iShares U.S. ETF Trust NCSR Certified annual shareholder report (management investment company)

iShares U.S. ETF Trust N-CSRCertified 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 811-22649

iShares U.S. ETF Trust

(Exact name of Registrant as specified in charter)

c/o: State Street Bank and Trust Company

1 Iron Street, Boston, MA 02210

(Address of principal executive offices) (Zip code)

The Corporation Trust Company

1209 Orange Street, Wilmington, DE 19801

(Name and address of agent for service)

Registrant’s telephone number, including area code: (415) 670-2000

Date of fiscal year end: October 31, 2016

Date of reporting period: October 31, 2016

Item 1. Reports to Stockholders.

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

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iShares Short Maturity Bond ETF | NEAR | BATS

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iShares Short Maturity Municipal Bond ETF | MEAR | BATS

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iShares Ultra Short-Term Bond ETF | ICSH | BATS

Table of Contents


Management’s Discussions of Fund Performance			5
About Fund Performance			12
Shareholder Expenses			12
Schedules of Investments			13
iShares Short Maturity Bond ETF			13
iShares Short Maturity Municipal Bond ETF			27
iShares Ultra Short-Term Bond ETF			30
Financial Statements			34
Financial Highlights			38
Notes to Financial Statements			41
Report of Independent Registered Public Accounting Firm			52
Tax Information			53
Board Review and Approval of Investment Advisory Contract			54
Supplemental Information			61
Trustee and Officer Information			63

Management’s Discussion of Fund Performance

iSHARES^® U.S. ETF TRUST

U.S. BOND MARKET OVERVIEW

The U.S. bond market posted positive returns for the 12-month period ended October 31, 2016 (the “reporting period”). The Bloomberg Barclays U.S. Aggregate Bond Index, a broad measure of U.S. bond performance, returned 4.37% for the reporting period.

The bond market’s advance reflected continued uncertainty regarding the economic environment. Overall, the U.S. economy grew by 1.5% for the 12 months ended September 30, 2016 (the most recent data available), decelerating from 2.2% for the 12 months ended September 30, 2015. Although employment growth remained robust, other segments of the economy struggled. For example, industrial production contracted during the reporting period, while consumer spending increased by just 2.2%. As a result, the economy generated three consecutive quarters of anemic growth before rebounding in the final quarter of the reporting period.

Inflation generally remained muted as the consumer price index (“CPI”) rose by 1.6% for the reporting period. Although low by historical standards, the increase in the CPI was notably higher than the 0.2% increase for the 12 months ended October 31, 2015, reflecting a recovery in energy prices after they bottomed in February 2016.

In this environment, the U.S. Federal Reserve Bank (the “Fed”) ended a seven-year period of near-zero interest rates by raising its short-term interest rate target in December 2015. The Fed’s first interest rate hike since June 2006 increased the federal funds target rate from a range of 0%-0.25% to a range of 0.25%-0.50%. Despite expectations of more Fed rate increases in 2016, the slowing economic environment and lack of inflationary pressure led the Fed to hold rates steady for the remainder of the reporting period.

The combination of decelerating economic growth and low inflation pushed most U.S. bond yields lower and bond prices higher for the reporting period. Longer-term bonds fared best as long-term yields declined the most, while short-term bond yields rose slightly, reflecting the Fed rate hike in late 2015.

Sector performance was driven by strong investor demand for yield in a low interest rate environment. Consequently, corporate bonds — which offer the highest yields in the U.S. bond market — delivered the best returns for the reporting period. Lower-quality corporate bonds outperformed as the search for yield led investors to seek out riskier segments of the corporate bond market. In particular, high-yield corporate bonds (those with credit ratings below investment grade) returned more than 10% for the reporting period. Within the corporate sector, bonds issued by utility companies produced the highest returns. Industrial bonds also fared well, led by the strong performance of energy and commodity-related securities, while financial bonds lagged.

U.S. Treasury inflation-protected securities (“TIPS”) were also among the leading performers for the reporting period. The rebound in energy prices led to increased investor demand for inflation protection, which aided performance in the TIPS market.

Mortgage-backed securities posted positive returns for the reporting period but trailed the performance of the overall U.S. bond market. Mortgage-backed securities were held in check by prepayment fears as declining interest rates led to concerns about a renewed wave of mortgage refinancing.

U.S. Treasury and government agency bonds posted the lowest returns among U.S. bonds for the reporting period. Limited demand for the relatively low yields of Treasury and agency bonds weighed on their performance, as did the general underperformance of higher-quality securities.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® SHORT MATURITY BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		1.28%		0.97%		1.28%		3.03%
Fund Market		1.28%		0.97%		1.28%		3.03%
Bloomberg Barclays Short-Term Government/Corporate Index		0.71%		0.39%		0.71%		1.21%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 9/25/13. The first day of secondary market trading was 9/26/13.

The Bloomberg Barclays Short-Term Government/Corporate Index (formerly the Barclays Short-Term Government/Corporate Index) is an unmanaged index that measures the performance of government and corporate securities with less than 1 year remaining to maturity.

Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See “About Fund Performance” on page 12 for more information.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Annualized Expense Ratio
$	1,000.00	$	1,007.30	$	1.26	$	1,000.00	$	1,023.90	$	1.27		0.25%

Expenses are calculated using the Fund’s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (184 days) and divided by the number of days in the year (366 days). See “Shareholder Expenses” on page 12 for more information.


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® SHORT MATURITY BOND ETF

The iShares Short Maturity Bond ETF (the “Fund”) seeks to maximize current income by investing, under normal circumstances, at least 80% of its net assets in a portfolio of U.S. dollar-denominated investment-grade fixed income securities and maintain a weighted average maturity that is less than three years. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 1.28%, net of fees.

Short-term investment-grade bonds produced modestly positive returns for the reporting period. Short-term bond yields faced conflicting influences during the reporting period that contributed some volatility. The Fed’s decision to raise short-term interest rates in December 2015, for the first time in almost seven years, and investor expectations for more rate hikes in 2016 led to higher short-term bond yields early in the reporting period. However, growing demand for short-term bonds from investors seeking stability, particularly in response to the surprise vote by the United Kingdom to exit the European Union, pushed short-term yields lower. Near the end of the reporting period, yields on short-term bonds rose ahead of regulatory changes relating to money market funds.

In that environment, the Fund performed well on both an absolute basis and relative to the Bloomberg Barclays Short-Term Government/Corporate Index during the reporting period. The decision to underweight U.S. Treasury securities in favor of higher-yielding, non-Treasury sectors was a key contributor to relative performance. For example, the Fund’s stake in securitized bonds contributed meaningfully to performance, led by asset-backed securities (“ABS”) and commercial mortgage-backed securities (“CMBS”). ABS and CMBS were in demand for their combination of comparatively attractive yields and high credit quality. Short-term corporate securities were also a source of strength.

The Fund reduced exposure to European banks and sovereign debt ahead of the Brexit vote in June, shifting those assets into ABS. The Fund also took advantage of short-term imbalances in the market to increase its allocation to cash-equivalent securities — such as certificates of deposit, commercial paper, and repurchase agreements — while maintaining a sizable position in short-term floating-rate bonds.

The Fund’s shorter overall duration (price sensitivity to interest rate changes) and yield curve positioning reduced return contributed by falling interest rates, while also reducing volatility for the reporting period.

ALLOCATION BY INVESTMENT TYPE

As of 10/31/16


Investment Type		Percentage of Total Investments¹


Corporate Bonds & Notes	44.27	%
Asset-backed Securities	35.25
Mortgage-Backed Securities	7.01
Foreign Government Obligations	5.94
Commercial Paper	2.46
Certificates Of Deposit	1.93
U.S. Government Agency Obligations	1.62
Repurchase Agreements	1.52

TOTAL	100.00	%

ALLOCATION BY CREDIT QUALITY

As of 10/31/16


Moody’s Credit Rating²		Percentage of Total Investments¹


Aaa	31.01	%
Aa	3.27
A	18.56
Baa	20.09
Ba	1.13
P-1	5.90
Not Rated	20.04

TOTAL	100.00	%

Excludes money market funds.

Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statistical rating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			7

Management’s Discussion of Fund Performance

iSHARES^® SHORT MATURITY MUNICIPAL BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		0.69%		0.71%		0.69%		1.18%
Fund Market		0.49%		0.62%		0.49%		1.04%
Bloomberg Barclays Municipal Bond: 1 Year (1-2) Index		0.40%		0.56%		0.40%		0.92%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 3/3/15. The first day of secondary market trading was 3/5/15.

The Bloomberg Barclays Municipal Bond: 1 Year (1-2) Index (formerly the Barclays Municipal Bond: 1 Year (1-2) Index) is an unmanaged index comprised of national municipal bond issues having a maturity of at least one year and less than two years.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Annualized Expense Ratio
$	1,000.00	$	1,003.10	$	1.26	$	1,000.00	$	1,023.90	$	1.27		0.25%


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® SHORT MATURITY MUNICIPAL BOND ETF

The iShares Short Maturity Municipal Bond ETF (the “Fund”) seeks to maximize tax-free current income by investing, under normal circumstances, at least 80% of its net assets in municipal securities such that the interest on each bond is exempt from U.S. federal income taxes and the federal alternative minimum tax. The Fund will also seek to maintain a weighted average maturity that is less than three years. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 0.69%, net of fees.

Short-term municipal bonds produced modestly positive returns for the reporting period. Looking at the broader U.S. bond market, longer-term bond yields fell to record lows amid modest economic growth, low inflation, and demand from investors seeking stability and yield in the wake of the surprise vote by the United Kingdom to exit the European Union. Nevertheless, yields on the shortest-term bills and notes rose following the Fed’s decision to raise interest rates in December 2015 for the first time in almost seven years.

It was a similar story in the municipal bond market, where demand for municipal bonds reached a record high at a time when supply was down year over year through June 2016. As a result, the yield on the broad-based Bloomberg Barclays Municipal Bond Index reached a record low in May 2016. However, municipal bond yields rose over the remainder of the reporting period as municipalities moved aggressively to lock in low borrowing costs. Short-term municipal bond yields rose further ahead of regulatory changes relating to money market funds.

The Fund performed well during the reporting period on both an absolute basis and relative to the Bloomberg Barclays Municipal Bond: 1 Year (1-2) Index. Outperformance was derived mainly from sector allocation decisions among health care, education, and tax-backed local and state general obligation bonds. The Fund increased its exposure to bonds maturing in two to three years, which carried attractive valuations as a result of forthcoming money market reforms.

ALLOCATION BY CREDIT QUALITY

As of 10/31/16


S&P Credit Rating¹		Percentage of Total Investments²


AA	18.62	%
A	38.39
BBB	5.13
Not Rated	37.86

TOTAL	100.00	%

TEN LARGEST STATES

As of 10/31/16


State		Percentage of Total Investments²


New Jersey	27.78	%
New York	9.84
Michigan	7.52
Illinois	6.50
Pennsylvania	4.98
Rhode Island	4.84
Georgia	4.74
Ohio	4.70
Maryland	4.51
Oklahoma	4.41

TOTAL	79.82	%

Credit quality ratings shown reflect the ratings assigned by Standard & Poor’s Ratings Service (“S&P”), a widely used independent, nationally recognized statistical rating organization. S&P credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of BBB or higher. Below investment grade ratings are credit ratings of BB or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

Excludes money market funds.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			9

Management’s Discussion of Fund Performance

iSHARES^® ULTRA SHORT-TERM BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		0.90%		0.58%		0.90%		1.69%
Fund Market		0.92%		0.59%		0.92%		1.70%
Bank of America Merrill Lynch 6-Month US Treasury Bill Index		0.64%		0.33%		0.64%		0.96%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 12/11/13. The first day of secondary market trading was 12/13/13.

The Bank of America Merrill Lynch 6-Month US Treasury Bill Index is an unmanaged index that measures the performance of government securities with less than 6 months remaining to maturity.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Annualized Expense Ratio
$	1,000.00	$	1,006.30	$	0.91	$	1,000.00	$	1,024.20	$	0.92		0.18%


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® ULTRA SHORT-TERM BOND ETF

The iShares Ultra Short-Term Bond ETF (the “Fund”) seeks to provide current income consistent with preservation of capital by investing, under normal circumstances, at least 80% of its net assets in a portfolio of U.S. dollar-denominated investment-grade fixed- and floating-rate debt securities and maintain a dollar-weighted average maturity that is less than 180 days. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 0.90%, net of fees.

Short-term investment-grade bonds produced modestly positive returns for the reporting period. Short-term bond yields faced conflicting influences during the reporting period that contributed to a measure of volatility. The Fed’s decision to raise short-term interest rates in December 2015, for the first time in almost seven years, and investor expectations for more rate hikes in 2016 led to higher short-term bond yields early in the reporting period. However, growing demand for short-term bonds from investors seeking stability, particularly in response to the surprise vote by the United Kingdom to exit the European Union, pushed short-term yields lower. Near the end of the reporting period, yields on short-term bonds rose ahead of regulatory changes relating to money market funds.

In that environment, the Fund performed well on both an absolute basis and relative to the Bank of America Merrill Lynch 6-Month US Treasury Bill Index during the reporting period. The decision to underweight U.S. Treasury securities in favor of higher-yielding, non-Treasury sectors was a key contributor to relative performance. For example, corporate securities generally benefited performance as a result of investor demand for their attractive yields. In particular, the Fund’s high-quality corporate securities, which accounted for nearly 60% of the Fund’s assets on average during the reporting period, were leading sources of strength. The Fund also took advantage of the volatility and short-term imbalances in the market to increase exposure to attractively valued, high-quality securities across multiple sectors.

ALLOCATION BY INVESTMENT TYPE

As of 10/31/16


Investment Type		Percentage of Total Investments¹


Corporate Bonds & Notes	38.31	%
Commercial Paper	37.04
Certificates Of Deposit	19.23
U.S. Government & Agency Obligations	4.94
Asset-backed Securities	0.48

TOTAL	100.00	%

ALLOCATION BY CREDIT QUALITY

As of 10/31/16


Moody’s Credit Rating²		Percentage of Total Investments¹


Aaa	6.83	%
Aa	9.89
A	24.20
Baa	1.61
P-1	56.27
Not Rated	1.20

TOTAL	100.00	%

Excludes money market funds.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			11

About Fund Performance

Past performance is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at www.ishares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower.

Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. The price used to calculate market return (“Market Price”) is determined by using the midpoint between the highest bid and the lowest offer on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund’s NAV is calculated. Certain funds may have a NAV which is determined prior to the opening of regular trading on its listed exchange and their market returns are calculated using the midpoint of the bid/ask spread as of the opening of regular trading on the exchange. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested on May 1, 2016 and held through October 31, 2016, is intended to help you understand your ongoing costs (in dollars and cents) of investing in a Fund and to compare these costs with the ongoing costs of investing in other funds.

Actual Expenses — The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number corresponding to your Fund under the heading entitled “Expenses Paid During Period.”

Hypothetical Example for Comparison Purposes — The table also provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
ASSET-BACKED SECURITIES — 34.41%
ACAS CLO Ltd.
Series 2012-1AR, Class A1R
FRN, (3 mo. LIBOR US + 1.250%)
2.11%, 09/20/23 (Call 12/20/16)^a	$	4,518	$	4,517,322
American Express Credit Account Master Trust
Series 2014-1, Class A
FRN, (1 mo. LIBOR + 0.370%)
0.89%, 12/15/21		5,000		5,016,498
Series 2014-3, Class A
1.49%, 04/15/20		2,412		2,421,093
AmeriCredit Automobile Receivables Trust
Series 2012-3, Class D
3.03%, 07/09/18 (Call 12/08/16)		1,508		1,508,867
Series 2013-1, Class D
2.09%, 02/08/19 (Call 07/08/17)		2,500		2,508,733
AMMC CLO 15 Ltd.
Series 2014-15A, Class AX
FRN, (3 mo. LIBOR US + 1.300%)
2.13%, 12/09/26 (Call 12/09/16)^a		2,250		2,244,884
Apidos CLO XII
Series 2013-12A, Class A
FRN, (3 mo. LIBOR US + 1.100%)
1.98%, 04/15/25^a		8,000		7,966,400
Arbor Realty Collateralized Loan Obligation Ltd.
Series 2014-FL2A, Class A
FRN, (1 mo. LIBOR US + 1.750%)
2.29%, 09/15/25 (Call 03/15/18)^a		3,850		3,816,120
ARES CLO Ltd.
Series 2012-2A, Class AR
FRN, (3 mo. LIBOR US + 1.290%)
2.16%, 10/12/23 (Call 01/12/17)^a		2,000		1,999,984


Security	Principal (000s)		Value
ARI Fleet Lease Trust
Series 2014-A, Class A2
0.81%, 11/15/22 (Call 06/15/17)^a	$	130	$	129,929
BA Credit Card Trust
Series 2016-A1, Class A
FRN, (1 mo. LIBOR + 0.390%)
0.91%, 10/15/21		8,250		8,274,690
BlueMountain CLO Ltd.
Series 2012-1A, Class A
FRN, (3 mo. LIBOR US + 1.320%)
2.02%, 07/20/23 (Call 01/20/17)^a		12,815		12,827,091
Series 2013-4A, Class A
FRN, (3 mo. LIBOR US + 1.500%)
2.38%, 04/15/25 (Call 01/15/17)^a		6,100		6,100,610
Cabela’s Credit Card Master Note Trust
Series 2012-1A, Class A1
1.63%, 02/18/20^a		10,000		10,014,591
Series 2014-2, Class A
FRN, (1 mo. LIBOR + 0.450%)
0.98%, 07/15/22		3,500		3,481,803
Capital One Multi-Asset Execution Trust
Series 2016-A1, Class A1
FRN, (1 mo. LIBOR + 0.450%)
0.98%, 02/15/22		28,000		28,118,376
Chase Issuance Trust
Series 2013-A9, Class A
FRN, (1 mo. LIBOR + 0.420%)
0.95%, 11/16/20		11,815		11,846,504
Series 2014-A5, Class A5
FRN, (1 mo. LIBOR + 0.370%)
0.90%, 04/15/21		2,000		2,005,800
Series 2016-A1, Class A
FRN, (1 mo. LIBOR + 0.410%)
0.93%, 05/17/21		28,750		28,867,904
Chesapeake Funding II LLC
Series 2016-1A, Class A2
FRN, (1 mo. LIBOR US + 1.150%)
1.67%, 03/15/28^a		20,000		20,160,830


SCHEDULESOF INVESTMENTS			13

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Series 2016-2A, Class A2
FRN, (1 mo. LIBOR US + 1.000%)
1.45%, 06/15/28^a	$	13,960	$	14,037,331
Chesapeake Funding LLC
Series 2014-1A, Class A
FRN, (1 mo. LIBOR US + 0.420%)
0.95%, 03/07/26^a		7,278		7,276,555
Chrysler Capital Auto Receivables Trust
Series 2013-BA, Class A4
1.27%, 03/15/19 (Call 12/15/17)^a		844		844,904
Series 2014-BA, Class A3
1.27%, 05/15/19 (Call 08/15/18)^a		4,001		4,002,941
CIFC Funding Ltd.
Series 2012-2A, Class A1R
FRN, (3 mo. LIBOR US + 1.350%)
2.19%, 12/05/24 (Call 12/05/16)^a		1,500		1,499,923
CNH Equipment Trust
Series 2016-A, Class A2B
FRN, (1 mo. LIBOR US + 0.520%)
1.05%, 07/15/19 (Call 01/15/20)		11,839		11,863,274
Credit Acceptance Auto Loan Trust
Series 2015-1A, Class A
2.00%, 07/15/22 (Call 05/15/18)^a		2,315		2,322,816
Discover Card Execution Note Trust
Series 2013-A6, Class A6
FRN, (1 mo. LIBOR + 0.450%)
0.97%, 04/15/21		5,420		5,441,326
Series 2014-A1, Class A1
FRN, (1 mo. LIBOR + 0.430%)
0.95%, 07/15/21		1,090		1,094,108
Series 2014-A5, Class A
1.39%, 04/15/20		11,470		11,497,600
Series 2016-A2, Class A2
FRN, (1 mo. LIBOR + 0.540%)
1.07%, 09/15/21		19,695		19,835,845


Security	Principal (000s)		Value
Drive Auto Receivables Trust
Series 2016-BA, Class A3
1.67%, 07/15/19 (Call 01/15/20)^a	$	6,740	$	6,731,241
Dryden XXII Senior Loan Fund
Series 2011-22A, Class A1R
FRN, (3 mo. LIBOR US + 1.170%)
2.05%, 01/15/22 (Call 01/15/17)^a		955		953,917
Eastland CLO Ltd.
Series 2007-1A, Class A2A
FRN, (3 mo. LIBOR US + 0.230%)
0.99%, 05/01/22 (Call 11/01/16)^a		10,587		10,544,553
Flatiron CLO Ltd.
Series 2011-1A, Class A
FRN, (3 mo. LIBOR US + 1.550%)
2.43%, 01/15/23^a		4,211		4,213,845
Ford Credit Floorplan Master Owner Trust
Series 2012-2, Class A
1.92%, 01/15/19		7,200		7,211,799
Series 2012-2, Class D
3.50%, 01/15/19		1,885		1,892,714
Series 2014-1, Class A1
1.20%, 02/15/19		17,375		17,383,347
Series 2014-1, Class A2
FRN, (1 mo. LIBOR + 0.400%)
0.92%, 02/15/19		6,110		6,112,911
Series 2014-2, Class A
FRN, (1 mo. LIBOR + 0.500%)
1.02%, 02/15/21		11,000		11,025,389
Series 2014-4, Class A2
FRN, (1 mo. LIBOR + 0.350%)
0.88%, 08/15/19		3,000		3,002,071
Series 2015-1, Class A2
FRN, (1 mo. LIBOR + 0.400%)
0.93%, 01/15/20		18,340		18,365,731
Series 2015-4, Class A2
FRN, (1 mo. LIBOR + 0.600%)
1.13%, 08/15/20		5,485		5,514,473
Series 2016-1, Class A2
FRN, (1 mo. LIBOR + 0.900%)
1.43%, 02/15/21		10,000		10,108,685


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Series 2016-3, Class A2
FRN, (1 mo. LIBOR + 0.620%)
1.15%, 07/15/21	$	10,000	$	10,005,610
Fraser Sullivan CLO VII Ltd.
Series 2012-7A, Class A1R
FRN, (3 mo. LIBOR US + 1.075%)
1.77%, 04/20/23 (Call 01/20/17)^a		2,195		2,193,877
Galaxy XV CLO Ltd. Series 2013-15A, Class A
FRN, (3 mo. LIBOR US + 1.250%)
2.13%, 04/15/25 (Call 01/15/17)^a		3,000		2,989,500
Golden Credit Card Trust Series 2015-1A, Class A FRN, (1 mo. LIBOR + 0.440%)
0.97%, 02/15/20^a		3,700		3,705,699
GoldenTree Loan Opportunities VII Ltd. Series 2013-7A, Class A
FRN, (3 mo. LIBOR US + 1.150%)
1.86%, 04/25/25^a		22,535		22,462,451
Highbridge Loan Management Ltd. Series 2012-1AR, Class A1R
FRN, (3 mo. LIBOR US + 1.250%)
2.11%, 09/20/22^a		1,353		1,353,721
Honda Auto Receivables Owner Trust
Series 2016-1, Class A3
1.22%, 12/18/19 (Call 04/18/19)		8,500		8,503,771
Series 2016-2, Class A3
1.39%, 04/15/20 (Call 06/15/19)		11,570		11,600,318
ING IM CLO Ltd. Series 2012-1RA, Class A1R FRN, (3 mo. LIBOR + 1.200%)
1.86%, 03/14/22^a		2,356		2,356,148
Invitation Homes Trust Series 2013-SFR1, Class A FRN, (1 mo. LIBOR + 1.150%)
1.68%, 12/17/30^a		1,916		1,916,491


Security	Principal (000s)		Value
John Deere Owner Trust Series 2015-B, Class A2
0.98%, 06/15/18 (Call 01/15/19)	$	8,803	$	8,803,453
LCM X LP Series 10AR, Class AR
FRN, (3 mo. LIBOR US + 1.260%)
1.94%, 04/15/22^a		766		765,683
LCM XII LP Series 12A, Class AR
FRN, (3 mo. LIBOR US + 1.260%)
1.89%, 10/19/22^a		5,000		4,992,202
Mercedes Benz Auto Receivables Trust Series 2015-1, Class A2A
0.82%, 06/15/18 (Call 06/15/19)		795		794,901
Mercedes-Benz Master Owner Trust Series 2016-BA, Class A FRN, (1 mo. LIBOR + 0.700%)
1.22%, 05/17/21^a		11,375		11,460,013
Navient Private Education Loan Trust
Series 2014-AA, Class A1
FRN, (1 mo. LIBOR US + 0.480%)
1.01%, 05/16/22^a		3		2,782
Series 2014-CT, Class A
FRN, (1 mo. LIBOR US + 0.700%)
1.22%, 09/16/24^a		2,627		2,626,396
Series 2016-AA, Class A1
FRN, (1 mo. LIBOR US + 1.100%)
1.63%, 12/15/25^a		6,822		6,850,603
Navient Student Loan Trust Series 2015-2, Class A2
FRN, (1 mo. LIBOR US + 0.420%)
0.95%, 08/27/29 (Call 12/25/24)		4,465		4,447,841
Nissan Auto Receivables Owner Trust Series 2016-A, Class A2B
FRN, (1 mo. LIBOR US + 0.350%)
0.88%, 02/15/19 (Call 03/15/20)		1,876		1,877,801


SCHEDULESOF INVESTMENTS			15

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Nissan Master Owner Trust Receivables Series 2016-A, Class A1 FRN, (1 mo. LIBOR + 0.640%)
1.16%, 06/15/21	$	18,500	$	18,578,101
OneMain Financial Issuance Trust Series 2014-2A, Class A
2.47%, 09/18/24 (Call 11/18/16)^a		2,652		2,657,484
Palmer Square CLO Ltd. Series 2014-1A, Class A1
FRN, (3 mo. LIBOR US + 1.270%)
2.15%, 10/17/22 (Call 01/17/17)^a		1,909		1,909,241
PFS Financing Corp.
Series 2014-AA, Class A
FRN, (1 mo. LIBOR + 0.600%)
1.13%, 02/15/19^a		1,000		999,961
Series 2014-AA, Class B
FRN, (1 mo. LIBOR + 0.950%)
1.48%, 02/15/19^a		1,100		1,099,188
Series 2014-BA, Class A
FRN, (1 mo. LIBOR + 0.600%)
1.13%, 10/15/19^a		1,915		1,913,838
Series 2016-A, Class A
FRN, (1 mo. LIBOR + 1.200%)
1.72%, 02/18/20^a		12,000		12,083,539
Prestige Auto Receivables Trust Series 2016-2A, Class A2
1.46%, 07/15/20 (Call 11/15/20)^a		15,000		14,998,950
Santander Drive Auto Receivables Trust
Series 2012-AA, Class C
1.78%, 11/15/18 (Call 06/15/17)^a		336		336,670
Series 2012-AA, Class D
2.46%, 12/17/18 (Call 06/15/17)^a		2,500		2,517,762
Series 2013-1, Class C
1.76%, 01/15/19 (Call 09/15/17)		847		848,029


Security	Principal (000s)		Value
Series 2014-3, Class B
1.45%, 05/15/19 (Call 07/15/18)	$	269	$	269,412
Series 2016-1, Class A2B
FRN, (1 mo. LIBOR US + 0.780%)
1.31%, 07/15/19 (Call 09/15/19)		8,021		8,039,421
Series 2016-2, Class A2B
FRN, (1 mo. LIBOR US + 0.650%)
1.18%, 07/15/19 (Call 06/15/20)		10,010		10,026,184
Silver Bay Realty Trust Series 2014-1, Class A FRN, (1 mo. LIBOR + 1.000%)
1.53%, 09/17/31^a		985		978,920
SLM Private Credit Student Loan Trust
Series 2004-B, Class A2
FRN, (3 mo. LIBOR US + 0.200%)
1.05%, 06/15/21		506		504,732
Series 2005-A, Class A3
FRN, (3 mo. LIBOR US + 0.200%)
1.05%, 06/15/23		1,956		1,894,902
Series 2006-A, Class A4
FRN, (3 mo. LIBOR US + 0.190%)
1.04%, 12/15/23		472		468,105
SLM Private Education Loan Trust
Series 2011-C, Class A2A
FRN, (1 mo. LIBOR US + 3.250%)
3.78%, 10/17/44^a		1,623		1,687,990
Series 2012-A, Class A1
FRN, (1 mo. LIBOR US + 1.400%)
1.93%, 08/15/25^a		157		156,942
Series 2012-B, Class A2
3.48%, 10/15/30^a		799		812,192
Series 2012-E, Class A1
FRN, (1 mo. LIBOR US + 0.750%)
1.28%, 10/16/23^a		143		142,977
Series 2012-E, Class A2B
FRN, (1 mo. LIBOR US + 1.750%)
2.28%, 06/15/45^a		5,250		5,331,902


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Series 2013-A, Class A1
FRN, (1 mo. LIBOR US + 0.600%)
1.13%, 08/15/22^a	$	883	$	883,603
Series 2013-A, Class A2B
FRN, (1 mo. LIBOR US + 1.050%)
1.58%, 05/17/27^a		265		267,114
Series 2013-B, Class A1
FRN, (1 mo. LIBOR US + 0.650%)
1.18%, 07/15/22^a		592		592,164
Series 2013-C, Class A1
FRN, (1 mo. LIBOR US + 0.850%)
1.38%, 02/15/22^a		266		266,085
Series 2013-C, Class A2B
FRN, (1 mo. LIBOR US + 1.400%)
1.93%, 10/15/31^a		4,550		4,606,669
Series 2014-A, Class A1
FRN, (1 mo. LIBOR US + 0.600%)
1.13%, 07/15/22^a		3,384		3,387,649
Series 2015-B, Class A1
FRN, (1 mo. LIBOR US + 0.700%)
1.23%, 02/15/23^a		2,027		2,030,278
SLM Student Loan Trust
Series 2006-4, Class A5
FRN, (3 mo. LIBOR US + 0.100%)
0.81%, 10/27/25 (Call 04/25/31)		557		555,529
Series 2011-2, Class A1
FRN, (1 mo. LIBOR US + 0.600%)
1.13%, 11/25/27 (Call 02/25/31)		815		814,346
SMB Private Education Loan Trust
Series 2014-A, Class A1
FRN, (1 mo. LIBOR US + 0.500%)
1.03%, 09/15/21^a		702		702,558
Series 2015-A, Class A1
FRN, (1 mo. LIBOR US + 0.600%)
1.13%, 07/17/23^a		5,089		5,095,911
Series 2015-C, Class A1
FRN, (1 mo. LIBOR US + 0.900%)
1.43%, 07/15/22^a		3,944		3,952,515
Series 2016-A, Class A1
FRN, (1 mo. LIBOR US + 0.700%)
1.23%, 05/15/23^a		7,155		7,130,475


Security	Principal (000s)		Value
Series 2016-B, Class A1
FRN, (1 mo. LIBOR US + 0.650%)
1.18%, 11/15/23^a	$	15,708	$	15,728,707
Series 2016-C, Class A1
FRN, (1 mo. LIBOR US + 0.550%)
1.07%, 11/15/23^a		10,920		10,920,000
SoFi Professional Loan Program LLC
Series 16-C, Class A1
FRN, (1 mo. LIBOR US + 1.100%)
1.63%, 10/27/36 (Call 01/25/25)^a		8,419		8,484,315
Series 16-C, Class A2A
1.48%, 05/26/31 (Call 01/25/25)^a		6,510		6,510,009
Series 2014-A, Class A1
FRN, (1 mo. LIBOR US + 1.600%)
2.13%, 06/25/25^a		811		825,111
Series 2014-B, Class A1
FRN, (1 mo. LIBOR US + 1.250%)
1.78%, 08/25/32^a		556		561,190
Series 2014-B, Class A2
2.55%, 08/27/29^a		3,208		3,245,726
Series 2015-A, Class A1
FRN, (1 mo. LIBOR US + 1.200%)
1.73%, 03/25/33^a		1,638		1,646,513
SWAY Residential Trust Series 2014-1, Class A FRN, (1 mo. LIBOR + 1.300%)
1.83%, 01/17/32^a		6,470		6,475,809
Synchrony Credit Card Master Note Trust
Series 2012-3, Class A
FRN, (1 mo. LIBOR + 0.450%)
0.98%, 03/15/20		9,295		9,305,245
Series 2012-6, Class A
1.36%, 08/17/20		23,119		23,154,659
Voya CLO Ltd. Series 2013-1A, Class A1
FRN, (3 mo. LIBOR US + 1.140%)
1.82%, 04/15/24 (Call 01/15/17)^a		1,900		1,890,732


SCHEDULESOF INVESTMENTS			17

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Wheels SPV 2 LLC
Series 2014-1A, Class A2
0.84%, 03/20/23 (Call 06/20/17)^a	$	92	$	92,277
Series 2016-1A, Class A2
1.59%, 05/20/25 (Call 11/20/19)^a		1,510		1,512,870
World Financial Network Credit Card Master Trust
Series 2014-C, Class A
1.54%, 08/16/21		15,000		15,040,265
Series 2015-A, Class A
FRN, (1 mo. LIBOR + 0.480%)
1.01%, 02/15/22		15,405		15,437,444

TOTAL ASSET-BACKED SECURITIES
(Cost: $693,958,926)				695,686,799

CERTIFICATES OF DEPOSIT — 1.88%
Bank of America N.A.
1.23%, 04/03/17		5,000		5,001,735
Bank of Tokyo-Mitsubishi UFJ Ltd./New York NY
1.55%, 10/13/17		5,000		5,002,478
Credit Agricole Corporate and Investment Bank
1.25%, 07/12/17		5,000		4,998,850
Credit Suisse AG/New York NY
1.61%, 08/24/17		5,000		5,006,410
Mizuho Bank Ltd./NY
1.53%, 08/25/17		5,000		5,011,250
Svenska Handelsbanken AB
1.20%, 02/27/17		3,000		3,002,322
UBS AG/Stamford CT
1.53%, 09/01/17		5,000		5,002,566
1.57%, 09/08/17		5,000		5,003,887

TOTAL CERTIFICATES OF DEPOSIT
(Cost: $38,000,000)				38,029,498


Security	Principal (000s)		Value
COLLATERALIZED MORTGAGE OBLIGATIONS — 6.84%

MORTGAGE-BACKED SECURITIES — 6.84%
BAMLL Commercial Mortgage Securities Trust
Series 2013-DSNY, Class A
FRN, (1 mo. LIBOR + 1.050%)
1.57%, 09/15/26^a	$	525	$	524,511
Series 2014-FL1, Class A
FRN, (1 mo. LIBOR + 1.400%)
1.93%, 12/15/31^a		2,670		2,674,220
Banc of America Commercial Mortgage Trust
Series 2007-4, Class A1A
5.77%, 02/10/51^b		1,533		1,561,663
Series 2007-5, Class A4
5.49%, 02/10/51		2,895		2,960,623
Banc of America Merrill Lynch Commercial Mortgage Inc. Series 2007-1, Class A4
5.45%, 01/15/49		3,883		3,887,988
Bear Stearns Commercial Mortgage Securities Trust
Series 2005-PW10, Class AJ
1.00%, 12/11/40^b		6,265		6,242,851
Series 2006-PW14, Class A1A
5.19%, 12/11/38		67		66,553
Series 2007-PW15, Class A1A
5.32%, 02/11/44		192		192,900
Series 2007-PW15, Class A4
5.33%, 02/11/44		526		528,600
Series 2007-PW16, Class A4
5.72%, 06/11/40^b		4,285		4,341,328
Series 2007-PW17, Class A4
5.69%, 06/11/50^b		6,962		7,118,449
Series 2007-PW18, Class A1A
5.60%, 06/11/50		2,428		2,509,763
Series 2007-PW18, Class A4
5.70%, 06/11/50		1,126		1,157,302


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Brunel Residential Mortgage Securitisation PLC Series 2007-1A, Class A4C
FRN, (3 mo. LIBOR US + 0.200%)
1.08%, 01/13/39 (Call 01/13/17)^a	$	640	$	637,792
CD Commercial Mortgage Trust Series 2007-CD4, Class A4
5.32%, 12/11/49		6,085		6,105,777
CD Mortgage Trust Series 2007-CD5, Class A4
5.89%, 11/15/44^b		4,156		4,247,920
CDGJ Commercial Mortgage Trust Series 2014-BXCH, Class A FRN, (1 mo. LIBOR + 1.400%)
1.93%, 12/15/27^a		6,374		6,383,741
COMM Mortgage Trust
Series 2006-C8, Class AM
5.35%, 12/10/46		2,966		2,963,640
Series 2007-C9, Class A4
5.81%, 12/10/49^b		797		810,920
Series 2014-FL5, Class A
FRN, (1 mo. LIBOR + 1.370%)
1.90%, 10/15/31^a		1,375		1,348,542
Series 2014-PAT, Class A
FRN, (1 mo. LIBOR + 0.800%)
1.33%, 08/13/27^a		3,570		3,553,214
Commercial Mortgage Trust Series 2007-GG11, Class A4
5.74%, 12/10/49		1,480		1,513,269
Credit Suisse Commercial Mortgage Trust Series 2008-C1, Class A3
6.06%, 02/15/41^b		4,942		5,074,897
DBRR Trust Series 2013-EZ3, Class A
1.64%, 12/18/49^a,b		100		99,688
GS Mortgage Securities Trust Series 2006-GG8, Class AM
5.59%, 11/10/39		273		272,564
Hilton USA Trust Series 2013-HLT, Class EFX
2.66%, 11/05/30^a		14,363		14,368,716


Security	Principal (000s)		Value
JPMorgan Chase Commercial Mortgage Securities Trust
Series 2006-LDP9, Class A3
5.34%, 05/15/47	$	479	$	478,325
Series 2007-CB18, Class A1A
5.43%, 06/12/47^b		127		127,680
Series 2007-CB18, Class A4
5.44%, 06/12/47		1,862		1,866,784
Series 2007-CB20, Class A4
5.79%, 02/12/51^b		1,213		1,238,231
Series 2007-LDPX, Class A3
5.42%, 01/15/49		8,138		8,180,437
Series 2013-WT, Class A
2.80%, 02/16/25^a		3,889		3,897,677
Series 2015-CSMO, Class A
FRN, (1 mo. LIBOR + 1.250%)
1.78%, 01/15/32^a		6,930		6,930,087
LB Commercial Mortgage Trust Series 2007-C3, Class A1A
5.87%, 07/15/44^b		3,547		3,609,214
LB-UBS Commercial Mortgage Trust
Series 2007-C2, Class A1A
5.39%, 02/15/40		2,086		2,103,136
Series 2007-C2, Class A3
5.43%, 02/15/40		1,004		1,010,111
LMREC Inc. Series 2016-CRE2, Class A FRN, (1 mo. LIBOR + 1.700%)
1.00%, 11/24/31^a		3,410		3,410,000
ML-CFC Commercial Mortgage Trust
Series 2006-4, Class AM
5.20%, 12/12/49		55		55,007
Series 2007-9, Class A4
5.70%, 09/12/49		3,423		3,514,486
Morgan Stanley Capital I Trust
Series 2006-IQ12, Class A1A
5.32%, 12/15/43		18		18,469
Series 2007-HQ11, Class A4FL
FRN, (1 mo. LIBOR + 0.135%)
0.67%, 02/12/44		752		750,885
Series 2007-IQ13, Class A1A
5.31%, 03/15/44		3,263		3,279,934


SCHEDULESOF INVESTMENTS			19

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Series 2007-IQ15, Class A4
5.91%, 06/11/49^b	$	2,853	$	2,919,196
Series 2007-IQ16 Class A4
5.81%, 12/12/49		5,278		5,404,334
Series 2007-T25, Class A3
5.51%, 11/12/49^b		28		28,018
Series 2007-T27, Class A4
5.64%, 06/11/42^b		8,234		8,379,436

TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost: $139,392,448)				138,348,878

COMMERCIAL PAPER^c — 2.40%
AXA Financial Inc.
0.00%, 08/21/17		5,400		5,336,320
Bank of Nova Scotia (The)
0.00%, 08/28/17		5,000		4,944,148
Coca-Cola Co. (The)
0.00%, 07/12/17		10,000		9,927,398
0.00%, 09/13/17		2,000		1,980,962
Lloyds Bank PLC
0.00%, 02/01/17		4,000		3,992,322
Sumitomo Mitsui Financial Group Inc.
0.00%, 07/21/17		10,000		9,915,840
Svenska Handelsbanken AB
0.00%, 05/26/17		3,500		3,475,951
Toronto-Dominion Bank (The)
0.00%, 10/05/17		9,000		8,890,249

TOTAL COMMERCIAL PAPER
(Cost: $48,402,943)				48,463,190

CORPORATE BONDS & NOTES — 43.22%

AEROSPACE & DEFENSE — 0.01%
L-3 Communications Corp.
3.95%, 11/15/16		161		161,142

				161,142
AGRICULTURE — 0.88%
BAT International Finance PLC
FRN, (3 mo. LIBOR US + 0.510%)
1.36%, 06/15/18^a		2,000		2,002,580
Reynolds American Inc.
2.30%, 08/21/17		15,574		15,698,623

				17,701,203


Security	Principal (000s)		Value
AIRLINES — 0.05%
UAL 2009-1 Pass Through Trust
10.40%, 05/01/18	$	84	$	84,335
UAL 2009-2A Pass Through Trust Class A
9.75%, 07/15/18		900		915,489

				999,824
AUTO MANUFACTURERS — 1.64%
Daimler Finance North America LLC
FRN, (3 mo. LIBOR US + 0.340%)
1.10%, 08/01/17^a		1,700		1,701,144
FRN, (3 mo. LIBOR US + 0.710%)
1.47%, 08/03/17^a		6,450		6,471,762
FRN, (3 mo. LIBOR US + 0.740%)
1.60%, 07/05/19^a		3,500		3,518,655
General Motors Financial Co. Inc.
2.63%, 07/10/17^d		12,965		13,069,109
FRN, (3 mo. LIBOR US + 1.450%)
2.24%, 05/09/19		8,000		8,049,632
Nissan Motor Acceptance Corp.
FRN, (3 mo. LIBOR US + 0.550%)
1.39%, 03/03/17^a		250		250,428

				33,060,730
BANKS — 18.58%
American Express Centurion Bank
6.00%, 09/13/17		7,900		8,215,518
Bank of America Corp.
1.35%, 11/21/16		1,300		1,300,313
1.70%, 08/25/17		5,200		5,211,929
FRN, (3 mo. LIBOR US + 0.610%)
1.44%, 08/25/17		1,250		1,251,541
FRN, (3 mo. LIBOR US + 0.870%)
1.72%, 04/01/19^d		4,000		4,012,456
FRN, (3 mo. LIBOR US + 1.070%)
1.94%, 03/22/18^d		6,750		6,807,118
Bank of America N.A.
1.25%, 02/14/17		4,800		4,802,621
Bank of Montreal
FRN, (3 mo. LIBOR US + 0.610%)
1.36%, 07/31/18		3,350		3,359,534


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
FRN, (3 mo. LIBOR US + 0.650%)
1.53%, 07/18/19	$	3,500	$	3,506,734
Bank of New York Mellon Corp. (The)
FRN, (3 mo. LIBOR US + 0.560%)
1.32%, 08/01/18^d		10,000		10,034,610
Bank of Nova Scotia (The)
1.75%, 03/22/17^a		7,407		7,428,310
1.95%, 01/30/17^a		20,000		20,039,840
Banque Federative du Credit Mutuel SA
FRN, (3 mo. LIBOR US + 0.850%)
1.73%, 01/20/17^a		1,000		1,001,381
Barclays Bank PLC FRN, (3 mo. LIBOR US + 0.580%)
1.38%, 02/17/17		7,150		7,157,808
BB&T Corp. FRN, (3 mo. LIBOR US + 0.860%)
1.71%, 06/15/18 (Call 05/15/18)		23,775		23,938,620
BNP Paribas SA FRN, (3 mo. LIBOR US + 0.590%)
1.44%, 12/12/16^d		750		750,600
BPCE SA
FRN, (3 mo. LIBOR US + 0.630%)
1.49%, 06/17/17		700		701,116
FRN, (3 mo. LIBOR US + 0.850%)
1.66%, 02/10/17		1,900		1,903,257
Branch Banking & Trust Co. FRN, (3 mo. LIBOR US + 0.300%)
1.12%, 05/23/17		2,000		1,999,456
Capital One N.A./Mclean VA FRN, (3 mo. LIBOR US + 0.680%)
1.46%, 02/05/18 (Call 01/05/18)^d		500		500,481
Capital One N.A./Mclean VA
1.50%, 09/05/17 (Call 08/05/17)		6,000		6,003,318
FRN, (3 mo. LIBOR US + 1.150%)
1.95%, 08/17/18 (Call 07/18/18)		6,250		6,308,619
Citigroup Inc.
1.55%, 08/14/17		1,750		1,753,269
1.85%, 11/24/17^d		15,000		15,051,030


Security	Principal (000s)		Value
Credit Suisse AG/New York NY
FRN, (3 mo. LIBOR US + 0.680%)
1.41%, 04/27/18^d	$	10,035	$	10,037,378
FRN, (3 mo. LIBOR US + 0.690%)
1.44%, 01/29/18^d		1,250		1,252,111
Deutsche Bank AG/London
FRN, (3 mo. LIBOR US + 0.470%)
1.30%, 05/30/17		1,000		993,140
FRN, (3 mo. LIBOR US + 0.680%)
1.50%, 02/13/18		3,000		2,945,163
Fifth Third Bank/Cincinnati OH
1.35%, 06/01/17 (Call 05/01/17)		20,000		20,018,700
Goldman Sachs Group Inc. (The)
5.95%, 01/18/18^c		5,000		5,260,680
FRN, (3 mo. LIBOR US + 1.040%)
1.92%, 04/25/19		14,000		14,092,610
FRN, (3 mo. LIBOR US + 1.200%)
1.95%, 04/30/18		7,000		7,064,785
HSBC Bank PLC FRN, (3 mo. LIBOR US + 0.640%)
1.46%, 05/15/18^a		5,000		5,001,235
HSBC USA Inc.
1.30%, 06/23/17		4,000		3,999,400
FRN, (3 mo. LIBOR US + 0.450%)
1.29%, 03/03/17		3,000		3,000,936
FRN, (3 mo. LIBOR US + 0.770%)
1.56%, 08/07/18		3,250		3,254,725
Huntington National Bank (The)
1.38%, 04/24/17 (Call 03/24/17)^d		4,575		4,580,444
FRN, (3 mo. LIBOR US + 0.425%)
1.31%, 04/24/17 (Call 03/25/17)		1,405		1,404,268
ING Bank NV
FRN, (3 mo. LIBOR US + 0.550%)
1.40%, 03/16/18^a		4,250		4,253,702
FRN, (3 mo. LIBOR US + 0.610%)
1.43%, 08/15/19^a		3,000		2,997,294
JPMorgan Chase & Co.
2.00%, 08/15/17		10,000		10,061,980
FRN, (3 mo. LIBOR US + 0.550%)
1.43%, 04/25/18		3,000		2,999,706


SCHEDULESOF INVESTMENTS			21

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
JPMorgan Chase Bank N.A. FRN, (3 mo. LIBOR US + 0.590%)
1.45%, 09/23/19 (Call 08/23/19)	$	11,500	$	11,515,973
Lloyds Bank PLC
4.20%, 03/28/17		1,100		1,113,376
Morgan Stanley
5.45%, 01/09/17		5,000		5,040,780
FRN, (3 mo. LIBOR US + 0.740%)
1.60%, 01/05/18		1,600		1,602,382
FRN, (3 mo. LIBOR US + 1.280%)
2.16%, 04/25/18		6,282		6,348,696
FRN, (3 mo. LIBOR US + 1.375%)
2.13%, 02/01/19		15,000		15,225,810
MUFG Union Bank N.A.
2.13%, 06/16/17		4,000		4,022,304
Nordea Bank AB FRN, (3 mo. LIBOR US + 0.840%)
1.70%, 09/17/18^a		10,000		10,067,920
Royal Bank of Canada
FRN, (3 mo. LIBOR US + 0.480%)
1.23%, 07/29/19		5,000		5,013,460
FRN, (3 mo. LIBOR US + 0.540%)
1.29%, 07/30/18		3,400		3,406,120
FRN, (3 mo. LIBOR US + 0.700%)
1.55%, 12/10/18		2,300		2,312,823
Royal Bank of Scotland Group PLC FRN, (3 mo. LIBOR US + 0.940%)
1.78%, 03/31/17		1,150		1,149,284
Santander UK PLC
1.38%, 03/13/17		4,000		3,998,200
State Street Corp.
5.38%, 04/30/17		4,000		4,084,676
Sumitomo Mitsui Banking Corp. FRN, (3 mo. LIBOR US + 0.940%)
1.82%, 01/18/19		5,500		5,531,273
Toronto-Dominion Bank (The) FRN, (3 mo. LIBOR US + 0.540%)
1.42%, 07/23/18^d		5,700		5,714,746
U.S. Bancorp.
1.65%, 05/15/17 (Call 04/15/17)		11,000		11,024,145


Security	Principal (000s)		Value
UBS AG/Stamford CT FRN, (3 mo. LIBOR US + 0.700%)
1.56%, 03/26/18	$	6,950	$	6,977,341
Wells Fargo & Co.
1.40%, 09/08/17^d		17,000		17,001,819
FRN, (3 mo. LIBOR US + 0.400%)
1.26%, 09/14/18		4,325		4,315,334
FRN, (3 mo. LIBOR US + 0.630%)
1.51%, 04/23/18^c		4,000		4,012,920

				375,737,118
BEVERAGES — 0.57%
Anheuser-Busch InBev Worldwide Inc.
1.38%, 07/15/17		9,700		9,728,528
Heineken NV
1.40%, 10/01/17^a		1,775		1,777,302

				11,505,830
BIOTECHNOLOGY — 1.23%
Amgen Inc.
1.25%, 05/22/17		7,250		7,257,540
2.13%, 05/15/17		4,090		4,113,104
2.50%, 11/15/16		10,000		10,005,470
5.85%, 06/01/17		3,500		3,595,092

				24,971,206
COMMERCIAL SERVICES — 0.14%
Synchrony Financial
1.88%, 08/15/17 (Call 07/15/17)		2,728		2,734,648

				2,734,648
COMPUTERS — 0.83%
Hewlett Packard Enterprise Co. FRN, (3 mo. LIBOR US + 2.180%)
3.04%, 10/05/18^a		16,340		16,725,624

				16,725,624
DIVERSIFIED FINANCIAL SERVICES — 2.43%
American Express Credit Corp.
1.13%, 06/05/17^d		17,100		17,109,610
Ford Motor Credit Co. LLC
1.68%, 09/08/17^d		7,000		7,005,670
1.72%, 12/06/17		15,000		15,002,130
3.00%, 06/12/17		2,000		2,019,352
8.00%, 12/15/16		2,000		2,015,500


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
FRN, (3 mo. LIBOR US + 0.570%)
1.41%, 12/06/17	$	1,000	$	999,368
Synchrony Financial FRN, (3 mo. LIBOR US + 1.400%)
2.19%, 11/09/17^d		5,000		5,035,295

				49,186,925
ELECTRIC — 0.19%
Dominion Resources Inc./VA
1.25%, 03/15/17		1,265		1,265,659
Duke Energy Corp.
1.63%, 08/15/17^d		1,892		1,897,224
2.15%, 11/15/16		715		715,211

				3,878,094
FOOD — 1.12%
Kraft Heinz Foods Co.
2.25%, 06/05/17		2,500		2,513,195
Wm Wrigley Jr Co.
2.00%, 10/20/17^a		20,000		20,137,600

				22,650,795
HEALTH CARE – PRODUCTS — 0.11%
Zimmer Biomet Holdings Inc.
1.45%, 04/01/17		2,250		2,251,098

				2,251,098
HEALTH CARE – SERVICES — 1.69%
Aetna Inc.
1.75%, 05/15/17 (Call 04/15/17)		5,066		5,080,509
Coventry Health Care Inc.
5.95%, 03/15/17		11,271		11,465,661
UnitedHealth Group Inc.
1.45%, 07/17/17		14,450		14,507,439
6.00%, 06/15/17		3,018		3,110,484

				34,164,093
HOLDING COMPANIES – DIVERSIFIED — 0.10%
MUFG Americas Holdings Corp. FRN, (3 mo. LIBOR US + 0.570%)
1.36%, 02/09/18 (Call 01/09/18)		2,000		1,993,552

				1,993,552
HOME FURNISHINGS — 0.50%
Whirlpool Corp.
1.35%, 03/01/17		10,150		10,159,257

				10,159,257


Security	Principal (000s)		Value
INSURANCE — 1.82%
American International Group Inc.
5.85%, 01/16/18	$	8,813	$	9,264,931
Berkshire Hathaway Finance Corp. FRN, (3 mo. LIBOR US + 0.690%)
1.54%, 03/15/19		10,000		10,127,120
Hartford Financial Services Group Inc. (The)
5.38%, 03/15/17		12,177		12,348,050
Voya Financial Inc.
2.90%, 02/15/18		5,000		5,082,375

				36,822,476
LEISURE TIME — 0.77%
Carnival Corp.
1.88%, 12/15/17^d		15,400		15,498,699

				15,498,699
MEDIA — 1.51%
Comcast Corp.
6.30%, 11/15/17^d		7,500		7,890,457
6.50%, 01/15/17^d		16,000		16,180,720
Cox Communications Inc.
5.88%, 12/01/16^a		6,350		6,373,419

				30,444,596
PHARMACEUTICALS — 2.43%
AbbVie Inc.
1.75%, 11/06/17		25,992		26,084,791
Actavis Funding SCS
1.85%, 03/01/17		12,000		12,028,044
FRN, (3 mo. LIBOR US + 1.080%)
1.93%, 03/12/18^d		2,000		2,018,052
Actavis Inc.
1.88%, 10/01/17^d		9,000		9,035,451

				49,166,338
PIPELINES — 0.15%
Southern Natural Gas Co. LLC
5.90%, 04/01/17^a		3,000		3,050,337

				3,050,337
REAL ESTATE INVESTMENT TRUSTS — 1.94%
ERP Operating LP
5.75%, 06/15/17		17,174		17,648,981


SCHEDULESOF INVESTMENTS			23

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Simon Property Group LP
2.80%, 01/30/17 (Call 11/01/16)^d	$	13,686	$	13,686,000
Ventas Realty LP
1.25%, 04/17/17		7,920		7,921,362

				39,256,343
RETAIL — 0.56%
Macy’s Retail Holdings Inc.
5.90%, 12/01/16		5,230		5,250,141
Walgreens Boots Alliance Inc.
1.75%, 11/17/17		6,000		6,026,316

				11,276,457
TELECOMMUNICATIONS — 2.16%
AT&T Inc.
1.40%, 12/01/17		7,000		7,001,687
2.40%, 03/15/17		13,500		13,568,715
Verizon Communications Inc.
1.35%, 06/09/17		15,000		15,014,970
FRN, (3 mo. LIBOR US + 0.400%)
1.23%, 06/09/17		3,500		3,506,027
FRN, (3 mo. LIBOR US + 1.750%)
2.61%, 09/14/18		4,500		4,620,600

				43,711,999
TRANSPORTATION — 0.62%
Ryder System Inc.
2.50%, 03/01/17 (Call 02/01/17)		10,920		10,955,687
5.85%, 11/01/16		1,600		1,600,000

				12,555,687
TRUCKING & LEASING — 1.19%
GATX Corp.
1.25%, 03/04/17		5,350		5,351,477
Penske Truck Leasing Co. LP/PTL Finance Corp.
3.75%, 05/11/17^a		18,520		18,744,888

				24,096,365

TOTAL CORPORATE BONDS & NOTES (Cost: $872,312,142)				873,760,436


Security		Principal (000s)		Value

FOREIGN GOVERNMENT OBLIGATIONS — 5.80%

JAPAN — 3.79%
Japan Treasury Discount Bill
0.00%, 11/14/16^c	JPY		4,000,000	$	38,064,157
0.00%, 11/21/16^c	JPY		1,960,000		18,652,165
0.00%, 01/10/17^c	JPY		2,080,000		19,802,150

					76,518,472
MEXICO — 2.01%
Mexico Cetes
0.00%, 02/16/17	MXN		776,000		40,674,242

					40,674,242
TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(Cost: $120,566,608)					117,192,714

REPURCHASE AGREEMENTS — 1.48%
Mizuho Securities USA Inc., 1.99%, 11/01/16^b (Purchased on 10/31/16 to be repurchased at $30,001,656, collateralized by non-agency asset-backed security, 0.00%, due 09/01/21, par and fair value of $120,373,052 and $34,500,000, respectively)^e			30,000		30,000,000

TOTAL REPURCHASE AGREEMENTS (Cost: $30,000,000)					30,000,000

U.S. GOVERNMENT AGENCY OBLIGATIONS — 1.58%
Federal Home Loan Mortgage Corp.
1.00%, 04/27/18 (Call 04/27/17)			23,630		23,620,879
Federal National Mortgage Association
5.00%, 01/01/20			8,205		8,421,993

TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost: $32,102,915)					32,042,872


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016


Security	Principal (000s)		Value
MONEY MARKET FUNDS — 3.08%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.72%^f,g,h	$	35,208	$	35,211,258
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^f,g		27,110		27,109,677

TOTAL MONEY MARKET FUNDS
(Cost: $62,317,548)				62,320,935

TOTAL INVESTMENTS IN SECURITIES — 100.69%
(Cost: $2,037,053,530)ⁱ			$	2,035,845,322
Other Assets, Less Liabilities — (0.69)%				(13,952,616	)

NET ASSETS —100.00%			$	2,021,892,706

FRN — Floating Rate Note

Currency abbreviations:

JPY — Japanese Yen

MXN — Mexican Peso

��

^a	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^b	Variable rate security. Rate shown is as of report date.

^c	Rates shown are discount rates paid at the time of purchase.

^d	All or a portion of this security represents a security on loan. See Note 1.

^e	Maturity date represents next reset date.

^f	Affiliated money market fund.

^g	The rate quoted is the annualized seven-day yield of the fund at period end.

^h	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

ⁱ	The cost of investments for federal income tax purposes was $2,033,679,635. Net unrealized appreciation was $2,165,687, of which $7,330,879 represented gross unrealized appreciation on securities and $5,165,192 represented gross unrealized depreciation on securities.

Schedule 1 — Forward Currency Contracts (Note 5)

Forward currency contracts outstanding as of October 31, 2016 were as follows:


Currency purchased			Currency sold			Counterparty	Settlement date		Unrealized appreciation (depreciation)
	USD	39,687,083		JPY	4,000,000,000	MS		11/14/2016	$	1,607,692
	USD	19,638,216		JPY	1,960,000,000	CSI		11/21/2016		975,072
	USD	20,578,210		JPY	2,080,000,000	DB		01/10/2017		725,527
	USD	41,046,365		MXN	776,000,000	GS		02/16/2017		261,342

										3,569,633

					Net unrealized appreciation				$	3,569,633

Counterparties:

CSI — Credit Suisse International

DB — Deutsche Bank AG London

GS — Goldman Sachs International

MS — Morgan Stanley and Co. International PLC

Currency abbreviations:

JPY — Japanese Yen

MXN — Mexican Peso

USD — United States Dollar


SCHEDULESOF INVESTMENTS			25

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY BOND ETF

October 31, 2016

Schedule 2 — Fair Value Measurements

The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of October 31, 2016. The breakdown of the Fund’s investments into major categories is disclosed in the schedule of investments above.


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Asset-backed securities	$	—	$	659,815,219	$	35,871,580	$	695,686,799
Certificates of deposit		—		38,029,498		—		38,029,498
Collateralized mortgage obligations		—		134,938,878		3,410,000		138,348,878
Commercial paper		—		48,463,190		—		48,463,190
Corporate bonds & notes		—		873,760,436		—		873,760,436
Foreign government obligations		—		117,192,714		—		117,192,714
Repurchase agreements		—		30,000,000		—		30,000,000
U.S. government agency obligations		—		32,042,872		—		32,042,872
Money market funds		62,320,935		—		—		62,320,935

Total	$	62,320,935	$	1,934,242,807	$	39,281,580	$	2,035,845,322

Derivative financial instruments^a:
Assets:
Forward currency contracts	$	—	$	3,569,633	$	—	$	3,569,633

Total	$	—	$	3,569,633	$	—	$	3,569,633

Shown at the unrealized appreciation (depreciation) on the contracts.

The following table includes a rollforward for the year ended October 31, 2016 of investments whose values are classified as Level 3 as of the beginning or end of the year.


iShares Short Maturity Bond ETF	Asset-Backed Securities			Collateralized Mortgage Obligations
Balance at beginning of period	$	102,441		$	3,771
Realized gain (loss) and change in unrealized appreciation/depreciation		165,545			—
Purchases		35,705,970			3,410,000
Sales		(102,376	)		(3,771	)
Transfers in^a		—			—
Transfers out^a		—			—

Balance at end of period	$	35,871,580		$	3,410,000

Net change in unrealized appreciation/depreciation on investments still held at end of period	$	119,810		$	—

Represents the value as of the beginning of the reporting period.

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

See notes to financial statements.


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® SHORT MATURITY MUNICIPAL BOND ETF

October 31, 2016


Security	Principal (000s)		Value
MUNICIPAL DEBT OBLIGATIONS — 104.41%

ARIZONA — 1.32%
Maricopa County Unified School District No. 60 Higley GOL
3.00%, 07/01/17 (AGM)	$	455	$	461,488

				461,488
ARKANSAS — 0.41%
City of Little Rock AR Sewer Revenue RB
1.15%, 12/01/18		145		145,113

				145,113
COLORADO — 0.29%
City & County of Denver CO COP
3.00%, 12/01/16		100		100,187

				100,187
FLORIDA — 3.47%
Village Community Development District No. 7 RB
3.00%, 05/01/17		585		590,183
Volusia County Educational Facility Authority RB
3.00%, 10/15/17		110		112,129
5.00%, 06/01/17		500		511,985

				1,214,297
GEORGIA — 4.95%
Burke County Development Authority RB
2.20%, 10/01/32		1,700		1,732,640

				1,732,640
ILLINOIS — 6.78%
Illinois Finance Authority RB
3.00%, 11/15/17		150		153,137
4.00%, 09/01/17		100		102,204
4.00%, 09/01/18		150		156,595
4.00%, 11/15/18		100		105,675
4.00%, 09/01/19		145		154,128
5.00%, 08/15/17		375		385,826
Series A
5.00%, 10/01/20		100		113,713
Illinois State University RB
2.00%, 04/01/17 (AGM)		1,200		1,204,296

				2,375,574


Security	Principal (000s)		Value
INDIANA — 0.30%
City of Indianapolis Department of Public Utilities Water System Revenue RB Series B
4.00%, 10/01/18	$	100	$	105,454

				105,454
KENTUCKY — 1.18%
Hardin County School District Finance Corp. RB
4.00%, 02/01/18		400		414,304

				414,304
LOUISIANA — 0.82%
City of Ruston LA RB
2.00%, 06/01/18 (AGM)		185		187,488
Louisiana Public Facilities Authority RB
0.50%, 12/01/43 (Call 10/31/16)		100		100,000

				287,488
MARYLAND — 4.71%
Maryland Community Development Administration RB
0.63%, 11/01/38 (Call 11/01/16)		1,650		1,650,000

				1,650,000
MICHIGAN — 7.85%
County of Genesee MI GOL Series B
5.00%, 02/01/19 (BAM)		100		107,852
Lawton Community Schools GO
2.00%, 05/01/17		605		608,618
Macomb Township Building Authority RB
3.00%, 04/01/17		500		504,500
3.00%, 04/01/18		500		514,100
Michigan Strategic Fund RB
5.00%, 03/01/17		1,000		1,013,640

				2,748,710
NEW HAMPSHIRE — 3.15%
County of Cheshire NH GO
2.00%, 12/29/16		1,100		1,102,134

				1,102,134
NEW JERSEY — 29.00%
City of Cape May NJ GO
2.00%, 07/14/17		1,100		1,107,524


SCHEDULESOF INVESTMENTS			27

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY MUNICIPAL BOND ETF

October 31, 2016


Security	Principal (000s)		Value
City of Newark NJ RB
5.00%, 09/01/17	$	2,000	$	2,054,840
Hudson County Improvement Authority RB Series B-1
2.00%, 06/27/17 (GTD)		500		503,500
New Jersey Economic Development Authority RB
Series A
3.00%, 07/15/17		150		151,682
5.00%, 05/01/17		1,240		1,262,729
Series EE
5.00%, 09/01/17 (ETM)		610		631,435
New Jersey Educational Facilities Authority RB Series F
4.00%, 07/01/20		255		279,666
New Jersey Health Care Facilities Financing Authority RB
5.00%, 07/01/19		160		176,130
New Jersey Transportation Trust Fund Authority RB
5.00%, 12/15/17		2,350		2,446,256
Series A
5.00%, 06/15/19		495		532,966
Township of Wayne NJ GO
2.00%, 07/14/17		1,000		1,007,760

				10,154,488
NEW YORK — 10.28%
Corning City School District
2.00%, 06/22/17 (SAW)		1,000		1,005,620
County of Broome NY GOL
2.00%, 05/05/17		1,000		1,005,510
Elmira City School District GO
5.00%, 06/15/17		300		307,941
New York State Dormitory Authority RB Series K
4.00%, 10/01/18		225		236,909
Troy Capital Resource Corp. RB
5.00%, 09/01/18		975		1,042,090

				3,598,070
NORTH CAROLINA — 0.70%
Charlotte-Mecklenburg Hospital Authority (The) RB
5.00%, 01/15/19		225		243,749

				243,749


Security	Principal (000s)		Value
OHIO — 4.91%
City of Avon OH Water System Revenue RB Series 2
0.85%, 02/02/17	$	1,000	$	999,980
Urbana City School District GO
5.00%, 12/01/17		690		719,580

				1,719,560
OKLAHOMA — 4.60%
Cleveland County Justice Authority RB
3.00%, 03/01/17		1,205		1,213,110
Norman Regional Hospital Authority RB
4.00%, 09/01/18		380		397,434

				1,610,544
PENNSYLVANIA — 5.20%
Pennsylvania Economic Development Financing Authority RB
4.00%, 03/15/19		1,000		1,067,220
Pottsgrove School District GOL
3.00%, 08/15/17		740		752,906

				1,820,126
RHODE ISLAND — 5.06%
Providence Redevelopment Agency RB Series A
3.00%, 04/01/17		1,210		1,218,942
Town of Coventry RI GO
4.00%, 03/15/17		545		551,393

				1,770,335
TENNESSEE — 0.75%
Knox County Health Educational & Housing Facility Board RB
4.00%, 09/01/18		250		261,938

				261,938
TEXAS — 4.05%
Harris County Hospital District RB
5.00%, 02/15/20		300		334,617
Texas Public Finance Authority RB
4.00%, 12/01/19		1,000		1,082,810

				1,417,427
UTAH — 0.74%
West Valley City Municipal Building Authority RB
2.00%, 02/01/17 (AGM)		260		260,645

				260,645


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® SHORT MATURITY MUNICIPAL BOND ETF

October 31, 2016


Security	Principal or Shares (000s)		Value
WASHINGTON — 2.92%
Tobacco Settlement Authority RB
5.00%, 06/01/17	$	1,000	$	1,023,670

				1,023,670
WEST VIRGINIA — 0.97%
Berkeley County Public Service District RB
2.00%, 12/01/17		335		338,484

				338,484

TOTAL MUNICIPAL DEBT OBLIGATIONS
(Cost: $36,576,728)				36,556,425

MONEY MARKET FUNDS — 0.28%
BlackRock Liquidity Funds: MuniCash
0.46%^a,b		97,740		97,750

TOTAL MONEY MARKET FUNDS
(Cost: $97,747)				97,750


	Value
TOTAL INVESTMENTS IN SECURITIES — 104.69%
(Cost: $36,674,475)^c	$	36,654,175
Other Assets, Less Liabilities — (4.69)%		(1,641,847	)

NET ASSETS — 100.00%	$	35,012,328

COP — Certificates of Participation

ETM — Escrowed to Maturity

GTD — Guaranteed by the Commonwealth, County or State

GO — General Obligation

GOL — General Obligation Limited

RB — Revenue Bond

SAW — State Aid Withholding

Insured by:

AGM — Assured Guaranty Municipal Corp.

BAM — Build America Mutual Assurance Co.

^a	Affiliated money market fund.

^b	The rate quoted is the annualized seven-day yield of the fund at period end.

^c	The cost of investments for federal income tax purposes was $36,674,475. Net unrealized depreciation was $20,300, of which $18,165 represented gross unrealized appreciation on securities and $38,465 represented gross unrealized depreciation on securities.

Schedule 1 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Municipal debt obligations	$	—	$	36,556,425	$	—	$	36,556,425
Money market funds		97,750		—		—		97,750

Total	$	97,750	$	36,556,425	$	—	$	36,654,175

See notes to financial statements.


SCHEDULESOF INVESTMENTS			29

Schedule of Investments

iSHARES^® ULTRA SHORT-TERM BOND ETF

October 31, 2016


Security	Principal (000s)		Value
ASSET-BACKED SECURITIES — 0.48%
Honda Auto Receivables Owner Trust Series 2016-2, Class A2
1.13%, 09/17/18 (Call 06/15/19)	$	120	$	120,070

TOTAL ASSET-BACKED SECURITIES
(Cost: $119,997)				120,070

CERTIFICATES OF DEPOSIT — 19.20%
Cooperatieve Rabobank UA/NV
1.31%, 09/08/17		500		500,882
Credit Suisse AG/New York NY
1.22%, 04/24/17		500		500,467
Dexia Credit Local SA/New York NY
1.07%, 05/24/17		350		349,980
Mizuho Bank Ltd./NY
0.52%, 04/24/17		600		600,147
Natixis SA
1.56%, 09/18/17		250		250,507
Norinchukin Bank (The)
1.55%, 09/22/17		250		250,131
Royal Bank of Canada
1.21%, 03/10/17		350		350,478
Svenska Handelsbanken AB
1.28%, 04/21/17		250		250,413
UBS AG/Stamford CT
0.83%, 05/25/17		250		250,378
1.53%, 09/01/17		250		250,128
1.57%, 09/08/17		250		250,194
Wells Fargo Bank N.A.
1.12%, 02/15/17		500		500,263
1.28%, 04/13/17		250		250,287
1.34%, 09/22/17		250		250,388

TOTAL CERTIFICATES OF DEPOSIT
(Cost: $4,799,897)				4,804,643

COMMERCIAL PAPER^a — 36.98%
Atlantic Asset Securitization LLC
1.25%, 03/01/17		350		348,761
1.26%, 03/06/17		250		249,067
AXA Financial Inc.
1.71%, 10/10/17		250		246,493
Bank of Nova Scotia (The)
1.26%, 02/21/17		575		573,296


Security	Principal (000s)		Value
Barton Capital SA
1.00%, 12/13/16	$	750	$	749,438
CAFCO LLC
1.27%, 03/02/17		500		498,212
CHEVRON Corp.
1.06%, 04/03/17		250		249,327
Ciesco LLC
0.90%, 12/13/16		350		349,720
Coca-Cola Co. (The)
0.98%, 03/01/17		250		249,426
0.98%, 06/27/17		400		397,321
Commonwealth Bank of Australia
1.29%, 09/01/17		500		500,578
ING U.S. Funding LLC
1.08%, 02/06/17		500		498,934
1.16%, 02/22/17		500		498,626
1.25%, 06/23/17		250		250,222
Manhattan Asset Funding Co., LLC
0.90%, 11/29/16		500		499,760
Matchpoint Finance PLC
1.33%, 03/06/17		250		249,075
Mitsubishi UFJ Financial Group Inc.
1.44%, 06/06/17		500		496,346
Natixis SA
1.23%, 03/01/17		350		348,913
Suncorp Group Ltd.
1.26%, 02/16/17		500		498,530
Svenska Handelsbanken AB
0.95%, 01/06/17		500		499,378
Victory Receivables Corp.
0.98%, 12/08/16		500		499,661
1.00%, 12/22/16		500		499,485

TOTAL COMMERCIAL PAPER
(Cost: $9,243,982)				9,250,569

CORPORATE BONDS & NOTES — 38.25%

AEROSPACE & DEFENSE — 2.00%
United Technologies Corp.
FRN, (3 mo. LIBOR US + 0.350%)
1.00%, 11/01/19		500		500,303

				500,303


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® ULTRA SHORT-TERM BOND ETF

October 31, 2016


Security	Principal (000s)		Value
AUTO MANUFACTURERS — 4.22%
Daimler Finance North America LLC FRN, (3 mo. LIBOR US + 0.620%)
1.00%, 10/30/19^b	$	250	$	250,313
Nissan Motor Acceptance Corp.
FRN, (3 mo. LIBOR US + 0.800%)
1.66%, 04/06/18^b		300		301,366
FRN, (3 mo. LIBOR US + 1.010%)
1.85%, 03/08/19^b		250		252,622
Toyota Motor Credit Corp. FRN, (3 mo. LIBOR US + 0.380%)
1.24%, 04/06/18		250		250,431

				1,054,732
BANKS — 22.55%
Australia & New Zealand Banking Group Ltd. FRN, (3 mo. LIBOR US + 0.440%)
1.32%, 01/16/18^b		400		400,238
Bank of America N.A. FRN, (3 mo. LIBOR US + 0.470%)
1.29%, 11/14/16		500		499,971
BNP Paribas SA
1.25%, 12/12/16		250		250,157
2.38%, 09/14/17		250		252,197
BPCE SA FRN, (3 mo. LIBOR US + 0.850%)
1.66%, 02/10/17		400		400,686
Citigroup Inc. FRN, (3 mo. LIBOR US + 0.860%)
1.69%, 12/07/18		400		401,598
Commonwealth Bank of Australia FRN, (3 mo. LIBOR US + 0.400%)
1.25%, 03/12/18^b		300		299,756
Cooperatieve Rabobank UA
3.38%, 01/19/17		350		351,785
JPMorgan Chase & Co.
1.35%, 02/15/17		300		300,228
FRN, (3 mo. LIBOR US + 0.550%)
1.43%, 04/25/18		400		399,961
JPMorgan Chase Bank N.A. FRN, (3 mo. LIBOR US + 0.450%)
1.31%, 09/21/18 (Call 08/21/18)		250		250,162


Security	Principal (000s)		Value
Lloyds Bank PLC
4.20%, 03/28/17	$	150	$	151,824
Macquarie Bank Ltd.
5.00%, 02/22/17^b		325		328,586
Mizuho Bank Ltd.
1.50%, 05/17/17		600		601,278
Nordea Bank AB
1.25%, 04/04/17^b		250		250,271
Sumitomo Mitsui Banking Corp.
1.30%, 01/10/17		250		250,143
Westpac Banking Corp. FRN, (3 mo. LIBOR US + 0.710%)
1.53%, 05/13/19		250		251,145

				5,639,986
COMPUTERS — 2.00%
Apple Inc. FRN, (3 mo. LIBOR US + 0.250%)
1.01%, 05/03/18		500		501,142

				501,142
INSURANCE — 0.86%
Berkshire Hathaway Finance Corp.
FRN, (3 mo. LIBOR US + 0.550%)
1.38%, 03/07/18		100		100,394
1.45%, 03/07/18		115		115,572

				215,966
MACHINERY — 2.81%
Caterpillar Financial Services Corp. FRN, (3 mo. LIBOR US + 0.700%)
1.52%, 02/23/18		300		302,110
John Deere Capital Corp. FRN, (3 mo. LIBOR US + 0.450%)
1.33%, 07/11/17		400		400,978

				703,088
OIL & GAS — 1.81%
BP Capital Markets PLC FRN, (3 mo. LIBOR US + 0.350%)
1.16%, 02/10/17		100		100,006
Exxon Mobil Corp. FRN, (3 mo. LIBOR US + 0.600%)
1.43%, 02/28/18		350		352,429

				452,435


SCHEDULESOF INVESTMENTS			31

Schedule of Investments (Continued)

iSHARES^® ULTRA SHORT-TERM BOND ETF

October 31, 2016


Security	Principal (000s)		Value
PHARMACEUTICALS — 1.60%
Bayer U.S. Finance LLC FRN, (3 mo. LIBOR US + 0.280%)
1.14%, 10/06/17^b	$	400	$	399,867

				399,867
RETAIL — 0.40%
Lowe’s Companies Inc. FRN, (3 mo. LIBOR US + 0.600%)
1.46%, 09/14/18		100		100,875

				100,875

TOTAL CORPORATE BONDS & NOTES
(Cost: $9,541,910)				9,568,394

U.S. GOVERNMENT & AGENCY OBLIGATIONS — 4.93%

U.S. GOVERNMENT AGENCY OBLIGATIONS — 1.00%
Federal Home Loan Mortgage Corp.
1.05%, 07/27/18 (Call 01/27/17)		250		250,045

				250,045
U.S. GOVERNMENT OBLIGATIONS — 3.93%
U.S. Treasury Note/Bond
0.63%, 06/30/17		135		135,016
0.88%, 06/15/19		850		848,074

				983,090

TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS
(Cost: $1,233,958)				1,233,135


	Value
TOTAL INVESTMENTS IN SECURITIES — 99.84%
(Cost: $24,939,744)^c	$	24,976,811
Other Assets, Less Liabilities — 0.16%		41,232

NET ASSETS — 100.00%	$	25,018,043

FRN — Floating Rate Note

^a	Rates shown are discount rates paid at the time of purchase.

^b	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^c	The cost of investments for federal income tax purposes was $24,939,744. Net unrealized appreciation was $37,067, of which $38,595 represented gross unrealized appreciation on securities and $1,528 represented gross unrealized depreciation on securities.

Schedule 1 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Asset-backed securities	$	—	$	120,070	$	—	$	120,070
Certificates of deposit		—		4,804,643		—		4,804,643
Commercial paper		—		9,250,569		—		9,250,569
Corporate bonds & notes		—		9,568,394		—		9,568,394
U.S. government & agency obligations		—		1,233,135		—		1,233,135

Total	$	—	$	24,976,811	$	—	$	24,976,811


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® ULTRA SHORT-TERM BOND ETF

October 31, 2016

The following table includes a rollforward for the year ended October 31, 2016 of investments whose values are classified as Level 3 as of the beginning or end of the year.


iShares Ultra Short-Term Bond ETF	Corporate Bonds & Notes
Balance at beginning of period	$	250,000
Realized gain (loss) and change in unrealized appreciation/depreciation		—
Purchases		—
Sales		(250,000	)
Transfers in^a		—
Transfers out^a		—

Balance at end of period	$	—

Net change in unrealized appreciation/depreciation on investments still held at end of period	$	—

Represents the value as of the beginning of the reporting period.

See notes to financial statements.


SCHEDULESOF INVESTMENTS			33

Statements of Assets and Liabilities

iSHARES^® U.S. ETF TRUST

October 31, 2016


	iShares Short Maturity Bond ETF			iShares Short Maturity Municipal Bond ETF			iShares Ultra Short-Term Bond ETF

ASSETS
Investments, at cost:
Unaffiliated	$	1,944,735,982		$	36,576,728		$	24,939,744
Repurchase agreements — unaffiliated		30,000,000			—			—
Affiliated (Note 2)		62,317,548			97,747			—

Total cost of investments	$	2,037,053,530		$	36,674,475		$	24,939,744

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Unaffiliated	$	1,943,524,387		$	36,556,425		$	24,976,811
Repurchase agreements — unaffiliated		30,000,000			—			—
Affiliated (Note 2)		62,320,935			97,750			—

Total fair value of investments		2,035,845,322			36,654,175			24,976,811
Foreign currency, at value^b		25,142			—			—
Cash		8,536,578			—			505,578
Receivables:
Investment securities sold		13,854,188			—			—
Interest		6,167,883			286,029			39,465
Unrealized appreciation on forward currency contracts (Note 6)		3,569,633			—			—

Total Assets		2,067,998,746			36,940,204			25,521,854


LIABILITIES
Payables:
Investment securities purchased		10,465,073			1,920,688			500,000
Collateral for securities on loan (Note 1)		35,207,545			—			—
Investment advisory fees (Note 2)		433,422			7,188			3,811

Total Liabilities		46,106,040			1,927,876			503,811


NET ASSETS	$	2,021,892,706		$	35,012,328		$	25,018,043


Net assets consist of:
Paid-in capital	$	2,019,137,213		$	35,018,885		$	24,964,099
Undistributed net investment income		1,190,183			23,331			30,202
Accumulated net realized loss		(796,079	)		(9,588	)		(13,325	)
Net unrealized appreciation (depreciation)		2,361,389			(20,300	)		37,067

NET ASSETS	$	2,021,892,706		$	35,012,328		$	25,018,043


Shares outstanding^c		40,300,000			700,000			500,000


Net asset value per share	$	50.17		$	50.02		$	50.04

^a	Securities on loan with values of $34,356,427, $ — and $ —, respectively. See Note 1.

^b	Cost of foreign currency: $25,178, $ — and $ —, respectively.

^c	No par value, unlimited number of shares authorized.

See notes to financial statements.


34		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Operations

iSHARES^® U.S. ETF TRUST

Year ended October 31, 2016


	iShares Short Maturity Bond ETF			iShares Short Maturity Municipal Bond ETF			iShares Ultra Short-Term Bond ETF

NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	425,841		$	116		$	1,057
Interest — unaffiliated		26,183,837			322,748			150,761
Securities lending income — affiliated — net (Note 2)		96,621			—			—

Total investment income		26,706,299			322,864			151,818


EXPENSES
Investment advisory fees (Note 2)		5,319,552			77,985			24,539

Total expenses		5,319,552			77,985			24,539
Less investment advisory fees waived (Note 2)		—			(80	)		—

Net expenses		5,319,552			77,905			24,539

Net investment income		21,386,747			244,959			127,279


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		9,921,339			(486	)		(13,325	)
Investments — affiliated (Note 2)		326			—			—
Foreign currency transactions		(10,358,567	)		—			—

Net realized loss		(436,902	)		(486	)		(13,325	)

Net change in unrealized appreciation/depreciation on:
Investments		2,466,412			(49,031	)		43,430
Forward currency contracts		3,515,316			—			—
Translation of assets and liabilities in foreign currencies		(146	)		—			—

Net change in unrealized appreciation/depreciation		5,981,582			(49,031	)		43,430

Net realized and unrealized gain (loss)		5,544,680			(49,517	)		30,105

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	26,931,427		$	195,442		$	157,384

See notes to financial statements.


FINANCIAL STATEMENTS			35

Statements of Changes in Net Assets

iSHARES^® U.S. ETF TRUST


	iShares Short Maturity Bond ETF						iShares Short Maturity Municipal Bond ETF
	Year ended October 31, 2016			Year ended October 31, 2015			Year ended October 31, 2016			Period from March 3, 2015^a to October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	21,386,747		$	7,948,845		$	244,959		$	150,269
Net realized loss		(436,902	)		(182,842	)		(486	)		(9,083	)
Net change in unrealized appreciation/depreciation		5,981,582			(3,217,775	)		(49,031	)		28,731

Net increase in net assets resulting from operations		26,931,427			4,548,228			195,442			169,917


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(21,492,109	)		(7,132,332	)		(245,082	)		(126,834	)

Total distributions to shareholders		(21,492,109	)		(7,132,332	)		(245,082	)		(126,834	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		1,159,167,574			1,445,296,850			5,007,945			45,000,000
Cost of shares redeemed		(924,020,501	)		(80,138,822	)		(4,994,826	)		(9,994,234	)

Net increase in net assets from capital share transactions		235,147,073			1,365,158,028			13,119			35,005,766

INCREASE (DECREASE) IN NET ASSETS		240,586,391			1,362,573,924			(36,521	)		35,048,849

NET ASSETS
Beginning of year		1,781,306,315			418,732,391			35,048,849			—

End of year	$	2,021,892,706		$	1,781,306,315		$	35,012,328		$	35,048,849

Undistributed net investment income included in net assets at end of year	$	1,190,183		$	1,113,916		$	23,331		$	23,435


SHARES ISSUED AND REDEEMED
Shares sold		23,150,000			28,850,000			100,000			900,000
Shares redeemed		(18,450,000	)		(1,600,000	)		(100,000	)		(200,000	)

Net increase in shares outstanding		4,700,000			27,250,000			—			700,000

^a	Commencement of operations.

See notes to financial statements.


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets (Continued)

iSHARES^® U.S. ETF TRUST


	iShares Ultra Short-Term Bond ETF
	Year ended October 31, 2016			Year ended October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	127,279		$	60,917
Net realized gain (loss)		(13,325	)		5,153
Net change in unrealized appreciation/depreciation		43,430			(25,041	)

Net increase in net assets resulting from operations		157,384			41,029


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(103,710	)		(62,833	)
From net realized gain		—			(9,825	)

Total distributions to shareholders		(103,710	)		(72,658	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		22,457,685			—
Cost of shares redeemed		(9,986,485	)		(2,499,161	)

Net increase (decrease) in net assets from capital share transactions		12,471,200			(2,499,161	)

INCREASE (DECREASE) IN NET ASSETS		12,524,874			(2,530,790	)

NET ASSETS
Beginning of year		12,493,169			15,023,959

End of year	$	25,018,043		$	12,493,169

Undistributed net investment income included in net assets at end of year	$	30,202		$	6,633


SHARES ISSUED AND REDEEMED
Shares sold		450,000			—
Shares redeemed		(200,000	)		(50,000	)

Net increase (decrease) in shares outstanding		250,000			(50,000	)

See notes to financial statements.


FINANCIAL STATEMENTS			37

Financial Highlights

iSHARES^® U.S. ETF TRUST

(For a share outstanding throughout each period)


	iShares Short Maturity Bond ETF
	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Year ended Oct. 31, 2014			Period from Sep. 25, 2013^a to Oct. 31, 2013
Net asset value, beginning of period	$	50.04		$	50.15		$	50.07		$	50.00

Income from investment operations:
Net investment income^b		0.50			0.44			0.44			0.02
Net realized and unrealized gain (loss)^c		0.14			(0.13	)		0.04			0.05

Total from investment operations		0.64			0.31			0.48			0.07

Less distributions from:
Net investment income		(0.51	)		(0.42	)		(0.40	)		—

Total distributions		(0.51	)		(0.42	)		(0.40	)		—

Net asset value, end of period	$	50.17		$	50.04		$	50.15		$	50.07


Total return		1.28	%		0.62	%		0.96	%		0.14	%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	2,021,893		$	1,781,306		$	418,732		$	102,634
Ratio of expenses to average net assets^e		0.25	%		0.25	%		0.25	%		0.25	%
Ratio of net investment income to average net assets^e		1.01	%		0.87	%		0.87	%		0.42	%
Portfolio turnover rate^f		79	%		23	%		35	%		2	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Financial Highlights (Continued)

iSHARES^® U.S. ETF TRUST

(For a share outstanding throughout each period)


		iShares Short Maturity Municipal Bond ETF


	Year ended Oct. 31, 2016			Period from Mar. 3, 2015^a to Oct. 31, 2015
Net asset value, beginning of period	$	50.07		$	50.00

Income from investment operations:
Net investment income^b		0.39			0.20
Net realized and unrealized gain (loss)^c		(0.04	)		0.04

Total from investment operations		0.35			0.24

Less distributions from:
Net investment income		(0.40	)		(0.17	)

Total distributions		(0.40	)		(0.17	)

Net asset value, end of period	$	50.02		$	50.07


Total return		0.69	%		0.48	%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	35,012		$	35,049
Ratio of expenses to average net assets^e		0.25	%		0.25	%
Ratio of expenses to average net assets prior to waived fees^e		0.25	%		0.25	%
Ratio of net investment income to average net assets^e		0.79	%		0.59	%
Portfolio turnover rate^f		100	%		184	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


FINANCIAL HIGHLIGHTS			39

Financial Highlights (Continued)

iSHARES^® U.S. ETF TRUST

(For a share outstanding throughout each period)


		iShares Ultra Short-Term Bond ETF


	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Period from Dec. 11, 2013^a to Oct. 31, 2014
Net asset value, beginning of period	$	49.97		$	50.08		$	49.99

Income from investment operations:
Net investment income^b		0.47			0.24			0.16
Net realized and unrealized gain (loss)^c		(0.02	)		(0.07	)		0.06

Total from investment operations		0.45			0.17			0.22

Less distributions from:
Net investment income		(0.38	)		(0.24	)		(0.13	)
Net realized gain		—			(0.04	)		—

Total distributions		(0.38	)		(0.28	)		(0.13	)

Net asset value, end of period	$	50.04		$	49.97		$	50.08


Total return		0.90	%		0.32	%		0.45	%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	25,018		$	12,493		$	15,024
Ratio of expenses to average net assets^e		0.18	%		0.18	%		0.18	%
Ratio of net investment income to average net assets^e		0.93	%		0.47	%		0.35	%
Portfolio turnover rate^f		139	%		41	%		71	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® U.S. ETF TRUST

iShares U.S. ETF Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust was established as a Delaware statutory trust pursuant to an Agreement and Declaration of Trust dated June 21, 2011.

These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):


iShares ETF		Diversification Classification
Short Maturity Bond		Non-diversified
Short Maturity Municipal Bond		Diversified
Ultra Short-Term Bond		Diversified

Pursuant to the Trust’s organizational documents, the Funds’ officers and trustees are indemnified against certain liabilities that may arise out of the performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts with service providers that contain general indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

The following significant accounting policies are consistently followed by each Fund in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies.

SECURITY VALUATION

Each Fund’s investments are valued at fair value each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date should the reporting period end on a day that the Fund’s listing exchange is not open. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) provides oversight of the valuation of investments for the Funds. The investments of each Fund are valued pursuant to policies and procedures developed by the Global Valuation Committee and approved by the Board of Trustees of the Trust (the “Board”).

•

Fixed income investments are valued using the last available bid price or current market quotations provided by dealers or prices (including evaluated prices) supplied by approved independent third-party pricing services. The pricing services may use matrix pricing or valuation models that utilize certain inputs and assumptions to derive values, including transaction data, credit quality information, perceived market movements, news, and other relevant information and by other methods, which may include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type; indications as to values from dealers; general market conditions; and/or other factors and assumptions. Pricing services generally value fixed income securities assuming orderly transactions of an institutional round lot size, but a fund may hold or transact in such securities in smaller odd lot sizes.

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).


NOTESTO FINANCIAL STATEMENTS			41

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

•

Forward currency contracts are valued based on that day’s prevailing forward exchange rate for the underlying currencies. Interpolated forward exchange rates are used for contracts with interim settlement dates for which quotations are not available.

•

Repurchase agreements are valued at amortized cost, which approximates market value.

In the event that application of these methods of valuation results in a price for an investment which is deemed not to be representative of the fair value of such investment or if a price is not available, the investment will be valued based upon other available factors deemed relevant by the Global Valuation Committee, in accordance with policies approved by the Board. These factors include but are not limited to (i) attributes specific to the investment; (ii) the principal market for the investment; (iii) the customary participants in the principal market for the investment; (iv) data assumptions by market participants for the investment, if reasonably available; (v) quoted prices for similar investments in active markets; and (vi) other factors, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such factors are reported to the Board on a quarterly basis.

The Global Valuation Committee employs various methods for calibrating valuation approaches for investments where an active market does not exist, including regular due diligence of the Trust’s pricing vendors, a regular review 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, reviews of large movements in market values, and reviews of market related activity.

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

Level 2 — Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability (such as exchange rates, financing terms, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs; and

•

Level 3 — Unobservable inputs for the asset or liability based on the best information available in the circumstances, to the extent observable inputs are not available, including the Global Valuation Committee’s assumptions used in determining the fair value of investments.

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for each Fund’s investments is included in its schedule of investments.

Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. In accordance with the 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 values determined for financial instruments are based on the pricing transparency of the financial instruments and are not necessarily an indication of the risks associated with investing in those securities.


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

SECURITY TRANSACTIONS AND INCOME RECOGNITION

Security transactions are accounted for on trade date. Realized gains and losses on investment transactions are determined using the specific identification method. Interest income, including amortization and accretion of premiums and discounts on debt securities, is recognized daily on the accrual basis. Dividend income and capital gain distributions, if any, are recognized on the ex-dividend date, net of any foreign taxes withheld at source.

REPURCHASE AGREEMENTS

The Funds may enter into repurchase agreements. In a repurchase agreement, a Fund purchases a security from a counterparty who agrees to repurchase the same security at a mutually agreed upon date and price. On a daily basis, the counterparty is required to maintain collateral subject to the agreement and in value no less than the agreed repurchase amount. The agreements are conditioned upon the collateral being deposited under the Federal Reserve book entry system or held in a segregated account by the Fund’s custodian or designated sub-custodians under tri-party repurchase agreements. In the event the counterparty defaults and the fair value of the collateral declines, the Fund could experience losses, delays and costs in liquidating the collateral.

Repurchase agreements are entered into by the Funds under Master Repurchase Agreements (each, an “MRA”). The MRA permits the Funds, under certain circumstances including an event of default (such as bankruptcy or insolvency), to offset payables and/or receivables with collateral held by and/or posted to the counterparty. As a result, one single net payment is created. 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. Based on the terms of the MRA, the Fund receives securities as collateral with a market value in excess of the repurchase price at maturity. Upon a bankruptcy or insolvency of the MRA counterparty, the Fund would recognize a liability with respect to such excess collateral. The liability reflects the Fund’s obligation under bankruptcy law to return the excess to the counterparty.

The following table summarizes the Fund’s open repurchase agreements as of October 31, 2016 which are subject to offset under an MRA:


iShares ETF	Market Value of Repurchase Agreements		Non-cash Collateral Received^a		Net Amount
Short Maturity Bond	$	30,000,000	$	30,000,000	$	—

Collateral received in excess of the market value of repurchase agreements is not presented in this table. The total collateral received by the Fund is disclosed in the Fund’s schedule of investments.

FOREIGN CURRENCY TRANSLATION

The accounting records of the Funds are maintained in U.S. dollars. Foreign currencies, as well as investment securities and other assets and liabilities denominated in foreign currencies, are translated into U.S. dollars using exchange rates deemed appropriate by the investment adviser. Purchases and sales of securities, income receipts and expense payments are translated into U.S. dollars on the respective dates of such transactions.

Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of securities. Such fluctuations are reflected by the Funds as a component of realized and unrealized gains and losses from investments for financial reporting purposes.


NOTESTO FINANCIAL STATEMENTS			43

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

FOREIGN TAXES

The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Funds invest. These foreign taxes, if any, are paid by the Funds and are reflected in their statements of operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as “other foreign taxes”, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of October 31, 2016, if any, are disclosed in the Funds’ statements of assets and liabilities.

DISTRIBUTIONS TO SHAREHOLDERS

Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds.

LOANS OF PORTFOLIO SECURITIES

Each Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities plus the interest accrued on such securities, if any, for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan plus accrued interest, if any. The market value of the loaned securities is determined at the close of each business day of the Funds. Any additional required collateral is delivered to the Funds and any excess collateral is returned by the Funds on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

On October 11, 2016, BlackRock, Inc. (“BlackRock”) implemented changes required by amendments to Rule 2a-7 under the 1940 Act, which governs the operations of U.S. money market funds. The Funds may be exposed to additional risks when reinvesting the cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00 and which may be subject to redemption gates or liquidity fees under certain circumstances.

Cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates. As of October 31, 2016, any securities on loan were collateralized by cash and/or U.S. government obligations. Cash collateral received was invested in money market funds managed by BFA and is disclosed in the schedules of investments. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of October 31, 2016 and the total value of the related cash collateral are disclosed in the statements of assets and liabilities. Income earned by the Funds from securities lending is disclosed in the statements of operations.


44		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. Each Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (“MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, a Fund, as lender, would offset the market value of the collateral received against the market value of the securities loaned. The value of the collateral is typically greater than that of the market value of the securities loaned, leaving the lender with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, the borrower can resell or re-pledge the loaned securities, and a Fund can reinvest cash collateral, or, upon an event of default, resell or re-pledge the collateral.

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of October 31, 2016:


iShares ETF and Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount
Short Maturity Bond
BNP Paribas Prime Brokerage International Ltd.	$	317,803	$	317,803	$	—
Deutsche Bank Securities Inc.		6,896,198		6,896,198		—
Goldman Sachs & Co.		2,463,385		2,463,385		—
JPMorgan Securities LLC		4,172,834		4,172,834		—
Merrill Lynch, Pierce, Fenner & Smith		2,007		2,007		—
Morgan Stanley & Co. LLC		1,887,409		1,887,409		—
Wells Fargo Securities LLC		15,614,361		15,614,361		—
HSBC Securities (USA) Inc.		3,002,430		3,002,430		—

	$	34,356,427	$	34,356,427	$	—

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by the Fund is disclosed in the Fund’s statement of assets and liabilities.

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution fees, litigation expenses and any extraordinary expenses.

For its investment advisory services to each of the following Funds, BFA is entitled to an annual investment advisory fee based on the average daily net assets of each Fund as follows:


iShares ETF	Investment Advisory Fee
Ultra Short-Term Bond		0.18	%
Short Maturity Bond		0.25


NOTESTO FINANCIAL STATEMENTS			45

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

Effective December 16, 2016, for its investment advisory services to the iShares Ultra Short-Term Bond ETF, BFA will be entitled to an annual investment advisory fee of 0.08% based on the average daily net assets of the Fund.

For its investment advisory services to the iShares Short Maturity Municipal Bond ETF, BFA is entitled to an annual investment advisory fee of 0.25% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA’s contractual agreement to waive a portion of its investment advisory fees in an amount equal to the acquired fund fees and expenses attributable to the Fund’s investments in other registered investment companies advised by BFA or its affiliates, if any, expired on February 29, 2016.

The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Funds retain a portion of securities lending income and remit the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to a securities lending agreement, each Fund retains 80% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees. In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act iShares exchange-traded funds (the “iShares ETF Complex”) in a given calendar year exceeds the aggregate securities lending income generated across the iShares ETF Complex in the calendar year 2013, each Fund, pursuant to a securities lending agreement, will retain for the remainder of that calendar year 85% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

For the year ended October 31, 2016, the total of securities lending agent services and collateral investment fees paid were as follows:


iShares ETF	Fees Paid to BTC
Short Maturity Bond	$	37,169

BlackRock Investments, LLC, an affiliate of BFA, is the distributor for each Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Funds.

Each Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is included in “Dividends – affiliated” in the statements of operations.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Funds for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.


46		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016 were as follows:


	U.S. Government Obligations				Other Securities
iShares ETF	Purchases		Sales		Purchases		Sales
Short Maturity Bond	$	164,225,709	$	131,944,527	$	1,301,471,108	$	1,065,891,393
Short Maturity Municipal Bond		—		—		27,673,720		29,455,850
Ultra Short-Term Bond		1,398,355		165,052		6,481,165		7,205,027

There were no in-kind transactions (see Note 4) for the year ended October 31, 2016.

4.	*CAPITAL SHARE TRANSACTIONS*

Capital shares are issued and redeemed by each Fund only in aggregations of a specified number of shares or multiples thereof (“Creation Units”) at NAV. Except when aggregated in Creation Units, shares of each Fund are not redeemable. Transactions in capital shares for each Fund are disclosed in detail in the statements of changes in net assets.

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in “Proceeds from shares sold” in the statements of changes in net assets.

5.	*FORWARD CURRENCY CONTRACTS*

Each Fund may enter into forward currency contracts for the purpose of hedging against the effects of foreign currencies on the value of such Fund’s assets that are denominated in a non-U.S. currency. A forward currency contract is an obligation to purchase or sell a currency against another currency at a specified future date at an agreed upon price and quantity. Forward currency contracts are traded over-the-counter (“OTC”) and not on an organized exchange. The contract is marked-to-market daily and the change in market value is recorded as unrealized appreciation or depreciation. When the contract is closed, a realized gain or loss equal to the difference between the value at the time it was opened and the value at the time it was closed is recorded. Losses may arise if there are unfavorable movements in the value of a foreign currency relative to the U.S. dollar or if the counterparties do not meet the terms of the agreement. The Fund’s use of forward currency contracts also involves the risks of imperfect correlation between the value of its currency positions and its other investments or the Fund failing to close out its position due to an illiquid market.


NOTESTO FINANCIAL STATEMENTS			47

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

The following table shows the value of forward currency contracts held by the iShares Short Maturity Bond ETF as of October 31, 2016 and the related locations in the statement of assets and liabilities, presented by risk exposure category:


Assets
Forward currency contracts:
Unrealized appreciation on forward currency contracts/ Net assets consist of – net unrealized appreciation (depreciation)	$	3,569,633

The following table shows the realized and unrealized gains (losses) on forward currency contracts held by the iShares Short Maturity Bond ETF during the year ended October 31, 2016 and the related locations in the statement of operations, presented by risk exposure category:


	Net Realized Gain (Loss)			Net Change in Unrealized Appreciation/Depreciation
Forward currency contracts:
Foreign currency transactions/Forward currency contracts	$	(11,227,772	)	$	3,515,316

For the year ended October 31, 2016, the average quarter-end amounts purchased and sold in U.S. dollars for the iShares Short Maturity Bond ETF were $113,816 and $80,483,377, respectively.

The Funds’ risk of loss from counterparty credit risk on OTC derivatives is generally limited to the aggregate unrealized gain netted against any collateral held by the Funds. In order to better define their contractual rights and to secure rights that will help the Funds to mitigate their counterparty risk, the Funds may enter into an International Swaps and Derivatives Association, Inc. master agreement (“ISDA Master Agreement”) or similar agreement with their derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between the Funds and a counterparty that governs OTC derivatives and foreign exchange contracts and typically contains, among other things, collateral posting terms and netting provisions in the event of a default and/or termination event. 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. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy or insolvency.

The collateral requirements under an ISDA Master Agreement 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 parties. Forward currency contracts held by the Funds generally do not require collateral. To the extent amounts due to the Funds from the counterparty are not fully collateralized, contractually or otherwise, the Funds bear the risk of loss from counterparty non-performance. The Funds attempt to mitigate counterparty risk by only entering into agreements with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties.

For financial reporting purposes, the Funds do not offset financial assets and financial liabilities that are subject to netting arrangements in the statements of assets and liabilities.


48		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

The following table presents the exposure of the open forward currency contracts held by the iShares Short Maturity Bond ETF that are subject to potential offset in the statement of assets and liabilities as of October 31, 2016:


	Derivative Assets Subject to Offsetting		Derivatives Available for Offset		Net Amount of Derivative Assets
Forward currency contracts	$	3,569,633	$	—	$	3,569,633

6.	*PRINCIPAL RISKS*

In the normal course of business, each Fund’s investment activities expose it to various types of risk associated with the financial instruments and markets in which it invests. The significant types of financial risks each Fund is exposed to include market risk and credit risk. Each Fund’s prospectus provides details of these and other types of risk.

MARKET RISK

Market risk arises mainly from uncertainty about future values of financial instruments influenced by price, currency and interest rate movements. It represents the potential loss a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by virtue of its investment in equity, fixed income and/or financial derivative instruments or indirectly by virtue of its investment in underlying funds. The fair value of securities held by a fund may decline due to general market conditions, economic trends or events that are not specifically related to the issuers of the securities including local, regional or global political, social or economic instability or to factors that affect a particular industry or group of industries. The extent of a fund’s exposure to market risk is the market value of the investments held as shown in the fund’s schedule of investments.

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within each Fund’s portfolio are disclosed in its schedule of investments.

Changes in market interest rates or economic conditions may affect the value and/or liquidity of fixed income investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will decrease as interest rates rise and increase as interest rates fall. Mortgage-backed securities and securities with longer durations tend to be more sensitive to interest rate changes, usually making them more volatile than other types of bonds or securities with shorter durations. Given the environment of historically low interest rates, a fund may be subject to a greater risk of price losses if interest rates rise.

CREDIT RISK

Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. BFA and its affiliates manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose a fund to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of a fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its statement of assets and liabilities.


NOTESTO FINANCIAL STATEMENTS			49

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

High yield securities that are rated below investment-grade (including those bonds rated lower than “BBB-” by Standard & Poor’s Ratings Services and Fitch or “Baa3” by Moody’s) or are unrated, may be more volatile than higher-rated securities of similar maturity. High yield securities may also be subject to greater levels of credit or default risk than higher-rated securities and high yield securities may be less liquid and more difficult to sell at an advantageous time or price or to value than higher-rated securities. In particular, high yield securities are often issued by smaller, less creditworthy companies or by highly leveraged (indebted) companies, which are generally less able than more financially stable companies to make scheduled payments of interest and principal.

Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions, credit rating downgrades, or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest or otherwise affect the value of such securities. Municipal securities can be significantly affected by political changes as well as uncertainties in the municipal market related to government regulation, taxation, legislative changes or the rights of municipal security holders. Because many municipal securities are issued to finance similar projects, such as those related to education, health care, housing, transportation, utilities, and water and sewer, conditions in these sectors can affect the overall municipal market. In addition, changes in the financial condition of an individual municipal insurer can affect the overall municipal market. Municipal securities backed by current or anticipated revenues from a specific project or specific assets can be negatively affected by the discontinuance of the taxation supporting the project or assets or the inability to collect revenues for the project or from the assets.

7.	*INCOME TAX INFORMATION*

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is the policy of each Fund to qualify as a regulated investment company by complying with the provisions applicable to regulated investment companies, as defined under Subchapter M of the Internal Revenue Code of 1986, as amended, and to annually distribute substantially all of its ordinary income and any net capital gains (taking into account any capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income and excise taxes. Accordingly, no provision for federal income taxes is required.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. The following permanent differences as of October 31, 2016, attributable to the use of amortization methods on fixed income securities, foreign currency transactions and undistributed gains, were reclassified to the following accounts:


iShares ETF	Paid-in Capital		Undistributed Net Investment Income/Distributions in Excess of Net Investment Income		Undistributed Net Realized Gain/Accumulated Net Realized Loss
Short Maturity Bond	$	—	$	181,629	$	(181,629	)
Short Maturity Municipal Bond		—		19		(19	)
Ultra Short-Term Bond		5,155		—		(5,155	)


50		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^®U.S. ETF TRUST

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


iShares ETF	2016		2015
Short Maturity Bond
Ordinary income	$	21,492,109	$	7,132,332


Short Maturity Municipal Bond
Tax-exempt income	$	245,046	$	126,822
Ordinary income		36		12

	$	245,082	$	126,834


Ultra Short-Term Bond
Ordinary income	$	$103,710	$	72,658

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


iShares ETF	Undistributed Ordinary Income		Undistributed Tax-Exempt Income		Capital Loss Carryforwards			Net Unrealized Gains (Losses)^a			Total
Short Maturity Bond	$	1,408,174	$	–	$	(818,332	)	$	2,165,651		$	2,755,493
Short Maturity Municipal Bond		–		23,331		(9,588	)		(20,300	)		(6,557	)
Ultra Short-Term Bond		30,202		–		(13,325	)		37,067			53,944

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the treatment of straddles.

As of October 31, 2016, the following Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:


iShares ETF	Non- Expiring
Short Maturity Bond	$	818,332
Short Maturity Municipal Bond		9,588
Ultra Short-Term Bond		13,325

Management has analyzed tax laws and regulations and their application to the Funds as of October 31, 2016, 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 Funds’ financial statements.

8.	*SUBSEQUENT EVENTS*

Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or disclosure in the financial statements.


NOTESTO FINANCIAL STATEMENTS			51

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares Short Maturity Bond ETF, iShares Short Maturity Municipal Bond ETF and iShares Ultra Short-Term Bond ETF (the “Funds”) at October 31, 2016, the results of each of their operations, the changes in each of their net assets and their financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


52		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Tax Information (Unaudited)

iSHARES^® U.S. ETF TRUST

For the fiscal year ended October 31, 2016, the following Funds hereby designate the following maximum amounts allowable as interest-related dividends eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations:


iShares ETF	Interest- Related Dividends
Short Maturity Bond	$	18,299,705
Short Maturity Municipal Bond		244,959
Ultra Short-Term Bond		93,178

The following Funds hereby designate the following amounts of distributions from direct federal obligation interest for the fiscal year ended October 31, 2016:


iShares ETF	Federal Obligation Interest
Short Maturity Bond	$	298,373
Ultra Short-Term Bond		6,830

The law varies in each state as to whether and what percentage of ordinary income dividends attributable to federal obligations is exempt from state income tax. Shareholders are advised to check with their tax advisers to determine if any portion of the dividends received is exempt from state income tax.


TAX INFORMATION			53

Board Review and Approval of Investment Advisory

Contract

iSHARES^® U.S. ETF TRUST

I. iShares Short Maturity Bond ETF and iShares Short Maturity Municipal Bond ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Funds. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Funds, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Funds, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:

Expenses and Performance of the Funds — The Board reviewed statistical information prepared by Broadridge Financial Solutions Inc. (“Broadridge”), an independent provider of investment company data, regarding the expense ratio components, including gross and net total expenses, waivers/reimbursements (if any), and underlying fund fees and expenses (if any) of each Fund in comparison with the same information for other exchange traded funds (including, where applicable, funds sponsored by an “at cost” service provider) and, in the limited instances where no comparable ETFs existed and the comparison group would not otherwise be reasonable in Broadridge’s judgment, pure index institutional mutual funds, objectively selected by Broadridge as comprising such Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of Broadridge’s proprietary ETF methodology used by Broadridge to determine the applicable Peer Groups. The Board further noted that due to the limitations in providing comparable funds in the various Peer Groups, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Funds in all instances.

The Board also noted that the investment advisory fee rates and overall expenses (net of waivers and reimbursements) for the Funds were lower than the median of the investment advisory fee rates and overall expenses (net of waivers and reimbursements) of the funds in their respective Peer Group, excluding iShares funds.

In addition, to the extent that any of the comparison funds included in the Peer Group, excluding iShares funds, track the same index as any particular Fund, Broadridge also provided, and the Board reviewed, a comparison of such Fund’s performance for the one-, three-, five-, ten-year, and since inception periods, as applicable, and for the “last quarter” period ended December 31, 2015, to that of such relevant comparison funds for the same periods.


54		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

The Board noted that each Fund is an actively managed ETF that does not seek to track the performance of a specified index and that the management team for each Fund manages the Fund’s portfolio in accordance with its investment objective. The Board further noted that during the prior year, the Board received periodic reports on each Fund’s short- and longer-term performance in comparison with its peer group and benchmark index. Such periodic comparative performance information, including additional detailed information on certain specific iShares funds requested by the Board, was also considered. The Board noted that each Fund generally performed in line with expectations relative to each Fund’s peer group and benchmark index.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of each Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Funds. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Funds, as well as the resources available to them in managing the Funds. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that each Fund had met its investment objective consistently since its respective inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Funds under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Costs of Services Provided to the Funds and Profits Realized by BFA and its Affiliates — The Board reviewed information about the profitability to BlackRock of the Funds, on a Fund-by-Fund basis and in the aggregate, based on the fees payable to BFA and its affiliates (including fees under the Advisory Contract), and all other sources of revenue and expense to BFA and its affiliates from the Funds’ operations for the last calendar year. The Board reviewed BlackRock’s profitability methodology for the iShares funds, noting that the 15(c) Committee had focused on the methodology and profitability presentation during its meetings. The Board discussed the sources of direct and ancillary revenue with management, including the revenues to BTC from securities lending by the Funds. The Board also discussed BFA’s profit margin as reflected in the Funds’ profitability analyses and reviewed information regarding potential economies of scale (as discussed below). Based on this review, the Board concluded that the profits realized by BFA and its affiliates under the Advisory Contract and from other relationships between the Funds and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors considered.

Economies of Scale — The Board reviewed information regarding potential economies of scale or other efficiencies that may result from increases in the Funds’ assets, noting that the issue of economies of scale had been focused on extensively by the 15(c) Committee during its meetings and addressed by management. The Board and the 15(c) Committee reviewed information


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			55

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

provided by BFA regarding scale benefits shared with the iShares funds through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board and the 15(c) Committee received information regarding BlackRock’s historical profitability, including BFA’s and its affiliates’ costs in providing services. The cost information distinguished, among other things, between fixed and variable costs, and explained how the level of fixed and variable costs, as well as the nature of such costs, may impact the existence or size of scale benefits. The Board noted that the Advisory Contract for the Funds did not provide for any breakpoints in the Funds’ investment advisory fee rates as the assets of the Funds increase. However, the Board noted that should material economies of scale exist in the future that are not otherwise shared, a breakpoint structure for the Funds may be appropriate, and that it would continue to monitor the sharing of economies of scale to determine the appropriateness of adding breakpoints in the future.

Based on this review, as well as the other factors considered at the meeting, the Board, recognizing its responsibility to consider this issue periodically, determined to approve the continuance of the Advisory Contract for the coming year.

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do manage Other Accounts with similar investment strategies or investment mandates as the Funds. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Funds, including in terms of the different and generally more extensive services provided to the Funds, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Funds, as publicly traded exchange traded funds, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Funds’ advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rates under the Advisory Contract for the Funds were generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Funds by BFA, such as payment of revenue to BTC, the Funds’ securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Funds in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Funds. The Board further noted that any portfolio transactions on behalf of the Funds placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Funds’ shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.


56		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

Based on the considerations described above, the Board determined that each Fund’s investment advisory fee rate under the Advisory Contract does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded that it is in the best interest of each Fund and its shareholders to approve the continuance of the Advisory Contract for the coming year.

II. iShares Ultra Short-Term Bond ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:

Expenses and Performance of the Fund — The Board reviewed statistical information prepared by Broadridge Financial Solutions Inc. (“Broadridge”), an independent provider of investment company data, regarding the expense ratio components, including gross and net total expenses, waivers/reimbursements (if any), and underlying fund fees and expenses (if any) of the Fund in comparison with the same information for other exchange traded funds (including, where applicable, funds sponsored by an “at cost” service provider) and, in the limited instances where no comparable ETFs existed and the comparison group would not otherwise be reasonable in Broadridge’s judgment, pure index institutional mutual funds, objectively selected by Broadridge as comprising the Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of Broadridge’s proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board further noted that due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			57

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

In addition, to the extent that any of the comparison funds included in the Peer Group, excluding iShares funds, track the same index as the Fund, Broadridge also provided, and the Board reviewed, a comparison of the Fund’s performance for the one-, three-, five-, ten-year, and since inception periods, as applicable, and for the “last quarter” period ended December 31, 2015, to that of such relevant comparison funds for the same periods.

The Board noted that the Fund is an actively managed ETF that does not seek to track the performance of a specified index and that the management team for the Fund manages the Fund’s portfolio in accordance with its investment objective. The Board further noted that during the prior year, the Board received periodic reports on the Fund’s short- and longer-term performance in comparison with its peer group and benchmark index. Such periodic comparative performance information, including additional detailed information on certain specific iShares funds requested by the Board, was also considered. The Board noted that the Fund generally performed in line with expectations relative to the Fund’s peer group and benchmark index over the relevant periods over the relevant periods.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates — The Board reviewed information about the profitability to BlackRock of the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Contract), and all other sources of revenue and expense to BFA and its affiliates from the Funds’ operations for the last calendar year. The Board reviewed BlackRock’s profitability methodology for the iShares funds, noting that the 15(c) Committee had focused on the methodology and profitability presentation during its meetings. The Board discussed the sources of direct and ancillary revenue with management, including the revenues to BTC from securities lending by the Fund. The Board also discussed BFA’s profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below). Based on this review, the Board concluded that the profits realized by BFA and its


58		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

affiliates under the Advisory Contract and from other relationships between the Fund and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors considered.

Economies of Scale — The Board reviewed information regarding potential economies of scale or other efficiencies that may result from increases in the Fund’s assets, noting that the issue of economies of scale had been focused on extensively by the 15(c) Committee during its meetings and addressed by management. The Board and the 15(c) Committee reviewed information provided by BFA regarding scale benefits shared with the iShares funds through relatively low fee rates established at inception, breakpoints, waivers, or other fee reductions, as well as through additional investment in the iShares business and the provision of improved or additional infrastructure and services to the iShares funds and their shareholders. The Board and the 15(c) Committee received information regarding BlackRock’s historical profitability, including BFA’s and its affiliates’ costs in providing services. The cost information distinguished, among other things, between fixed and variable costs, and explained how the level of fixed and variable costs, as well as the nature of such costs, may impact the existence or size of scale benefits. The Board noted that the Advisory Contract for the Fund did not provide for any breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that should material economies of scale exist in the future that are not otherwise shared, a breakpoint structure for the Fund may be appropriate, and that it would continue to monitor the sharing of economies of scale to determine the appropriateness of adding breakpoints in the future.

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do manage Other Accounts with a similar investment strategy or investment mandate as the Fund. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Fund, including in terms of the different and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. Further, with respect to comparisons with one or more open-end index mutual funds registered under the 1940 Act managed by BFA (or an affiliate) that track the same index as the Fund and have investment advisory fee rates and overall expenses (net of waivers and reimbursements) that are lower than the investment advisory fee rate and overall expenses (net of waivers and reimbursements) of the Fund, the Board gave weight to management’s explanations of the relevant circumstances applicable to such mutual funds. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			59

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® U.S. ETF TRUST

to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.

Based on the considerations described above, the Board determined that the Fund’s investment advisory fee rate under the Advisory Contract does not constitute a fee that is so disproportionately large as to bear no reasonable relationship to the services rendered and that could not have been the product of arm’s-length bargaining, and concluded that it is in the best interest of the Fund and its shareholders to approve the continuance of the Advisory Contract for the coming year.


60		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited)

iSHARES^® U.S. ETF TRUST

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are provided 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 Fund’s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.


	Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
iShares ETF	Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income			Net Realized Capital Gains			Return of Capital			Total Per Share
Short Maturity Bond	$	0.506033	$	—	$	—	$	0.506033		100	%		—	%		—	%		100	%
Short Maturity Municipal Bond		0.395864		—		—		0.395864		100			—			—			100
Ultra Short-Term Bond		0.379578		—		—		0.379578		100			—			—			100

Premium/Discount Information

The Premium/Discount Information section is intended to present information about the differences between the daily market price on secondary markets for shares of a fund and that fund’s NAV. NAV is the price at which a fund issues and redeems shares. It is calculated in accordance with the standard formula for valuing mutual fund shares. The “Market Price” of a fund generally is determined using the midpoint between the highest bid and the lowest offer on the primary stock exchange on which the shares of such fund are listed for trading, as of the time that the fund’s NAV is calculated. A fund’s Market Price may be at, above or below its NAV. The NAV of a fund will fluctuate with changes in the fair value of its portfolio holdings. The Market Price of a fund will fluctuate in accordance with changes in its NAV, as well as market supply and demand.

Premiums or discounts are the differences (expressed as a percentage) between the NAV and Market Price of a fund on a given day, generally at the time the NAV is calculated. A premium is the amount that a fund is trading above the reported NAV, expressed as a percentage of the NAV. A discount is the amount that a fund is trading below the reported NAV, expressed as a percentage of the NAV.

The following information shows the frequency of distributions of premiums and discounts for each of the Funds. The information shown for each Fund is for five calendar years (or from the inception date of such Fund if less than five years) through the date of the most recent calendar quarter-end. The specific periods covered for each Fund are disclosed in the table for such Fund.


SUPPLEMENTAL INFORMATION			61

Supplemental Information (Unaudited) (Continued)

iSHARES^® U.S. ETF TRUST

Each line in the table shows the number of trading days in which the Fund traded within the premium/discount range indicated. The number of trading days in each premium/discount range is also shown as a percentage of the total number of trading days in the period covered by each table. All data presented here represents past performance, which cannot be used to predict future results.

iShares Short Maturity Bond ETF

Period Covered: September 25, 2013 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Between 0.5% and –0.5%		761		100.00	%

iShares Short Maturity Municipal Bond ETF

Period Covered: March 3, 2015 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Between 0.5% and –0.5%		397		99.00	%
Less than –0.5% and Greater than –1.0%		1		0.25
Less than –1.0%		3		0.75

		401		100.00	%

iShares Ultra Short-Term Bond ETF

Period Covered: December 11, 2013 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 0.5%		1		0.14	%
Between 0.5% and –0.5%		701		99.58
Less than –0.5% and Greater than –1.0%		1		0.14
Less than –1.0%		1		0.14

		704		100.00	%


62		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. The President, Chief Compliance Officer, Treasurer and Secretary shall each hold office until their successors are chosen and qualify, and all other officers shall hold office until he or she resigns or is removed. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of closed-end funds, two complexes of open-end funds and one complex of exchange-traded funds (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the BlackRock Fund Complex referred to as the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares Trust, and, as a result, oversees a total of 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. Mr. Lawton also serves as an Advisory Board Member for iShares, Inc. and iShares Trust with respect to 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. With the exception of Robert S. Kapito, Mark Wiedman and Benjamin Archibald, the address of each Trustee, Advisory Board Member and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Wiedman, and Mr. Archibald is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52^nd Street, New York, NY 10055. The Board has designated Cecilia H. Herbert as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

Interested Trustees

Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


TRUSTEEAND OFFICER INFORMATION			63

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


64		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c (Continued)

Robert H. Silver served as an Independent Trustee until March 31, 2016.


TRUSTEEAND OFFICER INFORMATION			65

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

Manish Mehta served as President until October 15, 2016.


66		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Advisory Board Member


TRUSTEEAND OFFICER INFORMATION			67

Notes:


68		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes:


NOTES			69

Notes:


70		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)

This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

A description of the policies that the Funds use to determine how to vote proxies relating to portfolio securities and information about how the Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request, by calling toll-free 1-800-474-2737; on the Funds’ website at www.iShares.com; and on the U.S. Securities and Exchange Commission (SEC) website at www.sec.gov.

The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website or may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The Funds also disclose their complete schedules of portfolio holdings on a daily basis on the Funds’ website.

iS-AR-1008-1016

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

^Ø

iShares Interest Rate Hedged High Yield Bond ETF | HYGH | NYSE Arca

^Ø

iShares Interest Rate Hedged Corporate Bond ETF | LQDH | NYSE Arca

Table of Contents


Management’s Discussions of Fund Performance			5
About Fund Performance			10
Shareholder Expenses			10
Schedules of Investments			11
iShares Interest Rate Hedged High Yield Bond ETF			11
iShares Interest Rate Hedged Corporate Bond ETF			13
Financial Statements			15
Financial Highlights			18
Notes to Financial Statements			20
Report of Independent Registered Public Accounting Firm			30
Tax Information			31
Board Review and Approval of Investment Advisory Contract			31
Supplemental Information			38
Trustee and Officer Information			40
Additional Financial Information as of October 31, 2016 (Unaudited)			44
Schedules of Investments			45
iShares iBoxx $ High Yield Corporate Bond ETF			45
iShares iBoxx $ Investment Grade Corporate Bond ETF			74
Statements of Assets and Liabilities			109
Selected Audited Financial Statements as of February 29, 2016			110

Management’s Discussion of Fund Performance

iSHARES^® U.S. ETF TRUST

U.S. BOND MARKET OVERVIEW


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED HIGH YIELD BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		4.73%		(0.54)%		4.73%		(1.30)%
Fund Market		4.81%		(0.52)%		4.81%		(1.27)%
Markit iBoxx USD Liquid High Yield Interest Rate Hedged Index		6.65%		0.63%		6.65%		1.53%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 5/27/14. The first day of secondary market trading was 5/28/14.

The Markit iBoxx USD Liquid High Yield Interest Rate Hedged Index is an unmanaged index that reflects the duration hedged performance of U.S. dollar-denominated high yield corporate debt.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Annualized Expense Ratio^a
$	1,000.00	$	1,054.00	$	0.15	$	1,000.00	$	1,025.00	$	0.15		0.03%

Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests.


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® INTEREST RATE HEDGED HIGH YIELD BOND ETF

The iShares Interest Rate Hedged High Yield Bond ETF (the “Fund”) seeks to mitigate the interest rate risk of a portfolio composed of U.S. dollar-denominated, high yield corporate bonds. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index.

The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares iBoxx $ High Yield Corporate Bond ETF. The Fund attempts to mitigate the interest rate risk of the underlying fund by holding short positions in U.S. Treasury futures or interest rate swaps. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 4.73%, net of fees.

The Fund advanced for the reporting period, reflecting the strong performance of high-yield corporate bonds across all sectors. The most important contributing factor to Fund performance was strong investor demand for yield. With U.S. Treasury bond yields near historically low levels, investors shifted into higher-yielding segments of the bond market, and corporate bonds typically offer some of the highest yields. In addition, lower-quality corporate bonds attracted greater demand because of their yield advantage over higher-rated corporate securities.

Every sector of the Index contributed to performance for the reporting period. Industrial bonds, which represented approximately 85% of the Fund on average during the reporting period, contributed the most to Fund performance, led by the communications industry. Energy and basic materials bonds also contributed to performance, benefiting from rising commodities prices in the second half of the reporting period. Outside of the industrial sector, bonds issued by finance and electric utilities companies contributed to the Fund’s performance for the reporting period.

From a credit perspective, the Fund’s higher-risk, lower credit-quality bonds (Caa-rated) delivered a relatively large contribution to the Fund’s return despite being only 13% of the Fund on average for the reporting period.

The Fund’s interest rate hedging activity detracted from Fund performance for the reporting period. Hedging against interest rate risk can improve returns when bond yields rise, but it can be a drag on performance when bond yields decline, as was the case during the reporting period.

ALLOCATION BY CREDIT QUALITY¹

As of 10/31/16


Moody’s Credit Rating²		Percentage of Total Investments³


Baa	0.61	%
Ba	45.59
B	39.52
Caa	12.83
Ca	0.35
C	0.09
Not Rated	1.01

TOTAL	100.00	%

ALLOCATION BY MATURITY¹

As of 10/31/16

Maturity

Percentage of

Total Investments³


0-1 Year	0.08	%
1-5 Years	35.08
5-10 Years	62.83
10-15 Years	1.36
More than 20 Years	0.65

TOTAL	100.00	%

Table shown is for the iShares iBoxx $ High Yield Corporate Bond ETF, the underlying fund in which the Fund invests.

Excludes money market funds.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			7

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED CORPORATE BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		2.70%		(0.58)%		2.70%		(1.40)%
Fund Market		2.83%		(0.52)%		2.83%		(1.27)%
Markit iBoxx USD Liquid Investment Grade Interest Rate Hedged Index		3.91%		0.42%		3.91%		1.03%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 5/27/14. The first day of secondary market trading was 5/28/14.

The Markit iBoxx USD Liquid Investment Grade Interest Rate Hedged Index is an unmanaged index that is designed to reflect the duration hedged performance of U.S. dollar-denominated investment-grade corporate debt.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Annualized Expense Ratio^a
$	1,000.00	$	1,012.70	$	0.46	$	1,000.00	$	1,024.70	$	0.46		0.09%

Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests.


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® INTEREST RATE HEDGED CORPORATE BOND ETF

The iShares Interest Rate Hedged Corporate Bond ETF (the “Fund”) seeks to mitigate the interest rate risk of a portfolio composed of U.S. dollar-denominated, investment-grade corporate bonds. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index.

The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares iBoxx $ Investment Grade Corporate Bond ETF. The Fund attempts to mitigate the interest rate risk of the underlying fund by holding short positions in U.S. Treasury futures or interest rate swaps. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 2.70%, net of fees.

The Fund’s performance was largely driven by strong investor demand for yield in a low interest rate environment. Corporate bonds — which offer the highest yields in the U.S. bond market — outperformed all other sectors of the bond market. Higher-quality corporate bonds trailed high-yield corporate bonds, as the search for yield led investors to seek out riskier segments of the corporate bond market.

Every sector of the Fund contributed positively to performance for the reporting period. Industrial bonds, which represented approximately 65% of the Fund on average during the reporting period, contributed the most to Fund performance, led by the consumer-oriented and communications industries. Financial bonds, which represented approximately 33% of the Fund on average, also helped performance for the reporting period, with the banking and insurance industries contributing the most to performance. The utilities sector was a modest contributor due to its relatively small weighting in the Fund.

From a credit perspective, the Fund’s position in medium-quality bonds — those rated A and Baa, which represented approximately 84% of the Fund on average for the reporting period — delivered the largest contribution to the Fund’s return.

ALLOCATION BY CREDIT QUALITY¹

As of 10/31/16


Moody’s Credit Rating²		Percentage of Total Investments³


Aaa	2.95	%
Aa	10.40
A	40.68
Baa	42.02
Ba	3.51
Not Rated	0.44

TOTAL	100.00	%

ALLOCATION BY MATURITY¹

As of 10/31/16


Maturity		Percentage of Total Investments³


1-5 Years	23.96	%
5-10 Years	40.93
10-15 Years	2.63
15-20 Years	5.83
More than 20 Years	26.65

TOTAL	100.00	%

Table shown is for the iShares iBoxx $ Investment Grade Corporate Bond ETF, the underlying fund in which the Fund invests.

Credit quality ratings shown reflect the ratings assigned by Moody’s Investors Service (“Moody’s”), a widely used independent, nationally recognized statisticalrating organization. Moody’s credit ratings are opinions of the credit quality of individual obligations or of an issuer’s general creditworthiness. Investment grade ratings are credit ratings of Baa or higher. Below investment grade ratings are credit ratings of Ba or lower. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

Excludes money market funds.


MANAGEMENT’S DISCUSSIONSOF FUND PERFORMANCE			9

About Fund Performance

Shareholder Expenses


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® INTEREST RATE HEDGED HIGH YIELD BOND ETF

October 31, 2016


Security	Shares		Value
INVESTMENT COMPANIES — 96.79%

EXCHANGE-TRADED FUNDS — 96.79%
iShares iBoxx $ High Yield Corporate Bond ETF^a,b		344,246	$	29,612,040

				29,612,040

TOTAL INVESTMENT COMPANIES
(Cost: $32,365,717)				29,612,040

SHORT-TERM INVESTMENTS — 48.25%
MONEY MARKET FUNDS — 48.25%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.72%^c,d,e		14,096,906		14,098,316
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^c,d		664,261		664,261

				14,762,577

TOTAL SHORT-TERM INVESTMENTS
(Cost: $14,762,577)				14,762,577


TOTAL INVESTMENTS IN SECURITIES — 145.04%
(Cost: $47,128,294)^f				44,374,617
Other Assets, Less Liabilities — (45.04)%				(13,778,916	)


NET ASSETS — 100.00%			$	30,595,701

^a	All or a portion of this security represents a security on loan. See Note 1.

^b	Affiliated issuer. See Schedule 1.

^c	Affiliated money market fund.

^d	The rate quoted is the annualized seven-day yield of the fund at period end.

^e	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

^f	The cost of investments for federal income tax purposes was $47,148,286. Net unrealized depreciation was $2,773,669, of which $ — represented gross unrealized appreciation on securities and $2,773,669 represented gross unrealized depreciation on securities.


SCHEDULESOF INVESTMENTS			11

Schedule of Investments (Continued)

iSHARES^® INTEREST RATE HEDGED HIGH YIELD BOND ETF

October 31, 2016

Schedule 1 — Affiliates (Note 2)

Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the year ended October 31, 2016, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:


Affiliated issuer	Shares held at beginning of year		Shares purchased		Shares sold			Shares held at end of year		Value at end of year		Dividend income		Net realized gain (loss)
iShares iBoxx $ High Yield Corporate Bond ETF		551,870		51,670		(259,294	)		344,246	$	29,612,040	$	1,975,757	$	(2,404,768	)

Schedule 2 — Swaps Contracts (Note 5)

Centrally cleared short interest rate swaps outstanding as of October 31, 2016 were as follows:


Fixed rate^a	Floating rate^a		Clearinghouse		Expiration date		Notional amount			Value		Premiums paid (received)			Unrealized appreciation (depreciation)
1.01%		3-month LIBOR		Chicago Mercantile		12/08/2018	$	(14,500,000	)	$	29,124	$	3,504		$	25,620
1.17%		3-month LIBOR		Chicago Mercantile		12/08/2021		(11,000,000	)		109,393		5,479			103,914
1.44%		3-month LIBOR		Chicago Mercantile		12/08/2026		(2,750,000	)		76,409		(2,193	)		78,602

											Net unrealized appreciation				$	208,136

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

Schedule 3 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Investment companies	$	29,612,040	$	—	$	—	$	29,612,040
Money market funds		14,762,577		—		—		14,762,577

Total	$	44,374,617	$	—	$	—	$	44,374,617

Derivative financial instruments^a:
Assets:
Centrally cleared interest rate swaps	$	—	$	208,136	$	—	$	208,136

Total	$	—	$	208,136	$	—	$	208,136

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to financial statements.


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® INTEREST RATE HEDGED CORPORATE BOND ETF

October 31, 2016


Security	Shares		Value
INVESTMENT COMPANIES — 93.84%

EXCHANGE-TRADED FUNDS — 93.84%
iShares iBoxx $ Investment Grade Corporate Bond ETF^a		251,108	$	30,379,046

				30,379,046

TOTAL INVESTMENT COMPANIES
(Cost: $29,750,331)				30,379,046

SHORT-TERM INVESTMENTS — 3.53%
MONEY MARKET FUNDS — 3.53%
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^b,c		1,142,609		1,142,609

				1,142,609

TOTAL SHORT-TERM INVESTMENTS
(Cost: $1,142,609)				1,142,609


TOTAL INVESTMENTS IN SECURITIES — 97.37%
(Cost: $30,892,940)^d				31,521,655
Other Assets, Less Liabilities — 2.63%				850,017


NET ASSETS — 100.00%			$	32,371,672

^a	Affiliated issuer. See Schedule 1.

^b	Affiliated money market fund.

^c	The rate quoted is the annualized seven-day yield of the fund at period end.

^d	The cost of investments for federal income tax purposes was $30,892,940. Net unrealized appreciation was $628,715, of which $628,715 represented gross unrealized appreciation on securities and $ — represented gross unrealized depreciation on securities.


SCHEDULESOF INVESTMENTS			13

Schedule of Investments (Continued)

iSHARES^® INTEREST RATE HEDGED CORPORATE BOND ETF

October 31, 2016

Schedule 1 — Affiliates (Note 2)


Affiliated issuer	Shares held at beginning of year		Shares purchased		Shares sold			Shares held at end of year		Value at end of year		Dividend income		Net realized gain (loss)
iShares iBoxx $ Investment Grade Corporate Bond ETF		151,666		377,044		(277,602	)		251,108	$	30,379,046	$	1,012,567	$	965,745

Schedule 2 — Swaps Contracts (Note 5)

Centrally cleared short interest rate swaps outstanding as of October 31, 2016 were as follows:


Fixed rate^a	Floating rate^a		Clearinghouse		Expiration date		Notional amount			Value		Premiums paid (received)			Unrealized appreciation (depreciation)
1.01%		3-month LIBOR		Chicago Mercantile		12/08/2018	$	(5,000,000	)	$	10,043	$	1,030		$	9,013
1.17%		3-month LIBOR		Chicago Mercantile		12/08/2021		(10,000,000	)		99,449		2,969			96,480
1.44%		3-month LIBOR		Chicago Mercantile		12/08/2026		(9,500,000	)		263,957		4,037			259,920
1.70%		3-month LIBOR		Chicago Mercantile		12/08/2036		(4,500,000	)		252,005		(13,203	)		265,208
1.77%		3-month LIBOR		Chicago Mercantile		12/08/2046		(1,300,000	)		98,971		(9,213	)		108,184

											Net unrealized appreciation				$	738,805

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

Schedule 3 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Investment companies	$	30,379,046	$	—	$	—	$	30,379,046
Money market funds		1,142,609		—		—		1,142,609

Total	$	31,521,655	$	—	$	—	$	31,521,655

Derivative financial instruments^a:
Assets:
Centrally cleared interest rate swaps	$	—	$	738,805	$	—	$	738,805

Total	$	—	$	738,805	$	—	$	738,805

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to financial statements.


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Assets and Liabilities

iSHARES^® U.S. ETF TRUST

October 31, 2016


	iShares Interest Rate Hedged High Yield Bond ETF			iShares Interest Rate Hedged Corporate Bond ETF

ASSETS
Investments, at cost:
Affiliated (Note 2)	$	47,128,294		$	30,892,940

Total cost of investments	$	47,128,294		$	30,892,940

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Affiliated (Note 2)	$	44,374,617		$	31,521,655

Total fair value of investments		44,374,617			31,521,655
Cash		1,000			9,000
Cash pledged for centrally cleared swaps		321,000			887,000
Receivables:
Investment securities sold		688			—
Dividends		9,791			238

Total Assets		44,707,096			32,417,893


LIABILITIES
Payables:
Collateral for securities on loan (Note 1)		14,098,316			—
Investment advisory fees (Note 2)		1,307			2,745
Variation margin on centrally cleared swaps		11,772			43,476

Total Liabilities		14,111,395			46,221


NET ASSETS	$	30,595,701		$	32,371,672


Net assets consist of:
Paid-in capital	$	35,747,898		$	33,642,660
Undistributed net investment income		5,770			—
Accumulated net realized loss		(2,612,426	)		(2,638,508	)
Net unrealized appreciation (depreciation)		(2,545,541	)		1,367,520

NET ASSETS	$	30,595,701		$	32,371,672


Shares outstanding^b		350,000			350,000


Net asset value per share	$	87.42		$	92.49

^a	Securities on loan with values of $13,703,244 and $ —, respectively. See Note 1.

^b	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			15

Statements of Operations

iSHARES^® U.S. ETF TRUST

Year ended October 31, 2016


	iShares Interest Rate Hedged High Yield Bond ETF			iShares Interest Rate Hedged Corporate Bond ETF

NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	1,977,100		$	1,014,009
Securities lending income — affiliated — net (Note 2)		73,162			2,730

Total investment income		2,050,262			1,016,739


EXPENSES
Investment advisory fees (Note 2)		228,766			98,162

Total expenses		228,766			98,162
Less investment advisory fees waived (Note 2)		(211,056	)		(65,374	)

Net expenses		17,710			32,788

Net investment income		2,032,552			983,951


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated (Note 2)		(155,844	)		(76,905	)
In-kind redemptions — affiliated (Note 2)		(2,248,235	)		1,042,650
Swap agreements		(1,004,320	)		(2,409,631	)
Realized gain distributions from affiliated funds		1			1

Net realized loss		(3,408,398	)		(1,443,885	)

Net change in unrealized appreciation/depreciation on:
Investments		1,480,239			1,009,563
Swap agreements		514,327			987,742

Net change in unrealized appreciation/depreciation		1,994,566			1,997,305

Net realized and unrealized gain (loss)		(1,413,832	)		553,420

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	618,720		$	1,537,371

See notes to financial statements.


