Table of Contents
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-09102
iShares, Inc.
(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 Incorporated
351 West Camden Street, Baltimore, MD 21201
(Name and address of agent for service)
Registrant’s telephone number, including area code: (415) 670-2000
Date of fiscal year end: August 31, 2017
Date of reporting period: February 28, 2017
Table of Contents
Item 1. | Reports to Stockholders. |
Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Austria Capped ETF | EWO | NYSE Arca |
Ø | iShares MSCI Belgium Capped ETF | EWK | NYSE Arca |
Ø | iShares MSCI France ETF | EWQ | NYSE Arca |
Ø | iShares MSCI Netherlands ETF | EWN | NYSE Arca |
Ø | iShares MSCI Sweden Capped ETF | EWD | NYSE Arca |
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Table of Contents
iSHARES® MSCI AUSTRIA CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Austria Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Austrian equities, as represented by the MSCI Austria Investable Market Index 25/50 (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 12.64%, net of fees, while the total return for the Index was 12.98%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 25.92% | 25.88% | 26.47% | 25.92% | 25.88% | 26.47% | ||||||||||||||||||||||
5 Years | 3.32% | 3.18% | 3.43% | 17.74% | 16.95% | 18.34% | ||||||||||||||||||||||
10 Years | (4.35)% | (4.37)% | (4.88)% | (35.88)% | (36.07)% | (39.37)% |
Index performance through January 31, 2008 reflects the performance of the MSCI Austria Index. Index performance beginning on February 1, 2008 through February 11, 2013 reflects the performance of the MSCI Austria Investable Market Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Austria Investable Market Index 25/50.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,126.40 | $ | 2.58 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 30.16 | % | ||
Materials | 21.06 | |||
Real Estate | 15.56 | |||
Energy | 15.43 | |||
Industrials | 12.75 | |||
Information Technology | 2.05 | |||
Utilities | 1.53 | |||
Consumer Discretionary | 1.46 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Erste Group Bank AG | 20.38 | % | ||
OMV AG | 13.02 | |||
Voestalpine AG | 11.05 | |||
Wienerberger AG | 4.66 | |||
BUWOG AG | 4.61 | |||
Andritz AG | 4.47 | |||
Raiffeisen Bank International AG | 4.47 | |||
CA Immobilien Anlagen AG | 3.88 | |||
IMMOFINANZ AG | 3.70 | |||
Lenzing AG | 3.43 | |||
|
| |||
TOTAL | 73.67 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI BELGIUM CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Belgium Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Belgian equities, as represented by the MSCI Belgium Investable Market Index 25/50 (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -0.36%, net of fees, while the total return for the Index was -0.26%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 10.56% | 11.06% | 10.65% | 10.56% | 11.06% | 10.65% | ||||||||||||||||||||||
5 Years | 11.60% | 11.60% | 12.33% | 73.07% | 73.10% | 78.88% | ||||||||||||||||||||||
10 Years | (0.25)% | (0.27)% | 0.05% | (2.47)% | (2.67)% | 0.53% |
Index performance through November 30, 2007 reflects the performance of the MSCI Belgium Index. Index performance beginning on December 1, 2007 through November 8, 2012 reflects the performance of the MSCI Belgium Investable Market Index. Index performance beginning on November 9, 2012 reflects the performance of the MSCI Belgium Investable Market Index 25/50.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 996.40 | $ | 2.43 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Staples | 26.94 | % | ||
Financials | 22.90 | |||
Materials | 11.93 | |||
Health Care | 11.57 | |||
Real Estate | 6.48 | |||
Consumer Discretionary | 5.30 | |||
Information Technology | 4.84 | |||
Telecommunication Services | 3.93 | |||
Industrials | 3.02 | |||
Energy | 1.61 | |||
Utilities | 1.48 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Anheuser-Busch InBev SA/NV | 22.67 | % | ||
KBC Group NV | 8.37 | |||
Solvay SA | 5.22 | |||
UCB SA | 4.93 | |||
Groupe Bruxelles Lambert SA | 4.12 | |||
Ageas | 4.07 | |||
Umicore SA | 3.24 | |||
Proximus SADP | 2.90 | |||
Ackermans & van Haaren NV | 2.37 | |||
Galapagos NV | 2.21 | |||
|
| |||
TOTAL | 60.10 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI FRANCE ETF
Performance as of February 28, 2017
The iShares MSCI France ETF (the “Fund”) seeks to track the investment results of an index composed of French equities, as represented by the MSCI France Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.12%, net of fees, while the total return for the Index was 5.25%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 12.25% | 12.92% | 12.15% | 12.25% | 12.92% | 12.15% | ||||||||||||||||||||||
5 Years | 5.30% | 5.33% | 5.26% | 29.44% | 29.63% | 29.19% | ||||||||||||||||||||||
10 Years | (0.17)% | (0.18)% | (0.12)% | (1.66)% | (1.78)% | (1.19)% |
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,051.20 | $ | 2.49 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Industrials | 19.51 | % | ||
Consumer Discretionary | 18.14 | |||
Financials | 14.04 | |||
Consumer Staples | 10.32 | |||
Health Care | 10.30 | |||
Energy | 9.09 | |||
Materials | 5.43 | |||
Information Technology | 3.97 | |||
Real Estate | 3.33 | |||
Telecommunication Services | 3.07 | |||
Utilities | 2.80 | |||
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| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Total SA | 9.09 | % | ||
Sanofi | 8.02 | |||
BNP Paribas SA | 4.97 | |||
LVMH Moet Hennessy Louis Vuitton SE | 4.49 | |||
L’Oreal SA | 3.76 | |||
AXA SA | 3.67 | |||
Airbus SE | 3.41 | |||
Air Liquide SA | 3.37 | |||
Danone SA | 3.14 | |||
Schneider Electric SE | 3.05 | |||
|
| |||
TOTAL | 46.97 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI NETHERLANDS ETF
Performance as of February 28, 2017
The iShares MSCI Netherlands ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Dutch equities, as represented by the MSCI Netherlands Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 4.27%, net of fees, while the total return for the Index was 4.62%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 14.56% | 15.19% | 15.22% | 14.56% | 15.19% | 15.22% | ||||||||||||||||||||||
5 Years | 8.64% | 8.71% | 8.87% | 51.36% | 51.82% | 52.95% | ||||||||||||||||||||||
10 Years | 2.39% | 2.37% | 2.85% | 26.61% | 26.44% | 32.39% |
Index performance through January 31, 2008 reflects the performance of the MSCI Netherlands Index. Index performance beginning on February 1, 2008 reflects the performance of the MSCI Netherlands Investable Market Index.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,042.70 | $ | 2.48 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Staples | 29.15 | % | ||
Industrials | 19.53 | |||
Information Technology | 18.45 | |||
Financials | 18.16 | |||
Materials | 7.09 | |||
Consumer Discretionary | 2.64 | |||
Telecommunication Services | 2.13 | |||
Energy | 1.63 | |||
Real Estate | 1.22 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Unilever NV CVA | 16.26 | % | ||
ING Groep NV | 11.22 | |||
ASML Holding NV | 9.52 | |||
NXP Semiconductors NV | 6.37 | |||
Koninklijke Philips NV | 5.84 | |||
Koninklijke Ahold Delhaize NV | 4.80 | |||
Heineken NV | 4.19 | |||
RELX NV | 3.89 | |||
Akzo Nobel NV | 3.71 | |||
Wolters Kluwer NV | 2.72 | |||
|
| |||
TOTAL | 68.52 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SWEDEN CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Sweden Capped ETF (the “Fund”) (formerly the iShares MSCI Sweden ETF) seeks to track the investment results of an index composed of Swedish equities, as represented by the MSCI Sweden 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.61%, net of fees, while the total return for the Index was 6.93%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | |||||||||||||||||||||||
Fund NAV | 14.75% | 4.38% | 3.26% | 14.75% | 23.89% | 37.76% | ||||||||||||||||||||||
Fund Market | 14.77 | 4.43 | 3.24 | 14.77 | 24.18 | 37.58 | ||||||||||||||||||||||
Index a | 14.02 | 3.90 | 3.01 | 14.02 | 21.05 | 34.48 | ||||||||||||||||||||||
MSCI Sweden Index | 13.94 | 3.88 | 3.00 | 13.94 | 20.97 | 34.39 | ||||||||||||||||||||||
MSCI Sweden 25/50 Index b | n/a | n/a | n/a | n/a | n/a | n/a |
a | Index performance through November 30, 2016 reflects the performance of the MSCI Sweden Index. Index performance beginning on December 1, 2016 reflects the performance of the MSCI Sweden 25/50 Index, which, effective as of December 1, 2016, replaced the MSCI Sweden Index as the underlying index of the Fund. |
b | The inception date for the MSCI Sweden 25/50 Index was July 20, 2016. |
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,066.10 | $ | 2.51 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 33.92 | % | ||
Industrials | 30.82 | |||
Consumer Discretionary | 9.87 | |||
Information Technology | 7.74 | |||
Consumer Staples | 7.31 | |||
Telecommunication Services | 5.42 | |||
Materials | 2.51 | |||
Energy | 1.27 | |||
Health Care | 1.14 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Nordea Bank AB | 9.56 | % | ||
Hennes & Mauritz AB Class B | 6.69 | |||
Swedbank AB Class A | 5.95 | |||
Atlas Copco AB Class A | 5.84 | |||
Svenska Handelsbanken AB Class A | 5.64 | |||
Volvo AB Class B | 5.37 | |||
Telefonaktiebolaget LM Ericsson Class B | 4.64 | |||
Svenska Cellulosa AB SCA Class B | 4.57 | |||
Skandinaviska Enskilda Banken AB Class A | 4.53 | |||
Assa Abloy AB | 4.52 | |||
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TOTAL | 57.31 | % | ||
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* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI AUSTRIA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.47% |
| |||||||
AEROSPACE & DEFENSE — 0.83% |
| |||||||
FACC AGa | 119,063 | $ | 885,741 | |||||
|
| |||||||
885,741 | ||||||||
AIR FREIGHT & LOGISTICS — 3.35% |
| |||||||
Oesterreichische Post AG | 97,925 | 3,571,691 | ||||||
|
| |||||||
3,571,691 | ||||||||
BANKS — 24.71% |
| |||||||
Erste Group Bank AG | 740,929 | 21,619,562 | ||||||
Raiffeisen Bank International AGa | 212,702 | 4,737,319 | ||||||
|
| |||||||
26,356,881 | ||||||||
CHEMICALS — 3.42% |
| |||||||
Lenzing AG | 23,086 | 3,642,880 | ||||||
|
| |||||||
3,642,880 | ||||||||
CONSTRUCTION & ENGINEERING — 1.28% |
| |||||||
Porr AG | 33,388 | 1,367,148 | ||||||
|
| |||||||
1,367,148 | ||||||||
CONSTRUCTION MATERIALS — 6.54% |
| |||||||
RHI AG | 85,120 | 2,032,830 | ||||||
Wienerberger AG | 249,896 | 4,939,034 | ||||||
|
| |||||||
6,971,864 | ||||||||
ELECTRIC UTILITIES — 1.52% |
| |||||||
EVN AG | 130,726 | 1,625,240 | ||||||
|
| |||||||
1,625,240 | ||||||||
ELECTRICAL EQUIPMENT — 1.56% |
| |||||||
Zumtobel Group AG | 99,965 | 1,660,793 | ||||||
|
| |||||||
1,660,793 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
Austria Technologie & Systemtechnik AGb | 108,088 | 1,150,840 | ||||||
Kapsch TrafficCom AG | 24,963 | 1,026,146 | ||||||
|
| |||||||
2,176,986 | ||||||||
ENERGY EQUIPMENT & SERVICES — 2.40% |
| |||||||
Schoeller-Bleckmann Oilfield Equipment AG | 34,631 | 2,561,203 | ||||||
|
| |||||||
2,561,203 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 1.45% |
| |||||||
DO & CO AGb | 22,762 | 1,545,785 | ||||||
|
| |||||||
1,545,785 | ||||||||
INSURANCE — 5.29% |
| |||||||
UNIQA Insurance Group AG | 373,065 | 2,833,998 |
Security | Shares | Value | ||||||
Vienna Insurance Group AG Wiener Versicherung Gruppe | 116,292 | $ | 2,804,464 | |||||
|
| |||||||
5,638,462 | ||||||||
MACHINERY — 5.66% |
| |||||||
Andritz AG | 90,413 | 4,737,352 | ||||||
Semperit AG Holding | 42,171 | 1,301,757 | ||||||
|
| |||||||
6,039,109 | ||||||||
METALS & MINING — 10.99% |
| |||||||
Voestalpine AG | 277,792 | 11,726,095 | ||||||
|
| |||||||
11,726,095 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 12.95% |
| |||||||
OMV AG | 360,481 | 13,812,677 | ||||||
|
| |||||||
13,812,677 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 15.48% |
| |||||||
BUWOG AG | 195,473 | 4,895,715 | ||||||
CA Immobilien Anlagen AG | 209,488 | 4,118,136 | ||||||
Conwert Immobilien Invest SEb | 93,432 | 1,628,206 | ||||||
IMMOEAST AG Escrowa | 998,769 | 11 | ||||||
IMMOFINANZ AGb | 2,149,548 | 3,924,100 | ||||||
IMMOFINANZ AG Escrowa | 897,599 | 9 | ||||||
S IMMO AG | 157,872 | 1,941,761 | ||||||
|
| |||||||
16,507,938 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $116,694,313) |
| 106,090,493 | ||||||
SHORT-TERM INVESTMENTS — 4.46% |
| |||||||
MONEY MARKET FUNDS — 4.46% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 4,620,552 | 4,622,400 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%c,d | 134,507 | 134,507 | ||||||
|
| |||||||
4,756,907 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,755,949) |
| 4,756,907 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRIA CAPPED ETF
February 28, 2017
Value | ||||||
TOTAL INVESTMENTS |
| |||||
(Cost: $121,450,262)f | $ | 110,847,400 | ||||
Other Assets, Less Liabilities — (3.93)% | (4,186,481 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 106,660,919 | ||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 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 $126,463,527. Net unrealized depreciation was $15,616,127, of which $3,530,354 represented gross unrealized appreciation on securities and $19,146,481 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 106,090,473 | $ | — | $ | 20 | $ | 106,090,493 | ||||||||
Money market funds | 4,756,907 | — | — | 4,756,907 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 110,847,380 | $ | — | $ | 20 | $ | 110,847,400 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI BELGIUM CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.79% |
| |||||||
AIR FREIGHT & LOGISTICS — 1.93% |
| |||||||
bpost SA | 64,391 | $ | 1,604,493 | |||||
|
| |||||||
1,604,493 | ||||||||
BANKS — 8.35% |
| |||||||
KBC Group NV | 113,224 | 6,946,804 | ||||||
|
| |||||||
6,946,804 | ||||||||
BEVERAGES — 22.62% |
| |||||||
Anheuser-Busch InBev SA/NV | 171,566 | 18,823,096 | ||||||
|
| |||||||
18,823,096 | ||||||||
BIOTECHNOLOGY — 3.28% |
| |||||||
Ablynx NVa,b | 71,864 | 897,643 | ||||||
Galapagos NVa,b | 25,892 | 1,833,456 | ||||||
|
| |||||||
2,731,099 | ||||||||
CAPITAL MARKETS — 1.16% |
| |||||||
Gimv NV | 17,832 | 964,467 | ||||||
|
| |||||||
964,467 | ||||||||
CHEMICALS — 9.65% |
| |||||||
Solvay SA | 37,092 | 4,333,565 | ||||||
Tessenderlo Chemie NVa | 27,467 | 1,008,391 | ||||||
Umicore SA | 50,894 | 2,688,585 | ||||||
|
| |||||||
8,030,541 | ||||||||
COMMUNICATIONS EQUIPMENT — 0.92% |
| |||||||
EVS Broadcast Equipment SA | 20,249 | 764,377 | ||||||
|
| |||||||
764,377 | ||||||||
CONSTRUCTION & ENGINEERING — 1.09% |
| |||||||
Cie. d’Entreprises CFE | 8,191 | 905,190 | ||||||
|
| |||||||
905,190 | ||||||||
DISTRIBUTORS — 1.27% |
| |||||||
D’ieteren SA/NV | 23,550 | 1,053,645 | ||||||
|
| |||||||
1,053,645 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 9.28% |
| |||||||
Ackermans & van Haaren NV | 14,192 | 1,967,995 | ||||||
Groupe Bruxelles Lambert SA | 40,226 | 3,419,959 | ||||||
KBC Ancoraa | 28,263 | 1,189,878 | ||||||
Sofina SA | 8,401 | 1,142,643 | ||||||
|
| |||||||
7,720,475 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.90% |
| |||||||
Proximus SADP | 81,742 | 2,410,773 | ||||||
|
| |||||||
2,410,773 | ||||||||
ELECTRIC UTILITIES — 1.48% |
| |||||||
Elia System Operator SA/NV | 23,859 | 1,227,191 | ||||||
|
| |||||||
1,227,191 |
Security | Shares | Value | ||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
Barco NV | 10,753 | $ | 967,337 | |||||
|
| |||||||
967,337 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 6.46% |
| |||||||
Aedifica SA | 12,804 | 980,687 | ||||||
Befimmo SA | 18,194 | 1,007,633 | ||||||
Cofinimmo SA | 13,605 | 1,515,059 | ||||||
Intervest Offices & Warehouses NV | 25,799 | 646,971 | ||||||
Warehouses De Pauw CVA | 13,157 | 1,227,359 | ||||||
|
| |||||||
5,377,709 | ||||||||
FOOD & STAPLES RETAILING — 2.20% |
| |||||||
Colruyt SA | 38,945 | 1,832,023 | ||||||
|
| |||||||
1,832,023 | ||||||||
FOOD PRODUCTS — 0.40% |
| |||||||
Greenyard NVb | 18,997 | 332,063 | ||||||
|
| |||||||
332,063 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.54% |
| |||||||
Biocartis NVa,b,c | 29,467 | 342,862 | ||||||
Ion Beam Applications | 20,476 | 934,171 | ||||||
|
| |||||||
1,277,033 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.88% |
| |||||||
Fagrona,b | 67,583 | 734,654 | ||||||
|
| |||||||
734,654 | ||||||||
HEALTH CARE TECHNOLOGY — 0.92% |
| |||||||
AGFA-Gevaert NVa | 187,457 | 767,884 | ||||||
|
| |||||||
767,884 | ||||||||
INSURANCE — 4.06% |
| |||||||
Ageas | 88,717 | 3,378,661 | ||||||
|
| |||||||
3,378,661 | ||||||||
IT SERVICES — 1.10% |
| |||||||
Econocom Group SA/NV | 60,874 | 912,701 | ||||||
|
| |||||||
912,701 | ||||||||
MEDIA — 3.31% |
| |||||||
Kinepolis Group NV | 18,045 | 926,517 | ||||||
Telenet Group Holding NVa | 32,301 | 1,830,791 | ||||||
|
| |||||||
2,757,308 | ||||||||
METALS & MINING — 2.26% |
| |||||||
Bekaert SA | 28,093 | 1,247,052 | ||||||
Nyrstar NVa,b | 102,210 | 629,928 | ||||||
|
| |||||||
1,876,980 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BELGIUM CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
OIL, GAS & CONSUMABLE FUELS — 1.60% |
| |||||||
Euronav NV | 100,269 | $ | 823,386 | |||||
Exmar NVb | 65,033 | 511,370 | ||||||
|
| |||||||
1,334,756 | ||||||||
PERSONAL PRODUCTS — 1.66% |
| |||||||
Ontex Group NV | 44,776 | 1,377,887 | ||||||
|
| |||||||
1,377,887 | ||||||||
PHARMACEUTICALS — 4.93% |
| |||||||
UCB SA | 57,387 | 4,098,427 | ||||||
|
| |||||||
4,098,427 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 1.65% |
| |||||||
Melexis NV | 16,474 | 1,373,638 | ||||||
|
| |||||||
1,373,638 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.71% |
| |||||||
Sioen Industries NV | 10,498 | 291,373 | ||||||
Van de Velde NV | 4,990 | 300,433 | ||||||
|
| |||||||
591,806 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.02% |
| |||||||
Orange Belgium SAa | 37,473 | 852,720 | ||||||
|
| |||||||
852,720 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $94,513,609) |
| 83,025,738 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 5.74% |
| |||||||
MONEY MARKET FUNDS — 5.74% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 4,753,789 | $ | 4,755,691 | |||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%d,e | 18,875 | 18,875 | ||||||
|
| |||||||
4,774,566 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,773,450) |
| 4,774,566 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $99,287,059)g |
| 87,800,304 | ||||||
Other Assets, Less Liabilities — (5.53)% |
| (4,598,637 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 83,201,667 | |||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
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 $101,844,757. Net unrealized depreciation was $14,044,453, of which $1,544,224 represented gross unrealized appreciation on securities and $15,588,677 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 83,025,738 | $ | — | $ | — | $ | 83,025,738 | ||||||||
Money market funds | 4,774,566 | — | — | 4,774,566 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 87,800,304 | $ | — | $ | — | $ | 87,800,304 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.91% |
| |||||||
AEROSPACE & DEFENSE — 6.72% |
| |||||||
Airbus SE | 150,307 | $ | 11,071,527 | |||||
Dassault Aviation SA | 592 | 672,433 | ||||||
Safran SA | 81,157 | 5,791,705 | ||||||
Thales SA | 27,500 | 2,717,599 | ||||||
Zodiac Aerospace | 52,690 | 1,552,278 | ||||||
|
| |||||||
21,805,542 | ||||||||
AIR FREIGHT & LOGISTICS — 0.27% |
| |||||||
Bollore SA | 226,890 | 882,160 | ||||||
|
| |||||||
882,160 | ||||||||
AUTO COMPONENTS — 2.82% |
| |||||||
Cie. Generale des Etablissements Michelin Class B | 47,370 | 5,338,064 | ||||||
Valeo SA | 61,967 | 3,819,734 | ||||||
|
| |||||||
9,157,798 | ||||||||
AUTOMOBILES — 2.11% |
| |||||||
Peugeot SAa | 126,222 | 2,408,858 | ||||||
Renault SA | 49,848 | 4,433,991 | ||||||
|
| |||||||
6,842,849 | ||||||||
BANKS — 9.19% |
| |||||||
BNP Paribas SA | 274,854 | 16,101,258 | ||||||
Credit Agricole SA | 291,471 | 3,529,226 | ||||||
Natixis SA | 244,321 | 1,337,279 | ||||||
Societe Generale SA | 199,054 | 8,864,584 | ||||||
|
| |||||||
29,832,347 | ||||||||
BEVERAGES — 2.10% |
| |||||||
Pernod Ricard SA | 55,107 | 6,318,267 | ||||||
Remy Cointreau SA | 5,664 | 504,657 | ||||||
|
| |||||||
6,822,924 | ||||||||
BUILDING PRODUCTS — 1.92% |
| |||||||
Cie. de Saint-Gobain | 129,619 | 6,229,670 | ||||||
|
| |||||||
6,229,670 | ||||||||
CHEMICALS — 3.89% |
| |||||||
Air Liquide SA | 100,883 | 10,923,503 | ||||||
Arkema SA | 17,619 | 1,713,058 | ||||||
|
| |||||||
12,636,561 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.67% |
| |||||||
Edenred | 54,725 | 1,242,101 | ||||||
Societe BIC SA | 7,458 | 925,228 | ||||||
|
| |||||||
2,167,329 | ||||||||
CONSTRUCTION & ENGINEERING — 3.91% |
| |||||||
Bouygues SA | 53,906 | 2,083,292 |
Security | Shares | Value | ||||||
Eiffage SA | 15,263 | $ | 1,093,449 | |||||
Vinci SA | 131,573 | 9,508,441 | ||||||
|
| |||||||
12,685,182 | ||||||||
CONSTRUCTION MATERIALS — 0.23% |
| |||||||
Imerys SA | 9,280 | 751,600 | ||||||
|
| |||||||
751,600 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.45% |
| |||||||
Eurazeo SA | 10,294 | 637,709 | ||||||
Wendel SA | 7,345 | 815,211 | ||||||
|
| |||||||
1,452,920 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.06% |
| |||||||
Iliad SA | 6,881 | 1,429,082 | ||||||
Orange SA | 517,636 | 7,846,320 | ||||||
SFR Group SAa | 22,908 | 669,406 | ||||||
|
| |||||||
9,944,808 | ||||||||
ELECTRIC UTILITIES — 0.21% |
| |||||||
Electricite de France SA | 70,575 | 693,685 | ||||||
|
| |||||||
693,685 | ||||||||
ELECTRICAL EQUIPMENT — 4.26% |
| |||||||
Legrand SA | 69,366 | 3,922,756 | ||||||
Schneider Electric SE | 145,870 | 9,903,042 | ||||||
|
| |||||||
13,825,798 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
Ingenico Group SA | 14,395 | 1,295,276 | ||||||
|
| |||||||
1,295,276 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 3.33% |
| |||||||
Fonciere des Regions | 8,682 | 716,913 | ||||||
Gecina SA | 10,672 | 1,361,942 | ||||||
ICADE | 9,603 | 686,739 | ||||||
Klepierre | 57,170 | 2,130,158 | ||||||
Unibail-Rodamco SE | 25,782 | 5,899,718 | ||||||
|
| |||||||
10,795,470 | ||||||||
FOOD & STAPLES RETAILING — 1.32% |
| |||||||
Carrefour SA | 147,194 | 3,525,444 | ||||||
Casino Guichard Perrachon SA | 14,347 | 760,960 | ||||||
|
| |||||||
4,286,404 | ||||||||
FOOD PRODUCTS — 3.14% |
| |||||||
Danone SA | 153,174 | 10,182,433 | ||||||
|
| |||||||
10,182,433 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.90% |
| |||||||
Essilor International SA | 53,756 | 6,177,649 | ||||||
|
| |||||||
6,177,649 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRANCE ETF
February 28, 2017
Security | Shares | Value | ||||||
HOTELS, RESTAURANTS & LEISURE — 1.35% |
| |||||||
Accor SA | 44,434 | $ | 1,758,780 | |||||
Sodexo SA | 23,952 | 2,635,491 | ||||||
|
| |||||||
4,394,271 | ||||||||
HOUSEHOLD DURABLES — 0.24% |
| |||||||
SEB SA | 5,856 | 773,779 | ||||||
|
| |||||||
773,779 | ||||||||
INSURANCE — 4.40% |
| |||||||
AXA SA | 503,192 | 11,907,585 | ||||||
CNP Assurances | 44,531 | 827,366 | ||||||
SCOR SE | 42,336 | 1,533,581 | ||||||
|
| |||||||
14,268,532 | ||||||||
IT SERVICES — 1.96% |
| |||||||
Atos SE | 23,110 | 2,738,070 | ||||||
Capgemini SA | 42,290 | 3,625,995 | ||||||
|
| |||||||
6,364,065 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.37% |
| |||||||
Eurofins Scientific SE | 2,832 | 1,213,644 | ||||||
|
| |||||||
1,213,644 | ||||||||
MACHINERY — 0.33% |
| |||||||
Alstom SAa | 39,759 | 1,082,603 | ||||||
|
| |||||||
1,082,603 | ||||||||
MEDIA — 3.79% |
| |||||||
Eutelsat Communications SA | 45,273 | 892,627 | ||||||
JCDecaux SA | 19,207 | 615,342 | ||||||
Lagardere SCA | 30,606 | 772,071 | ||||||
Publicis Groupe SA | 49,823 | 3,368,694 | ||||||
SES SA | 94,267 | 1,929,738 | ||||||
Vivendi SA | 267,081 | 4,726,693 | ||||||
|
| |||||||
12,305,165 | ||||||||
METALS & MINING — 1.30% |
| |||||||
ArcelorMittala | 477,084 | 4,212,750 | ||||||
|
| |||||||
4,212,750 | ||||||||
MULTI-UTILITIES — 2.58% |
| |||||||
Engie SA | 411,066 | 5,040,657 | ||||||
Suez | 86,690 | 1,303,913 | ||||||
Veolia Environnement SA | 124,433 | 2,042,837 | ||||||
|
| |||||||
8,387,407 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 9.08% |
| |||||||
Total SA | 589,790 | 29,486,743 | ||||||
|
| |||||||
29,486,743 | ||||||||
PERSONAL PRODUCTS — 3.76% |
| |||||||
L’Oreal SA | 65,359 | 12,192,029 | ||||||
|
| |||||||
12,192,029 |
Security | Shares | Value | ||||||
PHARMACEUTICALS — 8.01% |
| |||||||
Sanofi | 301,025 | $ | 26,014,956 | |||||
|
| |||||||
26,014,956 | ||||||||
PROFESSIONAL SERVICES — 0.41% |
| |||||||
Bureau Veritas SA | 68,785 | 1,316,368 | ||||||
|
| |||||||
1,316,368 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.78% |
| |||||||
STMicroelectronics NV | 165,227 | 2,528,211 | ||||||
|
| |||||||
2,528,211 | ||||||||
SOFTWARE — 0.83% |
| |||||||
Dassault Systemes SE | 33,366 | 2,702,712 | ||||||
|
| |||||||
2,702,712 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 7.81% |
| |||||||
Christian Dior SE | 14,139 | 3,003,318 | ||||||
Hermes International | 6,850 | 2,998,141 | ||||||
Kering | 19,654 | 4,798,177 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 72,342 | 14,563,135 | ||||||
|
| |||||||
25,362,771 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.39% |
| |||||||
Rexel SA | 78,355 | 1,270,964 | ||||||
|
| |||||||
1,270,964 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.62% |
| |||||||
Aeroports de Paris | 7,699 | 875,362 | ||||||
Groupe Eurotunnel SE Registered | 121,173 | 1,133,074 | ||||||
|
| |||||||
2,008,436 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $376,439,811) |
| 324,353,811 | ||||||
SHORT-TERM INVESTMENTS — 0.01% |
| |||||||
MONEY MARKET FUNDS — 0.01% |
| |||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%b,c | 44,856 | 44,856 | ||||||
|
| |||||||
44,856 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $44,856) |
| 44,856 | ||||||
|
|
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRANCE ETF
February 28, 2017
Value | ||||||
TOTAL INVESTMENTS |
| |||||
(Cost: $376,484,667)d | $ | 324,398,667 | ||||
Other Assets, Less Liabilities — 0.08% | 257,696 | |||||
|
| |||||
NET ASSETS — 100.00% | $ | 324,656,363 | ||||
|
|
a | Non-income earning security. |
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 $391,256,009. Net unrealized depreciation was $66,857,342, of which $9,387,810 represented gross unrealized appreciation on securities and $76,245,152 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 324,353,811 | $ | — | $ | — | $ | 324,353,811 | ||||||||
Money market funds | 44,856 | — | — | 44,856 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 324,398,667 | $ | — | $ | — | $ | 324,398,667 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.77% |
| |||||||
AIR FREIGHT & LOGISTICS — 0.41% |
| |||||||
PostNL NVa | 166,727 | $ | 729,562 | |||||
|
| |||||||
729,562 | ||||||||
BANKS — 12.61% |
| |||||||
ABN AMRO Group NVb | 111,066 | 2,549,204 | ||||||
ING Groep NV | 1,455,583 | 20,130,331 | ||||||
|
| |||||||
22,679,535 | ||||||||
BEVERAGES — 7.85% |
| |||||||
Coca-Cola European Partners PLC | 86,549 | 3,022,954 | ||||||
Heineken Holding NV | 41,549 | 3,165,111 | ||||||
Heineken NV | 90,813 | 7,517,185 | ||||||
Refresco Group NVb | 27,874 | 407,112 | ||||||
|
| |||||||
14,112,362 | ||||||||
CAPITAL MARKETS — 0.32% |
| |||||||
BinckBank NV | 31,143 | 175,258 | ||||||
Flow Tradersb | 11,320 | 393,036 | ||||||
|
| |||||||
568,294 | ||||||||
CHEMICALS — 6.97% |
| |||||||
Akzo Nobel NV | 99,077 | 6,665,227 | ||||||
Corbion NV | 23,222 | 599,619 | ||||||
Koninklijke DSM NV | 71,434 | 4,706,157 | ||||||
OCI NVa,c | 28,601 | 570,447 | ||||||
|
| |||||||
12,541,450 | ||||||||
CONSTRUCTION & ENGINEERING — 1.23% |
| |||||||
Arcadis NVc | 27,138 | 369,112 | ||||||
Boskalis Westminster | 37,128 | 1,357,156 | ||||||
Koninklijke BAM Groep NV | 93,842 | 491,602 | ||||||
|
| |||||||
2,217,870 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.00% |
| |||||||
SNS REAAL NVa,c | 68,952 | 1 | ||||||
|
| |||||||
1 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.12% |
| |||||||
Koninklijke KPN NV | 1,348,426 | 3,818,511 | ||||||
|
| |||||||
3,818,511 | ||||||||
ELECTRICAL EQUIPMENT — 0.83% |
| |||||||
Kendrion NV | 5,507 | 160,338 | ||||||
Philips Lighting NVa,b,c | 18,825 | 522,890 | ||||||
SIF Holding NVa | 3,829 | 92,359 | ||||||
TKH Group NV | 17,524 | 716,908 | ||||||
|
| |||||||
1,492,495 |
Security | Shares | Value | ||||||
ENERGY EQUIPMENT & SERVICES — 0.86% |
| |||||||
Fugro NV CVAa,c | 29,279 | $ | 467,767 | |||||
SBM Offshore NV | 69,729 | 1,075,475 | ||||||
|
| |||||||
1,543,242 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 1.21% |
| |||||||
Eurocommercial Properties NV | 22,070 | 783,752 | ||||||
NSI NV | 68,184 | 276,550 | ||||||
VastNed Retail NV | 9,433 | 336,790 | ||||||
Wereldhave NV | 17,911 | 784,699 | ||||||
|
| |||||||
2,181,791 | ||||||||
FOOD & STAPLES RETAILING — 4.79% |
| |||||||
Koninklijke Ahold Delhaize NV | 404,412 | 8,620,347 | ||||||
|
| |||||||
8,620,347 | ||||||||
FOOD PRODUCTS — 0.23% |
| |||||||
Wessanen | 30,210 | 403,672 | ||||||
|
| |||||||
403,672 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.12% |
| |||||||
Basic-Fit NVa,b | 12,661 | 216,603 | ||||||
|
| |||||||
216,603 | ||||||||
HOUSEHOLD DURABLES — 0.21% |
| |||||||
TomTom NVa,c | 42,974 | 373,852 | ||||||
|
| |||||||
373,852 | ||||||||
INDUSTRIAL CONGLOMERATES — 5.82% |
| |||||||
Koninklijke Philips NV | 345,406 | 10,473,155 | ||||||
|
| |||||||
10,473,155 | ||||||||
INSURANCE — 5.19% |
| |||||||
Aegon NV | 682,217 | 3,637,667 | ||||||
ASR Nederland NVa | 30,006 | 803,486 | ||||||
Delta Lloyd NV | 179,028 | 1,019,660 | ||||||
NN Group NV | 124,470 | 3,878,578 | ||||||
|
| |||||||
9,339,391 | ||||||||
IT SERVICES — 0.62% |
| |||||||
InterXion Holding NVa | 28,413 | 1,105,266 | ||||||
|
| |||||||
1,105,266 | ||||||||
LEISURE PRODUCTS — 0.13% |
| |||||||
Accell Group | 10,343 | 241,076 | ||||||
|
| |||||||
241,076 | ||||||||
MACHINERY — 0.80% |
| |||||||
Aalberts Industries NV | 41,581 | 1,438,630 | ||||||
|
| |||||||
1,438,630 | ||||||||
MEDIA — 2.17% |
| |||||||
Altice NV Class Aa,c | 145,858 | 3,085,050 |
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI NETHERLANDS ETF
February 28, 2017
Security | Shares | Value | ||||||
Altice NV Class Ba | 38,325 | $ | 811,021 | |||||
|
| |||||||
3,896,071 | ||||||||
METALS & MINING — 0.10% |
| |||||||
AMG Advanced Metallurgical Group NV | 8,471 | 181,466 | ||||||
|
| |||||||
181,466 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.77% |
| |||||||
Koninklijke Vopak NV | 28,303 | 1,200,434 | ||||||
VTTI Energy Partners LP | 9,741 | 178,260 | ||||||
|
| |||||||
1,378,694 | ||||||||
PERSONAL PRODUCTS — 16.22% |
| |||||||
Unilever NV CVA | 615,373 | 29,173,538 | ||||||
|
| |||||||
29,173,538 | ||||||||
PROFESSIONAL SERVICES — 8.36% |
| |||||||
Brunel International NV | 10,434 | 166,640 | ||||||
Intertrust NVb | 16,990 | 306,008 | ||||||
Randstad Holding NV | 46,418 | 2,708,368 | ||||||
RELX NV | 392,517 | 6,977,891 | ||||||
Wolters Kluwer NV | 118,855 | 4,883,208 | ||||||
|
| |||||||
15,042,115 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 16.74% |
| |||||||
ASM International NV | 20,495 | 1,044,907 | ||||||
ASML Holding NV | 140,480 | 17,084,413 | ||||||
BE Semiconductor Industries NV | 14,244 | 546,171 | ||||||
NXP Semiconductors NVa | 111,101 | 11,422,294 | ||||||
|
| |||||||
30,097,785 | ||||||||
SOFTWARE — 1.06% |
| |||||||
Gemalto NV | 31,623 | 1,908,963 | ||||||
|
| |||||||
1,908,963 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 2.03% |
| |||||||
AerCap Holdings NVa | 59,700 | 2,704,410 | ||||||
IMCD Group NV | 19,874 | 945,669 | ||||||
|
| |||||||
3,650,079 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $182,091,848) |
| 179,425,816 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 2.74% |
| |||||||
MONEY MARKET FUNDS — 2.74% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 4,872,148 | $ | 4,874,097 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 47,566 | 47,566 | ||||||
|
| |||||||
4,921,663 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,920,292) |
| 4,921,663 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $187,012,140)g |
| 184,347,479 | ||||||
Other Assets, Less Liabilities — (2.51)% |
| (4,511,057 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 179,836,422 | |||||
|
|
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. 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 $191,516,244. Net unrealized depreciation was $7,168,765, of which $8,991,660 represented gross unrealized appreciation on securities and $16,160,425 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI NETHERLANDS ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 179,425,815 | $ | — | $ | 1 | $ | 179,425,816 | ||||||||
Money market funds | 4,921,663 | — | — | 4,921,663 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 184,347,478 | $ | — | $ | 1 | $ | 184,347,479 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SWEDEN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.78% |
| |||||||
BANKS — 25.62% |
| |||||||
Nordea Bank AB | 2,390,399 | $ | 28,080,967 | |||||
Skandinaviska Enskilda Banken AB Class A | 1,159,496 | 13,299,202 | ||||||
Svenska Handelsbanken AB Class A | 1,187,813 | 16,565,087 | ||||||
Swedbank AB Class A | 705,239 | 17,454,298 | ||||||
|
| |||||||
75,399,554 | ||||||||
BUILDING PRODUCTS — 4.51% |
| |||||||
Assa Abloy AB | 680,676 | 13,271,529 | ||||||
|
| |||||||
13,271,529 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.52% |
| |||||||
Securitas AB Class B | 291,529 | 4,460,535 | ||||||
|
| |||||||
4,460,535 | ||||||||
COMMUNICATIONS EQUIPMENT — 4.63% |
| |||||||
Telefonaktiebolaget LM Ericsson Class B | 2,089,667 | 13,631,416 | ||||||
|
| |||||||
13,631,416 | ||||||||
CONSTRUCTION & ENGINEERING — 2.42% |
| |||||||
Skanska AB Class B | 298,199 | 7,125,321 | ||||||
|
| |||||||
7,125,321 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 8.22% |
| |||||||
Industrivarden AB Class C | 165,029 | 3,274,469 | ||||||
Investor AB Class B | 332,142 | 13,202,702 | ||||||
Kinnevik AB Class B | 211,639 | 5,736,137 | ||||||
L E Lundbergforetagen AB Class B | 30,389 | 1,975,601 | ||||||
|
| |||||||
24,188,909 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.06% |
| |||||||
Telia Co. AB | 2,236,361 | 9,008,764 | ||||||
|
| |||||||
9,008,764 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
Hexagon AB Class B | 224,437 | 9,085,883 | ||||||
|
| |||||||
9,085,883 | ||||||||
FOOD & STAPLES RETAILING — 0.93% |
| |||||||
ICA Gruppen ABa | 84,087 | 2,737,467 | ||||||
|
| |||||||
2,737,467 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.14% |
| |||||||
Getinge AB Class B | 197,354 | 3,357,072 | ||||||
|
| |||||||
3,357,072 |
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 3.17% |
| |||||||
Electrolux AB Class B | 217,892 | $ | 5,791,905 | |||||
Husqvarna AB Class B | 412,995 | 3,546,999 | ||||||
|
| |||||||
9,338,904 | ||||||||
HOUSEHOLD PRODUCTS — 4.56% |
| |||||||
Svenska Cellulosa AB SCA Class B | 435,467 | 13,412,746 | ||||||
|
| |||||||
13,412,746 | ||||||||
MACHINERY — 22.30% |
| |||||||
Alfa Laval AB | 273,674 | 4,965,255 | ||||||
Atlas Copco AB Class A | 522,519 | 17,149,936 | ||||||
Atlas Copco AB Class B | 295,431 | 8,758,371 | ||||||
Sandvik AB | 902,346 | 12,303,466 | ||||||
SKF AB Class B | 351,428 | 6,707,617 | ||||||
Volvo AB Class B | 1,203,258 | 15,751,741 | ||||||
|
| |||||||
65,636,386 | ||||||||
METALS & MINING — 2.51% |
| |||||||
Boliden AB | 241,157 | 7,379,639 | ||||||
|
| |||||||
7,379,639 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.27% |
| |||||||
Lundin Petroleum ABb | 181,504 | 3,728,326 | ||||||
|
| |||||||
3,728,326 | ||||||||
SPECIALTY RETAIL — 6.68% |
| |||||||
Hennes & Mauritz AB Class B | 741,869 | 19,654,123 | ||||||
|
| |||||||
19,654,123 | ||||||||
TOBACCO — 1.80% |
| |||||||
Swedish Match AB | 170,008 | 5,308,119 | ||||||
|
| |||||||
5,308,119 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 2.35% |
| |||||||
Millicom International Cellular SA SDR | 66,285 | 3,624,745 | ||||||
Tele2 AB Class B | 367,019 | 3,290,691 | ||||||
|
| |||||||
6,915,436 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $341,897,341) |
| 293,640,130 | ||||||
SHORT-TERM INVESTMENTS — 0.98% |
| |||||||
MONEY MARKET FUNDS — 0.98% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 2,762,798 | 2,763,903 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWEDEN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 126,955 | $ | 126,955 | |||||
|
| |||||||
2,890,858 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,890,858) |
| 2,890,858 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $344,788,199)f |
| 296,530,988 | ||||||
Other Assets, Less Liabilities — (0.76)% |
| (2,240,132 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 294,290,856 | |||||
|
|
SDR — Swedish Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $348,488,621. Net unrealized depreciation was $51,957,633, of which $10,595,643 represented gross unrealized appreciation on securities and $62,553,276 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 293,640,130 | $ | — | $ | — | $ | 293,640,130 | ||||||||
Money market funds | 2,890,858 | — | — | 2,890,858 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 296,530,988 | $ | — | $ | — | $ | 296,530,988 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Austria Capped ETF | iShares MSCI Belgium | iShares MSCI France ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 116,694,313 | $ | 94,513,609 | $ | 376,439,811 | ||||||
Affiliated (Note 2) | 4,755,949 | 4,773,450 | 44,856 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 121,450,262 | $ | 99,287,059 | $ | 376,484,667 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 106,090,493 | $ | 83,025,738 | $ | 324,353,811 | ||||||
Affiliated (Note 2) | 4,756,907 | 4,774,566 | 44,856 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 110,847,400 | 87,800,304 | 324,398,667 | |||||||||
Foreign currency, at valueb | 60,336 | 22,484 | 213,842 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 6,429,269 | 244,052 | 439,869 | |||||||||
Dividends and interest | 5,288 | 4,930 | 30 | |||||||||
Tax reclaims | 413,480 | 87,512 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 117,755,773 | 88,159,282 | 325,052,408 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 6,438,417 | 173,040 | 274,628 | |||||||||
Collateral for securities on loan (Note 1) | 4,621,498 | 4,753,972 | — | |||||||||
Investment advisory fees (Note 2) | 34,939 | 30,603 | 121,417 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 11,094,854 | 4,957,615 | 396,045 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 106,660,919 | $ | 83,201,667 | $ | 324,656,363 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 196,929,021 | $ | 148,629,410 | $ | 440,598,861 | ||||||
Distributions in excess of net investment income | (206,878 | ) | (100,834 | ) | (70,592 | ) | ||||||
Accumulated net realized loss | (79,404,925 | ) | (53,834,563 | ) | (63,783,748 | ) | ||||||
Net unrealized depreciation | (10,656,299 | ) | (11,492,346 | ) | (52,088,158 | ) | ||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 106,660,919 | $ | 83,201,667 | $ | 324,656,363 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 6,100,000 | 4,640,000 | 13,000,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 17.49 | $ | 17.93 | $ | 24.97 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $4,408,751, $4,557,534 and $ —, respectively. See Note 1. |
b | Cost of foreign currency: $59,930, $22,551 and $215,751, respectively. |
c | $0.001 par value, number of shares authorized: 100 million, 136.2 million and 340.2 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 23 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Netherlands ETF | iShares MSCI Sweden | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 182,091,848 | $ | 341,897,341 | ||||
Affiliated (Note 2) | 4,920,292 | 2,890,858 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 187,012,140 | $ | 344,788,199 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 179,425,816 | $ | 293,640,130 | ||||
Affiliated (Note 2) | 4,921,663 | 2,890,858 | ||||||
|
|
|
| |||||
Total fair value of investments | 184,347,479 | 296,530,988 | ||||||
Foreign currency, at valueb | 48,570 | 101,052 | ||||||
Receivables: | ||||||||
Investment securities sold | 1,957,487 | 4,623,277 | ||||||
Dividends and interest | 180,042 | 1,460 | ||||||
Capital shares sold | 11,517 | — | ||||||
Tax reclaims | — | 178,739 | ||||||
Foreign withholding tax claims (Note 7) | — | 10,069,350 | ||||||
|
|
|
| |||||
Total Assets | 186,545,095 | 311,504,866 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 1,771,220 | 4,520,480 | ||||||
Collateral for securities on loan (Note 1) | 4,872,437 | 2,763,903 | ||||||
IRS compliance fee for foreign withholding tax claims (Note 7) | — | 8,773,929 | ||||||
Professional fees (Note 7) | — | 1,046,935 | ||||||
Investment advisory fees (Note 2) | 65,016 | 108,763 | ||||||
|
|
|
| |||||
Total Liabilities | 6,708,673 | 17,214,010 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 179,836,422 | $ | 294,290,856 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 231,624,312 | $ | 400,843,836 | ||||
Undistributed net investment income | 61,606 | 336,767 | ||||||
Accumulated net realized loss | (49,184,371 | ) | (58,075,147 | ) | ||||
Net unrealized depreciation | (2,665,125 | ) | (48,814,600 | ) | ||||
|
|
|
| |||||
NET ASSETS | $ | 179,836,422 | $ | 294,290,856 | ||||
|
|
|
| |||||
Shares outstandingc | 7,050,000 | 9,675,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 25.51 | $ | 30.42 | ||||
|
|
|
|
a | Securities on loan with values of $4,628,979 and $2,652,693, respectively. See Note 1. |
b | Cost of foreign currency: $48,391 and $99,131, respectively. |
c | $0.001 par value, number of shares authorized: 255 million and 63.6 million, respectively. |
See notes to financial statements.
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Austria | iShares MSCI Belgium | iShares MSCI France ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 226,714 | $ | 837,540 | $ | 1,449,036 | ||||||
Dividends — affiliated (Note 2) | 83 | 95 | 193 | |||||||||
Securities lending income — affiliated — net (Note 2) | 20,000 | 39,599 | 60,008 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 246,797 | 877,234 | 1,509,237 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 185,706 | 241,907 | 728,801 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 185,706 | 241,907 | 728,801 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 61,091 | 635,327 | 780,436 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (3,406,486 | ) | (849,377 | ) | (3,588,042 | ) | ||||||
Investments — affiliated (Note 2) | (56 | ) | 603 | 86 | ||||||||
In-kind redemptions — unaffiliated | 330,717 | (1,414,191 | ) | (2,371,499 | ) | |||||||
Foreign currency transactions | (5,844 | ) | (20,457 | ) | (15,810 | ) | ||||||
Realized gain distributions from affiliated funds | 2 | 1 | 1 | |||||||||
|
|
|
|
|
| |||||||
Net realized loss | (3,081,667 | ) | (2,283,421 | ) | (5,975,264 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 11,258,833 | 1,301,450 | 19,692,990 | |||||||||
Translation of assets and liabilities in foreign currencies | (14,525 | ) | (2,839 | ) | (3,727 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 11,244,308 | 1,298,611 | 19,689,263 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 8,162,641 | (984,810 | ) | 13,713,999 | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 8,223,732 | $ | (349,483 | ) | $ | 14,494,435 | |||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $29,644, $146,895 and $132,676, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 25 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Netherlands ETF | iShares MSCI Sweden | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 503,542 | $ | 880,689 | ||||
Dividends — affiliated (Note 2) | 200 | 181 | ||||||
Securities lending income — affiliated — net (Note 2) | 12,432 | 2,022 | ||||||
|
|
|
| |||||
Total investment income | 516,174 | 882,892 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 420,632 | 690,171 | ||||||
|
|
|
| |||||
Total expenses | 420,632 | 690,171 | ||||||
|
|
|
| |||||
Net investment income | 95,542 | 192,721 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (2,105,563 | ) | (7,408,675 | ) | ||||
Investments — affiliated (Note 2) | 289 | 160 | ||||||
In-kind redemptions — unaffiliated | 739,169 | 525,479 | ||||||
Foreign currency transactions | (13,081 | ) | (9,412 | ) | ||||
Realized gain distributions from affiliated funds | 3 | 4 | ||||||
|
|
|
| |||||
Net realized loss | (1,379,183 | ) | (6,892,444 | ) | ||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments | 8,369,808 | 24,551,147 | ||||||
Translation of assets and liabilities in foreign currencies | 7,086 | (455,294 | ) | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 8,376,894 | 24,095,853 | ||||||
|
|
|
| |||||
Net realized and unrealized gain | 6,997,711 | 17,203,409 | ||||||
|
|
|
| |||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 7,093,253 | $ | 17,396,130 | ||||
|
|
|
|
a | Net of foreign withholding tax of $82,133 and $13,431, respectively. |
See notes to financial statements.
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Austria Capped ETF | iShares MSCI Belgium Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 61,091 | $ | 1,511,969 | $ | 635,327 | $ | 3,586,837 | ||||||||
Net realized gain (loss) | (3,081,667 | ) | (3,384,444 | ) | (2,283,421 | ) | 1,193,969 | |||||||||
Net change in unrealized appreciation/depreciation | 11,244,308 | 1,994,024 | 1,298,611 | (1,399,047 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 8,223,732 | 121,549 | (349,483 | ) | 3,381,759 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (252,554 | ) | (1,345,976 | ) | (786,324 | ) | (3,766,140 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (252,554 | ) | (1,345,976 | ) | (786,324 | ) | (3,766,140 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 41,137,003 | 48,261,666 | 11,594,603 | 307,240,550 | ||||||||||||
Cost of shares redeemed | (3,227,706 | ) | (42,386,794 | ) | (59,459,705 | ) | (328,312,366 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 37,909,297 | 5,874,872 | (47,865,102 | ) | (21,071,816 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 45,880,475 | 4,650,445 | (49,000,909 | ) | (21,456,197 | ) | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 60,780,444 | 56,129,999 | 132,202,576 | 153,658,773 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 106,660,919 | $ | 60,780,444 | $ | 83,201,667 | $ | 132,202,576 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (206,878 | ) | $ | (15,415 | ) | $ | (100,834 | ) | $ | 50,163 | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,400,000 | 3,100,000 | 640,000 | 17,280,000 | ||||||||||||
Shares redeemed | (200,000 | ) | (2,800,000 | ) | (3,280,000 | ) | (19,040,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 2,200,000 | 300,000 | (2,640,000 | ) | (1,760,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI France ETF | iShares MSCI Netherlands ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 780,436 | $ | 10,101,361 | $ | 95,542 | $ | 5,525,960 | ||||||||
Net realized loss | (5,975,264 | ) | (5,468,375 | ) | (1,379,183 | ) | (9,005,653 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 19,689,263 | (10,982,251 | ) | 8,376,894 | 10,379,782 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 14,494,435 | (6,349,265 | ) | 7,093,253 | 6,900,089 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,032,276 | ) | (10,111,706 | ) | (2,132,969 | ) | (4,368,474 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,032,276 | ) | (10,111,706 | ) | (2,132,969 | ) | (4,368,474 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 39,378,685 | 117,552,844 | 3,826,312 | 108,170,576 | ||||||||||||
Cost of shares redeemed | (57,238,136 | ) | (122,177,212 | ) | (13,537,091 | ) | (102,397,515 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (17,859,451 | ) | (4,624,368 | ) | (9,710,779 | ) | 5,773,061 | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (4,397,292 | ) | (21,085,339 | ) | (4,750,495 | ) | 8,304,676 | |||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 329,053,655 | 350,138,994 | 184,586,917 | 176,282,241 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 324,656,363 | $ | 329,053,655 | $ | 179,836,422 | $ | 184,586,917 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (70,592 | ) | $ | 181,248 | $ | 61,606 | $ | 2,099,033 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,600,000 | 4,800,000 | 150,000 | 4,550,000 | ||||||||||||
Shares redeemed | (2,400,000 | ) | (5,000,000 | ) | (550,000 | ) | (4,300,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (800,000 | ) | (200,000 | ) | (400,000 | ) | 250,000 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Sweden Capped ETF | ||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 192,721 | $ | 11,883,219 | ||||
Net realized loss | (6,892,444 | ) | (9,199,802 | ) | ||||
Net change in unrealized appreciation/depreciation | 24,095,853 | (13,928,238 | ) | |||||
|
|
|
| |||||
Net increase (decrease) in net assets resulting from operations | 17,396,130 | (11,244,821 | ) | |||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (46,579 | ) | (12,154,414 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (46,579 | ) | (12,154,414 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 32,807,408 | 49,435,762 | ||||||
Cost of shares redeemed | (40,574,851 | ) | (72,714,714 | ) | ||||
|
|
|
| |||||
Net decrease in net assets from capital share transactions | (7,767,443 | ) | (23,278,952 | ) | ||||
|
|
|
| |||||
INCREASE (DECREASE) IN NET ASSETS | 9,582,108 | (46,678,187 | ) | |||||
NET ASSETS | ||||||||
Beginning of period | 284,708,748 | 331,386,935 | ||||||
|
|
|
| |||||
End of period | $ | 294,290,856 | $ | 284,708,748 | ||||
|
|
|
| |||||
Undistributed net investment income included in net assets at end of period | $ | 336,767 | $ | 190,625 | ||||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 1,125,000 | 1,650,000 | ||||||
Shares redeemed | (1,425,000 | ) | (2,625,000 | ) | ||||
|
|
|
| |||||
Net decrease in shares outstanding | (300,000 | ) | (975,000 | ) | ||||
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Austria Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 15.58 | $ | 15.59 | $ | 17.55 | $ | 17.87 | $ | 14.53 | $ | 18.76 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.01 | 0.38 | 0.25 | 0.52 | 0.32 | 0.35 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.96 | (0.06 | ) | (1.96 | ) | (0.18 | ) | 3.36 | (4.09 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.97 | 0.32 | (1.71 | ) | 0.34 | 3.68 | (3.74 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.06 | ) | (0.33 | ) | (0.25 | ) | (0.66 | ) | (0.34 | ) | (0.49 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.06 | ) | (0.33 | ) | (0.25 | ) | (0.66 | ) | (0.34 | ) | (0.49 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 17.49 | $ | 15.58 | $ | 15.59 | $ | 17.55 | $ | 17.87 | $ | 14.53 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 12.64 | %c | 2.11 | % | (9.76 | )% | 1.56 | % | 25.49 | % | (19.81 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 106,661 | $ | 60,780 | $ | 56,130 | $ | 63,170 | $ | 82,223 | $ | 53,757 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.52 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.16 | % | 2.47 | % | 1.54 | % | 2.64 | % | 1.82 | % | 2.32 | % | ||||||||||||
Portfolio turnover ratee | 13 | %c | 15 | % | 18 | % | 30 | % | 26 | % | 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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Belgium Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 18.16 | $ | 17.00 | $ | 17.02 | $ | 14.36 | $ | 11.97 | $ | 12.60 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.11 | 0.34 | 0.34 | 0.32 | 0.42 | 0.38 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (0.18 | ) | 1.05 | (0.00 | )c | 2.95 | 2.36 | (0.33 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (0.07 | ) | 1.39 | 0.34 | 3.27 | 2.78 | 0.05 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.16 | ) | (0.23 | ) | (0.36 | ) | (0.61 | ) | (0.39 | ) | (0.67 | ) | ||||||||||||
Return of capital | — | — | — | — | — | (0.01 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.16 | ) | (0.23 | ) | (0.36 | ) | (0.61 | ) | (0.39 | ) | (0.68 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 17.93 | $ | 18.16 | $ | 17.00 | $ | 17.02 | $ | 14.36 | $ | 11.97 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (0.36 | )%d | 8.20 | % | 1.95 | % | 23.05 | % | 23.43 | % | 1.11 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 83,202 | $ | 132,203 | $ | 153,659 | $ | 164,765 | $ | 71,216 | $ | 25,386 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.29 | % | 1.92 | % | 2.01 | % | 1.90 | % | 3.01 | % | 3.35 | % | ||||||||||||
Portfolio turnover ratef | 4 | %d | 19 | % | 7 | % | 13 | % | 24 | % | 19 | % |
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 | Rounds to less than $0.01. |
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 | 31 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI France ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 23.84 | $ | 25.01 | $ | 27.64 | $ | 24.85 | $ | 20.70 | $ | 22.60 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.06 | 0.67 | 0.74 | 0.66 | 0.69 | 0.59 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.16 | (1.14 | ) | (2.69 | ) | 2.86 | 4.14 | (1.80 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.22 | (0.47 | ) | (1.95 | ) | 3.52 | 4.83 | (1.21 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.09 | ) | (0.70 | ) | (0.68 | ) | (0.73 | ) | (0.68 | ) | (0.69 | ) | ||||||||||||
Return of capital | — | — | — | — | — | (0.00 | )c | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.09 | ) | (0.70 | ) | (0.68 | ) | (0.73 | ) | (0.68 | ) | (0.69 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 24.97 | $ | 23.84 | $ | 25.01 | $ | 27.64 | $ | 24.85 | $ | 20.70 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.12 | %d | (1.87 | )% | (7.17 | )% | 14.07 | % | 23.56 | % | (5.05 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 324,656 | $ | 329,054 | $ | 350,139 | $ | 281,923 | $ | 526,839 | $ | 401,626 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.53 | % | 2.77 | % | 2.85 | % | 2.36 | % | 2.94 | % | 2.91 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 6 | % | 6 | % | 6 | % | 5 | % | 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 | Rounds to less than $0.01. |
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.
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Netherlands ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 24.78 | $ | 24.48 | $ | 24.64 | $ | 22.52 | $ | 18.23 | $ | 18.45 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.01 | 0.71 | 0.50 | 0.45 | 0.44 | 0.39 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.03 | 0.08 | (0.27 | ) | 2.22 | 4.19 | (0.08 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.04 | 0.79 | 0.23 | 2.67 | 4.63 | 0.31 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.31 | ) | (0.49 | ) | (0.39 | ) | (0.55 | ) | (0.34 | ) | (0.53 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.31 | ) | (0.49 | ) | (0.39 | ) | (0.55 | ) | (0.34 | ) | (0.53 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 25.51 | $ | 24.78 | $ | 24.48 | $ | 24.64 | $ | 22.52 | $ | 18.23 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 4.27 | %c | 3.32 | % | 0.87 | % | 11.80 | % | 25.57 | % | 1.96 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 179,836 | $ | 184,587 | $ | 176,282 | $ | 165,092 | $ | 253,390 | $ | 78,397 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.11 | % | 2.97 | % | 2.01 | % | 1.78 | % | 2.09 | % | 2.21 | % | ||||||||||||
Portfolio turnover ratee | 4 | %c | 24 | % | 6 | % | 7 | % | 11 | % | 10 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 33 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Sweden Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 28.54 | $ | 30.26 | $ | 34.11 | $ | 31.97 | $ | 27.32 | $ | 26.82 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.02 | 1.05 | 1.30 | b | 1.04 | 0.97 | 0.83 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 1.86 | (1.63 | ) | (3.75 | ) | 2.33 | 4.70 | 0.58 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.88 | (0.58 | ) | (2.45 | ) | 3.37 | 5.67 | 1.41 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.00 | )d | (1.14 | ) | (1.40 | ) | (1.23 | ) | (1.02 | ) | (0.86 | ) | ||||||||||||
Return of capital | — | — | — | — | — | (0.05 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | — | (1.14 | ) | (1.40 | ) | (1.23 | ) | (1.02 | ) | (0.91 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 30.42 | $ | 28.54 | $ | 30.26 | $ | 34.11 | $ | 31.97 | $ | 27.32 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.61 | %e | (1.91 | )% | (7.46 | )%b | 10.49 | % | 21.02 | % | 5.57 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 294,291 | $ | 284,709 | $ | 331,387 | $ | 404,256 | $ | 434,006 | $ | 370,832 | ||||||||||||
Ratio of expenses to average net assetsf | 0.49 | % | 0.48 | % | 0.92 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claimsf (Note 7) | n/a | n/a | 0.48 | % | n/a | n/a | n/a | |||||||||||||||||
Ratio of net investment income to average net assetsf | 0.14 | % | 3.65 | % | 3.97 | %b | 2.97 | % | 3.13 | % | 3.17 | % | ||||||||||||
Portfolio turnover rateg | 5 | %e | 7 | % | 4 | % | 7 | % | 7 | % | 7 | % |
a | Based on average shares outstanding throughout each period. |
b | Reflects the one-time, positive effect of foreign withholding tax claims, net of the associated IRS compliance fees and professional fees (See Note 7), which resulted in the following increases: |
• | Net investment income per share by $0.42 |
• | Total return by 1.14% |
• | Ratio of net investment income to average net assets by 1.31% |
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 | 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.
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
MSCI Austria Capped | Non-diversified | |
MSCI Belgium Capped | Non-diversified | |
MSCI France | Non-diversified | |
MSCI Netherlands | Non-diversified | |
MSCI Sweden Cappeda | Non-diversified |
a | Formerly the iShares MSCI Sweden ETF. |
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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
NOTESTO FINANCIAL STATEMENTS | 35 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
• | Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”). |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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 Company’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.
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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
NOTESTO FINANCIAL STATEMENTS | 37 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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.
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Austria Capped | ||||||||||||
Barclays Capital Inc. | $ | 52,223 | $ | 52,223 | $ | — | ||||||
Citigroup Global Markets Inc. | 45,954 | 45,954 | — | |||||||||
Goldman Sachs & Co. | 162,850 | 162,850 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,519,466 | 1,519,466 | — | |||||||||
Morgan Stanley & Co. LLC | 1,487,742 | 1,487,742 | — | |||||||||
UBS AG | 904,317 | 904,317 | — | |||||||||
UBS Securities LLC | 236,199 | 236,199 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 4,408,751 | $ | 4,408,751 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Belgium Capped | ||||||||||||
Citigroup Global Markets Inc. | $ | 517,022 | $ | 517,022 | $ | — | ||||||
Deutsche Bank Securities Inc. | 407,827 | 407,827 | — | |||||||||
Goldman Sachs & Co. | 479,295 | 479,295 | — | |||||||||
JPMorgan Securities LLC | 974,971 | 974,971 | — | |||||||||
Morgan Stanley & Co. LLC | 2,050,244 | 2,050,244 | — | |||||||||
UBS AG | 128,175 | 128,175 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 4,557,534 | $ | 4,557,534 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Netherlands | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 2,979,274 | $ | 2,979,274 | $ | — | ||||||
HSBC Bank PLC | 256,178 | 256,178 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,036,330 | 1,036,330 | — | |||||||||
State Street Bank & Trust Company | 1,853 | 1,853 | — | |||||||||
UBS AG | 355,344 | 355,344 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 4,628,979 | $ | 4,628,979 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Sweden Capped | ||||||||||||
Morgan Stanley & Co. LLC | $ | 2,652,693 | $ | 2,652,693 | $ | — | ||||||
|
|
|
|
|
| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each 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 Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
NOTESTO FINANCIAL STATEMENTS | 39 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For its investment advisory services to each Fund, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.59 | % | First $7 billion | |||
0.54 | Over $7 billion, up to and including $11 billion | ||||
0.49 | Over $11 billion, up to and including $24 billion | ||||
0.44 | Over $24 billion, up to and including $48 billion | ||||
0.40 | Over $48 billion, up to and including $72 billion | ||||
0.36 | Over $72 billion |
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Austria Capped | $ | 4,854 | ||
MSCI Belgium Capped | 8,683 | |||
MSCI France | 10,672 | |||
MSCI Netherlands | 3,093 | |||
MSCI Sweden Capped | 531 |
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.
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.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Austria Capped | $ | — | $ | 352,852 | ||||
MSCI Belgium Capped | 2,805,359 | 170,454 | ||||||
MSCI France | 1,249,694 | 1,520,057 | ||||||
MSCI Netherlands | 493,789 | 3,882,793 | ||||||
MSCI Sweden Capped | 5,275,834 | 5,404,741 |
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 directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Austria Capped | $ | 10,002,168 | $ | 10,040,327 | ||||
MSCI Belgium Capped | 3,883,909 | 4,053,597 | ||||||
MSCI France | 7,309,599 | 7,515,480 | ||||||
MSCI Netherlands | 6,518,737 | 8,421,064 | ||||||
MSCI Sweden Capped | 14,771,479 | 15,053,027 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Austria Capped | $ | 40,874,862 | $ | 3,204,268 | ||||
MSCI Belgium Capped | 11,446,571 | 59,219,742 | ||||||
MSCI France | 38,715,264 | 56,743,941 | ||||||
MSCI Netherlands | 3,814,796 | 13,514,591 | ||||||
MSCI Sweden Capped | 32,695,240 | 40,475,192 |
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.
NOTESTO FINANCIAL STATEMENTS | 41 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The consideration for the purchase of Creation Units of a fund in the Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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. | 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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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 a 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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
When a fund concentrates its investments in issuers located in a single country, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance.
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.
6. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, the 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 | Expiring 2019 | Total | |||||||||||||||
MSCI Austria Capped | $ | 32,264,922 | $ | 7,102,366 | $ | 16,657,011 | $ | 13,826,937 | $ | 69,851,236 | ||||||||||
MSCI Belgium Capped | 12,888,603 | 5,953,120 | 10,826,174 | 19,023,517 | 48,691,414 | |||||||||||||||
MSCI France | 26,988,853 | 3,408,374 | 7,008,530 | 2,858,814 | 40,264,571 | |||||||||||||||
MSCI Netherlands | 10,460,395 | 5,819,153 | 22,256,170 | 2,329,005 | 40,864,723 | |||||||||||||||
MSCI Sweden Capped | 14,620,306 | 13,686,746 | 8,483,510 | 5,244,977 | 42,035,539 |
a | Must be utilized prior to losses subject to expiration. |
NOTESTO FINANCIAL STATEMENTS | 43 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
7. | FOREIGN WITHHOLDING TAX CLAIMS |
The iShares MSCI Sweden Capped ETF has filed claims to recover taxes withheld by Sweden on dividend income on the basis that Sweden had purportedly violated certain provisions in the Treaty on the Functioning of the European Union. The Fund has recorded a receivable for all recoverable taxes withheld by Sweden based upon favorable determinations issued by the Swedish Tax Authority. The Fund continues to evaluate developments in Sweden for potential impacts to the receivables recorded. Swedish tax claims receivable are disclosed in the statement of assets and liabilities. Professional fees associated with the filing of tax claims in Sweden resulting in the recovery of foreign withholding taxes were approved by the Board as appropriate expenses of the Fund.
The Fund, under the approval of the Board, is seeking a closing agreement with the Internal Revenue Service (“IRS”) to address any prior years’ U.S. income tax liabilities attributable to Fund shareholders resulting from the recovery of foreign taxes. The closing agreement would result in the Fund paying a compliance fee to the IRS, on behalf of its shareholders, representing the estimated tax savings generated from foreign tax credits claimed by Fund shareholders on their tax returns in prior years. The Fund has accrued a liability for the estimated IRS compliance fee related to foreign withholding tax claims, which is disclosed in the statement of assets and liabilities. The actual IRS compliance fee may differ from the estimate and that difference may be material.
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.
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
iShares ETF | Net Investment Income | Net Realized Capital Gains | Return Capital | Total per Share | Net Investment | Net Realized Gains | Return of Capital | Total per Share | ||||||||||||||||||||||||
MSCI Austria Capped | $ | 0.019598 | $ | — | $ | 0.036525 | $ | 0.056123 | 35 | % | — | % | 65 | % | 100 | % | ||||||||||||||||
MSCI Belgium Capped | 0.155967 | — | 0.002566 | 0.158533 | 98 | — | 2 | 100 | ||||||||||||||||||||||||
MSCI France | 0.067131 | — | 0.020350 | 0.087481 | 77 | — | 23 | 100 |
SUPPLEMENTAL INFORMATION | 45 |
Table of Contents
Notes:
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-802-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Eurozone ETF | EZU | BATS |
Ø | iShares MSCI Germany ETF | EWG | NYSE Arca |
Ø | iShares MSCI Italy Capped ETF | EWI | NYSE Arca |
Ø | iShares MSCI Spain Capped ETF | EWP | NYSE Arca |
Ø | iShares MSCI Switzerland Capped ETF | EWL | NYSE Arca |
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5 | ||||
10 | ||||
10 | ||||
11 | ||||
11 | ||||
15 | ||||
18 | ||||
20 | ||||
22 | ||||
24 | ||||
31 | ||||
36 | ||||
47 |
Table of Contents
iSHARES® MSCI EUROZONE ETF
Performance as of February 28, 2017
The iShares MSCI Eurozone ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization equities from developed market countries that use the euro as their official currency, as represented by the MSCI EMU Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 4.54%, net of fees, while the total return for the Index was 4.74%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 14.11% | 14.45% | 14.20% | 14.11% | 14.45% | 14.20% | ||||||||||||||||||||||
5 Years | 5.18% | 5.20% | 5.28% | 28.72% | 28.83% | 29.33% | ||||||||||||||||||||||
10 Years | (0.67)% | (0.71)% | (0.58)% | (6.50)% | (6.89)% | (5.61)% |
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,045.40 | $ | 2.49 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 19.13 | % | ||
Industrials | 15.26 | |||
Consumer Discretionary | 13.94 | |||
Consumer Staples | 10.92 | |||
Materials | 8.60 | |||
Health Care | 8.04 | |||
Information Technology | 7.68 | |||
Energy | 5.55 | |||
Telecommunication Services | 4.57 | |||
Utilities | 4.50 | |||
Real Estate | 1.81 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
France | 32.27 | % | ||
Germany | 30.33 | |||
Netherlands | 10.81 | |||
Spain | 10.16 | |||
Italy | 6.68 | |||
Belgium | 3.79 | |||
Finland | 3.12 | |||
Ireland | 1.50 | |||
Austria | 0.67 | |||
Portugal | 0.47 | |||
|
| |||
TOTAL | 99.80 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GERMANY ETF
Performance as of February 28, 2017
The iShares MSCI Germany ETF (the “Fund”) seeks to track the investment results of an index composed of German equities, as represented by the MSCI Germany Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.50%, net of fees, while the total return for the Index was 5.71%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 20.03% | 20.61% | 20.18% | 20.03% | 20.61% | 20.18% | ||||||||||||||||||||||
5 Years | 5.97% | 5.99% | 6.12% | 33.60% | 33.74% | 34.57% | ||||||||||||||||||||||
10 Years | 2.40% | 2.34% | 2.52% | 26.81% | 25.99% | 28.24% |
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,055.00 | $ | 2.50 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Discretionary | 19.08 | % | ||
Materials | 14.58 | |||
Financials | 14.38 | |||
Industrials | 14.21 | |||
Health Care | 13.80 | |||
Information Technology | 9.96 | |||
Telecommunication Services | 5.11 | |||
Consumer Staples | 4.11 | |||
Real Estate | 2.42 | |||
Utilities | 2.35 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Siemens AG Registered | 8.49 | % | ||
SAP SE | 7.81 | |||
Bayer AG Registered | 7.76 | |||
BASF SE | 7.30 | |||
Allianz SE Registered | 6.78 | |||
Daimler AG Registered | 5.97 | |||
Deutsche Telekom AG Registered | 4.83 | |||
Deutsche Post AG Registered | 2.84 | |||
Fresenius SE & Co. KGaA | 2.78 | |||
adidas AG | 2.69 | |||
|
| |||
TOTAL | 57.25 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI ITALY CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Italy Capped ETF (the “Fund”) seeks to track the investment results of an index composed of Italian equities, as represented by the MSCI Italy 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.84%, net of fees, while the total return for the Index was 6.03%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 7.99% | 8.82% | 8.15% | 7.99% | 8.82% | 8.15% | ||||||||||||||||||||||
5 Years | 0.18% | 0.18% | 0.16% | 0.93% | 0.89% | 0.78% | ||||||||||||||||||||||
10 Years | (6.72)% | (6.76)% | (6.71)% | (50.11)% | (50.31)% | (50.07)% |
Index performance through February 11, 2013 reflects the performance of the MSCI Italy Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Italy 25/50 Index.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,058.40 | $ | 2.50 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 32.24 | % | ||
Energy | 22.69 | |||
Utilities | 14.79 | |||
Industrials | 13.69 | |||
Consumer Discretionary | 12.07 | |||
Telecommunication Services | 4.52 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Eni SpA | 13.99 | % | ||
Enel SpA | 11.50 | |||
Intesa Sanpaolo SpA | 10.27 | |||
UniCredit SpA | 8.62 | |||
Snam SpA | 4.37 | |||
Atlantia SpA | 4.35 | |||
Fiat Chrysler Automobiles NV | 4.30 | |||
CNH Industrial NV | 4.25 | |||
Assicurazioni Generali SpA | 4.18 | |||
Luxottica Group SpA | 4.07 | |||
|
| |||
TOTAL | 69.90 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SPAIN CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Spain Capped ETF (the “Fund”) seeks to track the investment results of an index composed of Spanish equities, as represented by the MSCI Spain 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.22%, net of fees, while the total return for the Index was 6.43%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 13.74% | 14.29% | 14.17% | 13.74% | 14.29% | 14.17% | ||||||||||||||||||||||
5 Years | 1.59% | 1.57% | 1.98% | 8.23% | 8.12% | 10.30% | ||||||||||||||||||||||
10 Years | (1.97)% | (2.01)% | (2.09)% | (18.05)% | (18.38)% | (19.02)% |
Index performance through February 11, 2013 reflects the performance of the MSCI Spain Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Spain 25/50 Index.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,062.20 | $ | 2.51 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 40.97 | % | ||
Industrials | 15.01 | |||
Utilities | 11.66 | |||
Telecommunication Services | 10.14 | |||
Consumer Discretionary | 7.36 | |||
Energy | 6.32 | |||
Information Technology | 4.52 | |||
Health Care | 2.36 | |||
Consumer Staples | 1.66 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Banco Santander SA | 18.33 | % | ||
Telefonica SA | 10.14 | |||
Banco Bilbao Vizcaya Argentaria SA | 9.24 | |||
Industria de Diseno Textil SA | 7.36 | |||
Iberdrola SA | 4.72 | |||
Repsol SA | 4.69 | |||
Amadeus IT Holding SA Class A | 4.52 | |||
CaixaBank SA | 3.95 | |||
Abertis Infraestructuras SA | 3.23 | |||
Aena SA | 3.22 | |||
|
| |||
TOTAL | 69.40 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SWITZERLAND CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Switzerland Capped ETF (the “Fund”) seeks to track the investment results of an index composed of Swiss equities, as represented by the MSCI Switzerland 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 3.21%, net of fees, while the total return for the Index was 3.50%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 12.17% | 12.63% | 12.54% | 12.17% | 12.63% | 12.54% | ||||||||||||||||||||||
5 Years | 7.55% | 7.56% | 7.79% | 43.92% | 43.97% | 45.53% | ||||||||||||||||||||||
10 Years | 4.43% | 4.35% | 4.15% | 54.28% | 53.08% | 50.17% |
Index performance through February 11, 2013 reflects the performance of the MSCI Switzerland Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Switzerland 25/50 Index.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,032.10 | $ | 2.47 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Health Care | 31.63 | % | ||
Consumer Staples | 20.99 | |||
Financials | 18.39 | |||
Industrials | 10.80 | |||
Materials | 10.13 | |||
Consumer Discretionary | 6.04 | |||
Telecommunication Services | 1.23 | |||
Real Estate | 0.79 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Nestle SA Registered | 18.50 | % | ||
Novartis AG Registered | 13.48 | |||
Roche Holding AG | 13.23 | |||
UBS Group AG | 4.45 | |||
ABB Ltd. Registered | 4.06 | |||
Zurich Insurance Group AG | 3.88 | |||
Syngenta AG Registered | 3.83 | |||
Cie. Financiere Richemont SA Class A Registered | 3.62 | |||
Swiss Re AG | 2.82 | |||
Actelion Ltd. Registered | 2.59 | |||
|
| |||
TOTAL | 70.46 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 97.77% |
| |||||||
AUSTRIA — 0.66% |
| |||||||
Andritz AG | 146,220 | $ | 7,661,460 | |||||
Erste Group Bank AG | 601,390 | 17,547,954 | ||||||
IMMOEAST AG Escrowa | 105,078 | 1 | ||||||
IMMOFINANZ AG Escrowa | 68,575 | 1 | ||||||
OMV AG | 297,643 | 11,404,892 | ||||||
Raiffeisen Bank International AGa | 234,744 | 5,228,240 | ||||||
Voestalpine AG | 228,005 | 9,624,497 | ||||||
|
| |||||||
51,467,045 | ||||||||
BELGIUM — 3.78% | ||||||||
Ageas | 390,592 | 14,875,142 | ||||||
Anheuser-Busch InBev SA/NV | 1,521,667 | 166,947,318 | ||||||
Colruyt SA | 135,297 | 6,364,546 | ||||||
Groupe Bruxelles Lambert SA | 161,618 | 13,740,539 | ||||||
KBC Group NV | 501,313 | 30,757,817 | ||||||
Proximus SADP | 304,518 | 8,980,985 | ||||||
Solvay SA | 148,519 | 17,351,899 | ||||||
Telenet Group Holding NVa | 105,984 | 6,007,075 | ||||||
UCB SA | 252,396 | 18,025,451 | ||||||
Umicore SA | 191,227 | 10,101,978 | ||||||
|
| |||||||
293,152,750 | ||||||||
FINLAND — 3.11% | ||||||||
Elisa OYJ | 284,999 | 9,530,372 | ||||||
Fortum OYJ | 886,634 | 13,651,568 | ||||||
Kone OYJ Class B | 672,590 | 30,202,971 | ||||||
Metso OYJ | 226,812 | 6,721,780 | ||||||
Neste OYJ | 257,269 | 8,988,537 | ||||||
Nokia OYJ | 11,655,142 | 59,917,433 | ||||||
Nokian Renkaat OYJ | 231,357 | 9,128,036 | ||||||
Orion OYJ Class B | 205,765 | 10,175,778 | ||||||
Sampo OYJ Class A | 892,571 | 40,792,656 | ||||||
Stora Enso OYJ Class R | 1,102,756 | 11,881,934 | ||||||
UPM-Kymmene OYJ | 1,067,255 | 25,437,079 | ||||||
Wartsila OYJ Abp | 295,491 | 15,237,872 | ||||||
|
| |||||||
241,666,016 | ||||||||
FRANCE — 32.17% | ||||||||
Accor SA | 342,605 | 13,560,938 | ||||||
Aeroports de Paris | 60,283 | 6,854,068 | ||||||
Air Liquide SA | 777,263 | 84,161,205 | ||||||
Airbus SE | 1,156,764 | 85,206,570 | ||||||
Alstom SAa | 307,292 | 8,367,291 | ||||||
ArcelorMittala | 3,669,875 | 32,405,749 | ||||||
Arkema SA | 134,654 | 13,092,124 |
Security | Shares | Value | ||||||
Atos SE | 177,947 | $ | 21,083,141 | |||||
AXA SA | 3,877,568 | 91,759,155 | ||||||
BNP Paribas SA | 2,116,685 | 123,997,803 | ||||||
Bollore SA | 1,724,948 | 6,706,689 | ||||||
Bouygues SA | 412,746 | 15,951,295 | ||||||
Bureau Veritas SA | 535,186 | 10,242,081 | ||||||
Capgemini SA | 326,530 | 27,997,069 | ||||||
Carrefour SA | 1,132,781 | 27,131,239 | ||||||
Casino Guichard Perrachon SA | 112,198 | 5,950,945 | ||||||
Christian Dior SE | 108,985 | 23,149,909 | ||||||
Cie. de Saint-Gobain | 998,708 | 47,999,298 | ||||||
Cie. Generale des Etablissements Michelin Class B | 364,756 | 41,103,886 | ||||||
CNP Assurances | 338,533 | 6,289,794 | ||||||
Credit Agricole SA | 2,248,947 | 27,230,983 | ||||||
Danone SA | 1,178,595 | 78,348,574 | ||||||
Dassault Aviation SA | 4,494 | 5,104,583 | ||||||
Dassault Systemes SE | 257,101 | 20,825,692 | ||||||
Edenred | 418,431 | 9,497,184 | ||||||
Eiffage SA | 115,763 | 8,293,317 | ||||||
Electricite de France SA | 523,355 | 5,144,082 | ||||||
Engie SA | 3,162,875 | 38,784,447 | ||||||
Essilor International SA | 414,467 | 47,630,621 | ||||||
Eurazeo SA | 81,829 | 5,069,272 | ||||||
Eurofins Scientific SE | 21,762 | 9,326,030 | ||||||
Eutelsat Communications SA | 347,625 | 6,853,963 | ||||||
Fonciere des Regions | 66,343 | 5,478,249 | ||||||
Gecina SA | 81,527 | 10,404,333 | ||||||
Groupe Eurotunnel SE Registered | 938,678 | 8,777,464 | ||||||
Hermes International | 52,883 | 23,146,090 | ||||||
ICADE | 72,612 | 5,192,700 | ||||||
Iliad SA | 52,798 | 10,965,360 | ||||||
Imerys SA | 71,698 | 5,806,919 | ||||||
Ingenico Group SA | 109,984 | 9,896,466 | ||||||
JCDecaux SA | 151,161 | 4,842,803 | ||||||
Kering | 151,630 | 37,017,784 | ||||||
Klepierre | 441,772 | 16,460,453 | ||||||
L’Oreal SA | 503,654 | 93,951,320 | ||||||
Lagardere SCA | 239,030 | 6,029,800 | ||||||
Legrand SA | 535,098 | 30,260,630 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 557,589 | 112,247,990 | ||||||
Natixis SA | 1,879,117 | 10,285,257 |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2017
Security | Shares | Value | ||||||
Orange SA | 3,988,207 | $ | 60,453,191 | |||||
Pernod Ricard SA | 424,322 | 48,650,438 | ||||||
Peugeot SAa | 968,668 | 18,486,345 | ||||||
Publicis Groupe SA | 382,769 | 25,880,249 | ||||||
Remy Cointreau SA | 44,274 | 3,944,769 | ||||||
Renault SA | 384,228 | 34,177,171 | ||||||
Rexel SA | 606,830 | 9,843,139 | ||||||
Safran SA | 625,366 | 44,628,749 | ||||||
Sanofi | 2,318,242 | 200,345,368 | ||||||
Schneider Electric SE | 1,123,841 | 76,297,011 | ||||||
SCOR SE | 324,453 | 11,752,995 | ||||||
SEB SA | 44,678 | 5,903,496 | ||||||
SES SA | 725,862 | 14,859,111 | ||||||
SFR Group SAa | 178,202 | 5,207,329 | ||||||
Societe BIC SA | 58,219 | 7,222,564 | ||||||
Societe Generale SA | 1,532,568 | 68,250,711 | ||||||
Sodexo SA | 185,453 | 20,405,805 | ||||||
STMicroelectronics NV | 1,273,294 | 19,483,230 | ||||||
Suez | 658,763 | 9,908,521 | ||||||
Thales SA | 212,214 | 20,971,367 | ||||||
Total SA | 4,534,971 | 226,727,347 | ||||||
Unibail-Rodamco SE | 198,827 | 45,497,758 | ||||||
Valeo SA | 477,394 | 29,427,244 | ||||||
Veolia Environnement SA | 953,911 | 15,660,517 | ||||||
Vinci SA | 1,011,550 | 73,102,107 | ||||||
Vivendi SA | 2,057,087 | 36,405,505 | ||||||
Wendel SA | 57,602 | 6,393,163 | ||||||
Zodiac Aerospace | 406,896 | 11,987,393 | ||||||
|
| |||||||
2,497,755,208 | ||||||||
GERMANY — 28.48% |
| |||||||
adidas AG | 375,802 | 63,253,422 | ||||||
Allianz SE Registered | 912,065 | 159,136,099 | ||||||
Axel Springer SE | 86,313 | 4,527,111 | ||||||
BASF SE | 1,833,693 | 171,271,565 | ||||||
Bayer AG Registered | 1,650,886 | 182,089,206 | ||||||
Bayerische Motoren Werke AG | 659,925 | 59,163,301 | ||||||
Beiersdorf AG | 200,493 | 18,347,335 | ||||||
Brenntag AG | 309,466 | 17,796,742 | ||||||
Commerzbank AG | 2,121,559 | 16,233,706 | ||||||
Continental AG | 219,550 | 44,675,764 | ||||||
Covestro AGb | 141,532 | 10,688,351 | ||||||
Daimler AG Registered | 1,922,245 | 140,202,507 | ||||||
Deutsche Bank AG Registereda | 2,751,776 | 54,387,086 | ||||||
Deutsche Boerse AGa | 385,639 | 33,151,198 | ||||||
Deutsche Lufthansa AG Registeredc | 491,512 | 7,223,141 |
Security | Shares | Value | ||||||
Deutsche Post AG Registered | 1,937,508 | $ | 66,653,513 | |||||
Deutsche Telekom AG Registered | 6,535,381 | 113,264,715 | ||||||
Deutsche Wohnen AG Bearer | 703,462 | 24,237,643 | ||||||
E.ON SE | 3,997,589 | 31,119,658 | ||||||
Evonik Industries AG | 324,473 | 10,450,433 | ||||||
Fraport AG Frankfurt Airport Services Worldwide | 83,586 | 5,250,060 | ||||||
Fresenius Medical Care AG & Co. KGaA | 428,895 | 35,798,674 | ||||||
Fresenius SE & Co. KGaA | 818,906 | 65,280,110 | ||||||
GEA Group AG | 365,899 | 14,284,668 | ||||||
Hannover Rueck SE | 120,344 | 13,631,744 | ||||||
HeidelbergCement AG | 296,475 | 27,789,176 | ||||||
Henkel AG & Co. KGaA | 206,942 | 22,374,473 | ||||||
HOCHTIEF AG | 39,396 | 6,028,155 | ||||||
HUGO BOSS AG | 133,935 | 9,247,909 | ||||||
Infineon Technologies AG | 2,262,975 | 40,397,901 | ||||||
Innogy SEa,b | 276,879 | 9,973,773 | ||||||
K+S AG Registeredc | 382,609 | 8,972,785 | ||||||
Lanxess AG | 183,547 | 12,501,873 | ||||||
Linde AG | 370,767 | 60,416,369 | ||||||
MAN SE | 70,136 | 7,220,873 | ||||||
Merck KGaA | 258,136 | 28,293,559 | ||||||
METRO AG | 355,882 | 11,066,857 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 321,097 | 60,869,658 | ||||||
Osram Licht AG | 178,065 | 10,614,785 | ||||||
ProSiebenSat.1 Media SE Registered | 465,447 | 18,722,475 | ||||||
QIAGEN NV | 427,658 | 12,224,149 | ||||||
RTL Group SAa | 77,200 | 5,957,215 | ||||||
RWE AGa | 979,399 | 14,002,743 | ||||||
SAP SE | 1,962,396 | 183,397,013 | ||||||
Siemens AG Registered | 1,526,932 | 199,245,182 | ||||||
Symrise AG | 245,505 | 15,315,888 | ||||||
Telefonica Deutschland Holding AG | 1,474,369 | 6,492,257 | ||||||
ThyssenKrupp AG | 733,862 | 18,399,421 | ||||||
United Internet AG Registeredd | 246,089 | 10,166,892 | ||||||
Volkswagen AG | 65,062 | 9,872,460 | ||||||
Vonovia SE | 930,171 | 32,508,463 | ||||||
Zalando SEa,b,c | 173,778 | 6,970,782 | ||||||
|
| |||||||
2,211,160,838 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2017
Security | Shares | Value | ||||||
IRELAND — 1.50% | ||||||||
Bank of Irelanda | 54,916,483 | $ | 13,071,352 | |||||
CRH PLC | 1,656,741 | 56,096,828 | ||||||
Irish Bank Resolution Corp. Ltd.a | 446,666 | 5 | ||||||
Kerry Group PLC Class A | 321,434 | 24,762,790 | ||||||
Paddy Power Betfair PLC | 161,570 | 17,752,153 | ||||||
Ryanair Holdings PLCa | 42,432 | 644,762 | ||||||
Ryanair Holdings PLC ADRa | 45,231 | 3,697,634 | ||||||
|
| |||||||
116,025,524 | ||||||||
ITALY — 6.50% | ||||||||
Assicurazioni Generali SpA | 2,338,366 | 33,593,785 | ||||||
Atlantia SpA | 828,339 | 19,452,264 | ||||||
CNH Industrial NV | 2,038,851 | 18,978,390 | ||||||
Enel SpA | 15,258,910 | 65,699,598 | ||||||
Eni SpA | 5,083,651 | 78,435,399 | ||||||
EXOR NV | 218,448 | 10,382,854 | ||||||
Ferrari NV | 245,780 | 16,061,697 | ||||||
Fiat Chrysler Automobiles NVa,c | 1,803,657 | 19,798,124 | ||||||
Intesa Sanpaolo SpA | 25,302,510 | 59,150,177 | ||||||
Leonardo SpAa | 787,352 | 10,851,223 | ||||||
Luxottica Group SpA | 337,883 | 17,865,554 | ||||||
Mediobanca SpA | 1,136,417 | 9,135,165 | ||||||
Poste Italiane SpAb | 1,045,241 | 6,730,678 | ||||||
Prysmian SpA | 394,644 | 10,068,561 | ||||||
Saipem SpAa | 12,111,759 | 5,548,237 | ||||||
Snam SpA | 4,892,026 | 19,545,481 | ||||||
Telecom Italia SpA/Milanoa,c | 22,525,542 | 18,322,731 | ||||||
Tenaris SA | 940,827 | 15,525,693 | ||||||
Terna Rete Elettrica Nazionale SpA | 3,026,299 | 14,059,237 | ||||||
UniCredit SpAc | 3,766,319 | 50,626,440 | ||||||
UnipolSai SpA | 2,246,682 | 4,774,648 | ||||||
|
| |||||||
504,605,936 | ||||||||
NETHERLANDS — 10.77% | ||||||||
ABN AMRO Group NVb | 564,084 | 12,946,945 | ||||||
Aegon NV | 3,533,133 | 18,839,111 | ||||||
AerCap Holdings NVa | 310,788 | 14,078,696 | ||||||
Akzo Nobel NV | 500,759 | 33,687,660 | ||||||
Altice NV Class Aa,c | 738,394 | 15,617,809 | ||||||
Altice NV Class Ba | 218,272 | 4,619,002 | ||||||
ASML Holding NV | 744,317 | 90,519,782 | ||||||
Boskalis Westminster | 180,978 | 6,615,368 | ||||||
Gemalto NV | 161,557 | 9,752,598 | ||||||
Heineken Holding NV | 201,432 | 15,344,644 | ||||||
Heineken NV | 459,188 | 38,009,990 | ||||||
ING Groep NV | 7,742,398 | 107,075,332 |
Security | Shares | Value | ||||||
Koninklijke Ahold Delhaize NV | 2,557,891 | $ | 54,523,374 | |||||
Koninklijke DSM NV | 362,211 | 23,862,893 | ||||||
Koninklijke KPN NV | 6,809,038 | 19,282,029 | ||||||
Koninklijke Philips NV | 1,894,878 | 57,455,141 | ||||||
Koninklijke Vopak NV | 141,417 | 5,998,015 | ||||||
NN Group NV | 629,391 | 19,612,290 | ||||||
NXP Semiconductors NVa | 587,472 | 60,397,996 | ||||||
Randstad Holding NV | 237,649 | 13,866,192 | ||||||
RELX NV | 1,987,705 | 35,336,020 | ||||||
Unilever NV CVA | 3,253,106 | 154,222,904 | ||||||
Wolters Kluwer NV | 604,043 | 24,817,363 | ||||||
|
| |||||||
836,481,154 | ||||||||
PORTUGAL — 0.47% |
| |||||||
EDP – Energias de Portugal SA | 4,744,646 | 14,716,606 | ||||||
Galp Energia SGPS SA | 928,738 | 13,707,720 | ||||||
Jeronimo Martins SGPS SA | 514,853 | 8,304,716 | ||||||
|
| |||||||
36,729,042 | ||||||||
SPAIN — 10.13% | ||||||||
Abertis Infraestructuras SA | 1,286,283 | 18,916,570 | ||||||
ACS Actividades de Construccion y Servicios SA | 384,493 | 12,103,656 | ||||||
Aena SAb | 134,936 | 19,356,702 | ||||||
Amadeus IT Holding SA Class A | 877,317 | 40,929,863 | ||||||
Banco Bilbao Vizcaya Argentaria SA | 13,113,297 | 86,085,413 | ||||||
Banco de Sabadell SA | 10,568,677 | 15,587,622 | ||||||
Banco Popular Espanol SAc | 6,658,618 | 5,922,149 | ||||||
Banco Santander SA | 29,120,560 | 159,482,818 | ||||||
Bankia SA | 9,239,138 | 9,159,734 | ||||||
Bankinter SA | 1,356,042 | 10,488,530 | ||||||
CaixaBank SA | 7,169,691 | 25,125,855 | ||||||
Distribuidora Internacional de Alimentacion SA | 1,240,619 | 6,909,114 | ||||||
Enagas SA | 428,279 | 10,555,794 | ||||||
Endesa SA | 634,657 | 13,551,796 | ||||||
Ferrovial SA | 975,500 | 18,559,718 | ||||||
Gas Natural SDG SA | 700,631 | 13,680,011 | ||||||
Grifols SA | 597,982 | 13,118,155 | ||||||
Iberdrola SA | 11,044,218 | 73,629,059 | ||||||
Industria de Diseno Textil SA | 2,179,167 | 70,208,464 | ||||||
International Consolidated Airlines Group SA | 1,717,337 | 11,463,658 | ||||||
Mapfre SA | 2,182,693 | 6,774,761 | ||||||
Red Electrica Corp. SA | 825,969 | 14,959,963 | ||||||
Repsol SA | 2,253,799 | 33,528,412 | ||||||
Telefonica SA | 9,074,438 | 93,040,451 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2017
Security | Shares | Value | ||||||
Zardoya Otis SA | 389,688 | $ | 3,122,181 | |||||
|
| |||||||
786,260,449 | ||||||||
UNITED KINGDOM — 0.20% | ||||||||
Coca-Cola European Partners PLC | 434,113 | 15,162,551 | ||||||
|
| |||||||
15,162,551 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $8,696,866,396) |
| 7,590,466,513 | ||||||
PREFERRED STOCKS — 1.91% |
| |||||||
GERMANY — 1.76% |
| |||||||
Bayerische Motoren Werke AG | 110,771 | 8,285,273 | ||||||
Fuchs Petrolub SE | 139,349 | 6,472,237 | ||||||
Henkel AG & Co. KGaA | 355,880 | 44,584,834 | ||||||
Porsche Automobil Holding SE | 306,327 | 16,974,983 | ||||||
Schaeffler AG | 329,665 | 5,212,494 | ||||||
Volkswagen AG | 370,195 | 54,953,672 | ||||||
|
| |||||||
136,483,493 | ||||||||
ITALY — 0.15% |
| |||||||
Intesa Sanpaolo SpA | 1,913,867 | 4,270,717 | ||||||
Telecom Italia SpA/Milano | 11,888,391 | 7,945,907 | ||||||
|
| |||||||
12,216,624 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $203,383,757) |
| 148,700,117 | ||||||
SHORT-TERM INVESTMENTS — 0.93% |
| |||||||
MONEY MARKET FUNDS — 0.93% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 67,232,870 | 67,259,763 |
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 4,690,498 | $ | 4,690,498 | |||||
|
| |||||||
71,950,261 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $71,932,608) |
| 71,950,261 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $8,972,182,761)h |
| 7,811,116,891 | ||||||
Other Assets, Less Liabilities — (0.61)% |
| (47,392,789 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 7,763,724,102 | |||||
|
|
ADR — American Depositary Receipts
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. See Note 1. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $9,137,311,095. Net unrealized depreciation was $1,326,194,204, of which $248,344,448 represented gross unrealized appreciation on securities and $1,574,538,652 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 7,590,466,506 | $ | — | $ | 7 | $ | 7,590,466,513 | ||||||||
Preferred stocks | 148,700,117 | — | — | 148,700,117 | ||||||||||||
Money market funds | 71,950,261 | — | — | 71,950,261 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 7,811,116,884 | $ | — | $ | 7 | $ | 7,811,116,891 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 93.71% |
| |||||||
AIR FREIGHT & LOGISTICS — 2.82% |
| |||||||
Deutsche Post AG Registered | 3,398,985 | $ | 116,930,765 | |||||
|
| |||||||
116,930,765 | ||||||||
AIRLINES — 0.29% | ||||||||
Deutsche Lufthansa AG Registereda | 821,307 | 12,069,728 | ||||||
|
| |||||||
12,069,728 | ||||||||
AUTO COMPONENTS — 1.89% |
| |||||||
Continental AG | 385,438 | 78,431,961 | ||||||
|
| |||||||
78,431,961 | ||||||||
AUTOMOBILES — 8.87% | ||||||||
Bayerische Motoren Werke AG | 1,160,382 | 104,030,047 | ||||||
Daimler AG Registered | 3,373,978 | 246,087,348 | ||||||
Volkswagen AG | 113,612 | 17,239,401 | ||||||
|
| |||||||
367,356,796 | ||||||||
BANKS — 0.69% | ||||||||
Commerzbank AG | 3,730,810 | 28,547,344 | ||||||
|
| |||||||
28,547,344 | ||||||||
CAPITAL MARKETS — 3.71% |
| |||||||
Deutsche Bank AG Registeredb | 4,832,655 | 95,514,323 | ||||||
Deutsche Boerse AGb | 675,072 | 58,032,112 | ||||||
|
| |||||||
153,546,435 | ||||||||
CHEMICALS — 12.27% | ||||||||
BASF SE | 3,218,000 | 300,569,341 | ||||||
Covestro AGc | 248,083 | 18,734,974 | ||||||
Evonik Industries AG | 570,879 | 18,386,530 | ||||||
K+S AG Registereda | 669,935 | 15,711,034 | ||||||
Lanxess AG | 320,334 | 21,818,798 | ||||||
Linde AG | 650,753 | 106,040,001 | ||||||
Symrise AG | 431,926 | 26,945,807 | ||||||
|
| |||||||
508,206,485 | ||||||||
CONSTRUCTION & ENGINEERING — 0.25% |
| |||||||
HOCHTIEF AG | 67,592 | 10,342,548 | ||||||
|
| |||||||
10,342,548 | ||||||||
CONSTRUCTION MATERIALS — 1.18% |
| |||||||
HeidelbergCement AG | 521,226 | 48,855,522 | ||||||
|
| |||||||
48,855,522 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 5.08% |
| |||||||
Deutsche Telekom AG Registered | 11,471,741 | 198,816,790 | ||||||
Telefonica Deutschland Holding AG | 2,603,038 | 11,462,254 | ||||||
|
| |||||||
210,279,044 |
Security | Shares | Value | ||||||
ELECTRICAL EQUIPMENT — 0.45% |
| |||||||
Osram Licht AG | 311,443 | $ | 18,565,694 | |||||
|
| |||||||
18,565,694 | ||||||||
FOOD & STAPLES RETAILING — 0.47% |
| |||||||
METRO AG | 623,940 | 19,402,653 | ||||||
|
| |||||||
19,402,653 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 4.29% |
| |||||||
Fresenius Medical Care AG & Co. KGaA | 753,520 | 62,894,220 | ||||||
Fresenius SE & Co. KGaA | 1,437,142 | 114,563,562 | ||||||
|
| |||||||
177,457,782 | ||||||||
HOUSEHOLD PRODUCTS — 0.95% |
| |||||||
Henkel AG & Co. KGaA | 363,940 | 39,349,025 | ||||||
|
| |||||||
39,349,025 | ||||||||
INDUSTRIAL CONGLOMERATES — 8.45% |
| |||||||
Siemens AG Registered | 2,680,153 | 349,725,837 | ||||||
|
| |||||||
349,725,837 | ||||||||
INSURANCE — 9.91% | ||||||||
Allianz SE Registered | 1,601,356 | 279,402,835 | ||||||
Hannover Rueck SE | 211,260 | 23,930,085 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 564,425 | 106,996,817 | ||||||
|
| |||||||
410,329,737 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.29% |
| |||||||
Zalando SEb,c | 302,883 | 12,149,590 | ||||||
|
| |||||||
12,149,590 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.43% |
| |||||||
United Internet AG Registeredd | 430,546 | 17,787,527 | ||||||
|
| |||||||
17,787,527 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.53% |
| |||||||
QIAGEN NV | 766,136 | 21,899,183 | ||||||
|
| |||||||
21,899,183 | ||||||||
MACHINERY — 0.91% | ||||||||
GEA Group AG | 639,112 | 24,950,881 | ||||||
MAN SE | 123,333 | 12,697,786 | ||||||
|
| |||||||
37,648,667 | ||||||||
MEDIA — 1.24% | ||||||||
Axel Springer SE | 151,000 | 7,919,940 | ||||||
ProSiebenSat.1 Media SE Registered | 816,451 | 32,841,512 | ||||||
RTL Group SAb | 135,403 | 10,448,508 | ||||||
|
| |||||||
51,209,960 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GERMANY ETF
February 28, 2017
Security | Shares | Value | ||||||
METALS & MINING — 0.78% |
| |||||||
ThyssenKrupp AG | 1,289,220 | $ | 32,323,381 | |||||
|
| |||||||
32,323,381 | ||||||||
MULTI-UTILITIES — 2.33% | ||||||||
E.ON SE | 7,011,962 | 54,585,367 | ||||||
Innogy SEb,c | 486,152 | 17,512,233 | ||||||
RWE AGb | 1,713,041 | 24,491,829 | ||||||
|
| |||||||
96,589,429 | ||||||||
PERSONAL PRODUCTS — 0.78% |
| |||||||
Beiersdorf AG | 353,254 | 32,326,663 | ||||||
|
| |||||||
32,326,663 | ||||||||
PHARMACEUTICALS — 8.92% |
| |||||||
Bayer AG Registered | 2,897,640 | 319,603,514 | ||||||
Merck KGaA | 452,853 | 49,635,940 | ||||||
|
| |||||||
369,239,454 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.41% |
| |||||||
Deutsche Wohnen AG Bearer | 1,241,798 | 42,785,903 | ||||||
Vonovia SE | 1,632,747 | 57,062,728 | ||||||
|
| |||||||
99,848,631 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
Infineon Technologies AG | 3,967,992 | 70,835,316 | ||||||
|
| |||||||
70,835,316 | ||||||||
SOFTWARE — 7.77% |
| |||||||
SAP SE | 3,443,606 | 321,824,471 | ||||||
|
| |||||||
321,824,471 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 3.07% |
| |||||||
adidas AG | 659,658 | 111,030,878 | ||||||
HUGO BOSS AG | 234,098 | 16,163,938 | ||||||
|
| |||||||
127,194,816 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.75% |
| |||||||
Brenntag AG | 541,059 | 31,115,170 | ||||||
|
| |||||||
31,115,170 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.22% |
| |||||||
Fraport AG Frankfurt Airport Services Worldwide | 145,500 | 9,138,896 | ||||||
|
| |||||||
9,138,896 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $4,375,422,565) |
| 3,880,528,510 | ||||||
PREFERRED STOCKS — 5.78% |
| |||||||
AUTO COMPONENTS — 0.22% |
| |||||||
Schaeffler AG | 581,062 | 9,187,454 | ||||||
|
| |||||||
9,187,454 |
Security | Shares | Value | ||||||
AUTOMOBILES — 3.40% | ||||||||
Bayerische Motoren Werke AG | 191,823 | $ | 14,347,671 | |||||
Porsche Automobil Holding SE | 536,317 | 29,719,783 | ||||||
Volkswagen AG | 650,343 | 96,540,299 | ||||||
|
| |||||||
140,607,753 | ||||||||
CHEMICALS — 0.27% | ||||||||
Fuchs Petrolub SE | 243,366 | 11,303,436 | ||||||
|
| |||||||
11,303,436 | ||||||||
HOUSEHOLD PRODUCTS — 1.89% |
| |||||||
Henkel AG & Co. KGaA | 624,405 | 78,225,787 | ||||||
|
| |||||||
78,225,787 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $313,692,106) |
| 239,324,430 | ||||||
SHORT-TERM INVESTMENTS — 0.44% |
| |||||||
MONEY MARKET FUNDS — 0.44% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 17,681,595 | 17,688,668 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 543,968 | 543,968 | ||||||
|
| |||||||
18,232,636 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $18,231,563) |
| 18,232,636 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $4,707,346,234)h |
| 4,138,085,576 | ||||||
Other Assets, Less Liabilities — 0.07% |
| 2,705,074 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 4,140,790,650 | |||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $4,768,091,811. Net unrealized depreciation was $630,006,235, of which $205,300,053 represented gross unrealized appreciation on securities and $835,306,288 represented gross unrealized depreciation on securities. |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GERMANY ETF
February 28, 2017
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
DAX Index | 64 | Mar. 2017 | Eurex | $ | 19,139,980 | $ | 20,141,793 | $ | 1,001,813 | |||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 3,880,528,510 | $ | — | $ | — | $ | 3,880,528,510 | ||||||||
Preferred stocks | 239,324,430 | — | — | 239,324,430 | ||||||||||||
Money market funds | 18,232,636 | — | — | 18,232,636 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,138,085,576 | $ | — | $ | — | $ | 4,138,085,576 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Futures contracts | $ | 1,001,813 | $ | — | $ | — | $ | 1,001,813 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,001,813 | $ | — | $ | — | $ | 1,001,813 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI ITALY CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 97.77% |
| |||||||
AEROSPACE & DEFENSE — 2.57% |
| |||||||
Leonardo SpAa | 987,584 | $ | 13,610,803 | |||||
|
| |||||||
13,610,803 | ||||||||
AUTOMOBILES — 7.98% |
| |||||||
Ferrari NV | 298,979 | 19,538,246 | ||||||
Fiat Chrysler Automobiles NVa,b | 2,069,970 | 22,721,350 | ||||||
|
| |||||||
42,259,596 | ||||||||
BANKS — 21.21% |
| |||||||
Intesa Sanpaolo SpA | 23,224,231 | 54,291,743 | ||||||
Mediobanca SpA | 1,548,084 | 12,444,379 | ||||||
UniCredit SpA | 3,392,780 | 45,605,371 | ||||||
|
| |||||||
112,341,493 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 2.58% |
| |||||||
EXOR NV | 287,649 | 13,671,984 | ||||||
|
| |||||||
13,671,984 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.25% |
| |||||||
Telecom Italia SpA/Milanoa | 21,145,606 | 17,200,263 | ||||||
|
| |||||||
17,200,263 | ||||||||
ELECTRIC UTILITIES — 14.77% |
| |||||||
Enel SpA | 14,118,534 | 60,789,533 | ||||||
Terna Rete Elettrica Nazionale SpA | 3,750,762 | 17,424,865 | ||||||
|
| |||||||
78,214,398 | ||||||||
ELECTRICAL EQUIPMENT — 2.51% |
| |||||||
Prysmian SpA | 520,337 | 13,275,370 | ||||||
|
| |||||||
13,275,370 | ||||||||
ENERGY EQUIPMENT & SERVICES — 4.32% |
| |||||||
Saipem SpAa | 8,623,240 | 3,950,192 | ||||||
Tenaris SA | 1,148,304 | 18,949,515 | ||||||
|
| |||||||
22,899,707 | ||||||||
INSURANCE — 7.59% |
| |||||||
Assicurazioni Generali SpA | 1,537,855 | 22,093,364 | ||||||
Poste Italiane SpAc | 1,562,187 | 10,059,477 | ||||||
UnipolSai SpA | 3,784,247 | 8,042,281 | ||||||
|
| |||||||
40,195,122 | ||||||||
MACHINERY — 4.25% |
| |||||||
CNH Industrial NV | 2,416,494 | 22,493,632 | ||||||
|
| |||||||
22,493,632 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 18.33% |
| |||||||
Eni SpA | 4,794,721 | 73,977,512 | ||||||
Snam SpA | 5,786,196 | 23,118,026 | ||||||
|
| |||||||
97,095,538 |
Security | Shares | Value | ||||||
TEXTILES, APPAREL & LUXURY GOODS — 4.07% |
| |||||||
Luxottica Group SpA | 407,402 | $ | 21,541,369 | |||||
|
| |||||||
21,541,369 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 4.34% |
| |||||||
Atlantia SpA | 979,875 | 23,010,853 | ||||||
|
| |||||||
23,010,853 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $650,205,824) |
| 517,810,128 | ||||||
PREFERRED STOCKS — 2.07% |
| |||||||
BANKS — 0.80% |
| |||||||
Intesa Sanpaolo SpA | 1,915,205 | 4,273,703 | ||||||
|
| |||||||
4,273,703 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.27% |
| |||||||
Telecom Italia SpA/Milano | 10,053,320 | 6,719,391 | ||||||
|
| |||||||
6,719,391 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $14,502,432) |
| 10,993,094 | ||||||
SHORT-TERM INVESTMENTS — 0.03% |
| |||||||
MONEY MARKET FUNDS — 0.03% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 12 | 12 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 143,605 | 143,605 | ||||||
|
| |||||||
143,617 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $143,617) |
| 143,617 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $664,851,873)g |
| 528,946,839 | ||||||
Other Assets, Less Liabilities — 0.13% |
| 696,404 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 529,643,243 | |||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
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 $673,394,616. Net unrealized depreciation was $144,447,777, of which $18,314,108 represented gross unrealized appreciation on securities and $162,761,885 represented gross unrealized depreciation on securities. |
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ITALY CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 517,810,128 | $ | — | $ | — | $ | 517,810,128 | ||||||||
Preferred stocks | 10,993,094 | — | — | 10,993,094 | ||||||||||||
Money market funds | 143,617 | — | — | 143,617 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 528,946,839 | $ | — | $ | — | $ | 528,946,839 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SPAIN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.90% |
| |||||||
AIRLINES — 2.10% |
| |||||||
International Consolidated Airlines Group SA | 2,350,216 | $ | 15,688,285 | |||||
|
| |||||||
15,688,285 | ||||||||
BANKS — 39.44% |
| |||||||
Banco Bilbao Vizcaya Argentaria SA | 10,507,316 | 68,977,820 | ||||||
Banco de Sabadell SA | 13,564,827 | 20,006,609 | ||||||
Banco Popular Espanol SA | 11,925,919 | 10,606,866 | ||||||
Banco Santander SA | 24,977,480 | 136,792,661 | ||||||
Bankia SA | 13,719,092 | 13,601,186 | ||||||
Bankinter SA | 1,952,475 | 15,101,739 | ||||||
CaixaBank SA | 8,405,582 | 29,456,979 | ||||||
|
| |||||||
294,543,860 | ||||||||
BIOTECHNOLOGY — 2.36% |
| |||||||
Grifols SA | 803,471 | 17,626,044 | ||||||
|
| |||||||
17,626,044 | ||||||||
CONSTRUCTION & ENGINEERING — 5.35% |
| |||||||
ACS Actividades de Construccion y Servicios SA | 529,958 | 16,682,825 | ||||||
Ferrovial SA | 1,221,742 | 23,244,681 | ||||||
|
| |||||||
39,927,506 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 10.12% |
| |||||||
Telefonica SA | 7,375,214 | 75,618,263 | ||||||
|
| |||||||
75,618,263 | ||||||||
ELECTRIC UTILITIES — 9.21% |
| |||||||
Endesa SA | 831,543 | 17,755,892 | ||||||
Iberdrola SA | 5,282,540 | 35,217,382 | ||||||
Red Electrica Corp. SA | 873,821 | 15,826,659 | ||||||
|
| |||||||
68,799,933 | ||||||||
FOOD & STAPLES RETAILING — 1.66% |
| |||||||
Distribuidora Internacional de Alimentacion SA | 2,220,541 | 12,366,384 | ||||||
|
| |||||||
12,366,384 | ||||||||
GAS UTILITIES — 2.44% |
| |||||||
Gas Natural SDG SA | 933,491 | 18,226,667 | ||||||
|
| |||||||
18,226,667 | ||||||||
INSURANCE — 1.49% |
| |||||||
Mapfre SA | 3,587,192 | 11,134,121 | ||||||
|
| |||||||
11,134,121 | ||||||||
IT SERVICES — 4.52% |
| |||||||
Amadeus IT Holding SA Class A | 723,395 | 33,748,871 | ||||||
|
| |||||||
33,748,871 |
Security | Shares | Value | ||||||
MACHINERY — 1.11% |
| |||||||
Zardoya Otis SA | 1,033,926 | $ | 8,283,818 | |||||
|
| |||||||
8,283,818 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 6.31% |
| |||||||
Enagas SA | 495,005 | 12,200,390 | ||||||
Repsol SA | 2,350,001 | 34,959,551 | ||||||
|
| |||||||
47,159,941 | ||||||||
SPECIALTY RETAIL — 7.35% |
| |||||||
Industria de Diseno Textil SA | 1,704,684 | 54,921,558 | ||||||
|
| |||||||
54,921,558 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 6.44% |
| |||||||
Abertis Infraestructuras SA | 1,639,922 | 24,117,320 | ||||||
Aena SAa | 167,311 | 24,000,928 | ||||||
|
| |||||||
48,118,248 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,000,068,386) |
| 746,163,499 | ||||||
SHORT-TERM INVESTMENTS — 0.09% |
| |||||||
MONEY MARKET FUNDS — 0.09% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 661,660 | 661,660 | ||||||
|
| |||||||
661,660 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $661,660) |
| 661,660 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,000,730,046)d |
| 746,825,159 | ||||||
Other Assets, Less Liabilities — 0.01% |
| 49,290 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 746,874,449 | |||||
|
|
a | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
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 $1,009,817,496. Net unrealized depreciation was $262,992,337, of which $10,044,169 represented gross unrealized appreciation on securities and $273,036,506 represented gross unrealized depreciation on securities. |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SPAIN CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 746,163,499 | $ | — | $ | — | $ | 746,163,499 | ||||||||
Money market funds | 661,660 | — | — | 661,660 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 746,825,159 | $ | — | $ | — | $ | 746,825,159 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SWITZERLAND CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 98.79% |
| |||||||
BIOTECHNOLOGY — 2.56% |
| |||||||
Actelion Ltd. Registered | 100,369 | $ | 27,090,460 | |||||
|
| |||||||
27,090,460 | ||||||||
BUILDING PRODUCTS — 1.66% |
| |||||||
Geberit AG Registered | 40,588 | 17,614,004 | ||||||
|
| |||||||
17,614,004 | ||||||||
CAPITAL MARKETS — 9.15% |
| |||||||
Credit Suisse Group AG Registered | 1,753,068 | 26,520,525 | ||||||
Julius Baer Group Ltd. | 262,026 | 12,859,931 | ||||||
Partners Group Holding AG | 21,066 | 11,054,155 | ||||||
UBS Group AG | 3,013,425 | 46,550,187 | ||||||
|
| |||||||
96,984,798 | ||||||||
CHEMICALS — 7.47% |
| |||||||
EMS-Chemie Holding AG Registered | 12,083 | 6,895,436 | ||||||
Givaudan SA Registered | 9,967 | 18,153,486 | ||||||
Sika AG Bearer | 2,485 | 14,032,328 | ||||||
Syngenta AG Registered | 92,730 | 40,047,656 | ||||||
|
| |||||||
79,128,906 | ||||||||
CONSTRUCTION MATERIALS — 2.54% |
| |||||||
LafargeHolcim Ltd. Registered | 470,856 | 26,870,458 | ||||||
|
| |||||||
26,870,458 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.44% |
| |||||||
Pargesa Holding SA Bearer | 70,053 | 4,634,292 | ||||||
|
| |||||||
4,634,292 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.22% |
| |||||||
Swisscom AG Registered | 29,193 | 12,890,453 | ||||||
|
| |||||||
12,890,453 | ||||||||
ELECTRICAL EQUIPMENT — 4.01% |
| |||||||
ABB Ltd. Registered | 1,874,588 | 42,528,972 | ||||||
|
| |||||||
42,528,972 | ||||||||
FOOD PRODUCTS — 20.73% |
| |||||||
Aryzta AG | 130,047 | 4,217,811 | ||||||
Barry Callebaut AG Registered | 4,003 | 5,192,368 | ||||||
Chocoladefabriken Lindt & Sprungli AG Participation Certificates | 1,395 | 7,933,022 | ||||||
Chocoladefabriken Lindt & Sprungli AG Registered | 133 | 8,645,099 | ||||||
Nestle SA Registered | 2,612,535 | 193,699,859 | ||||||
|
| |||||||
219,688,159 |
Security | Shares | Value | ||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.85% |
| |||||||
Sonova Holding AG Registered | 68,584 | $ | 9,033,132 | |||||
|
| |||||||
9,033,132 | ||||||||
INSURANCE — 8.57% |
| |||||||
Baloise Holding AG Registered | 66,182 | 8,637,463 | ||||||
Swiss Life Holding AG Registered | 38,138 | 12,034,158 | ||||||
Swiss Re AG | 328,825 | 29,485,731 | ||||||
Zurich Insurance Group AG | 146,897 | 40,675,559 | ||||||
|
| |||||||
90,832,911 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 1.19% |
| |||||||
Lonza Group AG Registered | 68,293 | 12,615,912 | ||||||
|
| |||||||
12,615,912 | ||||||||
MACHINERY — 1.52% |
| |||||||
Schindler Holding AG Participation Certificates | 51,266 | 9,941,442 | ||||||
Schindler Holding AG Registered | 32,119 | 6,161,126 | ||||||
|
| |||||||
16,102,568 | ||||||||
MARINE — 0.93% |
| |||||||
Kuehne + Nagel International AG Registered | 68,601 | 9,795,739 | ||||||
|
| |||||||
9,795,739 | ||||||||
PHARMACEUTICALS — 26.65% |
| |||||||
Galenica AG Registered | 2,402 | 2,825,459 | ||||||
Novartis AG Registered | 1,802,392 | 141,102,933 | ||||||
Roche Holding AG | 566,712 | 138,473,640 | ||||||
|
| |||||||
282,402,032 | ||||||||
PROFESSIONAL SERVICES — 2.55% |
| |||||||
Adecco Group AG Registered | 188,236 | 13,570,961 | ||||||
SGS SA Registered | 6,317 | 13,467,268 | ||||||
|
| |||||||
27,038,229 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.78% |
| |||||||
Swiss Prime Site AG Registered | 95,352 | 8,302,656 | ||||||
|
| |||||||
8,302,656 | ||||||||
SPECIALTY RETAIL — 0.74% |
| |||||||
Dufry AG Registereda,b | 54,131 | 7,832,225 | ||||||
|
| |||||||
7,832,225 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 5.23% |
| |||||||
Cie. Financiere Richemont SA Class A Registered | 513,459 | 37,940,951 | ||||||
Swatch Group AG (The) Bearera | 35,806 | 11,938,313 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWITZERLAND CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
Swatch Group AG (The) Registered | 85,338 | $ | 5,551,721 | |||||
|
| |||||||
55,430,985 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,119,146,282) |
| 1,046,816,891 | ||||||
SHORT-TERM INVESTMENTS — 1.25% |
| |||||||
MONEY MARKET FUNDS — 1.25% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 12,796,412 | 12,801,531 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 468,263 | 468,263 | ||||||
|
| |||||||
13,269,794 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $13,267,211) |
| 13,269,794 | ||||||
|
|
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $1,132,413,493)f | $ | 1,060,086,685 | ||||
Other Assets, Less Liabilities — (0.04)% | (436,887 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 1,059,649,798 | ||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $1,141,715,404. Net unrealized depreciation was $81,628,719, of which $54,629,573 represented gross unrealized appreciation on securities and $136,258,292 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 1,046,816,891 | $ | — | $ | — | $ | 1,046,816,891 | ||||||||
Money market funds | 13,269,794 | — | — | 13,269,794 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,060,086,685 | $ | — | $ | — | $ | 1,060,086,685 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy Capped ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 8,900,250,153 | $ | 4,689,114,671 | $ | 664,708,256 | ||||||
Affiliated (Note 2) | 71,932,608 | 18,231,563 | 143,617 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 8,972,182,761 | $ | 4,707,346,234 | $ | 664,851,873 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 7,739,166,630 | $ | 4,119,852,940 | $ | 528,803,222 | ||||||
Affiliated (Note 2) | 71,950,261 | 18,232,636 | 143,617 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 7,811,116,891 | 4,138,085,576 | 528,946,839 | |||||||||
Foreign currency, at valueb | 7,601,279 | 15,218,741 | 297,702 | |||||||||
Foreign currency pledged to broker, at valueb | — | 1,328,898 | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 5,989,333 | 790,201 | 21,562,462 | |||||||||
Dividends and interest | 1,111,588 | 3,742 | 66,192 | |||||||||
Futures variation margin | — | 1,001,813 | — | |||||||||
Tax reclaims | 11,536,970 | 14,147,319 | — | |||||||||
Foreign withholding tax claims (Note 8) | 3,613,686 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 7,840,969,747 | 4,170,576,290 | 550,873,195 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES |
| |||||||||||
Payables: |
| |||||||||||
Investment securities purchased | 7,119,303 | 10,572,335 | 21,022,218 | |||||||||
Collateral for securities on loan (Note 1) | 67,242,053 | 17,687,591 | 12 | |||||||||
Professional fees (Note 8) | 36,137 | — | — | |||||||||
Investment advisory fees (Note 2) | 2,848,152 | 1,525,714 | 207,722 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 77,245,645 | 29,785,640 | 21,229,952 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 7,763,724,102 | $ | 4,140,790,650 | $ | 529,643,243 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: |
| |||||||||||
Paid-in capital | $ | 9,568,868,697 | $ | 4,911,101,355 | $ | 913,346,149 | ||||||
Undistributed (distributions in excess of) net investment income | 5,249,505 | 1,157,797 | (2,002,334 | ) | ||||||||
Accumulated net realized loss | (648,398,834 | ) | (202,257,802 | ) | (245,797,797 | ) | ||||||
Net unrealized depreciation | (1,161,995,266 | ) | (569,210,700 | ) | (135,902,775 | ) | ||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 7,763,724,102 | $ | 4,140,790,650 | $ | 529,643,243 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 218,600,000 | 150,000,000 | 22,350,000 | d | ||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 35.52 | $ | 27.61 | $ | 23.70 | d | |||||
|
|
|
|
|
|
a | Securities on loan with values of $63,964,077, $16,954,304 and $11, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker: $7,641,896, $16,649,526 and $295,194, respectively. |
c | $0.001 par value, number of shares authorized: 1 billion, 482.2 million and 295.4 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Spain Capped ETF | iShares MSCI Switzerland Capped ETF | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 1,000,068,386 | $ | 1,119,146,282 | ||||
Affiliated (Note 2) | 661,660 | 13,267,211 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 1,000,730,046 | $ | 1,132,413,493 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 746,163,499 | $ | 1,046,816,892 | ||||
Affiliated (Note 2) | 661,660 | 13,269,793 | ||||||
|
|
|
| |||||
Total fair value of investments | 746,825,159 | 1,060,086,685 | ||||||
Foreign currency, at valueb | 591,374 | 738,508 | ||||||
Receivables: | ||||||||
Investment securities sold | 3,929,231 | 4,952,514 | ||||||
Due from custodian (Note 4) | 471,107 | — | ||||||
Dividends | 118 | 68,449 | ||||||
Tax reclaims | 95,211 | 11,876,095 | ||||||
|
|
|
| |||||
Total Assets | 751,912,200 | 1,077,722,251 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 4,769,633 | 4,885,178 | ||||||
Collateral for securities on loan (Note 1) | — | 12,799,293 | ||||||
Investment advisory fees (Note 2) | 268,118 | 387,982 | ||||||
|
|
|
| |||||
Total Liabilities | 5,037,751 | 18,072,453 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 746,874,449 | $ | 1,059,649,798 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 1,164,673,681 | $ | 1,220,994,357 | ||||
Undistributed (distributions in excess of) net investment income | 2,448,897 | (1,690,952 | ) | |||||
Accumulated net realized loss | (166,345,739 | ) | (86,589,979 | ) | ||||
Net unrealized depreciation | (253,902,390 | ) | (73,063,628 | ) | ||||
|
|
|
| |||||
NET ASSETS | $ | 746,874,449 | $ | 1,059,649,798 | ||||
|
|
|
| |||||
Shares outstandingc | 27,225,000 | 34,000,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 27.43 | $ | 31.17 | ||||
|
|
|
|
a | Securities on loan with values of $ — and $12,123,648, respectively. See Note 1. |
b | Cost of foreign currency: $588,568 and $744,493, respectively. |
c | $0.001 par value, number of shares authorized: 127.8 million and 318.625 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 25 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy Capped ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 42,836,418 | $ | 11,539,512 | $ | 4,217,072 | ||||||
Dividends — affiliated (Note 2) | 5,544 | 1,956 | 683 | |||||||||
Securities lending income — affiliated — net (Note 2) | 792,248 | 16,077 | 91,513 | |||||||||
Miscellaneous income | 9,142 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 43,643,352 | 11,557,545 | 4,309,268 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 17,960,806 | 9,079,881 | 1,221,143 | |||||||||
Professional fees (Note 8) | 6,277 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 17,967,083 | 9,079,881 | 1,221,143 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 25,676,269 | 2,477,664 | 3,088,125 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (46,441,069 | ) | (9,196,794 | ) | (52,706,886 | ) | ||||||
Investments — affiliated (Note 2) | 57 | (55 | ) | 2,698 | ||||||||
In-kind redemptions — unaffiliated | (122,018,094 | ) | 431,479 | 2,923,629 | ||||||||
Futures contracts | — | 3,332,652 | — | |||||||||
Foreign currency transactions | (747,272 | ) | (384,922 | ) | (296,028 | ) | ||||||
Realized gain distributions from affiliated funds | 117 | 97 | 26 | |||||||||
|
|
|
|
|
| |||||||
Net realized loss | (169,206,261 | ) | (5,817,543 | ) | (50,076,561 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 464,391,060 | 217,920,473 | 81,210,789 | |||||||||
Futures contracts | — | (1,025,220 | ) | — | ||||||||
Translation of assets and liabilities in foreign currencies | (646,382 | ) | (637,225 | ) | 2,441 | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 463,744,678 | 216,258,028 | 81,213,230 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 294,538,417 | 210,440,485 | 31,136,669 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 320,214,686 | $ | 212,918,149 | $ | 34,224,794 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $4,638,189, $1,738,106 and $718,475, respectively. |
See notes to financial statements.
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Spain Capped ETF | iShares MSCI Switzerland Capped ETF | |||||||
NET INVESTMENT INCOME |
| |||||||
Dividends — unaffiliateda | $ | 10,894,431 | $ | 889,584 | ||||
Dividends — affiliated (Note 2) | 1,499 | 450 | ||||||
Securities lending income — affiliated — net (Note 2) | 5 | 30,605 | ||||||
|
|
|
| |||||
Total investment income | 10,895,935 | 920,639 | ||||||
|
|
|
| |||||
EXPENSES |
| |||||||
Investment advisory fees (Note 2) | 1,507,626 | 2,503,410 | ||||||
|
|
|
| |||||
Total expenses | 1,507,626 | 2,503,410 | ||||||
|
|
|
| |||||
Net investment income (loss) | 9,388,309 | (1,582,771 | ) | |||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||
Net realized gain (loss) from: |
| |||||||
Investments — unaffiliated | (25,802,199 | ) | (2,478,029 | ) | ||||
Investments — affiliated (Note 2) | — | (345 | ) | |||||
In-kind redemptions — unaffiliated | (8,555,811 | ) | 6,391,602 | |||||
Foreign currency transactions | (17,266 | ) | (28,859 | ) | ||||
Realized gain distributions from affiliated funds | 1 | — | ||||||
|
|
|
| |||||
Net realized gain (loss) | (34,375,275 | ) | 3,884,369 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: |
| |||||||
Investments | 63,229,148 | 30,200,397 | ||||||
Translation of assets and liabilities in foreign currencies | 7,415 | (228,664 | ) | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 63,236,563 | 29,971,733 | ||||||
|
|
|
| |||||
Net realized and unrealized gain | 28,861,288 | 33,856,102 | ||||||
|
|
|
| |||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 38,249,597 | $ | 32,273,331 | ||||
|
|
|
|
a | Net of foreign withholding tax of $889,556 and $166,186, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 25,676,269 | $ | 313,780,162 | $ | 2,477,664 | $ | 96,825,243 | ||||||||
Net realized loss | (169,206,261 | ) | (353,696,400 | ) | (5,817,543 | ) | (202,576,200 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 463,744,678 | (558,972,719 | ) | 216,258,028 | 36,790,914 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 320,214,686 | (598,888,957 | ) | 212,918,149 | (68,960,043 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (46,336,128 | ) | (293,025,178 | ) | (1,319,867 | ) | (97,625,093 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (46,336,128 | ) | (293,025,178 | ) | (1,319,867 | ) | (97,625,093 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 572,866,753 | 5,702,626,726 | 494,687,753 | 800,372,366 | ||||||||||||
Cost of shares redeemed | (1,376,612,057 | ) | (6,651,737,571 | ) | (162,397,341 | ) | (3,643,941,594 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (803,745,304 | ) | (949,110,845 | ) | 332,290,412 | (2,843,569,228 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (529,866,746 | ) | (1,841,024,980 | ) | 543,888,694 | (3,010,154,364 | ) | |||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 8,293,590,848 | 10,134,615,828 | 3,596,901,956 | 6,607,056,320 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 7,763,724,102 | $ | 8,293,590,848 | $ | 4,140,790,650 | $ | 3,596,901,956 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed net investment income included in net assets at end of period | $ | 5,249,505 | $ | 25,909,364 | $ | 1,157,797 | $ | — | ||||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 16,600,000 | 161,500,000 | 18,900,000 | 32,400,000 | ||||||||||||
Shares redeemed | (40,500,000 | ) | (200,200,000 | ) | (6,300,000 | ) | (145,800,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (23,900,000 | ) | (38,700,000 | ) | 12,600,000 | (113,400,000 | ) | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Italy Capped ETF | iShares MSCI Spain Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 3,088,125 | $ | 22,596,515 | $ | 9,388,309 | $ | 38,911,804 | ||||||||
Net realized loss | (50,076,561 | ) | (168,394,983 | ) | (34,375,275 | ) | (282,574,356 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 81,213,230 | (101,942,406 | ) | 63,236,563 | 22,989,683 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 34,224,794 | (247,740,874 | ) | 38,249,597 | (220,672,869 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (5,090,459 | ) | (22,347,848 | ) | (14,719,946 | ) | (41,241,786 | ) | ||||||||
Return of capital | — | (780,522 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (5,090,459 | ) | (23,128,370 | ) | (14,719,946 | ) | (41,241,786 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 218,009,420 | 265,361,545 | 211,885,640 | 42,497,240 | ||||||||||||
Cost of shares redeemed | (178,531,134 | ) | (610,898,923 | ) | (88,484,738 | ) | (846,729,289 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 39,478,286 | (345,537,378 | ) | 123,400,902 | (804,232,049 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 68,612,621 | (616,406,622 | ) | 146,930,553 | (1,066,146,704 | ) | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 461,030,622 | 1,077,437,244 | 599,943,896 | 1,666,090,600 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 529,643,243 | $ | 461,030,622 | $ | 746,874,449 | $ | 599,943,896 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (2,002,334 | ) | $ | — | $ | 2,448,897 | $ | 7,780,534 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 11,550,000 | 8,925,000 | 7,875,000 | 1,500,000 | ||||||||||||
Shares redeemed | (9,600,000 | ) | (25,050,000 | ) | (3,300,000 | ) | (30,975,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 1,950,000 | (16,125,000 | ) | 4,575,000 | (29,475,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Switzerland Capped ETF | ||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||
OPERATIONS: |
| |||||||
Net investment income (loss) | $ | (1,582,771 | ) | $ | 30,735,996 | |||
Net realized gain (loss) | 3,884,369 | (11,354,929 | ) | |||||
Net change in unrealized appreciation/depreciation | 29,971,733 | (51,909,400 | ) | |||||
|
|
|
| |||||
Net increase (decrease) in net assets resulting from operations | 32,273,331 | (32,528,333 | ) | |||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||
From net investment income | (618,800 | ) | (29,917,479 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (618,800 | ) | (29,917,479 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||
Proceeds from shares sold | 26,257,346 | 179,880,379 | ||||||
Cost of shares redeemed | (89,997,053 | ) | (225,863,531 | ) | ||||
|
|
|
| |||||
Net decrease in net assets from capital share transactions | (63,739,707 | ) | (45,983,152 | ) | ||||
|
|
|
| |||||
DECREASE IN NET ASSETS | (32,085,176 | ) | (108,428,964 | ) | ||||
NET ASSETS |
| |||||||
Beginning of period | 1,091,734,974 | 1,200,163,938 | ||||||
|
|
|
| |||||
End of period | $ | 1,059,649,798 | $ | 1,091,734,974 | ||||
|
|
|
| |||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (1,690,952 | ) | $ | 510,619 | |||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED |
| |||||||
Shares sold | 875,000 | 5,875,000 | ||||||
Shares redeemed | (3,000,000 | ) | (7,375,000 | ) | ||||
|
|
|
| |||||
Net decrease in shares outstanding | (2,125,000 | ) | (1,500,000 | ) | ||||
|
|
|
|
See notes to financial statements.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Eurozone ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 34.20 | $ | 36.04 | $ | 39.98 | $ | 34.64 | $ | 29.09 | $ | 31.55 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.12 | 0.92 | b | 0.96 | 1.18 | 0.92 | 1.02 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 1.42 | (1.84 | ) | (3.95 | ) | 5.10 | 5.55 | (2.38 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.54 | (0.92 | ) | (2.99 | ) | 6.28 | 6.47 | (1.36 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.22 | ) | (0.92 | ) | (0.95 | ) | (0.94 | ) | (0.92 | ) | (1.10 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.22 | ) | (0.92 | ) | (0.95 | ) | (0.94 | ) | (0.92 | ) | (1.10 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 35.52 | $ | 34.20 | $ | 36.04 | $ | 39.98 | $ | 34.64 | $ | 29.09 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 4.54 | %d | (2.53 | )%b | (7.62 | )% | 18.02 | % | 22.43 | % | (3.99 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 7,763,724 | $ | 8,293,591 | $ | 10,134,616 | $ | 8,702,637 | $ | 3,539,980 | $ | 794,226 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claims (Note 8)e | 0.49 | % | 0.48 | % | n/a | n/a | n/a | n/a | ||||||||||||||||
Ratio of net investment income to average net assetse | 0.70 | % | 2.69 | %b | 2.50 | % | 2.89 | % | 2.74 | % | 3.55 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 4 | % | 5 | % | 7 | % | 5 | % | 7 | % |
a | Based on average shares outstanding throughout each period. |
b | Reflects the positive effect of foreign withholding tax claims, net of the associated professional fees (See Note 8), which resulted in the following increases for the year ended August 31, 2016: |
• | Net investment income per share by $0.02. |
• | Total return by 0.08%. |
• | Ratio of net investment income to average net assets by 0.06%. |
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 | 31 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Germany ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 26.18 | $ | 26.34 | $ | 28.97 | $ | 25.61 | $ | 21.34 | $ | 21.02 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.02 | 0.49 | 0.58 | 0.59 | 0.46 | 0.56 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.42 | (0.04 | ) | (2.70 | ) | 3.40 | 4.24 | 0.34 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.44 | 0.45 | (2.12 | ) | 3.99 | 4.70 | 0.90 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.01 | ) | (0.61 | ) | (0.51 | ) | (0.63 | ) | (0.43 | ) | (0.58 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.01 | ) | (0.61 | ) | (0.51 | ) | (0.63 | ) | (0.43 | ) | (0.58 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 27.61 | $ | 26.18 | $ | 26.34 | $ | 28.97 | $ | 25.61 | $ | 21.34 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.50 | %c | 1.81 | % | (7.50 | )% | 15.41 | % | 22.11 | % | 4.55 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 4,140,791 | $ | 3,596,902 | $ | 6,607,056 | $ | 4,797,434 | $ | 4,655,875 | $ | 2,797,029 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.13 | % | 1.90 | % | 2.03 | % | 1.95 | % | 1.88 | % | 2.72 | % | ||||||||||||
Portfolio turnover ratee | 1 | %c | 3 | % | 3 | % | 6 | % | 4 | % | 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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Italy Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 22.60 | $ | 29.50 | $ | 32.03 | $ | 26.12 | $ | 23.57 | $ | 27.16 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.14 | 0.66 | 0.70 | 0.82 | 0.72 | 0.82 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 1.18 | (6.82 | ) | (2.49 | ) | 5.77 | 2.45 | (3.57 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.32 | (6.16 | ) | (1.79 | ) | 6.59 | 3.17 | (2.75 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.22 | ) | (0.72 | ) | (0.74 | ) | (0.68 | ) | (0.60 | ) | (0.84 | ) | ||||||||||||
Return of capital | — | (0.02 | ) | — | — | (0.02 | ) | (0.00 | )d | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.22 | ) | (0.74 | ) | (0.74 | ) | (0.68 | ) | (0.62 | ) | (0.84 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 23.70 | $ | 22.60 | $ | 29.50 | $ | 32.03 | $ | 26.12 | $ | 23.57 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.84 | %e | (20.97 | )% | (5.66 | )% | 25.20 | % | 13.58 | % | (9.98 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 529,643 | $ | 461,031 | $ | 1,077,437 | $ | 1,556,860 | $ | 717,122 | $ | 196,212 | ||||||||||||
Ratio of expenses to average net assetsf | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsf | 1.24 | % | 2.54 | % | 2.34 | % | 2.49 | % | 2.78 | % | 3.41 | % | ||||||||||||
Portfolio turnover rateg | 12 | %e | 16 | % | 22 | % | 24 | % | 45 | % | 14 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 | 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 | 33 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Spain Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 26.49 | $ | 31.96 | $ | 40.61 | $ | 30.44 | $ | 26.28 | $ | 35.89 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.41 | 1.00 | 1.32 | 1.80 | 1.33 | 2.12 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.21 | (5.40 | ) | (8.35 | ) | 9.53 | 4.07 | (8.93 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.62 | (4.40 | ) | (7.03 | ) | 11.33 | 5.40 | (6.81 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.68 | ) | (1.07 | ) | (1.62 | ) | (1.16 | ) | (1.24 | ) | (2.80 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.68 | ) | (1.07 | ) | (1.62 | ) | (1.16 | ) | (1.24 | ) | (2.80 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 27.43 | $ | 26.49 | $ | 31.96 | $ | 40.61 | $ | 30.44 | $ | 26.28 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.22 | %c | (13.82 | )% | (17.63 | )% | 37.39 | % | 20.88 | % | (19.36 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 746,874 | $ | 599,944 | $ | 1,666,091 | $ | 2,473,038 | $ | 417,778 | $ | 195,093 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 3.06 | % | 3.53 | % | 3.70 | % | 4.48 | % | 4.45 | % | 7.60 | % | ||||||||||||
Portfolio turnover ratee | 9 | %c | 9 | % | 15 | % | 15 | % | 24 | % | 17 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Switzerland Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 30.22 | $ | 31.90 | $ | 33.64 | $ | 29.36 | $ | 23.85 | $ | 24.67 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment income (loss)a | (0.05 | ) | 0.81 | 0.83 | 0.80 | 0.67 | 0.63 | |||||||||||||||||
Net realized and unrealized gain (loss)b | 1.02 | (1.70 | ) | (1.77 | ) | 4.27 | 5.44 | (0.80 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.97 | (0.89 | ) | (0.94 | ) | 5.07 | 6.11 | (0.17 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.02 | ) | (0.79 | ) | (0.80 | ) | (0.79 | ) | (0.60 | ) | (0.65 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.02 | ) | (0.79 | ) | (0.80 | ) | (0.79 | ) | (0.60 | ) | (0.65 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 31.17 | $ | 30.22 | $ | 31.90 | $ | 33.64 | $ | 29.36 | $ | 23.85 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 3.21 | %c | (2.76 | )% | (2.92 | )% | 17.21 | % | 25.71 | % | (0.53 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,059,650 | $ | 1,091,735 | $ | 1,200,164 | $ | 1,072,157 | $ | 902,860 | $ | 554,570 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income (loss) to average net assetsd | (0.31 | )% | 2.68 | % | 2.49 | % | 2.41 | % | 2.38 | % | 2.73 | % | ||||||||||||
Portfolio turnover ratee | 4 | %c | 6 | % | 7 | % | 5 | % | 13 | % | 8 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 35 |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
MSCI Eurozone | Diversified | |
MSCI Germany | Non-diversified | |
MSCI Italy Capped | Non-diversified | |
MSCI Spain Capped | Non-diversified | |
MSCI Switzerland Capped | Non-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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
• | 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. |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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.
NOTESTO FINANCIAL STATEMENTS | 37 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. In accordance with the Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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.
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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.
NOTESTO FINANCIAL STATEMENTS | 39 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Eurozone | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 16,108,887 | $ | 16,108,887 | $ | — | ||||||
Deutsche Bank Securities Inc. | 97,924 | 97,924 | — | |||||||||
Goldman Sachs & Co. | 9,578,359 | 9,578,359 | — | |||||||||
JPMorgan Securities LLC | 27,689,989 | 27,689,989 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 877,589 | 877,589 | — | |||||||||
Morgan Stanley & Co. LLC | 2,580,096 | 2,580,096 | — | |||||||||
SG Americas Securities LLC | 6,532,872 | 6,532,872 | — | |||||||||
State Street Bank & Trust Company | 498,361 | 498,361 | — | |||||||||
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|
|
|
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| |||||||
$ | 63,964,077 | $ | 63,964,077 | $ | — | |||||||
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|
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| |||||||
MSCI Germany | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 11,066,433 | $ | 11,066,433 | $ | — | ||||||
Morgan Stanley & Co. LLC | 5,887,871 | 5,887,871 | — | |||||||||
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| |||||||
$ | 16,954,304 | $ | 16,954,304 | $ | — | |||||||
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MSCI Italy Capped | ||||||||||||
BNP Paribas New York Branch | $ | 11 | $ | 11 | $ | — | ||||||
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MSCI Switzerland Capped | ||||||||||||
Goldman Sachs & Co. | $ | 11,900,970 | $ | 11,900,970 | $ | — | ||||||
State Street Bank & Trust Company | 222,678 | 222,678 | — | |||||||||
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| |||||||
$ | 12,123,648 | $ | 12,123,648 | $ | — | |||||||
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a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each 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 Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For its investment advisory services to each Fund, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.59 | % | First $7 billion | |||
0.54 | Over $7 billion, up to and including $11 billion | ||||
0.49 | Over $11 billion, up to and including $24 billion | ||||
0.44 | Over $24 billion, up to and including $48 billion | ||||
0.40 | Over $48 billion, up to and including $72 billion | ||||
0.36 | Over $72 billion |
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Eurozone | $ | 162,606 | ||
MSCI Germany | 3,963 | |||
MSCI Italy Capped | 22,473 | |||
MSCI Spain Capped | 2 | |||
MSCI Switzerland Capped | 8,131 |
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.
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.
NOTESTO FINANCIAL STATEMENTS | 41 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Eurozone | $ | 12,073,642 | $ | 6,164,031 | ||||
MSCI Germany | 6,128,238 | 4,639,527 | ||||||
MSCI Italy Capped | 13,031,742 | 12,241,089 | ||||||
MSCI Spain Capped | 5,655,142 | 10,372,123 | ||||||
MSCI Switzerland Capped | 16,398,489 | 14,687,505 |
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 directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Eurozone | $ | 132,476,911 | $ | 113,255,329 | ||||
MSCI Germany | 48,062,117 | 35,816,465 | ||||||
MSCI Italy Capped | 61,342,289 | 79,992,512 | ||||||
MSCI Spain Capped | 53,889,806 | 59,854,995 | ||||||
MSCI Switzerland Capped | 38,181,997 | 42,813,254 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Eurozone | $ | 516,737,040 | $ | 1,351,557,555 | ||||
MSCI Germany | 491,243,878 | 161,446,284 | ||||||
MSCI Italy Capped | 207,775,445 | 172,368,332 | ||||||
MSCI Spain Capped | 201,487,831 | 83,529,272 | ||||||
MSCI Switzerland Capped | 25,449,322 | 87,111,616 |
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.
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The consideration for the purchase of Creation Units of a fund in the Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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.
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.
The Board authorized a one-for-two reverse stock split for the iShares MSCI Italy Capped ETF, effective after the close of trading on November 4, 2016. The impact of the stock split was to decrease the number of shares outstanding by a factor of two, while increasing the NAV per share by a factor of two, resulting in no effect on the net assets of the Fund. The financial statements for the Fund have been adjusted to reflect the reverse stock split.
5. | FUTURES CONTRACTS |
Futures contracts are purchased or sold to gain or manage exposure to changes in the value of commodities (commodity risk), interest rates (interest rate risk), foreign currencies (foreign currency risk) and/or equities (market risk). 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, a 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 by the iShares MSCI Germany ETF as of February 28, 2017 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
Equity contracts: | ||||
Variation margin / Net assets consist of – net unrealized depreciationa | $ | 1,001,813 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the schedule of investments. |
NOTESTO FINANCIAL STATEMENTS | 43 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table shows the realized and unrealized gains (losses) on futures contracts held by the iShares MSCI Germany ETF during the six months ended February 28, 2017 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | Net Change in Unrealized Appreciation/Depreciation | |||||||
Equity contracts: | ||||||||
Futures contracts | $ | 3,332,652 | $ | (1,025,220 | ) | |||
|
|
|
| |||||
The following table shows the average quarter-end balances of open futures contracts for the iShares MSCI Germany ETF for the six months ended February 28, 2017:
Average value of contracts purchased | $ | 19,809,335 |
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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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;
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
When a fund concentrates its investments in issuers located in a single country, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance.
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.
7. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
NOTESTO FINANCIAL STATEMENTS | 45 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of August 31, 2016, the Funds’ fiscal year-end, the 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 | Expiring 2019 | Total | |||||||||||||||
MSCI Eurozone | $ | 94,683,428 | $ | 26,644,200 | $ | 68,035,542 | $ | 30,230,739 | $ | 219,593,909 | ||||||||||
MSCI Germany | 41,405,856 | 27,790,050 | 28,490,949 | 32,215,954 | 129,902,809 | |||||||||||||||
MSCI Italy Capped | 68,671,316 | 2,743,650 | 18,169,627 | 9,459,662 | 99,044,255 | |||||||||||||||
MSCI Spain Capped | 51,684,017 | 5,946,927 | 15,120,672 | 8,619,903 | 81,371,519 | |||||||||||||||
MSCI Switzerland Capped | 15,786,844 | 2,837,786 | 22,569,380 | 6,955,758 | 48,149,768 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
8. | FOREIGN WITHHOLDING TAX CLAIMS |
The iShares MSCI Eurozone ETF has filed claims to recover taxes withheld by Finland on dividend income on the basis that Finland had purportedly violated certain provisions in the Treaty on the Functioning of the European Union. The Fund has recorded a receivable for all recoverable taxes withheld by Finland based upon favorable determinations issued by the Finnish Tax Authority. The Fund continues to evaluate developments in Finland for potential impact to the receivables recorded. Finnish tax claims receivable are disclosed in the statement of assets and liabilities. Professional fees associated with the filing of tax claims in Finland resulting in the recovery of foreign withholding taxes were approved by the Board as appropriate expenses of the Fund.
The Internal Revenue Service has issued guidance to address U.S. income tax liabilities attributable to fund shareholders resulting from the recovery of foreign taxes withheld in prior years. These withheld foreign taxes were passed through to shareholders in the form of foreign tax credits in the year the taxes were withheld. Assuming there are sufficient foreign taxes paid in the current year, the Fund will be able to offset the prior years’ withholding taxes recovered against the foreign taxes paid in the current year. Accordingly, no federal income tax liability is recorded by the Fund.
9. | 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.
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
MSCI Eurozone | $ | 0.207718 | $ | — | $ | 0.015159 | $ | 0.222877 | 93 | % | — | % | 7 | % | 100 | % | ||||||||||||||||
MSCI Spain Capped | 0.630543 | — | 0.050936 | 0.681479 | 93 | — | 7 | 100 | ||||||||||||||||||||||||
MSCI Switzerland Capped | — | — | 0.018200 | 0.018200 | — | — | 100 | 100 |
SUPPLEMENTAL INFORMATION | 47 |
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Notes:
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 49 |
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Notes:
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-807-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Hong Kong ETF | EWH | NYSE Arca |
Ø | iShares MSCI Japan Small-Cap ETF | SCJ | NYSE Arca |
Ø | iShares MSCI Malaysia ETF | EWM | NYSE Arca |
Ø | iShares MSCI Pacific ex Japan ETF | EPP | NYSE Arca |
Ø | iShares MSCI Singapore Capped ETF | EWS | NYSE Arca |
Ø | iShares MSCI Taiwan Capped ETF | EWT | NYSE Arca |
Ø | iShares MSCI Thailand Capped ETF | THD | NYSE Arca |
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iSHARES® MSCI HONG KONG ETF
Performance as of February 28, 2017
The iShares MSCI Hong Kong ETF (the “Fund”) seeks to track the investment results of an index composed of Hong Kong equities, as represented by the MSCI Hong Kong Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 3.42%, net of fees, while the total return for the Index was 3.69%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 23.48% | 23.24% | 24.08% | 23.48% | 23.24% | 24.08% | ||||||||||||||||||||||
5 Years | 6.48% | 6.64% | 7.08% | 36.91% | 37.91% | 40.81% | ||||||||||||||||||||||
10 Years | 6.20% | 6.34% | 6.80% | 82.57% | 84.86% | 93.07% |
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,034.20 | $ | 2.47 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 32.00 | % | ||
Real Estate | 27.38 | |||
Industrials | 15.58 | |||
Utilities | 11.63 | |||
Consumer Discretionary | 9.59 | |||
Telecommunication Services | 1.72 | |||
Consumer Staples | 1.42 | |||
Information Technology | 0.68 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS As of 2/28/17
Security | Percentage of Total Investments* |
AIA Group Ltd. | 17.17 | % | ||
CK Hutchison Holdings Ltd. | 7.52 | |||
Hong Kong Exchanges & Clearing Ltd. | 6.51 | |||
Sun Hung Kai Properties Ltd. | 4.77 | |||
Cheung Kong Property Holdings Ltd. | 4.13 | |||
CLP Holdings Ltd. | 3.76 | |||
Hang Seng Bank Ltd. | 3.54 | |||
Jardine Matheson Holdings Ltd. | 3.50 | |||
Link REIT | 3.47 | |||
Hong Kong & China Gas Co. Ltd. | 3.31 | |||
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TOTAL | 57.68 | % | ||
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* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
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Fund Performance Overview
iSHARES® MSCI JAPAN SMALL-CAP ETF
Performance as of February 28, 2017
The iShares MSCI Japan Small-Cap ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization Japanese equities, as represented by the MSCI Japan Small Cap Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 10.67%, net of fees, while the total return for the Index was 10.83%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 24.10% | 24.21% | 24.16% | 24.10% | 24.21% | 24.16% | ||||||||||||||||||||||
5 Years | 10.14% | 10.14% | 10.52% | 62.06% | 62.04% | 64.90% | ||||||||||||||||||||||
Since Inception | 5.56% | 5.51% | 5.91% | 64.50% | 63.74% | 69.58% |
The inception date of the Fund was 12/20/07. The first day of secondary market trading was 12/21/07.
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,106.70 | $ | 2.56 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR As of 2/28/17
Sector | Percentage of Total Investments* |
Industrials | 23.84 | % | ||
Consumer Discretionary | 17.44 | |||
Information Technology | 11.88 | |||
Materials | 10.80 | |||
Consumer Staples | 10.73 | |||
Real Estate | 9.92 | |||
Financials | 8.36 | |||
Health Care | 5.62 | |||
Utilities | 0.71 | |||
Energy | 0.70 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS As of 2/28/17
Security | Percentage of Total Investments* |
Tosoh Corp. | 0.80 | % | ||
Disco Corp. | 0.69 | |||
Orix JREIT Inc. | 0.58 | |||
Advance Residence Investment Corp. | 0.54 | |||
Haseko Corp. | 0.51 | |||
Pigeon Corp. | 0.49 | |||
Sojitz Corp. | 0.47 | |||
Nichirei Corp. | 0.46 | |||
Activia Properties Inc. | 0.45 | |||
Kewpie Corp. | 0.45 | |||
|
| |||
TOTAL | 5.44 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI MALAYSIA ETF
Performance as of February 28, 2017
The iShares MSCI Malaysia ETF (the “Fund”) seeks to track the investment results of an index composed of Malaysian equities, as represented by the MSCI Malaysia Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -6.82%, net of fees, while the total return for the Index was -6.70%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 0.07% | (0.50)% | 0.38% | 0.07% | (0.50)% | 0.38% | ||||||||||||||||||||||
5 Years | (4.33)% | (4.36)% | (4.04)% | (19.85)% | (19.98)% | (18.64)% | ||||||||||||||||||||||
10 Years | 3.26% | 3.36% | 3.65% | 37.77% | 39.17% | 43.10% |
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 931.80 | $ | 2.35 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 27.84 | % | ||
Industrials | 15.38 | |||
Utilities | 15.05 | |||
Telecommunication Services | 10.45 | |||
Consumer Discretionary | 9.82 | |||
Consumer Staples | 8.82 | |||
Health Care | 4.97 | |||
Materials | 4.25 | |||
Energy | 2.65 | |||
Real Estate | 0.77 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS As of 2/28/17
Security | Percentage of Total Investments* |
Public Bank Bhd | 11.73 | % | ||
Tenaga Nasional Bhd | 9.93 | |||
Malayan Banking Bhd | 6.63 | |||
Sime Darby Bhd | 4.51 | |||
Genting Bhd | 4.50 | |||
IHH Healthcare Bhd | 4.28 | |||
DiGi.Com Bhd | 3.81 | |||
Petronas Chemicals Group Bhd | 3.76 | |||
Genting Malaysia Bhd | 3.37 | |||
CIMB Group Holdings Bhd | 3.34 | |||
|
| |||
TOTAL | 55.86 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI PACIFIC ex JAPAN ETF
Performance as of February 28, 2017
The iShares MSCI Pacific ex Japan ETF (the “Fund”) seeks to track the investment results of an index composed of Pacific region developed market equities, excluding Japan, as represented by the MSCI Pacific ex Japan Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 8.55%, net of fees, while the total return for the Index was 8.80%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 28.37% | 28.51% | 29.00% | 28.37% | 28.51% | 29.00% | ||||||||||||||||||||||
5 Years | 3.75% | 3.99% | 4.20% | 20.23% | 21.58% | 22.83% | ||||||||||||||||||||||
10 Years | 4.29% | 4.31% | 4.56% | 52.26% | 52.43% | 56.24% |
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,085.50 | $ | 2.53 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 39.65 | % | ||
Real Estate | 14.66 | |||
Materials | 9.69 | |||
Industrials | 9.41 | |||
Consumer Staples | 5.42 | |||
Utilities | 5.32 | |||
Consumer Discretionary | 4.95 | |||
Health Care | 4.14 | |||
Telecommunication Services | 3.44 | |||
Energy | 2.83 | |||
Information Technology | 0.49 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
ALLOCATION BY COUNTRY
As of 2/28/17
Country | Percentage of Total Investments* |
Australia | 60.42 | % | ||
Hong Kong | 27.62 | |||
Singapore | 10.48 | |||
New Zealand | 1.48 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SINGAPORE CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Singapore Capped ETF (the “Fund”) (formerly the iShares MSCI Singapore ETF) seeks to track the investment results of an index composed of Singaporean equities, as represented by the MSCI Singapore 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 8.51%, net of fees, while the total return for the Index was 8.79%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | |||||||||||||||||||||||
Fund NAV | 19.16% | 0.76% | 3.39% | 19.16% | 3.87% | 39.56% | ||||||||||||||||||||||
Fund Market | 19.46% | 0.88% | 3.42% | 19.46% | 4.47% | 39.93% | ||||||||||||||||||||||
Indexa | 19.74% | 1.17% | 3.67% | 19.74% | 6.00% | 43.40% | ||||||||||||||||||||||
MSCI Singapore Index | 19.66% | 1.16% | 3.66% | 19.66% | 5.93% | 43.31% | ||||||||||||||||||||||
MSCI Singapore 25/50 Indexb | n/a | n/a | n/a | n/a | n/a | n/a |
a | Index performance through November 30, 2016 reflects the performance of the MSCI Singapore Index. Index performance beginning on December 1, 2016 reflects the performance of the MSCI Singapore 25/50 Index, which, effective as of December 1, 2016, replaced the MSCI Singapore Index as the underlying index of the Fund. |
b | The inception date for the MSCI Singapore 25/50 Index was July 20, 2016. |
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,085.10 | $ | 2.53 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 36.19 | % | ||
Real Estate | 19.59 | |||
Industrials | 18.76 | |||
Telecommunication Services | 12.79 | |||
Consumer Discretionary | 7.86 | |||
Consumer Staples | 4.81 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
DBS Group Holdings Ltd. | 12.30 | % | ||
Singapore Telecommunications Ltd. | 11.67 | |||
Oversea-Chinese Banking Corp. Ltd. | 10.82 | |||
United Overseas Bank Ltd. | 10.19 | |||
Keppel Corp. Ltd. | 4.58 | |||
Global Logistic Properties Ltd. | 3.84 | |||
CapitaLand Ltd. | 3.56 | |||
Wilmar International Ltd. | 3.33 | |||
Genting Singapore PLC | 2.95 | |||
Ascendas REIT | 2.91 | |||
|
| |||
TOTAL | 66.15 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI TAIWAN CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Taiwan Capped ETF (the “Fund”) (formerly the iShares MSCI Taiwan ETF) seeks to track the investment results of an index composed of Taiwanese equities, as represented by the MSCI Taiwan 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 10.16%, net of fees, while the total return for the Index was 10.69%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | |||||||||||||||||||||||
Fund NAV | 29.88% | 5.82% | 4.36% | 29.88% | 32.70% | 53.22% | ||||||||||||||||||||||
Fund Market | 29.12% | 5.87% | 4.61% | 29.12% | 32.98% | 56.99% | ||||||||||||||||||||||
Indexa | 31.30% | 6.47% | 4.96% | 31.30% | 36.82% | 62.26% | ||||||||||||||||||||||
MSCI Taiwan Index | 31.12% | 6.44% | 4.95% | 31.12% | 36.63% | 62.04% | ||||||||||||||||||||||
MSCI Taiwan 25/50 Indexb | n/a | n/a | n/a | n/a | n/a | n/a |
a | Index performance through November 30, 2016 reflects the performance of the MSCI Taiwan Index. Index performance beginning on December 1, 2016 reflects the performance of the MSCI Taiwan 25/50 Index, which, effective as of December 1, 2016, replaced the MSCI Taiwan Index as the underlying index of the Fund. |
b | The inception date for the MSCI Taiwan 25/50 Index was July 20, 2016. |
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,101.60 | $ | 3.23 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR As of 2/28/17
Sector | Percentage of Total Investments* |
Information Technology | 56.15 | % | ||
Financials | 17.65 | |||
Materials | 10.45 | |||
Telecommunication Services | 4.49 | |||
Consumer Discretionary | 4.42 | |||
Consumer Staples | 2.82 | |||
Industrials | 2.01 | |||
Energy | 0.86 | |||
Real Estate | 0.62 | |||
Health Care | 0.53 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS As of 2/28/17
Security | Percentage of Total Investments* |
Taiwan Semiconductor Manufacturing Co. Ltd. | 22.56 | % | ||
Hon Hai Precision Industry Co. Ltd. | 8.67 | |||
Largan Precision Co. Ltd. | 2.92 | |||
Cathay Financial Holding Co. Ltd. | 2.51 | |||
Formosa Plastics Corp. | 2.50 | |||
Chunghwa Telecom Co. Ltd. | 2.45 | |||
Nan Ya Plastics Corp. | 2.31 | |||
MediaTek Inc. | 2.14 | |||
Fubon Financial Holding Co. Ltd. | 2.14 | |||
Delta Electronics Inc. | 2.13 | |||
|
| |||
TOTAL | 50.33 | % | ||
|
|
* | Excludes money market funds. |
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI THAILAND CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Thailand Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Thai equities, as represented by the MSCI Thailand Investable Market Index 25/50 (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 0.20%, net of fees, while the total return for the Index was 0.26%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 22.82% | 21.69% | 23.37% | 22.82% | 21.69% | 23.37% | ||||||||||||||||||||||
5 Years | 3.41% | 3.48% | 3.57% | 18.26% | 18.64% | 19.16% | ||||||||||||||||||||||
Since Inception | 7.52% | 7.48% | 7.85% | 91.13% | 90.38% | 96.33% |
The inception date of the Fund was 3/26/08. The first day of secondary market trading was 3/28/08.
Index performance through February 11, 2013 reflects the performance of the MSCI Thailand Investable Market Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Thailand Investable Market Index 25/50.
