Table of Contents
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-09102
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, 2018
Date of reporting period: February 28, 2018
Table of Contents
Item 1. Reports to Stockholders.
Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Austria ETF | EWO | NYSE Arca |
Ø | iShares MSCI Belgium ETF | EWK | NYSE Arca |
Ø | iShares MSCI France ETF | EWQ | NYSE Arca |
Ø | iShares MSCI Netherlands ETF | EWN | NYSE Arca |
Ø | iShares MSCI Sweden ETF | EWD | NYSE Arca |
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Table of Contents
iSHARES® MSCI AUSTRIA ETF
Performance as of February 28, 2018
The iShares MSCI Austria ETF (the “Fund”) (formerly the iShares MSCI Austria Capped ETF) seeks to track the investment results of a broad-based index composed of Austrian equities, as represented by the MSCI Austria IMI 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, 2018, the total return for the Fund was 11.80%, net of fees, while the total return for the Index was 12.02%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 48.40% | 48.14% | 48.68% | 48.40% | 48.14% | 48.68% | ||||||||||||||||||||||
5 Years | 9.42% | 9.41% | 9.59% | 56.88% | 56.74% | 58.11% | ||||||||||||||||||||||
10 Years | (0.05)% | 0.10% | (0.32)% | (0.48)% | 0.96% | (3.13)% |
Index performance 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 IMI 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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,118.00 | $ | 2.47 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 32.80 | % | ||
Materials | 17.51 | |||
Energy | 14.92 | |||
Real Estate | 13.78 | |||
Industrials | 11.88 | |||
Information Technology | 2.83 | |||
Telecommunication Services | 2.67 | |||
Consumer Discretionary | 1.93 | |||
Utilities | 1.68 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Erste Group Bank AG | 23.07 | % | ||
OMV AG | 12.52 | |||
Voestalpine AG | 9.75 | |||
Wienerberger AG | 4.83 | |||
Raiffeisen Bank International AG | 4.43 | |||
BUWOG AG | 4.42 | |||
ANDRITZ AG | 4.30 | |||
CA Immobilien Anlagen AG | 3.91 | |||
IMMOFINANZ AG | 3.59 | |||
Oesterreichische Post AG | 3.02 | |||
|
| |||
TOTAL | 73.84 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI BELGIUM ETF
Performance as of February 28, 2018
The iShares MSCI Belgium ETF (the “Fund”) (formerly the iShares MSCI Belgium Capped ETF) seeks to track the investment results of a broad-based index composed of Belgian equities, as represented by the MSCI Belgium IMI 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, 2018, the total return for the Fund was 7.96%, net of fees, while the total return for the Index was 8.06%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.16% | 25.88% | 26.14% | 26.16% | 25.88% | 26.14% | ||||||||||||||||||||||
5 Years | 11.99% | 11.97% | 12.04% | 76.15% | 75.99% | 76.57% | ||||||||||||||||||||||
10 Years | 2.93% | 3.02% | 3.46% | 33.43% | 34.71% | 40.55% |
Index performance 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 IMI 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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,079.60 | $ | 2.42 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Consumer Staples | 26.45 | % | ||
Financials | 25.52 | |||
Materials | 13.75 | |||
Health Care | 11.62 | |||
Real Estate | 5.72 | |||
Consumer Discretionary | 4.54 | |||
Information Technology | 3.84 | |||
Telecommunication Services | 3.18 | |||
Industrials | 2.83 | |||
Utilities | 1.32 | |||
Energy | 1.23 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Anheuser-Busch InBev SA/NV | 22.78 | % | ||
KBC Group NV | 10.50 | |||
Umicore SA | 5.82 | |||
Solvay SA | 4.90 | |||
Ageas | 4.47 | |||
UCB SA | 4.44 | |||
Groupe Bruxelles Lambert SA | 4.41 | |||
Proximus SADP | 2.52 | |||
Galapagos NV | 2.46 | |||
Ackermans & van Haaren NV | 2.34 | |||
|
| |||
TOTAL | 64.64 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI FRANCE ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 7.61%, net of fees, while the total return for the Index was 7.79%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 29.95% | 29.57% | 29.85% | 29.95% | 29.57% | 29.85% | ||||||||||||||||||||||
5 Years | 8.94% | 8.88% | 8.91% | 53.41% | 53.03% | 53.21% | ||||||||||||||||||||||
10 Years | 2.35% | 2.40% | 2.37% | 26.20% | 26.71% | 26.43% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,076.10 | $ | 2.42 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Industrials | 21.20 | % | ||
Consumer Discretionary | 18.71 | |||
Financials | 15.21 | |||
Consumer Staples | 9.65 | |||
Energy | 8.43 | |||
Health Care | 8.13 | |||
Materials | 5.47 | |||
Information Technology | 4.56 | |||
Utilities | 3.25 | |||
Real Estate | 2.93 | |||
Telecommunication Services | 2.46 | |||
|
| |||
TOTAL | 100.00 | % | ||
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|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
TOTAL SA | 8.43 | % | ||
Sanofi | 5.53 | |||
BNP Paribas SA | 5.49 | |||
LVMH Moet Hennessy Louis Vuitton SE | 5.14 | |||
Airbus SE | 4.27 | |||
AXA SA | 3.75 | |||
L’Oreal SA | 3.33 | |||
Air Liquide SA | 3.30 | |||
Vinci SA | 3.08 | |||
Schneider Electric SE | 3.03 | |||
|
| |||
TOTAL | 45.35 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI NETHERLANDS ETF
Performance as of February 28, 2018
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 IMI 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, 2018, the total return for the Fund was 5.27%, net of fees, while the total return for the Index was 5.51%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 Years | 1 Year | 5 Years | 10 Years | |||||||||||||||||||||||
NAV | 27.66% | 11.78% | 4.14% | 27.66% | 74.49% | 50.02% | ||||||||||||||||||||||
MARKET | 27.26% | 11.73% | 4.23% | 27.26% | 74.10% | 51.37% | ||||||||||||||||||||||
INDEXa | 28.18% | 11.96% | 4.50% | 28.18% | 75.91% | 55.31% | ||||||||||||||||||||||
MSCI Netherlands Investable Market Index | 27.89% | 11.91% | 4.48% | 27.89% | 75.51% | 54.96% | ||||||||||||||||||||||
MSCI Netherlands IMI 25/50 Indexb | 27.83% | n/a | n/a | 27.83% | n/a | n/a |
a | Index performance through August 31, 2017 reflects the performance of the MSCI Netherlands Investable Market Index. Index performance beginning on September 1, 2017 reflects the performance of the MSCI Netherlands IMI 25/50 index, which, effective as of September 1, 2017, replaced the MSCI Netherlands Investable Market Index as the underlying index of the Fund. |
b | The inception date of the MSCI Netherlands IMI 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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,052.70 | $ | 2.39 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Consumer Staples | 24.97 | % | ||
Information Technology | 22.27 | |||
Financials | 19.55 | |||
Industrials | 14.04 | |||
Materials | 8.57 | |||
Health Care | 4.44 | |||
Telecommunication Services | 1.93 | |||
Energy | 1.63 | |||
Real Estate | 1.37 | |||
Consumer Discretionary | 1.23 | |||
|
| |||
TOTAL | 100.00 | % | ||
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|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Unilever NV CVA | 14.02 | % | ||
ASML Holding NV | 12.15 | |||
ING Groep NV | 11.11 | |||
NXP Semiconductors NV | 6.68 | |||
Koninklijke Ahold Delhaize NV | 4.47 | |||
Koninklijke Philips NV | 4.44 | |||
Akzo Nobel NV | 4.25 | |||
Heineken NV | 3.56 | |||
RELX NV | 3.47 | |||
Koninklijke DSM NV | 3.34 | |||
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| |||
TOTAL | 67.49 | % | ||
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|
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SWEDEN ETF
Performance as of February 28, 2018
The iShares MSCI Sweden ETF (the “Fund”) (formerly the iShares MSCI Sweden Capped 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, 2018, the total return for the Fund was -0.63%, net of fees, while the total return for the Index was -0.36%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 15.87% | 15.50% | 15.17% | 15.87% | 15.50% | 15.17% | ||||||||||||||||||||||
5 Years | 4.71% | 4.69% | 4.12% | 25.88% | 25.77% | 22.36% | ||||||||||||||||||||||
10 Years | 5.13% | 5.20% | 4.81% | 64.97% | 65.97% | 59.96% |
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.