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® U.S. ETF TRUST


	iShares Interest Rate Hedged High Yield Bond ETF						iShares Interest Rate Hedged Corporate Bond ETF
	Year ended October 31, 2016			Year ended October 31, 2015			Year ended October 31, 2016			Year ended October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	2,032,552		$	4,163,846		$	983,951		$	534,132
Net realized loss		(3,408,398	)		(4,670,072	)		(1,443,885	)		(625,149	)
Net change in unrealized appreciation/depreciation		1,994,566			(3,585,724	)		1,997,305			(536,370	)

Net increase (decrease) in net assets resulting from operations		618,720			(4,091,950	)		1,537,371			(627,387	)


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(1,756,097	)		(4,084,037	)		(731,888	)		(502,154	)
Return of capital		—			(30,974	)		—			(24,646	)

Total distributions to shareholders		(1,756,097	)		(4,115,011	)		(731,888	)		(526,800	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		4,362,805			79,304,038			45,014,948			19,042,441
Cost of shares redeemed		(20,844,250	)		(66,501,133	)		(31,875,441	)		(9,256,512	)

Net increase (decrease) in net assets from capital share transactions		(16,481,445	)		12,802,905			13,139,507			9,785,929

INCREASE (DECREASE) IN NET ASSETS		(17,618,822	)		4,595,944			13,944,990			8,631,742

NET ASSETS
Beginning of year		48,214,523			43,618,579			18,426,682			9,794,940

End of year	$	30,595,701		$	48,214,523		$	32,371,672		$	18,426,682

Undistributed net investment income included in net assets at end of year	$	5,770		$	—		$	—		$	—


SHARES ISSUED AND REDEEMED
Shares sold		50,000			850,000			500,000			200,000
Shares redeemed		(250,000	)		(750,000	)		(350,000	)		(100,000	)

Net increase (decrease) in shares outstanding		(200,000	)		100,000			150,000			100,000

See notes to financial statements.


FINANCIAL STATEMENTS			17

Financial Highlights

iSHARES^® U.S. ETF TRUST

(For a share outstanding throughout each period)


		iShares Interest Rate Hedged High Yield Bond ETF


	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Period from May 27, 2014^a to Oct. 31, 2014
Net asset value, beginning of period	$	87.66		$	96.93		$	100.10

Income from investment operations:
Net investment income^b		4.86			4.80			1.86
Net realized and unrealized loss^c		(0.94	)		(9.29	)		(2.87	)

Total from investment operations		3.92			(4.49	)		(1.01	)

Less distributions from:
Net investment income		(4.16	)		(4.74	)		(2.15	)
Return of capital		—			(0.04	)		(0.01	)

Total distributions		(4.16	)		(4.78	)		(2.16	)

Net asset value, end of period	$	87.42		$	87.66		$	96.93


Total return		4.73	%		(4.77	)%		(1.03	)%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	30,596		$	48,215		$	43,619
Ratio of expenses to average net assets^e,f		0.05	%		0.06	%		0.06	%
Ratio of expenses to average net assets prior to waived fees^e,f		0.65	%		0.65	%		0.65	%
Ratio of net investment income to average net assets^e		5.78	%		5.21	%		4.41	%
Portfolio turnover rate^g,h		0	%ⁱ		3	%		3	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	The Fund indirectly bears its proportionate share of fees and expenses incurred by the underlying fund in which the Fund is invested. These ratios do not include these indirect fees and expenses.

^g	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

^h	Portfolio turnover rates exclude the portfolio activity of the underlying fund in which the Fund is invested. See page 171 for the portfolio turnover rates of the underlying fund.

ⁱ	Rounds to less than 1%.

See notes to financial statements.


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Financial Highlights (Continued)

iSHARES^® U.S. ETF TRUST

(For a share outstanding throughout each period)


						iShares Interest Rate Hedged Corporate Bond ETF


	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Period from May 27, 2014^a to Oct. 31, 2014
Net asset value, beginning of period	$	92.13		$	97.95		$	100.32

Income from investment operations:
Net investment income^b		2.74			2.95			1.32
Net realized and unrealized loss^c		(0.29	)		(5.82	)		(2.36	)

Total from investment operations		2.45			(2.87	)		(1.04	)

Less distributions from:
Net investment income		(2.09	)		(2.81	)		(1.32	)
Return of capital		—			(0.14	)		(0.01	)

Total distributions		(2.09	)		(2.95	)		(1.33	)
	��
Net asset value, end of period	$	92.49		$	92.13		$	97.95


Total return		2.70	%		(2.97	)%		(1.05	)%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	32,372		$	18,427		$	9,795
Ratio of expenses to average net assets^e,f		0.10	%		0.11	%		0.11	%
Ratio of expenses to average net assets prior to waived fees^e,f		0.30	%		0.30	%		0.30	%
Ratio of net investment income to average net assets^e		3.01	%		3.12	%		3.09	%
Portfolio turnover rate^g,h		2	%		8	%		4	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	The Fund indirectly bears its proportionate share of fees and expenses incurred by the underlying fund in which the Fund is invested. These ratios do not include these indirect fees and expenses.

^g	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

^h	Portfolio turnover rates exclude the portfolio activity of the underlying fund in which the Fund is invested. See page 172 for the portfolio turnover rates of the underlying fund.

See notes to financial statements.


FINANCIAL HIGHLIGHTS			19

Notes to Financial Statements

iSHARES^® U.S. ETF TRUST

These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):


iShares ETF		Diversification Classification
Interest Rate Hedged High Yield Bond		Diversified
Interest Rate Hedged Corporate Bond		Diversified

Currently each Fund seeks to achieve its investment objective by investing a substantial portion of its assets in an exchange-traded fund of iShares Trust (an “underlying fund”), an affiliate of the Funds. The financial statements and schedules of investments for the underlying funds can be found elsewhere in this report and should be read in conjunction with the Funds’ financial statements.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

SECURITY VALUATION

•

Exchange-traded funds and closed-end funds traded on a recognized securities exchange are valued at that day’s last reported trade price or the official closing price, as applicable, on the exchange where the fund is primarily traded. Funds traded on a recognized exchange for which there were no sales on that day are valued at the last traded price.


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•

Swap agreements are valued utilizing quotes received daily by independent pricing services 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.

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•


NOTESTO FINANCIAL STATEMENTS			21

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

SECURITY TRANSACTIONS AND INCOME RECOGNITION

Security transactions are accounted for on trade date. Dividend income and capital gain distributions from underlying funds, if any, are recognized on the ex-dividend date. Interest income is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

Each Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Funds. Any additional required collateral is delivered to the Funds and any excess collateral is returned by the Funds on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Funds benefit from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. Each Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

as lender, would offset the market value of the collateral received against the market value of the securities loaned. The value of the collateral is typically greater than that of the market value of the securities loaned, leaving the lender with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, the borrower can resell or re-pledge the loaned securities, and a Fund can reinvest cash collateral, or, upon an event of default, resell or re-pledge the collateral.

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of October 31, 2016:


iShares ETF and Counterparty	Market Value of Securities on Loan		Cash Collateral Received ^a		Net Amount
Interest Rate Hedged High Yield Bond
JPMorgan Securities LLC	$	13,703,244	$	13,703,244	$	—

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

For its investment advisory services to the iShares Interest Rate Hedged High Yield Bond ETF, BFA is entitled to an annual investment advisory fee of 0.65% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA has contractually agreed to reduce its investment advisory fee for the Fund through February 28, 2022 so that the investment management fee is equal to the acquired fund fees and expenses that would have been experienced by the Fund related to its investments in the iShares iBoxx $ High Yield Corporate Bond ETF (“HYG”), after taking into account any fee waivers by HYG, plus 0.05%.

For its investment advisory services to the iShares Interest Rate Hedged Corporate Bond ETF, BFA is entitled to an annual investment advisory fee of 0.30% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays acquired fund fees and expenses. BFA has contractually agreed to reduce its investment advisory fee for the Fund through February 28, 2022 so that the investment advisory fee is equal to the acquired fund fees and expenses that would have been experienced by the Fund related to its investments in the iShares iBoxx $ Investment Grade Corporate Bond ETF (“LQD”), after taking into account any fee waivers by LQD, plus 0.10%.


NOTESTO FINANCIAL STATEMENTS			23

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

and from borrowers of securities, and less the collateral investment fees. The Funds retain a portion of securities lending income and remit the remaining portion to BTC as compensation for its services as securities lending agent.

For the year ended October 31, 2016, the total of securities lending agent services and collateral investment fees paid were as follows:


iShares ETF	Fees Paid to BTC
Interest Rate Hedged High Yield Bond	$	19,011
Interest Rate Hedged Corporate Bond		1,153

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Funds for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016 were as follows:


iShares ETF	Purchases		Sales
Interest Rate Hedged High Yield Bond	$	132,354	$	793,767
Interest Rate Hedged Corporate Bond		648,809		2,235,585

In-kind transactions (see Note 4) for the year ended October 31, 2016 were as follows:


iShares ETF	In-kind Purchases		In-kind Sales
Interest Rate Hedged High Yield Bond	$	4,241,372	$	20,266,905
Interest Rate Hedged Corporate Bond		43,066,190		30,732,632


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

4.	*CAPITAL SHARE TRANSACTIONS*

5.	*INTEREST RATE SWAPS*

Each Fund may enter into short positions in interest rate swaps in an attempt to mitigate interest rate risk by economically hedging the value of fixed rate bonds, which may decrease when interest rates rise (interest rate risk). Interest rate swaps are agreements in which one party pays a stream of interest payments, either fixed or floating, for another party’s stream of interest payments, either fixed or floating, on the same notional amount for a specified period of time. Interest rate swaps are marked-to-market daily and changes in value are recorded as unrealized appreciation (depreciation). Swap agreements are privately negotiated in the over-the-counter market. Each Fund enters into centrally cleared interest rate swaps.

In a centrally cleared swap, immediately following execution of the swap agreement, the swap agreement is novated to a central counterparty (“CCP”) and the CCP becomes the Funds’ counterparty on the swap. Each Fund is required to interface with the CCP through a broker. Upon entering into a centrally cleared swap, each Fund is required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on the size and risk profile of the particular swap. Securities deposited as initial margin are designated on the schedules of investments and cash deposited is recorded on the statements of assets and liabilities as cash pledged for centrally cleared swaps. The daily change in valuation of centrally cleared swaps is recorded as a receivable or payable for variation margin in the statements of assets and liabilities. Payments received from (paid to) the CCP, including at termination, are recorded as realized gain (loss) in the statements of operations.

Swap transactions involve, to varying degrees, elements of interest rate, credit and market risks 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.


NOTESTO FINANCIAL STATEMENTS			25

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

The following table shows the value of interest rate swaps held as of October 31, 2016 and the related locations in the statements of assets and liabilities, presented by risk exposure category:


Assets
	iShares Interest Rate Hedged High Yield Bond ETF		iShares Interest Rate Hedged Corporate Bond ETF
Centrally cleared interest rate swaps:
Variation margin / Net assets consist of – net unrealized appreciation (depreciation)^a	$	208,136	$	738,805

Represents cumulative appreciation of centrally cleared interest rate swaps as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities.

The following table shows the realized and unrealized gains (losses) on interest rate swaps held during the year ended October 31, 2016 and the related locations in the statements of operations, presented by risk exposure category:


	Net Realized Gain (Loss)
	iShares Interest Rate Hedged High Yield Bond ETF			iShares Interest Rate Hedged Corporate Bond ETF
Centrally cleared interest rate swaps:
Swap agreements	$	(1,004,320	)	$	(2,409,631	)


	Net Change in Unrealized Appreciation/Depreciation
	iShares Interest Rate Hedged High Yield Bond ETF			iShares Interest Rate Hedged Corporate Bond ETF
Centrally cleared interest rate swaps:
Swap agreements	$	514,327		$	987,742

The following table shows the average quarter-end balances of open interest rate swaps for the year ended October 31, 2016:


	iShares Interest Rate Hedged High Yield Bond ETF		iShares Interest Rate Hedged Corporate Bond ETF
Average notional value – pays fixed rate	$	34,929,000	$	27,329,000


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

6.	*PRINCIPAL RISKS*

MARKET RISK

CREDIT RISK

7.	*INCOME TAX INFORMATION*


NOTESTO FINANCIAL STATEMENTS			27

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

October 31, 2016, attributable to distributions paid in excess of taxable income, the accounting for swap agreements and realized gains (losses) from in-kind redemptions, were reclassified to the following accounts:


iShares ETF	Paid-in Capital			Undistributed Net Investment Income/Distributions in Excess of Net Investment Income			Undistributed Net Realized Gain/Accumulated Net Realized Loss
Interest Rate Hedged High Yield Bond	$	(2,299,919	)	$	(270,685	)	$	2,570,604
Interest Rate Hedged Corporate Bond		898,761			(252,063	)		(646,698	)

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


iShares ETF	2016		2015
Interest Rate Hedged High Yield Bond
Ordinary income	$	1,756,097	$	4,084,037
Return of capital		—		30,974

	$	1,756,097	$	4,115,011

Interest Rate Hedged Corporate Bond
Ordinary income	$	731,888	$	502,154
Return of capital		—		24,646

	$	731,888	$	526,800

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


iShares ETF	Undistributed Ordinary Income		Capital Loss Carryforwards			Net Unrealized Gains (Losses)^a			Total
Interest Rate Hedged High Yield Bond	$	5,770	$	(2,592,434	)	$	(2,565,533	)	$	(5,152,197	)
Interest Rate Hedged Corporate Bond		—		(2,638,508	)		1,367,520			(1,270,988	)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales.

As of October 31, 2016, the following Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:


iShares ETF	Non- Expiring
Interest Rate Hedged High Yield Bond	$	2,592,434
Interest Rate Hedged Corporate Bond		2,638,508


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® U.S. ETF TRUST

8.	*SUBSEQUENT EVENTS*


NOTESTO FINANCIAL STATEMENTS			29

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares Interest Rate Hedged High Yield Bond ETF and iShares Interest Rate Hedged Corporate Bond ETF (the “Funds”) at October 31, 2016, the results of each of their operations, the changes in each of their net assets and their financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Tax Information (Unaudited)

iSHARES^® U.S. ETF TRUST

For the fiscal year ended October 31, 2016, the Funds hereby designate the following maximum amounts allowable as interest-related dividends eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations:


iShares ETF	Interest- Related Dividends
Interest Rate Hedged High Yield Bond	$	1,140,319
Interest Rate Hedged Corporate Bond		677,227

Board Review and Approval of Investment Advisory Contract

iSHARES^® U.S. ETF TRUST

I. iShares Interest Rate Hedged High Yield Bond ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			31

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

not otherwise be reasonable in Broadridge’s judgment, pure index institutional mutual funds, objectively selected by Broadridge as comprising the Fund’s applicable peer group pursuant to Broadridge’s proprietary ETF methodology (the “Peer Group”). The Board was provided with a detailed description of Broadridge’s proprietary ETF methodology used by Broadridge to determine the Fund’s Peer Group. The Board further noted that due to the limitations in providing comparable funds in the Peer Group, the statistical information provided in Broadridge’s report may or may not provide meaningful direct comparisons to the Fund in all instances.

The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were higher than the median of the investment advisory fee rates and overall expenses (net of waivers and reimbursements) of the funds in its Peer Group, excluding iShares funds. The Board further noted that the Fund’s pricing reflects its interest rate hedging strategy, as compared to the competitor funds as determined by Broadridge, which are not interest rate hedged.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			33

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, such as payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.

II. iShares Interest Rate Hedged Corporate Bond ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:


34		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were higher than the median of the investment advisory fee rates and overall expenses (net of waivers and reimbursements) of the funds in its Peer Group, excluding iShares funds. The Board further noted that the Fund’s Peer Group contained only four comparison funds identified by Broadridge, excluding iShares funds.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			35

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory Contract (Continued)

iSHARES^® U.S. ETF TRUST

the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, such as payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			37

Supplemental Information (Unaudited)

iSHARES^® U.S. ETF TRUST

Section 19(a) Notices


	Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
iShares ETF	Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income			Net Realized Capital Gains			Return of Capital			Total Per Share
Interest Rate Hedged High Yield Bond	$	3.952917	$	—	$	0.203537	$	4.156454		95	%		—	%		5	%		100	%
Interest Rate Hedged Corporate Bond		2.038168		—		0.049303		2.087471		98			—			2			100

Premium/Discount Information


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited) (Continued)

iSHARES^® U.S. ETF TRUST

iShares Interest Rate Hedged High Yield Bond ETF

Period Covered: May 27, 2014 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 1.5%		4		0.67	%
Greater than 1.0% and Less than 1.5%		5		0.84
Greater than 0.5% and Less than 1.0%		15		2.53
Between 0.5% and –0.5%		567		95.45
Less than –0.5% and Greater than –1.0%		1		0.17
Less than –1.0% and Greater than –1.5%		2		0.34

		594		100.00	%

iShares Interest Rate Hedged Corporate Bond ETF

Period Covered: May 27, 2014 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 2.0%		16		2.69	%
Greater than –1.5% and Less than –2.0%		1		0.17
Greater than –1.0% and Less than –1.5%		8		1.35
Greater than –0.5% and Less than –1.0%		9		1.52
Between 0.5% and –0.5%		556		93.59
Less than –0.5% and Greater than –1.0%		2		0.34
Less than –1.0%		2		0.34

		594		100.00	%


SUPPLEMENTAL INFORMATION			39

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

Interested Trustees

Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


TRUSTEEAND OFFICER INFORMATION			41

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c (Continued)

Robert H. Silver served as an Independent Trustee until March 31, 2016.


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

Manish Mehta served as President until October 15, 2016.

Advisory Board Member


TRUSTEEAND OFFICER INFORMATION			43

Additional Financial Information

Schedules of Investments (Unaudited)

October 31, 2016

Statements of Assets and Liabilities (Unaudited)

October 31, 2016

Audited Financial Statements

February 29, 2016

iShares Trust

iShares iBoxx $ High Yield Corporate Bond ETF | HYG | NYSE Arca

iShares iBoxx $ Investment Grade Corporate Bond ETF | LQD | NYSE Arca

Schedule of Investments (Unaudited)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 97.40%

ADVERTISING — 0.43%
inVentiv Health Inc.
9.00%, 01/15/18 (Call 12/01/16)^a	$	8,225	$	8,327,813
Lamar Media Corp.
5.00%, 05/01/23 (Call 05/01/18)^b		8,737		9,150,151
5.38%, 01/15/24 (Call 01/15/19)^b		8,923		9,346,842
5.88%, 02/01/22 (Call 02/01/17)^b		7,996		8,275,860
Series WI
5.75%, 02/01/26 (Call 02/01/21)^b		6,513		6,956,861
Outfront Media Capital LLC/Outfront Media Capital Corp.
5.25%, 02/15/22 (Call 02/15/17)^b		9,315		9,687,600
5.63%, 02/15/24 (Call 02/15/19)		8,342		8,633,970
5.88%, 03/15/25 (Call 09/15/19)^b		7,530		7,852,117

				68,231,214
AEROSPACE & DEFENSE — 0.72%
KLX Inc.
5.88%, 12/01/22 (Call 12/01/17)^a,b		21,119		21,552,499
Meccanica Holdings USA Inc.
6.25%, 07/15/19^a,b		7,160		7,840,200
TransDigm Inc.
5.50%, 10/15/20 (Call 12/01/16)^b		9,200		9,467,056
6.00%, 07/15/22 (Call 07/15/17)^b		19,476		20,297,887
6.38%, 06/15/26 (Call 06/15/21)^a,b		17,057		17,471,485
6.50%, 07/15/24 (Call 07/15/19)^b		20,302		21,255,896
6.50%, 05/15/25 (Call 05/15/20)^b		8,120		8,465,100


Security	Principal (000s)		Value
7.50%, 07/15/21 (Call 12/01/16)^b	$	8,068	$	8,539,086

				114,889,209
AIRLINES — 0.28%
Air Canada
7.75%, 04/15/21^a,b		6,527		7,181,060
American Airlines Group Inc.
4.63%, 03/01/20^a,b		8,303		8,352,299
5.50%, 10/01/19^a,b		12,669		13,080,742
6.13%, 06/01/18^b		7,763		8,075,137
Continental Airlines Inc. 2012-3 Pass Through Trust Class C
6.13%, 04/29/18		7,023		7,367,127

				44,056,365
APPAREL — 0.31%
Hanesbrands Inc.
4.63%, 05/15/24 (Call 02/15/24)^a,b		15,188		15,479,792
4.88%, 05/15/26 (Call 02/15/26)^a,b		15,301		15,543,903
Levi Strauss & Co.
5.00%, 05/01/25 (Call 05/01/20)		8,736		9,026,869
6.88%, 05/01/22 (Call 05/01/17)^b		8,821		9,278,984

				49,329,548
AUTO MANUFACTURERS — 0.69%
Fiat Chrysler Automobile NV
4.50%, 04/15/20^b		25,543		26,152,104
Fiat Chrysler Automobiles NV
5.25%, 04/15/23^b		24,990		25,489,800
Jaguar Land Rover Automotive PLC
3.50%, 03/15/20 (Call 12/15/19)^a,b		9,200		9,352,611
4.13%, 12/15/18^a,b		12,222		12,516,765
4.25%, 11/15/19^a,b		8,640		8,965,080
5.63%, 02/01/23 (Call 02/01/18)^a,b		7,950		8,208,375
Navistar International Corp.
8.25%, 11/01/21 (Call 12/01/16)^b		19,907		19,556,553

				110,241,288


SCHEDULESOF INVESTMENTS			45

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
AUTO PARTS & EQUIPMENT — 1.17%
Allison Transmission Inc.
5.00%, 10/01/24 (Call 10/01/19)^a	$	17,160	$	17,503,200
American Axle & Manufacturing Inc.
6.25%, 03/15/21 (Call 12/01/16)^b		6,239		6,498,587
6.63%, 10/15/22 (Call 10/15/17)^b		9,025		9,510,094
Dana Inc.
5.38%, 09/15/21 (Call 12/01/16)^b		7,202		7,490,080
5.50%, 12/15/24 (Call 12/15/19)^b		9,550		9,863,139
Goodyear Tire & Rubber Co. (The)
5.00%, 05/31/26 (Call 05/31/21)^b		15,045		15,124,123
5.13%, 11/15/23 (Call 11/15/18)^b		17,575		18,090,505
7.00%, 05/15/22 (Call 05/15/17)		10,196		10,753,301
Lear Corp.
4.75%, 01/15/23 (Call 01/15/18)^b		1,567		1,625,762
5.25%, 01/15/25 (Call 01/15/20)		1,827		1,959,457
Schaeffler Finance BV
4.25%, 05/15/21 (Call 05/15/17)^a		12,850		13,219,437
4.75%, 05/15/23 (Call 05/15/18)^a,b		9,100		9,361,625
ZF North America Capital Inc.
4.00%, 04/29/20^a,b		18,049		19,019,134
4.50%, 04/29/22^a,b		18,394		19,459,741
4.75%, 04/29/25^a		25,176		26,560,680

				186,038,865
BANKS — 2.07%
BPCE SA
VRN, (3 mo. LIBOR US + 12.980%)
12.50%, 08/29/49 (Call 09/30/19)^a,b,c		7,610		9,624,824


Security	Principal (000s)		Value
CIT Group Inc.
3.88%, 02/19/19^b	$	18,158	$	18,428,607
4.25%, 08/15/17^b		1,694		1,716,662
5.00%, 08/15/22^b		21,634		23,013,167
5.00%, 08/01/23^b		15,455		16,461,121
5.25%, 03/15/18^b		24,294		25,053,187
5.38%, 05/15/20^b		12,687		13,576,345
5.50%, 02/15/19^a		31,276		32,882,948
6.63%, 04/01/18^a		12,401		13,087,420
Credit Agricole SA
VRN, (3 mo. LIBOR US + 6.982%)
8.38%, 10/29/49 (Call 10/13/19)^a,b,c		18,488		20,805,317
Fifth Third Bancorp.
VRN, (3 mo. LIBOR US + 3.033%)
5.10%, 12/29/49 (Call 06/30/23)^b,c		10,141		9,783,479
Royal Bank of Scotland Group PLC
5.13%, 05/28/24^b		40,110		39,591,093
6.00%, 12/19/23^b		35,652		36,735,585
6.10%, 06/10/23		16,987		17,586,283
6.13%, 12/15/22		39,652		41,835,525
Royal Bank of Scotland NV (The)
4.65%, 06/04/18^b		9,150		9,381,888

				329,563,451
BEVERAGES — 0.52%
Constellation Brands Inc.
3.75%, 05/01/21^b		8,420		8,902,466
3.88%, 11/15/19^b		5,186		5,445,300
4.25%, 05/01/23		18,335		19,343,425
4.75%, 11/15/24^b		8,231		9,040,872
4.75%, 12/01/25^b		6,309		6,933,053
6.00%, 05/01/22		11,180		12,946,839
Cott Beverages Inc.
5.38%, 07/01/22 (Call 07/01/17)^b		9,028		9,215,143
6.75%, 01/01/20 (Call 01/01/17)^b		10,030		10,418,663

				82,245,761
BIOTECHNOLOGY — 0.10%
Concordia International Corp.
7.00%, 04/15/23 (Call 04/15/18)^a,b		13,401		8,048,976


46		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
9.50%, 10/21/22 (Call 12/15/18)^a,b	$	13,570	$	8,321,520

				16,370,496
BUILDING MATERIALS — 0.84%
Builders FirstSource Inc.
5.63%, 09/01/24 (Call 09/01/19)^a,b		13,040		13,182,865
Masco Corp.
3.50%, 04/01/21 (Call 03/01/21)^b		7,115		7,285,760
4.38%, 04/01/26 (Call 01/01/26)^b		8,100		8,455,333
4.45%, 04/01/25 (Call 01/01/25)^b		9,150		9,573,188
5.95%, 03/15/22^b		6,677		7,579,730
7.13%, 03/15/20^b		8,615		9,874,944
Standard Industries Inc./NJ
5.13%, 02/15/21 (Call 02/15/18)^a,b		8,473		8,891,354
5.38%, 11/15/24 (Call 11/15/19)^a,b		19,446		20,156,994
5.50%, 02/15/23 (Call 02/15/19)^a,b		7,935		8,252,400
6.00%, 10/15/25 (Call 10/15/20)^a,b		20,117		21,534,243
Summit Materials LLC/Summit Materials Finance Corp.
6.13%, 07/15/23 (Call 07/15/18)^b		10,507		10,795,943
USG Corp.
9.50%, 01/15/18		8,314		9,015,494

				134,598,248
CHEMICALS — 1.62%
Ashland LLC
3.88%, 04/15/18 (Call 03/15/18)^b		10,400		10,660,000
4.75%, 08/15/22 (Call 05/15/22)^b		23,123		23,917,969
Blue Cube Spinco Inc.
9.75%, 10/15/23 (Call 10/15/20)		12,222		14,277,740
10.00%, 10/15/25 (Call 10/15/20)^b		8,729		10,428,536


Security	Principal (000s)		Value
Chemours Co. (The)
6.63%, 05/15/23 (Call 05/15/18)^b	$	22,135	$	21,477,460
7.00%, 05/15/25 (Call 05/15/20)		13,020		12,581,592
Hexion Inc.
6.63%, 04/15/20 (Call 12/01/16)^b		26,051		22,665,412
8.88%, 02/01/18 (Call 12/01/16)		15,352		14,630,324
Hexion Inc./Hexion Nova Scotia Finance ULC
9.00%, 11/15/20 (Call 12/01/16)		10,627		7,690,184
Huntsman International LLC
4.88%, 11/15/20 (Call 08/15/20)^b		11,095		11,544,347
5.13%, 11/15/22 (Call 08/15/22)^b		7,260		7,494,130
INEOS Group Holdings SA
5.63%, 08/01/24 (Call 08/01/19)^a,b		10,000		9,897,500
5.88%, 02/15/19 (Call 12/01/16)^a,b		10,425		10,620,469
NOVA Chemicals Corp.
5.00%, 05/01/25 (Call 01/31/25)^a,b		8,555		8,651,244
5.25%, 08/01/23 (Call 08/01/18)^a,b		8,159		8,281,385
Platform Specialty Products Corp.
6.50%, 02/01/22 (Call 02/01/18)^a,b		19,752		19,159,440
10.38%, 05/01/21 (Call 05/01/18)^a		7,929		8,581,491
Tronox Finance LLC
6.38%, 08/15/20 (Call 12/01/16)^b		15,500		13,911,250
7.50%, 03/15/22 (Call 03/15/18)^a		9,935		8,939,070
WR Grace & Co.-Conn
5.13%, 10/01/21^a,b		12,382		13,195,674

				258,605,217


SCHEDULESOF INVESTMENTS			47

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
COAL — 0.33%
CONSOL Energy Inc.
5.88%, 04/15/22 (Call 04/15/17)	$	31,976	$	29,596,186
8.00%, 04/01/23 (Call 04/01/18)		8,670		8,615,451
Murray Energy Corp.
11.25%, 04/15/21 (Call 04/15/18)^a		19,000		14,582,500

				52,794,137
COMMERCIAL SERVICES — 3.25%
ADT Corp. (The)
3.50%, 07/15/22^b		17,492		16,591,162
4.13%, 06/15/23^b		11,356		11,104,010
6.25%, 10/15/21^b		17,316		18,955,825
APX Group Inc.
6.38%, 12/01/19 (Call 12/01/16)^b		16,379		16,890,844
7.88%, 12/01/22 (Call 12/01/18)^b		9,220		9,698,938
8.75%, 12/01/20 (Call 12/01/16)^b		15,674		15,212,686
Ashtead Capital Inc.
5.63%, 10/01/24 (Call 10/01/19)^a,b		9,135		9,614,588
6.50%, 07/15/22 (Call 07/15/17)^a,b		17,011		17,882,814
Avis Budget Car Rental LLC/Avis Budget Finance Inc.
5.13%, 06/01/22 (Call 06/01/17)^a,b		6,577		6,461,903
5.50%, 04/01/23 (Call 04/01/18)^b		11,341		11,246,492
Global A&T Electronics Ltd.
10.00%, 02/01/19 (Call 12/01/16)^a		20,980		16,784,000
Harland Clarke Holdings Corp.
9.25%, 03/01/21 (Call 03/01/17)^a		12,447		10,642,185
Herc Rentals Inc.
7.50%, 06/01/22 (Call 06/01/19)^a,b		10,596		10,648,980
7.75%, 06/01/24 (Call 06/01/19)^a,b		10,737		10,898,055


Security	Principal (000s)		Value
Hertz Corp. (The)
5.50%, 10/15/24 (Call 10/15/19)^a,b	$	16,360	$	15,910,100
5.88%, 10/15/20 (Call 12/01/16)^b		11,417		11,730,968
6.25%, 10/15/22 (Call 10/15/17)^b		8,265		8,445,551
6.75%, 04/15/19 (Call 12/01/16)^b		8,546		8,704,725
7.38%, 01/15/21 (Call 12/01/16)		8,350		8,599,240
Iron Mountain Inc.
5.75%, 08/15/24 (Call 08/15/17)^b		16,773		17,156,682
6.00%, 08/15/23 (Call 08/15/18)^b		9,811		10,445,211
Jaguar Holding Co. II/Pharmaceutical Product Development LLC
6.38%, 08/01/23 (Call 08/01/18)^a		18,628		18,737,439
Laureate Education Inc.
10.00%, 09/01/19 (Call 12/01/16)^a,b		24,682		23,127,508
Leidos Holdings Inc.
4.45%, 12/01/20 (Call 09/01/20)^b		7,280		7,425,600
Prime Security Services Borrower LLC/Prime Finance Inc.
9.25%, 05/15/23 (Call 05/15/19)^a,b		55,896		59,362,603
RR Donnelley & Sons Co.
6.00%, 04/01/24		6,820		6,479,000
7.00%, 02/15/22		1,360		1,371,560
7.88%, 03/15/21^b		7,395		7,949,625
Service Corp. International/U.S.
5.38%, 01/15/22 (Call 07/15/17)^b		7,310		7,608,491
5.38%, 05/15/24 (Call 05/15/19)^b		15,675		16,548,322
United Rentals North America Inc.
4.63%, 07/15/23 (Call 07/15/18)^b		18,470		19,063,349


48		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.50%, 07/15/25 (Call 07/15/20)^b	$	13,714	$	13,885,425
5.50%, 05/15/27 (Call 05/15/22)		3,210		3,193,950
5.75%, 11/15/24 (Call 05/15/19)^b		14,503		15,046,862
5.88%, 09/15/26 (Call 09/15/21)^b		12,572		12,778,181
6.13%, 06/15/23 (Call 12/15/17)^b		15,988		16,722,270
7.63%, 04/15/22 (Call 04/15/17)^b		23,480		24,968,162

				517,893,306
COMPUTERS — 1.25%
Dell Inc.
4.63%, 04/01/21^b		8,162		8,410,686
5.65%, 04/15/18		8,444		8,781,841
5.88%, 06/15/19^b		10,248		10,936,081
Diamond 1 Finance Corp./Diamond 2 Finance Corp.
5.88%, 06/15/21 (Call 06/15/18)^a,b		28,931		30,400,695
7.13%, 06/15/24 (Call 06/15/19)^a,b		28,642		31,265,060
NCR Corp.
4.63%, 02/15/21 (Call 02/15/17)^b		8,163		8,285,288
5.00%, 07/15/22 (Call 07/15/17)		10,139		10,227,716
5.88%, 12/15/21 (Call 12/15/17)^b		6,835		7,185,294
6.38%, 12/15/23 (Call 12/15/18)^b		12,702		13,454,964
Western Digital Corp.
10.50%, 04/01/24 (Call 04/01/19)^a,b		60,737		70,378,999

				199,326,624
COSMETICS & PERSONAL CARE — 0.16%
Avon International Operations Inc.
7.88%, 08/15/22 (Call 08/15/19)^a		8,263		8,882,725


Security	Principal (000s)		Value
Avon Products Inc.
6.60%, 03/15/20^b	$	7,803	$	8,015,144
7.00%, 03/15/23^b		8,833		8,383,748

				25,281,617
DISTRIBUTION & WHOLESALE — 0.25%
HD Supply Inc.
5.25%, 12/15/21 (Call 12/15/17)^a		21,602		22,918,890
5.75%, 04/15/24 (Call 04/15/19)^a,b		16,832		17,673,600

				40,592,490
DIVERSIFIED FINANCIAL SERVICES — 4.44%
Aircastle Ltd.
4.63%, 12/15/18^b		7,119		7,412,616
5.00%, 04/01/23^b		8,685		8,961,791
5.13%, 03/15/21^b		9,655		10,284,299
5.50%, 02/15/22		8,201		8,800,232
6.25%, 12/01/19^b		8,200		8,917,500
Ally Financial Inc.
3.25%, 02/13/18		10,132		10,175,930
3.25%, 11/05/18		12,766		12,718,127
3.50%, 01/27/19^b		12,659		12,674,824
3.60%, 05/21/18^b		16,755		16,879,573
3.75%, 11/18/19^b		13,561		13,594,902
4.13%, 03/30/20^b		12,740		12,947,025
4.13%, 02/13/22^b		11,281		11,307,830
4.25%, 04/15/21^b		10,382		10,472,843
4.63%, 05/19/22^b		8,183		8,382,854
4.63%, 03/30/25^b		8,602		8,730,489
4.75%, 09/10/18^b		12,275		12,618,782
5.13%, 09/30/24^b		13,193		13,901,258
5.75%, 11/20/25 (Call 10/20/25)^b		17,758		18,187,680
6.25%, 12/01/17		14,530		15,088,551
7.50%, 09/15/20		9,425		10,646,625
8.00%, 12/31/18^b		8,725		9,537,516
8.00%, 03/15/20^b		17,625		19,985,492
Icahn Enterprises LP/Icahn Enterprises Finance Corp.
4.88%, 03/15/19 (Call 12/01/16)		22,818		22,766,504
5.88%, 02/01/22 (Call 08/01/17)^b		23,446		22,369,460


SCHEDULESOF INVESTMENTS			49

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.00%, 08/01/20 (Call 02/01/17)^b	$	29,587	$	29,383,619
Jefferies Finance LLC/JFIN Co-Issuer Corp.
6.88%, 04/15/22 (Call 04/15/17)^a		7,130		6,746,763
7.38%, 04/01/20 (Call 12/01/16)^a,b		11,321		11,236,093
7.50%, 04/15/21 (Call 10/15/17)^a,b		7,550		7,390,911
Lincoln Finance Ltd.
7.38%, 04/15/21 (Call 04/15/18)^a,b		8,350		8,984,531
Nationstar Mortgage LLC/Nationstar Capital Corp.
6.50%, 08/01/18 (Call 12/01/16)^b		7,808		7,915,360
6.50%, 07/01/21 (Call 01/01/17)^b		10,190		10,069,891
7.88%, 10/01/20 (Call 12/01/16)^b		6,350		6,482,103
Navient Corp.
4.63%, 09/25/17		682		692,230
4.88%, 06/17/19^b		16,790		16,978,887
5.00%, 10/26/20^b		8,262		8,169,053
5.50%, 01/15/19		21,455		21,937,737
5.50%, 01/25/23^b		15,691		14,200,355
5.88%, 03/25/21^b		8,764		8,742,090
5.88%, 10/25/24		8,683		7,749,578
6.13%, 03/25/24^b		14,905		13,638,075
6.63%, 07/26/21^b		12,395		12,472,469
7.25%, 01/25/22^b		14,743		14,908,859
7.25%, 09/25/23		9,755		9,584,288
8.00%, 03/25/20		26,054		28,268,590
8.45%, 06/15/18^b		40,817		44,133,381
OneMain Financial Holdings LLC
6.75%, 12/15/19 (Call 12/15/16)^a		11,856		12,270,960
7.25%, 12/15/21 (Call 12/15/17)^a,b		13,330		13,796,550
Quicken Loans Inc.
5.75%, 05/01/25 (Call 05/01/20)^a,b		21,529		21,201,873


Security	Principal (000s)		Value
Springleaf Finance Corp.
5.25%, 12/15/19^b	$	13,343	$	13,387,476
6.90%, 12/15/17		17,622		18,443,901
7.75%, 10/01/21^b		11,250		11,700,000
8.25%, 12/15/20^b		17,035		18,473,251

				706,321,577
ELECTRIC — 3.31%
AES Corp./VA
4.88%, 05/15/23 (Call 05/15/18)^b		12,038		11,974,078
5.50%, 03/15/24 (Call 03/15/19)^b		12,549		12,657,549
5.50%, 04/15/25 (Call 04/15/20)^b		11,309		11,366,427
6.00%, 05/15/26 (Call 05/15/21)^b		8,515		8,790,770
7.38%, 07/01/21 (Call 06/01/21)		16,933		19,091,958
8.00%, 06/01/20^b		9,025		10,469,000
Calpine Corp.
5.25%, 06/01/26 (Call 06/01/21)^a,b		11,053		11,218,795
5.38%, 01/15/23 (Call 10/15/18)^b		21,272		21,059,280
5.50%, 02/01/24 (Call 02/01/19)^b		11,450		11,188,752
5.75%, 01/15/25 (Call 10/15/19)^b		27,307		26,590,191
5.88%, 01/15/24 (Call 11/01/18)^a,b		8,351		8,804,340
6.00%, 01/15/22 (Call 12/01/16)^a,b		13,030		13,620,389
7.88%, 01/15/23 (Call 01/15/17)^a,b		8,283		8,666,886
DPL Inc.
7.25%, 10/15/21 (Call 07/15/21)^b		13,707		14,306,681
Dynegy Inc.
5.88%, 06/01/23 (Call 06/01/18)		8,681		7,655,557
6.75%, 11/01/19 (Call 05/01/17)^b		37,573		37,991,837
7.38%, 11/01/22 (Call 11/01/18)^b		31,269		30,252,757


50		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.63%, 11/01/24 (Call 11/01/19)^b	$	23,473	$	22,534,080
8.00%, 01/15/25 (Call 01/15/20)^a,b		15,100		14,571,500
Enel SpA
VRN, (5 year USD Swap + 5.880%)
8.75%, 09/24/73 (Call 09/24/23)^a,b,c		22,857		26,685,548
FirstEnergy Corp.
Series A
2.75%, 03/15/18 (Call 02/15/18)		9,400		9,496,879
Series B
4.25%, 03/15/23 (Call 12/15/22)^b		12,675		13,434,684
FirstEnergy Transmission LLC
4.35%, 01/15/25 (Call 10/15/24)^a,b		10,350		10,939,972
GenOn Energy Inc.
9.50%, 10/15/18		10,730		8,516,938
9.88%, 10/15/20 (Call 12/01/16)^b		8,850		6,609,844
IPALCO Enterprises Inc.
3.45%, 07/15/20 (Call 06/15/20)^b		5,186		5,302,166
5.00%, 05/01/18 (Call 04/01/18)^b		6,250		6,515,625
NRG Energy Inc.
6.25%, 07/15/22 (Call 07/15/18)^b		16,984		16,933,580
6.25%, 05/01/24 (Call 05/01/19)^b		13,118		12,757,255
6.63%, 03/15/23 (Call 09/15/17)^b		16,486		16,444,785
6.63%, 01/15/27 (Call 07/15/21)^a,b		22,365		20,918,208
7.25%, 05/15/26 (Call 05/15/21)^a,b		18,212		17,896,204
7.88%, 05/15/21 (Call 12/01/16)^b		4,787		5,002,415
Talen Energy Supply LLC
4.60%, 12/15/21 (Call 09/15/21)^b		12,327		10,100,470


Security	Principal (000s)		Value
4.63%, 07/15/19 (Call 12/01/16)^a,b	$	20,941	$	19,893,202
6.50%, 05/01/18		7,075		7,330,639
6.50%, 06/01/25 (Call 06/01/20)^b		10,895		9,009,375

				526,598,616
ELECTRICAL COMPONENTS & EQUIPMENT — 0.18%
Anixter Inc.
5.13%, 10/01/21^b		6,514		6,803,995
Edgewell Personal Care Co.
4.70%, 05/19/21^b		11,424		12,022,915
4.70%, 05/24/22		9,140		9,514,486

				28,341,396
ENERGY – ALTERNATE SOURCES — 0.10%
TerraForm Power Operating LLC
6.38%, 02/01/23 (Call 02/01/18)^a,b,d		15,659		15,698,148

				15,698,148
ENGINEERING & CONSTRUCTION — 0.38%
AECOM
5.75%, 10/15/22 (Call 10/15/17)^b		13,580		14,190,602
5.88%, 10/15/24 (Call 07/15/24)^b		13,525		14,180,962
SBA Communications Corp.
4.88%, 07/15/22 (Call 07/15/17)^b		13,057		13,318,140
4.88%, 09/01/24 (Call 09/01/19)^a		18,270		18,270,000

				59,959,704
ENTERTAINMENT — 1.52%
AMC Entertainment Holdings Inc.
5.88%, 11/15/26		6,390		6,413,963
Cinemark USA Inc.
4.88%, 06/01/23 (Call 06/01/18)		13,134		13,068,330
5.13%, 12/15/22 (Call 12/15/17)^b		7,110		7,305,525
GLP Capital LP/GLP Financing II Inc.
4.38%, 11/01/18 (Call 08/01/18)^b		9,191		9,533,508


SCHEDULESOF INVESTMENTS			51

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.38%, 04/15/21^b	$	7,661	$	8,071,170
4.88%, 11/01/20 (Call 08/01/20)^b		17,509		18,690,858
5.38%, 11/01/23 (Call 08/01/23)		9,214		9,858,980
5.38%, 04/15/26		17,830		19,024,528
International Game Technology
7.50%, 06/15/19^b		9,233		10,227,584
International Game Technology PLC
5.63%, 02/15/20 (Call 11/15/19)^a,b		11,102		11,749,042
6.25%, 02/15/22 (Call 08/15/21)^a,b		25,191		26,756,293
6.50%, 02/15/25 (Call 08/15/24)^a,b		21,878		23,737,630
Regal Entertainment Group
5.75%, 03/15/22 (Call 03/15/17)^b		13,232		13,696,671
Scientific Games International Inc.
7.00%, 01/01/22 (Call 01/01/18)^a,b		17,216		18,256,707
10.00%, 12/01/22 (Call 12/01/18)^b		38,115		35,351,662
WMG Acquisition Corp.
6.75%, 04/15/22 (Call 04/15/17)^a,b		9,916		10,463,859

				242,206,310
ENVIRONMENTAL CONTROL — 0.30%
Clean Harbors Inc.
5.13%, 06/01/21 (Call 12/01/16)^b		13,908		14,220,930
5.25%, 08/01/20 (Call 12/01/16)^b		12,983		13,298,627
Covanta Holding Corp.
5.88%, 03/01/24 (Call 03/01/19)^b		6,997		6,848,755
6.38%, 10/01/22 (Call 04/01/17)^b		7,237		7,363,647
7.25%, 12/01/20 (Call 12/01/16)^b		6,104		6,271,860

				48,003,819


Security	Principal (000s)		Value
FOOD — 1.06%
Albertsons Companies LLC/Safeway Inc./New Albertson’s Inc./Albertson’s LLC
5.75%, 03/15/25 (Call 09/15/19)^a	$	21,430	$	21,128,694
6.63%, 06/15/24 (Call 06/15/19)^a		24,216		25,124,100
Aramark Services Inc.
5.75%, 03/15/20 (Call 12/01/16)^b		891		916,616
Post Holdings Inc.
5.00%, 08/15/26 (Call 08/15/21)^a,b		30,610		29,500,388
6.00%, 12/15/22 (Call 06/15/18)^a		11,170		11,761,662
6.75%, 12/01/21 (Call 12/01/17)^a		16,230		17,317,642
7.75%, 03/15/24 (Call 09/15/18)^a,b		14,156		15,642,380
8.00%, 07/15/25 (Call 07/15/20)^a		7,930		9,013,294
Smithfield Foods Inc.
5.25%, 08/01/18 (Call 12/01/16)^a,b		1,506		1,520,369
6.63%, 08/15/22 (Call 08/15/17)		15,287		16,119,099
TreeHouse Foods Inc.
4.88%, 03/15/22 (Call 03/15/17)		7,054		7,316,762
6.00%, 02/15/24 (Call 02/15/19)^a		13,038		13,787,685

				169,148,691
FOOD SERVICE — 0.11%
Aramark Services Inc.
4.75%, 06/01/26 (Call 06/01/21)^a,b		9,478		9,409,758
5.13%, 01/15/24 (Call 01/15/19)		6,866		7,192,135
5.13%, 01/15/24 (Call 01/15/19)^a		570		597,075

				17,198,968


52		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
GAS — 0.22%
AmeriGas Partners LP/AmeriGas Finance Corp.
5.63%, 05/20/24 (Call 03/20/24)^b	$	11,709	$	12,298,953
5.88%, 08/20/26 (Call 05/20/26)^b		13,116		13,777,006
NGL Energy Partners LP/NGL Energy Finance Corp.
7.50%, 11/01/23 (Call 11/01/19)^a		923		925,308
Sabine Pass LNG LP
6.50%, 11/01/20 (Call 11/30/16)^b		7,055		7,308,133

				34,309,400
HEALTH CARE – PRODUCTS — 1.26%
Alere Inc.
6.38%, 07/01/23 (Call 07/01/18)^a,b		7,430		7,706,936
6.50%, 06/15/20 (Call 12/01/16)		7,333		7,457,161
7.25%, 07/01/18 (Call 12/01/16)^b		7,350		7,497,000
ConvaTec Healthcare E SA
10.50%, 12/15/18 (Call 12/01/16)^a		13,057		13,163,322
DJO Finco Inc./DJO Finance LLC/DJO Finance Corp.
8.13%, 06/15/21 (Call 06/15/18)^a,b		16,985		15,579,877
Hologic Inc.
5.25%, 07/15/22 (Call 07/15/18)^a,b		17,348		18,303,875
Kinetic Concepts Inc./KCI USA Inc.
7.88%, 02/15/21 (Call 02/15/18)^a,b		9,526		10,315,070
9.63%, 10/01/21 (Call 10/01/18)^a		33,850		32,707,562
12.50%, 11/01/21 (Call 05/01/19)^a		8,680		8,376,200
Mallinckrodt International Finance SA
4.75%, 04/15/23^b		10,897		9,507,632


Security	Principal (000s)		Value
Mallinckrodt International Finance SA/Mallinckrodt CB LLC
4.88%, 04/15/20 (Call 04/15/17)^a,b	$	12,295	$	12,355,451
5.50%, 04/15/25 (Call 04/15/20)^a,b		12,741		11,725,702
5.63%, 10/15/23 (Call 10/15/18)^a,b		13,084		12,285,876
5.75%, 08/01/22 (Call 08/01/17)^a,b		15,260		14,458,850
Ortho-Clinical Diagnostics Inc./Ortho-Clinical Diagnostics SA
6.63%, 05/15/22 (Call 05/15/17)^a		22,587		19,368,352

				200,808,866
HEALTH CARE – SERVICES — 6.91%
Acadia Healthcare Co. Inc.
5.63%, 02/15/23 (Call 02/15/18)^b		10,766		10,779,458
Amsurg Corp.
5.63%, 07/15/22 (Call 07/15/17)^b		18,222		18,586,440
Centene Corp.
4.75%, 05/15/22 (Call 05/15/19)		17,563		17,870,353
4.75%, 01/15/25 (Call 01/15/20)		8,005		7,969,978
5.63%, 02/15/21 (Call 02/15/18)		24,122		25,418,558
6.13%, 02/15/24 (Call 02/15/19)^b		17,352		18,479,880
CHS/Community Health Systems Inc.
5.13%, 08/15/18 (Call 12/01/16)^b		12,215		12,071,856
5.13%, 08/01/21 (Call 02/01/17)^b		17,669		16,476,343
6.88%, 02/01/22 (Call 02/01/18)^b		53,478		39,907,957
7.13%, 07/15/20 (Call 07/15/17)^b		21,614		17,507,340


SCHEDULESOF INVESTMENTS			53

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
8.00%, 11/15/19 (Call 12/01/16)^b	$	33,004	$	28,936,257
DaVita Inc.
5.00%, 05/01/25 (Call 05/01/20)^b		27,780		26,668,800
5.13%, 07/15/24 (Call 07/15/19)		30,652		29,924,015
5.75%, 08/15/22 (Call 08/15/17)^b		21,048		21,626,820
Fresenius Medical Care U.S. Finance II Inc.
4.13%, 10/15/20 (Call 07/17/20)^a		8,650		9,014,201
4.75%, 10/15/24 (Call 07/17/24)^a,b		6,995		7,274,800
5.63%, 07/31/19^a,b		13,233		14,346,778
5.88%, 01/31/22^a,b		12,149		13,746,755
6.50%, 09/15/18^a,b		6,450		6,971,321
Fresenius Medical Care U.S. Finance Inc.
5.75%, 02/15/21^a,b		11,222		12,524,220
HCA Holdings Inc.
6.25%, 02/15/21^b		17,024		18,296,071
HCA Inc.
3.75%, 03/15/19^b		20,476		20,967,791
4.25%, 10/15/19^b		10,972		11,396,308
4.50%, 02/15/27 (Call 08/15/26)		20,340		20,143,253
4.75%, 05/01/23^b		22,316		23,208,640
5.00%, 03/15/24^b		35,299		36,877,864
5.25%, 04/15/25^b		25,055		26,370,388
5.25%, 06/15/26 (Call 12/15/25)		26,399		27,652,952
5.38%, 02/01/25^b		47,014		48,030,678
5.88%, 03/15/22^b		25,659		28,224,900
5.88%, 05/01/23^b		22,533		23,892,078
5.88%, 02/15/26 (Call 08/15/25)^b		26,604		27,971,613
6.50%, 02/15/20^b		53,602		59,431,217
7.50%, 02/15/22		34,730		39,479,327
8.00%, 10/01/18^b		8,250		9,135,289
HealthSouth Corp.
5.75%, 11/01/24 (Call 11/01/17)^b		20,807		21,440,964


Security	Principal (000s)		Value
Kindred Healthcare Inc.
6.38%, 04/15/22 (Call 04/15/17)^b	$	8,321	$	7,712,527
8.00%, 01/15/20^b		12,871		12,960,726
8.75%, 01/15/23 (Call 01/15/18)^b		10,584		10,319,400
LifePoint Health Inc.
5.38%, 05/01/24 (Call 05/01/19)^a,b		8,905		8,860,475
5.50%, 12/01/21 (Call 12/01/16)^b		18,782		19,423,597
5.88%, 12/01/23 (Call 12/01/18)^b		8,195		8,356,179
MPH Acquisition Holdings LLC
7.13%, 06/01/24 (Call 06/01/19)^a		18,949		20,242,743
Tenet Healthcare Corp.
4.38%, 10/01/21^b		19,370		19,273,150
4.50%, 04/01/21^b		15,353		15,353,000
4.75%, 06/01/20^b		9,021		9,223,973
5.00%, 03/01/19^b		18,672		18,152,732
5.50%, 03/01/19^b		7,669		7,506,490
6.00%, 10/01/20^b		31,238		32,905,484
6.25%, 11/01/18^b		17,820		18,808,055
6.75%, 06/15/23^b		33,071		30,425,320
8.00%, 08/01/20 (Call 12/01/16)^b		13,551		13,463,765
8.13%, 04/01/22^b		48,944		47,750,990

				1,099,360,069
HOLDING COMPANIES – DIVERSIFIED — 0.68%
HRG Group Inc.
7.75%, 01/15/22 (Call 01/15/17)		15,198		15,843,915
7.88%, 07/15/19 (Call 12/01/16)		14,721		15,433,497
Leucadia National Corp.
5.50%, 10/18/23 (Call 01/18/23)^b		12,580		13,175,639
Nielsen Co. Luxembourg Sarl (The)
5.50%, 10/01/21 (Call 12/01/16)^a,b		10,506		10,933,535
Noble Group Ltd.
6.75%, 01/29/20^a,b		21,467		17,817,610


54		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
PetSmart Inc.
7.13%, 03/15/23 (Call 03/15/18)^a,b	$	33,852	$	35,417,655

				108,621,851
HOME BUILDERS — 1.32%
Beazer Homes USA Inc.
8.75%, 03/15/22 (Call 03/15/19)^a,b		8,240		8,730,966
Brookfield Residential Properties Inc.
6.50%, 12/15/20 (Call 12/01/16)^a,b		9,645		9,933,489
Brookfield Residential Properties Inc./Brookfield Residential U.S. Corp.
6.13%, 07/01/22 (Call 07/01/17)^a,b		9,709		9,854,635
CalAtlantic Group Inc.
8.38%, 05/15/18^b		9,002		9,813,430
8.38%, 01/15/21^b		6,988		8,280,780
DR Horton Inc.
3.63%, 02/15/18 (Call 11/15/17)^b		1,410		1,431,150
3.75%, 03/01/19 (Call 12/01/18)		3,773		3,886,190
4.00%, 02/15/20^b		1,401		1,461,495
5.75%, 08/15/23 (Call 05/15/23)		1,572		1,747,891
K. Hovnanian Enterprises Inc.
7.25%, 10/15/20 (Call 12/01/16)^a,b		9,838		8,854,639
KB Home
4.75%, 05/15/19 (Call 02/15/19)^b		6,952		7,120,369
7.00%, 12/15/21 (Call 09/15/21)^b		6,993		7,507,860
Lennar Corp.
4.50%, 06/15/19 (Call 04/16/19)^b		8,375		8,732,682
4.50%, 11/15/19 (Call 08/15/19)^b		10,686		11,126,798
4.75%, 04/01/21 (Call 02/01/21)^b		9,292		9,843,759
4.75%, 11/15/22 (Call 08/15/22)^b		10,468		10,882,358


Security	Principal (000s)		Value
4.75%, 05/30/25 (Call 02/28/25)	$	8,460	$	8,588,411
4.88%, 12/15/23 (Call 09/15/23)^b		6,783		6,939,662
PulteGroup Inc.
4.25%, 03/01/21 (Call 02/01/21)^b		12,470		13,031,150
5.00%, 01/15/27 (Call 10/15/26)		10,015		9,964,925
5.50%, 03/01/26 (Call 12/01/25)^b		11,868		12,342,720
Taylor Morrison Communities Inc./Monarch Communities Inc.
5.25%, 04/15/21 (Call 12/01/16)^a,b		8,921		9,171,903
Toll Brothers Finance Corp.
4.38%, 04/15/23 (Call 01/15/23)^b		6,430		6,530,437
5.88%, 02/15/22 (Call 11/15/21)^b		7,151		7,875,000
8.91%, 10/15/17^b		1,611		1,707,660
TRI Pointe Group Inc./TRI Pointe Homes Inc.
4.38%, 06/15/19		7,439		7,632,207
5.88%, 06/15/24^b		7,600		7,875,500

				210,868,066
HOME FURNISHINGS — 0.12%
Tempur Sealy International Inc.
5.50%, 06/15/26 (Call 06/15/21)^b		10,241		10,548,230
5.63%, 10/15/23 (Call 10/15/18)		7,894		8,177,339

				18,725,569
HOUSEHOLD PRODUCTS & WARES — 0.90%
Kronos Acquisition Holdings Inc.
9.00%, 08/15/23 (Call 08/15/18)^a		10,150		10,429,125
Reynolds Group Issuer Inc./Reynolds Group Issuer LLC
5.75%, 10/15/20 (Call 12/01/16)^b		57,206		58,841,279


SCHEDULESOF INVESTMENTS			55

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.88%, 02/15/21 (Call 12/01/16)	$	16,432	$	16,997,391
8.25%, 02/15/21 (Call 12/01/16)		16,727		17,422,743
9.88%, 08/15/19 (Call 11/06/16)		9,672		9,914,411
Spectrum Brands Inc.
5.75%, 07/15/25 (Call 07/15/20)^b		18,658		20,197,285
6.63%, 11/15/22 (Call 11/15/17)		9,544		10,209,373

				144,011,607
INSURANCE — 0.50%
Genworth Holdings Inc.
4.80%, 02/15/24		8,431		6,871,265
4.90%, 08/15/23		6,771		5,542,966
6.52%, 05/22/18^b		10,185		10,282,678
7.20%, 02/15/21		6,129		5,665,494
7.63%, 09/24/21		12,585		11,814,310
7.70%, 06/15/20		6,650		6,465,565
HUB International Ltd.
7.88%, 10/01/21 (Call 12/01/16)^a,b		20,478		20,938,755
Voya Financial Inc.
VRN, (3 mo. LIBOR US + 3.580%)
5.65%, 05/15/53 (Call 05/15/23)^b,c		12,214		12,147,760

				79,728,793
INTERNET — 1.07%
Equinix Inc.
4.88%, 04/01/20 (Call 04/01/17)^b		8,366		8,644,866
5.38%, 01/01/22 (Call 01/01/18)^b		12,300		13,056,450
5.38%, 04/01/23 (Call 04/01/18)^b		18,164		18,958,675
5.75%, 01/01/25 (Call 01/01/20)^b		7,830		8,301,758
Netflix Inc.
4.38%, 11/15/26^a		10,865		10,688,444
5.38%, 02/01/21^b		8,025		8,671,299
5.50%, 02/15/22		11,825		12,784,438
5.75%, 03/01/24^b		7,460		8,064,382
5.88%, 02/15/25^b		13,751		15,221,026


Security	Principal (000s)		Value
VeriSign Inc.
4.63%, 05/01/23 (Call 05/01/18)^b	$	12,255	$	12,632,454
5.25%, 04/01/25 (Call 01/01/25)^b		8,748		9,294,750
Zayo Group LLC/Zayo Capital Inc.
6.00%, 04/01/23 (Call 04/01/18)^b		26,243		27,555,150
6.38%, 05/15/25 (Call 05/15/20)^b		15,344		16,133,251

				170,006,943
IRON & STEEL — 1.27%
AK Steel Corp.
7.63%, 05/15/20 (Call 12/01/16)^b		9,005		9,060,531
7.63%, 10/01/21 (Call 10/01/17)^b		6,517		6,502,948
Allegheny Technologies Inc.
5.95%, 01/15/21 (Call 10/15/20)^b		8,585		7,926,816
7.88%, 08/15/23 (Call 05/15/23)		8,808		8,400,630
ArcelorMittal
6.13%, 06/01/25^b		9,189		10,075,690
6.25%, 08/05/20		7,050		7,650,425
6.50%, 03/01/21		17,700		19,474,860
7.25%, 02/25/22^b		20,097		22,776,149
10.85%, 06/01/19		18,068		21,662,490
Cliffs Natural Resources Inc.
7.75%, 03/31/20 (Call 03/31/17)^a,b		7,091		6,756,147
8.25%, 03/31/20 (Call 03/31/18)^a		8,783		9,540,534
Commercial Metals Co.
7.35%, 08/15/18^b		5,570		5,987,750
Steel Dynamics Inc.
5.13%, 10/01/21 (Call 10/01/17)^b		11,934		12,411,360
5.25%, 04/15/23 (Call 04/15/18)		6,695		6,944,389
5.50%, 10/01/24 (Call 10/01/19)^b		8,650		9,104,125


56		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.13%, 08/15/19 (Call 12/01/16)	$	5,572	$	5,745,603
U.S. Steel Corp.
7.38%, 04/01/20^b		6,727		6,702,708
7.50%, 03/15/22 (Call 03/15/17)^b		6,245		5,998,670
8.38%, 07/01/21 (Call 07/01/18)^a		18,772		19,912,009

				202,633,834
LEISURE TIME — 0.26%
NCL Corp. Ltd.
4.63%, 11/15/20 (Call 11/15/17)^a,b		10,283		10,381,702
5.25%, 11/15/19 (Call 12/01/16)^a,b		10,800		11,019,506
Royal Caribbean Cruises Ltd.
5.25%, 11/15/22^b		11,037		12,057,923
Sabre GLBL Inc.
5.25%, 11/15/23 (Call 11/15/18)^a,b		8,161		8,375,226

				41,834,357
LODGING — 2.23%
Boyd Gaming Corp.
6.38%, 04/01/26 (Call 04/01/21)^a,b		13,424		14,355,626
6.88%, 05/15/23 (Call 05/15/18)		12,579		13,474,625
Caesars Entertainment Resort Properties LLC/Caesars Entertainment Resort Properties
8.00%, 10/01/20 (Call 12/01/16)^b		17,271		17,918,662
11.00%, 10/01/21 (Call 12/01/16)^b		19,718		21,320,087
Diamond Resorts International Inc.
7.75%, 09/01/23 (Call��09/01/19)^a,b		7,985		7,843,044
10.75%, 09/01/24 (Call 09/01/19)^a,b		10,900		10,211,938
Felcor Lodging LP
5.63%, 03/01/23 (Call 03/01/18)		9,545		9,820,503


Security	Principal (000s)		Value
6.00%, 06/01/25 (Call 06/01/20)^b	$	8,165	$	8,501,806
Hilton Domestic Operating Co. Inc.
4.25%, 09/01/24 (Call 09/01/19)^a,b		17,076		17,159,855
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp.
5.63%, 10/15/21 (Call 11/16/16)^b		25,246		25,935,294
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc.
5.63%, 05/01/24 (Call 02/01/24)^a,b		17,814		19,038,712
MGM Resorts International
4.63%, 09/01/26 (Call 06/01/26)		8,795		8,478,773
5.25%, 03/31/20^b		9,225		9,791,803
6.00%, 03/15/23^b		22,256		24,052,716
6.63%, 12/15/21		23,883		26,704,299
6.75%, 10/01/20^b		17,319		19,224,090
7.75%, 03/15/22		17,060		19,746,950
8.63%, 02/01/19^b		14,516		16,266,993
11.38%, 03/01/18		7,220		8,085,799
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.
4.25%, 05/30/23 (Call 02/28/23)^a,b		8,350		8,025,742
5.38%, 03/15/22 (Call 03/15/17)^b		15,706		16,196,813
5.50%, 03/01/25 (Call 12/01/24)^a,b		32,118		32,178,221

				354,332,351
MACHINERY — 0.84%
BlueLine Rental Finance Corp.
7.00%, 02/01/19 (Call 12/01/16)^a,b		12,660		11,081,119
Case New Holland Industrial Inc.
7.88%, 12/01/17^b		18,425		19,530,500


SCHEDULESOF INVESTMENTS			57

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
CNH Industrial Capital LLC
3.38%, 07/15/19^b	$	8,166	$	8,175,064
3.63%, 04/15/18^b		10,470		10,561,613
3.88%, 07/16/18		9,275		9,379,344
3.88%, 10/15/21		10,100		10,024,250
4.38%, 11/06/20^b		10,148		10,350,960
4.88%, 04/01/21^b		8,594		8,945,817
CNH Industrial NV
4.50%, 08/15/23		9,550		9,563,179
Terex Corp.
6.00%, 05/15/21 (Call 12/01/16)^b		15,785		16,103,519
Zebra Technologies Corp.
7.25%, 10/15/22 (Call 10/15/17)^b		17,931		19,365,480

				133,080,845
MANUFACTURING — 0.86%
Bombardier Inc.
4.75%, 04/15/19^a,b		10,437		10,397,576
5.50%, 09/15/18^a		13,309		13,722,134
5.75%, 03/15/22^a		8,350		7,389,750
6.00%, 10/15/22 (Call 04/15/17)^a		20,685		18,377,669
6.13%, 01/15/23^a		23,341		20,306,670
7.50%, 03/15/18^a,b		11,075		11,724,756
7.50%, 03/15/25 (Call 03/15/20)^a		26,326		23,475,170
7.75%, 03/15/20 ^a,b		14,955		15,180,260
Gates Global LLC/Gates Global Co.
6.00%, 07/15/22 (Call 07/15/17)^a,b		18,208		17,206,560

				137,780,545
MEDIA — 10.61%
Altice U.S. Finance I Corp.
5.38%, 07/15/23 (Call 07/15/18)^a		17,181		17,610,525
5.50%, 05/15/26 (Call 05/15/21)^a		27,211		27,790,594
AMC Networks Inc.
4.75%, 12/15/22 (Call 12/15/17)		9,890		10,083,935
5.00%, 04/01/24 (Call 04/01/20)^b		16,575		16,790,475


Security	Principal (000s)		Value
Cablevision Systems Corp.
5.88%, 09/15/22^b	$	10,663	$	9,809,960
7.75%, 04/15/18		12,513		13,180,574
8.00%, 04/15/20^b		9,000		9,562,500
8.63%, 09/15/17		3,967		4,145,515
CCO Holdings LLC/CCO Holdings Capital Corp.
5.13%, 02/15/23 (Call 02/15/18)^b		16,953		17,540,394
5.13%, 05/01/23 (Call 05/01/18)^a,b		20,038		20,689,235
5.25%, 03/15/21 (Call 12/01/16)^b		8,625		8,950,398
5.25%, 09/30/22 (Call 09/30/17)		21,394		22,303,245
5.38%, 05/01/25 (Call 05/01/20)^a,b		13,147		13,545,792
5.50%, 05/01/26 (Call 05/01/21)^a		27,028		27,771,270
5.75%, 09/01/23 (Call 03/01/18)		9,075		9,562,781
5.75%, 01/15/24 (Call 07/15/18)^b		17,275		18,268,313
5.75%, 02/15/26 (Call 02/15/21)^a,b		45,107		47,024,047
5.88%, 04/01/24 (Call 04/01/19)^a,b		30,543		32,278,233
5.88%, 05/01/27 (Call 05/01/21)^a,b		13,726		14,349,807
6.63%, 01/31/22 (Call 01/31/17)		8,820		9,200,025
Cequel Communications Holdings I LLC/Cequel Capital Corp.
5.13%, 12/15/21 (Call 12/01/16)^a,b		21,276		20,882,030
6.38%, 09/15/20 (Call 12/01/16)^a,b		25,879		26,655,370
7.75%, 07/15/25 (Call 07/15/20)^a		9,261		9,927,607
Clear Channel Worldwide Holdings Inc.
6.50%, 11/15/22 (Call 11/15/17)^b		47,927		48,577,867


58		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Series B
7.63%, 03/15/20 (Call 12/01/16)^b	$	34,491	$	33,456,270
CSC Holdings LLC
5.25%, 06/01/24^b		12,845		12,010,075
5.50%, 04/15/27 (Call 04/15/22)^a,b		22,525		22,907,925
6.63%, 10/15/25 (Call 10/15/20)^a		17,355		18,830,175
6.75%, 11/15/21		18,427		19,389,092
8.63%, 02/15/19^b		8,901		9,905,623
10.13%, 01/15/23 (Call 01/15/19)^a,b		30,776		34,699,940
10.88%, 10/15/25 (Call 10/15/20)^a,b		35,157		40,442,268
DISH DBS Corp.
4.25%, 04/01/18^b		20,489		20,990,638
5.00%, 03/15/23^b		27,110		26,668,107
5.13%, 05/01/20^b		19,171		19,841,985
5.88%, 07/15/22^b		35,307		36,366,210
5.88%, 11/15/24^b		34,674		34,825,699
6.75%, 06/01/21		35,944		38,783,576
7.75%, 07/01/26^b		35,531		39,017,657
7.88%, 09/01/19		24,368		27,137,911
Gray Television Inc.
5.13%, 10/15/24 (Call 10/15/19)^a		9,540		9,280,402
5.88%, 07/15/26 (Call 07/15/21)^a,b		12,222		12,189,890
iHeartCommunications Inc.
9.00%, 12/15/19 (Call 12/01/16)^b		27,938		21,197,958
9.00%, 03/01/21 (Call 12/01/16)^b		30,860		22,064,900
9.00%, 09/15/22 (Call 09/15/17)^b		18,005		12,854,531
10.00%, 01/15/18 (Call 12/01/16)^b		14,277		10,136,670
10.63%, 03/15/23 (Call 03/15/18)^b		17,453		12,566,160
11.25%, 03/01/21 (Call 12/01/16)^b		9,026		6,842,836


Security	Principal (000s)		Value
Nexstar Broadcasting Inc.
6.88%, 11/15/20 (Call 12/01/16)	$	3,162	$	3,273,461
Nexstar Escrow Corp.
5.63%, 08/01/24 (Call 08/01/19)^a,b		16,360		16,237,300
Nielsen Finance LLC/Nielsen Finance Co.
4.50%, 10/01/20 (Call 12/01/16)^b		14,050		14,313,438
5.00%, 04/15/22 (Call 04/15/17)^a,b		42,770		43,625,400
Quebecor Media Inc.
5.75%, 01/15/23^b		14,806		15,472,270
SFR Group SA
6.00%, 05/15/22 (Call 05/15/17)^a,b		75,459		77,156,827
6.25%, 05/15/24 (Call 05/15/19)^a,b		25,466		25,481,789
7.38%, 05/01/26 (Call 05/01/21)^a,b		96,404		97,368,040
Sinclair Television Group Inc.
5.13%, 02/15/27 (Call 08/15/21)^a,b		7,650		7,332,525
5.38%, 04/01/21 (Call 12/01/16)^b		9,500		9,844,375
5.63%, 08/01/24 (Call 08/01/19)^a,b		9,269		9,405,928
6.13%, 10/01/22 (Call 10/01/17)^b		8,388		8,807,400
Sirius XM Radio Inc.
4.25%, 05/15/20 (Call 12/01/16)^a,b		8,556		8,744,232
4.63%, 05/15/23 (Call 05/15/18)^a,b		10,286		10,376,003
5.38%, 04/15/25 (Call 04/15/20)^a		17,290		17,592,575
5.38%, 07/15/26 (Call 07/15/21)^a,b		17,658		18,034,115
5.75%, 08/01/21 (Call 12/01/16)^a,b		10,425		10,894,125
6.00%, 07/15/24 (Call 07/15/19)^a,b		25,774		27,417,092


SCHEDULESOF INVESTMENTS			59

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
TEGNA Inc.
5.13%, 10/15/19 (Call 12/01/16)^b	$	9,798	$	10,079,693
5.13%, 07/15/20 (Call 12/01/16)^b		10,227		10,587,786
6.38%, 10/15/23 (Call 10/15/18)^b		11,057		11,738,388
Tribune Media Co.
5.88%, 07/15/22 (Call 07/15/18)^b		18,465		18,426,532
Unitymedia GmbH
6.13%, 01/15/25 (Call 01/15/20)^a,b		18,628		19,311,027
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH
5.00%, 01/15/25 (Call 01/15/20)^a,b		9,460		9,554,600
5.50%, 01/15/23 (Call 01/15/18)^a,b		16,161		16,496,341
Univision Communications Inc.
5.13%, 05/15/23 (Call 05/15/18)^a,b		20,640		20,962,500
5.13%, 02/15/25 (Call 02/15/20)^a		28,126		28,196,315
6.75%, 09/15/22 (Call 09/15/17)^a,b		20,760		21,981,898
8.50%, 05/15/21 (Call 11/15/16)^a		2,449		2,515,001
Videotron Ltd.
5.00%, 07/15/22^b		16,250		17,013,170
5.38%, 06/15/24 (Call 03/15/24)^a,b		10,384		10,866,137
Virgin Media Secured Finance PLC
5.50%, 08/15/26 (Call 08/15/21)^a,b		12,819		12,867,071
WideOpenWest Finance LLC/WideOpenWest Capital Corp.
10.25%, 07/15/19 (Call 12/01/16)^b		6,002		6,302,186
Ziggo Bond Finance BV
5.88%, 01/15/25 (Call 01/15/20)^a		6,800		6,716,583


Security	Principal (000s)		Value
6.00%, 01/15/27 (Call 01/15/22)^a,b	$	9,725	$	9,534,861
Ziggo Secured Finance BV
5.50%, 01/15/27 (Call 01/15/22)^a,b		36,400		35,877,889

				1,689,311,863
METAL FABRICATE & HARDWARE — 0.31%
Novelis Corp.
5.88%, 09/30/26 (Call 09/30/21)^a,b		28,270		28,439,620
6.25%, 08/15/24 (Call 08/15/19)^a		20,051		20,781,705

				49,221,325
MINING — 3.20%
Alcoa Nederland Holding BV
6.75%, 09/30/24 (Call 09/30/19)^a,b		13,900		14,317,000
7.00%, 09/30/26 (Call 09/30/21)^a,b		11,225		11,559,505
Aleris International Inc.
9.50%, 04/01/21 (Call 04/01/18)^a,b		8,698		9,324,528
Anglo American Capital PLC
3.63%, 05/14/20^a,b		13,892		13,920,430
4.13%, 04/15/21^a		7,850		7,896,119
4.13%, 09/27/22^a		10,936		10,825,729
4.45%, 09/27/20^a		9,000		9,189,855
4.88%, 05/14/25^a		11,997		12,204,948
9.38%, 04/08/19^a,b		13,259		15,161,667
Arconic Inc.
5.13%, 10/01/24 (Call 07/01/24)^b		21,559		22,385,065
5.40%, 04/15/21 (Call 01/15/21)^b		21,423		22,759,504
5.72%, 02/23/19		12,440		13,260,263
5.87%, 02/23/22^b		10,505		11,249,441
6.15%, 08/15/20^b		16,664		18,142,097
6.75%, 07/15/18		12,582		13,450,158
Constellium NV
5.75%, 05/15/24 (Call 05/15/19)^a,b		8,536		7,624,946
7.88%, 04/01/21 (Call 04/01/18)^a,b		8,040		8,572,221


60		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
8.00%, 01/15/23 (Call 01/15/18)^a	$	7,490	$	7,354,604
FMG Resources August 2006 Pty Ltd.
6.88%, 04/01/22 (Call 04/01/17)^a,b		8,545		8,815,947
9.75%, 03/01/22 (Call 03/01/18)^a,b		38,932		45,161,120
Freeport-McMoRan Inc.
2.38%, 03/15/18^b		26,284		26,034,302
3.10%, 03/15/20^b		19,391		18,575,959
3.55%, 03/01/22 (Call 12/01/21)^b		34,303		31,473,003
3.88%, 03/15/23 (Call 12/15/22)^b		33,978		30,750,090
4.00%, 11/14/21^b		12,464		11,757,706
4.55%, 11/14/24 (Call 08/14/24)^b		15,101		13,872,591
Kinross Gold Corp.
5.13%, 09/01/21 (Call 06/01/21)		8,864		9,192,706
5.95%, 03/15/24 (Call 12/15/23)^b		8,627		9,015,215
Lundin Mining Corp.
7.50%, 11/01/20 (Call 11/01/17)^a,b		9,554		10,121,932
7.88%, 11/01/22 (Call 11/01/18)^a		7,845		8,433,375
Teck Resources Ltd.
3.00%, 03/01/19^b		1,800		1,773,000
3.75%, 02/01/23 (Call 11/01/22)^b		12,455		11,754,406
4.50%, 01/15/21 (Call 10/15/20)		8,972		9,016,860
4.75%, 01/15/22 (Call 10/15/21)		11,430		11,337,188
8.00%, 06/01/21 (Call 06/01/18)^a		10,201		11,153,306
8.50%, 06/01/24 (Call 06/01/19)^a,b		10,314		11,951,348

				509,388,134


Security	Principal (000s)		Value
OFFICE & BUSINESS EQUIPMENT — 0.19%
CDW LLC/CDW Finance Corp.
5.00%, 09/01/23 (Call 03/01/18)^b	$	8,539	$	8,766,060
5.50%, 12/01/24 (Call 06/01/24)^b		8,787		9,229,074
6.00%, 08/15/22 (Call 08/15/17)^b		10,990		11,714,195

				29,709,329
OIL & GAS — 8.48%
Antero Resources Corp.
5.13%, 12/01/22 (Call 06/01/17)^b		18,829		19,017,290
5.38%, 11/01/21 (Call 12/01/16)^b		18,465		18,741,975
5.63%, 06/01/23 (Call 06/01/18)^b		13,991		14,308,712
6.00%, 12/01/20 (Call 12/01/16)^b		8,294		8,501,350
California Resources Corp.
8.00%, 12/15/22 (Call 12/15/18)^a		40,046		27,131,165
Calumet Specialty Products Partners LP/Calumet Finance Corp.
6.50%, 04/15/21 (Call 04/15/17)^b		15,668		12,358,135
11.50%, 01/15/21 (Call 04/15/18)^a		7,093		8,002,424
Carrizo Oil & Gas Inc.
6.25%, 04/15/23 (Call 04/15/18)^b		10,920		11,302,200
7.50%, 09/15/20 (Call 12/01/16)^b		9,591		9,962,651
Cenovus Energy Inc.
3.00%, 08/15/22 (Call 05/15/22)		8,511		8,270,826
3.80%, 09/15/23 (Call 06/15/23)		7,900		7,786,079
5.70%, 10/15/19		23,595		25,428,138
Cheniere Corpus Christi Holdings LLC
7.00%, 06/30/24^a,b		23,864		25,467,374


SCHEDULESOF INVESTMENTS			61

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Chesapeake Energy Corp.
6.63%, 08/15/20	$	3,611	$	3,412,395
8.00%, 12/15/22 (Call 12/15/18)^a,b		41,296		42,031,482
Citgo Holding Inc.
10.75%, 02/15/20^a		26,934		27,437,889
Concho Resources Inc.
5.50%, 10/01/22 (Call 10/01/17)^b		12,400		12,768,166
5.50%, 04/01/23 (Call 10/01/17)^b		26,562		27,206,128
6.50%, 01/15/22 (Call 01/15/17)^b		9,725		10,054,483
Continental Resources Inc./OK
3.80%, 06/01/24 (Call 03/01/24)^b		17,642		16,017,858
4.50%, 04/15/23 (Call 01/15/23)		26,926		25,986,495
5.00%, 09/15/22 (Call 03/15/17)^b		35,346		34,701,087
7.13%, 04/01/21 (Call 11/10/16)		6,350		6,581,775
Denbury Resources Inc.
4.63%, 07/15/23 (Call 01/15/18)		10,964		7,976,310
5.50%, 05/01/22 (Call 05/01/17)		14,405		11,379,950
9.00%, 05/15/21 (Call 12/15/18)^a,b		11,058		11,527,965
Diamond Offshore Drilling Inc.
5.88%, 05/01/19		1,650		1,721,521
Ensco PLC
4.50%, 10/01/24 (Call 07/01/24)		12,495		10,042,856
4.70%, 03/15/21^b		13,613		12,516,481
5.20%, 03/15/25 (Call 12/15/24)^b		10,800		8,791,848
EP Energy LLC/Everest Acquisition Finance Inc.
6.38%, 06/15/23 (Call 06/15/18)^b		10,736		7,300,480
9.38%, 05/01/20 (Call 12/01/16)^b		28,158		22,104,030


Security	Principal (000s)		Value
Freeport-McMoran Oil & Gas LLC/FCX Oil & Gas Inc.
6.50%, 11/15/20 (Call 11/15/17)^b	$	11,178	$	11,426,177
6.75%, 02/01/22 (Call 02/01/17)		8,260		8,464,244
6.88%, 02/15/23 (Call 02/15/18)^b		13,350		13,793,554
Gulfport Energy Corp.
6.00%, 10/15/24 (Call 10/15/19)^a,b		5,860		5,969,875
Halcon Resources Corp.
8.63%, 02/01/20 (Call 02/01/17)^a,b		7,294		7,385,175
Hilcorp Energy I LP/Hilcorp Finance Co.
5.00%, 12/01/24 (Call 06/01/19)^a,b		8,423		8,211,264
5.75%, 10/01/25 (Call 04/01/20)^a,b		8,405		8,466,062
Jupiter Resources Inc.
8.50%, 10/01/22 (Call 10/01/17)^a,b		19,720		16,556,583
Laredo Petroleum Inc.
5.63%, 01/15/22 (Call 01/15/17)^b		7,520		7,364,019
7.38%, 05/01/22 (Call 05/01/17)^b		9,126		9,391,202
MEG Energy Corp.
6.38%, 01/30/23 (Call 07/30/17)^a		14,422		11,862,095
6.50%, 03/15/21 (Call 12/01/16)^a		13,391		11,466,044
7.00%, 03/31/24 (Call 09/30/18)^a,b		17,551		14,391,820
Memorial Production Partners LP/Memorial Production Finance Corp.
6.88%, 08/01/22 (Call 08/01/17)		7,650		3,060,000
7.63%, 05/01/21 (Call 05/01/17)		11,501		4,801,668
Murphy Oil Corp.
4.00%, 06/01/22 (Call 03/01/22)^b		9,384		8,860,225


62		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.70%, 12/01/22 (Call 09/01/22)^b	$	10,971	$	10,527,998
6.88%, 08/15/24 (Call 08/15/19)^b		9,415		9,854,132
Nabors Industries Inc.
4.63%, 09/15/21		13,500		13,312,033
5.00%, 09/15/20		11,809		11,850,428
6.15%, 02/15/18		14,367		14,916,025
Newfield Exploration Co.
5.38%, 01/01/26 (Call 10/01/25)^b		12,520		12,864,300
5.63%, 07/01/24^b		17,670		18,402,156
5.75%, 01/30/22^b		13,549		14,133,301
Noble Holding International Ltd.
3.95%, 03/15/22		7,850		6,044,500
4.90%, 08/01/20^b		7,740		6,860,256
7.20%, 04/01/25 (Call 01/01/25)^b		8,326		6,785,690
Oasis Petroleum Inc.
6.88%, 03/15/22 (Call 09/15/17)^b		16,211		16,048,890
Pacific Drilling SA
5.38%, 06/01/20 (Call 12/01/16)^a,b		9,797		2,682,871
Pacific Drilling V Ltd.
7.25%, 12/01/17 (Call 12/01/16)^a		9,075		3,576,306
PBF Holding Co. LLC/PBF Finance Corp.
7.00%, 11/15/23 (Call 11/15/18)^a,b		8,585		7,984,314
8.25%, 02/15/20 (Call 12/01/16)^b		11,732		11,995,970
Permian Resources LLC
13.00%, 11/30/20 (Call 11/30/18)^a		9,287		10,882,256
Permian Resources LLC/AEPB Finance Corp.
7.13%, 11/01/20 (Call 01/31/17)^a		11,647		8,640,618
7.38%, 11/01/21 (Call 07/31/17)^a		11,205		8,323,214
Precision Drilling Corp.
5.25%, 11/15/24 (Call 05/15/19)^b		6,975		6,138,000


Security	Principal (000s)		Value
6.63%, 11/15/20 (Call 12/01/16)	$	10,766	$	10,506,943
Pride International Inc.
6.88%, 08/15/20^b		14,550		14,707,450
8.50%, 06/15/19^b		5,754		6,232,669
Puma International Financing SA
6.75%, 02/01/21 (Call 02/01/17)^a		19,600		20,188,280
QEP Resources Inc.
5.25%, 05/01/23 (Call 02/01/23)		10,622		10,451,435
5.38%, 10/01/22 (Call 07/01/22)^b		9,039		8,956,142
6.88%, 03/01/21^b		11,037		11,596,279
Range Resources Corp.
4.88%, 05/15/25 (Call 02/15/25)^b		12,941		12,426,173
5.00%, 08/15/22 (Call 05/15/22)^a,b		10,867		10,595,325
5.00%, 03/15/23 (Call 12/15/22)^a,b		12,774		12,410,937
5.75%, 06/01/21 (Call 03/01/21)^a		8,830		8,959,993
Rowan Companies Inc.
4.75%, 01/15/24 (Call 10/15/23)		8,278		6,956,279
4.88%, 06/01/22 (Call 03/01/22)		11,737		10,152,505
7.88%, 08/01/19^b		6,419		6,911,166
Sanchez Energy Corp.
6.13%, 01/15/23 (Call 07/15/18)^b		20,270		17,330,850
7.75%, 06/15/21 (Call 06/15/17)^b		11,111		10,341,563
Seven Generations Energy Ltd.
6.75%, 05/01/23 (Call 05/01/18)^a,b		7,335		7,749,428
6.88%, 06/30/23 (Call 06/30/18)^a,b		8,075		8,589,781
SM Energy Co.
5.00%, 01/15/24 (Call 07/15/18)^b		8,728		8,173,928


SCHEDULESOF INVESTMENTS			63

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.63%, 06/01/25 (Call 06/01/20)^b	$	9,124	$	8,772,959
6.13%, 11/15/22 (Call 11/15/18)^b		10,035		10,003,641
6.75%, 09/15/26 (Call 09/15/21)^b		8,135		8,348,544
Southwestern Energy Co.
4.10%, 03/15/22 (Call 12/15/21)^b		19,202		17,377,810
5.80%, 01/23/20 (Call 12/23/19)^b		15,223		15,308,629
6.70%, 01/23/25 (Call 10/23/24)^b		17,138		16,366,790
7.50%, 02/01/18		2,205		2,309,738
Sunoco LP/Sunoco Finance Corp.
5.50%, 08/01/20 (Call 08/01/17)^b		9,571		9,738,493
6.25%, 04/15/21 (Call 04/15/18)^b		13,846		14,192,150
6.38%, 04/01/23 (Call 04/01/18)		14,282		14,639,050
Tesoro Corp.
4.25%, 10/01/17 (Call 09/01/17)^b		1,559		1,586,370
5.38%, 10/01/22 (Call 10/01/17)^b		7,447		7,670,410
Transocean Inc.
3.75%, 10/15/17		2,225		2,219,438
5.05%, 10/15/22 (Call 07/15/22)^b		10,062		8,603,010
6.00%, 03/15/18^b		12,551		12,561,032
6.50%, 11/15/20^b		9,350		9,040,281
7.13%, 12/15/21^b		11,060		10,661,287
9.00%, 07/15/23 (Call 07/15/20)^a,b		22,317		21,819,331
Tullow Oil PLC
6.00%, 11/01/20 (Call 12/01/16)^a,b		12,920		11,991,164
6.25%, 04/15/22 (Call 04/15/17)^a		11,285		10,280,715
Whiting Petroleum Corp.
5.00%, 03/15/19 (Call 12/15/18)		16,225		15,387,232


Security	Principal (000s)		Value
5.75%, 03/15/21 (Call 12/15/20)^b	$	15,715	$	14,619,341
6.25%, 04/01/23 (Call 01/01/23)^b		6,964		6,419,067
WPX Energy Inc.
5.25%, 09/15/24 (Call 06/15/24)^b		9,030		8,548,400
6.00%, 01/15/22 (Call 10/15/21)^b		18,875		18,827,813
7.50%, 08/01/20 (Call 07/01/20)		9,014		9,473,919
8.25%, 08/01/23 (Call 06/01/23)^b		9,607		10,351,543

				1,349,486,066
OIL & GAS SERVICES — 0.38%
CGG SA
6.50%, 06/01/21 (Call 12/01/16)^b		10,382		5,195,326
6.88%, 01/15/22 (Call 07/15/17)^b		7,998		3,993,002
Transocean Phoenix 2 Ltd.
7.75%, 10/15/24 (Call 10/15/20)^a		3,725		3,887,969
Weatherford International Ltd.
4.50%, 04/15/22 (Call 01/15/22)^b		12,368		11,038,440
7.75%, 06/15/21 (Call 05/15/21)^b		12,979		13,206,132
8.25%, 06/15/23 (Call 03/15/23)^b		12,593		13,010,143
9.63%, 03/01/19		8,994		9,578,610

				59,909,622
PACKAGING & CONTAINERS — 1.86%
Ardagh Packaging Finance PLC/Ardagh Holdings USA Inc.
4.63%, 05/15/23 (Call 05/15/19)^a,b		17,515		17,733,937
6.00%, 06/30/21 (Call 06/30/17)^a,b		8,972		9,196,300
6.25%, 01/31/19 (Call 12/01/16)^a		6,775		6,885,094
6.75%, 01/31/21 (Call 01/31/17)^a		7,710		7,960,575


64		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.25%, 05/15/24 (Call 05/15/19)^a,b	$	29,068	$	30,666,740
Ball Corp.
4.00%, 11/15/23^b		18,175		18,344,327
4.38%, 12/15/20^b		16,905		18,003,423
5.00%, 03/15/22^b		14,793		15,913,218
5.25%, 07/01/25		16,877		17,974,005
Berry Plastics Corp.
5.13%, 07/15/23 (Call 07/15/18)^b		11,975		12,184,562
5.50%, 05/15/22 (Call 05/15/17)^b		8,068		8,386,136
6.00%, 10/15/22 (Call 10/15/18)		7,520		7,955,534
Crown Americas LLC/Crown Americas Capital Corp.
4.25%, 09/30/26 (Call 03/31/26)^a,b		7,950		7,805,029
Crown Americas LLC/Crown Americas Capital Corp. IV
4.50%, 01/15/23^b		16,658		17,157,740
Owens-Brockway Glass Container Inc.
5.00%, 01/15/22^a,b		8,765		9,129,927
5.88%, 08/15/23^a,b		11,670		12,428,550
Reynolds Group Issuer Inc./Reynolds Group Issuer LLC
5.13%, 07/15/23 (Call 07/15/19)^a,b		27,077		27,855,464
7.00%, 07/15/24 (Call 07/15/19)^a,b		13,053		13,999,342
Sealed Air Corp.
4.88%, 12/01/22 (Call 09/01/22)^a,b		8,083		8,525,358
5.13%, 12/01/24 (Call 09/01/24)^a,b		7,185		7,610,289
5.25%, 04/01/23 (Call 01/01/23)^a,b		7,665		8,105,738
5.50%, 09/15/25 (Call 06/15/25)^a,b		7,220		7,742,535
6.50%, 12/01/20 (Call 09/01/20)^a,b		4,200		4,809,000

				296,372,823


Security	Principal (000s)		Value
PHARMACEUTICALS — 2.35%
DPx Holdings BV
7.50%, 02/01/22 (Call 02/01/17)^a	$	1,130	$	1,189,325
Endo Finance LLC
5.75%, 01/15/22 (Call 01/15/17)^a,b		11,711		10,539,900
Endo Finance LLC/Endo Finco Inc.
5.38%, 01/15/23 (Call 07/15/17)^a,b		13,340		11,439,050
Endo Ltd./Endo Finance LLC/Endo Finco Inc.
6.00%, 07/15/23 (Call 07/15/18)^a		29,689		25,903,652
6.50%, 02/01/25 (Call 02/01/20)^a,b		21,640		18,123,500
Grifols Worldwide Operations Ltd.
5.25%, 04/01/22 (Call 04/01/17)^b		19,033		19,830,801
NBTY Inc.
7.63%, 05/15/21 (Call 05/15/18)^a,b		18,097		17,724,415
Quintiles IMS Inc.
4.88%, 05/15/23 (Call 05/15/18)^a		4,600		4,743,750
Valeant Pharmaceuticals International Inc.
5.38%, 03/15/20 (Call 03/15/17)^a		35,713		30,891,745
5.50%, 03/01/23 (Call 03/01/18)^a		17,314		13,631,889
5.63%, 12/01/21 (Call 12/01/16)^a		15,328		12,547,062
5.88%, 05/15/23 (Call 05/15/18)^a		58,273		45,926,117
6.13%, 04/15/25 (Call 04/15/20)^a		58,868		46,536,143
6.38%, 10/15/20 (Call 12/01/16)^a		39,417		34,365,522
6.75%, 08/15/18 (Call 12/01/16)^a,b		27,183		26,639,340


SCHEDULESOF INVESTMENTS			65

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.75%, 08/15/21 (Call 12/01/16)^a	$	11,195	$	9,684,412
7.00%, 10/01/20 (Call 12/01/16)^a		11,740		10,573,827
7.25%, 07/15/22 (Call 12/01/16)^a		10,044		8,738,280
7.50%, 07/15/21 (Call 12/01/16)^a		27,815		24,477,200

				373,505,930
PIPELINES — 4.01%
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp.
6.13%, 03/01/22 (Call 11/16/16)		7,794		7,988,850
6.25%, 04/01/23 (Call 04/01/18)		12,173		12,315,019
DCP Midstream LLC
4.75%, 09/30/21^a,b		8,086		8,262,373
5.35%, 03/15/20^a		5,250		5,416,250
VRN, (3 mo. LIBOR US + 3.850%)
5.85%, 05/21/43 (Call 05/21/23)^a,b,c		11,613		9,783,953
DCP Midstream Operating LP
2.50%, 12/01/17 (Call 11/01/17)		8,208		8,175,257
3.88%, 03/15/23 (Call 12/15/22)		9,462		9,213,192
Energy Transfer Equity LP
5.50%, 06/01/27 (Call 03/01/27)^b		16,845		16,255,425
5.88%, 01/15/24 (Call 10/15/23)		20,065		20,393,564
7.50%, 10/15/20		21,794		23,918,915
EnLink Midstream Partners LP
2.70%, 04/01/19 (Call 03/01/19)		6,910		6,909,582
4.15%, 06/01/25 (Call 03/01/25)		13,112		12,774,099
4.40%, 04/01/24 (Call 01/01/24)		10,107		10,035,876
4.85%, 07/15/26 (Call 04/15/26)^b		8,950		9,105,142


Security	Principal (000s)		Value
Genesis Energy LP/Genesis Energy Finance Corp.
6.00%, 05/15/23 (Call 05/15/18)	$	6,990	$	7,038,348
6.75%, 08/01/22 (Call 08/01/18)		13,082		13,523,525
NGPL PipeCo LLC
7.12%, 12/15/17^a		22,003		22,993,135
9.63%, 06/01/19 (Call 12/01/16)^a,b		8,775		9,187,425
NuStar Logistics LP
4.80%, 09/01/20		7,555		7,630,634
ONEOK Inc.
4.25%, 02/01/22 (Call 11/02/21)^b		9,511		9,390,131
7.50%, 09/01/23 (Call 06/01/23)		9,908		11,289,225
Rockies Express Pipeline LLC
5.63%, 04/15/20^a,b		13,602		14,307,876
6.00%, 01/15/19^a,b		8,280		8,569,800
6.85%, 07/15/18^a,b		9,220		9,727,100
Sabine Pass Liquefaction LLC
5.00%, 03/15/27 (Call 09/15/26)^a,b		25,300		25,789,256
5.63%, 02/01/21 (Call 11/01/20)^b		34,986		36,735,300
5.63%, 04/15/23 (Call 01/15/23)^b		25,514		27,041,942
5.63%, 03/01/25 (Call 12/01/24)		35,138		37,246,280
5.75%, 05/15/24 (Call 02/15/24)^b		36,536		38,535,663
5.88%, 06/30/26^a,b		25,641		27,545,513
6.25%, 03/15/22 (Call 12/15/21)^b		17,548		19,151,996
Targa Resources Partners LP/Targa Resources Partners Finance Corp.
5.38%, 02/01/27 (Call 02/01/22)^a,b		7,570		7,570,000
Targa Resources Partners LP/Targa Resources Partners Finance Corp.
4.13%, 11/15/19 (Call 12/01/16)		12,199		12,305,741


66		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.25%, 11/15/23 (Call 05/15/18)	$	9,574	$	9,073,235
5.13%, 02/01/25 (Call 02/01/20)^a,b		9,360		9,336,600
5.25%, 05/01/23 (Call 11/01/17)		11,730		11,769,100
6.75%, 03/15/24 (Call 09/15/19)^b		9,583		10,178,515
Tesoro Logistics LP/Tesoro Logistics Finance Corp.
5.50%, 10/15/19 (Call 09/15/19)		7,997		8,527,515
5.88%, 10/01/20 (Call 12/01/16)^b		7,930		8,151,888
6.13%, 10/15/21 (Call 11/16/16)^b		13,713		14,264,157
6.25%, 10/15/22 (Call 10/15/18)^b		13,554		14,411,595
6.38%, 05/01/24 (Call 05/01/19)^b		8,109		8,705,138
Williams Companies Inc. (The)
3.70%, 01/15/23 (Call 10/15/22)^b		16,321		15,790,567
4.55%, 06/24/24 (Call 03/24/24)^b		21,066		21,434,655

				637,769,352
REAL ESTATE — 0.17%
Realogy Group LLC/Realogy Co-Issuer Corp.
4.50%, 04/15/19^a,b		7,380		7,655,432
4.88%, 06/01/23 (Call 03/01/23)^a,b		8,566		8,583,845
5.25%, 12/01/21 (Call 12/01/17)^a,b		9,849		10,299,592

				26,538,869
REAL ESTATE INVESTMENT TRUSTS — 1.17%
Communications Sales & Leasing Inc./CSL Capital LLC
6.00%, 04/15/23 (Call 04/15/18)^a,b		9,656		10,044,654
8.25%, 10/15/23 (Call 04/15/19)^b		18,865		19,902,575


Security	Principal (000s)		Value
Equinix Inc.
5.88%, 01/15/26 (Call 01/15/21)^b	$	18,873	$	20,104,463
ESH Hospitality Inc.
5.25%, 05/01/25 (Call 05/01/20)^a,b		21,971		21,758,156
Iron Mountain Inc.
4.38%, 06/01/21 (Call 06/01/18)^a		7,869		8,124,743
6.00%, 10/01/20 (Call 10/01/17)^a,b		16,970		17,928,097
iStar Inc.
4.00%, 11/01/17 (Call 08/01/17)^b		9,545		9,549,338
5.00%, 07/01/19 (Call 12/01/16)^b		12,789		12,677,096
MGM Growth Properties Operating Partnership LP/MGP Finance Co-Issuer Inc.
4.50%, 09/01/26 (Call 06/01/26)^a		8,633		8,497,339
MPT Operating Partnership LP/MPT Finance Corp.
5.25%, 08/01/26 (Call 08/01/21)^b		7,868		8,025,360
6.38%, 03/01/24 (Call 03/01/19)^b		9,705		10,510,212
Vereit Operating Partnership LP
3.00%, 02/06/19 (Call 01/06/19)^b		12,957		13,073,798
4.13%, 06/01/21 (Call 05/01/21)^b		6,377		6,630,941
4.60%, 02/06/24 (Call 11/06/23)		8,650		8,952,750
4.88%, 06/01/26 (Call 03/01/26)^b		10,202		10,714,637

				186,494,159
RETAIL — 3.30%
1011778 BC ULC/New Red Finance Inc.
4.63%, 01/15/22 (Call 10/01/17)^a		20,819		21,473,812


SCHEDULESOF INVESTMENTS			67

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.00%, 04/01/22 (Call 10/01/17)^a,b	$	42,524	$	44,474,525
AmeriGas Finance LLC/AmeriGas Finance Corp.
7.00%, 05/20/22 (Call 05/20/17)^b		15,942		16,789,317
Claire’s Stores Inc.
9.00%, 03/15/19 (Call 12/01/16)^a		19,446		9,880,999
Dollar Tree Inc.
5.25%, 03/01/20 (Call 03/01/17)		12,422		12,853,369
5.75%, 03/01/23 (Call 03/01/18)^b		46,376		49,390,440
Ferrellgas LP/Ferrellgas Finance Corp.
6.50%, 05/01/21 (Call 12/01/16)^b		9,015		8,383,950
6.75%, 01/15/22 (Call 12/01/16)^b		8,484		7,953,750
6.75%, 06/15/23 (Call 06/15/19)		8,218		7,555,424
JC Penney Corp. Inc.
5.65%, 06/01/20^b		6,797		6,726,481
5.88%, 07/01/23 (Call 07/01/19)^a,b		7,820		8,062,746
8.13%, 10/01/19^b		6,315		6,874,328
KFC Holding Co/Pizza Hut Holdings LLC/Taco Bell of America LLC
5.00%, 06/01/24 (Call 06/01/19)^a,b		18,109		18,776,014
5.25%, 06/01/26 (Call 06/01/21)^a		18,992		19,739,810
L Brands Inc.
5.63%, 02/15/22^b		17,050		18,673,160
5.63%, 10/15/23^b		9,875		10,874,844
6.63%, 04/01/21^b		17,579		20,172,681
7.00%, 05/01/20		6,833		7,808,838
8.50%, 06/15/19^b		8,650		10,060,080
Michaels Stores Inc.
5.88%, 12/15/20 (Call 12/15/16)^a		7,655		7,865,513


Security	Principal (000s)		Value
Neiman Marcus Group Ltd. LLC
8.00%, 10/15/21 (Call 12/01/16)^a,b	$	16,764	$	13,830,300
Penske Automotive Group Inc.
5.50%, 05/15/26 (Call 05/15/21)^b		8,807		8,713,849
5.75%, 10/01/22 (Call 10/01/17)		9,194		9,525,193
QVC Inc.
3.13%, 04/01/19^b		6,840		7,000,051
4.38%, 03/15/23^b		13,166		13,194,869
4.45%, 02/15/25 (Call 11/15/24)^b		10,322		10,156,818
4.85%, 04/01/24		10,040		10,166,296
5.13%, 07/02/22^b		9,441		9,872,569
Rite Aid Corp.
6.13%, 04/01/23 (Call 04/01/18)^a,b		35,690		37,724,330
6.75%, 06/15/21 (Call 12/01/16)		12,900		13,512,750
9.25%, 03/15/20 (Call 12/01/16)^b		12,979		13,660,397
Sally Holdings LLC/Sally Capital Inc.
5.63%, 12/01/25 (Call 12/01/20)^b		12,859		13,775,590
5.75%, 06/01/22 (Call 06/01/17)^b		14,828		15,445,215
Suburban Propane Partners LP/Suburban Energy Finance Corp.
5.50%, 06/01/24 (Call 06/01/19)^b		9,572		9,779,712
Toys R Us Property Co. II LLC
8.50%, 12/01/17 (Call 11/03/16)		13,316		13,316,000
TRU Taj LLC/TRU Taj Finance Inc.
12.00%, 08/15/21 (Call 02/15/18)^a		11,656		11,961,970

				526,025,990
SEMICONDUCTORS — 1.56%
Advanced Micro Devices Inc.
7.00%, 07/01/24 (Call 07/01/19)		8,812		8,712,865


68		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.50%, 08/15/22	$	3,705	$	3,918,037
Micron Technology Inc.
5.25%, 08/01/23 (Call 02/01/18)^a		17,727		17,348,085
5.25%, 01/15/24 (Call 05/01/18)^a,b		9,696		9,495,010
5.50%, 02/01/25 (Call 08/01/19)^b		19,772		19,450,705
5.63%, 01/15/26 (Call 05/01/20)^a,b		8,200		7,986,800
5.88%, 02/15/22 (Call 02/15/17)^b		10,649		10,999,352
NXP BV/NXP Funding LLC
3.75%, 06/01/18^a		13,037		13,384,110
3.88%, 09/01/22^a		18,207		19,226,259
4.13%, 06/15/20^a,b		8,320		8,799,232
4.13%, 06/01/21^a		23,593		25,088,367
4.63%, 06/15/22^a		8,022		8,743,980
4.63%, 06/01/23^a		15,219		16,654,286
5.75%, 02/15/21 (Call 02/15/17)^a,b		8,097		8,410,759
5.75%, 03/15/23 (Call 03/15/18)^a,b		9,872		10,513,680
Qorvo Inc.
6.75%, 12/01/23 (Call 12/01/18)^b		7,926		8,619,525
7.00%, 12/01/25 (Call 12/01/20)^b		8,598		9,371,820
Sensata Technologies BV
4.88%, 10/15/23^a,b		8,800		9,132,200
5.00%, 10/01/25^a,b		12,771		13,122,202
5.63%, 11/01/24^a,b		7,940		8,422,355
Sensata Technologies UK Financing Co. PLC
6.25%, 02/15/26 (Call 02/15/21)^a,b		10,284		11,132,430

				248,532,059
SHIPBUILDING — 0.14%
Huntington Ingalls Industries Inc.
5.00%, 12/15/21 (Call 12/15/17)^a,b		10,325		10,841,043
5.00%, 11/15/25 (Call 11/15/20)^a,b		10,254		10,785,978

				21,627,021


Security	Principal (000s)		Value
SOFTWARE — 2.60%
BMC Software Finance Inc.
8.13%, 07/15/21 (Call 12/01/16)^a	$	28,952	$	26,491,080
First Data Corp.
5.00%, 01/15/24 (Call 01/15/19)^a,b		34,244		34,757,660
5.38%, 08/15/23 (Call 08/15/18)^a,b		22,367		23,062,981
5.75%, 01/15/24 (Call 01/15/19)^a,b		39,587		40,296,399
6.75%, 11/01/20 (Call 12/01/16)^a,b		18,852		19,532,557
7.00%, 12/01/23 (Call 12/01/18)^a,b		59,855		62,922,569
Inception Merger Sub Inc./Rackspace Hosting Inc.
8.63%, 11/15/24 (Call 11/15/19)^a		9,995		9,995,000
Infor U.S. Inc.
5.75%, 08/15/20 (Call 08/15/17)^a,b		8,640		9,059,236
6.50%, 05/15/22 (Call 05/15/18)^b		28,778		29,821,202
MSCI Inc.
4.75%, 08/01/26 (Call 08/01/21)^a,b		8,419		8,467,267
5.25%, 11/15/24 (Call 11/15/19)^a		14,570		15,298,500
5.75%, 08/15/25 (Call 08/15/20)^a,b		13,777		14,681,460
Nuance Communications Inc.
5.38%, 08/15/20 (Call 12/01/16)^a,b		17,393		17,838,783
Open Text Corp.
5.63%, 01/15/23 (Call 01/15/18)^a		13,250		13,755,090
5.88%, 06/01/26 (Call 06/01/21)^a,b		10,411		11,078,605
Quintiles IMS Inc.
5.00%, 10/15/26 (Call 10/15/21)^a		19,700		20,364,875


SCHEDULESOF INVESTMENTS			69

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Solera LLC/Solera Finance Inc.
10.50%, 03/01/24 (Call 03/01/19)^a	$	31,714	$	35,519,680
Veritas U.S. Inc./Veritas Bermuda Ltd.
7.50%, 02/01/23 (Call 02/01/19)^a		7,700		7,366,334
10.50%, 02/01/24 (Call 02/01/19)^a		15,121		14,112,933

				414,422,211
STORAGE & WAREHOUSING — 0.16%
Algeco Scotsman Global Finance PLC
8.50%, 10/15/18 (Call 12/01/16)^a		18,575		16,903,250
10.75%, 10/15/19 (Call 12/01/16)^a		12,550		8,026,394

				24,929,644
TELECOMMUNICATIONS — 12.72%
Altice Financing SA
6.50%, 01/15/22 (Call 12/15/16)^a		14,780		15,448,795
6.63%, 02/15/23 (Call 02/15/18)^a		34,724		35,787,596
7.50%, 05/15/26 (Call 05/15/21)^a,b		49,081		50,489,625
Altice Finco SA
8.13%, 01/15/24 (Call 12/15/18)^a,b		6,672		6,838,800
9.88%, 12/15/20 (Call 12/15/16)^a		7,550		7,929,286
Altice Luxembourg SA
7.63%, 02/15/25 (Call 02/15/20)^a,b		25,989		26,884,833
7.75%, 05/15/22 (Call 05/15/17)^a,b		48,625		50,721,953
Avaya Inc.
7.00%, 04/01/19 (Call 12/01/16)^a,b		18,393		14,873,332
10.50%, 03/01/21 (Call 03/01/17)^a,b		23,336		7,700,880
CenturyLink Inc.
5.63%, 04/01/25 (Call 01/01/25)^b		9,650		9,095,125


Security	Principal (000s)		Value
5.80%, 03/15/22^b	$	24,404	$	24,953,090
6.45%, 06/15/21^b		21,297		22,734,547
Series V
5.63%, 04/01/20^b		18,212		19,441,310
Series W
6.75%, 12/01/23^b		12,750		13,291,875
Series Y
7.50%, 04/01/24 (Call 01/01/24)^b		17,769		18,546,394
CommScope Inc.
4.38%, 06/15/20 (Call 06/15/17)^a,b		8,134		8,354,635
5.00%, 06/15/21 (Call 06/15/17)^a,b		12,375		12,724,594
5.50%, 06/15/24 (Call 06/15/19)^a		12,077		12,627,953
CommScope Technologies Finance LLC
6.00%, 06/15/25 (Call 06/15/20)^a,b		26,278		27,559,052
Frontier Communications Corp.
6.25%, 09/15/21 (Call 06/15/21)^b		13,090		12,520,719
6.88%, 01/15/25 (Call 10/15/24)		12,620		10,569,250
7.13%, 03/15/19^b		6,875		7,356,250
7.13%, 01/15/23		14,534		13,066,650
7.63%, 04/15/24^b		12,375		11,112,750
8.13%, 10/01/18^b		9,600		10,457,184
8.50%, 04/15/20^b		16,961		18,105,867
8.75%, 04/15/22^b		8,545		8,458,525
8.88%, 09/15/20 (Call 06/15/20)^b		16,890		17,956,181
9.25%, 07/01/21^b		8,350		8,818,321
10.50%, 09/15/22 (Call 06/15/22)^b		35,369		36,999,681
11.00%, 09/15/25 (Call 06/15/25)^b		67,809		69,080,419
Hughes Satellite Systems Corp.
5.25%, 08/01/26^a		13,266		13,037,432
6.50%, 06/15/19		17,112		18,694,860
6.63%, 08/01/26^a,b		13,970		13,797,348
7.63%, 06/15/21		15,605		17,069,049


70		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Inmarsat Finance PLC
4.88%, 05/15/22 (Call 05/15/17)^a	$	17,654	$	16,859,570
6.50%, 10/01/24 (Call 10/01/19)^a,b		7,100		7,187,641
Intelsat Jackson Holdings SA
5.50%, 08/01/23 (Call 08/01/18)		34,016		22,535,600
7.25%, 04/01/19 (Call 12/01/16)^b		25,303		20,400,544
7.25%, 10/15/20 (Call 12/01/16)^b		38,020		28,728,862
7.50%, 04/01/21 (Call 12/01/16)^b		20,720		15,229,200
8.00%, 02/15/24 (Call 02/15/19)^a,b		24,138		24,363,232
9.50%, 09/30/22^a		8,000		8,863,008
Intelsat Luxembourg SA
6.75%, 06/01/18 (Call 06/01/17)^b		8,483		5,853,270
7.75%, 06/01/21 (Call 06/01/17)^b		38,501		12,512,825
8.13%, 06/01/23 (Call 06/01/18)		17,932		5,872,730
Koninklijke KPN NV
VRN, (10 year USD Swap + 5.330%)
7.00%, 03/28/73 (Call 03/28/23)^a,b,c		10,210		11,179,950
Level 3 Communications Inc.
5.75%, 12/01/22 (Call 12/01/17)^b		10,035		10,375,047
Level 3 Financing Inc.
5.13%, 05/01/23 (Call 05/01/18)		11,690		11,847,545
5.25%, 03/15/26 (Call 03/15/21)^a		13,483		13,702,099
5.38%, 08/15/22 (Call 08/15/17)^b		16,555		17,051,650
5.38%, 01/15/24 (Call 01/15/19)		15,487		15,796,037
5.38%, 05/01/25 (Call 05/01/20)^b		14,115		14,397,300
5.63%, 02/01/23 (Call 02/01/18)^b		8,445		8,719,463


Security	Principal (000s)		Value
6.13%, 01/15/21 (Call 12/01/16)	$	8,290	$	8,571,860
Nokia OYJ
5.38%, 05/15/19		17,200		18,382,978
SoftBank Group Corp.
4.50%, 04/15/20^a,b		47,124		48,576,833
Sprint Communications Inc.
6.00%, 11/15/22		39,667		36,915,300
7.00%, 03/01/20^a		17,167		18,669,112
7.00%, 08/15/20		26,554		27,612,272
8.38%, 08/15/17		753		784,061
9.00%, 11/15/18^a		53,849		59,166,589
11.50%, 11/15/21		16,651		19,522,715
Sprint Corp.
7.13%, 06/15/24^b		44,906		42,211,640
7.25%, 09/15/21		40,510		41,460,284
7.63%, 02/15/25 (Call 11/15/24)^b		26,132		25,201,047
7.88%, 09/15/23		76,507		75,741,930
T-Mobile USA Inc.
5.25%, 09/01/18 (Call 11/14/16)^b		8,450		8,566,452
6.00%, 03/01/23 (Call 09/01/18)		22,465		23,644,412
6.00%, 04/15/24 (Call 04/15/19)		18,316		19,463,087
6.13%, 01/15/22 (Call 01/15/18)^b		16,803		17,760,319
6.25%, 04/01/21 (Call 04/01/17)^b		30,622		31,961,712
6.38%, 03/01/25 (Call 09/01/19)^b		31,283		33,625,055
6.46%, 04/28/19 (Call 11/14/16)		15,857		16,094,855
6.50%, 01/15/24 (Call 01/15/19)^b		17,100		18,318,375
6.50%, 01/15/26 (Call 01/15/21)^b		35,171		38,616,443
6.54%, 04/28/20 (Call 11/14/16)		23,827		24,571,594
6.63%, 11/15/20 (Call 11/14/16)		16,999		17,477,799
6.63%, 04/28/21 (Call 04/28/17)^b		21,067		22,054,511


SCHEDULESOF INVESTMENTS			71

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.63%, 04/01/23 (Call 04/01/18)	$	30,494	$	32,399,875
6.73%, 04/28/22 (Call 04/28/17)		21,291		22,302,322
6.84%, 04/28/23 (Call 04/28/18)		10,208		10,902,144
Telecom Italia Capital SA
7.00%, 06/04/18^b		11,787		12,685,759
7.18%, 06/18/19^b		11,653		13,104,611
Telecom Italia SpA/Milano
5.30%, 05/30/24^a,b		28,370		28,791,314
UPCB Finance IV Ltd.
5.38%, 01/15/25 (Call 01/15/20)^a		20,545		20,750,450
UPCB Finance VI Ltd.
6.88%, 01/15/22 (Call 01/15/17)^a,b		7,438		7,735,390
Virgin Media Finance PLC
5.75%, 01/15/25 (Call 01/15/20)^a		7,005		6,960,545
6.00%, 10/15/24 (Call 10/15/19)^a		9,100		9,270,625
6.38%, 04/15/23 (Call 04/15/18)^a,b		8,677		8,872,233
Virgin Media Secured Finance PLC
5.25%, 01/15/21^b		8,122		8,661,255
5.25%, 01/15/26 (Call 01/15/20)^a,b		15,995		15,875,038
5.38%, 04/15/21 (Call 04/15/17)^a,b		13,921		14,443,245
5.50%, 01/15/25 (Call 01/15/19)^a,b		7,872		8,042,232
West Corp.
4.75%, 07/15/21 (Call 07/15/18)^a,b		6,600		6,757,842
5.38%, 07/15/22 (Call 07/15/17)^a,b		16,977		16,340,362
Wind Acquisition Finance SA
4.75%, 07/15/20 (Call 12/01/16)^a,b		34,409		34,495,022
6.50%, 04/30/20 (Call 12/01/16)^a,b		11,264		11,728,640


Security	Principal or Shares (000s)		Value
7.38%, 04/23/21 (Call 04/23/17)^a,b	$	50,347	$	51,495,415	��
Windstream Services LLC
6.38%, 08/01/23 (Call 02/01/18)		9,803		8,700,163
7.50%, 06/01/22 (Call 06/01/17)^b		7,819		7,439,792
7.50%, 04/01/23 (Call 12/01/16)^b		1,223		1,146,563
7.75%, 10/15/20 (Call 12/01/16)^b		11,851		12,047,915
7.75%, 10/01/21 (Call 12/01/16)^b		14,034		13,882,184

				2,024,381,905
TRANSPORTATION — 0.36%
Florida East Coast Holdings Corp.
6.75%, 05/01/19 (Call 12/01/16)^a,b		14,385		14,530,289
Navios Maritime Holdings Inc./Navios Maritime Finance II U.S. Inc.
7.38%, 01/15/22 (Call 01/15/17)^a		10,242		5,351,445
XPO Logistics Inc.
6.13%, 09/01/23 (Call 09/01/19)^a		8,380		8,592,293
6.50%, 06/15/22 (Call 06/15/18)^a,b		28,349		29,376,651

				57,850,678


TOTAL CORPORATE BONDS & NOTES
(Cost: $15,910,125,171)				15,505,115,141

SHORT-TERM INVESTMENTS — 29.84%

MONEY MARKET FUNDS — 29.84%
BlackRock Cash Funds: Institutional,
SL Agency Shares
0.72%^e,f,g		4,518,260		4,518,712,300


72		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

October 31, 2016


Security	Shares (000s)		Value
BlackRock Cash Funds: Treasury,
SL Agency Shares
0.29%^e,f	$	231,365	$	231,364,816

				4,750,077,116

TOTAL SHORT-TERM INVESTMENTS
(Cost: $4,749,625,290)				4,750,077,116

TOTAL INVESTMENTS IN SECURITIES — 127.24%
(Cost: $20,659,750,461)^h				20,255,192,257
Other Assets, Less Liabilities — (27.24)%				(4,336,375,138	)

NET ASSETS — 100.00%			$	15,918,817,119

VRN — Variable Rate Note

^a	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^b	All or a portion of this security represents a security on loan.

^c	Variable rate security. Rate shown is as of report date.

^d	Step coupon security. Coupon rate will either increase (step-up bond) or decrease (step-down bond) at regular intervals until maturity. Interest rate shown reflects the rate currently in effect.

^e	Affiliated money market fund.

^f	The rate quoted is the annualized seven-day yield of the fund at period end.

^g	All or a portion of this security represents an investment of securities lending collateral.

^h	The cost of investments for federal income tax purposes was $20,661,349,133. Net unrealized depreciation was $406,156,876, of which $122,673,684 represented gross unrealized appreciation on securities and $528,830,560 represented gross unrealized depreciation on securities.

Schedule 1 — Fair Value Measurements

Various inputs are used in determining the fair value of financial instruments. For description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to a recently published shareholder report. Shareholder reports are available on the Fund’s website at www.iShares.com and on the U.S. Securities and Exchange Commission website at www.sec.gov.