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 (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,002.00 | $ | 3.08 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 12 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 21.70 | % | ||
Energy | 17.52 | |||
Consumer Staples | 11.53 | |||
Industrials | 10.56 | |||
Materials | 10.06 | |||
Telecommunication Services | 6.20 | |||
Consumer Discretionary | 6.20 | |||
Real Estate | 5.44 | |||
Health Care | 4.58 | |||
Utilities | 3.38 | |||
Information Technology | 2.83 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
PTT PCL NVDR | 9.42 | % | ||
CP ALL PCL NVDR | 7.03 | |||
Siam Commercial Bank PCL (The) NVDR | 6.45 | |||
Kasikornbank PCL Foreign | 5.30 | |||
Advanced Info Service PCL NVDR | 4.14 | |||
Airports of Thailand PCL NVDR | 3.95 | |||
Siam Cement PCL (The) Foreign | 3.66 | |||
PTT Global Chemical PCL NVDR | 3.50 | |||
PTT Exploration & Production PCL NVDR | 3.06 | |||
Kasikornbank PCL NVDR | 2.60 | |||
|
| |||
TOTAL | 49.11 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 11 |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.47% |
| |||||||
AIRLINES — 0.39% | ||||||||
Cathay Pacific Airways Ltd.a | 4,233,000 | $ | 6,216,620 | |||||
|
| |||||||
6,216,620 | ||||||||
BANKS — 7.93% |
| |||||||
Bank of East Asia Ltd. (The) | 4,363,010 | 18,042,322 | ||||||
BOC Hong Kong Holdings Ltd. | 13,274,500 | 52,499,810 | ||||||
Hang Seng Bank Ltd. | 2,743,300 | 56,262,309 | ||||||
|
| |||||||
126,804,441 | ||||||||
CAPITAL MARKETS — 6.47% |
| |||||||
Hong Kong Exchanges & Clearing Ltd.a | 4,172,400 | 103,578,313 | ||||||
|
| |||||||
103,578,313 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.35% |
| |||||||
First Pacific Co. Ltd./Hong Kong | 7,678,999 | 5,638,722 | ||||||
|
| |||||||
5,638,722 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.71% |
| |||||||
HKT Trust & HKT Ltd. | 13,580,500 | 18,124,945 | ||||||
PCCW Ltd. | 15,231,169 | 9,281,017 | ||||||
|
| |||||||
27,405,962 | ||||||||
ELECTRIC UTILITIES — 8.28% |
| |||||||
Cheung Kong Infrastructure Holdings Ltd. | 2,377,000 | 19,582,625 | ||||||
CLP Holdings Ltd. | 5,890,700 | 59,912,884 | ||||||
HK Electric Investments & HK Electric Investments Ltd.b | 9,509,500 | 8,305,936 | ||||||
Power Assets Holdings Ltd. | 4,976,500 | 44,652,555 | ||||||
|
| |||||||
132,454,000 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 3.45% |
| |||||||
Link REIT | 8,004,500 | 55,219,805 | ||||||
|
| |||||||
55,219,805 | ||||||||
FOOD PRODUCTS — 1.41% |
| |||||||
WH Group Ltd.b | 28,905,500 | 22,603,222 | ||||||
|
| |||||||
22,603,222 | ||||||||
GAS UTILITIES — 3.29% |
| |||||||
Hong Kong & China Gas Co. Ltd.a | 27,370,912 | 52,679,428 | ||||||
|
| |||||||
52,679,428 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 7.22% |
| |||||||
Galaxy Entertainment Group Ltd. | 8,427,000 | 40,384,724 | ||||||
Melco Crown Entertainment Ltd. ADR | 682,559 | 11,173,491 |
Security | Shares | Value | ||||||
MGM China Holdings Ltd. | 3,407,888 | $ | 6,207,774 | |||||
Sands China Ltd.a | 8,685,200 | 36,251,503 | ||||||
Shangri-La Asia Ltd. | 4,494,000 | 5,719,936 | ||||||
SJM Holdings Ltd. | 7,103,000 | 5,828,844 | ||||||
Wynn Macau Ltd. | 5,591,200 | 9,968,787 | ||||||
|
| |||||||
115,535,059 | ||||||||
HOUSEHOLD DURABLES — 1.11% |
| |||||||
Techtronic Industries Co. Ltd. | 4,935,147 | 17,674,457 | ||||||
|
| |||||||
17,674,457 | ||||||||
INDUSTRIAL CONGLOMERATES — 13.36% |
| |||||||
CK Hutchison Holdings Ltd. | 9,691,767 | 119,735,451 | ||||||
Jardine Matheson Holdings Ltd. | 896,800 | 55,763,024 | ||||||
Jardine Strategic Holdings Ltd. | 756,000 | 28,198,800 | ||||||
NWS Holdings Ltd. | 5,498,000 | 10,015,101 | ||||||
|
| |||||||
213,712,376 | ||||||||
INSURANCE — 17.08% |
| |||||||
AIA Group Ltd. | 43,249,000 | 273,285,296 | ||||||
|
| |||||||
273,285,296 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 23.78% |
| |||||||
Cheung Kong Property Holdings Ltd. | 9,656,267 | 65,681,698 | ||||||
Hang Lung Group Ltd. | 3,175,000 | 13,190,906 | ||||||
Hang Lung Properties Ltd. | 8,067,000 | 20,368,981 | ||||||
Henderson Land Development Co. Ltd. | 3,914,966 | 22,746,036 | ||||||
Hongkong Land Holdings Ltd. | 4,220,000 | 28,822,600 | ||||||
Hysan Development Co. Ltd. | 2,250,000 | 10,492,821 | ||||||
Kerry Properties Ltd. | 2,329,500 | 7,142,346 | ||||||
New World Development Co. Ltd. | 20,220,066 | 26,465,339 | ||||||
Sino Land Co. Ltd. | 11,056,000 | 19,256,436 | ||||||
Sun Hung Kai Properties Ltd. | 5,193,000 | 75,930,344 | ||||||
Swire Pacific Ltd. Class A | 1,948,500 | 20,031,086 | ||||||
Swire Properties Ltd. | 4,197,000 | 12,624,874 | ||||||
Wharf Holdings Ltd. (The) | 4,894,150 | 38,806,682 | ||||||
Wheelock & Co. Ltd. | 2,919,357 | 18,973,592 | ||||||
|
| |||||||
380,533,741 | ||||||||
ROAD & RAIL — 1.75% |
| |||||||
MTR Corp. Ltd. | 5,294,583 | 27,999,231 | ||||||
|
| |||||||
27,999,231 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.68% |
| |||||||
ASM Pacific Technology Ltd. | 874,100 | 10,872,129 | ||||||
|
| |||||||
10,872,129 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI HONG KONG ETF
February 28, 2017
Security | Shares | Value | ||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.21% |
| |||||||
Li & Fung Ltd.a | 21,132,000 | $ | 9,419,284 | |||||
Yue Yuen Industrial Holdings Ltd. | 2,662,000 | 9,910,763 | ||||||
|
| |||||||
19,330,047 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,710,921,091) | 1,591,542,849 | |||||||
SHORT-TERM INVESTMENTS — 4.98% |
| |||||||
MONEY MARKET FUNDS — 4.98% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 78,707,415 | 78,738,898 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 1,006,851 | 1,006,851 | ||||||
|
| |||||||
79,745,749 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 79,745,749 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| $ | 1,671,288,598 | |||||
Other Assets, Less Liabilities — (4.45)% |
| (71,229,389 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 1,600,059,209 | ||||||
|
|
ADR — American Depositary Receipts
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 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 $1,807,343,011. Net unrealized depreciation was $136,054,413, of which $47,024,636 represented gross unrealized appreciation on securities and $183,079,049 represented gross unrealized depreciation on securities. |
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
Hang Seng Index | 45 | Mar. 2017 | Hong Kong Futures | $ | 6,982,171 | $ | 6,881,784 | $ | (100,387 | ) | ||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 1,591,542,849 | $ | — | $ | — | $ | 1,591,542,849 | ||||||||
Money market funds | 79,745,749 | — | — | 79,745,749 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,671,288,598 | $ | — | $ | — | $ | 1,671,288,598 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Liabilities: | ||||||||||||||||
Futures contracts | $ | (100,387 | ) | $ | — | $ | — | $ | (100,387 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (100,387 | ) | $ | — | $ | — | $ | (100,387 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.53% | ||||||||
AEROSPACE & DEFENSE — 0.03% |
| |||||||
Jamco Corp.a | 2,100 | $ | 46,210 | |||||
|
| |||||||
46,210 | ||||||||
AIR FREIGHT & LOGISTICS — 0.23% |
| |||||||
Kintetsu World Express Inc. | 8,400 | 129,283 | ||||||
Konoike Transport Co. Ltd. | 6,300 | 80,295 | ||||||
Mitsui-Soko Holdings Co. Ltd. | 21,000 | 63,628 | ||||||
Yusen Logistics Co. Ltd. | 4,200 | 46,810 | ||||||
|
| |||||||
320,016 | ||||||||
AUTO COMPONENTS — 4.08% |
| |||||||
Aisan Industry Co. Ltd. | 8,400 | 72,600 | ||||||
Akebono Brake Industry Co. Ltd.b | 21,000 | 57,622 | ||||||
Calsonic Kansei Corp. | 29,000 | 332,806 | ||||||
Daido Metal Co. Ltd. | 6,300 | 57,716 | ||||||
Daikyonishikawa Corp. | 8,400 | 112,390 | ||||||
Eagle Industry Co. Ltd. | 4,200 | 60,775 | ||||||
Exedy Corp. | 6,300 | 180,748 | ||||||
FCC Co. Ltd. | 6,300 | 126,918 | ||||||
Futaba Industrial Co. Ltd. | 12,600 | 88,516 | ||||||
G-Tekt Corp. | 4,200 | 78,456 | ||||||
Kasai Kogyo Co. Ltd. | 6,300 | 82,378 | ||||||
Keihin Corp. | 8,400 | 141,145 | ||||||
KYB Corp. | 42,000 | 227,108 | ||||||
Mitsuba Corp. | 6,300 | 119,936 | ||||||
Musashi Seimitsu Industry Co. Ltd. | 4,200 | 112,053 | ||||||
NHK Spring Co. Ltd. | 44,100 | 506,095 | ||||||
Nifco Inc./Japan | 8,400 | 431,693 | ||||||
Nippon Seiki Co. Ltd. | 8,000 | 167,386 | ||||||
Nissin Kogyo Co. Ltd. | 8,400 | 149,929 | ||||||
Pacific Industrial Co. Ltd. | 8,400 | 104,883 | ||||||
Piolax Inc. | 2,100 | 144,523 | ||||||
Press Kogyo Co. Ltd. | 21,000 | 106,985 | ||||||
Riken Corp. | 2,100 | 83,429 | ||||||
Sanden Holdings Corp. | 21,000 | 73,012 | ||||||
Showa Corp. | 10,500 | 87,371 | ||||||
Sumitomo Riko Co. Ltd. | 8,400 | 87,765 | ||||||
Tachi-S Co. Ltd. | 6,300 | 116,276 | ||||||
Taiho Kogyo Co. Ltd. | 4,200 | 59,536 | ||||||
Takata Corp.a,b | 6,300 | 31,082 | ||||||
Tokai Rika Co. Ltd. | 10,500 | 212,656 | ||||||
Topre Corp. | 6,300 | 166,052 | ||||||
Toyo Tire & Rubber Co. Ltd. | 21,000 | 341,788 | ||||||
Toyota Boshoku Corp. | 12,600 | 281,426 |
Security | Shares | Value | ||||||
TPR Co. Ltd. | 4,200 | $ | 143,585 | |||||
TS Tech Co. Ltd. | 10,500 | 275,627 | ||||||
Unipres Corp. | 8,400 | 180,635 | ||||||
Yorozu Corp. | 4,200 | 67,006 | ||||||
|
| |||||||
5,669,907 | ||||||||
AUTOMOBILES — 0.12% |
| |||||||
Nissan Shatai Co. Ltd. | 16,800 | 160,815 | ||||||
|
| |||||||
160,815 | ||||||||
BANKS — 5.79% |
| |||||||
77 Bank Ltd. (The) | 63,000 | 297,868 | ||||||
Aichi Bank Ltd. (The) | 2,100 | 132,136 | ||||||
Akita Bank Ltd. (The) | 42,000 | 134,388 | ||||||
Aomori Bank Ltd. (The) | 42,000 | 145,650 | ||||||
Awa Bank Ltd. (The) | 42,000 | 296,179 | ||||||
Bank of Iwate Ltd. (The) | 4,200 | 179,434 | ||||||
Bank of Nagoya Ltd. (The) | 2,100 | 79,300 | ||||||
Bank of Okinawa Ltd. (The) | 4,200 | 160,665 | ||||||
Bank of Saga Ltd. (The) | 21,000 | 59,123 | ||||||
Bank of the Ryukyus Ltd. | 8,400 | 123,352 | ||||||
Chiba Kogyo Bank Ltd. (The) | 10,500 | 59,686 | ||||||
Chukyo Bank Ltd. (The) | 2,100 | 44,446 | ||||||
Daishi Bank Ltd. (The) | 63,000 | 286,044 | ||||||
Ehime Bank Ltd. (The) | 6,300 | 78,099 | ||||||
Eighteenth Bank Ltd. (The) | 42,000 | 137,391 | ||||||
Gunma Bank Ltd. (The) | 69,300 | 403,840 | ||||||
Hokkoku Bank Ltd. (The) | 63,000 | 259,579 | ||||||
Hokuetsu Bank Ltd. (The) | 4,200 | 101,692 | ||||||
Hokuhoku Financial Group Inc. | 25,200 | 443,706 | ||||||
Hyakugo Bank Ltd. (The) | 42,000 | 177,182 | ||||||
Hyakujushi Bank Ltd. (The) | 42,000 | 150,905 | ||||||
Iyo Bank Ltd. (The) | 50,400 | 372,983 | ||||||
Jimoto Holdings Inc. | 33,600 | 58,560 | ||||||
Juroku Bank Ltd. (The) | 63,000 | 224,105 | ||||||
Kansai Urban Banking Corp. | 6,300 | 86,376 | ||||||
Keiyo Bank Ltd. (The) | 42,000 | 194,450 | ||||||
Kiyo Bank Ltd. (The) | 12,600 | 210,253 | ||||||
Mie Bank Ltd. (The) | 2,100 | 45,478 | ||||||
Minato Bank Ltd. (The) | 4,200 | 86,827 | ||||||
Miyazaki Bank Ltd. (The) | 21,000 | 69,446 | ||||||
Musashino Bank Ltd. (The) | 6,300 | 203,834 | ||||||
Nanto Bank Ltd. (The) | 4,200 | 170,425 | ||||||
Nishi-Nippon Financial Holdings Inc.b | 23,100 | 251,264 | ||||||
North Pacific Bank Ltd. | 60,900 | 253,648 | ||||||
Ogaki Kyoritsu Bank Ltd. (The) | 63,000 | 207,213 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Oita Bank Ltd. (The) | 21,000 | $ | 83,711 | |||||
San-in Godo Bank Ltd. (The) | 29,400 | 264,346 | ||||||
Senshu Ikeda Holdings Inc. | 48,300 | 219,300 | ||||||
Shiga Bank Ltd. (The) | 42,000 | 232,364 | ||||||
Shikoku Bank Ltd. (The) | 42,000 | 115,619 | ||||||
Tochigi Bank Ltd. (The) | 21,000 | 106,609 | ||||||
Toho Bank Ltd. (The) | 42,000 | 160,290 | ||||||
Tokyo TY Financial Group Inc. | 6,330 | 216,403 | ||||||
TOMONY Holdings Inc. | 27,300 | 155,184 | ||||||
Towa Bank Ltd. (The) | 63,000 | 67,006 | ||||||
Tsukuba Bank Ltd. | 16,800 | 51,653 | ||||||
Yamagata Bank Ltd. (The) | 21,000 | 90,092 | ||||||
Yamanashi Chuo Bank Ltd. (The) | 21,000 | 99,853 | ||||||
|
| |||||||
8,047,957 | ||||||||
BEVERAGES — 1.21% |
| |||||||
Coca-Cola East Japan Co. Ltd. | 12,666 | 280,976 | ||||||
Coca-Cola West Co. Ltd. | 12,600 | 375,010 | ||||||
Ito EN Ltd. | 10,500 | 360,370 | ||||||
Sapporo Holdings Ltd. | 12,600 | 317,914 | ||||||
Takara Holdings Inc. | 33,600 | 345,955 | ||||||
|
| |||||||
1,680,225 | ||||||||
BIOTECHNOLOGY — 0.49% |
| |||||||
Japan Tissue Engineering Co. Ltd.b | 4,200 | 50,452 | ||||||
NanoCarrier Co. Ltd.a,b | 8,400 | 60,737 | ||||||
OncoTherapy Science Inc.b | 29,400 | 72,787 | ||||||
PeptiDream Inc.a,b | 6,300 | 300,121 | ||||||
SanBio Co. Ltd.b | 4,200 | 45,835 | ||||||
Takara Bio Inc. | 10,500 | 147,808 | ||||||
|
| |||||||
677,740 | ||||||||
BUILDING PRODUCTS — 1.70% |
| |||||||
Aica Kogyo Co. Ltd. | 10,500 | 269,527 | ||||||
Bunka Shutter Co. Ltd. | 10,500 | 77,048 | ||||||
Central Glass Co. Ltd. | 42,000 | 192,573 | ||||||
Nichias Corp. | 21,000 | 197,828 | ||||||
Nichiha Corp. | 6,300 | 177,370 | ||||||
Nippon Sheet Glass Co. Ltd.a,b | 18,900 | 142,571 | ||||||
Nitto Boseki Co. Ltd. | 42,000 | 185,065 | ||||||
Noritz Corp. | 6,300 | 116,726 | ||||||
Okabe Co. Ltd. | 8,400 | 76,203 | ||||||
Sankyo Tateyama Inc. | 6,300 | 94,147 | ||||||
Sanwa Holdings Corp. | 42,000 | 397,908 | ||||||
Sekisui Jushi Corp. | 6,300 | 104,113 | ||||||
Takara Standard Co. Ltd. | 10,500 | 173,240 | ||||||
Takasago Thermal Engineering Co. Ltd. | 10,500 | 157,193 | ||||||
|
| |||||||
2,361,512 |
Security | Shares | Value | ||||||
CAPITAL MARKETS — 0.88% |
| |||||||
Ichiyoshi Securities Co. Ltd. | 8,400 | $ | 66,218 | |||||
Jafco Co. Ltd. | 6,300 | 216,222 | ||||||
kabu.com Securities Co. Ltd. | 29,400 | 100,904 | ||||||
Kyokuto Securities Co. Ltd. | 4,200 | 62,727 | ||||||
Marusan Securities Co. Ltd. | 10,500 | 90,468 | ||||||
Matsui Securities Co. Ltd. | 21,000 | 173,053 | ||||||
Monex Group Inc. | 37,800 | 99,665 | ||||||
Okasan Securities Group Inc. | 21,000 | 139,643 | ||||||
SPARX Group Co. Ltd. | 18,900 | 37,501 | ||||||
Tokai Tokyo Financial Holdings Inc. | 39,900 | 231,800 | ||||||
|
| |||||||
1,218,201 | ||||||||
CHEMICALS — 6.69% |
| |||||||
Achilles Corp. | 4,200 | 67,907 | ||||||
ADEKA Corp. | 16,800 | 236,042 | ||||||
Chugoku Marine Paints Ltd. | 16,800 | 127,031 | ||||||
Dainichiseika Color & Chemicals Manufacturing Co. Ltd. | 21,000 | 132,511 | ||||||
Denka Co. Ltd. | 84,000 | 439,201 | ||||||
DIC Corp. | 16,800 | 615,632 | ||||||
Fujimi Inc. | 4,200 | 93,396 | ||||||
Fujimori Kogyo Co. Ltd. | 4,200 | 117,308 | ||||||
Ihara Chemical Industry Co. Ltd. | 4,200 | 41,480 | ||||||
Ishihara Sangyo Kaisha Ltd.b | 8,400 | 83,035 | ||||||
JSP Corp. | 2,100 | 48,913 | ||||||
Konishi Co. Ltd. | 6,300 | 74,721 | ||||||
Kumiai Chemical Industry Co. Ltd. | 8,400 | 52,704 | ||||||
Kureha Corp. | 2,100 | 88,966 | ||||||
Lintec Corp. | 10,500 | 224,105 | ||||||
Nihon Nohyaku Co. Ltd. | 10,500 | 65,411 | ||||||
Nihon Parkerizing Co. Ltd. | 18,900 | 229,229 | ||||||
Nippon Kayaku Co. Ltd. | 27,000 | 371,873 | ||||||
Nippon Shokubai Co. Ltd. | 4,800 | 318,756 | ||||||
Nippon Soda Co. Ltd. | 21,000 | 122,939 | ||||||
NOF Corp. | 30,000 | 327,390 | ||||||
Okamoto Industries Inc. | 21,000 | 191,822 | ||||||
Osaka Soda Co. Ltd. | 21,000 | 93,846 | ||||||
Sakai Chemical Industry Co. Ltd. | 21,000 | 78,643 | ||||||
Sakata INX Corp. | 8,400 | 118,096 | ||||||
Sanyo Chemical Industries Ltd. | 2,100 | 87,746 | ||||||
Shin-Etsu Polymer Co. Ltd. | 8,400 | 61,263 | ||||||
Showa Denko KK | 27,300 | 482,877 | ||||||
Stella Chemifa Corp. | 2,100 | 61,469 | ||||||
Sumitomo Bakelite Co. Ltd. | 42,000 | 251,133 | ||||||
Sumitomo Seika Chemicals Co. Ltd. | 2,100 | 89,717 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Taiyo Holdings Co. Ltd. | 4,200 | $ | 181,124 | |||||
Takasago International Corp. | 2,100 | 67,194 | ||||||
Tenma Corp. | 4,200 | 79,131 | ||||||
Toagosei Co. Ltd. | 21,000 | 238,182 | ||||||
Tokai Carbon Co. Ltd. | 42,000 | 170,800 | ||||||
Tokuyama Corp.b | 63,000 | 302,936 | ||||||
Tokyo Ohka Kogyo Co. Ltd. | 8,400 | 274,782 | ||||||
Tosoh Corp. | 126,000 | 1,100,255 | ||||||
Toyo Ink SC Holdings Co. Ltd. | 42,000 | 209,841 | ||||||
Toyobo Co. Ltd. | 168,000 | 292,801 | ||||||
Ube Industries Ltd. | 231,000 | 580,158 | ||||||
W-Scope Corp.a | 6,300 | 105,070 | ||||||
Zeon Corp. | 27,000 | 297,788 | ||||||
|
| |||||||
9,295,224 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.66% |
| |||||||
Aeon Delight Co. Ltd. | 4,200 | 130,259 | ||||||
Bell System24 Holdings Inc. | 6,300 | 52,479 | ||||||
Daiseki Co. Ltd. | 8,460 | 180,867 | ||||||
Duskin Co. Ltd. | 8,400 | 184,990 | ||||||
Itoki Corp. | 8,400 | 54,431 | ||||||
Kokuyo Co. Ltd. | 16,800 | 222,228 | ||||||
Kyodo Printing Co. Ltd. | 21,000 | 72,449 | ||||||
Matsuda Sangyo Co. Ltd. | 4,260 | 58,521 | ||||||
Mitsubishi Pencil Co. Ltd. | 4,200 | 211,717 | ||||||
Nippon Kanzai Co. Ltd. | 4,200 | 68,883 | ||||||
Nippon Parking Development Co. Ltd. | 39,900 | 53,849 | ||||||
Nissha Printing Co. Ltd.a | 6,300 | 179,904 | ||||||
Okamura Corp. | 14,700 | 134,275 | ||||||
Oyo Corp. | 4,200 | 54,056 | ||||||
Pilot Corp. | 6,300 | 251,414 | ||||||
Prestige International Inc. | 8,400 | 69,446 | ||||||
Relia Inc. | 8,400 | 83,786 | ||||||
Sato Holdings Corp. | 6,300 | 138,574 | ||||||
Toppan Forms Co. Ltd. | 10,500 | 100,322 | ||||||
|
| |||||||
2,302,450 | ||||||||
COMMUNICATIONS EQUIPMENT — 0.28% |
| |||||||
Denki Kogyo Co. Ltd. | 21,000 | 104,920 | ||||||
Hitachi Kokusai Electric Inc. | 10,500 | 241,279 | ||||||
Icom Inc. | 2,100 | 46,154 | ||||||
|
| |||||||
392,353 | ||||||||
CONSTRUCTION & ENGINEERING — 4.66% |
| |||||||
Chiyoda Corp. | 30,000 | 193,055 | ||||||
Chudenko Corp. | 6,300 | 134,069 | ||||||
COMSYS Holdings Corp. | 21,000 | 373,884 |
Security | Shares | Value | ||||||
Daiho Corp. | 21,000 | $ | 97,225 | |||||
Fudo Tetra Corp. | 37,800 | 67,907 | ||||||
Hazama Ando Corp. | 35,700 | 259,729 | ||||||
Hibiya Engineering Ltd. | 4,200 | 63,027 | ||||||
Kandenko Co. Ltd. | 21,000 | 174,930 | ||||||
Kinden Corp. | 25,200 | 340,775 | ||||||
Kumagai Gumi Co. Ltd. | 84,000 | 231,237 | ||||||
Kyowa Exeo Corp. | 18,900 | 263,183 | ||||||
Kyudenko Corp. | 8,400 | 213,144 | ||||||
Maeda Corp. | 21,000 | 187,130 | ||||||
Maeda Road Construction Co. Ltd. | 21,000 | 376,512 | ||||||
Mirait Holdings Corp. | 12,600 | 125,679 | ||||||
Nippo Corp. | 10,000 | 190,374 | ||||||
Nippon Densetsu Kogyo Co. Ltd. | 6,300 | 109,857 | ||||||
Nippon Koei Co. Ltd. | 4,200 | 104,245 | ||||||
Nippon Road Co. Ltd. (The) | 21,000 | 90,843 | ||||||
Nishimatsu Construction Co. Ltd. | 63,000 | 328,838 | ||||||
Okumura Corp. | 42,000 | 266,524 | ||||||
OSJB Holdings Corp. | 27,300 | 62,464 | ||||||
Penta-Ocean Construction Co. Ltd. | 56,700 | 269,095 | ||||||
Raito Kogyo Co. Ltd. | 8,400 | 87,014 | ||||||
Sanki Engineering Co. Ltd. | 8,400 | 73,425 | ||||||
Shinnihon Corp. | 6,300 | 53,661 | ||||||
SHO-BOND Holdings Co. Ltd. | 4,200 | 182,437 | ||||||
Sumitomo Densetsu Co. Ltd. | 4,200 | 48,275 | ||||||
Sumitomo Mitsui Construction Co. Ltd. | 168,000 | 186,191 | ||||||
Taikisha Ltd. | 6,300 | 161,603 | ||||||
Takamatsu Construction Group Co. Ltd. | 2,100 | 51,484 | ||||||
Tekken Corp. | 21,000 | 62,126 | ||||||
Toa Corp./Tokyo | 4,200 | 74,627 | ||||||
Toda Corp. | 42,000 | 256,388 | ||||||
Tokyu Construction Co. Ltd. | 16,840 | 124,473 | ||||||
Toshiba Plant Systems & Services Corp. | 8,400 | 118,472 | ||||||
Totetsu Kogyo Co. Ltd. | 6,300 | 172,583 | ||||||
Toyo Construction Co. Ltd. | 14,700 | 54,788 | ||||||
Toyo Engineering Corp. | 42,000 | 101,729 | ||||||
Yahagi Construction Co. Ltd. | 6,300 | 57,209 | ||||||
Yokogawa Bridge Holdings Corp. | 6,300 | 78,944 | ||||||
|
| |||||||
6,469,155 | ||||||||
CONSTRUCTION MATERIALS — 0.25% |
| |||||||
Sumitomo Osaka Cement Co. Ltd. | 84,000 | 350,610 | ||||||
|
| |||||||
350,610 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
CONSUMER FINANCE — 0.65% |
| |||||||
Aiful Corp.b | 65,100 | $ | 200,737 | |||||
Hitachi Capital Corp. | 10,500 | 272,530 | ||||||
J Trust Co. Ltd. | 14,700 | 172,903 | ||||||
Jaccs Co. Ltd. | 21,000 | 93,283 | ||||||
Orient Corp.a,b | 88,200 | 163,968 | ||||||
|
| |||||||
903,421 | ||||||||
CONTAINERS & PACKAGING — 0.46% |
| |||||||
FP Corp. | 4,200 | 191,071 | ||||||
Fuji Seal International Inc. | 8,400 | 169,374 | ||||||
Pack Corp. (The) | 2,100 | 57,716 | ||||||
Rengo Co. Ltd. | 37,800 | 220,276 | ||||||
|
| |||||||
638,437 | ||||||||
DISTRIBUTORS — 0.34% |
| |||||||
Canon Marketing Japan Inc. | 10,500 | 210,310 | ||||||
Doshisha Co. Ltd. | 4,200 | 77,892 | ||||||
PALTAC Corp. | 6,300 | 179,059 | ||||||
|
| |||||||
467,261 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 0.06% |
| |||||||
Meiko Network Japan Co. Ltd. | 8,400 | 90,168 | ||||||
|
| |||||||
90,168 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.94% |
| |||||||
Financial Products Group Co. Ltd.a | 14,700 | 144,261 | ||||||
Fuyo General Lease Co. Ltd. | 4,200 | 201,582 | ||||||
IBJ Leasing Co. Ltd. | 4,200 | 94,860 | ||||||
Japan Securities Finance Co. Ltd. | 16,800 | 96,249 | ||||||
Ricoh Leasing Co. Ltd. | 4,200 | 138,517 | ||||||
Tokyo Century Corp. | 8,480 | 287,631 | ||||||
Zenkoku Hosho Co. Ltd. | 10,500 | 343,008 | ||||||
|
| |||||||
1,306,108 | ||||||||
ELECTRIC UTILITIES — 0.56% |
| |||||||
Hokkaido Electric Power Co. Inc. | 37,800 | 275,007 | ||||||
Okinawa Electric Power Co. Inc. (The) | 6,300 | 146,006 | ||||||
Shikoku Electric Power Co. Inc.b | 35,700 | 359,920 | ||||||
|
| |||||||
780,933 | ||||||||
ELECTRICAL EQUIPMENT — 1.64% |
| |||||||
Chiyoda Integre Co. Ltd. | 2,100 | 46,754 | ||||||
Cosel Co. Ltd. | 4,200 | 53,568 | ||||||
Daihen Corp. | 21,000 | 139,643 | ||||||
Denyo Co. Ltd. | 4,200 | 64,641 | ||||||
Fujikura Ltd. | 56,700 | 422,647 | ||||||
Furukawa Electric Co. Ltd. | 14,700 | 539,335 | ||||||
Futaba Corp. | 6,300 | 114,361 |
Security | Shares | Value | ||||||
GS Yuasa Corp. | 63,000 | $ | 289,985 | |||||
Idec Corp./Japan | 6,300 | 68,414 | ||||||
Nissin Electric Co. Ltd. | 10,500 | 123,971 | ||||||
Nitto Kogyo Corp. | 6,300 | 88,741 | ||||||
Toyo Tanso Co. Ltd. | 2,100 | 35,568 | ||||||
Ushio Inc. | 23,100 | 296,480 | ||||||
|
| |||||||
2,284,108 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 3.99% |
| |||||||
Ai Holdings Corp. | 8,400 | 177,332 | ||||||
Amano Corp. | 12,600 | 254,962 | ||||||
Anritsu Corp. | 29,400 | 227,296 | ||||||
Azbil Corp. | 12,600 | 406,542 | ||||||
Canon Electronics Inc. | 4,200 | 66,894 | ||||||
Citizen Watch Co. Ltd. | 56,700 | 370,449 | ||||||
Daiwabo Holdings Co. Ltd. | 42,000 | 113,742 | ||||||
Dexerials Corp.b | 10,500 | 119,373 | ||||||
Elematec Corp. | 2,100 | 36,619 | ||||||
Enplas Corp. | 2,100 | 62,783 | ||||||
HORIBA Ltd. | 8,400 | 467,730 | ||||||
Hosiden Corp. | 12,600 | 111,152 | ||||||
Ibiden Co. Ltd. | 23,100 | 375,554 | ||||||
Iriso Electronics Co. Ltd. | 2,100 | 125,566 | ||||||
Japan Aviation Electronics Industry Ltd. | 10,000 | 138,624 | ||||||
Japan Cash Machine Co. Ltd. | 4,200 | 56,158 | ||||||
Japan Display Inc.a,b | 73,500 | 182,625 | ||||||
Kaga Electronics Co. Ltd. | 4,200 | 75,790 | ||||||
Koa Corp. | 6,300 | 82,040 | ||||||
Macnica Fuji Electronics Holdings Inc. | 6,300 | 89,304 | ||||||
Maruwa Co. Ltd./Aichi | 2,100 | 68,602 | ||||||
Nichicon Corp. | 10,500 | 101,448 | ||||||
Nippon Ceramic Co. Ltd. | 4,200 | 89,342 | ||||||
Nippon Signal Co. Ltd. | 10,500 | 100,040 | ||||||
Nohmi Bosai Ltd. | 4,200 | 56,420 | ||||||
Oki Electric Industry Co. Ltd. | 16,800 | 239,946 | ||||||
Optex Group Co. Ltd. | 2,100 | 56,139 | ||||||
Ryosan Co. Ltd. | 6,300 | 201,582 | ||||||
Ryoyo Electro Corp. | 4,200 | 59,574 | ||||||
SIIX Corp. | 4,200 | 160,290 | ||||||
SMK Corp. | 21,000 | 82,585 | ||||||
Taiyo Yuden Co. Ltd. | 21,000 | 281,164 | ||||||
Topcon Corp. | 21,000 | 369,379 | ||||||
Toyo Corp./Chuo-ku | 6,300 | 56,252 |
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
UKC Holdings Corp. | 4,200 | $ | 82,022 | |||||
|
| |||||||
5,545,320 | ||||||||
ENERGY EQUIPMENT & SERVICES — 0.17% |
| |||||||
Modec Inc. | 4,200 | 90,768 | ||||||
Shinko Plantech Co. Ltd. | 10,500 | 87,089 | ||||||
Toyo Kanetsu KK | 21,000 | 58,748 | ||||||
|
| |||||||
236,605 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 8.27% |
| |||||||
Activia Properties Inc. | 126 | 625,017 | ||||||
Advance Residence Investment Corp. | 273 | 740,542 | ||||||
AEON REIT Investment Corp. | 210 | 233,490 | ||||||
Comforia Residential REIT Inc. | 105 | 244,751 | ||||||
Daiwa Office Investment Corp. | 63 | 335,031 | ||||||
Frontier Real Estate Investment Corp. | 105 | 480,493 | ||||||
Fukuoka REIT Corp. | 147 | 232,683 | ||||||
Global One Real Estate Investment Corp. | 42 | 156,348 | ||||||
GLP J-REIT | 525 | 602,494 | ||||||
Hankyu REIT Inc. | 105 | 145,368 | ||||||
Heiwa Real Estate REIT Inc. | 168 | 129,583 | ||||||
Hoshino Resorts REIT Inc. | 42 | 224,105 | ||||||
Hulic Reit Inc. | 189 | 314,029 | ||||||
Ichigo Office REIT Investment | 252 | 169,149 | ||||||
Industrial & Infrastructure Fund Investment Corp. | 63 | 295,616 | ||||||
Invesco Office J-Reit Inc. | 168 | 155,860 | ||||||
Invincible Investment Corp. | 609 | 262,629 | ||||||
Japan Excellent Inc. | 252 | 328,162 | ||||||
Japan Hotel REIT Investment Corp. | 777 | 559,737 | ||||||
Japan Logistics Fund Inc. | 189 | 409,470 | ||||||
Japan Rental Housing Investments Inc. | 336 | 250,757 | ||||||
Kenedix Office Investment Corp. | 84 | 501,515 | ||||||
Kenedix Residential Investment Corp. | 63 | 177,370 | ||||||
Kenedix Retail REIT Corp. | 84 | 199,630 | ||||||
LaSalle Logiport REIT | 231 | 220,295 | ||||||
MCUBS MidCity Investment Corp. | 42 | 127,631 | ||||||
Mitsui Fudosan Logistics Park Inc. | 42 | 124,816 | ||||||
Mori Hills REIT Investment Corp. | 294 | 405,454 | ||||||
MORI TRUST Sogo REIT Inc. | 210 | 345,542 | ||||||
Nippon Accommodations Fund Inc. | 105 | 456,562 |
Security | Shares | Value | ||||||
NIPPON REIT Investment Corp. | 84 | $ | 218,850 | |||||
Orix JREIT Inc. | 504 | 796,868 | ||||||
Premier Investment Corp. | 273 | 314,517 | ||||||
Sekisui House Reit Inc. | 168 | 229,736 | ||||||
Sekisui House SI Residential Investment Corp. | 210 | 236,493 | ||||||
TOKYU REIT Inc. | 189 | 240,378 | ||||||
|
| |||||||
11,490,971 | ||||||||
FOOD & STAPLES RETAILING — 3.00% |
| |||||||
Ain Holdings Inc. | 4,200 | 302,936 | ||||||
Arcs Co. Ltd. | 8,400 | 190,245 | ||||||
Axial Retailing Inc. | 2,100 | 84,743 | ||||||
Belc Co. Ltd. | 2,100 | 85,213 | ||||||
Cawachi Ltd. | 4,200 | 112,803 | ||||||
Cocokara fine Inc. | 4,200 | 178,120 | ||||||
Cosmos Pharmaceutical Corp. | 2,100 | 402,038 | ||||||
Create SD Holdings Co. Ltd. | 6,300 | 145,499 | ||||||
Daikokutenbussan Co. Ltd. | 2,100 | 95,348 | ||||||
Heiwado Co. Ltd. | 6,300 | 151,750 | ||||||
Kato Sangyo Co. Ltd. | 4,200 | 111,677 | ||||||
Kobe Bussan Co. Ltd. | 2,100 | 71,417 | ||||||
Kusuri no Aoki Holdings Co. Ltd. | 2,400 | 106,073 | ||||||
Life Corp. | 2,100 | 62,126 | ||||||
Matsumotokiyoshi Holdings Co. Ltd. | 8,400 | 398,659 | ||||||
Ministop Co. Ltd. | 4,200 | 82,360 | ||||||
Mitsubishi Shokuhin Co. Ltd. | 2,100 | 65,599 | ||||||
Qol Co. Ltd. | 4,200 | 58,598 | ||||||
San-A Co. Ltd. | 4,200 | 193,324 | ||||||
Sogo Medical Co. Ltd. | 2,100 | 73,763 | ||||||
Sugi Holdings Co. Ltd. | 8,400 | 388,899 | ||||||
United Super Markets Holdings Inc. | 10,500 | 95,160 | ||||||
Valor Holdings Co. Ltd. | 8,400 | 209,240 | ||||||
Welcia Holdings Co. Ltd. | 8,400 | 235,367 | ||||||
Yaoko Co. Ltd. | 4,200 | 171,551 | ||||||
Yokohama Reito Co. Ltd. | 10,500 | 99,759 | ||||||
|
| |||||||
4,172,267 | ||||||||
FOOD PRODUCTS — 4.90% |
| |||||||
Ariake Japan Co. Ltd. | 4,200 | 237,994 | ||||||
DyDo Group Holdings Inc. | 2,100 | 106,797 | ||||||
Ezaki Glico Co. Ltd. | 8,400 | 405,416 | ||||||
Fuji Oil Holdings Inc. | 12,600 | 285,143 | ||||||
Fujicco Co. Ltd. | 4,200 | 91,331 | ||||||
Fujiya Co. Ltd. | 42,000 | 85,963 | ||||||
Hokuto Corp. | 4,200 | 81,571 | ||||||
House Foods Group Inc. | 12,600 | 269,377 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Itoham Yonekyu Holdings Inc.b | 29,400 | $ | 293,777 | |||||
J-Oil Mills Inc. | 2,100 | 78,737 | ||||||
Kagome Co. Ltd. | 16,800 | 433,195 | ||||||
Kameda Seika Co. Ltd. | 2,100 | 94,222 | ||||||
Kenko Mayonnaise Co. Ltd. | 2,100 | 51,240 | ||||||
Kewpie Corp. | 23,100 | 617,115 | ||||||
KEY Coffee Inc. | 4,200 | 82,360 | ||||||
Kotobuki Spirits Co. Ltd. | 4,200 | 100,678 | ||||||
Marudai Food Co. Ltd. | 21,000 | 92,157 | ||||||
Maruha Nichiro Corp. | 8,400 | 252,634 | ||||||
MEGMILK SNOW BRAND Co. Ltd. | 8,400 | 229,736 | ||||||
Mitsui Sugar Co. Ltd. | 4,200 | 101,917 | ||||||
Morinaga & Co. Ltd./Japan | 8,400 | 379,890 | ||||||
Morinaga Milk Industry Co. Ltd. | 42,000 | 325,835 | ||||||
Nichirei Corp. | 27,300 | 638,549 | ||||||
Nippon Beet Sugar Manufacturing Co. Ltd. | 4,200 | 94,522 | ||||||
Nippon Flour Mills Co. Ltd. | 10,500 | 159,727 | ||||||
Nippon Suisan Kaisha Ltd. | 58,800 | 298,507 | ||||||
Nisshin OilliO Group Ltd. (The) | 21,000 | 109,800 | ||||||
Prima Meat Packers Ltd. | 21,000 | 85,025 | ||||||
Riken Vitamin Co. Ltd. | 2,100 | 81,646 | ||||||
Rock Field Co. Ltd. | 6,300 | 97,300 | ||||||
Rokko Butter Co. Ltd. | 4,200 | 92,045 | ||||||
S Foods Inc.a | 2,100 | 59,686 | ||||||
Sakata Seed Corp. | 6,300 | 178,214 | ||||||
Showa Sangyo Co. Ltd. | 21,000 | 114,680 | ||||||
Warabeya Nichiyo Holdings Co. Ltd. | 4,200 | 94,447 | ||||||
|
| |||||||
6,801,233 | ||||||||
GAS UTILITIES — 0.10% |
| |||||||
K&O Energy Group Inc. | 4,200 | 67,044 | ||||||
Shizuoka Gas Co. Ltd. | 10,500 | 66,818 | ||||||
|
| |||||||
133,862 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.67% |
| |||||||
Asahi Intecc Co. Ltd. | 10,500 | 415,739 | ||||||
Eiken Chemical Co. Ltd. | 4,200 | 114,868 | ||||||
Fukuda Denshi Co. Ltd. | 2,100 | 123,314 | ||||||
Hogy Medical Co. Ltd. | 2,100 | 124,628 | ||||||
JEOL Ltd. | 21,000 | 99,102 | ||||||
Mani Inc. | 4,200 | 97,300 | ||||||
Menicon Co. Ltd. | 2,100 | 67,382 | ||||||
Nagaileben Co. Ltd. | 4,200 | 90,205 | ||||||
Nakanishi Inc. | 4,200 | 167,985 | ||||||
Nihon Kohden Corp. | 16,800 | 369,229 | ||||||
Nikkiso Co. Ltd. | 12,600 | 138,517 |
Security | Shares | Value | ||||||
Nipro Corp. | 27,300 | $ | 354,533 | |||||
Paramount Bed Holdings Co. Ltd. | 4,200 | 158,976 | ||||||
|
| |||||||
2,321,778 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.74% |
| |||||||
AS ONE Corp. | 2,100 | 94,222 | ||||||
BML Inc. | 4,200 | 92,007 | ||||||
Japan Lifeline Co. Ltd. | 4,200 | 75,903 | ||||||
NichiiGakkan Co. Ltd. | 8,400 | 65,692 | ||||||
Ship Healthcare Holdings Inc. | 8,400 | 237,619 | ||||||
Toho Holdings Co. Ltd. | 10,500 | 227,765 | ||||||
Tokai Corp./Gifu | 2,100 | 75,734 | ||||||
Tsukui Corp. | 12,600 | 77,480 | ||||||
Vital KSK Holdings Inc. | 8,400 | 77,930 | ||||||
|
| |||||||
1,024,352 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 3.08% |
| |||||||
Atom Corp. | 18,900 | 123,314 | ||||||
BRONCO BILLY Co. Ltd. | 2,100 | 53,586 | ||||||
Colowide Co. Ltd.a | 12,600 | 208,339 | ||||||
Create Restaurants Holdings Inc.a | 10,500 | 91,594 | ||||||
Doutor Nichires Holdings Co. Ltd. | 6,300 | 121,963 | ||||||
Fuji Kyuko Co. Ltd.a | 8,000 | 72,932 | ||||||
Fujita Kanko Inc.a | 21,000 | 67,194 | ||||||
Hiday Hidaka Corp. | 2,616 | 55,063 | ||||||
Hiramatsu Inc. | 6,300 | 38,402 | ||||||
HIS Co. Ltd.a | 8,400 | 223,580 | ||||||
Ichibanya Co. Ltd. | 2,100 | 69,352 | ||||||
Kappa Create Co. Ltd. | 6,300 | 72,412 | ||||||
Kisoji Co. Ltd. | 4,200 | 92,382 | ||||||
KNT-CT Holdings Co. Ltd.b | 21,000 | 25,526 | ||||||
Komeda Holdings Co. Ltd. | 6,300 | 104,395 | ||||||
Koshidaka Holdings Co. Ltd. | 2,100 | 43,995 | ||||||
Kura Corp. | 2,100 | 87,277 | ||||||
Kyoritsu Maintenance Co. Ltd. | 2,140 | 134,653 | ||||||
MOS Food Services Inc. | 6,300 | 188,913 | ||||||
Ohsho Food Service Corp. | 2,100 | 78,456 | ||||||
Plenus Co. Ltd. | 4,200 | 91,444 | ||||||
Resorttrust Inc. | 16,800 | 309,318 | ||||||
Ringer Hut Co. Ltd.a | 4,200 | 84,912 | ||||||
Round One Corp. | 14,700 | 110,757 | ||||||
Royal Holdings Co. Ltd. | 6,300 | 114,361 | ||||||
Saizeriya Co. Ltd. | 6,300 | 149,159 | ||||||
Skylark Co. Ltd. | 21,000 | 311,758 | ||||||
St. Marc Holdings Co. Ltd. | 4,200 | 129,508 | ||||||
Tokyo Dome Corp. | 18,900 | 189,870 | ||||||
Tokyotokeiba Co. Ltd. | 42,000 | 99,853 |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Toridoll Holdings Corp. | 4,200 | $ | 87,502 | |||||
Tosho Co. Ltd. | 2,100 | 91,876 | ||||||
WATAMI Co. Ltd.a | 4,200 | 48,687 | ||||||
Yoshinoya Holdings Co. Ltd.a | 12,600 | 185,365 | ||||||
Zensho Holdings Co. Ltd. | 18,900 | 321,630 | ||||||
|
| |||||||
4,279,328 | ||||||||
HOUSEHOLD DURABLES — 2.11% |
| |||||||
Alpine Electronics Inc. | 8,400 | 122,376 | ||||||
Chofu Seisakusho Co. Ltd. | 4,200 | 102,668 | ||||||
Clarion Co. Ltd. | 21,000 | 80,895 | ||||||
Foster Electric Co. Ltd. | 4,200 | 72,036 | ||||||
France Bed Holdings Co. Ltd. | 6,300 | 53,549 | ||||||
Fujitsu General Ltd. | 10,000 | 196,273 | ||||||
Haseko Corp. | 58,800 | 698,968 | ||||||
JVC Kenwood Corp. | 27,300 | 69,540 | ||||||
Misawa Homes Co. Ltd. | 6,300 | 59,743 | ||||||
PanaHome Corp. | 21,000 | 196,139 | ||||||
Pioneer Corp.b | 67,200 | 136,941 | ||||||
Pressance Corp. | 8,400 | 102,705 | ||||||
Sangetsu Corp. | 10,500 | 181,686 | ||||||
Starts Corp. Inc. | 6,300 | 135,983 | ||||||
Sumitomo Forestry Co. Ltd. | 27,300 | 398,941 | ||||||
Tamron Co. Ltd. | 4,200 | 79,244 | ||||||
Token Corp. | 2,120 | 152,911 | ||||||
Zojirushi Corp.a | 6,300 | 84,462 | ||||||
|
| |||||||
2,925,060 | ||||||||
HOUSEHOLD PRODUCTS — 0.56% |
| |||||||
Earth Chemical Co. Ltd. | 2,100 | 100,228 | ||||||
Pigeon Corp. | 23,100 | 682,357 | ||||||
|
| |||||||
782,585 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.05% |
| |||||||
eRex Co. Ltd. | 2,100 | 65,317 | ||||||
|
| |||||||
65,317 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.32% |
| |||||||
Katakura Industries Co. Ltd. | 4,200 | 57,584 | ||||||
Nisshinbo Holdings Inc. | 25,200 | 258,115 | ||||||
TOKAI Holdings Corp.a | 16,800 | 124,027 | ||||||
|
| |||||||
439,726 | ||||||||
INSURANCE — 0.06% |
| |||||||
Anicom Holdings Inc.a | 4,200 | 83,035 | ||||||
|
| |||||||
83,035 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.18% |
| |||||||
ASKUL Corp. | 4,200 | 120,874 |
Security | Shares | Value | ||||||
Belluna Co. Ltd. | 10,500 | $ | 79,488 | |||||
Senshukai Co. Ltd. | 6,300 | 44,934 | ||||||
|
| |||||||
245,296 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.88% |
| |||||||
COOKPAD Inc.a | 10,500 | 90,092 | ||||||
CROOZ Inc. | 2,100 | 51,184 | ||||||
Dip Corp. | 6,300 | 132,098 | ||||||
F@N Communications Inc. | 12,600 | 88,628 | ||||||
GMO Internet Inc. | 14,700 | 191,822 | ||||||
Gree Inc. | 23,100 | 145,969 | ||||||
Gurunavi Inc. | 6,300 | 125,454 | ||||||
Infomart Corp.a | 16,800 | 89,492 | ||||||
Internet Initiative Japan Inc. | 6,300 | 114,924 | ||||||
Istyle Inc.a | 6,300 | 53,887 | ||||||
SMS Co. Ltd. | 4,200 | 93,358 | ||||||
UNITED Inc./Japan | 2,100 | 40,992 | ||||||
|
| |||||||
1,217,900 | ||||||||
IT SERVICES — 1.92% |
| |||||||
Digital Garage Inc. | 8,400 | 159,614 | ||||||
DTS Corp. | 4,200 | 97,187 | ||||||
GMO Payment Gateway Inc.a | 4,274 | 244,862 | ||||||
Hearts United Group Co. Ltd. | 4,200 | 54,806 | ||||||
Ines Corp. | 6,300 | 62,783 | ||||||
Information Services International- | 2,100 | 42,588 | ||||||
Itochu Techno-Solutions Corp. | 10,500 | 285,762 | ||||||
Kanematsu Electronics Ltd. | 4,200 | 102,067 | ||||||
NEC Networks & System Integration Corp. | 4,200 | 80,295 | ||||||
NET One Systems Co. Ltd. | 16,800 | 129,133 | ||||||
Nihon Unisys Ltd. | 12,600 | 168,811 | ||||||
NS Solutions Corp. | 8,400 | 170,650 | ||||||
SCSK Corp. | 10,556 | 390,596 | ||||||
TIS Inc. | 16,848 | 410,490 | ||||||
TKC Corp. | 4,200 | 122,939 | ||||||
Transcosmos Inc. | 6,300 | 148,427 | ||||||
|
| |||||||
2,671,010 | ||||||||
LEISURE PRODUCTS — 0.63% |
| |||||||
Fields Corp. | 2,100 | 23,405 | ||||||
Heiwa Corp. | 10,516 | 285,728 | ||||||
Mars Engineering Corp. | 2,100 | 44,539 | ||||||
Mizuno Corp. | 21,000 | 112,616 | ||||||
Tomy Co. Ltd. | 14,700 | 155,560 | ||||||
Universal Entertainment Corp.b | 4,200 | 155,034 | ||||||
Yonex Co. Ltd. | 2,100 | 91,688 | ||||||
|
| |||||||
868,570 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
LIFE SCIENCES TOOLS & SERVICES — 0.10% |
| |||||||
EPS Holdings Inc. | 6,300 | $ | 87,446 | |||||
Linical Co. Ltd. | 4,200 | 57,359 | ||||||
|
| |||||||
144,805 | ||||||||
MACHINERY — 6.89% |
| |||||||
Aichi Corp. | 6,300 | 49,326 | ||||||
Aida Engineering Ltd. | 10,500 | 94,034 | ||||||
Anest Iwata Corp. | 8,400 | 82,059 | ||||||
Asahi Diamond Industrial Co. Ltd. | 10,500 | 86,245 | ||||||
Bando Chemical Industries Ltd. | 10,500 | 99,383 | ||||||
CKD Corp. | 10,500 | 136,171 | ||||||
Daifuku Co. Ltd. | 18,900 | 443,255 | ||||||
Daiwa Industries Ltd. | 6,300 | 59,630 | ||||||
DMG Mori Co. Ltd. | 23,100 | 367,089 | ||||||
Ebara Corp. | 18,900 | 559,137 | ||||||
Fuji Machine Manufacturing Co. Ltd. | 14,700 | 196,683 | ||||||
Fujitec Co. Ltd. | 10,500 | 120,968 | ||||||
Fukushima Industries Corp. | 2,100 | 72,168 | ||||||
Furukawa Co. Ltd. | 63,000 | 130,634 | ||||||
Glory Ltd. | 12,600 | 433,570 | ||||||
Harmonic Drive Systems Inc.a | 6,300 | 196,796 | ||||||
Hirata Corp.a | 2,100 | 143,022 | ||||||
Hitachi Koki Co. Ltd. | 10,500 | 81,365 | ||||||
Hitachi Zosen Corp. | 33,600 | 197,002 | ||||||
Iseki & Co. Ltd. | 42,000 | 96,849 | ||||||
Japan Steel Works Ltd. (The) | 12,600 | 226,020 | ||||||
Kato Works Co. Ltd. | 2,100 | 53,905 | ||||||
Kitz Corp. | 16,800 | 115,168 | ||||||
Komori Corp. | 10,500 | 140,582 | ||||||
Kyokuto Kaihatsu Kogyo Co. Ltd. | 6,300 | 104,845 | ||||||
Makino Milling Machine Co. Ltd. | 21,000 | 196,139 | ||||||
Max Co. Ltd. | 4,000 | 54,556 | ||||||
Meidensha Corp. | 42,000 | 144,899 | ||||||
METAWATER Co. Ltd. | 2,100 | 52,967 | ||||||
Mitsui Engineering & Shipbuilding Co. Ltd. | 147,000 | 243,062 | ||||||
Miura Co. Ltd. | 18,900 | 292,238 | ||||||
Morita Holdings Corp. | 6,300 | 87,277 | ||||||
Nachi-Fujikoshi Corp. | 42,000 | 227,859 | ||||||
Namura Shipbuilding Co. Ltd. | 10,500 | 70,573 | ||||||
Nippon Sharyo Ltd.a,b | 21,000 | 56,683 | ||||||
Nippon Thompson Co. Ltd. | 12,600 | 60,700 | ||||||
Nitta Corp. | 4,200 | 113,742 | ||||||
Nitto Kohki Co. Ltd. | 2,100 | 48,387 | ||||||
Noritake Co. Ltd./Nagoya Japan | 2,100 | 55,069 |
Security | Shares | Value | ||||||
NTN Corp. | 84,000 | $ | 419,681 | |||||
Obara Group Inc. | 2,100 | 93,565 | ||||||
Oiles Corp. | 4,296 | 79,980 | ||||||
OKUMA Corp. | 21,000 | 229,548 | ||||||
OSG Corp.a | 16,800 | 354,664 | ||||||
Ryobi Ltd. | 21,000 | 91,969 | ||||||
Shibuya Corp. | 4,200 | 107,135 | ||||||
Shima Seiki Manufacturing Ltd. | 4,200 | 141,708 | ||||||
Shinmaywa Industries Ltd. | 21,000 | 217,161 | ||||||
Sintokogio Ltd. | 8,400 | 77,480 | ||||||
Sodick Co. Ltd. | 8,400 | 87,240 | ||||||
Star Micronics Co. Ltd. | 8,400 | 122,601 | ||||||
Tadano Ltd. | 21,000 | 271,404 | ||||||
Takeuchi Manufacturing Co. Ltd. | 8,400 | 168,773 | ||||||
Takuma Co. Ltd. | 16,800 | 155,259 | ||||||
Teikoku Sen-I Co. Ltd. | 4,200 | 64,979 | ||||||
Tocalo Co. Ltd. | 4,200 | 98,801 | ||||||
Toshiba Machine Co. Ltd. | 21,000 | 90,280 | ||||||
Tsubaki Nakashima Co. Ltd. | 4,200 | 71,961 | ||||||
Tsubakimoto Chain Co. | 21,000 | 180,748 | ||||||
Tsugami Corp. | 21,000 | 130,822 | ||||||
Tsukishima Kikai Co. Ltd. | 6,300 | 70,779 | ||||||
Tsurumi Manufacturing Co. Ltd. | 4,200 | 57,809 | ||||||
Union Tool Co. | 2,100 | 69,353 | ||||||
YAMABIKO Corp. | 6,300 | 79,563 | ||||||
Yushin Precision Equipment Co. Ltd. | 2,100 | 54,018 | ||||||
|
| |||||||
9,577,338 | ||||||||
MARINE — 0.47% |
| |||||||
Iino Kaiun Kaisha Ltd. | 18,900 | 89,192 | ||||||
Kawasaki Kisen Kaisha Ltd.a | 189,000 | 511,838 | ||||||
NS United Kaiun Kaisha Ltd. | 21,000 | 46,923 | ||||||
|
| |||||||
647,953 | ||||||||
MEDIA — 1.91% |
| |||||||
Adways Inc.a | 6,300 | 28,830 | ||||||
Asatsu-DK Inc. | 6,300 | 166,784 | ||||||
Avex Group Holdings Inc. | 6,300 | 92,514 | ||||||
CyberAgent Inc. | 21,000 | 586,540 | ||||||
D.A. Consortium Holdings Inc.b | 6,300 | 71,061 | ||||||
Daiichikosho Co. Ltd. | 8,400 | 349,859 | ||||||
Kadokawa Dwangob | 10,508 | 156,843 | ||||||
Next Co. Ltd.a | 10,500 | 69,165 | ||||||
Septeni Holdings Co. Ltd.a | 21,000 | 67,569 | ||||||
Shochiku Co. Ltd. | 21,000 | 243,062 | ||||||
SKY Perfect JSAT Holdings Inc. | 31,500 | 140,488 | ||||||
Toei Co. Ltd. | 21,000 | 188,068 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Tokyo Broadcasting System Holdings Inc. | 8,400 | $ | 152,707 | |||||
TV Asahi Holdings Corp. | 4,200 | 85,963 | ||||||
USEN Corp. | 23,180 | 95,301 | ||||||
Vector Inc.b | 6,300 | 73,200 | ||||||
Zenrin Co. Ltd. | 4,200 | 85,062 | ||||||
|
| |||||||
2,653,016 | ||||||||
METALS & MINING — 2.64% |
| |||||||
Aichi Steel Corp. | 2,100 | 92,345 | ||||||
Asahi Holdings Inc. | 6,300 | 109,462 | ||||||
Daido Steel Co. Ltd. | 63,000 | 310,819 | ||||||
Dowa Holdings Co. Ltd. | 42,000 | 341,976 | ||||||
Godo Steel Ltd. | 2,100 | 35,324 | ||||||
Kyoei Steel Ltd. | 4,200 | 79,206 | ||||||
Mitsubishi Steel Manufacturing Co. Ltd. | 42,000 | 96,099 | ||||||
Mitsui Mining & Smelting Co. Ltd. | 126,000 | 417,804 | ||||||
Nakayama Steel Works Ltd.b | 4,200 | 29,655 | ||||||
Neturen Co. Ltd. | 6,300 | 50,846 | ||||||
Nippon Denko Co. Ltd. | 23,100 | 66,068 | ||||||
Nippon Light Metal Holdings Co. Ltd. | 100,800 | 248,655 | ||||||
Nisshin Steel Co. Ltd.a | 18,900 | 269,771 | ||||||
Nittetsu Mining Co. Ltd. | 2,100 | 108,674 | ||||||
Osaka Steel Co. Ltd. | 2,100 | 39,697 | ||||||
OSAKA Titanium Technologies Co. Ltd.a,b | 4,200 | 67,982 | ||||||
Pacific Metals Co. Ltd.b | 21,000 | 76,766 | ||||||
Sanyo Special Steel Co. Ltd. | 21,000 | 114,680 | ||||||
Toho Titanium Co. Ltd.a | 6,300 | 53,155 | ||||||
Toho Zinc Co. Ltd. | 21,000 | 108,674 | ||||||
Tokyo Rope Manufacturing Co. Ltd. | 4,200 | 66,894 | ||||||
Tokyo Steel Manufacturing Co. Ltd. | 21,000 | 182,437 | ||||||
Topy Industries Ltd. | 4,200 | 118,434 | ||||||
Toyo Kohan Co. Ltd. | 10,500 | 43,545 | ||||||
UACJ Corp. | 63,140 | 174,378 | ||||||
Yamato Kogyo Co. Ltd. | 8,400 | 239,496 | ||||||
Yodogawa Steel Works Ltd. | 4,200 | 125,379 | ||||||
|
| |||||||
3,668,221 | ||||||||
MULTILINE RETAIL — 0.90% |
| |||||||
Fuji Co. Ltd./Ehime | 4,200 | 90,017 | ||||||
H2O Retailing Corp. | 16,835 | 286,188 | ||||||
Izumi Co. Ltd. | 8,400 | 376,887 | ||||||
Kintetsu Department Store Co. Ltd.b | 21,000 | 65,505 | ||||||
Matsuya Co. Ltd.a | 6,300 | 57,659 | ||||||
Parco Co. Ltd. | 4,200 | �� | 43,808 |
Security | Shares | Value | ||||||
Seria Co. Ltd. | 4,200 | $ | 331,841 | |||||
|
| |||||||
1,251,905 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.53% |
| |||||||
Cosmo Energy Holdings Co. Ltd. | 12,600 | 217,010 | ||||||
ITOCHU Enex Co. Ltd. | 10,500 | 88,779 | ||||||
Japan Petroleum Exploration Co. Ltd. | 6,300 | 152,594 | ||||||
Nippon Gas Co. Ltd. | 6,300 | 187,505 | ||||||
San-Ai Oil Co. Ltd. | 10,500 | 89,717 | ||||||
|
| |||||||
735,605 | ||||||||
PAPER & FOREST PRODUCTS — 0.70% |
| |||||||
Daiken Corp. | 4,200 | 80,558 | ||||||
Daio Paper Corp.a | 14,700 | 182,888 | ||||||
Hokuetsu Kishu Paper Co. Ltd. | 27,300 | 188,368 | ||||||
Mitsubishi Paper Mills Ltd.b | 8,400 | 58,335 | ||||||
Nippon Paper Industries Co. Ltd. | 21,000 | 383,456 | ||||||
Tokushu Tokai Paper Co. Ltd. | 2,100 | 81,365 | ||||||
|
| |||||||
974,970 | ||||||||
PERSONAL PRODUCTS — 1.01% |
| |||||||
Ci:z Holdings Co. Ltd. | 6,300 | 185,534 | ||||||
Euglena Co. Ltd.a,b | 12,600 | 136,377 | ||||||
Fancl Corp. | 8,400 | 124,403 | ||||||
Kobayashi Pharmaceutical Co. Ltd. | 10,500 | 488,001 | ||||||
Mandom Corp. | 4,200 | 198,579 | ||||||
Milbon Co. Ltd. | 2,100 | 103,794 | ||||||
Noevir Holdings Co. Ltd. | 4,200 | 167,610 | ||||||
|
| |||||||
1,404,298 | ||||||||
PHARMACEUTICALS — 2.59% |
| |||||||
ASKA Pharmaceutical Co. Ltd. | 4,200 | 64,641 | ||||||
JCR Pharmaceuticals Co. Ltd. | 4,200 | 102,968 | ||||||
Kaken Pharmaceutical Co. Ltd. | 6,300 | 340,099 | ||||||
Kissei Pharmaceutical Co. Ltd. | 6,300 | 160,477 | ||||||
KYORIN Holdings Inc. | 8,400 | 178,008 | ||||||
Mochida Pharmaceutical Co. Ltd. | 2,100 | 158,976 | ||||||
Nichi-Iko Pharmaceutical Co. Ltd. | 8,450 | 128,013 | ||||||
Nippon Shinyaku Co. Ltd. | 10,500 | 568,709 | ||||||
Rohto Pharmaceutical Co. Ltd. | 21,000 | 401,662 | ||||||
Sawai Pharmaceutical Co. Ltd. | 6,300 | 341,789 | ||||||
Seikagaku Corp. | 8,400 | 133,863 | ||||||
Sosei Group Corp.a,b | 3,300 | 386,379 | ||||||
Torii Pharmaceutical Co. Ltd. | 2,100 | 55,219 | ||||||
Towa Pharmaceutical Co. Ltd. | 2,100 | 100,416 | ||||||
Tsumura & Co. | 12,600 | 375,010 | ||||||
ZERIA Pharmaceutical Co. Ltd. | 6,300 | 98,595 | ||||||
|
| |||||||
3,594,824 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
PROFESSIONAL SERVICES — 1.46% |
| |||||||
Benefit One Inc. | 4,200 | $ | 119,936 | |||||
en-japan Inc. | 4,200 | 81,909 | ||||||
Funai Soken Holdings Inc. | 4,200 | 76,842 | ||||||
JAC Recruitment Co. Ltd. | 4,200 | 59,761 | ||||||
Meitec Corp. | 6,300 | 247,191 | ||||||
Nihon M&A Center Inc. | 12,600 | 387,961 | ||||||
Nomura Co. Ltd. | 8,400 | 139,268 | ||||||
Outsourcing Inc.a | 2,100 | 71,042 | ||||||
Tanseisha Co. Ltd. | 8,400 | 63,365 | ||||||
TechnoPro Holdings Inc. | 6,300 | 221,571 | ||||||
Temp Holdings Co. Ltd. | 29,400 | 500,051 | ||||||
Yumeshin Holdings Co. Ltd.a | 8,400 | 60,512 | ||||||
|
| |||||||
2,029,409 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 1.60% |
| |||||||
Ardepro Co. Ltd. | 31,500 | 43,920 | ||||||
Daibiru Corp. | 10,500 | 96,005 | ||||||
Daikyo Inc. | 63,000 | 132,323 | ||||||
Goldcrest Co. Ltd. | 4,200 | 76,992 | ||||||
Heiwa Real Estate Co. Ltd. | 8,400 | 118,847 | ||||||
Ichigo Inc. | 44,100 | 139,925 | ||||||
Kenedix Inc. | 52,500 | 207,400 | ||||||
Leopalace21 Corp. | 50,400 | 265,773 | ||||||
NTT Urban Development Corp. | 25,200 | 232,664 | ||||||
Open House Co. Ltd. | 6,300 | 150,173 | ||||||
Relo Group Inc. | 2,100 | 305,564 | ||||||
Sumitomo Real Estate Sales Co. Ltd. | 4,200 | 107,360 | ||||||
Takara Leben Co. Ltd. | 16,800 | 89,342 | ||||||
TOC Co. Ltd. | 12,600 | 103,719 | ||||||
Tosei Corp. | 6,300 | 43,076 | ||||||
Unizo Holdings Co. Ltd. | 4,200 | 110,513 | ||||||
|
| |||||||
2,223,596 | ||||||||
ROAD & RAIL — 2.04% |
| |||||||
Fukuyama Transporting Co. Ltd.a | 21,000 | 127,443 | ||||||
Hitachi Transport System Ltd. | 10,500 | 216,222 | ||||||
Nankai Electric Railway Co. Ltd. | 105,000 | 518,032 | ||||||
Nikkon Holdings Co. Ltd. | 12,600 | 279,512 | ||||||
Nishi-Nippon Railroad Co. Ltd. | 63,000 | 278,161 | ||||||
Sankyu Inc. | 63,000 | 404,853 | ||||||
Seino Holdings Co. Ltd. | 29,400 | 340,024 | ||||||
Senko Co. Ltd. | 21,000 | 137,766 | ||||||
Sotetsu Holdings Inc. | 84,000 | 420,432 | ||||||
Trancom Co. Ltd. | 2,100 | 111,677 | ||||||
|
| |||||||
2,834,122 |
Security | Shares | Value | ||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 2.81% |
| |||||||
Advantest Corp. | 33,600 | $ | 592,809 | |||||
Disco Corp. | 6,300 | 951,039 | ||||||
Japan Material Co. Ltd. | 4,200 | 60,437 | ||||||
Lasertec Corp. | 4,200 | 105,521 | ||||||
Megachips Corp.a | 2,100 | 49,194 | ||||||
Micronics Japan Co. Ltd.a | 6,300 | 52,310 | ||||||
Sanken Electric Co. Ltd.b | 21,000 | 92,908 | ||||||
SCREEN Holdings Co. Ltd. | 8,400 | 569,084 | ||||||
Shindengen Electric Manufacturing Co. Ltd. | 21,000 | 88,779 | ||||||
Shinko Electric Industries Co. Ltd. | 14,700 | 105,108 | ||||||
Sumco Corp. | 39,900 | 589,130 | ||||||
Tokyo Seimitsu Co. Ltd. | 8,400 | 274,407 | ||||||
ULVAC Inc. | 8,400 | 372,382 | ||||||
|
| |||||||
3,903,108 | ||||||||
SOFTWARE — 1.32% |
| |||||||
Broadleaf Co. Ltd. | 12,600 | 76,579 | ||||||
Capcom Co. Ltd. | 10,500 | 214,439 | ||||||
COLOPL Inc.a | 10,500 | 97,788 | ||||||
Fuji Soft Inc. | 4,200 | 107,097 | ||||||
GungHo Online Entertainment Inc.a | 79,800 | 185,440 | ||||||
Justsystems Corp. | 6,300 | 65,204 | ||||||
Koei Tecmo Holdings Co. Ltd. | 8,440 | 168,521 | ||||||
Marvelous Inc.a | 6,300 | 52,704 | ||||||
Miroku Jyoho Service Co. Ltd. | 4,200 | 64,116 | ||||||
NSD Co. Ltd. | 8,400 | 126,730 | ||||||
OBIC Business Consultants Co. Ltd. | 2,100 | 102,480 | ||||||
Square Enix Holdings Co. Ltd. | 18,900 | 576,874 | ||||||
|
| |||||||
1,837,972 | ||||||||
SPECIALTY RETAIL — 2.87% |
| |||||||
Adastria Co. Ltd. | 4,200 | 109,200 | ||||||
Alpen Co. Ltd. | 4,200 | 74,852 | ||||||
AOKI Holdings Inc. | 8,400 | 103,756 | ||||||
Aoyama Trading Co. Ltd. | 10,500 | 395,093 | ||||||
Arcland Sakamoto Co. Ltd. | 4,200 | 55,182 | ||||||
Asahi Co. Ltd.a | 4,200 | 48,875 | ||||||
Autobacs Seven Co. Ltd. | 12,600 | 200,343 | ||||||
BIC Camera Inc. | 18,900 | 183,958 | ||||||
Chiyoda Co. Ltd. | 4,200 | 104,282 | ||||||
DCM Holdings Co. Ltd. | 21,000 | 187,505 | ||||||
EDION Corp. | 14,700 | 134,538 | ||||||
Geo Holdings Corp. | 6,300 | 76,353 | ||||||
IDOM Inc. | 12,600 | 82,435 |
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Jin Co. Ltd. | 2,100 | $ | 112,616 | |||||
Joshin Denki Co. Ltd. | 7,000 | 69,884 | ||||||
Joyful Honda Co. Ltd. | 6,300 | 199,330 | ||||||
K’s Holdings Corp. | 16,800 | 300,008 | ||||||
Kohnan Shoji Co. Ltd. | 6,300 | 120,611 | ||||||
Komeri Co. Ltd. | 6,300 | 156,198 | ||||||
Laox Co. Ltd.b | 6,300 | 36,037 | ||||||
Nishimatsuya Chain Co. Ltd. | 10,500 | 118,153 | ||||||
Nojima Corp. | 4,200 | 54,393 | ||||||
PAL GROUP Holdings Co. Ltd. | 2,100 | 51,353 | ||||||
PC Depot Corp.a | 7,540 | 37,537 | ||||||
Sac’s Bar Holdings Inc. | 4,200 | 46,322 | ||||||
Sanrio Co. Ltd. | 10,500 | 208,808 | ||||||
Shimachu Co. Ltd. | 10,500 | 267,556 | ||||||
T-Gaia Corp. | 4,200 | 72,074 | ||||||
United Arrows Ltd. | 4,200 | 132,699 | ||||||
VT Holdings Co. Ltd. | 14,700 | 69,108 | ||||||
Xebio Holdings Co. Ltd. | 4,200 | 69,634 | ||||||
Yellow Hat Ltd. | 4,200 | 107,285 | ||||||
|
| |||||||
3,985,978 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 0.62% |
| |||||||
Eizo Corp. | 4,200 | 123,127 | ||||||
Elecom Co. Ltd. | 4,200 | 78,305 | ||||||
Hitachi Maxell Ltd. | 8,400 | 164,719 | ||||||
MCJ Co. Ltd. | 6,300 | 69,709 | ||||||
Melco Holdings Inc. | 2,100 | 62,220 | ||||||
Riso Kagaku Corp. | 4,200 | 75,865 | ||||||
Roland DG Corp. | 2,100 | 64,942 | ||||||
Toshiba TEC Corp.b | 21,000 | 112,053 | ||||||
Wacom Co. Ltd. | 29,400 | 110,889 | ||||||
|
| |||||||
861,829 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.09% |
| |||||||
Descente Ltd. | 8,400 | 98,351 | ||||||
Fujibo Holdings Inc. | 2,100 | 61,094 | ||||||
Gunze Ltd. | 42,000 | 155,034 | ||||||
Japan Wool Textile Co. Ltd. (The) | 14,700 | 117,195 | ||||||
Kurabo Industries Ltd. | 42,000 | 90,468 | ||||||
Onward Holdings Co. Ltd. | 21,000 | 156,160 | ||||||
Seiko Holdings Corp. | 21,000 | 90,280 | ||||||
Seiren Co. Ltd. | 10,500 | 139,831 | ||||||
TSI Holdings Co. Ltd. | 14,700 | 102,612 | ||||||
Tsutsumi Jewelry Co. Ltd. | 2,100 | 39,059 | ||||||
Unitika Ltd.b | 126,000 | 108,111 | ||||||
Wacoal Holdings Corp. | 21,000 | 264,835 |
Security | Shares | Value | ||||||
Yondoshi Holdings Inc. | 4,200 | $ | 95,723 | |||||
|
| |||||||
1,518,753 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 2.49% |
| |||||||
Hanwa Co. Ltd. | 42,000 | 302,561 | ||||||
Inaba Denki Sangyo Co. Ltd. | 6,300 | 222,134 | ||||||
Inabata & Co. Ltd. | 8,400 | 110,363 | ||||||
Iwatani Corp. | 42,000 | 246,628 | ||||||
Japan Pulp & Paper Co. Ltd. | 21,000 | 70,385 | ||||||
Kamei Corp. | 4,200 | 48,612 | ||||||
Kanamoto Co. Ltd. | 6,300 | 160,590 | ||||||
Kanematsu Corp. | 84,000 | 146,400 | ||||||
Kuroda Electric Co. Ltd. | 6,300 | 131,479 | ||||||
MonotaRO Co. Ltd. | 12,600 | 358,118 | ||||||
Nagase & Co. Ltd. | 21,000 | 306,502 | ||||||
Nippon Steel & Sumikin Bussan Corp. | 2,244 | 97,073 | ||||||
Nishio Rent All Co. Ltd. | 4,200 | 122,188 | ||||||
Sojitz Corp. | 252,000 | 655,423 | ||||||
Trusco Nakayama Corp. | 8,400 | 190,321 | ||||||
Wakita & Co. Ltd. | 8,400 | 77,329 | ||||||
Yamazen Corp. | 10,500 | 98,163 | ||||||
Yuasa Trading Co. Ltd. | 4,200 | 121,437 | ||||||
|
| |||||||
3,465,706 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.14% |
| |||||||
Nissin Corp. | 21,000 | 70,948 | ||||||
Sumitomo Warehouse Co. Ltd. (The) | 21,000 | 121,625 | ||||||
|
| |||||||
192,573 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| 138,273,007 | ||||||
SHORT-TERM INVESTMENTS — 4.50% |
| |||||||
MONEY MARKET FUNDS — 4.50% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 6,221,381 | 6,223,869 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 27,929 | 27,929 | ||||||
|
| |||||||
6,251,798 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 6,251,798 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS | $ | 144,524,805 | ||||||
Other Assets, Less Liabilities — (4.03)% |
| (5,598,867 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 138,925,938 | ||||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $144,961,640. Net unrealized depreciation was $436,835, of which $10,912,245 represented gross unrealized appreciation on securities and $11,349,080 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 138,273,007 | $ | — | $ | — | $ | 138,273,007 | ||||||||
Money market funds | 6,251,798 | — | — | 6,251,798 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 144,524,805 | $ | — | $ | — | $ | 144,524,805 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.44% |
| |||||||
AIRLINES — 0.88% |
| |||||||
AirAsia Bhd | 3,736,900 | $ | 2,272,439 | |||||
|
| |||||||
2,272,439 | ||||||||
AUTOMOBILES — 0.56% |
| |||||||
UMW Holdings Bhda | 1,161,200 | 1,448,885 | ||||||
|
| |||||||
1,448,885 | ||||||||
BANKS — 27.70% |
| |||||||
Alliance Financial Group Bhd | 2,498,600 | 2,144,069 | ||||||
AMMB Holdings Bhd | 4,478,237 | 4,669,873 | ||||||
CIMB Group Holdings Bhd | 7,685,992 | 8,603,464 | ||||||
Hong Leong Bank Bhd | 1,610,340 | 4,925,319 | ||||||
Hong Leong Financial Group Bhd | 568,800 | 1,929,308 | ||||||
Malayan Banking Bhda | 8,834,093 | 17,111,081 | ||||||
Public Bank Bhd | 6,729,080 | 30,250,549 | ||||||
RHB Bank Bhd | 1,985,902 | 2,164,812 | ||||||
RHB Bank Bhd Newb | 1,621,200 | 4 | ||||||
|
| |||||||
71,798,479 | ||||||||
CHEMICALS — 3.74% |
| |||||||
Petronas Chemicals Group Bhd | 5,942,900 | 9,704,060 | ||||||
|
| |||||||
9,704,060 | ||||||||
CONSTRUCTION & ENGINEERING — 5.03% |
| |||||||
Dialog Group Bhd | 7,950,454 | 3,008,280 | ||||||
Gamuda Bhd | 4,200,000 | 4,644,594 | ||||||
IJM Corp. Bhd | 7,136,180 | 5,384,280 | ||||||
|
| |||||||
13,037,154 | ||||||||
CONSTRUCTION MATERIALS — 0.48% |
| |||||||
Lafarge Malaysia Bhd | 841,560 | 1,250,968 | ||||||
|
| |||||||
1,250,968 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.49% |
| |||||||
Telekom Malaysia Bhd | 2,791,600 | 3,873,031 | ||||||
|
| |||||||
3,873,031 | ||||||||
ELECTRIC UTILITIES — 9.88% |
| |||||||
Tenaga Nasional Bhd | 8,397,612 | 25,608,934 | ||||||
|
| |||||||
25,608,934 | ||||||||
ENERGY EQUIPMENT & SERVICES — 1.59% |
| |||||||
Sapurakencana Petroleum Bhdb | 9,644,600 | 4,127,194 | ||||||
|
| |||||||
4,127,194 | ||||||||
FOOD PRODUCTS — 7.29% |
| |||||||
Felda Global Ventures Holdings Bhda | 3,161,700 | 1,338,738 | ||||||
Genting Plantations Bhd | 592,000 | 1,530,667 | ||||||
IOI Corp. Bhd | 5,600,230 | 5,902,945 | ||||||
Kuala Lumpur Kepong Bhd | 1,057,300 | 5,748,473 |
Security | Shares | Value | ||||||
PPB Group Bhd | 1,174,166 | $ | 4,374,033 | |||||
|
| |||||||
18,894,856 | ||||||||
GAS UTILITIES — 2.98% |
| |||||||
Petronas Gas Bhd | 1,714,900 | 7,732,499 | ||||||
|
| |||||||
7,732,499 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.69% |
| |||||||
Hartalega Holdings Bhd | 1,625,800 | 1,779,592 | ||||||
|
| |||||||
1,779,592 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 4.26% |
| |||||||
IHH Healthcare Bhd | 8,153,300 | 11,036,336 | ||||||
|
| |||||||
11,036,336 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 8.26% |
| |||||||
Berjaya Sports Toto Bhd | 1,672,317 | 1,099,812 | ||||||
Genting Bhd | 5,571,500 | 11,607,292 | ||||||
Genting Malaysia Bhd | 7,351,900 | 8,693,125 | ||||||
|
| |||||||
21,400,229 | ||||||||
INDUSTRIAL CONGLOMERATES — 5.69% |
| |||||||
HAP Seng Consolidated Bhd | 1,541,200 | 3,137,939 | ||||||
Sime Darby Bhd | 5,757,655 | 11,619,051 | ||||||
|
| |||||||
14,756,990 | ||||||||
MARINE — 1.78% |
| |||||||
MISC Bhd | 2,763,320 | 4,617,981 | ||||||
|
| |||||||
4,617,981 | ||||||||
MEDIA — 0.96% |
| |||||||
Astro Malaysia Holdings Bhd | 3,869,900 | 2,484,057 | ||||||
|
| |||||||
2,484,057 | ||||||||
MULTI-UTILITIES — 2.11% |
| |||||||
YTL Corp. Bhd | 10,798,212 | 3,769,646 | ||||||
YTL Power International Bhd | 5,044,300 | 1,692,794 | ||||||
|
| |||||||
5,462,440 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.05% |
| |||||||
Petronas Dagangan Bhd | 492,000 | 2,714,865 | ||||||
|
| |||||||
2,714,865 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.70% |
| |||||||
IOI Properties Group Bhd | 3,828,600 | 1,819,447 | ||||||
|
| |||||||
1,819,447 | ||||||||
TOBACCO — 1.49% |
| |||||||
British American Tobacco Malaysia Bhd | 353,500 | 3,861,430 | ||||||
|
| |||||||
3,861,430 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 1.92% |
| |||||||
Malaysia Airports Holdings Bhd | 1,848,800 | 2,698,249 | ||||||
Westports Holdings Bhd | 2,533,200 | 2,287,867 | ||||||
|
| |||||||
4,986,116 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MALAYSIA ETF
February 28, 2017
Security | Shares | Value | ||||||
WIRELESS TELECOMMUNICATION SERVICES — 8.91% |
| |||||||
Axiata Group Bhda | 6,659,600 | $ | 6,644,601 | |||||
DiGi.Com Bhd | 8,663,600 | 9,834,357 | ||||||
Maxis Bhd | 4,649,200 | 6,607,309 | ||||||
|
| |||||||
23,086,267 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $147,606,024) |
| 257,754,249 | ||||||
RIGHTS — 0.06% |
| |||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.06% |
| |||||||
IOI Properties Group Bhdb | 963,725 | 158,450 | ||||||
|
| |||||||
158,450 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 158,450 | ||||||
SHORT-TERM INVESTMENTS — 4.80% |
| |||||||
MONEY MARKET FUNDS — 4.80% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 12,392,225 | 12,397,182 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 56,031 | 56,031 | ||||||
|
| |||||||
12,453,213 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $12,449,354) |
| 12,453,213 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $160,055,378)f | $ | 270,365,912 | ||||||
Other Assets, Less Liabilities — (4.30)% |
| (11,156,665 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 259,209,247 | ||||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $185,076,545. Net unrealized appreciation was $85,289,367, of which $111,991,478 represented gross unrealized appreciation on securities and $26,702,111 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 257,754,245 | $ | — | $ | 4 | $ | 257,754,249 | ||||||||
Rights | — | 158,450 | — | 158,450 | ||||||||||||
Money market funds | 12,453,213 | — | — | 12,453,213 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 270,207,458 | $ | 158,450 | $ | 4 | $ | 270,365,912 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.36% |
| |||||||
AUSTRALIA — 60.04% |
| |||||||
AGL Energy Ltd. | 1,044,674 | $ | 19,373,124 | |||||
Alumina Ltd. | 3,797,484 | 5,386,838 | ||||||
Amcor Ltd./Australia | 1,798,004 | 19,422,652 | ||||||
AMP Ltd. | 4,589,738 | 17,220,639 | ||||||
APA Group | 1,728,779 | 11,244,791 | ||||||
Aristocrat Leisure Ltd. | 840,729 | 10,730,147 | ||||||
ASX Ltd. | 300,813 | 11,848,477 | ||||||
Aurizon Holdings Ltd. | 3,186,691 | 12,544,446 | ||||||
AusNet Services | 2,732,354 | 3,403,248 | ||||||
Australia & New Zealand Banking Group Ltd. | 4,550,716 | 108,113,461 | ||||||
Bank of Queensland Ltd. | 595,080 | 5,421,697 | ||||||
Bendigo & Adelaide Bank Ltd. | 721,264 | 6,776,525 | ||||||
BHP Billiton Ltd. | 4,991,062 | 95,934,437 | ||||||
Boral Ltd. | 1,829,122 | 8,241,037 | ||||||
Brambles Ltd. | 2,466,599 | 17,655,897 | ||||||
Caltex Australia Ltd. | 405,594 | 8,775,203 | ||||||
Challenger Ltd./Australia | 886,450 | 7,796,898 | ||||||
CIMIC Group Ltd. | 152,040 | 4,411,653 | ||||||
Coca-Cola Amatil Ltd. | 890,119 | 7,014,771 | ||||||
Cochlear Ltd. | 89,138 | 8,947,080 | ||||||
Commonwealth Bank of Australia | 2,683,667 | 169,853,909 | ||||||
Computershare Ltd. | 721,282 | 7,492,073 | ||||||
Crown Resorts Ltd. | 569,994 | 5,548,116 | ||||||
CSL Ltd. | 708,540 | 64,205,520 | ||||||
Dexus Property Group | 1,502,155 | 10,902,555 | ||||||
Domino’s Pizza Enterprises Ltd. | 96,476 | 4,131,579 | ||||||
DUET Group | 3,808,151 | 8,051,715 | ||||||
Flight Centre Travel Group Ltd.a | 85,851 | 1,903,628 | ||||||
Fortescue Metals Group Ltd. | 2,416,222 | 12,316,631 | ||||||
Goodman Group | 2,775,023 | 16,108,500 | ||||||
GPT Group (The) | 2,791,360 | 10,580,455 | ||||||
Harvey Norman Holdings Ltd. | 871,619 | 3,451,242 | ||||||
Healthscope Ltd. | 2,686,221 | 4,646,927 | ||||||
Incitec Pivot Ltd. | 2,619,666 | 7,391,857 | ||||||
Insurance Australia Group Ltd. | 3,679,089 | 16,972,003 | ||||||
James Hardie Industries PLC | 685,010 | 10,270,062 | ||||||
LendLease Group | 859,818 | 10,068,111 | ||||||
Macquarie Group Ltd. | 475,446 | 31,674,613 | ||||||
Medibank Pvt Ltd. | 4,277,526 | 9,274,347 | ||||||
Mirvac Group | 5,750,086 | 9,505,049 | ||||||
National Australia Bank Ltd. | 4,128,918 | 101,552,836 | ||||||
Newcrest Mining Ltd. | 1,191,903 | 20,288,974 |
Security | Shares | Value | ||||||
Oil Search Ltd. | 2,133,229 | $ | 11,448,128 | |||||
Orica Ltd. | 582,159 | 8,186,474 | ||||||
Origin Energy Ltd. | 2,725,563 | 13,746,800 | ||||||
Qantas Airways Ltd. | 706,331 | 2,036,484 | ||||||
QBE Insurance Group Ltd. | 2,128,915 | 20,149,206 | ||||||
Ramsay Health Care Ltd. | 219,580 | 11,780,543 | ||||||
REA Group Ltd. | 82,190 | 3,572,231 | ||||||
Rio Tinto Ltd. | 658,951 | 31,406,267 | ||||||
Santos Ltd. | 2,842,851 | 8,305,758 | ||||||
Scentre Group | 8,267,444 | 27,714,006 | ||||||
Seek Ltd. | 513,674 | 6,196,580 | ||||||
Sonic Healthcare Ltd. | 614,004 | 10,159,095 | ||||||
South32 Ltd. | 8,271,354 | 15,834,980 | ||||||
Stockland | 3,733,870 | 13,550,108 | ||||||
Suncorp Group Ltd. | 1,999,621 | 20,401,409 | ||||||
Sydney Airport | 1,707,973 | 7,957,840 | ||||||
Tabcorp Holdings Ltd. | 1,288,586 | 4,220,506 | ||||||
Tatts Group Ltd. | 2,277,714 | 7,109,954 | ||||||
Telstra Corp. Ltd. | 6,506,347 | 24,111,588 | ||||||
TPG Telecom Ltd. | 527,347 | 2,530,012 | ||||||
Transurban Group | 3,170,149 | 26,884,177 | ||||||
Treasury Wine Estates Ltd. | 1,147,330 | 10,506,103 | ||||||
Vicinity Centres | 5,220,688 | 11,600,244 | ||||||
Vocus Group Ltd. | 825,654 | 2,780,441 | ||||||
Wesfarmers Ltd. | 1,757,275 | 57,718,167 | ||||||
Westfield Corp. | 3,064,558 | 20,734,429 | ||||||
Westpac Banking Corp. | 5,209,486 | 134,979,040 | ||||||
Woodside Petroleum Ltd. | 1,178,198 | 28,389,571 | ||||||
Woolworths Ltd. | 2,001,555 | 39,641,944 | ||||||
|
| |||||||
1,510,105,808 | ||||||||
HONG KONG — 27.44% |
| |||||||
AIA Group Ltd. | 18,792,214 | 118,745,769 | ||||||
ASM Pacific Technology Ltd. | 386,000 | 4,801,100 | ||||||
Bank of East Asia Ltd. (The) | 1,891,920 | 7,823,642 | ||||||
BOC Hong Kong Holdings Ltd.a | 5,693,500 | 22,517,433 | ||||||
Cathay Pacific Airways Ltd.a | 1,868,000 | 2,743,361 | ||||||
Cheung Kong Infrastructure Holdings Ltd. | 1,032,208 | 8,503,720 | ||||||
Cheung Kong Property Holdings Ltd. | 4,149,732 | 28,226,378 | ||||||
CK Hutchison Holdings Ltd. | 4,200,232 | 51,891,123 | ||||||
CLP Holdings Ltd. | 2,605,500 | 26,499,910 | ||||||
First Pacific Co. Ltd./Hong Kong | 3,474,500 | 2,551,340 | ||||||
Galaxy Entertainment Group Ltd. | 3,678,000 | 17,626,085 | ||||||
Hang Lung Group Ltd. | 1,351,000 | 5,612,886 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
Hang Lung Properties Ltd. | 3,569,736 | $ | 9,013,498 | |||||
Hang Seng Bank Ltd. | 1,177,300 | 24,145,233 | ||||||
Henderson Land Development Co. Ltd. | 1,692,820 | 9,835,320 | ||||||
HK Electric Investments & HK Electric Investments Ltd.b | 4,149,500 | 3,624,321 | ||||||
HKT Trust & HKT Ltd. | 5,883,338 | 7,852,080 | ||||||
Hong Kong & China Gas Co. Ltd. | 11,891,852 | 22,887,654 | ||||||
Hong Kong Exchanges & Clearing Ltd.a | 1,807,700 | 44,875,495 | ||||||
Hongkong Land Holdings Ltd. | 1,814,300 | 12,391,669 | ||||||
Hysan Development Co. Ltd. | 977,830 | 4,560,087 | ||||||
Jardine Matheson Holdings Ltd. | 389,000 | 24,188,020 | ||||||
Jardine Strategic Holdings Ltd. | 327,400 | 12,212,020 | ||||||
Kerry Properties Ltd. | 1,028,500 | 3,153,425 | ||||||
Li & Fung Ltd.a | 9,017,200 | 4,019,287 | ||||||
Link REIT | 3,482,586 | 24,024,951 | ||||||
Melco Crown Entertainment Ltd. ADR | 294,834 | 4,826,433 | ||||||
MGM China Holdings Ltd. | 1,466,800 | 2,671,908 | ||||||
MTR Corp. Ltd. | 2,316,286 | 12,249,166 | ||||||
New World Development Co. Ltd. | 8,685,921 | 11,368,699 | ||||||
NWS Holdings Ltd. | 2,435,000 | 4,435,571 | ||||||
PCCW Ltd. | 6,562,867 | 3,999,042 | ||||||
Power Assets Holdings Ltd. | 2,107,000 | 18,905,442 | ||||||
Sands China Ltd. | 3,760,000 | 15,694,014 | ||||||
Shangri-La Asia Ltd. | 2,007,000 | 2,554,498 | ||||||
Sino Land Co. Ltd. | 4,870,800 | 8,483,561 | ||||||
SJM Holdings Ltd. | 3,088,000 | 2,534,066 | ||||||
Sun Hung Kai Properties Ltd. | 2,256,000 | 32,986,493 | ||||||
Swire Pacific Ltd. Class A | 843,000 | 8,666,259 | ||||||
Swire Properties Ltd. | 1,804,400 | 5,427,763 | ||||||
Techtronic Industries Co. Ltd. | 2,123,207 | 7,603,934 | ||||||
WH Group Ltd.b | 12,537,000 | 9,803,553 | ||||||
Wharf Holdings Ltd. (The) | 2,134,600 | 16,925,665 | ||||||
Wheelock & Co. Ltd. | 1,263,000 | 8,208,536 | ||||||
Wynn Macau Ltd. | 2,393,200 | 4,266,937 | ||||||
Yue Yuen Industrial Holdings Ltd. | 1,158,000 | 4,311,293 | ||||||
|
| |||||||
690,248,640 | ||||||||
NEW ZEALAND — 1.47% |
| |||||||
Auckland International Airport Ltd. | 1,480,139 | 7,857,546 | ||||||
Contact Energy Ltd. | 1,124,515 | 3,977,063 | ||||||
Fletcher Building Ltd. | 1,077,494 | 7,528,013 | ||||||
Mercury NZ Ltd. | 1,088,240 | 2,479,269 |
Security | Shares | Value | ||||||
Meridian Energy Ltd. | 1,990,142 | $ | 3,886,299 | |||||
Ryman Healthcare Ltd. | 584,501 | 3,749,706 | ||||||
Spark New Zealand Ltd. | 2,866,003 | 7,441,482 | ||||||
|
| |||||||
36,919,378 | ||||||||
SINGAPORE — 10.41% |
| |||||||
Ascendas REIT | 3,781,225 | 6,759,188 | ||||||
CapitaLand Commercial Trust | 3,259,700 | 3,636,003 | ||||||
CapitaLand Ltd. | 4,012,200 | 10,442,536 | ||||||
CapitaLand Mall Trust | 3,876,900 | 5,461,008 | ||||||
City Developments Ltd.a | 636,900 | 4,312,640 | ||||||
ComfortDelGro Corp. Ltd. | 3,375,500 | 5,961,521 | ||||||
DBS Group Holdings Ltd. | 2,776,500 | 37,184,116 | ||||||
Genting Singapore PLC | 9,454,200 | 6,692,401 | ||||||
Global Logistic Properties Ltd. | 4,166,800 | 7,925,128 | ||||||
Golden Agri-Resources Ltd. | 11,076,487 | 3,009,592 | ||||||
Hutchison Port Holdings Trusta | 8,199,300 | 3,115,734 | ||||||
Jardine Cycle & Carriage Ltd. | 154,400 | 4,715,187 | ||||||
Keppel Corp. Ltd. | 2,277,500 | 11,089,897 | ||||||
Oversea-Chinese Banking Corp. Ltd.a | 4,910,724 | 33,216,867 | ||||||
SATS Ltd. | 1,061,500 | 3,795,002 | ||||||
SembCorp Industries Ltd.a | 1,524,840 | 3,488,962 | ||||||
Singapore Airlines Ltd.a | 849,200 | 6,041,643 | ||||||
Singapore Exchange Ltd. | 1,267,400 | 6,796,682 | ||||||
Singapore Press Holdings Ltd.a | 2,198,217 | 5,501,240 | ||||||
Singapore Technologies Engineering Ltd. | 2,449,500 | 6,445,361 | ||||||
Singapore Telecommunications Ltd. | 12,502,828 | 35,223,011 | ||||||
StarHub Ltd.a | 945,800 | 1,947,663 | ||||||
Suntec REITa | 3,780,800 | 4,676,833 | ||||||
United Overseas Bank Ltd. | 2,026,600 | 31,155,054 | ||||||
UOL Group Ltd. | 752,700 | 3,546,740 | ||||||
Wilmar International Ltd. | 3,009,000 | 7,831,511 | ||||||
Yangzijiang Shipbuilding Holdings Ltd.a | 2,970,200 | 1,964,488 | ||||||
|
| |||||||
261,936,008 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $2,563,487,113) |
| 2,499,209,834 | ||||||
SHORT-TERM INVESTMENTS — 0.87% |
| |||||||
MONEY MARKET FUNDS — 0.87% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 20,818,637 | 20,826,964 |
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 1,025,696 | $ | 1,025,696 | |||||
|
| |||||||
21,852,660 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $21,844,796) | 21,852,660 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $2,585,331,909)f | 2,521,062,494 | |||||||
Other Assets, Less Liabilities — (0.23)% |
| (5,801,328 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 2,515,261,166 | ||||||
|
|
ADR — American Depositary Receipts
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 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 $2,668,867,496. Net unrealized depreciation was $147,805,002, of which $205,776,998 represented gross unrealized appreciation on securities and $353,582,000 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 2,499,209,834 | $ | — | $ | — | $ | 2,499,209,834 | ||||||||
Money market funds | 21,852,660 | — | — | 21,852,660 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 2,521,062,494 | $ | — | $ | — | $ | 2,521,062,494 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SINGAPORE CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.55% |
| |||||||
AEROSPACE & DEFENSE — 2.79% |
| |||||||
Singapore Technologies Engineering Ltd. | 5,770,200 | $ | 15,183,108 | |||||
|
| |||||||
15,183,108 | ||||||||
AIRLINES — 2.62% |
| |||||||
Singapore Airlines Ltd.a | 2,010,667 | 14,304,913 | ||||||
|
| |||||||
14,304,913 | ||||||||
BANKS — 33.15% |
| |||||||
DBS Group Holdings Ltd. | 4,984,200 | 66,750,611 | ||||||
Oversea-Chinese Banking Corp. Ltd.a | 8,679,150 | 58,707,060 | ||||||
United Overseas Bank Ltd. | 3,597,200 | 55,299,989 | ||||||
|
| |||||||
180,757,660 | ||||||||
CAPITAL MARKETS — 2.88% |
| |||||||
Singapore Exchange Ltd. | 2,926,700 | 15,695,005 | ||||||
|
| |||||||
15,695,005 | ||||||||
DISTRIBUTORS — 2.34% |
| |||||||
Jardine Cycle & Carriage Ltd. | 417,144 | 12,739,066 | ||||||
|
| |||||||
12,739,066 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 11.62% |
| |||||||
Singapore Telecommunications Ltd. | 22,495,468 | 63,374,312 | ||||||
|
| |||||||
63,374,312 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 8.43% |
| |||||||
Ascendas REIT | 8,851,581 | 15,822,783 | ||||||
CapitaLand Commercial Trust | 4,841,100 | 5,399,961 | ||||||
CapitaLand Mall Trust | 9,388,800 | 13,225,080 | ||||||
Suntec REITa | 9,291,000 | 11,492,925 | ||||||
|
| |||||||
45,940,749 | ||||||||
FOOD PRODUCTS — 4.79% |
| |||||||
Golden Agri-Resources Ltd. | 29,537,628 | 8,025,668 | ||||||
Wilmar International Ltd. | 6,943,800 | 18,072,598 | ||||||
|
| |||||||
26,098,266 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 2.93% |
| |||||||
Genting Singapore PLC | 22,593,000 | 15,993,043 | ||||||
|
| |||||||
15,993,043 | ||||||||
INDUSTRIAL CONGLOMERATES — 6.24% |
| |||||||
Keppel Corp. Ltd. | 5,102,900 | 24,847,699 | ||||||
SembCorp Industries Ltd.a | 4,010,400 | 9,176,132 | ||||||
|
| |||||||
34,023,831 |
Security | Shares | Value | ||||||
MACHINERY — 1.10% |
| |||||||
Yangzijiang Shipbuilding Holdings Ltd.a | 9,097,200 | $ | 6,016,882 | |||||
|
| |||||||
6,016,882 | ||||||||
MEDIA — 2.56% |
| |||||||
Singapore Press Holdings Ltd.a | 5,573,400 | 13,947,946 | ||||||
|
| |||||||
13,947,946 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 11.07% |
| |||||||
CapitaLand Ltd. | 7,432,800 | 19,345,316 | ||||||
City Developments Ltd.a | 1,613,700 | 10,926,845 | ||||||
Global Logistic Properties Ltd. | 10,954,100 | 20,834,369 | ||||||
UOL Group Ltd. | 1,968,800 | 9,277,031 | ||||||
|
| |||||||
60,383,561 | ||||||||
ROAD & RAIL — 2.61% |
| |||||||
ComfortDelGro Corp. Ltd. | 8,069,100 | 14,250,958 | ||||||
|
| |||||||
14,250,958 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 3.31% |
| |||||||
Hutchison Port Holdings Trusta | 21,712,600 | 8,250,788 | ||||||
SATS Ltd. | 2,738,400 | 9,790,140 | ||||||
|
| |||||||
18,040,928 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.11% |
| |||||||
StarHub Ltd.a | 2,934,000 | 6,041,915 | ||||||
|
| |||||||
6,041,915 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $600,002,243) |
| 542,792,143 | ||||||
SHORT-TERM INVESTMENTS — 5.86% |
| |||||||
MONEY MARKET FUNDS — 5.86% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%b,c,d | 31,927,172 | 31,939,943 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 24,281 | 24,281 | ||||||
|
| |||||||
31,964,224 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $31,951,929) | 31,964,224 | |||||||
|
|
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SINGAPORE CAPPED ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $631,954,172)e | $ | 574,756,367 | ||||||
Other Assets, Less Liabilities — (5.41)% |
| (29,507,694 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 545,248,673 | ||||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Affiliated money market fund. |
c | The rate quoted is the annualized seven-day yield of the fund at period end. |
d | All or a portion of this security represents an investment of securities lending collateral. See Note 1. |
e | The cost of investments for federal income tax purposes was $646,461,948. Net unrealized depreciation was $71,705,581, of which $12,161,422 represented gross unrealized appreciation on securities and $83,867,003 represented gross unrealized depreciation on securities. |
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
MSCI Singapore Index | 190 | Mar. 2017 | Singapore Exchange | $ | 4,701,033 | $ | 4,678,167 | $ | (22,867 | ) | ||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 542,792,143 | $ | — | $ | — | $ | 542,792,143 | ||||||||
Money market funds | 31,964,224 | — | — | 31,964,224 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 574,756,367 | $ | — | $ | — | $ | 574,756,367 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Liabilities: | ||||||||||||||||
Futures contracts | $ | (22,867 | ) | $ | — | $ | — | $ | (22,867 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (22,867 | ) | $ | — | $ | — | $ | (22,867 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI TAIWAN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.91% |
| |||||||
AIRLINES — 0.48% |
| |||||||
China Airlines Ltd. | 20,108,761 | $ | 6,610,525 | |||||
EVA Airways Corp. | 15,538,193 | 7,712,580 | ||||||
|
| |||||||
14,323,105 | ||||||||
AUTO COMPONENTS — 0.85% |
| |||||||
Cheng Shin Rubber Industry Co. Ltd.a | 11,882,670 | 25,255,532 | ||||||
|
| |||||||
25,255,532 | ||||||||
AUTOMOBILES — 0.20% |
| |||||||
Yulon Motor Co. Ltd. | 6,398,362 | 5,956,130 | ||||||
|
| |||||||
5,956,130 | ||||||||
BANKS — 10.46% |
| |||||||
Chang Hwa Commercial Bank Ltd. | 31,990,570 | 19,106,774 | ||||||
China Development Financial Holding Corp. | 84,088,508 | 22,169,249 | ||||||
CTBC Financial Holding Co. Ltd. | 101,454,325 | 60,594,882 | ||||||
E.Sun Financial Holding Co. Ltd. | 47,528,115 | 28,850,858 | ||||||
First Financial Holding Co. Ltd. | 58,496,090 | 34,556,741 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 46,614,711 | 25,641,239 | ||||||
Mega Financial Holding Co. Ltd. | 63,980,271 | 49,770,647 | ||||||
SinoPac Financial Holdings Co. Ltd. | 62,152,118 | 18,914,587 | ||||||
Taishin Financial Holding Co. Ltd. | 54,840,210 | 21,687,261 | ||||||
Taiwan Business Bank | 26,506,784 | 7,255,750 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd.a | 48,442,286 | 23,098,914 | ||||||
|
| |||||||
311,646,902 | ||||||||
BIOTECHNOLOGY — 0.53% |
| |||||||
OBI Pharma Inc.a,b | 914,000 | 10,397,351 | ||||||
TaiMed Biologics Inc.a,b | 914,000 | 5,458,981 | ||||||
|
| |||||||
15,856,332 | ||||||||
CAPITAL MARKETS — 0.83% |
| |||||||
Yuanta Financial Holding Co. Ltd. | 58,496,248 | 24,751,452 | ||||||
|
| |||||||
24,751,452 | ||||||||
CHEMICALS — 7.14% |
| |||||||
Formosa Chemicals & Fibre Corp. | 19,194,610 | 60,726,027 |
Security | Shares | Value | ||||||
Formosa Plastics Corp. | 24,678,518 | $ | 74,380,548 | |||||
Nan Ya Plastics Corp. | 28,334,938 | 68,800,312 | ||||||
Taiwan Fertilizer Co. Ltd. | 6,398,000 | 8,850,391 | ||||||
|
| |||||||
212,757,278 | ||||||||
CONSTRUCTION MATERIALS — 1.35% |
| |||||||
Asia Cement Corp. | 14,624,136 | 14,470,153 | ||||||
Taiwan Cement Corp. | 21,022,504 | 25,761,950 | ||||||
|
| |||||||
40,232,103 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 2.66% |
| |||||||
Chailease Holding Co. Ltd.a | 7,312,937 | 15,685,796 | ||||||
Fubon Financial Holding Co. Ltd. | 39,302,515 | 63,641,841 | ||||||
|
| |||||||
79,327,637 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.60% |
| |||||||
Asia Pacific Telecom Co. Ltd.b | 13,710,000 | 4,596,254 | ||||||
Chunghwa Telecom Co. Ltd. | 21,936,648 | 72,828,229 | ||||||
|
| |||||||
77,424,483 | ||||||||
ELECTRICAL EQUIPMENT — 0.36% |
| |||||||
Teco Electric and Machinery Co. Ltd. | 11,882,092 | 10,712,775 | ||||||
Ya Hsin Industrial Co. Ltd.b | 6,845,461 | 2 | ||||||
|
| |||||||
10,712,777 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 16.22% |
| |||||||
AU Optronics Corp.a | 53,926,830 | 21,413,814 | ||||||
Delta Electronics Inc. | 11,414,180 | 63,528,725 | ||||||
Hon Hai Precision Industry Co. Ltd. | 88,658,003 | 258,267,817 | ||||||
Innolux Corp.a | 55,754,873 | 22,684,131 | ||||||
Largan Precision Co. Ltd. | 586,794 | 87,092,312 | ||||||
Pacific Electric Wire & Cable Co. Ltd.b | 197 | — | ||||||
Synnex Technology International Corp. | 10,054,364 | 11,044,796 | ||||||
WPG Holdings Ltd. | 10,054,744 | 12,763,358 | ||||||
Zhen Ding Technology Holding Ltd. | 2,742,072 | 6,827,624 | ||||||
|
| |||||||
483,622,577 | ||||||||
FOOD & STAPLES RETAILING — 0.90% |
| |||||||
President Chain Store Corp. | 3,656,215 | 26,835,370 | ||||||
|
| |||||||
26,835,370 | ||||||||
FOOD PRODUCTS — 1.92% |
| |||||||
Standard Foods Corp.a | 2,742,439 | 6,873,169 | ||||||
Uni-President Enterprises Corp. | 28,334,189 | 50,353,857 | ||||||
|
| |||||||
57,227,026 |
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TAIWAN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 0.30% |
| |||||||
Nien Made Enterprise Co. Ltd. | 914,000 | $ | 8,939,639 | |||||
|
| |||||||
8,939,639 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.58% |
| |||||||
Far Eastern New Century Corp. | 19,194,843 | 17,180,926 | ||||||
|
| |||||||
17,180,926 | ||||||||
INSURANCE — 3.68% |
| |||||||
Cathay Financial Holding Co. Ltd. | 47,528,483 | 74,641,539 | ||||||
China Life Insurance Co. Ltd./Taiwan | 21,022,193 | 20,629,782 | ||||||
Shin Kong Financial Holding Co. Ltd.b | 53,926,205 | 14,550,694 | ||||||
|
| |||||||
109,822,015 | ||||||||
LEISURE PRODUCTS — 0.58% |
| |||||||
Giant Manufacturing Co. Ltd.a | 1,828,590 | 11,308,350 | ||||||
Merida Industry Co. Ltd.a | 1,177,100 | 6,015,093 | ||||||
|
| |||||||
17,323,443 | ||||||||
MACHINERY — 0.39% |
| |||||||
Hiwin Technologies Corp.a | 1,828,532 | 11,665,086 | ||||||
|
| |||||||
11,665,086 | ||||||||
MARINE — 0.20% |
| |||||||
Evergreen Marine Corp. Taiwan Ltd.b | 12,796,673 | 6,060,234 | ||||||
|
| |||||||
6,060,234 | ||||||||
METALS & MINING — 1.96% |
| |||||||
China Steel Corp. | 69,464,977 | 58,333,081 | ||||||
|
| |||||||
58,333,081 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.85% |
| |||||||
Formosa Petrochemical Corp. | 7,312,950 | 25,468,636 | ||||||
|
| |||||||
25,468,636 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.62% |
| |||||||
Highwealth Construction Corp.a | 6,398,790 | 10,392,684 | ||||||
Ruentex Development Co. Ltd.a,b | 6,398,773 | 8,049,622 | ||||||
|
| |||||||
18,442,306 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 30.17% |
| |||||||
Advanced Semiconductor Engineering Inc.a | 37,474,448 | 46,532,791 | ||||||
MediaTek Inc.a | 8,757,175 | 63,847,127 | ||||||
Nanya Technology Corp.a | 5,484,000 | 8,121,536 | ||||||
Novatek Microelectronics Corp.a | 3,276,544 | 12,264,311 | ||||||
Phison Electronics Corp. | 914,698 | 8,023,536 | ||||||
Powertech Technology Inc. | 4,570,036 | 13,268,254 |
Security | Shares | Value | ||||||
Realtek Semiconductor Corp. | 2,742,063 | $ | 10,219,090 | |||||
Siliconware Precision Industries Co. Ltd. | 13,710,834 | 21,599,244 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 109,247,882 | 672,053,955 | ||||||
United Microelectronics Corp. | 74,034,501 | 30,723,709 | ||||||
Vanguard International Semiconductor Corp. | 6,398,000 | 12,640,441 | ||||||
|
| |||||||
899,293,994 | ||||||||
SPECIALTY RETAIL — 0.60% |
| |||||||
Hotai Motor Co. Ltd. | 1,575,000 | 18,019,187 | ||||||
|
| |||||||
18,019,187 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 9.71% |
| |||||||
Acer Inc.a | 20,108,737 | 9,653,974 | ||||||
Advantech Co. Ltd.a | 1,828,444 | 15,562,618 | ||||||
Asustek Computer Inc. | 4,282,857 | 38,683,510 | ||||||
Casetek Holdings Ltd.a | 1,828,000 | 6,187,837 | ||||||
Catcher Technology Co. Ltd.a | 4,033,743 | 33,741,988 | ||||||
Chicony Electronics Co. Ltd. | 3,656,826 | 8,617,319 | ||||||
Compal Electronics Inc. | 27,420,554 | 17,180,519 | ||||||
Foxconn Technology Co. Ltd. | 5,537,499 | 16,527,696 | ||||||
HTC Corp.a,b | 4,570,884 | 11,738,335 | ||||||
Inventec Corp. | 18,280,868 | 13,566,286 | ||||||
Lite-On Technology Corp. | 13,763,071 | 23,070,228 | ||||||
Micro-Star International Co. Ltd. | 4,570,000 | 10,575,846 | ||||||
Pegatron Corp. | 11,882,037 | 31,209,998 | ||||||
Quanta Computer Inc. | 16,452,240 | 34,110,947 | ||||||
Transcend Information Inc. | 1,828,905 | 5,137,257 | ||||||
Wistron Corp. | 16,452,308 | 13,789,019 | ||||||
|
| |||||||
289,353,377 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.88% |
| |||||||
Eclat Textile Co. Ltd.a | 1,279,080 | 12,864,280 | ||||||
Feng TAY Enterprise Co. Ltd.a | 1,938,476 | 8,202,252 | ||||||
Formosa Taffeta Co. Ltd. | 6,398,515 | 6,497,752 | ||||||
Pou Chen Corp. | 14,624,103 | 19,848,816 | ||||||
Ruentex Industries Ltd.a | 4,570,262 | 8,672,393 | ||||||
|
| |||||||
56,085,493 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.89% |
| |||||||
Far EasTone Telecommunications Co. Ltd. | 10,054,259 | 24,216,484 | ||||||
Taiwan Mobile Co. Ltd. | 9,140,609 | 32,131,293 | ||||||
|
| |||||||
56,347,777 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,481,256,307) |
| 2,978,263,898 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TAIWAN CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 4.81% |
| |||||||
MONEY MARKET FUNDS — 4.81% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 138,800,604 | $ | 138,856,124 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 4,414,737 | 4,414,737 | ||||||
|
| |||||||
143,270,861 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $143,228,195) | 143,270,861 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,624,484,502)f | 3,121,534,759 | |||||||
Other Assets, Less Liabilities — (4.72)% |
| (140,680,890 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 2,980,853,869 | ||||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $1,829,853,746. Net unrealized appreciation was $1,291,681,013, of which $1,518,390,333 represented gross unrealized appreciation on securities and $226,709,320 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 2,978,263,896 | $ | — | $ | 2 | $ | 2,978,263,898 | ||||||||
Money market funds | 143,270,861 | — | — | 143,270,861 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,121,534,757 | $ | — | $ | 2 | $ | 3,121,534,759 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI THAILAND CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.66% |
| |||||||
AIRLINES — 0.60% |
| |||||||
Bangkok Airways PCLa | 2,105,900 | $ | 1,188,530 | |||||
Thai Airways International PCL NVDRa,b | 2,188,166 | 1,209,884 | ||||||
|
| |||||||
2,398,414 | ||||||||
AUTO COMPONENTS — 0.30% |
| |||||||
Sri Trang Agro-Industry PCL NVDR | 2,094,171 | 1,199,909 | ||||||
|
| |||||||
1,199,909 | ||||||||
BANKS — 19.68% |
| |||||||
Bangkok Bank PCL Foreign | 828,500 | 4,580,954 | ||||||
Kasikornbank PCL Foreign | 3,894,400 | 21,254,049 | ||||||
Kasikornbank PCL NVDR | 1,902,300 | 10,436,477 | ||||||
Kiatnakin Bank PCL NVDR | 1,242,373 | 2,340,205 | ||||||
Krung Thai Bank PCL NVDR | 11,662,200 | 6,548,513 | ||||||
LH Financial Group PCL NVDR | 11,448,719 | 573,986 | ||||||
Siam Commercial Bank PCL (The) NVDR | 5,865,600 | 25,878,512 | ||||||
Thanachart Capital PCL NVDR | 1,969,500 | 2,736,553 | ||||||
Tisco Financial Group PCL NVDR | 936,110 | 1,837,061 | ||||||
TMB Bank PCL NVDR | 43,796,200 | 3,061,487 | ||||||
|
| |||||||
79,247,797 | ||||||||
BUILDING PRODUCTS — 0.37% |
| |||||||
Dynasty Ceramic PCL NVDR | 7,659,440 | 969,896 | ||||||
Vanachai Group PCL NVDR | 1,312,900 | 537,866 | ||||||
|
| |||||||
1,507,762 | ||||||||
CAPITAL MARKETS — 0.07% |
| |||||||
AIRA Capital Co. Ltd.a,b | 3,857,940 | 278,524 | ||||||
|
| |||||||
278,524 | ||||||||
CHEMICALS — 4.96% |
| |||||||
Eastern Polymer Group PCL | 2,813,700 | 1,031,796 | ||||||
Indorama Ventures PCL NVDR | 4,822,010 | 4,904,137 | ||||||
PTT Global Chemical PCL NVDR | 6,878,207 | 14,039,972 | ||||||
|
| |||||||
19,975,905 | ||||||||
CONSTRUCTION & ENGINEERING — 1.16% |
| |||||||
CH Karnchang PCL NVDRa | 1,416,500 | 1,105,832 | ||||||
Italian-Thai Development PCL NVDRa,b | 5,675,448 | 809,722 | ||||||
Sino-Thai Engineering & Construction PCL NVDRa | 2,491,828 | 1,820,390 | ||||||
Unique Engineering & Construction PCL | 1,776,000 | 936,196 | ||||||
|
| |||||||
4,672,140 |
Security | Shares | Value | ||||||
CONSTRUCTION MATERIALS — 4.96% |
| |||||||
Siam Cement PCL (The) Foreign | 995,100 | $ | 14,710,335 | |||||
Siam Cement PCL (The) NVDR | 355,800 | 5,259,710 | ||||||
|
| |||||||
19,970,045 | ||||||||
CONSUMER FINANCE — 1.75% |
| |||||||
Group Lease PCLa | 1,271,500 | 2,149,189 | ||||||
Krungthai Card PCL NVDR | 344,500 | 1,287,970 | ||||||
Muangthai Leasing PCLa | 1,773,000 | 1,600,020 | ||||||
Srisawad Power 1979 PCL NVDRa | 1,569,183 | 1,989,267 | ||||||
|
| |||||||
7,026,446 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.06% |
| |||||||
Jasmine International PCL NVDR | 5,968,768 | 1,504,782 | ||||||
Thaicom PCL NVDRa | 1,472,000 | 809,683 | ||||||
True Corp. PCL NVDRa | 33,417,418 | 5,983,552 | ||||||
|
| |||||||
8,298,017 | ||||||||
ELECTRICAL EQUIPMENT — 0.31% |
| |||||||
Gunkul Engineering PCL NVDRa | 8,502,974 | 1,242,359 | ||||||
|
| |||||||
1,242,359 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 2.82% |
| |||||||
Cal-Comp Electronics Thailand PCL NVDR | 6,899,412 | 569,260 | ||||||
Delta Electronics Thailand PCL NVDR | 1,665,744 | 4,414,242 | ||||||
Hana Microelectronics PCL NVDR | 1,880,100 | 2,289,159 | ||||||
KCE Electronics PCL NVDR | 956,600 | 2,692,583 | ||||||
Samart Corp. PCL NVDRa | 1,636,237 | 651,579 | ||||||
SVI PCL NVDR | 4,549,715 | 736,442 | ||||||
|
| |||||||
11,353,265 | ||||||||
FOOD & STAPLES RETAILING — 7.01% |
| |||||||
CP ALL PCL NVDR | 16,417,800 | 28,220,997 | ||||||
|
| |||||||
28,220,997 | ||||||||
FOOD PRODUCTS — 4.08% |
| |||||||
Charoen Pokphand Foods PCL NVDR | 9,043,600 | 7,254,467 | ||||||
GFPT PCL NVDR | 1,687,500 | 744,510 | ||||||
Ichitan Group PCL NVDRa | 1,532,600 | 447,853 | ||||||
Khon Kaen Sugar Industry PCL NVDR | 5,175,978 | 949,027 | ||||||
Malee Group PCL | 186,000 | 546,189 | ||||||
Taokaenoi Food & Marketing PCLa | 918,500 | 736,789 | ||||||
Thai Union Group PCL NVDR | 6,360,400 | 3,699,020 | ||||||
Thai Vegetable Oil PCL NVDR | 1,322,953 | 1,459,188 | ||||||
Thaifoods Group PCL NVDRb | 3,397,600 | 593,756 | ||||||
|
| |||||||
16,430,799 |
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
GAS UTILITIES — 0.07% |
| |||||||
Scan Inter PCLa | 1,212,500 | $ | 279,630 | |||||
|
| |||||||
279,630 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 4.38% |
| |||||||
Bangkok Chain Hospital PCL NVDR | 4,081,025 | 1,519,913 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 12,922,800 | 7,441,471 | ||||||
Bumrungrad Hospital PCL NVDRa | 1,191,476 | 6,007,643 | ||||||
Chularat Hospital PCL NVDRa | 16,564,100 | 1,214,825 | ||||||
Vibhavadi Medical Center PCL NVDR | 17,543,500 | 1,467,592 | ||||||
|
| |||||||
17,651,444 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 1.89% |
| |||||||
Erawan Group PCL (The) NVDR | 4,063,200 | 540,123 | ||||||
Minor International PCL NVDRa | 7,206,810 | 7,071,471 | ||||||
|
| |||||||
7,611,594 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 2.79% |
| |||||||
CK Power PCL NVDRa | 6,115,560 | 567,659 | ||||||
Electricity Generating PCL NVDR | 439,400 | 2,605,773 | ||||||
Glow Energy PCL NVDR | 1,705,900 | 3,812,012 | ||||||
Inter Far East Energy Corp.a | 3,184,500 | 282,819 | ||||||
SPCG PCL NVDR | 1,517,200 | 977,983 | ||||||
Superblock PCLb | 36,647,350 | 1,396,370 | ||||||
surGlobal Power Synergy Co. Ltd. NVDRa | 1,252,100 | 1,228,587 | ||||||
Thai Solar Energy PCL | 2,445,200 | 381,783 | ||||||
|
| |||||||
11,252,986 | ||||||||
INDUSTRIAL CONGLOMERATES — 1.31% |
| |||||||
Berli Jucker PCL NVDR | 3,991,300 | 5,259,910 | ||||||
|
| |||||||
5,259,910 | ||||||||
INSURANCE — 0.13% |
| |||||||
Thai Reinsurance PCL NVDRa | 9,202,540 | 537,829 | ||||||
|
| |||||||
537,829 | ||||||||
MARINE — 0.33% |
| |||||||
Precious Shipping PCL NVDRa,b | 1,837,800 | 558,098 | ||||||
Thoresen Thai Agencies PCL NVDRa | 2,756,489 | 769,958 | ||||||
|
| |||||||
1,328,056 | ||||||||
MEDIA — 1.28% |
| |||||||
BEC World PCL NVDR | 3,270,400 | 1,470,980 | ||||||
Major Cineplex Group PCL NVDRa | 1,464,000 | 1,426,022 | ||||||
Plan B Media PCLa | 1,771,800 | 319,788 |
Security | Shares | Value | ||||||
RS PCL NVDRa | 1,530,900 | $ | 405,690 | |||||
VGI Global Media PCL NVDRa | 5,763,940 | 842,162 | ||||||
Workpoint Entertainment PCL | 421,400 | 676,065 | ||||||
|
| |||||||
5,140,707 | ||||||||
METALS & MINING — 0.11% |
| |||||||
STP & I PCL NVDRa | 1,642,010 | 442,191 | ||||||
|
| |||||||
442,191 | ||||||||
MULTILINE RETAIL — 0.73% |
| |||||||
Robinson Department Store PCL NVDR | 1,665,000 | 2,933,563 | ||||||
|
| |||||||
2,933,563 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 17.46% |
| |||||||
Bangchak Petroleum PCL (The) NVDR | 1,151,200 | 1,137,826 | ||||||
Banpu PCL NVDR | 6,482,900 | 3,640,253 | ||||||
Energy Absolute PCL NVDRa | 3,728,800 | 2,670,639 | ||||||
Energy Earth PCL NVDR | 4,156,100 | 538,184 | ||||||
Esso Thailand PCL NVDRa,b | 4,048,600 | 1,310,658 | ||||||
IRPC PCL NVDR | 32,960,800 | 4,683,662 | ||||||
PTT Exploration & Production PCL NVDR | 4,605,684 | 12,271,092 | ||||||
PTT PCL NVDR | 3,323,700 | 37,802,321 | ||||||
Siamgas & Petrochemicals PCL NVDRa | 1,238,800 | 468,469 | ||||||
Thai Oil PCL NVDR | 2,691,700 | 5,802,823 | ||||||
|
| |||||||
70,325,927 | ||||||||
PERSONAL PRODUCTS — 0.40% |
| |||||||
Beauty Community PCLa | 5,508,000 | 1,625,314 | ||||||
|
| |||||||
1,625,314 | ||||||||
PHARMACEUTICALS — 0.18% |
| |||||||
Mega Lifesciences PCL NVDR | 1,017,700 | 736,186 | ||||||
|
| |||||||
736,186 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 5.42% |
| |||||||
Amata Corp. PCL NVDR | 1,747,100 | 805,842 | ||||||
Ananda Development PCL NVDR | 5,046,800 | 737,382 | ||||||
AP Thailand PCL NVDR | 3,131,886 | 641,532 | ||||||
Bangkok Land PCL NVDRa | 33,804,700 | 1,762,603 | ||||||
Central Pattana PCL NVDRa | 4,492,900 | 7,079,386 | ||||||
Golden Land Property Development PCL NVDR | 1,565,400 | 334,109 | ||||||
LPN Development PCL NVDRa | 1,910,147 | 634,791 | ||||||
Platinum Group PCL (The) NVDR | 2,823,200 | 570,213 | ||||||
Quality Houses PCL NVDRa | 14,353,931 | 1,077,403 | ||||||
Sansiri PCL NVDR | 18,662,637 | 1,037,244 |
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
SC Asset Corp. PCL NVDR | 4,926,904 | $ | 525,077 | |||||
Siam Future Development PCL NVDR | 2,932,428 | 550,269 | ||||||
Singha Estate PCLb | 5,428,200 | 687,360 | ||||||
Supalai PCL NVDRa | 2,006,900 | 1,431,631 | ||||||
TICON Industrial Connection PCL NVDRa | 1,527,891 | 678,469 | ||||||
U City PCL NVDRb | 912,880,400 | 784,587 | ||||||
Univentures PCL NVDR | 2,253,700 | 568,179 | ||||||
WHA Corp. PCL NVDRa,b | 21,507,240 | 1,910,084 | ||||||
|
| |||||||
21,816,161 | ||||||||
ROAD & RAIL — 1.14% |
| |||||||
BTS Group Holdings PCL NVDR | 19,488,900 | 4,578,332 | ||||||
|
| |||||||
4,578,332 | ||||||||
SPECIALTY RETAIL — 1.82% |
| |||||||
Com7 PCL NVDR | 1,199,100 | 401,927 | ||||||
Home Product Center PCL NVDR | 13,147,671 | 3,710,148 | ||||||
PTG Energy PCLa | 1,673,500 | 1,294,481 | ||||||
Siam Global House PCL NVDRa | 3,662,184 | 1,940,966 | ||||||
|
| |||||||
7,347,522 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.16% |
| |||||||
MC Group PCL NVDRa | 1,207,500 | 633,059 | ||||||
|
| |||||||
633,059 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 5.31% |
| |||||||
Airports of Thailand PCL NVDRa | 14,297,100 | 15,871,786 | ||||||
Bangkok Aviation Fuel Services PCL NVDR | 537,600 | 581,410 | ||||||
Bangkok Expressway & Metro PCL | 22,922,153 | 4,629,676 | ||||||
Namyong Terminal PCL NVDR | 730,800 | 307,767 | ||||||
|
| |||||||
21,390,639 | ||||||||
WATER UTILITIES — 0.50% |
| |||||||
Eastern Water Resources Development and Management PCL NVDRa | 1,656,200 | 545,653 | ||||||
TTW PCL NVDRa | 4,670,266 | 1,471,772 | ||||||
|
| |||||||
2,017,425 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 4.12% |
| |||||||
Advanced Info Service PCL NVDR | 3,471,419 | 16,608,471 | ||||||
|
| |||||||
16,608,471 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $440,814,996) |
| 401,339,325 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 8.31% |
| |||||||
MONEY MARKET FUNDS — 8.31% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 32,886,859 | $ | 32,900,013 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 539,618 | 539,618 | ||||||
|
| |||||||
33,439,631 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $33,426,727) | 33,439,631 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $474,241,723)f | 434,778,956 | |||||||
Other Assets, Less Liabilities — (7.97)% |
| (32,083,612 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 402,695,344 | ||||||
|
|
NVDR — Non-Voting Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $487,049,896. Net unrealized depreciation was $52,270,940, of which $13,043,978 represented gross unrealized appreciation on securities and $65,314,918 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 401,056,506 | $ | 282,819 | $ | — | $ | 401,339,325 | ||||||||
Money market funds | 33,439,631 | — | — | 33,439,631 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 434,496,137 | $ | 282,819 | $ | — | $ | 434,778,956 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Malaysia ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 1,710,921,091 | $ | 135,919,930 | $ | 147,606,024 | ||||||
Affiliated (Note 2) | 79,719,495 | 6,250,029 | 12,449,354 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 1,790,640,586 | $ | 142,169,959 | $ | 160,055,378 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 1,591,542,849 | $ | 138,273,007 | $ | 257,912,699 | ||||||
Affiliated (Note 2) | 79,745,749 | 6,251,798 | 12,453,213 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 1,671,288,598 | 144,524,805 | 270,365,912 | |||||||||
Foreign currency, at valueb | 6,146,776 | 143,842 | 595,376 | |||||||||
Foreign currency pledged to broker, at valueb | 438,695 | — | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 34,845,572 | — | 821,567 | |||||||||
Dividends and interest | 109,291 | 529,964 | 309,935 | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 1,712,828,932 | 145,198,611 | 272,092,790 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 33,365,102 | — | 394,122 | |||||||||
Collateral for securities on loan (Note 1) | 78,712,765 | 6,221,666 | 12,392,815 | |||||||||
Futures variation margin | 100,387 | — | — | |||||||||
Investment advisory fees (Note 2) | 591,469 | 51,007 | 96,606 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 112,769,723 | 6,272,673 | 12,883,543 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 1,600,059,209 | $ | 138,925,938 | $ | 259,209,247 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 2,213,592,387 | $ | 134,920,069 | $ | 185,753,402 | ||||||
Undistributed (distributions in excess of) net investment income | 4,184,422 | (1,832,222 | ) | (8,992,187 | ) | |||||||
Undistributed net realized gain (accumulated net realized loss) | (498,262,371 | ) | 3,469,363 | (27,862,612 | ) | |||||||
Net unrealized appreciation (depreciation) | (119,455,229 | ) | 2,368,728 | 110,310,644 | ||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 1,600,059,209 | $ | 138,925,938 | $ | 259,209,247 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 74,175,000 | 2,100,000 | 8,775,000 | d | ||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 21.57 | $ | 66.16 | $ | 29.54 | d | |||||
|
|
|
|
|
|
a | Securities on loan with values of $74,763,184, $5,930,570 and $11,791,830, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker: $6,587,897, $142,753 and $595,638, respectively. |
c | $0.001 par value, number of shares authorized: 375 million, 500 million and 300 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
FINANCIAL STATEMENTS | 41 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Pacific ex Japan ETF | iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 2,563,487,113 | $ | 600,002,243 | $ | 1,481,256,307 | ||||||
Affiliated (Note 2) | 21,844,796 | 31,951,929 | 143,228,195 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 2,585,331,909 | $ | 631,954,172 | $ | 1,624,484,502 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 2,499,209,834 | $ | 542,792,143 | $ | 2,978,263,898 | ||||||
Affiliated (Note 2) | 21,852,660 | 31,964,224 | 143,270,861 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 2,521,062,494 | 574,756,367 | 3,121,534,759 | |||||||||
Foreign currency, at valueb | 7,155,081 | 1,881,547 | — | |||||||||
Foreign currency pledged to broker, at valueb | — | 161,701 | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 13,287,615 | 2,211,938 | 36,551,263 | |||||||||
Dividends and interest | 10,041,790 | 470,285 | 202,717 | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 2,551,546,980 | 579,481,838 | 3,158,288,739 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 14,553,076 | 2,080,224 | 14,356,529 | |||||||||
Collateral for securities on loan (Note 1) | 20,813,351 | 31,926,627 | 138,807,260 | |||||||||
Capital shares redeemed | — | — | 22,829,203 | |||||||||
Futures variation margin | — | 22,867 | — | |||||||||
Foreign taxes (Note 1) | — | — | 39,342 | |||||||||
Investment advisory fees (Note 2) | 919,387 | 203,447 | 1,402,536 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 36,285,814 | 34,233,165 | 177,434,870 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,515,261,166 | $ | 545,248,673 | $ | 2,980,853,869 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 3,148,252,216 | $ | 886,071,258 | $ | 2,741,261,675 | ||||||
Distributions in excess of net investment income | (4,123,735 | ) | (10,417,505 | ) | (11,970,714 | ) | ||||||
Accumulated net realized loss | (564,692,176 | ) | (273,192,840 | ) | (1,245,487,304 | ) | ||||||
Net unrealized appreciation (depreciation) | (64,175,139 | ) | (57,212,240 | ) | 1,497,050,212 | |||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,515,261,166 | $ | 545,248,673 | $ | 2,980,853,869 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 57,900,000 | 24,450,000 | d | 91,400,000 | d | |||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 43.44 | $ | 22.30 | d | $ | 32.61 | d | ||||
|
|
|
|
|
|
a | Securities on loan with values of $19,750,453, $30,280,214 and $131,728,084, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker: $7,107,505, $2,034,697 and $ —, respectively. |
c | $0.001 par value, number of shares authorized: 1 billion, 300 million and 900 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Thailand Capped ETF | ||||
ASSETS | ||||
Investments, at cost: | ||||
Unaffiliated | $ | 440,814,996 | ||
Affiliated (Note 2) | 33,426,727 | |||
|
| |||
Total cost of investments | $ | 474,241,723 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 401,339,325 | ||
Affiliated (Note 2) | 33,439,631 | |||
|
| |||
Total fair value of investments | 434,778,956 | |||
Foreign currency, at valueb | 3,334 | |||
Receivables: | ||||
Investment securities sold | 982,710 | |||
Dividends and interest | 1,003,732 | |||
|
| |||
Total Assets | 436,768,732 | |||
|
| |||
LIABILITIES | ||||
Payables: | ||||
Investment securities purchased | 997,057 | |||
Collateral for securities on loan (Note 1) | 32,886,631 | |||
Investment advisory fees (Note 2) | 189,700 | |||
|
| |||
Total Liabilities | 34,073,388 | |||
|
| |||
NET ASSETS | $ | 402,695,344 | ||
|
| |||
Net assets consist of: | ||||
Paid-in capital | $ | 485,729,367 | ||
Undistributed net investment income | 708,128 | |||
Accumulated net realized loss | (44,280,402 | ) | ||
Net unrealized depreciation | (39,461,749 | ) | ||
|
| |||
NET ASSETS | $ | 402,695,344 | ||
|
| |||
Shares outstandingc | 5,350,000 | |||
|
| |||
Net asset value per share | $ | 75.27 | ||
|
|
a | Securities on loan with a value of $30,062,798. See Note 1. |
b | Cost of foreign currency: $3,340. |
c | $0.001 par value, number of shares authorized: 200 million. |
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Malaysia ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 20,410,696 | $ | 1,420,484 | $ | 3,949,646 | ||||||
Dividends — affiliated (Note 2) | 2,292 | 103 | 343 | |||||||||
Securities lending income — affiliated — net (Note 2) | 256,492 | 95,246 | 172,219 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 20,669,480 | 1,515,833 | 4,122,208 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 4,417,884 | 351,700 | 688,653 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 4,417,884 | 351,700 | 688,653 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 16,251,596 | 1,164,133 | 3,433,555 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (21,204,564 | ) | (174,867 | ) | (3,563,478 | ) | ||||||
Investments — affiliated (Note 2) | (120 | ) | 434 | 508 | ||||||||
In-kind redemptions — unaffiliated | 23,194,665 | 9,109,024 | — | |||||||||
Futures contracts | 368,827 | — | — | |||||||||
Foreign currency transactions | (4,703 | ) | (124,317 | ) | (190,646 | ) | ||||||
Realized gain distributions from affiliated funds | 8 | 1 | 5 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 2,354,113 | 8,810,275 | (3,753,611 | ) | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 13,142,449 | 7,681,948 | (23,634,366 | ) | ||||||||
Futures contracts | (144,296 | ) | — | — | ||||||||
Translation of assets and liabilities in foreign currencies | (1,544 | ) | 14,748 | 15,401 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 12,996,609 | 7,696,696 | (23,618,965 | ) | ||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 15,350,722 | 16,506,971 | (27,372,576 | ) | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 31,602,318 | $ | 17,671,104 | $ | (23,939,021 | ) | |||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $ —, $154,779 and $ —, respectively. |
See notes to financial statements.
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Pacific ex Japan ETF | iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 39,168,130 | $ | 4,314,707 | $ | 9,624,957 | ||||||
Dividends — affiliated (Note 2) | 4,160 | 664 | 17,772 | |||||||||
Interest — unaffiliated | — | — | 1,016 | |||||||||
Securities lending income — affiliated — net (Note 2)b | 151,977 | 155,313 | 1,070,410 | |||||||||
|
|
|
|
|
| |||||||
39,324,267 | 4,470,684 | 10,714,155 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | (1,079,143 | ) | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 39,324,267 | 4,470,684 | 9,635,012 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 5,620,068 | 1,351,545 | 8,719,064 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 5,620,068 | 1,351,545 | 8,719,064 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 33,704,199 | 3,119,139 | 915,948 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (31,925,069 | ) | (36,868,536 | ) | 15,535,011 | |||||||
Investments — affiliated (Note 2) | 5,750 | 1,021 | 6,198 | |||||||||
In-kind redemptions — unaffiliated | 32,637,023 | 3,192,865 | — | |||||||||
Futures contracts | — | 43,807 | 211,776 | |||||||||
Foreign currency transactions | (441,602 | ) | (165,553 | ) | 5,122 | |||||||
Realized gain distributions from affiliated funds | 30 | 4 | 1,930 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 276,132 | (33,796,392 | ) | 15,760,037 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 155,152,865 | 73,821,821 | 256,079,339 | |||||||||
Futures contracts | — | 109,506 | 370,603 | |||||||||
Translation of assets and liabilities in foreign currencies | 268,217 | 98,879 | 77,025 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 155,421,082 | 74,030,206 | 256,526,967 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 155,697,214 | 40,233,814 | 272,287,004 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 189,401,413 | $ | 43,352,953 | $ | 273,202,952 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $256,916, $130,903 and $2,537,205, respectively. |
b | Net of securities lending income tax paid of $ —, $ — and $256,852, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Thailand Capped ETF | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 2,452,528 | ||
Dividends — affiliated (Note 2) | 1,301 | |||
Securities lending income — affiliated — net (Note 2) | 798,438 | |||
|
| |||
Total investment income | 3,252,267 | |||
|
| |||
EXPENSES | ||||
Investment advisory fees (Note 2) | 1,176,442 | |||
|
| |||
Total expenses | 1,176,442 | |||
|
| |||
Net investment income | 2,075,825 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||
Net realized gain (loss) from: |
| |||
Investments — unaffiliated | (3,191,190 | ) | ||
Investments — affiliated (Note 2) | 478 | |||
In-kind redemptions — unaffiliated | 11,088,061 | |||
Foreign currency transactions | (17,555 | ) | ||
Realized gain distributions from affiliated funds | 68 | |||
|
| |||
Net realized gain | 7,879,862 | |||
|
| |||
Net change in unrealized appreciation/depreciation on: |
| |||
Investments | (15,565,341 | ) | ||
Translation of assets and liabilities in foreign currencies | 1,022 | |||
|
| |||
Net change in unrealized appreciation/depreciation | (15,564,319 | ) | ||
|
| |||
Net realized and unrealized loss | (7,684,457 | ) | ||
|
| |||
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | (5,608,632 | ) | |
|
|
a | Net of foreign withholding tax of $255,427. |
See notes to financial statements.
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 16,251,596 | $ | 55,962,839 | $ | 1,164,133 | $ | 2,594,375 | ||||||||
Net realized gain (loss) | 2,354,113 | (112,618,836 | ) | 8,810,275 | 1,760,658 | |||||||||||
Net change in unrealized appreciation/depreciation | 12,996,609 | 206,987,041 | 7,696,696 | 10,466,590 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 31,602,318 | 150,331,044 | 17,671,104 | 14,821,623 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (17,789,499 | ) | (57,946,909 | ) | (3,375,025 | ) | (3,054,464 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (17,789,499 | ) | (57,946,909 | ) | (3,375,025 | ) | (3,054,464 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 428,584,600 | 22,375,546 | 61,641,731 | 45,471,321 | ||||||||||||
Cost of shares redeemed | (438,914,024 | ) | (1,240,407,729 | ) | (101,565,278 | ) | (51,689,221 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net decrease in net assets from capital share transactions | (10,329,424 | ) | (1,218,032,183 | ) | (39,923,547 | ) | (6,217,900 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 3,483,395 | (1,125,648,048 | ) | (25,627,468 | ) | 5,549,259 | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 1,596,575,814 | 2,722,223,862 | 164,553,406 | 159,004,147 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 1,600,059,209 | $ | 1,596,575,814 | $ | 138,925,938 | $ | 164,553,406 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 4,184,422 | $ | 5,722,325 | $ | (1,832,222 | ) | $ | 378,670 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 19,650,000 | 1,125,000 | 1,000,000 | 800,000 | ||||||||||||
Shares redeemed | (21,225,000 | ) | (65,550,000 | ) | (1,600,000 | ) | (900,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net decrease in shares outstanding | (1,575,000 | ) | (64,425,000 | ) | (600,000 | ) | (100,000 | ) | ||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Malaysia ETF | iShares MSCI Pacific ex Japan ETF | |||||||||||||||
Six months ended | Year ended August 31, 2016a | Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 3,433,555 | $ | 8,018,748 | $ | 33,704,199 | $ | 79,688,773 | ||||||||
Net realized gain (loss) | (3,753,611 | ) | 2,274,635 | 276,132 | (45,760,650 | ) | ||||||||||
Net change in unrealized appreciation/depreciation | (23,618,965 | ) | 8,119,136 | 155,421,082 | 190,272,573 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (23,939,021 | ) | 18,412,519 | 189,401,413 | 224,200,696 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (11,115,140 | ) | (12,913,175 | ) | (49,743,243 | ) | (80,779,861 | ) | ||||||||
From net realized gain | — | (61,020,000 | ) | — | — | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (11,115,140 | ) | (73,933,175 | ) | (49,743,243 | ) | (80,779,861 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 4,659,354 | 235,390,658 | 188,667,499 | 430,991,170 | ||||||||||||
Cost of shares redeemed | (45,851,132 | ) | (107,993,581 | ) | (171,026,588 | ) | (200,654,534 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (41,191,778 | ) | 127,397,077 | 17,640,911 | 230,336,636 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (76,245,939 | ) | 71,876,421 | 157,299,081 | 373,757,471 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 335,455,186 | 263,578,765 | 2,357,962,085 | 1,984,204,614 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 259,209,247 | $ | 335,455,186 | $ | 2,515,261,166 | $ | 2,357,962,085 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (8,992,187 | ) | $ | (1,310,602 | ) | $ | (4,123,735 | ) | $ | 11,915,309 | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,950,000 | 6,506,250 | 4,500,000 | 10,800,000 | ||||||||||||
Shares redeemed | (3,300,000 | ) | (2,850,000 | ) | (4,200,000 | ) | (5,400,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (1,350,000 | ) | 3,656,250 | 300,000 | 5,400,000 | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | Six months February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 3,119,139 | $ | 21,958,456 | $ | 915,948 | $ | 65,261,790 | ||||||||
Net realized gain (loss) | (33,796,392 | ) | (29,896,748 | ) | 15,760,037 | (131,209,842 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 74,030,206 | 14,050,396 | 256,526,967 | 327,822,256 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 43,352,953 | 6,112,104 | 273,202,952 | 261,874,204 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (17,484,614 | ) | (16,842,459 | ) | (64,888,894 | ) | (85,498,003 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (17,484,614 | ) | (16,842,459 | ) | (64,888,894 | ) | (85,498,003 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 9,576,066 | 117,265,015 | 174,647,019 | 512,970,562 | ||||||||||||
Cost of shares redeemed | (52,614,170 | ) | (154,043,146 | ) | (58,996,321 | ) | (1,308,867,457 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (43,038,104 | ) | (36,778,131 | ) | 115,650,698 | (795,896,895 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (17,169,765 | ) | (47,508,486 | ) | 323,964,756 | (619,520,694 | ) | |||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 562,418,438 | 609,926,924 | 2,656,889,113 | 3,276,409,807 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 545,248,673 | $ | 562,418,438 | $ | 2,980,853,869 | $ | 2,656,889,113 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (10,417,505 | ) | $ | 3,947,970 | $ | (11,970,714 | ) | $ | 52,002,232 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 650,000 | 5,350,000 | 5,600,000 | 17,900,000 | ||||||||||||
Shares redeemed | (2,700,000 | ) | (7,550,000 | ) | (1,900,000 | ) | 50,800,000 | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (2,050,000 | ) | 2,200,000 | 3,700,000 | 32,900,000 | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
FINANCIAL STATEMENTS | 49 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Thailand Capped ETF | ||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 2,075,825 | $ | 8,989,630 | ||||
Net realized gain (loss) | 7,879,862 | (27,016,412 | ) | |||||
Net change in unrealized appreciation/depreciation | (15,564,319 | ) | 81,712,344 | |||||
|
|
|
| |||||
Net increase (decrease) in net assets resulting from operations | (5,608,632 | ) | 63,685,562 | |||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (3,783,973 | ) | (7,604,719 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (3,783,973 | ) | (7,604,719 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 94,983,739 | 240,640,360 | ||||||
Cost of shares redeemed | (130,970,878 | ) | (85,949,624 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in net assets from capital share transactions | (35,987,139 | ) | 154,690,736 | |||||
|
|
|
| |||||
INCREASE (DECREASE) IN NET ASSETS | (45,379,744 | ) | 210,771,579 | |||||
NET ASSETS | ||||||||
Beginning of period | 448,075,088 | 237,303,509 | ||||||
|
|
|
| |||||
End of period | $ | 402,695,344 | $ | 448,075,088 | ||||
|
|
|
| |||||
Undistributed net investment income included in net assets at end of period | $ | 708,128 | $ | 2,416,276 | ||||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 1,300,000 | 3,550,000 | ||||||
Shares redeemed | (1,850,000 | ) | (1,300,000 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in shares outstanding | (550,000 | ) | 2,250,000 | |||||
|
|
|
|
See notes to financial statements.
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Hong Kong ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 21.08 | $ | 19.42 | $ | 21.89 | $ | 18.91 | $ | 16.94 | $ | 17.59 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.19 | 0.54 | 0.52 | 0.66 | 0.48 | 0.54 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 0.51 | 1.72 | (2.50 | ) | 3.04 | 2.05 | (0.65 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.70 | 2.26 | (1.98 | ) | 3.70 | 2.53 | (0.11 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.21 | ) | (0.60 | ) | (0.49 | ) | (0.72 | ) | (0.56 | ) | (0.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.21 | ) | (0.60 | ) | (0.49 | ) | (0.72 | ) | (0.56 | ) | (0.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 21.57 | $ | 21.08 | $ | 19.42 | $ | 21.89 | $ | 18.91 | $ | 16.94 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 3.42 | %c | 11.94 | % | (9.29 | )% | 19.87 | % | 15.04 | % | (0.33 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,600,059 | $ | 1,596,576 | $ | 2,722,224 | $ | 3,221,312 | $ | 2,124,856 | $ | 1,865,974 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.81 | % | 2.73 | % | 2.36 | % | 3.24 | % | 2.47 | % | 3.26 | % | ||||||||||||
Portfolio turnover ratee | 5 | %c | 9 | % | 7 | % | 6 | % | 12 | % | 11 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 51 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Japan Small-Cap ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 60.95 | $ | 56.79 | $ | 56.61 | $ | 49.44 | $ | 42.82 | $ | 46.49 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.51 | 0.84 | 0.70 | 0.70 | 0.65 | 0.82 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 5.91 | 4.29 | 0.71 | 7.61 | 6.97 | (3.25 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 6.42 | 5.13 | 1.41 | 8.31 | 7.62 | (2.43 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.21 | ) | (0.97 | ) | (1.23 | ) | (1.14 | ) | (1.00 | ) | (1.24 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (1.21 | ) | (0.97 | ) | (1.23 | ) | (1.14 | ) | (1.00 | ) | (1.24 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 66.16 | $ | 60.95 | $ | 56.79 | $ | 56.61 | $ | 49.44 | $ | 42.82 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 10.67 | %c | 9.10 | % | 2.63 | % | 16.94 | % | 18.07 | % | (5.18 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 138,926 | $ | 164,553 | $ | 159,004 | $ | 169,837 | $ | 88,988 | $ | 42,817 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.63 | % | 1.44 | % | 1.26 | % | 1.31 | % | 1.36 | % | 1.84 | % | ||||||||||||
Portfolio turnover ratee | 4 | %c | 12 | % | 10 | % | 14 | % | 17 | % | 7 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
52 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Malaysia ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 33.13 | $ | 40.75 | $ | 64.53 | $ | 58.40 | $ | 58.09 | $ | 55.69 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.37 | 1.00 | 1.44 | 2.16 | 1.64 | 1.52 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | (2.70 | ) | 2.79 | (23.47 | ) | 6.06 | 0.15 | 3.03 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (2.33 | ) | 3.79 | (22.03 | ) | 8.22 | 1.79 | 4.55 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.26 | ) | (1.81 | ) | (1.57 | ) | (2.09 | ) | (1.48 | ) | (2.07 | ) | ||||||||||||
Net realized gain | — | (9.60 | ) | (0.18 | ) | — | — | — | ||||||||||||||||
Return of capital | — | — | — | — | — | (0.08 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (1.26 | ) | (11.41 | ) | (1.75 | ) | (2.09 | ) | (1.48 | ) | (2.15 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 29.54 | $ | 33.13 | $ | 40.75 | $ | 64.53 | $ | 58.40 | $ | 58.09 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (6.82 | )%d | 12.58 | % | (34.62 | )% | 14.17 | % | 3.02 | % | 8.61 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 259,209 | $ | 335,455 | $ | 263,579 | $ | 786,461 | $ | 809,138 | $ | 936,692 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetse | 2.45 | % | 2.86 | % | 2.61 | % | 3.48 | % | 2.71 | % | 2.73 | % | ||||||||||||
Portfolio turnover ratef | 4 | %d | 72 | % | 24 | % | 16 | % | 17 | % | 24 | % |
a | Per share amounts reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017 and the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012 were 3%, 17%, 5%, 10%, 8% and 14%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 53 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Pacific ex Japan ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 40.94 | $ | 38.01 | $ | 51.21 | $ | 44.56 | $ | 43.21 | $ | 44.47 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.60 | 1.54 | 1.97 | 1.88 | 1.69 | 1.73 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.81 | 2.98 | (13.09 | ) | 6.51 | 1.71 | (1.14 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 3.41 | 4.52 | (11.12 | ) | 8.39 | 3.40 | 0.59 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.91 | ) | (1.59 | ) | (2.08 | ) | (1.74 | ) | (2.05 | ) | (1.85 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.91 | ) | (1.59 | ) | (2.08 | ) | (1.74 | ) | (2.05 | ) | (1.85 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 43.44 | $ | 40.94 | $ | 38.01 | $ | 51.21 | $ | 44.56 | $ | 43.21 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 8.55 | %c | 12.20 | % | (22.19 | )% | 19.25 | % | 7.87 | % | 1.82 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 2,515,261 | $ | 2,357,962 | $ | 1,984,205 | $ | 3,472,048 | $ | 3,008,067 | $ | 3,188,582 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.50 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.92 | % | 4.00 | % | 4.31 | % | 3.90 | % | 3.59 | % | 4.16 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 6 | % | 7 | % | 8 | % | 8 | % | 7 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
54 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Singapore Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 21.22 | $ | 21.25 | $ | 27.93 | $ | 24.98 | $ | 26.19 | $ | 26.10 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.12 | 0.84 | 0.82 | 0.80 | 0.88 | 0.82 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 1.62 | (0.24 | ) | (6.64 | ) | 3.05 | (0.92 | ) | 0.22 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.74 | 0.60 | (5.82 | ) | 3.85 | (0.04 | ) | 1.04 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.66 | ) | (0.63 | ) | (0.86 | ) | (0.90 | ) | (1.17 | ) | (0.95 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.66 | ) | (0.63 | ) | (0.86 | ) | (0.90 | ) | (1.17 | ) | (0.95 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 22.30 | $ | 21.22 | $ | 21.25 | $ | 27.93 | $ | 24.98 | $ | 26.19 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 8.51 | %d | 2.87 | % | (21.27 | )% | 15.65 | % | (0.38 | )% | 4.67 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 545,249 | $ | 562,418 | $ | 609,927 | $ | 984,455 | $ | 1,135,477 | $ | 1,512,687 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.13 | % | 3.96 | % | 3.15 | % | 2.99 | % | 3.23 | % | 3.32 | % | ||||||||||||
Portfolio turnover ratef | 9 | %d | 7 | % | 10 | % | 4 | % | 10 | % | 3 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 | 55 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Taiwan Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 30.30 | $ | 27.17 | $ | 32.89 | $ | 27.21 | $ | 25.16 | $ | 27.56 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.01 | 0.68 | 0.74 | 0.58 | 0.48 | 0.56 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 3.00 | 3.25 | (5.88 | ) | 5.62 | 2.11 | (2.01 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 3.01 | 3.93 | (5.14 | ) | 6.20 | 2.59 | (1.45 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.70 | ) | (0.80 | ) | (0.58 | ) | (0.52 | ) | (0.54 | ) | (0.95 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.70 | ) | (0.80 | ) | (0.58 | ) | (0.52 | ) | (0.54 | ) | (0.95 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 32.61 | $ | 30.30 | $ | 27.17 | $ | 32.89 | $ | 27.21 | $ | 25.16 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 10.16 | %d | 15.02 | % | (15.79 | )% | 23.24 | % | 10.30 | % | (4.80 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 2,980,854 | $ | 2,656,889 | $ | 3,276,410 | $ | 3,298,664 | $ | 2,641,997 | $ | 2,247,128 | ||||||||||||
Ratio of expenses to average net assetse | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.07 | % | 2.51 | % | 2.36 | % | 1.98 | % | 1.80 | % | 2.25 | % | ||||||||||||
Portfolio turnover ratef | 9 | %d | 27 | % | 14 | % | 11 | % | 21 | % | 22 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017 and the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012 were 7%, 9%, 4%, 4%, 6% and 7%, respectively. See Note 4. |
See notes to financial statements.
56 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Thailand Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 75.94 | $ | 65.01 | $ | 83.41 | $ | 67.73 | $ | 70.53 | $ | 66.27 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.40 | 2.05 | 1.66 | 1.67 | 1.84 | 1.76 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (0.31 | ) | 10.54 | (17.98 | ) | 15.84 | (2.75 | ) | 4.37 | |||||||||||||||
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Total from investment operations | 0.09 | 12.59 | (16.32 | ) | 17.51 | (0.91 | ) | 6.13 | ||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.76 | ) | (1.66 | ) | (2.08 | ) | (1.83 | ) | (1.89 | ) | (1.87 | ) | ||||||||||||
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Total distributions | (0.76 | ) | (1.66 | ) | (2.08 | ) | (1.83 | ) | (1.89 | ) | (1.87 | ) | ||||||||||||
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Net asset value, end of period | $ | 75.27 | $ | 75.94 | $ | 65.01 | $ | 83.41 | $ | 67.73 | $ | 70.53 | ||||||||||||
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Total return | 0.20 | %c | 19.87 | % | (19.92 | )% | 26.18 | % | (1.65 | )% | 9.57 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 402,695 | $ | 448,075 | $ | 237,304 | $ | 571,370 | $ | 541,873 | $ | 595,968 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.63 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.10 | % | 3.08 | % | 2.09 | % | 2.24 | % | 2.22 | % | 2.66 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 16 | % | 13 | % | 9 | % | 24 | % | 12 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 57 |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
MSCI Hong Kong | Non-diversified | |
MSCI Japan Small-Cap | Diversified | |
MSCI Malaysia | Non-diversified | |
MSCI Pacific ex Japan | Diversified | |
MSCI Singapore Cappeda | Non-diversified | |
MSCI Taiwan Cappedb | Non-diversified | |
MSCI Thailand Capped | Non-diversified |
a | Formerly the iShares MSCI Singapore ETF. |
b | Formerly the iShares MSCI Taiwan ETF. |
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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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
58 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
to policies and procedures developed by the Global Valuation Committee and approved by the Board of Directors of the Company (the “Board”).
• | 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. |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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. |
NOTESTO FINANCIAL STATEMENTS | 59 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, if any, are disclosed in the Funds’ statements of assets and liabilities.
60 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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
NOTESTO FINANCIAL STATEMENTS | 61 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Hong Kong | ||||||||||||
Goldman Sachs & Co. | $ | 2,056,051 | $ | 2,056,051 | $ | — | ||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,896,120 | 1,896,120 | — | |||||||||
Morgan Stanley & Co. LLC | 70,445,098 | 70,445,098 | — | |||||||||
State Street Bank & Trust Company | 365,915 | 365,915 | — | |||||||||
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$ | 74,763,184 | $ | 74,763,184 | $ | — | |||||||
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MSCI Japan Small-Cap | ||||||||||||
Barclays Capital Inc. | $ | 348,764 | $ | 348,764 | $ | — | ||||||
Citigroup Global Markets Inc. | 290,975 | 290,975 | — | |||||||||
Credit Suisse Securities (USA) LLC | 1,069,186 | 1,069,186 | — | |||||||||
Deutsche Bank Securities Inc. | 326,176 | 326,176 | — | |||||||||
Goldman Sachs & Co. | 152,331 | 152,331 | — | |||||||||
Jefferies LLC | 40,047 | 40,047 | — | |||||||||
JPMorgan Securities LLC | 751,093 | 751,093 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 583,099 | 583,099 | — | |||||||||
Morgan Stanley & Co. LLC | 1,191,106 | 1,191,106 | — | |||||||||
SG Americas Securities LLC | 511,838 | 511,838 | — | |||||||||
State Street Bank & Trust Company | 71,943 | 71,943 | — | |||||||||
UBS AG | 507,964 | 507,964 | — | |||||||||
UBS Securities LLC | 86,048 | 86,048 | — | |||||||||
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$ | 5,930,570 | $ | 5,930,570 | $ | — | |||||||
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MSCI Malaysia | ||||||||||||
Morgan Stanley & Co. International PLC | $ | 11,791,830 | $ | 11,791,830 | $ | — | ||||||
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MSCI Pacific ex Japan | ||||||||||||
Goldman Sachs & Co. | $ | 2,473,595 | $ | 2,473,595 | $ | — | ||||||
Jefferies LLC | 399,446 | 399,446 | — | |||||||||
JPMorgan Securities LLC | 28,085 | 28,085 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 730,161 | 730,161 | — | |||||||||
Morgan Stanley & Co. LLC | 10,464,430 | 10,464,430 | — | |||||||||
State Street Bank & Trust Company | 4,099,788 | 4,099,788 | — | |||||||||
UBS Securities LLC | 1,554,948 | 1,554,948 | — | |||||||||
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$ | 19,750,453 | $ | 19,750,453 | $ | — | |||||||
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MSCI Singapore Capped | ||||||||||||
Goldman Sachs & Co. | $ | 8,194,645 | $ | 8,194,645 | — | |||||||
JPMorgan Securities LLC | 11,567 | 11,567 | — | |||||||||
Morgan Stanley & Co. LLC | 18,437,407 | 18,437,407 | — | |||||||||
State Street Bank & Trust Company | 3,636,595 | 3,636,595 | — | |||||||||
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$ | 30,280,214 | $ | 30,280,214 | — | ||||||||
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62 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Taiwan Capped | ||||||||||||
Citigroup Global Markets Ltd. | $ | 28,132,431 | $ | 28,132,431 | $ | — | ||||||
Credit Suisse Securities (Europe) Ltd. | 22,260,677 | 22,260,677 | — | |||||||||
Deutsche Bank AG | 3,830,618 | 3,830,618 | — | |||||||||
JPMorgan Securities PLC | 8,840,578 | 8,840,578 | — | |||||||||
Morgan Stanley & Co. International PLC | 68,663,780 | 68,663,780 | — | |||||||||
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$ | 131,728,084 | $ | 131,728,084 | $ | — | |||||||
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MSCI Thailand Capped | ||||||||||||
Citigroup Global Markets Inc. | $ | 418,722 | $ | 418,722 | — | |||||||
Credit Suisse Securities (USA) LLC | 3,168,548 | 3,168,548 | — | |||||||||
Deutsche Bank Securities Inc. | 494,048 | 494,048 | — | |||||||||
Goldman Sachs & Co. | 5,897,491 | 5,897,491 | — | |||||||||
JPMorgan Securities LLC | 184,355 | 184,355 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 809,271 | 809,271 | — | |||||||||
Morgan Stanley & Co. LLC | 12,885,579 | 12,885,579 | — | |||||||||
UBS AG | 2,069,772 | 2,069,772 | — | |||||||||
UBS Securities LLC | 4,135,012 | 4,135,012 | — | |||||||||
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$ | 30,062,798 | $ | 30,062,798 | $ | — | |||||||
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a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each 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 Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
For its investment advisory services to each of the iShares MSCI Hong Kong, iShares MSCI Japan Small-Cap, iShares MSCI Malaysia and iShares MSCI Singapore Capped ETFs, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.59 | % | First $7 billion | |||
0.54 | Over $7 billion, up to and including $11 billion | ||||
0.49 | Over $11 billion, up to and including $24 billion | ||||
0.44 | Over $24 billion, up to and including $48 billion | ||||
0.40 | Over $48 billion, up to and including $72 billion | ||||
0.36 | Over $72 billion |
NOTESTO FINANCIAL STATEMENTS | 63 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For its investment advisory services to the iShares MSCI Pacific ex Japan 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 $46 billion | |||
0.4750 | a | Over $46 billion, up to and including $81 billion | |||
0.4513 | a | Over $81 billion, up to and including $111 billion | |||
0.4287 | a | Over $111 billion, up to and including $141 billion | |||
0.4073 | a | Over $141 billion |
a | 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. |
For its investment advisory services to each of the iShares MSCI Taiwan Capped and iShares MSCI Thailand Capped ETFs, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.74 | % | First $2 billion | |||
0.69 | Over $2 billion, up to and including $4 billion | ||||
0.64 | Over $4 billion, up to and including $8 billion | ||||
0.57 | Over $8 billion, up to and including $16 billion | ||||
0.51 | Over $16 billion, up to and including $24 billion | ||||
0.48 | Over $24 billion, up to and including $32 billion | ||||
0.45 | Over $32 billion |
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.
64 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Hong Kong | $ | 66,499 | ||
MSCI Japan Small-Cap | 20,193 | |||
MSCI Malaysia | 35,822 | |||
MSCI Pacific ex Japan | 36,013 | |||
MSCI Singapore Capped | 37,049 | |||
MSCI Taiwan Capped | 283,590 | |||
MSCI Thailand Capped | 166,973 |
For the six months ended February 28, 2017, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares MSCI Taiwan Capped ETF in the amount of $43,007, related to the foreign tax on the securities lending income. Such reimbursement is included in “Securities lending income – affiliated – net” in the Fund’s statement of operations.
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Hong Kong | $ | 57,634 | $ | 13,478,809 | ||||
MSCI Japan Small-Cap | 1,459,666 | 2,787,153 | ||||||
MSCI Pacific ex Japan | 1,316,889 | 7,791,730 | ||||||
MSCI Singapore Capped | 9,691,888 | 20,290,111 | ||||||
MSCI Taiwan Capped | 25,559,208 | 2,750,889 |
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 directors and officers of the Company are also officers of BTC and/or BFA.
NOTESTO FINANCIAL STATEMENTS | 65 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
3. | INVESTMENT PORTFOLIO TRANSACTIONS |
Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Hong Kong | $ | 83,221,212 | $ | 82,951,085 | ||||
MSCI Japan Small-Cap | 5,150,055 | 8,176,807 | ||||||
MSCI Malaysia | 11,553,001 | 60,795,391 | ||||||
MSCI Pacific ex Japan | 56,484,630 | 70,082,620 | ||||||
MSCI Singapore Capped | 48,577,445 | 60,198,987 | ||||||
MSCI Taiwan Capped | 350,789,400 | 248,629,935 | ||||||
MSCI Thailand Capped | 13,917,328 | 11,015,342 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Hong Kong | $ | 412,204,889 | $ | 423,833,605 | ||||
MSCI Japan Small-Cap | 60,797,639 | 100,262,765 | ||||||
MSCI Pacific ex Japan | 187,152,300 | 168,849,024 | ||||||
MSCI Singapore Capped | 9,243,681 | 50,998,458 | ||||||
MSCI Thailand Capped | 90,934,000 | 130,443,122 |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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.
The Board authorized a one-for-four reverse stock split for the iShares MSCI Malaysia ETF (“EWM”) and a one-for-two reverse stock split for each of the iShares MSCI Singapore Capped ETF (“EWS”) and iShares MSCI Taiwan Capped ETF (“EWT”), effective after the close of trading on November 4, 2016. The impact of the stock splits was to decrease the number of shares outstanding by a factor of four for EWM and a factor of two for EWS and EWT, while increasing the NAV per share by factors of four, two and two, respectively, resulting in no effect on the net assets of the Funds. The financial statements for the Funds have been adjusted to reflect the reverse stock splits.
66 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
5. | FUTURES CONTRACTS |
Futures contracts are purchased or sold to gain or manage exposure to changes in the value of commodities (commodity risk), interest rates (interest rate risk), foreign currencies (foreign currency risk) and/or equities (market risk). 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, a 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 February 28, 2017 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Liabilities | ||||||||
iShares MSCI HongKong ETF | iShares MSCI Singapore Capped ETF | |||||||
Equity contracts: | ||||||||
Variation margin /Net assets consist of – net unrealized appreciation (depreciation)a | $ | 100,387 | $ | 22,867 | ||||
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|
|
| |||||
a | Represents cumulative depreciation of futures contracts as reported in the schedules of investments. |
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2017 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI Hong Kong | iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | ||||||||||
Equity contracts: | ||||||||||||
Futures contracts | $ | 368,827 | $ | 43,807 | $ | 211,776 | ||||||
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|
|
|
|
| |||||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI Hong Kong | iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | ||||||||||
Equity contracts: | ||||||||||||
Futures contracts | $ | (144,296 | ) | $ | 109,506 | $ | 370,603 | |||||
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NOTESTO FINANCIAL STATEMENTS | 67 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table shows the average quarter-end balances of open futures contracts for the six months ended February 28, 2017:
iShares MSCI Hong Kong | iShares MSCI Singapore Capped ETF | iShares MSCI Taiwan Capped ETF | ||||||||||
Average value of contracts purchased | $ | 7,161,479 | $ | 4,233,503 | $ | 21,463,517 |
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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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 a 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.
When a fund concentrates its investments in issuers located in a single country, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance.
68 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
7. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, 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 | Expiring 2019 | Total | |||||||||||||||
MSCI Hong Kong | $ | 222,203,643 | $ | 29,235,556 | $ | 114,836,904 | $ | 34,565,959 | $ | 400,842,062 | ||||||||||
MSCI Japan Small-Cap | 3,140,817 | 131,718 | 541,322 | 203,697 | 4,017,554 | |||||||||||||||
MSCI Pacific ex Japan | 264,867,220 | 66,207,828 | 104,799,503 | 36,600,987 | 472,475,538 | |||||||||||||||
MSCI Singapore Capped | 53,847,762 | 15,680,510 | 132,420,824 | 11,588,528 | 213,537,624 | |||||||||||||||
MSCI Taiwan Capped | 211,790,962 | 343,375,145 | 363,052,013 | 19,669,958 | 937,888,078 | |||||||||||||||
MSCI Thailand Capped | 12,695,752 | 555,444 | 2,321,428 | 1,304,910 | 16,877,534 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
NOTESTO FINANCIAL STATEMENTS | 69 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
70 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
iShares ETF | Net Investment Income | Net Realized Capital Gains | Return of Capital | Total Share | Net Investment Income | Net Realized Capital Gains | Return of Capital | Total Per Share | ||||||||||||||||||||||||
MSCI Japan Small-Cap | $ | 1.205366 | $ | — | $ | — | $ | 1.205366 | 100 | % | — | % | — | % | 100 | % | ||||||||||||||||
MSCI Malaysia | 1.255948 | — | — | 1.255948 | 100 | — | — | 100 | ||||||||||||||||||||||||
MSCI Pacific ex Japan | 0.883786 | — | 0.022284 | 0.906070 | 98 | — | 2 | 100 | ||||||||||||||||||||||||
MSCI Singapore Capped | 0.287344 | — | 0.374952 | 0.662296 | 43 | — | 57 | 100 | ||||||||||||||||||||||||
MSCI Thailand Capped | 0.764439 | — | — | 0.764439 | 100 | — | — | 100 |
SUPPLEMENTAL INFORMATION | 71 |
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Notes:
72 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 73 |
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Notes:
74 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-803-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Brazil Capped ETF | EWZ | NYSE Arca |
Ø | iShares MSCI Chile Capped ETF | ECH | NYSE Arca |
Ø | iShares MSCI Colombia Capped ETF | ICOL | NYSE Arca |
Ø | iShares MSCI Israel Capped ETF | EIS | NYSE Arca |
Ø | iShares MSCI Russia Capped ETF | ERUS | NYSE Arca |
Ø | iShares MSCI South Africa ETF | EZA | NYSE Arca |
Ø | iShares MSCI Turkey ETF | TUR | NYSE Arca |
Ø | iShares MSCI USA Equal Weighted ETF | EUSA | NYSE Arca |
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iSHARES® MSCI BRAZIL CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Brazil Capped ETF (the “Fund”) seeks to track the investment results of an index composed of Brazilian equities, as represented by the MSCI Brazil 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 16.36%, net of fees, while the total return for the Index was 16.87%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 90.39% | 87.95% | 92.10% | 90.39% | 87.95% | 92.10% | ||||||||||||||||||||||
5 Years | (8.44)% | (8.84)% | (7.94)% | (35.65)% | (37.04)% | (33.87)% | ||||||||||||||||||||||
10 Years | 1.41% | 1.17% | 2.02% | 15.01% | 12.33% | 22.16% |
Index performance through February 11, 2013 reflects the performance of the MSCI Brazil Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Brazil 25/50 Index.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is 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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,163.60 | $ | 3.33 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 37.72 | % | ||
Consumer Staples | 14.22 | |||
Energy | 12.68 | |||
Materials | 9.43 | |||
Utilities | 6.95 | |||
Industrials | 5.58 | |||
Consumer Discretionary | 4.77 | |||
Telecommunication Services | 2.76 | |||
Information Technology | 2.62 | |||
Health Care | 1.79 | |||
Real Estate | 1.48 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Itau Unibanco Holding SA (Preferred) | 12.06 | % | ||
Banco Bradesco SA (Preferred) | 8.53 | |||
Ambev SA | 7.74 | |||
Petroleo Brasileiro SA (Preferred) | 5.49 | |||
Petroleo Brasileiro SA | 4.39 | |||
Itausa-Investimentos Itau SA (Preferred) | 3.62 | |||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 3.23 | |||
Vale SA (Preferred) | 3.03 | |||
Banco do Brasil SA | 2.63 | |||
Cielo SA | 2.62 | |||
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TOTAL | 53.34 | % | ||
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* | Excludes money market funds. |
5 |
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Fund Performance Overview
iSHARES® MSCI CHILE CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Chile Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Chilean equities, as represented by the MSCI Chile Investable Market Index 25/50 (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 10.27%, net of fees, while the total return for the Index was 10.37%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 23.92% | 23.81% | 24.05% | 23.92% | 23.81% | 24.05% | ||||||||||||||||||||||
5 Years | (8.27)% | (8.43)% | (8.04)% | (35.05)% | (35.60)% | (34.23)% | ||||||||||||||||||||||
Since Inception | (0.57)% | (0.63)% | (0.04)% | (5.20)% | (5.71)% | (0.40)% |
The inception date of the Fund was 11/12/07. The first day of secondary market trading was 11/16/07.
Index performance through February 11, 2013 reflects the performance of the MSCI Chile Investable Market Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Chile Investable Market Index 25/50.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,102.70 | $ | 3.23 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Utilities | 26.82 | % | ||
Financials | 17.18 | |||
Consumer Staples | 13.58 | |||
Materials | 10.96 | |||
Consumer Discretionary | 10.16 | |||
Energy | 7.87 | |||
Industrials | 5.68 | |||
Telecommunication Services | 3.18 | |||
Real Estate | 2.96 | |||
Information Technology | 1.61 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Enel Americas SA | 9.29 | % | ||
SACI Falabella | 8.21 | |||
Empresas COPEC SA | 7.87 | |||
Cencosud SA | 6.87 | |||
Banco Santander Chile | 5.90 | |||
LATAM Airlines Group SA | 4.48 | |||
Empresas CMPC SA | 4.44 | |||
Sociedad Quimica y Minera de Chile SA Series B (Preferred) | 4.42 | |||
Banco de Chile | 4.12 | |||
Banco de Credito e Inversiones | 3.70 | |||
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TOTAL | 59.30 | % | ||
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* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Fund Performance Overview
iSHARES® MSCI COLOMBIA CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Colombia Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Colombian equities, as represented by the MSCI All Colombia Capped Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 0.31%, net of fees, while the total return for the Index was 0.07%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 21.12% | 19.81% | 20.36% | 21.12% | 19.81% | 20.36% | ||||||||||||||||||||||
Since Inception | (14.53)% | (14.43)% | (14.28)% | (44.08)% | (43.84)% | (43.46)% |
The inception date of the Fund was 6/18/13. The first day of secondary market trading was 6/20/13.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,003.10 | $ | 3.03 | $ | 1,000.00 | $ | 1,021.80 | $ | 3.06 | 0.61% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 41.14 | % | ||
Materials | 20.43 | |||
Utilities | 12.58 | |||
Energy | 9.33 | |||
Consumer Staples | 9.13 | |||
Industrials | 4.94 | |||
Telecommunication Services | 2.45 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Bancolombia SA (Preferred) | 12.71 | % | ||
Grupo de Inversiones Suramericana SA | 8.63 | |||
Grupo Argos SA/Colombia | 5.57 | |||
Cementos Argos SA | 4.99 | |||
Interconexion Electrica SA ESP | 4.94 | |||
Bancolombia SA | 4.82 | |||
Almacenes Exito SA | 4.59 | |||
Grupo Nutresa SA | 4.54 | |||
Banco Davivienda SA (Preferred) | 4.46 | |||
Ecopetrol SA | 4.40 | |||
|
| |||
TOTAL | 59.65 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI ISRAEL CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Israel Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Israeli equities, as represented by the MSCI Israel Capped Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 3.13%, net of fees, while the total return for the Index was 2.90%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 11.81% | 12.05% | 11.72% | 11.81% | 12.05% | 11.72% | ||||||||||||||||||||||
5 Years | 6.70% | 6.69% | 6.90% | 38.32% | 38.24% | 39.60% | ||||||||||||||||||||||
Since Inception | 2.44% | 2.43% | 2.88% | 24.03% | 23.93% | 28.85% |
The inception date of the Fund was 3/26/08. The first day of secondary market trading was 3/28/08.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,031.30 | $ | 3.12 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Information Technology | 28.09 | % | ||
Health Care | 23.75 | |||
Financials | 17.96 | |||
Real Estate | 8.48 | |||
Industrials | 5.23 | |||
Telecommunication Services | 4.96 | |||
Materials | 4.72 | |||
Energy | 3.66 | |||
Consumer Staples | 1.66 | |||
Consumer Discretionary | 1.18 | |||
Utilities | 0.31 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Teva Pharmaceutical Industries Ltd. ADR | 21.98 | % | ||
Check Point Software Technologies Ltd. | 10.41 | |||
Mobileye NV | 6.21 | |||
Bank Hapoalim BM | 5.59 | |||
Bank Leumi le-Israel BM | 4.62 | |||
Nice Ltd. | 3.68 | |||
Bezeq The Israeli Telecommunication Corp. Ltd. | 3.23 | |||
Elbit Systems Ltd. | 2.52 | |||
Israel Discount Bank Ltd. Class A | 2.17 | |||
Mizrahi Tefahot Bank Ltd. | 2.14 | |||
|
| |||
TOTAL | 62.55 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI RUSSIA CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Russia Capped ETF (the “Fund”) seeks to track the investment results of an index composed of Russian equities, as represented by the MSCI Russia 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 15.38%, net of fees, while the total return for the Index was 15.93%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 43.55% | 43.29% | 44.98% | 43.55% | 43.29% | 44.98% | ||||||||||||||||||||||
5 Years | (6.41)% | (6.47)% | (5.69)% | (28.20)% | (28.44)% | (25.40)% | ||||||||||||||||||||||
Since Inception | (4.22)% | (4.30)% | (3.58)% | (23.82)% | (24.22)% | (20.54)% |
The inception date of the Fund was 11/9/10. The first day of secondary market trading was 11/10/10.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is 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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,153.80 | $ | 3.31 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Energy | 50.49 | % | ||
Financials | 22.18 | |||
Materials | 12.49 | |||
Telecommunication Services | 6.29 | |||
Consumer Staples | 4.71 | |||
Utilities | 3.84 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Lukoil PJSC | 10.41 | % | ||
Gazprom PJSC | 10.23 | |||
Sberbank of Russia PJSC ADR | 7.73 | |||
Sberbank of Russia PJSC | 7.23 | |||
Gazprom PJSC ADR | 4.81 | |||
Magnit PJSC GDR | 4.71 | |||
Novatek PJSC GDR | 4.64 | |||
MMC Norilsk Nickel PJSC | 4.60 | |||
Tatneft PJSC Class S | 4.46 | |||
Transneft PJSC (Preferred) | 4.08 | |||
|
| |||
TOTAL | 62.90 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SOUTH AFRICA ETF
Performance as of February 28, 2017
The iShares MSCI South Africa ETF (the “Fund”) seeks to track the investment results of an index composed of South African equities, as represented by the MSCI South Africa Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.00%, net of fees, while the total return for the Index was 6.21%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 27.12% | 27.79% | 27.79% | 27.12% | 27.79% | 27.79% | ||||||||||||||||||||||
5 Years | (1.99)% | (1.80)% | (1.38)% | (9.54)% | (8.68)% | (6.70)% | ||||||||||||||||||||||
10 Years | 2.82% | 2.66% | 3.60% | 32.01% | 30.00% | 42.39% |
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,060.00 | $ | 3.17 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Discretionary | 35.04 | % | ||
Financials | 24.71 | |||
Materials | 11.52 | |||
Consumer Staples | 8.72 | |||
Telecommunication Services | 7.19 | |||
Real Estate | 6.70 | |||
Health Care | 4.33 | |||
Industrials | 1.29 | |||
Energy | 0.50 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Naspers Ltd. Class N | 23.93 | % | ||
Steinhoff International Holdings NV Class H | 5.41 | |||
Sasol Ltd. | 5.38 | |||
MTN Group Ltd. | 5.29 | |||
Standard Bank Group Ltd. | 4.83 | |||
FirstRand Ltd. | 4.36 | |||
Remgro Ltd. | 3.08 | |||
Aspen Pharmacare Holdings Ltd. | 2.69 | |||
Sanlam Ltd. | 2.48 | |||
Bid Corp. Ltd. | 2.30 | |||
|
| |||
TOTAL | 59.75 | % | ||
|
|
* | Excludes money market funds. |
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI TURKEY ETF
Performance as of February 28, 2017
The iShares MSCI Turkey ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Turkish equities, as represented by the MSCI Turkey Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -7.03%, net of fees, while the total return for the Index was -7.01%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | (4.62)% | (4.12)% | (4.52)% | (4.62)% | (4.12)% | (4.52)% | ||||||||||||||||||||||
5 Years | (5.61)% | (5.55)% | (5.29)% | (25.08)% | (24.83)% | (23.79)% | ||||||||||||||||||||||
Since Inception | (1.89)% | (1.98)% | (1.54)% | (15.64)% | (16.35)% | (12.97)% |
The inception date of the Fund was 3/26/08. The first day of secondary market trading was 3/28/08.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 929.70 | $ | 2.97 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 40.24 | % | ||
Industrials | 12.39 | |||
Consumer Staples | 11.92 | |||
Materials | 9.32 | |||
Consumer Discretionary | 7.99 | |||
Telecommunication Services | 7.12 | |||
Energy | 5.64 | |||
Real Estate | 3.96 | |||
Utilities | 1.20 | |||
Health Care | 0.22 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Turkiye Garanti Bankasi AS | 10.52 | % | ||
Akbank TAS | 10.10 | |||
BIM Birlesik Magazalar AS | 5.89 | |||
Tupras Turkiye Petrol Rafinerileri AS | 5.63 | |||
Turkcell Iletisim Hizmetleri AS | 5.53 | |||
Turkiye Is Bankasi Class C | 5.27 | |||
KOC Holding AS | 4.97 | |||
Haci Omer Sabanci Holding AS | 4.89 | |||
Eregli Demir ve Celik Fabrikalari TAS | 4.40 | |||
Turkiye Halk Bankasi AS | 3.72 | |||
|
| |||
TOTAL | 60.92 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 11 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI USA EQUAL WEIGHTED ETF
Performance as of February 28, 2017
The iShares MSCI USA Equal Weighted ETF (the “Fund”) seeks to track the investment results of an index composed of equal weighted U.S. equities, as represented by the MSCI USA Equal Weighted Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 9.57%, net of fees, while the total return for the Index was 9.68%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 27.80% | 27.86% | 28.05% | 27.80% | 27.86% | 28.05% | ||||||||||||||||||||||
5 Years | 13.40% | 13.39% | 13.57% | 87.54% | 87.47% | 88.93% | ||||||||||||||||||||||
Since Inception | 12.90% | 12.90% | 13.08% | 128.79% | 128.78% | 131.24% |
The inception date of the Fund was 5/5/10. The first day of secondary market trading was 5/7/10.
