. investment grade bonds (Bloomberg Barclays U.S. Aggregate Bond Index)		(0.67	)		0.83
Tax-exempt municipal bonds (S&P Municipal Bond Index)		(0.41	)		0.57
U.S. high yield bonds (Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index)		5.30			13.29
Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.



2		THIS PAGE NOT PART OF YOUR FUND REPORT


Table of Contents


	Page
The Markets in Review		2
Semi-Annual Report:
Trust Summaries		4
The Benefits and Risks of Leveraging		10
Derivative Financial Instruments		10
Financial Statements:
Schedules of Investments		11
Statements of Assets and Liabilities		76
Statements of Operations		77
Statements of Changes in Net Assets		78
Statements of Cash Flows		80
Financial Highlights		81
Notes to Financial Statements		84
Officers and Trustees		99
Additional Information		100



SEMI-ANNUAL REPORT	APRIL 30, 2017	3


Trust Summary as of April 30, 2017				BlackRock Credit Allocation Income Trust

Trust Overview

BlackRock Credit Allocation Income Trust’s (BTZ) (the “Trust”) investment objective is to provide current income, current gains and capital appreciation. The Trust seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in credit-related securities, including, but not limited to, investment grade corporate bonds, high yield bonds (commonly referred to as “junk” bonds), bank loans, preferred securities or convertible bonds or derivatives with economic characteristics similar to these credit-related securities. 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 New York Stock Exchange (“NYSE”)		BTZ
Initial Offering Date		December 27, 2006
Current Distribution Rate on Closing Market Price as of April 30, 2017 ($13.41)¹		6.31%
Current Monthly Distribution per Common Share²		$0.0705
Current Annualized Distribution per Common Share²		$0.8460
Economic Leverage as of April 30, 2017³		22%

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 consists of income, net realized gains and/or a return of capital. Past performance does not guarantee future results.

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.

Represents reverse repurchase agreements as a percentage of total managed assets, which is the total assets of the Trust (including any assets attributable to any borrowings) minus the sum of its liabilities (other than borrowings representing financial leverage). For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 10.

Performance and Portfolio Management Commentary

Returns for the six months ended April 30, 2017 were as follows:


	Returns Based On
	Market Price			NAV
BTZ^1,2		7.64	%		3.59	%
Lipper Corporate BBB-Rated Debt Funds (Leveraged)³		2.84	%		1.90	%

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

The Trust’s discount to NAV narrowed during the period, which accounts for the difference between performance based on price and performance based on NAV.

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-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.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influenced performance?

•

The largest detractors from performance included the Trust’s positions in the tobacco, food & beverage, wireline and retail industries.

•

Positive contributors to performance during the period included the Trust’s exposure to capital securities (dividend-paying securities that combine some features of both corporate bonds and preferred stocks, while generally providing higher yields to compensate for being less senior in the issuer’s capital structure). In terms of industries, holdings within midstream energy, utilities and U.S. banks added to performance. Exposure

to high yield bonds also contributed positively to performance on an absolute basis. Finally, positioning with respect to duration (and corresponding interest rate sensitivity) and yield curve positioning helped generate positive performance as well.

Describe recent portfolio activity.

•

The Trust tactically shortened its duration in preparation for rates moving higher as a result of the reflationary environment and anticipated pro-growth policy initiatives. The Trust kept its preference for high quality assets given the lack of value in the overall market and somewhat elevated geopolitical risks, while tactically adding shorter-maturity high yield names. At the same time, the Trust was positioned to benefit from the extended credit cycle and investment grade corporate bonds as they continue to be supported by the reflation theme.

Describe portfolio positioning at period end.

•

The Trust ended the period defensively positioned despite a constructive fundamental backdrop for credit, as the investment adviser views geopolitical risks as elevated and many of the supportive factors as already reflected in tightened spreads and active investor allocations to credit. The Trust continued its positive view on pipelines and cable/telecommunications, while maintaining a more defensive stance with respect to industrials. Within high quality industrials, the Trust favored short-maturity credits given the lack of value in the current market. With respect to financials, the Trust favored longer maturities within senior credits and short-end issues within subordinate issues.

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



4	SEMI-ANNUAL REPORT	APRIL 30, 2017


		BlackRock Credit Allocation Income Trust


Market Price and Net Asset Value Per Share Summary


	4/30/17		10/31/16		Change			High		Low
Market Price	$	13.41	$	12.87		4.20	%	$	13.41	$	12.06
Net Asset Value	$	14.65	$	14.61		0.27	%	$	14.65	$	14.14


Market Price and Net Asset Value History For the Past Five Years

LOGO


Overview of the Trust’s Total Investments


Portfolio Composition	4/30/17			10/31/16
Corporate Bonds		72	%		71	%
Preferred Securities		21			17
Asset-Backed Securities		3			4
U.S. Treasury Obligations		1			6
Municipal Bonds		1			1
Foreign Agency Obligations		2			1
Other¹		—			—

Includes a less than 1% holding in each of the following investment types: Short-Term Securities, U.S. Government Sponsored Agency Securities, Options Purchased, Options Written and Common Stocks.


Credit Quality Allocation^2,3	4/30/17			10/31/16
AAA/Aaa⁴		2	%		7	%
AA/Aa		2			3
A		17			17
BBB/Baa		49			47
BB/Ba		18			16
B		9			8
CCC/Caa		1			1
N/R		2			1

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

Excludes Short-Term Securities, Options Purchased and Options Written.

⁴

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



SEMI-ANNUAL REPORT	APRIL 30, 2017	5


Trust Summary as of April 30, 2017				BlackRock Floating Rate Income Trust

Trust Overview

BlackRock Floating Rate Income Trust’s (BGT) (the “Trust”) primary investment objective is to provide a high level of current income. The Trust’s secondary investment objective is to seek the preservation of capital to the extent consistent with its primary objective of high current income. The Trust seeks to achieve its investment objectives by investing primarily, under normal conditions, at least 80% of its assets in floating and variable rate instruments of U.S. and non-U.S. issuers, including a substantial portion of its assets in global floating and variable rate securities including senior secured floating rate loans made to corporate and other business entities. Under normal market conditions, the Trust expects that the average effective duration of its portfolio will be no more than 1.5 years. 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 objectives will be achieved.

Trust Information


Symbol on NYSE		BGT
Initial Offering Date		August 30, 2004
Current Distribution Rate on Closing Market Price as of April 30, 2017 ($14.68)¹		4.77%
Current Monthly Distribution per Common Share²		$0.0583
Current Annualized Distribution per Common Share²		$0.6996
Economic Leverage as of April 30, 2017³		29%

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.

Represents bank borrowings outstanding as a percentage of total managed assets, which is the total assets of the Trust (including any assets attributable to any borrowings) minus the sum of its liabilities (other than borrowings representing financial leverage). For a discussion of leveraging techniques utilized by the Trust, please see The Benefits and Risks of Leveraging on page 10.

Performance and Portfolio Management Commentary

Returns for the six months ended April 30, 2017 were as follows:


	Returns Based On
	Market Price			NAV
BGT^1,2		11.29	%		3.59	%
Lipper Loan Participation Funds³		10.09	%		4.13	%

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

The Trust moved from a discount to NAV to a premium, which accounts for the difference between performance based on price and performance based on NAV.

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-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.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influence performance?

•

The Trust’s exposure to retailers was the principal detractor from performance, as secular changes in consumer spending behavior, shifting fashion trends, excess capacity, and potential fiscal reform all weighed on the segment.

•

The broad floating rate loan interest (“bank loan”) market provided a positive return for the six-month period. Among the most notable drivers of positive returns in the Trust were allocations to the technology and health care sectors. The Trust’s tactical high yield bond allocation also benefited performance, as high yield bonds outperformed bank loans over the six-month period.

Describe recent portfolio activity.

•

Throughout the six-month period, the Trust maintained its focus on the higher quality segments of the loan market in terms of loan structure, liquidity and overall credit quality. The Trust concentrated its investments in strong companies with stable cash flows and high quality collateral, with the ability to meet interest obligations and ultimately return principal. This high-quality bias constrained recent performance given the outperformance by the riskier areas of the market. To capture additional momentum and benefit from a more constructive narrative surrounding commodity-related assets, the Trust selectively added to its fixed-rate high yield bond allocation early in the period, which contributed to results given that market’s outperformance versus loans. This position was reduced as the period progressed amid tighter risk premiums in the high yield market and volatility in oil prices. From a sector standpoint, the Trust added to risk within the technology and health care sectors, while reducing exposure to names in the electric and transportation services sectors.

Describe portfolio positioning at period end.

•

At period end, the Trust held 92% of its total portfolio in bank loans, with the remainder primarily in corporate bonds and collateralized loan obligations. Across the credit spectrum, the Trust held most of its assets in single B-rated credits, followed by BB-rated loan names. The Trust maintained minimal exposure to CCC and below rated loan credits, and avoided what it perceives to be the riskier segments of that universe (i.e. offshore drillers, retailers, and media). Top issuer positions included Level 3 (wirelines), Altice/Numericable (cable & satellite), and First Data (technology). The Trust continued its strategy to maintain a modest stake in more conservative high yield bonds.



6	SEMI-ANNUAL REPORT	APRIL 30, 2017


		BlackRock Floating Rate Income Trust


Market Price and Net Asset Value Per Share Summary


	4/30/17		10/31/16		Change			High		Low
Market Price	$	14.68	$	13.58		8.10	%	$	14.79	$	13.23
Net Asset Value	$	14.50	$	14.41		0.62	%	$	14.59	$	14.30


Market Price and Net Asset Value History For the Past Five Years

LOGO


Overview of the Trust’s Total Investments



Portfolio Composition	4/30/17			10/31/16
Floating Rate Loan Interests		92	%		92	%
Corporate Bonds		5			4
Asset-Backed Securities		1			2
Short-Term Securities		1			2
Other		1	¹		—	²

Includes a less than 1% holding in each of the following investment types: Common Stocks, Other Interests, Rights, Warrants and Options Purchased.

Includes a less than 1% holding in each of the following investment types: Non-Agency Mortgage — Backed Securities, Other Interests, Investment Companies, Warrants, Common Stocks and Options Purchased.



Credit Quality Allocation^3,4	4/30/17			10/31/16
A		—			—	⁵
BBB/Baa		8	%		8	%
BB/Ba		38			43
B		43			41
CCC/Caa		3			3
C		1			—
N/R		7			5

For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P’s 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.

⁴

Excludes Short-Term Securities and Options Purchased.

⁵

Represents less than 1% of total investments.



SEMI-ANNUAL REPORT	APRIL 30, 2017	7


Trust Summary as of April 30, 2017				BlackRock Multi-Sector Income Trust

Trust Overview

BlackRock Multi-Sector Income Trust’s (BIT) (the “Trust”) primary investment objective is to seek high current income, with a secondary objective of capital appreciation. The Trust seeks to achieve its investment objectives by investing, under normal market conditions, at least 80% of its assets in loan and debt instruments and other investments with similar economic characteristics. 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 objectives will be achieved.


Trust Information
Symbol on NYSE		BIT
Initial Offering Date		February 27, 2013
Current Distribution Rate on Closing Market Price as of April 30, 2017 ($17.98)¹		7.79%
Current Monthly Distribution per Common Share²		$0.1167
Current Annualized Distribution per Common Share²		$1.4004
Economic Leverage as of April 30, 2017³		39%

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.

Performance and Portfolio Management Commentary

Returns for the six months ended April 30, 2017 were as follows:


	Returns Based On
	Market Price			NAV
BIT^1,2		14.18	%		7.96	%
Lipper General Bond Funds³		9.59	%		6.85	%

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

The Trust’s discount to NAV narrowed during the period, which accounts for the difference between performance based on price and performance based on NAV.

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-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.

The following discussion relates to the Trust’s absolute performance based on NAV:

What factors influenced performance?

•

The Trust’s positions in high yield corporate bonds, residential mortgage-backed securities (“MBS”), commercial mortgage backed securities (“CMBS”), investment grade corporates and senior loans were the largest contributors to performance. The Trust’s allocations to asset-backed securities (“ABS”) as well as foreign government and agency obligations also supported absolute returns.

•

The Trust’s duration (sensitivity to interest rate movements) and yield curve positioning detracted from performance during the period.

Describe recent portfolio activity.

•

The investment adviser believes that the failure to pass health care reform has marginally dampened investors’ confidence in the ability of the Trump administration to move forward with its pro-growth agenda. Consequently, the Trust’s spread duration (sensitivity to credit spreads) was decreased as spread sector exposure was rotated out of corporate bonds and into sovereign plus and non-agency MBS. The Trust largely maintained its duration exposure over the period. From a sub-sector perspective, corporate spreads have been approaching their lowest levels of the cycle and appear to be overvalued relative to MBS. The Trust reduced its exposure to investment grade financials and rotated into non-agency collateralized mortgage obligations to take advantage of this imbalance. The investment adviser also believed that sovereign plus names appeared relatively attractive versus other fixed income spread sectors and increased the Trust’s exposure to lower quality sovereign issues.

Describe portfolio positioning at period end.

•

At period end, the Trust maintained a diversified exposure to non-government spread sectors, including non-agency MBS, high yield corporates, capital securities, ABS, collateralized loan obligations, CMBS and senior loans. The Trust also held marginal exposure to foreign government and agency obligations.



8	SEMI-ANNUAL REPORT	APRIL 30, 2017


		BlackRock Multi-Sector Income Trust


Market Price and Net Asset Value Per Share Summary


	4/30/17		10/31/16		Change			High		Low
Market Price	$	17.98	$	16.76		7.28	%	$	17.98	$	15.53
Net Asset Value	$	19.18	$	18.91		1.43	%	$	19.18	$	18.28


Market Price and Net Asset Value History Since Inception

LOGO

Commencement of operations.


Overview of the Trust’s Total Investments


Portfolio Composition	4/30/17			10/31/16
Corporate Bonds		41	%		41	%
Asset-Backed Securities		18			19
Non-Agency Mortgage-Backed Securities		17			18
Preferred Securities		12			12
Foreign Agency Obligations		6			4
Floating Rate Loan Interests		6			5
Short-Term Securities		—	¹		1
Other		—	²		—	³

Represents less than 1% of total investments.

Includes a less than 1% holding in each of the following investment types: Common Stocks, Investment Companies, Options Purchased, Options Written, Short-Term Securities and Warrants.

Includes a less than 1% holding in each of the following investment types: Common Stocks, U.S. Treasury Obligations, Options Purchased and Options Written.


Credit Quality Allocation^4,5	4/30/17			10/31/16
AAA/Aaa⁶		—	¹		—	¹
AA/Aa		1	%		2	%
A		5			8
BBB/Baa		13			18
BB/Ba		28			22
B		23			20
CCC/Caa		16			16
CC/Ca		4			5
C		—	¹		1
N/R		10			8

⁴

⁵

Excludes Short-Term Securities, Options Purchased and Options Written.

⁶



SEMI-ANNUAL REPORT	APRIL 30, 2017	9


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, these objectives cannot 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 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 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 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 shareholders and may reduce income to the shareholders. 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.

Each Trust may utilize leverage through a credit facility or reverse repurchase agreements 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 33¹/₃% of its total managed assets. BIT is permitted to use economic leverage (which includes leverage attributable to reverse repurchase agreements) of 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 its credit facility, 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 reverse repurchase agreement (including accrued interest), then such transaction is not considered a senior security and is not subject to the foregoing limitations and requirements under 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 asset 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. BIT may use economic leverage up to 100% of its net assets (50% of its total managed assets). 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.



10	SEMI-ANNUAL REPORT	APRIL 30, 2017

Schedule of Investments April 30, 2017 (Unaudited)

BlackRock Credit Allocation Income Trust (BTZ)

(Percentages shown are based on Net Assets)



Common Stocks — 0.0%		Shares		Value
Real Estate Investment Trusts (REITs) — 0.0%
Ovation Acquisition I LLC, (Acquired 12/28/15, cost $45,445) (a)			2,951		—



Asset-Backed Securities (b)		Par (000)
ALM Loan Funding, Series 2012-5A, Class BR, 4.16%, 10/18/27 (c)	USD		1,000	$	1,003,336
ALM XII Ltd., Series 2015-12A, Class B, 4.41%, 4/16/27 (c)			1,000		1,003,635
ALM XIV Ltd., Series 2014-14A, Class C, 4.49%, 7/28/26 (c)			4,500		4,505,850
ALM XVII Ltd., Series 2015-17A, Class B1, 4.56%, 1/15/28 (c)			1,400		1,408,717
AMMC CLO Ltd., Series 2015-17A, Class C, 4.29%, 11/15/27 (c)			1,000		1,006,611
Anchorage Capital CLO 3 Ltd., Series 2014-3A, Class C, 4.54%, 4/28/26 (c)			1,000		999,992
Apidos CLO XVIII, Series 2014-18A, Class CR, 4.40%, 7/22/26 (b)(c)			1,300		1,300,000
Atlas Senior Loan Fund II Ltd., Series 2012-2A, Class DR, 4.94%, 1/30/24 (c)			750		753,554
Atlas Senior Loan Fund VI Ltd., Series 2014-6A, Class DR, 4.76%, 10/15/26 (c)			2,500		2,504,326
Benefit Street Partners CLO VI Ltd., Series 2015-VIA, Class B, 4.21%, 4/18/27 (c)			1,000		1,005,664
Bowman Park CLO Ltd., Series 2014-1A, Class D2R, 4.40%, 11/23/25 (c)			1,000		999,972
Carlyle Global Market Strategies CLO Ltd., Class C (c):
Series 2013-3A, 4.56%, 7/15/25			1,000		1,002,838
Series 2015-1A, 4.31%, 4/20/27			500		501,928
Series 2016-1A, 6.06%, 4/20/27			1,000		1,014,774
Series 2016-3A, 5.16%, 10/20/29			1,000		1,010,654
CIFC Funding Ltd., Series 2014-3A, Class C1, 3.95%, 7/22/26 (c)			1,500		1,500,834
GoldenTree Loan Opportunities IX Ltd., Series 2014-9A, Class D, 4.54%, 10/29/26 (c)			1,000		1,001,654
Highbridge Loan Management Ltd. (c):
Series 4A-2014, Class B, 4.04%, 7/28/25			750		750,846
Series 6A-2015, Class C, 4.10%, 5/05/27			1,500		1,508,178
Series 8A-2016, Class D, 6.01%, 4/20/27			500		509,158
ING IM CLO Ltd., Series 2013-2A, Class C, 4.66%, 4/25/25 (c)			1,000		1,002,269
LCM XVIII LP, Series 18A, Class C1, 4.31%, 4/20/27 (c)			1,000		1,004,164


Asset-Backed Securities (b)		Par (000)			Value
Asset-Backed Securities (continued)
Limerock CLO III LLC, Series 2014-3A, Class C, 4.76%, 10/20/26 (c)	USD		1,000		$	999,975
Madison Park Funding IX Ltd., Series 2012-9AR, Class C1R, 3.89%, 8/15/22 (c)			2,000			2,000,659
Madison Park Funding XIII Ltd., Series 2014-13A, Class CR, 3.03%, 1/19/25 (c)			1,000			1,000,000
Madison Park Funding XIV Ltd., Series 2014-14A, Class DR, 4.41%, 7/20/26 (c)			2,000			2,000,368
Madison Park Funding XV Ltd., Series 2014-15A, Class B1R, 3.37%, 1/27/26 (c)			2,000			2,003,738
Mill Creek II CLO Ltd., Series 2016-1A, Class D, 5.88%, 4/20/28 (c)			1,000			1,013,189
Oak Hill Credit Partners XII Ltd., Series 2015-12A, Class C2, 4.40%, 1/23/27 (c)			1,600			1,606,400
Octagon Investment Partners 26 Ltd., Series 2016-1A, Class D, 6.11%, 4/15/27 (c)			500			507,551
Octagon Investment Partners XX Ltd., Series 2014-1A, Class C, 3.83%, 8/12/26 (c)			750			750,053
OZLM XI Ltd., Series 2015-11A, Class B, 4.04%, 1/30/27 (c)			2,750			2,761,267
Regatta IV Funding Ltd., Series 2014-1A, Class C, 4.11%, 7/25/26 (c)			1,500			1,501,767
Regatta V Funding Ltd., Series 2014-1A (c):
Class BR, 3.46%, 10/25/26			1,000			1,000,000
Class C, 4.61%, 10/25/26			1,000			999,921
Symphony CLO Ltd., Series 2016-17A, Class D, 5.96%, 4/15/28 (c)			1,000			1,016,076
Symphony CLO XV Ltd., Series 2014-15A (c):				��
Class CR, 3.22%, 10/17/26			2,500			2,499,670
Class DR, 4.37%, 10/17/26			1,000			999,866
Venture XIII CLO Ltd., Series 2013-13A, Class D, 4.66%, 6/10/25 (c)			800			802,733
Vibrant CLO II Ltd., Series 2013-2A, Class C, 4.75%, 7/24/24 (c)			1,000			994,905
Voya CLO Ltd., Series 2014-4A, Class C, 5.16%, 10/14/26 (c)			1,000			1,003,779
Webster Park CLO Ltd., Series 2015-1A, Class B1, 4.26%, 1/20/27 (c)			4,000			4,027,106
Total Asset-Backed Securities — 3.6%						56,787,977



Corporate Bonds
Aerospace & Defense — 0.6%
Huntington Ingalls Industries, Inc., 5.00%, 12/15/21 (c)			536			555,095
KLX, Inc., 5.88%, 12/01/22 (c)			725			762,156


Portfolio Abbreviations
ABS	Asset-Backed Security	FKA	Formerly Known As	MYR	Malaysian Ringgit
ARB	Airport Revenue Bonds	GBP	British Pound	OTC	Over-the-Counter
ARS	Argentine Peso	JPY	Japanese Yen	PIK	Payment-In-Kind
AUD	Australian Dollar	KRW	South Korean Won	RB	Revenue Bonds
BRL	Brazilian Real	KRWCD	3-Month Certificate of Deposit Rate	RUB	Russian Ruble
BZDIOVER	1-Day Brazil Interbank Deposit	LIBOR	London Interbank Offered Rate	TRY	Turkish Lira
CLO	Collateralized Loan Obligation	LOC	Letter of Credit	TWD	Taiwan Dollar
DIP	Debtor-In-Possession	MXIBTIIE	Mexico Interbank TIIE 28 Day	USD	U.S. Dollar
EUR	Euro	MXN	Mexican Peso	ZAR	South African Rand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	11


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Aerospace & Defense (continued)
Mexico City Airport Trust, 4.25%, 10/31/26 (c)		USD	1,350	$	1,363,500
TransDigm, Inc.:
6.00%, 7/15/22			4,360		4,490,800
6.50%, 7/15/24			1,560		1,602,900

					8,774,451
Air Freight & Logistics — 0.1%
XPO Logistics, Inc. (c):
6.50%, 6/15/22			1,421		1,504,484
6.13%, 9/01/23			496		520,800

					2,025,284
Airlines — 0.9%
American Airlines Group, Inc., 4.63%, 3/01/20 (c)			692		704,110
Continental Airlines Pass-Through Trust:
Series 2009-2, Class B, 9.25%, 11/10/18			1,278		1,279,703
Series 2012-3, Class C, 6.13%, 4/29/18			2,040		2,113,950
Delta Air Lines Pass-Through Trust, Series 2002-1, Class G-1, 6.72%, 7/02/24			2,885		3,249,284
Turkish Airlines Pass-Through Trust, Series 2015-1 Class A, 4.20%, 9/15/28 (c)			2,700		2,561,887
United Airlines Pass-Through Trust, Series 2014-1, Class B, 4.75%, 10/11/23			3,425		3,510,254
Virgin Australia Trust, Series 2013-1, Class B, 6.00%, 4/23/22 (c)			830		846,716

					14,265,904
Auto Components — 0.5%
Allison Transmission, Inc., 5.00%, 10/01/24 (c)			68		69,275
Goodyear Tire & Rubber Co., 5.00%, 5/31/26			535		549,044
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
4.88%, 3/15/19			3,950		3,999,375
6.00%, 8/01/20			3,108		3,216,780

					7,834,474
Automobiles — 0.5%
Ford Motor Co., 7.45%, 7/16/31			3,660		4,616,746
General Motors Co.:
4.88%, 10/02/23			1,875		1,999,031
6.25%, 10/02/43			940		1,026,930

					7,642,707
Banks — 4.9%
CIT Group, Inc.:
4.25%, 8/15/17			4,600		4,631,050
5.25%, 3/15/18			4,030		4,158,154
5.50%, 2/15/19 (c)			3,967		4,190,144
5.00%, 8/01/23			660		709,500
City National Corp., 5.25%, 9/15/20 (d)			2,900		3,172,438
Cooperatieve Rabobank UA, 3.95%, 11/09/22 (d)			3,775		3,917,616
Credit Suisse Group AG, 6.50%, 8/08/23 (c)			6,000		6,681,228
Credit Suisse Group Funding Guernsey Ltd., 4.55%, 4/17/26 (d)			5,000		5,247,150
Discover Bank/Greenwood, 8.70%, 11/18/19			748		847,401


Corporate Bonds	Par (000)			Value
Banks (continued)
Fifth Third Bancorp, 5.10% (b)(e)		USD	5,000	$	4,975,000
HSBC Finance Corp., 6.68%, 1/15/21 (d)			5,150		5,850,858
Intesa Sanpaolo SpA, 5.71%, 1/15/26 (c)			5,840		5,751,752
Royal Bank of Scotland Group PLC, 6.00%, 12/19/23			10,080		10,871,401
SunTrust Banks, Inc., 5.05% (b)(e)			5,270		5,270,000
Wells Fargo & Co.:
3.45%, 2/13/23			2,325		2,366,973
4.13%, 8/15/23 (d)			4,000		4,218,736
5.61%, 1/15/44 (d)			4,119		4,721,189

					77,580,590
Beverages — 0.5%
Anheuser-Busch InBev Finance, Inc., 4.90%, 2/01/46 (d)			6,170		6,740,435
Molson Coors Brewing Co., 4.20%, 7/15/46			1,665		1,574,809

					8,315,244
Biotechnology — 0.4%
Amgen, Inc., 4.66%, 6/15/51 (d)			6,709		6,759,136
Building Products — 0.2%
American Builders & Contractors Supply Co., Inc., 5.75%, 12/15/23 (c)			424		451,560
Building Materials Corp. of America, 6.00%, 10/15/25 (c)			1,832		1,955,660
Masonite International Corp., 5.63%, 3/15/23 (c)			610		632,875
Standard Industries, Inc., 5.13%, 2/15/21 (c)			420		439,425

					3,479,520
Capital Markets — 2.8%
E*Trade Financial Corp., 5.38%, 11/15/22			1,348		1,423,697
Goldman Sachs Group, Inc.:
6.25%, 9/01/17			625		634,788
7.50%, 2/15/19 (d)			5,165		5,654,936
5.25%, 7/27/21			1,175		1,292,538
5.75%, 1/24/22 (d)			5,500		6,205,194
6.25%, 2/01/41 (d)			15,000		18,926,505
Morgan Stanley (d):
5.63%, 9/23/19			6,770		7,310,591
5.50%, 7/28/21			2,695		3,000,308

					44,448,557
Chemicals — 1.0%
Axalta Coating Systems LLC, 4.88%, 8/15/24 (c)			715		740,468
Basell Finance Co. BV, 8.10%, 3/15/27 (c)(d)			6,000		8,027,610
Huntsman International LLC:
4.88%, 11/15/20			72		75,690
5.13%, 11/15/22			2,495		2,622,869
NOVA Chemicals Corp., 5.25%, 8/01/23 (c)			772		793,230
Platform Specialty Products Corp. (c):
10.38%, 5/01/21			165		183,769
6.50%, 2/01/22			1,372		1,406,300
PQ Corp., 6.75%, 11/15/22 (c)			935		1,014,465

					14,864,401
Commercial Services & Supplies — 2.9%
Aviation Capital Group Corp. (c):
7.13%, 10/15/20			31,000		35,452,344
6.75%, 4/06/21			7,850		8,969,905
United Rentals North America, Inc., 7.63%, 4/15/22			664		693,050

					45,115,299

See Notes to Financial Statements.



12	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Communications Equipment — 0.4%
CommScope Technologies Finance LLC, 6.00%, 6/15/25 (c)		USD	467	$	497,939
CommScope Technologies LLC, 5.00%, 3/15/27 (c)			2,896		2,921,340
CommScope, Inc., 5.50%, 6/15/24 (c)			254		266,065
Zayo Group LLC/Zayo Capital, Inc.:
6.38%, 5/15/25			1,418		1,533,213
5.75%, 1/15/27 (c)			593		629,321

					5,847,878
Construction & Engineering — 0.2%
BlueLine Rental Finance Corp., 9.25%, 3/15/24 (c)			2,288		2,390,960
Weekley Homes LLC/Weekley Finance Corp., 6.00%, 2/01/23			825		800,250

					3,191,210
Construction Materials — 0.5%
Allegion US Holding Co., Inc., 5.75%, 10/01/21			1,907		1,989,239
HD Supply, Inc. (c):
5.25%, 12/15/21			3,278		3,470,582
5.75%, 4/15/24			1,701		1,807,313
PulteGroup, Inc., 5.50%, 3/01/26			926		976,930

					8,244,064
Consumer Discretionary — 0.0%
Nielsen Co. Luxembourg SARL, 5.00%, 2/01/25 (c)			475		475,594
Consumer Finance — 1.2%
Ally Financial, Inc.:
5.13%, 9/30/24			590		602,538
4.63%, 3/30/25			136		134,215
8.00%, 11/01/31			5,539		6,591,410
Capital One Bank USA NA, 3.38%, 2/15/23 (d)			2,000		2,013,726
Discover Financial Services, 3.85%, 11/21/22			3,252		3,333,576
Experian Finance PLC, 2.38%, 6/15/17 (c)(d)			2,550		2,552,430
Navient Corp.:
6.63%, 7/26/21			461		488,084
7.25%, 9/25/23			996		1,040,820
Total System Services, Inc., 3.80%, 4/01/21			1,630		1,697,291

					18,454,090
Containers & Packaging — 0.4%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc., 6.00%, 2/15/25 (c)			811		838,371
Ball Corp., 4.38%, 12/15/20			681		716,752
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC:
5.75%, 10/15/20			2,866		2,951,980
6.88%, 2/15/21			68		69,926
7.00%, 7/15/24 (c)			1,247		1,342,084
Sealed Air Corp., 6.88%, 7/15/33 (c)			182		197,925

					6,117,038
Diversified Consumer Services — 0.4%
Prime Security Services Borrower LLC/Prime Finance, Inc., 9.25%, 5/15/23 (c)			1,295		1,414,787
Service Corp. International, 4.50%, 11/15/20			4,382		4,461,446

					5,876,233


Corporate Bonds	Par (000)			Value
Diversified Financial Services — 4.9%
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust:
4.63%, 10/30/20		USD	961	$	1,020,268
4.63%, 7/01/22			518		551,387
Air Lease Corp., 3.75%, 2/01/22			5,000		5,176,450
Aircastle Ltd., 6.25%, 12/01/19			3,937		4,269,676
Bank of America Corp.:
5.00%, 5/13/21 (d)			17,100		18,611,845
4.45%, 3/03/26			1,765		1,825,921
Citigroup, Inc., 6.68%, 9/13/43 (d)			4,125		5,270,871
Ford Motor Credit Co. LLC, 5.88%, 8/02/21			9,420		10,480,164
General Motors Financial Co., Inc.:
6.75%, 6/01/18			1,700		1,786,328
4.38%, 9/25/21			2,260		2,380,268
4.25%, 5/15/23			1,681		1,731,018
ING Bank NV, 5.00%, 6/09/21 (c)(d)			8,000		8,775,904
Jefferies Finance LLC/JFIN Co-Issuer Corp., 7.38%, 4/01/20 (c)			1,705		1,743,363
Leucadia National Corp., 5.50%, 10/18/23			4,000		4,308,132
Resparcs Funding LP I, 8.00% (e)(f)			4,000		900,000
Royal Bank of Scotland Group PLC:
6.10%, 6/10/23			2,500		2,687,718
5.13%, 5/28/24			5,250		5,397,530

					76,916,843
Diversified Telecommunication Services — 6.3%
AT&T, Inc.:
5.00%, 3/01/21 (d)			8,575		9,309,483
6.30%, 1/15/38 (d)			12,000		13,730,268
4.30%, 12/15/42			265		237,481
4.35%, 6/15/45			367		325,690
CenturyLink, Inc.:
6.45%, 6/15/21			1,660		1,792,800
Series Y, 7.50%, 4/01/24			1,181		1,283,168
Frontier Communications Corp.:
6.25%, 9/15/21			980		908,950
7.13%, 1/15/23			55		48,125
7.63%, 4/15/24			1,309		1,122,468
6.88%, 1/15/25			3,964		3,301,021
Level 3 Financing, Inc.:
5.38%, 8/15/22			2,095		2,163,507
5.13%, 5/01/23			1,183		1,214,054
5.38%, 1/15/24			754		783,662
5.38%, 5/01/25			2,003		2,088,128
SBA Communications Corp., 4.88%, 9/01/24 (c)			1,658		1,672,508
Telefonica Emisiones SAU:
3.19%, 4/27/18			6,550		6,637,239
5.21%, 3/08/47			5,000		5,195,035
Verizon Communications, Inc. (d):
5.15%, 9/15/23			8,775		9,711,222
6.40%, 9/15/33			9,475		11,321,535
6.55%, 9/15/43			13,225		16,230,183
5.01%, 4/15/49 (c)			10,578		10,380,953

					99,457,480
Electric Utilities — 4.7%
CMS Energy Corp., 5.05%, 3/15/22			9,900		10,903,206
Duke Energy Corp., 3.55%, 9/15/21 (d)			3,650		3,798,891
Emera, Inc., Series 16-A, 6.75%, 6/15/76 (b)			7,500		8,259,375
Great Plains Energy, Inc., 5.29%, 6/15/22 (g)			5,550		6,095,787
Midland Cogeneration Venture LP, 5.25%, 3/15/25 (c)			3,953		4,091,500
NiSource Finance Corp., 6.80%, 1/15/19 (d)			3,075		3,311,972

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	13


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Electric Utilities (continued)
Oncor Electric Delivery Co. LLC (d):
4.10%, 6/01/22		USD	4,150	$	4,423,751
5.30%, 6/01/42			2,750		3,252,972
Progress Energy, Inc., 7.00%, 10/30/31			12,000		15,965,592
Puget Energy, Inc.:
6.00%, 9/01/21			275		307,272
5.63%, 7/15/22			5,550		6,169,663
Southern Co., 4.40%, 7/01/46			7,500		7,461,330

					74,041,311
Electronic Equipment, Instruments & Components — 0.5%
CDW LLC/CDW Finance Corp.:
5.00%, 9/01/23			306		314,415
5.50%, 12/01/24			2,458		2,617,770
Jabil Circuit, Inc., 8.25%, 3/15/18			2,600		2,743,762
Sanmina Corp., 4.38%, 6/01/19 (c)			1,415		1,450,375

					7,126,322
Energy Equipment & Services — 0.7%
Genesis Energy LP/Genesis Energy Finance Corp.:
5.75%, 2/15/21			473		478,321
6.75%, 8/01/22			1,175		1,208,781
GrafTech International Ltd., 6.38%, 11/15/20			890		772,075
Halliburton Co., 5.00%, 11/15/45			6,615		7,061,764
Noble Holding International Ltd., 4.63%, 3/01/21			34		31,280
Transocean, Inc., 6.00%, 3/15/18			880		898,700

					10,450,921
Food & Staples Retailing — 1.6%
Albertsons Cos. LLC/Safeway, Inc./New Albertson’s, Inc./Albertson’s LLC (c):
6.63%, 6/15/24			775		792,437
5.75%, 3/15/25			1,120		1,089,200
CVS Health Corp.:
4.75%, 12/01/22			289		316,287
5.00%, 12/01/24			183		201,620
5.13%, 7/20/45 (d)			3,879		4,335,031
Dollar Tree, Inc.:
5.25%, 3/01/20			105		108,019
5.75%, 3/01/23			3,938		4,178,218
H.J. Heinz Finance Co., 7.13%, 8/01/39 (c)			4,415		5,690,683
Rite Aid Corp.:
6.75%, 6/15/21			541		545,058
6.13%, 4/01/23 (c)			2,194		2,172,060
Wal-Mart Stores, Inc., 5.25%, 9/01/35 (d)			5,150		6,180,051

					25,608,664
Food Products — 1.1%
Aramark Services, Inc., 5.13%, 1/15/24			815		859,825
FAGE International SA/FAGE USA Dairy Industry, Inc., 5.63%, 8/15/26 (c)			465		473,138
Kraft Foods, Inc.:
6.50%, 8/11/17 (d)			4,450		4,507,841
6.13%, 8/23/18			4,840		5,109,191
Kraft Heinz Foods Co., 4.38%, 6/01/46			2,475		2,354,807
Post Holdings, Inc. (c):
7.75%, 3/15/24			1,502		1,669,097
8.00%, 7/15/25			743		845,162
5.00%, 8/15/26			1,349		1,342,255
TreeHouse Foods, Inc., 6.00%, 2/15/24 (c)			431		459,015

					17,620,331


Corporate Bonds	Par (000)			Value
Health Care Equipment & Supplies — 0.6%
DJO Finco, Inc./DJO Finance LLC/DJO Finance Corp., 8.13%, 6/15/21 (c)		USD	2,065	$	1,822,362
Mallinckrodt International Finance SA/Mallinckrodt CB LLC (c):
4.88%, 4/15/20			517		515,708
5.75%, 8/01/22			1,370		1,346,025
5.63%, 10/15/23			506		483,230
Medtronic, Inc., 4.63%, 3/15/45 (d)			4,565		4,965,793

					9,133,118
Health Care Providers & Services — 3.6%
Acadia Healthcare Co., Inc., 5.13%, 7/01/22			191		193,149
Amsurg Corp., 5.63%, 7/15/22			1,466		1,512,399
Centene Corp.:
5.63%, 2/15/21			875		919,844
6.13%, 2/15/24			645		694,988
CHS/Community Health Systems, Inc.:
6.88%, 2/01/22			1,111		919,352
6.25%, 3/31/23			1,447		1,472,322
DaVita HealthCare Partners, Inc., 5.13%, 7/15/24			1,990		2,045,979
HCA, Inc.:
3.75%, 3/15/19			4,364		4,456,735
6.50%, 2/15/20			10,421		11,437,673
7.50%, 2/15/22			2,214		2,546,986
5.88%, 3/15/22			340		376,975
4.75%, 5/01/23			236		247,800
5.38%, 2/01/25			440		458,150
5.88%, 2/15/26			1,297		1,378,062
HealthSouth Corp.:
5.13%, 3/15/23			512		513,920
5.75%, 11/01/24			637		648,944
Hologic, Inc., 5.25%, 7/15/22 (c)			742		781,882
MEDNAX, Inc., 5.25%, 12/01/23 (c)			587		600,208
MPH Acquisition Holdings LLC, 7.13%, 6/01/24 (c)			829		891,175
RegionalCare Hospital Partners Holdings, Inc., 8.25%, 5/01/23 (c)			1,109		1,179,837
Tenet Healthcare Corp.:
6.25%, 11/01/18			736		771,431
4.75%, 6/01/20			1,450		1,471,750
6.00%, 10/01/20			3,645		3,836,362
4.50%, 4/01/21			73		72,909
7.50%, 1/01/22 (c)			394		421,580
8.13%, 4/01/22			1,907		1,935,605
6.75%, 6/15/23			1,758		1,678,890
UnitedHealth Group, Inc., 6.88%, 2/15/38 (d)			10,000		13,779,620

					57,244,527
Hotels, Restaurants & Leisure — 0.4%
ESH Hospitality, Inc., 5.25%, 5/01/25 (c)			910		921,375
KFC Holding Co/Pizza Hut Holdings LLC/Taco Bell of America LLC (c):
5.00%, 6/01/24			600		619,500
5.25%, 6/01/26			650		666,250
MGM Resorts International, 6.75%, 10/01/20			214		238,075
New Red Finance, Inc., 6.00%, 4/01/22 (c)			2,215		2,309,138
Sabre GLBL, Inc. (c):
5.38%, 4/15/23			594		617,760
5.25%, 11/15/23			294		304,290

					5,676,388

See Notes to Financial Statements.



14	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Household Durables — 0.8%
Brookfield Residential Properties, Inc./Brookfield Residential US Corp., 6.13%, 7/01/22 (c)		USD	1,647	$	1,716,997
CalAtlantic Group, Inc., 8.38%, 1/15/21			3,015		3,542,625
Lennar Corp.:
4.75%, 11/15/22			1,805		1,877,200
4.88%, 12/15/23			466		482,310
Newell Brands, Inc.:
3.85%, 4/01/23			2,585		2,699,252
4.20%, 4/01/26			955		1,003,766
TRI Pointe Group, Inc.:
4.38%, 6/15/19			920		947,600
5.88%, 6/15/24			625		657,813

					12,927,563
Household Products — 0.2%
Spectrum Brands, Inc.:
6.63%, 11/15/22			1,110		1,168,275
6.13%, 12/15/24			231		246,172
5.75%, 7/15/25			1,002		1,074,054

					2,488,501
Independent Power and Renewable Electricity Producers — 0.6%
Calpine Corp.:
6.00%, 1/15/22 (c)			1,548		1,617,660
5.88%, 1/15/24 (c)			823		864,150
5.75%, 1/15/25			1,064		1,029,420
Dynegy, Inc., 6.75%, 11/01/19			1,945		1,974,175
NRG Energy, Inc., 6.63%, 1/15/27			2,746		2,718,540
QEP Resources, Inc., 5.38%, 10/01/22			1,927		1,902,913

					10,106,858
Industrial Conglomerates — 0.0%
Vertiv Group Corp, 9.25%, 10/15/24 (c)			623		668,946
Insurance — 2.8%
American International Group, Inc., 6.40%, 12/15/20			8,710		9,863,500
Aon Corp., 5.00%, 9/30/20 (d)			7,700		8,317,409
Aon PLC, 4.25%, 12/12/42 (d)			6,500		6,046,937
Forethought Financial Group, Inc., 8.63%, 4/15/21 (c)			3,400		3,804,478
Northwestern Mutual Life Insurance Co., 6.06%, 3/30/40 (c)(d)			12,000		15,424,080
Radian Group, Inc., 5.25%, 6/15/20			1,045		1,092,025

					44,548,429
Internet Software & Services — 0.1%
Equinix, Inc., 5.88%, 1/15/26			1,061		1,143,228
Netflix, Inc., 5.50%, 2/15/22			563		602,410
Symantec Corp., 5.00%, 4/15/25 (c)			347		358,711

					2,104,349
IT Services — 0.7%
Ceridian HCM Holding, Inc., 11.00%, 3/15/21 (c)			1,755		1,851,525
Fidelity National Information Services, Inc., 5.00%, 10/15/25			1,935		2,134,796
First Data Corp. (c):
5.38%, 8/15/23			764		794,560
7.00%, 12/01/23			4,908		5,262,358
5.75%, 1/15/24			720		747,000
Gartner, Inc., 5.13%, 4/01/25 (c)			483		499,905

					11,290,144
Life Sciences Tools & Services — 0.8%
Life Technologies Corp., 6.00%, 3/01/20			12,000		13,151,616


Corporate Bonds	Par (000)			Value
Media — 7.4%
21st Century Fox America, Inc., 6.15%, 3/01/37 (d)		USD	9,575	$	11,453,040
A&E Television Networks LLC, 3.11%, 8/22/19			5,000		5,033,000
Altice Financing SA, 7.50%, 5/15/26 (c)			2,172		2,345,760
Altice Luxembourg SA (c):
7.75%, 5/15/22			2,362		2,509,932
7.63%, 2/15/25			1,752		1,870,260
Altice US Finance I Corp. (c):
5.38%, 7/15/23			2,919		3,046,706
5.50%, 5/15/26			1,211		1,251,871
AMC Networks, Inc.:
4.75%, 12/15/22			685		698,700
5.00%, 4/01/24			432		437,681
CCO Holdings LLC/CCO Holdings Capital Corp. (c):
5.88%, 4/01/24			1,759		1,884,329
5.75%, 2/15/26			499		530,028
5.50%, 5/01/26			1,219		1,279,194
5.13%, 5/01/27			1,961		2,000,220
Charter Communications Operating LLC/Charter Communications Operating Capital:
6.38%, 10/23/35			479		548,968
6.48%, 10/23/45			9,584		11,255,191
6.83%, 10/23/55			3,540		4,153,323
Cinemark USA, Inc., 5.13%, 12/15/22			349		359,470
Clear Channel Worldwide Holdings, Inc., 6.50%, 11/15/22			11,711		12,090,706
Cox Communications, Inc., 8.38%, 3/01/39 (c)(d)			5,000		6,211,295
CSC Holdings LLC:
8.63%, 2/15/19			4,005		4,411,708
6.63%, 10/15/25 (c)			832		910,000
DISH DBS Corp., 7.75%, 7/01/26			1,901		2,226,546
Grupo Televisa SAB, 5.00%, 5/13/45 (d)			3,345		3,151,326
Hughes Satellite Systems Corp. (c):
5.25%, 8/01/26			1,017		1,034,797
6.63%, 8/01/26			685		705,550
Intelsat Jackson Holdings SA:
7.25%, 4/01/19			1,107		1,064,104
5.50%, 8/01/23			1,127		962,176
Interpublic Group of Cos., Inc., 3.75%, 2/15/23			6,025		6,214,884
MDC Partners, Inc., 6.50%, 5/01/24 (c)			1,036		1,010,100
NAI Entertainment Holdings/NAI Entertainment Holdings Finance Corp., 5.00%, 8/01/18 (c)			1,471		1,482,032
Nexstar Broadcasting, Inc., 5.63%, 8/01/24 (c)			495		507,375
Outfront Media Capital LLC/Outfront Media Capital Corp.:
5.25%, 2/15/22			249		258,649
5.63%, 2/15/24			122		128,100
SFR Group SA (c):
6.00%, 5/15/22			4,544		4,737,120
7.38%, 5/01/26			5,843		6,142,454
Time Warner Cable, Inc., 6.55%, 5/01/37			3,519		4,090,081
Time Warner, Inc.:
4.65%, 6/01/44			28		26,426
4.85%, 7/15/45			97		93,891
Tribune Media Co., 5.88%, 7/15/22			1,308		1,374,080
Univision Communications, Inc. (c):
5.13%, 5/15/23			5,293		5,379,011
5.13%, 2/15/25			999		995,254

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	15


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Media (continued)
Virgin Media Secured Finance PLC, 5.50%, 8/15/26 (c)		USD	487	$	497,349

					116,362,687
Metals & Mining — 3.5%
Alcoa Nederland Holding BV, 7.00%, 9/30/26 (c)			291		321,555
Alcoa, Inc., 5.13%, 10/01/24			1,903		1,993,392
Anglo American Capital PLC, 4.45%, 9/27/20 (c)			136		141,440
AngloGold Ashanti Holdings PLC, 5.13%, 8/01/22			5,000		5,165,000
ArcelorMittal:
6.13%, 6/01/18			2,575		2,683,897
7.50%, 3/01/41			455		511,875
Commercial Metals Co., 4.88%, 5/15/23			2,194		2,204,970
Constellium NV:
4.63%, 5/15/21		EUR	490		534,525
5.75%, 5/15/24 (c)		USD	1,728		1,620,000
6.63%, 3/01/25 (c)			1,353		1,332,705
First Quantum Minerals Ltd. (c):
7.00%, 2/15/21			138		142,830
7.25%, 5/15/22			912		939,360
7.25%, 4/01/23			832		847,080
7.50%, 4/01/25			1,463		1,492,260
FMG Resources August 2006 Property Ltd., 9.75%, 3/01/22 (c)			826		950,416
Freeport-McMoRan, Inc.:
2.38%, 3/15/18			4,664		4,640,680
4.00%, 11/14/21			500		490,625
3.55%, 3/01/22			236		221,840
3.88%, 3/15/23			5,360		4,971,400
5.40%, 11/14/34			2,250		1,996,875
5.45%, 3/15/43			1,542		1,314,555
Novelis Corp. (c):
6.25%, 8/15/24			2,862		3,012,255
5.88%, 9/30/26			2,060		2,116,650
Peabody Securities Finance Corp. (c):
6.00%, 3/31/22			357		364,140
6.38%, 3/31/25			375		380,625
Southern Copper Corp., 5.88%, 4/23/45			3,870		4,076,544
Steel Dynamics, Inc.:
5.13%, 10/01/21			1,105		1,140,913
6.38%, 8/15/22			1,430		1,484,697
5.25%, 4/15/23			309		319,815
5.50%, 10/01/24			240		253,500
5.00%, 12/15/26 (c)			35		35,788
Teck Resources Ltd.:
3.00%, 3/01/19			119		120,488
4.50%, 1/15/21			370		382,110
8.00%, 6/01/21 (c)			1,202		1,310,180
8.50%, 6/01/24 (c)			799		925,841
6.00%, 8/15/40			1,861		1,914,504
6.25%, 7/15/41			721		764,260
5.20%, 3/01/42			640		611,200
United States Steel Corp., 8.38%, 7/01/21 (c)			944		1,039,580

					54,770,370
Offshore Drilling & Other Services — 0.1%
Sensata Technologies BV, 5.63%, 11/01/24 (c)			695		736,700
Oil, Gas & Consumable Fuels — 14.4%
Access Midstream Partners LP/ACMP Finance Corp., 4.88%, 5/15/23			343		353,290


Corporate Bonds	Par (000)			Value
Oil, Gas & Consumable Fuels (continued)
California Resources Corp., 8.00%, 12/15/22 (c)		USD	1,492	$	1,141,380
Cheniere Corpus Christi Holdings LLC, 7.00%, 6/30/24 (c)			1,231		1,375,495
CONSOL Energy, Inc., 5.88%, 4/15/22			7,210		7,029,750
Continental Resources, Inc.:
5.00%, 9/15/22			7,519		7,584,791
4.50%, 4/15/23			469		461,965
DCP Midstream LLC, 6.75%, 9/15/37 (c)			1,527		1,673,058
Denbury Resources, Inc., 9.00%, 5/15/21 (c)			182		192,010
Devon Energy Corp., 5.85%, 12/15/25			4,000		4,631,280
El Paso LLC:
7.80%, 8/01/31			197		250,402
7.75%, 1/15/32			4,586		5,840,092
El Paso Natural Gas Co. LLC, 8.63%, 1/15/22			2,345		2,850,493
El Paso Pipeline Partners Operating Co. LLC, 6.50%, 4/01/20			5,075		5,622,709
Enbridge Energy Partners LP, 9.88%, 3/01/19 (d)			6,000		6,795,546
Energy Transfer Equity LP:
7.50%, 10/15/20			598		673,871
5.88%, 1/15/24			5,241		5,647,177
5.50%, 6/01/27			870		935,250
Energy Transfer Partners LP:
5.20%, 2/01/22			10,200		11,040,959
6.13%, 12/15/45			3,579		3,888,573
Enterprise Products Operating LLC:
4.90%, 5/15/46			5,375		5,621,643
Series N, 6.50%, 1/31/19 (d)			12,000		12,916,680
EP Energy LLC/Everest Acquisition Finance, Inc., 8.00%, 11/29/24 (c)			415		434,194
Gulfport Energy Corp. (c):
6.00%, 10/15/24			444		437,340
6.38%, 5/15/25			558		555,908
Hilcorp Energy I LP/Hilcorp Finance Co., 5.00%, 12/01/24 (c)			3,666		3,436,875
Kinder Morgan Energy Partners LP:
6.85%, 2/15/20 (d)			12,000		13,371,804
4.25%, 9/01/24			2,170		2,241,096
5.40%, 9/01/44			3,615		3,674,456
MEG Energy Corp. (c):
7.00%, 3/31/24			3,100		2,766,750
6.50%, 1/15/25			2,021		1,995,737
Midcontinent Express Pipeline LLC, 6.70%, 9/15/19 (c)			3,500		3,745,000
MPLX LP:
4.13%, 3/01/27			825		835,661
5.20%, 3/01/47			3,500		3,583,716
Murphy Oil Corp., 6.88%, 8/15/24			752		800,880
Nexen Energy ULC, 6.40%, 5/15/37			2,000		2,497,852
NGPL PipeCo LLC (c):
7.12%, 12/15/17			2,859		2,935,836
7.77%, 12/15/37			690		793,500
Noble Energy, Inc.:
5.63%, 5/01/21			1,784		1,833,060
5.05%, 11/15/44			3,500		3,614,257
Noble Holding International Ltd., 7.75%, 1/15/24			1,112		1,014,700
ONEOK Partners LP, 8.63%, 3/01/19 (d)			10,000		11,093,820
PDC Energy, Inc., 7.75%, 10/15/22			1,225		1,286,250
Petroleos Mexicanos:
3.50%, 1/30/23 (d)			5,000		4,773,000
4.63%, 9/21/23			3,965		3,987,997
4.88%, 1/18/24 (d)			2,000		2,023,000

See Notes to Financial Statements.