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Corporate bonds & notes	$	—	$	15,505,115,141	$	—	$	15,505,115,141
Money market funds		4,750,077,116		—		—		4,750,077,116

Total	$	4,750,077,116	$	15,505,115,141	$	—	$	20,255,192,257


SCHEDULESOF INVESTMENTS			73

Schedule of Investments (Unaudited)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 98.80%

ADVERTISING — 0.25%
Omnicom Group Inc.
3.60%, 04/15/26 (Call 01/15/26)	$	15,100	$	15,682,848
3.63%, 05/01/22		16,694		17,753,274
3.65%, 11/01/24 (Call 08/01/24)		11,508		12,060,347
4.45%, 08/15/20		9,690		10,514,740
WPP Finance 2010
3.75%, 09/19/24^a		7,675		8,029,664
4.75%, 11/21/21^a		11,560		12,883,832

				76,924,705
AEROSPACE & DEFENSE — 1.15%
Boeing Co. (The)
4.88%, 02/15/20^a		9,049		10,009,202
General Dynamics Corp.
2.25%, 11/15/22 (Call 08/15/22)		11,755		11,903,511
L-3 Communications Corp.
4.75%, 07/15/20		9,868		10,708,744
Lockheed Martin Corp.
2.50%, 11/23/20 (Call 10/23/20)^a		15,935		16,325,544
2.90%, 03/01/25 (Call 12/01/24)^a		10,190		10,333,585
3.35%, 09/15/21		12,669		13,450,898
3.55%, 01/15/26 (Call 10/15/25)		22,550		23,918,974
3.80%, 03/01/45 (Call 09/01/44)		9,830		9,730,652
4.07%, 12/15/42		16,044		16,459,867
4.25%, 11/15/19		8,143		8,789,825
4.70%, 05/15/46 (Call 11/15/45)^a		24,030		27,267,305
Northrop Grumman Corp.
3.25%, 08/01/23^a		12,883		13,579,191
4.75%, 06/01/43^a		13,408		15,253,983
Raytheon Co.
2.50%, 12/15/22 (Call 09/15/22)		12,549		12,866,856
3.13%, 10/15/20^a		12,342		12,982,339


Security	Principal (000s)		Value
United Technologies Corp.
2.65%, 11/01/26 (Call 08/01/26)	$	4,160	$	4,161,705
3.10%, 06/01/22		23,156		24,365,716
3.75%, 11/01/46 (Call 05/01/46)		5,000		4,973,350
4.15%, 05/15/45 (Call 11/16/44)^a		8,150		8,570,520
4.50%, 04/15/20		16,074		17,603,801
4.50%, 06/01/42		39,969		43,667,032
5.70%, 04/15/40^a		13,169		16,710,496
6.13%, 07/15/38^a		13,191		17,344,174

				350,977,270
AGRICULTURE — 1.28%
Altria Group Inc.
2.63%, 01/14/20 (Call 12/14/19)		10,390		10,672,665
2.63%, 09/16/26 (Call 03/16/26)^a		1,365		1,353,220
2.85%, 08/09/22		22,220		22,890,520
3.88%, 09/16/46 (Call 03/16/46)		3,000		2,952,471
4.00%, 01/31/24		18,832		20,638,742
4.25%, 08/09/42		17,077		17,760,712
4.75%, 05/05/21		23,146		25,822,534
5.38%, 01/31/44		24,052		29,238,831
Philip Morris International Inc.
1.88%, 02/25/21 (Call 01/25/21)^a		8,115		8,106,511
2.50%, 08/22/22^a		9,370		9,525,193
2.75%, 02/25/26 (Call 11/25/25)		11,700		11,794,724
2.90%, 11/15/21^a		14,866		15,472,878
3.25%, 11/10/24		14,409		15,134,276
3.38%, 08/11/25 (Call 05/11/25)^a		3,450		3,656,681
3.88%, 08/21/42^a		7,286		7,208,449
4.13%, 03/04/43		8,339		8,543,326
4.25%, 11/10/44^a		15,206		15,933,999
4.38%, 11/15/41^a		12,686		13,454,183
4.50%, 03/26/20^a		13,864		15,128,290
4.88%, 11/15/43		6,961		7,932,115
6.38%, 05/16/38^a		18,146		24,434,095


74		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Reynolds American Inc.
3.25%, 06/12/20	$	7,971	$	8,294,241
4.00%, 06/12/22		8,999		9,685,249
4.45%, 06/12/25 (Call 03/12/25)		33,049		36,276,565
5.70%, 08/15/35 (Call 02/15/35)^a		9,900		11,908,472
5.85%, 08/15/45 (Call 02/15/45)		28,518		35,638,525

				389,457,467
APPAREL — 0.08%
NIKE Inc.
2.38%, 11/01/26 (Call 08/01/26)		13,500		13,359,195
3.88%, 11/01/45 (Call 05/01/45)		10,800		11,365,232

				24,724,427
AUTO MANUFACTURERS — 2.18%
American Honda Finance Corp.
1.70%, 09/09/21		11,685		11,539,302
2.45%, 09/24/20^a		9,600		9,819,680
Daimler Finance North America LLC
8.50%, 01/18/31^a		17,116		27,396,681
Ford Motor Co.
4.75%, 01/15/43^a		20,148		20,126,865
7.45%, 07/16/31^a		21,619		28,244,545
Ford Motor Credit Co. LLC
2.60%, 11/04/19^a		15,591		15,750,201
3.10%, 05/04/23^a		10,500		10,480,495
3.16%, 08/04/20^a		19,700		20,165,377
3.20%, 01/15/21^a		13,255		13,493,579
3.22%, 01/09/22		12,900		13,108,762
3.34%, 03/18/21^a		21,648		22,235,358
3.66%, 09/08/24		9,425		9,541,648
4.13%, 08/04/25^a		17,750		18,390,842
4.25%, 09/20/22		15,945		16,965,242
4.38%, 08/06/23^a		14,696		15,628,833
4.39%, 01/08/26^a		12,800		13,486,323
5.75%, 02/01/21		13,920		15,576,718
5.88%, 08/02/21		18,964		21,452,407
8.13%, 01/15/20		18,071		21,187,395
General Motors Co.
4.88%, 10/02/23^a		13,285		14,271,033


Security	Principal (000s)		Value
5.00%, 04/01/35	$	10,935	$	11,105,447
5.20%, 04/01/45		14,919		15,122,143
6.25%, 10/02/43		25,715		29,448,679
6.60%, 04/01/36 (Call 10/01/35)		15,450		18,183,959
6.75%, 04/01/46 (Call 10/01/45)		8,455		10,315,945
General Motors Financial Co. Inc.
3.15%, 01/15/20 (Call 12/15/19)		19,640		20,040,077
3.20%, 07/13/20 (Call 06/13/20)^a		19,753		20,045,897
3.20%, 07/06/21 (Call 06/06/21)^a		4,700		4,754,490
3.45%, 04/10/22 (Call 02/10/22)		19,831		20,006,479
3.70%, 11/24/20 (Call 10/24/20)		19,760		20,413,463
3.70%, 05/09/23 (Call 03/09/23)^a		12,675		12,793,448
4.00%, 01/15/25 (Call 10/15/24)^a		14,570		14,609,147
4.00%, 10/06/26 (Call 07/06/26)		3,000		2,996,250
4.20%, 03/01/21 (Call 02/01/21)^a		21,790		22,896,034
4.30%, 07/13/25 (Call 04/13/25)^a		9,410		9,625,066
4.38%, 09/25/21^a		11,750		12,466,368
5.25%, 03/01/26 (Call 12/01/25)^a		12,880		14,012,119
Toyota Motor Credit Corp.
1.90%, 04/08/21		18,836		18,883,964
2.15%, 03/12/20^a		14,966		15,354,411
3.30%, 01/12/22^a		10,900		11,595,223
3.40%, 09/15/21		14,002		14,965,100
Series B
4.50%, 06/17/20		6,104		6,687,458

				665,182,453
BANKS — 26.66%
Australia & New Zealand Banking Group Ltd./New York NY
2.30%, 06/01/21		15,750		15,892,397


SCHEDULESOF INVESTMENTS			75

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.70%, 11/16/20^a	$	13,100	$	13,446,964
3.70%, 11/16/25^a		11,500		12,397,989
Banco Bilbao Vizcaya Argentaria SA
3.00%, 10/20/20^a		13,300		13,666,166
Bank of America Corp.
2.50%, 10/21/22 (Call 10/21/21)		15,440		15,426,413
2.63%, 10/19/20		31,900		32,413,392
2.63%, 04/19/21^a		25,150		25,484,797
3.25%, 10/21/27 (Call 10/21/26)		12,935		12,953,887
3.30%, 01/11/23^a		53,511		54,994,004
3.50%, 04/19/26^a		33,175		34,056,841
3.88%, 08/01/25^a		44,629		47,029,563
4.00%, 04/01/24^a		24,544		26,226,189
4.00%, 01/22/25^a		33,150		34,075,044
4.10%, 07/24/23		28,576		30,680,397
4.13%, 01/22/24		31,863		34,194,416
4.20%, 08/26/24		42,027		43,975,960
4.25%, 10/22/26^a		31,818		33,381,082
4.45%, 03/03/26^a		22,220		23,666,842
4.88%, 04/01/44^a		15,582		17,605,274
5.00%, 05/13/21		26,520		29,412,091
5.00%, 01/21/44		24,870		28,173,365
5.63%, 07/01/20		38,695		43,242,313
5.70%, 01/24/22		19,973		23,037,779
5.88%, 01/05/21^a		18,570		21,141,991
5.88%, 02/07/42^a		20,365		25,807,172
6.11%, 01/29/37		30,334		36,738,882
7.75%, 05/14/38		24,777		35,003,427
Series L
2.25%, 04/21/20^a		21,035		21,121,776
3.95%, 04/21/25^a		35,144		36,024,396
Bank of America N.A.
6.00%, 10/15/36		12,865		16,191,167
Bank of Montreal
1.90%, 08/27/21		27,836		27,588,705
2.55%, 11/06/22 (Call 10/06/22)		11,243		11,387,419
Bank of New York Mellon Corp. (The)
2.05%, 05/03/21 (Call 04/03/21)		150		150,316


Security	Principal (000s)		Value
2.20%, 08/16/23 (Call 06/16/23)	$	13,850	$	13,621,145
2.45%, 11/27/20 (Call 10/27/20)		15,705		15,994,093
2.45%, 08/17/26 (Call 05/17/26)^a		10,500		10,272,029
2.50%, 04/15/21 (Call 03/15/21)		15,800		16,109,366
2.60%, 08/17/20 (Call 07/17/20)		12,816		13,141,051
2.80%, 05/04/26 (Call 02/04/26)		9,525		9,607,247
3.00%, 02/24/25 (Call 01/24/25)^a		7,410		7,622,588
3.55%, 09/23/21 (Call 08/23/21)		17,942		19,134,519
3.65%, 02/04/24 (Call 01/05/24)		12,076		12,949,761
Series G
2.15%, 02/24/20 (Call 01/24/20)^a		16,781		16,989,564
Bank of Nova Scotia (The)
2.35%, 10/21/20		12,000		12,185,917
2.45%, 03/22/21		17,125		17,402,048
2.80%, 07/21/21^a		19,151		19,748,496
4.38%, 01/13/21^a		4,074		4,451,511
4.50%, 12/16/25^a		8,600		9,040,010
Barclays Bank PLC
5.14%, 10/14/20		10,484		11,303,241
Barclays PLC
2.75%, 11/08/19^a		16,850		16,992,881
2.88%, 06/08/20^a		17,050		17,173,009
3.20%, 08/10/21		7,450		7,496,066
3.25%, 01/12/21		20,700		20,959,816
3.65%, 03/16/25^a		37,915		37,195,620
4.38%, 09/11/24^a		22,335		22,420,224
4.38%, 01/12/26^a		34,976		36,010,160
5.20%, 05/12/26^a		12,300		12,647,352
5.25%, 08/17/45^a		20,184		21,982,867
BB&T Corp.
2.05%, 05/10/21 (Call 04/09/21)^a		11,450		11,478,466
2.45%, 01/15/20 (Call 12/15/19)		10,100		10,311,598


76		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.63%, 06/29/20 (Call 05/29/20)	$	16,226	$	16,646,422
BNP Paribas SA
2.38%, 05/21/20		21,895		22,151,817
4.25%, 10/15/24^a		14,230		14,653,029
5.00%, 01/15/21		32,158		35,710,514
BNP Paribas/BNP Paribas U.S. Medium-Term Note Program LLC
3.25%, 03/03/23^a		8,774		9,134,875
BPCE SA
2.25%, 01/27/20^a		15,750		15,909,995
2.65%, 02/03/21^a		3,250		3,330,906
4.00%, 04/15/24^a		20,300		21,985,933
Branch Banking & Trust Co.
3.63%, 09/16/25 (Call 08/16/25)		12,270		12,936,025
3.80%, 10/30/26 (Call 09/30/26)		14,425		15,421,899
Capital One Financial Corp.
3.20%, 02/05/25 (Call 01/05/25)^a		18,250		18,381,597
3.50%, 06/15/23^a		12,512		12,942,953
3.75%, 04/24/24 (Call 03/24/24)^a		16,750		17,512,127
3.75%, 07/28/26 (Call 06/28/26)^a		9,700		9,644,575
4.20%, 10/29/25 (Call 09/29/25)^a		15,407		15,996,800
4.75%, 07/15/21		11,039		12,150,276
Capital One N.A./Mclean VA
2.95%, 07/23/21 (Call 06/23/21)		16,740		17,166,415
Capital One NA/Mclean VA
2.25%, 09/13/21 (Call 08/13/21)		9,350		9,305,501
Citigroup Inc.
2.35%, 08/02/21^a		14,500		14,500,203
2.40%, 02/18/20^a		21,072		21,283,913
2.65%, 10/26/20^a		33,600		34,095,886
2.70%, 03/30/21		28,040		28,467,487
3.20%, 10/21/26 (Call 07/21/26)		10,000		9,987,800
3.30%, 04/27/25		17,959		18,235,709


Security	Principal (000s)		Value
3.40%, 05/01/26^a	$	27,758	$	28,199,932
3.50%, 05/15/23^a		19,669		20,160,798
3.70%, 01/12/26^a		29,025		30,181,614
3.75%, 06/16/24		1,681		1,770,309
3.88%, 10/25/23		16,611		17,643,585
3.88%, 03/26/25^a		15,119		15,457,874
4.00%, 08/05/24^a		15,488		15,998,114
4.05%, 07/30/22		11,256		11,881,366
4.13%, 07/25/28^a		15,300		15,659,201
4.30%, 11/20/26^a		15,245		15,905,634
4.40%, 06/10/25		32,269		34,056,006
4.45%, 09/29/27^a		44,245		46,501,384
4.50%, 01/14/22		36,279		39,806,335
4.60%, 03/09/26		19,715		21,051,338
4.65%, 07/30/45		11,594		12,685,215
4.75%, 05/18/46		11,750		12,097,310
5.30%, 05/06/44		13,200		14,561,270
5.38%, 08/09/20^a		17,850		19,884,054
5.50%, 09/13/25		13,964		15,652,788
5.88%, 01/30/42		14,910		18,783,889
6.63%, 06/15/32		13,750		16,779,856
6.68%, 09/13/43^a		13,303		17,063,153
8.13%, 07/15/39		18,533		28,216,828
Citizens Bank N.A./Providence RI
2.45%, 12/04/19 (Call 11/04/19)		1,500		1,520,664
2.55%, 05/13/21 (Call 04/13/21)^a		7,550		7,645,353
Citizens Financial Group Inc.
4.30%, 12/03/25 (Call 11/03/25)^a		10,253		10,652,980
Commonwealth Bank of Australia/New York NY
2.30%, 03/12/20^a		16,109		16,306,047
2.40%, 11/02/20^a		8,580		8,707,943
2.55%, 03/15/21^a		12,835		13,076,023
Cooperatieve Rabobank UA
3.75%, 07/21/26^a		3,800		3,806,086
3.88%, 02/08/22^a		35,300		38,133,439
3.95%, 11/09/22		27,040		28,242,912
4.38%, 08/04/25^a		22,734		23,884,495
4.50%, 01/11/21^a		12,335		13,537,407
4.63%, 12/01/23^a		19,804		21,283,010


SCHEDULESOF INVESTMENTS			77

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.25%, 05/24/41	$	11,708	$	14,317,334
5.25%, 08/04/45^a		20,375		22,922,696
5.75%, 12/01/43^a		14,978		18,032,125
Cooperatieve Rabobank UA/NY
2.25%, 01/14/20		14,250		14,463,619
2.50%, 01/19/21		38,300		39,035,237
3.38%, 05/21/25^a		15,952		16,811,658
Credit Suisse AG/New York NY
3.00%, 10/29/21^a		20,795		21,291,408
3.63%, 09/09/24^a		32,625		33,805,108
4.38%, 08/05/20^a		16,155		17,405,754
5.40%, 01/14/20		11,511		12,493,645
Credit Suisse Group Funding Guernsey Ltd.
2.75%, 03/26/20^a		24,400		24,427,069
3.13%, 12/10/20^b		1,000		1,010,017
3.13%, 12/10/20		28,450		28,628,120
3.45%, 04/16/21^a,b		20,850		21,211,862
3.75%, 03/26/25^a		32,800		32,475,211
3.80%, 09/15/22^a		23,303		23,686,943
3.80%, 06/09/23^a,b		1,250		1,260,930
4.55%, 04/17/26^a,b		36,500		38,229,458
4.88%, 05/15/45^a		29,900		31,385,285
Deutsche Bank AG
2.95%, 08/20/20		12,650		12,363,027
3.13%, 01/13/21		5,480		5,335,703
3.38%, 05/12/21^a		21,200		20,859,009
4.10%, 01/13/26		1,480		1,444,444
4.50%, 04/01/25^a		18,530		17,256,744
Deutsche Bank AG/London
3.70%, 05/30/24^a		14,304		13,675,368
Discover Bank/Greenwood DE
3.10%, 06/04/20 (Call 05/04/20)		16,630		17,071,656
3.20%, 08/09/21 (Call 07/09/21)^a		12,494		12,829,755
3.45%, 07/27/26 (Call 04/27/26)		6,150		6,151,228
4.20%, 08/08/23^a		17,295		18,562,839
Fifth Third Bancorp.
2.88%, 07/27/20 (Call 06/27/20)^a		11,823		12,201,607
4.30%, 01/16/24 (Call 12/16/23)		9,205		9,814,278


Security	Principal (000s)		Value
8.25%, 03/01/38	$	11,898	$	17,193,023
Fifth Third Bank/Cincinnati OH
2.25%, 06/14/21 (Call 05/14/21)^a		1,100		1,110,891
2.88%, 10/01/21 (Call 09/01/21)^a		17,200		17,824,167
3.85%, 03/15/26 (Call 02/15/26)		14,950		15,677,234
Goldman Sachs Group Inc. (The)
2.35%, 11/15/21 (Call 11/15/20)^a		14,490		14,404,266
2.55%, 10/23/19		7,294		7,436,916
2.60%, 04/23/20 (Call 03/23/20)		25,602		26,041,663
2.63%, 04/25/21 (Call 03/25/21)^a		14,740		14,888,360
2.75%, 09/15/20 (Call 08/15/20)^a		27,825		28,408,972
2.88%, 02/25/21 (Call 01/25/21)^a		13,930		14,245,350
3.50%, 01/23/25 (Call 10/23/24)^a		31,116		31,850,045
3.63%, 01/22/23^a		27,887		29,241,084
3.75%, 05/22/25 (Call 02/22/25)^a		30,373		31,582,571
3.75%, 02/25/26 (Call 11/25/25)^a		23,175		24,220,656
3.85%, 07/08/24 (Call 04/08/24)^a		23,028		24,262,492
4.00%, 03/03/24^a		39,319		41,903,371
4.25%, 10/21/25^a		25,995		27,176,753
4.75%, 10/21/45 (Call 04/21/45)		19,630		21,506,432
4.80%, 07/08/44 (Call 01/08/44)		18,481		20,215,582
5.15%, 05/22/45^a		23,075		24,896,637
5.25%, 07/27/21		48,515		54,469,120
5.38%, 03/15/20^a		35,348		39,093,750
5.75%, 01/24/22^a		49,387		57,048,356
5.95%, 01/15/27		12,616		14,785,627
6.00%, 06/15/20^a		22,921		25,924,096
6.13%, 02/15/33^a		31,496		38,984,448
6.25%, 02/01/41		32,660		41,812,325


78		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.45%, 05/01/36	$	22,511	$	27,365,153
6.75%, 10/01/37		66,435		83,745,808
HSBC Bank USA N.A./New York NY
4.88%, 08/24/20^a		20,935		22,579,886
5.63%, 08/15/35		9,763		11,365,396
5.88%, 11/01/34^a		8,250		9,850,423
HSBC Holdings PLC
2.65%, 01/05/22^a		6,135		6,097,209
2.95%, 05/25/21^a		37,575		38,114,630
3.40%, 03/08/21^a		34,455		35,561,922
3.60%, 05/25/23^a		29,275		30,210,380
3.90%, 05/25/26		35,450		36,627,075
4.00%, 03/30/22^a		33,625		35,613,431
4.25%, 03/14/24^a		15,914		16,302,349
4.25%, 08/18/25^a		18,350		18,809,130
4.30%, 03/08/26		36,020		38,247,920
4.88%, 01/14/22		5,702		6,256,600
5.10%, 04/05/21		29,664		32,625,787
5.25%, 03/14/44^a		33,159		36,349,214
6.10%, 01/14/42^a		8,918		11,540,107
6.50%, 05/02/36^a		27,758		34,658,395
6.50%, 09/15/37		29,989		37,533,426
6.80%, 06/01/38^a		12,310		15,889,653
HSBC USA Inc.
2.35%, 03/05/20		19,418		19,489,460
2.38%, 11/13/19		13,150		13,258,027
2.75%, 08/07/20^a		20,570		20,911,143
3.50%, 06/23/24^a		11,300		11,646,301
5.00%, 09/27/20^a		13,390		14,415,059
Huntington Bancshares Inc./OH
2.30%, 01/14/22 (Call 12/14/21)		17,500		17,336,599
3.15%, 03/14/21 (Call 02/14/21)^a		6,075		6,268,661
Intesa Sanpaolo SpA
5.25%, 01/12/24^a		15,962		17,224,768
JPMorgan Chase & Co.
2.20%, 10/22/19^a		25,206		25,560,006
2.25%, 01/23/20 (Call 12/23/19)		41,458		41,820,347
2.30%, 08/15/21 (Call 08/15/20)^a		3,800		3,799,311
2.40%, 06/07/21 (Call 05/07/21)^a		6,050		6,093,680


Security	Principal (000s)		Value
2.55%, 10/29/20 (Call 09/29/20)	$	27,865	$	28,269,073
2.55%, 03/01/21 (Call 02/01/21)^a		31,250		31,707,122
2.70%, 05/18/23 (Call 03/18/23)		29,925		29,964,713
2.75%, 06/23/20 (Call 05/23/20)		25,674		26,269,953
2.95%, 10/01/26 (Call 07/01/26)^a		19,390		19,196,212
3.13%, 01/23/25 (Call 10/23/24)^a		35,979		36,175,460
3.20%, 01/25/23^a		17,343		17,898,266
3.20%, 06/15/26 (Call 03/15/26)^a		10,400		10,500,977
3.25%, 09/23/22^a		40,419		41,885,232
3.30%, 04/01/26 (Call 01/01/26)		40,605		41,351,896
3.38%, 05/01/23^a		26,368		26,957,549
3.63%, 05/13/24^a		29,309		30,806,590
3.88%, 02/01/24^a		27,373		29,262,952
3.88%, 09/10/24		38,080		39,674,524
3.90%, 07/15/25 (Call 04/15/25)		37,059		39,440,845
4.13%, 12/15/26^a		11,750		12,396,117
4.25%, 10/15/20^a		35,475		38,239,758
4.25%, 10/01/27^a		17,600		18,745,718
4.35%, 08/15/21		35,815		39,043,626
4.40%, 07/22/20^a		28,868		31,195,283
4.50%, 01/24/22		45,229		49,837,772
4.63%, 05/10/21		26,637		29,239,547
4.85%, 02/01/44^a		13,664		15,867,759
4.95%, 03/25/20		23,173		25,347,744
4.95%, 06/01/45^a		13,228		14,527,101
5.40%, 01/06/42^a		17,641		21,363,099
5.50%, 10/15/40		20,261		24,710,303
5.60%, 07/15/41		18,071		22,371,103
5.63%, 08/16/43		19,662		23,119,050
6.40%, 05/15/38		21,878		29,484,228
KeyBank N.A./Cleveland OH
2.25%, 03/16/20^a		20,050		20,299,406
2.50%, 12/15/19		8,500		8,684,487
3.30%, 06/01/25		2,550		2,644,144


SCHEDULESOF INVESTMENTS			79

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
KeyCorp
2.90%, 09/15/20^a	$	11,100	$	11,458,235
5.10%, 03/24/21^a		20,400		22,853,182
Lloyds Bank PLC
2.40%, 03/17/20		17,400		17,658,569
2.70%, 08/17/20^a		7,350		7,557,793
3.50%, 05/14/25^a		21,900		23,216,847
6.38%, 01/21/21^a		7,486		8,743,143
Lloyds Banking Group PLC
3.10%, 07/06/21^a		6,500		6,685,693
4.50%, 11/04/24		14,850		15,336,952
4.58%, 12/10/25^a,b		15,626		15,891,642
4.65%, 03/24/26^a		21,753		22,385,314
5.30%, 12/01/45^a,b		10,400		10,920,084
Manufacturers & Traders Trust Co.
2.10%, 02/06/20 (Call 01/06/20)		8,650		8,708,594
2.90%, 02/06/25 (Call 01/06/25)		13,600		13,685,957
Mitsubishi UFJ Financial Group Inc.
2.19%, 09/13/21		19,250		19,089,409
2.76%, 09/13/26		10,000		9,818,061
2.95%, 03/01/21		36,050		36,964,387
3.85%, 03/01/26		39,700		42,559,583
Mizuho Financial Group Inc.
2.27%, 09/13/21		12,350		12,277,071
2.84%, 09/13/26^a		12,000		11,876,286
Morgan Stanley
2.50%, 04/21/21^a		27,685		27,897,349
2.65%, 01/27/20		27,252		27,716,298
2.80%, 06/16/20^a		29,045		29,700,845
3.13%, 07/27/26^a		26,050		26,013,678
3.70%, 10/23/24		38,360		40,169,161
3.75%, 02/25/23^a		28,308		29,841,071
3.88%, 01/27/26^a		42,796		45,027,726
3.95%, 04/23/27^a		25,915		26,655,907
4.00%, 07/23/25^a		38,650		41,175,944
4.10%, 05/22/23^a		26,399		27,795,856
4.30%, 01/27/45^a		27,724		29,071,924
4.35%, 09/08/26		37,129		39,333,085
4.88%, 11/01/22		26,893		29,535,783


Security	Principal (000s)		Value
5.00%, 11/24/25^a	$	26,149	$	28,895,152
5.50%, 01/26/20^a		25,627		28,250,275
5.50%, 07/24/20		7,141		7,946,775
5.50%, 07/28/21		30,005		34,091,897
5.75%, 01/25/21		35,018		39,691,614
6.38%, 07/24/42^a		26,409		35,270,236
7.25%, 04/01/32		13,848		18,914,112
Series F
3.88%, 04/29/24		36,159		38,207,624
National Australia Bank Ltd./New York
1.88%, 07/12/21		8,000		7,917,835
2.50%, 07/12/26^a		2,700		2,623,171
2.63%, 07/23/20^a		18,550		18,981,926
2.63%, 01/14/21		19,800		20,233,628
3.00%, 01/20/23^a		14,039		14,409,593
3.38%, 01/14/26		5,775		6,015,076
Northern Trust Corp.
3.95%, 10/30/25		6,400		6,950,782
PNC Bank N.A.
2.15%, 04/29/21 (Call 03/30/21)^a,c		15,750		15,889,389
2.30%, 06/01/20 (Call 05/02/20)^a,c		3,850		3,913,832
2.40%, 10/18/19 (Call 09/18/19)^c		5,750		5,874,190
2.45%, 11/05/20 (Call 10/06/20)^c		11,100		11,320,272
2.60%, 07/21/20 (Call 06/21/20)^c		12,330		12,645,585
2.70%, 11/01/22 (Call 10/01/22)^a,c		13,487		13,594,588
2.95%, 01/30/23 (Call 12/30/22)^c		8,300		8,427,370
2.95%, 02/23/25 (Call 01/24/25)^c		17,500		17,810,438
3.25%, 06/01/25 (Call 05/02/25)^c		6,750		7,021,352
3.80%, 07/25/23 (Call 06/25/23)^c		10,153		10,858,716
PNC Financial Services Group Inc. (The)
3.30%, 03/08/22 (Call 02/06/22)^c		12,319		13,024,985


80		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.90%, 04/29/24 (Call 03/29/24)^c	$	9,990	$	10,594,822
4.38%, 08/11/20^c		10,774		11,723,417
5.13%, 02/08/20^a,c		4,565		5,029,522
Royal Bank of Canada
2.15%, 03/06/20		12,000		12,140,162
2.35%, 10/30/20^a		21,265		21,596,317
2.50%, 01/19/21^a		17,760		18,214,223
4.65%, 01/27/26^a		14,000		15,166,767
Royal Bank of Scotland Group PLC
3.88%, 09/12/23^a		30,855		30,220,171
4.80%, 04/05/26^a		24,375		24,888,472
Santander Holdings USA Inc.
2.65%, 04/17/20 (Call 03/17/20)		10,220		10,217,929
4.50%, 07/17/25 (Call 04/17/25)^a		16,795		17,019,823
Santander UK Group Holdings PLC
2.88%, 10/16/20^a		13,127		13,179,579
2.88%, 08/05/21		11,200		11,150,472
3.13%, 01/08/21		18,640		18,885,470
Santander UK PLC
2.38%, 03/16/20^a		10,317		10,371,770
4.00%, 03/13/24		13,448		14,464,626
Skandinaviska Enskilda Banken AB
1.88%, 09/13/21^a		1,250		1,235,222
2.63%, 03/15/21		13,600		13,906,500
State Street Corp.
1.95%, 05/19/21		6,600		6,606,618
2.55%, 08/18/20		10,974		11,292,182
2.65%, 05/19/26		9,090		9,070,208
3.10%, 05/15/23^a		12,313		12,638,846
3.30%, 12/16/24^a		14,040		14,788,842
3.55%, 08/18/25^a		16,361		17,576,985
3.70%, 11/20/23		9,520		10,312,141
4.38%, 03/07/21		8,590		9,431,505
Sumitomo Mitsui Banking Corp.
2.45%, 01/16/20^a		30,450		30,791,040
2.65%, 07/23/20^a		11,000		11,195,169
3.20%, 07/18/22		10,474		10,870,885


Security	Principal (000s)		Value
Sumitomo Mitsui Financial Group Inc.
2.06%, 07/14/21^a	$	15,450	$	15,214,942
2.44%, 10/19/21		14,500		14,556,840
2.63%, 07/14/26^a		22,700		21,985,790
2.93%, 03/09/21		27,100		27,722,105
3.01%, 10/19/26		15,000		14,990,250
3.78%, 03/09/26^a		19,655		20,887,642
SunTrust Bank/Atlanta GA
3.30%, 05/15/26 (Call 04/15/26)^a		9,350		9,412,522
SunTrust Banks Inc.
2.90%, 03/03/21 (Call 02/03/21)^a		10,545		10,894,121
Svenska Handelsbanken AB
1.88%, 09/07/21^a		1,250		1,238,067
2.40%, 10/01/20		26,350		26,823,257
2.45%, 03/30/21		16,860		17,121,278
Toronto-Dominion Bank (The)
1.80%, 07/13/21^a		14,550		14,450,284
2.13%, 04/07/21		24,175		24,324,750
2.25%, 11/05/19^a		12,380		12,610,649
2.50%, 12/14/20		18,350		18,766,044
U.S. Bancorp.
2.35%, 01/29/21 (Call 12/29/20)		3,900		3,980,062
2.95%, 07/15/22 (Call 06/15/22)		17,312		17,970,602
3.00%, 03/15/22 (Call 02/15/22)		16,764		17,573,493
3.10%, 04/27/26 (Call 03/27/26)^a		5,950		6,060,639
3.70%, 01/30/24 (Call 12/29/23)		13,340		14,390,087
4.13%, 05/24/21 (Call 04/23/21)		10,294		11,297,172
Series F
3.60%, 09/11/24 (Call 08/11/24)		16,810		17,826,154
Series V
2.38%, 07/22/26 (Call 06/22/26)^a		8,800		8,557,424
U.S. Bank N.A./Cincinnati OH
2.13%, 10/28/19 (Call 09/28/19)		2,735		2,779,588


SCHEDULESOF INVESTMENTS			81

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.80%, 01/27/25 (Call 12/27/24)	$	20,217	$	20,586,229
UBS AG/Stamford CT
2.35%, 03/26/20^a		24,330		24,720,409
4.88%, 08/04/20^a		9,475		10,457,496
Wachovia Corp.
5.50%, 08/01/35		9,017		10,282,989
Wells Fargo & Co.
2.10%, 07/26/21^a		25,050		24,899,237
2.50%, 03/04/21^a		28,375		28,681,121
2.55%, 12/07/20^a		21,075		21,441,140
2.60%, 07/22/20^a		28,230		28,785,366
3.00%, 01/22/21		16,779		17,297,164
3.00%, 02/19/25^a		42,060		42,078,363
3.00%, 04/22/26^a		51,600		51,322,717
3.00%, 10/23/26		22,795		22,689,460
3.30%, 09/09/24		30,011		30,842,266
3.50%, 03/08/22^a		35,198		37,066,486
3.55%, 09/29/25		41,103		42,546,792
3.90%, 05/01/45		23,695		23,733,168
4.10%, 06/03/26^a		31,520		33,097,762
4.13%, 08/15/23^a		20,814		22,136,728
4.30%, 07/22/27^a		33,365		35,388,007
4.40%, 06/14/46^a		19,200		19,302,563
4.60%, 04/01/21		31,190		34,200,646
4.65%, 11/04/44		24,350		25,128,735
4.90%, 11/17/45		27,970		30,082,294
5.38%, 02/07/35		7,866		9,312,192
5.38%, 11/02/43		22,590		25,668,436
5.61%, 01/15/44		30,615		35,991,977
Series M
3.45%, 02/13/23^a		23,157		23,741,705
Series N
2.15%, 01/30/20^a		26,579		26,696,224
Wells Fargo Bank N.A.
5.85%, 02/01/37		11,100		13,555,846
6.60%, 01/15/38		21,134		28,060,736
Westpac Banking Corp.
2.00%, 08/19/21		28,450		28,249,348
2.10%, 05/13/21		11,645		11,614,923
2.30%, 05/26/20^a		11,325		11,455,085
2.60%, 11/23/20		21,150		21,606,859
2.70%, 08/19/26		18,600		18,287,715
2.85%, 05/13/26^a		20,150		20,077,621


Security	Principal (000s)		Value
4.88%, 11/19/19	$	12,457	$	13,553,581

				8,138,538,794
BEVERAGES — 4.06%
Anheuser-Busch InBev Finance Inc.
2.63%, 01/17/23^a		13,523		13,625,105
2.65%, 02/01/21 (Call 01/01/21)		86,875		88,827,976
3.30%, 02/01/23 (Call 12/01/22)^a		73,200		76,442,218
3.65%, 02/01/26 (Call 11/01/25)^a		141,340		148,487,564
3.70%, 02/01/24^a		21,276		22,730,112
4.00%, 01/17/43		6,428		6,440,238
4.63%, 02/01/44		10,075		11,125,595
4.70%, 02/01/36 (Call 08/01/35)		72,103		80,038,022
4.90%, 02/01/46 (Call 08/01/45)^a		134,657		153,791,814
Anheuser-Busch InBev Worldwide Inc.
2.50%, 07/15/22^a		36,923		37,284,314
3.75%, 07/15/42		11,191		10,862,720
5.00%, 04/15/20^a		14,912		16,561,600
5.38%, 01/15/20		26,147		29,040,566
6.88%, 11/15/19		7,677		8,832,137
8.20%, 01/15/39		15,762		24,911,439
Coca-Cola Co. (The)
1.55%, 09/01/21		10,850		10,765,129
1.88%, 10/27/20^a		16,795		16,969,275
2.25%, 09/01/26^a		7,890		7,712,518
2.45%, 11/01/20^a		14,384		14,851,540
2.50%, 04/01/23		9,596		9,761,342
2.88%, 10/27/25^a		26,500		27,373,649
3.15%, 11/15/20		12,197		12,925,616
3.20%, 11/01/23^a		17,025		18,039,779
3.30%, 09/01/21^a		17,133		18,325,025
Diageo Capital PLC
2.63%, 04/29/23 (Call 01/29/23)		16,665		17,104,823
Diageo Investment Corp.
2.88%, 05/11/22		15,484		16,159,921
Molson Coors Brewing Co.
2.10%, 07/15/21 (Call 06/15/21)		14,100		14,061,695


82		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.00%, 07/15/26 (Call 04/15/26)	$	25,350	$	25,109,327
4.20%, 07/15/46 (Call 01/15/46)		23,750		23,707,172
5.00%, 05/01/42		9,250		10,316,104
Pepsi Bottling Group Inc. (The) Series B
7.00%, 03/01/29		16,315		23,204,896
PepsiCo Inc.
1.70%, 10/06/21 (Call 09/06/21)		3,315		3,299,652
1.85%, 04/30/20 (Call 03/30/20)		10,000		10,080,223
2.15%, 10/14/20 (Call 09/14/20)		11,360		11,551,297
2.38%, 10/06/26 (Call 07/06/26)		7,550		7,426,482
2.75%, 03/05/22		18,143		18,900,989
2.75%, 03/01/23		21,313		22,021,470
2.75%, 04/30/25 (Call 01/30/25)^a		15,009		15,397,020
2.85%, 02/24/26 (Call 11/24/25)^a		12,285		12,640,310
3.00%, 08/25/21		9,196		9,664,901
3.10%, 07/17/22 (Call 05/17/22)		15,865		16,739,390
3.13%, 11/01/20		11,199		11,814,690
3.45%, 10/06/46 (Call 04/06/46)		13,300		12,703,894
3.60%, 03/01/24 (Call 12/01/23)		20,505		22,177,978
4.00%, 03/05/42		6,239		6,514,007
4.45%, 04/14/46 (Call 10/14/45)		18,470		20,591,401
4.50%, 01/15/20^a		12,980		14,155,339
4.88%, 11/01/40^a		10,436		12,172,884
5.50%, 01/15/40		11,774		14,799,781

				1,238,040,939
BIOTECHNOLOGY — 2.46%
Amgen Inc.
1.85%, 08/19/21 (Call 07/19/21)^a		13,340		13,143,078
2.13%, 05/01/20 (Call 04/01/20)^a		10,378		10,485,260


Security	Principal (000s)		Value
2.25%, 08/19/23 (Call 06/19/23)^a	$	10,600	$	10,372,765
2.60%, 08/19/26 (Call 05/19/26)		11,450		11,004,998
3.13%, 05/01/25 (Call 02/01/25)		15,000		15,181,659
3.45%, 10/01/20^a		8,670		9,130,038
3.63%, 05/15/22 (Call 02/15/22)		4,236		4,497,312
3.63%, 05/22/24 (Call 02/22/24)		19,165		20,097,594
3.88%, 11/15/21 (Call 08/15/21)		24,313		26,105,580
4.10%, 06/15/21 (Call 03/15/21)		12,831		13,830,740
4.40%, 05/01/45 (Call 11/01/44)		28,089		28,560,670
4.56%, 06/15/48 (Call 12/15/47)^b		18,817		19,216,534
4.66%, 06/15/51 (Call 12/15/50)^b		45,568		46,596,538
5.15%, 11/15/41 (Call 05/15/41)		4,300		4,748,577
Biogen Inc.
2.90%, 09/15/20^a		14,915		15,354,942
3.63%, 09/15/22		18,900		20,089,311
4.05%, 09/15/25 (Call 06/15/25)^a		19,641		20,927,108
5.20%, 09/15/45 (Call 03/15/45)		20,640		23,138,633
Celgene Corp.
2.88%, 08/15/20		9,057		9,341,528
3.25%, 08/15/22		8,276		8,565,350
3.55%, 08/15/22^a		13,261		13,960,534
3.63%, 05/15/24 (Call 02/15/24)^a		15,166		15,651,411
3.88%, 08/15/25 (Call 05/15/25)^a		35,125		36,876,276
4.63%, 05/15/44 (Call 11/15/43)		8,890		9,011,620
5.00%, 08/15/45 (Call 02/15/45)^a		32,150		34,447,024
Gilead Sciences Inc.
2.50%, 09/01/23 (Call 07/01/23)		6,000		5,971,081


SCHEDULESOF INVESTMENTS			83

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.55%, 09/01/20	$	22,609	$	23,120,088
2.95%, 03/01/27 (Call 12/01/26)^a		18,800		18,592,029
3.25%, 09/01/22 (Call 07/01/22)		14,950		15,658,322
3.50%, 02/01/25 (Call 11/01/24)		28,697		29,846,917
3.65%, 03/01/26 (Call 12/01/25)		31,162		32,674,095
3.70%, 04/01/24 (Call 01/01/24)		17,690		18,693,034
4.00%, 09/01/36 (Call 03/01/36)^a		5,250		5,222,717
4.15%, 03/01/47 (Call 09/01/46)		25,985		25,687,903
4.40%, 12/01/21 (Call 09/01/21)^a		19,264		21,310,538
4.50%, 04/01/21 (Call 01/01/21)		9,254		10,160,957
4.50%, 02/01/45 (Call 08/01/44)^a		18,893		19,692,180
4.60%, 09/01/35 (Call 03/01/35)^a		17,878		19,149,905
4.75%, 03/01/46 (Call 09/01/45)^a		30,209		32,656,938
4.80%, 04/01/44 (Call 10/01/43)^a		20,745		22,531,962
5.65%, 12/01/41 (Call 06/01/41)		7,920		9,583,750

				750,887,496
CHEMICALS — 1.29%
CF Industries Inc.
3.45%, 06/01/23^a		100		93,500
4.95%, 06/01/43^a		100		83,852
5.15%, 03/15/34^a		—		—
5.38%, 03/15/44^a		—		—
7.13%, 05/01/20		2,235		2,471,038
Dow Chemical Co. (The)
3.00%, 11/15/22 (Call 08/15/22)^a		11,622		11,931,571
3.50%, 10/01/24 (Call 07/01/24)^a		13,264		13,876,728
4.13%, 11/15/21 (Call 08/15/21)		17,523		19,016,429


Security	Principal (000s)		Value
4.25%, 11/15/20 (Call 08/15/20)	$	16,329	$	17,587,737
4.38%, 11/15/42 (Call 05/15/42)		17,340		17,429,478
5.25%, 11/15/41 (Call 05/15/41)^a		8,688		9,512,609
7.38%, 11/01/29^a		6,242		8,387,585
9.40%, 05/15/39		9,976		15,955,239
Eastman Chemical Co.
2.70%, 01/15/20 (Call 12/15/19)		12,583		12,812,786
3.60%, 08/15/22 (Call 05/15/22)		8,326		8,735,648
3.80%, 03/15/25 (Call 12/15/24)^a		10,070		10,471,033
4.65%, 10/15/44 (Call 04/15/44)^a		9,285		9,277,572
Ecolab Inc.
2.70%, 11/01/26 (Call 08/01/26)		6,000		5,971,560
4.35%, 12/08/21^a		19,750		21,974,680
5.50%, 12/08/41		5,408		6,651,325
EI du Pont de Nemours & Co.
2.80%, 02/15/23		19,774		19,976,246
3.63%, 01/15/21^a		10,403		11,080,334
4.15%, 02/15/43^a		7,774		7,658,247
4.63%, 01/15/20^a		12,298		13,510,342
LYB International Finance BV
4.00%, 07/15/23^a		12,156		13,051,400
4.88%, 03/15/44 (Call 09/15/43)^a		14,291		15,086,221
5.25%, 07/15/43^a		7,753		8,530,534
LyondellBasell Industries NV
4.63%, 02/26/55 (Call 08/26/54)		17,846		16,882,732
5.75%, 04/15/24 (Call 01/15/24)^a		9,720		11,353,932
6.00%, 11/15/21 (Call 08/17/21)		8,653		10,058,807
Monsanto Co.
3.38%, 07/15/24 (Call 04/15/24)^a		10,359		10,603,942
4.40%, 07/15/44 (Call 01/15/44)^a		11,100		11,020,729


84		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.70%, 07/15/64 (Call 01/15/64)	$	10,735	$	9,980,652
Mosaic Co. (The)
4.25%, 11/15/23 (Call 08/15/23)^a		15,215		15,502,372
Potash Corp. of Saskatchewan Inc.
3.63%, 03/15/24 (Call 12/15/23)		10,217		10,520,133
Rohm & Haas Co.
7.85%, 07/15/29		9,631		13,458,821
Westlake Chemical Corp.
3.60%, 08/15/26 (Call 05/15/26)^b		3,500		3,498,085

				394,013,899
COMMERCIAL SERVICES — 0.14%
Automatic Data Processing Inc.
2.25%, 09/15/20 (Call 08/15/20)^a		11,432		11,693,457
3.38%, 09/15/25 (Call 06/15/25)^a		9,633		10,290,945
S&P Global Inc.
4.40%, 02/15/26 (Call 11/15/25)		9,550		10,557,703
Total System Services Inc.
3.80%, 04/01/21 (Call 03/01/21)^a		5,150		5,429,305
4.80%, 04/01/26 (Call 01/01/26)^a		3,550		3,889,961

				41,861,371
COMPUTERS — 3.69%
Apple Inc.
1.55%, 02/07/20^a		13,928		13,937,836
1.55%, 08/04/21 (Call 07/04/21)		5,700		5,629,902
2.00%, 05/06/20^a		9,529		9,662,735
2.15%, 02/09/22^a		20,220		20,335,119
2.25%, 02/23/21 (Call 01/23/21)^a		35,610		36,206,079
2.40%, 05/03/23		67,690		67,919,198
2.45%, 08/04/26 (Call 05/04/26)^a		23,318		22,850,122
2.50%, 02/09/25		19,653		19,523,461


Security	Principal (000s)		Value
2.70%, 05/13/22	$	15,319	$	15,806,985
2.85%, 05/06/21^a		38,661		40,394,049
2.85%, 02/23/23 (Call 12/23/22)^a		19,295		20,002,364
3.20%, 05/13/25^a		26,007		27,222,864
3.25%, 02/23/26 (Call 11/23/25)		47,280		49,434,691
3.45%, 05/06/24^a		28,379		30,251,058
3.45%, 02/09/45^a		28,881		26,679,664
3.85%, 05/04/43^a		40,400		39,778,652
3.85%, 08/04/46 (Call 02/04/46)		24,705		23,987,023
4.38%, 05/13/45		19,010		19,921,588
4.45%, 05/06/44^a		17,512		18,782,634
4.50%, 02/23/36 (Call 08/23/35)^a		7,855		8,757,930
4.65%, 02/23/46 (Call 08/23/45)		47,195		52,195,320
Diamond 1 Finance Corp./Diamond 2 Finance Corp.
4.42%, 06/15/21 (Call 05/15/21)^b		49,264		51,547,175
5.45%, 06/15/23 (Call 04/15/23)^b		48,151		51,562,985
6.02%, 06/15/26 (Call 03/15/26)^a,b		58,240		63,148,409
8.10%, 07/15/36 (Call 01/15/36)^b		19,175		22,884,099
8.35%, 07/15/46 (Call 01/15/46)^b		23,695		28,705,943
Hewlett Packard Enterprise Co.
3.60%, 10/15/20 (Call 09/15/20)^a,b		39,155		40,644,801
4.40%, 10/15/22 (Call 08/15/22)^a,b		18,750		20,194,382
4.90%, 10/15/25 (Call 07/15/25)^a,b		28,940		30,747,176
6.20%, 10/15/35 (Call 04/15/35)^b		7,410		7,681,673
6.35%, 10/15/45 (Call 04/15/45)^a,b		18,525		19,213,120
HP Inc.
4.30%, 06/01/21		17,222		18,501,994
4.38%, 09/15/21^a		8,280		8,899,487


SCHEDULESOF INVESTMENTS			85

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.65%, 12/09/21	$	17,749	$	19,348,937
6.00%, 09/15/41^a		15,202		15,386,081
International Business Machines Corp.
1.63%, 05/15/20^a		6,827		6,834,071
1.88%, 08/01/22^a		8,451		8,329,538
2.25%, 02/19/21^a		12,550		12,803,529
2.88%, 11/09/22		13,675		14,214,662
3.38%, 08/01/23^a		15,375		16,314,348
3.45%, 02/19/26^a		23,900		25,355,027
3.63%, 02/12/24^a		36,295		38,961,619
4.00%, 06/20/42^a		5,644		5,739,779
4.70%, 02/19/46^a		1,000		1,115,930
8.38%, 11/01/19^a		5,457		6,553,980
Seagate HDD Cayman
4.75%, 06/01/23^a		14,473		14,400,635
4.75%, 01/01/25		8,686		8,305,988

				1,126,674,642
COSMETICS & PERSONAL CARE — 0.18%
Procter & Gamble Co. (The)
1.70%, 11/03/21		2,805		2,799,250
2.30%, 02/06/22		10,624		10,838,504
2.45%, 11/03/26		5,000		4,992,950
3.10%, 08/15/23^a		11,869		12,591,277
5.55%, 03/05/37^a		16,273		22,274,661

				53,496,642
DIVERSIFIED FINANCIAL SERVICES — 2.79%
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust
3.95%, 02/01/22 (Call 01/01/22)^a		12,900		13,147,938
4.50%, 05/15/21^a		15,900		16,555,875
5.00%, 10/01/21^a		17,400		18,487,500
Air Lease Corp.
3.00%, 09/15/23 (Call 07/15/23)		12,500		12,388,250
American Express Co.
2.65%, 12/02/22		22,253		22,621,910
4.05%, 12/03/42		10,384		10,508,728
American Express Credit Corp.
2.25%, 05/05/21 (Call 04/04/21)^a		26,700		26,916,016
2.38%, 05/26/20 (Call 04/25/20)		17,450		17,749,082


Security	Principal (000s)		Value
Series F
2.60%, 09/14/20 (Call 08/14/20)	$	14,769	$	15,111,409
Ameriprise Financial Inc.
4.00%, 10/15/23		12,373		13,356,755
5.30%, 03/15/20		3,520		3,890,764
Capital One Bank USA N.A.
3.38%, 02/15/23		15,290		15,595,886
CME Group Inc.
3.00%, 09/15/22		10,848		11,444,560
3.00%, 03/15/25 (Call 12/15/24)^a		9,669		10,012,965
5.30%, 09/15/43 (Call 03/15/43)		7,331		9,085,533
GE Capital International Funding Co. Unlimited Co.
2.34%, 11/15/20^b		200		203,991
2.34%, 11/15/20^a		74,514		75,982,365
3.37%, 11/15/25^a		35,791		38,112,819
4.42%, 11/15/35^a		141,047		153,837,960
HSBC Finance Corp.
6.68%, 01/15/21		30,746		35,094,121
Intercontinental Exchange Inc.
2.75%, 12/01/20 (Call 11/01/20)		16,705		17,246,633
3.75%, 12/01/25 (Call 09/01/25)^a		18,179		19,398,275
4.00%, 10/15/23^a		4,975		5,390,895
International Lease Finance Corp.
5.88%, 08/15/22^a		9,450		10,407,096
8.25%, 12/15/20^a		11,000		13,057,180
Jefferies Group LLC
6.88%, 04/15/21^a		11,752		13,631,875
Nomura Holdings Inc.
6.70%, 03/04/20^a		14,233		16,246,621
Synchrony Financial
2.70%, 02/03/20 (Call 01/03/20)^a		9,235		9,354,017
3.70%, 08/04/26 (Call 05/04/26)^a		880		869,414
3.75%, 08/15/21 (Call 06/15/21)^a		8,990		9,430,412
4.25%, 08/15/24 (Call 05/15/24)		12,295		12,791,567


86		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.50%, 07/23/25 (Call 04/24/25)	$	14,950	$	15,679,772
Visa Inc.
2.20%, 12/14/20 (Call 11/14/20)		33,340		33,925,977
2.80%, 12/14/22 (Call 10/14/22)		31,695		32,906,579
3.15%, 12/14/25 (Call 09/14/25)^a		49,050		51,156,555
4.15%, 12/14/35 (Call 06/14/35)^a		24,169		26,729,222
4.30%, 12/14/45 (Call 06/14/45)		38,830		43,300,009

				851,626,526
ELECTRIC — 1.72%
Berkshire Hathaway Energy Co.
4.50%, 02/01/45 (Call 08/01/44)^a		11,421		12,547,402
5.15%, 11/15/43 (Call 05/15/43)		11,719		13,990,870
6.13%, 04/01/36^a		22,605		29,549,572
6.50%, 09/15/37^a		8,226		11,176,087
Consolidated Edison Co. of New York Inc.
4.45%, 03/15/44 (Call 09/15/43)		10,436		11,532,872
4.63%, 12/01/54 (Call 06/01/54)^a		9,890		11,021,840
Duke Energy Carolinas LLC
3.88%, 03/15/46 (Call 09/15/45)		600		612,516
5.30%, 02/15/40^a		8,867		10,882,121
Duke Energy Corp.
1.80%, 09/01/21 (Call 08/01/21)		12,815		12,656,340
2.65%, 09/01/26 (Call 06/01/26)^a		15,095		14,694,353
3.75%, 04/15/24 (Call 01/15/24)		15,626		16,557,135
3.75%, 09/01/46 (Call 03/01/46)^a		14,385		13,717,460
Duke Energy Florida LLC
6.40%, 06/15/38^a		11,036		15,152,297


Security	Principal (000s)		Value
Emera U.S. Finance LP
2.70%, 06/15/21 (Call 05/15/21)^a,b	$	11,575	$	11,783,279
3.55%, 06/15/26 (Call 03/15/26)^a,b		12,153		12,427,379
4.75%, 06/15/46 (Call 12/15/45)^a,b		11,600		12,329,385
Exelon Corp.
2.85%, 06/15/20 (Call 05/15/20)		13,401		13,795,324
3.40%, 04/15/26 (Call 01/15/26)^a		9,675		9,990,632
3.95%, 06/15/25 (Call 03/15/25)^a		8,575		9,144,854
4.45%, 04/15/46 (Call 10/15/45)		7,150		7,434,188
5.10%, 06/15/45 (Call 12/15/44)^a		1,799		2,029,650
Exelon Generation Co. LLC
2.95%, 01/15/20 (Call 12/15/19)		9,325		9,637,071
5.60%, 06/15/42 (Call 12/15/41)^a		7,708		7,863,541
6.25%, 10/01/39		11,891		12,945,785
Fortis Inc.
3.06%, 10/04/26 (Call 07/04/26)^b		5,000		4,915,000
Georgia Power Co.
4.30%, 03/15/42		17,602		18,652,998
NiSource Finance Corp.
4.80%, 02/15/44 (Call 08/15/43)		7,341		8,051,702
Oncor Electric Delivery Co. LLC
7.00%, 09/01/22		9,223		11,580,085
Pacific Gas & Electric Co.
3.50%, 10/01/20 (Call 07/01/20)		10,722		11,364,042
5.40%, 01/15/40		12,281		15,182,383
5.80%, 03/01/37		11,486		14,684,627
6.05%, 03/01/34^a		35,026		45,895,622
Southern California Edison Co.
4.65%, 10/01/43 (Call 04/01/43)^a		10,506		12,236,753


SCHEDULESOF INVESTMENTS			87

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Southern Co. (The)
2.35%, 07/01/21 (Call 06/01/21)	$	19,150	$	19,324,757
2.95%, 07/01/23 (Call 05/01/23)^a		16,650		17,064,180
3.25%, 07/01/26 (Call 04/01/26)^a		19,035		19,552,897
4.40%, 07/01/46 (Call 01/01/46)		23,375		24,637,019
Virginia Electric & Power Co. Series A
3.15%, 01/15/26 (Call 10/15/25)		17,251		17,842,687

				524,456,705
ELECTRONICS — 0.25%
Fortive Corp.
2.35%, 06/15/21 (Call 05/15/21)^a,b		1,975		1,981,880
3.15%, 06/15/26 (Call 03/15/26)^b		16,240		16,354,211
Honeywell International Inc.
1.85%, 11/01/21 (Call 10/01/21)		18,000		17,956,800
2.50%, 11/01/26 (Call 08/01/26)		18,000		17,783,100
4.25%, 03/01/21^a		7,899		8,698,018
Koninklijke Philips NV
3.75%, 03/15/22		12,131		13,052,590

				75,826,599
ENGINEERING & CONSTRUCTION — 0.07%
ABB Finance USA Inc.
2.88%, 05/08/22		14,963		15,493,925
4.38%, 05/08/42^a		4,367		4,890,576

				20,384,501
ENVIRONMENTAL CONTROL — 0.09%
Republic Services Inc.
3.55%, 06/01/22 (Call 03/01/22)		8,895		9,491,050
5.00%, 03/01/20^a		9,132		10,048,932
Waste Management Inc.
4.10%, 03/01/45 (Call 09/01/44)		9,024		9,518,892

				29,058,874


Security	Principal (000s)		Value
FOOD — 1.42%
General Mills Inc.
3.15%, 12/15/21 (Call 09/15/21)	$	12,224	$	12,849,051
JM Smucker Co. (The)
3.50%, 10/15/21		25		26,570
3.50%, 03/15/25^a		21,535		22,648,713
Kellogg Co.
3.25%, 04/01/26^a		6,450		6,582,355
4.00%, 12/15/20		7,827		8,439,514
Series B
7.45%, 04/01/31		1,456		1,995,393
Kraft Heinz Foods Co.
2.80%, 07/02/20 (Call 06/02/20)^a		21,350		21,957,565
3.00%, 06/01/26 (Call 03/01/26)^a		25,080		24,815,539
3.50%, 06/06/22^a		24,081		25,423,533
3.50%, 07/15/22 (Call 05/15/22)		15,645		16,501,586
3.95%, 07/15/25 (Call 04/15/25)^a		18,465		19,729,825
4.38%, 06/01/46 (Call 12/01/45)		42,100		42,746,757
5.00%, 07/15/35 (Call 01/15/35)		12,957		14,409,719
5.00%, 06/04/42^a		21,903		24,195,721
5.20%, 07/15/45 (Call 01/15/45)		22,420		25,242,678
5.38%, 02/10/20		9,830		10,856,499
6.50%, 02/09/40		13,519		17,578,712
6.88%, 01/26/39		9,540		12,750,085
Kroger Co. (The)
2.65%, 10/15/26 (Call 07/15/26)		1,000		971,890
6.15%, 01/15/20		6,827		7,701,651
Mondelez International Inc.
4.00%, 02/01/24 (Call 11/01/23)^a		18,924		21,022,959
6.50%, 02/09/40^a		1,961		2,594,168
Sysco Corp.
2.60%, 10/01/20 (Call 09/01/20)		9,320		9,533,381
3.30%, 07/15/26 (Call 04/15/26)^a		12,685		12,928,358


88		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.75%, 10/01/25 (Call 07/01/25)	$	9,418	$	9,913,583
Tyson Foods Inc.
3.95%, 08/15/24 (Call 05/15/24)^a		9,600		10,157,843
4.50%, 06/15/22 (Call 03/15/22)		17,245		18,925,413
Unilever Capital Corp.
4.25%, 02/10/21		14,063		15,502,070
5.90%, 11/15/32		11,159		15,154,580

				433,155,711
FOREST PRODUCTS & PAPER — 0.15%
International Paper Co.
3.00%, 02/15/27 (Call 11/15/26)^a		13,900		13,694,174
3.65%, 06/15/24 (Call 03/15/24)		5,965		6,180,002
4.40%, 08/15/47 (Call 02/15/47)^a		14,935		14,521,017
4.80%, 06/15/44 (Call 12/15/43)		9,500		9,670,318
7.30%, 11/15/39^a		1,050		1,371,310

				45,436,821
GAS — 0.04%
Sempra Energy
6.00%, 10/15/39^a		10,195		12,713,387

				12,713,387
HEALTH CARE – PRODUCTS — 1.75%
Abbott Laboratories
2.00%, 03/15/20^a		11,229		11,301,314
2.55%, 03/15/22^a		8,408		8,555,116
2.95%, 03/15/25 (Call 12/15/24)^a		10,270		10,323,988
Becton Dickinson and Co.
2.68%, 12/15/19		6,441		6,635,966
3.13%, 11/08/21		10,316		10,785,287
3.73%, 12/15/24 (Call 09/15/24)		27,790		29,565,792
4.69%, 12/15/44 (Call 06/15/44)		16,775		18,298,163
Boston Scientific Corp.
3.85%, 05/15/25^a		7,405		7,751,508
6.00%, 01/15/20		6,931		7,758,409


Security	Principal (000s)		Value
Medtronic Inc.
2.50%, 03/15/20^a	$	30,843	$	31,584,237
3.15%, 03/15/22^a		34,655		36,434,926
3.50%, 03/15/25		47,719		50,617,137
3.63%, 03/15/24 (Call 12/15/23)		5,744		6,132,008
4.38%, 03/15/35		28,734		31,541,841
4.45%, 03/15/20^a		12,143		13,185,511
4.63%, 03/15/45		49,628		56,147,144
St. Jude Medical Inc.
3.25%, 04/15/23 (Call 01/15/23)^a		6,142		6,266,112
Stryker Corp.
2.63%, 03/15/21 (Call 02/15/21)		10,960		11,158,183
3.38%, 11/01/25 (Call 08/01/25)		7,328		7,607,937
3.50%, 03/15/26 (Call 12/15/25)^a		17,265		17,988,757
4.63%, 03/15/46 (Call 09/15/45)^a		9,940		10,643,253
Thermo Fisher Scientific Inc.
2.95%, 09/19/26 (Call 06/19/26)^a		9,120		8,974,984
3.00%, 04/15/23 (Call 02/15/23)^a		15,015		15,233,371
3.15%, 01/15/23 (Call 10/15/22)		7,998		8,153,771
3.30%, 02/15/22^a		11,042		11,541,505
3.60%, 08/15/21 (Call 05/15/21)^a		9,856		10,421,578
4.15%, 02/01/24 (Call 11/01/23)^a		12,866		13,876,026
4.50%, 03/01/21		11,056		12,099,959
Zimmer Biomet Holdings Inc.
2.70%, 04/01/20 (Call 03/01/20)		9,870		10,017,858
3.15%, 04/01/22 (Call 02/01/22)^a		12,350		12,655,879
3.55%, 04/01/25 (Call 01/01/25)^a		25,003		25,475,217
4.45%, 08/15/45 (Call 02/15/45)		17,190		16,940,822

				535,673,559


SCHEDULESOF INVESTMENTS			89

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
HEALTH CARE – SERVICES — 1.64%
Aetna Inc.
2.40%, 06/15/21 (Call 05/15/21)^a	$	22,675	$	22,877,615
2.75%, 11/15/22 (Call 08/15/22)^a		13,797		14,022,087
2.80%, 06/15/23 (Call 04/15/23)		18,025		18,285,440
3.20%, 06/15/26 (Call 03/15/26)		35,915		36,124,539
3.50%, 11/15/24 (Call 08/15/24)^a		11,000		11,458,265
3.95%, 09/01/20^a		1,755		1,874,786
4.25%, 06/15/36 (Call 12/15/35)		20,422		20,798,069
4.38%, 06/15/46 (Call 12/15/45)		28,350		28,592,302
6.63%, 06/15/36		6,873		8,984,398
Anthem Inc.
3.13%, 05/15/22^a		11,635		11,993,564
3.30%, 01/15/23		11,290		11,641,286
3.50%, 08/15/24 (Call 05/15/24)		8,225		8,508,711
4.63%, 05/15/42		8,814		9,170,038
4.65%, 01/15/43		11,675		12,373,944
4.65%, 08/15/44 (Call 02/15/44)^a		12,214		13,003,260
5.85%, 01/15/36^a		9,657		11,479,645
6.38%, 06/15/37		890		1,132,271
Cigna Corp.
3.25%, 04/15/25 (Call 01/15/25)^a		11,590		11,711,746
4.00%, 02/15/22 (Call 11/15/21)		6,314		6,766,721
5.38%, 02/15/42 (Call 08/15/41)		10,385		12,124,568
Humana Inc.
4.95%, 10/01/44 (Call 04/01/44)^a		7,985		8,603,701
Laboratory Corp. of America Holdings
3.60%, 02/01/25 (Call 11/01/24)		10,071		10,433,641


Security	Principal (000s)		Value
4.70%, 02/01/45 (Call 08/01/44)	$	12,605	$	13,439,096
UnitedHealth Group Inc.
2.13%, 03/15/21		8,246		8,315,476
2.70%, 07/15/20		15,415		15,883,431
2.88%, 12/15/21		8,750		9,106,089
2.88%, 03/15/22 (Call 12/15/21)^a		13,562		14,079,278
2.88%, 03/15/23^a		6,777		6,968,101
3.10%, 03/15/26^a		14,650		15,022,825
3.35%, 07/15/22^a		18,392		19,536,847
3.75%, 07/15/25		26,487		28,653,157
4.25%, 03/15/43 (Call 09/15/42)		5,679		6,031,662
4.63%, 07/15/35^a		12,810		14,488,663
4.75%, 07/15/45^a		29,446		33,908,930
5.80%, 03/15/36^a		4,150		5,275,659
6.88%, 02/15/38		12,520		17,423,136

				500,092,947
HOLDING COMPANIES – DIVERSIFIED — 0.03%
MUFG Americas Holdings Corp.
2.25%, 02/10/20 (Call 01/10/20)		9,071		9,130,840

				9,130,840
HOUSEWARES — 0.28%
Newell Brands Inc.
3.15%, 04/01/21 (Call 03/01/21)^a		12,600		13,094,651
3.85%, 04/01/23 (Call 02/01/23)^a		19,050		20,216,100
4.20%, 04/01/26 (Call 01/01/26)^a		26,275		28,333,612
5.50%, 04/01/46 (Call 10/01/45)^a		20,520		24,293,068

				85,937,431
INSURANCE — 1.90%
Aflac Inc.
3.63%, 11/15/24^a		9,618		10,272,477
American International Group Inc.
3.30%, 03/01/21 (Call 02/01/21)^a		17,101		17,865,175
3.75%, 07/10/25 (Call 04/10/25)^a		5,425		5,664,106


90		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.88%, 01/15/35 (Call 07/15/34)^a	$	17,173	$	16,682,163
3.90%, 04/01/26 (Call 01/01/26)^a		18,615		19,553,421
4.13%, 02/15/24		16,495		17,726,983
4.38%, 01/15/55 (Call 07/15/54)		7,926		7,428,286
4.50%, 07/16/44 (Call 01/16/44)		31,443		31,936,262
4.80%, 07/10/45 (Call 01/10/45)^a		6,895		7,306,343
4.88%, 06/01/22		17,864		19,944,465
6.25%, 05/01/36		13,057		16,001,924
Aon PLC
3.88%, 12/15/25 (Call 09/15/25)		7,000		7,406,808
Berkshire Hathaway Finance Corp.
3.00%, 05/15/22		5,660		5,947,165
4.25%, 01/15/21^a		4,921		5,408,112
5.75%, 01/15/40^a		9,588		12,495,206
Berkshire Hathaway Inc.
2.20%, 03/15/21 (Call 02/15/21)^a		10,300		10,512,839
2.75%, 03/15/23 (Call 01/15/23)^a		32,397		33,360,678
3.13%, 03/15/26 (Call 12/15/25)^a		33,380		34,638,399
4.50%, 02/11/43^a		11,443		12,886,156
Chubb Corp. (The)
6.00%, 05/11/37		8,601		11,353,311
Chubb INA Holdings Inc.
2.30%, 11/03/20 (Call 10/03/20)		17,720		18,078,821
2.88%, 11/03/22 (Call 09/03/22)		10,124		10,528,925
3.15%, 03/15/25^a		11,350		11,747,990
3.35%, 05/03/26 (Call 02/03/26)^a		10,285		10,808,727
4.35%, 11/03/45 (Call 05/03/45)^a		22,435		24,966,756
Manulife Financial Corp.
4.15%, 03/04/26		15,925		17,363,585
5.38%, 03/04/46		9,300		11,058,617


Security	Principal (000s)		Value
MetLife Inc.
3.60%, 04/10/24^a	$	9,762	$	10,339,526
4.05%, 03/01/45^a		9,795		9,664,258
4.13%, 08/13/42^a		8,328		8,372,140
4.60%, 05/13/46 (Call 11/13/45)^a		8,150		8,839,223
4.75%, 02/08/21^a		15,061		16,741,383
4.88%, 11/13/43^a		13,215		14,652,828
5.70%, 06/15/35		7,175		8,692,810
5.88%, 02/06/41		11,295		13,842,444
6.38%, 06/15/34		8,149		10,412,542
Series D
4.37%, 09/15/23^a		13,810		15,273,019
Prudential Financial Inc.
4.60%, 05/15/44^a		12,620		13,377,903
5.70%, 12/14/36		3,970		4,725,080
Series D
6.63%, 12/01/37		9,350		12,278,914
Travelers Companies Inc. (The)
5.35%, 11/01/40		7,925		9,862,023
6.25%, 06/15/37		9,255		12,542,193

				578,559,986
INTERNET — 0.58%
Alphabet Inc.
2.00%, 08/15/26 (Call 05/15/26)^a		20,889		20,153,640
3.38%, 02/25/24^a		1,000		1,080,731
3.63%, 05/19/21^a		3,200		3,484,484
Amazon.com Inc.
2.50%, 11/29/22 (Call 08/29/22)^a		15,622		15,981,703
2.60%, 12/05/19 (Call 11/05/19)		14,629		15,103,901
3.30%, 12/05/21 (Call 10/05/21)^a		13,989		14,833,526
3.80%, 12/05/24 (Call 09/05/24)		18,082		19,811,189
4.80%, 12/05/34 (Call 06/05/34)^a		16,915		19,311,615
4.95%, 12/05/44 (Call 06/05/44)^a		9,552		11,211,194
eBay Inc.
2.60%, 07/15/22 (Call 04/15/22)		12,175		12,162,193


SCHEDULESOF INVESTMENTS			91

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.88%, 08/01/21 (Call 06/01/21)^a	$	5,643	$	5,773,445
3.45%, 08/01/24 (Call 05/01/24)^a		9,955		10,175,008
3.80%, 03/09/22 (Call 02/09/22)^a		5,500		5,832,965
4.00%, 07/15/42 (Call 01/15/42)		10,297		9,087,337
Expedia Inc.
5.00%, 02/15/26 (Call 11/15/25)^b		12,100		12,568,808

				176,571,739
LODGING — 0.04%
Marriott International Inc./MD
2.30%, 01/15/22 (Call 12/15/21)^a		7,650		7,651,290
Series R
3.13%, 06/15/26 (Call 03/15/26)		4,700		4,680,240

				12,331,530
MACHINERY — 0.37%
Caterpillar Financial Services Corp.
1.70%, 08/09/21		15,400		15,104,320
Caterpillar Inc.
3.40%, 05/15/24 (Call 02/15/24)^a		9,745		10,357,390
3.80%, 08/15/42^a		20,092		20,204,172
3.90%, 05/27/21^a		13,022		14,078,165
5.20%, 05/27/41^a		9,498		11,325,481
Deere & Co.
2.60%, 06/08/22 (Call 03/08/22)		15,559		15,976,633
3.90%, 06/09/42 (Call 12/09/41)		9,671		10,073,760
4.38%, 10/16/19		3,171		3,429,959
John Deere Capital Corp.
2.80%, 03/06/23		12,900		13,293,939

				113,843,819
MANUFACTURING — 1.39%
3M Co.
5.70%, 03/15/37		8,151		10,760,279


Security	Principal (000s)		Value
Eaton Corp.
2.75%, 11/02/22	$	20,055	$	20,436,873
4.15%, 11/02/42^a		9,440		9,704,445
General Electric Co.
2.20%, 01/09/20 (Call 12/09/19)		4,989		5,056,825
2.70%, 10/09/22		31,192		32,190,568
3.10%, 01/09/23		18,967		20,031,181
3.15%, 09/07/22^a		11,685		12,252,865
3.38%, 03/11/24^a		10,843		11,573,515
3.45%, 05/15/24 (Call 02/13/24)		1,140		1,218,774
4.13%, 10/09/42^a		27,934		29,628,110
4.38%, 09/16/20		17,386		19,119,958
4.50%, 03/11/44^a		25,970		29,136,346
4.63%, 01/07/21^a		16,838		18,746,518
4.65%, 10/17/21		8,485		9,580,267
5.30%, 02/11/21		18,853		21,431,072
5.50%, 01/08/20		10,163		11,344,809
5.88%, 01/14/38		27,309		35,490,708
6.15%, 08/07/37		14,197		19,048,471
6.88%, 01/10/39		26,481		38,737,696
Series A
6.75%, 03/15/32^a		35,061		48,229,621
Illinois Tool Works Inc.
2.65%, 11/15/26		10,000		9,968,500
3.90%, 09/01/42 (Call 03/01/42)		11,480		12,132,139

				425,819,540
MEDIA — 4.89%
21st Century Fox America Inc.
3.00%, 09/15/22^a		14,752		15,183,387
4.50%, 02/15/21^a		9,338		10,260,845
6.15%, 03/01/37^a		7,729		9,415,518
6.15%, 02/15/41^a		22,186		27,338,827
6.20%, 12/15/34^a		11,364		14,123,218
6.40%, 12/15/35^a		12,155		15,237,075
6.65%, 11/15/37		15,746		20,278,281
CBS Corp.
3.50%, 01/15/25 (Call 10/15/24)		2,565		2,637,025
4.00%, 01/15/26 (Call 10/15/25)^a		7,970		8,471,115


92		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.88%, 07/30/30	$	9,645	$	13,508,290
Charter Communications Operating LLC/Charter Communications Operating Capital
3.58%, 07/23/20 (Call 06/23/20)^a,b		31,413		32,528,161
4.46%, 07/23/22 (Call 05/23/22)^b		34,451		36,778,833
4.91%, 07/23/25 (Call 04/23/25)^b		55,595		60,056,382
6.38%, 10/23/35 (Call 04/23/35)^a,b		28,630		33,050,873
6.48%, 10/23/45 (Call 04/23/45)^b		37,800		44,389,345
Comcast Cable Communications Holdings Inc.
9.46%, 11/15/22		17,093		23,847,485
Comcast Corp.
2.35%, 01/15/27 (Call 10/15/26)		14,470		13,997,855
2.75%, 03/01/23 (Call 02/01/23)^a		8,175		8,390,135
2.85%, 01/15/23		13,570		13,993,023
3.13%, 07/15/22^a		11,895		12,458,781
3.15%, 03/01/26 (Call 12/01/25)^a		26,220		27,125,662
3.20%, 07/15/36 (Call 01/15/36)^a		13,710		13,027,386
3.38%, 02/15/25 (Call 11/15/24)		9,408		9,899,350
3.38%, 08/15/25 (Call 05/15/25)^a		17,310		18,134,794
3.40%, 07/15/46 (Call 01/15/46)^a		19,580		18,059,852
3.60%, 03/01/24^a		19,171		20,527,227
4.20%, 08/15/34 (Call 02/15/34)		21,131		22,626,468
4.25%, 01/15/33^a		19,726		21,210,847
4.40%, 08/15/35 (Call 02/15/35)		13,505		14,828,242
4.60%, 08/15/45 (Call 02/15/45)^a		20,665		22,778,534


Security	Principal (000s)		Value
4.65%, 07/15/42	$	15,551	$	17,248,647
4.75%, 03/01/44		6,568		7,315,800
5.15%, 03/01/20^a		16,843		18,715,974
5.65%, 06/15/35		12,102		15,073,025
6.40%, 05/15/38		7,825		10,520,992
6.40%, 03/01/40^a		7,181		9,756,318
6.45%, 03/15/37		16,601		22,198,862
6.50%, 11/15/35		11,527		15,457,048
6.55%, 07/01/39		12,203		16,632,854
6.95%, 08/15/37		22,321		31,600,581
7.05%, 03/15/33		12,060		16,722,921
Discovery Communications LLC
4.88%, 04/01/43		10,279		9,758,980
5.05%, 06/01/20		16,515		17,990,757
6.35%, 06/01/40^a		7,575		8,268,116
Historic TW Inc.
6.63%, 05/15/29		15,471		19,676,067
NBCUniversal Media LLC
2.88%, 01/15/23^a		13,180		13,579,732
4.38%, 04/01/21^a		22,752		25,027,696
4.45%, 01/15/43^a		15,093		16,385,026
5.15%, 04/30/20^a		23,787		26,467,055
5.95%, 04/01/41		17,124		22,162,908
6.40%, 04/30/40		10,693		14,512,409
Time Warner Cable LLC
4.00%, 09/01/21 (Call 06/01/21)		12,968		13,640,227
4.50%, 09/15/42 (Call 03/15/42)		12,630		11,728,658
5.00%, 02/01/20		19,401		20,836,230
5.50%, 09/01/41 (Call 03/01/41)^a		18,083		18,958,291
5.88%, 11/15/40 (Call 05/15/40)		15,296		16,598,487
6.55%, 05/01/37		20,741		24,060,178
6.75%, 06/15/39		14,272		17,113,555
7.30%, 07/01/38		16,635		20,913,213
Time Warner Entertainment Co. LP
8.38%, 03/15/23		11,020		14,203,959
8.38%, 07/15/33		9,555		12,826,339
Time Warner Inc.
2.95%, 07/15/26 (Call 04/15/26)		13,505		13,300,503


SCHEDULESOF INVESTMENTS			93

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.55%, 06/01/24 (Call 03/01/24)	$	9,925	$	10,266,255
3.60%, 07/15/25 (Call 04/15/25)		24,200		24,994,133
4.70%, 01/15/21		11,303		12,385,659
4.75%, 03/29/21^a		12,285		13,483,646
4.85%, 07/15/45 (Call 01/15/45)		4,050		4,302,163
4.88%, 03/15/20		13,684		14,936,725
6.10%, 07/15/40		11,120		13,368,669
6.25%, 03/29/41		17,770		21,659,387
6.50%, 11/15/36^a		11,588		14,395,595
7.63%, 04/15/31		14,204		19,584,191
7.70%, 05/01/32^a		28,400		38,931,348
Viacom Inc.
4.25%, 09/01/23 (Call 06/01/23)^a		22,729		24,079,921
4.38%, 03/15/43		24,710		22,714,860
5.85%, 09/01/43 (Call 03/01/43)^a		12,892		14,398,430
6.88%, 04/30/36		9,944		11,713,578
Walt Disney Co. (The)
1.85%, 07/30/26^a		18,530		17,351,952
2.15%, 09/17/20^a		9,025		9,205,005
2.30%, 02/12/21^a		8,905		9,113,461
2.35%, 12/01/22^a		11,527		11,777,084
2.75%, 08/16/21		5,423		5,664,136
3.00%, 02/13/26^a		14,225		14,706,363
3.15%, 09/17/25^a		9,050		9,522,529
4.13%, 06/01/44^a		10,737		11,533,354

				1,493,502,668
METAL FABRICATE & HARDWARE — 0.07%
Precision Castparts Corp.
2.50%, 01/15/23 (Call 10/15/22)		7,887		7,996,770
3.25%, 06/15/25 (Call 03/15/25)		13,497		14,232,683

				22,229,453
MINING — 0.87%
Barrick Gold Corp.
5.25%, 04/01/42		11,800		12,926,539
Barrick North America Finance LLC
4.40%, 05/30/21		8,902		9,724,059


Security	Principal (000s)		Value
5.70%, 05/30/41	$	14,845	$	16,948,973
5.75%, 05/01/43^a		6,111		7,098,541
Barrick PD Australia Finance Pty Ltd.
5.95%, 10/15/39		7,580		8,569,229
BHP Billiton Finance USA Ltd.
2.88%, 02/24/22^a		11,743		12,211,387
3.25%, 11/21/21		16,496		17,423,413
3.85%, 09/30/23^a		17,127		18,533,652
4.13%, 02/24/42		11,615		11,723,592
5.00%, 09/30/43^a		30,765		35,058,862
Goldcorp Inc.
3.70%, 03/15/23 (Call 12/15/22)^a		13,095		13,476,172
Newmont Mining Corp.
3.50%, 03/15/22 (Call 12/15/21)^a		13,457		14,190,407
4.88%, 03/15/42 (Call 09/15/41)^a		13,996		14,519,152
6.25%, 10/01/39		9,099		10,717,114
Rio Tinto Alcan Inc.
6.13%, 12/15/33		4,400		5,052,404
Rio Tinto Finance USA Ltd.
3.75%, 06/15/25 (Call 03/15/25)^a		9,691		10,272,413
4.13%, 05/20/21		2,058		2,239,497
5.20%, 11/02/40^a		14,705		16,712,880
7.13%, 07/15/28		9,348		12,379,554
Rio Tinto Finance USA PLC
2.88%, 08/21/22 (Call 05/21/22)		1,730		1,784,574
3.50%, 03/22/22 (Call 12/22/21)		2,457		2,610,936
4.13%, 08/21/42 (Call 02/21/42)^a		11,894		11,973,785

				266,147,135
OFFICE & BUSINESS EQUIPMENT — 0.04%
Xerox Corp.
4.50%, 05/15/21^a		12,102		12,932,385

				12,932,385
OIL & GAS — 6.81%
Anadarko Finance Co.
7.50%, 05/01/31		10,335		13,244,924


94		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Anadarko Petroleum Corp.
4.85%, 03/15/21 (Call 02/15/21)^a	$	6,310	$	6,848,117
5.55%, 03/15/26 (Call 12/15/25)^a		13,500		15,297,575
6.20%, 03/15/40		8,271		9,476,970
6.45%, 09/15/36		25,439		30,006,651
6.60%, 03/15/46 (Call 09/15/45)^a		13,315		16,352,948
Apache Corp.
3.25%, 04/15/22 (Call 01/15/22)		10,017		10,271,273
4.25%, 01/15/44 (Call 07/15/43)		6,074		5,962,142
4.75%, 04/15/43 (Call 10/15/42)		19,226		20,216,660
5.10%, 09/01/40 (Call 03/01/40)		17,015		18,103,574
6.00%, 01/15/37		15,059		17,618,092
BP Capital Markets PLC
2.11%, 09/16/21 (Call 08/16/21)^a		10,335		10,345,386
2.32%, 02/13/20^a		9,266		9,393,281
2.50%, 11/06/22		15,763		15,805,521
2.52%, 01/15/20^a		20,205		20,583,559
2.75%, 05/10/23^a		13,616		13,735,478
3.02%, 01/16/27 (Call 10/16/26)^a		12,250		12,278,197
3.06%, 03/17/22^a		18,530		19,238,810
3.12%, 05/04/26 (Call 02/04/26)^a		15,950		16,111,964
3.25%, 05/06/22		26,353		27,517,347
3.51%, 03/17/25^a		8,983		9,398,919
3.54%, 11/04/24^a		10,263		10,740,250
3.56%, 11/01/21^a		16,379		17,446,434
3.81%, 02/10/24^a		6,117		6,525,014
3.99%, 09/26/23^a		7,126		7,715,317
4.50%, 10/01/20		20,987		22,940,797
4.74%, 03/11/21^a		15,673		17,423,665
Canadian Natural Resources Ltd.
6.25%, 03/15/38		10,848		12,315,881
Chevron Corp.
1.96%, 03/03/20 (Call 02/03/20)		24,016		24,193,529


Security	Principal (000s)		Value
2.10%, 05/16/21 (Call 04/15/21)	$	20,950	$	21,082,546
2.19%, 11/15/19 (Call 10/15/19)		4,663		4,746,370
2.36%, 12/05/22 (Call 09/05/22)		22,223		22,359,265
2.42%, 11/17/20 (Call 10/17/20)		15,865		16,185,146
2.43%, 06/24/20 (Call 05/24/20)^a		8,839		9,037,449
2.57%, 05/16/23 (Call 03/16/23)		5,500		5,579,922
2.95%, 05/16/26 (Call 02/16/26)^a		30,265		30,727,955
3.19%, 06/24/23 (Call 03/24/23)^a		30,030		31,556,218
3.33%, 11/17/25 (Call 08/17/25)^a		9,590		10,080,656
ConocoPhillips
6.00%, 01/15/20		14,978		16,741,625
6.50%, 02/01/39		31,849		40,384,570
ConocoPhillips Co.
2.40%, 12/15/22 (Call 09/15/22)		8,475		8,402,864
2.88%, 11/15/21 (Call 09/15/21)		9,700		9,953,481
3.35%, 11/15/24 (Call 08/15/24)^a		13,611		13,811,019
4.20%, 03/15/21 (Call 02/15/21)^a		12,475		13,494,362
4.30%, 11/15/44 (Call 05/15/44)^a		13,565		13,549,294
4.95%, 03/15/26 (Call 12/15/25)^a		18,050		20,198,937
ConocoPhillips Holding Co.
6.95%, 04/15/29		17,106		21,507,728
Devon Energy Corp.
3.25%, 05/15/22 (Call 02/15/22)^a		13,402		13,446,609
4.75%, 05/15/42 (Call 11/15/41)		6,361		5,991,903
5.00%, 06/15/45 (Call 12/15/44)		11,705		11,373,940


SCHEDULESOF INVESTMENTS			95

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.60%, 07/15/41 (Call 01/15/41)	$	16,818	$	17,343,310
5.85%, 12/15/25 (Call 09/15/25)^a		6,125		7,020,635
7.95%, 04/15/32		13,019		16,302,107
Devon Financing Co. LLC
7.88%, 09/30/31		15,473		19,570,824
Encana Corp.
6.50%, 08/15/34		3,450		3,723,342
EOG Resources Inc.
2.63%, 03/15/23 (Call 12/15/22)^a		17,215		17,158,595
4.10%, 02/01/21^a		5,036		5,395,785
4.15%, 01/15/26 (Call 10/15/25)^a		8,750		9,478,382
Exxon Mobil Corp.
1.91%, 03/06/20 (Call 02/06/20)		8,425		8,502,029
2.22%, 03/01/21 (Call 02/01/21)		37,233		37,749,693
2.40%, 03/06/22 (Call 01/06/22)		10,700		10,889,904
2.71%, 03/06/25 (Call 12/06/24)		25,952		26,292,238
2.73%, 03/01/23 (Call 01/01/23)^a		18,150		18,518,302
3.04%, 03/01/26 (Call 12/01/25)^a		31,621		32,690,969
3.18%, 03/15/24 (Call 12/15/23)^a		11,935		12,459,888
3.57%, 03/06/45 (Call 09/06/44)^a		12,780		12,752,087
4.11%, 03/01/46 (Call 09/01/45)^a		29,585		31,906,088
Hess Corp.
4.30%, 04/01/27 (Call 01/01/27)		13,450		13,389,206
5.60%, 02/15/41		13,724		13,569,273
6.00%, 01/15/40		12,733		13,088,760
Husky Energy Inc.
4.00%, 04/15/24 (Call 01/15/24)^a		16,963		17,853,435
Marathon Oil Corp.
2.80%, 11/01/22 (Call 08/01/22)^a		10,040		9,526,814


Security	Principal (000s)		Value
3.85%, 06/01/25 (Call 03/01/25)^a	$	6,284	$	6,034,788
6.60%, 10/01/37		10,206		10,804,911
Marathon Petroleum Corp.
3.63%, 09/15/24 (Call 06/15/24)		11,900		11,795,461
4.75%, 09/15/44 (Call 03/15/44)		9,392		8,314,873
5.13%, 03/01/21^a		12,730		14,052,504
6.50%, 03/01/41 (Call 09/01/40)^a		12,285		13,248,822
Nexen Energy ULC
5.88%, 03/10/35		0		0
Noble Energy Inc.
4.15%, 12/15/21 (Call 09/15/21)		11,835		12,549,790
5.05%, 11/15/44 (Call 05/15/44)		9,254		9,349,689
5.25%, 11/15/43 (Call 05/15/43)		13,095		13,576,290
6.00%, 03/01/41 (Call 09/01/40)		11,991		13,247,843
Occidental Petroleum Corp.
2.70%, 02/15/23 (Call 11/15/22)		15,856		16,053,832
3.13%, 02/15/22 (Call 11/15/21)		9,588		10,010,232
3.40%, 04/15/26 (Call 01/15/26)^a		13,990		14,558,376
3.50%, 06/15/25 (Call 03/15/25)^a		10,350		10,903,876
4.40%, 04/15/46 (Call 10/15/45)^a		14,580		15,564,396
4.63%, 06/15/45 (Call 12/15/44)		8,155		8,872,647
Series 1
4.10%, 02/01/21 (Call 11/01/20)^a		14,720		15,893,598
Petro-Canada
6.80%, 05/15/38^a		7,972		10,394,236
Phillips 66
4.30%, 04/01/22^a		17,044		18,715,929
4.65%, 11/15/34 (Call 05/15/34)		8,650		9,114,933


96		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.88%, 11/15/44 (Call 05/15/44)^a	$	17,565	$	18,740,445
5.88%, 05/01/42^a		22,600		27,462,456
Shell International Finance BV
1.75%, 09/12/21^a		5,250		5,188,548
1.88%, 05/10/21^a		20,079		19,937,638
2.13%, 05/11/20^a		16,472		16,614,639
2.25%, 11/10/20^a		13,685		13,837,471
2.25%, 01/06/23		16,542		16,348,067
2.38%, 08/21/22		17,901		17,919,755
2.50%, 09/12/26^a		10,019		9,703,660
2.88%, 05/10/26^a		24,550		24,589,638
3.25%, 05/11/25^a		33,259		34,496,298
3.40%, 08/12/23^a		17,858		18,747,127
3.75%, 09/12/46^a		7,800		7,420,562
4.00%, 05/10/46^a		30,275		29,870,590
4.13%, 05/11/35^a		20,038		20,723,227
4.38%, 03/25/20		17,255		18,666,335
4.38%, 05/11/45^a		36,068		37,496,985
4.55%, 08/12/43		12,995		13,872,355
5.50%, 03/25/40^a		14,666		17,519,254
6.38%, 12/15/38^a		32,302		42,422,607
Statoil ASA
2.25%, 11/08/19		8,470		8,605,218
2.45%, 01/17/23^a		8,905		8,956,778
2.65%, 01/15/24		13,516		13,605,206
2.75%, 11/10/21		1,730		1,789,789
2.90%, 11/08/20		9,527		9,888,617
3.15%, 01/23/22		13,264		13,926,077
3.70%, 03/01/24		9,920		10,697,947
3.95%, 05/15/43		4,442		4,451,011
4.80%, 11/08/43^a		11,031		12,444,158
5.10%, 08/17/40		8,502		9,871,475
Suncor Energy Inc.
3.60%, 12/01/24 (Call 09/01/24)		7,049		7,321,261
6.50%, 06/15/38^a		16,910		21,679,261
6.85%, 06/01/39		7,920		10,591,816
Total Capital Canada Ltd.
2.75%, 07/15/23^a		14,542		14,837,107
Total Capital International SA
2.70%, 01/25/23^a		12,441		12,689,182
2.75%, 06/19/21^a		10,850		11,240,373
2.88%, 02/17/22^a		12,716		13,170,720


Security	Principal (000s)		Value
3.70%, 01/15/24^a	$	10,050	$	10,855,583
3.75%, 04/10/24^a		15,197		16,443,779
Total Capital SA
4.45%, 06/24/20^a		18,331		19,967,548
Valero Energy Corp.
3.40%, 09/15/26 (Call 06/15/26)		12,110		11,831,721
6.13%, 02/01/20^a		8,579		9,620,044
6.63%, 06/15/37^a		21,143		24,759,413
7.50%, 04/15/32^a		8,826		11,015,458

				2,077,396,025
OIL & GAS SERVICES — 0.59%
Baker Hughes Inc.
3.20%, 08/15/21 (Call 05/15/21)^a		1,554		1,623,183
5.13%, 09/15/40		14,122		16,182,863
Halliburton Co.
3.50%, 08/01/23 (Call 05/01/23)		11,996		12,383,402
3.80%, 11/15/25 (Call 08/15/25)^a		20,895		21,631,405
4.75%, 08/01/43 (Call 02/01/43)^a		13,941		14,586,431
4.85%, 11/15/35 (Call 05/15/35)^a		9,825		10,538,129
5.00%, 11/15/45 (Call 05/15/45)^a		21,115		22,989,427
6.70%, 09/15/38^a		9,417		11,997,782
7.45%, 09/15/39		14,616		20,095,324
National Oilwell Varco Inc.
2.60%, 12/01/22 (Call 09/01/22)^a		19,021		17,931,412
3.95%, 12/01/42 (Call 06/01/42)^a		8,714		6,641,367
Schlumberger Investment SA
3.65%, 12/01/23 (Call 09/01/23)		22,202		23,735,197

				180,335,922
PHARMACEUTICALS — 6.07%
AbbVie Inc.
2.30%, 05/14/21 (Call 04/14/21)		18,035		18,012,611
2.50%, 05/14/20 (Call 04/14/20)		38,602		39,046,985


SCHEDULESOF INVESTMENTS			97

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.85%, 05/14/23 (Call 03/14/23)	$	16,800	$	16,817,395
2.90%, 11/06/22^a		38,114		38,572,816
3.20%, 11/06/22 (Call 09/06/22)^a		14,043		14,445,346
3.20%, 05/14/26 (Call 02/14/26)^a		26,240		25,869,213
3.60%, 05/14/25 (Call 02/14/25)		49,995		50,986,316
4.30%, 05/14/36 (Call 11/14/35)		10,550		10,512,869
4.40%, 11/06/42^a		28,502		27,982,238
4.45%, 05/14/46 (Call 11/14/45)		23,835		23,585,178
4.50%, 05/14/35 (Call 11/14/34)^a		32,415		33,071,193
4.70%, 05/14/45 (Call 11/14/44)		32,435		33,272,686
Actavis Funding SCS
3.00%, 03/12/20 (Call 02/12/20)^a		45,903		47,281,582
3.45%, 03/15/22 (Call 01/15/22)		34,280		35,582,613
3.80%, 03/15/25 (Call 12/15/24)^a		53,032		54,938,156
3.85%, 06/15/24 (Call 03/15/24)		18,400		19,174,055
4.55%, 03/15/35 (Call 09/15/34)^a		28,605		29,531,556
4.75%, 03/15/45 (Call 09/15/44)^a		30,690		32,069,141
4.85%, 06/15/44 (Call 12/15/43)		22,184		23,281,755
Actavis Inc.
3.25%, 10/01/22 (Call 07/01/22)^a		15,908		16,311,904
4.63%, 10/01/42 (Call 04/01/42)		7,644		7,789,231
AstraZeneca PLC
2.38%, 11/16/20		19,842		20,182,409
3.38%, 11/16/25^a		22,860		23,799,041
4.00%, 09/18/42^a		5,017		5,052,486
4.38%, 11/16/45^a		18,685		19,773,958
6.45%, 09/15/37		33,865		45,627,544


Security	Principal (000s)		Value
Baxalta Inc.
2.88%, 06/23/20 (Call 05/23/20)^a	$	14,130	$	14,430,619
4.00%, 06/23/25 (Call 03/23/25)		18,825		19,698,241
5.25%, 06/23/45 (Call 12/23/44)		17,204		19,532,804
Bristol-Myers Squibb Co.
2.00%, 08/01/22		11,188		11,172,153
Eli Lilly & Co.
2.75%, 06/01/25 (Call 03/01/25)		11,868		12,294,975
3.70%, 03/01/45 (Call 09/01/44)		10,463		10,702,135
Express Scripts Holding Co.
3.00%, 07/15/23 (Call 05/15/23)^a		14,220		14,166,664
3.40%, 03/01/27 (Call 12/01/26)^a		18,650		18,385,013
3.50%, 06/15/24 (Call 03/15/24)		15,812		16,237,030
3.90%, 02/15/22^a		8,442		9,024,747
4.50%, 02/25/26 (Call 11/27/25)^a		14,740		15,794,281
4.75%, 11/15/21		15,786		17,474,832
4.80%, 07/15/46 (Call 01/15/46)^a		18,150		18,176,189
GlaxoSmithKline Capital Inc.
2.80%, 03/18/23		18,724		19,276,596
6.38%, 05/15/38		33,534		46,718,331
GlaxoSmithKline Capital PLC
2.85%, 05/08/22		22,570		23,449,185
Johnson & Johnson
1.65%, 03/01/21 (Call 02/01/21)		11,010		11,039,410
2.45%, 03/01/26 (Call 12/01/25)		28,352		28,603,686
3.38%, 12/05/23^a		8,401		9,131,601
3.55%, 03/01/36 (Call 09/01/35)^a		13,592		14,433,280
3.70%, 03/01/46 (Call 09/01/45)		21,752		23,215,955
4.38%, 12/05/33 (Call 06/05/33)		8,670		10,029,237


98		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.95%, 08/15/37^a	$	11,974	$	16,799,757
McKesson Corp.
3.80%, 03/15/24 (Call 12/15/23)^a		12,316		13,035,145
4.88%, 03/15/44 (Call 09/15/43)		7,104		7,676,680
Mead Johnson Nutrition Co.
3.00%, 11/15/20		4,010		4,139,357
4.13%, 11/15/25 (Call 08/15/25)		9,070		9,683,485
Merck & Co. Inc.
1.85%, 02/10/20^a		9,624		9,730,855
2.35%, 02/10/22		12,545		12,761,109
2.40%, 09/15/22 (Call 06/15/22)		19,496		19,815,438
2.75%, 02/10/25 (Call 11/10/24)		33,956		34,607,772
2.80%, 05/18/23		21,487		22,130,110
3.70%, 02/10/45 (Call 08/10/44)^a		21,078		21,460,216
3.88%, 01/15/21 (Call 10/15/20)^a		10,129		10,941,953
4.15%, 05/18/43		17,421		19,117,340
Mylan NV
3.15%, 06/15/21 (Call 05/15/21)^a,b		21,750		22,114,506
3.95%, 06/15/26 (Call 03/15/26)^a,b		35,530		35,425,791
5.25%, 06/15/46 (Call 12/15/45)^a,b		12,340		12,493,238
Novartis Capital Corp.
2.40%, 09/21/22^a		22,395		22,876,441
3.00%, 11/20/25 (Call 08/20/25)^a		17,215		17,958,803
3.40%, 05/06/24		26,475		28,536,370
4.00%, 11/20/45 (Call 05/20/45)^a		18,095		19,411,386
4.40%, 04/24/20		8,577		9,363,648
4.40%, 05/06/44		21,830		24,652,787
Perrigo Co. PLC
4.00%, 11/15/23 (Call 08/15/23)^a		10,590		10,905,354
Perrigo Finance Unlimited Co.
3.90%, 12/15/24 (Call 09/15/24)		2,721		2,754,359


Security	Principal (000s)		Value
Pfizer Inc.
1.95%, 06/03/21^a	$	13,877	$	13,933,121
2.75%, 06/03/26^a		24,750		25,208,672
3.00%, 06/15/23		11,323		11,890,283
3.40%, 05/15/24^a		11,040		11,867,725
4.30%, 06/15/43^a		11,525		12,714,132
4.40%, 05/15/44		6,550		7,353,538
7.20%, 03/15/39^a		31,034		46,020,191
Sanofi
4.00%, 03/29/21		28,226		30,802,100
Shire Acquisitions Investments Ireland DAC
2.40%, 09/23/21 (Call 08/23/21)^a		38,250		37,893,380
2.88%, 09/23/23 (Call 07/23/23)^a		31,700		31,215,513
3.20%, 09/23/26 (Call 06/23/26)		36,250		35,515,724
Teva Pharmaceutical Finance Netherlands III BV
2.20%, 07/21/21		—		—
2.80%, 07/21/23		—		—
3.15%, 10/01/26		330		320,842
4.10%, 10/01/46		—		—
Wyeth LLC
5.95%, 04/01/37		20,710		26,920,059
6.50%, 02/01/34^a		10,170		13,613,626
Zoetis Inc.
3.25%, 02/01/23 (Call 11/01/22)^a		21,255		21,644,647
4.50%, 11/13/25 (Call 08/13/25)^a		6,800		7,518,189
4.70%, 02/01/43 (Call 08/01/42)		13,305		13,620,918

				1,852,001,801
PIPELINES — 2.60%
Columbia Pipeline Group Inc.
3.30%, 06/01/20 (Call 05/01/20)^a		8,880		9,160,509
4.50%, 06/01/25 (Call 03/01/25)		11,611		12,516,837
Energy Transfer Partners LP
3.60%, 02/01/23 (Call 11/01/22)		9,744		9,617,897


SCHEDULESOF INVESTMENTS			99

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.05%, 03/15/25 (Call 12/15/24)	$	11,055	$	10,918,816
4.15%, 10/01/20 (Call 08/01/20)		6,310		6,611,146
4.65%, 06/01/21 (Call 03/01/21)		8,933		9,565,088
4.75%, 01/15/26 (Call 10/15/25)		13,935		14,350,653
5.15%, 03/15/45 (Call 09/15/44)		15,944		14,709,072
5.20%, 02/01/22 (Call 11/01/21)		13,655		14,899,787
6.13%, 12/15/45 (Call 06/15/45)		10,510		10,924,131
6.50%, 02/01/42 (Call 08/01/41)^a		12,956		13,714,045
Enterprise Products Operating LLC
3.35%, 03/15/23 (Call 12/15/22)		14,367		14,654,284
3.70%, 02/15/26 (Call 11/15/25)^a		12,620		12,845,555
3.75%, 02/15/25 (Call 11/15/24)^a		13,452		13,897,459
3.90%, 02/15/24 (Call 11/15/23)		11,640		12,155,027
3.95%, 02/15/27 (Call 11/15/26)^a		2,170		2,257,777
4.45%, 02/15/43 (Call 08/15/42)		11,988		11,551,277
4.85%, 08/15/42 (Call 02/15/42)		11,947		12,137,280
4.85%, 03/15/44 (Call 09/15/43)		18,135		18,308,173
4.90%, 05/15/46 (Call 11/15/45)		7,810		8,038,515
5.10%, 02/15/45 (Call 08/15/44)		13,644		14,410,569
5.20%, 09/01/20		13,343		14,862,047
5.95%, 02/01/41		9,835		11,252,968
Kinder Morgan Energy Partners LP
3.50%, 03/01/21 (Call 01/01/21)		11,062		11,351,903


Security	Principal (000s)		Value
3.95%, 09/01/22 (Call 06/01/22)^a	$	14,169	$	14,822,054
5.50%, 03/01/44 (Call 09/01/43)		14,886		15,051,190
6.95%, 01/15/38		10,469		11,955,423
Kinder Morgan Inc./DE
3.05%, 12/01/19 (Call 11/01/19)		14,840		15,202,878
4.30%, 06/01/25 (Call 03/01/25)^a		21,231		22,029,126
5.05%, 02/15/46 (Call 08/15/45)		15,625		15,121,931
5.30%, 12/01/34 (Call 06/01/34)		7,504		7,545,995
5.55%, 06/01/45 (Call 12/01/44)^a		18,225		18,915,946
7.75%, 01/15/32		10,269		12,520,600
MPLX LP
4.50%, 07/15/23 (Call 04/15/23)		11,650		11,990,996
4.88%, 12/01/24 (Call 09/01/24)^a		11,540		12,060,583
4.88%, 06/01/25 (Call 03/01/25)		15,235		15,911,434
ONEOK Partners LP
3.38%, 10/01/22 (Call 07/01/22)		11,801		12,022,508
Plains All American Pipeline LP/PAA Finance Corp.
3.60%, 11/01/24 (Call 08/01/24)		13,684		13,482,361
3.65%, 06/01/22 (Call 03/01/22)		6,701		6,900,205
4.65%, 10/15/25 (Call 07/15/25)^a		11,570		12,260,525
Regency Energy Partners LP/Regency Energy Finance Corp.
5.88%, 03/01/22 (Call 12/01/21)^a		13,141		14,686,112
Spectra Energy Partners LP
4.75%, 03/15/24 (Call 12/15/23)		9,345		10,210,728


100		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
Sunoco Logistics Partners Operations LP
5.35%, 05/15/45 (Call 11/15/44)	$	12,760	$	12,870,110
TransCanada PipeLines Ltd.
2.50%, 08/01/22^a		7,609		7,592,558
3.80%, 10/01/20^a		13,288		14,121,017
4.63%, 03/01/34 (Call 12/01/33)^a		14,914		16,329,052
4.88%, 01/15/26 (Call 10/15/25)^a		12,705		14,557,422
6.10%, 06/01/40		8,567		10,897,879
6.20%, 10/15/37^a		10,910		13,850,163
7.63%, 01/15/39		17,446		25,803,412
Transcontinental Gas Pipe Line Co. LLC
7.85%, 02/01/26 (Call 11/01/25)^b		5,400		6,881,272
Williams Partners LP
3.35%, 08/15/22 (Call 05/15/22)		8,831		8,797,379
3.60%, 03/15/22 (Call 01/15/22)		10,615		10,802,959
3.90%, 01/15/25 (Call 10/15/24)		9,636		9,565,831
4.00%, 09/15/25 (Call 06/15/25)		8,665		8,645,543
4.30%, 03/04/24 (Call 12/04/23)		14,030		14,329,931
5.10%, 09/15/45 (Call 03/15/45)		10,195		9,760,168
5.25%, 03/15/20		18,218		19,686,886
6.30%, 04/15/40		16,828		17,807,756
Williams Partners LP/ACMP Finance Corp.
4.88%, 05/15/23 (Call 12/15/17)		18,750		18,984,375
4.88%, 03/15/24 (Call 03/15/19)		15,850		16,167,000
6.13%, 07/15/22 (Call 01/15/17)		8,570		8,867,522

				793,719,645


Security	Principal (000s)		Value
REAL ESTATE — 0.07%
Prologis LP
3.75%, 11/01/25 (Call 08/01/25)^a	$	8,950	$	9,558,278
4.25%, 08/15/23 (Call 05/15/23)^a		9,900		10,742,441

				20,300,719
REAL ESTATE INVESTMENT TRUSTS — 1.05%
American Tower Corp.
2.80%, 06/01/20 (Call 05/01/20)		8,860		9,030,155
3.30%, 02/15/21 (Call 01/15/21)^a		8,429		8,748,975
3.38%, 10/15/26 (Call 07/15/26)		3,550		3,532,032
3.50%, 01/31/23^a		14,346		14,779,080
4.00%, 06/01/25 (Call 03/01/25)^a		13,577		14,277,944
4.70%, 03/15/22^a		2,100		2,313,591
5.00%, 02/15/24		12,371		13,777,048
Boston Properties LP
2.75%, 10/01/26 (Call 07/01/26)		5,000		4,820,033
3.65%, 02/01/26 (Call 11/03/25)		12,350		12,827,717
3.85%, 02/01/23 (Call 11/01/22)^a		13,758		14,525,950
4.13%, 05/15/21 (Call 02/15/21)		11,621		12,537,802
Crown Castle International Corp.
2.25%, 09/01/21 (Call 08/01/21)^a		2,480		2,458,620
3.40%, 02/15/21 (Call 01/15/21)		605		628,737
3.70%, 06/15/26 (Call 03/15/26)^a		2,450		2,511,141
4.45%, 02/15/26 (Call 11/15/25)		3,765		4,066,117
4.88%, 04/15/22^a		7,575		8,351,884
5.25%, 01/15/23		34,265		38,323,141
ERP Operating LP
4.50%, 07/01/44 (Call 01/01/44)		6,423		6,894,117


SCHEDULESOF INVESTMENTS			101

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.63%, 12/15/21 (Call 09/15/21)	$	13,711	$	15,288,492
HCP Inc.
2.63%, 02/01/20 (Call 11/01/19)^a		6,637		6,714,914
3.88%, 08/15/24 (Call 05/17/24)		9,015		9,252,032
4.00%, 06/01/25 (Call 03/01/25)		11,275		11,501,598
4.25%, 11/15/23 (Call 08/15/23)		10,628		11,115,264
5.38%, 02/01/21 (Call 11/03/20)		9,970		11,080,314
Simon Property Group LP
3.30%, 01/15/26 (Call 10/15/25)^a		9,800		10,217,022
3.38%, 10/01/24 (Call 07/01/24)^a		7,899		8,266,479
4.38%, 03/01/21 (Call 12/01/20)		10,149		11,111,495
5.65%, 02/01/20 (Call 11/01/19)		17,271		19,211,082
Welltower Inc.
4.00%, 06/01/25 (Call 03/01/25)^a		13,975		14,571,678
Weyerhaeuser Co.
7.38%, 03/15/32^a		14,489		19,031,984

				321,766,438
RETAIL — 4.26%
Costco Wholesale Corp.
1.70%, 12/15/19		9,887		9,952,590
CVS Health Corp.
2.13%, 06/01/21 (Call 05/01/21)^a		22,325		22,340,866
2.75%, 12/01/22 (Call 09/01/22)		16,655		16,944,705
2.80%, 07/20/20 (Call 06/20/20)^a		32,095		33,063,932
2.88%, 06/01/26 (Call 03/01/26)		18,700		18,558,602
3.50%, 07/20/22 (Call 05/20/22)^a		18,477		19,490,207
3.88%, 07/20/25 (Call 04/20/25)		37,838		40,368,034


Security	Principal (000s)		Value
4.00%, 12/05/23 (Call 09/05/23)^a	$	18,952	$	20,525,814
4.88%, 07/20/35 (Call 01/20/35)^a		1,763		1,979,686
5.13%, 07/20/45 (Call 01/20/45)^a		42,160		48,951,002
5.30%, 12/05/43 (Call 06/05/43)		7,340		8,652,996
Home Depot Inc. (The)
2.00%, 04/01/21 (Call 03/01/21)^a		13,140		13,297,154
2.13%, 09/15/26 (Call 06/15/26)^a		6,505		6,267,688
2.63%, 06/01/22 (Call 05/01/22)		16,479		16,983,498
2.70%, 04/01/23 (Call 01/01/23)^a		10,243		10,515,545
3.00%, 04/01/26 (Call 01/01/26)^a		15,975		16,570,182
3.35%, 09/15/25 (Call 06/15/25)		12,400		13,227,396
3.50%, 09/15/56 (Call 03/15/56)		8,980		8,324,986
3.75%, 02/15/24 (Call 11/15/23)		20,041		21,835,415
4.20%, 04/01/43 (Call 10/01/42)		13,753		14,879,202
4.25%, 04/01/46 (Call 10/01/45)^a		20,584		22,473,119
4.40%, 04/01/21 (Call 01/01/21)		15,518		17,131,866
4.40%, 03/15/45 (Call 09/15/44)		13,765		15,383,149
4.88%, 02/15/44 (Call 08/15/43)		8,665		10,252,204
5.88%, 12/16/36		38,257		50,505,594
5.95%, 04/01/41 (Call 10/01/40)^a		14,252		19,000,840
Lowe’s Companies Inc.
2.50%, 04/15/26 (Call 01/15/26)		16,036		15,845,832
3.12%, 04/15/22 (Call 01/15/22)^a		6,544		6,873,049


102		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
3.38%, 09/15/25 (Call 06/15/25)	$	16,635	$	17,668,564
3.70%, 04/15/46 (Call 10/15/45)^a		13,735		13,541,199
4.38%, 09/15/45 (Call 03/15/45)		8,825		9,619,994
4.65%, 04/15/42 (Call 10/15/41)^a		6,056		6,799,301
Macy’s Retail Holdings Inc.
2.88%, 02/15/23 (Call 11/15/22)^a		10,990		10,596,337
McDonald’s Corp.
2.63%, 01/15/22		11,473		11,744,688
2.75%, 12/09/20 (Call 11/09/20)		15,550		16,029,326
3.70%, 01/30/26 (Call 10/30/25)^a		15,830		16,713,923
4.70%, 12/09/35 (Call 06/09/35)^a		11,177		12,263,504
4.88%, 12/09/45 (Call 06/09/45)^a		19,834		22,197,404
6.30%, 10/15/37		8,626		11,076,282
6.30%, 03/01/38^a		10,000		12,853,640
Starbucks Corp.
2.10%, 02/04/21 (Call 01/04/21)		15,265		15,467,721
3.85%, 10/01/23 (Call 07/01/23)		450		496,043
Target Corp.
2.50%, 04/15/26^a		17,013		16,944,691
2.90%, 01/15/22^a		9,579		9,994,875
3.50%, 07/01/24		15,750		16,961,893
3.63%, 04/15/46^a		10,390		10,247,325
3.88%, 07/15/20		6,956		7,514,680
4.00%, 07/01/42^a		16,894		17,631,663
6.50%, 10/15/37		1,000		1,394,749
TJX Companies Inc. (The)
2.25%, 09/15/26 (Call 06/15/26)		10,000		9,617,300
Wal-Mart Stores Inc.
2.55%, 04/11/23 (Call 01/11/23)		23,124		23,678,590
3.25%, 10/25/20^a		18,968		20,201,603


Security	Principal (000s)		Value
3.30%, 04/22/24 (Call 01/22/24)^a	$	19,684	$	21,057,071
3.63%, 07/08/20^a		22,591		24,272,143
4.00%, 04/11/43 (Call 10/11/42)^a		13,515		14,445,258
4.25%, 04/15/21^a		15,019		16,648,694
4.30%, 04/22/44 (Call 10/22/43)^a		5,943		6,664,324
4.75%, 10/02/43 (Call 04/02/43)^a		9,512		11,301,219
4.88%, 07/08/40		10,744		12,802,069
5.00%, 10/25/40		17,538		21,186,390
5.25%, 09/01/35		33,639		42,940,315
5.63%, 04/01/40		18,675		24,258,261
5.63%, 04/15/41		20,223		26,438,353
5.88%, 04/05/27^a		5,979		7,682,727
6.20%, 04/15/38		26,411		36,692,440
6.50%, 08/15/37^a		32,635		46,703,958
7.55%, 02/15/30		9,952		14,814,734
Walgreen Co.
3.10%, 09/15/22		13,109		13,527,560
Walgreens Boots Alliance Inc.
2.60%, 06/01/21 (Call 05/01/21)^a		10,225		10,339,542
2.70%, 11/18/19 (Call 10/18/19)^a		16,125		16,537,213
3.10%, 06/01/23 (Call 04/01/23)^a		9,750		9,895,566
3.30%, 11/18/21 (Call 09/18/21)		19,000		19,857,924
3.45%, 06/01/26 (Call 03/01/26)^a		24,350		24,854,783
3.80%, 11/18/24 (Call 08/18/24)^a		23,625		24,838,267
4.80%, 11/18/44 (Call 05/18/44)^a		20,945		22,351,928

				1,301,561,187
SEMICONDUCTORS — 1.11%
Applied Materials Inc.
4.30%, 06/15/21		11,249		12,425,571
Intel Corp.
2.45%, 07/29/20^a		23,410		24,080,736
2.60%, 05/19/26 (Call 02/19/26)^a		12,100		12,149,331


SCHEDULESOF INVESTMENTS			103

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
2.70%, 12/15/22^a	$	21,347	$	22,062,052
3.10%, 07/29/22		7,615		8,039,278
3.30%, 10/01/21		23,915		25,437,929
3.70%, 07/29/25 (Call 04/29/25)^a		28,420		31,039,895
4.00%, 12/15/32^a		4,589		4,910,632
4.10%, 05/19/46 (Call 11/19/45)^a		13,510		13,945,807
4.25%, 12/15/42		15,433		16,287,994
4.80%, 10/01/41^a		17,434		19,831,911
4.90%, 07/29/45 (Call 01/29/45)^a		23,509		26,858,844
Lam Research Corp.
2.80%, 06/15/21 (Call 05/15/21)		7,975		8,120,631
NVIDIA Corp.
2.20%, 09/16/21 (Call 08/16/21)^a		6,000		5,990,013
3.20%, 09/16/26 (Call 06/16/26)		6,750		6,741,675
QUALCOMM Inc.
2.25%, 05/20/20		24,444		24,801,068
3.00%, 05/20/22^a		27,559		28,738,341
3.45%, 05/20/25 (Call 02/20/25)^a		13,333		13,985,680
4.65%, 05/20/35 (Call 11/20/34)		15,945		17,242,945
4.80%, 05/20/45 (Call 11/20/44)		14,240		15,643,845

				338,334,178
SOFTWARE — 3.91%
Activision Blizzard Inc.
3.40%, 09/15/26 (Call 06/15/26)^b		10,500		10,447,500
Fidelity National Information Services Inc.
2.25%, 08/15/21 (Call 07/15/21)		1,900		1,897,743
3.00%, 08/15/26 (Call 05/15/26)		14,015		13,694,076
3.50%, 04/15/23 (Call 01/15/23)^a		10,630		11,062,032
3.63%, 10/15/20 (Call 09/15/20)		25,225		26,596,783


Security	Principal (000s)		Value
5.00%, 10/15/25 (Call 07/15/25)^a	$	23,250	$	26,118,025
Fiserv Inc.
2.70%, 06/01/20 (Call 05/01/20)		7,700		7,875,065
3.85%, 06/01/25 (Call 03/01/25)^a		12,850		13,653,191
Microsoft Corp.
1.55%, 08/08/21 (Call 07/08/21)		39,925		39,463,611
1.85%, 02/12/20 (Call 01/12/20)		14,878		15,034,639
2.00%, 11/03/20 (Call 10/03/20)^a		23,700		24,049,288
2.00%, 08/08/23 (Call 06/08/23)		9,100		8,958,033
2.13%, 11/15/22^a		6,842		6,854,266
2.38%, 02/12/22 (Call 01/12/22)		18,720		19,081,232
2.38%, 05/01/23 (Call 02/01/23)^a		13,740		13,876,648
2.40%, 08/08/26 (Call 05/08/26)		46,590		45,736,206
2.65%, 11/03/22 (Call 09/03/22)		11,500		11,876,790
2.70%, 02/12/25 (Call 11/12/24)^a		26,482		26,977,931
3.00%, 10/01/20		8,563		9,000,275
3.13%, 11/03/25 (Call 08/03/25)		33,972		35,593,823
3.45%, 08/08/36 (Call 02/08/36)^a		25,560		25,246,849
3.50%, 02/12/35 (Call 08/12/34)		24,182		24,262,354
3.50%, 11/15/42^a		9,882		9,375,004
3.63%, 12/15/23 (Call 09/15/23)^a		25,097		27,250,674
3.70%, 08/08/46 (Call 02/08/46)		57,125		55,890,095
3.75%, 02/12/45 (Call 08/12/44)^a		28,735		28,341,339
3.95%, 08/08/56 (Call 02/08/56)^a		30,450		29,739,787
4.00%, 02/12/55 (Call 08/12/54)^a		19,795		19,484,610


104		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
4.20%, 11/03/35 (Call 05/03/35)^a	$	13,875	$	15,238,388
4.45%, 11/03/45 (Call 05/03/45)^a		39,629		43,574,380
4.50%, 10/01/40^a		9,400		10,356,119
4.75%, 11/03/55 (Call 05/03/55)		7,770		8,720,262
5.20%, 06/01/39^a		12,719		15,361,367
5.30%, 02/08/41^a		11,208		13,794,695
Oracle Corp.
1.90%, 09/15/21 (Call 08/15/21)^a		53,390		53,202,452
2.40%, 09/15/23 (Call 07/15/23)^a		17,600		17,532,583
2.50%, 05/15/22 (Call 03/15/22)^a		27,038		27,465,173
2.50%, 10/15/22^a		37,745		38,324,956
2.65%, 07/15/26 (Call 04/15/26)^a		38,950		38,516,132
2.80%, 07/08/21		14,772		15,316,599
2.95%, 05/15/25 (Call 02/15/25)		37,340		38,070,113
3.40%, 07/08/24 (Call 04/08/24)^a		29,358		30,989,568
3.63%, 07/15/23^a		15,163		16,228,848
3.85%, 07/15/36 (Call 01/15/36)^a		6,425		6,456,949
3.88%, 07/15/20		13,981		15,068,809
3.90%, 05/15/35 (Call 11/15/34)		12,985		13,196,769
4.00%, 07/15/46 (Call 01/15/46)		36,950		36,473,404
4.13%, 05/15/45 (Call 11/15/44)		26,706		26,918,337
4.30%, 07/08/34 (Call 01/08/34)		21,941		23,392,375
4.38%, 05/15/55 (Call 11/15/54)		23,829		24,585,199
4.50%, 07/08/44 (Call 01/08/44)^a		10,437		11,065,291
5.38%, 07/15/40		20,285		24,196,068
6.13%, 07/08/39		17,662		22,916,816
6.50%, 04/15/38^a		13,489		18,109,117

				1,192,508,638


Security	Principal (000s)		Value
TELECOMMUNICATIONS — 7.73%
AT&T Corp.
8.25%, 11/15/31^a	$	1,396	$	1,995,183
AT&T Inc.
2.45%, 06/30/20 (Call 05/30/20)^a		33,910		34,099,255
2.63%, 12/01/22 (Call 09/01/22)		14,387		14,176,117
2.80%, 02/17/21 (Call 01/17/21)^a		29,125		29,489,779
3.00%, 02/15/22^a		22,083		22,328,620
3.00%, 06/30/22 (Call 04/30/22)		35,140		35,603,395
3.40%, 05/15/25 (Call 02/15/25)^a		65,368		65,178,649
3.60%, 02/17/23 (Call 12/17/22)^a		29,205		29,986,184
3.80%, 03/15/22^a		19,122		20,107,181
3.88%, 08/15/21^a		19,303		20,411,606
3.90%, 03/11/24 (Call 12/11/23)		16,267		16,930,889
3.95%, 01/15/25 (Call 10/15/24)^a		16,910		17,551,007
4.13%, 02/17/26 (Call 11/17/25)^a		35,623		37,251,566
4.30%, 12/15/42 (Call 06/15/42)		21,670		19,952,986
4.35%, 06/15/45 (Call 12/15/44)		37,225		34,027,372
4.45%, 05/15/21^a		14,125		15,267,961
4.45%, 04/01/24 (Call 01/01/24)^a		16,046		17,223,998
4.50%, 05/15/35 (Call 11/15/34)		25,544		25,342,555
4.50%, 03/09/48 (Call 09/09/47)^b		20,206		18,920,378
4.55%, 03/09/49 (Call 09/09/48)^b		20,300		19,139,246
4.60%, 02/15/21 (Call 11/15/20)		11,955		12,898,907
4.75%, 05/15/46 (Call 11/15/45)^a		33,869		33,143,706
4.80%, 06/15/44 (Call 12/15/43)		35,465		34,913,363


SCHEDULESOF INVESTMENTS			105

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.00%, 03/01/21^a	$	15,754	$	17,299,671
5.15%, 03/15/42^a		18,913		19,424,054
5.20%, 03/15/20^a		16,705		18,297,732
5.35%, 09/01/40		26,208		27,685,604
5.55%, 08/15/41^a		17,323		18,737,007
5.65%, 02/15/47 (Call 08/15/46)^a		17,350		19,124,908
6.00%, 08/15/40 (Call 05/15/40)		16,395		18,596,350
6.30%, 01/15/38		21,113		24,308,216
6.38%, 03/01/41		19,477		22,964,818
6.50%, 09/01/37		2,650		3,158,251
6.55%, 02/15/39^a		15,050		17,843,280
British Telecommunications PLC
9.38%, 12/15/30^a		30,556		48,663,296
CC Holdings GS V LLC/Crown Castle GS III Corp.
3.85%, 04/15/23^a		18,519		19,429,305
Cisco Systems Inc.
1.85%, 09/20/21 (Call 08/20/21)		19,400		19,332,692
2.20%, 02/28/21		26,353		26,805,481
2.20%, 09/20/23 (Call 07/20/23)		21,750		21,647,686
2.45%, 06/15/20^a		22,060		22,628,506
2.50%, 09/20/26 (Call 06/20/26)		13,917		13,805,706
2.95%, 02/28/26^a		7,060		7,302,279
3.63%, 03/04/24^a		14,646		15,870,316
4.45%, 01/15/20		30,110		32,718,619
5.50%, 01/15/40^a		30,883		38,827,130
5.90%, 02/15/39^a		20,568		26,945,719
Deutsche Telekom International Finance BV
8.75%, 06/15/30		40,446		61,479,190
New Cingular Wireless Services Inc.
8.75%, 03/01/31^a		10,368		15,815,629
Orange SA
4.13%, 09/14/21		14,224		15,539,030
5.38%, 01/13/42		10,717		12,662,586
5.50%, 02/06/44 (Call 08/06/43)^a		10,744		13,073,299
9.00%, 03/01/31		28,843		44,813,929


Security	Principal (000s)		Value
Rogers Communications Inc.
4.10%, 10/01/23 (Call 07/01/23)^a	$	12,064	$	13,178,103
5.00%, 03/15/44 (Call 09/15/43)^a		11,725		13,208,667
Telefonica Emisiones SAU
4.57%, 04/27/23		15,725		17,212,585
5.13%, 04/27/20		15,514		17,008,456
5.46%, 02/16/21		21,138		23,805,326
7.05%, 06/20/36		23,325		29,687,150
Telefonica Europe BV
8.25%, 09/15/30		10,293		14,618,941
Verizon Communications Inc.
1.75%, 08/15/21 (Call 07/15/21)^a		13,200		12,920,373
2.45%, 11/01/22 (Call 08/01/22)^a		25,556		25,536,209
2.63%, 02/21/20^a		42,078		42,806,307
2.63%, 08/15/26 (Call 05/15/26)^a		13,950		13,326,289
3.00%, 11/01/21 (Call 09/01/21)		17,009		17,478,438
3.45%, 03/15/21^a		10,825		11,322,495
3.50%, 11/01/21		28,846		30,448,404
3.50%, 11/01/24 (Call 08/01/24)^a		37,425		38,950,136
3.85%, 11/01/42 (Call 05/01/42)		7,969		7,305,476
4.13%, 08/15/46 (Call 02/15/46)^a		4,635		4,417,231
4.15%, 03/15/24 (Call 12/15/23)^a		14,709		15,940,841
4.27%, 01/15/36^a		34,343		34,305,188
4.40%, 11/01/34 (Call 05/01/34)^a		27,909		28,210,292
4.50%, 09/15/20		50,096		54,501,357
4.52%, 09/15/48		68,300		68,334,935
4.60%, 04/01/21^a		17,499		19,230,195
4.67%, 03/15/55		70,700		69,170,335
4.75%, 11/01/41		9,448		9,781,852
4.86%, 08/21/46^a		60,522		63,715,419
5.01%, 08/21/54^a		65,990		68,193,175
5.05%, 03/15/34 (Call 12/15/33)^a		14,237		15,449,300


106		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.15%, 09/15/23	$	106,142	$	121,408,404
5.85%, 09/15/35		17,581		20,781,683
6.00%, 04/01/41		9,543		11,426,269
6.40%, 09/15/33		16,426		20,625,414
6.40%, 02/15/38^a		8,662		10,782,928
6.55%, 09/15/43		52,918		69,355,717
6.90%, 04/15/38		1,895		2,465,717
7.75%, 12/01/30		5,872		8,271,987
Vodafone Group PLC
2.50%, 09/26/22		11,548		11,497,750
2.95%, 02/19/23^a		19,152		19,341,557
4.38%, 02/19/43^a		23,582		22,731,060
6.15%, 02/27/37		16,988		20,039,189

				2,359,531,342
TRANSPORTATION — 0.79%
Burlington Northern Santa Fe LLC
3.00%, 04/01/25 (Call 01/01/25)		950		980,932
3.85%, 09/01/23 (Call 06/01/23)		6,514		7,097,170
3.90%, 08/01/46 (Call 02/01/46)^a		10,040		10,234,576
4.15%, 04/01/45 (Call 10/01/44)		10,006		10,538,259
4.45%, 03/15/43 (Call 09/15/42)		11,262		12,284,552
4.55%, 09/01/44 (Call 03/01/44)		7,670		8,482,761
4.90%, 04/01/44 (Call 10/01/43)		12,890		14,966,885
5.75%, 05/01/40 (Call 11/01/39)		12,302		15,638,856
Canadian Pacific Railway Co.
6.13%, 09/15/15 (Call 03/15/15)^a		11,688		14,047,694
CSX Corp.
2.60%, 11/01/26 (Call 08/01/26)		8,300		8,132,664
4.10%, 03/15/44 (Call 09/15/43)^a		10,450		10,616,061
FedEx Corp.
3.25%, 04/01/26 (Call 01/01/26)^a		5,200		5,384,257


Security	Principal or Shares (000s)		Value
4.00%, 01/15/24	$	8,039	$	8,799,772
4.55%, 04/01/46 (Call 10/01/45)^a		14,280		15,156,349
4.75%, 11/15/45 (Call 05/15/45)		16,830		18,272,124
5.10%, 01/15/44^a		13,380		15,268,897
Union Pacific Corp.
4.16%, 07/15/22 (Call 04/15/22)		8,618		9,556,691
United Parcel Service Inc.
2.45%, 10/01/22^a		12,471		12,779,928
3.13%, 01/15/21		19,586		20,815,752
6.20%, 01/15/38		16,855		23,347,586

				242,401,766
WATER — 0.01%
American Water Capital Corp.
6.59%, 10/15/37		2,585		3,621,216

				3,621,216

TOTAL CORPORATE BONDS & NOTES
(Cost: $29,881,212,597)				30,159,691,138

SHORT-TERM INVESTMENTS — 10.75%

MONEY MARKET FUNDS — 10.75%
BlackRock Cash Funds: Institutional,
SL Agency Shares
0.72%^d,e,f		3,086,600		3,086,908,217
BlackRock Cash Funds: Treasury,
SL Agency Shares
0.29%^d,e		193,002		193,001,855

				3,279,910,072

TOTAL SHORT-TERM INVESTMENTS
(Cost: $3,279,603,689)				3,279,910,072

TOTAL INVESTMENTS IN SECURITIES — 109.55%
(Cost: $33,160,816,286)^g				33,439,601,210
Other Assets, Less Liabilities — (9.55)%				(2,913,850,650	)

NET ASSETS — 100.00%			$	30,525,750,560

^a	All or a portion of this security represents a security on loan.

^b	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^c	Affiliated issuer. See Schedule 1.

^d	Affiliated money market fund.


SCHEDULESOF INVESTMENTS			107

Schedule of Investments (Unaudited) (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

October 31, 2016

^e	The rate quoted is the annualized seven-day yield of the fund at period end.

^f	All or a portion of this security represents an investment of securities lending collateral.

^g	The cost of investments for federal income tax purposes was $33,168,717,160. Net unrealized appreciation/depreciation was $270,884,050 of which $442,846,661 represented gross unrealized appreciation on securities and $171,962,611 represented gross unrealized depreciation on securities.

Schedule 1 — Affiliates

Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the period ended October 31, 2016, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:


Affiliated issuer	Principal held at beginning of period (000s)		Principal purchased (000s)		Principal sold (000s)			Principal held at end of period (000s)		Value at end of period		Interest income		Net realized gain (loss)
PNC Bank N.A.
2.15%, 04/29/21	$	—	$	15,750	$	—		$	15,750	$	15,889,389	$	86,206	$	—
2.20%, 01/28/19		6,275				(6,275	)		—		—		2,602		(53,213	)
2.25%, 07/02/19		7,750		1,400		(9,150	)		—		—		78,263		157,912
2.30%, 06/01/20		—		3,850		—			3,850		3,913,832		9,136		—
2.40%, 10/18/19		12,750		3,000		(10,000	)		5,750		5,874,190		218,569		120,941
2.45%, 11/05/20		2,400		8,700		—			11,100		11,320,272		120,222		—
2.60%, 07/21/20		11,000		1,330		—			12,330		12,645,585		192,392		—
2.70%, 11/01/22		9,587		7,775		(3,875	)		13,487		13,594,588		260,067		92,946
2.95%, 01/30/23		7,300		1,000		—			8,300		8,427,370		149,416		—
2.95%, 02/23/25		17,300		4,850		(4,650	)		17,500		17,810,438		377,688		247,878
3.25%, 06/01/25		—		6,750		—			6,750		7,021,352		12,864		—
3.80%, 07/25/23		15,653		6,000		(11,500	)		10,153		10,858,716		249,607		622,894
PNC Financial Services Group Inc. (The)
3.30%, 03/08/22		9,569		2,750		—			12,319		13,024,985		197,442		—
3.90%, 04/29/24		12,540		2,750		(5,300	)		9,990		10,594,822		359,382		320,396
4.38%, 08/11/20		10,724		50		—			10,774		11,723,417		196,330		—
5.13%, 02/08/20		3,965		600		—			4,565		5,029,522		85,142		—

										$	147,728,478	$	2,595,328	$	1,509,754

Schedule 2 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Corporate bonds & notes	$	—	$	30,159,691,138	$	—	$	30,159,691,138
Money market funds		3,279,910,072		—		—		3,279,910,072

Total	$	3,279,910,072	$	30,159,691,138	$	—	$	33,439,601,210


108		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Assets and Liabilities (Unaudited)

iSHARES^® TRUST

October 31, 2016


	iShares iBoxx $ High Yield Corporate Bond ETF			iShares iBoxx $ Investment Grade Corporate Bond ETF

ASSETS
Investments, at cost:
Unaffiliated	$	15,910,125,171		$	29,735,533,957
Affiliated		4,749,625,290			3,425,282,329

Total cost of investments	$	20,659,750,461		$	33,160,816,286

Investments in securities, at fair value (including securities on loan^a)
Unaffiliated	$	15,505,115,141		$	30,011,962,660
Affiliated		4,750,077,116			3,427,638,550

Total fair value of investments		20,255,192,257			33,439,601,210
Cash		221,719			—
Receivables:
Investment securities sold		4,217,122			28,070,146
Due from custodian		10,738,536			206,412
Interest		253,904,838			296,601,644
Capital shares sold		161			4,094,267

Total Assets		20,524,274,633			33,768,573,679


LIABILITIES
Payables:
Investment securities purchased		62,807,475			136,764,988
Collateral for securities on loan		4,518,235,642			3,086,569,901
Capital shares redeemed		15,654,477			15,406,036
Securities related to in-kind transactions		1,287,853			—
Investment advisory fees		7,472,067			4,082,194

Total Liabilities		4,605,457,514			3,242,823,119


NET ASSETS	$	15,918,817,119		$	30,525,750,560


Net assets consist of:
Paid-in capital	$	16,622,678,989		$	29,694,706,575
Undistributed net investment income		59,212,355			75,616,442
Undistributed net realized gain (accumulated net realized loss)		(358,516,021	)		476,642,619
Net unrealized appreciation (depreciation)		(404,558,204	)		278,784,924

NET ASSETS	$	15,918,817,119		$	30,525,750,560


Shares outstanding^b		184,800,000			252,600,000


Net asset value per share	$	86.14		$	120.85

^a	Securities on loan with values of $ 4,420,047,554 and $ 3,016,790,100 respectively.

^b	No par value, unlimited number of shares authorized.


FINANCIAL STATEMENTS			109

Schedule of Investments

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 97.16%

ADVERTISING — 0.51%
inVentiv Health Inc.
9.00%, 01/15/18 (Call 03/31/16)^a	$	10,800	$	11,016,000
Lamar Media Corp.
5.00%, 05/01/23 (Call 05/01/18)^b		11,347		11,421,465
5.38%, 01/15/24 (Call 01/15/19)^b		10,275		10,493,087
5.75%, 02/01/26 (Call 02/01/21)^a,b		7,655		7,908,534
5.88%, 02/01/22 (Call 02/01/17)^b		8,200		8,528,929
Outfront Media Capital LLC/Outfront Media Capital Corp.
5.25%, 02/15/22 (Call 02/15/17)^b		9,975		10,226,569
5.63%, 02/15/24 (Call 02/15/19)		11,200		11,620,000
5.88%, 03/15/25 (Call 09/15/19)^b		7,900		8,137,000

				79,351,584
AEROSPACE & DEFENSE — 0.73%
KLX Inc.
5.88%, 12/01/22 (Call 12/01/17)^a,b		26,840		25,766,623
Meccanica Holdings USA Inc.
6.25%, 07/15/19^a,b		9,750		10,188,750
TransDigm Inc.
5.50%, 10/15/20 (Call 03/31/16)^b		10,100		9,948,500
6.00%, 07/15/22 (Call 07/15/17)^b		24,410		23,891,287
6.50%, 07/15/24 (Call 07/15/19)^b		23,510		22,901,679
6.50%, 05/15/25 (Call 05/15/20)^a		9,300		8,986,125
7.50%, 07/15/21 (Call 07/15/16)^b		10,654		10,946,985

				112,629,949


Security	Principal (000s)		Value
AIRLINES — 0.37%
Air Canada
6.75%, 10/01/19 (Call 10/01/16)^a,b	$	9,225	$	9,465,583
7.75%, 04/15/21^a		7,180		6,947,527
American Airlines Group Inc.
4.63%, 03/01/20^a		9,015		8,699,475
5.50%, 10/01/19^a		15,090		15,174,806
6.13%, 06/01/18^b		10,110		10,539,675
Continental Airlines Inc. 2012-3 Pass Through Trust Class C
6.13%, 04/29/18		6,750		6,975,501

				57,802,567
APPAREL — 0.22%
Hanesbrands Inc.
6.38%, 12/15/20 (Call 03/31/16)^b		13,030		13,481,962
Levi Strauss & Co.
5.00%, 05/01/25 (Call 05/01/20)^b		11,115		11,116,112
6.88%, 05/01/22 (Call 05/01/17)^b		9,246		9,916,335

				34,514,409
AUTO MANUFACTURERS — 0.72%
Fiat Chrysler Automobile NV
4.50%, 04/15/20^b		27,675		27,591,975
5.25%, 04/15/23^b		28,140		26,592,300
Jaguar Land Rover Automotive PLC
3.50%, 03/15/20 (Call 12/15/19)^a,b		10,600		10,374,750
4.13%, 12/15/18 ^a,b		12,400		12,756,500
4.25%, 11/15/19 ^a,b		10,240		10,214,400
5.63%, 02/01/23 (Call 02/01/18)^a,b		9,200		9,223,000
Navistar International Corp.
8.25%, 11/01/21 (Call 03/31/16)^b		25,531		14,999,462

				111,752,387
AUTO PARTS & EQUIPMENT — 1.45%
American Axle & Manufacturing Inc.
6.25%, 03/15/21 (Call 03/31/16)^b		6,806		6,882,908


110		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
6.63%, 10/15/22 (Call 10/15/17)^b	$	12,875	$	13,093,875
Dana Holding Corp.
5.38%, 09/15/21 (Call 09/15/16)^b		8,150		7,890,178
5.50%, 12/15/24 (Call 12/15/19)^b		8,800		8,151,000
Goodyear Tire & Rubber Co. (The)
5.13%, 11/15/23 (Call 11/15/18)^b		19,120		19,669,700
6.50%, 03/01/21 (Call 03/31/16)^b		16,943		17,843,181
7.00%, 05/15/22 (Call 05/15/17)^b		13,245		14,155,655
Lear Corp.
4.75%, 01/15/23 (Call 01/15/18)^b		9,908		10,094,457
5.25%, 01/15/25 (Call 01/15/20)^b		15,255		16,082,584
Schaeffler Finance BV
4.25%, 05/15/21 (Call 05/15/17)^a,b		12,900		13,145,100
4.75%, 05/15/21 (Call 05/15/16)^a,b		17,550		17,695,840
4.75%, 05/15/23 (Call 05/15/18)^a,b		11,600		11,320,476
ZF North America Capital Inc.
4.00%, 04/29/20^a,b		19,100		19,153,719
4.50%, 04/29/22^a,b		19,450		19,450,000
4.75%, 04/29/25^a		31,455		30,000,206

				224,628,879
BANKS — 3.09%
BBVA International Preferred SAU
5.92%, 04/29/49 (Call 04/18/17)^b,c		9,641		9,368,033
BPCE SA
12.50%, 08/29/49 (Call 09/30/19)^a,b,c		7,400		9,029,480
CIT Group Inc.
3.88%, 02/19/19^b		20,900		20,795,500
4.25%, 08/15/17		35,855		36,464,535
5.00%, 05/15/17^b		19,067		19,519,841


Security	Principal (000s)		Value
5.00%, 08/15/22^b	$	25,850	$	26,011,563
5.00%, 08/01/23^b		14,880		14,871,398
5.25%, 03/15/18		32,980		33,886,950
5.38%, 05/15/20^b		15,010		15,486,739
5.50%, 02/15/19^a,b		36,324		37,595,340
6.63%, 04/01/18^a,b		14,101		14,815,382
Commerzbank AG
8.13%, 09/19/23^a,b		19,850		21,735,750
Credit Agricole SA
6.64%, 05/29/49 (Call 05/31/17)^a,b,c		12,051		11,629,215
8.38%, 10/29/49 (Call 10/13/19)^a,c		20,929		22,603,320
Fifth Third Bancorp.
5.10%, 12/29/49 (Call 06/30/23)^b,c		13,275		11,930,906
Royal Bank of Scotland Group PLC
5.13%, 05/28/24^b		44,238		42,269,086
6.00%, 12/19/23		39,732		40,127,147
6.10%, 06/10/23^b		20,262		20,570,337
6.13%, 12/15/22		46,433		48,277,676
Royal Bank of Scotland NV
4.65%, 06/04/18		8,350		8,417,635
Societe Generale SA
5.92%, 12/31/49 (Call 04/05/17)^a,b,c		14,723		14,502,155

				479,907,988
BEVERAGES — 0.69%
Constellation Brands Inc.
3.75%, 05/01/21^b		8,170		8,310,424
3.88%, 11/15/19^b		7,625		7,894,981
4.25%, 05/01/23^b		20,495		21,227,354
4.75%, 11/15/24		9,631		10,027,833
4.75%, 12/01/25^b		7,125		7,427,813
6.00%, 05/01/22^b		14,250		16,104,077
7.25%, 09/01/16		775		797,010
7.25%, 05/15/17^b		10,674		11,290,532
Cott Beverages Inc.
5.38%, 07/01/22 (Call 07/01/17)^b		11,025		10,914,750
6.75%, 01/01/20 (Call 01/01/17)^b		12,455		12,841,624

				106,836,398


SCHEDULESOF INVESTMENTS			111

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
BIOTECHNOLOGY — 0.19%
Concordia Healthcare Corp.
7.00%, 04/15/23 (Call 04/15/18)^a	$	14,700	$	12,642,000
9.50%, 10/21/22 (Call 12/15/18)^a,b		17,400		16,704,000

				29,346,000
BUILDING MATERIALS — 0.88%
Builders FirstSource Inc.
7.63%, 06/01/21 (Call 06/01/16)^a		11,267		11,456,460
10.75%, 08/15/23 (Call 08/15/18)^a		10,250		9,553,000
Lafarge SA
6.50%, 07/15/16		1,100		1,119,211
Masco Corp.
4.45%, 04/01/25 (Call 01/01/25)^b		9,500		9,428,750
5.95%, 03/15/22^b		8,777		9,592,795
6.13%, 10/03/16		1,353		1,384,146
7.13%, 03/15/20^b		8,645		9,949,213
Standard Industries Inc./NJ
5.13%, 02/15/21 (Call 02/15/18)^a		2,475		2,521,406
5.38%, 11/15/24 (Call 11/15/19)^a,b		25,610		26,074,053
5.50%, 02/15/23 (Call 02/15/19)^a		2,185		2,216,713
6.00%, 10/15/25 (Call 10/15/20)^a,b		22,475		22,881,957
USG Corp.
6.30%, 11/15/16^b		169		174,281
9.75%, 01/15/18^b		8,148		9,080,596
Vulcan Materials Co.
4.50%, 04/01/25 (Call 01/01/25)^b		6,875		6,884,114
7.50%, 06/15/21^b		12,700		14,827,250

				137,143,945
CHEMICALS — 1.85%
Ashland Inc.
3.88%, 04/15/18 (Call 03/15/18)^b		10,700		11,048,820


Security	Principal (000s)		Value
4.75%, 08/15/22 (Call 05/15/22)^b	$	22,300	$	22,132,750
Axiall Corp.
4.88%, 05/15/23 (Call 05/15/18)^b		8,830		8,525,365
Blue Cube Spinco Inc.
9.75%, 10/15/23 (Call 10/15/20)^a		14,950		16,669,250
10.00%, 10/15/25 (Call 10/15/20)^a,b		9,100		10,078,250
Chemours Co. (The)
6.63%, 05/15/23 (Call 05/15/18)^a,b		28,390		20,772,296
7.00%, 05/15/25 (Call 05/15/20)^a		13,870		10,055,750
Eagle Spinco Inc.
4.63%, 02/15/21 (Call 02/15/18)^b		14,975		14,813,270
Hexion Inc.
6.63%, 04/15/20 (Call 03/31/16)^b		33,898		26,779,420
8.88%, 02/01/18 (Call 03/31/16)		23,970		15,820,200
Hexion Inc./Hexion Nova Scotia Finance ULC
9.00%, 11/15/20 (Call 03/31/16)		9,400		3,717,272
Huntsman International LLC
4.88%, 11/15/20 (Call 08/15/20)^b		15,315		14,509,431
5.13%, 11/15/22 (Call 08/15/22)^a,b		7,350		6,706,875
INEOS Group Holdings SA
5.88%, 02/15/19 (Call 03/31/16)^a,b		12,475		12,368,963
6.13%, 08/15/18 (Call 03/31/16)^a,b		12,825		12,825,000
NOVA Chemicals Corp.
5.00%, 05/01/25 (Call 01/31/25)^a,b		9,605		9,315,992
5.25%, 08/01/23 (Call 08/01/18)^a,b		10,850		10,670,576


112		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Platform Specialty Products Corp.
6.50%, 02/01/22 (Call 02/01/18)^a,b	$	21,925	$	17,814,062
10.38%, 05/01/21 (Call 05/01/18)^a,b		9,765		8,910,563
Tronox Finance LLC
6.38%, 08/15/20 (Call 03/31/16)^b		16,300		10,309,812
7.50%, 03/15/22 (Call 03/15/18)^a		13,253		8,274,842
WR Grace & Co.-Conn
5.13%, 10/01/21^a,b		15,175		15,774,412

				287,893,171
COAL — 0.19%
CONSOL Energy Inc.
5.88%, 04/15/22 (Call 04/15/17)^b		31,410		20,495,025
8.00%, 04/01/23 (Call 04/01/18)		8,500		5,657,812
Murray Energy Corp.
11.25%, 04/15/21 (Call 04/15/18)^a,b		20,000		2,300,000
Peabody Energy Corp.
6.00%, 11/15/18		21,240		557,550
6.25%, 11/15/21		21,528		565,110
6.50%, 09/15/20		9,145		148,606
10.00%, 03/15/22 (Call 03/15/18)^a,b		14,055		456,788

				30,180,891
COMMERCIAL SERVICES — 3.14%
ADT Corp. (The)
2.25%, 07/15/17^b		8,573		8,603,364
3.50%, 07/15/22^b		22,306		18,858,902
4.13%, 04/15/19^b		10,325		10,905,781
4.13%, 06/15/23^b		12,825		10,822,989
6.25%, 10/15/21^b		18,260		17,820,664
APX Group Inc.
6.38%, 12/01/19 (Call 03/31/16)^b		21,150		20,304,000
8.75%, 12/01/20 (Call 03/31/16)^b		17,291		14,003,981


Security	Principal (000s)		Value
Ashtead Capital Inc.
5.63%, 10/01/24 (Call 10/01/19)^a,b	$	10,535	$	10,366,733
6.50%, 07/15/22 (Call 07/15/17)^a,b		16,430		16,881,825
Avis Budget Car Rental LLC/Avis Budget Finance Inc.
5.13%, 06/01/22 (Call 06/01/17)^a,b		9,089		8,498,215
5.50%, 04/01/23 (Call 04/01/18)^b		14,500		13,703,675
Global A&T Electronics Ltd.
10.00%, 02/01/19 (Call 03/31/16)^a		19,950		14,064,750
Harland Clarke Holdings Corp.
9.25%, 03/01/21 (Call 03/01/17)^a		13,956		9,131,211
Hertz Corp. (The)
5.88%, 10/15/20 (Call 03/31/16)^b		14,479		14,136,954
6.25%, 10/15/22 (Call 10/15/17)^b		9,400		8,941,750
6.75%, 04/15/19 (Call 03/31/16)^b		24,690		24,655,604
7.38%, 01/15/21 (Call 03/31/16)^b		9,898		9,850,198
7.50%, 10/15/18 (Call 03/31/16)^b		14,500		14,610,265
Iron Mountain Inc.
5.75%, 08/15/24 (Call 08/15/17)^b		20,159		20,335,391
6.00%, 08/15/23 (Call 08/15/18)^b		11,215		11,915,938
Jaguar Holding Co. II/Pharmaceutical Product Development LLC
6.38%, 08/01/23 (Call 08/01/18)^a,b		22,669		22,954,543
Laureate Education Inc.
9.25%, 09/01/19 (Call 03/31/16)^a,b		21,800		10,682,000
Leidos Holdings Inc.
4.45%, 12/01/20 (Call 09/01/20)^b		7,200		6,988,143


SCHEDULESOF INVESTMENTS			113

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
RR Donnelley & Sons Co.
6.00%, 04/01/24	$	8,450	$	6,253,000
7.00%, 02/15/22		7,350		6,192,375
7.88%, 03/15/21^b		8,025		7,483,313
Service Corp. International/U.S.
5.38%, 01/15/22 (Call 07/15/17)		7,750		8,098,750
5.38%, 05/15/24 (Call 05/15/19)^b		16,620		17,679,525
United Rentals North America Inc.
4.63%, 07/15/23 (Call 07/15/18)^b		20,945		20,945,000
5.50%, 07/15/25 (Call 07/15/20)^b		17,920		17,059,840
5.75%, 11/15/24 (Call 05/15/19)^b		17,677		17,235,075
6.13%, 06/15/23 (Call 12/15/17)^b		20,014		20,524,557
7.38%, 05/15/20 (Call 05/15/16)^b		14,454		15,158,633
7.63%, 04/15/22 (Call 04/15/17)^b		26,295		27,954,740
8.25%, 02/01/21 (Call 03/31/16)^b		4,156		4,363,800

				487,985,484
COMPUTERS — 0.46%
Dell Inc.
4.63%, 04/01/21^b		7,660		7,066,350
5.65%, 04/15/18		7,209		7,461,315
5.88%, 06/15/19^b		14,850		15,295,500
NCR Corp.
4.63%, 02/15/21 (Call 02/15/17)^b		9,979		9,504,997
5.00%, 07/15/22 (Call 07/15/17)^b		10,914		10,341,015
5.88%, 12/15/21 (Call 12/15/17)^b		7,475		7,344,188
6.38%, 12/15/23 (Call 12/15/18)^b		15,295		14,989,100

				72,002,465


Security	Principal (000s)		Value
COSMETICS & PERSONAL CARE — 0.07%
Avon Products Inc.
6.35%, 03/15/20^b	$	8,850	$	6,383,062
6.75%, 03/15/23		7,168		4,296,432

				10,679,494
DISTRIBUTION & WHOLESALE — 0.48%
HD Supply Inc.
5.25%, 12/15/21 (Call 12/15/17)^a,b		23,515		24,631,963
7.50%, 07/15/20 (Call 10/15/16)^b		26,982		28,380,250
11.50%, 07/15/20 (Call 10/15/16)		19,895		21,983,975

				74,996,188
DIVERSIFIED FINANCIAL SERVICES — 6.68%
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust
2.75%, 05/15/17^b		9,000		8,935,785
3.75%, 05/15/19^b		24,800		24,800,000
4.25%, 07/01/20^b		9,600		9,624,000
4.50%, 05/15/21^b		20,820		20,976,150
4.63%, 10/30/20^b		20,640		20,975,400
4.63%, 07/01/22^b		10,455		10,481,138
5.00%, 10/01/21^b		16,660		17,097,325
Aircastle Ltd.
4.63%, 12/15/18^b		8,200		8,284,608
5.13%, 03/15/21^b		11,300		11,328,250
5.50%, 02/15/22^b		11,262		11,219,768
6.25%, 12/01/19^b		10,000		10,565,333
6.75%, 04/15/17^b		7,900		8,207,536
Ally Financial Inc.
3.25%, 02/13/18^b		12,360		12,242,580
3.25%, 11/05/18		17,150		16,849,875
3.50%, 01/27/19^b		14,800		14,590,333
3.60%, 05/21/18^b		21,100		20,994,500
3.75%, 11/18/19^b		15,750		15,572,812
4.13%, 03/30/20^b		13,490		13,464,774
4.13%, 02/13/22^b		12,495		12,474,290
4.63%, 05/19/22^b		8,000		7,980,000
4.63%, 03/30/25^b		9,100		8,825,895
4.75%, 09/10/18		17,375		17,700,781
5.13%, 09/30/24^b		15,425		15,502,125
5.50%, 02/15/17^b		11,017		11,223,569


114		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.75%, 11/20/25 (Call 10/20/25)^b	$	15,575	$	15,110,687
6.25%, 12/01/17		18,060		18,827,550
7.50%, 09/15/20		10,100		11,185,750
8.00%, 12/31/18		8,975		9,749,094
8.00%, 03/15/20^b		19,110		21,289,585
E*TRADE Financial Corp.
5.38%, 11/15/22 (Call 11/15/17)		1,380		1,434,358
Icahn Enterprises LP/Icahn Enterprises Finance Corp.
3.50%, 03/15/17 (Call 02/15/17)^b		25,405		25,341,487
4.88%, 03/15/19 (Call 07/15/16)		25,775		23,938,531
5.88%, 02/01/22 (Call 08/01/17)^b		28,490		24,857,525
6.00%, 08/01/20 (Call 02/01/17)^b		33,875		32,094,865
International Lease Finance Corp.
3.88%, 04/15/18^b		14,465		14,463,112
4.63%, 04/15/21		8,800		8,864,849
5.88%, 04/01/19^b		15,350		16,229,678
5.88%, 08/15/22^b		14,825		15,583,797
6.25%, 05/15/19		26,158		28,054,455
8.25%, 12/15/20^b		20,517		23,732,055
8.63%, 01/15/22^b		13,321		15,647,728
8.75%, 03/15/17		20,899		22,056,387
8.88%, 09/01/17^b		9,390		10,114,485
Jefferies Finance LLC/JFIN Co-Issuer Corp.
6.88%, 04/15/22 (Call 04/15/17)^a		7,520		5,282,800
7.38%, 04/01/20 (Call 04/01/16)^a,b		11,500		8,826,250
7.50%, 04/15/21 (Call 10/15/17)^a,b		8,550		6,398,222
Nationstar Mortgage LLC/Nationstar Capital Corp.
6.50%, 08/01/18 (Call 03/31/16)^b		8,800		8,536,000
6.50%, 07/01/21 (Call 01/01/17)^b		12,950		11,428,375


Security	Principal (000s)		Value
7.88%, 10/01/20 (Call 10/01/16)^b	$	7,200	$	6,786,000
Navient Corp.
4.63%, 09/25/17^b		7,921		7,936,842
4.88%, 06/17/19^b		20,010		19,169,580
5.00%, 10/26/20^b		8,862		7,754,250
5.50%, 01/15/19^b		28,200		27,918,000
5.50%, 01/25/23^b		19,915		16,230,725
5.88%, 03/25/21^b		12,725		11,166,188
5.88%, 10/25/24^b		10,800		8,748,000
6.00%, 01/25/17		1,146		1,160,325
6.13%, 03/25/24^b		19,291		16,011,530
7.25%, 01/25/22		13,279		11,917,903
8.00%, 03/25/20^b		30,810		30,347,850
8.45%, 06/15/18^b		51,588		54,941,220
OneMain Financial Holdings Inc.
6.75%, 12/15/19 (Call 12/15/16)^a		12,674		11,976,930
7.25%, 12/15/21 (Call 12/15/17)^a,b		16,602		15,529,788
Quicken Loans Inc.
5.75%, 05/01/25 (Call 05/01/20)^a,b		27,110		25,899,538
Springleaf Finance Corp.
5.25%, 12/15/19^b		14,650		12,875,885
6.90%, 12/15/17		32,351		31,779,704
7.75%, 10/01/21^b		13,100		11,429,750

				1,038,544,460
ELECTRIC — 3.52%
AES Corp./VA
4.88%, 05/15/23 (Call 05/15/18)^b		13,780		12,358,938
5.50%, 03/15/24 (Call 03/15/19)^b		13,950		12,721,521
5.50%, 04/15/25 (Call 04/15/20)^b		11,809		10,657,623
7.38%, 07/01/21 (Call 06/01/21)^b		19,500		20,377,500
8.00%, 06/01/20^b		9,065		9,949,109
Calpine Corp.
5.38%, 01/15/23 (Call 10/15/18)^b		26,739		24,820,161


SCHEDULESOF INVESTMENTS			115

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.50%, 02/01/24 (Call 02/01/19)	$	11,247	$	10,055,443
5.75%, 01/15/25 (Call 10/15/19)^b		32,910		29,701,275
5.88%, 01/15/24 (Call 11/01/18)^a		11,450		11,631,769
6.00%, 01/15/22 (Call 11/01/16)^a		13,516		13,804,750
7.88%, 01/15/23 (Call 01/15/17)^a,b		10,833		11,449,648
DPL Inc.
6.50%, 10/15/16 (Call 09/15/16)^b		589		596,363
7.25%, 10/15/21 (Call 07/15/21)		15,437		15,111,721
Dynegy Inc.
5.88%, 06/01/23 (Call 06/01/18)		9,300		7,137,750
6.75%, 11/01/19 (Call 05/01/17)^b		44,865		41,948,775
7.38%, 11/01/22 (Call 11/01/18)^b		35,735		29,711,276
7.63%, 11/01/24 (Call 11/01/19)^b		24,770		20,497,175
Enel SpA
8.75%, 09/24/73 (Call 09/24/23)^a,c		23,507		25,510,384
FirstEnergy Corp.
Series A
2.75%, 03/15/18 (Call 02/15/18)^b		9,400		9,430,906
Series B
4.25%, 03/15/23 (Call 12/15/22)^b		15,350		15,657,207
FirstEnergy Transmission LLC
4.35%, 01/15/25 (Call 10/15/24)^a		9,100		9,494,042
GenOn Energy Inc.
7.88%, 06/15/17^b		14,923		12,432,724
9.50%, 10/15/18		14,280		9,246,300
9.88%, 10/15/20 (Call 03/31/16)		9,450		5,481,000


Security	Principal (000s)		Value
IPALCO Enterprises Inc.
3.45%, 07/15/20 (Call 06/15/20)^b	$	3,525	$	3,508,431
5.00%, 05/01/18 (Call 04/01/18)^b		6,250		6,511,993
NRG Energy Inc.
6.25%, 07/15/22 (Call 07/15/18)		21,604		18,255,380
6.25%, 05/01/24 (Call 05/01/19)^b		19,750		16,441,875
6.63%, 03/15/23 (Call 09/15/17)^b		20,065		17,005,088
7.63%, 01/15/18^b		21,480		22,258,650
7.88%, 05/15/21 (Call 05/15/16)^b		25,468		23,712,745
8.25%, 09/01/20 (Call 03/31/16)^b		23,650		22,851,812
Talen Energy Supply LLC
4.60%, 12/15/21 (Call 09/15/21)^b		15,445		10,155,088
4.63%, 07/15/19 (Call 07/15/16)^a		26,375		21,231,875
6.50%, 05/01/18^b		9,350		8,745,641
6.50%, 06/01/25 (Call 06/01/20)^b		10,285		7,096,650