Index performance through August 31, 2015 reflects the performance of the MSCI USA Index. Index performance beginning on September 1, 2015 reflects the performance of the MSCI USA Equal Weighted Index.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,095.70 | $ | 0.78 | $ | 1,000.00 | $ | 1,024.10 | $ | 0.75 | 0.15% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 13 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Discretionary | 16.05 | % | ||
Information Technology | 15.05 | |||
Financials | 13.25 | |||
Industrials | 12.32 | |||
Health Care | 11.38 | |||
Energy | 6.96 | |||
Consumer Staples | 6.90 | |||
Real Estate | 6.43 | |||
Utilities | 5.29 | |||
Materials | 5.12 | |||
Telecommunication Services | 1.25 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Plains GP Holdings LP Class A | 0.24 | % | ||
Regency Centers Corp. | 0.24 | |||
Albemarle Corp. | 0.18 | |||
Incyte Corp. | 0.18 | |||
HP Inc. | 0.17 | |||
Foot Locker Inc. | 0.17 | |||
Alkermes PLC | 0.17 | |||
Vertex Pharmaceuticals Inc. | 0.17 | |||
ANSYS Inc. | 0.17 | |||
OGE Energy Corp. | 0.17 | |||
|
| |||
TOTAL | 1.86 | % | ||
|
|
* | Excludes money market funds. |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 13 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI BRAZIL CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 58.61% |
| |||||||
AEROSPACE & DEFENSE — 1.14% |
| |||||||
Embraer SA | 10,906,332 | $ | 62,857,773 | |||||
|
| |||||||
62,857,773 | ||||||||
BANKS — 6.48% |
| |||||||
Banco Bradesco SA | 13,131,370 | 137,729,541 | ||||||
Banco do Brasil SA | 13,501,197 | 143,648,223 | ||||||
Banco Santander Brasil SA Units | 6,850,700 | 75,663,790 | ||||||
|
| |||||||
357,041,554 | ||||||||
BEVERAGES — 7.66% |
| |||||||
Ambev SA | 73,554,660 | 421,798,500 | ||||||
|
| |||||||
421,798,500 | ||||||||
CAPITAL MARKETS — 4.22% |
| |||||||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 28,827,400 | 176,244,663 | ||||||
CETIP SA – Mercados Organizados | 3,730,103 | 56,173,361 | ||||||
|
| |||||||
232,418,024 | ||||||||
CONTAINERS & PACKAGING — 0.83% |
| |||||||
Klabin SA Units | 9,181,620 | 45,745,776 | ||||||
|
| |||||||
45,745,776 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 1.76% |
| |||||||
Kroton Educacional SA | 22,090,464 | 97,067,388 | ||||||
|
| |||||||
97,067,388 | ||||||||
ELECTRIC UTILITIES — 2.83% |
| |||||||
Centrais Eletricas Brasileiras SAa | 3,789,400 | 26,176,215 | ||||||
CPFL Energia SA | 4,578,753 | 37,589,634 | ||||||
EDP – Energias do Brasil SA | 6,873,100 | 30,333,547 | ||||||
Equatorial Energia SA | 3,230,200 | 61,800,548 | ||||||
|
| |||||||
155,899,944 | ||||||||
FOOD & STAPLES RETAILING — 1.36% |
| |||||||
Raia Drogasil SA | 3,917,200 | 74,793,211 | ||||||
|
| |||||||
74,793,211 | ||||||||
FOOD PRODUCTS — 3.72% |
| |||||||
BRF SA | 9,674,050 | 126,313,054 | ||||||
JBS SA | 12,730,222 | 47,876,438 | ||||||
M. Dias Branco SA | 690,700 | 30,682,976 | ||||||
|
| |||||||
204,872,468 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.78% |
| |||||||
Odontoprev SA | 4,707,800 | 18,083,642 | ||||||
Qualicorp SA | 3,899,600 | 24,706,241 | ||||||
|
| |||||||
42,789,883 |
Security | Shares | Value | ||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.98% |
| |||||||
AES Tiete Energia SA | 3,551,800 | $ | 18,346,971 | |||||
Engie Brasil Energia SA | 3,001,400 | 35,677,201 | ||||||
|
| |||||||
54,024,172 | ||||||||
INSURANCE — 2.66% |
| |||||||
BB Seguridade Participacoes SA | 11,049,500 | 101,651,138 | ||||||
Porto Seguro SA | 2,284,500 | 21,222,131 | ||||||
Sul America SA | 3,779,950 | 23,595,831 | ||||||
|
| |||||||
146,469,100 | ||||||||
IT SERVICES — 2.59% |
| |||||||
Cielo SA | 16,300,655 | 142,938,563 | ||||||
|
| |||||||
142,938,563 | ||||||||
MACHINERY — 0.96% |
| |||||||
WEG SA | 9,745,960 | 53,193,957 | ||||||
|
| |||||||
53,193,957 | ||||||||
METALS & MINING — 2.28% |
| |||||||
Cia. Siderurgica Nacional SAa | 13,276,254 | 51,124,887 | ||||||
Vale SA | 7,064,600 | 74,302,061 | ||||||
|
| |||||||
125,426,948 | ||||||||
MULTILINE RETAIL — 1.97% |
| |||||||
Lojas Americanas SA | 4,443,860 | 19,141,023 | ||||||
Lojas Renner SA | 10,871,200 | 89,282,919 | ||||||
|
| |||||||
108,423,942 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 7.12% |
| |||||||
Cosan SA Industria e Comercio | 2,416,290 | 30,990,026 | ||||||
Petroleo Brasileiro SAa | 46,614,044 | 239,138,586 | ||||||
Ultrapar Participacoes SA | 5,809,400 | 122,126,249 | ||||||
|
| |||||||
392,254,861 | ||||||||
PAPER & FOREST PRODUCTS — 0.94% |
| |||||||
Duratex SA | 5,619,211 | 15,244,661 | ||||||
Fibria Celulose SA | 4,294,126 | 36,688,483 | ||||||
|
| |||||||
51,933,144 | ||||||||
PERSONAL PRODUCTS — 0.47% |
| |||||||
Natura Cosmeticos SA | 3,135,900 | 25,825,059 | ||||||
|
| |||||||
25,825,059 | ||||||||
PHARMACEUTICALS — 0.99% |
| |||||||
Hypermarcas SA | 6,269,600 | 54,594,492 | ||||||
|
| |||||||
54,594,492 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 1.47% |
| |||||||
BR Malls Participacoes SAa | 9,836,920 | 47,176,743 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 1,558,700 | 32,211,129 |
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRAZIL CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 74,926 | $ | 1,587,150 | |||||
|
| |||||||
80,975,022 | ||||||||
ROAD & RAIL — 1.30% |
| |||||||
Localiza Rent A Car SA | 2,768,940 | 34,293,558 | ||||||
Rumo Logistica Operadora Multimodal SAa | 13,480,200 | 37,177,793 | ||||||
|
| |||||||
71,471,351 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 2.11% |
| |||||||
CCR SA | 20,044,900 | 116,558,097 | ||||||
|
| |||||||
116,558,097 | ||||||||
WATER UTILITIES — 1.17% |
| |||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 6,094,100 | 64,408,232 | ||||||
|
| |||||||
64,408,232 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.82% |
| |||||||
TIM Participacoes SA | 14,344,390 | 45,002,008 | ||||||
|
| |||||||
45,002,008 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $2,231,368,572) |
| 3,228,783,469 | ||||||
PREFERRED STOCKS — 40.34% |
| |||||||
BANKS — 23.96% |
| |||||||
Banco Bradesco SA | 43,295,135 | 465,099,136 | ||||||
Itau Unibanco Holding SA | 51,087,978 | 657,361,543 | ||||||
Itausa-Investimentos Itau SA | 61,120,097 | 197,250,329 | ||||||
|
| |||||||
1,319,711,008 | ||||||||
CHEMICALS — 0.61% |
| |||||||
Braskem SA Class A | 3,240,736 | 33,678,237 | ||||||
|
| |||||||
33,678,237 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.91% |
| |||||||
Telefonica Brasil SA | 7,135,174 | 105,295,994 | ||||||
|
| |||||||
105,295,994 | ||||||||
ELECTRIC UTILITIES — 1.90% |
| |||||||
Centrais Eletricas Brasileiras SA Class B | 4,860,151 | 38,431,281 | ||||||
Cia. Energetica de Minas Gerais | 12,661,090 | 43,505,963 | ||||||
Cia. Paranaense de Energia Class B | 2,072,900 | 22,454,751 | ||||||
|
| |||||||
104,391,995 | ||||||||
FOOD & STAPLES RETAILING — 0.87% |
| |||||||
Cia. Brasileira de Distribuicao | 2,599,364 | 48,001,756 | ||||||
|
| |||||||
48,001,756 |
Security | Shares | Value | ||||||
METALS & MINING — 4.13% |
| |||||||
Gerdau SA | 14,901,346 | $ | 62,029,068 | |||||
Vale SA | 16,328,000 | 165,379,389 | ||||||
|
| |||||||
227,408,457 | ||||||||
MULTILINE RETAIL — 0.99% |
| |||||||
Lojas Americanas SA | 10,381,327 | 54,726,378 | ||||||
|
| |||||||
54,726,378 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.43% |
| |||||||
Petroleo Brasileiro SA | 61,296,078 | 299,091,760 | ||||||
|
| |||||||
299,091,760 | ||||||||
PAPER & FOREST PRODUCTS — 0.54% |
| |||||||
Suzano Papel e Celulose SA Class A | 6,909,000 | 29,870,154 | ||||||
|
| |||||||
29,870,154 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $1,353,809,865) |
| 2,222,175,739 | ||||||
RIGHTS — 0.02% |
| |||||||
BANKS — 0.02% |
| |||||||
Itausa – Investimentos Itau SAa | 949,437 | 1,202,437 | ||||||
|
| |||||||
1,202,437 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 1,202,437 | ||||||
SHORT-TERM INVESTMENTS — 0.14% |
| |||||||
MONEY MARKET FUNDS — 0.14% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 7,712,408 | 7,712,408 | ||||||
|
| |||||||
7,712,408 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,712,408) |
| 7,712,408 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $3,592,890,845)d | 5,459,874,053 | |||||||
Other Assets, Less Liabilities — 0.89% |
| 48,758,621 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 5,508,632,674 | |||||
|
|
a | Non-income earning security. |
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 $4,170,157,051. Net unrealized appreciation was $1,289,717,002, of which $1,868,895,413 represented gross unrealized appreciation on securities and $579,178,411 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRAZIL CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 3,228,783,469 | $ | — | $ | — | $ | 3,228,783,469 | ||||||||
Preferred stocks | 2,222,175,739 | — | — | 2,222,175,739 | ||||||||||||
Rights | — | 1,202,437 | — | 1,202,437 | ||||||||||||
Money market funds | 7,712,408 | — | — | 7,712,408 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 5,458,671,616 | $ | 1,202,437 | $ | — | $ | 5,459,874,053 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI CHILE CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 93.56% |
| |||||||
AIRLINES — 4.47% |
| |||||||
LATAM Airlines Group SAa | 1,728,199 | $ | 17,497,719 | |||||
|
| |||||||
17,497,719 | ||||||||
BANKS — 16.11% |
| |||||||
Banco de Chile | 133,035,642 | 16,113,184 | ||||||
Banco de Credito e Inversiones | 267,803 | 14,451,774 | ||||||
Banco Santander Chile | 418,944,939 | 23,059,415 | ||||||
Itau CorpBanca | 1,157,782,086 | 9,366,471 | ||||||
|
| |||||||
62,990,844 | ||||||||
BEVERAGES — 4.73% |
| |||||||
Cia. Cervecerias Unidas SA | 1,081,986 | 12,816,327 | ||||||
Vina Concha y Toro SA | 3,379,013 | 5,704,415 | ||||||
|
| |||||||
18,520,742 | ||||||||
CONSTRUCTION & ENGINEERING — 0.75% |
| |||||||
SalfaCorp SA | 3,638,995 | 2,947,816 | ||||||
|
| |||||||
2,947,816 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 1.06% |
| |||||||
Inversiones La Construccion SA | 312,792 | 4,156,727 | ||||||
|
| |||||||
4,156,727 | ||||||||
ELECTRIC UTILITIES — 14.24% |
| |||||||
Enel Americas SA | 186,196,329 | 36,302,681 | ||||||
Enel Chile SA | 119,044,282 | 12,201,448 | ||||||
Engie Energia Chile SA | 4,125,964 | 7,180,698 | ||||||
|
| |||||||
55,684,827 | ||||||||
FOOD & STAPLES RETAILING — 6.87% |
| |||||||
Cencosud SA | 9,105,534 | 26,872,741 | ||||||
|
| |||||||
26,872,741 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 8.62% |
| |||||||
AES Gener SA | 22,479,332 | 8,437,578 | ||||||
Colbun SA | 58,150,188 | 11,554,138 | ||||||
Enel Generacion Chile SA | 20,140,832 | 13,704,780 | ||||||
|
| |||||||
33,696,496 | ||||||||
IT SERVICES — 1.61% |
| |||||||
SONDA SA | 3,851,712 | 6,281,286 | ||||||
|
| |||||||
6,281,286 | ||||||||
MARINE — 0.45% |
| |||||||
Cia. Sud Americana de Vapores SAa | 52,121,615 | 1,750,517 | ||||||
|
| |||||||
1,750,517 |
Security | Shares | Value | ||||||
METALS & MINING — 2.10% |
| |||||||
CAP SA | 719,042 | $ | 8,219,473 | |||||
|
| |||||||
8,219,473 | ||||||||
MULTILINE RETAIL — 9.31% |
| |||||||
Ripley Corp. SA | 6,923,479 | 4,287,465 | ||||||
SACI Falabella | 3,927,488 | 32,117,396 | ||||||
|
| |||||||
36,404,861 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 7.86% |
| |||||||
Empresas COPEC SA | 2,931,439 | 30,749,676 | ||||||
|
| |||||||
30,749,676 | ||||||||
PAPER & FOREST PRODUCTS — 4.44% |
| |||||||
Empresas CMPC SA | 7,806,281 | 17,364,647 | ||||||
|
| |||||||
17,364,647 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.96% |
| |||||||
Parque Arauco SA | 4,601,891 | 11,583,882 | ||||||
|
| |||||||
11,583,882 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.85% |
| |||||||
Forus SA | 889,346 | 3,325,962 | ||||||
|
| |||||||
3,325,962 | ||||||||
WATER UTILITIES — 3.95% |
| |||||||
Aguas Andinas SA Series A | 19,474,233 | 10,495,925 | ||||||
Inversiones Aguas Metropolitanas SA | 3,389,055 | 4,963,474 | ||||||
|
| |||||||
15,459,399 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 3.18% |
| |||||||
Empresa Nacional de Telecomunicaciones SAa | 1,117,289 | 12,423,303 | ||||||
|
| |||||||
12,423,303 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $290,103,597) |
| 365,930,918 | ||||||
PREFERRED STOCKS — 6.39% |
| |||||||
BEVERAGES — 1.97% |
| |||||||
Embotelladora Andina SA Class B | 2,014,651 | 7,711,733 | ||||||
|
| |||||||
7,711,733 | ||||||||
CHEMICALS — 4.42% | ||||||||
Sociedad Quimica y Minera de Chile SA Series B | 550,133 | 17,284,112 | ||||||
|
| |||||||
17,284,112 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $15,714,467) |
| 24,995,845 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CHILE CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.10% |
| |||||||
MONEY MARKET FUNDS — 0.10% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 387,434 | $ | 387,434 | |||||
|
| |||||||
387,434 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $387,434) |
| 387,434 | ||||||
|
| |||||||
TOTAL INVESTMENTS IN SECURITIES — 100.05% | ||||||||
(Cost: $306,205,498)d | 391,314,197 | |||||||
Other Assets, Less Liabilities — (0.05)% |
| (208,799 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 391,105,398 | |||||
|
|
a | Non-income earning security. |
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 $350,414,852. Net unrealized appreciation was $40,899,345, of which $88,794,864 represented gross unrealized appreciation on securities and $47,895,519 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 365,930,918 | $ | — | $ | — | $ | 365,930,918 | ||||||||
Preferred stocks | 24,995,845 | — | — | 24,995,845 | ||||||||||||
Money market funds | 387,434 | — | — | 387,434 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 391,314,197 | $ | — | $ | — | $ | 391,314,197 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI COLOMBIA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 69.98% |
| |||||||
BANKS — 5.82% |
| |||||||
Banco de Bogota SA | 4,472 | $ | 88,756 | |||||
Bancolombia SA | 96,122 | 822,300 | ||||||
Grupo Aval Acciones y Valores SA | 219,518 | 84,507 | ||||||
|
| |||||||
995,563 | ||||||||
CAPITAL MARKETS — 2.46% |
| |||||||
Bolsa de Valores de Colombia | 51,918,750 | 421,057 | ||||||
|
| |||||||
421,057 | ||||||||
CONSTRUCTION & ENGINEERING — 2.18% |
| |||||||
Construcciones El Condor SA | 447,772 | 164,715 | ||||||
Constructora Conconcreto SA | 600,000 | 207,367 | ||||||
|
| |||||||
372,082 | ||||||||
CONSTRUCTION MATERIALS — 14.14% |
| |||||||
Cementos Argos SA | 212,914 | 852,428 | ||||||
Cemex Latam Holdings SAa | 167,180 | 615,552 | ||||||
Grupo Argos SA/Colombia | 140,556 | 950,395 | ||||||
|
| |||||||
2,418,375 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 9.97% |
| |||||||
Corp. Financiera Colombiana SA | 22,906 | 229,973 | ||||||
Grupo de Inversiones Suramericana SA | 117,780 | 1,474,291 | ||||||
|
| |||||||
1,704,264 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.44% |
| |||||||
Empresa de Telecomunicaciones de Bogotaa | 1,907,386 | 417,721 | ||||||
|
| |||||||
417,721 | ||||||||
ELECTRIC UTILITIES — 8.19% |
| |||||||
Celsia SA ESP | 112,554 | 170,621 | ||||||
Enel Americas SA | 1,977,534 | 385,560 | ||||||
Interconexion Electrica SA ESP | 220,090 | 843,502 | ||||||
|
| |||||||
1,399,683 | ||||||||
FOOD & STAPLES RETAILING — 4.58% |
| |||||||
Almacenes Exito SA | 147,342 | 783,511 | ||||||
|
| |||||||
783,511 | ||||||||
FOOD PRODUCTS — 4.54% |
| |||||||
Grupo Nutresa SA | 96,044 | 775,622 | ||||||
|
| |||||||
775,622 | ||||||||
GAS UTILITIES — 4.38% |
| |||||||
Empresa de Energia de Bogota SA ESP | 1,203,228 | 749,354 | ||||||
|
| |||||||
749,354 |
Security | Shares | Value | ||||||
METALS & MINING — 1.96% |
| |||||||
Mineros SA | 409,786 | $ | 335,838 | |||||
|
| |||||||
335,838 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 9.32% |
| |||||||
Canacol Energy Ltd.a,b | 155,688 | 459,617 | ||||||
Ecopetrol SAa | 1,664,234 | 751,720 | ||||||
Empresas COPEC SA | 36,400 | 381,822 | ||||||
|
| |||||||
1,593,159 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $10,843,609) |
| 11,966,229 | ||||||
PREFERRED STOCKS — 29.88% |
| |||||||
AIRLINES — 2.76% |
| |||||||
Avianca Holdings SA | 490,984 | 471,268 | ||||||
|
| |||||||
471,268 | ||||||||
BANKS — 19.70% |
| |||||||
Banco Davivienda SA | 74,958 | 761,802 | ||||||
Bancolombia SA | 232,284 | 2,169,950 | ||||||
Grupo Aval Acciones y Valores SA | 1,124,370 | 436,690 | ||||||
|
| |||||||
3,368,442 | ||||||||
CONSTRUCTION MATERIALS — 4.29% |
| |||||||
Cementos Argos SA | 80,184 | 295,784 | ||||||
Grupo Argos SA/Colombia | 68,406 | 438,663 | ||||||
|
| |||||||
734,447 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 3.13% |
| |||||||
Grupo de Inversiones Suramericana SA | 44,044 | 535,036 | ||||||
|
| |||||||
535,036 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $4,635,169) |
| 5,109,193 | ||||||
SHORT-TERM INVESTMENTS — 2.51% |
| |||||||
MONEY MARKET FUNDS — 2.51% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
0.98%c,d,e | 398,379 | 398,538 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%c,d | 30,700 | 30,700 | ||||||
|
| |||||||
429,238 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $429,091) |
| 429,238 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI COLOMBIA CAPPED ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $15,907,869)f | $ | 17,504,660 | ||||||
Other Assets, Less Liabilities — (2.37)% |
| (405,507 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 17,099,153 | |||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 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 $21,237,358. Net unrealized depreciation was $3,732,698, of which $1,714,211 represented gross unrealized appreciation on securities and $5,446,909 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 11,966,229 | $ | — | $ | — | $ | 11,966,229 | ||||||||
Preferred stocks | 5,109,193 | — | — | 5,109,193 | ||||||||||||
Money market funds | 429,238 | — | — | 429,238 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 17,504,660 | $ | — | $ | — | $ | 17,504,660 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI ISRAEL CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.75% |
| |||||||
AEROSPACE & DEFENSE — 2.52% |
| |||||||
Elbit Systems Ltd. | 23,587 | $ | 2,789,386 | |||||
|
| |||||||
2,789,386 | ||||||||
AIRLINES — 0.11% |
| |||||||
El Al Israel Airlines | 178,133 | 126,934 | ||||||
|
| |||||||
126,934 | ||||||||
BANKS — 15.12% |
| |||||||
Bank Hapoalim BM | 1,002,222 | 6,180,777 | ||||||
Bank Leumi le-Israel BMa | 1,165,558 | 5,110,102 | ||||||
First International Bank of Israel Ltd.b | 45,285 | 709,697 | ||||||
Israel Discount Bank Ltd. Class Aa | 1,083,928 | 2,399,928 | ||||||
Mizrahi Tefahot Bank Ltd. | 141,738 | 2,367,297 | ||||||
|
| |||||||
16,767,801 | ||||||||
BUILDING PRODUCTS — 0.72% |
| |||||||
Caesarstone Ltd.a | 23,969 | 800,565 | ||||||
|
| |||||||
800,565 | ||||||||
CHEMICALS — 4.71% |
| |||||||
Frutarom Industries Ltd. | 39,343 | 2,232,856 | ||||||
Israel Chemicals Ltd. | 520,947 | 2,218,135 | ||||||
Israel Corp. Ltd. (The)a | 4,268 | 771,342 | ||||||
|
| |||||||
5,222,333 | ||||||||
COMMUNICATIONS EQUIPMENT — 1.25% |
| |||||||
Ituran Location and Control Ltd. | 22,597 | 632,716 | ||||||
Radware Ltd.a,b | 48,838 | 754,547 | ||||||
|
| |||||||
1,387,263 | ||||||||
CONSTRUCTION & ENGINEERING — 1.39% |
| |||||||
Electra Ltd./Israel | 2,692 | 519,350 | ||||||
Shapir Engineering and Industry Ltd. | 155,064 | 400,407 | ||||||
Shikun & Binui Ltd. | 271,888 | 618,345 | ||||||
|
| |||||||
1,538,102 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.54% |
| |||||||
B Communications Ltd. | 17,811 | 352,277 | ||||||
Bezeq The Israeli Telecommunication Corp. Ltd. | 1,998,630 | 3,568,688 | ||||||
|
| |||||||
3,920,965 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
Orbotech Ltd.a | 47,343 | 1,427,391 | ||||||
|
| |||||||
1,427,391 |
Security | Shares | Value | ||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 0.60% |
| |||||||
REIT 1 Ltd. | 213,629 | $ | 669,590 | |||||
|
| |||||||
669,590 | ||||||||
FOOD & STAPLES RETAILING — 0.85% |
| |||||||
Rami Levy Chain Stores Hashikma Marketing 2006 Ltd. | 9,918 | 441,641 | ||||||
Shufersal Ltd. | 112,301 | 505,930 | ||||||
|
| |||||||
947,571 | ||||||||
FOOD PRODUCTS — 0.81% |
| |||||||
Strauss Group Ltd. | 51,282 | 893,276 | ||||||
|
| |||||||
893,276 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.13% |
| |||||||
Mazor Robotics Ltd.a | 12,248 | 142,388 | ||||||
|
| |||||||
142,388 | ||||||||
HOUSEHOLD DURABLES — 0.31% |
| |||||||
SodaStream International Ltd.a | 7,159 | 348,930 | ||||||
|
| |||||||
348,930 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.31% |
| |||||||
Kenon Holdings Ltd./Singaporea | 29,658 | 338,432 | ||||||
|
| |||||||
338,432 | ||||||||
INSURANCE — 2.80% |
| |||||||
Clal Insurance Enterprises Holdings Ltd.a | 30,395 | 475,509 | ||||||
Harel Insurance Investments & Financial Services Ltd. | 134,906 | 735,622 | ||||||
IDI Insurance Co. Ltd. | 9,203 | 471,488 | ||||||
Menora Mivtachim Holdings Ltd.a | 41,510 | 453,266 | ||||||
Migdal Insurance & Financial Holding Ltd.a,b | 537,261 | 533,379 | ||||||
Phoenix Holdings Ltd. (The)a | 105,651 | 434,177 | ||||||
|
| |||||||
3,103,441 | ||||||||
INTERNET SOFTWARE & SERVICES — 1.54% |
| |||||||
Wix.com Ltd.a,b | 27,350 | 1,703,905 | ||||||
|
| |||||||
1,703,905 | ||||||||
IT SERVICES — 0.52% |
| |||||||
Formula Systems 1985 Ltd. | 3,275 | 133,149 | ||||||
Matrix IT Ltd. | 53,185 | 447,798 | ||||||
|
| |||||||
580,947 | ||||||||
MACHINERY — 0.47% |
| |||||||
Kornit Digital Ltd.a | 32,414 | 525,107 | ||||||
|
| |||||||
525,107 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ISRAEL CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
OIL, GAS & CONSUMABLE FUELS — 3.65% |
| |||||||
Delek Group Ltd.b | 4,780 | $ | 1,140,671 | |||||
Jerusalem Oil Explorationa | 11,689 | 623,598 | ||||||
Naphtha Israel Petroleum Corp. Ltd.a | 58,563 | 415,856 | ||||||
Oil Refineries Ltd.b | 1,519,000 | 610,054 | ||||||
Paz Oil Co. Ltd. | 7,766 | 1,256,111 | ||||||
|
| |||||||
4,046,290 | ||||||||
PHARMACEUTICALS — 23.57% |
| |||||||
Neuroderm Ltd.a,b | 22,583 | 522,796 | ||||||
Taro Pharmaceutical Industries Ltd.a,b | 10,808 | 1,295,987 | ||||||
Teva Pharmaceutical Industries Ltd. ADR | 694,285 | 24,313,861 | ||||||
|
| |||||||
26,132,644 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 7.85% |
| |||||||
Africa Israel Properties Ltd.a | 21,406 | 426,312 | ||||||
Airport City Ltd.a | 71,501 | 871,096 | ||||||
Alony Hetz Properties & Investments Ltd. | 115,826 | 1,046,803 | ||||||
Amot Investments Ltd. | 152,179 | 705,233 | ||||||
Azrieli Group Ltd. | 43,642 | 2,171,131 | ||||||
Bayside Land Corp. | 1,153 | 455,778 | ||||||
Big Shopping Centers Ltd. | 1,985 | 143,192 | ||||||
Blue Square Real Estate Ltd. | 3,283 | 147,001 | ||||||
Gazit-Globe Ltd. | 110,180 | 1,147,109 | ||||||
Jerusalem Economy Ltd.a | 59,632 | 140,713 | ||||||
Melisron Ltd. | 20,653 | 1,028,576 | ||||||
Norstar Holdings Inc. | 20,443 | 425,168 | ||||||
|
| |||||||
8,708,112 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 1.76% |
| |||||||
Tower Semiconductor Ltd.a | 84,612 | 1,952,183 | ||||||
|
| |||||||
1,952,183 | ||||||||
SOFTWARE — 21.66% |
| |||||||
Check Point Software Technologies Ltd.a,b | 116,423 | 11,515,399 | ||||||
CyberArk Software Ltd.a | 20,350 | 1,029,303 | ||||||
Mobileye NVa,b | 150,859 | 6,867,102 | ||||||
Nice Ltd. | 58,628 | 4,073,022 | ||||||
Sapiens International Corp. NV | 37,532 | 533,034 | ||||||
|
| |||||||
24,017,860 |
Security | Shares | Value | ||||||
SPECIALTY RETAIL — 0.48% |
| |||||||
Delek Automotive Systems Ltd. | 54,828 | $ | 532,722 | |||||
|
| |||||||
532,722 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.38% |
| |||||||
Delta-Galil Industries Ltd.b | 14,733 | 421,313 | ||||||
|
| |||||||
421,313 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.41% |
| |||||||
Cellcom Israel Ltd.a | 69,356 | 764,949 | ||||||
Partner Communications Co. Ltd.a | 126,953 | 800,714 | ||||||
|
| |||||||
1,565,663 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $114,133,740) |
| 110,611,114 | ||||||
SHORT-TERM INVESTMENTS — 19.54% |
| |||||||
MONEY MARKET FUNDS — 19.54% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 21,641,744 | 21,650,401 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%c,d | 14,703 | 14,703 | ||||||
|
| |||||||
21,665,104 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $21,661,296) |
| 21,665,104 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $135,795,036)f | 132,276,218 | |||||||
Other Assets, Less Liabilities — (19.29)% |
| (21,388,867 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 110,887,351 | |||||
|
|
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 | 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 $137,633,821. Net unrealized depreciation was $5,357,603, of which $11,537,588 represented gross unrealized appreciation on securities and $16,895,191 represented gross unrealized depreciation on securities. |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ISRAEL CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 110,611,114 | $ | — | $ | — | $ | 110,611,114 | ||||||||
Money market funds | 21,665,104 | — | — | 21,665,104 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 132,276,218 | $ | — | $ | — | $ | 132,276,218 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI RUSSIA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 93.48% |
| |||||||
BANKS — 19.42% |
| |||||||
Sberbank of Russia PJSC | 11,591,520 | $ | 31,019,819 | |||||
Sberbank of Russia PJSC ADR | 3,038,965 | 33,155,108 | ||||||
VTB Bank PJSC | 7,767,195,000 | 8,841,666 | ||||||
VTB Bank PJSC GDRa | 4,644,755 | 10,399,607 | ||||||
|
| |||||||
83,416,200 | ||||||||
CAPITAL MARKETS — 2.74% |
| |||||||
Moscow Exchange MICEX-RTS PJSC | 5,528,800 | 11,743,304 | ||||||
|
| |||||||
11,743,304 | ||||||||
CHEMICALS — 1.70% |
| |||||||
PhosAgro PJSC GDRa | 528,246 | 7,289,795 | ||||||
|
| |||||||
7,289,795 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.68% |
| |||||||
Rostelecom PJSC | 5,372,150 | 7,225,840 | ||||||
|
| |||||||
7,225,840 | ||||||||
ELECTRIC UTILITIES — 3.84% |
| |||||||
Inter RAO UES PJSC | 111,411,899 | 7,568,068 | ||||||
RusHydro PJSC | 540,961,000 | 8,904,582 | ||||||
|
| |||||||
16,472,650 | ||||||||
FOOD & STAPLES RETAILING — 4.70% |
| |||||||
Magnit PJSC GDRa | 554,053 | 20,200,772 | ||||||
|
| |||||||
20,200,772 | ||||||||
METALS & MINING — 10.78% |
| |||||||
Alrosa PJSC | 9,319,700 | 14,752,354 | ||||||
MMC Norilsk Nickel PJSC | 124,160 | 19,708,796 | ||||||
Severstal PJSC | 828,015 | 11,838,654 | ||||||
|
| |||||||
46,299,804 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 44.02% |
| |||||||
Gazprom PJSC | 19,420,287 | 43,877,910 | ||||||
Gazprom PJSC ADR | 4,626,559 | 20,636,766 | ||||||
Lukoil PJSC | 845,551 | 44,674,987 | ||||||
Lukoil PJSC ADR | 239,564 | 12,696,892 | ||||||
Novatek PJSC GDRa | 153,827 | 19,920,596 | ||||||
Rosneft Oil Co. PJSC | 1,363,360 | 7,766,798 | ||||||
Rosneft Oil Co. PJSC GDRa | 1,919,066 | 10,881,104 | ||||||
Surgutneftegas OJSC | 12,449,000 | 6,201,466 | ||||||
Surgutneftegas OJSC ADR | 650,464 | 3,278,339 | ||||||
Tatneft PJSC Class S | 3,280,865 | 19,133,993 | ||||||
|
| |||||||
189,068,851 |
Security | Shares | Value | ||||||
WIRELESS TELECOMMUNICATION SERVICES — 4.60% |
| |||||||
Mobile TeleSystems PJSC ADR | 1,433,899 | $ | 14,726,143 | |||||
Sistema PJSC FC GDRa | 565,172 | 5,035,682 | ||||||
|
| |||||||
19,761,825 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| 401,479,041 | ||||||
PREFERRED STOCKS — 6.40% |
| |||||||
OIL, GAS & CONSUMABLE FUELS — 6.40% |
| |||||||
Surgutneftegas OJSC | 18,308,400 | 9,988,180 | ||||||
Transneft PJSC | 5,637 | 17,513,057 | ||||||
|
| |||||||
27,501,237 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| 27,501,237 | ||||||
SHORT-TERM INVESTMENTS — 0.19% |
| |||||||
MONEY MARKET FUNDS — 0.19% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 807,380 | 807,380 | ||||||
|
| |||||||
807,380 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 807,380 | ||||||
|
| |||||||
TOTAL INVESTMENTS IN SECURITIES — 100.07% |
| |||||||
(Cost: $433,141,041)d |
| 429,787,658 | ||||||
Other Assets, Less Liabilities — (0.07)% |
| (313,559 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 429,474,099 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
a | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $460,129,857. Net unrealized depreciation was $30,342,199, of which $36,955,254 represented gross unrealized appreciation on securities and $67,297,453 represented gross unrealized depreciation on securities. |
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI RUSSIA CAPPED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 401,479,041 | $ | — | $ | — | $ | 401,479,041 | ||||||||
Preferred stocks | 27,501,237 | — | — | 27,501,237 | ||||||||||||
Money market funds | 807,380 | — | — | 807,380 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 429,787,658 | $ | — | $ | — | $ | 429,787,658 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SOUTH AFRICA ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.93% |
| |||||||
BANKS — 8.53% |
| |||||||
Barclays Africa Group Ltd. | 583,128 | $ | 6,774,182 | |||||
Capitec Bank Holdings Ltd.a | 55,678 | 3,086,127 | ||||||
Nedbank Group Ltd. | 272,756 | 5,108,962 | ||||||
Standard Bank Group Ltd. | 1,780,272 | 19,491,801 | ||||||
|
| |||||||
34,461,072 | ||||||||
CAPITAL MARKETS — 1.65% |
| |||||||
Brait SEb | 465,974 | 2,622,707 | ||||||
Coronation Fund Managers Ltd. | 312,091 | 1,606,267 | ||||||
Investec Ltd. | 348,687 | 2,457,870 | ||||||
|
| |||||||
6,686,844 | ||||||||
CHEMICALS — 5.37% |
| |||||||
Sasol Ltd. | 761,538 | 21,716,642 | ||||||
|
| |||||||
21,716,642 | ||||||||
DISTRIBUTORS — 0.65% |
| |||||||
Imperial Holdings Ltd. | 206,804 | 2,641,969 | ||||||
|
| |||||||
2,641,969 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 9.20% |
| |||||||
FirstRand Ltd. | 4,629,165 | 17,596,490 | ||||||
PSG Group Ltd. | 126,937 | 2,440,044 | ||||||
Remgro Ltd. | 727,978 | 12,427,942 | ||||||
RMB Holdings Ltd. | 970,667 | 4,705,657 | ||||||
|
| |||||||
37,170,133 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.47% |
| |||||||
Telkom SA SOC Ltd. | 362,064 | 1,886,996 | ||||||
|
| |||||||
1,886,996 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 5.77% |
| |||||||
Fortress Income Fund Ltd. | 1,078,817 | 2,875,196 | ||||||
Fortress Income Fund Ltd. Class A | 1,342,390 | 1,785,748 | ||||||
Growthpoint Properties Ltd. | 2,914,034 | 5,899,359 | ||||||
Hyprop Investments Ltd. | 341,887 | 3,279,031 | ||||||
Redefine Properties Ltd. | 6,899,631 | 5,733,868 | ||||||
Resilient REIT Ltd. | 408,049 | 3,743,569 | ||||||
|
| |||||||
23,316,771 | ||||||||
FOOD & STAPLES RETAILING — 6.40% |
| |||||||
Bid Corp. Ltd. | 461,431 | 9,276,950 | ||||||
Massmart Holdings Ltd. | 148,991 | 1,706,676 | ||||||
Pick n Pay Stores Ltd. | 504,034 | 2,676,236 | ||||||
Shoprite Holdings Ltd. | 592,730 | 8,576,005 | ||||||
SPAR Group Ltd. (The) | 265,279 | 3,620,207 | ||||||
|
| |||||||
25,856,074 |
Security | Shares | Value | ||||||
FOOD PRODUCTS — 2.32% |
| |||||||
Pioneer Foods Group Ltd. | 175,792 | $ | 2,200,625 | |||||
Tiger Brands Ltd. | 224,651 | 7,179,214 | ||||||
|
| |||||||
9,379,839 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 1.64% |
| |||||||
Life Healthcare Group Holdings Ltd. | 1,344,191 | 3,443,719 | ||||||
Netcare Ltd. | 1,307,783 | 3,179,472 | ||||||
|
| |||||||
6,623,191 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.26% |
| |||||||
Tsogo Sun Holdings Ltd. | 506,397 | 1,071,254 | ||||||
|
| |||||||
1,071,254 | ||||||||
HOUSEHOLD DURABLES — 5.41% |
| |||||||
Steinhoff International Holdings NV Class H | 4,095,154 | 21,862,737 | ||||||
|
| |||||||
21,862,737 | ||||||||
INDUSTRIAL CONGLOMERATES — 1.29% |
| |||||||
Bidvest Group Ltd. (The) | 438,434 | 5,196,180 | ||||||
|
| |||||||
5,196,180 | ||||||||
INSURANCE — 5.31% |
| |||||||
Discovery Ltd. | 489,405 | 4,602,203 | ||||||
Liberty Holdings Ltd. | 158,197 | 1,344,553 | ||||||
MMI Holdings Ltd./South Africa | 1,407,738 | 2,647,581 | ||||||
Rand Merchant Investment Holdings Ltd. | 920,114 | 2,827,873 | ||||||
Sanlam Ltd. | 1,937,076 | 10,036,364 | ||||||
|
| |||||||
21,458,574 | ||||||||
MEDIA — 23.92% |
| |||||||
Naspers Ltd. Class N | 602,662 | 96,650,306 | ||||||
|
| |||||||
96,650,306 | ||||||||
METALS & MINING — 4.06% |
| |||||||
Anglo American Platinum Ltd.b | 74,089 | 1,719,114 | ||||||
AngloGold Ashanti Ltd.b | 561,616 | 6,252,057 | ||||||
Gold Fields Ltd. | 1,131,532 | 3,481,969 | ||||||
Impala Platinum Holdings Ltd.b | 859,486 | 2,893,866 | ||||||
Sibanye Gold Ltd. | 1,016,581 | 2,044,820 | ||||||
|
| |||||||
16,391,826 | ||||||||
MULTILINE RETAIL — 1.81% |
| |||||||
Woolworths Holdings Ltd./South Africa | 1,368,384 | 7,323,156 | ||||||
|
| |||||||
7,323,156 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.50% |
| |||||||
Exxaro Resources Ltd. | 245,029 | 2,021,677 | ||||||
|
| |||||||
2,021,677 |
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH AFRICA ETF
February 28, 2017
Security | Shares | Value | ||||||
PAPER & FOREST PRODUCTS — 2.08% |
| |||||||
Mondi Ltd. | 162,915 | $ | 3,743,184 | |||||
Sappi Ltd. | 744,494 | 4,656,502 | ||||||
|
| |||||||
8,399,686 | ||||||||
PHARMACEUTICALS — 2.69% |
| |||||||
Aspen Pharmacare Holdings Ltd. | 502,323 | 10,882,513 | ||||||
|
| |||||||
10,882,513 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.92% |
| |||||||
New Europe Property Investments PLC | 330,791 | 3,735,308 | ||||||
|
| |||||||
3,735,308 | ||||||||
SPECIALTY RETAIL — 2.96% |
| |||||||
Foschini Group Ltd. (The) | 287,159 | 3,564,679 | ||||||
Mr. Price Group Ltd. | 333,589 | 4,335,637 | ||||||
Truworths International Ltd. | 608,282 | 4,054,283 | ||||||
|
| |||||||
11,954,599 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 6.72% |
| |||||||
MTN Group Ltd. | 2,331,014 | 21,348,025 | ||||||
Vodacom Group Ltd. | 511,745 | 5,799,385 | ||||||
|
| |||||||
27,147,410 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | 403,834,757 | |||||||
SHORT-TERM INVESTMENTS — 0.78% |
| |||||||
MONEY MARKET FUNDS — 0.78% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 3,068,022 | 3,069,249 |
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%c,d | 61,845 | $ | 61,845 | |||||
|
| |||||||
3,131,094 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 3,131,094 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| 406,965,851 | ||||||
Other Assets, Less Liabilities — (0.71)% |
| (2,861,306 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 404,104,545 | |||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $527,124,814. Net unrealized depreciation was $120,158,963, of which $18,542,942 represented gross unrealized appreciation on securities and $138,701,905 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 403,834,757 | $ | — | $ | — | $ | 403,834,757 | ||||||||
Money market funds | 3,131,094 | — | — | 3,131,094 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 406,965,851 | $ | — | $ | — | $ | 406,965,851 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.92% |
| |||||||
AIRLINES — 1.88% |
| |||||||
Pegasus Hava Tasimaciligi ASa,b | 287,329 | $ | 1,200,768 | |||||
Turk Hava Yollari AOa,b | 4,417,648 | 6,649,123 | ||||||
|
| |||||||
7,849,891 | ||||||||
AUTO COMPONENTS — 0.31% | ||||||||
EGE Endustri VE Ticaret ASb | 8,832 | 642,996 | ||||||
Goodyear Lastikleri TASb | 650,248 | 657,848 | ||||||
|
| |||||||
1,300,844 | ||||||||
AUTOMOBILES — 3.15% | ||||||||
Ford Otomotiv Sanayi AS | 562,028 | 5,673,576 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 1,000,814 | 7,498,656 | ||||||
|
| |||||||
13,172,232 | ||||||||
BANKS — 34.43% | ||||||||
Akbank TAS | 17,615,387 | 42,198,069 | ||||||
Albaraka Turk Katilim Bankasi AS | 2,167,678 | 734,988 | ||||||
Sekerbank TASa,b | 1,852,729 | 607,770 | ||||||
Turkiye Garanti Bankasi AS | 18,495,329 | 43,949,095 | ||||||
Turkiye Halk Bankasi AS | 5,003,945 | 15,545,942 | ||||||
Turkiye Is Bankasi Class C | 12,609,237 | 22,002,556 | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 6,583,379 | 2,685,908 | ||||||
Turkiye Vakiflar Bankasi Tao Class D | 6,005,149 | 8,773,649 | ||||||
Yapi ve Kredi Bankasi ASa,b | 6,960,280 | 7,386,999 | ||||||
|
| |||||||
143,884,976 | ||||||||
BEVERAGES — 3.58% | ||||||||
Anadolu Efes Biracilik ve Malt Sanayii AS | 1,659,888 | 9,059,924 | ||||||
Coca-Cola Icecek AS | 611,147 | 5,906,609 | ||||||
|
| |||||||
14,966,533 | ||||||||
BUILDING PRODUCTS — 0.53% | ||||||||
Trakya Cam Sanayii AS | 2,613,138 | 2,225,879 | ||||||
|
| |||||||
2,225,879 | ||||||||
CAPITAL MARKETS — 0.19% | ||||||||
Verusa Holding ASb | 196,620 | 785,916 | ||||||
|
| |||||||
785,916 | ||||||||
CHEMICALS — 2.42% | ||||||||
Gubre Fabrikalari TASb | 664,236 | 904,545 | ||||||
Petkim Petrokimya Holding AS | 5,403,925 | 6,435,372 | ||||||
Soda Sanayii AS | 1,799,874 | 2,758,656 | ||||||
|
| |||||||
10,098,573 | ||||||||
CONSTRUCTION & ENGINEERING — 0.69% |
| |||||||
Tekfen Holding ASb | 1,331,363 | 2,895,703 | ||||||
|
| |||||||
2,895,703 |
Security | Shares | Value | ||||||
CONSTRUCTION MATERIALS — 1.19% |
| |||||||
Adana Cimento Sanayii TAS Class A | 423,889 | $ | 792,251 | |||||
Akcansa Cimento AS | 384,245 | 1,534,819 | ||||||
Cimsa Cimento Sanayi VE Ticaret AS | 431,467 | 2,041,011 | ||||||
Konya Cimento Sanayii ASb | 7,729 | 620,860 | ||||||
|
| |||||||
4,988,941 | ||||||||
CONTAINERS & PACKAGING — 0.18% |
| |||||||
Anadolu Cam Sanayii ASa | 886,254 | 750,028 | ||||||
|
| |||||||
750,028 | ||||||||
DISTRIBUTORS — 0.27% | ||||||||
Dogus Otomotiv Servis ve Ticaret ASb | 441,558 | 1,119,841 | ||||||
|
| |||||||
1,119,841 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 4.88% |
| |||||||
Haci Omer Sabanci Holding AS | 7,351,783 | 20,408,109 | ||||||
|
| |||||||
20,408,109 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.60% |
| |||||||
Turk Telekomunikasyon AS | 4,202,871 | 6,673,431 | ||||||
|
| |||||||
6,673,431 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 3.95% |
| |||||||
Dogus Gayrimenkul Yatirim Ortakligi ASa,b | 543,160 | 645,336 | ||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi AS | 15,212,078 | 13,125,428 | ||||||
Is Gayrimenkul Yatirim Ortakligi ASb | 3,412,088 | 1,457,916 | ||||||
Torunlar Gayrimenkul Yatirim Ortakligi AS | 1,003,539 | 1,286,376 | ||||||
|
| |||||||
16,515,056 | ||||||||
FOOD & STAPLES RETAILING — 6.38% |
| |||||||
BIM Birlesik Magazalar AS | 1,701,731 | 24,581,184 | ||||||
Bizim Toptan Satis Magazalari ASb | 159,232 | 513,567 | ||||||
Migros Ticaret ASa,b | 285,839 | 1,552,274 | ||||||
|
| |||||||
26,647,025 | ||||||||
FOOD PRODUCTS — 1.65% | ||||||||
Pinar SUT Mamulleri Sanayii AS | 143,539 | 638,241 | ||||||
Ulker Biskuvi Sanayi AS | 1,232,102 | 6,273,273 | ||||||
|
| |||||||
6,911,514 | ||||||||
GAS UTILITIES — 0.53% | ||||||||
Aygaz AS | 602,109 | 2,207,534 | ||||||
|
| |||||||
2,207,534 |
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TURKEY ETF
February 28, 2017
Security | Shares | Value | ||||||
HEALTH CARE PROVIDERS & SERVICES — 0.22% |
| |||||||
Selcuk Ecza Deposu Ticaret ve Sanayi AS | 997,129 | $ | 920,824 | |||||
|
| |||||||
920,824 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.40% |
| |||||||
NET Holding ASa,b | 2,202,353 | 1,681,695 | ||||||
|
| |||||||
1,681,695 | ||||||||
HOUSEHOLD DURABLES — 2.88% |
| |||||||
Arcelik AS | 1,893,571 | 10,899,152 | ||||||
Vestel Elektronik Sanayi ve Ticaret ASa,b | 673,309 | 1,135,917 | ||||||
|
| |||||||
12,035,069 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.67% |
| |||||||
Aksa Enerji Uretim ASa,b | 1,208,375 | 966,007 | ||||||
Zorlu Enerji Elektrik Uretim ASa,b | 5,576,363 | 1,844,645 | ||||||
|
| |||||||
2,810,652 | ||||||||
INDUSTRIAL CONGLOMERATES — 7.36% |
| |||||||
Alarko Holding ASb | 629,066 | 799,425 | ||||||
Dogan Sirketler Grubu Holding ASa,b | 8,327,431 | 1,629,859 | ||||||
Enka Insaat ve Sanayi AS | 1 | 2 | ||||||
KOC Holding AS | 5,076,674 | 20,753,964 | ||||||
Turkiye Sise ve Cam Fabrikalari AS | 5,745,236 | 6,208,326 | ||||||
Yazicilar Holding ASb | 321,119 | 1,364,110 | ||||||
|
| |||||||
30,755,686 | ||||||||
INSURANCE — 0.71% |
| |||||||
Anadolu Anonim Turk Sigorta Sirketia | 1,404,585 | 937,009 | ||||||
Anadolu Hayat Emeklilik AS | 690,413 | 1,001,095 | ||||||
AvivaSA Emeklilik ve Hayat ASb | 189,424 | 1,028,684 | ||||||
|
| |||||||
2,966,788 | ||||||||
MACHINERY — 0.61% |
| |||||||
Otokar Otomotiv Ve Savunma Sanayi ASb | 66,931 | 2,546,168 | ||||||
|
| |||||||
2,546,168 | ||||||||
MEDIA — 0.56% |
| |||||||
Besiktas Futbol Yatirimlari Sanayi ve Ticaret ASa,b | 963,184 | 1,502,818 | ||||||
Fenerbahce Futbol ASa,b | 79,607 | 829,514 | ||||||
|
| |||||||
2,332,332 |
Security | Shares | Value | ||||||
METALS & MINING — 5.53% |
| |||||||
Borusan Mannesmann Boru Sanayi ve Ticaret ASb | 341,375 | $ | 939,167 | |||||
Eregli Demir ve Celik Fabrikalari TAS | 11,209,914 | 18,355,632 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Da | 5,637,615 | 1,895,989 | ||||||
Koza Altin Isletmeleri ASa,b | 367,271 | 1,906,416 | ||||||
|
| |||||||
23,097,204 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.63% |
| |||||||
Tupras Turkiye Petrol Rafinerileri AS | 1,002,492 | 23,531,314 | ||||||
|
| |||||||
23,531,314 | ||||||||
PERSONAL PRODUCTS — 0.30% |
| |||||||
EIS Eczacibasi Ilac ve Sinai ve Finansal Yatirimlar Sanayi ve Ticaret ASb | 1,375,284 | 1,266,250 | ||||||
|
| |||||||
1,266,250 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.41% |
| |||||||
Aksa Akrilik Kimya Sanayii AS | 594,070 | 1,716,246 | ||||||
|
| |||||||
1,716,246 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 1.31% |
| |||||||
TAV Havalimanlari Holding AS | 1,308,721 | 5,472,846 | ||||||
|
| |||||||
5,472,846 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 5.52% |
| |||||||
Turkcell Iletisim Hizmetleri ASa | 7,046,018 | 23,074,951 | ||||||
|
| |||||||
23,074,951 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $633,491,678) | 417,610,051 | |||||||
SHORT-TERM INVESTMENTS — 7.40% |
| |||||||
MONEY MARKET FUNDS — 7.40% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 30,659,613 | 30,671,877 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 271,337 | 271,337 | ||||||
|
| |||||||
30,943,214 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $30,931,643) |
| 30,943,214 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TURKEY ETF
February 28, 2017
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $664,423,321)f | $ | 448,553,265 | ||||
Other Assets, Less Liabilities — (7.32)% | (30,589,518 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 417,963,747 | ||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 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 $676,365,912. Net unrealized depreciation was $227,812,647, of which $1,022,458 represented gross unrealized appreciation on securities and $228,835,105 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 417,610,051 | $ | — | $ | — | $ | 417,610,051 | ||||||||
Money market funds | 30,943,214 | — | — | 30,943,214 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 448,553,265 | $ | — | $ | — | $ | 448,553,265 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.83% |
| |||||||
AEROSPACE & DEFENSE — 2.09% |
| |||||||
Arconic Inc. | 6,844 | $ | 197,039 | |||||
B/E Aerospace Inc. | 3,336 | 212,170 | ||||||
Boeing Co. (The) | 1,192 | 214,834 | ||||||
General Dynamics Corp. | 1,101 | 208,981 | ||||||
Huntington Ingalls Industries Inc. | 971 | 212,164 | ||||||
L3 Technologies Inc. | 1,237 | 208,212 | ||||||
Lockheed Martin Corp. | 785 | 209,265 | ||||||
Northrop Grumman Corp. | 861 | 212,744 | ||||||
Raytheon Co. | 1,357 | 209,182 | ||||||
Rockwell Collins Inc. | 2,233 | 213,452 | ||||||
Textron Inc. | 4,318 | 204,241 | ||||||
TransDigm Group Inc. | 819 | 208,190 | ||||||
United Technologies Corp. | 1,856 | 208,893 | ||||||
|
| |||||||
2,719,367 | ||||||||
AIR FREIGHT & LOGISTICS — 0.64% |
| |||||||
CH Robinson Worldwide Inc. | 2,627 | 211,132 | ||||||
Expeditors International of Washington Inc. | 3,701 | 208,662 | ||||||
FedEx Corp. | 1,078 | 208,033 | ||||||
United Parcel Service Inc. Class B | 1,979 | 209,299 | ||||||
|
| |||||||
837,126 | ||||||||
AIRLINES — 0.64% | ||||||||
American Airlines Group Inc. | 4,513 | 209,223 | ||||||
Delta Air Lines Inc. | 4,105 | 204,963 | ||||||
Southwest Airlines Co. | 3,609 | 208,600 | ||||||
United Continental Holdings Inc.a | 2,772 | 205,377 | ||||||
|
| |||||||
828,163 | ||||||||
AUTO COMPONENTS — 0.80% | ||||||||
Autoliv Inc. | 1,980 | 207,306 | ||||||
BorgWarner Inc. | 4,888 | 206,225 | ||||||
Delphi Automotive PLC | 2,746 | 209,053 | ||||||
Goodyear Tire & Rubber Co. (The) | 5,815 | 203,816 | ||||||
Lear Corp. | 1,462 | 207,589 | ||||||
|
| |||||||
1,033,989 | ||||||||
AUTOMOBILES — 0.62% | ||||||||
Ford Motor Co. | 16,527 | 207,083 | ||||||
General Motors Co. | 5,525 | 203,541 | ||||||
Harley-Davidson Inc. | 3,633 | 204,829 | ||||||
Tesla Inc.a,b | 765 | 191,242 | ||||||
|
| |||||||
806,695 | ||||||||
BANKS — 3.03% | ||||||||
Bank of America Corp. | 8,433 | 208,126 | ||||||
BB&T Corp. | 4,342 | 209,371 |
Security | Shares | Value | ||||||
CIT Group Inc. | 4,825 | $ | 206,992 | |||||
Citigroup Inc. | 3,450 | 206,344 | ||||||
Citizens Financial Group Inc. | 5,550 | 207,403 | ||||||
Comerica Inc. | 2,903 | 206,926 | ||||||
Fifth Third Bancorp. | 7,602 | 208,599 | ||||||
First Republic Bank/CA | 2,184 | 204,925 | ||||||
Huntington Bancshares Inc./OH | 14,733 | 208,325 | ||||||
JPMorgan Chase & Co. | 2,296 | 208,064 | ||||||
KeyCorp | 11,044 | 207,296 | ||||||
M&T Bank Corp. | 1,245 | 207,878 | ||||||
People’s United Financial Inc. | 10,860 | 208,512 | ||||||
PNC Financial Services Group Inc. (The)c | 1,637 | 208,275 | ||||||
Regions Financial Corp. | 13,646 | 208,374 | ||||||
Signature Bank/New York NYa | 1,309 | 206,181 | ||||||
SunTrust Banks Inc. | 3,497 | 208,037 | ||||||
U.S. Bancorp. | 3,780 | 207,900 | ||||||
Wells Fargo & Co. | 3,583 | 207,384 | ||||||
|
| |||||||
3,944,912 | ||||||||
BEVERAGES — 1.12% | ||||||||
Brown-Forman Corp. Class B | 4,300 | 209,668 | ||||||
Coca-Cola Co. (The) | 5,025 | 210,849 | ||||||
Constellation Brands Inc. Class A | 1,305 | 207,247 | ||||||
Dr Pepper Snapple Group Inc. | 2,218 | 207,250 | ||||||
Molson Coors Brewing Co. Class B | 2,086 | 209,414 | ||||||
Monster Beverage Corp.a | 4,758 | 197,171 | ||||||
PepsiCo Inc. | 1,911 | 210,936 | ||||||
|
| |||||||
1,452,535 | ||||||||
BIOTECHNOLOGY — 2.15% | ||||||||
AbbVie Inc. | 3,407 | 210,689 | ||||||
Alexion Pharmaceuticals Inc.a | 1,598 | 209,738 | ||||||
Alkermes PLCa | 3,923 | 221,649 | ||||||
Amgen Inc. | 1,211 | 213,778 | ||||||
Biogen Inc.a | 727 | 209,812 | ||||||
BioMarin Pharmaceutical Inc.a | 2,328 | 218,669 | ||||||
Celgene Corp.a | 1,753 | 216,513 | ||||||
Gilead Sciences Inc. | 3,037 | 214,048 | ||||||
Incyte Corp.a | 1,722 | 229,198 | ||||||
Regeneron Pharmaceuticals Inc.a | 564 | 210,654 | ||||||
Seattle Genetics Inc.a,b | 3,237 | 212,509 | ||||||
United Therapeutics Corp.a,b | 1,422 | 210,058 | ||||||
Vertex Pharmaceuticals Inc.a | 2,437 | 220,841 | ||||||
|
| |||||||
2,798,156 | ||||||||
BUILDING PRODUCTS — 0.64% |
| |||||||
AO Smith Corp. | 4,142 | 208,591 | ||||||
Fortune Brands Home & Security Inc. | 3,674 | 212,467 |
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
Johnson Controls International PLC | 4,957 | $ | 207,897 | |||||
Masco Corp. | 6,176 | 208,625 | ||||||
|
| |||||||
837,580 | ||||||||
CAPITAL MARKETS — 3.64% | ||||||||
Affiliated Managers Group Inc. | 1,234 | 207,226 | ||||||
Ameriprise Financial Inc. | 1,599 | 210,268 | ||||||
Bank of New York Mellon Corp. (The) | 4,420 | 208,359 | ||||||
BlackRock Inc.c | 524 | 203,029 | ||||||
Charles Schwab Corp. (The) | 5,037 | 203,545 | ||||||
CME Group Inc. | 1,707 | 207,332 | ||||||
E*TRADE Financial Corp.a | 5,596 | 193,118 | ||||||
Eaton Vance Corp. NVS | 4,493 | 209,509 | ||||||
Franklin Resources Inc. | 4,888 | 210,380 | ||||||
Goldman Sachs Group Inc. (The) | 831 | 206,138 | ||||||
Intercontinental Exchange Inc. | 3,619 | 206,753 | ||||||
Invesco Ltd. | 6,268 | 201,767 | ||||||
Moody’s Corp. | 1,841 | 205,032 | ||||||
Morgan Stanley | 4,495 | 205,287 | ||||||
MSCI Inc. | 2,202 | 208,287 | ||||||
Nasdaq Inc. | 2,934 | 208,637 | ||||||
Northern Trust Corp. | 2,390 | 208,766 | ||||||
Raymond James Financial Inc. | 2,625 | 206,220 | ||||||
S&P Global Inc. | 1,598 | 206,893 | ||||||
SEI Investments Co. | 4,133 | 208,097 | ||||||
State Street Corp. | 2,606 | 207,724 | ||||||
T Rowe Price Group Inc. | 2,925 | 208,289 | ||||||
TD Ameritrade Holding Corp. | 4,807 | 187,954 | ||||||
|
| |||||||
4,728,610 | ||||||||
CHEMICALS — 3.20% | ||||||||
Air Products & Chemicals Inc. | 1,490 | 209,300 | ||||||
Albemarle Corp. | 2,262 | 229,616 | ||||||
Ashland Global Holdings Inc. | 1,697 | 204,760 | ||||||
Axalta Coating Systems Ltd.a | 7,065 | 205,662 | ||||||
Celanese Corp. Series A | 2,315 | 206,429 | ||||||
CF Industries Holdings Inc. | 6,294 | 197,757 | ||||||
Dow Chemical Co. (The) | 3,284 | 204,462 | ||||||
Eastman Chemical Co. | 2,598 | 208,490 | ||||||
Ecolab Inc. | 1,698 | 210,501 | ||||||
EI du Pont de Nemours & Co. | 2,619 | 205,696 | ||||||
FMC Corp. | 3,577 | 206,107 | ||||||
International Flavors & Fragrances Inc. | 1,704 | 214,193 | ||||||
LyondellBasell Industries NV Class A | 2,224 | 202,918 | ||||||
Monsanto Co. | 1,877 | 213,659 | ||||||
Mosaic Co. (The) | 6,311 | 196,840 |
Security | Shares | Value | ||||||
PPG Industries Inc. | 2,033 | $ | 208,240 | |||||
Praxair Inc. | 1,775 | 210,710 | ||||||
Sherwin-Williams Co. (The) | 668 | 206,105 | ||||||
Valspar Corp. (The) | 1,879 | 208,982 | ||||||
WR Grace & Co. | 2,922 | 206,994 | ||||||
|
| |||||||
4,157,421 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.80% |
| |||||||
Cintas Corp. | 1,760 | 207,698 | ||||||
Republic Services Inc. | 3,389 | 209,949 | ||||||
Stericycle Inc.a | 2,448 | 202,890 | ||||||
Waste Connections Inc. | 2,411 | 210,697 | ||||||
Waste Management Inc. | 2,863 | 209,915 | ||||||
|
| |||||||
1,041,149 | ||||||||
COMMUNICATIONS EQUIPMENT — 0.95% |
| |||||||
Cisco Systems Inc. | 6,133 | 209,626 | ||||||
F5 Networks Inc.a | 1,443 | 206,739 | ||||||
Harris Corp. | 1,893 | 208,041 | ||||||
Juniper Networks Inc. | 7,327 | 205,156 | ||||||
Motorola Solutions Inc. | 2,624 | 207,217 | ||||||
Palo Alto Networks Inc.a,b | 1,346 | 204,457 | ||||||
|
| |||||||
1,241,236 | ||||||||
CONSTRUCTION & ENGINEERING — 0.32% |
| |||||||
Fluor Corp. | 3,694 | 204,611 | ||||||
Jacobs Engineering Group Inc. | 3,681 | 207,645 | ||||||
|
| |||||||
412,256 | ||||||||
CONSTRUCTION MATERIALS — 0.32% |
| |||||||
Martin Marietta Materials Inc. | 955 | 206,232 | ||||||
Vulcan Materials Co. | 1,740 | 209,862 | ||||||
|
| |||||||
416,094 | ||||||||
CONSUMER FINANCE — 0.96% |
| |||||||
Ally Financial Inc. | 9,027 | 203,017 | ||||||
American Express Co. | 2,617 | 209,517 | ||||||
Capital One Financial Corp. | 2,251 | 211,279 | ||||||
Discover Financial Services | 2,937 | 208,938 | ||||||
Navient Corp. | 13,479 | 207,712 | ||||||
Synchrony Financial | 5,684 | 205,988 | ||||||
|
| |||||||
1,246,451 | ||||||||
CONTAINERS & PACKAGING — 1.13% |
| |||||||
Avery Dennison Corp. | 2,619 | 211,379 | ||||||
Ball Corp. | 2,847 | 209,340 | ||||||
Crown Holdings Inc.a | 3,930 | 210,609 | ||||||
International Paper Co. | 4,036 | 212,697 | ||||||
Packaging Corp. of America | 2,224 | 205,564 | ||||||
Sealed Air Corp. | 4,381 | 203,629 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
WestRock Co. | 3,930 | $ | 211,120 | |||||
|
| |||||||
1,464,338 | ||||||||
DISTRIBUTORS — 0.31% | ||||||||
Genuine Parts Co. | 2,178 | 208,457 | ||||||
LKQ Corp.a | 6,326 | 199,775 | ||||||
|
| |||||||
408,232 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 0.16% |
| |||||||
H&R Block Inc. | 10,309 | 211,953 | ||||||
|
| |||||||
211,953 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.48% |
| |||||||
Berkshire Hathaway Inc. Class Ba | 1,233 | 211,361 | ||||||
Leucadia National Corp. | 8,131 | 216,447 | ||||||
Voya Financial Inc. | 4,896 | 201,862 | ||||||
|
| |||||||
629,670 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.94% |
| |||||||
AT&T Inc. | 5,016 | 209,619 | ||||||
CenturyLink Inc. | 8,420 | 204,269 | ||||||
Frontier Communications Corp. | 62,403 | 182,841 | ||||||
Level 3 Communications Inc.a | 3,606 | 206,443 | ||||||
Verizon Communications Inc. | 4,209 | 208,893 | ||||||
Zayo Group Holdings Inc.a | 6,624 | 208,788 | ||||||
|
| |||||||
1,220,853 | ||||||||
ELECTRIC UTILITIES — 2.65% | ||||||||
Alliant Energy Corp. | 5,409 | 213,547 | ||||||
American Electric Power Co. Inc. | 3,200 | 214,304 | ||||||
Duke Energy Corp. | 2,617 | 216,033 | ||||||
Edison International | 2,708 | 215,936 | ||||||
Entergy Corp. | 2,836 | 217,408 | ||||||
Eversource Energy | 3,629 | 212,877 | ||||||
Exelon Corp. | 5,857 | 215,011 | ||||||
FirstEnergy Corp. | 6,789 | 220,167 | ||||||
NextEra Energy Inc. | 1,627 | 213,137 | ||||||
OGE Energy Corp. | 5,981 | 220,280 | ||||||
PG&E Corp. | 3,228 | 215,469 | ||||||
Pinnacle West Capital Corp. | 2,622 | 215,502 | ||||||
PPL Corp. | 5,775 | 212,982 | ||||||
Southern Co. (The) | 4,267 | 216,849 | ||||||
Westar Energy Inc. | 3,926 | 211,926 | ||||||
Xcel Energy Inc. | 4,920 | 215,053 | ||||||
|
| |||||||
3,446,481 | ||||||||
ELECTRICAL EQUIPMENT — 0.95% |
| |||||||
Acuity Brands Inc. | 961 | 203,059 | ||||||
AMETEK Inc. | 3,780 | 204,007 | ||||||
Eaton Corp. PLC | 2,884 | 207,590 |
Security | Shares | Value | ||||||
Emerson Electric Co. | 3,382 | $ | 203,258 | |||||
Rockwell Automation Inc. | 1,368 | 206,705 | ||||||
Sensata Technologies Holding NVa | 4,990 | 204,840 | ||||||
|
| |||||||
1,229,459 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 1.43% |
| |||||||
Amphenol Corp. Class A | 2,994 | 207,215 | ||||||
Arrow Electronics Inc.a | 2,828 | 204,182 | ||||||
Avnet Inc. | 4,494 | 207,083 | ||||||
CDW Corp./DE | 3,489 | 205,502 | ||||||
Corning Inc. | 7,537 | 208,096 | ||||||
Flex Ltd.a | 12,473 | 205,680 | ||||||
FLIR Systems Inc. | 5,700 | 209,247 | ||||||
TE Connectivity Ltd. | 2,778 | 206,878 | ||||||
Trimble Inc.a | 6,645 | 206,194 | ||||||
|
| |||||||
1,860,077 | ||||||||
ENERGY EQUIPMENT & SERVICES — 1.29% |
| |||||||
Baker Hughes Inc. | 3,452 | 208,087 | ||||||
Core Laboratories NV | 1,853 | 212,020 | ||||||
Halliburton Co. | 3,940 | 210,633 | ||||||
Helmerich & Payne Inc. | 3,101 | 212,015 | ||||||
National Oilwell Varco Inc. | 5,368 | 216,975 | ||||||
Schlumberger Ltd. | 2,623 | 210,784 | ||||||
TechnipFMC PLCa | 6,395 | 206,686 | ||||||
Weatherford International PLCa,b | 36,550 | 206,873 | ||||||
|
| |||||||
1,684,073 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 6.09% |
| |||||||
Alexandria Real Estate Equities Inc. | 1,765 | 210,582 | ||||||
American Tower Corp. | 1,883 | 216,150 | ||||||
AvalonBay Communities Inc. | 1,156 | 212,450 | ||||||
Boston Properties Inc.b | 1,508 | 209,657 | ||||||
Brixmor Property Group Inc. | 8,813 | 205,695 | ||||||
Camden Property Trust | 2,528 | 213,995 | ||||||
Colony NorthStar Inc. Class A | 14,649 | 215,047 | ||||||
Crown Castle International Corp. | 2,308 | 215,867 | ||||||
Digital Realty Trust Inc.b | 2,016 | 217,728 | ||||||
Duke Realty Corp. | 8,263 | 211,863 | ||||||
Equinix Inc. | 560 | 210,599 | ||||||
Equity Residential | 3,376 | 212,924 | ||||||
Essex Property Trust Inc. | 911 | 213,812 | ||||||
Extra Space Storage Inc. | 2,682 | 212,388 | ||||||
Federal Realty Investment Trust | 1,477 | 207,858 | ||||||
GGP Inc. | 8,195 | 203,728 | ||||||
HCP Inc. | 6,594 | 216,217 |
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
Host Hotels & Resorts Inc. | 11,393 | $ | 204,960 | |||||
Iron Mountain Inc. | 5,629 | 204,614 | ||||||
Kimco Realty Corp. | 8,586 | 208,211 | ||||||
Liberty Property Trust | 5,367 | 211,675 | ||||||
Macerich Co. (The)b | 3,106 | 209,282 | ||||||
Mid-America Apartment Communities Inc. | 2,083 | 213,987 | ||||||
National Retail Properties Inc. | 4,670 | 211,271 | ||||||
Prologis Inc. | 4,152 | 211,960 | ||||||
Public Storage | 924 | 210,173 | ||||||
Realty Income Corp. | 3,419 | 209,516 | ||||||
Regency Centers Corp. | 4,364 | 307,007 | ||||||
SBA Communications Corp.a | 1,872 | 216,721 | ||||||
Simon Property Group Inc. | 1,132 | 208,741 | ||||||
SL Green Realty Corp. | 1,863 | 209,923 | ||||||
UDR Inc. | 5,870 | 214,255 | ||||||
Ventas Inc. | 3,333 | 216,812 | ||||||
VEREIT Inc. | 23,544 | 213,544 | ||||||
Vornado Realty Trust | 1,903 | 209,083 | ||||||
Welltower Inc. | 3,088 | 217,333 | ||||||
Weyerhaeuser Co. | 6,192 | 208,794 | ||||||
|
| |||||||
7,924,422 | ||||||||
FOOD & STAPLES RETAILING — 1.28% |
| |||||||
Costco Wholesale Corp. | 1,184 | 209,781 | ||||||
CVS Health Corp. | 2,608 | 210,152 | ||||||
Kroger Co. (The) | 6,291 | 200,054 | ||||||
Rite Aid Corp.a | 35,076 | 210,456 | ||||||
Sysco Corp. | 3,963 | 208,929 | ||||||
Wal-Mart Stores Inc. | 2,915 | 206,761 | ||||||
Walgreens Boots Alliance Inc. | 2,423 | 209,299 | ||||||
Whole Foods Market Inc. | 6,722 | 206,164 | ||||||
|
| |||||||
1,661,596 | ||||||||
FOOD PRODUCTS — 2.57% | ||||||||
Archer-Daniels-Midland Co. | 4,659 | 218,833 | ||||||
Bunge Ltd. | 2,631 | 215,347 | ||||||
Campbell Soup Co. | 3,533 | 209,684 | ||||||
Conagra Brands Inc. | 5,165 | 212,850 | ||||||
General Mills Inc. | 3,450 | 208,277 | ||||||
Hershey Co. (The) | 1,937 | 209,874 | ||||||
Hormel Foods Corp. | 5,600 | 197,400 | ||||||
Ingredion Inc. | 1,734 | 209,623 | ||||||
JM Smucker Co. (The) | 1,485 | 210,469 | ||||||
Kellogg Co. | 2,807 | 207,915 | ||||||
Kraft Heinz Co. (The) | 2,240 | 204,982 | ||||||
McCormick & Co. Inc./MD | 2,129 | 209,536 |
Security | Shares | Value | ||||||
Mead Johnson Nutrition Co. | 2,389 | $ | 209,730 | |||||
Mondelez International Inc. Class A | 4,682 | 205,633 | ||||||
Tyson Foods Inc. Class A | 3,307 | 206,886 | ||||||
WhiteWave Foods Co. (The)a | 3,801 | 209,359 | ||||||
|
| |||||||
3,346,398 | ||||||||
GAS UTILITIES — 0.33% | ||||||||
Atmos Energy Corp. | 2,707 | 211,931 | ||||||
UGI Corp. | 4,379 | 211,199 | ||||||
|
| |||||||
423,130 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 3.25% |
| |||||||
Abbott Laboratories | 4,644 | 209,351 | ||||||
Align Technology Inc.a | 2,068 | 212,508 | ||||||
Baxter International Inc. | 4,168 | 212,235 | ||||||
Becton Dickinson and Co. | 1,149 | 210,324 | ||||||
Boston Scientific Corp.a | 8,310 | 204,010 | ||||||
Cooper Companies Inc. (The) | 1,072 | 213,478 | ||||||
CR Bard Inc. | 859 | 210,661 | ||||||
Danaher Corp. | 2,465 | 210,881 | ||||||
DENTSPLY SIRONA Inc. | 3,353 | 212,983 | ||||||
DexCom Inc.a | 2,661 | 207,984 | ||||||
Edwards Lifesciences Corp.a | 2,267 | 213,189 | ||||||
Hologic Inc.a | 5,192 | 210,691 | ||||||
IDEXX Laboratories Inc.a | 1,470 | 213,062 | ||||||
Intuitive Surgical Inc.a | 286 | 210,782 | ||||||
Medtronic PLC | 2,625 | 212,389 | ||||||
ResMed Inc. | 2,888 | 208,023 | ||||||
Stryker Corp. | 1,642 | 211,095 | ||||||
Teleflex Inc. | 1,136 | 217,180 | ||||||
Varian Medical Systems Inc.a,b | 2,502 | 209,893 | ||||||
Zimmer Biomet Holdings Inc. | 1,789 | 209,456 | ||||||
|
| |||||||
4,220,175 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 3.08% |
| |||||||
Aetna Inc. | 1,561 | 200,994 | ||||||
AmerisourceBergen Corp. | 2,289 | 209,466 | ||||||
Anthem Inc. | 1,281 | 211,135 | ||||||
Cardinal Health Inc. | 2,578 | 209,772 | ||||||
Centene Corp.a | 2,978 | 209,949 | ||||||
Cigna Corp. | 1,417 | 210,991 | ||||||
DaVita Inc.a | 3,026 | 210,035 | ||||||
Envision Healthcare Corp.a,b | 2,935 | 205,450 | ||||||
Express Scripts Holding Co.a | 2,956 | 208,841 | ||||||
HCA Holdings Inc.a | 2,433 | 212,255 | ||||||
Henry Schein Inc.a | 1,210 | 207,588 | ||||||
Humana Inc. | 1,016 | 214,630 |
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
Laboratory Corp. of America Holdingsa | 1,504 | $ | 213,959 | |||||
McKesson Corp. | 1,403 | 210,632 | ||||||
MEDNAX Inc.a,b | 2,974 | 211,719 | ||||||
Patterson Companies Inc. | 4,688 | 213,070 | ||||||
Quest Diagnostics Inc. | 2,186 | 213,004 | ||||||
UnitedHealth Group Inc. | 1,302 | 215,325 | ||||||
Universal Health Services Inc. Class B | 1,689 | 212,138 | ||||||
|
| |||||||
4,000,953 | ||||||||
HEALTH CARE TECHNOLOGY — 0.16% |
| |||||||
Cerner Corp.a,b | 3,776 | 207,831 | ||||||
|
| |||||||
207,831 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 2.57% |
| |||||||
Aramark | 5,820 | 208,007 | ||||||
Carnival Corp. | 3,770 | 210,932 | ||||||
Chipotle Mexican Grill Inc.a,b | 489 | 204,764 | ||||||
Darden Restaurants Inc. | 2,772 | 207,013 | ||||||
Domino’s Pizza Inc. | 1,146 | 217,522 | ||||||
Hilton Worldwide Holdings Inc. | 3,614 | 206,721 | ||||||
Las Vegas Sands Corp. | 4,022 | 212,965 | ||||||
Marriott International Inc./MD Class A | 2,384 | 207,384 | ||||||
McDonald’s Corp. | 1,637 | 208,963 | ||||||
MGM Resorts Internationala | 7,900 | 207,691 | ||||||
Norwegian Cruise Line Holdings Ltd.a | 4,049 | 205,284 | ||||||
Royal Caribbean Cruises Ltd. | 2,179 | 209,402 | ||||||
Starbucks Corp. | 3,632 | 206,552 | ||||||
Wyndham Worldwide Corp. | 2,484 | 206,768 | ||||||
Wynn Resorts Ltd. | 2,207 | 212,203 | ||||||
Yum! Brands Inc. | 3,163 | 206,607 | ||||||
|
| |||||||
3,338,778 | ||||||||
HOUSEHOLD DURABLES — 1.62% |
| |||||||
DR Horton Inc. | 6,744 | 215,808 | ||||||
Garmin Ltd. | 3,861 | 199,266 | ||||||
Harman International Industries Inc. | 1,880 | 209,846 | ||||||
Leggett & Platt Inc. | 4,267 | 209,851 | ||||||
Lennar Corp. Class A | 4,419 | 215,603 | ||||||
Mohawk Industries Inc.a | 929 | 210,288 | ||||||
Newell Brands Inc. | 4,424 | 216,909 | ||||||
PulteGroup Inc. | 9,629 | 212,320 | ||||||
Toll Brothers Inc.a | 6,162 | 210,371 | ||||||
Whirlpool Corp. | 1,155 | 206,271 | ||||||
|
| |||||||
2,106,533 |
Security | Shares | Value | ||||||
HOUSEHOLD PRODUCTS — 0.96% |
| |||||||
Church & Dwight Co. Inc. | 4,207 | $ | 209,677 | |||||
Clorox Co. (The) | 1,538 | 210,414 | ||||||
Colgate-Palmolive Co. | 2,845 | 207,628 | ||||||
Kimberly-Clark Corp. | 1,550 | 205,453 | ||||||
Procter & Gamble Co. (The) | 2,286 | 208,186 | ||||||
Spectrum Brands Holdings Inc. | 1,534 | 208,194 | ||||||
|
| |||||||
1,249,552 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.32% |
| |||||||
AES Corp./VA | 18,020 | 207,590 | ||||||
Calpine Corp.a | 17,732 | 207,642 | ||||||
|
| |||||||
415,232 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.64% |
| |||||||
3M Co. | 1,123 | 209,271 | ||||||
General Electric Co. | 6,892 | 205,451 | ||||||
Honeywell International Inc. | 1,671 | 208,039 | ||||||
Roper Technologies Inc. | 1,006 | 210,455 | ||||||
|
| |||||||
833,216 | ||||||||
INSURANCE — 4.63% | ||||||||
Aflac Inc. | 2,938 | 212,564 | ||||||
Alleghany Corp.a | 219 | 141,430 | ||||||
Allstate Corp. (The) | 2,594 | 213,123 | ||||||
American International Group Inc. | 3,275 | 209,338 | ||||||
Aon PLC | 1,809 | 209,211 | ||||||
Arch Capital Group Ltd.a | 2,220 | 209,945 | ||||||
Arthur J Gallagher & Co. | 3,719 | 211,797 | ||||||
Assurant Inc. | 2,124 | 210,276 | ||||||
Axis Capital Holdings Ltd. | 3,046 | 211,088 | ||||||
Chubb Ltd. | 1,517 | 209,604 | ||||||
Cincinnati Financial Corp. | 2,867 | 209,176 | ||||||
Everest Re Group Ltd. | 634 | 149,079 | ||||||
FNF Group | 5,487 | 210,317 | ||||||
Hartford Financial Services Group Inc. (The) | 4,294 | 209,934 | ||||||
Lincoln National Corp. | 2,916 | 204,586 | ||||||
Loews Corp. | 4,436 | 208,403 | ||||||
Markel Corp.a | 215 | 210,642 | ||||||
Marsh & McLennan Companies Inc. | 2,867 | 210,667 | ||||||
MetLife Inc. | 3,909 | 204,988 | ||||||
Principal Financial Group Inc. | 3,320 | 207,633 | ||||||
Progressive Corp. (The) | 5,382 | 210,867 | ||||||
Prudential Financial Inc. | 1,892 | 209,142 | ||||||
Reinsurance Group of America Inc. | 1,265 | 164,526 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
RenaissanceRe Holdings Ltd. | 759 | $ | 112,059 | |||||
Torchmark Corp. | 2,698 | 209,176 | ||||||
Travelers Companies Inc. (The) | 1,715 | 209,642 | ||||||
Unum Group | 4,327 | 211,287 | ||||||
Willis Towers Watson PLC | 1,646 | 211,396 | ||||||
WR Berkley Corp. | 2,938 | 208,657 | ||||||
XL Group Ltd. | 5,076 | 205,527 | ||||||
|
| |||||||
6,016,080 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.94% |
| |||||||
Amazon.com Inc.a | 244 | 206,190 | ||||||
Expedia Inc. | 1,734 | 206,415 | ||||||
Liberty Interactive Corp. QVC Group Series Aa | 10,179 | 192,180 | ||||||
Netflix Inc.a | 1,453 | 206,515 | ||||||
Priceline Group Inc. (The)a | 127 | 218,964 | ||||||
TripAdvisor Inc.a | 4,590 | 190,347 | ||||||
|
| |||||||
1,220,611 | ||||||||
INTERNET SOFTWARE & SERVICES — 1.60% |
| |||||||
Akamai Technologies Inc.a,b | 3,318 | 207,707 | ||||||
Alphabet Inc. Class Aa | 123 | 103,926 | ||||||
Alphabet Inc. Class Ca | 128 | 105,371 | ||||||
CoStar Group Inc.a | 995 | 202,164 | ||||||
eBay Inc.a | 6,182 | 209,570 | ||||||
Facebook Inc. Class Aa | 1,536 | 208,190 | ||||||
MercadoLibre Inc. | 1,043 | 219,937 | ||||||
Twitter Inc.a,b | 13,001 | 205,026 | ||||||
VeriSign Inc.a,b | 2,543 | 209,721 | ||||||
Yahoo! Inc.a | 4,547 | 207,616 | ||||||
Zillow Group Inc. Class Ca,b | 5,812 | 197,259 | ||||||
|
| |||||||
2,076,487 | ||||||||
IT SERVICES — 3.38% | ||||||||
Accenture PLC Class A | 1,711 | 209,597 | ||||||
Alliance Data Systems Corp. | 872 | 211,879 | ||||||
Automatic Data Processing Inc. | 2,081 | 213,552 | ||||||
Broadridge Financial Solutions Inc. | 3,036 | 210,486 | ||||||
Cognizant Technology Solutions Corp. Class Aa | 3,558 | 210,883 | ||||||
Computer Sciences Corp. | 2,956 | 202,663 | ||||||
Fidelity National Information Services Inc. | 2,524 | 207,649 | ||||||
First Data Corp. Class Aa,b | 12,721 | 204,808 | ||||||
Fiserv Inc.a | 1,837 | 211,990 | ||||||
FleetCor Technologies Inc.a | 1,252 | 212,840 | ||||||
Gartner Inc.a | 2,040 | 210,548 |
Security | Shares | Value | ||||||
Global Payments Inc. | 2,656 | $ | 211,657 | |||||
International Business Machines Corp. | 1,154 | 207,512 | ||||||
MasterCard Inc. Class A | 1,910 | 210,979 | ||||||
Paychex Inc. | 3,507 | 215,400 | ||||||
PayPal Holdings Inc.a | 4,922 | 206,724 | ||||||
Sabre Corp. | 9,647 | 211,366 | ||||||
Total System Services Inc. | 3,800 | 207,024 | ||||||
Vantiv Inc. Class Aa | 3,200 | 209,216 | ||||||
Visa Inc. Class A | 2,381 | 209,385 | ||||||
Western Union Co. (The) | 10,458 | 205,395 | ||||||
|
| |||||||
4,401,553 | ||||||||
LEISURE PRODUCTS — 0.47% |
| |||||||
Hasbro Inc. | 2,115 | 204,880 | ||||||
Mattel Inc. | 8,112 | 208,722 | ||||||
Polaris Industries Inc.b | 2,359 | 201,010 | ||||||
|
| |||||||
614,612 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.97% |
| |||||||
Agilent Technologies Inc. | 4,071 | 208,842 | ||||||
Illumina Inc.a | 1,288 | 215,611 | ||||||
Mettler-Toledo International Inc.a,b | 441 | 210,013 | ||||||
Quintiles IMS Holdings Inc.a | 2,703 | 209,185 | ||||||
Thermo Fisher Scientific Inc. | 1,323 | 208,611 | ||||||
Waters Corp.a | 1,352 | 209,547 | ||||||
|
| |||||||
1,261,809 | ||||||||
MACHINERY — 2.86% | ||||||||
AGCO Corp. | 3,317 | 202,072 | ||||||
Caterpillar Inc. | 2,129 | 205,789 | ||||||
Cummins Inc. | 1,373 | 203,877 | ||||||
Deere & Co. | 1,903 | 208,360 | ||||||
Dover Corp. | 2,583 | 206,898 | ||||||
Flowserve Corp. | 4,297 | 199,596 | ||||||
Fortive Corp. | 3,624 | 208,924 | ||||||
Illinois Tool Works Inc. | 1,606 | 212,008 | ||||||
Ingersoll-Rand PLC | 2,565 | 203,558 | ||||||
Middleby Corp. (The)a | 1,515 | 210,146 | ||||||
PACCAR Inc. | 3,072 | 205,240 | ||||||
Parker-Hannifin Corp. | 1,342 | 207,795 | ||||||
Pentair PLC | 3,549 | 206,055 | ||||||
Snap-on Inc. | 1,223 | 207,506 | ||||||
Stanley Black & Decker Inc. | 1,642 | 208,780 | ||||||
WABCO Holdings Inc.a | 1,850 | 207,718 | ||||||
Wabtec Corp./DE | 2,607 | 208,873 | ||||||
Xylem Inc./NY | 4,333 | 208,504 | ||||||
|
| |||||||
3,721,699 |
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
MEDIA — 3.02% | ||||||||
CBS Corp. Class B NVS | 3,114 | $ | 205,275 | |||||
Charter Communications Inc. Class Aa | 642 | 207,404 | ||||||
Comcast Corp. Class A | 5,510 | 206,184 | ||||||
Discovery Communications Inc. Class Aa,b | 2,961 | 85,158 | ||||||
Discovery Communications Inc. Class C NVSa | 4,294 | 120,532 | ||||||
DISH Network Corp. Class Aa | 3,350 | 207,700 | ||||||
Interpublic Group of Companies Inc. (The) | 8,468 | 204,079 | ||||||
Liberty Broadband Corp. Class Ca,b | 2,423 | 208,233 | ||||||
Liberty Global PLC Series Aa | 1,674 | 59,762 | ||||||
Liberty Global PLC Series C NVSa | 4,145 | 145,448 | ||||||
Liberty Global PLC LiLAC Class Ca | 7,928 | 194,949 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Aa | 1,709 | 67,215 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Ca | 3,660 | 142,484 | ||||||
News Corp. Class A | 15,730 | 201,659 | ||||||
Omnicom Group Inc. | 2,452 | 208,665 | ||||||
Scripps Networks Interactive Inc. Class A | 2,535 | 204,752 | ||||||
Sirius XM Holdings Inc.b | 40,594 | 206,623 | ||||||
TEGNA Inc. | 8,463 | 216,907 | ||||||
Time Warner Inc. | 2,170 | 213,116 | ||||||
Twenty-First Century Fox Inc. Class A | 4,889 | 146,279 | ||||||
Twenty-First Century Fox Inc. Class B | 2,021 | 59,316 | ||||||
Viacom Inc. Class B NVS | 4,697 | 204,085 | ||||||
Walt Disney Co. (The) | 1,898 | 208,951 | ||||||
|
| |||||||
3,924,776 | ||||||||
METALS & MINING — 0.47% | ||||||||
Freeport-McMoRan Inc.a | 15,227 | 204,042 | ||||||
Newmont Mining Corp. | 5,807 | 198,832 | ||||||
Nucor Corp. | 3,306 | 206,856 | ||||||
|
| |||||||
609,730 | ||||||||
MORTGAGE REAL ESTATE INVESTMENT — 0.33% |
| |||||||
AGNC Investment Corp. | 10,720 | 210,434 | ||||||
Annaly Capital Management Inc. | 19,180 | 212,898 | ||||||
|
| |||||||
423,332 |
Security | Shares | Value | ||||||
MULTI-UTILITIES — 1.82% | ||||||||
Ameren Corp. | 3,873 | $ | 211,814 | |||||
CenterPoint Energy Inc. | 7,868 | 214,954 | ||||||
CMS Energy Corp. | 4,777 | 212,672 | ||||||
Consolidated Edison Inc. | 2,787 | 214,711 | ||||||
Dominion Resources Inc./VA | 2,775 | 215,451 | ||||||
DTE Energy Co. | 2,101 | 212,999 | ||||||
NiSource Inc. | 9,052 | 216,433 | ||||||
Public Service Enterprise Group Inc. | 4,722 | 217,118 | ||||||
SCANA Corp. | 3,077 | 213,390 | ||||||
Sempra Energy | 1,951 | 215,176 | ||||||
WEC Energy Group Inc. | 3,579 | 215,706 | ||||||
|
| |||||||
2,360,424 | ||||||||
MULTILINE RETAIL — 0.95% | ||||||||
Dollar General Corp. | 2,702 | 197,300 | ||||||
Dollar Tree Inc.a | 2,661 | 204,045 | ||||||
Kohl’s Corp. | 5,003 | 213,228 | ||||||
Macy’s Inc. | 6,460 | 214,601 | ||||||
Nordstrom Inc. | 4,609 | 215,056 | ||||||
Target Corp. | 3,171 | 186,360 | ||||||
|
| |||||||
1,230,590 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.65% |
| |||||||
Anadarko Petroleum Corp. | 3,176 | 205,328 | ||||||
Antero Resources Corp.a | 8,519 | 204,286 | ||||||
Apache Corp. | 3,807 | 200,210 | ||||||
Cabot Oil & Gas Corp. | 9,250 | 202,575 | ||||||
Cheniere Energy Inc.a | 4,427 | 212,717 | ||||||
Chevron Corp. | 1,894 | 213,075 | ||||||
Cimarex Energy Co. | 1,629 | 204,798 | ||||||
Concho Resources Inc.a | 1,587 | 210,198 | ||||||
ConocoPhillips | 4,438 | 211,116 | ||||||
Continental Resources Inc./OKa,b | 4,591 | 207,513 | ||||||
Devon Energy Corp. | 4,777 | 207,131 | ||||||
Diamondback Energy Inc.a | 2,049 | 206,662 | ||||||
Enbridge Inc. New | 0 | 2 | ||||||
EOG Resources Inc. | 2,144 | 207,947 | ||||||
EQT Corp. | 3,452 | 206,740 | ||||||
Exxon Mobil Corp. | 2,583 | 210,050 | ||||||
Hess Corp. | 4,054 | 208,538 | ||||||
HollyFrontier Corp. | 7,234 | 211,811 | ||||||
Kinder Morgan Inc./DE | 9,719 | 207,112 | ||||||
Marathon Oil Corp. | 13,265 | 212,240 | ||||||
Marathon Petroleum Corp. | 4,197 | 208,171 | ||||||
Murphy Oil Corp. | 7,533 | 213,109 | ||||||
Newfield Exploration Co.a | 5,352 | 195,134 |
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
Noble Energy Inc. | 5,701 | $ | 207,573 | |||||
Occidental Petroleum Corp. | 3,172 | 207,925 | ||||||
ONEOK Inc. | 3,906 | 211,119 | ||||||
Parsley Energy Inc. Class Aa | 6,928 | 210,542 | ||||||
Phillips 66 | 2,668 | 208,611 | ||||||
Pioneer Natural Resources Co. | 1,111 | 206,613 | ||||||
Plains GP Holdings LP Class A | 9,667 | 317,754 | ||||||
Range Resources Corp. | 6,986 | 192,953 | ||||||
Southwestern Energy Co.a | 24,402 | 183,259 | ||||||
Targa Resources Corp. | 3,663 | 206,959 | ||||||
Tesoro Corp. | 2,376 | 202,411 | ||||||
Valero Energy Corp. | 3,167 | 215,198 | ||||||
Williams Companies Inc. (The) | 7,467 | 211,615 | ||||||
|
| |||||||
7,348,995 | ||||||||
PERSONAL PRODUCTS — 0.46% | ||||||||
Coty Inc. Class A | 11,096 | 208,383 | ||||||
Edgewell Personal Care Co.a | 2,559 | 188,957 | ||||||
Estee Lauder Companies Inc. (The) Class A | 2,483 | 205,716 | ||||||
|
| |||||||
603,056 | ||||||||
PHARMACEUTICALS — 1.76% | ||||||||
Allergan PLC | 849 | 207,852 | ||||||
Bristol-Myers Squibb Co. | 3,777 | 214,194 | ||||||
Eli Lilly & Co. | 2,578 | 213,484 | ||||||
Jazz Pharmaceuticals PLCa | 1,549 | 205,428 | ||||||
Johnson & Johnson | 1,749 | 213,745 | ||||||
Mallinckrodt PLCa | 3,856 | 202,132 | ||||||
Merck & Co. Inc. | 3,202 | 210,916 | ||||||
Mylan NVa | 4,977 | 208,288 | ||||||
Perrigo Co. PLC | 2,486 | 185,878 | ||||||
Pfizer Inc. | 6,237 | 212,806 | ||||||
Zoetis Inc. | 3,914 | 208,655 | ||||||
|
| |||||||
2,283,378 | ||||||||
PROFESSIONAL SERVICES — 1.12% |
| |||||||
Dun & Bradstreet Corp. (The) | 1,929 | 203,587 | ||||||
Equifax Inc. | 1,625 | 213,054 | ||||||
IHS Markit Ltd.a | 5,193 | 206,681 | ||||||
ManpowerGroup Inc. | 2,142 | 207,860 | ||||||
Nielsen Holdings PLC | 4,658 | 206,629 | ||||||
Robert Half International Inc. | 4,333 | 209,024 | ||||||
Verisk Analytics Inc. Class Aa | 2,542 | 210,782 | ||||||
|
| |||||||
1,457,617 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.32% |
| |||||||
CBRE Group Inc. Class Aa | 5,874 | 209,232 | ||||||
Jones Lang LaSalle Inc. | 1,808 | 207,378 | ||||||
|
| |||||||
416,610 |
Security | Shares | Value | ||||||
ROAD & RAIL — 0.96% | ||||||||
AMERCO | 545 | $ | 210,534 | |||||
CSX Corp. | 4,320 | 209,779 | ||||||
JB Hunt Transport Services Inc. | 2,131 | 209,200 | ||||||
Kansas City Southern | 2,384 | 211,294 | ||||||
Norfolk Southern Corp. | 1,710 | 206,961 | ||||||
Union Pacific Corp. | 1,920 | 207,245 | ||||||
|
| |||||||
1,255,013 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 2.85% |
| |||||||
Advanced Micro Devices Inc.a | 14,640 | 211,694 | ||||||
Analog Devices Inc. | 2,547 | 208,676 | ||||||
Applied Materials Inc. | 5,726 | 207,396 | ||||||
Broadcom Ltd. | 976 | 205,868 | ||||||
Intel Corp. | 5,796 | 209,815 | ||||||
KLA-Tencor Corp. | 2,316 | 208,718 | ||||||
Lam Research Corp. | 1,763 | 208,986 | ||||||
Linear Technology Corp. | 3,232 | 208,723 | ||||||
Marvell Technology Group Ltd. | 12,841 | 200,320 | ||||||
Maxim Integrated Products Inc. | 4,610 | 204,223 | ||||||
Microchip Technology Inc. | 2,862 | 207,552 | ||||||
Micron Technology Inc.a | 8,803 | 206,342 | ||||||
NVIDIA Corp. | 1,888 | 191,594 | ||||||
Qorvo Inc.a | 3,095 | 204,579 | ||||||
QUALCOMM Inc. | 3,662 | 206,830 | ||||||
Skyworks Solutions Inc. | 2,162 | 204,979 | ||||||
Texas Instruments Inc. | 2,707 | 207,410 | ||||||
Xilinx Inc. | 3,495 | 205,576 | ||||||
|
| |||||||
3,709,281 | ||||||||
SOFTWARE — 3.67% | ||||||||
Activision Blizzard Inc. | 4,622 | 208,591 | ||||||
Adobe Systems Inc.a | 1,750 | 207,095 | ||||||
ANSYS Inc.a | 2,068 | 220,780 | ||||||
Autodesk Inc.a | 2,420 | 208,846 | ||||||
CA Inc. | 6,488 | 209,368 | ||||||
Cadence Design Systems Inc.a | 6,774 | 209,316 | ||||||
CDK Global Inc. | 3,148 | 209,122 | ||||||
Citrix Systems Inc.a | 2,607 | 205,823 | ||||||
Dell Technologies Inc. Class Va | 3,228 | 204,946 | ||||||
Electronic Arts Inc.a | 2,392 | 206,908 | ||||||
Fortinet Inc.a | 5,614 | 209,683 | ||||||
Intuit Inc. | 1,750 | 219,520 | ||||||
Microsoft Corp. | 3,256 | 208,319 | ||||||
Nuance Communications Inc.a | 12,275 | 209,043 | ||||||
Oracle Corp. | 4,918 | 209,458 |
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Security | Shares | Value | ||||||
Red Hat Inc.a | 2,468 | $ | 204,375 | |||||
salesforce.com inc.a | 2,547 | 207,198 | ||||||
ServiceNow Inc.a | 2,247 | 195,309 | ||||||
Splunk Inc.a,b | 3,218 | 198,647 | ||||||
Symantec Corp. | 7,309 | 208,818 | ||||||
Synopsys Inc.a | 2,934 | 209,605 | ||||||
VMware Inc. Class Aa,b | 2,279 | 204,859 | ||||||
Workday Inc. Class Aa | 2,370 | 196,544 | ||||||
|
| |||||||
4,772,173 | ||||||||
SPECIALTY RETAIL — 3.16% | ||||||||
Advance Auto Parts Inc. | 1,309 | 205,002 | ||||||
AutoNation Inc.a,b | 4,384 | 201,226 | ||||||
AutoZone Inc.a | 284 | 209,180 | ||||||
Bed Bath & Beyond Inc. | 5,082 | 205,313 | ||||||
Best Buy Co. Inc. | 4,573 | 201,806 | ||||||
CarMax Inc.a | 3,095 | 199,751 | ||||||
Dick’s Sporting Goods Inc. | 4,244 | 207,744 | ||||||
Foot Locker Inc. | 2,943 | 222,697 | ||||||
Gap Inc. (The) | 8,406 | 208,637 | ||||||
Home Depot Inc. (The) | 1,439 | 208,526 | ||||||
L Brands Inc. | 3,598 | 189,327 | ||||||
Lowe’s Companies Inc. | 2,720 | 202,286 | ||||||
O’Reilly Automotive Inc.a | 780 | 211,934 | ||||||
Ross Stores Inc. | 3,028 | 207,660 | ||||||
Signet Jewelers Ltd. | 2,840 | 180,596 | ||||||
Staples Inc. | 22,053 | 198,256 | ||||||
Tiffany & Co. | 2,368 | 217,548 | ||||||
TJX Companies Inc. (The) | 2,738 | 214,796 | ||||||
Tractor Supply Co. | 2,891 | 205,001 | ||||||
Ulta Salon Cosmetics & Fragrance Inc.a | 753 | 205,893 | ||||||
|
| |||||||
4,103,179 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 1.14% |
| |||||||
Apple Inc. | 1,525 | 208,910 | ||||||
Hewlett Packard Enterprise Co. | 8,438 | 192,555 | ||||||
HP Inc. | 12,903 | 224,125 | ||||||
NetApp Inc. | 5,137 | 214,881 | ||||||
Seagate Technology PLC | 4,415 | 212,759 | ||||||
Western Digital Corp. | 2,807 | 215,802 | ||||||
Xerox Corp. | 28,023 | 208,491 | ||||||
|
| |||||||
1,477,523 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.41% |
| |||||||
Coach Inc. | 5,411 | 206,105 | ||||||
Hanesbrands Inc. | 9,828 | 196,658 |
Security | Shares | Value | ||||||
lululemon athletica Inc.a,b | 3,121 | $ | 203,677 | |||||
Michael Kors Holdings Ltd.a | 5,514 | 201,261 | ||||||
NIKE Inc. Class B | 3,589 | 205,147 | ||||||
PVH Corp. | 2,288 | 209,581 | ||||||
Ralph Lauren Corp. | 2,676 | 212,287 | ||||||
Under Armour Inc. Class Aa,b | 4,987 | 102,832 | ||||||
Under Armour Inc. Class Ca | 5,077 | 94,229 | ||||||
VF Corp. | 3,907 | 204,922 | ||||||
|
| |||||||
1,836,699 | ||||||||
THRIFTS & MORTGAGE FINANCE — 0.16% |
| |||||||
New York Community Bancorp. Inc. | 13,619 | 208,098 | ||||||
|
| |||||||
208,098 | ||||||||
TOBACCO — 0.49% | ||||||||
Altria Group Inc. | 2,841 | 212,848 | ||||||
Philip Morris International Inc. | 2,000 | 218,700 | ||||||
Reynolds American Inc. | 3,430 | 211,185 | ||||||
|
| |||||||
642,733 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.47% |
| |||||||
Fastenal Co. | 4,110 | 205,623 | ||||||
United Rentals Inc.a | 1,632 | 208,945 | ||||||
WW Grainger Inc. | 812 | 201,344 | ||||||
|
| |||||||
615,912 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.16% |
| |||||||
Macquarie Infrastructure Corp. | 2,718 | 209,123 | ||||||
|
| |||||||
209,123 | ||||||||
WATER UTILITIES — 0.17% | ||||||||
American Water Works Co. Inc. | 2,791 | 217,698 | ||||||
|
| |||||||
217,698 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.31% |
| |||||||
Sprint Corp.a | 22,505 | 198,269 | ||||||
T-Mobile U.S. Inc.a | 3,314 | 207,225 | ||||||
|
| |||||||
405,494 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $116,970,974) | 129,808,977 | |||||||
SHORT-TERM INVESTMENTS — 3.36% |
| |||||||
MONEY MARKET FUNDS — 3.36% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 4,185,346 | 4,187,020 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 183,368 | 183,368 | ||||||
|
| |||||||
4,370,388 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,369,391) | 4,370,388 | |||||||
|
|
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $121,340,365)g | $ | 134,179,365 | ||||||
Other Assets, Less Liabilities — (3.19)% |
| (4,154,032 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 130,025,333 | ||||||
|
|
NVS — Non-Voting Shares
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | Affiliated issuer. See Schedule 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 $122,011,415. Net unrealized appreciation was $12,167,950, of which $14,520,512 represented gross unrealized appreciation on securities and $2,352,562 represented gross unrealized depreciation on securities. |
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
BlackRock Inc. | 326 | 203 | (5 | ) | 524 | $ | 203,029 | $ | 879 | $ | (11 | ) | ||||||||||||||||
PNC Financial Services Group Inc. (The) | 1,397 | 764 | (524 | ) | 1,637 | 208,275 | 1,538 | 5,211 | ||||||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
$ | 411,304 | $ | 2,417 | $ | 5,200 | |||||||||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 129,808,977 | $ | — | $ | — | $ | 129,808,977 | ||||||||
Money market funds | 4,370,388 | — | — | 4,370,388 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 134,179,365 | $ | — | $ | — | $ | 134,179,365 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Brazil Capped ETF | iShares MSCI Chile Capped ETF | iShares MSCI Colombia Capped ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 3,585,178,437 | $ | 305,818,064 | $ | 15,478,778 | ||||||
Affiliated (Note 2) | 7,712,408 | 387,434 | 429,091 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 3,592,890,845 | $ | 306,205,498 | $ | 15,907,869 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 5,452,161,645 | $ | 390,926,763 | $ | 17,075,422 | ||||||
Affiliated (Note 2) | 7,712,408 | 387,434 | 429,238 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 5,459,874,053 | 391,314,197 | 17,504,660 | |||||||||
Foreign currency, at valueb | 12,119,116 | — | 10,187 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 42,215,755 | 6,205,157 | 136,583 | |||||||||
Dividends | 45,111,885 | 275 | 3,708 | |||||||||
Capital shares sold | 233,431,515 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 5,792,752,324 | 397,519,629 | 17,655,138 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 281,689,511 | 6,228,376 | 149,474 | |||||||||
Collateral for securities on loan (Note 1) | — | — | 398,313 | |||||||||
Investment advisory fees (Note 2) | 2,430,139 | 185,855 | 8,198 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 284,119,650 | 6,414,231 | 555,985 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 5,508,632,674 | $ | 391,105,398 | $ | 17,099,153 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 6,398,825,116 | $ | 521,148,273 | $ | 27,988,429 | ||||||
Undistributed net investment income | 19,945,914 | 979,227 | 25,052 | |||||||||
Accumulated net realized loss | (2,778,321,276 | ) | (216,130,801 | ) | (12,511,048 | ) | ||||||
Net unrealized appreciation | 1,868,182,920 | 85,108,699 | 1,596,720 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 5,508,632,674 | $ | 391,105,398 | $ | 17,099,153 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 143,000,000 | 9,650,000 | 1,300,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 38.52 | $ | 40.53 | $ | 13.15 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $ —, $ — and $379,318, respectively. See Note 1. |
b | Cost of foreign currency: $12,287,802, $ — and $10,215, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 200 million and 25 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 41 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Israel Capped ETF | iShares MSCI Russia Capped ETF | iShares MSCI South Africa ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 114,133,740 | $ | 432,333,661 | $ | 503,511,604 | ||||||
Affiliated (Note 2) | 21,661,296 | 807,380 | 3,130,167 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 135,795,036 | $ | 433,141,041 | $ | 506,641,771 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 110,611,114 | $ | 428,980,278 | $ | 403,834,757 | ||||||
Affiliated (Note 2) | 21,665,104 | 807,380 | 3,131,094 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 132,276,218 | 429,787,658 | 406,965,851 | |||||||||
Foreign currency, at valueb | 92,177 | — | 424,616 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 4,260,567 | 10,917,981 | 1,009,254 | |||||||||
Due from custodian (Note 4) | 174,571 | — | — | |||||||||
Dividends and interest | 178,966 | 48,284 | 1,663 | |||||||||
Other | 37,998 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 137,020,497 | 440,753,923 | 408,401,384 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 4,416,409 | 11,065,963 | 1,036,328 | |||||||||
Collateral for securities on loan (Note 1) | 21,645,352 | — | 3,067,885 | |||||||||
Foreign taxes (Note 1) | 20,018 | — | — | |||||||||
Investment advisory fees (Note 2) | 51,367 | 213,861 | 192,626 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 26,133,146 | 11,279,824 | 4,296,839 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 110,887,351 | $ | 429,474,099 | $ | 404,104,545 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 171,731,028 | $ | 534,363,080 | $ | 631,961,490 | ||||||
Distributions in excess of net investment income | (413,054 | ) | (248,693 | ) | (7,183,066 | ) | ||||||
Accumulated net realized loss | (56,910,964 | ) | (101,288,829 | ) | (121,012,508 | ) | ||||||
Net unrealized depreciation | (3,519,659 | ) | (3,351,459 | ) | (99,661,371 | ) | ||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 110,887,351 | $ | 429,474,099 | $ | 404,104,545 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 2,200,000 | 13,650,000 | d | 7,300,000 | ||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 50.40 | $ | 31.46 | d | $ | 55.36 | |||||
|
|
|
|
|
|
a | Securities on loan with values of $20,876,083, $ — and $2,867,575, respectively. See Note 1. |
b | Cost of foreign currency: $88,770, $ — and $410,067, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 1 billion and 400 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Turkey ETF | iShares MSCI USA Equal Weighted ETF | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 633,491,678 | $ | 116,637,877 | ||||
Affiliated (Note 2) | 30,931,643 | 4,702,488 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 664,423,321 | $ | 121,340,365 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 417,610,051 | $ | 129,397,673 | ||||
Affiliated (Note 2) | 30,943,214 | 4,781,692 | ||||||
|
|
|
| |||||
Total fair value of investments | 448,553,265 | 134,179,365 | ||||||
Foreign currency, at valueb | 138,138 | — | ||||||
Cash | — | 2,421 | ||||||
Receivables: | ||||||||
Investment securities sold | — | 4,910,911 | ||||||
Dividends and interest | 133,060 | 178,289 | ||||||
Capital shares sold | — | 43,159 | ||||||
|
|
|
| |||||
Total Assets | 448,824,463 | 139,314,145 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | — | 5,089,530 | ||||||
Collateral for securities on loan (Note 1) | 30,658,886 | 4,185,918 | ||||||
Capital shares redeemed | 1,665 | — | ||||||
Investment advisory fees (Note 2) | 200,165 | 13,364 | ||||||
|
|
|
| |||||
Total Liabilities | 30,860,716 | 9,288,812 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 417,963,747 | $ | 130,025,333 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 711,045,161 | $ | 119,805,310 | ||||
Undistributed (distributions in excess of) net investment income | (161,757 | ) | 208,589 | |||||
Accumulated net realized loss | (77,053,247 | ) | (2,827,566 | ) | ||||
Net unrealized appreciation (depreciation) | (215,866,410 | ) | 12,839,000 | |||||
|
|
|
| |||||
NET ASSETS | $ | 417,963,747 | $ | 130,025,333 | ||||
|
|
|
| |||||
Shares outstandingc | 11,800,000 | 2,600,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 35.42 | $ | 50.01 | ||||
|
|
|
|
a | Securities on loan with values of $26,548,858 and $4,053,665, respectively. See Note 1. |
b | Cost of foreign currency: $134,492 and $ —, respectively. |
c | $0.001 par value, number of shares authorized: 200 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Brazil Capped ETF | iShares MSCI Chile Capped ETF | iShares MSCI Colombia Capped ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 68,553,875 | $ | 2,331,540 | $ | 171,371 | ||||||
Dividends — affiliated (Note 2) | 3,916 | 1,092 | 53 | |||||||||
Securities lending income — affiliated — net (Note 2) | — | — | 5,619 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 68,557,791 | 2,332,632 | 177,043 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 13,262,674 | 1,153,241 | 51,002 | |||||||||
Commitment fees (Note 6) | — | — | 46 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 13,262,674 | 1,153,241 | 51,048 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 55,295,117 | 1,179,391 | 125,995 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliatedb | 1,899,272 | (3,622,839 | ) | (171,332 | ) | |||||||
Investments — affiliated (Note 2) | — | — | 79 | |||||||||
Foreign currency transactions | 1,201,163 | (2,926 | ) | (3,180 | ) | |||||||
Realized gain distributions from affiliated funds | 124 | 61 | 3 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 3,100,559 | (3,625,704 | ) | (174,430 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 629,305,070 | 36,595,928 | 100,794 | |||||||||
Translation of assets and liabilities in foreign currencies | 924,243 | — | 17 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 630,229,313 | 36,595,928 | 100,811 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 633,329,872 | 32,970,224 | (73,619 | ) | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 688,624,989 | $ | 34,149,615 | $ | 52,376 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $9,006,164, $513,017 and $325, respectively. |
b | Net of foreign capital gains taxes of $ —, $2,698 and $ —, respectively. |
See notes to financial statements.
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Israel Capped ETF | iShares MSCI Russia Capped ETF | iShares MSCI South Africa ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 728,235 | $ | 3,345,787 | $ | 4,529,563 | ||||||
Dividends — affiliated (Note 2) | 103 | 1,650 | 286 | |||||||||
Securities lending income — affiliated — net (Note 2) | 117,673 | — | 13,803 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 846,011 | 3,347,437 | 4,543,652 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 294,367 | 1,231,260 | 1,225,805 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 294,367 | 1,231,260 | 1,225,805 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 551,644 | 2,116,177 | 3,317,847 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliatedb | (3,675,320 | ) | (16,752,221 | ) | (13,593,074 | ) | ||||||
Investments — affiliated (Note 2) | 1,242 | — | 437 | |||||||||
In-kind redemptions — unaffiliated | — | 700,967 | 6,014,084 | |||||||||
Foreign currency transactions | 2,935 | 39,895 | 9,214 | |||||||||
Realized gain distributions from affiliated funds | 1 | 103 | 14 | |||||||||
|
|
|
|
|
| |||||||
Net realized loss | (3,671,142 | ) | (16,011,256 | ) | (7,569,325 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investmentsc | 6,922,520 | 65,404,437 | 26,860,798 | |||||||||
Translation of assets and liabilities in foreign currencies | 1,605 | 5,391 | 47,758 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 6,924,125 | 65,409,828 | 26,908,556 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 3,252,983 | 49,398,572 | 19,339,231 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 3,804,627 | $ | 51,514,749 | $ | 22,657,078 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $174,610, $596,261 and $785,969, respectively. |
b | Net of foreign capital gains taxes of $22,767, $ — and $ —, respectively. |
c | Net of deferred foreign capital gains taxes of $4,205, $ — and $ —, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Turkey ETF | iShares MSCI USA Equal Weighted ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 279,211 | $ | 860,143 | ||||
Dividends — affiliated (Note 2) | 415 | 2,628 | ||||||
Securities lending income — affiliated — net (Note 2) | 971,129 | 10,966 | ||||||
|
|
|
| |||||
Total investment income | 1,250,755 | 873,737 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 1,076,672 | 66,391 | ||||||
|
|
|
| |||||
Total expenses | 1,076,672 | 66,391 | ||||||
|
|
|
| |||||
Net investment income | 174,083 | 807,346 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (3,119,088 | ) | (51,833 | ) | ||||
Investments — affiliated (Note 2) | 1,420 | 5,306 | ||||||
In-kind redemptions — unaffiliated | 2,789,437 | — | ||||||
Foreign currency transactions | (26,185 | ) | — | |||||
Realized gain distributions from affiliated funds | 21 | 6 | ||||||
|
|
|
| |||||
Net realized loss | (354,395 | ) | (46,521 | ) | ||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments | (15,592,812 | ) | 8,504,161 | |||||
Translation of assets and liabilities in foreign currencies | 5,734 | — | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | (15,587,078 | ) | 8,504,161 | |||||
|
|
|
| |||||
Net realized and unrealized gain (loss) | (15,941,473 | ) | 8,457,640 | |||||
|
|
|
| |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (15,767,390 | ) | $ | 9,264,986 | |||
|
|
|
|
a | Net of foreign withholding tax of $49,273 and $249, respectively. |
See notes to financial statements.
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Brazil Capped ETF | iShares MSCI Chile Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 55,295,117 | $ | 61,636,375 | $ | 1,179,391 | $ | 6,005,783 | ||||||||
Net realized gain (loss) | 3,100,559 | (257,295,439 | ) | (3,625,704 | ) | (31,725,027 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 630,229,313 | 1,230,865,300 | 36,595,928 | 42,114,948 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 688,624,989 | 1,035,206,236 | 34,149,615 | 16,395,704 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (49,289,352 | ) | (44,455,957 | ) | (155,088 | ) | (6,349,056 | ) | ||||||||
Return of capital | — | — | — | (332,847 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (49,289,352 | ) | (44,455,957 | ) | (155,088 | ) | (6,681,903 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 969,667,488 | 1,270,213,076 | 94,814,456 | 244,807,233 | ||||||||||||
Cost of shares redeemed | — | (350,468,855 | ) | (64,947,817 | ) | (161,813,177 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 969,667,488 | 919,744,221 | 29,866,639 | 82,994,056 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 1,609,003,125 | 1,910,494,500 | 63,861,166 | 92,707,857 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 3,899,629,549 | 1,989,135,049 | 327,244,232 | 234,536,375 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 5,508,632,674 | $ | 3,899,629,549 | $ | 391,105,398 | $ | 327,244,232 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 19,945,914 | $ | 13,940,149 | $ | 979,227 | $ | (45,076 | ) | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 26,650,000 | 50,800,000 | 2,450,000 | 7,000,000 | ||||||||||||
Shares redeemed | — | (14,950,000 | ) | (1,700,000 | ) | (4,850,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 26,650,000 | 35,850,000 | 750,000 | 2,150,000 | ||||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Colombia Capped ETF | iShares MSCI Israel Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 125,995 | $ | 344,029 | $ | 551,644 | $ | 1,606,791 | ||||||||
Net realized loss | (174,430 | ) | (5,180,842 | ) | (3,671,142 | ) | (18,092,057 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 100,811 | 7,790,295 | 6,924,125 | 16,513,428 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 52,376 | 2,953,482 | 3,804,627 | 28,162 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (89,437 | ) | (224,626 | ) | (970,066 | ) | (2,029,827 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (89,437 | ) | (224,626 | ) | (970,066 | ) | (2,029,827 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | — | 6,132,574 | 14,260,227 | 117,163,288 | ||||||||||||
Cost of shares redeemed | — | (5,975,872 | ) | — | (147,653,928 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | — | 156,702 | 14,260,227 | (30,490,640 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (37,061 | ) | 2,885,558 | 17,094,788 | (32,492,305 | ) | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 17,136,214 | 14,250,656 | 93,792,563 | 126,284,868 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 17,099,153 | $ | 17,136,214 | $ | 110,887,351 | $ | 93,792,563 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 25,052 | $ | (11,506 | ) | $ | (413,054 | ) | $ | 5,368 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | — | 550,000 | 300,000 | 2,400,000 | ||||||||||||
Shares redeemed | — | (450,000 | ) | — | (3,000,000 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | — | 100,000 | 300,000 | (600,000 | ) | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Russia Capped ETF | iShares MSCI South Africa ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 2,116,177 | $ | 10,560,615 | $ | 3,317,847 | $ | 7,053,263 | ||||||||
Net realized loss | (16,011,256 | ) | (29,630,473 | ) | (7,569,325 | ) | (46,182,845 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 65,409,828 | 57,964,293 | 26,908,556 | 2,637,086 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 51,514,749 | 38,894,435 | 22,657,078 | (36,492,496 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (10,060,026 | ) | (7,677,207 | ) | (4,122,683 | ) | (15,854,819 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (10,060,026 | ) | (7,677,207 | ) | (4,122,683 | ) | (15,854,819 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 72,830,730 | 139,225,914 | 58,143,496 | 340,977,105 | ||||||||||||
Cost of shares redeemed | (4,439,906 | ) | (61,726,895 | ) | (79,016,357 | ) | (255,533,050 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 68,390,824 | 77,499,019 | (20,872,861 | ) | 85,444,055 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 109,845,547 | 108,716,247 | (2,338,466 | ) | 33,096,740 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 319,628,552 | 210,912,305 | 406,443,011 | 373,346,271 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 429,474,099 | $ | 319,628,552 | $ | 404,104,545 | $ | 406,443,011 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (248,693 | ) | $ | 7,695,156 | $ | (7,183,066 | ) | $ | (6,378,230 | ) | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,350,000 | 5,375,000 | 1,100,000 | 6,500,000 | ||||||||||||
Shares redeemed | (150,000 | ) | (2,350,000 | ) | (1,500,000 | ) | (5,300,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 2,200,000 | 3,025,000 | (400,000 | ) | 1,200,000 | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
FINANCIAL STATEMENTS | 49 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Turkey ETF | iShares MSCI USA Equal Weighted ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 174,083 | $ | 8,419,377 | $ | 807,346 | $ | 884,610 | ||||||||
Net realized gain (loss) | (354,395 | ) | (56,753,736 | ) | (46,521 | ) | 101,408 | |||||||||
Net change in unrealized appreciation/depreciation | (15,587,078 | ) | 45,103,244 | 8,504,161 | 4,112,797 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (15,767,390 | ) | (3,231,115 | ) | 9,264,986 | 5,098,815 | ||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (509,798 | ) | (8,065,957 | ) | (762,526 | ) | (944,600 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (509,798 | ) | (8,065,957 | ) | (762,526 | ) | (944,600 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 93,814,766 | 189,059,577 | 47,849,488 | 39,301,537 | ||||||||||||
Cost of shares redeemed | (27,798,332 | ) | (180,762,552 | ) | — | (14,414,232 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 66,016,434 | 8,297,025 | 47,849,488 | 24,887,305 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 49,739,246 | (3,000,047 | ) | 56,351,948 | 29,041,520 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 368,224,501 | 371,224,548 | 73,673,385 | 44,631,865 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 417,963,747 | $ | 368,224,501 | $ | 130,025,333 | $ | 73,673,385 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (161,757 | ) | $ | 173,958 | $ | 208,589 | $ | 163,769 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,900,000 | 4,600,000 | 1,000,000 | 900,000 | ||||||||||||
Shares redeemed | (750,000 | ) | (4,650,000 | ) | — | (350,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 2,150,000 | (50,000 | ) | 1,000,000 | 550,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Brazil Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 33.52 | $ | 24.71 | $ | 53.61 | $ | 42.52 | $ | 52.61 | $ | 65.00 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.45 | 0.63 | 1.00 | 1.56 | 1.59 | 1.73 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 4.95 | 8.62 | (28.87 | ) | 11.08 | (10.32 | ) | (12.64 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 5.40 | 9.25 | (27.87 | ) | 12.64 | (8.73 | ) | (10.91 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.40 | ) | (0.44 | ) | (1.03 | ) | (1.55 | ) | (1.36 | ) | (0.56 | ) | ||||||||||||
Return of capital | — | — | — | — | — | (0.92 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.40 | ) | (0.44 | ) | (1.03 | ) | (1.55 | ) | (1.36 | ) | (1.48 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 38.52 | $ | 33.52 | $ | 24.71 | $ | 53.61 | $ | 42.52 | $ | 52.61 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 16.36 | %c | 38.22 | % | (52.49 | )% | 30.33 | % | (16.85 | )% | (16.79 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 5,508,633 | $ | 3,899,630 | $ | 1,989,135 | $ | 5,449,685 | $ | 4,983,630 | $ | 7,370,617 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.63 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.60 | % | 2.41 | % | 2.73 | % | 3.37 | % | 3.02 | % | 2.92 | % | ||||||||||||
Portfolio turnover ratee | 5 | %c | 18 | % | 63 | % | 54 | % | 56 | % | 7 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | Portfolio turnover rates include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31,2014, August 31, 2013 and August 31, 2012, were 5%, 4%, 48%, 11%, 20% and 6%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 51 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Chile Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 36.77 | $ | 34.75 | $ | 43.52 | $ | 47.70 | $ | 60.31 | $ | 67.11 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.12 | 0.78 | 0.66 | 0.69 | 0.68 | 0.97 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 3.65 | 2.03 | (8.81 | ) | (4.18 | ) | (12.58 | ) | (6.80 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 3.77 | 2.81 | (8.15 | ) | (3.49 | ) | (11.90 | ) | (5.83 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.01 | ) | (0.75 | ) | (0.62 | ) | (0.69 | ) | (0.68 | ) | (0.92 | ) | ||||||||||||
Return of capital | — | (0.04 | ) | — | — | (0.03 | ) | (0.05 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.01 | ) | (0.79 | ) | (0.62 | ) | (0.69 | ) | (0.71 | ) | (0.97 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 40.53 | $ | 36.77 | $ | 34.75 | $ | 43.52 | $ | 47.70 | $ | 60.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 10.27 | %c | 8.17 | % | (18.85 | )% | (7.40 | )% | (19.87 | )% | (8.68 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 391,105 | $ | 327,244 | $ | 234,536 | $ | 352,499 | $ | 364,890 | $ | 548,797 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.64 | % | 2.20 | % | 1.64 | % | 1.49 | % | 1.12 | % | 1.55 | % | ||||||||||||
Portfolio turnover ratee | 20 | %c | 73 | % | 71 | % | 91 | % | 34 | % | 48 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | Portfolio turnover rates include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012 were 3%, 11%, 10%, 11%, 16% and 20%, respectively. See Note 4. |
See notes to financial statements.
52 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Colombia Capped ETF | ||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Period from to Aug. 31, 2013 | ||||||||||||||||
Net asset value, beginning of period | $ | 13.18 | $ | 11.88 | $ | 28.22 | $ | 25.98 | $ | 25.28 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Income from investment operations: | ||||||||||||||||||||
Net investment incomeb | 0.10 | 0.25 | 0.46 | c | 0.67 | 0.03 | ||||||||||||||
Net realized and unrealized gain (loss)d | (0.06 | ) | 1.23 | (16.34 | ) | 2.24 | 0.67 | |||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total from investment operations | 0.04 | 1.48 | (15.88 | ) | 2.91 | 0.70 | ||||||||||||||
|
| �� |
|
|
|
|
|
|
|
| ||||||||||
Less distributions from: | ||||||||||||||||||||
Net investment income | (0.07 | ) | (0.18 | ) | (0.45 | ) | (0.63 | ) | — | |||||||||||
Net realized gain | — | — | — | (0.03 | ) | — | ||||||||||||||
Return of capital | — | — | (0.01 | ) | (0.01 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total distributions | (0.07 | ) | (0.18 | ) | (0.46 | ) | (0.67 | ) | – | |||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Net asset value, end of period | $ | 13.15 | $ | 13.18 | $ | 11.88 | $ | 28.22 | $ | 25.98 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total return | 0.31 | %e | 12.49 | % | (56.73 | )% | 11.44 | % | 2.77 | %e | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||
Net assets, end of period (000s) | $ | 17,099 | $ | 17,136 | $ | 14,251 | $ | 25,396 | $ | 18,188 | ||||||||||
Ratio of expenses to average net assetsf | 0.61 | % | 0.61 | % | 0.61 | % | 0.61 | % | 0.61 | % | ||||||||||
Ratio of net investment income to average net assetsf | 1.51 | % | 2.16 | % | 2.60 | %c | 2.54 | % | 0.61 | % | ||||||||||
Portfolio turnover rateg | 10 | %e | 68 | % | 86 | % | 34 | % | 2 | %e |
a | Commencement of operations. |
b | Based on average shares outstanding throughout each period. |
c | Includes a distribution from Ecopetrol SA. Excluding such distribution, the net investment income would have been $0.33 per share and 1.87% of average net assets. |
d | 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. |
e | Not annualized. |
f | Annualized for periods of less than one year. |
g | Portfolio turnover rates include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014 and for the period ended August 31, 2013 were 10%, 32%, 49%, 33% and 2%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 53 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Israel Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 49.36 | $ | 50.51 | $ | 50.69 | $ | 42.85 | $ | 37.25 | $ | 45.89 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.28 | 0.71 | 1.23 | 0.87 | 0.95 | 1.12 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.23 | (0.87 | ) | (0.34 | ) | 7.95 | 5.68 | (8.66 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.51 | (0.16 | ) | 0.89 | 8.82 | 6.63 | (7.54 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.47 | ) | (0.99 | ) | (1.07 | ) | (0.98 | ) | (1.03 | ) | (1.07 | ) | ||||||||||||
Return of capital | — | — | — | — | — | (0.03 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.47 | ) | (0.99 | ) | (1.07 | ) | (0.98 | ) | (1.03 | ) | (1.10 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 50.40 | $ | 49.36 | $ | 50.51 | $ | 50.69 | $ | 42.85 | $ | 37.25 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 3.13 | %c | (0.23 | )% | 1.80 | % | 20.67 | % | 17.82 | % | (16.52 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 110,887 | $ | 93,793 | $ | 126,285 | $ | 121,645 | $ | 70,710 | $ | 68,912 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.17 | % | 1.46 | % | 2.45 | % | 1.74 | % | 2.20 | % | 2.75 | % | ||||||||||||
Portfolio turnover ratee | 14 | %c | 46 | % | 14 | % | 15 | % | 14 | % | 20 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
54 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Russia Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 27.92 | $ | 25.03 | $ | 36.68 | $ | 39.68 | $ | 42.31 | $ | 50.26 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.17 | 1.06 | 0.94 | 1.26 | 1.24 | 1.00 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 4.15 | 2.65 | (11.27 | ) | (4.01 | ) | (2.71 | ) | (7.98 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.32 | 3.71 | (10.33 | ) | (2.75 | ) | (1.47 | ) | (6.98 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.78 | ) | (0.82 | ) | (1.32 | ) | (0.25 | ) | (1.16 | ) | (0.97 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.78 | ) | (0.82 | ) | (1.32 | ) | (0.25 | ) | (1.16 | ) | (0.97 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 31.46 | $ | 27.92 | $ | 25.03 | $ | 36.68 | $ | 39.68 | $ | 42.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 15.38 | %d | 15.62 | % | (27.57 | )% | (7.00 | )% | (3.40 | )% | (13.75 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 429,474 | $ | 319,629 | $ | 210,912 | $ | 289,775 | $ | 310,511 | $ | 147,026 | ||||||||||||
Ratio of expenses to average net assetse | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.07 | % | 4.17 | % | 3.33 | % | 3.14 | % | 2.87 | % | 2.22 | % | ||||||||||||
Portfolio turnover ratef | 10 | %d | 23 | % | 19 | % | 15 | % | 14 | % | 16 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 | 55 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI South Africa ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 52.78 | $ | 57.44 | $ | 70.77 | $ | 58.88 | $ | 64.65 | $ | 69.06 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.45 | 1.02 | 1.28 | 1.57 | 1.32 | 2.10 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.68 | (3.24 | ) | (13.24 | ) | 11.86 | (5.31 | ) | (4.41 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 3.13 | (2.22 | ) | (11.96 | ) | 13.43 | (3.99 | ) | (2.31 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.55 | ) | (2.44 | ) | (1.37 | ) | (1.54 | ) | (1.78 | ) | (2.10 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.55 | ) | (2.44 | ) | (1.37 | ) | (1.54 | ) | (1.78 | ) | (2.10 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 55.36 | $ | 52.78 | $ | 57.44 | $ | 70.77 | $ | 58.88 | $ | 64.65 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.00 | %c | (3.64 | )% | (17.07 | )% | 23.13 | % | (6.35 | )% | (3.17 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 404,105 | $ | 406,443 | $ | 373,346 | $ | 587,396 | $ | 547,569 | $ | 471,922 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.69 | % | 1.96 | % | 1.94 | % | 2.40 | % | 2.08 | % | 3.26 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 12 | % | 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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
56 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Turkey ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 38.16 | $ | 38.27 | $ | 55.72 | $ | 49.00 | $ | 56.13 | $ | 47.73 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.02 | 0.96 | 1.13 | b | 0.85 | 1.07 | 0.86 | |||||||||||||||||
Net realized and unrealized gain (loss)c | (2.71 | ) | (0.17 | ) | (17.49 | ) | 6.75 | (7.08 | ) | 8.70 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (2.69 | ) | 0.79 | (16.36 | ) | 7.60 | (6.01 | ) | 9.56 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.05 | ) | (0.90 | ) | (1.09 | ) | (0.88 | ) | (1.12 | ) | (1.16 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.05 | ) | (0.90 | ) | (1.09 | ) | (0.88 | ) | (1.12 | ) | (1.16 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 35.42 | $ | 38.16 | $ | 38.27 | $ | 55.72 | $ | 49.00 | $ | 56.13 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (7.03 | )%d | 1.98 | % | (29.69 | )% | 15.52 | % | (11.05 | )% | 20.37 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 417,964 | $ | 368,225 | $ | 371,225 | $ | 515,367 | $ | 436,076 | $ | 561,284 | ||||||||||||
Ratio of expenses to average net assetse | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.10 | % | 2.45 | % | 2.31 | %b | 1.64 | % | 1.67 | % | 1.75 | % | ||||||||||||
Portfolio turnover ratef | 0 | %d,g | 6 | % | 6 | % | 8 | % | 9 | % | 9 | % |
a | Based on average shares outstanding throughout each period. |
b | Includes a special distribution from Turkcell Iletisim Hizmetleri AS. Excluding such special distribution, the net investment income would have been $0.76 per share and 1.55% of average net assets. |
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 | Rounds to less than 1%. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 57 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI USA Equal Weighted ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 46.05 | $ | 42.51 | $ | 43.08 | $ | 35.26 | $ | 30.31 | $ | 26.17 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.43 | 0.77 | 0.80 | 0.71 | 0.69 | 0.59 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 3.95 | 3.63 | (0.57 | ) | 8.01 | 4.96 | 3.94 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.38 | 4.40 | 0.23 | 8.72 | 5.65 | 4.53 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.42 | ) | (0.86 | ) | (0.80 | ) | (0.90 | ) | (0.70 | ) | (0.39 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.42 | ) | (0.86 | ) | (0.80 | ) | (0.90 | ) | (0.70 | ) | (0.39 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 50.01 | $ | 46.05 | $ | 42.51 | $ | 43.08 | $ | 35.26 | $ | 30.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 9.57 | %c | 10.54 | % | 0.48 | % | 24.98 | % | 18.85 | % | 17.44 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 130,025 | $ | 73,673 | $ | 44,632 | $ | 47,391 | $ | 179,830 | $ | 145,470 | ||||||||||||
Ratio of expenses to average net assetsd | 0.15 | % | 0.15 | % | 0.15 | % | 0.15 | % | 0.15 | % | 0.15 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.82 | % | 1.79 | % | 1.82 | % | 1.82 | % | 2.10 | % | 2.04 | % | ||||||||||||
Portfolio turnover ratee | 14 | %c | 28 | % | 39 | % | 6 | % | 5 | % | 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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
58 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |||
MSCI Brazil Capped | Non-diversified | |||
MSCI Chile Capped | Non-diversified | |||
MSCI Colombia Capped | Non-diversified | |||
MSCI Israel Capped | Non-diversified |
iShares ETF | Diversification Classification | |||
MSCI Russia Capped | Non-diversified | |||
MSCI South Africa | Non-diversified | |||
MSCI Turkey | Non-diversified | |||
MSCI USA Equal Weighted | 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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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”). |
NOTESTO FINANCIAL STATEMENTS | 59 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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 Company’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.
60 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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
NOTESTO FINANCIAL STATEMENTS | 61 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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 February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Colombia Capped | ||||||||||||
Goldman Sachs & Co. | $ | 379,318 | $ | 379,318 | $ | — | ||||||
|
|
|
|
|
| |||||||
MSCI Israel Capped | ||||||||||||
Barclays Capital Inc. | $ | 440,679 | $ | 440,679 | $ | — | ||||||
Citigroup Global Markets Inc. | 1,785,618 | 1,785,618 | — | |||||||||
Credit Suisse Securities (USA) LLC | 372,912 | 372,912 | — | |||||||||
Deutsche Bank Securities Inc. | 5,676,247 | 5,676,247 | — | |||||||||
62 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
Goldman Sachs & Co. | $ | 525,172 | $ | 525,172 | $ | — | ||||||
JPMorgan Securities LLC | 8,652,187 | 8,652,187 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 50,242 | 50,082 | (160 | ) | ||||||||
Nomura Securities International Inc. | 236,740 | 236,740 | — | |||||||||
UBS AG | 2,138,526 | 2,138,526 | — | |||||||||
UBS Securities LLC | 496,656 | 496,656 | — | |||||||||
Wells Fargo Securities LLC | 501,104 | 499,507 | (1,597 | ) | ||||||||
|
|
|
|
|
| |||||||
$ | 20,876,083 | $ | 20,874,326 | $ | (1,757 | ) | ||||||
|
|
|
|
|
| |||||||
MSCI South Africa | ||||||||||||
HSBC Bank PLC | $ | 2,867,575 | $ | 2,867,575 | $ | — | ||||||
|
|
|
|
|
| |||||||
MSCI Turkey | ||||||||||||
Barclays Capital Inc. | $ | 3,353,224 | $ | 3,353,224 | $ | — | ||||||
Citigroup Global Markets Inc. | 411,056 | 411,056 | — | |||||||||
Credit Suisse Securities (USA) LLC | 8,536,372 | 8,536,372 | — | |||||||||
Deutsche Bank Securities Inc. | 5,645,390 | 5,645,390 | — | |||||||||
Goldman Sachs & Co. | 318,911 | 268,114 | (50,797 | ) | ||||||||
JPMorgan Securities LLC | 1,321,569 | 1,321,569 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 348,828 | 348,828 | — | |||||||||
Morgan Stanley & Co. LLC | 1,937,758 | 1,937,758 | — | |||||||||
UBS AG | 942,423 | 942,423 | — | |||||||||
UBS Securities LLC | 3,733,327 | 3,733,327 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 26,548,858 | $ | 26,498,061 | $ | (50,797 | ) | ||||||
|
|
|
|
|
| |||||||
MSCI USA Equal Weighted | ||||||||||||
Barclays Capital Inc. | $ | 51,021 | $ | 51,021 | $ | — | ||||||
BNP Paribas New York Branch | 8,450 | 8,450 | — | |||||||||
BNP Paribas Prime Brokerage International Ltd. | 148,090 | 148,090 | — | |||||||||
Citigroup Global Markets Inc. | 636,339 | 636,339 | — | |||||||||
Credit Suisse Securities (USA) LLC | 150,031 | 150,031 | — | |||||||||
Deutsche Bank Securities Inc. | 759,582 | 759,582 | — | |||||||||
Goldman Sachs & Co. | 1,057,110 | 1,057,110 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 492,671 | 492,671 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 236,861 | 236,861 | — | |||||||||
National Financial Services LLC | 1,034 | 1,034 | — | |||||||||
Nomura Securities International Inc. | 28,000 | 28,000 | — | |||||||||
Scotia Capital (USA) Inc. | 9,568 | 9,568 | — | |||||||||
State Street Bank & Trust Company | 470,702 | 470,702 | — | |||||||||
UBS AG | 4,206 | 4,206 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 4,053,665 | $ | 4,053,665 | $ | — | |||||||
|
|
|
|
|
| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s statement of assets and liabilities. |
b | Additional collateral is delivered to the Funds 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. |
NOTESTO FINANCIAL STATEMENTS | 63 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
2. | INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Pursuant to an Investment Advisory Agreement with the Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
For its investment advisory services to each of the iShares MSCI Brazil Capped, iShares MSCI Chile Capped, iShares MSCI Israel Capped, iShares MSCI Russia Capped, iShares MSCI South Africa and iShares MSCI Turkey ETFs, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.74 | % | First $2 billion | |||
0.69 | Over $2 billion, up to and including $4 billion | ||||
0.64 | Over $4 billion, up to and including $8 billion | ||||
0.57 | Over $8 billion, up to and including $16 billion | ||||
0.51 | Over $16 billion, up to and including $24 billion | ||||
0.48 | Over $24 billion, up to and including $32 billion | ||||
0.45 | Over $32 billion |
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 | |||
MSCI Colombia Capped | 0.61 | % | ||
MSCI USA Equal Weighted | 0.15 |
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
64 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, the iShares MSCI USA Equal Weighted ETF (the “Group 1 Fund”), retains 71.5% of securities lending income and the amount retained can never be less than 65% of the total of securities lending income plus the collateral investment fees.
Pursuant to a securities lending agreement, the iShares MSCI Brazil Capped, iShares MSCI Chile Capped, iShares MSCI Colombia Capped, iShares MSCI Israel Capped, iShares MSCI Russia Capped, iShares MSCI South Africa and iShares MSCI Turkey ETFs (the “Group 2 Funds”), retain 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 Group 1 Fund, pursuant to a securities lending agreement, will retain for the remainder of that calendar year 75% of securities lending income and the amount retained can never be less than 65% of the total of securities lending income plus the collateral investment fees. Each Group 2 Fund will receive 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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Colombia Capped | $ | 1,212 | ||
MSCI Israel Capped | 25,599 | |||
MSCI South Africa | 3,416 | |||
MSCI Turkey | 201,488 | |||
MSCI USA Equal Weighted | 4,505 |
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Israel Capped | $ | 4,571,537 | $ | 1,184,008 | ||||
MSCI Russia Capped | 2,718,540 | 294,743 | ||||||
MSCI USA Equal Weighted | 2,648,883 | 3,520,401 |
NOTESTO FINANCIAL STATEMENTS | 65 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Brazil Capped | $ | 1,133,516,489 | $ | 199,863,249 | ||||
MSCI Chile Capped | 106,999,016 | 75,889,791 | ||||||
MSCI Colombia Capped | 1,714,046 | 1,696,429 | ||||||
MSCI Israel Capped | 13,105,140 | 13,457,458 | ||||||
MSCI Russia Capped | 48,577,904 | 38,190,317 | ||||||
MSCI South Africa | 9,603,601 | 9,875,657 | ||||||
MSCI Turkey | 1,711,059 | 1,897,920 | ||||||
MSCI USA Equal Weighted | 13,316,557 | 12,556,106 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Israel Capped | $ | 14,218,380 | $ | — | ||||
MSCI Russia Capped | 54,412,851 | 3,702,575 | ||||||
MSCI South Africa | 58,019,373 | 78,927,904 | ||||||
MSCI Turkey | 93,652,614 | 27,769,250 | ||||||
MSCI USA Equal Weighted | 47,439,780 | — |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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
66 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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.
The Board authorized a one-for-two reverse stock split for the iShares MSCI Russia Capped ETF, effective after the close of trading on November 4, 2016. The impact of the stock split was to decrease the number of shares outstanding by a factor of two, while increasing the NAV per share by a factor of two, resulting in no effect on the net assets of the Fund. The financial statements for the Fund have been adjusted to reflect the reverse stock split.
5. | 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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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 a 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.
When a fund concentrates its investments in issuers located in a single country, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance.
NOTESTO FINANCIAL STATEMENTS | 67 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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
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.
6. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, the 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 | Expiring 2019 | Total | |||||||||||||||
MSCI Brazil Capped | $ | 1,852,610,863 | $ | — | $ | 198,226,310 | $ | — | $ | 2,050,837,173 | ||||||||||
MSCI Chile Capped | 136,278,156 | 1,886,881 | 11,712,090 | 976,991 | 150,854,118 | |||||||||||||||
MSCI Colombia Capped | 2,558,346 | — | — | — | 2,558,346 |
68 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF | Non- Expiring a | Expiring 2017 | Expiring 2018 | Expiring 2019 | Total | |||||||||||||||
MSCI Israel Capped | $ | 19,023,801 | $ | 784,479 | $ | 10,801,191 | $ | 7,130,249 | $ | 37,739,720 | ||||||||||
MSCI Russia Capped | 48,854,119 | — | — | — | 48,854,119 | |||||||||||||||
MSCI South Africa | 50,591,544 | 15,339,464 | 14,856,365 | 6,137,142 | 86,924,515 | |||||||||||||||
MSCI Turkey | 43,587,314 | 720,636 | 5,982,737 | 3,859,184 | 54,149,871 | |||||||||||||||
MSCI USA Equal Weighted | 1,654,423 | — | — | — | 1,654,423 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
7. | LINE OF CREDIT |
The iShares MSCI Colombia Capped ETF, along with certain other iShares funds, are parties to a $250 million credit agreement with State Street Bank and Trust Company, which expires on October 25, 2017. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings. The credit agreement has the following terms: a commitment fee of 0.20% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) the one-month LIBOR (not less than zero) plus 1.00% per annum or (b) the U.S. Federal Funds rate (not less than zero) plus 1.00% per annum on amounts borrowed. The commitment fee is allocated to each fund participating in the credit agreement based on each fund’s pro-rata share of the aggregate average daily value of assets invested in local securities of certain foreign markets.
The Fund did not borrow under the credit agreement during the six months ended February 28, 2017.
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 | 69 |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
MSCI Brazil Capped | $ | 0.273688 | $ | — | $ | 0.121734 | $ | 0.395422 | 69 | % | — | % | 31 | % | 100 | % | ||||||||||||||||
MSCI Colombia Capped | 0.057753 | — | 0.011045 | 0.068798 | 84 | — | 16 | 100 | ||||||||||||||||||||||||
MSCI Israel Capped | 0.394059 | — | 0.079144 | 0.473203 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
MSCI Russia Capped | 0.646460 | — | 0.133387 | 0.779847 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
MSCI South Africa | 0.487220 | — | 0.062471 | 0.549691 | 89 | — | 11 | 100 | ||||||||||||||||||||||||
MSCI Turkey ETF | 0.047180 | — | 0.004056 | 0.051236 | 92 | — | 8 | 100 | ||||||||||||||||||||||||
MSCI USA Equal Weighted | 0.373305 | — | 0.042383 | 0.415688 | 90 | — | 10 | 100 |
70 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-804-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Edge MSCI Min Vol Global ETF | ACWV | NYSE Arca |
Ø | iShares MSCI Australia ETF | EWA | NYSE Arca |
Ø | iShares MSCI Canada ETF | EWC | NYSE Arca |
Ø | iShares MSCI Japan ETF | EWJ | NYSE Arca |
Ø | iShares MSCI Mexico Capped ETF | EWW | NYSE Arca |
Ø | iShares MSCI South Korea Capped ETF | EWY | NYSE Arca |
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Table of Contents
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
Performance as of February 28, 2017
The iShares Edge MSCI Min Vol Global ETF (the “Fund”) seeks to track the investment results of an index composed of developed and emerging market equities that, in the aggregate, have lower volatility characteristics relative to the broader developed and emerging equity markets, as represented by the MSCI ACWI Minimum Volatility (USD) Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 2.42%, net of fees, while the total return for the Index was 2.35%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 13.18% | 12.81% | 12.99% | 13.18% | 12.81% | 12.99% | ||||||||||||||||||||||
5 Years | 9.98% | 9.87% | 9.68% | 60.90% | 60.13% | 58.74% | ||||||||||||||||||||||
Since Inception | 10.71% | 10.66% | 10.43% | 72.65% | 72.19% | 70.34% |
The inception date of the Fund was 10/18/11. The first day of secondary market trading was 10/20/11.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,024.20 | $ | 1.00 | $ | 1,000.00 | $ | 1,023.80 | $ | 1.00 | 0.20% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Health Care | 16.35 | % | ||
Consumer Staples | 14.54 | |||
Financials | 13.74 | |||
Information Technology | 11.00 | |||
Industrials | 8.96 | |||
Telecommunication Services | 8.31 | |||
Utilities | 8.29 | |||
Consumer Discretionary | 8.19 | |||
Real Estate | 6.07 | |||
Materials | 2.63 | |||
Energy | 1.92 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
United States | 57.46 | % | ||
Japan | 12.74 | |||
Switzerland | 4.59 | |||
Taiwan | 3.96 | |||
Canada | 3.63 | |||
Hong Kong | 3.38 | |||
China | 2.82 | |||
United Kingdom | 1.78 | |||
Singapore | 0.99 | |||
Denmark | 0.97 | |||
|
| |||
TOTAL | 92.32 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI AUSTRALIA ETF
Performance as of February 28, 2017
The iShares MSCI Australia ETF (the “Fund”) seeks to track the investment results of an index composed of Australian equities, as represented by the MSCI Australia Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 11.42%, net of fees, while the total return for the Index was 11.59%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 32.53% | 32.12% | 33.05% | 32.53% | 32.12% | 33.05% | ||||||||||||||||||||||
5 Years | 3.14% | 3.38% | 3.53% | 16.69% | 18.10% | 18.93% | ||||||||||||||||||||||
10 Years | 3.70% | 3.62% | 3.89% | 43.86% | 42.67% | 46.54% |
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,114.20 | $ | 2.57 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 43.82 | % | ||
Materials | 15.55 | |||
Real Estate | 8.67 | |||
Consumer Staples | 7.60 | |||
Health Care | 6.61 | |||
Industrials | 5.15 | |||
Energy | 4.68 | |||
Utilities | 2.79 | |||
Consumer Discretionary | 2.69 | |||
Telecommunication Services | 1.95 | |||
Information Technology | 0.49 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Commonwealth Bank of Australia | 11.22 | % | ||
Westpac Banking Corp. | 8.92 | |||
Australia & New Zealand Banking Group Ltd. | 7.16 | |||
National Australia Bank Ltd. | 6.73 | |||
BHP Billiton Ltd. | 6.35 | |||
CSL Ltd. | 4.25 | |||
Wesfarmers Ltd. | 3.82 | |||
Woolworths Ltd. | 2.63 | |||
Macquarie Group Ltd. | 2.10 | |||
Rio Tinto Ltd. | 2.08 | |||
|
| |||
TOTAL | 55.26 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI CANADA ETF
Performance as of February 28, 2017
The iShares MSCI Canada ETF (the “Fund”) seeks to track the investment results of an index composed of Canadian equities, as represented by the MSCI Canada Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.46%, net of fees, while the total return for the Index was 6.58%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 25.37% | 25.66% | 25.67% | 25.37% | 25.66% | 25.67% | ||||||||||||||||||||||
5 Years | 0.38% | 0.49% | 0.56% | 1.94% | 2.47% | 2.84% | ||||||||||||||||||||||
10 Years | 2.47% | 2.43% | 2.68% | 27.60% | 27.09% | 30.23% |
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,064.60 | $ | 2.51 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 43.04 | % | ||
Energy | 22.82 | |||
Materials | 10.61 | |||
Industrials | 7.15 | |||
Consumer Discretionary | 4.80 | |||
Consumer Staples | 4.15 | |||
Information Technology | 2.42 | |||
Telecommunication Services | 2.19 | |||
Utilities | 1.79 | |||
Real Estate | 0.68 | |||
Health Care | 0.35 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Royal Bank of Canada | 8.66 | % | ||
Toronto-Dominion Bank (The) | 7.68 | |||
Bank of Nova Scotia (The) | 5.60 | |||
Enbridge Inc. | 4.84 | |||
Canadian National Railway Co. | 4.27 | |||
Suncor Energy Inc. | 4.15 | |||
Bank of Montreal | 3.92 | |||
TransCanada Corp. | 3.17 | |||
Manulife Financial Corp. | 2.81 | |||
Canadian Imperial Bank of Commerce | 2.78 | |||
|
| |||
TOTAL | 47.88 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI JAPAN ETF
Performance as of February 28, 2017
The iShares MSCI Japan ETF (the “Fund”) seeks to track the investment results of an index composed of Japanese equities, as represented by the MSCI Japan Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.17%, net of fees, while the total return for the Index was 6.38%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 19.92% | 19.76% | 20.29% | 19.92% | 19.76% | 20.29% | ||||||||||||||||||||||
5 Years | 6.77% | 6.74% | 7.19% | 38.77% | 38.57% | 41.47% | ||||||||||||||||||||||
10 Years | 0.07% | 0.09% | 0.53% | 0.75% | 0.91% | 5.48% |
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,061.70 | $ | 2.50 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Industrials | 20.26 | % | ||
Consumer Discretionary | 20.22 | |||
Financials | 14.21 | |||
Information Technology | 10.96 | |||
Health Care | 7.53 | |||
Consumer Staples | 7.41 | |||
Materials | 6.51 | |||
Telecommunication Services | 5.65 | |||
Real Estate | 4.34 | |||
Utilities | 1.98 | |||
Energy | 0.93 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Toyota Motor Corp. | 4.81 | % | ||
Mitsubishi UFJ Financial Group Inc. | 2.74 | |||
SoftBank Group Corp. | 2.04 | |||
Sumitomo Mitsui Financial Group Inc. | 1.73 | |||
Honda Motor Co. Ltd. | 1.66 | |||
KDDI Corp. | 1.57 | |||
Mizuho Financial Group Inc. | 1.47 | |||
Sony Corp. | 1.25 | |||
FANUC Corp. | 1.23 | |||
Keyence Corp. | 1.22 | |||
|
| |||
TOTAL | 19.72 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI MEXICO CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI Mexico Capped ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of Mexican equities, as represented by the MSCI Mexico Investable Market Index 25/50 (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -7.76%, net of fees, while the total return for the Index was -7.63%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | (3.27)% | (3.46)% | (2.93)% | (3.27)% | (3.46)% | (2.93)% | ||||||||||||||||||||||
5 Years | (3.36)% | (3.37)% | (3.30)% | (15.70)% | (15.73)% | (15.46)% | ||||||||||||||||||||||
10 Years | 0.77% | 0.78% | 0.53% | 7.96% | 8.09% | 5.43% |
Index performance through November 30, 2007 reflects the performance of the MSCI Mexico Index. Index performance beginning on December 1, 2007 through February 11, 2013 reflects the performance of the MSCI Mexico Investable Market Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Mexico Investable Market Index 25/50.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 922.40 | $ | 2.34 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Consumer Staples | 24.93 | % | ||
Materials | 18.50 | |||
Financials | 14.68 | |||
Telecommunication Services | 13.28 | |||
Industrials | 13.23 | |||
Consumer Discretionary | 8.31 | |||
Real Estate | 5.37 | |||
Utilities | 0.99 | |||
Health Care | 0.71 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
America Movil SAB de CV | 12.35 | % | ||
Fomento Economico Mexicano SAB de CV | 8.56 | |||
Grupo Financiero Banorte SAB de CV | 7.11 | |||
Cemex SAB de CV CPO | 6.80 | |||
Grupo Mexico SAB de CV Series B | 6.63 | |||
Grupo Televisa SAB | 5.02 | |||
Wal-Mart de Mexico SAB de CV | 4.38 | |||
Grupo Bimbo SAB de CV | 2.52 | |||
Fibra Uno Administracion SA de CV | 2.41 | |||
Alfa SAB de CV | 2.35 | |||
|
| |||
TOTAL | 58.13 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SOUTH KOREA CAPPED ETF
Performance as of February 28, 2017
The iShares MSCI South Korea Capped ETF (the “Fund”) seeks to track the investment results of an index composed of South Korean equities, as represented by the MSCI Korea 25/50 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.19%, net of fees, while the total return for the Index was 5.41%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 28.71% | 27.07% | 29.37% | 28.71% | 27.07% | 29.37% | ||||||||||||||||||||||
5 Years | 1.04% | 0.92% | 1.67% | 5.32% | 4.67% | 8.61% | ||||||||||||||||||||||
10 Years | 3.06% | 3.13% | 3.59% | 35.13% | 36.12% | 42.30% |
Index performance through February 11, 2013 reflects the performance of the MSCI Korea Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Korea 25/50 Index.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,051.90 | $ | 3.15 | $ | 1,000.00 | $ | 1,021.70 | $ | 3.11 | 0.62% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Information Technology | 34.08 | % | ||
Financials | 14.44 | |||
Consumer Discretionary | 14.21 | |||
Industrials | 11.39 | |||
Materials | 8.89 | |||
Consumer Staples | 8.60 | |||
Energy | 2.58 | |||
Health Care | 2.53 | |||
Utilities | 1.92 | |||
Telecommunication Services | 1.36 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Samsung Electronics Co. Ltd. | 22.14 | % | ||
SK Hynix Inc. | 3.92 | |||
Hyundai Motor Co. | 3.31 | |||
NAVER Corp. | 3.13 | |||
POSCO | 3.05 | |||
Shinhan Financial Group Co. Ltd. | 2.88 | |||
KB Financial Group Inc. | 2.71 | |||
Hyundai Mobis Co. Ltd. | 2.52 | |||
LG Chem Ltd. | 1.90 | |||
KT&G Corp. | 1.76 | |||
|
| |||
TOTAL | 47.32 | % | ||
|
|
* | Excludes money market funds. |
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 11 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.57% |
| |||||||
BELGIUM — 0.30% |
| |||||||
Colruyt SA | 25,862 | $ | 1,216,582 | |||||
Proximus SADP | 133,942 | 3,950,279 | ||||||
UCB SA | 49,998 | 3,570,724 | ||||||
|
| |||||||
8,737,585 | ||||||||
CANADA — 3.61% |
| |||||||
Agnico Eagle Mines Ltd. | 272,902 | 11,507,854 | ||||||
BCE Inc. | 219,634 | 9,608,210 | ||||||
Fairfax Financial Holdings Ltd. | 13,124 | 5,925,593 | ||||||
First Capital Realty Inc. | 158,096 | 2,497,164 | ||||||
Franco-Nevada Corp. | 252,444 | 16,317,514 | ||||||
Goldcorp Inc. | 632,268 | 10,048,882 | ||||||
Intact Financial Corp. | 192,228 | 13,666,192 | ||||||
RioCan REIT | 101,518 | 2,045,000 | ||||||
Rogers Communications Inc. Class B | 77,586 | 3,266,409 | ||||||
Shaw Communications Inc. Class B | 573,596 | 11,970,398 | ||||||
Silver Wheaton Corp. | 106,536 | 2,080,929 | ||||||
TELUS Corp. | 284,776 | 9,292,928 | ||||||
Thomson Reuters Corp. | 201,106 | 8,527,398 | ||||||
|
| |||||||
106,754,471 | ||||||||
CHILE — 0.37% |
| |||||||
Aguas Andinas SA Series A | 4,215,120 | 2,271,801 | ||||||
Banco de Chile | 36,600,520 | 4,433,030 | ||||||
Empresas COPEC SA | 162,506 | 1,704,626 | ||||||
SACI Falabella | 311,502 | 2,547,336 | ||||||
|
| |||||||
10,956,793 | ||||||||
CHINA — 2.81% |
| |||||||
Agricultural Bank of China Ltd. Class H | 6,176,000 | 2,848,338 | ||||||
ANTA Sports Products Ltd.a | 772,000 | 2,337,149 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 2,316,000 | 2,482,350 | ||||||
China Construction Bank Corp. Class H | 10,808,000 | 8,897,078 | ||||||
China Huishan Dairy Holdings Co. Ltd.a | 5,790,000 | 2,118,352 | ||||||
China Medical System Holdings Ltd.a | 772,000 | 1,257,088 | ||||||
China Mobile Ltd. | 2,020,000 | 22,275,441 | ||||||
China Unicom Hong Kong Ltd. | 2,316,000 | 2,816,513 | ||||||
COSCO SHIPPING Ports Ltd.a | 1,544,000 | 1,720,539 |
Security | Shares | Value | ||||||
CSPC Pharmaceutical Group Ltd. | 6,176,000 | $ | 7,558,438 | |||||
Fullshare Holdings Ltd.a | 4,825,000 | 1,870,962 | ||||||
Guangdong Investment Ltd. | 4,632,000 | 6,313,285 | ||||||
Hengan International Group Co. Ltd.a | 579,000 | 4,945,307 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 2,702,000 | 1,771,758 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 1,616,000 | 2,131,780 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 3,232,000 | 1,944,417 | ||||||
Shenzhou International Group Holdings Ltd.a | 808,000 | 4,829,815 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 1,544,000 | 1,736,452 | ||||||
Zijin Mining Group Co. Ltd. Class H | 8,492,000 | 3,205,375 | ||||||
|
| |||||||
83,060,437 | ||||||||
COLOMBIA — 0.04% |
| |||||||
Corp. Financiera Colombiana SA | 128,117 | 1,286,278 | ||||||
|
| |||||||
1,286,278 | ||||||||
CZECH REPUBLIC — 0.05% |
| |||||||
Komercni Banka AS | 41,302 | 1,489,582 | ||||||
|
| |||||||
1,489,582 | ||||||||
DENMARK — 0.97% |
| |||||||
Chr Hansen Holding A/S | 42,273 | 2,530,941 | ||||||
Coloplast A/S Class Ba | 137,802 | 9,745,625 | ||||||
DONG Energy A/Sb,c | 221,179 | 8,167,339 | ||||||
ISS A/S | 105,764 | 4,133,793 | ||||||
William Demant Holding A/Sa,b | 193,386 | 3,972,776 | ||||||
|
| |||||||
28,550,474 | ||||||||
FINLAND — 0.06% |
| |||||||
Orion OYJ Class B | 35,898 | 1,775,278 | ||||||
|
| |||||||
1,775,278 | ||||||||
GERMANY — 0.20% |
| |||||||
MAN SE | 57,900 | 5,961,112 | ||||||
|
| |||||||
5,961,112 | ||||||||
HONG KONG — 3.37% |
| |||||||
Cheung Kong Infrastructure Holdings Ltd.a | 808,000 | 6,656,610 | ||||||
CLP Holdings Ltd. | 2,020,000 | 20,544,931 | ||||||
Hang Seng Bank Ltd.a | 1,158,000 | 23,749,409 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
HK Electric Investments & HK Electric Investments Ltd.a,c | 4,233,000 | $ | 3,697,253 | |||||
HKT Trust & HKT Ltd. | 4,246,000 | 5,666,840 | ||||||
Hong Kong & China Gas Co. Ltd.a | 3,829,046 | 7,369,574 | ||||||
Link REIT | 1,212,000 | 8,361,097 | ||||||
MTR Corp. Ltd. | 2,222,000 | 11,750,556 | ||||||
Power Assets Holdings Ltd.a | 808,000 | 7,249,927 | ||||||
Yue Yuen Industrial Holdings Ltd. | 1,212,000 | 4,512,338 | ||||||
|
| |||||||
99,558,535 | ||||||||
INDIA — 0.26% |
| |||||||
Wipro Ltd. ADRa | 799,406 | 7,818,191 | ||||||
|
| |||||||
7,818,191 | ||||||||
INDONESIA — 0.82% |
| |||||||
Bank Central Asia Tbk PT | 9,997,400 | 11,582,171 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 9,074,000 | 2,633,202 | ||||||
Kalbe Farma Tbk PT | 16,598,000 | 1,904,239 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 19,722,000 | 5,693,589 | ||||||
Unilever Indonesia Tbk PT | 767,600 | 2,427,529 | ||||||
|
| |||||||
24,240,730 | ||||||||
IRELAND — 0.89% |
| |||||||
Accenture PLC Class A | 27,424 | 3,359,440 | ||||||
Kerry Group PLC Class A | 88,008 | 6,780,004 | ||||||
Medtronic PLC | 142,434 | 11,524,335 | ||||||
Paddy Power Betfair PLC | 15,054 | 1,654,025 | ||||||
Ryanair Holdings PLC ADRb | 34,740 | 2,839,995 | ||||||
|
| |||||||
26,157,799 | ||||||||
ISRAEL — 0.71% |
| |||||||
Azrieli Group Ltd. | 69,376 | 3,451,362 | ||||||
Bank Hapoalim BM | 581,316 | 3,585,019 | ||||||
Bank Leumi le-Israel BMb | 859,622 | 3,768,801 | ||||||
Mizrahi Tefahot Bank Ltd.a | 231,496 | 3,866,428 | ||||||
Nice Ltd. | 52,496 | 3,647,017 | ||||||
Teva Pharmaceutical Industries Ltd. ADR | 77,586 | 2,717,062 | ||||||
|
| |||||||
21,035,689 | ||||||||
ITALY — 0.49% |
| |||||||
Snam SpA | 3,640,366 | 14,544,629 | ||||||
|
| |||||||
14,544,629 | ||||||||
JAPAN — 12.69% |
| |||||||
ABC-Mart Inc. | 40,400 | 2,444,546 |
Security | Shares | Value | ||||||
Ajinomoto Co. Inc. | 154,400 | $ | 3,138,094 | |||||
ANA Holdings Inc. | 1,930,000 | 5,792,501 | ||||||
Astellas Pharma Inc. | 772,000 | 10,432,712 | ||||||
Benesse Holdings Inc. | 121,200 | 3,742,647 | ||||||
Canon Inc. | 656,200 | 19,242,903 | ||||||
Chugai Pharmaceutical Co. Ltd. | 80,800 | 2,704,527 | ||||||
Daiichi Sankyo Co. Ltd. | 231,600 | 5,300,190 | ||||||
Daiwa House REIT Investment Corp. | 386 | 1,007,392 | ||||||
Eisai Co. Ltd. | 80,800 | 4,550,394 | ||||||
FamilyMart UNY Holdings Co. Ltd. | 79,000 | 4,843,724 | ||||||
FUJIFILM Holdings Corp. | 80,800 | 3,135,663 | ||||||
Japan Airlines Co. Ltd. | 202,000 | 6,624,105 | ||||||
Japan Prime Realty Investment Corp. | 1,212 | 4,831,318 | ||||||
Japan Real Estate Investment Corp. | 1,212 | 6,705,349 | ||||||
Japan Retail Fund Investment Corp. | 3,860 | 7,796,934 | ||||||
Kajima Corp. | 386,000 | 2,525,379 | ||||||
KDDI Corp. | 38,600 | 1,013,946 | ||||||
Keikyu Corp. | 808,000 | 8,926,022 | ||||||
Kintetsu Group Holdings Co. Ltd. | 404,000 | 1,505,725 | ||||||
Konami Holdings Corp. | 80,800 | 3,423,086 | ||||||
Kyowa Hakko Kirin Co. Ltd. | 77,200 | 1,159,880 | ||||||
Lawson Inc. | 77,200 | 5,347,455 | ||||||
LINE Corp.a,b | 77,200 | 2,670,278 | ||||||
M3 Inc. | 77,200 | 1,966,483 | ||||||
McDonald’s Holdings Co. Japan Ltd.a | 121,200 | 3,466,416 | ||||||
MEIJI Holdings Co. Ltd. | 38,600 | 3,098,074 | ||||||
Miraca Holdings Inc. | 80,800 | 3,885,275 | ||||||
Mitsubishi Tanabe Pharma Corp. | 363,600 | 7,506,958 | ||||||
Nagoya Railroad Co. Ltd. | 1,158,000 | 5,330,205 | ||||||
NH Foods Ltd. | 50,000 | 1,337,981 | ||||||
Nippon Building Fund Inc. | 386 | 2,166,582 | ||||||
Nippon Prologis REIT Inc. | 2,424 | 5,232,122 | ||||||
Nippon Telegraph & Telephone Corp. | 386,000 | 16,390,812 | ||||||
Nissin Foods Holdings Co. Ltd. | 80,800 | 4,542,450 | ||||||
Nitori Holdings Co. Ltd. | 86,900 | 10,159,110 | ||||||
Nomura Real Estate Master Fund Inc. | 4,246 | 6,386,931 | ||||||
Nomura Research Institute Ltd. | 193,530 | 6,711,323 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
NTT Data Corp. | 202,000 | $ | 9,568,754 | |||||
NTT DOCOMO Inc. | 694,800 | 16,561,931 | ||||||
Obayashi Corp. | 193,000 | 1,800,885 | ||||||
Oracle Corp. Japan | 40,400 | 2,361,496 | ||||||
Oriental Land Co. Ltd./Japan | 121,200 | 6,837,506 | ||||||
Otsuka Corp. | 80,800 | 4,123,591 | ||||||
Otsuka Holdings Co. Ltd. | 444,400 | 20,300,562 | ||||||
Park24 Co. Ltd. | 159,800 | 4,506,136 | ||||||
Recruit Holdings Co. Ltd. | 463,200 | 22,811,208 | ||||||
Sankyo Co. Ltd. | 80,800 | 2,870,626 | ||||||
Santen Pharmaceutical Co. Ltd. | 308,800 | 4,443,563 | ||||||
Secom Co. Ltd. | 202,000 | 14,777,405 | ||||||
Shimadzu Corp. | 77,200 | 1,263,379 | ||||||
Shionogi & Co. Ltd. | 40,400 | 1,985,246 | ||||||
Suntory Beverage & Food Ltd. | 202,000 | 8,503,553 | ||||||
Taisho Pharmaceutical Holdings Co. Ltd. | 40,400 | 3,303,928 | ||||||
Takeda Pharmaceutical Co. Ltd. | 347,400 | 16,214,174 | ||||||
Terumo Corp. | 115,800 | 4,031,291 | ||||||
Tobu Railway Co. Ltd. | 1,212,000 | 6,228,717 | ||||||
Toho Co. Ltd./Tokyo | 121,200 | 3,444,751 | ||||||
TonenGeneral Sekiyu KK | 161,000 | 1,935,425 | ||||||
Toyo Suisan Kaisha Ltd. | 121,200 | 4,463,011 | ||||||
United Urban Investment Corp. | 4,246 | 6,626,014 | ||||||
USS Co. Ltd. | 121,200 | 2,084,183 | ||||||
Yamada Denki Co. Ltd. | 270,200 | 1,383,783 | ||||||
Yamato Holdings Co. Ltd. | 242,400 | 5,317,699 | ||||||
|
| |||||||
374,794,309 | ||||||||
MALAYSIA — 0.80% |
| |||||||
Hong Leong Bank Bhd | 965,000 | 2,951,509 | ||||||
IHH Healthcare Bhd | 2,084,400 | 2,821,452 | ||||||
Malayan Banking Bhda | 1,968,600 | 3,813,054 | ||||||
Maxis Bhda | 2,624,800 | 3,730,290 | ||||||
Petronas Dagangan Bhd | 308,800 | 1,703,964 | ||||||
Public Bank Bhd | 1,312,460 | 5,900,158 | ||||||
Telekom Malaysia Bhda | 1,852,800 | 2,570,551 | ||||||
|
| |||||||
23,490,978 | ||||||||
PHILIPPINES — 0.42% |
| |||||||
Aboitiz Equity Ventures Inc. | 1,594,180 | 2,331,824 | ||||||
Bank of the Philippine Islands | 1,092,389 | 2,044,898 | ||||||
BDO Unibank Inc. | 2,964,509 | 6,818,695 | ||||||
Jollibee Foods Corp. | 330,800 | 1,329,393 | ||||||
|
| |||||||
12,524,810 |
Security | Shares | Value | ||||||
POLAND — 0.06% |
| |||||||
Polski Koncern Naftowy ORLEN SA | 81,868 | $ | 1,899,335 | |||||
|
| |||||||
1,899,335 | ||||||||
QATAR — 0.30% |
| |||||||
Qatar National Bank SAQ | 211,953 | 8,789,537 | ||||||
|
| |||||||
8,789,537 | ||||||||
SINGAPORE — 0.98% |
| |||||||
SATS Ltd. | 1,119,400 | 4,002,002 | ||||||
Singapore Airlines Ltd.a | 849,200 | 6,041,643 | ||||||
Singapore Press Holdings Ltd.a | 1,439,500 | 3,602,481 | ||||||
Singapore Telecommunications Ltd. | 5,481,200 | 15,441,656 | ||||||
|
| |||||||
29,087,782 | ||||||||
SOUTH KOREA — 0.80% |
| |||||||
CJ Korea Express Corp.a,b | 11,580 | 1,766,571 | ||||||
Dongbu Insurance Co. Ltd. | 42,074 | 2,273,466 | ||||||
Kangwon Land Inc.b | 126,222 | 3,946,007 | ||||||
Kia Motors Corp. | 47,092 | 1,592,986 | ||||||
KT&G Corp. | 15,054 | 1,364,612 | ||||||
NAVER Corp. | 2,316 | 1,589,402 | ||||||
S-1 Corp. | 28,178 | 2,267,696 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 12,738 | 2,872,598 | ||||||
Samsung Life Insurance Co. Ltd. | 15,054 | 1,424,522 | ||||||
SK Telecom Co. Ltd. | 21,616 | 4,425,473 | ||||||
|
| |||||||
23,523,333 | ||||||||
SPAIN — 0.05% |
| |||||||
Amadeus IT Holding SA Class A | 31,652 | 1,476,675 | ||||||