16	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)				Value
Oil, Gas & Consumable Fuels (continued)
Pioneer Natural Resources Co., 6.88%, 5/01/18		USD		1,665	$	1,744,202
Plains All American Pipeline LP/PAA Finance Corp.:
4.70%, 6/15/44				1,498		1,391,269
4.90%, 2/15/45				2,102		2,023,961
Range Resources Corp., 5.00%, 8/15/22 (c)				32		31,640
Rockies Express Pipeline LLC (c):
5.63%, 4/15/20				295		315,355
6.88%, 4/15/40				580		619,875
RSP Permian, Inc., 6.63%, 10/01/22				789		831,409
Ruby Pipeline LLC, 6.00%, 4/01/22 (c)				10,000		10,623,000
Sabine Pass Liquefaction LLC:
5.63%, 2/01/21				405		440,401
5.63%, 4/15/23				10,510		11,574,568
5.75%, 5/15/24				2,575		2,846,400
5.88%, 6/30/26 (c)				1,481		1,651,491
Sanchez Energy Corp.:
7.75%, 6/15/21				153		148,028
6.13%, 1/15/23				2,119		1,949,459
SM Energy Co.:
6.50%, 1/01/23				177		179,655
5.00%, 1/15/24				181		170,593
Southwestern Energy Co.:
7.50%, 2/01/18				63		65,678
5.80%, 1/23/20				1,166		1,177,660
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
6.38%, 8/01/22				255		262,778
5.25%, 5/01/23				37		38,110
6.75%, 3/15/24			��	184		200,560
Tesoro Corp. (c):
4.75%, 12/15/23				1,230		1,288,425
5.13%, 12/15/26				937		997,905
Tesoro Logistics LP/Tesoro Logistics Finance Corp.:
6.13%, 10/15/21				125		130,469
6.25%, 10/15/22				1,519		1,629,128
TransCanada PipeLines Ltd., 4.88%, 1/15/26				4,485		5,022,038
Weatherford International Ltd., 6.50%, 8/01/36				45		42,525
Western Gas Partners LP, 5.38%, 6/01/21				5,125		5,558,180
Whiting Petroleum Corp., 6.25%, 4/01/23 (d)				1,697		1,697,000
Williams Cos., Inc.:
3.70%, 1/15/23				2,245		2,211,325
4.55%, 6/24/24				527		539,516
8.75%, 3/15/32				2,478		3,209,010
5.75%, 6/24/44				685		708,975
Williams Partners LP, 5.10%, 9/15/45				5,075		5,176,307
WPX Energy, Inc., 6.00%, 1/15/22				164		166,460

						226,922,458
Paper & Forest Products — 1.9%
International Paper Co. (d):
7.50%, 8/15/21				9,675		11,581,459
8.70%, 6/15/38				4,000		5,771,200
7.30%, 11/15/39				10,000		13,169,940

						30,522,599
Pharmaceuticals — 3.4%
AbbVie, Inc. (d):
2.90%, 11/06/22				5,675		5,699,017
4.70%, 5/14/45				3,255		3,277,267


Corporate Bonds	Par (000)			Value
Pharmaceuticals (continued)
Actavis Funding SCS:
3.45%, 3/15/22		USD	7,335	$	7,540,299
3.85%, 6/15/24			6,000		6,163,872
4.75%, 3/15/45			1,450		1,476,812
Endo Finance LLC/Endo Finco, Inc. (c):
6.00%, 7/15/23			1,514		1,326,642
6.00%, 2/01/25			530		447,585
Forest Laboratories LLC (c):
4.38%, 2/01/19 (c)			2,924		3,022,226
5.00%, 12/15/21 (c)			1,631		1,779,644
inVentiv Group Holdings, Inc./inVentiv Health, Inc./inVentiv Health Clinical, Inc., 7.50%, 10/01/24 (c)			739		763,017
Merck & Co., Inc., 6.50%, 12/01/33			6,420		8,384,135
Mylan NV, 3.95%, 6/15/26			7,500		7,418,280
Valeant Pharmaceuticals International, Inc. (c):
6.75%, 8/15/18 (d)			1,786		1,781,535
7.00%, 10/01/20			447		392,242
7.50%, 7/15/21			148		122,470
6.75%, 8/15/21			91		75,303
5.63%, 12/01/21			1,164		894,825
6.50%, 3/15/22			829		848,689
5.50%, 3/01/23			31		22,708
5.88%, 5/15/23			665		491,269
7.00%, 3/15/24			1,303		1,329,060
6.13%, 4/15/25			243		179,395

					53,436,292
Professional Services — 0.4%
Dun & Bradstreet Corp., 3.50%, 12/01/17			5,750		5,791,699
Real Estate Investment Trusts (REITs) — 3.2%
American Tower Corp.:
4.50%, 1/15/18			6,500		6,621,680
5.05%, 9/01/20			500		540,438
5.90%, 11/01/21 (d)			3,770		4,240,326
AvalonBay Communities, Inc., 6.10%, 3/15/20			10,000		11,070,280
DDR Corp.:
4.75%, 4/15/18			2,140		2,186,494
7.88%, 9/01/20			2,650		3,059,367
ERP Operating LP, 5.75%, 6/15/17 (d)			10,000		10,048,490
Hilton Domestic Operating Co., Inc., 4.25%, 9/01/24 (c)			881		887,607
Host Hotels & Resorts LP, 3.75%, 10/15/23 (d)			3,600		3,655,267
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer, Inc.:
5.63%, 5/01/24			627		676,376
4.50%, 9/01/26			740		737,225
Starwood Property Trust, Inc., 5.00%, 12/15/21 (c)			627		653,648
UDR, Inc., 4.25%, 6/01/18 (d)			5,225		5,354,120

					49,731,318
Real Estate Management & Development — 0.4%
Northwest Florida Timber Finance LLC, 4.75%, 3/04/29 (c)(d)			4,485		4,260,750
Realogy Group LLC/Realogy Co-Issuer Corp. (c):
4.50%, 4/15/19			803		835,120
5.25%, 12/01/21			344		362,060
4.88%, 6/01/23			1,332		1,345,320

					6,803,250

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	17


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Corporate Bonds	Par (000)			Value
Road & Rail — 1.1%
Hertz Corp.:
6.75%, 4/15/19		USD	420	$	418,950
5.88%, 10/15/20			647		603,328
7.38%, 1/15/21			310		298,375
5.50%, 10/15/24 (c)(d)			764		658,950
Norfolk Southern Corp., 6.00%, 3/15/05			12,700		14,708,276

					16,687,879
Semiconductors & Semiconductor Equipment — 0.8%
Broadcom Corp./Broadcom Cayman Finance Ltd., 3.88%, 1/15/27 (c)			7,500		7,610,602
Micron Technology, Inc., 5.50%, 2/01/25			40		41,800
NXP BV/NXP Funding LLC (c):
4.13%, 6/15/20			951		997,361
4.13%, 6/01/21			1,461		1,528,571
4.63%, 6/15/22			490		526,138
4.63%, 6/01/23			204		219,555
Sensata Technologies BV, 5.00%, 10/01/25 (c)			1,418		1,448,133

					12,372,160
Software — 0.8%
Inception Merger Sub, Inc./Rackspace Hosting, Inc., 8.63%, 11/15/24 (c)			2,034		2,153,497
Infor US, Inc., 6.50%, 5/15/22			2,425		2,522,000
Informatica LLC, 7.13%, 7/15/23 (c)			477		469,249
Nuance Communications, Inc., 5.38%, 8/15/20 (c)			1,901		1,941,396
Oracle Corp., 2.65%, 7/15/26 (d)			4,890		4,720,239
PTC, Inc., 6.00%, 5/15/24			313		334,910

					12,141,291
Specialty Retail — 0.7%
L Brands, Inc.:
7.00%, 5/01/20			3,050		3,377,875
6.88%, 11/01/35			1,119		1,103,334
Penske Automotive Group, Inc., 5.38%, 12/01/24			1,951		1,965,633
VF Corp., 5.95%, 11/01/17 (d)			5,000		5,111,145

					11,557,987
Technology Hardware, Storage & Peripherals — 0.4%
Diamond 1 Finance Corp./Diamond 2 Finance Corp. (c):
5.88%, 6/15/21			615		651,900
7.13%, 6/15/24			747		825,687
8.35%, 7/15/46			2,355		3,048,022
Western Digital Corp.:
7.38%, 4/01/23 (c)			1,199		1,312,905
10.50%, 4/01/24			584		687,660

					6,526,174
Textiles, Apparel & Luxury Goods — 0.2%
Levi Strauss & Co., 5.00%, 5/01/25			699		720,844
Springs Industries, Inc., 6.25%, 6/01/21			304		313,500
William Carter Co., 5.25%, 8/15/21			1,406		1,451,695

					2,486,039
Thrifts & Mortgage Finance — 0.1%
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 5.25%, 3/15/22 (c)			1,205		1,236,631
Tobacco — 1.7%
Altria Group, Inc., 10.20%, 2/06/39 (d)			13,392		22,712,069
Reynolds American, Inc.:
4.85%, 9/15/23			1,120		1,229,073
5.85%, 8/15/45			2,335		2,759,050

					26,700,192


Corporate Bonds	Par (000)			Value
Trading Companies & Distributors — 0.3%
Doric Nimrod Air Alpha Ltd. Pass-Through Trust, Series 2013-1 (c):
Class A, 5.25%, 5/30/25		USD	2,182	$	2,269,416
Class B, 6.13%, 11/30/21			2,159		2,218,153

					4,487,569
Transportation Infrastructure — 0.8%
CEVA Group PLC, 9.00%, 9/01/20 (c)(h)			1,845		1,734,300
Penske Truck Leasing Co. LP/PTL Finance Corp., 4.88%, 7/11/22 (c)			10,500		11,423,464

					13,157,764
Wireless Telecommunication Services — 1.1%
America Movil SAB de CV, 3.13%, 7/16/22			1,275		1,293,623
Crown Castle International Corp., 5.25%, 1/15/23			1,380		1,527,020
Crown Castle Towers LLC, 6.11%, 1/15/40 (c)			4,555		4,934,288
Digicel Group Ltd., 7.13%, 4/01/22 (c)			370		310,430
Digicel Ltd., 6.00%, 4/15/21 (c)			1,285		1,220,750
Sprint Communications, Inc., 9.00%, 11/15/18 (c)			5,290		5,785,937
Sprint Corp., 7.13%, 6/15/24			1,755		1,914,056
T-Mobile USA, Inc., 6.84%, 4/28/23			645		691,762

					17,677,866
Total Corporate Bonds — 91.5%					1,439,982,910



Foreign Agency Obligations
Brazilian Government International Bond, 5.00%, 1/27/45			6,525		5,913,281
Colombia Government International Bond, 5.63%, 2/26/44			4,000		4,370,000
Indonesia Government International Bond, 5.88%, 1/15/24 (c)			4,400		5,014,583
Mexico Government International Bond, 4.75%, 3/08/44			5,800		5,721,700
Republic of Argentina, 5.63%, 1/26/22			6,485		6,754,128
Uruguay Government International Bond, 5.10%, 6/18/50			3,500		3,482,500
Total Foreign Agency Obligations — 2.0%					31,256,192



Municipal Bonds
City of Chicago Illinois, Refunding ARB, O’Hare International Airport, General 3rd Lien, Build America Bonds, Series B, 6.85%, 1/01/38			5,000		5,532,500
Metropolitan Transportation Authority, RB, Build America Bonds, Series B-1, 6.55%, 11/15/31			10,000		12,910,200
Total Municipal Bonds — 1.2%					18,442,700



Preferred Securities

Capital Trusts
Banks — 4.8%
BNP Paribas SA (b)(c)(e):
7.20%			5,000		5,562,500
7.38%			4,535		4,824,106

See Notes to Financial Statements.



18	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Capital Trusts	Par (000)			Value
Banks (continued)
Capital One Financial Corp., Series E, 5.55% (b)(e)		USD	5,000	$	5,200,000
Citigroup, Inc. (b)(e):
5.90%			2,210		2,320,500
5.95%			7,000		7,354,375
Credit Suisse Group AG (b)(c)(e):
6.25%			5,000		5,212,100
7.50%			3,250		3,604,380
HSBC Capital Funding LP, 10.18% (b)(c)(e)			11,835		18,166,725
Macquarie Bank Ltd., 6.13% (b)(c)(e)			1,885		1,918,930
Nordea Bank AB, 6.13% (b)(c)(e)			5,540		5,720,050
U.S. Bancorp, Series J, 5.30% (b)(e)			10,415		10,766,506
Wells Fargo & Co., (b)(e):
Series K, 7.98%			809		846,416
Series S, 5.90%			281		298,563
Series U, 5.88%			2,655		2,880,675

					74,675,826
Capital Markets — 2.3%
Charles Schwab Corp., Series E, 4.63% (b)(e)			6,805		6,873,050
Goldman Sachs Group, Inc., Series L, 5.70% (b)(e)			2,950		3,045,875
Morgan Stanley, Series H, 5.45% (b)(e)			8,675		8,881,031
State Street Corp. (b):
2.13%, 6/15/37			17,845		15,681,294
5.25%, 12/29/49			1,855		1,947,750

					36,429,000
Commercial Services & Supplies — 0.3%
AerCap Global Aviation Trust, 6.50%, 6/15/45 (b)(c)			5,000		5,250,000
Consumer Finance — 0.3%
American Express Co., Series C, 4.90% (b)(e)			4,510		4,583,288
Diversified Financial Services — 4.7%
Bank of America Corp. (b)(e):
Series AA, 6.10%			6,630		7,102,387
Series K, 8.00%			2,420		2,510,750
Series U, 5.20%			5,785		5,806,983
Barclays PLC, 6.63% (b)(e)			7,385		7,523,469
BNP Paribas SA, 6.75% (b)(c)(e)			5,000		5,231,250
Credit Agricole SA, 8.13% (b)(c)(e)			5,000		5,518,100
JPMorgan Chase & Co. (b)(e):			7,775		8,770,200
6.75%
Series 1, 7.90%			3,650		3,814,250
Series Q, 5.15%			4,000		4,040,000
Series R, 6.00%			14,130		14,960,137
Royal Bank of Scotland Group PLC (b)(e):
8.00%			970		1,006,375
8.63%			5,135		5,543,233
Societe Generale SA, 7.38% (b)(c)(e)			1,980		2,093,850

					73,920,984
Electric Utilities — 0.5%
PPL Capital Funding, Inc., Series A, 3.82%, 3/20/67 (b)			8,300		7,988,750
Industrial Conglomerates — 0.7%
General Electric Co., Series D, 5.00% (b)(e)			10,777		11,367,041
Insurance — 4.4%
ACE Capital Trust II, 9.70%, 4/1/30			7,000		10,465,000
Allstate Corp., 5.75%, 5/15/68 (b)			5,000		5,437,500
American International Group, Inc., 8.18%, 5/15/68 (b)			3,755		4,843,950
Bank One Capital III, 8.75%, 9/1/30			2,000		2,920,000
Chubb Corp., 3.41%, 3/29/67 (b)(d)			7,400		7,326,000


Capital Trusts	Par (000)				Value
Insurance (continued)
Equitable of Iowa Cos. Capital Trust II, Series B, 8.42%, 4/1/27		USD		5,000	$	5,725,130
Farmers Exchange Capital II, 6.15%, 11/1/53 (b)(c)				4,890		5,440,321
Great-West Life & Annuity Insurance Capital LP II, 3.58%, 5/16/46 (b)(c)				500		495,625
Hartford Financial Services Group, Inc., 8.13%, 6/15/68 (b)				5,050		5,338,809
MetLife, Inc., 6.40%, 12/15/66				5,000		5,625,000
Principal Financial Group, Inc., 4.70%, 5/15/55 (b)				5,000		5,112,500
Reinsurance Group of America, Inc., 3.80%, 12/15/65 (b)				12,000		11,172,000

						69,901,835
Media — 0.6%
NBCUniversal Enterprise, Inc., 5.25% (c)(e)				5,600		5,901,000
Viacom, Inc. (b):
5.88%, 2/28/57				2,170		2,240,525
6.25%, 2/28/57				590		605,487

						8,747,012
Oil, Gas & Consumable Fuels — 1.9%
Enbridge, Inc., Series 16-A, 6.00%, 1/15/77 (b)				5,880		5,997,600
Enterprise Products Operating LLC (b):
7.00%, 6/1/67				2,500		2,368,750
Series A, 4.88%, 8/1/66				9,325		9,325,000
TransCanada PipeLines Ltd., 6.35%, 5/15/67 (b)				9,400		8,671,500
TransCanada Trust, 5.63%, 5/20/75 (b)				2,755		2,878,975

						29,241,825
Real Estate Investment Trusts (REITs) — 0.6%
Sovereign Real Estate Investment Trust, 12.00% (c)(e)				7,000		8,706,250
Road & Rail — 0.4%
BNSF Funding Trust I, 6.61%, 12/15/55 (b)				6,125		6,982,500
Total Capital Trusts — 21.5%						337,794,311



Preferred Stocks			Shares
Banks — 1.9%
Citigroup, Inc., Series K, 6.88% (b)(e)				488,320		14,381,024
Wells Fargo & Co., 5.85% (b)(e)				550,500		14,918,550

						29,299,574
Capital Markets — 0.7%
Goldman Sachs Group, Inc., Series J, 5.50% (b)(e)				162,450		4,379,652
SCE Trust III, Series H, 5.75% (b)(e)				31,650		895,695
State Street Corp., Series D, 5.90% (b)(e)				220,495		6,204,729

						11,480,076
Electric Utilities — 0.1%
Entergy Louisiana LLC, 5.25% (e)				90,000		2,250,000
Real Estate Investment Trusts (REITs) — 0.2%
Ventas Realty LP/Ventas Capital Corp., 5.45% (e)				75,000		1,869,000
Vornado Realty Trust, Series K, 5.70% (e)				50,000		1,273,500

						3,142,500
Wireless Telecommunication Services — 1.1%
Centaur Funding Corp., 9.08% (c)(e)				15,143		17,580,077
Total Preferred Stocks — 4.0%						63,752,227

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	19


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Trust Preferred		Shares		Value
Diversified Financial Services — 0.5%
GMAC Capital Trust I, Series 2, 6.82%, 2/15/40 (b)			300,411	$	7,533,492
Total Preferred Securities — 26.0%					409,080,030



U.S. Government Sponsored Agency Securities — 0.2%		Par (000)
Agency Obligations — 0.2%
Fannie Mae, 0.00%, 10/09/19 (d)(i)	USD		3,945		3,775,259



U.S. Treasury Obligations
U.S. Treasury Bonds:
2.88%, 8/15/45			400		393,219
2.88%, 11/15/46 (d)			27,625		27,152,364
Total U.S. Treasury Obligations — 1.7%					27,545,583
Total Long-Term Investments (Cost — $1,864,011,236) — 126.2%					1,986,870,651


Short-Term Securities — 0.8%	Shares		Value
BlackRock Liquidity Funds, T-Fund, Institutional Class, 0.64% (j)(k)		12,260,042	$	12,260,042
Total Short-Term Securities (Cost — $12,260,042) — 0.8%				12,260,042
Options Purchased (Cost — $844,930) — 0.0%				484,375
Total Investments Before Options Written (Cost — $1,877,116,208) — 127.0%				1,999,615,068
Options Written (Premiums Received — $1,309,520) — (0.0)%				(754,503	)
Total Investments, Net of Options Written (Cost — $1,875,806,688) — 127.0%				1,998,860,565
Liabilities in Excess of Other Assets — (27.0)%				(425,032,534	)

Net Assets — 100.0%			$	1,573,828,031


Notes to Schedule of Investments

(a)

Restricted security as to resale, excluding 144A securities. As of period end, the Trust held restricted securities with a current value of $0 and an original cost of $45,445, which was less than 0.05% of its net assets.

(b)

Variable rate security. Rate as of period end.

(c)

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

(d)

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

(e)

Perpetual security with no stated maturity date.

(f)

Issuer filed for bankruptcy and/or is in default.

(g)

Step-down bond that pays an initial coupon rate for the first period and then a lower coupon rate for the following periods. Rate as of period end.

(h)

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

(i)

Zero-coupon bond.

(j)

During the period ended April 30, 2017, investments in issuers considered to be 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 October 31, 2016		Net Activity		Shares Held at April 30, 2017		Value at April 30, 2017		Income		Net Realized Gain¹		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, T-Fund, Institutional Class		9,872,272		2,387,770		12,260,042	$	12,260,042	$	44,832	$	132	—
¹ Includes net capital gain distributions.

(k)

Current yield as of period end.

For Trust compliance purposes, the 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.

Reverse Repurchase Agreements

Counterparty

Interest
Rate

Trade
Date

Maturity
Date¹

Face Value

Face Value
Including
Accrued
Interest

Type of Non-Cash Underlying Collateral

Remaining
Contractual Maturity
of the Agreements¹

Credit Suisse Securities (USA) LLC

1.25

10/06/16

Open

4,645,500

4,668,172

Corporate Bonds

Open/Demand

RBC Capital Markets LLC

1.34

11/10/16

Open

8,920,000

8,958,425

Corporate Bonds

Open/Demand

RBC Capital Markets LLC

1.34

11/18/16

Open

5,005,778

5,026,630

Corporate Bonds

Open/Demand

Credit Suisse Securities (USA) LLC

0.95

12/19/16

Open

2,935,625

2,945,773

Corporate Bonds

Open/Demand

Credit Suisse Securities (USA) LLC

0.95

12/19/16

Open

2,229,562

2,237,270

Corporate Bonds

Open/Demand

See Notes to Financial Statements.



20	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open	$	525,938	$	527,851	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open		6,304,656		6,327,598	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open		5,055,188		5,073,583	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open		4,973,062		4,991,159	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open		2,919,531		2,930,155	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		4,150,000		4,165,825	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		5,606,250		5,627,629	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		4,565,000		4,582,408	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,244,125		3,256,496	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,294,000		3,306,561	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		7,834,750		7,864,627	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		13,740,000		13,792,395	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		6,630,000		6,655,282	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,509,512		3,522,895	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		7,425,000		7,453,314	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,900,000		3,914,872	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		9,825,000		9,862,466	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,311,650		3,324,278	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		4,405,500		4,422,300	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		6,450,000		6,474,596	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		12,570,000		12,617,934	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		5,260,000		5,280,058	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,225,000		3,237,298	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		17,356,500		17,422,686	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,633,437		3,647,293	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		21,996,360		22,080,239	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		4,034,160		4,049,544	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		3,225,000		3,237,298	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		17,512,500		17,579,281	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/19/16		Open		6,961,875		6,988,423	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.04	%		12/21/16		Open		8,789,375		8,822,384	Corporate Bonds	Open/Demand
Citigroup Global Markets, Inc.		(2.00	)%		1/04/17		Open		1,391,540		1,382,572	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.30	%		1/11/17		Open		3,391,096		3,402,306	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.34	%		1/18/17		Open		1,898,800		1,904,815	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		0.88	%		2/07/17		Open		3,757,000		3,763,051	U.S. Government Sponsored Agency Securities	Open/Demand
RBC Capital Markets LLC		1.34	%		2/13/17		Open		12,633,600		12,664,861	Corporate Bonds	Open/Demand
RBC Capital Markets LLC		1.34	%		2/13/17		Open		5,842,100		5,856,556	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		0.63	%		2/17/17		Open		26,881,250		26,898,573	U.S. Treasury Obligations	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		8,300,000		8,312,969	Corporate Bonds	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		5,397,425		5,405,858	Corporate Bonds	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		3,079,844		3,084,656	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		2,768,500		2,773,230	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		2,429,313		2,433,463	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		6,956,000		6,967,883	Capital Trusts	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		1,198,438		1,200,485	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		719,063		720,291	Corporate Bonds	Open/Demand
Citigroup Global Markets, Inc.		0.00	%		3/21/17		Open		1,428,800		1,428,800	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		2,935,000		2,939,324	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		9,885,000		9,899,564	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		5,432,000		5,440,003	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		4,506,000		4,512,639	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		5,508,000		5,516,115	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		15,240,000		15,262,454	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		4,994,000		5,001,358	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		4,524,000		4,530,665	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		4,994,000		5,001,358	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		1,912,000		1,914,817	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		7,141,000		7,151,521	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		3,143,000		3,147,631	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		9,203,000		9,216,559	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		5,812,000		5,820,563	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		2,865,000		2,869,221	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		5,152,000		5,159,591	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	21


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral		Remaining Contractual Maturity of the Agreements¹
BNP Paribas S.A.		1.36	%		3/22/17		Open	$	3,257,000	$	3,261,799		Corporate Bonds		Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		10,655,000		10,670,698		Corporate Bonds		Open/Demand
RBC Capital Markets LLC		(4.00	)%		4/05/17		Open		611,200		609,502		Corporate Bonds		Open/Demand
RBC Capital Markets LLC		1.34	%		4/06/17		Open		6,324,250		6,329,900		Corporate Bonds		Open/Demand
Total								$	438,136,053	$	439,330,649

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

Derivative Financial Instruments Outstanding as of Period End


Futures Contracts
Contracts Long (Short)			Issue	Expiration	Notional Value		Unrealized Appreciation (Depreciation)
	(252	)	10-Year U.S. Treasury Note	June 2017	$	31,681,125	$	(208,259	)
	48		2-Year U.S. Treasury Note	June 2017	$	10,397,250		1,661
	720		5-Year U.S. Treasury Note	June 2017	$	85,252,500		411,181
	(217	)	Ultra U.S. Treasury Bond	June 2017	$	35,357,437		(579,328	)
	Total						$	(374,745	)

Exchange-Traded Options Purchased

Description

Put/
Call

Expiration
Date

Strike
Price

Contracts

Value

10-Year U.S. Treasury Note Future

Call

5/26/17

USD

126.00

1,000

484,375

Exchange-Traded Options Written

Description

Put/
Call

Expiration
Date

Strike
Price

Contracts

Value

10-Year U.S. Treasury Note Future

Call

5/26/17

USD

127.00

1,000

(203,125

)

OTC Interest Rate Swaptions Written

Description

Counterparty

Put/
Call

Exercise
Rate

Pay/
Receive
Exercise Rate

Floating Rate
Index

Expiration
Date

Notional
Amount
(000)

Value

2-Year Interest Rate Swap

Bank of America N.A.

Put

2.30

Receive

6-Month LIBOR

9/24/18

USD

155,800

(551,378

)


OTC Credit Default Swaps — Buy Protection
Issuer/Index	Pay Fixed Rate			Counterparty	Expiration Date		Notional Amount (000)		Value			Premiums Paid (Received)			Unrealized Depreciation
STMicro Electronics		1.00	%	Barclays Bank PLC		6/20/17	EUR	1,500	$	(4,027	)	$	5,711		$	(9,738	)
Cigna Corp.		1.00	%	Goldman Sachs Bank USA		9/20/17	USD	4,500		(22,247	)		(850	)		(21,397	)
Cigna Corp.		1.00	%	Goldman Sachs International		9/20/17	USD	2,800		(13,843	)		(569	)		(13,274	)
General Dynamics Corp.		1.00	%	Credit Suisse International		9/20/17	USD	5,585		(27,909	)		(11,416	)		(16,493	)
Humana, Inc.		1.00	%	Goldman Sachs Bank USA		9/20/17	USD	4,500		(22,128	)		5,850			(27,978	)
Humana, Inc.		1.00	%	Goldman Sachs International		9/20/17	USD	2,800		(13,769	)		3,915			(17,684	)
Lockheed Martin Corp.		1.00	%	Credit Suisse International		9/20/17	USD	5,585		(27,960	)		(3,927	)		(24,033	)
Northrop Grumman Corp.		1.00	%	Credit Suisse International		9/20/17	USD	4,715		(23,697	)		(8,871	)		(14,826	)
Raytheon Co.		1.00	%	Credit Suisse International		9/20/17	USD	4,715		(23,717	)		(9,109	)		(14,608	)
Citigroup, Inc.		1.00	%	Deutsche Bank AG		3/20/19	USD	16,700		(246,844	)		(27,752	)		(219,092	)
Prudential Financial, Inc.		1.00	%	Citibank N.A.		6/20/21	USD	1,920		(42,155	)		23,064			(65,219	)
Prudential Financial, Inc.		1.00	%	Goldman Sachs International		6/20/21	USD	1,155		(25,359	)		14,757			(40,116	)
Prudential Financial, Inc.		1.00	%	JPMorgan Chase Bank N.A.		6/20/21	USD	9,500		(208,580	)		99,876			(308,456	)
Total									$	(702,235	)	$	90,679		$	(792,914	)

See Notes to Financial Statements.



22	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)


OTC Credit Default Swaps — Sell Protection
Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date		Credit Rating¹	Notional Amount (000)²			Value			Premiums Paid (Received)			Unrealized Depreciation
Anadarko Petroleum Corp.		1.00	%	Credit Suisse International		6/20/17	BBB		USD	2,425	$	5,855		$	(3,526	)	$	9,381
Anadarko Petroleum Corp.		1.00	%	Morgan Stanley & Co. International PLC		6/20/17	BBB		USD	10		24			(17	)		41
Anadarko Petroleum Corp.		1.00	%	UBS AG		6/20/17	BBB		USD	994		2,400			(1,675	)		4,075
Athem, Inc. (FKA WellPoint, Inc.)		1.00	%	Goldman Sachs Bank USA		9/20/17	A-		USD	4,500		21,413			(3,364	)		24,777
Athem, Inc. (FKA WellPoint, Inc.)		1.00	%	Goldman Sachs International		9/20/17	A-		USD	2,800		13,323			(2,251	)		15,574
Comcast Corp.		1.00	%	Credit Suisse International		9/20/17	A-		USD	12,200		60,189			4,317			55,872
United Health Group, Inc.		1.00	%	Goldman Sachs Bank USA		9/20/17	A+		USD	4,500		22,336			(847	)		23,183
United Health Group, Inc.		1.00	%	Goldman Sachs International		9/20/17	A+		USD	2,800		13,898			(567	)		14,465
MetLife, Inc.		1.00	%	Deutsche Bank AG		3/20/18	A-		USD	3,025		27,513			(23,364	)		50,877
Bank of America Corp.		1.00	%	Deutsche Bank AG		3/20/19	BBB+		USD	16,700		247,478			49,483			197,995
American Tower Corp.		1.00	%	Morgan Stanley & Co. International PLC		6/20/21	BBB-		USD	10,000		(162,954	)		(340,328	)		177,374
Total											$	251,475		$	(322,139	)	$	573,614

Transactions in Options Written for the Six Months Ended April 30, 2017


	Calls								Puts
			Notional (000)						Notional (000)
	Contracts		USD			Premiums Received			USD			Premiums Received
Outstanding options, beginning of period		—		155,800		$	513,805			155,800		$	437,313
Options written		1,000		—			498,820			155,800			810,700
Options exercised		—		—			—			—			—
Options expired		—		—			—			—			—
Options closed		—		(155,800	)		(513,805	)		(155,800	)		(437,313	)

Outstanding options, end of period		1,000		—		$	498,820			155,800		$	810,700

Derivative Financial Instruments Categorized by Risk Exposure

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


Assets — Derivative Financial Instruments		Commodity Contracts	Credit Contracts		Equity Contracts	Foreign Currency Exchange Contracts	Interest Rate Contracts		Other Contracts	Total
Futures contracts	Net unrealized appreciation¹	—		—	—	—	$	412,842	—	$	412,842
Options purchased	Investments at value — unaffiliated²	—		—	—	—		484,375	—		484,375
Swaps — OTC	Unrealized appreciation on OTC swaps; Swap premiums paid	—	$	780,587	—	—		—	—		780,587

Total		—	$	780,587	—	—	$	897,217	—	$	1,677,804


Liabilities — Derivative Financial Instruments
Futures contracts	Net unrealized depreciation	—		—	—	—	$	787,587	—	$	787,587
Options written	Options written at value	—		—	—	—		754,503	—		754,503
Swaps — OTC	Unrealized depreciation on OTC swaps; Swap premiums received	—	$	1,231,347	—	—		—	—		1,231,347

Total		—	$	1,231,347	—	—	$	1,542,090	—	$	2,773,437

¹ Includes cumulative appreciation (depreciation) on futures contracts and centrally cleared swaps, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities.
² Includes options purchased at value as reported in the Schedule of Investments.

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	23


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)

For the six months ended April 30, 2017, the effect of derivative financial instruments in the Statements of Operations was as follows:


Net Realized Gain (Loss) from:	Commodity Contracts		Credit Contracts			Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts			Other Contracts		Total
Futures contracts		—		—			—		—		$	6,100,706			—	$	6,100,706
Options purchased¹		—		—			—	$	(1,260,340	)		8,400,274			—		7,139,934
Options written		—		—			—		—			(328,569	)		—		(328,569	)
Swaps		—	$	805			—		—			129,804			—		130,609

Total		—	$	805			—	$	(1,260,340	)	$	14,302,215			—	$	13,042,680


Net Change in Unrealized Appreciation (Depreciation) on:
Futures contracts		—		—			—		—		$	(4,389,517	)		—	$	(4,389,517	)
Options purchased¹		—		—			—	$	1,101,752			(464,852	)		—		636,900
Options written		—		—			—		—			282,764			—		282,764
Swaps		—	$	(164,287	)		—		—			—			—		(164,287	)

Total		—	$	(164,287	)		—	$	1,101,752		$	(4,571,605	)		—	$	(3,634,140	)

¹Options purchased are included in net realized gain (loss) from investments.


Average Quarterly Balances of Outstanding Derivative Financial Instruments

Futures contracts:
Average notional value of contracts — long	$	98,350,055
Average notional value of contracts — short	$	142,056,079
Options:
Average value of option contracts purchased	$	242,188
Average value of option contracts written	$	101,563
Average notional value of swaption contracts purchased	$	382,000,000	¹
Average notional value of swaption contracts written	$	155,800,000
Credit default swaps:
Average notional value — buy protection	$	66,101,600
Average notional value — sell protection	$	59,954,000
Interest rate swaps:
Average notional value — pays fixed rate	$	23,125,000	¹
¹ Actual amounts for the period are shown due to limited outstanding derivative financial instruments as of each quarter end.

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


Derivative Financial Instruments — Offsetting as of Period End

The Trust’s derivative assets and liabilities (by type) were as follows:


	Assets			Liabilities
Derivative Financial Instruments:
Futures contracts	$	11,250		$	110,096
Options		484,375	¹		754,503
Swaps — OTC²		780,587			1,231,347

Total derivative assets and liabilities in the Statements of Assets and Liabilities	$	1,276,212		$	2,095,946

Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		(495,625	)		(313,221	)

Total derivative assets and liabilities subject to an MNA	$	780,587		$	1,782,725

¹ Includes options purchased at value which is included in Investments at value — unaffiliated in the Statements of Assets and Liabilities and reported in the Schedule of Investments.
²Includes unrealized appreciation (depreciation) on OTC swaps and swap premiums (paid/received) in the Statements of Assets and Liabilities.

See Notes to Financial Statements.



24	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Credit Allocation Income Trust (BTZ)

The following tables present the Trust’s derivative assets (and liabilities) by counterparty net of amounts available for offset under a Master Netting Agreement (“MNA”) and net of the related collateral received (and pledged) by the Trust:


Counterparty	Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Received	Cash Collateral Received			Net Amount of Derivative Assets²
Barclays Bank PLC	$	5,711	$	(5,711	)	—		—			—
Citibank N.A.		23,064		(23,064	)	—		—			—
Credit Suisse International		69,570		(69,570	)	—		—			—
Deutsche Bank AG		298,355		(270,208	)	—	$	(28,147	)		—
Goldman Sachs Bank USA		53,810		(53,810	)	—		—			—
Goldman Sachs International		48,711		(48,711	)	—		—			—
JPMorgan Chase Bank N.A.		99,876		(99,876	)	—		—			—
Morgan Stanley & Co. International PLC		177,415		(177,415	)	—		—			—
UBS AG		4,075		(1,675	)	—		—		$	2,400

Total	$	780,587	$	(750,040	)	—	$	(28,147	)	$	2,400


Counterparty	Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Pledged	Cash Collateral Pledged			Net Amount of Derivative Liabilities³
Bank of America N.A.	$	551,378		—		—	$	(551,378	)		—
Barclays Bank PLC		9,738	$	(5,711	)	—		—		$	4,027
Citibank N.A.		65,219		(23,064	)	—		—			42,155
Credit Suisse International		106,809		(69,570	)	—		—			37,239
Deutsche Bank AG		270,208		(270,208	)	—		—			—
Goldman Sachs Bank USA		54,436		(53,810	)	—		—			626
Goldman Sachs International		74,461		(48,711	)	—		—			25,750
JPMorgan Chase Bank N.A.		308,456		(99,876	)	—		—			208,580
Morgan Stanley & Co. International PLC		340,345		(177,415	)	—		—			162,930
UBS AG		1,675		(1,675	)	—		—			—

Total	$	1,782,725	$	(750,040	)	—	$	(551,378	)	$	481,307

¹The amount of derivatives available for offset is limited to the amount of derivative asset and/or liabilities that are subject to an MNA.
²Net amount represents the net amount receivable from the counterparty in the event of default.
³Net amount represents the net amount payable due to counterparty in the event of default.

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:
Asset-Backed Securities		—	$	47,382,069	$	9,405,908	$	56,787,977
Corporate Bonds		—		1,434,949,910		5,033,000		1,439,982,910
Foreign Agency Obligations		—		31,256,192		—		31,256,192
Municipal Bonds		—		18,442,700		—		18,442,700
Preferred Securities	$	53,705,642		355,374,388		—		409,080,030
U.S. Government Sponsored Agency Securities		—		3,775,259		—		3,775,259
U.S. Treasury Obligations		—		27,545,583		—		27,545,583
Short-Term Securities		12,260,042		—		—		12,260,042
Options Purchased:
Interest rate contracts		484,375		—		—		484,375

Total	$	66,450,059	$	1,918,726,101	$	14,438,908	$	1,999,615,068

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	25


Schedule of Investments (concluded)		BlackRock Credit Allocation Income Trust (BTZ)


	Level 1			Level 2			Level 3		Total
Derivative Financial Instruments¹
Assets:
Credit contracts		—		$	573,614			—	$	573,614
Interest rate contracts	$	412,842			—			—		412,842
Liabilities:
Credit contracts		—			(792,914	)		—		(792,914	)
Interest rate contracts		(990,712	)		(551,378	)		—		(1,542,090	)

Total	$	(577,870	)	$	(770,678	)		—	$	(1,348,548	)

¹ Derivative financial instruments are swaps, futures contracts, forward foreign currency exchange contracts and options written. Swaps, futures contracts and forward foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument and options written are shown at value.

The Trust may hold liabilities in which the fair value approximates the carrying amount or face value, including accrued interest, for financial statement purposes. As of period end, reverse repurchase agreements of $439,330,649 are categorized as Level 2 within the disclosure hierarchy.

During the six months ended April 30, 2017, there were no transfers between Level 1 and Level 2.

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


	Asset-Backed Securities			Corporate Bonds			Common Stocks			Total
Assets:
Opening Balance, as of October 31, 2016	$	15,186,952		$	5,113,500		$	2,951		$	20,303,403
Transfers into Level 3		—			—			—			—
Transfers out of Level 3¹		(9,083,692	)		—			—			(9,083,692	)
Accrued discounts/premiums		1,732			—			—			1,732
Net realized gain (loss)		76,713			—			—			76,713
Net change in unrealized appreciation (depreciation)^2,3		(75,797	)		(80,500	)		(2,951	)		(159,248	)
Purchases		7,800,000			—			—			7,800,000
Sales		(4,500,000	)		—			—			(4,500,000	)

Closing Balance, as of April 30, 2017	$	9,405,908		$	5,033,000			—		$	14,438,908

Net change in unrealized appreciation (depreciation) on investments still held at April 30, 2017²	$	3,508		$	(80,500	)	$	(2,951	)	$	(79,943	)

¹As of October 31, 2016, the Trust used significant unobservable inputs in determining the value of certain investments. As of April 30, 2017, the Trust used observable inputs in determining the value of the same investments. As a result, investments at the beginning of period value were transferred from Level 3 to Level 2 in the disclosure hierarchy.
² Included in the related net change in unrealized appreciation (depreciation) in the Statements of Operations.
³ Any difference between net change in unrealized appreciation (depreciation) and net change in unrealized appreciation (depreciation) on derivative financial instruments still held at April 30, 2017 is generally due to derivative financial instruments no longer held or categorized as Level 3 at period end.

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

See Notes to Financial Statements.



26	SEMI-ANNUAL REPORT	APRIL 30, 2017

Schedule of Investments April 30, 2017 (Unaudited)

BlackRock Floating Rate Income Trust (BGT)

(Percentages shown are based on Net Assets)


Common Stocks (a)		Shares		Value
Health Care Management Services — 0.0%
New Millennium HoldCo, Inc.			9,191	$	10,570
Household Durables — 0.0%
Berkline Benchcraft Equity LLC			6,155		—
Internet Software & Services — 0.0%
New Holdings LLC			365		119,537
Specialty Retail — 0.0%
Things Remembered, Inc.			551,052		5
Total Common Stocks — 0.0%					130,112


Asset-Backed Securities (b)(c)		Par (000)
ALM Loan Funding, Series 2012-5A, Class BR, 4.16%, 10/18/27	USD		310		311,034
ALM VII R Ltd., Series 2013-7RA, Class BR, 3.86%, 10/15/28			250		251,593
ALM XIV Ltd., Series 2014-14A, Class C, 4.62%, 7/28/26			463		463,101
ALM XVII Ltd., Series 2015-17A, Class C1, 5.31%, 1/15/28			250		252,637
AMMC CLO Ltd., Series 2014-15A, Class D, 5.31%, 12/09/26			250		251,671
Ares XXXIII CLO Ltd., Series 2015-1A, Class A2R, 3.05%, 12/05/25			300		302,558
Atlas Senior Loan Fund VI Ltd., Series 2014-6A, Class DR, 4.76%, 10/15/26			500		500,865
Carlyle Global Market Strategies CLO Ltd., Series 2013-1A, Class C, 5.04%, 2/14/25			250		251,204
CIFC Funding Ltd.:
Series 2013-1A, Class A2, 3.06%, 4/16/25			290		290,345
Series 2014-2A, Class A3LR, 3.28%, 5/24/26			275		275,025
GoldentTree Loan Management US CLO 1 Ltd., Series 2017-1A, Class C, 3.38%, 4/20/29			250		250,000
Grippen Park CLO Ltd., Series 2017-1A, Class C, 3.55%, 1/20/30			250		250,221
Highbridge Loan Management Ltd., Series 2015-7A, Class C, 4.42%, 11/15/26			250		251,292
LCM XVIII LP, Series 18A, Class INC, 0.00%, 4/20/27			750		513,518
Pinnacle Park CLO Ltd., Series 2014-1A, Class CR, 3.81%, 4/15/26			250		250,175
Symphony CLO Ltd., Series 2016-17A, Class D, 5.96%, 4/15/28			250		254,019
TCI-Cent CLO Ltd., Series 2016-1A, Class A2, 3.32%, 12/21/29			250		251,852
Treman Park CLO LLC, Series 2015-1A, Class D, 5.02%, 4/20/27			700		701,416
Voya CLO 2013-3 Ltd., Series 2013-3A, Class A2R, 2.66%, 1/18/26			250		250,000
Webster Park CLO Ltd., Series 2015-1A:
Class B1, 4.26%, 1/20/27			250		251,694
Class C, 5.21%, 1/20/27			250		252,593

					6,626,813
Total Asset-Backed Securities — 1.9%					6,626,813



Corporate Bonds
Airlines — 0.4%
US Airways Pass-Through Trust, Series 2012-2, Class C, 5.45%, 6/03/18			1,585		1,620,663


Corporate Bonds		Par (000)		Value
Capital Markets — 0.3%
Blackstone CQP Holdco LP, 6.50%, 3/20/21 (c)	USD		941	$	947,492
Chemicals — 0.2%
Momentive Performance Materials, Inc., 3.88%, 10/24/21			665		660,844
Communications Equipment — 0.2%
Avaya, Inc., 7.00%, 4/01/19 (a)(c)(d)			827		694,680
Consumer Finance — 0.1%
Ally Financial, Inc., 8.00%, 11/01/31			150		178,500
Containers & Packaging — 1.2%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc. (c):
4.43%, 5/15/21 (b)			280		285,950
4.25%, 9/15/22			480		489,216
7.25%, 5/15/24			200		217,750
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC, 4.66%, 7/15/21 (b)(c)			3,125		3,195,312

					4,188,228
Diversified Consumer Services — 0.1%
Prime Security Services Borrower LLC/Prime Finance, Inc., 9.25%, 5/15/23 (c)			175		191,188
Diversified Telecommunication Services — 0.3%
Level 3 Financing, Inc.:
4.94%, 1/15/18 (b)			607		608,517
6.13%, 1/15/21			337		348,374

					956,891
Electric Utilities — 0.0%
Texas Competitive Electric Holdings Co. LLC/TCEH Finance, Inc., 11.50%, 10/01/20 (a)(c)(d)			654		—
Energy Equipment & Services — 0.3%
Transocean, Inc., 9.00%, 7/15/23 (c)			976		1,040,660
Weatherford International Ltd., 9.88%, 2/15/24 (c)			200		233,000

					1,273,660
Environmental, Maintenance, & Security Service — 0.1%
Tervita Escrow Corp., 7.63%, 12/01/21 (c)			330		339,075
Health Care Providers & Services — 0.3%
CHS/Community Health Systems, Inc., 5.13%, 8/01/21			945		936,731
HCA, Inc., 5.25%, 6/15/26			200		213,250
RegionalCare Hospital Partners Holdings, Inc., 8.25%, 5/01/23 (c)			45		47,875

					1,197,856
Household Durables — 0.0%
Berkline/Benchcraft LLC, 4.50%, 6/01/17 (a)(d)			400		—
Independent Power and Renewable Electricity Producers — 0.3%
NRG Energy, Inc., 6.25%, 7/15/22			925		942,399
Internet Software & Services — 0.1%
Symantec Corp., 5.00%, 4/15/25 (c)			175		180,906
Media — 1.2%
Altice Financing SA (c):
6.63%, 2/15/23			335		354,681
7.50%, 5/15/26			525		567,000
Altice US Finance I Corp., 5.50%, 5/15/26 (c)			200		206,750
Clear Channel Worldwide Holdings, Inc., Series B, 7.63%, 3/15/20			175		176,969
CSC Holdings LLC, 10.88%, 10/15/25 (c)			200		240,250
SFR Group SA (c):
6.00%, 5/15/22			512		533,760
6.25%, 5/15/24			630		652,050

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	27


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Corporate Bonds		Par (000)		Value
SFR Group SA (c) (continued):
7.38%, 5/01/26	USD		1,130	$	1,187,912
Virgin Media Secured Finance PLC, 5.25%, 1/15/26 (c)			200		202,500

					4,121,872
Metals & Mining — 1.2%
Constellium NV, 6.63%, 3/01/25 (c)			250		246,250
Freeport-McMoRan, Inc.:
2.38%, 3/15/18			1,238		1,231,810
3.10%, 3/15/20			725		715,031
3.88%, 3/15/23			375		347,813
Novelis Corp., 6.25%, 8/15/24 (c)			375		394,687
Teck Resources Ltd.:
4.50%, 1/15/21			514		530,823
3.75%, 2/01/23			783		771,490

					4,237,904
Oil, Gas & Consumable Fuels — 1.4%
Cheniere Corpus Christi Holdings LLC, 7.00%, 6/30/24 (c)			415		463,712
CONSOL Energy, Inc., 5.88%, 4/15/22			1,385		1,350,375
Great Western Petroleum LLC/Great Western Finance, Inc., 9.00%, 9/30/21 (c)			615		636,525
Halcon Resources Corp., 6.75%, 2/15/25 (c)			865		830,400
MEG Energy Corp., 6.50%, 1/15/25 (c)			624		616,200
NGPL PipeCo LLC, 7.12%, 12/15/17 (c)			234		240,289
Noble Holding International Ltd., 7.75%, 1/15/24			170		155,125
Rowan Cos., Inc., 7.38%, 6/15/25			210		207,375
Sanchez Energy Corp., 6.13%, 1/15/23			328		301,757

					4,801,758
Real Estate Investment Trusts (REITs) — 0.1%
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer, Inc., 5.63%, 5/01/24			500		539,375
Road & Rail — 0.1%
Avis Budget Car Rental LLC/Avis Budget Finance, Inc., 3.80%, 12/01/17 (b)			179		179,090
Software — 0.1%
Solera LLC/Solera Finance, Inc., 10.50%, 3/01/24 (c)			175		199,719
Wireless Telecommunication Services — 0.1%
Sprint Communications, Inc., 7.00%, 8/15/20			200		216,500
Total Corporate Bonds — 8.1%					27,668,600



Floating Rate Loan Interests (b)
Aerospace & Defense — 1.7%
Engility Corp.:
Term Loan B1, 4.24%, 8/12/20			209		210,045
Term Loan B2, 4.75%, 8/12/23			389		391,313
TransDigm, Inc.:
2015 Term Loan E, 3.99%, 5/14/22			499		497,940
2016 Extended Term Loan F, 3.99%, 6/09/23			3,935		3,929,303
Term Loan D, 4.15%, 6/04/21			697		698,071

					5,726,672
Air Freight & Logistics — 1.5%
Avolon TLB Borrower 1 (Luxembourg) Sarl, Term Loan B2, 3.74%, 3/20/22			3,865		3,921,423
CEVA Group PLC, Synthetic LOC, 6.50%, 3/19/21			447		377,590
CEVA Intercompany BV, Dutch Term Loan, 6.67%, 3/19/21			457		400,338


Floating Rate Loan Interests (b)		Par (000)		Value
Air Freight & Logistics (continued)
CEVA Logistics Canada ULC, Canadian Term Loan, 6.67%, 3/19/21	USD		81	$	71,215
CEVA Logistics US Holdings, Inc., Term Loan, 6.67%, 3/19/21			609		533,183

					5,303,749
Airlines — 0.1%
Northwest Airlines, Inc., Term Loan, 2.65%, 9/10/18			217		213,328
Auto Components — 0.8%
Anchor Glass Container Corp.:
2016 1st Lien Term Loan, 4.25%, 12/07/23			324		326,376
2016 2nd Lien Term Loan, 8.75%, 12/07/24			240		244,200
FPC Holdings, Inc., 1st Lien Term Loan, 5.25%, 11/19/19			588		560,857
Goodyear Tire & Rubber Co., 2nd Lien Term Loan, 2.99%, 4/30/19			374		378,312
GPX International Tire Corp., Term Loan (a)(d):
12.25%, 3/30/2012			274		—
PIK, 13.00%, 3/30/2012 (e)			4		—
TKC Holdings, Inc., 2017 2nd Lien Term Loan, 8.50%, 2/01/24			461		464,458
USI, Inc., 2017 Term Loan B, 3.25%, 3/30/24			635		632,225

					2,606,428
Automobiles — 0.3%
CH Hold Corp.:
1st Lien Term Loan, 4.00%, 2/01/24			725		729,444
2nd Lien Term Loan, 8.25%, 2/01/25			150		152,625

					882,069
Biotechnology — 0.1%
AMAG Pharmaceuticals, Inc., 2015 1st Lien Term Loan, 4.78%, 8/13/21			477		476,013
Building Materials — 1.0%
Allied Universal HoldCo LLC, 2015 Term Loan, 4.79%, 7/28/22			3,039		3,048,608
USAGM HoldCo LLC, 2015 2nd Lien Term Loan, 9.67%, 7/28/23			395		398,622

					3,447,230
Building Products — 2.6%
Continental Building Products LLC, 2017 Term Loan B, 3.65%, 8/18/23			684		683,232
CPG International, Inc., Term Loan, 4.90%, 9/30/20			3,196		3,210,206
GYP Holdings III Corp., 1st Lien Term Loan, 4.67%, 4/01/21			953		956,120
Jeld-Wen, Inc., 2017 Term Loan B, 4.15%, 7/01/22			1,093		1,103,555
Ply Gem Industries, Inc., Term Loan, 4.15%, 2/01/21			562		564,253
Quikrete Holdings, Inc., 2016 1st Lien Term Loan, 4.24%, 11/15/23			817		817,825
Wilsonart LLC, 2016 Term Loan, 4.65%, 12/19/23			1,636		1,645,750

					8,980,941
Capital Markets — 0.6%
Affinion Group, Inc., Term Loan B, 6.75%, 4/30/18			388		387,002
RPI Finance Trust, Term Loan B6, 3.15%, 3/27/23			1,675		1,680,136

					2,067,138

See Notes to Financial Statements.