				547,558,588
ELECTRICAL COMPONENTS & EQUIPMENT — 0.20%
Anixter Inc.
5.13%, 10/01/21^b		7,645		7,506,778
Edgewell Personal Care Co.
4.70%, 05/19/21^b		11,650		12,086,875
4.70%, 05/24/22		11,825		11,943,250

				31,536,903
ENERGY – ALTERNATE SOURCES — 0.09%
TerraForm Power Operating LLC
5.88%, 02/01/23 (Call 02/01/18)^a,b		18,660		13,995,000

				13,995,000
ENGINEERING & CONSTRUCTION — 0.31%
AECOM
5.75%, 10/15/22 (Call 10/15/17)^b		17,840		17,947,040


116		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.88%, 10/15/24 (Call 07/15/24)^b	$	14,824	$	14,712,820
SBA Communications Corp.
4.88%, 07/15/22 (Call 07/15/17)^b		14,692		14,949,110

				47,608,970
ENTERTAINMENT — 1.59%
Cinemark USA Inc.
4.88%, 06/01/23 (Call 06/01/18)^b		10,250		10,250,000
5.13%, 12/15/22 (Call 12/15/17)^b		7,700		7,826,729
GLP Capital LP/GLP Financing II Inc.
4.38%, 11/01/18 (Call 08/01/18)^b		10,500		10,578,750
4.88%, 11/01/20 (Call 08/01/20)^b		20,780		21,052,634
5.38%, 11/01/23 (Call 08/01/23)		9,200		9,062,000
International Game Technology
7.50%, 06/15/19^b		9,300		9,834,750
International Game Technology PLC
5.63%, 02/15/20 (Call 11/15/19)^a,b		12,380		12,287,150
6.25%, 02/15/22 (Call 08/15/21)^a,b		30,225		28,562,625
6.50%, 02/15/25 (Call 08/15/24)^a		22,840		20,327,600
Pinnacle Entertainment Inc.
6.38%, 08/01/21 (Call 08/01/16)^b		12,940		13,732,575
7.50%, 04/15/21 (Call 03/31/16)		15,805		16,476,712
Regal Entertainment Group
5.75%, 03/15/22 (Call 03/15/17)^b		16,950		17,214,844
Scientific Games International Inc.
7.00%, 01/01/22 (Call 01/01/18)^a,b		19,160		18,647,104
10.00%, 12/01/22 (Call 12/01/18)^b		44,325		34,628,906


Security	Principal (000s)		Value
WMG Acquisition Corp.
6.00%, 01/15/21 (Call 03/31/16)^a,b	$	6,889	$	6,963,631
6.75%, 04/15/22 (Call 04/15/17)^a,b		10,100		9,430,875

				246,876,885
ENVIRONMENTAL CONTROL — 0.36%
Clean Harbors Inc.
5.13%, 06/01/21 (Call 12/01/16)		10,175		10,111,406
5.25%, 08/01/20 (Call 08/01/16)^b		17,229		17,530,163
Covanta Holding Corp.
5.88%, 03/01/24 (Call 03/01/19)^b		8,550		7,353,000
6.38%, 10/01/22 (Call 04/01/17)^b		7,225		6,692,326
7.25%, 12/01/20 (Call 03/31/16)		8,168		8,082,917
Tervita Corp.
8.00%, 11/15/18 (Call 03/31/16)^a		9,350		5,834,400

				55,604,212
FOOD — 1.16%
Albertson’s Holdings LLC/Safeway Inc.
7.75%, 10/15/22 (Call 10/15/17)^a		14,025		14,621,063
Aramark Services Inc.
5.75%, 03/15/20 (Call 03/31/16)^b		15,200		15,690,200
Post Holdings Inc.
6.00%, 12/15/22 (Call 06/15/18)^a		12,700		13,160,375
6.75%, 12/01/21 (Call 12/01/17)^a		17,025		18,072,037
7.38%, 02/15/22 (Call 02/15/17)^b		28,360		29,986,162
7.75%, 03/15/24 (Call 09/15/18)^a,b		18,350		19,955,625
8.00%, 07/15/25 (Call 07/15/20)^a,b		7,620		8,388,325


SCHEDULESOF INVESTMENTS			117

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Smithfield Foods Inc.
5.25%, 08/01/18 (Call 03/31/16)^a,b	$	7,425	$	7,548,750
6.63%, 08/15/22 (Call 08/15/17)		18,119		19,206,140
7.75%, 07/01/17^b		7,329		7,738,966
TreeHouse Foods Inc.
4.88%, 03/15/22 (Call 03/15/17)		4,580		4,724,165
6.00%, 02/15/24 (Call 02/15/19)^a		16,805		17,687,263
U.S. Foods Inc.
8.50%, 06/30/19 (Call 03/31/16)		2,700		2,755,620

				179,534,691
FOOD SERVICE — 0.05%
Aramark Services Inc.
5.13%, 01/15/24 (Call 01/15/19)^a,b		7,845		8,207,831

				8,207,831
GAS — 0.12%
NGL Energy Partners LP/NGL Energy Finance Corp.
5.13%, 07/15/19 (Call 06/15/19)^b		10,750		6,315,625
6.88%, 10/15/21 (Call 10/15/16)		8,450		4,918,604
Sabine Pass LNG LP
6.50%, 11/01/20 (Call 11/01/16)^b		6,550		6,908,285
7.50%, 11/30/16^b		100		104,125

				18,246,639
HEALTH CARE – PRODUCTS — 1.42%
Alere Inc.
6.38%, 07/01/23 (Call 07/01/18)^a,b		7,645		8,390,387
6.50%, 06/15/20 (Call 06/15/16)		8,275		8,582,209
7.25%, 07/01/18 (Call 03/31/16)^b		8,100		8,488,125
ConvaTec Healthcare E SA
10.50%, 12/15/18 (Call 03/31/16)^a,b		13,647		13,902,681


Security	Principal (000s)		Value
Crimson Merger Sub Inc.
6.63%, 05/15/22 (Call 05/15/17)^a	$	26,040	$	18,748,800
DJO Finco Inc./DJO Finance LLC/DJO Finance Corp.
8.13%, 06/15/21 (Call 06/15/18)^a,b		21,365		17,839,775
Hologic Inc.
5.25%, 07/15/22 (Call 07/15/18)^a,b		21,518		22,561,623
Kinetic Concepts Inc./KCI USA Inc.
7.88%, 02/15/21 (Call 02/15/18)^a		8,350		8,600,500
10.50%, 11/01/18 (Call 03/31/16)^b		36,020		33,273,475
12.50%, 11/01/19 (Call 03/31/16)		12,090		9,339,525
Mallinckrodt International Finance SA
4.75%, 04/15/23^b		11,850		10,457,625
Mallinckrodt International Finance SA/Mallinckrodt CB LLC
4.88%, 04/15/20 (Call 04/15/17)^a,b		14,595		14,382,157
5.50%, 04/15/25 (Call 04/15/20)^a,b		12,730		11,998,025
5.63%, 10/15/23 (Call 10/15/18)^a,b		16,440		16,111,200
5.75%, 08/01/22 (Call 08/01/17)^a,b		18,700		18,513,000

				221,189,107
HEALTH CARE – SERVICES — 7.64%
Acadia Healthcare Co. Inc.
5.63%, 02/15/23 (Call 02/15/18)^b		12,674		12,856,189
Amsurg Corp.
5.63%, 07/15/22 (Call 07/15/17)^b		22,398		23,235,237
Centene Corp.
4.75%, 05/15/22 (Call 05/15/19)		300		303,189


118		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Centene Escrow Corp.
5.63%, 02/15/21 (Call 02/15/18)^a	$	12,902	$	13,523,231
6.13%, 02/15/24 (Call 02/15/19)^a		17,900		18,951,625
CHS/Community Health Systems Inc.
5.13%, 08/15/18 (Call 03/31/16)^b		32,960		33,124,800
5.13%, 08/01/21 (Call 02/01/17)		22,779		22,864,421
6.88%, 02/01/22 (Call 02/01/18)^b		58,950		50,896,251
7.13%, 07/15/20 (Call 07/15/16)^b		23,940		21,725,550
8.00%, 11/15/19 (Call 03/31/16)^b		42,061		39,852,798
DaVita HealthCare Partners Inc.
5.00%, 05/01/25 (Call 05/01/20)^b		31,797		31,826,412
5.13%, 07/15/24 (Call 07/15/19)^b		34,420		34,934,262
5.75%, 08/15/22 (Call 08/15/17)^b		24,750		26,026,011
Fresenius Medical Care U.S. Finance II Inc.
4.13%, 10/15/20 (Call 07/17/20)^a		12,050		12,291,000
4.75%, 10/15/24 (Call 07/17/24)^a,b		11,790		11,960,955
5.63%, 07/31/19^a,b		13,825		15,034,688
5.88%, 01/31/22^a,b		12,424		13,571,853
6.50%, 09/15/18^a,b		6,241		6,864,448
Fresenius Medical Care U.S. Finance Inc.
5.75%, 02/15/21^a,b		11,000		11,903,038
6.88%, 07/15/17^b		6,750		7,170,669
HCA Holdings Inc.
6.25%, 02/15/21^b		20,185		21,438,022
HCA Inc.
3.75%, 03/15/19		32,495		33,101,032
4.25%, 10/15/19^b		10,700		10,980,064
4.75%, 05/01/23		24,365		24,701,237


Security	Principal (000s)		Value
5.00%, 03/15/24^b	$	41,718	$	42,708,803
5.25%, 04/15/25^b		28,005		28,740,131
5.38%, 02/01/25^b		53,680		54,351,000
5.88%, 03/15/22^b		26,825		28,870,406
5.88%, 05/01/23^b		25,650		26,941,408
5.88%, 02/15/26 (Call 08/15/25)^b		29,449		30,247,033
6.50%, 02/15/20^b		59,257		65,638,979
7.50%, 02/15/22^b		39,116		44,201,080
8.00%, 10/01/18^b		8,600		9,669,668
HealthSouth Corp.
5.75%, 11/01/24 (Call 11/01/17)^b		16,965		17,134,650
Kindred Healthcare Inc.
6.38%, 04/15/22 (Call 04/15/17)^b		11,675		9,412,969
8.00%, 01/15/20^b		16,300		15,077,500
8.75%, 01/15/23 (Call 01/15/18)^b		11,540		10,357,150
LifePoint Health Inc.
5.50%, 12/01/21 (Call 12/01/16)^b		22,500		23,283,254
5.88%, 12/01/23 (Call 12/01/18)^b		9,195		9,588,666
6.63%, 10/01/20 (Call 03/31/16)^b		6,100		6,317,455
MPH Acquisition Holdings LLC
6.63%, 04/01/22 (Call 04/01/17)^a,b		23,631		23,808,233
Tenet Healthcare Corp.
4.38%, 10/01/21^b		21,270		20,977,538
4.50%, 04/01/21^b		18,130		18,021,220
4.75%, 06/01/20		9,249		9,399,296
5.00%, 03/01/19^b		23,739		22,670,745
5.50%, 03/01/19^b		8,900		8,588,500
6.00%, 10/01/20		34,594		36,669,640
6.25%, 11/01/18		19,310		20,351,286
6.75%, 06/15/23^b		38,020		34,455,625
8.00%, 08/01/20 (Call 03/31/16)^b		17,010		17,193,443
8.13%, 04/01/22^b		55,069		54,070,599

				1,187,883,259


SCHEDULESOF INVESTMENTS			119

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
HOLDING COMPANIES – DIVERSIFIED — 0.59%
Argos Merger Sub Inc.
7.13%, 03/15/23 (Call 03/15/18)^a,b	$	38,515	$	39,477,875
HRG Group Inc.
7.75%, 01/15/22 (Call 01/15/17)		14,074		13,194,375
7.88%, 07/15/19 (Call 03/31/16)		11,480		11,967,900
Leucadia National Corp.
5.50%, 10/18/23 (Call 01/18/23)		14,200		12,699,211
Nielsen Co. Luxembourg Sarl (The)
5.50%, 10/01/21 (Call 10/01/16)^a,b		13,715		14,180,738

				91,520,099
HOME BUILDERS — 1.31%
Brookfield Residential Properties Inc.
6.50%, 12/15/20 (Call 03/31/16)^a,b		13,225		12,034,750
Brookfield Residential Properties Inc./Brookfield Residential U.S. Corp.
6.13%, 07/01/22 (Call 07/01/17)^a		7,900		6,550,120
CalAtlantic Group Inc.
8.38%, 05/15/18		10,577		11,634,700
8.38%, 01/15/21^b		9,230		10,522,200
DR Horton Inc.
3.63%, 02/15/18 (Call 11/15/17)^b		6,700		6,841,035
3.75%, 03/01/19 (Call 12/01/18)^b		8,750		8,912,500
4.00%, 02/15/20^b		9,408		9,572,640
5.75%, 08/15/23 (Call 05/15/23)^b		7,700		8,108,100
K. Hovnanian Enterprises Inc.
7.25%, 10/15/20 (Call 03/31/16)^a,b		12,350		9,694,750


Security	Principal (000s)		Value
KB Home
4.75%, 05/15/19 (Call 02/15/19)^b	$	7,374	$	7,072,571
7.00%, 12/15/21 (Call 09/15/21)^b		9,463		9,020,388
Lennar Corp.
4.50%, 06/15/19 (Call 04/16/19)^b		9,550		9,828,860
4.50%, 11/15/19 (Call 08/15/19)^b		12,265		12,571,625
4.75%, 04/01/21		9,050		9,095,250
4.75%, 11/15/22 (Call 08/15/22)^b		13,920		13,920,000
4.75%, 05/30/25 (Call 02/28/25)^b		9,175		8,899,750
4.88%, 12/15/23 (Call 09/15/23)^b		6,880		6,708,000
12.25%, 06/01/17		5,325		5,899,784
PulteGroup Inc.
5.50%, 03/01/26 (Call 12/01/25)		3,475		3,514,094
Taylor Morrison Communities Inc./Monarch Communities Inc.
5.25%, 04/15/21 (Call 04/15/16)^a,b		10,150		9,477,562
Toll Brothers Finance Corp.
4.38%, 04/15/23 (Call 01/15/23)^b		9,850		9,449,035
5.88%, 02/15/22 (Call 11/15/21)		7,391		7,713,287
8.91%, 10/15/17^b		5,800		6,366,145

				203,407,146
HOUSEHOLD PRODUCTS & WARES — 1.43%
Reynolds Group Issuer Inc./Reynolds Group Issuer LLC
5.75%, 10/15/20 (Call 03/31/16)^b		67,145		68,991,487
6.88%, 02/15/21 (Call 03/31/16)^b		21,700		22,486,625
7.88%, 08/15/19 (Call 03/31/16)		12,770		13,312,725


120		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
8.25%, 02/15/21 (Call 03/31/16)	$	20,755	$	20,443,675
8.50%, 05/15/18 (Call 03/31/16)^b		13,460		13,406,665
9.00%, 04/15/19 (Call 03/31/16)^b		13,000		13,070,417
9.88%, 08/15/19 (Call 03/31/16)^b		25,161		25,915,830
Spectrum Brands Inc.
5.75%, 07/15/25 (Call 07/15/20)^b		20,413		21,510,199
6.38%, 11/15/20 (Call 11/15/16)^b		9,660		10,205,404
6.63%, 11/15/22 (Call 11/15/17)^b		11,560		12,441,450

				221,784,477
INSURANCE — 0.50%
Genworth Holdings Inc.
4.80%, 02/15/24		5,500		3,114,375
4.90%, 08/15/23		6,275		3,603,643
6.15%, 11/15/66 (Call 11/15/16)^c		2,559		537,390
6.52%, 05/22/18		10,252		9,149,910
7.20%, 02/15/21		6,950		4,608,684
7.63%, 09/24/21		16,075		10,609,500
7.70%, 06/15/20^b		8,600		6,073,750
HUB International Ltd.
7.88%, 10/01/21 (Call 10/01/16)^a,b		25,705		23,134,500
Voya Financial Inc.
5.65%, 05/15/53 (Call 05/15/23)^b,c		17,925		16,646,947

				77,478,699
INTERNET — 1.10%
Equinix Inc.
4.88%, 04/01/20 (Call 04/01/17)		7,500		7,781,250
5.38%, 01/01/22 (Call 01/01/18)^b		15,300		16,026,750
5.38%, 04/01/23 (Call 04/01/18)^b		19,735		21,116,450
5.75%, 01/01/25 (Call 01/01/20)^b		9,330		9,656,550


Security	Principal (000s)		Value
IAC/InterActiveCorp
4.75%, 12/15/22 (Call 12/15/17)	$	9,950	$	8,656,500
Netflix Inc.
5.38%, 02/01/21^b		13,500		14,478,750
5.50%, 02/15/22^b		14,200		14,927,750
5.75%, 03/01/24^b		8,475		8,888,156
5.88%, 02/15/25^b		15,295		16,040,631
VeriSign Inc.
4.63%, 05/01/23 (Call 05/01/18)^b		13,184		13,085,120
5.25%, 04/01/25 (Call 01/01/25)		10,949		10,784,765
Zayo Group LLC/Zayo Capital Inc.
6.00%, 04/01/23 (Call 04/01/18)^b		28,200		28,115,400
10.13%, 07/01/20 (Call 07/01/16)		1,702		1,825,395

				171,383,467
IRON & STEEL — 1.63%
AK Steel Corp.
7.63%, 05/15/20 (Call 03/31/16)^b		10,875		6,579,375
7.63%, 10/01/21 (Call 10/01/17)^b		7,400		3,845,632
Allegheny Technologies Inc.
5.95%, 01/15/21 (Call 10/15/20)^b		7,655		5,588,915
7.63%, 08/15/23 (Call 05/15/23)^b		9,050		6,448,125
ArcelorMittal
5.13%, 06/01/20^b		10,190		9,094,575
5.50%, 02/25/17		2,001		2,016,007
6.13%, 06/01/18^b		28,326		28,001,951
6.13%, 06/01/25^b		9,045		7,326,450
6.25%, 08/05/20^b		19,728		17,779,860
6.50%, 03/01/21^b		29,535		26,581,500
7.25%, 02/25/22^b		24,925		22,370,187
10.85%, 06/01/19		31,396		33,282,900
Cliffs Natural Resources Inc.
4.88%, 04/01/21 (Call 01/01/21)^b		2,425		279,384


SCHEDULESOF INVESTMENTS			121

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
7.75%, 03/31/20 (Call 03/31/17)^a,b	$	8,897	$	1,334,481
8.25%, 03/31/20 (Call 03/31/18)^a,b		9,955		7,441,362
Commercial Metals Co.
6.50%, 07/15/17		6,928		7,202,955
7.35%, 08/15/18		7,250		7,504,710
Steel Dynamics Inc.
5.13%, 10/01/21 (Call 10/01/17)^b		13,636		13,269,977
5.25%, 04/15/23 (Call 04/15/18)		6,875		6,505,469
5.50%, 10/01/24 (Call 10/01/19)^b		9,300		8,841,231
6.13%, 08/15/19 (Call 08/15/16)		7,400		7,533,200
U.S. Steel Corp.
6.05%, 06/01/17		7,184		6,462,369
7.00%, 02/01/18^b		9,250		7,307,500
7.38%, 04/01/20^b		10,900		6,867,000
7.50%, 03/15/22 (Call 03/15/17)^b		7,175		3,960,600

				253,425,715
LEISURE TIME — 0.33%
NCL Corp. Ltd.
4.63%, 11/15/20 (Call 11/15/17)^a,b		11,150		10,871,250
5.25%, 11/15/19 (Call 11/15/16)^a		15,800		15,928,375
Royal Caribbean Cruises Ltd.
5.25%, 11/15/22^b		14,819		15,096,856
Sabre GLBL Inc.
5.25%, 11/15/23 (Call 11/15/18)^a,b		9,335		9,475,025

				51,371,506
LODGING — 1.99%
Boyd Gaming Corp.
6.88%, 05/15/23 (Call 05/15/18)^b		15,735		16,177,547


Security	Principal (000s)		Value
Caesars Entertainment Resort Properties LLC/Caesars Entertainment Resort Properties
8.00%, 10/01/20 (Call 10/01/16)^b	$	19,550	$	19,061,250
11.00%, 10/01/21 (Call 10/01/16)^b		23,685		20,724,375
Felcor Lodging LP
5.63%, 03/01/23 (Call 03/01/18)		9,800		9,975,199
6.00%, 06/01/25 (Call 06/01/20)^b		8,990		9,227,111
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp.
5.63%, 10/15/21 (Call 10/15/16)^b		30,354		31,492,275
MGM Resorts International
5.25%, 03/31/20^b		10,700		10,914,000
6.00%, 03/15/23^b		25,685		26,327,125
6.63%, 12/15/21^b		25,400		26,975,488
6.75%, 10/01/20^b		22,160		23,678,463
7.63%, 01/15/17^b		950		989,188
7.75%, 03/15/22^b		21,150		23,060,056
8.63%, 02/01/19^b		17,312		19,624,018
11.38%, 03/01/18^b		7,570		8,729,573
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.
4.25%, 05/30/23 (Call 02/28/23)^a,b		10,700		9,890,866
5.38%, 03/15/22 (Call 03/15/17)^b		18,650		18,650,000
5.50%, 03/01/25 (Call 12/01/24)^a,b		35,562		33,961,710

				309,458,244
MACHINERY — 0.84%
BlueLine Rental Finance Corp.
7.00%, 02/01/19 (Call 03/31/16)^a,b		16,975		12,434,188
Case New Holland Industrial Inc.
7.88%, 12/01/17^b		29,075		31,146,594


122		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
CNH Industrial Capital LLC
3.25%, 02/01/17^b	$	3,650	$	3,665,987
3.38%, 07/15/19^b		9,000		8,466,300
3.63%, 04/15/18^b		11,400		11,296,260
3.88%, 07/16/18^b		12,775		12,533,233
4.38%, 11/06/20^b		12,115		11,537,341
6.25%, 11/01/16		845		863,484
Terex Corp.
6.00%, 05/15/21 (Call 11/15/16)^b		17,500		16,493,750
Zebra Technologies Corp.
7.25%, 10/15/22 (Call 10/15/17)^b		21,320		22,332,700

				130,769,837
MANUFACTURING — 0.84%
Bombardier Inc.
4.75%, 04/15/19^a		11,380		9,037,617
5.50%, 09/15/18^a		15,800		14,417,500
5.75%, 03/15/22^a,b		8,700		6,052,714
6.00%, 10/15/22 (Call 04/15/17)^a,b		25,103		17,752,842
6.13%, 01/15/23^a		26,076		18,253,200
7.50%, 03/15/18^a		13,200		12,606,000
7.50%, 03/15/25 (Call 03/15/20)^a,b		31,930		22,322,416
7.75%, 03/15/20^a		16,620		13,296,000
Gates Global LLC/Gates Global Co.
6.00%, 07/15/22 (Call 07/15/17)^a,b		23,760		17,463,600

				131,201,889
MEDIA — 10.52%
Altice U.S. Finance I Corp.
5.38%, 07/15/23 (Call 07/15/18)^a		22,650		22,933,125
AMC Networks Inc.
4.75%, 12/15/22 (Call 12/15/17)^b		10,375		10,530,625
7.75%, 07/15/21 (Call 07/15/16)		11,724		12,406,923
Cablevision Systems Corp.
5.88%, 09/15/22		15,150		12,006,375
7.75%, 04/15/18^b		15,570		15,959,250


Security	Principal (000s)		Value
8.00%, 04/15/20^b	$	9,400	$	8,883,000
8.63%, 09/15/17^b		18,220		19,381,525
CCO Holdings LLC/CCO Holdings Capital Corp.
5.13%, 02/15/23 (Call 02/15/18)^b		20,145		20,094,638
5.13%, 05/01/23 (Call 05/01/18)^a		24,125		23,748,047
5.25%, 03/15/21 (Call 03/31/16)^b		10,650		11,036,063
5.25%, 09/30/22 (Call 09/30/17)^b		25,476		25,762,605
5.38%, 05/01/25 (Call 05/01/20)^a,b		16,515		16,515,000
5.75%, 09/01/23 (Call 03/01/18)^b		9,050		9,215,163
5.75%, 01/15/24 (Call 07/15/18)^b		18,792		19,130,444
5.88%, 04/01/24 (Call 04/01/19)^a,b		23,075		23,594,187
5.88%, 05/01/27 (Call 05/01/21)^a,b		18,100		18,100,000
6.50%, 04/30/21 (Call 03/31/16)		34,186		35,553,440
6.63%, 01/31/22 (Call 01/31/17)		15,889		16,691,553
7.00%, 01/15/19 (Call 03/31/16)		7,511		7,673,989
7.38%, 06/01/20 (Call 03/31/16)^b		12,020		12,500,800
CCOH Safari LLC
5.75%, 02/15/26 (Call 02/15/21)^a,b		52,410		52,547,838
Cequel Communications Holdings I LLC/Cequel Capital Corp.
5.13%, 12/15/21 (Call 06/15/16)^a,b		24,700		22,415,760
6.38%, 09/15/20 (Call 03/31/16)^a,b		31,057		30,435,860
Clear Channel Worldwide Holdings Inc.
6.50%, 11/15/22 (Call 11/15/17)		12,870		11,711,700


SCHEDULESOF INVESTMENTS			123

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
6.50%, 11/15/22 (Call 11/15/17)^b	$	40,231	$	39,024,070
Series A
7.63%, 03/15/20 (Call 03/31/16)^b		500		406,875
Series B
7.63%, 03/15/20 (Call 03/31/16)^b		37,180		32,439,550
CSC Holdings LLC
5.25%, 06/01/24^b		15,700		13,462,750
6.75%, 11/15/21^b		20,445		20,659,673
8.63%, 02/15/19		10,314		11,087,550
DISH DBS Corp.
4.25%, 04/01/18		24,346		24,568,522
4.63%, 07/15/17^b		15,550		15,899,875
5.00%, 03/15/23^b		30,325		26,790,266
5.13%, 05/01/20^b		22,462		22,181,225
5.88%, 07/15/22		42,295		40,656,069
5.88%, 11/15/24^b		39,054		35,154,380
6.75%, 06/01/21^b		41,885		42,566,993
7.88%, 09/01/19^b		29,206		31,637,107
iHeartCommunications Inc.
9.00%, 12/15/19 (Call 03/31/16)^b		31,850		22,613,500
9.00%, 03/01/21 (Call 03/31/16)^b		34,350		23,400,937
9.00%, 09/15/22 (Call 09/15/17)^b		18,700		12,549,035
10.00%, 01/15/18 (Call 07/15/16)^b		12,200		3,886,171
10.63%, 03/15/23 (Call 03/15/18)^b		19,070		12,745,116
11.25%, 03/01/21 (Call 03/31/16)		11,425		7,740,438
McGraw-Hill Global Education Holdings LLC/McGraw-Hill Global Education Finance
9.75%, 04/01/21 (Call 04/01/16)^b		14,609		15,887,288
Neptune Finco Corp.
6.63%, 10/15/25 (Call 10/15/20)^a,b		22,825		24,080,375
10.13%, 01/15/23 (Call 01/15/19)^a		35,080		37,754,850


Security	Principal (000s)		Value
10.88%, 10/15/25 (Call 10/15/20)^a,b	$	39,250	$	42,390,000
Nielsen Finance LLC/Nielsen Finance Co.
4.50%, 10/01/20 (Call 10/01/16)^b		15,350		15,707,288
5.00%, 04/15/22 (Call 04/15/17)^a,b		44,238		45,025,879
Numericable-SFR SA
4.88%, 05/15/19 (Call 05/15/16)^a,b		48,460		48,429,955
6.00%, 05/15/22 (Call 05/15/17)^a,b		84,642		83,795,580
6.25%, 05/15/24 (Call 05/15/19)^a,b		29,300		28,494,250
Quebecor Media Inc.
5.75%, 01/15/23^b		17,142		17,699,115
Sinclair Television Group Inc.
5.38%, 04/01/21 (Call 04/01/16)^b		10,950		11,020,025
5.63%, 08/01/24 (Call 08/01/19)^a,b		10,925		10,878,911
6.13%, 10/01/22 (Call 10/01/17)^b		9,955		10,218,005
Sirius XM Radio Inc.
4.25%, 05/15/20 (Call 05/15/16)^a,b		7,400		7,526,654
4.63%, 05/15/23 (Call 05/15/18)^a,b		10,932		10,651,868
5.38%, 04/15/25 (Call 04/15/20)^a		20,850		20,876,062
5.75%, 08/01/21 (Call 08/01/16)^a,b		13,125		13,626,063
5.88%, 10/01/20 (Call 10/01/16)^a,b		11,800		12,323,194
6.00%, 07/15/24 (Call 07/15/19)^a,b		29,250		30,895,312
TEGNA Inc.
5.13%, 10/15/19 (Call 10/15/16)^b		9,479		10,033,522
5.13%, 07/15/20 (Call 07/15/16)^b		9,300		9,708,053
6.38%, 10/15/23 (Call 10/15/18)^b		13,696		14,688,960


124		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Tribune Media Co.
5.88%, 07/15/22 (Call 07/15/18)^a,b	$	24,430	$	24,552,150
Unitymedia GmbH
6.13%, 01/15/25 (Call 01/15/20)^a,b		19,100		19,673,000
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH
5.00%, 01/15/25 (Call 01/15/20)^a,b		13,460		13,401,045
5.50%, 01/15/23 (Call 01/15/18)^a,b		20,695		21,620,731
Univision Communications Inc.
5.13%, 05/15/23 (Call 05/15/18)^a,b		23,230		23,055,775
5.13%, 02/15/25 (Call 02/15/20)^a,b		30,960		30,340,800
6.75%, 09/15/22 (Call 09/15/17)^a		24,103		25,564,244
8.50%, 05/15/21 (Call 03/31/16)^a,b		17,873		17,962,365
Videotron Ltd.
5.00%, 07/15/22		12,350		12,627,875
5.38%, 06/15/24 (Call 03/15/24)^a,b		10,100		10,258,298
WideOpenWest Finance LLC/WideOpenWest Capital Corp.
10.25%, 07/15/19 (Call 03/31/16)^b		17,375		15,876,406

				1,634,941,910
MINING — 1.76%
Alcoa Inc.
5.13%, 10/01/24 (Call 07/01/24)^b		24,440		22,087,650
5.40%, 04/15/21 (Call 01/15/21)^b		26,129		25,865,097
5.55%, 02/01/17^b		3,050		3,116,336
5.72%, 02/23/19^b		16,290		16,493,625
5.87%, 02/23/22^b		11,655		11,242,857
6.15%, 08/15/20^b		19,713		19,910,130
6.75%, 07/15/18^b		14,735		15,348,838
Aleris International Inc.
7.88%, 11/01/20 (Call 03/31/16)^b		1,010		780,162


Security	Principal (000s)		Value
FMG Resources August 2006 Pty Ltd.
6.88%, 04/01/22 (Call 04/01/17)^a,b	$	8,545	$	5,981,500
8.25%, 11/01/19 (Call 03/31/16)^a,b		13,293		11,830,770
9.75%, 03/01/22 (Call 03/01/18)^a,b		42,910		39,922,808
Lundin Mining Corp.
7.50%, 11/01/20 (Call 11/01/17)^a,b		12,210		10,866,900
7.88%, 11/01/22 (Call 11/01/18)^a		8,200		6,888,000
Novelis Inc.
8.38%, 12/15/17 (Call 03/31/16)^b		19,793		19,694,035
8.75%, 12/15/20 (Call 03/31/16)^b		28,398		26,361,083
Teck Resources Ltd.
2.50%, 02/01/18^b		9,200		7,876,810
3.00%, 03/01/19^b		9,250		7,053,125
3.75%, 02/01/23 (Call 11/01/22)		13,265		8,091,650
4.50%, 01/15/21 (Call 10/15/20)		7,875		4,925,813
4.75%, 01/15/22 (Call 10/15/21)		15,500		9,413,134

				273,750,323
OFFICE & BUSINESS EQUIPMENT — 0.24%
CDW LLC/CDW Finance Corp.
5.00%, 09/01/23 (Call 03/01/18)^b		10,535		10,785,207
5.50%, 12/01/24 (Call 06/01/24)^b		11,870		12,082,671
6.00%, 08/15/22 (Call 08/15/17)^b		13,070		13,800,933

				36,668,811
OIL & GAS — 4.96%
American Energy-Permian Basin LLC
13.00%, 11/30/20 (Call 11/30/18)^a,b		7,675		8,135,500	��


SCHEDULESOF INVESTMENTS			125

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
American Energy-Permian Basin LLC/AEPB Finance Corp.
7.13%, 11/01/20 (Call 01/31/17)^a,b	$	10,600	$	2,544,000
7.38%, 11/01/21 (Call 07/31/17)^a,b		9,155		2,197,200
Antero Resources Corp.
5.13%, 12/01/22 (Call 06/01/17)^b		24,232		20,657,780
5.38%, 11/01/21 (Call 11/01/16)^b		20,150		17,505,312
5.63%, 06/01/23 (Call 06/01/18)^a,b		14,850		12,625,915
6.00%, 12/01/20 (Call 03/31/16)^b		10,800		9,635,414
Berry Petroleum Co. LLC
6.38%, 09/15/22 (Call 03/15/17)		9,600		960,000
BreitBurn Energy Partners LP/BreitBurn Finance Corp.
7.88%, 04/15/22 (Call 01/15/17)		13,100		1,441,000
California Resources Corp.
5.00%, 01/15/20 (Call 12/15/19)		4,671		607,230
5.50%, 09/15/21 (Call 06/15/21)		11,052		1,436,760
6.00%, 11/15/24 (Call 08/15/24)		12,556		1,632,280
8.00%, 12/15/22 (Call 12/15/18)^a,b		40,028		10,007,000
Calumet Specialty Products Partners LP/Calumet Finance Corp.
6.50%, 04/15/21 (Call 04/15/17)^b		19,287		11,620,417
Carrizo Oil & Gas Inc.
6.25%, 04/15/23 (Call 04/15/18)^b		11,085		7,981,200
7.50%, 09/15/20 (Call 09/15/16)^b		13,650		10,783,500


Security	Principal (000s)		Value
Chaparral Energy Inc.
7.63%, 11/15/22 (Call 05/15/17)^d	$	9,200	$	920,000
8.25%, 09/01/21 (Call 09/01/16)^d		6,520		652,000
Chesapeake Energy Corp.
7.25%, 12/15/18		1,500		540,000
8.00%, 12/15/22 (Call 12/15/18)^a,b		70,406		27,810,370
Citgo Holding Inc.
10.75%, 02/15/20^a		30,052		27,347,320
Comstock Resources Inc.
10.00%, 03/15/20 (Call 03/31/16)^a,b		12,325		4,529,438
Concho Resources Inc.
5.50%, 10/01/22 (Call 10/01/17)^b		12,850		12,095,062
5.50%, 04/01/23 (Call 10/01/17)^b		31,041		28,787,756
6.50%, 01/15/22 (Call 01/15/17)^b		12,425		11,945,648
7.00%, 01/15/21 (Call 03/31/16)		14,317		14,442,274
Denbury Resources Inc.
4.63%, 07/15/23 (Call 01/15/18)		22,039		6,415,553
5.50%, 05/01/22 (Call 05/01/17)		19,725		6,213,375
6.38%, 08/15/21 (Call 08/15/16)^b		6,055		1,913,380
Energy XXI Gulf Coast Inc.
6.88%, 03/15/24 (Call 03/15/19)^b,d		6,325		158,125
9.25%, 12/15/17 (Call 03/31/16)^d		9,075		272,250
11.00%, 03/15/20 (Call 09/15/17)^a,d		19,750		2,172,500
EP Energy LLC/Everest Acquisition Finance Inc.
6.38%, 06/15/23 (Call 06/15/18)		13,395		3,595,218
9.38%, 05/01/20 (Call 05/01/16)		33,196		9,917,305


126		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Halcon Resources Corp.
8.63%, 02/01/20 (Call 02/01/17)^a,b	$	13,990	$	7,729,475
13.00%, 02/15/22 (Call 08/15/18)^a,b		15,150		2,121,000
Harvest Operations Corp.
6.88%, 10/01/17		9,294		5,901,690
Hilcorp Energy I LP/Hilcorp Finance Co.
5.00%, 12/01/24 (Call 06/01/19)^a,b		9,245		6,301,947
5.75%, 10/01/25 (Call 04/01/20)^a,b		9,925		6,773,813
Jupiter Resources Inc.
8.50%, 10/01/22 (Call 10/01/17)^a,b		17,400		5,655,000
Laredo Petroleum Inc.
5.63%, 01/15/22 (Call 01/15/17)^b		7,925		5,072,000
7.38%, 05/01/22 (Call 05/01/17)^b		12,150		7,715,250
Linn Energy LLC/Linn Energy Finance Corp.
6.50%, 09/15/21 (Call 09/15/17)		9,875		419,688
7.75%, 02/01/21 (Call 03/31/16)		14,053		597,253
8.63%, 04/15/20 (Call 03/31/16)		18,245		775,413
12.00%, 12/15/20 (Call 12/15/18)^a		19,595		1,959,500
MEG Energy Corp.
6.38%, 01/30/23 (Call 07/30/17)^a,b		14,972		7,074,270
6.50%, 03/15/21 (Call 03/31/16)^a,b		13,475		6,501,688
7.00%, 03/31/24 (Call 09/30/18)^a,b		21,675		10,241,438
Memorial Production Partners LP/Memorial Production Finance Corp.
6.88%, 08/01/22 (Call 08/01/17)		9,450		2,055,375


Security	Principal (000s)		Value
7.63%, 05/01/21 (Call 05/01/17)	$	12,850	$	2,984,695
Midstates Petroleum Co. Inc./Midstates Petroleum Co. LLC
10.00%, 06/01/20 (Call 06/01/17)^b		11,550		3,060,750
Newfield Exploration Co.
5.38%, 01/01/26 (Call 10/01/25)^b		15,125		13,017,812
5.63%, 07/01/24^b		19,030		17,269,725
5.75%, 01/30/22^b		16,570		15,286,032
Oasis Petroleum Inc.
6.50%, 11/01/21 (Call 11/01/16)		8,350		4,993,300
6.88%, 03/15/22 (Call 09/15/17)^b		19,075		11,142,980
6.88%, 01/15/23 (Call 07/15/17)		7,967		4,627,499
7.25%, 02/01/19 (Call 03/31/16)^b		8,465		5,277,928
Pacific Drilling SA
5.38%, 06/01/20 (Call 06/01/16)^a,b		9,775		1,857,861
Pacific Drilling V Ltd.
7.25%, 12/01/17 (Call 03/31/16)^a		9,075		2,484,281
PBF Holding Co. LLC/PBF Finance Corp.
7.00%, 11/15/23 (Call 11/15/18)^a,b		8,335		7,126,425
8.25%, 02/15/20 (Call 03/31/16)^b		14,800		14,940,600
Penn Virginia Corp.
8.50%, 05/01/20 (Call 05/01/17)		11,500		977,500
Precision Drilling Corp.
5.25%, 11/15/24 (Call 05/15/19)^b		6,895		4,010,950
6.63%, 11/15/20 (Call 03/31/16)		11,420		7,622,850
Puma International Financing SA
6.75%, 02/01/21 (Call 02/01/17)^a		19,300		17,780,125


SCHEDULESOF INVESTMENTS			127

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
QEP Resources Inc.
5.25%, 05/01/23 (Call 02/01/23)	$	13,452	$	9,416,400
5.38%, 10/01/22 (Call 07/01/22)^b		8,160		5,574,259
6.88%, 03/01/21^b		12,821		9,263,173
Range Resources Corp.
4.88%, 05/15/25 (Call 02/15/25)^a,b		13,100		11,331,500
5.00%, 08/15/22 (Call 02/15/17)^b		13,342		11,307,345
5.00%, 03/15/23 (Call 03/15/18)^b		16,900		13,995,312
5.75%, 06/01/21 (Call 06/01/16)		8,622		7,149,075
Sanchez Energy Corp.
6.13%, 01/15/23 (Call 07/15/18)^b		20,635		7,523,438
7.75%, 06/15/21 (Call 06/15/17)		10,020		4,058,100
Seven Generations Energy Ltd.
6.75%, 05/01/23 (Call 05/01/18)^a,b		7,915		6,812,554
Seventy Seven Energy Inc.
6.50%, 07/15/22 (Call 07/15/17)		8,365		125,475
Seventy Seven Operating LLC
6.63%, 11/15/19 (Call 03/31/16)		8,260		1,404,200
SM Energy Co.
5.00%, 01/15/24 (Call 07/15/18)		8,105		3,221,738
5.63%, 06/01/25 (Call 06/01/20)^b		8,824		3,551,660
6.13%, 11/15/22 (Call 11/15/18)		14,025		6,271,840
6.50%, 01/01/23 (Call 07/01/17)		9,052		3,598,170
Sunoco LP/Sunoco Finance Corp.
5.50%, 08/01/20 (Call 08/01/17)^a,b		10,650		10,224,000
6.38%, 04/01/23 (Call 04/01/18)^a,b		15,400		14,691,600


Security	Principal (000s)		Value
Tesoro Corp.
4.25%, 10/01/17 (Call 09/01/17)^b	$	8,198	$	8,319,945
5.38%, 10/01/22 (Call 10/01/17)^b		11,325		10,733,134
Transocean Inc.
3.00%, 10/15/17^b		11,550		10,260,827
4.30%, 10/15/22 (Call 07/15/22)^b		13,815		6,769,350
6.00%, 03/15/18^b		19,358		15,631,585
6.50%, 11/15/20^b		18,250		10,585,000
7.13%, 12/15/21^b		22,600		12,537,124
Tullow Oil PLC
6.00%, 11/01/20 (Call 11/01/16)^a		14,420		9,409,050
6.25%, 04/15/22 (Call 04/15/17)^a		11,700		7,160,400
Ultra Petroleum Corp.
5.75%, 12/15/18 (Call 03/31/16)^a		10,320		567,600
6.13%, 10/01/24 (Call 10/01/19)^a		13,795		758,725
Whiting Petroleum Corp.
5.00%, 03/15/19 (Call 12/15/18)^b		21,950		10,920,125
5.75%, 03/15/21 (Call 12/15/20)^b		24,378		11,396,715
6.25%, 04/01/23 (Call 01/01/23)^b		14,070		6,437,025
WPX Energy Inc.
5.25%, 09/15/24 (Call 06/15/24)^b		9,620		5,050,500
6.00%, 01/15/22 (Call 10/15/21)^b		20,317		11,631,482
7.50%, 08/01/20 (Call 07/01/20)		9,150		5,741,625
8.25%, 08/01/23 (Call 06/01/23)^b		12,200		7,259,000

				771,543,246
OIL & GAS SERVICES — 0.12%
CGG SA
6.50%, 06/01/21 (Call 06/01/16)^b		11,360		3,890,800


128		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
6.88%, 01/15/22 (Call 07/15/17)	$	9,975	$	3,370,054
Weatherford International Ltd./Bermuda
4.50%, 04/15/22 (Call 01/15/22)		2,220		1,454,100
5.13%, 09/15/20		6,600		4,607,592
6.00%, 03/15/18		5,750		4,884,873
9.63%, 03/01/19		600		512,625

				18,720,044
PACKAGING & CONTAINERS — 1.55%
Ardagh Packaging Finance PLC
9.13%, 10/15/20 (Call 03/31/16)^a,b		11,296		11,631,350
Ardagh Packaging Finance PLC/Ardagh Holdings USA Inc.
6.00%, 06/30/21 (Call 06/30/17)^a,b		9,550		8,717,028
6.25%, 01/31/19 (Call 03/31/16)^a,b		8,075		7,893,313
6.75%, 01/31/21 (Call 01/31/17)^a,b		9,700		9,133,856
Ball Corp.
4.00%, 11/15/23^b		20,096		19,568,480
4.38%, 12/15/20^b		16,386		17,123,370
5.00%, 03/15/22^b		18,046		18,734,087
5.25%, 07/01/25		20,000		20,850,000
Berry Plastics Corp.
5.13%, 07/15/23 (Call 07/15/18)^b		13,625		13,676,094
5.50%, 05/15/22 (Call 05/15/17)^b		11,180		11,627,200
6.00%, 10/15/22 (Call 10/15/18)^a,b		7,185		7,454,438
Beverage Packaging Holdings Luxembourg II SA/Beverage Packaging Holdings II Issuer Inc.
6.00%, 06/15/17 (Call 06/15/16)^a,b		8,650		8,574,312
Crown Americas LLC/Crown Americas Capital Corp. IV
4.50%, 01/15/23^b		19,912		20,310,240


Security	Principal (000s)		Value
Owens-Brockway Glass Container Inc.
5.00%, 01/15/22^a,b	$	8,800	$	8,712,000
5.88%, 08/15/23^a,b		16,200		16,686,000
Sealed Air Corp.
4.88%, 12/01/22 (Call 09/01/22)^a,b		8,125		8,321,553
5.13%, 12/01/24 (Call 09/01/24)^a,b		9,175		9,496,125
5.25%, 04/01/23 (Call 01/01/23)^a,b		7,850		8,105,880
5.50%, 09/15/25 (Call 06/15/25)^a,b		7,785		8,160,407
6.50%, 12/01/20 (Call 09/01/20)^a,b		6,150		6,852,974

				241,628,707
PHARMACEUTICALS — 2.87%
DPx Holdings BV
7.50%, 02/01/22 (Call 02/01/17)^a		8,000		7,520,000
Endo Finance LLC
5.75%, 01/15/22 (Call 01/15/17)^a,b		15,975		16,051,301
Endo Finance LLC/Endo Finco Inc.
5.88%, 01/15/23 (Call 07/15/17)^a,b		16,135		16,034,156
Endo Ltd./Endo Finance LLC/Endo Finco Inc.
6.00%, 07/15/23 (Call 07/15/18)^a,b		31,845		32,123,644
6.00%, 02/01/25 (Call 02/01/20)^a,b		23,510		23,392,450
Grifols Worldwide Operations Ltd.
5.25%, 04/01/22 (Call 04/01/17)		20,485		21,176,369
NBTY Inc.
9.00%, 10/01/18 (Call 03/31/16)^b		11,875		12,171,875
Valeant Pharmaceuticals International Inc.
5.38%, 03/15/20 (Call 03/15/17)^a		40,760		37,091,600


SCHEDULESOF INVESTMENTS			129

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.50%, 03/01/23 (Call 03/01/18)^a	$	19,310	$	16,196,263
5.63%, 12/01/21 (Call 12/01/16)^a,b		18,995		16,299,989
5.88%, 05/15/23 (Call 05/15/18)^a,b		66,367		56,121,594
6.13%, 04/15/25 (Call 04/15/20)^a		66,255		55,819,837
6.38%, 10/15/20 (Call 10/15/16)^a		45,975		42,297,000
6.75%, 08/15/18 (Call 03/31/16)^a,b		28,908		27,942,210
6.75%, 08/15/21 (Call 03/31/16)^a,b		12,070		11,044,050
7.00%, 10/01/20 (Call 03/31/16)^a,b		13,038		12,415,436
7.25%, 07/15/22 (Call 07/15/16)^a		9,950		9,138,744
7.50%, 07/15/21 (Call 07/15/16)^a		34,907		33,096,199

				445,932,717
PIPELINES — 3.16%
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp.
6.00%, 12/15/20 (Call 12/15/16)^b		9,865		7,176,788
6.13%, 03/01/22 (Call 11/01/16)^b		13,119		9,314,490
6.25%, 04/01/23 (Call 04/01/18)^a,b		13,300		9,609,250
DCP Midstream LLC
5.85%, 05/21/43 (Call 05/21/23)^a,c		10,011		5,280,803
DCP Midstream Operating LP
2.50%, 12/01/17 (Call 11/01/17)^b		8,100		7,397,036
3.88%, 03/15/23 (Call 12/15/22)		10,225		7,528,156
Energy Transfer Equity LP
5.50%, 06/01/27 (Call 03/01/27)^b		20,790		15,696,450


Security	Principal (000s)		Value
5.88%, 01/15/24 (Call 10/15/23)^b	$	22,775	$	18,860,433
7.50%, 10/15/20		23,680		21,667,200
Genesis Energy LP/Genesis Energy Finance Corp.
6.00%, 05/15/23 (Call 05/15/18)^b		7,385		5,683,373
6.75%, 08/01/22 (Call 08/01/18)		16,820		13,960,600
MPLX LP
4.88%, 12/01/24 (Call 09/01/24)^a		489		399,496
NGPL PipeCo LLC
7.12%, 12/15/17^a		24,940		23,230,064
9.63%, 06/01/19 (Call 03/31/16)^a,b		12,175		11,444,500
NuStar Logistics LP
4.80%, 09/01/20		7,518		6,136,568
ONEOK Inc.
4.25%, 02/01/22 (Call 11/02/21)		9,388		7,111,410
7.50%, 09/01/23 (Call 06/01/23)		11,075		9,607,562
Rockies Express Pipeline LLC
5.63%, 04/15/20^a,b		16,346		14,570,416
6.00%, 01/15/19^a,b		8,575		7,974,750
6.85%, 07/15/18^a,b		13,295		12,845,606
Sabine Pass Liquefaction LLC
5.63%, 02/01/21 (Call 11/01/20)^b		39,115		37,067,216
5.63%, 04/15/23 (Call 01/15/23)^b		31,391		29,036,675
5.63%, 03/01/25 (Call 12/01/24)^b		41,070		37,271,025
5.75%, 05/15/24 (Call 02/15/24)^b		41,902		39,204,349
6.25%, 03/15/22 (Call 12/15/21)^b		20,250		19,338,750
Targa Resources Partners LP/Targa Resources Partners Finance Corp.
4.13%, 11/15/19 (Call 11/15/16)		18,100		15,973,250


130		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.25%, 11/15/23 (Call 05/15/18)	$	11,200	$	8,293,600
5.00%, 01/15/18 (Call 10/15/17)^b		22,291		21,357,453
5.25%, 05/01/23 (Call 11/01/17)^b		10,975		8,661,105
6.75%, 03/15/24 (Call 09/15/19)^a,b		12,550		10,345,843
6.88%, 02/01/21 (Call 03/31/16)		9,261		8,068,646
Tesoro Logistics LP/Tesoro Logistics Finance Corp.
5.50%, 10/15/19 (Call 09/15/19)^a,b		8,197		7,807,642
5.88%, 10/01/20 (Call 10/01/16)		9,015		8,474,100
6.13%, 10/15/21 (Call 10/15/16)^b		9,600		8,928,000
6.25%, 10/15/22 (Call 10/15/18)^a,b		16,580		15,253,600

				490,576,205
REAL ESTATE — 0.07%
Realogy Group LLC/Realogy Co-Issuer Corp.
4.50%, 04/15/19^a,b		8,450		8,650,687
5.25%, 12/01/21 (Call 12/01/17)^a		2,355		2,393,269

				11,043,956
REAL ESTATE INVESTMENT TRUSTS — 0.90%
Communications Sales & Leasing Inc./CSL Capital LLC
6.00%, 04/15/23 (Call 04/15/18)^a,b		7,011		6,695,505
8.25%, 10/15/23 (Call 04/15/19)^b		22,800		20,292,000
Crown Castle International Corp.
5.25%, 01/15/23		969		1,025,929
Equinix Inc.
5.88%, 01/15/26 (Call 01/15/21)^b		23,175		24,217,875


Security	Principal (000s)		Value
Iron Mountain Inc.
6.00%, 10/01/20 (Call 10/01/17)^a	$	18,975	$	20,113,500
iStar Inc.
4.00%, 11/01/17 (Call 08/01/17)^b		12,600		11,907,000
5.00%, 07/01/19 (Call 07/01/16)^b		15,025		14,010,812
MPT Operating Partnership LP/MPT Finance Corp.
6.38%, 03/01/24 (Call 03/01/19)		2,235		2,280,560
6.88%, 05/01/21 (Call 05/01/16)		7,925		8,243,981
Vereit Operating Partnership LP
2.00%, 02/06/17		9,400		9,226,100
3.00%, 02/06/19 (Call 01/06/19)^b		12,750		12,112,500
4.60%, 02/06/24 (Call 11/06/23)		10,300		9,862,250

				139,988,012
RETAIL — 3.38%
1011778 BC ULC/New Red Finance Inc.
4.63%, 01/15/22 (Call 10/01/17)^a		26,644		27,076,965
6.00%, 04/01/22 (Call 10/01/17)^a,b		44,852		46,758,210
AmeriGas Finance LLC/AmeriGas Finance Corp.
6.75%, 05/20/20 (Call 05/20/16)^b		12,775		12,966,625
7.00%, 05/20/22 (Call 05/20/17)^b		19,317		19,824,071
AmeriGas Partners LP/AmeriGas Finance Corp.
6.25%, 08/20/19 (Call 03/31/16)^b		7,480		7,454,624
Claire’s Stores Inc.
8.88%, 03/15/19 (Call 03/31/16)^b		6,930		1,022,175
9.00%, 03/15/19 (Call 03/31/16)^a		16,125		9,288,000


SCHEDULESOF INVESTMENTS			131

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Dollar Tree Inc.
5.25%, 03/01/20 (Call 03/01/17)^a	$	13,357	$	14,024,850
5.75%, 03/01/23 (Call 03/01/18)^a,b		50,830		53,997,726
Ferrellgas LP/Ferrellgas Finance Corp.
6.50%, 05/01/21 (Call 05/01/16)^b		8,325		6,327,000
6.75%, 01/15/22 (Call 11/15/16)^b		8,050		5,826,188
6.75%, 06/15/23 (Call 06/15/19)^a		12,595		9,320,300
JC Penney Corp. Inc.
5.65%, 06/01/20^b		8,077		7,471,225
8.13%, 10/01/19^b		9,615		9,735,187
L Brands Inc.
5.63%, 02/15/22^b		19,847		21,295,831
5.63%, 10/15/23		10,400		11,060,041
6.63%, 04/01/21		23,702		26,398,102
6.90%, 07/15/17		10,262		10,981,366
7.00%, 05/01/20		8,360		9,535,347
8.50%, 06/15/19^b		10,150		11,856,534
Michaels Stores Inc.
5.88%, 12/15/20 (Call 12/15/16)^a,b		8,575		8,838,846
Neiman Marcus Group Ltd. LLC
8.00%, 10/15/21 (Call 10/15/16)^a,b		18,500		12,903,750
QVC Inc.
3.13%, 04/01/19		7,080		7,041,077
4.38%, 03/15/23		15,651		15,034,718
4.45%, 02/15/25 (Call 11/15/24)^b		12,086		11,284,695
4.85%, 04/01/24		11,340		10,939,527
5.13%, 07/02/22		9,015		9,159,632
Rite Aid Corp.
6.13%, 04/01/23 (Call 04/01/18)^a,b		35,570		38,052,786
6.75%, 06/15/21 (Call 06/15/16)^b		14,366		15,197,737
9.25%, 03/15/20 (Call 03/31/16)^b		12,958		13,657,306


Security	Principal (000s)		Value
Sally Holdings LLC/Sally Capital Inc.
5.63%, 12/01/25 (Call 12/01/20)^b	$	14,545	$	15,163,162
5.75%, 06/01/22 (Call 06/01/17)^b		16,218		17,045,595
Suburban Propane Partners LP/Suburban Energy Finance Corp.
5.50%, 06/01/24 (Call 06/01/19)^b		10,550		9,030,800
Toys R Us Inc.
10.38%, 08/15/17 (Call 03/31/16)^b		7,740		6,493,783
Toys R Us Property Co. II LLC
8.50%, 12/01/17 (Call 03/31/16)		14,375		13,422,656

				525,486,437
SEMICONDUCTORS — 1.44%
Advanced Micro Devices Inc.
6.75%, 03/01/19		13,850		10,145,125
7.00%, 07/01/24 (Call 07/01/19)		9,831		6,193,530
7.50%, 08/15/22		8,100		5,265,000
7.75%, 08/01/20 (Call 03/31/16)^b		10,935		7,435,800
Micron Technology Inc.
5.25%, 08/01/23 (Call 02/01/18)^a,b		21,320		18,228,600
5.25%, 01/15/24 (Call 05/01/18)^a,b		10,700		9,041,500
5.50%, 02/01/25 (Call 08/01/19)^b		22,720		19,084,800
5.63%, 01/15/26 (Call 05/01/20)^a		8,550		6,925,500
5.88%, 02/15/22 (Call 02/15/17)^b		13,965		12,760,519
NXP BV/NXP Funding LLC
3.50%, 09/15/16^a,b		2,750		2,760,313
3.75%, 06/01/18^a		13,716		13,853,160
4.13%, 06/15/20^a,b		13,270		13,386,112
4.63%, 06/15/22^a,b		7,800		7,741,500
5.75%, 02/15/21 (Call 02/15/17)^a,b		10,075		10,478,000


132		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.75%, 03/15/23 (Call 03/15/18)^a,b	$	9,750	$	10,091,250
Qorvo Inc.
6.75%, 12/01/23 (Call 12/01/18)^a,b		9,650		9,794,750
7.00%, 12/01/25 (Call 12/01/20)^a,b		11,200		11,396,000
Sensata Technologies BV
4.88%, 10/15/23^a,b		9,808		9,685,400
5.00%, 10/01/25^a,b		13,500		13,263,750
5.63%, 11/01/24^a,b		7,930		8,167,900
Sensata Technologies UK Financing Co. PLC
6.25%, 02/15/26 (Call 02/15/21)^a,b		17,350		18,347,625

				224,046,134
SHIPBUILDING — 0.14%
Huntington Ingalls Industries Inc.
5.00%, 12/15/21 (Call 12/15/17)^a,b		9,966		10,489,215
5.00%, 11/15/25 (Call 11/15/20)^a,b		11,380		11,941,831

				22,431,046
SOFTWARE — 2.70%
Activision Blizzard Inc.
5.63%, 09/15/21 (Call 09/15/16)^a,b		26,750		28,120,938
6.13%, 09/15/23 (Call 09/15/18)^a,b		17,075		18,248,906
Audatex North America Inc.
6.00%, 06/15/21 (Call 06/15/17)^a		32,661		32,865,131
6.13%, 11/01/23 (Call 11/01/18)^a		27,583		27,760,320
BMC Software Finance Inc.
8.13%, 07/15/21 (Call 07/15/16)^a		31,945		20,285,075
First Data Corp.
5.00%, 01/15/24 (Call 01/15/19)^a,b		19,430		19,733,691
5.38%, 08/15/23 (Call 08/15/18)^a,b		25,890		26,847,930


Security	Principal (000s)		Value
5.75%, 01/15/24 (Call 01/15/19)^a,b	$	46,590	$	46,881,188
6.75%, 11/01/20 (Call 03/31/16)^a,b		23,152		24,436,936
7.00%, 12/01/23 (Call 12/01/18)^a,b		67,900		67,900,000
Infor U.S. Inc.
5.75%, 08/15/20 (Call 08/15/17)^a,b		12,240		12,331,800
6.50%, 05/15/22 (Call 05/15/18)^a,b		33,160		28,766,300
MSCI Inc.
5.25%, 11/15/24 (Call 11/15/19)^a,b		17,525		18,598,406
5.75%, 08/15/25 (Call 08/15/20)^a		15,435		16,592,625
Nuance Communications Inc.
5.38%, 08/15/20 (Call 08/15/16)^a,b		21,315		21,741,300
Solera LLC/Solera Finance Inc.
10.50%, 03/01/24		9,180		8,721,000

				419,831,546
STORAGE & WAREHOUSING — 0.12%
Algeco Scotsman Global Finance PLC
8.50%, 10/15/18 (Call 03/31/16)^a,b		19,150		14,735,818
10.75%, 10/15/19 (Call 10/15/16)^a		12,550		3,364,968

				18,100,786
TELECOMMUNICATIONS — 13.99%
Altice Financing SA
6.50%, 01/15/22 (Call 12/15/16)^a		16,649		16,773,868
6.63%, 02/15/23 (Call 02/15/18)^a		42,386		41,856,175
7.88%, 12/15/19 (Call 03/31/16)^a,b		10,000		10,410,426
Altice Finco SA
8.13%, 01/15/24 (Call 12/15/18)^a,b		9,550		9,237,238
9.88%, 12/15/20 (Call 12/15/16)^a		8,950		9,531,750


SCHEDULESOF INVESTMENTS			133

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Altice Luxembourg SA
7.63%, 02/15/25 (Call 02/15/20)^a,b	$	28,860	$	26,406,900
7.75%, 05/15/22 (Call 05/15/17)^a,b		56,925		54,790,312
Avaya Inc.
7.00%, 04/01/19 (Call 03/31/16)^a,b		20,516		12,610,929
10.50%, 03/01/21 (Call 03/01/17)^a,b		21,695		5,694,938
CenturyLink Inc.
5.63%, 04/01/25 (Call 01/01/25)		9,500		8,326,750
5.80%, 03/15/22^b		28,539		27,718,504
6.00%, 04/01/17^b		7,100		7,418,790
6.45%, 06/15/21^b		24,725		25,111,204
Series V
5.63%, 04/01/20^b		22,305		22,519,574
Series W
6.75%, 12/01/23^b		15,350		15,004,625
CommScope Inc.
4.38%, 06/15/20 (Call 06/15/17)^a,b		9,786		10,030,650
5.00%, 06/15/21 (Call 06/15/17)^a,b		12,825		12,632,625
5.50%, 06/15/24 (Call 06/15/19)^a		12,460		12,086,200
CommScope Technologies Finance LLC
6.00%, 06/15/25 (Call 06/15/20)^a,b		28,540		28,254,600
Frontier Communications Corp.
6.25%, 09/15/21 (Call 06/15/21)^b		18,022		15,971,998
6.88%, 01/15/25 (Call 10/15/24)		16,345		13,688,938
7.13%, 03/15/19^b		8,200		8,251,988
7.13%, 01/15/23		15,890		13,819,374
7.63%, 04/15/24		14,650		12,818,750
8.13%, 10/01/18^b		14,825		15,453,580
8.25%, 04/15/17^b		9,570		10,072,425
8.50%, 04/15/20		20,162		20,580,361
8.75%, 04/15/22		9,520		8,883,350


Security	Principal (000s)		Value
8.88%, 09/15/20 (Call 06/15/20)^a,b	$	25,154	$	25,826,419
9.25%, 07/01/21^b		10,200		10,200,000
10.50%, 09/15/22 (Call 06/15/22)^a,b		42,645		42,956,637
11.00%, 09/15/25 (Call 06/15/25)^a,b		70,915		70,745,513
Hughes Satellite Systems Corp.
6.50%, 06/15/19		19,912		22,052,540
7.63%, 06/15/21		17,865		19,372,359
Inmarsat Finance PLC
4.88%, 05/15/22 (Call 05/15/17)^a,b		20,425		20,016,500
Intelsat Jackson Holdings SA
5.50%, 08/01/23 (Call 08/01/18)^b		40,816		26,110,093
6.63%, 12/15/22 (Call 12/15/17)^b		23,856		11,848,481
7.25%, 04/01/19 (Call 03/31/16)^b		30,068		22,840,519
7.25%, 10/15/20 (Call 03/31/16)^b		44,799		30,351,322
7.50%, 04/01/21 (Call 04/01/16)^b		26,295		18,159,090
Intelsat Luxembourg SA
6.75%, 06/01/18 (Call 06/01/16)^b		9,350		5,633,375
7.75%, 06/01/21 (Call 06/01/17)		36,975		11,277,375
8.13%, 06/01/23 (Call 06/01/18)		16,655		5,079,775
Koninklijke KPN NV
7.00%, 03/28/73 (Call 03/28/23)^a,c		11,410		11,422,551
Level 3 Communications Inc.
5.75%, 12/01/22 (Call 12/01/17)^b		12,050		12,475,486
Level 3 Financing Inc.
5.13%, 05/01/23 (Call 05/01/18)^b		12,590		12,841,800
5.38%, 08/15/22 (Call 08/15/17)^b		21,109		21,689,497
5.38%, 01/15/24 (Call 01/15/19)^a,b		21,200		21,677,000


134		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.38%, 05/01/25 (Call 05/01/20)^b	$	14,625	$	14,844,375
5.63%, 02/01/23 (Call 02/01/18)^b		11,980		12,354,375
6.13%, 01/15/21 (Call 11/15/16)		13,640		14,270,850
7.00%, 06/01/20 (Call 06/01/16)		11,950		12,502,688
Millicom International Cellular SA
6.63%, 10/15/21 (Call 10/15/17)^a		4,460		4,192,400
Nokia OYJ
5.38%, 05/15/19^b		18,800		19,939,265
Sable International Finance Ltd.
6.88%, 08/01/22 (Call 08/01/18)^a		14,830		14,088,500
SBA Communications Corp.
5.63%, 10/01/19 (Call 10/01/16)^b		8,150		8,496,375
SBA Telecommunications Inc.
5.75%, 07/15/20 (Call 07/15/16)^b		16,307		16,907,290
SoftBank Group Corp.
4.50%, 04/15/20^a,b		48,945		48,406,605
Sprint Communications Inc.
6.00%, 12/01/16		850		846,813
6.00%, 11/15/22		44,460		31,733,325
7.00%, 03/01/20^a,b		22,518		22,179,406
7.00%, 08/15/20^b		32,298		24,542,562
8.38%, 08/15/17		26,478		25,749,855
9.00%, 11/15/18^a		61,947		64,307,181
9.13%, 03/01/17^b		14,973		15,202,237
11.50%, 11/15/21		22,339		18,960,226
Sprint Corp.
7.13%, 06/15/24		50,425		35,864,781
7.25%, 09/15/21		43,607		32,923,285
7.63%, 02/15/25 (Call 11/15/24)		32,345		23,026,405
7.88%, 09/15/23		86,055		63,895,837
T-Mobile USA Inc.
5.25%, 09/01/18 (Call 03/11/16)^b		9,150		9,365,025


Security	Principal (000s)		Value
6.00%, 03/01/23 (Call 09/01/18)^b	$	27,097	$	28,020,685
6.13%, 01/15/22 (Call 01/15/18)		20,000		20,558,126
6.25%, 04/01/21 (Call 04/01/17)^b		34,668		36,314,730
6.38%, 03/01/25 (Call 09/01/19)^b		34,242		34,969,642
6.46%, 04/28/19 (Call 03/11/16)^b		20,737		21,307,267
6.50%, 01/15/24 (Call 01/15/19)^b		21,375		22,016,250
6.50%, 01/15/26 (Call 01/15/21)		39,695		40,290,425
6.54%, 04/28/20 (Call 04/28/16)^b		25,484		26,439,650
6.63%, 11/15/20 (Call 03/11/16)^b		22,020		22,900,800
6.63%, 04/28/21 (Call 04/28/17)^b		25,174		26,569,989
6.63%, 04/01/23 (Call 04/01/18)^b		36,328		38,012,809
6.73%, 04/28/22 (Call 04/28/17)^b		24,929		26,140,549
6.84%, 04/28/23 (Call 04/28/18)		11,355		11,844,528
Telecom Italia Capital SA
7.00%, 06/04/18		11,540		12,402,957
7.18%, 06/18/19^b		14,785		16,448,313
Telecom Italia SpA
5.30%, 05/30/24^a,b		32,950		31,920,312
UPCB Finance IV Ltd.
5.38%, 01/15/25 (Call 01/15/20)^a,b		24,532		24,286,680
UPCB Finance V Ltd.
7.25%, 11/15/21 (Call 11/15/16)^a		12,029		12,711,940
UPCB Finance VI Ltd.
6.88%, 01/15/22 (Call 01/15/17)^a,b		11,048		11,648,010
Virgin Media Finance PLC
5.75%, 01/15/25 (Call 01/15/20)^a,b		7,605		7,509,938


SCHEDULESOF INVESTMENTS			135

Schedule of Investments (Continued)

iSHARES^® iBOXX $ HIGH YIELD CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
6.00%, 10/15/24 (Call 10/15/19)^a	$	9,400	$	9,461,100
6.38%, 04/15/23 (Call 04/15/18)^a,b		10,250		10,685,625
Virgin Media Secured Finance PLC
5.25%, 01/15/21		8,000		8,420,000
5.25%, 01/15/26 (Call 01/15/20)^a,b		19,507		19,551,866
5.38%, 04/15/21 (Call 04/15/17)^a,b		12,822		13,303,136
5.50%, 01/15/25 (Call 01/15/19)^a,b		9,850		9,925,268
West Corp.
5.38%, 07/15/22 (Call 07/15/17)^a,b		21,522		19,208,385
Wind Acquisition Finance SA
4.75%, 07/15/20 (Call 07/15/16)^a,b		39,825		38,331,562
6.50%, 04/30/20 (Call 04/30/16)^a,b		12,242		12,401,316
7.38%, 04/23/21 (Call 04/23/17)^a,b		55,025		50,347,875
Windstream Services LLC
6.38%, 08/01/23 (Call 02/01/18)^b		14,300		10,467,457
7.50%, 06/01/22 (Call 06/01/17)^b		9,100		7,052,500
7.50%, 04/01/23 (Call 04/01/16)^b		12,900		9,746,079
7.75%, 10/15/20 (Call 03/31/16)^b		13,480		11,133,806
7.75%, 10/01/21 (Call 10/01/16)^b		19,550		15,818,795
7.88%, 11/01/17^b		21,647		22,621,115

				2,173,922,300
TRANSPORTATION — 0.50%
CHC Helicopter SA
9.25%, 10/15/20 (Call 03/31/16)^b		14,210		5,044,586
Florida East Coast Holdings Corp.
6.75%, 05/01/19 (Call 05/01/16)^a,b		17,931		18,110,310


Security	Principal or Shares (000s)		Value
Navios Maritime Holdings Inc./Navios Maritime Finance II U.S. Inc.
7.38%, 01/15/22 (Call 01/15/17)^a	$	11,850	$	3,799,406
XPO Logistics Inc.
6.50%, 06/15/22 (Call 06/15/18)^a,b		32,218		30,365,465
7.88%, 09/01/19 (Call 09/01/16)^a,b		19,700		20,340,250

				77,660,017

TOTAL CORPORATE BONDS & NOTES
(Cost: $16,754,317,237)				15,102,511,620

SHORT-TERM INVESTMENTS — 27.41%

MONEY MARKET FUNDS — 27.41%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.50%^e,f,g		3,799,592		3,799,592,031
BlackRock Cash Funds: Prime, SL Agency Shares
0.49%^e,f,g		336,520		336,519,974
BlackRock Cash Funds: Treasury, SL Agency Shares
0.27%^e,f		124,421		124,421,145

				4,260,533,150

TOTAL SHORT-TERM INVESTMENTS
(Cost: $4,260,533,150)				4,260,533,150

TOTAL INVESTMENTS IN SECURITIES — 124.57%
(Cost: $21,014,850,387)				19,363,044,770
Other Assets, Less Liabilities — (24.57)%				(3,819,122,373	)

NET ASSETS — 100.00%			$	15,543,922,397

^a	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^b	All or a portion of this security represents a security on loan. See Note 1.

^c	Variable rate security. Rate shown is as of report date.

^d	Issuer is in default of interest payments.

^e	Affiliated issuer. See Note 2.

^f	The rate quoted is the annualized seven-day yield of the fund at period end.

^g	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

See notes to financial statements.


136		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 98.42%

ADVERTISING — 0.24%
Omnicom Group Inc.
3.63%, 05/01/22^a	$	13,819	$	13,959,824
3.65%, 11/01/24 (Call 08/01/24)		11,133		11,187,418
4.45%, 08/15/20		9,490		10,175,301
WPP Finance 2010
3.75%, 09/19/24^a		12,325		12,244,967
4.75%, 11/21/21		10,660		11,580,542

				59,148,052
AEROSPACE & DEFENSE — 1.43%
Boeing Co. (The)
4.88%, 02/15/20		7,824		8,687,791
General Dynamics Corp.
2.25%, 11/15/22 (Call 08/15/22)		4,480		4,423,616
L-3 Communications Corp.
4.75%, 07/15/20		16,718		17,238,012
5.20%, 10/15/19		7,915		8,417,900
Lockheed Martin Corp.
2.50%, 11/23/20 (Call 10/23/20)^a		18,130		18,458,305
2.90%, 03/01/25 (Call 12/01/24)^a		4,190		4,165,064
3.35%, 09/15/21		16,444		17,246,421
3.55%, 01/15/26 (Call 10/15/25)^a		20,460		21,493,662
3.80%, 03/01/45 (Call 09/01/44)^a		7,673		7,186,424
4.07%, 12/15/42		16,044		15,561,684
4.25%, 11/15/19		6,443		6,952,908
4.70%, 05/15/46 (Call 11/15/45)		31,330		33,821,769
Northrop Grumman Corp.
3.25%, 08/01/23		9,583		9,855,196
4.75%, 06/01/43		14,498		15,572,038
Raytheon Co.
2.50%, 12/15/22 (Call 09/15/22)		7,924		8,016,338
3.13%, 10/15/20		16,042		16,867,046


Security	Principal (000s)		Value
United Technologies Corp.
3.10%, 06/01/22	$	32,502	$	33,880,657
4.15%, 05/15/45 (Call 11/16/44)		7,150		6,971,449
4.50%, 04/15/20^a		17,800		19,497,036
4.50%, 06/01/42		43,887		45,057,905
5.70%, 04/15/40		6,869		8,189,450
6.13%, 02/01/19		16,038		17,970,154
6.13%, 07/15/38		9,991		12,343,881

				357,874,706
AGRICULTURE — 1.42%
Altria Group Inc.
2.63%, 01/14/20 (Call 12/14/19)^a		7,575		7,708,452
2.85%, 08/09/22^a		26,259		26,401,424
4.00%, 01/31/24^a		13,257		14,243,160
4.25%, 08/09/42		15,977		15,238,043
4.75%, 05/05/21		20,319		22,480,328
5.38%, 01/31/44		19,677		22,143,390
9.25%, 08/06/19		13,828		16,934,415
Philip Morris International Inc.
1.88%, 01/15/19^a		5,133		5,185,091
1.88%, 02/25/21 (Call 01/25/21)		5,000		4,973,541
2.50%, 08/22/22		9,020		9,091,321
2.75%, 02/25/26 (Call 11/25/25)		8,000		8,074,354
2.90%, 11/15/21^a		17,716		18,378,368
3.25%, 11/10/24		12,300		12,864,500
3.88%, 08/21/42		10,586		10,136,052
4.13%, 03/04/43		7,649		7,546,659
4.25%, 11/10/44^a		4,801		4,906,061
4.38%, 11/15/41		13,736		14,141,771
4.50%, 03/26/20^a		9,614		10,602,973
4.88%, 11/15/43^a		9,450		10,453,197
6.38%, 05/16/38		16,296		20,858,249
Reynolds American Inc.
3.25%, 06/12/20		4,446		4,613,130
4.00%, 06/12/22^a		17,085		18,433,087
4.45%, 06/12/25 (Call 03/12/25)		22,540		24,501,870
5.70%, 08/15/35 (Call 02/15/35)		9,600		10,845,718


SCHEDULESOF INVESTMENTS			137

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.85%, 08/15/45 (Call 02/15/45)^a	$	29,100	$	34,153,820
6.88%, 05/01/20		1,226		1,424,430
8.13%, 06/23/19^a		369		434,385

				356,767,789
APPAREL — 0.04%
NIKE Inc.
3.88%, 11/01/45 (Call 05/01/45)		8,700		8,858,727

				8,858,727
AUTO MANUFACTURERS — 1.60%
American Honda Finance Corp.
2.25%, 08/15/19^a		14,128		14,310,767
2.45%, 09/24/20		5,900		5,977,504
Daimler Finance North America LLC
8.50%, 01/18/31		18,401		27,512,435
Ford Motor Co.
4.75%, 01/15/43^a		25,743		23,780,212
7.45%, 07/16/31		20,844		25,532,187
Ford Motor Credit Co. LLC
3.16%, 08/04/20		8,350		8,315,871
3.20%, 01/15/21		4,700		4,667,594
3.22%, 01/09/22		9,100		8,852,004
4.13%, 08/04/25		25,500		25,383,136
4.39%, 01/08/26		7,700		7,807,515
General Motors Co.
4.88%, 10/02/23		21,250		21,497,562
5.00%, 04/01/35		5,535		4,833,937
5.20%, 04/01/45^a		19,869		17,144,364
6.25%, 10/02/43		19,210		18,766,249
6.60%, 04/01/36 (Call 10/01/35)^a		2,525		2,609,260
6.75%, 04/01/46 (Call 10/01/45)		9,805		10,310,806
General Motors Financial Co. Inc.
3.15%, 01/15/20 (Call 12/15/19)^a		21,573		21,046,187
3.20%, 07/13/20 (Call 06/13/20)		16,378		15,875,195
3.45%, 04/10/22 (Call 02/10/22)		19,850		18,707,633
3.50%, 07/10/19		3,250		3,240,120


Security	Principal (000s)		Value
3.70%, 11/24/20 (Call 10/24/20)	$	4,535	$	4,450,150
4.00%, 01/15/25 (Call 10/15/24)		16,400		15,165,421
4.20%, 03/01/21 (Call 12/01/20)		8,000		8,027,298
4.30%, 07/13/25 (Call 04/13/25)^a		2,100		1,987,587
4.38%, 09/25/21		15,500		15,494,420
5.25%, 03/01/26 (Call 12/01/25)		4,830		4,870,128
Toyota Motor Credit Corp.
2.10%, 01/17/19^a		347		351,737
2.13%, 07/18/19^a		14,850		15,011,045
2.15%, 03/12/20^a		16,016		16,210,553
3.30%, 01/12/22		11,532		12,088,887
3.40%, 09/15/21		12,652		13,357,320
4.25%, 01/11/21		975		1,068,005
Series B
4.50%, 06/17/20		5,604		6,161,093

				400,414,182
BANKS — 25.65%
Abbey National Treasury Services PLC/United Kingdom
2.35%, 09/10/19		11,758		11,701,579
2.38%, 03/16/20^a		18,767		18,566,505
4.00%, 03/13/24^a		12,166		12,966,890
Australia & New Zealand Banking Group Ltd./New York NY
2.25%, 06/13/19		19,070		19,199,039
2.70%, 11/16/20^a		9,000		9,134,361
3.70%, 11/16/25^a		9,000		9,526,244
Banco Bilbao Vizcaya Argentaria SA
3.00%, 10/20/20^a		19,500		19,170,645
Bank of America Corp.
2.63%, 10/19/20^a		23,280		23,134,027
2.65%, 04/01/19		29,409		29,659,335
3.30%, 01/11/23		28,011		27,934,208
3.88%, 08/01/25^a		47,589		48,948,004
4.00%, 04/01/24^a		41,622		42,957,034


138		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.00%, 01/22/25	$	39,950	$	38,845,586
4.10%, 07/24/23		28,476		29,741,528
4.13%, 01/22/24		35,341		36,851,382
4.20%, 08/26/24		39,352		39,438,079
4.25%, 10/22/26		35,643		35,320,762
4.45%, 03/03/26		3,525		3,525,000
4.88%, 04/01/44^a		14,167		14,743,498
5.00%, 05/13/21^a		26,330		28,766,576
5.00%, 01/21/44		16,795		17,838,720
5.63%, 07/01/20		14,385		15,918,465
5.70%, 01/24/22		27,223		30,705,783
5.88%, 01/05/21^a		16,670		18,810,011
5.88%, 02/07/42		19,115		21,934,222
6.11%, 01/29/37		25,602		27,833,368
7.63%, 06/01/19		34,640		40,005,875
7.75%, 05/14/38^a		19,277		24,636,237
Series L
2.25%, 04/21/20^a		31,495		30,954,927
3.95%, 04/21/25		23,894		23,115,271
Bank of America N.A.
6.00%, 10/15/36		9,815		11,636,028
Bank of Montreal
2.55%, 11/06/22 (Call 10/06/22)		16,293		16,194,771
Bank of New York Mellon Corp. (The)
2.20%, 05/15/19 (Call 04/15/19)		11,941		12,020,694
2.30%, 09/11/19 (Call 08/11/19)		5,618		5,682,735
2.45%, 11/27/20 (Call 10/27/20)		5,030		5,070,091
2.50%, 04/15/21 (Call 03/15/21)^a		5,000		5,021,374
2.60%, 08/17/20 (Call 07/17/20)		21,421		21,775,149
3.00%, 02/24/25 (Call 01/24/25)^a		9,710		9,739,069
3.55%, 09/23/21 (Call 08/23/21)		20,452		21,504,943
3.65%, 02/04/24 (Call 01/05/24)		7,826		8,215,204


Security	Principal (000s)		Value
Series G
2.15%, 02/24/20 (Call 01/24/20)^a	$	16,317	$	16,349,867
Bank of Nova Scotia (The)
2.05%, 06/05/19		11,003		11,002,799
2.35%, 10/21/20^a		16,750		16,760,420
2.80%, 07/21/21		18,301		18,672,241
4.38%, 01/13/21^a		3,674		3,991,780
4.50%, 12/16/25		14,150		13,851,567
Barclays Bank PLC
2.50%, 02/20/19		366		366,912
5.14%, 10/14/20^a		10,234		10,977,488
6.75%, 05/22/19		17,214		19,507,497
Barclays PLC
2.75%, 11/08/19		30,900		29,999,370
2.88%, 06/08/20		41,700		40,056,682
3.25%, 01/12/21		11,500		11,141,465
3.65%, 03/16/25		19,640		18,014,497
4.38%, 09/11/24^a		21,335		19,529,263
4.38%, 01/12/26		5,720		5,502,042
5.25%, 08/17/45^a		26,219		25,145,896
BB&T Corp.
2.45%, 01/15/20 (Call 12/15/19)		17,825		17,982,275
2.63%, 06/29/20 (Call 05/29/20)^a		10,131		10,254,112
BNP Paribas SA
2.38%, 05/21/20		18,870		18,623,184
2.45%, 03/17/19		6,865		6,876,282
3.25%, 03/03/23^a		16,334		16,723,982
4.25%, 10/15/24		18,305		17,805,264
5.00%, 01/15/21		24,143		26,880,420
BPCE SA
2.25%, 01/27/20^a		15,500		15,380,118
2.50%, 07/15/19		7,750		7,801,534
4.00%, 04/15/24^a		23,700		25,002,355
Branch Banking & Trust Co.
3.63%, 09/16/25 (Call 08/16/25)		8,670		8,949,066
3.80%, 10/30/26 (Call 09/30/26)		13,800		14,529,618
Capital One Financial Corp.
2.45%, 04/24/19 (Call 03/24/19)^a		7,217		7,225,678


SCHEDULESOF INVESTMENTS			139

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.20%, 02/05/25 (Call 01/05/25)^a	$	13,200	$	12,647,938
3.50%, 06/15/23		5,000		4,964,588
3.75%, 04/24/24 (Call 03/24/24)		12,725		12,730,289
4.20%, 10/29/25 (Call 09/29/25)		6,882		6,757,384
4.75%, 07/15/21		16,667		17,982,718
Capital One N.A./Mclean VA
2.40%, 09/05/19 (Call 08/05/19)		18,375		18,152,859
2.95%, 07/23/21 (Call 06/23/21)		13,140		13,019,810
Citigroup Inc.
2.40%, 02/18/20		32,712		32,377,160
2.50%, 07/29/19		26,324		26,325,622
2.55%, 04/08/19		21,660		21,755,538
2.65%, 10/26/20^a		39,825		39,679,272
3.30%, 04/27/25		4,234		4,209,389
3.38%, 03/01/23		2,708		2,725,450
3.50%, 05/15/23^a		17,775		17,459,689
3.70%, 01/12/26^a		5,900		6,027,318
3.75%, 06/16/24^a		16,956		17,375,425
3.88%, 10/25/23		30,286		31,543,656
3.88%, 03/26/25		13,444		12,879,083
4.00%, 08/05/24		17,388		17,555,339
4.05%, 07/30/22^a		20,096		20,423,141
4.30%, 11/20/26		12,645		12,516,505
4.40%, 06/10/25^a		35,694		35,596,505
4.45%, 09/29/27		44,870		44,145,726
4.50%, 01/14/22		18,829		20,246,859
4.65%, 07/30/45^a		15,944		15,995,403
5.30%, 05/06/44		7,850		7,805,941
5.38%, 08/09/20^a		7,250		8,047,204
5.50%, 09/13/25		21,439		22,974,086
5.88%, 01/30/42^a		8,910		10,158,347
6.13%, 08/25/36		1,620		1,773,005
6.63%, 06/15/32		13,000		14,879,094
6.68%, 09/13/43^a		10,803		12,573,303
8.13%, 07/15/39		21,858		31,289,749
Citizens Financial Group Inc.
4.30%, 12/03/25 (Call 11/03/25)		4,335		4,448,752


Security	Principal (000s)		Value
Commonwealth Bank of Australia/New York NY
2.25%, 03/13/19	$	14,750	$	14,834,354
2.30%, 09/06/19^a		16,070		16,127,773
2.30%, 03/12/20^a		14,609		14,589,228
2.40%, 11/02/20^a		7,580		7,590,335
Cooperatieve Rabobank UA/NY
2.25%, 01/14/20		6,750		6,750,416
2.50%, 01/19/21^a		9,900		9,933,429
3.38%, 05/21/25^a		10,200		10,240,915
3.88%, 02/08/22		25,710		27,118,656
3.95%, 11/09/22		21,990		21,961,727
4.38%, 08/04/25^a		14,250		14,297,655
4.50%, 01/11/21^a		21,185		23,143,865
4.63%, 12/01/23		19,750		20,149,647
5.25%, 05/24/41^a		17,958		20,698,132
5.25%, 08/04/45^a		21,950		22,178,686
5.75%, 12/01/43		15,628		17,240,275
Credit Suisse AG/New York NY
2.30%, 05/28/19		25,990		25,794,249
3.00%, 10/29/21^a		15,295		15,314,334
3.63%, 09/09/24		45,950		46,129,223
4.38%, 08/05/20^a		20,930		22,205,439
5.30%, 08/13/19		6,552		7,126,293
5.40%, 01/14/20^a		25,351		26,746,131
Deutsche Bank AG
2.95%, 08/20/20^a		12,900		12,491,964
3.13%, 01/13/21		17,855		17,436,132
4.50%, 04/01/25^a		4,930		4,222,121
Series 1254
4.10%, 01/13/26^a		11,880		11,568,656
Deutsche Bank AG/London
2.50%, 02/13/19^a		2,413		2,355,661
3.70%, 05/30/24^a		22,740		21,826,134
Discover Bank/Greenwood DE
3.10%, 06/04/20 (Call 05/04/20)		18,180		18,134,570
3.20%, 08/09/21 (Call 07/09/21)		12,494		12,292,604
4.20%, 08/08/23		9,045		9,192,977
Fifth Third Bancorp.
2.88%, 07/27/20 (Call 06/27/20)		11,698		11,784,943


140		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)			Value
4.30%, 01/16/24 (Call 12/16/23)	$	11,235		$	11,579,993
8.25%, 03/01/38		9,348			13,314,666
Fifth Third Bank/Cincinnati OH
2.38%, 04/25/19 (Call 03/25/19)		13,850			13,907,446
2.88%, 10/01/21 (Call 09/01/21)		12,250			12,357,560
Goldman Sachs Group Inc. (The)
2.55%, 10/23/19		36,669			36,750,666
2.60%, 04/23/20 (Call 03/23/20)		4,877			4,862,947
2.63%, 01/31/19		721			726,547
2.75%, 09/15/20 (Call 08/15/20)^a		32,600			32,591,997
2.88%, 02/25/21 (Call 01/25/21)		4,380			4,392,748
3.50%, 01/23/25 (Call 10/23/24)		31,551	��		31,246,381
3.63%, 01/22/23		11,782			12,001,875
3.75%, 05/22/25 (Call 02/22/25)^a		22,573			22,914,426
3.75%, 02/25/26 (Call 11/25/25)		12,915			13,061,270
3.85%, 07/08/24 (Call 04/08/24)		38,673			39,547,880
4.00%, 03/03/24		33,044			34,230,815
4.25%, 10/21/25		28,210			28,072,809
4.75%, 10/21/45 (Call 04/21/45)^a		18,430			18,737,025
4.80%, 07/08/44 (Call 01/08/44)^a		12,481			12,560,349
5.15%, 05/22/45^a		27,875			26,663,703
5.25%, 07/27/21		38,705			42,980,625
5.38%, 03/15/20		28,748			31,545,692
5.75%, 01/24/22		59,425			67,451,119
5.95%, 01/15/27		15,626			17,353,570
6.00%, 06/15/20^a		28,446			32,003,736
6.13%, 02/15/33		28,671			33,545,939
6.25%, 02/01/41		37,216			44,615,471
6.45%, 05/01/36		19,156			20,891,518
6.75%, 10/01/37		60,715			69,428,434
7.50%, 02/15/19		15,179			17,313,120


Security	Principal (000s)		Value
HSBC Bank USA N.A./New York NY
4.88%, 08/24/20	$	21,260	$	22,593,678
5.63%, 08/15/35		8,493		9,096,771
5.88%, 11/01/34^a		7,000		7,719,865
HSBC Holdings PLC
4.00%, 03/30/22		15,773		16,456,372
4.25%, 03/14/24^a		5,100		5,005,143
4.25%, 08/18/25^a		26,800		25,932,361
4.88%, 01/14/22		18,502		20,097,168
5.10%, 04/05/21		25,885		28,522,311
5.25%, 03/14/44^a		21,359		20,325,113
6.10%, 01/14/42		6,668		8,237,313
6.50%, 05/02/36^a		19,327		21,372,604
6.50%, 09/15/37		31,784		35,371,180
6.80%, 06/01/38		22,310		25,264,138
HSBC USA Inc.
2.25%, 06/23/19^a		10,000		9,863,187
2.35%, 03/05/20		30,857		30,201,116
2.38%, 11/13/19		11,400		11,281,826
2.75%, 08/07/20^a		7,900		7,830,373
3.50%, 06/23/24		11,300		11,347,104
5.00%, 09/27/20		9,090		9,772,849
Intesa Sanpaolo SpA
3.88%, 01/15/19^a		400		406,106
5.25%, 01/12/24^a		10,610		11,036,432
JPMorgan Chase & Co.
2.20%, 10/22/19		15,006		14,964,998
2.25%, 01/23/20 (Call 12/23/19)		42,358		42,227,720
2.35%, 01/28/19^a		860		867,669
2.55%, 10/29/20 (Call 09/29/20)^a		12,800		12,820,568
2.55%, 03/01/21 (Call 02/01/21)		7,000		6,996,343
2.75%, 06/23/20 (Call 05/23/20)^a		21,359		21,632,015
3.13%, 01/23/25 (Call 10/23/24)^a		31,672		31,600,624
3.20%, 01/25/23		29,493		29,746,534
3.25%, 09/23/22^a		38,369		38,898,715
3.38%, 05/01/23^a		26,718		26,249,585
3.63%, 05/13/24		19,509		20,058,467
3.88%, 02/01/24^a		25,323		26,583,176


SCHEDULESOF INVESTMENTS			141

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.88%, 09/10/24	$	22,555	$	22,648,502
3.90%, 07/15/25 (Call 04/15/25)^a		27,909		29,403,346
4.13%, 12/15/26		23,200		23,527,292
4.25%, 10/15/20		38,675		41,307,232
4.25%, 10/01/27		27,432		27,788,322
4.35%, 08/15/21^a		37,737		40,648,172
4.40%, 07/22/20^a		27,368		29,404,831
4.50%, 01/24/22		33,979		36,785,944
4.63%, 05/10/21^a		29,887		32,565,739
4.85%, 02/01/44^a		12,014		13,282,170
4.95%, 03/25/20^a		24,888		27,121,905
4.95%, 06/01/45^a		14,065		14,145,102
5.40%, 01/06/42^a		22,600		25,801,656
5.50%, 10/15/40		12,561		14,493,654
5.60%, 07/15/41		21,081		24,719,237
5.63%, 08/16/43		7,168		7,819,905
6.30%, 04/23/19		29,942		33,591,008
6.40%, 05/15/38		17,578		22,188,068
KeyBank N.A./Cleveland OH
2.25%, 03/16/20		14,250		14,176,541
2.50%, 12/15/19		8,500		8,470,643
KeyCorp
2.90%, 09/15/20		7,000		7,009,421
5.10%, 03/24/21^a		15,950		17,500,094
Lloyds Bank PLC
2.35%, 09/05/19^a		6,576		6,579,642
2.40%, 03/17/20		23,300		23,221,654
2.70%, 08/17/20		6,250		6,275,931
3.50%, 05/14/25^a		21,700		22,038,817
6.38%, 01/21/21		6,486		7,597,706
Lloyds Banking Group PLC
4.50%, 11/04/24^a		28,200		27,887,482
4.58%, 12/10/25^b		14,826		14,714,805
5.30%, 12/01/45^b		3,000		2,907,439
Manufacturers & Traders Trust Co.
2.10%, 02/06/20 (Call 01/06/20)		12,900		12,715,536
2.30%, 01/30/19 (Call 12/30/18)		5,630		5,642,767
2.90%, 02/06/25 (Call 01/06/25)		13,600		13,287,317


Security	Principal (000s)		Value
Morgan Stanley
2.38%, 07/23/19^a	$	28,260	$	28,150,306
2.65%, 01/27/20^a		32,087		32,075,648
2.80%, 06/16/20^a		29,645		29,789,765
3.70%, 10/23/24		37,550		38,054,492
3.75%, 02/25/23^a		31,743		32,549,964
3.88%, 01/27/26		4,281		4,384,116
3.95%, 04/23/27^a		25,290		24,432,123
4.00%, 07/23/25		35,150		36,286,456
4.10%, 05/22/23		29,749		30,343,977
4.30%, 01/27/45^a		29,839		28,632,621
4.35%, 09/08/26		35,779		35,829,287
4.88%, 11/01/22		22,843		24,111,705
5.00%, 11/24/25		26,924		28,382,344
5.50%, 01/26/20		21,477		23,609,383
5.50%, 07/24/20		30,541		33,791,793
5.50%, 07/28/21		32,430		36,395,634
5.63%, 09/23/19		34,277		37,487,031
5.75%, 01/25/21		18,518		20,845,757
6.38%, 07/24/42		26,263		32,738,258
7.25%, 04/01/32		6,732		8,913,645
7.30%, 05/13/19		33,130		37,857,038
Series F
3.88%, 04/29/24^a		38,282		39,516,625
National Australia Bank Ltd./New York
2.63%, 07/23/20^a		14,600		14,791,549
2.63%, 01/14/21		6,750		6,822,665
3.00%, 01/20/23^a		13,539		13,719,478
3.38%, 01/14/26^a		500		515,386
Northern Trust Corp.
3.95%, 10/30/25^a		11,650		12,462,876
PNC Bank N.A.
2.20%, 01/28/19 (Call 12/29/18)^a,c		6,275		6,315,815
2.25%, 07/02/19 (Call 06/02/19)^a,c		7,750		7,808,335
2.40%, 10/18/19 (Call 09/18/19)^c		12,750		12,900,191
2.45%, 11/05/20 (Call 10/06/20)^a,c		2,400		2,424,218
2.60%, 07/21/20 (Call 06/21/20)^a,c		11,000		11,174,466


142		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
2.70%, 11/01/22 (Call 10/01/22)^c	$	9,587	$	9,419,403
2.95%, 01/30/23 (Call 12/30/22)^c		7,300		7,301,418
2.95%, 02/23/25 (Call 01/24/25)^a,c		17,300		17,177,729
3.80%, 07/25/23 (Call 06/25/23)^c		15,653		16,476,149
PNC Financial Services Group Inc. (The)
3.90%, 04/29/24 (Call 03/29/24)^c		12,540		12,946,641
PNC Funding Corp.
3.30%, 03/08/22 (Call 02/06/22)^a,c		9,569		9,922,566
4.38%, 08/11/20^c		10,724		11,629,478
5.13%, 02/08/20^c		3,965		4,366,776
Royal Bank of Canada
2.15%, 03/15/19^a		13,114		13,192,079
2.15%, 03/06/20		11,000		11,028,447
2.35%, 10/30/20^a		30,250		30,468,472
2.50%, 01/19/21		12,260		12,389,486
4.65%, 01/27/26		6,000		6,001,462
Royal Bank of Scotland Group PLC
6.40%, 10/21/19		22,812		24,581,461
Santander Holdings USA Inc.
2.65%, 04/17/20 (Call 03/17/20)^a		16,275		15,735,817
4.50%, 07/17/25 (Call 04/17/25)		16,195		15,881,573
Santander UK Group Holdings PLC
2.88%, 10/16/20		12,225		12,034,568
3.13%, 01/08/21		8,990		8,929,025
State Street Corp.
2.55%, 08/18/20^a		6,430		6,514,069
3.10%, 05/15/23^a		22,013		22,105,835
3.30%, 12/16/24		11,615		11,973,467
3.55%, 08/18/25		8,461		8,993,642
3.70%, 11/20/23		9,565		10,126,256
4.38%, 03/07/21		12,465		13,622,228
Sumitomo Mitsui Banking Corp.
2.25%, 07/11/19		11,000		11,005,567


Security	Principal (000s)		Value
2.45%, 01/10/19^a	$	8,085	$	8,160,225
2.45%, 01/16/20^a		24,900		24,944,150
2.65%, 07/23/20		10,500		10,588,172
3.20%, 07/18/22		7,449		7,589,551
Svenska Handelsbanken AB
2.25%, 06/17/19^a		10,102		10,159,993
2.40%, 10/01/20^a		21,750		21,833,479
2.50%, 01/25/19^a		2,875		2,918,338
Toronto-Dominion Bank (The)
2.13%, 07/02/19^a		10,955		11,059,794
2.25%, 11/05/19		25,530		25,754,084
2.50%, 12/14/20^a		20,525		20,735,589
U.S. Bancorp.
2.20%, 04/25/19 (Call 03/25/19)		16,654		16,873,357
2.95%, 07/15/22 (Call 06/15/22)		17,547		17,742,972
3.00%, 03/15/22 (Call 02/15/22)		11,114		11,513,207
3.70%, 01/30/24 (Call 12/29/23)		16,950		18,236,274
4.13%, 05/24/21 (Call 04/23/21)		12,719		13,901,223
Series F
3.60%, 09/11/24 (Call 08/11/24)^a		15,010		15,542,962
U.S. Bank N.A./Cincinnati OH
2.13%, 10/28/19 (Call 09/28/19)		19,085		19,232,869
2.80%, 01/27/25 (Call 12/27/24)		6,950		6,983,184
UBS AG/Stamford CT
2.35%, 03/26/20^a		19,930		19,917,516
2.38%, 08/14/19^a		32,706		32,754,631
4.88%, 08/04/20^a		9,225		10,177,891
Wachovia Corp.
5.50%, 08/01/35		9,017		9,931,804
Wells Fargo & Co.
2.13%, 04/22/19		21,925		22,089,716
2.55%, 12/07/20^a		22,250		22,418,206
2.60%, 07/22/20^a		37,860		38,338,486
3.00%, 01/22/21		13,339		13,716,128
3.00%, 02/19/25^a		25,135		25,112,042
3.30%, 09/09/24^a		27,761		28,313,921


SCHEDULESOF INVESTMENTS			143

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.50%, 03/08/22^a	$	32,677	$	34,222,312
3.55%, 09/29/25^a		31,250		32,492,241
3.90%, 05/01/45^a		31,955		30,865,124
4.10%, 06/03/26^a		30,674		31,492,527
4.13%, 08/15/23		23,044		24,389,502
4.30%, 07/22/27		32,540		33,744,214
4.60%, 04/01/21^a		28,240		31,075,474
4.65%, 11/04/44		15,210		14,907,797
4.90%, 11/17/45^a		17,815		18,050,812
5.38%, 02/07/35		4,074		4,708,363
5.38%, 11/02/43		26,200		27,995,939
5.61%, 01/15/44		29,835		32,934,257
Series M
3.45%, 02/13/23		24,666		25,018,117
Series N
2.15%, 01/30/20		19,679		19,601,410
Wells Fargo Bank N.A.
5.85%, 02/01/37		10,850		13,067,012
6.60%, 01/15/38		18,684		24,417,998
Westpac Banking Corp.
2.25%, 01/17/19^a		2,243		2,260,943
2.30%, 05/26/20^a		12,325		12,386,626
2.60%, 11/23/20^a		21,500		21,741,525
4.88%, 11/19/19^a		20,507		22,375,951

				6,429,687,664
BEVERAGES — 4.14%
Anheuser-Busch InBev Finance Inc.
2.15%, 02/01/19^a		13,121		13,303,440
2.63%, 01/17/23^a		13,248		13,101,347
2.65%, 02/01/21 (Call 01/01/21)		65,825		66,941,642
3.30%, 02/01/23 (Call 12/01/22)		59,350		60,999,633
3.65%, 02/01/26 (Call 11/01/25)		121,500		125,318,696
3.70%, 02/01/24^a		26,146		27,664,212
4.00%, 01/17/43^a		10,767		10,102,690
4.63%, 02/01/44^a		12,725		13,150,177
4.70%, 02/01/36 (Call 08/01/35)		70,848		74,313,714
4.90%, 02/01/46 (Call 08/01/45)^a		111,365		119,405,553


Security	Principal (000s)		Value
Anheuser-Busch InBev Worldwide Inc.
2.50%, 07/15/22^a	$	51,268	$	50,748,137
3.75%, 07/15/42		7,141		6,459,931
5.00%, 04/15/20		12,712		13,992,664
5.38%, 01/15/20^a		23,947		26,682,813
6.88%, 11/15/19		20,277		23,703,835
7.75%, 01/15/19^a		11,803		13,683,347
8.20%, 01/15/39		15,162		22,231,552
Bottling Group LLC
5.13%, 01/15/19		1,332		1,463,965
Coca-Cola Co. (The)
1.88%, 10/27/20		20,670		20,872,275
2.45%, 11/01/20^a		17,009		17,554,395
2.50%, 04/01/23^a		5,971		6,067,822
2.88%, 10/27/25^a		19,560		19,999,292
3.15%, 11/15/20^a		15,006		15,952,775
3.20%, 11/01/23^a		21,075		22,438,529
3.30%, 09/01/21^a		13,238		14,139,649
Diageo Capital PLC
2.63%, 04/29/23 (Call 01/29/23)		15,314		15,372,221
Diageo Investment Corp.
2.88%, 05/11/22		14,584		14,838,656
Pepsi Bottling Group Inc. (The) Series B
7.00%, 03/01/29		11,865		16,272,424
PepsiCo Inc.
1.85%, 04/30/20 (Call 03/30/20)^a		16,350		16,426,876
2.15%, 10/14/20 (Call 09/14/20)		12,285		12,468,726
2.75%, 03/05/22		15,188		15,687,517
2.75%, 03/01/23		13,713		14,044,966
2.75%, 04/30/25 (Call 01/30/25)		11,909		12,076,789
2.85%, 02/24/26 (Call 11/24/25)		8,735		8,868,139
3.00%, 08/25/21		8,446		8,847,306
3.10%, 07/17/22 (Call 05/17/22)		13,000		13,639,723
3.13%, 11/01/20		16,579		17,449,834
3.50%, 07/17/25 (Call 04/17/25)^a		550		587,626


144		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)			Value
3.60%, 03/01/24 (Call 12/01/23)^a	$	10,380		$	11,216,160
4.00%, 03/05/42		5,814			5,728,631
4.45%, 04/14/46 (Call 10/14/45)		17,320			18,632,574
4.50%, 01/15/20		13,950			15,375,460
4.88%, 11/01/40		7,786			8,671,845
5.50%, 01/15/40		9,496			11,267,261

					1,037,764,819
BIOTECHNOLOGY — 2.56%
Amgen Inc.
2.13%, 05/01/20 (Call 04/01/20)^a		10,678			10,626,931
2.20%, 05/22/19 (Call 04/22/19)		14,815			15,003,971
3.13%, 05/01/25 (Call 02/01/25)^a		16,050			15,906,032
3.45%, 10/01/20^a		10,810			11,262,326
3.63%, 05/15/22 (Call 02/15/22)		2,486			2,571,490
3.63%, 05/22/24 (Call 02/22/24)		16,950			17,482,983
3.88%, 11/15/21 (Call 08/15/21)^a		31,023			33,009,620
4.10%, 06/15/21 (Call 03/15/21)		12,491			13,375,929
4.40%, 05/01/45 (Call 11/01/44)^a		17,324	��		16,560,190
5.15%, 11/15/41 (Call 05/15/41)		26,932			27,683,430
5.38%, 05/15/43 (Call 11/15/42)^a		14,507			15,495,640
5.65%, 06/15/42 (Call 12/15/41)		11,708			12,903,768
5.70%, 02/01/19		3,374			3,738,495
6.38%, 06/01/37^a		3,834			4,489,044
6.40%, 02/01/39^a		12,062			14,254,439
Biogen Inc.
2.90%, 09/15/20		7,525			7,607,810
3.63%, 09/15/22^a		20,500			21,160,836
4.05%, 09/15/25 (Call 06/15/25)^a		22,200			22,905,474
5.20%, 09/15/45 (Call 03/15/45)		22,340			22,834,677


Security	Principal (000s)		Value
Celgene Corp.
2.88%, 08/15/20	$	22,400	$	22,733,708
3.25%, 08/15/22		4,976		4,995,135
3.55%, 08/15/22		13,650		14,051,419
3.63%, 05/15/24 (Call 02/15/24)		14,376		14,557,071
3.88%, 08/15/25 (Call 05/15/25)^a		24,450		25,228,828
4.63%, 05/15/44 (Call 11/15/43)		15,020		14,416,103
5.00%, 08/15/45 (Call 02/15/45)^a		23,450		24,010,931
Gilead Sciences Inc.
2.55%, 09/01/20		21,359		21,709,089
3.25%, 09/01/22 (Call 07/01/22)		11,700		12,141,075
3.50%, 02/01/25 (Call 11/01/24)		25,772		26,843,814
3.65%, 03/01/26 (Call 12/01/25)^a		32,262		33,677,695
3.70%, 04/01/24 (Call 01/01/24)		18,550		19,535,591
4.40%, 12/01/21 (Call 09/01/21)		13,014		14,323,543
4.50%, 04/01/21 (Call 01/01/21)^a		11,054		12,228,127
4.50%, 02/01/45 (Call 08/01/44)		18,343		18,564,380
4.60%, 09/01/35 (Call 03/01/35)		13,528		14,014,487
4.75%, 03/01/46 (Call 09/01/45)^a		25,100		26,466,695
4.80%, 04/01/44 (Call 10/01/43)		17,345		18,051,852
5.65%, 12/01/41 (Call 06/01/41)		13,145		15,277,302

				641,699,930
CHEMICALS — 1.72%
CF Industries Inc.
3.45%, 06/01/23^a		7,819		7,161,271
4.95%, 06/01/43		4,996		3,954,340
5.15%, 03/15/34		20,455		17,464,479
5.38%, 03/15/44^a		9,913		8,417,426
7.13%, 05/01/20		4,810		5,419,191


SCHEDULESOF INVESTMENTS			145

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Dow Chemical Co. (The)
3.00%, 11/15/22 (Call 08/15/22)	$	20,922	$	20,926,235
3.50%, 10/01/24 (Call 07/01/24)^a		11,114		11,122,315
4.13%, 11/15/21 (Call 08/15/21)		15,548		16,427,163
4.25%, 11/15/20 (Call 08/15/20)		16,470		17,440,291
4.38%, 11/15/42 (Call 05/15/42)		11,965		10,642,401
5.25%, 11/15/41 (Call 05/15/41)		8,015		7,914,951
7.38%, 11/01/29		10,977		13,842,573
8.55%, 05/15/19^a		17,112		20,110,440
9.40%, 05/15/39		11,976		16,990,178
Eastman Chemical Co.
2.70%, 01/15/20 (Call 12/15/19)		8,203		8,134,115
3.60%, 08/15/22 (Call 05/15/22)		14,376		14,330,179
3.80%, 03/15/25 (Call 12/15/24)^a		10,520		10,222,311
4.65%, 10/15/44 (Call 04/15/44)^a		7,245		6,211,182
Ecolab Inc.
4.35%, 12/08/21		10,800		11,731,999
5.50%, 12/08/41^a		10,708		11,958,181
EI du Pont de Nemours & Co.
2.80%, 02/15/23^a		9,029		8,916,443
3.63%, 01/15/21^a		15,313		16,077,845
4.15%, 02/15/43^a		7,774		6,804,322
4.63%, 01/15/20^a		13,623		14,799,921
LYB International Finance BV
4.00%, 07/15/23^a		8,411		8,465,918
4.88%, 03/15/44 (Call 09/15/43)^a		13,210		11,890,929
5.25%, 07/15/43		10,128		9,501,026
LyondellBasell Industries NV
4.63%, 02/26/55 (Call 08/26/54)^a		11,985		9,843,772
5.00%, 04/15/19 (Call 01/15/19)		18,350		19,357,973


Security	Principal (000s)		Value
5.75%, 04/15/24 (Call 01/15/24)	$	12,870	$	14,406,763
6.00%, 11/15/21 (Call 08/17/21)		12,653		14,078,243
Monsanto Co.
3.38%, 07/15/24 (Call 04/15/24)^a		12,309		12,158,068
4.40%, 07/15/44 (Call 01/15/44)^a		11,000		9,536,730
4.70%, 07/15/64 (Call 01/15/64)		4,235		3,382,833
Mosaic Co. (The)
4.25%, 11/15/23 (Call 08/15/23)^a		9,990		9,795,608
Potash Corp. of Saskatchewan Inc.
3.63%, 03/15/24 (Call 12/15/23)		12,792		12,566,481
Rohm & Haas Co.
7.85%, 07/15/29		7,306		9,439,032

				431,443,128
COMMERCIAL SERVICES — 0.32%
Automatic Data Processing Inc.
2.25%, 09/15/20 (Call 08/15/20)^a		9,557		9,764,149
3.38%, 09/15/25 (Call 06/15/25)		15,368		16,310,716
McGraw Hill Financial Inc.
4.40%, 02/15/26 (Call 11/15/25)		7,250		7,615,849
Synchrony Financial
3.00%, 08/15/19 (Call 07/15/19)		17,346		17,314,845
3.75%, 08/15/21 (Call 06/15/21)		8,990		9,032,028
4.25%, 08/15/24 (Call 05/15/24)^a		20,845		20,840,752

				80,878,339
COMPUTERS — 3.24%
Apple Inc.
1.55%, 02/07/20^a		18,038		17,931,709
2.00%, 05/06/20^a		11,824		11,966,819
2.10%, 05/06/19		20,995		21,412,754


146		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
2.15%, 02/09/22	$	16,641	$	16,571,719
2.25%, 02/23/21 (Call 01/23/21)		19,710		20,048,787
2.40%, 05/03/23^a		67,620		66,957,892
2.50%, 02/09/25		32,013		31,378,112
2.70%, 05/13/22^a		15,044		15,375,656
2.85%, 05/06/21^a		42,121		43,886,219
2.85%, 02/23/23 (Call 12/23/22)		19,095		19,509,379
3.20%, 05/13/25^a		29,807		30,760,368
3.25%, 02/23/26 (Call 11/23/25)		18,755		19,373,669
3.45%, 05/06/24		28,364		29,901,031
3.45%, 02/09/45		26,372		22,764,002
3.85%, 05/04/43		29,500		27,484,787
4.38%, 05/13/45^a		16,615		16,767,929
4.45%, 05/06/44		12,412		12,656,516
4.50%, 02/23/36 (Call 08/23/35)		18,300		19,085,361
4.65%, 02/23/46 (Call 08/23/45)		30,225		31,638,732
EMC Corp./MA
2.65%, 06/01/20^a		23,235		21,073,058
3.38%, 06/01/23 (Call 03/01/23)^a		8,264		6,775,552
Hewlett Packard Enterprise Co.
3.60%, 10/15/20 (Call 09/15/20)^a,b		31,855		31,692,600
4.40%, 10/15/22 (Call 08/15/22)^a,b		8,900		8,689,654
4.90%, 10/15/25 (Call 07/15/25)^b		29,200		27,720,083
6.20%, 10/15/35 (Call 04/15/35)^b		12,200		10,528,036
6.35%, 10/15/45 (Call 04/15/45)^b		23,400		19,901,546
HP Inc.
3.75%, 12/01/20^a		2,297		2,338,262
4.30%, 06/01/21		14,447		14,599,566
4.38%, 09/15/21^a		15,055		15,202,673
4.65%, 12/09/21^a		18,068		18,414,302
6.00%, 09/15/41^a		7,027		5,808,277
International Business Machines Corp.
1.63%, 05/15/20^a		13,005		12,933,774


Security	Principal (000s)		Value
1.88%, 08/01/22^a	$	16,651	$	16,006,380
1.95%, 02/12/19^a		856		863,935
2.25%, 02/19/21		10,000		10,083,941
2.88%, 11/09/22		15,675		16,029,735
3.38%, 08/01/23		21,075		21,870,958
3.45%, 02/19/26		10,550		10,754,249
3.63%, 02/12/24^a		15,795		16,593,602
4.00%, 06/20/42^a		13,679		13,090,081
4.70%, 02/19/46		5,000		5,231,454
8.38%, 11/01/19^a		6,537		8,052,065
Seagate HDD Cayman
4.75%, 06/01/23^a		11,310		9,132,825
4.75%, 01/01/25		16,325		12,447,812

				811,305,861
COSMETICS & PERSONAL CARE — 0.24%
Procter & Gamble Co. (The)
2.30%, 02/06/22		19,463		19,765,973
3.10%, 08/15/23^a		5,004		5,289,644
4.70%, 02/15/19		16,216		17,699,782
5.55%, 03/05/37		13,348		16,732,346

				59,487,745
DIVERSIFIED FINANCIAL SERVICES — 4.51%
American Express Co.
2.65%, 12/02/22		21,978		21,343,831
4.05%, 12/03/42^a		15,894		15,167,806
American Express Credit Corp.
2.13%, 03/18/19		14,491		14,489,180
2.25%, 08/15/19^a		13,115		13,118,577
2.38%, 05/26/20 (Call 04/25/20)		21,245		21,190,490
Series F
2.60%, 09/14/20 (Call 08/14/20)		10,529		10,573,715
Ameriprise Financial Inc.
4.00%, 10/15/23		17,473		18,562,726
5.30%, 03/15/20		3,270		3,641,575
BP Capital Markets PLC
2.52%, 01/15/20		11,380		11,197,238
Capital One Bank USA N.A.
2.25%, 02/13/19 (Call 01/13/19)		520		515,209
3.38%, 02/15/23^a		30,240		29,574,599


SCHEDULESOF INVESTMENTS			147

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
CME Group Inc./IL
3.00%, 09/15/22	$	5,098	$	5,277,888
3.00%, 03/15/25 (Call 12/15/24)		14,769		14,798,067
5.30%, 09/15/43 (Call 03/15/43)		9,081		10,515,914
Ford Motor Credit Co. LLC
2.38%, 03/12/19^a		19,400		19,082,038
2.60%, 11/04/19^a		9,541		9,375,769
3.66%, 09/08/24^a		16,300		15,826,086
4.25%, 09/20/22		16,695		17,070,796
4.38%, 08/06/23		13,287		13,601,959
5.75%, 02/01/21		12,070		13,197,561
5.88%, 08/02/21^a		30,129		33,239,762
8.13%, 01/15/20		9,121		10,604,615
GE Capital International Funding Co.
2.34%, 11/15/20^a,b		42,414		42,856,849
3.37%, 11/15/25^b		25,481		26,636,419
4.42%, 11/15/35^b		68,347		71,161,222
General Electric Co.
2.20%, 01/09/20 (Call 12/09/19)		10,089		10,277,248
2.30%, 01/14/19		550		565,244
3.10%, 01/09/23^a		14,660		15,360,276
3.15%, 09/07/22^a		11,735		12,305,693
3.45%, 05/15/24 (Call 02/13/24)^a		1,140		1,214,144
4.38%, 09/16/20		10,736		11,865,835
4.63%, 01/07/21		16,486		18,344,948
4.65%, 10/17/21		31,035		35,160,582
5.30%, 02/11/21		23,553		26,955,224
5.50%, 01/08/20^a		10,848		12,346,051
5.88%, 01/14/38		52,359		65,868,957
6.00%, 08/07/19		5,966		6,834,032
6.15%, 08/07/37		16,797		21,678,171
6.88%, 01/10/39		37,981		52,856,779
Series A
5.55%, 05/04/20^a		938		1,073,905
6.75%, 03/15/32		46,346		61,396,020
HSBC Finance Corp.
6.68%, 01/15/21		42,418		47,196,426


Security	Principal (000s)		Value
Intercontinental Exchange Inc.
2.75%, 12/01/20 (Call 11/01/20)^a	$	8,730	$	8,866,492
3.75%, 12/01/25 (Call 09/01/25)		19,075		19,734,240
4.00%, 10/15/23		6,725		7,062,703
Jefferies Group LLC
6.88%, 04/15/21		7,752		8,658,215
8.50%, 07/15/19^a		8,391		9,483,836
Nomura Holdings Inc.
2.75%, 03/19/19^a		8,930		8,983,428
6.70%, 03/04/20		17,383		19,940,264
Synchrony Financial
2.70%, 02/03/20 (Call 01/03/20)		4,985		4,887,539
4.50%, 07/23/25 (Call 04/24/25)		7,550		7,641,721
Visa Inc.
2.20%, 12/14/20 (Call 11/14/20)		36,515		37,220,945
2.80%, 12/14/22 (Call 10/14/22)		23,320		24,016,475
3.15%, 12/14/25 (Call 09/14/25)^a		46,600		48,445,602
4.15%, 12/14/35 (Call 06/14/35)^a		13,450		14,282,790
4.30%, 12/14/45 (Call 06/14/45)		44,040		47,283,665

				1,130,427,341
ELECTRIC — 1.08%
Berkshire Hathaway Energy Co.
4.50%, 02/01/45 (Call 08/01/44)		12,796		12,796,981
5.15%, 11/15/43 (Call 05/15/43)^a		8,819		9,704,641
6.13%, 04/01/36		18,280		21,774,436
6.50%, 09/15/37		11,286		14,037,290
Consolidated Edison Co. of New York Inc.
4.45%, 03/15/44 (Call 09/15/43)		9,379		9,853,922
4.63%, 12/01/54 (Call 06/01/54)		8,165		8,374,129


148		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Duke Energy Carolinas LLC
5.30%, 02/15/40	$	7,767	$	9,168,942
Duke Energy Corp.
3.75%, 04/15/24 (Call 01/15/24)^a		6,426		6,614,394
Duke Energy Florida LLC
6.40%, 06/15/38		14,536		19,094,430
Exelon Corp.
2.85%, 06/15/20 (Call 05/15/20)		7,932		7,984,904
3.95%, 06/15/25 (Call 03/15/25)^a,b		15,700		15,892,776
5.10%, 06/15/45 (Call 12/15/44)^b		1,724		1,760,733
Exelon Generation Co. LLC
2.95%, 01/15/20 (Call 12/15/19)^a		3,550		3,553,733
5.60%, 06/15/42 (Call 12/15/41)^a		4,608		4,166,759
6.25%, 10/01/39^a		11,895		11,820,436
Georgia Power Co.
4.30%, 03/15/42		10,277		10,083,509
NiSource Finance Corp.
4.80%, 02/15/44 (Call 08/15/43)		6,791		6,998,635
Oncor Electric Delivery Co. LLC
7.00%, 09/01/22		10,623		12,934,542
Pacific Gas & Electric Co.
3.50%, 10/01/20 (Call 07/01/20)		3,087		3,258,813
5.40%, 01/15/40		10,531		12,286,388
5.80%, 03/01/37		10,093		12,125,764
6.05%, 03/01/34		34,965		42,912,142
Southern California Edison Co.
4.65%, 10/01/43 (Call 04/01/43)		9,396		10,382,292
Virginia Electric & Power Co. Series A
3.15%, 01/15/26 (Call 10/15/25)		2,000		2,049,535

				269,630,126


Security	Principal (000s)		Value
ELECTRONICS — 0.46%
Honeywell International Inc.
4.25%, 03/01/21	$	5,849	$	6,480,548
5.00%, 02/15/19		11,524		12,698,411
Koninklijke Philips NV
3.75%, 03/15/22		9,781		10,115,953
6.88%, 03/11/38		13,444		15,715,729
Thermo Fisher Scientific Inc.
2.40%, 02/01/19^a		3,397		3,408,998
3.15%, 01/15/23 (Call 10/15/22)		6,398		6,268,631
3.30%, 02/15/22		9,592		9,587,498
3.60%, 08/15/21 (Call 05/15/21)		18,306		18,728,684
4.15%, 02/01/24 (Call 11/01/23)		21,901		22,829,173
4.50%, 03/01/21		8,706		9,357,524

				115,191,149
ENGINEERING & CONSTRUCTION — 0.09%
ABB Finance USA Inc.
2.88%, 05/08/22		18,088		18,357,336
4.38%, 05/08/42^a		4,367		4,561,459

				22,918,795
ENVIRONMENTAL CONTROL — 0.14%
Republic Services Inc.
3.55%, 06/01/22 (Call 03/01/22)		12,795		13,403,969
5.00%, 03/01/20^a		9,032		9,864,505
Waste Management Inc.
4.10%, 03/01/45 (Call 09/01/44)		11,874		11,539,713

				34,808,187
FOOD — 1.64%
ConAgra Foods Inc.
3.20%, 01/25/23 (Call 10/25/22)		821		814,841
General Mills Inc.
3.15%, 12/15/21 (Call 09/15/21)		17,474		18,201,416
5.65%, 02/15/19		8,850		9,781,973
JM Smucker Co. (The)
3.50%, 10/15/21		25		26,112
3.50%, 03/15/25^a		21,365		22,025,836


SCHEDULESOF INVESTMENTS			149

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Kellogg Co.
4.00%, 12/15/20^a	$	8,252	$	8,801,282
Series B
7.45%, 04/01/31		10,256		13,152,369
Kraft Foods Group Inc.
3.50%, 06/06/22		19,031		19,606,170
5.00%, 06/04/42		26,003		26,912,822
5.38%, 02/10/20		22,280		24,667,661
6.50%, 02/09/40		13,169		15,681,096
6.88%, 01/26/39		13,990		17,172,490
Kraft Heinz Foods Co.
2.80%, 07/02/20 (Call 06/02/20)^a,b		20,900		21,146,217
3.50%, 07/15/22 (Call 05/15/22)^b		17,245		17,775,879
3.95%, 07/15/25 (Call 04/15/25)^a,b		10,515		11,018,861
5.00%, 07/15/35 (Call 01/15/35)^b		9,095		9,496,379
5.20%, 07/15/45 (Call 01/15/45)^b		17,550		18,893,191
Kroger Co. (The)
6.15%, 01/15/20		7,777		8,921,219
Mondelez International Inc.
2.25%, 02/01/19 (Call 01/01/19)		9,384		9,445,015
4.00%, 02/01/24 (Call 11/01/23)		20,874		21,749,547
6.50%, 02/09/40^a		1,961		2,451,922
Sysco Corp.
2.60%, 10/01/20 (Call 09/01/20)		8,845		8,853,590
3.75%, 10/01/25 (Call 07/01/25)^a		13,520		13,995,853
Tyson Foods Inc.
2.65%, 08/15/19 (Call 07/15/19)		13,270		13,448,962
3.95%, 08/15/24 (Call 05/15/24)		15,500		16,352,257
4.50%, 06/15/22 (Call 03/15/22)		10,520		11,339,829
Unilever Capital Corp.
2.20%, 03/06/19		14,061		14,412,071


Security	Principal (000s)		Value
4.25%, 02/10/21	$	11,963	$	13,287,257
4.80%, 02/15/19		7,814		8,564,076
5.90%, 11/15/32		9,709		12,653,150

				410,649,343
FOREST PRODUCTS & PAPER — 0.07%
International Paper Co.
3.65%, 06/15/24 (Call 03/15/24)^a		10,325		10,067,559
4.80%, 06/15/44 (Call 12/15/43)		8,600		7,229,791
7.30%, 11/15/39		1,050		1,136,034

				18,433,384
GAS — 0.04%
Sempra Energy
6.00%, 10/15/39		10,045		11,071,396

				11,071,396
HEALTH CARE – PRODUCTS — 1.62%
Becton Dickinson and Co.
2.68%, 12/15/19^a		19,641		20,051,359
3.13%, 11/08/21		11,291		11,572,136
3.73%, 12/15/24 (Call 09/15/24)		12,770		13,161,383
4.69%, 12/15/44 (Call 06/15/44)		13,625		14,046,771
Boston Scientific Corp.
3.85%, 05/15/25		11,305		11,331,017
6.00%, 01/15/20^a		8,806		9,852,002
Covidien International Finance SA
2.95%, 06/15/23 (Call 03/15/23)		6,069		6,123,575
6.55%, 10/15/37		12,486		16,077,602
Medtronic Inc.
2.50%, 03/15/20^a		21,518		21,994,421
2.75%, 04/01/23 (Call 01/01/23)		22,564		22,631,507
3.15%, 03/15/22		24,330		25,375,241
3.50%, 03/15/25^a		45,894		48,182,348
3.63%, 03/15/24 (Call 12/15/23)		10,994		11,650,569
4.00%, 04/01/43 (Call 10/01/42)		8,486		8,168,474
4.38%, 03/15/35		28,388		29,362,994


150		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.45%, 03/15/20	$	17,143	$	18,738,605
4.63%, 03/15/45		43,123		45,843,712
St. Jude Medical Inc.
3.25%, 04/15/23 (Call 01/15/23)		4,542		4,561,392
Stryker Corp.
3.38%, 11/01/25 (Call 08/01/25)		6,535		6,482,261
Zimmer Biomet Holdings Inc.
2.70%, 04/01/20 (Call 03/01/20)		20,695		20,718,061
3.15%, 04/01/22 (Call 02/01/22)^a		8,300		8,262,793
3.55%, 04/01/25 (Call 01/01/25)^a		24,520		24,240,568
4.45%, 08/15/45 (Call 02/15/45)		9,340		8,597,546

				407,026,337
HEALTH CARE – SERVICES — 1.53%
Aetna Inc.
2.75%, 11/15/22 (Call 08/15/22)		15,510		15,162,492
3.50%, 11/15/24 (Call 08/15/24)		5,400		5,429,096
3.95%, 09/01/20		11,115		11,789,937
6.63%, 06/15/36		11,323		13,688,556
Anthem Inc.
2.25%, 08/15/19		10,295		10,177,796
3.13%, 05/15/22		15,185		14,919,053
3.30%, 01/15/23		8,275		8,171,867
3.50%, 08/15/24 (Call 05/15/24)^a		9,375		9,325,811
4.63%, 05/15/42		12,134		11,377,971
4.65%, 01/15/43		12,975		12,174,427
4.65%, 08/15/44 (Call 02/15/44)		12,394		11,682,547
5.85%, 01/15/36^a		9,582		10,323,643
6.38%, 06/15/37		5,790		6,719,855
Cigna Corp.
3.25%, 04/15/25 (Call 01/15/25)^a		13,690		13,458,892
4.00%, 02/15/22 (Call 11/15/21)		8,289		8,749,044


Security	Principal (000s)		Value
5.38%, 02/15/42 (Call 08/15/41)	$	10,385	$	11,474,402
Humana Inc.
4.95%, 10/01/44 (Call 04/01/44)^a		8,785		8,656,280
Laboratory Corp. of America Holdings
3.60%, 02/01/25 (Call 11/01/24)^a		8,821		8,730,697
4.70%, 02/01/45 (Call 08/01/44)^a		14,155		13,341,894
UnitedHealth Group Inc.
2.13%, 03/15/21		3,850		3,845,936
2.70%, 07/15/20		24,579		25,196,764
2.88%, 12/15/21^a		5,150		5,318,966
2.88%, 03/15/22 (Call 12/15/21)		10,180		10,384,277
2.88%, 03/15/23^a		13,227		13,401,456
3.10%, 03/15/26		7,500		7,557,160
3.35%, 07/15/22		5,700		5,959,364
3.75%, 07/15/25		27,623		29,398,217
4.25%, 03/15/43 (Call 09/15/42)^a		8,139		8,164,179
4.63%, 07/15/35		14,660		15,762,910
4.75%, 07/15/45		28,116		30,624,493
5.80%, 03/15/36^a		4,000		4,780,593
6.88%, 02/15/38		14,009		18,801,875

				384,550,450
HOLDING COMPANIES – DIVERSIFIED — 0.05%
MUFG Americas Holdings Corp.
2.25%, 02/10/20 (Call 01/10/20)		12,771		12,604,844

				12,604,844
INSURANCE — 1.79%
ACE INA Holdings Inc.
2.30%, 11/03/20 (Call 10/03/20)^a		10,720		10,836,935
2.88%, 11/03/22 (Call 09/03/22)		14,000		14,250,496
3.15%, 03/15/25		12,425		12,516,708
3.35%, 05/03/26 (Call 02/03/26)		18,875		19,339,676
4.35%, 11/03/45 (Call 05/03/45)^a		18,085		18,841,803


SCHEDULESOF INVESTMENTS			151

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Aflac Inc.
3.63%, 11/15/24	$	13,043	$	13,520,130
American International Group Inc.
2.30%, 07/16/19 (Call 06/16/19)		9,381		9,297,745
3.30%, 03/01/21 (Call 02/01/21)		2,655		2,683,022
3.38%, 08/15/20		455		460,332
3.75%, 07/10/25 (Call 04/10/25)		3,457		3,376,673
3.88%, 01/15/35 (Call 07/15/34)^a		13,023		10,880,989
4.13%, 02/15/24		17,895		18,121,966
4.38%, 01/15/55 (Call 07/15/54)		9,889		7,942,530
4.50%, 07/16/44 (Call 01/16/44)		31,634		27,465,838
4.80%, 07/10/45 (Call 01/10/45)		8,500		7,824,604
4.88%, 06/01/22		19,914		21,646,064
6.25%, 05/01/36		12,807		14,000,117
6.40%, 12/15/20		1,357		1,550,170
Berkshire Hathaway Finance Corp.
3.00%, 05/15/22		14,795		15,268,544
4.25%, 01/15/21^a		9,871		10,812,755
5.75%, 01/15/40^a		8,388		9,951,443
Berkshire Hathaway Inc.
2.10%, 08/14/19^a		10,680		10,895,156
4.50%, 02/11/43^a		6,943		6,986,771
Chubb Corp. (The)
6.00%, 05/11/37		4,851		6,040,056
MetLife Inc.
3.60%, 04/10/24		8,175		8,210,690
4.05%, 03/01/45^a		13,685		12,148,032
4.13%, 08/13/42		7,128		6,450,817
4.60%, 05/13/46 (Call 12/13/45)^a		8,100		7,897,912
4.75%, 02/08/21		16,361		17,923,829
4.88%, 11/13/43		17,765		18,190,303
5.70%, 06/15/35^a		4,725		5,301,653
5.88%, 02/06/41^a		8,300		9,475,081


Security	Principal (000s)		Value
6.38%, 06/15/34	$	8,149	$	9,711,093
7.72%, 02/15/19		1,805		2,088,297
Series D
4.37%, 09/15/23		14,360		15,400,452
Prudential Financial Inc.
4.60%, 05/15/44^a		15,320		14,744,334
5.70%, 12/14/36		170		183,466
7.38%, 06/15/19		9,607		11,069,543
Series D
6.63%, 12/01/37		11,845		14,018,555
Travelers Companies Inc. (The)
5.35%, 11/01/40		7,925		9,396,428
6.25%, 06/15/37		9,055		11,651,744

				448,372,752
INTERNET — 0.67%
Amazon.com Inc.
2.50%, 11/29/22 (Call 08/29/22)^a		19,569		19,451,195
2.60%, 12/05/19 (Call 11/05/19)		13,170		13,497,110
3.30%, 12/05/21 (Call 10/05/21)		5,348		5,640,551
3.80%, 12/05/24 (Call 09/05/24)^a		16,582		17,771,589
4.80%, 12/05/34 (Call 06/05/34)		11,370		12,281,935
4.95%, 12/05/44 (Call 06/05/44)^a		19,828		21,915,153
eBay Inc.
2.20%, 08/01/19 (Call 07/01/19)^a		18,400		18,265,976
2.60%, 07/15/22 (Call 04/15/22)^a		7,234		6,766,388
2.88%, 08/01/21 (Call 06/01/21)^a		5,418		5,354,855
3.45%, 08/01/24 (Call 05/01/24)^a		15,030		14,256,788
4.00%, 07/15/42 (Call 01/15/42)^a		6,647		5,069,156
Expedia Inc.
5.00%, 02/15/26 (Call 11/15/25)^a,b		4,000		3,812,765


152		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Google Inc.
3.38%, 02/25/24^a	$	10,865	$	11,733,192
3.63%, 05/19/21^a		12,310		13,372,304

				169,188,957
MACHINERY — 0.46%
Caterpillar Financial Services Corp.
2.10%, 06/09/19		12,478		12,584,762
7.15%, 02/15/19		11,015		12,653,952
Caterpillar Inc.
3.40%, 05/15/24 (Call 02/15/24)^a		12,620		12,875,635
3.80%, 08/15/42^a		20,048		18,313,804
3.90%, 05/27/21^a		11,872		12,681,791
5.20%, 05/27/41		8,798		9,535,654
7.90%, 12/15/18		892		1,036,363
Deere & Co.
2.60%, 06/08/22 (Call 03/08/22)		11,809		11,837,477
3.90%, 06/09/42 (Call 12/09/41)^a		15,296		14,485,736
4.38%, 10/16/19		8,171		8,859,285
John Deere Capital Corp.
1.95%, 12/13/18		259		260,670

				115,125,129
MANUFACTURING — 0.64%
3M Co.
5.70%, 03/15/37		5,651		7,191,077
Eaton Corp.
2.75%, 11/02/22		19,448		19,048,939
4.15%, 11/02/42^a		12,640		12,008,191
General Electric Co.
2.70%, 10/09/22^a		48,952		50,363,908
3.38%, 03/11/24^a		8,293		8,838,092
4.13%, 10/09/42		22,758		22,838,939
4.50%, 03/11/44		28,250		30,043,479
Illinois Tool Works Inc.
3.90%, 09/01/42 (Call 03/01/42)^a		9,680		9,507,450

				159,840,075
MEDIA — 6.12%
21st Century Fox America Inc.
3.00%, 09/15/22		15,152		15,176,943


Security	Principal (000s)		Value
4.50%, 02/15/21	$	9,121	$	9,934,716
6.15%, 03/01/37		5,690		6,152,552
6.15%, 02/15/41		20,231		21,823,766
6.20%, 12/15/34		12,114		13,494,933
6.40%, 12/15/35		14,805		16,677,738
6.65%, 11/15/37		13,696		15,536,527
CBS Corp.
3.50%, 01/15/25 (Call 10/15/24)^a		2,065		2,006,316
4.00%, 01/15/26 (Call 10/15/25)^a		12,270		12,302,884
7.88%, 07/30/30		7,295		9,411,989
CCO Safari II LLC
3.58%, 07/23/20 (Call 06/23/20)^b		22,160		22,196,801
4.46%, 07/23/22 (Call 05/23/22)^b		39,050		39,635,145
4.91%, 07/23/25 (Call 04/23/25)^b		53,470		54,684,138
6.38%, 10/23/35 (Call 04/23/35)^a,b		19,400		20,157,892
6.48%, 10/23/45 (Call 04/23/45)^a,b		35,210		37,096,615
Comcast Cable Communications Holdings Inc.
9.46%, 11/15/22		13,268		18,544,613
Comcast Corp.
2.75%, 03/01/23 (Call 02/01/23)		6,000		6,113,286
2.85%, 01/15/23		9,820		10,092,474
3.13%, 07/15/22^a		15,205		15,914,563
3.15%, 03/01/26 (Call 12/01/25)		10,620		10,890,232
3.38%, 02/15/25 (Call 11/15/24)		8,048		8,425,532
3.38%, 08/15/25 (Call 05/15/25)^a		15,760		16,553,347
3.60%, 03/01/24		14,671		15,623,422
4.20%, 08/15/34 (Call 02/15/34)		14,640		14,780,405
4.25%, 01/15/33		22,926		23,478,583
4.40%, 08/15/35 (Call 02/15/35)^a		11,690		12,147,160


SCHEDULESOF INVESTMENTS			153

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.60%, 08/15/45 (Call 02/15/45)^a	$	15,709	$	16,535,364
4.65%, 07/15/42		5,811		6,162,972
4.75%, 03/01/44		12,148		12,929,423
5.15%, 03/01/20^a		20,368		22,842,956
5.65%, 06/15/35^a		12,002		14,081,583
6.40%, 05/15/38		4,200		5,313,617
6.40%, 03/01/40^a		11,979		15,053,901
6.45%, 03/15/37		23,361		29,513,734
6.50%, 11/15/35		12,069		15,324,411
6.55%, 07/01/39		16,503		21,311,519
6.95%, 08/15/37		16,321		21,695,099
7.05%, 03/15/33		8,910		11,667,407
DIRECTV Holdings LLC/DIRECTV Financing Co. Inc.
3.80%, 03/15/22		15,522		15,938,831
3.95%, 01/15/25 (Call 10/15/24)^a		8,135		8,257,481
4.45%, 04/01/24 (Call 01/01/24)		22,571		23,888,016
4.60%, 02/15/21 (Call 11/15/20)		9,130		9,789,414
5.00%, 03/01/21		26,079		28,446,736
5.15%, 03/15/42		16,388		15,423,737
5.20%, 03/15/20		16,405		17,982,131
5.88%, 10/01/19		4,574		5,110,858
6.00%, 08/15/40 (Call 05/15/40)		13,495		13,980,001
6.38%, 03/01/41		10,827		11,619,759
Discovery Communications LLC
4.88%, 04/01/43^a		9,384		7,532,573
5.05%, 06/01/20		14,315		15,083,180
6.35%, 06/01/40^a		10,810		10,406,366
Historic TW Inc.
6.63%, 05/15/29		12,271		14,164,644
NBCUniversal Media LLC
2.88%, 01/15/23		16,030		16,400,323
4.38%, 04/01/21		27,652		30,553,519
4.45%, 01/15/43		19,213		19,369,803
5.15%, 04/30/20		10,537		11,847,160
5.95%, 04/01/41		18,024		21,730,511
6.40%, 04/30/40		7,743		9,818,166


Security	Principal (000s)		Value
Time Warner Cable Inc.
4.00%, 09/01/21 (Call 06/01/21)	$	19,118	$	19,490,893
4.50%, 09/15/42 (Call 03/15/42)^a		15,880		12,986,905
5.00%, 02/01/20		18,186		19,532,093
5.50%, 09/01/41 (Call 03/01/41)		16,373		14,566,718
5.88%, 11/15/40 (Call 05/15/40)		16,391		15,260,827
6.55%, 05/01/37^a		25,897		26,106,714
6.75%, 06/15/39^a		14,453		14,698,766
7.30%, 07/01/38^a		16,270		17,392,207
8.25%, 04/01/19		8,564		9,811,196
8.75%, 02/14/19^a		15,724		18,029,583
Time Warner Entertainment Co. LP
8.38%, 03/15/23		12,104		14,755,024
8.38%, 07/15/33		6,340		7,506,918
Time Warner Inc.
3.55%, 06/01/24 (Call 03/01/24)		12,575		12,439,035
3.60%, 07/15/25 (Call 04/15/25)^a		27,550		26,966,403
4.70%, 01/15/21^a		11,103		11,953,339
4.75%, 03/29/21		13,510		14,585,722
4.85%, 07/15/45 (Call 01/15/45)		13,500		12,577,176
4.88%, 03/15/20		8,301		8,962,231
6.10%, 07/15/40^a		7,870		8,290,626
6.25%, 03/29/41^a		15,870		17,052,620
6.50%, 11/15/36		13,748		14,806,647
7.63%, 04/15/31		8,804		10,690,867
7.70%, 05/01/32		23,691		28,601,540
Verizon Communications Inc.
4.52%, 09/15/48^a		48,750		44,320,156
4.67%, 03/15/55		53,675		46,998,490
Viacom Inc.
4.25%, 09/01/23 (Call 06/01/23)^a		19,275		18,933,929
4.38%, 03/15/43		16,920		11,483,020
5.85%, 09/01/43 (Call 03/01/43)		20,517		17,387,926
6.88%, 04/30/36^a		7,644		7,192,694