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 993.70 | $ | 2.32 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Industrials | 34.94 | % | ||
Financials | 31.84 | |||
Information Technology | 8.55 | |||
Consumer Discretionary | 7.27 | |||
Consumer Staples | 6.86 | |||
Telecommunication Services | 5.80 | |||
Materials | 2.60 | |||
Energy | 1.29 | |||
Health Care | 0.85 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Nordea Bank AB | 8.42 | % | ||
Volvo AB Class B | 7.13 | |||
Atlas Copco AB Class A | 6.97 | |||
Swedbank AB Class A | 5.53 | |||
Assa Abloy AB Class B | 5.25 | |||
Svenska Handelsbanken AB Class A | 5.09 | |||
Investor AB Class B | 4.58 | |||
Telefonaktiebolaget LM Ericsson Class B | 4.57 | |||
Sandvik AB | 4.54 | |||
Skandinaviska Enskilda Banken AB Class A | 4.14 | |||
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TOTAL | 56.22 | % | ||
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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, 2017 and held through February 28, 2018, 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 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.68% |
| |||||||
AEROSPACE & DEFENSE — 2.00% |
| |||||||
FACC AGa | 200,975 | $ | 5,270,064 | |||||
|
| |||||||
5,270,064 | ||||||||
AIR FREIGHT & LOGISTICS — 3.01% |
| |||||||
Oesterreichische Post AG | 164,419 | 7,941,135 | ||||||
|
| |||||||
7,941,135 | ||||||||
AUTO COMPONENTS — 0.92% | ||||||||
POLYTEC Holding AG | 114,427 | 2,428,361 | ||||||
|
| |||||||
2,428,361 | ||||||||
BANKS — 27.41% | ||||||||
Erste Group Bank AG | 1,187,329 | 60,690,979 | ||||||
Raiffeisen Bank International AGa | 298,489 | 11,646,032 | ||||||
|
| |||||||
72,337,011 | ||||||||
CHEMICALS — 2.91% | ||||||||
Lenzing AG | 62,144 | 7,685,508 | ||||||
|
| |||||||
7,685,508 | ||||||||
CONSTRUCTION & ENGINEERING — 0.99% |
| |||||||
Porr AGb | 77,719 | 2,606,725 | ||||||
|
| |||||||
2,606,725 | ||||||||
CONSTRUCTION MATERIALS — 4.82% |
| |||||||
Wienerberger AG | 470,762 | 12,712,016 | ||||||
|
| |||||||
12,712,016 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.66% |
| |||||||
Telekom Austria AG | 782,724 | 7,016,676 | ||||||
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| |||||||
7,016,676 | ||||||||
ELECTRIC UTILITIES — 1.68% | ||||||||
EVN AG | 226,859 | 4,427,019 | ||||||
|
| |||||||
4,427,019 | ||||||||
ELECTRICAL EQUIPMENT — 0.86% |
| |||||||
Zumtobel Group AG | 211,050 | 2,265,184 | ||||||
|
| |||||||
2,265,184 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & |
| |||||||
AT&S Austria Technologie & Systemtechnik AG | 190,052 | 5,134,304 | ||||||
Kapsch TrafficCom AG | 43,330 | 2,320,003 | ||||||
|
| |||||||
7,454,307 | ||||||||
ENERGY EQUIPMENT & SERVICES — 2.39% |
| |||||||
Schoeller-Bleckmann Oilfield Equipment AGa | 60,886 | 6,300,931 | ||||||
|
| |||||||
6,300,931 |
Security | Shares | Value | ||||||
HOTELS, RESTAURANTS & LEISURE — 1.01% |
| |||||||
DO & CO AGb | 43,959 | $ | 2,656,604 | |||||
|
| |||||||
2,656,604 | ||||||||
INSURANCE — 5.29% | ||||||||
UNIQA Insurance Group AG | 632,308 | 7,353,342 | ||||||
Vienna Insurance Group AG Wiener Versicherung Gruppe | 197,786 | 6,600,047 | ||||||
|
| |||||||
13,953,389 | ||||||||
MACHINERY — 4.98% | ||||||||
ANDRITZ AG | 194,261 | 11,301,586 | ||||||
Semperit AG Holdingb | 89,363 | 1,852,858 | ||||||
|
| |||||||
13,154,444 | ||||||||
METALS & MINING — 9.72% | ||||||||
Voestalpine AG | 441,891 | 25,654,143 | ||||||
|
| |||||||
25,654,143 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 12.48% |
| |||||||
OMV AG | 573,372 | 32,937,664 | ||||||
|
| |||||||
32,937,664 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 13.73% |
| |||||||
BUWOG AG | 329,827 | 11,625,709 | ||||||
CA Immobilien Anlagen AG | 349,677 | 10,295,318 | ||||||
IMMOFINANZ AG | 4,029,917 | 9,436,974 | ||||||
S IMMO AG | 273,537 | 4,884,190 | ||||||
|
| |||||||
36,242,191 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $221,153,912) | 263,043,372 | |||||||
SHORT-TERM INVESTMENTS — 1.54% |
| |||||||
MONEY MARKET FUNDS — 1.54% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
1.58%c,d,e | 4,032,211 | 4,032,614 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%c,d | 20,163 | 20,163 | ||||||
|
| |||||||
4,052,777 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,052,854) | 4,052,777 | |||||||
|
|
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRIA ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $225,206,766) | $ | 267,096,149 | ||||||
Other Assets, Less Liabilities — (1.22)% |
| (3,209,128 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 263,887,021 | ||||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss)a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 6,611,731 | — | (2,579,520 | )b | 4,032,211 | $ | 4,032,614 | $ | 91,485 | c | $ | (1,418 | ) | $ | (599 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 135,114 | — | (114,951 | )b | 20,163 | 20,163 | 696 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 4,052,777 | $ | 92,181 | $ | (1,418 | ) | $ | (599 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 263,043,372 | $ | — | $ | — | $ | 263,043,372 | ||||||||
Money market funds | 4,052,777 | — | — | 4,052,777 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 267,096,149 | $ | — | $ | — | $ | 267,096,149 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.92% | ||||||||
AIR FREIGHT & LOGISTICS — 1.95% |
| |||||||
bpost SA | 44,419 | $ | 1,510,416 | |||||
|
| |||||||
1,510,416 | ||||||||
BANKS — 10.49% | ||||||||
KBC Group NV | 86,019 | 8,109,784 | ||||||
|
| |||||||
8,109,784 | ||||||||
BEVERAGES — 22.76% | ||||||||
Anheuser-Busch InBev SA/NV | 164,839 | 17,587,502 | ||||||
|
| |||||||
17,587,502 | ||||||||
BIOTECHNOLOGY — 4.56% | ||||||||
Ablynx NVa,b | 29,453 | 1,571,963 | ||||||
Celyad SAa,b | 1,382 | 54,781 | ||||||
Galapagos NVa,b | 17,987 | 1,899,379 | ||||||
|
| |||||||
3,526,123 | ||||||||
CAPITAL MARKETS — 0.95% | ||||||||
Gimv NV | 11,865 | 736,582 | ||||||
|
| |||||||
736,582 | ||||||||
CHEMICALS — 11.79% | ||||||||
Recticel SA | 5,995 | 72,753 | ||||||
Solvay SA | 27,412 | 3,781,279 | ||||||
Tessenderlo Group SAa | 16,852 | 764,592 | ||||||
Umicore SA | 79,154 | 4,491,051 | ||||||
|
| |||||||
9,109,675 | ||||||||
COMMUNICATIONS EQUIPMENT — 0.60% |
| |||||||
EVS Broadcast Equipment SA | 13,518 | 466,589 | ||||||
|
| |||||||
466,589 | ||||||||
CONSTRUCTION & ENGINEERING — 0.87% |
| |||||||
Cie. d’Entreprises CFE | 4,970 | 675,269 | ||||||
|
| |||||||
675,269 | ||||||||
DISTRIBUTORS — 0.90% | ||||||||
D’ieteren SA/NV | 16,176 | 698,014 | ||||||
|
| |||||||
698,014 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 9.58% |
| |||||||
Ackermans & van Haaren NV | 10,005 | 1,809,646 | ||||||
Groupe Bruxelles Lambert SA | 29,727 | 3,409,566 | ||||||
KBC Ancora | 17,272 | 1,123,861 | ||||||
Sofina SA | 6,223 | 1,061,066 | ||||||
|
| |||||||
7,404,139 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.52% |
| |||||||
Proximus SADP | 60,432 | 1,945,099 | ||||||
|
| |||||||
1,945,099 |
Security | Shares | Value | ||||||
ELECTRIC UTILITIES — 1.32% | ||||||||
Elia System Operator SA/NV | 16,141 | $ | 1,021,723 | |||||
|
| |||||||
1,021,723 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 0.93% |
| |||||||
Barco NV | 5,850 | 716,350 | ||||||
|
| |||||||
716,350 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 5.72% |
| |||||||
Aedifica SA | 9,486 | 867,720 | ||||||
Befimmo SA | 12,111 | 793,213 | ||||||
Cofinimmo SA | 9,761 | 1,230,978 | ||||||