|
| |||||||
1,476,675 | ||||||||
SWITZERLAND — 4.58% |
| |||||||
Chocoladefabriken Lindt & Sprungli AG Registered | 116 | 7,540,087 | ||||||
Chubb Ltd. | 96,114 | 13,280,071 | ||||||
EMS-Chemie Holding AG Registered | 5,790 | 3,304,194 | ||||||
Givaudan SA Registered | 808 | 1,471,658 | ||||||
Kuehne + Nagel International AG Registered | 79,516 | 11,354,324 | ||||||
Nestle SA Registered | 390,632 | 28,962,431 | ||||||
Novartis AG Registered | 197,632 | 15,471,915 | ||||||
Roche Holding AG | 73,400 | 17,934,974 | ||||||
Schindler Holding AG Registered | 31,266 | 5,997,502 | ||||||
Sonova Holding AG Registered | 72,568 | 9,557,860 |
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
Swiss Prime Site AG Registered | 60,462 | $ | 5,264,653 | |||||
Swisscom AG Registered | 33,968 | 14,998,901 | ||||||
|
| |||||||
135,138,570 | ||||||||
TAIWAN — 3.95% |
| |||||||
Asustek Computer Inc. | 808,000 | 7,297,997 | ||||||
Chang Hwa Commercial Bank Ltd. | 7,281,630 | 4,349,046 | ||||||
Chicony Electronics Co. Ltd. | 816,504 | 1,924,094 | ||||||
Chunghwa Telecom Co. Ltd. | 5,790,000 | 19,222,419 | ||||||
E.Sun Financial Holding Co. Ltd. | 6,562,000 | 3,983,312 | ||||||
Far EasTone Telecommunications Co. Ltd. | 2,424,000 | 5,838,397 | ||||||
First Financial Holding Co. Ltd. | 14,282,328 | 8,437,328 | ||||||
Formosa Petrochemical Corp. | 1,616,000 | 5,628,005 | ||||||
Hon Hai Precision Industry Co. Ltd. | 2,693,400 | 7,846,088 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 11,194,487 | 6,157,724 | ||||||
Mega Financial Holding Co. Ltd. | 8,080,000 | 6,285,482 | ||||||
Quanta Computer Inc. | 808,000 | 1,675,252 | ||||||
Siliconware Precision Industries Co. Ltd. | 3,474,000 | 5,472,736 | ||||||
Synnex Technology International Corp. | 2,132,250 | 2,342,293 | ||||||
Taiwan Business Bank | 6,562,322 | 1,796,316 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 11,966,538 | 5,706,048 | ||||||
Taiwan Mobile Co. Ltd. | 2,316,000 | 8,141,260 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 2,020,000 | 12,426,319 | ||||||
WPG Holdings Ltd. | 1,616,000 | 2,051,329 | ||||||
|
| |||||||
116,581,445 | ||||||||
THAILAND — 0.72% |
| |||||||
Advanced Info Service PCL NVDR | 926,400 | 4,432,219 | ||||||
Bangkok Dusit Medical Services PCL NVDRa | 5,777,800 | 3,327,091 | ||||||
BTS Group Holdings PCL NVDR | 9,611,400 | 2,257,910 | ||||||
Bumrungrad Hospital PCL NVDRa | 563,800 | 2,842,784 | ||||||
CP ALL PCL NVDR | 887,800 | 1,526,063 | ||||||
KCE Electronics PCL NVDRa | 424,600 | 1,195,140 | ||||||
Krung Thai Bank PCL NVDR | 5,133,800 | 2,882,711 | ||||||
Siam Cement PCL (The) Foreign | 193,000 | 2,853,075 | ||||||
|
| |||||||
21,316,993 |
Security | Shares | Value | ||||||
UNITED ARAB EMIRATES — 0.26% |
| |||||||
Emirates Telecommunications Group Co. PJSC | 1,031,778 | $ | 4,944,668 | |||||
National Bank of Abu Dhabi PJSC | 906,328 | 2,591,271 | ||||||
|
| |||||||
7,535,939 | ||||||||
UNITED KINGDOM — 1.77% |
| |||||||
AstraZeneca PLC | 34,354 | 1,985,316 | ||||||
Compass Group PLC | 427,688 | 7,972,581 | ||||||
Fresnillo PLC | 239,320 | 4,425,454 | ||||||
GlaxoSmithKline PLC | 466,674 | 9,570,418 | ||||||
Kingfisher PLC | 1,199,688 | 4,914,600 | ||||||
Randgold Resources Ltd. | 122,451 | 11,443,592 | ||||||
Reckitt Benckiser Group PLC | 72,568 | 6,602,099 | ||||||
TUI AG | 382,140 | 5,411,589 | ||||||
|
| |||||||
52,325,649 | ||||||||
UNITED STATES — 57.24% |
| |||||||
Abbott Laboratories | 272,130 | 12,267,620 | ||||||
Adobe Systems Inc.b | 22,388 | 2,649,396 | ||||||
Advance Auto Parts Inc. | 9,680 | 1,515,985 | ||||||
Aetna Inc. | 64,076 | 8,250,426 | ||||||
AGNC Investment Corp. | 489,448 | 9,607,864 | ||||||
Alleghany Corp.b | 18,384 | 11,872,387 | ||||||
Allstate Corp. (The) | 158,646 | 13,034,355 | ||||||
Altria Group Inc. | 282,552 | 21,168,796 | ||||||
American Tower Corp. | 21,616 | 2,481,301 | ||||||
American Water Works Co. Inc. | 79,130 | 6,172,140 | ||||||
Annaly Capital Management Inc. | 1,475,292 | 16,375,741 | ||||||
ANSYS Inc.b | 130,082 | 13,887,554 | ||||||
Aon PLC | 50,566 | 5,847,958 | ||||||
Aramark | 95,728 | 3,421,319 | ||||||
Arch Capital Group Ltd.b | 187,982 | 17,777,458 | ||||||
AT&T Inc. | 842,638 | 35,213,842 | ||||||
Automatic Data Processing Inc. | 416,494 | 42,740,614 | ||||||
AutoZone Inc.b | 34,740 | 25,587,747 | ||||||
AvalonBay Communities Inc. | 127,380 | 23,409,896 | ||||||
Axis Capital Holdings Ltd. | 147,066 | 10,191,674 | ||||||
Baxter International Inc. | 183,526 | 9,345,144 | ||||||
Becton Dickinson and Co. | 128,538 | 23,528,881 | ||||||
Berkshire Hathaway Inc. Class Bb | 120,956 | 20,734,278 | ||||||
Boston Scientific Corp.b | 115,414 | 2,833,414 | ||||||
Broadridge Financial Solutions Inc. | 90,324 | 6,262,163 | ||||||
Campbell Soup Co. | 110,396 | 6,552,003 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
CH Robinson Worldwide Inc. | 131,240 | $ | 10,547,759 | |||||
Charter Communications Inc. Class Ab | 7,334 | 2,369,322 | ||||||
Chipotle Mexican Grill Inc.a,b | 3,474 | 1,454,703 | ||||||
Church & Dwight Co. Inc. | 380,210 | 18,949,666 | ||||||
Cigna Corp. | 9,650 | 1,436,885 | ||||||
Cincinnati Financial Corp. | 88,394 | 6,449,226 | ||||||
Cintas Corp. | 98,012 | 11,566,396 | ||||||
Cisco Systems Inc. | 161,734 | 5,528,068 | ||||||
Clorox Co. (The) | 162,120 | 22,179,637 | ||||||
Coca-Cola Co. (The) | 387,158 | 16,245,150 | ||||||
Colgate-Palmolive Co. | 384,456 | 28,057,599 | ||||||
Comcast Corp. Class A | 164,436 | 6,153,195 | ||||||
Consolidated Edison Inc. | 424,986 | 32,740,921 | ||||||
Constellation Brands Inc. Class A | 29,336 | 4,658,850 | ||||||
Cooper Companies Inc. (The) | 8,106 | 1,614,229 | ||||||
Costco Wholesale Corp. | 35,512 | 6,292,016 | ||||||
CR Bard Inc. | 83,762 | 20,541,793 | ||||||
Crown Castle International Corp. | 93,798 | 8,772,927 | ||||||
CVS Health Corp. | 44,390 | 3,576,946 | ||||||
Danaher Corp. | 60,988 | 5,217,523 | ||||||
Darden Restaurants Inc. | 33,582 | 2,507,904 | ||||||
Dominion Resources Inc./VA | 237,390 | 18,430,960 | ||||||
Dr Pepper Snapple Group Inc. | 98,430 | 9,197,299 | ||||||
Duke Energy Corp. | 279,464 | 23,069,753 | ||||||
eBay Inc.b | 86,464 | 2,931,130 | ||||||
Ecolab Inc. | 22,996 | 2,850,814 | ||||||
Eli Lilly & Co. | 245,110 | 20,297,559 | ||||||
Equity Residential | 111,554 | 7,035,711 | ||||||
Essex Property Trust Inc. | 11,700 | 2,745,990 | ||||||
Everest Re Group Ltd. | 63,632 | 14,962,428 | ||||||
Eversource Energy | 66,392 | 3,894,555 | ||||||
Expeditors International of Washington Inc. | 206,092 | 11,619,467 | ||||||
Exxon Mobil Corp. | 292,974 | 23,824,646 | ||||||
F5 Networks Inc.b | 14,282 | 2,046,182 | ||||||
Facebook Inc. Class Ab | 35,898 | 4,865,615 | ||||||
Federal Realty Investment Trust | 93,412 | 13,145,871 | ||||||
Fidelity National Information Services Inc. | 101,132 | 8,320,130 | ||||||
FNF Group | 105,378 | 4,039,139 | ||||||
Foot Locker Inc. | 69,094 | 5,228,343 | ||||||
Gartner Inc.b | 123,520 | 12,748,499 | ||||||
General Mills Inc. | 535,382 | 32,321,011 | ||||||
Genuine Parts Co. | 32,038 | 3,066,357 |
Security | Shares | Value | ||||||
Henry Schein Inc.b | 63,304 | $ | 10,860,434 | |||||
Hershey Co. (The) | 34,354 | 3,722,256 | ||||||
Home Depot Inc. (The) | 45,162 | 6,544,425 | ||||||
Hormel Foods Corp. | 120,818 | 4,258,835 | ||||||
Humana Inc. | 19,686 | 4,158,668 | ||||||
Intel Corp. | 69,480 | 2,515,176 | ||||||
International Business Machines Corp. | 67,550 | 12,146,841 | ||||||
Intuitive Surgical Inc.b | 27,792 | 20,482,704 | ||||||
JB Hunt Transport Services Inc. | 41,688 | 4,092,511 | ||||||
JM Smucker Co. (The) | 59,830 | 8,479,706 | ||||||
Johnson & Johnson | 355,120 | 43,399,215 | ||||||
Kellogg Co. | 299,922 | 22,215,223 | ||||||
Kimberly-Clark Corp. | 111,168 | 14,735,318 | ||||||
Laboratory Corp. of America Holdingsb | 91,096 | 12,959,317 | ||||||
Linear Technology Corp. | 21,230 | 1,371,033 | ||||||
Lowe’s Companies Inc. | 54,812 | 4,076,368 | ||||||
Macerich Co. (The) | 82,676 | 5,570,709 | ||||||
Markel Corp.b | 20,458 | 20,043,316 | ||||||
Marsh & McLennan Companies Inc. | 257,848 | 18,946,671 | ||||||
MasterCard Inc. Class A | 38,514 | 4,254,256 | ||||||
McCormick & Co. Inc./MD | 165,980 | 16,335,752 | ||||||
McDonald’s Corp. | 257,076 | 32,815,751 | ||||||
Merck & Co. Inc. | 346,628 | 22,832,386 | ||||||
Microsoft Corp. | 34,354 | 2,197,969 | ||||||
Motorola Solutions Inc. | 165,594 | 13,076,958 | ||||||
Newmont Mining Corp. | 104,606 | 3,581,709 | ||||||
NextEra Energy Inc. | 32,272 | 4,227,632 | ||||||
O’Reilly Automotive Inc.a,b | 26,634 | 7,236,724 | ||||||
Occidental Petroleum Corp. | 79,130 | 5,186,972 | ||||||
Oracle Corp. | 50,566 | 2,153,606 | ||||||
Patterson Companies Inc. | 79,130 | 3,596,459 | ||||||
Paychex Inc. | 458,954 | 28,188,955 | ||||||
People’s United Financial Inc. | 460,112 | 8,834,150 | ||||||
PepsiCo Inc. | 253,988 | 28,035,195 | ||||||
Pfizer Inc. | 546,190 | 18,636,003 | ||||||
PG&E Corp. | 322,310 | 21,514,192 | ||||||
Procter & Gamble Co. (The) | 394,106 | 35,891,233 | ||||||
Public Storage | 79,460 | 18,073,972 | ||||||
Raytheon Co. | 48,250 | 7,437,738 | ||||||
Realty Income Corp.a | 91,482 | 5,606,017 | ||||||
RenaissanceRe Holdings Ltd. | 57,768 | 8,528,868 | ||||||
Republic Services Inc. | 355,892 | 22,047,509 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
Security | Shares | Value | ||||||
Reynolds American Inc. | 54,040 | $ | 3,327,243 | |||||
Ross Stores Inc. | 52,110 | 3,573,704 | ||||||
SCANA Corp. | 34,740 | 2,409,219 | ||||||
Sherwin-Williams Co. (The) | 5,404 | 1,667,350 | ||||||
Simon Property Group Inc. | 17,760 | 3,274,944 | ||||||
Southern Co. (The) | 626,864 | 31,857,228 | ||||||
Starbucks Corp. | 177,174 | 10,075,885 | ||||||
Stryker Corp. | 110,782 | 14,242,134 | ||||||
Synopsys Inc.b | 218,862 | 15,635,501 | ||||||
Sysco Corp. | 58,286 | 3,072,838 | ||||||
Target Corp. | 190,684 | 11,206,499 | ||||||
TJX Companies Inc. (The) | 270,586 | 21,227,472 | ||||||
Travelers Companies Inc. (The) | 99,202 | 12,126,452 | ||||||
UDR Inc. | 230,652 | 8,418,798 | ||||||
United Parcel Service Inc. Class B | 140,118 | 14,818,880 | ||||||
UnitedHealth Group Inc. | 78,744 | 13,022,683 | ||||||
Varian Medical Systems Inc.a,b | 140,118 | 11,754,499 | ||||||
Ventas Inc. | 99,612 | 6,479,761 | ||||||
Verizon Communications Inc. | 587,878 | 29,176,385 | ||||||
Visa Inc. Class A | 247,040 | 21,724,698 | ||||||
VMware Inc. Class Aa,b | 65,234 | 5,863,884 | ||||||
Wal-Mart Stores Inc. | 241,250 | 17,111,863 | ||||||
Waste Management Inc. | 363,226 | 26,631,730 | ||||||
Waters Corp.b | 16,598 | 2,572,524 | ||||||
WEC Energy Group Inc. | 289,500 | 17,448,165 | ||||||
Wells Fargo & Co. | 83,762 | 4,848,145 | ||||||
Welltower Inc. | 132,784 | 9,345,338 | ||||||
Westar Energy Inc. | 41,688 | 2,250,318 | ||||||
WR Berkley Corp. | 151,698 | 10,773,592 | ||||||
Xcel Energy Inc. | 404,142 | 17,665,047 | ||||||
|
| |||||||
1,690,703,641 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $2,615,033,108) |
| 2,941,116,579 | ||||||
PREFERRED STOCKS — 0.05% |
| |||||||
COLOMBIA — 0.05% |
| |||||||
Grupo Aval Acciones y Valores SA | 3,814,838 | 1,481,630 | ||||||
|
| |||||||
1,481,630 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $1,530,835) |
| 1,481,630 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 3.34% |
| |||||||
MONEY MARKET FUNDS — 3.34% |
| |||||||
BlackRock Cash Funds: Institutional, SL Agency Shares |
| |||||||
0.98%d,e,f | 97,055,953 | $ | 97,094,775 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 1,504,894 | 1,504,894 | ||||||
|
| |||||||
98,599,669 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $98,567,783) |
| 98,599,669 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| 3,041,197,878 | ||||||
(Cost: $2,715,131,726)g |
| |||||||
Other Assets, Less Liabilities — (2.96)% |
| (87,565,640 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 2,953,632,238 | |||||
|
|
ADR — American Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
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 $2,747,399,297. Net unrealized appreciation was $293,798,581, of which $368,825,587 represented gross unrealized appreciation on securities and $75,027,006 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 2,941,116,579 | $ | — | $ | — | $ | 2,941,116,579 | ||||||||
Preferred stocks | 1,481,630 | — | — | 1,481,630 | ||||||||||||
Money market funds | 98,599,669 | — | — | 98,599,669 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,041,197,878 | $ | — | $ | — | $ | 3,041,197,878 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.08% |
| |||||||
AIRLINES — 0.14% |
| |||||||
Qantas Airways Ltd. | 927,797 | $ | 2,675,012 | |||||
|
| |||||||
2,675,012 | ||||||||
BANKS — 34.52% |
| |||||||
Australia & New Zealand Banking Group Ltd. | 5,836,273 | 138,655,032 | ||||||
Bank of Queensland Ltd. | 768,566 | 7,002,306 | ||||||
Bendigo & Adelaide Bank Ltd. | 938,297 | 8,815,625 | ||||||
Commonwealth Bank of Australia | 3,434,685 | 217,387,132 | ||||||
National Australia Bank Ltd. | 5,299,182 | 130,336,074 | ||||||
Westpac Banking Corp. | 6,671,788 | 172,867,637 | ||||||
|
| |||||||
675,063,806 | ||||||||
BEVERAGES — 1.15% |
| |||||||
Coca-Cola Amatil Ltd. | 1,139,262 | 8,978,195 | ||||||
Treasury Wine Estates Ltd. | 1,474,918 | 13,505,827 | ||||||
|
| |||||||
22,484,022 | ||||||||
BIOTECHNOLOGY — 4.21% |
| |||||||
CSL Ltd. | 909,195 | 82,388,204 | ||||||
|
| |||||||
82,388,204 | ||||||||
CAPITAL MARKETS — 2.86% |
| |||||||
ASX Ltd. | 386,068 | 15,206,516 | ||||||
Macquarie Group Ltd. | 610,906 | 40,699,073 | ||||||
|
| |||||||
55,905,589 | ||||||||
CHEMICALS — 1.02% |
| |||||||
Incitec Pivot Ltd. | 3,355,204 | 9,467,309 | ||||||
Orica Ltd. | 749,667 | 10,542,016 | ||||||
|
| |||||||
20,009,325 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.16% |
| |||||||
Brambles Ltd. | 3,163,784 | 22,646,342 | ||||||
|
| |||||||
22,646,342 | ||||||||
CONSTRUCTION & ENGINEERING — 0.29% |
| |||||||
CIMIC Group Ltd. | 193,054 | 5,601,731 | ||||||
|
| |||||||
5,601,731 | ||||||||
CONSTRUCTION MATERIALS — 1.21% |
| |||||||
Boral Ltd. | 2,343,350 | 10,557,871 | ||||||
James Hardie Industries PLC | 879,598 | 13,187,437 | ||||||
|
| |||||||
23,745,308 | ||||||||
CONTAINERS & PACKAGING — 1.28% |
| |||||||
Amcor Ltd./Australia | 2,310,031 | 24,953,743 | ||||||
|
| |||||||
24,953,743 |
Security | Shares | Value | ||||||
DIVERSIFIED FINANCIAL SERVICES — 1.65% |
| |||||||
AMP Ltd. | 5,898,624 | $ | 22,131,563 | |||||
Challenger Ltd./Australia | 1,142,436 | 10,048,459 | ||||||
|
| |||||||
32,180,022 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.93% |
| |||||||
Telstra Corp. Ltd. | 8,339,913 | 30,906,521 | ||||||
TPG Telecom Ltd. | 680,514 | 3,264,850 | ||||||
Vocus Group Ltd. | 1,052,992 | 3,546,016 | ||||||
|
| |||||||
37,717,387 | ||||||||
ELECTRIC UTILITIES — 0.22% |
| |||||||
AusNet Services | 3,529,983 | 4,396,724 | ||||||
|
| |||||||
4,396,724 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 7.93% |
| |||||||
Dexus Property Group | 1,932,558 | 14,026,396 | ||||||
Goodman Group | 3,567,210 | 20,707,000 | ||||||
GPT Group (The) | 3,584,209 | 13,585,693 | ||||||
Mirvac Group | 7,400,906 | 12,233,899 | ||||||
Scentre Group | 10,619,293 | 35,597,840 | ||||||
Stockland | 4,798,669 | 17,414,233 | ||||||
Vicinity Centres | 6,706,798 | 14,902,346 | ||||||
Westfield Corp. | 3,937,406 | 26,640,013 | ||||||
|
| |||||||
155,107,420 | ||||||||
FOOD & STAPLES RETAILING — 6.38% |
| |||||||
Wesfarmers Ltd. | 2,253,502 | 74,016,876 | ||||||
Woolworths Ltd. | 2,566,912 | 50,839,163 | ||||||
|
| |||||||
124,856,039 | ||||||||
GAS UTILITIES — 0.74% |
| |||||||
APA Group | 2,221,606 | 14,450,370 | ||||||
|
| |||||||
14,450,370 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.58% |
| |||||||
Cochlear Ltd. | 113,966 | 11,439,150 | ||||||
|
| |||||||
11,439,150 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 1.75% |
| |||||||
Healthscope Ltd. | 3,450,566 | 5,969,176 | ||||||
Ramsay Health Care Ltd. | 282,349 | 15,148,121 | ||||||
Sonic Healthcare Ltd. | 787,904 | 13,036,384 | ||||||
|
| |||||||
34,153,681 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 2.21% |
| |||||||
Aristocrat Leisure Ltd. | 1,080,201 | 13,786,506 | ||||||
Crown Resorts Ltd. | 724,164 | 7,048,752 | ||||||
Domino’s Pizza Enterprises Ltd. | 123,692 | 5,297,102 | ||||||
Flight Centre Travel Group Ltd.a | 111,405 | 2,470,253 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRALIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Tabcorp Holdings Ltd. | 1,653,783 | $ | 5,416,637 | |||||
Tatts Group Ltd. | 2,928,178 | 9,140,397 | ||||||
|
| |||||||
43,159,647 | ||||||||
INSURANCE — 4.39% |
| |||||||
Insurance Australia Group Ltd. | 4,731,671 | 21,827,668 | ||||||
Medibank Pvt Ltd. | 5,502,987 | 11,931,338 | ||||||
QBE Insurance Group Ltd. | 2,734,918 | 25,884,747 | ||||||
Suncorp Group Ltd. | 2,566,141 | 26,181,408 | ||||||
|
| |||||||
85,825,161 | ||||||||
IT SERVICES — 0.49% |
| |||||||
Computershare Ltd. | 923,521 | 9,592,762 | ||||||
|
| |||||||
9,592,762 | ||||||||
MEDIA — 0.23% |
| |||||||
REA Group Ltd. | 104,272 | 4,531,983 | ||||||
|
| |||||||
4,531,983 | ||||||||
METALS & MINING — 11.89% |
| |||||||
Alumina Ltd. | 4,868,618 | 6,906,271 | ||||||
BHP Billiton Ltd. | 6,402,492 | 123,063,882 | ||||||
Fortescue Metals Group Ltd. | 3,105,048 | 15,827,904 | ||||||
Newcrest Mining Ltd. | 1,528,700 | 26,022,046 | ||||||
Rio Tinto Ltd. | 846,155 | 40,328,598 | ||||||
South32 Ltd. | 10,618,064 | 20,327,606 | ||||||
|
| |||||||
232,476,307 | ||||||||
MULTI-UTILITIES — 1.80% |
| |||||||
AGL Energy Ltd. | 1,342,416 | 24,894,648 | ||||||
DUET Group | 4,864,097 | 10,284,341 | ||||||
|
| |||||||
35,178,989 | ||||||||
MULTILINE RETAIL — 0.23% |
| |||||||
Harvey Norman Holdings Ltd. | 1,115,110 | 4,415,364 | ||||||
|
| |||||||
4,415,364 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 4.64% |
| |||||||
Caltex Australia Ltd. | 519,897 | 11,248,198 | ||||||
Oil Search Ltd. | 2,735,504 | 14,680,280 | ||||||
Origin Energy Ltd. | 3,495,537 | 17,630,284 | ||||||
Santos Ltd. | 3,654,157 | 10,676,093 | ||||||
Woodside Petroleum Ltd. | 1,511,596 | 36,423,048 | ||||||
|
| |||||||
90,657,903 | ||||||||
PROFESSIONAL SERVICES — 0.41% |
| |||||||
Seek Ltd. | 657,335 | 7,929,600 | ||||||
|
| |||||||
7,929,600 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.66% |
| |||||||
LendLease Group | 1,105,128 | 12,940,589 | ||||||
|
| |||||||
12,940,589 |
Security | Shares | Value | ||||||
ROAD & RAIL — 0.82% |
| |||||||
Aurizon Holdings Ltd. | 4,091,587 | $ | 16,106,579 | |||||
|
| |||||||
16,106,579 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 2.29% |
| |||||||
Sydney Airport | 2,202,356 | 10,261,284 | ||||||
Transurban Group | 4,075,098 | 34,558,519 | ||||||
|
| |||||||
44,819,803 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $2,099,007,519) |
| 1,937,408,562 | ||||||
SHORT-TERM INVESTMENTS — 0.11% |
| |||||||
MONEY MARKET FUNDS — 0.11% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%b,c,d | 1,923,436 | 1,924,205 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%b,c | 192,875 | 192,875 | ||||||
|
| |||||||
2,117,080 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,116,311) |
| 2,117,080 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $2,101,123,830)e |
| 1,939,525,642 | ||||||
Other Assets, Less Liabilities — 0.81% |
| 15,805,750 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 1,955,331,392 | |||||
|
|
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Affiliated money market fund. |
c | The rate quoted is the annualized seven-day yield of the fund at period end. |
d | All or a portion of this security represents an investment of securities lending collateral. See Note 1. |
e | The cost of investments for federal income tax purposes was $2,172,109,489. Net unrealized depreciation was $232,583,847, of which $91,398,881 represented gross unrealized appreciation on securities and $323,982,728 represented gross unrealized depreciation on securities. |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRALIA ETF
February 28, 2017
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
ASX SPI 200 Index | 162 | Mar. 2017 | Sydney Futures | $ | 17,729,507 | $ | 17,699,078 | $ | (30,429 | ) | ||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 1,937,408,562 | $ | — | $ | — | $ | 1,937,408,562 | ||||||||
Money market funds | 2,117,080 | — | — | 2,117,080 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,939,525,642 | $ | — | $ | — | $ | 1,939,525,642 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Liabilities: | ||||||||||||||||
Futures contracts | $ | (30,429 | ) | $ | — | $ | — | $ | (30,429 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (30,429 | ) | $ | — | $ | — | $ | (30,429 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.67% |
| |||||||
AEROSPACE & DEFENSE — 0.55% |
| |||||||
Bombardier Inc. Class Ba | 5,015,732 | $ | 8,710,169 | |||||
CAE Inc. | 702,202 | 10,577,168 | ||||||
|
| |||||||
19,287,337 | ||||||||
AUTO COMPONENTS — 1.45% |
| |||||||
Linamar Corp. | 121,196 | 5,397,063 | ||||||
Magna International Inc. Class A | 1,056,217 | 45,288,658 | ||||||
|
| |||||||
50,685,721 | ||||||||
BANKS — 29.68% | ||||||||
Bank of Montreal | 1,791,826 | 136,357,086 | ||||||
Bank of Nova Scotia (The) | 3,349,691 | 194,843,289 | ||||||
Canadian Imperial Bank of Commerce | 1,099,262 | 96,783,527 | ||||||
National Bank of Canada | 926,683 | 39,657,513 | ||||||
Royal Bank of Canada | 4,133,356 | 301,095,690 | ||||||
Toronto-Dominion Bank (The) | 5,164,750 | 266,962,728 | ||||||
|
| |||||||
1,035,699,833 | ||||||||
CAPITAL MARKETS — 4.24% | ||||||||
Brookfield Asset Management Inc. Class A | 2,459,356 | 88,833,547 | ||||||
CI Financial Corp. | 638,573 | 13,056,406 | ||||||
IGM Financial Inc. | 245,677 | 7,551,444 | ||||||
Thomson Reuters Corp. | 905,522 | 38,396,403 | ||||||
|
| |||||||
147,837,800 | ||||||||
CHEMICALS — 2.49% | ||||||||
Agrium Inc. | 358,950 | 34,703,875 | ||||||
Methanex Corp. | 236,339 | 12,078,815 | ||||||
Potash Corp. of Saskatchewan Inc. | 2,302,016 | 40,045,641 | ||||||
|
| |||||||
86,828,331 | ||||||||
CONSTRUCTION & ENGINEERING — 0.47% |
| |||||||
SNC-Lavalin Group Inc. | 402,365 | 16,432,423 | ||||||
|
| |||||||
16,432,423 | ||||||||
CONTAINERS & PACKAGING — 0.46% |
| |||||||
CCL Industries Inc. Class B | 74,566 | 15,893,939 | ||||||
|
| |||||||
15,893,939 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.75% |
| |||||||
Element Fleet Management Corp. | 1,011,301 | 10,743,331 | ||||||
Onex Corp. | 219,315 | 15,477,650 | ||||||
|
| |||||||
26,220,981 |
Security | Shares | Value | ||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.98% |
| |||||||
BCE Inc. | 396,627 | $ | 17,351,028 | |||||
TELUS Corp. | 520,068 | 16,971,074 | ||||||
|
| |||||||
34,322,102 | ||||||||
ELECTRIC UTILITIES — 1.35% | ||||||||
Emera Inc. | 119,040 | 4,093,980 | ||||||
Fortis Inc./Canada | 1,093,082 | 34,770,316 | ||||||
Hydro One Ltd.b | 458,060 | 8,162,041 | ||||||
|
| |||||||
47,026,337 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 0.52% |
| |||||||
H&R REIT | 347,984 | 6,200,629 | ||||||
RioCan REIT | 409,324 | 8,245,509 | ||||||
Smart REIT | 153,189 | 3,866,592 | ||||||
|
| |||||||
18,312,730 | ||||||||
FOOD & STAPLES RETAILING — 3.46% |
| |||||||
Alimentation Couche-Tard Inc. Class B | 1,156,369 | 51,564,916 | ||||||
Empire Co. Ltd. Class A | 406,673 | 5,136,955 | ||||||
George Weston Ltd. | 134,368 | 11,291,599 | ||||||
Jean Coutu Group PJC Inc. (The) Class A | 178,870 | 2,695,644 | ||||||
Loblaw Companies Ltd. | 605,795 | 31,679,083 | ||||||
Metro Inc. | 625,296 | 18,285,110 | ||||||
|
| |||||||
120,653,307 | ||||||||
FOOD PRODUCTS — 0.68% | ||||||||
Saputo Inc. | 691,015 | 23,796,439 | ||||||
|
| |||||||
23,796,439 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.95% |
| |||||||
Restaurant Brands International Inc. | 607,352 | 33,227,926 | ||||||
|
| |||||||
33,227,926 | ||||||||
INSURANCE — 8.23% | ||||||||
Fairfax Financial Holdings Ltd. | 62,688 | 28,304,144 | ||||||
Great-West Lifeco Inc. | 799,672 | 21,880,866 | ||||||
Industrial Alliance Insurance & Financial Services Inc. | 270,577 | 11,262,720 | ||||||
Intact Financial Corp. | 355,809 | 25,295,765 | ||||||
Manulife Financial Corp. | 5,464,458 | 97,905,990 | ||||||
Power Corp. of Canada | 1,010,539 | 23,576,319 | ||||||
Power Financial Corp. | 669,605 | 17,416,960 | ||||||
Sun Life Financial Inc. | 1,689,963 | 61,501,919 | ||||||
|
| |||||||
287,144,683 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CANADA ETF
February 28, 2017
Security | Shares | Value | ||||||
IT SERVICES — 0.78% | ||||||||
CGI Group Inc. Class Aa | 592,156 | $ | 27,299,668 | |||||
|
| |||||||
27,299,668 | ||||||||
MEDIA — 0.68% |
| |||||||
Shaw Communications Inc. Class B | 1,134,163 | 23,668,893 | ||||||
|
| |||||||
23,668,893 | ||||||||
METALS & MINING — 7.44% | ||||||||
Agnico Eagle Mines Ltd. | 612,427 | 25,825,096 | ||||||
Barrick Gold Corp. | 3,213,931 | 59,476,348 | ||||||
Eldorado Gold Corp.a | 1,799,413 | 5,515,963 | ||||||
First Quantum Minerals Ltd. | 1,857,406 | 19,381,140 | ||||||
Franco-Nevada Corp. | 486,367 | 31,437,864 | ||||||
Goldcorp Inc. | 2,338,122 | 37,160,684 | ||||||
Kinross Gold Corp.a | 3,278,180 | 11,583,587 | ||||||
Silver Wheaton Corp. | 1,197,225 | 23,384,960 | ||||||
Teck Resources Ltd. Class B | 1,547,037 | 31,011,992 | ||||||
Turquoise Hill Resources Ltd.a | 2,595,975 | 8,173,367 | ||||||
Yamana Gold Inc. | 2,388,291 | 6,617,862 | ||||||
|
| |||||||
259,568,863 | ||||||||
MULTI-UTILITIES — 0.44% | ||||||||
Atco Ltd./Canada Class I | 190,889 | 6,540,483 | ||||||
Canadian Utilities Ltd. Class A | 325,204 | 8,775,560 | ||||||
|
| |||||||
15,316,043 | ||||||||
MULTILINE RETAIL — 1.27% | ||||||||
Canadian Tire Corp. Ltd. Class A | 183,984 | 21,156,528 | ||||||
Dollarama Inc. | 301,891 | 23,313,384 | ||||||
|
| |||||||
44,469,912 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 22.74% |
| |||||||
AltaGas Ltd. | 432,040 | 10,112,303 | ||||||
ARC Resources Ltd. | 938,803 | 14,034,731 | ||||||
Cameco Corp. | 1,039,976 | 11,542,638 | ||||||
Canadian Natural Resources Ltd. | 3,059,369 | 87,984,722 | ||||||
Cenovus Energy Inc. | 2,270,508 | 28,800,283 | ||||||
Crescent Point Energy Corp. | 1,449,828 | 15,993,044 | ||||||
Enbridge Inc. | 3,984,580 | 168,173,976 | ||||||
Encana Corp. | 2,650,462 | 29,457,360 | ||||||
Husky Energy Inc.a | 923,929 | 11,021,993 | ||||||
Imperial Oil Ltd. | 805,338 | 25,228,188 | ||||||
Inter Pipeline Ltd. | 970,124 | 20,399,376 | ||||||
Keyera Corp. | 492,417 | 14,540,699 | ||||||
Pembina Pipeline Corp. | 1,079,002 | 34,966,036 | ||||||
Peyto Exploration & Development Corp. | 425,396 | 8,729,860 | ||||||
PrairieSky Royalty Ltd. | 541,247 | 12,692,915 |
Security | Shares | Value | ||||||
Seven Generations Energy Ltd. Class Aa | 638,306 | $ | 11,860,554 | |||||
Suncor Energy Inc. | 4,622,234 | 144,308,487 | ||||||
Tourmaline Oil Corp.a | 605,086 | 13,431,635 | ||||||
TransCanada Corp. | 2,393,566 | 110,348,552 | ||||||
Veresen Inc. | 807,084 | 8,238,722 | ||||||
Vermilion Energy Inc. | 310,059 | 11,824,591 | ||||||
|
| |||||||
793,690,665 | ||||||||
PAPER & FOREST PRODUCTS — 0.20% |
| |||||||
West Fraser Timber Co. Ltd. | 163,595 | 6,809,613 | ||||||
|
| |||||||
6,809,613 | ||||||||
PHARMACEUTICALS — 0.35% |
| |||||||
Valeant Pharmaceuticals International Inc.a,c | 860,603 | 12,274,371 | ||||||
|
| |||||||
12,274,371 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.15% |
| |||||||
First Capital Realty Inc. | 327,694 | 5,176,004 | ||||||
|
| |||||||
5,176,004 | ||||||||
ROAD & RAIL — 5.87% | ||||||||
Canadian National Railway Co. | 2,129,238 | 148,481,575 | ||||||
Canadian Pacific Railway Ltd. | 382,749 | 56,476,754 | ||||||
|
| |||||||
204,958,329 | ||||||||
SOFTWARE — 1.37% | ||||||||
Constellation Software Inc./Canada | 51,694 | 24,335,542 | ||||||
Open Text Corp. | 708,479 | 23,418,937 | ||||||
|
| |||||||
47,754,479 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 0.26% |
| |||||||
BlackBerry Ltd.a | 1,295,125 | 9,025,636 | ||||||
|
| |||||||
9,025,636 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.43% |
| |||||||
Gildan Activewear Inc. | 585,722 | 14,881,306 | ||||||
|
| |||||||
14,881,306 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.23% |
| |||||||
Finning International Inc. | 432,480 | 8,052,366 | ||||||
|
| |||||||
8,052,366 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.20% |
| |||||||
Rogers Communications Inc. Class B | 993,576 | 41,830,041 | ||||||
|
| |||||||
41,830,041 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,900,998,631) | 3,478,146,078 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CANADA ETF
February 28, 2017
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.41% |
| |||||||
MONEY MARKET FUNDS — 0.41% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 13,048,006 | $ | 13,053,225 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 1,178,287 | 1,178,287 | ||||||
|
| |||||||
14,231,512 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $14,227,080) | 14,231,512 | |||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $3,915,225,711)g | $ | 3,492,377,590 | ||||||
Other Assets, Less Liabilities — (0.08)% |
| (2,777,368 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 3,489,600,222 | |||||
|
|
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. 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 $3,961,342,689. Net unrealized depreciation was $468,965,099, of which $222,504,767 represented gross unrealized appreciation on securities and $691,469,866 represented gross unrealized depreciation on securities. |
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
S&P/TSX 60 Index | 77 | Mar. 2017 | Montreal | $ | 10,428,800 | $ | 10,535,649 | $ | 106,849 | |||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 3,478,146,078 | $ | — | $ | — | $ | 3,478,146,078 | ||||||||
Money market funds | 14,231,512 | — | — | 14,231,512 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,492,377,590 | $ | — | $ | — | $ | 3,492,377,590 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Futures contracts | $ | 106,849 | $ | — | $ | — | $ | 106,849 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 106,849 | $ | — | $ | — | $ | 106,849 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.65% |
| |||||||
AIR FREIGHT & LOGISTICS — 0.26% |
| |||||||
Yamato Holdings Co. Ltd. | 1,903,500 | $ | 41,758,419 | |||||
|
| |||||||
41,758,419 | ||||||||
AIRLINES — 0.24% |
| |||||||
ANA Holdings Inc. | 6,345,000 | 19,043,223 | ||||||
Japan Airlines Co. Ltd. | 634,500 | 20,806,904 | ||||||
|
| |||||||
39,850,127 | ||||||||
AUTO COMPONENTS — 3.27% |
| |||||||
Aisin Seiki Co. Ltd. | 1,057,500 | 52,740,314 | ||||||
Bridgestone Corp. | 3,434,800 | 137,563,917 | ||||||
Denso Corp. | 2,538,000 | 113,238,557 | ||||||
Koito Manufacturing Co. Ltd. | 634,500 | 32,835,099 | ||||||
NGK Spark Plug Co. Ltd. | 846,000 | 19,228,476 | ||||||
NOK Corp. | 423,000 | 9,693,632 | ||||||
Stanley Electric Co. Ltd. | 846,000 | 23,931,626 | ||||||
Sumitomo Electric Industries Ltd. | 4,018,500 | 65,708,949 | ||||||
Sumitomo Rubber Industries Ltd. | 846,000 | 14,018,716 | ||||||
Toyoda Gosei Co. Ltd. | 423,000 | 10,827,832 | ||||||
Toyota Industries Corp. | 846,000 | 41,436,117 | ||||||
Yokohama Rubber Co. Ltd. (The) | 634,500 | 12,669,017 | ||||||
|
| |||||||
533,892,252 | ||||||||
AUTOMOBILES — 9.27% |
| |||||||
Fuji Heavy Industries Ltd. | 3,172,500 | 119,289,516 | ||||||
Honda Motor Co. Ltd. | 8,671,500 | 270,410,363 | ||||||
Isuzu Motors Ltd. | 3,172,500 | 42,631,754 | ||||||
Mazda Motor Corp. | 2,961,000 | 41,708,325 | ||||||
Mitsubishi Motors Corp. | 3,595,500 | 23,362,636 | ||||||
Nissan Motor Co. Ltd. | 12,690,000 | 125,442,553 | ||||||
Suzuki Motor Corp. | 1,903,500 | 74,755,141 | ||||||
Toyota Motor Corp. | 13,747,500 | 782,078,362 | ||||||
Yamaha Motor Co. Ltd. | 1,480,500 | 34,390,843 | ||||||
|
| |||||||
1,514,069,493 | ||||||||
BANKS — 8.57% |
| �� | ||||||
Aozora Bank Ltd. | 6,345,000 | 23,874,916 | ||||||
Bank of Kyoto Ltd. (The) | 2,115,000 | 17,296,555 | ||||||
Chiba Bank Ltd. (The) | 4,230,000 | 29,678,241 | ||||||
Chugoku Bank Ltd. (The) | 846,000 | 13,549,913 | ||||||
Concordia Financial Group Ltd. | 6,133,500 | 32,771,205 | ||||||
Fukuoka Financial Group Inc. | 4,230,000 | 19,810,698 |
Security | Shares | Value | ||||||
Hachijuni Bank Ltd. (The) | 2,115,000 | $ | 13,421,370 | |||||
Hiroshima Bank Ltd. (The) | 2,186,000 | 10,374,635 | ||||||
Japan Post Bank Co. Ltd. | 2,115,000 | 26,615,900 | ||||||
Kyushu Financial Group Inc. | 1,903,600 | 13,083,688 | ||||||
Mebuki Financial Group Inc. | 4,981,580 | 22,039,434 | ||||||
Mitsubishi UFJ Financial Group Inc. | 67,468,580 | 445,267,904 | ||||||
Mizuho Financial Group Inc. | 127,534,580 | 239,031,161 | ||||||
Resona Holdings Inc. | 11,632,500 | 65,188,162 | ||||||
Seven Bank Ltd. | 2,961,000 | 9,236,171 | ||||||
Shinsei Bank Ltd. | 10,575,000 | 19,375,922 | ||||||
Shizuoka Bank Ltd. (The) | 2,871,000 | 25,301,032 | ||||||
Sumitomo Mitsui Financial Group Inc. | 7,191,000 | 281,315,699 | ||||||
Sumitomo Mitsui Trust Holdings Inc. | 1,715,832 | 61,787,435 | ||||||
Suruga Bank Ltd. | 846,000 | 18,827,725 | ||||||
Yamaguchi Financial Group Inc. | 922,000 | 10,679,823 | ||||||
|
| |||||||
1,398,527,589 | ||||||||
BEVERAGES — 1.12% | ||||||||
Asahi Group Holdings Ltd. | 2,115,000 | 75,027,349 | ||||||
Kirin Holdings Co. Ltd. | 4,441,500 | 76,774,018 | ||||||
Suntory Beverage & Food Ltd. | 734,500 | 30,920,097 | ||||||
|
| |||||||
182,721,464 | ||||||||
BUILDING PRODUCTS — 1.43% |
| |||||||
Asahi Glass Co. Ltd. | 5,296,000 | 43,452,903 | ||||||
Daikin Industries Ltd. | 1,269,000 | 120,962,461 | ||||||
LIXIL Group Corp. | 1,480,500 | 36,428,623 | ||||||
TOTO Ltd. | 846,000 | 32,702,775 | ||||||
|
| |||||||
233,546,762 | ||||||||
CAPITAL MARKETS — 1.42% |
| |||||||
Daiwa Securities Group Inc. | 8,460,000 | 53,859,391 | ||||||
Japan Exchange Group Inc. | 2,749,500 | 38,163,950 | ||||||
Nomura Holdings Inc. | 19,246,500 | 125,454,462 | ||||||
SBI Holdings Inc./Japan | 1,057,510 | 14,858,164 | ||||||
|
| |||||||
232,335,967 | ||||||||
CHEMICALS — 4.55% |
| |||||||
Air Water Inc. | 846,000 | 16,128,328 | ||||||
Asahi Kasei Corp. | 6,375,000 | 62,362,582 | ||||||
Daicel Corp. | 1,480,500 | 18,035,675 | ||||||
Hitachi Chemical Co. Ltd. | 634,500 | 17,948,720 | ||||||
JSR Corp. | 1,057,500 | 18,137,753 | ||||||
Kaneka Corp. | 2,115,000 | 16,578,228 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
Kansai Paint Co. Ltd. | 1,057,500 | $ | 20,623,542 | |||||
Kuraray Co. Ltd. | 1,903,500 | 29,007,173 | ||||||
Mitsubishi Chemical Holdings Corp. | 6,979,500 | 53,816,103 | ||||||
Mitsubishi Gas Chemical Co. Inc. | 846,000 | 17,890,119 | ||||||
Mitsui Chemicals Inc. | 4,258,000 | 21,730,509 | ||||||
Nippon Paint Holdings Co. Ltd. | 846,000 | 27,409,840 | ||||||
Nissan Chemical Industries Ltd. | 634,500 | 20,529,025 | ||||||
Nitto Denko Corp. | 848,400 | 71,733,155 | ||||||
Shin-Etsu Chemical Co. Ltd. | 2,115,000 | 179,638,423 | ||||||
Sumitomo Chemical Co. Ltd. | 8,460,000 | 47,333,959 | ||||||
Taiyo Nippon Sanso Corp. | 634,500 | 7,916,718 | ||||||
Teijin Ltd. | 1,057,500 | 20,311,637 | ||||||
Toray Industries Inc. | 8,460,000 | 75,991,420 | ||||||
|
| |||||||
743,122,909 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.95% |
| |||||||
Dai Nippon Printing Co. Ltd. | 2,115,000 | 23,099,879 | ||||||
Park24 Co. Ltd. | 634,500 | 17,892,010 | ||||||
Secom Co. Ltd. | 1,057,500 | 77,361,912 | ||||||
Sohgo Security Services Co. Ltd. | 423,000 | 16,067,837 | ||||||
Toppan Printing Co. Ltd. | 2,115,000 | 21,398,579 | ||||||
|
| |||||||
155,820,217 | ||||||||
CONSTRUCTION & ENGINEERING — 0.92% |
| |||||||
JGC Corp. | 1,057,500 | 19,064,017 | ||||||
Kajima Corp. | 4,289,000 | 28,060,491 | ||||||
Obayashi Corp. | 3,384,000 | 31,576,136 | ||||||
Shimizu Corp. | 2,892,000 | 26,649,256 | ||||||
Taisei Corp. | 6,345,000 | 44,687,491 | ||||||
|
| |||||||
150,037,391 | ||||||||
CONSTRUCTION MATERIALS — 0.14% |
| |||||||
Taiheiyo Cement Corp. | 6,345,000 | 22,400,456 | ||||||
|
| |||||||
22,400,456 | ||||||||
CONSUMER FINANCE — 0.23% |
| |||||||
Acom Co. Ltd.a | 2,115,000 | 8,884,569 | ||||||
AEON Financial Service Co. Ltd. | 634,570 | 12,330,117 | ||||||
Credit Saison Co. Ltd. | 846,000 | 16,113,206 | ||||||
|
| |||||||
37,327,892 | ||||||||
CONTAINERS & PACKAGING — 0.09% |
| |||||||
Toyo Seikan Group Holdings Ltd. | 846,000 | 15,387,317 | ||||||
|
| |||||||
15,387,317 |
Security | Shares | Value | ||||||
DIVERSIFIED CONSUMER SERVICES — 0.08% |
| |||||||
Benesse Holdings Inc. | 423,000 | $ | 13,062,207 | |||||
|
| |||||||
13,062,207 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.75% |
| |||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. | 2,326,500 | 12,912,870 | ||||||
ORIX Corp. | 6,979,500 | 109,010,826 | ||||||
|
| |||||||
121,923,696 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.95% |
| |||||||
Nippon Telegraph & Telephone Corp. | 3,662,300 | 155,513,137 | ||||||
|
| |||||||
155,513,137 | ||||||||
ELECTRIC UTILITIES — 1.21% |
| |||||||
Chubu Electric Power Co. Inc. | 3,384,000 | 44,763,105 | ||||||
Chugoku Electric Power Co. Inc. (The) | 1,480,500 | 16,381,633 | ||||||
Hokuriku Electric Power Co. | 846,000 | 8,393,082 | ||||||
Kansai Electric Power Co. Inc. (The)a | 3,807,000 | 42,379,394 | ||||||
Kyushu Electric Power Co. Inc. | 2,326,500 | 25,992,090 | ||||||
Tohoku Electric Power Co. Inc. | 2,326,500 | 29,984,475 | ||||||
Tokyo Electric Power Co. Holdings Inc.a | 7,614,000 | 29,398,472 | ||||||
|
| |||||||
197,292,251 | ||||||||
ELECTRICAL EQUIPMENT — 1.80% |
| |||||||
Fuji Electric Co. Ltd. | 2,279,000 | 12,649,229 | ||||||
Mabuchi Motor Co. Ltd. | 222,700 | 12,081,950 | ||||||
Mitsubishi Electric Corp. | 10,152,000 | 149,487,599 | ||||||
Nidec Corp. | 1,269,000 | 118,977,611 | ||||||
|
| |||||||
293,196,389 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 5.16% |
| |||||||
Alps Electric Co. Ltd. | 1,057,500 | 31,615,833 | ||||||
Hamamatsu Photonics KK | 846,000 | 25,028,020 | ||||||
Hirose Electric Co. Ltd. | 211,560 | 28,514,321 | ||||||
Hitachi High-Technologies Corp. | 423,000 | 17,693,525 | ||||||
Hitachi Ltd. | 25,380,000 | 140,368,629 | ||||||
Keyence Corp. | 511,852 | 198,821,003 | ||||||
Kyocera Corp. | 1,692,000 | 93,427,859 | ||||||
Murata Manufacturing Co. Ltd. | 992,600 | 143,276,489 | ||||||
Nippon Electric Glass Co. Ltd. | 2,115,500 | 13,197,649 | ||||||
Omron Corp. | 1,057,500 | 45,651,562 | ||||||
Shimadzu Corp. | 1,057,500 | 17,306,006 | ||||||
TDK Corp. | 634,500 | 43,326,451 |
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
Yaskawa Electric Corp. | 1,269,000 | $ | 23,886,258 | |||||
Yokogawa Electric Corp. | 1,269,000 | 19,837,163 | ||||||
|
| |||||||
841,950,768 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 1.32% |
| |||||||
Daiwa House REIT Investment Corp. | 6,345 | 16,559,324 | ||||||
Japan Prime Realty Investment Corp. | 4,230 | 16,861,778 | ||||||
Japan Real Estate Investment Corp. | 6,345 | 35,103,499 | ||||||
Japan Retail Fund Investment Corp. | 12,700 | 25,653,126 | ||||||
Nippon Building Fund Inc. | 8,460 | 47,485,186 | ||||||
Nippon Prologis REIT Inc. | 8,460 | 18,260,625 | ||||||
Nomura Real Estate Master Fund Inc. | 21,150 | 31,814,318 | ||||||
United Urban Investment Corp. | 14,805 | 23,103,660 | ||||||
|
| |||||||
214,841,516 | ||||||||
FOOD & STAPLES RETAILING — 1.78% |
| |||||||
Aeon Co. Ltd. | 3,384,000 | 50,660,946 | ||||||
FamilyMart UNY Holdings Co. Ltd. | 423,000 | 25,935,380 | ||||||
Lawson Inc. | 318,100 | 22,034,008 | ||||||
Seven & I Holdings Co. Ltd. | 4,018,580 | 158,035,054 | ||||||
Sundrug Co. Ltd. | 211,500 | 13,969,567 | ||||||
Tsuruha Holdings Inc. | 211,500 | 19,659,472 | ||||||
|
| |||||||
290,294,427 | ||||||||
FOOD PRODUCTS — 1.61% |
| |||||||
Ajinomoto Co. Inc. | 2,961,000 | 60,180,668 | ||||||
Calbee Inc. | 423,000 | 14,404,344 | ||||||
Kikkoman Corp. | 733,000 | 22,176,386 | ||||||
MEIJI Holdings Co. Ltd. | 634,556 | 50,930,088 | ||||||
NH Foods Ltd. | 883,000 | 23,628,744 | ||||||
Nisshin Seifun Group Inc. | 1,057,575 | 15,965,001 | ||||||
Nissin Foods Holdings Co. Ltd. | 423,000 | 23,780,399 | ||||||
Toyo Suisan Kaisha Ltd. | 423,000 | 15,576,351 | ||||||
Yakult Honsha Co. Ltd. | 423,000 | 23,175,493 | ||||||
Yamazaki Baking Co. Ltd. | 634,500 | 12,776,766 | ||||||
|
| |||||||
262,594,240 | ||||||||
GAS UTILITIES — 0.64% |
| |||||||
Osaka Gas Co. Ltd. | 10,575,000 | 40,944,631 | ||||||
Toho Gas Co. Ltd. | 2,115,000 | 15,273,897 |
Security | Shares | Value | ||||||
Tokyo Gas Co. Ltd. | 10,575,000 | $ | 48,184,609 | |||||
|
| |||||||
104,403,137 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.68% |
| |||||||
CYBERDYNE Inc.a,b | 634,500 | 9,980,962 | ||||||
Hoya Corp. | 2,115,000 | 96,104,572 | ||||||
Olympus Corp. | 1,480,500 | 52,598,539 | ||||||
Sysmex Corp. | 846,000 | 49,073,066 | ||||||
Terumo Corp. | 1,903,500 | 66,265,652 | ||||||
|
| |||||||
274,022,791 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.42% |
| |||||||
Alfresa Holdings Corp. | 1,057,500 | 19,111,275 | ||||||
Medipal Holdings Corp. | 846,000 | 14,011,154 | ||||||
Miraca Holdings Inc. | 423,000 | 20,339,992 | ||||||
Suzuken Co. Ltd./Aichi Japan | 423,040 | 14,367,896 | ||||||
|
| |||||||
67,830,317 | ||||||||
HEALTH CARE TECHNOLOGY — 0.16% |
| |||||||
M3 Inc. | 1,057,500 | 26,937,257 | ||||||
|
| |||||||
26,937,257 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.45% |
| |||||||
McDonald’s Holdings Co. Japan Ltd.b | 423,000 | 12,098,137 | ||||||
Oriental Land Co. Ltd./Japan | 1,096,700 | 61,870,406 | ||||||
|
| |||||||
73,968,543 | ||||||||
HOUSEHOLD DURABLES — 3.18% |
| |||||||
Casio Computer Co. Ltd. | 1,269,000 | 17,205,818 | ||||||
Iida Group Holdings Co. Ltd. | 846,080 | 14,367,896 | ||||||
Nikon Corp. | 1,903,500 | 29,211,329 | ||||||
Panasonic Corp. | 11,632,515 | 128,193,154 | ||||||
Rinnai Corp. | 211,500 | 17,126,424 | ||||||
Sekisui Chemical Co. Ltd. | 2,122,000 | 35,181,749 | ||||||
Sekisui House Ltd. | 3,172,500 | 50,911,416 | ||||||
Sharp Corp./Japana,b | 7,811,000 | 23,247,647 | ||||||
Sony Corp. | 6,556,500 | 203,812,012 | ||||||
|
| |||||||
519,257,445 | ||||||||
HOUSEHOLD PRODUCTS — 0.42% |
| |||||||
Lion Corp. | 1,200,000 | 20,807,079 | ||||||
Unicharm Corp. | 2,115,000 | 47,730,929 | ||||||
|
| |||||||
68,538,008 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.12% |
| |||||||
Electric Power Development Co. Ltd. | 846,000 | 19,954,364 | ||||||
|
| |||||||
19,954,364 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
INDUSTRIAL CONGLOMERATES — 0.41% |
| |||||||
Keihan Holdings Co. Ltd. | 2,115,000 | $ | 13,421,370 | |||||
Seibu Holdings Inc. | 846,000 | 14,540,448 | ||||||
Toshiba Corp.a | 21,150,000 | 39,356,750 | ||||||
|
| |||||||
67,318,568 | ||||||||
INSURANCE — 3.19% |
| |||||||
Dai-ichi Life Holdings Inc. | 5,711,600 | 107,840,685 | ||||||
Japan Post Holdings Co. Ltd. | 2,326,500 | 29,963,681 | ||||||
MS&AD Insurance Group Holdings Inc. | 2,749,540 | 93,359,275 | ||||||
Sompo Holdings Inc. | 1,903,550 | 71,422,469 | ||||||
Sony Financial Holdings Inc. | 846,000 | 14,926,076 | ||||||
T&D Holdings Inc. | 2,961,000 | 45,611,865 | ||||||
Tokio Marine Holdings Inc. | 3,595,500 | 158,075,385 | ||||||
|
| |||||||
521,199,436 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.40% |
| |||||||
Rakuten Inc. | 4,864,500 | 48,390,656 | ||||||
Start Today Co. Ltd. | 846,000 | 17,754,015 | ||||||
|
| |||||||
66,144,671 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.43% |
| |||||||
DeNA Co. Ltd. | 634,500 | 14,330,621 | ||||||
Kakaku.com Inc. | 846,000 | 12,264,486 | ||||||
Mixi Inc. | 211,500 | 9,205,926 | ||||||
Yahoo Japan Corp. | 7,402,500 | 34,470,237 | ||||||
|
| |||||||
70,271,270 | ||||||||
IT SERVICES — 0.90% |
| |||||||
Fujitsu Ltd. | 10,575,000 | 61,691,044 | ||||||
Nomura Research Institute Ltd. | 695,204 | 24,108,607 | ||||||
NTT Data Corp. | 634,500 | 30,056,308 | ||||||
Obic Co. Ltd. | 423,000 | 19,772,892 | ||||||
Otsuka Corp. | 211,500 | 10,793,806 | ||||||
|
| |||||||
146,422,657 | ||||||||
LEISURE PRODUCTS — 0.85% |
| |||||||
Bandai Namco Holdings Inc. | 1,057,598 | 30,578,983 | ||||||
Sankyo Co. Ltd. | 211,500 | 7,514,077 | ||||||
Sega Sammy Holdings Inc. | 1,057,500 | 15,623,609 | ||||||
Shimano Inc. | 423,000 | 62,759,083 | ||||||
Yamaha Corp. | 846,000 | 22,132,029 | ||||||
|
| |||||||
138,607,781 | ||||||||
MACHINERY — 5.45% |
| |||||||
Amada Holdings Co. Ltd. | 1,692,000 | 19,205,792 | ||||||
FANUC Corp. | 1,013,600 | 200,437,056 | ||||||
Hino Motors Ltd. | 1,269,000 | 14,801,314 |
Security | Shares | Value | ||||||
Hitachi Construction Machinery Co. Ltd. | 634,500 | $ | 14,823,998 | |||||
Hoshizaki Corp. | 222,800 | 17,722,840 | ||||||
IHI Corp.a | 7,611,000 | 23,808,821 | ||||||
JTEKT Corp. | 1,057,500 | 18,033,785 | ||||||
Kawasaki Heavy Industries Ltd. | 8,460,000 | 26,691,514 | ||||||
Komatsu Ltd. | 4,864,500 | 117,846,246 | ||||||
Kubota Corp. | 5,499,000 | 87,853,264 | ||||||
Kurita Water Industries Ltd. | 634,500 | 15,198,284 | ||||||
Makita Corp. | 634,500 | 44,120,391 | ||||||
Minebea Mitsumi Inc. | 1,903,500 | 23,545,998 | ||||||
Mitsubishi Heavy Industries Ltd. | 16,920,000 | 67,144,657 | ||||||
Nabtesco Corp. | 634,500 | 17,721,880 | ||||||
NGK Insulators Ltd. | 1,480,500 | 32,009,023 | ||||||
NSK Ltd. | 2,326,500 | 33,311,463 | ||||||
SMC Corp./Japan | 286,600 | 81,585,646 | ||||||
Sumitomo Heavy Industries Ltd. | 2,378,000 | 16,896,903 | ||||||
THK Co. Ltd. | 635,100 | 16,580,660 | ||||||
|
| |||||||
889,339,535 | ||||||||
MARINE — 0.24% |
| |||||||
Mitsui OSK Lines Ltd. | 6,345,000 | 21,039,415 | ||||||
Nippon Yusen KK | 8,460,000 | 18,752,112 | ||||||
|
| |||||||
39,791,527 | ||||||||
MEDIA — 0.55% |
| |||||||
Dentsu Inc. | 1,060,900 | 58,978,397 | ||||||
Hakuhodo DY Holdings Inc. | 1,057,500 | 13,052,755 | ||||||
Toho Co. Ltd./Tokyo | 634,500 | 18,033,785 | ||||||
|
| |||||||
90,064,937 | ||||||||
METALS & MINING — 1.58% |
| |||||||
Hitachi Metals Ltd. | 1,057,500 | 15,122,670 | ||||||
JFE Holdings Inc. | 2,800,250 | 53,184,352 | ||||||
Kobe Steel Ltd.a | 1,697,600 | 16,553,440 | ||||||
Maruichi Steel Tube Ltd. | 211,500 | 6,720,137 | ||||||
Mitsubishi Materials Corp. | 634,500 | 21,152,835 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 4,441,570 | 109,704,417 | ||||||
Sumitomo Metal Mining Co. Ltd. | 2,507,000 | 34,977,227 | ||||||
|
| |||||||
257,415,078 | ||||||||
MULTILINE RETAIL — 0.75% |
| |||||||
Don Quijote Holdings Co. Ltd. | 634,500 | 22,570,586 |
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
Isetan Mitsukoshi Holdings Ltd. | 1,692,060 | $ | 21,762,295 | |||||
J Front Retailing Co. Ltd. | 1,269,000 | 19,576,297 | ||||||
Marui Group Co. Ltd. | 1,057,500 | 14,668,990 | ||||||
Ryohin Keikaku Co. Ltd. | 113,600 | 24,114,046 | ||||||
Takashimaya Co. Ltd. | 2,115,000 | 19,111,275 | ||||||
|
| |||||||
121,803,489 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.93% |
| |||||||
Idemitsu Kosan Co. Ltd. | 423,000 | 13,686,017 | ||||||
INPEX Corp. | 5,076,000 | 50,630,701 | ||||||
JX Holdings Inc. | 11,209,595 | 53,610,889 | ||||||
Showa Shell Sekiyu KK | 846,000 | 8,559,431 | ||||||
TonenGeneral Sekiyu KK | 2,115,000 | 25,424,990 | ||||||
|
| |||||||
151,912,028 | ||||||||
PAPER & FOREST PRODUCTS — 0.12% |
| |||||||
Oji Holdings Corp. | 4,230,000 | 20,339,992 | ||||||
|
| |||||||
20,339,992 | ||||||||
PERSONAL PRODUCTS — 1.29% |
| |||||||
Kao Corp. | 2,538,000 | 131,589,918 | ||||||
Kose Corp. | 211,500 | 18,185,012 | ||||||
Pola Orbis Holdings Inc. | 106,600 | 10,223,158 | ||||||
Shiseido Co. Ltd. | 1,903,500 | 50,273,428 | ||||||
|
| |||||||
210,271,516 | ||||||||
PHARMACEUTICALS — 5.25% |
| |||||||
Astellas Pharma Inc. | 11,421,050 | 154,342,652 | ||||||
Chugai Pharmaceutical Co. Ltd. | 1,269,000 | 42,475,801 | ||||||
Daiichi Sankyo Co. Ltd. | 3,172,569 | 72,604,575 | ||||||
Eisai Co. Ltd. | 1,285,400 | 72,389,555 | ||||||
Hisamitsu Pharmaceutical Co. Inc. | 229,400 | 12,383,930 | ||||||
Kyowa Hakko Kirin Co. Ltd. | 1,480,500 | 22,243,558 | ||||||
Mitsubishi Tanabe Pharma Corp. | 1,269,000 | 26,200,027 | ||||||
Ono Pharmaceutical Co. Ltd. | 2,123,900 | 47,219,924 | ||||||
Otsuka Holdings Co. Ltd. | 2,115,000 | 96,614,962 | ||||||
Santen Pharmaceutical Co. Ltd. | 1,903,500 | 27,390,937 | ||||||
Shionogi & Co. Ltd. | 1,480,500 | 72,751,388 | ||||||
Sumitomo Dainippon Pharma Co. Ltd. | 846,000 | 14,994,128 | ||||||
Taisho Pharmaceutical Holdings Co. Ltd. | 211,500 | 17,296,555 |
Security | Shares | Value | ||||||
Takeda Pharmaceutical Co. Ltd. | 3,807,000 | $ | 177,683,818 | |||||
|
| |||||||
856,591,810 | ||||||||
PROFESSIONAL SERVICES — 0.57% |
| |||||||
Recruit Holdings Co. Ltd. | 1,903,500 | 93,741,654 | ||||||
|
| |||||||
93,741,654 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 3.01% |
| |||||||
Aeon Mall Co. Ltd. | 634,500 | 9,782,477 | ||||||
Daito Trust Construction Co. Ltd. | 358,100 | 50,313,554 | ||||||
Daiwa House Industry Co. Ltd. | 2,961,000 | 81,617,053 | ||||||
Hulic Co. Ltd. | 1,480,500 | 14,145,368 | ||||||
Mitsubishi Estate Co. Ltd. | 6,600,000 | 129,481,164 | ||||||
Mitsui Fudosan Co. Ltd. | 4,717,000 | 107,211,253 | ||||||
Nomura Real Estate Holdings Inc. | 634,500 | 10,808,929 | ||||||
Sumitomo Realty & Development Co. Ltd. | 2,115,000 | 58,619,252 | ||||||
Tokyo Tatemono Co. Ltd. | 1,057,500 | 14,980,895 | ||||||
Tokyu Fudosan Holdings Corp. | 2,538,000 | 14,517,764 | ||||||
|
| |||||||
491,477,709 | ||||||||
ROAD & RAIL — 3.88% |
| |||||||
Central Japan Railway Co. | 756,000 | 124,192,519 | ||||||
East Japan Railway Co. | 1,745,700 | 158,444,684 | ||||||
Hankyu Hanshin Holdings Inc. | 1,269,000 | 42,645,931 | ||||||
Keikyu Corp. | 2,119,000 | 23,408,714 | ||||||
Keio Corp. | 3,010,000 | 23,755,016 | ||||||
Keisei Electric Railway Co. Ltd. | 634,500 | 15,101,877 | ||||||
Kintetsu Group Holdings Co. Ltd. | 10,575,000 | 39,413,460 | ||||||
Nagoya Railroad Co. Ltd. | 4,230,000 | 19,470,439 | ||||||
Nippon Express Co. Ltd. | 4,230,000 | 21,927,872 | ||||||
Odakyu Electric Railway Co. Ltd. | 1,480,500 | 29,375,788 | ||||||
Tobu Railway Co. Ltd. | 6,345,000 | 32,608,259 | ||||||
Tokyu Corp. | 6,345,000 | 47,182,732 | ||||||
West Japan Railway Co. | 846,000 | 56,233,651 | ||||||
|
| |||||||
633,760,942 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.69% |
| |||||||
Rohm Co. Ltd. | 423,000 | 27,447,647 | ||||||
Tokyo Electron Ltd. | 846,052 | 84,767,779 | ||||||
|
| |||||||
112,215,426 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Security | Shares | Value | ||||||
SOFTWARE — 1.26% |
| |||||||
Konami Holdings Corp. | 485,400 | $ | 20,563,936 | |||||
LINE Corp.a,b | 211,500 | 7,315,592 | ||||||
Nexon Co. Ltd. | 846,000 | 14,124,575 | ||||||
Nintendo Co. Ltd. | 588,300 | 123,564,821 | ||||||
Oracle Corp. Japan | 211,500 | 12,362,783 | ||||||
Trend Micro Inc./Japan | 634,500 | 27,901,327 | ||||||
|
| |||||||
205,833,034 | ||||||||
SPECIALTY RETAIL — 1.25% |
| |||||||
ABC-Mart Inc. | 211,500 | 12,797,560 | ||||||
Fast Retailing Co. Ltd. | 275,300 | 87,325,352 | ||||||
Hikari Tsushin Inc. | 43,400 | 4,266,881 | ||||||
Nitori Holdings Co. Ltd. | 423,000 | 49,451,133 | ||||||
Shimamura Co. Ltd. | 108,100 | 14,048,121 | ||||||
USS Co. Ltd. | 1,057,500 | 18,185,011 | ||||||
Yamada Denki Co. Ltd. | 3,384,000 | 17,330,581 | ||||||
|
| |||||||
203,404,639 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 2.49% |
| |||||||
Brother Industries Ltd. | 1,269,000 | 24,011,020 | ||||||
Canon Inc. | 5,710,550 | 167,460,469 | ||||||
FUJIFILM Holdings Corp. | 2,326,500 | 90,286,124 | ||||||
Konica Minolta Inc. | 2,326,500 | 22,519,547 | ||||||
NEC Corp. | 14,805,000 | 37,050,543 | ||||||
Ricoh Co. Ltd. | 3,595,500 | 31,460,826 | ||||||
Seiko Epson Corp. | 1,480,500 | 33,252,862 | ||||||
|
| |||||||
406,041,391 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.09% |
| |||||||
ASICS Corp. | 846,000 | 14,979,005 | ||||||
|
| |||||||
14,979,005 | ||||||||
TOBACCO — 1.17% |
| |||||||
Japan Tobacco Inc. | 5,710,500 | 191,753,573 | ||||||
|
| |||||||
191,753,573 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 3.89% |
| |||||||
ITOCHU Corp. | 7,825,500 | 113,761,235 | ||||||
Marubeni Corp. | 8,671,500 | 56,329,680 | ||||||
MISUMI Group Inc. | 1,480,500 | 25,975,077 | ||||||
Mitsubishi Corp. | 8,037,000 | 182,059,941 | ||||||
Mitsui & Co. Ltd. | 9,094,500 | 139,727,805 | ||||||
Sumitomo Corp. | 6,345,000 | 85,603,767 | ||||||
Toyota Tsusho Corp. | 1,057,500 | 31,663,092 | ||||||
|
| |||||||
635,120,597 |
Security | Shares | Value | ||||||
TRANSPORTATION INFRASTRUCTURE — 0.14% |
| |||||||
Japan Airport Terminal Co. Ltd.b | 211,500 | $ | 7,419,560 | |||||
Kamigumi Co. Ltd. | 1,195,000 | 11,246,682 | ||||||
Mitsubishi Logistics Corp. | 260,000 | 3,750,637 | ||||||
|
| |||||||
22,416,879 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 4.68% |
| |||||||
KDDI Corp. | 9,729,000 | 255,561,791 | ||||||
NTT DOCOMO Inc. | 7,402,500 | 176,453,211 | ||||||
SoftBank Group Corp. | 4,441,500 | 331,946,400 | ||||||
|
| |||||||
763,961,402 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $16,773,622,427) | 16,268,579,294 | |||||||
SHORT-TERM INVESTMENTS — 0.29% |
| |||||||
MONEY MARKET FUNDS — 0.29% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 47,629,901 | 47,648,953 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 329,633 | 329,633 | ||||||
|
| |||||||
47,978,586 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $47,967,068) | 47,978,586 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $16,821,589,495)f |
| 16,316,557,880 | ||||||
Other Assets, Less Liabilities — 0.06% |
| 9,404,604 | ||||||
|
| |||||||
NET ASSETS — 100.00% | $ | 16,325,962,484 | ||||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 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 $17,026,892,538. Net unrealized depreciation was $710,334,658, of which $1,024,525,283 represented gross unrealized appreciation on securities and $1,734,859,941 represented gross unrealized depreciation on securities. |
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2017
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
TOPIX Index | 409 | Mar. 2017 | Osaka Securities | $ | 55,367,707 | $ | 56,075,971 | $ | 708,264 | |||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 16,268,579,294 | $ | — | $ | — | $ | 16,268,579,294 | ||||||||
Money market funds | 47,978,586 | — | — | 47,978,586 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 16,316,557,880 | $ | — | $ | — | $ | 16,316,557,880 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Futures contracts | $ | 708,264 | $ | — | $ | — | $ | 708,264 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 708,264 | $ | — | $ | — | $ | 708,264 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI MEXICO CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.87% |
| |||||||
AIRLINES — 1.42% |
| |||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa,b | 7,624,800 | $ | 9,309,443 | |||||
Grupo Aeromexico SAB de CVa,b | 6,266,743 | 14,008,115 | ||||||
|
| |||||||
23,317,558 | ||||||||
AUTO COMPONENTS — 0.24% |
| |||||||
Rassini SAB de CV | 1,020,599 | 3,995,052 | ||||||
|
| |||||||
3,995,052 | ||||||||
BANKS — 12.36% | ||||||||
Banregio Grupo Financiero SAB de CV | 2,718,200 | 14,141,125 | ||||||
Grupo Financiero Banorte SAB de CV | 23,261,178 | 116,173,544 | ||||||
Grupo Financiero Inbursa SAB de CV Series Ob | 24,933,492 | 35,767,593 | ||||||
Grupo Financiero Interacciones SA de CV Series O | 1,437,000 | 6,345,937 | ||||||
Grupo Financiero Santander Mexico SAB de CV Series Bb | 19,790,250 | 29,844,621 | ||||||
|
| |||||||
202,272,820 | ||||||||
BEVERAGES — 11.70% |
| |||||||
Arca Continental SAB de CV | 4,617,729 | 25,986,455 | ||||||
Coca-Cola Femsa SAB de CV Series L | 3,850,947 | 25,415,836 | ||||||
Fomento Economico Mexicano SAB de CV | 17,289,910 | 139,943,391 | ||||||
|
| |||||||
191,345,682 | ||||||||
BUILDING PRODUCTS — 0.35% |
| |||||||
Elementia SAB de CVa,b,c | 5,028,190 | 5,782,000 | ||||||
|
| |||||||
5,782,000 | ||||||||
CAPITAL MARKETS — 0.46% |
| |||||||
Bolsa Mexicana de Valores SAB de CV | 5,225,987 | 7,575,201 | ||||||
|
| |||||||
7,575,201 | ||||||||
CHEMICALS — 1.71% |
| |||||||
Mexichem SAB de CV | 11,813,818 | 27,991,175 | ||||||
|
| |||||||
27,991,175 | ||||||||
CONSTRUCTION MATERIALS — 6.79% |
| |||||||
Cemex SAB de CV CPOa | 130,602,432 | 111,117,649 | ||||||
|
| |||||||
111,117,649 |
Security | Shares | Value | ||||||
CONSUMER FINANCE — 1.49% |
| |||||||
Credito Real SAB de CV SOFOM ER | 3,350,774 | $ | 4,186,635 | |||||
Gentera SAB de CV | 11,296,206 | 14,955,950 | ||||||
Unifin Financiera SAB de CV SOFOM ENRb | 2,287,048 | 5,225,512 | ||||||
|
| |||||||
24,368,097 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.92% |
| |||||||
Axtel SAB de CV CPOa,b | 17,065,477 | 3,141,186 | ||||||
Telesites SAB de CVa | 20,735,946 | 11,927,493 | ||||||
|
| |||||||
15,068,679 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 4.58% |
| |||||||
Concentradora Fibra Danhos SA de CV | 450,300 | 702,272 | ||||||
Concentradora Fibra Hotelera Mexicana SA de CVb | 7,523,690 | 5,607,182 | ||||||
Fibra Uno Administracion SA de CV | 27,143,100 | 39,453,226 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 10,071,900 | 10,418,121 | ||||||
PLA Administradora Industrial S. de RL de CVb | 7,625,200 | 11,338,970 | ||||||
Prologis Property Mexico SA de CV | 4,980,200 | 7,383,333 | ||||||
|
| |||||||
74,903,104 | ||||||||
FOOD & STAPLES RETAILING — 5.17% |
| |||||||
Grupo Comercial Chedraui SA de CV | 4,412,800 | 8,252,721 | ||||||
La Comer SAB de CVa,b | 7,259,855 | 4,884,023 | ||||||
Wal-Mart de Mexico SAB de CV | 36,703,733 | 71,506,441 | ||||||
|
| |||||||
84,643,185 | ||||||||
FOOD PRODUCTS — 6.12% |
| |||||||
Gruma SAB de CV Series B | 2,343,940 | 31,059,088 | ||||||
Grupo Bimbo SAB de CV | 17,350,604 | 41,153,200 | ||||||
Grupo Herdez SAB de CVb | 3,310,944 | 6,192,054 | ||||||
Grupo Lala SAB de CVb | 7,403,800 | 12,231,810 | ||||||
Industrias Bachoco SAB de CV Series B | 2,382,200 | 9,541,788 | ||||||
|
| |||||||
100,177,940 | ||||||||
GAS UTILITIES — 0.99% |
| |||||||
Infraestructura Energetica Nova SAB de CV | 3,752,200 | 16,127,173 | ||||||
|
| |||||||
16,127,173 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MEXICO CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
HOTELS, RESTAURANTS & LEISURE — 1.38% |
| |||||||
Alsea SAB de CV | 6,193,666 | $ | 17,549,921 | |||||
Hoteles City Express SAB de CVa,b | 5,579,600 | 5,026,252 | ||||||
|
| |||||||
22,576,173 | ||||||||
HOUSEHOLD DURABLES — 0.37% |
| |||||||
Consorcio ARA SAB de CV | 13,665,919 | 4,135,440 | ||||||
Corpovael SAB de CVb | 4,319,075 | 1,968,052 | ||||||
|
| |||||||
6,103,492 | ||||||||
HOUSEHOLD PRODUCTS — 1.91% |
| |||||||
Kimberly-Clark de Mexico SAB de CV Series A | 16,496,954 | 31,256,561 | ||||||
|
| |||||||
31,256,561 | ||||||||
INDUSTRIAL CONGLOMERATES — 3.99% |
| |||||||
Alfa SAB de CV | 29,864,451 | 38,374,798 | ||||||
Grupo Carso SAB de CV Series A1 | 6,292,733 | 26,832,501 | ||||||
|
| |||||||
65,207,299 | ||||||||
INSURANCE — 0.35% |
| |||||||
Qualitas Controladora SAB de CV | 3,600,100 | 5,670,413 | ||||||
|
| |||||||
5,670,413 | ||||||||
MACHINERY — 0.20% |
| |||||||
Grupo Rotoplas SAB de CVb | 2,774,100 | 3,277,400 | ||||||
|
| |||||||
3,277,400 | ||||||||
MEDIA — 5.24% |
| |||||||
Grupo Televisa SAB | 16,015,947 | 81,967,298 | ||||||
TV Azteca SAB de CV CPOb | 22,982,739 | 3,690,067 | ||||||
|
| |||||||
85,657,365 | ||||||||
METALS & MINING — 9.97% |
| |||||||
Grupo Mexico SAB de CV Series B | 35,541,286 | 108,333,569 | ||||||
Industrias CH SAB de CV Series Ba | 1,927,383 | 12,363,826 | ||||||
Industrias Penoles SAB de CV | 1,495,833 | 35,712,496 | ||||||
Minera Frisco SAB de CV Series A1a,b | 9,657,103 | 6,767,254 | ||||||
|
| |||||||
163,177,145 | ||||||||
MULTILINE RETAIL — 1.07% |
| |||||||
El Puerto de Liverpool SAB de CV Series C1b | 2,126,085 | 14,920,958 | ||||||
Grupo Famsa SAB de CV Series Aa,b | 6,991,087 | 2,542,182 | ||||||
|
| |||||||
17,463,140 |
Security | Shares | Value | ||||||
PHARMACEUTICALS — 0.71% |
| |||||||
Genomma Lab Internacional SAB de CV Series Ba | 10,005,093 | $ | 11,555,069 | |||||
|
| |||||||
11,555,069 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.79% |
| |||||||
Corp Inmobiliaria Vesta SAB de CVb | 6,822,149 | 8,394,286 | ||||||
Grupo GICSA SA de CVa,b | 8,194,266 | 4,528,974 | ||||||
|
| |||||||
12,923,260 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 7.25% |
| |||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 2,590,892 | 12,514,659 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 3,824,149 | 33,247,731 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 2,221,125 | 35,289,810 | ||||||
OHL Mexico SAB de CV | 9,693,700 | 10,196,622 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 2,904,590 | 27,313,047 | ||||||
|
| |||||||
118,561,869 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 12.34% |
| |||||||
America Movil SAB de CV | 316,518,418 | 201,853,664 | ||||||
|
| |||||||
201,853,664 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $2,129,006,881) | 1,633,968,165 | |||||||
SHORT-TERM INVESTMENTS — 1.69% |
| |||||||
MONEY MARKET FUNDS — 1.69% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 27,544,627 | 27,555,645 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 33,632 | 33,632 | ||||||
|
| |||||||
27,589,277 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $27,580,437) |
| 27,589,277 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MEXICO CAPPED ETF
February 28, 2017
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $2,156,587,318)g | $ | 1,661,557,442 | ||||
Other Assets, Less Liabilities — (1.56)% | (25,479,574 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 1,636,077,868 | ||||
|
|
CPO — Certificates of Participation (Ordinary)
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
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 $2,215,433,074. Net unrealized depreciation was $553,875,632, of which $7,866,553 represented gross unrealized appreciation on securities and $561,742,185 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 1,633,968,165 | $ | — | $ | — | $ | 1,633,968,165 | ||||||||
Money market funds | 27,589,277 | — | — | 27,589,277 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,661,557,442 | $ | — | $ | — | $ | 1,661,557,442 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SOUTH KOREA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 96.46% |
| |||||||
AEROSPACE & DEFENSE — 0.92% |
| |||||||
Hanwha Techwin Co. Ltd.a | 243,321 | $ | 9,446,643 | |||||
Korea Aerospace Industries Ltd. Class Aa | 382,417 | 19,716,924 | ||||||
|
| |||||||
29,163,567 | ||||||||
AIR FREIGHT & LOGISTICS — 0.47% |
| |||||||
Hyundai Glovis Co. Ltd. | 109,514 | 14,866,592 | ||||||
|
| |||||||
14,866,592 | ||||||||
AIRLINES — 0.21% |
| |||||||
Korean Air Lines Co. Ltd.a | 257,263 | 6,575,194 | ||||||
|
| |||||||
6,575,194 | ||||||||
AUTO COMPONENTS — 3.70% |
| |||||||
Hankook Tire Co. Ltd.a | 411,582 | 21,766,618 | ||||||
Hanon Systems | 1,219,854 | 9,881,815 | ||||||
Hyundai Mobis Co. Ltd. | 346,152 | 78,062,136 | ||||||
Hyundai Wia Corp. | 119,366 | 7,062,203 | ||||||
|
| |||||||
116,772,772 | ||||||||
AUTOMOBILES — 4.73% |
| |||||||
Hyundai Motor Co. | 777,753 | 102,829,161 | ||||||
Kia Motors Corp. | 1,367,687 | 46,264,893 | ||||||
|
| |||||||
149,094,054 | ||||||||
BANKS — 8.85% |
| |||||||
BNK Financial Group Inc. | 1,583,988 | 12,159,200 | ||||||
DGB Financial Group Inc. | 1,076,849 | 9,904,249 | ||||||
Hana Financial Group Inc. | 1,533,463 | 47,804,175 | ||||||
Industrial Bank of Koreaa | 1,452,533 | 15,864,499 | ||||||
KB Financial Group Inc. | 2,024,327 | 83,962,800 | ||||||
Shinhan Financial Group Co. Ltd. | 2,167,515 | 89,518,418 | ||||||
Woori Banka | 1,694,424 | 19,929,993 | ||||||
|
| |||||||
279,143,334 | ||||||||
BEVERAGES — 0.20% |
| |||||||
Lotte Chilsung Beverage Co. Ltd.a | 4,811 | 6,416,085 | ||||||
|
| |||||||
6,416,085 | ||||||||
BIOTECHNOLOGY — 1.19% |
| |||||||
Celltrion Inc.a,b | 418,391 | 37,556,212 | ||||||
|
| |||||||
37,556,212 | ||||||||
BUILDING PRODUCTS — 0.35% |
| |||||||
KCC Corp. | 36,339 | 11,135,497 | ||||||
|
| |||||||
11,135,497 |
Security | Shares | Value | ||||||
CAPITAL MARKETS — 1.51% |
| |||||||
Korea Investment Holdings Co. Ltd.a | 247,984 | $ | 10,395,261 | |||||
Mirae Asset Daewoo Co. Ltd.a | 2,213,245 | 17,478,910 | ||||||
NH Investment & Securities Co. Ltd.a | 914,653 | 9,383,131 | ||||||
Samsung Securities Co. Ltd. | 353,390 | 10,360,273 | ||||||
|
| |||||||
47,617,575 | ||||||||
CHEMICALS — 4.16% |
| |||||||
Hanwha Chemical Corp. | 628,461 | 14,089,309 | ||||||
Hyosung Corp. | 123,768 | 14,393,537 | ||||||
Kumho Petrochemical Co. Ltd.b | 123,747 | 8,393,893 | ||||||
LG Chem Ltd. | 235,636 | 58,974,122 | ||||||
Lotte Chemical Corp.a | 83,036 | 26,766,856 | ||||||
OCI Co. Ltd.b | 109,946 | 8,663,443 | ||||||
|
| |||||||
131,281,160 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.58% |
| |||||||
KEPCO Plant Service & Engineering Co. Ltd.a,b | 157,050 | 8,458,408 | ||||||
S-1 Corp. | 123,315 | 9,924,090 | ||||||
|
| |||||||
18,382,498 | ||||||||
CONSTRUCTION & ENGINEERING — 1.82% |
| |||||||
Daelim Industrial Co. Ltd.a | 169,387 | 12,523,328 | ||||||
Daewoo Engineering & Construction Co. Ltd.a,b | 1,038,360 | 5,629,137 | ||||||
GS Engineering & Construction Corp.a,b | 331,717 | 8,742,133 | ||||||
Hyundai Development Co. Engineering & Construction | 340,952 | 13,206,896 | ||||||
Hyundai Engineering & Construction Co. Ltd. | 412,330 | 17,430,355 | ||||||
|
| |||||||
57,531,849 | ||||||||
CONSUMER FINANCE — 0.28% |
| |||||||
Samsung Card Co. Ltd. | 232,076 | 8,691,946 | ||||||
|
| |||||||
8,691,946 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.61% |
| |||||||
KT Corp. | 205,716 | 5,539,732 | ||||||
LG Uplus Corp. | 1,213,444 | 13,736,090 | ||||||
|
| |||||||
19,275,822 | ||||||||
ELECTRIC UTILITIES — 1.62% |
| |||||||
Korea Electric Power Corp.a | 1,326,670 | 51,154,377 | ||||||
|
| |||||||
51,154,377 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
ELECTRICAL EQUIPMENT — 0.23% |
| |||||||
Doosan Heavy Industries & Construction Co. Ltd. | 331,839 | $ | 7,204,641 | |||||
|
| |||||||
7,204,641 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 2.85% |
| |||||||
LG Display Co. Ltd. | 1,239,303 | 30,030,424 | ||||||
LG Innotek Co. Ltd. | 92,003 | 9,763,750 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 320,227 | 16,567,127 | ||||||
Samsung SDI Co. Ltd. | 292,638 | 33,385,189 | ||||||
|
| |||||||
89,746,490 | ||||||||
FOOD & STAPLES RETAILING — 1.46% |
| |||||||
BGF retail Co. Ltd.b | 124,463 | 11,227,262 | ||||||
Dongsuh Cos. Inc. | 274,531 | 6,191,059 | ||||||
E-MART Inc. | 108,976 | 20,045,994 | ||||||
GS Retail Co. Ltd. | 184,297 | 8,573,091 | ||||||
|
| |||||||
46,037,406 | ||||||||
FOOD PRODUCTS — 1.33% |
| |||||||
CJ CheilJedang Corp. | 46,313 | 14,929,107 | ||||||
Lotte Confectionery Co. Ltd.a | 41,000 | 7,088,658 | ||||||
Orion Corp./Republic of Korea | 21,681 | 13,690,236 | ||||||
Ottogi Corp. | 9,581 | 6,337,907 | ||||||
|
| |||||||
42,045,908 | ||||||||
GAS UTILITIES — 0.26% |
| |||||||
Korea Gas Corp.a | 191,224 | 8,278,059 | ||||||
|
| |||||||
8,278,059 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.65% |
| |||||||
Kangwon Land Inc.a | 656,212 | 20,514,786 | ||||||
|
| |||||||
20,514,786 | ||||||||
HOUSEHOLD DURABLES — 2.09% |
| |||||||
Coway Co. Ltd. | 292,895 | 23,182,934 | ||||||
Hanssem Co. Ltd. | 64,295 | 12,623,029 | ||||||
LG Electronics Inc. | 566,340 | 29,951,034 | ||||||
|
| |||||||
65,756,997 | ||||||||
INDUSTRIAL CONGLOMERATES — 4.43% |
| |||||||
CJ Corp. | 87,035 | 13,277,504 | ||||||
Hanwha Corp. | 295,230 | 9,503,756 | ||||||
LG Corp. | 509,348 | 28,288,352 | ||||||
Samsung C&T Corp. | 395,318 | 43,001,649 | ||||||
SK Holdings Co. Ltd. | 237,612 | 45,809,786 | ||||||
|
| |||||||
139,881,047 |
Security | Shares | Value | ||||||
INSURANCE — 3.56% |
| |||||||
Dongbu Insurance Co. Ltd. | 287,511 | $ | 15,535,637 | |||||
Hanwha Life Insurance Co. Ltd.a | 1,480,889 | 8,525,835 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 391,232 | 11,210,185 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 174,283 | 39,303,263 | ||||||
Samsung Life Insurance Co. Ltd. | 399,898 | 37,841,332 | ||||||
|
| |||||||
112,416,252 | ||||||||
INTERNET SOFTWARE & SERVICES — 3.51% |
| |||||||
Kakao Corp.a,b | 179,464 | 13,554,036 | ||||||
NAVER Corp. | 141,683 | 97,232,817 | ||||||
|
| |||||||
110,786,853 | ||||||||
IT SERVICES — 0.70% |
| |||||||
Samsung SDS Co. Ltd. | 191,871 | 22,059,014 | ||||||
|
| |||||||
22,059,014 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.45% |
| |||||||
Samsung Biologics Co. Ltd.a,b | 97,537 | 14,189,552 | ||||||
|
| |||||||
14,189,552 | ||||||||
MACHINERY — 1.50% |
| |||||||
Hyundai Heavy Industries Co. Ltd.a | 222,868 | 32,422,539 | ||||||
Samsung Heavy Industries Co. Ltd.a | 1,494,390 | 14,801,829 | ||||||
|
| |||||||
47,224,368 | ||||||||
MEDIA — 0.53% |
| |||||||
Cheil Worldwide Inc. | 475,984 | 7,976,915 | ||||||
CJ E&M Corp. | 126,457 | 8,734,284 | ||||||
|
| |||||||
16,711,199 | ||||||||
METALS & MINING — 4.32% |
| |||||||
Hyundai Steel Co. | 435,694 | 24,082,136 | ||||||
Korea Zinc Co. Ltd.a | 48,020 | 17,687,667 | ||||||
POSCO | 377,228 | 94,578,057 | ||||||
|
| |||||||
136,347,860 | ||||||||
MULTILINE RETAIL — 0.99% |
| |||||||
Hyundai Department Store Co. Ltd. | 101,730 | 8,942,704 | ||||||
Lotte Shopping Co. Ltd.b | 65,495 | 13,379,920 | ||||||
Shinsegae Inc. | 50,327 | 8,879,272 | ||||||
|
| |||||||
31,201,896 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 2.54% |
| |||||||
GS Holdings Corp. | 300,564 | 14,752,423 | ||||||
S-Oil Corp.b | 252,796 | 19,316,006 |
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA CAPPED ETF
February 28, 2017
Security | Shares | Value | ||||||
SK Innovation Co. Ltd. | 336,099 | $ | 45,922,879 | |||||
|
| |||||||
79,991,308 | ||||||||
PERSONAL PRODUCTS — 3.21% |
| |||||||
AmorePacific Corp. | 167,548 | 44,600,440 | ||||||
AmorePacific Group | 159,097 | 18,291,055 | ||||||
LG Household & Health Care Ltd. | 49,339 | 38,310,539 | ||||||
|
| |||||||
101,202,034 | ||||||||
PHARMACEUTICALS — 0.85% |
| |||||||
Hanmi Pharm Co. Ltd.a,b | 36,232 | 10,285,626 | ||||||
Hanmi Science Co. Ltd.a,b | 104,680 | 6,072,967 | ||||||
Yuhan Corp. | 52,974 | 10,494,076 | ||||||
|
| |||||||
26,852,669 | ||||||||
ROAD & RAIL — 0.24% |
| |||||||
CJ Korea Express Corp.a | 49,263 | 7,515,249 | ||||||
|
| |||||||
7,515,249 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 3.86% |
| |||||||
SK Hynix Inc. | 2,948,203 | 121,760,849 | ||||||
|
| |||||||
121,760,849 | ||||||||
SOFTWARE — 0.73% |
| |||||||
NCsoft Corp. | 95,181 | 23,063,979 | ||||||
|
| |||||||
23,063,979 | ||||||||
SPECIALTY RETAIL — 0.31% |
| |||||||
Hotel Shilla Co. Ltd.b | 218,750 | 9,885,585 | ||||||
|
| |||||||
9,885,585 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 21.78% |
| |||||||
Samsung Electronics Co. Ltd. | 404,148 | 686,953,311 | ||||||
|
| |||||||
686,953,311 | ||||||||
TOBACCO — 1.73% |
| |||||||
KT&G Corp. | 601,145 | 54,492,472 | ||||||
|
| |||||||
54,492,472 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.43% |
| |||||||
Posco Daewoo Corp. | 329,504 | 7,153,945 | ||||||
SK Networks Co. Ltd. | 967,941 | 6,343,084 | ||||||
|
| |||||||
13,497,029 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.72% |
| |||||||
SK Telecom Co. Ltd. | 110,936 | 22,712,079 | ||||||
|
| |||||||
22,712,079 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,408,393,682) | 3,042,987,426 |
Security | Shares | Value | ||||||
PREFERRED STOCKS — 1.88% |
| |||||||
AUTOMOBILES — 0.98% |
| |||||||
Hyundai Motor Co. | 138,009 | $ | 11,948,778 | |||||
Hyundai Motor Co. Series 2 | 211,298 | 19,060,266 | ||||||
|
| |||||||
31,009,044 | ||||||||
CHEMICALS — 0.27% |
| |||||||
LG Chem Ltd. | 52,899 | 8,303,845 | ||||||
|
| |||||||
8,303,845 | ||||||||
PERSONAL PRODUCTS — 0.53% |
| |||||||
AmorePacific Corp. | 60,942 | 9,027,447 | ||||||
LG Household & Health Care Ltd. | 15,368 | 7,719,676 | ||||||
|
| |||||||
16,747,123 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 0.10% |
| |||||||
Samsung Electronics Co. Ltd. | 2,410 | 3,188,468 | ||||||
|
| |||||||
3,188,468 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $34,998,533) | 59,248,480 | |||||||
RIGHTS — 0.02% | ||||||||
AIRLINES — 0.01% | ||||||||
Korean Air Lines Co. Ltd.a | 57,958 | 415,176 | ||||||
|
| |||||||
415,176 | ||||||||
CAPITAL MARKETS — 0.01% |
| |||||||
Samsung Securities Co. Ltd.a | 45,125 | 273,364 | ||||||
|
| |||||||
273,364 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) | 688,540 | |||||||
SHORT-TERM INVESTMENTS — 2.62% |
| |||||||
MONEY MARKET FUNDS — 2.62% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 78,957,872 | 78,989,455 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 3,636,925 | 3,636,925 | ||||||
|
| |||||||
82,626,380 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $82,598,643) | 82,626,380 | |||||||
|
|
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA CAPPED ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,525,990,858)f |
| $ | 3,185,550,826 | |||||
Other Assets, Less Liabilities — (0.98)% |
| (30,811,825 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 3,154,739,001 | ||||||
|
|
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 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 $2,120,911,447. Net unrealized appreciation was $1,064,639,379, of which $1,730,643,561 represented gross unrealized appreciation on securities and $666,004,182 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 3,042,987,426 | $ | — | $ | — | $ | 3,042,987,426 | ||||||||
Preferred stocks | 59,248,480 | — | — | 59,248,480 | ||||||||||||
Rights | — | 688,540 | — | 688,540 | ||||||||||||
Money market funds | 82,626,380 | — | — | 82,626,380 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,184,862,286 | $ | 688,540 | $ | — | $ | 3,185,550,826 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 2,616,563,943 | $ | 2,099,007,519 | $ | 3,900,998,631 | ||||||
Affiliated (Note 2) | 98,567,783 | 2,116,311 | 14,227,080 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 2,715,131,726 | $ | 2,101,123,830 | $ | 3,915,225,711 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): |
| |||||||||||
Unaffiliated | $ | 2,942,598,209 | $ | 1,937,408,562 | $ | 3,478,146,078 | ||||||
Affiliated (Note 2) | 98,599,669 | 2,117,080 | 14,231,512 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 3,041,197,878 | 1,939,525,642 | 3,492,377,590 | |||||||||
Foreign currency, at valueb | 2,527,698 | 5,525,872 | 11,893,313 | |||||||||
Foreign currency pledged to broker, at valueb | — | 673,508 | 475,052 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 589,147 | 1,846,939 | 56,730,737 | |||||||||
Dividends and interest | 6,256,272 | 12,269,906 | 3,650,320 | |||||||||
Capital shares sold | — | — | 139,834 | |||||||||
Futures variation margin | — | — | 106,849 | |||||||||
Tax reclaims | 1,183,129 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 3,051,754,124 | 1,959,841,867 | 3,565,373,695 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | — | 1,823,797 | 61,364,500 | |||||||||
Collateral for securities on loan (Note 1) | 97,056,094 | 1,923,356 | 13,048,816 | |||||||||
Futures variation margin | — | 30,429 | — | |||||||||
Securities related to in-kind transactions (Note 4) | 589,147 | — | — | |||||||||
Investment advisory fees (Note 2) | 476,645 | 732,893 | 1,360,157 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 98,121,886 | 4,510,475 | 75,773,473 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,953,632,238 | $ | 1,955,331,392 | $ | 3,489,600,222 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 2,660,095,556 | $ | 2,355,505,695 | $ | 4,342,945,552 | ||||||
Undistributed (distributions in excess of) net investment income | 1,681,649 | (2,582,075 | ) | (1,378,206 | ) | |||||||
Accumulated net realized loss | (34,245,853 | ) | (236,183,378 | ) | (429,059,174 | ) | ||||||
Net unrealized appreciation (depreciation) | 326,100,886 | (161,408,850 | ) | (422,907,950 | ) | |||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,953,632,238 | $ | 1,955,331,392 | $ | 3,489,600,222 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 38,600,000 | 88,800,000 | 130,700,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 76.52 | $ | 22.02 | $ | 26.70 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $92,407,172, $1,834,314 and $10,574,392, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker: if any: $2,530,660, $6,054,341 and $12,501,677, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 627.8 million and 340.2 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 39 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Japan ETF | iShares MSCI Mexico Capped ETF | iShares MSCI South Korea Capped ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 16,773,622,427 | $ | 2,129,006,881 | $ | 1,443,392,215 | ||||||
Affiliated (Note 2) | 47,967,068 | 27,580,437 | 82,598,643 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 16,821,589,495 | $ | 2,156,587,318 | $ | 1,525,990,858 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): |
| |||||||||||
Unaffiliated | $ | 16,268,579,294 | $ | 1,633,968,165 | $ | 3,102,924,446 | ||||||
Affiliated (Note 2) | 47,978,586 | 27,589,277 | 82,626,380 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 16,316,557,880 | 1,661,557,442 | 3,185,550,826 | |||||||||
Foreign currency, at valueb | 21,916,772 | 2,484,891 | — | |||||||||
Foreign currency pledged to broker, at valueb | 282,883 | — | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 71,585,110 | 7,361,919 | 70,976,567 | |||||||||
Dividends and interest | 24,994,012 | 909,337 | 44,225,864 | |||||||||
Futures variation margin | 708,264 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 16,436,044,921 | 1,672,313,589 | 3,300,753,257 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 55,795,060 | 7,565,521 | 65,589,245 | |||||||||
Collateral for securities on loan (Note 1) | 47,631,107 | 27,547,062 | 78,945,862 | |||||||||
Capital shares redeemed | 494,595 | 447,406 | — | |||||||||
Foreign taxes (Note 1) | — | — | 5,351 | |||||||||
Investment advisory fees (Note 2) | 6,161,675 | 675,732 | 1,473,798 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 110,082,437 | 36,235,721 | 146,014,256 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 16,325,962,484 | $ | 1,636,077,868 | $ | 3,154,739,001 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 18,022,602,278 | $ | 2,454,026,835 | $ | 2,756,392,190 | ||||||
Distributions in excess of net investment income | (35,743,903 | ) | (4,314,664 | ) | (112,779,827 | ) | ||||||
Accumulated net realized loss | (1,157,881,816 | ) | (318,458,462 | ) | (1,151,329,430 | ) | ||||||
Net unrealized appreciation (depreciation) | (503,014,075 | ) | (495,175,841 | ) | 1,662,456,068 | |||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 16,325,962,484 | $ | 1,636,077,868 | $ | 3,154,739,001 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 317,250,000 | d | 35,300,000 | 53,350,000 | ||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 51.46 | d | $ | 46.35 | $ | 59.13 | |||||
|
|
|
|
|
|
a | Securities on loan with values of $43,318,331, $25,050,864 and $75,322,129, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker: if any: $21,846,004, $2,417,608 and $ —, respectively. |
c | $0.001 par value, number of shares authorized: 2.5246 billion, 255 million and 200 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 34,523,295 | $ | 36,045,160 | $ | 38,062,760 | ||||||
Dividends — affiliated (Note 2) | 10,013 | 2,607 | 2,937 | |||||||||
Interest — unaffiliated | — | 660 | — | |||||||||
Securities lending income — affiliated — net (Note 2) | 624,703 | 7,719 | 44,289 | |||||||||
|
|
|
|
|
| |||||||
35,158,011 | 36,056,146 | 38,109,986 | ||||||||||
Less: Other foreign taxes (Note 1) | (39,750 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 35,118,261 | 36,056,146 | 38,109,986 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 5,119,954 | 4,341,917 | 8,124,127 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 5,119,954 | 4,341,917 | 8,124,127 | |||||||||
Less investment advisory fees waived (Note 2) | (1,945,435 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Net expenses | 3,174,519 | 4,341,917 | 8,124,127 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 31,943,742 | 31,714,229 | 29,985,859 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (37,399,104 | ) | (10,242,541 | ) | (81,258,967 | ) | ||||||
Investments — affiliated (Note 2) | 6,796 | 79 | (23 | ) | ||||||||
In-kind redemptions — unaffiliated | 87,764,158 | 40,457,417 | 144,175,261 | |||||||||
Futures contracts | — | 1,386,147 | 1,032,230 | |||||||||
Foreign currency transactions | (711,982 | ) | (695,181 | ) | (66,091 | ) | ||||||
Realized gain distributions from affiliated funds | 242 | 53 | 288 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain | 49,660,110 | 30,905,974 | 63,882,698 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | (13,362,402 | ) | 132,949,281 | 118,835,032 | ||||||||
Futures contracts | — | (186,691 | ) | (258,756 | ) | |||||||
Translation of assets and liabilities in foreign currencies | 102,701 | 527,432 | (26,281 | ) | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | (13,259,701 | ) | 133,290,022 | 118,549,995 | ||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 36,400,409 | 164,195,996 | 182,432,693 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 68,344,151 | $ | 195,910,225 | $ | 212,418,552 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $1,055,349, $287,877 and $6,711,961, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 41 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Japan ETF | iShares MSCI Mexico Capped ETF | iShares MSCI South Korea Capped ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 138,653,572 | $ | 10,553,107 | $ | 40,935,159 | ||||||
Dividends — affiliated (Note 2) | 10,360 | 1,275 | 9,194 | |||||||||
Interest — unaffiliated | — | — | 16 | |||||||||
Securities lending income — affiliated — net (Note 2) | 1,565,289 | 203,444 | 2,816,031 | |||||||||
|
|
|
|
|
| |||||||
140,229,221 | 10,757,826 | 43,760,400 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | (3,584 | ) | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 140,229,221 | 10,757,826 | 43,756,816 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 36,648,309 | 3,642,735 | 9,870,059 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 36,648,309 | 3,642,735 | 9,870,059 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 103,580,912 | 7,115,091 | 33,886,757 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (99,227,123 | ) | (54,651,829 | ) | 114,312,399 | |||||||
Investments — affiliated (Note 2) | 6,328 | (257 | ) | 15,856 | ||||||||
In-kind redemptions — unaffiliated | 171,941,999 | 7,866,575 | — | |||||||||
Futures contracts | 16,697,070 | — | — | |||||||||
Foreign currency transactions | (16,677,290 | ) | (451,416 | ) | (659,049 | ) | ||||||
Realized gain distributions from affiliated funds | 122 | 61 | 57 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 72,741,106 | (47,236,866 | ) | 113,669,263 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 768,905,271 | (56,627,298 | ) | (19,836,840 | ) | |||||||
Futures contracts | 39,545 | — | — | |||||||||
Translation of assets and liabilities in foreign currencies | 1,503,895 | 94,262 | 3,174,858 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 770,448,711 | (56,533,036 | ) | (16,661,982 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 843,189,817 | (103,769,902 | ) | 97,007,281 | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 946,770,729 | $ | (96,654,811 | ) | $ | 130,894,038 | |||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $15,357,007, $252,456 and $7,836,876, respectively. |
See notes to financial statements.
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 31,943,742 | $ | 64,576,560 | $ | 31,714,229 | $ | 62,740,787 | ||||||||
Net realized gain (loss) | 49,660,110 | 30,872,741 | 30,905,974 | (22,265,463 | ) | |||||||||||
Net change in unrealized appreciation/depreciation | (13,259,701 | ) | 252,873,179 | 133,290,022 | 137,229,771 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 68,344,151 | 348,322,480 | 195,910,225 | 177,705,095 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (46,663,198 | ) | (59,015,735 | ) | (45,973,409 | ) | (59,291,158 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (46,663,198 | ) | (59,015,735 | ) | (45,973,409 | ) | (59,291,158 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 90,264,511 | 1,225,242,572 | 410,746,412 | 683,182,993 | ||||||||||||
Cost of shares redeemed | (426,001,571 | ) | (362,492,946 | ) | (274,054,167 | ) | (360,957,779 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (335,737,060 | ) | 862,749,626 | 136,692,245 | 322,225,214 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (314,056,107 | ) | 1,152,056,371 | 286,629,061 | 440,639,151 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 3,267,688,345 | 2,115,631,974 | 1,668,702,331 | 1,228,063,180 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 2,953,632,238 | $ | 3,267,688,345 | $ | 1,955,331,392 | $ | 1,668,702,331 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 1,681,649 | $ | 16,401,105 | $ | (2,582,075 | ) | $ | 11,677,105 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,200,000 | 16,900,000 | 19,800,000 | 35,400,000 | ||||||||||||
Shares redeemed | (5,700,000 | ) | (5,100,000 | ) | (13,200,000 | ) | (19,000,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (4,500,000 | ) | 11,800,000 | 6,600,000 | 16,400,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Canada ETF | iShares MSCI Japan ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 29,985,859 | $ | 49,872,015 | $ | 103,580,912 | $ | 264,486,625 | ||||||||
Net realized gain (loss) | 63,882,698 | (61,752,843 | ) | 72,741,106 | 179,035,668 | |||||||||||
Net change in unrealized appreciation/depreciation | 118,549,995 | 237,092,373 | 770,448,711 | (335,550,040 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 212,418,552 | 225,211,545 | 946,770,729 | 107,972,253 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (36,132,525 | ) | (46,033,306 | ) | (180,825,720 | ) | (261,611,433 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (36,132,525 | ) | (46,033,306 | ) | (180,825,720 | ) | (261,611,433 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 820,366,274 | 1,347,709,468 | 2,767,591,876 | 3,254,831,968 | ||||||||||||
Cost of shares redeemed | (604,845,670 | ) | (360,548,208 | ) | (1,222,754,065 | ) | (8,233,815,497 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 215,520,604 | 987,161,260 | 1,544,837,811 | (4,978,983,529 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 391,806,631 | 1,166,339,499 | 2,310,782,820 | (5,132,622,709 | ) | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 3,097,793,591 | 1,931,454,092 | 14,015,179,664 | 19,147,802,373 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 3,489,600,222 | $ | 3,097,793,591 | $ | 16,325,962,484 | $ | 14,015,179,664 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (1,378,206 | ) | $ | 4,768,460 | $ | (35,743,903 | ) | $ | 41,500,905 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 31,100,000 | 57,300,000 | 77,700,000 | 69,900,000 | ||||||||||||
Shares redeemed | (22,700,000 | ) | (15,400,000 | ) | (46,200,000 | ) | (178,050,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 8,400,000 | 41,900,000 | 31,500,000 | (108,150,000 | ) | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Mexico Capped ETF | iShares MSCI South Korea Capped ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 7,115,091 | $ | 22,572,568 | $ | 33,886,757 | $ | 35,496,600 | ||||||||
Net realized gain (loss) | (47,236,866 | ) | (105,424,948 | ) | 113,669,263 | (72,441,943 | ) | |||||||||
Net change in unrealized appreciation/depreciation | (56,533,036 | ) | 13,777,983 | (16,661,982 | ) | 641,389,742 | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (96,654,811 | ) | (69,074,397 | ) | 130,894,038 | 604,444,399 | ||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (8,086,927 | ) | (31,509,179 | ) | (34,948,193 | ) | (75,311,690 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (8,086,927 | ) | (31,509,179 | ) | (34,948,193 | ) | (75,311,690 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 1,802,686,326 | 1,471,785,156 | 5,541,131 | 456,857,078 | ||||||||||||
Cost of shares redeemed | (1,379,384,730 | ) | (1,260,625,873 | ) | (399,718,163 | ) | (693,973,908 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 423,301,596 | 211,159,283 | (394,177,032 | ) | (237,116,830 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 318,559,858 | 110,575,707 | (298,231,187 | ) | 292,015,879 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 1,317,518,010 | 1,206,942,303 | 3,452,970,188 | 3,160,954,309 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 1,636,077,868 | $ | 1,317,518,010 | $ | 3,154,739,001 | $ | 3,452,970,188 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Distributions in excess of net investment income included in net assets at end of period | $ | (4,314,664 | ) | $ | (3,342,828 | ) | $ | (112,779,827 | ) | $ | (111,718,391 | ) | ||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 38,600,000 | 28,200,000 | — | 8,900,000 | ||||||||||||
Shares redeemed | (29,400,000 | ) | (25,000,000 | ) | (7,350,000 | ) | (13,850,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 9,200,000 | 3,200,000 | (7,350,000 | ) | (4,950,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Edge MSCI Min Vol Global ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 75.82 | $ | 67.59 | $ | 68.25 | $ | 59.99 | $ | 55.65 | $ | 50.02 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.74 | 1.79 | 1.70 | 1.72 | 1.68 | 1.49 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 1.04 | 8.07 | (0.89 | ) | 8.18 | 4.20 | 4.67 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.78 | 9.86 | 0.81 | 9.90 | 5.88 | 6.16 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.08 | ) | (1.63 | ) | (1.47 | ) | (1.64 | ) | (1.54 | ) | (0.53 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (1.08 | ) | (1.63 | ) | (1.47 | ) | (1.64 | ) | (1.54 | ) | (0.53 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 76.52 | $ | 75.82 | $ | 67.59 | $ | 68.25 | $ | 59.99 | $ | 55.65 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 2.42 | %d | 14.76 | % | 1.15 | % | 16.70 | % | 10.69 | % | 12.41 | %d | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 2,953,632 | $ | 3,267,688 | $ | 2,115,632 | $ | 1,283,012 | $ | 1,007,760 | $ | 578,776 | ||||||||||||
Ratio of expenses to average net assetse | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | 0.23 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feese | 0.32 | % | 0.32 | % | 0.33 | % | 0.33 | % | 0.34 | % | 0.34 | % | ||||||||||||
Ratio of net investment income to average net assetse | 2.01 | % | 2.49 | % | 2.41 | % | 2.67 | % | 2.83 | % | 3.17 | % | ||||||||||||
Portfolio turnover ratef | 11 | %d | 24 | % | 22 | % | 24 | % | 13 | % | 22 | %d |
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 in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 11%, 23%, 22%, 23%, 13% and 22% respectively. See Note 4. |
See notes to financial statements.
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Australia ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 20.30 | $ | 18.66 | $ | 27.15 | $ | 23.61 | $ | 23.39 | $ | 24.18 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.37 | 0.84 | 1.23 | 1.10 | 1.02 | 1.04 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.89 | 1.59 | (8.49 | ) | 3.43 | 0.64 | (0.72 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.26 | 2.43 | (7.26 | ) | 4.53 | 1.66 | 0.32 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.54 | ) | (0.79 | ) | (1.23 | ) | (0.99 | ) | (1.44 | ) | (1.11 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.54 | ) | (0.79 | ) | (1.23 | ) | (0.99 | ) | (1.44 | ) | (1.11 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 22.02 | $ | 20.30 | $ | 18.66 | $ | 27.15 | $ | 23.61 | $ | 23.39 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 11.42 | %c | 13.36 | % | (27.31 | )% | 19.76 | % | 7.06 | % | 1.84 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,955,331 | $ | 1,668,702 | $ | 1,228,063 | $ | 2,047,113 | $ | 1,916,849 | $ | 2,493,699 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 3.59 | % | 4.41 | % | 5.37 | % | 4.28 | % | 4.05 | % | 4.61 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 7 | % | 9 | % | 6 | % | 6 | % | 9 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 47 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Canada ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 25.33 | $ | 24.02 | $ | 32.93 | $ | 27.34 | $ | 27.52 | $ | 29.89 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.24 | 0.51 | 0.54 | 0.59 | 0.60 | 0.53 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.39 | 1.29 | (8.85 | ) | 5.62 | (0.10 | ) | (2.33 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.63 | 1.80 | (8.31 | ) | 6.21 | 0.50 | (1.80 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.26 | ) | (0.49 | ) | (0.60 | ) | (0.62 | ) | (0.68 | ) | (0.57 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.26 | ) | (0.49 | ) | (0.60 | ) | (0.62 | ) | (0.68 | ) | (0.57 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 26.70 | $ | 25.33 | $ | 24.02 | $ | 32.93 | $ | 27.34 | $ | 27.52 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.46 | %c | 7.73 | % | (25.48 | )% | 23.00 | % | 1.84 | % | (5.87 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,489,600 | $ | 3,097,794 | $ | 1,931,454 | $ | 3,786,906 | $ | 3,428,223 | $ | 4,254,544 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.81 | % | 2.18 | % | 1.92 | % | 1.97 | % | 2.12 | % | 1.94 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 4 | % | 5 | % | 6 | % | 7 | % | 5 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Japan ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Year ended Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 49.05 | $ | 48.61 | $ | 47.32 | $ | 43.87 | $ | 36.09 | $ | 39.19 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.34 | 0.72 | 0.60 | 0.60 | 0.52 | 0.72 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 2.65 | 0.44 | 1.22 | 3.53 | 7.85 | (3.04 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.99 | 1.16 | 1.82 | 4.13 | 8.37 | (2.32 | ) | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.58 | ) | (0.72 | ) | (0.53 | ) | (0.68 | ) | (0.59 | ) | (0.78 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.58 | ) | (0.72 | ) | (0.53 | ) | (0.68 | ) | (0.59 | ) | (0.78 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 51.46 | $ | 49.05 | $ | 48.61 | $ | 47.32 | $ | 43.87 | $ | 36.09 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.17 | %d | 2.44 | % | 3.84 | % | 9.39 | % | 23.46 | % | (5.96 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 16,325,962 | $ | 14,015,180 | $ | 19,147,802 | $ | 14,729,189 | $ | 10,461,942 | $ | 4,629,034 | ||||||||||||
Ratio of expenses to average net assetse | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.39 | % | 1.53 | % | 1.20 | % | 1.31 | % | 1.18 | % | 1.95 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 4 | % | 2 | % | 2 | % | 4 | % | 3 | % |
a | Per share amounts reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
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 | 49 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Mexico Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 50.48 | $ | 52.70 | $ | 71.51 | $ | 61.93 | $ | 60.96 | $ | 58.39 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.22 | 0.93 | 0.68 | 1.06 | 0.75 | 0.73 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (4.15 | ) | (1.82 | ) | (18.56 | ) | 9.61 | 0.85 | 2.76 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (3.93 | ) | (0.89 | ) | (17.88 | ) | 10.67 | 1.60 | 3.49 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.20 | ) | (1.33 | ) | (0.93 | ) | (1.09 | ) | (0.63 | ) | (0.92 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.20 | ) | (1.33 | ) | (0.93 | ) | (1.09 | ) | (0.63 | ) | (0.92 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 46.35 | $ | 50.48 | $ | 52.70 | $ | 71.51 | $ | 61.93 | $ | 60.96 | ||||||||||||
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| |||||||||||||
Total return | (7.76 | )%c | (1.68 | )% | (25.10 | )% | 17.42 | % | 2.53 | % | 6.13 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,636,078 | $ | 1,317,518 | $ | 1,206,942 | $ | 3,275,152 | $ | 2,217,052 | $ | 1,182,700 | ||||||||||||
Ratio of expenses to average net assetsd | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | 0.53 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.96 | % | 1.82 | % | 1.10 | % | 1.61 | % | 1.09 | % | 1.26 | % | ||||||||||||
Portfolio turnover ratee | 4 | %c | 8 | % | 13 | % | 19 | % | 32 | % | 10 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | 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.
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI South Korea Capped ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 56.89 | $ | 48.15 | $ | 66.42 | $ | 57.67 | $ | 55.97 | $ | 56.74 | ||||||||||||
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.59 | 0.56 | 0.46 | 0.25 | 0.23 | 0.23 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.30 | 9.38 | (18.07 | ) | 9.40 | 1.83 | (0.63 | ) | ||||||||||||||||
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| |||||||||||||
Total from investment operations | 2.89 | 9.94 | (17.61 | ) | 9.65 | 2.06 | (0.40 | ) | ||||||||||||||||
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| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.65 | ) | (1.20 | ) | (0.66 | ) | (0.90 | ) | (0.36 | ) | (0.37 | ) | ||||||||||||
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|
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| |||||||||||||
Total distributions | (0.65 | ) | (1.20 | ) | (0.66 | ) | (0.90 | ) | (0.36 | ) | (0.37 | ) | ||||||||||||
|
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|
|
|
|
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|
|
|
| |||||||||||||
Net asset value, end of period | $ | 59.13 | $ | 56.89 | $ | 48.15 | $ | 66.42 | $ | 57.67 | $ | 55.97 | ||||||||||||
|
|
|
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|
|
|
| |||||||||||||
Total return | 5.19 | %c | 20.92 | % | (26.58 | )% | 16.83 | % | 3.65 | % | (0.62 | )% | ||||||||||||
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,154,739 | $ | 3,452,970 | $ | 3,160,954 | $ | 4,891,619 | $ | 3,376,516 | $ | 2,669,551 | ||||||||||||
Ratio of expenses to average net assetsd | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.14 | % | 1.09 | % | 0.81 | % | 0.39 | % | 0.40 | % | 0.42 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 22 | % | 24 | % | 13 | % | 13 | % | 12 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | Portfolio turnover rates include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013, and August 31, 2012 were 3%, 10%, 10%, 10%, 11%, and 8%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 51 |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
Edge MSCI Min Vol Global | Diversified | |
MSCI Australia | Non-diversified | |
MSCI Canada | Diversified | |
MSCI Japan | Diversified | |
MSCI Mexico Capped | Non-diversified | |
MSCI South Korea Capped | Non-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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
52 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
• | 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. |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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.
NOTES TO FINANCIAL STATEMENTS | 53 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. In accordance with the Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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.
54 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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.
NOTES TO FINANCIAL STATEMENTS | 55 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
Edge MSCI Min Vol Global | ||||||||||||
BNP Paribas New York Branch | $ | 14,832 | $ | 14,832 | $ | — | ||||||
Citigroup Global Markets Inc. | 286,191 | 286,191 | — | |||||||||
Credit Suisse Securities (USA) LLC | 1,071,817 | 1,071,817 | — | |||||||||
Deutsche Bank AG | 1,184,967 | 1,184,967 | — | |||||||||
Deutsche Bank Securities Inc. | 460,470 | 460,470 | — | |||||||||
Goldman Sachs & Co. | 13,195,944 | 13,195,944 | — | |||||||||
HSBC Bank PLC | 197,033 | 197,033 | — | |||||||||
JPMorgan Securities LLC | 4,341,592 | 4,341,592 | — | |||||||||
JPMorgan Securities PLC | 1,170,475 | 1,170,475 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 10,970,675 | 10,970,675 | — | |||||||||
Morgan Stanley & Co. International PLC | 2,701,505 | 2,701,505 | — | |||||||||
Morgan Stanley & Co. LLC | 33,698,942 | 33,698,942 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 4,520,720 | 4,520,720 | — | |||||||||
Nomura Securities International Inc. | 968,494 | 968,494 | — | |||||||||
State Street Bank & Trust Company | 14,638,798 | 14,638,798 | — | |||||||||
UBS Securities LLC | 2,984,717 | 2,984,717 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 92,407,172 | $ | 92,407,172 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Australia | ||||||||||||
UBS Securities LLC | $ | 1,834,314 | $ | 1,834,314 | $ | — | ||||||
|
|
|
|
|
| |||||||
$ | 1,834,314 | $ | 1,834,314 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Canada | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 10,099,935 | $ | 10,099,935 | $ | — | ||||||
Goldman Sachs & Co. | 449,483 | 449,483 | — | |||||||||
Morgan Stanley & Co. LLC | 24,974 | 24,974 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 10,574,392 | $ | 10,574,392 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Japan | ||||||||||||
Barclays Capital Inc. | $ | 3,381,415 | $ | 3,381,415 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 6,971,864 | 6,971,864 | — | |||||||||
Deutsche Bank Securities Inc. | 892,881 | 892,881 | — | |||||||||
Goldman Sachs & Co. | 10,762,895 | 10,762,895 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 11,160,300 | 11,160,300 | — | |||||||||
Mizuho Securities USA Inc. | 24,171 | 24,171 | — | |||||||||
Morgan Stanley & Co. LLC | 7,441,345 | 7,441,345 | — | |||||||||
Nomura Securities International Inc. | 1,164,052 | 1,164,052 | — | |||||||||
State Street Bank & Trust Company | 1,270,867 | 1,270,867 | — | |||||||||
UBS AG | 248,541 | 248,541 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 43,318,331 | $ | 43,318,331 | $ | — | |||||||
|
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|
|
| |||||||
56 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Mexico Capped | ||||||||||||
Barclays Capital Inc. | $ | 3,068,634 | $ | 3,068,634 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 1,463,658 | 1,463,658 | — | |||||||||
Deutsche Bank Securities Inc. | 283,957 | 283,957 | — | |||||||||
Goldman Sachs & Co. | 11,447,159 | 11,447,159 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 37,272 | 37,272 | — | |||||||||
Morgan Stanley & Co. LLC | 8,145,932 | 8,145,932 | — | |||||||||
UBS Securities LLC | 604,252 | 604,252 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 25,050,864 | $ | 25,050,864 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI South Korea Capped | ||||||||||||
Citigroup Global Markets Inc. | $ | 22,142,947 | $ | 22,142,947 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 12,635,013 | 12,635,013 | — | |||||||||
Deutsche Bank Securities Inc. | 1,733,274 | 1,733,274 | — | |||||||||
Goldman Sachs & Co. | 20,547,555 | 20,547,555 | — | |||||||||
JPMorgan Securities LLC | 711,066 | 711,066 | — | |||||||||
Morgan Stanley & Co. LLC | 8,527,998 | 8,527,998 | — | |||||||||
Nomura Securities International Inc. | 9,024,276 | 9,024,276 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 75,322,129 | $ | 75,322,129 | $ | — | |||||||
|
|
|
|
|
| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each 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 Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
For its investment advisory services to the iShares Edge MSCI Min Vol Global 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 | ||||
0.350 | % | First $30 billion | |||
0.320 | Over $30 billion, up to and including $60 billion | ||||
0.280 | Over $60 billion, up to and including $90 billion | ||||
0.252 | Over $90 billion |
In addition, the iShares Edge MSCI Min Vol Global ETF may incur its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). The total of the investment advisory fee and
NOTES TO FINANCIAL STATEMENTS | 57 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
acquired fund fees and expenses are a fund’s total annual operating expenses. BFA has contractually agreed to waive through December 31, 2023 any portion of its investment advisory fee for the Fund necessary to limit total annual operating expenses to 0.20% of average daily net assets.
For its investment advisory services to each of the iShares MSCI Australia, iShares MSCI Canada, iShares MSCI Japan and iShares MSCI Mexico Capped ETFs, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.59 | % | First $7 billion | |||
0.54 | Over $7 billion, up to and including $11 billion | ||||
0.49 | Over $11 billion, up to and including $24 billion | ||||
0.44 | Over $24 billion, up to and including $48 billion | ||||
0.40 | Over $48 billion, up to and including $72 billion | ||||
0.36 | Over $72 billion |
For its investment advisory services to the iShares MSCI South Korea Capped 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 | ||||
0.74 | % | First $2 billion | |||
0.69 | Over $2 billion, up to and including $4 billion | ||||
0.64 | Over $4 billion, up to and including $8 billion | ||||
0.57 | Over $8 billion, up to and including $16 billion | ||||
0.51 | Over $16 billion, up to and including $24 billion | ||||
0.48 | Over $24 billion, up to and including $32 billion | ||||
0.45 | Over $32 billion |
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.
58 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
Edge MSCI Min Vol Global | $ | 148,189 | ||
MSCI Australia | 1,919 | |||
MSCI Canada | 11,577 | |||
MSCI Japan | 326,045 | |||
MSCI Mexico Capped | 45,589 | |||
MSCI South Korea Capped | 571,159 |
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Min Vol Global | $ | 48,606,879 | $ | 8,124,822 | ||||
MSCI Australia | 629,956 | 928,285 | ||||||
MSCI Japan | 30,953,563 | 17,370,808 | ||||||
MSCI South Korea Capped | 20,920,024 | 1,446,917 |
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 directors and officers of the Company are also officers of BTC and/or BFA.
NOTES TO FINANCIAL STATEMENTS | 59 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
3. | INVESTMENT PORTFOLIO TRANSACTIONS |
Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Min Vol Global | $ | 364,528,002 | $ | 405,083,274 | ||||
MSCI Australia | 36,652,458 | 24,410,430 | ||||||
MSCI Canada | 111,712,296 | 104,567,822 | ||||||
MSCI Japan | 256,001,966 | 290,917,708 | ||||||
MSCI Mexico Capped | 73,775,572 | 59,878,259 | ||||||
MSCI South Korea Capped | 91,275,228 | 535,669,386 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Edge MSCI Min Vol Global | $ | 80,426,702 | $ | 384,032,733 | ||||
MSCI Australia | 383,982,459 | 272,515,958 | ||||||
MSCI Canada | 798,441,993 | 598,271,153 | ||||||
MSCI Japan | 2,679,421,514 | 1,183,736,980 | ||||||
MSCI Mexico Capped | 1,785,384,706 | 1,374,199,124 |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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.
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.
The Board authorized a one-for-four reverse stock split for the iShares MSCI Japan ETF, effective after the close of trading on November 4, 2016. The impact of the stock split was to decrease the number of shares outstanding by a factor of four, while increasing the NAV per share by a factor of four, resulting in no effect on the net assets of the Fund. The financial statements for the Fund have been adjusted to reflect the reverse stock split.
60 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
5. | FUTURES CONTRACTS |
Futures contracts are purchased or sold to gain or manage exposure to changes in the value of commodities (commodity risk), interest rates (interest rate risk), foreign currencies (foreign currency risk) and/or equities (market risk). 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, a 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 February 28, 2017 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares MSCI Canada ETF | iShares MSCI Japan ETF | |||||||
Equity contracts: | ||||||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation)a | $ | 106,849 | $ | 708,264 | ||||
|
|
|
| |||||
a | Represents cumulative appreciation of futures contracts as reported in the schedules of investments. |
Liabilities | ||||
iShares MSCI Australia ETF | ||||
Equity contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation)b | $ | 30,429 | ||
|
| |||
b | Represents cumulative depreciation of futures contracts as reported in the schedules of investments. |
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2017 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI Australia ETF | iShares MSCI Canada ETF | iShares MSCI Japan ETF | ||||||||||
Equity contracts: | ||||||||||||
Futures contracts | $ | 1,386,147 | $ | 1,032,230 | $ | 16,697,070 | ||||||
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|
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| |||||||
NOTES TO FINANCIAL STATEMENTS | 61 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI Australia ETF | iShares MSCI Canada ETF | iShares MSCI Japan ETF | ||||||||||
Equity contracts: | ||||||||||||
Futures contracts | $ | (186,691 | ) | $ | (258,756 | ) | $ | 39,545 | ||||
|
|
|
|
|
| |||||||
The following table shows the average quarter-end balances of open futures contracts for the six months ended February 28, 2017 :
iShares MSCI Australia ETF | iShares MSCI Canada ETF | iShares MSCI Japan ETF | ||||||||||
Average value of contracts purchased | $ | 17,155,572 | $ | 10,107,281 | $ | 74,057,580 |
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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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 a 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
62 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
When a fund concentrates its investments in issuers located in a single country, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance.
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.
7. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
NOTES TO FINANCIAL STATEMENTS | 63 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of August 31, 2016, the Funds’ fiscal year-end, the 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 | Expiring 2019 | Total | |||||||||||||||
Edge MSCI Min Vol Global | $ | 24,755,016 | $ | — | $ | — | $ | — | $ | 24,755,016 | ||||||||||
MSCI Australia | 137,537,973 | 24,006,125 | 23,348,244 | 12,127,364 | 197,019,706 | |||||||||||||||
MSCI Canada | 272,374,434 | 27,886,883 | 68,928,677 | 14,903,919 | 384,093,913 | |||||||||||||||
MSCI Japan | 371,710,340 | 116,295,478 | 173,577,101 | 139,228,194 | 800,811,113 | |||||||||||||||
MSCI Mexico Capped | 134,670,245 | 8,973,988 | 2,789,471 | 22,863,665 | 169,297,369 | |||||||||||||||
MSCI South Korea Capped | 348,410,462 | 60,990,953 | 226,591,665 | 78,503,704 | 714,496,784 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the 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.
64 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
Edge MSCI Min Vol Global | $ | 0.978664 | $ | — | $ | 0.099008 | $ | 1.077672 | 91 | % | — | % | 9 | % | 100 | % | ||||||||||||||||
MSCI Australia | 0.539594 | — | — | 0.539594 | 100 | — | — | 100 | ||||||||||||||||||||||||
MSCI Canada | 0.173012 | — | 0.089770 | 0.262782 | 66 | — | 34 | 100 | ||||||||||||||||||||||||
MSCI Japan | 0.528156 | — | 0.055341 | 0.583497 | 91 | — | 9 | 100 | ||||||||||||||||||||||||
MSCI Mexico Capped | 0.198445 | — | 0.000251 | 0.198696 | 100 | — | 0 | a | 100 | |||||||||||||||||||||||
MSCI South Korea Capped | — | — | 0.645396 | 0.645396 | — | — | 100 | 100 |
a | Rounds to less than 1%. |
SUPPLEMENTAL INFORMATION | 65 |
Table of Contents
Notes:
66 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-815-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Core MSCI Emerging Markets ETF | IEMG | NYSE Arca |
Ø | iShares MSCI BRIC ETF | BKF | NYSE Arca |
Ø | iShares MSCI Emerging Markets Asia ETF | EEMA | NASDAQ |
Ø | iShares MSCI Emerging Markets Small-Cap ETF | EEMS | NYSE Arca |
Table of Contents
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Table of Contents
iSHARES® CORE MSCI EMERGING MARKETS ETF
Performance as of February 28, 2017
The iShares Core MSCI Emerging Markets ETF (the “Fund”) seeks to track the investment results of an index composed of large-, mid- and small-capitalization emerging market equities, as represented by the MSCI Emerging Markets Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.44%, net of fees, while the total return for the Index was 5.39%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 28.59% | 27.73% | 28.49% | 28.59% | 27.73% | 28.49% | ||||||||||||||||||||||
Since Inception | 0.77% | 0.65% | 0.75% | 3.41% | 2.88% | 3.33% |
The inception date of the Fund was 10/18/12. The first day of secondary market trading was 10/22/12.
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,054.40 | $ | 0.71 | $ | 1,000.00 | $ | 1,024.10 | $ | 0.70 | 0.14% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 9 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Information Technology | 22.95 | % | ||
Financials | 22.43 | |||
Consumer Discretionary | 11.22 | |||
Materials | 8.14 | |||
Industrials | 7.03 | |||
Consumer Staples | 7.02 | |||
Energy | 6.56 | |||
Telecommunication Services | 4.98 | |||
Real Estate | 3.42 | |||
Health Care | 3.29 | |||
Utilities | 2.96 | |||
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| |||
TOTAL | 100.00 | % | ||
|
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TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
China | 26.34 | % | ||
South Korea | 14.93 | |||
Taiwan | 13.11 | |||
India | 9.08 | |||
Brazil | 7.73 | |||
South Africa | 6.69 | |||
Russia | 3.42 | |||
Mexico | 3.34 | |||
Malaysia | 2.53 | |||
Indonesia | 2.46 | |||
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| |||
TOTAL | 89.63 | % | ||
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* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI BRIC ETF
Performance as of February 28, 2017
The iShares MSCI BRIC ETF (the “Fund”) seeks to track the investment of an index composed of Chinese equities that are available to international investors, and Brazilian, Russian, and Indian equities, as represented by the MSCI BRIC Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 7.00%, net of fees, while the total return for the Index was 7.30%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 38.45% | 38.60% | 39.51% | 38.45% | 38.60% | 39.51% | ||||||||||||||||||||||
5 Years | (1.80)% | (1.72)% | (1.21)% | (8.69)% | (8.33)% | (5.90)% | ||||||||||||||||||||||
Since Inception | (2.92)% | (2.92)% | (2.48)% | (24.09)% | (24.06)% | (20.81)% |
The inception date of the Fund was 11/12/07. The first day of secondary market trading was 11/16/07.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is 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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,070.00 | $ | 3.59 | $ | 1,000.00 | $ | 1,021.30 | $ | 3.51 | 0.70% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 9 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 27.08 | % | ||
Information Technology | 21.90 | |||
Energy | 11.85 | |||
Consumer Discretionary | 8.55 | |||
Consumer Staples | 5.72 | |||
Materials | 5.50 | |||
Telecommunication Services | 5.47 | |||
Industrials | 5.03 | |||
Utilities | 3.22 | |||
Health Care | 3.14 | |||
Real Estate | 2.54 | |||
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| |||
TOTAL | 100.00 | % | ||
|
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ALLOCATION BY COUNTRY
As of 2/28/17
Country | Percentage of Total Investments* |
China | 56.80 | % | ||
India | 17.97 | |||
Brazil | 17.21 | |||
Russia | 8.02 | |||
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| |||
TOTAL | 100.00 | % | ||
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|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS ASIA ETF
Performance as of February 28, 2017
The iShares MSCI Emerging Markets Asia ETF (the “Fund”) seeks to track the investment results of an index composed of Asian emerging market equities, as represented by the MSCI Emerging Markets Asia Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 4.19%, net of fees, while the total return for the Index was 4.44%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.59% | 26.50% | 27.29% | 26.59% | 26.50% | 27.29% | ||||||||||||||||||||||
5 Years | 2.72% | 2.88% | 3.02% | 14.35% | 15.23% | 16.07% | ||||||||||||||||||||||
Since Inception | 3.09% | 3.09% | 3.41% | 16.63% | 16.64% | 18.49% |
The inception date of the Fund was 2/8/12. The first day of secondary market trading was 2/9/12.
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,041.90 | $ | 2.48 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.46 | 0.49% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 9 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* | |||
Information Technology | 33.43 | % | ||
Financials | 21.69 | |||
Consumer Discretionary | 9.66 | |||
Industrials | 6.43 | |||
Materials | 5.67 | |||
Telecommunication Services | 5.28 | |||
Consumer Staples | 5.28 | |||
Energy | 5.25 | |||
Health Care | 2.77 | |||
Utilities | 2.37 | |||
Real Estate | 2.17 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
ALLOCATION BY COUNTRY
As of 2/28/17
Country | Percentage of Total Investments* | |||
China | 38.06 | % | ||
South Korea | 20.73 | |||
Taiwan | 17.39 | |||
India | 12.08 | |||
Indonesia | 3.50 | |||
Malaysia | 3.43 | |||
Thailand | 3.16 | |||
Philippines | 1.65 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
Performance as of February 28, 2017
The iShares MSCI Emerging Markets Small-Cap ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization emerging market equities, as represented by the MSCI Emerging Markets Small Cap Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 4.50%, net of fees, while the total return for the Index was 4.62%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 21.59% | 21.23% | 22.70% | 21.59% | 21.23% | 22.70% | ||||||||||||||||||||||
5 Years | 1.18% | 1.03% | 1.66% | 6.02% | 5.27% | 8.58% | ||||||||||||||||||||||
Since Inception | 0.57% | 0.51% | 1.29% | 3.22% | 2.84% | 7.37% |
The inception date of the Fund was 8/16/11. The first day of secondary market trading was 8/18/11.
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,045.00 | $ | 3.55 | $ | 1,000.00 | $ | 1,021.30 | $ | 3.51 | 0.70% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 9 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* | |||
Consumer Discretionary | 17.32 | % | ||
Information Technology | 16.75 | |||
Industrials | 14.73 | |||
Materials | 11.51 | |||
Real Estate | 8.97 | |||
Financials | 8.75 | |||
Health Care | 8.54 | |||
Consumer Staples | 7.10 | |||
Utilities | 3.78 | |||
Energy | 1.54 | |||
Telecommunication Services | 1.01 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* | |||
China | 22.40 | % | ||
Taiwan | 18.11 | |||
South Korea | 16.65 | |||
India | 12.39 | |||
South Africa | 5.72 | |||
Brazil | 4.75 | |||
Thailand | 3.72 | |||
Malaysia | 3.12 | |||
Mexico | 2.73 | |||
Indonesia | 2.38 | |||
|
| |||
TOTAL | 91.97 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 9 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 95.35% |
| |||||||
BRAZIL — 4.53% |
| |||||||
AES Tiete Energia SA | 991,600 | $ | 5,122,151 | |||||
Aliansce Shopping Centers SA | 573,100 | 2,696,941 | ||||||
Alupar Investimento SA Units | 452,724 | 2,894,465 | ||||||
Ambev SA | 22,397,700 | 128,439,398 | ||||||
Arezzo Industria e Comercio SA | 298,000 | 3,016,400 | ||||||
B2W Cia. Digitala | 737,551 | 2,916,065 | ||||||
Banco Bradesco SA | 4,068,497 | 42,672,792 | ||||||
Banco do Brasil SA | 4,127,200 | 43,912,028 | ||||||
Banco Santander Brasil SA Units | 2,067,900 | 22,839,294 | ||||||
BB Seguridade Participacoes SA | 3,346,900 | 30,790,189 | ||||||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 8,206,800 | 50,174,650 | ||||||
BR Malls Participacoes SAa | 2,700,970 | 12,953,543 | ||||||
BR Properties SAa | 564,600 | 1,715,034 | ||||||
BRF SA | 2,874,500 | 37,532,044 | ||||||
CCR SA | 5,669,900 | 32,969,621 | ||||||
Centrais Eletricas Brasileiras SAa | 1,125,100 | 7,771,906 | ||||||
CETIP SA – Mercados Organizados | 1,056,917 | 15,916,606 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 1,653,900 | 17,479,985 | ||||||
Cia. de Saneamento de Minas Gerais-COPASA | 332,900 | 5,520,511 | ||||||
Cia. Siderurgica Nacional SAa | 2,916,700 | 11,231,780 | ||||||
Cielo SA | 4,872,730 | 42,728,407 | ||||||
Cosan SA Industria e Comercio | 639,400 | 8,200,598 | ||||||
CPFL Energia SA | 998,233 | 8,195,073 | ||||||
CVC Brasil Operadora e Agencia de Viagens SA | 277,200 | 2,542,114 | ||||||
Cyrela Brazil Realty SA Empreendimentos e Participacoes | 1,259,300 | 5,258,215 | ||||||
Duratex SA | 1,578,229 | 4,281,663 | ||||||
EcoRodovias Infraestrutura e Logistica SA | 1,248,200 | 3,687,225 |
Security | Shares | Value | ||||||
EDP – Energias do Brasil SA | 1,443,200 | $ | 6,369,378 | |||||
Embraer SA | 3,261,000 | 18,794,513 | ||||||
Engie Brasil Energia SA | 741,100 | 8,809,347 | ||||||
Equatorial Energia SA | 968,776 | 18,534,731 | ||||||
Estacio Participacoes SA | 1,350,000 | 6,504,822 | ||||||
EZ TEC Empreendimentos e Participacoes SA | 384,323 | 2,374,377 | ||||||
Fibria Celulose SA | 1,226,900 | 10,482,482 | ||||||
Fleury SA | 381,000 | 5,305,342 | ||||||
Gafisa SA | 2,132,500 | 1,569,728 | ||||||
Hypermarcas SA | 1,664,300 | 14,492,410 | ||||||
Iguatemi Empresa de Shopping Centers SA | 401,300 | 4,011,710 | ||||||
Iochpe Maxion SA | 411,700 | 1,873,890 | ||||||
Iochpe Maxion SA New | 123,509 | 562,162 | ||||||
JBS SA | 3,435,700 | 12,921,148 | ||||||
JSL SA | 492,800 | 1,395,554 | ||||||
Klabin SA Units | 2,670,300 | 13,304,291 | ||||||
Kroton Educacional SA | 6,640,056 | 29,176,974 | ||||||
Light SA | 429,600 | 3,082,183 | ||||||
Linx SA | 607,000 | 3,233,041 | ||||||
Localiza Rent A Car SA | 773,535 | 9,580,297 | ||||||
Lojas Americanas SA | 972,510 | 4,188,889 | ||||||
Lojas Renner SA | 3,022,400 | 24,822,347 | ||||||
M. Dias Branco SA | 177,700 | 7,893,970 | ||||||
Magnesita Refratarios SAa | 285,760 | 2,296,368 | ||||||
Marfrig Global Foods SAa | 1,464,900 | 2,942,985 | ||||||
Minerva SAa | 667,400 | 2,316,914 | ||||||
MRV Engenharia e Participacoes SA | 1,395,100 | 6,403,738 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 380,500 | 7,863,177 | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 18,811 | 398,472 | ||||||
Multiplus SA | 285,700 | 3,283,116 | ||||||
Natura Cosmeticos SA | 846,200 | 6,968,706 | ||||||
Odontoprev SA | 1,391,300 | 5,344,274 | ||||||
Petroleo Brasileiro SAa | 14,214,600 | 72,923,502 | ||||||
Porto Seguro SA | 602,800 | 5,599,781 | ||||||
Qualicorp SA | 1,114,200 | 7,059,107 | ||||||
Raia Drogasil SA | 1,128,900 | 21,554,696 | ||||||
Rumo Logistica Operadora Multimodal SAa | 3,882,400 | 10,707,487 | ||||||
Sao Martinho SA | 838,400 | 5,120,411 | ||||||
SLC Agricola SA | 396,300 | 2,191,051 |
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Smiles SA | 326,800 | $ | 6,483,477 | |||||
Sonae Sierra Brasil SA | 261,000 | 1,801,244 | ||||||
Sul America SA | 922,689 | 5,759,762 | ||||||
TIM Participacoes SA | 3,758,800 | 11,792,314 | ||||||
TOTVS SA | 607,900 | 4,951,522 | ||||||
Ultrapar Participacoes SA | 1,748,000 | 36,746,770 | ||||||
Vale SA | 6,172,500 | 64,919,383 | ||||||
Valid Solucoes e Servicos de Seguranca em Meios de Pagamento e Identificacao SA | 382,500 | 3,172,131 | ||||||
WEG SA | 2,726,660 | 14,882,252 | ||||||
|
| |||||||
1,076,224,924 | ||||||||
CHILE — 1.11% |
| |||||||
AES Gener SA | 13,598,921 | 5,104,331 | ||||||
Aguas Andinas SA Series A | 12,263,044 | 6,609,348 | ||||||
Banco de Chile | 132,705,321 | 16,073,176 | ||||||
Banco de Credito e Inversiones | 204,288 | 11,024,238 | ||||||
Banco Santander Chile | 323,483,042 | 17,805,036 | ||||||
CAP SA | 50,000 | 571,557 | ||||||
Cencosud SA | 6,819,354 | 20,125,644 | ||||||
Cia. Cervecerias Unidas SA | 649,045 | 7,688,060 | ||||||
Cia. Sud Americana de Vapores SAa | 88,166,350 | 2,961,089 | ||||||
Colbun SA | 38,314,825 | 7,612,955 | ||||||
Empresa Nacional de Telecomunicaciones SAa | 689,501 | 7,666,664 | ||||||
Empresas CMPC SA | 5,864,159 | 13,044,502 | ||||||
Empresas COPEC SA | 2,197,296 | 23,048,796 | ||||||
Enel Americas SA | 139,011,885 | 27,103,135 | ||||||
Enel Chile SA | 97,211,805 | 9,963,728 | ||||||
Enel Generacion Chile SA | 15,724,866 | 10,699,947 | ||||||
Engie Energia Chile SA | 2,777,692 | 4,834,208 | ||||||
Inversiones Aguas Metropolitanas SA | 2,433,005 | 3,563,282 | ||||||
Inversiones La Construccion SA | 265,581 | 3,529,334 | ||||||
Itau CorpBanca | 743,241,050 | 6,012,829 | ||||||
LATAM Airlines Group SAa | 1,430,042 | 14,478,930 | ||||||
Parque Arauco SA | 3,272,628 | 8,237,861 | ||||||
SACI Falabella | 2,911,769 | 23,811,260 | ||||||
SalfaCorp SA | 3,835,701 | 3,107,160 | ||||||
SONDA SA | 2,533,737 | 4,131,962 | ||||||
Vina Concha y Toro SA | 2,098,244 | 3,542,234 | ||||||
|
| |||||||
262,351,266 |
Security | Shares | Value | ||||||
CHINA — 26.21% |
| |||||||
21Vianet Group Inc. ADRa | 334,379 | $ | 2,417,560 | |||||
361 Degrees International Ltd. | 5,256,000 | 1,983,920 | ||||||
3SBio Inc.a,b,c | 5,114,000 | 6,225,779 | ||||||
500.com Ltd. ADRa,b | 176,796 | 2,282,436 | ||||||
51job Inc. ADRa | 144,542 | 5,196,285 | ||||||
58.com Inc. ADRa,b | 403,280 | 14,760,048 | ||||||
AAC Technologies Holdings Inc. | 3,557,500 | 37,465,700 | ||||||
Agile Property Holdings Ltd. | 9,246,500 | 6,098,858 | ||||||
Agricultural Bank of China Ltd. Class H | 116,038,000 | 53,516,099 | ||||||
AGTech Holdings Ltd.a,b | 16,252,000 | 3,370,807 | ||||||
Air China Ltd. Class H | 8,402,000 | 6,483,517 | ||||||
Ajisen (China) Holdings Ltd. | 5,733,000 | 2,237,823 | ||||||
Alibaba Group Holding Ltd. ADRa,b | 5,355,291 | 551,059,444 | ||||||
Alibaba Health Information Technology Ltd.a,b | 16,164,000 | 7,100,753 | ||||||
Alibaba Pictures Group Ltd.a,b | 61,750,000 | 10,341,451 | ||||||
Aluminum Corp. of China Ltd. Class Ha,b | 20,236,000 | 10,088,737 | ||||||
Anhui Conch Cement Co. Ltd. Class H | 5,884,000 | 20,504,119 | ||||||
Anhui Expressway Co. Ltd. Class H | 2,436,000 | 1,958,227 | ||||||
ANTA Sports Products Ltd.b | 4,827,000 | 14,613,234 | ||||||
APT Satellite Holdings Ltd. | 3,691,500 | 1,959,302 | ||||||
Asia Cement China Holdings Corp. | 2,930,000 | 883,252 | ||||||
AVIC International Holding HK Ltd.a,b | 33,480,000 | 2,070,274 | ||||||
AviChina Industry & Technology Co. Ltd. Class H | 10,565,000 | 7,689,872 | ||||||
Baidu Inc.a | 1,294,050 | 225,332,927 | ||||||
Bank of China Ltd. Class H | 376,975,000 | 190,856,205 | ||||||
Bank of Communications Co. Ltd. Class H | 41,132,000 | 32,799,835 | ||||||
Baozun Inc. ADRa,b | 122,887 | 1,767,115 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 7,738,000 | 8,293,794 | ||||||
Beijing Capital Land Ltd. Class H | 5,314,000 | 2,293,335 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Beijing Enterprises Holdings Ltd. | 2,473,000 | $ | 12,934,550 | |||||
Beijing Enterprises Medical & Health Group Ltd.a | 42,246,000 | 2,557,906 | ||||||
Beijing Enterprises Water Group Ltd.b | 21,266,000 | 15,204,774 | ||||||
Beijing Tong Ren Tang Chinese Medicine Co. Ltd. | 2,505,000 | 3,381,973 | ||||||
Belle International Holdings Ltd. | 30,163,000 | 20,788,804 | ||||||
BEP International Holdings Ltd. | 25,750,000 | 1,592,281 | ||||||
Biostime International Holdings Ltd.a,b | 1,029,500 | 3,415,111 | ||||||
Bitauto Holdings Ltd. ADRa,b | 152,734 | 2,911,110 | ||||||
Bosideng International Holdings Ltd.b | 26,596,000 | 2,364,104 | ||||||
Brilliance China Automotive Holdings Ltd. | 14,718,000 | 23,131,821 | ||||||
Byd Co. Ltd. Class Hb | 3,018,500 | 17,751,422 | ||||||
BYD Electronic International Co. Ltd.b | 3,875,000 | 4,193,264 | ||||||
C C Land Holdings Ltd. | 9,995,000 | 3,051,633 | ||||||
Carnival Group International Holdings Ltd.a,b | 37,327,000 | 3,991,190 | ||||||
Central China Securities Co. Ltd. Class H | 6,115,000 | 3,458,296 | ||||||
CGN Power Co. Ltd. Class Hc | 47,711,000 | 14,505,467 | ||||||
Chaowei Power Holdings Ltd. | 4,115,000 | 3,244,311 | ||||||
Cheetah Mobile Inc. ADRa,b | 153,399 | 1,535,524 | ||||||
China Aerospace International Holdings Ltd. | 21,648,000 | 2,872,475 | ||||||
China Agri-Industries Holdings Ltd.a | 11,462,200 | 5,655,460 | ||||||
China Aircraft Leasing Group Holdings Ltd.b | 2,058,500 | 2,553,750 | ||||||
China Animal Healthcare Ltd.a,b | 1,237,000 | 48,508 | ||||||
China Aoyuan Property Group Ltd. | 12,785,000 | 3,145,830 | ||||||
China BlueChemical Ltd. Class H | 10,938,000 | 3,790,455 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 42,194,000 | 16,633,104 |
Security | Shares | Value | ||||||
China CITIC Bank Corp. Ltd. Class H | 41,276,000 | $ | 28,341,707 | |||||
China Coal Energy Co. Ltd. Class Ha | 9,937,000 | 5,261,363 | ||||||
China Communications Construction Co. Ltd. Class H | 21,068,000 | 27,195,197 | ||||||
China Communications Services Corp. Ltd. Class H | 12,728,000 | 8,509,983 | ||||||
China Conch Venture Holdings Ltd.b | 7,019,500 | 13,907,969 | ||||||
China Construction Bank Corp. Class H | 402,447,000 | 331,291,838 | ||||||
China Datang Corp. Renewable Power Co. Ltd. Class Ha | 17,749,000 | 1,760,621 | ||||||
China Dongxiang Group Co. Ltd. | 21,576,000 | 4,085,916 | ||||||
China Electronics Corp. Holdings Co. Ltd.b | 9,206,000 | 1,897,545 | ||||||
China Everbright Bank Co. Ltd. Class H | 14,698,000 | 7,441,354 | ||||||
China Everbright International Ltd.b | 12,282,000 | 15,917,258 | ||||||
China Everbright Ltd. | 4,470,000 | 8,868,076 | ||||||
China Everbright Water Ltd. | 5,124,100 | 1,575,462 | ||||||
China Evergrande Groupb | 19,306,000 | 14,499,801 | ||||||
China Fiber Optic Network System Group Ltd.a | 10,394,800 | 937,379 | ||||||
China First Capital Group Ltd.a | 2,070,000 | 904,006 | ||||||
China Foods Ltd. | 5,582,000 | 2,488,096 | ||||||
China Galaxy Securities Co. Ltd. Class H | 13,587,500 | 13,320,649 | ||||||
China Gas Holdings Ltd.b | 8,278,000 | 12,285,111 | ||||||
China Huarong Asset Management Co. Ltd. Class Ha,b,c | 28,335,000 | 11,206,314 | ||||||
China Huishan Dairy Holdings Co. Ltd.b | 22,896,000 | 8,376,819 | ||||||
China Huiyuan Juice Group Ltd.a | 5,650,000 | 2,023,459 | ||||||
China Innovationpay Group Ltd.a,b | 28,160,000 | 1,759,445 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
China Jinmao Holdings Group Ltd. | 18,582,000 | $ | 5,769,135 | |||||
China Lesso Group Holdings Ltd. | 6,369,000 | 4,783,447 | ||||||
China Life Insurance Co. Ltd. Class H | 35,500,000 | 108,158,507 | ||||||
China Lilang Ltd. | 3,876,000 | 2,721,332 | ||||||
China Logistics Property Holdings Co. Ltd.a | 926,000 | 391,279 | ||||||
China Longyuan Power Group Corp. Ltd. | 15,087,000 | 12,944,292 | ||||||
China LotSynergy Holdings Ltd.a,b | 55,000,000 | 1,877,629 | ||||||
China Lumena New Materials Corp.a,b | 2,584,000 | 26,631 | ||||||
China Maple Leaf Educational Systems Ltd.b | 3,870,000 | 2,557,582 | ||||||
China Medical System Holdings Ltd.b | 6,992,000 | 11,385,436 | ||||||
China Mengniu Dairy Co. Ltd. | 12,997,000 | 25,617,440 | ||||||
China Merchants Bank Co. Ltd. Class H | 18,461,964 | 49,113,303 | ||||||
China Merchants Land Ltd.b | 11,000,000 | 1,657,982 | ||||||
China Merchants Port Holdings Co. Ltd.b | 5,998,000 | 16,728,829 | ||||||
China Metal Recycling Holdings Ltd.a | 62,400 | — | ||||||
China Minsheng Banking Corp. Ltd. Class H | 27,783,100 | 31,711,414 | ||||||
China Mobile Ltd. | 29,268,500 | 322,756,810 | ||||||
China Modern Dairy Holdings Ltd.a,b | 13,046,000 | 3,210,051 | ||||||
China National Building Material Co. Ltd. Class H | 13,504,000 | 9,846,458 | ||||||
China National Materials Co. Ltd. Class H | 6,924,000 | 2,381,604 | ||||||
China Ocean Industry Group Ltd.a,b | 96,490,000 | 2,635,235 | ||||||
China Oil and Gas Group Ltd.a,b | 35,108,000 | 2,849,363 | ||||||
China Oilfield Services Ltd. Class H | 8,926,000 | 8,900,185 | ||||||
China Overseas Grand Oceans Group Ltd.a | 8,034,000 | 2,980,750 |
Security | Shares | Value | ||||||
China Overseas Land & Investment Ltd. | 18,096,000 | $ | 55,716,224 | |||||
China Pacific Insurance Group Co. Ltd. Class H | 12,284,800 | 45,024,774 | ||||||
China Petroleum & Chemical Corp. Class H | 121,612,200 | 94,313,708 | ||||||
China Power International Development Ltd. | 15,191,000 | 5,890,526 | ||||||
China Power New Energy Development Co. Ltd.b | 3,034,500 | 1,763,051 | ||||||
China Railway Construction Corp. Ltd. Class H | 9,335,000 | 13,204,375 | ||||||
China Railway Group Ltd. Class H | 18,972,000 | 16,595,261 | ||||||
China Regenerative Medicine International Ltd.a,b | 78,235,000 | 2,570,055 | ||||||
China Resources Beer Holdings Co. Ltd.a | 8,044,000 | 18,259,091 | ||||||
China Resources Gas Group Ltd.b | 4,396,000 | 13,421,690 | ||||||
China Resources Land Ltd. | 12,991,777 | 35,481,797 | ||||||
China Resources Phoenix Healthcare Holdings Co. Ltd.a,b | 3,072,000 | 3,803,170 | ||||||
China Resources Power Holdings Co. Ltd. | 8,978,000 | 16,261,706 | ||||||
China SCE Property Holdings Ltd. | 11,285,200 | 4,099,771 | ||||||
China Shanshui Cement Group Ltd.a,b | 3,521,000 | 226,797 | ||||||
China Shenhua Energy Co. Ltd. Class H | 16,150,500 | 33,788,832 | ||||||
China Shineway Pharmaceutical Group Ltd. | 3,136,000 | 3,381,448 | ||||||
China Singyes Solar Technologies Holdings Ltd.b | 4,147,000 | 1,949,971 | ||||||
China South City Holdings Ltd. | 13,694,000 | 2,857,897 | ||||||
China Southern Airlines Co. Ltd. Class H | 8,956,000 | 5,826,485 | ||||||
China State Construction International Holdings Ltd.b | 8,780,000 | 14,364,795 | ||||||
China Suntien Green Energy Corp. Ltd. Class H | 12,904,000 | 2,194,318 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
China Taiping Insurance Holdings Co. Ltd.a,b | 7,842,908 | $ | 18,368,436 | |||||
China Telecom Corp. Ltd. Class H | 63,716,000 | 29,960,051 | ||||||
China Traditional Chinese Medicine Holdings Co. Ltd.b | 10,946,000 | 5,541,779 | ||||||
China Travel International Investment Hong Kong Ltd.b | 14,346,000 | 4,250,694 | ||||||
China Unicom Hong Kong Ltd. | 28,746,000 | 34,958,324 | ||||||
China Vanke Co. Ltd. Class H | 6,267,187 | 15,743,760 | ||||||
China Water Affairs Group Ltd. | 5,606,000 | 3,668,749 | ||||||
China Yurun Food Group Ltd.a,b | 11,323,000 | 2,027,578 | ||||||
China ZhengTong Auto Services Holdings Ltd. | 5,977,000 | 2,502,464 | ||||||
Chinasoft International Ltd.a,b | 10,728,000 | 5,265,564 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 4,018,467 | 5,673,775 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 12,768,000 | 8,964,386 | ||||||
CIFI Holdings Group Co. Ltd. | 17,002,000 | 5,694,748 | ||||||
CIMC Enric Holdings Ltd.b | 5,100,000 | 3,087,943 | ||||||
CITIC Ltd.b | 20,545,000 | 29,484,415 | ||||||
CITIC Resources Holdings Ltd.a,b | 17,700,000 | 2,599,437 | ||||||
CITIC Securities Co. Ltd. Class H | 10,013,500 | 21,413,871 | ||||||
CNOOC Ltd. | 84,451,000 | 99,873,130 | ||||||
Cogobuy Groupa,b,c | 3,382,000 | 4,783,845 | ||||||
Colour Life Services Group Co. Ltd. | 3,022,000 | 1,876,475 | ||||||
Comba Telecom Systems Holdings Ltd.b | 12,559,524 | 2,362,257 | ||||||
Concord New Energy Group Ltd.b | 46,080,000 | 2,433,871 | ||||||
Coolpad Group Ltd.a | 21,812,000 | 2,135,553 | ||||||
COSCO SHIPPING International Hong Kong Co. Ltd.b | 4,706,000 | 2,170,382 |
Security | Shares | Value | ||||||
COSCO SHIPPING Ports Ltd.b | 7,840,000 | $ | 8,736,417 | |||||
Country Garden Holdings Co. Ltd.b | 27,819,733 | 19,926,404 | ||||||
CPMC Holdings Ltd. | 3,940,000 | 2,035,363 | ||||||
Credit China FinTech Holdings Ltd.a,b | 63,852,000 | 9,295,101 | ||||||
CRRC Corp. Ltd. Class H | 18,801,750 | 18,044,952 | ||||||
CSPC Pharmaceutical Group Ltd. | 20,810,000 | 25,468,119 | ||||||
CT Environmental Group Ltd.b | 14,590,000 | 3,044,889 | ||||||
Ctrip.com International Ltd.a,b | 1,769,628 | 83,951,152 | ||||||
Dah Chong Hong Holdings Ltd.b | 6,022,000 | 2,366,147 | ||||||
Dawnrays Pharmaceutical Holdings Ltd.b | 3,868,000 | 2,212,436 | ||||||
Dazhong Transportation Group Co. Ltd. Class B | 4,338,950 | 3,150,078 | ||||||
Digital China Holdings Ltd.b | 5,685,000 | 5,075,337 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 12,500,000 | 14,831,013 | ||||||
Dongjiang Environmental Co. Ltd. Class Hb | 1,346,300 | 2,265,094 | ||||||
Dongyue Group Ltd.a | 5,746,000 | 811,292 | ||||||
Eastern Communications Co. Ltd. Class B | 2,150,700 | 1,526,997 | ||||||
ENN Energy Holdings Ltd. | 3,690,000 | 17,826,202 | ||||||
Fang Holdings Ltd. ADRa,b | 1,395,548 | 4,158,733 | ||||||
Fantasia Holdings Group Co. Ltd. | 17,461,500 | 2,451,937 | ||||||
Far East Horizon Ltd. | 10,355,000 | 9,964,876 | ||||||
FDG Electric Vehicles Ltd.a,b | 74,345,000 | 3,208,468 | ||||||
First Tractor Co. Ltd. Class H | 3,960,000 | 2,530,335 | ||||||
Fosun International Ltd.b | 12,293,000 | 19,320,524 | ||||||
Fu Shou Yuan International Group Ltd.b | 4,385,000 | 2,553,343 | ||||||
Fufeng Group Ltd.b | 6,420,400 | 4,052,839 | ||||||
Fullshare Holdings Ltd.b | 34,535,000 | 13,391,436 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb,c | 2,453,200 | 7,648,029 | ||||||
GCL-Poly Energy Holdings Ltd.a,b | 65,615,000 | 8,960,045 | ||||||
Geely Automobile Holdings Ltd.b | 25,785,000 | 35,077,791 |
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
GF Securities Co. Ltd. Class H | 6,227,400 | $ | 13,718,419 | |||||
Glorious Property Holdings Ltd.a,b | 17,958,000 | 2,058,966 | ||||||
Golden Eagle Retail Group Ltd.b | 3,673,000 | 5,460,444 | ||||||
GOME Electrical Appliances Holding Ltd.b | 60,519,000 | 8,420,089 | ||||||
Great Wall Motor Co. Ltd. Class H | 14,740,500 | 18,115,978 | ||||||
Greatview Aseptic Packaging Co. Ltd. | 7,706,000 | 3,822,002 | ||||||
Greentown China Holdings Ltd.a,b | 3,629,000 | 3,314,625 | ||||||
Guangdong Investment Ltd. | 13,872,000 | 18,907,144 | ||||||
Guangdong Land Holdings Ltd.a | 6,292,000 | 1,531,975 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 10,238,000 | 17,172,254 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 4,690,400 | 6,477,477 | ||||||
Haier Electronics Group Co. Ltd. | 6,083,000 | 11,190,441 | ||||||
Haitian International Holdings Ltd. | 3,494,000 | 7,345,887 | ||||||
Haitong Securities Co. Ltd. Class H | 14,401,600 | 26,382,231 | ||||||
Hanergy Thin Film Power Group Ltd.a | 8,046 | — | ||||||
Hangzhou Steam Turbine Co. Ltd. Class Ba | 1,812,400 | 1,935,574 | ||||||
Harbin Electric Co. Ltd. Class H | 4,776,000 | 2,338,025 | ||||||
HC International Inc.a,b | 3,482,000 | 2,857,389 | ||||||
Hengan International Group Co. Ltd.b | 3,512,500 | 30,000,676 | ||||||
Hengdeli Holdings Ltd.a | 15,810,800 | 2,546,039 | ||||||
Hi Sun Technology (China) Ltd.a | 15,012,000 | 2,398,068 | ||||||
Hisense Kelon Electrical Holdings Co. Ltd. Class H | 2,259,000 | 2,677,351 | ||||||
Hopson Development Holdings Ltd. | 3,528,000 | 3,199,650 | ||||||
Hua Han Health Industry Holdings Ltd. Class Ha,b | 22,424,288 | 1,531,072 |
Security | Shares | Value | ||||||
Hua Hong Semiconductor Ltd.b,c | 2,318,000 | $ | 2,771,166 | |||||
Huabao International Holdings Ltd.a | 5,369,000 | 2,884,235 | ||||||
Huadian Fuxin Energy Corp. Ltd. Class H | 11,890,000 | 2,894,975 | ||||||
Huaneng Power International Inc. Class H | 19,254,000 | 13,121,329 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 19,944,000 | 6,782,931 | ||||||
Huangshi Dongbei Electrical Appliance Co. Ltd. Class Ba | 986,800 | 1,793,016 | ||||||
Huatai Securities Co. Ltd. Class Hc | 6,866,400 | 14,011,527 | ||||||
IGG Inc. | 5,240,000 | 3,705,995 | ||||||
iKang Healthcare Group Inc. ADRa,b | 284,936 | 4,564,675 | ||||||
IMAX China Holding Inc.a,b,c | 672,900 | 3,224,740 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 351,018,000 | 230,169,807 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 5,759,716 | 6,796,465 | ||||||
Intime Retail Group Co. Ltd.b | 7,756,500 | 9,642,603 | ||||||
JA Solar Holdings Co. Ltd. ADRa,b | 331,758 | 1,691,966 | ||||||
JD.com Inc. ADRa,b | 3,199,072 | 97,795,631 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 6,188,000 | 8,163,031 | ||||||
Jiangxi Copper Co. Ltd. Class H | 6,205,000 | 10,455,642 | ||||||
JinkoSolar Holding Co. Ltd.a,b | 142,350 | 2,402,868 | ||||||
Ju Teng International Holdings Ltd. | 6,268,000 | 2,373,982 | ||||||
Jumei International Holding Ltd. ADRa | 419,102 | 1,701,554 | ||||||
K Wah International Holdings Ltd. | 7,439,000 | 4,149,575 | ||||||
Kama Co. Ltd.a | 1,709,900 | 1,785,136 | ||||||
Kingboard Chemical Holdings Ltd. | 3,525,700 | 12,467,773 | ||||||
Kingboard Laminates Holdings Ltd. | 5,190,500 | 5,817,409 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Kingdee International Software Group Co. Ltd.a,b | 11,180,000 | $ | 4,320,801 | |||||
Kingsoft Corp. Ltd. | 3,858,000 | 8,488,897 | ||||||
Konka Group Co. Ltd. Class Ba | 3,931,700 | 1,438,467 | ||||||
KuangChi Science Ltd.a,b | 6,824,000 | 2,839,506 | ||||||
Kunlun Energy Co. Ltd.b | 15,914,000 | 13,838,350 | ||||||
KWG Property Holding Ltd. | 6,006,500 | 3,791,567 | ||||||
Lao Feng Xiang Co. Ltd. Class B | 1,159,117 | 4,184,412 | ||||||
Launch Tech Co. Ltd.a | 1,327,000 | 1,406,928 | ||||||
Lee & Man Paper Manufacturing Ltd. | 8,091,000 | 7,337,972 | ||||||
Lenovo Group Ltd.b | 33,822,000 | 20,304,224 | ||||||
Leyou Technologies Holdings Ltd.a,b | 14,360,000 | 3,126,384 | ||||||
Li Ning Co. Ltd.a | 8,238,000 | 5,507,954 | ||||||
Lianhua Supermarket Holdings Co. Ltd. Class Ha | 3,950,000 | 1,735,212 | ||||||
Lifetech Scientific Corp.a,b | 11,900,000 | 3,035,382 | ||||||
Livzon Pharmaceutical Group Inc. Class H | 564,770 | 3,423,201 | ||||||
Longfor Properties Co. Ltd. | 7,119,000 | 11,390,473 | ||||||
Lonking Holdings Ltd.b | 14,500,000 | 3,922,731 | ||||||
Luthai Textile Co. Ltd. Class B | 1,982,692 | 2,375,414 | ||||||
Luye Pharma Group Ltd. | 7,085,500 | 4,636,982 | ||||||
MIE Holdings Corp.a | 11,682,000 | 1,083,555 | ||||||
Minth Group Ltd.b | 3,472,000 | 11,047,852 | ||||||
MMG Ltd.a,b | 13,767,999 | 5,427,420 | ||||||
NetDragon Websoft Holdings Ltd.b | 1,027,000 | 2,910,679 | ||||||
Netease Inc. | 380,994 | 116,226,030 | ||||||
New China Life Insurance Co. Ltd. Class H | 3,882,900 | 19,133,254 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 644,678 | 31,208,862 | ||||||
New World Department Store China Ltd.a | 12,416,000 | 1,919,394 | ||||||
Nexteer Automotive Group Ltd. | 4,676,000 | 6,035,919 | ||||||
Nine Dragons Paper (Holdings) Ltd. | 8,154,000 | 10,346,849 | ||||||
Noah Holdings Ltd. ADRa,b | 162,620 | 4,259,018 |
Security | Shares | Value | ||||||
North Mining Shares Co. Ltd.a | 83,360,000 | $ | 1,804,131 | |||||
NQ Mobile Inc. ADRa,b | 559,809 | 2,155,265 | ||||||
Parkson Retail Group Ltd.b | 16,603,000 | 2,267,220 | ||||||
PAX Global Technology Ltd.b | 4,687,000 | 3,308,847 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 32,386,000 | 13,309,115 | ||||||
PetroChina Co. Ltd. Class H | 100,556,000 | 76,559,071 | ||||||
Phoenix Satellite Television Holdings Ltd.b | 15,348,000 | 2,530,830 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 21,387,360 | 32,677,066 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 24,832,500 | 132,440,853 | ||||||
Poly Property Group Co. Ltd.a,b | 10,701,000 | 4,494,104 | ||||||
Pou Sheng International Holdings Ltd. | 12,931,000 | 3,148,438 | ||||||
Qunar Cayman Islands Ltd. ADRa,b | 186,095 | 5,659,149 | ||||||
Renhe Commercial Holdings Co. Ltd.a,b | 92,206,000 | 2,613,263 | ||||||
Renren Inc. ADRa | 151,705 | 1,237,910 | ||||||
Road King Infrastructure Ltd. | 3,278,000 | 3,302,303 | ||||||
Sany Heavy Equipment International Holdings Co. Ltd.a,b | 11,595,000 | 2,061,347 | ||||||
Seaspan Corp. | 256,016 | 2,007,165 | ||||||
Semiconductor Manufacturing International Corp.a,b | 13,806,700 | 17,964,389 | ||||||
Shandong Airlines Co. Ltd. Class B | 1,076,700 | 2,452,326 | ||||||
Shandong Chenming Paper Holdings Ltd. Class H | 2,457,000 | 3,196,890 | ||||||
Shandong Luoxin Pharmaceutical Group Stock Co. Ltd. Class H | 1,028,000 | 1,692,486 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 9,444,000 | 5,681,644 | ||||||
Shang Gong Group Co. Ltd. Class Ba | 2,326,600 | 2,589,506 | ||||||
Shanghai Baosight Software Co. Ltd. Class B | 1,483,200 | 2,343,456 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Shanghai Chlor-Alkali Chemical Co. Ltd. Class Ba | 2,865,000 | $ | 2,228,970 | |||||
Shanghai Electric Group Co. Ltd. Class Ha | 13,654,000 | 7,071,103 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 2,070,000 | 7,120,046 | ||||||
Shanghai Greencourt Investment Group Co. Ltd. Class Ba | 3,431,700 | 2,182,561 | ||||||
Shanghai Haixin Group Co. Class B | 2,700,200 | 2,152,059 | ||||||
Shanghai Industrial Holdings Ltd. | 2,485,000 | 6,930,834 | ||||||
Shanghai Industrial Urban Development Group Ltd. | 12,922,000 | 3,395,948 | ||||||
Shanghai Jin Jiang International Hotels Group Co. Ltd. Class H | 7,108,000 | 2,023,676 | ||||||
Shanghai Jinjiang International Industrial Investment Co. Ltd. Class B | 1,110,000 | 1,650,570 | ||||||
Shanghai Jinjiang International Travel Co. Ltd. Class B | 535,000 | 1,807,765 | ||||||
Shanghai Lingyun Industries Development Co. Ltd. Class Ba | 1,516,895 | 1,516,895 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 4,429,099 | 6,532,921 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 3,427,200 | 8,830,202 | ||||||