154		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Walt Disney Co. (The)
1.85%, 05/30/19^a	$	13,113	$	13,380,723
2.15%, 09/17/20		4,400		4,484,706
2.30%, 02/12/21		10,605		10,838,560
2.35%, 12/01/22^a		20,627		20,764,359
2.75%, 08/16/21		7,358		7,642,607
3.00%, 02/13/26^a		8,500		8,899,807
3.15%, 09/17/25		6,350		6,720,119
4.13%, 06/01/44		9,500		9,834,677

				1,534,573,590
METAL FABRICATE & HARDWARE — 0.11%
Precision Castparts Corp.
2.50%, 01/15/23 (Call 10/15/22)		16,437		16,268,818
3.25%, 06/15/25 (Call 03/15/25)		10,669		10,921,386

				27,190,204
MINING — 1.36%
Barrick Gold Corp.
5.25%, 04/01/42^a		6,150		4,755,957
Barrick North America Finance LLC
4.40%, 05/30/21		15,477		15,169,947
5.70%, 05/30/41		12,345		9,727,464
5.75%, 05/01/43^a		10,161		8,445,691
Barrick PD Australia Finance Pty Ltd.
5.95%, 10/15/39		11,480		9,217,795
BHP Billiton Finance USA Ltd.
2.88%, 02/24/22^a		7,918		7,639,861
3.25%, 11/21/21^a		13,586		13,574,747
3.85%, 09/30/23^a		21,817		21,767,619
4.13%, 02/24/42^a		7,465		6,571,497
5.00%, 09/30/43		34,465		33,558,226
6.50%, 04/01/19^a		21,397		23,490,127
Goldcorp Inc.
3.70%, 03/15/23 (Call 12/15/22)^a		11,545		11,099,304
Newmont Mining Corp.
3.50%, 03/15/22 (Call 12/15/21)^a		14,694		13,999,585
4.88%, 03/15/42 (Call 09/15/41)		18,946		14,567,619


Security	Principal (000s)		Value
5.13%, 10/01/19^a	$	10,079	$	10,567,037
6.25%, 10/01/39		5,749		5,106,676
Rio Tinto Alcan Inc.
6.13%, 12/15/33		3,100		3,157,358
Rio Tinto Finance USA Ltd.
3.50%, 11/02/20^a		5,902		5,883,807
3.75%, 09/20/21^a		15,480		15,310,141
3.75%, 06/15/25 (Call 03/15/25)^a		6,616		6,320,685
4.13%, 05/20/21^a		9,438		9,557,335
5.20%, 11/02/40^a		13,755		12,988,976
7.13%, 07/15/28		8,298		9,440,519
9.00%, 05/01/19		19,707		22,776,324
Rio Tinto Finance USA PLC
2.25%, 12/14/18 (Call 11/14/18)^a		114		110,713
2.88%, 08/21/22 (Call 05/21/22)^a		14,797		13,788,910
3.50%, 03/22/22 (Call 12/22/21)^a		21,030		20,464,880
4.13%, 08/21/42 (Call 02/21/42)^a		14,994		12,616,626

				341,675,426
OFFICE & BUSINESS EQUIPMENT — 0.05%
Xerox Corp.
4.50%, 05/15/21^a		12,662		12,137,131

				12,137,131
OIL & GAS — 6.23%
Anadarko Finance Co.
7.50%, 05/01/31		6,685		6,083,350
Anadarko Petroleum Corp.
6.20%, 03/15/40		6,121		4,802,771
6.45%, 09/15/36		25,689		21,493,904
Apache Corp.
3.25%, 04/15/22 (Call 01/15/22)		13,017		11,328,767
4.25%, 01/15/44 (Call 07/15/43)		11,224		8,022,146
4.75%, 04/15/43 (Call 10/15/42)		8,219		6,238,632
5.10%, 09/01/40 (Call 03/01/40)		15,015		11,008,081
6.00%, 01/15/37		11,884		9,846,134


SCHEDULESOF INVESTMENTS			155

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
BP Capital Markets PLC
2.24%, 05/10/19	$	2,871	$	2,835,020
2.32%, 02/13/20^a		21,012		20,434,430
2.50%, 11/06/22		15,163		14,143,070
2.75%, 05/10/23^a		13,626		12,884,386
3.06%, 03/17/22^a		10,230		9,962,649
3.25%, 05/06/22		17,103		16,846,534
3.51%, 03/17/25^a		12,995		12,657,368
3.54%, 11/04/24		11,338		10,971,588
3.56%, 11/01/21^a		15,629		15,797,054
3.81%, 02/10/24^a		18,828		18,792,381
3.99%, 09/26/23^a		3,440		3,486,535
4.50%, 10/01/20^a		17,587		18,539,950
4.74%, 03/11/21		18,583		19,817,123
4.75%, 03/10/19		10,957		11,535,234
Canadian Natural Resources Ltd.
6.25%, 03/15/38		14,048		10,321,347
Cenovus Energy Inc.
4.45%, 09/15/42 (Call 03/15/42)		1,353		791,505
Chevron Corp.
1.96%, 03/03/20 (Call 02/03/20)^a		19,009		18,678,631
2.19%, 11/15/19 (Call 10/15/19)		6,000		5,986,268
2.36%, 12/05/22 (Call 09/05/22)		15,208		14,723,243
2.42%, 11/17/20 (Call 10/17/20)^a		12,270		12,304,585
2.43%, 06/24/20 (Call 05/24/20)^a		12,739		12,738,097
3.19%, 06/24/23 (Call 03/24/23)^a		23,255		23,392,549
3.33%, 11/17/25 (Call 08/17/25)^a		15,790		15,839,870
4.95%, 03/03/19		23,109		25,064,021
ConocoPhillips
5.75%, 02/01/19^a		17,343		18,046,132
6.00%, 01/15/20^a		11,428		11,981,245
6.50%, 02/01/39^a		33,959		33,568,244
ConocoPhillips Co.
2.20%, 05/15/20 (Call 04/15/20)^a		1,740		1,602,555


Security	Principal (000s)		Value
2.40%, 12/15/22 (Call 09/15/22)	$	9,125	$	7,934,644
2.88%, 11/15/21 (Call 09/15/21)		8,900		8,084,174
3.35%, 11/15/24 (Call 08/15/24)^a		15,861		13,977,643
4.30%, 11/15/44 (Call 05/15/44)^a		9,555		7,618,877
ConocoPhillips Holding Co.
6.95%, 04/15/29		12,856		13,755,920
Devon Energy Corp.
3.25%, 05/15/22 (Call 02/15/22)^a		12,702		9,781,225
4.75%, 05/15/42 (Call 11/15/41)		6,383		4,093,826
5.00%, 06/15/45 (Call 12/15/44)^a		14,200		9,339,696
5.60%, 07/15/41 (Call 01/15/41)		18,418		12,561,584
5.85%, 12/15/25 (Call 09/15/25)^a		5,000		4,347,250
7.95%, 04/15/32		10,414		8,314,121
Devon Financing Co. LLC
7.88%, 09/30/31		12,813		10,266,416
Ensco PLC
4.70%, 03/15/21^a		24,110		12,922,237
5.75%, 10/01/44 (Call 04/01/44)		4,121		1,955,002
EOG Resources Inc.
2.63%, 03/15/23 (Call 12/15/22)^a		15,222		13,738,164
4.10%, 02/01/21		9,146		9,315,397
4.15%, 01/15/26 (Call 10/15/25)		2,300		2,269,274
5.63%, 06/01/19		11,769		12,411,091
Exxon Mobil Corp.
1.82%, 03/15/19 (Call 02/15/19)^a		18,420		18,566,058
1.91%, 03/06/20 (Call 02/06/20)		16,275		16,244,790
2.22%, 03/01/21		3,190		3,190,000
2.40%, 03/06/22 (Call 01/06/22)		15,650		15,582,705


156		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
2.71%, 03/06/25 (Call 12/06/24)^a	$	19,200	$	18,876,900
3.04%, 03/01/26		2,335		2,335,000
3.18%, 03/15/24 (Call 12/15/23)		11,535		11,861,843
3.57%, 03/06/45 (Call 09/06/44)^a		14,380		13,119,635
4.11%, 03/01/46		1,440		1,440,000
Hess Corp.
5.60%, 02/15/41		14,948		10,777,215
6.00%, 01/15/40		7,733		5,789,306
7.30%, 08/15/31		11,263		9,786,602
8.13%, 02/15/19		4,573		4,816,895
Husky Energy Inc.
4.00%, 04/15/24 (Call 01/15/24)^a		17,413		14,221,197
Marathon Oil Corp.
2.80%, 11/01/22 (Call 08/01/22)^a		9,240		6,052,200
3.85%, 06/01/25 (Call 03/01/25)^a		11,834		8,138,242
6.60%, 10/01/37		9,256		6,254,221
Marathon Petroleum Corp.
3.63%, 09/15/24 (Call 06/15/24)		11,400		9,291,000
4.75%, 09/15/44 (Call 03/15/44)		6,892		4,455,885
5.13%, 03/01/21		15,330		15,320,198
6.50%, 03/01/41 (Call 09/01/40)		6,075		4,733,640
Nexen Energy ULC
5.88%, 03/10/35		9,023		9,677,326
6.40%, 05/15/37		16,830		19,029,604
Noble Energy Inc.
4.15%, 12/15/21 (Call 09/15/21)		11,810		10,300,546
5.05%, 11/15/44 (Call 05/15/44)		10,560		7,806,586
5.25%, 11/15/43 (Call 05/15/43)		14,295		10,565,625
6.00%, 03/01/41 (Call 09/01/40)		9,075		6,824,218
8.25%, 03/01/19		5,502		5,612,040


Security	Principal (000s)		Value
Occidental Petroleum Corp.
2.70%, 02/15/23 (Call 11/15/22)	$	11,256	$	10,658,973
3.13%, 02/15/22 (Call 11/15/21)		10,238		10,134,335
3.50%, 06/15/25 (Call 03/15/25)^a		13,900		13,483,623
4.63%, 06/15/45 (Call 12/15/44)^a		11,155		10,670,128
Series 1
4.10%, 02/01/21 (Call 11/01/20)		10,370		10,932,528
Petro-Canada
6.80%, 05/15/38		11,872		10,962,737
Phillips 66
4.30%, 04/01/22^a		15,094		15,448,256
4.65%, 11/15/34 (Call 05/15/34)		15,300		13,728,919
4.88%, 11/15/44 (Call 05/15/44)^a		20,445		18,755,630
5.88%, 05/01/42		17,650		16,967,651
Pride International Inc.
6.88%, 08/15/20^a		5,300		3,107,125
Shell International Finance BV
2.13%, 05/11/20		20,842		20,348,707
2.25%, 11/10/20^a		8,410		8,244,057
2.25%, 01/06/23		21,592		20,181,364
2.38%, 08/21/22^a		13,651		13,191,169
3.25%, 05/11/25^a		38,859		37,858,913
3.40%, 08/12/23^a		8,958		8,922,483
4.13%, 05/11/35^a		22,778		21,162,425
4.30%, 09/22/19		19,646		20,710,039
4.38%, 03/25/20		11,474		12,165,104
4.38%, 05/11/45		31,555		29,160,427
4.55%, 08/12/43^a		15,852		15,014,081
5.50%, 03/25/40^a		11,416		12,062,545
6.38%, 12/15/38		25,327		29,020,720
Southwestern Energy Co.
4.05%, 01/23/20 (Call 12/23/19)		7,413		4,818,450
Statoil ASA
2.25%, 11/08/19		8,470		8,373,743
2.45%, 01/17/23^a		15,303		14,396,825
2.65%, 01/15/24		9,849		9,172,418


SCHEDULESOF INVESTMENTS			157

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
2.75%, 11/10/21	$	1,880	$	1,818,423
2.90%, 11/08/20		9,377		9,305,303
3.15%, 01/23/22		9,792		9,717,575
3.70%, 03/01/24^a		9,170		9,230,602
3.95%, 05/15/43		9,867		8,582,696
4.80%, 11/08/43^a		9,331		9,217,019
5.10%, 08/17/40		7,752		7,891,146
5.25%, 04/15/19		14,518		15,679,228
Suncor Energy Inc.
3.60%, 12/01/24 (Call 09/01/24)^a		9,109		8,330,706
6.50%, 06/15/38^a		11,135		10,157,792
6.85%, 06/01/39		6,470		5,998,633
Total Capital Canada Ltd.
2.75%, 07/15/23^a		9,962		9,531,149
Total Capital International SA
2.10%, 06/19/19^a		16,250		16,038,292
2.13%, 01/10/19^a		2,150		2,133,006
2.70%, 01/25/23^a		7,891		7,555,909
2.75%, 06/19/21^a		14,300		14,280,406
2.88%, 02/17/22^a		15,812		15,640,527
3.70%, 01/15/24^a		16,300		16,587,027
3.75%, 04/10/24^a		10,406		10,577,617
Total Capital SA
4.45%, 06/24/20		3,356		3,590,305
Valero Energy Corp.
6.13%, 02/01/20^a		12,629		13,508,736
6.63%, 06/15/37		18,893		18,769,062
7.50%, 04/15/32		8,826		9,368,299
9.38%, 03/15/19^a		2,604		3,023,969

				1,562,108,219
OIL & GAS SERVICES — 0.80%
Baker Hughes Inc.
3.20%, 08/15/21 (Call 05/15/21)		8,663		8,644,675
5.13%, 09/15/40^a		19,997		17,973,366
Halliburton Co.
2.70%, 11/15/20 (Call 10/15/20)^a		8,805		8,643,634
3.38%, 11/15/22 (Call 09/15/22)		16,405		16,168,230
3.50%, 08/01/23 (Call 05/01/23)		13,851		13,159,474


Security	Principal (000s)		Value
3.80%, 11/15/25 (Call 08/15/25)^a	$	25,765	$	24,398,705
4.75%, 08/01/43 (Call 02/01/43)		3,274		2,712,308
4.85%, 11/15/35 (Call 05/15/35)^a		14,900		13,317,332
5.00%, 11/15/45 (Call 05/15/45)^a		20,100		17,878,673
6.15%, 09/15/19		13,716		14,927,308
6.70%, 09/15/38^a		9,165		9,562,587
7.45%, 09/15/39		11,616		13,389,532
National Oilwell Varco Inc.
2.60%, 12/01/22 (Call 09/01/22)^a		18,651		15,196,122
3.95%, 12/01/42 (Call 06/01/42)^a		10,574		7,031,710
Schlumberger Investment SA
3.65%, 12/01/23 (Call 09/01/23)		17,802		18,282,981

				201,286,637
PHARMACEUTICALS — 6.12%
Abbott Laboratories
2.00%, 03/15/20^a		14,639		14,548,306
2.55%, 03/15/22		4,883		4,857,162
2.95%, 03/15/25 (Call 12/15/24)^a		17,870		17,679,225
5.13%, 04/01/19		6,835		7,506,686
AbbVie Inc.
2.50%, 05/14/20 (Call 04/14/20)		47,147		47,281,190
2.90%, 11/06/22		41,439		41,133,495
3.20%, 11/06/22 (Call 09/06/22)^a		9,915		10,056,457
3.60%, 05/14/25 (Call 02/14/25)^a		41,945		42,805,590
4.40%, 11/06/42		27,347		26,188,685
4.50%, 05/14/35 (Call 11/14/34)		33,240		32,965,800
4.70%, 05/14/45 (Call 11/14/44)		31,620		31,735,739
Actavis Funding SCS
3.00%, 03/12/20 (Call 02/12/20)		35,145		35,729,862


158		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.45%, 03/15/22 (Call 01/15/22)	$	45,264	$	46,188,264
3.80%, 03/15/25 (Call 12/15/24)		57,584		59,303,239
3.85%, 06/15/24 (Call 03/15/24)		14,700		15,180,887
4.55%, 03/15/35 (Call 09/15/34)		16,160		16,311,431
4.75%, 03/15/45 (Call 09/15/44)^a		34,065		34,895,730
4.85%, 06/15/44 (Call 12/15/43)		19,815		20,219,161
Actavis Inc.
3.25%, 10/01/22 (Call 07/01/22)		25,608		25,686,086
4.63%, 10/01/42 (Call 04/01/42)		5,464		5,410,119
AstraZeneca PLC
1.95%, 09/18/19^a		12,427		12,364,650
2.38%, 11/16/20		21,240		21,360,497
3.38%, 11/16/25^a		25,100		25,535,658
4.00%, 09/18/42^a		12,712		12,189,094
4.38%, 11/16/45		11,510		11,646,644
6.45%, 09/15/37^a		31,550		40,130,966
Baxalta Inc.
2.88%, 06/23/20 (Call 05/23/20)^b		14,130		13,839,986
3.60%, 06/23/22 (Call 04/23/22)^a,b		815		811,726
4.00%, 06/23/25 (Call 03/23/25)^b		22,225		21,966,561
5.25%, 06/23/45 (Call 12/23/44)^b		9,040		8,649,401
Bristol-Myers Squibb Co.
2.00%, 08/01/22^a		12,238		12,108,184
Eli Lilly & Co.
2.75%, 06/01/25 (Call 03/01/25)		12,300		12,557,028
3.70%, 03/01/45 (Call 09/01/44)^a		10,813		10,732,277
Express Scripts Holding Co.
2.25%, 06/15/19		13,131		13,060,255
3.50%, 06/15/24 (Call 03/15/24)		13,162		12,606,157


Security	Principal (000s)		Value
3.90%, 02/15/22	$	13,302	$	13,606,430
4.50%, 02/25/26 (Call 11/25/25)		9,000		9,077,133
4.75%, 11/15/21		18,036		19,300,015
GlaxoSmithKline Capital Inc.
2.80%, 03/18/23^a		15,224		15,617,973
6.38%, 05/15/38		30,434		39,217,493
GlaxoSmithKline Capital PLC
2.85%, 05/08/22		31,120		32,015,011
Johnson & Johnson
1.65%, 03/01/21 (Call 02/01/21)		4,585		4,587,844
2.45%, 03/01/26 (Call 12/01/25)		1,465		1,469,927
3.38%, 12/05/23^a		4,161		4,568,651
4.38%, 12/05/33 (Call 06/05/33)		11,400		12,751,397
5.95%, 08/15/37^a		9,474		12,629,009
McKesson Corp.
2.28%, 03/15/19		16,782		16,836,798
3.80%, 03/15/24 (Call 12/15/23)		4,116		4,198,113
4.88%, 03/15/44 (Call 09/15/43)^a		14,654		14,599,997
Mead Johnson Nutrition Co.
3.00%, 11/15/20		14,720		14,938,710
4.13%, 11/15/25 (Call 08/15/25)^a		8,620		8,924,210
Merck & Co. Inc.
1.85%, 02/10/20^a		20,885		21,116,038
2.35%, 02/10/22		12,045		12,165,516
2.40%, 09/15/22 (Call 06/15/22)		11,146		11,204,866
2.75%, 02/10/25 (Call 11/10/24)^a		32,818		33,044,513
2.80%, 05/18/23		26,487		27,034,950
3.70%, 02/10/45 (Call 08/10/44)		18,862		17,999,458
3.88%, 01/15/21 (Call 10/15/20)^a		10,379		11,212,414
4.15%, 05/18/43		18,721		19,254,148
Merck Sharp & Dohme Corp.
5.00%, 06/30/19		11,607		12,912,951


SCHEDULESOF INVESTMENTS			159

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Novartis Capital Corp.
2.40%, 09/21/22	$	5,045	$	5,110,814
3.00%, 11/20/25 (Call 08/20/25)^a		26,650		27,449,439
3.40%, 05/06/24		26,325		28,064,151
4.00%, 11/20/45 (Call 05/20/45)^a		19,120		19,491,142
4.40%, 04/24/20		8,387		9,272,151
4.40%, 05/06/44		20,883		22,532,318
Novartis Securities Investment Ltd.
5.13%, 02/10/19		24,036		26,517,104
Perrigo Co. PLC
4.00%, 11/15/23 (Call 08/15/23)		6,290		6,228,703
Perrigo Finance Unlimited Co.
3.90%, 12/15/24 (Call 09/15/24)^a		3,721		3,615,149
Pfizer Inc.
2.10%, 05/15/19^a		19,470		19,859,729
3.00%, 06/15/23^a		11,233		11,594,671
3.40%, 05/15/24^a		14,525		15,267,386
4.30%, 06/15/43^a		12,075		12,438,878
6.20%, 03/15/19		33,823		38,127,531
7.20%, 03/15/39		27,103		37,638,646
Sanofi
4.00%, 03/29/21^a		21,651		23,496,639
Wyeth LLC
5.95%, 04/01/37		20,120		24,643,676
6.50%, 02/01/34		8,495		10,874,450
Zoetis Inc.
3.25%, 02/01/23 (Call 11/01/22)		21,105		20,377,635
4.50%, 11/13/25 (Call 08/13/25)		5,600		5,773,518
4.70%, 02/01/43 (Call 08/01/42)		13,080		11,425,145

				1,535,324,638
PIPELINES — 2.35%
Columbia Pipeline Group Inc.
3.30%, 06/01/20 (Call 05/01/20)^b		11,850		11,055,316
4.50%, 06/01/25 (Call 03/01/25)^b		10,111		9,171,258


Security	Principal (000s)		Value
Energy Transfer Partners LP
3.60%, 02/01/23 (Call 11/01/22)	$	3,844	$	3,139,933
4.05%, 03/15/25 (Call 12/15/24)^a		13,505		11,185,921
4.15%, 10/01/20 (Call 08/01/20)^a		7,820		7,097,432
4.65%, 06/01/21 (Call 03/01/21)		10,483		8,989,173
4.75%, 01/15/26 (Call 10/15/25)		15,545		13,329,837
5.15%, 03/15/45 (Call 09/15/44)^a		11,145		8,050,535
5.20%, 02/01/22 (Call 11/01/21)		8,505		7,271,775
6.13%, 12/15/45 (Call 06/15/45)^a		17,300		14,186,519
6.50%, 02/01/42 (Call 08/01/41)		5,610		4,542,417
Enterprise Products Operating LLC
2.55%, 10/15/19 (Call 09/15/19)^a		12,800		12,426,671
3.35%, 03/15/23 (Call 12/15/22)		17,077		15,970,547
3.70%, 02/15/26 (Call 11/15/25)^a		10,570		9,865,827
3.75%, 02/15/25 (Call 11/15/24)^a		3,852		3,630,763
3.90%, 02/15/24 (Call 11/15/23)		6,495		6,177,721
4.45%, 02/15/43 (Call 08/15/42)		8,488		6,827,550
4.85%, 08/15/42 (Call 02/15/42)		9,497		8,085,817
4.85%, 03/15/44 (Call 09/15/43)		17,860		15,178,948
4.90%, 05/15/46 (Call 11/15/45)		11,720		10,317,468
5.10%, 02/15/45 (Call 08/15/44)^a		15,891		13,987,648
5.20%, 09/01/20		9,643		10,153,974
5.95%, 02/01/41^a		10,985		10,333,431


160		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Kinder Morgan Energy Partners LP
2.65%, 02/01/19	$	10,792	$	10,090,520
3.50%, 03/01/21 (Call 01/01/21)		12,361		11,155,802
3.95%, 09/01/22 (Call 06/01/22)^a		15,351		13,870,243
5.50%, 03/01/44 (Call 09/01/43)		11,160		9,082,120
6.95%, 01/15/38		14,269		12,873,349
Kinder Morgan Inc./DE
3.05%, 12/01/19 (Call 11/01/19)^a		10,290		9,497,717
4.30%, 06/01/25 (Call 03/01/25)^a		12,200		11,156,900
5.05%, 02/15/46 (Call 08/15/45)^a		9,050		6,980,537
5.30%, 12/01/34 (Call 06/01/34)		11,754		9,266,736
5.55%, 06/01/45 (Call 12/01/44)^a		20,425		16,945,193
7.75%, 01/15/32		9,569		9,092,688
ONEOK Partners LP
3.38%, 10/01/22 (Call 07/01/22)		13,601		10,744,532
Plains All American Pipeline LP/PAA Finance Corp.
3.60%, 11/01/24 (Call 08/01/24)		11,230		8,749,242
3.65%, 06/01/22 (Call 03/01/22)^a		13,811		11,359,547
4.65%, 10/15/25 (Call 07/15/25)^a		5,190		4,364,933
Regency Energy Partners LP/Regency Energy Finance Corp.
5.88%, 03/01/22 (Call 12/01/21)		13,800		12,119,160
Spectra Energy Partners LP
4.75%, 03/15/24 (Call 12/15/23)		14,645		14,626,351
Sunoco Logistics Partners Operations LP
5.35%, 05/15/45 (Call 11/15/44)^a		13,060		9,670,669


Security	Principal (000s)		Value
TransCanada PipeLines Ltd.
2.50%, 08/01/22^a	$	15,719	$	14,538,773
3.80%, 10/01/20^a		7,538		7,615,231
4.63%, 03/01/34 (Call 12/01/33)		14,214		12,952,458
4.88%, 01/15/26 (Call 10/15/25)		9,305		9,605,337
6.10%, 06/01/40		7,217		7,327,103
6.20%, 10/15/37		12,810		12,938,195
7.13%, 01/15/19		197		216,272
7.63%, 01/15/39		10,271		11,811,650
Transcontinental Gas Pipe Line Co. LLC
7.85%, 02/01/26 (Call 11/01/25)^b		2,000		2,104,107
Williams Partners LP
3.35%, 08/15/22 (Call 05/15/22)^a		11,806		8,972,560
3.60%, 03/15/22 (Call 01/15/22)		20,300		15,935,500
3.90%, 01/15/25 (Call 10/15/24)		9,950		7,460,486
4.00%, 09/15/25 (Call 06/15/25)^a		2,615		1,989,780
4.30%, 03/04/24 (Call 12/04/23)		10,620		8,294,857
5.10%, 09/15/45 (Call 03/15/45)		5,845		3,977,464
5.25%, 03/15/20		22,868		20,391,167
6.30%, 04/15/40		13,428		10,154,925
Williams Partners LP/ACMP Finance Corp.
4.88%, 05/15/23 (Call 12/15/17)		11,500		9,372,500
4.88%, 03/15/24 (Call 03/15/19)		11,975		9,588,981
6.13%, 07/15/22 (Call 01/15/17)^a		2,300		2,024,000

				589,894,066
REAL ESTATE — 0.03%
Prologis LP
3.75%, 11/01/25 (Call 08/01/25)^a		8,100		8,243,202

				8,243,202


SCHEDULESOF INVESTMENTS			161

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
REAL ESTATE INVESTMENT TRUSTS — 1.04%
American Tower Corp.
2.80%, 06/01/20 (Call 05/01/20)^a	$	5,925	$	5,882,536
3.30%, 02/15/21 (Call 01/15/21)		4,700		4,704,585
3.40%, 02/15/19		5,909		6,003,899
3.50%, 01/31/23		11,246		11,032,543
4.00%, 06/01/25 (Call 03/01/25)		15,551		15,489,566
4.70%, 03/15/22		2,100		2,221,868
5.00%, 02/15/24		14,210		15,174,008
Boston Properties LP
3.65%, 02/01/26 (Call 11/01/25)		3,000		3,031,953
3.85%, 02/01/23 (Call 11/01/22)^a		11,183		11,565,266
4.13%, 05/15/21 (Call 02/15/21)		7,021		7,445,172
Crown Castle International Corp.
5.25%, 01/15/23^a		19,950		21,143,409
ERP Operating LP
4.50%, 07/01/44 (Call 01/01/44)		11,775		12,164,136
4.63%, 12/15/21 (Call 09/15/21)		10,487		11,727,408
HCP Inc.
2.63%, 02/01/20 (Call 11/01/19)		15,326		15,020,617
3.88%, 08/15/24 (Call 05/17/24)		11,070		10,397,382
4.00%, 06/01/25 (Call 03/01/25)^a		1,000		946,752
4.25%, 11/15/23 (Call 08/15/23)		5,975		5,827,284
5.38%, 02/01/21 (Call 11/03/20)^a		25,420		27,270,190
Prologis LP
4.25%, 08/15/23 (Call 05/15/23)		3,600		3,828,590
Simon Property Group LP
3.30%, 01/15/26 (Call 10/15/25)^a		2,800		2,822,145


Security	Principal (000s)		Value
3.38%, 10/01/24 (Call 07/01/24)^a	$	15,184	$	15,449,334
4.38%, 03/01/21 (Call 12/01/20)		10,759		11,725,544
5.65%, 02/01/20 (Call 11/01/19)		12,171		13,637,746
Welltower Inc.
4.00%, 06/01/25 (Call 03/01/25)		8,000		7,855,170
Weyerhaeuser Co.
7.38%, 03/15/32^a		16,014		18,784,838

				261,151,941
RETAIL — 4.35%
Costco Wholesale Corp.
1.70%, 12/15/19^a		12,883		12,968,007
CVS Health Corp.
2.25%, 08/12/19 (Call 07/12/19)^a		12,014		12,122,649
2.75%, 12/01/22 (Call 09/01/22)		18,358		18,291,287
2.80%, 07/20/20 (Call 06/20/20)		32,865		33,654,769
3.50%, 07/20/22 (Call 05/20/22)		13,045		13,655,573
3.88%, 07/20/25 (Call 04/20/25)^a		27,021		28,797,977
4.00%, 12/05/23 (Call 09/05/23)^a		9,793		10,581,564
4.88%, 07/20/35 (Call 01/20/35)		26,975		28,846,342
5.13%, 07/20/45 (Call 01/20/45)		42,810		48,030,311
5.30%, 12/05/43 (Call 06/05/43)		11,500		12,956,759
Home Depot Inc. (The)
2.00%, 06/15/19 (Call 05/15/19)		9,548		9,734,982
2.00%, 04/01/21 (Call 03/01/21)		8,000		8,048,849
2.63%, 06/01/22 (Call 05/01/22)^a		21,354		21,735,972
2.70%, 04/01/23 (Call 01/01/23)^a		12,843		13,171,457


162		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.00%, 04/01/26 (Call 01/01/26)	$	10,000	$	10,326,196
3.35%, 09/15/25 (Call 06/15/25)		5,050		5,353,483
3.75%, 02/15/24 (Call 11/15/23)^a		17,791		19,457,141
4.20%, 04/01/43 (Call 10/01/42)^a		15,728		16,292,546
4.25%, 04/01/46 (Call 10/01/45)		23,330		24,377,844
4.40%, 04/01/21 (Call 01/01/21)		10,618		11,841,348
4.40%, 03/15/45 (Call 09/15/44)		12,415		13,168,977
4.88%, 02/15/44 (Call 08/15/43)		12,820		14,588,801
5.88%, 12/16/36		38,602		48,214,438
5.95%, 04/01/41 (Call 10/01/40)		2,552		3,228,693
Lowe’s Companies Inc.
3.12%, 04/15/22 (Call 01/15/22)		6,844		7,132,064
3.38%, 09/15/25 (Call 06/15/25)^a		7,985		8,384,628
4.38%, 09/15/45 (Call 03/15/45)		14,750		15,460,158
4.65%, 04/15/42 (Call 10/15/41)		5,106		5,481,533
Macy’s Retail Holdings Inc.
2.88%, 02/15/23 (Call 11/15/22)		8,790		7,925,012
McDonald’s Corp.
2.63%, 01/15/22		10,123		10,248,600
2.75%, 12/09/20 (Call 11/09/20)^a		6,225		6,405,696
3.70%, 01/30/26 (Call 10/30/25)^a		12,930		13,460,868
4.70%, 12/09/35 (Call 06/09/35)		8,777		9,072,151
4.88%, 12/09/45 (Call 06/09/45)^a		10,680		11,189,400
6.30%, 10/15/37		11,276		13,438,968
6.30%, 03/01/38		22,400		26,728,726


Security	Principal (000s)		Value
Target Corp.
2.30%, 06/26/19^a	$	10,264	$	10,538,860
2.90%, 01/15/22		12,014		12,462,742
3.50%, 07/01/24^a		11,500		12,341,525
3.88%, 07/15/20		16,231		17,731,366
4.00%, 07/01/42^a		17,993		18,322,841
6.50%, 10/15/37		15,714		20,816,347
7.00%, 01/15/38		4,393		6,127,426
Wal-Mart Stores Inc.
1.95%, 12/15/18		217		220,781
2.55%, 04/11/23 (Call 01/11/23)^a		21,302		21,821,811
3.25%, 10/25/20		14,638		15,610,260
3.30%, 04/22/24 (Call 01/22/24)^a		20,461		21,731,200
3.63%, 07/08/20^a		14,679		15,807,686
4.00%, 04/11/43 (Call 10/11/42)		16,465		16,464,705
4.25%, 04/15/21		19,069		21,298,650
4.30%, 04/22/44 (Call 10/22/43)^a		5,943		6,245,459
4.75%, 10/02/43 (Call 04/02/43)		8,112		8,993,736
4.88%, 07/08/40		8,244		9,136,852
5.00%, 10/25/40		12,188		13,730,907
5.25%, 09/01/35^a		31,086		36,856,805
5.63%, 04/01/40		21,075		25,489,808
5.63%, 04/15/41		19,533		23,963,168
5.88%, 04/05/27^a		5,929		7,487,218
6.20%, 04/15/38		20,287		25,956,298
6.50%, 08/15/37		32,583		42,784,770
7.55%, 02/15/30		14,752		21,165,385
Walgreen Co.
3.10%, 09/15/22^a		18,159		17,885,903
5.25%, 01/15/19^a		1,748		1,885,806
Walgreens Boots Alliance Inc.
2.70%, 11/18/19 (Call 10/18/19)^a		10,325		10,412,187
3.30%, 11/18/21 (Call 09/18/21)		15,550		15,657,370
3.80%, 11/18/24 (Call 08/18/24)		23,025		23,085,480
4.80%, 11/18/44 (Call 05/18/44)		16,315		14,843,137

				1,091,250,258


SCHEDULESOF INVESTMENTS			163

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
SEMICONDUCTORS — 1.09%
Applied Materials Inc.
4.30%, 06/15/21	$	2,089	$	2,275,844
Intel Corp.
2.45%, 07/29/20^a		26,135		26,690,902
2.70%, 12/15/22^a		15,947		16,191,823
3.10%, 07/29/22		5,715		5,986,212
3.30%, 10/01/21^a		25,728		27,268,384
3.70%, 07/29/25 (Call 04/29/25)^a		21,020		22,699,710
4.00%, 12/15/32^a		14,754		14,894,828
4.25%, 12/15/42^a		10,033		9,942,636
4.80%, 10/01/41		14,209		15,122,438
4.90%, 07/29/45 (Call 01/29/45)		24,784		26,855,469
QUALCOMM Inc.
2.25%, 05/20/20^a		19,989		20,180,659
3.00%, 05/20/22		16,159		16,379,407
3.45%, 05/20/25 (Call 02/20/25)^a		24,783		24,971,517
4.65%, 05/20/35 (Call 11/20/34)		13,670		13,136,766
4.80%, 05/20/45 (Call 11/20/44)		23,435		21,673,253
Texas Instruments Inc.
1.65%, 08/03/19		7,770		7,783,148

				272,052,996
SOFTWARE — 3.20%
Fidelity National Information Services Inc.
3.50%, 04/15/23 (Call 01/15/23)		10,080		9,729,371
3.63%, 10/15/20 (Call 09/15/20)		27,750		28,333,868
5.00%, 10/15/25 (Call 07/15/25)		12,600		13,079,125
Fiserv Inc.
2.70%, 06/01/20 (Call 05/01/20)		5,100		5,138,603
3.85%, 06/01/25 (Call 03/01/25)		13,500		13,926,655
Microsoft Corp.
1.63%, 12/06/18^a		241		244,160


Security	Principal (000s)		Value
1.85%, 02/12/20 (Call 01/12/20)^a	$	21,128	$	21,442,249
2.00%, 11/03/20 (Call 10/03/20)		20,540		20,875,574
2.13%, 11/15/22^a		11,777		11,717,461
2.38%, 02/12/22 (Call 01/12/22)		16,570		16,926,583
2.38%, 05/01/23 (Call 02/01/23)		13,390		13,494,786
2.65%, 11/03/22 (Call 09/03/22)		17,050		17,573,911
2.70%, 02/12/25 (Call 11/12/24)^a		33,430		34,066,029
3.00%, 10/01/20^a		14,063		14,885,265
3.13%, 11/03/25 (Call 08/03/25)^a		21,170		22,196,853
3.50%, 02/12/35 (Call 08/12/34)^a		25,132		24,243,596
3.50%, 11/15/42		7,882		7,227,825
3.63%, 12/15/23 (Call 09/15/23)^a		16,622		18,126,318
3.75%, 02/12/45 (Call 08/12/44)		24,635		23,805,298
4.00%, 02/12/55 (Call 08/12/54)		15,825		14,614,759
4.20%, 06/01/19		7,933		8,650,131
4.20%, 11/03/35 (Call 05/03/35)		14,575		15,267,343
4.45%, 11/03/45 (Call 05/03/45)		40,380		43,495,503
4.50%, 10/01/40		11,450		12,205,086
4.75%, 11/03/55 (Call 05/03/55)^a		5,930		6,257,756
5.20%, 06/01/39		11,719		13,609,001
5.30%, 02/08/41^a		14,044		16,732,039
Oracle Corp.
2.25%, 10/08/19^a		18,561		19,027,828
2.50%, 05/15/22 (Call 03/15/22)		30,738		30,980,744
2.50%, 10/15/22		25,195		25,263,037
2.80%, 07/08/21^a		27,927		28,974,486
2.95%, 05/15/25 (Call 02/15/25)		33,390		33,694,126


164		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.40%, 07/08/24 (Call 04/08/24)^a	$	18,258	$	19,138,436
3.63%, 07/15/23		13,243		14,146,784
3.88%, 07/15/20		5,974		6,470,675
3.90%, 05/15/35 (Call 11/15/34)^a		13,230		12,793,673
4.13%, 05/15/45 (Call 11/15/44)		15,831		15,591,127
4.30%, 07/08/34 (Call 01/08/34)		26,041		26,633,842
4.38%, 05/15/55 (Call 11/15/54)		19,639		18,803,936
4.50%, 07/08/44 (Call 01/08/44)^a		8,887		9,140,334
5.00%, 07/08/19		23,804		26,425,575
5.38%, 07/15/40^a		31,610		35,931,722
6.13%, 07/08/39		16,860		20,959,614
6.50%, 04/15/38		7,764		9,970,780

				801,811,867
TELECOMMUNICATIONS — 7.38%
AT&T Corp.
8.25%, 11/15/31		17,919		24,150,065
AT&T Inc.
2.30%, 03/11/19		11,865		11,970,421
2.45%, 06/30/20 (Call 05/30/20)		18,910		18,821,808
2.63%, 12/01/22 (Call 09/01/22)		21,087		20,549,661
2.80%, 02/17/21 (Call 01/17/21)		15,000		15,120,923
3.00%, 02/15/22		27,983		27,859,648
3.00%, 06/30/22 (Call 04/30/22)		26,106		25,885,057
3.40%, 05/15/25 (Call 02/15/25)		60,488		59,432,001
3.88%, 08/15/21		20,453		21,489,268
3.90%, 03/11/24 (Call 12/11/23)^a		20,045		20,713,591
4.13%, 02/17/26 (Call 11/17/25)		15,500		15,992,495
4.30%, 12/15/42 (Call 06/15/42)		23,705		20,135,705
4.35%, 06/15/45 (Call 12/15/44)		42,519		36,217,348


Security	Principal (000s)		Value
4.45%, 05/15/21	$	17,635	$	18,870,684
4.50%, 05/15/35 (Call 11/15/34)		37,494		34,530,287
4.75%, 05/15/46 (Call 11/15/45)^a		44,244		40,399,657
4.80%, 06/15/44 (Call 12/15/43)^a		18,230		16,601,658
5.35%, 09/01/40		48,808		47,378,716
5.55%, 08/15/41^a		13,217		13,192,497
5.65%, 02/15/47 (Call 08/15/46)		8,000		8,278,324
5.80%, 02/15/19		3,775		4,155,584
6.30%, 01/15/38		19,390		20,842,623
6.50%, 09/01/37		8,750		9,679,643
6.55%, 02/15/39^a		19,925		21,753,372
British Telecommunications PLC
2.35%, 02/14/19		1,370		1,382,489
9.63%, 12/15/30		31,156		44,776,515
CC Holdings GS V LLC/Crown Castle GS III Corp.
3.85%, 04/15/23		20,119		20,294,564
Cisco Systems Inc.
2.13%, 03/01/19^a		6,065		6,186,019
2.20%, 02/28/21		16,210		16,363,366
2.45%, 06/15/20^a		13,810		14,142,577
2.95%, 02/28/26		6,385		6,478,957
3.50%, 06/15/25^a		940		998,905
3.63%, 03/04/24^a		13,131		14,124,740
4.45%, 01/15/20		30,510		33,501,924
4.95%, 02/15/19		141		154,859
5.50%, 01/15/40		22,083		26,222,935
5.90%, 02/15/39^a		28,295		34,966,531
Deutsche Telekom International Finance BV
6.00%, 07/08/19		4,761		5,352,139
8.75%, 06/15/30		43,296		60,520,682
GTE Corp.
6.94%, 04/15/28		2,424		2,904,589
New Cingular Wireless Services Inc.
8.75%, 03/01/31^a		14,643		20,380,578
Orange SA
2.75%, 02/06/19		3,319		3,390,282
4.13%, 09/14/21^a		14,724		15,773,497


SCHEDULESOF INVESTMENTS			165

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.38%, 07/08/19	$	7,051	$	7,775,797
5.38%, 01/13/42^a		14,527		15,411,731
5.50%, 02/06/44 (Call 08/06/43)^a		8,044		8,859,506
9.00%, 03/01/31^a		33,093		46,085,054
Qwest Corp.
6.75%, 12/01/21^a		8,271		8,808,615
6.88%, 09/15/33 (Call 03/31/16)		16,409		15,200,272
Rogers Communications Inc.
4.10%, 10/01/23 (Call 07/01/23)^a		15,039		16,078,772
5.00%, 03/15/44 (Call 09/15/43)^a		10,925		11,192,065
Telefonica Emisiones SAU
4.57%, 04/27/23^a		15,500		16,393,398
5.13%, 04/27/20		13,064		14,018,815
5.46%, 02/16/21		14,138		15,490,216
5.88%, 07/15/19^a		12,061		13,211,268
7.05%, 06/20/36^a		24,025		28,541,820
Telefonica Europe BV
8.25%, 09/15/30		14,628		19,171,862
Verizon Communications Inc.
2.45%, 11/01/22 (Call 08/01/22)^a		19,056		18,442,174
2.63%, 02/21/20		37,328		37,873,765
3.00%, 11/01/21 (Call 09/01/21)		14,719		14,981,160
3.45%, 03/15/21^a		12,550		13,060,569
3.50%, 11/01/21^a		18,952		19,919,200
3.50%, 11/01/24 (Call 08/01/24)^a		23,400		23,912,338
3.85%, 11/01/42 (Call 05/01/42)		11,600		9,682,434
4.15%, 03/15/24 (Call 12/15/23)^a		18,134		19,312,015
4.27%, 01/15/36^a		31,950		28,684,272
4.40%, 11/01/34 (Call 05/01/34)		22,044		20,576,970
4.50%, 09/15/20		39,146		42,645,512
4.60%, 04/01/21^a		9,349		10,220,498
4.75%, 11/01/41		7,450		7,115,646
4.86%, 08/21/46		44,222		43,175,800
5.01%, 08/21/54		54,690		50,598,176


Security	Principal (000s)		Value
5.05%, 03/15/34 (Call 12/15/33)	$	7,852	$	7,860,180
5.15%, 09/15/23		87,020		98,471,197
5.85%, 09/15/35		17,675		19,148,704
6.00%, 04/01/41		6,743		7,400,824
6.25%, 04/01/37		9,082		10,190,960
6.35%, 04/01/19		12,385		13,981,460
6.40%, 09/15/33		23,351		27,068,762
6.40%, 02/15/38		6,262		7,007,585
6.55%, 09/15/43		65,193		79,469,387
6.90%, 04/15/38		2,045		2,483,400
7.75%, 12/01/30^a		12,872		17,145,565
Vodafone Group PLC
2.50%, 09/26/22		15,448		14,718,076
2.95%, 02/19/23^a		18,610		17,901,212
4.38%, 02/19/43^a		14,313		11,925,456
5.45%, 06/10/19		16,400		17,985,304
6.15%, 02/27/37^a		18,388		18,949,378

				1,850,084,354
TRANSPORTATION — 0.78%
Burlington Northern Santa Fe LLC
3.00%, 04/01/25 (Call 01/01/25)^a		2,400		2,394,045
3.85%, 09/01/23 (Call 06/01/23)^a		6,824		7,316,661
4.15%, 04/01/45 (Call 10/01/44)		15,616		15,085,960
4.45%, 03/15/43 (Call 09/15/42)		6,746		6,796,706
4.55%, 09/01/44 (Call 03/01/44)^a		9,679		9,979,338
4.70%, 10/01/19		6,497		7,096,240
4.90%, 04/01/44 (Call 10/01/43)		12,340		13,281,675
5.75%, 05/01/40 (Call 11/01/39)		10,117		11,890,047
Canadian Pacific Railway Co.
6.13%, 09/15/15 (Call 03/15/15)		6,988		7,227,904
CSX Corp.
4.10%, 03/15/44 (Call 09/15/43)^a		7,450		6,868,795


166		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® iBOXX $ INVESTMENT GRADE CORPORATE BOND ETF

February 29, 2016


Security	Principal or Shares (000s)		Value
FedEx Corp.
4.00%, 01/15/24^a	$	12,589	$	13,311,551
4.75%, 11/15/45 (Call 05/15/45)^a		17,130		17,081,296
5.10%, 01/15/44		4,780		4,920,395
8.00%, 01/15/19		1,835		2,121,676
Union Pacific Corp.
4.16%, 07/15/22 (Call 04/15/22)		7,218		7,938,570
United Parcel Service Inc.
2.45%, 10/01/22^a		5,296		5,388,342
3.13%, 01/15/21		22,211		23,527,271
5.13%, 04/01/19		11,821		13,106,269
6.20%, 01/15/38		15,950		21,188,548

				196,521,289
WATER — 0.02%
American Water Capital Corp.
6.59%, 10/15/37		3,085		4,115,793

				4,115,793

TOTAL CORPORATE BONDS & NOTES
(Cost: $25,097,060,245)				24,674,590,818

U.S. GOVERNMENT OBLIGATIONS — 0.15%
U.S. Treasury Note/Bond
2.50%, 02/15/46		40,000		39,040,799

				39,040,799

TOTAL U.S. GOVERNMENT OBLIGATIONS
(Cost: $39,050,080)				39,040,799

SHORT-TERM INVESTMENTS — 10.30%

MONEY MARKET FUNDS — 10.30%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.50%^c,d,e		2,156,532		2,156,531,783
BlackRock Cash Funds: Prime, SL Agency Shares
0.49%^c,d,e		190,998		190,998,405
BlackRock Cash Funds: Treasury, SL Agency Shares
0.27%^c,d		234,943		234,942,632

				2,582,472,820

TOTAL SHORT-TERM INVESTMENTS
(Cost: $2,582,472,820)				2,582,472,820


	Value
TOTAL INVESTMENTS IN SECURITIES — 108.87%
(Cost: $27,718,583,145)	$	27,296,104,437
Other Assets, Less Liabilities — (8.87)%		(2,224,806,584	)

NET ASSETS — 100.00%	$	25,071,297,853

^a	All or a portion of this security represents a security on loan. See Note 1.

^b	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^c	Affiliated issuer. See Note 2.

^d	The rate quoted is the annualized seven-day yield of the fund at period end.

^e	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

See notes to financial statements.


SCHEDULESOF INVESTMENTS			167

Statements of Assets and Liabilities

iSHARES^® TRUST

February 29, 2016


	iShares iBoxx $ High Yield Corporate Bond ETF			iShares iBoxx $ Investment Grade Corporate Bond ETF

ASSETS
Investments, at cost:
Unaffiliated	$	16,754,317,237		$	25,007,557,416
Affiliated (Note 2)		4,260,533,150			2,711,025,729

Total cost of investments	$	21,014,850,387		$	27,718,583,145

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Unaffiliated	$	15,102,511,620		$	24,583,768,432
Affiliated (Note 2)		4,260,533,150			2,712,336,005

Total fair value of investments		19,363,044,770			27,296,104,437
Cash		11,160,154			—
Receivables:
Investment securities sold		5,560,527			132,061,922
Due from custodian (Note 4)		25,001,157			8,815,583
Interest		300,763,992			263,685,439
Capital shares sold		59,465,163			80,374,217

Total Assets		19,764,995,763			27,781,041,598


LIABILITIES
Payables:
Investment securities purchased		79,578,674			359,082,803
Collateral for securities on loan (Note 1)		4,136,112,005			2,347,530,188
Due to custodian		—			320,943
Investment advisory fees (Note 2)		5,382,687			2,809,811

Total Liabilities		4,221,073,366			2,709,743,745


NET ASSETS	$	15,543,922,397		$	25,071,297,853


Net assets consist of:
Paid-in capital	$	17,600,331,698		$	25,565,142,074
Undistributed net investment income		62,175,544			67,846,436
Accumulated net realized loss		(466,779,228	)		(139,211,949	)
Net unrealized depreciation		(1,651,805,617	)		(422,478,708	)

NET ASSETS	$	15,543,922,397		$	25,071,297,853


Shares outstanding^b		196,500,000			218,400,000


Net asset value per share	$	79.10		$	114.80

^a	Securities on loan with values of $3,993,687,354 and $2,278,227,168, respectively. See Note 1.

^b	No par value, unlimited number of shares authorized.

See notes to financial statements.


168		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Operations

iSHARES^® TRUST

Year ended February 29, 2016


	iShares iBoxx $ High Yield Corporate Bond ETF			iShares iBoxx $ Investment Grade Corporate Bond ETF

NET INVESTMENT INCOME
Interest — unaffiliated	$	875,263,829		$	802,130,623
Interest — affiliated (Note 2)		86,964			3,599,626
Securities lending income — affiliated — net (Note 2)		14,457,750			4,013,102
Other income		79,572			—

Total investment income		889,888,115			809,743,351


EXPENSES
Investment advisory fees (Note 2)		72,764,253			33,482,363

Total expenses		72,764,253			33,482,363

Net investment income		817,123,862			776,260,988


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		(338,936,075	)		(121,676,354	)
Investments — affiliated (Note 2)		—			(121,254	)
In-kind redemptions — unaffiliated		(211,608,352	)		97,565,737
In-kind redemptions — affiliated (Note 2)		—			298,212

Net realized loss		(550,544,427	)		(23,933,659	)

Net change in unrealized appreciation/depreciation		(1,614,136,767	)		(1,243,443,520	)

Net realized and unrealized loss		(2,164,681,194	)		(1,267,377,179	)

NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	(1,347,557,332	)	$	(491,116,191	)

See notes to financial statements.


FINANCIAL STATEMENTS			169

Statements of Changes in Net Assets

iSHARES^® TRUST


	iShares iBoxx $ High Yield Corporate Bond ETF						iShares iBoxx $ Investment Grade Corporate Bond ETF
	Year ended February 29, 2016			Year ended February 28, 2015			Year ended February 29, 2016			Year ended February 28, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	817,123,862		$	732,892,833		$	776,260,988		$	618,202,082
Net realized gain (loss)		(550,544,427	)		89,571,496			(23,933,659	)		243,946,253
Net change in unrealized appreciation/depreciation		(1,614,136,767	)		(443,808,309	)		(1,243,443,520	)		422,605,288

Net increase (decrease) in net assets resulting from operations		(1,347,557,332	)		378,656,020			(491,116,191	)		1,284,753,623


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(826,678,362	)		(728,101,752	)		(766,535,606	)		(608,603,942	)

Total distributions to shareholders		(826,678,362	)		(728,101,752	)		(766,535,606	)		(608,603,942	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		15,759,326,271			10,814,656,864			21,273,520,436			9,047,865,314
Cost of shares redeemed		(16,062,347,566	)		(6,024,890,999	)		(16,988,727,472	)		(4,578,159,032	)

Net increase (decrease) in net assets from capital share transactions		(303,021,295	)		4,789,765,865			4,284,792,964			4,469,706,282

INCREASE (DECREASE) IN NET ASSETS		(2,477,256,989	)		4,440,320,133			3,027,141,167			5,145,855,963

NET ASSETS
Beginning of year		18,021,179,386			13,580,859,253			22,044,156,686			16,898,300,723

End of year	$	15,543,922,397		$	18,021,179,386		$	25,071,297,853		$	22,044,156,686

Undistributed net investment income included in net assets at end of year	$	62,175,544		$	71,730,044		$	67,846,436		$	58,121,054


SHARES ISSUED AND REDEEMED
Shares sold		188,200,000			117,800,000			183,000,000			75,600,000
Shares redeemed		(188,200,000	)		(64,800,000	)		(146,100,000	)		(38,500,000	)

Net increase in shares outstanding		—			53,000,000			36,900,000			37,100,000

See notes to financial statements.


170		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Financial Highlights

iSHARES^® TRUST

(For a share outstanding throughout each period)


	iShares iBoxx $ High Yield Corporate Bond ETF
	Year ended Feb. 29, 2016			Year ended Feb. 28, 2015			Year ended Feb. 28, 2014			Year ended Feb. 28, 2013			Year ended Feb. 29, 2012
Net asset value, beginning of year	$	91.71		$	94.64		$	93.71		$	91.40		$	91.75

Income from investment operations:
Net investment income^a		4.79			4.96			5.58			6.15			6.74
Net realized and unrealized gain (loss)^b		(12.62	)		(2.89	)		0.98			2.31			(0.45	)

Total from investment operations		(7.83	)		2.07			6.56			8.46			6.29

Less distributions from:
Net investment income		(4.78	)		(5.00	)		(5.63	)		(6.15	)		(6.64	)

Total distributions		(4.78	)		(5.00	)		(5.63	)		(6.15	)		(6.64	)

Net asset value, end of year	$	79.10		$	91.71		$	94.64		$	93.71		$	91.40


Total return		(8.76	)%		2.22	%		7.31	%		9.68	%		7.35	%


Ratios/Supplemental data:
Net assets, end of year (000s)	$	15,543,922		$	18,021,179		$	13,580,859		$	15,077,490		$	14,258,718
Ratio of expenses to average net assets		0.50	%		0.50	%		0.50	%		0.50	%		0.50	%
Ratio of net investment income to average net assets		5.60	%		5.37	%		6.01	%		6.73	%		7.60	%
Portfolio turnover rate^c		11	%		11	%		11	%		19	%		13	%

^a	Based on average shares outstanding throughout each period.

^b	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^c	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


FINANCIAL HIGHLIGHTS			171

Financial Highlights (Continued)

iSHARES^® TRUST

(For a share outstanding throughout each period)


	iShares iBoxx $ Investment Grade Corporate Bond ETF
	Year ended Feb. 29, 2016			Year ended Feb. 28, 2015			Year ended Feb. 28, 2014			Year ended Feb. 28, 2013			Year ended Feb. 29, 2012
Net asset value, beginning of year	$	121.46		$	117.02		$	120.06		$	116.86		$	108.74

Income from investment operations:
Net investment income^a		4.00			4.06			4.25			4.60			5.00
Net realized and unrealized gain (loss)^b		(6.70	)		4.42			(2.94	)		3.22			8.08

Total from investment operations		(2.70	)		8.48			1.31			7.82			13.08

Less distributions from:
Net investment income		(3.96	)		(4.04	)		(4.35	)		(4.61	)		(4.96	)
Net realized gain		—			—			—			(0.01	)		—

Total distributions		(3.96	)		(4.04	)		(4.35	)		(4.62	)		(4.96	)

Net asset value, end of year	$	114.80		$	121.46		$	117.02		$	120.06		$	116.86


Total return		(2.19	)%		7.35	%		1.19	%		6.81	%		12.37	%


Ratios/Supplemental data:
Net assets, end of year (000s)	$	25,071,298		$	22,044,157		$	16,898,301		$	24,037,003		$	19,563,089
Ratio of expenses to average net assets		0.15	%		0.15	%		0.15	%		0.15	%		0.15	%
Ratio of net investment income to average net assets		3.44	%		3.42	%		3.66	%		3.87	%		4.48	%
Portfolio turnover rate^c		13	%		9	%		6	%		5	%		4	%

^a	Based on average shares outstanding throughout each period.

^b	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^c	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


172		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® TRUST

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust was established as a Delaware statutory trust pursuant to an Agreement and Declaration of Trust dated December 16, 1999.

These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):


iShares ETF		Diversification Classification
iBoxx $ High Yield Corporate Bond		Diversified
iBoxx $ Investment Grade Corporate Bond		Diversified

The investment objective of each Fund is to seek investment results that correspond generally to the price and yield performance, before fees and expenses, of its underlying index. The investment adviser uses a “passive” or index approach to try to achieve each Fund’s investment objective.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

The following significant accounting policies are consistently followed by the Funds in the preparation of their financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies.

SECURITY VALUATION

•


NOTESTO FINANCIAL STATEMENTS			173

Notes to Financial Statements (Continued)

iSHARES^® TRUST

generally value fixed income securities assuming orderly transactions of an institutional round lot size, but a fund may hold or transact in such securities in smaller odd lot sizes.

•

Open-end U.S. mutual funds are valued at that day’s published net asset value (“NAV”).

Fair value pricing could result in a difference between the prices used to calculate a Fund’s NAV and the prices used by the Fund’s underlying index, which in turn could result in a difference between the Fund’s performance and the performance of the Fund’s underlying index.

Various inputs are used in determining the fair value of financial instruments. Inputs may be based on independent market data (“observable inputs”) or they may be internally developed (“unobservable inputs”). These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes. The level of a value determined for a financial instrument within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement in its entirety. The categorization of a value determined for a financial instrument within the hierarchy is based upon the pricing transparency of the instrument and is not necessarily an indication of the risk associated with investing in the instrument. The three levels of the fair value hierarchy are as follows:

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

Level 3 — Unobservable inputs for the asset or liability, including the Global Valuation Committee’s assumptions used in determining the fair value of investments.

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. In accordance with the 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.


NOTESTO FINANCIAL STATEMENTS			174

Notes to Financial Statements (Continued)

iSHARES^® TRUST

The following table summarizes the value of each of the Funds’ investments according to the fair value hierarchy as of February 29, 2016. The breakdown of each Fund’s investments into major categories is disclosed in its respective schedule of investments.


iShares ETF	Level 1		Level 2			Level 3		Total
iBoxx $ High Yield Corporate Bond
Investments:
Assets:
Corporate Bonds & Notes	$	—	$	15,102,511,620		$	—	$	15,102,511,620
Money Market Funds		4,260,533,150		—			—		4,260,533,150
					��
Total	$	4,260,533,150	$	15,102,511,620		$	—	$	19,363,044,770


iBoxx $ Investment Grade Corporate Bond
Investments:
Assets:
Corporate Bonds & Notes	$	—	$	24,674,590,818		$	—	$	24,674,590,818
U.S. Government Obligations		—		39,040,799			—		39,040,799
Money Market Funds		2,582,472,820		—			—		2,582,472,820

Total	$	2,582,472,820	$	24,713,631,617		$	—	$	27,296,104,437

SECURITY TRANSACTIONS AND INCOME RECOGNITION

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

Each Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities plus the interest accrued on such securities, if any, for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan plus accrued interest, if any. The market value of the loaned securities is determined at the close of each business day of the Funds. Any additional required collateral is delivered to the Funds and any excess collateral is returned by the Funds on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.


NOTESTO FINANCIAL STATEMENTS			175

Notes to Financial Statements (Continued)

iSHARES^® TRUST

Any cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates. As of February 29, 2016, any securities on loan were collateralized by cash. The cash collateral received was invested in money market funds managed by BFA and is disclosed in the schedules of investments. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 29, 2016 and the total value of the related collateral are disclosed in the statements of assets and liabilities. Income earned by the Funds from securities lending is disclosed in the statements of operations.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Funds benefit from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities lent. Each Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 29, 2016:


iShares ETF and Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount
iBoxx $ High Yield Corporate Bond
Barclays Capital Inc.	$	296,417,330	$	296,417,330	$	—
BNP Paribas Prime Brokerage Inc.		72,772,181		72,772,181		—
Citigroup Global Markets Inc.		485,805,448		485,805,448		—
Credit Suisse Securities (USA) LLC		271,989,843		271,989,843		—
Deutsche Bank Securities Inc.		294,828,347		294,828,347		—
Goldman Sachs & Co.		286,014,330		286,014,330		—
HSBC Securities (USA) Inc.		8,316,690		8,316,690		—
Jefferies LLC		76,387,638		76,387,638		—
JPMorgan Clearing Corp.		971,899,231		971,899,231		—
JPMorgan Securities LLC		357,497,235		357,497,235		—
Merrill Lynch, Pierce, Fenner & Smith		190,153,020		190,153,020		—
Morgan Stanley & Co. LLC		228,861,166		228,861,166		—
National Financial Services LLC		92,061		92,061		—
RBC Capital Markets LLC		300,277,712		300,277,712		—
SG Americas Securities LLC		95,580,875		95,580,875		—
UBS Securities LLC		22,143,887		22,143,887		—
Wells Fargo Securities LLC		34,650,360		34,650,360		—

	$	3,993,687,354	$	3,993,687,354	$	—


176		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® TRUST


iShares ETF and Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount
iBoxx $ Investment Grade Corporate Bond
Barclays Capital Inc.	$	207,388,148	$	207,388,148	$	—
BNP Paribas Prime Brokerage Inc.		26,281,887		26,281,887		—
Citigroup Global Markets Inc.		151,176,634		151,176,634		—
Credit Suisse Securities (USA) LLC		47,598,754		47,598,754		—
Deutsche Bank Securities Inc.		88,999,057		88,999,057		—
Goldman Sachs & Co.		492,213,605		492,213,605		—
HSBC Securities (USA) Inc.		129,228,878		129,228,878		—
Jefferies LLC		51,276,550		51,276,550		—
JPMorgan Clearing Corp.		141,557,798		141,557,798		—
JPMorgan Securities LLC		260,366,516		260,366,516		—
Merrill Lynch, Pierce, Fenner & Smith		79,318,064		79,318,064		—
Morgan Stanley & Co. LLC		67,036,945		67,036,945		—
RBC Capital Markets LLC		356,760,596		356,760,596		—
Scotia Capital (USA) Inc.		6,992,109		6,992,109		—
SG Americas Securities LLC		77,475,092		77,475,092		—
UBS Securities LLC		2,580,055		2,580,055		—
Wells Fargo Securities LLC		91,976,480		91,976,480		—

	$	2,278,227,168	$	2,278,227,168	$	—

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received was in excess of the market value of securities loaned at year end and is disclosed in each Fund’s statement of assets and liabilities.

��

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

For its investment advisory services to the iShares iBoxx $ High Yield Corporate Bond ETF, BFA is entitled to an annual investment advisory fee based on the Fund’s allocable portion of the aggregate of the average daily net assets of the Fund and certain other iShares funds, as follows:


Investment Advisory Fee			Aggregate Average Daily Net Assets
	0.5000	%	First $19 billion
	0.4750	^a	Over $19 billion, up to and including $33 billion
	0.4513	^a	Over $33 billion, up to and including $58 billion
	0.4287	^a	Over $58 billion

Investment advisory fee level reflects a 5% reduction (rounded to the fourth decimal place) from the investment advisory fee at the prior aggregate average daily net asset level.


NOTESTO FINANCIAL STATEMENTS			177

Notes to Financial Statements (Continued)

iSHARES^® TRUST

For its investment advisory services to the iShares iBoxx $ Investment Grade Corporate Bond ETF, BFA is entitled to an annual investment advisory fee based on the Fund’s allocable portion of the aggregate of the average daily net assets of the Fund and certain other iShares funds, as follows:


Investment Advisory Fee			Aggregate Average Daily Net Assets
	0.1500	%	First $121 billion
	0.1425	^a	Over $121 billion, up to and including $181 billion
	0.1354	^a	Over $181 billion, up to and including $231 billion
	0.1287	^a	Over $231 billion, up to and including $281 billion
	0.1222	^a	Over $281 billion

Investment advisory fee level reflects a 5% reduction (rounded to the fourth decimal place) from the investment advisory fee at the prior aggregate average daily net asset level.

Prior to July 1, 2015, for its investment advisory services to the iShares iBoxx $ Investment Grade Corporate Bond ETF, BFA was entitled to an annual investment advisory fee based on the Fund’s allocable portion of the aggregate of the average daily net assets of the Fund and certain other iShares funds, as follows:


Investment Advisory Fee			Aggregate Average Daily Net Assets
	0.1500	%	First $121 billion
	0.1425	^a	Over $121 billion, up to and including $211 billion
	0.1354	^a	Over $211 billion

Investment advisory fee level reflects a 5% reduction (rounded to the fourth decimal place) from the investment advisory fee at the prior aggregate average daily net asset level.

The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Funds retain a portion of securities lending income and remit the remaining portion to BTC as compensation for its services as securities lending agent.


178		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® TRUST

For the year ended February 29, 2016, the total of securities lending agent services and collateral investment fees paid were as follows:


iShares ETF	Fees Paid to BTC
iBoxx $ High Yield Corporate Bond	$	4,577,634
iBoxx $ Investment Grade Corporate Bond		1,631,385

Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended February 29, 2016, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:


iShares ETF	Purchases		Sales
iBoxx $ High Yield Corporate Bond	$	—	$	25,783,754
iBoxx $ Investment Grade Corporate Bond		60,471,393		1,047,265,433

Each Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is included in “Interest – affiliated” in the statements of operations.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Funds for 1940 Act purposes.


NOTESTO FINANCIAL STATEMENTS			179

Notes to Financial Statements (Continued)

iSHARES^® TRUST

Investments in issuers considered to be affiliates of the Funds (excluding money market funds) during the year ended February 29, 2016, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:


iShares ETF and Name of Affiliated Issuer	Principal Held at Beginning of Year (000s)		Principal Purchased (000s)		Principal Sold (000s)			Principal Held at End of Year (000s)		Value at End of Year			Interest Income		Net Realized Gain (Loss)
iBoxx $ Investment Grade Corporate Bond
PNC Bank N.A.
2.20%, 01/28/19	$	17,525	$	—	$	(11,250	)	$	6,275	$	6,315,815		$	327,445	$	50,451
2.25%, 07/02/19		5,250		2,500		—			7,750		7,808,335			131,849		—
2.40%, 10/18/19		2,250		10,500		—			12,750		12,900,191			150,093		—
2.45%, 11/05/20		—		2,400		—			2,400		2,424,218			—		—
2.60%, 07/21/20		—		11,000		—			11,000		11,174,466			153,135		—
2.70%, 11/01/22		25,550		19,287		(35,250	)		9,587		9,419,403			619,444		(40,252	)
2.95%, 01/30/23		5,800		1,500		—			7,300		7,301,418			177,735		—
2.95%, 02/23/25		—		17,300		—			17,300		17,177,729			286,878		—
3.80%, 07/25/23		19,928		1,225		(5,500	)		15,653		16,476,149			630,157		166,759
PNC Financial Services Group Inc. (The)
3.90%, 04/29/24		10,470		2,070		—			12,540		12,946,641			431,415		—
PNC Funding Corp.
3.30%, 03/08/22		8,069		1,500		—			9,569		9,922,566			238,355		—
4.38%, 08/11/20		3,773		6,951		—			10,724		11,629,478			241,583		—
5.13%, 02/08/20		3,965		—		—			3,965		4,366,776			122,210		—

										$	129,863,185	��	$	3,510,299	$	176,958

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended February 29, 2016 were as follows:


	U.S. Government Obligations				Other Securities
iShares ETF	Purchases		Sales		Purchases		Sales
iBoxx $ High Yield Corporate Bond	$	—	$	—	$	2,190,025,940	$	1,565,472,187
iBoxx $ Investment Grade Corporate Bond		103,148,598		84,873,565		4,556,107,390		2,758,811,257


180		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® TRUST

In-kind transactions (see Note 4) for the year ended February 29, 2016 were as follows:


iShares ETF	In-kind Purchases		In-kind Sales
iBoxx $ High Yield Corporate Bond	$	14,673,838,874	$	15,561,804,233
iBoxx $ Investment Grade Corporate Bond		19,211,417,256		16,674,166,978

4.	*CAPITAL SHARE TRANSACTIONS*

From time to time, settlement of securities related to in-kind contributions or in-kind redemptions may be delayed. In such cases, securities related to in-kind contributions are reflected as “Due from custodian” and securities related to in-kind redemptions are reflected as “Securities related to in-kind transactions” in the statements of assets and liabilities.

5.	*PRINCIPAL RISKS*

BFA uses a “passive” or index approach to try to achieve each Fund’s investment objective following the securities included in its underlying index during upturns as well as downturns. BFA does not take steps to reduce market exposure or to lessen the effects of a declining market. Divergence from the underlying index and the composition of the portfolio is monitored by BFA.

MARKET RISK

Market risk arises mainly from uncertainty about future values of financial instruments influenced by price, currency and interest rate movements. It represents the potential loss each Fund may suffer through holding market positions in the face of market movements. Each Fund is exposed to market risk by virtue of its investment in fixed income instruments. The fair value of securities held by the Funds may decline due to general market conditions, economic trends or events that are not specifically related to the issuers of the securities including local, regional or global political, social or economic instability or to factors that affect a particular industry or group of industries. The extent of each Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s schedule of investments.


NOTESTO FINANCIAL STATEMENTS			181

Notes to Financial Statements (Continued)

iSHARES^® TRUST

Each Fund invests a substantial amount of its assets in fixed-income securities. 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 decrease as interest rates rise and increase as interest rates fall. Securities with longer durations tend to be more sensitive to interest rate changes, usually making them more volatile than securities with shorter durations. Given the environment of historically low interest rates, each Fund may be subject to a greater risk of price losses if interest rates rise.

CREDIT RISK

Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. BFA and its affiliates manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of each Fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its statement of assets and liabilities.

The iShares $ iBoxx High Yield Corporate Bond ETF invests a substantial portion of its assets in high yield securities that are rated below investment-grade (including those bonds rated lower than “BBB- “ by Standard & Poor’s Ratings Services and Fitch or “Baa3” by Moody’s), or are unrated which may be more volatile than higher-rated securities of similar maturity. High yield securities may also be subject to greater levels of credit or default risk than higher-rated securities and high yield securities may be less liquid and more difficult to sell at an advantageous time or price or to value than higher-rated securities. In particular, high yield securities are often issued by smaller, less creditworthy companies or by highly leveraged (indebted) companies, which are generally less able than more financially stable companies to make scheduled payments of interest and principal.

6.	*INCOME TAX INFORMATION*


182		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® TRUST

February 29, 2016, attributable to realized gains (losses) from in-kind redemptions, were reclassified to the following accounts:


iShares ETF	Paid-in Capital			Undistributed Net Investment Income/Distributions in Excess of Net Investment Income		Undistributed Net Realized Gain/Accumulated Net Realized Loss
iBoxx $ High Yield Corporate Bond	$	(211,898,459	)	$	—	$	211,898,459
iBoxx $ Investment Grade Corporate Bond		88,030,167			—		(88,030,167	)

The tax character of distributions paid during the years ended February 29, 2016 and February 28, 2015 was as follows:


iShares ETF	2016		2015
iBoxx $ High Yield Corporate Bond
Ordinary income	$	826,678,362	$	728,101,752


iBoxx $ Investment Grade Corporate Bond
Ordinary income	$	766,535,606	$	608,603,942

As of February 29, 2016, the tax components of accumulated net earnings (losses) were as follows:


iShares ETF	Undistributed Ordinary Income		Capital Loss Carryforwards			Net Unrealized Gains (Losses)^a			Qualified Late-Year Losses^b			Total
iBoxx $ High Yield Corporate Bond	$	62,175,544	$	(280,131,210	)	$	(1,653,404,289	)	$	(185,049,346	)	$	(2,056,409,301	)
iBoxx $ Investment Grade Corporate Bond		67,846,436		(29,965,426	)		(430,379,582	)		(101,345,649	)		(493,844,221	)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales.

The Funds have elected to defer certain qualified late-year losses and recognize such losses in the next taxable year.

As of February 29, 2016, the following Funds had capital loss carryforwards available to offset future realized capital gains through the indicated expiration dates as follows:


iShares ETF	Non- Expiring^a		Expiring 2017		Expiring 2018		Total
iBoxx $ High Yield Corporate Bond	$	273,456,668	$	6,496,723	$	177,819	$	280,131,210
iBoxx $ Investment Grade Corporate Bond		29,965,426		—		—		29,965,426

Must be utilized prior to losses subject to expiration.


NOTESTO FINANCIAL STATEMENTS			183

Notes to Financial Statements (Continued)

iSHARES^® TRUST

As of February 29, 2016, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows:


iShares ETF	Tax Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation			Net Unrealized Appreciation (Depreciation)
iBoxx $ High Yield Corporate Bond	$	21,016,449,059	$	56,792,719	$	(1,710,197,008	)	$	(1,653,404,289	)
iBoxx $ Investment Grade Corporate Bond		27,726,484,019		233,621,968		(664,001,550	)		(430,379,582	)

Management has analyzed tax laws and regulations and their application to the Funds as of February 29, 2016, 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 Funds’ financial statements.

7.	*SUBSEQUENT EVENTS*


184		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares Trust:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares iBoxx $ High Yield Corporate Bond ETF and iShares iBoxx $ Investment Grade Corporate Bond ETF (the “Funds”) at February 29, 2016, the results of each of their operations, the changes in each of their net assets and their financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 29, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

April 20, 2016


REPORTOF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM			185

Notes:


186		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)

This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

iS-AR-1010-1016

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

^Ø

iShares Interest Rate Hedged 10+ Year Credit Bond ETF | CLYH | NYSE Arca

Table of Contents


Management’s Discussion of Fund Performance			5
About Fund Performance			8
Shareholder Expenses			8
Schedule of Investments			9
Financial Statements			11
Financial Highlights			14
Notes to Financial Statements			15
Report of Independent Registered Public Accounting Firm			22
Tax Information			23
Board Review and Approval of Investment Advisory Contract			23
Supplemental Information			27
Trustee and Officer Information			29
Additional Financial Information as of October 31, 2016 (Unaudited) — iShares 10+ Year Credit Bond ETF			34
Schedule of Investments			35
Statement of Assets and Liabilities			70
Selected Audited Financial Statements as of February 29, 2016			71

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

U.S. BOND MARKET OVERVIEW


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		2.49%		(0.61)%		2.49%		(0.77)%
Fund Market		2.71%		(0.54)%		2.71%		(0.69)%
Bloomberg Barclays U.S. Long Credit Interest Rate Swaps Hedged Index		3.89%		(0.07)%		3.89%		(0.08)%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 7/22/15. The first day of secondary market trading was 7/23/15.

The Bloomberg Barclays U.S. Long Credit Interest Rate Swaps Hedged Index (formerly the Barclays U.S. Long Credit Interest Rate Swaps Hedged Index) is an unmanaged index that consists of the Bloomberg Barclays U.S. Long Credit Index plus interest rate swaps that intend to hedge the interest rate exposure of the existing Bloomberg Barclays U.S. Long Credit Index.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Annualized Expense Ratio^a
$	1,000.00	$	1,014.90	$	0.46	$	1,000.00	$	1,024.70	$	0.46		0.09%

Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests.


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

The iShares Interest Rate Hedged 10+ Year Credit Bond ETF (the “Fund”) seeks to mitigate the interest rate risk of a portfolio composed of investment-grade U.S. corporate bonds and U.S. dollar-denominated bonds, including those of non-U.S. corporations and governments, with remaining maturities greater than ten years. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index.

The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares 10+ Year Credit Bond ETF. The Fund attempts to mitigate the interest rate risk of the underlying fund by holding short positions in U.S. Treasury futures or interest rate swaps. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 2.49%, net of fees.

The Fund’s performance was largely driven by strong investor demand for yield in a low interest rate environment, which narrowed the difference in yield between U.S. Treasuries and corporate bonds. Corporate bonds — which typically offer higher yields than U.S. Treasuries — outperformed all other sectors of the bond market. Higher-quality corporate bonds trailed high-yield bonds, as the search for yield led investors to seek out riskier segments of the corporate bond market.

Every sector of the Fund contributed positively to performance for the reporting period. Corporate bonds, which represented approximately 82% of the Fund on average during the reporting period, contributed the majority of the Fund’s return. Within the corporate sector, industrial bonds contributed the most to Fund performance, led by the consumer-oriented and communications industries. The Fund’s energy bonds also performed well as oil and gas prices rebounded in the second half of the reporting period. Financial bonds also helped Fund performance for the reporting period, with the banking and insurance industries contributing the most to performance.

Non-corporate credit securities also contributed to the Fund’s return for the reporting period. These securities tend to be higher quality than corporate bonds, and consequently offer lower yields.

From a credit quality perspective, the Fund’s position in medium-quality bonds — those rated A and Baa, which represented approximately 80% of the Fund on average for the reporting period — delivered the largest contribution to the Fund’s return.

ALLOCATION BY INVESTMENT TYPE¹

As of 10/31/16


Investment Type		Percentage of Total Investments²


Corporate Bonds & Notes	86.46	%
Municipal Debt Obligations	7.97
Foreign Government Obligations	5.57

TOTAL	100.00	%

ALLOCATION BY CREDIT QUALITY¹

As of 10/31/16


Moody’s Credit Rating³		Percentage of Total Investments²


Aaa	3.69	%
Aa	12.78
A	36.40
Baa	42.61
Ba	3.44
B	0.01
Not Rated	1.07

TOTAL	100.00	%

Table shown is for the iShares 10+ Year Credit Bond ETF, the underlying fund in which the Fund invests.

Excludes money market funds.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			7

About Fund Performance

Shareholder Expenses

Actual Expenses — The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

Hypothetical Example for Comparison Purposes — The table also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security	Shares		Value
INVESTMENT COMPANIES — 91.01%

EXCHANGE-TRADED FUNDS — 91.01%
iShares 10+ Year Credit Bond ETF^a		124,896	$	7,666,116

				7,666,116

TOTAL INVESTMENT COMPANIES
(Cost: $7,252,392)				7,666,116

SHORT-TERM INVESTMENTS — 4.49%

MONEY MARKET FUNDS — 4.49%
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^b,c		377,931		377,931

				377,931

TOTAL SHORT-TERM INVESTMENTS
(Cost: $377,931)				377,931


	Value
TOTAL INVESTMENTS IN SECURITIES — 95.50%
(Cost: $7,630,323)^d	$	8,044,047
Other Assets, Less Liabilities — 4.50%		379,159

NET ASSETS — 100.00%	$	8,423,206

^a	Affiliated issuer. See Schedule 1.

^b	Affiliated money market fund.

^c	The rate quoted is the annualized seven-day yield of the fund at period end.

^d	The cost of investments for federal income tax purposes was $7,630,882. Net unrealized appreciation was $413,165, of which $413,165 represented gross unrealized appreciation on securities and $ — represented gross unrealized depreciation on securities.

Schedule 1 — Affiliates (Note 2)


Affiliated issuer	Shares held at beginning of year		Shares purchased		Shares sold			Shares held at end of year		Value at end of year		Dividend income		Net realized gain (loss)
iShares 10+ Year Credit Bond ETF		134,996		27,692		(37,792	)		124,896	$	7,666,116	$	300,645	$	(22,436	)

Schedule 2 — Swaps Contracts (Note 5)

Centrally cleared short interest rate swaps outstanding as of October 31, 2016 were as follows:


Fixed rate^a	Floating rate^a		Clearinghouse		Expiration date		Notional amount			Value		Premiums paid (received)			Unrealized appreciation (depreciation)
1.01%		3-month LIBOR		Chicago Mercantile		12/08/2018	$	(500,000	)	$	1,004	$	60		$	944
1.17%		3-month LIBOR		Chicago Mercantile		12/08/2021		(1,000,000	)		9,945		86			9,859
1.44%		3-month LIBOR		Chicago Mercantile		12/08/2026		(2,150,000	)		59,738		(2,042	)		61,780
1.70%		3-month LIBOR		Chicago Mercantile		12/08/2036		(2,500,000	)		140,002		(10,052	)		150,054
1.77%		3-month LIBOR		Chicago Mercantile		12/08/2046		(1,500,000	)		114,197		(12,718	)		126,915

								Net unrealized appreciation							$	349,552

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


SCHEDULEOF INVESTMENTS			9

Schedule of Investments (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

October 31, 2016

Schedule 3 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Investment companies	$	7,666,116	$	—	$	—	$	7,666,116
Money market funds		377,931		—		—		377,931

Total	$	8,044,047	$	—	$	—	$	8,044,047

Derivative financial instruments^a:
Assets:
Centrally cleared interest rate swaps	$	—	$	349,552	$	—	$	349,552

Total	$	—	$	349,552	$	—	$	349,552

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to financial statements.


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statement of Assets and Liabilities

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

October 31, 2016



ASSETS
Investments, at cost:
Affiliated (Note 2)	$	7,630,323

Total cost of investments	$	7,630,323

Investments in securities, at fair value (Note 1):
Affiliated (Note 2)	$	8,044,047

Total fair value of investments		8,044,047
Cash		6,000
Cash pledged for centrally cleared swaps		395,000
Receivables:
Dividends		61

Total Assets		8,445,108


LIABILITIES
Payables:
Investment advisory fees (Note 2)		714
Variation margin on centrally cleared swaps		21,188

Total Liabilities		21,902


NET ASSETS	$	8,423,206


Net assets consist of:
Paid-in capital	$	8,497,973
Accumulated net realized loss		(838,043	)
Net unrealized appreciation		763,276

NET ASSETS	$	8,423,206


Shares outstanding^a		350,000


Net asset value per share	$	24.07

^a	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			11

Statement of Operations

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

Year ended October 31, 2016



NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	301,142

Total investment income		301,142


EXPENSES
Investment advisory fees (Note 2)		27,175

Total expenses		27,175
Less investment advisory fees waived (Note 2)		(19,375	)

Net expenses		7,800

Net investment income		293,342


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated (Note 2)		(317	)
In-kind redemptions — affiliated (Note 2)		(22,122	)
Swap agreements		(914,198	)
Realized gain distributions from affiliated funds		1

Net realized loss		(936,636	)

Net change in unrealized appreciation/depreciation on:
Investments		381,314
Swap agreements		407,714

Net change in unrealized appreciation/depreciation		789,028

Net realized and unrealized loss		(147,608	)

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	145,734

See notes to financial statements.


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF


	Year ended October 31, 2016			Period from July 22, 2015^a to October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	293,342		$	40,904
Net realized loss		(936,636	)		(35,744	)
Net change in unrealized appreciation/depreciation		789,028			(25,752	)

Net increase (decrease) in net assets resulting from operations		145,734			(20,592	)


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(200,730	)		(22,101	)
Return of capital		(6,500	)		(11,253	)

Total distributions to shareholders		(207,230	)		(33,354	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		1,201,441			8,483,227
Cost of shares redeemed		(1,146,020	)		—

Net increase in net assets from capital share transactions		55,421			8,483,227

INCREASE (DECREASE) IN NET ASSETS		(6,075	)		8,429,281

NET ASSETS
Beginning of period		8,429,281			—

End of period	$	8,423,206		$	8,429,281


SHARES ISSUED AND REDEEMED
Shares sold		50,000			350,000
Shares redeemed		(50,000	)		—

Net increase in shares outstanding		—			350,000

^a	Commencement of operations.

See notes to financial statements.


FINANCIAL STATEMENTS			13

Financial Highlights

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

(For a share outstanding throughout each period)


	Year ended Oct. 31, 2016			Period from Jul. 22, 2015^a to Oct. 31, 2015
Net asset value, beginning of period	$	24.08		$	25.10

Income from investment operations:
Net investment income^b		0.89			0.26
Net realized and unrealized loss^c		(0.28	)		(1.09	)

Total from investment operations		0.61			(0.83	)

Less distributions from:
Net investment income		(0.60	)		(0.13	)
Return of capital		(0.02	)		(0.06	)

Total distributions		(0.62	)		(0.19	)

Net asset value, end of period	$	24.07		$	24.08


Total return		2.49	%^d		(3.19	)%^d,e


Ratios/Supplemental data:
Net assets, end of period (000s)	$	8,423		$	8,429
Ratio of expenses to average net assets^f,g		0.10	%		0.12	%
Ratio of expenses to average net assets prior to waived fees^f,g		0.35	%		0.35	%
Ratio of net investment income to average net assets^f		3.78	%		3.80	%
Portfolio turnover rate^h,i		9	%		4	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

The total return disclosed is based on the net asset value (“NAV”) calculated daily for the creation and redemption of shares in the Fund, which may differ from the NAV calculated for financial reporting purposes. Based on the NAV calculated for financial reporting purposes, the total returns for the year ended October 31, 2016 and the period ended October 31, 2015 were 2.62% and -3.31%, respectively.

^e	Not annualized.

^f	Annualized for periods of less than one year.

^g	The Fund indirectly bears its proportionate share of fees and expenses incurred by the underlying fund in which the Fund is invested. These ratios do not include these indirect fees and expenses.

^h	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

ⁱ	Portfolio turnover rates exclude the portfolio activity of the underlying fund in which the Fund is invested.

See notes to financial statements.


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

These financial statements relate only to the following fund (the “Fund”):

iShares ETF

Diversification

Classification

Interest Rate Hedged 10+ Year Credit Bond

Diversified

Currently the Fund seeks to achieve its investment objective by investing a substantial portion of its assets in an exchange-traded fund of iShares Trust (an “underlying fund”), an affiliate of the Fund. The financial statements and schedules of investments for the underlying fund can be found elsewhere in this report and should be read in conjunction with the Fund’s financial statements.

Pursuant to the Trust’s organizational documents, the Fund’s officers and trustees are indemnified against certain liabilities that may arise out of the performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts with service providers that contain general indemnification clauses. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

The following significant accounting policies are consistently followed by the Fund in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies.

SECURITY VALUATION

The Fund’s investments are valued at fair value each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date should the reporting period end on a day that the Fund’s listing exchange is not open. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) provides oversight of the valuation of investments for the Fund. The investments of the Fund are valued pursuant to policies and procedures developed by the Global Valuation Committee and approved by the Board of Trustees of the Trust (the “Board”).

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•


NOTESTO FINANCIAL STATEMENTS			15

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for the Fund’s investments is included in its schedule of investments.

SECURITY TRANSACTIONS AND INCOME RECOGNITION

Security transactions are accounted for on trade date. Dividend income and capital gain distributions from the Underlying Funds, if any, are recognized on the ex-dividend date. Interest income is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

DISTRIBUTIONS TO SHAREHOLDERS

Dividends and distributions paid by the Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Fund.

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

Pursuant to an Investment Advisory Agreement with the Trust, BlackRock Fund Advisors (“BFA”) manages the investment of the Fund’s assets. BFA is a California corporation indirectly owned by BlackRock, Inc. (“BlackRock”). Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Fund, except interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution fees, litigation expenses and any extraordinary expenses.

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee of 0.35% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA has contractually agreed to reduce its investment advisory fee for the Fund through February 28, 2022 so that the investment advisory fee is equal to the acquired fund fees and expenses that would be been experienced by the Fund related to its investments in the iShares 10+ Year Credit Bond ETF (“CLY”), after taking into account any fee waivers by CLY, plus 0.10%.

BlackRock Investments, LLC, an affiliate of BFA, is the distributor for the Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Fund.

The Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is included in “Dividends – affiliated” in the statement of operations.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Fund for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BlackRock Institutional Trust Company, N.A. and/or BFA.

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016, were $611,569 and $1,120,948, respectively.

In-kind purchases and sales (see Note 4) for the year ended October 31, 2016, were $1,129,399 and $1,075,051, respectively.

4.	*CAPITAL SHARE TRANSACTIONS*

Capital shares are issued and redeemed by the Fund only in aggregations of a specified number of shares or multiples thereof (“Creation Units”) at NAV. Except when aggregated in Creation Units, shares of the Fund are not redeemable. Transactions in capital shares for the Fund are disclosed in detail in the statements of changes in net assets.


NOTESTO FINANCIAL STATEMENTS			17

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in “Proceeds from shares sold” in the statement of changes in net assets.

5.	*INTEREST RATE SWAPS*

The Fund may enter into short positions in interest rate swaps in an attempt to mitigate interest rate risk by economically hedging the value of fixed rate bonds, which may decrease when interest rates rise (interest rate risk). Interest rate swaps are agreements in which one party pays a stream of interest payments, either fixed or floating, for another party’s stream of interest payments, either fixed or floating, on the same notional amount for a specified period of time. Interest rate swaps are marked-to-market daily and changes in value are recorded as unrealized appreciation (depreciation). Swap agreements are privately negotiated in the over-the-counter market. The Fund enters into centrally cleared interest rate swaps.

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

Swap transactions involve, to varying degrees, elements of interest rate, credit and market risks in excess of the amounts recognized in the statement 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.

The following table shows the value of interest rate swaps held by the Fund as of October 31, 2016 and the related locations in the statement of assets and liabilities, presented by risk exposure category:


Assets
Centrally cleared interest rate swaps:
Variation margin / Net assets consist of – net unrealized appreciation^a	$	349,552

Represents cumulative appreciation of centrally cleared interest rate swaps as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities.


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

The following table shows the realized and unrealized gains (losses) on interest rate swaps held by the Fund during the year ended October 31, 2016 and the related locations in the statement of operations, presented by risk exposure category:


	Net Realized Gain (Loss)			Net Change in Unrealized Appreciation/Depreciation
Centrally cleared interest rate swaps:
Swap agreements	$	(914,198	)	$	407,714

For the year ended October 31, 2016, the average quarter-end notional amount of open interest rate swaps for the Fund (where the Fund pays the fixed rate), was $6,386,000.

6.	*PRINCIPAL RISKS*

In the normal course of business, the Fund’s investment activities expose it to various types of risk associated with the financial instruments and markets in which it invests. The significant types of financial risks the Fund is exposed to include market risk and credit risk. The Fund’s prospectus provides details of these and other types of risk.

MARKET RISK

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its schedule of investments.

CREDIT RISK


NOTESTO FINANCIAL STATEMENTS			19

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

7.	*INCOME TAX INFORMATION*

The Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is the policy of the Fund to qualify as a regulated investment company by complying with the provisions applicable to regulated investment companies, as defined under Subchapter M of the Internal Revenue Code of 1986, as amended, and to annually distribute substantially all of its ordinary income and any net capital gains (taking into account any capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income and excise taxes. Accordingly, no provision for federal income taxes is required.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. The following permanent differences as of October 31, 2016, attributable to the accounting for swap agreements and realized gains (losses) from in-kind redemptions, were reclassified to the following accounts:

Paid-in
Capital

Undistributed

Net Investment

Income/Distributions
in Excess of Net
Investment Income

Undistributed

Net Realized

Gain/Accumulated

Net Realized Loss

$(22,922)

(92,612)

115,534

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


	2016		2015
Ordinary income	$	200,730	$	22,101
Return of capital		6,500		11,253

	$	207,230	$	33,354

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


Capital Loss Carryforwards	Net Unrealized Gains (Losses)^a		Total
$(837,484)	$	762,717	$	(74,767)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales.

As of October 31, 2016, the Fund had non-expiring capital loss carryforwards in amount of $837,484 available to offset future realized capital gains.

Management has analyzed tax laws and regulations and their application to the Fund as of October 31, 2016, 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 Fund’s financial statements.


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

8.	*SUBSEQUENT EVENTS*

Management has evaluated the impact of all subsequent events on the Fund through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or disclosure in the financial statements.


NOTESTO FINANCIAL STATEMENTS			21

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares Interest Rate Hedged 10+ Year Credit Bond ETF (the “Fund”) at October 31, 2016, the results of its operations, the changes in its net assets and its financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Tax Information (Unaudited)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

For the fiscal year ended October 31, 2016, the Fund hereby designates $194,233 as the maximum amount allowable as interest-related dividends eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations.

Board Review and Approval of Investment Advisory

Contract

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			23

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

reimbursements) of the funds in its Peer Group, excluding iShares funds. The Board further noted that the Fund’s Peer Group contained only four comparison funds identified by Broadridge, excluding iShares funds.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

ancillary revenue with management, including the revenues to BTC from securities lending by the Fund. The Board also discussed BFA’s profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below). Based on this review, the Board concluded that the profits realized by BFA and its affiliates under the Advisory Contract and from other relationships between the Fund and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors considered.

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do not manage Other Accounts with a similar investment strategy or investment mandate as the Fund. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Fund, including in terms of the different and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			25

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are provided 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 the Fund’s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.


Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income			Net Realized Capital Gains			Return of Capital			Total Per Share
$	0.603924	$	—	$	0.019899	$	0.623823		97	%		—	%		3	%		100	%

Premium/Discount Information

The following information shows the frequency of distributions of premiums and discounts for the Fund. The information shown for the Fund is for five calendar years (or from the inception date of the Fund if less than five years) through the date of the most recent calendar quarter-end. The specific periods covered for the Fund are disclosed in the table for the Fund.


SUPPLEMENTAL INFORMATION			27

Supplemental Information (Unaudited) (Continued)

iSHARES^® INTEREST RATE HEDGED 10+ YEAR CREDIT BOND ETF

Period Covered: July 22, 2015 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 1.5% and Less than 2.0%		1		0.33	%
Greater than 1.0% and Less than 1.5%		5		1.65
Greater than 0.5% and Less than 1.0%		11		3.63
Between 0.5% and –0.5%		274		90.43
Less than –0.5% and Greater than –1.0%		12		3.96

		303		100	%


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of closed-end funds, two complexes of open-end funds and one complex of exchange-traded funds (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). The Fund is included in the BlackRock Fund Complex referred to as the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares Trust, and, as a result, oversees a total of 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. Mr. Lawton also serves as an Advisory Board Member for iShares, Inc. and iShares Trust with respect to 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. With the exception of Robert S. Kapito, Mark Wiedman and Benjamin Archibald, the address of each Trustee, Advisory Board Member and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Wiedman, and Mr. Archibald is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52^nd Street, New York, NY 10055. The Board has designated Cecilia H. Herbert as its Independent Board Chair. Additional information about the Fund’s Trustees and officers may be found in the Fund’s combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

Interested Trustees

^a	Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

^b	Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS			29

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Directors^c (Continued)

^c	Robert H. Silver served as an Independent Trustee until March 31, 2016.


TRUSTEEAND OFFICER INFORMATION			31

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

^d	Manish Mehta served as President until October 15, 2016.


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Advisory Board Member


TRUSTEEAND OFFICER INFORMATION			33

Additional Financial Information

Schedule of Investments (Unaudited)

October 31, 2016

Statement of Assets and Liabilities (Unaudited)

October 31, 2016

Audited Financial Statements

February 29, 2016

iShares Trust

iShares 10+ Year Credit Bond ETF | CLY | NYSE Arca


34

Schedule of Investments (Unaudited)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
CORPORATE BONDS & NOTES — 84.55%

ADVERTISING — 0.03%
WPP Finance 2010
5.13%, 09/07/42		$	55	$	58,149
5.63%, 11/15/43			229		264,179

					322,328
AEROSPACE & DEFENSE — 1.59%
Boeing Co. (The)
3.30%, 03/01/35	(Call 09/01/34)		275		272,377
3.38%, 06/15/46	(Call 12/15/45)		600		579,636
3.50%, 03/01/45	(Call 09/01/44)		403		398,531
6.63%, 02/15/38			16		22,603
6.88%, 03/15/39^a			282		413,181
General Dynamics Corp.
3.60%, 11/15/42	(Call 05/15/42)		406		406,755
Lockheed Martin Corp.
3.60%, 03/01/35	(Call 09/01/34)		419		415,849
3.80%, 03/01/45	(Call 09/01/44)		624		620,081
4.07%, 12/15/42			1,450		1,501,171
4.50%, 05/15/36	(Call 11/15/35)^a		775		864,520
4.70%, 05/15/46	(Call 11/15/45)		1,009		1,145,558
4.85%, 09/15/41			400		453,940
Series B
6.15%, 09/01/36			189		245,980
Northrop Grumman Corp.
3.85%, 04/15/45	(Call 10/15/44)		100		100,783
4.75%, 06/01/43			451		512,512
5.05%, 11/15/40			311		358,633
Northrop Grumman Systems Corp.
7.75%, 02/15/31			555		806,498
Raytheon Co.
4.20%, 12/15/44	(Call 06/15/44)		218		240,441
4.70%, 12/15/41			378		438,703
4.88%, 10/15/40			112		131,772
7.20%, 08/15/27			155		213,551
Rockwell Collins Inc.
4.80%, 12/15/43	(Call 06/15/43)		261		291,172
United Technologies Corp.
3.75%, 11/01/46	(Call 05/01/46)		500		497,335
4.15%, 05/15/45	(Call 11/16/44)		625		659,719
4.50%, 06/01/42			2,700		2,952,801
5.40%, 05/01/35			11		13,262
5.70%, 04/15/40			572		727,887


Security		Principal (000s)		Value
6.05%, 06/01/36		$	196	$	253,054
6.13%, 07/15/38			18		23,892
6.70%, 08/01/28			775		1,056,496
7.50%, 09/15/29			114		167,396

					16,786,089
AGRICULTURE — 1.14%
Altria Group Inc.
3.88%, 09/16/46	(Call 03/16/46)		350		345,450
4.25%, 08/09/42			400		415,244
4.50%, 05/02/43			411		444,196
5.38%, 01/31/44			1,702		2,076,338
Archer-Daniels-Midland Co.
4.02%, 04/16/43			799		836,633
4.54%, 03/26/42			378		423,874
Lowe’s Companies Inc.
4.25%, 09/15/44	(Call 03/15/44)		407		436,064
Philip Morris International Inc.
3.88%, 08/21/42			26		25,727
4.13%, 03/04/43			217		222,069
4.25%, 11/10/44^a			1,850		1,946,903
4.38%, 11/15/41			86		91,242
4.50%, 03/20/42			171		184,907
4.88%, 11/15/43			430		489,056
6.38%, 05/16/38			929		1,249,951
Reynolds American Inc.
5.70%, 08/15/35	(Call 02/15/35)		136		164,065
5.85%, 08/15/45	(Call 02/15/45)		1,300		1,621,243
6.15%, 09/15/43			381		488,202
7.25%, 06/15/37^a			403		553,549

					12,014,713
AIRLINES — 0.40%
American Airlines 2014-1 Pass Through Trust Class A
3.70%, 04/01/28^a			0		0
American Airlines 2015-1 Pass Through Trust Class A
3.38%, 11/01/28			1,207		1,230,937
American Airlines 2016-1 Pass Through Trust Class AA
3.58%, 07/15/29			18		18,876
American Airlines 2016-2 Pass Through Trust Class AA
3.20%, 12/15/29			84		85,380


SCHEDULEOF INVESTMENTS			35

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
American Airlines Pass Through Trust Series 2016-3, Class AA
3.00%, 04/15/30		$	1,000	$	1,006,180
Latam Airlines 2015-1 Pass Through Trust A
4.20%, 08/15/29			484		475,263
United Airlines 2014-2 Pass Through Trust Class A
3.75%, 03/03/28^a			565		593,075
United Airlines 2015-1 Pass Through Trust Class AA
3.45%, 06/01/29			79		82,944
United Airlines 2016-2 Class AA Pass Through Trust Series AA
2.88%, 04/07/30			750		751,320

					4,243,975
APPAREL — 0.15%
NIKE Inc.
3.38%, 11/01/46	(Call 05/01/46)		250		242,602
3.63%, 05/01/43	(Call 11/01/42)		300		303,261
3.88%, 11/01/45	(Call 05/01/45)		600		626,964
VF Corp.
6.00%, 10/15/33			150		186,642
6.45%, 11/01/37			201		268,444

					1,627,913
AUTO MANUFACTURERS — 0.86%
Daimler Finance North America LLC
8.50%, 01/18/31			950		1,521,378
Ford Holdings LLC
9.30%, 03/01/30			300		425,067
Ford Motor Co.
4.75%, 01/15/43^a			1,186		1,185,087
6.38%, 02/01/29			350		421,438
6.63%, 10/01/28^a			16		19,863
7.40%, 11/01/46			114		159,963
7.45%, 07/16/31			1,300		1,703,910
General Motors Co.
5.00%, 04/01/35^a			102		103,657
5.20%, 04/01/45			800		813,000
6.25%, 10/02/43			700		801,500


Security		Principal (000s)		Value
6.60%, 04/01/36	(Call 10/01/35)	$	1,400	$	1,646,750
6.75%, 04/01/46	(Call 10/01/45)		190		232,750

					9,034,363
AUTO PARTS & EQUIPMENT — 0.22%
BorgWarner Inc.
4.38%, 03/15/45	(Call 09/15/44)		185		186,597
Delphi Automotive PLC
4.40%, 10/01/46	(Call 04/01/46)		700		689,640
Johnson Controls Inc.
4.63%, 07/02/44	(Call 01/02/44)		300		317,046
4.95%, 07/02/64	(Call 01/02/64)		107		107,471
5.25%, 12/01/41	(Call 06/01/41)		5		5,692
5.70%, 03/01/41			5		5,939
6.00%, 01/15/36			791		960,701

					2,273,086
BANKS — 7.86%
Bank of America Corp.
3.25%, 10/21/27	(Call 10/21/26)		2,000		2,002,920
4.25%, 10/22/26			—		—
4.88%, 04/01/44			1,360		1,545,314
5.00%, 01/21/44			1,603		1,828,751
5.88%, 02/07/42			570		719,123
6.11%, 01/29/37			1,400		1,694,476
6.75%, 06/01/28			14		17,148
7.75%, 05/14/38			800		1,131,896
Series L
4.75%, 04/21/45^a			8		8,328
Bank of America N.A.
6.00%, 10/15/36			250		313,933
Bank of New York Mellon Corp. (The)
3.00%, 10/30/28	(Call 07/30/28)		85		84,926
Bank One Corp.
7.63%, 10/15/26			481		633,818
8.00%, 04/29/27			229		308,032
Barclays PLC
5.25%, 08/17/45			810		882,835
Branch Banking & Trust Co.
3.80%, 10/30/26	(Call 09/30/26)		528		565,947
Citigroup Inc.
4.13%, 07/25/28^a			350		358,284
4.30%, 11/20/26			1,250		1,303,425
4.45%, 09/29/27^a			2,425		2,552,846


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
4.65%, 07/30/45		$	750	$	823,245
4.75%, 05/18/46			250		256,432
5.30%, 05/06/44			515		564,950
5.88%, 02/22/33			266		304,514
5.88%, 01/30/42			900		1,143,837
6.00%, 10/31/33			266		311,643
6.13%, 08/25/36			500		592,855
6.63%, 01/15/28			11		13,678
6.63%, 06/15/32			575		715,260
6.68%, 09/13/43			296		378,871
6.88%, 02/15/98			100		137,055
8.13%, 07/15/39			1,510		2,307,824
Cooperatieve Rabobank UA
5.25%, 05/24/41			1,050		1,281,871
5.25%, 08/04/45			291		326,528
5.75%, 12/01/43			850		1,019,592
Credit Suisse Group Funding Guernsey Ltd.
4.88%, 05/15/45^a			1,036		1,085,148
Fifth Third Bancorp.
8.25%, 03/01/38			544		784,747
First Republic Bank/CA
4.38%, 08/01/46	(Call 02/01/46)		250		237,752
Goldman Sachs Group Inc. (The)
4.75%, 10/21/45	(Call 04/21/45)		1,200		1,314,204
4.80%, 07/08/44	(Call 01/08/44)		1,100		1,195,964
5.15%, 05/22/45^a			1,000		1,078,420
5.95%, 01/15/27			850		992,367
6.13%, 02/15/33			1,700		2,102,390
6.25%, 02/01/41			1,500		1,926,990
6.45%, 05/01/36			650		789,445
6.75%, 10/01/37			2,965		3,732,401
HSBC Bank PLC
7.65%, 05/01/25			100		123,984
HSBC Bank USA N.A./New York NY
5.63%, 08/15/35			1,750		2,044,998
HSBC Holdings PLC
5.25%, 03/14/44			1,400		1,535,758
6.10%, 01/14/42			416		538,346
6.50%, 05/02/36			1,056		1,314,467
6.50%, 09/15/37			1,007		1,260,532
6.80%, 06/01/38			600		777,276
7.63%, 05/17/32			371		491,957


Security		Principal (000s)		Value
JPMorgan Chase & Co.
2.95%, 10/01/26	(Call 07/01/26)	$	—	$	—
4.13%, 12/15/26			1,321		1,395,663
4.25%, 10/01/27^a			1,718		1,830,254
4.85%, 02/01/44^a			1,543		1,793,799
4.95%, 06/01/45^a			718		787,129
5.40%, 01/06/42			1,862		2,254,938
5.50%, 10/15/40			517		631,598
5.60%, 07/15/41			746		925,525
5.63%, 08/16/43			419		491,428
6.40%, 05/15/38			945		1,270,165
KfW
0.01%, 04/18/36			1,500		871,050
0.01%, 06/29/37^a			1,200		676,884
Lloyds Banking Group PLC
5.30%, 12/01/45^b			500		523,565
Morgan Stanley
3.95%, 04/23/27			1,350		1,387,368
4.30%, 01/27/45			1,200		1,257,696
4.35%, 09/08/26			400		423,628
6.38%, 07/24/42			1,155		1,544,224
7.25%, 04/01/32			1,000		1,366,970
Regions Financial Corp.
7.38%, 12/10/37			475		591,071
Travelers Companies Inc. (The)
4.30%, 08/25/45	(Call 02/25/45)		175		194,050
Wachovia Corp.
5.50%, 08/01/35			481		547,787
6.55%, 10/15/35			150		187,790
7.50%, 04/15/35			57		75,853
Wells Fargo & Co.
3.90%, 05/01/45			2,463		2,467,729
4.30%, 07/22/27^a			2,385		2,535,732
4.40%, 06/14/46			500		502,335
4.65%, 11/04/44			2,430		2,510,773
4.90%, 11/17/45			940		1,010,303
5.38%, 02/07/35			341		402,390
5.38%, 11/02/43			400		456,352
5.61%, 01/15/44			1,956		2,298,124
Wells Fargo Capital X
5.95%, 12/01/86			311		336,965

					83,006,441


SCHEDULEOF INVESTMENTS			37

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
BEVERAGES — 2.50%
Anheuser-Busch Companies LLC
5.95%, 01/15/33		$	21	$	25,542
6.45%, 09/01/37			200		263,558
Anheuser-Busch InBev Finance Inc.
4.00%, 01/17/43			200		200,532
4.63%, 02/01/44			245		269,936
4.70%, 02/01/36	(Call 08/01/35)		4,200		4,673,844
4.90%, 02/01/46	(Call 08/01/45)		6,550		7,479,314
Anheuser-Busch InBev Worldwide Inc.
3.75%, 07/15/42			1,200		1,172,808
6.38%, 01/15/40			300		398,994
8.00%, 11/15/39			136		211,525
8.20%, 01/15/39			935		1,473,448
Brown-Forman Corp.
3.75%, 01/15/43	(Call 07/15/42)		309		300,577
4.50%, 07/15/45	(Call 01/15/45)^a		118		130,286
Coca-Cola FEMSA SAB de CV
5.25%, 11/26/43			271		317,422
Diageo Capital PLC
3.88%, 04/29/43	(Call 10/29/42)		136		138,229
5.88%, 09/30/36			650		839,397
Diageo Investment Corp.
4.25%, 05/11/42			507		546,064
7.45%, 04/15/35			11		16,121
Dr Pepper Snapple Group Inc.
4.50%, 11/15/45	(Call 05/15/45)		300		325,635
7.45%, 05/01/38			90		129,131
Fomento Economico Mexicano SAB de CV
4.38%, 05/10/43			364		371,033
Molson Coors Brewing Co.
4.20%, 07/15/46	(Call 01/15/46)		915		919,227
5.00%, 05/01/42			906		1,013,678
Pepsi Bottling Group Inc. (The) Series B
7.00%, 03/01/29			950		1,356,933
PepsiAmericas Inc.
5.50%, 05/15/35			11		13,514
PepsiCo Inc.
3.45%, 10/06/46	(Call 04/06/46)		500		477,590
3.60%, 08/13/42			532		526,717
4.00%, 03/05/42			207		216,537
4.25%, 10/22/44	(Call 04/22/44)		509		551,883
4.45%, 04/14/46	(Call 10/14/45)		1,075		1,203,785


Security		Principal (000s)		Value
4.60%, 07/17/45	(Call 01/17/45)	$	280	$	319,724
4.88%, 11/01/40			196		228,193
5.50%, 01/15/40			246		310,191

					26,421,368
BIOTECHNOLOGY — 1.66%
Amgen Inc.
4.40%, 05/01/45	(Call 11/01/44)		1,094		1,114,337
4.56%, 06/15/48	(Call 12/15/47)^b		1,250		1,279,888
4.66%, 06/15/51	(Call 12/15/50)^b		3,800		3,921,752
4.95%, 10/01/41			205		221,289
5.15%, 11/15/41	(Call 05/15/41)		125		138,353
Biogen Inc.
5.20%, 09/15/45	(Call 03/15/45)		1,050		1,184,368
Celgene Corp.
4.63%, 05/15/44	(Call 11/15/43)		525		530,308
5.00%, 08/15/45	(Call 02/15/45)		1,100		1,184,370
5.25%, 08/15/43			500		549,140
Gilead Sciences Inc.
2.95%, 03/01/27	(Call 12/01/26)		1,250		1,236,350
4.15%, 03/01/47	(Call 09/01/46)		950		939,151
4.50%, 02/01/45	(Call 08/01/44)		1,426		1,486,776
4.60%, 09/01/35	(Call 03/01/35)		764		822,828
4.75%, 03/01/46	(Call 09/01/45)		1,469		1,592,940
4.80%, 04/01/44	(Call 10/01/43)		593		644,425
5.65%, 12/01/41	(Call 06/01/41)		536		648,758

					17,495,033
BUILDING MATERIALS — 0.04%
Owens Corning
7.00%, 12/01/36			299		373,954
Vulcan Materials Co.
7.15%, 11/30/37			7		8,558

					382,512
CHEMICALS — 1.44%
Agrium Inc.
4.13%, 03/15/35	(Call 09/15/34)		87		84,464
4.90%, 06/01/43	(Call 12/01/42)		436		453,266
5.25%, 01/15/45	(Call 07/15/44)		254		280,408
6.13%, 01/15/41	(Call 07/15/40)^a		268		318,770
7.13%, 05/23/36^a			100		127,871
Albemarle Corp.
5.45%, 12/01/44	(Call 06/01/44)		261		291,764
Dow Chemical Co. (The)
4.25%, 10/01/34	(Call 04/01/34)^a		900		912,879


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
4.38%, 11/15/42	(Call 05/15/42)	$	86	$	86,310
4.63%, 10/01/44	(Call 04/01/44)^a		1,000		1,043,500
5.25%, 11/15/41	(Call 05/15/41)		535		587,912
7.38%, 11/01/29			250		337,240
9.40%, 05/15/39			400		639,312
Eastman Chemical Co.
4.65%, 10/15/44	(Call 04/15/44)^a		700		704,900
4.80%, 09/01/42	(Call 03/01/42)		280		282,114
Ecolab Inc.
5.50%, 12/08/41			538		666,399
EI du Pont de Nemours & Co.
4.15%, 02/15/43			423		417,552
4.90%, 01/15/41			496		538,309
5.60%, 12/15/36^a			11		12,969
Lubrizol Corp.
6.50%, 10/01/34			120		157,896
LYB International Finance BV
4.88%, 03/15/44	(Call 09/15/43)		710		751,464
5.25%, 07/15/43			200		220,428
LyondellBasell Industries NV
4.63%, 02/26/55	(Call 08/26/54)		700		667,464
Methanex Corp.
5.65%, 12/01/44	(Call 06/01/44)^a		200		171,750
Monsanto Co.
3.60%, 07/15/42	(Call 01/15/42)		240		209,995
3.95%, 04/15/45	(Call 10/15/44)		215		202,992
4.20%, 07/15/34	(Call 01/15/34)		573		567,196
4.40%, 07/15/44	(Call 01/15/44)		800		798,896
4.65%, 11/15/43	(Call 05/15/43)		24		24,076
4.70%, 07/15/64	(Call 01/15/64)		275		256,806
5.88%, 04/15/38			11		12,680
Series 1
5.50%, 07/30/35^a			100		112,140
Mosaic Co. (The)
5.45%, 11/15/33	(Call 05/15/33)^a		208		210,246
5.63%, 11/15/43	(Call 05/15/43)^a		486		492,308
Potash Corp. of Saskatchewan Inc.
5.63%, 12/01/40^a			569		649,781
5.88%, 12/01/36			101		118,161
PPG Industries Inc.
5.50%, 11/15/40^a			14		16,487
Praxair Inc.
3.55%, 11/07/42	(Call 05/07/42)		400		397,656


Security		Principal (000s)		Value
Rohm & Haas Co.
7.85%, 07/15/29		$	221	$	309,716
RPM International Inc.
5.25%, 06/01/45	(Call 12/01/44)		11		11,143
Sherwin-Williams Co. (The)
4.00%, 12/15/42	(Call 06/15/42)		350		328,178
Valspar Corp. (The)
4.40%, 02/01/45	(Call 08/01/44)		211		203,674
Westlake Chemical Corp.
5.00%, 08/15/46	(Call 02/15/46)^b		500		495,450

					15,172,522
COMMERCIAL SERVICES — 0.69%
Board of Trustees of The Leland Stanford Junior University (The)
3.46%, 05/01/47			16		16,570
California Institute of Technology
4.32%, 08/01/45			12		13,373
4.70%, 11/01/11			100		102,893
Catholic Health Initiatives
4.35%, 11/01/42			500		483,215
Cleveland Clinic Foundation (The)
4.86%, 01/01/14			247		262,302
Equifax Inc.
7.00%, 07/01/37			11		13,896
George Washington University (The)
4.87%, 09/15/45			16		18,203
Series 2016
3.55%, 09/15/46			450		414,679
Johns Hopkins University Series 2013
4.08%, 07/01/53			11		11,583
Massachusetts Institute of Technology
3.96%, 07/01/38			9		9,979
4.68%, 07/01/14			511		564,026
5.60%, 07/01/11			550		719,994
Metropolitan Museum of Art (The) Series 2015
3.40%, 07/01/45			113		111,748
Moody’s Corp.
5.25%, 07/15/44			250		293,283


SCHEDULEOF INVESTMENTS			39

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Northwestern University
3.69%, 12/01/38		$	586	$	626,827
3.87%, 12/01/48			11		12,064
President and Fellows of Harvard College
3.15%, 07/15/46	(Call 01/15/46)		250		245,697
3.30%, 07/15/56	(Call 01/15/56)		250		245,010
3.62%, 10/01/37			200		211,096
Princeton University
5.70%, 03/01/39			350		488,887
S&P Global Inc.
2.95%, 01/22/27	(Call 10/22/26)^a,b		560		552,608
6.55%, 11/15/37			61		74,815
Tufts University Series 2012
5.02%, 04/15/12			200		223,360
University of Notre Dame du Lac Series 2015
3.44%, 02/15/45			9		9,247
University of Southern California
3.03%, 10/01/39			250		237,368
5.25%, 10/01/11			250		313,073
Verisk Analytics Inc.
5.50%, 06/15/45	(Call 12/15/44)		111		115,451
Western Union Co. (The)
6.20%, 11/17/36			150		156,609
6.20%, 06/21/40^a			300		309,066
William Marsh Rice University
3.57%, 05/15/45			421		438,253

					7,295,175
COMPUTERS — 1.79%
Apple Inc.
3.45%, 02/09/45			1,870		1,728,198
3.85%, 05/04/43			975		958,912
3.85%, 08/04/46	(Call 02/04/46)		745		730,301
4.38%, 05/13/45			1,300		1,377,909
4.45%, 05/06/44			673		723,226
4.50%, 02/23/36	(Call 08/23/35)		1,750		1,943,340
4.65%, 02/23/46	(Call 08/23/45)		2,150		2,373,493
Diamond 1 Finance Corp./Diamond 2 Finance Corp.
8.10%, 07/15/36	(Call 01/15/36)^b		800		955,096
8.35%, 07/15/46	(Call 01/15/46)^b		1,200		1,455,984


Security		Principal (000s)		Value
Hewlett Packard Enterprise Co.
6.20%, 10/15/35	(Call 04/15/35)^b	$	287	$	297,260
6.60%, 10/15/45	(Call 04/15/45)^b		900		924,579
HP Enterprise Services LLC
7.45%, 10/15/29			410		495,641
HP Inc.
6.00%, 09/15/41^a			653		662,939
International Business Machines Corp.
4.00%, 06/20/42			600		610,182
4.70%, 02/19/46^a			900		1,004,337
5.60%, 11/30/39^a			374		463,139
5.88%, 11/29/32			261		335,985
6.22%, 08/01/27			400		516,232
6.50%, 01/15/28			505		670,322
Seagate HDD Cayman
4.88%, 06/01/27	(Call 03/01/27)		300		271,107
5.75%, 12/01/34	(Call 06/01/34)		425		366,503

					18,864,685
COSMETICS & PERSONAL CARE — 0.29%
Colgate-Palmolive Co.
4.00%, 08/15/45			367		403,124
Estee Lauder Companies Inc. (The)
3.70%, 08/15/42			200		197,748
4.38%, 06/15/45	(Call 12/15/44)		300		329,688
6.00%, 05/15/37			200		254,112
Procter & Gamble Co. (The)
5.50%, 02/01/34^a			117		154,880
5.55%, 03/05/37			1,128		1,540,182
5.80%, 08/15/34			131		180,598

					3,060,332
DISTRIBUTION & WHOLESALE — 0.09%
WW Grainger Inc.
3.75%, 05/15/46	(Call 11/15/45)		303		304,954
4.60%, 06/15/45	(Call 12/15/44)		600		680,868

					985,822
DIVERSIFIED FINANCIAL SERVICES — 1.35%
American Express Co.
4.05%, 12/03/42			675		682,216
AXA Financial Inc.
7.00%, 04/01/28			14		17,796
CME Group Inc.
5.30%, 09/15/43	(Call 03/15/43)		400		494,936


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Credit Suisse USA Inc.
7.13%, 07/15/32		$	468	$	631,491
GE Capital International Funding Co. Unlimited Co.
4.42%, 11/15/35			6,150		6,710,265
Goldman Sachs Capital I
6.35%, 02/15/34			526		634,114
Invesco Finance PLC
5.38%, 11/30/43			16		18,390
Jefferies Group LLC
6.25%, 01/15/36			300		305,307
6.45%, 06/08/27			500		558,450
6.50%, 01/20/43			150		155,107
Legg Mason Inc.
5.63%, 01/15/44			300		303,291
National Rural Utilities Cooperative Finance Corp.
4.02%, 11/01/32	(Call 05/01/32)		100		105,442
Series C
8.00%, 03/01/32			271		396,313
Visa Inc.
4.15%, 12/14/35	(Call 06/14/35)		900		993,564
4.30%, 12/14/45	(Call 06/14/45)		2,000		2,230,160

					14,236,842
ELECTRIC — 9.95%
AEP Texas Central Co. Series E
6.65%, 02/15/33			250		314,710
Alabama Power Co.
3.75%, 03/01/45	(Call 09/01/44)		634		642,591
3.85%, 12/01/42			50		50,787
4.10%, 01/15/42			11		11,508
4.15%, 08/15/44	(Call 02/15/44)		462		493,518
4.30%, 01/02/46	(Call 07/02/45)		600		654,780
6.00%, 03/01/39			126		161,986
6.13%, 05/15/38			273		352,992
Series 11-C
5.20%, 06/01/41			911		1,085,766
Ameren Illinois Co.
4.15%, 03/15/46	(Call 09/15/45)^a		257		280,706
4.80%, 12/15/43	(Call 06/15/43)		11		12,833
Appalachian Power Co.
4.40%, 05/15/44	(Call 11/15/43)		11		11,562
4.45%, 06/01/45	(Call 12/01/44)		200		214,558


Security		Principal (000s)		Value
6.38%, 04/01/36		$	761	$	956,782
7.00%, 04/01/38			231		314,627
Series L
5.80%, 10/01/35			5		5,930
Series P
6.70%, 08/15/37			11		14,553
Arizona Public Service Co.
3.75%, 05/15/46	(Call 11/15/45)		425		428,204
4.50%, 04/01/42	(Call 10/01/41)		201		223,405
4.70%, 01/15/44	(Call 07/15/43)		150		171,555
5.05%, 09/01/41	(Call 03/01/41)		100		118,968
5.50%, 09/01/35			250		305,500
Berkshire Hathaway Energy Co.
4.50%, 02/01/45	(Call 08/01/44)		1,250		1,369,975
5.15%, 11/15/43	(Call 05/15/43)		790		939,041
5.95%, 05/15/37			350		444,206
6.13%, 04/01/36^a			1,750		2,283,330
6.50%, 09/15/37			200		272,850
8.48%, 09/15/28			374		566,322
Black Hills Corp.
3.15%, 01/15/27	(Call 07/15/26)		280		279,796
4.20%, 09/15/46	(Call 03/15/46)		250		249,000
CenterPoint Energy Houston Electric LLC
3.55%, 08/01/42	(Call 02/01/42)		1,025		1,012,997
4.50%, 04/01/44	(Call 10/01/43)^a		300		344,208
Cleco Power LLC
6.00%, 12/01/40			441		569,715
CMS Energy Corp.
2.95%, 02/15/27			55		54,808
4.70%, 03/31/43	(Call 09/30/42)		3		3,310
4.88%, 03/01/44	(Call 09/01/43)		200		229,008
Commonwealth Edison Co.
3.70%, 03/01/45	(Call 09/01/44)		1,225		1,227,487
3.80%, 10/01/42	(Call 04/01/42)		311		314,660
4.35%, 11/15/45	(Call 05/15/45)		100		109,775
4.60%, 08/15/43	(Call 02/15/43)		233		264,257
4.70%, 01/15/44	(Call 07/15/43)		461		533,022
5.88%, 02/01/33			100		125,509
5.90%, 03/15/36			514		658,542
Connecticut Light & Power Co. (The)
4.30%, 04/15/44	(Call 10/15/43)		361		394,541
6.35%, 06/01/36			155		206,152


SCHEDULEOF INVESTMENTS			41

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Consolidated Edison Co. of New York Inc.
3.85%, 06/15/46	(Call 12/15/45)	$	925	$	940,605
3.95%, 03/01/43	(Call 09/01/42)		727		749,820
4.45%, 03/15/44	(Call 09/15/43)		600		663,984
4.50%, 12/01/45	(Call 06/01/45)		207		231,014
5.50%, 12/01/39			200		246,474
5.70%, 06/15/40			295		375,951
6.30%, 08/15/37			8		10,569
Series 05-A
5.30%, 03/01/35			100		119,246
Series 06-A
5.85%, 03/15/36			325		412,981
Series 06-B
6.20%, 06/15/36			461		597,862
Series 06-E
5.70%, 12/01/36			544		673,015
Series 08-B
6.75%, 04/01/38			200		279,862
Series 12-A
4.20%, 03/15/42			8		8,455
Consumers Energy Co.
3.25%, 08/15/46	(Call 02/15/46)		500		477,535
3.95%, 05/15/43	(Call 11/15/42)^a		75		79,500
4.10%, 11/15/45	(Call 05/15/45)^a		255		278,516
4.35%, 08/31/64	(Call 02/28/64)		11		11,878
Delmarva Power & Light Co.
4.00%, 06/01/42	(Call 12/01/41)		755		775,929
Dominion Gas Holdings LLC
4.80%, 11/01/43	(Call 05/01/43)		165		176,291
Dominion Resources Inc./VA
4.70%, 12/01/44	(Call 06/01/44)		625		684,919
6.30%, 03/15/33			275		332,340
7.00%, 06/15/38			380		504,587
Series B
5.95%, 06/15/35			290		349,053
Series C
4.05%, 09/15/42	(Call 03/15/42)^a		155		153,326
4.90%, 08/01/41	(Call 02/01/41)		7		7,696
Series F
5.25%, 08/01/33			819		908,304
DTE Electric Co.
3.70%, 03/15/45	(Call 09/15/44)		216		220,903
3.70%, 06/01/46	(Call 12/01/45)		135		137,611


Security		Principal (000s)		Value
3.95%, 06/15/42	(Call 12/15/41)	$	164	$	173,481
4.30%, 07/01/44	(Call 01/01/44)		103		114,778
5.70%, 10/01/37			231		294,396
Series A
4.00%, 04/01/43	(Call 10/01/42)		208		222,352
6.63%, 06/01/36			206		285,256
DTE Energy Co.
6.38%, 04/15/33			135		171,739
Duke Energy Carolinas LLC
3.75%, 06/01/45	(Call 12/01/44)		540		542,851
3.88%, 03/15/46	(Call 09/15/45)		1,000		1,020,860
4.00%, 09/30/42	(Call 03/30/42)		718		746,483
4.25%, 12/15/41	(Call 06/15/41)		344		370,378
5.30%, 02/15/40^a			500		611,880
6.00%, 01/15/38			57		74,488
6.05%, 04/15/38			900		1,187,010
6.10%, 06/01/37			500		638,260
6.45%, 10/15/32			86		113,056
Series A
6.00%, 12/01/28			16		20,249
Duke Energy Corp.
3.75%, 09/01/46	(Call 03/01/46)		80		76,074
4.80%, 12/15/45	(Call 06/15/45)		100		111,301
Duke Energy Florida LLC
3.40%, 10/01/46	(Call 04/01/46)^a		750		716,467
3.85%, 11/15/42	(Call 05/15/42)		280		284,519
5.65%, 04/01/40			100		127,062
6.35%, 09/15/37			100		135,918
6.40%, 06/15/38			200		274,782
Duke Energy Florida Project Finance LLC
Series 2026
2.54%, 09/01/31			750		748,725
Duke Energy Indiana LLC
3.75%, 05/15/46	(Call 11/15/45)		1,000		1,002,030
6.12%, 10/15/35			76		96,769
6.35%, 08/15/38			21		28,481
6.45%, 04/01/39			418		570,424
Duke Energy Progress LLC
3.70%, 10/15/46	(Call 04/15/46)		500		496,920
4.10%, 05/15/42	(Call 11/15/41)		396		417,812
4.10%, 03/15/43	(Call 09/15/42)		186		194,253
4.15%, 12/01/44	(Call 06/01/44)		800		844,296


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
4.20%, 08/15/45	(Call 02/15/45)	$	475	$	507,951
4.38%, 03/30/44	(Call 09/30/43)		359		392,825
6.30%, 04/01/38			250		336,927
El Paso Electric Co.
5.00%, 12/01/44	(Call 06/01/44)		250		279,717
6.00%, 05/15/35			154		184,694
Emera U.S. Finance LP
4.75%, 06/15/46	(Call 12/15/45)^b		700		741,419
Entergy Louisiana LLC
3.05%, 06/01/31	(Call 03/01/31)		450		452,155
3.25%, 04/01/28	(Call 01/01/28)		475		490,851
4.95%, 01/15/45	(Call 01/15/25)		100		104,907
Entergy Mississippi Inc.
2.85%, 06/01/28	(Call 03/01/28)		300		299,940
Entergy Texas Inc.
5.15%, 06/01/45	(Call 06/01/25)		11		11,828
Exelon Corp.
4.45%, 04/15/46	(Call 10/15/45)^a		555		579,931
4.95%, 06/15/35	(Call 12/15/34)		350		383,512
5.10%, 06/15/45	(Call 12/15/44)		15		16,923
5.63%, 06/15/35			371		430,657
Exelon Generation Co. LLC
5.60%, 06/15/42	(Call 12/15/41)^a		671		685,896
6.25%, 10/01/39			655		715,542
Florida Power & Light Co.
3.80%, 12/15/42	(Call 06/15/42)		200		206,958
4.05%, 06/01/42	(Call 12/01/41)		930		1,003,516
4.05%, 10/01/44	(Call 04/01/44)		750		809,467
4.13%, 02/01/42	(Call 08/01/41)		456		494,669
4.95%, 06/01/35			200		234,926
5.25%, 02/01/41	(Call 08/01/40)		421		523,484
5.65%, 02/01/37			96		122,442
5.69%, 03/01/40			99		129,441
5.95%, 02/01/38			213		283,117
Georgia Power Co.
4.30%, 03/15/42			439		465,371
4.30%, 03/15/43			21		22,086
5.40%, 06/01/40			200		238,734
5.95%, 02/01/39			114		143,931
Series 07-A
5.65%, 03/01/37			100		121,401
Series 10-C
4.75%, 09/01/40			200		222,056


Security		Principal (000s)		Value
Hydro-Quebec
9.50%, 11/15/30^a		$	200	$	335,948
Iberdrola International BV
6.75%, 07/15/36^a			300		388,227
Idaho Power Co.
3.65%, 03/01/45	(Call 09/01/44)		11		11,077
Indiana Michigan Power Co.
6.05%, 03/15/37			5		6,169
Series K
4.55%, 03/15/46	(Call 09/15/45)		500		543,430
Interstate Power & Light Co.
3.70%, 09/15/46	(Call 03/15/46)		500		488,465
6.25%, 07/15/39			5		6,619
Jersey Central Power & Light Co.
6.15%, 06/01/37			100		114,805
John Sevier Combined Cycle Generation LLC
4.63%, 01/15/42			234		265,742
Kansas City Power & Light Co.
5.30%, 10/01/41	(Call 04/01/41)		307		343,441
Series B
6.05%, 11/15/35			5		6,151
Kentucky Utilities Co.
4.38%, 10/01/45	(Call 04/01/45)		100		110,276
5.13%, 11/01/40	(Call 05/01/40)		284		341,027
Louisville Gas & Electric Co.
4.38%, 10/01/45	(Call 04/01/45)		209		230,096
4.65%, 11/15/43	(Call 05/15/43)		151		172,755
5.13%, 11/15/40	(Call 05/15/40)		150		179,143
MidAmerican Energy Co.
4.25%, 05/01/46	(Call 11/01/45)^a		111		121,632
4.40%, 10/15/44	(Call 04/15/44)		225		252,412
4.80%, 09/15/43	(Call 03/15/43)		378		443,836
5.75%, 11/01/35			11		13,833
6.75%, 12/30/31			11		15,404
Mississippi Power Co. Series 12-A
4.25%, 03/15/42			356		323,942
Nevada Power Co.
5.38%, 09/15/40	(Call 03/15/40)		8		9,674
5.45%, 05/15/41	(Call 11/15/40)		606		749,792
6.65%, 04/01/36			100		136,427


SCHEDULEOF INVESTMENTS			43

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
NiSource Finance Corp.
4.80%, 02/15/44	(Call 08/15/43)	$	615	$	673,880
5.25%, 02/15/43	(Call 08/15/42)		325		376,100
5.65%, 02/01/45	(Call 08/01/44)		6		7,468
5.80%, 02/01/42	(Call 08/01/41)^a		250		302,385
5.95%, 06/15/41	(Call 12/15/40)		256		311,890
Northern States Power Co./MN
3.40%, 08/15/42	(Call 02/15/42)		700		680,225
3.60%, 05/15/46	(Call 11/15/45)		50		50,243
4.00%, 08/15/45	(Call 02/15/45)		90		96,284
4.13%, 05/15/44	(Call 11/15/43)		7		7,597
4.85%, 08/15/40	(Call 02/15/40)		300		355,080
5.25%, 07/15/35			50		61,022
5.35%, 11/01/39			5		6,252
6.25%, 06/01/36			106		143,932
NSTAR Electric Co.
4.40%, 03/01/44	(Call 09/01/43)		100		110,705
5.50%, 03/15/40			211		264,204
Oglethorpe Power Corp.
4.25%, 04/01/46	(Call 10/01/45)		500		514,455
4.55%, 06/01/44^a			550		575,900
5.25%, 09/01/50			25		28,114
5.38%, 11/01/40			150		176,995
5.95%, 11/01/39			5		6,249
Ohio Edison Co.
6.88%, 07/15/36			200		253,340
8.25%, 10/15/38^a			11		15,987
Ohio Power Co. Series G
6.60%, 02/15/33			10		12,654
Oklahoma Gas & Electric Co.
4.00%, 12/15/44	(Call 06/15/44)		335		348,092
4.55%, 03/15/44	(Call 09/15/43)		186		210,492
5.25%, 05/15/41	(Call 11/15/40)		200		244,540
Oncor Electric Delivery Co. LLC
4.55%, 12/01/41	(Call 06/01/41)		250		280,002
5.25%, 09/30/40			305		372,570
5.30%, 06/01/42	(Call 12/01/41)		473		587,669
7.25%, 01/15/33			411		576,958
7.50%, 09/01/38			148		217,070
Pacific Gas & Electric Co.
4.25%, 03/15/46	(Call 09/15/45)^a		11		11,928
4.30%, 03/15/45	(Call 09/15/44)^a		107		116,664


Security		Principal (000s)		Value
4.45%, 04/15/42	(Call 10/15/41)	$	800	$	877,232
4.50%, 12/15/41	(Call 06/15/41)^a		270		297,216
4.60%, 06/15/43	(Call 12/15/42)		13		14,505
4.75%, 02/15/44	(Call 08/15/43)		382		436,710
5.13%, 11/15/43	(Call 05/15/43)		396		475,398
5.40%, 01/15/40			421		520,739
5.80%, 03/01/37			16		20,410
6.05%, 03/01/34			2,750		3,603,737
6.25%, 03/01/39			261		345,752
6.35%, 02/15/38			21		28,207
PacifiCorp
4.10%, 02/01/42	(Call 08/01/41)		245		261,655
6.00%, 01/15/39			425		558,688
6.10%, 08/01/36			105		137,495
6.25%, 10/15/37^a			121		161,839
PECO Energy Co.
4.15%, 10/01/44	(Call 04/01/44)		255		272,845
5.95%, 10/01/36			111		143,298
Pennsylvania Electric Co.
6.15%, 10/01/38			100		114,374
Potomac Electric Power Co.
4.15%, 03/15/43	(Call 09/15/42)		66		69,682
6.50%, 11/15/37			175		239,540
7.90%, 12/15/38			11		16,779
PPL Capital Funding Inc.
4.70%, 06/01/43	(Call 12/01/42)		676		707,887
5.00%, 03/15/44	(Call 09/15/43)		365		404,190
PPL Electric Utilities Corp.
5.20%, 07/15/41	(Call 01/15/41)		350		424,725
6.25%, 05/15/39			61		82,418
Progress Energy Inc.
7.75%, 03/01/31			9		12,377
PSEG Power LLC
8.63%, 04/15/31			720		935,273
Public Service Co. of Colorado
3.55%, 06/15/46	(Call 12/15/45)		950		939,626
3.60%, 09/15/42	(Call 03/15/42)		246		245,038
4.30%, 03/15/44	(Call 09/15/43)		411		455,035
6.25%, 09/01/37			60		81,509
6.50%, 08/01/38			100		139,887
Public Service Electric & Gas Co.
3.65%, 09/01/42	(Call 03/01/42)		25		25,173
3.80%, 03/01/46	(Call 09/01/45)		450		469,516


44		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
3.95%, 05/01/42	(Call 11/01/41)	$	270	$	284,364
4.05%, 05/01/45	(Call 11/01/44)		125		134,849
4.15%, 11/01/45	(Call 05/01/45)		16		17,495
5.38%, 11/01/39			100		124,091
5.50%, 03/01/40			107		135,547
5.80%, 05/01/37			216		281,109
Series I
4.00%, 06/01/44	(Call 12/01/43)^a		220		233,977
Puget Sound Energy Inc.
4.30%, 05/20/45	(Call 11/20/44)		111		121,932
4.43%, 11/15/41	(Call 05/15/41)		125		138,497
5.48%, 06/01/35			308		371,411
5.64%, 04/15/41	(Call 10/15/40)		360		461,012
5.76%, 10/01/39			281		362,147
5.76%, 07/15/40			150		192,219
5.80%, 03/15/40			56		71,887
6.27%, 03/15/37			5		6,584
6.72%, 06/15/36			150		206,760
7.02%, 12/01/27			300		402,315
San Diego Gas & Electric Co.
3.95%, 11/15/41			261		273,776
4.30%, 04/01/42	(Call 10/01/41)^a		158		174,587
4.50%, 08/15/40			191		216,947
5.35%, 05/15/35			125		153,424
5.35%, 05/15/40			75		93,336
6.00%, 06/01/39			150		200,466
6.13%, 09/15/37			100		133,702
South Carolina Electric & Gas Co.
4.10%, 06/15/46	(Call 12/15/45)		500		518,490
4.35%, 02/01/42	(Call 08/01/41)^a		244		257,086
4.50%, 06/01/64	(Call 12/01/63)		261		264,717
4.60%, 06/15/43	(Call 12/15/42)		116		126,587
5.10%, 06/01/65	(Call 12/01/64)		150		168,882
5.30%, 05/15/33			5		5,810
5.45%, 02/01/41	(Call 08/01/40)^a		420		505,096
6.05%, 01/15/38			248		315,446
Southaven Combined Cycle Generation LLC
3.85%, 08/15/33			2		1,832
Southern California Edison Co.
3.90%, 12/01/41	(Call 06/01/41)		106		111,504
4.05%, 03/15/42	(Call 09/15/41)		50		53,642
4.50%, 09/01/40	(Call 03/01/40)		23		25,957


Security		Principal (000s)		Value
4.65%, 10/01/43	(Call 04/01/43)	$	391	$	457,650
5.50%, 03/15/40			217		274,978
5.63%, 02/01/36			75		94,080
5.75%, 04/01/35			105		132,231
6.00%, 01/15/34^a			266		344,209
6.05%, 03/15/39			150		201,246
6.65%, 04/01/29			321		417,265
Series 05-B
5.55%, 01/15/36			55		68,449
Series 05-E
5.35%, 07/15/35			639		780,130
Series 06-E
5.55%, 01/15/37			180		224,645
Series 08-A
5.95%, 02/01/38			632		835,043
Series 13-A
3.90%, 03/15/43	(Call 09/15/42)		205		216,095
Series C
3.60%, 02/01/45	(Call 08/01/44)		600		605,550
Southern Co. (The)
4.25%, 07/01/36	(Call 01/01/36)^a		750		779,565
4.40%, 07/01/46	(Call 01/01/46)		775		816,571
Southern Power Co.
5.15%, 09/15/41			200		212,428
Southwestern Electric Power Co.
3.90%, 04/01/45	(Call 10/01/44)		611		593,477
6.20%, 03/15/40			140		174,703
Southwestern Public Service Co.
3.40%, 08/15/46	(Call 02/15/46)		500		479,645
4.50%, 08/15/41	(Call 02/15/41)		100		112,096
6.00%, 10/01/36			561		696,386
Tampa Electric Co.
4.10%, 06/15/42	(Call 12/15/41)		300		307,989
4.20%, 05/15/45	(Call 11/15/44)^a		11		11,477
4.35%, 05/15/44	(Call 11/15/43)		560		596,574
6.55%, 05/15/36			5		6,637
Toledo Edison Co. (The)
6.15%, 05/15/37			200		242,210
TransAlta Corp.
6.50%, 03/15/40^a			211		197,285
Tri-State Generation & Transmission Association Inc.
4.25%, 06/01/46	(Call 12/01/45)		350		357,080