Intervest Offices & Warehouses NV | 16,954 | 468,356 | ||||||
Warehouses De Pauw CVA | 8,871 | 1,058,149 | ||||||
|
| |||||||
4,418,416 | ||||||||
FOOD & STAPLES RETAILING — 1.89% |
| |||||||
Colruyt SA | 26,951 | 1,457,163 | ||||||
|
| |||||||
1,457,163 | ||||||||
FOOD PRODUCTS — 0.42% | ||||||||
Greenyard NV | 14,022 | 320,832 | ||||||
|
| |||||||
320,832 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.12% |
| |||||||
Biocartis NVa,b,c | 30,456 | 484,380 | ||||||
Ion Beam Applicationsb | 14,629 | 377,185 | ||||||
|
| |||||||
861,565 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.70% |
| |||||||
Fagrona | 33,830 | 544,230 | ||||||
|
| |||||||
544,230 | ||||||||
HEALTH CARE TECHNOLOGY — 0.79% |
| |||||||
AGFA-Gevaert NVa | 123,881 | 610,712 | ||||||
|
| |||||||
610,712 | ||||||||
HOUSEHOLD DURABLES — 0.07% | ||||||||
Balta Group NVa,c | 5,588 | 52,070 | ||||||
|
| |||||||
52,070 | ||||||||
INSURANCE — 4.47% |
| |||||||
Ageas | 65,598 | 3,452,286 | ||||||
|
| |||||||
3,452,286 | ||||||||
IT SERVICES — 0.87% | ||||||||
Econocom Group SA/NV | 82,415 | 668,944 | ||||||
|
| |||||||
668,944 | ||||||||
MEDIA — 2.96% | ||||||||
Kinepolis Group NV | 9,882 | 690,613 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BELGIUM ETF
February 28, 2018
Security | Shares | Value | ||||||
Telenet Group Holding NVa | 23,221 | $ | 1,598,749 | |||||
|
| |||||||
2,289,362 | ||||||||
METALS & MINING — 1.95% | ||||||||
Bekaert SA | 19,698 | 980,687 | ||||||
Nyrstar NVa,b | 73,302 | 524,795 | ||||||
|
| |||||||
1,505,482 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.23% |
| |||||||
Euronav NV | 73,698 | 597,741 | ||||||
Exmar NVa,b | 47,666 | 354,047 | ||||||
|
| |||||||
951,788 | ||||||||
PERSONAL PRODUCTS — 1.37% | ||||||||
Ontex Group NV | 36,468 | 1,057,692 | ||||||
|
| |||||||
1,057,692 | ||||||||
PHARMACEUTICALS — 4.44% | ||||||||
UCB SA | 41,277 | 3,427,386 | ||||||
|
| |||||||
3,427,386 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
Melexis NV | 10,097 | 1,114,490 | ||||||
|
| |||||||
1,114,490 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.60% |
| |||||||
Sioen Industries NV | 7,751 | 284,078 | ||||||
Van de Velde NV | 3,674 | 179,912 | ||||||
|
| |||||||
463,990 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.66% |
| |||||||
Orange Belgium SA | 27,514 | 512,087 | ||||||
|
| |||||||
512,087 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $73,906,186) |
| 77,215,760 | ||||||
SHORT-TERM INVESTMENTS — 4.95% |
| |||||||
MONEY MARKET FUNDS — 4.95% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
1.58%d,e,f | 3,784,748 | 3,785,126 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%d,e | 35,894 | 35,894 | ||||||
|
| |||||||
3,821,020 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $3,820,934) | 3,821,020 | |||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $77,727,120) | $ | 81,036,780 | ||||||
Other Assets, Less Liabilities — (4.87)% |
| (3,760,608 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 77,276,172 | ||||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BELGIUM ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 3,505,275 | 279,473b | — | 3,784,748 | $ | 3,785,126 | $ | 29,286 | c | $ | 143 | $ | (241 | ) | ||||||||||||||||||
BlackRock Cash Funds: Treasury, | 25,070 | 10,824b | — | 35,894 | 35,894 | 277 | — | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 3,821,020 | $ | 29,563 | $ | 143 | $ | (241 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 77,215,760 | $ | — | $ | — | $ | 77,215,760 | ||||||||
Money market funds | 3,821,020 | — | — | 3,821,020 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 81,036,780 | $ | — | $ | — | $ | 81,036,780 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.84% |
| |||||||
AEROSPACE & DEFENSE — 7.52% |
| |||||||
Airbus SE | 282,566 | $ | 33,891,088 | |||||
Dassault Aviation SA | 1,215 | 2,114,636 | ||||||
Safran SA | 162,314 | 17,995,142 | ||||||
Thales SA | 51,569 | 5,757,514 | ||||||
|
| |||||||
59,758,380 | ||||||||
AIR FREIGHT & LOGISTICS — 0.30% |
| |||||||
Bollore SA | 425,853 | 2,413,094 | ||||||
|
| |||||||
2,413,094 | ||||||||
AUTO COMPONENTS — 2.97% |
| |||||||
Cie. Generale des Etablissements Michelin SCA Class B | 83,276 | 12,868,617 | ||||||
Faurecia SA | 36,926 | 3,120,151 | ||||||
Valeo SA | 116,753 | 7,612,589 | ||||||
|
| |||||||
23,601,357 | ||||||||
AUTOMOBILES — 2.10% |
| |||||||
Peugeot SA | 286,527 | 6,505,250 | ||||||
Renault SA | 93,645 | 10,219,884 | ||||||
|
| |||||||
16,725,134 | ||||||||
BANKS — 9.38% |
| |||||||
BNP Paribas SA | 546,610 | 43,580,425 | ||||||
Credit Agricole SA | 554,621 | 9,561,533 | ||||||
Societe Generale SA | 373,276 | 21,452,147 | ||||||
|
| |||||||
74,594,105 | ||||||||
BEVERAGES — 2.33% |
| |||||||
Pernod Ricard SA | 103,298 | 17,008,307 | ||||||
Remy Cointreau SA | 11,143 | 1,520,784 | ||||||
|
| |||||||
18,529,091 | ||||||||
BUILDING PRODUCTS — 1.75% |
| |||||||
Cie. de Saint-Gobain | 243,460 | 13,880,279 | ||||||
|
| |||||||
13,880,279 | ||||||||
CAPITAL MARKETS — 0.80% |
| |||||||
Amundi SAa | 29,405 | 2,408,615 | ||||||
Natixis SA | 458,533 | 3,970,675 | ||||||
|
| |||||||
6,379,290 | ||||||||
CHEMICALS — 3.84% |
| |||||||
Air Liquide SA | 208,047 | 26,173,759 | ||||||
Arkema SA | 33,199 | 4,350,777 | ||||||
|
| |||||||
30,524,536 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.67% |
| |||||||
Edenred | 108,789 | 3,838,564 |
Security | Shares | Value | ||||||
Societe BIC SA | 13,924 | $ | 1,463,035 | |||||
|
| |||||||
5,301,599 | ||||||||
CONSTRUCTION & ENGINEERING — 4.23% |
| |||||||
Bouygues SA | 104,469 | 5,308,137 | ||||||
Eiffage SA | 35,757 | 3,885,744 | ||||||
Vinci SA | 246,301 | 24,428,621 | ||||||
|
| |||||||
33,622,502 | ||||||||
CONSTRUCTION MATERIALS — 0.22% |
| |||||||
Imerys SA | 17,413 | 1,779,726 | ||||||
|
| |||||||
1,779,726 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.55% |
| |||||||
Eurazeo SA | 21,087 | 2,017,637 | ||||||
Wendel SA | 13,598 | 2,364,994 | ||||||
|
| |||||||
4,382,631 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.46% |
| |||||||
Iliad SA | 12,841 | 3,021,110 | ||||||
Orange SA | 970,511 | 16,500,558 | ||||||
|
| |||||||
19,521,668 | ||||||||
ELECTRIC UTILITIES — 0.46% |
| |||||||
Electricite de France SA | 281,330 | 3,673,145 | ||||||
|
| |||||||
3,673,145 | ||||||||
ELECTRICAL EQUIPMENT — 4.31% |
| |||||||
Legrand SA | 129,602 | 10,201,783 | ||||||
Schneider Electric SE | 275,848 | 24,082,243 | ||||||
|
| |||||||
34,284,026 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 0.32% |
| |||||||
Ingenico Group SA | 28,812 | 2,513,254 | ||||||
|
| |||||||
2,513,254 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Fonciere Des Regions | 16,335 | 1,712,381 | ||||||
Gecina SA | 23,564 | 4,141,412 | ||||||
ICADE | 16,211 | 1,572,843 | ||||||
Klepierre SA | 107,203 | 4,436,354 | ||||||
Unibail-Rodamco SE | 48,653 | 11,378,379 | ||||||
|
| |||||||
23,241,369 | ||||||||
FOOD & STAPLES RETAILING — 1.01% |
| |||||||
Carrefour SA | 283,053 | 6,542,028 | ||||||
Casino Guichard Perrachon SA | 27,022 | 1,470,559 | ||||||
|
| |||||||
8,012,587 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRANCE ETF
February 28, 2018
Security | Shares | Value | ||||||
FOOD PRODUCTS — 2.96% |
| |||||||
Danone SA | 293,726 | $ | 23,554,482 | |||||
|
| |||||||
23,554,482 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.87% |
| |||||||
BioMerieux | 20,150 | 1,553,200 | ||||||
Essilor International Cie. Generale d’Optique SA | 101,092 | 13,297,572 | ||||||
|
| |||||||