28	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Chemicals — 4.0%
Alpha 3 B.V., 2017 Term Loan B1, 4.15%, 1/31/24	USD		630	$	633,150
Axalta Coating Systems US Holdings, Inc., Term Loan B1, 3.65%, 2/01/23			990		998,759
CeramTec Acquisition Corp., Term Loan B2, 3.80%, 8/30/20			69		69,855
Charter NEX US Holdings, Inc., Term Loan B, 5.40%, 2/07/22			663		663,651
Chemours Co., 2017 Term Loan B, 3.49%, 5/12/22			561		564,519
Evergreen Acqco 1 LP, Term Loan, 5.00%, 7/09/19			182		164,902
Huntsman International LLC, Term Loan B2, 3.99%, 4/01/23			1,347		1,363,141
Klockner-Pentaplast of America, Inc.:
1st Lien Term Loan, 4.40%, 4/28/20			680		684,976
German Borrower, 4.40%, 4/28/20			291		292,725
MacDermid, Inc.:
Term Loan B5, 4.50%, 6/07/20			1,177		1,182,492
Term Loan B6, 4.00%, 6/07/23			867		870,520
OXEA Finance LLC, Term Loan B2, 4.40%, 1/15/20			1,772		1,719,025
PQ Corp., 2016 Term Loan, 5.25%, 11/04/22			851		860,458
Royal Holdings, Inc.:
2015 2nd Lien Term Loan, 8.65%, 6/19/23			157		157,372
2017 Term Loan B, 4.40%, 6/19/22			685		689,921
Solenis International LP:
1st Lien Term Loan, 4.30%, 7/31/21			913		915,119
2nd Lien Term Loan, 7.80%, 7/31/22			1,055		1,049,071
Tata Chemicals North America, Inc., Term Loan B, 3.94%, 8/07/20			277		276,977
Versum Materials, Inc., Term Loan, 3.65%, 9/29/23			587		593,167

					13,749,800
Commercial Services & Supplies — 7.2%
Advanced Disposal Services, Inc., Term Loan B3, 3.70%, 11/10/23			2,025		2,041,954
Asurion LLC:
2016 Term Loan B2, 4.24%, 7/08/20			344		345,932
Term Loan B4, 4.25%, 8/04/22			1,221		1,228,313
Term Loan B5, 4.75%, 11/03/23			1,470		1,481,082
Brand Energy & Infrastructure Services, Inc., Term Loan B, 4.93%, 11/26/20			1,721		1,725,090
Camelot UK HoldCo Ltd., 2017 Term Loan B, 4.50%, 10/03/23			1,313		1,319,310
Casella Waste Systems, Inc., 2017 Term Loan B, 3.75%, 10/17/23			579		579,996
Catalent Pharma Solutions, Inc., Term Loan B, 3.75%, 5/20/21			2,253		2,276,944
Creative Artists Agency LLC, 2017 1st Lien Term Loan B, 4.50%, 2/15/24			1,277		1,291,700
Dealer Tire LLC, 2016 Term Loan B, 4.94%, 12/22/21			636		643,028
Employbridge LLC, Exit Term Loan, 7.65%, 5/16/20			229		212,394
GCA Services Group, Inc., 2016 Term Loan, 5.77%, 3/01/23			1,149		1,153,933
Harland Clarke Holdings Corp., Term Loan B6, 6.65%, 2/09/22			655		655,420
Inmar Holdings, Inc., 2017 1st Lien Term Loan B, 4.75%, 4/21/24			650		645,535
KAR Auction Services, Inc.:
Term Loan B2, 4.19%, 3/11/21			800		806,571
Term Loan B3, 4.50%, 3/09/23			1,064		1,072,232


Floating Rate Loan Interests (b)		Par (000)		Value
Commercial Services & Supplies (continued)
Livingston International, Inc., 1st Lien Term Loan, 5.50%, 4/18/19	USD		789	$	779,384
PSSI Holdings LLC, Term Loan B, 4.80%, 12/02/21			982		992,300
Spin Holdco, Inc., Term Loan B, 4.28%, 11/14/19			2,209		2,211,271
TruGreen Limited Partnership, 1st Lien Term Loan B, 6.50%, 4/13/23			625		629,183
US Security Associates Holdings, Inc., 2016 Term Loan, 6.02%, 7/14/23			1,304		1,315,380
Waste Industries USA, Inc., 2016 Term Loan, 3.74%, 2/27/20			1,241		1,250,631

					24,657,583
Communications Equipment — 1.0%
Applied Systems, Inc.:
1st Lien Term Loan, 4.40%, 1/25/21			559		562,516
2nd Lien Term Loan, 7.65%, 1/24/22			227		229,005
Avaya, Inc.:
DIP Term Loan, 8.50%, 1/24/18			35		35,903
Term Loan B7, 6.28%, 5/29/20 (a)(d)			153		127,276
Colorado Buyer, Inc, Term Loan B, 4.00%, 3/28/24			1,060		1,065,565
CommScope, Inc., Term Loan B5, 3.49%, 12/29/22			491		494,499
Riverbed Technology, Inc., 2016 Term Loan, 4.25%, 4/24/22			862		859,927

					3,374,691
Construction & Engineering — 1.1%
CNT Holdings III Corp., 2017 Term Loan, 4.28%, 1/22/23			822		827,533
Pike Corp., 2017 1st Lien Term Loan, 4.75%, 3/01/24			255		257,550
Safway Group Holding LLC, Term Loan B, 5.75%, 8/19/23			2,080		2,097,746
USIC Holdings, Inc., 2016 1st Lien Term Loan, 5.17%, 12/08/23			524		526,961

					3,709,790
Construction Materials — 0.8%
Filtration Group Corp., 1st Lien Term Loan, 4.30%, 11/21/20			2,146		2,153,740
Headwaters, Inc., 2016 Term Loan B, 4.00%, 3/24/22			435		436,026
McJunkin Red Man Corp., Term Loan, 5.00%, 11/08/19			210		211,270

					2,801,036
Containers & Packaging — 1.7%
Berlin Packaging LLC, 2014 1st Lien Term Loan, 4.50%, 10/01/21			361		362,761
Berry Plastics Group, Inc., Term Loan I, 3.49%, 10/01/22			3,385		3,406,450
BWAY Holding Co., 2017 Term Loan B, 4.40%, 4/03/24			1,103		1,095,709
Flex Acquisition Company, Inc., 1st Lien Term Loan, 4.40%, 12/29/23			730		733,198
Proampac PG Borrower LLC, 2016 1st Lien Term Loan, 5.06%, 11/18/23			304		308,674

					5,906,792
Distributors — 0.6%
American Builders & Contractors Supply Co., Inc., Term Loan B, 3.74%, 10/31/23			1,621		1,630,182
American Tire Distributors Holdings, Inc., 2015 Term Loan, 5.25%, 9/01/21			569		569,385

					2,199,567

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	29


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Diversified Consumer Services — 4.2%
Bright Horizons Family Solutions, Inc., 2016 Term Loan B, 3.74%, 11/07/23	USD		2,005	$	2,019,768
CT Technologies Intermediate Holdings, Inc., 1st Lien Term Loan, 5.25%, 12/01/21			725		696,294
J.D. Power and Associates, 1st Lien Term Loan, 5.25%, 9/07/23			776		779,980
Nomad Foods Europe Midco Ltd.:
Term Loan B, 2.75%, 4/18/24			545		546,815
Term Loan C1, 3.50%, 6/30/20	EUR		606		663,706
Prime Security Services Borrower LLC, 2016 1st Lien Term Loan, 4.25%, 5/02/22	USD		1,429		1,443,344
Serta Simmons Bedding LLC:
1st Lien Term Loan, 4.54%, 11/08/23			2,913		2,920,448
2nd Lien Term Loan, 9.04%, 11/08/24			655		663,188
ServiceMaster Co., 2016 Term Loan B, 3.48%, 11/08/23			2,569		2,595,866
Wand Intermediate I LP, 1st Lien Term Loan, 4.77%, 9/17/21			790		796,785
Weight Watchers International, Inc., Term Loan B2, 4.40%, 4/02/20			1,396		1,324,176

					14,450,370
Diversified Financial Services — 1.3%
AlixPartners LLP, 2017 Term Loan B, 4.15%, 4/04/24			1,635		1,648,423
Diamond US Holding LLC, 2017 Term Loan B, 4.29%, 3/29/24			587		586,500
Jefferies Finance LLC, Term Loan, 4.69%, 5/14/20			1,670		1,666,074
SAM Finance Luxembourg Sarl, Term Loan, 4.39%, 12/17/20			388		391,102

					4,292,099
Diversified Telecommunication Services — 6.3%
Consolidated Communications, Inc.:
2016 Term Loan B, 4.00%, 10/04/23			413		415,283
Term Loan B2, 4.15%, 10/05/23			280		281,400
Hargray Communications Group, Inc., 2017 Term Loan B, 4.16%, 3/22/24			930		931,162
Hawaiian Telcom Communications, Inc., Term Loan B, 5.42%, 6/06/19			1,404		1,403,915
Level 3 Financing, Inc., 2017 Term Loan B, 3.24%, 2/22/24			7,110		7,130,335
Sprint Communications, Inc., 1st Lien Term Loan B, 3.50%, 2/02/24			1,785		1,786,125
Telenet International Finance Sarl:
Term Loan AF, 3.97%, 1/31/25			2,475		2,478,490
Term Loan AI, 3.90%, 3/31/25			2,420		2,426,050
Telesat Canada, 2017 Term Loan B, 4.15%, 11/17/23			701		706,056
Virgin Media Investment Holdings Ltd., Term Loan J, 3.76%, 1/31/26	GBP		1,101		1,429,874
WaveDivision Holdings LLC, Term Loan B, 3.93%, 10/15/19	USD		892		893,163
Zayo Group LLC, 2017 Term Loan B2, 3.50%, 1/19/24			1,812		1,823,866

					21,705,719
Electric Utilities — 2.1%
Energy Future Intermediate Holding Co. LLC, 2016 DIP Term Loan, 4.30%, 6/30/17			3,761		3,779,481
PrimeLine Utility Services LLC, Term Loan, 6.52%, 11/12/22			845		836,226
TEX Operations Co. LLC:
Exit Term Loan B, 3.79%, 8/04/23			1,674		1,670,308
Exit Term Loan C, 3.74%, 8/04/23			383		382,144


Floating Rate Loan Interests (b)		Par (000)		Value
Electric Utilities (continued)
Texas Competitive Electric Holdings Co. LLC/TCEH Finance, Inc., Escrow, 5.19%, 11/10/17 (a)(b)(d)	USD		1,050		—
Vistra Operations Co. LLC, 2016 Term Loan B2, 4.24%, 12/14/23			449	$	450,280

					7,118,439
Energy Equipment & Services — 0.8%
Exgen Texas Power LLC, Term Loan B, 5.90%, 9/16/21			527		283,447
Gavilan Resources LLC, 2nd Lien Term Loan, 7.00%, 3/01/24			1,225		1,212,750
Seadrill Partners Finco LLC, Term Loan B, 4.05%, 2/21/21			407		273,371
Weatherford International Ltd., Term Loan, 3.30%, 7/13/20			869		851,261

					2,620,829
Food & Staples Retailing — 4.1%
Albertsons LLC:
2016 Term Loan B4, 3.99%, 8/22/21			2,767		2,776,406
2016 Term Loan B5, 4.40%, 12/22/22			217		217,687
BJ’s Wholesale Club, Inc.:
2017 1st Lien Term Loan, 4.75%, 2/03/24			2,330		2,319,329
2017 2nd Lien Term Loan, 8.50%, 2/03/25			680		680,993
Hostess Brands LLC, 2016 1st Lien Term Loan, 4.00%, 8/03/22			1,692		1,706,117
Rite Aid Corp.:
5.75%, 8/21/20			681		682,367
4.88%, 6/21/21			1,629		1,630,227
US Foods, Inc., 2016 Term Loan B, 3.74%, 6/27/23			4,020		4,054,435

					14,067,561
Food Products — 2.7%
Blue Ribbon LLC, Term Loan, 5.15%, 11/13/21			635		588,538
Chobani LLC, 1st Lien Term Loan, 5.25%, 10/07/23			1,273		1,291,676
Dole Food Company, Inc., 2017 Term Loan B, 4.03%, 4/06/24			650		651,930
JBS USA LLC, 2017 Term Loan B, 3.48%, 10/30/22			1,245		1,250,117
Pinnacle Foods Finance LLC, 2017 Term Loan B, 2.98%, 2/02/24			1,616		1,625,032
Reddy Ice Corp.:
1st Lien Term Loan, 6.75%, 5/01/19			965		950,232
2nd Lien Term Loan, 10.75%, 11/01/19			328		306,132
Reynolds Group Holdings, Inc., 2017 Term Loan, 3.99%, 2/05/23			2,540		2,552,592

					9,216,249
Health Care Equipment & Supplies — 4.5%
Alere, Inc.:
2015 Term Loan A, 3.99%, 6/18/20			277		276,906
2015 Term Loan B, 4.25%, 6/18/22			1,165		1,169,953
Auris Luxembourg III Sarl, 2017 Term Loan B7, 4.15%, 1/17/22			1,502		1,513,269
Capsugel Holdings US, Inc., Term Loan B, 4.00%, 7/31/21			2,320		2,321,233
Cotiviti Corp., Term Loan B, 3.90%, 9/28/23			1,595		1,601,492
DJO Finance LLC, 2015 Term Loan, 4.25%, 6/08/20			2,295		2,239,535
Immucor, Inc., Refinancing Term Loan B2, 5.00%, 8/17/18			1,388		1,382,255
Mallinckrodt International Finance SA, Term Loan B, 3.90%, 9/24/24			736		735,814

See Notes to Financial Statements.



30	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Health Care Equipment & Supplies (continued)
National Vision, Inc., 1st Lien Term Loan, 4.00%, 3/12/21	USD		2,091	$	2,090,672
Ortho-Clinical Diagnostics, Inc., Term Loan B, 4.75%, 6/30/21			1,380		1,372,500
Tecomet, Inc., 2017 Term Loan B, 4.75%, 4/13/24			595		597,975

					15,301,604
Health Care Providers & Services — 8.2%
Acadia Healthcare Co., Inc.:
Term Loan B, 3.98%, 2/11/22			287		287,385
Term Loan B2, 3.98%, 2/16/23			1,308		1,308,437
CHG Healthcare Services, Inc., 2016 Term Loan B, 4.92%, 6/07/23			2,089		2,114,134
Community Health Systems, Inc.:
Term Loan G, 3.75%, 12/31/19			894		890,298
Term Loan H, 4.00%, 1/27/21			430		427,487
Curo Health Services Holdings, Inc., 2015 1st Lien Term Loan, 6.54%, 2/07/22			377		379,773
DaVita HealthCare Partners, Inc., Term Loan B, 3.74%, 6/24/21			3,409		3,441,321
Envision Healthcare Corp., 2016 Term Loan B, 4.15%, 12/01/23			4,663		4,706,448
HC Group Holdings III, Inc., Term Loan B, 6.00%, 4/07/22			882		867,663
HCA, Inc., Term Loan B9, 2.99%, 3/17/23			3,183		3,192,883
Iasis Healthcare LLC, Term Loan B3, 5.25%, 2/16/21			205		205,000
inVentiv Health, Inc., 2016 Term Loan B, 4.80%, 11/09/23			2,522		2,534,508
MPH Acquisition Holdings LLC, 2016 Term Loan B, 4.90%, 6/07/23			1,541		1,561,001
National Mentor Holdings, Inc., Term Loan B, 4.40%, 1/31/21			295		297,191
NVA Holdings, Inc., 1st Lien Term Loan B2, 4.65%, 8/14/21			916		928,837
Precyse Acquisition Corp., 2016 1st Lien Term Loan, 5.50%, 10/20/22			1,001		1,011,336
Surgery Center Holdings, Inc., 1st Lien Term Loan, 4.75%, 11/03/20			1,177		1,182,533
Team Health Holdings, Inc., 1st Lien Term Loan, 3.75%, 2/06/24			1,845		1,827,712
U.S. Renal Care, Inc., 2015 Term Loan B, 5.40%, 12/31/22			1		514
Vizient, Inc., 2016 Term Loan B, 5.00%, 2/13/23			1,117		1,120,911

					28,285,372
Health Care Technology — 2.1%
Change Healthcare Holdings, Inc., 2017 Term Loan B, 3.75%, 3/01/24			4,715		4,727,401
Press Ganey Holdings, Inc.:
1st Lien Term Loan, 4.25%, 10/21/23			838		837,900
2nd Lien Term Loan, 8.25%, 10/21/24			310		315,425
Quintiles IMS, Inc., 2017 Term Loan B, 3.15%, 3/07/24			1,410		1,422,846

					7,303,572
Hotels, Restaurants & Leisure — 8.5%
Amaya Holdings BV:
2nd Lien Term Loan, 8.15%, 8/01/22			602		602,879
Repriced Term Loan B, 4.65%, 8/01/21			1,629		1,629,344
AMF Bowling Centers, Inc., 2016 Term Loan, 6.00%, 8/17/23			714		712,624
Boyd Gaming Corp., 2017 Term Loan B2, 3.45%, 9/15/23			1,232		1,236,668


Floating Rate Loan Interests (b)		Par (000)		Value
Hotels, Restaurants & Leisure (continued)
Bronco Midstream Funding LLC, Term Loan B, 5.06%, 8/15/20	USD		1,410	$	1,420,771
Burger King Newco Unlimited Liability Co., Term Loan B3, 3.40%, 2/16/24			2,854		2,855,088
Caesars Entertainment Operating Co., Term Loan B7, 6.13%, 3/01/22 (a)			1,495		1,832,616
Caesars Entertainment Resort Properties LLC, Term Loan B, 7.00%, 10/11/20			4,575		4,584,065
Caesars Growth Properties Holdings LLC, Term Loan:
2017, 4.00%, 5/08/21			320		321,600
6.25%, 5/08/21			800		804,016
CCM Merger, Inc., Term Loan B, 4.24%, 8/08/21			794		797,532
Eldorado Resorts LLC, Term Loan B:
2017, 2.25%, 3/13/24			369		368,077
6.25%, 7/23/22			1,466		1,459,212
ESH Hospitality, Inc., 2017 Term Loan B, 3.49%, 8/30/23			1,990		1,999,127
Four Seasons Holdings, Inc., 1st Lien Term Loan, 4.15%, 11/30/23			140		141,171
Gateway Casinos & Entertainment Ltd., Term Loan B1, 4.80%, 2/22/23			185		187,312
Hilton Worldwide Finance LLC, Term Loan B2, 2.99%, 10/25/23			1,114		1,123,271
La Quinta Intermediate Holdings LLC, Term Loan B, 3.91%, 4/14/21			504		508,124
Playa Resorts Holding BV, 2017 Term Loan B, 4.25%, 4/05/24			875		875,779
RHP Hotel Properties LP, Term Loan B:
2017, 3.41%, 4/19/24			840		842,100
3.75%, 1/15/21			751		753,681
Sabre GLBL, Inc., Term Loan B, 3.73%, 2/22/24			1,578		1,592,981
Scientific Games International, Inc., 2017 Term Loan B3, 4.99%, 10/01/21			1,177		1,194,234
Station Casinos LLC, 2016 Term Loan B, 3.50%, 6/08/23			522		521,761
Yum! Brands, Inc., 1st Lien Term Loan B, 2.99%, 6/16/23			896		899,977

					29,264,010
Household Products — 0.6%
Spectrum Brands, Inc., 2017 Term Loan B, 2.99%, 6/23/22			2,003		2,014,610
Independent Power and Renewable Electricity Producers — 3.1%
Aria Energy Operating LLC, Term Loan, 5.55%, 5/27/22			734		737,641
Calpine Construction Finance Co., LP, Term Loan B1, 3.24%, 5/03/20			639		639,630
Calpine Corp.:
Term Loan B5, 3.90%, 1/15/24			688		689,661
Term Loan B6, 3.90%, 1/15/23			1,304		1,307,580
Term Loan B7, 3.90%, 5/31/23			472		473,429
Dynegy, Inc., 2017 Term Loan C, 4.25%, 2/07/24			2,264		2,262,412
Granite Acquisition, Inc.:
Term Loan B, 5.15%, 12/19/21			2,026		2,043,560
Term Loan C, 5.15%, 12/19/21			91		91,986
Nautilus Power LLC, Term Loan B, 5.50%, 4/26/24			1,610		1,599,937
Terra-Gen Finance Co. LLC, Term Loan B, 5.25%, 12/09/21			667		627,298

					10,473,134
Industrial Conglomerates — 0.9%
Cortes NP Acquisition Corp., 2017 Term Loan B, 5.00%, 11/30/23			1,805		1,815,231

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	31


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Industrial Conglomerates (continued)
Power Products LLC, Term Loan, 5.66%, 12/20/22	USD		515	$	517,899
Sequa Corp., 1st Lien Term Loan, 6.67%, 11/26/21			760		767,600

					3,100,730
Insurance — 2.6%
Alliant Holdings I, Inc., 2015 Term Loan B, 4.39%, 8/12/22			1,032		1,034,697
AmWINS Group, Inc.:
2017 2nd Lien Term Loan, 7.75%, 1/25/25			180		183,150
2017 Term Loan B, 3.75%, 1/25/24			1,152		1,150,995
AssuredPartners, Inc., 2016 Term Loan B, 5.25%, 10/21/22			1,660		1,668,819
Edgewood Partners Insurance Center, 2017 1st Lien Term Loan B, 6.00%, 3/16/23			530		530,000
Hub International Ltd., Term Loan B, 4.03%, 10/02/20			724		726,949
Lonestar Intermediate Super Holdings LLC, PIK Term Loan B, 10.00%, 8/31/21 (e)			720		747,900
Sedgwick Claims Management Services, Inc.:
1st Lien Term Loan, 3.75%, 3/01/21			1,140		1,140,035
2016 1st Lien Term Loan, 4.40%, 3/01/21			526		526,025
2nd Lien Term Loan, 6.75%, 2/28/22			1,230		1,231,021

					8,939,591
Internet & Direct Marketing Retail — 0.3%
Harbor Freight Tools USA, Inc., 2016 Term Loan B, 4.24%, 8/19/23			874		870,956
Internet Software & Services — 1.6%
Go Daddy Operating Company LLC, 2017 Term Loan B, 3.49%, 2/15/24			2,319		2,328,045
GTT Communications, Inc., 2016 Term Loan B, 5.00%, 1/09/24			222		224,529
Rackspace Hosting, Inc., 1st Lien Term Loan, 4.53%, 11/03/23			2,045		2,058,944
TierPoint, LLC, 2017 1st Lien Term Loan, 4.75%, 5/18/24			920		923,450

					5,534,968
IT Services — 7.0%
Abacus Innovations Corp., Term Loan B, 3.25%, 8/16/23			2,504		2,525,007
Cision US, Inc., Term Loan B, 7.15%, 6/16/23			754		758,698
Cologix, Inc., 2017 1st Lien Term Loan, 4.15%, 3/20/24			1,085		1,085,000
First Data Corp.:
2016 Repriced Term Loan, 3.99%, 7/10/22			522		524,379
2017 Term Loan, 3.99%, 3/24/21			7,487		7,487,027
Term Loan A, 2.99%, 6/02/20			393		393,282
Global Payments, Inc., Reprice Term Loan B, 3.49%, 4/22/23			1,008		1,011,097
NeuStar, Inc.:
Term Loan B1, 3.25%, 8/28/19			174		177,334
Term Loan B2, 4.90%, 2/28/24			476		481,755
Optiv Security, Inc.:
1st Lien Term Loan, 4.25%, 2/01/24			1,765		1,762,052
2nd Lien Term Loan, 8.25%, 2/01/25			465		470,925
TKC Holdings, Inc., 2017 Term Loan, 4.75%, 2/01/23			1,235		1,247,350
Vantiv LLC, 2014 Term Loan B, 3.49%, 10/14/23			673		677,992
VF Holding Corp., Reprice Term Loan, 4.25%, 6/30/23			2,950		2,958,023
WEX, Inc., Term Loan B, 4.49%, 7/01/23			2,313		2,334,933

					23,894,854


Floating Rate Loan Interests (b)		Par (000)		Value
Life Sciences Tools & Services — 1.1%
DPx Holdings BV, 2017 Term Loan, 4.41%, 4/30/24	USD		3,717	$	3,723,418
Machinery — 3.4%
Columbus McKinnon Corp., Term Loan B, 4.15%, 1/31/24			138		138,635
Faenza Acquisition GmbH:
Term Loan B1, 3.80%, 8/30/20			594		598,650
Term Loan B3, 3.80%, 8/30/20			181		182,737
Gardner Denver, Inc., Term Loan, 4.57%, 7/30/20			1,186		1,185,245
Gates Global LLC, 2017 Term Loan B, 4.41%, 4/01/24			2,021		2,030,359
Global Brass & Copper, Inc., 2016 Term Loan B, 5.25%, 7/18/23			697		703,904
Infiltrator Systems, Inc., 2016 Term Loan B, 4.65%, 5/27/22			1,208		1,216,108
Manitowoc Foodservice, Inc., 2016 Term Loan B, 4.00%, 3/03/23			70		70,824
Mueller Water Products, Inc., 2017 Term Loan B, 3.49%, 11/25/21			489		493,868
Navistar International Corp., 2017 Term Loan B, 5.00%, 8/07/20			585		592,105
Rexnord LLC, 2016 Term Loan B, 3.75%, 8/21/23			1,333		1,336,670
Signode Industrial Group US, Inc., Term Loan B, 3.75%, 5/01/21			562		564,309
Silver II US Holdings LLC, Term Loan, 4.15%, 12/13/19			1,669		1,659,777
Wabash National Corp., 2017 Term Loan B, 3.75%, 3/18/22			784		788,236

					11,561,427
Media — 12.8%
Altice US Finance I Corp., 2017 Term Loan:
3.24%, 7/28/25			4,000		3,995,680
B, 2.75%, 6/21/25			625		624,531
CBS Radio, Inc., Term Loan B:
2017, 2.75%, 3/02/24			295		296,968
4.50%, 10/17/23			610		613,700
Charter Communications Operating LLC, 2016 Term Loan I Add, 3.24%, 1/15/24			3,930		3,948,969
CSC Holdings LLC, 2017 1st Lien Term Loan, 3.24%, 7/15/25			2,624		2,621,787
Entercom Radio LLC, 2016 Term Loan, 4.55%, 11/01/23			324		326,308
Gray Television, Inc., 2017 Term Loan B, 3.48%, 2/07/24			399		401,793
Hemisphere Media Holdings LLC, 2017 Term Loan B, 4.49%, 2/08/24			976		972,035
Houghton Mifflin Harcourt Publishing Co., 2015 Term Loan B, 4.00%, 5/31/21			1,482		1,364,425
iHeartCommunications, Inc.:
Extended Term Loan E, 8.49%, 7/30/19			315		267,435
Term Loan D, 7.74%, 1/30/19			3,806		3,237,706
Intelsat Jackson Holdings SA, Term Loan B2, 3.89%, 6/30/19			4,227		4,167,758
Learfield Communications, Inc., 2016 1st Lien Term Loan, 4.25%, 12/01/23			1,117		1,125,072
Liberty Cablevision of Puerto Rico LLC, 1st Lien Term Loan, 4.66%, 1/07/22			735		733,390
Live Nation Entertainment, Inc., Term Loan B2, 3.50%, 10/31/23			294		296,670
MCC Iowa LLC, Term Loan J, 3.70%, 6/30/21			316		317,564
Mediacom Illinois LLC, Term Loan K, 3.20%, 2/15/24			496		498,043
Mission Broadcasting, Inc., 2016 Term Loan B2, 3.99%, 1/17/24			255		257,007

See Notes to Financial Statements.



32	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Media (continued)
Nexstar Broadcasting, Inc., 2017 Term Loan B, 3.99%, 1/17/24	USD		2,628	$	2,650,944
Numericable U.S. LLC, Term Loan B10, 4.42%, 1/14/25			518		518,281
PSAV Holdings LLC, Term Loan B, 4.75%, 4/21/24			1,135		1,132,163
SBA Senior Finance II LLC, Term Loan B1, 3.25%, 3/24/21			2,669		2,684,148
Sinclair Television Group, Inc., Term Loan B2, 3.25%, 1/03/24			632		633,249
Trader Corporation, 2017 Term Loan B, 4.29%, 9/28/23			965		967,007
Tribune Media Co., Term Loan C, 3.99%, 1/27/24			2,384		2,397,627
Univision Communications, Inc., Term Loan C5, 3.75%, 3/15/24			1,713		1,701,282
Virgin Media Bristol LLC, Term Loan I, 3.74%, 1/31/25			2,415		2,423,501
William Morris Endeavor Entertainment LLC, 1st Lien Term Loan, 4.40%, 5/06/21			150		150,389
Ziggo Secured Finance Partnership, Term Loan E, 3.49%, 4/15/25			2,585		2,585,129

					43,910,561
Metals & Mining — 0.1%
Ameriforge Group, Inc., 2nd Lien Term Loan, 8.75%, 12/19/20			265		26,500
WireCo WorldGroup, Inc., 2016 1st Lien Term Loan, 6.50%, 9/30/23			458		461,513

					488,013
Multiline Retail — 0.5%
Hudson’s Bay Co., 2015 Term Loan B, 4.25%, 9/30/22			1,360		1,303,067
Neiman Marcus Group, Inc., 2020 Term Loan, 4.25%, 10/25/20			432		344,069

					1,647,136
Oil, Gas & Consumable Fuels — 4.4%
California Resources Corp.:
Second Out Term Loan, 11.38%, 12/31/21			2,075		2,279,906
Term Loan A, 3.99%, 10/01/19			1,499		1,448,165
Chesapeake Energy Corp., Term Loan, 8.55%, 8/23/21			2,125		2,294,374
CITGO Holding, Inc., 2015 Term Loan B, 9.65%, 5/12/18			649		656,649
Drillships Financing Holding, Inc., Term Loan B1, 8.00%, 3/31/21			627		471,157
Energy Transfer Equity LP, 2017 Term Loan B, 3.73%, 2/02/24			1,526		1,529,350
EWT Holdings III Corp., 1st Lien Term Loan, 4.90%, 1/15/21			1,016		1,020,954
Linn Energy LLC, Exit Term Loan, 8.49%, 2/27/21			144		144,702
MEG Energy Corp., 2017 Term Loan B, 4.67%, 12/31/23			1,041		1,041,579
Panda Patriot LLC, Term Loan B1, 6.90%, 12/19/20			211		198,697
Peabody Energy Corp., Exit Term Loan, 5.65%, 3/31/22			360		360,900
PowerTeam Services LLC:
1st Lien Term Loan, 4.40%, 5/06/20			305		302,461
2nd Lien Term Loan, 8.40%, 11/06/20			285		283,575
Samchully Midstream 3 LLC, Term Loan B, 5.90%, 10/20/21			853		826,958
Ultra Resources, Inc., 1st Lien Term Loan, 4.00%, 3/23/24			457		454,715


Floating Rate Loan Interests (b)		Par (000)		Value
Oil, Gas & Consumable Fuels (continued)
Veresen Midstream LP, 2017 Term Loan B, 4.50%, 3/31/22	USD		1,677	$	1,687,335

					15,001,477
Personal Products — 0.9%
Prestige Brands, Inc., Term Loan B4, 3.74%, 1/26/24			1,253		1,264,060
Revlon Consumer Products Corp., 2016 Term Loan B, 4.49%, 9/07/23			1,841		1,842,609

					3,106,669
Pharmaceuticals — 3.6%
Akorn, Inc., Term Loan B, 5.25%, 4/16/21			1,535		1,549,702
CPI Holdco LLC, 2017 1st Lien Term Loan, 5.15%, 3/21/24			261		262,305
Grifols Worldwide Operations USA, Inc., 2017 Acquisition Term Loan, 3.20%, 1/31/25			3,510		3,517,441
Jaguar Holding Co. II, 2015 Term Loan B, 4.25%, 8/18/22			3,906		3,925,200
Valeant Pharmaceuticals International, Inc., Series F1 Term Loan B, 5.74%, 4/01/22			3,208		3,226,801

					12,481,449
Professional Services — 2.2%
Acosta Holdco, Inc., 2015 Term Loan, 4.29%, 9/26/21			107		99,651
Advantage Sales & Marketing, Inc., 2014 1st Lien Term Loan, 4.25%, 7/23/21			865		843,347
Information Resources, Inc., 1st Lien Term Loan, 5.25%, 1/18/24			480		484,651
SIRVA Worldwide, Inc., 2016 Term Loan, 7.66%, 11/14/22			503		500,226
Sterling Infosystems, Inc., 1st Lien Term Loan B, 5.40%, 6/20/22			997		1,001,492
TransUnion LLC, Term Loan B2, 3.49%, 4/09/23			4,461		4,496,871

					7,426,238
Real Estate Investment Trusts (REITs) — 1.8%
Capital Automotive LP, 2017 1st Lien Term Loan, 4.00%, 3/24/24			475		478,562
Communications Sales & Leasing, Inc., 2017 Term Loan B, 4.00%, 10/24/22			1,456		1,450,730
Geo Group, Inc., 2017 Term Loan B, 3.25%, 3/17/24			1,501		1,501,000
MGM Growth Properties LLC, 2016 Term Loan B, 3.49%, 4/25/23			2,853		2,858,052

					6,288,344
Real Estate Management & Development — 1.5%
CityCenter Holdings LLC, 2017 Term Loan B, 3.75%, 4/18/24			1,481		1,482,570
DTZ U.S. Borrower LLC, 2015 1st Lien Term Loan, 4.42%, 11/04/21			1,146		1,149,769
Realogy Corp.:
2017 Term Loan B, 3.24%, 7/20/22			1,910		1,923,925
Term Loan A, 2.99%, 10/23/20			655		653,426

					5,209,690
Road & Rail — 0.2%
Road Infrastructure Investment LLC, 2016 1st Lien Term Loan, 4.50%, 6/13/23			766		770,747
Semiconductors & Semiconductor Equipment — 0.4%
Cavium, Inc., 2017 Term Loan B, 3.24%, 8/16/22			503		503,548
MaxLinear, Inc., Term Loan B, 3.75%, 4/05/24			265		265,000
Microsemi Corp., 2015 Term Loan B, 3.24%, 1/15/23			252		253,421

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	33


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Floating Rate Loan Interests (b)		Par (000)		Value
Semiconductors & Semiconductor Equipment (continued)
ON Semiconductor Corp., 2017 Term Loan B, 3.24%, 3/31/23	USD		499	$	501,372

					1,523,341
Software — 10.7%
Aptean, Inc., 2016 1st Lien Term Loan, 6.04%, 12/20/22			355		360,549
BMC Software Finance, Inc., 2017 Term Loan, 5.00%, 9/13/22			1,643		1,651,635
CCC Information Services, Inc.:
2017 1st Lien Term Loan, 4.25%, 3/29/24			566		563,177
2017 2nd Lien Term Loan, 8.00%, 3/29/25			320		326,000
Dell, Inc., 2017 Term Loan B, 3.50%, 9/07/23			1,587		1,592,621
DTI Holdco, Inc., 2016 Term Loan B, 6.42%, 9/30/23			896		881,268
Hyland Software, Inc., 2017 Term Loan, 4.24%, 7/01/22			242		243,552
Infor (US), Inc., Term Loan B6, 3.90%, 2/01/22			2,299		2,293,203
Informatica Corp., Term Loan, 4.65%, 8/05/22			2,489		2,477,739
IPS Corp., 2016 1st Lien Term Loan, 6.25%, 12/20/23			394		395,983
IQOR US, Inc., Term Loan B, 6.15%, 4/01/21			452		443,646
Kronos, Inc.:
1st Lien Term Loan, 5.03%, 11/01/23			2,828		2,836,396
2nd Lien Term Loan, 9.28%, 11/01/24			1,045		1,087,323
LANDesk Group, Inc., 2017 Term Loan B, 5.25%, 1/20/24			245		246,174
MA FinanceCo., LLC, Term Loan B3, 3.00%, 4/18/24			160		160,832
Misys Europe SA:
1st Lien Term Loan, 4.67%, 4/27/24			1,800		1,812,384
2nd Lien Term Loan, 8.25%, 4/27/25			200		204,000
Mitchell International, Inc.:
1st Lien Term Loan, 4.54%, 10/13/20			1,303		1,309,332
2nd Lien Term Loan, 8.67%, 10/11/21			1,000		1,007,500
Project Alpha Intermediate Holding, Inc., 2017 Term Loan B, 4.50%, 4/18/24			950		945,250
RP Crown Parent LLC, 2016 Term Loan B, 4.50%, 10/12/23			1,362		1,371,712
Seattle Spinco, Inc., Term Loan B3, 2.75%, 4/30/24			1,083		1,086,140
SolarWinds Holdings, Inc., 2017 Term Loan, 4.50%, 2/05/23			1,985		1,994,394
Solera LLC, Term Loan B, 4.25%, 3/03/23			1,552		1,562,117
Sophia LP, 2017 Term Loan B, 4.40%, 9/30/22			1,523		1,519,937
SS&C Technologies, Inc.:
2017 Term Loan B1, 3.24%, 7/08/22			2,921		2,940,991
2017 Term Loan B2, 3.24%, 7/08/22			242		244,075
Synchronoss Technologies, Inc., Term Loan, 4.08%, 1/19/24			609		572,631
Tempo Acquisition LLC, Term Loan, 3.00%, 3/15/24			1,670		1,668,748
Tibco Software, Inc., 2017 Term Loan B, 5.50%, 12/04/20			1,178		1,188,297
Veritas US, Inc., Term Loan B1, 6.77%, 1/27/23			1,873		1,862,046

					36,849,652
Specialty Retail — 2.1%
Academy Ltd., 2015 Term Loan B, 5.10%, 7/01/22			1,097		754,403
Bass Pro Group LLC, Asset Sale Term Loan, 5.90%, 6/09/18			410		412,050
Coinstar LLC, 1st Lien Term Loan, 5.25%, 9/27/23			498		498,589
Leslie’s Poolmart, Inc., 2016 Term Loan, 4.77%, 8/16/23			686		689,557


Floating Rate Loan Interests (b)		Par (000)		Value
Specialty Retail (continued)
Michaels Stores, Inc., 2016 Term Loan B1, 3.75%, 1/30/23	USD		1,881	$	1,877,064
Party City Holdings, Inc., 2016 Term Loan, 4.03%, 8/19/22			1,383		1,381,542
Petco Animal Supplies, Inc., 2017 Term Loan B, 4.17%, 1/26/23			1,491		1,347,142
Things Remembered, Inc., 2016 Term Loan, 6.00%, 2/29/20			593		148,241

					7,108,588
Technology Hardware, Storage & Peripherals — 0.3%
Oberthur Technologies SA, 2016 Term Loan B1, 4.90%, 1/10/24			143		143,342
Western Digital Corp., 2017 Term Loan B, 3.74%, 4/29/23			906		913,414

					1,056,756
Textiles, Apparel & Luxury Goods — 0.4%
Ascend Performance Materials Operations LLC, Term Loan B, 6.65%, 8/12/22			1,486		1,493,027
Thrifts & Mortgage Finance — 0.5%
IG Investment Holdings LLC, Term Loan B, 6.15%, 10/29/21			1,689		1,698,639
Trading Companies & Distributors — 0.9%
Beacon Roofing Supply, Inc., Term Loan B, 3.74%, 10/01/22			863		867,661
HD Supply, Inc.:
Incremental Term Loan B1, 3.90%, 8/13/21			1,470		1,479,772
Incremental Term Loan B2, 3.90%, 10/17/23			622		626,154
Nexeo Solutions LLC, 2017 Term Loan B, 4.90%, 6/09/23			154		155,378

					3,128,965
Transportation — 0.2%
Gruden Acquisition, Inc., 1st Lien Term Loan, 5.90%, 8/18/22			770		744,254
Wireless Telecommunication Services — 2.5%
Ligado Networks LLC, PIK Exit Term Loan (9.75% PIK), 9.75%, 12/07/20 (e)			4,904		4,712,534
LTS Buyer LLC, 1st Lien Term Loan, 4.40%, 4/13/20			3,314		3,322,855
Radiate Holdco LLC, 1st Lien Term Loan, 3.99%, 2/01/24			635		636,873

					8,672,262
Total Floating Rate Loan Interests — 136.5%					468,448,147



Other Interests (f)		Beneficial Interest (000)
Auto Components — 0.0%
Lear Corp. Escrow			500		5



Rights		Shares
Electric Utilities — 0.0%
Tex Energy LLC			28,707		35,884

See Notes to Financial Statements.



34	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Warrants	Shares		Value
Chemicals — 0.0%
British Vita Holdings Co. (Non-Expiring)		166		—
Software — 0.0%
Bankruptcy Management Solutions, Inc
(Expires 07/01/18)		181		—
(Expires 07/01/19)		195		—
(Expires 07/01/20)		292		—
HMH Holdings/EduMedia (Issued/exercisable 3/09/10, 19 Shares for 1 Warrant, Expires 6/22/19, Strike Price $21.14)		1,501	$	420
Total Warrants — 0.0%				420
Total Long-Term Investments (Cost — $501,819,658) — 146.5%				502,909,981


Short-Term Securities	Shares		Value
BlackRock Liquidity Funds, T-Fund, Institutional Class, 0.64% (g)(h)		3,852,270	$	3,852,270
Total Short-Term Securities (Cost — $3,852,270) — 1.1%				3,852,270
Options Purchased (Cost — $44,022) — 0.0%				3,304
Total Investments (Cost — $505,715,950) — 147.6%				506,765,555
Liabilities in Excess of Other Assets — (47.6)%				(163,539,310	)

Net Assets — 100.0%			$	343,226,245


Notes to Schedule of Investments

(a)

Non-income producing security.

(b)

Variable rate security. Rate as of period end.

(c)

(d)

Issuer filed for bankruptcy and/or is in default.

(e)

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

(f)

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

(g)

During the period ended April 30, 2017, 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 October 31, 2016		Shares Purchased		Shares Sold			Shares Held at April 30, 2017		Value at April 30, 2017		Income		Net Realized Gain¹		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, T-Fund, Institutional Class		7,275,589		—		(3,423,319	)²		3,852,270	$	3,852,270	$	3,310	$	11		—
iShares iBoxx $ High Yield Corporate Bond ETF		16,868		—		(16,868	)		—		—		6,508		2,164	$	(4,939	)
Total										$	3,852,270	$	9,818	$	2,175	$	(4,939	)

¹Includes net capital gain distributions.
²Represents net shares sold.

(h)

Current yield as of period end.

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts


Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
USD	650,155	EUR	595,000	Deutsche Bank AG		6/06/17	$	962

USD	639,017	EUR	597,000	Morgan Stanley & Co. International PLC		5/04/17		(11,327	)
USD	1,327,712	GBP	1,064,000	Morgan Stanley & Co. International PLC		5/04/17		(50,419	)
USD	1,371,572	GBP	1,059,000	JPMorgan Chase Bank N.A.		6/06/17		(1,305	)

								(63,051	)
Net Unrealized Depreciation							$	(62,089	)

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	35


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)

OTC Interest Rate Swaptions Purchased

Description

Counterparty

Put/
Call

Exercise
Rate

Pay/
Receive
Exercise Rate

Floating Rate
Index

Expiration
Date

Notional
Amount
(000)

Value

10-Year Interest Rate Swap

JPMorgan Chase Bank N.A.

Put

2.75

Pay

3-Month LIBOR

7/05/17

USD

4,000

3,304

OTC Options Purchased

Description

Put/
Call

Counterparty

Expiration
Date

Strike
Price

Contracts

Value

Marsico Parent Superholdco LLC

Call

Goldman Sachs & Co.

12/14/19

USD

942.86

USD

—


Centrally Cleared Interest Rate Swaps
Fixed Rate			Floating Rate	Effective Date		Expiration Date		Notional Amount (000)			Unrealized Depreciation
	1.92	%¹	3-Month LIBOR		N/A		12/14/21		USD	1,305	$	(1,509	)
	2.00	%¹	3-Month LIBOR		N/A		2/21/22		USD	785		(3,135	)
	2.14	%¹	3-Month LIBOR		N/A		3/09/22		USD	750		(7,796	)
	2.20	%¹	3-Month LIBOR		N/A		3/13/22		USD	1,000		(13,310	)
	Total										$	(25,750	)

	¹ The Trust pays a fixed rate and receives the floating rate.

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:


Assets — Derivative Financial Instruments		Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total
Forward foreign currency exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		—		—		—	$	962		—		—	$	962
Options purchased	Investments at value — unaffiliated¹		—		—		—		—	$	3,304		—		3,304

Total			—		—		—	$	962	$	3,304		—	$	4,266


Liabilities — Derivative Financial Instruments
Forward foreign currency exchange contracts	Unrealized depreciation on forward foreign currency exchange contracts		—		—		—	$	63,051		—		—	$	63,051
Swaps — centrally cleared	Net unrealized depreciation		—		—		—		—	$	25,750		—		25,750

Total			—		—		—	$	63,051	$	25,750		—	$	88,801

¹ Includes options purchased at value as reported in the Schedule of Investments.

For the six months ended April 30, 2017, the effect of derivative financial instruments in the Statements of Operations was as follows:


Net Realized Gain (Loss) from:	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts			Other Contracts		Total
Forward foreign currency exchange contracts		—		—		—	$	(30,504	)		—			—	$	(30,504	)
Swaps			$	141,946		—		—		$	20,889			—		162,835

Total		—	$	141,946		—	$	(30,504	)	$	20,889			—	$	132,331


Net Change in Unrealized Appreciation (Depreciation) on:
Forward foreign currency exchange contracts		—		—		—	$	(158,842	)		—			—	$	(158,842	)
Options purchased¹		—		—		—		—		$	(15,296	)		—		(15,296	)
Swaps		—		—		—		—			(45,965	)		—		(45,965	)

Total		—		—		—	$	(158,842	)	$	(61,261	)		—	$	(220,103	)

¹Options purchased are included in net change in unrealized appreciation (depreciation) on investments.

See Notes to Financial Statements.



36	SEMI-ANNUAL REPORT	APRIL 30, 2017


Schedule of Investments (continued)		BlackRock Floating Rate Income Trust (BGT)


Average Quarterly Balances of Outstanding Derivative Financial Instruments


Forward foreign currency exchange contracts:
Average amounts bought — in USD	$	3,968,332
Average amounts sold — in USD	$	3,150,290	¹
Options:
Average notional value of swaption contracts purchased	$	2,000,000
Credit default swaps:
Average notional value — sell protection	$	4,878,000	¹
Interest rate swaps:
Average notional amount — pays fixed rate	$	3,757,500
Total return swaps:
Average notional amount	$	345,000	¹
¹ Actual amounts for the period are shown due to limited outstanding derivative financial instruments as of each quarter end.