SCHEDULEOF INVESTMENTS			45

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Union Electric Co.
3.90%, 09/15/42	(Call 03/15/42)	$	920	$	963,111
8.45%, 03/15/39			111		182,000
Virginia Electric & Power Co.
4.00%, 01/15/43	(Call 07/15/42)^a		266		275,488
4.20%, 05/15/45	(Call 11/15/44)^a		7		7,508
4.45%, 02/15/44	(Call 08/15/43)		170		189,587
8.88%, 11/15/38			700		1,160,488
Series A
6.00%, 05/15/37			284		372,071
Series B
6.00%, 01/15/36			250		320,465
Series D
4.65%, 08/15/43	(Call 02/15/43)		21		24,087
Westar Energy Inc.
4.10%, 04/01/43	(Call 10/01/42)		105		109,428
4.13%, 03/01/42	(Call 09/01/41)		347		363,607
4.25%, 12/01/45	(Call 06/01/45)		400		427,560
Wisconsin Electric Power Co.
3.65%, 12/15/42	(Call 06/15/42)		100		99,361
4.25%, 06/01/44	(Call 12/01/43)		100		108,905
4.30%, 12/15/45	(Call 06/15/45)		600		657,216
Wisconsin Power & Light Co.
4.10%, 10/15/44	(Call 04/15/44)		600		629,190
6.38%, 08/15/37			140		190,557
Wisconsin Public Service Corp.
4.75%, 11/01/44	(Call 05/01/44)		305		356,209
Xcel Energy Inc.
4.80%, 09/15/41	(Call 03/15/41)		5		5,620
6.50%, 07/01/36			50		66,100

					105,056,941
ELECTRICAL COMPONENTS & EQUIPMENT — 0.02%
Emerson Electric Co.
6.00%, 08/15/32			135		170,162
6.13%, 04/15/39			12		15,801

					185,963
ELECTRONICS — 0.23%
Fortive Corp.
4.30%, 06/15/46	(Call 12/15/45)^b		225		231,937
Honeywell International Inc.
5.38%, 03/01/41			500		640,355
5.70%, 03/15/36			11		14,044
5.70%, 03/15/37			600		770,082


Security		Principal (000s)		Value
Koninklijke Philips NV
5.00%, 03/15/42		$	519	$	559,539
Thermo Fisher Scientific Inc.
5.30%, 02/01/44	(Call 08/01/43)^a		208		245,332

					2,461,289
ENGINEERING & CONSTRUCTION — 0.03%
ABB Finance USA Inc.
4.38%, 05/08/42			257		284,612

					284,612
ENVIRONMENTAL CONTROL — 0.12%
Waste Management Inc.
3.90%, 03/01/35	(Call 09/01/34)		763		794,390
4.10%, 03/01/45	(Call 09/01/44)		183		193,738
6.13%, 11/30/39			207		273,530
7.00%, 07/15/28			18		23,939

					1,285,597
FOOD — 1.56%
Ahold Finance USA LLC
6.88%, 05/01/29			11		14,135
Campbell Soup Co.
3.80%, 08/02/42			6		5,813
ConAgra Foods Inc.
7.00%, 10/01/28			230		295,447
7.13%, 10/01/26			—		—
8.25%, 09/15/30			200		275,630
Delhaize America LLC
9.00%, 04/15/31			5		6,784
General Mills Inc.
4.15%, 02/15/43	(Call 08/15/42)		5		5,171
5.40%, 06/15/40			656		787,843
Hershey Co. (The)
3.38%, 08/15/46	(Call 02/15/46)		250		235,847
JM Smucker Co. (The)
4.25%, 03/15/35			600		636,456
4.38%, 03/15/45			124		131,811
Kellogg Co.
4.50%, 04/01/46			335		348,809
Series B
7.45%, 04/01/31			500		678,920
Koninklijke Ahold Delhaize NV
5.70%, 10/01/40			500		586,320
Kraft Heinz Foods Co.
4.38%, 06/01/46	(Call 12/01/45)		1,700		1,716,847


46		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
5.00%, 07/15/35	(Call 01/15/35)	$	400	$	445,988
5.00%, 06/04/42			1,750		1,929,410
5.20%, 07/15/45	(Call 01/15/45)		850		952,918
6.50%, 02/09/40			456		591,551
6.88%, 01/26/39			571		770,747
Kroger Co. (The)
3.88%, 10/15/46	(Call 04/15/46)^a		300		286,599
5.00%, 04/15/42	(Call 10/15/41)		100		111,405
5.15%, 08/01/43	(Call 02/01/43)		500		568,215
5.40%, 07/15/40	(Call 01/15/40)		300		348,999
6.90%, 04/15/38			253		339,493
7.50%, 04/01/31			322		447,989
Mondelez International Inc.
6.50%, 02/09/40^a			222		293,679
6.88%, 01/26/39			400		540,105
Sysco Corp.
4.50%, 04/01/46	(Call 10/01/45)		500		527,130
4.85%, 10/01/45	(Call 04/01/45)		100		109,935
5.38%, 09/21/35			500		581,400
6.63%, 03/17/39			11		14,380
Tyson Foods Inc.
4.88%, 08/15/34	(Call 02/15/34)		425		457,938
5.15%, 08/15/44	(Call 02/15/44)		305		344,650
Unilever Capital Corp.
5.90%, 11/15/32			778		1,058,391

					16,446,755
FOREST PRODUCTS & PAPER — 0.51%
Domtar Corp.
6.75%, 02/15/44	(Call 08/15/43)		205		226,459
Georgia-Pacific LLC
7.75%, 11/15/29			803		1,130,785
8.88%, 05/15/31			14		21,922
International Paper Co.
3.00%, 02/15/27	(Call 11/15/26)		500		492,985
4.40%, 08/15/47	(Call 02/15/47)		500		489,580
4.80%, 06/15/44	(Call 12/15/43)		525		536,424
5.00%, 09/15/35	(Call 03/15/35)^a		50		53,907
5.15%, 05/15/46	(Call 11/15/45)		190		205,073
6.00%, 11/15/41	(Call 05/15/41)		786		912,735
7.30%, 11/15/39			240		313,442
8.70%, 06/15/38			246		360,402
WestRock MWV LLC
7.95%, 02/15/31			11		14,645


Security		Principal (000s)		Value
8.20%, 01/15/30		$	430	$	580,315

					5,338,674
GAS — 0.57%
Atmos Energy Corp.
4.13%, 10/15/44	(Call 04/15/44)		713		737,834
4.15%, 01/15/43	(Call 07/15/42)		100		104,100
5.50%, 06/15/41	(Call 12/15/40)		5		6,121
Dominion Gas Holdings LLC
4.60%, 12/15/44	(Call 06/15/44)^a		350		367,150
KeySpan Corp.
5.80%, 04/01/35			208		244,069
8.00%, 11/15/30			130		179,962
ONE Gas Inc.
4.66%, 02/01/44	(Call 08/01/43)^a		354		392,558
Piedmont Natural Gas Co. Inc.
4.10%, 09/18/34	(Call 03/18/34)		207		213,181
4.65%, 08/01/43	(Call 02/01/43)		153		167,198
Sempra Energy
6.00%, 10/15/39			875		1,089,882
Southern California Gas Co.
3.75%, 09/15/42	(Call 03/15/42)		5		5,096
Series KK
5.75%, 11/15/35			225		284,177
Southern Co. Gas Capital Corp.
3.95%, 10/01/46	(Call 04/01/46)		600		591,480
4.40%, 06/01/43	(Call 12/01/42)		6		6,213
5.88%, 03/15/41	(Call 09/15/40)		643		780,538
6.00%, 10/01/34			95		115,830
Southwest Gas Corp.
3.80%, 09/29/46	(Call 03/29/46)		365		355,590
Washington Gas Light Co. Series K
3.80%, 09/15/46	(Call 03/15/46)^a		400		398,300

					6,039,279
HAND & MACHINE TOOLS — 0.03%
Stanley Black & Decker Inc.
5.20%, 09/01/40			255		292,503

					292,503
HEALTH CARE – PRODUCTS — 1.20%
Baxter International Inc.
3.50%, 08/15/46	(Call 02/15/46)		685		615,699
Becton Dickinson and Co.
4.69%, 12/15/44	(Call 06/15/44)		450		493,713


SCHEDULEOF INVESTMENTS			47

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
4.88%, 05/15/44	(Call 11/15/43)	$	490	$	542,156
5.00%, 11/12/40			200		220,580
6.00%, 05/15/39			100		122,824
Boston Scientific Corp.
7.00%, 11/15/35			250		316,562
7.38%, 01/15/40			200		261,618
Danaher Corp.
4.38%, 09/15/45	(Call 03/15/45)		400		447,868
Medtronic Inc.
4.38%, 03/15/35			1,711		1,883,332
4.50%, 03/15/42	(Call 09/15/41)		86		94,347
4.63%, 03/15/44	(Call 09/15/43)		650		731,692
4.63%, 03/15/45			2,500		2,821,150
5.55%, 03/15/40			291		354,260
6.50%, 03/15/39			100		136,660
St. Jude Medical Inc.
4.75%, 04/15/43	(Call 10/15/42)		420		439,530
Stryker Corp.
4.10%, 04/01/43	(Call 10/01/42)		350		347,193
4.38%, 05/15/44	(Call 11/15/43)		135		139,452
4.63%, 03/15/46	(Call 09/15/45)^a		725		778,404
Zimmer Biomet Holdings Inc.
4.25%, 08/15/35	(Call 02/15/35)		437		428,942
4.45%, 08/15/45	(Call 02/15/45)		504		498,607
5.75%, 11/30/39			900		1,038,339

					12,712,928
HEALTH CARE – SERVICES — 1.92%
Aetna Inc.
4.13%, 11/15/42	(Call 05/15/42)		200		198,592
4.25%, 06/15/36	(Call 12/15/35)		1,300		1,323,985
4.38%, 06/15/46	(Call 12/15/45)		1,500		1,526,430
4.50%, 05/15/42	(Call 11/15/41)		250		261,508
4.75%, 03/15/44	(Call 09/15/43)		225		243,848
6.63%, 06/15/36			200		261,176
6.75%, 12/15/37^a			185		247,941
Anthem Inc.
4.63%, 05/15/42			600		626,388
4.65%, 01/15/43			871		923,940
4.65%, 08/15/44	(Call 02/15/44)		200		213,578
4.85%, 08/15/54	(Call 02/15/54)		475		514,629
5.10%, 01/15/44			225		253,944
5.85%, 01/15/36			21		24,903
5.95%, 12/15/34			382		452,372
6.38%, 06/15/37			300		380,925


Security		Principal (000s)		Value
Ascension Health
3.95%, 11/15/46		$	508	$	529,433
4.85%, 11/15/53			11		12,834
Baylor Scott & White Holdings
3.97%, 11/15/46	(Call 05/15/46)		250		252,895
4.19%, 11/15/45	(Call 05/15/45)		16		16,834
Cigna Corp.
5.38%, 02/15/42	(Call 08/15/41)		247		288,056
5.88%, 03/15/41	(Call 09/15/40)		403		490,898
6.15%, 11/15/36			100		122,309
7.88%, 05/15/27			11		15,101
Dignity Health
4.50%, 11/01/42			100		100,543
5.27%, 11/01/64			196		213,085
Humana Inc.
4.63%, 12/01/42	(Call 06/01/42)		350		357,315
4.95%, 10/01/44	(Call 04/01/44)		200		215,042
8.15%, 06/15/38			240		343,808
Kaiser Foundation Hospitals
4.88%, 04/01/42			334		390,232
Laboratory Corp. of America Holdings
4.70%, 02/01/45	(Call 08/01/44)^a		398		423,787
Mayo Clinic Series 2013
4.00%, 11/15/47			11		11,356
Memorial Sloan-Kettering Cancer Center
Series 2015
4.20%, 07/01/55			522		553,957
New York and Presbyterian Hospital (The)
4.02%, 08/01/45			21		21,901
4.06%, 08/01/56			750		767,805
4.76%, 08/01/16			500		511,915
Northwell Healthcare Inc.
3.98%, 11/01/46	(Call 11/01/45)		500		488,020
Ochsner Clinic Foundation
5.90%, 05/15/45	(Call 11/15/44)		11		13,770
Premier Health Partners Series G
2.91%, 11/15/26	(Call 05/15/26)		250		245,085


48		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Providence St Joseph Health Obligated Group
Series I
3.74%, 10/01/47		$	250	$	244,720
Quest Diagnostics Inc.
4.70%, 03/30/45	(Call 09/30/44)		22		22,858
Texas Health Resources
4.33%, 11/15/55			9		9,758
UnitedHealth Group Inc.
3.95%, 10/15/42	(Call 04/15/42)^a		7		7,132
4.25%, 03/15/43	(Call 09/15/42)		500		532,890
4.38%, 03/15/42	(Call 09/15/41)		500		540,510
4.63%, 07/15/35			255		289,264
4.63%, 11/15/41	(Call 05/15/41)		180		199,386
4.75%, 07/15/45			1,300		1,503,281
5.70%, 10/15/40	(Call 04/15/40)^a		461		576,743
5.80%, 03/15/36			695		887,557
5.95%, 02/15/41	(Call 08/15/40)^a		536		694,951
6.50%, 06/15/37			146		197,783
6.63%, 11/15/37^a			111		153,685
6.88%, 02/15/38			400		559,112

					20,259,770
HOLDING COMPANIES – DIVERSIFIED — 0.02%
Hutchison Whampoa International Ltd.
7.45%, 11/24/33^b			50		71,823
Leucadia National Corp.
6.63%, 10/23/43	(Call 07/23/43)		175		174,344

					246,167
HOME FURNISHINGS — 0.05%
Whirlpool Corp.
4.50%, 06/01/46	(Call 12/01/45)		300		311,055
5.15%, 03/01/43			155		174,504

					485,559
HOUSEHOLD PRODUCTS & WARES — 0.13%
Kimberly-Clark Corp.
3.20%, 07/30/46	(Call 01/30/46)		800		748,608
3.70%, 06/01/43			18		18,444
5.30%, 03/01/41			6		7,580
6.63%, 08/01/37			400		573,388

					1,348,020


Security		Principal (000s)		Value
HOUSEWARES — 0.15%
Newell Brands Inc.
5.38%, 04/01/36	(Call 10/01/35)	$	590	$	683,019
5.50%, 04/01/46	(Call 10/01/45)		800		943,480

					1,626,499
INSURANCE — 3.49%
ACE Capital Trust II
9.70%, 04/01/30			100		150,464
Aflac Inc.
4.00%, 10/15/46	(Call 04/15/46)		500		496,290
6.45%, 08/15/40			400		526,968
Alleghany Corp.
4.90%, 09/15/44	(Call 03/15/44)		200		201,412
Allstate Corp. (The)
4.50%, 06/15/43			1,000		1,132,000
5.35%, 06/01/33			68		81,529
5.55%, 05/09/35			326		402,463
5.95%, 04/01/36			50		64,574
American International Group Inc.
3.88%, 01/15/35	(Call 07/15/34)		1,515		1,473,640
4.38%, 01/15/55	(Call 07/15/54)		250		234,907
4.50%, 07/16/44	(Call 01/16/44)		1,011		1,029,784
4.70%, 07/10/35	(Call 01/10/35)		700		748,797
4.80%, 07/10/45	(Call 01/10/45)		286		304,556
6.25%, 05/01/36			532		653,099
Aon Corp.
8.21%, 01/01/27			314		414,172
Aon PLC
4.45%, 05/24/43	(Call 02/24/43)		600		602,790
4.60%, 06/14/44	(Call 03/14/44)		300		315,081
4.75%, 05/15/45	(Call 11/15/44)^a		246		258,871
Arch Capital Group U.S. Inc.
5.14%, 11/01/43			475		505,609
Assurant Inc.
6.75%, 02/15/34			235		285,894
AXA SA
8.60%, 12/15/30			767		1,076,860
AXIS Specialty Finance PLC
5.15%, 04/01/45			5		5,200
Berkshire Hathaway Finance Corp.
4.30%, 05/15/43^a			118		129,362
4.40%, 05/15/42^a			504		557,202
5.75%, 01/15/40			430		560,587


SCHEDULEOF INVESTMENTS			49

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Berkshire Hathaway Inc.
4.50%, 02/11/43^a		$	700	$	789,971
Chubb Corp. (The)
6.00%, 05/11/37			485		638,221
Chubb INA Holdings Inc.
4.15%, 03/13/43			485		520,260
4.35%, 11/03/45	(Call 05/03/45)		1,250		1,395,488
Cincinnati Financial Corp.
6.92%, 05/15/28			11		14,224
Endurance Specialty Holdings Ltd.
7.00%, 07/15/34			230		276,702
Everest Reinsurance Holdings Inc.
4.87%, 06/01/44			261		262,723
Hartford Financial Services Group Inc. (The)
4.30%, 04/15/43			14		13,429
5.95%, 10/15/36			281		323,819
6.10%, 10/01/41			490		587,539
6.63%, 03/30/40			100		125,954
Lincoln National Corp.
6.15%, 04/07/36			225		258,842
6.30%, 10/09/37			16		18,881
7.00%, 06/15/40			481		613,179
Loews Corp.
4.13%, 05/15/43	(Call 11/15/42)		308		306,207
6.00%, 02/01/35			150		184,478
Manulife Financial Corp.
5.38%, 03/04/46			431		512,006
Markel Corp.
5.00%, 03/30/43			3		3,124
5.00%, 04/05/46			475		497,714
Marsh & McLennan Companies Inc.
5.88%, 08/01/33			205		252,619
MetLife Inc.
4.05%, 03/01/45^a			1,155		1,141,925
4.13%, 08/13/42			348		346,232
4.60%, 05/13/46	(Call 11/13/45)^a		850		918,349
4.72%, 12/15/44			618		676,710
4.88%, 11/13/43			489		542,907
5.70%, 06/15/35^a			431		525,277
6.40%, 12/15/66	(Call 12/15/31)		820		918,695
6.50%, 12/15/32			458		588,901
10.75%, 08/01/69	(Call 08/01/34)		16		26,140


Security		Principal (000s)		Value
Principal Financial Group Inc.
4.35%, 05/15/43^a		$	600	$	598,062
4.63%, 09/15/42			5		5,155
6.05%, 10/15/36			166		202,900
Progressive Corp. (The)
2.45%, 01/15/27			900		878,148
3.70%, 01/26/45^a			200		200,122
4.35%, 04/25/44			236		259,860
6.25%, 12/01/32			173		222,736
Protective Life Corp.
8.45%, 10/15/39^a			200		277,128
Prudential Financial Inc.
4.60%, 05/15/44^a			700		740,908
5.10%, 08/15/43			11		12,288
5.40%, 06/13/35			445		511,750
5.63%, 05/12/41			13		15,378
5.70%, 12/14/36			300		355,743
5.80%, 11/16/41			150		181,158
5.90%, 03/17/36			210		251,880
6.20%, 11/15/40			200		251,472
6.63%, 06/21/40			5		6,537
Series B
5.75%, 07/15/33			8		9,387
Series D
6.63%, 12/01/37			1,006		1,320,194
Transatlantic Holdings Inc.
8.00%, 11/30/39			200		267,486
Travelers Companies Inc. (The)
3.75%, 05/15/46	(Call 11/15/45)		600		611,418
4.60%, 08/01/43			66		75,961
5.35%, 11/01/40			300		374,406
6.25%, 06/15/37			1,000		1,351,890
6.75%, 06/20/36			50		70,278
Travelers Property Casualty Corp.
6.38%, 03/15/33			110		146,016
Trinity Acquisition PLC
6.13%, 08/15/43			100		111,400
Unum Group
5.75%, 08/15/42			305		338,239
Validus Holdings Ltd.
8.88%, 01/26/40			134		182,562
Voya Financial Inc.
4.80%, 06/15/46			100		98,260
5.70%, 07/15/43			290		315,210


50		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
WR Berkley Corp.
4.75%, 08/01/44^a		$	50	$	50,118
6.25%, 02/15/37			400		477,944
XLIT Ltd.
5.50%, 03/31/45			500		482,305
6.25%, 05/15/27			86		101,870

					36,848,796
INTERNET — 0.23%
Alibaba Group Holding Ltd.
4.50%, 11/28/34	(Call 05/28/34)^a		400		422,103
Amazon.com Inc.
4.80%, 12/05/34	(Call 06/05/34)		800		913,176
4.95%, 12/05/44	(Call 06/05/44)		750		882,405
eBay Inc.
4.00%, 07/15/42	(Call 01/15/42)		300		264,165

					2,481,849
IRON & STEEL — 0.44%
Nucor Corp.
5.20%, 08/01/43	(Call 02/01/43)		314		353,828
6.40%, 12/01/37			286		353,181
Reliance Steel & Aluminum Co.
6.85%, 11/15/36			100		108,949
Vale Overseas Ltd.
6.88%, 11/21/36			1,700		1,710,625
6.88%, 11/10/39			1,400		1,380,750
8.25%, 01/17/34^a			255		287,194
Vale SA
5.63%, 09/11/42^a			535		464,112

					4,658,639
LEISURE TIME — 0.02%
Harley-Davidson Inc.
4.63%, 07/28/45	(Call 01/28/45)		216		227,204

					227,204
LODGING — 0.02%
Starwood Hotels & Resorts Worldwide LLC
4.50%, 10/01/34	(Call 04/01/34)		186		188,001

					188,001
MACHINERY — 0.48%
Caterpillar Inc.
3.80%, 08/15/42^a			1,277		1,288,825
4.30%, 05/15/44	(Call 11/15/43)^a		386		418,768
4.75%, 05/15/64	(Call 11/15/63)		203		224,412


Security		Principal (000s)		Value
5.20%, 05/27/41		$	500	$	599,275
5.30%, 09/15/35			11		12,999
6.05%, 08/15/36			111		142,953
Cummins Inc.
4.88%, 10/01/43	(Call 04/01/43)		200		230,416
Deere & Co.
3.90%, 06/09/42	(Call 12/09/41)		900		938,736
5.38%, 10/16/29			405		510,656
7.13%, 03/03/31			111		153,249
8.10%, 05/15/30			50		73,921
Rockwell Automation Inc.
6.70%, 01/15/28			200		265,100
XYLEM Inc.
4.38%, 11/01/46	(Call 05/01/46)		250		251,080

					5,110,390
MANUFACTURING — 1.57%
3M Co.
3.13%, 09/19/46	(Call 03/19/46)		515		482,581
3.88%, 06/15/44			200		213,042
5.70%, 03/15/37			292		387,767
6.38%, 02/15/28			140		187,645
Dover Corp.
5.38%, 03/01/41	(Call 12/01/40)		365		450,425
Eaton Corp.
4.00%, 11/02/32			1,073		1,106,778
4.15%, 11/02/42			166		171,616
General Electric Co.
4.13%, 10/09/42^a			577		612,451
4.50%, 03/11/44			1,050		1,182,143
5.88%, 01/14/38			1,300		1,698,970
6.15%, 08/07/37			997		1,336,947
6.88%, 01/10/39			1,246		1,822,636
Series A
6.75%, 03/15/32			2,600		3,573,492
Illinois Tool Works Inc.
3.90%, 09/01/42	(Call 03/01/42)		850		899,334
4.88%, 09/15/41	(Call 03/15/41)		313		369,587
Ingersoll-Rand Global Holding Co. Ltd.
5.75%, 06/15/43			236		288,099
Ingersoll-Rand Luxembourg Finance SA
4.65%, 11/01/44	(Call 05/01/44)		200		215,476


SCHEDULEOF INVESTMENTS			51

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Parker-Hannifin Corp.
4.20%, 11/21/34	(Call 05/21/34)	$	336	$	363,928
4.45%, 11/21/44	(Call 05/21/44)		428		486,829
Series A
6.25%, 05/15/38			100		135,142
Tyco Electronics Group SA
7.13%, 10/01/37			236		324,358
Tyco International Finance SA
5.13%, 09/14/45	(Call 03/14/45)		271		310,656

					16,619,902
MEDIA — 5.13%
21st Century Fox America Inc.
4.75%, 09/15/44	(Call 03/15/44)		600		636,084
4.95%, 10/15/45	(Call 04/15/45)		456		500,569
5.40%, 10/01/43			456		522,904
6.15%, 03/01/37			400		489,820
6.15%, 02/15/41			426		529,723
6.20%, 12/15/34^a			740		917,038
6.40%, 12/15/35			202		253,759
6.55%, 03/15/33			640		804,691
6.65%, 11/15/37			780		1,006,099
6.90%, 08/15/39			11		14,442
7.75%, 12/01/45			533		762,142
7.85%, 03/01/39			350		489,325
8.15%, 10/17/36			100		142,751
CBS Corp.
2.90%, 01/15/27	(Call 10/15/26)		445		433,808
4.60%, 01/15/45	(Call 07/15/44)		200		202,568
4.85%, 07/01/42	(Call 01/01/42)		342		355,246
4.90%, 08/15/44	(Call 02/15/44)		100		104,474
5.50%, 05/15/33			604		662,781
5.90%, 10/15/40	(Call 04/15/40)		211		247,834
7.88%, 07/30/30			438		613,896
Charter Communications Operating LLC/Charter Communications Operating Capital
6.38%, 10/23/35	(Call 04/23/35)^b		975		1,126,856
6.48%, 10/23/45	(Call 04/23/45)^b		2,090		2,449,605
6.83%, 10/23/55	(Call 04/23/55)^b		321		378,902
Comcast Corp.
2.35%, 01/15/27	(Call 10/15/26)		1,000		968,130
3.20%, 07/15/36	(Call 01/15/36)^a		535		507,881
3.40%, 07/15/46	(Call 01/15/46)		365		336,567


Security		Principal (000s)		Value
4.20%, 08/15/34	(Call 02/15/34)	$	1,510	$	1,617,467
4.25%, 01/15/33			942		1,012,499
4.40%, 08/15/35	(Call 02/15/35)		100		109,959
4.50%, 01/15/43			711		770,880
4.60%, 08/15/45	(Call 02/15/45)		1,825		2,019,417
4.65%, 07/15/42			870		963,838
4.75%, 03/01/44			1,316		1,474,091
5.65%, 06/15/35			11		13,730
6.40%, 05/15/38			206		277,161
6.40%, 03/01/40			216		295,056
6.45%, 03/15/37			278		373,123
6.50%, 11/15/35			511		690,744
6.55%, 07/01/39			264		362,773
6.95%, 08/15/37			633		899,531
7.05%, 03/15/33			161		222,705
Discovery Communications LLC
4.88%, 04/01/43			250		238,280
4.95%, 05/15/42			175		168,436
6.35%, 06/01/40			840		907,435
Grupo Televisa SAB
5.00%, 05/13/45	(Call 11/13/44)^a		800		758,728
6.13%, 01/31/46	(Call 07/31/45)		400		439,520
6.63%, 01/15/40			400		457,236
Historic TW Inc.
6.63%, 05/15/29			1,280		1,628,787
NBCUniversal Media LLC
4.45%, 01/15/43			816		878,661
5.95%, 04/01/41			675		874,247
6.40%, 04/30/40			832		1,130,646
TCI Communications Inc.
7.13%, 02/15/28			400		551,844
Thomson Reuters Corp.
5.50%, 08/15/35			150		168,048
5.65%, 11/23/43	(Call 05/23/43)		186		212,520
5.85%, 04/15/40			600		687,126
Time Warner Cable LLC
4.50%, 09/15/42	(Call 03/15/42)		525		491,731
5.50%, 09/01/41	(Call 03/01/41)		650		691,840
5.88%, 11/15/40	(Call 05/15/40)		821		897,435
6.55%, 05/01/37			300		351,291
6.75%, 06/15/39			811		965,788
7.30%, 07/01/38			1,050		1,318,527
Time Warner Companies Inc.
6.95%, 01/15/28			21		27,194


52		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Time Warner Entertainment Co. LP
8.38%, 07/15/33		$	1,000	$	1,347,670
Time Warner Inc.
4.65%, 06/01/44	(Call 12/01/43)		1,400		1,451,534
4.85%, 07/15/45	(Call 01/15/45)		1,232		1,319,226
4.90%, 06/15/42			243		259,638
5.35%, 12/15/43			400		453,428
5.38%, 10/15/41^a			250		279,900
6.10%, 07/15/40			175		210,530
6.20%, 03/15/40			164		199,608
6.25%, 03/29/41			200		245,398
6.50%, 11/15/36			300		370,971
7.63%, 04/15/31			500		697,205
7.70%, 05/01/32			800		1,102,344
Viacom Inc.
4.38%, 03/15/43			1,025		941,381
4.50%, 02/27/42			125		116,745
4.85%, 12/15/34	(Call 06/15/34)		290		292,230
4.88%, 06/15/43	(Call 12/15/42)		100		98,203
5.25%, 04/01/44	(Call 10/01/43)		375		394,136
5.85%, 09/01/43	(Call 03/01/43)		650		723,983
6.88%, 04/30/36			850		1,009,851
Walt Disney Co. (The)
3.00%, 07/30/46			125		111,356
3.70%, 12/01/42			275		276,936
4.13%, 06/01/44			350		377,080
4.38%, 08/16/41			500		549,640
7.00%, 03/01/32			391		547,771
Series E
4.13%, 12/01/41			387		412,171

					54,195,124
METAL FABRICATE & HARDWARE — 0.10%
Precision Castparts Corp.
3.90%, 01/15/43	(Call 07/15/42)		166		173,689
4.20%, 06/15/35	(Call 12/15/34)		500		543,460
4.38%, 06/15/45	(Call 12/15/44)		11		12,395
Valmont Industries Inc.
5.00%, 10/01/44	(Call 04/01/44)		205		193,092
5.25%, 10/01/54	(Call 04/01/54)		130		119,642

					1,042,278
MINING — 1.22%
Barrick Gold Corp.
5.25%, 04/01/42			740		810,204


Security		Principal (000s)		Value
Barrick North America Finance LLC
5.70%, 05/30/41		$	555	$	631,962
5.75%, 05/01/43			500		583,580
7.50%, 09/15/38			200		243,108
Barrick PD Australia Finance Pty Ltd.
5.95%, 10/15/39			700		802,515
BHP Billiton Finance USA Ltd.
4.13%, 02/24/42			880		889,346
5.00%, 09/30/43			1,173		1,335,707
Goldcorp Inc.
5.45%, 06/09/44	(Call 12/09/43)		161		171,148
Newmont Mining Corp.
4.88%, 03/15/42	(Call 09/15/41)		315		327,408
5.88%, 04/01/35^a			351		398,009
6.25%, 10/01/39			960		1,129,824
Rio Tinto Alcan Inc.
5.75%, 06/01/35			11		11,864
6.13%, 12/15/33			11		12,457
7.25%, 03/15/31			225		274,921
Rio Tinto Finance USA Ltd.
5.20%, 11/02/40			980		1,119,532
7.13%, 07/15/28			292		386,450
Rio Tinto Finance USA PLC
4.13%, 08/21/42	(Call 02/21/42)		731		740,379
4.75%, 03/22/42	(Call 09/22/41)^a		155		168,820
Southern Copper Corp.
5.25%, 11/08/42			740		699,981
5.88%, 04/23/45			800		799,216
6.75%, 04/16/40			800		869,720
7.50%, 07/27/35			400		473,400
Vale Canada Ltd.
7.20%, 09/15/32			50		50,937

					12,930,488
OFFICE & BUSINESS EQUIPMENT — 0.04%
Xerox Corp.
4.80%, 03/01/35^a			161		150,851
6.75%, 12/15/39^a			250		256,995

					407,846
OIL & GAS — 6.41%
Anadarko Finance Co.
7.50%, 05/01/31			475		603,160


SCHEDULEOF INVESTMENTS			53

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Anadarko Petroleum Corp.
4.50%, 07/15/44	(Call 01/15/44)	$	325	$	305,471
6.20%, 03/15/40			750		863,062
6.45%, 09/15/36			900		1,061,928
6.60%, 03/15/46	(Call 09/15/45)^a		1,000		1,230,580
Apache Corp.
4.25%, 01/15/44	(Call 07/15/43)		225		221,607
4.75%, 04/15/43	(Call 10/15/42)		1,300		1,366,521
5.10%, 09/01/40	(Call 03/01/40)		1,000		1,058,700
6.00%, 01/15/37			750		875,730
BP Capital Markets PLC
3.02%, 01/16/27	(Call 10/16/26)^a		400		401,224
Burlington Resources Finance Co.
7.20%, 08/15/31			614		798,912
7.40%, 12/01/31			500		662,530
Canadian Natural Resources Ltd.
5.85%, 02/01/35			225		239,488
6.25%, 03/15/38			1,130		1,287,115
6.45%, 06/30/33			200		221,864
7.20%, 01/15/32			450		526,513
CNOOC Nexen Finance 2014 ULC
4.88%, 04/30/44^a			1,000		1,103,033
Conoco Funding Co.
7.25%, 10/15/31			400		520,616
ConocoPhillips
5.90%, 10/15/32			13		15,282
6.50%, 02/01/39			1,081		1,378,902
ConocoPhillips Canada Funding Co. I
5.95%, 10/15/36			350		409,223
ConocoPhillips Co.
4.15%, 11/15/34	(Call 05/15/34)		415		409,759
4.30%, 11/15/44	(Call 05/15/44)		725		726,784
5.95%, 03/15/46	(Call 09/15/45)^a		250		311,410
ConocoPhillips Holding Co.
6.95%, 04/15/29			1,300		1,644,448
Devon Energy Corp.
4.75%, 05/15/42	(Call 11/15/41)		1,625		1,531,562
5.00%, 06/15/45	(Call 12/15/44)		500		484,375
5.60%, 07/15/41	(Call 01/15/41)		375		388,125
7.95%, 04/15/32			80		100,300
Devon Financing Co. LLC
7.88%, 09/30/31			550		695,750


Security		Principal (000s)		Value
Ecopetrol SA
5.88%, 05/28/45		$	900	$	795,051
7.38%, 09/18/43			750		772,215
Encana Corp.
6.50%, 08/15/34			1,050		1,131,375
6.50%, 02/01/38			500		538,125
Eni USA Inc.
7.30%, 11/15/27			205		246,748
EOG Resources Inc.
3.90%, 04/01/35	(Call 10/01/34)		300		295,842
5.10%, 01/15/36	(Call 07/15/35)		250		281,413
Exxon Mobil Corp.
3.57%, 03/06/45	(Call 09/06/44)		334		333,115
4.11%, 03/01/46	(Call 09/01/45)^a		1,450		1,564,463
Hess Corp.
4.30%, 04/01/27	(Call 01/01/27)		500		497,500
5.60%, 02/15/41			500		495,625
5.80%, 04/01/47	(Call 10/01/46)^a		1,050		1,076,250
6.00%, 01/15/40			200		206,000
7.13%, 03/15/33			225		258,469
7.30%, 08/15/31			621		728,122
Kerr-McGee Corp.
7.88%, 09/15/31			14		17,718
Marathon Oil Corp.
5.20%, 06/01/45	(Call 12/01/44)		300		280,125
6.60%, 10/01/37			630		673,312
6.80%, 03/15/32			26		28,177
Marathon Petroleum Corp.
4.75%, 09/15/44	(Call 03/15/44)		650		578,032
5.00%, 09/15/54	(Call 03/15/54)		200		169,496
5.85%, 12/15/45	(Call 06/15/45)		125		125,304
6.50%, 03/01/41	(Call 09/01/40)		615		662,503
Nexen Energy ULC
6.40%, 05/15/37			904		1,148,523
7.50%, 07/30/39			375		534,248
7.88%, 03/15/32			160		224,325
Noble Energy Inc.
5.25%, 11/15/43	(Call 05/15/43)		820		857,671
6.00%, 03/01/41	(Call 09/01/40)		735		809,580
Occidental Petroleum Corp.
4.40%, 04/15/46	(Call 10/15/45)		950		1,018,542
4.63%, 06/15/45	(Call 12/15/44)		200		219,194
Petro-Canada
5.35%, 07/15/33			125		139,689


54		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
5.95%, 05/15/35		$	11	$	13,085
6.80%, 05/15/38			1,250		1,644,888
Petroleos Mexicanos
5.50%, 06/27/44			1,323		1,139,937
5.63%, 01/23/46			1,550		1,339,076
6.38%, 01/23/45^a			1,400		1,335,278
6.50%, 06/02/41			1,850		1,798,515
6.63%, 06/15/35			1,755		1,771,058
6.63%, 06/15/38			300		299,901
6.75%, 09/21/47^a,b			1,892		1,879,570
Phillips 66
4.65%, 11/15/34	(Call 05/15/34)		629		664,891
4.88%, 11/15/44	(Call 05/15/44)		1,350		1,453,815
5.88%, 05/01/42			365		446,490
Shell International Finance BV
3.75%, 09/12/46^a			500		478,295
4.00%, 05/10/46			1,300		1,285,648
4.13%, 05/11/35			565		585,058
4.38%, 05/11/45^a			2,000		2,100,760
4.55%, 08/12/43			1,881		2,004,412
5.50%, 03/25/40			346		410,937
6.38%, 12/15/38			931		1,224,777
Statoil ASA
3.95%, 05/15/43			800		802,392
4.25%, 11/23/41			250		260,172
4.80%, 11/08/43			450		509,341
5.10%, 08/17/40			380		443,870
6.50%, 12/01/28^b			100		130,095
6.80%, 01/15/28			75		100,062
7.15%, 01/15/29			350		488,568
Suncor Energy Inc.
5.95%, 12/01/34			150		177,407
6.50%, 06/15/38			600		771,798
6.85%, 06/01/39			600		805,680
Tosco Corp.
7.80%, 01/01/27			364		467,751
8.13%, 02/15/30			61		83,397
Valero Energy Corp.
4.90%, 03/15/45^a			545		534,100
6.63%, 06/15/37^a			1,100		1,289,134
7.50%, 04/15/32			258		322,768
10.50%, 03/15/39			11		17,066


Security		Principal (000s)		Value
XTO Energy Inc.
6.75%, 08/01/37		$	350	$	492,761

					67,723,479
OIL & GAS SERVICES — 0.49%
Baker Hughes Inc.
5.13%, 09/15/40			490		563,358
Halliburton Co.
4.50%, 11/15/41	(Call 05/15/41)		672		676,254
4.75%, 08/01/43	(Call 02/01/43)		825		865,021
4.85%, 11/15/35	(Call 05/15/35)^a		1,033		1,107,397
5.00%, 11/15/45	(Call 05/15/45)		265		290,983
6.70%, 09/15/38			21		26,841
7.45%, 09/15/39			825		1,131,941
National Oilwell Varco Inc.
3.95%, 12/01/42	(Call 06/01/42)		705		539,790

					5,201,585
PACKAGING & CONTAINERS — 0.03%
Sonoco Products Co.
5.75%, 11/01/40	(Call 05/01/40)		253		286,525

					286,525
PHARMACEUTICALS — 4.93%
Abbott Laboratories
5.30%, 05/27/40			603		701,982
6.00%, 04/01/39			450		563,386
AbbVie Inc.
4.30%, 05/14/36	(Call 11/14/35)		750		750,960
4.40%, 11/06/42			1,500		1,478,145
4.45%, 05/14/46	(Call 11/14/45)		800		795,024
4.50%, 05/14/35	(Call 11/14/34)^a		1,850		1,898,988
4.70%, 05/14/45	(Call 11/14/44)^a		1,675		1,723,089
Actavis Funding SCS
4.55%, 03/15/35	(Call 09/15/34)^a		1,850		1,908,164
4.75%, 03/15/45	(Call 09/15/44)^a		2,200		2,305,798
4.85%, 06/15/44	(Call 12/15/43)		450		473,036
Actavis Inc.
4.63%, 10/01/42	(Call 04/01/42)		300		307,896
AmerisourceBergen Corp.
4.25%, 03/01/45	(Call 09/01/44)		336		346,977
AstraZeneca PLC
4.00%, 09/18/42			650		659,406
4.38%, 11/16/45			800		852,912
6.45%, 09/15/37			1,200		1,630,464


SCHEDULEOF INVESTMENTS			55

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Baxalta Inc.
5.25%, 06/23/45	(Call 12/23/44)	$	600	$	679,488
Bristol-Myers Squibb Co.
3.25%, 08/01/42			19		18,461
4.50%, 03/01/44	(Call 09/01/43)		518		602,009
5.88%, 11/15/36			820		1,064,868
Cardinal Health Inc.
4.50%, 11/15/44	(Call 05/15/44)		200		208,252
4.60%, 03/15/43			650		687,362
Eli Lilly & Co.
3.70%, 03/01/45	(Call 09/01/44)		732		752,335
5.50%, 03/15/27			459		572,130
5.55%, 03/15/37			166		207,820
Express Scripts Holding Co.
3.40%, 03/01/27	(Call 12/01/26)		1,175		1,156,835
4.80%, 07/15/46	(Call 01/15/46)^a		500		500,010
6.13%, 11/15/41			400		475,172
GlaxoSmithKline Capital Inc.
4.20%, 03/18/43^a			5		5,501
5.38%, 04/15/34			200		241,070
6.38%, 05/15/38			2,326		3,242,770
Johnson & Johnson
3.55%, 03/01/36	(Call 09/01/35)		1,270		1,346,098
3.70%, 03/01/46	(Call 09/01/45)		725		779,049
4.38%, 12/05/33	(Call 06/05/33)		1,250		1,452,313
4.50%, 09/01/40			508		608,589
4.50%, 12/05/43	(Call 06/05/43)		379		455,334
4.85%, 05/15/41			11		13,775
4.95%, 05/15/33			261		320,210
5.85%, 07/15/38			213		296,302
5.95%, 08/15/37			200		280,632
6.95%, 09/01/29			14		20,264
McKesson Corp.
4.88%, 03/15/44	(Call 09/15/43)		634		690,527
6.00%, 03/01/41	(Call 09/01/40)		80		98,795
Mead Johnson Nutrition Co.
4.60%, 06/01/44	(Call 12/01/43)		203		208,061
5.90%, 11/01/39			340		404,314
Merck & Co. Inc.
3.60%, 09/15/42	(Call 03/15/42)		11		11,079
3.70%, 02/10/45	(Call 08/10/44)		1,600		1,640,544
4.15%, 05/18/43			700		768,551
6.50%, 12/01/33			344		468,958
6.55%, 09/15/37			207		288,252


Security		Principal (000s)		Value
Merck Sharp & Dohme Corp.
5.75%, 11/15/36		$	500	$	628,755
5.85%, 06/30/39			11		14,280
5.95%, 12/01/28			400		510,532
Mylan Inc.
5.40%, 11/29/43	(Call 05/29/43)		200		211,394
Mylan NV
5.25%, 06/15/46	(Call 12/15/45)^b		950		962,008
Novartis Capital Corp.
3.70%, 09/21/42			200		202,888
4.00%, 11/20/45	(Call 05/20/45)^a		600		649,050
4.40%, 05/06/44			1,300		1,479,530
Perrigo Co. PLC
5.30%, 11/15/43	(Call 05/15/43)		250		255,940
Perrigo Finance Unlimited Co.
4.90%, 12/15/44	(Call 06/15/44)		221		215,871
Pfizer Inc.
4.30%, 06/15/43			371		411,131
4.40%, 05/15/44			806		906,428
5.60%, 09/15/40			100		126,032
7.20%, 03/15/39			1,500		2,233,620
Pharmacia LLC
6.60%, 12/01/28			900		1,215,000
Teva Pharmaceutical Finance Co. LLC
6.15%, 02/01/36^a			600		736,404
Teva Pharmaceutical Finance Netherlands III BV
3.15%, 10/01/26			1,000		972,250
4.10%, 10/01/46^a			1,240		1,150,261
Wyeth LLC
5.95%, 04/01/37			1,225		1,596,763
6.00%, 02/15/36			21		27,008
6.50%, 02/01/34			18		24,057
Zoetis Inc.
4.70%, 02/01/43	(Call 08/01/42)		590		604,756

					52,095,915
PIPELINES — 3.47%
Buckeye Partners LP
5.60%, 10/15/44	(Call 04/15/44)		100		103,574
5.85%, 11/15/43	(Call 05/15/43)		350		371,161
CenterPoint Energy Resources Corp.
5.85%, 01/15/41	(Call 07/15/40)		100		119,159
6.63%, 11/01/37			11		13,514


56		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Columbia Pipeline Group Inc.
5.80%, 06/01/45	(Call 12/01/44)	$	175	$	207,400
El Paso Natural Gas Co. LLC
8.38%, 06/15/32			11		13,773
Enable Midstream Partners LP
5.00%, 05/15/44	(Call 11/15/43)		125		105,938
Enbridge Energy Partners LP
5.50%, 09/15/40	(Call 03/15/40)		200		206,650
Series B
7.50%, 04/15/38			461		566,352
Enbridge Inc.
4.50%, 06/10/44	(Call 12/10/43)		200		182,982
Energy Transfer Partners LP
4.90%, 03/15/35	(Call 09/15/34)		220		205,414
5.15%, 02/01/43	(Call 08/01/42)		355		329,064
5.15%, 03/15/45	(Call 09/15/44)		550		512,682
6.05%, 06/01/41	(Call 12/01/40)		50		50,658
6.13%, 12/15/45	(Call 06/15/45)		625		653,500
6.50%, 02/01/42	(Call 08/01/41)		1,080		1,150,351
6.63%, 10/15/36			135		146,788
7.50%, 07/01/38			511		585,688
8.25%, 11/15/29	(Call 08/15/29)		100		124,487
EnLink Midstream Partners LP
5.05%, 04/01/45	(Call 10/01/44)		250		221,250
5.60%, 04/01/44	(Call 10/01/43)		180		171,450
Enterprise Products Operating LLC
3.95%, 02/15/27	(Call 11/15/26)		220		228,899
4.45%, 02/15/43	(Call 08/15/42)		875		843,124
4.85%, 08/15/42	(Call 02/15/42)		225		228,942
4.85%, 03/15/44	(Call 09/15/43)		700		705,754
4.90%, 05/15/46	(Call 11/15/45)		1,045		1,081,084
4.95%, 10/15/54	(Call 04/15/54)		950		931,808
5.10%, 02/15/45	(Call 08/15/44)		750		792,345
5.70%, 02/15/42			470		528,477
5.95%, 02/01/41			298		339,994
6.13%, 10/15/39			145		166,406
7.55%, 04/15/38			212		275,519
Series D
6.88%, 03/01/33			264		324,208
Series H
6.65%, 10/15/34			111		132,295
Kinder Morgan Energy Partners LP
4.70%, 11/01/42	(Call 05/01/42)		215		197,288
5.00%, 08/15/42	(Call 02/15/42)		250		239,020


Security		Principal (000s)		Value
5.00%, 03/01/43	(Call 09/01/42)	$	100	$	95,724
5.40%, 09/01/44	(Call 03/01/44)		360		358,438
5.50%, 03/01/44	(Call 09/01/43)		250		253,050
5.80%, 03/15/35			775		811,805
6.38%, 03/01/41			230		247,411
6.55%, 09/15/40			100		108,753
6.95%, 01/15/38			900		1,026,729
7.30%, 08/15/33			11		12,968
7.40%, 03/15/31			118		138,151
7.50%, 11/15/40			416		495,236
7.75%, 03/15/32			100		119,743
Kinder Morgan Inc./DE
5.05%, 02/15/46	(Call 08/15/45)		425		412,628
5.30%, 12/01/34	(Call 06/01/34)		1,950		1,974,433
5.55%, 06/01/45	(Call 12/01/44)		2,100		2,173,941
7.75%, 01/15/32			25		30,516
Magellan Midstream Partners LP
4.20%, 12/01/42	(Call 06/01/42)		200		190,798
4.20%, 03/15/45	(Call 09/15/44)		350		334,632
4.25%, 09/15/46	(Call 03/15/46)		320		311,427
5.15%, 10/15/43	(Call 04/15/43)		250		269,965
ONEOK Partners LP
6.13%, 02/01/41	(Call 08/01/40)		545		602,100
6.20%, 09/15/43	(Call 03/15/43)		25		28,054
6.65%, 10/01/36			450		512,244
6.85%, 10/15/37			400		463,864
Phillips 66 Partners LP
4.90%, 10/01/46	(Call 04/01/46)		500		501,515
Plains All American Pipeline LP/PAA Finance Corp.
4.70%, 06/15/44	(Call 12/15/43)		250		228,528
4.90%, 02/15/45	(Call 08/15/44)		725		687,771
5.15%, 06/01/42	(Call 12/01/41)		430		412,804
6.65%, 01/15/37			350		385,549
Southern Natural Gas Co. LLC
8.00%, 03/01/32			12		15,025
Spectra Energy Capital LLC
7.50%, 09/15/38			226		279,006
Spectra Energy Partners LP
4.50%, 03/15/45	(Call 09/15/44)^a		285		283,937
5.95%, 09/25/43	(Call 03/25/43)		241		283,751
Sunoco Logistics Partners Operations LP
4.95%, 01/15/43	(Call 07/15/42)		750		712,613


SCHEDULEOF INVESTMENTS			57

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
5.30%, 04/01/44	(Call 10/01/43)	$	303	$	302,276
6.10%, 02/15/42			175		188,631
6.85%, 02/15/40			16		18,300
Tennessee Gas Pipeline Co. LLC
7.00%, 10/15/28			375		445,177
Texas Eastern Transmission LP
7.00%, 07/15/32			276		342,530
TransCanada PipeLines Ltd.
4.63%, 03/01/34	(Call 12/01/33)		655		721,528
5.00%, 10/16/43	(Call 04/16/43)		410		465,653
5.60%, 03/31/34			300		357,345
5.85%, 03/15/36			100		121,873
6.10%, 06/01/40			324		413,213
6.20%, 10/15/37			550		696,547
7.25%, 08/15/38			400		563,640
7.63%, 01/15/39			925		1,359,611
Transcontinental Gas Pipe Line Co. LLC
4.45%, 08/01/42	(Call 02/01/42)		635		584,759
5.40%, 08/15/41	(Call 02/15/41)		26		27,111
Western Gas Partners LP
5.45%, 04/01/44	(Call 10/01/43)		380		388,075
Williams Partners LP
4.90%, 01/15/45	(Call 07/15/44)		825		769,412
5.10%, 09/15/45	(Call 03/15/45)		200		191,392
5.40%, 03/04/44	(Call 09/04/43)		600		585,258
5.80%, 11/15/43	(Call 05/15/43)		50		50,784
6.30%, 04/15/40			250		267,780

					36,681,002
REAL ESTATE INVESTMENT TRUSTS — 0.69%
American Tower Corp.
3.13%, 01/15/27	(Call 10/15/26)		500		487,475
3.38%, 10/15/26	(Call 07/15/26)		410		407,966
AvalonBay Communities Inc.
3.90%, 10/15/46	(Call 04/15/46)^a		350		341,299
Boston Properties LP
2.75%, 10/01/26	(Call 07/01/26)		500		483,565
Brandywine Operating Partnership LP
4.55%, 10/01/29	(Call 07/01/29)		5		5,138
ERP Operating LP
4.50%, 07/01/44	(Call 01/01/44)		640		683,328


Security		Principal (000s)		Value
Federal Realty Investment Trust
4.50%, 12/01/44	(Call 06/01/44)	$	267	$	290,280
HCP Inc.
6.75%, 02/01/41	(Call 08/01/40)		230		279,080
Kilroy Realty LP
4.25%, 08/15/29	(Call 05/15/29)		14		14,494
Kimco Realty Corp.
4.25%, 04/01/45	(Call 10/01/44)		200		199,412
Omega Healthcare Investors Inc.
4.50%, 04/01/27	(Call 01/01/27)		302		300,345
Realty Income Corp.
5.88%, 03/15/35			250		298,857
Simon Property Group LP
4.25%, 10/01/44	(Call 04/01/44)		14		14,954
4.75%, 03/15/42	(Call 09/15/41)		280		319,556
6.75%, 02/01/40	(Call 11/01/39)		550		776,495
Ventas Realty LP
4.38%, 02/01/45	(Call 08/01/44)		447		439,562
5.70%, 09/30/43	(Call 03/30/43)		11		12,918
Welltower Inc.
5.13%, 03/15/43	(Call 09/15/42)^a		205		219,692
6.50%, 03/15/41	(Call 09/15/40)		200		250,774
Weyerhaeuser Co.
6.88%, 12/15/33			325		411,973
6.95%, 10/01/27^a			278		345,148
7.38%, 03/15/32			516		683,623

					7,265,934
RETAIL — 3.93%
Bed Bath & Beyond Inc.
4.92%, 08/01/34	(Call 02/01/34)^a		350		350,416
5.17%, 08/01/44	(Call 02/01/44)		425		405,450
CVS Health Corp.
4.88%, 07/20/35	(Call 01/20/35)		1,100		1,240,525
5.13%, 07/20/45	(Call 01/20/45)		2,325		2,705,277
5.30%, 12/05/43	(Call 06/05/43)		18		21,161
Darden Restaurants Inc.
6.80%, 10/15/37			210		243,600
Home Depot Inc. (The)
3.50%, 09/15/56	(Call 03/15/56)		640		595,821
4.20%, 04/01/43	(Call 10/01/42)		121		131,450
4.25%, 04/01/46	(Call 10/01/45)		1,150		1,267,369
4.40%, 03/15/45	(Call 09/15/44)		700		781,634
4.88%, 02/15/44	(Call 08/15/43)		711		840,857


58		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
5.40%, 09/15/40	(Call 03/15/40)	$	21	$	26,108
5.88%, 12/16/36			1,525		2,017,987
5.95%, 04/01/41	(Call 10/01/40)		963		1,286,655
Kohl’s Corp.
5.55%, 07/17/45	(Call 01/17/45)		300		291,222
Lowe’s Companies Inc.
3.70%, 04/15/46	(Call 10/15/45)		800		790,144
4.38%, 09/15/45	(Call 03/15/45)		750		817,350
4.65%, 04/15/42	(Call 10/15/41)		400		452,396
5.00%, 09/15/43	(Call 03/15/43)		600		705,396
5.50%, 10/15/35			11		13,510
5.80%, 10/15/36			16		20,239
5.80%, 04/15/40	(Call 10/15/39)^a		300		386,676
6.65%, 09/15/37			100		139,665
6.88%, 02/15/28			600		803,034
Macy’s Retail Holdings Inc.
4.30%, 02/15/43	(Call 08/15/42)		76		63,195
4.50%, 12/15/34	(Call 06/15/34)^a		107		97,492
5.13%, 01/15/42	(Call 07/15/41)^a		200		186,366
6.38%, 03/15/37^a			213		224,116
6.70%, 07/15/34			200		214,484
6.90%, 04/01/29^a			850		958,936
6.90%, 01/15/32			50		55,342
McDonald’s Corp.
3.63%, 05/01/43			11		10,239
3.70%, 02/15/42			518		491,266
4.60%, 05/26/45	(Call 11/26/44)^a		300		321,507
4.70%, 12/09/35	(Call 06/09/35)		675		742,000
4.88%, 07/15/40			6		6,566
4.88%, 12/09/45	(Call 06/09/45)		1,450		1,623,608
5.70%, 02/01/39			275		330,660
6.30%, 10/15/37			360		461,779
6.30%, 03/01/38			200		257,116
Nordstrom Inc.
5.00%, 01/15/44	(Call 07/15/43)		257		261,734
6.95%, 03/15/28			450		561,105
QVC Inc.
5.45%, 08/15/34	(Call 02/15/34)^a		350		323,312
5.95%, 03/15/43			100		93,875
Starbucks Corp.
4.30%, 06/15/45	(Call 12/15/44)		197		222,159
Target Corp.
3.63%, 04/15/46^a			1,505		1,482,786


Security		Principal (000s)		Value
4.00%, 07/01/42^a		$	1,100	$	1,154,197
6.35%, 11/01/32			282		374,832
Tiffany & Co.
4.90%, 10/01/44	(Call 04/01/44)		83		80,810
Wal-Mart Stores Inc.
4.00%, 04/11/43	(Call 10/11/42)		1,475		1,576,790
4.30%, 04/22/44	(Call 10/22/43)^a		900		1,012,500
4.75%, 10/02/43	(Call 04/02/43)		566		670,557
4.88%, 07/08/40			168		199,685
5.00%, 10/25/40			348		421,289
5.25%, 09/01/35			1,200		1,533,072
5.63%, 04/01/40			116		151,039
5.63%, 04/15/41			314		411,949
5.88%, 04/05/27			21		26,959
6.20%, 04/15/38			2,250		3,119,985
6.50%, 08/15/37			1,700		2,433,329
7.55%, 02/15/30			683		1,021,440
Walgreen Co.
4.40%, 09/15/42			125		126,634
Walgreens Boots Alliance Inc.
4.50%, 11/18/34	(Call 05/18/34)		150		155,883
4.65%, 06/01/46	(Call 12/01/45)		750		787,125
4.80%, 11/18/44	(Call 05/18/44)		900		966,267

					41,547,927
SEMICONDUCTORS — 0.72%
Analog Devices Inc.
5.30%, 12/15/45	(Call 06/15/45)		300		323,496
Applied Materials Inc.
5.10%, 10/01/35	(Call 04/01/35)		400		462,944
5.85%, 06/15/41			311		383,342
Intel Corp.
4.00%, 12/15/32			386		412,391
4.10%, 05/19/46	(Call 11/19/45)^a		450		464,976
4.25%, 12/15/42			371		391,527
4.80%, 10/01/41			1,080		1,226,869
4.90%, 07/29/45	(Call 01/29/45)		1,400		1,608,614
KLA-Tencor Corp.
5.65%, 11/01/34	(Call 07/01/34)^a		200		217,996
QUALCOMM Inc.
4.65%, 05/20/35	(Call 11/20/34)		850		923,823
4.80%, 05/20/45	(Call 11/20/44)		1,060		1,166,890

					7,582,868


SCHEDULEOF INVESTMENTS			59

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
SOFTWARE — 2.37%
Fidelity National Information Services Inc.
4.50%, 08/15/46	(Call 02/15/46)	$	250	$	245,645
Microsoft Corp.
3.45%, 08/08/36	(Call 02/08/36)		1,000		989,460
3.50%, 02/12/35	(Call 08/12/34)^a		1,300		1,302,652
3.50%, 11/15/42			350		333,102
3.70%, 08/08/46	(Call 02/08/46)		3,250		3,180,937
3.75%, 05/01/43	(Call 11/01/42)		623		614,502
3.75%, 02/12/45	(Call 08/12/44)		428		421,516
3.95%, 08/08/56	(Call 02/08/56)		500		489,135
4.00%, 02/12/55	(Call 08/12/54)		1,500		1,483,215
4.20%, 11/03/35	(Call 05/03/35)		521		570,391
4.45%, 11/03/45	(Call 05/03/45)		1,900		2,091,444
4.50%, 10/01/40			404		446,994
4.75%, 11/03/55	(Call 05/03/55)		500		563,795
4.88%, 12/15/43	(Call 06/15/43)^a		504		581,853
5.20%, 06/01/39			322		389,733
5.30%, 02/08/41			623		766,115
Oracle Corp.
3.25%, 05/15/30	(Call 02/15/30)^a		836		854,141
3.85%, 07/15/36	(Call 01/15/36)		1,000		1,009,020
3.90%, 05/15/35	(Call 11/15/34)		1,007		1,020,816
4.00%, 07/15/46	(Call 01/15/46)		1,595		1,574,201
4.13%, 05/15/45	(Call 11/15/44)		1,400		1,404,438
4.30%, 07/08/34	(Call 01/08/34)^a		982		1,047,824
4.38%, 05/15/55	(Call 11/15/54)^a		354		365,112
4.50%, 07/08/44	(Call 01/08/44)		717		764,200
5.38%, 07/15/40			1,069		1,273,724
6.13%, 07/08/39			946		1,227,662
6.50%, 04/15/38^a			40		54,005

					25,065,632
TELECOMMUNICATIONS — 7.08%
America Movil SAB de CV
4.38%, 07/16/42^a			643		632,841
6.13%, 11/15/37			125		147,684
6.13%, 03/30/40			1,721		2,062,171
6.38%, 03/01/35			145		177,173
AT&T Corp.
8.25%, 11/15/31			501		723,945
AT&T Inc.
4.30%, 12/15/42	(Call 06/15/42)		851		789,677


Security		Principal (000s)		Value
4.35%, 06/15/45	(Call 12/15/44)	$	829	$	764,628
4.50%, 05/15/35	(Call 11/15/34)		1,208		1,193,842
4.50%, 03/09/48	(Call 09/09/47)^b		5,048		4,764,908
4.55%, 03/09/49	(Call 09/09/48)^b		1,281		1,204,691
4.75%, 05/15/46	(Call 11/15/45)		2,000		1,954,700
4.80%, 06/15/44	(Call 12/15/43)		1,820		1,803,256
5.15%, 03/15/42			1,016		1,039,541
5.35%, 09/01/40			657		693,188
5.65%, 02/15/47	(Call 08/15/46)^a		1,250		1,386,025
6.00%, 08/15/40	(Call 05/15/40)		259		291,362
6.30%, 01/15/38			858		1,000,334
6.35%, 03/15/40			325		378,202
6.38%, 03/01/41			633		745,104
6.50%, 09/01/37			376		454,456
AT&T Mobility LLC
7.13%, 12/15/31^a			650		863,844
BellSouth Telecommunications LLC
6.38%, 06/01/28^a			200		240,012
British Telecommunications PLC
9.38%, 12/15/30			1,391		2,220,384
Cisco Systems Inc.
5.50%, 01/15/40^a			1,750		2,209,340
5.90%, 02/15/39			767		1,009,257
Corning Inc.
4.70%, 03/15/37^a			75		77,599
4.75%, 03/15/42			347		354,207
5.75%, 08/15/40			248		288,042
7.25%, 08/15/36	(Call 08/15/26)		205		248,210
Deutsche Telekom International Finance BV
8.75%, 06/15/30			1,954		2,979,850
9.25%, 06/01/32			219		353,043
Harris Corp.
4.85%, 04/27/35	(Call 10/27/34)		442		477,334
5.05%, 04/27/45	(Call 10/27/44)		475		519,816
6.15%, 12/15/40			105		128,249
Juniper Networks Inc.
5.95%, 03/15/41^a			250		258,318
Koninklijke KPN NV
8.38%, 10/01/30			501		684,927
Motorola Solutions Inc.
5.50%, 09/01/44			246		236,197
New Cingular Wireless Services Inc.
8.75%, 03/01/31			556		836,569


60		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Orange SA
5.38%, 01/13/42		$	350	$	413,983
5.50%, 02/06/44	(Call 08/06/43)^a		670		818,003
9.00%, 03/01/31			1,605		2,519,850
Qwest Corp.
6.88%, 09/15/33	(Call 12/01/16)		710		702,900
7.13%, 11/15/43	(Call 12/01/16)^a		323		323,000
7.25%, 10/15/35	(Call 12/01/16)		11		11,000
Rogers Communications Inc.
4.50%, 03/15/43	(Call 09/15/42)		150		155,805
5.00%, 03/15/44	(Call 09/15/43)		620		698,628
5.45%, 10/01/43	(Call 04/01/43)		21		24,483
7.50%, 08/15/38			595		827,264
Telefonica Emisiones SAU
7.05%, 06/20/36			1,275		1,620,092
Telefonica Europe BV
8.25%, 09/15/30			593		845,244
TELUS Corp.
2.80%, 02/16/27	(Call 11/16/26)		250		245,133
Verizon Communications Inc.
3.85%, 11/01/42	(Call 05/01/42)		1,176		1,079,568
4.13%, 08/15/46	(Call 02/15/46)^a		120		114,685
4.27%, 01/15/36			1,700		1,698,980
4.40%, 11/01/34	(Call 05/01/34)		2,500		2,534,475
4.52%, 09/15/48			2,550		2,551,887
4.67%, 03/15/55			3,000		2,945,610
4.75%, 11/01/41			515		536,403
4.86%, 08/21/46			2,900		3,075,247
5.01%, 08/21/54			2,677		2,764,832
5.05%, 03/15/34	(Call 12/15/33)		851		925,028
5.85%, 09/15/35			730		871,394
6.00%, 04/01/41			948		1,143,629
6.25%, 04/01/37			16		19,806
6.40%, 09/15/33			800		999,576
6.40%, 02/15/38			401		499,626
6.55%, 09/15/43			2,400		3,161,664
6.90%, 04/15/38			1,000		1,301,170
Vodafone Group PLC
4.38%, 02/19/43			1,145		1,103,379
6.15%, 02/27/37			1,035		1,220,213
6.25%, 11/30/32			400		479,692
7.88%, 02/15/30			302		411,146

					74,836,321


Security		Principal (000s)		Value
TEXTILES — 0.03%
Cintas Corp. No. 2
6.15%, 08/15/36		$	249	$	308,817

					308,817
TOYS, GAMES & HOBBIES — 0.09%
Hasbro Inc.
5.10%, 05/15/44	(Call 11/15/43)		151		155,557
6.35%, 03/15/40			295		352,708
Mattel Inc.
5.45%, 11/01/41	(Call 05/01/41)		350		363,839
6.20%, 10/01/40^a			61		69,240

					941,344
TRANSPORTATION — 2.80%
Burlington Northern Santa Fe LLC
3.90%, 08/01/46	(Call 02/01/46)		415		422,752
4.15%, 04/01/45	(Call 10/01/44)		700		738,241
4.38%, 09/01/42	(Call 03/01/42)		437		472,012
4.40%, 03/15/42	(Call 09/15/41)		463		502,239
4.45%, 03/15/43	(Call 09/15/42)		11		12,038
4.55%, 09/01/44	(Call 03/01/44)		457		506,091
4.70%, 09/01/45	(Call 03/01/45)		600		685,116
4.90%, 04/01/44	(Call 10/01/43)		1,100		1,277,089
4.95%, 09/15/41	(Call 03/15/41)^a		114		133,045
5.05%, 03/01/41	(Call 09/01/40)		26		30,654
5.15%, 09/01/43	(Call 03/01/43)		173		208,005
5.40%, 06/01/41	(Call 12/01/40)		420		512,198
5.75%, 05/01/40	(Call 11/01/39)		466		592,873
6.15%, 05/01/37			161		213,452
6.20%, 08/15/36			350		465,822
Canadian National Railway Co.
3.20%, 08/02/46	(Call 02/02/46)		450		425,884
3.50%, 11/15/42	(Call 05/15/42)		170		166,252
4.50%, 11/07/43	(Call 05/07/43)		205		232,505
6.20%, 06/01/36			250		341,410
6.25%, 08/01/34			111		149,323
6.38%, 11/15/37			200		276,350
6.90%, 07/15/28			700		979,251
Canadian Pacific Railway Co.
4.80%, 09/15/35	(Call 03/15/35)		122		137,027
4.80%, 08/01/45	(Call 02/01/45)		100		113,823
5.75%, 03/15/33			107		124,041
5.75%, 01/15/42			261		326,963
5.95%, 05/15/37			16		19,783


SCHEDULEOF INVESTMENTS			61

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
6.13%, 09/15/15	(Call 03/15/15)	$	256	$	307,794
7.13%, 10/15/31			790		1,070,300
CSX Corp.
3.95%, 05/01/50	(Call 11/01/49)		300		291,096
4.10%, 03/15/44	(Call 09/15/43)		900		915,606
4.25%, 11/01/66	(Call 05/01/66)		500		486,505
4.40%, 03/01/43	(Call 09/01/42)		200		210,524
4.50%, 08/01/54	(Call 02/01/54)		500		522,525
4.75%, 05/30/42	(Call 11/30/41)		500		550,495
5.50%, 04/15/41	(Call 10/15/40)		70		83,399
6.00%, 10/01/36			450		563,972
6.15%, 05/01/37			75		94,850
6.22%, 04/30/40			105		135,356
FedEx Corp.
3.88%, 08/01/42			309		297,091
3.90%, 02/01/35^a			1,000		993,440
4.10%, 04/15/43			52		51,599
4.10%, 02/01/45			200		199,040
4.50%, 02/01/65			86		84,514
4.55%, 04/01/46	(Call 10/01/45)		775		826,863
4.75%, 11/15/45	(Call 05/15/45)		600		652,032
4.90%, 01/15/34			338		376,762
5.10%, 01/15/44			416		475,355
Kansas City Southern
4.30%, 05/15/43	(Call 11/15/42)		100		99,967
4.95%, 08/15/45	(Call 02/15/45)		450		494,109
Norfolk Southern Corp.
4.45%, 06/15/45	(Call 12/15/44)^a		441		479,640
4.65%, 01/15/46	(Call 07/15/45)^a		585		653,556
4.80%, 08/15/43	(Call 02/15/43)		1,024		1,158,062
4.84%, 10/01/41			479		542,439
6.00%, 03/15/05			11		12,812
6.00%, 05/23/11			436		504,932
NorthWestern Corp.
4.18%, 11/15/44	(Call 05/15/44)		161		169,409
Union Pacific Corp.
3.35%, 08/15/46	(Call 02/15/46)		250		236,667
3.38%, 02/01/35	(Call 08/01/34)		516		513,853
3.88%, 02/01/55	(Call 08/01/54)		675		663,781
4.05%, 11/15/45	(Call 05/15/45)		300		315,573
4.05%, 03/01/46	(Call 09/01/45)		420		442,827
4.15%, 01/15/45	(Call 07/15/44)^a		75		80,019
4.30%, 06/15/42	(Call 12/15/41)		550		591,893


Security		Principal (000s)		Value
4.38%, 11/15/65	(Call 05/15/65)	$	6	$	6,397
4.75%, 09/15/41	(Call 03/15/41)		8		9,075
4.75%, 12/15/43	(Call 06/15/43)		100		114,147
4.82%, 02/01/44	(Call 08/01/43)		570		658,909
4.85%, 06/15/44	(Call 12/15/43)		14		16,218
6.63%, 02/01/29			307		411,825
United Parcel Service Inc.
3.40%, 11/15/46	(Call 05/15/46)		110		107,306
3.63%, 10/01/42			105		106,636
4.88%, 11/15/40	(Call 05/15/40)		530		633,191
6.20%, 01/15/38			700		967,603
United Parcel Service of America Inc.
8.38%, 04/01/30^c			214		310,567

					29,554,770
TRUCKING & LEASING — 0.04%
GATX Corp.
4.50%, 03/30/45	(Call 09/30/44)		200		184,084
5.20%, 03/15/44	(Call 09/15/43)		250		258,285

					442,369
WATER — 0.14%
American Water Capital Corp.
4.30%, 12/01/42	(Call 06/01/42)^a		16		17,603
4.30%, 09/01/45	(Call 03/01/45)		500		552,740
6.59%, 10/15/37			239		335,295
United Utilities PLC
6.88%, 08/15/28			275		316,583
Veolia Environnement SA
6.75%, 06/01/38			225		290,765

					1,512,986

TOTAL CORPORATE BONDS & NOTES
(Cost: $876,303,523)					893,051,746

FOREIGN GOVERNMENT OBLIGATIONS^d — 5.44%

CANADA — 0.14%
Province of Quebec Canada
7.50%, 09/15/29			1,000		1,481,410

					1,481,410
CHILE — 0.04%
Chile Government International Bond
3.63%, 10/30/42^a			450		458,649

					458,649


62		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
COLOMBIA — 0.60%
Colombia Government International Bond
5.00%, 06/15/45	(Call 12/15/44)	$	650	$	663,000
5.63%, 02/26/44	(Call 08/26/43)		2,200		2,413,642
6.13%, 01/18/41^a			1,500		1,721,970
7.38%, 09/18/37^a			800		1,029,504
10.38%, 01/28/33			300		457,854

					6,285,970
HUNGARY — 0.07%
Hungary Government International Bond
7.63%, 03/29/41			500		758,125

					758,125
ISRAEL — 0.08%
Israel Government International Bond
4.50%, 01/30/43			800		881,480

					881,480
ITALY — 0.12%
Republic of Italy Government International Bond
5.38%, 06/15/33			1,092		1,287,140

					1,287,140
MEXICO — 1.33%
Mexico Government International Bond
4.35%, 01/15/47			700		664,496
4.60%, 01/23/46			2,600		2,549,326
4.75%, 03/08/44			3,140		3,131,365
5.55%, 01/21/45			1,300		1,457,989
5.75%, 10/12/49			2,130		2,179,587
6.05%, 01/11/40			700		832,314
6.75%, 09/27/34^a			1,025		1,329,712
7.50%, 04/08/33			477		663,068
8.30%, 08/15/31			800		1,278,832

					14,086,689
PANAMA — 0.41%
Panama Government International Bond
6.70%, 01/26/36			1,480		1,969,037
8.88%, 09/30/27			500		736,835


Security	Principal (000s)		Value
9.38%, 04/01/29^a	$	1,030	$	1,565,950

				4,271,822
PERU — 0.60%
Peruvian Government International Bond
4.13%, 08/25/27^a		1,100		1,227,875
5.63%, 11/18/50^a		1,475		1,869,857
6.55%, 03/14/37^a		495		678,893
8.75%, 11/21/33^a		1,650		2,598,667

				6,375,292
PHILIPPINES — 0.97%
Philippine Government International Bond
3.95%, 01/20/40		1,400		1,501,500
5.00%, 01/13/37		1,400		1,711,500
6.38%, 01/15/32		1,400		1,909,250
6.38%, 10/23/34		1,600		2,224,000
7.75%, 01/14/31		1,400		2,108,750
9.50%, 02/02/30		450		750,938

				10,205,938
SOUTH AFRICA — 0.19%
Republic of South Africa Government International Bond
5.00%, 10/12/46		1,000		968,750
5.38%, 07/24/44^a		800		832,000
6.25%, 03/08/41		200		233,000

				2,033,750
SOUTH KOREA — 0.10%
Export-Import Bank of Korea
2.38%, 04/21/27		200		196,736
Korea International Bond
4.13%, 06/10/44^a		700		887,370

				1,084,106
SUPRANATIONAL — 0.33%
Asian Development Bank
5.82%, 06/16/28		310		408,571
European Investment Bank
4.88%, 02/15/36		845		1,125,202
Inter-American Development Bank
3.20%, 08/07/42		300		313,374
3.88%, 10/28/41		500		586,030
4.38%, 01/24/44		400		503,900


SCHEDULEOF INVESTMENTS			63

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
International Bank for Reconstruction & Development
4.75%, 02/15/35		$	440	$	571,705

					3,508,782
URUGUAY — 0.46%
Uruguay Government International Bond
4.13%, 11/20/45			300		273,594
4.38%, 10/27/27			1,500		1,590,825
5.10%, 06/18/50^a			1,750		1,746,780
7.63%, 03/21/36^a			865		1,191,572

					4,802,771

TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(Cost: $56,893,050)					57,521,924

MUNICIPAL DEBT OBLIGATIONS — 7.80%

CALIFORNIA — 2.50%
Alameda County Joint Powers Authority RB BAB
7.05%, 12/01/44			135		193,585
Bay Area Toll Authority RB BAB
6.26%, 04/01/49			700		1,015,301
Series S-1
6.79%, 04/01/30			250		319,625
7.04%, 04/01/50			850		1,303,084
Series S-3
6.91%, 10/01/50			100		152,750
California State Public Works Board RB BAB Series G-2
8.36%, 10/01/34			360		539,258
City of Los Angeles Department of Airports RB BAB
6.58%, 05/15/39			530		707,916
City of San Francisco CA Public Utilities Commission Water Revenue RB BAB
6.95%, 11/01/50			320		473,872
County of Sonoma CA RB Series A
6.00%, 12/01/29	(GTD)		550		665,021


Security	Principal (000s)		Value
East Bay Municipal Utility District Water System Revenue RB BAB Series B
5.87%, 06/01/40	$	340	$	455,478
Los Angeles Community College District/CA GO BAB
6.60%, 08/01/42		350		520,719
6.75%, 08/01/49		300		457,986
Los Angeles County Metropolitan Transportation Authority RB BAB Series A
5.74%, 06/01/39		400		511,084
Los Angeles County Public Works Financing Authority RB BAB
7.62%, 08/01/40		350		520,251
Los Angeles Department of Water & Power RB BAB
Series A
6.60%, 07/01/50		550		824,532
Series D
6.57%, 07/01/45		400		587,308
Los Angeles Unified School District/CA GO BAB
5.75%, 07/01/34		800		1,032,648
6.76%, 07/01/34		550		775,538
Regents of the University of California Medical Center Pooled Revenue RB BAB
6.55%, 05/15/48		550		763,873
Sacramento Municipal Utility District RB BAB
6.16%, 05/15/36		100		129,346
San Diego County Regional Transportation Commission RB BAB
5.91%, 04/01/48		300		408,417
San Diego County Water Authority Financing Corp. RB BAB
6.14%, 05/01/49		400		551,476
State of California GO BAB
7.30%, 10/01/39		845		1,244,474
7.35%, 11/01/39		700		1,032,479
7.50%, 04/01/34		2,475		3,639,413


64		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
7.55%, 04/01/39		$	1,550	$	2,387,465
7.60%, 11/01/40			800		1,251,616
7.63%, 03/01/40			300		459,417
7.95%, 03/01/36	(Call 03/01/20)		750		893,775
University of California RB
Series AD
4.86%, 05/15/12			780		815,311
Series AN
4.77%, 05/15/44	(Call 05/15/24)		650		704,561
University of California RB BAB
5.77%, 05/15/43			200		256,516
5.95%, 05/15/45			650		844,883

					26,438,978
COLORADO — 0.10%
Colorado Bridge Enterprise RB BAB Series A
6.08%, 12/01/40			300		395,928
Denver City & County School District No. 1 COP Series B
7.02%, 12/15/37			435		604,211

					1,000,139
CONNECTICUT — 0.13%
State of Connecticut GO Series A
5.85%, 03/15/32			200		252,252
State of Connecticut GO BAB
5.09%, 10/01/30			200		237,900
5.63%, 12/01/29			720		878,141

					1,368,293
DISTRICT OF COLUMBIA — 0.02%
District of Columbia Water & Sewer Authority RB
4.81%, 10/01/14			200		222,240

					222,240
GEORGIA — 0.17%
Municipal Electric Authority of Georgia RB BAB
Project J, Series 2010-A
6.64%, 04/01/57			350		455,917
Project P, Series 2010A
7.06%, 04/01/57			1,150		1,360,588

					1,816,505


Security	Principal (000s)		Value
ILLINOIS — 0.86%
Chicago Transit Authority RB
Series A
6.90%, 12/01/40	$	600	$	773,634
Series B
6.90%, 12/01/40		225		288,684
Chicago Transit Authority RB BAB Series B
6.20%, 12/01/40		120		146,497
City of Chicago IL GO Series C
7.78%, 01/01/35		1,000		1,105,320
County of Cook IL GO BAB
6.23%, 11/15/34		200		244,996
Illinois State Toll Highway Authority RB BAB
6.18%, 01/01/34		580		754,232
Metropolitan Water Reclamation District of Greater Chicago GOL BAB
5.72%, 12/01/38		500		635,385
State of Illinois GO
5.10%, 06/01/33		4,370		4,143,328
5.65%, 12/01/38		725		712,668
State of Illinois GO BAB Series 3
6.73%, 04/01/35		300		316,536

				9,121,280
KANSAS — 0.04%
Kansas Development Finance Authority RB Series H
4.73%, 04/15/37		100		107,983
State of Kansas Department of Transportation RB BAB
4.60%, 09/01/35		300		352,656

				460,639
KENTUCKY — 0.02%
Louisville & Jefferson County Metropolitan Sewer District RB BAB
6.25%, 05/15/43		145		199,339

				199,339


SCHEDULEOF INVESTMENTS			65

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security	Principal (000s)		Value
MARYLAND — 0.03%
Maryland State Transportation Authority RB BAB
5.89%, 07/01/43	$	200	$	263,882

				263,882
MASSACHUSETTS — 0.34%
Commonwealth of Massachusetts GOL BAB
4.91%, 05/01/29		240		293,496
Series E
5.46%, 12/01/39		695		911,847
Commonwealth of Massachusetts Transportation Fund Revenue RB BAB Series A
5.73%, 06/01/40		350		469,353
Massachusetts Clean Water Trust (The) RB BAB Series B
5.19%, 08/01/40		550		659,197
Massachusetts School Building Authority RB BAB
5.72%, 08/15/39		450		597,861
University of Massachusetts Building Authority RB BAB
5.45%, 11/01/40		550		694,034

				3,625,788
MISSOURI — 0.14%
Health & Educational Facilities Authority of the State of Missouri RB
3.09%, 09/15/51		100		92,448
Series A
3.65%, 01/15/46		250		258,460
Missouri Highway & Transportation Commission RB BAB
5.45%, 05/01/33		500		614,140
University of Missouri RB BAB
5.79%, 11/01/41		400		541,508

				1,506,556


Security		Principal (000s)		Value
NEVADA — 0.02%
County of Clark Department of Aviation RB BAB Series C
6.82%, 07/01/45		$	120	$	180,130

					180,130
NEW JERSEY — 0.51%
New Jersey Economic Development Authority RB Series A
7.43%, 02/15/29	(NPFGC)		675		840,895
New Jersey State Turnpike Authority RB BAB
7.10%, 01/01/41			1,225		1,800,284
Series F
7.41%, 01/01/40			750		1,138,425
New Jersey Transportation Trust Fund Authority RB BAB Series C
5.75%, 12/15/28			1,020		1,129,099
Rutgers The State University of New Jersey RB BAB
5.67%, 05/01/40			350		434,774

					5,343,477
NEW YORK — 1.32%
City of New York NY GO BAB
5.85%, 06/01/40			290		392,820
5.99%, 12/01/36			145		189,316
6.27%, 12/01/37			625		858,025
Series C-1
5.52%, 10/01/37			185		237,076
Housing Development Corp./NY RB
3.71%, 02/15/48			500		512,435
Metropolitan Transportation Authority RB BAB
6.09%, 11/15/40			250		333,895
Series 2010-A
6.67%, 11/15/39			225		313,432
Series A
5.87%, 11/15/39			350		443,055
Series B
6.65%, 11/15/39			350		481,999


66		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
Series C-1
6.69%, 11/15/40		$	475	$	659,908
Series E
6.81%, 11/15/40			300		418,968
New York City Transitional Finance Authority Future Tax Secured Revenue RB Series G-3
5.27%, 05/01/27			450		545,535
New York City Transitional Finance Authority Future Tax Secured Revenue RB BAB
5.51%, 08/01/37			200		254,252
5.57%, 11/01/38			250		319,263
New York City Water & Sewer System RB BAB
5.44%, 06/15/43			350		460,691
5.75%, 06/15/41			275		370,722
5.88%, 06/15/44			550		765,572
6.01%, 06/15/42			350		488,467
New York State Dormitory Authority RB BAB
5.39%, 03/15/40			625		806,837
5.50%, 03/15/30			200		248,218
5.63%, 03/15/39			350		445,924
New York State Urban Development Corp. RB BAB
5.84%, 03/15/40			350		450,943
Port Authority of New York & New Jersey RB
4.46%, 10/01/62			835		912,146
4.82%, 06/01/45	(Call 06/01/25)		100		108,098
4.93%, 10/01/51			1,000		1,198,340
Series 182
5.31%, 08/01/46	(Call 08/01/24)		1,250		1,389,012
Series 192
4.81%, 10/15/65			300		346,299

					13,951,248
OHIO — 0.35%
American Municipal Power Inc. RB BAB
7.50%, 02/15/50			620		893,029
8.08%, 02/15/50			500		801,750


Security		Principal (000s)		Value
Ohio State University (The) RB
Series A
3.80%, 12/01/46		$	500	$	520,030
4.80%, 06/01/11			200		212,056
Ohio State University (The) RB BAB
4.91%, 06/01/40			550		671,847
Ohio University RB
5.59%, 12/01/14			150		170,193
Ohio Water Development Authority Water Pollution Control Loan Fund RB BAB
4.88%, 12/01/34			400		466,124

					3,735,029
OREGON — 0.11%
Oregon School Boards Association GOL
Series B
5.55%, 06/30/28	(NPFGC)		250		302,215
5.68%, 06/30/28	(NPFGC)		500		613,760
State of Oregon Department of Transportation RB BAB Series 2010-A
5.83%, 11/15/34			175		232,213

					1,148,188
PENNSYLVANIA — 0.10%
Commonwealth of Pennsylvania GO BAB
5.45%, 02/15/30			300		368,799
Pennsylvania Turnpike Commission RB BAB Series B
5.56%, 12/01/49			480		620,482

					989,281
SOUTH CAROLINA — 0.05%
South Carolina Public Service Authority RB Series C
5.78%, 12/01/41			400		500,516

					500,516
TEXAS — 0.81%
City of Houston TX Combined Utility System Revenue RB Series B
3.83%, 05/15/28			300		329,637


SCHEDULEOF INVESTMENTS			67

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


Security		Principal (000s)		Value
City of Houston TX GOL Series A
6.29%, 03/01/32		$	495	$	611,647
City of San Antonio TX Electric & Gas Systems Revenue RB
4.43%, 02/01/42			250		285,318
5.81%, 02/01/41			550		729,740
Dallas Area Rapid Transit RB BAB
6.00%, 12/01/44			425		593,326
Dallas Convention Center Hotel Development Corp. RB BAB
7.09%, 01/01/42			340		471,767
Dallas County Hospital District GOL BAB Series C
5.62%, 08/15/44			250		322,565
Dallas Independent School District GO BAB
6.45%, 02/15/35	(Call 02/15/21) (PSF)		550		649,033
North Texas Tollway Authority RB BAB
6.72%, 01/01/49			200		299,084
8.91%, 02/01/30	(Call 02/01/20)		550		657,189
State of Texas GO BAB
5.52%, 04/01/39			675		904,851
Series A
4.63%, 04/01/33			500		594,005
4.68%, 04/01/40			300		362,670
Texas Transportation Commission State Highway Fund RB BAB Series B
5.18%, 04/01/30			825		1,030,276
University of Texas System (The) RB BAB
Series B
6.28%, 08/15/41	(Call 08/15/19)		370		414,914
Series D
5.13%, 08/15/42			250		316,335

					8,572,357


Security	Principal or Shares (000s)		Value
UTAH — 0.03%
Utah Transit Authority RB BAB Series B
5.94%, 06/15/39	$	250	$	339,875

				339,875
VIRGINIA — 0.04%
University of Virginia RB BAB
6.20%, 09/01/39		300		432,753

				432,753
WASHINGTON — 0.11%
Central Puget Sound Regional Transit Authority RB BAB
5.49%, 11/01/39		150		198,152
State of Washington GO BAB
5.14%, 08/01/40		750		958,836

				1,156,988

TOTAL MUNICIPAL DEBT OBLIGATIONS
(Cost: $80,225,090)				82,373,481

SHORT-TERM INVESTMENTS — 10.13%

MONEY MARKET FUNDS — 10.13%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.72%^e,f,g		93,013		93,022,294
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^e,f		13,981		13,980,754

				107,003,048

TOTAL SHORT-TERM INVESTMENTS
(Cost: $106,994,043)				107,003,048


68		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Unaudited) (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016


	Value
TOTAL INVESTMENTS IN SECURITIES —107.92%
(Cost: $1,120,415,706)^h	$	1,139,950,199
Other Assets, Less Liabilities — (7.92)%		(83,684,494	)

NET ASSETS — 100.00%	$	1,056,265,705

BAB — Build America Bond

COP — Certificates of Participation

GO — General Obligation

GOL — General Obligation Limited

GTD — Guaranteed by the Commonwealth, County or State

PSF — Permanent School Fund

RB — Revenue Bond

Insured by:

NPFGC — National Public Finance Guarantee Corp.

^a	All or a portion of this security represents a security on loan. See Note 1.

^b	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^c	Step coupon security. Coupon rate will either increase (step-up bond) or decrease (step-down bond) at regular intervals until maturity. Interest rate shown reflects the rate currently in effect.

^d	Investments are denominated in U.S. dollars.

^e	Affiliated money market fund.

^f	The rate quoted is the annualized seven-day yield of the fund at period end.

^g	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

^h	The cost of investments for federal income tax purposes was $1,120,655,741. Net unrealized appreciation was $19,294,458, of which $ 29,714,842 represented gross unrealized appreciation on securities and $ 10,420,384 represented gross unrealized depreciation on securities.

Schedule 1 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Corporate bonds & notes	$	—	$	893,051,746	$	—	$	893,051,746
Foreign government obligations		—		57,521,924		—		57,521,924
Municipal debt obligations		—		82,373,481		—		82,373,481
Money market funds		107,003,048		—		—		107,003,048

Total	$	107,003,048	$	1,032,947,151	$	—	$	1,139,950,199


SCHEDULEOF INVESTMENTS			69

Statement of Assets and Liabilities (Unaudited)

iSHARES^® 10+ YEAR CREDIT BOND ETF

October 31, 2016



ASSETS
Investments, at cost:
Unaffiliated	$	1,013,421,663
Affiliated		106,994,043

Total cost of investments	$	1,120,415,706

Investments in securities, at fair value (including securities on loan^a)
Unaffiliated	$	1,032,947,151
Affiliated		107,003,048

Total fair value of investments		1,139,950,199
Receivables:
Investment securities sold		7,170,592
Interest		12,651,262

Total Assets		1,159,772,053


LIABILITIES
Payables:
Investment securities purchased		10,312,288
Collateral for securities on loan		93,013,285
Investment advisory fees		180,775

Total Liabilities		103,506,348


NET ASSETS	$	1,056,265,705


Net assets consist of:
Paid-in capital	$	1,039,179,948
Undistributed net investment income		3,115,443
Accumulated net realized loss		(5,564,179	)
Net unrealized appreciation		19,534,493

NET ASSETS	$	1,056,265,705


Shares outstanding^b		17,200,000


Net asset value per share	$	61.41

^a	Securities on loan with a value of $90,823,398.

^b	No par value, unlimited number of shares authorized.


70		STATEMENTOF ASSETSAND LIABILITIES

Schedule of Investments

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 82.24%

ADVERTISING — 0.04%
WPP Finance 2010
5.13%, 09/07/42	$	55	$	51,703
5.63%, 11/15/43		229		232,708

				284,411
AEROSPACE & DEFENSE — 1.66%
Boeing Co. (The)
3.30%, 03/01/35 (Call 09/01/34)		295		278,624
3.50%, 03/01/45 (Call 09/01/44)		403		378,506
6.63%, 02/15/38		16		21,898
6.88%, 03/15/39		282		399,545
General Dynamics Corp.
3.60%, 11/15/42 (Call 05/15/42)^a		406		398,476
Lockheed Martin Corp.
3.60%, 03/01/35 (Call 09/01/34)		411		383,558
3.80%, 03/01/45 (Call 09/01/44)		374		349,069
4.07%, 12/15/42		1,006		980,340
4.50%, 05/15/36 (Call 11/15/35)		941		988,927
4.70%, 05/15/46 (Call 11/15/45)		509		546,543
4.85%, 09/15/41		529		569,560
Series B
6.15%, 09/01/36		189		233,086
Northrop Grumman Corp.
3.85%, 04/15/45 (Call 10/15/44)^a		100		95,610
4.75%, 06/01/43		451		489,485
5.05%, 11/15/40		311		346,784
Northrop Grumman Systems Corp.
7.75%, 02/15/31		505		708,055
Raytheon Co.
4.20%, 12/15/44 (Call 06/15/44)^a		218		233,037
4.70%, 12/15/41		398		452,297
4.88%, 10/15/40		100		115,864
7.20%, 08/15/27		155		212,429
Rockwell Collins Inc.
4.80%, 12/15/43 (Call 06/15/43)		261		287,643
United Technologies Corp.
4.15%, 05/15/45 (Call 11/16/44)		75		72,774
4.50%, 06/01/42		2,884		2,951,269
5.40%, 05/01/35		11		12,678
5.70%, 04/15/40		222		262,422
6.05%, 06/01/36		196		237,265
6.13%, 07/15/38		18		22,185


Security	Principal (000s)		Value
6.70%, 08/01/28	$	775	$	1,005,547
7.50%, 09/15/29		14		19,368

				13,052,844
AGRICULTURE — 1.30%
Altria Group Inc.
4.25%, 08/09/42		476		453,473
4.50%, 05/02/43		11		10,881
5.38%, 01/31/44		1,902		2,145,608
9.95%, 11/10/38		121		197,961
10.20%, 02/06/39		138		230,878
Archer-Daniels-Midland Co.
4.02%, 04/16/43^a		649		626,719
4.54%, 03/26/42		378		393,668
Lowe’s Companies Inc.
4.25%, 09/15/44 (Call 03/15/44)		307		313,610
Philip Morris International Inc.
3.88%, 08/21/42		26		24,899
4.13%, 03/04/43		217		217,185
4.25%, 11/10/44^a		1,800		1,842,229
4.38%, 11/15/41		86		88,352
4.50%, 03/20/42		21		21,993
4.88%, 11/15/43		230		255,276
6.38%, 05/16/38		657		844,106
Reynolds American Inc.
5.70%, 08/15/35 (Call 02/15/35)		311		350,584
5.85%, 08/15/45 (Call 02/15/45)		1,060		1,244,318
6.15%, 09/15/43		381		451,928
7.25%, 06/15/37		403		507,976

				10,221,644
AIRLINES — 0.37%
American Airlines 2014-1 Pass Through Trust Class A
3.70%, 04/01/28		215		213,931
American Airlines 2015-1 Pass Through Trust Class A
3.38%, 11/01/28		1,337		1,290,592
American Airlines 2016-1 Pass Through Trust Class AA
3.58%, 07/15/29		18		18,135
United Airlines 2014-1 Pass Through Trust Class A
4.00%, 10/11/27^a		353		361,128


SCHEDULEOF INVESTMENTS			71

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
United Airlines 2014-2 Pass Through Trust Class A
3.75%, 03/03/28	$	1,026	$	1,028,565
United Airlines 2015-1 Pass Through Trust Class AA
3.45%, 06/01/29		4		4,010

				2,916,361
APPAREL — 0.16%
NIKE Inc.
3.63%, 05/01/43 (Call 11/01/42)		255		248,327
3.88%, 11/01/45 (Call 05/01/45)		525		532,841
VF Corp.
6.00%, 10/15/33		150		184,869
6.45%, 11/01/37		221		290,150

				1,256,187
AUTO MANUFACTURERS — 0.77%
Daimler Finance North America LLC
8.50%, 01/18/31		560		837,149
Ford Holdings LLC
9.30%, 03/01/30^a		100		133,343
Ford Motor Co.
4.75%, 01/15/43^a		900		816,341
6.38%, 02/01/29		350		390,372
6.63%, 10/01/28		16		18,179
7.40%, 11/01/46		114		137,916
7.45%, 07/16/31		1,231		1,486,260
General Motors Co.
5.00%, 04/01/35		102		88,310
5.20%, 04/01/45		710		605,593
6.25%, 10/02/43		831		798,318
6.60%, 04/01/36 (Call 10/01/35)		710		733,693

				6,045,474
AUTO PARTS & EQUIPMENT — 0.17%
BorgWarner Inc.
4.38%, 03/15/45 (Call 09/15/44)^a		185		164,542
Johnson Controls Inc.
4.63%, 07/02/44 (Call 01/02/44)		375		340,115
4.95%, 07/02/64 (Call 01/02/64)		100		86,838
5.25%, 12/01/41 (Call 06/01/41)		5		4,958
5.70%, 03/01/41		5		5,268
6.00%, 01/15/36		641		699,018

				1,300,739


Security	Principal (000s)		Value
BANKS — 8.11%
Bank of America Corp.
4.25%, 10/22/26	$	1,953	$	1,937,849
4.88%, 04/01/44		1,314		1,368,542
5.00%, 01/21/44		1,153		1,217,563
5.88%, 02/07/42		570		659,418
6.11%, 01/29/37		600		648,259
6.75%, 06/01/28		14		16,235
7.75%, 05/14/38		931		1,189,108
Series L
4.75%, 04/21/45		8		7,339
Bank One Corp.
7.63%, 10/15/26		231		291,604
8.00%, 04/29/27		229		296,557
Barclays PLC
5.25%, 08/17/45^a		810		773,826
Branch Banking & Trust Co.
3.80%, 10/30/26 (Call 09/30/26)		528		551,827
Citigroup Inc.
4.30%, 11/20/26		1,000		975,499
4.45%, 09/29/27		1,750		1,712,554
4.65%, 07/30/45		1,050		1,056,736
4.95%, 11/07/43		421		438,531
5.30%, 05/06/44		565		564,157
5.88%, 02/22/33		16		16,911
5.88%, 01/30/42		626		709,036
6.00%, 10/31/33		16		17,159
6.13%, 08/25/36		422		461,857
6.63%, 01/15/28		11		13,718
6.63%, 06/15/32		625		710,140
6.68%, 09/13/43		296		344,577
6.88%, 02/15/98		100		129,074
8.13%, 07/15/39		510		727,322
Comerica Inc.
3.80%, 07/22/26		125		120,399
Cooperatieve Rabobank UA/NY
5.25%, 05/24/41		350		403,251
5.25%, 08/04/45^a		541		548,329
5.75%, 12/01/43		850		943,710
Credit Suisse Group Funding Guernsey Ltd.
4.88%, 05/15/45^a		786		716,022
Discover Bank/Greenwood DE
4.25%, 03/13/26		500		492,318


72		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Fifth Third Bancorp.
8.25%, 03/01/38	$	464	$	655,186
Goldman Sachs Group Inc. (The)
4.75%, 10/21/45 (Call 04/21/45)		986		1,000,059
4.80%, 07/08/44 (Call 01/08/44)		1,861		1,886,813
5.15%, 05/22/45		550		525,217
5.95%, 01/15/27		800		884,947
6.13%, 02/15/33^a		951		1,110,625
6.25%, 02/01/41		1,220		1,463,457
6.45%, 05/01/36		450		495,274
6.75%, 10/01/37		2,465		2,797,327
HSBC Bank PLC
7.65%, 05/01/25		100		125,225
HSBC Bank USA N.A./New York NY
5.63%, 08/15/35		1,750		1,849,187
HSBC Holdings PLC
5.25%, 03/14/44		612		581,062
6.10%, 01/14/42		416		516,391
6.50%, 05/02/36		1,056		1,155,097
6.50%, 09/15/37		1,007		1,104,891
6.80%, 06/01/38		600		681,761
7.63%, 05/17/32		421		502,979
JPMorgan Chase & Co.
4.13%, 12/15/26		1,821		1,842,091
4.25%, 10/01/27		968		980,247
4.85%, 02/01/44^a		1,543		1,704,284
4.95%, 06/01/45^a		718		724,644
5.40%, 01/06/42		362		413,893
5.50%, 10/15/40		517		596,860
5.60%, 07/15/41		666		780,637
5.63%, 08/16/43		319		348,101
6.40%, 05/15/38		945		1,201,666
KfW
0.00%, 04/18/36		1,200		669,865
0.00%, 06/29/37		800		426,846
Morgan Stanley
3.95%, 04/23/27		800		770,484
4.30%, 01/27/45		1,300		1,242,001
4.35%, 09/08/26		331		329,856
6.38%, 07/24/42		1,055		1,309,536
7.25%, 04/01/32		941		1,233,653
Regions Bank/Birmingham AL
6.45%, 06/26/37		271		317,814


Security	Principal (000s)		Value
Regions Financial Corp.
7.38%, 12/10/37	$	200	$	246,952
Travelers Companies Inc. (The)
4.30%, 08/25/45 (Call 02/25/45)		200		207,448
Wachovia Corp.
5.50%, 08/01/35		376		408,502
6.55%, 10/15/35		150		178,641
7.50%, 04/15/35		57		74,329
Wells Fargo & Co.
3.90%, 05/01/45		1,513		1,451,840
4.10%, 06/03/26		1,008		1,034,192
4.30%, 07/22/27		1,185		1,229,188
4.65%, 11/04/44^a		2,180		2,126,000
4.90%, 11/17/45		590		600,215
5.38%, 02/07/35		341		392,489
5.38%, 11/02/43		350		371,725
5.61%, 01/15/44		2,006		2,200,545
Wells Fargo Bank N.A.
5.95%, 08/26/36		476		574,226
Wells Fargo Capital X
5.95%, 12/01/86		311		308,779

				63,692,474
BEVERAGES — 2.46%
Anheuser-Busch Companies LLC
5.95%, 01/15/33		21		24,140
6.45%, 09/01/37		200		246,738
Anheuser-Busch InBev Finance Inc.
4.00%, 01/17/43		50		46,866
4.63%, 02/01/44		245		253,413
4.70%, 02/01/36 (Call 08/01/35)		2,814		2,942,206
4.90%, 02/01/46 (Call 08/01/45)		4,820		5,165,593
Anheuser-Busch InBev Worldwide Inc.
3.75%, 07/15/42		1,400		1,264,899
6.38%, 01/15/40		300		371,141
8.00%, 11/15/39		136		195,710
8.20%, 01/15/39		935		1,363,276
Brown-Forman Corp.
3.75%, 01/15/43 (Call 07/15/42)		309		292,936
4.50%, 07/15/45 (Call 01/15/45)^a		118		125,118
Coca-Cola FEMSA SAB de CV
5.25%, 11/26/43		271		290,450


SCHEDULEOF INVESTMENTS			73

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Diageo Capital PLC
3.88%, 04/29/43 (Call 10/29/42)^a	$	136	$	131,883
5.88%, 09/30/36		773		942,975
Diageo Investment Corp.
4.25%, 05/11/42		202		207,165
7.45%, 04/15/35		11		15,202
Dr Pepper Snapple Group Inc.
4.50%, 11/15/45 (Call 05/15/45)		363		370,737
7.45%, 05/01/38		100		140,045
Fomento Economico Mexicano SAB de CV
4.38%, 05/10/43		514		471,516
Molson Coors Brewing Co.
5.00%, 05/01/42		456		450,738
Pepsi Bottling Group Inc. (The) Series B
7.00%, 03/01/29		1,428		1,957,048
PepsiAmericas Inc.
5.50%, 05/15/35		11		12,856
PepsiCo Inc.
3.60%, 08/13/42		502		468,646
4.00%, 03/05/42		207		205,025
4.25%, 10/22/44 (Call 04/22/44)^a		509		518,258
4.60%, 07/17/45 (Call 01/17/45)		300		327,945
4.88%, 11/01/40		216		236,156
5.50%, 01/15/40		246		290,195

				19,328,876
BIOTECHNOLOGY — 1.56%
Amgen Inc.
4.40%, 05/01/45 (Call 11/01/44)		546		521,801
4.95%, 10/01/41		225		223,065
5.15%, 11/15/41 (Call 05/15/41)		1,100		1,121,869
5.38%, 05/15/43 (Call 11/15/42)		1,598		1,695,515
5.65%, 06/15/42 (Call 12/15/41)		21		23,095
5.75%, 03/15/40		300		328,608
6.38%, 06/01/37		618		723,032
6.40%, 02/01/39		291		343,540
6.90%, 06/01/38		41		51,002
Biogen Inc.
5.20%, 09/15/45 (Call 03/15/45)		863		881,301
Celgene Corp.
4.63%, 05/15/44 (Call 11/15/43)		275		259,093
5.00%, 08/15/45 (Call 02/15/45)		1,050		1,072,738
5.25%, 08/15/43		405		413,326


Security	Principal (000s)		Value
Gilead Sciences Inc.
4.50%, 02/01/45 (Call 08/01/44)	$	1,376	$	1,395,970
4.60%, 09/01/35 (Call 03/01/35)		514		533,222
4.75%, 03/01/46 (Call 09/01/45)		1,594		1,674,902
4.80%, 04/01/44 (Call 10/01/43)		613		642,894
5.65%, 12/01/41 (Call 06/01/41)		286		331,039

				12,236,012
BUILDING MATERIALS — 0.04%
Owens Corning
7.00%, 12/01/36		319		345,793

				345,793
CHEMICALS — 1.63%
Agrium Inc.
4.13%, 03/15/35 (Call 09/15/34)		87		70,682
4.90%, 06/01/43 (Call 12/01/42)		286		247,104
5.25%, 01/15/45 (Call 07/15/44)		254		229,284
6.13%, 01/15/41 (Call 07/15/40)		268		265,119
7.13%, 05/23/36		100		109,836
Albemarle Corp.
5.45%, 12/01/44 (Call 06/01/44)		261		251,456
CF Industries Inc.
4.95%, 06/01/43		300		239,032
5.15%, 03/15/34		510		437,001
5.38%, 03/15/44^a		200		169,786
Dow Chemical Co. (The)
4.25%, 10/01/34 (Call 04/01/34)		950		865,488
4.38%, 11/15/42 (Call 05/15/42)		16		14,361
4.63%, 10/01/44 (Call 04/01/44)^a		416		385,850
5.25%, 11/15/41 (Call 05/15/41)		385		382,853
7.38%, 11/01/29		336		426,193
9.40%, 05/15/39		469		666,540
Eastman Chemical Co.
4.65%, 10/15/44 (Call 04/15/44)		475		407,981
4.80%, 09/01/42 (Call 03/01/42)		275		239,354
Ecolab Inc.
5.50%, 12/08/41		338		379,233
EI du Pont de Nemours & Co.
4.15%, 02/15/43^a		443		389,976
4.90%, 01/15/41		496		484,833
5.60%, 12/15/36		11		11,398
Lubrizol Corp.
6.50%, 10/01/34		120		156,094


74		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
LYB International Finance BV
4.88%, 03/15/44 (Call 09/15/43)	$	345	$	311,634
5.25%, 07/15/43		237		221,988
LyondellBasell Industries NV
4.63%, 02/26/55 (Call 08/26/54)		763		626,086
Methanex Corp.
5.65%, 12/01/44 (Call 06/01/44)		200		154,485
Monsanto Co.
3.60%, 07/15/42 (Call 01/15/42)^a		260		195,783
3.95%, 04/15/45 (Call 10/15/44)		235		187,891
4.20%, 07/15/34 (Call 01/15/34)		573		511,329
4.40%, 07/15/44 (Call 01/15/44)		800		693,881
4.65%, 11/15/43 (Call 05/15/43)		16		14,056
4.70%, 07/15/64 (Call 01/15/64)		25		19,544
5.88%, 04/15/38		11		11,366
Series 1
5.50%, 07/30/35		100		100,473
Mosaic Co. (The)
5.45%, 11/15/33 (Call 05/15/33)		208		197,569
5.63%, 11/15/43 (Call 05/15/43)		486		451,618
Potash Corp. of Saskatchewan Inc.
5.63%, 12/01/40^a		614		649,184
5.88%, 12/01/36		101		109,452
PPG Industries Inc.
5.50%, 11/15/40		14		15,715
Praxair Inc.
3.20%, 01/30/26 (Call 10/30/25)^a		250		261,195
3.55%, 11/07/42 (Call 05/07/42)		400		370,023
Rohm & Haas Co.
7.85%, 07/15/29		221		288,449
RPM International Inc.
5.25%, 06/01/45 (Call 12/01/44)		11		10,822
Sherwin-Williams Co. (The)
4.00%, 12/15/42 (Call 06/15/42)		350		349,434
Valspar Corp. (The)
4.40%, 02/01/45 (Call 08/01/44)		211		197,566

				12,778,997
COMMERCIAL SERVICES — 0.62%
Board of Trustees of The Leland Stanford Junior University (The)
3.46%, 05/01/47		16		15,849
California Institute of Technology
4.32%, 08/01/45		12		13,192


Security	Principal (000s)		Value
Catholic Health Initiatives
4.35%, 11/01/42	$	546	$	536,872
Cleveland Clinic Foundation (The)
4.86%, 01/01/14		267		278,220
Equifax Inc.
7.00%, 07/01/37		11		12,737
George Washington University (The)
4.87%, 09/15/45		16		18,213
Johns Hopkins University Series 2013
4.08%, 07/01/53		11		11,580
Massachusetts Institute of Technology
3.96%, 07/01/38		9		9,745
4.68%, 07/01/14		511		559,069
5.60%, 07/01/11		428		558,945
McGraw Hill Financial Inc.
4.40%, 02/15/26 (Call 11/15/25)		500		524,533
6.55%, 11/15/37		11		12,667
Metropolitan Museum of Art (The) Series 2015
3.40%, 07/01/45		13		12,509
Northwestern University
3.69%, 12/01/38		286		293,472
3.87%, 12/01/48		11		11,531
President and Fellows of Harvard College
3.62%, 10/01/37		5		5,120
6.30%, 10/01/37 (Call 04/01/16)		291		292,746
Princeton University
5.70%, 03/01/39		380		510,614
Tufts University Series 2012
5.02%, 04/15/12		250		274,730
University of Notre Dame du Lac Series 2015
3.44%, 02/15/45		9		8,805
University of Southern California
5.25%, 10/01/11		250		300,215
Verisk Analytics Inc.
5.50%, 06/15/45 (Call 12/15/44)^a		111		102,521
Western Union Co. (The)
6.20%, 11/17/36^a		116		112,572
6.20%, 06/21/40^a		350		334,764


SCHEDULEOF INVESTMENTS			75

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
William Marsh Rice University
3.57%, 05/15/45	$	21	$	20,870

				4,832,091
COMPUTERS — 1.30%
Apple Inc.
3.45%, 02/09/45		1,920		1,662,771
3.85%, 05/04/43		425		395,163
4.38%, 05/13/45		933		941,461
4.45%, 05/06/44		573		583,188
4.50%, 02/23/36 (Call 08/23/35)		1,250		1,306,385
4.65%, 02/23/46 (Call 08/23/45)		205		215,170
Hewlett Packard Enterprise Co.
6.20%, 10/15/35 (Call 04/15/35)^b		287		250,550
6.35%, 10/15/45 (Call 04/15/45)^b		778		664,013
HP Enterprise Services LLC
7.45%, 10/15/29		430		489,967
HP Inc.
6.00%, 09/15/41		553		450,726
International Business Machines Corp.
4.00%, 06/20/42^a		406		386,923
4.70%, 02/19/46		500		523,145
5.60%, 11/30/39^a		324		376,183
5.88%, 11/29/32		311		376,966
6.22%, 08/01/27		555		702,573
6.50%, 01/15/28		355		452,098
Seagate HDD Cayman
4.88%, 06/01/27 (Call 03/01/27)^b		410		287,000
5.75%, 12/01/34 (Call 06/01/34)		250		149,375

				10,213,657
COSMETICS & PERSONAL CARE — 0.29%
Colgate-Palmolive Co.
4.00%, 08/15/45		261		277,414
Estee Lauder Companies Inc. (The)
3.70%, 08/15/42		200		190,896
4.38%, 06/15/45 (Call 12/15/44)		11		11,527
6.00%, 05/15/37		280		348,928
Procter & Gamble Co. (The)
5.50%, 02/01/34		61		74,747
5.55%, 03/05/37		960		1,208,123
5.80%, 08/15/34^a		131		165,330

				2,276,965


Security	Principal (000s)		Value
DISTRIBUTION & WHOLESALE — 0.09%
WW Grainger Inc.
4.60%, 06/15/45 (Call 12/15/44)	$	635	$	688,363

				688,363
DIVERSIFIED FINANCIAL SERVICES — 2.30%
American Express Co.
4.05%, 12/03/42		687		658,792
AXA Financial Inc.
7.00%, 04/01/28		14		17,622
Charles Schwab Corp. (The)
3.45%, 02/13/26 (Call 11/13/25)		90		93,455
CME Group Inc./IL
5.30%, 09/15/43 (Call 03/15/43)		341		391,625
Credit Suisse USA Inc.
7.13%, 07/15/32^a		468		583,684
GE Capital International Funding Co.
4.42%, 11/15/35^b		5,500		5,719,523
General Electric Co.
5.88%, 01/14/38		808		1,012,448
6.15%, 08/07/37		222		287,996
6.88%, 01/10/39		1,271		1,765,111
Series A
6.75%, 03/15/32		2,469		3,281,122
Goldman Sachs Capital I
6.35%, 02/15/34		326		366,774
Invesco Finance PLC
5.38%, 11/30/43		16		17,638
Jefferies Group LLC
6.25%, 01/15/36		411		354,164
6.45%, 06/08/27		271		264,802
Legg Mason Inc.
5.63%, 01/15/44		218		209,552
National Rural Utilities Cooperative Finance Corp. Series C
8.00%, 03/01/32		271		385,751
Visa Inc.
4.15%, 12/14/35 (Call 06/14/35)		878		929,630
4.30%, 12/14/45 (Call 06/14/45)		1,640		1,753,936

				18,093,625
ELECTRIC — 9.73%
Alabama Power Co.
3.75%, 03/01/45 (Call 09/01/44)		471		450,920


76		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
3.85%, 12/01/42	$	50	$	49,098
4.10%, 01/15/42		11		11,070
4.15%, 08/15/44 (Call 02/15/44)		412		423,060
4.30%, 01/02/46 (Call 07/02/45)		257		270,249
6.00%, 03/01/39		126		157,952
6.13%, 05/15/38		273		345,637
Series 11-C
5.20%, 06/01/41		911		1,058,205
Ameren Corp.
3.65%, 02/15/26 (Call 11/15/25)		210		215,340
Ameren Illinois Co.
4.15%, 03/15/46 (Call 09/15/45)^a		257		270,081
4.80%, 12/15/43 (Call 06/15/43)		11		12,533
Appalachian Power Co.
4.40%, 05/15/44 (Call 11/15/43)		11		10,756
4.45%, 06/01/45 (Call 12/01/44)		200		199,997
6.38%, 04/01/36		761		886,262
7.00%, 04/01/38		231		293,804
Series L
5.80%, 10/01/35		5		5,727
Series P
6.70%, 08/15/37		11		12,789
Arizona Public Service Co.
4.50%, 04/01/42 (Call 10/01/41)		151		162,772
4.70%, 01/15/44 (Call 07/15/43)		250		280,748
5.50%, 09/01/35		150		177,789
Berkshire Hathaway Energy Co.
4.50%, 02/01/45 (Call 08/01/44)		1,250		1,248,006
5.15%, 11/15/43 (Call 05/15/43)		810		877,403
5.95%, 05/15/37		450		531,025
6.13%, 04/01/36		1,040		1,237,318
6.50%, 09/15/37		194		242,204
8.48%, 09/15/28		224		321,049
CenterPoint Energy Houston Electric LLC
3.55%, 08/01/42 (Call 02/01/42)		450		423,474
4.50%, 04/01/44 (Call 10/01/43)		335		365,201
Cleco Power LLC
6.00%, 12/01/40		361		417,000
CMS Energy Corp.
4.70%, 03/31/43 (Call 09/30/42)		3		3,064
4.88%, 03/01/44 (Call 09/01/43)		336		349,815
Commonwealth Edison Co.
3.70%, 03/01/45 (Call 09/01/44)		1,355		1,283,435


Security	Principal (000s)		Value
3.80%, 10/01/42 (Call 04/01/42)	$	111	$	107,212
4.60%, 08/15/43 (Call 02/15/43)		8		8,663
4.70%, 01/15/44 (Call 07/15/43)		461		505,449
5.88%, 02/01/33		100		121,366
5.90%, 03/15/36		514		634,792
Connecticut Light & Power Co. (The)
4.30%, 04/15/44 (Call 10/15/43)		311		328,666
6.35%, 06/01/36		155		203,681
Consolidated Edison Co. of New York Inc.
3.95%, 03/01/43 (Call 09/01/42)		327		320,097
4.45%, 03/15/44 (Call 09/15/43)		500		527,888
4.50%, 12/01/45 (Call 06/01/45)		257		275,332
5.50%, 12/01/39		208		246,292
5.70%, 06/15/40		315		391,491
Series 05-A
5.30%, 03/01/35		50		57,796
Series 06-A
5.85%, 03/15/36		325		399,182
Series 06-B
6.20%, 06/15/36		461		574,440
Series 06-E
5.70%, 12/01/36		544		647,005
Series 08-B
6.75%, 04/01/38		340		457,420
Series 12-A
4.20%, 03/15/42		8		8,076
Consumers Energy Co.
3.95%, 05/15/43 (Call 11/15/42)^a		75		76,750
4.10%, 11/15/45 (Call 05/15/45)^a		255		267,501
4.35%, 08/31/64 (Call 02/28/64)		11		11,090
Delmarva Power & Light Co.
4.00%, 06/01/42 (Call 12/01/41)		605		604,032
Dominion Gas Holdings LLC
4.80%, 11/01/43 (Call 05/01/43)		15		14,864
Dominion Resources Inc./VA
4.70%, 12/01/44 (Call 06/01/44)^a		325		314,537
6.30%, 03/15/33		275		322,289
7.00%, 06/15/38		350		432,013
Series B
5.95%, 06/15/35		310		349,885
Series C
4.05%, 09/15/42 (Call 03/15/42)^a		5		4,400
4.90%, 08/01/41 (Call 02/01/41)		7		6,841


SCHEDULEOF INVESTMENTS			77

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Series F
5.25%, 08/01/33	$	319	$	339,314
DTE Electric Co.
3.70%, 03/15/45 (Call 09/15/44)		216		210,005
3.95%, 06/15/42 (Call 12/15/41)		158		157,743
4.30%, 07/01/44 (Call 01/01/44)		53		56,957
5.70%, 10/01/37		231		283,984
Series A
4.00%, 04/01/43 (Call 10/01/42)		200		205,306
6.63%, 06/01/36		200		268,682
DTE Energy Co.
6.38%, 04/15/33		135		165,725
Duke Energy Carolinas LLC
3.75%, 06/01/45 (Call 12/01/44)^a		590		550,235
4.00%, 09/30/42 (Call 03/30/42)		718		724,997
4.25%, 12/15/41 (Call 06/15/41)		344		359,283
5.30%, 02/15/40		545		645,122
6.00%, 01/15/38		7		8,956
6.05%, 04/15/38		646		826,948
6.10%, 06/01/37		400		495,782
6.45%, 10/15/32		86		111,280
Series A
6.00%, 12/01/28		16		19,989
Duke Energy Florida LLC
3.85%, 11/15/42 (Call 05/15/42)		280		274,952
6.35%, 09/15/37		211		277,043
6.40%, 06/15/38		251		334,370
Duke Energy Indiana LLC
6.12%, 10/15/35		76		91,265
6.35%, 08/15/38		21		27,855
6.45%, 04/01/39		418		559,151
Duke Energy Progress LLC
4.10%, 05/15/42 (Call 11/15/41)		396		399,776
4.10%, 03/15/43 (Call 09/15/42)		136		137,547
4.15%, 12/01/44 (Call 06/01/44)		972		978,458
4.20%, 08/15/45 (Call 02/15/45)		405		419,539
4.38%, 03/30/44 (Call 09/30/43)		359		377,668
6.30%, 04/01/38		250		328,968
El Paso Electric Co.
6.00%, 05/15/35		154		179,995
Entergy Arkansas Inc.
3.50%, 04/01/26 (Call 01/01/26)		500		525,904
Entergy Louisiana LLC
4.95%, 01/15/45 (Call 01/15/25)		205		211,052


Security	Principal (000s)		Value
Entergy Texas Inc.
5.15%, 06/01/45 (Call 06/01/25)	$	11	$	11,317
Exelon Corp.
4.95%, 06/15/35 (Call 12/15/34)^b		350		353,839
5.10%, 06/15/45 (Call 12/15/44)^b		15		15,320
5.63%, 06/15/35		21		22,995
Exelon Generation Co. LLC
5.60%, 06/15/42 (Call 12/15/41)		721		651,404
6.25%, 10/01/39^a		355		348,128
FirstEnergy Solutions Corp.
6.80%, 08/15/39		281		259,142
Florida Power & Light Co.
3.80%, 12/15/42 (Call 06/15/42)		100		101,504
4.05%, 06/01/42 (Call 12/01/41)		930		974,244
4.05%, 10/01/44 (Call 04/01/44)		808		844,138
4.13%, 02/01/42 (Call 08/01/41)		306		320,080
4.95%, 06/01/35		200		231,795
5.25%, 02/01/41 (Call 08/01/40)		171		206,839
5.65%, 02/01/37		96		120,989
5.69%, 03/01/40		99		125,559
5.95%, 02/01/38		113		146,923
Georgia Power Co.
4.30%, 03/15/42		439		431,578
4.30%, 03/15/43		21		20,605
5.40%, 06/01/40		315		355,071
5.95%, 02/01/39		14		16,862
Series 07-A
5.65%, 03/01/37		100		113,174
Series 10-C
4.75%, 09/01/40		169		178,345
Hydro-Quebec
9.50%, 11/15/30		200		340,533
Iberdrola International BV
6.75%, 07/15/36		346		417,306
Idaho Power Co.
3.65%, 03/01/45 (Call 09/01/44)		11		10,379
Indiana Michigan Power Co.
6.05%, 03/15/37		5		5,963
Series K
4.55%, 03/15/46		250		249,143
Interstate Power & Light Co.
6.25%, 07/15/39		5		6,588
Jersey Central Power & Light Co.
6.15%, 06/01/37		186		208,298


78		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
John Sevier Combined Cycle Generation LLC
4.63%, 01/15/42	$	236	$	259,765
Kansas City Power & Light Co.
5.30%, 10/01/41 (Call 04/01/41)		262		295,883
Series B
6.05%, 11/15/35		5		6,132
Kentucky Utilities Co.
4.38%, 10/01/45 (Call 04/01/45)		100		108,404
5.13%, 11/01/40 (Call 05/01/40)		184		215,877
Louisville Gas & Electric Co.
4.38%, 10/01/45 (Call 04/01/45)^a		109		117,762
4.65%, 11/15/43 (Call 05/15/43)		11		12,316
5.13%, 11/15/40 (Call 05/15/40)		100		117,341
MidAmerican Energy Co.
4.25%, 05/01/46 (Call 11/01/45)		111		115,992
4.40%, 10/15/44 (Call 04/15/44)		225		241,704
4.80%, 09/15/43 (Call 03/15/43)		28		31,482
5.75%, 11/01/35		11		13,485
6.75%, 12/30/31		11		14,768
Mississippi Power Co. Series 12-A
4.25%, 03/15/42		350		265,686
Nevada Power Co.
5.38%, 09/15/40 (Call 03/15/40)		8		9,307
5.45%, 05/15/41 (Call 11/15/40)		606		713,458
NiSource Finance Corp.
4.80%, 02/15/44 (Call 08/15/43)		455		479,366
5.25%, 02/15/43 (Call 08/15/42)		325		359,267
5.65%, 02/01/45 (Call 08/01/44)		6		6,910
5.80%, 02/01/42 (Call 08/01/41)		250		296,371
5.95%, 06/15/41 (Call 12/15/40)		276		316,883
Northern States Power Co./MN
3.40%, 08/15/42 (Call 02/15/42)		724		678,267
4.00%, 08/15/45 (Call 02/15/45)		90		92,987
4.13%, 05/15/44 (Call 11/15/43)		7		7,400
4.85%, 08/15/40 (Call 02/15/40)		390		452,019
5.25%, 07/15/35		50		59,801
5.35%, 11/01/39		5		6,070
6.25%, 06/01/36		106		139,236
NSTAR Electric Co.
4.40%, 03/01/44 (Call 09/01/43)		100		106,814
5.50%, 03/15/40		211		257,366


Security	Principal (000s)		Value
Oglethorpe Power Corp.
4.55%, 06/01/44^a	$	668	$	661,692
5.25%, 09/01/50		25		26,844
5.38%, 11/01/40		150		169,191
5.95%, 11/01/39		5		5,879
Ohio Edison Co.
6.88%, 07/15/36		355		444,173
8.25%, 10/15/38		11		16,383
Ohio Power Co. Series G
6.60%, 02/15/33		10		12,059
Oklahoma Gas & Electric Co.
4.00%, 12/15/44 (Call 06/15/44)		366		356,225
4.55%, 03/15/44 (Call 09/15/43)		186		201,033
5.25%, 05/15/41 (Call 11/15/40)		100		116,726
Oncor Electric Delivery Co. LLC
4.55%, 12/01/41 (Call 06/01/41)		250		255,294
5.25%, 09/30/40		305		335,917
5.30%, 06/01/42 (Call 12/01/41)		406		460,600
7.25%, 01/15/33		411		537,262
7.50%, 09/01/38		168		229,431
Pacific Gas & Electric Co.
4.25%, 03/15/46 (Call 09/15/45)		11		11,206
4.30%, 03/15/45 (Call 09/15/44)		107		110,767
4.45%, 04/15/42 (Call 10/15/41)		466		490,959
4.50%, 12/15/41 (Call 06/15/41)		290		305,332
4.60%, 06/15/43 (Call 12/15/42)		13		13,919
4.75%, 02/15/44 (Call 08/15/43)		382		417,373
5.13%, 11/15/43 (Call 05/15/43)		346		392,117
5.40%, 01/15/40		421		492,473
5.80%, 03/01/37		16		19,273
6.05%, 03/01/34		2,075		2,523,972
6.25%, 03/01/39		261		331,753
6.35%, 02/15/38		21		26,763
PacifiCorp
4.10%, 02/01/42 (Call 08/01/41)		290		294,141
6.00%, 01/15/39		400		506,547
6.10%, 08/01/36		105		134,366
6.25%, 10/15/37		121		156,832
PECO Energy Co.
4.15%, 10/01/44 (Call 04/01/44)		255		263,173
5.95%, 10/01/36		111		138,297
Pennsylvania Electric Co.
6.15%, 10/01/38		225		251,281


SCHEDULEOF INVESTMENTS			79

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Potomac Electric Power Co.
4.15%, 03/15/43 (Call 09/15/42)	$	66	$	67,940
6.50%, 11/15/37		175		233,764
7.90%, 12/15/38		11		16,673
PPL Capital Funding Inc.
4.70%, 06/01/43 (Call 12/01/42)		676		688,423
5.00%, 03/15/44 (Call 09/15/43)		385		405,200
PPL Electric Utilities Corp.
5.20%, 07/15/41 (Call 01/15/41)		391		460,388
6.25%, 05/15/39		5		6,618
Progress Energy Inc.
7.75%, 03/01/31		9		12,117
PSEG Power LLC
8.63%, 04/15/31		720		866,505
Public Service Co. of Colorado
3.60%, 09/15/42 (Call 03/15/42)		246		237,430
4.30%, 03/15/44 (Call 09/15/43)		411		436,460
6.25%, 09/01/37		60		80,082
6.50%, 08/01/38		100		138,065
Public Service Electric & Gas Co.
3.80%, 03/01/46		250		248,890
3.95%, 05/01/42 (Call 11/01/41)		220		226,845
4.05%, 05/01/45 (Call 11/01/44)^a		125		130,654
4.15%, 11/01/45 (Call 05/01/45)		16		16,895
5.38%, 11/01/39		100		122,306
5.50%, 03/01/40		7		8,723
5.80%, 05/01/37		216		274,767
Series I
4.00%, 06/01/44 (Call 12/01/43)		240		247,352
Puget Sound Energy Inc.
4.30%, 05/20/45 (Call 11/20/44)		111		117,440
4.43%, 11/15/41 (Call 05/15/41)		125		133,770
5.48%, 06/01/35		308		362,506
5.64%, 04/15/41 (Call 10/15/40)		360		453,139
5.76%, 10/01/39		131		163,615
5.80%, 03/15/40		56		71,129
6.27%, 03/15/37		5		6,472
6.72%, 06/15/36		150		203,606
7.02%, 12/01/27		271		368,184
San Diego Gas & Electric Co.
3.95%, 11/15/41		11		11,161
4.30%, 04/01/42 (Call 10/01/41)		158		168,441
4.50%, 08/15/40		211		230,495


Security	Principal (000s)		Value
5.35%, 05/15/35	$	125	$	150,095
5.35%, 05/15/40		75		91,135
6.13%, 09/15/37		100		132,050
South Carolina Electric & Gas Co.
4.35%, 02/01/42 (Call 08/01/41)		244		243,630
4.50%, 06/01/64 (Call 12/01/63)		261		260,488
4.60%, 06/15/43 (Call 12/15/42)		116		121,313
5.10%, 06/01/65 (Call 12/01/64)		150		164,213
5.30%, 05/15/33		5		5,629
5.45%, 02/01/41 (Call 08/01/40)		420		484,908
6.05%, 01/15/38		248		302,717
Southaven Combined Cycle Generation LLC
3.85%, 08/15/33		2		1,923
Southern California Edison Co.
3.90%, 12/01/41 (Call 06/01/41)		106		106,169
4.05%, 03/15/42 (Call 09/15/41)		50		50,963
4.50%, 09/01/40 (Call 03/01/40)		23		24,839
4.65%, 10/01/43 (Call 04/01/43)		341		376,861
5.50%, 03/15/40		242		297,733
5.63%, 02/01/36		75		91,859
5.75%, 04/01/35		5		6,229
6.00%, 01/15/34^a		266		337,012
6.05%, 03/15/39		150		193,075
6.65%, 04/01/29		121		156,415
Series 05-B
5.55%, 01/15/36		55		65,768
Series 05-E
5.35%, 07/15/35		289		345,164
Series 06-E
5.55%, 01/15/37		180		216,086
Series 08-A
5.95%, 02/01/38		664		845,014
Series 13-A
3.90%, 03/15/43 (Call 09/15/42)		155		155,772
Series C
3.60%, 02/01/45 (Call 08/01/44)		661		632,343
Southern Power Co.
5.15%, 09/15/41		200		183,788
Southwestern Electric Power Co.
3.90%, 04/01/45 (Call 10/01/44)		661		599,024
6.20%, 03/15/40		140		167,555


80		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Southwestern Public Service Co.
4.50%, 08/15/41 (Call 02/15/41)	$	50	$	54,091
6.00%, 10/01/36		561		685,171
Tampa Electric Co.
4.10%, 06/15/42 (Call 12/15/41)		315		314,500
4.20%, 05/15/45 (Call 11/15/44)		11		11,260
4.35%, 05/15/44 (Call 11/15/43)		385		401,501
6.55%, 05/15/36		5		6,581
Toledo Edison Co. (The)
6.15%, 05/15/37		1		1,170
TransAlta Corp.
6.50%, 03/15/40		136		70,720
Union Electric Co.
3.90%, 09/15/42 (Call 03/15/42)		940		953,927
8.45%, 03/15/39		11		17,723
Virginia Electric & Power Co.
4.00%, 01/15/43 (Call 07/15/42)		266		263,406
4.20%, 05/15/45 (Call 11/15/44)		7		7,201
4.45%, 02/15/44 (Call 08/15/43)		120		128,744
8.88%, 11/15/38		774		1,240,187
Series A
6.00%, 05/15/37		284		354,832
Series B
6.00%, 01/15/36		250		311,784
Series D
4.65%, 08/15/43 (Call 02/15/43)		21		22,659
Westar Energy Inc.
4.10%, 04/01/43 (Call 10/01/42)		5		5,140
4.13%, 03/01/42 (Call 09/01/41)		335		348,784
4.25%, 12/01/45 (Call 06/01/45)		350		375,722
Wisconsin Electric Power Co.
3.65%, 12/15/42 (Call 06/15/42)		265		253,624
4.25%, 06/01/44 (Call 12/01/43)^a		247		263,318
4.30%, 12/15/45 (Call 06/15/45)		195		211,770
Wisconsin Power & Light Co.
4.10%, 10/15/44 (Call 04/15/44)		663		684,383
6.38%, 08/15/37		140		187,346
Wisconsin Public Service Corp.
4.75%, 11/01/44 (Call 05/01/44)		155		180,087
Xcel Energy Inc.
4.80%, 09/15/41 (Call 03/15/41)		5		5,216
6.50%, 07/01/36		50		62,003

				76,410,792


Security	Principal (000s)		Value
ELECTRICAL COMPONENTS & EQUIPMENT — 0.02%
Emerson Electric Co.
6.00%, 08/15/32	$	135	$	164,933
6.13%, 04/15/39		12		15,334

				180,267
ELECTRONICS — 0.27%
Honeywell International Inc.
5.38%, 03/01/41		611		728,933
5.70%, 03/15/36		11		13,339
5.70%, 03/15/37		191		232,889
Koninklijke Philips NV
5.00%, 03/15/42		533		517,155
6.88%, 03/11/38		354		414,214
Thermo Fisher Scientific Inc.
5.30%, 02/01/44 (Call 08/01/43)		208		220,152

				2,126,682
ENGINEERING & CONSTRUCTION — 0.03%
ABB Finance USA Inc.
4.38%, 05/08/42		257		269,979

				269,979
ENVIRONMENTAL CONTROL — 0.25%
Republic Services Inc.
5.70%, 05/15/41 (Call 11/15/40)		691		779,318
6.09%, 03/15/35		50		58,241
6.20%, 03/01/40		41		49,064
Waste Management Inc.
3.90%, 03/01/35 (Call 09/01/34)		613		595,372
4.10%, 03/01/45 (Call 09/01/44)		203		198,957
6.13%, 11/30/39		207		259,632

				1,940,584
FOOD — 1.56%
Ahold Finance USA LLC
6.88%, 05/01/29		11		13,646
Campbell Soup Co.
3.80%, 08/02/42		6		5,450
ConAgra Foods Inc.
7.00%, 10/01/28		230		278,799
7.13%, 10/01/26		57		68,730
8.25%, 09/15/30		284		393,332
Delhaize America LLC
9.00%, 04/15/31		5		6,662
Delhaize Group
5.70%, 10/01/40		627		662,125


SCHEDULEOF INVESTMENTS			81

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
General Mills Inc.
4.15%, 02/15/43 (Call 08/15/42)	$	5	$	5,000
5.40%, 06/15/40		476		552,060
Hershey Co. (The)
7.20%, 08/15/27		11		15,061
JM Smucker Co. (The)
4.25%, 03/15/35		650		653,396
4.38%, 03/15/45		118		118,294
Kellogg Co.
4.50%, 04/01/46		85		85,561
Series B
7.45%, 04/01/31		726		915,350
Kraft Foods Group Inc.
5.00%, 06/04/42		1,375		1,434,688
6.50%, 02/09/40		306		363,889
6.88%, 01/26/39		571		696,403
Kraft Heinz Foods Co.
5.00%, 07/15/35 (Call 01/15/35)^b		623		652,591
5.20%, 07/15/45 (Call 01/15/45)^b		650		697,833
Kroger Co. (The)
5.00%, 04/15/42 (Call 10/15/41)		100		107,399
5.15%, 08/01/43 (Call 02/01/43)		250		274,384
5.40%, 07/15/40 (Call 01/15/40)		366		407,586
6.90%, 04/15/38		253		326,561
7.50%, 04/01/31		397		526,832
Mondelez International Inc.
6.50%, 02/09/40		72		90,025
6.88%, 01/26/39		450		567,440
Sysco Corp.
4.85%, 10/01/45 (Call 04/01/45)		269		274,932
5.38%, 09/21/35		400		445,205
6.63%, 03/17/39		11		13,763
Tyson Foods Inc.
4.88%, 08/15/34 (Call 02/15/34)		549		565,965
5.15%, 08/15/44 (Call 02/15/44)		255		272,345
Unilever Capital Corp.
5.90%, 11/15/32		610		797,634

				12,288,941
FOREST PRODUCTS & PAPER — 0.45%
Domtar Corp.
6.75%, 02/15/44 (Call 08/15/43)		205		202,209
Georgia-Pacific LLC
7.75%, 11/15/29		791		1,033,492
8.88%, 05/15/31		14		20,027


Security	Principal (000s)		Value
International Paper Co.
4.80%, 06/15/44 (Call 12/15/43)	$	125	$	106,036
5.00%, 09/15/35 (Call 03/15/35)		50		48,425
5.15%, 05/15/46 (Call 11/15/45)		210		187,633
6.00%, 11/15/41 (Call 05/15/41)		786		769,818
7.30%, 11/15/39		260		281,304
8.70%, 06/15/38		246		314,059
WestRock MWV LLC
7.95%, 02/15/31		11		13,606
8.20%, 01/15/30		450		572,314

				3,548,923
GAS — 0.55%
AGL Capital Corp.
4.40%, 06/01/43 (Call 12/01/42)		6		5,805
5.88%, 03/15/41 (Call 09/15/40)		643		735,969
6.00%, 10/01/34		95		110,711
Atmos Energy Corp.
4.13%, 10/15/44 (Call 04/15/44)^a		713		714,780
5.50%, 06/15/41 (Call 12/15/40)		5		5,943
Dominion Gas Holdings LLC
4.60%, 12/15/44 (Call 06/15/44)^a		417		394,108
KeySpan Corp.
5.80%, 04/01/35		228		257,599
8.00%, 11/15/30		130		177,841
ONE Gas Inc.
4.66%, 02/01/44 (Call 08/01/43)		374		410,793
Piedmont Natural Gas Co. Inc.
4.10%, 09/18/34 (Call 03/18/34)		207		209,386
4.65%, 08/01/43 (Call 02/01/43)		3		3,237
Sempra Energy
6.00%, 10/15/39		901		991,845
Southern California Gas Co.
3.75%, 09/15/42 (Call 03/15/42)		5		4,942
Series KK
5.75%, 11/15/35		225		281,511

				4,304,470
HAND & MACHINE TOOLS — 0.00%
Stanley Black & Decker Inc.
5.20%, 09/01/40		5		5,653

				5,653
HEALTH CARE – PRODUCTS — 1.18%
Becton Dickinson and Co.
4.69%, 12/15/44 (Call 06/15/44)		496		509,788


82		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.88%, 05/15/44 (Call 11/15/43)	$	360	$	371,966
5.00%, 11/12/40		150		156,981
6.00%, 05/15/39		186		217,602
Boston Scientific Corp.
7.00%, 11/15/35		100		121,181
7.38%, 01/15/40		211		267,873
Covidien International Finance SA
6.55%, 10/15/37		396		510,063
Danaher Corp.
4.38%, 09/15/45 (Call 03/15/45)		9		9,641
Medtronic Inc.
4.00%, 04/01/43 (Call 10/01/42)		291		278,915
4.38%, 03/15/35		1,565		1,615,244
4.50%, 03/15/42 (Call 09/15/41)		11		11,322
4.63%, 03/15/44 (Call 09/15/43)		420		441,223
4.63%, 03/15/45		2,098		2,232,238
5.55%, 03/15/40		291		342,270
St. Jude Medical Inc.
4.75%, 04/15/43 (Call 10/15/42)		440		438,020
Stryker Corp.
4.10%, 04/01/43 (Call 10/01/42)		374		347,402
4.38%, 05/15/44 (Call 11/15/43)		135		131,056
Zimmer Biomet Holdings Inc.
4.25%, 08/15/35 (Call 02/15/35)		407		375,992
4.45%, 08/15/45 (Call 02/15/45)		524		479,075
5.75%, 11/30/39		381		419,880