14,850,772 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 1.35% |
| |||||||
Accor SA | 91,448 | 5,297,893 | ||||||
Sodexo SA | 44,089 | 5,436,468 | ||||||
|
| |||||||
10,734,361 | ||||||||
HOUSEHOLD DURABLES — 0.28% |
| |||||||
SEB SA | 10,968 | 2,246,020 | ||||||
|
| |||||||
2,246,020 | ||||||||
INSURANCE — 4.45% |
| |||||||
AXA SA | 944,056 | 29,775,680 | ||||||
CNP Assurances | 83,507 | 2,036,987 | ||||||
SCOR SE | 84,175 | 3,592,216 | ||||||
|
| |||||||
35,404,883 | ||||||||
IT SERVICES — 2.00% |
| |||||||
Atos SE | 45,967 | 6,082,909 | ||||||
Capgemini SE | 78,285 | 9,829,701 | ||||||
|
| |||||||
15,912,610 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.39% |
| |||||||
Eurofins Scientific SE | 5,535 | 3,129,655 | ||||||
|
| |||||||
3,129,655 | ||||||||
MACHINERY — 0.40% |
| |||||||
Alstom SA | 74,963 | 3,168,003 | ||||||
|
| |||||||
3,168,003 | ||||||||
MEDIA — 3.60% |
| |||||||
Eutelsat Communications SA | 84,924 | 1,988,690 | ||||||
JCDecaux SA | 36,069 | 1,405,971 | ||||||
Lagardere SCA | 57,410 | 1,694,487 | ||||||
Publicis Groupe SA | 100,986 | 7,641,319 | ||||||
SES SA | 177,208 | 2,837,811 | ||||||
Vivendi SA | 503,338 | 13,045,300 | ||||||
|
| |||||||
28,613,578 | ||||||||
METALS & MINING — 1.40% |
| |||||||
ArcelorMittalb | 322,918 | 11,126,181 | ||||||
|
| |||||||
11,126,181 |
Security | Shares | Value | ||||||
MULTI-UTILITIES — 2.78% |
| |||||||
Engie SA | 888,264 | $ | 13,948,410 | |||||
Suez | 179,037 | 2,472,956 | ||||||
Veolia Environnement SA | 233,289 | 5,682,085 | ||||||
|
| |||||||
22,103,451 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 8.42% |
| |||||||
TOTAL SA | 1,167,856 | 66,902,949 | ||||||
|
| |||||||
66,902,949 | ||||||||
PERSONAL PRODUCTS — 3.33% |
| |||||||
L’Oreal SA | 122,618 | 26,478,024 | ||||||
|
| |||||||
26,478,024 | ||||||||
PHARMACEUTICALS — 5.86% |
| |||||||
Ipsen SA | 18,306 | 2,698,209 | ||||||
Sanofi | 553,102 | 43,868,662 | ||||||
|
| |||||||
46,566,871 | ||||||||
PROFESSIONAL SERVICES — 0.93% |
| |||||||
Bureau Veritas SA | 129,015 | 3,384,668 | ||||||
Teleperformance | 28,149 | 4,020,270 | ||||||
|
| |||||||
7,404,938 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
STMicroelectronics NV | 310,522 | 7,127,667 | ||||||
|
| |||||||
7,127,667 | ||||||||
SOFTWARE — 1.34% |
| |||||||
Dassault Systemes SE | 63,135 | 8,181,530 | ||||||
Ubisoft Entertainment SAb | 29,922 | 2,481,618 | ||||||
|
| |||||||
10,663,148 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 8.37% |
| |||||||
Hermes International | 15,429 | 8,319,433 | ||||||
Kering SA | 36,859 | 17,442,578 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 135,654 | 40,783,541 | ||||||
|
| |||||||
66,545,552 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.33% |
| |||||||
Rexel SA | 147,563 | 2,605,142 | ||||||
|
| |||||||
2,605,142 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.74% |
| |||||||
Aeroports de Paris | 14,434 | 2,922,336 | ||||||
Getlink SE Registered | 227,754 | 2,934,749 | ||||||
|
| |||||||
5,857,085 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| 793,733,145 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRANCE ETF
February 28, 2018
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.00% |
| |||||||
MONEY MARKET FUNDS — 0.00% |
| |||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%c,d | 22,292 | $ | 22,292 | |||||
|
| |||||||
22,292 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $22,292) |
| 22,292 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $744,108,700) |
| 793,755,437 | ||||||
Other Assets, Less Liabilities — 0.16% |
| 1,232,851 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 794,988,288 | |||||
|
|
a | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
b | Non-income producing security. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | — | —b | — | — | $ | — | $ | 50,168 | c | $ | (82 | ) | $ | — | ||||||||||||||||||
BlackRock Cash Funds: Treasury, | 218,501 | — | (196,209 | )b | 22,292 | 22,292 | 1,254 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 22,292 | $ | 51,422 | $ | (82 | ) | $ | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
CAC 40 Index | 17 | Mar 2018 | $ | 1,103 | $ | 40,034 | ||||||||||
|
| |||||||||||||||
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRANCE ETF
February 28, 2018
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, 2018. 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 | $ | 793,733,145 | $ | — | $ | — | $ | 793,733,145 | ||||||||
Money market funds | 22,292 | — | — | 22,292 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 793,755,437 | $ | — | $ | — | $ | 793,755,437 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 40,034 | $ | — | $ | — | $ | 40,034 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 40,034 | $ | — | $ | — | $ | 40,034 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.81% |
| |||||||
AIR FREIGHT & LOGISTICS — 0.40% |
| |||||||
PostNL NV | 221,803 | $ | 888,665 | |||||
|
| |||||||
888,665 | ||||||||
BANKS — 13.49% | ||||||||
ABN AMRO Group NV CVAa | 170,928 | 5,336,894 | ||||||
ING Groep NV | 1,395,599 | 24,643,627 | ||||||
|
| |||||||
29,980,521 | ||||||||
BEVERAGES — 6.01% | ||||||||
Coca-Cola European Partners PLC | 64,644 | 2,457,765 | ||||||
Heineken Holding NV | 22,014 | 2,194,937 | ||||||
Heineken NV | 75,694 | 7,897,072 | ||||||
Refresco Group NVa | 33,518 | 815,561 | ||||||
|
| |||||||
13,365,335 | ||||||||
CAPITAL MARKETS — 0.52% | ||||||||
BinckBank NV | 66,785 | 395,054 | ||||||
Flow Tradersa | 18,778 | 771,359 | ||||||
|
| |||||||
1,166,413 | ||||||||
CHEMICALS — 8.46% |
| |||||||
Akzo Nobel NV | 96,929 | 9,429,187 | ||||||
Corbion NV | 32,426 | 1,009,275 | ||||||
Koninklijke DSM NV | 71,342 | 7,408,228 | ||||||
OCI NVb,c | 40,767 | 965,840 | ||||||
|
| |||||||
18,812,530 | ||||||||
CONSTRUCTION & ENGINEERING — 1.43% |
| |||||||
Arcadis NV | 44,595 | 1,072,577 | ||||||
Boskalis Westminster | 42,455 | 1,605,188 | ||||||
Koninklijke BAM Groep NV | 101,250 | 448,268 | ||||||
Koninklijke Volkerwessels NV | 2,350 | 63,629 | ||||||
|
| |||||||
3,189,662 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.00% |
| |||||||
SNS REAAL NVb,c,d | 68,952 | 1 | ||||||
|
| |||||||
1 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.93% |
| |||||||
Koninklijke KPN NV | 1,366,977 | 4,284,792 | ||||||
|
| |||||||
4,284,792 | ||||||||
ELECTRICAL EQUIPMENT — 0.93% |
| |||||||
Kendrion NV | 13,745 | 615,242 | ||||||
Philips Lighting NVa | 1,556 | 61,792 | ||||||
SIF Holding NVc | 3,508 | 69,569 | ||||||
TKH Group NV | 20,902 | 1,319,270 | ||||||
|
| |||||||
2,065,873 |
Security | Shares | Value | ||||||
ENERGY EQUIPMENT & SERVICES — 0.92% |
| |||||||
Fugro NV CVAb,c | 41,294 | $ | 601,097 | |||||
SBM Offshore NV | 84,694 | 1,444,093 | ||||||
|
| |||||||
2,045,190 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Eurocommercial Properties NV | 24,357 | 994,591 | ||||||
NSI NV | 14,669 | 610,980 | ||||||
VastNed Retail NV | 13,512 | 636,949 | ||||||
Wereldhave NV | 21,451 | 793,777 | ||||||
|
| |||||||
3,036,297 | ||||||||
FOOD & STAPLES RETAILING — 4.46% |
| |||||||
Koninklijke Ahold Delhaize NV | 439,899 | 9,926,749 | ||||||
|
| |||||||
9,926,749 | ||||||||
FOOD PRODUCTS — 0.45% |
| |||||||
ForFarmers NV | 6,855 | 75,414 | ||||||
Wessanen | 46,986 | 921,488 | ||||||
|
| |||||||
996,902 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 4.43% |
| |||||||
Koninklijke Philips NV | 255,914 | 9,841,321 | ||||||
|
| |||||||
9,841,321 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.05% |
| |||||||