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


Derivative Financial Instruments — Offsetting as of Period End

The Trust’s derivative assets and liabilities (by type) were as follows:


	Assets			Liabilities
Derivative Financial Instruments:
Forward foreign currency exchange contracts	$	962		$	63,051
Options		3,304	¹		—
Swaps — Centrally cleared		—			252

Total derivative assets and liabilities in the Statements of Assets and Liabilities	$	4,266		$	63,303

Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		—			(252	)

Total derivative assets and liabilities subject to an MNA	$	4,266		$	63,051

¹Includes options purchased at value which is included in Investments at value — unaffiliated in the Statements of Assets and Liabilities and reported in the Schedule of Investments.

The following table presents the Trust’s derivative assets and liabilities by counterparty net of amounts available for offset under a Master Netting Agreement (“MNA”) and net of the related collateral received and pledged by the Trust:


Counterparty	Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Received		Cash Collateral Received		Net Amount of Derivative Assets²
Deutsche Bank AG	$	962		—			—		—	$	962
JPMorgan Chase Bank N.A.		3,304	$	(1,305	)		—		—		1,999

Total	$	4,266	$	(1,305	)		—		—	$	2,961


Counterparty	Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Pledged		Cash Collateral Pledged		Net Amount of Derivative Liabilities³
JPMorgan Chase Bank N.A.	$	1,305	$	(1,305	)		—		—		—
Morgan Stanley & Co. International PLC		61,746		—			—		—	$	61,746

Total	$	63,051	$	(1,305	)		—		—	$	61,746

¹The amount of derivatives available for offset is limited to the amount of derivative asset and/or liabilities that are subject to an MNA.
²Net amount represents the net amount receivable from the counterparty in the event of default.
³Net amount represents the net amount payable due to the counterparty in the event of default.

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	37


Schedule of Investments (concluded)		BlackRock Floating Rate Income Trust (BGT)

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 and derivative financial instruments categorized in the disclosure hierarchy:


	Level 1		Level 2			Level 3		Total
Assets:
Investments:
Long-Term Investments:
Asset-Backed Securities		—	$	5,851,788		$	775,025	$	6,626,813
Common Stocks	$	119,537		10,570			5		130,112
Corporate Bonds		—		27,668,600			—		27,668,600
Floating Rate Loan Interests		—		446,181,968			22,266,179		468,448,147
Other Interests		—		—			5		5
Rights		—		—			35,884		35,884
Warrants		—		—			420		420
Short-Term Securities		3,852,270		—			—		3,852,270
Options Purchased:
Interest rate contracts		—		3,304			—		3,304
Unfunded Floating Rate Loan Interests¹		—		2,222			—		2,222

Total	$	3,971,807	$	479,718,452		$	23,077,518	$	506,767,777


Derivative Financial Instruments²
Assets:
Foreign currency exchange contracts		—	$	962			—	$	962
Liabilities:
Foreign currency exchange contracts		—		(63,051	)		—		(63,051	)
Interest rate contracts		—		(25,750	)		—		(25,750	)

Total		—	$	(87,839	)		—	$	(87,839	)

¹Unfunded floating rate loan interests are valued at the unrealized appreciation (depreciation) on the commitment.
²Derivative financial instruments are swaps and forward foreign currency exchange 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, bank borrowings payable of $139,000,000 are categorized as Level 2 within the disclosure hierarchy.

During the six months ended April 30, 2017, there were no transfers between Level 1 and Level 2.


	Asset-Backed Securities			Common Stocks			Corporate Bonds			Floating Rate Loan Interests			Other Interests		Rights			Warrants			Total
Assets:
Opening Balance, as of October 31, 2016	$	1,497,774		$	1,232,177		$	13,080		$	22,427,576		$	5		—		$	4,350		$	25,174,962
Transfers into Level 3¹		—			—			—			6,524,511			—		—			—			6,524,511
Transfers out of Level 3²		(1,497,774	)		—			—			(10,680,119	)		—		—			—			(12,177,893	)
Other³		—			(22,050	)		—			—			—	$	22,050			—			—
Accrued discounts (premiums)		—			—			—			42,947			—		—			—			42,947
Net realized gain (loss)		—			859,717			—			(401,773	)		—		15,786			—			473,730
Net change in unrealized appreciation (depreciation)^4,5		25			(462,799	)		(13,080	)		450,872			—		20,098			(3,167	)		(8,051	)
Purchases		775,000			—			—			11,858,431			—		—			—			12,633,431
Sales		—			(1,607,040	)		—			(7,956,266	)		—		(22,050	)		(763	)		(9,586,119	)

Closing Balance, as of April 30, 2017	$	775,025		$	5			—		$	22,266,179		$	5	$	35,884		$	420			23,077,518

Net change in unrealized appreciation (depreciation) on investments still held at April 30, 2017¹	$	25			—		$	(13,080	)	$	(15,591	)		—	$	20,098		$	(3,167	)	$	(11,715	)

¹As of October 31, 2016, the Trust used observable inputs in determining the value of certain investments. As of April 30, 2017, the Trust used significant unobservable inputs in determining the value of the same investments. As a result, investments at the beginning of period value were transferred from Level 2 to Level 3 in the disclosure hierarchy.
²As of October 31, 2016, the Trust used significant unobservable inputs in determining the value of certain investments. As of April 30, 2017, the Trust used observable inputs in determining the value of the same investments. As a result, investments at the beginning of period value were transferred from Level 3 to Level 2 in the disclosure hierarchy.
³Certain Level 3 investments were re-classified between Common Stocks and Rights.
⁴Included in the related net change in unrealized appreciation (depreciation) in the Statements of Operations.
⁵Any difference between net change in unrealized appreciation (depreciation) on investments still held at April 30, 2017 is generally due to investments no longer held or categorized as Level 3 at period end.

See Notes to Financial Statements.



38	SEMI-ANNUAL REPORT	APRIL 30, 2017

Consolidated Schedule of Investments April 30, 2017 (Unaudited)

BlackRock Multi-Sector Income Trust (BIT)

(Percentages shown are based on Net Assets)


Common Stocks		Shares		Value
Aerospace & Defense — 0.4%
United Technologies Corp.			25,650	$	3,052,094
Real Estate Investment Trusts (REITs) — 0.0%
Ovation Acquisition I LLC, (Acquired 12/28/15, cost $8,635) (a)			561		—
Total Common Stocks — 0.4%					3,052,094



Asset-Backed Securities		Par (000)
ACE Securities Corp. Home Equity Loan Trust, Series 2006-HE1, Class A2D, 1.29%, 2/25/36 (b)	USD		6,027		5,668,557
ALM VI Ltd., Series 2012-6A (b)(c)(d):
Class B2R, 3.96%, 7/15/26			1,300		1,301,157
Class CR, 4.91%, 7/15/26			1,000		1,005,740
ALM XIV Ltd., Series 2014-14A, Class C, 4.49%, 7/28/26 (b)(c)(d)			3,610		3,614,693
American Homes 4 Rent, Series 2014-SFR2, Class E, 6.23%, 10/17/36 (c)			2,000		2,203,748
AMMC CDO, Series 2016-1A, Class E, 8.16%, 10/15/28 (b)(c)			1,000		1,009,100
AMMC CLO 18 Ltd., Series 2016-18A, Class E2, 8.30%, 5/26/28 (b)(c)			1,000		1,007,078
AMMC CLO IX Ltd., Series 2011-9A, Class ER, 8.81%, 1/15/22 (b)(c)			1,000		1,002,228
AMMC CLO XII Ltd., Series 2013-12A, Class D1, 4.78%, 5/10/25 (b)(c)(d)			1,000		1,004,766
Anchorage Capital CLO 3 Ltd., Series 2014-3A, Class BR, 3.69%, 4/28/26 (b)(c)			1,000		1,001,387
Anchorage Capital CLO 6 Ltd., Series 2015-6A (b)(c):
Class C, 4.01%, 4/15/27			700		703,209
Class D, 4.56%, 4/15/27			1,000		991,869
Anchorage Capital CLO Ltd., Series 2012-1A, Class DR, 8.41%, 1/13/27 (b)(c)			1,000		1,009,341
Apidos CLO XII, Series 2013-12A, Class D, 4.21%, 4/15/25 (b)(c)(d)			1,000		997,045
Ares CLO Ltd., Class D (b)(c):
Series 2015-1A, 7.33%, 12/05/25			1,000		1,005,814
Series 2016-41A, 5.19%, 1/15/29			900		912,778
Arrowpoint CLO Ltd., Series 2013-1A, Class CR, 5.72%, 11/15/28 (b)(c)			800		800,400
Atrium X, Series 10A (b)(c):
Class D, 4.66%, 7/16/25 (d)			1,000		1,002,322
Class E, 5.66%, 7/16/25			2,000		1,956,606
Bear Stearns Asset-Backed Securities I Trust, Series 2006-HE9, Class 2A, 1.13%, 11/25/36 (b)			4,774		4,147,730
Benefit Street Partners CLO II Ltd., Series 2013-IIA, Class C, 4.66%, 7/15/24 (b)(c)(d)			1,750		1,750,576
Benefit Street Partners CLO VI Ltd., Series 2015-VIA (b)(c)(d):
Class B, 4.21%, 4/18/27			1,000		1,005,664
Class C, 4.86%, 4/18/27			1,000		999,274
Betony CLO Ltd., Series 2015-1A, Class D, 4.76%, 4/15/27 (b)(c)			1,000		997,716
C-BASS Trust, Series 2006-CB7, Class A4, 1.15%, 10/25/36 (b)			8,169		5,790,728


Asset-Backed Securities		Par (000)		Value
Asset-Backed Securities (continued)
Carlyle Global Market Strategies CLO Ltd. (b)(c):
Series 2013-2A, Class D, 4.91%, 4/18/25 (d)	USD		1,250	$	1,252,500
Series 2014-1A, Class CR, 3.91%, 4/17/25			1,500		1,503,942
Carrington Mortgage Loan Trust, Series 2006-FRE2 (b):
Class A2, 1.11%, 10/25/36			5,685		3,700,571
Class A5, 1.07%, 10/25/36			11,712		7,584,716
CIFC Funding Ltd., Series 2014-3A, Class D, 4.55%, 7/22/26 (b)(c)			480		482,582
DCP Rights LLC, Series 2014-1A, Class A, 5.46%, 10/25/44 (c)			3,614		3,618,854
Fremont Home Loan Trust, Class 2A3 (b):
Series 2006-A, 1.15%, 5/25/36			25,366		15,101,618
Series 2006-D, 1.14%, 11/25/36			22,765		10,077,014
GoldenTree Loan Opportunities VII Ltd., Series 2013-7A, Class D, 4.46%, 4/25/25 (b)(c)			1,250		1,251,061
GSAMP Trust (b):
Series 2006-FM2, Class A2C, 1.14%, 9/25/36			11,515		5,317,056
Series 2007-FM2, Class A2B, 1.08%, 1/25/37			7,872		4,891,591
Highbridge Loan Management Ltd. (b)(c):
Series 3A-2014, Class D, 6.16%, 1/18/25			1,000		984,532
Series 4A-2014, Class B, 4.04%, 7/28/25 (d)			2,000		2,002,257
Series 8A-2016, Class E, 9.06%, 4/20/27			1,000		1,007,929
Home Equity Mortgage Loan Asset-Backed Trust, Series 2006-E, Class 2A3, 1.16%, 4/25/37 (b)			12,961		9,226,258
HPS Loan Management Ltd., Series 10A-16 (b)(c):
Class C, 4.58%, 1/20/28			2,500		2,486,043
Class D, 7.43%, 1/20/28			1,000		967,573
LCM XVI LP, Series 16A, Class E, 5.76%, 7/15/26 (b)(c)			1,000		960,449
Lehman ABS Manufactured Housing Contract Trust, Series 2001-B, Class M2, 7.17%, 4/15/40 (b)			5,708		3,933,002
Long Beach Mortgage Loan Trust, Series 2006-1, Class 1A, 1.21%, 2/25/36 (b)			5,800		5,219,801
Madison Park Funding IX Ltd., Series 2012-9AR, Class C1R, 3.89%, 8/15/22 (b)(c)(d)			1,000		1,000,329
Madison Park Funding X Ltd., Series 2012-10A, Class ER, 8.78%, 1/20/29 (b)(c)			1,000		1,035,210
Madison Park Funding XVI Ltd., Series 2015-16A, Class C, 4.73%, 4/20/26 (b)(c)(d)			1,000		1,002,147
Mastr Asset-Backed Securities Trust (b):
Series 2006-HE2, Class A3, 1.14%, 6/25/36			11,171		6,215,417
Series 2006-WMC2, Class A5, 1.24%, 4/25/36			8,336		3,729,062
Morgan Stanley IXIS Real Estate Capital Trust, Series 2006-2, Class A3, 1.14%, 11/25/36 (b)			14,205		6,841,229

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	39


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Asset-Backed Securities		Par (000)			Value
Asset-Backed Securities (continued)
Neuberger Berman CLO XVIII Ltd., Series 2014-18A, Class DR, 8.79%, 11/14/27 (b)(c)	USD		1,000		$	1,004,492
Octagon Investment Partners XIV Ltd., Series 2012-1A, Class C, 5.16%, 1/15/24 (b)(c)(d)			1,000			1,000,516
Octagon Investment Partners XXI Ltd., Series 2014-1A, Class C, 4.69%, 11/14/26 (b)(c)			1,000			1,005,301
OneMain Financial Issuance Trust, Series 2015-2A, Class C, 4.32%, 7/18/25 (c)			5,000			4,999,251
OZLM Funding II Ltd., Series 2012-2A (b)(c):
Class CR, 4.89%, 10/30/27			1,250			1,254,500
Class DR, 8.19%, 10/30/27			1,250			1,267,375
OZLM Funding IV Ltd., Series 2013-4A, Class C, 4.35%, 7/22/25 (b)(c)(d)			1,250			1,249,212
OZLM XV Ltd., Series 2016-15A, Class D, 8.07%, 1/20/29 (b)(c)			1,000			1,005,000
Pretium Mortgage Credit Partners LLC, Series 2016-NPL3, Class A1, 4.38%, 5/27/31 (c)(e)			5,838			5,840,393
Renaissance Home Equity Loan Trust, Series 2007-3, Class AF2, 7.00%, 9/25/37 (e)			4,484			2,638,020
Saxon Asset Securities Trust, Series 2007-3, Class 2A3, 1.39%, 9/25/47 (b)			5,000			3,967,663
Scholar Funding Trust, Series 2013-A, Class R, 0.00%			—	(f)		2,292,830
SMB Private Education Loan Trust, Series 2015-C, Class C, 4.50%, 9/17/46 (c)			4,100			4,146,222
Sound Point CLO X Ltd., Series 2015-3A, Class E, 7.91%, 1/20/28 (b)(c)			1,000			1,005,327
Sound Point CLO XIV Ltd, Series 2016-3A, Class E, 7.80%, 1/23/29 (b)(c)			1,000			1,002,079
Symphony CLO XV Ltd., Series 2014-15A, Class DR, 4.37%, 10/17/26 (b)(c)			3,500			3,499,531
TICP CLO I Ltd., Series 2015-1A, Class C, 4.16%, 7/20/27 (b)(c)			1,000			1,003,232
Treman Park CLO LLC, Series 2015-1A, Class D, 5.02%, 4/20/27 (b)(c)			1,500			1,503,033
Tyron Park CLO Ltd., Series 2013-1A (b)(c):
Class C, 4.66%, 7/15/25 (d)			1,250			1,255,339
Class D, 5.56%, 7/15/25			1,000			963,176
US Residential Opportunity Fund III Trust, Series 2016-2III, Class A, 3.47%, 8/27/36 (c)(e)			4,337			4,312,774
Venture XX CLO Ltd., Series 2015-20A (b)(c):
Class C, 4.31%, 4/15/27 (d)			1,000			1,005,822
Class D, 5.01%, 4/15/27			520			520,236
Venture XXI CLO Ltd., Series 2015-21A, Class D, 4.76%, 7/15/27 (b)(c)			480			480,946
Vibrant Clo III Ltd., Series 2015-3A (b)(c):
Class A2R, 3.21%, 4/20/26			1,000			999,650
Class BR, 4.11%, 4/20/26			1,500			1,501,120
VOLT XLVI LLC, Series 2016-NPL6, Class A1, 3.84%, 6/25/46 (c)(e)			3,820			3,847,068
Voya CLO Ltd. (b)(c):
Series 2012-2AR, Class CR, 4.11%, 10/15/22 (d)			1,350			1,350,688
Series 2016-3A, Class D, 8.01%, 10/18/27			385			391,290
WaMu Asset-Backed Certificates Trust, Series 2007-HE3, Class 2A3, 1.23%, 5/25/47 (b)			10,534			7,182,983


Asset-Backed Securities		Par (000)		Value
Asset-Backed Securities (continued)
Westvue Mortgage Loan Trust, Series 2015-1A, Class A, 4.50%, 9/25/20 (c)(e)	USD		2,041	$	2,076,036
York CLO-3 Ltd., Series 2016-1A, Class E, 6.84%, 7/20/25 (b)(c)			1,000		980,261
Total Asset-Backed Securities — 28.8%					210,833,635



Corporate Bonds
Aerospace & Defense — 1.2%
Accudyne Industries Borrower/Accudyne Industries LLC, 7.75%, 12/15/20 (c)(d)			990		992,475
Bombardier, Inc. (c)(d):
8.75%, 12/01/21			995		1,106,937
6.00%, 10/15/22			467		465,832
6.13%, 1/15/23			184		183,540
7.50%, 3/15/25			487		506,480
Colfax Corp., 3.25%, 5/15/25	EUR		100		110,183
EnPro Industries, Inc., 5.88%, 9/15/22 (c)	USD		132		138,600
Harris Corp., 3.83%, 4/27/25 (d)			750		773,613
KLX, Inc., 5.88%, 12/01/22 (c)(d)			640		672,800
Koppers, Inc., 6.00%, 2/15/25 (c)(d)			267		279,682
Kratos Defense & Security Solutions, Inc., 7.00%, 5/15/19			105		105,263
Lockheed Martin Corp., 4.70%, 5/15/46 (d)			400		439,533
TransDigm, Inc.:
5.50%, 10/15/20			262		267,895
6.00%, 7/15/22 (d)			1,360		1,400,800
6.50%, 7/15/24 (d)			388		398,670
6.50%, 5/15/25 (c)			69		70,553
6.38%, 6/15/26			55		55,413
United Technologies Corp., 3.75%, 11/01/46 (d)			700		672,673

					8,640,942
Air Freight & Logistics — 0.3%
FedEx Corp. (d):
3.90%, 2/01/35			500		485,850
4.75%, 11/15/45			500		520,258
XPO Logistics, Inc.:
5.75%, 6/15/21	EUR		100		114,592
6.50%, 6/15/22 (c)(d)	USD		760		804,650
6.13%, 9/01/23 (c)(d)			281		295,050

					2,220,400
Airlines — 3.1%
Air Canada Pass-Through Trust, Series 2013-1, Class B, 5.38%, 11/15/22 (c)(d)			2,616		2,714,495
American Airlines Pass-Through Trust:
Series 2013-1, Class C, 6.13%, 7/15/18 (c)(d)			525		544,031
Series 2013-2, Class A, 4.95%, 7/15/24 (d)			1,903		2,030,795
Series 2017-1, Class B, 4.95%, 8/15/26			1,735		1,769,700
Avianca Holdings SA/Avianca Leasing LLC/Grupo Taca Holdings Ltd., 8.38%, 5/10/20			426		421,314
Continental Airlines Pass-Through Trust (d):
Series 2003-ERJ1, 7.88%, 1/02/20			274		280,588
Series 2007-1, Class B, 6.90%, 10/19/23			314		326,671
Series 2012-1, Class B, 6.25%, 10/11/21			342		359,838

See Notes to Financial Statements.



40	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Airlines (continued)
Delta Air Lines Pass-Through Trust, Class B (d):
Series 2007-1, 8.02%, 2/10/24	USD		1,711	$	1,945,803
Series 2012-1, 6.88%, 5/07/19 (c)			3,156		3,344,911
United Airlines Pass-Through Trust (d):
Series 2014-2, Class B, 4.63%, 3/03/24			2,358		2,417,435
Series 2015-1, Class A, 3.70%, 6/01/24			3,570		3,659,250
US Airways Pass-Through Trust, Class B (d):
Series 2011-1, 9.75%, 4/22/20			1,961		2,166,521
Series 2013-1, 5.38%, 5/15/23			787		822,847

					22,804,199
Auto Components — 0.4%
Allison Transmission, Inc., 5.00%, 10/01/24 (c)			38		38,713
Delphi Automotive PLC (d):
4.25%, 1/15/26			400		422,687
4.40%, 10/01/46			280		266,578
Faurecia, 3.63%, 6/15/23	EUR		111		127,200
Federal-Mogul Holdings LLC, 4.55%, 4/15/24 (b)			100		108,521
FTE Verwaltungs GmbH, 9.00%, 7/15/20			100		113,668
Goodyear Tire & Rubber Co., 5.00%, 5/31/26	USD		77		79,021
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
4.88%, 3/15/19 (d)			481		487,012
6.25%, 2/01/22 (c)			141		146,640
6.75%, 2/01/24 (c)(d)			481		502,044
IHO Verwaltungs GmbH (g):
(2.75% Cash or 3.50% PIK), 2.75%, 9/15/21	EUR		100		112,610
(4.13% Cash or 4.88% PIK), 4.13%, 9/15/21 (c)	USD		214		216,942
(3.25% Cash or 4.00% PIK), 3.25%, 9/15/23			100		113,309
(3.75% Cash or 4.50% PIK), 3.75%, 9/15/26			100		113,063
(4.50% Cash or 5.25% PIK), 4.50%, 9/15/23 (c)			229		228,714
ZF North America Capital, Inc., 4.75%, 4/29/25 (c)			166		172,652

					3,249,374
Automobiles — 0.3%
Aston Martin Capital Holdings Ltd., 5.75%, 4/15/22	GBP		100		132,920
General Motors Co., 6.25%, 10/02/43 (d)	USD		2,194		2,396,897

					2,529,817
Banks — 1.2%
Allied Irish Banks PLC, 4.13%, 11/26/25 (b)	EUR		100		114,931
Banco Inbursa SA Institucion de Banca Multiple, 4.38%, 4/11/27 (c)	USD		773		757,540
Banco Popolare, 2.75%, 7/27/20	EUR		100		111,488
Bank of Ireland, 4.25%, 6/11/24 (b)			100		114,711
Bankia SA (b):
4.00%, 5/22/24			200		226,705
3.38%, 3/15/27			100		111,145
BPE Financiaciones SA, 2.00%, 2/03/20			100		104,573
CaixaBank SA, 3.50%, 2/15/27 (b)			100		112,986
CIT Group, Inc.:
5.25%, 3/15/18 (d)	USD		328		338,430
5.50%, 2/15/19 (c)			94		99,287
5.00%, 8/01/23 (d)			1,015		1,091,125


Corporate Bonds		Par (000)		Value
Banks (continued)
Erste Group Bank AG, 6.50% (b)(h)	EUR		200	$	230,670
HSBC Holdings PLC, 4.38%, 11/23/26 (d)	USD		370		379,100
Liberbank SA, 6.88%, 3/14/27 (b)	EUR		100		112,892
Rizal Commercial Banking Corp., 4.25%, 1/22/20	USD		100		103,543
Sberbank of Russia Via SB Capital SA, 5.25%, 5/23/23 (c)			5,000		5,162,500

					9,171,626
Beverages — 0.5%
Anheuser-Busch InBev Finance, Inc., 4.90%, 2/01/46 (d)			2,160		2,359,698
BWAY Holding Co., 5.50%, 4/15/24 (c)			198		200,228
Central American Bottling Corp., 5.75%, 1/31/27 (c)			588		623,339
Horizon Holdings I SASU, 7.25%, 8/01/23	EUR		100		116,356
Horizon Parent Holdings Sarl, (8.25% Cash), 8.25%, 2/15/22 (g)			100		114,600
Silgan Holdings, Inc., 3.25%, 3/15/25			100		110,019

					3,524,240
Biotechnology — 0.3%
Amgen, Inc., 4.40%, 5/01/45 (d)	USD		1,100		1,085,499
Gilead Sciences, Inc., 4.75%, 3/01/46 (d)			700		721,883
Senvion Holding GmbH:
6.63%, 11/15/20	EUR		145		163,296
3.88%, 10/25/22 (i)			100		109,293

					2,079,971
Building Materials — 0.2%
Tecnoglass, Inc., 8.20%, 1/31/22 (c)	USD		1,134		1,190,700
Titan Global Finance PLC, 3.50%, 6/17/21	EUR		100		113,793

					1,304,493
Building Products — 0.3%
American Builders & Contractors Supply Co., Inc. (c)(d):
5.63%, 4/15/21	USD		177		181,646
5.75%, 12/15/23			155		165,075
Building Materials Corp. of America (c):
5.38%, 11/15/24			49		51,083
6.00%, 10/15/25 (d)			247		263,672
Masonite International Corp., 5.63%, 3/15/23 (c)(d)			360		373,500
Ply Gem Industries, Inc., 6.50%, 2/01/22 (d)			493		515,185
Standard Industries, Inc. (c)(d):
5.13%, 2/15/21			47		49,174
5.50%, 2/15/23			159		165,360
USG Corp., 5.50%, 3/01/25 (c)(d)			435		456,750

					2,221,445
Capital Markets — 0.4%
AE-Rotor Holding BV, 4.97%, 3/28/18			140		140,015
Blackstone CQP Holdco LP, 6.50%, 3/20/21 (c)(d)			2,437		2,453,813
LPL Holdings, Inc., 5.75%, 9/15/25 (c)			66		66,990

					2,660,818
Casinos & Gambling — 0.0%
GLP Capital LP/GLP Financing II, Inc., 5.38%, 4/15/26			112		118,160
Chemicals — 1.1%
Alpha 3 BV/Alpha US Bidco, Inc., 6.25%, 2/01/25 (c)(d)			900		913,500
Axalta Coating Systems Dutch Holding B BV, 3.75%, 1/15/25	EUR		100		114,986

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	41


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Chemicals (continued)
Axalta Coating Systems LLC, 4.88%, 8/15/24 (c)(d)	USD		265	$	274,439
Blue Cube Spinco, Inc.:
9.75%, 10/15/23			95		114,950
10.00%, 10/15/25			45		55,463
CF Industries, Inc.:
7.13%, 5/01/20			150		163,500
5.15%, 3/15/34			110		99,550
4.95%, 6/01/43 (d)			164		138,116
Chemours Co.:
6.63%, 5/15/23 (d)			332		355,240
7.00%, 5/15/25			66		72,518
Hexion, Inc., 10.38%, 2/01/22 (c)			240		246,000
Huntsman International LLC, 4.88%, 11/15/20 (d)			440		462,550
Ineos Finance PLC, 4.00%, 5/01/23	EUR		115		130,099
Inovyn Finance PLC, 6.25%, 5/15/21			100		114,376
Momentive Performance Materials, Inc., 3.88%, 10/24/21 (d)	USD		1,305		1,296,844
NOVA Chemicals Corp., 5.25%, 8/01/23 (c)			145		148,987
Platform Specialty Products Corp. (c)(d):
10.38%, 5/01/21			65		72,394
6.50%, 2/01/22			1,861		1,907,525
PQ Corp., 6.75%, 11/15/22 (c)(d)			465		504,520
PSPC Escrow Corp., 6.00%, 2/01/23	EUR		153		175,069
Tronox Finance LLC (d):
6.38%, 8/15/20	USD		248		252,030
7.50%, 3/15/22 (c)			77		80,465
Versum Materials, Inc., 5.50%, 9/30/24 (c)			140		145,425
WR Grace & Co-Conn (c):
5.13%, 10/01/21			165		177,169
5.63%, 10/01/24 (d)			300		325,500

					8,341,215
Commercial Services & Supplies — 1.5%
ADT Corp.:
3.50%, 7/15/22 (d)			339		327,983
4.13%, 6/15/23			288		280,800
4.88%, 7/15/32 (c)(d)			463		403,967
Advanced Disposal Services, Inc., 5.63%, 11/15/24 (c)			267		274,676
Aviation Capital Group Corp., 6.75%, 4/06/21 (c)(d)			5,000		5,713,315
Bilbao Luxembourg SA, (10.50% Cash or 11.25% PIK), 10.50%, 12/01/18 (g)	EUR		100		111,629
Booz Allen Hamilton, Inc., 5.13%, 5/01/25 (c)	USD		500		508,755
Brand Energy & Infrastructure Services, Inc., 8.50%, 12/01/21 (c)(d)			782		830,875
Covanta Holding Corp., 5.88%, 7/01/25			254		254,000
GW Honos Security Corp., 8.75%, 5/15/25 (c)(i)			102		104,040
Harland Clarke Holdings Corp., 8.38%, 8/15/22 (c)(d)			330		339,900
La Financiere Atalian SAS, 4.00%, 5/15/24 (i)	EUR		100		110,662
Mobile Mini, Inc., 5.88%, 7/01/24 (d)	USD		515		533,540
Park Aerospace Holdings Ltd., 5.25%, 8/15/22 (c)			285		301,031
Ritchie Bros Auctioneers, Inc., 5.38%, 1/15/25 (c)			221		228,183
United Rentals North America, Inc.:
7.63%, 4/15/22			22		22,963
6.13%, 6/15/23			63		65,835
5.75%, 11/15/24 (d)			450		475,875
5.88%, 9/15/26			90		94,950

					10,982,979


Corporate Bonds		Par (000)		Value
Communications Equipment — 0.3%
CommScope Technologies Finance LLC, 6.00%, 6/15/25 (c)	USD		5	$	5,331
CommScope Technologies LLC, 5.00%, 3/15/27 (c)(d)			280		282,450
CommScope, Inc., 5.00%, 6/15/21 (c)(d)			170		174,675
Nokia OYJ, 6.63%, 5/15/39 (d)			245		267,859
Zayo Group LLC/Zayo Capital, Inc. (d):
6.38%, 5/15/25			1,037		1,121,256
5.75%, 1/15/27 (c)			481		510,461

					2,362,032
Construction & Engineering — 0.5%
Aeropuerto Internacional de Tocumen SA, 5.63%, 5/18/36 (c)			1,189		1,239,532
Aeropuertos Argentina 2000 SA, 6.88%, 2/01/27 (c)			387		408,478
Aeropuertos Dominicanos Siglo XXI SA, 6.75%, 3/30/29 (c)			387		414,431
BlueLine Rental Finance Corp., 9.25%, 3/15/24 (c)(d)			1,238		1,293,710
Engility Corp., 8.88%, 9/01/24 (c)(d)			298		318,115
SPIE SA, 3.13%, 3/22/24	EUR		100		111,807

					3,786,073
Construction Materials — 0.5%
American Tire Distributors, Inc., 10.25%, 3/01/22 (c)(d)	USD		394		404,342
Beacon Roofing Supply, Inc., 6.38%, 10/01/23 (d)			163		175,633
HD Supply, Inc. (c)(d):
5.25%, 12/15/21			1,265		1,339,319
5.75%, 4/15/24			884		939,250
LKQ Italia Bondco SpA, 3.88%, 4/01/24	EUR		202		234,660
PulteGroup, Inc.:
5.50%, 3/01/26	USD		213		224,715
6.00%, 2/15/35			48		47,760
Rexel SA, 3.50%, 6/15/23	EUR		223		253,723

					3,619,402
Consumer Discretionary — 0.1%
Nielsen Co. Luxembourg SARL, 5.00%, 2/01/25 (c)(d)	USD		563		563,704
Consumer Finance — 0.8%
Ally Financial, Inc., 8.00%, 11/01/31 (d)			2,669		3,176,110
Cardtronics, Inc./Cardtronics USA, Inc., 5.50%, 5/01/25 (c)			98		100,083
Navient Corp.:
5.00%, 10/26/20 (d)			370		376,937
6.63%, 7/26/21			236		249,865
6.50%, 6/15/22			36		37,215
5.50%, 1/25/23 (d)			162		160,275
7.25%, 9/25/23 (d)			306		319,770
6.13%, 3/25/24 (d)			132		130,680
5.88%, 10/25/24			138		134,205
5.63%, 8/01/33 (d)			105		84,000
OneMain Financial Holdings LLC (c):
6.75%, 12/15/19			186		195,532
7.25%, 12/15/21			130		135,214
Tarjeta Naranja SA, 22.44%, 4/11/22 (b)(c)			550		563,750

					5,663,636
Containers & Packaging — 1.3%
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc.:
4.25%, 1/15/22	EUR		65		72,386
4.25%, 9/15/22 (c)(d)	USD		283		288,434

See Notes to Financial Statements.



42	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Containers & Packaging (continued)
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc. (continued):
2.75%, 3/15/24	EUR		125	$	135,141
6.75%, 5/15/24			156		186,687
7.25%, 5/15/24 (c)(d)	USD		1,809		1,969,549
6.00%, 2/15/25 (c)(d)			1,251		1,293,221
Ardagh Packaging Finance PLC/Ardagh MP Holdings USA, Inc., 4.63%, 5/15/23 (c)(d)			252		257,355
Bahia Sul Holdings GmbH, 5.75%, 7/14/26 (c)			354		363,558
Ball Corp., 5.00%, 3/15/22 (d)			440		469,700
Clearwater Paper Corp., 5.38%, 2/01/25 (c)(d)			177		174,345
Crown European Holdings SA, 4.00%, 7/15/22	EUR		103		125,257
Flex Acquisition Co., Inc., 6.88%, 1/15/25 (c)	USD		38		39,140
JH-Holding Finance SA, 8.25%, 12/01/22 (g)	EUR		102		120,508
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC:
5.75%, 10/15/20 (d)	USD		590		607,700
4.66%, 7/15/21 (b)(c)(d)			866		885,485
5.13%, 7/15/23 (c)			194		202,245
7.00%, 7/15/24 (c)(d)			655		704,944
Sappi Papier Holding GmbH, 4.00%, 4/01/23	EUR		200		228,730
Sealed Air Corp.:
4.88%, 12/01/22 (c)(d)	USD		100		104,250
4.50%, 9/15/23	EUR		100		121,555
6.88%, 7/15/33 (c)	USD		44		47,850
Signode Industrial Group Lux SA/Signode Industrial Group US, Inc., 6.38%, 5/01/22 (c)(d)			598		616,006
Suzano Trading Ltd., 5.88%, 1/23/21 (c)			583		621,769
Verallia Packaging SASU, 5.13%, 8/01/22	EUR		100		115,965

					9,751,780
Diversified Consumer Services — 0.5%
APX Group, Inc. (d):
6.38%, 12/01/19	USD		265		274,275
8.75%, 12/01/20			360		373,050
7.88%, 12/01/22			144		156,960
7.88%, 12/01/22 (c)			230		250,700
Laureate Education, Inc., 8.25%, 5/01/25 (c)			138		141,795
Prime Security Services Borrower LLC/Prime Finance, Inc., 9.25%, 5/15/23 (c)(d)			2,068		2,259,290
Sotheby’s, 5.25%, 10/01/22 (c)			71		72,598
Tereos Finance Groupe I SA, 4.13%, 6/16/23	EUR		100		109,066

					3,637,734
Diversified Financial Services — 1.0%
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, 3.95%, 2/01/22 (d)	USD		1,750		1,812,032
Aircastle Ltd., 6.25%, 12/01/19 (d)			784		850,248
ASP AMC Merger Sub, Inc., 8.00%, 5/15/25 (c)			132		131,010
Banco Santander SA, 6.75% (b)(h)	EUR		200		229,568
FBM Finance, Inc., 8.25%, 8/15/21 (c)	USD		155		167,400
Ford Motor Credit Co. LLC, 4.39%, 1/08/26 (d)			1,250		1,287,635
Garfunkelux Holdco 3 SA, 8.50%, 11/01/22	GBP		100		139,698
General Motors Financial Co., Inc., 4.25%, 5/15/23 (d)	USD		326		335,700
Jefferies Finance LLC/JFIN Co-Issuer Corp., 7.38%, 4/01/20 (c)(d)			845		864,012
Mercury Bondco PLC (g):
(7.13% Cash), 7.13%, 5/30/21	EUR		275		307,632
(8.25% Cash or 9.00% PIK), 8.25%, 5/30/21			358		408,692


Corporate Bonds		Par (000)		Value
Diversified Financial Services (continued)
Tempo Acquisition LLC/Tempo Acquisition Finance Corp., 6.75%, 6/01/25 (c)(i)	USD		227	$	233,243
UniCredit SpA:
6.95%, 10/31/22	EUR		270		350,845
5.75%, 10/28/25 (b)			207		245,486

					7,363,201
Diversified Telecommunication Services — 2.7%
AT&T, Inc., 4.75%, 5/15/46 (d)	USD		2,545		2,383,935
CenturyLink, Inc.:
6.45%, 6/15/21 (d)			771		832,680
Series U, 7.65%, 3/15/42			174		161,820
Series W, 6.75%, 12/01/23			197		211,036
Series Y, 7.50%, 4/01/24			174		189,053
Cincinnati Bell, Inc., 7.00%, 7/15/24 (c)(d)			928		982,288
Consolidated Communications, Inc., 6.50%, 10/01/22			113		111,588
Frontier Communications Corp.:
8.13%, 10/01/18			125		132,969
7.13%, 3/15/19 (d)			380		399,950
8.50%, 4/15/20			473		503,154
8.88%, 9/15/20			99		104,506
7.13%, 1/15/23 (d)			65		56,875
7.63%, 4/15/24 (d)			570		488,775
6.88%, 1/15/25 (d)			1,205		1,003,464
Level 3 Financing, Inc.:
5.38%, 8/15/22			140		144,578
5.63%, 2/01/23 (d)			105		108,938
5.13%, 5/01/23 (d)			360		369,450
5.38%, 1/15/24 (d)			473		491,608
5.38%, 5/01/25 (d)			535		557,737
5.25%, 3/15/26			311		320,744
OTE PLC, 3.50%, 7/09/20	EUR		200		222,413
SBA Communications Corp., 4.88%, 9/01/24 (c)(d)	USD		309		311,704
SoftBank Group Corp., 4.75%, 7/30/25	EUR		100		122,568
Telecom Italia Capital SA:
6.38%, 11/15/33	USD		91		95,366
6.00%, 9/30/34 (d)			929		949,902
Telecom Italia Finance SA, 7.75%, 1/24/33	EUR		81		117,381
Telecom Italia SpA:
3.25%, 1/16/23			273		321,879
3.63%, 1/19/24			146		171,443
Verizon Communications, Inc., 6.55%, 9/15/43 (d)	USD		6,500		7,977,027
Windstream Corp., 7.75%, 10/01/21			31		31,155

					19,875,986
Electric Utilities — 0.9%
AES Corp., 4.88%, 5/15/23 (d)			350		353,500
Baltimore Gas & Electric Co., 3.50%, 8/15/46 (d)			500		461,035
Duke Energy Corp., 4.80%, 12/15/45 (d)			1,500		1,595,326
Energuate Trust, 5.88%, 5/03/27 (c)			522		529,830
Orazul Energy Egenor S en C por A, 5.63%, 4/28/27 (c)			776		775,263
Pampa Energia SA, 7.50%, 1/24/27 (c)			758		807,270
Southern Co., 4.40%, 7/01/46 (d)			1,000		994,844
Talen Energy Supply LLC, 6.50%, 6/01/25			104		82,680
Virginia Electric & Power Co., Series A, 6.00%, 5/15/37 (d)			750		944,680

					6,544,428
Electrical Equipment — 0.1%
Areva SA, 4.88%, 9/23/24	EUR		100		113,495
Belden, Inc., 5.50%, 4/15/23			111		127,392

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	43


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Electrical Equipment (continued)
Trionista TopCo GmbH, 6.88%, 4/30/21	EUR		213	$	241,722

					482,609
Electronic Equipment, Instruments & Components — 0.1%
CDW LLC/CDW Finance Corp.:
5.00%, 9/01/23 (d)	USD		325		333,937
5.50%, 12/01/24			118		125,670
5.00%, 9/01/25			127		130,175
SESI LLC, 7.13%, 12/15/21			100		101,000

					690,782
Energy Equipment & Services — 0.9%
Covey Park Energy LLC, 7.50%, 5/15/25 (c)			250		250,000
Ensco PLC:
4.50%, 10/01/24 (d)			199		164,175
5.20%, 3/15/25			45		38,138
Gates Global LLC/Gates Global Co.:
5.75%, 7/15/22	EUR		100		111,708
6.00%, 7/15/22 (c)(d)	USD		916		920,580
Genesis Energy LP/Genesis Energy Finance Corp., 6.75%, 8/01/22			150		154,313
Halliburton Co., 3.80%, 11/15/25 (d)			750		771,362
Noble Holding International Ltd., 4.63%, 3/01/21			12		11,040
Pattern Energy Group, Inc., 5.88%, 2/01/24 (c)			163		167,279
Pioneer Energy Services Corp., 6.13%, 3/15/22 (d)			325		294,937
Precision Drilling Corp.:
6.50%, 12/15/21			120		121,500
5.25%, 11/15/24			193		185,762
Transocean, Inc.:
6.00%, 3/15/18 (d)			330		337,012
7.38%, 4/15/18			35		35,875
5.80%, 10/15/22 (d)			538		500,340
9.00%, 7/15/23 (c)(d)			1,321		1,408,516
6.80%, 3/15/38			42		33,600
Trinidad Drilling Ltd., 6.63%, 2/15/25 (c)(d)			458		461,435
Weatherford International Ltd.:
7.75%, 6/15/21 (d)			307		327,339
8.25%, 6/15/23			145		157,144
9.88%, 2/15/24 (c)			273		318,045

					6,770,100
Environmental, Maintenance, & Security Service — 0.1%
Befesa Zinc SAU Via Zinc Capital SA, 8.88%, 5/15/18	EUR		100		109,427
Paprec Holding SA, 5.25%, 4/01/22			100		114,574
Tervita Escrow Corp., 7.63%, 12/01/21 (c)(d)	USD		477		490,117

					714,118
Food & Staples Retailing — 0.7%
Albertsons Cos. LLC/Safeway, Inc./New Albertson’s, Inc./Albertson’s LLC (c)(d):
6.63%, 6/15/24			254		259,715
5.75%, 3/15/25			312		303,420
B&G Foods, Inc., 5.25%, 4/01/25			171		175,066
B&M European Value Retail SA, 4.13%, 2/01/22	GBP		100		134,970
Casino Guichard Perrachon SA:
5.98%, 5/26/21	EUR		100		128,178
4.56%, 1/25/23			200		244,554
CVS Health Corp., 5.13%, 7/20/45 (d)	USD		750		838,173
Dollar Tree, Inc., 5.75%, 3/01/23 (d)			1,616		1,714,576
Rite Aid Corp. (d):
6.75%, 6/15/21			329		331,468
6.13%, 4/01/23 (c)			111		109,890
7.70%, 2/15/27			359		387,720


Corporate Bonds		Par (000)		Value
Food & Staples Retailing (continued)
Walgreens Boots Alliance, Inc., 4.80%, 11/18/44 (d)	USD		750	$	775,024

					5,402,754
Food Products — 0.7%
Acosta, Inc., 7.75%, 10/01/22 (c)(d)			424		359,340
Aramark Services, Inc. (d):
5.13%, 1/15/24			144		151,920
4.75%, 6/01/26			252		257,040
Arcor SAIC, 6.00%, 7/06/23 (c)			470		503,722
Chobani LLC/Chobani Finance Corp., Inc., 7.50%, 4/15/25 (c)(d)			375		386,719
Clearwater Seafoods, Inc., 6.88%, 5/01/25 (c)			90		93,150
FAGE International SA/FAGE USA Dairy Industry, Inc., 5.63%, 8/15/26 (c)			200		203,500
JBS USA LLC/JBS USA Finance, Inc. (c):
7.25%, 6/01/21			40		41,100
5.88%, 7/15/24 (c)			169		176,183
5.75%, 6/15/25			558		576,135
Marfrig Holdings Europe BV, 8.00%, 6/08/23 (c)(d)			243		257,881
Minerva Luxembourg SA, 6.50%, 9/20/26 (c)			286		283,852
Post Holdings, Inc. (c)(d):
7.75%, 3/15/24			721		801,211
8.00%, 7/15/25			234		266,175
5.00%, 8/15/26			227		225,865
TreeHouse Foods, Inc., 6.00%, 2/15/24 (c)(d)			159		169,335
WhiteWave Foods Co., 5.38%, 10/01/22 (d)			211		235,793

					4,988,921
Health Care Equipment & Supplies — 0.5%
Crimson Merger Sub, Inc., 6.63%, 5/15/22 (c)(d)			1,043		959,560
DJO Finco, Inc./DJO Finance LLC/DJO Finance Corp., 8.13%, 6/15/21 (c)(d)			893		788,072
IASIS Healthcare LLC/IASIS Capital Corp., 8.38%, 5/15/19 (d)			290		282,750
Mallinckrodt International Finance SA/Mallinckrodt CB LLC (c)(d):
5.63%, 10/15/23			342		326,610
5.50%, 4/15/25			302		274,820
Medtronic, Inc., 4.50%, 3/15/42 (d)			1,000		1,053,062
Teleflex, Inc.:
3.88%, 8/01/17 (j)			90		300,994
4.88%, 6/01/26			63		63,945

					4,049,813
Health Care Providers & Services — 2.9%
Acadia Healthcare Co., Inc.:
5.63%, 2/15/23 (d)			432		447,008
6.50%, 3/01/24			69		73,140
Alere, Inc., 6.38%, 7/01/23 (c)(d)			268		291,785
Amsurg Corp., 5.63%, 7/15/22 (d)			810		835,636
Centene Corp.:
5.63%, 2/15/21 (d)			403		423,654
4.75%, 5/15/22 (d)			402		417,075
6.13%, 2/15/24			40		43,100
4.75%, 1/15/25 (d)			495		503,044
CHS/Community Health Systems, Inc.:
8.00%, 11/15/19			176		171,273
5.13%, 8/01/21 (d)			360		356,850
6.88%, 2/01/22 (d)			461		381,477
6.25%, 3/31/23			455		462,962
DaVita HealthCare Partners, Inc., 5.13%, 7/15/24 (d)			657		675,481

See Notes to Financial Statements.