				9,277,732
HEALTH CARE – SERVICES — 1.64%
Aetna Inc.
4.13%, 11/15/42 (Call 05/15/42)		261		239,788
4.50%, 05/15/42 (Call 11/15/41)		359		347,712
4.75%, 03/15/44 (Call 09/15/43)		225		228,129
6.63%, 06/15/36		311		376,745
6.75%, 12/15/37		285		348,129
Anthem Inc.
4.63%, 05/15/42		776		727,274
4.65%, 01/15/43		771		724,828
4.65%, 08/15/44 (Call 02/15/44)		241		226,188
4.85%, 08/15/54 (Call 02/15/54)		175		163,215
5.10%, 01/15/44		175		174,738
5.85%, 01/15/36		21		23,063
5.95%, 12/15/34		2		2,227
6.38%, 06/15/37		458		529,361


Security	Principal (000s)		Value
Ascension Health
4.85%, 11/15/53	$	11	$	12,395
Baylor Scott & White Holdings
4.19%, 11/15/45 (Call 05/15/45)		16		16,067
Cigna Corp.
5.38%, 02/15/42 (Call 08/15/41)		241		262,740
5.88%, 03/15/41 (Call 09/15/40)		403		455,010
6.15%, 11/15/36		100		115,288
7.88%, 05/15/27		11		14,593
Dignity Health
4.50%, 11/01/42		100		100,619
5.27%, 11/01/64		216		232,338
Humana Inc.
4.63%, 12/01/42 (Call 06/01/42)		306		284,478
4.95%, 10/01/44 (Call 04/01/44)		141		137,629
8.15%, 06/15/38		360		501,561
Kaiser Foundation Hospitals
4.88%, 04/01/42		354		391,060
Laboratory Corp. of America Holdings
4.70%, 02/01/45 (Call 08/01/44)^a		398		376,360
Mayo Clinic Series 2013
4.00%, 11/15/47		11		10,981
Memorial Sloan-Kettering Cancer Center Series 2015
4.20%, 07/01/55		272		271,481
New York and Presbyterian Hospital (The)
4.02%, 08/01/45		21		20,800
Ochsner Clinic Foundation
5.90%, 05/15/45 (Call 11/15/44)		11		12,477
Quest Diagnostics Inc.
4.70%, 03/30/45 (Call 09/30/44)		16		15,012
5.75%, 01/30/40		250		266,557
Texas Health Resources
4.33%, 11/15/55		9		9,205
UnitedHealth Group Inc.
3.95%, 10/15/42 (Call 04/15/42)		7		6,657
4.25%, 03/15/43 (Call 09/15/42)		291		290,544
4.38%, 03/15/42 (Call 09/15/41)		571		581,178
4.63%, 07/15/35		255		273,130
4.63%, 11/15/41 (Call 05/15/41)		180		190,090


SCHEDULEOF INVESTMENTS			83

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.75%, 07/15/45	$	891	$	971,675
5.70%, 10/15/40 (Call 04/15/40)		561		677,241
5.80%, 03/15/36		695		833,049
5.95%, 02/15/41 (Call 08/15/40)		536		668,083
6.50%, 06/15/37		21		27,020
6.63%, 11/15/37		11		14,381
6.88%, 02/15/38		535		719,290

				12,870,386
HOLDING COMPANIES – DIVERSIFIED — 0.02%
Hutchison Whampoa International Ltd.
7.45%, 11/24/33^b		50		69,781
Leucadia National Corp.
6.63%, 10/23/43 (Call 07/23/43)		100		75,994

				145,775
HOME FURNISHINGS — 0.02%
Whirlpool Corp.
5.15%, 03/01/43		155		158,199

				158,199
HOUSEHOLD PRODUCTS & WARES — 0.09%
Kimberly-Clark Corp.
3.70%, 06/01/43		18		17,370
6.63%, 08/01/37		518		698,752

				716,122
INSURANCE — 3.54%
ACE INA Holdings Inc.
4.15%, 03/13/43		485		478,801
4.35%, 11/03/45 (Call 05/03/45)		835		868,879
Aflac Inc.
6.45%, 08/15/40		431		528,439
Alleghany Corp.
4.90%, 09/15/44 (Call 03/15/44)		263		249,095
Allstate Corp. (The)
4.50%, 06/15/43		875		915,930
5.35%, 06/01/33		5		5,727
5.55%, 05/09/35		201		236,209
American International Group Inc.
3.88%, 01/15/35 (Call 07/15/34)		1,465		1,236,492
4.38%, 01/15/55 (Call 07/15/54)		250		201,366
4.50%, 07/16/44 (Call 01/16/44)		911		797,402
4.70%, 07/10/35 (Call 01/10/35)		514		482,261
4.80%, 07/10/45 (Call 01/10/45)		11		10,094
6.25%, 05/01/36		532		576,144


Security	Principal (000s)		Value
6.25%, 03/15/87	$	300	$	309,000
8.18%, 05/15/68 (Call 05/15/38)^a,c		21		26,197
Aon Corp.
8.21%, 01/01/27		314		383,080
Aon PLC
4.45%, 05/24/43 (Call 02/24/43)		361		332,636
4.60%, 06/14/44 (Call 03/14/44)^a		300		284,975
4.75%, 05/15/45 (Call 11/15/44)		246		239,921
Arch Capital Group U.S. Inc.
5.14%, 11/01/43		495		504,859
Assurant Inc.
6.75%, 02/15/34		235		272,367
AXA SA
8.60%, 12/15/30		767		997,100
AXIS Specialty Finance PLC
5.15%, 04/01/45		5		4,955
Berkshire Hathaway Finance Corp.
4.30%, 05/15/43^a		68		66,294
4.40%, 05/15/42^a		324		320,021
5.75%, 01/15/40		400		472,048
Berkshire Hathaway Inc.
4.50%, 02/11/43^a		853		858,337
Chubb Corp. (The)
6.00%, 05/11/37		460		567,300
Cincinnati Financial Corp.
6.92%, 05/15/28		11		14,088
Endurance Specialty Holdings Ltd.
7.00%, 07/15/34		230		267,807
Everest Reinsurance Holdings Inc.
4.87%, 06/01/44		261		251,602
Hartford Financial Services Group Inc. (The)
4.30%, 04/15/43		14		12,924
5.95%, 10/15/36		306		353,497
6.10%, 10/01/41		365		436,911
6.63%, 03/30/40		105		129,414
Lincoln National Corp.
6.15%, 04/07/36		225		244,664
6.30%, 10/09/37		16		17,692
7.00%, 06/15/40		481		565,485
Loews Corp.
4.13%, 05/15/43 (Call 11/15/42)		308		280,521
6.00%, 02/01/35^a		150		170,997


84		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Markel Corp.
5.00%, 03/30/43	$	3	$	3,018
Marsh & McLennan Companies Inc.
3.75%, 03/14/26 (Call 12/14/25)^a		80		81,042
5.88%, 08/01/33		205		235,818
MetLife Inc.
4.05%, 03/01/45		1,155		1,035,156
4.13%, 08/13/42		368		333,060
4.60%, 05/13/46 (Call 12/13/45)^a		274		268,299
4.72%, 12/15/44		518		513,138
4.88%, 11/13/43		489		497,592
5.70%, 06/15/35		451		507,158
6.40%, 12/15/66 (Call 12/15/31)		740		725,200
6.50%, 12/15/32		458		552,371
10.75%, 08/01/69 (Call 08/01/34)		16		23,360
Principal Financial Group Inc.
4.35%, 05/15/43^a		500		454,711
4.63%, 09/15/42		5		4,754
6.05%, 10/15/36		166		184,613
Progressive Corp. (The)
3.70%, 01/26/45		250		231,961
4.35%, 04/25/44		261		269,181
6.25%, 12/01/32		173		216,299
Protective Life Corp.
8.45%, 10/15/39		249		328,963
Prudential Financial Inc.
4.60%, 05/15/44^a		346		331,235
5.10%, 08/15/43		11		10,793
5.40%, 06/13/35		470		495,464
5.63%, 05/12/41		13		13,714
5.70%, 12/14/36		289		314,559
5.80%, 11/16/41		100		108,004
5.90%, 03/17/36		210		230,660
6.20%, 11/15/40		100		112,163
6.63%, 06/21/40		5		5,892
Series B
5.75%, 07/15/33		8		8,730
Series D
6.63%, 12/01/37		906		1,065,048
Transatlantic Holdings Inc.
8.00%, 11/30/39		200		265,503
Travelers Companies Inc. (The)
4.60%, 08/01/43		66		71,291


Security	Principal (000s)		Value
5.35%, 11/01/40	$	310	$	366,557
6.25%, 06/15/37		772		991,970
6.75%, 06/20/36		50		67,467
Travelers Property Casualty Corp.
6.38%, 03/15/33		110		140,786
Trinity Acquisition PLC
6.13%, 08/15/43		100		108,653
Unum Group
5.75%, 08/15/42		255		263,473
Validus Holdings Ltd.
8.88%, 01/26/40		134		172,144
Voya Financial Inc.
5.70%, 07/15/43		290		315,063
WR Berkley Corp.
4.75%, 08/01/44		16		15,491
6.25%, 02/15/37		300		345,797
XLIT Ltd.
5.50%, 03/31/45		449		423,570
6.25%, 05/15/27		86		101,697

				27,782,949
INTERNET — 0.30%
Alibaba Group Holding Ltd.
4.50%, 11/28/34 (Call 05/28/34)^a		414		408,411
Amazon.com Inc.
4.80%, 12/05/34 (Call 06/05/34)		608		659,050
4.95%, 12/05/44 (Call 06/05/44)		900		993,582
eBay Inc.
4.00%, 07/15/42 (Call 01/15/42)		400		305,107

				2,366,150
IRON & STEEL — 0.36%
Nucor Corp.
5.20%, 08/01/43 (Call 02/01/43)		214		200,370
6.40%, 12/01/37		286		304,829
Reliance Steel & Aluminum Co.
6.85%, 11/15/36		100		99,333
Vale Overseas Ltd.
6.88%, 11/21/36^a		1,830		1,264,988
6.88%, 11/10/39		875		596,094
8.25%, 01/17/34^a		250		193,750
Vale SA
5.63%, 09/11/42^a		285		177,056

				2,836,420


SCHEDULEOF INVESTMENTS			85

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
LEISURE TIME — 0.03%
Harley-Davidson Inc.
4.63%, 07/28/45 (Call 01/28/45)	$	211	$	208,162

				208,162
LODGING — 0.02%
Starwood Hotels & Resorts Worldwide Inc.
4.50%, 10/01/34 (Call 04/01/34)		206		188,720

				188,720
MACHINERY — 0.44%
Caterpillar Inc.
3.80%, 08/15/42		809		725,787
4.30%, 05/15/44 (Call 11/15/43)^a		286		276,908
4.75%, 05/15/64 (Call 11/15/63)^a		203		193,431
5.20%, 05/27/41		614		664,802
5.30%, 09/15/35		11		12,045
6.05%, 08/15/36		111		131,044
Cummins Inc.
4.88%, 10/01/43 (Call 04/01/43)^a		230		243,054
Deere & Co.
3.90%, 06/09/42 (Call 12/09/41)		746		709,448
5.38%, 10/16/29		255		301,843
7.13%, 03/03/31		11		14,984
8.10%, 05/15/30		50		72,864
Rockwell Automation Inc.
6.70%, 01/15/28^a		100		131,996

				3,478,206
MANUFACTURING — 0.89%
3M Co.
3.88%, 06/15/44		291		296,800
5.70%, 03/15/37		286		361,828
6.38%, 02/15/28		40		53,568
Dover Corp.
5.38%, 03/01/41 (Call 12/01/40)		365		428,766
Eaton Corp.
4.00%, 11/02/32		723		710,891
4.15%, 11/02/42^a		116		110,597
General Electric Co.
4.13%, 10/09/42		571		574,229
4.50%, 03/11/44		1,359		1,439,751
Illinois Tool Works Inc.
3.90%, 09/01/42 (Call 03/01/42)^a		714		697,863
4.88%, 09/15/41 (Call 03/15/41)		163		182,116


Security	Principal (000s)		Value
Ingersoll-Rand Global Holding Co. Ltd.
5.75%, 06/15/43	$	236	$	267,553
Ingersoll-Rand Luxembourg Finance SA
4.65%, 11/01/44 (Call 05/01/44)		200		196,575
Parker-Hannifin Corp.
4.20%, 11/21/34 (Call 05/21/34)		336		346,835
4.45%, 11/21/44 (Call 05/21/44)^a		278		293,221
Series A
6.25%, 05/15/38		100		129,756
Tyco Electronics Group SA
7.13%, 10/01/37		236		306,969
Tyco International Finance SA
3.90%, 02/14/26 (Call 11/14/25)		305		308,914
5.13%, 09/14/45 (Call 03/14/45)		264		270,671

				6,976,903
MEDIA — 5.54%
21st Century Fox America Inc.
4.75%, 09/15/44 (Call 03/15/44)		859		803,066
4.95%, 10/15/45 (Call 04/15/45)		476		463,018
5.40%, 10/01/43		426		422,374
6.15%, 02/15/41		446		487,671
6.20%, 12/15/34		690		771,188
6.40%, 12/15/35		202		230,097
6.55%, 03/15/33		656		758,539
6.65%, 11/15/37		475		556,407
6.90%, 08/15/39		11		12,525
7.75%, 12/01/45		308		400,091
7.85%, 03/01/39		225		294,969
8.15%, 10/17/36		100		133,801
CBS Corp.
4.60%, 01/15/45 (Call 07/15/44)		200		172,040
4.85%, 07/01/42 (Call 01/01/42)		130		114,861
4.90%, 08/15/44 (Call 02/15/44)		100		88,930
5.50%, 05/15/33		624		623,275
5.90%, 10/15/40 (Call 04/15/40)		211		212,074
7.88%, 07/30/30^a		438		561,427
CCO Safari II LLC
6.38%, 10/23/35 (Call 04/23/35)^b		801		837,549
6.48%, 10/23/45 (Call 04/23/45)^b		1,790		1,880,498
6.83%, 10/23/55 (Call 04/23/55)^b		321		329,628


86		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Comcast Corp.
4.20%, 08/15/34 (Call 02/15/34)	$	1,060	$	1,074,749
4.25%, 01/15/33		992		1,009,988
4.50%, 01/15/43		711		732,379
4.60%, 08/15/45 (Call 02/15/45)		1,150		1,214,736
4.65%, 07/15/42		877		923,713
4.75%, 03/01/44		1,316		1,414,181
5.65%, 06/15/35		11		12,965
6.40%, 05/15/38		136		172,041
6.40%, 03/01/40		16		20,407
6.45%, 03/15/37		298		376,035
6.50%, 11/15/35		511		650,631
6.55%, 07/01/39		14		18,289
6.95%, 08/15/37		633		842,886
7.05%, 03/15/33		161		213,164
DIRECTV Holdings LLC/DIRECTV Financing Co. Inc.
5.15%, 03/15/42		1,066		999,300
6.00%, 08/15/40 (Call 05/15/40)		226		233,042
6.35%, 03/15/40		325		356,535
6.38%, 03/01/41		536		586,957
Discovery Communications LLC
4.88%, 04/01/43		181		144,718
6.35%, 06/01/40^a		750		717,808
Grupo Televisa SAB
5.00%, 05/13/45 (Call 11/13/44)		586		499,984
6.63%, 01/15/40		271		280,760
Historic TW Inc.
6.63%, 05/15/29		1,280		1,473,630
NBCUniversal Media LLC
4.45%, 01/15/43		816		827,653
5.95%, 04/01/41		549		673,656
6.40%, 04/30/40		832		1,057,635
TCI Communications Inc.
7.13%, 02/15/28		200		263,613
7.88%, 02/15/26		370		507,284
Thomson Reuters Corp.
5.50%, 08/15/35		150		152,519
5.65%, 11/23/43 (Call 05/23/43)		186		188,324
5.85%, 04/15/40		616		643,746
Time Warner Cable Inc.
4.50%, 09/15/42 (Call 03/15/42)		300		243,000
5.50%, 09/01/41 (Call 03/01/41)		492		430,586


Security	Principal (000s)		Value
5.88%, 11/15/40 (Call 05/15/40)	$	720	$	651,893
6.55%, 05/01/37		317		314,822
6.75%, 06/15/39		811		805,272
7.30%, 07/01/38		850		892,344
Time Warner Companies Inc.
6.95%, 01/15/28		21		25,279
Time Warner Entertainment Co. LP
8.38%, 07/15/33		973		1,148,767
Time Warner Inc.
4.65%, 06/01/44 (Call 12/01/43)		1,366		1,207,540
4.85%, 07/15/45 (Call 01/15/45)		357		332,701
4.90%, 06/15/42		243		219,416
5.35%, 12/15/43		466		452,210
5.38%, 10/15/41		200		193,646
6.10%, 07/15/40		175		180,405
6.20%, 03/15/40		14		14,518
6.25%, 03/29/41^a		286		302,503
6.50%, 11/15/36		413		441,853
7.63%, 04/15/31		508		615,395
7.70%, 05/01/32		764		918,505
Verizon Communications Inc.
4.52%, 09/15/48		1,100		1,001,192
4.67%, 03/15/55		1,174		1,028,672
Viacom Inc.
4.38%, 03/15/43		900		602,176
4.50%, 02/27/42		125		86,583
4.85%, 12/15/34 (Call 06/15/34)		310		241,171
4.88%, 06/15/43 (Call 12/15/42)		100		72,759
5.25%, 04/01/44 (Call 10/01/43)		325		253,214
5.85%, 09/01/43 (Call 03/01/43)		625		521,999
6.88%, 04/30/36		290		276,769
Walt Disney Co. (The)
4.13%, 06/01/44		250		259,580
4.38%, 08/16/41		505		542,664
7.00%, 03/01/32		266		378,925
Series E
4.13%, 12/01/41		412		427,659

				43,521,374
METAL FABRICATE & HARDWARE — 0.12%
Precision Castparts Corp.
3.90%, 01/15/43 (Call 07/15/42)		166		165,189
4.20%, 06/15/35 (Call 12/15/34)		500		523,931
4.38%, 06/15/45 (Call 12/15/44)		11		11,780


SCHEDULEOF INVESTMENTS			87

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Valmont Industries Inc.
5.00%, 10/01/44 (Call 04/01/44)	$	80	$	71,526
5.25%, 10/01/54 (Call 04/01/54)		230		197,799

				970,225
MINING — 1.07%
Barrick Gold Corp.
5.25%, 04/01/42		360		276,516
Barrick North America Finance LLC
5.70%, 05/30/41		575		452,519
5.75%, 05/01/43		200		164,379
7.50%, 09/15/38		27		23,678
Barrick PD Australia Finance Pty Ltd.
5.95%, 10/15/39		605		487,201
BHP Billiton Finance USA Ltd.
4.13%, 02/24/42		930		793,137
5.00%, 09/30/43		1,023		991,745
Goldcorp Inc.
5.45%, 06/09/44 (Call 12/09/43)		161		138,138
Newmont Mining Corp.
4.88%, 03/15/42 (Call 09/15/41)		235		183,454
5.88%, 04/01/35		176		149,421
6.25%, 10/01/39		904		801,590
Rio Tinto Alcan Inc.
5.75%, 06/01/35		11		10,798
6.13%, 12/15/33		11		11,257
7.25%, 03/15/31		225		242,353
Rio Tinto Finance USA Ltd.
5.20%, 11/02/40^a		900		850,985
7.13%, 07/15/28		292		330,186
Rio Tinto Finance USA PLC
4.13%, 08/21/42 (Call 02/21/42)		731		613,185
4.75%, 03/22/42 (Call 09/22/41)		55		49,605
Southern Copper Corp.
5.25%, 11/08/42		610		458,263
5.88%, 04/23/45		375		298,125
6.75%, 04/16/40		800		707,000
7.50%, 07/27/35^a		388		368,115
Vale Canada Ltd.
7.20%, 09/15/32		50		27,000

				8,428,650
OFFICE & BUSINESS EQUIPMENT — 0.04%
Xerox Corp.
4.80%, 03/01/35^a		161		151,255


Security	Principal (000s)		Value
6.75%, 12/15/39	$	175	$	146,859

				298,114
OIL & GAS — 5.12%
Anadarko Finance Co.
7.50%, 05/01/31		400		358,646
Anadarko Petroleum Corp.
4.50%, 07/15/44 (Call 01/15/44)		325		222,116
6.20%, 03/15/40		805		636,389
6.45%, 09/15/36		730		609,758
Apache Corp.
4.25%, 01/15/44 (Call 07/15/43)		225		159,980
4.75%, 04/15/43 (Call 10/15/42)		1,025		775,538
5.10%, 09/01/40 (Call 03/01/40)		280		204,914
6.00%, 01/15/37		911		750,534
Burlington Resources Finance Co.
7.20%, 08/15/31		284		299,176
7.40%, 12/01/31		591		640,346
Canadian Natural Resources Ltd.
5.85%, 02/01/35		225		162,000
6.25%, 03/15/38		900		666,000
6.45%, 06/30/33		200		151,000
Cenovus Energy Inc.
4.45%, 09/15/42 (Call 03/15/42)		65		36,887
CNOOC Nexen Finance 2014 ULC
4.88%, 04/30/44		1,200		1,240,218
Conoco Funding Co.
7.25%, 10/15/31		297		314,381
ConocoPhillips
5.90%, 10/15/32		13		12,201
6.50%, 02/01/39		656		649,808
ConocoPhillips Canada Funding Co. I
5.95%, 10/15/36		200		187,375
ConocoPhillips Co.
4.15%, 11/15/34 (Call 05/15/34)		415		339,083
4.30%, 11/15/44 (Call 05/15/44)^a		725		581,511
ConocoPhillips Holding Co.
6.95%, 04/15/29		1,491		1,570,892
Devon Energy Corp.
4.75%, 05/15/42 (Call 11/15/41)		1,575		1,028,053
5.00%, 06/15/45 (Call 12/15/44)		350		228,828
5.60%, 07/15/41 (Call 01/15/41)		125		84,554
7.95%, 04/15/32		80		63,204
Devon Financing Co. LLC
7.88%, 09/30/31		200		157,686


88		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Diamond Offshore Drilling Inc.
4.88%, 11/01/43 (Call 05/01/43)^a	$	260	$	150,800
5.70%, 10/15/39^a		150		94,500
Ecopetrol SA
5.38%, 06/26/26 (Call 03/26/26)		300		243,750
5.88%, 05/28/45		300		211,125
7.38%, 09/18/43		1,100		874,500
Eni USA Inc.
7.30%, 11/15/27		205		235,726
Ensco PLC
5.75%, 10/01/44 (Call 04/01/44)		625		293,750
EOG Resources Inc.
3.90%, 04/01/35 (Call 10/01/34)		396		323,329
5.10%, 01/15/36 (Call 07/15/35)		275		259,889
Exxon Mobil Corp.
3.57%, 03/06/45 (Call 09/06/44)		34		31,432
4.11%, 03/01/46		145		145,000
Hess Corp.
5.60%, 02/15/41		301		215,701
6.00%, 01/15/40		200		149,059
7.13%, 03/15/33		225		186,711
7.30%, 08/15/31		1,012		865,938
7.88%, 10/01/29		174		155,794
Kerr-McGee Corp.
7.88%, 09/15/31		14		12,758
Marathon Oil Corp.
5.20%, 06/01/45 (Call 12/01/44)		250		148,750
6.60%, 10/01/37		630		415,800
6.80%, 03/15/32		26		17,940
Marathon Petroleum Corp.
4.75%, 09/15/44 (Call 03/15/44)		650		416,122
5.00%, 09/15/54 (Call 03/15/54)		200		122,293
5.85%, 12/15/45 (Call 06/15/45)		125		90,726
6.50%, 03/01/41 (Call 09/01/40)		365		284,903
Murphy Oil Corp.
7.05%, 05/01/29		200		110,000
Nexen Energy ULC
6.40%, 05/15/37		324		372,811
7.50%, 07/30/39		375		472,095
7.88%, 03/15/32		160		206,443
Noble Energy Inc.
5.25%, 11/15/43 (Call 05/15/43)		570		423,283
6.00%, 03/01/41 (Call 09/01/40)		785		612,215


Security	Principal (000s)		Value
Noble Holding International Ltd.
5.25%, 03/15/42	$	460	$	179,400
6.05%, 03/01/41		125		52,500
6.20%, 08/01/40		30		12,600
6.95%, 04/01/45 (Call 10/01/44)		200		90,000
Occidental Petroleum Corp.
4.63%, 06/15/45 (Call 12/15/44)		214		204,573
Petro-Canada
5.35%, 07/15/33		125		101,105
5.95%, 05/15/35		11		9,367
6.80%, 05/15/38		812		750,068
Petroleos Mexicanos
5.50%, 06/27/44		825		636,192
5.50%, 06/27/44^b		1,750		1,346,157
5.63%, 01/23/46^b		1,100		859,657
6.38%, 01/23/45		1,050		911,194
6.50%, 06/02/41		750		657,859
6.63%, 06/15/35		1,755		1,591,250
6.63%, 06/15/38		300		257,193
Phillips 66
4.65%, 11/15/34 (Call 05/15/34)		379		347,446
4.88%, 11/15/44 (Call 05/15/44)		1,168		1,061,623
5.88%, 05/01/42		365		351,542
Rowan Companies Inc.
5.40%, 12/01/42 (Call 06/01/42)		25		12,375
5.85%, 01/15/44 (Call 07/15/43)		350		178,500
Shell International Finance BV
4.13%, 05/11/35		585		545,566
4.38%, 05/11/45		1,225		1,132,817
4.55%, 08/12/43		1,731		1,637,631
5.50%, 03/25/40		346		367,049
6.38%, 12/15/38		913		1,053,872
Statoil ASA
3.95%, 05/15/43		850		728,203
4.25%, 11/23/41		250		226,036
4.80%, 11/08/43		150		147,513
5.10%, 08/17/40		380		387,497
6.50%, 12/01/28^b		100		125,463
6.80%, 01/15/28		75		90,794
7.15%, 01/15/29		100		124,654
Suncor Energy Inc.
5.95%, 12/01/34		150		127,982
6.50%, 06/15/38^a		456		413,305
6.85%, 06/01/39		670		621,639


SCHEDULEOF INVESTMENTS			89

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Tosco Corp.
7.80%, 01/01/27	$	364	$	399,117
8.13%, 02/15/30		61		68,613
Valero Energy Corp.
4.90%, 03/15/45^a		340		272,728
6.63%, 06/15/37		1,002		986,747
7.50%, 04/15/32		278		295,169
10.50%, 03/15/39		11		13,859
XTO Energy Inc.
6.75%, 08/01/37		411		563,098

				40,214,174
OIL & GAS SERVICES — 0.59%
Baker Hughes Inc.
5.13%, 09/15/40		390		343,734
6.88%, 01/15/29		664		734,981
Cameron International Corp.
5.13%, 12/15/43 (Call 06/15/43)		350		326,228
5.95%, 06/01/41 (Call 12/01/40)		16		16,186
Halliburton Co.
4.50%, 11/15/41 (Call 05/15/41)		422		339,092
4.75%, 08/01/43 (Call 02/01/43)		725		602,968
4.85%, 11/15/35 (Call 05/15/35)		1,025		915,897
5.00%, 11/15/45 (Call 05/15/45)		15		13,194
6.70%, 09/15/38		21		22,108
7.45%, 09/15/39		851		969,122
National Oilwell Varco Inc.
3.95%, 12/01/42 (Call 06/01/42)^a		530		361,637

				4,645,147
PACKAGING & CONTAINERS — 0.04%
Sonoco Products Co.
5.75%, 11/01/40 (Call 05/01/40)		253		279,058

				279,058
PHARMACEUTICALS — 4.49%
Abbott Laboratories
5.30%, 05/27/40		523		596,107
6.00%, 04/01/39		433		543,020
AbbVie Inc.
4.40%, 11/06/42		1,540		1,472,393
4.50%, 05/14/35 (Call 11/14/34)		1,370		1,362,993
4.70%, 05/14/45 (Call 11/14/44)		866		867,341
Actavis Funding SCS
4.55%, 03/15/35 (Call 09/15/34)		1,258		1,264,299
4.75%, 03/15/45 (Call 09/15/44)^a		1,803		1,834,248


Security	Principal (000s)		Value
4.85%, 06/15/44 (Call 12/15/43)	$	399	$	408,849
Actavis Inc.
4.63%, 10/01/42 (Call 04/01/42)		281		278,243
AmerisourceBergen Corp.
4.25%, 03/01/45 (Call 09/01/44)		336		314,225
AstraZeneca PLC
4.00%, 09/18/42		455		436,312
4.38%, 11/16/45		460		462,670
6.45%, 09/15/37^a		1,230		1,566,607
Baxalta Inc.
5.25%, 06/23/45 (Call 12/23/44)^b		655		616,763
Bristol-Myers Squibb Co.
3.25%, 08/01/42		7		6,351
4.50%, 03/01/44 (Call 09/01/43)^a		368		409,047
5.88%, 11/15/36		820		1,020,457
Cardinal Health Inc.
4.50%, 11/15/44 (Call 05/15/44)		136		130,494
4.60%, 03/15/43		600		589,981
Eli Lilly & Co.
3.70%, 03/01/45 (Call 09/01/44)^a		482		475,267
5.50%, 03/15/27		459		566,575
5.55%, 03/15/37		166		200,773
Express Scripts Holding Co.
6.13%, 11/15/41^a		208		216,676
GlaxoSmithKline Capital Inc.
4.20%, 03/18/43		5		5,073
5.38%, 04/15/34		200		232,946
6.38%, 05/15/38		1,708		2,194,384
Johnson & Johnson
3.55%, 03/01/36 (Call 09/01/35)		170		170,961
3.70%, 03/01/46 (Call 09/01/45)		75		75,407
4.38%, 12/05/33 (Call 06/05/33)		1,704		1,893,596
4.50%, 09/01/40^a		208		232,512
4.50%, 12/05/43 (Call 06/05/43)^a		179		203,124
4.85%, 05/15/41		11		12,942
4.95%, 05/15/33		261		309,231
5.85%, 07/15/38		63		82,800
5.95%, 08/15/37		218		287,883
6.95%, 09/01/29		14		20,119
McKesson Corp.
4.88%, 03/15/44 (Call 09/15/43)		684		681,243
6.00%, 03/01/41 (Call 09/01/40)		80		90,496
Mead Johnson Nutrition Co.
4.60%, 06/01/44 (Call 12/01/43)		203		193,732


90		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.90%, 11/01/39	$	360	$	395,107
Merck & Co. Inc.
3.60%, 09/15/42 (Call 03/15/42)		11		10,319
3.70%, 02/10/45 (Call 08/10/44)		1,424		1,353,531
4.15%, 05/18/43		240		245,534
6.50%, 12/01/33		364		478,301
6.55%, 09/15/37		107		143,152
Merck Sharp & Dohme Corp.
5.75%, 11/15/36		700		859,002
5.85%, 06/30/39		11		13,758
5.95%, 12/01/28		506		645,137
Mylan Inc.
5.40%, 11/29/43 (Call 05/29/43)		247		219,186
Novartis Capital Corp.
3.70%, 09/21/42		363		353,415
4.00%, 11/20/45 (Call 05/20/45)^a		21		21,401
4.40%, 05/06/44		1,350		1,457,537
Perrigo Co. PLC
5.30%, 11/15/43 (Call 05/15/43)		250		239,156
Perrigo Finance Unlimited Co.
4.90%, 12/15/44 (Call 06/15/44)		221		198,708
Pfizer Inc.
4.30%, 06/15/43		196		202,074
4.40%, 05/15/44^a		281		294,532
5.60%, 09/15/40		100		119,422
7.20%, 03/15/39		1,802		2,508,400
Pharmacia Corp.
6.60%, 12/01/28		650		860,420
Teva Pharmaceutical Finance Co. LLC
6.15%, 02/01/36^a		426		464,138
Wyeth LLC
5.95%, 04/01/37		1,030		1,262,429
6.00%, 02/15/36		21		25,879
6.50%, 02/01/34		18		23,283
Zoetis Inc.
4.70%, 02/01/43 (Call 08/01/42)		590		515,876

				35,235,837
PIPELINES — 2.97%
Buckeye Partners LP
5.60%, 10/15/44 (Call 04/15/44)		100		75,035
5.85%, 11/15/43 (Call 05/15/43)		445		330,796
CenterPoint Energy Resources Corp.
5.85%, 01/15/41 (Call 07/15/40)		269		292,602


Security	Principal (000s)		Value
6.63%, 11/01/37	$	11	$	12,770
Colonial Pipeline Co.
4.20%, 04/15/43 (Call 10/15/42)^b		25		21,968
Columbia Pipeline Group Inc.
5.80%, 06/01/45 (Call 12/01/44)^b		25		21,122
El Paso Natural Gas Co. LLC
8.38%, 06/15/32		11		10,680
Enable Midstream Partners LP
5.00%, 05/15/44 (Call 11/15/43)		125		71,250
Enbridge Energy Partners LP Series B
7.50%, 04/15/38		481		411,255
Enbridge Inc.
4.50%, 06/10/44 (Call 12/10/43)		200		143,328
Energy Transfer Partners LP
4.90%, 03/15/35 (Call 09/15/34)		230		166,935
5.15%, 02/01/43 (Call 08/01/42)^a		355		257,174
5.15%, 03/15/45 (Call 09/15/44)^a		500		363,627
6.05%, 06/01/41 (Call 12/01/40)		136		105,484
6.13%, 12/15/45 (Call 06/15/45)		450		369,381
6.50%, 02/01/42 (Call 08/01/41)		1,130		923,818
6.63%, 10/15/36		145		121,692
7.50%, 07/01/38		11		9,997
8.25%, 11/15/29 (Call 08/15/29)		50		50,025
EnLink Midstream Partners LP
5.60%, 04/01/44 (Call 10/01/43)		200		122,000
Enterprise Products Operating LLC
3.70%, 02/15/26 (Call 11/15/25)^a		600		562,214
4.45%, 02/15/43 (Call 08/15/42)		725		587,331
4.85%, 08/15/42 (Call 02/15/42)		125		106,643
4.85%, 03/15/44 (Call 09/15/43)		750		637,240
4.90%, 05/15/46 (Call 11/15/45)		495		434,368
4.95%, 10/15/54 (Call 04/15/54)		950		741,486
5.10%, 02/15/45 (Call 08/15/44)		200		176,411
5.70%, 02/15/42		470		436,445
5.95%, 02/01/41		198		187,912
6.13%, 10/15/39		145		139,147
7.55%, 04/15/38		212		233,664
Series D
6.88%, 03/01/33		264		276,608
Series H
6.65%, 10/15/34		111		113,865
Kinder Morgan Energy Partners LP
4.70%, 11/01/42 (Call 05/01/42)		115		84,223


SCHEDULEOF INVESTMENTS			91

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
5.00%, 08/15/42 (Call 02/15/42)	$	250	$	192,350
5.40%, 09/01/44 (Call 03/01/44)		360		288,933
5.50%, 03/01/44 (Call 09/01/43)		250		203,979
5.80%, 03/15/35		825		669,018
6.38%, 03/01/41		230		192,876
6.55%, 09/15/40		100		83,958
6.95%, 01/15/38		522		465,265
7.30%, 08/15/33		11		9,986
7.40%, 03/15/31		118		110,971
7.50%, 11/15/40		416		372,859
7.75%, 03/15/32		100		93,826
Kinder Morgan Inc./DE
5.05%, 02/15/46 (Call 08/15/45)		325		252,304
5.30%, 12/01/34 (Call 06/01/34)		1,950		1,544,781
5.55%, 06/01/45 (Call 12/01/44)		1,450		1,195,831
7.75%, 01/15/32		25		23,987
Magellan Midstream Partners LP
4.20%, 12/01/42 (Call 06/01/42)		200		153,205
4.20%, 03/15/45 (Call 09/15/44)		200		153,935
5.15%, 10/15/43 (Call 04/15/43)		250		213,158
ONEOK Partners LP
6.13%, 02/01/41 (Call 08/01/40)		565		415,081
6.20%, 09/15/43 (Call 03/15/43)		25		18,383
6.65%, 10/01/36		50		38,843
6.85%, 10/15/37		400		315,178
Plains All American Pipeline LP/PAA Finance Corp.
4.70%, 06/15/44 (Call 12/15/43)		250		164,894
4.90%, 02/15/45 (Call 08/15/44)		325		221,177
5.15%, 06/01/42 (Call 12/01/41)		470		323,491
6.65%, 01/15/37		350		284,002
Southern Natural Gas Co. LLC
8.00%, 03/01/32		12		11,272
Spectra Energy Capital LLC
7.50%, 09/15/38		251		248,041
Spectra Energy Partners LP
4.50%, 03/15/45 (Call 09/15/44)		250		201,349
5.95%, 09/25/43 (Call 03/25/43)		241		226,738
Sunoco Logistics Partners Operations LP
4.95%, 01/15/43 (Call 07/15/42)		750		523,028
5.30%, 04/01/44 (Call 10/01/43)		303		222,303
6.10%, 02/15/42		175		134,832
6.85%, 02/15/40		16		13,444


Security	Principal (000s)		Value
Texas Eastern Transmission LP
7.00%, 07/15/32	$	296	$	326,246
TransCanada PipeLines Ltd.
4.63%, 03/01/34 (Call 12/01/33)		655		596,338
5.00%, 10/16/43 (Call 04/16/43)^a		330		306,252
5.60%, 03/31/34		100		99,324
5.85%, 03/15/36		100		95,905
6.10%, 06/01/40		74		73,901
6.20%, 10/15/37		384		384,434
7.25%, 08/15/38		536		600,922
7.63%, 01/15/39		1,025		1,186,950
Transcontinental Gas Pipe Line Co. LLC
4.45%, 08/01/42 (Call 02/01/42)		635		463,550
5.40%, 08/15/41 (Call 02/15/41)		26		20,930
Western Gas Partners LP
5.45%, 04/01/44 (Call 10/01/43)		150		99,000
Williams Partners LP
4.90%, 01/15/45 (Call 07/15/44)		495		329,175
5.40%, 03/04/44 (Call 09/04/43)		600		414,000
5.80%, 11/15/43 (Call 05/15/43)		50		35,500
6.30%, 04/15/40		200		150,000

				23,364,201
REAL ESTATE INVESTMENT TRUSTS — 0.61%
Brandywine Operating Partnership LP
4.55%, 10/01/29 (Call 07/01/29)		5		4,954
ERP Operating LP
4.50%, 07/01/44 (Call 01/01/44)		660		678,043
Federal Realty Investment Trust
4.50%, 12/01/44 (Call 06/01/44)		111		113,509
HCP Inc.
6.75%, 02/01/41 (Call 08/01/40)		230		250,085
Kilroy Realty LP
4.25%, 08/15/29 (Call 05/15/29)		14		14,225
Kimco Realty Corp.
4.25%, 04/01/45 (Call 10/01/44)		316		297,882
Omega Healthcare Investors Inc.
4.50%, 04/01/27 (Call 01/01/27)		302		288,237
Realty Income Corp.
4.13%, 10/15/26 (Call 07/15/26)		5		5,120
5.88%, 03/15/35		250		282,963
Simon Property Group LP
4.25%, 10/01/44 (Call 04/01/44)^a		14		13,863


92		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
4.75%, 03/15/42 (Call 09/15/41)	$	300	$	316,970
6.75%, 02/01/40 (Call 11/01/39)		550		726,184
Ventas Realty LP
4.38%, 02/01/45 (Call 08/01/44)		467		421,963
5.70%, 09/30/43 (Call 03/30/43)		11		12,206
Welltower Inc.
5.13%, 03/15/43 (Call 09/15/42)		225		222,247
6.50%, 03/15/41 (Call 09/15/40)		187		217,328
Weyerhaeuser Co.
6.95%, 10/01/27		278		321,463
7.38%, 03/15/32		541		631,675

				4,818,917
RETAIL — 4.14%
Bed Bath & Beyond Inc.
4.92%, 08/01/34 (Call 02/01/34)		342		288,817
5.17%, 08/01/44 (Call 02/01/44)		175		139,026
CVS Health Corp.
4.88%, 07/20/35 (Call 01/20/35)		679		730,051
5.13%, 07/20/45 (Call 01/20/45)		1,981		2,204,135
5.30%, 12/05/43 (Call 06/05/43)		18		20,218
5.75%, 05/15/41 (Call 11/15/40)		11		12,660
6.13%, 09/15/39		746		907,322
6.25%, 06/01/27		471		564,264
Darden Restaurants Inc.
7.05%, 10/15/37		205		225,326
Home Depot Inc. (The)
4.20%, 04/01/43 (Call 10/01/42)		21		21,649
4.25%, 04/01/46 (Call 10/01/45)		1,050		1,093,450
4.40%, 03/15/45 (Call 09/15/44)		776		827,194
4.88%, 02/15/44 (Call 08/15/43)		411		463,209
5.40%, 09/15/40 (Call 03/15/40)		21		25,077
5.88%, 12/16/36		1,075		1,333,311
5.95%, 04/01/41 (Call 10/01/40)		1,013		1,290,481
Kohl’s Corp.
5.55%, 07/17/45 (Call 01/17/45)		105		90,649
Lowe��s Companies Inc.
4.38%, 09/15/45 (Call 03/15/45)		250		261,182
4.65%, 04/15/42 (Call 10/15/41)		439		472,705
5.00%, 09/15/43 (Call 03/15/43)		440		493,518
5.50%, 10/15/35		11		12,786
5.80%, 10/15/36		16		19,235
5.80%, 04/15/40 (Call 10/15/39)		411		498,424
6.65%, 09/15/37		161		211,898
6.88%, 02/15/28		650		857,466


Security	Principal (000s)		Value
Macy’s Retail Holdings Inc.
4.30%, 02/15/43 (Call 08/15/42)	$	76	$	54,042
4.50%, 12/15/34 (Call 06/15/34)		107		83,871
5.13%, 01/15/42 (Call 07/15/41)		236		187,920
6.38%, 03/15/37^a		213		200,456
6.70%, 07/15/34^a		255		249,455
6.90%, 04/01/29		600		657,508
6.90%, 01/15/32		12		13,147
McDonald’s Corp.
3.63%, 05/01/43		11		9,438
3.70%, 02/15/42		518		452,060
4.60%, 05/26/45 (Call 11/26/44)		311		311,488
4.70%, 12/09/35 (Call 06/09/35)		100		103,473
4.88%, 12/09/45 (Call 06/09/45)^a		1,521		1,592,911
5.70%, 02/01/39		50		56,138
6.30%, 10/15/37		360		428,890
6.30%, 03/01/38		365		435,561
Nordstrom Inc.
5.00%, 01/15/44 (Call 07/15/43)		277		260,742
6.95%, 03/15/28		180		216,148
QVC Inc.
5.45%, 08/15/34 (Call 02/15/34)		418		344,305
Starbucks Corp.
4.30%, 06/15/45 (Call 12/15/44)		217		233,508
Target Corp.
4.00%, 07/01/42		1,071		1,081,477
6.35%, 11/01/32		9		11,555
6.50%, 10/15/37		911		1,206,781
Tiffany & Co.
4.90%, 10/01/44 (Call 04/01/44)		83		76,876
Wal-Mart Stores Inc.
4.00%, 04/11/43 (Call 10/11/42)^a		1,061		1,064,477
4.30%, 04/22/44 (Call 10/22/43)^a		942		992,264
4.75%, 10/02/43 (Call 04/02/43)		16		17,748
4.88%, 07/08/40		168		187,106
5.00%, 10/25/40		348		393,961
5.25%, 09/01/35		1,265		1,487,214
5.63%, 04/01/40		16		19,379
5.63%, 04/15/41		289		354,082
5.88%, 04/05/27		21		26,454
6.20%, 04/15/38		1,914		2,449,025
6.50%, 08/15/37		1,764		2,322,087
7.55%, 02/15/30		533		765,197


SCHEDULEOF INVESTMENTS			93

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Walgreen Co.
4.40%, 09/15/42	$	125	$	107,325
Walgreens Boots Alliance Inc.
4.50%, 11/18/34 (Call 05/18/34)		226		204,445
4.80%, 11/18/44 (Call 05/18/44)		919		831,530

				32,554,097
SEMICONDUCTORS — 0.65%
Analog Devices Inc.
5.30%, 12/15/45 (Call 06/15/45)		87		92,098
Applied Materials Inc.
5.10%, 10/01/35 (Call 04/01/35)		420		436,698
5.85%, 06/15/41		311		349,175
Intel Corp.
4.00%, 12/15/32		386		393,587
4.25%, 12/15/42		21		20,834
4.80%, 10/01/41		1,030		1,097,824
4.90%, 07/29/45 (Call 01/29/45)		1,201		1,300,781
KLA-Tencor Corp.
5.65%, 11/01/34 (Call 07/01/34)		215		206,372
QUALCOMM Inc.
4.65%, 05/20/35 (Call 11/20/34)		526		493,519
4.80%, 05/20/45 (Call 11/20/44)		760		687,138

				5,078,026
SOFTWARE — 1.81%
Microsoft Corp.
3.50%, 02/12/35 (Call 08/12/34)		758		729,487
3.50%, 11/15/42		350		320,905
3.75%, 05/01/43 (Call 11/01/42)		373		357,042
3.75%, 02/12/45 (Call 08/12/44)		178		171,006
4.00%, 02/12/55 (Call 08/12/54)		1,523		1,420,735
4.20%, 11/03/35 (Call 05/03/35)		521		541,963
4.45%, 11/03/45 (Call 05/03/45)		1,201		1,278,518
4.50%, 10/01/40		404		432,143
4.75%, 11/03/55 (Call 05/03/55)		371		392,265
4.88%, 12/15/43 (Call 06/15/43)^a		504		566,896
5.20%, 06/01/39		322		375,292
5.30%, 02/08/41		623		735,822
Oracle Corp.
3.25%, 05/15/30 (Call 02/15/30)^a		1,336		1,303,026
3.90%, 05/15/35 (Call 11/15/34)		750		726,305
4.13%, 05/15/45 (Call 11/15/44)		350		341,573
4.30%, 07/08/34 (Call 01/08/34)		1,382		1,407,946
4.38%, 05/15/55 (Call 11/15/54)		264		252,794


Security	Principal (000s)		Value
4.50%, 07/08/44 (Call 01/08/44)	$	717	$	736,611
5.38%, 07/15/40		819		929,673
6.13%, 07/08/39		996		1,226,765

				14,246,767
TELECOMMUNICATIONS — 7.58%
Alltel Corp.
7.88%, 07/01/32^a		190		235,621
America Movil SAB de CV
4.38%, 07/16/42^a		643		595,110
6.13%, 11/15/37		125		137,913
6.13%, 03/30/40		1,321		1,472,124
6.38%, 03/01/35		145		164,281
AT&T Corp.
8.25%, 11/15/31		945		1,322,228
AT&T Inc.
4.30%, 12/15/42 (Call 06/15/42)		501		427,191
4.35%, 06/15/45 (Call 12/15/44)		729		622,698
4.50%, 05/15/35 (Call 11/15/34)		1,185		1,091,720
4.75%, 05/15/46 (Call 11/15/45)		1,195		1,084,824
4.80%, 06/15/44 (Call 12/15/43)		2,070		1,882,511
5.35%, 09/01/40		1,025		1,000,442
5.55%, 08/15/41		307		306,587
5.65%, 02/15/47 (Call 08/15/46)		250		258,145
6.15%, 09/15/34		667		740,969
6.30%, 01/15/38		2,328		2,513,476
6.40%, 05/15/38		350		380,154
6.45%, 06/15/34		560		620,142
6.50%, 09/01/37^a		376		417,008
6.55%, 02/15/39		606		673,995
AT&T Mobility LLC
7.13%, 12/15/31		400		494,941
BellSouth Capital Funding Corp.
7.88%, 02/15/30		36		42,729
BellSouth LLC
6.55%, 06/15/34		261		284,105
6.88%, 10/15/31		311		366,550
BellSouth Telecommunications LLC
6.38%, 06/01/28^a		200		218,393
British Telecommunications PLC
9.63%, 12/15/30		1,441		2,075,830
Cisco Systems Inc.
5.50%, 01/15/40		1,591		1,895,492
5.90%, 02/15/39		549		679,130


94		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Corning Inc.
4.70%, 03/15/37^a	$	75	$	72,472
4.75%, 03/15/42		341		325,802
5.75%, 08/15/40		148		157,916
7.25%, 08/15/36 (Call 08/15/26)		205		238,717
Deutsche Telekom International Finance BV
8.75%, 06/15/30		1,580		2,211,461
9.25%, 06/01/32		219		324,546
Embarq Corp.
8.00%, 06/01/36		556		533,760
GTE Corp.
6.94%, 04/15/28		214		256,992
Harris Corp.
4.85%, 04/27/35 (Call 10/27/34)		242		245,385
5.05%, 04/27/45 (Call 10/27/44)		150		153,768
6.15%, 12/15/40		105		119,924
Juniper Networks Inc.
5.95%, 03/15/41		275		243,766
Koninklijke KPN NV
8.38%, 10/01/30		426		555,753
Motorola Solutions Inc.
5.50%, 09/01/44		266		196,194
New Cingular Wireless Services Inc.
8.75%, 03/01/31		576		814,129
Orange SA
5.38%, 01/13/42		271		289,341
5.50%, 02/06/44 (Call 08/06/43)^a		716		782,733
9.00%, 03/01/31		1,155		1,609,557
Pacific Bell Telephone Co.
7.13%, 03/15/26		675		835,903
Qwest Corp.
6.88%, 09/15/33 (Call 03/31/16)		680		625,600
7.13%, 11/15/43 (Call 03/31/16)^a		343		325,850
7.25%, 10/15/35 (Call 03/31/16)		11		10,684
Rogers Communications Inc.
4.50%, 03/15/43 (Call 09/15/42)		150		141,925
5.00%, 03/15/44 (Call 09/15/43)		620		631,219
5.45%, 10/01/43 (Call 04/01/43)		21		22,855
7.50%, 08/15/38		455		591,982
Telefonica Emisiones SAU
7.05%, 06/20/36		1,075		1,276,536
Telefonica Europe BV
8.25%, 09/15/30		587		761,599


Security	Principal (000s)		Value
Verizon Communications Inc.
3.85%, 11/01/42 (Call 05/01/42)	$	476	$	398,930
4.27%, 01/15/36^a		500		458,018
4.40%, 11/01/34 (Call 05/01/34)		2,089		1,957,272
4.75%, 11/01/41		265		251,437
4.86%, 08/21/46		2,512		2,435,214
5.01%, 08/21/54		3,277		3,027,279
5.05%, 03/15/34 (Call 12/15/33)		1,101		1,107,485
5.85%, 09/15/35		580		628,901
6.00%, 04/01/41		373		415,109
6.25%, 04/01/37		16		18,315
6.40%, 09/15/33		800		928,776
6.40%, 02/15/38		401		461,834
6.55%, 09/15/43		3,996		4,841,551
6.90%, 04/15/38		800		971,501
7.35%, 04/01/39		211		265,244
7.75%, 12/01/30		990		1,319,772
7.75%, 06/15/32		461		568,216
Verizon Florida LLC Series E
6.86%, 02/01/28^a		550		514,691
Verizon Maryland LLC Series B
5.13%, 06/15/33^a		426		434,078
Verizon New York Inc. Series B
7.38%, 04/01/32		11		12,534
Vodafone Group PLC
4.38%, 02/19/43		320		265,404
6.15%, 02/27/37		1,041		1,070,851
6.25%, 11/30/32		461		465,256
7.88%, 02/15/30		302		356,861

				59,535,207
TEXTILES — 0.05%
Cintas Corp. No. 2
6.15%, 08/15/36		332		401,740

				401,740
TOYS, GAMES & HOBBIES — 0.09%
Hasbro Inc.
5.10%, 05/15/44 (Call 11/15/43)		151		144,261
6.35%, 03/15/40		315		350,024
Mattel Inc.
5.45%, 11/01/41 (Call 05/01/41)		175		172,377
6.20%, 10/01/40		11		11,783

				678,445


SCHEDULEOF INVESTMENTS			95

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
TRANSPORTATION — 2.83%
Burlington Northern Santa Fe LLC
4.15%, 04/01/45 (Call 10/01/44)	$	523	$	508,365
4.38%, 09/01/42 (Call 03/01/42)		357		357,844
4.40%, 03/15/42 (Call 09/15/41)		313		314,926
4.45%, 03/15/43 (Call 09/15/42)		11		11,155
4.55%, 09/01/44 (Call 03/01/44)		357		367,339
4.70%, 09/01/45 (Call 03/01/45)		461		486,681
4.90%, 04/01/44 (Call 10/01/43)		1,281		1,380,615
4.95%, 09/15/41 (Call 03/15/41)		14		15,029
5.05%, 03/01/41 (Call 09/01/40)		26		28,273
5.15%, 09/01/43 (Call 03/01/43)		173		191,929
5.40%, 06/01/41 (Call 12/01/40)		270		306,480
5.75%, 05/01/40 (Call 11/01/39)		466		549,524
6.15%, 05/01/37		161		196,263
6.20%, 08/15/36		350		427,423
Canadian National Railway Co.
3.50%, 11/15/42 (Call 05/15/42)		170		159,049
4.50%, 11/07/43 (Call 05/07/43)		255		278,694
6.20%, 06/01/36		170		221,287
6.25%, 08/01/34		111		142,991
6.38%, 11/15/37		181		240,752
6.90%, 07/15/28		490		673,930
Canadian Pacific Railway Co.
3.70%, 02/01/26 (Call 11/01/25)		575		579,604
4.80%, 09/15/35 (Call 03/15/35)		114		114,853
4.80%, 08/01/45 (Call 02/01/45)^a		100		99,845
5.75%, 03/15/33		7		7,751
5.75%, 01/15/42		261		290,863
5.95%, 05/15/37		16		18,063
6.13%, 09/15/15 (Call 03/15/15)		6		6,218
7.13%, 10/15/31		440		558,744
CSX Corp.
3.95%, 05/01/50 (Call 11/01/49)		300		255,597
4.10%, 03/15/44 (Call 09/15/43)		922		848,443
4.40%, 03/01/43 (Call 09/01/42)		137		131,160
4.50%, 08/01/54 (Call 02/01/54)		389		355,937
4.75%, 05/30/42 (Call 11/30/41)		352		353,555
5.50%, 04/15/41 (Call 10/15/40)		70		76,925
6.00%, 10/01/36		246		283,276
6.15%, 05/01/37		25		29,343
6.22%, 04/30/40		105		124,334
FedEx Corp.
3.88%, 08/01/42		209		182,496


Security	Principal (000s)		Value
3.90%, 02/01/35	$	936	$	851,613
4.10%, 04/15/43		2		1,811
4.10%, 02/01/45		261		235,615
4.50%, 02/01/65		86		76,326
4.75%, 11/15/45 (Call 05/15/45)		645		644,968
4.90%, 01/15/34		338		347,760
5.10%, 01/15/44		166		171,787
Kansas City Southern
4.30%, 05/15/43 (Call 11/15/42)^b		100		91,598
4.95%, 08/15/45 (Call 02/15/45)^b		496		499,059
Norfolk Southern Corp.
4.45%, 06/15/45 (Call 12/15/44)		441		424,230
4.65%, 01/15/46 (Call 07/15/45)		605		599,111
4.80%, 08/15/43 (Call 02/15/43)		899		908,550
4.84%, 10/01/41		479		486,561
6.00%, 03/15/05		11		11,801
6.00%, 05/23/11		436		467,790
NorthWestern Corp.
4.18%, 11/15/44 (Call 05/15/44)		161		169,697
Union Pacific Corp.
3.38%, 02/01/35 (Call 08/01/34)		516		477,384
3.88%, 02/01/55 (Call 08/01/54)		725		650,692
4.05%, 11/15/45 (Call 05/15/45)^a		381		377,093
4.05%, 03/01/46 (Call 09/01/45)		170		169,422
4.15%, 01/15/45 (Call 07/15/44)		75		75,375
4.30%, 06/15/42 (Call 12/15/41)		259		263,875
4.38%, 11/15/65 (Call 05/15/65)		6		5,670
4.75%, 09/15/41 (Call 03/15/41)		8		8,665
4.75%, 12/15/43 (Call 06/15/43)		100		108,711
4.82%, 02/01/44 (Call 08/01/43)		570		626,336
4.85%, 06/15/44 (Call 12/15/43)		14		15,459
6.63%, 02/01/29		307		411,277
United Parcel Service Inc.
3.63%, 10/01/42		5		4,904
4.88%, 11/15/40 (Call 05/15/40)		530		610,475
6.20%, 01/15/38		838		1,103,609
United Parcel Service of America Inc.
8.38%, 04/01/30^d		114		166,546

				22,239,326
TRUCKING & LEASING — 0.04%
GATX Corp.
5.20%, 03/15/44 (Call 09/15/43)		300		293,082

				293,082


96		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
WATER — 0.20%
American Water Capital Corp.
4.30%, 12/01/42 (Call 06/01/42)	$	16	$	16,964
4.30%, 09/01/45 (Call 03/01/45)^a		500		531,873
6.59%, 10/15/37		239		326,851
United Utilities PLC
6.88%, 08/15/28		300		341,456
Veolia Environnement SA
6.75%, 06/01/38		250		321,880

				1,539,024

TOTAL CORPORATE BONDS & NOTES (Cost: $689,319,216)				645,987,939

FOREIGN GOVERNMENT OBLIGATIONS^e — 6.65%

CANADA — 0.15%
Province of Quebec Canada
7.50%, 09/15/29		800		1,206,260

				1,206,260
CHILE — 0.05%
Chile Government International Bond
3.63%, 10/30/42^a		450		411,434

				411,434
COLOMBIA — 0.56%
Colombia Government International Bond
5.00%, 06/15/45 (Call 12/15/44)		400		337,393
5.63%, 02/26/44 (Call 08/26/43)		2,400		2,179,483
6.13%, 01/18/41		950		911,946
7.38%, 09/18/37^a		900		979,585

				4,408,407
ISRAEL — 0.06%
Israel Government International Bond
4.50%, 01/30/43		400		430,520

				430,520
ITALY — 0.15%
Italy Government International Bond
5.38%, 06/15/33^a		967		1,142,942

				1,142,942
MEXICO — 1.32%
Mexico Government International Bond
4.60%, 01/23/46		1,350		1,247,008


Security	Principal (000s)		Value
4.75%, 03/08/44	$	1,890	$	1,781,245
5.55%, 01/21/45		550		576,914
5.75%, 10/12/49		2,030		1,958,693
6.05%, 01/11/40		1,570		1,753,493
6.75%, 09/27/34		1,075		1,330,736
7.50%, 04/08/33		477		634,794
8.30%, 08/15/31		755		1,113,160

				10,396,043
PANAMA — 0.41%
Panama Government International Bond
6.70%, 01/26/36		1,230		1,526,148
7.13%, 01/29/26^a		500		638,056
9.38%, 04/01/29		730		1,080,716

				3,244,920
PERU — 0.51%
Peruvian Government International Bond
4.13%, 08/25/27^a		700		716,337
5.63%, 11/18/50		1,275		1,370,249
6.55%, 03/14/37^a		495		592,065
8.75%, 11/21/33^a		900		1,296,304

				3,974,955
PHILIPPINES — 1.11%
Philippine Government International Bond
3.95%, 01/20/40		1,000		1,070,000
5.00%, 01/13/37^a		1,600		1,950,000
5.50%, 03/30/26		1,400		1,704,500
6.38%, 01/15/32		1,400		1,870,750
6.38%, 10/23/34		800		1,102,000
7.75%, 01/14/31		200		296,250
9.50%, 02/02/30		450		741,938

				8,735,438
SOUTH AFRICA — 0.12%
South Africa Government International Bond
5.38%, 07/24/44^a		800		740,000
6.25%, 03/08/41		200		205,676

				945,676
SOUTH KOREA — 0.17%
Export-Import Bank of Korea
3.25%, 08/12/26		450		468,591


SCHEDULEOF INVESTMENTS			97

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Korea International Bond
4.13%, 06/10/44^a	$	700	$	853,963

				1,322,554
SUPRANATIONAL — 0.38%
Asian Development Bank
5.82%, 06/16/28		310		411,796
European Investment Bank
4.88%, 02/15/36		715		939,199
Inter-American Development Bank
3.20%, 08/07/42		335		348,049
3.88%, 10/28/41		395		460,742
4.38%, 01/24/44		200		252,778
International Bank for Reconstruction & Development
4.75%, 02/15/35		460		593,119

				3,005,683
TURKEY — 1.20%
Turkey Government International Bond
4.88%, 04/16/43		500		439,735
6.63%, 02/17/45		2,600		2,924,792
6.75%, 05/30/40		600		669,186
6.88%, 03/17/36		1,150		1,292,646
7.25%, 03/05/38		800		939,544
8.00%, 02/14/34^a		1,500		1,881,540
11.88%, 01/15/30		780		1,289,699

				9,437,142
URUGUAY — 0.46%
Uruguay Government International Bond
4.13%, 11/20/45		300		245,550
4.38%, 10/27/27		900		902,250
5.10%, 06/18/50^a		1,500		1,350,000
7.63%, 03/21/36^a		865		1,078,223

				3,576,023

TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(Cost: $54,642,503)				52,237,997

MUNICIPAL DEBT OBLIGATIONS — 8.58%

CALIFORNIA — 2.76%
Alameda County Joint Powers Authority RB BAB
7.05%, 12/01/44		135		189,529


Security	Principal (000s)		Value
Bay Area Toll Authority RB BAB
6.26%, 04/01/49	$	550	$	768,377
Series S1
6.79%, 04/01/30		250		321,648
7.04%, 04/01/50		750		1,089,435
California State Public Works Board RB BAB Series G-2
8.36%, 10/01/34		360		538,726
City of Los Angeles Department of Airports RB BAB
6.58%, 05/15/39		280		373,727
City of San Francisco CA Public Utilities Commission Water Revenue RB BAB
6.95%, 11/01/50		360		514,847
County of Sonoma CA RB Series A
6.00%, 12/01/29 (GTD)		300		368,973
East Bay Municipal Utility District Water System Revenue RB BAB Series B
5.87%, 06/01/40		330		432,175
Los Angeles Community College District/CA GO BAB
6.75%, 08/01/49		500		727,855
Los Angeles County Metropolitan Transportation Authority RB BAB Series A
5.74%, 06/01/39		400		511,768
Los Angeles County Public Works Financing Authority RB BAB
7.62%, 08/01/40		350		514,419
Los Angeles Department of Water & Power RB BAB
6.57%, 07/01/45		500		704,330
6.60%, 07/01/50		300		428,631
Los Angeles Unified School District/CA GO BAB
5.75%, 07/01/34		800		997,872
6.76%, 07/01/34		550		754,688


98		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
Regents of the University of California Medical Center Pooled Revenue RB BAB
6.55%, 05/15/48	$	450	$	611,604
San Diego County Regional Transportation Commission RB BAB
5.91%, 04/01/48		300		403,599
San Diego County Water Authority Financing Corp. RB BAB
6.14%, 05/01/49		400		538,384
State of California GO BAB
7.30%, 10/01/39		820		1,167,377
7.35%, 11/01/39		700		1,003,884
7.50%, 04/01/34		2,450		3,515,529
7.55%, 04/01/39		900		1,335,888
7.60%, 11/01/40		600		905,502
7.95%, 03/01/36 (Call 03/01/20)		600		723,546
University of California RB
Series AD
4.86%, 05/15/12		380		389,846
Series AN
4.77%, 05/15/44 (Call 05/15/24)		650		680,543
University of California RB BAB
5.77%, 05/15/43		200		255,526
5.95%, 05/15/45		700		889,378

				21,657,606
COLORADO — 0.13%
Colorado Bridge Enterprise RB BAB Series A
6.08%, 12/01/40		300		392,493
Denver City & County School District No. 1 COP Series B
7.02%, 12/15/37		435		599,043

				991,536
CONNECTICUT — 0.17%
State of Connecticut GO Series A
5.85%, 03/15/32		200		247,988


Security	Principal (000s)		Value
State of Connecticut GO BAB
5.09%, 10/01/30	$	200	$	231,622
5.63%, 12/01/29		720		862,870

				1,342,480
DISTRICT OF COLUMBIA — 0.03%
District of Columbia Water & Sewer Authority RB
4.81%, 10/01/14		200		212,662

				212,662
GEORGIA — 0.19%
Municipal Electric Authority of Georgia RB BAB
Project J, Series 2010A
6.64%, 04/01/57		250		303,585
Project P, Series 2010A
7.06%, 04/01/57		1,025		1,205,687

				1,509,272
ILLINOIS — 0.96%
Chicago Transit Authority RB
Series A
6.90%, 12/01/40		650		769,249
Series B
6.90%, 12/01/40		225		266,681
Chicago Transit Authority RB BAB Series B
6.20%, 12/01/40		120		133,621
City of Chicago IL GO Series C
7.78%, 01/01/35		810		878,623
County of Cook IL GO BAB
6.23%, 11/15/34		100		109,769
Illinois State Toll Highway Authority RB BAB
6.18%, 01/01/34		580		752,324
Metropolitan Water Reclamation District of Greater Chicago GOL BAB
5.72%, 12/01/38		500		605,575
State of Illinois GO
5.10%, 06/01/33^a		3,265		3,035,503
5.65%, 12/01/38		725		703,504


SCHEDULEOF INVESTMENTS			99

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
State of Illinois GO BAB Series 3
6.73%, 04/01/35	$	300	$	328,692

				7,583,541
KANSAS — 0.04%
State of Kansas Department of Transportation RB BAB
4.60%, 09/01/35		300		340,014

				340,014
KENTUCKY — 0.02%
Louisville & Jefferson County Metropolitan Sewer District RB BAB
6.25%, 05/15/43		145		190,732

				190,732
MARYLAND — 0.03%
Maryland State Transportation Authority RB BAB
5.89%, 07/01/43		200		257,154

				257,154
MASSACHUSETTS — 0.37%
Commonwealth of Massachusetts GOL BAB
4.91%, 05/01/29		240		289,814
Series E
5.46%, 12/01/39		745		950,747
Commonwealth of Massachusetts Transportation Fund Revenue RB BAB Series A
5.73%, 06/01/40		300		386,178
Massachusetts Clean Water Trust (The) RB BAB Series B
5.19%, 08/01/40		550		668,844
Massachusetts School Building Authority RB BAB
5.72%, 08/15/39		450		577,287

				2,872,870
MISSOURI — 0.15%
Missouri Highway & Transportation Commission RB BAB
5.45%, 05/01/33		500		615,170


Security	Principal (000s)		Value
University of Missouri RB BAB
5.79%, 11/01/41	$	400	$	542,100

				1,157,270
NEW JERSEY — 0.57%
New Jersey Economic Development Authority RB Series A
7.43%, 02/15/29 (NPFGC)		675		808,684
New Jersey State Turnpike Authority RB BAB
7.10%, 01/01/41		1,275		1,815,524
Series F
7.41%, 01/01/40		250		368,180
New Jersey Transportation Trust Fund Authority RB BAB Series C
5.75%, 12/15/28		1,020		1,065,971
Rutgers The State University of New Jersey RB BAB
5.67%, 05/01/40		350		430,339

				4,488,698
NEW YORK — 1.45%
City of New York NY GO BAB
5.85%, 06/01/40		330		429,172
5.99%, 12/01/36		145		185,425
6.27%, 12/01/37		625		844,325
Housing Development Corp./NY RB
3.71%, 02/15/48		500		532,945
Metropolitan Transportation Authority RB BAB
6.09%, 11/15/40		250		330,080
6.67%, 11/15/39		385		519,192
Series A
5.87%, 11/15/39		100		122,540
Series B
6.65%, 11/15/39		100		133,374
Series C-1
6.69%, 11/15/40		275		378,158
Series E
6.81%, 11/15/40		450		627,349
New York City Transitional Finance Authority Future Tax Secured Revenue RB
5.27%, 05/01/27		500		596,875


100		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal (000s)		Value
New York City Transitional Finance Authority Future Tax Secured Revenue RB BAB
5.51%, 08/01/37	$	200	$	248,716
5.57%, 11/01/38		250		311,865
New York City Water & Sewer System RB BAB
5.44%, 06/15/43		475		596,956
5.75%, 06/15/41		275		360,220
5.88%, 06/15/44		350		468,157
6.01%, 06/15/42		200		270,410
New York State Dormitory Authority RB BAB
5.39%, 03/15/40		625		785,462
5.50%, 03/15/30		200		244,988
5.63%, 03/15/39		200		248,538
Port Authority of New York & New Jersey RB
4.46%, 10/01/62		835		845,638
4.82%, 06/01/45 (Call 06/01/25)		100		105,017
4.93%, 10/01/51		750		837,862
Series 182
5.31%, 08/01/46 (Call 08/01/24)		1,250		1,345,287

				11,368,551
OHIO — 0.31%
American Municipal Power Inc. RB BAB
7.50%, 02/15/50		570		799,453
8.08%, 02/15/50		500		761,705
Ohio State University (The) RB Series A
4.80%, 06/01/11		200		208,112
Ohio State University (The) RB BAB
4.91%, 06/01/40		550		648,483

				2,417,753
OREGON — 0.15%
Oregon School Boards Association GOL
Series B
5.55%, 06/30/28 (NPFGC)		250		299,342
5.68%, 06/30/28 (NPFGC)		500		619,995


Security	Principal (000s)		Value
State of Oregon Department of Transportation RB BAB Series 2010A
5.83%, 11/15/34	$	175	$	230,764

				1,150,101
PENNSYLVANIA — 0.14%
Commonwealth of Pennsylvania GO BAB
5.45%, 02/15/30		300		357,219
Series B
4.65%, 02/15/26		100		112,730
Pennsylvania Turnpike Commission RB BAB Series B
5.56%, 12/01/49		480		601,550

				1,071,499
TEXAS — 0.90%
City of Houston TX Combined Utility System Revenue RB Series B
3.83%, 05/15/28		300		327,144
City of Houston TX GOL Series A
6.29%, 03/01/32		400		496,152
City Public Service Board of San Antonio TX RB BAB
5.81%, 02/01/41		550		710,562
Dallas Area Rapid Transit RB BAB
6.00%, 12/01/44		425		589,207
Dallas Convention Center Hotel Development Corp. RB BAB
7.09%, 01/01/42		340		455,233
Dallas County Hospital District GOL BAB Series C
5.62%, 08/15/44		150		185,898
Dallas Independent School District GO BAB
6.45%, 02/15/35 (Call 02/15/21) (PSF)		550		655,710
North Texas Tollway Authority RB BAB
8.91%, 02/01/30 (Call 02/01/20)		550		665,561


SCHEDULEOF INVESTMENTS			101

Schedule of Investments (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016


Security	Principal or Shares (000s)		Value
State of Texas GO BAB
5.52%, 04/01/39	$	425	$	557,281
Series A
4.63%, 04/01/33		500		568,880
4.68%, 04/01/40		100		117,073
Texas Transportation Commission State Highway Fund RB BAB Series B
5.18%, 04/01/30		825		1,008,232
University of Texas System (The) RB BAB
Series B
6.28%, 08/15/41 (Call 08/15/19)		370		421,278
Series D
5.13%, 08/15/42		250		310,678

				7,068,889
UTAH — 0.05%
Utah Transit Authority RB BAB Series B
5.94%, 06/15/39		300		397,155

				397,155
VIRGINIA — 0.05%
University of Virginia RB BAB
6.20%, 09/01/39		300		430,296

				430,296
WASHINGTON — 0.11%
Central Puget Sound Regional Transit Authority RB BAB
5.49%, 11/01/39		150		194,003
State of Washington GO BAB
5.14%, 08/01/40		550		685,267

				879,270

TOTAL MUNICIPAL DEBT OBLIGATIONS (Cost: $67,093,989)				67,387,349

SHORT-TERM INVESTMENTS — 8.25%

MONEY MARKET FUNDS — 8.25%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.50%^f,g,h		45,983		45,982,563
BlackRock Cash Funds: Prime, SL Agency Shares
0.49%^f,g,h		4,073		4,072,556


Security	Shares (000s)		Value
BlackRock Cash Funds: Treasury, SL Agency Shares
0.27%^f,g		14,782	$	14,782,171

				64,837,290

TOTAL SHORT-TERM INVESTMENTS
(Cost: $64,837,290)				64,837,290

TOTAL INVESTMENTS IN SECURITIES — 105.72% (Cost: $875,892,998)				830,450,575
Other Assets, Less Liabilities — (5.72)%				(44,902,658	)

NET ASSETS — 100.00%			$	785,547,917

BAB — Build America Bond

COP — Certificates of Participation

GO — General Obligation

GOL — General Obligation Limited

GTD — Guaranteed by the Commonwealth, County or State

PSF — Permanent School Fund

RB — Revenue Bond

Insured by:

NPFGC — National Public Finance Guarantee Corp.

^a	All or a portion of this security represents a security on loan. See Note 1.

^b	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^c	Variable rate security. Rate shown is as of report date.

^d	Step coupon security. Coupon rate will either increase (step-up bond) or decrease (step-down bond) at regular intervals until maturity. Interest rate shown reflects the rate currently in effect.

^e	Investments are denominated in U.S. dollars.

^f	Affiliated issuer. See Note 2.

^g	The rate quoted is the annualized seven-day yield of the fund at period end.

^h	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

See notes to financial statements.


102		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statement of Assets and Liabilities

iSHARES^® 10+ YEAR CREDIT BOND ETF

February 29, 2016



ASSETS
Investments, at cost:
Unaffiliated	$	811,055,708
Affiliated (Note 2)		64,837,290

Total cost of investments	$	875,892,998

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Unaffiliated	$	765,613,285
Affiliated (Note 2)		64,837,290

Total fair value of investments		830,450,575
Receivables:
Investment securities sold		2,866,416
Due from custodian (Note 4)		598,991
Interest		10,551,259

Total Assets		844,467,241


LIABILITIES
Payables:
Investment securities purchased		8,743,621
Collateral for securities on loan (Note 1)		50,055,119
Investment advisory fees (Note 2)		120,584

Total Liabilities		58,919,324


NET ASSETS	$	785,547,917


Net assets consist of:
Paid-in capital	$	839,498,015
Undistributed net investment income		2,730,710
Accumulated net realized loss		(11,238,385	)
Net unrealized depreciation		(45,442,423	)

NET ASSETS	$	785,547,917


Shares outstanding^b		13,900,000


Net asset value per share	$	56.51

^a	Securities on loan with a value of $48,524,688. See Note 1.

^b	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			103

Statement of Operations

iSHARES^® 10+ YEAR CREDIT BOND ETF

Year ended February 29, 2016



NET INVESTMENT INCOME
Interest — unaffiliated	$	36,162,288
Interest — affiliated (Note 2)		10,248
Securities lending income — affiliated — net (Note 2)		106,050

Total investment income		36,278,586


EXPENSES
Investment advisory fees (Note 2)		1,577,656

Total expenses		1,577,656

Net investment income		34,700,930


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		(10,263,816	)
Investments — affiliated (Note 2)		6,566
In-kind redemptions — unaffiliated		(3,001,580	)

Net realized loss		(13,258,830	)

Net change in unrealized appreciation/depreciation		(71,068,547	)

Net realized and unrealized loss		(84,327,377	)

NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	(49,626,447	)

See notes to financial statements.


104		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® 10+ YEAR CREDIT BOND ETF


	Year ended February 29, 2016			Year ended February 28, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	34,700,930		$	22,474,702
Net realized gain (loss)		(13,258,830	)		6,029,769
Net change in unrealized appreciation/depreciation		(71,068,547	)		32,857,194

Net increase (decrease) in net assets resulting from operations		(49,626,447	)		61,361,665


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(34,627,351	)		(20,884,615	)

Total distributions to shareholders		(34,627,351	)		(20,884,615	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		256,417,622			637,059,987
Cost of shares redeemed		(236,992,062	)		(110,709,066	)

Net increase in net assets from capital share transactions		19,425,560			526,350,921

INCREASE (DECREASE) IN NET ASSETS		(64,828,238	)		566,827,971

NET ASSETS
Beginning of year		850,376,155			283,548,184

End of year	$	785,547,917		$	850,376,155

Undistributed net investment income included in net assets at end of year	$	2,730,710		$	2,657,131


SHARES ISSUED AND REDEEMED
Shares sold		4,400,000			10,500,000
Shares redeemed		(4,100,000	)		(1,800,000	)

Net increase in shares outstanding		300,000			8,700,000

See notes to financial statements.


FINANCIAL STATEMENTS			105

Financial Highlights

iSHARES^® 10+ YEAR CREDIT BOND ETF

(For a share outstanding throughout each period)


	Year ended Feb. 29, 2016			Year ended Feb. 28, 2015			Year ended Feb. 28, 2014			Year ended Feb. 28, 2013			Year ended Feb. 29, 2012
Net asset value, beginning of year	$	62.53		$	57.87		$	61.05		$	59.51		$	52.53

Income from investment operations:
Net investment income^a		2.55			2.59			2.68			2.65			2.72
Net realized and unrealized gain (loss)^b		(6.02	)		4.59			(3.03	)		1.59			6.88

Total from investment operations		(3.47	)		7.18			(0.35	)		4.24			9.60

Less distributions from:
Net investment income		(2.55	)		(2.52	)		(2.74	)		(2.70	)		(2.62	)
Net realized gain		—			—			(0.09	)		—			—

Total distributions		(2.55	)		(2.52	)		(2.83	)		(2.70	)		(2.62	)

Net asset value, end of year	$	56.51		$	62.53		$	57.87		$	61.05		$	59.51


Total return		(5.53	)%		12.64	%		(0.41	)%^c		7.22	%		18.81	%


Ratios/Supplemental data:
Net assets, end of year (000s)	$	785,548		$	850,376		$	283,548		$	421,254		$	196,391
Ratio of expenses to average net assets		0.20	%		0.20	%		0.20	%		0.20	%		0.20	%
Ratio of net investment income to average net assets		4.40	%		4.28	%		4.67	%		4.33	%		4.79	%
Portfolio turnover rate^d		11	%		23	%		12	%		10	%		6	%

^a	Based on average shares outstanding throughout each period.

^b	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^c	Includes payment from an affiliate. Not including these proceeds, the Fund’s total return would have been -0.43%.

^d	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


106		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® 10+ YEAR CREDIT BOND ETF

These financial statements relate only to the following fund (the “Fund”):


iShares ETF		Diversification Classification
10+ Year Credit Bond		Diversified

The investment objective of the Fund is to seek investment results that correspond generally to the price and yield performance, before fees and expenses, of its underlying index. The investment adviser uses a “passive” or index approach to try to achieve the Fund’s investment objective.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

SECURITY VALUATION

•

Open-end U.S. mutual funds are valued at that day’s published net asset value (“NAV”).


NOTESTO FINANCIAL STATEMENTS			107

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

Fair value pricing could result in a difference between the prices used to calculate the Fund’s NAV and the prices used by the Fund’s underlying index, which in turn could result in a difference between the Fund’s performance and the performance of the Fund’s underlying index.

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

Level 3 — Unobservable inputs for the asset or liability, including the Global Valuation Committee’s assumptions used in determining the fair value of investments.


108		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

The following table summarizes the value of each of the Fund’s investments according to the fair value hierarchy as of February 29, 2016. The breakdown of the Fund’s investments into major categories is disclosed in its schedule of investments.


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Corporate Bonds & Notes	$	—	$	645,987,939	$	—	$	645,987,939
Foreign Government Obligations		—		52,237,997		—		52,237,997
Municipal Debt Obligations		—		67,387,349		—		67,387,349
Money Market Funds		64,837,290		—		—		64,837,290

Total	$	64,837,290	$	765,613,285	$	—	$	830,450,575

SECURITY TRANSACTIONS AND INCOME RECOGNITION

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

The Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by the Fund is required to have a value of at least 102% of the current value of the loaned securities plus the interest accrued on such securities, if any, for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan plus accrued interest, if any. The market value of the loaned securities is determined at the close of each business day of the Fund. Any additional required collateral is delivered to the Fund and any excess collateral is returned by the Fund on the next business day. During the term of the loan, the Fund is entitled to all distributions made on or in respect of the loaned securities. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

Any cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors (“BFA”), the Fund’s investment adviser, or its affiliates. As of February 29, 2016, any securities on loan were collateralized by cash. The cash collateral received was invested in money market funds managed by BFA and is disclosed in the schedule of investments. The securities on loan for the Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 29, 2016 and the total value of the related collateral are disclosed in the statement of assets and liabilities. Income earned by the Fund from securities lending is disclosed in the statement of operations.


NOTESTO FINANCIAL STATEMENTS			109

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities lent. The Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.

Securities lending transactions are entered into by the Fund under Master Securities Lending Agreements (“MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Fund, as lender, would offset the market value of the collateral received against the market value of the securities loaned. The value of the collateral is typically greater than that of the market value of the securities loaned, leaving the lender with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, the borrower can resell or re-pledge the loaned securities, and the Fund can reinvest cash collateral, or, upon an event of default, resell or re-pledge the collateral.

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 29, 2016:


Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount
BNP Paribas Prime Brokerage Inc.	$	680,662	$	680,662	$	—
Citigroup Global Markets Inc.		10,247,423		10,247,423		—
Credit Suisse Securities (USA) LLC		2,877,981		2,877,981		—
Deutsche Bank Securities Inc.		3,177,766		3,177,766		—
Goldman Sachs & Co.		11,975,533		11,975,533		—
HSBC Securities (USA) Inc.		1,084,520		1,084,520		—
JPMorgan Clearing Corp.		4,169,192		4,169,192		—
Merrill Lynch, Pierce, Fenner & Smith		4,139,725		4,139,725		—
Morgan Stanley & Co. LLC		4,187,080		4,187,080		—
SG Americas Securities LLC		451,483		451,483		—
Wells Fargo Securities LLC		5,533,323		5,533,323		—

	$	48,524,688	$	48,524,688	$	—

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of the Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Fund, except interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution fees, litigation expenses and any extraordinary expenses.

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee of 0.20% based on the average daily net assets of the Fund.


110		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees the Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to a securities lending agreement, the Fund retains 80% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees. In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act iShares exchange-traded funds (the “iShares ETF Complex”) in a given calendar year exceeds the aggregate securities lending income generated across the iShares ETF Complex in the calendar year 2013, the Fund, pursuant to a securities lending agreement, will retain for the remainder of that calendar year 85% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

For the year ended February 29, 2016, the Fund paid to BTC securities lending agent services and collateral investment fees in the amount of $43,685.

For the year ended February 29, 2016, the purchase and sales transactions executed by the Fund pursuant to Rule 17a-7 under the 1940 Act were $320,710 and $1,283,829, respectively.

The Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is included in “Interest – affiliated” in the statement of operations.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered an affiliate of the Fund for 1940 Act purposes.

Investments in issuers considered to be affiliates of the Fund (excluding money market funds) during the year ended February 29, 2016 , for purposes of Section 2(a)(3) of the 1940 Act, were as follows:


Name of Affiliated Issuer	Principal Held at Beginning of Year (000s)		Principal Purchased (000s)		Principal Sold (000s)			Principal Held at End of Year (000s)		Value at End of Year		Interest Income		Net Realized Gain (Loss)
PNC Bank N.A.
4.20%, 11/01/25	$	—	$	600	$	(600	)	$	—	$	—	$	2,971	$	6,566

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.


NOTESTO FINANCIAL STATEMENTS			111

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended February 29, 2016 were as follows:


U.S. Government Obligations				Other Securities
Purchases		Sales		Purchases		Sales
$	1,518,108	$	3,083,197	$	106,882,756	$	85,226,923

In-kind transactions (see Note 4) for the year ended February 29, 2016 were as follows:


In-kind Purchases		In-kind Sales
	$231,002,510	$	230,005,442

4.	*CAPITAL SHARE TRANSACTIONS*

5.	*PRINCIPAL RISKS*

BFA uses a “passive” or index approach to try to achieve the Fund’s investment objective following the securities included in its underlying index during upturns as well as downturns. BFA does not take steps to reduce market exposure or to lessen the effects of a declining market. Divergence from the underlying index and the composition of the portfolio is monitored by BFA.


112		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

MARKET RISK

Market risk arises mainly from uncertainty about future values of financial instruments influenced by price, currency and interest rate movements. It represents the potential loss the Fund may suffer through holding market positions in the face of market movements. The Fund is exposed to market risk by virtue of its investment in fixed income instruments. The fair value of securities held by the Fund may decline due to general market conditions, economic trends or events that are not specifically related to the issuers of the securities including local, regional or global political, social or economic instability or to factors that affect a particular industry or group of industries. The extent of the Fund’s exposure to market risk is the market value of the investments held as shown in the Fund’s schedule of investments.

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its schedule of investments.

The Fund invests a substantial amount of its assets in securities of non-U.S. issuers that trade in non-U.S. markets. This involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations and exchange controls; imposition of restrictions on the expatriation of funds or other assets of the Fund; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; greater social, economic and political uncertainties; the risk of nationalization or expropriation of assets; and the risk of war. These risks are heightened for investments in issuers from countries with less developed markets.

The Fund invests a substantial amount of its assets in fixed-income securities. 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 decrease as interest rates rise and increase as interest rates fall. Securities with longer durations tend to be more sensitive to interest rate changes, usually making them more volatile than securities with shorter durations. Given the environment of historically low interest rates, the Fund may be subject to a greater risk of price losses if interest rates rise.

CREDIT RISK

Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. BFA and its affiliates manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Fund to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its statement of assets and liabilities.

6.	*INCOME TAX INFORMATION*


NOTESTO FINANCIAL STATEMENTS			113

Notes to Financial Statements (Continued)

iSHARES^® 10+ YEAR CREDIT BOND ETF

Paid-in
Capital

Undistributed

Net Investment

Income/Distributions

in Excess of Net

Investment Income

Undistributed
Net Realized
Gain/Accumulated
Net Realized Loss

$(3,125,136)

$—

$3,125,136

The tax character of distributions paid during the years ended February 29, 2016 and February 28, 2015 was as follows:


	2016		2015
Ordinary income	$	34,627,351	$	20,884,615

As of February 29, 2016, the tax components of accumulated net earnings (losses) were as follows:

Undistributed
Ordinary
Income

Capital

Loss
Carryforwards

Net
Unrealized
Gains (Losses)^a

Qualified
Late-Year
Losses^b

Total

2,730,710

(5,025,605

)

(45,682,458

)

(5,972,745

)

(53,950,098

)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales.

The Fund has elected to defer certain qualified late-year losses and recognize such losses in the next taxable year.

As of February 29, 2016, the Fund had non-expiring capital loss carryforwards in the amount of $5,025,605 available to offset future realized capital gains.

As of February 29, 2016, the cost of investments for federal income tax purposes was $876,133,033. Net unrealized depreciation was $45,682,458, of which $6,463,875 represented gross unrealized appreciation on securities and $52,146,333 represented gross unrealized depreciation on securities.

Management has analyzed tax laws and regulations and their application to the Fund as of February 29, 2016, 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 Fund’s financial statements.

7.	*SUBSEQUENT EVENTS*


114		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares Trust:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares 10+ Year Credit Bond ETF (the “Fund”) at February 29, 2016, the results of its operations, the changes in its net assets and its financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at February 29, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

April 20, 2016


REPORTOF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM			115

Notes:


116		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes:


NOTES			117

Notes:


118		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-474-2737

This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

A description of the policies that the Fund uses to determine how to vote proxies relating to portfolio securities and information about how the Fund voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request, by calling toll-free 1-800-474-2737; on the Fund’s website at www.iShares.com; and on the U.S. Securities and Exchange Commission (SEC) website at www.sec.gov.

The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website or may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The Fund also discloses its complete schedule of portfolio holdings on a daily basis on the Fund’s website.

iS-AR-1018-1016

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

^Ø

iShares Interest Rate Hedged Emerging Markets Bond ETF | EMBH | NYSE Arca

Table of Contents


Management’s Discussion of Fund Performance			5
About Fund Performance			8
Shareholder Expenses			8
Schedule of Investments			9
Financial Statements			11
Financial Highlights			14
Notes to Financial Statements			15
Report of Independent Registered Public Accounting Firm			23
Tax Information			24
Board Review and Approval of Investment Advisory Contract			25
Supplemental Information			28
Trustee and Officer Information			30
Additional Financial Information — iShares J.P. Morgan USD Emerging Markets Bond ETF			35
Schedule of Investments			36
Financial Statements			45
Financial Highlights			48
Notes to Financial Statements			49
Report of Independent Registered Public Accounting Firm			56

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

GLOBAL BOND MARKET OVERVIEW

Global investment-grade bonds posted positive returns in U.S. dollar terms for the 12-month period ended October 31, 2016 (the “reporting period”). The Bloomberg Barclays Global Aggregate Index returned 5.59% for the reporting period.

High-quality bonds benefited from solid investor demand, as generally poor global economic growth, low inflation, and stimulative monetary policies meant bond yields in many countries fell to record low, negative levels. Returns in U.S. dollar terms were mixed, however, reflecting the varied performance of the dollar relative to other developed market currencies.

In terms of growth, the U.S. economy improved over the course of the reporting period, expanding at a 0.8% annual rate in the first quarter of 2016 before reaching a 2.9% annual growth rate in the third quarter. Meanwhile, growth in much of the rest of the developed world was barely positive. The U.K. and Eurozone expanded by 0.5% and 0.3%, respectively, in the third quarter of 2016. Similarly, Australia and Japan grew by 0.5% and 0.2%, respectively, in the second quarter of 2016, the latest period for which data were available. Meanwhile, the Chinese economy grew at an annual rate of 6.7% in the third quarter of 2016; however, that was down from 6.9% a year earlier, which was the slowest growth since 1990.

Modest global growth meant inflation remained low. In the U.S., U.K., and the Eurozone, consumer prices increased over the course of the reporting period, reaching the highest levels since 2014, but remained at just 1.6%, 0.9%, and 0.5%, respectively, for the 12 months ended October 2016. In Japan, however, consumer prices were nearly unchanged, gaining by 0.1% for the same period.

To encourage growth and guard against deflation, many central banks around the world took further stimulus measures. Central banks from the U.K., Japan, Eurozone, and Australia all cut interest rates during the period to historic lows. One notable exception was the United States, where the U.S. Federal Reserve Bank (the “Fed”) raised rates in December 2015 for the first time in almost seven years.

Against that backdrop, Japanese long-term bond yields turned negative in early 2016, while bond yields in the Eurozone reached a record low of -0.47% in September 2016; similarly, German and French bonds set their all-time low negative yields in July 2016. The U.S., U.K. and Australia also saw long-term government bond yields reach historic lows during the reporting period, but their yields remained positive.

From a sector perspective, global Treasury bonds performed best, reflecting the sharp decline in long-term bond yields during the period. Other government-related securities also performed well, followed by investment-grade corporate bonds.

In terms of currency effects, the U.S. dollar appreciated by approximately 21% relative to the British pound, and 7% against the Chinese yuan for the reporting period. The U.S. dollar was little changed against the euro and Swiss franc. The Japanese yen and Australian dollar gained 13% and 6%, respectively, against the U.S. dollar. The U.S. dollar’s mixed performance reflects differences in expectations for economic growth and monetary policies between the U.S. and other regions.

On a country basis, U.K. bonds were the strongest performers among developed countries in local currency terms, but performed the worst in U.S. dollar terms. Benefiting from the strength of the yen and positive local currency returns, Japanese bonds performed the best in U.S. dollar terms. Australian bonds also performed very well in both Australian and U.S. dollar terms.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		7.49%		3.79%		7.49%		4.88%
Fund Market		7.44%		3.79%		7.44%		4.88%
J.P. Morgan EMBI Global Core Swap Hedged Index		7.88%		4.03%		7.88%		5.17%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 7/22/15. The first day of secondary market trading was 7/23/15.

The J.P. Morgan EMBI Global Core Swap Hedged Index is an unmanaged index that consists of the J.P. Morgan EMBI^SMGlobal Core Index plus interest rate swaps that intend to hedge the interest rate exposure of the J.P. Morgan EMBI^SMGlobal Core Index.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a,b		Annualized Expense Ratio^a
$	1,000.00	$	1,050.50	$	0.46	$	1,000.00	$	1,024.70	$	0.46		0.09%

Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests.


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

The iShares Interest Rate Hedged Emerging Markets Bond ETF (the “Fund”) seeks to mitigate the interest rate risk of a portfolio composed of U.S. dollar-denominated, emerging market bonds. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index.

The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares J.P. Morgan USD Emerging Markets Bond ETF. The Fund attempts to mitigate the interest rate risk of the underlying fund by holding short positions in U.S. Treasury futures or interest rate swaps. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 7.49%, net of fees.

The Fund generated a positive return for the reporting period as strong investor demand for yield coupled with modest global growth and low interest rates benefited the Fund’s performance.

The Fund’s Latin American bonds, which represented approximately 35% of the Fund on average during the reporting period, contributed the most to Index performance, led by Venezuela, Brazil, and Argentina. Venezuelan securities carried yields significantly higher than the Fund as a whole because the economic crisis affecting the country increased the likelihood of a bond default. Demand for those higher yields, along with investor belief that the recovery value of the bonds in default would exceed prevailing prices, helped Venezuelan securities during the reporting period. Brazilian bonds benefited from the resolution of impeachment proceedings against Brazil’s president and the initiation of much-anticipated financial reform. Argentina issued bonds for the first time in 15 years, attracting strong demand after resolving a lengthy standoff with creditors over a past debt default.

Emerging market bonds from Eastern Europe and Asia also made significant contributions to the Fund’s return, led by the Russian Federation and Indonesia, respectively. Africa and the Middle East also contributed to performance for the reporting period.

By maturity, longer-term bonds contributed to the Fund’s performance the most due to their higher yields. From a credit perspective, lower-quality bonds outperformed higher-rated securities, reflecting strong investor demand for yield.

ALLOCATION BY CREDIT QUALITY¹

As of 10/31/16


Moody’s Credit Rating²	Percentage of Total Investments³
Aa		4.11	%
A		15.58
Baa		30.94
Ba		23.21
B		14.69
Caa		5.34
Not Rated		6.13

TOTAL		100.00	%

TEN LARGEST COUNTRIES¹

As of 10/31/16


Country	Percentage of Total Investments³
Mexico		6.39	%
Indonesia		5.08
Russia		4.93
Turkey		4.74
Philippines		4.66
Brazil		4.17
China		4.08
Argentina		3.96
Colombia		3.76
Hungary		3.68

TOTAL		45.45	%

Table shown is for the iShares J.P. Morgan USD Emerging Markets Bond ETF, the underlying fund in which the Fund invests.

Excludes money market funds.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			7

About Fund Performance

Shareholder Expenses

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested on May 1, 2016 and held through October 31, 2016, is intended to help you understand your ongoing costs (in dollars and cents) of investing in the Fund and to compare these costs with the ongoing costs of investing in other funds.

Actual Expenses — The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number corresponding to your Fund under the heading entitled “Expenses Paid During Period.”

Hypothetical Example for Comparison Purposes — The table also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

October 31, 2016


Security	Shares		Value
INVESTMENT COMPANIES — 94.05%

EXCHANGE-TRADED FUNDS — 94.05%
iShares J.P. Morgan USD Emerging Markets Bond ETF^a		20,552	$	2,357,109

				2,357,109

TOTAL INVESTMENT COMPANIES
(Cost: $2,257,244)				2,357,109

SHORT-TERM INVESTMENTS — 3.70%

MONEY MARKET FUNDS — 3.70%
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^b,c		92,850		92,850

				92,850

TOTAL SHORT-TERM INVESTMENTS
(Cost: $92,850)				92,850


	Value
TOTAL INVESTMENTS IN SECURITIES — 97.75%
(Cost: $2,350,094)^d	$	2,449,959
Other Assets, Less Liabilities — 2.25%		56,272

NET ASSETS—100.00%	$	2,506,231

^a	Affiliated issuer. See Schedule 1.

^b	Affiliated money market fund.

^c	The rate quoted is the annualized seven-day yield of the fund at period end.

^d	The cost of investments for federal income tax purposes was $2,350,094. Net unrealized appreciation was $99,865, of which $99,865 represented gross unrealized appreciation on securities and $—represented gross unrealized depreciation on securities.

Schedule 1 — Affiliates (Note 2)


Affiliated issuer	Shares held at beginning of year		Shares purchased		Shares sold			Shares held at end of year		Value at end of year		Dividend income		Net realized gain (loss)
iShares J.P. Morgan USD Emerging Markets Bond ETF		21,302		500		(1,250	)		20,552	$	2,357,109	$	116,101	$	923

Schedule 2 — Swaps Contracts (Note 5)

Centrally cleared short interest rate swaps outstanding as of October 31, 2016 were as follows:


Fixed rate^a	Floating rate^a		Clearinghouse		Expiration date		Notional amount			Value		Premiums paid (received)			Unrealized appreciation (depreciation)
1.01%		3-month LIBOR		Chicago Mercantile		12/08/2018	$	(150,000	)	$	301	$	19		$	282
1.17%		3-month LIBOR		Chicago Mercantile		12/08/2021		(1,350,000	)		13,426		837			12,589
1.44%		3-month LIBOR		Chicago Mercantile		12/08/2026		(925,000	)		25,701		(704	)		26,405
1.77%		3-month LIBOR		Chicago Mercantile		12/08/2046		(75,000	)		5,710		(661	)		6,371

								Net unrealized appreciation							$	45,647

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


SCHEDULEOF INVESTMENTS			9

Schedule of Investments (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

October 31, 2016

Schedule 3 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Exchange-traded funds	$	2,357,109	$	—	$	—	$	2,357,109
Money market funds		92,850		—		—		92,850

Total	$	2,449,959	$	—	$	—	$	2,449,959

Derivative financial instruments^a:
Assets:
Centrally cleared interest rate swaps	$	—	$	45,647	$	—	$	45,647

Total	$	—	$	45,647	$	—	$	45,647

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to financial statements.


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statement of Assets and Liabilities

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

October 31, 2016



ASSETS
Investments, at cost:
Affiliated (Note 2)	$	2,350,094

Total cost of investments	$	2,350,094

Investments in securities, at fair value (Note 1):
Affiliated (Note 2)	$	2,449,959

Total fair value of investments		2,449,959
Cash		1,000
Cash pledged for centrally cleared swaps		58,000
Receivables:
Dividends		19

Total Assets		2,508,978


LIABILITIES
Payables:
Investment advisory fees (Note 2)		213
Variation margin on centrally cleared swaps		2,534

Total Liabilities		2,747


NET ASSETS	$	2,506,231


Net assets consist of:
Paid-in capital	$	2,502,012
Accumulated net realized loss		(141,292	)
Net unrealized appreciation		145,511

NET ASSETS	$	2,506,231


Shares outstanding^a		100,000


Net asset value per share	$	25.06

^a	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			11

Statement of Operations

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

Year ended October 31, 2016



NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	116,271
Securities lending income — affiliated — net (Note 2)		3,505

Total investment income		119,776


EXPENSES
Investment advisory fees (Note 2)		18,209

Total expenses		18,209
Less investment advisory fees waived (Note 2)		(15,770	)

Net expenses		2,439

Net investment income		117,337


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated (Note 2)		923
Swap agreements		(150,069	)

Net realized loss		(149,146	)

Net change in unrealized appreciation/depreciation on:
Investments — affiliated (Note 2)		124,788
Swap agreements		85,316

Net change in unrealized appreciation/depreciation		210,104

Net realized and unrealized gain		60,958

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	178,295

See notes to financial statements.


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF


	Year ended October 31, 2016			Period from July 22, 2015^a to October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	117,337		$	32,665
Net realized loss		(149,146	)		(30,617	)
Net change in unrealized appreciation/depreciation		210,104			(64,593	)

Net increase (decrease) in net assets resulting from operations		178,295			(62,545	)


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(88,749	)		(22,782	)
Return of capital		(2,962	)		(84	)

Total distributions to shareholders		(91,711	)		(22,866	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		—			2,505,058

Net increase in net assets from capital share transactions		—			2,505,058

INCREASE IN NET ASSETS		86,584			2,419,647

NET ASSETS
Beginning of period		2,419,647			—

End of period	$	2,506,231		$	2,419,647


SHARES ISSUED
Shares sold		—			100,000

Net increase in shares outstanding		—			100,000

^a	Commencement of operations.

See notes to financial statements.


FINANCIAL STATEMENTS			13

Financial Highlights

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

(For a share outstanding throughout each period)


	Year ended Oct. 31, 2016			Period from Jul. 22, 2015^a to Oct. 31, 2015
Net asset value, beginning of period	$	24.20		$	25.05

Income from investment operations:
Net investment income^b		1.17			0.33
Net realized and unrealized gain (loss)^c		0.61			(0.95	)

Total from investment operations		1.78			(0.62	)

Less distributions from:
Net investment income		(0.89	)		(0.23	)
Return of capital		(0.03	)		(0.00	)^d

Total distributions		(0.92	)		(0.23	)

Net asset value, end of period	$	25.06		$	24.20


Total return		7.49	%		(2.43	)%^e


Ratios/Supplemental data:
Net assets, end of period (000s)	$	2,506		$	2,420
Ratio of expenses to average net assets^f,g		0.10	%		0.12	%
Ratio of expenses to average net assets prior to waived fees^f,g		0.75	%		0.75	%
Ratio of net investment income to average net assets^f		4.82	%		4.86	%
Portfolio turnover rate^h,i		3	%		0	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Rounds to less than $0.01.

^e	Not annualized.

^f	Annualized for periods of less than one year.

^g	The Fund indirectly bears its proportionate share of fees and expenses incurred by the underlying fund in which the Fund is invested. These ratios do not include these indirect fees and expenses.

^h	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

ⁱ	Portfolio turnover rates exclude the portfolio activity of the underlying fund in which the Fund is invested. See page 48 for the portfolio turnover rates of the underlying fund.

See notes to financial statements.


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

These financial statements relate only to the following fund (the “Fund”):

iShares ETF

Diversification

Classification

Interest Rate Hedged Emerging Markets Bond

Non-diversified

1.	*SIGNIFICANT ACCOUNTING POLICIES*

SECURITY VALUATION

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•


NOTESTO FINANCIAL STATEMENTS			15

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for the Fund’s investments is included in its schedule of investments.

SECURITY TRANSACTIONS AND INCOME RECOGNITION


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

The Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by the Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund. Any additional required collateral is delivered to the Fund and any excess collateral is returned by the Fund on the next business day. During the term of the loan, the Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

On October 11, 2016, BlackRock, Inc. (“BlackRock”) implemented changes required by amendments to Rule 2a-7 under the 1940 Act, which governs the operations of U.S. money market funds. The Fund may be exposed to additional risks when reinvesting the cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00 and which may be subject to redemption gates or liquidity fees under certain circumstances.

Cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors (“BFA”), the Fund’s investment adviser, or its affiliates. As of October 31, 2016, any securities on loan were collateralized by cash and/or U.S. government obligations. Cash collateral received was invested in money market funds managed by BFA and is disclosed in the schedule of investments. The securities on loan for the Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of October 31, 2016 and the total value of the related cash collateral are disclosed in the statement of assets and liabilities. Income earned by the Fund from securities lending is disclosed in the statement of operations.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Fund benefits from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. The Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.


NOTESTO FINANCIAL STATEMENTS			17

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee of 0.75% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA has contractually agreed to reduce its investment advisory fee for the Fund through February 28, 2022 so that the investment advisory fee is equal to the acquired fund fees and expenses that would have been experienced by the Fund related to its investments in the iShares J.P. Morgan USD Emerging Markets Bond ETF (“EMB”), after taking into account any fee waivers by EMB, plus 0.10%.

The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Fund, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. The Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees the Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

For the year ended October 31, 2016, the Fund paid to BTC securities lending agent services and collateral investment fees in the amount of $706.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Fund for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016, were $58,141 and $138,010, respectively.

There were no in-kind transactions (see Note 4) for the year ended October 31, 2016.

4.	*CAPITAL SHARE TRANSACTIONS*

5.	*INTEREST RATE SWAPS*


NOTESTO FINANCIAL STATEMENTS			19

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF


Assets
Centrally cleared interest rate swaps:
Variation margin/Net assets consist of – net unrealized appreciation^a	$	45,647


	Net Realized Gain (Loss)			Net Change in Unrealized Appreciation/Depreciation
Centrally cleared interest rate swaps:
Swap agreements	$	(150,069	)	$	85,316

For the year ended October 31, 2016, the average quarter-end notional amount of open interest rate swaps for the Fund (where the Fund pays the fixed rate) was $2,599,000.

6.	*PRINCIPAL RISKS*

MARKET RISK

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its schedule of investments.


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

CREDIT RISK

7.	*INCOME TAX INFORMATION*

Undistributed
Net Investment
Income/Distributions

in Excess of Net
Investment Income

Undistributed
Net Realized
Gain/Accumulated
Net Realized Loss

$(28,588)

28,588

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


	2016		2015
Ordinary income	$	88,749	$	22,782
Return of capital		2,962		84

	$	91,711	$	22,866

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


Capital Loss Carryforwards	Net Unrealized Gains (Losses)		Total
$(141,292)	$	145,511	$	4,219


NOTESTO FINANCIAL STATEMENTS			21

Notes to Financial Statements (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

As of October 31, 2016, the Fund had non-expiring capital loss carryforwards in the amount of $141,292 available to offset future realized capital gains.

8.	*SUBSEQUENT EVENTS*


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares Interest Rate Hedged Emerging Markets Bond ETF (the “Fund”) at October 31, 2016, the results of its operations, the changes in its net assets and its financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


REPORTOF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM			23

Tax Information (Unaudited)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

For the fiscal year ended October 31, 2016, the Fund intends to pass through to its shareholders foreign source income of $116,271 earned by the underlying fund.


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:

The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were within range of the median of the investment advisory fee rates and overall expenses (net of waivers and reimbursements) of the funds in its Peer Group, excluding iShares funds.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			25

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

comparison with its peer group and benchmark index. Such periodic comparative performance information, including additional detailed information on certain specific iShares funds requested by the Board, was also considered. The Board noted that the Fund generally performed in line with expectations relative to the Fund’s peer group and benchmark index over the relevant periods.

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

providing services. The cost information distinguished, among other things, between fixed and variable costs, and explained how the level of fixed and variable costs, as well as the nature of such costs, may impact the existence or size of scale benefits. The Board noted that the Advisory Contract for the Fund did not provide for any breakpoints in the Fund’s investment advisory fee rate as the assets of the Fund increase. However, the Board noted that should material economies of scale exist in the future that are not otherwise shared, a breakpoint structure for the Fund may be appropriate, and that it would continue to monitor the sharing of economies of scale to determine the appropriateness of adding breakpoints in the future.

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do not manage Other Accounts with a similar investment strategy or investment mandate as the Fund. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Fund, including in terms of the different and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, such as payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			27

Supplemental Information (Unaudited)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are provided 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 the Fund’s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.


Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income			Net Realized Capital Gains			Return of Capital			Total Per Share
$	0.859055	$	—	$	0.058051	$	0.917106		94	%		—	%		6	%		100	%

Premium/Discount Information


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited) (Continued)

iSHARES^® INTEREST RATE HEDGED EMERGING MARKETS BOND ETF

Period Covered: July 22, 2015 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 1.0% and Less than 1.5%		1		0.33	%
Greater than 0.5% and Less than 1.0%		10		3.30
Between 0.5% and –0.5%		291		96.04
Less than –0.5%		1		0.33

		303		100.00	%


SUPPLEMENTAL INFORMATION			29

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

The Board of Trustees has responsibility for the overall management and operations of the Fund, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. The President, Chief Compliance Officer, Treasurer and Secretary shall each hold office until their successors are chosen and qualify, and all other officers shall hold office until he or she resigns or is removed. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of closed-end funds, two complexes of open-end funds and one complex of exchange-traded funds (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). The Fund is included in the BlackRock Fund Complex referred to as the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares Trust, and, as a result, oversees a total of 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. Mr. Lawton also serves as an Advisory Board Member for iShares, Inc. and iShares Trust with respect to 333 funds (as of October 31, 2016) within the Exchange-Traded Fund Complex. With the exception of Robert S. Kapito, Mark Wiedman and Benjamin Archibald, the address of each Trustee, Advisory Board Member and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Wiedman, and Mr. Archibald is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52^nd Street, New York, NY 10055. The Board has designated Cecilia H. Herbert as its Independent Board Chair. Additional information about the Fund’s Trustees and officers may be found in the Fund’s combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

Interested Trustees

^a	Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

^b	Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


TRUSTEEAND OFFICER INFORMATION			31

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c (Continued)

^c	Robert H. Silver served as an Independent Trustee until March 31, 2016.


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

^d	Manish Mehta served as President until October 15, 2016.


TRUSTEEAND OFFICER INFORMATION			33

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Advisory Board Member


34		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Additional Financial Information

Audited Financial Statements

October 31, 2016

iShares Trust

iShares J.P. Morgan USD Emerging Markets Bond ETF | EMB | NYSE Arca

Schedule of Investments

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES^a — 16.21%

AZERBAIJAN — 0.52%
Southern Gas Corridor CJSC
6.88%, 03/24/26^b	$	22,400	$	25,200,000

				25,200,000
BRAZIL — 0.15%
Caixa Economica Federal
4.25%, 05/13/19^b		14,660		14,755,290

				14,755,290
CHILE — 1.41%
Corp. Nacional del Cobre de Chile
3.00%, 07/17/22^b		37,451		36,985,484
3.75%, 11/04/20^b		21,824		22,878,318
3.88%, 11/03/21^b		31,418		32,619,110
4.50%, 09/16/25^b		41,680		43,321,775

				135,804,687
CHINA — 3.32%
Amber Circle Funding Ltd.
3.25%, 12/04/22^b		11,430		11,885,185
Charming Light Investments Ltd.
3.75%, 09/03/19^b		17,285		17,919,330
China Development Bank Corp.
1.63%, 06/22/19^b		5,300		5,275,784
2.13%, 06/01/21^b		14,240		14,311,414
2.50%, 10/09/20^b		29,600		30,078,890
CNOOC Curtis Funding No. 1 Pty Ltd.
4.50%, 10/03/23^b		15,876		17,346,435
Sinochem Overseas Capital Co. Ltd.
4.50%, 11/12/20^b		12,786		13,763,490
Sinopec Group Overseas Development 2012 Ltd.
3.90%, 05/17/22^b		26,340		28,133,838
4.88%, 05/17/42^b		12,809		14,282,837
Sinopec Group Overseas Development 2013 Ltd.
4.38%, 10/17/23^b		17,210		18,798,681
Sinopec Group Overseas Development 2014 Ltd.
4.38%, 04/10/24^b		10,336		11,255,386


Security	Principal (000s)		Value
Sinopec Group Overseas Development 2015 Ltd.
2.50%, 04/28/20^b	$	54,823	$	55,609,628
3.25%, 04/28/25^b		18,320		18,409,911
Sinopec Group Overseas Development 2016 Ltd.
2.13%, 05/03/19^b		2,500		2,508,022
State Grid Overseas Investment 2013 Ltd.
3.13%, 05/22/23^b		14,010		14,458,950
State Grid Overseas Investment 2014 Ltd.
2.75%, 05/07/19^b		13,042		13,360,126
4.13%, 05/07/24^b		21,532		23,437,638
Three Gorges Finance I Cayman Islands Ltd.
3.15%, 06/02/26^b		8,895		8,974,384

				319,809,929
INDONESIA — 1.32%
Majapahit Holding BV
7.75%, 01/20/20^b		10,038		11,491,402
Pelabuhan Indonesia II PT
4.25%, 05/05/25^b		13,000		13,048,750
Pertamina Persero PT
4.30%, 05/20/23^b		14,769		15,309,250
4.88%, 05/03/22^b		10,896		11,616,444
5.25%, 05/23/21^b		4,527		4,885,810
5.63%, 05/20/43^b		18,703		18,731,522
6.00%, 05/03/42^b		13,530		14,238,769
6.45%, 05/30/44^b		16,122		17,761,769
Perusahaan Listrik Negara PT
5.25%, 10/24/42^b		9,860		9,805,770
5.50%, 11/22/21^b		9,380		10,363,774

				127,253,260
KAZAKHSTAN — 1.30%
Development Bank of Kazakhstan JSC
4.13%, 12/10/22^b		32,645		31,828,875
Kazakhstan Temir Zholy Finance BV
6.95%, 07/10/42^b		28,375		29,297,187


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
KazMunayGas National Co. JSC
6.38%, 04/09/21^b	$	25,236	$	27,760,736
7.00%, 05/05/20^b		32,824		36,434,640

				125,321,438
MALAYSIA — 1.99%
Petronas Capital Ltd.
3.50%, 03/18/25^b		27,400		28,906,866
4.50%, 03/18/45^b		36,956		40,171,061
5.25%, 08/12/19^b		75,322		82,325,439
7.88%, 05/22/22^b		31,599		40,576,927

				191,980,293
MEXICO — 3.16%
Banco Nacional de Comercio Exterior SNC
4.38%, 10/14/25^b		7,324		7,580,340
Comision Federal de Electricidad
4.88%, 05/26/21^b		6,086		6,435,945
4.88%, 01/15/24^b		9,400		9,834,750
Mexico City Airport Trust
4.25%, 10/31/26 (Call 07/31/26)^c		6,500		6,597,500
5.50%, 10/31/46 (Call 04/30/46)^c		6,500		6,342,700
Petroleos Mexicanos
3.50%, 07/23/20		10,630		10,628,831
3.50%, 01/30/23		15,703		14,831,484
4.25%, 01/15/25		2,226		2,142,525
4.50%, 01/23/26		12,480		12,005,760
4.63%, 09/21/23^c		2,500		2,481,950
4.88%, 01/24/22		19,355		19,740,164
4.88%, 01/18/24		11,384		11,403,694
5.50%, 01/21/21		24,806		26,232,345
5.50%, 06/27/44		29,672		25,485,281
5.63%, 01/23/46		24,939		21,472,479
6.38%, 02/04/21^b		9,500		10,369,250
6.38%, 01/23/45		26,876		25,357,506
6.50%, 06/02/41		22,967		22,323,924
6.63%, 06/15/35		17,729		17,755,593
6.75%, 09/21/47^c		2,000		1,980,000
6.75%, 09/21/47^b		8,000		7,920,000
6.88%, 08/04/26^b		20,285		22,605,604
8.00%, 05/03/19		11,777		13,179,641

				304,707,266


Security	Principal (000s)		Value
OMAN — 0.28%
Lamar Funding Ltd.
3.96%, 05/07/25^b	$	28,713	$	27,420,915

				27,420,915
PHILIPPINES — 0.46%
Power Sector Assets & Liabilities Management Corp.
7.25%, 05/27/19^b		19,348		21,806,163
7.39%, 12/02/24^b		16,876		22,612,153

				44,418,316
RUSSIA — 0.74%
Russian Railways via RZD Capital PLC
5.70%, 04/05/22^b		12,899		13,769,682
Vnesheconombank Via VEB Finance PLC
5.94%, 11/21/23^b		15,800		16,293,750
6.03%, 07/05/22^b		11,200		11,678,800
6.80%, 11/22/25^b		11,358		12,138,863
6.90%, 07/09/20^b		16,378		17,626,822

				71,507,917
SOUTH AFRICA — 0.96%
Eskom Holdings SOC Ltd.
5.75%, 01/26/21^b		29,947		30,059,301
6.75%, 08/06/23^b		20,038		20,689,235
7.13%, 02/11/25^b		22,189		22,910,142
Transnet SOC Ltd.
4.00%, 07/26/22^b		19,791		19,345,703

				93,004,381
VENEZUELA — 0.85%
Petroleos de Venezuela SA
5.38%, 04/12/27^b		25,397		9,238,232
5.50%, 04/12/37^b		15,363		5,529,144
6.00%, 05/16/24^b		40,453		15,169,791
6.00%, 11/15/26^b		38,503		14,167,179
9.00%, 11/17/21^b		22,686		11,229,570
9.75%, 05/17/35^b		26,314		11,617,733
12.75%, 02/17/22^b		26,264		15,430,100

				82,381,749

TOTAL CORPORATE BONDS & NOTES
(Cost: $1,565,827,402)				1,563,565,441


SCHEDULEOF INVESTMENTS			37

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
FOREIGN GOVERNMENT OBLIGATIONS^a — 81.58%

ANGOLA — 0.38%
Angolan Government International Bond
9.50%, 11/12/25^b	$	37,000	$	36,213,750

				36,213,750
ARGENTINA — 3.87%
Argentine Republic Government International Bond
2.50%, 12/31/38^d		61,793		42,019,240
6.25%, 04/22/19^b		34,382		36,462,111
6.63%, 07/06/28^b		12,452		12,775,752
6.88%, 04/22/21^b		52,401		56,593,080
7.13%, 07/06/36^b		22,080		22,720,320
7.50%, 04/22/26^b		77,767		84,960,448
7.63%, 04/22/46^b		34,186		37,262,740
8.28%, 12/31/33		20,366		22,097,114
8.28%, 12/31/33		52,330		58,609,679

				373,500,484
AZERBAIJAN — 0.61%
Republic of Azerbaijan International Bond
4.75%, 03/18/24^b		32,835		33,934,973
State Oil Co. of the Azerbaijan Republic
4.75%, 03/13/23^b		24,845		24,782,887

				58,717,860
BRAZIL — 3.93%
Banco Nacional de Desenvolvimento Economico e Social
5.75%, 09/26/23^b		19,523		20,377,131
6.50%, 06/10/19^b		11,985		12,879,201
Brazil Minas SPE via State of Minas Gerais
5.33%, 02/15/28^b		14,481		14,155,178
Brazilian Government International Bond
2.63%, 01/05/23		25,664		23,713,536
4.25%, 01/07/25		54,112		53,489,712
4.88%, 01/22/21		37,251		39,411,558
5.00%, 01/27/45		41,639		36,746,417


Security	Principal (000s)		Value
5.63%, 01/07/41	$	26,483	$	25,489,888
5.63%, 02/21/47		18,700		17,905,250
5.88%, 01/15/19		22,537		24,368,131
6.00%, 04/07/26		18,710		20,618,420
7.13%, 01/20/37		23,542		26,896,735
8.25%, 01/20/34		20,921		26,255,855
8.88%, 04/15/24		12,081		15,569,389
10.13%, 05/15/27		14,252		20,914,810

				378,791,211
CHILE — 0.35%
Chile Government International Bond
3.13%, 01/21/26		32,927		34,202,921

				34,202,921
CHINA — 0.67%
Export-Import Bank of China (The)
2.00%, 04/26/21^b		16,050		16,043,342
2.50%, 07/31/19^b		16,140		16,462,800
2.88%, 04/26/26^b		13,650		13,547,625
3.63%, 07/31/24^b		17,954		18,950,447

				65,004,214
COLOMBIA — 3.67%
Colombia Government International Bond
2.63%, 03/15/23 (Call 12/15/22)		15,695		15,169,218
4.00%, 02/26/24 (Call 11/26/23)		39,041		40,505,037
4.38%, 07/12/21		33,214		35,406,124
4.50%, 01/28/26 (Call 10/28/25)		26,753		28,558,828
5.00%, 06/15/45 (Call 12/15/44)		38,352		38,927,280
5.63%, 02/26/44 (Call 08/26/43)		42,905		46,873,712
6.13%, 01/18/41		42,695		48,779,037
7.38%, 03/18/19		31,794		35,768,250
7.38%, 09/18/37		32,167		41,173,760
8.13%, 05/21/24		18,118		23,372,220

				354,533,466
COSTA RICA — 0.78%
Costa Rica Government International Bond
4.25%, 01/26/23^b		27,084		26,203,770


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.00%, 04/04/44^b	$	26,759	$	27,963,155
7.16%, 03/12/45^b		20,485		21,509,250

				75,676,175
CROATIA — 2.10%
Croatia Government International Bond
5.50%, 04/04/23^b		32,046		34,930,140
6.00%, 01/26/24^b		48,814		54,964,564
6.38%, 03/24/21^b		38,531		42,769,410
6.63%, 07/14/20^b		3,300		3,654,750
6.63%, 07/14/20^b		21,114		23,383,755
6.75%, 11/05/19^b		39,143		42,959,442

				202,662,061
DOMINICAN REPUBLIC — 2.46%
Dominican Republic International Bond
5.50%, 01/27/25^b		37,479		37,947,488
5.88%, 04/18/24^b		24,164		25,070,150
6.85%, 01/27/45^b		51,107		53,151,280
6.88%, 01/29/26^b		39,597		43,655,692
7.45%, 04/30/44^b		34,046		37,961,290
7.50%, 05/06/21^b		35,853		39,617,565

				237,403,465
ECUADOR — 1.33%
Ecuador Government International Bond
7.95%, 06/20/24^b		64,032		60,190,080
10.50%, 03/24/20^b		33,386		35,222,230
10.75%, 03/28/22^b		31,098		32,886,135

				128,298,445
EGYPT — 0.63%
Egypt Government International Bond
5.75%, 04/29/20^b		24,754		25,280,023
5.88%, 06/11/25^b		38,264		35,202,880

				60,482,903
EL SALVADOR — 0.27%
El Salvador Government International Bond
7.65%, 06/15/35^b		25,538		26,495,675

				26,495,675


Security	Principal (000s)		Value
ETHIOPIA — 0.24%
Ethiopia International Bond
6.63%, 12/11/24^b	$	24,240	$	22,906,800

				22,906,800
GABON — 0.34%
Gabon Government International Bond
6.38%, 12/12/24^b		36,134		32,972,275

				32,972,275
GHANA — 0.50%
Ghana Government International Bond
7.88%, 08/07/23^b		25,243		24,170,173
8.13%, 01/18/26^b		24,712		23,661,740

				47,831,913
HUNGARY — 3.60%
Hungary Government International Bond
5.38%, 02/21/23		53,230		60,416,050
5.38%, 03/25/24		47,790		54,958,500
5.75%, 11/22/23		44,356		51,674,740
6.25%, 01/29/20		49,410		55,302,143
6.38%, 03/29/21		67,498		77,707,072
7.63%, 03/29/41		30,924		47,004,480

				347,062,985
INDIA — 0.27%
Export-Import Bank of India
3.38%, 08/05/26^b		26,700		26,447,570

				26,447,570
INDONESIA — 3.65%
Indonesia Government International Bond
3.38%, 04/15/23^b		15,020		15,161,639
3.75%, 04/25/22^b		22,336		23,129,486
4.13%, 01/15/25^b		16,111		16,886,261
4.63%, 04/15/43^b		12,632		13,013,297
4.75%, 01/08/26^b		21,470		23,402,300
4.88%, 05/05/21^b		23,207		25,233,667
5.13%, 01/15/45^b		14,429		15,710,151
5.25%, 01/17/42^b		16,612		18,227,185
5.38%, 10/17/23^b		12,434		14,045,198
5.88%, 03/13/20^b		17,149		19,088,380


SCHEDULEOF INVESTMENTS			39

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
5.88%, 01/15/24^b	$	21,416	$	24,840,847
5.95%, 01/08/46^b		14,597		17,654,780
6.63%, 02/17/37^b		13,226		16,637,514
6.75%, 01/15/44^b		21,271		28,049,111
7.75%, 01/17/38^b		19,501		27,349,956
8.50%, 10/12/35^b		16,703		24,701,564
11.63%, 03/04/19^b		17,504		21,263,859
Perusahaan Penerbit SBSN Indonesia III
4.35%, 09/10/24^b		7,471		7,872,790

				352,267,985
IRAQ — 0.58%
Iraq International Bond
5.80%, 01/15/28^b (Call 12/15/16)		69,364		55,838,020

				55,838,020
IVORY COAST — 0.88%
Ivory Coast Government International Bond
5.75%, 12/31/32 (Call 12/31/16)^b,d		61,279		60,053,440
6.38%, 03/03/28^b		24,300		25,357,050

				85,410,490
JAMAICA — 0.77%
Jamaica Government International Bond
6.75%, 04/28/28		32,699		36,868,123
8.00%, 03/15/39		32,000		37,320,000

				74,188,123
KAZAKHSTAN — 1.83%
Kazakhstan Government International Bond
3.88%, 10/14/24^b		35,816		37,069,560
4.88%, 10/14/44^b		25,969		26,163,768
5.13%, 07/21/25^b		61,170		67,822,237
6.50%, 07/21/45^b		38,092		45,519,940

				176,575,505
KENYA — 0.50%
Kenya Government International Bond
6.88%, 06/24/24^b		48,240		48,059,100

				48,059,100


Security	Principal (000s)		Value
LEBANON — 2.42%
Lebanon Government International Bond
6.00%, 01/27/23^b	$	27,215	$	26,330,513
6.10%, 10/04/22^b		39,133		38,252,507
6.38%, 03/09/20		29,983		30,132,915
6.60%, 11/27/26^b		37,765		36,679,256
6.65%, 02/26/30^b		37,250		35,946,250
6.75%, 11/29/27^b		24,971		24,534,008
8.25%, 04/12/21^b		38,507		41,202,490

				233,077,939
LITHUANIA — 1.52%
Lithuania Government International Bond
6.13%, 03/09/21^b		36,580		42,591,191
6.63%, 02/01/22^b		38,114		46,321,088
7.38%, 02/11/20^b		48,907		57,467,192

				146,379,471
MALAYSIA — 0.73%
1MDB Global Investments Ltd.
4.40%, 03/09/23^b		76,200		66,103,500
Malaysia Sukuk Global Bhd
3.18%, 04/27/26^b		4,507		4,630,943

				70,734,443
MEXICO — 3.09%
Mexico Government International Bond
3.50%, 01/21/21		11,070		11,612,430
3.60%, 01/30/25		15,141		15,405,967
3.63%, 03/15/22		19,452		20,307,888
4.00%, 10/02/23		33,038		34,656,862
4.13%, 01/21/26		25,128		26,510,040
4.35%, 01/15/47		12,940		12,241,240
4.60%, 01/23/46		17,964		17,559,810
4.75%, 03/08/44		31,004		30,848,980
5.13%, 01/15/20		14,094		15,524,541
5.55%, 01/21/45		21,702		24,306,240
5.75%, 10/12/49		20,852		21,321,170
5.95%, 03/19/19		11,650		12,844,125
6.05%, 01/11/40		23,086		27,414,625
6.75%, 09/27/34		13,005		16,776,450
8.30%, 08/15/31		7,078		11,218,630

				298,548,998


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
MONGOLIA — 0.20%
Mongolia Government International Bond
5.13%, 12/05/22^b	$	22,215	$	19,543,979

				19,543,979
MOROCCO — 0.38%
Morocco Government International Bond
4.25%, 12/11/22^b		34,303		36,532,695

				36,532,695
OMAN — 0.98%
Oman Government International Bond
3.63%, 06/15/21^b		32,900		33,105,625
4.75%, 06/15/26^b		60,965		61,346,031

				94,451,656
PAKISTAN — 0.68%
Pakistan Government International Bond
7.25%, 04/15/19^b		25,978		27,540,187
8.25%, 04/15/24^b		33,683		37,883,439

				65,423,626
PANAMA — 2.04%
Panama Government International Bond
3.75%, 03/16/25 (Call 12/16/24)		27,711		29,304,383
3.88%, 03/17/28 (Call 12/17/27)		31,800		33,708,000
4.00%, 09/22/24 (Call 06/22/24)		26,025		27,944,344
5.20%, 01/30/20		36,210		39,966,787
6.70%, 01/26/36		49,999		66,186,176

				197,109,690
PARAGUAY — 0.28%
Paraguay Government International Bond
6.10%, 08/11/44^b		24,616		27,108,370

				27,108,370


Security	Principal (000s)		Value
PERU — 3.09%
Peruvian Government International Bond
4.13%, 08/25/27	$	32,057	$	35,623,341
5.63%, 11/18/50		62,726		79,348,390
6.55%, 03/14/37		1,500		2,058,750
6.55%, 03/14/37		27,113		37,212,593
7.35%, 07/21/25		43,492		59,301,342
8.75%, 11/21/33		700		1,100,750
8.75%, 11/21/33		53,250		83,735,625

				298,380,791
PHILIPPINES — 4.10%
Philippine Government International Bond
3.70%, 03/01/41		32,211		33,660,495
3.95%, 01/20/40		29,774		31,980,849
4.00%, 01/15/21		22,903		24,751,959
4.20%, 01/21/24		22,543		25,229,449
5.00%, 01/13/37		22,466		27,478,839
5.50%, 03/30/26		19,432		23,832,765
6.38%, 01/15/32		18,230		24,848,949
6.38%, 10/23/34		32,920		45,817,394
7.75%, 01/14/31		2,000		3,015,180
7.75%, 01/14/31		30,075		45,340,769
8.38%, 06/17/19		17,243		20,234,661
9.50%, 02/02/30		32,242		53,699,370
10.63%, 03/16/25		22,196		35,387,973

				395,278,652
POLAND — 3.45%
Republic of Poland Government International Bond
3.00%, 03/17/23		36,737		37,712,000
3.25%, 04/06/26		38,986		40,411,328
4.00%, 01/22/24		47,264		51,593,855
5.00%, 03/23/22		66,230		75,187,608
5.13%, 04/21/21		40,723		45,942,467
6.38%, 07/15/19		72,837		82,026,116

				332,873,374
ROMANIA — 1.71%
Romanian Government International Bond
4.38%, 08/22/23^b		38,002		41,279,672
4.88%, 01/22/24^b		23,464		26,250,350


SCHEDULEOF INVESTMENTS			41

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
6.13%, 01/22/44^b	$	25,986	$	33,749,318
6.75%, 02/07/22^b		53,417		63,432,687

				164,712,027
RUSSIA — 4.08%
Russian Foreign Bond-Eurobond
3.50%, 01/16/19^b		17,000		17,318,750
4.50%, 04/04/22^b		17,600		18,532,800
4.75%, 05/27/26^b		4,600		4,876,000
4.88%, 09/16/23^b		39,400		42,305,750
5.00%, 04/29/20^b		36,400		38,811,500
5.63%, 04/04/42^b		33,600		37,077,600
5.88%, 09/16/43^b		19,600		22,344,000
7.50%, 03/31/30^b,d		135,260		163,664,969
12.75%, 06/24/28^b		27,939		48,788,479

				393,719,848
SERBIA — 1.24%
Serbia International Bond
4.88%, 02/25/20^b		35,928		37,140,570
5.88%, 12/03/18^b		25,055		26,495,662
7.25%, 09/28/21^b		49,194		56,450,115

				120,086,347
SLOVAKIA — 0.42%
Slovakia Government International Bond
4.38%, 05/21/22^b		35,589		40,200,267

				40,200,267
SOUTH AFRICA — 2.54%
Republic of South Africa Government International Bond
4.30%, 10/12/28		16,373		15,881,810
4.67%, 01/17/24		29,655		31,026,544
4.88%, 04/14/26		21,320		22,092,850
5.00%, 10/12/46		17,800		17,221,500
5.38%, 07/24/44		20,846		21,679,840
5.50%, 03/09/20		33,560		36,412,600
5.88%, 05/30/22		19,878		22,412,445
5.88%, 09/16/25		36,630		41,025,600
6.88%, 05/27/19		33,755		37,257,081

				245,010,270


Security	Principal (000s)		Value
SRI LANKA — 1.77%
Sri Lanka Government International Bond
5.88%, 07/25/22^b	$	26,772	$	27,353,220
6.00%, 01/14/19^b		25,884		26,728,465
6.25%, 10/04/20^b		20,783		21,693,088
6.25%, 07/27/21^b		24,348		25,392,529
6.83%, 07/18/26^b		19,600		20,674,962
6.85%, 11/03/25^b		46,690		49,267,288

				171,109,552
TRINIDAD AND TOBAGO — 0.25%
Trinidad & Tobago Government International Bond
4.50%, 08/04/26^b		1,240		1,261,700
4.50%, 08/04/26^c		22,400		22,792,000

				24,053,700
TUNISIA — 0.24%
Banque Centrale de Tunisie International Bond
5.75%, 01/30/25^b		24,335		23,452,856

				23,452,856
TURKEY — 4.64%
Hazine Mustesarligi Varlik Kiralama AS
4.49%, 11/25/24^b		1,000		986,250
Turkey Government International Bond
3.25%, 03/23/23		12,501		11,641,556
4.25%, 04/14/26		18,611		17,843,296
4.88%, 10/09/26		21,215		21,135,444
4.88%, 04/16/43		29,234		25,945,175
5.13%, 03/25/22		9,026		9,296,780
5.63%, 03/30/21		16,205		17,096,275
5.75%, 03/22/24		27,601		29,326,062
6.00%, 01/14/41		26,299		27,087,970
6.25%, 09/26/22		27,423		29,856,791
6.63%, 02/17/45		29,900		33,488,000
6.75%, 05/30/40		21,452		24,213,945
6.88%, 03/17/36		32,946		37,393,710
7.00%, 03/11/19		18,053		19,497,240
7.00%, 06/05/20		20,787		22,813,733
7.25%, 03/05/38		10,920		12,967,500


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016


Security	Principal (000s)		Value
7.38%, 02/05/25	$	36,759	$	43,008,030
7.50%, 11/07/19		14,744		16,347,410
8.00%, 02/14/34		17,960		22,607,150
11.88%, 01/15/30		15,404		25,070,010

				447,622,327
UKRAINE — 2.96%
Ukraine Government International Bond
7.75%, 09/01/19^b		38,037		38,037,000
7.75%, 09/01/20^b		39,662		39,265,380
7.75%, 09/01/21^b		26,992		26,620,860
7.75%, 09/01/22^b		31,856		31,179,060
7.75%, 09/01/23^b		33,704		32,777,140
7.75%, 09/01/24^b		28,770		27,691,125
7.75%, 09/01/25^b		34,528		33,060,560
7.75%, 09/01/26^b		30,049		28,696,795
7.75%, 09/01/27^b		29,530		28,090,412

				285,418,332
URUGUAY — 2.39%
Uruguay Government International Bond
4.38%, 10/27/27		51,519		54,610,090
4.50%, 08/14/24		38,481		42,040,263
5.10%, 06/18/50		96,884		96,399,864
7.63%, 03/21/36		27,111		37,243,736

				230,293,953
VENEZUELA — 1.38%
Venezuela Government International Bond
6.00%, 12/09/20^b		9,394		4,227,300
7.00%, 12/01/18^b		10,036		6,084,325
7.00%, 03/31/38^b		14,546		6,127,503
7.65%, 04/21/25^b		23,889		10,212,548
7.75%, 10/13/19^b		21,990		11,270,080
8.25%, 10/13/24^b		20,489		8,989,549
9.00%, 05/07/23^b		19,641		8,912,104
9.25%, 09/15/27		35,226		17,524,935
9.25%, 05/07/28^b		16,657		7,683,041
9.38%, 01/13/34		15,101		6,965,336
11.75%, 10/21/26^b		22,181		12,338,181
11.95%, 08/05/31^b		34,328		19,137,971
12.75%, 08/23/22^b		22,875		13,267,558

				132,740,431


Security	Principal (000s)		Value
VIETNAM — 0.25%
Vietnam Government International Bond
4.80%, 11/19/24^b	$	22,812	$	24,140,799

				24,140,799
ZAMBIA — 0.55%
Zambia Government International Bond
8.50%, 04/14/24^b		25,863		25,151,768
8.97%, 07/30/27^b		28,039		27,443,171

				52,594,939

TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(Cost: $7,831,991,695)				7,872,142,728

SHORT-TERM INVESTMENTS — 0.29%

MONEY MARKET FUNDS — 0.29%
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^e,f		27,984		27,984,356

				27,984,356

TOTAL SHORT-TERM INVESTMENTS
(Cost: $27,984,356)				27,984,356

TOTAL INVESTMENTS IN SECURITIES — 98.08%
(Cost: $9,425,803,453)^g				9,463,692,525
Other Assets, Less Liabilities — 1.92%				185,603,039

NET ASSETS — 100.00%			$	9,649,295,564

^a	Investments are denominated in U.S. dollars.

^b	This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933.

^c	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^d	Step coupon security. Coupon rate will either increase (step-up bond) or decrease (step-down bond) at regular intervals until maturity. Interest rate shown reflects the rate currently in effect.

^e	Affiliated money market fund.

^f	The rate quoted is the annualized seven-day yield of the fund at period end.

^g	The cost of investments for federal income tax purposes was $9,461,646,001. Net unrealized appreciation was $2,046,524, of which $140,533,275 represented gross unrealized appreciation on securities and $138,486,751 represented gross unrealized depreciation on securities.


SCHEDULEOF INVESTMENTS			43

Schedule of Investments (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016

Schedule 1 — Fair Value Measurements


	Level 1		Level 2		Level 3		Total
Investments:
Assets:
Corporate bonds & notes	$	—	$	1,563,565,441	$	—	$	1,563,565,441
Foreign government obligations		—		7,872,142,728		—		7,872,142,728
Money market funds		27,984,356		—		—		27,984,356

Total	$	27,984,356	$	9,435,708,169	$	—	$	9,463,692,525

See notes to financial statements.


44		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statement of Assets and Liabilities

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016



ASSETS
Investments, at cost:
Unaffiliated	$	9,397,819,097
Affiliated (Note 2)		27,984,356

Total cost of investments	$	9,425,803,453

Investments in securities, at fair value (Note 1):
Unaffiliated	$	9,435,708,169
Affiliated (Note 2)		27,984,356

Total fair value of investments		9,463,692,525
Cash		1,456,262
Receivables:
Investment securities sold		194,457,646
Due from custodian (Note 4)		83,425,352
Interest		127,500,173
Capital shares sold		271,599

Total Assets		9,870,803,557


LIABILITIES
Payables:
Investment securities purchased		217,940,706
Capital shares redeemed		359,343
Investment advisory fees (Note 2)		3,207,944

Total Liabilities		221,507,993


NET ASSETS	$	9,649,295,564


Net assets consist of:
Paid-in capital	$	9,743,126,455
Undistributed net investment income		23,062,495
Accumulated net realized loss		(154,782,458	)
Net unrealized appreciation		37,889,072

NET ASSETS	$	9,649,295,564


Shares outstanding^a		84,100,000


Net asset value per share	$	114.74

^a	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			45

Statement of Operations

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

Year ended October 31, 2016



NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	39,521
Interest — unaffiliated		342,328,200
Miscellaneous income		3,258

Total investment income		342,370,979


EXPENSES
Investment advisory fees (Note 2)		39,064,694

Total expenses		39,064,694
Less investment advisory fees waived (Note 2)		(12,802,052	)

Net expenses		26,262,642

Net investment income		316,108,337


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		(48,027,199	)
In-kind redemptions — unaffiliated		128,965,529
Realized gain distributions from affiliated funds		46

Net realized gain		80,938,376

Net change in unrealized appreciation/depreciation		255,360,546

Net realized and unrealized gain		336,298,922

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	652,407,259

See notes to financial statements.


46		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF


	Year ended October 31, 2016			Year ended October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	316,108,337		$	217,885,277
Net realized gain (loss)		80,938,376			(60,077,612	)
Net change in unrealized appreciation/depreciation		255,360,546			(222,657,001	)

Net increase (decrease) in net assets resulting from operations		652,407,259			(64,849,336	)


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(321,652,097	)		(220,652,648	)

Total distributions to shareholders		(321,652,097	)		(220,652,648	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		9,405,191,061			2,970,814,249
Cost of shares redeemed		(4,551,094,063	)		(3,368,836,785	)

Net increase (decrease) in net assets from capital share transactions		4,854,096,998			(398,022,536	)

INCREASE (DECREASE) IN NET ASSETS		5,184,852,160			(683,524,520	)

NET ASSETS
Beginning of year		4,464,443,404			5,147,967,924

End of year	$	9,649,295,564		$	4,464,443,404

Undistributed net investment income included in net assets at end of year	$	23,062,495		$	14,319,993


SHARES ISSUED AND REDEEMED
Shares sold		84,000,000			26,900,000
Shares redeemed		(41,100,000	)		(30,800,000	)

Net increase (decrease) in shares outstanding		42,900,000			(3,900,000	)

See notes to financial statements.