Basic-Fit NVa,b | 4,696 | 123,714 | ||||||
|
| |||||||
123,714 | ||||||||
HOUSEHOLD DURABLES — 0.29% |
| |||||||
TomTom NVb | 66,451 | 639,137 | ||||||
|
| |||||||
639,137 | ||||||||
INSURANCE — 5.51% |
| |||||||
Aegon NV | 715,717 | 5,003,604 | ||||||
ASR Nederland NV | 40,215 | 1,811,842 | ||||||
NN Group NV | 120,988 | 5,424,419 | ||||||
|
| |||||||
12,239,865 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.04% |
| |||||||
Takeaway.com NVa,b | 1,628 | 101,265 | ||||||
|
| |||||||
101,265 | ||||||||
IT SERVICES — 0.85% |
| |||||||
InterXion Holding NVb | 33,419 | 1,881,490 | ||||||
|
| |||||||
1,881,490 | ||||||||
LEISURE PRODUCTS — 0.22% |
| |||||||
Accell Group | 18,934 | 486,105 | ||||||
|
| |||||||
486,105 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI NETHERLANDS ETF
February 28, 2018
Security | Shares | Value | ||||||
MACHINERY — 1.03% |
| |||||||
Aalberts Industries NV | 45,351 | $ | 2,282,741 | |||||
|
| |||||||
2,282,741 | ||||||||
MEDIA — 0.66% |
| |||||||
Altice NV Class Ab,c | 152,922 | 1,470,829 | ||||||
|
| |||||||
1,470,829 | ||||||||
METALS & MINING — 0.09% |
| |||||||
AMG Advanced Metallurgical Group NV | 4,071 | 204,070 | ||||||
|
| |||||||
204,070 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.71% |
| |||||||
Koninklijke Vopak NV | 33,281 | 1,576,968 | ||||||
|
| |||||||
1,576,968 | ||||||||
PERSONAL PRODUCTS — 14.00% |
| |||||||
Unilever NV CVA | 593,700 | 31,118,477 | ||||||
|
| |||||||
31,118,477 | ||||||||
PROFESSIONAL SERVICES — 8.18% |
| |||||||
Brunel International NV | 22,252 | 441,291 | ||||||
Intertrust NVa | 26,979 | 572,546 | ||||||
Randstad Holding NV | 49,763 | 3,572,418 | ||||||
RELX NV | 374,196 | 7,690,144 | ||||||
Wolters Kluwer NV | 116,300 | 5,912,114 | ||||||
|
| |||||||
18,188,513 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
ASM International NV | 23,174 | 1,665,326 | ||||||
ASML Holding NV | 137,017 | 26,955,304 | ||||||
BE Semiconductor Industries NV | 18,691 | 1,853,354 | ||||||
NXP Semiconductors NVb | 118,946 | 14,827,808 | ||||||
|
| |||||||
45,301,792 | ||||||||
SOFTWARE — 0.96% |
| |||||||
Gemalto NV | 35,371 | 2,129,403 | ||||||
|
| |||||||
2,129,403 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 2.04% |
| |||||||
AerCap Holdings NVb | 59,235 | 2,938,648 | ||||||
IMCD Group NV | 24,725 | 1,589,214 | ||||||
|
| |||||||
4,527,862 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $195,022,688) | 221,872,482 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.89% |
| |||||||
MONEY MARKET FUNDS — 0.89% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 1,914,984 | $ | 1,915,175 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 57,056 | 57,056 | ||||||
|
| |||||||
1,972,231 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,972,216) |
| 1,972,231 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $196,994,904) | 223,844,713 | |||||||
Other Assets, Less Liabilities — (0.70)% |
| (1,547,271 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 222,297,442 | |||||
|
|
a | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
b | Non-income producing security. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI NETHERLANDS ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss)a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 1,224,613 | 690,371b | — | 1,914,984 | $ | 1,915,175 | $ | 16,332 | c | $ | (143 | ) | $ | (210 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 32,493 | 24,563b | — | 57,056 | 57,056 | 917 | — | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 1,972,231 | $ | 17,249 | $ | (143 | ) | $ | (210 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
Euro STOXX 50 | 9 | Mar 2018 | $ | 377 | $ | (3,707 | ) | |||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 221,872,481 | $ | — | $ | 1 | $ | 221,872,482 | ||||||||
Money market funds | 1,972,231 | — | — | 1,972,231 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 223,844,712 | $ | — | $ | 1 | $ | 223,844,713 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (3,707 | ) | $ | — | $ | — | $ | (3,707 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (3,707 | ) | $ | — | $ | — | $ | (3,707 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.20% |
| |||||||
BANKS — 22.99% |
| |||||||
Nordea Bank AB | 3,613,658 | $ | 41,241,627 | |||||
Skandinaviska Enskilda Banken AB Class A | 1,717,953 | 20,303,175 | ||||||
Svenska Handelsbanken AB Class A | 1,808,625 | 24,928,486 | ||||||
Swedbank AB Class A | 1,073,052 | 27,067,512 | ||||||
|
| |||||||
113,540,800 | ||||||||
BUILDING PRODUCTS — 5.21% |
| |||||||
Assa Abloy AB Class B | 1,147,218 | 25,732,963 | ||||||
|
| |||||||
25,732,963 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.52% |
| |||||||
Securitas AB Class B | 435,994 | 7,519,588 | ||||||
|
| |||||||
7,519,588 | ||||||||
COMMUNICATIONS EQUIPMENT — 4.54% |
| |||||||
Telefonaktiebolaget LM Ericsson Class B | 3,328,884 | 22,402,821 | ||||||
|
| |||||||
22,402,821 | ||||||||
CONSTRUCTION & ENGINEERING — 1.81% |
| |||||||
Skanska AB Class B | 446,037 | 8,917,510 | ||||||
|
| |||||||
8,917,510 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 8.59% |
| |||||||
Industrivarden AB Class C | 241,994 | 5,813,639 | ||||||
Investor AB Class B | 495,791 | 22,445,381 | ||||||
Kinnevik AB Class B | 292,745 | 10,744,524 | ||||||
L E Lundbergforetagen AB Class B | 45,831 | 3,437,809 | ||||||
|
| |||||||
42,441,353 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.48% |
| |||||||
Telia Co. AB | 3,616,724 | 17,168,035 | ||||||
|
| |||||||
17,168,035 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 3.94% |
| |||||||
Hexagon AB Class B | 331,410 | 19,467,413 | ||||||
|
| |||||||
19,467,413 | ||||||||
FOOD & STAPLES RETAILING — 0.88% |
| |||||||
ICA Gruppen AB | 121,833 | 4,359,844 | ||||||
|
| |||||||
4,359,844 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.84% |
| |||||||
Getinge AB Class B | 330,695 | 4,174,847 | ||||||
|
| |||||||
4,174,847 |
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 3.43% |
| |||||||
Electrolux AB Class B | 317,221 | $ | 10,471,299 | |||||
Husqvarna AB Class B | 602,502 | 6,452,963 | ||||||
|
| |||||||
16,924,262 | ||||||||
HOUSEHOLD PRODUCTS — 3.80% |
| |||||||
Essity AB Class Ba | 681,400 | 18,750,733 | ||||||
|
| |||||||
18,750,733 | ||||||||
MACHINERY — 26.12% | ||||||||
Alfa Laval AB | 395,990 | 9,572,964 | ||||||
Atlas Copco AB Class A | 796,523 | 34,137,387 | ||||||
Atlas Copco AB Class B | 459,111 | 17,509,997 | ||||||
Sandvik AB | 1,193,023 | 22,246,340 | ||||||
SKF AB Class B | 502,806 | 10,586,507 | ||||||
Volvo AB Class B | 1,844,017 | 34,930,719 | ||||||
|
| |||||||
128,983,914 | ||||||||
METALS & MINING — 2.58% | ||||||||
Boliden AB | 357,534 | 12,725,457 | ||||||
|
| |||||||
12,725,457 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.28% |
| |||||||
Lundin Petroleum ABa | 268,662 | 6,334,334 | ||||||
|
| |||||||
6,334,334 | ||||||||
SPECIALTY RETAIL — 3.78% | ||||||||
Hennes & Mauritz AB Class B | 1,125,777 | 18,671,688 | ||||||
|
| |||||||
18,671,688 | ||||||||
TOBACCO — 2.13% | ||||||||
Swedish Match AB | 246,430 | 10,516,885 | ||||||
|
| |||||||
10,516,885 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 2.28% |
| |||||||
Millicom International Cellular SA SDR | 85,240 | 5,704,614 | ||||||
Tele2 AB Class B | 467,637 | 5,558,251 | ||||||
|
| |||||||
11,262,865 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | 489,895,312 | |||||||
SHORT-TERM INVESTMENTS — 0.09% |
| |||||||
MONEY MARKET FUNDS — 0.09% |