44	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Health Care Providers & Services (continued)
DaVita, Inc., 5.00%, 5/01/25	USD		7	$	7,053
Envision Healthcare Corp., 5.13%, 7/01/22 (c)(d)			205		208,075
HCA, Inc.:
6.50%, 2/15/20 (d)			1,103		1,210,609
7.50%, 2/15/22 (d)			800		920,320
5.88%, 3/15/22 (d)			84		93,135
4.75%, 5/01/23			56		58,800
5.88%, 5/01/23			90		97,938
5.00%, 3/15/24 (d)			645		684,506
5.38%, 2/01/25 (d)			862		897,557
5.25%, 4/15/25 (d)			1,260		1,354,109
5.88%, 2/15/26 (d)			508		539,750
5.25%, 6/15/26 (d)			540		575,775
4.50%, 2/15/27 (d)			511		515,849
HealthSouth Corp.:
5.75%, 11/01/24 (d)			76		77,425
5.75%, 9/15/25 (d)			126		127,418
2.00%, 12/01/43 (j)			214		280,474
Hologic, Inc.:
5.25%, 7/15/22 (c)(d)			417		439,414
Series 2012, 2.00%, 3/01/42 (e)			323		471,378
MEDNAX, Inc., 5.25%, 12/01/23 (c)(d)			239		244,378
MPH Acquisition Holdings LLC, 7.13%, 6/01/24 (c)(d)			847		910,525
New Amethyst Corp., 6.25%, 12/01/24 (c)			291		306,278
RegionalCare Hospital Partners Holdings, Inc., 8.25%, 5/01/23 (c)(d)			350		372,356
Surgery Center Holdings, Inc., 8.88%, 4/15/21 (c)			82		87,125
Tenet Healthcare Corp.:
6.00%, 10/01/20 (d)			1,150		1,210,375
4.50%, 4/01/21			130		129,838
8.13%, 4/01/22 (d)			1,294		1,313,410
6.75%, 6/15/23 (d)			974		930,170
Thermo Fisher Scientific, Inc., 2.95%, 9/19/26 (d)			1,000		959,165
UnitedHealth Group, Inc., 4.38%, 3/15/42 (d)			750		783,698
Vizient, Inc., 10.38%, 3/01/24 (c)			90		103,050
WellCare Health Plans, Inc., 5.25%, 4/01/25			101		105,040

					21,097,478
Health Care Technology — 0.1%
Change Healthcare Holdings LLC/Change Healthcare Finance, Inc., 5.75%, 3/01/25 (c)			282		289,402
Quintiles IMS, Inc., 3.25%, 3/15/25 (c)	EUR		100		109,358

					398,760
Hotels, Restaurants & Leisure — 4.0%
Burger King France SAS:
4.93%, 5/01/23 (b)			100		111,109
6.00%, 5/01/24			100		113,015
Caesars Entertainment Resort Properties LLC/Caesars Entertainment Resort Property, 8.00%, 10/01/20	USD		1,840		1,918,062
Cemex Finance LLC, 9.38%, 10/12/22 (c)			378		406,822
Codere Finance 2 Luxembourg SA, 6.75%, 11/01/21	EUR		100		110,564
Eagle II Acquisition Co. LLC, 6.00%, 4/01/25 (c)	USD		102		105,442
Enterprise Inns PLC, 6.00%, 10/06/23	GBP		3,320		4,580,971
ESH Hospitality, Inc., 5.25%, 5/01/25 (c)(d)	USD		154		155,925
International Game Technology PLC, 4.75%, 2/15/23	EUR		107		127,325


Corporate Bonds		Par (000)		Value
Hotels, Restaurants & Leisure (continued)
Jacobs Entertainment, Inc., 7.88%, 2/01/24 (c)	USD		169	$	176,605
KFC Holding Co/Pizza Hut Holdings LLC/Taco Bell of America LLC (c):
5.00%, 6/01/24			45		46,463
5.25%, 6/01/26 (d)			159		162,975
McDonald’s Corp., 3.70%, 1/30/26 (d)			750		773,391
MGM Resorts International:
5.25%, 3/31/20			84		88,830
6.75%, 10/01/20 (d)			180		200,250
6.63%, 12/15/21 (d)			1,458		1,636,605
7.75%, 3/15/22			10		11,650
4.63%, 9/01/26 (d)			146		145,635
New Red Finance, Inc., 6.00%, 4/01/22 (c)(d)			1,130		1,178,025
PortAventura Entertainment Barcelona BV, 7.25%, 12/01/20	EUR		208		233,173
RHP Hotel Properties LP/RHP Finance Corp., 5.00%, 4/15/21 (d)	USD		460		468,625
Sabre GLBL, Inc., 5.25%, 11/15/23 (c)(d)			317		328,095
Scientific Games International, Inc. (d):
7.00%, 1/01/22 (c)			985		1,054,561
10.00%, 12/01/22			953		1,034,005
Six Flags Entertainment Corp. (c):
4.88%, 7/31/24 (d)			604		609,285
5.50%, 4/15/27			174		177,371
Station Casinos LLC, 7.50%, 3/01/21 (d)			1,085		1,129,756
Stonegate Pub Co. Financing PLC, 4.88%, 3/15/22	GBP		100		130,083
Thomas Cook Group PLC, 6.25%, 6/15/22	EUR		100		118,479
Unique Pub Finance Co. PLC:
Series A3, 6.54%, 3/30/21	GBP		1,777		2,500,669
Series M, 7.40%, 3/28/24			6,400		9,202,206
Vue International Bidco PLC, 7.88%, 7/15/20			117		156,567
Yum! Brands, Inc., 3.88%, 11/01/23	USD		110		108,625

					29,301,164
Household Durables — 0.8%
Brookfield Residential Properties, Inc./Brookfield Residential US Corp., 6.13%, 7/01/22 (c)(d)			750		781,875
CalAtlantic Group, Inc.:
8.38%, 1/15/21			144		169,200
5.38%, 10/01/22			6		6,405
5.25%, 6/01/26			47		48,292
Century Communities, Inc., 6.88%, 5/15/22 (d)			830		869,425
Lennar Corp.:
4.50%, 11/15/19 (d)			320		330,800
4.75%, 4/01/21			42		44,199
4.13%, 1/15/22			139		141,780
4.75%, 11/15/22			53		55,120
4.88%, 12/15/23 (d)			146		151,110
4.75%, 5/30/25 (d)			410		417,175
Mattamy Group Corp., 6.88%, 12/15/23 (c)			123		127,612
Newell Brands, Inc., 4.20%, 4/01/26 (d)			1,000		1,051,064
PulteGroup, Inc., 6.38%, 5/15/33 (d)			469		492,886
Riverbed Technology, Inc., 8.88%, 3/01/23 (c)			180		185,400
Standard Pacific Corp., 5.88%, 11/15/24			38		40,850
Tempur Sealy International, Inc., 5.50%, 6/15/26 (d)			483		480,286
TRI Pointe Group, Inc.:
4.38%, 6/15/19 (d)			225		231,750
4.88%, 7/01/21			210		218,400
5.88%, 6/15/24 (d)			140		147,350

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	45


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Household Durables (continued)
William Lyon Homes ,Inc., 5.88%, 1/31/25 (c)	USD		141	$	144,525

					6,135,504
Household Products — 0.1%
ACCO Brands Corp., 5.25%, 12/15/24 (c)			102		105,060
Prestige Brands, Inc., 6.38%, 3/01/24 (c)			176		188,320
Spectrum Brands, Inc., 6.63%, 11/15/22 (d)			710		747,275

					1,040,655
Independent Power and Renewable Electricity Producers — 0.5%
Calpine Corp. (d):
6.00%, 1/15/22 (c)			64		66,880
5.38%, 1/15/23			190		187,150
5.88%, 1/15/24 (c)			200		210,000
Dynegy, Inc.:
6.75%, 11/01/19 (d)			925		938,875
7.38%, 11/01/22			30		28,725
7.63%, 11/01/24			45		41,175
Genneia SA, 8.75%, 1/20/22 (c)			491		526,597
NRG Energy, Inc.:
7.88%, 5/15/21			82		84,050
6.63%, 3/15/23			45		45,675
6.63%, 1/15/27 (d)			629		622,710
NRG Yield Operating LLC, 5.38%, 8/15/24 (d)			130		132,925
QEP Resources, Inc., 5.38%, 10/01/22 (d)			444		438,450
TerraForm Power Operating LLC, 6.38%, 2/01/23 (c)(e)			258		266,708

					3,589,920
Industrial Conglomerates — 0.2%
General Electric Co., 4.13%, 10/09/42 (d)			750		774,505
Vertiv Group Corp, 9.25%, 10/15/24 (c)(d)			507		544,391

					1,318,896
Insurance — 0.7%
Achmea BV, 6.00%, 4/04/43 (b)	EUR		100		121,380
American International Group, Inc., 4.80%, 7/10/45 (d)	USD		500		515,114
Aon PLC, 3.88%, 12/15/25 (d)			1,280		1,315,552
Assicurazioni Generali SpA (b):
7.75%, 12/12/42	EUR		100		133,678
5.50%, 10/27/47			100		119,057
Groupama SA, 6.00%, 1/23/27			100		117,671
HUB International Ltd., 7.88%, 10/01/21 (c)(d)	USD		1,058		1,108,414
Old Mutual PLC, 8.00%, 6/03/21	GBP		100		149,595
Radian Group, Inc., 5.25%, 6/15/20 (d)	USD		390		407,550
USIS Merger Sub, Inc., 6.88%, 5/01/25 (c)			140		142,450
Wayne Merger Sub LLC, 8.25%, 8/01/23 (c)(d)			705		752,676

					4,883,137
Internet Software & Services — 0.2%
Equinix, Inc. (d):
4.88%, 4/01/20			144		147,600
5.88%, 1/15/26			389		419,148
Netflix, Inc.:
5.50%, 2/15/22			15		16,050
4.38%, 11/15/26 (c)(d)			812		799,820
3.63%, 5/15/27 (i)	EUR		100		110,139
Symantec Corp., 5.00%, 4/15/25 (c)	USD		187		193,311

					1,686,068
IT Services — 0.9%
Ceridian HCM Holding, Inc., 11.00%, 3/15/21 (c)(d)			482		508,510


Corporate Bonds		Par (000)		Value
IT Services (continued)
Fidelity National Information Services, Inc., 3.00%, 8/15/26 (d)	USD		1,000	$	958,151
First Data Corp. (c)(d):
7.00%, 12/01/23			1,422		1,524,668
5.75%, 1/15/24			2,998		3,110,425
Gartner, Inc., 5.13%, 4/01/25 (c)			207		214,245

					6,315,999
Machinery — 0.2%
Gardner Denver, Inc., 6.88%, 8/15/21 (c)			155		160,813
Navistar International Corp., 8.25%, 11/01/21			55		55,688
SPX FLOW, Inc. (c):
5.63%, 8/15/24 (d)			330		334,125
5.88%, 8/15/26			175		177,187
Terex Corp., 5.63%, 2/01/25 (c)(d)			474		484,665
Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc., 6.38%, 5/01/22	EUR		142		165,477

					1,377,955
Media — 7.1%
Adria Bidco BV, 7.88%, 11/15/20			100		113,367
Altice Financing SA, 7.50%, 5/15/26 (c)(d)	USD		1,291		1,394,280
Altice Luxembourg SA, 6.25%, 2/15/25	EUR		100		118,037
Altice US Finance I Corp. (c):
5.38%, 7/15/23 (d)	USD		780		814,125
5.50%, 5/15/26			288		297,720
AMC Entertainment Holdings, Inc., 6.38%, 11/15/24	GBP		100		137,900
AMC Networks, Inc.:
4.75%, 12/15/22 (d)	USD		344		350,880
5.00%, 4/01/24			161		163,117
Bharti Airtel International Netherlands BV, 5.13%, 3/11/23			1,500		1,580,187
Cablevision SA, 6.50%, 6/15/21 (c)			389		414,285
Cablevision Systems Corp. (d):
8.63%, 9/15/17			56		57,540
7.75%, 4/15/18			517		540,911
8.00%, 4/15/20			286		319,428
CBS Radio, Inc., 7.25%, 11/01/24 (c)(d)			264		287,100
CCO Holdings LLC/CCO Holdings Capital Corp. (d):
5.25%, 9/30/22			560		581,000
5.13%, 2/15/23			709		737,360
5.13%, 5/01/23 (c)			719		750,456
5.75%, 2/15/26 (c)			233		247,488
5.50%, 5/01/26 (c)			470		493,209
5.13%, 5/01/27 (c)			1,618		1,650,360
5.88%, 5/01/27 (c)			663		705,266
Cequel Communications Holdings I LLC/Cequel Capital Corp. (c):
6.38%, 9/15/20			101		104,094
5.13%, 12/15/21 (d)			715		731,087
5.13%, 12/15/21			218		222,905
7.75%, 7/15/25 (d)			1,630		1,817,450
Charter Communications Operating LLC/Charter Communications Operating Capital, 6.48%, 10/23/45 (d)			3,000		3,523,119
Clear Channel International BV, 8.75%, 12/15/20 (c)(d)			508		543,560
Clear Channel Worldwide Holdings, Inc.:
6.50%, 11/15/22			261		266,220
6.50%, 11/15/22 (d)			2,783		2,883,884
Series B, 7.63%, 3/15/20 (d)			1,134		1,146,757
Columbus Cable Barbados Ltd., 7.38%, 3/30/21 (c)(d)			1,195		1,286,119

See Notes to Financial Statements.



46	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Media (continued)
Comcast Corp., 4.60%, 8/15/45 (d)	USD		1,750	$	1,825,693
CSC Holdings LLC (d):
10.13%, 1/15/23 (c)			1,388		1,610,080
5.25%, 6/01/24			921		931,932
6.63%, 10/15/25 (c)			350		382,812
10.88%, 10/15/25 (c)			933		1,120,766
Discovery Communications LLC, 4.95%, 5/15/42 (d)			400		370,610
DISH DBS Corp.:
6.75%, 6/01/21 (d)			239		259,912
5.88%, 7/15/22 (d)			241		255,289
5.00%, 3/15/23			105		105,263
5.88%, 11/15/24 (d)			53		55,650
7.75%, 7/01/26 (d)			1,355		1,587,044
DISH Network Corp., 3.38%, 8/15/26 (c)(j)			293		358,559
eircom Finance DAC, 4.50%, 5/31/22	EUR		100		113,832
EW Scripps Co., 5.13%, 5/15/25 (c)	USD		203		208,329
GTT Escrow Corp., 7.88%, 12/31/24 (c)			87		90,698
Hughes Satellite Systems Corp.:
7.63%, 6/15/21			113		127,594
5.25%, 8/01/26 (c)(d)			564		573,870
6.63%, 8/01/26 (c)(d)			121		124,630
iHeartCommunications, Inc.:
9.00%, 12/15/19			474		391,050
10.63%, 3/15/23			1,256		960,840
Intelsat Jackson Holdings SA (d):
7.25%, 4/01/19			500		480,625
7.25%, 10/15/20			405		379,161
5.50%, 8/01/23			1,149		980,959
Interpublic Group of Cos., Inc., 4.20%, 4/15/24 (d)			1,000		1,046,237
LG Finance Co. Corp., 5.88%, 11/01/24 (c)			101		104,788
LGE HoldCo VI BV, 7.13%, 5/15/24	EUR		177		218,603
McGraw-Hill Global Education Holdings LLC/McGraw-Hill Global Education Finance, 7.88%, 5/15/24 (c)	USD		101		98,349
MDC Partners, Inc., 6.50%, 5/01/24 (c)(d)			438		427,050
Midcontinent Communications/Midcontinent Finance Corp. (c):
6.25%, 8/01/21 (d)			250		260,000
6.88%, 8/15/23			138		148,005
National CineMedia LLC, 5.75%, 8/15/26			98		99,960
Nexstar Broadcasting, Inc., 5.63%, 8/01/24 (c)(d)			267		273,675
Numericable Group SA, 5.38%, 5/15/22	EUR		116		131,571
Outfront Media Capital LLC/Outfront Media Capital Corp. (d):
5.25%, 2/15/22	USD		102		105,952
5.63%, 2/15/24			202		212,100
Play Topco SA, 5.38%, 9/15/22 (g)	EUR		117		131,130
SFR Group SA (c)(d):
6.00%, 5/15/22	USD		1,492		1,555,410
7.38%, 5/01/26			1,721		1,809,201
Sirius XM Radio, Inc., 4.25%, 5/15/20 (c)(d)			704		711,040
Telesat Canada/Telesat LLC, 8.88%, 11/15/24 (c)			199		218,900
Time Warner, Inc.:
4.65%, 6/01/44			111		104,761
4.85%, 7/15/45 (d)			389		376,532
Tribune Media Co., 5.88%, 7/15/22 (d)			540		567,281
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH:
4.00%, 1/15/25	EUR		117		134,075
5.00%, 1/15/25 (c)	USD		200		207,628
6.25%, 1/15/29	EUR		100		124,191


Corporate Bonds		Par (000)		Value
Media (continued)
Univision Communications, Inc. (c)(d):
5.13%, 5/15/23	USD		624	$	634,140
5.13%, 2/15/25			193		192,276
UPCB Finance IV Ltd., 4.00%, 1/15/27	EUR		114		128,433
Videotron, Ltd./Videotron Ltee, 5.13%, 4/15/27 (c)	USD		285		290,614
Virgin Media Finance PLC, 5.75%, 1/15/25 (c)(d)			850		867,000
Virgin Media Receivables Financing Notes I DAC, 5.50%, 9/15/24	GBP		100		135,996
Virgin Media Secured Finance PLC:
5.50%, 8/15/26 (c)	USD		200		204,250
4.88%, 1/15/27	GBP		130		171,752
6.25%, 3/28/29			175		246,493
WaveDivision Escrow LLC/WaveDivision Escrow Corp., 8.13%, 9/01/20 (c)(d)	USD		980		1,009,400
Wind Acquisition Finance SA:
7.00%, 4/23/21	EUR		122		138,077
7.38%, 4/23/21 (c)(d)	USD		1,130		1,175,200

					51,834,479
Metal Fabricating — 0.0%
Park-Ohio Industries, Inc., 6.63%, 4/15/27 (c)			53		54,325
Metals & Mining — 3.6%
Alcoa Nederland Holding BV, 7.00%, 9/30/26 (c)			200		221,000
Alcoa, Inc.:
5.87%, 2/23/22 (d)			900		970,650
5.13%, 10/01/24 (d)			405		424,238
5.90%, 2/01/27			120		128,965
5.95%, 2/01/37			105		106,995
Anglo American Capital PLC:
4.45%, 9/27/20 (c)			100		104,000
4.13%, 4/15/21 (c)			200		204,500
3.50%, 3/28/22	EUR		100		119,232
3.25%, 4/03/23			100		118,244
4.88%, 5/14/25 (c)(d)	USD		600		625,500
ArcelorMittal:
7.75%, 10/15/39			108		123,390
7.50%, 3/01/41 (d)			352		396,000
BHP Billiton Finance USA Ltd., 4.13%, 2/24/42 (d)			250		252,237
Cliffs Natural Resources, Inc., 8.25%, 3/31/20 (c)(d)			216		234,630
Constellium NV (c)(d):
8.00%, 1/15/23			1,500		1,550,250
6.63%, 3/01/25			1,086		1,069,710
First Quantum Minerals Ltd. (c):
7.00%, 2/15/21 (d)			844		873,540
7.50%, 4/01/25			635		647,700
Freeport-McMoRan, Inc.:
2.30%, 11/14/17			322		322,000
2.38%, 3/15/18			2,868		2,853,660
3.10%, 3/15/20			1,360		1,341,300
4.00%, 11/14/21			276		270,825
3.55%, 3/01/22			506		475,640
3.88%, 3/15/23			1,408		1,305,920
5.40%, 11/14/34			140		124,250
5.45%, 3/15/43			1,430		1,219,075
Grinding Media, Inc./MC Grinding Media Canada, Inc., 7.38%, 12/15/23 (c)			215		229,362
Joseph T Ryerson & Son, Inc., 11.00%, 5/15/22 (c)			192		216,722
Kaiser Aluminum Corp., 5.88%, 5/15/24			124		130,820

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	47


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Metals & Mining (continued)
Kinross Gold Corp.:
5.95%, 3/15/24	USD		50	$	53,610
6.88%, 9/01/41			80		83,300
Novelis Corp. (c)(d):
6.25%, 8/15/24			1,024		1,077,760
5.88%, 9/30/26			1,191		1,223,752
Nyrstar Netherlands Holdings BV, 6.88%, 3/15/24	EUR		100		109,420
Peabody Securities Finance Corp. (c):
6.00%, 3/31/22	USD		145		147,900
6.38%, 3/31/25			152		154,280
Petra Diamonds US Treasury PLC, 7.25%, 5/01/22 (c)			200		209,000
Rio Tinto Finance USA Ltd., 4.75%, 3/22/42 (d)			400		427,654
Steel Dynamics, Inc.:
5.13%, 10/01/21 (d)			970		1,001,525
5.25%, 4/15/23 (d)			525		543,375
5.00%, 12/15/26 (c)			15		15,338
Teck Resources Ltd.:
4.50%, 1/15/21			82		84,684
3.75%, 2/01/23 (d)			648		638,474
8.50%, 6/01/24 (c)(d)			418		484,358
6.13%, 10/01/35			102		107,865
6.00%, 8/15/40 (d)			686		705,722
6.25%, 7/15/41			88		93,280
5.20%, 3/01/42 (d)			673		642,715
5.40%, 2/01/43 (d)			341		331,623
ThyssenKrupp AG, 1.38%, 3/03/22	EUR		75		80,293
United States Steel Corp., 8.38%, 7/01/21 (c)(d)	USD		357		393,146
VM Holdings SA, 5.38%, 5/04/27 (c)			777		769,603

					26,039,032
Multi-Utilities — 0.1%
NGL Energy Partners LP/NGL Energy Finance Corp. (d):
5.13%, 7/15/19			150		149,625
6.88%, 10/15/21			240		238,200
7.50%, 11/01/23 (c)			225		225,000

					612,825
Multiline Retail — 0.1%
Neiman Marcus Group Ltd., 8.00%, 10/15/21 (c)(d)			257		150,345
Target Corp., 4.00%, 7/01/42 (d)			300		293,532

					443,877
Oil, Gas & Consumable Fuels — 8.5%
Alta Mesa Holdings LP/Alta Mesa Finance Services Corp., 7.88%, 12/15/24 (c)			139		145,950
Anadarko Petroleum Corp., 4.50%, 7/15/44 (d)			500		481,786
Antero Midstream Partners LP/Antero Midstream Finance Corp., 5.38%, 9/15/24 (c)			65		66,463
Antero Resources Corp.:
5.13%, 12/01/22			92		93,380
5.63%, 6/01/23			88		90,530
Apache Corp., 4.75%, 4/15/43 (d)			800		814,479
Ascent Resources Utica Holdings LLC/ARU Finance Corp., 10.00%, 4/01/22 (c)(d)			344		355,610
California Resources Corp., 8.00%, 12/15/22 (c)(d)			575		439,875
Callon Petroleum Co., 6.13%, 10/01/24 (c)			248		259,780
Carrizo Oil & Gas, Inc., 6.25%, 4/15/23 (d)			165		166,238


Corporate Bonds		Par (000)		Value
Oil, Gas & Consumable Fuels (continued)
Cheniere Corpus Christi Holdings LLC (c)(d):
7.00%, 6/30/24	USD		578	$	645,846
5.88%, 3/31/25			699		744,435
Chesapeake Energy Corp. (d):
6.88%, 11/15/20			224		225,120
8.00%, 1/15/25 (c)			341		337,164
Cia Latinoamericana de Infraestructura & Servicios SA, 9.50%, 7/20/23 (c)			56		58,730
ConocoPhillips Co., 4.95%, 3/15/26 (d)			700		782,400
CONSOL Energy, Inc.:
5.88%, 4/15/22 (d)			3,095		3,017,625
8.00%, 4/01/23			76		79,183
Continental Resources, Inc. (d):
4.50%, 4/15/23			173		170,405
3.80%, 6/01/24			549		516,060
4.90%, 6/01/44			310		268,925
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp., 6.25%, 4/01/23			35		36,531
CrownRock LP/CrownRock Finance, Inc. (c):
7.13%, 4/15/21 (d)			961		992,232
7.75%, 2/15/23			160		171,200
DCP Midstream LLC (c):
4.75%, 9/30/21			160		163,600
6.45%, 11/03/36			213		228,442
6.75%, 9/15/37 (d)			278		304,591
Denbury Resources, Inc.:
9.00%, 5/15/21 (c)(d)			625		659,375
5.50%, 5/01/22 (d)			508		378,460
4.63%, 7/15/23			48		32,880
Diamondback Energy, Inc., 5.38%, 5/31/25 (c)			242		250,470
Eclipse Resources Corp., 8.88%, 7/15/23			80		81,600
Energy Transfer Equity LP (d):
5.88%, 1/15/24			940		1,012,850
5.50%, 6/01/27			415		446,125
Energy Transfer Partners LP (d):
6.13%, 12/15/45			500		543,248
5.30%, 4/15/47			350		345,430
Ensco Jersey Finance Ltd., 3.00%, 1/31/24 (c)			291		269,357
Enterprise Products Operating LLC, 3.75%, 2/15/25 (d)			1,250		1,280,000
EP Energy LLC/Everest Acquisition Finance, Inc. (d):
9.38%, 5/01/20			392		370,930
8.00%, 11/29/24 (c)			304		318,060
Extraction Oil & Gas Holdings LLC/Extraction Finance Corp., 7.88%, 7/15/21 (c)(d)			360		377,100
GNL Quintero SA:
4.63%, 7/31/29 (c)(d)			286		297,797
4.63%, 7/31/29			279		290,509
Great Western Petroleum LLC/Great Western Finance, Inc., 9.00%, 9/30/21 (c)(d)			381		394,335
Gulfport Energy Corp.:
6.63%, 5/01/23			84		85,050
6.38%, 5/15/25 (c)(d)			102		101,618
Halcon Resources Corp., 6.75%, 2/15/25 (c)(d)			1,020		979,200
Hess Corp., 4.30%, 4/01/27 (d)			750		749,341
Kinder Morgan Energy Partners LP, 4.25%, 9/01/24 (d)			2,500		2,581,907
Matador Resources Co. (d):
6.88%, 4/15/23			460		485,300
6.88%, 4/15/23 (c)			531		560,205
MEG Energy Corp. (c):
7.00%, 3/31/24			27		24,098
6.50%, 1/15/25 (d)			933		921,337

See Notes to Financial Statements.



48	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Oil, Gas & Consumable Fuels (continued)
Murphy Oil Corp.:
6.88%, 8/15/24 (d)	USD		288	$	306,720
6.13%, 12/01/42			80		75,600
Nabors Industries, Inc., 0.75%, 1/15/24 (c)(j)			472		406,215
New Enterprise Stone & Lime Co., Inc., 10.13%, 4/01/22 (c)			190		201,400
Newfield Exploration Co., 5.63%, 7/01/24			132		139,508
NGPL PipeCo LLC (c)(d):
7.12%, 12/15/17			1,002		1,028,929
7.77%, 12/15/37			614		706,100
Noble Holding International Ltd., 7.75%, 1/15/24 (d)			437		398,762
Oasis Petroleum, Inc.:
6.50%, 11/01/21 (d)			450		454,500
2.63%, 9/15/23 (j)			260		315,575
ONEOK, Inc.:
7.50%, 9/01/23 (d)			377		445,960
6.00%, 6/15/35			40		42,100
Paramount Resources Ltd., 6.88%, 6/30/23 (c)(d)			1,235		1,309,100
Parker Drilling Co.:
7.50%, 8/01/20			295		274,350
6.75%, 7/15/22			186		164,145
Parsley Energy LLC/Parsley Finance Corp. (c):
6.25%, 6/01/24			79		83,543
5.38%, 1/15/25			361		364,610
5.25%, 8/15/25			91		91,683
Pertamina Persero PT, 5.63%, 5/20/43 (c)(d)			2,000		2,058,956
Petrobras Argentina SA, 7.38%, 7/21/23 (c)(d)			895		956,943
Petrobras Global Finance BV:
4.88%, 3/17/20			382		393,651
8.38%, 5/23/21 (d)			2,241		2,537,932
8.75%, 5/23/26			781		910,646
7.38%, 1/17/27			404		434,421
6.85%, 6/05/15			387		344,623
Petrobras International Finance Co.:
5.75%, 1/20/20			382		402,055
5.38%, 1/27/21 (d)			1,176		1,208,164
Petroleos Mexicanos:
5.38%, 3/13/22 (c)			47		49,409
4.63%, 9/21/23			309		310,792
Precision Drilling Corp., 7.75%, 12/15/23 (c)			90		95,400
QEP Resources, Inc., 5.25%, 5/01/23			40		39,100
Raizen Fuels Finance SA, 5.30%, 1/20/27 (c)			543		561,467
Range Resources Corp. (c):
5.88%, 7/01/22 (d)			579		592,027
5.00%, 8/15/22 (d)			91		89,976
5.00%, 3/15/23			175		173,250
Resolute Energy Corp., 8.50%, 5/01/20 (d)			282		287,640
Rockies Express Pipeline LLC (c)(d):
5.63%, 4/15/20			875		935,375
6.88%, 4/15/40			521		556,819
Rowan Cos., Inc.:
4.88%, 6/01/22			85		79,900
7.38%, 6/15/25 (d)			722		712,975
RSP Permian, Inc.:
6.63%, 10/01/22			290		305,587
5.25%, 1/15/25 (c)			178		180,670
Sabine Pass Liquefaction LLC, 5.75%, 5/15/24			10		11,054
Sanchez Energy Corp. (d):
7.75%, 6/15/21			536		518,580
6.13%, 1/15/23			943		867,551
SESI LLC, 6.38%, 5/01/19			110		109,313


Corporate Bonds		Par (000)		Value
Oil, Gas & Consumable Fuels (continued)
Seven Generations Energy Ltd., 8.25%, 5/15/20 (c)(d)	USD		196	$	204,820
Shell International Finance BV, 4.38%, 5/11/45 (d)			450		461,997
SM Energy Co.:
6.50%, 11/15/21			175		178,938
6.13%, 11/15/22 (d)			27		27,473
5.00%, 1/15/24			5		4,713
5.63%, 6/01/25 (d)			495		472,725
6.75%, 9/15/26			165		166,238
Southwestern Energy Co., 5.80%, 1/23/20 (d)			1,316		1,329,160
Suncor Energy, Inc., 6.50%, 6/15/38 (d)			800		1,015,209
Tallgrass Energy Partners LP/Tallgrass Energy Finance Corp. (c):
5.50%, 9/15/24 (d)			490		492,450
5.13%, 2/01/25			155		160,038
5.38%, 2/01/27			90		94,050
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
6.38%, 8/01/22			95		97,898
5.25%, 5/01/23			16		16,480
Tesoro Corp. (c)(d):
4.75%, 12/15/23			527		552,032
5.13%, 12/15/26			779		829,635
Tesoro Logistics LP/Tesoro Logistics Finance Corp.:
6.13%, 10/15/21			44		45,925
6.25%, 10/15/22			80		85,800
Tullow Oil PLC, 6.25%, 4/15/22 (c)			200		191,236
Tutor Perini Corp., 6.88%, 5/01/25 (c)			165		173,250
Ultra Resources, Inc., 6.88%, 4/15/22 (c)			70		70,788
Weatherford International LLC, 6.80%, 6/15/37			75		70,875
Weatherford International Ltd.:
6.50%, 8/01/36			310		292,950
7.00%, 3/15/38			249		238,417
5.95%, 4/15/42			93		81,375
Whiting Petroleum Corp.:
5.00%, 3/15/19 (d)			851		859,510
5.75%, 3/15/21			85		84,575
WildHorse Resource Development Corp., 6.88%, 2/01/25 (c)			281		269,760
Williams Cos., Inc., 5.75%, 6/24/44 (d)			1,137		1,176,795
Williams Partners LP, 4.50%, 11/15/23 (d)			1,750		1,848,938
WPX Energy, Inc.:
7.50%, 8/01/20			80		84,800
6.00%, 1/15/22			20		20,300
8.25%, 8/01/23			215		239,725
5.25%, 9/15/24 (d)			435		424,125
YPF SA:
8.88%, 12/19/18 (c)			1,495		1,618,038
8.50%, 3/23/21 (c)			193		218,331
8.50%, 7/28/25			97		109,731

					62,335,338
Paper & Forest Products — 0.1%
Mercer International, Inc., 6.50%, 2/01/24 (c)			134		138,355
Pfleiderer GmbH, 7.88%, 8/01/19	EUR		168		189,989
Unifrax I LLC/Unifrax Holding Co., 7.50%, 2/15/19 (c)(d)	USD		390		390,039

					718,383

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	49


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Pharmaceuticals — 1.9%
AbbVie, Inc. (d):
3.20%, 5/14/26	USD		775	$	755,271
4.45%, 5/14/46			1,000		974,749
Actavis Funding SCS (d):
3.80%, 3/15/25			1,000		1,017,767
4.75%, 3/15/45			500		509,245
Eagle Holding Co. II LLC, 7.63%, 5/15/22 (c)(g)(i)			310		315,813
Endo Dac/Endo Finance LLC/Endo Finco, Inc., 5.88%, 10/15/24 (c)			205		208,844
Endo Finance LLC/Endo Finco, Inc., 5.38%, 1/15/23 (c)(d)			620		531,650
Forest Laboratories LLC, 5.00%, 12/15/21 (c)(d)			718		783,436
Grifols SA, 3.20%, 5/01/25	EUR		200		216,457
inVentiv Group Holdings, Inc./inVentiv Health, Inc./inVentiv Health Clinical, Inc., 7.50%, 10/01/24 (c)(d)	USD		474		489,405
Jaguar Holding Co. II/Pharmaceutical Product Development LLC, 6.38%, 8/01/23 (c)(d)			1,166		1,215,555
Mylan NV, 3.95%, 6/15/26 (d)			650		642,918
NBTY, Inc., 7.63%, 5/15/21 (c)(d)			570		605,625
Shire Acquisitions Investments Ireland DAC, 3.20%, 9/23/26 (d)			300		290,462
Synlab Bondco PLC, 6.25%, 7/01/22	EUR		145		171,003
Synlab Unsecured Bondco PLC, 8.25%, 7/01/23			100		121,441
Tennessee Merger Sub, Inc., 6.38%, 2/01/25 (c)(d)	USD		864		843,480
Teva Pharmaceutical Finance Netherlands III BV, 3.15%, 10/01/26 (d)			500		465,549
Unilabs Subholding AB, 5.75%, 5/15/25 (i)	EUR		100		108,399
Valeant Pharmaceuticals International, Inc. (c):
6.75%, 8/15/18 (d)	USD		442		440,895
6.75%, 8/15/21 (d)			1,276		1,055,890
5.63%, 12/01/21 (d)			879		675,731
6.50%, 3/15/22			360		368,550
5.88%, 5/15/23			151		111,551
7.00%, 3/15/24			566		577,320
6.13%, 4/15/25			391		288,656

					13,785,662
Real Estate Investment Trusts (REITs) — 0.8%
American Tower Corp., 3.38%, 10/15/26 (d)			250		243,496
Hilton Domestic Operating Co., Inc., 4.25%, 9/01/24 (c)			204		205,530
iStar, Inc., 6.00%, 4/01/22			143		146,575
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer, Inc. (d):
5.63%, 5/01/24			1,232		1,329,020
4.50%, 9/01/26			533		531,001
MPT Operating Partnership LP/MPT Finance Corp., 3.33%, 3/24/25	EUR		100		111,124
NH Hotel Group SA, 3.75%, 10/01/23			129		146,534
Starwood Property Trust, Inc., 5.00%, 12/15/21 (c)(d)	USD		278		289,815
Trust F/1401, 6.95%, 1/30/44			376		387,280
TVL Finance PLC, 5.23%, 5/15/23 (b)	GBP		100		129,766
Wyndham Worldwide Corp., 4.15%, 4/01/24 (d)	USD		2,000		2,039,618

					5,559,759
Real Estate Management & Development — 1.1%
Aroundtown Property Holdings PLC, 1.50%, 1/18/21 (j)	EUR		100		120,782
Howard Hughes Corp., 5.38%, 3/15/25 (c)	USD		177		178,770


Corporate Bonds		Par (000)		Value
Real Estate Management & Development (continued)
Lai Sun International Finance 2012 Ltd., 5.70%, 1/18/18	USD		2,000	$	2,031,142
Northwest Florida Timber Finance LLC, 4.75%, 3/04/29 (c)(d)			4,360		4,142,000
Realogy Group LLC/Realogy Co-Issuer Corp. (c)(d):
4.50%, 4/15/19			205		213,200
5.25%, 12/01/21			446		469,415
4.88%, 6/01/23			933		942,330

					8,097,639
Road & Rail — 1.1%
Avis Budget Car Rental LLC/Avis Budget Finance, Inc. (c)(d):
5.13%, 6/01/22			745		724,512
5.25%, 3/15/25			655		617,337
Avis Budget Finance PLC:
4.13%, 11/15/24	EUR		100		107,660
4.50%, 5/15/25			100		107,786
Burlington Northern Santa Fe LLC, 4.38%, 9/01/42 (d)	USD		500		526,732
Herc Rentals, Inc. (c):
7.50%, 6/01/22			95		103,313
7.75%, 6/01/24			255		278,269
Hertz Corp. (d):
4.25%, 4/01/18			90		91,125
5.88%, 10/15/20			122		113,765
5.50%, 10/15/24 (c)			305		263,063
Hertz Holdings Netherlands BV, 4.13%, 10/15/21	EUR		100		108,357
Lima Metro Line 2 Finance Ltd., 5.88%, 7/05/34 (c)(d)	USD		4,000		4,274,000
Union Pacific Corp., 4.05%, 11/15/45 (d)			500		502,011

					7,817,930
Semiconductors & Semiconductor Equipment — 1.1%
Advanced Micro Devices, Inc., 7.50%, 8/15/22			89		98,790
Analog Devices, Inc., 3.50%, 12/05/26 (d)			320		320,763
Broadcom Corp./Broadcom Cayman Finance Ltd., 3.88%, 1/15/27 (c)(d)			2,600		2,638,342
Microchip Technology, Inc., 2.13%, 12/15/37 (j)			75		238,734
Micron Technology, Inc.:
5.25%, 8/01/23 (c)(d)			343		355,005
5.50%, 2/01/25			11		11,495
Series G, 3.00%, 11/15/43 (j)			860		928,800
Microsemi Corp., 9.13%, 4/15/23 (c)			41		47,150
NXP BV/NXP Funding LLC (c)(d):
4.13%, 6/15/20			760		797,050
4.13%, 6/01/21			203		212,389
4.63%, 6/15/22			410		440,238
3.88%, 9/01/22			200		207,700
4.63%, 6/01/23			224		241,080
QUALCOMM, Inc., 4.65%, 5/20/35 (d)			400		423,399
Sensata Technologies BV, 5.00%, 10/01/25 (c)			15		15,319
Sensata Technologies UK Financing Co. PLC, 6.25%, 2/15/26 (c)(d)			540		584,550
Xilinx, Inc., 2.63%, 6/15/17 (j)			175		385,000

					7,945,804
Software — 1.7%
ACI Worldwide, Inc., 6.38%, 8/15/20 (c)(d)			580		595,225
BMC Software Finance, Inc., 8.13%, 7/15/21 (c)(d)			1,469		1,493,797

See Notes to Financial Statements.



50	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Software (continued)
Genesys Telecommunications Laboratories Inc/Greeneden Lux 3 Sarl/Greeneden US Ho, 10.00%, 11/30/24 (c)	USD		210	$	232,601
Inception Merger Sub, Inc./Rackspace Hosting, Inc., 8.63%, 11/15/24 (c)(d)			609		644,779
Infinity Acquisition LLC/Infinity Acquisition Finance Corp., 7.25%, 8/01/22 (c)			51		47,940
Infor US, Inc., 6.50%, 5/15/22 (d)			1,857		1,931,280
Informatica LLC, 7.13%, 7/15/23 (c)(d)			281		276,434
JDA Escrow LLC/JDA Bond Finance, Inc., 7.38%, 10/15/24 (c)			209		218,405
Microsoft Corp., 3.70%, 8/08/46 (d)			1,750		1,668,653
Nuance Communications, Inc. (c):
5.38%, 8/15/20 (d)			47		47,999
6.00%, 7/01/24			220		232,100
5.63%, 12/15/26			121		125,084
Oracle Corp., 4.00%, 7/15/46 (d)			1,500		1,465,893
PTC, Inc., 6.00%, 5/15/24			119		127,330
Solera LLC/Solera Finance, Inc., 10.50%, 3/01/24 (c)(d)			1,020		1,164,075
SS&C Technologies Holdings, Inc., 5.88%, 7/15/23 (d)			584		620,500
TIBCO Software, Inc., 11.38%, 12/01/21 (c)(d)			999		1,106,392
Veritas US, Inc./Veritas Bermuda Ltd.:
7.50%, 2/01/23	EUR		100		115,193
10.50%, 2/01/24 (c)(d)	USD		401		427,065

					12,540,745
Specialty Retail — 0.3%
Asbury Automotive Group, Inc., 6.00%, 12/15/24 (d)			569		587,492
JC Penney Corp., Inc. (d):
8.13%, 10/01/19			148		161,320
6.38%, 10/15/36			104		79,560
7.40%, 4/01/37			261		213,368
L Brands, Inc., 6.88%, 11/01/35 (d)			424		418,064
Lowe’s Cos., Inc., 4.65%, 4/15/42 (d)			400		432,435
Penske Automotive Group, Inc.:
5.38%, 12/01/24 (d)			540		544,050
5.50%, 5/15/26			83		82,585

					2,518,874
Technology Hardware, Storage & Peripherals — 0.6%
Apple, Inc., 4.65%, 2/23/46 (d)			1,500		1,634,413
CA, Inc., 3.60%, 8/15/22 (d)			660		677,266
Diamond 1 Finance Corp./Diamond 2 Finance Corp. (c):
4.42%, 6/15/21			25		26,245
7.13%, 6/15/24 (d)			774		855,531
6.02%, 6/15/26			170		186,716
8.35%, 7/15/46			100		129,428
Western Digital Corp.:
7.38%, 4/01/23 (c)(d)			515		563,925
10.50%, 4/01/24			287		337,943

					4,411,467
Textiles, Apparel & Luxury Goods — 0.0%
BiSoho SAS, 5.88%, 5/01/23	EUR		90		105,668
Hanesbrands, Inc., 4.63%, 5/15/24 (c)	USD		59		58,557
Levi Strauss & Co., 3.38%, 3/15/27	EUR		100		109,747
Springs Industries, Inc., 6.25%, 6/01/21	USD		59		60,844

					334,816
Thrifts & Mortgage Finance — 0.1%
Jerrold Finco PLC, 6.25%, 9/15/21	GBP		100		134,675


Corporate Bonds		Par (000)		Value
Thrifts & Mortgage Finance (continued)
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., 5.25%, 3/15/22 (c)(d)	USD		422	$	433,077
MGIC Investment Corp., 5.75%, 8/15/23			101		108,323

					676,075
Tobacco — 0.3%
Altria Group, Inc., 4.50%, 5/02/43 (d)			750		775,652
Philip Morris International, Inc., 4.38%, 11/15/41 (d)			900		915,464
Reynolds American, Inc., 5.85%, 8/15/45 (d)			715		844,848

					2,535,964
Trading Companies & Distributors — 0.4%
Doric Nimrod Air Alpha Ltd. Pass-Through Trust (c):
Series 2012-1, Class B, 6.50%, 5/30/21			359		371,707
Series 2013-1, Class A, 5.25%, 5/30/25 (d)			2,182		2,269,416

					2,641,123
Transportation Infrastructure — 0.4%
CEVA Group PLC, 7.00%, 3/01/21 (c)(d)			510		456,450
CMA CGM SA, 7.75%, 1/15/21	EUR		100		112,806
Empresa de Transporte de Pasajeros Metro SA, 5.00%, 1/25/47 (c)	USD		264		281,849
Penske Truck Leasing Co. LP/PTL Finance Corp., 3.40%, 11/15/26 (c)(d)			390		378,142
Rumo Luxembourg Sarl, 7.38%, 2/09/24 (c)			1,042		1,085,764
Transurban Finance Co. Property Ltd., 4.13%, 2/02/26 (c)(d)			520		539,751
WFS Global Holding SAS, 9.50%, 7/15/22	EUR		100		117,734

					2,972,496
Utilities — 0.5%
AES Panama SRL, 6.00%, 6/25/22 (c)	USD		291		298,639
ContourGlobal Power Holdings SA, 5.13%, 6/15/21	EUR		100		115,438
Emera US Finance LP, 4.75%, 6/15/46	USD		200		202,832
Generacion Mediterranea SA/Generacion Frias SA/Central Termica Roca SA, 9.63%, 7/27/23 (c)			967		1,033,771
Inkia Energy Ltd., 8.38%, 4/04/21 (c)			377		389,064
Stoneway Capital Corp., 10.00%, 3/01/27 (c)			1,538		1,614,900

					3,654,644
Wireless Telecommunication Services — 2.9%
Communications Sales & Leasing, Inc./CSL Capital LLC:
6.00%, 4/15/23 (c)			177		184,192
8.25%, 10/15/23 (d)			821		876,163
7.13%, 12/15/24 (c)			84		85,890
CyrusOne LP/CyrusOne Finance Corp. (c):
5.00%, 3/15/24			375		385,312
5.38%, 3/15/27			25		25,750
Digicel Group Ltd. (c):
8.25%, 9/30/20			295		269,925
7.13%, 4/01/22			294		246,666
Digicel Ltd., 6.00%, 4/15/21 (c)(d)			5,000		4,750,000
GEO Group, Inc.:
5.13%, 4/01/23 (d)			553		555,765
5.88%, 10/15/24			57		58,283
6.00%, 4/15/26			71		72,953
Matterhorn Telecom Holding SA, 4.88%, 5/01/23	EUR		100		109,525
Matterhorn Telecom SA, 3.25%, 2/01/23 (b)			100		108,658

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	51


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Corporate Bonds		Par (000)		Value
Wireless Telecommunication Services (continued)
Radiate Holdco LLC/Radiate Finance, Inc., 6.63%, 2/15/25 (c)(d)	USD		319	$	318,202
Softbank Corp., 4.50%, 4/15/20 (c)(d)			1,500		1,559,100
Sprint Capital Corp. (d):
6.90%, 5/01/19			155		165,656
6.88%, 11/15/28			1,844		1,996,130
Sprint Communications, Inc. (d):
9.00%, 11/15/18 (c)			2,486		2,719,062
7.00%, 3/01/20 (c)			441		481,792
7.00%, 8/15/20			69		74,693
Sprint Corp. (d):
7.25%, 9/15/21			115		125,781
7.88%, 9/15/23			1,526		1,712,935
7.13%, 6/15/24			1,684		1,836,621
7.63%, 2/15/25			115		128,369
T-Mobile USA, Inc.:
4.00%, 4/15/22			234		239,850
6.00%, 3/01/23			40		42,750
6.84%, 4/28/23 (d)			610		654,225
6.50%, 1/15/24 (d)			440		476,850
5.13%, 4/15/25			238		250,792
5.38%, 4/15/27			143		153,010
Trilogy International Partners LLC/Trilogy International Finance, Inc., 8.88%, 5/01/22 (c)(i)			124		128,340
Uniti Group, Inc./Uniti Fiber Holdings, Inc./CSL Capital LLC, 7.13%, 12/15/24 (c)(i)			179		181,685
Wind Acquisition Finance SA, 4.00%, 7/15/20	EUR		100		110,509

					21,085,434
Total Corporate Bonds — 65.8%					481,878,979



Floating Rate Loan Interests (b)
Air Freight & Logistics — 0.0%
CEVA Group PLC, Synthetic LOC, 4.90%, 3/19/21	USD		29		24,637
CEVA Intercompany BV, Dutch Term Loan, 7.00%, 3/19/21			30		26,217
CEVA Logistics Canada ULC, Canadian Term Loan, 6.50%, 3/19/21			5		3,961
CEVA Logistics US Holdings, Inc., Term Loan, 3.99%, 3/19/21			43		37,337

					92,152
Auto Components — 0.0%
USI, Inc., 2017 Term Loan B, 4.00%, 3/30/24			104		103,545
Chemicals — 0.0%
Alpha 3 B.V., 2017 Term Loan B1, 4.25%, 1/31/24			142		142,710
MacDermid, Inc., Term Loan B5, 4.15%, 6/07/20			107		107,930

					250,640
Commercial Services & Supplies — 0.1%
Advanced Disposal Services, Inc., Term Loan B3, 3.70%, 11/10/23			285		287,041
Brand Energy & Infrastructure Services, Inc., Term Loan B, 3.74%, 11/26/20			207		207,311

					494,352


Floating Rate Loan Interests (b)		Par (000)		Value
Diversified Consumer Services — 0.0%
Laureate Education, Inc., 2017 Term Loan B, 4.03%, 4/19/24	USD		145	$	144,698
Diversified Financial Services — 4.0%
Aviron Capital LLC, Term Loan, 4.65%, 10/31/17			32,551		28,319,468
Lone Star LSPT Future Funding, Mezzanine Term Loan, 4.15%, 9/09/20			1,176		1,153,581

					29,473,049
Energy Equipment & Services — 0.0%
Weatherford International Ltd., Term Loan, 4.74%, 7/13/20			290		284,296
Food & Staples Retailing — 0.0%
BJ’s Wholesale Club, Inc., 2017 1st Lien Term Loan, 6.65%, 2/03/24			231		229,942
Food Products — 0.0%
Chobani LLC, 1st Lien Term Loan, 6.67%, 10/07/23			71		72,065
Health Care Equipment & Supplies — 0.1%
DJO Finance LLC, 2015 Term Loan, 3.49%, 6/08/20			412		401,915
Immucor, Inc., Refinancing Term Loan B2, 4.05%, 8/17/18			458		456,087
Ortho-Clinical Diagnostics, Inc., Term Loan B, 4.41%, 6/30/21			40		39,682

					897,684
Health Care Providers & Services — 0.1%
Iasis Healthcare LLC, Term Loan B3, 1.00%, 2/16/21			79		79,000
inVentiv Health, Inc., 2016 Term Loan B, 4.25%, 11/09/23			143		143,576
Team Health Holdings, Inc., 1st Lien Term Loan, 3.89%, 2/06/24			274		271,433
Vizient, Inc., 2016 Term Loan B, 4.77%, 2/13/23			113		113,538

					607,547
Hotels, Restaurants & Leisure — 3.1%
Amaya Holdings BV, Repriced Term Loan B, 4.39%, 8/01/21			131		131,188
Caesars Entertainment Resort Properties LLC, Term Loan B, 4.75%, 10/11/20			3,306		3,312,049
Hilton Ft. Lauderdale, Mezzanine Term Loan 5, 3.49%, 8/04/19			6,500		6,305,000
Hilton Los Cabos, B-Note, 3.75%, 9/18/18			5,375		5,294,375
Hilton Orlando, Mezzanine A3, 3.80%, 7/09/19			7,250		7,250,000

					22,292,612
Industrial Conglomerates — 0.1%
Cortes NP Acquisition Corp., 2017 Term Loan B, 3.75%, 11/30/23			672		676,315
Sequa Corp., 1st Lien Term Loan, 7.74%, 11/26/21			203		205,030
Sequa Corporation, 2nd Lien Term Loan, 5.00%, 4/13/22			73		74,186

					955,531
Insurance — 0.1%
Alliant Holdings I, Inc., 2015 Term Loan B, 4.25%, 8/12/22			136		135,952
Sedgwick Claims Management Services, Inc., 1st Lien Term Loan, 7.16%, 3/01/21			470		469,817

					605,769

See Notes to Financial Statements.