Shanghai Potevio Co. Ltd. Class Ba | 864,400 | 913,671 | ||||||
Shanghai Shibei Hi-Tech Co. Ltd. Class B | 1,450,300 | 1,580,827 | ||||||
Shenzhen Expressway Co. Ltd. Class H | 4,020,000 | 3,713,183 | ||||||
Shenzhen International Holdings Ltd. | 5,011,750 | 7,179,519 | ||||||
Shenzhen Investment Ltd. | 14,992,000 | 6,431,392 | ||||||
Shenzhou International Group Holdings Ltd.b | 2,782,000 | 16,629,389 |
Security | Shares | Value | ||||||
Shimao Property Holdings Ltd. | 5,427,000 | $ | 7,788,363 | |||||
Shougang Concord International Enterprises Co. Ltd.a | 64,960,000 | 2,301,335 | ||||||
Shougang Fushan Resources Group Ltd. | 13,908,000 | 3,099,645 | ||||||
Shui On Land Ltd. | 18,744,666 | 4,201,730 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 24,078,000 | 8,219,918 | ||||||
SINA Corp./Chinaa | 273,116 | 18,989,755 | ||||||
Sino Biopharmaceutical Ltd. | 21,979,000 | 18,970,724 | ||||||
Sino Oil And Gas Holdings Ltd.a | 69,645,000 | 1,785,436 | ||||||
Sino-Ocean Group Holding Ltd. | 14,764,000 | 7,341,631 | ||||||
Sinofert Holdings Ltd.b | 17,008,000 | 2,716,915 | ||||||
Sinolink Worldwide Holdings Ltd.a | 16,732,000 | 1,832,179 | ||||||
Sinopec Engineering Group Co. Ltd. Class H | 6,162,500 | 5,596,896 | ||||||
Sinopec Kantons Holdings Ltd.b | 6,214,000 | 3,250,113 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 17,341,000 | 10,499,610 | ||||||
Sinopharm Group Co. Ltd. Class H | 5,661,200 | 26,182,079 | ||||||
Sinosoft Technology Group Ltd.b | 5,316,600 | 1,582,148 | ||||||
Sinotrans Ltd. Class H | 9,814,000 | 4,450,306 | ||||||
Sinotrans Shipping Ltd.a,b | 12,362,500 | 2,882,611 | ||||||
Skyworth Digital Holdings Ltd.b | 9,710,000 | 6,304,504 | ||||||
SMI Holdings Group Ltd.b | 37,124,000 | 3,347,757 | ||||||
SOHO China Ltd.b | 11,285,000 | 5,844,250 | ||||||
Sohu.com Inc.a | 156,241 | 6,223,079 | ||||||
SSY Group Ltd.b | 13,608,411 | 4,277,583 | ||||||
Sun Art Retail Group Ltd. | 12,073,500 | 11,634,185 | ||||||
Sunac China Holdings Ltd.b | 9,273,000 | 9,640,398 | ||||||
Sunny Optical Technology Group Co. Ltd.b | 3,460,000 | 22,264,491 | ||||||
Superb Summit International Group Ltd.a,b | 6,035,000 | 54,422 | ||||||
TAL Education Group Class A ADRa,b | 210,598 | 18,210,409 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Tarena International Inc. ADRb | 251,296 | $ | 3,636,253 | |||||
TCL Multimedia Technology Holdings Ltd.a,b | 3,890,000 | 1,839,149 | ||||||
Technovator International Ltd.b | 5,338,000 | 2,262,433 | ||||||
Tencent Holdings Ltd. | 27,138,600 | 723,700,662 | ||||||
Tian Ge Interactive Holdings Ltd.b,c | 2,884,000 | 1,593,873 | ||||||
Tianjin Capital Environmental Protection Group Co. Ltd. Class H | 2,742,000 | 1,564,849 | ||||||
Tianjin Development Holdings Ltd. | 5,548,000 | 2,916,069 | ||||||
Tianjin Port Development Holdings Ltd. | 16,954,000 | 2,861,177 | ||||||
Tianneng Power International Ltd. | 3,936,000 | 3,483,478 | ||||||
Tibet Water Resources Ltd. | 9,992,000 | 4,119,112 | ||||||
Tingyi Cayman Islands Holding Corp.b | 9,656,000 | 10,822,253 | ||||||
Tong Ren Tang Technologies Co. Ltd. Class H | 3,263,000 | 5,985,883 | ||||||
Tongda Group Holdings Ltd.b | 18,030,000 | 6,062,300 | ||||||
Towngas China Co. Ltd.b | 5,871,000 | 3,221,980 | ||||||
TravelSky Technology Ltd. Class H | 4,606,000 | 10,051,677 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 1,784,000 | 8,204,729 | ||||||
Tuniu Corp. ADRa,b | 214,452 | 1,786,385 | ||||||
United Photovoltaics Group Ltd.a,b | 27,858,000 | 2,440,394 | ||||||
Vinda International Holdings Ltd. | 1,425,000 | 2,790,356 | ||||||
Vipshop Holdings Ltd. ADRa | 1,934,324 | 25,165,555 | ||||||
Viva China Holdings Ltd.a | 16,872,000 | 1,847,509 | ||||||
Want Want China Holdings Ltd.b | 27,398,000 | 17,647,779 | ||||||
Wasion Group Holdings Ltd. | 3,050,000 | 1,642,394 | ||||||
Weibo Corp. ADRa,b | 156,515 | 7,907,138 | ||||||
Weichai Power Co. Ltd. Class H | 5,016,000 | 8,826,925 | ||||||
Weiqiao Textile Co. Class H | 2,706,000 | 1,917,307 | ||||||
Welling Holding Ltd.b | 11,554,000 | 2,530,361 | ||||||
West China Cement Ltd.a | 15,798,000 | 2,075,886 |
Security | Shares | Value | ||||||
Wisdom Sports Groupa,b | 5,698,000 | $ | 1,563,519 | |||||
Xiamen International Port Co. Ltd. Class H | 10,206,000 | 2,156,257 | ||||||
Xingda International Holdings Ltd. | 6,660,000 | 2,960,019 | ||||||
Xinhua Winshare Publishing and Media Co. Ltd. Class H | 2,576,000 | 2,349,526 | ||||||
Xinyi Solar Holdings Ltd.b | 14,472,000 | 5,089,702 | ||||||
XTEP International Holdings Ltd. | 5,113,000 | 2,338,327 | ||||||
Yanchang Petroleum International Ltd.a | 43,720,000 | 1,182,771 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 9,210,000 | 7,403,642 | ||||||
Yingde Gases Group Co. Ltd.b | 6,199,000 | 4,256,474 | ||||||
YuanShengTai Dairy Farm Ltd.a | 31,090,000 | 2,483,211 | ||||||
Yuexiu Property Co. Ltd. | 36,320,880 | 5,895,601 | ||||||
Yuexiu REIT | 7,973,000 | 4,745,314 | ||||||
Yuexiu Transport Infrastructure Ltd.b | 5,508,000 | 3,831,677 | ||||||
Yum China Holdings Inc.a | 1,784,809 | 47,458,071 | ||||||
Yuzhou Properties Co. Ltd. | 12,155,400 | 4,227,992 | ||||||
YY Inc. ADRa | 148,591 | 6,581,095 | ||||||
Zhaojin Mining Industry Co. Ltd. Class Hb | 4,381,500 | 4,289,805 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 6,588,000 | 7,409,161 | ||||||
Zhonglu Co. Ltd. Class B | 626,300 | 1,290,178 | ||||||
Zhongsheng Group Holdings Ltd. | 3,683,500 | 5,343,185 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 2,619,500 | 14,105,740 | ||||||
Zijin Mining Group Co. Ltd. Class H | 26,938,000 | 10,167,968 | ||||||
ZTE Corp. Class H | 3,637,240 | 5,922,707 | ||||||
|
| |||||||
6,221,056,552 | ||||||||
COLOMBIA — 0.26% |
| |||||||
Almacenes Exito SA | 696,966 | 3,706,213 | ||||||
Cementos Argos SA | 2,332,647 | 9,339,049 | ||||||
Corp. Financiera Colombiana SA | 558,399 | 5,606,251 | ||||||
Ecopetrol SAa | 24,577,129 | 11,101,275 |
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Grupo Argos SA/Colombia | 1,352,131 | $ | 9,142,679 | |||||
Grupo de Inversiones Suramericana SA | 1,188,266 | 14,873,910 | ||||||
Interconexion Electrica SA ESP | 1,981,727 | 7,595,032 | ||||||
|
| |||||||
61,364,409 | ||||||||
CZECH REPUBLIC — 0.18% |
| |||||||
CEZ AS | 775,568 | 13,740,147 | ||||||
Komercni Banka AS | 396,192 | 14,288,910 | ||||||
Moneta Money Bank ASa,c | 2,461,997 | 8,258,729 | ||||||
Pegas Nonwovens SA | 80,458 | 2,641,997 | ||||||
Philip Morris CR AS | 5,418 | 2,833,575 | ||||||
|
| |||||||
41,763,358 | ||||||||
EGYPT — 0.11% |
| |||||||
Commercial International Bank Egypt SAE | 2,530,343 | 11,505,053 | ||||||
Egyptian Financial Group-Hermes Holding Co.a | 1,450,454 | 2,044,406 | ||||||
Ezz Steela | 791,301 | 795,308 | ||||||
Global Telecom Holding SAEa | 6,408,004 | 2,506,422 | ||||||
Global Telecom Holding SAE GDRa | 2,571,266 | 4,833,980 | ||||||
Juhayna Food Industries | 1,184,159 | 526,876 | ||||||
Orascom Telecom Media And Technology Holding SAEa | 9,784,899 | 408,736 | ||||||
Palm Hills Developments SAE | 4,371,893 | 838,407 | ||||||
Pioneers Holding For Financial Investments SAEa | 1,278,569 | 746,102 | ||||||
Six of October Development & Investmenta | 997,636 | 762,118 | ||||||
South Valley Cementa | 1,748,280 | 504,567 | ||||||
Talaat Moustafa Group | 2,977,305 | 1,496,190 | ||||||
|
| |||||||
26,968,165 | ||||||||
GREECE — 0.35% |
| |||||||
Alpha Bank AEa | 6,627,048 | 12,041,650 | ||||||
Athens Water Supply & Sewage Co. SA | 199,144 | 1,110,955 | ||||||
Eurobank Ergasias SAa | 8,991,206 | 6,019,054 | ||||||
FF Groupa,b | 169,429 | 3,330,652 | ||||||
Hellenic Exchanges-Athens Stock Exchange SA | 428,495 | 2,094,466 |
Security | Shares | Value | ||||||
Hellenic Telecommunications Organization SA | 1,229,890 | $ | 11,069,282 | |||||
JUMBO SA | 498,438 | 7,070,696 | ||||||
Metka Industrial-Construction SA | 195,458 | 1,474,625 | ||||||
Motor Oil Hellas Corinth Refineries SA | 359,481 | 5,576,973 | ||||||
Mytilineos Holdings SAa | 493,452 | 3,722,828 | ||||||
National Bank of Greece SAa,b | 26,033,298 | 6,639,115 | ||||||
OPAP SA | 1,099,433 | 9,918,505 | ||||||
Piraeus Bank SAa | 31,527,222 | 6,130,650 | ||||||
Piraeus Port Authority SA | 31,580 | 423,824 | ||||||
Public Power Corp. SAa,b | 637,696 | 1,863,443 | ||||||
Titan Cement Co. SA | 227,326 | 5,432,608 | ||||||
|
| |||||||
83,919,326 | ||||||||
HUNGARY — 0.26% | ||||||||
Magyar Telekom Telecommunications PLC | 2,229,917 | 3,764,175 | ||||||
MOL Hungarian Oil & Gas PLC | 173,941 | 11,954,457 | ||||||
OTP Bank PLC | 1,082,607 | 31,514,652 | ||||||
Richter Gedeon Nyrt | 632,059 | 14,048,726 | ||||||
|
| |||||||
61,282,010 | ||||||||
INDIA — 9.03% | ||||||||
ACC Ltd. | 294,404 | 6,228,403 | ||||||
Adani Enterprises Ltd. | 1,255,652 | 1,853,778 | ||||||
Adani Ports & Special Economic Zone Ltd. | 4,008,130 | 18,127,636 | ||||||
Adani Power Ltd.a | 5,142,983 | 2,975,463 | ||||||
Adani Transmissions Ltd.a | 1,837,010 | 1,701,579 | ||||||
Aditya Birla Nuvo Ltd. | 219,937 | 4,753,359 | ||||||
AIA Engineering Ltd. | 237,164 | 5,264,308 | ||||||
Ajanta Pharma Ltd. | 176,279 | 4,537,710 | ||||||
Amara Raja Batteries Ltd. | 223,437 | 2,874,729 | ||||||
Ambuja Cements Ltd. | 3,300,596 | 11,346,011 | ||||||
Apollo Hospitals Enterprise Ltd. | 365,529 | 7,131,291 | ||||||
Apollo Tyres Ltd. | 1,397,696 | 3,930,046 | ||||||
Arvind Ltd. | 733,884 | 4,180,973 | ||||||
Ashok Leyland Ltd. | 6,201,765 | 8,426,267 | ||||||
Asian Paints Ltd. | 1,455,752 | 22,347,259 | ||||||
Aurobindo Pharma Ltd. | 1,377,536 | 13,982,087 | ||||||
Axis Bank Ltd. | 7,986,600 | 60,648,781 | ||||||
Bajaj Auto Ltd. | 419,542 | 17,329,698 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Bajaj Finance Ltd. | 838,268 | $ | 13,923,651 | |||||
Bajaj Finserv Ltd. | 216,474 | 12,699,754 | ||||||
Balkrishna Industries Ltd. | 280,493 | 5,468,076 | ||||||
Bata India Ltd. | 321,076 | 2,447,336 | ||||||
Bayer CropScience Ltd./India | 73,880 | 4,276,140 | ||||||
Bharat Financial Inclusion Ltd.a | 212,493 | 2,687,584 | ||||||
Bharat Forge Ltd. | 505,160 | 7,976,181 | ||||||
Bharat Heavy Electricals Ltd. | 2,829,245 | 6,888,781 | ||||||
Bharat Petroleum Corp. Ltd. | 2,524,997 | 25,358,302 | ||||||
Bharti Airtel Ltd. | 4,883,838 | 26,729,120 | ||||||
Bharti Infratel Ltd. | 2,819,149 | 12,010,763 | ||||||
Biocon Ltd. | 312,329 | 5,254,500 | ||||||
Blue Dart Express Ltd. | 44,372 | 2,850,648 | ||||||
Bosch Ltd. | 38,242 | 12,371,135 | ||||||
Cadila Healthcare Ltd. | 1,152,149 | 7,602,564 | ||||||
Cairn India Ltd. | 2,177,931 | 9,274,008 | ||||||
Canara Bank Ltd.a | 709,887 | 3,144,650 | ||||||
Ceat Ltd. | 128,763 | 2,278,387 | ||||||
Century Textiles & Industries Ltd. | 215,819 | 3,084,827 | ||||||
CESC Ltd. | 404,530 | 5,095,524 | ||||||
Cipla Ltd. | 1,801,935 | 15,764,526 | ||||||
Coal India Ltd. | 3,516,350 | 16,965,442 | ||||||
Container Corp. of India Ltd. | 217,413 | 3,962,192 | ||||||
Credit Analysis & Research Ltd. | 151,619 | 3,172,651 | ||||||
CRISIL Ltd. | 132,201 | 3,989,486 | ||||||
Crompton Greaves Consumer Electricals Ltd.a | 1,909,397 | 5,434,671 | ||||||
Crompton Greaves Ltd.a | 2,547,929 | 2,633,138 | ||||||
Dabur India Ltd. | 2,929,429 | 12,157,885 | ||||||
DCB Bank Ltd.a | 1,422,188 | 3,325,322 | ||||||
Dewan Housing Finance Corp. Ltd. | 958,955 | 4,788,397 | ||||||
Dish TV India Ltd.a | 2,734,106 | 3,954,529 | ||||||
Divi’s Laboratories Ltd. | 464,831 | 5,286,925 | ||||||
Dr. Reddy’s Laboratories Ltd. | 559,627 | 23,904,959 | ||||||
Eicher Motors Ltd. | 66,881 | 24,188,781 | ||||||
Exide Industries Ltd. | 1,486,142 | 4,718,901 | ||||||
Federal Bank Ltd. | 6,819,646 | 8,928,466 | ||||||
Finolex Cables Ltd. | 657,890 | 4,392,918 | ||||||
GAIL (India) Ltd. | 1,582,807 | 12,262,714 | ||||||
Gateway Distriparks Ltd. | 649,638 | 2,401,622 | ||||||
GE T&D India Ltd. | 515,227 | 2,305,128 |
Security | Shares | Value | ||||||
Glenmark Pharmaceuticals Ltd. | 738,431 | $ | 10,243,266 | |||||
GMR Infrastructure Ltd.a | 12,990,686 | 3,095,860 | ||||||
Godrej Consumer Products Ltd. | 628,219 | 15,525,925 | ||||||
Godrej Industries Ltd. | 540,232 | 4,064,771 | ||||||
Grasim Industries Ltd. | 974,815 | 14,467,624 | ||||||
GRUH Finance Ltd. | 763,825 | 4,274,844 | ||||||
Gujarat Pipavav Port Ltd. | 1,014,810 | 2,325,650 | ||||||
Havells India Ltd. | 1,393,760 | 8,483,461 | ||||||
HCL Technologies Ltd. | 2,724,532 | 34,306,388 | ||||||
Hero Motocorp Ltd. | 249,210 | 11,721,531 | ||||||
Hexaware Technologies Ltd. | 706,628 | 2,374,535 | ||||||
Hindalco Industries Ltd. | 5,616,772 | 15,519,654 | ||||||
Hindustan Petroleum Corp. Ltd. | 2,074,077 | 16,716,963 | ||||||
Hindustan Unilever Ltd. | 3,147,694 | 40,851,908 | ||||||
Housing Development & Infrastructure Ltd.a | 2,130,471 | 2,200,123 | ||||||
Housing Development Finance Corp. Ltd. | 7,211,515 | 148,086,349 | ||||||
ICICI Bank Ltd. | 5,325,435 | 22,058,027 | ||||||
Idea Cellular Ltd. | 6,192,492 | 10,752,602 | ||||||
IDFC Bank Ltd. | 7,124,261 | 6,673,781 | ||||||
IFCI Ltd. | 3,877,362 | 1,696,959 | ||||||
India Cements Ltd. (The) | 1,203,147 | 3,067,433 | ||||||
Indiabulls Housing Finance Ltd. | 1,481,873 | 19,352,220 | ||||||
Indian Hotels Co. Ltd. (The) | 2,407,866 | 4,527,465 | ||||||
Infosys Ltd. | 8,775,669 | 133,163,276 | ||||||
IRB Infrastructure Developers Ltd. | 1,004,156 | 3,487,972 | ||||||
ITC Ltd. | 16,288,630 | 64,013,170 | ||||||
Jain Irrigation Systems Ltd. | 2,248,869 | 3,165,059 | ||||||
Jaiprakash Associates Ltd.a | 9,005,204 | 2,220,299 | ||||||
Jammu & Kashmir Bank Ltd. (The) | 1,793,262 | 1,983,591 | ||||||
Jindal Steel & Power Ltd.a | 1,797,976 | 3,380,700 | ||||||
JSW Steel Ltd. | 4,398,529 | 12,324,946 | ||||||
Jubilant Foodworks Ltd. | 219,972 | 3,332,447 | ||||||
Jubilant Life Sciences Ltd. | 359,925 | 3,883,077 | ||||||
Just Dial Ltd.a | 291,576 | 2,389,202 | ||||||
Kajaria Ceramics Ltd. | 490,455 | 4,295,605 | ||||||
Karur Vysya Bank Ltd. (The) | 2,285,563 | 3,432,520 | ||||||
KPIT Technologies Ltd. | 1,243,795 | 2,571,714 | ||||||
L&T Finance Holdings Ltd. | 2,741,420 | 4,784,837 |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Larsen & Toubro Ltd. | 1,526,646 | $ | 33,617,960 | |||||
LIC Housing Finance Ltd. | 1,587,683 | 13,345,163 | ||||||
Lupin Ltd. | 1,093,225 | 24,153,974 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 1,481,255 | 6,475,062 | ||||||
Mahindra & Mahindra Ltd. | 1,807,507 | 35,548,033 | ||||||
Manappuram Finance Ltd. | 2,689,917 | 3,916,822 | ||||||
Marico Ltd. | 2,428,499 | 10,235,412 | ||||||
Maruti Suzuki India Ltd. | 526,501 | 46,736,520 | ||||||
Max Financial Services Ltd. | 378,426 | 3,196,716 | ||||||
Max India Ltd.a | 824,798 | 1,835,803 | ||||||
MindTree Ltd. | 562,697 | 4,000,183 | ||||||
Motherson Sumi Systems Ltd. | 2,090,204 | 10,971,270 | ||||||
Mphasis Ltd. | 465,613 | 4,153,050 | ||||||
NCC Ltd./India | 2,207,367 | 2,772,494 | ||||||
Nestle India Ltd. | 121,614 | 11,400,159 | ||||||
NIIT Technologies Ltd. | 330,389 | 2,061,008 | ||||||
NTPC Ltd. | 8,077,232 | 19,727,362 | ||||||
Oil & Natural Gas Corp. Ltd. | 6,096,810 | 17,686,746 | ||||||
Page Industries Ltd. | 32,016 | 6,867,086 | ||||||
Persistent Systems Ltd. | 336,875 | 3,213,046 | ||||||
PI Industries Ltd. | 363,723 | 4,630,577 | ||||||
Piramal Enterprises Ltd. | 403,959 | 11,169,627 | ||||||
Power Finance Corp. Ltd. | 3,287,364 | 6,700,987 | ||||||
PTC India Ltd. | 2,523,830 | 3,342,095 | ||||||
Rajesh Exports Ltd. | 488,910 | 3,877,938 | ||||||
Rallis India Ltd. | 755,142 | 2,653,007 | ||||||
Ramco Cements Ltd. (The) | 507,979 | 5,068,084 | ||||||
Raymond Ltd. | 308,773 | 2,909,611 | ||||||
Redington India Ltd. | 1,989,219 | 3,178,278 | ||||||
Reliance Capital Ltd. | 600,765 | 4,801,168 | ||||||
Reliance Industries Ltd. | 6,249,579 | 115,968,769 | ||||||
Reliance Infrastructure Ltd. | 511,062 | 4,348,168 | ||||||
Shree Cement Ltd. | 47,092 | 11,371,781 | ||||||
Shriram Transport Finance Co. Ltd. | 757,571 | 10,550,782 | ||||||
Siemens Ltd. | 414,665 | 7,503,824 | ||||||
Sintex Industries Ltd. | 2,066,739 | 2,976,879 | ||||||
Sobha Ltd. | 512,115 | 2,233,637 | ||||||
SRF Ltd. | 109,348 | 2,550,436 | ||||||
State Bank of India | 7,520,173 | 30,342,753 | ||||||
Strides Shasun Ltd. | 259,451 | 4,521,228 | ||||||
Sun Pharma Advanced Research Co. Ltd.a | 557,084 | 2,808,434 |
Security | Shares | Value | ||||||
Sun Pharmaceuticals Industries Ltd. | 4,720,328 | $ | 48,039,010 | |||||
Sun TV Network Ltd. | 554,566 | 5,928,116 | ||||||
Sundaram Finance Ltd. | 228,809 | 4,938,245 | ||||||
Suzlon Energy Ltd.a | 13,626,061 | 3,696,588 | ||||||
Tata Communications Ltd. | 439,439 | 4,855,194 | ||||||
Tata Consultancy Services Ltd. | 2,262,412 | 83,629,768 | ||||||
Tata Elxsi Ltd. | 75,232 | 1,695,683 | ||||||
Tata Global Beverages Ltd. | 1,979,349 | 4,095,537 | ||||||
Tata Motors Ltd. | 7,599,905 | 52,028,202 | ||||||
Tata Motors Ltd. Class A | 1,804,716 | 7,465,692 | ||||||
Tata Power Co. Ltd. | 5,813,916 | 7,197,819 | ||||||
Tata Steel Ltd. | 1,457,944 | 10,548,003 | ||||||
Tech Mahindra Ltd. | 2,144,973 | 16,055,449 | ||||||
Thermax Ltd. | 230,223 | 2,966,005 | ||||||
Titan Co. Ltd. | 1,676,812 | 10,987,949 | ||||||
Torrent Power Ltd. | 740,005 | 2,277,066 | ||||||
TTK Prestige Ltd. | 33,259 | 2,730,609 | ||||||
Tube Investments of India Ltd. | 522,295 | 4,875,471 | ||||||
TV18 Broadcast Ltd.a | 3,412,894 | 2,148,445 | ||||||
TVS Motor Co. Ltd. | 744,389 | 4,783,057 | ||||||
Ultratech Cement Ltd. | 445,193 | 25,186,372 | ||||||
Union Bank of India | 944,114 | 2,078,731 | ||||||
United Spirits Ltd.a | 332,141 | 11,674,437 | ||||||
UPL Ltd. | 1,785,512 | 19,222,981 | ||||||
VA Tech Wabag Ltd. | 314,072 | 2,704,873 | ||||||
Vakrangee Ltd. | 674,114 | 3,204,931 | ||||||
Vedanta Ltd. | 5,127,459 | 19,912,313 | ||||||
Vijaya Banka | 2,859,472 | 3,015,102 | ||||||
Voltas Ltd. | 704,519 | 3,943,986 | ||||||
Welspun India Ltd. | 1,545,891 | 2,065,629 | ||||||
Wipro Ltd. | 2,990,482 | 21,909,098 | ||||||
Wockhardt Ltd. | 212,188 | 2,392,566 | ||||||
Yes Bank Ltd. | 1,535,448 | 33,432,061 | ||||||
Zee Entertainment Enterprises Ltd. | 3,020,836 | 23,066,453 | ||||||
|
| |||||||
2,144,589,089 | ||||||||
INDONESIA — 2.45% |
| |||||||
Ace Hardware Indonesia Tbk PT | 48,339,100 | 2,791,025 | ||||||
Adaro Energy Tbk PT | 76,065,200 | 9,667,855 | ||||||
Adhi Karya Persero Tbk PT | 11,389,100 | 1,819,045 | ||||||
AKR Corporindo Tbk PT | 9,842,400 | 4,686,506 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Alam Sutera Realty Tbk PTa | 62,700,600 | $ | 1,748,997 | |||||
Aneka Tambang Persero Tbk PTa | 45,150,643 | 2,522,288 | ||||||
Arwana Citramulia Tbk PT | 33,809,900 | 1,095,222 | ||||||
Astra International Tbk PT | 96,448,600 | 59,304,028 | ||||||
Bank Bukopin Tbk | 35,285,100 | 1,600,741 | ||||||
Bank Central Asia Tbk PT | 60,258,800 | 69,810,922 | ||||||
Bank Danamon Indonesia Tbk PT | 17,675,300 | 6,560,643 | ||||||
Bank Mandiri Persero Tbk PT | 45,312,000 | 38,394,241 | ||||||
Bank Negara Indonesia Persero Tbk PT | 37,238,100 | 17,451,869 | ||||||
Bank Pembangunan Daerah Jawa Barat Dan Banten Tbk PT | 16,693,400 | 2,879,036 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 53,512,500 | 47,950,988 | ||||||
Bank Tabungan Negara Persero Tbk PT | 26,932,476 | 4,321,798 | ||||||
Bumi Serpong Damai Tbk PT | 39,948,000 | 5,481,767 | ||||||
Charoen Pokphand Indonesia Tbk PT | 35,996,800 | 8,367,582 | ||||||
Ciputra Development Tbk PT | 65,572,927 | 6,736,271 | ||||||
Eagle High Plantations Tbk PTa | 56,889,800 | 1,578,376 | ||||||
Gudang Garam Tbk PT | 2,312,600 | 11,419,069 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 44,670,000 | 12,962,875 | ||||||
Hanson International Tbk PTa | 358,039,300 | 3,329,100 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 7,161,500 | 8,135,627 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 12,261,000 | 7,653,931 | ||||||
Indofood Sukses Makmur Tbk PT | 21,128,600 | 12,872,666 | ||||||
Jasa Marga Persero Tbk PT | 12,443,480 | 4,460,096 | ||||||
Kalbe Farma Tbk PT | 106,047,000 | 12,166,460 | ||||||
Kawasan Industri Jababeka Tbk PTa | 124,163,513 | 2,867,604 | ||||||
Krakatau Steel Persero Tbk PTa | 22,841,414 | 1,173,243 | ||||||
Link Net Tbk PT | 6,871,300 | 2,504,088 | ||||||
Lippo Cikarang Tbk PTa | 5,230,600 | 1,847,340 |
Security | Shares | Value | ||||||
Lippo Karawaci Tbk PT | 88,112,000 | $ | 4,856,203 | |||||
Matahari Department Store Tbk PT | 11,829,500 | 12,108,029 | ||||||
Media Nusantara Citra Tbk PT | 26,535,900 | 3,303,059 | ||||||
Mitra Adiperkasa Tbk PTa | 5,319,100 | 2,143,833 | ||||||
Modernland Realty Tbk PTa | 62,274,900 | 1,484,959 | ||||||
Multipolar Tbk PTa | 42,549,654 | 1,129,467 | ||||||
Pakuwon Jati Tbk PT | 126,383,200 | 5,591,338 | ||||||
Panin Financial Tbk PTa | 113,565,200 | 1,771,263 | ||||||
Pembangunan Perumahan Persero Tbk PT | 17,886,550 | 4,667,456 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 52,241,700 | 11,086,084 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 17,965,100 | 1,986,992 | ||||||
Ramayana Lestari Sentosa Tbk PT | 22,059,400 | 2,166,903 | ||||||
Salim Ivomas Pratama Tbk PT | 23,700,900 | 897,492 | ||||||
Semen Indonesia Persero Tbk PT | 13,966,100 | 10,079,763 | ||||||
Siloam International Hospitals Tbk PTa | 1,850,337 | 1,831,467 | ||||||
Sugih Energy Tbk PTa | 82,105,800 | 523,320 | ||||||
Summarecon Agung Tbk PT | 48,653,600 | 4,998,158 | ||||||
Surya Citra Media Tbk PT | 30,029,200 | 6,642,632 | ||||||
Tambang Batubara Bukit Asam Persero Tbk PT | 4,257,900 | 3,567,939 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 241,181,500 | 69,627,233 | ||||||
Timah Persero Tbk PT | 24,372,152 | 1,809,270 | ||||||
Tower Bersama Infrastructure Tbk PT | 12,311,800 | 4,616,002 | ||||||
Unilever Indonesia Tbk PT | 7,548,000 | 23,870,493 | ||||||
United Tractors Tbk PT | 8,531,300 | 15,769,087 | ||||||
Waskita Karya Persero Tbk PT | 30,092,100 | 5,596,011 | ||||||
Wijaya Karya Persero Tbk PT | 17,916,523 | 3,358,676 | ||||||
|
| |||||||
581,644,428 | ||||||||
MALAYSIA — 2.51% | ||||||||
AEON Credit Service M Bhd | 850,800 | 3,008,459 | ||||||
AirAsia Bhd | 8,403,200 | 5,110,054 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Alliance Financial Group Bhd | 6,219,800 | $ | 5,337,261 | |||||
AMMB Holdings Bhd | 9,246,500 | 9,642,184 | ||||||
Astro Malaysia Holdings Bhd | 8,802,300 | 5,650,125 | ||||||
Axiata Group Bhd | 13,012,000 | 12,982,694 | ||||||
Berjaya Corp. Bhda | 24,406,606 | 2,061,369 | ||||||
Berjaya Sports Toto Bhd | 3,206,773 | 2,108,959 | ||||||
British American Tobacco Malaysia Bhd | 715,000 | 7,810,248 | ||||||
Bursa Malaysia Bhdb | 2,885,100 | 5,705,220 | ||||||
Cahya Mata Sarawak Bhdb | 3,863,000 | 3,706,392 | ||||||
Capitaland Malaysia Mall Trustb | 8,865,400 | 3,094,903 | ||||||
Carlsberg Brewery Malaysia Bhd | 980,400 | 3,135,514 | ||||||
CIMB Group Holdings Bhd | 14,722,200 | 16,479,580 | ||||||
Dialog Group Bhd | 20,217,196 | 7,649,750 | ||||||
DiGi.Com Bhdb | 16,703,900 | 18,961,184 | ||||||
DRB-Hicom Bhd | 4,332,500 | 1,385,619 | ||||||
Eastern & Oriental Bhdb | 5,903,629 | 2,486,438 | ||||||
Felda Global Ventures Holdings Bhd | 6,720,400 | 2,845,575 | ||||||
Gamuda Bhd | 8,092,300 | 8,948,917 | ||||||
Genting Bhd | 10,527,100 | 21,931,458 | ||||||
Genting Malaysia Bhd | 14,286,900 | 16,893,294 | ||||||
Genting Plantations Bhdb | 1,591,200 | 4,114,184 | ||||||
HAP Seng Consolidated Bhdb | 3,408,700 | 6,940,236 | ||||||
Hartalega Holdings Bhdb | 3,651,500 | 3,996,912 | ||||||
Hong Leong Bank Bhd | 3,772,900 | 11,539,636 | ||||||
Hong Leong Financial Group Bhd | 1,409,200 | 4,779,854 | ||||||
IHH Healthcare Bhd | 15,672,400 | 21,214,217 | ||||||
IJM Corp. Bhd | 13,383,000 | 10,097,534 | ||||||
Inari Amertron Bhd | 8,567,000 | 3,685,354 | ||||||
IOI Corp. Bhd | 10,883,900 | 11,472,219 | ||||||
IOI Properties Group Bhd | 9,072,673 | 4,311,563 | ||||||
Kossan Rubber Industriesb | 1,832,100 | 2,595,475 | ||||||
KPJ Healthcare Bhd | 3,451,650 | 3,187,334 | ||||||
Kuala Lumpur Kepong Bhd | 1,988,900 | 10,813,524 | ||||||
Lafarge Malaysia Bhd | 2,023,400 | 3,007,757 | ||||||
Magnum Bhd | 4,096,900 | 2,011,541 | ||||||
Mah Sing Group Bhd | 7,778,223 | 2,592,741 | ||||||
Malayan Banking Bhd | 17,088,800 | 33,099,928 | ||||||
Malaysia Airports Holdings Bhd | 3,836,500 | 5,599,216 |
Security | Shares | Value | ||||||
Malaysia Building Society Bhd | 8,669,500 | $ | 2,206,427 | |||||
Malaysian Resources Corp. Bhd | 5,727,100 | 1,831,640 | ||||||
Maxis Bhdb | 9,230,200 | 13,117,694 | ||||||
MISC Bhd | 5,080,600 | 8,490,552 | ||||||
My EG Services Bhdb | 12,172,100 | 4,468,586 | ||||||
OSK Holdings Bhdb | 3,857,500 | 1,251,081 | ||||||
Pavilion REIT | 7,685,500 | 2,994,575 | ||||||
Petronas Chemicals Group Bhd | 11,707,800 | 19,117,466 | ||||||
Petronas Dagangan Bhd | 1,182,700 | 6,526,160 | ||||||
Petronas Gas Bhd | 3,327,600 | 15,004,178 | ||||||
POS Malaysia Bhd | 2,304,700 | 2,283,937 | ||||||
PPB Group Bhd | 2,363,600 | 8,804,942 | ||||||
Public Bank Bhd | 12,981,460 | 58,358,095 | ||||||
QL Resources Bhd | 4,063,250 | 4,072,402 | ||||||
RHB Bank Bhd | 4,375,966 | 4,770,197 | ||||||
RHB Bank Bhd New | 1,769,000 | 4 | ||||||
Sapurakencana Petroleum Bhda | 21,853,100 | 9,351,552 | ||||||
Sime Darby Bhd | 11,342,100 | 22,888,562 | ||||||
Sunway Bhd | 3,989,000 | 2,901,908 | ||||||
Sunway Construction Group Bhd | 5,462,070 | 2,152,843 | ||||||
Sunway REIT | 9,976,500 | 3,819,831 | ||||||
Supermax Corp. Bhdb | 3,167,000 | 1,433,709 | ||||||
Ta Ann Holdings Bhd | 2,604,960 | 2,276,407 | ||||||
Telekom Malaysia Bhd | 5,428,400 | 7,531,294 | ||||||
Tenaga Nasional Bhd | 15,824,200 | 48,256,682 | ||||||
TIME dotCom Bhd | 2,168,900 | 4,249,872 | ||||||
Top Glove Corp. Bhdb | 3,940,500 | 4,464,125 | ||||||
UEM Sunrise Bhdb | 7,294,100 | 1,872,809 | ||||||
UOA Development Bhd | 4,692,400 | 2,642,117 | ||||||
WCT Holdings Bhdb | 6,265,268 | 2,666,972 | ||||||
Westports Holdings Bhdb | 5,736,400 | 5,180,848 | ||||||
YTL Corp. Bhd | 18,122,500 | 6,326,548 | ||||||
YTL Power International Bhd | 9,554,835 | 3,206,465 | ||||||
|
| |||||||
596,514,902 | ||||||||
MEXICO — 3.33% | ||||||||
Alfa SAB de CV | 13,766,000 | 17,688,839 | ||||||
Alsea SAB de CV | 2,785,000 | 7,891,373 | ||||||
America Movil SAB de CV | 157,818,600 | 100,645,842 | ||||||
Arca Continental SAB de CV | 2,186,400 | 12,304,053 | ||||||
Axtel SAB de CV CPOa,b | 7,474,700 | 1,375,844 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Banregio Grupo Financiero SAB de CV | 1,414,900 | $ | 7,360,856 | |||||
Bolsa Mexicana de Valores SAB de CV | 2,347,300 | 3,402,471 | ||||||
Cemex SAB de CV CPOa | 66,636,560 | 56,694,946 | ||||||
Coca-Cola Femsa SAB de CV Series L | 2,275,400 | 15,017,395 | ||||||
Concentradora Fibra Hotelera Mexicana SA de CV | 3,032,200 | 2,259,808 | ||||||
Consorcio ARA SAB de CV | 6,316,400 | 1,911,404 | ||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa | 3,372,600 | 4,117,751 | ||||||
Corp Inmobiliaria Vesta SAB de CV | 3,179,000 | 3,911,588 | ||||||
El Puerto de Liverpool SAB de CV Series C1 | 887,470 | 6,228,304 | ||||||
Fibra Uno Administracion SA de CV | 12,195,000 | 17,725,761 | ||||||
Fomento Economico Mexicano SAB de CV | 8,687,600 | 70,316,861 | ||||||
Genomma Lab Internacional SAB de CV Series Ba,b | 4,306,200 | 4,973,311 | ||||||
Gentera SAB de CV | 5,384,800 | 7,129,367 | ||||||
Gruma SAB de CV Series B | 1,071,785 | 14,202,012 | ||||||
Grupo Aeromexico SAB de CVa,b | 2,648,800 | 5,920,890 | ||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 1,083,500 | 5,233,577 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 1,728,400 | 15,026,972 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 1,024,890 | 16,283,718 | ||||||
Grupo Bimbo SAB de CV | 7,968,100 | 18,899,216 | ||||||
Grupo Carso SAB de CV Series A1 | 2,982,600 | 12,717,943 | ||||||
Grupo Comercial Chedraui SA de CVb | 1,952,900 | 3,652,270 | ||||||
Grupo Financiero Banorte SAB de CV | 12,039,000 | 60,126,503 | ||||||
Grupo Financiero Inbursa SAB de CV Series O | 11,628,800 | 16,681,746 |
Security | Shares | Value | ||||||
Grupo Financiero Santander Mexico SAB de CV Series B | 8,590,600 | $ | 12,955,026 | |||||
Grupo Herdez SAB de CVb | 1,577,200 | 2,949,645 | ||||||
Grupo Lala SAB de CVb | 3,378,500 | 5,581,616 | ||||||
Grupo Mexico SAB de CV Series B | 18,460,000 | 56,268,017 | ||||||
Grupo Televisa SAB | 11,747,100 | 60,119,957 | ||||||
Industrias Bachoco SAB de CV Series B | 1,041,600 | 4,172,079 | ||||||
Industrias CH SAB de CV Series Ba | 864,300 | 5,544,334 | ||||||
Industrias Penoles SAB de CV | 669,790 | 15,991,005 | ||||||
Infraestructura Energetica Nova SAB de CV | 2,658,800 | 11,427,677 | ||||||
Kimberly-Clark de Mexico SAB de CV Series A | 7,383,700 | 13,989,799 | ||||||
La Comer SAB de CVa,b | 2,299,400 | 1,546,907 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 3,908,100 | 4,042,441 | ||||||
Mexichem SAB de CV | 5,282,683 | 12,516,572 | ||||||
PLA Administradora Industrial S. de RL de CV | 2,982,000 | 4,434,350 | ||||||
Promotora y Operadora de Infraestructura SAB de CVb | 1,347,070 | 12,667,050 | ||||||
Qualitas Controladora SAB de CV | 1,760,800 | 2,773,385 | ||||||
Telesites SAB de CVa,b | 8,282,795 | 4,764,334 | ||||||
Wal-Mart de Mexico SAB de CV | 24,831,000 | 48,375,909 | ||||||
|
| |||||||
789,820,724 | ||||||||
PERU — 0.34% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 939,998 | 11,561,975 | ||||||
Credicorp Ltd. | 326,766 | 53,792,219 | ||||||
Southern Copper Corp. | 423,380 | 15,521,111 | ||||||
|
| |||||||
80,875,305 | ||||||||
PHILIPPINES — 1.16% |
| |||||||
Aboitiz Equity Ventures Inc. | 9,585,070 | 14,020,181 | ||||||
Aboitiz Power Corp. | 6,743,800 | 5,774,836 | ||||||
Alliance Global Group Inc. | 9,233,000 | 2,335,141 | ||||||
Ayala Corp. | 1,289,580 | 20,236,763 |
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Ayala Land Inc. | 34,426,900 | $ | 24,201,326 | |||||
Bank of the Philippine Islands | 3,996,605 | 7,481,447 | ||||||
BDO Unibank Inc. | 9,683,166 | 22,272,342 | ||||||
Cebu Air Inc. | 1,443,260 | 2,644,228 | ||||||
Cosco Capital Inc. | 13,520,900 | 2,401,801 | ||||||
D&L Industries Inc. | 14,554,200 | 3,791,077 | ||||||
DMCI Holdings Inc. | 20,320,600 | 5,131,240 | ||||||
DoubleDragon Properties Corp.a | 3,419,940 | 3,677,721 | ||||||
Energy Development Corp. | 40,136,700 | 4,715,852 | ||||||
Filinvest Land Inc. | 60,448,000 | 1,986,243 | ||||||
First Gen Corp. | 5,980,300 | 2,512,881 | ||||||
First Philippine Holdings Corp. | 1,022,340 | 1,488,262 | ||||||
Globe Telecom Inc. | 155,585 | 5,663,833 | ||||||
GT Capital Holdings Inc. | 397,000 | 9,558,359 | ||||||
International Container Terminal Services Inc. | 2,455,000 | 3,715,623 | ||||||
JG Summit Holdings Inc. | 13,879,723 | 21,476,740 | ||||||
Jollibee Foods Corp. | 2,092,020 | 8,407,242 | ||||||
Lopez Holdings Corp. | 9,883,300 | 1,554,875 | ||||||
Manila Water Co. Inc. | 6,143,300 | 3,737,485 | ||||||
Megaworld Corp. | 52,001,600 | 3,769,508 | ||||||
Melco Crown Philippines Resorts Corp.a | 10,353,600 | 1,043,298 | ||||||
Metro Pacific Investments Corp. | 71,213,700 | 9,643,596 | ||||||
Metropolitan Bank & Trust Co. | 3,501,842 | 5,648,695 | ||||||
Nickel Asia Corp. | 7,703,224 | 1,043,153 | ||||||
PLDT Inc. | 454,680 | 13,219,811 | ||||||
Rizal Commercial Banking Corp. | 1,416,590 | 1,105,851 | ||||||
Robinsons Land Corp. | 8,131,600 | 3,837,875 | ||||||
Security Bank Corp. | 863,040 | 3,435,661 | ||||||
SM Investments Corp. | 1,214,472 | 16,034,948 | ||||||
SM Prime Holdings Inc. | 39,777,196 | 23,288,849 | ||||||
Universal Robina Corp. | 4,134,210 | 13,172,829 | ||||||
Vista Land & Lifescapes Inc. | 23,563,400 | 2,182,013 | ||||||
|
| |||||||
276,211,585 | ||||||||
POLAND — 1.22% | ||||||||
Alior Bank SAa,b | 422,802 | 6,812,148 | ||||||
Asseco Poland SA | 400,562 | 5,524,517 |
Security | Shares | Value | ||||||
Bank Handlowy w Warszawie SA | 177,491 | $ | 3,446,788 | |||||
Bank Millennium SAa | 3,120,360 | 5,241,138 | ||||||
Bank Pekao SA | 718,061 | 24,749,747 | ||||||
Bank Zachodni WBK SA | 168,905 | 14,603,199 | ||||||
Budimex SA | 68,352 | 4,111,709 | ||||||
CCC SA | 138,501 | 7,691,942 | ||||||
CD Projekt SAa | 232,476 | 4,033,626 | ||||||
Ciech SA | 159,833 | 2,948,389 | ||||||
Cyfrowy Polsat SAa | 1,057,707 | 6,033,099 | ||||||
Enea SAa,b | 1,212,425 | 3,186,074 | ||||||
Eurocash SA | 376,195 | 3,076,009 | ||||||
Getin Noble Bank SAa,b | 2,237,125 | 1,112,956 | ||||||
Globe Trade Centre SAa,b | 1,323,820 | 2,673,495 | ||||||
Grupa Azoty SA | 217,045 | 3,706,553 | ||||||
Grupa Lotos SAa | 543,880 | 6,513,942 | ||||||
Jastrzebska Spolka Weglowa SAa | 265,260 | 4,553,455 | ||||||
KGHM Polska Miedz SA | 651,064 | 20,684,733 | ||||||
KRUK SAb | 90,474 | 5,459,167 | ||||||
LPP SAb | 6,218 | 8,669,687 | ||||||
Lubelski Wegiel Bogdanka SAa | 87,953 | 1,729,665 | ||||||
mBank SAa | 73,432 | 7,165,333 | ||||||
Netia SAb | 1,813,159 | 2,009,486 | ||||||
Orange Polska SA | 3,064,232 | 3,569,598 | ||||||
PGE Polska Grupa Energetyczna SA | 3,915,335 | 11,446,064 | ||||||
Polski Koncern Naftowy ORLEN SA | 1,556,018 | 36,099,572 | ||||||
Polskie Gornictwo Naftowe i Gazownictwo SA | 9,058,831 | 13,944,043 | ||||||
Powszechna Kasa Oszczednosci Bank Polski SAa | 4,077,031 | 33,416,723 | ||||||
Powszechny Zaklad Ubezpieczen SA | 2,674,316 | 23,757,208 | ||||||
Synthos SA | 2,675,502 | 3,874,531 | ||||||
Tauron Polska Energia SAa | 5,024,008 | 3,712,001 | ||||||
Warsaw Stock Exchange | 262,118 | 3,070,261 | ||||||
|
| |||||||
288,626,858 | ||||||||
QATAR — 0.83% | ||||||||
Al Meera Consumer Goods Co. QSC | 37,628 | 1,880,754 | ||||||
Barwa Real Estate Co. | 520,210 | 5,693,201 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Commercial Bank QSC (The) | 917,230 | $ | 7,808,893 | |||||
Doha Bank QSC | 270,373 | 2,884,721 | ||||||
Ezdan Holding Group QSC | 3,811,121 | 15,930,041 | ||||||
Gulf International Services QSC | 194,474 | 1,570,212 | ||||||
Industries Qatar QSC | 749,892 | 24,610,256 | ||||||
Masraf Al Rayan QSC | 1,821,434 | 20,058,909 | ||||||
Mazaya Qatar Real Estate Development QSCa | 479,072 | 1,863,003 | ||||||
Medicare Group | 82,794 | 1,819,024 | ||||||
Ooredoo QSC | 388,721 | 11,316,011 | ||||||
Qatar Electricity & Water Co. QSC | 137,684 | 8,507,765 | ||||||
Qatar Gas Transport Co. Ltd. | 992,991 | 6,422,228 | ||||||
Qatar Industrial Manufacturing Co. QSC | 145,849 | 1,962,678 | ||||||
Qatar Insurance Co. SAQ | 697,341 | 13,903,730 | ||||||
Qatar Islamic Bank SAQ | 319,609 | 8,953,002 | ||||||
Qatar National Bank SAQ | 1,100,544 | 45,638,763 | ||||||
Qatar National Cement Co. QSC | 95,598 | 2,475,768 | ||||||
Qatari Investors Group QSC | 17,866 | 294,394 | ||||||
Salam International Investment Ltd. QSC | 805,791 | 2,405,478 | ||||||
United Development Co. QSC | 803,771 | 4,812,141 | ||||||
Vodafone Qatar QSCa | 1,980,744 | 5,053,515 | ||||||
|
| |||||||
195,864,487 | ||||||||
RUSSIA — 3.29% |
| |||||||
Aeroflot PJSCa | 3,495,500 | 9,950,612 | ||||||
Alrosa PJSC | 12,938,600 | 20,480,789 | ||||||
Gazprom PJSC | 38,614,470 | 87,244,963 | ||||||
Gazprom PJSC ADR | 6,251,866 | 27,886,448 | ||||||
Inter RAO UES PJSC | 177,142,000 | 12,033,030 | ||||||
LSR Group PJSC GDRd | 1,516,901 | 5,445,675 | ||||||
Lukoil PJSC | 1,469,292 | 77,630,564 | ||||||
Lukoil PJSC ADR | 565,787 | 29,986,711 | ||||||
M Video OJSC | 864,620 | 5,511,492 | ||||||
Magnit PJSC GDRd | 1,501,186 | 54,733,242 | ||||||
Mechel PJSCa | 560,397 | 2,729,133 | ||||||
MMC Norilsk Nickel PJSC | 285,233 | 45,277,055 | ||||||
Mobile TeleSystems PJSC ADR | 2,571,907 | 26,413,485 | ||||||
Moscow Exchange MICEX-RTS PJSC | 7,979,870 | 16,949,436 |
Security | Shares | Value | ||||||
Novatek PJSC GDRd | 456,903 | $ | 59,168,939 | |||||
PhosAgro PJSC GDRd | 679,224 | 9,373,291 | ||||||
Rosneft Oil Co. PJSC | 1,206,660 | 6,874,108 | ||||||
Rosneft Oil Co. PJSC GDRd | 3,425,472 | 19,422,426 | ||||||
Rostelecom PJSC | 7,246,590 | 9,747,066 | ||||||
RusHydro PJSC | 685,525,000 | 11,284,203 | ||||||
Sberbank of Russia PJSC | 12,641,030 | 33,828,390 | ||||||
Sberbank of Russia PJSC ADR | 9,011,104 | 98,311,145 | ||||||
Severstal PJSC | 1,198,680 | 17,138,286 | ||||||
Sistema PJSC FC GDRd | 1,086,255 | 9,678,532 | ||||||
Surgutneftegas OJSC | 30,929,550 | 15,407,546 | ||||||
Surgutneftegas OJSC ADR | 766,623 | 3,863,780 | ||||||
Tatneft PJSC Class S | 7,227,820 | 42,152,620 | ||||||
VTB Bank PJSC | 5,421,870,000 | 6,171,902 | ||||||
VTB Bank PJSC GDRd | 7,089,073 | 15,872,434 | ||||||
|
| |||||||
780,567,303 | ||||||||
SOUTH AFRICA — 6.66% |
| |||||||
Adcock Ingram Holdings Ltd.b | 586,716 | 2,639,325 | ||||||
Advtech Ltd. | 3,300,261 | 4,788,911 | ||||||
Aeci Ltd. | 686,717 | 5,746,792 | ||||||
African Rainbow Minerals Ltd. | 568,644 | 4,412,643 | ||||||
Anglo American Platinum Ltd.a | 248,240 | 5,760,003 | ||||||
AngloGold Ashanti Ltd.a | 1,992,750 | 22,183,817 | ||||||
Aspen Pharmacare Holdings Ltd. | 1,774,038 | 38,433,421 | ||||||
Astral Foods Ltd. | 266,300 | 3,022,138 | ||||||
Attacq Ltd.a | 2,989,267 | 4,131,953 | ||||||
AVI Ltd. | 1,567,592 | 11,415,377 | ||||||
Barclays Africa Group Ltd. | 2,020,137 | 23,467,876 | ||||||
Barloworld Ltd. | 1,053,579 | 9,332,390 | ||||||
Bid Corp. Ltd. | 1,589,095 | 31,948,342 | ||||||
Bidvest Group Ltd. (The) | 1,530,976 | 18,144,641 | ||||||
Blue Label Telecoms Ltd. | 3,141,027 | 4,461,795 | ||||||
Brait SEa | 1,648,189 | 9,276,733 | ||||||
Capitec Bank Holdings Ltd. | 212,205 | 11,762,127 | ||||||
Cashbuild Ltd. | 133,586 | 3,778,911 | ||||||
City Lodge Hotels Ltd. | 297,426 | 3,524,544 | ||||||
Clicks Group Ltd. | 1,284,156 | 12,615,753 | ||||||
Clover Industries Ltd. | 2,068,337 | 3,025,022 | ||||||
Coronation Fund Managers Ltd. | 1,155,869 | 5,949,014 |
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
DataTec Ltd. | 1,007,726 | $ | 4,205,022 | |||||
Discovery Ltd. | 1,706,335 | 16,045,811 | ||||||
Emira Property Fund Ltd. | 3,056,754 | 3,435,343 | ||||||
EOH Holdings Ltd.b | 668,451 | 7,195,558 | ||||||
Exxaro Resources Ltd. | 839,750 | 6,928,579 | ||||||
Famous Brands Ltd. | 432,487 | 5,108,505 | ||||||
FirstRand Ltd. | 15,975,269 | 60,725,564 | ||||||
Fortress Income Fund Ltd. | 3,511,556 | 9,358,780 | ||||||
Fortress Income Fund Ltd. Class A | 4,430,731 | 5,894,092 | ||||||
Foschini Group Ltd. (The) | 928,860 | 11,530,504 | ||||||
Gold Fields Ltd. | 4,002,715 | 12,317,223 | ||||||
Grindrod Ltd. | 2,499,459 | 2,604,559 | ||||||
Growthpoint Properties Ltd. | 9,513,235 | 19,259,210 | ||||||
Harmony Gold Mining Co. Ltd.b | 1,982,600 | 4,835,240 | ||||||
Hosken Consolidated Investments Ltd. | 411,446 | 4,525,591 | ||||||
Hudaco Industries Ltd. | 334,103 | 3,588,797 | ||||||
Hyprop Investments Ltd. | 1,129,403 | 10,832,080 | ||||||
Impala Platinum Holdings Ltd.a | 2,879,372 | 9,694,766 | ||||||
Imperial Holdings Ltd. | 698,993 | 8,929,796 | ||||||
Investec Ltd. | 1,111,024 | 7,831,530 | ||||||
JSE Ltd. | 481,187 | 5,989,086 | ||||||
KAP Industrial Holdings Ltd. | 2,724,639 | 1,951,825 | ||||||
Lewis Group Ltd.b | 626,885 | 2,014,851 | ||||||
Liberty Holdings Ltd. | 613,693 | 5,215,921 | ||||||
Life Healthcare Group Holdings Ltd. | 4,294,691 | 11,002,683 | ||||||
Massmart Holdings Ltd. | 556,102 | 6,370,089 | ||||||
Metair Investments Ltd.b | 1,484,545 | 2,692,157 | ||||||
MMI Holdings Ltd./South Africa | 4,617,422 | 8,684,142 | ||||||
Mondi Ltd. | 561,006 | 12,889,842 | ||||||
Mpact Ltd. | 1,287,820 | 2,983,253 | ||||||
Mr. Price Group Ltd. | 1,142,588 | 14,850,150 | ||||||
MTN Group Ltd. | 7,947,979 | 72,789,633 | ||||||
Murray & Roberts Holdings Ltd.b | 2,742,779 | 3,206,200 | ||||||
Nampak Ltd.a | 1,827,051 | 2,325,719 | ||||||
Naspers Ltd. Class N | 2,094,302 | 335,868,079 | ||||||
Nedbank Group Ltd. | 953,326 | 17,856,641 | ||||||
Netcare Ltd. | 4,251,561 | 10,336,364 | ||||||
New Europe Property Investments PLC | 1,164,928 | 13,154,424 |
Security | Shares | Value | ||||||
Northam Platinum Ltd.a | 1,548,594 | $ | 6,419,325 | |||||
Omnia Holdings Ltd. | 358,987 | 4,750,265 | ||||||
Pick n Pay Stores Ltd. | 1,781,210 | 9,457,571 | ||||||
Pioneer Foods Group Ltd. | 639,421 | 8,004,495 | ||||||
PPC Ltd.a | 7,981,328 | 4,027,276 | ||||||
PSG Group Ltd. | 473,785 | 9,107,321 | ||||||
Rand Merchant Investment Holdings Ltd. | 3,326,645 | 10,224,092 | ||||||
Redefine Properties Ltd. | 22,529,170 | 18,722,636 | ||||||
Remgro Ltd. | 2,484,527 | 42,415,511 | ||||||
Resilient REIT Ltd. | 1,415,461 | 12,985,881 | ||||||
Reunert Ltd. | 893,882 | 4,795,390 | ||||||
RMB Holdings Ltd. | 3,332,966 | 16,157,750 | ||||||
Royal Bafokeng Platinum Ltd.a | 351,301 | 939,757 | ||||||
SA Corporate Real Estate Ltd. | 11,292,702 | 4,843,429 | ||||||
Sanlam Ltd. | 6,697,938 | 34,703,307 | ||||||
Sappi Ltd. | 2,623,428 | 16,408,459 | ||||||
Sasol Ltd. | 2,639,054 | 75,257,427 | ||||||
Shoprite Holdings Ltd. | 2,045,134 | 29,590,337 | ||||||
Sibanye Gold Ltd. | 3,631,711 | 7,305,070 | ||||||
SPAR Group Ltd. (The) | 898,758 | 12,265,161 | ||||||
Standard Bank Group Ltd. | 6,139,415 | 67,219,084 | ||||||
Steinhoff International Holdings NV Class H | 14,108,332 | 75,319,941 | ||||||
Sun International Ltd./South Africa | 617,622 | 4,079,705 | ||||||
Super Group Ltd./South Africaa | 1,838,431 | 4,891,238 | ||||||
Telkom SA SOC Ltd. | 1,298,550 | 6,767,749 | ||||||
Tiger Brands Ltd. | 777,372 | 24,842,622 | ||||||
Tongaat Hulett Ltd. | 552,855 | 5,351,028 | ||||||
Trencor Ltd. | 1,027,771 | 3,005,523 | ||||||
Truworths International Ltd. | 2,058,052 | 13,717,200 | ||||||
Tsogo Sun Holdings Ltd. | 2,057,552 | 4,352,635 | ||||||
Vodacom Group Ltd. | 1,809,746 | 20,509,071 | ||||||
Vukile Property Fund Ltd. | 3,404,464 | 4,885,458 | ||||||
Wilson Bayly Holmes-Ovcon Ltd. | 318,378 | 3,547,675 | ||||||
Woolworths Holdings Ltd./South Africa | 4,715,578 | 25,236,274 | ||||||
Zeder Investments Ltd. | 7,538,155 | 4,287,758 | ||||||
|
| |||||||
1,581,242,558 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
SOUTH KOREA — 14.21% |
| |||||||
Able C&C Co. Ltd. | 124,855 | $ | 2,440,235 | |||||
Advanced Process Systems Corp.a,b | 108,564 | 2,673,896 | ||||||
AeroSpace Technology of Korea Inc.a,b | 104,993 | 1,485,641 | ||||||
Agabang & Co.a,b | 197,399 | 1,253,438 | ||||||
Ahnlab Inc.b | 34,439 | 1,976,645 | ||||||
AK Holdings Inc.b | 30,460 | 1,519,296 | ||||||
ALUKO Co. Ltd.b | 275,158 | 1,255,640 | ||||||
Amicogen Inc.a,b | 43,667 | 1,621,945 | ||||||
AmorePacific Corp. | 154,491 | 41,124,732 | ||||||
AmorePacific Group | 139,261 | 16,010,551 | ||||||
Asiana Airlines Inc.a | 493,549 | 2,014,352 | ||||||
ATGen Co. Ltd.a,b | 53,133 | 1,522,449 | ||||||
BGF retail Co. Ltd.b | 96,275 | 8,684,546 | ||||||
Binex Co. Ltd.a,b | 164,076 | 2,191,066 | ||||||
Binggrae Co. Ltd.a | 40,255 | 2,367,418 | ||||||
BNK Financial Group Inc. | 1,155,961 | 8,873,528 | ||||||
Boditech Med Inc.b | 96,618 | 1,768,731 | ||||||
Bukwang Pharmaceutical Co. Ltd.b | 138,558 | 2,879,605 | ||||||
Byucksan Corp.a | 353,393 | 1,398,571 | ||||||
Caregen Co. Ltd.b | 22,818 | 1,394,405 | ||||||
Cell Biotech Co. Ltd. | 44,672 | 1,467,667 | ||||||
Celltrion Inc.a,b | 375,416 | 33,698,628 | ||||||
Cellumed Co. Ltd.a,b | 966,484 | 974,390 | ||||||
Chabiotech Co. Ltd.a,b | 214,661 | 2,477,405 | ||||||
Cheil Worldwide Inc. | 328,052 | 5,497,754 | ||||||
Chong Kun Dang Pharmaceutical Corp.b | 30,984 | 3,000,440 | ||||||
CJ CGV Co. Ltd.b | 73,892 | 4,881,479 | ||||||
CJ CheilJedang Corp. | 37,065 | 11,947,992 | ||||||
CJ Corp. | 69,754 | 10,641,225 | ||||||
CJ E&M Corp. | 95,033 | 6,563,853 | ||||||
CJ Freshway Corp.b | 53,946 | 1,529,046 | ||||||
CJ Korea Express Corp.a,b | 36,391 | 5,551,579 | ||||||
CJ O Shopping Co. Ltd. | 13,198 | 2,263,181 | ||||||
Com2uSCorp.b | 48,956 | 4,740,820 | ||||||
Coreana Cosmetics Co. Ltd.b | 274,205 | 1,440,440 | ||||||
Cosmax Inc.b | 36,943 | 4,688,322 | ||||||
COSON Co. Ltd.a,b | 177,768 | 1,941,574 | ||||||
Coway Co. Ltd. | 252,402 | 19,977,872 | ||||||
Crown Confectionery Co. Ltd.b | 46,885 | 1,376,593 |
Security | Shares | Value | ||||||
CrucialTec Co. Ltd.a,b | 220,212 | $ | 1,604,729 | |||||
CrystalGenomics Inc.a,b | 110,469 | 1,543,586 | ||||||
Daeduck Electronics Co. | 301,263 | 2,219,342 | ||||||
Daeduck GDS Co. Ltd. | 210,460 | 2,354,472 | ||||||
Daekyo Co. Ltd. | 216,708 | 1,560,029 | ||||||
Daelim Industrial Co. Ltd.a | 130,413 | 9,641,854 | ||||||
Daesang Corp.a,b | 105,510 | 2,304,751 | ||||||
Daewoo Engineering & Construction Co. Ltd.a,b | 613,821 | 3,327,635 | ||||||
Daewoo Shipbuilding & Marine Engineering Co. Ltd.a,b | 397,780 | 1,339,594 | ||||||
Daewoong Pharmaceutical Co. Ltd.b | 27,941 | 2,050,942 | ||||||
Daishin Securities Co. Ltd.a | 200,576 | 2,031,037 | ||||||
Daou Technology Inc.a,b | 136,983 | 2,229,040 | ||||||
Dawonsys Co. Ltd.b | 145,392 | 1,350,092 | ||||||
DGB Financial Group Inc. | 758,390 | 6,975,243 | ||||||
DIO Corp.a,b | 64,311 | 1,646,521 | ||||||
Dong-A Socio Holdings Co. Ltd.a,b | 17,408 | 1,970,572 | ||||||
Dong-A ST Co. Ltd.a,b | 24,462 | 2,048,686 | ||||||
Dongbu HiTek Co. Ltd.a,b | 160,592 | 2,670,024 | ||||||
Dongbu Insurance Co. Ltd. | 236,371 | 12,772,291 | ||||||
DongKook Pharmaceutical Co. Ltd. | 40,895 | 2,104,876 | ||||||
Dongkuk Steel Mill Co. Ltd. | 255,712 | 2,849,411 | ||||||
Dongsuh Cos. Inc. | 174,201 | 3,928,477 | ||||||
Dongwon Industries Co. Ltd.b | 9,369 | 2,991,120 | ||||||
Doosan Engine Co. Ltd.a,b | 283,950 | 806,084 | ||||||
Doosan Heavy Industries & Construction Co. Ltd. | 227,430 | 4,937,790 | ||||||
Doosan Infracore Co. Ltd.a | 640,877 | 5,242,637 | ||||||
DoubleUGames Co. Ltd.b | 61,849 | 2,278,144 | ||||||
DuzonBIzon Co. Ltd.b | 114,899 | 2,337,101 | ||||||
E-MART Inc. | 91,746 | 16,876,558 | ||||||
E1 Corp. | 21,107 | 1,062,117 | ||||||
Emerson Pacific Inc.a,b | 41,979 | 1,167,579 | ||||||
EO Technics Co. Ltd.a,b | 44,064 | 3,246,103 | ||||||
Fila Korea Ltd.b | 54,066 | 3,581,290 | ||||||
Foosung Co. Ltd.a,b | 318,550 | 1,898,764 | ||||||
G-SMATT GLOBAL Co. Ltd.a,b | 118,887 | 1,440,417 | ||||||
G-treeBNT Co. Ltd.a,b | 121,030 | 1,750,025 | ||||||
GemVax & Kael Co. Ltd.a,b | 170,677 | 1,856,579 |
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Genexine Co. Ltd.a,b | 51,710 | $ | 1,801,790 | |||||
GNCO Co. Ltd.a,b | 379,832 | 782,674 | ||||||
Golfzon Co. Ltd.a | 9,972 | 595,277 | ||||||
Golfzonyuwon Holdings Co. Ltd.a,b | 97,875 | 575,608 | ||||||
Grand Korea Leisure Co. Ltd.b | 160,033 | 3,021,627 | ||||||
Green Cross Cell Corp. | 62,959 | 1,483,845 | ||||||
Green Cross Corp./South Korea | 27,645 | 3,703,929 | ||||||
Green Cross Holdings Corp. | 137,905 | 3,244,106 | ||||||
GS Engineering & Construction Corp.a | 226,138 | 5,959,684 | ||||||
GS Holdings Corp. | 241,454 | 11,851,158 | ||||||
GS Home Shopping Inc. | 18,600 | 3,548,105 | ||||||
GS Retail Co. Ltd. | 131,949 | 6,137,977 | ||||||
Gwangju Shinsegae Co. Ltd. | 6,924 | 1,512,472 | ||||||
Halla Holdings Corp. | 45,888 | 2,564,777 | ||||||
Hana Financial Group Inc. | 1,399,974 | 43,642,789 | ||||||
Hana Tour Service Inc.b | 45,130 | 3,352,571 | ||||||
Hanall Biopharma Co. Ltd.a,b | 137,133 | 1,564,462 | ||||||
Hancom Inc.b | 129,324 | 1,881,388 | ||||||
Handsome Co. Ltd. | 87,069 | 2,325,433 | ||||||
Hanil Cement Co. Ltd. | 20,522 | 1,667,895 | ||||||
Hanjin Heavy Industries & Construction Co. Ltd.a | 435,268 | 1,218,327 | ||||||
Hanjin Kal Corp.a,b | 213,897 | 3,196,869 | ||||||
Hanjin Transportation Co. Ltd.a,b | 53,658 | 1,281,243 | ||||||
Hankook Shell Oil Co. Ltd. | 6,215 | 2,239,763 | ||||||
Hankook Tire Co. Ltd.a | 354,659 | 18,756,231 | ||||||
Hankook Tire Worldwide Co. Ltd.a,b | 147,628 | 2,676,431 | ||||||
Hanmi Pharm Co. Ltd.a,b | 26,938 | 7,647,224 | ||||||
Hanmi Science Co. Ltd.a,b | 66,433 | 3,854,083 | ||||||
Hanon Systems | 888,242 | 7,195,487 | ||||||
Hansae Co. Ltd.b | 104,244 | 2,401,553 | ||||||
Hansol Chemical Co. Ltd. | 48,390 | 3,282,346 | ||||||
Hansol Holdings Co. Ltd.a | 290,122 | 1,683,131 | ||||||
Hansol Technics Co. Ltd.a,b | 93,267 | 1,414,574 | ||||||
Hanssem Co. Ltd. | 52,585 | 10,324,006 | ||||||
Hanwha Chemical Corp. | 490,490 | 10,996,172 | ||||||
Hanwha Corp. | 197,234 | 6,349,164 | ||||||
Hanwha General Insurance Co. Ltd. | 379,658 | 2,266,364 |
Security | Shares | Value | ||||||
Hanwha Investment & Securities Co. Ltd.a,b | 690,227 | $ | 1,407,007 | |||||
Hanwha Life Insurance Co. Ltd.a | 1,065,997 | 6,137,201 | ||||||
Hanwha Techwin Co. Ltd.a | 177,660 | 6,897,434 | ||||||
Hite Jinro Co. Ltd.a,b | 128,736 | 2,402,237 | ||||||
HLB Inc.a,b | 153,172 | 2,018,362 | ||||||
HMC Investment Securities Co. Ltd. | 208,316 | 1,838,597 | ||||||
Homecast Co. Ltd.a,b | 155,657 | 1,291,234 | ||||||
Hotel Shilla Co. Ltd.b | 159,280 | 7,198,061 | ||||||
HS Industries Co. Ltd.a | 202,886 | 1,919,859 | ||||||
Huchems Fine Chemical Corp. | 131,178 | 2,662,423 | ||||||
Hugel Inc.a | 11,549 | 3,764,724 | ||||||
Humedix Co. Ltd.b | 68,303 | 1,899,739 | ||||||
Huons Co. Ltd.a | 38,304 | 1,697,131 | ||||||
Huons Global Co. Ltd.b | 44,267 | 1,135,302 | ||||||
Hwa Shin Co. Ltd.b | 211,162 | 1,310,950 | ||||||
Hy-Lok Corp. | 97,780 | 1,746,766 | ||||||
Hyosung Corp. | 99,250 | 11,542,229 | ||||||
Hyundai Corp.a | 69,323 | 1,281,318 | ||||||
Hyundai Department Store Co. Ltd. | 72,664 | 6,387,620 | ||||||
Hyundai Development Co. Engineering & Construction | 270,080 | 10,461,644 | ||||||
Hyundai Elevator Co. Ltd.a,b | 67,611 | 3,390,266 | ||||||
Hyundai Engineering & Construction Co. Ltd. | 342,296 | 14,469,820 | ||||||
Hyundai Glovis Co. Ltd. | 90,257 | 12,252,443 | ||||||
Hyundai Greenfood Co. Ltd. | 263,684 | 3,940,977 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 198,021 | 28,807,831 | ||||||
Hyundai Home Shopping Network Corp. | 32,868 | 3,328,221 | ||||||
Hyundai Livart Furniture Co. Ltd.b | 74,977 | 1,909,651 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 298,943 | 8,565,778 | ||||||
Hyundai Mipo Dockyard Co. Ltd.a,b | 52,056 | 3,360,679 | ||||||
Hyundai Mobis Co. Ltd. | 324,042 | 73,076,020 | ||||||
Hyundai Motor Co. | 735,922 | 97,298,553 | ||||||
Hyundai Rotem Co. Ltd.a | 141,449 | 2,576,917 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Hyundai Steel Co. | 362,681 | $ | 20,046,485 | |||||
Hyundai Wia Corp. | 76,623 | 4,533,344 | ||||||
Il Dong Pharmaceutical Co. Ltd.b | 94,658 | 1,577,982 | ||||||
IlDong Holdings Co. Ltd. | 1 | 18 | ||||||
Ilyang Pharmaceutical Co. Ltd.b | 79,214 | 2,805,678 | ||||||
iMarketKorea Inc. | 134,053 | 1,404,845 | ||||||
InBody Co. Ltd.b | 82,821 | 1,735,890 | ||||||
Industrial Bank of Koreaa | 1,133,248 | 12,377,283 | ||||||
Innocean Worldwide Inc.b | 55,110 | 2,972,991 | ||||||
Interpark Holdings Corp. | 404,902 | 1,711,635 | ||||||
IS Dongseo Co. Ltd.a,b | 65,470 | 2,472,314 | ||||||
JB Financial Group Co. Ltd. | 492,899 | 2,475,937 | ||||||
Jeil Pharmaceutical Co.b | 35,317 | 2,164,464 | ||||||
Jenax Inc.a,b | 71,105 | 1,314,256 | ||||||
Jusung Engineering Co. Ltd.a | 221,085 | 2,092,071 | ||||||
JW Holdings Corp.b | 200,386 | 1,415,949 | ||||||
JW Pharmaceutical Corp.b | 64,188 | 2,642,451 | ||||||
JW Shinyak Corp.b | 244,949 | 1,590,029 | ||||||
Kakao Corp.a,b | 138,437 | 10,455,467 | ||||||
Kangwon Land Inc.a | 534,055 | 16,695,861 | ||||||
KB Capital Co. Ltd. | 65,762 | 1,558,631 | ||||||
KB Financial Group Inc. | 1,862,468 | 77,249,391 | ||||||
KB Insurance Co. Ltd.b | 223,375 | 5,205,334 | ||||||
KC Tech Co. Ltd. | 140,448 | 1,645,754 | ||||||
KCC Corp. | 23,834 | 7,303,543 | ||||||
KEPCO Engineering & Construction Co. Inc.a,b | 72,528 | 1,718,992 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 112,904 | 6,080,790 | ||||||
KH Vatec Co. Ltd. | 123,882 | 1,489,980 | ||||||
Kia Motors Corp. | 1,236,638 | 41,831,885 | ||||||
KISWIRE Ltd.a | 41,324 | 1,500,199 | ||||||
KIWOOM Securities Co. Ltd.a | 61,480 | 4,192,004 | ||||||
Koh Young Technology Inc. | 75,045 | 3,351,557 | ||||||
Kolon Corp.b | 37,166 | 1,850,494 | ||||||
Kolon Industries Inc. | 77,855 | 4,902,300 | ||||||
Kolon Life Science Inc.b | 25,828 | 2,535,404 | ||||||
Komipharm International Co. Ltd.a,b | 172,572 | 4,952,431 | ||||||
Korea Aerospace Industries Ltd. Class Aa | 325,171 | 16,765,394 | ||||||
Korea Electric Power Corp.a | 1,191,681 | 45,949,407 |
Security | Shares | Value | ||||||
Korea Gas Corp.a | 126,528 | $ | 5,477,378 | |||||
Korea Investment Holdings Co. Ltd.a | 174,762 | 7,325,862 | ||||||
Korea Kolmar Co. Ltd.a,b | 74,329 | 5,041,817 | ||||||
Korea PetroChemical Ind. Co. Ltd.b | 14,676 | 3,452,413 | ||||||
Korea REIT Co. Ltd.b | 829,594 | 2,322,056 | ||||||
Korea Zinc Co. Ltd.a | 41,538 | 15,300,090 | ||||||
Korean Air Lines Co. Ltd.a | 180,487 | 4,612,933 | ||||||
Korean Reinsurance Co. | 459,512 | 4,551,434 | ||||||
KT Corp. | 51,660 | 1,391,154 | ||||||
KT Skylife Co. Ltd. | 170,421 | 2,524,476 | ||||||
KT&G Corp. | 554,884 | 50,299,014 | ||||||
Kukdo Chemical Co. Ltd.a,b | 35,132 | 1,593,873 | ||||||
Kumho Industrial Co. Ltd.a | 120,303 | 984,128 | ||||||
Kumho Petrochemical Co. Ltd.b | 77,647 | 5,266,880 | ||||||
Kumho Tire Co. Inc.a,b | 604,537 | 4,341,225 | ||||||
Kwang Dong Pharmaceutical Co. Ltd. | 347,245 | 2,779,188 | ||||||
Kwangju Bank | 233,608 | 2,148,594 | ||||||
Leaders Cosmetics Co. Ltd.a,b | 86,833 | 1,316,990 | ||||||
LF Corp.b | 113,357 | 2,115,262 | ||||||
LG Chem Ltd. | 216,794 | 54,258,414 | ||||||
LG Corp. | 442,312 | 24,565,283 | ||||||
LG Display Co. Ltd. | 1,108,907 | 26,870,707 | ||||||
LG Electronics Inc.b | 504,744 | 26,693,514 | ||||||
LG Hausys Ltd. | 32,336 | 3,002,680 | ||||||
LG Household & Health Care Ltd. | 44,722 | 34,725,550 | ||||||
LG Innotek Co. Ltd. | 66,593 | 7,067,132 | ||||||
LG International Corp. | 140,995 | 4,064,945 | ||||||
LG Uplus Corp. | 654,586 | 7,409,861 | ||||||
Loen Entertainment Inc. | 40,300 | 2,851,205 | ||||||
Lotte Chemical Corp.a | 73,919 | 23,827,969 | ||||||
Lotte Chilsung Beverage Co. Ltd.a | 3,108 | 4,144,916 | ||||||
Lotte Confectionery Co. Ltd.a,b | 26,969 | 4,662,781 | ||||||
LOTTE Fine Chemical Co. Ltd.b | 94,441 | 2,818,823 | ||||||
Lotte Food Co. Ltd.b | 4,072 | 2,293,932 | ||||||
LOTTE Himart Co. Ltd. | 33,440 | 1,428,390 | ||||||
Lotte Shopping Co. Ltd. | 48,545 | 9,917,219 |
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
LS Corp. | 86,223 | $ | 5,169,949 | |||||
LS Industrial Systems Co. Ltd. | 67,671 | 2,591,337 | ||||||
Lutronic Corp.b | 63,945 | 1,668,253 | ||||||
Macrogen Inc.a,b | 89,283 | 2,274,022 | ||||||
Maeil Dairy Industry Co. Ltd.a | 48,749 | 1,763,285 | ||||||
Mando Corp. | 32,598 | 7,654,008 | ||||||
Medipost Co. Ltd.a,b | 41,652 | 2,129,105 | ||||||
Medy-Tox Inc. | 20,887 | 7,599,303 | ||||||
Meritz Fire & Marine Insurance Co. Ltd. | 301,794 | 4,110,217 | ||||||
Meritz Securities Co. Ltd. | 1,328,676 | 4,294,770 | ||||||
Mirae Asset Daewoo Co. Ltd.a | 1,718,553 | 13,572,123 | ||||||
Modetour Network Inc. | 76,586 | 2,370,559 | ||||||
Muhak Co. Ltd. | 85,654 | 1,772,544 | ||||||
Namhae Chemical Corp. | 243,834 | 1,958,004 | ||||||
Namyang Dairy Products Co. Ltd.a | 2,763 | 1,879,060 | ||||||
Naturalendo Tech Co. Ltd.a,b | 68,374 | 976,555 | ||||||
NAVER Corp.b | 133,541 | 91,645,205 | ||||||
NCsoft Corp. | 83,726 | 20,288,237 | ||||||
Neowiz Games Corp.a | 138,307 | 1,455,541 | ||||||
Nexen Corp. | 256,270 | 1,813,098 | ||||||
Nexen Tire Corp. | 210,348 | 2,622,955 | ||||||
NH Investment & Securities Co. Ltd.a | 585,877 | 6,010,323 | ||||||
NHN Entertainment Corp.a,b | 67,429 | 3,488,478 | ||||||
NHN KCP Corp.a,b | 109,821 | 1,277,158 | ||||||
NICE Holdings Co. Ltd.a,b | 135,300 | 2,147,809 | ||||||
NICE Information Service Co. Ltd.a,b | 269,650 | 1,671,675 | ||||||
Nong Shim Holdings Co. Ltd.b | 18,563 | 1,764,778 | ||||||
NongShim Co. Ltd. | 15,553 | 4,332,695 | ||||||
NS Shopping Co. Ltd.b | 12,875 | 1,878,731 | ||||||
NUTRIBIOTECH Co. Ltd.a,b | 66,968 | 1,717,508 | ||||||
OCI Co. Ltd.b | 80,363 | 6,332,384 | ||||||
Orion Corp./Republic of Korea | 16,891 | 10,665,641 | ||||||
Osstem Implant Co. Ltd.a | 61,230 | 3,119,034 | ||||||
Ottogi Corp. | 6,407 | 4,238,281 | ||||||
Paradise Co. Ltd.b | 234,695 | 3,217,132 | ||||||
Partron Co. Ltd. | 206,511 | 2,027,214 | ||||||
Poongsan Corp. | 119,013 | 4,310,044 |
Security | Shares | Value | ||||||
POSCO | 347,270 | $ | 87,067,031 | |||||
POSCO Chemtech Co. Ltd.b | 151,660 | 1,757,016 | ||||||
Posco Daewoo Corp. | 218,598 | 4,746,037 | ||||||
POSCO ICT Co. Ltd.b | 363,586 | 1,987,143 | ||||||
Pyeong Hwa Automotive Co. Ltd.a,b | 148,943 | 1,949,464 | ||||||
S&T Dynamics Co. Ltd.a | 195,392 | 1,655,410 | ||||||
S&T Motiv Co. Ltd. | 58,211 | 2,471,040 | ||||||
S-1 Corp. | 90,759 | 7,304,063 | ||||||
S-Oil Corp. | 217,990 | 16,656,499 | ||||||
Samchully Co. Ltd.a | 16,485 | 1,417,061 | ||||||
Samjin Pharmaceutical Co. Ltd. | 93,038 | 2,752,263 | ||||||
Samkwang Glass | 34,631 | 2,076,482 | ||||||
Samsung Biologics Co. Ltd.a,b | 81,625 | 11,874,696 | ||||||
Samsung C&T Corp. | 355,182 | 38,635,760 | ||||||
Samsung Card Co. Ltd. | 160,857 | 6,024,580 | ||||||
Samsung Electro-Mechanics Co. Ltd.b | 256,626 | 13,276,693 | ||||||
Samsung Electronics Co. Ltd. | 469,823 | 798,584,838 | ||||||
Samsung Engineering Co. Ltd.a,b | 702,220 | 7,700,666 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 158,264 | 35,690,754 | ||||||
Samsung Heavy Industries Co. Ltd.a | 1,150,614 | 11,396,752 | ||||||
Samsung Life Insurance Co. Ltd. | 339,680 | 32,143,056 | ||||||
Samsung SDI Co. Ltd. | 260,632 | 29,733,830 | ||||||
Samsung SDS Co. Ltd. | 164,315 | 18,890,957 | ||||||
Samsung Securities Co. Ltd. | 230,584 | 6,759,991 | ||||||
Samyang Corp. | 18,012 | 1,559,474 | ||||||
Samyang Holdings Corp. | 19,059 | 1,896,208 | ||||||
Schnell Biopharmaceuticals Inc.a,b | 515,646 | 1,691,839 | ||||||
Seah Besteel Corp. | 57,016 | 1,313,524 | ||||||
Sebang Co. Ltd.a | 107,665 | 1,490,124 | ||||||
Sebang Global Battery Co. Ltd.b | 59,875 | 1,916,847 | ||||||
Seegene Inc.a,b | 87,631 | 2,665,935 | ||||||
Seobu T&Db | 137,931 | 2,098,088 | ||||||
Seoul Semiconductor Co. Ltd.b | 182,108 | 2,705,651 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
SFA Engineering Corp. | 50,137 | $ | 2,877,640 | |||||
Shinhan Financial Group Co. Ltd. | 2,009,237 | 82,981,533 | ||||||
Shinsegae Food Co. Ltd.b | 12,787 | 1,673,647 | ||||||
Shinsegae Inc. | 34,509 | 6,088,477 | ||||||
Shinsegae International Inc.b | 22,487 | 1,298,608 | ||||||
Silicon Works Co. Ltd.b | 68,314 | 1,860,775 | ||||||
Sindoh Co. Ltd. | 41,000 | 1,914,482 | ||||||
SK Bioland Co. Ltd.b | 106,490 | 1,619,835 | ||||||
SK Chemicals Co. Ltd. | 75,611 | 4,326,360 | ||||||
SK Gas Ltd. | 29,874 | 2,787,271 | ||||||
SK Holdings Co. Ltd. | 213,201 | 41,103,531 | ||||||
SK Hynix Inc. | 2,779,641 | 114,799,235 | ||||||
SK Innovation Co. Ltd. | 307,735 | 42,047,365 | ||||||
SK Materials Co. Ltd.b | 30,909 | 4,657,876 | ||||||
SK Networks Co. Ltd. | 604,256 | 3,959,794 | ||||||
SK Securities Co. Ltd.a,b | 1,896,917 | 2,021,477 | ||||||
SK Telecom Co. Ltd. | 90,275 | 18,482,125 | ||||||
SKC Co. Ltd. | 102,641 | 2,854,795 | ||||||
SL Corp.a | 88,728 | 1,946,013 | ||||||
SM Entertainment Co.a,b | 130,184 | 2,791,919 | ||||||
Songwon Industrial Co. Ltd.a,b | 114,081 | 1,715,124 | ||||||
Soulbrain Co. Ltd.b | 52,979 | 2,248,943 | ||||||
SPC Samlip Co. Ltd.a,b | 14,124 | 2,685,527 | ||||||
Ssangyong Cement Industrial Co. Ltd.b | 152,458 | 1,928,056 | ||||||
Ssangyong Information & Communication Corp.a | 30,747 | 58,870 | ||||||
Ssangyong Motor Co.a | 279,021 | 1,966,657 | ||||||
Sung Kwang Bend Co. Ltd.a,b | 170,189 | 1,500,583 | ||||||
Sungwoo Hitech Co. Ltd. | 195,464 | 1,332,768 | ||||||
Taekwang Industrial Co. Ltd.a | 2,712 | 2,307,269 | ||||||
Taewoong Co. Ltd.a,b | 66,257 | 1,420,944 | ||||||
Taeyoung Engineering & Construction Co. Ltd.a | 418,816 | 2,063,060 | ||||||
Tera Resource Co. Ltd.a | 49,111 | — | ||||||
Tongyang Inc.a | 958,164 | 2,342,979 | ||||||
Tongyang Life Insurance Co. Ltd.a | 258,476 | 2,411,605 | ||||||
Toptec Co. Ltd.b | 96,146 | 1,908,890 | ||||||
Value Added Technologies Co. Ltd.a,b | 57,893 | 1,428,445 | ||||||
Vieworks Co. Ltd. | 45,791 | 2,547,207 |
Security | Shares | Value | ||||||
ViroMed Co. Ltd.a,b | 66,236 | $ | 5,476,954 | |||||
Webzen Inc.a,b | 120,357 | 2,192,663 | ||||||
Wonik Holdings Co. Ltd.a,b | 147,422 | 728,799 | ||||||
WONIK IPS Co. Ltd.a,b | 120,991 | 2,396,815 | ||||||
Woongjin Thinkbig Co. Ltd.a | 226,963 | 1,790,413 | ||||||
Woori Banka | 1,438,960 | 16,925,198 | ||||||
YG Entertainment Inc.b | 82,226 | 1,963,389 | ||||||
Youlchon Chemical Co. Ltd. | 172,710 | 2,107,803 | ||||||
Youngone Corp.b | 121,508 | 3,449,398 | ||||||
Youngone Holdings Co. Ltd. | 41,250 | 2,064,780 | ||||||
Yuanta Securities Korea Co. Ltd.a,b | 405,201 | 1,189,712 | ||||||
Yuhan Corp. | 39,152 | 7,755,957 | ||||||
Yungjin Pharmaceutical Co. Ltd.a,b | 457,233 | 3,356,210 | ||||||
|
| |||||||
3,374,161,082 | ||||||||
TAIWAN — 13.04% |
| |||||||
A-DATA Technology Co. Ltd.b | 1,541,820 | 2,674,793 | ||||||
AcBel Polytech Inc.b | 2,417,000 | 1,923,467 | ||||||
Accton Technology Corp.b | 2,422,000 | 4,454,017 | ||||||
Acer Inc.b | 13,263,872 | 6,367,833 | ||||||
Advanced Ceramic X Corp.b | 234,000 | 2,437,222 | ||||||
Advanced Semiconductor Engineering Inc.b | 29,751,000 | 36,942,427 | ||||||
Advanced Wireless Semiconductor Co.b | 1,115,000 | 2,231,923 | ||||||
Advantech Co. Ltd. | 1,484,302 | 12,633,488 | ||||||
Airtac International Groupb | 568,190 | 5,252,200 | ||||||
Alpha Networks Inc. | 2,645,700 | 1,842,823 | ||||||
Ambassador Hotel (The) | 2,509,000 | 1,947,683 | ||||||
AmTRAN Technology Co. Ltd. | 4,284,000 | 3,227,972 | ||||||
Ardentec Corp. | 3,180,546 | 2,722,618 | ||||||
Asia Cement Corp. | 10,382,050 | 10,272,733 | ||||||
Asia Optical Co. Inc.a,b | 1,698,000 | 2,851,784 | ||||||
Asia Pacific Telecom Co. Ltd.a | 8,733,000 | 2,927,723 | ||||||
Asia Polymer Corp.b | 4,761,027 | 2,913,317 | ||||||
Asustek Computer Inc. | 3,185,000 | 28,767,474 | ||||||
AU Optronics Corp.b | 41,430,000 | 16,451,446 | ||||||
Bank of Kaohsiung Co. Ltd.b | 10,988,149 | 3,497,782 | ||||||
BES Engineering Corp.b | 11,790,000 | 2,632,493 | ||||||
Bioteque Corp.b | 531,000 | 2,169,040 | ||||||
Bizlink Holding Inc.b | 464,055 | 2,854,701 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Brogent Technologies Inc.b | 249,799 | $ | 1,784,656 | |||||
Capital Securities Corp. | 11,496,000 | 3,779,179 | ||||||
Catcher Technology Co. Ltd.b | 3,107,000 | 25,989,845 | ||||||
Cathay Financial Holding Co. Ltd. | 39,309,078 | 61,733,299 | ||||||
Cathay Real Estate Development Co. Ltd. | 3,884,900 | 2,649,068 | ||||||
Center Laboratories Inc.a,b | 1,377,736 | 2,802,692 | ||||||
Chailease Holding Co. Ltd.b | 4,893,945 | 10,497,208 | ||||||
Chang Hwa Commercial Bank Ltd. | 23,941,067 | 14,299,106 | ||||||
Cheng Loong Corp.b | 6,569,000 | 3,132,321 | ||||||
Cheng Shin Rubber Industry Co. Ltd.b | 9,010,650 | 19,151,316 | ||||||
Cheng Uei Precision Industry Co. Ltd.b | 1,987,000 | 2,486,701 | ||||||
Chicony Electronics Co. Ltd.b | 2,416,728 | 5,695,025 | ||||||
Chin-Poon Industrial Co. Ltd. | 1,672,000 | 3,341,442 | ||||||
China Airlines Ltd. | 10,927,000 | 3,592,127 | ||||||
China Bills Finance Corp.b | 7,639,000 | 3,431,191 | ||||||
China Development Financial Holding Corp.b | 57,414,000 | 15,136,732 | ||||||
China Life Insurance Co. Ltd./Taiwan | 16,571,369 | 16,262,040 | ||||||
China Man-Made Fiber Corp.b | 9,203,550 | 2,785,914 | ||||||
China Metal Productsb | 1,673,146 | 1,756,276 | ||||||
China Motor Corp. | 2,930,000 | 2,746,562 | ||||||
China Petrochemical Development Corp.a,b | 11,293,900 | 4,466,317 | ||||||
China Steel Chemical Corp.b | 778,000 | 3,241,297 | ||||||
China Steel Corp. | 54,248,529 | 45,555,098 | ||||||
China Synthetic Rubber Corp.b | 3,333,100 | 3,276,307 | ||||||
Chipbond Technology Corp. | 2,924,000 | 4,525,402 | ||||||
Chlitina Holding Ltd.b | 270,000 | 1,436,848 | ||||||
Chong Hong Construction Co. Ltd. | 1,081,122 | 2,473,770 | ||||||
Chroma ATE Inc.b | 1,835,000 | 5,602,324 | ||||||
Chunghwa Telecom Co. Ltd. | 17,364,000 | 57,647,338 | ||||||
Cleanaway Co. Ltd. | 482,000 | 2,659,170 | ||||||
Clevo Co.b | 2,193,175 | 2,070,144 | ||||||
CMC Magnetics Corp.a,b | 18,575,566 | 2,503,063 | ||||||
Compal Electronics Inc. | 18,194,000 | 11,399,564 |
Security | Shares | Value | ||||||
Compeq Manufacturing Co. Ltd.b | 5,033,000 | $ | 3,284,510 | |||||
Continental Holdings Corp.b | 5,443,600 | 1,993,279 | ||||||
Coretronic Corp. | 2,629,200 | 3,709,728 | ||||||
CSBC Corp. Taiwan | 4,898,000 | 2,279,734 | ||||||
CTBC Financial Holding Co. Ltd. | 83,018,599 | 49,583,911 | ||||||
CTCI Corp.b | 3,221,000 | 5,336,270 | ||||||
Cub Elecparts Inc.b | 262,061 | 2,162,269 | ||||||
D-Link Corp.b | 6,681,991 | 2,468,488 | ||||||
Darwin Precisions Corp.b | 3,840,000 | 1,718,554 | ||||||
Delta Electronics Inc. | 9,219,000 | 51,310,853 | ||||||
Depo Auto Parts Ind. Co. Ltd. | 677,000 | 1,850,961 | ||||||
E Ink Holdings Inc. | 4,228,000 | 3,481,648 | ||||||
E.Sun Financial Holding Co. Ltd. | 37,648,581 | 22,853,713 | ||||||
Eclat Textile Co. Ltd.b | 883,062 | 8,881,350 | ||||||
Egis Technology Inc.a | 349,000 | 2,976,158 | ||||||
Elan Microelectronics Corp.b | 2,277,000 | 2,797,753 | ||||||
Elite Advanced Laser Corp. | 631,800 | 3,136,020 | ||||||
Elite Material Co. Ltd. | 1,458,000 | 5,338,747 | ||||||
Elite Semiconductor Memory Technology Inc.b | 2,910,000 | 3,101,942 | ||||||
Ennoconn Corp.b | 209,000 | 3,299,266 | ||||||
Epistar Corp.a,b | 4,560,000 | 4,289,355 | ||||||
Eternal Materials Co. Ltd. | 4,413,472 | 4,826,685 | ||||||
EVA Airways Corp. | 9,682,042 | 4,805,805 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 7,140,870 | 3,381,765 | ||||||
Everlight Chemical Industrial Corp.b | 4,199,781 | 2,897,956 | ||||||
Everlight Electronics Co. Ltd.b | 1,848,000 | 2,971,380 | ||||||
Far Eastern Department Stores Ltd. | 4,086,167 | 2,181,169 | ||||||
Far Eastern International Bank | 11,747,191 | 3,574,991 | ||||||
Far Eastern New Century Corp. | 13,240,916 | 11,851,683 | ||||||
Far EasTone Telecommunications Co. Ltd. | 7,210,000 | 17,365,860 | ||||||
Faraday Technology Corp.b | 1,621,000 | 1,899,393 | ||||||
Farglory Land Development Co. Ltd. | 1,346,782 | 1,707,395 | ||||||
Feng Hsin Steel Co. Ltd. | 2,492,000 | 4,209,638 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Feng TAY Enterprise Co. Ltd.b | 1,544,506 | $ | 6,535,251 | |||||
Firich Enterprises Co. Ltd.b | 1,070,960 | 2,126,338 | ||||||
First Financial Holding Co. Ltd. | 43,991,679 | 25,988,217 | ||||||
FLEXium Interconnect Inc.b | 1,354,833 | 4,167,224 | ||||||
Formosa Chemicals & Fibre Corp. | 15,132,210 | 47,873,804 | ||||||
Formosa Petrochemical Corp. | 5,598,000 | 19,496,021 | ||||||
Formosa Plastics Corp. | 19,197,800 | 57,861,776 | ||||||
Formosa Taffeta Co. Ltd. | 2,587,000 | 2,627,123 | ||||||
Formosan Rubber Group Inc. | 5,085,602 | 2,822,254 | ||||||
Foxconn Technology Co. Ltd. | 4,237,424 | 12,647,380 | ||||||
Fubon Financial Holding Co. Ltd. | 31,869,000 | 51,604,887 | ||||||
General Interface Solution Holding Ltd.b | 596,000 | 2,444,253 | ||||||
Getac Technology Corp. | 2,796,000 | 3,913,226 | ||||||
Giant Manufacturing Co. Ltd.b | 1,341,000 | 8,293,000 | ||||||
Gigabyte Technology Co. Ltd. | 2,592,000 | 3,610,839 | ||||||
Gigasolar Materials Corp.b | 159,800 | 1,862,040 | ||||||
Gigastorage Corp.a,b | 2,588,000 | 2,055,339 | ||||||
Ginko International Co. Ltd.b | 234,000 | 2,292,512 | ||||||
Gintech Energy Corp.a,b | 2,860,765 | 1,755,185 | ||||||
Globalwafers Co. Ltd.b | 670,000 | 4,176,119 | ||||||
Gloria Material Technology Corp. | 4,423,048 | 3,476,707 | ||||||
Goldsun Building Materials Co. Ltd.b | 8,653,000 | 2,509,422 | ||||||
Gourmet Master Co. Ltd. | 331,050 | 3,108,628 | ||||||
Grand Pacific Petrochemical | 5,389,000 | 3,893,951 | ||||||
Grape King Bio Ltd.b | 549,000 | 3,654,222 | ||||||
Great Wall Enterprise Co. Ltd. | 3,205,500 | 3,030,897 | ||||||
Greatek Electronics Inc.b | 2,134,000 | 2,896,408 | ||||||
HannStar Display Corp.a,b | 13,486,640 | 3,402,004 | ||||||
Highwealth Construction Corp.b | 3,715,230 | 6,034,143 | ||||||
Hiwin Technologies Corp.b | 986,668 | 6,294,430 | ||||||
Ho Tung Chemical Corp.a | 12,179,812 | 3,611,505 | ||||||
Holy Stone Enterprise Co. Ltd. | 2,199,900 | 2,484,630 | ||||||
Hon Hai Precision Industry Co. Ltd. | 73,244,410 | 213,366,794 |
Security | Shares | Value | ||||||
Hota Industrial Manufacturing Co. Ltd.b | 921,000 | $ | 4,136,833 | |||||
Hotai Motor Co. Ltd. | 1,129,000 | 12,916,611 | ||||||
HTC Corp.a,b | 3,158,000 | 8,109,955 | ||||||
Hu Lane Associate Inc.b | 388,000 | 1,925,887 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 34,046,602 | 18,727,931 | ||||||
Huaku Development Co. Ltd.b | 1,400,000 | 3,066,708 | ||||||
Hung Sheng Construction Ltd.b | 4,217,000 | 2,690,227 | ||||||
IEI Integration Corp. | 1,923,582 | 2,955,167 | ||||||
Innolux Corp.b | 42,388,241 | 17,245,855 | ||||||
International Games System Co. Ltd.b | 281,000 | 1,884,095 | ||||||
Inventec Corp. | 11,804,000 | 8,759,783 | ||||||
ITEQ Corp. | 2,381,000 | 3,243,278 | ||||||
Kenda Rubber Industrial Co. Ltd.b | 2,431,889 | 3,926,040 | ||||||
Kerry TJ Logistics Co. Ltd.b | 1,868,000 | 2,681,296 | ||||||
Kindom Construction Corp.b | 3,080,000 | 2,340,814 | ||||||
King Slide Works Co. Ltd.b | 285,000 | 3,933,146 | ||||||
King Yuan Electronics Co. Ltd. | 5,314,000 | 4,972,659 | ||||||
King’s Town Bank Co. Ltd. | 5,090,000 | 4,738,197 | ||||||
Kinpo Electronicsb | 7,934,000 | 3,253,809 | ||||||
Kinsus Interconnect Technology Corp. | 1,252,000 | 3,463,798 | ||||||
Kuoyang Construction Co. Ltd.b | 5,730,023 | 2,452,514 | ||||||
Land Mark Optoelectronics Corp.b | 265,900 | 2,778,131 | ||||||
Largan Precision Co. Ltd. | 477,000 | 70,796,622 | ||||||
LCY Chemical Corp. | 2,391,000 | 3,455,349 | ||||||
Lealea Enterprise Co. Ltd.b | 9,426,173 | 2,653,877 | ||||||
Lien Hwa Industrial Corp. | 3,529,910 | 2,694,237 | ||||||
Lite-On Technology Corp. | 10,150,238 | 17,014,248 | ||||||
Long Bon International Co. Ltd. | 6,308,000 | 3,305,574 | ||||||
Makalot Industrial Co. Ltd.b | 949,208 | 3,846,450 | ||||||
Masterlink Securities Corp. | 10,327,344 | 3,058,858 | ||||||
MediaTek Inc.b | 7,050,572 | 51,404,564 | ||||||
Mega Financial Holding Co. Ltd. | 51,020,958 | 39,689,518 | ||||||
Merida Industry Co. Ltd.b | 1,008,850 | 5,155,319 |
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Merry Electronics Co. Ltd.b | 815,070 | $ | 3,820,205 | |||||
Micro-Star International Co. Ltd.b | 3,391,000 | 7,847,416 | ||||||
Microbio Co. Ltd.a | 3,397,141 | 2,532,086 | ||||||
Mitac Holdings Corp. | 3,129,560 | 3,335,984 | ||||||
Motech Industries Inc.a,b | 2,518,000 | 2,417,726 | ||||||
Nan Kang Rubber Tire Co. Ltd.b | 2,910,000 | 2,959,868 | ||||||
Nan Ya Plastics Corp. | 21,997,440 | 53,412,177 | ||||||
Nan Ya Printed Circuit Board Corp.b | 1,191,000 | 976,881 | ||||||
Nanya Technology Corp.b | 3,342,000 | 4,949,338 | ||||||
Neo Solar Power Corp.a,b | 5,050,806 | 2,556,350 | ||||||
Nien Made Enterprise Co. Ltd.b | 733,000 | 7,169,317 | ||||||
Novatek Microelectronics Corp.b | 2,636,000 | 9,866,714 | ||||||
OBI Pharma Inc.a,b | 529,000 | 6,017,723 | ||||||
Oriental Union Chemical Corp.b | 3,184,000 | 2,689,303 | ||||||
Pan-International Industrial Corp.b | 2,528,366 | 2,267,205 | ||||||
Parade Technologies Ltd.b | 299,000 | 3,162,888 | ||||||
PChome Online Inc.b | 497,103 | 3,316,878 | ||||||
Pegatron Corp. | 9,017,000 | 23,684,538 | ||||||
PharmaEngine Inc.b | 330,183 | 2,197,745 | ||||||
PharmaEssentia Corp.a | 603,000 | 3,189,334 | ||||||
Phison Electronics Corp. | 691,000 | 6,061,305 | ||||||
Pixart Imaging Inc.b | 932,000 | 2,408,606 | ||||||
Pou Chen Corp. | 9,645,000 | 13,090,843 | ||||||
Powertech Technology Inc. | 3,162,000 | 9,180,282 | ||||||
Poya International Co. Ltd.b | 306,710 | 3,558,908 | ||||||
President Chain Store Corp. | 2,710,000 | 19,890,475 | ||||||
President Securities Corp. | 6,143,123 | 2,629,325 | ||||||
Primax Electronics Ltd. | 2,377,000 | 3,636,272 | ||||||
Prince Housing & Development Corp. | 6,234,995 | 2,262,769 | ||||||
Qisda Corp.b | 9,626,000 | 5,012,971 | ||||||
Quanta Computer Inc. | 12,589,000 | 26,101,170 | ||||||
Radiant Opto-Electronics Corp.b | 2,092,000 | 4,323,791 | ||||||
Radium Life Tech Co. Ltd.a | 6,856,196 | 2,253,896 | ||||||
Realtek Semiconductor Corp. | 2,277,110 | 8,486,308 | ||||||
Ritek Corp.a | 10,309,503 | 2,067,035 |
Security | Shares | Value | ||||||
Ruentex Development Co. Ltd.a,b | 3,891,822 | $ | 4,895,891 | |||||
Ruentex Industries Ltd.b | 2,748,906 | 5,216,242 | ||||||
Sampo Corp.b | 7,095,000 | 4,318,404 | ||||||
Sanyang Motor Co. Ltd.b | 3,050,000 | 2,104,578 | ||||||
ScinoPharm Taiwan Ltd.b | 1,354,488 | 1,950,822 | ||||||
Sercomm Corp. | 1,419,000 | 3,828,831 | ||||||
Shin Kong Financial Holding Co. Ltd.a | 39,083,443 | 10,545,730 | ||||||
Shin Zu Shing Co. Ltd.b | 758,000 | 2,124,231 | ||||||
Shining Building Business Co. Ltd.a,b | 4,634,601 | 1,681,963 | ||||||
Shinkong Synthetic Fibers Corp.b | 8,245,000 | 2,710,450 | ||||||
Sigurd Microelectronics Corp.b | 3,706,000 | 3,311,136 | ||||||
Silergy Corp.b | 269,000 | 4,526,600 | ||||||
Siliconware Precision Industries Co. Ltd. | 9,724,819 | 15,319,910 | ||||||
Simplo Technology Co. Ltd. | 1,153,000 | 3,752,828 | ||||||
Sinbon Electronics Co. Ltd.b | 1,254,809 | 2,993,718 | ||||||
Sino-American Silicon Products Inc.b | 2,780,000 | 4,257,295 | ||||||
SinoPac Financial Holdings Co. Ltd. | 44,371,055 | 13,503,324 | ||||||
Sinyi Realty Inc. | 1,933,877 | 2,096,054 | ||||||
Sitronix Technology Corp. | 790,000 | 2,553,322 | ||||||
Soft-World International Corp.b | 1,120,000 | 2,292,968 | ||||||
St. Shine Optical Co. Ltd. | 215,000 | 3,673,898 | ||||||
Standard Foods Corp.b | 1,853,939 | 4,646,388 | ||||||
Sunny Friend Environmental Technology Co. Ltd.b | 467,000 | 1,938,012 | ||||||
Synnex Technology International Corp. | 6,410,250 | 7,041,709 | ||||||
TA Chen Stainless Pipe | 4,813,682 | 2,804,528 | ||||||
Taichung Commercial Bank Co. Ltd. | 10,942,344 | 3,358,547 | ||||||
Taigen Biopharmaceuticals Holdings Ltd.a | 1,357,000 | 1,199,165 | ||||||
TaiMed Biologics Inc.a,b | 750,000 | 4,479,470 | ||||||
Tainan Spinning Co. Ltd. | 5,557,894 | 2,505,471 | ||||||
Taishin Financial Holding Co. Ltd. | 39,212,707 | 15,507,165 | ||||||
Taiwan Acceptance Corp. | 1,183,000 | 3,311,407 | ||||||
Taiwan Business Bank | 19,019,193 | 5,206,159 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Taiwan Cement Corp. | 15,257,000 | $ | 18,696,635 | |||||
Taiwan Cogeneration Corp.b | 2,890,000 | 2,116,458 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 36,558,880 | 17,432,506 | ||||||
Taiwan Fertilizer Co. Ltd. | 2,705,000 | 3,741,843 | ||||||
Taiwan Glass Industry Corp.a,b | 5,696,053 | 3,253,722 | ||||||
Taiwan Hon Chuan Enterprise Co. Ltd. | 2,060,674 | 4,010,881 | ||||||
Taiwan Land Development Corp.b | 7,778,973 | 2,848,420 | ||||||
Taiwan Liposome Co. Ltd.a | 196,000 | 771,917 | ||||||
Taiwan Mobile Co. Ltd. | 7,220,000 | 25,379,921 | ||||||
Taiwan Paiho Ltd.b | 1,163,000 | 3,501,473 | ||||||
Taiwan PCB Techvest Co. Ltd. | 3,097,042 | 3,190,437 | ||||||
Taiwan Secom Co. Ltd.b | 1,493,185 | 4,374,067 | ||||||
Taiwan Semiconductor Co. Ltd.b | 1,856,000 | 2,325,777 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 117,325,000 | 721,741,501 | ||||||
Taiwan Shin Kong Security Co. Ltd. | 2,930,770 | 3,791,824 | ||||||
Taiwan Surface Mounting Technology Corp.b | 3,590,261 | 3,353,801 | ||||||
Taiwan TEA Corp.b | 5,381,000 | 2,767,256 | ||||||
Tatung Co. Ltd.a,b | 10,670,000 | 5,521,929 | ||||||
Teco Electric and Machinery Co. Ltd. | 8,361,000 | 7,538,194 | ||||||
Test Research Inc. | 1,248,400 | 1,724,887 | ||||||
Test Rite International Co. Ltd. | 4,029,000 | 2,629,305 | ||||||
Ton Yi Industrial Corp. | 4,004,000 | 2,000,469 | ||||||
Tong Hsing Electronic Industries Ltd.b | 779,000 | 3,499,015 | ||||||
Tong Yang Industry Co. Ltd.b | 1,958,400 | 3,894,681 | ||||||
Topco Scientific Co. Ltd.b | 1,447,338 | 4,805,067 | ||||||
TPK Holding Co. Ltd.a,b | 1,363,000 | 4,077,000 | ||||||
Transcend Information Inc. | 751,000 | 2,109,503 | ||||||
Tripod Technology Corp. | 2,449,000 | 6,392,820 | ||||||
TSRC Corp.b | 3,028,900 | 3,554,017 | ||||||
TTY Biopharm Co. Ltd.b | 1,116,124 | 4,105,067 | ||||||
Tung Ho Steel Enterprise Corp.b | 4,471,000 | 3,463,466 |
Security | Shares | Value | ||||||
Tung Thih Electronic Co. Ltd.b | 322,000 | $ | 3,338,064 | |||||
TWi Pharmaceuticals Inc.a,b | 436,000 | 1,433,300 | ||||||
TXC Corp. | 2,011,000 | 2,997,829 | ||||||
U-Ming Marine Transport Corp. | 2,416,000 | 2,634,335 | ||||||
Uni-President Enterprises Corp. | 22,613,369 | 40,187,151 | ||||||
Unimicron Technology Corp.b | 5,974,000 | 2,790,271 | ||||||
United Integrated Services Co. Ltd.b | 1,767,000 | 3,422,022 | ||||||
United Microelectronics Corp. | 51,254,000 | 21,269,989 | ||||||
UPC Technology Corp. | 6,112,146 | 2,775,219 | ||||||
USI Corp. | 5,320,000 | 2,926,359 | ||||||
Vanguard International Semiconductor Corp.b | 4,254,000 | 8,404,570 | ||||||
Visual Photonics Epitaxy Co. Ltd.b | 1,475,000 | 2,861,328 | ||||||
Voltronic Power Technology Corp.b | 256,974 | 3,780,567 | ||||||
Wah Lee Industrial Corp.b | 1,409,000 | 2,260,931 | ||||||
Walsin Lihwa Corp. | 15,889,000 | 7,343,688 | ||||||
Walsin Technology Corp.b | 2,016,400 | 2,828,676 | ||||||
Waterland Financial Holdings Co. Ltd.b | 13,616,543 | 3,869,104 | ||||||
Win Semiconductors Corp.b | 1,739,427 | 7,388,326 | ||||||
Winbond Electronics Corp.b | 14,406,000 | 5,228,145 | ||||||
Wistron Corp. | 11,663,647 | 9,775,543 | ||||||
Wistron NeWeb Corp.b | 1,244,911 | 3,634,629 | ||||||
Wowprime Corp. | 460,260 | 2,134,752 | ||||||
WPG Holdings Ltd. | 6,807,000 | 8,640,715 | ||||||
WT Microelectronics Co. Ltd. | 2,265,990 | 3,385,322 | ||||||
XPEC Entertainment Inc. | 31,000 | — | ||||||
Yageo Corp. | 1,905,739 | 4,689,370 | ||||||
Yang Ming Marine Transport Corp.a | 12,484,000 | 2,819,957 | ||||||
Yeong Guan Energy Technology Group Co. Ltd.b | 438,937 | 1,700,116 | ||||||
YFY Inc.b | 7,219,000 | 2,702,117 | ||||||
Yieh Phui Enterprise Co. Ltd.a | 6,454,510 | 2,983,190 | ||||||
Yuanta Financial Holding Co. Ltd. | 44,606,912 | 18,874,473 | ||||||
Yulon Motor Co. Ltd.b | 3,240,000 | 3,016,063 |
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
YungShin Global Holding Corp. | 1,867,650 | $ | 2,832,766 | |||||
Yungtay Engineering Co. Ltd. | 1,979,000 | 3,194,896 | ||||||
Zhen Ding Technology Holding Ltd.b | 1,791,950 | 4,461,867 | ||||||
Zinwell Corp.b | 1,939,000 | 2,161,562 | ||||||
|
| |||||||
3,094,979,328 | ||||||||
THAILAND — 2.42% |
| |||||||
Advanced Info Service PCL NVDR | 4,818,700 | 23,054,330 | ||||||
Airports of Thailand PCL NVDRb | 20,652,100 | 22,926,727 | ||||||
Amata Corp. PCL NVDRb | 4,988,500 | 2,300,922 | ||||||
AP Thailand PCL NVDRb | 10,593,690 | 2,169,999 | ||||||
Bangchak Petroleum PCL (The) NVDRb | 2,294,500 | 2,267,845 | ||||||
Bangkok Airways PCLb | 3,389,100 | 1,912,744 | ||||||
Bangkok Bank PCL Foreign | 1,216,500 | 6,726,290 | ||||||
Bangkok Chain Hospital PCL NVDR | 7,832,050 | 2,916,923 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 18,051,500 | 10,394,784 | ||||||
Bangkok Expressway & Metro PCL | 35,755,485 | 7,221,675 | ||||||
Bangkok Land PCL NVDR | 57,061,700 | 2,975,242 | ||||||
Banpu PCL NVDR | 9,565,100 | 5,370,958 | ||||||
Beauty Community PCLb | 11,086,900 | 3,271,549 | ||||||
Berli Jucker PCL NVDR | 6,231,700 | 8,212,408 | ||||||
BTS Group Holdings PCL NVDR | 23,738,100 | 5,576,554 | ||||||
Bumrungrad Hospital PCL NVDRb | 1,687,500 | 8,508,688 | ||||||
Central Pattana PCL NVDR | 6,490,300 | 10,226,655 | ||||||
Charoen Pokphand Foods PCL NVDR | 12,763,600 | 10,238,524 | ||||||
Chularat Hospital PCL NVDRb | 30,203,000 | 2,215,115 | ||||||
CP ALL PCL NVDR | 23,733,900 | 40,796,837 | ||||||
Delta Electronics Thailand PCL NVDR | 2,486,200 | 6,588,460 | ||||||
Dynasty Ceramic PCL NVDR | 22,310,620 | 2,825,140 | ||||||
Eastern Polymer Group PCL | 5,396,500 | 1,978,920 | ||||||
Electricity Generating PCL NVDR | 631,800 | 3,746,762 |
Security | Shares | Value | ||||||
Energy Absolute PCL NVDRb | 6,857,200 | $ | 4,911,260 | |||||
Esso Thailand PCL NVDRa,b | 7,784,100 | 2,519,956 | ||||||
Glow Energy PCL NVDR | 2,361,900 | 5,277,913 | ||||||
Group Lease PCLb | 1,964,100 | 3,319,875 | ||||||
Gunkul Engineering PCL NVDRb | 15,594,260 | 2,278,458 | ||||||
Hana Microelectronics PCL NVDR | 3,266,500 | 3,977,203 | ||||||
Home Product Center PCL NVDR | 22,509,674 | 6,352,016 | ||||||
Indorama Ventures PCL NVDR | 6,944,300 | 7,062,573 | ||||||
Inter Far East Energy Corp.b | 7,049,000 | 626,030 | ||||||
IRPC PCL NVDR | 50,895,400 | 7,232,132 | ||||||
Italian-Thai Development PCL NVDRa,b | 10,419,300 | 1,486,531 | ||||||
Jasmine International PCL NVDRb | 10,363,900 | 2,612,835 | ||||||
Kasikornbank PCL Foreign | 5,596,700 | 30,544,509 | ||||||
Kasikornbank PCL NVDR | 2,740,500 | 15,035,045 | ||||||
KCE Electronics PCL NVDR | 1,600,200 | 4,504,151 | ||||||
Khon Kaen Sugar Industry PCL NVDR | 12,249,486 | 2,245,970 | ||||||
Kiatnakin Bank PCL NVDR | 2,211,700 | 4,166,085 | ||||||
Krung Thai Bank PCL NVDR | 16,156,900 | 9,072,359 | ||||||
Krungthai Card PCL NVDRb | 754,400 | 2,820,449 | ||||||
LPN Development PCL NVDRb | 4,424,100 | 1,470,243 | ||||||
Major Cineplex Group PCL NVDR | 2,080,300 | 2,026,334 | ||||||
Minor International PCL NVDRb | 9,784,660 | 9,600,911 | ||||||
Muangthai Leasing PCLb | 3,876,600 | 3,498,386 | ||||||
PTG Energy PCLb | 3,196,700 | 2,472,702 | ||||||
PTT Exploration & Production PCL NVDR | 6,570,801 | 17,506,825 | ||||||
PTT Global Chemical PCL NVDR | 9,574,700 | 19,544,123 | ||||||
PTT PCL NVDR | 4,830,600 | 54,941,147 | ||||||
Quality Houses PCL NVDRb | 26,043,017 | 1,954,784 | ||||||
Robinson Department Store PCL NVDR | 2,627,500 | 4,629,392 | ||||||
Siam Cement PCL (The) Foreign | 1,671,700 | 24,712,358 | ||||||
Siam Cement PCL (The) NVDR | 286,600 | 4,236,742 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Siam Commercial Bank PCL (The) NVDR | 8,369,300 | $ | 36,924,616 | |||||
Siam Global House PCL NVDRb | 7,433,292 | 3,939,663 | ||||||
Singha Estate PCLa,b | 10,454,800 | 1,323,866 | ||||||
Sino-Thai Engineering & Construction PCL NVDRb | 4,572,628 | 3,340,505 | ||||||
Sri Trang Agro-Industry PCL NVDRb | 3,990,300 | 2,286,345 | ||||||
Srisawad Power 1979 PCL NVDRb | 3,003,133 | 3,807,097 | ||||||
Supalai PCL NVDRb | 4,147,900 | 2,958,924 | ||||||
Superblock PCLa | 55,280,200 | 2,106,335 | ||||||
surGlobal Power Synergy Co. Ltd. NVDRb | 2,711,200 | 2,660,286 | ||||||
Thai Airways International PCL NVDRa,b | 3,637,200 | 2,011,086 | ||||||
Thai Oil PCL NVDR | 4,150,200 | 8,947,087 | ||||||
Thai Union Group PCL NVDR | 9,818,400 | 5,710,089 | ||||||
Thai Vegetable Oil PCL NVDR | 2,686,300 | 2,962,930 | ||||||
Thaicom PCL NVDRb | 2,810,700 | 1,546,044 | ||||||
Thanachart Capital PCL NVDR | 3,285,700 | 4,565,368 | ||||||
Thoresen Thai Agencies PCL NVDRb | 5,883,423 | 1,643,391 | ||||||
TICON Industrial Connection PCL NVDRb | 4,025,360 | 1,787,486 | ||||||
Tisco Financial Group PCL NVDR | 1,838,150 | 3,607,262 | ||||||
TMB Bank PCL NVDR | 69,616,600 | 4,866,411 | ||||||
True Corp. PCL NVDRb | 46,123,311 | 8,258,604 | ||||||
TTW PCL NVDRb | 8,101,700 | 2,553,142 | ||||||
Unique Engineering & Construction PCL | 3,628,000 | 1,912,455 | ||||||
VGI Global Media PCL NVDR | 14,922,300 | 2,180,279 | ||||||
Vibhavadi Medical Center PCL NVDR | 31,443,800 | 2,630,413 | ||||||
WHA Corp. PCL NVDRa,b | 37,295,800 | 3,312,285 | ||||||
|
| |||||||
574,905,317 | ||||||||
TURKEY — 1.05% |
| |||||||
Akbank TAS | 10,808,916 | 25,893,009 | ||||||
Aksa Akrilik Kimya Sanayii ASb | 549,873 | 1,588,562 |
Security | Shares | Value | ||||||
Albaraka Turk Katilim Bankasi AS | 5,863,006 | $ | 1,987,953 | |||||
Anadolu Efes Biracilik ve Malt Sanayii AS | 1,037,723 | 5,664,052 | ||||||
Arcelik AS | 1,218,817 | 7,015,354 | ||||||
BIM Birlesik Magazalar AS | 1,026,817 | 14,832,178 | ||||||
Cimsa Cimento Sanayi VE Ticaret AS | 467,214 | 2,210,109 | ||||||
Coca-Cola Icecek AS | 430,615 | 4,161,804 | ||||||
Dogus Otomotiv Servis ve Ticaret ASb | 397,055 | 1,006,976 | ||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi AS | 9,612,161 | 8,293,655 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 6,974,525 | 11,420,410 | ||||||
Ford Otomotiv Sanayi AS | 381,138 | 3,847,523 | ||||||
Haci Omer Sabanci Holding AS | 4,595,097 | 12,755,714 | ||||||
Is Gayrimenkul Yatirim Ortakligi ASb | 4,298,347 | 1,836,597 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Da,b | 5,213,845 | 1,753,471 | ||||||
KOC Holding AS | 3,111,754 | 12,721,169 | ||||||
Otokar Otomotiv Ve Savunma Sanayi ASb | 63,449 | 2,413,707 | ||||||
Petkim Petrokimya Holding AS | 4,239,921 | 5,049,195 | ||||||
Sekerbank TASa,b | 4,064,053 | 1,333,174 | ||||||
Soda Sanayii AS | 1,753,818 | 2,688,066 | ||||||
TAV Havalimanlari Holding AS | 963,471 | 4,029,070 | ||||||
Tekfen Holding ASb | 1,098,229 | 2,388,639 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 667,078 | 4,998,120 | ||||||
Trakya Cam Sanayii AS | 2,899,161 | 2,469,514 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 618,758 | 14,523,995 | ||||||
Turk Hava Yollari AOa | 400,000 | 602,051 | ||||||
Turk Telekomunikasyon AS | 2,841,476 | 4,511,771 | ||||||
Turkcell Iletisim Hizmetleri ASa | 4,281,482 | 14,021,393 | ||||||
Turkiye Garanti Bankasi AS | 11,280,581 | 26,805,218 | ||||||
Turkiye Halk Bankasi AS | 3,108,993 | 9,658,824 | ||||||
Turkiye Is Bankasi Class C | 7,868,682 | 13,730,499 |
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 6,121,083 | $ | 2,497,299 | |||||
Turkiye Sise ve Cam Fabrikalari AS | 4,066,409 | 4,394,179 | ||||||
Turkiye Vakiflar Bankasi Tao Class Db | 4,119,299 | 6,018,383 | ||||||
Ulker Biskuvi Sanayi ASb | 838,160 | 4,267,509 | ||||||
Yapi ve Kredi Bankasi ASa,b | 4,793,096 | 5,086,950 | ||||||
Yazicilar Holding ASb | 395,092 | 1,678,346 | ||||||
|
| |||||||
250,154,438 | ||||||||
UNITED ARAB EMIRATES — 0.80% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 9,441,275 | 18,226,995 | ||||||
Agthia Group PJSC | 943,318 | 1,661,884 | ||||||
Air Arabia PJSC | 12,431,096 | 4,163,444 | ||||||
Al Waha Capital PJSC | 5,996,434 | 3,608,474 | ||||||
Aldar Properties PJSC | 14,796,360 | 9,669,507 | ||||||
Amlak Finance PJSCa | 5,028,558 | 1,629,403 | ||||||
Arabtec Holding PJSCa | 11,592,700 | 2,904,094 | ||||||
Dana Gas PJSCa | 20,937,694 | 2,622,557 | ||||||
Deyaar Development PJSCa | 10,624,125 | 1,721,267 | ||||||
DP World Ltd. | 811,876 | 17,187,415 | ||||||
Dubai Islamic Bank PJSC | 5,989,394 | 10,192,978 | ||||||
DXB Entertainments PJSCa | 15,635,003 | 4,597,904 | ||||||
Emaar Malls PJSC | 8,863,902 | 6,323,601 | ||||||
Emaar Properties PJSC | 16,713,707 | 33,905,274 | ||||||
Emirates Telecommunications Group Co. PJSC | 8,365,694 | 40,091,549 | ||||||
Eshraq Properties Co. PJSCa | 7,295,309 | 2,324,169 | ||||||
First Gulf Bank PJSC | 4,378,007 | 16,272,238 | ||||||
National Bank of Abu Dhabi PJSC | 3,464,285 | 9,904,695 | ||||||
Orascom Construction Ltd.a | 391,939 | 2,092,954 | ||||||
|
| |||||||
189,100,402 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $21,382,804,906) |
| 22,634,187,816 | ||||||
PREFERRED STOCKS — 4.12% |
| |||||||
BRAZIL — 3.15% | ||||||||
Alpargatas SA | 783,800 | 2,977,986 | ||||||
Banco ABC Brasil SA | 458,475 | 2,682,175 | ||||||
Banco ABC Brasil SA New | 17,559 | 104,981 | ||||||
Banco Bradesco SA | 13,205,284 | 141,858,114 |
Security | Shares | Value | ||||||
Banco do Estado do Rio Grande do Sul SA Class B | 911,100 | $ | 4,867,400 | |||||
Bradespar SA | 1,120,700 | 8,447,578 | ||||||
Braskem SA Class A | 754,400 | 7,839,843 | ||||||
Centrais Eletricas Brasileiras SA Class B | 1,032,700 | 8,165,998 | ||||||
Cia. Brasileira de Distribuicao | 734,500 | 13,563,814 | ||||||
Cia. de Saneamento do Parana | 1,383,600 | 6,404,320 | ||||||
Cia. Energetica de Minas Gerais | 3,529,120 | 12,126,741 | ||||||
Cia. Energetica de Sao Paulo Class B | 935,100 | 5,371,339 | ||||||
Cia. Energetica do Ceara Class A | 79,500 | 1,194,672 | ||||||
Cia. Paranaense de Energia Class B | 478,700 | 5,185,532 | ||||||
Eletropaulo Metropolitana Eletricidade de Sao Paulo SA | 478,900 | 1,928,839 | ||||||
Gerdau SA | 4,313,300 | 17,954,752 | ||||||
Itau Unibanco Holding SA | 15,430,313 | 198,545,622 | ||||||
Itausa-Investimentos Itau SA | 18,554,145 | 59,879,015 | ||||||
Lojas Americanas SA | 2,699,310 | 14,229,728 | ||||||
Marcopolo SA | 2,793,300 | 2,478,145 | ||||||
Metalurgica Gerdau SA | 2,930,900 | 5,520,757 | ||||||
Petroleo Brasileiro SA | 18,656,900 | 91,035,597 | ||||||
Suzano Papel e Celulose SA Class A | 2,001,900 | 8,654,952 | ||||||
Telefonica Brasil SA | 2,104,700 | 31,059,716 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A | 1,954,400 | 3,097,137 | ||||||
Vale SA | 9,160,500 | 92,782,821 | ||||||
|
| |||||||
747,957,574 | ||||||||
CHILE — 0.08% |
| |||||||
Embotelladora Andina SA Class B | 1,226,688 | 4,695,548 | ||||||
Sociedad Quimica y Minera de Chile SA Series B | 461,899 | 14,511,971 | ||||||
|
| |||||||
19,207,519 | ||||||||
COLOMBIA — 0.14% |
| |||||||
Avianca Holdings SA | 2,234,056 | 2,144,345 | ||||||
Bancolombia SA | 2,142,614 | 20,015,865 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Grupo Aval Acciones y Valores SA | 17,922,329 | $ | 6,960,783 | |||||
Grupo de Inversiones Suramericana SA | 406,416 | 4,937,043 | ||||||
|
| |||||||
34,058,036 | ||||||||
RUSSIA — 0.11% |
| |||||||
Surgutneftegas OJSC | 36,756,700 | 20,052,683 | ||||||
Transneft PJSC | 2,068 | 6,424,871 | ||||||
|
| |||||||
26,477,554 | ||||||||
SOUTH KOREA — 0.64% |
| |||||||
AmorePacific Corp. | 45,177 | 6,692,149 | ||||||
Hyundai Motor Co. | 96,844 | 8,384,725 | ||||||
Hyundai Motor Co. Series 2 | 169,757 | 15,313,035 | ||||||
LG Chem Ltd. | 35,004 | 5,494,769 | ||||||
LG Household & Health Care Ltd. | 10,699 | 5,374,337 | ||||||
Samsung Electronics Co. Ltd. | 83,296 | 110,201,915 | ||||||
|
| |||||||
151,460,930 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $811,284,061) |
| 979,161,613 | ||||||
WARRANTS — 0.00% |
| |||||||
BRAZIL — 0.00% | ||||||||
Iochpe Maxion SA (Expires 04/01/19)a | 12,350 | 6,550 | ||||||
|
| |||||||
6,550 | ||||||||
|
| |||||||
TOTAL WARRANTS |
| |||||||
(Cost: $0) |
| 6,550 | ||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.00% | ||||||||
Itausa – Investimentos Itau SAa | 299,343 | 379,110 | ||||||
|
| |||||||
379,110 | ||||||||
INDIA — 0.00% |
| |||||||
Canara Bank Ltd.a | 70,021 | 92,933 | ||||||
|
| |||||||
92,933 | ||||||||
MALAYSIA — 0.00% |
| |||||||
IOI Properties Group Bhda | 2,268,168 | 372,920 | ||||||
|
| |||||||
372,920 | ||||||||
SOUTH KOREA — 0.01% |
| |||||||
Korean Air Lines Co. Ltd.a | 35,607 | 255,067 |
Security | Shares | Value | ||||||
Samsung Securities Co. Ltd.a | 26,870 | $ | 162,776 | |||||
|
| |||||||
417,843 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 1,262,806 | ||||||
SHORT-TERM INVESTMENTS — 5.43% |
| |||||||
MONEY MARKET FUNDS — 5.43% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 1,262,037,322 | 1,262,542,136 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 26,850,691 | 26,850,691 | ||||||
|
| |||||||
1,289,392,827 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,288,967,800) |
| 1,289,392,827 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $23,483,056,767)h |
| 24,904,011,612 | ||||||
Other Assets, Less Liabilities — (4.91)% |
| (1,166,348,795 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 23,737,662,817 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $23,997,898,485. Net unrealized appreciation was $906,113,127, of which $2,387,685,048 represented gross unrealized appreciation on securities and $1,481,571,921 represented gross unrealized depreciation on securities. |
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2017
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
MSCI Emerging Markets E-Mini | 2,192 | Mar. 2017 | ICE Futures U.S. | $ | 96,534,861 | $ | 102,015,680 | $ | 5,480,819 | |||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 22,619,193,642 | $ | 11,963,606 | $ | 3,030,568 | $ | 22,634,187,816 | ||||||||
Preferred stocks | 979,161,613 | — | — | 979,161,613 | ||||||||||||
Warrants | 6,550 | — | — | 6,550 | ||||||||||||
Rights | — | 1,262,806 | — | 1,262,806 | ||||||||||||
Money market funds | 1,289,392,827 | — | — | 1,289,392,827 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 24,887,754,632 | $ | 13,226,412 | $ | 3,030,568 | $ | 24,904,011,612 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Futures contracts | $ | 5,480,819 | $ | — | $ | — | $ | 5,480,819 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 5,480,819 | $ | — | $ | — | $ | 5,480,819 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to consolidated financial statements.
CONSOLIDATED SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 92.01% |
| |||||||
BRAZIL — 9.88% |
| |||||||
AES Tiete Energia SA | 10,500 | $ | 54,238 | |||||
Ambev SA | 430,565 | 2,469,071 | ||||||
Banco Bradesco SA | 66,326 | 695,666 | ||||||
Banco do Brasil SA | 73,589 | 782,962 | ||||||
Banco Santander Brasil SA Units | 42,000 | 463,877 | ||||||
BB Seguridade Participacoes SA | 63,000 | 579,576 | ||||||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 168,069 | 1,027,539 | ||||||
BR Malls Participacoes SAa | 54,820 | 262,910 | ||||||
BRF SA | 52,500 | 685,487 | ||||||
CCR SA | 115,500 | 671,615 | ||||||
Centrais Eletricas Brasileiras SAa | 21,000 | 145,063 | ||||||
CETIP SA – Mercados Organizados | 21,560 | 324,682 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 31,500 | 332,922 | ||||||
Cia. Siderurgica Nacional SAa | 52,500 | 202,170 | ||||||
Cielo SA | 90,401 | 792,716 | ||||||
Cosan SA Industria e Comercio | 10,500 | 134,667 | ||||||
CPFL Energia SA | 12,554 | 103,063 | ||||||
Duratex SA | 31,548 | 85,588 | ||||||
EDP – Energias do Brasil SA | 31,500 | 139,021 | ||||||
Embraer SA | 63,000 | 363,095 | ||||||
Engie Brasil Energia SA | 21,000 | 249,624 | ||||||
Equatorial Energia SA | 21,000 | 401,774 | ||||||
Fibria Celulose SA | 21,041 | 179,772 | ||||||
Hypermarcas SA | 31,500 | 274,296 | ||||||
JBS SA | 63,052 | 237,129 | ||||||
Klabin SA Units | 52,500 | 261,572 | ||||||
Kroton Educacional SA | 126,064 | 553,936 | ||||||
Localiza Rent A Car SA | 10,560 | 130,787 | ||||||
Lojas Americanas SA | 10,500 | 45,227 | ||||||
Lojas Renner SA | 63,000 | 517,406 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 10,500 | 216,987 | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 510 | 10,803 | ||||||
Natura Cosmeticos SA | 10,500 | 86,471 | ||||||
Odontoprev SA | 21,000 | 80,665 | ||||||
Petroleo Brasileiro SAa | 273,000 | 1,400,540 | ||||||
Porto Seguro SA | 10,500 | 97,541 | ||||||
Qualicorp SA | 21,000 | 133,047 | ||||||
Raia Drogasil SA | 21,050 | 401,919 |
Security | Shares | Value | ||||||
Rumo Logistica Operadora Multimodal SAa | 73,500 | $ | 202,710 | |||||
Sul America SA | 21,072 | 131,539 | ||||||
TIM Participacoes SA | 84,069 | 263,746 | ||||||
Ultrapar Participacoes SA | 31,500 | 662,199 | ||||||
Vale SA | 115,500 | 1,214,773 | ||||||
WEG SA | 52,940 | 288,949 | ||||||
|
| |||||||
18,359,340 | ||||||||
CHINA — 56.65% |
| |||||||
3SBio Inc.a,b,c | 105,000 | 127,827 | ||||||
58.com Inc. ADRa | 7,423 | 271,682 | ||||||
AAC Technologies Holdings Inc. | 52,500 | 552,902 | ||||||
Agricultural Bank of China Ltd. Class H | 2,205,000 | 1,016,934 | ||||||
Air China Ltd. Class H | 210,000 | 162,049 | ||||||
Alibaba Group Holding Ltd. ADRa,c | 102,480 | 10,545,192 | ||||||
Alibaba Health Information Technology Ltd.a | 288,000 | 126,517 | ||||||
Alibaba Pictures Group Ltd.a | 1,050,000 | 175,846 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 420,000 | 209,393 | ||||||
Anhui Conch Cement Co. Ltd. Class Hc | 105,000 | 365,896 | ||||||
ANTA Sports Products Ltd.c | 105,040 | 317,997 | ||||||
AviChina Industry & Technology Co. Ltd. Class H | 210,000 | 152,851 | ||||||
Baidu Inc.a | 24,780 | 4,314,941 | ||||||
Bank of China Ltd. Class H | 7,245,000 | 3,668,024 | ||||||
Bank of Communications Co. Ltd. Class H | 840,200 | 670,000 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 210,000 | 225,084 | ||||||
Beijing Enterprises Holdings Ltd. | 52,500 | 274,591 | ||||||
Beijing Enterprises Water Group Ltd. | 420,000 | 300,292 | ||||||
Belle International Holdings Ltd. | 525,000 | 361,838 | ||||||
Brilliance China Automotive Holdings Ltd. | 210,000 | 330,050 | ||||||
Byd Co. Ltd. Class Hc | 52,500 | 308,746 | ||||||
CGN Power Co. Ltd. Class Hb | 945,000 | 287,306 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 735,000 | 289,741 | ||||||
China CITIC Bank Corp. Ltd. Class H | 840,000 | 576,777 |
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2017
Security | Shares | Value | ||||||
China Coal Energy Co. Ltd. Class Ha | 210,000 | $ | 111,189 | |||||
China Communications Construction Co. Ltd. Class H | 430,000 | 555,057 | ||||||
China Communications Services Corp. Ltd. Class H | 210,800 | 140,942 | ||||||
China Conch Venture Holdings Ltd. | 105,000 | 208,040 | ||||||
China Construction Bank Corp. Class H | 7,665,370 | 6,310,084 | ||||||
China Everbright Bank Co. Ltd. Class H | 324,000 | 164,036 | ||||||
China Everbright International Ltd. | 210,000 | 272,156 | ||||||
China Evergrande Groupc | 420,000 | 315,442 | ||||||
China Galaxy Securities Co. Ltd. Class H | 262,500 | 257,345 | ||||||
China Gas Holdings Ltd. | 210,000 | 311,654 | ||||||
China Huarong Asset Management Co. Ltd. Class Ha,b | 525,000 | 207,634 | ||||||
China Huishan Dairy Holdings Co. Ltd.c | 315,000 | 115,247 | ||||||
China Jinmao Holdings Group Ltd.c | 246,000 | 76,375 | ||||||
China Life Insurance Co. Ltd. Class H | 630,000 | 1,919,433 | ||||||
China Longyuan Power Group Corp. Ltd. | 315,000 | 270,263 | ||||||
China Medical System Holdings Ltd. | 105,000 | 170,977 | ||||||
China Mengniu Dairy Co. Ltd. | 210,000 | 413,916 | ||||||
China Merchants Bank Co. Ltd. Class H | 367,956 | 978,852 | ||||||
China Merchants Port Holdings Co. Ltd. | 210,000 | 585,704 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 525,000 | 599,231 | ||||||
China Mobile Ltd. | 577,500 | 6,368,350 | ||||||
China National Building Material Co. Ltd. Class H | 210,000 | 153,122 | ||||||
China Oilfield Services Ltd. Class H | 210,000 | 209,393 | ||||||
China Overseas Land & Investment Ltd. | 420,800 | 1,295,612 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 231,000 | 846,633 |
Security | Shares | Value | ||||||
China Petroleum & Chemical Corp. Class H | 2,310,600 | $ | 1,791,936 | |||||
China Power International Development Ltd. | 315,000 | 122,146 | ||||||
China Railway Construction Corp. Ltd. Class H | 169,500 | 239,758 | ||||||
China Railway Group Ltd. Class H | 315,000 | 275,538 | ||||||
China Resources Beer Holdings Co. Ltd.a | 210,000 | 476,679 | ||||||
China Resources Gas Group Ltd.c | 89,000 | 271,731 | ||||||
China Resources Land Ltd. | 238,444 | 651,214 | ||||||
China Resources Power Holdings Co. Ltd. | 210,200 | 380,732 | ||||||
China Shenhua Energy Co. Ltd. Class H | 315,000 | 659,019 | ||||||
China Southern Airlines Co. Ltd. Class H | 210,000 | 136,619 | ||||||
China State Construction International Holdings Ltd. | 210,000 | 343,577 | ||||||
China Taiping Insurance Holdings Co. Ltd.a | 147,040 | 344,374 | ||||||
China Telecom Corp. Ltd. Class H | 1,260,000 | 592,468 | ||||||
China Unicom Hong Kong Ltd. | 421,900 | 513,077 | ||||||
China Vanke Co. Ltd. Class H | 115,501 | 290,149 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 78,200 | 110,413 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 210,000 | 147,441 | ||||||
CITIC Ltd. | 420,000 | 602,748 | ||||||
CITIC Securities Co. Ltd. Class H | 210,000 | 449,085 | ||||||
CNOOC Ltd. | 1,575,000 | 1,862,621 | ||||||
COSCO SHIPPING Ports Ltd. | 210,000 | 234,011 | ||||||
Country Garden Holdings Co. Ltd.c | 525,046 | 376,074 | ||||||
CRRC Corp. Ltd. Class H | 390,400 | 374,686 | ||||||
CSPC Pharmaceutical Group Ltd. | 420,000 | 514,013 | ||||||
Ctrip.com International Ltd.a | 34,230 | 1,623,871 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 210,000 | 249,161 | ||||||
ENN Energy Holdings Ltd. | 74,000 | 357,490 | ||||||
Far East Horizon Ltd. | 210,000 | 202,088 | ||||||
Fosun International Ltd. | 210,000 | 330,050 | ||||||
Fullshare Holdings Ltd.c | 525,000 | 203,576 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 42,000 | 130,938 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 43 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2017
Security | Shares | Value | ||||||
GCL-Poly Energy Holdings Ltd.a,c | 1,155,000 | $ | 157,721 | |||||
Geely Automobile Holdings Ltd. | 525,000 | 714,207 | ||||||
GF Securities Co. Ltd. Class H | 126,000 | 277,567 | ||||||
GOME Electrical Appliances Holding Ltd.c | 1,086,400 | 151,152 | ||||||
Great Wall Motor Co. Ltd. Class H | 262,500 | 322,611 | ||||||
Guangdong Investment Ltd. | 210,000 | 286,224 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 210,454 | 352,996 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 84,000 | 116,005 | ||||||
Haier Electronics Group Co. Ltd. | 125,000 | 229,953 | ||||||
Haitong Securities Co. Ltd. Class H | 294,000 | 538,577 | ||||||
Hanergy Thin Film Power Group Ltd.a | 7,709 | — | ||||||
Hengan International Group Co. Ltd. | 52,500 | 448,409 | ||||||
HengTen Networks Group Ltd.a | 1,680,000 | 41,337 | ||||||
Huaneng Power International Inc. Class H | 420,000 | 286,224 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 420,000 | 142,841 | ||||||
Huatai Securities Co. Ltd. Class Hb | 126,000 | 257,115 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 6,720,050 | 4,406,477 | ||||||
JD.com Inc. ADRa,c | 60,795 | 1,858,503 | ||||||
Jiangxi Copper Co. Ltd. Class H | 105,000 | 176,929 | ||||||
Kingsoft Corp. Ltd. | 105,000 | 231,035 | ||||||
Kunlun Energy Co. Ltd. | 210,000 | 182,610 | ||||||
Lenovo Group Ltd. | 630,000 | 378,205 | ||||||
Longfor Properties Co. Ltd. | 105,000 | 168,001 | ||||||
Netease Inc. | 7,350 | 2,242,191 | ||||||
New China Life Insurance Co. Ltd. Class H | 63,000 | 310,437 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 12,390 | 599,800 | ||||||
Nine Dragons Paper (Holdings) Ltd. | 105,000 | 133,238 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 630,000 | 258,900 | ||||||
PetroChina Co. Ltd. Class H | 1,890,000 | 1,438,966 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 421,548 | 644,070 |
Security | Shares | Value | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 472,500 | $ | 2,520,016 | |||||
Qunar Cayman Islands Ltd. ADRa,c | 3,360 | 102,178 | ||||||
Semiconductor Manufacturing International Corp.a,c | 238,200 | 309,930 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 184,000 | 110,697 | ||||||
Shanghai Electric Group Co. Ltd. Class Ha | 214,000 | 110,826 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 56,000 | 192,620 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 79,871 | 117,810 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 63,000 | 162,320 | ||||||
Shenzhou International Group Holdings Ltd. | 55,000 | 328,762 | ||||||
Shimao Property Holdings Ltd. | 105,000 | 150,687 | ||||||
SINA Corp./Chinaa | 5,145 | 357,732 | ||||||
Sino Biopharmaceutical Ltd. | 420,000 | 362,514 | ||||||
Sino-Ocean Group Holding Ltd. | 262,500 | 130,532 | ||||||
Sinopec Engineering Group Co. Ltd. Class H | 105,000 | 95,363 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 211,000 | 127,756 | ||||||
Sinopharm Group Co. Ltd. Class H | 126,000 | 582,728 | ||||||
Sinotrans Ltd. Class H | 210,000 | 95,228 | ||||||
SOHO China Ltd. | 210,000 | 108,754 | ||||||
Sun Art Retail Group Ltd. | 210,000 | 202,359 | ||||||
Sunac China Holdings Ltd. | 210,000 | 218,320 | ||||||
Sunny Optical Technology Group Co. Ltd. | 105,000 | 675,656 | ||||||
TAL Education Group Class A ADRa | 3,885 | 335,936 | ||||||
Tencent Holdings Ltd. | 514,500 | 13,720,088 | ||||||
Tingyi Cayman Islands Holding Corp. | 210,000 | 235,364 | ||||||
TravelSky Technology Ltd. Class H | 105,000 | 229,142 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 40,000 | 183,962 | ||||||
Vipshop Holdings Ltd. ADRa | 37,275 | 484,948 |
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2017
Security | Shares | Value | ||||||
Want Want China Holdings Ltd.c | 525,000 | $ | 338,166 | |||||
Weibo Corp. ADRa,c | 2,730 | 137,920 | ||||||
Weichai Power Co. Ltd. Class H | 40,550 | 71,358 | ||||||
Yanzhou Coal Mining Co. Ltd. Class Hc | 210,000 | 168,813 | ||||||
Yum China Holdings Inc.a | 33,180 | 882,256 | ||||||
YY Inc. ADRa | 2,730 | 120,912 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 58,500 | 315,016 | ||||||
Zijin Mining Group Co. Ltd. Class H | 451,000 | 170,234 | ||||||
ZTE Corp. Class H | 63,048 | 102,664 | ||||||
|
| |||||||
105,258,314 | ||||||||
INDIA — 17.92% |
| |||||||
ACC Ltd. | 4,830 | 102,183 | ||||||
Adani Ports & Special Economic Zone Ltd. | 75,077 | 339,552 | ||||||
Ambuja Cements Ltd. | 54,075 | 185,886 | ||||||
Apollo Hospitals Enterprise Ltd. | 6,300 | 122,910 | ||||||
Ashok Leyland Ltd. | 97,672 | 132,706 | ||||||
Asian Paints Ltd. | 26,565 | 407,800 | ||||||
Aurobindo Pharma Ltd. | 24,047 | 244,079 | ||||||
Axis Bank Ltd. | 150,675 | 1,144,198 | ||||||
Bajaj Auto Ltd. | 8,085 | 333,961 | ||||||
Bajaj Finance Ltd. | 14,700 | 244,167 | ||||||
Bajaj Finserv Ltd. | 3,255 | 190,959 | ||||||
Bharat Forge Ltd. | 9,030 | 142,578 | ||||||
Bharat Heavy Electricals Ltd. | 50,610 | 123,228 | ||||||
Bharat Petroleum Corp. Ltd. | 45,360 | 455,546 | ||||||
Bharti Airtel Ltd. | 90,720 | 496,508 | ||||||
Bharti Infratel Ltd. | 50,746 | 216,199 | ||||||
Bosch Ltd. | 735 | 237,770 | ||||||
Cadila Healthcare Ltd. | 17,115 | 112,935 | ||||||
Cairn India Ltd. | 39,270 | 167,218 | ||||||
Cipla Ltd. | 30,555 | 267,315 | ||||||
Coal India Ltd. | 64,123 | 309,376 | ||||||
Container Corp. of India Ltd. | 2,861 | 52,140 | ||||||
Dabur India Ltd. | 49,140 | 203,944 | ||||||
Divi’s Laboratories Ltd. | 7,350 | 83,598 | ||||||
Dr. Reddy’s Laboratories Ltd. | 10,398 | 444,160 | ||||||
Eicher Motors Ltd. | 1,260 | 455,703 | ||||||
GAIL (India) Ltd. | 26,985 | 209,065 | ||||||
Glenmark Pharmaceuticals Ltd. | 12,390 | 171,870 | ||||||
Godrej Consumer Products Ltd. | 11,445 | 282,854 | ||||||
Grasim Industries Ltd. | 15,750 | 233,752 |
Security | Shares | Value | ||||||
Havells India Ltd. | 21,210 | $ | 129,100 | |||||
HCL Technologies Ltd. | 51,450 | 647,841 | ||||||
Hero Motocorp Ltd. | 4,830 | 227,178 | ||||||
Hindalco Industries Ltd. | 104,581 | 288,967 | ||||||
Hindustan Petroleum Corp. Ltd. | 36,225 | 291,972 | ||||||
Hindustan Unilever Ltd. | 59,955 | 778,118 | ||||||
Housing Development Finance Corp. Ltd. | 136,395 | 2,800,831 | ||||||
ICICI Bank Ltd. | 97,650 | 404,468 | ||||||
Idea Cellular Ltd. | 113,190 | 196,542 | ||||||
IDFC Bank Ltd. | 121,380 | 113,705 | ||||||
Indiabulls Housing Finance Ltd. | 27,405 | 357,890 | ||||||
Infosys Ltd. | 167,370 | 2,539,697 | ||||||
ITC Ltd. | 309,330 | 1,215,645 | ||||||
JSW Steel Ltd. | 77,700 | 217,720 | ||||||
Larsen & Toubro Ltd. | 29,400 | 647,411 | ||||||
LIC Housing Finance Ltd. | 26,880 | 225,938 | ||||||
Lupin Ltd. | 19,845 | 438,460 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 25,709 | 112,383 | ||||||
Mahindra & Mahindra Ltd. | 34,794 | 684,290 | ||||||
Marico Ltd. | 44,100 | 185,869 | ||||||
Maruti Suzuki India Ltd. | 9,660 | 857,500 | ||||||
Motherson Sumi Systems Ltd. | 35,805 | 187,937 | ||||||
Nestle India Ltd. | 2,205 | 206,698 | ||||||
NTPC Ltd. | 149,310 | 364,666 | ||||||
Oil & Natural Gas Corp. Ltd. | 115,717 | 335,693 | ||||||
Piramal Enterprises Ltd. | 6,930 | 191,617 | ||||||
Power Finance Corp. Ltd. | 63,218 | 128,864 | ||||||
Reliance Industries Ltd. | 117,915 | 2,188,061 | ||||||
Shree Cement Ltd. | 840 | 202,843 | ||||||
Shriram Transport Finance Co. Ltd. | 12,964 | 180,551 | ||||||
Siemens Ltd. | 7,143 | 129,261 | ||||||
State Bank of India | 139,975 | 564,778 | ||||||
Sun Pharmaceuticals Industries Ltd. | 88,095 | 896,547 | ||||||
Tata Consultancy Services Ltd. | 42,840 | 1,583,575 | ||||||
Tata Motors Ltd. | 143,854 | 984,810 | ||||||
Tata Motors Ltd. Class A | 34,150 | 141,271 | ||||||
Tata Power Co. Ltd. | 97,023 | 120,118 | ||||||
Tata Steel Ltd. | 25,200 | 182,318 | ||||||
Tech Mahindra Ltd. | 37,275 | 279,009 | ||||||
Titan Co. Ltd. | 25,935 | 169,949 | ||||||
Ultratech Cement Ltd. | 7,770 | 439,580 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 45 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2017
Security | Shares | Value | ||||||
United Spirits Ltd.a | 6,195 | $ | 217,748 | |||||
UPL Ltd. | 32,235 | 347,045 | ||||||
Vedanta Ltd. | 94,185 | 365,764 | ||||||
Wipro Ltd. | 53,763 | 393,883 | ||||||
Yes Bank Ltd. | 27,825 | 605,847 | ||||||
Zee Entertainment Enterprises Ltd. | 54,285 | 414,509 | ||||||
|
| |||||||
33,298,627 | ||||||||
RUSSIA — 7.56% |
| |||||||
Alrosa PJSC | 220,500 | 349,034 | ||||||
Gazprom PJSC | 664,654 | 1,501,709 | ||||||
Gazprom PJSC ADR | 158,550 | 707,212 | ||||||
Inter RAO UES PJSC | 2,730,000 | 185,445 | ||||||
Lukoil PJSC | 19,530 | 1,031,875 | ||||||
Lukoil PJSC ADR | 19,635 | 1,040,655 | ||||||
Magnit PJSC GDRd | 28,245 | 1,029,813 | ||||||
MMC Norilsk Nickel PJSC | 5,040 | 800,035 | ||||||
Mobile TeleSystems PJSC ADR | 45,885 | 471,239 | ||||||
Moscow Exchange MICEX-RTS PJSC | 127,050 | 269,857 | ||||||
Novatek PJSC GDRd | 8,400 | 1,087,800 | ||||||
PhosAgro PJSC GDRd | 8,715 | 120,267 | ||||||
Rosneft Oil Co. PJSC | 97,602 | 556,020 | ||||||
Rostelecom PJSC | 83,590 | 112,433 | ||||||
RusHydro PJSC | 9,450,200 | 155,557 | ||||||
Sberbank of Russia PJSC | 878,900 | 2,352,006 | ||||||
Sberbank of Russia PJSC ADR | 25,725 | 280,660 | ||||||
Severstal PJSC | 18,900 | 270,225 | ||||||
Sistema PJSC FC GDRd | 15,330 | 136,590 | ||||||
Surgutneftegas OJSC | 357,010 | 177,844 | ||||||
Surgutneftegas OJSC ADR | 31,185 | 157,172 | ||||||
Tatneft PJSC Class S | 132,303 | 771,591 | ||||||
VTB Bank PJSC | 434,186,001 | 494,249 | ||||||
|
| |||||||
14,059,288 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $162,698,665) | 170,975,569 | |||||||
PREFERRED STOCKS — 7.72% |
| |||||||
BRAZIL — 7.28% |
| |||||||
Banco Bradesco SA | 262,585 | 2,820,826 | ||||||
Braskem SA Class A | 10,500 | 109,118 | ||||||
Centrais Eletricas Brasileiras SA Class B | 21,082 | 166,704 | ||||||
Cia. Brasileira de Distribuicao | 10,556 | 194,935 |
Security | Shares | Value | ||||||
Cia. Energetica de Minas Gerais | 63,032 | $ | 216,590 | |||||
Cia. Paranaense de Energia Class B | 10,500 | 113,742 | ||||||
Gerdau SA | 84,000 | 349,662 | ||||||
Itau Unibanco Holding SA | 290,071 | 3,732,415 | ||||||
Itausa-Investimentos Itau SA | 367,589 | 1,186,305 | ||||||
Lojas Americanas SA | 63,104 | 332,660 | ||||||
Petroleo Brasileiro SA | 357,014 | 1,742,035 | ||||||
Suzano Papel e Celulose SA Class A | 31,500 | 136,186 | ||||||
Telefonica Brasil SA | 42,064 | 620,752 | ||||||
Vale SA | 178,500 | 1,807,951 | ||||||
|
| |||||||
13,529,881 | ||||||||
RUSSIA — 0.44% |
| |||||||
Surgutneftegas OJSC | 651,000 | 355,154 | ||||||
Transneft PJSC | 147 | 456,700 | ||||||
|
| |||||||
811,854 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $12,962,326) | 14,341,735 | |||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.01% |
| |||||||
Itausa – Investimentos Itau SAa | 5,793 | 7,337 | ||||||
|
| |||||||
7,337 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) | 7,337 | |||||||
SHORT-TERM INVESTMENTS — 8.08% |
| |||||||
MONEY MARKET FUNDS — 8.08% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 15,011,865 | 15,017,870 | ||||||
|
| |||||||
15,017,870 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $15,014,098) | 15,017,870 | |||||||
|
|
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $190,675,089)h | $ | 200,342,511 | ||||||
Other Assets, Less Liabilities — (7.82)% |
| (14,525,876 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 185,816,635 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. See Note 1. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $198,733,100. Net unrealized appreciation was $1,609,411, of which $33,620,749 represented gross unrealized appreciation on securities and $32,011,338 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 170,975,569 | $ | — | $ | 0 | a | $ | 170,975,569 | |||||||
Preferred stocks | 14,341,735 | — | — | 14,341,735 | ||||||||||||
Rights | — | 7,337 | — | 7,337 | ||||||||||||
Money market funds | 15,017,870 | — | — | 15,017,870 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 200,335,174 | $ | 7,337 | $ | 0 | a | $ | 200,342,511 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to consolidated financial statements.
CONSOLIDATED SCHEDULESOF INVESTMENTS | 47 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 98.53% |
| |||||||
CHINA — 37.90% |
| |||||||
3SBio Inc.a,b,c | 101,500 | $ | 123,566 | |||||
58.com Inc. ADRa | 8,467 | 309,892 | ||||||
AAC Technologies Holdings Inc. | 73,500 | 774,063 | ||||||
Agricultural Bank of China Ltd. Class H | 2,458,000 | 1,133,616 | ||||||
Air China Ltd. Class H | 182,000 | 140,443 | ||||||
Alibaba Group Holding Ltd. ADRa | 112,026 | 11,527,475 | ||||||
Alibaba Health Information Technology Ltd.a,c | 324,000 | 142,331 | ||||||
Alibaba Pictures Group Ltd.a,c | 1,130,000 | 189,244 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 372,000 | 185,462 | ||||||
Anhui Conch Cement Co. Ltd. Class Hc | 123,500 | 430,363 | ||||||
ANTA Sports Products Ltd.c | 100,000 | 302,739 | ||||||
AviChina Industry & Technology Co. Ltd. Class H | 212,000 | 154,307 | ||||||
Baidu Inc.a | 27,164 | 4,730,067 | ||||||
Bank of China Ltd. Class H | 7,896,000 | 3,997,614 | ||||||
Bank of Communications Co. Ltd. Class H | 874,000 | 696,953 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 150,000 | 160,774 | ||||||
Beijing Enterprises Holdings Ltd. | 50,500 | 264,131 | ||||||
Beijing Enterprises Water Group Ltd.c | 434,000 | 310,302 | ||||||
Belle International Holdings Ltd. | 632,000 | 435,584 | ||||||
Brilliance China Automotive Holdings Ltd. | 302,000 | 474,644 | ||||||
Byd Co. Ltd. Class Hc | 64,000 | 376,376 | ||||||
CGN Power Co. Ltd. Class Hb | 1,060,000 | 322,269 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 883,000 | 348,083 | ||||||
China CITIC Bank Corp. Ltd. Class H | 894,000 | 613,855 | ||||||
China Coal Energy Co. Ltd. Class Ha | 205,000 | 108,542 | ||||||
China Communications Construction Co. Ltd. Class H | 442,000 | 570,547 | ||||||
China Communications Services Corp. Ltd. Class H | 238,000 | 159,128 | ||||||
China Conch Venture Holdings Ltd. | 135,500 | 268,471 |
Security | Shares | Value | ||||||
China Construction Bank Corp. Class H | 8,381,000 | $ | 6,899,186 | |||||
China Everbright Bank Co. Ltd. Class H | 307,000 | 155,429 | ||||||
China Everbright International Ltd.c | 246,000 | 318,812 | ||||||
China Everbright Ltd. | 92,000 | 182,520 | ||||||
China Evergrande Groupc | 411,000 | 308,682 | ||||||
China Galaxy Securities Co. Ltd. Class H | 295,000 | 289,206 | ||||||
China Gas Holdings Ltd. | 172,000 | 255,260 | ||||||
China Huarong Asset Management Co. Ltd. Class Ha,b | 587,000 | 232,155 | ||||||
China Huishan Dairy Holdings Co. Ltd.c | 404,000 | 147,809 | ||||||
China Jinmao Holdings Group Ltd.c | 370,000 | 114,874 | ||||||
China Life Insurance Co. Ltd. Class H | 743,000 | 2,263,712 | ||||||
China Longyuan Power Group Corp. Ltd. | 317,000 | 271,979 | ||||||
China Medical System Holdings Ltd.c | 124,000 | 201,916 | ||||||
China Mengniu Dairy Co. Ltd. | 274,000 | 540,061 | ||||||
China Merchants Bank Co. Ltd. Class H | 389,831 | 1,037,045 | ||||||
China Merchants Port Holdings Co. Ltd. | 130,000 | 362,579 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 587,800 | 670,910 | ||||||
China Mobile Ltd. | 612,500 | 6,754,311 | ||||||
China National Building Material Co. Ltd. Class H | 288,000 | 209,996 | ||||||
China Oilfield Services Ltd. Class H | 180,000 | 179,479 | ||||||
China Overseas Land & Investment Ltd. | 384,000 | 1,182,307 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 263,200 | 964,649 | ||||||
China Petroleum & Chemical Corp. Class H | 2,548,600 | 1,976,512 | ||||||
China Power International Development Ltd. | 333,000 | 129,125 | ||||||
China Railway Construction Corp. Ltd. Class H | 197,000 | 278,657 | ||||||
China Railway Group Ltd. Class H | 399,000 | 349,015 | ||||||
China Resources Beer Holdings Co. Ltd.a | 162,000 | 367,724 |
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
China Resources Gas Group Ltd. | 88,000 | $ | 268,678 | |||||
China Resources Land Ltd. | 277,777 | 758,636 | ||||||
China Resources Power Holdings Co. Ltd. | 192,000 | 347,766 | ||||||
China Shenhua Energy Co. Ltd. Class H | 339,500 | 710,276 | ||||||
China Southern Airlines Co. Ltd. Class H | 182,000 | 118,403 | ||||||
China State Construction International Holdings Ltd. | 180,000 | 294,495 | ||||||
China Taiping Insurance Holdings Co. Ltd.a | 161,500 | 378,240 | ||||||
China Telecom Corp. Ltd. Class H | 1,388,000 | 652,655 | ||||||
China Unicom Hong Kong Ltd. | 600,000 | 729,667 | ||||||
China Vanke Co. Ltd. Class H | 131,400 | 330,089 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 84,600 | 119,449 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 251,000 | 176,227 | ||||||
CITIC Ltd. | 436,000 | 625,710 | ||||||
CITIC Securities Co. Ltd. Class H | 216,000 | 461,916 | ||||||
CNOOC Ltd. | 1,785,000 | 2,110,970 | ||||||
COSCO SHIPPING Ports Ltd. | 164,000 | 182,752 | ||||||
Country Garden Holdings Co. Ltd.c | 539,828 | 386,662 | ||||||
CRRC Corp. Ltd. Class H | 414,750 | 398,056 | ||||||
CSPC Pharmaceutical Group Ltd. | 424,000 | 518,908 | ||||||
Ctrip.com International Ltd.a | 37,345 | 1,771,647 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 272,000 | 322,723 | ||||||
ENN Energy Holdings Ltd. | 76,000 | 367,152 | ||||||
Far East Horizon Ltd. | 197,000 | 189,578 | ||||||
Fosun International Ltd.c | 258,500 | 406,276 | ||||||
Fullshare Holdings Ltd.c | 680,000 | 263,680 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 47,600 | 148,396 | ||||||
GCL-Poly Energy Holdings Ltd.a,c | 1,300,000 | 177,521 | ||||||
Geely Automobile Holdings Ltd.c | 530,000 | 721,009 | ||||||
GF Securities Co. Ltd. Class H | 135,800 | 299,156 | ||||||
GOME Electrical Appliances Holding Ltd.c | 1,206,000 | 167,792 | ||||||
Great Wall Motor Co. Ltd. Class H | 310,000 | 380,988 | ||||||
Guangdong Investment Ltd. | 282,000 | 384,358 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 202,000 | 338,816 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 96,800 | 133,681 |
Security | Shares | Value | ||||||
Haier Electronics Group Co. Ltd. | 125,000 | $ | 229,953 | |||||
Haitian International Holdings Ltd. | 63,000 | 132,453 | ||||||
Haitong Securities Co. Ltd. Class H | 306,400 | 561,293 | ||||||
Hanergy Thin Film Power Group Ltd.a | 2,513 | — | ||||||
Hengan International Group Co. Ltd.c | 73,000 | 623,502 | ||||||
HengTen Networks Group Ltd.a | 2,336,000 | 57,479 | ||||||
Huaneng Power International Inc. Class H | 424,000 | 288,950 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 398,000 | 135,359 | ||||||
Huatai Securities Co. Ltd. Class Hb | 145,800 | 297,518 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 7,341,000 | 4,813,646 | ||||||
JD.com Inc. ADRa | 67,281 | 2,056,780 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 122,000 | 160,939 | ||||||
Jiangxi Copper Co. Ltd. Class H | 124,000 | 208,944 | ||||||
Kingsoft Corp. Ltd. | 78,000 | 171,626 | ||||||
Kunlun Energy Co. Ltd.c | 322,000 | 280,002 | ||||||
Lenovo Group Ltd.c | 722,000 | 433,435 | ||||||
Longfor Properties Co. Ltd. | 145,500 | 232,801 | ||||||
Netease Inc. | 7,928 | 2,418,516 | ||||||
New China Life Insurance Co. Ltd. Class H | 77,400 | 381,394 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 13,366 | 647,048 | ||||||
Nine Dragons Paper (Holdings) Ltd. | 163,000 | 206,835 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 697,000 | 286,434 | ||||||
PetroChina Co. Ltd. Class H | 2,108,000 | 1,604,942 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 459,160 | 701,536 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 521,000 | 2,778,685 | ||||||
Qunar Cayman Islands Ltd. ADRa | 3,584 | 108,989 | ||||||
Semiconductor Manufacturing International Corp.a,c | 274,300 | 356,901 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 188,000 | 113,103 | ||||||
Shanghai Electric Group Co. Ltd. Class Ha | 282,000 | 146,042 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 40,500 | 139,305 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 49 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Shanghai Industrial Holdings Ltd. | 49,000 | $ | 136,664 | |||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 89,780 | 132,425 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 68,700 | 177,006 | ||||||
Shenzhou International Group Holdings Ltd. | 56,000 | 334,740 | ||||||
Shimao Property Holdings Ltd. | 120,000 | 172,214 | ||||||
SINA Corp./Chinaa | 5,687 | 395,417 | ||||||
Sino Biopharmaceutical Ltd. | 444,000 | 383,230 | ||||||
Sino-Ocean Group Holding Ltd. | 299,000 | 148,682 | ||||||
Sinopec Engineering Group Co. Ltd. Class H | 123,500 | 112,165 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 349,000 | 211,312 | ||||||
Sinopharm Group Co. Ltd. Class H | 119,200 | 551,280 | ||||||
Sinotrans Ltd. Class H | 207,000 | 93,867 | ||||||
SOHO China Ltd. | 207,000 | 107,201 | ||||||
Sun Art Retail Group Ltd. | 238,000 | 229,340 | ||||||
Sunac China Holdings Ltd. | 193,000 | 200,647 | ||||||
Sunny Optical Technology Group Co. Ltd.c | 71,000 | 456,872 | ||||||
TAL Education Group Class A ADRa | 4,314 | 373,032 | ||||||
Tencent Holdings Ltd. | 567,500 | 15,133,431 | ||||||
Tingyi Cayman Islands Holding Corp.c | 196,000 | 219,673 | ||||||
TravelSky Technology Ltd. Class H | 93,000 | 202,954 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 36,000 | 165,566 | ||||||
Vipshop Holdings Ltd. ADRa | 40,434 | 526,046 | ||||||
Want Want China Holdings Ltd.c | 570,000 | 367,152 | ||||||
Weibo Corp. ADRa | 3,038 | 153,480 | ||||||
Weichai Power Co. Ltd. Class H | 97,600 | 171,752 | ||||||
Yanzhou Coal Mining Co. Ltd. Class Hc | 186,000 | 149,520 | ||||||
Yum China Holdings Inc.a | 36,830 | 979,310 | ||||||
YY Inc. ADRa | 2,952 | 130,744 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 142,000 | 159,700 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 54,500 | 293,477 | ||||||
Zijin Mining Group Co. Ltd. Class H | 574,000 | 216,661 | ||||||
ZTE Corp. Class H | 75,360 | 122,713 | ||||||
|
| |||||||
115,319,762 |
Security | Shares | Value | ||||||
INDIA — 12.03% | ||||||||
ACC Ltd. | 4,583 | $ | 96,958 | |||||
Adani Ports & Special Economic Zone Ltd. | 82,701 | 374,033 | ||||||
Ambuja Cements Ltd. | 59,437 | 204,319 | ||||||
Apollo Hospitals Enterprise Ltd. | 7,618 | 148,623 | ||||||
Ashok Leyland Ltd. | 114,181 | 155,136 | ||||||
Asian Paints Ltd. | 28,848 | 442,846 | ||||||
Aurobindo Pharma Ltd. | 26,377 | 267,728 | ||||||
Axis Bank Ltd. | 167,044 | 1,268,502 | ||||||
Bajaj Auto Ltd. | 8,398 | 346,890 | ||||||
Bajaj Finance Ltd. | 16,141 | 268,102 | ||||||
Bajaj Finserv Ltd. | 3,806 | 223,284 | ||||||
Bharat Forge Ltd. | 10,466 | 165,252 | ||||||
Bharat Heavy Electricals Ltd. | 58,780 | 143,120 | ||||||
Bharat Petroleum Corp. Ltd. | 50,583 | 508,000 | ||||||
Bharti Airtel Ltd. | 99,935 | 546,942 | ||||||
Bharti Infratel Ltd. | 55,514 | 236,513 | ||||||
Bosch Ltd. | 728 | 235,505 | ||||||
Cadila Healthcare Ltd. | 20,490 | 135,205 | ||||||
Cairn India Ltd. | 44,859 | 191,017 | ||||||
Cipla Ltd. | 34,582 | 302,546 | ||||||
Coal India Ltd. | 68,323 | 329,640 | ||||||
Container Corp. of India Ltd. | 3,149 | 57,388 | ||||||
Dabur India Ltd. | 52,717 | 218,789 | ||||||
Divi’s Laboratories Ltd. | 8,157 | 92,777 | ||||||
Dr. Reddy’s Laboratories Ltd. | 11,430 | 488,243 | ||||||
Eicher Motors Ltd. | 1,332 | 481,743 | ||||||
GAIL (India) Ltd. | 31,738 | 245,889 | ||||||
Glenmark Pharmaceuticals Ltd. | 13,811 | 191,582 | ||||||
Godrej Consumer Products Ltd. | 11,875 | 293,481 | ||||||
Grasim Industries Ltd. | 18,178 | 269,787 | ||||||
Havells India Ltd. | 24,997 | 152,150 | ||||||
HCL Technologies Ltd. | 56,378 | 709,893 | ||||||
Hero Motocorp Ltd. | 4,997 | 235,033 | ||||||
Hindalco Industries Ltd. | 111,456 | 307,963 | ||||||
Hindustan Petroleum Corp. Ltd. | 40,619 | 327,387 | ||||||
Hindustan Unilever Ltd. | 64,846 | 841,595 | ||||||
Housing Development Finance Corp. Ltd. | 150,206 | 3,084,436 | ||||||
ICICI Bank Ltd. | 110,588 | 458,057 | ||||||
Idea Cellular Ltd. | 126,096 | 218,952 | ||||||
IDFC Bank Ltd. | 135,819 | 127,231 | ||||||
Indiabulls Housing Finance Ltd. | 29,540 | 385,772 | ||||||
Infosys Ltd. | 183,597 | 2,785,928 | ||||||
ITC Ltd. | 338,512 | 1,330,326 |
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
JSW Steel Ltd. | 84,394 | $ | 236,477 | |||||
Larsen & Toubro Ltd. | 31,714 | 698,368 | ||||||
LIC Housing Finance Ltd. | 29,816 | 250,616 | ||||||
Lupin Ltd. | 22,105 | 488,393 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 27,865 | 121,807 | ||||||
Mahindra & Mahindra Ltd. | 37,226 | 732,120 | ||||||
Marico Ltd. | 45,010 | 189,704 | ||||||
Maruti Suzuki India Ltd. | 10,570 | 938,279 | ||||||
Motherson Sumi Systems Ltd. | 42,015 | 220,533 | ||||||
Nestle India Ltd. | 2,303 | 215,884 | ||||||
NTPC Ltd. | 165,011 | 403,013 | ||||||
Oil & Natural Gas Corp. Ltd. | 128,411 | 372,518 | ||||||
Piramal Enterprises Ltd. | 7,733 | 213,821 | ||||||
Power Finance Corp. Ltd. | 63,483 | 129,404 | ||||||
Reliance Industries Ltd. | 129,633 | 2,405,503 | ||||||
Shree Cement Ltd. | 832 | 200,911 | ||||||
Shriram Transport Finance Co. Ltd. | 14,731 | 205,160 | ||||||
Siemens Ltd. | 7,120 | 128,844 | ||||||
State Bank of India | 155,244 | 626,386 | ||||||
Sun Pharmaceuticals Industries Ltd. | 95,942 | 976,407 | ||||||
Tata Consultancy Services Ltd. | 47,248 | 1,746,516 | ||||||
Tata Motors Ltd. | 158,042 | 1,081,940 | ||||||
Tata Motors Ltd. Class A | 37,992 | 157,164 | ||||||
Tata Power Co. Ltd. | 111,045 | 137,477 | ||||||
Tata Steel Ltd. | 30,124 | 217,943 | ||||||
Tech Mahindra Ltd. | 44,157 | 330,522 | ||||||
Titan Co. Ltd. | 30,988 | 203,061 | ||||||
Ultratech Cement Ltd. | 8,778 | 496,607 | ||||||
United Spirits Ltd.a | 6,537 | 229,769 | ||||||
UPL Ltd. | 35,501 | 382,207 | ||||||
Vedanta Ltd. | 103,695 | 402,696 | ||||||
Wipro Ltd. | 60,678 | 444,544 | ||||||
Yes Bank Ltd. | 31,148 | 678,201 | ||||||
Zee Entertainment Enterprises Ltd. | 57,579 | 439,661 | ||||||
|
| |||||||
36,597,019 | ||||||||
INDONESIA — 3.48% | ||||||||
Adaro Energy Tbk PT | 1,436,500 | 182,579 | ||||||
AKR Corporindo Tbk PT | 179,200 | 85,327 | ||||||
Astra International Tbk PT | 2,022,800 | 1,243,773 | ||||||
Bank Central Asia Tbk PT | 1,232,100 | 1,427,410 | ||||||
Bank Danamon Indonesia Tbk PT | 331,200 | 122,933 | ||||||
Bank Mandiri Persero Tbk PT | 933,600 | 791,068 | ||||||
Bank Negara Indonesia Persero Tbk PT | 747,000 | 350,086 |
Security | Shares | Value | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 1,109,900 | $ | 994,549 | |||||
Bumi Serpong Damai Tbk PT | 771,100 | 105,812 | ||||||
Charoen Pokphand Indonesia Tbk PT | 731,300 | 169,993 | ||||||
Gudang Garam Tbk PT | 48,000 | 237,013 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 931,100 | 270,198 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 146,200 | 166,087 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 233,700 | 145,887 | ||||||
Indofood Sukses Makmur Tbk PT | 438,600 | 267,219 | ||||||
Jasa Marga Persero Tbk PT | 220,098 | 78,889 | ||||||
Kalbe Farma Tbk PT | 2,102,000 | 241,156 | ||||||
Lippo Karawaci Tbk PT | 1,844,900 | 101,680 | ||||||
Matahari Department Store Tbk PT | 247,600 | 253,430 | ||||||
Media Nusantara Citra Tbk PT | 518,600 | 64,553 | ||||||
Pakuwon Jati Tbk PT | 2,395,700 | 105,989 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 1,088,700 | 231,030 | ||||||
Semen Indonesia Persero Tbk PT | 295,800 | 213,488 | ||||||
Summarecon Agung Tbk PT | 1,002,400 | 102,976 | ||||||
Surya Citra Media Tbk PT | 581,000 | 128,521 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 5,043,100 | 1,455,904 | ||||||
Tower Bersama Infrastructure Tbk PT | 238,400 | 89,382 | ||||||
Unilever Indonesia Tbk PT | 152,600 | 482,596 | ||||||
United Tractors Tbk PT | 167,700 | 309,973 | ||||||
Waskita Karya Persero Tbk PT | 478,500 | 88,983 | ||||||
XL Axiata Tbk PTa | 379,500 | 85,086 | ||||||
|
| |||||||
10,593,570 | ||||||||
MALAYSIA — 3.41% | ||||||||
AirAsia Bhd | 150,500 | 91,520 | ||||||
Alliance Financial Group Bhd | 100,200 | 85,982 | ||||||
AMMB Holdings Bhd | 180,500 | 188,224 | ||||||
Astro Malaysia Holdings Bhd | 154,600 | 99,236 | ||||||
Axiata Group Bhdc | 268,300 | 267,696 | ||||||
Berjaya Sports Toto Bhd | 63,255 | 41,600 | ||||||
British American Tobacco Malaysia Bhd | 14,200 | 155,113 | ||||||
CIMB Group Holdings Bhd | 306,300 | 342,863 | ||||||
Dialog Group Bhd | 317,878 | 120,278 | ||||||
DiGi.Com Bhdc | 350,600 | 397,978 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 51 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Felda Global Ventures Holdings Bhdc | 122,300 | $ | 51,785 | |||||
Gamuda Bhdc | 170,900 | 188,991 | ||||||
Genting Bhd | 224,400 | 467,500 | ||||||
Genting Malaysia Bhd | 296,100 | 350,118 | ||||||
Genting Plantations Bhd | 22,600 | 58,434 | ||||||
HAP Seng Consolidated Bhdc | 61,200 | 124,605 | ||||||
Hartalega Holdings Bhdc | 66,100 | 72,353 | ||||||
Hong Leong Bank Bhd | 64,500 | 197,277 | ||||||
Hong Leong Financial Group Bhd | 22,700 | 76,996 | ||||||
IHH Healthcare Bhd | 329,900 | 446,554 | ||||||
IJM Corp. Bhd | 287,300 | 216,769 | ||||||
IOI Corp. Bhdc | 225,900 | 238,111 | ||||||
IOI Properties Group Bhd | 154,915 | 73,620 | ||||||
Kuala Lumpur Kepong Bhd | 42,800 | 232,701 | ||||||
Lafarge Malaysia Bhd | 31,300 | 46,527 | ||||||
Malayan Banking Bhdc | 351,500 | 680,833 | ||||||
Malaysia Airports Holdings Bhd | 74,800 | 109,168 | ||||||
Maxis Bhdc | 189,100 | 268,743 | ||||||
MISC Bhdc | 111,400 | 186,168 | ||||||
Petronas Chemicals Group Bhd | 242,000 | 395,158 | ||||||
Petronas Dagangan Bhd | 19,700 | 108,705 | ||||||
Petronas Gas Bhd | 69,100 | 311,573 | ||||||
PPB Group Bhd | 47,400 | 176,576 | ||||||
Public Bank Bhd | 271,510 | 1,220,572 | ||||||
RHB Bank Bhd | 80,262 | 87,493 | ||||||
RHB Bank Bhd New | 28,800 | — | ||||||
Sapurakencana Petroleum Bhda | 388,600 | 166,293 | ||||||
Sime Darby Bhd | 233,600 | 471,409 | ||||||
Telekom Malaysia Bhdc | 114,900 | 159,411 | ||||||
Tenaga Nasional Bhd | 339,300 | 1,034,712 | ||||||
UMW Holdings Bhdc | 49,800 | 62,138 | ||||||
Westports Holdings Bhd | 102,600 | 92,664 | ||||||
YTL Corp. Bhd | 429,753 | 150,026 | ||||||
YTL Power International Bhd | 190,215 | 63,833 | ||||||
|
| |||||||
10,378,306 | ||||||||
PHILIPPINES — 1.65% | ||||||||
Aboitiz Equity Ventures Inc. | 196,340 | 287,189 | ||||||
Aboitiz Power Corp. | 145,900 | 124,937 | ||||||
Alliance Global Group Inc. | 191,500 | 48,433 | ||||||
Ayala Corp. | 24,680 | 387,291 | ||||||
Ayala Land Inc. | 735,500 | 517,040 | ||||||
Bank of the Philippine Islands | 70,650 | 132,253 | ||||||
BDO Unibank Inc. | 195,989 | 450,796 | ||||||
DMCI Holdings Inc. | 397,100 | 100,273 |
Security | Shares | Value | ||||||
Energy Development Corp. | 936,100 | $ | 109,987 | |||||
Globe Telecom Inc. | 3,315 | 120,677 | ||||||
GT Capital Holdings Inc. | 7,815 | 188,158 | ||||||
International Container Terminal Services Inc. | 47,860 | 72,436 | ||||||
JG Summit Holdings Inc. | 285,286 | 441,436 | ||||||
Jollibee Foods Corp. | 42,650 | 171,398 | ||||||
Megaworld Corp. | 1,129,400 | 81,868 | ||||||
Metro Pacific Investments Corp. | 1,410,600 | 191,020 | ||||||
Metropolitan Bank & Trust Co. | 63,706 | 102,762 | ||||||
PLDT Inc. | 9,705 | 282,173 | ||||||
Robinsons Land Corp. | 167,200 | 78,913 | ||||||
Security Bank Corp. | 10,900 | 43,392 | ||||||
SM Investments Corp. | 24,169 | 319,109 | ||||||
SM Prime Holdings Inc. | 827,650 | 484,575 | ||||||
Universal Robina Corp. | 87,230 | 277,941 | ||||||
|
| |||||||
5,014,057 | ||||||||
SOUTH KOREA — 19.59% | ||||||||
AmorePacific Corp. | 3,224 | 858,213 | ||||||
AmorePacific Group | 2,798 | 321,680 | ||||||
BGF retail Co. Ltd. | 1,985 | 179,058 | ||||||
BNK Financial Group Inc. | 26,057 | 200,022 | ||||||
Celltrion Inc.a | 7,957 | 714,248 | ||||||
Cheil Worldwide Inc. | 6,898 | 115,602 | ||||||
CJ CheilJedang Corp. | 795 | 256,270 | ||||||
CJ Corp. | 1,463 | 223,186 | ||||||
CJ E&M Corp. | 1,907 | 131,715 | ||||||
CJ Korea Express Corp.a | 698 | 106,482 | ||||||
Coway Co. Ltd. | 5,395 | 427,020 | ||||||
Daelim Industrial Co. Ltd.a | 2,782 | 205,682 | ||||||
Daewoo Engineering & Construction Co. Ltd.a | 11,802 | 63,981 | ||||||
DGB Financial Group Inc. | 17,066 | 156,963 | ||||||
Dongbu Insurance Co. Ltd. | 4,953 | 267,635 | ||||||
Dongsuh Cos. Inc. | 3,659 | 82,516 | ||||||
Doosan Heavy Industries & Construction Co. Ltd. | 4,806 | 104,344 | ||||||
E-MART Inc. | 1,954 | 359,436 | ||||||
GS Engineering & Construction Corp.a | 4,967 | 130,901 | ||||||
GS Holdings Corp. | 5,149 | 252,726 | ||||||
GS Retail Co. Ltd. | 2,711 | 126,110 | ||||||
Hana Financial Group Inc. | 29,603 | 922,844 | ||||||
Hankook Tire Co. Ltd.a | 7,427 | 392,779 | ||||||
Hanmi Pharm Co. Ltd.a | 560 | 158,974 |
52 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Hanmi Science Co. Ltd.a,c | 1,164 | $ | 67,529 | |||||
Hanon Systems | 18,747 | 151,866 | ||||||
Hanssem Co. Ltd. | 1,060 | 208,110 | ||||||
Hanwha Chemical Corp. | 10,770 | 241,450 | ||||||
Hanwha Corp. | 4,543 | 146,244 | ||||||
Hanwha Life Insurance Co. Ltd.a | 21,887 | 126,009 | ||||||
Hanwha Techwin Co. Ltd.a | 3,729 | 144,774 | ||||||
Hotel Shilla Co. Ltd. | 3,334 | 150,668 | ||||||
Hyosung Corp. | 2,106 | 244,916 | ||||||
Hyundai Department Store Co. Ltd. | 1,520 | 133,617 | ||||||
Hyundai Development Co. Engineering & Construction | 5,650 | 218,855 | ||||||
Hyundai Engineering & Construction Co. Ltd. | 7,233 | 305,759 | ||||||
Hyundai Glovis Co. Ltd. | 1,883 | 255,618 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 4,182 | 608,392 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 6,254 | 179,199 | ||||||
Hyundai Mobis Co. Ltd. | 6,809 | 1,535,525 | ||||||
Hyundai Motor Co. | 15,409 | 2,037,272 | ||||||
Hyundai Steel Co. | 8,021 | 443,345 | ||||||
Hyundai Wia Corp. | 1,631 | 96,497 | ||||||
Industrial Bank of Koreaa | 25,402 | 277,439 | ||||||
Kakao Corp.a | 3,040 | 229,596 | ||||||
Kangwon Land Inc.a | 11,825 | 369,678 | ||||||
KB Financial Group Inc. | 39,693 | 1,646,342 | ||||||
KCC Corp. | 587 | 179,877 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 2,270 | 122,258 | ||||||
Kia Motors Corp. | 26,330 | 890,668 | ||||||
Korea Aerospace Industries Ltd. Class Aa | 6,835 | 352,404 | ||||||
Korea Electric Power Corp.a | 25,661 | 989,449 | ||||||
Korea Gas Corp.a | 2,820 | 122,077 | ||||||
Korea Investment Holdings Co. Ltd.a | 3,923 | 164,449 | ||||||
Korea Zinc Co. Ltd.a | 852 | 313,825 | ||||||
Korean Air Lines Co. Ltd.a | 3,912 | 99,984 | ||||||
KT Corp. | 1,558 | 41,955 | ||||||
KT&G Corp. | 11,662 | 1,057,135 | ||||||
Kumho Petrochemical Co. Ltd. | 1,332 | 90,351 | ||||||
LG Chem Ltd. | 4,601 | 1,151,522 | ||||||
LG Corp. | 9,521 | 528,781 | ||||||
LG Display Co. Ltd. | 23,242 | 563,193 | ||||||
LG Electronics Inc. | 10,630 | 562,170 | ||||||
LG Household & Health Care Ltd. | 940 | 729,887 |
Security | Shares | Value | ||||||
LG Innotek Co. Ltd. | 1,427 | $ | 151,439 | |||||
LG Uplus Corp. | 14,223 | 161,003 | ||||||
Lotte Chemical Corp.a | 1,546 | 498,357 | ||||||
Lotte Chilsung Beverage Co. Ltd.a | 63 | 84,019 | ||||||
Lotte Confectionery Co. Ltd.a | 571 | 98,723 | ||||||
Lotte Shopping Co. Ltd. | 1,106 | 225,944 | ||||||
Mirae Asset Daewoo Co. Ltd.a | 36,789 | 290,538 | ||||||
NAVER Corp. | 2,800 | 1,921,556 | ||||||
NCsoft Corp. | 1,753 | 424,782 | ||||||
NH Investment & Securities Co. Ltd.a | 14,234 | 146,022 | ||||||
OCI Co. Ltd. | 1,678 | 132,222 | ||||||
Orion Corp./Republic of Korea | 358 | 226,055 | ||||||
Ottogi Corp. | 122 | 80,704 | ||||||
POSCO | 7,406 | 1,856,822 | ||||||
Posco Daewoo Corp. | 4,570 | 99,220 | ||||||
S-1 Corp. | 1,899 | 152,827 | ||||||
S-Oil Corp. | 4,520 | 345,371 | ||||||
Samsung Biologics Co. Ltd.a | 1,657 | 241,058 | ||||||
Samsung C&T Corp. | 7,595 | 826,164 | ||||||
Samsung Card Co. Ltd. | 3,490 | 130,711 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 5,598 | 289,616 | ||||||
Samsung Electronics Co. Ltd. | 9,843 | 16,730,706 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 3,322 | 749,158 | ||||||
Samsung Heavy Industries Co. Ltd.a | 25,531 | 252,883 | ||||||
Samsung Life Insurance Co. Ltd. | 7,013 | 663,622 | ||||||
Samsung SDI Co. Ltd. | 5,498 | 627,231 | ||||||
Samsung SDS Co. Ltd. | 3,482 | 400,318 | ||||||
Samsung Securities Co. Ltd. | 5,936 | 174,025 | ||||||
Shinhan Financial Group Co. Ltd. | 42,648 | 1,761,363 | ||||||
Shinsegae Inc. | 738 | 130,206 | ||||||
SK Holdings Co. Ltd. | 4,578 | 882,604 | ||||||
SK Hynix Inc. | 58,200 | 2,403,661 | ||||||
SK Innovation Co. Ltd. | 6,468 | 883,755 | ||||||
SK Networks Co. Ltd. | 12,648 | 82,885 | ||||||
SK Telecom Co. Ltd. | 2,038 | 417,243 | ||||||
Woori Banka | 30,399 | 357,556 | ||||||
Yuhan Corp. | 819 | 162,243 | ||||||
|
| |||||||
59,599,684 | ||||||||
TAIWAN — 17.32% | ||||||||
Acer Inc. | 292,062 | 140,216 | ||||||
Advanced Semiconductor Engineering Inc. | 617,434 | 766,680 | ||||||
Advantech Co. Ltd. | 31,894 | 271,463 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 53 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Asia Cement Corp. | 235,229 | $ | 232,752 | |||||
Asia Pacific Telecom Co. Ltd.a | 220,000 | 73,755 | ||||||
Asustek Computer Inc. | 70,000 | 632,252 | ||||||
AU Optronics Corp. | 866,000 | 343,880 | ||||||
Casetek Holdings Ltd. | 13,000 | 44,005 | ||||||
Catcher Technology Co. Ltd. | 65,000 | 543,721 | ||||||
Cathay Financial Holding Co. Ltd. | 815,944 | 1,281,407 | ||||||
Chailease Holding Co. Ltd. | 102,496 | 219,848 | ||||||
Chang Hwa Commercial Bank Ltd. | 492,614 | 294,220 | ||||||
Cheng Shin Rubber Industry Co. Ltd. | 193,776 | 411,853 | ||||||
Chicony Electronics Co. Ltd. | 53,864 | 126,931 | ||||||
China Airlines Ltd. | 264,000 | 86,787 | ||||||
China Development Financial Holding Corp. | 1,346,200 | 354,915 | ||||||
China Life Insurance Co. Ltd./Taiwan | 346,835 | 340,361 | ||||||
China Steel Corp. | 1,177,867 | 989,112 | ||||||
Chunghwa Telecom Co. Ltd. | 380,000 | 1,261,575 | ||||||
Compal Electronics Inc. | 421,000 | 263,780 | ||||||
CTBC Financial Holding Co. Ltd. | 1,754,265 | 1,047,757 | ||||||
Delta Electronics Inc. | 195,000 | 1,085,326 | ||||||
E.Sun Financial Holding Co. Ltd. | 788,017 | 478,348 | ||||||
Eclat Textile Co. Ltd. | 19,200 | 193,103 | ||||||
EVA Airways Corp. | 202,397 | 100,462 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 176,050 | 83,374 | ||||||
Far Eastern New Century Corp. | 320,460 | 286,837 | ||||||
Far EasTone Telecommunications Co. Ltd. | 160,000 | 385,373 | ||||||
Feng TAY Enterprise Co. Ltd. | 33,064 | 139,903 | ||||||
First Financial Holding Co. Ltd. | 956,370 | 564,978 | ||||||
Formosa Chemicals & Fibre Corp. | 321,950 | 1,018,554 | ||||||
Formosa Petrochemical Corp. | 110,000 | 383,094 | ||||||
Formosa Plastics Corp. | 413,400 | 1,245,979 | ||||||
Formosa Taffeta Co. Ltd. | 78,000 | 79,210 | ||||||
Foxconn Technology Co. Ltd. | 91,521 | 273,161 | ||||||
Fubon Financial Holding Co. Ltd. | 664,396 | 1,075,844 | ||||||
Giant Manufacturing Co. Ltd. | 28,000 | 173,157 | ||||||
Highwealth Construction Corp. | 81,840 | 132,922 | ||||||
Hiwin Technologies Corp. | 20,981 | 133,848 | ||||||
Hon Hai Precision Industry Co. Ltd. | 1,547,314 | 4,507,449 | ||||||
Hotai Motor Co. Ltd. | 24,000 | 274,578 | ||||||
HTC Corp.a | 66,000 | 169,492 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 734,392 | 403,965 |
Security | Shares | Value | ||||||
Innolux Corp. | 895,620 | $ | 364,387 | |||||
Inventec Corp. | 250,980 | 186,253 | ||||||
Largan Precision Co. Ltd. | 10,000 | 1,484,206 | ||||||
Lite-On Technology Corp. | 211,032 | 353,741 | ||||||
MediaTek Inc. | 149,176 | 1,087,618 | ||||||
Mega Financial Holding Co. Ltd. | 1,086,542 | 845,228 | ||||||
Merida Industry Co. Ltd. | 21,350 | 109,100 | ||||||
Micro-Star International Co. Ltd. | 68,000 | 157,365 | ||||||
Nan Ya Plastics Corp. | 476,090 | 1,155,998 | ||||||
Nanya Technology Corp. | 69,000 | 102,186 | ||||||
Nien Made Enterprise Co. Ltd. | 15,000 | 146,712 | ||||||
Novatek Microelectronics Corp. | 58,000 | 217,098 | ||||||
OBI Pharma Inc.a | 11,000 | 125,132 | ||||||
Pegatron Corp. | 193,000 | 506,944 | ||||||
Phison Electronics Corp. | 15,000 | 131,577 | ||||||
Pou Chen Corp. | 221,000 | 299,956 | ||||||
Powertech Technology Inc. | 66,000 | 191,619 | ||||||
President Chain Store Corp. | 57,000 | 418,360 | ||||||
Quanta Computer Inc. | 270,000 | 559,799 | ||||||
Realtek Semiconductor Corp. | 45,140 | 168,227 | ||||||
Ruentex Development Co. Ltd.a | 83,888 | 105,531 | ||||||
Ruentex Industries Ltd. | 56,855 | 107,886 | ||||||
Shin Kong Financial Holding Co. Ltd.a | 817,138 | 220,485 | ||||||
Siliconware Precision Industries Co. Ltd. | 217,438 | 342,539 | ||||||
SinoPac Financial Holdings Co. Ltd. | 1,013,173 | 308,336 | ||||||
Standard Foods Corp. | 39,873 | 99,931 | ||||||
Synnex Technology International Corp. | 142,050 | 156,043 | ||||||
TaiMed Biologics Inc.a | 16,000 | 95,562 | ||||||
Taishin Financial Holding Co. Ltd. | 854,561 | 337,947 | ||||||
Taiwan Business Bank | 393,397 | 107,685 | ||||||
Taiwan Cement Corp. | 332,000 | 406,848 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 769,435 | 366,892 | ||||||
Taiwan Fertilizer Co. Ltd. | 75,000 | 103,748 | ||||||
Taiwan Mobile Co. Ltd. | 161,000 | 565,951 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 2,457,000 | 15,114,587 | ||||||
Teco Electric and Machinery Co. Ltd. | 188,000 | 169,499 | ||||||
Transcend Information Inc. | 18,000 | 50,561 | ||||||
Uni-President Enterprises Corp. | 482,650 | 857,737 | ||||||
United Microelectronics Corp. | 1,199,000 | 497,575 |
54 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Security | Shares | Value | ||||||
Vanguard International Semiconductor Corp. | 90,000 | $ | 177,812 | |||||
Wistron Corp. | 245,022 | 205,358 | ||||||
WPG Holdings Ltd. | 150,000 | 190,408 | ||||||
Yuanta Financial Holding Co. Ltd. | 958,893 | 405,735 | ||||||
Yulon Motor Co. Ltd. | 88,000 | 81,918 | ||||||
Zhen Ding Technology Holding Ltd. | 40,455 | 100,731 | ||||||
|
| |||||||
52,705,038 | ||||||||
THAILAND — 3.15% | ||||||||
Advanced Info Service PCL NVDR | 104,400 | 499,486 | ||||||
Airports of Thailand PCL NVDR | 430,500 | 477,915 | ||||||
Bangkok Bank PCL Foreign | 24,800 | 137,124 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 386,200 | 222,390 | ||||||
Bangkok Expressway & Metro PCL | 685,900 | 138,534 | ||||||
Banpu PCL NVDR | 199,200 | 111,854 | ||||||
BEC World PCL NVDR | 86,600 | 38,951 | ||||||
Berli Jucker PCL NVDR | 119,200 | 157,087 | ||||||
BTS Group Holdings PCL NVDR | 581,200 | 136,535 | ||||||
Bumrungrad Hospital PCL NVDR | 35,500 | 178,998 | ||||||
Central Pattana PCL NVDR | 133,600 | 210,511 | ||||||
Charoen Pokphand Foods PCL NVDR | 270,200 | 216,745 | ||||||
CP ALL PCL NVDR | 494,500 | 850,009 | ||||||
Delta Electronics Thailand PCL NVDR | 49,400 | 130,911 | ||||||
Electricity Generating PCL NVDR | 13,100 | 77,687 | ||||||
Energy Absolute PCL NVDRc | 114,900 | 82,294 | ||||||
Glow Energy PCL NVDR | 51,200 | 114,412 | ||||||
Home Product Center PCL NVDR | 389,945 | 110,039 | ||||||
Indorama Ventures PCL NVDR | 144,600 | 147,063 | ||||||
IRPC PCL NVDR | 999,900 | 142,084 | ||||||
Kasikornbank PCL Foreign | 117,200 | 639,630 | ||||||
Kasikornbank PCL NVDR | 57,400 | 314,910 | ||||||
KCE Electronics PCL NVDR | 28,600 | 80,502 | ||||||
Krung Thai Bank PCL NVDR | 348,350 | 195,604 | ||||||
Minor International PCL NVDRc | 214,780 | 210,747 | ||||||
PTT Exploration & Production PCL NVDR | 139,310 | 371,169 | ||||||
PTT Global Chemical PCL NVDR | 207,200 | 422,942 | ||||||
PTT PCL NVDR | 100,100 | 1,138,494 | ||||||
Robinson Department Store PCL NVDR | 50,800 | 89,504 | ||||||
Siam Cement PCL (The) Foreign | 29,900 | 442,005 | ||||||
Siam Cement PCL (The) NVDR | 11,200 | 165,567 |
Security | Shares | Value | ||||||
Siam Commercial Bank PCL (The) NVDR | 176,900 | $ | 780,467 | |||||
Thai Oil PCL NVDR | 81,300 | 175,268 | ||||||
Thai Union Group PCL NVDR | 190,700 | 110,905 | ||||||
TMB Bank PCL NVDR | 1,360,300 | 95,089 | ||||||
True Corp. PCL NVDRc | 1,000,005 | 179,056 | ||||||
|
| |||||||
9,592,488 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $282,527,870) | 299,799,924 | |||||||
PREFERRED STOCKS — 1.05% |
| |||||||
SOUTH KOREA — 1.05% |
| |||||||
AmorePacific Corp. | 887 | 131,393 | ||||||
Hyundai Motor Co. | 2,255 | 195,237 | ||||||
Hyundai Motor Co. Series 2 | 3,773 | 340,346 | ||||||
LG Chem Ltd. | 756 | 118,674 | ||||||
LG Household & Health Care Ltd. | 206 | 103,478 | ||||||
Samsung Electronics Co. Ltd. | 1,742 | 2,304,693 | ||||||
|
| |||||||
3,193,821 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $2,719,756) | 3,193,821 | |||||||
RIGHTS — 0.01% |
| |||||||
MALAYSIA — 0.00% |
| |||||||
IOI Properties Group Bhda | 38,728 | 6,368 | ||||||
|
| |||||||
6,368 | ||||||||
SOUTH KOREA — 0.01% | ||||||||
Korean Air Lines Co. Ltd.a | 635 | 4,549 | ||||||
Samsung Securities Co. Ltd.a | 564 | 3,416 | ||||||
|
| |||||||
7,965 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) | 14,333 | |||||||
SHORT-TERM INVESTMENTS — 2.34% |
| |||||||
MONEY MARKET FUNDS — 2.34% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 6,818,978 | 6,821,706 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 304,146 | 304,146 | ||||||
|
| |||||||
7,125,852 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,123,980) | 7,125,852 | |||||||
|
|
CONSOLIDATED SCHEDULESOF INVESTMENTS | 55 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $292,371,606)g | $ | 310,133,930 | ||||||
Other Assets, Less Liabilities — (1.93)% |
| (5,866,562 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 304,267,368 | |||||
|
|
ADR — American Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. 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 $294,555,986. Net unrealized appreciation was $15,577,944, of which $25,732,029 represented gross unrealized appreciation on securities and $10,154,085 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 299,799,924 | $ | — | $ | 0 | a | $ | 299,799,924 | |||||||
Preferred stocks | 3,193,821 | — | — | 3,193,821 | ||||||||||||
Rights | — | 14,333 | — | 14,333 | ||||||||||||
Money market funds | 7,125,852 | — | — | 7,125,852 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 310,119,597 | $ | 14,333 | $ | 0 | a | $ | 310,133,930 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to consolidated financial statements.