| |||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%b,c | 431,371 | 431,371 | ||||||
|
| |||||||
431,371 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 431,371 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWEDEN ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $510,196,128) | $ | 490,326,683 | ||||||
Other Assets, Less Liabilities — 0.71% |
| 3,523,378 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 493,850,061 | |||||
|
|
SDR — Swedish Depositary Receipts
a | Non-income producing security. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss)a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 3,689,579 | — | (3,689,579 | )b | — | $ | — | $ | 3,318 | c | $ | (344 | ) | $ | 266 | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 5,596 | 425,775b | — | 431,371 | 431,371 | 3,245 | — | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 431,371 | $ | 6,563 | $ | (344 | ) | $ | 266 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
OMXS 30 Index | 208 | Mar 2018 | $ | 3,947 | $ | 165,909 | ||||||||||
|
| |||||||||||||||
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWEDEN ETF
February 28, 2018
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, 2018. 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 | $ | 489,895,312 | $ | — | $ | — | $ | 489,895,312 | ||||||||
Money market funds | 431,371 | — | — | 431,371 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 490,326,683 | $ | — | $ | — | $ | 490,326,683 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 165,909 | $ | — | $ | — | $ | 165,909 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 165,909 | $ | — | $ | — | $ | 165,909 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares MSCI Austria ETF | iShares MSCI Belgium ETF | iShares MSCI France ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 221,153,912 | $ | 73,906,186 | $ | 744,086,408 | ||||||
Affiliated (Note 2) | 4,052,854 | 3,820,934 | 22,292 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 225,206,766 | $ | 77,727,120 | $ | 744,108,700 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 263,043,372 | $ | 77,215,760 | $ | 793,733,145 | ||||||
Affiliated (Note 2) | 4,052,777 | 3,821,020 | 22,292 | |||||||||
Foreign currency, at valueb | 192,542 | 38,213 | 1,474,002 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | — | — | 79,277 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 3,798,362 | 2,665,847 | 813,237 | |||||||||
Dividends and interest | 15,436 | 8,510 | 145 | |||||||||
Tax reclaims | 680,021 | 39,601 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 271,782,510 | 83,788,951 | 796,122,098 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 3,764,475 | 2,702,089 | 842,142 | |||||||||
Collateral for securities on loan (Note 1) | 4,034,330 | 3,783,703 | — | |||||||||
Futures variation margin | — | — | 5,964 | |||||||||
Investment advisory fees (Note 2) | 96,684 | 26,987 | 285,704 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 7,895,489 | 6,512,779 | 1,133,810 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 263,887,021 | $ | 77,276,172 | $ | 794,988,288 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 282,064,268 | $ | 117,440,027 | $ | 795,087,497 | ||||||
Distributions in excess of net investment income | (1,690,740 | ) | (513,087 | ) | (435,868 | ) | ||||||
Accumulated net realized loss | (58,430,029 | ) | (42,962,879 | ) | (49,339,249 | ) | ||||||
Net unrealized appreciation | 41,943,522 | 3,312,111 | 49,675,908 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 263,887,021 | $ | 77,276,172 | $ | 794,988,288 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 10,400,000 | 3,520,000 | 25,000,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 25.37 | $ | 21.95 | $ | 31.80 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $3,763,989, $3,570,237 and $ —, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for future contracts: $192,439, $38,982 and $1,564,143, 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.
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Netherlands ETF | iShares MSCI Sweden ETF | |||||||
ASSETS | ||||||||
Investments in securities, at cost: | ||||||||
Unaffiliated | $ | 195,022,688 | $ | 509,764,757 | ||||
Affiliated (Note 2) | 1,972,216 | 431,371 | ||||||
|
|
|
| |||||
Total cost of investments in securities | $ | 196,994,904 | $ | 510,196,128 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 221,872,482 | $ | 489,895,312 | ||||
Affiliated (Note 2) | 1,972,231 | 431,371 | ||||||
Foreign currency, at valueb | 181,082 | 627,717 | ||||||
Foreign currency pledged to broker for futures contracts, at valueb | 27,026 | 356,889 | ||||||
Receivables: | ||||||||
Investment securities sold | 446,124 | 2,937,588 | ||||||
Due from custodian (Note 4) | — | 66,915 | ||||||
Dividends and interest | 238,419 | 588 | ||||||
Tax reclaims | — | 1,868,336 | ||||||
Foreign withholding tax claims (Note 8) | — | 10,945,276 | ||||||
|
|
|
| |||||
Total Assets | 224,737,364 | 507,129,992 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 445,351 | 3,177,723 | ||||||
Collateral for securities on loan (Note 1) | 1,914,052 | — | ||||||
Futures variation margin | 1,529 | 15,103 | ||||||
IRS compliance fee for foreign withholding tax claims (Note 8) | — | 8,773,929 | ||||||
Professional fees (Note 8) | — | 1,134,528 | ||||||
Investment advisory fees (Note 2) | 78,990 | 178,648 | ||||||
|
|
|
| |||||
Total Liabilities | 2,439,922 | 13,279,931 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 222,297,442 | $ | 493,850,061 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 229,645,901 | $ | 554,006,583 | ||||
Undistributed (distributions in excess of) net investment income | 217,378 | (4,175,822 | ) | |||||
Accumulated net realized loss | (34,410,518 | ) | (36,603,435 | ) | ||||
Net unrealized appreciation (depreciation) | 26,844,681 | (19,377,265 | ) | |||||
|
|
|
| |||||
NET ASSETS | $ | 222,297,442 | $ | 493,850,061 | ||||
|
|
|
| |||||
Shares outstandingc | 6,950,000 | 14,475,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 31.99 | $ | 34.12 | ||||
|
|
|
|
a | Securities on loan with values of $1,824,324 and $ —, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for future contracts: $204,557 and $1,016,691, respectively. |
c | $0.001 par value, number of shares authorized: 255 million and 63.6 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
��
iShares MSCI Austria ETF | iShares MSCI Belgium ETF | iShares MSCI France ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 482,319 | $ | 515,308 | $ | 2,751,755 | ||||||
Dividends — affiliated (Note 2) | 696 | 277 | 1,254 | |||||||||
Securities lending income — affiliated — net (Note 2) | 91,485 | 29,286 | 50,168 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 574,500 | 544,871 | 2,803,177 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 603,896 | 169,193 | 1,655,041 | |||||||||
Proxy fees | 15 | 10 | 42 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 603,911 | 169,203 | 1,655,083 | |||||||||
|
|
|
|
|
| |||||||
Net investment income (loss) | (29,411 | ) | 375,668 | 1,148,094 | ||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | 1,433,871 | (349,151 | ) | (4,140,849 | ) | |||||||
Investments — affiliated (Note 2) | (1,418 | ) | 143 | (82 | ) | |||||||
In-kind redemptions — unaffiliated | 16,052,722 | 1,900,234 | 5,827,149 | |||||||||
Futures contracts | — | — | (59,858 | ) | ||||||||
Foreign currency transactions | (664 | ) | 16,367 | 93,095 | ||||||||
|
|
|
|
|
| |||||||