52	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Floating Rate Loan Interests (b)		Par (000)		Value
IT Services — 0.0%
NeuStar, Inc.:
Term Loan B1, 4.03%, 8/28/19	USD		55	$	55,928
Term Loan B2, 3.73%, 2/28/24			150		151,938
Optiv Security, Inc., 1st Lien Term Loan, 4.40%, 2/01/24			79		79,040

					286,906
Machinery — 0.2%
Gates Global LLC, 2017 Term Loan B, 5.25%, 4/01/24			331		332,317
Silver II US Holdings LLC, Term Loan, 5.25%, 12/13/19			982		977,037

					1,309,354
Media — 0.4%
CSC Holdings LLC, 2017 1st Lien Term Loan, 3.75%, 7/15/25			65		65,118
iHeartCommunications, Inc., Term Loan D, 3.75%, 1/30/19			1,169		994,687
Intelsat Jackson Holdings SA, Term Loan B2, 5.00%, 6/30/19			1,579		1,557,008
Ziggo Secured Finance Partnership, Term Loan E, 4.74%, 4/15/25			263		263,013

					2,879,826
Multiline Retail — 0.0%
Neiman Marcus Group, Inc., 2020 Term Loan, 4.00%, 10/25/20			329		261,859
Oil, Gas & Consumable Fuels — 0.5%
California Resources Corp.:
Second Out Term Loan, 8.50%, 12/31/21			734		806,435
Term Loan A, 5.00%, 10/01/19			535		517,173
Chesapeake Energy Corp., Term Loan, 6.67%, 8/23/21			2,076		2,241,054

					3,564,662
Professional Services — 0.1%
Advantage Sales & Marketing, Inc., 2014 1st Lien Term Loan, 4.25%, 7/23/21			297		289,655
Information Resources, Inc., 1st Lien Term Loan, 5.04%, 1/18/24			86		86,833

					376,488
Software — 0.6%
BMC Software Finance, Inc., 2017 Term Loan, 8.125%, 9/13/22			565		567,774
CCC Information Services, Inc.:
2017 1st Lien Term Loan, 4.93%, 3/29/24			133		132,705
2017 2nd Lien Term Loan, 4.91%, 3/29/25			40		40,750
Kronos, Inc., 2nd Lien Term Loan, 4.15%, 11/01/24			624		648,752
MA FinanceCo., LLC, Term Loan B3, 4.15%, 4/18/24			22		22,269
Misys Europe SA:
1st Lien Term Loan, 4.73%, 4/27/24			398		400,738
2nd Lien Term Loan, 8.25%, 4/27/25			88		89,760
Project Alpha Intermediate Holding, Inc., 2017 Term Loan B, 6.91%, 4/18/24			195		194,025
Seattle Spinco, Inc., Term Loan B3, 9.16%, 4/30/24			150		150,389
Tempo Acquisition LLC, Term Loan, 4.80%, 3/15/24			270		269,798
Tibco Software, Inc., 2017 Term Loan B, 4.00%, 12/04/20			71		71,304


Floating Rate Loan Interests (b)		Par (000)		Value
Software (continued)
Veritas US, Inc., Term Loan B1, 9.28%, 1/27/23	USD		1,461	$	1,452,264

					4,040,528
Textiles, Apparel & Luxury Goods — 0.1%
Ascend Performance Materials Operations LLC, Term Loan B, 4.15%, 8/12/22			311		312,583
Total Floating Rate Loan Interests — 9.5%					69,536,088



Foreign Agency Obligations
Argentina Bonar Bonds, 9.00%, 11/29/18			144		158,207
Argentine Bonos del Tesoro:
22.75%, 3/05/18	ARS		9,149		605,996
21.20%, 9/19/18			18,297		1,219,745
18.20%, 10/03/21			176		12,413
16.00%, 10/17/23			1,975		142,226
Argentine Republic Government International Bond:
6.25%, 4/22/19 (d)	USD		6,334		6,720,374
5.83%, 12/31/33 (b)	ARS		54		26,629
7.82%, 12/31/33	EUR		347		404,263
7.63%, 4/22/46 (d)	USD		2,767		2,945,471
Banque Centrale de Tunisie International Bond, 4.50%, 6/22/20	EUR		644		730,622
Brazil Notas do Tesouro Nacional, Serie B, 6.00%, 5/15/21	BRL		1,400		1,378,930
Colombia Government International Bond:
11.75%, 2/25/20	USD		43		53,901
4.38%, 7/12/21 (d)			2,638		2,801,556
Cyprus Government International Bond, 4.63%, 2/03/20 (c)	EUR		2,950		3,513,248
Egypt Government International Bond:
5.75%, 4/29/20	USD		2,135		2,219,546
8.50%, 1/31/47			302		328,652
8.50%, 1/31/47 (c)			426		463,594
Iceland Government International Bond, 5.88%, 5/11/22			3,415		3,929,600
Indonesia Government International Bond, 5.88%, 3/13/20			1,319		1,439,913
KSA Sukuk Ltd. (c):
2.89%, 4/20/22			722		721,975
3.63%, 4/20/27			722		725,278
Kuwait International Government Bond, 2.75%, 3/20/22 (c)			1,667		1,682,003
Lebanon Government International Bond, 6.85%, 3/23/27			720		738,000
Mexican Udibonos, 3.50%, 12/14/17	MXN		1,694		90,010
Portugal Government International Bond, 5.13%, 10/15/24 (c)	USD		3,680		3,592,232
Republic of Argentina:
6.88%, 4/22/21			150		164,100
3.88%, 1/15/22	EUR		172		188,051
5.63%, 1/26/22 (d)	USD		5,314		5,534,531
7.50%, 4/22/26 (d)			3,437		3,765,233
Russian Federal Bond — OFZ:
7.50%, 8/18/21	RUB		292,886		5,119,063
7.40%, 12/07/22			67,975		1,180,753
7.75%, 9/16/26			90,961		1,614,583
8.15%, 2/03/27			185,476		3,411,035
7.05%, 1/19/28			126,884		2,144,391
Slovenia Government International Bond, 5.85%, 5/10/23 (c)	USD		766		889,779
South Africa Government International Bond, 5.50%, 3/09/20			682		723,880

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	53


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Foreign Agency Obligations		Par (000)		Value
Sri Lanka Government International Bond, 5.88%, 7/25/22	USD		3,000	$	3,105,120
Turkey Government Bond, 8.80%, 9/27/23	TRY		2,830		741,770
Turkey Government International Bond:
7.00%, 6/05/20 (d)	USD		3,661		4,028,198
7.38%, 2/05/25			427		495,367
6.00%, 3/25/27			374		400,180
Total Foreign Agency Obligations — 9.6%					70,150,418



Investment Companies — 0.1%		Shares
Real Estate Investment Trusts (REITs) — 0.1%
iShares MSCI Emerging Markets ETF (k)			13,000		520,780



Non-Agency Mortgage-Backed Securities		Par (000)
Collateralized Mortgage Obligations — 21.9%
American Home Mortgage Assets Trust, Series 2006-5, Class A1, 1.58%, 11/25/46 (b)	USD		6,102		3,146,505
CHL Mortgage Pass-Through Trust:
Series 2006-3, Class 1A1, 1.23%, 3/25/36 (b)			12,211		9,826,022
Series 2007-J2, Class 2A1, 1.64%, 7/25/37 (b)			4,853		2,522,226
Series 2007-J2, Class 2A8, 6.00%, 7/25/37			2,680		2,008,338
Citigroup Mortgage Loan Trust, Series 2006-AR7, Class 2A3A, 3.20%, 11/25/36 (b)			6,920		6,255,851
Countrywide Alternative Loan Trust:
Series 2005-61, Class 2A1, 1.27%, 12/25/35 (b)			3,551		3,156,202
Series 2005-9CB, Class 1A3, 1.44%, 5/25/35 (b)			4,090		3,311,507
Series 2006-40T1, Class 2A5, 1.39%, 12/25/36 (b)			2,810		788,735
Series 2006-7CB, Class 2A1, 6.50%, 5/25/36 (i)			3,204		2,196,854
Series 2006-J7, Class 2A1, 2.09%, 11/20/46 (b)			7,165		4,308,207
Series 2006-J8, Class A5, 6.00%, 2/25/37			2,136		1,445,430
Series 2006-OA14, Class 3A1, 1.51%, 11/25/46 (b)			10,838		9,182,096
Series 2006-OA16, Class A2, 1.18%, 10/25/46 (b)			7,256		6,326,475
Series 2006-OA18, Class A1, 1.11%, 12/25/46 (b)			4,447		3,948,655
Series 2006-OA22, Class A1, 1.15%, 2/25/47 (b)			4,069		3,723,971
Series 2006-OA6, Class 1A1A, 1.20%, 7/25/46 (b)			8,028		6,491,149
Series 2006-OA8, Class 1A1, 1.18%, 7/25/46 (b)			3,262		2,825,752
Series 2007-12T1, Class A22, 5.75%, 6/25/37 (d)			5,892		4,579,781
Series 2007-12T1, Class A5, 6.00%, 6/25/37			2,859		2,278,379
Series 2007-22, Class 2A16, 6.50%, 9/25/37			10,427		7,290,996
Series 2007-23CB, Class A1, 6.00%, 9/25/37			8,329		7,052,720


Non-Agency Mortgage-Backed Securities		Par (000)		Value
Collateralized Mortgage Obligations (continued)
Countrywide Alternative Loan Trust (continued):
Series 2007-4CB, Class 1A3, 1.34%, 4/25/37 (b)	USD		5,117	$	3,873,192
Series 2007-OA2, Class 1A1, 1.50%, 3/25/47 (b)			5,344		3,747,943
Countrywide Home Loan Mortgage Pass-Through Trust, Series 2006-OA5, Class 3A1, 1.19%, 4/25/46 (b)			9,792		8,535,371
Fannie Mae, Class 2M2 (b):
Series 2016-C06, Class 1M2, 5.24%, 4/25/29			545		592,741
Series 2016-C07, 5.34%, 4/25/29			3,455		3,712,771
Fannie Mae Connecticut Avenue Securities (b):
Series 2014-C02, Class 1M2, 3.59%, 5/25/24			7,872		8,204,447
Series 2014-C03, Class 1M2, 3.99%, 7/25/24			5,950		6,258,347
Series 2017-C02, 4.64%, 9/25/29			3,000		3,103,327
Freddie Mac, Series 2017-DNA2, Class M2, 4.44%, 10/25/29 (b)			3,000		3,074,179
Freddie Mac Mortgage-Backed Securities, Series 4480, Class ZX, 4.00%, 11/15/44 (d)			4,842		5,091,264
Morgan Stanley Re-REMIC Trust, Series 2010-R5, Class 7B, 1.44%, 5/26/37 (c)(e)			14,760		10,184,601
Nomura Asset Acceptance Corp. Alternative Loan Trust, Series 2006-AF1, Class 1A2, 6.16%, 5/25/36 (b)			8,806		3,924,743
Residential Asset Securitization Trust, Series 2006-A8, Class 2A5, 1.59%, 8/25/36 (b)			7,452		2,364,668
WaMu Mortgage Pass-Through Certificates, Series 2007-OA4, Class 1A, 1.43%, 5/25/47 (b)			5,262		4,681,695

					160,015,140
Commercial Mortgage-Backed Securities — 5.2%
Bank of America Merrill Lynch Commercial Mortgage Securities Trust, Series 2013-DSMZ, Class M, 6.60%, 9/15/18 (b)(c)			7,500		7,593,750
CDGJ Commercial Mortgage Trust, Series 2014-BXCH, Class EPA, 5.24%, 12/15/27 (b)(c)			4,446		4,475,208
CG-CCRE Commercial Mortgage Trust, Series 2014-FL1, Class E, 5.56%, 6/15/31 (b)(c)			1,931		1,928,357
Commercial Mortgage Pass-Through Certificates (b)(c):
Series 2014-FL5, Class HFL1, 4.24%, 7/15/31			6,057		5,858,197
Series 2014-PAT, Class E, 4.06%, 8/13/27			1,000		1,004,386
Series 2014-PAT, Class F, 3.35%, 8/13/27			3,000		2,932,274
Series 2014-PAT, Class G, 2.51%, 8/13/27			2,000		1,871,800
Credit Suisse First Boston Mortgage Securities Corp., Series 2005-C3, Class B, 4.88%, 7/15/37			792		791,322
GAHR Commercial Mortgage Trust, Series 2015-NRF, Class GFX, 3.49%, 12/15/34 (b)(c)			2,500		2,416,798

See Notes to Financial Statements.



54	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Non-Agency Mortgage-Backed Securities		Par (000)		Value
Commercial Mortgage-Backed Securities (continued)
Great Wolf Trust (b)(c):
Series 2015-WFMZ, Class M, 7.98%, 5/15/32	USD		3,300	$	3,381,696
Series 2015-WOLF, Class F, 5.99%, 5/15/34			1,080		1,065,090
Madison Avenue Trust, Series 2013-650M, Class E, 4.17%, 10/12/32 (b)(c)			5,000		4,961,076

					38,279,954
Total Non-Agency Mortgage-Backed Securities — 27.1%					198,295,094



Preferred Securities

Capital Trusts
Banks — 4.3%
Allied Irish Banks PLC, 7.38% (b)(h)			200		234,744
Banco Bilbao Vizcaya Argentaria SA, 8.88% (b)(h)			200		247,492
Banco Santander SA, 6.25%, 8/11/26 (b)			200		220,304
Bank of Ireland, 7.38% (b)(h)			200		237,561
BNP Paribas SA, 7.20% (b)(c)(d)(h)			4,000		4,450,000
Capital One Financial Corp., Series E, 5.55% (b)(d)(h)			3,500		3,640,000
Citigroup, Inc. (b)(d)(h):
5.90%			2,250		2,362,500
Series P, 5.95%			3,700		3,887,313
Series R, 6.13%			1,170		1,246,694
Cooperatieve Rabobank UA, 6.63% (b)(h)			200		241,297
Fifth Third Bancorp, Series J, 4.90% (b)(d)(h)			3,000		3,000,000
Intesa Sanpaolo SpA, 7.00% (b)(h)			234		262,862
RZB Finance Jersey IV Ltd., 1.62% (b)(h)			100		104,028
U.S. Bancorp, Series J, 5.30% (b)(d)(h)			524		541,685
Wells Fargo & Co. (b)(d)(h):
Series S, 5.90%			9,010		9,573,125
Series U, 5.88%			770		835,450

					31,085,055
Capital Markets — 1.1%
Goldman Sachs Group, Inc., Series L, 5.70% (b)(d)(h)			967		998,427
Morgan Stanley, Series H, 5.45% (b)(d)(h)			5,007		5,125,916
State Street Corp., Series F, 5.25% (b)(d)(h)			1,875		1,968,750
UBS Group AG, 5.75% (b)(h)			200		237,995

					8,331,088
Chemicals — 0.0%
Lanxess AG, 4.50%, 12/6/76 (b)			50		59,094
Solvay Finance SA, 5.12% (b)(h)			100		120,269

					179,363
Diversified Financial Services — 5.6%
Bank of America Corp. (b)(d)(h):
Series AA, 6.10%			2,865		3,069,131
Series U, 5.20%			1,750		1,756,650
Series V, 5.13%			705		708,525
Series X, 6.25%			6,175		6,623,367
Bank of New York Mellon Corp., Series D, 4.50% (b)(d)(h)			6,067		5,875,889
Barclays PLC, 7.25% (b)(h)			200		270,175
HBOS Capital Funding LP, 6.85% (h)			100		101,606
JPMorgan Chase & Co. (b)(d)(h):
Series Q, 5.15%			5,500		5,555,000
Series V, 5.00%			3,830		3,900,510
Macquarie Bank Ltd., 10.25%, 6/20/57 (b)			10,000		10,093,280


Capital Trusts		Par (000)		Value
Diversified Financial Services (continued)
Royal Bank of Scotland Group PLC, 8.63% (b)(h)	USD		200	$	215,900
Societe Generale SA, 6.00% (b)(c)(d)(h)			3,000		2,953,488

					41,123,521
Diversified Telecommunication Services — 0.1%
Telefonica Europe BV (b)(h):
3.75%			100		111,969
4.20%			300		344,986

					456,955
Electric Utilities — 1.1%
Electricite de France SA, 5.25% (b)(c)(d)(h)			7,500		7,500,000
Enel SpA (b):
6.50%, 1/10/74			102		120,164
7.75%, 9/10/75			100		145,062
Gas Natural Fenosa Finance BV, 4.13% (b)(h)			100		114,649

					7,879,875
Industrial Conglomerates — 0.9%
General Electric Co., Series D, 5.00% (b)(d)(h)			5,921		6,245,175
Insurance — 1.3%
Allstate Corp., 5.75%, 8/15/53 (b)(d)			2,000		2,175,000
Prudential Financial, Inc., 5.63%, 6/15/43 (b)(d)			6,000		6,547,500
Voya Financial, Inc., 5.65%, 5/15/53 (b)(d)			1,090		1,125,425

					9,847,925
Oil, Gas & Consumable Fuels — 0.0%
TOTAL SA, 3.88% (b)(h)			100		116,737
Total Capital Trusts — 14.4%					105,265,694

Preferred Stocks		Shares
Banks — 0.3%
Citigroup, Inc., Series K, 6.88% (b)(h)			75,000		2,208,750
Capital Markets — 2.3%
Goldman Sachs Group, Inc., Series J, 5.50% (b)(h)			395,017		10,649,659
Morgan Stanley (b)(h):
Series F, 6.88%			100,000		2,900,000
Series K, 5.85%			89,329		2,356,499
SCE Trust III, 5.75% (b)(h)			23,730		671,559

					16,577,717
Real Estate Investment Trusts (REITs) — 1.9%
Firstar Realty LLC, 8.88% (c)(h)			10,000		12,300,000
SunTrust Real Estate Investment Corp., 9.00% (c)(h)			15		1,708,511

					14,008,511
Total Preferred Stocks — 4.5%					32,794,978
Total Preferred Securities — 18.9%					138,060,672



Warrants — 0.0%
Diversified Financial Services — 0.0%
Aviron Capital LLC (Expires 10/20/17) (K)			38,421,624		—
Total Long-Term Investments (Cost — $1,150,706,098) — 160.2%					1,172,327,760

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	55


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Short-Term Securities	Shares		Value
BlackRock Liquidity Funds, T-Fund, Institutional Class, 0.64% (l)(m)		2,417,747	$	2,417,747
Total Short-Term Securities (Cost — $2,417,747) — 0.3%				2,417,747
Options Purchased (Cost — $177,780) — 0.0%				188,630
Total Investments Before Options Written (Cost — $1,153,301,625) — 160.5%				1,174,934,137
Options Written (Premiums Received — $132,112) — (0.0)%				(78,302	)
Total Investments, Net of Options Written (Cost — $1,153,169,513) — 160.5%				1,174,855,835
Liabilities in Excess of Other Assets — (60.5)%				(442,858,528	)

Net Assets — 100.0%			$	731,997,307

Notes to Schedule of Investments

(a)

Restricted security as to resale, excluding 144A securities. As of period end, the Trust held restricted securities with a current value of $0 and an original cost of $8,635, which was less than 0.05% of its net assets.

(b)

Variable rate security. Rate as of period end.

(c)

(d)

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

(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)

Amount is less than $500.

(g)

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

(h)

Perpetual security with no stated maturity date.

(i)

When-issued security.

(j)

Convertible security.

(k)

All or a portion of the security is held by a wholly owned subsidiary. See Note 1 of the Notes to Financial Statements for details on the wholly owned subsidiary

(l)


Affiliate	Shares Held at October 31, 2016		Net Activity			Shares Held at April 30, 2017		Value at April 30, 2017		Income		Net Realized Gain¹		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, T-Fund, Institutional Class		6,322,410		(3,904,663	)		2,417,747	$	2,417,747	$	7,900	$	35		—
iShares MSCI Emerging Markets ETF		—		13,000			13,000		520,780		—		—	$	1,764
Total								$	2,938,527	$	7,900	$	35	$	1,764

¹ Includes net capital gain distributions.

(m)

Current yield as of period end.

Reverse Repurchase Agreements

Counterparty

Interest
Rate

Trade
Date

Maturity
Date¹

Face Value

Face Value
Including
Accrued
Interest

Type of
Non-Cash
Underlying
Collateral

Remaining
Contractual
Maturity of
the Agreements¹

RBC Capital Markets, LLC

1.70

10/04/16

Open

105,210

105,932

Corporate Bonds

Open/Demand

RBC Capital Markets, LLC

1.70

10/11/16

Open

43,593

43,838

Corporate Bonds

Open/Demand

RBC Capital Markets, LLC

1.70

10/13/16

Open

172,480

173,635

Corporate Bonds

Open/Demand

RBC Capital Markets, LLC

0.64

10/19/16

Open

515,000

516,776

Corporate Bonds

Open/Demand

See Notes to Financial Statements.



56	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		0.64	%		10/19/16		Open	$	1,473,750	$	1,478,833	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		511,250		513,013	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		955,000		958,294	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		623,750		625,901	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		609,000		611,100	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		1,462,500		1,467,544	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		1,503,750		1,508,936	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		1,072,500		1,076,199	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		1,087,500		1,091,251	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		1,080,000		1,083,725	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		992,500		995,923	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/19/16		Open		513,750		515,522	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.05	%		10/19/16		Open		436,838		439,309	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.05	%		10/19/16		Open		415,188		417,537	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.05	%		10/19/16		Open		605,625		609,052	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.05	%		10/19/16		Open		1,461,250		1,469,518	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.05	%		10/19/16		Open		387,500		389,693	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		304,500		305,539	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		947,250		950,483	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		465,750		467,340	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		375,000		376,280	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		817,500		820,290	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		756,000		758,580	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		252,500		253,362	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		793,125		795,832	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		415,000		416,417	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		1,010,000		1,013,447	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		543,750		545,606	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		450,000		451,536	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		783,750		786,425	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		376,500		377,785	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		1,275,000		1,279,352	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		745,938		748,484	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		716,250		718,695	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		759,375		761,967	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		950,625		953,870	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		982,500		985,854	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		1,234,375		1,238,588	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		1,022,500		1,025,990	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		536,250		538,080	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		751,875		754,441	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		503,750		505,469	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		860,625		863,563	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		473,625		475,242	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		791,250		793,951	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		420,000		421,434	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		537,500		539,335	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		930,000		933,174	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		755,625		758,204	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		263,900		264,801	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/20/16		Open		1,030,000		1,033,516	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		10/20/16		Open		990,000		994,617	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		10/20/16		Open		249,120		250,795	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.64	%		10/25/16		Open		446,000		447,475	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		10/25/16		Open		480,700		483,059	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		10/25/16		Open		399,840		401,803	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		10/25/16		Open		364,000		365,787	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		10/25/16		Open		344,715		346,407	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		10/25/16		Open		423,300		425,378	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.00	%		10/25/16		Open		435,000		437,248	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.00	%		10/25/16		Open		394,050		396,086	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.00	%		10/28/16		Open		132,525		133,191	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		11/04/16		Open		358,620		360,760	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	57


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.70	%		11/07/16		Open	$	770,800	$	775,379	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.90	%		11/10/16		Open		528,885		531,093	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		0.95	%		11/10/16		Open		411,750		413,565	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.00	%		11/10/16		Open		871,080		875,121	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.00	%		11/10/16		Open		86,625		87,027	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		11/14/16		Open		336,000		337,934	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		11/18/16		Open		183,888		184,935	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		11/22/16		Open		271,700		272,798	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		12/07/16		Open		2,774,638		2,788,052	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		12/07/16		Open		744,625		748,778	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		12/12/16		Open		312,960		314,538	Corporate Bonds	Open/Demand
HSBC Securities (USA), Inc.		1.00	%		12/15/16		Open		2,753,000		2,763,400	Capital Trusts	Open/Demand
HSBC Securities (USA), Inc.		1.00	%		12/15/16		Open		3,406,000		3,418,867	Corporate Bonds	Open/Demand
HSBC Securities (USA), Inc.		1.30	%		12/15/16		Open		1,203,000		1,208,908	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.00	%		12/19/16		Open		802,424		805,344	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.55	%		12/19/16		Open		532,988		535,994	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		12/19/16		Open		496,600		498,494	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		316,725		318,351	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		276,920		278,342	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		817,225		821,420	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		208,250		209,319	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		187,790		188,754	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		1,293,750		1,300,391	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		319,800		321,442	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		426,720		428,911	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		82,250		82,672	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		47,450		47,694	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		445,050		447,335	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		126,325		126,973	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		432,450		434,670	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		242,875		244,122	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		258,000		259,324	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		58,500		58,800	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		195,383		196,385	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		306,175		307,747	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/19/16		Open		345,425		347,198	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		442,900		445,156	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		335,325		337,033	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		408,250		410,330	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		454,005		456,318	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		645,150		648,437	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		443,625		445,885	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		482,885		485,345	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		439,450		441,689	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		927,200		931,924	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		432,820		435,025	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/20/16		Open		1,519,560		1,527,301	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		12/21/16		Open		518,475		520,422	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		12/21/16		Open		1,216,000		1,220,567	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		12/21/16		Open		2,187,000		2,195,213	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		12/21/16		Open		1,405,920		1,411,200	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.15	%		12/21/16		Open		481,000		482,997	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		607,050		610,119	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		460,350		462,677	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		930,315		935,018	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		694,875		698,388	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		930,388		935,091	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		662,025		665,372	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		386,100		388,052	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		593,175		596,174	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		736,000		739,721	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



58	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.40	%		12/21/16		Open	$	638,400	$	641,627	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		232,313		233,487	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		106,600		107,139	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		351,750		353,528	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		12/21/16		Open		312,375		313,954	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		463,750		465,250	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		382,193		383,429	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		440,000		441,424	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		267,000		267,864	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		357,825		358,983	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		353,350		354,493	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		729,375		731,735	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		290,625		291,565	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		300,800		301,773	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		442,500		443,932	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		287,250		288,179	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		482,500		484,061	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		508,750		510,396	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		503,750		505,380	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		240,625		241,404	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		644,000		646,084	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		411,000		412,330	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		1,017,500		1,020,792	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.04	%		1/06/17		Open		253,125		253,944	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		1/09/17		Open		764,660		768,122	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		1/17/17		Open		502,848		505,007	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		537,600		539,753	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		693,504		696,282	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		687,608		690,362	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		1,288,064		1,293,223	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		819,400		822,682	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		653,808		656,427	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/18/17		Open		1,575,040		1,581,349	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		1/18/17		Open		736,800		739,878	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		403,760		405,346	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		2,396,192		2,405,604	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		888,216		891,705	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		358,904		360,314	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		475,992		477,862	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/20/17		Open		434,248		435,954	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		1/23/17		Open		238,850		239,811	Corporate Bonds	Open/Demand
HSBC Securities (USA), Inc.		1.25	%		1/26/17		Open		270,000		270,853	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/30/17		Open		118,990		119,411	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/30/17		Open		107,085		107,464	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/30/17		Open		399,500		400,914	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/30/17		Open		336,550		337,741	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		1/30/17		Open		221,650		222,434	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		389,620		390,938	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		927,350		930,488	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		618,240		620,332	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		487,640		489,290	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		551,475		553,341	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/03/17		Open		123,975		124,375	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		391,050		392,425	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		254,790		255,686	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		574,600		576,621	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		261,525		262,445	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		310,980		312,074	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		442,400		443,956	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/06/17		Open		1,428,430		1,433,342	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/07/17		Open		271,990		272,915	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/08/17		Open		311,040		312,085	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/09/17		Open		163,400		163,956	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	59


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.70	%		2/09/17		Open	$	262,550	$	263,443	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		2/10/17		Open		585,000		586,431	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/13/17		Open		99,704		100,020	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		405,450		406,633	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		1,578,450		1,583,054	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		258,570		259,324	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		397,100		398,258	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		266,710		267,488	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		852,600		855,087	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		212,940		213,561	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/15/17		Open		569,600		571,261	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/16/17		Open		202,364		202,997	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/17/17		Open		137,535		137,933	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/23/17		Open		1,422,080		1,425,564	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/23/17		Open		444,150		445,238	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		504,000		505,294	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		925,100		927,474	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		466,200		467,397	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		251,875		252,521	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		860,655		862,864	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		262,960		263,635	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		267,090		267,776	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		273,075		273,776	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		255,200		255,855	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		340,200		341,073	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		331,470		332,321	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		256,000		256,657	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		308,000		308,791	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		741,125		743,027	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		287,550		288,288	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		275,550		276,257	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		264,275		264,953	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		797,400		799,447	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		381,840		382,820	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		334,400		335,258	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		320,460		321,283	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		305,100		305,883	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		269,775		270,467	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		400,200		401,227	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		2/24/17		Open		373,500		374,459	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		2/24/17		Open		136,950		137,314	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		214,650		215,159	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		260,260		260,877	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		127,440		127,742	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		222,600		223,128	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		241,165		241,737	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		149,040		149,394	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/01/17		Open		203,550		204,033	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/02/17		Open		400,000		400,971	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/06/17		Open		711,000		712,546	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/06/17		Open		120,960		121,214	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/06/17		Open		359,640		360,395	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/06/17		Open		597,645		598,900	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/07/17		Open		521,000		522,221	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/07/17		Open		655,200		656,714	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/07/17		Open		423,916		424,929	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/07/17		Open		1,048,381		1,050,885	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/08/17		Open		258,375		258,962	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/09/17		Open		558,740		559,944	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/09/17		Open		209,125		209,576	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		96,990		97,186	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



60	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.40	%		3/10/17		Open	$	172,260	$	172,608	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		102,300		102,507	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		130,380		130,644	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		301,785		302,395	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		293,460		294,053	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		221,610		222,058	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		131,720		131,986	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		122,310		122,557	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		66,040		66,174	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.40	%		3/10/17		Open		66,675		66,810	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.71	%		3/13/17		Open		1,315,000		1,317,780	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		228,000		228,450	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		206,000		206,407	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		167,000		167,330	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		193,000		193,381	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		121,000		121,239	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		202,000		202,399	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		162,000		162,320	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		179,000		179,353	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		231,000		231,456	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		299,000		299,590	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		140,000		140,276	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		189,000		189,373	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		212,000		212,418	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		272,000		272,537	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		220,000		220,434	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.45	%		3/13/17		Open		237,000		237,468	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/13/17		Open		439,000		439,923	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/15/17		Open		125,000		125,266	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.30	%		3/16/17		Open		2,535,000		2,539,119	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.30	%		3/16/17		Open		2,413,000		2,416,921	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.30	%		3/16/17		Open		1,924,000		1,927,127	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.30	%		3/16/17		Open		1,753,000		1,755,849	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,694,000		1,697,600	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		741,000		742,575	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,837,500		1,841,405	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,525,000		2,530,366	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		5,729,000		5,741,174	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		3,224,000		3,230,851	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		706,000		707,500	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,859,000		2,865,075	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,700,000		2,705,738	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		307,000		307,652	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,176,000		1,178,499	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		314,094		314,761	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		4,544,000		4,553,656	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,619,000		2,624,565	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,231,000		2,235,741	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		967,000		969,055	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		130,000		130,276	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		901,000		902,915	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		207,000		207,440	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,242,000		1,244,639	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		152,000		152,323	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		852,000		853,811	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		555,000		556,179	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		665,000		666,413	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		653,000		654,388	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		843,000		844,791	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		768,000		769,632	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		460,000		460,978	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,105,000		1,107,348	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		922,000		923,959	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	61


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open	$	124,000	$	124,263	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		310,000		310,659	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,254,000		1,256,665	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		377,000		377,801	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		71,000		71,151	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,504,000		1,507,196	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,050,000		1,052,231	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		939,000		940,995	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,393,000		1,395,960	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		43,000		43,091	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		823,000		824,749	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,240,000		1,242,635	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,072,000		1,074,278	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		423,000		423,899	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		838,000		839,781	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		127,000		127,270	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		343,000		343,729	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,110,000		1,112,359	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		523,000		524,111	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		714,000		715,517	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		164,000		164,349	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		623,000		624,324	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		540,000		541,148	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		137,000		137,291	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		122,000		122,259	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,472,000		1,475,128	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,153,000		1,155,450	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		533,781		534,916	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		314,000		314,667	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		582,000		583,237	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		170,000		170,361	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		226,000		226,480	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		61,000		61,130	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		151,000		151,321	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		776,000		777,649	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		227,630		228,114	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		727,000		728,545	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		170,000		170,361	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		469,000		469,997	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		136,000		136,289	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,522,000		1,525,234	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		2,015,000		2,019,282	Capital Trusts	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		755,000		756,604	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/16/17		Open		1,852,000		1,855,936	Capital Trusts	Open/Demand
UBS Ltd.		1.50	%		3/16/17		Open		9,387,483		9,405,089	Corporate Bonds	Open/Demand
UBS Ltd.		1.50	%		3/16/17		Open		124,000		124,232	Corporate Bonds	Open/Demand
UBS Ltd.		1.50	%		3/16/17		Open		3,266,000		3,272,124	Corporate Bonds	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		5,250,000		5,258,203	Corporate Bonds	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		5,218,125		5,226,278	Capital Trusts	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		6,984,375		6,995,288	Capital Trusts	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		3,855,000		3,861,023	Corporate Bonds	Open/Demand
UBS Securities LLC		1.25	%		3/16/17		Open		8,525,000		8,538,320	Capital Trusts	Open/Demand
UBS Securities LLC		1.30	%		3/16/17		Open		326,700		327,231	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		2,553,750		2,558,538	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		849,751		851,345	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		1,180,699		1,182,913	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		282,875		283,405	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		775,013		776,466	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		641,331		642,534	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		1,548,500		1,551,403	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		89,378		89,545	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		795,600		797,092	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		214,360		214,762	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



62	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
UBS Securities LLC		1.50	%		3/16/17		Open	$	2,160,874	$	2,164,925	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		419,063		419,848	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		4,148,438		4,156,216	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		4,175,000		4,182,828	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		3,198,125		3,204,121	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		3,700,550		3,707,489	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		3,840,000		3,847,200	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		3,399,375		3,405,749	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		19,415		19,451	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		287,820		288,360	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		662,419		663,661	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		429,721		430,527	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		363,308		363,989	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		137,638		137,896	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		251,213		251,684	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		525,625		526,611	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		1,020,275		1,022,188	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		738,650		740,035	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		1,061,775		1,063,766	Capital Trusts	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		461,645		462,511	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		702,050		703,366	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		850,500		852,095	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		307,495		308,072	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		2,621,250		2,626,165	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/16/17		Open		371,009		371,704	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/17/17		Open		218,000		218,432	Corporate Bonds	Open/Demand
Barclays Bank PLC		1.15	%		3/20/17		Open		1,335,000		1,336,748	Non-Agency Mortgage-Backed Securities	Open/Demand
Barclays Capital, Inc.		1.45	%		3/20/17		Open		4,637,500		4,645,158	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.50	%		3/20/17		Open		6,142,500		6,152,993	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		234,375		234,842	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		916,300		918,126	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		648,560		649,853	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		792,188		793,766	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		2,064,375		2,068,489	Capital Trusts	Open/Demand
Barclays Capital, Inc.		1.75	%		3/20/17		Open		1,009,613		1,011,625	Capital Trusts	Open/Demand
Credit Suisse Securities (USA) LLC		1.75	%		3/20/17		Open		205,639		206,039	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.85	%		3/21/17		Open		1,056,000		1,058,225	Corporate Bonds	Open/Demand
Citigroup Global Markets		0.00	%		3/21/17		Open		353,600		353,600	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/21/17		Open		403,500		404,243	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/21/17		Open		376,622		377,316	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/21/17		Open		3,262,000		3,268,316	Foreign Agency Obligations	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/21/17		Open		2,253,000		2,257,362	Foreign Agency Obligations	Open/Demand
RBC Capital Markets, LLC		1.34	%		3/21/17		Open		2,470,000		2,473,769	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		3/21/17		Open		1,880,000		1,882,869	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/21/17		Open		113,400		113,609	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/21/17		Open		1,949,600		1,953,375	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.36	%		3/22/17		Open		7,490,000		7,501,035	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.71	%		3/22/17		Open		774,000		775,434	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.71	%		3/22/17		Open		177,000		177,328	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.71	%		3/22/17		Open		1,178,000		1,180,182	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.71	%		3/22/17		Open		656,000		657,215	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/22/17		Open		737,070		738,393	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/23/17		Open		62,320		62,423	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/27/17		Open		719,377		720,566	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		3/27/17		Open		230,420		230,737	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/28/17		Open		446,160		446,834	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	63


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.70	%		3/28/17		Open	$	80,580	$	80,702	Corporate Bonds	Open/Demand
Barclays Capital, Inc.		2.00	%		3/29/17		Open		266,833		266,373	Corporate Bonds	Open/Demand
BNP Paribas S.A.		1.98	%		3/30/17		5/03/17		1,073,000		1,074,655	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		1.98	%		3/30/17		5/03/17		824,000		825,271	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		1.98	%		3/30/17		5/03/17		826,000		827,274	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		1.98	%		3/30/17		5/03/17		1,116,000		1,117,721	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		1.98	%		3/30/17		5/03/17		827,000		828,275	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		808,000		809,340	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		805,000		806,335	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		808,000		809,340	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		807,000		808,339	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		1,010,000		1,011,675	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		794,000		795,317	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		808,000		809,340	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		1,413,000		1,415,344	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		1,010,000		1,011,675	Asset-Backed Securities	Up to 30 Days
BNP Paribas S.A.		2.13	%		3/30/17		5/03/17		999,000		1,000,657	Asset-Backed Securities	Up to 30 Days
RBC Capital Markets, LLC		1.70	%		3/30/17		Open		1,585,840		1,587,937	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/31/17		Open		444,000		444,566	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		3/31/17		Open		718,000		718,915	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/31/17		Open		131,175		131,342	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		3/31/17		Open		350,760		351,207	Corporate Bonds	Open/Demand
UBS Securities LLC		1.70	%		3/31/17		Open		368,550		369,020	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/03/17		Open		573,000		573,704	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/03/17		Open		235,450		235,761	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/03/17		Open		148,570		148,766	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/03/17		Open		208,800		209,076	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/03/17		Open		165,750		165,969	Corporate Bonds	Open/Demand
JPMorgan Securities LLC		1.25	%		4/04/17		5/05/17		4,711,000		4,715,253	Non-Agency Mortgage-Backed Securities	Up to 30 Days
JPMorgan Securities LLC		2.14	%		4/04/17		5/05/17		1,702,000		1,704,524	Asset-Backed Securities	Up to 30 Days
JPMorgan Securities LLC		2.29	%		4/04/17		5/05/17		750,000		751,190	Asset-Backed Securities	Up to 30 Days
Barclays Capital, Inc.		2.49	%		4/05/17		5/05/17		5,201,231		5,210,211	Non-Agency Mortgage-Backed Securities	Up to 30 Days
RBC Capital Markets, LLC		1.70	%		4/05/17		Open		577,375		578,029	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/05/17		Open		784,355		785,244	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		(4.00	)%		4/05/17		Open		244,000		243,322	Corporate Bonds	Open/Demand
JPMorgan Securities LLC		2.29	%		4/06/17		5/05/17		2,707,000		2,711,132	Asset-Backed Securities	Up to 30 Days
Deutsche Bank Securities, Inc.		1.70	%		4/06/17		Open		81,000		81,080	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		172,713		172,908	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		484,913		485,462	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		243,285		243,561	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		134,355		134,507	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		937,900		938,963	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		624,160		624,867	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		339,528		339,912	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		335,400		335,780	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		384,100		384,535	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		186,150		186,361	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		210,568		210,806	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		463,400		463,925	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		268,800		269,105	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		440,115		440,614	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		851,468		852,433	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/06/17		Open		121,180		121,317	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		(1.00	)%		4/07/17		Open		730,500		730,094	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/07/17		Open		267,800		268,053	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC	��	1.70	%		4/07/17		Open		90,576		90,662	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



64	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.70	%		4/07/17		Open	$	152,856	$	153,000	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/07/17		Open		416,064		416,457	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		234,215		234,436	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		886,075		886,912	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		751,120		751,829	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		251,250		251,487	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		406,445		406,829	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		287,240		287,511	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		1,558,588		1,560,060	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		201,500		201,690	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		349,872		350,202	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/11/17		Open		333,498		333,813	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		310,000		310,264	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		375,000		375,319	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		233,000		233,198	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		565,000		565,480	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		369,000		369,314	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		980,000		980,648	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/12/17		Open		2,374,000		2,375,569	Corporate Bonds	Open/Demand
UBS Securities LLC		1.50	%		4/12/17		Open		2,952,581		2,954,304	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/13/17		Open		407,888		408,138	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/17/17		Open		112,340		112,404	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/17/17		Open		262,725		262,874	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/17/17		Open		46,480		46,511	Corporate Bonds	Open/Demand
Credit Suisse Securities (USA) LLC		1.75	%		4/18/17		Open		5,470,993		5,474,450	Foreign Agency Obligations	Open/Demand
Credit Suisse Securities (USA) LLC		1.75	%		4/18/17		Open		2,788,266		2,790,028	Foreign Agency Obligations	Open/Demand
Credit Suisse Securities (USA) LLC		1.75	%		4/18/17		Open		2,092,544		2,093,866	Foreign Agency Obligations	Open/Demand
Credit Suisse Securities (USA) LLC		(3.00	)%		4/18/17		Open		60,734		60,673	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/18/17		Open		4,450,475		4,453,207	Foreign Agency Obligations	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/18/17		Open		145,000		145,089	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		(0.50	)%		4/18/17		Open		546,925		546,834	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/19/17		Open		75,000		75,035	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		4/19/17		Open		638,550		638,811	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		4/19/17		Open		329,875		330,010	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.34	%		4/19/17		Open		229,375		229,469	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		135,625		135,695	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		220,275		220,389	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		1,211,925		1,212,555	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		911,588		912,061	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		235,575		235,697	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		754,813		755,205	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		100,625		100,677	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		120,908		120,970	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		370,098		370,290	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		139,888		139,960	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		1,009,260		1,009,784	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		244,140		244,267	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		407,138		407,349	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		389,865		390,068	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		167,960		168,047	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		101,775		101,828	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		95,450		95,500	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/19/17		Open		177,060		177,152	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/20/17		Open		407,000		407,135	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/20/17		Open		133,450		133,494	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/20/17		Open		1,244,250		1,244,661	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/20/17		Open		391,760		391,890	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/20/17		Open		1,128,800		1,129,173	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/21/17		Open		218,195		218,257	Corporate Bonds	Open/Demand
HSBC Securities (USA), Inc.		1.50	%		4/24/17		Open		523,000		523,153	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/24/17		Open		187,920		187,964	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/25/17		Open		501,000		501,095	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/25/17		Open		131,340		131,365	Corporate Bonds	Open/Demand

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	65


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Reverse Repurchase Agreements (continued)
Counterparty	Interest Rate			Trade Date		Maturity Date¹		Face Value		Face Value Including Accrued Interest		Type of Non-Cash Underlying Collateral	Remaining Contractual Maturity of the Agreements¹
RBC Capital Markets, LLC		1.70	%		4/25/17		Open	$	598,260	$	598,373	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/26/17		Open		208,000		208,029	Corporate Bonds	Open/Demand
Deutsche Bank Securities, Inc.		1.70	%		4/26/17		Open		328,000		328,046	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/26/17		Open		477,960		478,028	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/26/17		Open		141,810		141,830	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/27/17		Open		103,840		103,840	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/27/17		Open		521,040		521,040	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/28/17		Open		44,785		44,785	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/28/17		Open		348,150		348,150	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/28/17		Open		2,414,100		2,414,100	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/28/17		Open		399,000		399,000	Corporate Bonds	Open/Demand
RBC Capital Markets, LLC		1.70	%		4/28/17		Open		1,149,270		1,149,270	Corporate Bonds	Open/Demand
Total								$	457,769,210	$	458,813,756

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


Derivative Financial Instruments Outstanding as of Period End


Futures Contracts
Contracts Short			Issue	Expiration	Notional Value		Unrealized Appreciation (Depreciation)
	(32	)	5-Year U.S. Treasury Note	June 2017	USD	3,789,000	$	(13,724	)
	(44	)	10-Year U.S. Treasury Note	June 2017	USD	5,531,625		(31,541	)
	(3	)	10-Year U.S. Ultra Long Treasury Note	June 2017	USD	406,359		(12,613	)
	(5	)	Euro BOBL	June 2017	USD	718,175		2,218
	(6	)	Euro Bund	June 2017	USD	1,057,361		3,404
	(10	)	Long U.S. Treasury Bond	June 2017	USD	1,529,688		(57,514	)
	(1	)	UK Long Gilt Bond	June 2017	USD	166,135		(2,125	)
	(1	)	Ultra U.S. Treasury Bond	June 2017	USD	162,938		(2,500	)
	(78	)	90 Day Euro Future	December 2018	USD	19,138,275		(36,181	)
	(213	)	90-Day Euro-Dollar	March 2019	USD	52,230,263		(202,640	)
	Total						$	(353,216	)


Forward Foreign Currency Exchange Contracts
Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
BRL	818,480	USD	255,903	BNP Paribas S.A.		5/03/17	$	1,963
BRL	4,418,526	USD	1,384,250	Bank of America N.A.		5/03/17		7,828
BRL	4,418,526	USD	1,381,480	Barclays Bank PLC		5/03/17		10,598
BRL	822,900	USD	257,285	UBS AG		5/03/17		1,974
USD	260,000	BRL	818,480	BNP Paribas S.A.		5/03/17		2,134
USD	260,000	BRL	822,900	UBS AG		5/03/17		741
GBP	176,000	USD	227,709	BNP Paribas S.A.		5/04/17		253
GBP	1,958,000	USD	2,533,339	Citibank N.A.		5/04/17		2,734
GBP	10,962,000	USD	14,183,074	Citibank N.A.		5/04/17		15,307
GBP	93,000	USD	120,346	Deutsche Bank AG		5/04/17		111
USD	506,240	MXN	9,525,462	Goldman Sachs International		5/05/17		430
USD	1,012,000	MXN	19,006,309	HSBC Bank PLC		5/05/17		2,750
USD	540,000	KRW	608,482,800	JPMorgan Chase Bank N.A.		5/11/17		5,094
MXN	2,858,356	USD	150,000	BNP Paribas S.A.		5/17/17		1,468
MXN	4,380,327	USD	230,000	Barclays Bank PLC		5/17/17		2,119
MXN	5,520,585	USD	290,000	Goldman Sachs International		5/17/17		2,542
EUR	597,000	USD	636,451	HSBC Bank PLC		5/18/17		14,330
USD	651,891	EUR	597,000	BNP Paribas S.A.		5/18/17		1,110
EUR	690,000	JPY	80,642,777	Deutsche Bank AG		5/22/17		28,353
USD	223,000	ZAR	2,905,425	HSBC Bank PLC		5/23/17		6,340

See Notes to Financial Statements.



66	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Forward Foreign Currency Exchange Contracts (continued)
Currency Purchased		Currency Sold		Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
TRY	3,742,109	USD	1,018,000	Barclays Bank PLC		5/25/17	$	28,634
MXN	12,929,581	USD	678,667	Citibank N.A.		5/30/17		5,020
MXN	6,465,881	USD	339,333	Royal Bank of Scotland PLC		5/30/17		2,568
MYR	1,202,942	USD	277,000	Goldman Sachs International		5/31/17		434
USD	1,337,815	EUR	1,222,000	BNP Paribas S.A.		6/06/17		4,515
USD	4,118,142	EUR	3,760,774	Citibank N.A.		6/06/17		14,836
USD	15,734,171	EUR	14,368,778	Citibank N.A.		6/06/17		56,685
USD	403,205	EUR	369,000	Deutsche Bank AG		6/06/17		597
USD	239,516	RUB	13,650,043	Credit Suisse International		6/16/17		2,064
USD	240,040	RUB	13,681,690	Credit Suisse International		6/16/17		2,037
USD	240,826	RUB	13,734,305	Credit Suisse International		6/16/17		1,908
USD	240,953	RUB	13,734,305	Credit Suisse International		6/16/17		2,035
USD	3,005,514	RUB	172,158,872	Credit Suisse International		6/16/17		10,688
USD	3,487,623	RUB	199,710,000	Deutsche Bank AG		6/16/17		13,525
USD	240,093	RUB	13,681,690	Goldman Sachs International		6/16/17		2,090
USD	240,135	RUB	13,681,690	Goldman Sachs International		6/16/17		2,132
USD	240,597	RUB	13,721,250	Goldman Sachs International		6/16/17		1,906
USD	238,651	RUB	13,598,360	JPMorgan Chase Bank N.A.		6/16/17		2,098
USD	241,175	RUB	13,734,305	Morgan Stanley & Co. International PLC		6/16/17		2,257
EUR	388,000	USD	414,919	Goldman Sachs International		6/19/17		8,724
TRY	15,102,000	USD	3,745,350	Royal Bank of Scotland PLC		6/19/17		448,516
TRY	15,102,000	USD	3,752,423	Royal Bank of Scotland PLC		6/19/17		441,444
TRY	3,113,116	USD	791,819	Citibank N.A.		6/28/17		70,492
TRY	9,948,002	USD	2,568,220	HSBC Bank PLC		6/28/17		187,304
TRY	2,140,001	USD	552,358	Royal Bank of Scotland PLC		6/28/17		40,407
MYR	608,160	USD	140,000	JPMorgan Chase Bank N.A.		7/17/17		145
MYR	1,212,200	USD	275,000	JPMorgan Chase Bank N.A.		7/17/17		4,341
ARS	2,375,825	USD	145,000	BNP Paribas S.A.		7/28/17		3,040
ARS	3,576,230	USD	217,400	Citibank N.A.		7/28/17		5,438

								1,474,059

BRL	1,641,900	USD	520,000	Goldman Sachs International		5/03/17		(2,711	)
USD	1,381,480	BRL	4,418,526	Bank of America N.A.		5/03/17		(10,598	)
USD	1,382,972	BRL	4,418,526	Barclays Bank PLC		5/03/17		(9,106	)
USD	513,350	BRL	1,641,900	Goldman Sachs International		5/03/17		(3,938	)
USD	726,115	TRY	2,668,737	Deutsche Bank AG		5/03/17		(25,015	)
EUR	1,222,000	USD	1,335,768	BNP Paribas S.A.		5/04/17		(4,579	)
EUR	3,760,774	USD	4,111,842	Citibank N.A.		5/04/17		(15,034	)
EUR	14,368,778	USD	15,710,103	Citibank N.A.		5/04/17		(57,439	)
USD	1,310,803	EUR	1,222,000	BNP Paribas S.A.		5/04/17		(20,386	)
USD	159,038	EUR	150,000	Bank of America N.A.		5/04/17		(4,365	)
USD	4,041,159	EUR	3,760,774	Citibank N.A.		5/04/17		(55,650	)
USD	15,440,042	EUR	14,368,778	Citibank N.A.		5/04/17		(212,623	)
USD	64,843	EUR	61,000	Credit Suisse International		5/04/17		(1,608	)
USD	107,450	EUR	100,000	Deutsche Bank AG		5/04/17		(1,485	)
USD	215,312	EUR	200,000	Deutsche Bank AG		5/04/17		(2,559	)
USD	203,336	EUR	190,000	Standard Chartered Bank		5/04/17		(3,641	)
USD	128,295	GBP	100,000	BNP Paribas S.A.		5/04/17		(1,229	)
USD	219,996	GBP	176,000	BNP Paribas S.A.		5/04/17		(7,965	)
USD	2,449,771	GBP	1,958,000	Citibank N.A.		5/04/17		(86,302	)
USD	13,715,216	GBP	10,962,000	Citibank N.A.		5/04/17		(483,165	)
USD	116,414	GBP	93,000	Deutsche Bank AG		5/04/17		(4,043	)
USD	125,300	GBP	100,000	Royal Bank of Scotland PLC		5/04/17		(4,224	)
MXN	28,294,419	USD	1,518,240	HSBC Bank PLC		5/05/17		(15,784	)
KRW	612,198,000	USD	540,000	JPMorgan Chase Bank N.A.		5/11/17		(1,828	)
USD	588,000	TRY	2,113,426	Goldman Sachs International		5/11/17		(5,479	)
JPY	83,591,009	EUR	690,000	BNP Paribas S.A.		5/22/17		(1,886	)
USD	244,266	MXN	5,063,997	Royal Bank of Scotland PLC		5/23/17		(23,816	)
ZAR	2,670,161	USD	203,000	JPMorgan Chase Bank N.A.		5/23/17		(3,884	)
USD	509,000	TRY	1,847,246	BNP Paribas S.A.		5/25/17		(7,658	)
USD	339,333	TRY	1,228,479	Citibank N.A.		5/25/17		(4,261	)
USD	169,667	TRY	614,371	Goldman Sachs International		5/25/17		(2,168	)
JPY	41,384,419	USD	372,000	Morgan Stanley & Co. International PLC		5/26/17		(428	)
KRW	534,390,000	USD	470,000	JPMorgan Chase Bank N.A.		5/26/17		(178	)

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	67


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Forward Foreign Currency Exchange Contracts (continued)
Currency Purchased		Currency Sold			Counterparty	Settlement Date		Unrealized Appreciation (Depreciation)
USD	372,000		JPY	41,432,764	HSBC Bank PLC		5/26/17	$	(6	)
BRL	1,688,713		USD	530,000	Goldman Sachs International		6/02/17		(1,938	)
BRL	1,714,782		USD	538,182	Goldman Sachs International		6/02/17		(1,968	)
BRL	3,004,400		USD	941,818	JPMorgan Chase Bank N.A.		6/02/17		(2,340	)
USD	1,373,194		BRL	4,418,526	Bank of America N.A.		6/02/17		(8,482	)
USD	227,909		GBP	176,000	BNP Paribas S.A.		6/06/17		(256	)
USD	969,146		GBP	748,431	Bank of America N.A.		6/06/17		(1,112	)
USD	2,535,579		GBP	1,958,000	Citibank N.A.		6/06/17		(2,753	)
USD	14,195,615		GBP	10,962,000	Citibank N.A.		6/06/17		(15,415	)
USD	120,452		GBP	93,000	Deutsche Bank AG		6/06/17		(112	)
USD	259,032		GBP	200,000	JPMorgan Chase Bank N.A.		6/06/17		(246	)
USD	1,040,326		GBP	803,403	Royal Bank of Scotland PLC		6/06/17		(1,198	)
USD	114,072		RUB	6,716,807	Credit Suisse International		6/16/17		(2,771	)
USD	252,221		RUB	14,869,157	Credit Suisse International		6/16/17		(6,439	)
USD	483,437		RUB	28,569,680	Credit Suisse International		6/16/17		(13,553	)
USD	484,006		RUB	28,569,680	Credit Suisse International		6/16/17		(12,984	)
USD	967,654		RUB	57,350,424	Credit Suisse International		6/16/17		(29,998	)
USD	978,295		RUB	57,687,635	Credit Suisse International		6/16/17		(25,222	)
USD	12,928		RUB	763,276	Goldman Sachs International		6/16/17		(350	)
USD	94,241		RUB	5,599,800	Goldman Sachs International		6/16/17		(3,172	)
USD	243,320		RUB	14,365,618	Goldman Sachs International		6/16/17		(6,580	)
USD	491,897		RUB	29,104,287	Goldman Sachs International		6/16/17		(14,393	)
USD	522,031		RUB	30,737,172	Goldman Sachs International		6/16/17		(12,664	)
USD	1,030,941		EUR	969,795	Goldman Sachs International		6/19/17		(27,943	)
USD	3,834,649		TRY	15,102,000	Citibank N.A.		6/19/17		(359,217	)
USD	3,828,913		TRY	15,102,000	Royal Bank of Scotland PLC		6/19/17		(364,953	)
USD	220,686		ZAR	3,111,518	Bank of America N.A.		6/21/17		(10,202	)
USD	165,840		ZAR	2,333,639	Citibank N.A.		6/21/17		(7,326	)
USD	553,400		ZAR	7,792,866	Deutsche Bank AG		6/21/17		(24,864	)
USD	277,192		ZAR	3,896,433	Morgan Stanley & Co. International PLC		6/21/17		(11,940	)
ZAR	17,576,040		USD	1,323,976	Deutsche Bank AG		6/21/17		(19,758	)
USD	3,852,944		TRY	15,102,000	Citibank N.A.		6/28/17		(330,201	)
USD	25,847		TRY	99,118	Goldman Sachs International		6/28/17		(1,608	)
USD	362,400		ARS	6,468,840	BNP Paribas S.A.		7/28/17		(40,679	)
USD	171,598		EUR	159,068	Citibank N.A.		2/21/18		(4,497	)
USD	281,504		EUR	261,840	Deutsche Bank AG		2/21/18		(8,364	)
USD	280,894		EUR	261,284	Morgan Stanley & Co. International PLC		2/21/18		(8,358	)

									(2,468,897	)
Total								$	(994,838	)

OTC Barrier Options Purchased

Description

Put/
Call

Type of
Option

Counterparty

Expiration
Date

Barrier
Price/Range

National

Value

USD Currency

Call

Down-and-out

Deutsche Bank AG

5/25/17

BRL

3.01

USD

800,000

1,893

USD Currency

Call

Down-and-out

Deutsche Bank AG

6/01/17

BRL

3.04

USD

800,000

1,921

Total

3,814

OTC Options Purchased

Description

Put/
Call

Counterparty

Expiration
Date

Strike
Price

Notional
Amount
(000)

Value

USD Currency

Call

Citibank N.A.