56 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 98.16% |
| |||||||
BRAZIL — 3.34% |
| |||||||
Aliansce Shopping Centers SA | 32,500 | $ | 152,941 | |||||
Alupar Investimento SA Units | 27,608 | 176,510 | ||||||
Arezzo Industria e Comercio SA | 16,300 | 164,991 | ||||||
B2W Cia. Digitala | 38,500 | 152,218 | ||||||
BR Properties SAa | 22,941 | 69,686 | ||||||
Cia. de Saneamento de Minas Gerais-COPASA | 19,300 | 320,054 | ||||||
Cia. Hering | 41,800 | 233,924 | ||||||
Cyrela Brazil Realty SA Empreendimentos e Participacoes | 67,800 | 283,099 | ||||||
EcoRodovias Infraestrutura e Logistica SA | 66,400 | 196,148 | ||||||
Estacio Participacoes SA | 73,400 | 353,670 | ||||||
Even Construtora e Incorporadora SA | 88,900 | 144,309 | ||||||
EZ TEC Empreendimentos e Participacoes SA | 18,544 | 114,566 | ||||||
Fleury SA | 23,100 | 321,662 | ||||||
Gafisa SA | 146,900 | 108,133 | ||||||
Iguatemi Empresa de Shopping Centers SA | 23,300 | 232,925 | ||||||
Iochpe Maxion SA | 21,400 | 97,404 | ||||||
Iochpe Maxion SA New | 7,105 | 32,339 | ||||||
Light SA | 25,300 | 181,516 | ||||||
Linx SA | 38,600 | 205,594 | ||||||
Mahle-Metal Leve SA | 15,900 | 111,878 | ||||||
Marfrig Global Foods SAa | 72,900 | 146,456 | ||||||
Minerva SAa | 38,800 | 134,696 | ||||||
MRV Engenharia e Participacoes SA | 75,800 | 347,934 | ||||||
Multiplus SA | 13,500 | 155,135 | ||||||
Santos Brasil Participacoes SAa | 137,000 | 112,295 | ||||||
Sao Martinho SA | 46,500 | 283,992 | ||||||
SLC Agricola SA | 25,800 | 142,642 | ||||||
Smiles SA | 17,100 | 339,252 | ||||||
TOTVS SA | 29,200 | 237,842 | ||||||
Valid Solucoes e Servicos de Seguranca em Meios de Pagamento e Identificacao SA | 24,000 | 199,036 | ||||||
Via Varejo SA | 32,600 | 123,652 | ||||||
|
| |||||||
5,876,499 |
Security | Shares | Value | ||||||
CHILE — 1.15% | ||||||||
CAP SA | 15,340 | $ | 175,354 | |||||
Cia. Sud Americana de Vapores SAa | 3,524,408 | 118,368 | ||||||
Engie Energia Chile SA | 147,118 | 256,040 | ||||||
Inversiones Aguas Metropolitanas SA | 137,262 | 201,028 | ||||||
Inversiones La Construccion SA | 8,585 | 114,087 | ||||||
Parque Arauco SA | 177,140 | 445,897 | ||||||
Ripley Corp. SA | 223,226 | 138,236 | ||||||
SalfaCorp SA | 236,329 | 191,441 | ||||||
SONDA SA | 112,015 | 182,672 | ||||||
Vina Concha y Toro SA | 114,899 | 193,971 | ||||||
|
| |||||||
2,017,094 | ||||||||
CHINA — 22.31% | ||||||||
21Vianet Group Inc. ADRa | 19,289 | 139,459 | ||||||
361 Degrees International Ltd. | 282,000 | 106,443 | ||||||
500.com Ltd. ADRa,b | 8,369 | 108,044 | ||||||
51job Inc. ADRa | 6,601 | 237,306 | ||||||
Agile Property Holdings Ltd.b | 502,000 | 331,112 | ||||||
AGTech Holdings Ltd.a,b | 736,000 | 152,653 | ||||||
Ajisen China Holdings Ltd. | 267,000 | 104,221 | ||||||
Anhui Expressway Co. Ltd. Class H | 134,000 | 107,719 | ||||||
Anton Oilfield Services Group/Hong Konga | 676,000 | 87,957 | ||||||
Anxin-China Holdings Ltd.a | 1,084,000 | 29,312 | ||||||
APT Satellite Holdings Ltd.b | 174,000 | 92,352 | ||||||
Asia Cement China Holdings Corp. | 436,500 | 131,583 | ||||||
AVIC International Holding HK Ltd.a | 1,738,000 | 107,471 | ||||||
Baozun Inc. ADRa,b | 6,404 | 92,090 | ||||||
Beijing Capital Land Ltd. Class H | 268,000 | 115,659 | ||||||
Beijing Enterprises Medical & Health Group Ltd.a | 1,680,000 | 101,720 | ||||||
Beijing Tong Ren Tang Chinese Medicine Co. Ltd. | 119,000 | 160,661 | ||||||
BEP International Holdings Ltd. | 3,600,000 | 222,610 | ||||||
Best Pacific International Holdings Ltd. | 128,000 | 98,443 | ||||||
Biostime International Holdings Ltd.a,b | 53,500 | 177,473 | ||||||
Bitauto Holdings Ltd. ADRa,b | 7,550 | 143,903 | ||||||
Boshiwa International Holding Ltd.a,b | 32,000 | 299 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 57 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Bosideng International Holdings Ltd. | 1,312,000 | $ | 116,623 | |||||
BYD Electronic International Co. Ltd. | 195,500 | 211,557 | ||||||
C C Land Holdings Ltd. | 572,000 | 174,641 | ||||||
C.banner International Holdings Ltd.a | 450,000 | 165,798 | ||||||
Capital Environment Holdings Ltd.a,b | 2,966,000 | 93,231 | ||||||
Carnival Group International Holdings Ltd.a,b | 1,732,000 | 185,194 | ||||||
Central China Securities Co. Ltd. Class H | 316,000 | 178,712 | ||||||
CGN Meiya Power Holdings Co. Ltd.a,c | 528,000 | 83,664 | ||||||
Chaowei Power Holdings Ltd. | 195,000 | 153,740 | ||||||
Cheetah Mobile Inc. ADRa | 7,653 | 76,607 | ||||||
Chiho-Tiande Group Ltd.a,b | 134,000 | 87,694 | ||||||
China Aerospace International Holdings Ltd. | 1,038,000 | 137,732 | ||||||
China Agri-Industries Holdings Ltd.a | 578,000 | 285,186 | ||||||
China All Access Holdings Ltd.b | 450,000 | 137,392 | ||||||
China Animal Healthcare Ltd.a,b | 126,000 | 4,941 | ||||||
China Animation Characters Co. Ltd.b | 167,000 | 71,641 | ||||||
China Beidahuang Industry Group Holdings Ltd.a | 1,348,000 | 70,331 | ||||||
China BlueChemical Ltd. Class H | 528,000 | 182,973 | ||||||
China Chengtong Development Group Ltd.a,b | 1,132,000 | 90,415 | ||||||
China Datang Corp. Renewable Power Co. Ltd. Class Ha | 1,123,000 | 111,397 | ||||||
China Dongxiang Group Co. Ltd. | 1,251,000 | 236,906 | ||||||
China Electronics Corp. Holdings Co. Ltd.b | 398,000 | 82,036 | ||||||
China Electronics Optics Valley Union Holding Co Ltd.b | 960,000 | 95,228 | ||||||
China Fangda Group Co. Ltd. Class B | 140,400 | 140,537 | ||||||
China First Capital Group Ltd. | 700,000 | 305,702 | ||||||
China Foods Ltd. | 292,000 | 130,155 | ||||||
China Harmony New Energy Auto Holding Ltd. | 215,500 | 105,217 | ||||||
China Huiyuan Juice Group Ltd.a | 260,500 | 93,294 |
Security | Shares | Value | ||||||
China Innovationpay Group Ltd.a | 1,352,000 | $ | 84,473 | |||||
China Lesso Group Holdings Ltd.b | 331,000 | 248,598 | ||||||
China Lilang Ltd. | 201,000 | 141,122 | ||||||
China Logistics Property Holdings Co. Ltd.a,b | 464,000 | 196,062 | ||||||
China LotSynergy Holdings Ltd.a,b | 2,840,000 | 96,954 | ||||||
China Lumena New Materials Corp.a,b | 210,000 | 2,164 | ||||||
China Maple Leaf Educational Systems Ltd. | 178,000 | 117,636 | ||||||
China Merchants Land Ltd. | 514,000 | 77,473 | ||||||
China Metal Recycling Holdings Ltd.a | 12,000 | — | ||||||
China Modern Dairy Holdings Ltd.a,b | 727,000 | 178,883 | ||||||
China NT Pharma Group Co.Ltd. | 546,500 | 114,757 | ||||||
China Ocean Industry Group Ltd.a,b | 4,860,000 | 132,731 | ||||||
China Oil & Gas Group Ltd.a | 1,930,000 | 156,639 | ||||||
China Overseas Grand Oceans Group Ltd.a | 444,000 | 164,732 | ||||||
China Overseas Property Holdings Ltd.b | 430,000 | 77,553 | ||||||
China Power New Energy Development Co. Ltd.b | 144,000 | 83,664 | ||||||
China Regenerative Medicine International Ltd.a,b | 3,715,000 | 122,039 | ||||||
China Resources Phoenix Healthcare Holdings Co. Ltd.a,b | 155,500 | 192,511 | ||||||
China SCE Property Holdings Ltd. | 458,000 | 166,386 | ||||||
China Shanshui Cement Group Ltd.a,b | 253,000 | 16,296 | ||||||
China Shengmu Organic Milk Ltd.a,b,c | 511,000 | 140,217 | ||||||
China Shineway Pharmaceutical Group Ltd. | 208,000 | 224,280 | ||||||
China Singyes Solar Technologies Holdings Ltd. | 207,000 | 97,334 | ||||||
China Suntien Green Energy Corp. Ltd. Class H | 828,000 | 140,801 | ||||||
China Traditional Chinese Medicine Holdings Co. Ltd. | 568,000 | 287,569 | ||||||
China Travel International Investment Hong Kong Ltd. | 688,000 | 203,853 | ||||||
China Water Affairs Group Ltd. | 286,000 | 187,168 |
58 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
China Water Industry Group Ltd.a,b | 944,000 | $ | 194,578 | |||||
China Yurun Food Group Ltd.a | 593,000 | 106,187 | ||||||
China ZhengTong Auto Services Holdings Ltd. | 322,500 | 135,025 | ||||||
Chinasoft International Ltd.a,b | 508,000 | 249,339 | ||||||
Chongqing Machinery & Electric Co. Ltd. Class H | 1,316,000 | 166,143 | ||||||
CIFI Holdings Group Co. Ltd. | 854,000 | 286,044 | ||||||
CIMC Enric Holdings Ltd. | 234,000 | 141,682 | ||||||
CITIC Resources Holdings Ltd.a,b | 948,000 | 139,224 | ||||||
Citychamp Watch & Jewellery Group Ltd. | 512,000 | 110,810 | ||||||
Cogobuy Groupa,b,c | 169,000 | 239,051 | ||||||
Colour Life Services Group Co. Ltd. | 158,000 | 98,108 | ||||||
Comba Telecom Systems Holdings Ltd. | 782,894 | 147,251 | ||||||
Concord New Energy Group Ltd. | 2,090,000 | 110,390 | ||||||
Coolpad Group Ltd.a,b | 936,000 | 91,641 | ||||||
COSCO SHIPPING International Hong Kong Co. Ltd.b | 354,000 | 163,263 | ||||||
Cosmo Lady China Holdings Co. Ltd.b,c | 240,000 | 71,421 | ||||||
Credit China FinTech Holdings Ltd.a,b | 3,808,000 | 554,340 | ||||||
Crown International Corp Ltd.a,b | 344,000 | 69,133 | ||||||
CT Environmental Group Ltd.b | 792,000 | 165,288 | ||||||
Dah Chong Hong Holdings Ltd.b | 287,000 | 112,767 | ||||||
Dawnrays Pharmaceutical Holdings Ltd. | 224,000 | 128,125 | ||||||
Dazhong Transportation Group Co. Ltd. Class B | 248,200 | 180,193 | ||||||
Digital China Holdings Ltd.b | 299,000 | 266,935 | ||||||
Dongyue Group Ltd.a | 395,000 | 55,771 | ||||||
eHi Car Services Ltd. ADRa,b | 11,341 | 114,431 | ||||||
Fang Holdings Ltd. ADRa,b | 69,155 | 206,082 | ||||||
Fantasia Holdings Group Co. Ltd. | 1,221,000 | 171,452 | ||||||
FDG Electric Vehicles Ltd.a,b | 3,540,000 | 152,774 | ||||||
First Tractor Co. Ltd. Class H | 212,000 | 135,462 | ||||||
Fu Shou Yuan International Group Ltd.b | 277,000 | 161,294 | ||||||
Fufeng Group Ltd.b | 340,400 | 214,875 | ||||||
Glorious Property Holdings Ltd.a | 879,000 | 100,781 | ||||||
Golden Eagle Retail Group Ltd. | 156,000 | 231,916 |
Security | Shares | Value | ||||||
Golden Meditech Holdings Ltd.a | 1,056,000 | $ | 168,689 | |||||
Greatview Aseptic Packaging Co. Ltd. | 422,000 | 209,303 | ||||||
Greenland Hong Kong Holdings Ltd.a | 285,000 | 81,508 | ||||||
Greentown China Holdings Ltd.a,b | 174,000 | 158,927 | ||||||
Guorui Properties Ltd. | 357,000 | 115,896 | ||||||
Haichang Ocean Park Holdings Ltd.a,c | 577,000 | 128,595 | ||||||
Hangzhou Steam Turbine Co. Ltd. Class Ba | 89,980 | 96,095 | ||||||
Harbin Electric Co. Ltd. Class H | 218,000 | 106,719 | ||||||
HC International Inc.a,b | 172,000 | 141,146 | ||||||
Hengdeli Holdings Ltd.a | 837,600 | 134,880 | ||||||
Hi Sun Technology China Ltd.a,b | 738,000 | 117,891 | ||||||
Hilong Holding Ltd. | 278,000 | 58,018 | ||||||
Hisense Kelon Electrical Holdings Co. Ltd. Class H | 119,000 | 141,038 | ||||||
Hopewell Highway Infrastructure Ltd. | 440,000 | 231,834 | ||||||
Hopson Development Holdings Ltd. | 186,000 | 168,689 | ||||||
Hua Han Health Industry Holdings Ltd. Class Ha | 1,112,400 | 75,952 | ||||||
Hua Hong Semiconductor Ltd.c | 115,000 | 137,482 | ||||||
Huadian Fuxin Energy Corp. Ltd. Class H | 666,000 | 162,158 | ||||||
Huangshi Dongbei Electrical Appliance Co. Ltd. Class Ba | 54,700 | 99,390 | ||||||
Huanxi Media Group Ltd.a,b | 300,000 | 94,300 | ||||||
Huayi Tencent Entertainment Co. Ltd.a,b | 1,640,000 | 90,848 | ||||||
Hutchison China Meditech Ltd.a,b | 5,950 | 154,933 | ||||||
Hybrid Kinetic Group Ltd.a,b | 5,520,000 | 146,490 | ||||||
IGG Inc. | 258,000 | 182,471 | ||||||
iKang Healthcare Group Inc. ADRa,b | 15,265 | 244,545 | ||||||
IMAX China Holding Inc.a,c | 31,500 | 150,958 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 297,000 | 350,460 | ||||||
Intime Retail Group Co. Ltd.b | 425,500 | 528,966 | ||||||
JA Solar Holdings Co. Ltd. ADRa,b | 16,046 | 81,835 | ||||||
JinkoSolar Holding Co. Ltd.a | 7,093 | 119,730 | ||||||
Ju Teng International Holdings Ltd. | 316,000 | 119,684 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 59 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Jumei International Holding Ltd. ADRa | 19,156 | $ | 77,773 | |||||
K Wah International Holdings Ltd. | 402,000 | 224,241 | ||||||
Kama Co. Ltd.a | 89,600 | 93,542 | ||||||
Kingboard Chemical Holdings Ltd. | 181,500 | 641,830 | ||||||
Kingboard Laminates Holdings Ltd. | 263,500 | 295,326 | ||||||
Kingdee International Software Group Co. Ltd.a,b | 574,000 | 221,837 | ||||||
KongZhong Corp. ADRa | 16,152 | 115,810 | ||||||
Konka Group Co. Ltd. Class Ba | 216,900 | 79,356 | ||||||
KuangChi Science Ltd.a,b | 417,000 | 173,516 | ||||||
KWG Property Holding Ltd. | 331,000 | 208,942 | ||||||
Lao Feng Xiang Co. Ltd. Class B | 58,400 | 210,824 | ||||||
Launch Tech Co. Ltd.a | 69,000 | 73,156 | ||||||
Lee & Man Paper Manufacturing Ltd. | 444,000 | 402,677 | ||||||
Leyou Technologies Holdings Ltd.a,b | 760,000 | 165,463 | ||||||
Li Ning Co. Ltd.a | 409,000 | 273,459 | ||||||
Lifetech Scientific Corp.a,b | 610,000 | 155,595 | ||||||
Livzon Pharmaceutical Group Inc. Class H | 26,300 | 159,410 | ||||||
Logan Property Holdings Co. Ltd.b | 342,000 | 147,595 | ||||||
Lonking Holdings Ltd. | 849,000 | 229,683 | ||||||
Luthai Textile Co. Ltd. Class B | 125,100 | 149,879 | ||||||
Luye Pharma Group Ltd. | 356,000 | 232,978 | ||||||
Minth Group Ltd. | 192,000 | 610,941 | ||||||
MMG Ltd.a,b | 700,000 | 275,944 | ||||||
Nan Hai Corp. Ltd.a,b | 4,050,000 | 126,783 | ||||||
National Agricultural Holdings Ltd.a,b | 346,000 | 66,860 | ||||||
NetDragon Websoft Holdings Ltd.b | 46,000 | 130,371 | ||||||
New Silkroad Culturaltainment Ltd.a,b | 560,000 | 87,292 | ||||||
New World Department Store China Ltd.a | 634,000 | 98,010 | ||||||
Nexteer Automotive Group Ltd. | 238,000 | 307,217 | ||||||
Noah Holdings Ltd. ADRa,b | 7,529 | 197,185 | ||||||
North Mining Shares Co. Ltd.a | 3,570,000 | 77,264 | ||||||
NQ Mobile Inc. ADRa | 28,232 | 108,693 | ||||||
PAX Global Technology Ltd.b | 233,000 | 164,489 | ||||||
Phoenix Satellite Television Holdings Ltd. | 832,000 | 137,194 |
Security | Shares | Value | ||||||
Poly Property Group Co. Ltd.a | 554,000 | $ | 232,664 | |||||
Pou Sheng International Holdings Ltd. | 641,000 | 156,071 | ||||||
Qingdao Port International Co. Ltd.c | 273,000 | 167,758 | ||||||
Renhe Commercial Holdings Co. Ltd.a | 4,674,000 | 132,469 | ||||||
Seaspan Corp.b | 13,491 | 105,769 | ||||||
Shandong Airlines Co. Ltd. Class B | 51,300 | 116,843 | ||||||
Shandong Chenming Paper Holdings Ltd. Class B | 216,900 | 275,231 | ||||||
Shandong Luoxin Pharmaceutical Group Stock Co. Ltd. Class H | 52,000 | 85,612 | ||||||
Shandong Zhonglu Oceanic Fisheries Co. Ltd.a | 140,100 | 109,554 | ||||||
Shang Gong Group Co. Ltd. Class Ba | 124,900 | 139,014 | ||||||
Shanghai Baosight Software Co. Ltd. Class B | 61,800 | 97,644 | ||||||
Shanghai Dasheng Agricultural Finance Technology Co. Ltd.b | 1,248,000 | 117,365 | ||||||
Shanghai Haixin Group Co. Class B | 137,800 | 109,827 | ||||||
Shanghai Huili Building Materials Co. Ltd.a | 41,300 | 60,298 | ||||||
Shanghai Jin Jiang International Hotels Group Co. Ltd. Class H | 382,000 | 108,757 | ||||||
Shanghai Jinjiang International Industrial Investment Co. Ltd. Class B | 62,300 | 92,640 | ||||||
Shanghai Jinjiang International Travel Co. Ltd. Class B | 29,200 | 98,667 | ||||||
Shanghai Lingyun Industries Development Co. Ltd. Class Ba | 79,300 | 79,300 | ||||||
Shanghai Potevio Co. Ltd. Class Ba | 42,800 | 45,240 | ||||||
Shanghai Shibei Hi-Tech Co. Ltd. Class B | 81,400 | 88,726 | ||||||
Shanghai Zhongyida Co. Ltd.a | 132,100 | 70,806 | ||||||
Shenguan Holdings Group Ltd. | 1,312,000 | 103,101 | ||||||
Shenzhen Expressway Co. Ltd. Class H | 256,000 | 236,461 | ||||||
Shenzhen International Holdings Ltd. | 283,000 | 405,408 |
60 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Shenzhen Investment Ltd. | 794,000 | $ | 340,617 | |||||
Shougang Concord International Enterprises Co. Ltd.a | 3,268,000 | 115,775 | ||||||
Shougang Fushan Resources Group Ltd. | 716,000 | 159,573 | ||||||
Shui On Land Ltd. | 943,000 | 211,379 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd.b | 1,279,000 | 436,634 | ||||||
Sino Oil And Gas Holdings Ltd.a | 4,650,000 | 119,209 | ||||||
Sinolink Worldwide Holdings Ltd.a | 880,000 | 96,361 | ||||||
Sinopec Kantons Holdings Ltd.b | 266,000 | 139,126 | ||||||
Sinosoft Technology Group Ltd. | 230,800 | 68,683 | ||||||
Sinotrans Shipping Ltd.a,b | 639,000 | 148,998 | ||||||
Sinotruk Hong Kong Ltd. | 224,500 | 186,542 | ||||||
Skyworth Digital Holdings Ltd. | 502,000 | 325,938 | ||||||
SMI Holdings Group Ltd.b | 1,616,000 | 145,727 | ||||||
Sohu.com Inc.a | 8,440 | 336,165 | ||||||
SSY Group Ltd.b | 685,970 | 215,624 | ||||||
Superb Summit International Group Ltd.a,b | 238,250 | 2,149 | ||||||
Tarena International Inc. ADR | 12,253 | 177,301 | ||||||
TCL Multimedia Technology Holdings Ltd.a,b | 164,000 | 77,537 | ||||||
Technovator International Ltd.b | 252,000 | 106,807 | ||||||
Texhong Textile Group Ltd. | 80,500 | 118,016 | ||||||
Tian Ge Interactive Holdings Ltd.c | 138,000 | 76,267 | ||||||
Tianjin Development Holdings Ltd.b | 268,000 | 140,863 | ||||||
Tianjin Port Development Holdings Ltd. | 836,000 | 141,084 | ||||||
Tianneng Power International Ltd. | 196,000 | 173,466 | ||||||
Tibet Water Resources Ltd.b | 549,000 | 226,320 | ||||||
Tong Ren Tang Technologies Co. Ltd. Class H | 177,000 | 324,702 | ||||||
Tongda Group Holdings Ltd. | 940,000 | 316,060 | ||||||
Towngas China Co. Ltd. | 321,000 | 176,163 | ||||||
Tuniu Corp. ADRa,b | 10,888 | 90,697 | ||||||
United Photovoltaics Group Ltd.a,b | 1,470,000 | 128,774 | ||||||
Vinda International Holdings Ltd. | 79,000 | 154,693 | ||||||
Viva China Holdings Ltd.a,b | 856,000 | 93,733 | ||||||
Wasion Group Holdings Ltd.b | 156,000 | 84,004 | ||||||
Weiqiao Textile Co. Class H | 134,000 | 94,944 | ||||||
West China Cement Ltd.a | 934,000 | 122,729 | ||||||
Wisdom Sports Groupa | 248,000 | 68,051 | ||||||
Xiamen International Port Co. Ltd. Class H | 580,000 | 122,539 |
Security | Shares | Value | ||||||
Xingda International Holdings Ltd. | 360,000 | $ | 160,001 | |||||
Xinjiang Xinxin Mining Industry Co. Ltd. Class Ha | 522,000 | 75,316 | ||||||
Xinyi Solar Holdings Ltd.b | 772,000 | 271,507 | ||||||
Xinyuan Real Estate Co. Ltd. ADR | 15,209 | 75,132 | ||||||
XTEP International Holdings Ltd. | 239,000 | 109,302 | ||||||
Yanchang Petroleum International Ltd.a,b | 2,450,000 | 66,281 | ||||||
Yangtze Optical Fibre and Cable Joint Stock Ltd. Co.c | 57,000 | 127,622 | ||||||
Yingde Gases Group Co.��Ltd.b | 334,000 | 229,337 | ||||||
Yip’s Chemical Holdings Ltd.b | 336,000 | 141,110 | ||||||
Yuexiu Property Co. Ltd. | 1,622,000 | 263,283 | ||||||
Yuexiu REITb | 527,000 | 313,656 | ||||||
Yuexiu Transport Infrastructure Ltd. | 302,000 | 210,088 | ||||||
Yuxing InfoTech Investment Holdings Ltd.a,b | 356,000 | 72,920 | ||||||
Zhaojin Mining Industry Co. Ltd. Class H | 270,000 | 264,350 | ||||||
Zhonglu Co. Ltd. Class B | 31,100 | 64,066 | ||||||
Zhongsheng Group Holdings Ltd. | 185,000 | 268,356 | ||||||
|
| |||||||
39,312,072 | ||||||||
COLOMBIA — 0.26% | ||||||||
Almacenes Exito SA | 45,063 | 239,629 | ||||||
Cemex Latam Holdings SAa | 58,867 | 216,746 | ||||||
|
| |||||||
456,375 | ||||||||
CZECH REPUBLIC — 0.11% | ||||||||
Philip Morris CR AS | 384 | 200,829 | ||||||
|
| |||||||
200,829 | ||||||||
EGYPT — 0.22% | ||||||||
Egyptian Financial Group-Hermes Holding Co.a | 96,854 | 136,515 | ||||||
Medinet Nasr Housinga | 76,646 | 96,244 | ||||||
Orascom Telecom Media And Technology Holding SAE GDRa | 135,576 | 33,555 | ||||||
Palm Hills Developments SAE | 332,946 | 63,850 | ||||||
South Valley Cementa | 224,687 | 64,846 | ||||||
|
| |||||||
395,010 | ||||||||
GREECE — 0.58% | ||||||||
Aegean Airlines SA | 11,636 | 81,729 | ||||||
Grivalia Properties REIC AE | 13,528 | 113,561 | ||||||
Hellenic Exchanges-Athens Stock Exchange SA | 24,623 | 120,356 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 61 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Metka Industrial-Construction SA | 14,238 | $ | 107,418 | |||||
Motor Oil Hellas Corinth Refineries SA | 19,270 | 298,954 | ||||||
Mytilineos Holdings SAa | 26,630 | 200,909 | ||||||
Public Power Corp. SAa | 34,150 | 99,792 | ||||||
|
| |||||||
1,022,719 | ||||||||
HUNGARY — 0.13% | ||||||||
Magyar Telekom Telecommunications PLC | 134,723 | 227,417 | ||||||
|
| |||||||
227,417 | ||||||||
INDIA — 12.35% | ||||||||
Adani Enterprises Ltd. | 72,660 | 107,271 | ||||||
Aditya Birla Fashion and Retail Ltd.a | 63,093 | 149,366 | ||||||
Aditya Birla Nuvo Ltd. | 11,332 | 244,911 | ||||||
AIA Engineering Ltd. | 13,601 | 301,900 | ||||||
Ajanta Pharma Ltd. | 9,603 | 247,197 | ||||||
Alembic Pharmaceuticals Ltd. | 21,731 | 188,912 | ||||||
Amara Raja Batteries Ltd. | 14,072 | 181,050 | ||||||
Andhra Bank | 126,631 | 106,762 | ||||||
Apollo Tyres Ltd. | 83,321 | 234,282 | ||||||
Arvind Ltd. | 42,857 | 244,158 | ||||||
Balkrishna Industries Ltd. | 16,863 | 328,736 | ||||||
Bayer CropScience Ltd./India | 4,639 | 268,503 | ||||||
Bharat Financial Inclusion Ltd.a | 10,708 | 135,433 | ||||||
Biocon Ltd. | 17,998 | 302,791 | ||||||
Blue Dart Express Ltd. | 2,593 | 166,586 | ||||||
Canara Bank Ltd.a | 29,448 | 130,448 | ||||||
Ceat Ltd. | 7,263 | 128,515 | ||||||
CESC Ltd. | 27,071 | 340,991 | ||||||
Cox & Kings Ltd. | 44,551 | 127,138 | ||||||
Credit Analysis & Research Ltd. | 7,372 | 154,260 | ||||||
CRISIL Ltd. | 7,746 | 233,754 | ||||||
Crompton Greaves Consumer Electricals Ltd.a | 107,088 | 304,802 | ||||||
Crompton Greaves Ltd.a | 159,860 | 165,206 | ||||||
Cyient Ltd. | 27,356 | 197,937 | ||||||
Dalmia Bharat Ltd. | 7,487 | 213,881 | ||||||
DCB Bank Ltd.a | 73,654 | 172,216 | ||||||
Dewan Housing Finance Corp. Ltd. | 52,301 | 261,157 | ||||||
Dish TV India Ltd.a | 161,384 | 233,421 | ||||||
eClerx Services Ltd. | 9,117 | 184,209 | ||||||
Edelweiss Financial Services Ltd. | 106,222 | 218,434 | ||||||
EID Parry India Ltd.a | 36,761 | 158,876 |
Security | Shares | Value | ||||||
Exide Industries Ltd. | 87,598 | $ | 278,147 | |||||
Federal Bank Ltd. | 366,557 | 479,906 | ||||||
Finolex Cables Ltd. | 36,375 | 242,886 | ||||||
Gateway Distriparks Ltd. | 40,583 | 150,030 | ||||||
Gayatri Projects Ltd. | 60,470 | 125,936 | ||||||
GE T&D India Ltd. | 27,979 | 125,178 | ||||||
Gillette India Ltd. | 3,561 | 215,452 | ||||||
GMR Infrastructure Ltd.a | 709,052 | 168,977 | ||||||
Great Eastern Shipping Co. Ltd. (The) | 37,218 | 206,427 | ||||||
Gujarat Fluorochemicals Ltd. | 17,907 | 141,082 | ||||||
Gujarat Gas Ltd. | 14,129 | 132,324 | ||||||
Gujarat Mineral Development Corp. Ltd. | 82,375 | 147,542 | ||||||
Gujarat Pipavav Port Ltd. | 59,320 | 135,944 | ||||||
Gujarat State Petronet Ltd. | 73,697 | 170,604 | ||||||
Hexaware Technologies Ltd. | 42,180 | 141,741 | ||||||
Housing Development & Infrastructure Ltd.a | 116,938 | 120,761 | ||||||
IIFL Holdings Ltd. | 50,212 | 280,679 | ||||||
India Cements Ltd. (The) | 65,427 | 166,807 | ||||||
Indian Hotels Co. Ltd. (The) | 139,334 | 261,987 | ||||||
Indraprastha Gas Ltd. | 13,693 | 214,091 | ||||||
Info Edge India Ltd. | 21,211 | 272,407 | ||||||
Ipca Laboratories Ltd.a | 20,055 | 166,437 | ||||||
IRB Infrastructure Developers Ltd. | 61,500 | 213,623 | ||||||
Jain Irrigation Systems Ltd. | 135,139 | 190,195 | ||||||
Jaiprakash Associates Ltd.a | 481,549 | 118,730 | ||||||
Jammu & Kashmir Bank Ltd. (The) | 100,656 | 111,339 | ||||||
Jindal Steel & Power Ltd.a | 96,178 | 180,842 | ||||||
Jubilant Foodworks Ltd. | 12,761 | 193,322 | ||||||
Jubilant Life Sciences Ltd. | 20,077 | 216,602 | ||||||
Just Dial Ltd.a | 14,112 | 115,635 | ||||||
Kajaria Ceramics Ltd. | 30,056 | 263,243 | ||||||
Kansai Nerolac Paints Ltd. | 48,747 | 259,996 | ||||||
KPIT Technologies Ltd. | 64,613 | 133,596 | ||||||
KRBL Ltd. | 30,704 | 177,039 | ||||||
L&T Finance Holdings Ltd. | 137,606 | 240,176 | ||||||
Mahanagar Gas Ltd. | 13,756 | 180,170 | ||||||
Manappuram Finance Ltd. | 149,734 | 218,030 | ||||||
Marksans Pharma Ltd. | 103,538 | 78,058 | ||||||
Max Financial Services Ltd. | 17,561 | 148,345 | ||||||
Max India Ltd.a | 45,623 | 101,546 | ||||||
MindTree Ltd. | 32,352 | 229,989 |
62 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Mphasis Ltd. | 23,448 | $ | 209,145 | |||||
Muthoot Finance Ltd. | 31,857 | 170,127 | ||||||
Natco Pharma Ltd. | 20,451 | 246,477 | ||||||
NCC Ltd./India | 120,858 | 151,800 | ||||||
Oberoi Realty Ltd. | 32,650 | 158,286 | ||||||
Page Industries Ltd. | 1,750 | 375,356 | ||||||
PC Jeweller Ltd. | 20,610 | 115,810 | ||||||
Persistent Systems Ltd. | 18,965 | 180,884 | ||||||
PI Industries Ltd. | 20,068 | 255,487 | ||||||
PTC India Ltd. | 187,912 | 248,836 | ||||||
PVR Ltd. | 12,646 | 245,561 | ||||||
Rajesh Exports Ltd. | 26,694 | 211,732 | ||||||
RBL Bank Ltd.a,c | 32,157 | 229,759 | ||||||
Redington India Ltd. | 124,375 | 198,720 | ||||||
Reliance Capital Ltd. | 32,583 | 260,395 | ||||||
Reliance Communications Ltd.a | 316,057 | 184,275 | ||||||
Reliance Infrastructure Ltd. | 32,038 | 272,583 | ||||||
Sadbhav Engineering Ltd. | 35,972 | 149,590 | ||||||
Strides Shasun Ltd. | 14,487 | 252,452 | ||||||
Sun Pharma Advanced Research Co. Ltd.a | 28,451 | 143,430 | ||||||
Sun TV Network Ltd. | 30,364 | 324,581 | ||||||
Sundaram Finance Ltd. | 11,063 | 238,766 | ||||||
Sundram Fasteners Ltd. | 18,677 | 93,975 | ||||||
Supreme Industries Ltd. | 18,832 | 284,701 | ||||||
Suzlon Energy Ltd.a | 729,425 | 197,884 | ||||||
Symphony Ltd. | 6,871 | 136,666 | ||||||
Syndicate Banka | 72,958 | 75,999 | ||||||
Tata Global Beverages Ltd. | 135,291 | 279,935 | ||||||
Thermax Ltd. | 14,593 | 188,004 | ||||||
Torrent Power Ltd. | 44,821 | 137,919 | ||||||
Tube Investments of India Ltd. | 30,377 | 283,560 | ||||||
TVS Motor Co. Ltd. | 44,210 | 284,071 | ||||||
Vakrangee Ltd. | 34,551 | 164,265 | ||||||
Voltas Ltd. | 41,361 | 231,544 | ||||||
WABCO India Ltd. | 2,277 | 186,068 | ||||||
Welspun India Ltd. | 87,977 | 117,555 | ||||||
Wockhardt Ltd. | 10,176 | 114,741 | ||||||
|
| |||||||
21,749,863 | ||||||||
INDONESIA — 2.37% | ||||||||
Ace Hardware Indonesia Tbk PT | 2,599,300 | 150,080 | ||||||
Agung Podomoro Land Tbk PTa | 4,566,400 | 77,385 | ||||||
Alam Sutera Realty Tbk PTa | 4,163,100 | 116,127 | ||||||
Aneka Tambang Persero Tbk PTa | 2,389,000 | 133,459 | ||||||
Arwana Citramulia Tbk PT | 2,238,500 | 72,513 |
Security | Shares | Value | ||||||
Bank Bukopin Tbk | 2,615,000 | $ | 118,632 | |||||
Bank Pembangunan Daerah Jawa Barat Dan Banten Tbk PT | 907,900 | 156,581 | ||||||
Bank Tabungan Negara Persero Tbk PT | 1,390,623 | 223,150 | ||||||
Ciputra Development Tbk PT | 3,690,063 | 379,078 | ||||||
Hanson International Tbk PTa | 22,516,400 | 209,361 | ||||||
Indo Tambangraya Megah Tbk PT | 133,700 | 176,449 | ||||||
Japfa Comfeed Indonesia Tbk PT | 1,363,400 | 176,355 | ||||||
Kawasan Industri Jababeka Tbk PTa | 7,677,394 | 177,312 | ||||||
Kresna Graha Investama PT Tbka | 4,936,800 | 148,815 | ||||||
Link Net Tbk PT | 382,300 | 139,320 | ||||||
Mitra Adiperkasa Tbk PTa | 294,800 | 118,817 | ||||||
Multipolar Tbk PTa | 2,606,813 | 69,197 | ||||||
Pembangunan Perumahan Persero Tbk PT | 1,179,525 | 307,794 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 917,700 | 101,500 | ||||||
PP Properti Tbk PT | 6,251,600 | 153,759 | ||||||
Ramayana Lestari Sentosa Tbk PT | 1,374,400 | 135,008 | ||||||
Semen Baturaja Persero TBK PT | 789,100 | 136,684 | ||||||
Sugih Energy Tbk PTa | 5,450,300 | 34,739 | ||||||
Surya Semesta Internusa Tbk PT | 2,268,050 | 93,538 | ||||||
Tambang Batubara Bukit Asam Persero Tbk PT | 216,100 | 181,083 | ||||||
Tiga Pilar Sejahtera Food Tbka | 683,500 | 102,504 | ||||||
Timah Persero Tbk PT | 1,133,796 | 84,168 | ||||||
Wijaya Karya Persero Tbk PT | 1,049,448 | 196,732 | ||||||
|
| |||||||
4,170,140 | ||||||||
MALAYSIA — 3.11% | ||||||||
Bumi Armada Bhda,b | 748,100 | 122,156 | ||||||
Bursa Malaysia Bhdb | 150,100 | 296,819 | ||||||
Cahya Mata Sarawak Bhdb | 205,900 | 197,553 | ||||||
Carlsberg Brewery Malaysia Bhd | 66,100 | 211,401 | ||||||
DRB-Hicom Bhd | 150,800 | 48,229 | ||||||
Eastern & Oriental Bhdb | 403,481 | 169,935 | ||||||
IGB REITb | 775,000 | 289,752 | ||||||
Inari Amertron Bhd | 483,600 | 208,035 | ||||||
Karex Bhdb | 210,100 | 105,050 | ||||||
Kossan Rubber Industries | 112,100 | 158,808 | ||||||
KPJ Healthcare Bhd | 295,150 | 272,548 | ||||||
Magnum Bhd | 389,500 | 191,241 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 63 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Mah Sing Group Bhdb | 451,457 | $ | 150,486 | |||||
Malaysia Building Society Bhdb | 442,200 | 112,542 | ||||||
Malaysian Pacific Industries Bhd | 59,800 | 129,701 | ||||||
Malaysian Resources Corp. Bhd | 321,400 | 102,790 | ||||||
Media Prima Bhd | 525,300 | 121,860 | ||||||
My EG Services Bhd | 701,100 | 257,386 | ||||||
OSK Holdings Bhd | 396,587 | 128,623 | ||||||
POS Malaysia Bhd | 130,200 | 129,027 | ||||||
Press Metal Bhd | 382,240 | 213,503 | ||||||
QL Resources Bhd | 251,000 | 251,565 | ||||||
Sunway Bhdb | 370,400 | 269,458 | ||||||
Sunway Construction Group Bhd | 412,020 | 162,395 | ||||||
Sunway REIT | 614,300 | 235,205 | ||||||
Supermax Corp. Bhd | 162,000 | 73,338 | ||||||
TIME dotCom Bhd | 111,100 | 217,696 | ||||||
Top Glove Corp. Bhdb | 219,800 | 249,008 | ||||||
Unisem M Bhd | 221,500 | 135,195 | ||||||
VS Industry Bhd | 338,000 | 118,757 | ||||||
WCT Holdings Bhd | 341,347 | 145,303 | ||||||
|
| |||||||
5,475,365 | ||||||||
MEXICO — 2.72% | ||||||||
Alsea SAB de CV | 144,059 | 408,195 | ||||||
Axtel SAB de CV CPOa,b | 301,000 | 55,404 | ||||||
Banregio Grupo Financiero SAB de CV | 59,400 | 309,022 | ||||||
Bolsa Mexicana de Valores SAB de CVb | 111,000 | 160,897 | ||||||
Concentradora Fibra Hotelera Mexicana SA de CV | 172,700 | 128,708 | ||||||
Consorcio ARA SAB de CV | 347,000 | 105,006 | ||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa,b | 178,900 | 218,427 | ||||||
Corp Inmobiliaria Vesta SAB de CV | 157,900 | 194,287 | ||||||
Genomma Lab Internacional SAB de CV Series Ba | 208,800 | 241,147 | ||||||
Grupo Aeromexico SAB de CVa,b | 132,300 | 295,732 | ||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 66,800 | 322,661 | ||||||
Grupo Comercial Chedraui SA de CV | 65,400 | 122,310 | ||||||
Grupo Financiero Interacciones SA de CV Series O | 31,500 | 139,107 | ||||||
Grupo Herdez SAB de CVb | 77,400 | 144,752 |
Security | Shares | Value | ||||||
Industrias Bachoco SAB de CV Series B | 52,000 | $ | 208,284 | |||||
Industrias CH SAB de CV Series Ba | 40,900 | 262,366 | ||||||
La Comer SAB de CVa,b | 132,800 | 89,340 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 232,900 | 240,906 | ||||||
Minera Frisco SAB de CV Series A1a,b | 172,900 | 121,160 | ||||||
PLA Administradora Industrial S. de RL de CVb | 185,100 | 275,251 | ||||||
Prologis Property Mexico SA de CV | 116,400 | 172,567 | ||||||
Qualitas Controladora SAB de CV | 82,700 | 130,258 | ||||||
Telesites SAB de CVa,b | 434,900 | 250,158 | ||||||
TV Azteca SAB de CV CPOb | 459,300 | 73,744 | ||||||
Unifin Financiera SAB de CV SOFOM ENRb | 55,000 | 125,666 | ||||||
Urbi Desarrollos Urbanos SAB de CVa | 1 | — | ||||||
|
| |||||||
4,795,355 | ||||||||
PHILIPPINES — 1.06% | ||||||||
Bloomberry Resorts Corp.a | 1,110,200 | 162,722 | ||||||
Cebu Air Inc. | 87,340 | 160,018 | ||||||
Cosco Capital Inc. | 912,100 | 162,022 | ||||||
D&L Industries Inc. | 988,300 | 257,432 | ||||||
DoubleDragon Properties Corp.a | 201,410 | 216,592 | ||||||
Filinvest Land Inc. | 5,583,000 | 183,450 | ||||||
First Gen Corp. | 416,400 | 174,968 | ||||||
First Philippine Holdings Corp. | 112,670 | 164,018 | ||||||
Manila Water Co. Inc. | 420,500 | 255,825 | ||||||
Vista Land & Lifescapes Inc. | 1,440,500 | 133,393 | ||||||
|
| |||||||
1,870,440 | ||||||||
POLAND — 1.13% | ||||||||
Asseco Poland SA | 19,996 | 275,783 | ||||||
Budimex SA | 4,074 | 245,071 | ||||||
CD Projekt SAa | 18,876 | 327,512 | ||||||
Ciech SA | 8,658 | 159,711 | ||||||
Enea SAa | 66,420 | 174,542 | ||||||
Globe Trade Centre SAa | 69,151 | 139,653 | ||||||
KRUK SA | 4,547 | 274,364 | ||||||
Netia SA | 89,663 | 99,372 | ||||||
PKP Cargo SAa | 9,787 | 141,948 | ||||||
Warsaw Stock Exchange | 13,396 | 156,911 | ||||||
|
| |||||||
1,994,867 |
64 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
QATAR — 0.70% | ||||||||
Gulf International Services QSC | 8,804 | $ | 71,085 | |||||
Qatar First Banka | 60,012 | 161,351 | ||||||
Qatar National Cement Co. QSC | 8,366 | 216,660 | ||||||
Qatari Investors Group QSC | 936 | 15,423 | ||||||
Salam International Investment Ltd. QSC | 64,081 | 191,297 | ||||||
United Development Co. QSC | 55,365 | 331,468 | ||||||
Vodafone Qatar QSCa | 95,943 | 244,781 | ||||||
|
| |||||||
1,232,065 | ||||||||
RUSSIA — 0.83% | ||||||||
Acron JSC | 3,511 | 203,019 | ||||||
Aeroflot PJSCa | 159,156 | 453,068 | ||||||
DIXY Group OJSCa | 36,280 | 153,411 | ||||||
LSR Group PJSC GDRd | 68,577 | 246,192 | ||||||
M Video OJSC | 32,520 | 207,298 | ||||||
Mechel PJSCa | 18,313 | 89,184 | ||||||
TMK PJSC GDRd | 19,578 | 101,806 | ||||||
|
| |||||||
1,453,978 | ||||||||
SOUTH AFRICA — 5.69% | ||||||||
Adcock Ingram Holdings Ltd.b | 26,748 | 120,325 | ||||||
Advtech Ltd. | 139,684 | 202,691 | ||||||
Aeci Ltd. | 32,759 | 274,144 | ||||||
African Rainbow Minerals Ltd. | 28,214 | 218,939 | ||||||
Alexander Forbes Group Holdings Ltd. | 281,441 | 150,403 | ||||||
Arrowhead Properties Ltd. Class A | 212,392 | 145,167 | ||||||
Ascendis Health Ltd.b | 80,515 | 131,729 | ||||||
Assore Ltd. | 9,146 | 189,633 | ||||||
Astral Foods Ltd. | 13,555 | 153,831 | ||||||
Attacq Ltd.a | 127,708 | 176,526 | ||||||
AVI Ltd. | 85,056 | 619,387 | ||||||
Barloworld Ltd. | 54,387 | 481,749 | ||||||
Blue Label Telecoms Ltd. | 128,647 | 182,742 | ||||||
Cashbuild Ltd. | 5,971 | 168,909 | ||||||
City Lodge Hotels Ltd. | 14,249 | 168,853 | ||||||
Clicks Group Ltd. | 64,270 | 631,399 | ||||||
Clover Industries Ltd. | 115,582 | 169,043 | ||||||
Curro Holdings Ltd.a | 32,114 | 120,280 | ||||||
DataTec Ltd. | 54,956 | 229,319 | ||||||
Emira Property Fund Ltd. | 161,662 | 181,684 | ||||||
EOH Holdings Ltd. | 31,327 | 337,220 | ||||||
Famous Brands Ltd. | 18,576 | 219,418 | ||||||
Grindrod Ltd. | 126,358 | 131,671 |
Security | Shares | Value | ||||||
Harmony Gold Mining Co. Ltd. | 111,996 | $ | 273,140 | |||||
Hosken Consolidated Investments Ltd. | 17,062 | 187,669 | ||||||
JSE Ltd. | 21,755 | 270,773 | ||||||
KAP Industrial Holdings Ltd. | 450,810 | 322,943 | ||||||
Lewis Group Ltd. | 26,593 | 85,472 | ||||||
Mpact Ltd. | 64,714 | 149,911 | ||||||
Murray & Roberts Holdings Ltd.b | 138,937 | 162,412 | ||||||
Nampak Ltd.a | 162,195 | 206,464 | ||||||
Northam Platinum Ltd.a | 93,269 | 386,624 | ||||||
Omnia Holdings Ltd. | 17,107 | 226,367 | ||||||
PPC Ltd.a | 573,065 | 289,161 | ||||||
Raubex Group Ltd. | 69,111 | 129,504 | ||||||
Reunert Ltd. | 44,909 | 240,922 | ||||||
SA Corporate Real Estate Ltd. | 552,602 | 237,011 | ||||||
Sun International Ltd./South Africa | 30,607 | 202,175 | ||||||
Super Group Ltd./South Africaa | 89,186 | 237,284 | ||||||
Tongaat Hulett Ltd. | 27,586 | 267,002 | ||||||
Trencor Ltd. | 51,596 | 150,883 | ||||||
Vukile Property Fund Ltd. | 177,035 | 254,048 | ||||||
Wilson Bayly Holmes-Ovcon Ltd. | 15,110 | 168,370 | ||||||
Zeder Investments Ltd. | 313,360 | 178,242 | ||||||
|
| |||||||
10,031,439 | ||||||||
SOUTH KOREA — 16.58% | ||||||||
Able C&C Co. Ltd. | 5,800 | 113,358 | ||||||
Advanced Process Systems Corp.a,b | 6,493 | 159,920 | ||||||
AeroSpace Technology of Korea Inc.a,b | 6,065 | 85,819 | ||||||
Agabang & Co.a,b | 13,668 | 86,789 | ||||||
Ahnlab Inc.b | 1,945 | 111,634 | ||||||
ALUKO Co. Ltd. | 17,679 | 80,675 | ||||||
Amicogen Inc.a,b | 2,393 | 88,884 | ||||||
Asiana Airlines Inc.a | 31,500 | 128,563 | ||||||
ATGen Co. Ltd.a,b | 3,001 | 85,989 | ||||||
Binex Co. Ltd.a,b | 9,970 | 133,139 | ||||||
Binggrae Co. Ltd.a | 2,775 | 163,199 | ||||||
Bukwang Pharmaceutical Co. Ltd. | 7,552 | 156,951 | ||||||
Caregen Co. Ltd.b | 1,083 | 66,182 | ||||||
Cell Biotech Co. Ltd. | 2,484 | 81,610 | ||||||
Celltrion Pharm Inc.a,b | 6,039 | 118,564 | ||||||
Cellumed Co. Ltd.a,b | 50,724 | 51,139 | ||||||
Chabiotech Co. Ltd.a | 14,339 | 165,487 | ||||||
Chong Kun Dang Pharmaceutical Corp. | 1,663 | 161,042 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 65 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
CJ CGV Co. Ltd.b | 3,957 | $ | 261,409 | |||||
CJ Freshway Corp. | 3,396 | 96,256 | ||||||
CJ O Shopping Co. Ltd. | 1,078 | 184,855 | ||||||
CMG Pharmaceutical Co. Ltd.a,b | 29,421 | 91,067 | ||||||
Com2uSCorp. | 2,827 | 273,762 | ||||||
Cosmax Inc.b | 2,156 | 273,611 | ||||||
COSON Co. Ltd.a,b | 8,275 | 90,379 | ||||||
CrucialTec Co. Ltd.a,b | 12,376 | 90,186 | ||||||
CrystalGenomics Inc.a | 5,981 | 83,573 | ||||||
Dae Hwa Pharmaceutical Co. Ltd.b | 3,870 | 77,178 | ||||||
Daesang Corp.a | 6,712 | 146,616 | ||||||
Daewoo Shipbuilding & Marine Engineering Co. Ltd.a | 21,862 | 73,624 | ||||||
Daewoong Pharmaceutical Co. Ltd. | 1,553 | 113,994 | ||||||
Daishin Securities Co. Ltd.a | 13,660 | 138,321 | ||||||
Daou Technology Inc.a | 8,475 | 137,908 | ||||||
Dawonsys Co. Ltd.b | 7,650 | 71,037 | ||||||
DIO Corp.a | 3,358 | 85,973 | ||||||
Dong-A Socio Holdings Co. Ltd.a | 1,006 | 113,878 | ||||||
Dong-A ST Co. Ltd.a | 1,426 | 119,427 | ||||||
Dongbu HiTek Co. Ltd.a | 10,282 | 170,950 | ||||||
Dongkuk Steel Mill Co. Ltd.b | 15,989 | 178,166 | ||||||
Dongwon Development Co. Ltd. | 45,876 | 175,674 | ||||||
Dongwon F&B Co. Ltd. | 444 | 84,815 | ||||||
Doosan Infracore Co. Ltd.a,b | 36,005 | 294,536 | ||||||
DoubleUGames Co. Ltd. | 3,583 | 131,976 | ||||||
DuzonBIzon Co. Ltd. | 6,443 | 131,054 | ||||||
Easy Bio Inc.a | 21,067 | 111,972 | ||||||
Emerson Pacific Inc.a,b | 2,601 | 72,343 | ||||||
EO Technics Co. Ltd.a | 2,511 | 184,980 | ||||||
Fila Korea Ltd.b | 2,970 | 196,731 | ||||||
Finetex EnE Inc.a,b | 15,670 | 73,586 | ||||||
Foosung Co. Ltd.a | 18,660 | 111,226 | ||||||
G-SMATT GLOBAL Co. Ltd.a | 6,112 | 74,052 | ||||||
G-treeBNT Co. Ltd.a,b | 7,099 | 102,648 | ||||||
Gamevil Inc.a,b | 2,249 | 115,359 | ||||||
GemVax & Kael Co. Ltd.a | 9,845 | 107,091 | ||||||
Genexine Co. Ltd.a,b | 3,115 | 108,539 | ||||||
GNCO Co. Ltd.a,b | 17,869 | 36,821 | ||||||
Grand Korea Leisure Co. Ltd. | 9,828 | 185,565 | ||||||
Green Cross Cell Corp. | 3,510 | 82,725 | ||||||
Green Cross Corp./South Korea | 1,512 | 202,581 | ||||||
Green Cross Holdings Corp. | 7,063 | 166,152 |
Security | Shares | Value | ||||||
GS Home Shopping Inc. | 1,158 | $ | 220,898 | |||||
Halla Holdings Corp. | 2,991 | 167,173 | ||||||
Hana Tour Service Inc. | 2,696 | 200,278 | ||||||
Hanall Biopharma Co. Ltd.a,b | 7,358 | 83,943 | ||||||
Handsome Co. Ltd. | 4,974 | 132,845 | ||||||
Hanjin Heavy Industries & Construction Co. Ltd.a | 25,856 | 72,372 | ||||||
Hanjin Kal Corp.a | 12,250 | 183,086 | ||||||
Hanjin Transportation Co. Ltd.a,b | 3,484 | 83,191 | ||||||
Hankook Tire Worldwide Co. Ltd.a | 7,597 | 137,730 | ||||||
Hansae Co. Ltd.b | 5,893 | 135,762 | ||||||
Hansol Chemical Co. Ltd. | 3,139 | 212,922 | ||||||
Hansol Holdings Co. Ltd.a | 27,767 | 161,089 | ||||||
Hansol Technics Co. Ltd.a | 6,239 | 94,626 | ||||||
Hanwha Investment & Securities Co. Ltd.a,b | 47,322 | 96,464 | ||||||
Hite Jinro Co. Ltd.a | 8,894 | 165,964 | ||||||
HLB Inc.a,b | 8,484 | 111,794 | ||||||
Homecast Co. Ltd.a,b | 7,566 | 62,763 | ||||||
HS Industries Co. Ltd.a | 10,840 | 102,576 | ||||||
Huchems Fine Chemical Corp. | 8,575 | 174,040 | ||||||
Hugel Inc.a | 710 | 231,445 | ||||||
Humedix Co. Ltd.b | 3,286 | 91,395 | ||||||
Huons Co. Ltd.a | 1,829 | 81,037 | ||||||
Huons Global Co. Ltd. | 2,446 | 62,732 | ||||||
Hwa Shin Co. Ltd. | 18,078 | 112,233 | ||||||
Hyundai Corp.a | 5,181 | 95,762 | ||||||
Hyundai Elevator Co. Ltd.a | 3,901 | 195,611 | ||||||
Hyundai Greenfood Co. Ltd. | 15,516 | 231,900 | ||||||
Hyundai Home Shopping Network Corp. | 1,889 | 191,281 | ||||||
Hyundai Livart Furniture Co. Ltd.b | 4,034 | 102,745 | ||||||
Hyundai Mipo Dockyard Co. Ltd.a,b | 3,019 | 194,903 | ||||||
Hyundai Rotem Co. Ltd.a | 7,826 | 142,574 | ||||||
Iljin Materials Co. Ltd.a | 5,826 | 78,831 | ||||||
Ilyang Pharmaceutical Co. Ltd.b | 4,037 | 142,986 | ||||||
InBody Co. Ltd. | 4,982 | 104,420 | ||||||
Innocean Worldwide Inc. | 2,930 | 158,063 | ||||||
Interojo Co. Ltd. | 4,882 | 160,179 | ||||||
Interpark Holdings Corp. | 22,024 | 93,102 | ||||||
iNtRON Biotechnology Inc.a | 3,677 | 84,547 | ||||||
IS Dongseo Co. Ltd.a | 3,683 | 139,079 | ||||||
Jeil Pharmaceutical Co.b | 1,944 | 119,141 | ||||||
Jenax Inc.a,b | 4,247 | 78,499 |
66 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Jusung Engineering Co. Ltd.a | 14,882 | $ | 140,825 | |||||
JW Holdings Corp.b | 10,733 | 75,841 | ||||||
JW Pharmaceutical Corp.b | 3,377 | 139,022 | ||||||
JW Shinyak Corp. | 13,412 | 87,061 | ||||||
KB Insurance Co. Ltd. | 13,001 | 302,964 | ||||||
KC Tech Co. Ltd. | 8,831 | 103,481 | ||||||
KEPCO Engineering & Construction Co. Inc.a,b | 4,111 | 97,435 | ||||||
KH Vatec Co. Ltd.b | 6,910 | 83,109 | ||||||
KIWOOM Securities Co. Ltd.a | 3,451 | 235,306 | ||||||
Koh Young Technology Inc. | 4,817 | 215,130 | ||||||
Kolmar BNH Co. Ltd.a,b | 4,876 | 77,404 | ||||||
Kolon Corp. | 1,857 | 92,460 | ||||||
Kolon Industries Inc. | 4,600 | 289,648 | ||||||
Kolon Life Science Inc. | 1,323 | 129,872 | ||||||
Komipharm International Co. Ltd.a | 9,281 | 266,344 | ||||||
KONA I Co. Ltd.a,b | 7,979 | 74,798 | ||||||
Korea Electric Terminal Co. Ltd. | 2,112 | 132,613 | ||||||
Korea Kolmar Co. Ltd.a | 4,093 | 277,633 | ||||||
Korea Kolmar Holdings Co. Ltd.a,b | 2,891 | 71,588 | ||||||
Korea PetroChemical Ind. Co. Ltd. | 816 | 191,958 | ||||||
Korea REIT Co. Ltd.b | 56,022 | 156,807 | ||||||
Korean Reinsurance Co. | 32,296 | 319,890 | ||||||
KT Skylife Co. Ltd. | 9,256 | 137,111 | ||||||
Kumho Tire Co. Inc.a | 35,747 | 256,702 | ||||||
Kyung Dong Navien Co. Ltd.b | 2,508 | 90,605 | ||||||
Leaders Cosmetics Co. Ltd.a,b | 4,319 | 65,506 | ||||||
LEENO Industrial Inc. | 4,483 | 164,928 | ||||||
LF Corp. | 9,477 | 176,843 | ||||||
LG Hausys Ltd. | 1,941 | 180,239 | ||||||
LG International Corp. | 8,493 | 244,857 | ||||||
Lock&Lock Co. Ltd. | 8,750 | 119,943 | ||||||
Loen Entertainment Inc. | 2,293 | 162,229 | ||||||
LOTTE Fine Chemical Co. Ltd. | 5,954 | 177,712 | ||||||
Lotte Food Co. Ltd. | 246 | 138,582 | ||||||
LOTTE Himart Co. Ltd. | 3,159 | 134,937 | ||||||
LS Corp. | 5,268 | 315,870 | ||||||
LS Industrial Systems Co. Ltd. | 4,482 | 171,630 | ||||||
Lutronic Corp. | 3,292 | 85,885 | ||||||
Macrogen Inc.a,b | 5,773 | 147,037 | ||||||
Mando Corp. | 1,859 | 436,493 | ||||||
Medipost Co. Ltd.a | 2,652 | 135,561 | ||||||
Medy-Tox Inc. | 1,134 | 412,582 | ||||||
Meritz Financial Group Inc. | 17,343 | 180,217 |
Security | Shares | Value | ||||||
Meritz Fire & Marine Insurance Co. Ltd. | 23,108 | $ | 314,714 | |||||
Meritz Securities Co. Ltd. | 79,038 | 255,480 | ||||||
Muhak Co. Ltd.b | 5,633 | 116,571 | ||||||
Namhae Chemical Corp. | 18,452 | 148,171 | ||||||
Namyang Dairy Products Co. Ltd.a | 207 | 140,776 | ||||||
Naturalendo Tech Co. Ltd.a,b | 5,096 | 72,784 | ||||||
Nexen Tire Corp. | 13,639 | 170,073 | ||||||
NHN Entertainment Corp.a | 3,562 | 184,282 | ||||||
NHN KCP Corp.a | 6,101 | 70,951 | ||||||
NICE Holdings Co. Ltd.a | 6,297 | 99,961 | ||||||
NICE Information Service Co. Ltd.a | 13,357 | 82,806 | ||||||
NongShim Co. Ltd. | 925 | 257,683 | ||||||
NS Shopping Co. Ltd.b | 916 | 133,664 | ||||||
NUTRIBIOTECH Co. Ltd.a,b | 3,770 | 96,688 | ||||||
Osstem Implant Co. Ltd.a | 3,714 | 189,190 | ||||||
Paradise Co. Ltd.b | 13,306 | 182,395 | ||||||
Partron Co. Ltd. | 12,485 | 122,559 | ||||||
Peptron Inc.a | 2,235 | 75,307 | ||||||
Poongsan Corp. | 6,959 | 252,020 | ||||||
POSCO Chemtech Co. Ltd. | 12,878 | 149,195 | ||||||
POSCO ICT Co. Ltd. | 27,081 | 148,008 | ||||||
S&T Dynamics Co. Ltd.a | 14,221 | 120,484 | ||||||
S&T Motiv Co. Ltd. | 3,983 | 169,077 | ||||||
Samsung Engineering Co. Ltd.a | 38,162 | 418,491 | ||||||
Samyang Corp. | 1,115 | 96,536 | ||||||
Samyang Holdings Corp. | 1,014 | 100,884 | ||||||
Schnell Biopharmaceuticals Inc.a,b | 29,544 | 96,934 | ||||||
Seah Besteel Corp. | 5,339 | 122,999 | ||||||
Seegene Inc.a,b | 5,583 | 169,848 | ||||||
Seoul Semiconductor Co. Ltd.b | 12,144 | 180,428 | ||||||
SFA Engineering Corp. | 3,339 | 191,644 | ||||||
SK Chemicals Co. Ltd. | 4,951 | 283,290 | ||||||
SK Materials Co. Ltd. | 1,827 | 275,322 | ||||||
SK Securities Co. Ltd.a | 149,738 | 159,570 | ||||||
SKC Co. Ltd. | 6,210 | 172,721 | ||||||
SM Entertainment Co.a | 6,425 | 137,790 | ||||||
Soulbrain Co. Ltd.b | 2,986 | 126,755 | ||||||
SPC Samlip Co. Ltd.a | 715 | 135,950 | ||||||
Ssangyong Cement Industrial Co. Ltd. | 8,673 | 109,683 | ||||||
Ssangyong Information & Communication Corp.a | 2,425 | 4,643 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 67 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Sung Kwang Bend Co. Ltd.a,b | 12,035 | $ | 106,114 | |||||
Sungwoo Hitech Co. Ltd. | 17,912 | 122,133 | ||||||
Taekwang Industrial Co. Ltd.a | 176 | 149,734 | ||||||
Taewoong Co. Ltd.a,b | 4,683 | 100,431 | ||||||
Tongyang Inc.a | 64,581 | 157,919 | ||||||
Tongyang Life Insurance Co. Ltd.a,b | 14,864 | 138,682 | ||||||
Toptec Co. Ltd. | 7,104 | 141,043 | ||||||
Vieworks Co. Ltd. | 3,080 | 171,331 | ||||||
ViroMed Co. Ltd.a | 3,588 | 296,686 | ||||||
Webzen Inc.a | 6,679 | 121,678 | ||||||
WeMade Entertainment Co. Ltd.b | 3,787 | 96,287 | ||||||
WONIK IPS Co. Ltd.a | 6,975 | 138,174 | ||||||
Woongjin Thinkbig Co. Ltd.a | 12,286 | 96,919 | ||||||
Youngone Corp. | 6,425 | 182,394 | ||||||
Yuanta Securities Korea Co. Ltd.a | 31,608 | 92,804 | ||||||
Yungjin Pharmaceutical Co. Ltd.a,b | 15,560 | 114,214 | ||||||
|
| |||||||
29,213,049 | ||||||||
TAIWAN — 18.04% | ||||||||
A-DATA Technology Co. Ltd. | 78,000 | 135,317 | ||||||
Accton Technology Corp. | 133,000 | 244,585 | ||||||
Advanced Wireless Semiconductor Co. | 59,000 | 118,102 | ||||||
Airtac International Group | 29,850 | 275,926 | ||||||
Ambassador Hotel (The) | 258,000 | 200,280 | ||||||
AmTRAN Technology Co. Ltd. | 244,312 | 184,088 | ||||||
Asia Optical Co. Inc.a | 96,000 | 161,232 | ||||||
Asia Polymer Corp. | 283,252 | 173,325 | ||||||
ASPEED Technology Inc. | 8,000 | 127,069 | ||||||
Basso Industry Corp. | 33,000 | 95,058 | ||||||
BES Engineering Corp. | 805,000 | 179,742 | ||||||
Bizlink Holding Inc. | 27,982 | 172,135 | ||||||
Cathay Real Estate Development Co. Ltd. | 331,300 | 225,910 | ||||||
Chaun-Choung Technology Corp. | 23,000 | 108,174 | ||||||
Cheng Loong Corp. | 644,000 | 307,081 | ||||||
Cheng Uei Precision Industry Co. Ltd. | 161,000 | 201,489 | ||||||
Chin-Poon Industrial Co. Ltd. | 91,000 | 181,861 | ||||||
China Bills Finance Corp. | 501,000 | 225,033 | ||||||
China Man-Made Fiber Corp. | 576,700 | 174,567 | ||||||
China Petrochemical Development Corp.a | 616,000 | 243,605 | ||||||
China Steel Chemical Corp. | 50,000 | 208,310 | ||||||
China Synthetic Rubber Corp. | 234,460 | 230,465 |
Security | Shares | Value | ||||||
Chipbond Technology Corp. | 165,000 | $ | 255,366 | |||||
Chlitina Holding Ltd. | 14,000 | 74,503 | ||||||
Chong Hong Construction Co. Ltd. | 60,424 | 138,259 | ||||||
Chroma ATE Inc. | 94,000 | 286,986 | ||||||
Chunghwa Precision Test Tech Co. Ltd. | 4,000 | 181,620 | ||||||
Compeq Manufacturing Co. Ltd. | 308,000 | 200,999 | ||||||
Coretronic Corp. | 167,400 | 236,197 | ||||||
CSBC Corp. Taiwan | 351,420 | 163,566 | ||||||
CTCI Corp. | 199,000 | 329,686 | ||||||
D-Link Corp. | 503,246 | 185,911 | ||||||
E Ink Holdings Inc. | 216,000 | 177,870 | ||||||
Egis Technology Inc.a | 19,000 | 162,026 | ||||||
Elan Microelectronics Corp. | 147,000 | 180,619 | ||||||
Elite Advanced Laser Corp. | 38,200 | 189,611 | ||||||
Elite Material Co. Ltd. | 79,000 | 289,274 | ||||||
Ennoconn Corp. | 11,000 | 173,646 | ||||||
Epistar Corp.a | 241,000 | 226,696 | ||||||
Eternal Materials Co. Ltd. | 252,555 | 276,201 | ||||||
Everlight Electronics Co. Ltd. | 119,000 | 191,339 | ||||||
Far Eastern Department Stores Ltd. | 256,000 | 136,651 | ||||||
Far Eastern International Bank | 878,139 | 267,242 | ||||||
Faraday Technology Corp. | 106,000 | 124,205 | ||||||
Feng Hsin Steel Co. Ltd. | 172,000 | 290,553 | ||||||
Firich Enterprises Co. Ltd. | 60,493 | 120,106 | ||||||
FLEXium Interconnect Inc. | 77,445 | 238,207 | ||||||
Formosan Rubber Group Inc. | 408,300 | 226,586 | ||||||
General Interface Solution Holding Ltd. | 31,000 | 127,134 | ||||||
Getac Technology Corp. | 139,000 | 194,542 | ||||||
Gigabyte Technology Co. Ltd. | 161,000 | 224,284 | ||||||
Gigastorage Corp.a | 127,400 | 101,179 | ||||||
Ginko International Co. Ltd. | 13,000 | 127,362 | ||||||
Gintech Energy Corp.a | 153,647 | 94,268 | ||||||
Global Unichip Corp. | 53,000 | 175,956 | ||||||
Gloria Material Technology Corp. | 324,850 | 255,346 | ||||||
Goldsun Building Materials Co. Ltd. | 649,000 | 188,214 | ||||||
Gourmet Master Co. Ltd. | 17,700 | 166,207 | ||||||
Grand Pacific Petrochemical | 302,000 | 218,217 | ||||||
Grape King Bio Ltd. | 30,000 | 199,684 | ||||||
Great Wall Enterprise Co. Ltd. | 194,128 | 183,554 | ||||||
Greatek Electronics Inc. | 136,000 | 184,588 | ||||||
Green Energy Technology Inc.a | 139,125 | 81,283 |
68 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
HannStar Display Corp.a | 683,320 | $ | 172,367 | |||||
Ho Tung Chemical Corp.a | 676,524 | 200,600 | ||||||
Holy Stone Enterprise Co. Ltd. | 225,500 | 254,686 | ||||||
Hota Industrial Manufacturing Co. Ltd. | 50,000 | 224,584 | ||||||
Huaku Development Co. Ltd. | 111,080 | 243,321 | ||||||
Huang Hsiang Construction Corp. | 50,000 | 66,968 | ||||||
Hung Sheng Construction Ltd. | 248,000 | 158,211 | ||||||
International Games System Co. Ltd. | 14,000 | 93,869 | ||||||
Iron Force Industrial Co. Ltd. | 16,000 | 93,479 | ||||||
ITEQ Corp. | 148,600 | 202,415 | ||||||
Jih Sun Financial Holdings Co. Ltd. | 502,690 | 113,714 | ||||||
Kenda Rubber Industrial Co. Ltd. | 166,341 | 268,541 | ||||||
Kerry TJ Logistics Co. Ltd. | 128,000 | 183,729 | ||||||
Kindom Construction Corp. | 228,000 | 173,281 | ||||||
King Slide Works Co. Ltd. | 17,000 | 234,609 | ||||||
King Yuan Electronics Co. Ltd. | 311,000 | 291,023 | ||||||
King’s Town Bank Co. Ltd. | 251,000 | 233,652 | ||||||
Kinpo Electronics | 405,000 | 166,094 | ||||||
Kinsus Interconnect Technology Corp. | 73,000 | 201,963 | ||||||
Land Mark Optoelectronics Corp. | 14,400 | 150,452 | ||||||
LCY Chemical Corp. | 135,000 | 195,095 | ||||||
Lealea Enterprise Co. Ltd. | 848,590 | 238,915 | ||||||
Li Cheng Enterprise Co. Ltd. | 18,000 | 52,318 | ||||||
Lien Hwa Industrial Corp. | 270,814 | 206,701 | ||||||
Makalot Industrial Co. Ltd. | 44,559 | 180,565 | ||||||
Masterlink Securities Corp. | 637,121 | 188,709 | ||||||
Medigen Biotechnology Corp.a | 10,397 | 25,786 | ||||||
Mercuries & Associates Holding Ltd. | 314,225 | 257,222 | ||||||
Merry Electronics Co. Ltd. | 43,000 | 201,540 | ||||||
Microbio Co. Ltd.a | 197,727 | 147,377 | ||||||
Mitac Holdings Corp. | 162,379 | 173,089 | ||||||
Motech Industries Inc.a | 107,000 | 102,739 | ||||||
Nan Kang Rubber Tire Co. Ltd. | 162,000 | 164,776 | ||||||
Neo Solar Power Corp.a | 235,364 | 119,124 | ||||||
Pan-International Industrial Corp. | 130,722 | 117,219 | ||||||
Parade Technologies Ltd. | 18,000 | 190,408 | ||||||
PChome Online Inc. | 24,360 | 162,540 | ||||||
PharmaEngine Inc. | 18,798 | 125,122 | ||||||
PharmaEssentia Corp.a | 37,000 | 195,697 | ||||||
Pixart Imaging Inc. | 65,635 | 169,623 |
Security | Shares | Value | ||||||
Poya International Co. Ltd. | 15,251 | $ | 176,965 | |||||
President Securities Corp. | 328,390 | 140,555 | ||||||
Primax Electronics Ltd. | 123,000 | 188,162 | ||||||
Prince Housing & Development Corp. | 480,917 | 174,532 | ||||||
Qisda Corp. | 486,000 | 253,096 | ||||||
Radiant Opto-Electronics Corp. | 119,000 | 245,952 | ||||||
Radium Life Tech Co. Ltd.a | 584,707 | 192,216 | ||||||
Ritek Corp.a | 542,260 | 108,722 | ||||||
Sanyang Motor Co. Ltd. | 204,820 | 141,331 | ||||||
ScinoPharm Taiwan Ltd. | 68,720 | 98,975 | ||||||
Senao International Co. Ltd. | 68,000 | 119,739 | ||||||
Sercomm Corp. | 84,000 | 226,654 | ||||||
Shin Zu Shing Co. Ltd. | 45,000 | 126,109 | ||||||
Shining Building Business Co. Ltd.a | 368,008 | 133,555 | ||||||
Shinkong Synthetic Fibers Corp. | 620,135 | 203,862 | ||||||
Silergy Corp. | 15,000 | 252,413 | ||||||
Sino-American Silicon Products Inc. | 171,000 | 261,870 | ||||||
Sinyi Realty Inc. | 136,105 | 147,519 | ||||||
Sitronix Technology Corp. | 43,000 | 138,978 | ||||||
Soft-World International Corp. | 50,140 | 102,651 | ||||||
St. Shine Optical Co. Ltd. | 12,000 | 205,055 | ||||||
Sunny Friend Environmental Technology Co. Ltd. | 30,000 | 124,498 | ||||||
TA Chen Stainless Pipe | 316,325 | 184,296 | ||||||
Taichung Commercial Bank Co. Ltd. | 788,388 | 241,981 | ||||||
Tainan Spinning Co. Ltd. | 367,190 | 165,527 | ||||||
Taiwan Hon Chuan Enterprise Co. Ltd. | 136,004 | 264,717 | ||||||
Taiwan Paiho Ltd. | 64,050 | 192,837 | ||||||
Taiwan Secom Co. Ltd. | 100,450 | 294,254 | ||||||
Taiwan Shin Kong Security Co. Ltd. | 242,640 | 313,927 | ||||||
Taiwan Surface Mounting Technology Corp. | 244,633 | 228,521 | ||||||
Taiwan TEA Corp. | 361,000 | 185,649 | ||||||
Tatung Co. Ltd.a | 620,000 | 320,862 | ||||||
Ton Yi Industrial Corp. | 334,000 | 166,872 | ||||||
Tong Hsing Electronic Industries Ltd. | 44,000 | 197,634 | ||||||
Tong Yang Industry Co. Ltd. | 100,133 | 199,135 | ||||||
Toung Loong Textile Manufacturing | 34,000 | 86,097 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 69 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
TPK Holding Co. Ltd.a | 77,000 | $ | 230,322 | |||||
Tripod Technology Corp. | 127,000 | 331,518 | ||||||
TSRC Corp. | 161,000 | 188,912 | ||||||
TTY Biopharm Co. Ltd. | 60,450 | 222,333 | ||||||
Tung Ho Steel Enterprise Corp. | 294,000 | 227,747 | ||||||
Tung Thih Electronic Co. Ltd. | 17,000 | 176,233 | ||||||
TWi Pharmaceuticals Inc.a | 22,000 | 72,322 | ||||||
TXC Corp. | 128,000 | 190,812 | ||||||
Unimicron Technology Corp. | 397,000 | 185,426 | ||||||
UPC Technology Corp. | 441,661 | 200,536 | ||||||
USI Corp. | 289,950 | 159,492 | ||||||
Visual Photonics Epitaxy Co. Ltd. | 86,425 | 167,654 | ||||||
Voltronic Power Technology Corp. | 14,077 | 207,099 | ||||||
Wah Lee Industrial Corp. | 138,000 | 221,440 | ||||||
Walsin Lihwa Corp. | 835,000 | 385,926 | ||||||
Walsin Technology Corp. | 112,200 | 157,398 | ||||||
Waterland Financial Holdings Co. Ltd. | 738,469 | 209,834 | ||||||
Win Semiconductors Corp. | 99,736 | 423,635 | ||||||
Winbond Electronics Corp. | 846,000 | 307,026 | ||||||
Wistron NeWeb Corp. | 68,009 | 198,558 | ||||||
WT Microelectronics Co. Ltd. | 145,168 | 216,877 | ||||||
Yageo Corp. | 107,210 | 263,807 | ||||||
Yeong Guan Energy Technology Group Co. Ltd. | 23,601 | 91,413 | ||||||
YFY Inc. | 653,000 | 244,422 | ||||||
Yieh Phui Enterprise Co. Ltd.a | 361,625 | 167,138 | ||||||
YungShin Global Holding Corp. | 160,200 | 242,984 | ||||||
Yungtay Engineering Co. Ltd. | 128,000 | 206,643 | ||||||
Zinwell Corp. | 108,000 | 120,396 | ||||||
|
| |||||||
31,784,841 | ||||||||
THAILAND — 3.70% | ||||||||
Amata Corp. PCL NVDR | 397,200 | 183,207 | ||||||
Bangchak Petroleum PCL (The) NVDR | 144,400 | 142,722 | ||||||
Bangkok Airways PCLb | 205,000 | 115,698 | ||||||
Bangkok Chain Hospital PCL NVDR | 448,100 | 166,888 | ||||||
Bangkok Land PCL NVDR | 4,354,000 | 227,021 | ||||||
Beauty Community PCLb | 606,200 | 178,879 | ||||||
CH Karnchang PCL NVDRb | 178,300 | 139,195 | ||||||
Chularat Hospital PCL NVDR | 1,853,000 | 135,901 | ||||||
Esso Thailand PCL NVDRa,b | 439,300 | 142,215 | ||||||
Group Lease PCL | 102,700 | 173,592 | ||||||
Gunkul Engineering PCL NVDRb | 934,500 | 136,539 |
Security | Shares | Value | ||||||
Hana Microelectronics PCL NVDR | 187,800 | $ | 228,660 | |||||
Italian-Thai Development PCL NVDRa,b | 735,100 | 104,877 | ||||||
Jasmine International PCL NVDR | 555,100 | 139,946 | ||||||
Khon Kaen Sugar Industry PCL NVDR | 939,930 | 172,338 | ||||||
Kiatnakin Bank PCL NVDR | 139,032 | 261,889 | ||||||
Krungthai Card PCL NVDR | 36,400 | 136,087 | ||||||
LPN Development PCL NVDRb | 358,700 | 119,205 | ||||||
Major Cineplex Group PCL NVDR | 112,400 | 109,484 | ||||||
PTG Energy PCLb | 165,900 | 128,326 | ||||||
Quality Houses PCL NVDRb | 1,837,667 | 137,935 | ||||||
Samart Corp. PCL NVDRb | 235,400 | 93,741 | ||||||
Siam Global House PCL NVDRb | 436,519 | 231,356 | ||||||
Sino-Thai Engineering & Construction PCL NVDRb | 276,528 | 202,016 | ||||||
Sri Trang Agro-Industry PCL NVDR | 327,500 | 187,650 | ||||||
Srisawad Power 1979 PCL NVDRb | 186,335 | 236,218 | ||||||
Supalai PCL NVDRb | 318,400 | 227,132 | ||||||
Superblock PCLa | 3,298,400 | 125,679 | ||||||
surGlobal Power Synergy Co. Ltd. NVDR | 168,300 | 165,139 | ||||||
Thai Airways International PCL NVDRa,b | 200,500 | 110,861 | ||||||
Thai Vegetable Oil PCL NVDR | 173,300 | 191,146 | ||||||
Thaicom PCL NVDRb | 154,400 | 84,929 | ||||||
Thanachart Capital PCL NVDR | 193,800 | 269,278 | ||||||
Tisco Financial Group PCL NVDR | 118,140 | 231,843 | ||||||
TTW PCL NVDR | 644,400 | 203,074 | ||||||
U City PCL NVDRa | 208,375,100 | 179,091 | ||||||
VGI Global Media PCL NVDR | 986,700 | 144,166 | ||||||
Vibhavadi Medical Center PCL NVDR | 1,934,200 | 161,804 | ||||||
WHA Corp. PCL NVDRa,b | 2,198,000 | 195,207 | ||||||
|
| |||||||
6,520,934 | ||||||||
TURKEY — 1.04% | ||||||||
Akcansa Cimento AS | 42,100 | 168,163 | ||||||
Aksa Akrilik Kimya Sanayii AS | 39,661 | 114,579 | ||||||
Bizim Toptan Satis Magazalari ASb | 43,413 | 140,019 | ||||||
Cimsa Cimento Sanayi VE Ticaret AS | 40,680 | 192,433 |
70 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Security | Shares | Value | ||||||
Dogan Sirketler Grubu Holding ASa,b | 365,074 | $ | 71,453 | |||||
Dogus Otomotiv Servis ve Ticaret ASb | 25,951 | 65,815 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Da | 252,381 | 84,878 | ||||||
Koza Altin Isletmeleri ASa | 16,146 | 83,810 | ||||||
NET Holding ASa,b | 182,966 | 139,711 | ||||||
Otokar Otomotiv Ve Savunma Sanayi AS | 4,179 | 158,976 | ||||||
Sekerbank TASa,b | 239,893 | 78,695 | ||||||
Tekfen Holding ASb | 55,454 | 120,612 | ||||||
Trakya Cam Sanayii AS | 188,746 | 160,774 | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 305,206 | 124,519 | ||||||
Vestel Elektronik Sanayi ve Ticaret ASa,b | 30,683 | 51,764 | ||||||
Yazicilar Holding ASb | 18,794 | 79,837 | ||||||
|
| |||||||
1,836,038 | ||||||||
UNITED ARAB EMIRATES — 0.74% |
| |||||||
Agthia Group PJSC | 48,998 | 86,322 | ||||||
Air Arabia PJSC | 662,635 | 221,931 | ||||||
Al Waha Capital PJSC | 311,628 | 187,528 | ||||||
Amanat Holdings PJSC | 519,299 | 164,026 | ||||||
Amlak Finance PJSCa | 151,150 | 48,977 | ||||||
Arabtec Holding PJSCa | 578,920 | 145,026 | ||||||
Dana Gas PJSCa | 967,013 | 121,124 | ||||||
Deyaar Development PJSCa | 612,233 | 99,191 | ||||||
Eshraq Properties Co. PJSCa | 390,823 | 124,510 | ||||||
Orascom Construction Ltd.a | 19,456 | 103,895 | ||||||
|
| |||||||
1,302,530 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $167,514,809) | 172,938,919 | |||||||
PREFERRED STOCKS — 1.45% |
| |||||||
BRAZIL — 1.40% | ||||||||
Alpargatas SA | 41,500 | 157,676 | ||||||
Banco ABC Brasil SA | 27,445 | 160,559 | ||||||
Banco ABC Brasil SA New | 1,198 | 7,163 | ||||||
Banco do Estado do Rio Grande do Sul SA Class B | 43,100 | 230,254 | ||||||
Bradespar SA | 58,700 | 442,467 | ||||||
Cia. de Saneamento do Parana | 77,100 | 356,876 |
Security | Shares | Value | ||||||
Cia. Energetica de Sao Paulo Class B | 51,700 | $ | 296,972 | |||||
Eletropaulo Metropolitana Eletricidade de Sao Paulo SA | 28,100 | 113,177 | ||||||
Marcopolo SA | 144,500 | 128,197 | ||||||
Metalurgica Gerdau SA | 156,800 | 295,354 | ||||||
Randon SA Implemetos e Participacoes | 75,325 | 107,745 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A | 104,500 | 165,601 | ||||||
|
| |||||||
2,462,041 | ||||||||
COLOMBIA — 0.05% | ||||||||
Avianca Holdings SA | 93,714 | 89,951 | ||||||
|
| |||||||
89,951 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $1,833,718) | 2,551,992 | |||||||
RIGHTS — 0.00% | ||||||||
INDIA — 0.00% | ||||||||
Canara Bank Ltd.a | 2,945 | 3,908 | ||||||
|
| |||||||
3,908 | ||||||||
|
| |||||||
TOTAL RIGHTS | ||||||||
(Cost: $0) | 3,908 | |||||||
WARRANTS — 0.00% | ||||||||
BRAZIL — 0.00% | ||||||||
Iochpe Maxion SA | 710 | 377 | ||||||
|
| |||||||
377 | ||||||||
|
| |||||||
TOTAL WARRANTS | ||||||||
(Cost: $0) | 377 | |||||||
SHORT-TERM INVESTMENTS — 10.63% |
| |||||||
MONEY MARKET FUNDS — 10.63% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 18,637,484 | 18,644,939 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 83,452 | 83,452 | ||||||
|
| |||||||
18,728,391 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $18,722,050) | 18,728,391 | |||||||
|
|
CONSOLIDATED SCHEDULESOF INVESTMENTS | 71 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $188,070,577)h | $ | 194,223,587 | ||||||
Other Assets, Less Liabilities — (10.24)% |
| (18,043,361 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 176,180,226 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $190,064,388. Net unrealized appreciation was $4,159,199, of which $21,000,736 represented gross unrealized appreciation on securities and $16,841,537 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 172,222,076 | $ | 497,548 | $ | 219,295 | $ | 172,938,919 | ||||||||
Preferred stocks | 2,551,992 | — | — | 2,551,992 | ||||||||||||
Rights | — | 3,908 | — | 3,908 | ||||||||||||
Warrants | 377 | — | — | 377 | ||||||||||||
Money market funds | 18,728,391 | — | — | 18,728,391 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 193,502,836 | $ | 501,456 | $ | 219,295 | $ | 194,223,587 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to consolidated financial statements.
72 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares Core MSCI Emerging Markets ETF | iShares MSCI BRIC ETF | iShares MSCI Emerging Markets | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 22,194,088,967 | $ | 175,660,991 | $ | 285,247,626 | ||||||
Affiliated (Note 2) | 1,288,967,800 | 15,014,098 | 7,123,980 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 23,483,056,767 | $ | 190,675,089 | $ | 292,371,606 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 23,614,618,785 | $ | 185,324,641 | $ | 303,008,078 | ||||||
Affiliated (Note 2) | 1,289,392,827 | 15,017,870 | 7,125,852 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 24,904,011,612 | 200,342,511 | 310,133,930 | |||||||||
Foreign currency, at valueb | 5,070,496 | 184,887 | 5,968,400 | |||||||||
Cash | 26,376,374 | 340,783 | 426,231 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 72,689,896 | 647,842 | 540,196 | |||||||||
Due from custodian (Note 4) | 86,360 | — | — | |||||||||
Dividends and interest | 57,198,095 | 304,551 | 562,864 | |||||||||
Capital shares sold | 29,285,634 | 1,252,021 | — | |||||||||
Futures variation margin | 5,480,819 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 25,100,199,286 | 203,072,595 | 317,631,621 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 95,985,264 | 2,151,617 | 6,444,730 | |||||||||
Collateral for securities on loan (Note 1) | 1,262,078,536 | 15,012,121 | 6,819,868 | |||||||||
Due to broker | 2,188,511 | — | — | |||||||||
Foreign taxes (Note 1) | 113,267 | — | 83 | |||||||||
Investment advisory fees (Note 2) | 2,170,891 | 92,222 | 99,572 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 1,362,536,469 | 17,255,960 | 13,364,253 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 23,737,662,817 | $ | 185,816,635 | $ | 304,267,368 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 23,214,249,586 | $ | 407,073,975 | $ | 314,000,541 | ||||||
Distributions in excess of net investment income | (2,506,204 | ) | (278,594 | ) | (172,095 | ) | ||||||
Accumulated net realized loss | (903,363,814 | ) | (230,653,046 | ) | (27,350,801 | ) | ||||||
Net unrealized appreciation | 1,429,283,249 | 9,674,300 | 17,789,723 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 23,737,662,817 | $ | 185,816,635 | $ | 304,267,368 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 511,800,000 | 5,250,000 | 5,250,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 46.38 | $ | 35.39 | $ | 57.96 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $1,190,204,215, $14,457,891 and $6,305,567, respectively. See Note 1. |
b | Cost of foreign currency: $5,105,472, $185,854 and $5,968,413, respectively. |
c | $0.001 par value, number of shares authorized: 2,050 million, 500 million and 500 million, respectively. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 73 |
Table of Contents
Consolidated Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Emerging Markets Small-Cap ETF | ||||
ASSETS | ||||
Investments, at cost: | ||||
Unaffiliated | $ | 169,348,527 | ||
Affiliated (Note 2) | 18,722,050 | |||
|
| |||
Total cost of investments | $ | 188,070,577 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 175,495,196 | ||
Affiliated (Note 2) | 18,728,391 | |||
|
| |||
Total fair value of investments | 194,223,587 | |||
Foreign currency, at valueb | 157,078 | |||
Cash | 43,670 | |||
Receivables: | ||||
Investment securities sold | 612,445 | |||
Dividends and interest | 396,073 | |||
|
| |||
Total Assets | 195,432,853 | |||
|
| |||
LIABILITIES | ||||
Payables: | ||||
Investment securities purchased | 521,574 | |||
Collateral for securities on loan (Note 1) | 18,638,205 | |||
Foreign taxes (Note 1) | 342 | |||
Investment advisory fees (Note 2) | 92,506 | |||
|
| |||
Total Liabilities | 19,252,627 | |||
|
| |||
NET ASSETS | $ | 176,180,226 | ||
|
| |||
Net assets consist of: | ||||
Paid-in capital | $ | 183,954,604 | ||
Distributions in excess of net investment income | (1,003,189 | ) | ||
Accumulated net realized loss | (12,945,738 | ) | ||
Net unrealized appreciation | 6,174,549 | |||
|
| |||
NET ASSETS | $ | 176,180,226 | ||
|
| |||
Shares outstandingc | 3,950,000 | |||
|
| |||
Net asset value per share | $ | 44.60 | ||
|
|
a | Securities on loan with a value of $16,721,801. See Note 1. |
b | Cost of foreign currency: $155,518. |
c | $0.001 par value, number of shares authorized: 500 million. |
See notes to consolidated financial statements.
74 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares Core MSCI Emerging Markets ETF | iShares MSCI BRIC ETF | iShares MSCI Emerging Markets | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 126,330,452 | $ | 1,011,475 | $ | 1,118,894 | ||||||
Dividends — affiliated (Note 2) | 95,830 | 266 | 2,716 | |||||||||
Interest — unaffiliated | 3,646 | — | — | |||||||||
Securities lending income — affiliated — net (Note 2)b | 13,672,400 | 42,003 | 38,845 | |||||||||
|
|
|
|
|
| |||||||
140,102,328 | 1,053,744 | 1,160,455 | ||||||||||
Less: Other foreign taxes (Note 1) | (739,906 | ) | — | (13,596 | ) | |||||||
|
|
|
|
|
| |||||||
Total investment income | 139,362,422 | 1,053,744 | 1,146,859 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 13,046,664 | 592,787 | 487,693 | |||||||||
Mauritius income taxes (Note 1) | 207,802 | 6,058 | 1,794 | |||||||||
Commitment fees (Note 8) | 79,896 | 1,772 | 1,198 | |||||||||
Interest expense (Note 8) | 6,840 | 568 | 482 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 13,341,202 | 601,185 | 491,167 | |||||||||
Less investment advisory fees waived (Note 2) | (248,828 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Net expenses | 13,092,374 | 601,185 | 491,167 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 126,270,048 | 452,559 | 655,692 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliatedc | (137,189,180 | ) | (3,830,948 | ) | (4,606,628 | ) | ||||||
Investments — affiliated (Note 2) | 38,573 | 1,977 | (34 | ) | ||||||||
In-kind redemptions — unaffiliated | — | 393,705 | 3,329,261 | |||||||||
Futures contracts | 4,514,155 | — | — | |||||||||
Foreign currency transactions | (2,601,635 | ) | (831 | ) | (84,323 | ) | ||||||
Realized gain distributions from affiliated funds | 3,710 | 6 | 16 | |||||||||
|
|
|
|
|
| |||||||
Net realized loss | (135,234,377 | ) | (3,436,091 | ) | (1,361,708 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 1,090,437,263 | 12,933,483 | 10,916,812 | |||||||||
Futures contracts | 501,779 | — | — | |||||||||
Translation of assets and liabilities in foreign currencies | 2,904,293 | 4,354 | 30,933 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 1,093,843,335 | 12,937,837 | 10,947,745 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 958,608,958 | 9,501,746 | 9,586,037 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,084,879,006 | $ | 9,954,305 | $ | 10,241,729 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $16,637,486, $94,004 and $153,042, respectively. |
b | Net of securities lending income tax paid of $655,597, $ — and $ —, respectively. |
c | Net of foreign capital gains taxes of $165, $ — and $ —, respectively. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 75 |
Table of Contents
Consolidated Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Emerging Markets Small-Cap ETF | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 982,008 | ||
Dividends — affiliated (Note 2) | 386 | |||
Securities lending income — affiliated — net (Note 2) | 398,130 | |||
|
| |||
1,380,524 | ||||
Less: Other foreign taxes (Note 1) | (4,122 | ) | ||
|
| |||
Total investment income | 1,376,402 | |||
|
| |||
EXPENSES | ||||
Investment advisory fees (Note 2) | 495,707 | |||
Commitment fees (Note 8) | 821 | |||
Interest expense (Note 8) | 335 | |||
|
| |||
Total expenses | 496,863 | |||
|
| |||
Net investment income | 879,539 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||
Net realized gain (loss) from: | ||||
Investments — unaffiliatedb | (213,084 | ) | ||
Investments — affiliated (Note 2) | 393 | |||
Foreign currency transactions | (6,809 | ) | ||
Realized gain distributions from affiliated funds | 115 | |||
|
| |||
Net realized loss | (219,385 | ) | ||
|
| |||
Net change in unrealized appreciation/depreciation on: | ||||
Investments | 8,391,197 | |||
Translation of assets and liabilities in foreign currencies | 22,451 | |||
|
| |||
Net change in unrealized appreciation/depreciation | 8,413,648 | |||
|
| |||
Net realized and unrealized gain | 8,194,263 | |||
|
| |||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 9,073,802 | ||
|
|
a | Net of foreign withholding tax of $97,736. |
b | Net of foreign capital gains taxes of $23. |
See notes to consolidated financial statements.
76 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Statements of Changes in Net Assets
iSHARES®, INC.
iShares Core MSCI Emerging Markets ETF | iShares MSCI BRIC ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 126,270,048 | $ | 300,560,736 | $ | 452,559 | $ | 3,742,371 | ||||||||
Net realized loss | (135,234,377 | ) | (543,220,439 | ) | (3,436,091 | ) | (22,678,091 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 1,093,843,335 | 1,646,957,449 | 12,937,837 | 36,181,152 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting | 1,084,879,006 | 1,404,297,746 | 9,954,305 | 17,245,432 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (239,274,117 | ) | (238,601,549 | ) | (1,820,324 | ) | (4,397,149 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (239,274,117 | ) | (238,601,549 | ) | (1,820,324 | ) | (4,397,149 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 6,888,569,797 | 7,812,461,106 | 19,630,313 | 12,282 | ||||||||||||
Cost of shares redeemed | — | — | (24,435,557 | ) | (27,130,689 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 6,888,569,797 | 7,812,461,106 | (4,805,244 | ) | (27,118,407 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 7,734,174,686 | 8,978,157,303 | 3,328,737 | (14,270,124 | ) | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 16,003,488,131 | 7,025,330,828 | 182,487,898 | 196,758,022 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 23,737,662,817 | $ | 16,003,488,131 | $ | 185,816,635 | $ | 182,487,898 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (2,506,204 | ) | $ | 110,497,865 | $ | (278,594 | ) | $ | 1,089,171 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 153,000,000 | 186,400,000 | 550,000 | — | ||||||||||||
Shares redeemed | — | — | (750,000 | ) | (950,000 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 153,000,000 | 186,400,000 | (200,000 | ) | (950,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 77 |
Table of Contents
Consolidated Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Emerging Markets Asia ETF | iShares MSCI Emerging Markets Small-Cap ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 655,692 | $ | 2,513,325 | $ | 879,539 | $ | 2,035,989 | ||||||||
Net realized loss | (1,361,708 | ) | (9,379,096 | ) | (219,385 | ) | (6,143,159 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 10,947,745 | 24,288,569 | 8,413,648 | 14,192,002 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting | 10,241,729 | 17,422,798 | 9,073,802 | 10,084,832 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,949,732 | ) | (2,586,361 | ) | (2,161,567 | ) | (2,370,926 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,949,732 | ) | (2,586,361 | ) | (2,161,567 | ) | (2,370,926 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 129,704,718 | 92,508,092 | 48,117,465 | 37,316,559 | ||||||||||||
Cost of shares redeemed | (50,592,389 | ) | (15,118,523 | ) | — | — | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 79,112,329 | 77,389,569 | 48,117,465 | 37,316,559 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 87,404,326 | 92,226,006 | 55,029,700 | 45,030,465 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 216,863,042 | 124,637,036 | 121,150,526 | 76,120,061 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 304,267,368 | $ | 216,863,042 | $ | 176,180,226 | $ | 121,150,526 | ||||||||
|
|
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|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (172,095 | ) | $ | 1,121,945 | $ | (1,003,189 | ) | $ | 278,839 | ||||||
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|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,300,000 | 1,700,000 | 1,150,000 | 900,000 | ||||||||||||
Shares redeemed | (900,000 | ) | (300,000 | ) | — | — | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 1,400,000 | 1,400,000 | 1,150,000 | 900,000 | ||||||||||||
|
|
|
|
|
|
|
|
See notes to consolidated financial statements.
78 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Financial Highlights
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Core MSCI Emerging Markets ETF | ||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Period from to Aug. 31, 2013 | ||||||||||||||||
Net asset value, beginning of period | $ | 44.60 | $ | 40.75 | $ | 53.89 | $ | 45.71 | $ | 49.06 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Income from investment operations: | ||||||||||||||||||||
Net investment incomeb | 0.31 | 1.20 | 1.21 | 1.31 | 1.33 | |||||||||||||||
Net realized and unrealized gain (loss)c | 2.06 | 3.58 | (13.26 | ) | 7.78 | (4.14 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total from investment operations | 2.37 | 4.78 | (12.05 | ) | 9.09 | (2.81 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Less distributions from: | ||||||||||||||||||||
Net investment income | (0.59 | ) | (0.93 | ) | (1.09 | ) | (0.91 | ) | (0.54 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total distributions | (0.59 | ) | (0.93 | ) | (1.09 | ) | (0.91 | ) | (0.54 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Net asset value, end of period | $ | 46.38 | $ | 44.60 | $ | 40.75 | $ | 53.89 | $ | 45.71 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total return | 5.44 | %d | 11.99 | % | (22.61 | )% | 20.05 | % | (5.75 | )%d | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||
Net assets, end of period (000s) | $ | 23,737,663 | $ | 16,003,488 | $ | 7,025,331 | $ | 5,669,167 | $ | 1,864,965 | ||||||||||
Ratio of expenses to average net assetse | 0.14 | % | 0.17 | % | 0.18 | % | 0.17 | % | 0.05 | % | ||||||||||
Ratio of expenses to average net assets prior to waived feese | 0.15 | % | 0.17 | % | 0.18 | % | 0.18 | % | 0.18 | % | ||||||||||
Ratio of net investment income to average net assetse | 1.39 | % | 2.93 | % | 2.49 | % | 2.61 | % | 3.17 | % | ||||||||||
Portfolio turnover ratef | 2 | %d | 10 | % | 7 | % | 8 | % | 15 | %d |
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 in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014 and the period ended August 31, 2013 were 2%, 10%, 7%, 8%, and 15%, respectively. See Note 4. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL HIGHLIGHTS | 79 |
Table of Contents
Consolidated Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI BRIC ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 33.48 | $ | 30.74 | $ | 41.12 | $ | 34.41 | $ | 35.68 | $ | 42.25 | ||||||||||||
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|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.09 | 0.64 | 0.77 | 0.89 | 0.84 | 0.98 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.21 | 2.84 | (10.20 | ) | 6.53 | (1.25 | ) | (6.62 | ) | |||||||||||||||
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|
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|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.30 | 3.48 | (9.43 | ) | 7.42 | (0.41 | ) | (5.64 | ) | |||||||||||||||
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|
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|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.39 | ) | (0.74 | ) | (0.95 | ) | (0.71 | ) | (0.86 | ) | (0.93 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.39 | ) | (0.74 | ) | (0.95 | ) | (0.71 | ) | (0.86 | ) | (0.93 | ) | ||||||||||||
|
|
|
|
|
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|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 35.39 | $ | 33.48 | $ | 30.74 | $ | 41.12 | $ | 34.41 | $ | 35.68 | ||||||||||||
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|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 7.00 | %c | 11.61 | % | (23.19 | )% | 21.73 | % | (1.17 | )% | (13.33 | )% | ||||||||||||
|
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|
|
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|
|
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 185,817 | $ | 182,488 | $ | 196,758 | $ | 411,164 | $ | 474,861 | $ | 685,149 | ||||||||||||
Ratio of expenses to average net assetsd | 0.70 | % | 0.73 | % | 0.69 | % | 0.68 | % | 0.67 | % | 0.69 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.53 | % | 2.13 | % | 2.07 | % | 2.38 | % | 2.18 | % | 2.55 | % | ||||||||||||
Portfolio turnover ratee | 8 | %c | 20 | % | 9 | % | 10 | % | 10 | % | 32 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | Portfolio turnover rates exclude portfolio securities received or delivered in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012 were 4%, 20%, 9%, 6%, 9% and 20%, respectively. See Note 4. |
See notes to consolidated financial statements.
80 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Emerging Markets Asia ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 56.33 | $ | 50.87 | $ | 62.08 | $ | 52.23 | $ | 50.18 | $ | 54.71 | ||||||||||||
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|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.18 | 1.02 | 1.25 | 1.36 | 1.15 | 0.87 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 2.11 | 5.54 | (11.61 | ) | 9.75 | 1.82 | (4.99 | ) | ||||||||||||||||
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|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.29 | 6.56 | (10.36 | ) | 11.11 | 2.97 | (4.12 | ) | ||||||||||||||||
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|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.66 | ) | (1.10 | ) | (0.85 | ) | (1.26 | ) | (0.92 | ) | (0.41 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.66 | ) | (1.10 | ) | (0.85 | ) | (1.26 | ) | (0.92 | ) | (0.41 | ) | ||||||||||||
|
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|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 57.96 | $ | 56.33 | $ | 50.87 | $ | 62.08 | $ | 52.23 | $ | 50.18 | ||||||||||||
|
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|
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|
|
|
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|
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|
| |||||||||||||
Total return | 4.19 | %d | 13.14 | % | (16.86 | )% | 21.54 | %e | 5.88 | % | (7.52 | )%d | ||||||||||||
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|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 304,267 | $ | 216,863 | $ | 124,637 | $ | 80,706 | $ | 31,341 | $ | 20,071 | ||||||||||||
Ratio of expenses to average net assetsf | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesf | n/a | 0.66 | % | 0.68 | % | 0.68 | % | 0.68 | % | 0.68 | % | |||||||||||||
Ratio of net investment income to average net assetsf | 0.66 | % | 1.98 | % | 2.10 | % | 2.36 | % | 2.09 | % | 3.05 | % | ||||||||||||
Portfolio turnover rateg | 17 | %d | 22 | % | 16 | % | 33 | % | 174 | % | 3 | %d |
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 | Includes payment from an affiliate. Not including these proceeds, the Fund’s total return would have been 21.46%. |
f | Annualized for periods of less than one year. |
g | Portfolio turnover rates exclude portfolio securities received or delivered in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 5%, 16%, 10%, 33%, 21% and 3%, respectively. See Note 4. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL HIGHLIGHTS | 81 |
Table of Contents
Consolidated Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Emerging Markets Small-Cap ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 43.27 | $ | 40.06 | $ | 51.37 | $ | 43.78 | $ | 43.44 | $ | 49.60 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.26 | 0.90 | 1.04 | 0.93 | 1.07 | 0.50 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.62 | 3.36 | (11.06 | ) | 7.67 | 1.13 | (5.52 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.88 | 4.26 | (10.02 | ) | 8.60 | 2.20 | (5.02 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.55 | ) | (1.05 | ) | (1.29 | ) | (1.01 | ) | (1.86 | ) | (1.14 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.55 | ) | (1.05 | ) | (1.29 | ) | (1.01 | ) | (1.86 | ) | (1.14 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 44.60 | $ | 43.27 | $ | 40.06 | $ | 51.37 | $ | 43.78 | $ | 43.44 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 4.50 | %c | 10.83 | % | (19.77 | )% | 19.92 | %d | 4.85 | % | (9.98 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 176,180 | $ | 121,151 | $ | 76,120 | $ | 43,666 | $ | 30,644 | $ | 8,689 | ||||||||||||
Ratio of expenses to average net assetse | 0.70 | % | 0.71 | % | 0.69 | % | 0.67 | % | 0.67 | % | 0.69 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.23 | % | 2.20 | % | 2.20 | % | 1.93 | % | 2.26 | % | 1.13 | % | ||||||||||||
Portfolio turnover ratef | 8 | %c | 24 | % | 23 | % | 20 | % | 21 | % | 32 | % |
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 | Not annualized. |
d | Includes payment from an affiliate. Not including these proceeds, the Fund’s total return would have been 19.73%. |
e | Annualized for periods of less than one year. |
f | Portfolio turnover rates exclude portfolio securities received or delivered in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for six months ended February 28, 2017 and the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012 were 8% 24%, 23%, 20%, 21% and 17%, respectively. See Note 4. |
See notes to consolidated financial statements.
82 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These consolidated financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
Core MSCI Emerging Markets | Diversified | |
MSCI BRIC | Diversified | |
MSCI Emerging Markets Asia | Diversified | |
MSCI Emerging Markets Small-Cap | 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.
Each Fund carries out its investment strategies associated with investment in Indian securities by investing in a wholly-owned subsidiary in the Republic of Mauritius (each, a “Subsidiary”), which in turn invests in Indian securities included in the underlying index. The investment adviser of each Fund also serves as the investment adviser to each Subsidiary. Through this investment structure, each Fund expects to obtain certain benefits under a current tax treaty between Mauritius and India. The accompanying consolidated financial statements for each Fund include the accounts of its Subsidiary. Intercompany accounts and transactions, if any, have been eliminated.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 83 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
to policies and procedures developed by the Global Valuation Committee and approved by the Board of Directors of the Company (the “Board”).
• | 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. |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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
84 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 consolidated 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 Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 consolidated 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 February 28, 2017, if any, are disclosed in the Funds’ consolidated statements of assets and liabilities.
Each Fund conducts its investment activities in India through its Subsidiary and expects to obtain benefits under the Double Tax Avoidance Agreement (“DTAA”) between India and Mauritius. In order to be eligible to claim benefits under the DTAA, each Subsidiary must, on an annual basis, satisfy certain tests and conditions, including the establishment and maintenance of valid tax residence in Mauritius and related requirements. Each Fund has obtained a current tax residence certificate issued by the Mauritian Revenue Authorities.
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iSHARES®, INC.
Based upon current interpretation and practice of the current tax laws in India and Mauritius and the DTAA, each Subsidiary is subject to tax in Mauritius on its net income at the rate of 15%. However, a system of tax credits effectively reduces the Mauritius income tax rate to a maximum of 3%. Taxes on income, if any, are paid by the Subsidiaries and are disclosed in the consolidated statements of operations. Any dividends paid by a Subsidiary to its Fund are not subject to tax in Mauritius. Each Subsidiary is currently exempt from tax in Mauritius on any gains from the sale of securities.
On May 10, 2016, India and Mauritius signed an amendment to the DTAA. The amendment provides that capital gains will be taxable in India with respect to the sale of shares acquired on or after April 1, 2017. Capital gains arising from shares acquired before April 1, 2017, regardless of when they are sold, will continue to be exempt from taxation under the amended DTAA, assuming requirements for eligibility under the DTAA are satisfied. Tax laws in India also include provisions that impose Indian tax on certain indirect transfers of shares of Indian companies. However, until such time that India provides more definitive authoritative guidance on the indirect transfer rules, the impact to the Funds, if any, cannot be determined. Management is continuing to monitor and assess the impact to the Funds arising from the DTAA amendment and the indirect transfer rules.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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 schedules of investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its consolidated schedule of investments. The total value of any securities on loan as of February 28, 2017 and the total value of the related cash collateral are disclosed in the consolidated statements of assets and liabilities. Income earned by the Funds from securities lending is disclosed in the consolidated statements of operations.
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iSHARES®, INC.
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.
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 February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
Core MSCI Emerging Markets | ||||||||||||
Barclays Capital Inc. | $ | 8,415,368 | $ | 8,415,368 | $ | — | ||||||
BNP Paribas Prime Brokerage Inc. | 50,497 | 50,497 | — | |||||||||
BNP Paribas Prime Brokerage International Ltd. | 8,647,000 | 8,647,000 | — | |||||||||
Citigroup Global Markets Inc. | 45,824,272 | 45,824,272 | — | |||||||||
Citigroup Global Markets Ltd. | 8,880,486 | 8,880,486 | — | |||||||||
Credit Suisse Securities (Europe) Ltd. | 46,578,577 | 46,578,577 | — | |||||||||
Credit Suisse Securities (USA) LLC | 55,550,109 | 55,550,109 | — | |||||||||
Deutsche Bank AG | 16,765,038 | 16,765,038 | — | |||||||||
Deutsche Bank Securities Inc. | 52,549,861 | 52,549,861 | — | |||||||||
Goldman Sachs & Co. | 61,756,197 | 61,756,197 | — | |||||||||
HSBC Bank PLC | 18,468,902 | 18,468,902 | — | |||||||||
Jefferies LLC | 820,004 | 801,794 | (18,210 | ) | ||||||||
JPMorgan Securities LLC | 362,090,730 | 362,090,730 | — | |||||||||
JPMorgan Securities PLC | 22,542,821 | 22,542,821 | — | |||||||||
Macquarie Bank Limited | 12,935,261 | 12,935,261 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 33,598,297 | 33,598,297 | — | |||||||||
Morgan Stanley & Co. International PLC | 141,806,665 | 141,806,665 | — | |||||||||
Morgan Stanley & Co. LLC | 151,963,004 | 151,963,004 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 9,762,514 | 9,762,514 | — | |||||||||
National Financial Services LLC | 2,948,627 | 2,948,627 | — | |||||||||
Nomura Securities International Inc. | 177,306 | 177,306 | — | |||||||||
SG Americas Securities LLC | 605,392 | 605,392 | — | |||||||||
State Street Bank & Trust Company | 11,351,349 | 11,351,349 | — | |||||||||
UBS AG | 24,723,190 | 24,723,190 | — | |||||||||
UBS Ltd. | 10,504,691 | 10,504,691 | — | |||||||||
UBS Securities LLC | 25,500,519 | 25,500,519 | — | |||||||||
Wells Fargo Securities LLC | 55,387,538 | 55,387,538 | — | |||||||||
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| |||||||
$ | 1,190,204,215 | $ | 1,190,186,005 | $ | (18,210 | ) | ||||||
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| |||||||
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iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI BRIC | ||||||||||||
Barclays Capital Inc. | $ | 286 | $ | 286 | $ | — | ||||||
Citigroup Global Markets Inc. | 1,946 | 1,946 | — | |||||||||
Credit Suisse Securities (USA) LLC | 241,537 | 241,537 | — | |||||||||
Deutsche Bank Securities Inc. | 275,105 | 275,105 | — | |||||||||
Goldman Sachs & Co. | 9,925,439 | 9,925,439 | — | |||||||||
JPMorgan Securities LLC | 30,576 | 30,576 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 292,697 | 292,697 | — | |||||||||
Morgan Stanley & Co. LLC | 1,720,759 | 1,720,759 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 1,969,546 | 1,969,546 | — | |||||||||
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| |||||||
$ | 14,457,891 | $ | 14,457,891 | $ | — | |||||||
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| |||||||
MSCI Emerging Markets Asia | ||||||||||||
Barclays Capital Inc. | $ | 195,906 | $ | 195,906 | $ | — | ||||||
Citigroup Global Markets Inc. | 243,650 | 243,650 | — | |||||||||
Credit Suisse Securities (USA) LLC | 613,386 | 613,386 | — | |||||||||
Deutsche Bank AG | 25,742 | 25,742 | — | |||||||||
Deutsche Bank Securities Inc. | 285,487 | 285,487 | — | |||||||||
Jefferies LLC | 116,265 | 116,265 | — | |||||||||
JPMorgan Securities LLC | 73,908 | 73,908 | — | |||||||||
JPMorgan Securities PLC | 21,744 | 21,744 | — | |||||||||
Macquarie Bank Limited | 42,096 | 42,096 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 405,590 | 405,590 | — | |||||||||
Morgan Stanley & Co. International PLC | 347,260 | 347,260 | — | |||||||||
Morgan Stanley & Co. LLC | 3,623,728 | 3,623,728 | — | |||||||||
UBS AG | 310,805 | 310,805 | — | |||||||||
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| |||||||
$ | 6,305,567 | $ | 6,305,567 | $ | — | |||||||
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| |||||||
MSCI Emerging Markets Small-Cap | ||||||||||||
Barclays Capital Inc. | $ | 405,928 | $ | 405,928 | $ | — | ||||||
Citigroup Global Markets Inc. | 613,912 | 613,912 | — | |||||||||
Credit Suisse Securities (USA) LLC | 1,706,516 | 1,706,516 | — | |||||||||
Deutsche Bank AG | 269,769 | 269,769 | — | |||||||||
Deutsche Bank Securities Inc. | 2,022,627 | 2,022,627 | — | |||||||||
Goldman Sachs & Co. | 2,887,948 | 2,887,948 | — | |||||||||
HSBC Bank PLC | 620,602 | 620,602 | — | |||||||||
JPMorgan Securities LLC | 1,932,582 | 1,932,582 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,257,889 | 1,257,889 | — | |||||||||
Morgan Stanley & Co. International PLC | 61,645 | 61,645 | — | |||||||||
Morgan Stanley & Co. LLC | 2,589,904 | 2,589,904 | — | |||||||||
SG Americas Securities LLC | 89,199 | 89,199 | — | |||||||||
UBS AG | 1,265,170 | 1,265,170 | — | |||||||||
UBS Securities LLC | 998,110 | 998,110 | — | |||||||||
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| |||||||
$ | 16,721,801 | $ | 16,721,801 | $ | — | |||||||
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| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in each Fund’s consolidated statement of assets and liabilities. |
b | Additional collateral is delivered to the Funds 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. |
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iSHARES®, INC.
2. | INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Pursuant to an Investment Advisory Agreement with the Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
Each 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. Each 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.
For its investment advisory services to the iShares Core MSCI Emerging Markets ETF, BFA is entitled to an annual investment advisory fee of 0.14% based on the average daily net assets of the Fund. Prior to October 5, 2016, for its investment advisory services to the Fund, BFA was entitled to an annual investment advisory fee of 0.16% based on the average daily net assets of the Fund. In addition, the Fund may incur its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund fees and expenses”). The total of the investment advisory fee and acquired fund fees and expenses are a fund’s total annual operating expenses. BFA has contractually agreed to waive a portion of its investment advisory fee through December 31, 2017 in order to limit the total annual operating expenses of the Fund to 0.14% of average daily net assets.
For its investment advisory services to each of the iShares MSCI BRIC and iShares MSCI Emerging Markets Small-Cap ETFs, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.75 | % | First $14 billion | |||
0.68 | Over $14 billion, up to and including $28 billion | ||||
0.61 | Over $28 billion, up to and including $42 billion | ||||
0.54 | Over $42 billion, up to and including $56 billion | ||||
0.47 | Over $56 billion, up to and including $70 billion | ||||
0.41 | Over $70 billion, up to and including $84 billion | ||||
0.35 | Over $84 billion |
For its investment advisory services to the iShares MSCI Emerging Markets Asia ETF, BFA is entitled to an annual investment advisory fee of 0.49% based on the average daily net assets of the Fund.
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.
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iSHARES®, INC.
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
Core MSCI Emerging Markets | $ | 3,085,912 | ||
MSCI BRIC | 11,193 | |||
MSCI Emerging Markets Asia | 8,910 | |||
MSCI Emerging Markets Small-Cap | 83,450 |
For the six months ended February 28, 2017, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares Core MSCI Emerging Markets ETF in the amount of $110,484, related to the foreign tax on the securities lending income. Such reimbursement is included in “Securities lending income – affiliated – net” in the Fund’s statement of operations.
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
Core MSCI Emerging Markets | $ | 44,216,200 | $ | 7,272,256 | ||||
MSCI BRIC | 1,272,547 | 295,451 | ||||||
MSCI Emerging Markets Asia | 764,428 | 301,977 | ||||||
MSCI Emerging Markets Small-Cap | 1,272,937 | 2,596,952 |
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 consolidated 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 Funds, in order to improve their portfolio liquidity and their ability to track their respective underlying index, may invest in shares of other iShares funds that invest in securities in each Fund’s respective underlying index.
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iSHARES®, INC.
Certain directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
Core MSCI Emerging Markets | $ | 5,158,628,627 | $ | 357,784,109 | ||||
MSCI BRIC | 13,179,832 | 16,155,027 | ||||||
MSCI Emerging Markets Asia | 111,284,270 | 34,828,541 | ||||||
MSCI Emerging Markets Small-Cap | 46,003,268 | 11,644,063 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Core MSCI Emerging Markets | $ | 1,941,741,249 | $ | — | ||||
MSCI BRIC | 12,049,692 | 15,387,452 | ||||||
MSCI Emerging Markets Asia | 22,117,338 | 21,338,257 | ||||||
MSCI Emerging Markets Small-Cap | 12,311,924 | — |
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 consolidated statements of changes in net assets.
The consideration for the purchase of Creation Units of a fund in the Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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 consolidated statements of changes in net assets.
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 consolidated statements of assets and liabilities.
5. | FUTURES CONTRACTS |
Futures contracts are purchased or sold to gain or manage exposure to changes in the value of commodities (commodity risk), interest rates (interest rate risk), foreign currencies (foreign currency risk) and/or equities (market risk). 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
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iSHARES®, INC.
futures contract, a 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 by the iShares Core MSCI Emerging Markets ETF as of February 28, 2017 and the related locations in the consolidated statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
Equity contracts: | ||||
Variation margin/Net assets consist of – net unrealized appreciationa | $ | 5,480,819 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the consolidated schedule of investments. |
The following table shows the realized and unrealized gains (losses) on futures contracts held by the iShares Core MSCI Emerging Markets ETF during the six months ended February 28, 2017 and the related locations in the consolidated statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | Net Change in Unrealized Appreciation/Depreciation | |||||||
Equity contracts: | ||||||||
Futures contracts | $ | 4,514,155 | $ | 501,779 | ||||
|
|
|
| |||||
The following table shows the average quarter-end balances of open futures contracts for the iShares Core MSCI Emerging Markets ETF for the six months ended February 28, 2017 :
Average value of contracts purchased | $ | 71,065,802 |
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.
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.
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iSHARES®, INC.
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 its investment in equity, fixed income and/or financial derivative instruments or by 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 consolidated 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 a 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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
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.
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 93 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
7. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, the 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 | Expiring 2019 | Total | |||||||||||||||
Core MSCI Emerging Markets | $ | 147,376,048 | $ | — | $ | — | $ | — | $ | 147,376,048 | ||||||||||
MSCI BRIC | 179,085,849 | 1,540,740 | 11,268,086 | 7,760,558 | 199,655,233 | |||||||||||||||
MSCI Emerging Markets Asia | 16,908,873 | — | — | — | 16,908,873 | |||||||||||||||
MSCI Emerging Markets Small-Cap | 6,025,784 | — | — | — | 6,025,784 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ consolidated financial statements.
94 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
8. | LINE OF CREDIT |
The Funds, along with certain other iShares funds, are parties to a $250 million credit agreement with State Street Bank and Trust Company, which expires on October 25, 2017. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings. The credit agreement has the following terms: a commitment fee of 0.20% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) the one-month LIBOR (not less than zero) plus 1.00% per annum or (b) the U.S. Federal Funds rate (not less than zero) plus 1.00% per annum on amounts borrowed. The commitment fee is allocated to each fund participating in the credit agreement based on each fund’s pro-rata share of the aggregate average daily value of assets invested in local securities of certain foreign markets.
For the six months ended February 28, 2017, the maximum amounts borrowed, the average borrowings and the weighted average interest rates, if any, under the credit agreement were as follows:
iShares ETF | Maximum Amount Borrowed | Average Borrowings | Weighted Average Interest Rates | |||||||||
Core MSCI Emerging Markets | $ | 25,000,000 | $ | 828,729 | 1.64 | % | ||||||
MSCI BRIC | 1,190,200 | 78,284 | 1.57 | |||||||||
MSCI Emerging Markets Asia | 1,171,500 | 67,682 | 1.56 | |||||||||
MSCI Emerging Markets Small-Cap | 1,226,000 | 40,641 | 1.64 |
9. | SUBSEQUENT EVENTS |
Management has evaluated the impact of all subsequent events on the Funds 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 | 95 |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
Core MSCI Emerging Markets | $ | 0.475206 | $ | — | $ | 0.110389 | $ | 0.585595 | 81 | % | — | % | 19 | % | 100 | % | ||||||||||||||||
MSCI BRIC | 0.319600 | — | 0.067703 | 0.387303 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets Asia | 0.514194 | — | 0.146732 | 0.660926 | 78 | — | 22 | 100 | ||||||||||||||||||||||||
MSCI Emerging | 0.496059 | — | 0.058189 | 0.554248 | 90 | — | 10 | 100 |
96 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 97 |
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Notes:
98 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-810-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Frontier 100 ETF | FM | NYSE Arca |
Ø | iShares MSCI World ETF | URTH | NYSE Arca |
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7 | ||||
7 | ||||
8 | ||||
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32 | ||||
42 |
Table of Contents
iSHARES® MSCI FRONTIER 100 ETF
Performance as of February 28, 2017
The iShares MSCI Frontier 100 ETF (the “Fund”) seeks to track the investment results of an index composed of frontier market equities, as represented by the MSCI Frontier Markets 100 Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 12.81%, net of fees, while the total return for the Index was 13.48%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 15.18% | 15.85% | 19.37% | 15.18% | 15.85% | 19.37% | ||||||||||||||||||||||
Since Inception | 5.95% | 5.75% | 7.65% | 29.42% | 28.34% | 38.97% |
The inception date of the Fund was 9/12/12. The first day of secondary market trading was 9/13/12.
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 7 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,128.10 | $ | 4.17 | $ | 1,000.00 | $ | 1,020.90 | $ | 3.96 | 0.79% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 7 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 42.76 | % | ||
Telecommunication Services | 13.24 | |||
Energy | 11.17 | |||
Consumer Staples | 10.04 | |||
Real Estate | 6.46 | |||
Materials | 4.86 | |||
Utilities | 4.85 | |||
Industrials | 2.99 | |||
Health Care | 1.95 | |||
Information Technology | 0.90 | |||
Consumer Discretionary | 0.78 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
Kuwait | 21.84 | % | ||
Argentina | 20.32 | |||
Pakistan | 11.12 | |||
Vietnam | 7.90 | |||
Morocco | 6.38 | |||
Romania | 5.07 | |||
Kenya | 4.68 | |||
Bangladesh | 4.18 | |||
Nigeria | 3.94 | |||
Oman | 3.70 | |||
|
| |||
TOTAL | 89.13 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI WORLD ETF
Performance as of February 28, 2017
The iShares MSCI World ETF (the “Fund”) seeks to track the investment results of an index composed of developed market equities, as represented by the MSCI World Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 7.77%, net of fees, while the total return for the Index was 7.78%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 21.38% | 21.39% | 21.26% | 21.38% | 21.39% | 21.26% | ||||||||||||||||||||||
5 Years | 9.58% | 9.57% | 9.41% | 57.98% | 57.91% | 56.80% | ||||||||||||||||||||||
Since Inception | 10.92% | 10.92% | 10.76% | 70.31% | 70.28% | 69.09% |
The inception date of the Fund was 1/10/12. The first day of secondary market trading was 1/12/12.
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 7 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,077.70 | $ | 1.24 | $ | 1,000.00 | $ | 1,023.60 | $ | 1.20 | 0.24% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 7 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 17.93 | % | ||
Information Technology | 15.18 | |||
Consumer Discretionary | 12.32 | |||
Health Care | 12.30 | |||
Industrials | 11.34 | |||
Consumer Staples | 9.77 | |||
Energy | 6.58 | |||
Materials | 5.07 | |||
Real Estate | 3.19 | |||
Utilities | 3.17 | |||
Telecommunication Services | 3.15 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
United States | 60.40 | % | ||
Japan | 8.76 | |||
United Kingdom | 6.50 | |||
Canada | 3.62 | |||
France | 3.51 | |||
Germany | 3.32 | |||
Switzerland | 3.15 | |||
Australia | 2.76 | |||
Netherlands | 1.23 | |||
Hong Kong | 1.22 | |||
|
| |||
TOTAL | 94.47 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 7 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.61% |
| |||||||
ARGENTINA — 20.25% |
| |||||||
Adecoagro SAa | 531,291 | $ | 6,226,730 | |||||
Arcos Dorados Holdings Inc. Class Aa | 706,752 | 4,381,862 | ||||||
Banco Macro SA ADR | 201,228 | 15,506,630 | ||||||
BBVA Banco Frances SA ADR | 229,858 | 3,778,866 | ||||||
Cresud SACIF y A ADRa | 174,643 | 3,279,796 | ||||||
Empresa Distribuidora y Comercializadora Norte SA ADRa | 122,291 | 4,194,581 | ||||||
Globant SAa,b | 138,651 | 5,033,031 | ||||||
Grupo Financiero Galicia SA ADR | 496,117 | 15,776,521 | ||||||
Grupo Supervielle SA SP ADRa | 175,870 | 2,697,846 | ||||||
IRSA Inversiones y Representaciones SA ADRa | 108,794 | 2,539,252 | ||||||
Pampa Energia SA ADRa | 341,515 | 15,631,142 | ||||||
Telecom Argentina SA ADR | 456,035 | 9,649,701 | ||||||
Transportadora de Gas del Sur SA ADR | 440,084 | 5,267,805 | ||||||
YPF SA ADR | 952,970 | 19,774,127 | ||||||
|
| |||||||
113,737,890 | ||||||||
BAHRAIN — 1.95% | ||||||||
GFH Financial Group BSCa | 13,867,145 | 10,950,230 | ||||||
|
| |||||||
10,950,230 | ||||||||
BANGLADESH — 4.17% | ||||||||
Beximco Pharmaceuticals Ltd. | 2,664,501 | 3,084,772 | ||||||
BRAC Bank Ltd. | 554,568 | 466,053 | ||||||
GrameenPhone Ltd. | 1,024,995 | 3,972,699 | ||||||
Islami Bank Bangladesh Ltd. | 2,445,367 | 1,355,725 | ||||||
Lafarge Surma Cement Ltd. | 3,072,815 | 3,160,500 | ||||||
Olympic Industries Ltd. | 913,118 | 3,519,613 | ||||||
Square Pharmaceuticals Ltd. | 2,330,897 | 7,841,287 | ||||||
|
| |||||||
23,400,649 | ||||||||
JORDAN — 1.52% | ||||||||
Al-Eqbal Investment Co. PLC | 1,947 | 69,727 | ||||||
Arab Bank PLC | 630,378 | 5,706,065 | ||||||
Jordan Petroleum Refinery Co. | 576,281 | 2,746,323 | ||||||
|
| |||||||
8,522,115 | ||||||||
KAZAKHSTAN — 2.37% | ||||||||
Halyk Savings Bank of Kazakhstan JSC GDRa,c | 410,636 | 2,623,964 |
Security | Shares | Value | ||||||
KazMunaiGas Exploration Production JSC GDRa,c | 1,033,134 | $ | 10,692,937 | |||||
|
| |||||||
13,316,901 | ||||||||
KENYA — 4.66% | ||||||||
Co-operative Bank of Kenya Ltd. (The) | 10,454,037 | 1,275,626 | ||||||
East African Breweries Ltd. | 2,498,442 | 5,465,721 | ||||||
Equity Group Holdings Ltd./Kenya | 12,247,800 | 3,125,958 | ||||||
KCB Group Ltd. | 14,149,560 | 3,473,762 | ||||||
Safaricom Ltd. | 74,458,000 | 12,850,068 | ||||||
|
| |||||||
26,191,135 | ||||||||
KUWAIT — 21.77% | ||||||||
Agility Public Warehousing Co. KSC | 3,657,191 | 7,067,614 | ||||||
Boubyan Bank KSCP | 2,998,124 | 4,173,609 | ||||||
Burgan Bank SAK | 3,733,352 | 3,851,968 | ||||||
Jazeera Airways Co. KSC | 577,099 | 1,153,064 | ||||||
Kuwait Finance House KSCP | 14,179,392 | 28,330,918 | ||||||
Kuwait Projects Co. Holding KSCP | 2,400,830 | 3,931,919 | ||||||
Mabanee Co. SAK | 2,440,688 | 6,715,290 | ||||||
Mezzan Holding Co. KSCC | 850,311 | 2,757,314 | ||||||
Mobile Telecommunications Co. KSC | 12,874,177 | 20,241,091 | ||||||
National Bank of Kuwait SAKP | 15,075,493 | 36,540,664 | ||||||
National Industries Group Holding SAK | 5,077,735 | 2,461,529 | ||||||
VIVA Kuwait Telecom Co.a | 922,056 | 2,567,139 | ||||||
Warba Bank KSCPa | 2,765,249 | 2,490,807 | ||||||
|
| |||||||
122,282,926 | ||||||||
MAURITIUS — 3.18% | ||||||||
MCB Group Ltd. | 1,118,708 | 7,147,389 | ||||||
Rockcastle Global Real Estate Co. Ltd. | 4,320,645 | 10,728,941 | ||||||
|
| |||||||
17,876,330 | ||||||||
MOROCCO — 6.36% | ||||||||
Attijariwafa Bank | 256,704 | 10,575,014 | ||||||
Banque Centrale Populaire | 147,541 | 4,100,823 | ||||||
Cosumar | 69,690 | 2,455,834 | ||||||
Douja Promotion Groupe Addoha SA | 768,460 | 3,699,672 | ||||||
Maroc Telecom | 1,032,334 | 14,874,332 | ||||||
|
| |||||||
35,705,675 |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2017
Security | Shares | Value | ||||||
NIGERIA — 3.93% | ||||||||
Access Bank PLC | 85,218,667 | $ | 1,613,153 | |||||
Afriland Properties PLCa | 7,291 | 45 | ||||||
FBN Holdings PLC | 103,830,966 | 924,242 | ||||||
Guaranty Trust Bank PLC | 80,471,984 | 5,599,037 | ||||||
Lafarge Africa PLC | 9,170,826 | 1,007,499 | ||||||
Nigerian Breweries PLC | 20,035,766 | 7,291,890 | ||||||
Oando PLCa | 29,477,441 | 406,872 | ||||||
Transnational Corp. of Nigeria PLCa | 133,569,052 | 259,613 | ||||||
United Bank for Africa PLC | 103,145,957 | 1,452,760 | ||||||
Zenith Bank PLC | 84,436,595 | 3,496,389 | ||||||
|
| |||||||
22,051,500 | ||||||||
OMAN — 3.61% | ||||||||
Bank Muscat SAOG | 6,237,268 | 7,741,922 | ||||||
Bank Sohar SAOG | 6,409,347 | 2,579,716 | ||||||
Oman Telecommunications Co. SAOG | 2,085,622 | 7,392,558 | ||||||
Ooredoo QSC | 1,768,305 | 2,571,412 | ||||||
|
| |||||||
20,285,608 | ||||||||
PAKISTAN — 11.09% | ||||||||
Engro Corp. Ltd./Pakistan | 1,554,261 | 5,635,290 | ||||||
Fauji Cement Co. Ltd. | 4,090,000 | 1,741,206 | ||||||
Fauji Fertilizer Co. Ltd. | 3,172,450 | 3,272,034 | ||||||
Habib Bank Ltd. | 3,625,700 | 9,429,380 | ||||||
Hub Power Co. Ltd. (The) | 2,925,330 | 3,653,522 | ||||||
Lucky Cement Ltd. | 1,063,448 | 8,828,211 | ||||||
MCB Bank Ltd. | 3,419,666 | 7,412,920 | ||||||
National Bank of Pakistan | 3,341,626 | 2,391,840 | ||||||
Oil & Gas Development Co. Ltd. | 3,914,000 | 5,880,523 | ||||||
Pakistan Oilfields Ltd. | 412,000 | 1,868,879 | ||||||
Pakistan Petroleum Ltd. | 947,750 | 1,578,739 | ||||||
Pakistan State Oil Co. Ltd. | 824,000 | 3,460,863 | ||||||
United Bank Ltd./Pakistan | 3,048,867 | 7,119,065 | ||||||
|
| |||||||
62,272,472 | ||||||||
ROMANIA — 5.06% | ||||||||
Banca Transilvania SA | 16,393,390 | 10,387,129 | ||||||
BRD-Groupe Societe Generale SA | 1,326,953 | 3,730,571 | ||||||
OMV Petrom SAa | 41,516,272 | 2,913,081 | ||||||
Societatea Energetica Electrica SA | 1,020,129 | 3,399,432 |
Security | Principal or Shares | Value | ||||||
Societatea Nationala de Gaze Naturale ROMGAZ SA | 769,010 | $ | 5,107,183 | |||||
Transgaz SA Medias | 33,575 | 2,852,250 | ||||||
|
| |||||||
28,389,646 | ||||||||
SLOVENIA — 0.29% | ||||||||
Zavarovalnica Triglav DD | 56,239 | 1,601,556 | ||||||
|
| |||||||
1,601,556 | ||||||||
SRI LANKA — 1.53% | ||||||||
Commercial Bank of Ceylon PLC | 2,688,536 | 2,535,602 | ||||||
John Keells Holdings PLC | 6,445,794 | 6,049,375 | ||||||
|
| |||||||
8,584,977 | ||||||||
VIETNAM — 7.87% | ||||||||
Bank for Foreign Trade of Vietnam JSC | 1,813,055 | 2,978,750 | ||||||
Hoa Phat Group JSC | 2,033,080 | 3,572,448 | ||||||
Masan Group Corp. | 2,961,560 | 5,334,034 | ||||||
Saigon Thuong Tin Commercial JSBa | 219,749 | 99,429 | ||||||
Vietnam Dairy Products JSC | 3,994,520 | 23,057,456 | ||||||
Vingroup JSCa | 4,643,210 | 9,178,723 | ||||||
|
| |||||||
44,220,840 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $549,309,308) |
| 559,390,450 | ||||||
CONVERTIBLE BONDS — 0.08% |
| |||||||
OMAN — 0.08% |
| |||||||
Bank Muscat SAOG | ||||||||
0.45%, 03/20/17 | OMR | 540,521 | 161,412 | |||||
0.35%, 03/19/18 | OMR | 1,026,177 | 271,800 | |||||
|
| |||||||
433,212 | ||||||||
|
| |||||||
TOTAL CONVERTIBLE BONDS |
| |||||||
(Cost: $255,878) | 433,212 | |||||||
SHORT-TERM INVESTMENTS — 1.46% |
| |||||||
MONEY MARKET FUNDS — 1.46% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 3,960,806 | 3,962,390 |
SCHEDULESOF INVESTMENTS | 9 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2017
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 4,245,634 | $ | 4,245,634 | |||||
|
| |||||||
8,208,024 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $8,207,124) |
| 8,208,024 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $557,772,310)g |
| 568,031,686 | ||||||
Other Assets, Less Liabilities — (1.15)% |
| (6,445,577 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 561,586,109 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
Currency abbreviations:
OMR — Omani Rial
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $584,528,828. Net unrealized depreciation was $16,497,142, of which $82,615,780 represented gross unrealized appreciation on securities and $99,112,922 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 537,338,950 | $ | 22,051,500 | $ | — | $ | 559,390,450 | ||||||||
Convertible bonds | — | 433,212 | — | 433,212 | ||||||||||||
Money market funds | 8,208,024 | — | — | 8,208,024 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 545,546,974 | $ | 22,484,712 | $ | — | $ | 568,031,686 | ||||||||
|
|
|
|
|
|
|
| |||||||||
The Nigerian securities in the iShares MSCI Frontier 100 ETF were valued using Level 1 prices but the foreign exchange rate used to translate the Nigerian naira into U.S. dollars was the three-month non-deliverable forward rate, a Level 2 input.
See notes to financial statements.
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.50% |
| |||||||
AUSTRALIA — 2.75% |
| |||||||
AGL Energy Ltd. | 7,750 | $ | 143,721 | |||||
Amcor Ltd./Australia | 15,800 | 170,677 | ||||||
AMP Ltd. | 34,000 | 127,568 | ||||||
APA Group | 15,714 | 102,211 | ||||||
ASX Ltd. | 3,003 | 118,283 | ||||||
Aurizon Holdings Ltd. | 26,650 | 104,908 | ||||||
Australia & New Zealand Banking Group Ltd. | 29,650 | 704,409 | ||||||
Bendigo & Adelaide Bank Ltd. | 8,350 | 78,451 | ||||||
BHP Billiton Ltd. | 34,900 | 670,822 | ||||||
Brambles Ltd. | 18,650 | 133,497 | ||||||
Cochlear Ltd. | 1,350 | 135,504 | ||||||
Commonwealth Bank of Australia | 17,667 | 1,118,175 | ||||||
Computershare Ltd. | 7,150 | 74,268 | ||||||
Crown Resorts Ltd. | 5,750 | 55,968 | ||||||
CSL Ltd. | 5,250 | 475,737 | ||||||
Dexus Property Group | 17,813 | 129,286 | ||||||
Fortescue Metals Group Ltd. | 14,200 | 72,384 | ||||||
Goodman Group | 25,500 | 148,023 | ||||||
GPT Group (The) | 33,200 | 125,842 | ||||||
Incitec Pivot Ltd. | 30,550 | 86,202 | ||||||
Insurance Australia Group Ltd. | 29,950 | 138,162 | ||||||
James Hardie Industries PLC | 7,408 | 111,065 | ||||||
LendLease Group | 10,550 | 123,536 | ||||||
Macquarie Group Ltd. | 3,560 | 237,170 | ||||||
Medibank Pvt Ltd. | 37,402 | 81,093 | ||||||
Mirvac Group | 75,250 | 124,390 | ||||||
National Australia Bank Ltd. | 27,350 | 672,687 | ||||||
Newcrest Mining Ltd. | 9,850 | 167,670 | ||||||
Oil Search Ltd. | 17,622 | 94,570 | ||||||
Orica Ltd. | 5,750 | 80,858 | ||||||
Origin Energy Ltd. | 23,850 | 120,291 | ||||||
QBE Insurance Group Ltd. | 15,950 | 150,959 | ||||||
Ramsay Health Care Ltd. | 2,050 | 109,983 | ||||||
Rio Tinto Ltd. | 4,650 | 221,624 | ||||||
Santos Ltd. | 21,513 | 62,853 | ||||||
Scentre Group | 72,421 | 242,769 | ||||||
Sonic Healthcare Ltd. | 6,800 | 112,510 | ||||||
South32 Ltd. | 67,704 | 129,615 | ||||||
Stockland | 43,006 | 156,068 | ||||||
Suncorp Group Ltd. | 13,467 | 137,399 | ||||||
Sydney Airport | 13,152 | 61,278 |
Security | Shares | Value | ||||||
Tatts Group Ltd. | 24,700 | $ | 77,102 | |||||
Telstra Corp. Ltd. | 43,073 | 159,622 | ||||||
Transurban Group | 24,018 | 203,683 | ||||||
Vicinity Centres | 49,800 | 110,654 | ||||||
Wesfarmers Ltd. | 11,600 | 381,005 | ||||||
Westfield Corp. | 26,450 | 178,958 | ||||||
Westpac Banking Corp. | 34,554 | 895,303 | ||||||
Woodside Petroleum Ltd. | 7,900 | 190,357 | ||||||
Woolworths Ltd. | 13,850 | 274,307 | ||||||
|
| |||||||
10,583,477 | ||||||||
AUSTRIA — 0.07% |
| |||||||
Andritz AG | 1,450 | 75,975 | ||||||
Erste Group Bank AG | 4,100 | 119,634 | ||||||
OMV AG | 1,950 | 74,719 | ||||||
|
| |||||||
270,328 | ||||||||
BELGIUM — 0.45% |
| |||||||
Ageas | 3,100 | 118,059 | ||||||
Anheuser-Busch InBev SA/NV | 8,200 | 899,650 | ||||||
Colruyt SA | 1,600 | 75,266 | ||||||
Groupe Bruxelles Lambert SA | 850 | 72,266 | ||||||
KBC Group NV | 3,015 | 184,984 | ||||||
Proximus SADP | 1,650 | 48,663 | ||||||
Solvay SA | 857 | 100,126 | ||||||
UCB SA | 1,750 | 124,980 | ||||||
Umicore SA | 1,850 | 97,730 | ||||||
|
| |||||||
1,721,724 | ||||||||
CANADA — 3.61% |
| |||||||
Agnico Eagle Mines Ltd. | 3,350 | 141,264 | ||||||
Agrium Inc. | 1,500 | 145,022 | ||||||
Alimentation Couche-Tard Inc. Class B | 4,800 | 214,042 | ||||||
ARC Resources Ltd. | 5,050 | 75,495 | ||||||
Bank of Montreal | 6,950 | 528,892 | ||||||
Bank of Nova Scotia (The) | 12,550 | 730,003 | ||||||
Barrick Gold Corp. | 14,450 | 267,409 | ||||||
BCE Inc. | 1,800 | 78,744 | ||||||
BlackBerry Ltd.a,b | 7,450 | 51,919 | ||||||
Brookfield Asset Management Inc. Class A | 9,400 | 339,534 | ||||||
Cameco Corp. | 6,550 | 72,698 | ||||||
Canadian Imperial Bank of Commerce | 4,150 | 365,383 | ||||||
Canadian National Railway Co. | 8,700 | 606,691 | ||||||
Canadian Natural Resources Ltd. | 12,000 | 345,109 |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Canadian Pacific Railway Ltd. | 1,700 | $ | 250,844 | |||||
Canadian Tire Corp. Ltd. Class A | 950 | 109,242 | ||||||
Canadian Utilities Ltd. Class A | 2,050 | 55,319 | ||||||
Cenovus Energy Inc. | 10,200 | 129,382 | ||||||
CGI Group Inc. Class Ab | 3,000 | 138,306 | ||||||
CI Financial Corp. | 3,700 | 75,651 | ||||||
Constellation Software Inc./Canada | 300 | 141,228 | ||||||
Crescent Point Energy Corp. | 6,400 | 70,598 | ||||||
Enbridge Inc. | 10,150 | 428,393 | ||||||
Enbridge Inc. New | 7,823 | 327,384 | ||||||
Encana Corp. | 11,850 | 131,701 | ||||||
Fairfax Financial Holdings Ltd. | 300 | 135,452 | ||||||
Finning International Inc. | 3,550 | 66,098 | ||||||
First Quantum Minerals Ltd.a | 6,734 | 70,266 | ||||||
Fortis Inc./Canada | 4,750 | 151,095 | ||||||
Franco-Nevada Corp. | 2,200 | 142,204 | ||||||
George Weston Ltd. | 1,250 | 105,044 | ||||||
Gildan Activewear Inc. | 3,800 | 96,546 | ||||||
Goldcorp Inc. | 10,300 | 163,702 | ||||||
Great-West Lifeco Inc. | 3,000 | 82,087 | ||||||
Husky Energy Inc.b | 4,971 | 59,301 | ||||||
IGM Financial Inc. | 1,450 | 44,569 | ||||||
Imperial Oil Ltd. | 3,800 | 119,040 | ||||||
Intact Financial Corp. | 1,850 | 131,523 | ||||||
Inter Pipeline Ltd. | 5,016 | 105,474 | ||||||
Loblaw Companies Ltd. | 2,800 | 146,422 | ||||||
Magna International Inc. Class A | 4,350 | 186,520 | ||||||
Manulife Financial Corp. | 21,000 | 376,254 | ||||||
Metro Inc. | 4,800 | 140,363 | ||||||
National Bank of Canada | 4,200 | 179,740 | ||||||
Onex Corp. | 1,700 | 119,974 | ||||||
Open Text Corp. | 3,700 | 122,304 | ||||||
Pembina Pipeline Corp. | 6,100 | 197,676 | ||||||
Potash Corp. of Saskatchewan Inc. | 10,100 | 175,699 | ||||||
Power Corp. of Canada | 4,100 | 95,655 | ||||||
Power Financial Corp. | 2,900 | 75,431 | ||||||
PrairieSky Royalty Ltd. | 3,650 | 85,597 | ||||||
Restaurant Brands International Inc. | 2,650 | 144,980 | ||||||
RioCan REIT | 4,000 | 80,577 | ||||||
Rogers Communications Inc. Class B | 4,150 | 174,717 | ||||||
Royal Bank of Canada | 15,300 | 1,114,534 | ||||||
Saputo Inc. | 4,200 | 144,635 | ||||||
Shaw Communications Inc. Class B | 4,506 | 94,036 |
Security | Shares | Value | ||||||
Silver Wheaton Corp. | 6,500 | $ | 126,962 | |||||
SNC-Lavalin Group Inc. | 2,350 | 95,973 | ||||||
Sun Life Financial Inc. | 6,250 | 227,453 | ||||||
Suncor Energy Inc. | 17,710 | 552,915 | ||||||
Teck Resources Ltd. Class B | 6,200 | 124,286 | ||||||
TELUS Corp. | 1,072 | 34,982 | ||||||
Thomson Reuters Corp. | 3,800 | 161,130 | ||||||
Toronto-Dominion Bank (The) | 19,050 | 984,683 | ||||||
Tourmaline Oil Corp.a,b | 2,950 | 65,484 | ||||||
TransCanada Corp. | 9,150 | 421,835 | ||||||
Valeant Pharmaceuticals International Inc.a,b | 4,150 | 59,189 | ||||||
Vermilion Energy Inc. | 2,200 | 83,900 | ||||||
|
| |||||||
13,886,560 | ||||||||
DENMARK — 0.61% |
| |||||||
AP Moller – Maersk A/S Class A | 100 | 155,540 | ||||||
Carlsberg A/S Class B | 1,494 | 131,673 | ||||||
Coloplast A/S Class Ba | 1,750 | 123,763 | ||||||
Danske Bank A/S | 8,250 | 276,219 | ||||||
DSV A/S | 3,436 | 169,663 | ||||||
Genmab A/Sb | 750 | 149,035 | ||||||
Novo Nordisk A/S Class B | 20,700 | 737,447 | ||||||
Novozymes A/S Class B | 3,450 | 133,117 | ||||||
Pandora A/Sa | 1,456 | 166,519 | ||||||
Vestas Wind Systems A/S | 2,716 | 202,098 | ||||||
William Demant Holding A/Sa,b | 4,750 | 97,581 | ||||||
|
| |||||||
2,342,655 | ||||||||
FINLAND — 0.33% |
| |||||||
Elisa OYJ | 2,450 | 81,928 | ||||||
Fortum OYJ | 4,400 | 67,747 | ||||||
Kone OYJ Class Ba | 4,200 | 188,603 | ||||||
Metso OYJ | 1,800 | 53,345 | ||||||
Nokia OYJ | 64,422 | 331,184 | ||||||
Sampo OYJ Class A | 4,200 | 191,950 | ||||||
Stora Enso OYJ Class R | 8,100 | 87,276 | ||||||
UPM-Kymmene OYJ | 6,650 | 158,497 | ||||||
Wartsila OYJ Abp | 2,200 | 113,449 | ||||||
|
| |||||||
1,273,979 | ||||||||
FRANCE — 3.50% |
| |||||||
Accor SA | 2,600 | 102,913 | ||||||
Air Liquide SA | 4,121 | 446,217 | ||||||
Airbus SE | 6,500 | 478,786 | ||||||
Alstom SAb | 3,100 | 84,410 | ||||||
ArcelorMittalb | 21,955 | 193,867 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Atos SE | 1,350 | $ | 159,948 | |||||
AXA SA | 19,900 | 470,916 | ||||||
BNP Paribas SA | 11,451 | 670,813 | ||||||
Bollore SA | 23,750 | 92,341 | ||||||
Bouygues SA | 2,300 | 88,888 | ||||||
Bureau Veritas SA | 4,101 | 78,483 | ||||||
Capgemini SA | 1,900 | 162,908 | ||||||
Carrefour SA | 6,300 | 150,891 | ||||||
Casino Guichard Perrachon SA | 800 | 42,432 | ||||||
Christian Dior SE | 700 | 148,690 | ||||||
Cie. de Saint-Gobain | 5,200 | 249,919 | ||||||
Cie. Generale des Etablissements Michelin Class B | 2,150 | 242,281 | ||||||
Credit Agricole SA | 11,150 | 135,008 | ||||||
Danone SA | 6,300 | 418,800 | ||||||
Dassault Systemes SE | 1,900 | 153,904 | ||||||
Edenred | 2,750 | 62,417 | ||||||
Engie SA | 13,600 | 166,769 | ||||||
Essilor International SA | 2,250 | 258,570 | ||||||
Eutelsat Communications SA | 3,250 | 64,079 | ||||||
Groupe Eurotunnel SE Registered | 9,450 | 88,366 | ||||||
Hermes International | 359 | 157,129 | ||||||
Iliad SA | 400 | 83,074 | ||||||
Ingenico Group SA | 700 | 62,987 | ||||||
Kering | 900 | 219,719 | ||||||
Klepierre | 3,424 | 127,578 | ||||||
L’Oreal SA | 2,600 | 485,003 | ||||||
Lagardere SCA | 1,950 | 49,191 | ||||||
Legrand SA | 3,150 | 178,137 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 3,000 | 603,929 | ||||||
Orange SA | 20,900 | 316,802 | ||||||
Pernod Ricard SA | 2,400 | 275,171 | ||||||
Peugeot SAb | 5,950 | 113,552 | ||||||
Publicis Groupe SA | 2,300 | 155,510 | ||||||
Renault SA | 2,164 | 192,488 | ||||||
Safran SA | 3,600 | 256,911 | ||||||
Sanofi | 12,550 | 1,084,587 | ||||||
Schneider Electric SE | 5,969 | 405,232 | ||||||
SCOR SE | 2,200 | 79,693 | ||||||
SES SA | 4,200 | 85,978 | ||||||
SFR Group SAb | 1,800 | 52,599 | ||||||
Societe BIC SA | 500 | 62,029 | ||||||
Societe Generale SA | 8,500 | 378,535 |
Security | Shares | Value | ||||||
Sodexo SA | 1,250 | $ | 137,540 | |||||
STMicroelectronics NV | 9,850 | 150,719 | ||||||
Suez | 3,550 | 53,396 | ||||||
Thales SA | 1,600 | 158,115 | ||||||
Total SA | 23,800 | 1,189,889 | ||||||
Unibail-Rodamco SE | 1,068 | 244,391 | ||||||
Valeo SA | 3,150 | 194,170 | ||||||
Veolia Environnement SA | 5,250 | 86,190 | ||||||
Vinci SA | 5,350 | 386,631 | ||||||
Vivendi SA | 12,200 | 215,911 | ||||||
|
| |||||||
13,455,402 | ||||||||
GERMANY — 3.14% | ||||||||
adidas AG | 2,250 | 378,711 | ||||||
Allianz SE Registered | 4,750 | 828,775 | ||||||
BASF SE | 9,800 | 915,345 | ||||||
Bayer AG Registered | 8,950 | 987,166 | ||||||
Bayerische Motoren Werke AG | 3,650 | 327,228 | ||||||
Beiersdorf AG | 1,577 | 144,313 | ||||||
Brenntag AG | 2,700 | 155,271 | ||||||
Commerzbank AG | 15,651 | 119,758 | ||||||
Continental AG | 1,218 | 247,848 | ||||||
Daimler AG Registered | 9,768 | 712,447 | ||||||
Deutsche Bank AG Registeredb | 16,250 | 321,171 | ||||||
Deutsche Boerse AGb | 2,450 | 210,613 | ||||||
Deutsche Lufthansa AG Registereda | 2,798 | 41,119 | ||||||
Deutsche Post AG Registered | 11,450 | 393,899 | ||||||
Deutsche Telekom AG Registered | 33,951 | 588,405 | ||||||
E.ON SE | 24,028 | 187,049 | ||||||
Fresenius Medical Care AG & Co. KGaA | 2,750 | 229,535 | ||||||
Fresenius SE & Co. KGaA | 4,550 | 362,709 | ||||||
GEA Group AG | 3,050 | 119,072 | ||||||
Hannover Rueck SE | 1,000 | 113,273 | ||||||
HeidelbergCement AG | 2,000 | 187,464 | ||||||
Henkel AG & Co. KGaA | 1,550 | 167,585 | ||||||
Infineon Technologies AG | 15,300 | 273,131 | ||||||
Lanxess AG | 1,850 | 126,008 | ||||||
Linde AG | 2,200 | 358,489 | ||||||
MAN SE | 1,050 | 108,103 | ||||||
Merck KGaA | 1,850 | 202,773 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 1,800 | 341,222 | ||||||
Osram Licht AG | 1,601 | 95,439 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
ProSiebenSat.1 Media SE Registered | 2,711 | $ | 109,049 | |||||
QIAGEN NVa | 3,996 | 114,221 | ||||||
RWE AGb | 5,900 | 84,354 | ||||||
SAP SE | 10,750 | 1,004,648 | ||||||
Siemens AG Registered | 8,500 | 1,109,142 | ||||||
ThyssenKrupp AG | 5,250 | 131,628 | ||||||
Vonovia SE | 6,150 | 214,936 | ||||||
Zalando SEa,b,c | 1,550 | 62,175 | ||||||
|
| |||||||
12,074,074 | ||||||||
HONG KONG — 1.22% | ||||||||
AIA Group Ltd.a | 140,000 | 884,643 | ||||||
Bank of East Asia Ltd. (The)a | 40,000 | 165,412 | ||||||
BOC Hong Kong Holdings Ltd.a | 75,000 | 296,620 | ||||||
Cheung Kong Property Holdings Ltd. | 50,000 | 340,099 | ||||||
CK Hutchison Holdings Ltd.a | 25,000 | 308,859 | ||||||
CLP Holdings Ltd. | 25,000 | 254,269 | ||||||
Galaxy Entertainment Group Ltd. | 50,000 | 239,615 | ||||||
Hang Seng Bank Ltd.a | 15,000 | 307,635 | ||||||
Hong Kong & China Gas Co. Ltd.a | 166,271 | 320,013 | ||||||
Hong Kong Exchanges & Clearing Ltd.a | 11,700 | 290,448 | ||||||
Jardine Matheson Holdings Ltd. | 5,000 | 310,900 | ||||||
Li & Fung Ltd.a | 108,000 | 48,139 | ||||||
Link REITa | 50,000 | 344,930 | ||||||
MTR Corp. Ltd. | 50,000 | 264,414 | ||||||
New World Development Co. Ltd. | 118,333 | 154,882 | ||||||
Sands China Ltd.a | 40,000 | 166,958 | ||||||
|
| |||||||
4,697,836 | ||||||||
IRELAND — 0.17% | ||||||||
Bank of Irelandb | 306,354 | 72,919 | ||||||
CRH PLC | 8,500 | 287,808 | ||||||
Kerry Group PLC Class A | 2,200 | 169,485 | ||||||
Paddy Power Betfair PLC | 1,012 | 111,191 | ||||||
|
| |||||||
641,403 | ||||||||
ISRAEL — 0.22% | ||||||||
Bank Hapoalim BM | 28,800 | 177,612 | ||||||
Check Point Software Technologies Ltd.a,b | 1,350 | 133,528 | ||||||
Mobileye NVb | 2,050 | 93,316 | ||||||
Nice Ltd. | 1,400 | 97,261 | ||||||
Teva Pharmaceutical Industries Ltd. ADR | 10,250 | 358,955 | ||||||
|
| |||||||
860,672 |
Security | Shares | Value | ||||||
ITALY — 0.72% | ||||||||
Assicurazioni Generali SpA | 12,600 | $ | 181,016 | |||||
Atlantia SpA | 5,900 | 138,552 | ||||||
CNH Industrial NV | 13,200 | 122,871 | ||||||
Enel SpA | 78,470 | 337,865 | ||||||
Eni SpA | 26,750 | 412,724 | ||||||
Ferrari NV | 1,810 | 118,283 | ||||||
Fiat Chrysler Automobiles NVa,b | 12,400 | 136,111 | ||||||
Intesa Sanpaolo SpA | 147,000 | 343,645 | ||||||
Leonardo SpAb | 3,996 | 55,073 | ||||||
Luxottica Group SpA | 2,300 | 121,612 | ||||||
Saipem SpAb | 89,239 | 40,879 | ||||||
Snam SpA | 33,390 | 133,406 | ||||||
Telecom Italia SpA/Milanoa,b | 164,104 | 133,485 | ||||||
Tenaris SA | 6,750 | 111,390 | ||||||
Terna Rete Elettrica Nazionale SpA | 24,650 | 114,516 | ||||||
UniCredit SpAa | 20,826 | 279,941 | ||||||
|
| |||||||
2,781,369 | ||||||||
JAPAN — 8.73% | ||||||||
Aeon Co. Ltd. | 10,000 | 149,707 | ||||||
Aisin Seiki Co. Ltd. | 5,000 | 249,363 | ||||||
Ajinomoto Co. Inc. | 10,000 | 203,244 | ||||||
ANA Holdings Inc. | 50,000 | 150,065 | ||||||
Asahi Group Holdings Ltd. | 10,000 | 354,739 | ||||||
Asahi Kasei Corp. | 50,000 | 489,118 | ||||||
Astellas Pharma Inc. | 30,000 | 405,416 | ||||||
Bridgestone Corp. | 10,000 | 400,501 | ||||||
Canon Inc. | 15,000 | 439,871 | ||||||
Casio Computer Co. Ltd. | 5,300 | 71,860 | ||||||
Chubu Electric Power Co. Inc. | 15,000 | 198,418 | ||||||
Chugai Pharmaceutical Co. Ltd. | 5,000 | 167,359 | ||||||
Chugoku Electric Power Co. Inc. (The) | 15,000 | 165,974 | ||||||
Concordia Financial Group Ltd. | 20,000 | 106,860 | ||||||
Dai-ichi Life Holdings Inc. | 12,800 | 241,677 | ||||||
Daiichi Sankyo Co. Ltd. | 10,900 | 249,448 | ||||||
Daikin Industries Ltd. | 5,000 | 476,605 | ||||||
Daiwa House Industry Co. Ltd. | 10,000 | 275,640 | ||||||
Denso Corp. | 5,000 | 223,086 | ||||||
Dentsu Inc. | 5,000 | 277,964 | ||||||
East Japan Railway Co. | 5,000 | 453,814 | ||||||
Eisai Co. Ltd. | 5,000 | 281,584 | ||||||
FANUC Corp. | 1,700 | 336,171 | ||||||
Fast Retailing Co. Ltd. | 500 | 158,600 |
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Fuji Heavy Industries Ltd. | 5,000 | $ | 188,006 | |||||
FUJIFILM Holdings Corp. | 5,000 | 194,039 | ||||||
Fujitsu Ltd. | 50,000 | 291,683 | ||||||
Hakuhodo DY Holdings Inc. | 10,000 | 123,430 | ||||||
Hitachi Ltd. | 50,000 | 276,534 | ||||||
Honda Motor Co. Ltd. | 20,000 | 623,676 | ||||||
Hoya Corp. | 5,000 | 227,198 | ||||||
Hulic Co. Ltd. | 10,000 | 95,545 | ||||||
Iida Group Holdings Co. Ltd. | 5,000 | 84,909 | ||||||
INPEX Corp. | 20,000 | 199,491 | ||||||
ITOCHU Corp. | 20,000 | 290,745 | ||||||
Japan Airlines Co. Ltd. | 5,000 | 163,963 | ||||||
Japan Exchange Group Inc. | 10,000 | 138,803 | ||||||
Japan Retail Fund Investment Corp. | 100 | 201,993 | ||||||
Japan Tobacco Inc. | 15,000 | 503,687 | ||||||
JFE Holdings Inc. | 10,000 | 189,927 | ||||||
JTEKT Corp. | 5,000 | 85,266 | ||||||
JX Holdings Inc. | 45,000 | 215,217 | ||||||
Kansai Electric Power Co. Inc. (The)a,b | 15,000 | 166,979 | ||||||
Kao Corp. | 5,000 | 259,239 | ||||||
KDDI Corp. | 20,000 | 525,361 | ||||||
Kirin Holdings Co. Ltd. | 15,000 | 259,284 | ||||||
Kobe Steel Ltd.b | 5,000 | 48,755 | ||||||
Komatsu Ltd. | 15,000 | 363,387 | ||||||
Konami Holdings Corp. | 5,000 | 211,825 | ||||||
Konica Minolta Inc. | 15,000 | 145,194 | ||||||
Kubota Corp. | 15,000 | 239,643 | ||||||
Kuraray Co. Ltd. | 15,000 | 228,583 | ||||||
Kyocera Corp. | 5,000 | 276,087 | ||||||
Kyushu Electric Power Co. Inc. | 10,000 | 111,722 | ||||||
Kyushu Financial Group Inc. | 15,000 | 103,097 | ||||||
M3 Inc. | 5,000 | 127,363 | ||||||
Marubeni Corp. | 35,000 | 227,358 | ||||||
Marui Group Co. Ltd. | 5,000 | 69,357 | ||||||
Mazda Motor Corp. | 10,000 | 140,859 | ||||||
Mitsubishi Chemical Holdings Corp. | 35,000 | 269,871 | ||||||
Mitsubishi Corp. | 20,000 | 453,054 | ||||||
Mitsubishi Electric Corp. | 18,800 | 276,829 | ||||||
Mitsubishi Estate Co. Ltd. | 10,000 | 196,184 | ||||||
Mitsubishi Heavy Industries Ltd. | 50,000 | 198,418 | ||||||
Mitsubishi Motors Corp. | 10,000 | 64,977 | ||||||
Mitsubishi UFJ Financial Group Inc. | 145,600 | 960,907 | ||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. | 35,000 | 194,262 |
Security | Shares | Value | ||||||
Mitsui & Co. Ltd. | 25,100 | $ | 385,636 | |||||
Mitsui Fudosan Co. Ltd. | 7,000 | 159,101 | ||||||
Mizuho Financial Group Inc. | 305,000 | 571,645 | ||||||
MS&AD Insurance Group Holdings Inc. | 6,900 | 234,286 | ||||||
Murata Manufacturing Co. Ltd. | 1,700 | 245,386 | ||||||
Nagoya Railroad Co. Ltd. | 50,000 | 230,147 | ||||||
NEC Corp. | 30,000 | 75,077 | ||||||
Nidec Corp. | 5,000 | 468,785 | ||||||
Nikon Corp.a | 10,000 | 153,461 | ||||||
Nintendo Co. Ltd. | 1,100 | 231,041 | ||||||
Nippon Paint Holdings Co. Ltd. | 5,000 | 161,997 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 10,047 | 248,156 | ||||||
Nippon Telegraph & Telephone Corp. | 10,000 | 424,632 | ||||||
Nissan Motor Co. Ltd. | 35,000 | 345,980 | ||||||
Nitto Denko Corp. | 5,000 | 422,756 | ||||||
Nomura Holdings Inc. | 55,000 | 358,507 | ||||||
Nomura Real Estate Master Fund Inc. | 100 | 150,422 | ||||||
NTT DOCOMO Inc. | 20,000 | 476,740 | ||||||
Olympus Corp. | 5,000 | 177,638 | ||||||
Omron Corp. | 5,000 | 215,847 | ||||||
Ono Pharmaceutical Co. Ltd. | 5,000 | 111,163 | ||||||
Oriental Land Co. Ltd./Japan | 5,000 | 282,075 | ||||||
ORIX Corp. | 20,000 | 312,374 | ||||||
Otsuka Holdings Co. Ltd. | 5,000 | 228,404 | ||||||
Panasonic Corp. | 30,000 | 330,607 | ||||||
Rakuten Inc. | 15,000 | 149,216 | ||||||
Recruit Holdings Co. Ltd. | 5,000 | 246,235 | ||||||
Resona Holdings Inc. | 35,000 | 196,139 | ||||||
Ricoh Co. Ltd. | 15,000 | 131,251 | ||||||
Sekisui House Ltd. | 10,000 | 160,477 | ||||||
Seven & I Holdings Co. Ltd. | 10,000 | 393,261 | ||||||
Seven Bank Ltd. | 30,000 | 93,578 | ||||||
Shin-Etsu Chemical Co. Ltd. | 5,000 | 424,677 | ||||||
Shionogi & Co. Ltd. | 5,000 | 245,699 | ||||||
Shiseido Co. Ltd. | 5,000 | 132,055 | ||||||
SoftBank Group Corp. | 10,000 | 747,375 | ||||||
Sompo Holdings Inc. | 5,000 | 187,603 | ||||||
Sony Corp. | 15,000 | 466,282 | ||||||
Sumitomo Corp. | 25,000 | 337,288 | ||||||
Sumitomo Electric Industries Ltd. | 15,000 | 245,274 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Sumitomo Mitsui Financial Group Inc. | 15,000 | $ | 586,808 | |||||
Sumitomo Mitsui Trust Holdings Inc. | 5,000 | 180,051 | ||||||
Sumitomo Realty & Development Co. Ltd. | 2,000 | 55,432 | ||||||
Suzuki Motor Corp. | 5,000 | 196,362 | ||||||
Sysmex Corp. | 5,000 | 290,030 | ||||||
T&D Holdings Inc. | 10,000 | 154,042 | ||||||
Takeda Pharmaceutical Co. Ltd. | 10,000 | 466,729 | ||||||
Terumo Corp. | 5,000 | 174,063 | ||||||
Tohoku Electric Power Co. Inc. | 10,000 | 128,882 | ||||||
Tokio Marine Holdings Inc. | 10,000 | 439,648 | ||||||
Tokyo Electric Power Co. Holdings Inc.b | 25,000 | 96,528 | ||||||
Tokyo Gas Co. Ltd. | 50,000 | 227,823 | ||||||
Tokyu Fudosan Holdings Corp. | 20,000 | 114,403 | ||||||
Toshiba Corp.b | 50,000 | 93,042 | ||||||
Toyota Motor Corp. | 30,000 | 1,706,663 | ||||||
Unicharm Corp. | 5,000 | 112,839 | ||||||
USS Co. Ltd. | 5,000 | 85,981 | ||||||
Yahoo Japan Corp. | 35,100 | 163,446 | ||||||
Yamada Denki Co. Ltd. | 20,000 | 102,427 | ||||||
Yamaha Corp. | 5,000 | 130,804 | ||||||
Yamato Holdings Co. Ltd. | 5,000 | 109,689 | ||||||
Yokogawa Electric Corp. | 5,000 | 78,161 | ||||||
|
| |||||||
33,591,917 | ||||||||
NETHERLANDS — 1.22% | ||||||||
Aegon NV | 20,800 | 110,908 | ||||||
AerCap Holdings NVa,b | 2,550 | 115,515 | ||||||
Akzo Nobel NV | 3,001 | 201,887 | ||||||
Altice NV Class Aa,b | 3,428 | 72,506 | ||||||
Altice NV Class Bb | 1,950 | 41,265 | ||||||
ASML Holding NV | 4,200 | 510,781 | ||||||
Gemalto NVa | 1,300 | 78,476 | ||||||
Heineken Holding NV | 1,500 | 114,267 | ||||||
Heineken NV | 2,650 | 219,358 | ||||||
ING Groep NV | 40,400 | 558,722 | ||||||
Koninklijke Ahold Delhaize NV | 15,171 | 323,381 | ||||||
Koninklijke DSM NV | 2,451 | 161,475 | ||||||
Koninklijke KPN NV | 43,700 | 123,751 | ||||||
Koninklijke Philips NV | 11,115 | 337,021 | ||||||
NN Group NV | 2,950 | 91,924 | ||||||
NXP Semiconductors NVb | 3,300 | 339,273 | ||||||
Randstad Holding NV | 1,715 | 100,066 |
Security | Shares | Value | ||||||
RELX NV | 10,555 | $ | 187,639 | |||||
Unilever NV CVA | 17,000 | 805,934 | ||||||
Wolters Kluwer NV | 5,050 | 207,481 | ||||||
|
| |||||||
4,701,630 | ||||||||
NEW ZEALAND — 0.05% | ||||||||
Fletcher Building Ltd. | 15,900 | 111,087 | ||||||
Spark New Zealand Ltd. | 32,250 | 83,736 | ||||||
|
| |||||||
194,823 | ||||||||
NORWAY — 0.23% | ||||||||
DNB ASA | 12,400 | 204,012 | ||||||
Norsk Hydro ASA | 19,300 | 109,625 | ||||||
Orkla ASA | 11,184 | 98,694 | ||||||
Statoil ASA | 13,150 | 233,502 | ||||||
Telenor ASA | 7,950 | 130,037 | ||||||
Yara International ASA | 3,000 | 114,259 | ||||||
|
| |||||||
890,129 | ||||||||
PORTUGAL — 0.03% | ||||||||
EDP – Energias de Portugal SA | 24,427 | 75,766 | ||||||
Galp Energia SGPS SA | 3,923 | 57,902 | ||||||
|
| |||||||
133,668 | ||||||||
SINGAPORE — 0.45% | ||||||||
Ascendas REIT | 82,565 | 147,590 | ||||||
CapitaLand Ltd.a | 70,000 | 182,189 | ||||||
CapitaLand Mall Trusta | 110,000 | 154,946 | ||||||
DBS Group Holdings Ltd.a | 18,400 | 246,421 | ||||||
Genting Singapore PLC | 115,000 | 81,406 | ||||||
Global Logistic Properties Ltd.a | 70,000 | 133,138 | ||||||
Hutchison Port Holdings Trusta | 140,000 | 53,200 | ||||||
Oversea-Chinese Banking Corp. Ltd.a | 30,000 | 202,924 | ||||||
Singapore Press Holdings Ltd. | 3,700 | 9,260 | ||||||
Singapore Telecommunications Ltd. | 110,000 | 309,892 | ||||||
United Overseas Bank Ltd.a | 13,400 | 205,999 | ||||||
|
| |||||||
1,726,965 | ||||||||
SPAIN — 1.13% | ||||||||
Abertis Infraestructuras SA | 9,287 | 136,578 | ||||||
ACS Actividades de Construccion y Servicios SA | 3,326 | 104,701 | ||||||
Aena SAc | 950 | 136,278 | ||||||
Amadeus IT Holding SA Class A | 5,550 | 258,927 | ||||||
Banco Bilbao Vizcaya Argentaria SA | 68,390 | 448,963 | ||||||
Banco de Sabadell SA | 68,259 | 100,674 | ||||||
Banco Popular Espanol SAa | 52,639 | 46,817 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Banco Santander SA | 156,037 | $ | 854,559 | |||||
Bankia SA | 82,950 | 82,237 | ||||||
Bankinter SA | 12,150 | 93,976 | ||||||
CaixaBank SA | 40,377 | 141,499 | ||||||
Distribuidora Internacional de Alimentacion SA | 9,550 | 53,185 | ||||||
Enagas SA | 537 | 13,236 | ||||||
Endesa SA | 3,174 | 67,774 | ||||||
Ferrovial SA | 6,550 | 124,619 | ||||||
Gas Natural SDG SA | 2,850 | 55,647 | ||||||
Grifols SA | 4,200 | 92,137 | ||||||
Iberdrola SA | 57,063 | 380,425 | ||||||
Industria de Diseno Textil SA | 11,500 | 370,507 | ||||||
International Consolidated Airlines Group SA | 12,800 | 85,443 | ||||||
Red Electrica Corp. SA | 1,519 | 27,512 | ||||||
Repsol SA | 13,876 | 206,425 | ||||||
Telefonica SA | 46,187 | 473,557 | ||||||
|
| |||||||
4,355,676 | ||||||||
SWEDEN — 1.05% | ||||||||
Alfa Laval AB | 4,650 | 84,365 | ||||||
Assa Abloy AB | 12,500 | 243,720 | ||||||
Atlas Copco AB Class A | 6,550 | 214,982 | ||||||
Atlas Copco AB Class B | 5,600 | 166,018 | ||||||
Boliden AB | 4,504 | 137,827 | ||||||
Electrolux AB Class B | 2,850 | 75,757 | ||||||
Hennes & Mauritz AB Class B | 10,000 | 264,927 | ||||||
Hexagon AB Class B | 3,250 | 131,570 | ||||||
Investor AB Class B | 5,500 | 218,626 | ||||||
Kinnevik AB Class B | 3,200 | 86,731 | ||||||
Lundin Petroleum ABa,b | 4,400 | 90,382 | ||||||
Millicom International Cellular SA SDR | 1,102 | 60,262 | ||||||
Nordea Bank AB | 30,600 | 359,470 | ||||||
Sandvik AB | 13,055 | 178,004 | ||||||
Skandinaviska Enskilda Banken AB Class A | 15,800 | 181,223 | ||||||
Skanska AB Class B | 5,600 | 133,809 | ||||||
SKF AB Class B | 5,000 | 95,434 | ||||||
Svenska Cellulosa AB SCA Class B | 6,700 | 206,365 | ||||||
Svenska Handelsbanken AB Class A | 16,700 | 232,896 | ||||||
Swedbank AB Class A | 9,250 | 228,933 | ||||||
Swedish Match AB | 3,250 | 101,474 |
Security | Shares | Value | ||||||
Telefonaktiebolaget LM Ericsson Class B | 31,900 | $ | 208,091 | |||||
Telia Co. AB | 23,478 | 94,577 | ||||||
Volvo AB Class B | 17,511 | 229,235 | ||||||
|
| |||||||
4,024,678 | ||||||||
SWITZERLAND — 3.14% | ||||||||
ABB Ltd. Registered | 21,550 | 488,907 | ||||||
Actelion Ltd. Registered | 1,100 | 296,900 | ||||||
Adecco Group AG Registered | 1,800 | 129,772 | ||||||
Aryzta AG | 1,400 | 45,406 | ||||||
Baloise Holding AG Registered | 950 | 123,985 | ||||||
Cie. Financiere Richemont SA Class A Registered | 5,950 | 439,663 | ||||||
Credit Suisse Group AG Registered | 20,458 | 309,490 | ||||||
Geberit AG Registered | 600 | 260,382 | ||||||
Givaudan SA Registered | 100 | 182,136 | ||||||
Julius Baer Group Ltd. | 2,950 | 144,783 | ||||||
Kuehne + Nagel International AG Registered | 1,134 | 161,927 | ||||||
LafargeHolcim Ltd. Registered | 5,400 | 308,163 | ||||||
Nestle SA Registered | 33,500 | 2,483,774 | ||||||
Novartis AG Registered | 23,750 | 1,859,304 | ||||||
Partners Group Holding AG | 400 | 209,896 | ||||||
Roche Holding AG | 7,400 | 1,808,158 | ||||||
Schindler Holding AG Participation Certificates | 600 | 116,351 | ||||||
Schindler Holding AG Registered | 600 | 115,093 | ||||||
SGS SA Registered | 100 | 213,191 | ||||||
Sonova Holding AG Registered | 900 | 118,538 | ||||||
Swatch Group AG (The) Bearera | 450 | 150,037 | ||||||
Swiss Life Holding AG Registered | 450 | 141,994 | ||||||
Swiss Prime Site AG Registered | 756 | 65,828 | ||||||
Swiss Re AG | 3,450 | 309,361 | ||||||
Swisscom AG Registered | 292 | 128,935 | ||||||
Syngenta AG Registered | 1,050 | 453,468 | ||||||
UBS Group AG | 39,560 | 611,107 | ||||||
Zurich Insurance Group AG | 1,550 | 429,193 | ||||||
|
| |||||||
12,105,742 | ||||||||
UNITED KINGDOM — 6.48% | ||||||||
3i Group PLC | 10,331 | 88,513 | ||||||
Aberdeen Asset Management PLC | 13,350 | 45,934 | ||||||
Admiral Group PLC | 3,150 | 71,655 | ||||||
Anglo American PLCb | 15,850 | 250,590 | ||||||
Antofagasta PLC | 7,800 | 78,815 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Ashtead Group PLC | 6,072 | $ | 125,127 | |||||
Associated British Foods PLC | 4,250 | 138,511 | ||||||
AstraZeneca PLC | 13,750 | 794,612 | ||||||
Auto Trader Group PLCc | 18,450 | 90,735 | ||||||
Aviva PLC | 41,462 | 256,945 | ||||||
Babcock International Group PLC | 6,650 | 78,449 | ||||||
BAE Systems PLC | 37,250 | 292,030 | ||||||
Barclays PLC | 181,500 | 511,570 | ||||||
BHP Billiton PLC | 23,900 | 385,892 | ||||||
BP PLC | 202,050 | 1,140,366 | ||||||
British American Tobacco PLC | 20,400 | 1,289,597 | ||||||
British Land Co. PLC (The) | 10,650 | 81,836 | ||||||
BT Group PLC | 94,100 | 383,028 | ||||||
Bunzl PLC | 5,850 | 164,158 | ||||||
Burberry Group PLC | 5,500 | 118,131 | ||||||
Capita PLC | 9,200 | 64,512 | ||||||
Carnival PLC | 2,600 | 142,327 | ||||||
Centrica PLC | 59,450 | 167,860 | ||||||
Cobham PLC | 26,319 | 39,236 | ||||||
Compass Group PLC | 19,610 | 365,552 | ||||||
Croda International PLC | 2,422 | 105,729 | ||||||
Diageo PLC | 27,900 | 787,422 | ||||||
Experian PLC | 11,800 | 234,502 | ||||||
G4S PLC | 24,400 | 79,582 | ||||||
GKN PLC | 23,350 | 104,575 | ||||||
GlaxoSmithKline PLC | 53,150 | 1,089,985 | ||||||
Glencore PLCb | 135,154 | 541,642 | ||||||
Hammerson PLC | 8,600 | 62,980 | ||||||
HSBC Holdings PLC | 214,050 | 1,722,042 | ||||||
IMI PLC | 4,200 | 64,861 | ||||||
Imperial Brands PLC | 10,900 | 514,481 | ||||||
Inmarsat PLC | 6,500 | 57,550 | ||||||
InterContinental Hotels Group PLC | 2,914 | 137,650 | ||||||
Intertek Group PLC | 3,000 | 131,670 | ||||||
Intu Properties PLC | 18,351 | 65,516 | ||||||
Investec PLC | 9,950 | 71,629 | ||||||
ITV PLCa | 45,750 | 115,286 | ||||||
J Sainsbury PLC | 19,514 | 64,982 | ||||||
Johnson Matthey PLC | 2,602 | 99,210 | ||||||
Kingfisher PLC | 25,800 | 105,691 | ||||||
Land Securities Group PLC | 8,600 | 114,082 | ||||||
Legal & General Group PLC | 62,650 | 193,579 | ||||||
Liberty Global PLC LiLAC Class Cb | 1,598 | 39,295 | ||||||
Lloyds Banking Group PLC | 677,550 | 578,987 |
Security | Shares | Value | ||||||
London Stock Exchange Group PLC | 4,254 | $ | 162,939 | |||||
Marks & Spencer Group PLC | 18,600 | 77,492 | ||||||
Meggitt PLC | 13,000 | 76,114 | ||||||
National Grid PLC | 40,200 | 488,993 | ||||||
Next PLC | 1,850 | 88,103 | ||||||
Old Mutual PLC | 59,000 | 160,128 | ||||||
Pearson PLC | 9,600 | 80,518 | ||||||
Prudential PLC | 28,300 | 566,106 | ||||||
Randgold Resources Ltd. | 896 | 83,735 | ||||||
Reckitt Benckiser Group PLC | 7,050 | 641,396 | ||||||
RELX PLC | 13,600 | 254,704 | ||||||
Rio Tinto PLC | 13,700 | 562,082 | ||||||
Rolls-Royce Holdings PLC | 21,300 | 208,600 | ||||||
Royal Bank of Scotland Group PLCb | 43,500 | 128,725 | ||||||
Royal Dutch Shell PLC Class A | 45,880 | 1,187,251 | ||||||
Royal Dutch Shell PLC Class B | 41,603 | 1,125,238 | ||||||
RSA Insurance Group PLC | 14,667 | 109,327 | ||||||
Sage Group PLC (The) | 16,650 | 133,846 | ||||||
Segro PLC | 9,050 | 55,611 | ||||||
Severn Trent PLC | 4,300 | 125,105 | ||||||
Shire PLC | 9,968 | 602,099 | ||||||
Sky PLC | 10,950 | 135,921 | ||||||
Smith & Nephew PLC | 10,450 | 157,478 | ||||||
Smiths Group PLC | 6,350 | 118,134 | ||||||
SSE PLC | 10,268 | 196,901 | ||||||
Standard Chartered PLCb | 36,901 | 331,723 | ||||||
Standard Life PLC | 20,275 | 93,024 | ||||||
Tate & Lyle PLC | 10,750 | 99,527 | ||||||
Taylor Wimpey PLC | 45,550 | 102,028 | ||||||
Tesco PLCb | 95,750 | 224,481 | ||||||
TUI AG | 6,700 | 94,881 | ||||||
Unilever PLC | 14,350 | 681,964 | ||||||
United Utilities Group PLC | 8,750 | 106,544 | ||||||
Vodafone Group PLC | 276,103 | 693,693 | ||||||
Weir Group PLC (The) | 3,600 | 84,355 | ||||||
Whitbread PLC | 2,600 | 123,756 | ||||||
Wolseley PLC | 3,261 | 199,450 | ||||||
WPP PLC | 14,200 | 335,209 | ||||||
|
| |||||||
24,946,090 | ||||||||
UNITED STATES — 60.20% | ||||||||
3M Co. | 6,450 | 1,201,957 | ||||||
Abbott Laboratories | 18,093 | 815,632 | ||||||
AbbVie Inc. | 17,350 | 1,072,924 | ||||||
Accenture PLC Class A | 6,650 | 814,625 |
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Activision Blizzard Inc. | 6,701 | $ | 302,416 | |||||
Acuity Brands Inc. | 550 | 116,215 | ||||||
Adobe Systems Inc.b | 5,450 | 644,953 | ||||||
Advance Auto Parts Inc. | 900 | 140,949 | ||||||
AES Corp./VA | 7,350 | 84,672 | ||||||
Aetna Inc. | 3,800 | 489,288 | ||||||
Affiliated Managers Group Inc. | 900 | 151,137 | ||||||
Aflac Inc. | 4,250 | 307,487 | ||||||
AGCO Corp. | 1,400 | 85,288 | ||||||
Agilent Technologies Inc. | 4,100 | 210,330 | ||||||
AGNC Investment Corp.a | 3,848 | 75,536 | ||||||
Air Products & Chemicals Inc. | 2,300 | 323,081 | ||||||
Akamai Technologies Inc.b | 2,150 | 134,590 | ||||||
Albemarle Corp. | 1,501 | 152,367 | ||||||
Alexion Pharmaceuticals Inc.b | 2,600 | 341,250 | ||||||
Alkermes PLCb | 2,100 | 118,650 | ||||||
Alleghany Corp.b | 111 | 71,684 | ||||||
Allergan PLC | 4,250 | 1,040,485 | ||||||
Alliance Data Systems Corp. | 650 | 157,937 | ||||||
Alliant Energy Corp. | 3,650 | 144,102 | ||||||
Allstate Corp. (The) | 4,300 | 353,288 | ||||||
Alphabet Inc. Class Ab | 3,150 | 2,661,529 | ||||||
Alphabet Inc. Class Cb | 3,400 | 2,798,914 | ||||||
Altria Group Inc. | 20,851 | 1,562,157 | ||||||
Amazon.com Inc.b | 4,350 | 3,675,924 | ||||||
Ameren Corp. | 3,100 | 169,539 | ||||||
American Airlines Group Inc. | 2,100 | 97,356 | ||||||
American Electric Power Co. Inc. | 5,300 | 354,941 | ||||||
American Express Co. | 8,600 | 688,516 | ||||||
American International Group Inc. | 11,400 | 728,688 | ||||||
American Tower Corp. | 4,600 | 528,034 | ||||||
American Water Works Co. Inc. | 3,150 | 245,700 | ||||||
Ameriprise Financial Inc. | 2,000 | 263,000 | ||||||
AmerisourceBergen Corp. | 2,100 | 192,171 | ||||||
AMETEK Inc. | 3,350 | 180,800 | ||||||
Amgen Inc. | 8,000 | 1,412,240 | ||||||
Amphenol Corp. Class A | 3,750 | 259,537 | ||||||
Anadarko Petroleum Corp. | 6,050 | 391,132 | ||||||
Analog Devices Inc. | 3,453 | 282,904 | ||||||
Annaly Capital Management Inc. | 10,300 | 114,330 | ||||||
ANSYS Inc.b | 1,351 | 144,233 | ||||||
Anthem Inc. | 2,900 | 477,978 | ||||||
Aon PLC | 3,200 | 370,080 | ||||||
Apache Corp. | 4,200 | 220,878 |
Security | Shares | Value | ||||||
Apple Inc. | 58,350 | $ | 7,993,366 | |||||
Applied Materials Inc. | 12,800 | 463,616 | ||||||
Arch Capital Group Ltd.b | 2,050 | 193,869 | ||||||
Archer-Daniels-Midland Co. | 6,500 | 305,305 | ||||||
Arconic Inc. | 4,746 | 136,637 | ||||||
Arrow Electronics Inc.b | 1,500 | 108,300 | ||||||
Assurant Inc. | 1,000 | 99,000 | ||||||
AT&T Inc. | 65,450 | 2,735,155 | ||||||
Autodesk Inc.b | 2,700 | 233,010 | ||||||
Autoliv Inc. | 1,100 | 115,170 | ||||||
Automatic Data Processing Inc. | 4,800 | 492,576 | ||||||
AutoZone Inc.b | 400 | 294,620 | ||||||
AvalonBay Communities Inc. | 1,600 | 294,048 | ||||||
Avery Dennison Corp. | 1,600 | 129,136 | ||||||
Avnet Inc. | 2,300 | 105,984 | ||||||
Axis Capital Holdings Ltd. | 1,400 | 97,020 | ||||||
Baker Hughes Inc. | 4,550 | 274,274 | ||||||
Ball Corp. | 2,100 | 154,413 | ||||||
Bank of America Corp. | 110,600 | 2,729,608 | ||||||
Bank of New York Mellon Corp. (The) | 12,000 | 565,680 | ||||||
Baxter International Inc. | 5,350 | 272,422 | ||||||
BB&T Corp. | 8,501 | 409,918 | ||||||
Becton Dickinson and Co. | 2,158 | 395,022 | ||||||
Bed Bath & Beyond Inc. | 2,150 | 86,860 | ||||||
Berkshire Hathaway Inc. Class Bb | 12,526 | 2,147,207 | ||||||
Best Buy Co. Inc. | 3,500 | 154,455 | ||||||
Biogen Inc.b | 2,350 | 678,210 | ||||||
BioMarin Pharmaceutical Inc.b | 2,100 | 197,253 | ||||||
BlackRock Inc.d | 1,300 | 503,698 | ||||||
Boeing Co. (The) | 6,400 | 1,153,472 | ||||||
BorgWarner Inc. | 2,450 | 103,366 | ||||||
Boston Properties Inc. | 1,900 | 264,157 | ||||||
Boston Scientific Corp.b | 16,300 | 400,165 | ||||||
Bristol-Myers Squibb Co. | 17,950 | 1,017,944 | ||||||
Broadcom Ltd. | 4,250 | 896,452 | ||||||
Brown-Forman Corp. Class B | 2,800 | 136,528 | ||||||
Bunge Ltd. | 1,750 | 143,238 | ||||||
CA Inc. | 3,850 | 124,240 | ||||||
Cabot Oil & Gas Corp.a | 5,200 | 113,880 | ||||||
Calpine Corp.b | 4,700 | 55,037 | ||||||
Campbell Soup Co. | 2,950 | 175,083 | ||||||
Capital One Financial Corp. | 5,550 | 520,923 | ||||||
Cardinal Health Inc. | 3,600 | 292,932 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
CarMax Inc.b | 2,550 | $ | 164,577 | |||||
Carnival Corp. | 4,050 | 226,597 | ||||||
Caterpillar Inc. | 6,050 | 584,793 | ||||||
CBRE Group Inc. Class Aa,b | 4,450 | 158,509 | ||||||
CBS Corp. Class B NVS | 4,700 | 309,824 | ||||||
CDK Global Inc. | 1,900 | 126,217 | ||||||
Celanese Corp. Series A | 1,950 | 173,882 | ||||||
Celgene Corp.b | 8,450 | 1,043,659 | ||||||
Centene Corp.b | 1,800 | 126,900 | ||||||
CenterPoint Energy Inc. | 5,250 | 143,430 | ||||||
CenturyLink Inc. | 6,050 | 146,773 | ||||||
Cerner Corp.b | 3,400 | 187,136 | ||||||
CF Industries Holdings Inc. | 2,856 | 89,736 | ||||||
CH Robinson Worldwide Inc. | 1,900 | 152,703 | ||||||
Charles Schwab Corp. (The) | 13,600 | 549,576 | ||||||
Charter Communications Inc. Class Ab | 2,381 | 769,206 | ||||||
Cheniere Energy Inc.b | 2,800 | 134,540 | ||||||
Chevron Corp. | 20,250 | 2,278,125 | ||||||
Chipotle Mexican Grill Inc.a,b | 350 | 146,559 | ||||||
Chubb Ltd. | 4,759 | 657,551 | ||||||
Church & Dwight Co. Inc. | 3,400 | 169,456 | ||||||
Cigna Corp. | 2,900 | 431,810 | ||||||
Cimarex Energy Co. | 1,200 | 150,864 | ||||||
Cincinnati Financial Corp. | 1,900 | 138,624 | ||||||
Cintas Corp. | 1,450 | 171,115 | ||||||
Cisco Systems Inc. | 52,800 | 1,804,704 | ||||||
CIT Group Inc. | 3,000 | 128,700 | ||||||
Citigroup Inc. | 31,050 | 1,857,100 | ||||||
Citizens Financial Group Inc. | 6,278 | 234,609 | ||||||
Citrix Systems Inc.b | 2,150 | 169,743 | ||||||
Clorox Co. (The) | 1,501 | 205,352 | ||||||
CME Group Inc. | 3,700 | 449,402 | ||||||
CMS Energy Corp. | 3,550 | 158,046 | ||||||
Coach Inc. | 3,400 | 129,506 | ||||||
Coca-Cola Co. (The) | 43,350 | 1,818,966 | ||||||
Cognizant Technology Solutions Corp. Class Ab | 6,700 | 397,109 | ||||||
Colgate-Palmolive Co. | 8,600 | 627,628 | ||||||
Comcast Corp. Class A | 51,400 | 1,923,388 | ||||||
Comerica Inc. | 2,400 | 171,072 | ||||||
Conagra Brands Inc. | 4,900 | 201,929 | ||||||
Concho Resources Inc.b | 1,650 | 218,543 | ||||||
ConocoPhillips | 13,000 | 618,410 |
Security | Shares | Value | ||||||
Consolidated Edison Inc. | 3,600 | $ | 277,344 | |||||
Constellation Brands Inc. Class A | 2,100 | 333,501 | ||||||
Continental Resources Inc./OKa,b | 1,308 | 59,122 | ||||||
Core Laboratories NVa | 700 | 80,094 | ||||||
Corning Inc. | 12,100 | 334,081 | ||||||
Costco Wholesale Corp. | 4,700 | 832,746 | ||||||
Coty Inc. Class A | 5,422 | 101,825 | ||||||
CR Bard Inc. | 900 | 220,716 | ||||||
Crown Castle International Corp. | 3,550 | 332,031 | ||||||
Crown Holdings Inc.b | 2,400 | 128,616 | ||||||
CSX Corp. | 10,600 | 514,736 | ||||||
Cummins Inc. | 1,900 | 282,131 | ||||||
CVS Health Corp. | 11,350 | 914,583 | ||||||
Danaher Corp. | 6,550 | 560,352 | ||||||
Darden Restaurants Inc. | 1,750 | 130,690 | ||||||
DaVita Inc.b | 2,000 | 138,820 | ||||||
Deere & Co. | 2,950 | 322,995 | ||||||
Dell Technologies Inc. Class Vb | 2,601 | 165,137 | ||||||
Delphi Automotive PLC | 2,968 | 225,954 | ||||||
Delta Air Lines Inc. | 1,170 | 58,418 | ||||||
DENTSPLY SIRONA Inc. | 3,050 | 193,736 | ||||||
Devon Energy Corp. | 5,500 | 238,480 | ||||||
Dick’s Sporting Goods Inc. | 1,250 | 61,188 | ||||||
Digital Realty Trust Inc.a | 1,900 | 205,200 | ||||||
Discover Financial Services | 4,800 | 341,472 | ||||||
Discovery Communications Inc. Class Ab | 1,700 | 48,892 | ||||||
Discovery Communications Inc. Class C NVSb | 3,250 | 91,228 | ||||||
DISH Network Corp. Class Ab | 2,550 | 158,100 | ||||||
Dollar General Corp. | 3,300 | 240,966 | ||||||
Dollar Tree Inc.b | 2,650 | 203,202 | ||||||
Dominion Resources Inc./VA | 6,450 | 500,778 | ||||||
Dover Corp. | 2,250 | 180,225 | ||||||
Dow Chemical Co. (The) | 11,900 | 740,894 | ||||||
DR Horton Inc. | 4,400 | 140,800 | ||||||
Dr Pepper Snapple Group Inc. | 2,600 | 242,944 | ||||||
DTE Energy Co. | 2,150 | 217,967 | ||||||
Duke Energy Corp. | 7,000 | 577,850 | ||||||
Duke Realty Corp. | 6,200 | 158,968 | ||||||
Dun & Bradstreet Corp. (The) | 700 | 73,878 | ||||||
Eastman Chemical Co. | 1,900 | 152,475 | ||||||
Eaton Corp. PLC | 4,900 | 352,702 | ||||||
Eaton Vance Corp. NVS | 2,000 | 93,260 |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
eBay Inc.b | 11,950 | $ | 405,105 | |||||
Ecolab Inc. | 3,150 | 390,505 | ||||||
Edgewell Personal Care Co.b | 1,072 | 79,156 | ||||||
Edison International | 3,950 | 314,973 | ||||||
Edwards Lifesciences Corp.b | 2,500 | 235,100 | ||||||
EI du Pont de Nemours & Co. | 9,500 | 746,130 | ||||||
Electronic Arts Inc.b | 3,450 | 298,425 | ||||||
Eli Lilly & Co. | 10,750 | 890,207 | ||||||
Emerson Electric Co. | 7,050 | 423,705 | ||||||
Entergy Corp. | 2,250 | 172,485 | ||||||
EOG Resources Inc. | 6,200 | 601,338 | ||||||
EQT Corp. | 2,068 | 123,853 | ||||||
Equifax Inc. | 1,700 | 222,887 | ||||||
Equinix Inc. | 800 | 300,856 | ||||||
Equity Residential | 4,100 | 258,587 | ||||||
Essex Property Trust Inc. | 850 | 199,495 | ||||||
Estee Lauder Companies Inc. (The) Class A | 2,500 | 207,125 | ||||||
Everest Re Group Ltd. | 313 | 73,599 | ||||||
Eversource Energy | 3,500 | 205,310 | ||||||
Exelon Corp. | 9,650 | 354,251 | ||||||
Expedia Inc. | 1,350 | 160,704 | ||||||
Expeditors International of Washington Inc. | 2,600 | 146,588 | ||||||
Express Scripts Holding Co.b | 7,000 | 494,550 | ||||||
Exxon Mobil Corp. | 44,600 | 3,626,872 | ||||||
F5 Networks Inc.b | 950 | 136,107 | ||||||
Facebook Inc. Class Ab | 25,050 | 3,395,277 | ||||||
Fastenal Co. | 3,450 | 172,604 | ||||||
Federal Realty Investment Trust | 1,250 | 175,913 | ||||||
FedEx Corp. | 2,950 | 569,291 | ||||||
Fidelity National Information Services Inc. | 3,600 | 296,172 | ||||||
Fifth Third Bancorp. | 8,900 | 244,216 | ||||||
First Republic Bank/CA | 2,000 | 187,660 | ||||||
FirstEnergy Corp. | 4,950 | 160,529 | ||||||
Fiserv Inc.b | 3,000 | 346,200 | ||||||
FleetCor Technologies Inc.b | 1,051 | 178,670 | ||||||
Flex Ltd.a,b | 8,650 | 142,639 | ||||||
FLIR Systems Inc. | 2,200 | 80,762 | ||||||
Flowserve Corp. | 2,250 | 104,513 | ||||||
Fluor Corp. | 2,150 | 119,089 | ||||||
FMC Corp. | 1,850 | 106,597 | ||||||
FNF Group | 3,200 | 122,656 |
Security | Shares | Value | ||||||
Foot Locker Inc. | 1,568 | $ | 118,651 | |||||
Ford Motor Co. | 37,550 | 470,501 | ||||||
Fortive Corp. | 3,520 | 202,928 | ||||||
Franklin Resources Inc. | 4,350 | 187,224 | ||||||
Freeport-McMoRan Inc.b | 13,850 | 185,590 | ||||||
Frontier Communications Corp. | 15,850 | 46,441 | ||||||
Gap Inc. (The) | 2,950 | 73,219 | ||||||
Garmin Ltd. | 1,350 | 69,674 | ||||||
General Dynamics Corp. | 2,950 | 559,939 | ||||||
General Electric Co. | 95,850 | 2,857,288 | ||||||
General Mills Inc. | 6,450 | 389,386 | ||||||
General Motors Co. | 13,600 | 501,024 | ||||||
Genuine Parts Co. | 1,800 | 172,278 | ||||||
GGP Inc. | 6,450 | 160,347 | ||||||
Gilead Sciences Inc. | 14,050 | 990,244 | ||||||
Global Payments Inc. | 2,150 | 171,334 | ||||||
Goldman Sachs Group Inc. (The) | 4,000 | 992,240 | ||||||
Goodyear Tire & Rubber Co. (The) | 3,300 | 115,665 | ||||||
H&R Block Inc. | 2,800 | 57,568 | ||||||
Halliburton Co. | 9,200 | 491,832 | ||||||
Hanesbrands Inc. | 4,550 | 91,046 | ||||||
Harley-Davidson Inc. | 2,050 | 115,579 | ||||||
Harman International Industries Inc. | 850 | 94,877 | ||||||
Harris Corp. | 1,650 | 181,335 | ||||||
Hartford Financial Services Group Inc. (The) | 4,650 | 227,338 | ||||||
Hasbro Inc. | 1,301 | 126,028 | ||||||
HCA Holdings Inc.b | 3,500 | 305,340 | ||||||
HCP Inc. | 5,200 | 170,508 | ||||||
Helmerich & Payne Inc. | 1,300 | 88,881 | ||||||
Henry Schein Inc.b | 1,150 | 197,294 | ||||||
Hershey Co. (The) | 1,650 | 178,778 | ||||||
Hess Corp. | 3,000 | 154,320 | ||||||
Hewlett Packard Enterprise Co. | 18,650 | 425,593 | ||||||
Hilton Worldwide Holdings Inc. | 2,052 | 117,374 | ||||||
HollyFrontier Corp. | 2,150 | 62,952 | ||||||
Hologic Inc.b | 3,450 | 140,001 | ||||||
Home Depot Inc. (The) | 13,250 | 1,920,057 | ||||||
Honeywell International Inc. | 7,600 | 946,200 | ||||||
Hormel Foods Corp. | 3,950 | 139,238 | ||||||
Host Hotels & Resorts Inc.a | 8,200 | 147,518 | ||||||
HP Inc. | 19,550 | 339,583 | ||||||
Humana Inc. | 1,600 | 338,000 | ||||||
Huntington Bancshares Inc./OH | 12,588 | 177,994 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
IHS Markit Ltd.b | 4,250 | $ | 169,150 | |||||
Illinois Tool Works Inc. | 3,800 | 501,638 | ||||||
Illumina Inc.b | 1,750 | 292,950 | ||||||
Incyte Corp.b | 2,050 | 272,855 | ||||||
Ingersoll-Rand PLC | 3,200 | 253,952 | ||||||
Intel Corp. | 50,001 | 1,810,036 | ||||||
Intercontinental Exchange Inc. | 6,500 | 371,345 | ||||||
International Business Machines Corp. | 9,650 | 1,735,263 | ||||||
International Flavors & Fragrances Inc. | 1,150 | 144,555 | ||||||
International Paper Co. | 4,400 | 231,880 | ||||||
Interpublic Group of Companies Inc. (The) | 5,550 | 133,755 | ||||||
Intuit Inc. | 3,000 | 376,320 | ||||||
Intuitive Surgical Inc.b | 450 | 331,650 | ||||||
Invesco Ltd. | 5,250 | 168,998 | ||||||
Iron Mountain Inc. | 3,419 | 124,281 | ||||||
Jacobs Engineering Group Inc. | 2,000 | 112,820 | ||||||
Jazz Pharmaceuticals PLCb | 800 | 106,096 | ||||||
JB Hunt Transport Services Inc. | 1,300 | 127,621 | ||||||
JM Smucker Co. (The) | 1,550 | 219,682 | ||||||
Johnson & Johnson | 29,500 | 3,605,195 | ||||||
Johnson Controls International PLC | 10,555 | 442,677 | ||||||
JPMorgan Chase & Co. | 38,600 | 3,497,932 | ||||||
Juniper Networks Inc. | 4,450 | 124,600 | ||||||
Kansas City Southern | 1,350 | 119,651 | ||||||
Kellogg Co. | 3,150 | 233,320 | ||||||
KeyCorp | 12,500 | 234,625 | ||||||
Kimberly-Clark Corp. | 3,850 | 510,317 | ||||||
Kimco Realty Corp. | 4,772 | 115,721 | ||||||
Kinder Morgan Inc./DE | 21,150 | 450,706 | ||||||
KLA-Tencor Corp. | 2,200 | 198,264 | ||||||
Kohl’s Corp. | 2,350 | 100,157 | ||||||
Kraft Heinz Co. (The) | 6,400 | 585,664 | ||||||
Kroger Co. (The) | 10,250 | 325,950 | ||||||
L Brands Inc. | 2,650 | 139,443 | ||||||
L3 Technologies Inc. | 1,100 | 185,152 | ||||||
Laboratory Corp. of America Holdingsb | 1,250 | 177,825 | ||||||
Lam Research Corp. | 1,850 | 219,299 | ||||||
Las Vegas Sands Corp. | 4,650 | 246,217 | ||||||
Leggett & Platt Inc. | 2,450 | 120,491 | ||||||
Leucadia National Corp. | 5,000 | 133,100 |
Security | Shares | Value | ||||||
Level 3 Communications Inc.b | 3,600 | $ | 206,100 | |||||
Liberty Global PLC Series Aa,b | 3,100 | 110,670 | ||||||
Liberty Global PLC Series C NVSb | 6,800 | 238,612 | ||||||
Liberty Interactive Corp. QVC Group Series Ab | 6,000 | 113,280 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Cb | 3,850 | 149,881 | ||||||
Liberty Property Trust | 2,550 | 100,572 | ||||||
Lincoln National Corp. | 2,800 | 196,448 | ||||||
Linear Technology Corp. | 3,000 | 193,740 | ||||||
LKQ Corp.b | 4,300 | 135,794 | ||||||
Lockheed Martin Corp. | 2,876 | 766,684 | ||||||
Loews Corp. | 3,500 | 164,430 | ||||||
Lowe’s Companies Inc. | 9,650 | 717,670 | ||||||
lululemon athletica Inc.b | 1,400 | 91,364 | ||||||
LyondellBasell Industries NV Class A | 3,800 | 346,712 | ||||||
M&T Bank Corp. | 1,650 | 275,500 | ||||||
Macerich Co. (The) | 1,600 | 107,808 | ||||||
Macy’s Inc. | 3,550 | 117,931 | ||||||
Mallinckrodt PLCb | 1,401 | 73,440 | ||||||
ManpowerGroup Inc. | 1,000 | 97,040 | ||||||
Marathon Oil Corp. | 10,201 | 163,216 | ||||||
Marathon Petroleum Corp. | 6,000 | 297,600 | ||||||
Markel Corp.b | 200 | 195,946 | ||||||
Marriott International Inc./MD Class A | 3,758 | 326,908 | ||||||
Marsh & McLennan Companies Inc. | 5,351 | 393,191 | ||||||
Martin Marietta Materials Inc. | 750 | 161,963 | ||||||
Marvell Technology Group Ltd. | 6,000 | 93,600 | ||||||
Masco Corp. | 4,600 | 155,388 | ||||||
MasterCard Inc. Class A | 10,250 | 1,132,215 | ||||||
Mattel Inc. | 4,000 | 102,920 | ||||||
Maxim Integrated Products Inc. | 3,300 | 146,190 | ||||||
McCormick & Co. Inc./MD | 1,700 | 167,314 | ||||||
McDonald’s Corp. | 9,150 | 1,167,997 | ||||||
McKesson Corp. | 2,550 | 382,831 | ||||||
Mead Johnson Nutrition Co. | 2,250 | 197,528 | ||||||
Medtronic PLC | 14,550 | 1,177,240 | ||||||
Merck & Co. Inc. | 29,350 | 1,933,284 | ||||||
MetLife Inc. | 9,700 | 508,668 | ||||||
MGM Resorts Internationalb | 5,250 | 138,023 | ||||||
Michael Kors Holdings Ltd.b | 2,000 | 73,000 | ||||||
Microchip Technology Inc.a | 2,800 | 203,056 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Micron Technology Inc.b | 12,040 | $ | 282,218 | |||||
Microsoft Corp. | 79,950 | 5,115,201 | ||||||
Mohawk Industries Inc.b | 800 | 181,088 | ||||||
Molson Coors Brewing Co. Class B | 2,150 | 215,839 | ||||||
Mondelez International Inc. Class A | 17,000 | 746,640 | ||||||
Monsanto Co. | 4,750 | 540,692 | ||||||
Monster Beverage Corp.b | 4,650 | 192,696 | ||||||
Moody’s Corp. | 2,350 | 261,719 | ||||||
Morgan Stanley | 16,050 | 733,003 | ||||||
Mosaic Co. (The) | 4,050 | 126,320 | ||||||
Motorola Solutions Inc. | 1,950 | 153,992 | ||||||
Murphy Oil Corp. | 1,950 | 55,166 | ||||||
Mylan NVb | 5,050 | 211,343 | ||||||
Nasdaq Inc. | 1,750 | 124,443 | ||||||
National Oilwell Varco Inc. | 4,400 | 177,848 | ||||||
Navient Corp. | 5,600 | 86,296 | ||||||
NetApp Inc. | 3,300 | 138,039 | ||||||
Netflix Inc.b | 4,750 | 675,117 | ||||||
New York Community Bancorp. Inc. | 6,100 | 93,208 | ||||||
Newell Brands Inc. | 5,124 | 251,230 | ||||||
Newfield Exploration Co.b | 2,286 | 83,348 | ||||||
Newmont Mining Corp. | 6,550 | 224,272 | ||||||
News Corp. Class A | 4,253 | 54,523 | ||||||
NextEra Energy Inc. | 4,918 | 644,258 | ||||||
Nielsen Holdings PLC | 4,000 | 177,440 | ||||||
NIKE Inc. Class B | 14,400 | 823,104 | ||||||
Noble Energy Inc. | 4,750 | 172,948 | ||||||
Nordstrom Inc. | 1,750 | 81,655 | ||||||
Norfolk Southern Corp. | 3,250 | 393,347 | ||||||
Northern Trust Corp. | 2,500 | 218,375 | ||||||
Northrop Grumman Corp. | 2,000 | 494,180 | ||||||
Nucor Corp. | 3,500 | 218,995 | ||||||
NVIDIA Corp. | 5,950 | 603,806 | ||||||
O’Reilly Automotive Inc.b | 1,150 | 312,466 | ||||||
Occidental Petroleum Corp. | 8,100 | 530,955 | ||||||
Omnicom Group Inc. | 2,850 | 242,535 | ||||||
ONEOK Inc. | 2,752 | 148,746 | ||||||
Oracle Corp. | 32,650 | 1,390,563 | ||||||
PACCAR Inc. | 3,950 | 263,899 | ||||||
Palo Alto Networks Inc.b | 1,050 | 159,495 | ||||||
Parker-Hannifin Corp. | 1,800 | 278,712 | ||||||
Patterson Companies Inc. | 1,400 | 63,630 | ||||||
Paychex Inc. | 3,800 | 233,396 | ||||||
PayPal Holdings Inc.b | 11,950 | 501,900 |
Security | Shares | Value | ||||||
Pentair PLC | 2,550 | $ | 148,053 | |||||
People’s United Financial Inc. | 5,150 | 98,880 | ||||||
PepsiCo Inc. | 14,950 | 1,650,181 | ||||||
Perrigo Co. PLC | 1,700 | 127,109 | ||||||
Pfizer Inc. | 64,850 | 2,212,682 | ||||||
PG&E Corp. | 5,450 | 363,787 | ||||||
Philip Morris International Inc. | 16,500 | 1,804,275 | ||||||
Phillips 66 | 5,050 | 394,859 | ||||||
Pinnacle West Capital Corp. | 1,750 | 143,833 | ||||||
Pioneer Natural Resources Co. | 1,800 | 334,746 | ||||||
Plains GP Holdings LP Class A | 1,200 | 39,444 | ||||||
PNC Financial Services Group Inc. (The)d | 5,150 | 655,234 | ||||||
PPG Industries Inc. | 3,100 | 317,533 | ||||||
PPL Corp. | 7,718 | 284,640 | ||||||
Praxair Inc. | 3,000 | 356,130 | ||||||
Priceline Group Inc. (The)b | 550 | 948,271 | ||||||
Principal Financial Group Inc. | 3,350 | 209,509 | ||||||
Procter & Gamble Co. (The) | 27,390 | 2,494,407 | ||||||
Progressive Corp. (The) | 6,451 | 252,750 | ||||||
Prologis Inc. | 6,100 | 311,405 | ||||||
Prudential Financial Inc. | 4,750 | 525,065 | ||||||
Public Service Enterprise Group Inc. | 6,150 | 282,777 | ||||||
Public Storage | 1,750 | 398,055 | ||||||
PulteGroup Inc. | 4,500 | 99,225 | ||||||
PVH Corp. | 1,000 | 91,600 | ||||||
Qorvo Inc.b | 1,713 | 113,229 | ||||||
QUALCOMM Inc. | 15,800 | 892,384 | ||||||
Quest Diagnostics Inc. | 1,800 | 175,392 | ||||||
Ralph Lauren Corp. | 650 | 51,565 | ||||||
Range Resources Corp. | 2,400 | 66,288 | ||||||
Raytheon Co. | 3,350 | 516,402 | ||||||
Realty Income Corp. | 3,350 | 205,288 | ||||||
Red Hat Inc.b | 2,250 | 186,323 | ||||||
Regency Centers Corp. | 1,800 | 126,630 | ||||||
Regeneron Pharmaceuticals Inc.b | 900 | 336,150 | ||||||
Regions Financial Corp. | 15,300 | 233,631 | ||||||
RenaissanceRe Holdings Ltd. | 403 | 59,499 | ||||||
Republic Services Inc. | 3,400 | 210,630 | ||||||
Reynolds American Inc. | 9,206 | 566,813 | ||||||
Rite Aid Corp.b | 13,500 | 81,000 | ||||||
Robert Half International Inc. | 2,100 | 101,304 | ||||||
Rockwell Automation Inc. | 1,700 | 256,870 | ||||||
Rockwell Collins Inc. | 1,800 | 172,062 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Roper Technologies Inc. | 1,350 | $ | 282,420 | |||||
Ross Stores Inc. | 4,800 | 329,184 | ||||||
Royal Caribbean Cruises Ltd. | 1,900 | 182,590 | ||||||
S&P Global Inc. | 3,150 | 407,830 | ||||||
salesforce.com inc.b | 6,900 | 561,315 | ||||||
SBA Communications Corp.b | 1,500 | 173,655 | ||||||
SCANA Corp. | 1,950 | 135,233 | ||||||
Schlumberger Ltd. | 14,561 | 1,170,122 | ||||||
Scripps Networks Interactive Inc. Class A | 1,100 | 88,847 | ||||||
Seagate Technology PLC | 3,350 | 161,437 | ||||||
SEI Investments Co. | 2,700 | 135,945 | ||||||
Sempra Energy | 2,550 | 281,239 | ||||||
ServiceNow Inc.b | 1,850 | 160,802 | ||||||
Sherwin-Williams Co. (The) | 900 | 277,686 | ||||||
Signet Jewelers Ltd. | 900 | 57,231 | ||||||
Simon Property Group Inc. | 3,353 | 618,293 | ||||||
Sirius XM Holdings Inc.a | 35,000 | 178,150 | ||||||
Skyworks Solutions Inc. | 2,300 | 218,063 | ||||||
SL Green Realty Corp. | 1,176 | 132,512 | ||||||
Southern Co. (The) | 9,650 | 490,413 | ||||||
Southwest Airlines Co. | 1,550 | 89,590 | ||||||
Southwestern Energy Co.b | 6,250 | 46,938 | ||||||
Splunk Inc.a,b | 1,700 | 104,941 | ||||||
Sprint Corp.a,b | 10,606 | 93,439 | ||||||
Stanley Black & Decker Inc. | 1,900 | 241,585 | ||||||
Staples Inc. | 9,000 | 80,910 | ||||||
Starbucks Corp. | 15,450 | 878,641 | ||||||
State Street Corp. | 4,080 | 325,217 | ||||||
Stericycle Inc.b | 1,150 | 95,312 | ||||||
Stryker Corp. | 3,600 | 462,816 | ||||||
SunTrust Banks Inc. | 5,850 | 348,016 | ||||||
Symantec Corp. | 7,850 | 224,274 | ||||||
Synchrony Financial | 9,454 | 342,613 | ||||||
Synopsys Inc.b | 2,800 | 200,032 | ||||||
Sysco Corp. | 6,200 | 326,864 | ||||||
T Rowe Price Group Inc. | 2,900 | 206,509 | ||||||
T-Mobile U.S. Inc.b | 3,550 | 221,982 | ||||||
Target Corp. | 5,900 | 346,743 | ||||||
TD Ameritrade Holding Corp. | 3,050 | 119,255 | ||||||
TE Connectivity Ltd. | 3,750 | 279,262 | ||||||
TechnipFMC PLCb | 6,050 | 195,536 | ||||||
Tesla Inc.a,b | 1,400 | 349,986 | ||||||
Tesoro Corp. | 1,500 | 127,785 |
Security | Shares | Value | ||||||
Texas Instruments Inc. | 10,550 | $ | 808,341 | |||||
Textron Inc. | 3,650 | 172,645 | ||||||
Thermo Fisher Scientific Inc. | 4,350 | 685,908 | ||||||
Tiffany & Co. | 1,650 | 151,586 | ||||||
Time Warner Inc. | 8,450 | 829,874 | ||||||
TJX Companies Inc. (The) | 7,350 | 576,607 | ||||||
Toll Brothers Inc.b | 3,100 | 105,834 | ||||||
Torchmark Corp. | 1,811 | 140,407 | ||||||
Total System Services Inc. | 2,700 | 147,096 | ||||||
Tractor Supply Co. | 1,700 | 120,547 | ||||||
TransDigm Group Inc. | 750 | 190,650 | ||||||
Travelers Companies Inc. (The) | 3,100 | 378,944 | ||||||
Trimble Inc.a,b | 3,350 | 103,951 | ||||||
TripAdvisor Inc.b | 1,350 | 55,985 | ||||||
Twenty-First Century Fox Inc. Class A | 13,700 | 409,904 | ||||||
Twenty-First Century Fox Inc. Class B | 3,000 | 88,050 | ||||||
Twitter Inc.b | 6,800 | 107,236 | ||||||
Tyson Foods Inc. Class A | 3,450 | 215,832 | ||||||
U.S. Bancorp. | 17,650 | 970,750 | ||||||
UDR Inc. | 3,950 | 144,175 | ||||||
Ulta Salon Cosmetics & Fragrance Inc.b | 750 | 205,073 | ||||||
Under Armour Inc. Class Aa,b | 2,250 | 46,395 | ||||||
Under Armour Inc. Class Cb | 2,262 | 41,983 | ||||||
Union Pacific Corp. | 9,000 | 971,460 | ||||||
United Parcel Service Inc. Class B | 6,950 | 735,032 | ||||||
United Rentals Inc.b | 1,250 | 160,038 | ||||||
United Technologies Corp. | 8,400 | 945,420 | ||||||
UnitedHealth Group Inc. | 10,150 | 1,678,607 | ||||||
Universal Health Services Inc. Class B | 1,100 | 138,160 | ||||||
Unum Group | 2,750 | 134,283 | ||||||
Valero Energy Corp. | 5,100 | 346,545 | ||||||
Varian Medical Systems Inc.b | 1,300 | 109,057 | ||||||
Ventas Inc. | 3,810 | 247,840 | ||||||
VEREIT Inc. | 12,900 | 117,003 | ||||||
VeriSign Inc.a,b | 1,600 | 131,952 | ||||||
Verisk Analytics Inc. Class Ab | 2,050 | 169,986 | ||||||
Verizon Communications Inc. | 43,600 | 2,163,868 | ||||||
Vertex Pharmaceuticals Inc.b | 3,000 | 271,860 | ||||||
VF Corp. | 3,900 | 204,555 | ||||||
Viacom Inc. Class B NVS | 4,000 | 173,800 |
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Security | Shares | Value | ||||||
Visa Inc. Class A | 20,150 | $ | 1,771,991 | |||||
VMware Inc. Class Aa,b | 950 | 85,396 | ||||||
Vornado Realty Trust | 2,100 | 230,727 | ||||||
Vulcan Materials Co. | 1,750 | 211,068 | ||||||
Wal-Mart Stores Inc. | 16,600 | 1,177,438 | ||||||
Walgreens Boots Alliance Inc. | 9,900 | 855,162 | ||||||
Walt Disney Co. (The) | 16,250 | 1,788,962 | ||||||
Waste Connections Inc. | 2,250 | 196,628 | ||||||
Waste Management Inc. | 5,000 | 366,600 | ||||||
Waters Corp.b | 1,200 | 185,988 | ||||||
Weatherford International PLCa,b | 12,750 | 72,165 | ||||||
WEC Energy Group Inc. | 4,052 | 244,214 | ||||||
Wells Fargo & Co. | 50,900 | 2,946,092 | ||||||
Welltower Inc. | 4,050 | 285,039 | ||||||
Western Digital Corp. | 3,266 | 251,090 | ||||||
Western Union Co. (The) | 6,750 | 132,570 | ||||||
WestRock Co. | 2,909 | 156,271 | ||||||
Weyerhaeuser Co. | 8,700 | 293,364 | ||||||
Whirlpool Corp. | 950 | 169,661 | ||||||
WhiteWave Foods Co. (The)b | 2,550 | 140,454 | ||||||
Whole Foods Market Inc. | 3,900 | 119,613 | ||||||
Williams Companies Inc. (The) | 8,850 | 250,809 | ||||||
Willis Towers Watson PLC | 1,450 | 186,224 | ||||||
Workday Inc. Class Ab | 1,451 | 120,331 | ||||||
WR Berkley Corp. | 1,650 | 117,183 | ||||||
WW Grainger Inc. | 750 | 185,970 | ||||||
Wyndham Worldwide Corp. | 1,450 | 120,698 | ||||||
Wynn Resorts Ltd. | 1,000 | 96,150 | ||||||
Xcel Energy Inc. | 5,800 | 253,518 | ||||||
Xerox Corp. | 10,350 | 77,004 | ||||||
Xilinx Inc. | 3,150 | 185,283 | ||||||
XL Group Ltd. | 3,150 | 127,544 | ||||||
Xylem Inc./NY | 3,400 | 163,608 | ||||||
Yahoo! Inc.b | 10,150 | 463,449 | ||||||
Yum! Brands Inc. | 4,350 | 284,142 | ||||||
Zillow Group Inc. Class Ca,b | 1,569 | 53,252 | ||||||
Zimmer Biomet Holdings Inc. | 2,150 | 251,722 | ||||||
Zoetis Inc. | 6,000 | 319,860 | ||||||
|
| |||||||
231,713,202 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $369,251,639) | 382,973,999 |
Security | Shares | Value | ||||||
PREFERRED STOCKS — 0.18% |
| |||||||
GERMANY — 0.18% |
| |||||||
Henkel AG & Co. KGaA | 1,950 | $ | 244,297 | |||||
Porsche Automobil Holding SE | 1,650 | 91,434 | ||||||
Volkswagen AG | 2,250 | 334,002 | ||||||
|
| |||||||
669,733 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $805,276) | 669,733 | |||||||
SHORT-TERM INVESTMENTS — 1.77% |
| |||||||
MONEY MARKET FUNDS — 1.77% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 6,548,917 | 6,551,537 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 266,181 | 266,181 | ||||||
|
| |||||||
6,817,718 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $6,815,579) |
| 6,817,718 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $376,872,494)h |
| 390,461,450 | ||||||
Other Assets, Less Liabilities — (1.45)% |
| (5,576,600 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 384,884,850 | |||||
|
|
ADR — American Depositary Receipts
NVS — Non-Voting Shares
SDR — Swedish Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | Affiliated issuer. See Schedule 1. |
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 $378,318,500. Net unrealized appreciation was $12,142,950, of which $33,582,430 represented gross unrealized appreciation on securities and $21,439,480 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2017
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
BlackRock Inc. | 1,080 | 370 | (150 | ) | 1,300 | $ | 503,698 | $ | 2,597 | $ | 5,742 | |||||||||||||||||
PNC Financial Services Group Inc. (The) | 4,120 | 1,442 | (412 | ) | 5,150 | 655,234 | 5,212 | 2,821 | ||||||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
$ | 1,158,932 | $ | 7,809 | $ | 8,563 | |||||||||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 382,973,999 | $ | — | $ | — | $ | 382,973,999 | ||||||||
Preferred stocks | 669,733 | — | — | 669,733 | ||||||||||||
Money market funds | 6,817,718 | — | — | 6,817,718 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 390,461,450 | $ | — | $ | — | $ | 390,461,450 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Frontier 100 ETF | iShares MSCI World ETF | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 549,565,186 | $ | 369,104,975 | ||||
Affiliated (Note 2) | 8,207,124 | 7,767,519 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 557,772,310 | $ | 376,872,494 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 559,823,662 | $ | 382,484,800 | ||||
Affiliated (Note 2) | 8,208,024 | 7,976,650 | ||||||
|
|
|
| |||||
Total fair value of investments | 568,031,686 | 390,461,450 | ||||||
Foreign currency, at valueb | 6,013,383 | 299,519 | ||||||
Receivables: | ||||||||
Investment securities sold | 1,015 | 34,532 | ||||||
Dividends and interest | 186,139 | 810,646 | ||||||
Tax reclaims | 876 | 129,696 | ||||||
|
|
|
| |||||
Total Assets | 574,233,099 | 391,735,843 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 213,271 | 231,586 | ||||||
Collateral for securities on loan (Note 1) | 3,960,454 | 6,549,279 | ||||||
Foreign taxes | 1,702,389 | — | ||||||
Deferred foreign capital gains taxes (Note 1) | 6,432,321 | — | ||||||
Investment advisory fees (Note 2) | 338,555 | 70,128 | ||||||
|
|
|
| |||||
Total Liabilities | 12,646,990 | 6,850,993 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 561,586,109 | $ | 384,884,850 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 674,725,187 | $ | 370,592,753 | ||||
Undistributed (distributions in excess of) net investment income | (937,647 | ) | 914,636 | |||||
Accumulated net realized loss | (115,274,363 | ) | (208,275 | ) | ||||
Net unrealized appreciation | 3,072,932 | 13,585,736 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 561,586,109 | $ | 384,884,850 | ||||
|
|
|
| |||||
Shares outstandingc | 20,600,000 | 5,000,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 27.26 | $ | 76.98 | ||||
|
|
|
|
a | Securities on loan with values of $3,783,658 and $6,147,705, respectively. See Note 1. |
b | Cost of foreign currency: $6,767,528 and $297,404, respectively. |
c | $0.001 par value, number of shares authorized: 500 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Frontier 100 ETF | iShares MSCI World ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 4,005,426 | $ | 3,406,680 | ||||
Dividends — affiliated (Note 2) | 6,644 | 8,320 | ||||||
Interest — unaffiliated | 7,694 | — | ||||||
Securities lending income — affiliated — net (Note 2) | 11,991 | 22,874 | ||||||
|
|
|
| |||||
Total investment income | 4,031,755 | 3,437,874 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 1,970,383 | 388,986 | ||||||
Commitment fees (Note 7) | 2,725 | — | ||||||
Interest expense (Note 7) | 9,542 | — | ||||||
|
|
|
| |||||
Total expenses | 1,982,650 | 388,986 | ||||||
|
|
|
| |||||
Net investment income | 2,049,105 | 3,048,888 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (17,069,220 | ) | (718,814 | ) | ||||
Investments — affiliated (Note 2) | 1,036 | 859 | ||||||
In-kind redemptions — unaffiliated | 460,854 | 4,053,528 | ||||||
In-kind redemptions — affiliated (Note 2) | — | 7,824 | ||||||
Foreign currency transactions | (236,454 | ) | (48,470 | ) | ||||
Realized gain distributions from affiliated funds | — | 36 | ||||||
|
|
|
| |||||
Net realized gain (loss) | (16,843,784 | ) | 3,294,963 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investmentsb | 73,459,407 | 19,791,116 | ||||||
Translation of assets and liabilities in foreign currencies | (747,979 | ) | 5,127 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 72,711,428 | 19,796,243 | ||||||
|
|
|
| |||||
Net realized and unrealized gain | 55,867,644 | 23,091,206 | ||||||
|
|
|
| |||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 57,916,749 | $ | 26,140,094 | ||||
|
|
|
|
a | Net of foreign withholding tax of $393,069 and $95,159, respectively. |
b | Net of deferred foreign capital gains taxes of $6,432,321 and $ —, respectively. |
See notes to financial statements.