Net realized gain | 17,484,511 | 1,567,593 | 1,719,455 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliated | 10,849,553 | 3,560,395 | 45,139,173 | |||||||||
Investments — affiliated (Note 2) | (599 | ) | (241 | ) | — | |||||||
Futures contracts | — | — | 40,034 | |||||||||
Translation of assets and liabilities in foreign currencies | 16,882 | (8,568 | ) | (25,127 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 10,865,836 | 3,551,586 | 45,154,080 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 28,350,347 | 5,119,179 | 46,873,535 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 28,320,936 | $ | 5,494,847 | $ | 48,021,629 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $40,549, $90,976 and $353,030, respectively. |
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Netherlands ETF | iShares MSCI Sweden ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 916,608 | b | $ | 1,686,612 | |||
Dividends — affiliated (Note 2) | 917 | 3,245 | ||||||
Securities lending income — affiliated — net (Note 2) | 16,332 | 3,318 | ||||||
|
|
|
| |||||
Total investment income | 933,857 | 1,693,175 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 481,315 | 1,137,171 | ||||||
Proxy fees | 19 | 40 | ||||||
|
|
|
| |||||
Total expenses | 481,334 | 1,137,211 | ||||||
|
|
|
| |||||
Net investment income | 452,523 | 555,964 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (699,017 | ) | (3,652,385 | ) | ||||
Investments — affiliated (Note 2) | (143 | ) | (344 | ) | ||||
In-kind redemptions — unaffiliated | 8,119,607 | 9,937,268 | ||||||
Futures contracts | (8,492 | ) | (336,002 | ) | ||||
Foreign currency transactions | 8,870 | 10,143 | ||||||
|
|
|
| |||||
Net realized gain | 7,420,825 | 5,958,680 | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments — unaffiliated | 2,419,042 | (10,469,938 | ) | |||||
Investments — affiliated (Note 2) | (210 | ) | 266 | |||||
Futures contracts | (3,707 | ) | 165,909 | |||||
Translation of assets and liabilities in foreign currencies | (5,123 | ) | (497,048 | ) | ||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 2,410,002 | (10,800,811 | ) | |||||
|
|
|
| |||||
Net realized and unrealized gain (loss) | 9,830,827 | (4,842,131 | ) | |||||
|
|
|
| |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 10,283,350 | $ | (4,286,167 | ) | |||
|
|
|
|
a | Net of foreign withholding tax of $154,292 and $25,738, respectively. |
b | Includes $387,590 related to a special distribution from Akzo Nobel NV. |
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Austria ETF | iShares MSCI Belgium ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income (loss) | $ | (29,411 | ) | $ | 3,359,266 | $ | 375,668 | $ | 2,097,860 | |||||||
Net realized gain (loss) | 17,484,511 | (4,516,396 | ) | 1,567,593 | (1,924,884 | ) | ||||||||||
Net change in unrealized appreciation/depreciation | 10,865,836 | 52,978,293 | 3,551,586 | 12,551,482 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 28,320,936 | 51,821,163 | 5,494,847 | 12,724,458 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,965,486 | ) | (3,029,256 | ) | (909,027 | ) | (2,204,067 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,965,486 | ) | (3,029,256 | ) | (909,027 | ) | (2,204,067 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 52,783,683 | 135,197,556 | 19,120,256 | 14,586,717 | ||||||||||||
Cost of shares redeemed | (48,574,110 | ) | (11,447,909 | ) | (20,557,450 | ) | (83,182,138 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 4,209,573 | 123,749,647 | (1,437,194 | ) | (68,595,421 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 30,565,023 | 172,541,554 | 3,148,626 | (58,075,030 | ) | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 233,321,998 | 60,780,444 | 74,127,546 | 132,202,576 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 263,887,021 | $ | 233,321,998 | $ | 77,276,172 | $ | 74,127,546 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (1,690,740 | ) | $ | 304,157 | $ | (513,087 | ) | $ | 20,272 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,200,000 | 6,900,000 | 880,000 | 800,000 | ||||||||||||
Shares redeemed | (2,000,000 | ) | (600,000 | ) | (960,000 | ) | (4,480,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 200,000 | 6,300,000 | (80,000 | ) | (3,680,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 1,148,094 | $ | 10,004,996 | $ | 452,523 | $ | 3,117,660 | ||||||||
Net realized gain | 1,719,455 | 3,079,358 | 7,420,825 | 3,805,238 | ||||||||||||
Net change in unrealized appreciation/depreciation | 45,154,080 | 76,299,249 | 2,410,002 | 35,476,698 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 48,021,629 | 89,383,603 | 10,283,350 | 42,399,596 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (2,144,830 | ) | (9,786,674 | ) | (1,125,156 | ) | (4,373,491 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (2,144,830 | ) | (9,786,674 | ) | (1,125,156 | ) | (4,373,491 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 139,637,128 | 409,375,231 | 53,920,776 | 13,981,115 | ||||||||||||
Cost of shares redeemed | (30,726,286 | ) | (177,825,168 | ) | (33,321,204 | ) | (44,054,461 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 108,910,842 | 231,550,063 | 20,599,572 | (30,073,346 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 154,787,641 | 311,146,992 | 29,757,766 | 7,952,759 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 640,200,647 | 329,053,655 | 192,539,676 | 184,586,917 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 794,988,288 | $ | 640,200,647 | $ | 222,297,442 | $ | 192,539,676 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (435,868 | ) | $ | 560,868 | $ | 217,378 | $ | 890,011 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 4,400,000 | 14,800,000 | 1,700,000 | 500,000 | ||||||||||||
Shares redeemed | (1,000,000 | ) | (7,000,000 | ) | (1,050,000 | ) | (1,650,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 3,400,000 | 7,800,000 | 650,000 | (1,150,000 | ) | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 31 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Sweden ETF | ||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 555,964 | $ | 9,413,568 | ||||
Net realized gain (loss) | 5,958,680 | (670,324 | ) | |||||
Net change in unrealized appreciation/depreciation | (10,800,811 | ) | 64,333,999 | |||||
|
|
|
| |||||
Net increase (decrease) in net assets resulting from operations | (4,286,167 | ) | 73,077,243 | |||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (4,699,907 | ) | (9,859,546 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (4,699,907 | ) | (9,859,546 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 98,106,984 | 206,461,394 | ||||||
Cost of shares redeemed | (55,586,188 | ) | (94,072,500 | ) | ||||
|
|
|
| |||||
Net increase in net assets from capital share transactions | 42,520,796 | 112,388,894 | ||||||
|
|
|
| |||||
INCREASE IN NET ASSETS | 33,534,722 | 175,606,591 | ||||||
NET ASSETS | ||||||||
Beginning of period | 460,315,339 | 284,708,748 | ||||||
|
|
|
| |||||
End of period | $ | 493,850,061 | $ | 460,315,339 | ||||
|
|
|
| |||||
Distributions in excess of net investment income included in net assets at end of period | $ | (4,175,822 | ) | $ | (31,879 | ) | ||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 2,775,000 | 6,300,000 | ||||||
Shares redeemed | (1,575,000 | ) | (3,000,000 | ) | ||||
|
|
|
| |||||
Net increase in shares outstanding | 1,200,000 | 3,300,000 | ||||||
|
|
|
|
See notes to financial statements.