05/01/17

JPY

112.00

USD

720

275

USD Currency

Call

Goldman Sachs International

05/05/17

TRY

3.80

USD

522

USD Currency

Call

Goldman Sachs International

05/10/17

TRY

4.00

USD

368

—

USD Currency

Call

JPMorgan Chase Bank N.A.

05/10/17

TRY

4.00

USD

735

—

USD Currency

Call

JPMorgan Chase Bank N.A.

05/10/17

TRY

3.80

USD

882

USD Currency

Call

Deutsche Bank AG

05/18/17

RUB

58.00

USD

730

4,621

USD Currency

Call

HSBC Bank PLC

05/18/17

BRL

3.30

USD

520

2,030

USD Currency

Call

JPMorgan Chase Bank N.A.

05/19/17

ZAR

12.80

USD

356

17,586

See Notes to Financial Statements.



68	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)

OTC Options Purchased (continued)

Description

Put/
Call

Counterparty

Expiration
Date

Strike
Price

Notional
Amount
(000)

Value

USD Currency

Call

Morgan Stanley & Co. International PLC

06/15/17

TWD

30.30

USD

1,500

9,325

MXN Currency

Call

Morgan Stanley & Co. International PLC

06/19/17

JPY

5.82

MXN

19,510

26,641

USD Currency

Call

Morgan Stanley & Co. International PLC

07/03/17

MXN

20.00

USD

1,103

9,262

USD Currency

Call

Morgan Stanley & Co. International PLC

07/03/17

MXN

21.50

USD

370

588

USD Currency

Put

Goldman Sachs International

05/10/17

TRY

3.66

USD

368

10,195

USD Currency

Put

JPMorgan Chase Bank N.A.

05/10/17

TRY

3.69

USD

735

26,219

USD Currency

Put

Morgan Stanley & Co. International PLC

05/10/17

TRY

3.69

USD

735

26,015

USD Currency

Put

Morgan Stanley & Co. International PLC

05/18/17

BRL

3.15

USD

520

3,266

EUR Currency

Put

Goldman Sachs International

05/22/17

MXN

20.60

EUR

596

7,747

AUD Currency

Put

Barclays Bank PLC

06/02/17

USD

0.75

AUD

893

7,129

USD Currency

Put

Goldman Sachs International

06/02/17

BRL

3.12

USD

520

2,711

USD Currency

Put

Deutsche Bank AG

06/12/17

TRY

3.69

USD

735

24,512

USD Currency

Put

HSBC Bank PLC

06/29/17

TRY

3.55

USD

580

6,614

Total

184,816

OTC Options Written

Description

Put/
Call

Counterparty

Expiration
Date

Strike
Price

Notional
Amount
(000)

Value

USD Currency

Call

JPMorgan Chase Bank N.A.

05/05/17

TRY

3.80

USD

522

)

USD Currency

Call

Goldman Sachs International

05/10/17

ZAR

3.88

USD

368

)

USD Currency

Call

JPMorgan Chase Bank N.A.

05/10/17

TRY

3.88

USD

735

)

USD Currency

Call

Morgan Stanley & Co. International PLC

05/10/17

TRY

3.88

USD

368

)

USD Currency

Call

Morgan Stanley & Co. International PLC

05/18/17

BRL

3.30

USD

520

(2,011

)

USD Currency

Call

UBS AG

05/19/17

ZAR

12.80

USD

356

(17,604

)

AUD Currency

Call

Barclays Bank PLC

06/02/17

USD

0.77

AUD

893

(800

)

USD Currency

Call

HSBC Bank PLC

06/05/17

ZAR

14.00

USD

367

(3,266

)

USD Currency

Call

Deutsche Bank AG

06/12/17

TRY

3.88

USD

367

(762

)

MXN Currency

Call

Morgan Stanley & Co. International PLC

06/19/17

JPY

6.04

MXN

25,510

(14,678

)

USD Currency

Call

HSBC Bank PLC

06/29/17

TRY

3.80

USD

580

(3,940

)

USD Currency

Call

Goldman Sachs International

07/03/17

MXN

22.60

USD

740

(277

)

USD Currency

Call

Morgan Stanley & Co. International PLC

07/03/17

MXN

19.00

USD

440

(10,587

)

USD Currency

Call

Deutsche Bank AG

07/17/17

ZAR

14.00

USD

367

(7,029

)

USD Currency

Put

HSBC Bank PLC

06/05/17

ZAR

13.20

USD

367

(4,353

)

USD Currency

Put

Morgan Stanley & Co. International PLC

06/15/17

TWD

29.70

USD

1,500

(4,512

)

MXN Currency

Put

Morgan Stanley & Co. International PLC

06/19/17

JPY

5.60

MXN

9,750

(3,860

)

USD Currency

Put

Deutsche Bank AG

07/17/17

ZAR

13.00

USD

367

(4,606

)

Total

(78,302

)


Centrally Cleared Credit Default Swaps — Buy Protection
Issuer / Index	Pay Fixed Rate			Expiration Date		Notional Amount (000)			Unrealized Depreciation
Markit CDX North America High Yield Index, Series 28, Version 1		1.00	%		6/20/22		USD	15,243	$	(26,512	)
Markit iTraxx XO, Series 27, Version 1		5.00	%		6/20/22		EUR	150		(2,840	)
Total									$	(29,352	)

Centrally Cleared Credit Default Swaps — Sell Protection

Issuer / Index

Receive
Fixed Rate

Expiration
Date

Credit
Rating¹

Notional
Amount
(000)²

Unrealized
Appreciation

Chesapeake Energy Corp.

5.00

12/20/21

CCC

USD

520

4,982

¹Using Standard & Poor’s (“S&P’s”) rating of the issuer or the underlying securities of the index, as applicable.

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

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	69


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)

Centrally Cleared Interest Rate Swaps

Fixed
Rate

Floating
Rate

Effective
Date

Expiration
Date

Notional
Amount
(000)

Unrealized
Appreciation
(Depreciation)

7.36

%¹

1-Month MXIBTIIE

N/A

1/28/19

MXN

111,632

(13,711

)

1.50

%¹

3-Month LIBOR

N/A

2/02/19

USD

8,000

4,255

1.62

%¹

3-Month LIBOR

N/A

4/04/19

USD

7,600

(8,582

)

7.32

%²

1-Month MXIBTIIE

N/A

2/20/20

MXN

100,257

14,617

7.35

%²

1-Month MXIBTIIE

N/A

2/20/20

MXN

9,813

1,766

7.16

%²

1-Month MXIBTIIE

N/A

3/20/20

MXN

67,200

5,508

7.17

%²

1-Month MXIBTIIE

N/A

3/20/20

MXN

67,200

4,565

2.01

%¹

3-Month LIBOR

N/A

2/02/22

USD

15,000

(69,495

)

7.45

%²

1-Month MXIBTIIE

N/A

3/07/22

MXN

34,237

14,787

7.47

%²

1-Month MXIBTIIE

N/A

3/07/22

MXN

17,117

8,334

7.48

%²

1-Month MXIBTIIE

N/A

3/07/22

MXN

17,118

8,710

6.32

%²

1-Month MXIBTIIE

N/A

7/17/25

MXN

5,813

20,926

2.13

%²

3-Month LIBOR

N/A

8/25/25

USD

110

(312

)

2.27

%¹

3-Month LIBOR

N/A

9/11/25

USD

(534

)

1.46

%¹

3-Month LIBOR

N/A

6/28/26

USD

1,427

90,322

1.46

%¹

3-Month LIBOR

N/A

6/28/26

USD

357

22,560

2.47

%¹

3-Month LIBOR

N/A

12/29/26

USD

10,000

(209,452

)

2.25

%¹

3-Month LIBOR

N/A

1/19/27

USD

3,400

(2,913

)

2.42

%¹

3-Month LIBOR

N/A

4/04/27

USD

18,300

(286,102

)

2.30

%¹

3-Month LIBOR

4/27/17

5/02/27

USD

3,000

(12,506

)

7.85

%²

1-Month MXIBTIIE

N/A

3/02/37

MXN

13,446

4,056

7.82

%²

1-Month MXIBTIIE

N/A

3/04/37

MXN

13,524

1,484

2.70

%¹

3-Month LIBOR

N/A

4/04/47

USD

13,200

(536,424

)

Total

(938,141

)

¹ The Fund pays a fixed rate and receives the floating rate.

² The Fund pays a floating rate and receives the fixed rate.

³ Forward swap.


OTC Credit Default Swaps — Buy Protection
Issuer/Index	Pay Fixed Rate			Counterparty	Expiration Date		Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Depreciation
United Mexican States		1.00	%	Citibank N.A.		6/20/20		USD	604	$	(7,019	)	$	3,722		$	(10,741	)
United Mexican States		1.00	%	Bank of America N.A.		9/20/20		USD	604		(5,971	)		5,202			(11,173	)
Federation of Russia		1.00	%	Bank of America N.A.		12/20/21		USD	245		3,703			13,454			(9,751	)
Republic of Argentina		5.00	%	Barclays Bank PLC		6/20/22		USD	882		(74,588	)		(41,999	)		(32,589	)
Republic of France		0.25	%	Citibank N.A.		6/20/22		USD	62		215			886			(671	)
Republic of France		0.25	%	Bank of America N.A.		6/20/22		USD	46		159			801			(642	)
Republic of Philippines		1.00	%	JPMorgan Chase Bank N.A.		6/20/22		USD	4,289		(46,622	)		(11,186	)		(35,436	)
Republic of South Africa		1.00	%	HSBC Bank PLC		6/20/22		USD	175		7,558			8,654			(1,096	)
Republic of South Africa		1.00	%	Citibank N.A.		6/20/22		USD	1,373		59,297			69,264			(9,967	)
Republic of South Africa		1.00	%	Bank of America N.A.		6/20/22		USD	590		25,481			29,764			(4,283	)
Republic of South Africa		1.00	%	Goldman Sachs International		6/20/22		USD	364		15,699			18,297			(2,598	)
Total										$	(22,088	)	$	96,859		$	(118,947	)


OTC Credit Default Swaps — Sell Protection
Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date		Credit Rating¹	Notional Amount (000)²		Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Dow Jones CDX North America Investment Grade, Series 9		5.00	%	Bank of America N.A.		12/20/17	BBB+	USD	10,000	$	373,916		$	(112,850	)	$	486,766
United Mexican States		1.00	%	Bank of America N.A.		6/20/20	BBB+	USD	604		7,020			(3,901	)		10,921
United Mexican States		1.00	%	Citibank N.A.		9/20/20	BBB+	USD	604		5,971			(4,933	)		10,904
Hellenic Telecommunications Organization SA		5.00	%	Barclays Bank PLC		12/20/21	B+	EUR	30		3,631			1,878			1,753
GFKL Financial Services AG		5.00	%	Credit Suisse International		6/20/22	NR	EUR	11		(772	)		(751	)		(21	)
International Game Technology		5.00	%	JPMorgan Chase Bank N.A.		6/20/22	BBB-	EUR	30		4,277			3,289			988
Markit CMBX North America, Series 7		3.00	%	Barclays Bank PLC		1/17/47	BBB-	USD	10,000		(804,785	)		(537,567	)		(267,218	)
Markit CMBX North America, Series 7		3.00	%	Barclays Bank PLC		1/17/47	BBB-	USD	5,000		(402,392	)		(268,406	)		(133,986	)

See Notes to Financial Statements.



70	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


OTC Credit Default Swaps — Sell Protection (continued)
Issuer/Index	Receive Fixed Rate			Counterparty	Expiration Date		Credit Rating¹	Notional Amount (000)²		Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
Markit CMBX North America, Series 7		3.00	%	Barclays Bank PLC		1/17/47	BBB-	USD	10,000	$	(804,784	)	$	(260,315	)	$	(544,469	)
Markit CMBX North America, Series 8		2.00	%	Morgan Stanley & Co. International PLC		10/17/57	BBB-	USD	5,000		(267,130	)		(575,947	)		308,817
Markit CMBX North America, Series 8		3.00	%	Deutsche Bank AG		10/17/57	BBB-	USD	10,000		(1,540,469	)		(1,413,658	)		(126,811	)
Markit CMBX North America, Series 8		3.00	%	Goldman Sachs International		10/25/57	BBB-	USD	10,000		(1,541,302	)		(1,100,796	)		(440,506	)
Markit CMBX North America, Series 9		2.00	%	Credit Suisse International		9/17/58	A-	USD	2,500		(102,616	)		(355,682	)		253,066
Markit CMBX North America, Series 9		2.00	%	Morgan Stanley & Co. International PLC		9/17/58	A-	USD	2,500		(102,616	)		(352,247	)		249,631
Markit CMBX North America, Series 9		2.00	%	Morgan Stanley & Co. International PLC		9/17/58	A-	USD	5,000		(205,231	)		(697,934	)		492,703
Markit CMBX North America, Series 9		3.00	%	Morgan Stanley & Co. International PLC		9/17/58	BBB-	USD	2,500		(271,737	)		(569,296	)		297,559
Total										$	(5,649,019	)	$	(6,249,116	)	$	600,097

¹ Using S&P’s rating of the issuer or the underlying securities of the index, as applicable.
² The maximum potential amount the Trust may pay should a negative credit event take place as defined under the terms of the agreement.


OTC Interest Rate Swaps
Fixed Rate			Floating Rate	Counterparty	Effective Date		Expiration Date		Notional Amount (000)			Value			Premiums Paid (Received)			Unrealized Appreciation (Depreciation)
	12.85	%¹	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		7/03/17		BRL	582	$	(465	)		—		$	(465	)
	13.11	%¹	1-day BZDIOVER	Citibank N.A.		N/A		7/03/17		BRL	7,438		(8,996	)		—			(8,996	)
	13.13	%¹	1-day BZDIOVER	Bank of America N.A.		N/A		7/03/17		BRL	6,198		(7,797	)		—			(7,797	)
	1.69	%²	3-Month KRWCD	Deutsche Bank AG		N/A		11/10/17		KRW	911,735		(1,467	)		—			(1,467	)
	1.92	%²	3-Month KRWCD	Deutsche Bank AG		N/A		11/10/17		KRW	911,735		2,840			—			2,840
	9.98	%¹	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/18		BRL	13,433		(6,688	)		—			(6,688	)
	9.98	%¹	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/18		BRL	13,433		(6,688	)		—			(6,688	)
	9.99	%¹	1-day BZDIOVER	Citibank N.A.		N/A		1/02/18		BRL	13,432		(6,838	)		—			(6,838	)
	12.10	%¹	1-day BZDIOVER	Bank of America N.A.		N/A		1/02/18		BRL	7,064		(28,551	)		—			(28,551	)
	7.06	%²	28-day MXIBTIIE	JPMorgan Chase Bank N.A.		N/A		11/21/18		MXN	42,610		(5,406	)		—			(5,406	)
	7.07	%²	28-day MXIBTIIE	Citibank N.A.		N/A		11/21/18		MXN	35,508		(4,212	)		—			(4,212	)
	6.98	%²	28-day MXIBTIIE	Citibank N.A.		N/A		11/28/18		MXN	60,600		(11,908	)		—			(11,908	)
	6.98	%²	28-day MXIBTIIE	JPMorgan Chase Bank N.A.		N/A		11/28/18		MXN	34,377		(6,755	)		—			(6,755	)
	9.73	%²	1-day BZDIOVER	Citibank N.A.		N/A		1/02/20		BRL	8,059		2,085			—			2,085
	9.73	%²	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/20		BRL	8,059		2,085			—			2,085
	9.73	%²	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/20		BRL	8,059		2,085			—			2,085
	10.98	%²	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/20		BRL	1,483		11,911			—			11,911
	11.00	%²	1-day BZDIOVER	Bank of America N.A.		N/A		1/02/20		BRL	2,965		24,494			—			24,494
	11.02	%²	1-day BZDIOVER	Citibank N.A.		N/A		1/02/20		BRL	1,580		13,313			—			13,313
	11.10	%²	1-day BZDIOVER	Goldman Sachs International		N/A		1/02/20		BRL	1,435		12,820			—			12,820
	11.38	%²	1-day BZDIOVER	JPMorgan Chase Bank N.A.		N/A		1/02/20		BRL	335		3,874			—			3,874
	6.33	%¹	1-Month MXIBTIIE	Citibank N.A.		N/A		7/17/25		MXN	2,897		(10,417	)	$	(15	)		(10,402	)
	6.32	%²	1-Month MXIBTIIE	Goldman Sachs International		N/A		8/06/25		MXN	8,688		(31,478	)		(38	)		(31,440	)
	6.31	%¹	1-Month MXIBTIIE	Bank of America N.A.		N/A		8/11/25		MXN	1,723		6,343			—			6,343
	6.31	%¹	1-Month MXIBTIIE	Bank of America N.A.		N/A		8/11/25		MXN	1,723		6,343			—			6,343
	6.31	%¹	1-Month MXIBTIIE	Deutsche Bank AG		N/A		8/11/25		MXN	6,393		23,604			—			23,604
	6.26	%²	1-Month MXIBTIIE	Bank of America N.A.		N/A		6/15/26		MXN	38,640		(164,233	)		—			(164,233	)
	Total											$	(190,102	)	$	(53	)	$	(190,049	)

	¹The Fund pays a fixed rate and receives the floating rate.
	²The Fund pays a floating rate and receives the fixed rate.

Transactions in Options Written for the Six Months Ended April 30, 2017


	Calls
	Notional (000)
	Contracts		AUD			EUR			GBP			MXN			NOK			USD			Premiums Received
Outstanding options, beginning of period		—		43,230			36,230			11,205			—			89,855			25,469		$	1,011,560
Options written		—		1,786			24,561			—			52,522			—			40,087			520,269
Options exercised		—		(14,465	)		(10,110	)		—			(27,012	)		(89,855	)		(6,533	)		(347,086	)
Options expired		—		(29,658	)		(49,637	)		(5,585	)		—			—			(21,242	)		(685,800	)
Options closed		—		—			(1,044	)		(5,620	)		—			—			(32,051	)		(388,632	)

Outstanding options, end of period		—		893			—			—			25,510			—			5,730		$	110,311

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	71


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


	Puts
	Notional (000)
	Contracts		AUD			CAD			EUR			GBP			MXN			NZD			USD			Premiums Received
Outstanding options, beginning of period		—		—			14,320			—			21,230			—			—			2,740		$	437,545
Options written		—		9,410			—			27,950			—			18,754			35,390			10,620			255,494
Options exercised		—		—			—			(12,990	)		(15,610	)		—			—			(3,991	)		(301,530	)
Options expired		—		—			(14,320	)		(14,065	)		(5,620	)		—			(35,390	)		(5,565	)		(329,877	)
Options closed		—		(9,410	)		—			(895	)		—			(9,004	)		—			(1,570	)		(39,831	)

Outstanding options, end of period		—		—			—			—			—			9,750			—			2,234		$	21,801

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:


Assets — Derivative Financial Instruments		Commodity Contracts		Credit Contracts		Equity Contracts	Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts	Total
Futures contracts	Net unrealized appreciation¹		—		—	—		—	$	5,622	—	$	5,622
Forward foreign currency exchange contracts	Unrealized appreciation on forward foreign currency exchange contracts		—		—	—	$	1,474,059		—	—		1,474,059
Options purchased	Investments at value — unaffiliated²;		—		—	—		188,630		—	—		188,630
Swaps — centrally cleared	Net unrealized appreciation¹		—	$	4,982	—		—		201,890	—		206,872
Swaps — OTC	Unrealized appreciation on OTC swaps; Swap premiums paid		—		2,268,319	—		—		111,797	—		2,380,116

Total			—	$	2,273,301	—	$	1,662,689	$	319,309	—	$	4,255,299


Liabilities — Derivative Financial Instruments
Futures contracts	Net unrealized depreciation¹		—		—	—		—	$	358,838	—	$	358,838
Forward foreign currency exchange contracts	Unrealized depreciation on forward foreign currency exchange contracts		—		—	—	$	2,468,897		—	—		2,468,897
Options written	Options written at value;		—		—	—		78,302		—	—		78,302
Swaps — centrally cleared	Net unrealized depreciation¹		—	$	29,352	—		—		1,140,031	—		1,169,383
Swaps — OTC	Unrealized depreciation on OTC swaps; Swap premiums received		—		7,939,426	—		—		301,899	—		8,241,325

Total			—	$	7,968,778	—	$	2,547,199	$	1800,768	—	$	12,316,745

¹Includes cumulative appreciation (depreciation) on futures contracts and centrally cleared swaps, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities.
²Includes options purchased at value as reported in the Schedule of Investments.

For the six months ended April 30, 2017, the effect of derivative financial instruments in the Statements of Operations was as follows:


Net Realized Gain (Loss) from:	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts			Other Contracts		Total
Futures contracts		—		—		—		—		$	1,547,112			—	$	1,547,112
Forward foreign currency exchange contracts		—		—		—	$	4,354,069			—			—		4,354,069
Options purchased¹		—		—		—		(1,413,223	)		—			—		(1,413,223	)
Options written		—		—		—		1,007,302			—			—		1,007,302
Swaps		—	$	369,135		—		—			(59,176	)		—		309,959

Total		—	$	369,135		—	$	3,948,148		$	1,487,936			—	$	5,805,219

¹Options purchased are included in net realized gain (loss) from investments.

See Notes to Financial Statements.



72	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Net Change in Unrealized Appreciation (Depreciation) on:	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts			Interest Rate Contracts			Other Contracts		Total
Futures contracts		—		—		—		—		$	(690,326	)		—	$	(690,326	)
Forward foreign currency exchange contracts		—		—		—	$	(3,493,083	)		—			—		(3,493,083	)
Options purchased¹		—		—		—		(193,231	)		—			—		(193,231	)
Options written		—		—		—		680,912			—			—		680,912
Swaps		—	$	381,149		—		—			(1,178,133	)		—		(796,984	)

Total		—	$	381,149		—	$	(3,005,402	)	$	(1,868,459	)		—	$	(4,492,712	)

¹Options purchased are included in net change in unrealized appreciation (depreciation) on investments.

Average Quarterly Balances of Outstanding Derivative Financial Instruments


Futures contracts:
Average notional value of contracts — long	$	3,201,250
Average notional value of contracts — short	$	77,273,730
Forward foreign currency exchange contracts:
Average amounts purchased — in USD	$	142,850,046
Average amounts sold — in USD	$	95,747,506
Options:
Average value of option contracts purchased	$	245,939
Average value of option contracts written	$	84,676
Credit default swaps:
Average notional value — buy protection	$	26,846,426
Average notional value — sell protection	$	73,763,088
Interest rate swaps:
Average notional value — pays fixed rate	$	89,863,307
Average notional value — receives fixed rate	$	32,709,940

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

Derivative Financial Instruments — Offsetting as of Period End

The Trust’s derivative assets and liabilities (by type) were as follows:


	Assets			Liabilities
Derivative Financial Instruments:
Futures contracts	$	9,349		$	7,360
Forward foreign currency exchange contracts		1,474,059			2,468,897
Options		188,630	¹		78,302
Swaps — Centrally cleared		—			97,457
Swaps — OTC²		2,380,116			8,241,325

Total derivative assets and liabilities in the Statements of Assets and Liabilities	$	4,052,154		$	10,893,341

Derivatives not subject to a Master Netting Agreement or similar agreement (“MNA”)		(9,349	)		(104,817	)

Total derivative assets and liabilities subject to an MNA	$	4,042,805		$	10,788,524

¹Includes options purchased at value which is included in Investments at value — unaffiliated in the Statements of Assets and Liabilities and reported in the Schedule of Investments.
²Includes unrealized appreciation (depreciation) on OTC swaps and swap premiums paid/received in the Statements of Assets and Liabilities.

The following tables present the Trust’s derivative assets and liabilities by counterparty net of amounts available for offset under an MNA and net of the related collateral received and pledged by the Trust:


Counterparty	Derivative Assets Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Received		Cash Collateral Received²			Net Amount of Derivative Assets^3,4
Bank of America N.A.	$	591,916	$	(377,940	)		—	$	(213,976	)		—
Barclays Bank PLC		52,111		(52,111	)		—		—			—
BNP Paribas S.A.		14,483		(14,483	)		—		—			—
Citibank N.A.		270,961		(270,961	)		—		—			—
Credit Suisse International		271,798		(271,798	)		—		—			—
Deutsche Bank AG		101,977		(101,977	)		—		—			—
Goldman Sachs International		70,030		(70,030	)		—		—			—
HSBC Bank PLC		228,022		(28,445	)		—		—		$	199,577
JPMorgan Chase Bank N.A.		79,793		(79,793	)		—		—			—
Morgan Stanley & Co. International PLC		1,426,064		(1,426,064	)		—		—			—
Royal Bank of Scotland PLC		932,935		(394,191	)		—		—			538,744
UBS AG		2,715		(2,715	)		—		—			—

Total	$	4,042,805	$	(3,090,508	)		—	$	(213,976	)	$	738,321

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	73


Consolidated Schedule of Investments (continued)		BlackRock Multi-Sector Income Trust (BIT)


Counterparty	Derivative Liabilities Subject to an MNA by Counterparty		Derivatives Available for Offset¹			Non-cash Collateral Pledged		Cash Collateral Pledged⁵			Net Amount of Derivative Liabilities^4,6
Bank of America N.A.	$	377,940	$	(377,940	)		—		—			—
Barclays Bank PLC		2,096,455		(52,111	)		—	$	(2,044,344	)		—
BNP Paribas S.A.		84,638		(14,483	)		—		—		$	70,155
Citibank N.A.		1,702,566		(270,961	)		—		(720,000	)		711,605
Credit Suisse International		449,029		(271,798	)		—		(177,231	)		—
Deutsche Bank AG		1,640,533		(101,977	)		—		(1,538,556	)		—
Goldman Sachs International		1,660,571		(70,030	)		—		(1,590,541	)		—
HSBC Bank PLC		28,445		(28,445	)		—		—			—
JPMorgan Chase Bank N.A.		81,109		(79,793	)		—		—			1,316
Morgan Stanley & Co. International PLC		2,251,802		(1,426,064	)		—		(825,738	)		—
Royal Bank of Scotland PLC		394,191		(394,191	)		—		—			—
Standard Chartered Bank		3,641		—			—		—			3,641
UBS AG		17,604		(2,715	)		—		—			14,889

Total	$	10,788,524	$	(3,090,508	)		—	$	(6,896,410	)	$	801,606

¹ The amount of derivatives available for offset is limited to the amount of derivative asset and/or liabilities that are subject to an MNA.
² Excess of collateral received from the individual counterparty is not shown for financial reporting purposes.
³ Net amount represents the net amount receivable from the counterparty in the event of default.
⁴ Net amount may also include forward foreign currency exchange contracts that are not required to be collateralized.
⁵ Excess of collateral pledged to the individual counterparty is not shown for financial reporting purposes.
⁶ Net amount represents the net amount payable due to counterparty in the event of default. Net amount may be offset further by the options written receivable/payable on the Statements of Assets and Liabilities.


Fair Value Hierarchy as of Period End

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:
Asset-Backed Securities		—		$	195,092,533		$	15,741,102	$	210,833,635
Common Stocks	$	3,052,094			—			—		3,052,094
Corporate Bonds		705,714			481,173,265			—		481,878,979
Floating Rate Loan Interests		—			20,377,127			49,158,961		69,536,088
Foreign Agency Obligations		—			70,150,418			—		70,150,418
Investment Companies		520,780			—			—		520,780
Non-Agency Mortgage-Backed Securities		—			174,658,546			23,636,548		198,295,094
Preferred Securities		18,786,467			117,565,694			1,708,511		138,060,672
Short-Term Securities:
Money Market Funds		2,417,747			—			—		2,417,747
Options Purchased:
Foreign currency exchange contracts		—			188,630			—		188,630
Unfunded Floating Rate Loan Interest¹		—			—			40,331		40,331

Total	$	25,482,802		$	1,059,206,213		$	90,285,453	$	1,174,974,468


Derivative Financial Instruments²
Assets:
Credit contracts		—		$	2,118,090			—	$	2,118,090
Foreign currency exchange contracts		—			1,474,059			—		1,474,059
Interest rate contracts	$	5,622			313,687			—		319,309
Liabilities:
Credit contracts		—			(1,661,310	)		—		(1,661,310	)
Foreign currency exchange contracts		—			(2,547,199	)		—		(2,547,199	)
Interest rate contracts		(358,838	)		(1,441,877	)		—		(1,800,715	)

Total	$	(353,216	)	$	(1,744,550	)		—	$	(2,097,766	)

¹Unfunded floating rate loan interests are valued at the unrealized appreciation (depreciation) on the commitment.
²Derivative financial instruments are swaps, futures contracts, forward foreign currency exchange contracts and options written. Swaps, futures contracts and forward foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument and options written are shown at value.

See Notes to Financial Statements.



74	SEMI-ANNUAL REPORT	APRIL 30, 2017


Consolidated Schedule of Investments (concluded)		BlackRock Multi-Sector Income Trust (BIT)

The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount or face value, including accrued interest, for financial statement purposes. As of period end, reverse repurchase agreements payable of $458,813,756 is categorized as Level 2 within the disclosure hierarchy.

During the six months ended April 30, 2017, there were no transfers between Level 1 and Level 2.


	Asset-Backed Securities			Common Stocks			Floating Rate Loan Interests			Non-Agency Mortgage- Backed Securities			Preferred Securities		Unfunded Floating Rate Loan Interests			Total
Assets:
Opening balance, as of October 31, 2016	$	17,206,973		$	561		$	27,486,435		$	24,015,690		$	1,631,265		—		$	70,340,924
Transfers into Level 3¹		2,442,500			—			202,000			—			—	$	164,769			2,809,269
Transfers out of Level 3²		(7,297,861	)		—			—			—			—		—			(7,297,861	)
Accrued discounts/premiums		5,994			—			27,083			118,234			—		—			151,311
Net realized gain (loss)		24,901			—			6,049			426,797			—		—			457,747
Net change in unrealized appreciation (depreciation)^3,4		(294,793	)		(561	)		2,592,597			286,668			77,246		(124,438	)		2,536,719
Purchases		6,734,400			—			22,941,431			—			—		—			29,675,831
Sales		(3,081,012	)		—			(4,096,634	)		(1,210,841	)		—		—			(8,388,487	)

Closing Balance, as of April 30, 2017	$	15,741,102			—		$	49,158,961		$	23,636,548		$	1,708,511	$	40,331		$	90,285,453

Net change in unrealized appreciation (depreciation) on investments still held at April 30, 2017⁴	$	(282,093	)	$	(561	)	$	2,532,927		$	286,668		$	77,246	$	40,331		$	2,654,518

¹ As of October 31, 2016, the Trust used observable inputs in determining the value of certain investments. As of April 30, 2017, the Trust used significant unobservable inputs in determining the value of the same investments. As a result, investments at the beginning of period value were transferred from Level 2 to Level 3 in the disclosure hierarchy.
²As of October 31, 2016, the Trust used significant unobservable inputs in determining the value of certain investments. As of April 30, 2017, the Trust used observable inputs in determining the value of the same investments. As a result, investments at the beginning of period value were transferred from Level 3 to Level 2 in the disclosure hierarchy.
³Included in the related net change in unrealized appreciation (depreciation) in the Statements of Operations.
⁴Any difference between net change in unrealized appreciation (depreciation) and net change in unrealized appreciation (depreciation) on investments still held at April 30, 2017 is generally due to investments no longer held or categorized as Level 3 at period end.

The following table summarizes the valuation approaches used and unobservable inputs utilized by the BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) to determine the value of certain of the Trust’s Level 3 investments as of period end. The table does not include Level 3 investments with values based upon unadjusted third party pricing information in the amount of $61,965,985. A significant change in such third party pricing information could result in a significantly lower or higher value of such Level 3 investments.

Value

Valuation Approach

Unobservable Inputs

Range of
Unobservable
Inputs Utilized

Assets:

Floating Rate Loan Interests

28,319,468

Income

Discount Rate¹

15.00

Total

28,319,468

¹Decrease in unobservable input may result in a significant increase to value, while an increase in the unobservable input may result in a significant decrease to value.

See Notes to Financial Statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	75


Statements of Assets and Liabilities


April 30, 2017 (Unaudited)	BlackRock Credit Allocation Income Trust (BTZ)			BlackRock Floating Rate Income Trust (BGT)			BlackRock Multi-Sector Income Trust (BIT)¹

Assets
Investments at value — unaffiliated²	$	1,987,355,026		$	502,913,285		$	1,171,995,610
Investments at value — affiliated³		12,260,042			3,852,270			2,938,527
Cash		29,475			1,062,398			400,912
Cash pledged:
Collateral — OTC derivatives		920,000			—			7,940,000
Centrally cleared swaps		—			56,000			3,106,590
Collateral — reverse repurchase agreements		—			—			1,530,000
Futures contracts		491,000			—			295,740
Foreign currency at value⁴		21,048			9,026			4,848,597
Receivables:
Interest — unaffiliated		25,547,191			1,493,031			12,269,201
Investments sold		1,798,874			12,593,776			6,446,898
Dividends — unaffiliated		55,842			—			135,787
Dividends — affiliated		16,767			792			1,679
Variation margin on futures contracts		11,250			—			9,349
Reverse repurchase agreements		—			—			5,599,955
Swap premiums paid		206,973			—			155,211
Unrealized appreciation on:
Forward foreign currency exchange contracts		—			962			1,474,059
OTC derivatives		573,614			—			2,224,905
Unfunded floating rate loan interests		—			2,222			40,331
Prepaid expenses		83,403			13,619			24,656

Total assets		2,029,370,505			521,997,381			1,221,438,007


Liabilities
Cash received:
Collateral — reverse repurchase agreements		1,599,000			—			1,444,000
Collateral — OTC derivatives		40,000			—			230,000
Options written at value⁵		754,503			—			78,302
Reverse repurchase agreements		439,330,649			—			458,813,756
Payables:
Investments purchased		5,291,558			38,775,417			8,903,148
Reverse repurchase agreements		4,677,324			—			7,741,487
Investment advisory fees		1,036,964			294,183			777,730
Officer’s and Trustees’ fees		748,099			220,112			79,011
Other accrued expenses		443,628			219,212			383,321
Income dividends		279,306			—			171,913
Variation margin on futures contracts		110,096			—			7,360
Bank borrowings		—			139,000,000			—
Options written		—			—			2,993
Interest expense		—			198,909			—
Variation margin on centrally cleared swaps		—			252			97,457
Swap premiums received		438,433			—			6,307,521
Unrealized depreciation on:
Forward foreign currency exchange contracts		—			63,051			2,468,897
OTC derivatives		792,914			—			1,933,804

Total liabilities		455,542,474			178,771,136			489,440,700

Net Assets	$	1,573,828,031		$	343,226,245		$	731,997,307


Net Assets Consist of
Paid-in capital^6,7,8	$	1,691,482,486		$	413,268,107		$	723,427,409
Undistributed (distributions in excess of) net investment income		24,713			1,324,300			(9,763,458	)
Accumulated net realized loss		(240,139,111	)		(72,330,517	)		(1,386,712	)
Net unrealized appreciation (depreciation)		122,459,943			964,355			19,720,068

Net Assets	$	1,573,828,031		$	343,226,245		$	731,997,307

Net asset value	$	14.65		$	14.50		$	19.18

¹ Consolidated Statement of Assets and Liabilities
² Investments at cost — unaffiliated	$	1,864,856,166		$	501,863,680		$	1,150,364,862
³ Investments at cost — affiliated	$	12,260,042		$	3,852,270		$	2,936,763
⁴ Foreign currency at cost	$	21,203		$	8,917		$	4,844,979
⁵ Premiums received	$	1,309,520			—		$	132,112
⁶ Par value	$	0.001		$	0.001		$	0.001
⁷ Shares outstanding		107,412,104			23,665,166			38,166,751
⁸ Shares authorized		unlimited			unlimited			unlimited


Statements of Operations


Six Months Ended April 30, 2017 (Unaudited)	BlackRock Credit Allocation Income Trust (BTZ)			BlackRock Floating Rate Income Trust (BGT)			BlackRock Multi-Sector Income Trust (BIT)¹

Investment Income
Interest — unaffiliated	$	51,692,492		$	11,815,862		$	35,244,091
Dividends — unaffiliated		1,969,899			67,788			1,454,980
Dividends — affiliated		44,832			9,818			7,900
Foreign taxes withheld		—			—			(84	)

Total investment income		53,707,223			11,893,468			36,706,887


Expenses
Investment advisory		6,421,870			1,775,751			4,583,313
Officer and Trustees		142,171			34,961			42,021
Professional		90,127			75,296			92,707
Transfer agent		76,211			19,948			27,671
Custodian		56,427			69,543			94,835
Accounting services		28,249			32,014			2,784
Registration		21,184			4,781			7,531
Printing		17,584			9,214			10,351
Miscellaneous		42,222			18,088			53,685

Total expenses excluding interest expense		6,896,045			2,039,596			4,914,898
Interest expense		2,310,714			1,031,725			2,781,104

Total expenses		9,206,759			3,071,321			7,696,002
Less:
Fees waived by the Manager		(6,650	)		(722	)		(1,731	)
Fees paid indirectly		(119	)		—			—

Total expenses after fees waived and paid indirectly		9,199,990			3,070,599			7,694,271

Net investment income		44,507,233			8,822,869			29,012,616


Realized and Unrealized Gain (Loss)
Net realized gain (loss) from:
Investments — unaffiliated		1,371,751			2,194,560			(1,711,776	)
Investments — affiliated		—			2,164			—
Litigation proceeds		—			—			1,203,995
Futures contracts		6,100,706			—			1,547,112
Forward foreign currency exchange contracts		—			(30,504	)		4,354,069
Foreign currency transactions		(1,035	)		144,166			(562,750	)
Capital gain distributions from investment companies — affiliated		132			11			35
Borrowed bonds		(413,483	)		—			—
Options written		(328,569	)		—			1,007,302
Swaps		130,609			162,835			309,959

		6,860,111			2,473,232			6,147,946

Net change in unrealized appreciation (depreciation) on:
Investments — unaffiliated		2,016,724			1,039,998			20,293,780
Investments — affiliated		—			(4,939	)		1,764
Futures contracts		(4,389,517	)		—			(690,326	)
Forward foreign currency exchange contracts		—			(158,842	)		(3,493,083	)
Foreign currency translations		587			(8,432	)		2,103
Options written		282,764			—			680,912
Swaps		(164,287	)		(45,965	)		(796,984	)
Unfunded floating rate loan interests		—			(989	)		(124,438	)

		(2,253,729	)		820,831			15,873,728

Net realized and unrealized gain		4,606,382			3,294,063			22,021,674

Net Increase in Net Assets Resulting from Operations	$	49,113,615		$	12,116,932		$	51,034,290

¹ Consolidated Statement of Operations.


Statements of Changes in Net Assets


	BlackRock Credit Allocation Income Trust (BTZ)
Increase (Decrease) in Net Assets:	Six Months Ended April 30, 2017 (Unaudited)			Year Ended October 31, 2016

Operations
Net investment income	$	44,507,233		$	95,208,614
Net realized gain (loss)		6,860,111			(36,899,948	)
Net change in unrealized appreciation (depreciation)		(2,253,729	)		71,666,435

Net increase in net assets resulting from operations		49,113,615			129,975,101


Distributions to Shareholders¹
From net investment income		(45,633,140	)		(93,623,404	)
From return of capital		—			(6,304,109	)

Decrease in net assets resulting from distributions to shareholders		(45,633,140	)		(99,927,513	)


Capital Share Transactions
Redemption of shares resulting from share repurchase program (including transaction costs)		(8,822,801	)		—


Net Assets
Total increase (decrease) in net assets		(5,342,326	)		30,047,588
Beginning of period		1,579,170,357			1,549,122,769

End of period	$	1,573,828,031		$	1,579,170,357

Undistributed net investment income, end of period	$	24,713		$	1,150,620


	BlackRock Floating Rate Income Trust (BGT)
Increase (Decrease) in Net Assets:	Six Months Ended April 30, 2017 (Unaudited)			Year Ended October 31, 2016

Operations
Net investment income	$	8,822,869		$	17,555,935
Net realized gain (loss)		2,473,232			(5,344,075	)
Net change in unrealized appreciation (depreciation)		820,831			9,843,257

Net increase in net assets resulting from operations		12,116,932			22,055,117


Distributions to Shareholders¹
From net investment income		(9,862,835	)		(16,554,797	)


Capital Share Transactions
Shares issued in reinvestment of distributions		28,054			—


Net Assets
Total increase in net assets		2,282,151			5,500,320
Beginning of period		340,944,094			335,443,774

End of period	$	343,226,245		$	340,944,094

Undistributed net investment income, end of period	$	1,324,300		$	2,364,266

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


Consolidated Statements of Changes in Net Assets


	BlackRock Multi-Sector Income Trust (BIT)
Increase (Decrease) in Net Assets:	Six Months Ended April 30, 2017 (Unaudited)			Year Ended October 31, 2016

Operations
Net investment income	$	29,012,616		$	65,088,454
Net realized gain (loss)		6,147,946			(8,183,925	)
Net change in unrealized appreciation (depreciation)		15,873,728			5,913,723

Net increase in net assets resulting from operations		51,034,290			62,818,252


Distributions to Shareholders¹
From net investment income		(41,063,982	)		(62,868,881	)


Capital Share Transactions
Redemption of shares resulting from share repurchase program (including transaction costs)		(4,354,046	)		—


Net Assets
Total increase (decrease) in net assets		5,616,262			(50,629	)
Beginning of period		726,381,045			726,431,674

End of period	$	731,997,307		$	726,381,045

Undistributed (distributions in excess of) net investment income, end of period	$	(9,763,458	)	$	2,287,908

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


Statements of Cash Flows


Six Months Ended April 30, 2017 (Unaudited)	BlackRock Credit Allocation Income Trust (BTZ)			BlackRock Floating Rate Income Trust (BGT)			BlackRock Multi-Sector Income Trust (BIT)¹

Cash Provided by Operating Activities
Net increase in net assets resulting from operations	$	49,113,615		$	12,116,932		$	51,034,290
Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by operating activities:
Proceeds from sales of long-term investments and principal paydowns		497,951,652			176,314,441			276,486,287
Purchases of long-term investments		(294,534,720	)		(169,406,282	)		(286,141,025	)
Net purchases of short-term securities		(2,387,770	)		3,423,319			3,904,663
Amortization of premium and accretion of discount on investments		1,460,484			(535,012	)		(7,270,529	)
Payments for borrowed bonds		(2,553,908	)		—			—
Proceeds from borrowed bonds		2,140,425			—			—
Paid-in-kind income		—			—			469,903
Premiums received from options written		1,309,520			—			135,012
Premiums paid on closing options written		(1,279,686	)		—			(437,689	)
Net realized gain on investments		316,051			(2,196,724	)		(722,450	)
Net unrealized gain on investments		(2,135,201	)		(855,013	)		(17,559,061	)
(Increase) Decrease in Assets:
Cash Pledged:
For futures contracts		1,285,000			—			351,900
Collateral — OTC derivatives		(840,000	)		—			(2,660,000	)
For centrally cleared swaps		—			(56,000	)		(3,049,000	)
Collateral — reverse repurchase agreements		1,521,000			—			(1,530,000	)
Receivables:
Interest — unaffiliated		1,633,101			5,868			(1,751,725	)
Swaps		—			—			12,941
Dividends — affiliated		(13,410	)		(685	)		1,187
Variation margin on futures contracts		41,563			—			(2,849	)
Due from broker — swap collateral		520,000			—			—
Other		217,087			—			—
Swap premiums paid		63,824			—			777,112
Prepaid expenses		(73,165	)		(11,325	)		(20,595	)
Other assets		—			29,246			48,877
Increase (Decrease) in Liabilities:
Cash Received:
Collateral — OTC derivatives		(2,290,000	)		—			(410,000	)
Collateral — reverse repurchase agreements		(2,033,000	)		—			(1,760,000	)
Payables:
Investment advisory fees		(168,751	)		(9,074	)		(4,901	)
Interest expense and fees		(1,385,188	)		52,118			(566,507	)
Officer’s and Trustees’ fees		56,738			15,125			12,601
Variation margin on futures contracts		(191,169	)		—			(74,432	)
Variation margin on centrally cleared swaps		—			252			95,426
Swaps		—			—			(201	)
Other accrued expenses		(41,043	)		(50,867	)		(56,714	)
Swap premiums received		(132,493	)		—			1,271,657

Net cash provided by operating activities		247,570,556			18,836,319			10,584,178


Cash Used for Financing Activities
Proceeds from bank borrowings		—			120,000,000			—
Payments on bank borrowings		—			(129,000,000	)		—
Net payments on redemption of Common Shares		(8,822,801	)		—			(4,354,046	)
Net borrowing of reverse repurchase agreements		(192,934,034	)		—			33,420,407
Cash dividends paid to Common Shareholders		(45,648,033	)		(9,863,234	)		(41,070,070	)
Decrease in bank overdraft		(132,344	)		—			—

Net cash used for financing activities		(247,537,212	)		(18,863,234	)		(12,003,709	)


Cash Impact from Foreign Exchange Fluctuations
Cash impact from foreign exchange fluctuations	$	128		$	(63	)	$	(14,456	)


Cash and Foreign Currency
Net increase (decrease) in cash and foreign currency		33,472			(26,978	)		(1,433,987	)
Cash and foreign currency at beginning of period		17,051			1,098,402			6,683,496

Cash and foreign currency at end of period	$	50,523		$	1,071,424		$	5,249,509


Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest expense	$	3,695,902		$	979,607		$	3,347,611


Non-Cash Financing Activities
Capital shares issued in reinvestment of distributions paid to Common Shareholders		—			28,054			—

Consolidated Statement of Cash Flows.


Financial Highlights		BlackRock Credit Allocation Income Trust (BTZ)


	Six Months Ended April 30, 2017 (Unaudited)			Year Ended October 31,
	Six Months Ended April 30, 2017 (Unaudited)			2016			2015			2014			2013			2012

Per Share Operating Performance
Net asset value, beginning of period	$	14.61		$	14.33		$	15.36		$	14.99		$	15.37		$	13.94

Net investment income¹		0.41			0.88			0.96			0.99			0.97			0.94
Net realized and unrealized gain (loss)		0.05			0.32			(1.02	)		0.35			(0.37	)		1.43

Net increase (decrease) from investment operations		0.46			1.20			(0.06	)		1.34			0.60			2.37

Distributions:²
From net investment income		(0.42	)		(0.86	)		(0.91	)		(0.97	)		(0.98	)		(0.94	)
From return of capital		—			(0.06	)		(0.06	)		—			—			—

Total distributions		(0.42	)		(0.92	)		(0.97	)		(0.97	)		(0.98	)		(0.94	)

Net asset value, end of period	$	14.65		$	14.61		$	14.33		$	15.36		$	14.99		$	15.37

Market price, end of period	$	13.41		$	12.87		$	12.53		$	13.54		$	12.97		$	14.23


Total Return³
Based on net asset value		3.59%	⁴		9.61%			0.48%			10.11%			4.86%			18.35%

Based on market price		7.64%	⁴		10.43%			(0.33)%			12.18%			(2.01)%			26.44%


Ratios to Average Net Assets
Total expenses		1.20%	⁵		1.20%			1.16%			1.11%			1.15%	⁶		1.20%	⁷

Total expenses after fees waived and paid indirectly		1.19%	⁵		1.20%			1.15%			1.11%			1.15%	⁶		1.20%	⁷

Total expenses after fees waived and paid indirectly and excluding interest expense		0.89%	⁵		0.95%			0.97%			0.96%			1.00%	⁶		1.07%	⁷

Net investment income		5.78%	⁵		6.21%			6.40%			6.48%			6.43%			6.53%


Supplemental Data
Net assets, end of period (000)	$	1,573,828		$	1,579,170		$	1,549,123		$	1,660,442		$	1,619,703		$	796,836

Borrowings outstanding, end of period (000)	$	439,331		$	638,327		$	685,716		$	759,752		$	812,028		$	373,716

Portfolio turnover rate		13%			29%			19%			29%			43%			37%

Based on average shares outstanding.

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

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.

⁴

Aggregate total return.

⁵

Annualized.