FINANCIAL STATEMENTS			47

Financial Highlights

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

(For a share outstanding throughout each period)


	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Year ended Oct. 31, 2014			Year ended Oct. 31, 2013			Year ended Oct. 31, 2012
Net asset value, beginning of year	$	108.36		$	114.15		$	110.96		$	120.81		$	109.56

Income from investment operations:
Net investment income^a		5.39			5.08			4.86			5.00			5.25
Net realized and unrealized gain (loss)^b		6.57			(5.75	)		3.17			(9.77	)		11.23

Total from investment operations		11.96			(0.67	)		8.03			(4.77	)		16.48

Less distributions from:
Net investment income		(5.58	)		(5.12	)		(4.84	)		(5.08	)		(5.23	)

Total distributions		(5.58	)		(5.12	)		(4.84	)		(5.08	)		(5.23	)

Net asset value, end of year	$	114.74		$	108.36		$	114.15		$	110.96		$	120.81


Total return		11.35	%		(0.55	)%		7.45	%		(4.01	)%		15.50	%


Ratios/Supplemental data:
Net assets, end of year (000s)	$	9,649,296		$	4,464,443		$	5,147,968		$	3,850,273		$	6,185,433
Ratio of expenses to average net assets		0.40	%		0.40	%		0.59	%		0.60	%		0.60	%
Ratio of expenses to average net assets prior to waived fees		0.59	%		0.60	%		0.60	%		n/a			n/a
Ratio of net investment income to average net assets		4.81	%		4.61	%		4.35	%		4.30	%		4.61	%
Portfolio turnover rate^c		32	%		24	%		52	%		32	%		30	%

^a	Based on average shares outstanding throughout each period.

^b	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^c	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to financial statements.


48		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

These financial statements relate only to the following fund (the “Fund”):

iShares ETF

Diversification

Classification

J.P. Morgan USD Emerging Markets Bond

Non-diversified

1.	*SIGNIFICANT ACCOUNTING POLICIES*

SECURITY VALUATION

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).


NOTESTO FINANCIAL STATEMENTS			49

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for the Fund’s investments is included in its schedule of investments.


50		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

SECURITY TRANSACTIONS AND INCOME RECOGNITION

FOREIGN CURRENCY TRANSLATION

The accounting records of the Fund are maintained in U.S. dollars. Foreign currencies, as well as investment securities and other assets and liabilities denominated in foreign currencies, are translated into U.S. dollars using exchange rates deemed appropriate by the investment adviser. Purchases and sales of securities, income receipts and expense payments are translated into U.S. dollars on the respective dates of such transactions.

The Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of securities. Such fluctuations are reflected by the Fund as a component of realized and unrealized gains and losses from investments for financial reporting purposes.

FOREIGN TAXES

The Fund may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Fund invests. These foreign taxes, if any, are paid by the Fund and are reflected in its statement of operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as “other foreign taxes”, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of October 31, 2016, if any, are disclosed in the Fund’s statement of assets and liabilities.

DISTRIBUTIONS TO SHAREHOLDERS

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*


NOTESTO FINANCIAL STATEMENTS			51

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee based on the Fund’s allocable portion of the aggregate of the average daily net assets of the Fund and certain other iShares funds, as follows:


Investment Advisory Fee			Aggregate Average Daily Net Assets
	0.6000	%	First $19 billion
	0.5700	^a	Over $19 billion, up to and including $33 billion
	0.5415	^a	Over $33 billion, up to and including $47 billion^b
	0.5145	^a	Over $47 billion^b

Investment advisory fee level reflects a 5% reduction (rounded to the fourth decimal place) from the investment advisory fee at the prior aggregate average daily net asset level.

Breakpoint level was amended effective July 1, 2016.

The total of the investment advisory fee and any other fund expenses are a fund’s total annual operating expenses. BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through February 28, 2018 in order to limit total annual operating expenses after fee waiver to 0.40% of average daily net assets.

For the year ended October 31, 2016, the purchases and sales transactions executed by the Fund, pursuant to Rule 17a-7 under the 1940 Act were $49,154,283 and $57,042,502, respectively.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Fund for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BlackRock Institutional Trust Company, N.A. and/or BFA.

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016, were $2,284,016,435 and $ 2,040,605,263, respectively.

In-kind purchases and sales (see Note 4) for the year ended October 31, 2016, were $8,957,789,636 and $4,446,849,699, respectively.

4.	*CAPITAL SHARE TRANSACTIONS*


52		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

5.	*PRINCIPAL RISKS*

MARKET RISK

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its schedule of investments.

Investing in the securities of non-U.S. issuers involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations and exchange controls; imposition of restrictions on the expatriation of funds or other assets of the Fund; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; greater social, economic and political uncertainties; the risk of nationalization or expropriation of assets; and the risk of war. These risks are heightened for investments in issuers from countries with less developed markets.


NOTESTO FINANCIAL STATEMENTS			53

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

The United States and the European Union, along with the regulatory bodies of a number of countries including Japan, Australia and Canada (collectively, “Sanctioning Bodies”), have imposed sectorial economic sanctions on certain Russian individuals and Russian corporate entities which include prohibitions on transacting in or dealing in new debt of longer than 30 or 90 days maturity or new equity of such issuers. Securities held by a fund issued prior to the date of the sanctions being imposed are not currently subject to any restrictions under the sanctions. However, compliance with each of these sanctions may impair the ability of a fund to buy, sell, hold, receive or deliver the affected securities or other securities of such issuers. The Sanctioning Bodies could also institute broader sanctions on Russia. These sanctions, or even the threat of further sanctions, may result in the decline of the value and liquidity of Russian securities, a weakening of the ruble or other adverse consequences to the Russian economy. Current or future sanctions may result in Russia taking counter measures or retaliatory actions, which may further impair the value and liquidity of Russian securities. These retaliatory measures may include the immediate freeze of Russian assets held by a fund.

CREDIT RISK

6.	*INCOME TAX INFORMATION*


54		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® J.P. MORGAN USD EMERGING MARKETS BOND ETF

October 31, 2016, attributable to interest accruals on defaulted bonds and realized gains (losses) from in-kind redemptions, were reclassified to the following accounts:

Paid-in
Capital

Undistributed
Net Investment
Income/Distributions
in Excess of Net
Investment Income

Undistributed

Net Realized

Gain/Accumulated
Net Realized Loss

$102,751,738

14,286,262

(117,038,000)

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


	2016		2015
Ordinary income	$	321,652,097	$	220,652,648

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


Undistributed Ordinary Income	Capital Loss Carryforwards		Net Unrealized Gains (Losses)^a		Total
$23,062,495	$	(118,939,910)	$	2,046,524	$	(93,830,891)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales.

As of October 31, 2016, the Fund had capital loss carryforwards available to offset future realized capital gains through the indicated expiration dates as follows:


Non- Expiring^a		Expiring 2018		Total
$	118,843,880	$	96,030	$	118,939,910

Must be utilized prior to losses subject to expiration.

7.	*SUBSEQUENT EVENTS*


NOTESTO FINANCIAL STATEMENTS			55

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares Trust:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares J.P. Morgan USD Emerging Markets Bond ETF (the “Fund”) at October 31, 2016, the results of its operations, the changes in its net assets and its financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


56		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes:


NOTES			57

Notes:


58		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-474-2737

This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

iS-AR-1019-1016

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

^Ø

iShares Commodities Select Strategy ETF | COMT | NASDAQ

Table of Contents


Management’s Discussion of Fund Performance			5
About Fund Performance			8
Shareholder Expenses			8
Consolidated Schedule of Investments			9
Consolidated Financial Statements			14
Consolidated Financial Highlights			17
Notes to Consolidated Financial Statements			18
Report of Independent Registered Public Accounting Firm			28
Tax Information			29
Board Review and Approval of Investment Advisory Contract			30
Supplemental Information			34
Trustee and Officer Information			36

Management’s Discussion of Fund Performance

iSHARES^® COMMODITIES SELECT STRATEGY ETF

GLOBAL EQUITY MARKET OVERVIEW

Global equity markets advanced modestly for the 12 months ended October 31, 2016 (the “reporting period”). The MSCI ACWI, a broad global equity index that includes both developed and emerging markets, returned 2.05% for the reporting period.

Early in the reporting period, global stock markets declined broadly amid lower energy prices and weaker global economic growth, including slowdowns in stronger developed economies such as the U.S. and U.K. In response, many of the world’s central banks took more aggressive actions to stimulate economic activity, including expanded quantitative easing measures and negative interest rates.

In the U.S., the Federal Reserve Bank (the “Fed”) ended a seven-year period of near-zero interest rates by raising its short-term interest rate target in December 2015. The Fed’s first interest rate hike since June 2006 increased the federal funds target rate from a range of 0%-0.25% to a range of 0.25%-0.50%.

After bottoming in mid-February 2016, global equity markets reversed course, rallying sharply over the ensuing six months. Central bank stimulus activity and a recovery in energy prices helped global equity markets rebound, as did signs of stabilization in China, which had experienced a marked economic slowdown that put downward pressure on its currency. Despite the overall upward trend, geopolitical factors — including the “Brexit” referendum (an affirmative vote for the U.K. to leave the European Union), terrorist attacks in France, and an attempted coup in Turkey — contributed to increased equity market volatility.

Global equity markets gave back some gains over the last two months of the reporting period amid uncertainty about Fed interest rate policy, the outcome of the U.S. presidential election, and growth prospects for the global economy.

Among developed markets, the Asia/Pacific region delivered the best returns, gaining approximately 6% overall for the reporting period. New Zealand and Australia were the leading markets in the region, benefiting from improving economic growth during the reporting period, while the laggards included Singapore and Japan. In particular, the Japanese equity market declined by approximately 10%, but a strong rally in the Japanese yen (which appreciated by 15% against the U.S. dollar) helped offset the overall market decline, resulting in a 3% gain in U.S. dollar terms.

The U.S. equity market returned approximately 4% for the reporting period. Although employment growth remained robust, other segments of the U.S. economy struggled, leading to three consecutive quarters of growth below a 1.5% annual rate. As a result, the Fed — which was expected to raise short-term interest rates further in 2016 — held rates steady through the first 10 months of the year. However, improving economic activity late in the reporting period led to expectations of another Fed rate hike before the end of the year.

European stock markets declined by approximately 7% for the reporting period. Markets in Italy and Spain, which were adversely affected by political instability and struggling banking sectors, declined the most, while Austria and Portugal performed the best. In the U.K., the equity market advanced by about 13%, but a sharp decline in the British pound in the wake of the Brexit vote in June led to negative returns in U.S. dollar terms.

Emerging markets stocks outperformed developed markets, advancing by more than 9% for the reporting period in U.S. dollar terms. Latin American equity markets generated the best returns, led by rebounding markets in Peru and Brazil, while emerging markets in Europe and the Middle East lagged.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		(1.23)%		(18.29)%		(1.23)%		(33.86)%
Fund Market		(1.20)%		(18.30)%		(1.20)%		(33.88)%
S&P GSCI Commodity Total Return Index		(13.73)%		(25.93)%		(13.73)%		(45.81)%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 10/15/14. The first day of secondary market trading was 10/16/14.

The S&P GSCI^TM Commodity Total Return Index is an unmanaged index that measures the performance of general commodity price movements and inflation in the world economy.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Annualized Expense Ratio
$	1,000.00	$	1,008.70	$	2.42	$	1,000.00	$	1,022.70	$	2.44		0.48%


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

The iShares Commodities Select Strategy ETF (the “Fund”) seeks total return by providing investors with broad commodity exposure. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was -1.23%, net of fees.

The Fund declined slightly overall in a volatile period for commodities and commodity-related investments. The Fund maintained its broad commodities exposure by investing approximately 70% in commodity-linked futures contracts and 30% in commodity-related stocks during the reporting period. While the equity component rose for the reporting period, largely due to positive results from metals and mining stocks, the futures portion of the Fund declined, resulting in a negative overall return.

Commodity prices generally fell in late 2015, reflecting a marked slowdown in global economic activity. After bottoming in early 2016, however, commodity prices staged a broad recovery over the remainder of the reporting period in response to increased economic stimulus efforts and improving global economic growth.

Futures in the energy sector, which represented more than 60% of the total futures exposure at the end of the reporting period, detracted the most from the Fund’s performance. Although energy prices stabilized during the reporting period, they declined overall as a result of continued excess supply and weak demand. Agricultural and livestock futures, which represented more than a quarter of the Fund at the end of the reporting period, benefited from changing consumption patterns, rising demand in China and other emerging markets, and increased investment demand.

In the equity component, commodity-related stocks from the United Kingdom, Australia, the United States, and Canada contributed the most to Fund performance. By industry segment, diversified metals and mining companies were the leading contributors, followed by paper and packaging companies and gold miners. On the downside, energy stocks were the largest detractors from the Fund’s performance for the reporting period.

ALLOCATION BY SECTOR

As of 10/31/16

Sector/Investment Type

% of

Net Assets


Base Metal Equities	10.51	%
Agriculture Equities	7.42
Precious Metals Equities	5.90
Timber Equities	5.05
Energy Equities	2.12
Short-term	67.03
Cash	3.96
Other Assets, Less Liabilities	(1.99	)

TOTAL	100.00	%

COMMODITY-LINKED FUTURES

As of 10/31/16

Sector Exposure¹

% of

Net Assets


Energy Futures	41.61	%
Agriculture Futures	15.64
Base Metals Futures	7.02
Livestock Futures	3.57
Precious Metals Futures	1.13

TOTAL	68.97	%

Exposures are calculated as the current notional value of the futures contracts as a percentage of net assets.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			7

About Fund Performance

Shareholder Expenses

Actual Expenses — The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period.”


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Consolidated Schedule of Investments

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016


Security	Shares		Value
COMMON STOCKS — 30.97%

AEROSPACE & DEFENSE — 0.91%
Alcoa Inc.^a		101,349	$	2,910,743

				2,910,743
AGRICULTURAL & FARM MACHINERY — 1.40%
AGCO Corp.		8,325		425,241
CNH Industrial NV		121,395		944,453
Deere & Co.		35,342		3,120,699

				4,490,393
AGRICULTURAL PRODUCTS — 1.23%
Archer-Daniels-Midland Co.		63,637		2,772,664
Bunge Ltd.		15,253		945,839
Fresh Del Monte Produce Inc.		3,589		216,596

				3,935,099
ALUMINUM — 0.14%
Aluminum Corp. of China Ltd.^a,b		37,115		349,623
Constellium NV^a		21,850		114,713

				464,336
COAL & CONSUMABLE FUELS — 0.01%
Cameco Corp.		2,371		18,257
Yanzhou Coal Mining Co. Ltd.		1,549		11,493

				29,750
COPPER — 0.67%
Freeport-McMoRan Inc.		179,722		2,009,292
Nevsun Resources Ltd.		44,524		129,565

				2,138,857
DIVERSIFIED METALS & MINING — 8.78%
BHP Billiton Ltd. ADR		299,480		10,487,790
BHP Billiton PLC		197,185		5,962,874
HudBay Minerals Inc.^b		46,393		197,170
Rio Tinto PLC ADR		238,251		8,303,047
Teck Resources Ltd. Class B^b		91,668		1,978,196
Turquoise Hill Resources Ltd.^a		193,645		600,300
Vedanta Ltd. ADR		53,856		649,503

				28,178,880
FERTILIZERS & AGRICULTURAL CHEMICALS — 4.79%
Agrium Inc.		16,060		1,474,629
CF Industries Holdings Inc.		26,982		647,838
FMC Corp.		15,488		726,232
Israel Chemicals Ltd.^a,b		60,685		214,218
Monsanto Co.		50,646		5,103,597
Mosaic Co. (The)		40,533		953,741
Potash Corp. of Saskatchewan Inc.		97,538		1,587,919


Security	Shares		Value
Sociedad Quimica y Minera de Chile SA ADR		10,729	$	313,931
Syngenta AG ADR		53,964		4,339,785

				15,361,890
FOREST PRODUCTS — 0.04%
Deltic Timber Corp.		2,381		133,765

				133,765
GOLD — 5.33%
Agnico Eagle Mines Ltd.		32,220		1,636,776
Alamos Gold Inc. Class A		38,916		305,491
AngloGold Ashanti Ltd.^a		58,769		807,486
B2Gold Corp.^a,b		135,668		392,080
Barrick Gold Corp.		166,512		2,928,946
Cia. de Minas Buenaventura SA ADR^a		26,898		357,474
Eldorado Gold Corp.^a,b		68,482		216,403
Franco-Nevada Corp.		25,498		1,669,099
Gold Fields Ltd.		108,271		449,325
Goldcorp Inc.		121,940		1,853,488
IAMGOLD Corp.^a		64,395		258,224
Kinross Gold Corp.^a		179,623		693,345
New Gold Inc.^a		73,280		290,189
Newmont Mining Corp.		75,815		2,808,187
NovaGold Resources Inc.^a,b		31,094		155,470
Pretium Resources Inc.^a		21,928		214,675
Randgold Resources Ltd. ADR		8,781		779,138
Sibanye Gold Ltd.		23,733		265,810
Tahoe Resources Inc.		44,983		542,495
Yamana Gold Inc.		137,071		487,973

				17,112,074
INTEGRATED OIL & GAS — 1.19%
BP PLC ADR		9,730		345,901
Cenovus Energy Inc.		2,954		42,656
Chevron Corp.		5,767		604,093
China Petroleum & Chemical Corp.		780		56,488
Ecopetrol SA ADR^a		762		6,622
Eni SpA		4,110		119,519
Exxon Mobil Corp.		12,675		1,056,081
Imperial Oil Ltd.		967		31,408
Occidental Petroleum Corp.		2,335		170,245
Petrobras Argentina SA ADR^a		202		1,341
PetroChina Co. Ltd.		732		49,578
Petroleo Brasileiro SA ADR^a,b		4,550		53,099
Royal Dutch Shell PLC Class A ADR		6,730		335,221


CONSOLIDATED SCHEDULEOF INVESTMENTS			9

Consolidated Schedule of Investments (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016


Security	Shares		Value
Royal Dutch Shell PLC Class B ADR		5,839	$	305,438
Sasol Ltd.		1,773		48,775
Statoil ASA		3,217		52,244
Suncor Energy Inc.		5,088		152,742
Total SA ADR		7,703		367,741
YPF SA ADR		838		14,883

				3,814,075
OIL & GAS DRILLING — 0.03%
Ensco PLC Class A		1,070		8,367
Helmerich & Payne Inc.		464		29,283
Nabors Industries Ltd.		933		11,103
Noble Corp. PLC		813		4,016
Precision Drilling Corp.		2,379		10,587
Rowan Companies PLC Class A		427		5,666
Seadrill Ltd.^a,b		3,493		7,440
Transocean Ltd.^a		1,161		11,157

				87,619
OIL & GAS EQUIPMENT & SERVICES — 0.20%
Amec Foster Wheeler PLC ADR		1,091		5,881
Baker Hughes Inc.		1,193		66,092
Core Laboratories NV		178		17,261
FMC Technologies Inc.^a		827		26,687
Frank’s International NV^b		96		1,080
Halliburton Co.		2,394		110,124
McDermott International Inc.^a		1,838		9,447
National Oilwell Varco Inc.		1,223		39,258
Oceaneering International Inc.		495		11,781
Schlumberger Ltd.		3,877		303,298
Tenaris SA ADR		672		18,950
Weatherford International PLC^a		3,535		17,039

				626,898
OIL & GAS EXPLORATION & PRODUCTION — 0.36%
Advantage Oil & Gas Ltd.^a		1,303		8,795
Anadarko Petroleum Corp.		1,504		89,398
Antero Resources Corp.^a		369		9,767
Apache Corp.		977		58,112
Baytex Energy Corp.^a		1,952		7,515
Cabot Oil & Gas Corp.		1,198		25,014
Canadian Natural Resources Ltd.		3,050		96,716
Chesapeake Energy Corp.^a		1,798		9,907
Cimarex Energy Co.		292		37,706
CNOOC Ltd.		461		57,846
Concho Resources Inc.^a		361		45,825
ConocoPhillips		3,327		144,558


Security	Shares		Value
Continental Resources Inc./OK^a,b		337	$	16,483
Crescent Point Energy Corp.		1,393		16,605
Devon Energy Corp.		1,348		51,076
Encana Corp.		2,452		23,392
Energen Corp.		356		17,846
Enerplus Corp.		1,454		9,771
EOG Resources Inc.		1,481		133,912
EQT Corp.		528		34,848
Hess Corp.		808		38,760
Kosmos Energy Ltd.^a		1,362		7,096
Marathon Oil Corp.		2,182		28,759
Murphy Oil Corp.		623		16,117
Noble Energy Inc.		1,107		38,158
Pioneer Natural Resources Co.		468		83,781
Range Resources Corp.		468		15,814
Southwestern Energy Co.^a		1,710		17,767
Vermilion Energy Inc.		454		17,833
Whiting Petroleum Corp.^a,b		1,390		11,454

				1,170,631
OIL & GAS REFINING & MARKETING — 0.13%
Cosan Ltd.		661		5,883
HollyFrontier Corp.		946		23,602
Marathon Petroleum Corp.		2,122		92,498
Phillips 66		1,785		144,853
Tesoro Corp.		475		40,361
Valero Energy Corp.		1,963		116,288

				423,485
OIL & GAS STORAGE & TRANSPORTATION — 0.18%
Cheniere Energy Inc.^a		551		20,773
DHT Holdings Inc.		226		920
Dorian LPG Ltd.^a,b		980		5,517
Enbridge Inc.		2,185		94,326
Euronav SA^a		1,028		8,070
Frontline Ltd./Bermuda^b		957		6,862
GasLog Ltd.		504		7,736
Gener8 Maritime Inc.^a		1,349		5,693
Golar LNG Ltd.		476		10,420
Kinder Morgan Inc./DE		4,776		97,574
Navigator Holdings Ltd.^a		88		669
Nordic American Tankers Ltd.^b		264		2,157
ONEOK Inc.		492		23,827
Pembina Pipeline Corp.		1,118		34,390
Scorpio Tankers Inc.		1,624		6,220
Ship Finance International Ltd.		557		7,046


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Consolidated Schedule of Investments (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016


Security	Shares		Value
Spectra Energy Corp.		1,639	$	68,526
Teekay Corp.		838		5,472
Teekay Tankers Ltd. Class A		2,476		5,274
TransCanada Corp.		2,001		90,605
Tsakos Energy Navigation Ltd.		203		913
Ultrapar Participacoes SA ADR		991		22,397
Williams Companies Inc. (The)		1,783		52,064

				577,451
PAPER PACKAGING — 2.90%
International Paper Co.		89,097		4,012,038
Packaging Corp. of America		20,418		1,684,485
Sonoco Products Co.		21,837		1,098,183
WestRock Co.		54,493		2,517,031

				9,311,737
PAPER PRODUCTS — 0.26%
Fibria Celulose SA ADR		49,210		392,696
KapStone Paper and Packaging Corp.		19,042		345,422
Resolute Forest Products Inc.^a		20,656		98,116

				836,234
PRECIOUS METALS & MINERALS — 0.06%
Dominion Diamond Corp.		23,770		202,283

				202,283
SILVER — 0.51%
First Majestic Silver Corp.^a,b		18,465		148,643
Pan American Silver Corp.		17,177		275,347
Silver Wheaton Corp.		49,685		1,197,906

				1,621,896
SPECIALIZED REITS — 1.85%
Potlatch Corp.		8,946		343,526
Rayonier Inc.		26,622		714,002
Weyerhaeuser Co.		162,428		4,861,470

				5,918,998

TOTAL COMMON STOCKS
(Cost: $97,634,391)				99,347,094

PREFERRED STOCKS — 0.02%

INTEGRATED OIL & GAS — 0.02%
Petroleo Brasileiro SA ADR^a		6,911		76,436

				76,436

TOTAL PREFERRED STOCKS
(Cost: $52,080)				76,436


Security	Principal		Value
SHORT-TERM INVESTMENTS — 67.03%

CERTIFICATES OF DEPOSIT — 3.43%
Cooperatieve Centrale Raiffeisen-Boerenleenbank BA
1.20%, 03/16/17	$	6,000,000	$	6,005,660
DG Bank/NY
0.95%, 12/06/16		5,000,000		5,001,054

TOTAL CERTIFICATES OF DEPOSIT
(Cost: $11,000,000)				11,006,714

COMMERCIAL PAPER^c — 50.28%
ABN AMRO Funding USA LLC
0.91%, 01/09/17		6,250,000		6,242,623
Alpine Securitization Ltd.
1.08%, 02/03/17		5,000,000		4,986,806
American Honda Finance Corp.
0.50%, 11/16/16		3,650,000		3,649,346
Antalis SA Antalis Sa
1.05%, 12/28/16		4,000,000		3,995,225
ANZ National International Ltd.
0.88%, 02/24/17		3,100,000		3,090,111
Atlantic Asset Securitization LLC Atlantic Asset Securitization
1.05%, 02/21/17		5,000,000		4,983,741
AutoZone Inc.
0.71%, 11/14/16		8,600,000		8,597,498
Barton Capital Corp.
0.95%, 11/04/16		5,000,000		4,999,751
BPCE SA
0.94%, 01/09/17		7,000,000		6,991,602
CAFCO LLC
0.91%, 12/07/16		7,000,000		6,995,417
Caisse des Depots et Consignations
0.93%, 02/16/17		5,000,000		4,986,170
Coca-Cola Co. (The)
1.02%, 09/25/17		2,000,000		1,980,095
Collateralized Commercial Paper Co., LLC
1.00%, 01/10/17		3,000,000		2,995,042
Crown Point Cap Co.
1.12%, 01/04/17		2,000,000		1,997,147
Gotham Funding Corp.
1.03%, 12/16/16		6,000,000		5,994,748
1.07%, 02/03/17		2,000,000		1,994,722


CONSOLIDATED SCHEDULEOF INVESTMENTS			11

Consolidated Schedule of Investments (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016


Security	Principal		Value
Macquarie Bank Ltd.
1.03%, 12/13/16	$	5,200,000	$	5,194,851
0.97%, 01/06/17		3,500,000		3,493,675
Manhattan Asset Funding Co., LLC
0.94%, 11/16/16		5,000,000		4,998,829
Matchpoint Finance PLC
1.02%, 12/14/16		5,000,000		4,995,969
Medtronic Global Holdings SCA
0.70%, 11/02/16		2,700,000		2,699,901
0.74%, 11/08/16		6,000,000		5,999,104
Mizuho Bank Ltd./NY
0.89%, 01/17/17		2,600,000		2,595,674
Mont Blanc Capital Corp.
0.92%, 11/10/16		5,000,000		4,999,312
National Australia Bank Ltd.
1.16%, 07/28/17		1,700,000		1,685,392
NBCUniversal Enterprise Inc.
0.80%, 12/08/16		8,000,000		7,992,898
Omnicom Group Inc.
0.80%, 11/08/16		2,000,000		1,999,675
0.79%, 11/28/16		6,300,000		6,295,997
Oversea-Chinese Banking Corp. Ltd. Oversea-Chinese Banking Corp. Ltd
0.90%, 12/12/16		7,000,000		6,996,031
Starbird Funding Corp.
1.33%, 03/06/17		6,000,000		5,977,614
United Technologies Corp.
0.77%, 11/17/16		2,300,000		2,299,178
Versailles CDS LLC
0.95%, 11/15/16		5,000,000		4,998,917
1.00%, 01/17/17		3,000,000		2,994,189
Victory Receivables Corp.
1.01%, 12/14/16		6,000,000		5,995,050
0.65%, 11/07/16		2,600,000		2,599,757
Xcel Energy Inc.
0.78%, 11/03/16		2,000,000		1,999,880

TOTAL COMMERCIAL PAPER
(Cost: $161,261,546)				161,291,937


Security	Shares or Principal		Value
MONEY MARKET FUNDS — 5.78%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.72%^d,e,f		862,973	$	863,059
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^d,e,g		17,693,533		17,693,533

				18,556,592
U.S. GOVERNMENT OBLIGATIONS — 7.54%
U.S. Treasury Bill^c
0.27%, 11/10/16	$	800,000		799,975
0.34%, 12/08/16		23,400,000		23,395,928

TOTAL U.S. GOVERNMENT OBLIGATIONS
(Cost: $24,191,889)				24,195,903

TOTAL SHORT-TERM INVESTMENTS
(Cost: $215,009,942)				215,051,146

TOTAL INVESTMENTS IN SECURITIES — 98.02%
(Cost: $312,696,413)^h				314,474,676
Other Assets, Less Liabilities — 1.98%				6,345,138

NET ASSETS — 100.00%			$	320,819,814

ADR — American Depositary Receipts

^a	Non-income earning security.

^b	All or a portion of this security represents a security on loan. See Note 1.

^c	Rates shown are discount rates paid at the time of purchase.

^d	Affiliated money market fund.

^e	The rate quoted is the annualized seven-day yield of the fund at period end.

^f	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

^g	Includes portion held by the Subsidiary in the amount of $17,545,046.

^h	The cost of investments for federal income tax purposes was $315,756,881. Net unrealized depreciation was $1,282,205, of which $7,598,808 represented gross unrealized appreciation on securities and $8,881,013 represented gross unrealized depreciation on securities.


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Consolidated Schedule of Investments (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016

Schedule 1 — Futures Contracts (Note 5)

Futures contracts outstanding as of October 31, 2016 were as follows:ⁱ


Issue	Number of long (short) contracts		Expiration date		Exchange		Initial notional value		Current notional value		Unrealized appreciation (depreciation)
Aluminum		172		Jan. 2017		London Metal	$	6,906,042	$	7,461,575	$	555,533
Brent Crude Oil		798		Aug. 2017		ICE Futures U.S.		44,183,077		41,456,100		(2,726,977	)
Cattle Feeder		33		Jan. 2017		Chicago Mercantile Exchange		1,898,691		1,914,000		15,309
Cocoa		49		Mar. 2017		ICE Futures U.S.		1,432,560		1,295,070		(137,490	)
Coffee		55		May. 2017		ICE Futures U.S.		3,233,140		3,500,063		266,923
Copper		72		May. 2017		London Metal		8,662,472		8,759,250		96,778
Corn		694		Mar. 2017		Chicago Board of Trade		11,952,758		12,587,425		634,667
Cotton		110		Dec. 2016		NYCE - New York Cotton Exchange		3,737,390		3,787,300		49,910
Gasoline RBOB		188		Dec. 2016		New York Mercantile		10,579,460		11,208,372		628,912
Gold		24		Jun. 2017		COMEX		3,037,998		3,080,160		42,162
KC HRW Wheat		98		May. 2017		Chicago Board of Trade		2,166,316		2,179,275		12,959
Lead		36		Jun. 2017		London Metal		1,852,343		1,871,100		18,757
Lean Hogs		148		Dec. 2016		Chicago Mercantile		3,107,767		2,838,640		(269,127	)
Live Cattle		175		Jun. 2017		Chicago Mercantile		6,584,208		6,695,500		111,292
Low Sulphur Gasoil		261		Dec. 2016		ICE Futures U.S.		12,269,411		11,516,625		(752,786	)
Natural Gas		280		Apr. 2017		New York Mercantile		8,561,139		8,604,400		43,261
Nickel		24		Jun. 2017		London Metal		1,511,556		1,518,480		6,924
NY Harbor ULSD		168		Apr. 2017		New York Mercantile		10,895,296		10,903,637		8,341
Silver		6		Mar. 2017		COMEX		527,518		537,420		9,902
Soybean		194		Jan. 2017		Chicago Board of Trade		9,319,114		9,813,975		494,861
Sugar		346		Jul. 2017		ICE Futures U.S.		8,413,286		7,967,411		(445,875	)
Wheat		403		May. 2017		Chicago Board of Trade		8,832,074		9,032,237		200,163
WTI Crude Oil		993		Jul. 2017		New York Mercantile		53,164,518		49,808,880		(3,355,638	)
Zinc		47		Jun. 2017		London Metal		2,689,058		2,901,369		212,311

Net unrealized depreciation											$	(4,278,928	)

ⁱ	Represents positions held in the Subsidiary.

Schedule 2 — Fair Value Measurements


	Level 1			Level 2		Level 3		Total
Investments:
Assets:
Common stocks	$	99,347,094		$	—	$	—	$	99,347,094
Preferred stocks		76,436			—		—		76,436
Certificates of deposit		—			11,006,714		—		11,006,714
Commercial paper		—			161,291,937		—		161,291,937
U.S. government obligations		—			24,195,903		—		24,195,903
Money market funds		18,556,592			—		—		18,556,592

Total	$	117,980,122		$	196,494,554	$	—	$	314,474,676

Derivative financial instruments^a:
Assets:
Futures contracts	$	3,408,965		$	—	$	—	$	3,408,965
Liabilities:
Futures contracts		(7,687,893	)		—		—		(7,687,893	)

Total	$	(4,278,928	)	$	—	$	—	$	(4,278,928	)

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to consolidated financial statements.


CONSOLIDATED SCHEDULEOF INVESTMENTS			13

Consolidated Statement of Assets and Liabilities

iSHARES^® COMMODITIES SELECT STRATEGY ETF

October 31, 2016



ASSETS
Investments, at cost:
Unaffiliated	$	294,139,906
Affiliated (Note 2)		18,556,507

Total cost of investments	$	312,696,413

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Unaffiliated	$	295,918,084
Affiliated (Note 2)		18,556,592

Total fair value of investments		314,474,676
Foreign currency, at value^b		90
Cash pledged to broker^c		12,964,603
Receivables:
Dividends and interest		93,096
Futures variation margin^c		891,438
Tax reclaims		18,768

Total Assets		328,442,671


LIABILITIES
Payables:
Investment securities purchased		1,685,392
Collateral for securities on loan (Note 1)		862,972
Futures variation margin^c		4,696,826
Due to custodian		244,389
Deferred foreign capital gains taxes (Note 1)		25
Investment advisory fees (Note 2)		133,253

Total Liabilities		7,622,857


NET ASSETS	$	320,819,814


Net assets consist of:
Paid-in capital	$	343,238,657
Distributions in excess of net investment income		(852,987	)
Accumulated net realized loss		(19,066,299	)
Net unrealized depreciation		(2,499,557	)

NET ASSETS	$	320,819,814


Shares outstanding^d		9,900,000


Net asset value per share	$	32.41

^a	Securities on loan with a value of $813,925. See Note 1.

^b	Cost of foreign currency: $90.

^c	Represents assets or liabilities held in the Subsidiary.

^d	No par value, unlimited number of shares authorized.

See notes to consolidated financial statements.


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Consolidated Statement of Operations

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Year ended October 31, 2016



NET INVESTMENT INCOME
Dividends — unaffiliated^a	$	1,996,963
Dividends — affiliated (Note 2)		45,372
Interest — unaffiliated		480,661
Miscellaneous income		57,792
Securities lending income — affiliated — net (Note 2)		66,689

Total investment income		2,647,477


EXPENSES
Investment advisory fees (Note 2)		1,286,752

Total expenses		1,286,752
Less investment advisory fees waived (Note 2)		(4,684	)

Net expenses		1,282,068

Net investment income		1,365,409	��


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		(16,622,844	)
Investments — affiliated (Note 2)		3
In-kind redemptions — unaffiliated		971,195
Futures contracts		(7,159,652	)
Foreign currency transactions		(495	)
Realized gain distributions from affiliated funds		138

Net realized loss		(22,811,655	)

Net change in unrealized appreciation/depreciation on:
Investments^b		25,687,788
Futures contracts		1,373,103
Translation of assets and liabilities in foreign currencies		(3	)

Net change in unrealized appreciation/depreciation		27,060,888

Net realized and unrealized gain		4,249,233

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	5,614,642

^a	Net of foreign withholding tax of $77,867.

^b	Net of deferred foreign capital gains taxes of $25.

See notes to consolidated financial statements.


CONSOLIDATED FINANCIAL STATEMENTS			15

Consolidated Statements of Changes in Net Assets

iSHARES^® COMMODITIES SELECT STRATEGY ETF


	Year ended October 31, 2016			Year ended October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	1,365,409		$	1,440,157
Net realized loss		(22,811,655	)		(40,320,094	)
Net change in unrealized appreciation/depreciation		27,060,888			(29,819,254	)

Net increase (decrease) in net assets resulting from operations		5,614,642			(68,699,191	)


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(1,347,562	)		(3,140,724	)
Return of capital		—			(31,122	)

Total distributions to shareholders		(1,347,562	)		(3,171,846	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		110,450,896			323,459,573
Cost of shares redeemed		(47,754,983	)		(18,004,803	)

Net increase in net assets from capital share transactions		62,695,913			305,454,770

INCREASE IN NET ASSETS		66,962,993			233,583,733

NET ASSETS
Beginning of year		253,856,821			20,273,088

End of year	$	320,819,814		$	253,856,821

Distributions in excess of net investment income included in net assets at end of year	$	(852,987	)	$	(1,548,514	)


SHARES ISSUED AND REDEEMED
Shares sold		3,800,000			7,800,000
Shares redeemed		(1,600,000	)		(500,000	)

Net increase in shares outstanding		2,200,000			7,300,000

See notes to consolidated financial statements.


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Consolidated Financial Highlights

iSHARES^® COMMODITIES SELECT STRATEGY ETF

(For a share outstanding throughout each period)


	Year ended Oct. 31, 2016			Year ended Oct. 31, 2015			Period from Oct. 15, 2014^a to Oct. 31, 2014
Net asset value, beginning of period	$	32.97		$	50.68		$	50.04

Income from investment operations:
Net investment income (loss)^b		0.16			0.26			(0.01	)
Net realized and unrealized gain (loss)^c		(0.57	)		(17.35	)		0.65

Total from investment operations		(0.41	)		(17.09	)		0.64

Less distributions from:
Net investment income		(0.15	)		(0.61	)		—
Return of capital		—			(0.01	)		—

Total distributions		(0.15	)		(0.62	)		—

Net asset value, end of period	$	32.41		$	32.97		$	50.68


Total return		(1.23	)%		(33.88	)%		1.28	%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	320,820		$	253,857		$	20,273
Ratio of expenses to average net assets^e		0.48	%		0.48	%		0.48	%
Ratio of expenses to average net assets prior to waived fees^e		0.48	%		0.48	%		n/a
Ratio of net investment income (loss) to average net assets^e		0.51	%		0.68	%		(0.23	)%
Portfolio turnover rate^f		43	%		76	%		0	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

See notes to consolidated financial statements.


CONSOLIDATED FINANCIAL HIGHLIGHTS			17

Notes to Consolidated Financial Statements

iSHARES^® COMMODITIES SELECT STRATEGY ETF

These consolidated financial statements relate only to the following fund (the “Fund”):

iShares ETF

Diversification

Classification

Commodities Select Strategy

Non-diversified

The Fund carries out its investment strategies associated with investment in commodity-linked futures contracts and other derivatives (“commodity-linked investments”) by investing up to 25% of its total assets in iShares Commodities Strategy Cayman Ltd., a wholly-owned subsidiary organized in the Cayman Islands (the “Subsidiary”). The investment adviser of the Fund also serves as the investment adviser to the Subsidiary. Investments in the Subsidiary enable the Fund to hold the commodity-linked investments and satisfy regulated investment company tax requirements. The accompanying consolidated schedule of investments and consolidated financial statements for the Fund include the positions and accounts, respectively, of its Subsidiary. Intercompany accounts and transactions, if any, have been eliminated.

The following table shows a summary of selected financial information of the Subsidiary included in the consolidated financial statements of the Fund, as of and for the year ended October 31, 2016:


Consolidated Statement of Assets and Liabilities
Total Assets	$	31,405,902
Total Liabilities		4,696,826

Net Assets	$	26,709,076


Consolidated Statement of Operations
Net investment income	$	102,648
Net realized gain (loss) from:
Futures contracts		(7,159,652	)
Net change in unrealized appreciation/depreciation on:
Futures contracts		1,373,102

Net increase (decrease) in net assets resulting from operations	$	(5,683,902	)

1.	*SIGNIFICANT ACCOUNTING POLICIES*


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies.

SECURITY VALUATION

•

Equity investments traded on a recognized securities exchange are valued at that day’s last reported trade price or the official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price.

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•

Futures contracts are valued at that day’s last reported settlement price on the exchange where the contract is traded.


NOTESTO CONSOLIDATED FINANCIAL STATEMENTS			19

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

hierarchy consisting of three broad levels for financial reporting as follows:

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for the Fund’s investments is included in its consolidated schedule of investments.

SECURITY TRANSACTIONS AND INCOME RECOGNITION

Security transactions are accounted for on trade date. Dividend income and capital gain distributions, if any, are recognized on the ex-dividend date, net of any foreign taxes withheld at source. Any taxes withheld that are reclaimable from foreign tax authorities as of October 31, 2016 are reflected in tax reclaims receivable. Non-cash dividends received in the form of stock in an elective dividend, if any, are recorded as dividend income at fair value. Distributions received by the Fund may include a return of capital that is estimated by management. Such amounts are recorded as a reduction of the cost of investments or reclassified to capital gains. Interest income, including amortization and accretion of premiums and discounts on debt securities, is recognized daily on the accrual basis. Realized gains and losses on investment transactions are determined using the specific identification method.

FOREIGN CURRENCY TRANSLATION


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

FOREIGN TAXES

The Fund may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Fund invests. These foreign taxes, if any, are paid by the Fund and are reflected in its consolidated statement of operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as “other foreign taxes”, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of October 31, 2016, if any, are disclosed in the Fund’s consolidated statement of assets and liabilities.

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

The Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by the Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund. Any additional required collateral is delivered to the Fund and any excess collateral is returned by the Fund on the next business day. During the term of the loan, the Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

On October 11, 2016, BlackRock, Inc. (“BlackRock”) implemented changes required by amendments to Rule 2a-7 under the 1940 Act, which governs the operations of U.S. money market funds. The Fund may be exposed to additional risks when reinvesting the cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00 and which may be subject to redemption gates or liquidity fees under certain circumstances.

Cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors (“BFA”), the Fund’s investment adviser, or its affiliates. As of October 31, 2016, any securities on loan were collateralized by cash and/or U.S. government obligations. Cash collateral received was invested in money market funds managed by BFA and is disclosed in the consolidated schedule of investments. The securities on loan for the Fund are also disclosed in its consolidated schedule of investments. The total value of any securities on loan as of October 31, 2016 and the total value of the related cash collateral are disclosed in the consolidated statement of assets and liabilities. Income earned by the Fund from securities lending is disclosed in the consolidated statement of operations.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Fund benefits from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. The Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.


NOTESTO CONSOLIDATED FINANCIAL STATEMENTS			21

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of October 31, 2016:


Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount^b
Citigroup Global Markets Inc.	$	50,323	$	50,323	$	—
Credit Suisse Securities (USA) LLC		101,762		100,533		(1,229	)
Deutsche Bank Securities Inc.		254,870		254,870		—
Jefferies LLC		380,226		380,226		—
JPMorgan Securities LLC		18,484		18,484		—
Merrill Lynch, Pierce, Fenner & Smith		8,260		8,260		—

	$	813,925	$	812,696	$	(1,229	)

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by the Fund is disclosed in the Fund’s consolidated statement of assets and liabilities.

Additional collateral is delivered to the Fund on the next business day in accordance with the MSLA. The net amount would be subject to the borrower default indemnity in the event of default by a counterparty.

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

The Subsidiary has entered into a separate contract with BFA under which BFA provides investment advisory services to the Subsidiary but does not receive separate compensation from the Subsidiary for providing it with such services. The Subsidiary has also entered into separate arrangements that provide for the provision of other services to the Subsidiary (including administrative, custody, transfer agency and other services), and BFA pays the costs and expenses related to the provision of those services.

BFA has entered into a sub-advisory agreement with BlackRock International Limited (the “Sub-Adviser”), an affiliate of BFA, under which BFA pays the Sub-Adviser for services it provides to the Fund and the Subsidiary.

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee of 0.48% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA has contractually agreed to waive a portion of its investment advisory fees for the Fund through February 28, 2019 in an amount equal to the acquired fund fees and expenses attributable to the Fund’s investments in other registered investment companies advised by BFA or its affiliates, if any.


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Fund, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. The Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees the Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

For the year ended October 31, 2016, the Fund paid to BTC securities lending agent services and collateral investment fees in the amount of $18,576.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Fund for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016, were $35,868,302 and $42,729,759, respectively.

In-kind purchases and sales (see Note 4) for the year ended October 31, 2016, were $33,782,920 and $14,401,362, respectively.

4.	*CAPITAL SHARE TRANSACTIONS*


NOTESTO CONSOLIDATED FINANCIAL STATEMENTS			23

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

5.	*FUTURES CONTRACTS*

The Fund may purchase or sell futures contracts as part of its investment strategy. A futures contract is a standardized, exchange-traded agreement to buy or sell a financial instrument at a set price on a future date. Upon entering into a futures contract, the Fund is required to pledge to the executing broker which holds segregated from its own assets, an amount of cash, U.S. government securities or other high-quality debt and equity securities equal to the minimum initial margin requirements of the exchange on which the contract is traded. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as margin variation and are recorded by the Fund as unrealized appreciation or depreciation. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Losses may arise if the value of a futures contract decreases due to an unfavorable change in the market rates or values of the underlying instrument during the term of the contract or if the counterparty does not perform under the contract. The use of futures contracts also involves the risk of an imperfect correlation in the movements in the price of futures contracts and the assets underlying such contracts.

The following table shows the value of futures contracts held as of October 31, 2016 and the related locations in the consolidated statement of assets and liabilities, presented by risk exposure category:


Assets
Commodity contracts:
Variation margin/Net assets consist of – net unrealized depreciation^a	$	3,408,965

Represents cumulative appreciation of futures contracts as reported in the consolidated schedule of investments. Only current day’s variation margin is reported separately within the consolidated statement of assets and liabilities.


Liabilities
Commodity contracts:
Variation margin/Net assets consist of – net unrealized depreciation^b	$	7,687,893

Represents cumulative depreciation of futures contracts as reported in the consolidated schedule of investments. Only current day’s variation margin is reported separately within the consolidated statement of assets and liabilities.

The following table shows the realized and unrealized gains (losses) on futures contracts held during the year ended October 31, 2016 and the related locations in the consolidated statement of operations, presented by risk exposure category:


	Net Realized Gain (Loss)			Net Change in Unrealized Appreciation/Depreciation
Commodity contracts:
Futures contracts	$	(7,159,652	)	$	1,373,103


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

The following table shows the average quarter-end balances of open futures contracts for the year ended October 31, 2016:


Average value of contracts purchased	$	185,937,450

6.	*PRINCIPAL RISKS*

MARKET RISK

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its consolidated schedule of investments.

The Fund concentrates its investments in securities and derivatives linked to commodities or commodities markets. Commodity prices may be influenced or characterized by unpredictable factors, including, where applicable, high volatility, changes in supply and demand relationships, weather, agriculture, trade, pestilence, political instability, changes in interest rates and monetary and other governmental policies. Securities of companies held by the Fund that are dependent on a single commodity, or are concentrated in a single commodity sector, may typically exhibit volatility attributable to commodity prices.

CREDIT RISK


NOTESTO CONSOLIDATED FINANCIAL STATEMENTS			25

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

the financial stability of those counterparties. Financial assets, which potentially expose a fund to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of a fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its statement of assets and liabilities.

7.	*INCOME TAX INFORMATION*

Net income and realized gains from investments held by the Subsidiary are treated as ordinary income for tax purposes and any net income or net gains will pass through to the Fund as such. Accordingly, the net investment income (loss) and realized gains (losses) reported in the Fund’s financial statements for such investments held by the Subsidiary may differ significantly from distributions. In addition, if a net loss is realized by the Subsidiary in any taxable year, the loss will not be available to offset the Fund’s ordinary income and/or capital gains for that year.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. The following permanent differences as of October 31, 2016, attributable to the characterization of corporate actions, passive foreign investment companies, foreign currency transactions, the character of income (losses) from a wholly-owned foreign subsidiary and realized gains (losses) from in-kind redemptions, were reclassified to the following accounts:


Paid-in Capital	Undistributed Net Investment Income/Distributions in Excess of Net Investment Income		Undistributed Net Realized Gain/Accumulated Net Realized Loss
$(7,601,716)	$	677,680	$	6,924,036

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 were as follows:


	2016		2015
Ordinary income	$	1,347,562	$	3,140,724
Return of capital		—		31,122

	$	1,347,562	$	3,171,846

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


Undistributed Ordinary Income		Capital Loss Carryforwards		Net Unrealized Gains (Losses)^a		Total
$	6,157	$	(16,864,975)	$	(5,560,025)	$	(22,418,843)

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the characterization of corporate actions and the realization for tax purposes of unrealized gains on investments in passive foreign investment companies.


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Consolidated Financial Statements (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

As of October 31, 2016, the Fund had non-expiring capital loss carryforwards in the amount of $16,864,975 available to offset future realized capital gains.

The Fund may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Fund may elect to mark-to-market annually the shares of each passive foreign investment company and would be required to distribute to shareholders any such marked-to-market gains.

8.	*SUBSEQUENT EVENTS*

Management has evaluated the impact of all subsequent events on the Fund through the date the consolidated financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or disclosure in the consolidated financial statements.


NOTESTO CONSOLIDATED FINANCIAL STATEMENTS			27

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying consolidated statement of assets and liabilities, including the consolidated schedule of investments, and the related consolidated statements of operations and of changes in net assets and the consolidated financial highlights present fairly, in all material respects, the financial position of iShares Commodities Select Strategy ETF and its subsidiary (collectively, the “Fund”) at October 31, 2016, the results of their operations, the changes in their net assets and their financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These consolidated financial statements and consolidated financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Tax Information (Unaudited)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

The Fund hereby designates the maximum amount of $1,347,562 as qualified dividend income for individuals for the fiscal year ended October 31, 2016.

For corporate shareholders, the percentage of income dividends paid by the by the Fund during the fiscal year ended October 31, 2016 that qualified for the dividends-received deduction was 51.27%.

The Fund hereby designates $205,007 as the amount of distributions from direct federal obligation interest for the fiscal year ended October 31, 2016. The law varies in each state as to whether and what percentage of ordinary income dividends attributable to federal obligations is exempt from state income tax. Shareholders are advised to check with their tax advisers to determine if any portion of the dividends received is exempt from state income tax.


TAX INFORMATION			29

Board Review and Approval of Investment Advisory

Contract

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Under Section 15(c) of the Investment Company Act of 1940 (the “1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”), and the Sub-Advisory Agreement between BFA and BlackRock International Limited (“BIL”) (the “Sub-Advisory Agreement”), on behalf of the Fund. The Advisory Contract and the Sub-Advisory Agreement are referred to hereafter as the “Advisory Agreements”. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Agreements. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Agreements, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Agreements for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Agreements for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:

The Board also noted that the investment advisory fee rate and overall expenses (net of waivers and reimbursements) for the Fund were lower than the median of the investment advisory fee rates and overall expenses (net of waivers and reimbursements) of the funds in its Peer Group, excluding iShares funds. The Board also noted that BFA pays BIL for its sub-advisory services, and that there are no additional fees imposed on the Fund in respect of the services provided under the Sub-Advisory Agreement.


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Agreements for the coming year.

Nature, Extent and Quality of Services Provided by BFA and BIL or their Affiliates — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA (and any services provided by BIL on BFA’s behalf or at BFA’s direction) under the Advisory Agreements for the coming year as compared to the scope of services provided by BFA and BIL during prior years. In reviewing the scope of these services, the Board considered the investment philosophy and experience of BFA and BIL, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered the compliance program of BFA and BIL and their compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s and BIL’s portfolio compliance policies and procedures, and BFA’s oversight of the services provided by BIL. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA and BIL to the Fund under the Advisory Agreements supported the Board’s approval of the continuance of the Advisory Agreements for the coming year.

Costs of Services Provided to the Fund and Profits Realized by BFA and its Affiliates — The Board reviewed information about the profitability to BlackRock of the Fund, based on the fees payable to BFA and its affiliates (including fees under the Advisory Contract), and all other sources of revenue and expense to BFA and its affiliates from the Fund’s operations for the last calendar year. The Board reviewed BlackRock’s profitability methodology for the iShares funds, noting that the 15(c) Committee had focused on the methodology and profitability presentation during its meetings. The Board discussed the sources of direct and ancillary revenue with management, including the revenues to BTC from securities lending by the Fund. The Board also discussed BFA’s profit margin as reflected in the Fund’s profitability analysis and reviewed information regarding potential economies of scale (as discussed below). Based on this review, the Board concluded that the profits realized by BFA and its affiliates under the Advisory Agreements and from other relationships between the Fund and BFA and/or its affiliates, if any, were within a reasonable range in light of the factors considered.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			31

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do not manage Other Accounts with a similar investment strategy or investment mandate as the Fund. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Fund, including in terms of the different and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, such as payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA and BIL generally do not use soft dollars or consider the value of research or other services that may be provided to BFA and BIL (including their affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

disadvantageous to the Fund’s shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Agreements for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			33

Supplemental Information (Unaudited)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are provided 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 the Fund’s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.


Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income			Net Realized Capital Gains			Return of Capital			Total Per Share
$	0.145454	$	—	$	—	$	0.145454		100	%		—	%		—	%		100	%

Premium/Discount Information


34		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited) (Continued)

iSHARES^® COMMODITIES SELECT STRATEGY ETF

Period Covered: October 15, 2014 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 1.5%		1		0.20	%
Greater than 1.0% and Less than 1.5%		1		0.20
Greater than 0.5% and Less than 1.0%		5		1.01
Between 0.5% and –0.5%		461		93.14
Less than –0.5% and Greater than –1.0%		26		5.25
Less than –1.0% and Greater than –1.5%		1		0.20

		495		100.00	%


SUPPLEMENTAL INFORMATION			35

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

Interested Trustees

^a	Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

^b	Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


TRUSTEEAND OFFICER INFORMATION			37

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c (Continued)

^c	Robert H. Silver served as an Independent Trustee until March 31, 2016.


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

^d	Manish Mehta served as President until October 15, 2016.


TRUSTEEAND OFFICER INFORMATION			39

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Advisory Board Member


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes:


NOTES			41

Notes:


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)

This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

iS-AR-1011-1016

OCTOBER 31, 2016


2016 ANNUAL REPORT

iShares U.S. ETF Trust

^Ø

iShares Edge U.S. Fixed Income Balanced Risk ETF | FIBR | BATS

Table of Contents


Management’s Discussion of Fund Performance			5
About Fund Performance			8
Shareholder Expenses			8
Schedule of Investments			9
Financial Statements			23
Financial Highlights			26
Notes to Financial Statements			27
Report of Independent Registered Public Accounting Firm			36
Tax Information			37
Board Review and Approval of Investment Advisory Contract			38
Supplemental Information			42
Trustee and Officer Information			44

Management’s Discussion of Fund Performance

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

U.S. BOND MARKET OVERVIEW


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			5

Management’s Discussion of Fund Performance

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Performance as of October 31, 2016


	Average Annual Total Returns				Cumulative Total Returns
	1 Year		Since Inception		1 Year		Since Inception
Fund NAV		5.32%		3.41%		5.32%		5.81%
Fund Market		5.36%		3.51%		5.36%		5.99%
Bloomberg Barclays U.S. Aggregate Bond Index		4.37%		2.56%		4.37%		4.35%

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

LOGO

The inception date of the Fund was 2/24/15. The first day of secondary market trading was 2/26/15.

The Bloomberg Barclays U.S. Aggregate Bond Index (formerly the Barclays U.S. Aggregate Bond Index) is a widely recognized unmanaged market-weighted index, comprised of investment-grade corporate bonds rated BBB or better, mortgages and U.S. Treasury and U.S. Government agency issues with at least one year to maturity.


Shareholder Expenses
Actual						Hypothetical 5% Return
Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Beginning Account Value (5/1/16)		Ending Account Value (10/31/16)		Expenses Paid During Period^a		Annualized Expense Ratio
$	1,000.00	$	1,025.60	$	1.22	$	1,000.00	$	1,023.90	$	1.22		0.24%


6		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Management’s Discussion of Fund Performance (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

The iShares Edge U.S. Fixed Income Balanced Risk ETF (the “Fund”) (formerly the iShares U.S. Fixed Income Balanced Risk ETF) seeks total return and preservation of capital by investing, under normal circumstances, at least 80% of its net assets in U.S. dollar denominated investment-grade and high-yield fixed-income securities that in the aggregate has approximately equal exposure to credit spread risk and interest rate risk. The Fund is an actively managed exchange-traded fund that does not seek to replicate the performance of a specified index. For the 12-month reporting period ended October 31, 2016, the total return for the Fund was 5.32%, net of fees.

The Fund posted a positive return for the reporting period and outpaced the broad U.S. fixed-income market due to a larger allocation to investment-grade and high-yield corporate securities relative to the Bloomberg Barclays U.S. Aggregate Bond Index. The interest rate hedge component detracted from performance as interest rates declined overall during the reporting period. Similarly, the Fund had a shorter duration (less price sensitivity to interest rate changes) relative to the broader U.S. bond market, which detracted from performance compared with the Bloomberg Barclays U.S. Aggregate Bond Index.

Within the corporate bond allocation, the Fund benefited significantly from an overweight position in financial and industrial securities relative to the Bloomberg Barclays U.S. Aggregate Bond Index. These bonds performed well due to sustained investor demand for higher-yielding securities in an environment of record low interest rates available on U.S. Treasury securities.

An overweight position in government agency mortgage-backed securities (“MBS”) detracted slightly from Fund performance as this segment of the bond market underperformed the Bloomberg Barclays U.S. Aggregate Bond Index. In addition, the Fund’s lower interest rate sensitivity detracted from relative performance.

During the reporting period, risk decreased for MBS and increased for both high-yield and intermediate-term investment-grade corporate securities. Because the managers allocate equal risk among each credit sector, the Fund’s allocation to high-yield and intermediate-term investment-grade corporate bonds declined, while the allocation to MBS increased for the reporting period.

ALLOCATION BY SECTOR As of 10/31/16


Sector/Investment Type	Percentage of Total Investments¹
Mortgage-Backed Securities		36.49	%
Financial		23.26
Consumer Non-Cyclical		11.87
Communications		7.94
Consumer Cyclical		4.87
Energy		4.83
Industrial		3.34
Utilities		2.98
Technology		2.92
Basic Materials		1.38
Diversified		0.12

TOTAL		100.00	%

ALLOCATION BY CREDIT QUALITY As of 10/31/16


Moody’s Credit Rating²	Percentage of Total Investments¹
Aaa		36.98	%
Aa		4.23
A		17.21
Baa		26.14
Ba		9.41
B		4.38
Caa		1.26
Not Rated		0.39

TOTAL		100.00	%

¹	Excludes money market funds.


MANAGEMENT’S DISCUSSIONOF FUND PERFORMANCE			7

About Fund Performance

Shareholder Expenses

Actual Expenses — The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period.”


8		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
CORPORATE BONDS & NOTES — 81.18%

ADVERTISING — 0.15%
Omnicom Group Inc.
3.63%, 05/01/22	$	100	$	106,574

				106,574
AEROSPACE & DEFENSE — 1.32%
L-3 Communications Corp.
4.95%, 02/15/21 (Call 11/15/20)		200		218,330
5.20%, 10/15/19		100		108,860
Lockheed Martin Corp.
2.50%, 11/23/20 (Call 10/23/20)		40		41,002
Northrop Grumman Corp.
1.75%, 06/01/18		200		201,226
StandardAero Aviation Holdings Inc.
10.00%, 07/15/23 (Call 07/15/18)^a		35		37,100
TransDigm Inc.
7.50%, 07/15/21 (Call 12/01/16)		100		105,750
United Technologies Corp.
4.50%, 04/15/20		200		218,954

				931,222
AGRICULTURE — 1.56%
Altria Group Inc.
2.63%, 01/14/20 (Call 12/14/19)		150		154,331
2.85%, 08/09/22		150		154,215
9.25%, 08/06/19		150		180,691
Philip Morris International Inc.
2.13%, 05/10/23 (Call 03/10/23)		70		69,046
2.75%, 02/25/26 (Call 11/25/25)		70		70,597
Reynolds American Inc.
2.30%, 06/12/18		140		141,791
4.00%, 06/12/22		100		107,706
8.13%, 06/23/19		100		116,263
Vector Group Ltd.
7.75%, 02/15/21 (Call 12/01/16)		100		104,750

				1,099,390
APPAREL — 0.15%
Levi Strauss & Co.
6.88%, 05/01/22 (Call 05/01/17)		100		105,000

				105,000
AUTO MANUFACTURERS — 1.61%
Ford Motor Credit Co. LLC
2.46%, 03/27/20		200		200,568


Security	Principal (000s)		Value
General Motors Co.
4.00%, 04/01/25^b	$	100	$	100,750
General Motors Financial Co. Inc.
2.40%, 05/09/19		65		65,081
3.20%, 07/06/21 (Call 06/06/21)^b		55		55,550
3.45%, 04/10/22 (Call 02/10/22)		100		101,125
3.50%, 07/10/19		150		154,313
4.00%, 01/15/25 (Call 10/15/24)^b		100		100,375
4.20%, 03/01/21 (Call 02/01/21)		100		105,125
5.25%, 03/01/26 (Call 12/01/25)		60		65,325
Toyota Motor Credit Corp.
2.15%, 03/12/20		180		182,801

				1,131,013
AUTO PARTS & EQUIPMENT — 0.22%
ZF North America Capital Inc.
4.75%, 04/29/25^a		150		158,250

				158,250
BANKS — 17.96%
American Express Credit Corp.
1.80%, 07/31/18 (Call 06/30/18)		85		85,384
Bank of America Corp.
1.70%, 08/25/17		100		100,229
5.65%, 05/01/18		250		264,325
5.88%, 01/05/21		250		284,533
7.63%, 06/01/19		400		456,128
Bank of Montreal
1.50%, 07/18/19		140		139,405
1.90%, 08/27/21		100		99,147
Bank of New York Mellon Corp. (The)
2.30%, 09/11/19 (Call 08/11/19)^b		250		254,972
2.60%, 08/17/20 (Call 07/17/20)		120		123,190
Bank of Nova Scotia (The)
1.45%, 04/25/18^b		250		249,998
2.45%, 03/22/21		100		101,674
BB&T Corp.
2.05%, 06/19/18 (Call 05/15/18)		200		201,922
BNP Paribas SA
2.40%, 12/12/18		100		101,321
Capital One N.A./Mclean VA
1.50%, 09/05/17 (Call 08/05/17)		250		250,138
CIT Group Inc.
3.88%, 02/19/19		100		101,531


SCHEDULEOF INVESTMENTS			9

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
Citigroup Inc.
1.70%, 04/27/18	$	100	$	100,034
2.05%, 12/07/18		100		100,552
2.05%, 06/07/19^b		100		100,504
2.50%, 09/26/18		250		253,452
4.50%, 01/14/22		100		109,653
Credit Suisse AG/New York NY
2.30%, 05/28/19		250		252,585
Credit Suisse Group Funding Guernsey Ltd.
3.45%, 04/16/21^a		250		254,590
Discover Bank/Greenwood DE
2.00%, 02/21/18		250		250,733
Fifth Third Bancorp.
5.45%, 01/15/17		200		201,812
Fifth Third Bank/Cincinnati OH
2.15%, 08/20/18 (Call 07/20/18)		200		201,928
Goldman Sachs Group Inc. (The)
2.35%, 11/15/21 (Call 11/15/20)		45		44,747
2.55%, 10/23/19		250		254,727
2.63%, 01/31/19		250		254,522
2.75%, 09/15/20 (Call 08/15/20)		130		132,816
3.50%, 01/23/25 (Call 10/23/24)^b		300		307,524
5.25%, 07/27/21		200		224,632
5.95%, 01/18/18		250		262,952
HSBC Holdings PLC
3.40%, 03/08/21^b		400		413,116
3.90%, 05/25/26		200		206,896
HSBC USA Inc.
1.50%, 11/13/17		200		199,972
1.70%, 03/05/18		180		180,063
JPMorgan Chase & Co.
1.63%, 05/15/18		350		350,536
2.55%, 03/01/21 (Call 02/01/21)		100		101,516
3.13%, 01/23/25 (Call 10/23/24)		350		353,332
3.88%, 09/10/24		100		104,160
4.63%, 05/10/21		100		109,985
6.30%, 04/23/19		350		387,824
JPMorgan Chase Bank N.A.
6.00%, 10/01/17		250		260,320
Lloyds Bank PLC
1.75%, 05/14/18		200		199,998


Security	Principal (000s)		Value
Mitsubishi UFJ Financial Group Inc.
2.19%, 09/13/21	$	200	$	198,532
Morgan Stanley
2.20%, 12/07/18		50		50,464
2.38%, 07/23/19		300		304,122
3.13%, 07/27/26^b		285		284,621
3.75%, 02/25/23		200		211,154
4.88%, 11/01/22		150		164,582
Series F
5.55%, 04/27/17^b		300		306,511
Royal Bank of Scotland Group PLC
6.13%, 12/15/22		100		105,584
State Street Corp.
4.96%, 03/15/18		100		104,087
Sumitomo Mitsui Financial Group Inc.
2.44%, 10/19/21		100		100,392
Svenska Handelsbanken AB
1.50%, 09/06/19		250		248,483
1.88%, 09/07/21		250		247,643
U.S. Bancorp.
3.00%, 03/15/22 (Call 02/15/22)		100		104,863
Wells Fargo & Co.
2.15%, 01/15/19		250		252,655
2.50%, 03/04/21^b		100		101,189
3.00%, 01/22/21		100		103,063
4.48%, 01/16/24		100		107,947
Wells Fargo Bank N.A.
1.75%, 05/24/19		500		501,645
Westpac Banking Corp.
1.60%, 08/19/19		100		99,779
1.65%, 05/13/19^b		60		59,973

				12,646,667
BEVERAGES — 0.69%
Anheuser-Busch InBev Finance Inc.
2.63%, 01/17/23		125		126,175
2.65%, 02/01/21 (Call 01/01/21)		65		66,456
3.30%, 02/01/23 (Call 12/01/22)		100		104,459
3.65%, 02/01/26 (Call 11/01/25)		50		52,585
Constellation Brands Inc.
4.75%, 12/01/25^b		35		38,281
Molson Coors Brewing Co.
3.00%, 07/15/26 (Call 04/15/26)		100		99,056

				487,012


10		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
BIOTECHNOLOGY — 0.74%
Amgen Inc.
2.20%, 05/22/19 (Call 04/22/19)	$	100	$	101,526
Biogen Inc.
2.90%, 09/15/20		30		30,937
Celgene Corp.
2.88%, 08/15/20		200		206,392
Gilead Sciences Inc.
2.35%, 02/01/20		100		101,934
2.55%, 09/01/20		75		76,867

				517,656
BUILDING MATERIALS — 0.73%
Masco Corp.
3.50%, 04/01/21 (Call 03/01/21)		40		40,960
Owens Corning
3.40%, 08/15/26 (Call 05/15/26)		100		98,808
Standard Industries Inc./NJ
5.38%, 11/15/24 (Call 11/15/19)^a		100		103,375
Summit Materials LLC/Summit Materials Finance Corp.
6.13%, 07/15/23 (Call 07/15/18)		15		15,375
Vulcan Materials Co.
4.50%, 04/01/25 (Call 01/01/25)		125		135,181
7.50%, 06/15/21		100		120,864

				514,563
CHEMICALS — 0.62%
Monsanto Co.
2.75%, 07/15/21		200		203,740
PolyOne Corp.
5.25%, 03/15/23		100		102,350
RPM International Inc.
6.13%, 10/15/19		100		111,500
Tronox Finance LLC
7.50%, 03/15/22 (Call 03/15/18)^a		25		22,375

				439,965
COMMERCIAL SERVICES — 1.17%
ADT Corp. (The)
5.25%, 03/15/20		100		107,750
Live Nation Entertainment Inc.
4.88%, 11/01/24 (Call 11/01/19)^a		40		39,900
7.00%, 09/01/20 (Call 12/01/16)^a		100		103,820


Security	Principal (000s)		Value
RR Donnelley & Sons Co.
6.00%, 04/01/24	$	100	$	95,500
S&P Global Inc.
2.95%, 01/22/27 (Call 10/22/26)^a		25		24,670
Service Corp. International/U.S.
5.38%, 05/15/24 (Call 05/15/19)		35		36,750
Synchrony Financial
1.88%, 08/15/17 (Call 07/15/17)		200		200,487
Total System Services Inc.
3.80%, 04/01/21 (Call 03/01/21)		25		26,377	��
United Rentals North America Inc.
5.50%, 05/15/27 (Call 05/15/22)		30		29,850
Verisk Analytics Inc.
4.00%, 06/15/25 (Call 03/15/25)^b		150		155,789

				820,893
COMPUTERS — 1.60%
Apple Inc.
2.25%, 02/23/21 (Call 01/23/21)		95		96,770
2.85%, 02/23/23 (Call 12/23/22)		75		77,847
Diamond 1 Finance Corp./Diamond 2 Finance Corp.
3.48%, 06/01/19^a		50		51,353
6.02%, 06/15/26 (Call 03/15/26)^a,b		25		27,196
7.13%, 06/15/24 (Call 06/15/19)^a,b		50		54,773
Everi Payments Inc.
10.00%, 01/15/22 (Call 01/15/18)		65		61,994
Hewlett Packard Enterprise Co.
2.85%, 10/05/18^a,b		150		153,562
3.85%, 10/15/20 (Call 09/15/20)^a		100		105,121
4.90%, 10/15/25 (Call 07/15/25)^a,b		100		105,899
International Business Machines Corp.
7.63%, 10/15/18		250		279,523
Western Digital Corp.
10.50%, 04/01/24 (Call 04/01/19)^a		95		109,725

				1,123,763
DISTRIBUTION & WHOLESALE — 0.15%
HD Supply Inc.
5.25%, 12/15/21 (Call 12/15/17)^a		100		106,250

				106,250


SCHEDULEOF INVESTMENTS			11

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
DIVERSIFIED FINANCIAL SERVICES — 4.72%
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust
5.00%, 10/01/21^b	$	150	$	159,188
Ally Financial Inc.
5.13%, 09/30/24		150		158,250
American Express Credit Corp.
2.25%, 08/15/19		200		203,276
Capital One Bank USA N.A.
2.25%, 02/13/19 (Call 01/13/19)		250		252,920
Ford Motor Credit Co. LLC
1.72%, 12/06/17		250		250,042
5.00%, 05/15/18		450		470,961
GE Capital International Funding Co. Unlimited Co.
2.34%, 11/15/20		200		203,856
Intercontinental Exchange Inc.
3.75%, 12/01/25 (Call 09/01/25)		35		37,308
4.00%, 10/15/23^b		150		162,586
Nasdaq Inc.
3.85%, 06/30/26 (Call 03/30/26)		40		41,343
4.25%, 06/01/24 (Call 03/01/24)		100		106,040
5.25%, 01/16/18		200		208,448
National Rural Utilities Cooperative Finance Corp.
10.38%, 11/01/18		200		234,534
Nationstar Mortgage LLC/Nationstar Capital Corp.
6.50%, 06/01/22 (Call 12/01/17)		50		48,625
Navient Corp.
5.00%, 10/26/20^b		100		98,750
NFP Corp.
9.00%, 07/15/21 (Call 12/01/16)^a		100		102,000
Quicken Loans Inc.
5.75%, 05/01/25 (Call 05/01/20)^a		40		39,500
Synchrony Financial
2.70%, 02/03/20 (Call 01/03/20)		150		152,040
TD Ameritrade Holding Corp.
2.95%, 04/01/22 (Call 02/01/22)		100		103,368
Visa Inc.
2.80%, 12/14/22 (Call 10/14/22)		75		78,018
3.15%, 12/14/25 (Call 09/14/25)		205		213,604

				3,324,657


Security	Principal (000s)		Value
ELECTRIC — 3.75%
AES Corp./VA
7.38%, 07/01/21 (Call 06/01/21)	$	200	$	225,500
Baltimore Gas & Electric Co.
2.80%, 08/15/22 (Call 05/15/22)		100		103,144
Berkshire Hathaway Energy Co.
3.75%, 11/15/23 (Call 08/15/23)		50		54,016
Black Hills Corp.
2.50%, 01/11/19		45		45,562
3.95%, 01/15/26 (Call 07/15/25)^b		50		53,003
Consolidated Edison Inc.
2.00%, 05/15/21 (Call 04/15/21)		100		100,272
Dominion Resources Inc./VA
5.20%, 08/15/19		100		109,019
Series A
1.40%, 09/15/17		100		100,041
Series B
1.60%, 08/15/19		55		54,892
Duke Energy Corp.
2.10%, 06/15/18 (Call 05/15/18)		200		201,796
3.55%, 09/15/21 (Call 06/15/21)		100		106,714
Dynegy Inc.
7.38%, 11/01/22 (Call 11/01/18)		100		96,437
Exelon Corp.
1.55%, 06/09/17		30		30,026
Exelon Generation Co. LLC
2.95%, 01/15/20 (Call 12/15/19)		100		102,631
MidAmerican Energy Co.
2.40%, 03/15/19 (Call 02/15/19)		100		102,161
NextEra Energy Capital Holdings Inc.
1.65%, 09/01/18		90		90,211
Ohio Power Co.
Series M
5.38%, 10/01/21		100		114,118
Pacific Gas & Electric Co.
2.45%, 08/15/22 (Call 05/15/22)^b		100		101,462
PPL Electric Utilities Corp.
2.50%, 09/01/22 (Call 06/01/22)		100		101,425
PSEG Power LLC
3.00%, 06/15/21 (Call 05/15/21)^b		150		153,142
Public Service Electric & Gas Co.
2.00%, 08/15/19 (Call 07/15/19)		150		152,389


12		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
Southern Co. (The)
2.45%, 09/01/18	$	150	$	152,651
Southern Power Co.
1.85%, 12/01/17		100		100,484
4.15%, 12/01/25 (Call 09/01/25)^b		50		53,563
Talen Energy Supply LLC
4.63%, 07/15/19 (Call 12/01/16)^a		100		95,000
6.50%, 06/01/25 (Call 06/01/20)^b		45		37,575

				2,637,234
ELECTRICAL COMPONENTS & EQUIPMENT — 0.21%
Energizer Holdings Inc.
5.50%, 06/15/25 (Call 06/15/20)^a,b		50		50,625
General Cable Corp.
5.75%, 10/01/22 (Call 10/01/17)^b		100		94,500

				145,125
ELECTRONICS — 0.33%
Amphenol Corp.
2.55%, 01/30/19 (Call 12/30/18)		100		101,968
Flex Ltd.
4.75%, 06/15/25 (Call 03/15/25)		90		97,185
Fortive Corp.
1.80%, 06/15/19^a		35		35,013

				234,166
ENTERTAINMENT — 0.52%
GLP Capital LP/GLP Financing II Inc.
4.88%, 11/01/20 (Call 08/01/20)		100		106,625
International Game Technology PLC
6.50%, 02/15/25 (Call 08/15/24)^a,b		200		216,460
Scientific Games International Inc.
10.00%, 12/01/22 (Call 12/01/18)		50		46,250

				369,335
ENVIRONMENTAL CONTROL — 0.23%
Waste Management Inc.
6.10%, 03/15/18		150		159,562

				159,562
FOOD — 3.31%
B&G Foods Inc.
4.63%, 06/01/21 (Call 12/01/16)^b		100		102,750
ConAgra Foods Inc.
3.20%, 01/25/23 (Call 10/25/22)		79		80,935


Security	Principal (000s)		Value
JBS USA LUX SA/JBS USA Finance Inc.
5.88%, 07/15/24 (Call 07/15/19)^a	$	100	$	100,500
JM Smucker Co. (The)
1.75%, 03/15/18		125		125,508
Kellogg Co.
3.25%, 04/01/26		50		51,087
Kraft Heinz Foods Co.
2.00%, 07/02/18		250		251,828
2.25%, 06/05/17		100		100,528
2.80%, 07/02/20 (Call 06/02/20)		250		257,127
3.00%, 06/01/26 (Call 03/01/26)		150		148,503
3.95%, 07/15/25 (Call 04/15/25)		100		106,722
Kroger Co. (The)
2.30%, 01/15/19 (Call 12/15/18)		150		152,211
Mondelez International Inc.
2.25%, 02/01/19 (Call 01/01/19)		150		152,131
Pilgrim’s Pride Corp.
5.75%, 03/15/25 (Call 03/15/20)^a		100		102,250
Post Holdings Inc.
7.75%, 03/15/24 (Call 09/15/18)^a		25		27,630
8.00%, 07/15/25 (Call 07/15/20)^a		25		28,500
Sysco Corp.
2.50%, 07/15/21 (Call 06/15/21)		150		152,157
2.60%, 10/01/20 (Call 09/01/20)		190		194,632
3.30%, 07/15/26 (Call 04/15/26)		55		56,101
3.75%, 10/01/25 (Call 07/01/25)		55		57,919
Tyson Foods Inc.
3.95%, 08/15/24 (Call 05/15/24)^b		75		79,219

				2,328,238
FOOD SERVICE — 0.05%
Aramark Services Inc.
5.13%, 01/15/24 (Call 01/15/19)^a		35		36,663

				36,663
FOREST PRODUCTS & PAPER — 0.14%
Clearwater Paper Corp.
5.38%, 02/01/25^a,b		100		101,000

				101,000
GAS — 0.07%
AmeriGas Partners LP/AmeriGas Finance Corp.
5.63%, 05/20/24 (Call 03/20/24)		45		47,138

				47,138


SCHEDULEOF INVESTMENTS			13

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
HEALTH CARE – PRODUCTS — 2.82%
Abbott Laboratories
2.00%, 03/15/20	$	175	$	175,910
2.55%, 03/15/22		90		91,688
Baxter International Inc.
2.60%, 08/15/26 (Call 05/15/26)		50		48,401
Becton Dickinson and Co.
1.80%, 12/15/17		150		150,678
Boston Scientific Corp.
2.85%, 05/15/20		25		25,634
3.38%, 05/15/22		150		156,106
DJO Finco Inc./DJO Finance LLC/DJO Finance Corp.
8.13%, 06/15/21 (Call 06/15/18)^a		50		45,875
Greatbatch Ltd.
9.13%, 11/01/23 (Call 11/01/18)^a		45		43,200
Hill-Rom Holdings Inc.
5.75%, 09/01/23 (Call 09/01/18)^a		85		89,250
Kinetic Concepts Inc./KCI USA Inc.
9.63%, 10/01/21 (Call 10/01/18)^a		100		96,625
Ortho-Clinical Diagnostics Inc./Ortho-Clinical Diagnostics SA
6.63%, 05/15/22 (Call 05/15/17)^a		50		42,875
St. Jude Medical Inc.
2.00%, 09/15/18		35		35,305
Stryker Corp.
1.30%, 04/01/18		150		149,991
2.00%, 03/08/19		175		176,687
Thermo Fisher Scientific Inc.
3.00%, 04/15/23 (Call 02/15/23)		165		167,749
Universal Hospital Services Inc.
7.63%, 08/15/20 (Call 12/01/16)^b		50		48,000
Zimmer Biomet Holdings Inc.
1.45%, 04/01/17		55		55,027
2.00%, 04/01/18		150		150,720
2.70%, 04/01/20 (Call 03/01/20)		230		233,526

				1,983,247
HEALTH CARE – SERVICES — 1.79%
Aetna Inc.
1.90%, 06/07/19		55		55,384
2.40%, 06/15/21 (Call 05/15/21)		225		227,430
Anthem Inc.
2.30%, 07/15/18		100		101,062


Security	Principal (000s)		Value
Centene Corp.
4.75%, 01/15/25 (Call 01/15/20)	$	25	$	24,891
5.63%, 02/15/21 (Call 02/15/18)		30		31,470
Fresenius Medical Care U.S. Finance II Inc.
5.63%, 07/31/19^a		100		108,250
HCA Inc.
3.75%, 03/15/19		100		102,250
5.38%, 02/01/25		100		102,070
Humana Inc.
2.63%, 10/01/19		50		50,964
Laboratory Corp. of America Holdings
2.63%, 02/01/20		100		101,517
Quest Diagnostics Inc.
2.50%, 03/30/20 (Call 02/29/20)		145		147,426
UnitedHealth Group Inc.
2.13%, 03/15/21		75		75,635
2.88%, 03/15/22 (Call 12/15/21)		100		103,845
3.10%, 03/15/26		25		25,718

				1,257,912
HOLDING COMPANIES – DIVERSIFIED — 0.15%
PetSmart Inc.
7.13%, 03/15/23 (Call 03/15/18)^a		100		104,625

				104,625
HOME BUILDERS — 0.39%
Brookfield Residential Properties Inc.
6.38%, 05/15/25 (Call 05/15/20)^a		100		99,750
Lennar Corp.
4.50%, 06/15/19 (Call 04/16/19)		100		104,750
Shea Homes LP/Shea Homes Funding Corp.
5.88%, 04/01/23 (Call 04/01/18)^a,b		45		44,212
6.13%, 04/01/25 (Call 04/01/20)^a		25		24,625

				273,337
HOUSEHOLD PRODUCTS & WARES — 0.37%
ACCO Brands Corp.
6.75%, 04/30/20 (Call 04/30/17)^b		100		105,250
Reynolds Group Issuer Inc./Reynolds Group Issuer LLC
6.88%, 02/15/21 (Call 12/01/16)		150		155,250

				260,500


14		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
HOUSEWARES — 0.29%
Newell Brands Inc.
2.15%, 10/15/18	$	150	$	151,752
RSI Home Products Inc.
6.50%, 03/15/23 (Call 03/15/18)^a		50		53,000

				204,752
INSURANCE — 3.69%
Aflac Inc.
2.40%, 03/16/20		300		306,828
2.88%, 10/15/26 (Call 07/15/26)		100		99,631
Allstate Corp. (The) VRN, (3 mo. LIBOR US + 2.938%)
5.75%, 08/15/53 (Call 08/15/23)		25		26,825
American Financial Group Inc./OH
3.50%, 08/15/26 (Call 05/15/26)		100		99,388
American International Group Inc.
3.30%, 03/01/21 (Call 02/01/21)		30		31,370
5.85%, 01/16/18		250		262,785
Aon PLC
2.80%, 03/15/21 (Call 02/15/21)		100		101,871
Berkshire Hathaway Finance Corp.
4.25%, 01/15/21		150		164,734
Berkshire Hathaway Inc.
2.20%, 03/15/21 (Call 02/15/21)		25		25,544
Chubb INA Holdings Inc.
3.35%, 05/15/24		75		79,217
CNO Financial Group Inc.
4.50%, 05/30/20		25		25,656
First American Financial Corp.
4.60%, 11/15/24		50		50,993
Markel Corp.
3.63%, 03/30/23^b		50		51,217
Marsh & McLennan Companies Inc.
2.35%, 09/10/19 (Call 08/10/19)		150		151,897
2.35%, 03/06/20 (Call 02/06/20)		200		202,320
3.75%, 03/14/26 (Call 12/14/25)		100		106,743
MetLife Inc.
4.75%, 02/08/21		150		166,769
Old Republic International Corp.
3.88%, 08/26/26 (Call 07/26/26)		95		93,517
Progressive Corp. (The)
2.45%, 01/15/27		80		78,058


Security	Principal (000s)		Value
Radian Group Inc.
5.25%, 06/15/20	$	100	$	105,125
Trinity Acquisition PLC
4.40%, 03/15/26 (Call 12/15/25)		100		103,759
Unum Group
3.00%, 05/15/21 (Call 04/15/21)		40		40,768
Willis Towers Watson PLC
5.75%, 03/15/21		100		111,674
XLIT Ltd.
5.75%, 10/01/21		100		113,909

				2,600,598
INTERNET — 1.88%
Alibaba Group Holding Ltd.
1.63%, 11/28/17		200		199,951
3.60%, 11/28/24 (Call 08/28/24)		200		206,151
Baidu Inc.
2.75%, 06/09/19		250		254,813
eBay Inc.
1.35%, 07/15/17		100		100,056
2.20%, 08/01/19 (Call 07/01/19)		100		100,964
2.50%, 03/09/18		100		101,208
Expedia Inc.
4.50%, 08/15/24 (Call 05/15/24)		100		103,919
Priceline Group Inc. (The)
3.60%, 06/01/26 (Call 03/01/26)		70		72,625
VeriSign Inc.
4.63%, 05/01/23 (Call 05/01/18)		100		103,000
Zayo Group LLC/Zayo Capital Inc.
6.38%, 05/15/25 (Call 05/15/20)^b		80		84,226

				1,326,913
IRON & STEEL — 0.27%
ArcelorMittal
10.85%, 06/01/19		75		89,812
U.S. Steel Corp.
7.38%, 04/01/20^b		48		47,760
8.38%, 07/01/21 (Call 07/01/18)^a		50		53,125

				190,697
LODGING — 0.05%
MGM Resorts International
4.63%, 09/01/26 (Call 06/01/26)		35		33,688

				33,688


SCHEDULEOF INVESTMENTS			15

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
MACHINERY — 0.34%
Case New Holland Industrial Inc.
7.88%, 12/01/17^b	$	50	$	52,938
Caterpillar Financial Services Corp.
2.00%, 03/05/20		150		151,252
Roper Technologies Inc.
3.85%, 12/15/25 (Call 09/15/25)		35		36,570

				240,760
MANUFACTURING — 0.93%
General Electric Co.
4.38%, 09/16/20		200		219,752
Ingersoll-Rand Global Holding Co. Ltd.
6.88%, 08/15/18		300		327,864
Tyco Electronics Group SA
6.55%, 10/01/17		100		104,768

				652,384
MEDIA — 3.08%
Altice U.S. Finance I Corp.
5.50%, 05/15/26 (Call 05/15/21)^a		200		204,000
Charter Communications Operating LLC/Charter Communications Operating Capital
3.58%, 07/23/20 (Call 06/23/20)^a		345		357,727
4.91%, 07/23/25 (Call 04/23/25)^a		200		215,772
Clear Channel Worldwide Holdings Inc.
6.50%, 11/15/22 (Call 11/15/17)		50		50,925
Comcast Corp.
1.63%, 01/15/22 (Call 12/15/21)		25		24,537
CSC Holdings LLC
5.25%, 06/01/24		300		280,500
DISH DBS Corp.
5.00%, 03/15/23		100		98,500
7.75%, 07/01/26		100		109,813
Nielsen Finance LLC/Nielsen Finance Co.
5.00%, 04/15/22 (Call 04/15/17)^a		50		51,000
SFR Group SA
6.00%, 05/15/22 (Call 05/15/17)^a		200		205,064
Starz LLC/Starz Finance Corp.
5.00%, 09/15/19 (Call 12/01/16)		100		101,250
Time Warner Cable LLC
4.00%, 09/01/21 (Call 06/01/21)		50		52,341
6.75%, 07/01/18		100		108,065


Security	Principal (000s)		Value
Time Warner Inc.
2.10%, 06/01/19	$	150	$	151,074
Univision Communications Inc.
5.13%, 02/15/25 (Call 02/15/20)^a		50		50,125
WideOpenWest Finance LLC/WideOpenWest Capital Corp.
10.25%, 07/15/19 (Call 12/01/16)		100		105,000

				2,165,693
MINING — 0.73%
Aleris International Inc.
7.88%, 11/01/20 (Call 12/01/16)^b		42		42,000
Arconic Inc.
5.13%, 10/01/24 (Call 07/01/24)^b		100		104,252
Freeport-McMoRan Inc.
3.88%, 03/15/23 (Call 12/15/22)		150		135,375
Southern Copper Corp.
3.88%, 04/23/25		100		100,886
Teck Resources Ltd.
4.75%, 01/15/22 (Call 10/15/21)		100		99,438
8.00%, 06/01/21 (Call 06/01/18)^a		30		32,775

				514,726
OIL & GAS — 3.98%
Antero Resources Corp.
5.13%, 12/01/22 (Call 06/01/17)		100		100,750
BP Capital Markets PLC
1.85%, 05/05/17		200		200,706
2.52%, 01/15/20		150		152,996
Canadian Natural Resources Ltd.
3.90%, 02/01/25 (Call 11/01/24)		100		101,966
Chevron Corp.
1.96%, 03/03/20 (Call 02/03/20)		150		151,245
Cimarex Energy Co.
4.38%, 06/01/24 (Call 03/01/24)		100		105,588
ConocoPhillips
5.75%, 02/01/19		150		163,054
Denbury Resources Inc.
9.00%, 05/15/21 (Call 12/15/18)^a		50		51,500
Ensco PLC
4.50%, 10/01/24 (Call 07/01/24)		100		80,000
Exxon Mobil Corp.
2.22%, 03/01/21 (Call 02/01/21)		55		55,791
2.73%, 03/01/23 (Call 01/01/23)		70		71,680
3.04%, 03/01/26 (Call 12/01/25)		50		51,721


16		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
Gulfport Energy Corp.
6.00%, 10/15/24 (Call 10/15/19)^a	$	25	$	25,469
Marathon Petroleum Corp.
2.70%, 12/14/18		100		101,677
3.40%, 12/15/20 (Call 11/15/20)		95		98,799
Newfield Exploration Co.
5.63%, 07/01/24		50		52,000
5.75%, 01/30/22		50		52,125
Occidental Petroleum Corp.
2.60%, 04/15/22 (Call 03/15/22)		85		86,836
3.40%, 04/15/26 (Call 01/15/26)^b		155		161,642
3.50%, 06/15/25 (Call 03/15/25)		60		63,208
Parsley Energy LLC/Parsley Finance Corp.
7.50%, 02/15/22 (Call 02/15/17)^a,b		35		37,231
QEP Resources Inc.
5.25%, 05/01/23 (Call 02/01/23)		50		49,125
Sanchez Energy Corp.
6.13%, 01/15/23 (Call 07/15/18)^b		50		42,750
Shell International Finance BV
1.38%, 05/10/19		100		99,447
2.13%, 05/11/20		40		40,339
4.30%, 09/22/19		250		268,395
Total Capital SA
2.13%, 08/10/18		250		253,172
Transocean Inc.
8.13%, 12/15/21^b		50		48,260
WPX Energy Inc.
7.50%, 08/01/20 (Call 07/01/20)		35		36,881

				2,804,353
OIL & GAS SERVICES — 0.15%
Halliburton Co.
3.25%, 11/15/21 (Call 08/15/21)		100		103,848

				103,848
PACKAGING & CONTAINERS — 0.11%
Ball Corp.
4.00%, 11/15/23		50		50,575
PaperWorks Industries Inc.
9.50%, 08/15/19 (Call 12/01/16)^a		30		27,675

				78,250


Security	Principal (000s)		Value
PHARMACEUTICALS — 2.74%
AbbVie Inc.
1.75%, 11/06/17	$	150	$	150,513
1.80%, 05/14/18		50		50,167
2.30%, 05/14/21 (Call 04/14/21)		55		54,959
2.50%, 05/14/20 (Call 04/14/20)		30		30,427
Actavis Funding SCS
3.00%, 03/12/20 (Call 02/12/20)^b		185		190,715
AmerisourceBergen Corp.
4.88%, 11/15/19^b		100		108,837
Baxalta Inc.
2.88%, 06/23/20 (Call 05/23/20)^b		45		45,860
Cardinal Health Inc.
1.95%, 06/15/18		75		75,377
Express Scripts Holding Co.
3.30%, 02/25/21 (Call 01/25/21)		25		26,167
McKesson Corp.
1.40%, 03/15/18		150		149,679
Mead Johnson Nutrition Co.
3.00%, 11/15/20		55		56,791
Novartis Capital Corp.
3.40%, 05/06/24		150		161,799
Pfizer Inc.
6.20%, 03/15/19		250		276,842
Shire Acquisitions Investments Ireland DAC
1.90%, 09/23/19		200		199,486
2.40%, 09/23/21 (Call 08/23/21)		95		94,244
Teva Pharmaceutical Finance IV BV
3.65%, 11/10/21		46		48,404
Teva Pharmaceutical Finance Netherlands III BV
1.40%, 07/20/18		50		49,786
1.70%, 07/19/19		25		24,842
Zoetis Inc.
3.45%, 11/13/20 (Call 10/13/20)		130		134,919

				1,929,814
PIPELINES — 2.04%
Boardwalk Pipelines LP
5.95%, 06/01/26 (Call 03/01/26)		80		88,688
Buckeye Partners LP
3.95%, 12/01/26 (Call 09/01/26)		35		34,996
4.15%, 07/01/23 (Call 04/01/23)		50		51,193


SCHEDULEOF INVESTMENTS			17

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
Energy Transfer Partners LP
4.15%, 10/01/20 (Call 08/01/20)	$	100	$	104,585
9.00%, 04/15/19		100		113,713
Enterprise Products Operating LLC
3.70%, 02/15/26 (Call 11/15/25)		100		102,082
Kinder Morgan Inc./DE
3.05%, 12/01/19 (Call 11/01/19)		100		102,463
Magellan Midstream Partners LP
5.00%, 03/01/26 (Call 12/01/25)		100		113,658
ONEOK Inc.
7.50%, 09/01/23 (Call 06/01/23)		100		114,500
ONEOK Partners LP
3.20%, 09/15/18 (Call 08/15/18)		100		102,677
PBF Logistics LP/PBF Logistics Finance Corp.
6.88%, 05/15/23 (Call 05/15/18)		35		33,950
Sabine Pass Liquefaction LLC
5.63%, 03/01/25 (Call 12/01/24)		100		105,815
Tesoro Logistics LP/Tesoro Logistics Finance Corp.
6.13%, 10/15/21 (Call 11/16/16)		100		104,625
TransCanada PipeLines Ltd.
3.13%, 01/15/19		60		61,745
Western Gas Partners LP
4.65%, 07/01/26 (Call 04/01/26)^b		100		104,875
Williams Partners LP
4.00%, 09/15/25 (Call 06/15/25)		100		100,231

				1,439,796
REAL ESTATE INVESTMENT TRUSTS — 3.35%
American Tower Corp.
2.80%, 06/01/20 (Call 05/01/20)		100		101,982
3.38%, 10/15/26 (Call 07/15/26)		90		89,554
3.40%, 02/15/19		100		103,577
3.50%, 01/31/23		100		103,227
5.90%, 11/01/21		100		115,448
Boston Properties LP
5.88%, 10/15/19 (Call 07/17/19)		100		110,702
Communications Sales & Leasing Inc./CSL Capital LLC
6.00%, 04/15/23 (Call 04/15/18)^a		45		46,687
Crown Castle International Corp.
3.40%, 02/15/21 (Call 01/15/21)		100		104,268
4.88%, 04/15/22		100		110,301


Security	Principal (000s)		Value
Digital Realty Trust LP
3.40%, 10/01/20 (Call 09/01/20)	$	200	$	207,508
DuPont Fabros Technology LP
5.63%, 06/15/23 (Call 06/15/18)^b		30		31,575
ERP Operating LP
2.85%, 11/01/26 (Call 08/01/26)^b		80		79,250
HCP Inc.
2.63%, 02/01/20 (Call 11/01/19)		250		252,890
Hospitality Properties Trust
5.00%, 08/15/22 (Call 02/15/22)		200		216,204
Simon Property Group LP
2.50%, 09/01/20 (Call 06/01/20)		100		102,488
4.38%, 03/01/21 (Call 12/01/20)		150		164,176
Ventas Realty LP/Ventas Capital Corp.
4.00%, 04/30/19 (Call 01/30/19)		200		209,760
Vereit Operating Partnership LP
4.88%, 06/01/26 (Call 03/01/26)		40		42,043
Welltower Inc.
5.25%, 01/15/22 (Call 10/15/21)		150		169,719

				2,361,359
RETAIL — 2.73%
1011778 BC ULC/New Red Finance Inc.
4.63%, 01/15/22 (Call 10/01/17)^a		100		103,250
Advance Auto Parts Inc.
5.75%, 05/01/20		200		220,142
AmeriGas Finance LLC/AmeriGas Finance Corp.
7.00%, 05/20/22 (Call 05/20/17)		100		105,250
AutoZone Inc.
2.50%, 04/15/21 (Call 03/15/21)		230		233,013
CVS Health Corp.
4.13%, 05/15/21 (Call 02/15/21)		200		216,362
Home Depot Inc. (The)
2.13%, 09/15/26 (Call 06/15/26)		50		48,178
3.35%, 09/15/25 (Call 06/15/25)		35		37,351
L Brands Inc.
6.63%, 04/01/21^b		150		172,500
McDonald’s Corp.
3.63%, 05/20/21		100		106,637
Michaels Stores Inc.
5.88%, 12/15/20 (Call 12/15/16)^a		100		102,875


18		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
O’Reilly Automotive Inc.
3.55%, 03/15/26 (Call 12/15/25)^b	$	60	$	62,329
Party City Holdings Inc.
6.13%, 08/15/23 (Call 08/15/18)^a		45		47,756
QVC Inc.
3.13%, 04/01/19		250		255,312
Rite Aid Corp.
6.75%, 06/15/21 (Call 12/01/16)		100		105,000
Sally Holdings LLC/Sally Capital Inc.
5.75%, 06/01/22 (Call 06/01/17)^b		50		52,000
Suburban Propane Partners LP/Suburban Energy Finance Corp.
5.50%, 06/01/24 (Call 06/01/19)^b		50		51,000

				1,918,955
SEMICONDUCTORS — 0.44%
Applied Materials Inc.
2.63%, 10/01/20 (Call 09/01/20)		50		51,453
Micron Technology Inc.
5.25%, 08/01/23 (Call 02/01/18)^a		100		98,000
NVIDIA Corp.
2.20%, 09/16/21 (Call 08/16/21)		35		34,959
3.20%, 09/16/26 (Call 06/16/26)		40		39,978
QUALCOMM Inc.
3.00%, 05/20/22		85		88,573

				312,963
SOFTWARE — 1.70%
Activision Blizzard Inc.
2.30%, 09/15/21 (Call 08/15/21)^a,b		25		24,915
3.40%, 09/15/26 (Call 06/15/26)^a		60		59,550
Autodesk Inc.
3.13%, 06/15/20 (Call 05/15/20)		30		30,793
BMC Software Finance Inc.
8.13%, 07/15/21 (Call 12/01/16)^a		50		45,750
Electronic Arts Inc.
3.70%, 03/01/21 (Call 02/01/21)		30		31,682
Fidelity National Information Services Inc.
2.00%, 04/15/18		200		201,408
First Data Corp.
5.00%, 01/15/24 (Call 01/15/19)^a		95		96,425
6.75%, 11/01/20 (Call 12/01/16)^a		100		103,500
7.00%, 12/01/23 (Call 12/01/18)^a		80		83,800


Security	Principal (000s)		Value
Fiserv Inc.
3.85%, 06/01/25 (Call 03/01/25)	$	50	$	53,219
Microsoft Corp.
2.00%, 08/08/23 (Call 06/08/23)		175		172,305
2.40%, 08/08/26 (Call 05/08/26)^b		95		93,176
Oracle Corp.
1.90%, 09/15/21 (Call 08/15/21)		200		199,250

				1,195,773
TELECOMMUNICATIONS — 5.03%
AT&T Inc.
1.70%, 06/01/17^b		350		351,278
2.80%, 02/17/21 (Call 01/17/21)		100		101,385
3.00%, 06/30/22 (Call 04/30/22)		50		50,610
3.40%, 05/15/25 (Call 02/15/25)		200		199,572
3.90%, 03/11/24 (Call 12/11/23)		150		156,316
5.80%, 02/15/19		100		108,621
5.88%, 10/01/19		300		332,205
CC Holdings GS V LLC/Crown Castle GS III Corp.
3.85%, 04/15/23^b		100		105,601
CenturyLink Inc.
6.45%, 06/15/21		150		160,125
Cisco Systems Inc.
1.85%, 09/20/21 (Call 08/20/21)		100		99,749
Frontier Communications Corp.
6.88%, 01/15/25 (Call 10/15/24)		100		83,750
8.50%, 04/15/20		100		106,750
Harris Corp.
2.00%, 04/27/18		45		45,209
Hughes Satellite Systems Corp.
5.25%, 08/01/26^a		35		34,475
6.63%, 08/01/26^a		80		79,200
Intelsat Jackson Holdings SA
7.25%, 10/15/20 (Call 12/01/16)		100		75,813
Juniper Networks Inc.
3.30%, 06/15/20 (Call 05/15/20)		30		30,852
Motorola Solutions Inc.
3.50%, 03/01/23		150		150,160
Plantronics Inc.
5.50%, 05/31/23 (Call 05/15/18)^a,b		50		50,875
Qwest Corp.
6.75%, 12/01/21^b		100		110,750


SCHEDULEOF INVESTMENTS			19

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal (000s)		Value
Sprint Communications Inc.
9.00%, 11/15/18^a	$	100	$	110,000
Sprint Corp.
7.88%, 09/15/23		125		123,750
T-Mobile USA Inc.
6.50%, 01/15/26 (Call 01/15/21)^b		45		49,329
6.63%, 04/01/23 (Call 04/01/18)		150		159,402
6.73%, 04/28/22 (Call 04/28/17)		100		104,500
Verizon Communications Inc.
1.38%, 08/15/19^b		40		39,669
3.50%, 11/01/21		100		105,621
4.50%, 09/15/20		100		108,810
5.15%, 09/15/23		100		114,458
Vodafone Group PLC
1.63%, 03/20/17		150		150,207
Windstream Services LLC
6.38%, 08/01/23 (Call 02/01/18)		50		44,250

				3,543,292
TOYS, GAMES & HOBBIES — 0.06%
Mattel Inc.
2.35%, 08/15/21 (Call 07/15/21)		45		45,103

				45,103
TRANSPORTATION — 0.07%
OPE KAG Finance Sub Inc.
7.88%, 07/31/23 (Call 07/31/18)^a		35		33,075
XPO Logistics Inc.
6.50%, 06/15/22 (Call 06/15/18)^a,b		15		15,600

				48,675

TOTAL CORPORATE BONDS & NOTES
(Cost: $56,471,446)				57,163,349

U.S. GOVERNMENT & AGENCY OBLIGATIONS — 46.63%

MORTGAGE-BACKED SECURITIES — 46.63%
Federal Home Loan Mortgage Corp.
2.50%, 11/01/31^c		925		951,738
2.50%, 11/01/46^c		25		24,926
3.00%, 11/01/31^c		825		863,285
3.00%, 11/01/46^c		2,300		2,367,203
3.50%, 11/01/31^c		425		448,375
3.50%, 01/01/46		1,034		1,084,611


Security	Principal (000s)		Value
3.50%, 03/01/46	$	512	$	537,544
3.50%, 07/01/46		123		128,785
3.50%, 09/01/46		30		31,268
3.50%, 11/01/46^c		401		420,799
4.00%, 11/01/31^c		25		25,816
4.00%, 11/01/45		407		435,436
4.00%, 04/01/46		329		355,648
4.00%, 11/01/46^c		461		493,054
4.50%, 11/01/31^c		25		25,609
4.50%, 11/01/46^c		575		628,277
5.00%, 11/01/46^c		350		386,969
Federal National Mortgage Association
2.50%, 11/01/31^c		1,020		1,049,644
2.50%, 11/01/46^c		100		99,750
3.00%, 02/01/31		1,015		1,061,987
3.00%, 11/01/31^c		84		87,898
3.00%, 11/01/46^c		2,775		2,856,516
3.50%, 11/01/31^c		529		557,268
3.50%, 11/01/45		185		194,109
3.50%, 02/01/46		727		763,418
3.50%, 11/01/46^c		2,614		2,744,292
4.00%, 11/01/31^c		325		336,324
4.00%, 01/01/46		991		1,061,082
4.00%, 02/01/46		87		92,958
4.00%, 03/01/46		169		181,279
4.00%, 04/01/46		213		228,334
4.00%, 11/01/46^c		963		1,031,162
4.50%, 11/01/31^c		125		128,281
4.50%, 11/01/46^c		975		1,065,492
5.00%, 11/01/31^c		25		25,602
5.00%, 11/01/46^c		200		221,313
5.50%, 11/01/46^c		1,025		1,155,367
Government National Mortgage Association
2.50%, 11/01/46^c		25		25,227
3.00%, 11/01/46^c		1,950		2,030,492
3.50%, 03/20/46		259		274,827
3.50%, 11/01/46^c		2,993		3,169,416
4.00%, 01/20/46		114		122,576
4.00%, 09/20/46		265		284,949
4.00%, 11/01/46^c		1,094		1,172,044
4.50%, 11/20/45		42		45,113


20		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016


Security	Principal or Shares (000s)		Value
4.50%, 11/01/46^c	$	820	$	888,881
5.00%, 11/01/46^c		625		674,023

				32,838,967

TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS
(Cost: $32,843,427)				32,838,967

SHORT-TERM INVESTMENTS — 17.98%

MONEY MARKET FUNDS — 17.98%
BlackRock Cash Funds: Institutional, SL Agency Shares
0.72%^d,e,f		12,559		12,559,972
BlackRock Cash Funds: Treasury, SL Agency Shares
0.29%^d,e		100		100,000

				12,659,972


TOTAL SHORT-TERM INVESTMENTS
(Cost: $12,658,783)				12,659,972

TOTAL INVESTMENTS IN SECURITIES — 145.79%
(Cost: $101,973,656)^g				102,662,288
Other Assets, Less Liabilities — (45.79)%				(32,244,635	)

NET ASSETS — 100.00%			$	70,417,653

VRN — Variable Rate Note

^a	This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933.

^b	All or a portion of this security represents a security on loan. See Note 1.

^c	To-be-announced (TBA). See Note 1.

^d	Affiliated money market fund.

^e	The rate quoted is the annualized seven-day yield of the fund at period end.

^f	All or a portion of this security represents an investment of securities lending collateral. See Note 1.

^g	The cost of investments for federal income tax purposes was $101,974,467. Net unrealized appreciation was $687,821, of which $931,964 represented gross unrealized appreciation on securities and $244,143 represented gross unrealized depreciation on securities.

Schedule 1 — Futures Contracts (Note 5)

Futures contracts outstanding as of October 31, 2016 were as follows:


Issue	Number of long (short) contracts			Expiration date		Exchange		Initial notional value			Current notional value			Unrealized appreciation (depreciation)
2-Year U.S. Treasury Note		(1	)		Dec. 2016		Chicago Board of Trade	$	(218,296	)	$	(218,141	)	$	155
5-Year U.S. Treasury Note		1			Dec. 2016		Chicago Board of Trade		120,830			120,797			(33	)
10-Year U.S. Treasury Note		(3	)		Dec. 2016		Chicago Board of Trade		(393,162	)		(388,875	)		4,287
Ultra Long U.S. Treasury Bond		(11	)		Dec. 2016		Chicago Board of Trade		(2,051,497	)		(1,935,312	)		116,185
U.S. Treasury Long Bond		(1	)		Dec. 2016		Chicago Board of Trade		(170,389	)		(162,719	)		7,670

Net unrealized appreciation														$	128,264


SCHEDULEOF INVESTMENTS			21

Schedule of Investments (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016

Schedule 2 — Fair Value Measurements


	Level 1			Level 2		Level 3		Total
Investments:
Assets:
Corporate bonds & notes	$	—		$	57,163,349	$	—	$	57,163,349
U.S. government & agency obligations		—			32,838,967		—		32,838,967
Money market funds		12,659,972			—		—		12,659,972

Total	$	12,659,972		$	90,002,316	$	—	$	102,662,288

Derivative financial instruments^a:
Assets:
Futures contracts	$	128,297		$	—	$	—	$	128,297
Liabilities:
Futures contracts		(33	)		—		—		(33	)

Total	$	128,264		$	—	$	—	$	128,264

Shown at the unrealized appreciation (depreciation) on the contracts.

See notes to financial statements.


22		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statement of Assets and Liabilities

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

October 31, 2016



ASSETS
Investments, at cost:
Unaffiliated	$	89,314,873
Affiliated (Note 2)		12,658,783

Total cost of investments	$	101,973,656

Investments in securities, at fair value (including securities on loan^a) (Note 1):
Unaffiliated	$	90,002,316
Affiliated (Note 2)		12,659,972

Total fair value of investments		102,662,288
Cash pledged to broker		72,980
Receivables:
Investment securities sold		833,072
Dividends and interest		610,163

Total Assets		104,178,503


LIABILITIES
Payables:
Investment securities purchased		26,882,113
Collateral for securities on loan (Note 1)		6,852,075
Futures variation margin		12,136
Investment advisory fees (Note 2)		14,526

Total Liabilities		33,760,850


NET ASSETS	$	70,417,653


Net assets consist of:
Paid-in capital	$	69,990,544
Accumulated net realized loss		(389,787	)
Net unrealized appreciation		816,896

NET ASSETS	$	70,417,653


Shares outstanding^b		700,000


Net asset value per share	$	100.60

^a	Securities on loan with a value of $6,632,444. See Note 1.

^b	No par value, unlimited number of shares authorized.

See notes to financial statements.


FINANCIAL STATEMENTS			23

Statement of Operations

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Year ended October 31, 2016



NET INVESTMENT INCOME
Dividends — affiliated (Note 2)	$	11,736
Interest — unaffiliated		2,080,758
Securities lending income — affiliated — net (Note 2)		18,703

Total investment income		2,111,197


EXPENSES
Investment advisory fees (Note 2)		174,198

Total expenses		174,198
Less investment advisory fees waived (Note 2)		(2,180	)

Net expenses		172,018

Net investment income		1,939,179


NET REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — unaffiliated		57,798
Investments — affiliated (Note 2)		100
Futures contracts		(433,770	)
Realized gain distributions from affiliated funds		461

Net realized loss		(375,411	)

Net change in unrealized appreciation/depreciation on:
Investments		1,883,990
Futures contracts		113,924

Net change in unrealized appreciation/depreciation		1,997,914

Net realized and unrealized gain		1,622,503

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	3,561,682

See notes to financial statements.


24		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Statements of Changes in Net Assets

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF


	Year ended October 31, 2016			Period from February 24, 2015^a to October 31, 2015

INCREASE (DECREASE) IN NET ASSETS

OPERATIONS:
Net investment income	$	1,939,179		$	1,302,726
Net realized gain (loss)		(375,411	)		29,720
Net change in unrealized appreciation/depreciation		1,997,914			(1,181,018	)

Net increase in net assets resulting from operations		3,561,682			151,428


DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(1,954,073	)		(1,287,832	)
Return of capital		(64,951	)		—

Total distributions to shareholders		(2,019,024	)		(1,287,832	)


CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold		10,007,595			74,886,750
Cost of shares redeemed		(14,882,946	)		—

Net increase (decrease) in net assets from capital share transactions		(4,875,351	)		74,886,750

INCREASE (DECREASE) IN NET ASSETS		(3,332,693	)		73,750,346

NET ASSETS
Beginning of period		73,750,346			—

End of period	$	70,417,653		$	73,750,346

Undistributed net investment income included in net assets at end of period	$	—		$	14,894


SHARES ISSUED AND REDEEMED
Shares sold		100,000			750,000
Shares redeemed		(150,000	)		—

Net increase (decrease) in shares outstanding		(50,000	)		750,000

^a	Commencement of operations.

See notes to financial statements.


FINANCIAL STATEMENTS			25

Financial Highlights

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

(For a share outstanding throughout each period)


	Year ended Oct. 31, 2016			Period from Feb. 24, 2015^a to Oct. 31, 2015
Net asset value, beginning of period	$	98.33		$	99.60

Income from investment operations:
Net investment income^b		2.75			1.74
Net realized and unrealized gain (loss)^c		2.40			(1.29	)

Total from investment operations		5.15			0.45

Less distributions from:
Net investment income		(2.79	)		(1.72	)
Return of capital		(0.09	)		—

Total distributions		(2.88	)		(1.72	)

Net asset value, end of period	$	100.60		$	98.33


Total return		5.32	%		0.46	%^d


Ratios/Supplemental data:
Net assets, end of period (000s)	$	70,418		$	73,750
Ratio of expenses to average net assets^e		0.25	%		0.25	%
Ratio of expenses to average net assets prior to waived fees^e		0.25	%		0.26	%
Ratio of net investment income to average net assets^e		2.78	%		2.58	%
Portfolio turnover rate^f,g		569	%		362	%

^a	Commencement of operations.

^b	Based on average shares outstanding throughout each period.

^c	The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund’s underlying securities.

^d	Not annualized.

^e	Annualized for periods of less than one year.

^f	Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

^g	Portfolio turnover rates include to-be-announced (TBA) transactions. See Note 1.

See notes to financial statements.


26		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

These financial statements relate only to the following fund (the “Fund”):

iShares ETF

Diversification

Classification

Edge U.S. Fixed Income Balanced Risk^a

Non-diversified

Formerly the iShares U.S. Fixed Income Balanced Risk ETF.

1.	*SIGNIFICANT ACCOUNTING POLICIES*

SECURITY VALUATION

•

Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•

Futures contracts are valued at that day’s last reported settlement price on the exchange where the contract is traded.


NOTESTO FINANCIAL STATEMENTS			27

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

•

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

•

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 judgement exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The fair value hierarchy for the Fund’s investments is included in its schedule of investments.

SECURITY TRANSACTIONS AND INCOME RECOGNITION


28		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

WHEN-ISSUED/TBA TRANSACTIONS

The Fund may purchase mortgage pass-through securities on a when-issued or to-be-announced (“TBA”) basis, with payment and delivery scheduled for a future date. The Fund may enter into a TBA agreement, sell the obligation to purchase the pools stipulated in the TBA agreement prior to the stipulated settlement date and enter into a new TBA agreement for future delivery of pools of mortgage pass-through securities (a “TBA roll”). A TBA roll is treated by the Fund as a purchase transaction and a sale transaction in which the Fund realizes a gain or loss. The Fund’s use of TBA rolls may cause the Fund to experience higher portfolio turnover and higher transaction costs. The Fund could be exposed to possible risk if there are adverse market actions, expenses or delays in connection with the TBA transactions, or if the counterparty fails to complete the transaction.

To mitigate counterparty risk, the Fund has entered into a two-way collateral agreement for TBA transactions with certain counterparties. Under such agreement, the “in-the-money” party of a TBA transaction may at any time require the other party to pledge collateral assets (in the form of cash or securities) to offset any loss the in-the-money party would incur upon cancellation of the TBA transaction. A party is in-the-money if they are the buyer and the market value of the TBA transaction increases or if they are the seller and the market value of the TBA transaction decreases. Cash received as collateral from the counterparty may be reinvested in money market funds, including those managed by the Fund’s investment adviser, or its affiliates. Such collateral, if any, is presented in the statement of assets and liabilities as “Investments in securities – affiliated” and “Payable due to broker for TBA collateral.” Securities pledged as collateral by the Fund, if any, are noted in the schedule of investments.

DISTRIBUTIONS TO SHAREHOLDERS

LOANS OF PORTFOLIO SECURITIES

The Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by the Fund is required to have a value of at least 102% of the current value of the loaned securities plus the interest accrued on such securities, if any, for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan plus accrued interest, if any. The market value of the loaned securities is determined at the close of each business day of the Fund. Any additional required collateral is delivered to the Fund and any excess collateral is returned by the Fund on the next business day. During the term of the loan, the Fund is entitled to all distributions made on or in respect of the loaned securities but does not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

On October 11, 2016, BlackRock, Inc. (“BlackRock”) implemented changes required by amendments to Rule 2a-7 under the 1940 Act, which governs the operations of U.S. money market funds. The Fund may be exposed to additional risks when reinvesting the cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00 and which may be subject to redemption gates or liquidity fees under certain circumstances.


NOTESTO FINANCIAL STATEMENTS			29

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

disclosed in the schedule of investments. The securities on loan for the Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of October 31, 2016 and the total value of the related cash collateral are disclosed in the statement of assets and liabilities. Income earned by the Fund from securities lending is disclosed in the statement of operations.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Fund benefits from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. The Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received.

The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of October 31, 2016:


Counterparty	Market Value of Securities on Loan		Cash Collateral Received^a		Net Amount
BNP Paribas Prime Brokerage Inc.	$	924,125	$	924,125	$	—
BNP Paribas Prime Brokerage International Ltd.		232,469		232,469		—
Citigroup Global Markets Inc.		628,314		628,314		—
Credit Suisse Securities (USA) LLC		209,387		209,387		—
Deutsche Bank Securities Inc.		338,284		338,284		—
HSBC Securities (USA) Inc.		93,176		93,176		—
Jefferies LLC		132,325		132,325		—
JPMorgan Securities LLC		3,156,899		3,156,899		—
Merrill Lynch, Pierce, Fenner & Smith		284,542		284,542		—
Wells Fargo Securities LLC		632,923		632,923		—

	$	6,632,444	$	6,632,444	$	—


30		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

2.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

For its investment advisory services to the Fund, BFA is entitled to an annual investment advisory fee of 0.25% based on the average daily net assets of the Fund. In addition, the Fund indirectly pays its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). BFA has contractually agreed to waive a portion of its investment advisory fees for the Fund through February 28, 2019 in an amount equal to the acquired fund fees and expenses attributable to the Fund’s investments in other registered investment companies advised by BFA or its affiliates, if any.

The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Fund, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. The Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees the Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

For the year ended October 31, 2016, the Fund paid to BTC securities lending agent services and collateral investment fees in the amount of $6,782.

The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Fund for 1940 Act purposes.

Certain trustees and officers of the Trust are also officers of BTC and/or BFA.


NOTESTO FINANCIAL STATEMENTS			31

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

3.	*INVESTMENT PORTFOLIO TRANSACTIONS*

Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the year ended October 31, 2016 were as follows:


U.S. Government Obligations				Other Securities
Purchases		Sales		Purchases		Sales
$	479,970,718	$	475,661,303	$	25,842,010	$	36,883,532

There were no in-kind transactions (see Note 4) for the year ended October 31, 2016.

4.	*CAPITAL SHARE TRANSACTIONS*

5.	*FUTURES CONTRACTS*


32		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

The following table shows the value of futures contracts held by the Fund as of October 31, 2016 and the related locations in the statement of assets and liabilities, presented by risk exposure category:


Assets
Interest rate contracts:
Variation margin/Net assets consist of – net unrealized appreciation^a	$	128,297

Represents cumulative appreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities.



Liabilities
Interest rate contracts:
Variation margin/Net assets consist of – net unrealized appreciation^b	$	(33	)

Represents cumulative depreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities.

The following table shows the realized and unrealized gains (losses) on futures contracts held by the Fund during the year ended October 31, 2016 and the related locations in the statement of operations, presented by risk exposure category:


	Net Realized Gain (Loss)			Net Change in Unrealized Appreciation/Depreciation
Interest rate contracts:
Futures contracts	$	(433,770	)	$	113,924

The following table shows the average quarter-end balances of open futures contracts for the Fund for the year ended October 31, 2016 :


Average value of contracts purchased	$	445,172
Average value of contracts sold		4,946,653

6.	*PRINCIPAL RISKS*

MARKET RISK


NOTESTO FINANCIAL STATEMENTS			33

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within the Fund’s portfolio are disclosed in its schedule of investments.

Changes in market interest rates or economic conditions may affect the value and/or liquidity of fixed income investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will decrease as interest rates rise and increase as interest rates fall. Mortgage-backed securities and securities with longer durations, tend to be more sensitive to interest rate changes, usually making them more volatile than other types of bonds or securities with shorter durations. Given the environment of historically low interest rates, a fund may be subject to a greater risk of price losses if interest rates rise.

CREDIT RISK

7.	*INCOME TAX INFORMATION*

Paid-in

Capital

Undistributed

Net Investment

Income/Distributions
in Excess of Net
Investment Income

Undistributed

Net Realized

Gain/Accumulated

Net Realized Loss

$44,096

(44,096)


34		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes to Financial Statements (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

The tax character of distributions paid during the years ended October 31, 2016 and October 31, 2015 was as follows:


	2016		2015
Ordinary income	$	1,954,073	$	1,287,832
Return of capital		64,951		—

	$	2,019,024	$	1,287,832

As of October 31, 2016, the tax components of accumulated net earnings (losses) were as follows:


Capital Loss Carryforwards	Net Unrealized Gains (Losses)^a		Total
$(260,711)	$	687,820	$	427,109

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales and the realization for tax purposes of unrealized gains (losses) on certain futures contracts.

As of October 31, 2016, the Fund had non-expiring capital loss carryforwards in the amount of $260,711 available to offset future realized capital gain.

8.	*SUBSEQUENT EVENTS*


NOTESTO FINANCIAL STATEMENTS			35

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of

iShares U.S. ETF Trust:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of iShares Edge U.S. Fixed Income Balanced Risk ETF (the “Fund”) at October 31, 2016, the results of its operations, the changes in its net assets and its financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2016 by correspondence with the custodian, transfer agent and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

San Francisco, California

December 21, 2016


36		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Tax Information (Unaudited)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

For the fiscal year ended October 31, 2016, the Fund hereby designates $1,506,314 as the maximum amount allowable as interest-related dividends eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations.

The Fund hereby designates $112 as the amount of distributions from direct federal obligation interest for the fiscal year ended October 31, 2016. The law varies in each state as to whether and what percentage of ordinary income dividends attributable to federal obligations is exempt from state income tax. Shareholders are advised to check with their tax advisers to determine if any portion of the dividends received is exempt from state income tax.


TAX INFORMATION			37

Board Review and Approval of Investment Advisory

Contract

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Under Section 15(c) of the Investment Company Act of 1940 (the ��1940 Act”), the Trust’s Board of Trustees (the “Board”), including a majority of Trustees who are not “interested persons” of the Trust (as that term is defined in the 1940 Act) (the “Independent Trustees”), is required annually to consider and approve the Investment Advisory Contract between the Trust and BFA (the “Advisory Contract”) on behalf of the Fund. The Independent Trustees requested, and BFA provided, such information as the Independent Trustees, with advice from independent counsel, deemed reasonably necessary to evaluate the Advisory Contract. A committee of all of the Independent Trustees (the “15(c) Committee”), with independent counsel, met with management on April 28, 2016 and May 9, 2016. At these meetings, the 15(c) Committee reviewed and discussed information provided in response to the 15(c) Committee’s initial requests, and requested certain additional information, which management agreed to provide. At a meeting held on May 17, 2016, management presented information to the Board relating to the continuance of the Advisory Contract, including information requested by the 15(c) Committee during its meetings. The Board, including the Independent Trustees, reviewed and discussed such information at length. The Independent Trustees requested from management certain additional information, which management agreed to provide. At a meeting held on June 21-23, 2016, the Board, including the Independent Trustees, reviewed the additional information provided by management in response to these requests. After extensive discussions, the Board, including all of the Independent Trustees, approved the continuance of the Advisory Contract for the Fund, based on a review of qualitative and quantitative information provided by BFA, including the additional information management provided at the request of the Independent Trustees. The Board noted its satisfaction with the extent and quality of information provided and its frequent interactions with management, as well as the detailed responses and other information provided by BFA. The Board also noted that the Board and BFA agreed to discuss potential enhancements and adjustments to the 15(c) process for the coming year. The Independent Trustees were advised by their independent counsel throughout the process, including about the legal standards applicable to their review. In approving the Advisory Contract for the Fund, the Board, including the Independent Trustees, considered the following factors, no one of which was controlling, and reached the following conclusions:


38		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Based on this review, the other factors considered at the meeting, and their general knowledge of ETF pricing, the Board concluded that the investment advisory fee rate and expense level and the historical performance of the Fund supported the Board’s approval of the continuance of the Advisory Contract for the coming year.

Nature, Extent and Quality of Services Provided by BFA — Based on management’s representations, including information about recent and proposed enhancements to the iShares business, including with respect to capital markets support and analysis, product design and other services, the Board expected that there would be no diminution in the scope of services required of or provided by BFA under the Advisory Contract for the coming year as compared to the scope of services provided by BFA during prior years. In reviewing the scope of these services, the Board considered BFA’s investment philosophy and experience, noting that BFA and its affiliates have committed significant resources over time, including during the past year, to supporting the iShares funds and their shareholders. The Board also considered BFA’s compliance program and its compliance record with respect to the Fund. In that regard, the Board noted that BFA reports to the Board about portfolio management and compliance matters on a periodic basis in connection with regularly scheduled meetings of the Board, and on other occasions as necessary and appropriate, and has provided information and made appropriate officers available as needed to provide further assistance with these matters. The Board also reviewed the background and experience of the persons responsible for the day-to-day management of the Fund, as well as the resources available to them in managing the Fund. In addition to the above considerations, the Board reviewed and considered detailed presentations regarding BFA’s investment performance, investment and risk management processes and strategies provided at the June 21-23, 2016 meeting and throughout the previous year, and matters related to BFA’s portfolio compliance policies and procedures. The Board noted that the Fund had met its investment objective consistently since its inception date.

Based on review of this information, and the performance information discussed above, the Board concluded that the nature, extent and quality of services provided by BFA to the Fund under the Advisory Contract supported the Board’s approval of the continuance of the Advisory Contract for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			39

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Fees and Services Provided for Other Comparable Funds/Accounts Managed by BFA and its Affiliates — The Board received and considered information regarding the investment advisory/management fee rates for other funds/accounts in the U.S. for which BFA (or its affiliates) provides investment advisory/management services, including open-end funds registered under the 1940 Act (including sub-advised funds), collective trust funds, and institutional separate accounts (together, the “Other Accounts”), and acknowledged BFA’s assertion that the iShares funds are fundamentally different investment vehicles from the Other Accounts. The Board noted that BFA and its affiliates do manage Other Accounts with a similar investment strategy or investment mandate as the Fund. The Board further noted that BFA provided the Board with detailed information regarding how the Other Accounts (particularly institutional clients) generally differ from the Fund, including in terms of the different and generally more extensive services provided to the Fund, as well as other significant differences. In that regard, the Board considered that the pricing of services to institutional clients is typically based on a number of factors beyond the nature and extent of the specific services to be provided and often depends on the overall relationship between the client and its affiliates and the adviser and its affiliates. In addition, the Board considered the relative complexity and inherent risks and challenges of managing and providing other services to the Fund, as a publicly traded exchange traded fund, as compared to the Other Accounts that are institutional clients in light of differing regulatory requirements and client-imposed mandates. The Board also considered the “all-inclusive” nature of the Fund’s advisory fee structure, and the Fund expenses borne by BFA under this arrangement. The Board noted that the investment advisory fee rate under the Advisory Contract for the Fund was generally higher than the investment advisory/management fee rates for certain of the Other Accounts (particularly institutional clients) and concluded that the differences appeared to be consistent with the factors discussed.

Other Benefits to BFA and/or its Affiliates — The Board reviewed the “fallout” benefits or ancillary revenue received by BFA and/or its affiliates in connection with the services provided to the Fund by BFA, such as payment of revenue to BTC, the Fund’s securities lending agent, for loaning portfolio securities (which was included in the profit margins reviewed by the Board pursuant to BFA’s profitability methodology), and payment of advisory fees and/or administration fees to BFA and BTC (or their affiliates) in connection with any investments by the Fund in other funds for which BFA (or its affiliates) provides investment advisory services and/or administration services. The Board noted that BFA generally does not use soft dollars or consider the value of research or other services that may be provided to BFA (including its affiliates) in selecting brokers for portfolio transactions for the Fund. The Board further noted that any portfolio transactions on behalf of the Fund placed through a BFA affiliate or purchased from an underwriting syndicate in which a BFA affiliate participates, are reported to the Board pursuant to Rule 17e-1 or Rule 10f-3, as applicable, under the 1940 Act. The Board concluded that any such ancillary benefits would not be disadvantageous to the Fund’s


40		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Board Review and Approval of Investment Advisory

Contract (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

shareholders and thus would not alter the Board’s conclusion with respect to the appropriateness of approving the continuance of the Advisory Contract for the coming year.


BOARD REVIEWAND APPROVALOF INVESTMENT ADVISORY CONTRACT			41

Supplemental Information (Unaudited)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are provided 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 the Fund’s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes.


Total Cumulative Distributions for the Fiscal Year								% Breakdown of the Total Cumulative Distributions for the Fiscal Year
Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share		Net Investment Income		Net Realized Capital Gains		Return of Capital		Total Per Share
$	2.620347	$	—	$	0.255305	$	2.875652		91%		— %		9%		100%

Premium/Discount Information


42		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Supplemental Information (Unaudited) (Continued)

iSHARES^® EDGE U.S. FIXED INCOME BALANCED RISK ETF

Period Covered: February 24, 2015 through September 30, 2016


Premium/Discount Range	Number of Days		Percentage of Total Days
Greater than 1.5%		6		1.48	%
Greater than 1.0% and Less than 1.5%		2		0.49
Greater than 0.5% and Less than 1.0%		23		5.67
Between 0.5% and –0.5%		373		91.87
Less than –0.5%		2		0.49

		406		100.00	%


SUPPLEMENTAL INFORMATION			43

Trustee and Officer Information

iSHARES^® U.S. ETF TRUST

Interested Trustees

^a	Robert S. Kapito is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc.

^b	Mark Wiedman is deemed to be an “interested person” (as defined in the 1940 Act) of the Trust due to his affiliations with BlackRock, Inc. and its affiliates.


44		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years	Other Directorships Held by Trustee During the Past 5 Years
Cecilia H. Herbert (67)	Trustee (since 2011); Independent Board Chair (since 2016); Nominating and Governance Committee Chair (since 2016).	Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Member (since 1992) and Chair (1994-2005) of the Investment Committee, Archdiocese of San Francisco; Trustee and Member of the Investment Committee, WNET, the New York public media company (since 2011).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Independent Board Chair of iShares Inc. and iShares Trust (since 2016); Director of Forward Funds (23 portfolios) (since 2009); Trustee of Salient MF Trust (4 portfolios) (since 2015).

Jane D. Carlin (60)	Trustee (since 2015); Risk Committee Chair (since 2016).	Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).	Director of iShares, Inc. (since 2015); Trustee of iShares Trust (since 2015); Director of PHH Corporation (mortgage solutions) (since 2012).

Charles A. Hurty (73)	Trustee (since 2011); Audit Committee Chair (since 2011).	Retired; Partner, KPMG LLP (1968-2001).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005); Director of GMAM Absolute Return Strategy Fund (1 portfolio) (since 2002); Director of SkyBridge Alternative Investments Multi-Adviser Hedge Fund Portfolios LLC (2 portfolios) (since 2002).

John E. Kerrigan (61)	Trustee (since 2011); Securities Lending Committee Chair (since 2016).	Chief Investment Officer, Santa Clara University (since 2002).	Director of iShares, Inc. (since 2005); Trustee of iShares Trust (since 2005).

John E. Martinez (55)	Trustee (since 2011); Fixed Income Plus Committee Chair (since 2016).	Director of FirstREX Agreement Corp. (formerly EquityRock, Inc.) (since 2005).	Director of iShares, Inc. (since 2003); Trustee of iShares Trust (since 2003).


TRUSTEEAND OFFICER INFORMATION			45

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Independent Trustees^c (Continued)

^c	Robert H. Silver served as an Independent Trustee until March 31, 2016.


46		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Officers^d



Name (Age)	Position(s)	Principal Occupation(s) During the Past 5 Years
Martin Small (41)	President (since 2016).	Managing Director, BlackRock, Inc. (since 2010); Head of U.S. iShares (since 2015); Co-Head of the U.S. Financial Markets Advisory Group, BlackRock, Inc. (2008-2014).

Jack Gee (57)	Treasurer and Chief Financial Officer (since 2011).	Managing Director, BlackRock, Inc. (since 2009); Senior Director of Fund Administration of Intermediary Investor Business, BGI (2009).

Benjamin Archibald (41)	Secretary (since 2015).	Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2010-2013); Secretary of the BlackRock-advised Mutual Funds (since 2012).

Steve Messinger (54)	Executive Vice President (since 2016).	Managing Director, BlackRock, Inc. (2007-2014 and since 2016); Managing Director, Beacon Consulting Group (2014-2016).

Charles Park (49)	Chief Compliance Officer (since 2011).	Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex (since 2014); Chief Compliance Officer, BFA (since 2006).

Scott Radell (47)	Executive Vice President (since 2012).	Managing Director, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BlackRock, Inc. (since 2009); Head of Portfolio Solutions, BGI (2007-2009); Credit Portfolio Manager, BGI (2005-2007); Credit Research Analyst, BGI (2003-2005).

Amy Schioldager (54)	Executive Vice President (since 2011).	Senior Managing Director, BlackRock, Inc. (since 2009); Global Head of Index Equity, BGI (2008-2009); Global Head of U.S. Indexing, BGI (2006-2008); Head of Domestic Equity Portfolio Management, BGI (2001-2006).

^d	Manish Mehta served as President until October 15, 2016.


TRUSTEEAND OFFICER INFORMATION			47

Trustee and Officer Information (Continued)

iSHARES^® U.S. ETF TRUST

Advisory Board Member


48		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

Notes:


NOTES			49

Notes:


50		2016 iSHARES ANNUAL REPORTTO SHAREHOLDERS

For more information visit www.iShares.com or call 1-800-474-2737

This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.

Investing involves risk, including possible loss of principal.

The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).

iS-AR-1013-1016

Item 2. Code of Ethics.

iShares U.S. ETF Trust (the “Registrant”) adopted a new code of ethics on July 1, 2016 that applies to persons appointed by the Registrant’s Board of Trustees as the President and/or Chief Financial Officer, and any persons performing similar functions. For the fiscal year ended October 31, 2016, there were no amendments to any provision of the former and new codes of ethics, nor were there any waivers granted from any provision of the former and new codes of ethics. A copy of the new code of ethics is filed with this Form N-CSR under Item 12(a)(1).

Item 3. Audit Committee Financial Expert.

The Registrant’s Board of Trustees has determined that the Registrant has more than one audit committee financial expert, as that term is defined under Item 3(b) and 3(c), serving on its audit committee. The audit committee financial experts serving on the Registrant’s audit committee are Charles A. Hurty, John E. Kerrigan and Madhav V. Rajan, all of whom are independent, as that term is defined under Item 3(a)(2). Robert H. Silver resigned from the Board of Trustees effective March 31, 2016.

Item 4. Principal Accountant Fees and Services.

The principal accountant fees disclosed in items 4(a), 4(b), 4(c), 4(d) and 4(g) are for the nine series of the Registrant for which the fiscal year-end is October 31, 2016 (the “Funds”), and whose annual financial statements are reported in Item 1.

(a)

Audit Fees – The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the Funds’ annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were $113,240 for the fiscal year ended October 31, 2015 and $121,700 for the fiscal year ended October 31, 2016.

(b)

Audit-Related Fees – There were no fees billed for the fiscal years ended October 31, 2015 and October 31, 2016 for assurance and related services by the principal accountant that were reasonably related to the performance of the audit of the Fund’s financial statements and are not reported under (a) of this Item.

(c)

Tax Fees – The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for the review of the Funds’ tax returns and excise tax calculations, were $33,093 for the fiscal year ended October 31, 2015 and $34,029 for the fiscal year ended October 31, 2016.

(d)

All Other Fees – There were no other fees billed for the fiscal years ended October 31, 2015 and October 31, 2016 for products and services provided by the principal accountant, other than the services reported in (a) through (c) of this Item.

(e)

(1) The Registrant’s audit committee charter, as amended, provides that the audit committee is responsible for the approval, prior to appointment, of the engagement of the principal accountant to annually audit and provide their opinion on the Registrant’s financial statements. The audit committee must also approve, prior to appointment, the engagement of the principal accountant to provide non-audit services to the Registrant or to any entity controlling, controlled by or under common control with the Registrant’s investment adviser (“Adviser Affiliate”) that provides ongoing services to the Registrant, if the engagement relates directly to the operations and financial reporting of the Registrant.

(2) There were no services described in (b) through (d) above (including services required by the audit committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X) that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f)

None of the hours expended on the principal accountant’s engagement to audit the Funds’ financial statements for the fiscal year ended October 31, 2016 were attributable to work performed by persons other than the principal accountant’s full-time, permanent employees.

(g)

The aggregate non-audit fees billed by the Registrant’s principal accountant for services rendered to the Funds, and rendered to the Registrant’s investment adviser, and any Adviser Affiliate that provides ongoing services to the Registrant for the last two fiscal years were $3,548,374 for the fiscal year ended October 31, 2015 and $5,698,275 for the fiscal year ended October 31, 2016.

(h)

The Registrant’s audit committee has considered whether the provision of non-audit services rendered to the Registrant’s investment adviser and any Adviser Affiliate that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, if any, are compatible with maintaining the principal accountant’s independence, and has determined that the provision of these services do not compromise the principal accountant’s independence.

Item 5. Audit Committee of Listed Registrants.

The Registrant is a listed issuer as defined in Rule 10A-3 under the Exchange Act and has a separately-designated standing audit committee established in accordance with Section 3(a)(58)(A) of the Exchange Act. The Registrant’s audit committee members are Charles A. Hurty, John E. Kerrigan and Madhav V. Rajan. Robert H. Silver resigned from the Board of Trustees effective March 31, 2016.

Item 6. Investments.

(a)

Schedules of investments are included as part of the reports to shareholders filed under Item 1 of this Form.

(b)

Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to the Registrant.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to the Registrant.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable to the Registrant.

Item 10. Submission of Matters to a Vote of Security Holders.

There were no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Trustees.

Item 11. Controls and Procedures.

(a) The President (the Registrant’s Principal Executive Officer) and Chief Financial Officer (the Registrant’s Principal Financial Officer) have concluded that, based on their evaluation as of a date within 90 days of the filing date of this report, the disclosure controls and procedures of the Registrant (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are reasonably designed to achieve the purposes described in Section 4(a) of the attached certification.

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) 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.

(a) (1) Code of Ethics for Senior Officers that is the subject of Item 2 is attached.

(a) (2) Section 302 Certifications are attached.

(a) (3) Not applicable to the Registrant.

(b) Section 906 Certifications are attached.

SIGNATURES

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.

iShares U.S. ETF Trust


By: /s/ Martin Small
Martin Small, President (Principal Executive Officer)

Date:		December 29, 2016

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/ Martin Small
Martin Small, President (Principal Executive Officer)

Date:		December 29, 2016



By: /s/ Jack Gee
Jack Gee, Treasurer and Chief Financial Officer (Principal Financial Officer)

Date:		December 29, 2016

Name (Age)

Position(s)

Principal Occupation(s)
During the Past 5 Years

Other Directorships Held by Trustee
During the Past 5 Years

Robert S. Kapito^a (59)

Trustee (since 2011).

President and Director, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock, Inc.’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002); President of the Board of Directors, Periwinkle Theatre for Youth (since 1983).

Director of iShares, Inc. (since 2009);
Trustee of iShares Trust (since 2009).

Mark Wiedman^b (45)

Trustee (since 2013)

Managing Director, BlackRock, Inc. (since 2007); Global Head of iShares (since 2011); Head of Corporate Strategy, BlackRock, Inc. (2009-2011).

Director of iShares, Inc. (since 2013);
Trustee of iShares Trust (since 2013);
Director of PennyMac Financial Services, Inc. (since 2008).