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Frontier 100 ETF | iShares MSCI World ETF | |||||||||||||||
Six months ended | Year ended August 31, 2016 | Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 2,049,105 | $ | 13,480,226 | $ | 3,048,888 | $ | 5,617,187 | ||||||||
Net realized gain (loss) | (16,843,784 | ) | (60,711,158 | ) | 3,294,963 | (540,768 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 72,711,428 | 16,637,146 | 19,796,243 | 9,321,554 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 57,916,749 | (30,593,786 | ) | 26,140,094 | 14,397,973 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (521,400 | ) | (9,930,758 | ) | (3,100,394 | ) | (5,779,653 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (521,400 | ) | (9,930,758 | ) | (3,100,394 | ) | (5,779,653 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 104,093,952 | 31,628,173 | 101,696,057 | 131,162,561 | ||||||||||||
Cost of shares redeemed | (7,625,690 | ) | (86,373,632 | ) | (28,454,357 | ) | (58,019,921 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 96,468,262 | (54,745,459 | ) | 73,241,700 | 73,142,640 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 153,863,611 | (95,270,003 | ) | 96,281,400 | 81,760,960 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 407,722,498 | 502,992,501 | 288,603,450 | 206,842,490 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 561,586,109 | $ | 407,722,498 | $ | 384,884,850 | $ | 288,603,450 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (937,647 | ) | $ | (2,465,352 | ) | $ | 914,636 | $ | 966,142 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 4,050,000 | 1,200,000 | 1,400,000 | 1,900,000 | ||||||||||||
Shares redeemed | (300,000 | ) | (3,550,000 | ) | (400,000 | ) | (900,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 3,750,000 | (2,350,000 | ) | 1,000,000 | 1,000,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Frontier 100 ETF | ||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Period from to Aug. 31, 2013 | ||||||||||||||||
Net asset value, beginning of period | $ | 24.20 | $ | 26.20 | $ | 37.79 | $ | 30.12 | $ | 25.25 | ||||||||||
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Income from investment operations: | ||||||||||||||||||||
Net investment incomeb | 0.10 | 0.76 | 0.77 | 1.09 | 0.67 | |||||||||||||||
Net realized and unrealized gain (loss)c | 2.99 | (2.17 | ) | (8.78 | ) | 7.47 | 4.51 | |||||||||||||
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Total from investment operations | 3.09 | (1.41 | ) | (8.01 | ) | 8.56 | 5.18 | |||||||||||||
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Less distributions from: | ||||||||||||||||||||
Net investment income | (0.03 | ) | (0.59 | ) | (0.76 | ) | (0.89 | ) | (0.28 | ) | ||||||||||
Net realized gain | — | — | �� | (2.82 | ) | — | — | |||||||||||||
Return of capital | — | — | — | — | (0.03 | ) | ||||||||||||||
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Total distributions | (0.03 | ) | (0.59 | ) | (3.58 | ) | (0.89 | ) | (0.31 | ) | ||||||||||
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Net asset value, end of period | $ | 27.26 | $ | 24.20 | $ | 26.20 | $ | 37.79 | $ | 30.12 | ||||||||||
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Total return | 12.81 | %d | (5.45 | )% | (21.70 | )% | 28.56 | % | 20.54 | %d | ||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||
Net assets, end of period (000s) | $ | 561,586 | $ | 407,722 | $ | 502,993 | $ | 799,349 | $ | 280,084 | ||||||||||
Ratio of expenses to average net assetse | 0.79 | % | 0.79 | % | 0.79 | % | 0.79 | % | 0.79 | % | ||||||||||
Ratio of net investment income to average net assetse | 0.82 | % | 3.03 | % | 2.43 | % | 3.07 | % | 2.32 | % | ||||||||||
Portfolio turnover ratef | 9 | %d | 20 | % | 47 | % | 61 | % | 18 | %d |
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 in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014 and the period ended August 31, 2013 were 8%, 10%, 45%, 42% and 10%, respectively. See Note 4. |
See notes to financial statements.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI World ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 72.15 | $ | 68.95 | $ | 73.36 | $ | 61.76 | $ | 53.45 | $ | 50.32 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.68 | 1.62 | 1.64 | 1.81 | 1.40 | 0.98 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 4.89 | 3.16 | (4.49 | ) | 11.16 | 8.03 | 2.89 | |||||||||||||||||
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Total from investment operations | 5.57 | 4.78 | (2.85 | ) | 12.97 | 9.43 | 3.87 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.74 | ) | (1.58 | ) | (1.56 | ) | (1.37 | ) | (1.12 | ) | (0.74 | ) | ||||||||||||
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Total distributions | (0.74 | ) | (1.58 | ) | (1.56 | ) | (1.37 | ) | (1.12 | ) | (0.74 | ) | ||||||||||||
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Net asset value, end of period | $ | 76.98 | $ | 72.15 | $ | 68.95 | $ | 73.36 | $ | 61.76 | $ | 53.45 | ||||||||||||
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Total return | 7.77 | %d | 7.05 | % | (3.97 | )% | 21.07 | % | 17.84 | % | 7.76 | %d | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 384,885 | $ | 288,603 | $ | 206,842 | $ | 168,728 | $ | 24,704 | $ | 10,689 | ||||||||||||
Ratio of expenses to average net assetse | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.88 | % | 2.34 | % | 2.25 | % | 2.57 | % | 2.34 | % | 2.91 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 5 | % | 5 | % | 5 | % | 5 | % | 3 | %d |
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 | 31 |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
MSCI Frontier 100 | Diversified | |
MSCI World | 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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
• | 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 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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”). |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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
NOTESTO FINANCIAL STATEMENTS | 33 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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.
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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.
NOTESTO FINANCIAL STATEMENTS | 35 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Frontier 100 | ||||||||||||
JPMorgan Securities LLC | $ | 3,718,318 | $ | 3,718,318 | $ | — | ||||||
UBS AG | 7,260 | 7,260 | — | |||||||||
Wells Fargo Securities LLC | 58,080 | 58,080 | — | |||||||||
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$ | 3,783,658 | $ | 3,783,658 | $ | — | |||||||
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| |||||||
MSCI World | ||||||||||||
Barclays Capital Inc. | $ | 28,504 | $ | 28,504 | $ | — | ||||||
BNP Paribas Prime Brokerage Inc. | 9,402 | 9,402 | — | |||||||||
BNP Paribas Prime Brokerage International Ltd. | 29,689 | 29,689 | — | |||||||||
Citigroup Global Markets Inc. | 179,527 | 179,527 | — | |||||||||
Credit Suisse Securities (USA) LLC | 484,659 | 484,659 | — | |||||||||
Deutsche Bank Securities Inc. | 162,611 | 162,611 | — | |||||||||
Goldman Sachs & Co. | 557,421 | 557,421 | — | |||||||||
HSBC Bank PLC | 17,957 | 17,957 | — | |||||||||
JPMorgan Securities LLC | 512,190 | 512,190 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 136,763 | 136,763 | — | |||||||||
Morgan Stanley & Co. LLC | 1,431,404 | 1,431,404 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 114,737 | 114,737 | — | |||||||||
Nomura Securities International Inc. | 99,320 | 99,320 | — | |||||||||
Scotia Capital (USA) Inc. | 177,820 | 177,820 | — | |||||||||
SG Americas Securities LLC | 85,246 | 85,246 | — | |||||||||
State Street Bank & Trust Company | 1,586,262 | 1,586,262 | — | |||||||||
UBS AG | 232,948 | 232,948 | — | |||||||||
Wells Fargo Securities LLC | 301,245 | 301,245 | — | |||||||||
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$ | 6,147,705 | $ | 6,147,705 | $ | — | |||||||
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a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each 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 Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For its investment advisory services to each Fund, 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 | |||
MSCI Frontier 100 | 0.79 | % | ||
MSCI World | 0.24 |
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Frontier 100 | $ | 3,123 | ||
MSCI World | 5,690 |
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Frontier 100 | $ | — | $ | 231,118 | ||||
MSCI World | 829,312 | 1,039,580 |
NOTESTO FINANCIAL STATEMENTS | 37 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Frontier 100 | $ | 126,964,765 | $ | 44,586,638 | ||||
MSCI World | 7,235,346 | 5,460,381 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Frontier 100 | $ | 12,686,025 | $ | 1,691,237 | ||||
MSCI World | 100,429,806 | 28,111,576 |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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. | 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.
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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.
The economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
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
NOTESTO FINANCIAL STATEMENTS | 39 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year end, the Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:
iShares ETF | Non- Expiring | |||
MSCI Frontier 100 | $ | 20,910,745 | ||
MSCI World | 514,129 |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
7. | LINE OF CREDIT |
The iShares MSCI Frontier 100 ETF, along with certain other iShares funds, is a party to a $250 million credit agreement with State Street Bank and Trust Company, which expires on October 25, 2017. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings. The credit agreement has the following terms: a commitment fee of 0.20% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) the one-month LIBOR (not less than zero) plus 1.00% per annum or (b) the U.S. Federal Funds rate (not less than zero) plus 1.00% per annum on amounts borrowed. The commitment fee is allocated to each fund participating in the credit agreement based on each fund’s pro-rata share of the aggregate average daily value of assets invested in local securities of certain foreign markets.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, the Fund’s maximum amount borrowed, the average borrowings and the weighted average interest rate under the credit agreement were $35,000,000, $1,160,221 and 1.64%, respectively.
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 | 41 |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
MSCI Frontier 100 | $ | — | $ | — | $ | 0.026201 | $ | 0.026201 | — | % | — | % | 100 | % | 100 | % | ||||||||||||||||
MSCI World | 0.694565 | — | 0.043624 | 0.738189 | 94 | — | 6 | 100 |
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-811-0217
![]() | ![]() |
Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Global Agriculture Producers ETF | VEGI | NYSE Arca |
Ø | iShares MSCI Global Energy Producers ETF | FILL | NYSE Arca |
Ø | iShares MSCI Global Gold Miners ETF | RING | NYSE Arca |
Ø | iShares MSCI Global Metals & Mining Producers ETF | PICK | NYSE Arca |
Ø | iShares MSCI Global Silver Miners ETF | SLVP | NYSE Arca |
Table of Contents
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Table of Contents
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
Performance as of February 28, 2017
The iShares MSCI Global Agriculture Producers ETF (the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of agriculture, as represented by the MSCI ACWI Select Agriculture Producers Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 8.19%, net of fees, while the total return for the Index was 8.53%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 23.75% | 24.84% | 24.45% | 23.75% | 24.84% | 24.45% | ||||||||||||||||||||||
5 Years | 2.22% | 2.19% | 2.34% | 11.60% | 11.44% | 12.28% | ||||||||||||||||||||||
Since Inception | 2.80% | 2.83% | 2.93% | 15.06% | 15.24% | 15.84% |
The inception date of the Fund was 1/31/12. The first day of secondary market trading was 2/2/12.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,081.90 | $ | 1.91 | $ | 1,000.00 | $ | 1,023.00 | $ | 1.86 | 0.37% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector/Investment Type | Percentage of Total Investments* |
Materials | 46.94 | % | ||
Food, Beverage & Tobacco | 32.16 | |||
Capital Goods | 18.81 | |||
Investment Companies | 2.09 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
United States | 47.50 | % | ||
Switzerland | 10.77 | |||
Canada | 7.73 | |||
Japan | 7.07 | |||
Norway | 5.11 | |||
Italy | 2.54 | |||
Singapore | 2.22 | |||
India | 2.09 | |||
Germany | 1.84 | |||
Malaysia | 1.71 | |||
|
| |||
TOTAL | 88.58 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
Performance as of February 28, 2017
The iShares MSCI Global Energy Producers ETF (the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of energy exploration and production, as represented by the MSCI ACWI Select Energy Producers Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.16%, net of fees, while the total return for the Index was 5.01%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.77% | 26.39% | 27.03% | 26.77% | 26.39% | 27.03% | ||||||||||||||||||||||
5 Years | (3.33)% | (3.47)% | (3.43)% | (15.59)% | (16.20)% | (16.00)% | ||||||||||||||||||||||
Since Inception | (2.19)% | (2.26)% | (2.27)% | (10.62)% | (10.97)% | (11.01)% |
The inception date of the Fund was 1/31/12. The first day of secondary market trading was 2/2/12.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,051.60 | $ | 1.98 | $ | 1,000.00 | $ | 1,022.90 | $ | 1.96 | 0.39% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Integrated Oil & Gas | 60.91 | % | ||
Oil & Gas Exploration & Production | 29.49 | |||
Oil & Gas Refining & Marketing | 8.14 | |||
Coal & Consumable Fuels | 1.46 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
United States | 52.05 | % | ||
United Kingdom | 15.58 | |||
Canada | 8.49 | |||
France | 5.38 | |||
Russia | 2.68 | |||
China | 2.33 | |||
Italy | 1.91 | |||
Brazil | 1.68 | |||
Australia | 1.60 | |||
India | 1.48 | |||
|
| |||
TOTAL | 93.18 | % | ||
|
|
* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL GOLD MINERS ETF
Performance as of February 28, 2017
The iShares MSCI Global Gold Miners ETF (the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of gold mining, as represented by the MSCI ACWI Select Gold Miners Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -9.26%, net of fees, while the total return for the Index was -8.73%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 17.52% | 16.49% | 17.64% | 17.52% | 16.49% | 17.64% | ||||||||||||||||||||||
5 Years | (16.71)% | (16.61)% | (16.59)% | (59.91)% | (59.67)% | (59.62)% | ||||||||||||||||||||||
Since Inception | (16.48)% | (16.50)% | (16.34)% | (59.93)% | (59.99)% | (59.62)% |
The inception date of the Fund was 1/31/12. The first day of secondary market trading was 2/2/12.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 907.40 | $ | 1.84 | $ | 1,000.00 | $ | 1,022.90 | $ | 1.96 | 0.39% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY COUNTRY
As of 2/28/17
Country | Percentage of Total Investments* |
Canada | 55.32 | % | ||
United States | 14.01 | |||
Australia | 10.68 | |||
South Africa | 9.25 | |||
United Kingdom | 7.49 | |||
Peru | 2.49 | |||
Turkey | 0.76 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Barrick Gold Corp. (Canada) | 15.44 | % | ||
Newmont Mining Corp. | 12.71 | |||
Goldcorp Inc. (Canada) | 9.06 | |||
Newcrest Mining Ltd. (Australia) | 8.49 | |||
Randgold Resources Ltd. (United Kingdom) | 4.73 | |||
Agnico Eagle Mines Ltd. (Canada) | 4.47 | |||
Kinross Gold Corp. (Canada) | 4.09 | |||
AngloGold Ashanti Ltd. (South Africa) | 3.75 | |||
Centamin PLC (United Kingdom) | 2.63 | |||
Yamana Gold Inc. (Canada) | 2.60 | |||
|
| |||
TOTAL | 67.97 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
Performance as of February 28, 2017
The iShares MSCI Global Metals & Mining Producers ETF (the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in mining, extraction or production of diversified metals, excluding gold and silver, as represented by the MSCI ACWI Select Metals & Mining Producers ex Gold & Silver Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 34.06%, net of fees, while the total return for the Index was 33.85%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 77.77% | 75.11% | 77.98% | 77.77% | 75.11% | 77.98% | ||||||||||||||||||||||
5 Years | (7.04)% | (7.37)% | (7.02)% | (30.57)% | (31.82)% | (30.50)% | ||||||||||||||||||||||
Since Inception | (6.64)% | (6.85)% | (6.61)% | (29.48)% | (30.25)% | (29.36)% |
The inception date of the Fund was 1/31/12. The first day of secondary market trading was 2/2/12.
Certain sectors and markets performed exceptionally well based on market conditions during the six-month and one-year periods. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,340.60 | $ | 2.26 | $ | 1,000.00 | $ | 1,022.90 | $ | 1.96 | 0.39% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Diversified Metals & Mining | 49.25 | % | ||
Steel | 38.00 | |||
Copper | 7.20 | |||
Aluminum | 3.45 | |||
Precious Metals & Minerals | 2.10 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
United Kingdom | 24.72 | % | ||
Australia | 17.45 | |||
United States | 12.67 | |||
Japan | 9.39 | |||
Brazil | 6.13 | |||
Canada | 4.90 | |||
South Korea | 4.14 | |||
France | 2.72 | |||
Russia | 2.33 | |||
Taiwan | 2.01 | |||
|
| |||
TOTAL | 86.46 | % | ||
|
|
* | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL SILVER MINERS ETF
Performance as of February 28, 2017
The iShares MSCI Global Silver Miners ETF (the “Fund”) seeks to track the investment results of an index composed of global equities of companies primarily engaged in the business of silver mining, as represented by the MSCI ACWI Select Silver Miners Investable Market Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -11.58%, net of fees, while the total return for the Index was -11.77%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 65.76% | 64.55% | 65.47% | 65.76% | 64.55% | 65.47% | ||||||||||||||||||||||
5 Years | (12.88)% | (12.91)% | (12.86)% | (49.83)% | (49.91)% | (49.77)% | ||||||||||||||||||||||
Since Inception | (12.25)% | (12.24)% | (12.22)% | (48.52)% | (48.48)% | (48.44)% |
The inception date of the Fund was 1/31/12. The first day of secondary market trading was 2/2/12.
Certain sectors and markets performed exceptionally well based on market conditions during the one-year period. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such exceptional returns will be repeated.
Past performance is 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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 884.20 | $ | 1.82 | $ | 1,000.00 | $ | 1,022.90 | $ | 1.96 | 0.39% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 10 for more information. |
ALLOCATION BY COUNTRY
As of 2/28/17
Country | Percentage of Total Investments* |
Canada | 62.83 | % | ||
United Kingdom | 12.66 | |||
United States | 11.49 | |||
Mexico | 7.85 | |||
Peru | 4.53 | |||
China | 0.64 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/17
Security | Percentage of Total Investments* |
Silver Wheaton Corp. (Canada) | 22.00 | % | ||
Fresnillo PLC (United Kingdom) | 9.86 | |||
Industrias Penoles SAB de CV (Mexico) | 7.85 | |||
Tahoe Resources Inc. (Canada) | 6.07 | |||
Cia. de Minas Buenaventura SAA ADR (Peru) | 4.53 | |||
Pan American Silver Corp. (Canada) | 4.52 | |||
Hecla Mining Co. | 4.20 | |||
First Majestic Silver Corp. (Canada) | 4.18 | |||
Coeur Mining Inc. | 4.17 | |||
Silver Standard Resources Inc. (Canada) | 4.11 | |||
|
| |||
TOTAL | 71.49 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 96.49% |
| |||||||
AUSTRALIA — 1.24% |
| |||||||
Australian Agricultural Co. Ltd.a,b | 33,525 | $ | 36,601 | |||||
Costa Group Holdings Ltd. | 22,650 | 70,877 | ||||||
GrainCorp Ltd. Class A | 15,700 | 107,793 | ||||||
Nufarm Ltd./Australia | 17,950 | 122,138 | ||||||
Select Harvests Ltd. | 6,225 | 24,935 | ||||||
Tassal Group Ltd. | 11,525 | 42,356 | ||||||
|
| |||||||
404,700 | ||||||||
BRAZIL — 0.32% |
| |||||||
Sao Martinho SA | 15,000 | 91,610 | ||||||
SLC Agricola SA | 2,500 | 13,822 | ||||||
|
| |||||||
105,432 | ||||||||
CANADA — 7.69% |
| |||||||
Ag Growth International Inc. | 1,400 | 56,425 | ||||||
Agrium Inc. | 11,475 | 1,109,422 | ||||||
Clearwater Seafoods Inc. | 2,450 | 19,553 | ||||||
Potash Corp. of Saskatchewan Inc. | 73,475 | 1,278,164 | ||||||
Rogers Sugar Inc. | 8,350 | 40,096 | ||||||
|
| |||||||
2,503,660 | ||||||||
CHINA — 1.58% |
| |||||||
China Agri-Industries Holdings Ltd.a | 175,200 | 86,444 | ||||||
China BlueChemical Ltd. Class H | 150,000 | 51,981 | ||||||
China Huishan Dairy Holdings Co. Ltd.b | 350,000 | 128,052 | ||||||
China Modern Dairy Holdings Ltd.a,b | 211,000 | 51,918 | ||||||
China Shengmu Organic Milk Ltd.a,b,c | 125,000 | 34,300 | ||||||
First Tractor Co. Ltd. Class H | 50,000 | 31,949 | ||||||
Hubei Sanonda Co. Ltd. Class B | 15,300 | 13,324 | ||||||
Leyou Technologies Holdings Ltd.a,b | 250,000 | 54,429 | ||||||
Shandong Zhonglu Oceanic Fisheries Co. Ltd.a | 15,000 | 11,729 | ||||||
Sinofert Holdings Ltd.b | 200,000 | 31,949 | ||||||
YuanShengTai Dairy Farm Ltd.a | 225,000 | 17,971 | ||||||
|
| |||||||
514,046 | ||||||||
FINLAND — 0.07% |
| |||||||
Ponsse OYJ | 1,075 | 24,159 | ||||||
|
| |||||||
24,159 | ||||||||
FRANCE — 0.15% |
| |||||||
Naturexa | 550 | 49,735 | ||||||
|
| |||||||
49,735 |
Security | Shares | Value | ||||||
GERMANY — 1.83% |
| |||||||
K+S AG Registeredb | 16,700 | $ | 391,641 | |||||
KWS Saat SE | 150 | 45,498 | ||||||
Suedzucker AG | 6,250 | 160,054 | ||||||
|
| |||||||
597,193 | ||||||||
HONG KONG — 1.68% |
| |||||||
WH Group Ltd.c | 700,000 | 547,379 | ||||||
|
| |||||||
547,379 | ||||||||
INDONESIA — 0.94% |
| |||||||
Charoen Pokphand Indonesia Tbk PT | 640,000 | 148,770 | ||||||
Eagle High Plantations Tbk PTa | 900,000 | 24,970 | ||||||
Japfa Comfeed Indonesia Tbk PT | 432,500 | 55,943 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 265,000 | 29,310 | ||||||
PT Bisi International Tbk | 165,000 | 21,157 | ||||||
Salim Ivomas Pratama Tbk PT | 210,000 | 7,952 | ||||||
Sawit Sumbermas Sarana Tbk PT | 155,000 | 17,725 | ||||||
|
| |||||||
305,827 | ||||||||
IRELAND — 0.23% |
| |||||||
Origin Enterprises PLC | 10,950 | 74,036 | ||||||
|
| |||||||
74,036 | ||||||||
ISRAEL — 0.73% |
| |||||||
Israel Chemicals Ltd. | 42,975 | 182,983 | ||||||
Israel Corp. Ltd. (The)a | 300 | 54,218 | ||||||
|
| |||||||
237,201 | ||||||||
ITALY — 2.52% |
| |||||||
CNH Industrial NV | 88,200 | 820,999 | ||||||
|
| |||||||
820,999 | ||||||||
JAPAN — 7.03% |
| |||||||
Hokuto Corp. | 2,500 | 48,554 | ||||||
Iseki & Co. Ltd. | 25,000 | 57,648 | ||||||
Kubota Corp. | 92,500 | 1,477,801 | ||||||
Kumiai Chemical Industry Co. Ltd. | 5,000 | 31,371 | ||||||
Maruha Nichiro Corp. | 5,000 | 150,378 | ||||||
NH Foods Ltd. | 14,000 | 374,635 | ||||||
Nihon Nohyaku Co. Ltd. | 5,000 | 31,148 | ||||||
Nippon Beet Sugar Manufacturing Co. Ltd. | 700 | 15,754 | ||||||
Sakata Seed Corp. | 2,500 | 70,720 | ||||||
YAMABIKO Corp. | 2,500 | 31,573 | ||||||
|
| |||||||
2,289,582 |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
MALAYSIA — 1.70% |
| |||||||
Felda Global Ventures Holdings Bhdb | 112,500 | $ | 47,635 | |||||
Genting Plantations Bhd | 20,000 | 51,712 | ||||||
IOI Corp. Bhd | 192,500 | 202,905 | ||||||
Kuala Lumpur Kepong Bhd | 35,000 | 190,293 | ||||||
QL Resources Bhd | 51,450 | 51,566 | ||||||
TDM Bhd | 60,000 | 9,932 | ||||||
|
| |||||||
554,043 | ||||||||
MEXICO — 0.18% | ||||||||
Industrias Bachoco SAB de CV Series B | 15,000 | 60,082 | ||||||
|
| |||||||
60,082 | ||||||||
NETHERLANDS — 0.41% | ||||||||
OCI NVa,b | 6,625 | 132,136 | ||||||
|
| |||||||
132,136 | ||||||||
NORWAY — 5.08% | ||||||||
Austevoll Seafood ASA | 8,575 | 75,927 | ||||||
Bakkafrost P/F | 3,475 | 129,813 | ||||||
Leroy Seafood Group ASA | 2,575 | 136,370 | ||||||
Marine Harvest ASA | 33,175 | 581,938 | ||||||
Norway Royal Salmon ASA | 1,225 | 25,065 | ||||||
Salmar ASA | 4,525 | 114,731 | ||||||
Yara International ASA | 15,475 | 589,385 | ||||||
|
| |||||||
1,653,229 | ||||||||
POLAND — 0.20% | ||||||||
Grupa Azoty SA | 3,850 | 65,748 | ||||||
|
| |||||||
65,748 | ||||||||
RUSSIA — 0.49% | ||||||||
Acron JSC | 727 | 42,038 | ||||||
PhosAgro PJSC GDRd | 8,425 | 116,265 | ||||||
|
| |||||||
158,303 | ||||||||
SINGAPORE — 2.20% | ||||||||
Bumitama Agri Ltd.b | 34,500 | 18,995 | ||||||
China XLX Fertiliser Ltd. | 25,000 | 7,762 | ||||||
First Resources Ltd.b | 50,000 | 67,391 | ||||||
Golden Agri-Resources Ltd. | 612,500 | 166,422 | ||||||
Indofood Agri Resources Ltd. | 15,000 | 5,577 | ||||||
Japfa Ltd. | 32,500 | 21,960 | ||||||
Wilmar International Ltd. | 165,000 | 429,445 | ||||||
|
| |||||||
717,552 | ||||||||
SOUTH AFRICA — 0.49% | ||||||||
Astral Foods Ltd. | 3,375 | 38,302 | ||||||
Oceana Group Ltd. | 3,625 | 30,402 |
Security | Shares | Value | ||||||
Tongaat Hulett Ltd. | 9,250 | $ | 89,530 | |||||
|
| |||||||
158,234 | ||||||||
SOUTH KOREA — 0.38% | ||||||||
Dongwon Industries Co. Ltd. | 125 | 39,907 | ||||||
Easy Bio Inc.a | 3,375 | 17,938 | ||||||
Farmsco | 1,550 | 18,163 | ||||||
Harim Co. Ltd. | 2,336 | 10,474 | ||||||
Namhae Chemical Corp. | 2,650 | 21,280 | ||||||
Nong Woo Bio Co. Ltd.a | 625 | 8,899 | ||||||
Sajo Industries Co. Ltd.a | 125 | 7,981 | ||||||
|
| |||||||
124,642 | ||||||||
SPAIN — 0.00% | ||||||||
Pescanova SAa | 414 | — | ||||||
|
| |||||||
— | ||||||||
SWEDEN — 0.06% | ||||||||
Scandi Standard AB | 3,600 | 21,085 | ||||||
|
| |||||||
21,085 | ||||||||
SWITZERLAND — 10.71% | ||||||||
Syngenta AG Registered | 8,075 | 3,487,381 | ||||||
|
| |||||||
3,487,381 | ||||||||
TAIWAN — 0.31% | ||||||||
Charoen Pokphand Enterprise | 21,000 | 33,014 | ||||||
Taiwan Fertilizer Co. Ltd. | 50,000 | 69,165 | ||||||
|
| |||||||
102,179 | ||||||||
THAILAND — 0.78% | ||||||||
Charoen Pokphand Foods PCL NVDR | 241,100 | 193,402 | ||||||
GFPT PCL NVDR | 48,600 | 21,442 | ||||||
Khon Kaen Sugar Industry PCL NVDR | 110,154 | 20,197 | ||||||
Thaifoods Group PCL NVDRa | 100,000 | 17,476 | ||||||
|
| |||||||
252,517 | ||||||||
TURKEY — 0.03% | ||||||||
Gubre Fabrikalari TAS | 6,600 | 8,988 | ||||||
|
| |||||||
8,988 | ||||||||
UNITED KINGDOM — 0.25% | ||||||||
Sirius Minerals PLCa | 363,003 | 81,310 | ||||||
|
| |||||||
81,310 | ||||||||
UNITED STATES — 47.21% | ||||||||
AGCO Corp. | 5,550 | 338,106 | ||||||
AgroFresh Solutions Inc.a | 1,950 | 5,285 | ||||||
American Vanguard Corp. | 2,675 | 42,131 | ||||||
Archer-Daniels-Midland Co. | 50,575 | 2,375,508 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
Bunge Ltd. | 12,075 | $ | 988,339 | |||||
Cal-Maine Foods Inc.b | 2,575 | 97,721 | ||||||
CF Industries Holdings Inc. | 20,450 | 642,539 | ||||||
Darling Ingredients Inc.a | 13,975 | 181,815 | ||||||
Deere & Co. | 23,225 | 2,542,905 | ||||||
FMC Corp. | 11,825 | 681,356 | ||||||
Fresh Del Monte Produce Inc. | 2,900 | 167,823 | ||||||
Ingredion Inc. | 6,250 | 755,562 | ||||||
Lindsay Corp.b | 925 | 74,065 | ||||||
Monsanto Co. | 38,200 | 4,348,306 | ||||||
Mosaic Co. (The) | 29,100 | 907,629 | ||||||
Omega Protein Corp. | 1,775 | 45,174 | ||||||
Sanderson Farms Inc. | 1,775 | 168,696 | ||||||
Scotts Miracle-Gro Co. (The) Class A | 4,200 | 380,646 | ||||||
Titan International Inc. | 4,325 | 57,263 | ||||||
Toro Co. (The) | 9,550 | 575,005 | ||||||
|
| |||||||
15,375,874 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $32,476,085) |
| 31,427,252 | ||||||
INVESTMENT COMPANIES — 2.08% |
| |||||||
INDIA — 2.08% |
| |||||||
iShares India 50 ETFe | 22,250 | 676,623 | ||||||
|
| |||||||
676,623 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $622,134) |
| 676,623 | ||||||
PREFERRED STOCKS — 0.82% |
| |||||||
CHILE — 0.82% |
| |||||||
Sociedad Quimica y Minera de Chile SA Series B | 8,550 | 268,624 | ||||||
|
| |||||||
268,624 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $230,746) |
| 268,624 | ||||||
SHORT-TERM INVESTMENTS — 3.51% |
| |||||||
MONEY MARKET FUNDS — 3.51% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%f,g,h | 1,085,805 | 1,086,240 |
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%f,g | 57,110 | $ | 57,110 | |||||
|
| |||||||
1,143,350 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,143,131) |
| 1,143,350 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $34,472,096)i | 33,515,849 | |||||||
Other Assets, Less Liabilities — (2.90)% |
| (943,876 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 32,571,973 | ||||||
|
|
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Affiliated issuer. See Schedule 1. |
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 $34,720,940. Net unrealized depreciation was $1,205,091, of which $3,265,215 represented gross unrealized appreciation on securities and $4,470,306 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2017
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
iShares India 50 ETF | 18,711 | 5,165 | (1,626 | ) | 22,250 | $ | 676,623 | $ | 654 | $ | 9,022 | |||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 31,427,252 | $ | — | $ | 0 | a | $ | 31,427,252 | |||||||
Investment companies | 676,623 | — | — | 676,623 | ||||||||||||
Preferred stocks | 268,624 | — | — | 268,624 | ||||||||||||
Money market funds | 1,143,350 | — | — | 1,143,350 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 33,515,849 | $ | — | $ | 0 | a | $ | 33,515,849 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to financial statements.
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 98.20% |
| |||||||
AUSTRALIA — 1.58% |
| |||||||
AWE Ltd.a,b | 8,911 | $ | 3,288 | |||||
Beach Energy Ltd. | 20,996 | 11,381 | ||||||
Karoon Gas Australia Ltd.a,b | 4,978 | 6,353 | ||||||
Oil Search Ltd. | 25,265 | 135,586 | ||||||
Santos Ltd. | 28,557 | 83,433 | ||||||
Whitehaven Coal Ltd.a | 10,621 | 23,600 | ||||||
Woodside Petroleum Ltd. | 13,281 | 320,016 | ||||||
|
| |||||||
583,657 | ||||||||
AUSTRIA — 0.26% | ||||||||
OMV AG | 2,546 | 97,556 | ||||||
|
| |||||||
97,556 | ||||||||
BRAZIL — 0.79% | ||||||||
Petroleo Brasileiro SAa | 55,100 | 282,673 | ||||||
QGEP Participacoes SA | 3,800 | 7,121 | ||||||
|
| |||||||
289,794 | ||||||||
CANADA — 8.43% | ||||||||
Advantage Oil & Gas Ltd.a | 3,287 | 19,854 | ||||||
ARC Resources Ltd. | 6,028 | 90,116 | ||||||
Baytex Energy Corp.a,b | 3,650 | 13,311 | ||||||
Birchcliff Energy Ltd.a,b | 2,546 | 13,764 | ||||||
Bonavista Energy Corp. | 2,964 | 8,392 | ||||||
Bonterra Energy Corp. | 532 | 9,600 | ||||||
Cameco Corp. | 7,771 | 86,250 | ||||||
Canadian Natural Resources Ltd. | 19,589 | 563,362 | ||||||
Cardinal Energy Ltd. | 1,012 | 6,220 | ||||||
Cenovus Energy Inc. | 15,124 | 191,840 | ||||||
Crescent Point Energy Corp. | 8,873 | 97,878 | ||||||
Crew Energy Inc.a | 3,363 | 13,864 | ||||||
Denison Mines Corp.a,b | 5,111 | 3,319 | ||||||
Encana Corp. | 16,834 | 187,094 | ||||||
Enerplus Corp. | 3,990 | 35,307 | ||||||
Freehold Royalties Ltd. | 970 | 9,968 | ||||||
Husky Energy Inc.a | 6,973 | 83,184 | ||||||
Imperial Oil Ltd. | 5,225 | 163,679 | ||||||
Kelt Exploration Ltd.a | 2,401 | 10,859 | ||||||
MEG Energy Corp.a,b | 2,926 | 15,685 | ||||||
NuVista Energy Ltd.a | 2,774 | 12,294 | ||||||
Painted Pony Petroleum Ltd.a | 1,843 | 9,560 | ||||||
Paramount Resources Ltd. Class Aa,b | 1,292 | 17,003 | ||||||
Parex Resources Inc.a | 1,900 | 22,695 | ||||||
Pengrowth Energy Corp.a,b | 10,679 | 12,578 | ||||||
Penn West Petroleum Ltd.a,b | 3,458 | 5,770 |
Security | Shares | Value | ||||||
Peyto Exploration & Development Corp. | 3,363 | $ | 69,015 | |||||
PrairieSky Royalty Ltd. | 3,819 | 89,560 | ||||||
Raging River Exploration Inc.a | 3,667 | 24,891 | ||||||
Seven Generations Energy Ltd. Class Aa,b | 4,416 | 82,055 | ||||||
Suncor Energy Inc. | 29,032 | 906,394 | ||||||
Surge Energy Inc. | 5,168 | 10,340 | ||||||
TORC Oil & Gas Ltd. | 1,482 | 7,788 | ||||||
Tourmaline Oil Corp.a | 3,895 | 86,461 | ||||||
Vermilion Energy Inc. | 2,451 | 93,473 | ||||||
Whitecap Resources Inc. | 4,199 | 34,462 | ||||||
|
| |||||||
3,107,885 | ||||||||
CHINA — 2.32% | ||||||||
China Coal Energy Co. Ltd. Class Ha | 57,000 | 30,180 | ||||||
China Shenhua Energy Co. Ltd. Class H | 57,000 | 119,251 | ||||||
CNOOC Ltd. | 323,000 | 381,985 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 100 | 118 | ||||||
MIE Holdings Corp.a | 32,000 | 2,968 | ||||||
PetroChina Co. Ltd. Class H | 380,000 | 289,316 | ||||||
Yanzhou Coal Mining Co. Ltd. Class Hb | 38,000 | 30,547 | ||||||
|
| |||||||
854,365 | ||||||||
COLOMBIA — 0.12% | ||||||||
Ecopetrol SAa | 99,522 | 44,953 | ||||||
|
| |||||||
44,953 | ||||||||
FINLAND — 0.22% | ||||||||
Neste OYJ | 2,299 | 80,323 | ||||||
|
| |||||||
80,323 | ||||||||
FRANCE — 5.34% | ||||||||
Esso SA Francaisea | 247 | 10,944 | ||||||
Etablissements Maurel et Proma | 5,453 | 20,744 | ||||||
Total SA | 38,741 | 1,936,869 | ||||||
|
| |||||||
1,968,557 | ||||||||
GREECE — 0.04% | ||||||||
Motor Oil Hellas Corinth Refineries SA | 1,065 | 16,522 | ||||||
|
| |||||||
16,522 | ||||||||
HUNGARY — 0.14% | ||||||||
MOL Hungarian Oil & Gas PLC | 760 | 52,233 | ||||||
|
| |||||||
52,233 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
INDIA — 1.47% | ||||||||
Reliance Industries Ltd. GDRb,c | 14,725 | $ | 543,353 | |||||
|
| |||||||
543,353 | ||||||||
INDONESIA — 0.32% | ||||||||
Adaro Energy Tbk PT | 362,900 | 46,124 | ||||||
Indo Tambangraya Megah Tbk PT | 5,700 | 7,522 | ||||||
Sugih Energy Tbk PTa | 618,000 | 3,939 | ||||||
Tambang Batubara Bukit Asam Persero Tbk PT | 9,500 | 7,961 | ||||||
United Tractors Tbk PT | 28,500 | 52,679 | ||||||
|
| |||||||
118,225 | ||||||||
ISRAEL — 0.14% | ||||||||
Jerusalem Oil Explorationa | 76 | 4,054 | ||||||
Naphtha Israel Petroleum Corp. Ltd.a | 1,160 | 8,234 | ||||||
Oil Refineries Ltd. | 34,941 | 14,033 | ||||||
Paz Oil Co. Ltd. | 152 | 24,585 | ||||||
|
| |||||||
50,906 | ||||||||
ITALY — 1.90% | ||||||||
Eni SpA | 44,916 | 693,007 | ||||||
Saras SpA | 4,074 | 7,446 | ||||||
|
| |||||||
700,453 | ||||||||
JAPAN — 1.42% | ||||||||
Cosmo Energy Holdings Co. Ltd. | 1,900 | 32,724 | ||||||
Idemitsu Kosan Co. Ltd. | 1,900 | 61,474 | ||||||
INPEX Corp. | 19,000 | 189,516 | ||||||
Japan Petroleum Exploration Co. Ltd. | 100 | 2,422 | ||||||
JX Holdings Inc. | 41,800 | 199,912 | ||||||
Showa Shell Sekiyu KK | 3,800 | 38,447 | ||||||
|
| |||||||
524,495 | ||||||||
NORWAY — 1.07% | ||||||||
Aker BP ASA | 2,242 | 39,570 | ||||||
DNO ASAa,b | 10,830 | 10,386 | ||||||
Statoil ASA | 19,361 | 343,790 | ||||||
|
| |||||||
393,746 | ||||||||
POLAND — 0.45% | ||||||||
Grupa Lotos SAa | 2,147 | 25,714 | ||||||
Lubelski Wegiel Bogdanka SAa | 141 | 2,773 | ||||||
Polski Koncern Naftowy ORLEN SA | 5,928 | 137,530 | ||||||
|
| |||||||
166,017 | ||||||||
PORTUGAL — 0.25% | ||||||||
Galp Energia SGPS SA | 6,324 | 93,339 | ||||||
|
| |||||||
93,339 |
Security | Shares | Value | ||||||
RUSSIA — 2.48% | ||||||||
Lukoil PJSC | 4,503 | $ | 237,918 | |||||
Lukoil PJSC ADR | 2,885 | 152,905 | ||||||
Novatek PJSC GDRd | 1,584 | 205,128 | ||||||
Rosneft Oil Co. PJSC | 9,280 | 52,866 | ||||||
Rosneft Oil Co. PJSC GDR | 10,061 | 57,046 | ||||||
Surgutneftegas OJSC | 55,100 | 27,448 | ||||||
Surgutneftegas OJSC ADR | 6,080 | 30,643 | ||||||
Tatneft PJSC Class S | 25,650 | 149,591 | ||||||
|
| |||||||
913,545 | ||||||||
SOUTH AFRICA — 0.08% | ||||||||
Exxaro Resources Ltd. | 3,363 | 27,747 | ||||||
|
| |||||||
27,747 | ||||||||
SOUTH KOREA — 0.61% | ||||||||
S-Oil Corp. | 912 | 69,685 | ||||||
SK Innovation Co. Ltd. | 1,140 | 155,764 | ||||||
|
| |||||||
225,449 | ||||||||
SPAIN — 0.81% | ||||||||
Repsol SA | 20,155 | 299,834 | ||||||
|
| |||||||
299,834 | ||||||||
SWEDEN — 0.22% | ||||||||
Lundin Petroleum ABa | 3,971 | 81,569 | ||||||
|
| |||||||
81,569 | ||||||||
THAILAND — 0.44% | ||||||||
Bangchak Petroleum PCL (The) NVDR | 9,500 | 9,390 | ||||||
Banpu PCL NVDR | 24,700 | 13,869 | ||||||
Esso Thailand PCL NVDRa | 41,800 | 13,532 | ||||||
IRPC PCL NVDR | 218,500 | 31,048 | ||||||
PTT Exploration & Production PCL NVDR | 22,831 | 60,830 | ||||||
Thai Oil PCL NVDR | 15,200 | 32,768 | ||||||
|
| |||||||
161,437 | ||||||||
TURKEY — 0.17% | ||||||||
Tupras Turkiye Petrol Rafinerileri AS | 2,717 | 63,776 | ||||||
|
| |||||||
63,776 | ||||||||
UNITED KINGDOM — 15.46% | ||||||||
Amerisur Resources PLCa,b | 34,846 | 9,648 | ||||||
BP PLC | 321,974 | 1,817,214 | ||||||
Cairn Energy PLCa | 10,279 | 28,435 | ||||||
EnQuest PLC ADRa,b | 32,145 | 19,301 | ||||||
Faroe Petroleum PLCa | 15,675 | 20,042 | ||||||
Ophir Energy PLCa | 21,014 | 23,992 | ||||||
Premier Oil PLCa,b | 11,742 | 10,155 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
Royal Dutch Shell PLC Class A | 74,559 | $ | 1,929,386 | |||||
Royal Dutch Shell PLC Class B | 64,505 | 1,744,669 | ||||||
SOCO International PLC | 7,828 | 12,858 | ||||||
Stobart Group Ltd. | 13,110 | 30,997 | ||||||
Tullow Oil PLCa,b | 16,606 | 55,464 | ||||||
|
| |||||||
5,702,161 | ||||||||
UNITED STATES — 51.67% | ||||||||
Alon USA Energy Inc. | 779 | 9,473 | ||||||
Anadarko Petroleum Corp. | 9,785 | 632,600 | ||||||
Antero Resources Corp.a | 2,736 | 65,609 | ||||||
Apache Corp. | 6,707 | 352,721 | ||||||
Bill Barrett Corp.a | 893 | 4,920 | ||||||
Cabot Oil & Gas Corp. | 8,341 | 182,668 | ||||||
California Resources Corp.a | 649 | 11,598 | ||||||
Callon Petroleum Co.a | 2,470 | 31,171 | ||||||
Carrizo Oil & Gas Inc.a,b | 1,026 | 33,396 | ||||||
Chesapeake Energy Corp.a | 11,305 | 61,612 | ||||||
Chevron Corp. | 32,604 | 3,667,950 | ||||||
Cimarex Energy Co. | 1,748 | 219,759 | ||||||
Clayton Williams Energy Inc.a | 95 | 12,858 | ||||||
Cobalt International Energy Inc.a,b | 5,130 | 3,642 | ||||||
Concho Resources Inc.a | 2,508 | 332,185 | ||||||
ConocoPhillips | 21,717 | 1,033,078 | ||||||
CONSOL Energy Inc. | 3,439 | 53,545 | ||||||
Continental Resources Inc./OKa,b | 1,729 | 78,151 | ||||||
CVR Energy Inc. | 684 | 15,677 | ||||||
Delek U.S. Holdings Inc. | 1,159 | 27,897 | ||||||
Denbury Resources Inc.a | 6,916 | 18,742 | ||||||
Devon Energy Corp. | 8,322 | 360,842 | ||||||
Diamondback Energy Inc.a | 1,444 | 145,642 | ||||||
Energen Corp.a | 1,729 | 90,773 | ||||||
EOG Resources Inc. | 10,127 | 982,218 | ||||||
EQT Corp. | 3,116 | 186,617 | ||||||
Exxon Mobil Corp. | 71,725 | 5,832,677 | ||||||
Gran Tierra Energy Inc.a,b | 665 | 1,782 | ||||||
Gulfport Energy Corp.a | 2,166 | 37,558 | ||||||
Hess Corp. | 5,092 | 261,932 | ||||||
HollyFrontier Corp. | 3,135 | 91,793 | ||||||
Kosmos Energy Ltd.a | 1,843 | 11,316 | ||||||
Laredo Petroleum Inc.a,b | 2,698 | 37,313 | ||||||
Marathon Oil Corp. | 14,383 | 230,128 | ||||||
Marathon Petroleum Corp. | 9,215 | 457,064 | ||||||
Matador Resources Co.a | 1,235 | 29,726 | ||||||
Murphy Oil Corp. | 3,173 | 89,764 | ||||||
Newfield Exploration Co.a | 3,572 | 130,235 | ||||||
Noble Energy Inc. | 7,733 | 281,559 |
Security | Shares | Value | ||||||
Oasis Petroleum Inc.a | 3,420 | $ | 48,427 | |||||
Occidental Petroleum Corp. | 13,167 | 863,097 | ||||||
Par Pacific Holdings Inc.a | 647 | 9,446 | ||||||
Parsley Energy Inc. Class Aa | 3,743 | 113,750 | ||||||
PBF Energy Inc. | 1,710 | 41,878 | ||||||
PDC Energy Inc.a | 1,045 | 70,632 | ||||||
Pioneer Natural Resources Co. | 2,983 | 554,749 | ||||||
QEP Resources Inc.a | 3,933 | 54,118 | ||||||
Range Resources Corp. | 3,532 | 97,554 | ||||||
Resolute Energy Corp.a | 152 | 7,076 | ||||||
RSP Permian Inc.a | 1,824 | 72,030 | ||||||
Sanchez Energy Corp.a | 705 | 8,108 | ||||||
SM Energy Co. | 1,444 | 35,595 | ||||||
Southwestern Energy Co.a,b | 8,417 | 63,212 | ||||||
Synergy Resources Corp.a | 2,299 | 18,783 | ||||||
Tesoro Corp. | 2,071 | 176,428 | ||||||
Valero Energy Corp. | 7,999 | 543,532 | ||||||
Western Refining Inc. | 1,387 | 50,653 | ||||||
Whiting Petroleum Corp.a | 4,106 | 44,550 | ||||||
WPX Energy Inc.a | 5,624 | 72,550 | ||||||
|
| |||||||
19,054,359 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $38,411,157) |
| 36,216,256 | ||||||
PREFERRED STOCKS — 1.07% |
| |||||||
BRAZIL — 0.88% |
| |||||||
Petroleo Brasileiro SA | 66,500 | 324,484 | ||||||
|
| |||||||
324,484 | ||||||||
RUSSIA — 0.19% |
| |||||||
Surgutneftegas OJSC | 125,400 | 68,412 | ||||||
|
| |||||||
68,412 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $278,499) |
| 392,896 | ||||||
SHORT-TERM INVESTMENTS — 3.05% |
| |||||||
MONEY MARKET FUNDS — 3.05% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 1,110,039 | 1,110,483 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 14,317 | 14,317 | ||||||
|
| |||||||
1,124,800 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,124,624) |
| 1,124,800 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2017
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $39,814,280)h | $ | 37,733,952 | ||||||
Other Assets, Less Liabilities — (2.32)% |
| (855,224 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 36,878,728 | ||||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $40,447,030. Net unrealized depreciation was $2,713,078, of which $1,968,527 represented gross unrealized appreciation on securities and $4,681,605 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 36,212,317 | $ | — | $ | 3,939 | $ | 36,216,256 | ||||||||
Preferred stocks | 392,896 | — | — | 392,896 | ||||||||||||
Money market funds | 1,124,800 | — | — | 1,124,800 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 37,730,013 | $ | — | $ | 3,939 | $ | 37,733,952 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL GOLD MINERS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.81% |
| |||||||
AUSTRALIA — 10.66% |
| |||||||
Newcrest Mining Ltd. | 721,548 | $ | 12,282,433 | |||||
St. Barbara Ltd.a,b | 1,055,547 | 2,061,355 | ||||||
Westgold Resources Ltd.b | 601,285 | 1,123,384 | ||||||
|
| |||||||
15,467,172 | ||||||||
CANADA — 55.21% | ||||||||
Agnico Eagle Mines Ltd. | 153,433 | 6,470,031 | ||||||
Alacer Gold Corp.b | 756,687 | 1,451,157 | ||||||
Asanko Gold Inc.b | 309,583 | 829,793 | ||||||
Barrick Gold Corp. | 1,207,706 | 22,349,559 | ||||||
Centerra Gold Inc. | 408,251 | 1,975,831 | ||||||
China Gold International Resources Corp. Ltd.a,b | 655,168 | 1,335,614 | ||||||
Eldorado Gold Corp.b | 1,120,053 | 3,433,437 | ||||||
Endeavour Mining Corp.a,b | 85,874 | 1,607,321 | ||||||
Goldcorp Inc. | 824,750 | 13,108,073 | ||||||
Guyana Goldfields Inc.b | 236,049 | 1,206,578 | ||||||
IAMGOLD Corp.a,b | 737,989 | 2,919,750 | ||||||
Kinross Gold Corp.b | 1,676,148 | 5,922,740 | ||||||
Kirkland Lake Gold Ltd.b | 328,311 | 2,354,905 | ||||||
New Gold Inc.b | 807,305 | 2,334,537 | ||||||
Primero Mining Corp.a,b | 933,868 | 599,334 | ||||||
Richmont Mines Inc.a,b | 188,262 | 1,472,607 | ||||||
SEMAFO Inc.b | 622,314 | 1,912,355 | ||||||
Silver Standard Resources Inc.b | 157,843 | 1,754,275 | ||||||
Tahoe Resources Inc. | 384,842 | 3,271,789 | ||||||
Yamana Gold Inc. | 1,360,477 | 3,769,829 | ||||||
|
| |||||||
80,079,515 | ||||||||
PERU — 2.49% | ||||||||
Cia. de Minas Buenaventura SAA ADR | 293,088 | 3,604,982 | ||||||
|
| |||||||
3,604,982 | ||||||||
SOUTH AFRICA — 9.23% | ||||||||
AngloGold Ashanti Ltd.b | 487,993 | 5,432,466 | ||||||
Gold Fields Ltd. | 1,187,580 | 3,654,442 | ||||||
Harmony Gold Mining Co. Ltd. | 779,841 | 1,901,906 | ||||||
Sibanye Gold Ltd. | 1,194,296 | 2,402,288 | ||||||
|
| |||||||
13,391,102 | ||||||||
TURKEY — 0.76% | ||||||||
Koza Altin Isletmeleri ASb | 212,517 | 1,103,125 | ||||||
|
| |||||||
1,103,125 |
Security | Shares | Value | ||||||
UNITED KINGDOM — 7.48% | ||||||||
Acacia Mining PLC | 27,388 | $ | 182,677 | |||||
Centamin PLC | 1,753,024 | 3,813,198 | ||||||
Randgold Resources Ltd. | 73,301 | 6,850,305 | ||||||
|
| |||||||
10,846,180 | ||||||||
UNITED STATES — 13.98% | ||||||||
McEwen Mining Inc. | 548,609 | 1,881,729 | ||||||
Newmont Mining Corp. | 537,275 | 18,396,296 | ||||||
|
| |||||||
20,278,025 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $168,746,695) |
| 144,770,101 | ||||||
SHORT-TERM INVESTMENTS — 2.48% |
| |||||||
MONEY MARKET FUNDS — 2.48% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 3,577,230 | 3,578,661 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 20,671 | 20,671 | ||||||
|
| |||||||
3,599,332 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $3,598,136) |
| 3,599,332 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $172,344,831)f | 148,369,433 | |||||||
Other Assets, Less Liabilities — (2.29)% |
| (3,315,717 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 145,053,716 | ||||||
|
|
ADR — American Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
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 $192,579,183. Net unrealized depreciation was $44,209,750, of which $4,638,168 represented gross unrealized appreciation on securities and $48,847,918 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL GOLD MINERS ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 144,770,101 | $ | — | $ | — | $ | 144,770,101 | ||||||||
Money market funds | 3,599,332 | — | — | 3,599,332 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 148,369,433 | $ | — | $ | — | $ | 148,369,433 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 95.71% |
| |||||||
AUSTRALIA — 17.37% |
| |||||||
Alumina Ltd. | 1,162,862 | $ | 1,649,552 | |||||
Arrium Ltd.a,b | 727,228 | 6 | ||||||
BHP Billiton Ltd. | 1,520,331 | 29,222,658 | ||||||
BlueScope Steel Ltd. | 272,968 | 2,564,629 | ||||||
Fortescue Metals Group Ltd. | 735,090 | 3,747,103 | ||||||
Galaxy Resources Ltd.a,b | 795,775 | 305,916 | ||||||
Iluka Resources Ltd. | 201,062 | 1,048,096 | ||||||
Independence Group NL | 235,412 | 660,637 | ||||||
Jacana Minerals Ltd.a,b | 6,808 | — | ||||||
Mineral Resources Ltd. | 63,891 | 549,191 | ||||||
Orocobre Ltd.b | 92,516 | 219,083 | ||||||
OZ Minerals Ltd. | 139,003 | 993,914 | ||||||
Pilbara Minerals Ltd.b | 484,106 | 169,353 | ||||||
Rio Tinto Ltd. | 202,894 | 9,670,132 | ||||||
Sandfire Resources NL | 70,990 | 351,499 | ||||||
Sims Metal Management Ltd. | 82,211 | 797,684 | ||||||
South32 Ltd. | 2,537,320 | 4,857,537 | ||||||
Syrah Resources Ltd.a,b | 116,332 | 261,170 | ||||||
Western Areas Ltd.a,b | 114,500 | 208,639 | ||||||
|
| |||||||
57,276,799 | ||||||||
AUSTRIA — 0.68% | ||||||||
Voestalpine AG | 53,128 | 2,242,627 | ||||||
|
| |||||||
2,242,627 | ||||||||
BELGIUM — 0.31% | ||||||||
Bekaert SA | 18,778 | 833,557 | ||||||
Nyrstar NVa,b | 33,215 | 204,707 | ||||||
|
| |||||||
1,038,264 | ||||||||
BRAZIL — 2.27% | ||||||||
Cia. Siderurgica Nacional SAb | 305,100 | 1,174,895 | ||||||
Vale SA | 600,500 | 6,315,770 | ||||||
|
| |||||||
7,490,665 | ||||||||
CANADA — 4.88% | ||||||||
Altius Minerals Corp. | 21,068 | 208,381 | ||||||
Canam Group Inc. | 18,320 | 90,462 | ||||||
Dominion Diamond Corp. | 43,052 | 365,038 | ||||||
First Quantum Minerals Ltd.a | 325,638 | 3,397,876 | ||||||
HudBay Minerals Inc. | 110,607 | 859,335 | ||||||
Imperial Metals Corp.a,b | 24,274 | 116,747 | ||||||
Ivanhoe Mines Ltd. Class Aa,b | 303,425 | 882,016 | ||||||
Labrador Iron Ore Royalty Corp. | 27,480 | 394,839 | ||||||
Lucara Diamond Corp. | 161,674 | 330,806 | ||||||
Lundin Mining Corp.b | 308,234 | 1,859,481 |
Security | Shares | Value | ||||||
Major Drilling Group International Inc.b | 43,052 | $ | 247,042 | |||||
Nevsun Resources Ltd. | 90,963 | 229,391 | ||||||
Stornoway Diamond Corp.b | 255,106 | 167,573 | ||||||
Teck Resources Ltd. Class B | 269,533 | 5,403,074 | ||||||
Turquoise Hill Resources Ltd.b | 485,022 | 1,527,081 | ||||||
|
| |||||||
16,079,142 | ||||||||
CHILE — 0.12% | ||||||||
CAP SA | 34,854 | 398,421 | ||||||
|
| |||||||
398,421 | ||||||||
CHINA — 1.02% | ||||||||
Aluminum Corp. of China Ltd. Class Ha,b | 1,832,000 | 913,351 | ||||||
China Daye Non-Ferrous Metals Mining Ltd.b | 3,206,000 | 57,822 | ||||||
China Metal Recycling Holdings Ltd.b | 132,000 | — | ||||||
Inner Mongolia Eerduosi Resourses Co. Ltd. Class B | 91,074 | 94,171 | ||||||
Jiangxi Copper Co. Ltd. Class H | 737,000 | 1,241,871 | ||||||
MMG Ltd.a,b | 922,000 | 363,457 | ||||||
North Mining Shares Co. Ltd.b | 6,870,000 | 148,685 | ||||||
Shougang Concord International Enterprises Co. Ltd.b | 4,580,000 | 162,256 | ||||||
Shougang Fushan Resources Group Ltd. | 1,374,000 | 306,220 | ||||||
Xinjiang Xinxin Mining Industry Co. Ltd. Class Hb | 458,000 | 66,082 | ||||||
|
| |||||||
3,353,915 | ||||||||
EGYPT — 0.01% | ||||||||
Ezz Steelb | 44,480 | 44,705 | ||||||
|
| |||||||
44,705 | ||||||||
FINLAND — 0.52% | ||||||||
Outokumpu OYJa,b | 136,030 | 1,350,777 | ||||||
Outotec OYJa,b | 63,593 | 358,818 | ||||||
|
| |||||||
1,709,595 | ||||||||
FRANCE — 2.71% | ||||||||
APERAM SA | 22,057 | 1,125,247 | ||||||
ArcelorMittalb | 868,369 | 7,667,876 | ||||||
Erametb | 2,519 | 136,779 | ||||||
|
| |||||||
8,929,902 | ||||||||
GERMANY — 1.81% | ||||||||
Aurubis AG | 17,175 | 993,721 | ||||||
Salzgitter AG | 18,320 | 671,800 | ||||||
ThyssenKrupp AG | 171,292 | 4,294,641 | ||||||
|
| |||||||
5,960,162 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
INDIA — 0.83% | ||||||||
Tata Steel Ltd. GDRa,c | 376,705 | $ | 2,723,577 | |||||
|
| |||||||
2,723,577 | ||||||||
INDONESIA — 0.14% | ||||||||
Aneka Tambang Persero Tbk PTb | 4,488,438 | 250,742 | ||||||
Krakatau Steel Persero Tbk PTb | 1,763,453 | 90,579 | ||||||
Timah Persero Tbk PT | 1,769,367 | 131,349 | ||||||
|
| |||||||
472,670 | ||||||||
JAPAN — 9.34% | ||||||||
Asahi Holdings Inc. | 4,900 | 85,137 | ||||||
Daido Steel Co. Ltd. | 58,000 | 286,151 | ||||||
Dowa Holdings Co. Ltd. | 71,000 | 578,103 | ||||||
Hitachi Metals Ltd. | 91,600 | 1,309,916 | ||||||
JFE Holdings Inc. | 255,200 | 4,846,941 | ||||||
Kobe Steel Ltd.b | 183,200 | 1,786,399 | ||||||
Maruichi Steel Tube Ltd. | 33,400 | 1,061,241 | ||||||
Mitsubishi Materials Corp. | 47,300 | 1,576,878 | ||||||
Mitsui Mining & Smelting Co. Ltd. | 459,000 | 1,522,000 | ||||||
Nakayama Steel Works Ltd.b | 45,800 | 323,386 | ||||||
Neturen Co. Ltd. | 45,800 | 369,642 | ||||||
Nippon Denko Co. Ltd. | 137,400 | 392,975 | ||||||
Nippon Light Metal Holdings Co. Ltd. | 366,400 | 903,842 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 389,740 | 9,626,371 | ||||||
Nisshin Steel Co. Ltd.a | 45,800 | 653,730 | ||||||
OSAKA Titanium Technologies Co. Ltd.a,b | 1,800 | 29,135 | ||||||
Sumitomo Metal Mining Co. Ltd. | 229,000 | 3,194,968 | ||||||
Toho Titanium Co. Ltd.a | 45,800 | 386,425 | ||||||
Tokyo Steel Manufacturing Co. Ltd. | 68,700 | 596,831 | ||||||
Topy Industries Ltd. | 4,400 | 124,074 | ||||||
Toyo Kohan Co. Ltd. | 91,600 | 379,876 | ||||||
UACJ Corp. | 43,386 | 119,822 | ||||||
Yamato Kogyo Co. Ltd. | 22,900 | 652,912 | ||||||
|
| |||||||
30,806,755 | ||||||||
MALAYSIA — 0.11% | ||||||||
Press Metal Bhd | 641,200 | 358,148 | ||||||
|
| |||||||
358,148 | ||||||||
MEXICO — 1.90% | ||||||||
Grupo Mexico SAB de CV Series B | 1,832,000 | 5,584,128 | ||||||
Industrias CH SAB de CV Series Bb | 68,700 | 440,699 | ||||||
Minera Frisco SAB de CV Series A1b | 343,500 | 240,709 | ||||||
|
| |||||||
6,265,536 |
Security | Shares | Value | ||||||
NETHERLANDS — 0.05% | ||||||||
AMG Advanced Metallurgical Group NV | 7,328 | $ | 156,981 | |||||
|
| |||||||
156,981 | ||||||||
NORWAY — 1.12% | ||||||||
Norsk Hydro ASA | 648,757 | 3,684,959 | ||||||
|
| |||||||
3,684,959 | ||||||||
PERU — 0.47% | ||||||||
Southern Copper Corp. | 42,136 | 1,544,706 | ||||||
|
| |||||||
1,544,706 | ||||||||
PHILIPPINES — 0.03% | ||||||||
Nickel Asia Corp. | 650,200 | 88,049 | ||||||
|
| |||||||
88,049 | ||||||||
POLAND — 0.84% | ||||||||
Boryszew SAb | 91,371 | 269,589 | ||||||
Jastrzebska Spolka Weglowa SAb | 24,613 | 422,507 | ||||||
KGHM Polska Miedz SA | 65,494 | 2,080,787 | ||||||
|
| |||||||
2,772,883 | ||||||||
RUSSIA — 2.31% | ||||||||
Alrosa PJSC | 1,190,800 | 1,884,943 | ||||||
Mechel PJSCb | 32,610 | 158,811 | ||||||
MMC Norilsk Nickel PJSC | 26,106 | 4,143,990 | ||||||
Severstal PJSC | 100,760 | 1,440,629 | ||||||
|
| |||||||
7,628,373 | ||||||||
SINGAPORE — 0.04% | ||||||||
Midas Holdings Ltd.a,b | 646,000 | 120,096 | ||||||
|
| |||||||
120,096 | ||||||||
SOUTH AFRICA — 0.95% | ||||||||
African Rainbow Minerals Ltd. | 51,296 | 398,054 | ||||||
Anglo American Platinum Ltd.a,b | 26,106 | 605,747 | ||||||
Assore Ltd. | 16,946 | 351,357 | ||||||
Impala Platinum Holdings Ltd.b | 298,616 | 1,005,432 | ||||||
Northam Platinum Ltd.b | 162,361 | 673,029 | ||||||
Royal Bafokeng Platinum Ltd.b | 38,014 | 101,690 | ||||||
|
| |||||||
3,135,309 | ||||||||
SOUTH KOREA — 4.12% | ||||||||
Dongkuk Steel Mill Co. Ltd. | 27,550 | 306,991 | ||||||
Hyundai Steel Co. | 37,556 | 2,075,834 | ||||||
Jenax Inc.b | 6,412 | 118,515 | ||||||
KISCO Corp. | 2,296 | 76,449 | ||||||
KISWIRE Ltd.b | 2,839 | 103,065 | ||||||
Korea Zinc Co. Ltd.b | 4,122 | 1,518,296 | ||||||
Poongsan Corp. | 11,908 | 431,247 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
Poongsan Holdings Corp. | 3,206 | $ | 137,653 | |||||
POSCO | 34,121 | 8,554,768 | ||||||
Seah Besteel Corp. | 5,954 | 137,167 | ||||||
SeAH Steel Corp.b | 1,401 | 138,768 | ||||||
|
| |||||||
13,598,753 | ||||||||
SPAIN — 0.37% | ||||||||
Acerinox SA | 75,684 | 1,078,859 | ||||||
Tubacex SA | 46,716 | 149,914 | ||||||
|
| |||||||
1,228,773 | ||||||||
SWEDEN — 1.70% | ||||||||
Boliden AB | 132,133 | 4,043,398 | ||||||
Granges AB | 39,159 | 357,621 | ||||||
SSAB AB Class Aa,b | 107,661 | 427,118 | ||||||
SSAB AB Class Bb | 231,678 | 768,895 | ||||||
|
| |||||||
5,597,032 | ||||||||
SWITZERLAND — 0.06% | ||||||||
Schmolz + Bickenbach AG Registereda,b | 262,434 | 204,402 | ||||||
|
| |||||||
204,402 | ||||||||
TAIWAN — 2.00% | ||||||||
China Metal Products | 458,011 | 480,767 | ||||||
China Steel Corp. | 5,954,612 | 5,000,374 | ||||||
Feng Hsin Steel Co. Ltd. | 458,000 | 773,682 | ||||||
TA Chen Stainless Pipe | 33,559 | 19,552 | ||||||
Ton Yi Industrial Corp. | 70,000 | 34,973 | ||||||
Tung Ho Steel Enterprise Corp. | 75,000 | 58,099 | ||||||
Yieh Phui Enterprise Co. Ltd.b | 458,440 | 211,885 | ||||||
|
| |||||||
6,579,332 | ||||||||
THAILAND — 0.02% | ||||||||
STP & I PCL NVDRa | 281,960 | 75,931 | ||||||
|
| |||||||
75,931 | ||||||||
TURKEY — 0.39% | ||||||||
Borusan Mannesmann Boru Sanayi ve Ticaret ASa | 32,747 | 90,091 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 654,482 | 1,071,679 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Db | 336,882 | 113,297 | ||||||
|
| |||||||
1,275,067 | ||||||||
UNITED KINGDOM — 24.60% | ||||||||
Anglo American PLCb | 664,100 | 10,499,490 | ||||||
Antofagasta PLC | 187,551 | 1,895,115 | ||||||
BHP Billiton PLC | 999,127 | 16,131,997 | ||||||
Evraz PLCb | 161,448 | 462,887 |
Security | Shares | Value | ||||||
Ferrexpo PLCb | 68,471 | $ | 136,414 | |||||
Glencore PLCb | 5,792,555 | 23,214,190 | ||||||
KAZ Minerals PLCb | 116,790 | 765,908 | ||||||
Lonmin PLCb | 134,194 | 202,477 | ||||||
Petra Diamonds Ltd.b | 258,999 | 442,516 | ||||||
Rio Tinto PLC | 586,927 | 24,080,367 | ||||||
Vedanta Ltd. ADR | 188,520 | 2,897,552 | ||||||
Vedanta Resources PLC | 37,098 | 397,479 | ||||||
|
| |||||||
81,126,392 | ||||||||
UNITED STATES — 12.62% | ||||||||
AK Steel Holding Corp.b | 143,354 | 1,194,139 | ||||||
Alcoa Corp. | 65,725 | 2,273,428 | ||||||
Allegheny Technologies Inc. | 49,922 | 959,002 | ||||||
Carpenter Technology Corp. | 21,755 | 882,383 | ||||||
Century Aluminum Co.b | 24,503 | 345,125 | ||||||
Cliffs Natural Resources Inc.b | 126,408 | 1,347,509 | ||||||
Commercial Metals Co. | 54,502 | 1,151,627 | ||||||
Compass Minerals International Inc. | 16,946 | 1,284,507 | ||||||
Freeport-McMoRan Inc.b | 604,331 | 8,098,035 | ||||||
Haynes International Inc. | 5,954 | 232,563 | ||||||
Kaiser Aluminum Corp. | 7,796 | 614,559 | ||||||
Materion Corp. | 12,137 | 422,974 | ||||||
Nucor Corp. | 151,598 | 9,485,487 | ||||||
Reliance Steel & Aluminum Co. | 34,350 | 2,907,728 | ||||||
Schnitzer Steel Industries Inc. Class A | 11,908 | 283,410 | ||||||
Steel Dynamics Inc. | 115,874 | 4,240,988 | ||||||
Stillwater Mining Co.b | 59,998 | 1,023,566 | ||||||
SunCoke Energy Inc.b | 27,480 | 267,930 | ||||||
TimkenSteel Corp.b | 16,259 | 340,138 | ||||||
U.S. Steel Corp. | 79,921 | 3,094,541 | ||||||
Worthington Industries Inc. | 23,358 | 1,145,710 | ||||||
|
| |||||||
41,595,349 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $283,324,830) |
| 315,563,270 | ||||||
PREFERRED STOCKS — 3.83% |
| |||||||
BRAZIL — 3.83% |
| |||||||
Bradespar SA | 91,600 | 690,460 | ||||||
Gerdau SA | 435,100 | 1,811,168 | ||||||
Metalurgica Gerdau SA | 274,800 | 517,624 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A | 206,100 | 326,606 | ||||||
Vale SA | 916,000 | 9,277,776 | ||||||
|
| |||||||
12,623,634 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $5,928,229) |
| 12,623,634 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2017
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 2.44% |
| |||||||
MONEY MARKET FUNDS — 2.44% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 7,116,262 | $ | 7,119,108 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%d,e | 937,129 | 937,129 | ||||||
|
| |||||||
8,056,237 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $8,054,217) |
| 8,056,237 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $297,307,276)g | 336,243,141 | |||||||
Other Assets, Less Liabilities — (1.98)% |
| (6,533,276 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 329,709,865 | ||||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | All or a portion of this security represents a security on loan. See Note 1. |
b | Non-income earning security. |
c | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $308,361,766. Net unrealized appreciation was $27,881,375, of which $47,571,395 represented gross unrealized appreciation on securities and $19,690,020 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 315,563,264 | $ | — | $ | 6 | $ | 315,563,270 | ||||||||
Preferred stocks | 12,623,634 | — | — | 12,623,634 | ||||||||||||
Money market funds | 8,056,237 | — | — | 8,056,237 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 336,243,135 | $ | — | $ | 6 | $ | 336,243,141 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL SILVER MINERS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 100.07% |
| |||||||
CANADA — 62.87% |
| |||||||
Alexco Resource Corp.a,b | 354,015 | $ | 580,024 | |||||
Americas Silver Corp.a,b | 176,319 | 549,811 | ||||||
Dalradian Resources Inc.a,b | 751,219 | 697,648 | ||||||
Dundee Precious Metals Inc.a,b | 301,938 | 686,197 | ||||||
Endeavour Silver Corp.a | 293,412 | 1,273,826 | ||||||
Excellon Resources Inc.a,b | 380,273 | 445,032 | ||||||
First Majestic Silver Corp.a,b | 292,472 | 2,658,736 | ||||||
Fortuna Silver Mines Inc.a | 327,898 | 1,864,224 | ||||||
GoGold Resources Inc.a,b | 586,039 | 380,530 | ||||||
Great Panther Silver Ltd.a,b | 455,901 | 836,452 | ||||||
Klondex Mines Ltd.a | 275,720 | 1,467,648 | ||||||
Levon Resources Ltd.a | 1,317,618 | 387,988 | ||||||
MAG Silver Corp.a,b | 146,236 | 2,108,881 | ||||||
Mandalay Resources Corp. | 947,635 | 472,226 | ||||||
Minco Silver Corp.a,b | 426,129 | 402,175 | ||||||
Pan American Silver Corp. | 160,330 | 2,873,823 | ||||||
Primero Mining Corp.a,b | 517,568 | 332,163 | ||||||
Silver Standard Resources Inc.a | 234,850 | 2,610,134 | ||||||
Silver Wheaton Corp. | 715,978 | 13,984,938 | ||||||
Silvercorp Metals Inc.b | 379,608 | 1,467,472 | ||||||
Tahoe Resources Inc. | 454,136 | 3,860,902 | ||||||
|
| |||||||
39,940,830 | ||||||||
CHINA — 0.64% | ||||||||
China Silver Group Ltd.b | 2,034,000 | 403,527 | ||||||
|
| |||||||
403,527 | ||||||||
MEXICO — 7.85% | ||||||||
Industrias Penoles SAB de CV | 208,983 | 4,989,397 | ||||||
|
| |||||||
4,989,397 | ||||||||
PERU — 4.54% | ||||||||
Cia. de Minas Buenaventura SAA ADR | 234,241 | 2,881,164 | ||||||
|
| |||||||
2,881,164 | ||||||||
UNITED KINGDOM — 12.67% | ||||||||
Fresnillo PLC | 338,812 | 6,265,239 | ||||||
Hochschild Mining PLC | 538,902 | 1,785,163 | ||||||
|
| |||||||
8,050,402 | ||||||||
UNITED STATES — 11.50% | ||||||||
Coeur Mining Inc.a | 308,812 | 2,652,695 | ||||||
Hecla Mining Co. | 478,108 | 2,667,843 | ||||||
McEwen Mining Inc. | 471,082 | 1,615,811 | ||||||
Solitario Exploration & Royalty Corp.a | 503,531 | 367,578 | ||||||
|
| |||||||
7,303,927 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $63,116,852) |
| 63,569,247 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 13.19% |
| |||||||
MONEY MARKET FUNDS — 13.19% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 8,344,236 | $ | 8,347,574 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 33,211 | 33,211 | ||||||
|
| |||||||
8,380,785 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $8,378,131) |
| 8,380,785 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $71,494,983)f | 71,950,032 | |||||||
Other Assets, Less Liabilities — (13.26)% |
| (8,425,153 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 63,524,879 | ||||||
|
|
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 | 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 $75,694,205. Net unrealized depreciation was $3,744,173, of which $7,085,417 represented gross unrealized appreciation on securities and $10,829,590 represented gross unrealized depreciation on securities. |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL SILVER MINERS ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 63,569,247 | $ | — | $ | — | $ | 63,569,247 | ||||||||
Money market funds | 8,380,785 | — | — | 8,380,785 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 71,950,032 | $ | — | $ | — | $ | 71,950,032 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares MSCI Global Agriculture Producers ETF | iShares MSCI Global Energy Producers ETF | iShares MSCI Global Gold Miners ETF | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | 32,706,831 | $ | 38,689,656 | $ | 168,746,695 | ||||||
Affiliated (Note 2) | 1,765,265 | 1,124,624 | 3,598,136 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 34,472,096 | $ | 39,814,280 | $ | 172,344,831 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 31,695,876 | $ | 36,609,152 | $ | 144,770,101 | ||||||
Affiliated (Note 2) | 1,819,973 | 1,124,800 | 3,599,332 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 33,515,849 | 37,733,952 | 148,369,433 | |||||||||
Foreign currency, at valueb | 33,670 | 48,745 | 63,242 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | — | — | 2,867,430 | |||||||||
Dividends and interest | 61,238 | 216,825 | 49,995 | |||||||||
Tax reclaims | 56,529 | 735 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 33,667,286 | 38,000,257 | 151,350,100 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | — | — | 2,672,531 | |||||||||
Collateral for securities on loan (Note 1) | 1,086,033 | 1,110,327 | 3,577,101 | |||||||||
Investment advisory fees (Note 2) | 9,280 | 11,202 | 46,752 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 1,095,313 | 1,121,529 | 6,296,384 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 32,571,973 | $ | 36,878,728 | $ | 145,053,716 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 35,753,683 | $ | 40,248,786 | $ | 212,239,644 | ||||||
Undistributed (distributions in excess of) net investment income | 40,421 | 197,390 | (1,519,032 | ) | ||||||||
Accumulated net realized loss | (2,261,785 | ) | (1,488,241 | ) | (41,691,154 | ) | ||||||
Net unrealized depreciation | (960,346 | ) | (2,079,207 | ) | (23,975,742 | ) | ||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 32,571,973 | $ | 36,878,728 | $ | 145,053,716 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 1,250,000 | 1,900,000 | 7,650,000 | d | ||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 26.06 | $ | 19.41 | $ | 18.96 | d | |||||
|
|
|
|
|
|
a | Securities on loan with values of $1,033,030, $1,056,597 and $3,402,492, respectively. See Note 1. |
b | Cost of foreign currency: $33,581, $48,049 and $63,597, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 500 million and 500 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Global Metals & Mining Producers ETF | iShares MSCI Global Silver Miners ETF | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 289,253,059 | $ | 63,116,852 | ||||
Affiliated (Note 2) | 8,054,217 | 8,378,131 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 297,307,276 | $ | 71,494,983 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 328,186,904 | $ | 63,569,247 | ||||
Affiliated (Note 2) | 8,056,237 | 8,380,785 | ||||||
|
|
|
| |||||
Total fair value of investments | 336,243,141 | 71,950,032 | ||||||
Foreign currency, at valueb | 303,127 | 49,582 | ||||||
Receivables: | ||||||||
Investment securities sold | — | 1,873,619 | ||||||
Due from custodian (Note 4) | 1,305,935 | — | ||||||
Dividends and interest | 1,206,891 | 31,575 | ||||||
Capital shares sold | 942,732 | — | ||||||
Tax reclaims | 16,211 | — | ||||||
|
|
|
| |||||
Total Assets | 340,018,037 | 73,904,808 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 3,093,939 | 2,014,544 | ||||||
Collateral for securities on loan (Note 1) | 7,115,704 | 8,344,715 | ||||||
Due to custodian | 4,581 | — | ||||||
Investment advisory fees (Note 2) | 93,948 | 20,670 | ||||||
|
|
|
| |||||
Total Liabilities | 10,308,172 | 10,379,929 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 329,709,865 | $ | 63,524,879 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 305,627,023 | $ | 68,516,194 | ||||
Undistributed (distributions in excess of) net investment income | 276,497 | (1,070,081 | ) | |||||
Accumulated net realized loss | (15,133,232 | ) | (4,376,555 | ) | ||||
Net unrealized appreciation | 38,939,577 | 455,321 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 329,709,865 | $ | 63,524,879 | ||||
|
|
|
| |||||
Shares outstandingc | 11,450,000 | d | 5,400,000 | |||||
|
|
|
| |||||
Net asset value per share | $ | 28.80 | d | $ | 11.76 | |||
|
|
|
|
a | Securities on loan with values of $6,253,259 and $7,896,979, respectively. See Note 1. |
b | Cost of foreign currency: $302,595 and $49,291, respectively. |
c | $0.001 par value, number of shares authorized: 500 million and 500 million, respectively. |
d | Shares outstanding and net asset value per share reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Global Producers ETF | iShares MSCI Global Producers ETF | iShares MSCI Global Gold Miners ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 251,475 | $ | 592,259 | $ | 749,029 | ||||||
Dividends — affiliated (Note 2) | 717 | 76 | 310 | |||||||||
Securities lending income — affiliated — net (Note 2) | 12,881 | 4,972 | 52,818 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 265,073 | 597,307 | 802,157 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 56,056 | 72,446 | 435,384 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 56,056 | 72,446 | 435,384 | |||||||||
Less investment advisory fees waived (Note 2) | (2,563 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Net expenses | 53,493 | 72,446 | 435,384 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 211,580 | 524,861 | 366,773 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (271,496 | ) | (163,717 | ) | (15,318,489 | ) | ||||||
Investments — affiliated (Note 2) | (13 | ) | (20 | ) | 364 | |||||||
In-kind redemptions — unaffiliated | 196,720 | 348,831 | 8,156,712 | |||||||||
In-kind redemptions — affiliated (Note 2) | 9,022 | — | — | |||||||||
Foreign currency transactions | (736 | ) | (3,355 | ) | 46,785 | |||||||
Realized gain distributions from affiliated funds | 3 | 8 | 6 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | (66,500 | ) | 181,747 | (7,114,622 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 2,228,057 | 1,111,569 | (36,788,418 | ) | ||||||||
Translation of assets and liabilities in foreign currencies | (193 | ) | 1,453 | 8,858 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 2,227,864 | 1,113,022 | (36,779,560 | ) | ||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 2,161,364 | 1,294,769 | (43,894,182 | ) | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 2,372,944 | $ | 1,819,630 | $ | (43,527,409 | ) | |||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $10,039, $19,445 and $82,192, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Global Metals & Mining Producers ETF | iShares MSCI Global Silver Miners ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 2,299,678 | $ | 140,686 | ||||
Dividends — affiliated (Note 2) | 495 | 78 | ||||||
Securities lending income — affiliated — net (Note 2) | 67,915 | 132,468 | ||||||
|
|
|
| |||||
Total investment income | 2,368,088 | 273,232 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 513,284 | 142,349 | ||||||
|
|
|
| |||||
Total expenses | 513,284 | 142,349 | ||||||
|
|
|
| |||||
Net investment income | 1,854,804 | 130,883 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (3,801,689 | ) | (1,648,800 | ) | ||||
Investments — affiliated (Note 2) | 1,384 | 205 | ||||||
In-kind redemptions — unaffiliated | 14,051,770 | 4,512,152 | ||||||
Foreign currency transactions | (12,227 | ) | (4,739 | ) | ||||
Realized gain distributions from affiliated funds | 4 | 2 | ||||||
|
|
|
| |||||
Net realized gain | 10,239,242 | 2,858,820 | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments | 57,829,802 | (14,003,636 | ) | |||||
Translation of assets and liabilities in foreign currencies | 5,446 | 611 | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 57,835,248 | (14,003,025 | ) | |||||
|
|
|
| |||||
Net realized and unrealized gain (loss) | 68,074,490 | (11,144,205 | ) | |||||
|
|
|
| |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 69,929,294 | $ | (11,013,322 | ) | |||
|
|
|
|
a | Net of foreign withholding tax of $86,689 and $18,835, respectively. |
See notes to financial statements.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Global Agriculture Producers ETF | iShares MSCI Global Energy Producers ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 211,580 | $ | 611,355 | $ | 524,861 | $ | 1,064,512 | ||||||||
Net realized gain (loss) | (66,500 | ) | (965,789 | ) | 181,747 | (1,072,422 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 2,227,864 | 1,179,886 | 1,113,022 | 3,444,630 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 2,372,944 | 825,452 | 1,819,630 | 3,436,720 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (286,728 | ) | (596,259 | ) | (553,711 | ) | (1,004,806 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (286,728 | ) | (596,259 | ) | (553,711 | ) | (1,004,806 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 4,944,849 | 1,137,540 | 307 | 10,268,692 | ||||||||||||
Cost of shares redeemed | (2,409,972 | ) | (1,055,827 | ) | (1,827,523 | ) | — | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 2,534,877 | 81,713 | (1,827,216 | ) | 10,268,692 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 4,621,093 | 310,906 | (561,297 | ) | 12,700,606 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 27,950,880 | 27,639,974 | 37,440,025 | 24,739,419 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 32,571,973 | $ | 27,950,880 | $ | 36,878,728 | $ | 37,440,025 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed net investment income included in net assets at end of period | $ | 40,421 | $ | 115,569 | $ | 197,390 | $ | 226,240 | ||||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 200,000 | 50,000 | — | 600,000 | ||||||||||||
Shares redeemed | (100,000 | ) | (50,000 | ) | (100,000 | ) | — | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 100,000 | — | (100,000 | ) | 600,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 31 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Global Gold Miners ETF | iShares MSCI Global Metals & Mining Producers ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | Six months February 28, 2017 (Unaudited)a | Year ended August 31, 2016a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 366,773 | $ | 64,262 | $ | 1,854,804 | $ | 2,544,584 | ||||||||
Net realized gain (loss) | (7,114,622 | ) | (7,802,775 | ) | 10,239,242 | (5,727,606 | ) | |||||||||
Net change in unrealized appreciation/depreciation | (36,779,560 | ) | 43,607,604 | 57,835,248 | 18,667,008 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (43,527,409 | ) | 35,869,091 | 69,929,294 | 15,483,986 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,878,891 | ) | (300,013 | ) | (2,219,064 | ) | (2,206,034 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,878,891 | ) | (300,013 | ) | (2,219,064 | ) | (2,206,034 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 53,002,820 | 191,934,458 | 97,207,161 | 159,613,046 | ||||||||||||
Cost of shares redeemed | (128,651,183 | ) | (7,321,308 | ) | (58,389,378 | ) | (18,927,748 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (75,648,363 | ) | 184,613,150 | 38,817,783 | 140,685,298 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (121,054,663 | ) | 220,182,228 | 106,528,013 | 153,963,250 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 266,108,379 | 45,926,151 | 223,181,852 | 69,218,602 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 145,053,716 | $ | 266,108,379 | $ | 329,709,865 | $ | 223,181,852 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (1,519,032 | ) | $ | (6,914 | ) | $ | 276,497 | $ | 640,757 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,600,000 | 8,775,000 | 4,500,000 | 8,050,000 | ||||||||||||
Shares redeemed | (7,500,000 | ) | (350,000 | ) | (3,350,000 | ) | (1,000,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (4,900,000 | ) | 8,425,000 | 1,150,000 | 7,050,000 | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
See notes to financial statements.
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Global Silver Miners ETF | ||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 130,883 | $ | 155,283 | ||||
Net realized gain (loss) | 2,858,820 | (1,145,451 | ) | |||||
Net change in unrealized appreciation/depreciation | (14,003,025 | ) | 20,735,242 | |||||
|
|
|
| |||||
Net increase (decrease) in net assets resulting from operations | (11,013,322 | ) | 19,745,074 | |||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (1,239,904 | ) | (80,025 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (1,239,904 | ) | (80,025 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | — | 58,622,345 | ||||||
Cost of shares redeemed | (11,299,932 | ) | (3,488,063 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in net assets from capital share transactions | (11,299,932 | ) | 55,134,282 | |||||
|
|
|
| |||||
INCREASE (DECREASE) IN NET ASSETS | (23,553,158 | ) | 74,799,331 | |||||
NET ASSETS | ||||||||
Beginning of period | 87,078,037 | 12,278,706 | ||||||
|
|
|
| |||||
End of period | $ | 63,524,879 | $ | 87,078,037 | ||||
|
|
|
| |||||
Undistributed (distributions in excess of) net investment income included in net assets at | $ | (1,070,081 | ) | $ | 38,940 | |||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | — | 4,700,000 | ||||||
Shares redeemed | (1,000,000 | ) | (300,000 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in shares outstanding | (1,000,000 | ) | 4,400,000 | |||||
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 33 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Agriculture Producers ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 24.31 | $ | 24.03 | $ | 27.29 | $ | 24.63 | $ | 24.91 | $ | 24.88 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.18 | 0.54 | 0.50 | 0.58 | 0.50 | 0.28 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 1.80 | 0.27 | (3.21 | ) | 2.63 | (0.46 | ) | (0.05 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.98 | 0.81 | (2.71 | ) | 3.21 | 0.04 | 0.23 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.23 | ) | (0.53 | ) | (0.55 | ) | (0.55 | ) | (0.32 | ) | (0.20 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.23 | ) | (0.53 | ) | (0.55 | ) | (0.55 | ) | (0.32 | ) | (0.20 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 26.06 | $ | 24.31 | $ | 24.03 | $ | 27.29 | $ | 24.63 | $ | 24.91 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 8.19 | %d | 3.55 | % | (10.11 | )% | 13.05 | % | 0.10 | % | 0.97 | %d | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 32,572 | $ | 27,951 | $ | 27,640 | $ | 46,395 | $ | 35,716 | $ | 9,965 | ||||||||||||
Ratio of expenses to average net assetse | 0.37 | % | 0.38 | % | 0.38 | % | 0.38 | % | 0.38 | % | 0.38 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feese | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.47 | % | 2.38 | % | 1.87 | % | 2.17 | % | 1.87 | % | 1.93 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 7 | % | 10 | % | 14 | % | 6 | % | 6 | %d |
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 in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 2%, 7%,10%, 13%, 6% and 6%, respectively. See Note 4. |
See notes to financial statements.
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Energy Producers ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 18.72 | $ | 17.67 | $ | 28.06 | $ | 24.06 | $ | 23.51 | $ | 24.79 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.28 | 0.59 | 0.68 | 0.68 | 0.63 | 0.43 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 0.70 | 1.00 | (10.61 | ) | 3.96 | 0.55 | (1.39 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.98 | 1.59 | (9.93 | ) | 4.64 | 1.18 | (0.96 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.29 | ) | (0.54 | ) | (0.46 | ) | (0.64 | ) | (0.63 | ) | (0.32 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.29 | ) | (0.54 | ) | (0.46 | ) | (0.64 | ) | (0.63 | ) | (0.32 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 19.41 | $ | 18.72 | $ | 17.67 | $ | 28.06 | $ | 24.06 | $ | 23.51 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.16 | %d | 9.31 | % | (35.63 | )% | 19.44 | % | 5.10 | % | (3.77 | )%d | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 36,879 | $ | 37,440 | $ | 24,739 | $ | 8,419 | $ | 4,811 | $ | 4,701 | ||||||||||||
Ratio of expenses to average net assetse | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetse | 2.83 | % | 3.36 | % | 3.23 | % | 2.57 | % | 2.61 | % | 3.16 | % | ||||||||||||
Portfolio turnover ratef | 1 | %d | 6 | % | 4 | % | 8 | % | 6 | % | 5 | %d |
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 in Creation Units but includes portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 1%, 6%, 4%, 8%, 6% and 5%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 35 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Gold Miners ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Period from to Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 21.20 | $ | 11.13 | $ | 22.53 | $ | 23.20 | $ | 40.11 | $ | 50.00 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomec | 0.03 | 0.02 | 0.14 | 0.16 | 0.42 | 0.30 | ||||||||||||||||||
Net realized and unrealized gain (loss)d | (2.04 | ) | 10.11 | (11.42 | ) | (0.67 | ) | (16.95 | ) | (10.02 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (2.01 | ) | 10.13 | (11.28 | ) | (0.51 | ) | (16.53 | ) | (9.72 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.23 | ) | (0.06 | ) | (0.12 | ) | (0.16 | ) | (0.38 | ) | (0.17 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.23 | ) | (0.06 | ) | (0.12 | ) | (0.16 | ) | (0.38 | ) | (0.17 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 18.96 | $ | 21.20 | $ | 11.13 | $ | 22.53 | $ | 23.20 | $ | 40.11 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (9.26 | )%e | 91.17 | % | (50.16 | )% | (2.01 | )% | (41.28 | )% | (19.45 | )%e | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 145,054 | $ | 266,108 | $ | 45,926 | $ | 70,976 | $ | 38,285 | $ | 32,084 | ||||||||||||
Ratio of expenses to average net assetsf | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetsf | 0.33 | % | 0.06 | % | 0.88 | % | 0.81 | % | 1.37 | % | 1.25 | % | ||||||||||||
Portfolio turnover rateg | 15 | %e | 30 | % | 20 | % | 22 | % | 19 | % | 11 | %e |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
b | Commencement of operations. |
c | Based on average shares outstanding throughout each period. |
d | 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. |
e | Not annualized. |
f | Annualized for periods of less than one year. |
g | 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.
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Metals & Mining Producers ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited)a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | Period from to Aug. 31, 2012a | |||||||||||||||||||
Net asset value, beginning of period | $ | 21.67 | $ | 21.30 | $ | 40.37 | $ | 36.23 | $ | 38.01 | $ | 49.52 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomec | 0.18 | 0.42 | 1.62 | 1.00 | 1.00 | 0.74 | ||||||||||||||||||
Net realized and unrealized gain (loss)d | 7.17 | 0.41 | (17.91 | ) | 4.44 | (2.01 | ) | (11.99 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 7.35 | 0.83 | (16.29 | ) | 5.44 | (1.01 | ) | (11.25 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.22 | ) | (0.46 | ) | (2.78 | ) | (1.30 | ) | (0.77 | ) | (0.26 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.22 | ) | (0.46 | ) | (2.78 | ) | (1.30 | ) | (0.77 | ) | (0.26 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 28.80 | $ | 21.67 | $ | 21.30 | $ | 40.37 | $ | 36.23 | $ | 38.01 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 34.06 | %e | 4.52 | % | (41.94 | )% | 15.32 | % | (2.68 | )% | (22.76 | )%e | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 329,710 | $ | 223,182 | $ | 69,219 | $ | 183,699 | $ | 222,808 | $ | 123,524 | ||||||||||||
Ratio of expenses to average net assetsf | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesf | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetsf | 1.41 | % | 2.16 | % | 5.18 | % | 2.53 | % | 2.51 | % | 2.98 | % | ||||||||||||
Portfolio turnover rateg | 5 | %e | 8 | % | 17 | % | 18 | % | 11 | % | 1 | %e |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. See Note 4. |
b | Commencement of operations. |
c | Based on average shares outstanding throughout each period. |
d | 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. |
e | Not annualized. |
f | Annualized for periods of less than one year. |
g | Portfolio turnover rates exclude portfolio securities received or delivered in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 3%, 6%, 10%, 15%, 7% and 1% respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 37 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Silver Miners ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 13.61 | $ | 6.14 | $ | 12.70 | $ | 13.92 | $ | 20.94 | $ | 24.87 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.02 | 0.05 | 0.05 | 0.08 | 0.16 | 0.11 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | (1.64 | ) | 7.44 | (6.42 | ) | (1.15 | ) | (6.90 | ) | (3.90 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (1.62 | ) | 7.49 | (6.37 | ) | (1.07 | ) | (6.74 | ) | (3.79 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.23 | ) | (0.02 | ) | (0.19 | ) | (0.15 | ) | (0.28 | ) | (0.14 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.23 | ) | (0.02 | ) | (0.19 | ) | (0.15 | ) | (0.28 | ) | (0.14 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 11.76 | $ | 13.61 | $ | 6.14 | $ | 12.70 | $ | 13.92 | $ | 20.94 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (11.58 | )%d | 122.11 | % | (50.51 | )% | (7.48 | )% | (32.49 | )% | (15.18 | )%d | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 63,525 | $ | 87,078 | $ | 12,279 | $ | 13,975 | $ | 6,959 | $ | 2,094 | ||||||||||||
Ratio of expenses to average net assetse | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.36 | % | 0.47 | % | 0.57 | % | 0.63 | % | 1.03 | % | 0.86 | % | ||||||||||||
Portfolio turnover ratef | 7 | %d | 27 | % | 31 | % | 22 | % | 13 | % | 9 | %d |
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 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
MSCI Global Agriculture Producers | Non-diversified | |
MSCI Global Energy Producers | Non-diversified | |
MSCI Global Gold Miners | Non-diversified | |
MSCI Global Metals & Mining Producers | Non-diversified | |
MSCI Global Silver Miners | Non-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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
NOTESTO FINANCIAL STATEMENTS | 39 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
• | 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. |
• | Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”). |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Changes in valuation techniques may result in transfers in or out of an assigned level within the fair value hierarchy. In accordance with the Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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.
NOTESTO FINANCIAL STATEMENTS | 41 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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.
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Global Agriculture Producers | ||||||||||||
Barclays Capital Inc. | $ | 40,720 | $ | 40,720 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 85,352 | 85,352 | — | |||||||||
Goldman Sachs & Co. | 504,895 | 504,895 | — | |||||||||
JPMorgan Securities LLC | 31,081 | 31,081 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 216,207 | 216,207 | — | |||||||||
Morgan Stanley & Co. International PLC | 14,883 | 14,883 | — | |||||||||
Morgan Stanley & Co. LLC | 58,922 | 58,922 | — | |||||||||
State Street Bank & Trust Company | 60,802 | 60,802 | — | |||||||||
UBS Securities LLC | 20,168 | 20,168 | — | |||||||||
|
|
|
|
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| |||||||
$ | 1,033,030 | $ | 1,033,030 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Global Energy Producers | ||||||||||||
BNP Paribas Prime Brokerage Inc. | $ | 78,151 | $ | 78,151 | $ | — | ||||||
Citigroup Global Markets Inc. | 8,181 | 8,181 | — | |||||||||
Credit Suisse Securities (USA) LLC | 62,572 | 62,572 | — | |||||||||
Deutsche Bank Securities Inc. | 233 | 233 | — | |||||||||
Goldman Sachs & Co. | 8,324 | 8,324 | — | |||||||||
JPMorgan Securities LLC | 63,386 | 63,386 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 47,700 | 47,700 | — | |||||||||
Morgan Stanley & Co. LLC | 643,143 | 643,143 | — | |||||||||
Nomura Securities International Inc. | 62,852 | 62,852 | — | |||||||||
State Street Bank & Trust Company | 82,055 | 82,055 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 1,056,597 | $ | 1,056,597 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Global Gold Miners | ||||||||||||
Barclays Capital Inc. | $ | 7,009 | $ | 7,009 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 686,734 | 686,734 | — | |||||||||
Goldman Sachs & Co. | 244,110 | 244,110 | — | |||||||||
JPMorgan Securities LLC | 386,280 | 386,280 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,459,438 | 1,459,438 | — | |||||||||
Morgan Stanley & Co. LLC | 461,745 | 461,745 | — | |||||||||
Nomura Securities International Inc. | 153,220 | 153,220 | — | |||||||||
UBS AG | 3,956 | 3,956 | — | |||||||||
|
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|
|
|
| |||||||
$ | 3,402,492 | $ | 3,402,492 | $ | — | |||||||
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|
| |||||||
NOTESTO FINANCIAL STATEMENTS | 43 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Global Metals & Mining Producers | ||||||||||||
BMO Capital Markets | $ | 7,230 | $ | 7,230 | $ | — | ||||||
Citigroup Global Markets Inc. | 97,125 | 97,125 | — | |||||||||
Credit Suisse Securities (USA) LLC | 658,643 | 658,643 | — | |||||||||
Deutsche Bank Securities Inc. | 3 | 3 | — | |||||||||
HSBC Bank PLC | 1,695,247 | 1,695,247 | — | |||||||||
Jefferies LLC | 357,563 | 357,563 | — | |||||||||
JPMorgan Securities LLC | 328,451 | 328,451 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 514,424 | 514,424 | — | |||||||||
Morgan Stanley & Co. LLC | 1,484,434 | 1,484,434 | — | |||||||||
Scotia Capital (USA) Inc. | 167,640 | 167,640 | — | |||||||||
SG Americas Securities LLC | 193,038 | 193,038 | — | |||||||||
State Street Bank & Trust Company | 59,632 | 59,632 | — | |||||||||
UBS AG | 635,361 | 635,361 | — | |||||||||
UBS Securities LLC | 54,468 | 54,468 | — | |||||||||
|
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| |||||||
$ | 6,253,259 | $ | 6,253,259 | $ | — | |||||||
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|
| |||||||
MSCI Global Silver Miners | ||||||||||||
Barclays Capital Inc. | $ | 9,067 | $ | 9,067 | $ | — | ||||||
Citigroup Global Markets Inc. | 1,467,472 | 1,461,991 | (5,481 | ) | ||||||||
Credit Suisse Securities (USA) LLC | 1,222,834 | 1,222,834 | — | |||||||||
Goldman Sachs & Co. | 406,559 | 406,559 | — | |||||||||
JPMorgan Securities LLC | 1,052,422 | 1,052,422 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 416,375 | 416,375 | — | |||||||||
Morgan Stanley & Co. LLC | 3,271,813 | 3,271,813 | — | |||||||||
State Street Bank & Trust Company | 50,437 | 50,437 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 7,896,979 | $ | 7,891,498 | $ | (5,481 | ) | ||||||
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|
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| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s statement of assets and liabilities. |
b | Additional collateral is delivered to the Funds 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 |
Pursuant to an Investment Advisory Agreement with the Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
For its investment advisory services to each Fund, BFA is entitled to an annual investment advisory fee of 0.39% based on the average daily net assets of each Fund.
In addition, each of the iShares MSCI Global Agriculture Producers and iShares MSCI Global Metals & Mining Producers ETFs may incur its pro rata share of fees and expenses attributable to its investments in other investment companies (“acquired fund
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
fees and expenses”). BFA has contractually agreed to waive a portion of its investment advisory fees for each Fund through December 31, 2023 in an amount equal to the acquired fund fees and expenses, if any, attributable to each Fund’s investments in other iShares funds.
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Global Agriculture Producers | $ | 2,755 | ||
MSCI Global Energy Producers | 1,064 | |||
MSCI Global Gold Miners | 10,990 | |||
MSCI Global Metals & Mining Producers | 14,955 | |||
MSCI Global Silver Miners | 28,723 |
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.
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.
NOTESTO FINANCIAL STATEMENTS | 45 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Global Agriculture Producers | $ | 35,272 | $ | 74,717 | ||||
MSCI Global Energy Producers | 30,905 | 89,295 | ||||||
MSCI Global Gold Miners | 982,793 | 1,773,796 | ||||||
MSCI Global Metals & Mining Producers | 77,183 | 166,216 | ||||||
MSCI Global Silver Miners | 222,021 | 30,919 |
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.
The iShares MSCI Global Agriculture Producers and iShares MSCI Global Metals & Mining Producers ETFs, in order to improve their portfolio liquidity and their ability to track their respective underlying index, may invest in shares of other iShares funds that invest in securities in each Fund’s respective underlying index.
Certain directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Global Agriculture Producers | $ | 673,452 | $ | 696,279 | ||||
MSCI Global Energy Producers | 493,178 | 600,773 | ||||||
MSCI Global Gold Miners | 33,054,032 | 39,778,129 | ||||||
MSCI Global Metals & Mining Producers | 18,185,272 | 14,125,088 | ||||||
MSCI Global Silver Miners | 4,790,186 | 6,155,003 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Global Agriculture Producers | $ | 4,674,827 | $ | 2,227,078 | ||||
MSCI Global Energy Producers | — | 1,764,139 | ||||||
MSCI Global Gold Miners | 49,386,047 | 118,607,890 | ||||||
MSCI Global Metals & Mining Producers | 84,435,699 | 50,967,202 | ||||||
MSCI Global Silver Miners | — | 10,966,489 |
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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.
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.
The Board authroized a one-for-two reverse stock split for each of the iShares MSCI Global Gold Miners ETF and iShares Global Metals & Mining Producers ETF, effective after the close of trading on November 4, 2016. The impact of the stock split was to decrease the number of shares outstanding by a factor of two, while increasing the NAV per share by a factor of two, resulting in no effect on the net assets of the Funds. The financial statements for the Fund have been adjusted to reflect the reverse stock split.
5. | 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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
NOTESTO FINANCIAL STATEMENTS | 47 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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.
The economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
When a fund concentrates its investments in securities within a single or limited number of market sectors, it assumes the risk that economic, political and social conditions affecting those market sectors may have a significant impact on its investment performance.
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
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
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, the Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:
iShares ETF | Non- Expiring | |||
MSCI Global Agriculture Producers | $ | 1,515,500 | ||
MSCI Global Energy Producers | 477,249 | |||
MSCI Global Gold Miners | 13,627,904 | |||
MSCI Global Metals & Mining Producers | 12,611,075 | |||
MSCI Global Silver Miners | 3,202,603 |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
7. | 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 | 49 |
Table of Contents
Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
iShares ETF | Net Investment Income | Net Realized Capital Gains | Return Capital | Total Share | Net Investment | Net Realized Gains | Return of Capital | Total per Share | ||||||||||||||||||||||||
MSCI Global Agriculture Producers | $ | 0.208052 | $ | — | $ | 0.021330 | $ | 0.229382 | 91 | % | — | % | 9 | % | 100 | % | ||||||||||||||||
MSCI Global Energy Producers | 0.275212 | — | 0.016215 | 0.291427 | 94 | — | 6 | 100 | ||||||||||||||||||||||||
MSCI Global Metals & Mining Producers | 0.151152 | 0.065342 | 0.216494 | 70 | — | 30 | 100 | |||||||||||||||||||||||||
MSCI Global Silver Miners | 0.225437 | — | — | 0.225437 | 100 | — | — | 100 |
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-812-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Currency Hedged MSCI Emerging Markets ETF | HEEM | NYSE Arca |
Ø | iShares Edge MSCI Min Vol EM Currency Hedged ETF | HEMV | BATS |
Ø | iShares Edge MSCI Min Vol Emerging Markets ETF | EEMV | NYSE Arca |
Ø | iShares MSCI Emerging Markets ETF | EEM | NYSE Arca |
Table of Contents
5 | ||||
11 | ||||
11 | ||||
12 | ||||
12 | ||||
16 | ||||
iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | 19 | |||
24 | ||||
39 | ||||
45 | ||||
49 | ||||
65 |
Table of Contents
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
Performance as of February 28, 2017
The iShares Currency Hedged MSCI Emerging Markets ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization emerging market equities while mitigating exposure to fluctuations between the value of the component currencies and the U.S. dollar, as represented by the MSCI Emerging Markets 100% Hedged to USD Index (“the Index”).
The Index sells forward the non-U.S. dollar currencies in which the constituent securities are denominated in an amount equal to those securities at a one-month forward rate to effectively create a “hedge” against fluctuations in the relative value of the component currencies in relation to the U.S. dollar. In order to replicate the “hedging” component of the Index, the Fund enters into foreign currency forward contracts designed to offset the Fund’s exposure to the component currencies.
The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares MSCI Emerging Markets ETF. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 3.04%, net of fees, while the total return for the Index was 3.50%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 17.97% | 18.18% | 19.91% | 17.97% | 18.18% | 19.91% | ||||||||||||||||||||||
Since Inception | 0.00% | 0.06% | 0.64% | 0.00% | 0.16% | 1.56% |
The inception date of the Fund was 9/23/14. The first day of secondary market trading was 9/25/14.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a,b | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a,b | Annualized Expense Ratio a | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,030.40 | $ | 0.00 | $ | 1,000.00 | $ | 1,024.80 | $ | 0.00 | 0.00% |
a | Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests. |
b | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
ALLOCATION BY SECTOR1
As of 2/28/17
Sector | Percentage of Total Investments 2 |
Financials | 24.49 | % | ||
Information Technology | 23.89 | |||
Consumer Discretionary | 10.33 | |||
Materials | 7.64 | |||
Energy | 7.35 | |||
Consumer Staples | 7.00 | |||
Industrials | 5.81 | |||
Telecommunication Services | 5.60 | |||
Utilities | 2.85 | |||
Real Estate | 2.58 | |||
Health Care | 2.46 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES1
As of 2/28/17
Country | Percentage of Total Investments 2 |
China | 26.98 | % | ||
South Korea | 14.66 | |||
Taiwan | 12.34 | |||
India | 8.56 | |||
Brazil | 8.19 | |||
South Africa | 6.85 | |||
Russia | 3.81 | |||
Mexico | 3.44 | |||
Indonesia | 2.47 | |||
Malaysia | 2.43 | |||
|
| |||
TOTAL | 89.73 | % | ||
|
|
1 | Table shown is for the iShares MSCI Emerging Markets ETF, the underlying fund in which the Fund invests. |
2 | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
Performance as of February 28, 2017
The iShares Edge MSCI Min Vol EM Currency Hedged ETF (the “Fund”) seeks to track the investment results of an index composed of emerging market equities that, in the aggregate, have lower volatility characteristics relative to the broader emerging equity markets while mitigating exposure to fluctuations between the value of the component currencies and the U.S. dollar, as represented by the MSCI Emerging Markets Minimum Volatility (USD) 100% Hedged to USD Index (“the Index”).
The Index sells forward the non-U.S. dollar currencies in which the constituent securities are denominated in an amount equal to those securities at a one-month forward rate to effectively create a “hedge” against fluctuations in the relative value of the component currencies in relation to the U.S. dollar. In order to replicate the “hedging” component of the Index, the Fund enters into foreign currency forward contracts designed to offset the Fund’s exposure to the component currencies.
The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. The Fund currently seeks to achieve its investment objective by investing a substantial portion of its assets in one underlying fund, the iShares Edge MSCI Min Vol Emerging Markets ETF. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -2.18%, net of fees, while the total return for the Index was -1.11%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 7.20% | 6.96% | 9.97% | 7.20% | 6.96% | 9.97% | ||||||||||||||||||||||
Since Inception | 0.89% | 1.15% | 1.16% | 1.19% | 1.54% | 1.56% |
The inception date of the Fund was 10/29/15. The first day of secondary market trading was 11/2/15.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a,b | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a,b | Annualized Expense Ratio a | ||||||||||||||||||||
$ | 1,000.00 | $ | 978.20 | $ | 0.15 | $ | 1,000.00 | $ | 1,024.60 | $ | 0.15 | 0.03% |
a | Annualized expense ratio and expenses paid during the period do not include fees and expenses of the underlying fund in which the Fund invests. |
b | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
ALLOCATION BY SECTOR1
As of 2/28/17
Sector | Percentage of Total Investments 2 |
Financials | 22.42 | % | ||
Information Technology | 19.35 | |||
Consumer Staples | 12.16 | |||
Telecommunication Services | 10.57 | |||
Utilities | 7.53 | |||
Industrials | 7.17 | |||
Health Care | 7.15 | |||
Consumer Discretionary | 6.85 | |||
Energy | 3.10 | |||
Materials | 2.28 | |||
Real Estate | 1.42 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES1
As of 2/28/17
Country | Percentage of Total Investments 2 |
China | 22.48 | % | ||
Taiwan | 17.72 | |||
South Korea | 9.73 | |||
Malaysia | 7.21 | |||
Thailand | 6.65 | |||
India | 6.24 | |||
Indonesia | 4.52 | |||
Philippines | 3.60 | |||
Chile | 3.51 | |||
Mexico | 3.10 | |||
|
| |||
TOTAL | 84.76 | % | ||
|
|
1 | Table shown is for the iShares Edge MSCI Min Vol Emerging Markets ETF, the underlying fund in which the Fund invests. |
2 | Excludes money market funds. |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
Performance as of February 28, 2017
The iShares Edge MSCI Min Vol Emerging Markets ETF (the “Fund”) seeks to track the investment results of an index composed of emerging market equities that, in the aggregate, have lower volatility characteristics relative to the broader emerging equity markets, as represented by the MSCI Emerging Markets Minimum Volatility (USD) Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was -1.11%, net of fees, while the total return for the Index was -1.04%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 14.28% | 12.99% | 14.60% | 14.28% | 12.99% | 14.60% | ||||||||||||||||||||||
5 Years | 0.78% | 0.64% | 0.94% | 3.98% | 3.26% | 4.78% | ||||||||||||||||||||||
Since Inception | 3.59% | 3.46% | 3.79% | 20.86% | 20.04% | 22.11% |
The inception date of the Fund was 10/18/11. The first day of secondary market trading was 10/20/11.
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 988.90 | $ | 1.23 | $ | 1,000.00 | $ | 1,023.60 | $ | 1.25 | 0.25% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 22.42 | % | ||
Information Technology | 19.35 | |||
Consumer Staples | 12.16 | |||
Telecommunication Services | 10.57 | |||
Utilities | 7.53 | |||
Industrials | 7.17 | |||
Health Care | 7.15 | |||
Consumer Discretionary | 6.85 | |||
Energy | 3.10 | |||
Materials | 2.28 | |||
Real Estate | 1.42 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
China | 22.48 | % | ||
Taiwan | 17.72 | |||
South Korea | 9.73 | |||
Malaysia | 7.21 | |||
Thailand | 6.65 | |||
India | 6.24 | |||
Indonesia | 4.52 | |||
Philippines | 3.60 | |||
Chile | 3.51 | |||
Mexico | 3.10 | |||
|
| |||
TOTAL | 84.76 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS ETF
Performance as of February 28, 2017
The iShares MSCI Emerging Markets ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization emerging market equities, as represented by the MSCI Emerging Markets Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.22%, net of fees, while the total return for the Index was 5.51%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 28.71% | 27.81% | 29.46% | 28.71% | 27.81% | 29.46% | ||||||||||||||||||||||
5 Years | (0.94)% | (0.99)% | (0.37)% | (4.62)% | (4.85)% | (1.86)% | ||||||||||||||||||||||
10 Years | 2.23% | 2.11% | 2.86% | 24.69% | 23.25% | 32.62% |
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 11 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,052.20 | $ | 3.56 | $ | 1,000.00 | $ | 1,021.30 | $ | 3.51 | 0.70% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 11 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 24.49 | % | ||
Information Technology | 23.89 | |||
Consumer Discretionary | 10.33 | |||
Materials | 7.64 | |||
Energy | 7.35 | |||
Consumer Staples | 7.00 | |||
Industrials | 5.81 | |||
Telecommunication Services | 5.60 | |||
Utilities | 2.85 | |||
Real Estate | 2.58 | |||
Health Care | 2.46 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
China | 26.98 | % | ||
South Korea | 14.66 | |||
Taiwan | 12.34 | |||
India | 8.56 | |||
Brazil | 8.19 | |||
South Africa | 6.85 | |||
Russia | 3.81 | |||
Mexico | 3.44 | |||
Indonesia | 2.47 | |||
Malaysia | 2.43 | |||
|
| |||
TOTAL | 89.73 | % | ||
|
|
* | Excludes money market funds. |
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
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.