⁶

Includes reorganization costs associated with the Trust’s reorganization. Without these costs, total expenses, total expenses after fees waived and paid indirectly, and total expenses after fees waived and paid indirectly and excluding interest expense would have been 1.15%, 1.15% and 1.00%, respectively.

⁷


Financial Highlights		BlackRock Floating Rate Income Trust (BGT)


	Six Months Ended April 30, 2017 (Unaudited)			Year Ended October 31,
	Six Months Ended April 30, 2017 (Unaudited)			2016			2015¹			2014¹			2013¹			2012¹

Per Share Operating Performance
Net asset value, beginning of period	$	14.41		$	14.18		$	14.57		$	14.79		$	14.52		$	13.97

Net investment income²		0.37			0.74			0.78			0.84			0.94			0.97
Net realized and unrealized gain (loss)		0.14			0.19			(0.36	)		(0.22	)		0.38			0.68

Net increase from investment operations		0.51			0.93			0.42			0.62			1.32			1.65

Distributions from net investment income³		(0.42	)		(0.70	)		(0.81	)		(0.84	)		(1.05	)		(1.10	)

Net asset value, end of period	$	14.50		$	14.41		$	14.18		$	14.57		$	14.79		$	14.52

Market price, end of period	$	14.68		$	13.58		$	12.77		$	13.18		$	14.12		$	15.07


Total Return⁴
Based on net asset value		3.59%	⁵		7.27%			3.54%			4.60%			9.37%			12.37%

Based on market price		11.29%	⁵		12.25%			3.08%			(0.89)%			0.60%			25.33%


Ratios to Average Net Assets
Total expenses		1.81%	⁶		1.58%			1.55%			1.52%			1.57%			1.66%

Total expenses after fees waived and paid indirectly		1.81%	⁶		1.58%			1.54%			1.52%			1.57%			1.61%

Total expenses after fees waived and paid indirectly and excluding interest expense		1.20%	⁶		1.16%			1.19%			1.18%			1.19%			1.25%	⁷

Net investment income		5.19%	⁶		5.29%			5.37%			5.71%			6.39%			6.87%


Supplemental Data
Net assets, end of period (000)	$	343,226		$	340,944		$	335,444		$	344,668		$	349,941		$	343,282

Borrowings outstanding, end of period (000)	$	139,000		$	148,000		$	104,000		$	145,000		$	152,000		$	145,000

Asset coverage, end of period per $1,000 of bank borrowings	$	3,469		$	3,304		$	4,225		$	3,377		$	3,302		$	3,367

Portfolio turnover rate		34%			47%			42%			64%			72%			65%

Consolidated Financial Highlights.

Based on average shares outstanding.

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

⁴

⁵

Aggregate total return.

⁶

Annualized.

⁷

For the year ended October 31, 2012, the total expense ratio after fees waived and paid indirectly and excluding interest expense and borrowing costs was 1.14%.


Financial Highlights		BlackRock Multi-Sector Income Trust (BIT)


	Six Months Ended April 30, 2017¹ (Unaudited)			Year Ended October 31,									Period February 27, 2013² to October 31, 2013
	Six Months Ended April 30, 2017¹ (Unaudited)			2016¹			2015			2014			Period February 27, 2013² to October 31, 2013

Per Share Operating Performance
Net asset value, beginning of period	$	18.91		$	18.91		$	19.87		$	18.95		$	19.10	³

Net investment income⁴		0.76			1.69			1.55			1.62			1.02
Net realized and unrealized gain (loss)		0.58			(0.05	)		(1.03	)		0.70			(0.35	)

Net increase from investment operations		1.34			1.64			0.52			2.32			0.67

Distributions:⁵
From net investment income		(1.07	)		(1.64	)		(1.40	)		(1.40	)		(0.70	)
From net realized gain		—			—			(0.08	)		—			—
From return of capital		—			—			—			—			(0.12	)

Total distributions		(1.07	)		(1.64	)		(1.48	)		(1.40	)		(0.82	)

Net asset value, end of period	$	19.18		$	18.91		$	18.91	⁶	$	19.87		$	18.95

Market price, end of period	$	17.98		$	16.76		$	16.31		$	17.79		$	17.04


Total Return⁷
Based on net asset value		7.96%	⁸		10.51%	⁹		3.87%	⁶		13.40%			4.04%	⁸

Based on market price		14.18%	⁸		13.56%			0.06%			12.91%			(10.66)%	⁸


Ratios to Average Net Assets
Total expenses		2.17%	¹⁰		2.05%	¹¹		2.09%	¹¹		2.04%			1.67%	¹⁰

Total expenses after fees waived and paid indirectly		2.17%	¹⁰		2.05%	¹¹		2.09%	¹¹		2.04%			1.67%	¹⁰

Total expenses after fees waived and paid indirectly and excluding interest expense		1.38%	¹⁰		1.43%	¹¹		1.53%	¹¹		1.52%			1.33%	¹⁰

Net investment income		8.16%	¹⁰		9.24%	¹¹		7.97%	¹¹		8.27%			8.05%	¹⁰


Supplemental Data
Net assets, end of period (000)	$	731,997		$	726,381		$	726,432		$	763,360		$	727,908

Borrowings outstanding, end of period (000)	$	458,814		$	427,329		$	510,352		$	707,294		$	552,040

Portfolio turnover rate		24%			52%			21%			29%			77%	¹²

Consolidated Financial Highlights.

Commencement of operations.

Net asset value, beginning of period, reflects a deduction of $0.90 per share sales charge from the initial offering price of $20.00 per share.

⁴

Based on average shares outstanding.

⁵

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

⁶

For financial reporting purposes, the market value of certain investments were adjusted as of report date. Accordingly, the net asset value (“NAV”) per share and total return performance based on net asset value presented herein are different than the information previously published on October 31, 2015.

⁷

⁸

Aggregate total return.

⁹

Includes payment received from an affiliate, which had no impact on the Trust’s total return.

¹⁰

Annualized.

¹¹

Ratios do not include expenses incurred indirectly as a result of investments in underlying funds of approximately 0.01% for the year ended October 31, 2016 and October 31, 2015.

¹²

Includes mortgage dollar roll transactions. Excluding these transactions, the portfolio turnover would have been 54%.


Notes to Financial Statements (Unaudited)

1. Organization:

The following are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as closed-end management investment companies and are referred to herein collectively as the “Trusts”, or individually, a “Trust”:


Trust Name	Herein Referred To As		Organized		Diversification Classification
BlackRock Credit Allocation Income Trust		BTZ		Delaware	Diversified
BlackRock Floating Rate Income Trust		BGT		Delaware	Diversified
BlackRock Multi-Sector Income Trust		BIT		Delaware	Non-diversified

The Boards 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 value (“NAV”) 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 closed-end funds referred to as the Closed-End Complex.

Basis of Consolidation: The accompanying consolidated financial statements of BIT include the accounts of BIT Subsidiary, LLC (the “Taxable Subsidiary”), which is a wholly-owned taxable subsidiary of BIT. The Taxable Subsidiary enables BIT to hold an investment in an operating partnership and satisfy RIC tax requirements. Income earned and gains realized on the investment held by the Taxable Subsidiary are taxable to such subsidiary. A tax provision for income, if any, is shown as income tax in the Consolidated Statements of Operations for BIT. A tax provision for realized and unrealized gains, if any, is included as a reduction of realized and/or unrealized gain (loss) in the Consolidated Statement of Operations for BIT. BIT may invest up to 25% of its total assets in the Taxable Subsidiary. There were no assets in the Taxable Subsidiary as of period end. Intercompany accounts and transactions, if any, have been eliminated. The Taxable Subsidiary is subject to the same investment policies and restrictions that apply to BIT.

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

Foreign Currency: Each Trust’s books and records are maintained in U.S. dollars. Purchases and sales of investments are recorded at the rates of exchange prevailing on the respective dates of such transactions. Generally, when the U.S. dollar rises in value against a foreign currency, the investments denominated in that currency will lose value; the opposite effect occurs if the U.S. dollar falls in relative value.

Each Trust does not isolate the portion of the results of operations arising as a result of changes in the exchange rates from the changes in the market prices of investments held or sold for financial reporting purposes. Accordingly, the effects of changes in exchange rates on investments are not segregated in the Statements of Operations from the effects of changes in market prices of those investments, but are included as a component of net realized and unrealized gain (loss) from investments. Each Trust reports realized currency gains (losses) on foreign currency related transactions as components of net realized gain (loss) for financial reporting purposes, whereas such components are generally treated as ordinary income for federal income tax purposes.

Segregation and Collateralization: In cases where a Trust enters into certain investments (e.g., futures contracts, forward foreign currency exchange contracts, options written and swaps) or certain borrowings (e.g., reverse repurchase 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 and paid monthly. Distributions of capital gains are recorded on the ex-dividend date and made at least annually. Portions of return of capital distributions under U.S. GAAP may be taxed at ordinary income rates. The character of



84	SEMI-ANNUAL REPORT	APRIL 30, 2017


Notes to Financial Statements (continued)

distributions is determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP. The portion of distributions that exceeds a Trust’s current and accumulated earnings and profits, as measured on a tax basis, constitute a non-taxable return of capital. Realized net capital gains can be offset by capital losses carried forward from prior years. However, certain Trusts have capital loss carryforwards from pre-2012 tax years that offset realized net capital gains but do not offset current earnings and profits. Consequently, if distributions in any tax year are less than the Trust’s current earnings and profits but greater than net investment income and net realized capital gains (taxable income), distributions in excess of taxable income are not treated as non-taxable return of capital, but rather may be taxable to shareholders at ordinary income rates. Under certain circumstances, taxable excess distributions could be significant.

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 other BlackRock Closed-End Funds 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 other BlackRock Closed-End Funds.

The Plan is not funded and obligations thereunder represent general unsecured claims against the general assets of each Trust, if applicable. Deferred compensation liabilities are included in officer’s and trustees’ 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 November 2016, the Financial Accounting Standards Board issued Accounting Standards Update “Restricted Cash” which will require entities to include the total of cash, cash equivalents, restricted cash, and restricted cash equivalents in the beginning and ending cash balances in the Statements of Cash Flows. The guidance will be applied retrospectively and is effective for fiscal years beginning after December 15, 2017, and interim periods within those years. Management is evaluating the impact, if any, of this guidance on the Trusts’ presentation in the Statements of Cash Flows.

In March 2017, the Financial Accounting Standards Board issued Accounting Standards Update “Premium Amortization on Purchased Callable Debt Securities” which amends the amortization period for certain purchased callable debt securities. Under the new guidance, 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.

SEC Reporting Modernization: The Securities and Exchange Commission (“SEC”) adopted new rules and forms and amended other rules to enhance the reporting and disclosure of information by registered investment companies. As part of these changes, the SEC amended Regulation S-X to standardize and enhance disclosures in investment company financial statements. The compliance date for implementing the new or amended rules is August 1, 2017.

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.

Through May 31, 2016, the Trusts had an arrangement with their custodian whereby credits were earned on uninvested cash balances, which could be used to reduce custody fees and/or overdraft charges. Credits previously earned have been utilized until December 31, 2016. Under current arrangements effective June 1, 2016, the Trusts no longer earn credits on uninvested cash, and may incur charges on uninvested cash balances and overdrafts, subject to certain conditions.

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) (or if the reporting date falls on a day the NYSE is closed, investments are valued at fair value as of the period end). 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.



SEMI-ANNUAL REPORT	APRIL 30, 2017	85


Notes to Financial Statements (continued)

Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Trust’s assets and liabilities:

•

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

•

Fixed-income securities for which market quotations are readily available are generally valued using the last available bid prices or current market quotations provided by independent dealers or third party pricing services. Floating rate loan interests are valued at the mean of the bid prices from one or more independent brokers or dealers as obtained from a third party pricing service. Pricing services generally value fixed-income securities assuming orderly transactions of an institutional round lot size, but the Trust may hold or transact in such securities in smaller, odd lot sizes. Odd lots often trade at lower prices than institutional round lots. The pricing services may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data (e.g., recent representative bids and offers), credit quality information, perceived market movements, news, and other relevant information. Certain fixed-income securities, including asset-backed and mortgage related securities may be valued based on valuation models that consider the estimated cash flows of each tranche of the entity, establish a benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique attributes of the tranche. The amortized cost method of valuation may be used with respect to debt obligations with sixty days or less remaining to maturity unless the Manager determines such method does not represent fair value.

Generally, trading in foreign instruments is substantially completed each day at various times prior to the close of trading on the NYSE. Occasionally, events affecting the values of such instruments may occur between the foreign market close and the close of trading on the NYSE that may not be reflected in the computation of the Trust’s net assets. Each business day, the Trusts use a pricing service to assist with the valuation of certain foreign exchange-traded equity securities and foreign exchange-traded over-the-counter (“OTC”) or if options (the “Systematic Fair Value Price”). Using current market factors, the Systematic Fair Value Price is designed to value such foreign securities and foreign options at fair value as of the close of trading on the NYSE, which follows the close of the local markets.

•

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 in open-end U.S. mutual funds are valued at NAV each business day.

•

Futures contracts traded on exchanges are valued at their last sale price.

•

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

•

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

•

Swap agreements are valued utilizing quotes received daily by the Trusts’ pricing service or through brokers, which are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades and values of the underlying reference instruments.

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 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 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 an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement.



86	SEMI-ANNUAL REPORT	APRIL 30, 2017


Notes to Financial Statements (continued)

The Global Valuation Committee, or its delegate, employs various methods for calibrating valuation approaches for investments where an active market does not exist, including regular due diligence of each Trust’s pricing vendors, regular reviews of key inputs and assumptions, transactional back-testing or disposition analysis to compare unrealized gains and losses to realized gains and losses, reviews of missing or stale prices and large movements in market values and reviews of any market related activity. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis. As a result of the inherent uncertainty in valuation of these investments, the fair values may differ from the values that would have been used had an active market existed.

For investments in equity or debt issued by privately-held companies or funds (“Private Company” or collectively, the “Private Companies”) and other Fair Valued Investments, the fair valuation approaches that are used by third party pricing services utilize one or a combination of, but not limited to, the following inputs.


Standard Inputs Generally Considered By Third Party Pricing Services
Market approach		(i) recent market transactions, including subsequent rounds of financing, in the underlying investment or comparable issuers; (ii) recapitalizations and other transactions across the capital structure; and (iii) market multiples of comparable issuers.
Income approach		(i) future cash flows discounted to present and adjusted as appropriate for liquidity, credit, and/or market risks; (ii) quoted prices for similar investments or assets in active markets; and (iii) other risk factors, such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks, recovery rates, liquidation amounts and/or default rates.
Cost approach		(i) audited or unaudited financial statements, investor communications and financial or operational metrics issued by the Private Company; (ii) changes in the valuation of relevant indices or publicly traded companies comparable to the Private Company; (iii) relevant news and other public sources; and (iv) known secondary market transactions in the Private Company’s interests and merger or acquisition activity in companies comparable to the Private Company.

Investments in series of preferred stock issued by Private Companies are typically valued utilizing the Market approach in determining the enterprise value of the company. Such investments often contain rights and preferences that differ from other series of preferred and common stock of the same issuer. Valuation techniques such as an option pricing model (“OPM”), a probability weighted expected return model (“PWERM”) or a hybrid of those techniques are used in allocating enterprise value of the company, as deemed appropriate under the circumstances. The use of OPM and PWERM techniques involve a determination of the exit scenarios of the investment in order to appropriately allocate the enterprise value of the company among the various parts of its capital structure.

The Private Companies are not subject to the public company disclosure, timing, and reporting standards as other investments held by a Trust. Typically, the most recently available information by a Private Company is as of a date that is earlier than the date a Trust is calculating its NAV. This factor may result in a difference between the value of the investment in series of preferred stock issues by Private Companies and the price a Trust could receive upon the sale of the investment.

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 Private Companies. 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/or non-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.



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4. Securities and Other Investments:

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

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

Non-agency mortgage-backed securities are securities issued by non-governmental issuers and have no direct or indirect government guarantees of payment and are subject to various risks. Non-agency mortgage loans are obligations of the borrowers thereunder only and are not typically insured or guaranteed by any other person or entity. The ability of a borrower to repay a loan is dependent upon the income or assets of the borrower. A number of factors, including a general economic downturn, acts of God, terrorism, social unrest and civil disturbances, may impair a borrower’s ability to repay its loans.

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

Inflation-Indexed Bonds: Inflation-indexed bonds (other than municipal inflation-indexed and certain corporate inflation-indexed bonds) are fixed-income securities whose principal value is periodically adjusted according to the rate of inflation. If the index measuring inflation rises or falls, the principal value of inflation-indexed bonds (other than municipal inflation-indexed and certain corporate inflation-indexed bonds) will be adjusted upward or downward, and consequently the interest payable on these securities (calculated with respect to a larger or smaller principal amount) will be increased or reduced, respectively. Any upward or downward adjustment in the principal amount of an inflation-indexed bond will be included as interest income in the Statements of Operations, even though investors do not receive their principal until maturity. Repayment of the original bond principal upon maturity (as adjusted for inflation) is guaranteed in the case of U.S. Treasury inflation-indexed bonds. For bonds that do not provide a similar guarantee, the adjusted principal value of the bond repaid at maturity may be less than the original principal. With regard to municipal inflation-indexed bonds and certain corporate inflation-indexed bonds, the inflation adjustment is typically reflected in the semi-annual coupon payment. As a result, the principal value of municipal inflation-indexed bonds and such corporate inflation-indexed bonds does not adjust according to the rate of inflation.

Multiple Class Pass-Through Securities: Multiple class pass-through securities, including collateralized mortgage obligations (“CMOs”) and commercial mortgage-backed securities, may be issued by Ginnie Mae, U.S. Government agencies or instrumentalities or by trusts formed by private originators of, or investors in, mortgage loans. In general, CMOs are debt obligations of a legal entity that are collateralized by a pool of residential or commercial mortgage loans or Mortgage Assets. The payments on these are used to make payments on the CMOs or multiple pass-through securities. Multiple class pass-through securities represent direct ownership interests in the Mortgage Assets. Classes of CMOs include interest only (“IOs”), principal only (“POs”), planned amortization classes and targeted amortization classes. IOs and POs are stripped mortgage-backed securities representing interests in a pool of mortgages, the cash flow from which has been separated into interest and principal components. IOs receive the interest portion of the cash flow while POs receive the principal portion. IOs and POs can be extremely volatile in response to changes in interest rates. As interest rates rise and fall, the value of IOs tends to move in the same direction as interest rates. POs perform best when prepayments on the underlying mortgages rise since this increases the rate at which the principal is returned and the yield to maturity on the PO. When payments on mortgages underlying a PO are slower than anticipated, the life of



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the PO is lengthened and the yield to maturity is reduced. If the underlying Mortgage Assets experience greater than anticipated prepayments of principal, a Trust’s initial investment in the IOs may not fully recoup.

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.

Capital Securities and Trust Preferred Securities: Capital securities, including trust preferred securities, are typically issued by corporations, generally in the form of interest-bearing notes with preferred securities characteristics. In the case of trust preferred securities, an affiliated business trust of a corporation issues these securities, generally in the form of beneficial interests in subordinated debentures or similarly structured securities. The securities can be structured with either a fixed or adjustable coupon that can have either a perpetual or stated maturity date. For trust preferred securities, the issuing bank or corporation pays interest to the trust, which is then distributed to holders of these securities as a dividend. Dividends can be deferred without creating an event of default or acceleration, although maturity cannot take place unless all cumulative payment obligations have been met. The deferral of payments does not affect the purchase or sale of these securities in the open market. These securities generally are rated below that of the issuing company’s senior debt securities and are freely callable at the issuer’s option.

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

Warrants: Warrants entitle a Trust to purchase a specified number of shares of common stock and are non-income producing. The purchase price and number of shares are subject to adjustment under certain conditions until the expiration date of the warrants, if any. If the price of the underlying stock does not rise above the strike price before the warrant expires, the warrant generally expires without any value and a Trust will lose any amount it paid for the warrant. Thus, investments in warrants may involve more risk than investments in common stock. Warrants may trade in the same markets as their underlying stock; however, the price of the warrant does not necessarily move with the price of the underlying stock.

Floating Rate Loan Interests: Floating rate loan interests are typically issued to companies (the “borrower”) by banks, other financial institutions, or privately and publicly offered corporations (the “lender”). Floating rate loan interests are generally non-investment grade, often involve borrowers whose financial condition is troubled or uncertain and companies that are highly leveraged or in bankruptcy proceedings. In addition, transactions in floating rate loan interests may settle on a delayed basis, which may result in proceeds from the sale to not be readily available for a Trust to make additional investments or meet its redemption obligations. Floating rate loan interests may include fully funded term loans or revolving lines of credit. Floating rate loan interests are typically senior in the corporate capital structure of the borrower. Floating rate loan interests generally pay interest at rates that are periodically determined by reference to a base lending rate plus a premium. Since the rates reset only periodically, changes in prevailing interest rates (and particularly sudden and significant changes) can be expected to cause some fluctuations in the NAV of a Trust to the extent that it invests in floating rate loan interests. The base lending rates are generally the lending rate offered by one or more European banks, such as the London Interbank Offered Rate (“LIBOR”), the prime rate offered by one or more U.S. banks or the certificate of deposit rate. Floating rate loan interests may involve foreign borrowers, and investments may be denominated in foreign currencies. These investments are treated as investments in debt securities for purposes of a Trust’s investment policies.

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

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



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Notes to Financial Statements (continued)

result in a Trust having a direct contractual relationship with the borrower, and a Trust may enforce compliance by the borrower with the terms of the loan agreement.

In connection with floating rate loan interests, certain Trusts may also enter into unfunded floating rate loan interests (“commitments”). In connection with these commitments, a Trust earns a commitment fee, typically set as a percentage of the commitment amount. Such fee income, which is included in interest income in the Statements of Operations, is recognized ratably over the commitment period. Unfunded floating rate loan interests are marked-to-market daily, and any unrealized appreciation (depreciation) is included in the Statements of Assets and Liabilities and Statements of Operations. As of period end, the Trusts had the following unfunded floating rate loan interests:


	Borrower	Par		Commitment Amount		Value		Unrealized Appreciation (Depreciation)
BGT…	CH Hold Corp., Delayed Draw Term Loan B	$	75,090	$	74,902	$	75,559	$	657
	Oberthur Technologies SA, 2016 Term Loan B2	$	231,908	$	230,748	$	232,313	$	1,565
BIT…	Lone Star LSPT Future Funding, Mortgage Loan	$	4,024,376	$	3,908,588	$	3,948,919	$	40,331

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 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.

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

Reverse Repurchase Agreements: Reverse repurchase agreements are agreements with qualified third party broker dealers in which a Trust sells securities to a bank or broker-dealer and agrees to repurchase the same securities at a mutually agreed upon date and price. A Trust receives cash from the sale to use for other investment purposes. During the term of the reverse repurchase agreement, a Trust continues to receive the principal and interest payments on the securities sold. Certain agreements have no stated maturity and can be terminated by either party at any time. Interest on the value of the reverse repurchase agreements issued and outstanding is based upon competitive market rates determined at the time of issuance. A Trust may utilize reverse repurchase agreements when it is anticipated that the interest income to be earned from the investment of the proceeds of the transaction is greater than the interest expense of the transaction. Reverse repurchase agreements involve leverage risk. If a Trust suffers a loss on its investment of the transaction proceeds from a reverse repurchase agreement, a Trust would still be required to pay the full repurchase price. Further, a Trust remains subject to the risk that the market value of the securities repurchased declines below the repurchase price. In such cases, a Trust would be required to return a portion of the cash received from the transaction or provide additional securities to the counterparty.

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

For the six months ended April 30, 2017, the average amount of reverse repurchase agreements outstanding and the daily weighted average interest rate for the Trusts were as follows:


	Average Amount Outstanding		Daily Weighted Average Interest Rate
BTZ	$	533,400,139		0.87%
BIT	$	439,619,732		1.28%



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Notes to Financial Statements (continued)

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

As of period end, the following table is a summary of the Trusts’ open reverse repurchase agreements by counterparty which are subject to offset under an MRA on a net basis:


BTZ
Counterparty	Reverse Repurchase Agreements		Fair Value of Non-cash Collateral Pledged Including Accrued Interest¹			Cash Collateral Pledged		Net Amount
Barclays Capital, Inc.	$	14,095,352	$	(14,095,352	)		—		—
BNP Paribas S.A.		107,315,880		(107,315,880	)		—		—
Citigroup Global Markets, Inc.		2,811,372		(2,811,372	)		—		—
Credit Suisse Securities (USA) LLC		33,103,867		(33,103,867	)		—		—
Deutsche Bank Securities, Inc.		30,661,624		(30,661,624	)		—		—
RBC Capital Markets LLC		234,539,071		(234,539,071	)		—		—
UBS Securities LLC		16,803,483		(16,803,483	)		—		—

Total	$	439,330,649	$	(439,330,649	)		—		—

Net collateral with a value of $465,181,416 has been pledged in connection with open reverse repurchase agreements. Excess of net collateral pledged to the individual counterparty is not shown for financial reporting purposes.


BIT
Counterparty	Reverse Repurchase Agreements		Fair Value of Non-cash Collateral Pledged Including Accrued Interest¹			Cash Collateral Pledged		Net Amount
Barclays Bank PLC	$	1,336,749	$	(1,336,749	)		—		—
Barclays Capital, Inc.		21,951,437		(21,951,437	)		—		—
BNP Paribas S.A.		26,617,759		(26,617,759	)		—		—
Citigroup Global Markets, Inc.		353,600		(353,600	)		—		—
Credit Suisse Securities (USA) LLC		12,696,487		(12,696,487	)		—		—
Deutsche Bank Securities, Inc.		106,335,336		(106,335,336	)		—		—
HSBC Securities (USA), Inc.		8,185,181		(8,185,181	)		—		—
J.P. Morgan Securities LLC		9,882,099		(9,882,099	)		—		—
RBC Capital Markets LLC		180,025,166		(180,025,166	)		—		—
UBS Ltd.		12,801,458		(12,801,458	)		—		—
UBS Securities LLC		78,628,484		(78,628,484	)		—		—

Total	$	458,813,756	$	(458,813,756	)		—		—

Net collateral with a value of $542,665,756 has been pledged in connection with open reverse repurchase agreements. Excess of net collateral pledged to the individual counterparty is not shown for financial reporting purposes.

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

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 or OTC.

Futures Contracts: Certain Trusts invest in long and/or short positions in futures and options on futures contracts to gain exposure to, or manage exposure to changes in interest rates (interest rate risk), changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).



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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.

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 value of the contract at the time it was opened and the value 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.

Forward Foreign Currency Exchange Contracts: Certain Trusts enter into forward foreign currency exchange contracts to gain or reduce exposure to foreign currencies (foreign currency exchange rate risk).

A forward foreign currency exchange contract is an agreement between two parties to buy and sell a currency at a set exchange rate on a specified date. These contracts help to manage the overall exposure to the currencies in which some of the investments held by the Trusts are denominated and in some cases, may be used to obtain exposure to a particular market.

The contract is marked to market daily and the change in market value is recorded as unrealized appreciation (depreciation) in the Statements of Assets and Liabilities. When a contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the value at the time it was opened and the value at the time it was closed. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency. The use of forward foreign currency exchange contracts involves the risk that the value of a forward foreign currency exchange contract changes unfavorably due to movements in the value of the referenced foreign currencies.

Options: Certain Trusts purchase and write call and put options to increase or decrease their exposure to the risks of underlying instruments, including equity risk, interest rate risk and/or commodity price risk and/or, in the case of options written, to generate gains from options premiums.

A call option gives the purchaser (holder) of the option the right (but not the obligation) to buy, and obligates the seller (writer) to sell (when the option is exercised) the underlying instrument at the exercise or strike price at any time or at a specified time during the option period. A put option gives the holder the right to sell and obligates the writer to buy the underlying instrument at the exercise or strike price at any time or at a specified time during the option period.

Premiums paid on options purchased and premiums received on options written, as well as the daily fluctuation in market value, are included in investments at value — unaffiliated and options written at value, respectively, in the Statements of Assets and Liabilities. When an instrument is purchased or sold through the exercise of an option, the premium is offset against the cost or proceeds of the underlying instrument. When an option expires, a realized gain or loss is recorded in the Statements of Operations to the extent of the premiums received or paid. When an option is closed or sold, a gain or loss is recorded in the Statements of Operations to the extent the cost of the closing transaction exceeds the premiums received or paid. When the Trusts write a call option, such option is typically “covered,” meaning that they hold the underlying instrument subject to being called by the option counterparty. When the Trusts write a put option, such option is covered by cash in an amount sufficient to cover the obligation.

•

Swaptions — Certain Trusts purchase and write options on swaps (“swaptions”) primarily to preserve a return or spread on a particular investment or portion of the Trusts’ holdings, as a duration management technique or to protect against an increase in the price of securities it anticipates purchasing at a later date. The purchaser and writer of a swaption is buying or granting the right to enter into a previously agreed upon interest rate or credit default swap agreement (interest rate risk and/or credit risk) at any time before the expiration of the option.

•

Foreign currency options — Certain Trusts purchase and write foreign currency options, foreign currency futures and options on foreign currency futures to gain or reduce exposure to foreign currencies (foreign currency exchange rate risk). Foreign currency options give the purchaser the right to buy from or sell to the writer a foreign currency at any time before the expiration of the option.

•

Barrier options — Certain Trusts may purchase and write a variety of options with non-standard payout structures or other features (“barrier options”) that are generally traded OTC.

The Trusts may invest in various types of barrier options, including down-and-out options, down-and-in options, double no-touch options, one-touch options, up-and-out options and up-and-in options. Down-and-out options expire worthless to the purchaser if the price of the underlying instrument falls below a specific barrier price level prior to the expiration date. Down-and-in options expire worthless to the purchaser unless the price of the underlying instrument falls below a specific barrier price level prior to the expiration date. Double no-touch options provide the purchaser an agreed-upon payout if



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the price of the underlying instrument does not reach or surpass predetermined barrier price levels prior to the option’s expiration date. One-touch options provide the purchaser an agreed-upon payout if the price of the underlying instrument reaches or surpasses predetermined barrier price levels prior to the expiration date. Up-and-out options expire worthless if the price of the underlying instrument increases beyond a predetermined barrier price level prior to the expiration date. Up-and-in options can only be exercised when the price of the underlying instrument increases beyond a predetermined barrier price level.

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

Swaps: Certain Trusts enter into swap contracts to manage exposure to issuers, markets and securities. Such contracts are agreements between the Trusts and a counterparty to make periodic net payments on a specified notional amount or a net payment upon termination. Swap agreements are privately negotiated in the OTC market and may be entered into as a bilateral contract (“OTC swaps”) or centrally cleared (“centrally cleared swaps”).

For OTC swaps, any upfront premiums paid and any upfront fees received are shown as swap premiums paid and swap premiums received, respectively, in the Statements of Assets and Liabilities and amortized over the term of the contract. The daily fluctuation in market value is recorded as unrealized appreciation (depreciation) on OTC Swaps in the Statements of Assets and Liabilities. Payments received or paid are recorded in the Statements of Operations as realized gains or losses, respectively. When an OTC swap is terminated, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the proceeds from (or cost of) the closing transaction and the Trusts’ basis in the contract, if any. Generally, the basis of the contract is the premium received or paid.

In a centrally cleared swap, immediately following execution of the swap contract, the swap contract is novated to a central counterparty (the “CCP”) and the Trusts’ counterparty on the swap agreement becomes the CCP. The Trusts are required to interface with the CCP through the broker. Upon entering into a centrally cleared swap, 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 the size and risk profile of the particular swap. Securities deposited as initial margin are designated in the Schedules of Investments and cash deposited is shown as cash pledged for centrally cleared swaps 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 shown as variation margin receivable (or payable) on centrally cleared swaps in the Statements of Assets and Liabilities. Payments received from (paid to) the counterparty, including at termination, are recorded as realized gains (losses) in the Statements of Operations.

•

Credit default swaps — Certain Trusts enter into credit default swaps to manage their exposure to the market or certain sectors of the market, to reduce their risk exposure to defaults of corporate and/or sovereign issuers or to create exposure to corporate and/or sovereign issuers to which they are not otherwise exposed (credit risk).

The Trusts may either buy or sell (write) credit default swaps on single-name issuers (corporate or sovereign), a combination or basket of single-name issuers or traded indexes. Credit default swaps are agreements in which the protection buyer pays fixed periodic payments to the seller in consideration for a promise from the protection seller to make a specific payment should a negative credit event take place with respect to the referenced entity (e.g., bankruptcy, failure to pay, obligation acceleration, repudiation, moratorium or restructuring). As a buyer, if an underlying credit event occurs, the Trusts will either (i) receive from the seller an amount equal to the notional amount of the swap and deliver the referenced security or underlying securities comprising the index, or (ii) receive a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index. As a seller (writer), if an underlying credit event occurs, the Trusts will either pay the buyer an amount equal to the notional amount of the swap and take delivery of the referenced security or underlying securities comprising the index or pay a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index.

•

Interest rate swaps — Certain Trusts enter into interest rate swaps to gain or reduce exposure to interest rates or to manage duration, the yield curve or interest rate (interest rate risk).

Interest rate swaps are agreements in which one party pays a stream of interest payments, either fixed or floating, in exchange for another party’s stream of interest payments, either fixed or floating, on the same notional amount for a specified period of time. In more complex interest rate swaps, the notional principal amount may decline (or amortize) over time.

•

Forward swaps — Certain Trusts enter into forward interest rate swaps and forward total return swaps. In a forward swap, each Trust and the counterparty agree to make periodic net payments beginning on a specified date or a net payment at termination.

•

Inflation swaps — Certain Trusts enter into inflation swaps to gain or reduce exposure to inflation (inflation risk). In an inflation swap, one party makes fixed interest payments on a notional principal amount in exchange for another party’s stream of variable payments based on an inflation index, such as the Consumer Price Index.



SEMI-ANNUAL REPORT	APRIL 30, 2017	93


Notes to Financial Statements (continued)

Swap transactions involve, to varying degrees, elements of interest rate, credit and market risk in excess of the amounts recognized in the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of the contractual terms in the agreements, and that there may be unfavorable changes in interest rates and/or market values associated with these transactions.

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

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

Cash collateral that has been pledged to cover obligations of the Trusts and cash collateral received from the counterparty, if any, is reported separately on the Statements of Assets and Liabilities as cash pledged as collateral and cash received as collateral, respectively. Non-cash collateral pledged by the Trusts, if any, is noted in the Schedules of Investments. Generally, the amount of collateral due from or to a counterparty is subject to a certain minimum transfer amount threshold before a transfer is required, which is determined at the close of business of the Trusts. Any additional required collateral is delivered to/pledged by the Trusts on the next business day. Typically, the counterparty is not permitted to sell, re-pledge or use cash and non-cash collateral it receives. A Trust generally agrees not to use non-cash collateral that it receives but may, absent default or certain other circumstances defined in the underlying ISDA Master Agreement, be permitted to use cash collateral received. In such cases, interest may be paid pursuant to the collateral arrangement with the counterparty. To the extent amounts due to the Trusts from their counterparties are not fully collateralized, they bear the risk of loss from counterparty non-performance. Likewise, to the extent the Trusts have delivered collateral to a counterparty and stand ready to perform under the terms of their agreement with such counterparty, they bear the risk of loss from a counterparty in the amount of the value of the collateral in the event the counterparty fails to return such collateral. Based on the terms of agreements, collateral may not be required for all derivative contracts.

For financial reporting purposes, the Trusts do not offset derivative assets and derivative liabilities that are subject to netting arrangements, if any, in the Statements of Assets and Liabilities.

6. Investment Advisory Agreement and Other Transactions with Affiliates:

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

Investment Advisory: Each Trust entered into an Investment Advisory Agreement with the Manager, the Trusts’ investment adviser, an indirect, wholly-owned subsidiary of BlackRock, to provide investment advisory and administration 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, BTZ and BGT each pay the Manager a monthly fee at an annual rate equal to 0.62% and 0.75%, respectively, of the average weekly value of each Trust’s managed assets. For purposes of calculating these fees, “managed assets” mean the total assets of each Trust minus the sum of its accrued liabilities (other than the aggregate indebtedness constituting financial leverage).

For such services, BIT pays the Manager a monthly fee at an annual rate equal to 0.80% of the average daily value of the Trust’s managed assets. For purposes of calculating the investment advisory fees, “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).

The Manager provides investment management and other services to the BIT Subsidiary. The Manager does not receive separate compensation from the Taxable Subsidiary for providing investment management or administrative services. However, the Trust pays the Manager based on the Trust’s net assets, plus the proceeds of any debt securities or outstanding borrowings used for leverage, which includes the assets of the Taxable Subsidiary.

With respect to BIT, the Manager entered into a sub-advisory agreement with BlackRock (Singapore) Limited (“BRS”), an affiliate of the Manager. The Manager pays BRS, for services it provides, a monthly fee that is a percentage of the investment advisory fees paid by BIT to the Manager.



94	SEMI-ANNUAL REPORT	APRIL 30, 2017


Notes to Financial Statements (continued)

Waivers: 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 by the Manager in the Statements of Operations. The amount of waivers and/or reimbursements of fees and expenses made pursuant to the expense limitation caps, as applicable, will be reduced by the amount of the affiliated money market fund waiver. For the six months ended April 30, 2017, the amounts waived were as follows:


BTZ	BGT	BIT
$6,650	$426	$1,280

The Manager voluntarily 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. Effective December 2, 2016, the waiver became contractual through June 30, 2018. 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 Trusts’ Independent Trustees. For the six months ended April 30, 2017, the amounts waived in investment advisory fees pursuant to these arrangements were as follows:


BGT		BIT
$296		$451

Officers and Trustees: Certain officers and/or Trustees of the Trusts are officers and/or trustees 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 Officer and Trustees in the Statements of Operations.

Other Transactions: 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 April 30, 2017, 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:


	Purchases		Sales		Net Realized Gain
BIT	$	258,949	$	574,141	$	6,646

7. Purchases and Sales:

For the six months ended April 30, 2017, purchases and sales of investments, including paydowns and excluding short-term securities, were as follows:


Purchases	BTZ		BGT		BIT
Non-U.S. Government Securities	$	184,328,660	$	174,017,555	$	281,020,865
U.S. Government Securities		90,574,940		—		—

Total Purchases	$	274,903,600	$	174,017,555	$	281,020,865


Sales	BTZ		BGT		BIT
Non-U.S. Government Securities	$	275,004,848	$	182,998,709	$	270,619,371
U.S. Government Securities		192,571,140		—		3,628,739

Total Sales	$	467,575,988	$	182,998,709	$	274,248,110

8. Income Tax Information:

It is the Trusts’ 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 their taxable income to their shareholders. Therefore, no U.S. federal income tax provision is required, except with respect to any taxes related to the Taxable Subsidiaries.

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 BTZ’s and BGT’s U.S. federal tax returns remains open for each of the four years ended October 31, 2016. The statute of limitations on BIT’s U.S. federal tax returns remains open for the period ended October 31, 2013 and the three years ended October 31, 2016. The statutes of limitations on the Trusts’ 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 April 30, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Trusts’ financial statements.



SEMI-ANNUAL REPORT	APRIL 30, 2017	95


Notes to Financial Statements (continued)

As of October 31, 2016, the Trusts had capital loss carryforwards available to offset future realized capital gains through the indicated expiration dates as follows:


Expires	BTZ			BGT			BIT
No expiration date¹	$	41,385,234		$	12,406,397		$	35,191,922
2017		158,120,431			45,385,443			—
2018		31,756,723			16,526,601			—
2019		10,353,275			409,424			—

Total	$	241,615,663		$	74,727,865		$	35,191,922

¹ Must be utilized prior to losses subject to expiration. As of April 30, 2017, gross unrealized appreciation and depreciation based on cost for U.S. federal income tax purposes were as follows:
	BTZ			BGT			BIT
Tax cost	$	1,877,334,934		$	505,781,849		$	1,138,627,265

Gross unrealized appreciation		136,036,970			4,432,118			45,671,284
Gross unrealized depreciation		(13,756,836	)		(3,448,412	)		(9,364,412	)

Net unrealized appreciation	$	122,280,134		$	983,706		$	36,306,872

9. Bank Borrowings:

BGT is party to a senior committed secured, 360-day rolling line of credit facility and a separate security agreement (the “SSB Agreement”) with State Street Bank and Trust Company (“SSB”). SSB may elect to terminate its commitment upon 360-days written notice to BGT. As of period end, BGT has not received any notice to terminate. BGT has granted a security interest in substantially all of its assets to SSB.

The SSB Agreement allows for the following maximum commitment amount of $168,000,000.

Advances will be made by SSB to BGT, at BGT’s option of (a) the higher of (i) 0.80% above the Fed Funds rate and (ii) 0.80% above Overnight LIBOR or (b) 0.80% above 7-day, 30-day, 60-day or 90-day LIBOR.

In addition, BGT paid a commitment fee (based on the daily unused portion of the commitments). The fees associated with each of the agreements are included in the Statements of Operations as borrowing costs, if any. Advances to BGT as of period end are shown in the Statements of Assets and Liabilities as bank borrowings payable. Based on the short-term nature of the borrowings under the line of credit and the variable interest rate, the carrying amount of the borrowings approximates fair value.

BGT may not declare dividends or make other distributions on shares or purchase any such shares if, at the time of the declaration, distribution or purchase, asset coverage with respect to the outstanding short-term borrowings is less than 300%.

For the six months ended April 30, 2017, the average amount of bank borrowings and the daily weighted average interest rates for BGT for loans under the revolving credit agreements were $135,066,298 and 1.54%, respectively.

10. Principal Risks:

In the normal course of business, the Trusts invest in securities and enter into transactions where risks exist due to fluctuations in the market (market risk) or failure of the issuer to meet all its obligations, including the ability to pay principal and interest when due (issuer credit risk). The value of securities held by the Trusts may decline in response to certain events, including those directly involving the issuers of securities owned by the Trusts. Changes arising from the general economy, the overall market and local, regional or global political and/or social instability, as well as currency, interest rate and price fluctuations, may also affect the securities’ value.

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.

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A Trust may invest in illiquid investments and may experience difficulty in selling those investments in a timely manner at the price that they believe the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause each Trust’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a Trust may lose value, regardless of the individual results of the securities and other instruments in which a Trust invests.



96	SEMI-ANNUAL REPORT	APRIL 30, 2017


Notes to Financial Statements (continued)

The price a Trust could receive upon the sale of any particular portfolio investment may differ from a Trust’s valuation of the investment, particularly for securities that trade in thin or volatile markets or that are valued using a fair valuation technique or a price provided by an independent pricing service. Changes to significant unobservable inputs and assumptions (i.e., publicly traded company multiples, growth rate, time to exit) due to the lack of observable inputs may significantly impact the resulting fair value and therefore a Trust’s results of operations. As a result, the price received upon the sale of an investment may be less than the value ascribed by a Trust, and a Trust could realize a greater than expected loss or lesser than expected gain upon the sale of the investment. A Trust’s ability to value its investments may also be impacted by technological issues and/or errors by pricing services or other third party service providers.

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

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

For OTC options purchased, each Trust bears the risk of loss in the amount of the premiums paid plus the positive change in market values net of any collateral held by such Trust should the counterparty fail to perform under the contracts. Options written by the Trusts do not typically give rise to counterparty credit risk, as options written generally obligate the Trusts, and not the counterparty, to perform. The Trusts may be exposed to counterparty credit risk with respect to options written to the extent the Trusts deposit collateral with its counterparty to a written option.

With exchange-traded options purchased and futures and centrally cleared swaps, 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 in exchange-traded futures and centrally cleared swaps with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Trusts.

Concentration Risk: Certain Trusts may invest in securities that are rated below investment grade quality (sometimes called “junk bonds”), which are predominantly speculative, have greater credit risk and generally are less liquid and have more volatile prices than higher quality securities.

Certain 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 Trusts may be subject to a greater risk of rising interest rates due to the current period of historically low rates.

Certain Trusts invest a significant portion of their assets in securities backed by commercial or residential mortgage loans or in issuers that hold mortgage and other asset-backed securities. Investment percentages in these securities are presented in the Schedules of Investments. Changes in economic conditions, including delinquencies and/or defaults on assets underlying these securities, can affect the value, income and/or liquidity of such positions.

11. Capital Share Transactions:

The Trusts are authorized to issue an unlimited number of shares, all of which were initially classified as Common Shares. The Board is authorized, however, to reclassify any unissued Common Shares to Preferred Shares without 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:


	BGT
Six months ended April 30, 2017		1,934
Year ended October 31, 2016		—



SEMI-ANNUAL REPORT	APRIL 30, 2017	97


Notes to Financial Statements (concluded)

For the year ended October 31, 2016, shares issued and outstanding remained constant for each Trust.

On October 26, 2016, the Board approved the Trusts’ participation in an open market share repurchase program (the “Share Repurchase Program”). The Trusts are eligible to purchase, at prevailing market prices, up to 5% of their common shares outstanding as of the close of business on October 28, 2016, subject to certain conditions. Repurchases may be made through November 30, 2017. There is no assurance that a Trust will purchase shares in any particular amounts. For the six months ended April 30, 2017, BTZ and BIT repurchased 676,066 and 254,873 shares, respectively, at a cost of $8,822,801 and $4,354,046 including transaction costs, respectively. The total amount of such repurchases is reflected in the Statements of Changes in Net Assets.

12. Subsequent Events:

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
	Paid¹		Declared²
BTZ	$	0.0705	$	0.0705
BGT	$	0.0583	$	0.0583
BIT	$	0.1167	$	0.1167

Net investment income dividend paid on May 31, 2017 to shareholders of record on May 15, 2017.

Net investment income dividend declared on June 1, 2017, payable to shareholders of record on June 15, 2017.



98	SEMI-ANNUAL REPORT	APRIL 30, 2017


Officers and Trustees

Richard E. Cavanagh, Chair of the Board and Trustee

Karen P. Robards, Vice Chair of the Board and Trustee

Michael J. Castellano, Trustee

Cynthia L. Egan, Trustee

Frank J. Fabozzi, Trustee

Jerrold B. Harris, Trustee

R. Glenn Hubbard, Trustee

W. Carl Kester, Trustee

Catherine A. Lynch, Trustee

Barbara G. Novick, 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

For BIT.



SEMI-ANNUAL REPORT	APRIL 30, 2017	99


Additional Information

Trust Certification

The Trusts are listed for trading on the NYSE and has filed with the NYSE its annual chief executive officer certification regarding compliance with the NYSE’s listing standards. The Trusts filed with the SEC the certification of their 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 dividend distributions, 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 portion of distributions that exceeds a Trust’s current and accumulated earnings and profits, which are measured on a tax basis, will constitute a nontaxable return of capital. Distributions in excess of a Trust’s taxable income and net capital gains, but not in excess of a Trust’s earnings and profits, will be taxable to shareholders as ordinary income and will not constitute a nontaxable return of capital. 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.

In accordance with Section 23(c) of the Investment Company Act of 1940, as amended, the Trusts from time to time may purchase its common shares in the open market or in private transactions.

Except as described below, during the period there were no material changes in the Trusts’ investment objectives or policies or to the Trusts’ charter or by-laws that would delay or prevent a change of control of the Trusts that were not approved by shareholders or in the principal risk factors associated with investment in the Trusts. There have been no changes in the persons who are primarily responsible for the day-to-day management of the Trusts’ portfolio.

On October 28, 2016, BIT and BTZ announced that they had divided their Board of Trustees into three classes, with one class standing for election each year, and had adopted a voting standard of a majority of the outstanding shares for the election of trustees in a contested election.

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 at http://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 adviser. 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



100	SEMI-ANNUAL REPORT	APRIL 30, 2017


Additional Information (continued)

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.

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 and may also be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room or how to access documents on the SEC’s website without charge may be obtained by calling (800) SEC-0330. 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) at http://www.blackrock.com; and (3) on the SEC’s website at http://www.sec.gov.

Availability of Proxy Voting Record

Information about how the 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) at http://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 of http://www.blackrock.com as 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.

Section 19(a) Notice

These 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 the 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 federal income tax purposes.

April 30, 2017


	Total Fiscal Year-to-Date Cumulative Distributions by Character										Percentage of Fiscal Year-to-Date Cumulative Distributions by Character
	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
BTZ	$	0.413418		—		—	$	0.009582	$	0.423000		98	%		—		—		2	%		100	%

The Trusts estimate that they have distributed more than the amount of earned income and net realized gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Trusts are returned to the shareholder. A return of capital does not necessarily reflect the Trusts’ investment performance and should not be confused with ‘yield’ or ‘income.’ When distributions exceed total return performance, the difference will incrementally reduce the Trusts’ net asset value per share.

Section 19(a) notices for the Trusts, as applicable, are available on the BlackRock website at http://www.blackrock.com.



SEMI-ANNUAL REPORT	APRIL 30, 2017	101


Additional Information (concluded)

BlackRock Privacy Principles

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

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

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

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

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



102	SEMI-ANNUAL REPORT	APRIL 30, 2017

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.

LOGO


CE-CAFRI-3-4/17-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

(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 Form N-CSR filing.

Item 7 –

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not Applicable to this semi-annual report

Item 8 –

Portfolio Managers of Closed-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 Form N-CSR.

Item 9 –

Purchases of Equity Securities by Closed-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
November 1-30, 2016	N/A	N/A	N/A	5,404,408
December 1-31, 2016	N/A	N/A	N/A	5,404,408
January 1-31, 2017	150,777	$13.0636	150,777	5,253,631
February 1-28, 2017	224,124	$13.1207	224,124	5,029,507
March 1-31, 2017	301,165	$12.9686	301,165	4,728,342
April 1-30, 2017	N/A	N/A	N/A	4,728,342
Total:	676,066	$13.0402	676,066	4,728,342

¹The Fund announced an open market share repurchase program on October 28, 2016 pursuant to which the Fund may repurchase, through November 30, 2017, up to 5% of its outstanding common shares based on common shares outstanding on October 28, 2016 (5,404,408 common shares), in open market transactions, subject to certain conditions.

Item 10 –

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

Item 11 –

Controls and Procedures

(a) – The 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-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 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 Rule 30a-3(d) under the 1940 Act) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12 –

Exhibits attached hereto

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

(a)(2) – Certifications – Attached hereto

(a)(3) – Not Applicable

(b) – Certifications – Attached hereto

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 Credit Allocation Income Trust

By:		/s/ John M. Perlowski
		John M. Perlowski
		Chief Executive Officer (principal executive officer) of
		BlackRock Credit Allocation Income Trust

Date: July 5, 2017

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 Credit Allocation Income Trust

Date: July 5, 2017

By:		/s/ Neal J. Andrews
		Neal J. Andrews
		Chief Financial Officer (principal financial officer) of
		BlackRock Credit Allocation Income Trust

Date: July 5, 2017

See Notes to Financial Statements.

SEMI-ANNUAL REPORT

APRIL 30, 2017