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 September 1, 2016 and held through February 28, 2017, 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 11 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
INVESTMENT COMPANIES — 99.75% |
| |||||||
EXCHANGE-TRADED FUNDS — 99.75% |
| |||||||
iShares MSCI Emerging Markets ETFa,b | 6,954,406 | $ | 264,197,884 | |||||
|
| |||||||
264,197,884 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $264,336,485) |
| 264,197,884 | ||||||
SHORT-TERM INVESTMENTS — 41.89% |
| |||||||
MONEY MARKET FUNDS — 41.89% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%c,d,e | 110,755,267 | 110,799,569 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%c,d | 143,125 | 143,125 | ||||||
|
| |||||||
110,942,694 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $110,927,876) |
| 110,942,694 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $375,264,361)f | $ | 375,140,578 | ||||||
Other Assets, Less Liabilities — (41.64)% |
| (110,277,773 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 264,862,805 | |||||
|
|
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 $381,836,930. Net unrealized depreciation was $6,696,352, of which $14,819 represented gross unrealized appreciation on securities and $6,711,171 represented gross unrealized depreciation on securities. |
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
iShares MSCI Emerging Markets ETF | 4,928,896 | 3,335,157 | (1,309,647 | ) | 6,954,406 | $ | 264,197,884 | $ | 2,269,535 | $ | 205,945 | |||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — Forward Currency Contracts (Note 6)
Forward currency contracts outstanding as of February 28, 2017 were as follows:
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
BRL | 872,000 | USD | 279,219 | CITI | 03/03/2017 | $ | 1,004 | |||||||||||||||||
BRL | 2,057,000 | USD | 648,282 | MS | 03/03/2017 | 12,748 | ||||||||||||||||||
EUR | 2,492,000 | USD | 2,637,236 | CITI | 03/03/2017 | 2,880 | ||||||||||||||||||
EUR | 2,474,000 | USD | 2,618,946 | MS | 03/03/2017 | 2,101 | ||||||||||||||||||
INR | 19,241,000 | USD | 286,965 | CITI | 03/03/2017 | 1,378 | ||||||||||||||||||
INR | 25,737,000 | USD | 383,637 | MS | 03/03/2017 | 2,054 | ||||||||||||||||||
KRW | 59,448,663,000 | USD | 52,460,048 | CITI | 03/03/2017 | 114,494 | ||||||||||||||||||
KRW | 59,491,851,000 | USD | 52,499,818 | MS | 03/03/2017 | 112,918 | ||||||||||||||||||
MXN | 2,430,000 | USD | 119,563 | CITI | 03/03/2017 | 1,365 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2017
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
MXN | 4,264,000 | USD | 207,249 | MS | 03/03/2017 | $ | 4,947 | |||||||||||||||||
RUB | 10,250,000 | USD | 169,034 | MS | 03/03/2017 | 6,617 | ||||||||||||||||||
TRY | 132,000 | USD | 35,799 | CITI | 03/03/2017 | 454 | ||||||||||||||||||
TRY | 133,000 | USD | 36,258 | MS | 03/03/2017 | 269 | ||||||||||||||||||
TWD | 17,938,000 | USD | 580,687 | CITI | 03/03/2017 | 3,230 | ||||||||||||||||||
TWD | 691,630,500 | USD | 22,489,784 | MS | 03/03/2017 | 24,124 | ||||||||||||||||||
USD | 679,928 | BRL | 2,111,000 | CITI | 03/03/2017 | 1,544 | ||||||||||||||||||
USD | 7,079 | BRL | 22,000 | MS | 03/03/2017 | 9 | ||||||||||||||||||
USD | 2,303,823 | CLP | 1,495,948,500 | CITI | 03/03/2017 | 3,403 | ||||||||||||||||||
USD | 44,203 | CLP | 28,671,000 | MS | 03/03/2017 | 114 | ||||||||||||||||||
USD | 2,568,989 | EUR | 2,405,000 | CITI | 03/03/2017 | 21,044 | ||||||||||||||||||
USD | 2,754,782 | EUR | 2,580,000 | MS | 03/03/2017 | 21,436 | ||||||||||||||||||
USD | 27,821,817 | HKD | 215,806,500 | CITI | 03/03/2017 | 21,691 | ||||||||||||||||||
USD | 28,521,714 | HKD | 221,232,500 | MS | 03/03/2017 | 22,613 | ||||||||||||||||||
USD | 275,275 | MXN | 5,519,000 | CITI | 03/03/2017 | 624 | ||||||||||||||||||
USD | 269,215 | RUB | 15,501,000 | CITI | 03/03/2017 | 3,580 | ||||||||||||||||||
USD | 2,957 | RUB | 170,000 | MS | 03/03/2017 | 44 | ||||||||||||||||||
USD | 36,624 | TRY | 132,000 | CITI | 03/03/2017 | 371 | ||||||||||||||||||
USD | 85,088 | TRY | 309,000 | MS | 03/03/2017 | 223 | ||||||||||||||||||
USD | 10,887 | TWD | 334,000 | CITI | 03/03/2017 | 14 | ||||||||||||||||||
USD | 4,462 | ZAR | 58,000 | CITI | 03/03/2017 | 41 | ||||||||||||||||||
ZAR | 3,157,000 | USD | 236,205 | CITI | 03/03/2017 | 4,424 | ||||||||||||||||||
ZAR | 6,118,000 | USD | 458,744 | MS | 03/03/2017 | 7,576 | ||||||||||||||||||
BRL | 14,000 | USD | 4,459 | MS | 04/05/2017 | 5 | ||||||||||||||||||
HKD | 2,558,000 | USD | 329,664 | MS | 04/05/2017 | 6 | ||||||||||||||||||
RUB | 55,024,000 | USD | 933,878 | MS | 04/05/2017 | 1,582 | ||||||||||||||||||
USD | 10,714,079 | BRL | 33,369,000 | CITI | 04/05/2017 | 73,987 | ||||||||||||||||||
USD | 2,258,038 | CLP | 1,459,663,500 | CITI | 04/05/2017 | 17,607 | ||||||||||||||||||
USD | 2,088,433 | CLP | 1,349,159,500 | MS | 04/05/2017 | 17,614 | ||||||||||||||||||
USD | 196,887 | EUR | 185,000 | MS | 04/05/2017 | 587 | ||||||||||||||||||
USD | 27,108,079 | HKD | 210,294,500 | CITI | 04/05/2017 | 5,725 | ||||||||||||||||||
USD | 28,865,990 | HKD | 223,934,500 | MS | 04/05/2017 | 5,739 | ||||||||||||||||||
USD | 11,013,938 | INR | 737,284,000 | CITI | 04/05/2017 | 6,866 | ||||||||||||||||||
USD | 11,479,498 | INR | 768,781,000 | MS | 04/05/2017 | 2,201 | ||||||||||||||||||
USD | 25,587,267 | KRW | 29,008,284,500 | CITI | 04/05/2017 | 6,332 | ||||||||||||||||||
USD | 25,347,426 | KRW | 28,738,911,500 | MS | 04/05/2017 | 4,038 | ||||||||||||||||||
USD | 4,859,764 | MXN | 96,852,500 | CITI | 04/05/2017 | 63,341 | ||||||||||||||||||
USD | 4,700,427 | MXN | 93,719,500 | MS | 04/05/2017 | 59,160 | ||||||||||||||||||
USD | 5,040,183 | RUB | 293,510,000 | CITI | 04/05/2017 | 50,234 | ||||||||||||||||||
USD | 4,682,080 | RUB | 272,778,000 | MS | 04/05/2017 | 44,595 | ||||||||||||||||||
USD | 2,874,225 | TRY | 10,451,000 | MS | 04/05/2017 | 29,698 | ||||||||||||||||||
USD | 9,891,409 | ZAR | 128,844,500 | CITI | 04/05/2017 | 127,053 | ||||||||||||||||||
USD | 9,079,163 | ZAR | 118,467,500 | MS | 04/05/2017 | 101,218 | ||||||||||||||||||
|
| |||||||||||||||||||||||
1,016,922 | ||||||||||||||||||||||||
|
| |||||||||||||||||||||||
BRL | 33,369,000 | USD | 10,816,532 | CITI | 03/03/2017 | (93,181 | ) | |||||||||||||||||
BRL | 34,740,000 | USD | 11,171,787 | MS | 03/03/2017 | (7,856 | ) | |||||||||||||||||
CLP | 1,495,948,500 | USD | 2,318,773 | CITI | 03/03/2017 | (18,353 | ) | |||||||||||||||||
CLP | 1,440,083,500 | USD | 2,229,207 | MS | 03/03/2017 | (14,694 | ) | |||||||||||||||||
EUR | 65,000 | USD | 68,927 | CITI | 03/03/2017 | (64 | ) | |||||||||||||||||
EUR | 107,000 | USD | 115,661 | MS | 03/03/2017 | (2,301 | ) | |||||||||||||||||
HKD | 215,806,500 | USD | 27,809,168 | CITI | 03/03/2017 | (9,042 | ) | |||||||||||||||||
HKD | 221,232,500 | USD | 28,507,446 | MS | 03/03/2017 | (8,344 | ) | |||||||||||||||||
INR | 737,284,000 | USD | 11,056,054 | CITI | 03/03/2017 | (7,231 | ) | |||||||||||||||||
INR | 756,358,000 | USD | 11,338,000 | MS | 03/03/2017 | (3,337 | ) | |||||||||||||||||
MXN | 96,852,500 | USD | 4,883,248 | CITI | 03/03/2017 | (63,418 | ) | |||||||||||||||||
MXN | 92,564,500 | USD | 4,666,387 | MS | 03/03/2017 | (59,947 | ) |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2017
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
RUB | 300,376,000 | USD | 5,199,899 | CITI | 03/03/2017 | $ | (52,462 | ) | ||||||||||||||||
RUB | 279,823,000 | USD | 4,843,859 | MS | 03/03/2017 | (48,630 | ) | |||||||||||||||||
TRY | 10,439,000 | USD | 2,897,382 | MS | 03/03/2017 | (30,385 | ) | |||||||||||||||||
TWD | 717,099,500 | USD | 23,343,083 | CITI | 03/03/2017 | (109 | ) | |||||||||||||||||
TWD | 17,889,000 | USD | 583,401 | MS | 03/03/2017 | (1,079 | ) | |||||||||||||||||
USD | 9,924,018 | BRL | 32,130,000 | CITI | 03/03/2017 | (401,172 | ) | |||||||||||||||||
USD | 11,671,856 | BRL | 36,775,000 | MS | 03/03/2017 | (146,036 | ) | |||||||||||||||||
USD | 2,169,735 | CLP | 1,411,412,500 | MS | 03/03/2017 | (689 | ) | |||||||||||||||||
USD | 160,285 | EUR | 152,000 | CITI | 03/03/2017 | (749 | ) | |||||||||||||||||
USD | 1,058 | EUR | 1,000 | MS | 03/03/2017 | (2 | ) | |||||||||||||||||
USD | 11,112,738 | INR | 756,525,000 | CITI | 03/03/2017 | (224,428 | ) | |||||||||||||||||
USD | 11,481,110 | INR | 782,095,000 | MS | 03/03/2017 | (239,243 | ) | |||||||||||||||||
USD | 51,575,099 | KRW | 59,448,663,000 | CITI | 03/03/2017 | (999,442 | ) | |||||||||||||||||
USD | 51,587,808 | KRW | 59,491,851,000 | MS | 03/03/2017 | (1,024,928 | ) | |||||||||||||||||
USD | 4,499,282 | MXN | 93,763,500 | CITI | 03/03/2017 | (166,825 | ) | |||||||||||||||||
USD | 4,645,606 | MXN | 96,828,500 | MS | 03/03/2017 | (173,030 | ) | |||||||||||||||||
USD | 4,705,916 | RUB | 284,875,000 | CITI | 03/03/2017 | (175,886 | ) | |||||||||||||||||
USD | 4,786,942 | RUB | 289,903,000 | MS | 03/03/2017 | (181,024 | ) | |||||||||||||||||
USD | 2,681,536 | TRY | 10,263,000 | MS | 03/03/2017 | (137,125 | ) | |||||||||||||||||
USD | 23,371,260 | TWD | 734,703,500 | CITI | 03/03/2017 | (544,759 | ) | |||||||||||||||||
USD | 22,549,107 | TWD | 709,519,500 | MS | 03/03/2017 | (547,123 | ) | |||||||||||||||||
USD | 9,693,290 | ZAR | 131,943,500 | CITI | 03/03/2017 | (363,565 | ) | |||||||||||||||||
USD | 9,139,921 | ZAR | 124,721,500 | MS | 03/03/2017 | (366,467 | ) | |||||||||||||||||
ZAR | 128,844,500 | USD | 9,948,760 | CITI | 03/03/2017 | (128,113 | ) | |||||||||||||||||
ZAR | 118,603,500 | USD | 9,142,403 | MS | 03/03/2017 | (102,335 | ) | |||||||||||||||||
CLP | 13,488,000 | USD | 20,727 | MS | 04/05/2017 | (25 | ) | |||||||||||||||||
EUR | 2,000 | USD | 2,122 | MS | 04/05/2017 | — | ||||||||||||||||||
INR | 3,981,000 | USD | 59,478 | MS | 04/05/2017 | (45 | ) | |||||||||||||||||
KRW | 2,837,877,000 | USD | 2,514,340 | MS | 04/05/2017 | (11,760 | ) | |||||||||||||||||
MXN | 4,857,000 | USD | 241,759 | MS | 04/05/2017 | (1,226 | ) | |||||||||||||||||
RUB | 9,100,000 | USD | 154,879 | MS | 04/05/2017 | (170 | ) | |||||||||||||||||
TRY | 198,000 | USD | 54,310 | MS | 04/05/2017 | (419 | ) | |||||||||||||||||
USD | 11,116,157 | BRL | 34,872,000 | MS | 04/05/2017 | (3,185 | ) | |||||||||||||||||
USD | 3,556 | CLP | 2,319,000 | MS | 04/05/2017 | (3 | ) | |||||||||||||||||
USD | 2,641,358 | EUR | 2,492,000 | CITI | 04/05/2017 | (2,863 | ) | |||||||||||||||||
USD | 2,551,950 | EUR | 2,407,000 | MS | 04/05/2017 | (2,079 | ) | |||||||||||||||||
ZAR | 5,514,000 | USD | 419,097 | MS | 04/05/2017 | (1,223 | ) | |||||||||||||||||
TWD | 21,443,000 | USD | 701,944 | MS | 04/06/2017 | (2,306 | ) | |||||||||||||||||
USD | 23,381,138 | TWD | 717,099,500 | CITI | 04/06/2017 | (16,218 | ) | |||||||||||||||||
USD | 22,334,198 | TWD | 685,881,500 | MS | 04/06/2017 | (44,584 | ) | |||||||||||||||||
|
| |||||||||||||||||||||||
(6,429,480 | ) | |||||||||||||||||||||||
|
| |||||||||||||||||||||||
Net unrealized depreciation | $ | (5,412,558 | ) | |||||||||||||||||||||
|
| |||||||||||||||||||||||
Counterparties:
CITI — Citibank N.A. London
MS — Morgan Stanley and Co. International PLC
Currency abbreviations:
BRL — Brazilian Real
CLP — Chilean Peso
EUR — Euro
HKD — Hong Kong Dollar
INR — Indian Rupee
KRW — South Korean Won
MXN — Mexican Peso
RUB — New Russian Ruble
TRY — Turkish Lira
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2017
TWD — Taiwan New Dollar
USD — United States Dollar
ZAR — South African Rand
Schedule 3 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Investment companies | $ | 264,197,884 | $ | — | $ | — | $ | 264,197,884 | ||||||||
Money market funds | 110,942,694 | — | — | 110,942,694 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 375,140,578 | $ | — | $ | — | $ | 375,140,578 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Forward currency contracts | $ | — | $ | 1,016,922 | $ | — | $ | 1,016,922 | ||||||||
Liabilities: | ||||||||||||||||
Forward currency contracts | — | (6,429,480 | ) | — | (6,429,480 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | — | $ | (5,412,558 | ) | $ | — | $ | (5,412,558 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2017
Security | Shares | Value | ||||||
INVESTMENT COMPANIES — 99.89% |
| |||||||
EXCHANGE-TRADED FUNDS — 99.89% |
| |||||||
iShares Edge MSCI Min Vol Emerging Markets ETFa | 115,012 | $ | 5,947,271 | |||||
|
| |||||||
5,947,271 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $5,868,445) |
| 5,947,271 | ||||||
SHORT-TERM INVESTMENTS — 0.05% |
| |||||||
MONEY MARKET FUNDS — 0.05% |
| |||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%b,c | 2,653 | 2,653 | ||||||
|
| |||||||
2,653 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,653) |
| 2,653 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $5,871,098)d | $ | 5,949,924 | ||||||
Other Assets, Less Liabilities — 0.06% |
| 3,830 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 5,953,754 | |||||
|
|
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 $5,883,263. Net unrealized appreciation was $66,661, of which $78,826 represented gross unrealized appreciation on securities and $12,165 represented gross unrealized depreciation on securities. |
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
iShares Edge MSCI Min Vol Emerging Markets ETF | 115,665 | 79,048 | (79,701 | ) | 115,012 | $ | 5,947,271 | $ | 137,030 | $ | 11,188 | |||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — Forward Currency Contracts (Note 6)
Forward currency contracts outstanding as of February 28, 2017 were as follows:
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
BRL | 1,000 | USD | 316 | CITI | 03/03/2017 | $ | 6 | |||||||||||||||||
BRL | 11,000 | USD | 3,467 | MS | 03/03/2017 | 68 | ||||||||||||||||||
INR | 315,000 | USD | 4,633 | MS | 03/03/2017 | 87 | ||||||||||||||||||
KRW | 1,267,495,000 | USD | 1,118,668 | CITI | 03/03/2017 | 2,265 | ||||||||||||||||||
KRW | 1,257,493,000 | USD | 1,109,750 | MS | 03/03/2017 | 2,337 | ||||||||||||||||||
MXN | 199,000 | USD | 9,546 | MS | 03/03/2017 | 357 | ||||||||||||||||||
PLN | 707,000 | USD | 173,541 | MS | 03/03/2017 | 351 | ||||||||||||||||||
RUB | 12,000 | USD | 198 | MS | 03/03/2017 | 8 | ||||||||||||||||||
TWD | 654,000 | USD | 21,002 | CITI | 03/03/2017 | 287 | ||||||||||||||||||
TWD | 29,984,500 | USD | 974,995 | MS | 03/03/2017 | 1,058 | ||||||||||||||||||
USD | 119,660 | CLP | 77,747,000 | CITI | 03/03/2017 | 104 | ||||||||||||||||||
USD | 1,174,119 | HKD | 9,106,000 | MS | 03/03/2017 | 1,087 | ||||||||||||||||||
USD | 250 | PLN | 1,000 | MS | 03/03/2017 | 4 |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2017
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
ZAR | 66,000 | USD | 4,870 | MS | 03/03/2017 | $ | 160 | |||||||||||||||||
BRL | 7,000 | USD | 2,231 | MS | 04/05/2017 | 1 | ||||||||||||||||||
CLP | 13,000 | USD | 20 | MS | 04/05/2017 | — | ||||||||||||||||||
HKD | 53,000 | USD | 6,830 | MS | 04/05/2017 | — | ||||||||||||||||||
RUB | 336,000 | USD | 5,703 | MS | 04/05/2017 | 10 | ||||||||||||||||||
USD | 80,912 | BRL | 252,000 | CITI | 04/05/2017 | 559 | ||||||||||||||||||
USD | 117,737 | CLP | 76,109,000 | CITI | 04/05/2017 | 918 | ||||||||||||||||||
USD | 118,152 | CLP | 76,328,000 | MS | 04/05/2017 | 996 | ||||||||||||||||||
USD | 19,977 | HKD | 155,000 | MS | 04/05/2017 | 1 | ||||||||||||||||||
USD | 1,171,785 | HKD | 9,090,000 | RBS | 04/05/2017 | 284 | ||||||||||||||||||
USD | 179,001 | INR | 11,982,500 | CITI | 04/05/2017 | 112 | ||||||||||||||||||
USD | 180,612 | INR | 12,095,500 | MS | 04/05/2017 | 36 | ||||||||||||||||||
USD | 559,008 | KRW | 633,747,500 | CITI | 04/05/2017 | 138 | ||||||||||||||||||
USD | 549,268 | KRW | 622,759,500 | MS | 04/05/2017 | 87 | ||||||||||||||||||
USD | 188,710 | MXN | 3,759,000 | GS | 04/05/2017 | 2,553 | ||||||||||||||||||
USD | 1,387 | MXN | 28,000 | MS | 04/05/2017 | — | ||||||||||||||||||
USD | 6,892 | PLN | 28,000 | MS | 04/05/2017 | 9 | ||||||||||||||||||
USD | 19,791 | RUB | 1,152,500 | CITI | 04/05/2017 | 197 | ||||||||||||||||||
USD | 19,610 | RUB | 1,142,500 | MS | 04/05/2017 | 187 | ||||||||||||||||||
USD | 120,288 | ZAR | 1,567,000 | CITI | 04/05/2017 | 1,535 | ||||||||||||||||||
TWD | 48,000 | USD | 1,566 | MS | 04/06/2017 | — | ||||||||||||||||||
|
| |||||||||||||||||||||||
15,802 | ||||||||||||||||||||||||
|
| |||||||||||||||||||||||
BRL | 252,000 | USD | 81,686 | CITI | 03/03/2017 | (704 | ) | |||||||||||||||||
BRL | 242,000 | USD | 77,814 | MS | 03/03/2017 | (45 | ) | |||||||||||||||||
CLP | 77,747,000 | USD | 120,489 | CITI | 03/03/2017 | (932 | ) | |||||||||||||||||
CLP | 77,747,000 | USD | 120,340 | MS | 03/03/2017 | (783 | ) | |||||||||||||||||
HKD | 16,000 | USD | 2,063 | MS | 03/03/2017 | (2 | ) | |||||||||||||||||
HKD | 9,090,000 | USD | 1,171,317 | RBS | 03/03/2017 | (346 | ) | |||||||||||||||||
INR | 11,982,500 | USD | 179,685 | CITI | 03/03/2017 | (117 | ) | |||||||||||||||||
INR | 11,667,500 | USD | 174,899 | MS | 03/03/2017 | (51 | ) | |||||||||||||||||
MXN | 3,759,000 | USD | 189,577 | GS | 03/03/2017 | (2,512 | ) | |||||||||||||||||
PLN | 10,000 | USD | 2,496 | MS | 03/03/2017 | (37 | ) | |||||||||||||||||
RUB | 1,152,500 | USD | 19,955 | CITI | 03/03/2017 | (205 | ) | |||||||||||||||||
RUB | 1,142,500 | USD | 19,773 | MS | 03/03/2017 | (195 | ) | |||||||||||||||||
TWD | 29,330,500 | USD | 954,769 | CITI | 03/03/2017 | (4 | ) | |||||||||||||||||
USD | 78,144 | BRL | 253,000 | CITI | 03/03/2017 | (3,159 | ) | |||||||||||||||||
USD | 80,384 | BRL | 253,000 | MS | 03/03/2017 | (919 | ) | |||||||||||||||||
USD | 119,519 | CLP | 77,747,000 | MS | 03/03/2017 | (38 | ) | |||||||||||||||||
USD | 175,822 | INR | 11,982,500 | CITI | 03/03/2017 | (3,746 | ) | |||||||||||||||||
USD | 175,890 | INR | 11,982,500 | MS | 03/03/2017 | (3,678 | ) | |||||||||||||||||
USD | 1,098,812 | KRW | 1,267,495,000 | CITI | 03/03/2017 | (22,121 | ) | |||||||||||||||||
USD | 1,090,067 | KRW | 1,257,493,000 | MS | 03/03/2017 | (22,020 | ) | |||||||||||||||||
USD | 189,251 | MXN | 3,958,000 | RBS | 03/03/2017 | (7,718 | ) | |||||||||||||||||
USD | 176,030 | PLN | 716,000 | SSB | 03/03/2017 | (76 | ) | |||||||||||||||||
USD | 19,038 | RUB | 1,152,500 | CITI | 03/03/2017 | (712 | ) | |||||||||||||||||
USD | 19,063 | RUB | 1,154,500 | MS | 03/03/2017 | (721 | ) | |||||||||||||||||
USD | 952,494 | TWD | 29,984,500 | CITI | 03/03/2017 | (23,560 | ) | |||||||||||||||||
USD | 952,796 | TWD | 29,984,500 | MS | 03/03/2017 | (23,257 | ) | |||||||||||||||||
USD | 119,017 | ZAR | 1,633,000 | UBS | 03/03/2017 | (5,452 | ) | |||||||||||||||||
ZAR | 1,567,000 | USD | 120,983 | CITI | 03/03/2017 | (1,545 | ) | |||||||||||||||||
CLP | 4,188,000 | USD | 6,436 | MS | 04/05/2017 | (8 | ) | |||||||||||||||||
KRW | 46,930,000 | USD | 41,589 | MS | 04/05/2017 | (204 | ) | |||||||||||||||||
MXN | 58,000 | USD | 2,887 | MS | 04/05/2017 | (15 | ) | |||||||||||||||||
PLN | 1,000 | USD | 246 | MS | 04/05/2017 | — | ||||||||||||||||||
RUB | 36,000 | USD | 613 | MS | 04/05/2017 | (1 | ) | |||||||||||||||||
USD | 77,144 | BRL | 242,000 | MS | 04/05/2017 | (21 | ) |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2017
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
USD | 173,449 | PLN | 707,000 | MS | 04/05/2017 | $ | (354 | ) | ||||||||||||||||
ZAR | 43,000 | USD | 3,268 | MS | 04/05/2017 | (9 | ) | |||||||||||||||||
TWD | 1,404,000 | USD | 45,960 | MS | 04/06/2017 | (151 | ) | |||||||||||||||||
USD | 956,325 | TWD | 29,330,500 | CITI | 04/06/2017 | (663 | ) | |||||||||||||||||
USD | 967,063 | TWD | 29,698,500 | MS | 04/06/2017 | (1,933 | ) | |||||||||||||||||
|
| |||||||||||||||||||||||
(128,014 | ) | |||||||||||||||||||||||
|
| |||||||||||||||||||||||
Net unrealized depreciation | $ | (112,212 | ) | |||||||||||||||||||||
|
| |||||||||||||||||||||||
Counterparties:
CITI — Citibank N.A. London
GS — Goldman Sachs International
MS — Morgan Stanley and Co. International PLC
RBS — Royal Bank of Scotland
SSB — State Street Bank London
UBS — UBS AG London
Currency abbreviations:
BRL — Brazilian Real
CLP — Chilean Peso
HKD — Hong Kong Dollar
INR — Indian Rupee
KRW — South Korean Won
MXN — Mexican Peso
PLN — Polish Zloty
RUB — New Russian Ruble
TWD — Taiwan New Dollar
USD — United States Dollar
ZAR — South African Rand
Schedule 3 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Investment companies | $ | 5,947,271 | $ | — | $ | — | $ | 5,947,271 | ||||||||
Money market funds | 2,653 | — | — | 2,653 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 5,949,924 | $ | — | $ | — | $ | 5,949,924 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Forward currency contracts | $ | — | $ | 15,802 | $ | — | $ | 15,802 | ||||||||
Liabilities: | ||||||||||||||||
Forward currency contracts | — | (128,014 | ) | — | (128,014 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | — | $ | (112,212 | ) | $ | — | $ | (112,212 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 99.07% |
| |||||||
BRAZIL — 2.60% |
| |||||||
Ambev SA | 3,959,200 | $ | 22,703,995 | |||||
BRF SA | 282,200 | 3,684,656 | ||||||
CETIP SA – Mercados Organizados | 496,300 | 7,474,013 | ||||||
Cielo SA | 3,110,897 | 27,279,097 | ||||||
CPFL Energia SA | 1,134,400 | 9,312,946 | ||||||
EDP – Energias do Brasil SA | 496,300 | 2,190,356 | ||||||
Equatorial Energia SA | 567,200 | 10,851,734 | ||||||
Raia Drogasil SA | 636,300 | 12,149,219 | ||||||
|
| |||||||
95,646,016 | ||||||||
CHILE — 3.49% |
| |||||||
Aguas Andinas SA Series A | 45,899,147 | 24,738,022 | ||||||
Banco de Chile | 416,888,913 | 50,493,294 | ||||||
Banco de Credito e Inversiones | 91,857 | 4,956,989 | ||||||
Cia. Cervecerias Unidas SA | 164,024 | 1,942,895 | ||||||
Colbun SA | 20,110,615 | 3,995,874 | ||||||
Empresas COPEC SA | 338,653 | 3,552,341 | ||||||
Enel Generacion Chile SA | 5,871,635 | 3,995,340 | ||||||
SACI Falabella | 4,260,383 | 34,839,676 | ||||||
|
| |||||||
128,514,431 | ||||||||
CHINA — 22.39% |
| |||||||
3SBio Inc.a,b,c | 6,009,500 | 7,315,960 | ||||||
AAC Technologies Holdings Inc. | 2,474,500 | 26,060,120 | ||||||
Agricultural Bank of China Ltd. Class H | 28,280,000 | 13,042,583 | ||||||
Alibaba Group Holding Ltd. ADRa | 50,197 | 5,165,271 | ||||||
ANTA Sports Products Ltd.c | 4,242,000 | 12,842,208 | ||||||
Baidu Inc.a | 48,076 | 8,371,474 | ||||||
Bank of China Ltd. Class H | 70,700,000 | 35,794,240 | ||||||
Bank of Communications Co. Ltd. Class H | 4,922,000 | 3,924,944 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 8,444,000 | 9,050,503 | ||||||
Beijing Enterprises Water Group Ltd. | 2,828,000 | 2,021,965 | ||||||
China CITIC Bank Corp. Ltd. Class H | 7,777,000 | 5,339,991 | ||||||
China Communications Services Corp. Ltd. Class H | 16,968,000 | 11,344,862 | ||||||
China Construction Bank Corp. Class H | 38,885,000 | 32,009,887 |
Security | Shares | Value | ||||||
China Everbright Bank Co. Ltd. Class H | 21,210,000 | $ | 10,738,272 | |||||
China Gas Holdings Ltd.c | 1,414,000 | 2,098,472 | ||||||
China Huarong Asset Management Co. Ltd. Class Ha,b,c | 8,484,000 | 3,355,369 | ||||||
China Huishan Dairy Holdings Co. Ltd.c | 71,407,000 | 26,125,241 | ||||||
China Medical System Holdings Ltd.c | 8,484,000 | 13,814,937 | ||||||
China Mengniu Dairy Co. Ltd. | 7,777,000 | 15,328,678 | ||||||
China Merchants Port Holdings Co. Ltd. | 1,132,000 | 3,157,225 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 2,461,100 | 2,809,080 | ||||||
China Mobile Ltd. | 3,888,500 | 42,880,225 | ||||||
China Petroleum & Chemical Corp. Class H | 25,244,000 | 19,577,438 | ||||||
China Resources Beer Holdings Co. Ltd.a | 5,216,000 | 11,839,808 | ||||||
China Resources Gas Group Ltd.c | 5,644,000 | 17,232,034 | ||||||
China Resources Power Holdings Co. Ltd. | 2,834,000 | 5,133,178 | ||||||
China Telecom Corp. Ltd. Class H | 4,242,000 | 1,994,641 | ||||||
COSCO SHIPPING Ports Ltd.c | 5,596,000 | 6,235,841 | ||||||
CSPC Pharmaceutical Group Ltd. | 25,452,000 | 31,149,186 | ||||||
Fullshare Holdings Ltd.c | 37,380,000 | 14,494,625 | ||||||
Guangdong Investment Ltd. | 32,522,000 | 44,326,567 | ||||||
Hengan International Group Co. Ltd.c | 2,978,000 | 25,435,449 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 35,350,000 | 23,179,731 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 21,210,000 | 27,979,620 | ||||||
Lenovo Group Ltd.c | 5,656,000 | 3,395,443 | ||||||
Netease Inc. | 90,496 | 27,606,710 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 190,890 | 9,240,985 | ||||||
PetroChina Co. Ltd. Class H | 2,828,000 | 2,153,119 | ||||||
Semiconductor Manufacturing International Corp.a,c | 14,283,000 | 18,584,120 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 5,656,000 | $ | 3,402,730 | |||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 8,752,700 | 12,910,233 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 2,898,700 | 7,468,518 | ||||||
Shenzhou International Group Holdings Ltd.c | 6,587,000 | 39,373,754 | ||||||
Sino Biopharmaceutical Ltd. | 21,210,000 | 18,306,978 | ||||||
Sinopharm Group Co. Ltd. Class H | 848,800 | 3,925,554 | ||||||
Sun Art Retail Group Ltd. | 14,140,000 | 13,625,492 | ||||||
TAL Education Group Class A ADRa | 320,271 | 27,693,833 | ||||||
Tencent Holdings Ltd. | 2,050,300 | 54,675,019 | ||||||
TravelSky Technology Ltd. Class H | 6,363,000 | 13,885,979 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 1,674,000 | 7,698,832 | ||||||
Want Want China Holdings Ltd.c | 3,535,000 | 2,276,987 | ||||||
Yum China Holdings Inc.a | 332,997 | 8,854,390 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 22,624,000 | 25,443,967 | ||||||
Zijin Mining Group Co. Ltd. Class H | 5,656,000 | 2,134,903 | ||||||
|
| |||||||
823,827,171 | ||||||||
COLOMBIA — 0.12% |
| |||||||
Corp. Financiera Colombiana SA | 446,926 | 4,487,077 | ||||||
|
| |||||||
4,487,077 | ||||||||
CZECH REPUBLIC — 0.57% |
| |||||||
CEZ AS | 98,980 | 1,753,553 | ||||||
Komercni Banka AS | 291,284 | 10,505,338 | ||||||
Moneta Money Bank ASa,b | 647,612 | 2,172,404 | ||||||
O2 Czech Republic AS | 601,657 | 6,459,342 | ||||||
|
| |||||||
20,890,637 | ||||||||
EGYPT — 0.43% |
| |||||||
Commercial International Bank Egypt SAE | 3,510,608 | 15,962,157 | ||||||
|
| |||||||
15,962,157 | ||||||||
HUNGARY — 0.93% |
| |||||||
MOL Hungarian Oil & Gas PLC | 180,285 | 12,390,461 | ||||||
Richter Gedeon Nyrt | 986,972 | 21,937,351 | ||||||
|
| |||||||
34,327,812 |
Security | Shares | Value | ||||||
INDIA — 6.22% |
| |||||||
Asian Paints Ltd. | 1,677,711 | $ | 25,754,553 | |||||
Aurobindo Pharma Ltd. | 431,270 | 4,377,421 | ||||||
Cadila Healthcare Ltd. | 310,988 | 2,052,084 | ||||||
Cipla Ltd. | 297,647 | 2,604,014 | ||||||
Coal India Ltd. | 447,531 | 2,159,217 | ||||||
Dabur India Ltd. | 6,028,589 | 25,020,197 | ||||||
Divi’s Laboratories Ltd. | 897,890 | 10,212,479 | ||||||
Dr. Reddy’s Laboratories Ltd. | 147,763 | 6,311,826 | ||||||
HCL Technologies Ltd. | 682,962 | 8,599,627 | ||||||
Hindustan Unilever Ltd. | 1,008,889 | 13,093,725 | ||||||
Infosys Ltd. | 1,817,697 | 27,581,998 | ||||||
Lupin Ltd. | 156,562 | 3,459,118 | ||||||
Marico Ltd. | 2,931,222 | 12,354,243 | ||||||
Sun Pharmaceuticals Industries Ltd. | 1,354,612 | 13,785,953 | ||||||
Tata Consultancy Services Ltd. | 829,311 | 30,655,374 | ||||||
Tech Mahindra Ltd. | 1,816,990 | 13,600,447 | ||||||
Titan Co. Ltd. | 519,448 | 3,403,881 | ||||||
Wipro Ltd. | 3,248,665 | 23,800,618 | ||||||
|
| |||||||
228,826,775 | ||||||||
INDONESIA — 4.50% |
| |||||||
Bank Central Asia Tbk PT | 35,279,300 | 40,871,715 | ||||||
Gudang Garam Tbk PT | 772,200 | 3,812,940 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 35,137,900 | 10,196,736 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 8,484,000 | 5,296,138 | ||||||
Indofood Sukses Makmur Tbk PT | 15,129,800 | 9,217,878 | ||||||
Jasa Marga Persero Tbk PT | 5,161,595 | 1,850,062 | ||||||
Kalbe Farma Tbk PT | 149,318,400 | 17,130,860 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 141,753,500 | 40,923,139 | ||||||
Tower Bersama Infrastructure Tbk PT | 10,110,100 | 3,790,529 | ||||||
Unilever Indonesia Tbk PT | 10,251,500 | 32,420,292 | ||||||
|
| |||||||
165,510,289 | ||||||||
MALAYSIA — 7.18% |
| |||||||
Berjaya Sports Toto Bhd | 2,474,598 | 1,627,438 | ||||||
DiGi.Com Bhdc | 3,322,900 | 3,771,941 | ||||||
HAP Seng Consolidated Bhdc | 1,063,500 | 2,165,324 | ||||||
Hartalega Holdings Bhd | 1,696,800 | 1,857,308 | ||||||
Hong Leong Bank Bhd | 9,049,600 | 27,678,732 | ||||||
IHH Healthcare Bhd | 35,844,900 | 48,519,786 |
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Malayan Banking Bhdc | 20,573,700 | $ | 39,849,960 | |||||
Maxis Bhdc | 18,806,200 | 26,726,829 | ||||||
Petronas Chemicals Group Bhd | 6,575,100 | 10,736,368 | ||||||
Petronas Dagangan Bhd | 1,060,500 | 5,851,858 | ||||||
Petronas Gas Bhd | 5,514,600 | 24,865,381 | ||||||
Public Bank Bhd | 10,322,280 | 46,403,763 | ||||||
Telekom Malaysia Bhdc | 7,140,700 | 9,906,917 | ||||||
Tenaga Nasional Bhd | 3,817,800 | 11,642,570 | ||||||
Westports Holdings Bhd | 2,906,900 | 2,625,376 | ||||||
|
| |||||||
264,229,551 | ||||||||
MEXICO — 3.09% |
| |||||||
Arca Continental SAB de CV | 3,888,500 | 21,882,689 | ||||||
Coca-Cola Femsa SAB de CV Series L | 565,600 | 3,732,899 | ||||||
El Puerto de Liverpool SAB de CV Series C1 | 3,230,990 | 22,675,230 | ||||||
Fibra Uno Administracion SA de CV | 1,414,000 | 2,055,287 | ||||||
Gruma SAB de CV Series B | 664,580 | 8,806,219 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 2,545,200 | 22,128,355 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 448,945 | 7,132,955 | ||||||
Grupo Bimbo SAB de CV | 777,700 | 1,844,596 | ||||||
Infraestructura Energetica Nova SAB de CV | 1,626,100 | 6,989,072 | ||||||
Wal-Mart de Mexico SAB de CV | 8,342,600 | 16,253,105 | ||||||
|
| |||||||
113,500,407 | ||||||||
PERU — 1.19% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 281,386 | 3,461,048 | ||||||
Credicorp Ltd. | 243,915 | 40,153,287 | ||||||
|
| |||||||
43,614,335 | ||||||||
PHILIPPINES — 3.58% |
| |||||||
Aboitiz Equity Ventures Inc. | 16,466,030 | 24,085,032 | ||||||
Aboitiz Power Corp. | 26,583,200 | 22,763,668 | ||||||
Bank of the Philippine Islands | 12,704,794 | 23,782,747 | ||||||
BDO Unibank Inc. | 10,870,473 | 25,003,279 | ||||||
Jollibee Foods Corp. | 4,447,030 | 17,871,366 | ||||||
Metropolitan Bank & Trust Co. | 4,842,951 | 7,811,989 | ||||||
Robinsons Land Corp. | 2,686,600 | 1,267,996 | ||||||
Security Bank Corp. | 494,900 | 1,970,139 | ||||||
Universal Robina Corp. | 2,269,470 | 7,231,210 | ||||||
|
| |||||||
131,787,426 |
Security | Shares | Value | ||||||
POLAND — 1.50% |
| |||||||
Bank Pekao SA | 408,646 | $ | 14,084,995 | |||||
Bank Zachodni WBK SA | 84,044 | 7,266,281 | ||||||
Cyfrowy Polsat SAa | 548,976 | 3,131,327 | ||||||
Eurocash SA | 168,266 | 1,375,850 | ||||||
Grupa Lotos SAa | 300,410 | 3,597,950 | ||||||
PGE Polska Grupa Energetyczna SA | 5,408,550 | 15,811,319 | ||||||
Polski Koncern Naftowy ORLEN SA | 428,442 | 9,939,842 | ||||||
|
| |||||||
55,207,564 | ||||||||
QATAR — 2.55% |
| |||||||
Commercial Bank QSC (The) | 923,342 | 7,860,928 | ||||||
Doha Bank QSC | 435,810 | 4,649,837 | ||||||
Masraf Al Rayan QSC | 238,259 | 2,623,875 | ||||||
Qatar Electricity & Water Co. QSC | 497,728 | 30,755,592 | ||||||
Qatar Gas Transport Co. Ltd. | 500,940 | 3,239,859 | ||||||
Qatar Insurance Co. SAQ | 509,287 | 10,154,270 | ||||||
Qatar Islamic Bank SAQ | 641,249 | 17,962,897 | ||||||
Qatar National Bank SAQ | 401,662 | 16,656,632 | ||||||
|
| |||||||
93,903,890 | ||||||||
RUSSIA — 0.28% | ||||||||
Rosneft Oil Co. PJSC | 371,300 | 2,115,224 | ||||||
Rosneft Oil Co. PJSC GDR | 1,454,084 | 8,244,656 | ||||||
|
| |||||||
10,359,880 | ||||||||
SOUTH AFRICA — 1.92% | ||||||||
Bidvest Group Ltd. (The) | 387,232 | 4,589,350 | ||||||
Fortress Income Fund Ltd. Class A | 7,078,484 | 9,416,332 | ||||||
New Europe Property Investments PLC | 887,285 | 10,019,266 | ||||||
Pick n Pay Stores Ltd. | 1,952,027 | 10,364,547 | ||||||
SPAR Group Ltd. (The) | 725,382 | 9,899,135 | ||||||
Tiger Brands Ltd. | 79,184 | 2,530,498 | ||||||
Vodacom Group Ltd. | 2,082,822 | 23,603,724 | ||||||
|
| |||||||
70,422,852 | ||||||||
SOUTH KOREA — 9.62% | ||||||||
AmorePacific Group | 48,783 | 5,608,481 | ||||||
Cheil Worldwide Inc. | 180,285 | 3,021,358 | ||||||
CJ CheilJedang Corp. | 12,726 | 4,102,257 | ||||||
CJ Korea Express Corp.a,c | 53,025 | 8,089,156 | ||||||
Coway Co. Ltd. | 70,700 | 5,595,976 | ||||||
Dongbu Insurance Co. Ltd. | 461,671 | 24,946,361 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
E-MART Inc. | 26,866 | $ | 4,941,966 | |||||
Hyundai Marine & Fire Insurance Co. Ltd. | 395,213 | 11,324,255 | ||||||
Kakao Corp.a,c | 36,057 | 2,723,208 | ||||||
Kangwon Land Inc.a | 730,331 | 22,831,927 | ||||||
Kia Motors Corp. | 231,189 | 7,820,455 | ||||||
Korea Electric Power Corp.a | 349,258 | 13,466,857 | ||||||
KT Corp. | 262,836 | 7,077,919 | ||||||
KT&G Corp. | 400,869 | 36,337,893 | ||||||
LG Display Co. Ltd. | 95,445 | 2,312,795 | ||||||
Lotte Confectionery Co. Ltd.a | 24,038 | 4,156,028 | ||||||
Lotte Shopping Co. Ltd. | 12,726 | 2,599,784 | ||||||
NAVER Corp. | 48,791 | 33,483,808 | ||||||
NCsoft Corp. | 70,700 | 17,131,815 | ||||||
S-1 Corp. | 331,583 | 26,684,991 | ||||||
Samsung Electronics Co. Ltd. | 12,726 | 21,631,105 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 94,031 | 21,205,311 | ||||||
Samsung Life Insurance Co. Ltd. | 265,832 | 25,155,007 | ||||||
SK Hynix Inc. | 294,112 | 12,146,832 | ||||||
SK Telecom Co. Ltd. | 134,330 | 27,501,565 | ||||||
Yuhan Corp. | 9,668 | 1,915,217 | ||||||
|
| |||||||
353,812,327 | ||||||||
TAIWAN — 17.66% | ||||||||
Advanced Semiconductor Engineering Inc. | 2,831,000 | 3,515,311 | ||||||
Advantech Co. Ltd. | 2,672,481 | 22,746,555 | ||||||
Asia Cement Corp. | 4,242,125 | 4,197,458 | ||||||
Asustek Computer Inc. | 1,689,000 | 15,255,342 | ||||||
Chicony Electronics Co. Ltd. | 9,901,801 | 23,333,617 | ||||||
China Airlines Ltd. | 36,057,828 | 11,853,599 | ||||||
Chunghwa Telecom Co. Ltd. | 15,554,000 | 51,638,257 | ||||||
Delta Electronics Inc. | 2,360,000 | 13,135,222 | ||||||
EVA Airways Corp. | 5,656,643 | 2,807,747 | ||||||
Far EasTone Telecommunications Co. Ltd. | 19,089,000 | 45,977,379 | ||||||
First Financial Holding Co. Ltd. | 57,267,627 | 33,831,023 | ||||||
Formosa Chemicals & Fibre Corp. | 707,300 | 2,237,686 | ||||||
Formosa Petrochemical Corp. | 6,363,000 | 22,160,268 | ||||||
Formosa Plastics Corp. | 5,759,840 | 17,360,040 | ||||||
Formosa Taffeta Co. Ltd. | 9,852,000 | 10,004,798 | ||||||
Foxconn Technology Co. Ltd. | 3,257,331 | 9,722,110 | ||||||
Hon Hai Precision Industry Co. Ltd. | 12,726,125 | 37,072,215 |
Security | Shares | Value | ||||||
Hua Nan Financial Holdings Co. Ltd. | 50,197,033 | $ | 27,611,758 | |||||
Lite-On Technology Corp. | 20,503,752 | 34,369,236 | ||||||
Novatek Microelectronics Corp. | 541,000 | 2,024,997 | ||||||
OBI Pharma Inc.a | 226,000 | 2,570,899 | ||||||
Powertech Technology Inc. | 2,822,000 | 8,193,155 | ||||||
President Chain Store Corp. | 2,830,000 | 20,771,234 | ||||||
Quanta Computer Inc. | 2,828,000 | 5,863,381 | ||||||
Siliconware Precision Industries Co. Ltd. | 14,240,000 | 22,432,861 | ||||||
Standard Foods Corp. | 1,771,497 | 4,439,770 | ||||||
Synnex Technology International Corp. | 14,847,000 | 16,309,543 | ||||||
TaiMed Biologics Inc.a | 349,000 | 2,084,447 | ||||||
Taiwan Business Bank | 14,847,967 | 4,064,361 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 96,859,321 | 46,185,788 | ||||||
Taiwan Mobile Co. Ltd. | 14,140,000 | 49,705,275 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 9,142,000 | 56,238,319 | ||||||
Transcend Information Inc. | 3,535,000 | 9,929,549 | ||||||
United Microelectronics Corp. | 6,363,000 | 2,640,593 | ||||||
WPG Holdings Ltd. | 5,656,000 | 7,179,651 | ||||||
|
| |||||||
649,463,444 | ||||||||
THAILAND — 6.62% | ||||||||
Advanced Info Service PCL NVDR | 1,892,200 | 9,052,940 | ||||||
Airports of Thailand PCL NVDR | 15,418,000 | 17,116,142 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 38,920,000 | 22,411,712 | ||||||
Bangkok Expressway & Metro PCL | 72,666,700 | 14,676,777 | ||||||
BTS Group Holdings PCL NVDR | 103,171,600 | 24,237,072 | ||||||
Bumrungrad Hospital PCL NVDR | 3,081,500 | 15,537,494 | ||||||
Central Pattana PCL NVDR | 1,190,100 | 1,875,220 | ||||||
CP ALL PCL NVDR | 15,681,900 | 26,956,039 | ||||||
Delta Electronics Thailand PCL NVDR | 8,955,200 | 23,731,389 | ||||||
Electricity Generating PCL NVDR | 2,380,800 | 14,118,852 | ||||||
Energy Absolute PCL NVDRc | 6,023,600 | 4,314,220 | ||||||
Glow Energy PCL NVDR | 3,569,300 | 7,975,975 | ||||||
Home Product Center PCL NVDR | 26,115,300 | 7,369,489 |
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Kasikornbank PCL NVDR | 1,489,500 | $ | 8,171,757 | |||||
KCE Electronics PCL NVDR | 4,878,300 | 13,731,159 | ||||||
Minor International PCL NVDRc | 3,291,500 | 3,229,688 | ||||||
Robinson Department Store PCL NVDR | 3,362,200 | 5,923,860 | ||||||
Siam Cement PCL (The) Foreign | 1,201,900 | 17,767,412 | ||||||
Thai Oil PCL NVDR | 2,522,900 | 5,438,920 | ||||||
|
| |||||||
243,636,117 | ||||||||
UNITED ARAB EMIRATES — 2.63% |
| |||||||
DP World Ltd. | 976,367 | 20,669,689 | ||||||
Dubai Islamic Bank PJSC | 3,971,926 | 6,759,575 | ||||||
DXB Entertainments PJSCa | 3,751,802 | 1,103,321 | ||||||
Emirates Telecommunications Group Co. PJSC | 5,203,520 | 24,937,223 | ||||||
First Gulf Bank PJSC | 4,409,559 | 16,389,511 | ||||||
National Bank of Abu Dhabi PJSC | 9,359,973 | 26,760,985 | ||||||
|
| |||||||
96,620,304 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,458,308,298) |
| 3,644,550,462 | ||||||
PREFERRED STOCKS — 0.53% |
| |||||||
COLOMBIA — 0.22% |
| |||||||
Grupo de Inversiones Suramericana SA | 670,943 | 8,150,453 | ||||||
|
| |||||||
8,150,453 | ||||||||
RUSSIA — 0.24% | ||||||||
Transneft PJSC | 2,799 | 8,695,946 | ||||||
|
| |||||||
8,695,946 |
Security | Shares | Value | ||||||
SOUTH KOREA — 0.07% | ||||||||
Samsung Electronics Co. Ltd. | 2,121 | $ | 2,806,116 | |||||
|
| |||||||
2,806,116 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $16,418,083) |
| 19,652,515 | ||||||
SHORT-TERM INVESTMENTS — 2.39% |
| |||||||
MONEY MARKET FUNDS — 2.39% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%d,e,f | 87,847,124 | 87,882,263 | ||||||
|
| |||||||
87,882,263 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $87,853,006) |
| 87,882,263 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $3,562,579,387)g | 3,752,085,240 | |||||||
Other Assets, Less Liabilities — (1.99)% |
| (73,260,933 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 3,678,824,307 | ||||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. 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 $3,637,498,759. Net unrealized appreciation was $114,586,481, of which $355,471,112 represented gross unrealized appreciation on securities and $240,884,631 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the Consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 3,644,550,462 | $ | — | $ | — | $ | 3,644,550,462 | ||||||||
Preferred stocks | 19,652,515 | — | — | 19,652,515 | ||||||||||||
Money market funds | 87,882,263 | — | — | 87,882,263 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,752,085,240 | $ | — | $ | — | $ | 3,752,085,240 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 94.88% |
| |||||||
BRAZIL — 4.71% |
| |||||||
AES Tiete Energia SA | 1,240,400 | $ | 6,407,338 | |||||
Ambev SA | 30,833,815 | 176,816,220 | ||||||
Banco Bradesco SA | 5,494,608 | 57,630,684 | ||||||
Banco do Brasil SA | 5,651,274 | 60,127,666 | ||||||
Banco Santander Brasil SA Units | 2,771,600 | 30,611,436 | ||||||
BB Seguridade Participacoes SA | 4,566,800 | 42,012,798 | ||||||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 11,320,200 | 69,209,323 | ||||||
BR Malls Participacoes SAa | 3,760,820 | 18,036,462 | ||||||
BRF SA | 3,985,985 | 52,044,587 | ||||||
CCR SA | 7,747,000 | 45,047,647 | ||||||
Centrais Eletricas Brasileiras SAa | 1,235,100 | 8,531,758 | ||||||
CETIP SA – Mercados Organizados | 1,445,129 | 21,762,872 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 2,273,924 | 24,032,986 | ||||||
Cia. Siderurgica Nacional SAa | 4,101,928 | 15,795,917 | ||||||
Cielo SA | 6,661,597 | 58,414,775 | ||||||
Cosan SA Industria e Comercio | 811,900 | 10,412,989 | ||||||
CPFL Energia SA | 1,333,367 | 10,946,382 | ||||||
Duratex SA | 2,037,255 | 5,526,979 | ||||||
EDP – Energias do Brasil SA | 1,973,600 | 8,710,231 | ||||||
Embraer SA | 4,384,100 | 25,267,410 | ||||||
Engie Brasil Energia SA | 1,052,300 | 12,508,535 | ||||||
Equatorial Energia SA | 1,312,000 | 25,101,331 | ||||||
Fibria Celulose SA | 1,643,461 | 14,041,528 | ||||||
Hypermarcas SA | 2,280,000 | 19,853,809 | ||||||
JBS SA | 4,654,065 | 17,503,234 | ||||||
Klabin SA Units | 3,641,000 | 18,140,630 | ||||||
Kroton Educacional SA | 9,101,780 | 39,994,000 | ||||||
Localiza Rent A Car SA | 1,047,189 | 12,969,525 | ||||||
Lojas Americanas SA | 1,093,750 | 4,711,106 | ||||||
Lojas Renner SA | 4,229,200 | 34,733,545 | ||||||
M. Dias Branco SA | 228,400 | 10,146,217 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 533,000 | 11,014,648 |
Security | Shares | Value | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 29,003 | $ | 614,368 | |||||
Natura Cosmeticos SA | 1,121,200 | 9,233,412 | ||||||
Odontoprev SA | 1,773,600 | 6,812,768 | ||||||
Petroleo Brasileiro SAa | 19,617,774 | 100,642,775 | ||||||
Porto Seguro SA | 754,800 | 7,011,803 | ||||||
Qualicorp SA | 1,475,000 | 9,344,985 | ||||||
Raia Drogasil SA | 1,533,200 | 29,274,214 | ||||||
Rumo Logistica Operadora Multimodal SAa | 5,295,400 | 14,604,478 | ||||||
Sul America SA | 1,174,365 | 7,330,816 | ||||||
TIM Participacoes SA | 5,523,176 | 17,327,611 | ||||||
Ultrapar Participacoes SA | 2,359,400 | 49,599,730 | ||||||
Vale SA | 8,462,348 | 89,002,901 | ||||||
WEG SA | 3,714,020 | 20,271,315 | ||||||
|
| |||||||
1,329,135,744 | ||||||||
CHILE — 1.10% | ||||||||
AES Gener SA | 17,532,879 | 6,580,935 | ||||||
Aguas Andinas SA Series A | 17,618,663 | 9,495,838 | ||||||
Banco de Chile | 160,939,143 | 19,492,837 | ||||||
Banco de Credito e Inversiones | 247,037 | 13,331,154 | ||||||
Banco Santander Chile | 439,807,947 | 24,207,749 | ||||||
Cencosud SA | 9,363,894 | 27,635,227 | ||||||
Cia. Cervecerias Unidas SA | 947,872 | 11,227,722 | ||||||
Colbun SA | 52,073,782 | 10,346,788 | ||||||
Empresa Nacional de Telecomunicaciones SAa | 960,587 | 10,680,910 | ||||||
Empresas CMPC SA | 8,245,398 | 18,341,438 | ||||||
Empresas COPEC SA | 3,003,492 | 31,505,484 | ||||||
Enel Americas SA | 191,391,039 | 37,315,493 | ||||||
Enel Chile SA | 130,401,342 | 13,365,490 | ||||||
Enel Generacion Chile SA | 21,589,343 | 14,690,417 | ||||||
Itau CorpBanca | 1,030,619,240 | 8,337,722 | ||||||
LATAM Airlines Group SAa | 2,005,901 | 20,309,404 | ||||||
SACI Falabella | 3,950,660 | 32,306,887 | ||||||
|
| |||||||
309,171,495 | ||||||||
CHINA — 26.84% | ||||||||
3SBio Inc.a,b,c | 6,683,000 | 8,135,879 | ||||||
58.com Inc. ADRa,c | 542,054 | 19,839,176 | ||||||
AAC Technologies Holdings Inc. | 4,853,500 | 51,114,484 | ||||||
Agricultural Bank of China Ltd. Class H | 161,350,000 | 74,413,748 | ||||||
Air China Ltd. Class H | 11,930,000 | 9,205,947 |
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Alibaba Group Holding Ltd. ADRa,c | 7,359,112 | $ | 757,252,625 | |||||
Alibaba Health Information Technology Ltd.a,c | 21,396,000 | 9,399,141 | ||||||
Alibaba Pictures Group Ltd.a,c | 75,090,000 | 12,575,540 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 26,058,000 | 12,991,318 | ||||||
Anhui Conch Cement Co. Ltd. Class Hc | 8,129,500 | 28,329,068 | ||||||
ANTA Sports Products Ltd.c | 6,605,402 | 19,997,159 | ||||||
AviChina Industry & Technology Co. Ltd. Class H | 13,835,000 | 10,069,984 | ||||||
Baidu Inc.a,c | 1,781,422 | 310,199,013 | ||||||
Bank of China Ltd. Class H | 521,005,000 | 263,776,211 | ||||||
Bank of Communications Co. Ltd. Class H | 57,527,600 | 45,874,156 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 10,064,000 | 10,786,862 | ||||||
Beijing Enterprises Holdings Ltd. | 3,305,500 | 17,288,781 | ||||||
Beijing Enterprises Water Group Ltd.c | 28,938,000 | 20,690,104 | ||||||
Belle International Holdings Ltd. | 41,569,000 | 28,649,995 | ||||||
Brilliance China Automotive Holdings Ltd. | 19,938,000 | 31,335,931 | ||||||
Byd Co. Ltd. Class Hc | 4,223,000 | 24,834,936 | ||||||
CGN Power Co. Ltd. Class Hb | 69,607,000 | 21,162,458 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 57,696,000 | 22,744,077 | ||||||
China CITIC Bank Corp. Ltd. Class H | 58,273,800 | 40,013,057 | ||||||
China Coal Energy Co. Ltd. Class Ha | 13,757,000 | 7,283,946 | ||||||
China Communications Construction Co. Ltd. Class H | 29,162,000 | 37,643,172 | ||||||
China Communications Services Corp. Ltd. Class H | 16,302,000 | 10,899,572 | ||||||
China Conch Venture Holdings Ltd.c | 8,943,500 | 17,720,054 |
Security | Shares | Value | ||||||
China Construction Bank Corp. Class H | 551,925,760 | $ | 454,341,813 | |||||
China Everbright Bank Co. Ltd. Class H | 20,612,000 | 10,435,515 | ||||||
China Everbright International Ltd. | 16,250,000 | 21,059,717 | ||||||
China Everbright Ltd. | 6,178,000 | 12,256,594 | ||||||
China Evergrande Groupc | 26,994,388 | 20,274,177 | ||||||
China Galaxy Securities Co. Ltd. Class H | 19,474,500 | 19,092,032 | ||||||
China Gas Holdings Ltd.c | 11,414,000 | 16,939,147 | ||||||
China Huarong Asset Management Co. Ltd. Class Ha,b,c | 31,419,000 | 12,426,016 | ||||||
China Huishan Dairy Holdings Co. Ltd.c | 26,566,000 | 9,719,540 | ||||||
China Jinmao Holdings Group Ltd. | 24,626,000 | 7,645,609 | ||||||
China Life Insurance Co. Ltd. Class H | 48,852,000 | 148,838,292 | ||||||
China Longyuan Power Group Corp. Ltd. | 20,969,000 | 17,990,910 | ||||||
China Medical System Holdings Ltd.c | 8,254,000 | 13,440,416 | ||||||
China Mengniu Dairy Co. Ltd. | 18,026,000 | 35,529,736 | ||||||
China Merchants Bank Co. Ltd. Class H | 25,620,967 | 68,157,987 | ||||||
China Merchants Port Holdings Co. Ltd. | 8,466,000 | 23,612,249 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 38,932,540 | 44,437,298 | ||||||
China Mobile Ltd. | 40,237,000 | 443,711,354 | ||||||
China National Building Material Co. Ltd. Class H | 18,798,000 | 13,706,585 | ||||||
China Oilfield Services Ltd. Class H | 11,782,000 | 11,747,925 | ||||||
China Overseas Land & Investment Ltd. | 25,154,960 | 77,450,231 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 17,301,000 | 63,409,549 | ||||||
China Petroleum & Chemical Corp. Class H | 166,822,800 | 129,375,810 | ||||||
China Power International Development Ltd. | 21,503,000 | 8,338,093 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
China Railway Construction Corp. Ltd. Class H | 13,040,500 | $ | 18,445,812 | |||||
China Railway Group Ltd. Class H | 26,374,000 | 23,069,966 | ||||||
China Resources Beer Holdings Co. Ltd.a | 10,710,000 | 24,310,649 | ||||||
China Resources Gas Group Ltd.c | 5,934,000 | 18,117,450 | ||||||
China Resources Land Ltd. | 18,223,333 | 49,769,681 | ||||||
China Resources Power Holdings Co. Ltd. | 12,704,999 | 23,012,359 | ||||||
China Shenhua Energy Co. Ltd. Class H | 22,310,000 | 46,675,264 | ||||||
China Southern Airlines Co. Ltd. Class H | 11,986,000 | 7,797,706 | ||||||
China State Construction International Holdings Ltd. | 11,890,000 | 19,453,008 | ||||||
China Taiping Insurance Holdings Co. Ltd.a,c | 10,670,460 | 24,990,688 | ||||||
China Telecom Corp. Ltd. Class H | 90,954,000 | 42,767,696 | ||||||
China Unicom Hong Kong Ltd. | 39,294,000 | 47,785,861 | ||||||
China Vanke Co. Ltd. Class H | 8,696,931 | 21,847,504 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 5,658,375 | 7,989,203 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 16,937,000 | 11,891,432 | ||||||
CITIC Ltd.c | 28,561,000 | 40,988,289 | ||||||
CITIC Securities Co. Ltd. Class H | 14,225,000 | 30,420,164 | ||||||
CNOOC Ltd. | 116,786,000 | 138,113,029 | ||||||
COSCO SHIPPING Ports Ltd.c | 10,854,000 | 12,095,034 | ||||||
Country Garden Holdings Co. Ltd.c | 36,549,939 | 26,179,577 | ||||||
CRRC Corp. Ltd. Class H | 26,955,300 | 25,870,310 | ||||||
CSPC Pharmaceutical Group Ltd. | 27,766,000 | 33,981,153 | ||||||
Ctrip.com International Ltd.a,c | 2,441,801 | 115,839,039 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 17,676,000 | 20,972,239 | ||||||
ENN Energy Holdings Ltd. | 5,020,000 | 24,251,364 |
Security | Shares | Value | ||||||
Far East Horizon Ltd. | 13,144,000 | $ | 12,648,800 | |||||
Fosun International Ltd.c | 16,907,000 | 26,572,203 | ||||||
Fullshare Holdings Ltd.c | 41,842,500 | 16,225,022 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 2,567,200 | 8,003,432 | ||||||
GCL-Poly Energy Holdings Ltd.a,c | 85,571,000 | 11,685,133 | ||||||
Geely Automobile Holdings Ltd.c | 35,070,000 | 47,709,061 | ||||||
GF Securities Co. Ltd. Class H | 8,992,600 | 19,809,913 | ||||||
GOME Electrical Appliances Holding Ltd.c | 79,590,200 | 11,073,490 | ||||||
Great Wall Motor Co. Ltd. Class H | 20,358,000 | 25,019,848 | ||||||
Guangdong Investment Ltd. | 18,714,110 | 25,506,803 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 13,932,742 | 23,369,465 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 6,509,600 | 8,989,805 | ||||||
Haier Electronics Group Co. Ltd. | 8,289,000 | 15,248,655 | ||||||
Haitian International Holdings Ltd. | 4,337,000 | 9,118,235 | ||||||
Haitong Securities Co. Ltd. Class H | 20,223,200 | 37,046,796 | ||||||
Hengan International Group Co. Ltd.c | 4,753,500 | 40,600,204 | ||||||
HengTen Networks Group Ltd.a | 131,088,000 | 3,225,503 | ||||||
Huaneng Power International Inc. Class H | 27,648,000 | 18,841,721 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 26,652,000 | 9,064,313 | ||||||
Huatai Securities Co. Ltd. Class Hb | 9,670,600 | 19,733,757 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 483,841,085 | 317,264,668 | ||||||
JD.com Inc. ADRa,c | 4,402,925 | 134,597,417 | �� | |||||
Jiangsu Expressway Co. Ltd. Class H | 8,094,000 | 10,677,371 | ||||||
Jiangxi Copper Co. Ltd. Class H | 8,206,000 | 13,827,397 | ||||||
Kingsoft Corp. Ltd. | 5,188,000 | 11,415,344 |
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Kunlun Energy Co. Ltd.c | 21,040,000 | $ | 18,295,770 | |||||
Lenovo Group Ltd.c | 47,158,000 | 28,310,170 | ||||||
Longfor Properties Co. Ltd. | 9,717,500 | 15,548,100 | ||||||
Netease Inc. | 520,420 | 158,759,325 | ||||||
New China Life Insurance Co. Ltd. Class H | 5,155,100 | 25,402,106 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 874,385 | 42,328,978 | ||||||
Nine Dragons Paper Holdings Ltd. | 10,851,000 | 13,769,152 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 45,675,000 | 18,770,266 | ||||||
PetroChina Co. Ltd. Class H | 138,058,000 | 105,111,502 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 30,152,128 | 46,068,476 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 34,193,000 | 182,363,841 | ||||||
Qunar Cayman Islands Ltd. ADRa,c | 231,797 | 7,048,947 | ||||||
Semiconductor Manufacturing International Corp.a,c | 18,232,499 | 23,722,953 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 12,736,000 | 7,662,158 | ||||||
Shanghai Electric Group Co. Ltd. Class Ha,c | 18,576,000 | 9,620,097 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 2,682,000 | 9,225,103 | ||||||
Shanghai Industrial Holdings Ltd. | 3,313,000 | 9,240,182 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 6,686,648 | 9,862,806 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 4,635,700 | 11,943,909 | ||||||
Shenzhou International Group Holdings Ltd.c | 3,696,000 | 22,092,819 | ||||||
Shimao Property Holdings Ltd. | 7,975,000 | 11,445,033 | ||||||
SINA Corp./Chinaa | 368,916 | 25,650,730 | ||||||
Sino Biopharmaceutical Ltd. | 29,307,000 | 25,295,738 | ||||||
Sino-Ocean Group Holding Ltd. | 20,130,500 | 10,010,207 |
Security | Shares | Value | ||||||
Sinopec Engineering Group Co. Ltd. Class H | 8,236,000 | $ | 7,480,087 | |||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 23,057,000 | 13,960,528 | ||||||
Sinopharm Group Co. Ltd. Class H | 7,854,800 | 36,327,103 | ||||||
Sinotrans Ltd. Class H | 13,137,000 | 5,957,171 | ||||||
SOHO China Ltd.c | 14,171,000 | 7,338,845 | ||||||
Sun Art Retail Group Ltd. | 15,850,500 | 15,273,753 | ||||||
Sunac China Holdings Ltd.c | 12,503,000 | 12,998,372 | ||||||
Sunny Optical Technology Group Co. Ltd.c | 4,603,000 | 29,619,495 | ||||||
TAL Education Group Class A ADRa,c | 282,132 | 24,395,954 | ||||||
Tencent Holdings Ltd. | 37,286,900 | 994,323,738 | ||||||
Tingyi Cayman Islands Holding Corp. | 12,954,000 | 14,518,586 | ||||||
TravelSky Technology Ltd. Class H | 6,228,000 | 13,591,369 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 2,412,000 | 11,092,941 | ||||||
Vipshop Holdings Ltd. ADRa | 2,653,441 | 34,521,267 | ||||||
Want Want China Holdings Ltd.c | 37,326,000 | 24,042,667 | ||||||
Weibo Corp. ADRa,c | 207,339 | 10,474,766 | ||||||
Weichai Power Co. Ltd. Class H | 6,539,400 | 11,507,733 | ||||||
Yanzhou Coal Mining Co. Ltd. Class Hc | 12,384,800 | 9,955,768 | ||||||
Yum China Holdings Inc.a | 2,402,630 | 63,885,932 | ||||||
YY Inc. ADRa,c | 192,009 | 8,504,079 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 9,516,000 | 10,702,121 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 3,602,500 | 19,399,094 | ||||||
Zijin Mining Group Co. Ltd. Class H | 37,380,000 | 14,109,386 | ||||||
ZTE Corp. Class H | 5,005,000 | 8,149,901 | ||||||
|
| |||||||
7,581,750,846 | ||||||||
COLOMBIA — 0.27% | ||||||||
Cementos Argos SA | 2,967,313 | 11,880,015 | ||||||
Corp. Financiera Colombiana SA | 681,764 | 6,844,819 | ||||||
Ecopetrol SAa | 31,151,100 | 14,070,680 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Grupo Argos SA/Colombia | 1,955,273 | $ | 13,220,933 | |||||
Grupo de Inversiones Suramericana SA | 1,670,762 | 20,913,468 | ||||||
Interconexion Electrica SA ESP | 2,534,539 | 9,713,702 | ||||||
|
| |||||||
76,643,617 | ||||||||
CZECH REPUBLIC — 0.18% |
| |||||||
CEZ AS | 1,072,019 | 18,992,143 | ||||||
Komercni Banka AS | 511,172 | 18,435,735 | ||||||
Moneta Money Bank ASa,b | 2,709,440 | 9,088,773 | ||||||
O2 Czech Republic AS | 403,624 | 4,333,276 | ||||||
|
| |||||||
50,849,927 | ||||||||
EGYPT — 0.13% |
| |||||||
Commercial International Bank Egypt SAE | 6,271,193 | 28,514,082 | ||||||
Global Telecom Holding SAEa | 15,883,295 | 6,212,580 | ||||||
Talaat Moustafa Group | 5,660,437 | 2,844,549 | ||||||
|
| |||||||
37,571,211 | ||||||||
GREECE — 0.32% | ||||||||
Alpha Bank AEa | 9,065,826 | 16,473,021 | ||||||
Eurobank Ergasias SAa | 12,189,235 | 8,159,936 | ||||||
FF Groupa,c | 223,973 | 4,402,883 | ||||||
Hellenic Telecommunications Organization SA | 1,587,318 | 14,286,213 | ||||||
JUMBO SA | 694,540 | 9,852,542 | ||||||
National Bank of Greece SAa | 35,929,407 | 9,162,860 | ||||||
OPAP SA | 1,449,643 | 13,077,915 | ||||||
Piraeus Bank SAa | 43,271,030 | 8,414,302 | ||||||
Titan Cement Co. SA | 314,398 | 7,513,443 | ||||||
|
| |||||||
91,343,115 | ||||||||
HUNGARY — 0.29% |
| |||||||
MOL Hungarian Oil & Gas PLC | 232,312 | 15,966,125 | ||||||
OTP Bank PLC | 1,565,888 | 45,582,945 | ||||||
Richter Gedeon Nyrt | 908,674 | 20,197,027 | ||||||
|
| |||||||
81,746,097 | ||||||||
INDIA — 8.52% |
| |||||||
ACC Ltd. | 283,133 | 5,989,954 | ||||||
Adani Ports & Special Economic Zone Ltd. | 5,456,291 | 24,677,258 | ||||||
Ambuja Cements Ltd. | 4,049,386 | 13,920,025 | ||||||
Apollo Hospitals Enterprise Ltd. | 522,159 | 10,187,065 |
Security | Shares | Value | ||||||
Ashok Leyland Ltd. | 7,564,117 | $ | 10,277,279 | |||||
Asian Paints Ltd. | 1,900,751 | 29,178,442 | ||||||
Aurobindo Pharma Ltd. | 1,750,531 | 17,768,013 | ||||||
Axis Bank Ltd. | 10,978,657 | 83,369,916 | ||||||
Bajaj Auto Ltd. | 556,386 | 22,982,208 | ||||||
Bajaj Finance Ltd. | 1,087,887 | 18,069,829 | ||||||
Bajaj Finserv Ltd. | 229,484 | 13,463,004 | ||||||
Bharat Forge Ltd. | 690,128 | 10,896,717 | ||||||
Bharat Heavy Electricals Ltd. | 3,807,486 | 9,270,649 | ||||||
Bharat Petroleum Corp. Ltd. | 3,201,632 | 32,153,683 | ||||||
Bharti Airtel Ltd. | 6,599,260 | 36,117,580 | ||||||
Bharti Infratel Ltd. | 3,673,898 | 15,652,354 | ||||||
Bosch Ltd. | 50,301 | 16,272,173 | ||||||
Cadila Healthcare Ltd. | 1,359,388 | 8,970,051 | ||||||
Cairn India Ltd. | 2,935,379 | 12,499,352 | ||||||
Cipla Ltd. | 2,320,507 | 20,301,339 | ||||||
Coal India Ltd. | 4,539,698 | 21,902,820 | ||||||
Container Corp. of India Ltd. | 226,492 | 4,127,650 | ||||||
Dabur India Ltd. | 3,519,392 | 14,606,383 | ||||||
Divi’s Laboratories Ltd. | 545,646 | 6,206,103 | ||||||
Dr. Reddy’s Laboratories Ltd. | 757,226 | 32,345,574 | ||||||
Eicher Motors Ltd. | 86,644 | 31,336,444 | ||||||
GAIL (India) Ltd. | 2,133,572 | 16,529,737 | ||||||
Glenmark Pharmaceuticals Ltd. | 920,745 | 12,772,264 | ||||||
Godrej Consumer Products Ltd. | 802,885 | 19,842,654 | ||||||
Grasim Industries Ltd. | 1,127,233 | 16,729,722 | ||||||
Havells India Ltd. | 1,634,593 | 9,949,350 | ||||||
HCL Technologies Ltd. | 3,717,609 | 46,810,879 | ||||||
Hero Motocorp Ltd. | 328,226 | 15,438,029 | ||||||
Hindalco Industries Ltd. | 7,398,525 | 20,442,800 | ||||||
Hindustan Petroleum Corp. Ltd. | 2,570,308 | 20,716,562 | ||||||
Hindustan Unilever Ltd. | 4,265,758 | 55,362,546 | ||||||
Housing Development Finance Corp. Ltd. | 9,890,235 | 203,093,080 | ||||||
ICICI Bank Ltd. | 7,221,218 | 29,910,386 | ||||||
Idea Cellular Ltd. | 8,202,877 | 14,243,422 | ||||||
IDFC Bank Ltd. | 8,443,743 | 7,909,830 | ||||||
Indiabulls Housing Finance Ltd. | 1,957,898 | 25,568,772 | ||||||
Infosys Ltd. | 12,063,049 | 183,046,457 | ||||||
ITC Ltd. | 22,245,247 | 87,422,256 | ||||||
JSW Steel Ltd. | 5,666,360 | 15,877,486 | ||||||
Larsen & Toubro Ltd. | 2,070,866 | 45,602,118 |
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
LIC Housing Finance Ltd. | 1,999,266 | $ | 16,804,697 | |||||
Lupin Ltd. | 1,460,207 | 32,262,162 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 1,880,002 | 8,218,118 | ||||||
Mahindra & Mahindra Ltd. | 2,456,061 | 48,303,070 | ||||||
Marico Ltd. | 2,995,597 | 12,625,564 | ||||||
Maruti Suzuki India Ltd. | 700,072 | 62,144,096 | ||||||
Motherson Sumi Systems Ltd. | 2,596,511 | 13,628,825 | ||||||
Nestle India Ltd. | 153,768 | 14,414,292 | ||||||
NTPC Ltd. | 10,929,841 | 26,694,409 | ||||||
Oil & Natural Gas Corp. Ltd. | 8,326,335 | 24,154,561 | ||||||
Piramal Enterprises Ltd. | 523,130 | 14,464,753 | ||||||
Power Finance Corp. Ltd. | 4,181,648 | 8,523,903 | ||||||
Reliance Industries Ltd. | 8,507,644 | 157,869,994 | ||||||
Shree Cement Ltd. | 55,755 | 13,463,723 | ||||||
Shriram Transport Finance Co. Ltd. | 976,027 | 13,593,245 | ||||||
Siemens Ltd. | 484,682 | 8,770,860 | ||||||
State Bank of India | 10,216,657 | 41,222,656 | ||||||
Sun Pharmaceuticals Industries Ltd. | 6,343,476 | 64,557,867 | ||||||
Tata Consultancy Services Ltd. | 3,104,828 | 114,769,567 | ||||||
Tata Motors Ltd. | 10,398,806 | 71,189,203 | ||||||
Tata Motors Ltd. Class A | 2,484,577 | 10,278,119 | ||||||
Tata Power Co. Ltd. | 7,618,527 | 9,431,986 | ||||||
Tata Steel Ltd. | 1,982,047 | 14,339,808 | ||||||
Tech Mahindra Ltd. | 2,755,044 | 20,621,924 | ||||||
Titan Co. Ltd. | 2,021,739 | 13,248,214 | ||||||
Ultratech Cement Ltd. | 543,086 | 30,724,575 | ||||||
United Spirits Ltd.a | 428,815 | 15,072,436 | ||||||
UPL Ltd. | 2,351,198 | 25,313,207 | ||||||
Vedanta Ltd. | 6,838,115 | 26,555,587 | ||||||
Wipro Ltd. | 3,992,843 | 29,252,671 | ||||||
Yes Bank Ltd. | 2,040,868 | 44,436,818 | ||||||
Zee Entertainment Enterprises Ltd. | 3,869,833 | 29,549,211 | ||||||
|
| |||||||
2,406,310,336 | ||||||||
INDONESIA — 2.46% | ||||||||
Adaro Energy Tbk PT | 96,494,400 | 12,264,398 | ||||||
AKR Corporindo Tbk PT | 11,449,200 | 5,451,591 | ||||||
Astra International Tbk PT | 133,042,300 | 81,804,654 | ||||||
Bank Central Asia Tbk PT | 81,099,900 | 93,955,718 |
Security | Shares | Value | ||||||
Bank Danamon Indonesia Tbk PT | 23,686,516 | $ | 8,791,861 | |||||
Bank Mandiri Persero Tbk PT | 61,464,400 | 52,080,663 | ||||||
Bank Negara Indonesia Persero Tbk PT | 49,443,476 | 23,171,995 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 72,980,822 | 65,395,982 | ||||||
Bumi Serpong Damai Tbk PT | 51,398,900 | 7,053,088 | ||||||
Charoen Pokphand Indonesia Tbk PT | 49,256,545 | 11,449,857 | ||||||
Gudang Garam Tbk PT | 3,191,800 | 15,760,350 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 60,769,800 | 17,634,907 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 9,710,200 | 11,031,008 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 15,064,900 | 9,404,266 | ||||||
Indofood Sukses Makmur Tbk PT | 29,178,300 | 17,776,971 | ||||||
Jasa Marga Persero Tbk PT | 13,842,595 | 4,961,578 | ||||||
Kalbe Farma Tbk PT | 140,773,515 | 16,150,531 | ||||||
Lippo Karawaci Tbk PT | 122,850,300 | 6,770,769 | ||||||
Matahari Department Store Tbk PT | 15,655,300 | 16,023,909 | ||||||
Media Nusantara Citra Tbk PT | 32,438,700 | 4,037,811 | ||||||
Pakuwon Jati Tbk PT | 111,752,700 | 4,944,068 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 71,970,600 | 15,272,705 | ||||||
Semen Indonesia Persero Tbk PT | 19,413,100 | 14,011,029 | ||||||
Summarecon Agung Tbk PT | 66,320,000 | 6,813,017 | ||||||
Surya Citra Media Tbk PT | 37,915,200 | 8,387,061 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 331,316,700 | 95,648,567 | ||||||
Tower Bersama Infrastructure Tbk PT | 15,055,500 | 5,644,684 | ||||||
Unilever Indonesia Tbk PT | 10,030,500 | 31,721,381 | ||||||
United Tractors Tbk PT | 11,185,653 | 20,675,341 | ||||||
Waskita Karya Persero Tbk PT | 30,833,900 | 5,733,959 | ||||||
XL Axiata Tbk PTa | 24,280,200 | 5,443,746 | ||||||
|
| |||||||
695,267,465 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
MALAYSIA — 2.41% | ||||||||
AirAsia Bhd | 9,316,100 | $ | 5,665,196 | |||||
Alliance Financial Group Bhd | 7,012,700 | 6,017,655 | ||||||
AMMB Holdings Bhd | 12,377,775 | 12,907,455 | ||||||
Astro Malaysia Holdings Bhd | 9,584,400 | 6,152,149 | ||||||
Axiata Group Bhdc | 17,504,800 | 17,465,375 | ||||||
Berjaya Sports Toto Bhd | 6,538,092 | 4,299,826 | ||||||
British American Tobacco Malaysia Bhd | 929,700 | 10,155,507 | ||||||
CIMB Group Holdings Bhd | 20,051,600 | 22,445,147 | ||||||
Dialog Group Bhd | 21,455,812 | 8,118,415 | ||||||
DiGi.Com Bhdc | 23,026,700 | 26,138,416 | ||||||
Felda Global Ventures Holdings Bhdc | 8,277,400 | 3,504,845 | ||||||
Gamuda Bhd | 11,380,900 | 12,585,635 | ||||||
Genting Bhd | 14,797,700 | 30,828,542 | ||||||
Genting Malaysia Bhd | 19,857,700 | 23,480,389 | ||||||
Genting Plantations Bhd | 1,873,700 | 4,844,612 | ||||||
HAP Seng Consolidated Bhdc | 3,623,200 | 7,376,966 | ||||||
Hartalega Holdings Bhdc | 4,121,400 | 4,511,262 | ||||||
Hong Leong Bank Bhdc | 3,960,000 | 12,111,892 | ||||||
Hong Leong Financial Group Bhd | 1,313,800 | 4,456,268 | ||||||
IHH Healthcare Bhd | 19,514,800 | 26,415,304 | ||||||
IJM Corp. Bhd | 19,410,340 | 14,645,189 | ||||||
IOI Corp. Bhdc | 15,064,720 | 15,879,029 | ||||||
IOI Properties Group Bhd | 11,846,285 | 5,629,653 | ||||||
Kuala Lumpur Kepong Bhd | 2,777,400 | 15,100,549 | ||||||
Lafarge Malaysia Bhd | 2,593,000 | 3,854,459 | ||||||
Malayan Banking Bhdc | 22,635,100 | 43,842,761 | ||||||
Malaysia Airports Holdings Bhd | 5,053,600 | 7,375,524 | ||||||
Maxis Bhdc | 12,411,900 | 17,639,434 | ||||||
MISC Bhd | 7,148,000 | 11,945,532 | ||||||
Petronas Chemicals Group Bhd | 15,753,600 | 25,723,784 | ||||||
Petronas Dagangan Bhd | 1,324,700 | 7,309,718 | ||||||
Petronas Gas Bhd | 4,570,800 | 20,609,778 | ||||||
PPB Group Bhd | 3,225,100 | 12,014,224 | ||||||
Public Bank Bhd | 17,802,130 | 80,029,395 | ||||||
RHB Bank Bhd | 4,998,725 | 5,449,061 | ||||||
RHB Bank Bhd New | 3,214,200 | 7 | ||||||
Sapurakencana Petroleum Bhda | 25,346,600 | 10,846,518 |
Security | Shares | Value | ||||||
Sime Darby Bhd | 15,304,973 | $ | 30,885,711 | |||||
Telekom Malaysia Bhdc | 7,312,500 | 10,145,270 | ||||||
Tenaga Nasional Bhd | 22,258,250 | 67,877,636 | ||||||
UMW Holdings Bhdc | 3,297,100 | 4,113,949 | ||||||
Westports Holdings Bhd | 6,221,800 | 5,619,238 | ||||||
YTL Corp. Bhd | 28,913,862 | 10,093,803 | ||||||
YTL Power International Bhd | 15,938,343 | 5,348,678 | ||||||
|
| |||||||
681,459,756 | ||||||||
MEXICO — 3.42% | ||||||||
Alfa SAB de CV | 18,340,900 | 23,567,429 | ||||||
America Movil SAB de CV | 217,280,900 | 138,566,804 | ||||||
Arca Continental SAB de CV | 2,729,536 | 15,360,573 | ||||||
Cemex SAB de CV CPOa | 92,224,505 | 78,465,385 | ||||||
Coca-Cola Femsa SAB de CV Series L | 3,285,293 | 21,682,581 | ||||||
El Puerto de Liverpool SAB de CV Series C1 | 1,228,990 | 8,625,106 | ||||||
Fibra Uno Administracion SA de CV | 16,759,600 | 24,360,530 | ||||||
Fomento Economico Mexicano SAB de CV | 12,005,400 | 97,170,916 | ||||||
Gentera SAB de CV | 6,776,100 | 8,971,421 | ||||||
Gruma SAB de CV Series B | 1,411,075 | 18,697,877 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 2,375,800 | 20,655,565 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 1,382,010 | 21,957,734 | ||||||
Grupo Bimbo SAB de CV | 10,875,000 | 25,793,975 | ||||||
Grupo Carso SAB de CV Series A1 | 3,766,341 | 16,059,850 | ||||||
Grupo Financiero Banorte SAB de CV | 16,399,856 | 81,905,972 | ||||||
Grupo Financiero Inbursa SAB de CV Series Oc | 15,425,000 | 22,127,471 | ||||||
Grupo Financiero Santander Mexico SAB de CV Series B | 12,049,500 | 18,171,208 | ||||||
Grupo Lala SAB de CVc | 3,876,400 | 6,404,196 | ||||||
Grupo Mexico SAB de CV Series B | 25,027,288 | 76,285,800 | ||||||
Grupo Televisa SAB | 16,053,600 | 82,160,001 | ||||||
Industrias Penoles SAB de CV | 920,943 | 21,987,196 |
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Infraestructura Energetica Nova SAB de CV | 3,230,900 | $ | 13,886,596 | |||||
Kimberly-Clark de Mexico SAB de CV Series A | 10,034,900 | 19,012,993 | ||||||
Mexichem SAB de CV | 7,042,634 | 16,686,528 | ||||||
OHL Mexico SAB de CV | 5,085,000 | 5,348,816 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 1,719,810 | 16,172,076 | ||||||
Wal-Mart de Mexico SAB de CV | 34,229,200 | 66,685,541 | ||||||
|
| |||||||
966,770,140 | ||||||||
PERU — 0.38% | ||||||||
Cia. de Minas Buenaventura SAA ADR | 1,254,648 | 15,432,170 | ||||||
Credicorp Ltd. | 442,490 | 72,842,704 | ||||||
Southern Copper Corp. | 542,911 | 19,903,117 | ||||||
|
| |||||||
108,177,991 | ||||||||
PHILIPPINES — 1.17% | ||||||||
Aboitiz Equity Ventures Inc. | 13,764,720 | 20,133,798 | ||||||
Aboitiz Power Corp. | 7,488,564 | 6,412,591 | ||||||
Alliance Global Group Inc. | 14,374,280 | 3,635,435 | ||||||
Ayala Corp. | 1,630,056 | 25,579,690 | ||||||
Ayala Land Inc. | 49,882,800 | 35,066,471 | ||||||
Bank of the Philippine Islands | 5,417,002 | 10,140,360 | ||||||
BDO Unibank Inc. | 12,481,901 | 28,709,739 | ||||||
DMCI Holdings Inc. | 22,244,900 | 5,617,153 | ||||||
Energy Development Corp. | 57,643,100 | 6,772,763 | ||||||
Globe Telecom Inc. | 224,585 | 8,175,672 | ||||||
GT Capital Holdings Inc. | 488,690 | 11,765,931 | ||||||
International Container Terminal Services Inc. | 3,584,110 | 5,424,522 | ||||||
JG Summit Holdings Inc. | 18,374,034 | 28,430,995 | ||||||
Jollibee Foods Corp. | 3,117,999 | 12,530,363 | ||||||
Megaworld Corp. | 68,539,400 | 4,968,305 | ||||||
Metro Pacific Investments Corp. | 81,444,600 | 11,029,041 | ||||||
Metropolitan Bank & Trust Co. | 3,367,566 | 5,432,099 | ||||||
PLDT Inc. | 642,923 | 18,692,972 | ||||||
Robinsons Land Corp. | 8,684,800 | 4,098,970 | ||||||
Security Bank Corp. | 959,740 | 3,820,612 | ||||||
SM Investments Corp. | 1,704,052 | 22,498,984 | ||||||
SM Prime Holdings Inc. | 55,793,725 | 32,666,245 | ||||||
Universal Robina Corp. | 5,859,850 | 18,671,234 | ||||||
|
| |||||||
330,273,945 |
Security | Shares | Value | ||||||
POLAND — 1.22% | ||||||||
Alior Bank SAa | 592,813 | $ | 9,551,351 | |||||
Bank Handlowy w Warszawie SA | 227,780 | 4,423,376 | ||||||
Bank Millennium SAa | 4,068,829 | 6,834,242 | ||||||
Bank Pekao SAc | 1,022,160 | 35,231,271 | ||||||
Bank Zachodni WBK SA | 230,777 | 19,952,533 | ||||||
CCC SA | 178,782 | 9,929,031 | ||||||
Cyfrowy Polsat SAa | 1,304,669 | 7,441,756 | ||||||
Eurocash SA | 509,513 | 4,166,102 | ||||||
Grupa Azoty SA | 285,188 | 4,870,254 | ||||||
Grupa Lotos SAa | 602,445 | 7,215,363 | ||||||
Jastrzebska Spolka Weglowa SAa | 329,715 | 5,659,890 | ||||||
KGHM Polska Miedz SA | 905,818 | 28,778,436 | ||||||
LPP SAc | 8,506 | 11,859,819 | ||||||
mBank SAa | 99,286 | 9,688,109 | ||||||
Orange Polska SA | 4,243,045 | 4,942,826 | ||||||
PGE Polska Grupa Energetyczna SA | 5,494,656 | 16,063,040 | ||||||
Polski Koncern Naftowy ORLEN SA | 2,111,580 | 48,988,594 | ||||||
Polskie Gornictwo Naftowe i Gazownictwo SA | 11,564,333 | 17,800,702 | ||||||
Powszechna Kasa Oszczednosci Bank Polski SAa | 5,753,248 | 47,155,564 | ||||||
Powszechny Zaklad Ubezpieczen SA | 3,678,730 | 32,679,890 | ||||||
Synthos SA | 3,607,701 | 5,224,496 | ||||||
Tauron Polska Energia SAa | 6,945,941 | 5,132,026 | ||||||
|
| |||||||
343,588,671 | ||||||||
QATAR — 0.84% | ||||||||
Barwa Real Estate Co. | 605,532 | 6,626,969 | ||||||
Commercial Bank QSC (The) | 1,205,389 | 10,262,151 | ||||||
Doha Bank QSC | 585,745 | 6,249,555 | ||||||
Ezdan Holding Group QSC | 5,222,681 | 21,830,197 | ||||||
Industries Qatar QSC | 983,651 | 32,281,852 | ||||||
Masraf Al Rayan QSC | 2,410,777 | 26,549,168 | ||||||
Ooredoo QSC | 529,319 | 15,408,943 | ||||||
Qatar Electricity & Water Co. QSC | 192,700 | 11,907,312 | ||||||
Qatar Gas Transport Co. Ltd. | 1,906,436 | 12,329,988 | ||||||
Qatar Insurance Co. SAQ | 908,389 | 18,111,649 | ||||||
Qatar Islamic Bank SAQ | 385,595 | 10,801,425 | ||||||
Qatar National Bank SAQ | 1,580,386 | 65,537,463 | ||||||
|
| |||||||
237,896,672 |
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
RUSSIA — 3.61% | ||||||||
Alrosa PJSC | 16,970,400 | $ | 26,862,812 | |||||
Gazprom PJSC | 53,420,259 | 120,696,944 | ||||||
Gazprom PJSC ADR | 8,398,780 | 37,462,758 | ||||||
Inter RAO UES PJSC | 161,125,002 | 10,945,016 | ||||||
Lukoil PJSC | 2,124,307 | 112,238,514 | ||||||
Lukoil PJSC ADR | 667,822 | 35,394,566 | ||||||
Magnit PJSC GDRd | 1,962,934 | 71,568,574 | ||||||
MMC Norilsk Nickel PJSC | 365,026 | 57,943,163 | ||||||
Mobile TeleSystems PJSC ADR | 3,304,237 | 33,934,514 | ||||||
Moscow Exchange MICEX-RTS PJSC | 9,276,610 | 19,703,743 | ||||||
Novatek PJSC GDRd | 601,839 | 77,938,150 | ||||||
PhosAgro PJSC GDRd | 691,589 | 9,543,928 | ||||||
Rosneft Oil Co. PJSC | 6,700,087 | 38,169,098 | ||||||
Rosneft Oil Co. PJSC GDR | 1,026,436 | 5,819,892 | ||||||
Rostelecom PJSC | 6,336,510 | 8,522,958 | ||||||
RusHydro PJSC | 795,082,100 | 13,087,586 | ||||||
Sberbank of Russia PJSC | 61,067,081 | 163,420,311 | ||||||
Sberbank of Russia PJSC ADR | 2,448,544 | 26,713,615 | ||||||
Severstal PJSC | 1,416,473 | 20,252,210 | ||||||
Sistema PJSC FC GDRd | 1,108,406 | 9,875,897 | ||||||
Surgutneftegas OJSC | 36,151,160 | 18,008,689 | ||||||
Surgutneftegas OJSC ADR | 1,195,097 | 6,023,289 | ||||||
Tatneft PJSC Class S | 9,389,980 | 54,762,330 | ||||||
VTB Bank PJSC | 29,830,502,000 | 33,957,090 | ||||||
VTB Bank PJSC GDRd | 2,369,245 | 5,304,740 | ||||||
|
| |||||||
1,018,150,387 | ||||||||
SOUTH AFRICA — 6.81% | ||||||||
Anglo American Platinum Ltd.a | 347,555 | 8,064,445 | ||||||
AngloGold Ashanti Ltd.a | 2,685,240 | 29,892,798 | ||||||
Aspen Pharmacare Holdings Ltd. | 2,397,757 | 51,945,902 | ||||||
Barclays Africa Group Ltd. | 2,792,026 | 32,434,889 | ||||||
Bid Corp. Ltd. | 2,206,442 | 44,359,943 | ||||||
Bidvest Group Ltd. (The) | 2,121,028 | 25,137,749 | ||||||
Brait SEa | 2,217,623 | 12,481,759 | ||||||
Capitec Bank Holdings Ltd.c | 273,015 | 15,132,712 | ||||||
Coronation Fund Managers Ltd. | 1,486,415 | 7,650,264 | ||||||
Discovery Ltd. | 2,346,106 | 22,062,006 | ||||||
Exxaro Resources Ltd. | 1,115,773 | 9,205,980 |
Security | Shares | Value | ||||||
FirstRand Ltd. | 22,123,163 | $ | 84,095,081 | |||||
Fortress Income Fund Ltd. | 5,149,673 | 13,724,587 | ||||||
Fortress Income Fund Ltd. Class A | 5,704,866 | 7,589,042 | ||||||
Foschini Group Ltd. (The) | 1,377,302 | 17,097,288 | ||||||
Gold Fields Ltd. | 5,369,717 | 16,523,785 | ||||||
Growthpoint Properties Ltd. | 13,889,486 | 28,118,776 | ||||||
Hyprop Investments Ltd. | 1,597,445 | 15,321,061 | ||||||
Impala Platinum Holdings Ltd.a | 4,066,745 | 13,692,619 | ||||||
Imperial Holdings Ltd. | 1,038,181 | 13,263,000 | ||||||
Investec Ltd. | 1,642,840 | 11,580,264 | ||||||
Liberty Holdings Ltd. | 785,628 | 6,677,237 | ||||||
Life Healthcare Group Holdings Ltd. | 6,288,375 | 16,110,355 | ||||||
Massmart Holdings Ltd. | 708,739 | 8,118,529 | ||||||
MMI Holdings Ltd./South Africa | 6,810,852 | 12,809,401 | ||||||
Mondi Ltd. | 776,684 | 17,845,324 | ||||||
Mr. Price Group Ltd. | 1,606,227 | 20,876,039 | ||||||
MTN Group Ltd. | 11,068,522 | 101,368,368 | ||||||
Naspers Ltd. Class N | 2,875,937 | 461,220,701 | ||||||
Nedbank Group Ltd. | 1,316,379 | 24,656,946 | ||||||
Netcare Ltd. | 6,307,458 | 15,334,646 | ||||||
New Europe Property Investments PLC | 1,573,545 | 17,768,547 | ||||||
Pick n Pay Stores Ltd. | 2,354,644 | 12,502,296 | ||||||
Pioneer Foods Group Ltd. | 831,758 | 10,412,237 | ||||||
PSG Group Ltd. | 609,669 | 11,719,348 | ||||||
Rand Merchant Investment Holdings Ltd. | 4,311,649 | 13,251,398 | ||||||
Redefine Properties Ltd. | 30,511,486 | 25,356,258 | ||||||
Remgro Ltd. | 3,475,263 | 59,329,222 | ||||||
Resilient REIT Ltd. | 1,922,148 | 17,634,385 | ||||||
RMB Holdings Ltd. | 4,671,338 | 22,645,990 | ||||||
Sanlam Ltd. | 9,268,418 | 48,021,459 | ||||||
Sappi Ltd. | 3,596,923 | 22,497,269 | ||||||
Sasol Ltd. | 3,626,862 | 103,426,569 | ||||||
Shoprite Holdings Ltd. | 2,859,738 | 41,376,561 | ||||||
Sibanye Gold Ltd. | 4,826,243 | 9,707,833 | ||||||
SPAR Group Ltd. (The) | 1,236,156 | 16,869,560 | ||||||
Standard Bank Group Ltd. | 8,510,441 | 93,178,919 | ||||||
Steinhoff International Holdings NV Class H | 19,499,153 | 104,099,836 | ||||||
Telkom SA SOC Ltd. | 1,745,446 | 9,096,870 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Tiger Brands Ltd. | 1,082,667 | $ | 34,598,991 | |||||
Truworths International Ltd. | 2,929,098 | 19,522,841 | ||||||
Tsogo Sun Holdings Ltd. | 2,164,245 | 4,578,338 | ||||||
Vodacom Group Ltd. | 2,414,306 | 27,360,289 | ||||||
Woolworths Holdings Ltd./South Africa | 6,494,506 | 34,756,531 | ||||||
|
| |||||||
1,924,103,043 | ||||||||
SOUTH KOREA — 13.84% | ||||||||
AmorePacific Corp. | 210,546 | 56,046,293 | ||||||
AmorePacific Group | 184,534 | 21,215,494 | ||||||
BGF retail Co. Ltd. | 131,792 | 11,888,379 | ||||||
BNK Financial Group Inc. | 1,712,930 | 13,149,001 | ||||||
Celltrion Inc.a,c | 524,384 | 47,070,507 | ||||||
Cheil Worldwide Inc. | 462,787 | 7,755,749 | ||||||
CJ CheilJedang Corp. | 51,802 | 16,698,500 | ||||||
CJ Corp. | 95,870 | 14,625,315 | ||||||
CJ E&M Corp. | 125,486 | 8,667,218 | ||||||
CJ Korea Express Corp.a,c | 46,218 | 7,050,723 | ||||||
Coway Co. Ltd. | 352,749 | 27,920,438 | ||||||
Daelim Industrial Co. Ltd.a | 184,253 | 13,622,419 | ||||||
Daewoo Engineering & Construction Co. Ltd.a,c | 837,077 | 4,537,946 | ||||||
DGB Financial Group Inc. | 1,111,494 | 10,222,894 | ||||||
Dongbu Insurance Co. Ltd. | 329,497 | 17,804,348 | ||||||
Dongsuh Cos. Inc. | 236,475 | 5,332,843 | ||||||
Doosan Heavy Industries & Construction Co. Ltd.c | 318,668 | 6,918,682 | ||||||
E-MART Inc. | 128,837 | 23,699,400 | ||||||
GS Engineering & Construction Corp.a,c | 328,408 | 8,654,927 | ||||||
GS Holdings Corp. | 336,794 | 16,530,681 | ||||||
GS Retail Co. Ltd. | 179,631 | 8,356,039 | ||||||
Hana Financial Group Inc. | 1,949,174 | 60,763,549 | ||||||
Hankook Tire Co. Ltd.a | 492,247 | 26,032,607 | ||||||
Hanmi Pharm Co. Ltd.a,c | 36,822 | 10,453,117 | ||||||
Hanmi Science Co. Ltd.a,c | 82,429 | 4,782,085 | ||||||
Hanon Systems | 1,237,852 | 10,027,614 | ||||||
Hanssem Co. Ltd.c | 70,084 | 13,759,583 | ||||||
Hanwha Chemical Corp. | 703,968 | 15,782,082 | ||||||
Hanwha Corp. | 297,323 | 9,571,132 | ||||||
Hanwha Life Insurance Co. Ltd.a | 1,466,777 | 8,444,588 | ||||||
Hanwha Techwin Co. Ltd.a | 234,051 | 9,086,747 | ||||||
Hotel Shilla Co. Ltd.c | 219,257 | 9,908,497 | ||||||
Hyosung Corp. | 138,659 | 16,125,278 |
Security | Shares | Value | ||||||
Hyundai Department Store Co. Ltd. | 100,212 | $ | 8,809,262 | |||||
Hyundai Development Co. Engineering & Construction | 360,699 | 13,971,803 | ||||||
Hyundai Engineering & Construction Co. Ltd. | 479,438 | 20,267,200 | ||||||
Hyundai Glovis Co. Ltd. | 123,015 | 16,699,361 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 275,921 | 40,140,619 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 384,139 | 11,006,945 | ||||||
Hyundai Mobis Co. Ltd. | 447,143 | 100,837,024 | ||||||
Hyundai Motor Co. | 1,003,751 | 132,709,064 | ||||||
Hyundai Steel Co. | 518,921 | 28,682,346 | ||||||
Hyundai Wia Corp. | 104,963 | 6,210,059 | ||||||
Industrial Bank of Koreaa | 1,661,096 | 18,142,415 | ||||||
Kakao Corp.a,c | 199,766 | 15,087,346 | ||||||
Kangwon Land Inc.a | 768,482 | 24,024,620 | ||||||
KB Financial Group Inc. | 2,607,695 | 108,159,094 | ||||||
KCC Corp. | 37,791 | 11,580,439 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 149,025 | 8,026,197 | ||||||
Kia Motors Corp. | 1,722,246 | 58,258,598 | ||||||
Korea Aerospace Industries Ltd. Class Aa | 426,950 | 22,012,987 | ||||||
Korea Electric Power Corp.a | 1,681,792 | 64,847,341 | ||||||
Korea Gas Corp.a | 189,029 | 8,183,037 | ||||||
Korea Investment Holdings Co. Ltd.a | 258,322 | 10,828,621 | ||||||
Korea Zinc Co. Ltd.a | 55,348 | 20,386,860 | ||||||
Korean Air Lines Co. Ltd.a | 243,415 | 6,221,263 | ||||||
KT Corp. | 170,925 | 4,602,844 | ||||||
KT&G Corp. | 763,246 | 69,186,571 | ||||||
Kumho Petrochemical Co. Ltd.c | 121,895 | 8,268,270 | ||||||
LG Chem Ltd. | 300,789 | 75,280,378 | ||||||
LG Corp. | 619,740 | 34,419,343 | ||||||
LG Display Co. Ltd. | 1,531,173 | 37,102,932 | ||||||
LG Electronics Inc. | 695,347 | 36,773,602 | ||||||
LG Household & Health Care Ltd. | 61,892 | 48,057,640 | ||||||
LG Innotek Co. Ltd. | 93,175 | 9,888,127 | ||||||
LG Uplus Corp. | 848,784 | 9,608,167 | ||||||
Lotte Chemical Corp.a | 101,263 | 32,642,373 |
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Lotte Chilsung Beverage Co. Ltd.a | 4,127 | $ | 5,503,883 | |||||
Lotte Confectionery Co. Ltd.a | 37,583 | 6,497,879 | ||||||
Lotte Shopping Co. Ltd. | 72,865 | 14,885,532 | ||||||
Mirae Asset Daewoo Co. Ltd.a | 2,476,432 | 19,557,407 | ||||||
NAVER Corp. | 184,023 | 126,289,496 | ||||||
NCsoft Corp. | 115,644 | 28,022,513 | ||||||
NH Investment & Securities Co. Ltd.a | 914,694 | 9,383,551 | ||||||
OCI Co. Ltd.c | 110,384 | 8,697,957 | ||||||
Orion Corp./Republic of Korea | 23,542 | 14,865,344 | ||||||
Ottogi Corp. | 8,052 | 5,326,461 | ||||||
POSCO | 485,576 | 121,742,910 | ||||||
Posco Daewoo Corp. | 304,954 | 6,620,934 | ||||||
S-1 Corp. | 127,262 | 10,241,735 | ||||||
S-Oil Corp. | 295,146 | 22,551,947 | ||||||
Samsung Biologics Co. Ltd.a,c | 103,020 | 14,987,212 | ||||||
Samsung C&T Corp. | 497,611 | 54,128,811 | ||||||
Samsung Card Co. Ltd. | 231,750 | 8,679,737 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 365,922 | 18,931,185 | ||||||
Samsung Electronics Co. Ltd. | 645,647 | 1,097,442,878 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 217,811 | 49,119,438 | ||||||
Samsung Heavy Industries Co. Ltd.a,c | 1,607,167 | 15,918,877 | ||||||
Samsung Life Insurance Co. Ltd. | 460,774 | 43,601,873 | ||||||
Samsung SDI Co. Ltd.c | 361,338 | 41,222,730 | ||||||
Samsung SDS Co. Ltd. | 228,992 | 26,326,739 | ||||||
Samsung Securities Co. Ltd. | 364,968 | 10,699,703 | ||||||
Shinhan Financial Group Co. Ltd. | 2,761,118 | 114,034,234 | ||||||
Shinsegae Inc. | 49,125 | 8,667,201 | ||||||
SK Holdings Co. Ltd. | 300,582 | 57,949,924 | ||||||
SK Hynix Inc. | 3,820,436 | 157,784,091 | ||||||
SK Innovation Co. Ltd. | 424,181 | 57,957,961 | ||||||
SK Networks Co. Ltd. | 847,135 | 5,551,422 | ||||||
SK Telecom Co. Ltd. | 131,167 | 26,854,000 | ||||||
Woori Banka | 2,014,143 | 23,690,561 | ||||||
Yuhan Corp. | 54,336 | 10,763,886 | ||||||
|
| |||||||
3,907,927,435 |
Security | Shares | Value | ||||||
TAIWAN — 12.28% | ||||||||
Acer Inc.c | 19,271,121 | $ | 9,251,844 | |||||
Advanced Semiconductor Engineering Inc.c | 41,414,701 | 51,425,483 | ||||||
Advantech Co. Ltd. | 2,117,370 | 18,021,783 | ||||||
Asia Cement Corp. | 15,267,077 | 15,106,324 | ||||||
Asia Pacific Telecom Co. Ltd.a | 13,319,000 | 4,465,172 | ||||||
Asustek Computer Inc. | 4,629,968 | 41,818,677 | ||||||
AU Optronics Corp.c | 56,944,000 | 22,611,903 | ||||||
Casetek Holdings Ltd. | 881,000 | 2,982,212 | ||||||
Catcher Technology Co. Ltd.c | 4,300,210 | 35,970,966 | ||||||
Cathay Financial Holding Co. Ltd. | 53,806,644 | 84,501,133 | ||||||
Chailease Holding Co. Ltd.c | 6,727,932 | 14,430,996 | ||||||
Chang Hwa Commercial Bank Ltd. | 32,810,515 | 19,596,496 | ||||||
Cheng Shin Rubber Industry Co. Ltd.c | 12,771,128 | 27,143,869 | ||||||
Chicony Electronics Co. Ltd. | 3,494,933 | 8,235,818 | ||||||
China Airlines Ltd. | 16,445,347 | 5,406,220 | ||||||
China Development Financial Holding Corp. | 87,127,848 | 22,970,546 | ||||||
China Life Insurance Co. Ltd./Taiwan | 22,951,822 | 22,523,392 | ||||||
China Steel Corp.c | 77,260,313 | 64,879,199 | ||||||
Chunghwa Telecom Co. Ltd. | 24,885,410 | 82,617,925 | ||||||
Compal Electronics Inc. | 27,320,908 | 17,118,085 | ||||||
CTBC Financial Holding Co. Ltd. | 115,375,772 | 68,909,643 | ||||||
Delta Electronics Inc. | 12,807,000 | 71,280,844 | ||||||
E.Sun Financial Holding Co. Ltd. | 51,731,458 | 31,402,402 | ||||||
Eclat Textile Co. Ltd.c | 1,242,360 | 12,494,971 | ||||||
EVA Airways Corp. | 13,142,878 | 6,523,635 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 11,076,808 | 5,245,742 | ||||||
Far Eastern New Century Corp. | 20,690,038 | 18,519,246 | ||||||
Far EasTone Telecommunications Co. Ltd. | 10,498,000 | 25,285,270 | ||||||
Feng TAY Enterprise Co. Ltd.c | 2,195,529 | 9,289,917 |
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
First Financial Holding Co. Ltd. | 62,350,588 | $ | 36,833,797 | |||||
Formosa Chemicals & Fibre Corp.c | 21,210,090 | 67,102,405 | ||||||
Formosa Petrochemical Corp. | 7,584,000 | 26,412,616 | ||||||
Formosa Plastics Corp. | 27,101,280 | 81,682,703 | ||||||
Formosa Taffeta Co. Ltd. | 4,998,000 | 5,075,515 | ||||||
Foxconn Technology Co. Ltd. | 6,146,637 | 18,345,781 | ||||||
Fubon Financial Holding Co. Ltd. | 43,857,969 | 71,018,405 | ||||||
Giant Manufacturing Co. Ltd.c | 1,865,203 | 11,534,772 | ||||||
Highwealth Construction Corp. | 5,388,170 | 8,751,271 | ||||||
Hiwin Technologies Corp.c | 1,353,972 | 8,637,639 | ||||||
Hon Hai Precision Industry Co. Ltd. | 101,684,592 | 296,215,307 | ||||||
Hotai Motor Co. Ltd.c | 1,644,000 | 18,808,599 | ||||||
HTC Corp.a,c | 4,380,708 | 11,249,951 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 48,555,958 | 26,709,056 | ||||||
Innolux Corp.c | 58,677,002 | 23,873,013 | ||||||
Inventec Corp. | 16,643,281 | 12,351,028 | ||||||
Largan Precision Co. Ltd. | 662,000 | 98,254,431 | ||||||
Lite-On Technology Corp. | 14,166,246 | 23,746,047 | ||||||
MediaTek Inc. | 9,777,338 | 71,284,968 | ||||||
Mega Financial Holding Co. Ltd. | 71,285,162 | 55,453,167 | ||||||
Merida Industry Co. Ltd.c | 1,417,500 | 7,243,559 | ||||||
Micro-Star International Co. Ltd. | 4,300,000 | 9,951,015 | ||||||
Nan Ya Plastics Corp. | 31,147,160 | 75,628,693 | ||||||
Nanya Technology Corp.c | 4,513,000 | 6,683,532 | ||||||
Nien Made Enterprise Co. Ltd. | 997,000 | 9,751,444 | ||||||
Novatek Microelectronics Corp.c | 3,763,000 | 14,085,147 | ||||||
OBI Pharma Inc.a,c | 741,000 | 8,429,362 | ||||||
Pegatron Corp. | 12,697,414 | 33,351,712 | ||||||
Phison Electronics Corp. | 991,535 | 8,697,534 | ||||||
Pou Chen Corp. | 14,460,220 | 19,626,383 | ||||||
Powertech Technology Inc. | 4,484,300 | 13,019,336 | ||||||
President Chain Store Corp. | 3,796,000 | 27,861,344 | ||||||
Quanta Computer Inc. | 17,779,000 | 36,861,761 | ||||||
Realtek Semiconductor Corp. | 3,065,637 | 11,424,982 | ||||||
Ruentex Development Co. Ltd.a,c | 5,464,025 | 6,873,714 |
Security | Shares | Value | ||||||
Ruentex Industries Ltd.c | 3,641,598 | $ | 6,910,188 | |||||
Shin Kong Financial Holding Co. Ltd.a | 53,502,865 | 14,436,466 | ||||||
Siliconware Precision Industries Co. Ltd. | 14,260,509 | 22,465,169 | ||||||
SinoPac Financial Holdings Co. Ltd. | 65,208,021 | 19,844,581 | ||||||
Standard Foods Corp. | 2,624,438 | 6,577,432 | ||||||
Synnex Technology International Corp.c | 9,232,834 | 10,142,339 | ||||||
TaiMed Biologics Inc.a,c | 1,074,000 | 6,414,601 | ||||||
Taishin Financial Holding Co. Ltd. | 55,554,144 | 21,969,595 | ||||||
Taiwan Business Bank | 26,414,556 | 7,230,505 | ||||||
Taiwan Cement Corp. | 21,907,296 | 26,846,215 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 50,523,219 | 24,091,173 | ||||||
Taiwan Fertilizer Co. Ltd. | 4,674,000 | 6,465,572 | ||||||
Taiwan Mobile Co. Ltd. | 10,596,600 | 37,249,428 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 161,581,000 | 993,988,608 | ||||||
Teco Electric and Machinery Co. Ltd. | 12,476,000 | 11,248,237 | ||||||
Transcend Information Inc.c | 1,292,000 | 3,629,131 | ||||||
Uni-President Enterprises Corp. | 31,640,839 | 56,230,241 | ||||||
United Microelectronics Corp. | 77,393,000 | 32,117,459 | ||||||
Vanguard International Semiconductor Corp.c | 6,043,000 | 11,939,073 | ||||||
Wistron Corp. | 16,374,146 | 13,723,510 | ||||||
WPG Holdings Ltd.c | 9,797,532 | 12,436,856 | ||||||
Yuanta Financial Holding Co. Ltd. | 62,920,635 | 26,623,537 | ||||||
Yulon Motor Co. Ltd. | 5,385,000 | 5,012,808 | ||||||
Zhen Ding Technology Holding Ltd. | 2,638,075 | 6,568,677 | ||||||
|
| |||||||
3,467,021,103 | ||||||||
THAILAND — 2.22% | ||||||||
Advanced Info Service PCL NVDR | 6,776,000 | 32,418,731 | ||||||
Airports of Thailand PCL NVDRc | 27,922,000 | 30,997,336 | ||||||
Bangkok Bank PCL Foreign | 1,609,800 | 8,900,930 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 25,627,200 | 14,757,179 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Bangkok Expressway & Metro PCL | 46,159,300 | $ | 9,322,974 | |||||
Banpu PCL NVDR | 11,788,800 | 6,619,601 | ||||||
BEC World PCL NVDR | 6,837,600 | 3,075,456 | ||||||
Berli Jucker PCL NVDR | 7,586,400 | 9,997,691 | ||||||
BTS Group Holdings PCL NVDR | 36,253,100 | 8,516,578 | ||||||
Bumrungrad Hospital PCL NVDR | 2,394,200 | 12,072,000 | ||||||
Central Pattana PCL NVDRc | 9,243,100 | 14,564,195 | ||||||
Charoen Pokphand Foods PCL NVDR | 18,024,300 | 14,458,478 | ||||||
CP ALL PCL NVDR | 32,526,600 | 55,910,845 | ||||||
Delta Electronics Thailand PCL NVDR | 3,292,000 | 8,723,840 | ||||||
Electricity Generating PCL NVDR | 796,900 | 4,725,854 | ||||||
Energy Absolute PCL NVDRc | 7,129,300 | 5,106,144 | ||||||
Glow Energy PCL NVDR | 3,540,200 | 7,910,948 | ||||||
Home Product Center PCL NVDR | 26,155,714 | 7,380,894 | ||||||
Indorama Ventures PCL NVDR | 9,679,980 | 9,844,846 | ||||||
IRPC PCL NVDR | 67,193,600 | 9,548,073 | ||||||
Kasikornbank PCL Foreign | 7,744,900 | 42,268,509 | ||||||
Kasikornbank PCL NVDR | 3,672,100 | 20,146,027 | ||||||
KCE Electronics PCL NVDR | 1,579,100 | 4,444,760 | ||||||
Krung Thai Bank PCL NVDR | 23,224,100 | 13,040,706 | ||||||
Minor International PCL NVDRc | 14,238,720 | 13,971,327 | ||||||
PTT Exploration & Production PCL NVDR | 9,000,739 | 23,980,998 | ||||||
PTT Global Chemical PCL NVDR | 13,646,430 | 27,855,442 | ||||||
PTT PCL NVDR | 6,552,300 | 74,523,015 | ||||||
Robinson Department Store PCL NVDR | 3,276,600 | 5,773,041 | ||||||
Siam Cement PCL (The) Foreign | 2,051,800 | 30,331,289 | ||||||
Siam Cement PCL (The) NVDR | 592,300 | 8,755,835 | ||||||
Siam Commercial Bank PCL (The) NVDR | 11,567,700 | 51,035,676 | ||||||
Thai Oil PCL NVDR | 5,515,300 | 11,889,998 | ||||||
Thai Union Group PCL NVDR | 12,482,100 | 7,259,218 |
Security | Shares | Value | ||||||
TMB Bank PCL NVDR | 87,587,700 | $ | 6,122,645 | |||||
True Corp. PCL NVDRc | 65,599,401 | 11,745,893 | ||||||
|
| |||||||
627,996,972 | ||||||||
TURKEY — 1.05% | ||||||||
Akbank TAS | 14,527,038 | 34,799,857 | ||||||
Anadolu Efes Biracilik ve Malt Sanayii AS | 1,351,497 | 7,376,679 | ||||||
Arcelik AS | 1,573,376 | 9,056,150 | ||||||
BIM Birlesik Magazalar AS | 1,407,412 | 20,329,802 | ||||||
Coca-Cola Icecek AS | 491,620 | 4,751,405 | ||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi AS | 12,740,642 | 10,993,001 | ||||||
Enka Insaat ve Sanayi AS | 1 | 1 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 9,199,490 | 15,063,670 | ||||||
Ford Otomotiv Sanayi AS | 467,326 | 4,717,576 | ||||||
Haci Omer Sabanci Holding AS | 6,099,685 | 16,932,359 | ||||||
KOC Holding AS | 4,170,923 | 17,051,160 | ||||||
Petkim Petrokimya Holding AS | 4,448,440 | 5,297,514 | ||||||
TAV Havalimanlari Holding AS | 1,089,373 | 4,555,571 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 827,486 | 6,199,986 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 821,878 | 19,291,794 | ||||||
Turk Hava Yollari AOa,c | 3,495,191 | 5,260,707 | ||||||
Turk Telekomunikasyon AS | 2,979,325 | 4,730,652 | ||||||
Turkcell Iletisim Hizmetleri ASa | 5,764,540 | 18,878,249 | ||||||
Turkiye Garanti Bankasi AS | 15,079,723 | 35,832,840 | ||||||
Turkiye Halk Bankasi AS | 4,096,385 | 12,726,392 | ||||||
Turkiye Is Bankasi Class C | 10,409,935 | 18,164,872 | ||||||
Turkiye Sise ve Cam Fabrikalari AS | 4,865,020 | 5,257,161 | ||||||
Turkiye Vakiflar Bankasi Tao Class Dc | 4,983,655 | 7,281,225 | ||||||
Ulker Biskuvi Sanayi ASc | 1,010,030 | 5,142,588 | ||||||
Yapi ve Kredi Bankasi ASa,c | 5,637,167 | 5,982,769 | ||||||
|
| |||||||
295,673,980 | ||||||||
UNITED ARAB EMIRATES — 0.81% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 13,021,979 | 25,139,777 | ||||||
Aldar Properties PJSC | 21,041,833 | 13,750,960 |
36 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
DP World Ltd. | 1,092,595 | $ | 23,130,236 | |||||
Dubai Islamic Bank PJSC | 8,193,680 | 13,944,316 | ||||||
DXB Entertainments PJSCa | 16,808,821 | 4,943,098 | ||||||
Emaar Malls PJSC | 12,852,933 | 9,169,417 | ||||||
Emaar Properties PJSC | 23,246,110 | 47,156,847 | ||||||
Emirates Telecommunications Group Co. PJSC | 11,524,789 | 55,231,119 | ||||||
First Gulf Bank PJSC | 5,911,681 | 21,972,620 | ||||||
National Bank of Abu Dhabi PJSC | 4,497,459 | 12,858,630 | ||||||
|
| |||||||
227,297,020 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $25,573,286,834) |
| 26,796,126,968 | ||||||
PREFERRED STOCKS — 4.62% |
| |||||||
BRAZIL — 3.44% |
| |||||||
Banco Bradesco SA | 18,197,749 | 195,489,801 | ||||||
Braskem SA Class A | 1,023,800 | 10,639,490 | ||||||
Centrais Eletricas Brasileiras SA Class B | 1,625,537 | 12,853,812 | ||||||
Cia. Brasileira de Distribuicao | 1,042,886 | 19,258,695 | ||||||
Cia. Energetica de Minas Gerais | 4,960,302 | 17,044,561 | ||||||
Cia. Paranaense de Energia Class B | 687,675 | 7,449,260 | ||||||
Gerdau SA | 6,051,885 | 25,191,871 | ||||||
Itau Unibanco Holding SA | 21,204,953 | 272,849,331 | ||||||
Itausa-Investimentos Itau SA | 25,476,430 | 82,219,016 | ||||||
Lojas Americanas SA | 3,841,924 | 20,253,151 | ||||||
Petroleo Brasileiro SA | 25,670,327 | 125,257,333 | ||||||
Suzano Papel e Celulose SA Class A | 2,657,200 | 11,488,055 | ||||||
Telefonica Brasil SA | 2,922,167 | 43,123,333 | ||||||
Vale SA | 12,622,151 | 127,844,416 | ||||||
|
| |||||||
970,962,125 | ||||||||
CHILE — 0.09% | ||||||||
Embotelladora Andina SA Class B | 1,719,217 | 6,580,863 | ||||||
Sociedad Quimica y Minera de Chile SA Series B | 640,202 | 20,113,905 | ||||||
|
| |||||||
26,694,768 | ||||||||
COLOMBIA — 0.15% | ||||||||
Bancolombia SA | 2,953,223 | 27,588,409 |
Security | Shares | Value | ||||||
Grupo Aval Acciones y Valores SA | 21,127,173 | $ | 8,205,500 | |||||
Grupo de Inversiones Suramericana SA | 551,409 | 6,698,383 | ||||||
|
| |||||||
42,492,292 | ||||||||
RUSSIA — 0.19% | ||||||||
Surgutneftegas OJSC | 45,672,200 | 24,916,550 | ||||||
Transneft PJSC | 9,251 | 28,741,048 | ||||||
|
| |||||||
53,657,598 | ||||||||
SOUTH KOREA — 0.75% | ||||||||
AmorePacific Corp. | 59,726 | 8,847,318 | ||||||
Hyundai Motor Co. | 151,828 | 13,145,223 | ||||||
Hyundai Motor Co. Series 2 | 251,299 | 22,668,581 | ||||||
LG Chem Ltd. | 51,061 | 8,015,324 | ||||||
LG Household & Health Care Ltd. | 13,067 | 6,563,835 | ||||||
Samsung Electronics Co. Ltd. | 114,669 | 151,708,887 | ||||||
|
| |||||||
210,949,168 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $973,447,300) |
| 1,304,755,951 | ||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.00% |
| |||||||
Itausa – Investimentos Itau SAa | 417,460 | 528,702 | ||||||
|
| |||||||
528,702 | ||||||||
MALAYSIA — 0.00% | ||||||||
IOI Properties Group Bhda | 2,961,571 | 486,925 | ||||||
|
| |||||||
486,925 | ||||||||
SOUTH KOREA — 0.01% | ||||||||
Korean Air Lines Co. Ltd.a | 57,944 | 415,075 | ||||||
Samsung Securities Co. Ltd.a | 49,142 | 297,699 | ||||||
|
| |||||||
712,774 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 1,728,401 | ||||||
SHORT-TERM INVESTMENTS — 5.32% |
| |||||||
MONEY MARKET FUNDS — 5.32% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%e,f,g | 1,498,811,642 | 1,499,411,167 |
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
0.47%e,f | 4,491,543 | $ | 4,491,543 | |||||
|
| |||||||
1,503,902,710 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,503,381,169) |
| 1,503,902,710 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $28,050,115,303)h | 29,606,514,030 | |||||||
Other Assets, Less Liabilities — (4.83)% |
| (1,363,343,987 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 28,243,170,043 | ||||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
c | All or a portion of this security represents a security on loan. See Note 1. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $29,494,732,368. Net unrealized appreciation was $111,781,662, of which $5,084,453,880 represented gross unrealized appreciation on securities and $4,972,672,218 represented gross unrealized depreciation on securities. |
Schedule 1 — Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2017 were as follows:
Issue | Number of long (short) contracts | Expiration date | Exchange | Initial notional value | Current notional value | Unrealized appreciation (depreciation) | ||||||||||||||||||
MSCI Emerging Markets E-Mini Index | 2,628 | Mar. 2017 | ICE Futures U.S. | $ | 115,846,367 | $ | 122,307,120 | $ | 6,460,753 | |||||||||||||||
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. The breakdown of the Fund’s investments into major categories is disclosed in the Consolidated schedule of investments above.
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Investments: | ||||||||||||||||
Assets: | ||||||||||||||||
Common stocks | $ | 26,796,126,961 | $ | — | $ | 7 | $ | 26,796,126,968 | ||||||||
Preferred stocks | 1,304,755,951 | — | — | 1,304,755,951 | ||||||||||||
Rights | — | 1,728,401 | — | 1,728,401 | ||||||||||||
Money market funds | 1,503,902,710 | — | — | 1,503,902,710 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 29,604,785,622 | $ | 1,728,401 | $ | 7 | $ | 29,606,514,030 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa: | ||||||||||||||||
Assets: | ||||||||||||||||
Futures contracts | $ | 6,460,753 | $ | — | $ | — | $ | 6,460,753 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 6,460,753 | $ | — | $ | — | $ | 6,460,753 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
38 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares Currency Hedged MSCI Emerging | iShares Edge MSCI Min Vol EM Currency Hedged ETF | iShares Edge MSCI | ||||||||||
ASSETS | ||||||||||||
Investments, at cost: | ||||||||||||
Unaffiliated | $ | — | $ | — | $ | 3,474,726,381 | ||||||
Affiliated (Note 2) | 375,264,361 | 5,871,098 | 87,853,006 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments | $ | 375,264,361 | $ | 5,871,098 | $ | 3,562,579,387 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | — | $ | — | $ | 3,664,202,977 | ||||||
Affiliated (Note 2) | 375,140,578 | 5,949,924 | 87,882,263 | |||||||||
|
|
|
|
|
| |||||||
Total fair value of investments | 375,140,578 | 5,949,924 | 3,752,085,240 | |||||||||
Foreign currency, at valueb | — | — | 4,749,164 | |||||||||
Cash | — | — | 2,260,078 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 5,874,771 | 116,176 | 8,511,309 | |||||||||
Dividends and interest | 42,135 | 3 | 8,448,848 | |||||||||
Unrealized appreciation on forward currency contracts (Note 1) | 1,016,922 | 15,802 | — | |||||||||
Foreign currency, at value | — | — | 1,913 | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 382,074,406 | 6,081,905 | 3,776,056,552 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | — | — | 8,663,485 | |||||||||
Collateral for securities on loan (Note 1) | 110,782,121 | — | 87,847,503 | |||||||||
Securities related to in-kind transactions (Note 4) | — | — | 74,930 | |||||||||
Unrealized depreciation on forward currency contracts (Note 1) | 6,429,480 | 128,014 | — | |||||||||
Investment advisory fees (Note 2) | — | 137 | 646,327 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 117,211,601 | 128,151 | 97,232,245 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 264,862,805 | $ | 5,953,754 | $ | 3,678,824,307 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 283,576,570 | $ | 6,020,926 | $ | 4,101,384,280 | ||||||
Undistributed (distributions in excess of) net investment income | 80,823 | (345 | ) | 1,294,200 | ||||||||
Accumulated net realized loss | (13,258,247 | ) | (33,441 | ) | (613,817,207 | ) | ||||||
Net unrealized appreciation (depreciation) | (5,536,341 | ) | (33,386 | ) | 189,963,034 | |||||||
|
|
|
| �� |
|
| ||||||
NET ASSETS | $ | 264,862,805 | $ | 5,953,754 | $ | 3,678,824,307 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 11,950,000 | 250,000 | 70,700,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 22.16 | $ | 23.82 | $ | 52.03 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $100,436,746, $ — and $81,043,097, respectively. See Note 1. |
b | Cost of foreign currency: $ —, $ — and $4,741,282, respectively. |
c | $0.001 par value, number of shares authorized: 250 million, 25 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 39 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2017
iShares MSCI Emerging Markets ETF | ||||
ASSETS | ||||
Investments, at cost: | ||||
Unaffiliated | $ | 26,546,734,134 | ||
Affiliated (Note 2) | 1,503,381,169 | |||
|
| |||
Total cost of investments | $ | 28,050,115,303 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 28,102,611,320 | ||
Affiliated (Note 2) | 1,503,902,710 | |||
|
| |||
Total fair value of investments | 29,606,514,030 | |||
Foreign currency, at valueb | 9,557,230 | |||
Cash pledged to broker | 4,217,010 | |||
Cash | 28,657,802 | |||
Receivables: | ||||
Investment securities sold | 77,050,079 | |||
Dividends and interest | 85,631,020 | |||
Tax reclaims | 102,175 | |||
|
| |||
Total Assets | 29,811,729,346 | |||
|
| |||
LIABILITIES | ||||
Payables: | ||||
Investment securities purchased | 53,790,305 | |||
Collateral for securities on loan (Note 1) | 1,498,771,530 | |||
Futures variation margin | 939,908 | |||
Foreign taxes (Note 1) | 68,419 | |||
Professional fees (Note 10) | 5,619 | |||
Investment advisory fees (Note 2) | 14,983,522 | |||
|
| |||
Total Liabilities | 1,568,559,303 | |||
|
| |||
NET ASSETS | $ | 28,243,170,043 | ||
|
| |||
Net assets consist of: | ||||
Paid-in capital | $ | 39,065,326,735 | ||
Distributions in excess of net investment income | (97,470,731 | ) | ||
Accumulated net realized loss | (12,292,061,857 | ) | ||
Net unrealized appreciation | 1,567,375,896 | |||
|
| |||
NET ASSETS | $ | 28,243,170,043 | ||
|
| |||
Shares outstandingc | 738,900,000 | |||
|
| |||
Net asset value per share | $ | 38.22 | ||
|
|
a | Securities on loan with a value of $1,430,424,286. See Note 1. |
b | Cost of foreign currency: $9,545,918. |
c | $0.001 par value, number of shares authorized: 2 billion. |
See notes to financial statements.
40 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares Currency Hedged | iShares Edge MSCI EM Currency | iShares Edge MSCI Min Vol Emerging | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | — | $ | — | $ | 26,635,546 | ||||||
Dividends — affiliated (Note 2) | 2,269,792 | 137,038 | 7,653 | |||||||||
Interest — unaffiliated | — | — | 98 | |||||||||
Securities lending income — affiliated — net (Note 2) | 144,117 | — | 1,652,117 | |||||||||
|
|
|
|
|
| |||||||
2,413,909 | 137,038 | 28,295,414 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | (171,004 | ) | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 2,413,909 | 137,038 | 28,124,410 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 786,800 | 25,475 | 13,825,067 | |||||||||
Mauritius income taxes (Note 1) | — | — | 52,265 | |||||||||
Commitment fees (Note 9) | — | — | 11,080 | |||||||||
Interest expense (Note 9) | — | — | 20,247 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 786,800 | 25,475 | 13,908,659 | |||||||||
Less investment advisory fees waived (Note 2) | (786,800 | ) | (24,495 | ) | (8,916,518 | ) | ||||||
|
|
|
|
|
| |||||||
Net expenses | — | 980 | 4,992,141 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 2,413,909 | 136,058 | 23,132,269 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | — | (6 | ) | (167,427,165 | ) | |||||||
Investments — affiliated (Note 2) | (2,156,452 | ) | (16,097 | ) | 5,503 | |||||||
In-kind redemptions — unaffiliated | — | — | 48,706,475 | |||||||||
In-kind redemptions — affiliated (Note 2) | 2,382,792 | 27,285 | — | |||||||||
Foreign currency transactions | (2,633,387 | ) | 61,571 | (974,761 | ) | |||||||
Realized gain distributions from affiliated funds | 6 | — | 445 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | (2,407,041 | ) | 72,753 | (119,689,503 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments | 13,951,180 | (246,896 | ) | 7,958,458 | ||||||||
Forward currency contracts | (4,408,072 | ) | (84,772 | ) | — | |||||||
Translation of assets and liabilities in foreign currencies | — | — | 501,118 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 9,543,108 | (331,668 | ) | 8,459,576 | ||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 7,136,067 | (258,915 | ) | (111,229,927 | ) | |||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 9,549,976 | $ | (122,857 | ) | $ | (88,097,658 | ) | ||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $ —, $ — and $3,161,506, respectively. |
FINANCIAL STATEMENTS | 41 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2017
iShares MSCI Emerging (Consolidated) | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 203,437,624 | ||
Dividends — affiliated (Note 2) | 110,015 | |||
Interest — unaffiliated | 6,417 | |||
Miscellaneous income | 136 | |||
Securities lending income — affiliated — net (Note 2)b | 9,857,454 | |||
Foreign withholding tax claims (Note 10) | 249,147 | |||
|
| |||
213,660,793 | ||||
Less: Other foreign taxes (Note 1) | (1,458,694 | ) | ||
|
| |||
Total investment income | 212,202,099 | |||
|
| |||
EXPENSES | ||||
Investment advisory fees (Note 2) | 98,167,699 | |||
Mauritius income taxes (Note 1) | 479,059 | |||
Commitment fees (Note 9) | 133,511 | |||
Interest expense (Note 9) | 7,815 | |||
Professional fees (Note 10) | 25,722 | |||
|
| |||
Total expenses | 98,813,806 | |||
|
| |||
Net investment income | 113,388,293 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||
Net realized gain (loss) from: | ||||
Investments — unaffiliated | (731,808,816 | ) | ||
Investments — affiliated (Note 2) | 118,096 | |||
In-kind redemptions — unaffiliated | 238,286,576 | |||
Futures contracts | 8,867,523 | |||
Foreign currency transactions | (3,591,465 | ) | ||
Realized gain distributions from affiliated funds | 5,679 | |||
|
| |||
Net realized loss | (488,122,407 | ) | ||
|
| |||
Net change in unrealized appreciation/depreciation on: | ||||
Investments | 1,636,370,071 | |||
Futures contracts | (2,726,878 | ) | ||
Translation of assets and liabilities in foreign currencies | 4,790,077 | |||
|
| |||
Net change in unrealized appreciation/depreciation | 1,638,433,270 | |||
|
| |||
Net realized and unrealized gain | 1,150,310,863 | |||
|
| |||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,263,699,156 | ||
|
|
a | Net of foreign withholding tax of $27,766,162. |
b | Net of securities lending income tax paid of $410,744. |
42 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||||||||||
Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | Six months February 28, 2017 (Unaudited) | Period from to | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 2,413,909 | $ | 4,831,535 | $ | 136,058 | $ | 105,245 | ||||||||
Net realized gain (loss) | (2,407,041 | ) | (8,044,500 | ) | 72,753 | (106,194 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 9,543,108 | 15,786,871 | (331,668 | ) | 298,282 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 9,549,976 | 12,573,906 | (122,857 | ) | 297,333 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (2,358,898 | ) | (4,805,723 | ) | (136,403 | ) | (105,245 | ) | ||||||||
From net realized gain | — | (7,816,489 | ) | — | — | |||||||||||
Return of capital | — | — | — | (355 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (2,358,898 | ) | (12,622,212 | ) | (136,403 | ) | (105,600 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 111,009,713 | 60,096,742 | 3,586,153 | 5,985,059 | ||||||||||||
Cost of shares redeemed | (33,591,778 | ) | (91,659,549 | ) | (3,549,931 | ) | — | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 77,417,935 | (31,562,807 | ) | 36,222 | 5,985,059 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 84,609,013 | (31,611,113 | ) | (223,038 | ) | 6,176,792 | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 180,253,792 | 211,864,905 | 6,176,792 | — | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 264,862,805 | $ | 180,253,792 | $ | 5,953,754 | $ | 6,176,792 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 80,823 | $ | 25,812 | $ | (345 | ) | $ | — | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 5,200,000 | 2,850,000 | 150,000 | 250,000 | ||||||||||||
Shares redeemed | (1,550,000 | ) | (4,450,000 | ) | (150,000 | ) | — | |||||||||
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|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 3,650,000 | (1,600,000 | ) | — | 250,000 | |||||||||||
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|
|
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|
|
a | Commencement of operations. |
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | iShares MSCI Emerging Markets ETF (Consolidated) | |||||||||||||||
Six months ended | Year ended August 31, 2016 | Six months ended February 28, 2017 (Unaudited) | Year ended August 31, 2016 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 23,132,269 | $ | 97,409,176 | $ | 113,388,293 | $ | 490,598,902 | ||||||||
Net realized loss | (119,689,503 | ) | (285,334,960 | ) | (488,122,407 | ) | (2,033,422,033 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 8,459,576 | 474,631,130 | 1,638,433,270 | 3,716,580,146 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (88,097,658 | ) | 286,705,346 | 1,263,699,156 | 2,173,757,015 | |||||||||||
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| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (55,085,636 | ) | (81,549,891 | ) | (294,719,321 | ) | (501,097,523 | ) | ||||||||
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|
|
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|
| |||||||||
Total distributions to shareholders | (55,085,636 | ) | (81,549,891 | ) | (294,719,321 | ) | (501,097,523 | ) | ||||||||
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| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 87,685,834 | 1,711,528,424 | 119,124,264 | 14,107,740,227 | ||||||||||||
Cost of shares redeemed | (644,719,100 | ) | — | (3,711,402,633 | ) | (5,914,796,140 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (557,033,266 | ) | 1,711,528,424 | (3,592,278,369 | ) | 8,192,944,087 | ||||||||||
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|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (700,216,560 | ) | 1,916,683,879 | (2,623,298,534 | ) | 9,865,603,579 | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 4,379,040,867 | 2,462,356,988 | 30,866,468,577 | 21,000,864,998 | ||||||||||||
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| |||||||||
End of period | $ | 3,678,824,307 | $ | 4,379,040,867 | $ | 28,243,170,043 | $ | 30,866,468,577 | ||||||||
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|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 1,294,200 | $ | 33,247,567 | $ | (97,470,731 | ) | $ | 83,860,297 | |||||||
|
|
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|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,600,000 | 33,700,000 | 2,700,000 | 405,900,000 | ||||||||||||
Shares redeemed | (12,900,000 | ) | — | (103,950,000 | ) | (187,200,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (11,300,000 | ) | 33,700,000 | (101,250,000 | ) | 218,700,000 | ||||||||||
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|
|
|
|
|
|
See notes to financial statements.
44 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Currency Hedged MSCI Emerging Markets ETF
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Period from to | ||||||||||
Net asset value, beginning of period | $ | 21.72 | $ | 21.40 | $ | 24.44 | ||||||
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| |||||||
Income from investment operations: | ||||||||||||
Net investment incomeb | 0.26 | 0.50 | 0.41 | |||||||||
Net realized and unrealized gain (loss)c | 0.39 | 1.08 | (2.80 | ) | ||||||||
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| |||||||
Total from investment operations | 0.65 | 1.58 | (2.39 | ) | ||||||||
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| |||||||
Less distributions from: | ||||||||||||
Net investment income | (0.21 | ) | (0.48 | ) | (0.65 | ) | ||||||
Net realized gain | — | (0.78 | ) | — | ||||||||
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| |||||||
Total distributions | (0.21 | ) | (1.26 | ) | (0.65 | ) | ||||||
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| |||||||
Net asset value, end of period | $ | 22.16 | $ | 21.72 | $ | 21.40 | ||||||
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| |||||||
Total return | 3.04 | %d | 7.84 | % | (10.01 | )%d | ||||||
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| |||||||
Ratios/Supplemental data: | ||||||||||||
Net assets, end of period (000s) | $ | 264,863 | $ | 180,254 | $ | 211,865 | ||||||
Ratio of expenses to average net assetse,f | 0.00 | % | 0.00 | % | 0.02 | % | ||||||
Ratio of expenses to average net assets prior to waived feese,f | 0.78 | % | 0.78 | % | 0.78 | % | ||||||
Ratio of net investment income to average net assetse | 2.39 | % | 2.42 | % | 1.82 | % | ||||||
Portfolio turnover rateg,h | 3 | %d | 11 | % | 7 | %d |
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. This ratio does 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 48 for the portfolio turnover rates of the underlying fund. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 45 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Edge MSCI Min Vol EM Currency Hedged ETF
Six months ended Feb. 28, 2017 (Unaudited) | Period from to | |||||||
Net asset value, beginning of period | $ | 24.71 | $ | 24.50 | ||||
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| |||||
Income from investment operations: | ||||||||
Net investment incomeb | 0.50 | 0.58 | ||||||
Net realized and unrealized gain (loss)c | (1.05 | ) | 0.23 | |||||
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| |||||
Total from investment operations | (0.55 | ) | 0.81 | |||||
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| |||||
Less distributions from: | ||||||||
Net investment income | (0.34 | ) | (0.60 | ) | ||||
Return of capital | — | (0.00 | )d | |||||
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| |||||
Total distributions | (0.34 | ) | (0.60 | ) | ||||
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| |||||
Net asset value, end of period | $ | 23.82 | $ | 24.71 | ||||
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| |||||
Total return | (2.18 | )%e | 3.45 | %e | ||||
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| |||||
Ratios/Supplemental data: | ||||||||
Net assets, end of period (000s) | $ | 5,954 | $ | 6,177 | ||||
Ratio of expenses to average net assetsf,g | 0.03 | % | 0.03 | % | ||||
Ratio of expenses to average net assets prior to waived feesf,g | 0.78 | % | 0.78 | % | ||||
Ratio of net investment income to average net assetsf | �� | 4.17 | % | 2.88 | % | |||
Portfolio turnover rateh,i | 6 | %e | 8 | %e |
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. This ratio does 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 47 for the portfolio turnover rates of the underlying fund. |
See notes to financial statements.
46 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | ||||||||||||||||||||||||
Six months ended Feb. 28, 2017 (Unaudited) | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Period from to Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 53.40 | $ | 50.98 | $ | 62.47 | $ | 55.56 | $ | 55.32 | $ | 49.30 | ||||||||||||
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.30 | 1.57 | 1.58 | 1.51 | 1.85 | 1.93 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | (0.95 | ) | 2.13 | (11.65 | ) | 6.94 | (0.60 | ) | 5.41 | |||||||||||||||
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| |||||||||||||
Total from investment operations | (0.65 | ) | 3.70 | (10.07 | ) | 8.45 | 1.25 | 7.34 | ||||||||||||||||
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| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.72 | ) | (1.28 | ) | (1.42 | ) | (1.54 | ) | (1.01 | ) | (1.32 | ) | ||||||||||||
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| |||||||||||||
Total distributions | (0.72 | ) | (1.28 | ) | (1.42 | ) | (1.54 | ) | (1.01 | ) | (1.32 | ) | ||||||||||||
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| |||||||||||||
Net asset value, end of period | $ | 52.03 | $ | 53.40 | $ | 50.98 | $ | 62.47 | $ | 55.56 | $ | 55.32 | ||||||||||||
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|
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| |||||||||||||
Total return | (1.11 | )%d | 7.48 | % | (16.32 | )% | 15.44 | % | 2.22 | % | 15.16 | %d | ||||||||||||
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,678,824 | $ | 4,379,041 | $ | 2,462,357 | $ | 2,080,363 | $ | 2,455,727 | $ | 387,227 | ||||||||||||
Ratio of expenses to average net assetse | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feese | 0.70 | % | 0.71 | % | 0.69 | % | 0.67 | % | 0.67 | % | 0.69 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.16 | % | 3.12 | % | 2.71 | % | 2.58 | % | 3.13 | % | 4.08 | % | ||||||||||||
Portfolio turnover ratef | 12 | %d | 13 | % | 28 | % | 34 | % | 23 | % | 31 | %d |
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 in Creation Units but include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and the period ended August 31, 2012 were 12%, 23%,24%, 26%, 23% and 16%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 47 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Emerging Markets ETF (Consolidated) | ||||||||||||||||||||||||
Six months Feb. 28, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | Year ended Aug. 31, 2012 | |||||||||||||||||||
Net asset value, beginning of period | $ | 36.74 | $ | 33.79 | $ | 45.11 | $ | 38.44 | $ | 39.22 | $ | 42.71 | ||||||||||||
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|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.15 | 0.72 | 0.73 | 0.83 | 0.75 | 0.86 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.73 | 3.00 | (11.21 | ) | 6.55 | (0.76 | ) | (3.53 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.88 | 3.72 | (10.48 | ) | 7.38 | (0.01 | ) | (2.67 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.40 | ) | (0.77 | ) | (0.84 | ) | (0.71 | ) | (0.77 | ) | (0.82 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.40 | ) | (0.77 | ) | (0.84 | ) | (0.71 | ) | (0.77 | ) | (0.82 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 38.22 | $ | 36.74 | $ | 33.79 | $ | 45.11 | $ | 38.44 | $ | 39.22 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.22 | %c | 11.28 | % | (23.46 | )% | 19.34 | % | (0.08 | )% | (6.18 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 28,243,170 | $ | 30,866,469 | $ | 21,000,865 | $ | 44,336,401 | $ | 34,804,192 | $ | 34,256,628 | ||||||||||||
Ratio of expenses to average net assetsd | 0.70 | % | 0.72 | % | 0.69 | % | 0.67 | % | 0.67 | % | 0.68 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesd | 0.70 | % | 0.72 | % | 0.69 | % | 0.68 | % | 0.67 | % | 0.69 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claims (Note 10)d | 0.70 | % | n/a | n/a | n/a | n/a | n/a | |||||||||||||||||
Ratio of net investment income to average net assetsd | 0.80 | % | 2.15 | % | 1.79 | % | 1.98 | % | 1.78 | % | 2.13 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 23 | % | 10 | % | 22 | % | 24 | % | 15 | % |
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 | Not annualized. |
d | Annualized for periods of less than one year. |
e | Portfolio turnover rates include portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units solely for cashin U.S. dollars. Excluding such transactions, the portfolio turnover rates for the six months ended February 28, 2017, the years ended August 31, 2016, August 31, 2015, August 31, 2014, August 31, 2013 and August 31, 2012, were 2%, 6%, 7%,7%, 9% and 10% , respectively. See Note 4. |
See notes to financial statements.
48 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |||
Currency Hedged MSCI Emerging Markets | Non-diversified | |||
Edge MSCI Min Vol EM Currency Hedged | Non-diversified | |||
Edge MSCI Min Vol Emerging Markets | Diversified | |||
MSCI Emerging Markets | 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. Currently each currency hedged fund seeks to achieve its investment objective by investing a substantial portion of its assets in an iShares fund (an “underlying fund”). The financial statements and schedules of investments for the underlying funds are included in this report and should be read in conjunction with the financial statements of the currency hedged funds.
Each of the iShares Edge MSCI Min Vol Emerging Markets ETF and iShares MSCI Emerging Markets ETF carries out its investment strategies associated with investment in Indian securities by investing in a wholly-owned subsidiary in the Republic of Mauritius (each, a “Subsidiary”), which in turn invests in Indian securities included in the underlying index. The investment adviser of each Fund also serves as the investment adviser to each Subsidiary. Through this investment structure, each Fund expects to obtain certain benefits under a current tax treaty between Mauritius and India. The accompanying consolidated financial statements for each Fund include the accounts of its Subsidiary. Intercompany accounts and transactions, if any, have been eliminated.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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
NOTESTO FINANCIAL STATEMENTS | 49 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 Directors of the Company (the “Board”).
• | 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. |
• | 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. |
• | 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. |
• | 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. |
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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 |
50 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 Company’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.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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. Each Fund reports realized currency gains (losses) on foreign currency related transactions as components of net realized gain (loss) for financial reporting purposes, whereas such components are generally treated as ordinary income for federal income tax purposes. However, the iShares Currency Hedged MSCI Emerging Markets ETF and iShares Edge MSCI Min Vol EM Currency Hedged ETF have elected to treat realized gains (losses) from certain foreign currency contracts as capital gain (loss) for federal income tax purposes.
NOTESTO FINANCIAL STATEMENTS | 51 |
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iSHARES®, INC.
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 February 28, 2017, if any, are disclosed in the Funds’ statements of assets and liabilities.
Each of the the iShares Edge MSCI Min Vol Emerging Markets ETF and iShares MSCI Emerging Markets ETF conducts its investment activities in India through its Subsidiary and expects to obtain benefits under the Double Tax Avoidance Agreement (“DTAA”) between India and Mauritius. In order to be eligible to claim benefits under the DTAA, each Subsidiary must, on an annual basis, satisfy certain tests and conditions, including the establishment and maintenance of valid tax residence in Mauritius and related requirements. Each Fund has obtained a current tax residence certificate issued by the Mauritian Revenue Authorities.
Based upon current interpretation and practice of the current tax laws in India and Mauritius and the DTAA, each Subsidiary is subject to tax in Mauritius on its net income at the rate of 15%. However, a system of tax credits effectively reduces the Mauritius income tax rate to a maximum of 3%. Taxes on income, if any, are paid by the Subsidiaries and are disclosed in the consolidated statements of operations. Any dividends paid by a Subsidiary to its Fund are not subject to tax in Mauritius. Each Subsidiary is currently exempt from tax in Mauritius on any gains from the sale of securities.
On May 10, 2016, India and Mauritius signed an amendment to the DTAA. The amendment provides that capital gains will be taxable in India with respect to the sale of shares acquired on or after April 1, 2017. Capital gains arising from shares acquired before April 1, 2017, regardless of when they are sold, will continue to be exempt from taxation under the amended DTAA, assuming requirements for eligibility under the DTAA are satisfied. Tax laws in India also include provisions that impose Indian tax on certain indirect transfers of shares of Indian companies. However, until such time that India provides more definitive authoritative guidance on the indirect transfer rules, the impact to the Funds, if any, cannot be determined. Management is continuing to monitor and assess the impact to the Funds arising from the DTAA amendment and the indirect transfer rules.
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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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
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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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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 February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
Currency Hedged MSCI Emerging Markets | ||||||||||||
BMO Capital Markets | $ | 15,340,362 | $ | 15,340,362 | $ | — | ||||||
Goldman Sachs & Co. | 34,227,774 | 34,227,774 | — | |||||||||
JPMorgan Securities LLC | 50,868,610 | 50,868,610 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 100,436,746 | $ | 100,436,746 | $ | — | |||||||
|
|
|
|
|
| |||||||
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iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
Edge MSCI Min Vol Emerging Markets | ||||||||||||
Barclays Capital Inc. | $ | 3,084,050 | $ | 3,084,050 | $ | — | ||||||
Citigroup Global Markets Inc. | 1,977,878 | 1,977,878 | — | |||||||||
Credit Suisse Securities (USA) LLC | 18,223,786 | 18,223,786 | — | |||||||||
Deutsche Bank AG | 24,911 | 24,911 | — | |||||||||
Deutsche Bank Securities Inc. | 6,036,274 | 6,036,274 | — | |||||||||
Goldman Sachs & Co. | 8,424,685 | 8,424,685 | — | |||||||||
HSBC Bank PLC | 2,093,251 | 2,093,251 | — | |||||||||
Jefferies LLC | 21,859 | 21,859 | — | |||||||||
JPMorgan Securities LLC | 387,764 | 387,764 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,166,469 | 1,166,469 | — | |||||||||
Morgan Stanley & Co. International PLC | 4,175,891 | 4,175,891 | — | |||||||||
Morgan Stanley & Co. LLC | 24,074,741 | 24,074,741 | — | |||||||||
State Street Bank & Trust Company | 11,873 | 11,873 | — | |||||||||
UBS AG | 11,339,665 | 11,339,665 | — | |||||||||
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|
|
|
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| |||||||
$ | 81,043,097 | $ | 81,043,097 | $ | — | |||||||
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|
|
|
|
| |||||||
MSCI Emerging Markets | ||||||||||||
Barclays Capital Inc. | $ | 7,779,622 | $ | 7,779,622 | $ | — | ||||||
BMO Capital Markets | 1,938,820 | 1,938,820 | — | |||||||||
BNP Paribas Prime Brokerage International Ltd. | 18,748,858 | 18,748,858 | — | |||||||||
Citigroup Global Markets Inc. | 41,610,072 | 41,610,072 | — | |||||||||
Credit Suisse Securities (Europe) Ltd. | 65,403,055 | 48,259,237 | (17,143,818 | ) | ||||||||
Credit Suisse Securities (USA) LLC | 32,760,091 | 32,760,091 | — | |||||||||
Deutsche Bank AG | 408,920 | 408,920 | — | |||||||||
Deutsche Bank Securities Inc. | 59,396,565 | 59,303,723 | (92,842 | ) | ||||||||
Goldman Sachs & Co. | 400,095,260 | 400,095,260 | — | |||||||||
Goldman Sachs International | 71,029,366 | 66,894,887 | (4,134,479 | ) | ||||||||
HSBC Bank PLC | 13,807,530 | 13,807,530 | — | |||||||||
Jefferies LLC | 78,324 | 72,791 | (5,533 | ) | ||||||||
JPMorgan Securities LLC | 289,278,844 | 289,278,844 | — | |||||||||
JPMorgan Securities PLC | 9,298,776 | 9,298,776 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 18,455,699 | 18,455,699 | — | |||||||||
Morgan Stanley & Co. International PLC | 44,798,144 | 44,798,144 | — | |||||||||
Morgan Stanley & Co. LLC | 146,600,928 | 146,600,928 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 12,184,526 | 12,184,526 | — | |||||||||
National Financial Services LLC | 10,859,016 | 10,859,016 | — | |||||||||
Nomura Securities International Inc. | 1,567,214 | 1,567,214 | — | |||||||||
Scotia Capital (USA) Inc. | 675,753 | 675,753 | — | |||||||||
State Street Bank & Trust Company | 2,039,013 | 2,039,013 | — | |||||||||
UBS AG | 12,988,274 | 12,988,274 | — | |||||||||
UBS Ltd. | 12,915,065 | 12,915,065 | — | |||||||||
UBS Securities LLC | 450,576 | 450,576 | — | |||||||||
Wells Fargo Securities LLC | 155,255,975 | 155,255,975 | — | |||||||||
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|
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| |||||||
$ | 1,430,424,286 | $ | 1,409,047,614 | $ | (21,376,672 | ) | ||||||
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|
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| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s consolidated statement of assets and liabilities. |
b | Additional collateral is delivered to the Funds 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. |
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iSHARES®, INC.
2. | INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Pursuant to an Investment Advisory Agreement with the Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
Each 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. Each 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.
For its investment advisory services to the iShares Currency Hedged MSCI Emerging Markets ETF, BFA is entitled to an annual investment advisory fee of 0.78% based on the average daily net assets of the Fund. In addition, the Fund may incur 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 the investment advisory fee for the Fund through December 31, 2020 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 investment in the iShares MSCI Emerging Markets ETF (“EEM”), after taking into account any fee waivers by EEM.
For its investment advisory services to the iShares Edge MSCI Min Vol EM Currency Hedged ETF, BFA is entitled to an annual investment advisory fee of 0.78% based on the average daily net assets of the Fund. In addition, the Fund may incur acquired fund fees and expenses. BFA has contractually agreed reduce the investment advisory fee for the Fund through December 31, 2020 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 investment in the iShares Edge MSCI MinVol Emerging Markets ETF (“EEMV”), after taking into account any fee waivers by EEMV, plus 0.03%.
For its investment advisory services to each of the iShares Edge MSCI Min Vol Emerging Markets ETF and iShares MSCI Emerging Markets ETF, BFA is entitled to an annual investment advisory fee based on each 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 | ||||
0.75 | % | First $14 billion | |||
0.68 | Over $14 billion, up to and including $28 billion | ||||
0.61 | Over $28 billion, up to and including $42 billion | ||||
0.54 | Over $42 billion, up to and including $56 billion | ||||
0.47 | Over $56 billion, up to and including $70 billion | ||||
0.41 | Over $70 billion, up to and including $84 billion | ||||
0.35 | Over $84 billion |
The total of the investment advisory fee and any other fund expenses are a fund’s total annual operating expenses. For the iShares Edge MSCI Min Vol Emerging Markets ETF, BFA has contractually agreed to waive a portion of its investment advisory fees for the Fund through December 31, 2023 in order to limit total annual operating expenses to 0.25% of average daily net assets.
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
NOTESTO FINANCIAL STATEMENTS | 55 |
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iSHARES®, INC.
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
Currency Hedged MSCI Emerging Markets | $ | 42,054 | ||
Edge MSCI Min Vol Emerging Markets | 348,198 | |||
MSCI Emerging Markets | 2,317,901 |
For the six months ended February 28, 2017, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares MSCI Emerging Markets ETF in the amount of $67,519, related to the foreign tax on the securities lending income. Such reimbursement is included in “Securities lending income – affiliated – net” in the Fund’s consolidated statement of operations.
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.
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 six months ended February 28, 2017, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Min Vol Emerging Markets | $ | 18,771,233 | $ | 6,384,572 | ||||
MSCI Emerging Markets | 88,182,356 | 32,847,408 |
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.
56 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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iSHARES®, INC.
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 directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
Currency Hedged MSCI Emerging Markets | $ | 7,125,158 | $ | 14,425,913 | ||||
Edge MSCI Min Vol EM Currency Hedged | 399,763 | 411,715 | ||||||
Edge MSCI Min Vol Emerging Markets | 466,081,418 | 793,556,316 | ||||||
MSCI Emerging Markets | 615,245,534 | 2,609,843,823 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Currency Hedged MSCI Emerging Markets | $ | 110,940,357 | $ | 33,636,595 | ||||
Edge MSCI Min Vol EM Currency Hedged | 3,595,035 | 3,561,578 | ||||||
Edge MSCI Min Vol Emerging Markets | 39,556,341 | 294,190,008 | ||||||
MSCI Emerging Markets | 47,768,560 | 1,808,980,515 |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’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.
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 consolidated statement of assets and liabilities.
NOTESTO FINANCIAL STATEMENTS | 57 |
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iSHARES®, INC.
5. | FUTURES CONTRACTS |
Futures contracts are purchased or sold to gain or manage exposure to changes in the value of commodities (commodity risk), interest rates (interest rate risk), foreign currencies (foreign currency risk) and/or equities (market risk). 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, a 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 by the iShares MSCI Emerging Markets ETF as of February 28, 2017 and the related locations in the consolidated statement of assets and liabilities, presented by risk exposure category:
Assets | ||||
Equity contracts: | ||||
Variation margin / Net assets consist of – net appreciation (depreciation) | $ | 6,460,753a | ||
|
| |||
a | 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. |
The following table shows the realized and unrealized gains (losses) on futures contracts held by the iShares MSCI Emerging Markets ETF during the six months ended February 28, 2017 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 | |||||||
Equity contracts: | ||||||||
Futures contracts | $ | 8,867,523 | $ | (2,726,878 | ) | |||
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| |||||
The following table shows the average quarter-end balances of open futures contracts for the iShares MSCI Emerging Markets ETF for the six months ended February 28, 2017:
Average value of contracts purchased | $ | 103,596,368 |
6. | FORWARD CURRENCY CONTRACTS |
Forward currency contracts are entered into for the purpose of hedging against the effects of foreign currencies on the value of a portfolio 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-
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iSHARES®, INC.
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. Non-deliverable forward currency contracts are settled with the counterparty in cash without the delivery of foreign currency. 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. A 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.
The following table shows the value of forward currency contracts held as of February 28, 2017 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Forward currency contracts: | ||||||||
Unrealized appreciation on forward currency contracts / Net assets consist of – net unrealized appreciation (depreciation) | $ | 1,016,922 | $ | 15,802 | ||||
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| |||||
Liabilities | ||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Forward currency contracts: | ||||||||
Unrealized depreciation on forward currency contracts / Net assets consist of – net unrealized appreciation (depreciation) | $ | 6,429,480 | $ | 128,014 | ||||
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| |||||
The following table shows the realized and unrealized gains (losses) on forward currency contracts held during the six months ended February 28, 2017 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Forward currency contracts: | ||||||||
Foreign currency transactions | $ | (2,633,387 | ) | $ | 61,571 | |||
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NOTESTO FINANCIAL STATEMENTS | 59 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Net Change in Unrealized Appreciation/Depreciation | ||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Min Vol EM Currency Hedged ETF | |||||||
Forward currency contracts: | ||||||||
Forward currency contracts | $ | (4,408,072 | ) | $ | (84,772 | ) | ||
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The following table shows the average quarter-end balances of outstanding forward currency contracts for the six months ended February 28, 2017:
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Average amounts purchased in U.S. dollars | $ | 223,509,306 | $ | 6,319,863 | ||||
Average amounts sold in U.S. dollars | $ | 405,896,928 | $ | 11,709,650 | ||||
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.
60 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table presents the exposure of the open forward currency contracts that are subject to potential offset in the statements of assets and liabilities as of February 28, 2017:
Derivative Assets Offsetting | Derivatives for Offset | Net Amount of Derivative Assets | ||||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | ||||||||||||
Forward currency contracts | $ | 1,016,922 | $ | (1,016,922 | ) | $ | — | |||||
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iShares Edge MSCI Min Vol EM Currency Hedged ETF | ||||||||||||
Forward currency contracts | $ | 15,802 | $ | (15,761 | ) | $ | 41 | |||||
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Derivative Liabilities Subject to Offsetting | Derivatives Available for Offset | Net Amount of Derivative Liabilities | ||||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | ||||||||||||
Forward currency contracts | $ | 6,429,480 | $ | (1,016,922 | ) | $ | 5,412,558 | |||||
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iShares Edge MSCI Min Vol EM Currency Hedged ETF | ||||||||||||
Forward currency contracts | $ | 128,014 | $ | (15,761 | ) | $ | 112,253 | |||||
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7. | 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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
NOTESTO FINANCIAL STATEMENTS | 61 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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 a 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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
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
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.
62 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
8. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2016, the Funds’ fiscal year-end, 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 | Expiring 2019 | Total | |||||||||||||||
Edge MSCI Min Vol EM Currency Hedged | $ | 3,704 | $ | — | $ | — | $ | — | $ | 3,704 | ||||||||||
Edge MSCI Min Vol Emerging Markets | 172,802,777 | — | — | — | 172,802,777 | |||||||||||||||
MSCI Emerging Markets | 6,504,918,854 | 228,196,854 | 1,201,366,175 | 873,167,649 | 8,807,649,532 |
a | Must be utilized prior to losses subject to expiration. |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
9. | LINE OF CREDIT |
The iShares Edge MSCI Min Vol Emerging Markets ETF and iShares MSCI Emerging Markets ETF, along with certain other iShares funds, are parties to a $250 million credit agreement with State Street Bank and Trust Company, which expires on October 25, 2017. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings. The credit agreement has the following terms: a commitment fee of 0.20% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) the one-month LIBOR (not less than zero) plus 1.00% per annum or (b) the U.S. Federal Funds rate (not less than zero) plus 1.00% per annum on amounts borrowed. The commitment fee is allocated to each fund participating in the credit agreement based on each fund’s pro-rata share of the aggregate average daily value of assets invested in local securities of certain foreign markets.
NOTESTO FINANCIAL STATEMENTS | 63 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2017, the maximum amounts borrowed, the average borrowings and the weighted average interest rates, if any, under the credit agreement were as follows:
iShares ETF | Maximum Amount Borrowed | Average Borrowings | Weighted Average | |||||||||
Edge MSCI Min Vol Emerging Markets | $ | 74,000,000 | $ | 2,453,039 | 1.64 | % | ||||||
MSCI Emerging Markets | 20,000,000 | 1,104,972 | 1.56 |
10. | FOREIGN WITHHOLDING TAX CLAIMS |
The iShares MSCI Emerging Markets ETF has filed claims to recover taxes withheld by Poland on dividend income on the basis that Poland had purportedly violated certain provisions in the Treaty on the Functioning of the European Union. The Fund has received payments on certain of the claims resulting from a favorable court ruling that the imposition of a withholding tax by a European Union member state on dividends paid to a nonresident company, including the Fund, while exempting domestic funds from such taxes results in discriminatory tax withholding contrary to the free movement of capital. The Fund continues to evaluate developments in Poland for potential impacts on recoverable withholding taxes. Polish withholding tax claims received are disclosed in the statement of operations. Professional fees associated with the filing of tax claims in Poland resulting in the recovery of foreign withholding taxes were approved by the Board as appropriate expenses of the Fund.
The Internal Revenue Service has issued guidance to address U.S. income tax liabilities attributable to fund shareholders resulting from the recovery of foreign taxes withheld in prior years. These withheld foreign taxes were passed through to shareholders in the form of foreign tax credits in the year the taxes were withheld. Assuming there are sufficient foreign taxes paid in the current year, the Fund will be able to offset the prior years’ withholding taxes recovered against the foreign taxes paid in the current year. Accordingly, no federal income tax liability is recorded by the Fund.
11. | 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.
64 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
Currency Hedged MSCI Emerging Markets | $ | 0.142969 | $ | — | $ | 0.065783 | $ | 0.208752 | 68 | % | — | % | 32 | % | 100 | % | ||||||||||||||||
Edge MSCI Min Vol EM Currency Hedged | 0.284595 | — | 0.056413 | 0.341008 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
Edge MSCI Min Vol Emerging Markets | 0.605454 | — | 0.119357 | 0.724811 | 84 | — | 16 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets | 0.266437 | — | 0.129771 | 0.396208 | 67 | — | 33 | 100 |
SUPPLEMENTAL INFORMATION | 65 |
Table of Contents
Notes:
66 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-805-0217
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Table of Contents
FEBRUARY 28, 2017
2017 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Edge MSCI Multifactor Emerging Markets ETF | EMGF | BATS |
Ø | iShares MSCI EM ESG Optimized ETF | ESGE | NASDAQ |
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iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
Performance as of February 28, 2017
The iShares Edge MSCI Multifactor Emerging Markets ETF (the “Fund”) seeks to track the investment results of an index composed of stocks of large- and mid-capitalization companies in emerging markets that have favorable exposure to target style factors subject to constraints, as represented by the MSCI Emerging Markets Diversified Multiple-Factor Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 6.57%, net of fees, while the total return for the Index was 7.22%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 29.16% | 29.58% | 30.41% | 29.16% | 29.58% | 30.41% | ||||||||||||||||||||||
Since Inception | 14.80% | 15.35% | 15.38% | 18.47% | 19.16% | 19.22% |
The inception date of the Fund was 12/8/15. The first day of secondary market trading was 12/10/15.
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 7 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,065.70 | $ | 2.25 | $ | 1,000.00 | $ | 1,022.60 | $ | 2.21 | 0.44% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 7 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Information Technology | 20.71 | % | ||
Financials | 15.62 | |||
Consumer Discretionary | 9.54 | |||
Materials | 7.86 | |||
Investment Companies | 7.86 | |||
Industrials | 7.66 | |||
Real Estate | 7.24 | |||
Consumer Staples | 7.19 | |||
Health Care | 6.14 | |||
Utilities | 4.77 | |||
Energy | 4.43 | |||
Telecommunication Services | 0.98 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
China | 33.97 | % | ||
South Korea | 14.00 | |||
Taiwan | 10.75 | |||
Brazil | 10.55 | |||
India | 7.85 | |||
South Africa | 7.05 | |||
Russia | 6.48 | |||
United Arab Emirates | 2.51 | |||
Mexico | 1.05 | |||
Qatar | 1.02 | |||
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TOTAL | 95.23 | % | ||
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* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EM ESG OPTIMIZED ETF
Performance as of February 28, 2017
The iShares MSCI EM ESG Optimized ETF (the “Fund”) seeks to track the investment results of an index composed of large- and midcapitalization emerging market equities that have positive environmental, social and governance characteristics, as represented by the MSCI Emerging Markets ESG Focus Index (“the Index”). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 28, 2017, the total return for the Fund was 5.07%, net of fees, while the total return for the Index was 5.77%.
Cumulative Total Returns | ||||||||||||
NAV | MARKET | INDEX | ||||||||||
Since Inception | 17.77% | 17.93% | 19.13% |
The inception date of the Fund was 6/28/16. The first day of secondary market trading was 6/30/16.
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 7 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Beginning Account Value (9/1/16) | Ending Account Value (2/28/17) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,050.70 | $ | 2.29 | $ | 1,000.00 | $ | 1,022.60 | $ | 2.26 | 0.45% |
a | 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 (181 days) and divided by the number of days in the year (365 days). See “Shareholder Expenses” on page 7 for more information. |
ALLOCATION BY SECTOR
As of 2/28/17
Sector | Percentage of Total Investments* |
Financials | 26.53 | % | ||
Information Technology | 25.89 | |||
Consumer Discretionary | 10.38 | |||
Energy | 7.47 | |||
Materials | 6.39 | |||
Consumer Staples | 6.20 | |||
Telecommunication Services | 6.10 | |||
Industrials | 4.98 | |||
Utilities | 3.03 | |||
Health Care | 1.84 | |||
Real Estate | 1.19 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST COUNTRIES
As of 2/28/17
Country | Percentage of Total Investments* |
China | 26.18 | % | ||
South Korea | 14.78 | |||
Taiwan | 12.07 | |||
Brazil | 8.44 | |||
India | 8.14 | |||
South Africa | 7.47 | |||
Russia | 3.84 | |||
Mexico | 3.17 | |||
Thailand | 2.98 | |||
Malaysia | 2.82 | |||
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TOTAL | 89.89 | % | ||
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* | Excludes money market funds. |
6 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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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.
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 September 1, 2016 and held through February 28, 2017, 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.
ABOUT FUND PERFORMANCE / SHAREHOLDER EXPENSES | 7 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 85.02% |
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BRAZIL — 6.74% |
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AES Tiete Energia SA | 14,400 | $ | 74,384 | |||||
BB Seguridade Participacoes SA | 52,200 | 480,220 | ||||||
Centrais Eletricas Brasileiras SAa | 18,900 | 130,556 | ||||||
CETIP SA – Mercados Organizados | 17,100 | 257,517 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 26,100 | 275,849 | ||||||
EDP – Energias do Brasil SA | 23,400 | 103,273 | ||||||
M. Dias Branco SA | 2,700 | 119,942 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 6,300 | 130,192 | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 304 | 6,440 | ||||||
Odontoprev SA | 25,200 | 96,798 | ||||||
Porto Seguro SA | 10,800 | 100,328 | ||||||
Qualicorp SA | 16,200 | 102,636 | ||||||
Raia Drogasil SA | 20,700 | 395,236 | ||||||
Sul America SA | 17,100 | 106,745 | ||||||
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2,380,116 | ||||||||
CHINA — 33.77% |
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AAC Technologies Holdings Inc. | 63,000 | 663,483 | ||||||
Alibaba Group Holding Ltd. ADRa | 2,097 | 215,781 | ||||||
ANTA Sports Products Ltd.b | 90,000 | 272,466 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 144,000 | 154,343 | ||||||
China Communications Services Corp. Ltd. Class H | 234,000 | 156,453 | ||||||
China Conch Venture Holdings Ltd. | 121,500 | 240,732 | ||||||
China Construction Bank Corp. Class H | 792,000 | 651,969 | ||||||
China Everbright Ltd. | 90,000 | 178,552 | ||||||
China Jinmao Holdings Group Ltd.b | 360,000 | 111,769 | ||||||
China Medical System Holdings Ltd. | 117,000 | 190,517 | ||||||
China Resources Beer Holdings Co. Ltd.a | 126,000 | 286,008 | ||||||
China Resources Land Ltd. | 216,000 | 589,917 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 56,700 | 80,056 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 207,000 | 145,334 | ||||||
COSCO SHIPPING Ports Ltd. | 126,000 | 140,407 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 234,000 | 277,637 |
Security | Shares | Value | ||||||
Far East Horizon Ltd. | 171,000 | $ | 164,558 | |||||
Fosun International Ltd.b | 180,000 | 282,900 | ||||||
Fullshare Holdings Ltd. | 630,000 | 244,291 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hc | 7,200 | 22,447 | ||||||
Geely Automobile Holdings Ltd. | 450,000 | 612,178 | ||||||
Guangdong Investment Ltd. | 234,000 | 318,935 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 180,000 | 301,915 | ||||||
Haitian International Holdings Ltd. | 54,000 | 113,531 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 108,000 | 142,470 | ||||||
Longfor Properties Co. Ltd. | 130,500 | 208,801 | ||||||
Netease Inc. ADR | 3,582 | 1,092,725 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 11,529 | 558,119 | ||||||
Nine Dragons Paper (Holdings) Ltd. | 135,000 | 171,305 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 180,000 | 108,291 | ||||||
Shanghai Industrial Holdings Ltd. | 45,000 | 125,508 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 65,700 | 169,276 | ||||||
Shenzhou International Group Holdings Ltd. | 45,000 | 268,987 | ||||||
Sino Biopharmaceutical Ltd. | 414,000 | 357,336 | ||||||
Sinopec Engineering Group Co. Ltd. Class H | 103,500 | 94,001 | ||||||
Sinopharm Group Co. Ltd. Class H | 90,000 | 416,235 | ||||||
Sinotrans Ltd. Class H | 234,000 | 106,111 | ||||||
Sunac China Holdings Ltd. | 162,000 | 168,418 | ||||||
Sunny Optical Technology Group Co. Ltd. | 63,000 | 405,394 | ||||||
TAL Education Group Class A ADRa | 3,897 | 336,974 | ||||||
Tencent Holdings Ltd. | 18,900 | 504,003 | ||||||
TravelSky Technology Ltd. Class H | 63,000 | 137,485 | ||||||
Weibo Corp. ADRa | 2,760 | 139,435 | ||||||
|
| |||||||
11,927,053 | ||||||||
CZECH REPUBLIC — 0.42% |
| |||||||
Moneta Money Bank ASa,c | 25,353 | 85,046 | ||||||
O2 Czech Republic AS | 6,039 | 64,834 | ||||||
|
| |||||||
149,880 | ||||||||
HUNGARY — 0.99% |
| |||||||
MOL Hungarian Oil & Gas PLC | 801 | 55,051 | ||||||
Richter Gedeon Nyrt | 13,318 | 296,018 | ||||||
|
| |||||||
351,069 |
8 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
INDONESIA — 1.00% |
| |||||||
Adaro Energy Tbk PT | 1,411,200 | $ | 179,363 | |||||
Bank Danamon Indonesia Tbk PT | 208,800 | 77,501 | ||||||
Waskita Karya Persero Tbk PT | 508,500 | 94,562 | ||||||
|
| |||||||
351,426 | ||||||||
MALAYSIA — 0.30% |
| |||||||
AirAsia Bhd | 118,800 | 72,243 | ||||||
Berjaya Sports Toto Bhd | 52,200 | 34,330 | ||||||
|
| |||||||
106,573 | ||||||||
MEXICO — 1.04% |
| |||||||
Gentera SAB de CV | 83,700 | 110,817 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 29,700 | 258,216 | ||||||
|
| |||||||
369,033 | ||||||||
PERU — 0.66% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 18,828 | 231,584 | ||||||
|
| |||||||
231,584 | ||||||||
PHILIPPINES — 0.17% |
| |||||||
Robinsons Land Corp. | 124,200 | 58,619 | ||||||
|
| |||||||
58,619 | ||||||||
POLAND — 0.29% |
| |||||||
Eurocash SA | 5,229 | 42,756 | ||||||
Tauron Polska Energia SAa | 81,918 | 60,525 | ||||||
|
| |||||||
103,281 | ||||||||
QATAR — 1.02% |
| |||||||
Qatar Electricity & Water Co. QSC | 1,683 | 103,996 | ||||||
Qatar Insurance Co. SAQ | 12,834 | 255,887 | ||||||
|
| |||||||
359,883 | ||||||||
RUSSIA — 5.49% |
| |||||||
Alrosa PJSC | 218,700 | 346,185 | ||||||
Inter RAO UES PJSC | 2,601,000 | 176,683 | ||||||
Lukoil PJSC | 1,134 | 59,915 | ||||||
Moscow Exchange MICEX-RTS PJSC | 101,700 | 216,013 | ||||||
PhosAgro PJSC GDRd | 2,655 | 36,639 | ||||||
RusHydro PJSC | 10,728,000 | 176,590 | ||||||
Surgutneftegas OJSC | 605,700 | 301,729 | ||||||
Tatneft PJSC Class S | 107,190 | 625,132 | ||||||
|
| |||||||
1,938,886 | ||||||||
SOUTH AFRICA — 7.01% |
| |||||||
Bidvest Group Ltd. (The) | 27,972 | 331,515 | ||||||
Brait SEa | 22,392 | 126,032 |
Security | Shares | Value | ||||||
Capitec Bank Holdings Ltd. | 3,096 | $ | 171,606 | |||||
Coronation Fund Managers Ltd. | 18,090 | 93,105 | ||||||
Gold Fields Ltd. | 70,146 | 215,854 | ||||||
Hyprop Investments Ltd. | 23,796 | 228,227 | ||||||
Liberty Holdings Ltd. | 8,496 | 72,210 | ||||||
Life Healthcare Group Holdings Ltd. | 83,952 | 215,079 | ||||||
Mondi Ltd. | 10,953 | 251,659 | ||||||
Netcare Ltd. | 84,249 | 204,826 | ||||||
Pick n Pay Stores Ltd. | 30,213 | 160,420 | ||||||
Sibanye Gold Ltd. | 64,485 | 129,710 | ||||||
SPAR Group Ltd. (The) | 16,794 | 229,184 | ||||||
Tiger Brands Ltd. | 720 | 23,009 | ||||||
Tsogo Sun Holdings Ltd. | 10,476 | 22,161 | ||||||
|
| |||||||
2,474,597 | ||||||||
SOUTH KOREA — 12.05% |
| |||||||
BGF retail Co. Ltd. | 1,764 | 159,123 | ||||||
BNK Financial Group Inc. | 22,050 | 169,263 | ||||||
DGB Financial Group Inc. | 13,950 | 128,304 | ||||||
Dongbu Insurance Co. Ltd. | 4,113 | 222,246 | ||||||
E-MART Inc. | 1,503 | 276,475 | ||||||
GS Retail Co. Ltd. | 1,746 | 81,220 | ||||||
Hanwha Life Insurance Co. Ltd.a | 13,815 | 79,536 | ||||||
Hanwha Techwin Co. Ltd.a | 3,825 | 148,501 | ||||||
Hyosung Corp. | 1,953 | 227,123 | ||||||
Hyundai Department Store Co. Ltd. | 1,332 | 117,091 | ||||||
Hyundai Engineering & Construction Co. Ltd. | 7,110 | 300,560 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 5,276 | 151,176 | ||||||
Hyundai Steel Co. | 7,515 | 415,377 | ||||||
KT&G Corp. | 6,660 | 603,714 | ||||||
Kumho Petrochemical Co. Ltd. | 1,648 | 111,786 | ||||||
Lotte Chemical Corp.a | 1,404 | 452,583 | ||||||
Samsung Electronics Co. Ltd. | 360 | 611,912 | ||||||
|
| |||||||
4,255,990 | ||||||||
TAIWAN — 10.68% |
| |||||||
Chicony Electronics Co. Ltd. | 45,200 | 106,514 | ||||||
China Life Insurance Co. Ltd./Taiwan | 297,000 | 291,456 | ||||||
Feng TAY Enterprise Co. Ltd. | 29,880 | 126,431 | ||||||
Foxconn Technology Co. Ltd. | 81,720 | 243,908 | ||||||
Highwealth Construction Corp. | 72,000 | 116,940 | ||||||
Innolux Corp. | 711,000 | 289,274 | ||||||
Inventec Corp. | 198,000 | 146,936 | ||||||
Lite-On Technology Corp. | 180,718 | 302,927 |
SCHEDULESOF INVESTMENTS | 9 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2017
Security | Shares | Value | ||||||
Micro-Star International Co. Ltd. | 63,000 | $ | 145,794 | |||||
Nien Made Enterprise Co. Ltd. | 18,000 | 176,054 | ||||||
Novatek Microelectronics Corp. | 45,000 | 168,438 | ||||||
Phison Electronics Corp. | 9,000 | 78,946 | ||||||
Powertech Technology Inc. | 63,000 | 182,909 | ||||||
Realtek Semiconductor Corp. | 45,000 | 167,705 | ||||||
Ruentex Development Co. Ltd.a | 72,000 | 90,576 | ||||||
Ruentex Industries Ltd. | 36,000 | 68,312 | ||||||
Taiwan Business Bank | 150,800 | 41,279 | ||||||
Taiwan Fertilizer Co. Ltd. | 27,000 | 37,349 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 90,000 | 553,648 | ||||||
Transcend Information Inc. | 18,000 | 50,561 | ||||||
Vanguard International Semiconductor Corp. | 45,000 | 88,906 | ||||||
Wistron Corp. | 138,110 | 115,753 | ||||||
WPG Holdings Ltd. | 144,000 | 182,792 | ||||||
|
| |||||||
3,773,408 | ||||||||
THAILAND — 0.67% |
| |||||||
KCE Electronics PCL NVDR | 33,300 | 93,731 | ||||||
Robinson Department Store PCL NVDR | 42,300 | 74,529 | ||||||
Thai Union Group PCL NVDR | 120,600 | 70,137 | ||||||
|
| |||||||
238,397 | ||||||||
TURKEY — 0.23% |
| |||||||
Turkiye Sise ve Cam Fabrikalari AS | 76,511 | 82,678 | ||||||
|
| |||||||
82,678 | ||||||||
UNITED ARAB EMIRATES — 2.49% |
| |||||||
Aldar Properties PJSC | 270,000 | 176,446 | ||||||
Dubai Islamic Bank PJSC | 99,477 | 169,294 | ||||||
Emaar Properties PJSC | 202,500 | 410,790 | ||||||
Emirates Telecommunications Group Co. PJSC | 25,749 | 123,399 | ||||||
|
| |||||||
879,929 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $26,474,918) |
| 30,032,402 | ||||||
PREFERRED STOCKS — 6.55% |
| |||||||
BRAZIL — 3.73% |
| |||||||
Braskem SA Class A | 12,600 | 130,941 | ||||||
Centrais Eletricas Brasileiras SA Class B | 19,800 | 156,567 | ||||||
Cia. Paranaense de Energia Class B | 9,000 | 97,493 | ||||||
Itausa-Investimentos Itau SA | 288,990 | 932,645 | ||||||
|
| |||||||
1,317,646 |
Security | Shares | Value | ||||||
RUSSIA — 0.95% |
| |||||||
Surgutneftegas OJSC | 614,700 | $ | 335,351 | |||||
|
| |||||||
335,351 | ||||||||
SOUTH KOREA — 1.87% |
| |||||||
LG Household & Health Care Ltd. | 153 | 76,855 | ||||||
Samsung Electronics Co. Ltd. | 441 | 583,450 | ||||||
|
| |||||||
660,305 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $1,815,843) |
| 2,313,302 | ||||||
RIGHTS — 0.02% |
| |||||||
BRAZIL — 0.02% |
| |||||||
Itausa – Investimentos Itau SAa | 4,209 | 5,331 | ||||||
|
| |||||||
5,331 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 5,331 | ||||||
INVESTMENT COMPANIES — 7.81% |
| |||||||
INDIA — 7.81% |
| |||||||
iShares MSCI India ETFe | 92,945 | 2,757,678 | ||||||
|
| |||||||
2,757,678 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $2,577,789) |
| 2,757,678 | ||||||
SHORT-TERM INVESTMENTS — 2.42% |
| |||||||
MONEY MARKET FUNDS — 2.42% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
0.98%f,g,h | 790,537 | 790,854 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%f,g | 65,626 | 65,626 | ||||||
|
| |||||||
856,480 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $856,454) |
| 856,480 | ||||||
|
|
10 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2017
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $31,725,004)i | $ | 35,965,193 | ||||
Other Assets, Less Liabilities — (1.82)% | (642,635 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 35,322,558 | ||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Affiliated issuer. See Schedule 1. |
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 $31,750,276. Net unrealized appreciation was $4,214,917, of which $4,820,556 represented gross unrealized appreciation on securities and $605,639 represented gross unrealized depreciation on securities. |
Schedule 1 — Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund (excluding affiliated money market funds) during the six months ended February 28, 2017, for purposes of Section 2(a)(3) of the 1940 Act, were as follows:
Affiliated issuer | Shares held at beginning of period | Shares purchased | Shares sold | Shares held at end of period | Value at end of period | Dividend income | Net realized gain (loss) | |||||||||||||||||||||
iShares MSCI India ETF | 46,118 | 46,827 | — | 92,945 | $ | 2,757,678 | $ | 6,076 | $ | — | ||||||||||||||||||
|
|
|
|
|
| |||||||||||||||||||||||
Schedule 2 — 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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 30,032,402 | $ | — | $ | — | $ | 30,032,402 | ||||||||
Preferred stocks | 2,313,302 | — | — | 2,313,302 | ||||||||||||
Rights | — | 5,331 | — | 5,331 | ||||||||||||
Investment companies | 2,757,678 | — | — | 2,757,678 | ||||||||||||
Money market funds | 856,480 | — | — | 856,480 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 35,959,862 | $ | 5,331 | $ | — | $ | 35,965,193 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
Security | Shares | Value | ||||||
COMMON STOCKS — 94.46% |
| |||||||
BRAZIL — 4.70% |
| |||||||
AES Tiete Energia SA | 8,400 | $ | 43,391 | |||||
Ambev SA | 16,800 | 96,339 | ||||||
Banco Bradesco SA | 8,400 | 88,104 | ||||||
Banco do Brasil SA | 14,000 | 148,955 | ||||||
Banco Santander Brasil SA Units | 12,600 | 139,163 | ||||||
BM&FBovespa SA-Bolsa de Valores Mercadorias e Futuros | 39,200 | 239,661 | ||||||
BRF SA | 8,400 | 109,678 | ||||||
Cielo SA | 7,000 | 61,382 | ||||||
Cosan SA Industria e Comercio | 9,800 | 125,689 | ||||||
CPFL Energia SA | 18,200 | 149,414 | ||||||
Duratex SA | 7,000 | 18,991 | ||||||
EDP – Energias do Brasil SA | 25,200 | 111,217 | ||||||
Embraer SA | 9,800 | 56,482 | ||||||
Engie Brasil Energia SA | 5,600 | 66,566 | ||||||
Klabin SA Units | 8,400 | 41,851 | ||||||
Localiza Rent A Car SA | 8,400 | 104,035 | ||||||
Lojas Renner SA | 4,200 | 34,494 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 2,800 | 57,863 | ||||||
Multiplan Empreendimentos Imobiliarios SA Newa | 152 | 3,220 | ||||||
Natura Cosmeticos SA | 14,000 | 115,294 | ||||||
Ultrapar Participacoes SA | 2,800 | 58,862 | ||||||
WEG SA | 14,000 | 76,413 | ||||||
|
| |||||||
1,947,064 | ||||||||
CHILE — 1.05% |
| |||||||
Banco de Credito e Inversiones | 1,330 | 71,773 | ||||||
Banco Santander Chile | 2,743,328 | 150,997 | ||||||
Cia. Cervecerias Unidas SA | 4,774 | 56,549 | ||||||
Empresas COPEC SA | 14,798 | 155,225 | ||||||
|
| |||||||
434,544 | ||||||||
CHINA — 26.05% |
| |||||||
AAC Technologies Holdings Inc. | 14,000 | 147,441 | ||||||
Agricultural Bank of China Ltd. Class H | 266,000 | 122,678 | ||||||
Alibaba Group Holding Ltd. ADRa,b | 10,318 | 1,061,722 | ||||||
Alibaba Pictures Group Ltd.a | 140,000 | 23,446 | ||||||
Aluminum Corp. of China Ltd. Class Ha | 28,000 | 13,960 | ||||||
ANTA Sports Products Ltd. | 14,000 | 42,384 | ||||||
Baidu Inc. ADRa | 2,688 | 468,061 |
Security | Shares | Value | ||||||
Bank of China Ltd. Class H | 602,000 | $ | 304,783 | |||||
Bank of Communications Co. Ltd. Class H | 70,000 | 55,820 | ||||||
Beijing Enterprises Holdings Ltd. | 14,000 | 73,224 | ||||||
Beijing Enterprises Water Group Ltd. | 84,000 | 60,058 | ||||||
Belle International Holdings Ltd. | 56,000 | 38,596 | ||||||
Brilliance China Automotive Holdings Ltd. | 84,000 | 132,020 | ||||||
Byd Co. Ltd. Class Hb | 14,000 | 82,332 | ||||||
China CITIC Bank Corp. Ltd. Class H | 378,000 | 259,549 | ||||||
China Communications Construction Co. Ltd. Class H | 28,000 | 36,143 | ||||||
China Conch Venture Holdings Ltd. | 7,000 | 13,869 | ||||||
China Construction Bank Corp. Class H | 714,000 | 587,760 | ||||||
China Everbright Bank Co. Ltd. Class H | 336,000 | 170,111 | ||||||
China Everbright International Ltd. | 126,000 | 163,294 | ||||||
China Everbright Ltd. | 28,000 | 55,549 | ||||||
China Galaxy Securities Co. Ltd. Class H | 63,000 | 61,763 | ||||||
China Life Insurance Co. Ltd. Class H | 56,000 | 170,616 | ||||||
China Longyuan Power Group Corp. Ltd. | 126,000 | 108,105 | ||||||
China Medical System Holdings Ltd. | 28,000 | 45,594 | ||||||
China Merchants Bank Co. Ltd. Class H | 70,000 | 186,217 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 119,000 | 135,826 | ||||||
China Mobile Ltd. | 42,000 | 463,153 | ||||||
China National Building Material Co. Ltd. Class H | 84,000 | 61,249 | ||||||
China Oilfield Services Ltd. Class H | 56,000 | 55,838 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 33,600 | 123,147 | ||||||
China Petroleum & Chemical Corp. Class H | 112,000 | 86,859 | ||||||
China Shenhua Energy Co. Ltd. Class H | 35,000 | 73,224 | ||||||
China Southern Airlines Co. Ltd. Class H | 56,000 | 36,432 | ||||||
China State Construction International Holdings Ltd. | 28,000 | 45,810 | ||||||
China Vanke Co. Ltd. Class H | 35,000 | 87,923 | ||||||
Chongqing Changan Automobile Co. Ltd. Class B | 19,600 | 27,674 |
12 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
Security | Shares | Value | ||||||
CNOOC Ltd. | 84,000 | $ | 99,340 | |||||
CRRC Corp. Ltd. Class H | 56,000 | 53,746 | ||||||
CSPC Pharmaceutical Group Ltd. | 56,000 | 68,535 | ||||||
Ctrip.com International Ltd. ADRa | 2,170 | 102,945 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 56,000 | 66,443 | ||||||
Fosun International Ltd. | 14,000 | 22,003 | ||||||
GCL-Poly Energy Holdings Ltd.a | 294,000 | 40,147 | ||||||
Geely Automobile Holdings Ltd. | 280,000 | 380,911 | ||||||
GF Securities Co. Ltd. Class H | 14,000 | 30,841 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 140,000 | 234,823 | ||||||
Haier Electronics Group Co. Ltd. | 28,000 | 51,510 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 280,000 | 95,228 | ||||||
Huatai Securities Co. Ltd. Class Hc | 19,600 | 39,996 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 798,000 | 523,265 | ||||||
JD.com Inc. ADRa | 5,978 | 182,747 | ||||||
Kingsoft Corp. Ltd. | 14,000 | 30,805 | ||||||
Lenovo Group Ltd. | 252,000 | 151,282 | ||||||
Netease Inc. ADR | 602 | 183,646 | ||||||
New Oriental Education & Technology Group Inc. ADRa | 994 | 48,120 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 238,000 | 97,807 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 63,000 | 336,002 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 56,000 | 33,690 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 28,000 | 96,310 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 43,400 | 111,820 | ||||||
Shenzhou International Group Holdings Ltd. | 14,000 | 83,685 | ||||||
SINA Corp./Chinaa | 308 | 21,415 | ||||||
Sinopharm Group Co. Ltd. Class H | 22,400 | 103,596 | ||||||
Sinotrans Ltd. Class H | 84,000 | 38,091 | ||||||
SOHO China Ltd. | 84,000 | 43,502 | ||||||
Sun Art Retail Group Ltd. | 49,000 | 47,217 | ||||||
Tencent Holdings Ltd. | 56,000 | 1,493,343 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 28,000 | 128,774 | ||||||
Weibo Corp. ADRa | 658 | 33,242 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 28,000 | 31,490 | ||||||
|
| |||||||
10,788,547 |
Security | Shares | Value | ||||||
COLOMBIA — 0.64% |
| |||||||
Cementos Argos SA | 66,374 | $ | 265,737 | |||||
|
| |||||||
265,737 | ||||||||
CZECH REPUBLIC — 0.39% |
| |||||||
Komercni Banka AS | 4,438 | 160,059 | ||||||
|
| |||||||
160,059 | ||||||||
EGYPT — 0.16% |
| |||||||
Global Telecom Holding SAE GDRa | 35,742 | 67,195 | ||||||
|
| |||||||
67,195 | ||||||||
GREECE — 0.17% |
| |||||||
Hellenic Telecommunications Organization SA | 3,648 | 32,833 | ||||||
OPAP SA | 4,060 | 36,627 | ||||||
|
| |||||||
69,460 | ||||||||
HUNGARY — 0.72% |
| |||||||
MOL Hungarian Oil & Gas PLC | 4,368 | 300,200 | ||||||
|
| |||||||
300,200 | ||||||||
INDIA — 8.10% |
| |||||||
Axis Bank Ltd. GDRd | 13,104 | 499,262 | ||||||
ICICI Bank Ltd. ADR | 41,846 | 343,137 | ||||||
Infosys Ltd. ADR | 48,006 | 726,811 | ||||||
Mahindra & Mahindra Ltd. GDR | 21,812 | 425,334 | ||||||
Reliance Industries Ltd. GDRc | 13,874 | 511,951 | ||||||
Tata Motors Ltd. ADR | 9,282 | 311,782 | ||||||
Wipro Ltd. ADR | 54,670 | 534,673 | ||||||
|
| |||||||
3,352,950 | ||||||||
INDONESIA — 2.35% |
| |||||||
Astra International Tbk PT | 229,600 | 141,176 | ||||||
Bank Central Asia Tbk PT | 193,200 | 223,826 | ||||||
Bank Mandiri Persero Tbk PT | 190,400 | 161,332 | ||||||
Bank Negara Indonesia Persero Tbk PT | 95,200 | 44,616 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 110,600 | 99,106 | ||||||
Kalbe Farma Tbk PT | 424,200 | 48,667 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 204,400 | 43,375 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 198,800 | 57,392 | ||||||
Unilever Indonesia Tbk PT | 32,200 | 101,832 | ||||||
XL Axiata Tbk PTa | 231,000 | 51,791 | ||||||
|
| |||||||
973,113 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
Security | Shares | Value | ||||||
MALAYSIA — 2.81% |
| |||||||
Astro Malaysia Holdings Bhd | 81,200 | $ | 52,122 | |||||
Axiata Group Bhd | 53,200 | 53,080 | ||||||
CIMB Group Holdings Bhd | 37,800 | 42,312 | ||||||
DiGi.Com Bhd | 121,800 | 138,260 | ||||||
Malayan Banking Bhdb | 63,000 | 122,027 | ||||||
Maxis Bhd | 58,800 | 83,565 | ||||||
Petronas Dagangan Bhd | 7,000 | 38,626 | ||||||
Public Bank Bhd | 89,600 | 402,796 | ||||||
Sime Darby Bhd | 113,400 | 228,843 | ||||||
|
| |||||||
1,161,631 | ||||||||
MEXICO — 3.15% |
| |||||||
Arca Continental SAB de CV | 23,800 | 133,935 | ||||||
Cemex SAB de CV CPOa | 203,000 | 172,714 | ||||||
Coca-Cola Femsa SAB de CV Series L | 40,600 | 267,956 | ||||||
Fomento Economico Mexicano SAB de CV | 22,400 | 181,304 | ||||||
Grupo Financiero Banorte SAB de CV | 40,600 | 202,769 | ||||||
Grupo Financiero Santander Mexico SAB de CV Series B | 68,600 | 103,452 | ||||||
Industrias Penoles SAB de CV | 4,550 | 108,630 | ||||||
Kimberly-Clark de Mexico SAB de CV Series A | 71,400 | 135,281 | ||||||
|
| |||||||
1,306,041 | ||||||||
PHILIPPINES — 0.88% |
| |||||||
Aboitiz Equity Ventures Inc. | 26,600 | 38,908 | ||||||
Energy Development Corp. | 644,000 | 75,667 | ||||||
Metro Pacific Investments Corp. | 312,200 | 42,277 | ||||||
SM Prime Holdings Inc. | 351,400 | 205,739 | ||||||
|
| |||||||
362,591 | ||||||||
POLAND — 1.08% |
| |||||||
Bank Millennium SAa | 15,806 | 26,549 | ||||||
Bank Zachodni WBK SA | 714 | 61,731 | ||||||
KGHM Polska Miedz SA | 9,800 | 311,352 | ||||||
mBank SAa | 266 | 25,956 | ||||||
Polski Koncern Naftowy ORLEN SA | 952 | 22,086 | ||||||
|
| |||||||
447,674 | ||||||||
QATAR — 0.66% |
| |||||||
Commercial Bank QSC (The) | 13,982 | 119,037 | ||||||
Ooredoo QSC | 4,802 | 139,790 | ||||||
Qatar Gas Transport Co. Ltd. | 2,228 | 14,410 | ||||||
|
| |||||||
273,237 |
Security | Shares | Value | ||||||
RUSSIA — 3.82% |
| |||||||
Alrosa PJSC | 62,400 | $ | 98,774 | |||||
Gazprom PJSC | 94,640 | 213,828 | ||||||
Gazprom PJSC ADR | 16,800 | 74,936 | ||||||
Inter RAO UES PJSC | 1,285,199 | 87,302 | ||||||
Lukoil PJSC | 3,430 | 181,225 | ||||||
Lukoil PJSC ADR | 1,120 | 59,360 | ||||||
Magnit PJSC GDRd | 2,604 | 94,942 | ||||||
Novatek PJSC GDRd | 1,764 | 228,438 | ||||||
Rosneft Oil Co. PJSC | 9,840 | 56,057 | ||||||
Rosneft Oil Co. PJSC GDR | 3,780 | 21,433 | ||||||
RusHydro PJSC | 8,456,000 | 139,191 | ||||||
Sberbank of Russia PJSC | 73,710 | 197,254 | ||||||
Sberbank of Russia PJSC ADR | 6,790 | 74,079 | ||||||
Tatneft PJSC Class S | 9,380 | 54,704 | ||||||
|
| |||||||
1,581,523 | ||||||||
SOUTH AFRICA — 7.44% |
| |||||||
Aspen Pharmacare Holdings Ltd. | 3,584 | 77,645 | ||||||
Barclays Africa Group Ltd. | 12,082 | 140,356 | ||||||
Coronation Fund Managers Ltd. | 8,414 | 43,305 | ||||||
Exxaro Resources Ltd. | 7,546 | 62,260 | ||||||
FirstRand Ltd. | 24,024 | 91,321 | ||||||
Foschini Group Ltd. (The) | 4,326 | 53,701 | ||||||
Gold Fields Ltd. | 12,348 | 37,998 | ||||||
Imperial Holdings Ltd. | 5,628 | 71,899 | ||||||
Investec Ltd. | 29,638 | 208,916 | ||||||
Life Healthcare Group Holdings Ltd. | 11,872 | 30,415 | ||||||
Massmart Holdings Ltd. | 4,186 | 47,950 | ||||||
Mondi Ltd. | 3,850 | 88,459 | ||||||
Mr. Price Group Ltd. | 2,828 | 36,755 | ||||||
MTN Group Ltd. | 13,230 | 121,164 | ||||||
Naspers Ltd. Class N | 3,528 | 565,794 | ||||||
Nedbank Group Ltd. | 5,936 | 111,187 | ||||||
Netcare Ltd. | 58,996 | 143,431 | ||||||
New Europe Property Investments PLC | 8,078 | 91,217 | ||||||
Pioneer Foods Group Ltd. | 4,326 | 54,154 | ||||||
RMB Holdings Ltd. | 16,016 | 77,643 | ||||||
Sanlam Ltd. | 37,828 | 195,994 | ||||||
Sasol Ltd. | 4,536 | 129,352 | ||||||
SPAR Group Ltd. (The) | 154 | 2,102 | ||||||
Standard Bank Group Ltd. | 23,898 | 261,654 | ||||||
Tiger Brands Ltd. | 238 | 7,606 | ||||||
Tsogo Sun Holdings Ltd. | 36,078 | 76,321 | ||||||
Vodacom Group Ltd. | 13,636 | 154,531 |
14 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
Security | Shares | Value | ||||||
Woolworths Holdings Ltd./South Africa | 18,060 | $ | 96,651 | |||||
|
| |||||||
3,079,781 | ||||||||
SOUTH KOREA — 13.74% |
| |||||||
AmorePacific Corp. | 504 | 134,162 | ||||||
AmorePacific Group | 924 | 106,230 | ||||||
BNK Financial Group Inc. | 9,324 | 71,574 | ||||||
CJ CheilJedang Corp. | 238 | 76,720 | ||||||
Coway Co. Ltd. | 770 | 60,946 | ||||||
DGB Financial Group Inc. | 13,286 | 122,197 | ||||||
Doosan Heavy Industries & Construction Co. Ltd. | 1,876 | 40,730 | ||||||
GS Engineering & Construction Corp.a | 1,106 | 29,148 | ||||||
GS Holdings Corp. | 3,094 | 151,861 | ||||||
Hana Financial Group Inc. | 2,478 | 77,249 | ||||||
Hankook Tire Co. Ltd.a | 1,106 | 58,491 | ||||||
Hanwha Chemical Corp. | 1,694 | 37,977 | ||||||
Hyosung Corp. | 378 | 43,959 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 532 | 77,395 | ||||||
Kangwon Land Inc.a | 3,010 | 94,100 | ||||||
KB Financial Group Inc. | 2,688 | 111,490 | ||||||
LG Chem Ltd. | 812 | 203,225 | ||||||
LG Corp. | 2,590 | 143,844 | ||||||
LG Display Co. Ltd. | 5,516 | 133,662 | ||||||
LG Electronics Inc. | 2,408 | 127,348 | ||||||
LG Household & Health Care Ltd. | 154 | 119,577 | ||||||
LG Innotek Co. Ltd. | 1,022 | 108,459 | ||||||
NAVER Corp. | 168 | 115,293 | ||||||
POSCO | 1,092 | 273,785 | ||||||
S-Oil Corp. | 1,946 | 148,693 | ||||||
Samsung C&T Corp. | 518 | 56,347 | ||||||
Samsung Card Co. Ltd. | 2,380 | 89,138 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 1,204 | 62,290 | ||||||
Samsung Electronics Co. Ltd. | 1,078 | 1,832,338 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 588 | 132,602 | ||||||
Samsung SDI Co. Ltd. | 938 | 107,010 | ||||||
Samsung SDS Co. Ltd. | 322 | 37,020 | ||||||
Shinhan Financial Group Co. Ltd. | 7,280 | 300,664 | ||||||
SK Holdings Co. Ltd. | 378 | 72,876 | ||||||
SK Hynix Inc. | 3,878 | 160,162 | ||||||
SK Innovation Co. Ltd. | 476 | 65,038 | ||||||
SK Telecom Co. Ltd. | 518 | 106,051 | ||||||
|
| |||||||
5,689,651 |
Security | Shares | Value | ||||||
TAIWAN — 12.01% |
| |||||||
Acer Inc. | 182,000 | $ | 87,376 | |||||
Advanced Semiconductor Engineering Inc. | 140,000 | 173,841 | ||||||
Asia Pacific Telecom Co. Ltd.a | 112,000 | 37,548 | ||||||
AU Optronics Corp. | 140,000 | 55,593 | ||||||
Cathay Financial Holding Co. Ltd. | 84,000 | 131,919 | ||||||
Chailease Holding Co. Ltd. | 42,000 | 90,087 | ||||||
China Steel Corp. | 252,000 | 211,616 | ||||||
Chunghwa Telecom Co. Ltd. | 154,000 | 511,270 | ||||||
Delta Electronics Inc. | 28,000 | 155,842 | ||||||
EVA Airways Corp. | 98,700 | 48,991 | ||||||
Far Eastern New Century Corp. | 154,000 | 137,842 | ||||||
Far EasTone Telecommunications Co. Ltd. | 56,000 | 134,880 | ||||||
Fubon Financial Holding Co. Ltd. | 42,000 | 68,010 | ||||||
Hiwin Technologies Corp. | 14,040 | 89,568 | ||||||
Hon Hai Precision Industry Co. Ltd. | 56,800 | 165,463 | ||||||
Hotai Motor Co. Ltd. | 14,000 | 160,170 | ||||||
Innolux Corp. | 112,000 | 45,568 | ||||||
Inventec Corp. | 98,000 | 72,726 | ||||||
Lite-On Technology Corp. | 56,039 | 93,935 | ||||||
MediaTek Inc. | 14,000 | 102,072 | ||||||
Micro-Star International Co. Ltd. | 28,000 | 64,797 | ||||||
President Chain Store Corp. | 28,000 | 205,510 | ||||||
Siliconware Precision Industries Co. Ltd. | 70,000 | 110,274 | ||||||
Taiwan Mobile Co. Ltd. | 70,000 | 246,066 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 266,000 | 1,636,337 | ||||||
Vanguard International Semiconductor Corp. | 28,000 | 55,319 | ||||||
Wistron Corp. | 98,418 | 82,486 | ||||||
|
| |||||||
4,975,106 | ||||||||
THAILAND — 2.96% |
| |||||||
Advanced Info Service PCL NVDR | 15,400 | 73,679 | ||||||
BTS Group Holdings PCL NVDR | 1,226,400 | 288,106 | ||||||
Kasikornbank PCL NVDR | 30,800 | 168,976 | ||||||
Minor International PCL NVDR | 172,200 | 168,966 | ||||||
PTT Exploration & Production PCL NVDR | 16,800 | 44,761 | ||||||
PTT PCL NVDR | 11,200 | 127,384 | ||||||
Siam Cement PCL (The) NVDR | 16,800 | 248,351 | ||||||
Siam Commercial Bank PCL (The) NVDR | 14,000 | 61,767 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
Security | Shares | Value | ||||||
Thai Oil PCL NVDR | 21,000 | $ | 45,272 | |||||
|
| |||||||
1,227,262 | ||||||||
TURKEY — 0.97% |
| |||||||
Anadolu Efes Biracilik ve Malt Sanayii AS | 9,114 | 49,746 | ||||||
Arcelik AS | 35,644 | 205,162 | ||||||
Coca-Cola Icecek AS | 7,070 | 68,330 | ||||||
KOC Holding AS | 11,914 | 48,706 | ||||||
Ulker Biskuvi Sanayi AS | 6,000 | 30,549 | ||||||
|
| |||||||
402,493 | ||||||||
UNITED ARAB EMIRATES — 0.61% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 88,914 | 171,654 | ||||||
National Bank of Abu Dhabi PJSC | 27,832 | 79,574 | ||||||
|
| |||||||
251,228 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $35,910,300) |
| 39,117,087 | ||||||
PREFERRED STOCKS — 5.05% |
| |||||||
BRAZIL — 3.70% |
| |||||||
Banco Bradesco SA | 35,000 | 375,988 | ||||||
Braskem SA Class A | 4,200 | 43,647 | ||||||
Cia. Brasileira de Distribuicao | 5,600 | 103,414 | ||||||
Cia. Energetica de Minas Gerais | 43,400 | 149,131 | ||||||
Cia. Paranaense de Energia Class B | 11,200 | 121,324 | ||||||
Gerdau SA | 9,800 | 40,794 | ||||||
Itau Unibanco Holding SA | 33,640 | 432,854 | ||||||
Itausa-Investimentos Itau SA | 68,600 | 221,390 | ||||||
Telefonica Brasil SA | 2,800 | 41,321 | ||||||
|
| |||||||
1,529,863 | ||||||||
CHILE — 0.28% |
| |||||||
Sociedad Quimica y Minera de Chile SA Series B | 3,724 | 117,001 | ||||||
|
| |||||||
117,001 | ||||||||
COLOMBIA — 0.10% |
| |||||||
Bancolombia SA | 4,466 | 41,720 | ||||||
|
| |||||||
41,720 | ||||||||
SOUTH KOREA — 0.97% |
| |||||||
AmorePacific Corp. | 252 | 37,329 | ||||||
LG Chem Ltd. | 406 | 63,732 | ||||||
LG Household & Health Care Ltd. | 84 | 42,195 | ||||||
Samsung Electronics Co. Ltd. | 196 | 259,311 | ||||||
|
| |||||||
402,567 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $1,650,493) |
| 2,091,151 |
Security | Shares | Value | ||||||
RIGHTS — 0.00% |
| |||||||
BRAZIL — 0.00% |
| |||||||
Itausa – Investimentos Itau SAa | 1,124 | $ | 1,424 | |||||
|
| |||||||
1,424 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 1,424 | ||||||
SHORT-TERM INVESTMENTS — 2.95% |
| |||||||
MONEY MARKET FUNDS — 2.95% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
0.98%e,f,g | 1,178,311 | 1,178,783 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
0.47%e,f | 41,217 | 41,217 | ||||||
|
| |||||||
1,220,000 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,219,832) |
| 1,220,000 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $38,780,625)h |
| 42,429,662 | ||||||
Other Assets, Less Liabilities — (2.46)% |
| (1,018,227 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 41,411,435 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income earning security. |
b | All or a portion of this security represents a security on loan. See Note 1. |
c | This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
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 $38,785,402. Net unrealized appreciation was $3,644,260, of which $3,814,315 represented gross unrealized appreciation on securities and $170,055 represented gross unrealized depreciation on securities. |
16 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2017
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, see Note 1.
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2017. 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: | ||||||||||||||||
Common stocks | $ | 39,117,087 | $ | — | $ | — | $ | 39,117,087 | ||||||||
Preferred stocks | 2,091,151 | — | — | 2,091,151 | ||||||||||||
Rights | — | 1,424 | — | 1,424 | ||||||||||||
Money market funds | 1,220,000 | — | — | 1,220,000 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 42,428,238 | $ | 1,424 | $ | — | $ | 42,429,662 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2017
iShares Edge MSCI Multifactor Emerging Markets ETF | iShares MSCI EM ESG Optimized ETF | |||||||
ASSETS | ||||||||
Investments, at cost: | ||||||||
Unaffiliated | $ | 28,290,761 | $ | 37,560,793 | ||||
Affiliated (Note 2) | 3,434,243 | 1,219,832 | ||||||
|
|
|
| |||||
Total cost of investments | $ | 31,725,004 | $ | 38,780,625 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 32,351,035 | $ | 41,209,662 | ||||
Affiliated (Note 2) | 3,614,158 | 1,220,000 | ||||||
|
|
|
| |||||
Total fair value of investments | 35,965,193 | 42,429,662 | ||||||
Foreign currency, at valueb | 36,303 | 53,696 | ||||||
Cash | 3,521 | — | ||||||
Receivables: | ||||||||
Investment securities sold | — | 995,436 | ||||||
Due from custodian (Note 4) | 354,649 | — | ||||||
Dividends and interest | 118,341 | 120,486 | ||||||
Capital shares sold | 1,002,207 | — | ||||||
|
|
|
| |||||
Total Assets | 37,480,214 | 43,599,280 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 1,357,043 | 995,009 | ||||||
Collateral for securities on loan (Note 1) | 790,820 | 1,178,605 | ||||||
Foreign taxes (Note 1) | 7 | 1 | ||||||
Investment advisory fees (Note 2) | 9,786 | 14,230 | ||||||
|
|
|
| |||||
Total Liabilities | 2,157,656 | 2,187,845 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 35,322,558 | $ | 41,411,435 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 31,506,766 | $ | 37,749,587 | ||||
Undistributed net investment income | 24,948 | 67,065 | ||||||
Accumulated net realized loss | (454,043 | ) | (61,390 | ) | ||||
Net unrealized appreciation | 4,244,887 | 3,656,173 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 35,322,558 | $ | 41,411,435 | ||||
|
|
|
| |||||
Shares outstandingc | 900,000 | 700,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 39.25 | $ | 59.16 | ||||
|
|
|
|
a | Securities on loan with values of $522,997 and $1,076,025, respectively. See Note 1. |
b | Cost of foreign currency: $35,867 and $53,045, respectively. |
c | $0.001 par value, number of shares authorized: 25 million and 25 million, respectively. |
See notes to financial statements.
18 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statement of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2017
iShares Edge MSCI Multifactor Emerging Markets ETF | iShares MSCI EM ESG Optimized ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 246,905 | $ | 173,962 | ||||
Dividends — affiliated (Note 2) | 6,149 | 46 | ||||||
Interest — unaffiliated | — | 3 | ||||||
Securities lending income — affiliated — net (Note 2) | 3,733 | 1,758 | ||||||
|
|
|
| |||||
256,787 | 175,769 | |||||||
Less: Other foreign taxes (Note 1) | (1,484 | ) | (216 | ) | ||||
|
|
|
| |||||
Total investment income | 255,303 | 175,553 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 84,422 | 43,599 | ||||||
|
|
|
| |||||
Total expenses | 84,422 | 43,599 | ||||||
Less investment advisory fees waived (Note 2) | (18,923 | ) | — | |||||
|
|
|
| |||||
Net expenses | 65,499 | 43,599 | ||||||
|
|
|
| |||||
Net investment income | 189,804 | 131,954 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (354,051 | ) | (61,496 | ) | ||||
Investments — affiliated (Note 2) | 49 | 10 | ||||||
Foreign currency transactions | (44 | ) | 769 | |||||
Realized gain distributions from affiliated funds | 2 | — | ||||||
|
|
|
| |||||
Net realized loss | (354,044 | ) | (60,717 | ) | ||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments | 1,990,718 | 3,071,238 | ||||||
Translation of assets and liabilities in foreign currencies | 5,568 | 7,275 | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 1,996,286 | 3,078,513 | ||||||
|
|
|
| |||||
Net realized and unrealized gain | 1,642,242 | 3,017,796 | ||||||
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| |||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,832,046 | $ | 3,149,750 | ||||
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a | Net of foreign withholding tax of $38,390 and $33,509, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 19 |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares Edge MSCI Multifactor Emerging Markets ETF | iShares MSCI EM ESG Optimized ETF | |||||||||||||||
Six months ended | Period from to August 31, 2016 | Six months ended February 28, 2017 (Unaudited) | Period from to | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 189,804 | $ | 422,570 | $ | 131,954 | $ | 31,368 | ||||||||
Net realized loss | (354,044 | ) | (107,720 | ) | (60,717 | ) | (2,734 | ) | ||||||||
Net change in unrealized appreciation/depreciation | 1,996,286 | 2,248,601 | 3,078,513 | 577,660 | ||||||||||||
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Net increase in net assets resulting from operations | 1,832,046 | 2,563,451 | 3,149,750 | 606,294 | ||||||||||||
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DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (478,985 | ) | (100,720 | ) | (94,196 | ) | — | |||||||||
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Total distributions to shareholders | (478,985 | ) | (100,720 | ) | (94,196 | ) | — | |||||||||
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CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 4,000,513 | 27,506,253 | 32,710,503 | 5,039,084 | ||||||||||||
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Net increase in net assets from capital share transactions | 4,000,513 | 27,506,253 | 32,710,503 | 5,039,084 | ||||||||||||
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INCREASE IN NET ASSETS | 5,353,574 | 29,968,984 | 35,766,057 | 5,645,378 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 29,968,984 | — | 5,645,378 | — | ||||||||||||
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End of period | $ | 35,322,558 | $ | 29,968,984 | $ | 41,411,435 | $ | 5,645,378 | ||||||||
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Undistributed net investment income included in net assets at end of period | $ | 24,948 | $ | 314,129 | $ | 67,065 | $ | 29,307 | ||||||||
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SHARES ISSUED | ||||||||||||||||
Shares sold | 100,000 | 800,000 | 600,000 | 100,000 | ||||||||||||
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Net increase in shares outstanding | 100,000 | 800,000 | 600,000 | 100,000 | ||||||||||||
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a | Commencement of operations. |
See notes to financial statements.
20 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Edge MSCI Multifactor Emerging Markets ETF |
Six months ended Feb. 28, 2017 (Unaudited) | Period from to | |||||||
Net asset value, beginning of period | $ | 37.46 | $ | 33.82 | ||||
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| |||||
Income from investment operations: | ||||||||
Net investment incomeb | 0.24 | 1.27 | ||||||
Net realized and unrealized gainc | 2.15 | 2.50 | ||||||
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| |||||
Total from investment operations | 2.39 | 3.77 | ||||||
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| |||||
Less distributions from: | ||||||||
Net investment income | (0.60 | ) | (0.13 | ) | ||||
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| |||||
Total distributions | (0.60 | ) | (0.13 | ) | ||||
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Net asset value, end of period | $ | 39.25 | $ | 37.46 | ||||
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Total return | 6.57 | %d | 11.16 | %d | ||||
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Ratios/Supplemental data: | ||||||||
Net assets, end of period (000s) | $ | 35,323 | $ | 29,969 | ||||
Ratio of expenses to average net assetse | 0.44 | % | 0.49 | % | ||||
Ratio of expenses to average net assets prior to waived feese | 0.57 | % | 0.65 | % | ||||
Ratio of net investment income to average net assetse | 1.27 | % | 4.91 | % | ||||
Portfolio turnover ratef | 26 | %d | 11 | %d |
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 in Creation Units but includes portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended Feburary 28, 2017 and the period ended August 31, 2016 were 25% and 11%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 21 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI EM ESG Optimized ETF |
Six months ended Feb. 28, 2017 (Unaudited) | Period from to | |||||||
Net asset value, beginning of period | $ | 56.45 | $ | 50.37 | ||||
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| |||||
Income from investment operations: | ||||||||
Net investment incomeb | 0.38 | 0.31 | ||||||
Net realized and unrealized gainc | 2.47 | 5.77 | ||||||
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Total from investment operations | 2.85 | 6.08 | ||||||
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Less distributions from: | ||||||||
Net investment income | (0.14 | ) | — | |||||
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Total distributions | (0.14 | ) | — | |||||
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Net asset value, end of period | $ | 59.16 | $ | 56.45 | ||||
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Total return | 5.07 | %d | 12.09 | %d | ||||
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Ratios/Supplemental data: | ||||||||
Net assets, end of period (000s) | $ | 41,411 | $ | 5,645 | ||||
Ratio of expenses to average net assetse | 0.45 | % | 0.45 | % | ||||
Ratio of net investment income to average net assetse | 1.36 | % | 3.26 | % | ||||
Portfolio turnover ratef | 8 | %d | 9 | %d |
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 in Creation Units but includes portfolio transactions that are executed as a result of the Fund processing capital share transactions in Creation Units partially for cash in U.S. dollars. Excluding such cash transactions, the portfolio turnover rates for the six months ended Feburary 28, 2017 and the period ended August 31, 2016 were 8% and 9%, respectively. See Note 4. |
See notes to financial statements.
22 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited)
iSHARES®, INC.
iShares, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated.
These financial statements relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):
iShares ETF | Diversification Classification | |
Edge MSCI Multifactor Emerging Markets | Non-diversified | |
MSCI EM ESG Optimized | Non-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.
Pursuant to the Company’s organizational documents, the Funds’ officers and directors 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 Directors of the Company (the “Board”).
• | 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. |
• | 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. |
• | Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”). |
NOTESTO FINANCIAL STATEMENTS | 23 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 by the Global Valuation Committee, in accordance with policies approved by the Board. The fair valuation approaches that may be utilized by the Global Valuation Committee to determine fair value include market approach, income approach and the cost approach. The valuation techniques used under these approaches take into consideration factors that 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 Company’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.
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 as follows:
• | 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 Company’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.
24 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017 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 Funds 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 is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method.
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.
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 February 28, 2017, 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 an approved bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current 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.
NOTESTO FINANCIAL STATEMENTS | 25 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 February 28, 2017, 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. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 28, 2017 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.
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.
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 February 28, 2017:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
Edge MSCI Multifactor Emerging Markets | ||||||||||||
Morgan Stanley & Co. LLC | $ | 522,997 | $ | 522,997 | $ | — | ||||||
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| |||||||
MSCI EM ESG Optimized | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 1,067,309 | $ | 1,067,309 | $ | — | ||||||
Morgan Stanley & Co. International PLC | 8,716 | 8,716 | — | |||||||||
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| |||||||
$ | 1,076,025 | $ | 1,076,025 | $ | — | |||||||
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| |||||||
a | Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s statement of assets and liabilities. |
26 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
2. | INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES |
Pursuant to an Investment Advisory Agreement with the Company, 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 (i) interest and taxes; (ii) brokerage commissions and other expenses connected with the execution of portfolio transactions; (iii) distribution fees; (iv) the advisory fee payable to BFA; and (v) litigation expenses and any extraordinary expenses (in each case as determined by a majority of the independent Directors).
For its investment advisory services to the iShares Edge MSCI Multifactor Emerging Markets ETF, BFA is entitled to an annual investment advisory fee of 0.45% based on the average daily net assets of the Fund. Prior to December 16, 2016, BFA was entitled to an annual investment advisory fee of 0.65% based on average daily net assets. In addition, the Fund may incur 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 December 31, 2021 in an amount equal to the acquired fund fees and expenses, if any, attributable to the Fund’s investments in other iShares funds. For the six months ended February 28, 2017, BFA voluntarily waived a portion of its investment advisory fees for the Fund in the amount of $13,031. The voluntary waiver was discontinued effective December 16, 2016, and in conjunction with the annual investment advisory fee reduction from 0.65% to 0.45%.
For its investment advisory services to the iShares MSCI EM ESG Optimized ETF, BFA is entitled to an annual investment advisory fee of 0.45% based on the average daily net assets of the Fund.
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 six months ended February 28, 2017, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
Edge MSCI Multifactor Emerging Markets | $ | 714 | ||
MSCI EM ESG Optimized | 477 |
NOTESTO FINANCIAL STATEMENTS | 27 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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 six months ended February 28, 2017, the purchase and sales transactions executed by the iShares Edge MSCI Multifactor Emerging Markets ETF pursuant to Rule 17a-7 under the 1940 Act were $777,286 and $73,142, respectively.
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 Funds, in order to improve their portfolio liquidity and their ability to track their underlying index, may invest in shares of other iShares funds that invest in securities in each Fund’s underlying index.
Certain directors and officers of the Company 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 six months ended February 28, 2017 were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Multifactor Emerging Markets | $ | 9,076,248 | $ | 7,913,314 | ||||
MSCI EM ESG Optimized | 18,671,162 | 1,522,267 |
In-kind transactions (see Note 4) for the six months ended February 28, 2017 were as follows:
iShares ETF | In-kind Purchases | |||
Edge MSCI Multifactor Emerging Markets | $ | 2,405,910 | ||
MSCI EM ESG Optimized | 15,425,407 |
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 Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company 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 Company’s administrator, to offset
28 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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 |
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.
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 a fund may suffer through holding market positions in the face of market movements. A fund is exposed to market risk by its investment in equity, fixed income and/or financial derivative instruments or by 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.
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 a 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 economies and markets of European countries are often closely connected and interdependent, and events in one European country can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of several European countries. Responses to the financial problems by European governments, central banks and others, including austerity
NOTESTO FINANCIAL STATEMENTS | 29 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. In addition, the United Kingdom has voted to withdraw from the European Union. The referendum may introduce significant new uncertainties and instability in the financial markets as the United Kingdom negotiates its exit from the European Union.
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
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.
6. | INCOME TAX INFORMATION |
Each Fund is treated as an entity separate from the Company’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.
For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds’ tax year. These reclassifications have no effect on net assets or NAV per share.
The tax character of current year distributions will be determined at the end of the current fiscal year.
30 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of August 31, 2016, the Funds’ fiscal year end, the Funds had non-expiring capital loss carryforwards available to offset future realized capital gains as follows:
iShares ETF | Non- Expiring | |||
Edge MSCI Multifactor Emerging Markets | $ | 96,832 | ||
MSCI EM ESG Optimized | 39 |
The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” The Funds 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.
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2017, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.
7. | LINE OF CREDIT |
The Funds, along with certain other iShares funds, are parties to a $250 million credit agreement with State Street Bank and Trust Company, which expires on October 25, 2017. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings. The credit agreement has the following terms: a commitment fee of 0.20% per annum on the unused portion of the credit agreement and interest at a rate equal to the higher of (a) the one-month LIBOR (not less than zero) plus 1.00% per annum or (b) the U.S. Federal Funds rate (not less than zero) plus 1.00% per annum on amounts borrowed. The commitment fee is allocated to each fund participating in the credit agreement based on each fund’s pro-rata share of the aggregate average daily value of assets invested in local securities of certain foreign markets.
The Funds did not borrow under the credit agreement during the six months ended February 28, 2017.
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 | 31 |
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Supplemental Information (Unaudited)
iSHARES®, INC.
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-to-Date | % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date | |||||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||
Edge MSCI Multifactor Emerging Markets | $ | 0.526259 | $ | — | $ | 0.072472 | $ | 0.598731 | 88 | % | — | % | 12 | % | 100 | % | ||||||||||||||||
MSCI EM ESG Optimized | 0.068742 | — | 0.076175 | 0.144917 | 47 | — | 53 | 100 |
32 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 33 |
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Notes:
34 | 2017 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 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”).
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the company listed above.
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.
©2017 BlackRock, Inc. All rights reserved. iSHARES and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.
iS-SAR-816-0217
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Item 2. | Code of Ethics. |
Not applicable to this semi-annual filing.
Item 3. | Audit Committee Financial Expert. |
Not applicable to this semi-annual filing.
Item 4. | Principal Accountant Fees and Services. |
Not applicable to this semi-annual filing.
Item 5. | Audit Committee of Listed Registrants. |
Not applicable to this semi-annual filing.
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 Directors.
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) Not applicable to this semi-annual filing.
(a) (2) Section 302 Certifications are attached.
(a) (3) Not applicable to the Registrant.
(b) Section 906 Certifications are attached.
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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, Inc.
| ||
By: | /s/ Martin Small | |
Martin Small, President (Principal Executive Officer) | ||
Date: April 28, 2017 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
By: | /s/ Martin Small | |
Martin Small, President (Principal Executive Officer) |
Date: April 28, 2017
By: | /s/ Jack Gee | |
Jack Gee, Treasurer and Chief Financial Officer (Principal Financial Officer) |
Date: April 28, 2017