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Austria ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 22.87 | $ | 15.58 | $ | 15.59 | $ | 17.55 | $ | 17.87 | $ | 14.53 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment income (loss)a | (0.00 | )b | 0.53 | 0.38 | 0.25 | 0.52 | 0.32 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 2.69 | 7.13 | (0.06 | ) | (1.96 | ) | (0.18 | ) | 3.36 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.69 | 7.66 | 0.32 | (1.71 | ) | 0.34 | 3.68 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.19 | ) | (0.37 | ) | (0.33 | ) | (0.25 | ) | (0.66 | ) | (0.34 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.19 | ) | (0.37 | ) | (0.33 | ) | (0.25 | ) | (0.66 | ) | (0.34 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 25.37 | $ | 22.87 | $ | 15.58 | $ | 15.59 | $ | 17.55 | $ | 17.87 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 11.80 | %d | 49.52 | % | 2.11 | % | (9.76 | )% | 1.56 | % | 25.49 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 263,887 | $ | 233,322 | $ | 60,780 | $ | 56,130 | $ | 63,170 | $ | 82,223 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income (loss) to average net assetse | (0.02 | )% | 2.75 | % | 2.47 | % | 1.54 | % | 2.64 | % | 1.82 | % | ||||||||||||
Portfolio turnover ratef | 6 | %d | 18 | % | 15 | % | 18 | % | 30 | % | 26 | % |
a | Based on average shares outstanding throughout each period. |
b | Rounds to less than $0.01. |
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 | 33 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Belgium ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 20.59 | $ | 18.16 | $ | 17.00 | $ | 17.02 | $ | 14.36 | $ | 11.97 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.11 | 0.43 | 0.34 | 0.34 | 0.32 | 0.42 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.51 | 2.51 | 1.05 | (0.00 | )c | 2.95 | 2.36 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.62 | 2.94 | 1.39 | 0.34 | 3.27 | 2.78 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.26 | ) | (0.51 | ) | (0.23 | ) | (0.36 | ) | (0.61 | ) | (0.39 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.26 | ) | (0.51 | ) | (0.23 | ) | (0.36 | ) | (0.61 | ) | (0.39 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 21.95 | $ | 20.59 | $ | 18.16 | $ | 17.00 | $ | 17.02 | $ | 14.36 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 7.96 | %d | 16.44 | % | 8.20 | % | 1.95 | % | 23.05 | % | 23.43 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 77,276 | $ | 74,128 | $ | 132,203 | $ | 153,659 | $ | 164,765 | $ | 71,216 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.05 | % | 2.31 | % | 1.92 | % | 2.01 | % | 1.90 | % | 3.01 | % | ||||||||||||
Portfolio turnover ratef | 6 | %d | 8 | % | 19 | % | 7 | % | 13 | % | 24 | % |
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.
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI France ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 29.64 | $ | 23.84 | $ | 25.01 | $ | 27.64 | $ | 24.85 | $ | 20.70 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.05 | 0.69 | 0.67 | 0.74 | 0.66 | 0.69 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.20 | 5.69 | (1.14 | ) | (2.69 | ) | 2.86 | 4.14 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.25 | 6.38 | (0.47 | ) | (1.95 | ) | 3.52 | 4.83 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.09 | ) | (0.58 | ) | (0.70 | ) | (0.68 | ) | (0.73 | ) | (0.68 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.09 | ) | (0.58 | ) | (0.70 | ) | (0.68 | ) | (0.73 | ) | (0.68 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 31.80 | $ | 29.64 | $ | 23.84 | $ | 25.01 | $ | 27.64 | $ | 24.85 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 7.61 | %c | 26.93 | % | (1.87 | )% | (7.17 | )% | 14.07 | % | 23.56 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 794,988 | $ | 640,201 | $ | 329,054 | $ | 350,139 | $ | 281,923 | $ | 526,839 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.33 | % | 2.57 | % | 2.77 | % | 2.85 | % | 2.36 | % | 2.94 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 6 | % | 6 | % | 6 | % | 6 | % | 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.
FINANCIAL HIGHLIGHTS | 35 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Netherlands ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 30.56 | $ | 24.78 | $ | 24.48 | $ | 24.64 | $ | 22.52 | $ | 18.23 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.07 | b | 0.46 | 0.71 | 0.50 | 0.45 | 0.44 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 1.54 | 5.98 | 0.08 | (0.27 | ) | 2.22 | 4.19 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.61 | 6.44 | 0.79 | 0.23 | 2.67 | 4.63 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.18 | ) | (0.66 | ) | (0.49 | ) | (0.39 | ) | (0.55 | ) | (0.34 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.18 | ) | (0.66 | ) | (0.49 | ) | (0.39 | ) | (0.55 | ) | (0.34 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 31.99 | $ | 30.56 | $ | 24.78 | $ | 24.48 | $ | 24.64 | $ | 22.52 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.27 | %d | 26.44 | % | 3.32 | % | 0.87 | % | 11.80 | % | 25.57 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 222,297 | $ | 192,540 | $ | 184,587 | $ | 176,282 | $ | 165,092 | $ | 253,390 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.44 | %b | 1.74 | % | 2.97 | % | 2.01 | % | 1.78 | % | 2.09 | % | ||||||||||||
Portfolio turnover ratef | 3 | %d | 14 | % | 24 | % | 6 | % | 7 | % | 11 | % |
a | Based on average shares outstanding throughout each period. |
b | Includes a special distribution from Akzo Nobel NV. Excluding such special distribution, the net investment income would have been $0.01 per share and 0.06% 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. |
See notes to financial statements.
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Sweden ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 34.68 | $ | 28.54 | $ | 30.26 | $ | 34.11 | $ | 31.97 | $ | 27.32 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.04 | 0.86 | 1.05 | 1.30 | b | 1.04 | 0.97 | |||||||||||||||||
Net realized and unrealized gain (loss)c | (0.26 | ) | 6.04 | (1.63 | ) | (3.75 | ) | 2.33 | 4.70 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (0.22 | ) | 6.90 | (0.58 | ) | (2.45 | ) | 3.37 | 5.67 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.34 | ) | (0.76 | ) | (1.14 | ) | (1.40 | ) | (1.23 | ) | (1.02 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.34 | ) | (0.76 | ) | (1.14 | ) | (1.40 | ) | (1.23 | ) | (1.02 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 34.12 | $ | 34.68 | $ | 28.54 | $ | 30.26 | $ | 34.11 | $ | 31.97 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (0.63 | )%d | 24.30 | % | (1.91 | )% | (7.46 | )%b | 10.49 | % | 21.02 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 493,850 | $ | 460,315 | $ | 284,709 | $ | 331,387 | $ | 404,256 | $ | 434,006 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.92 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claims (Note 8)e | n/a | n/a | n/a | 0.48 | % | n/a | n/a | |||||||||||||||||
Ratio of net investment income to average net assetse | 0.23 | % | 2.74 | % | 3.65 | % | 3.97 | %b | 2.97 | % | 3.13 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 9 | % | 7 | % | 4 | % | 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 8), 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 | 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 | 37 |
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 | Former Name | Diversification Classification | ||
MSCI Austria | iShares MSCI Austria Capped ETF | Non-diversified | ||
MSCI Belgium | iShares MSCI Belgium Capped ETF | Non-diversified | ||
MSCI France | N/A | Non-diversified | ||
MSCI Netherlands | N/A | Non-diversified | ||
MSCI Sweden | iShares MSCI Sweden Capped ETF | 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. |
38 | 2018 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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 39 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, 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.
40 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 41 |
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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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Austria | ||||||||||||
Barclays Capital Inc. | $ | 508,066 | $ | 508,066 | $ | — | ||||||
Citigroup Global Markets Inc. | 244,912 | 244,912 | — | |||||||||
Credit Suisse Securities (USA) LLC | 596,382 | 596,382 | — | |||||||||
Deutsche Bank Securities Inc. | 1,251,951 | 1,251,951 | — | |||||||||
Goldman Sachs & Co. | 342,749 | 342,749 | — | |||||||||
Morgan Stanley & Co. LLC | 83,717 | 83,717 | — | |||||||||
UBS AG | 736,212 | 736,212 | — | |||||||||
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| |||||||
$ | 3,763,989 | $ | 3,763,989 | $ | — | |||||||
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MSCI Belgium | ||||||||||||
Citigroup Global Markets Inc. | $ | 349,670 | $ | 349,670 | $ | — | ||||||
Deutsche Bank Securities Inc. | 390,472 | 390,472 | — | |||||||||
Jefferies LLC | 290,557 | 290,557 | — | |||||||||
JPMorgan Securities LLC | 2,144,705 | 2,144,705 | — | |||||||||
Morgan Stanley & Co. LLC | 394,833 | 394,833 | — | |||||||||
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$ | 3,570,237 | $ | 3,570,237 | $ | — | |||||||
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MSCI Netherlands | ||||||||||||
Citigroup Global Markets Inc. | $ | 46,312 | $ | 46,312 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 1 | 1 | — | |||||||||
JPMorgan Securities LLC | 42,241 | 42,241 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 497,018 | 497,018 | — | |||||||||
UBS AG | 1,238,752 | 1,238,752 | — | |||||||||
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$ | 1,824,324 | $ | 1,824,324 | $ | — | |||||||
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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).
42 | 2018 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, accrued daily and paid monthly by the Funds, 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, up to and including $96 billion | ||||
0.32 | Over $96 billion |
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Austria | $ | 20,500 | ||
MSCI Belgium | 6,973 | |||
MSCI France | 8,855 | |||
MSCI Netherlands | 3,952 | |||
MSCI Sweden | 775 |
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.
NOTESTO FINANCIAL STATEMENTS | 43 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Austria | $ | 411,498 | $ | 1,621,765 | ||||
MSCI Belgium | — | 1,057,784 | ||||||
MSCI France | 2,230,515 | 2,039,195 | ||||||
MSCI Netherlands | 454,544 | 330,677 | ||||||
MSCI Sweden | 2,019,932 | 1,083,317 |
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.
It is possible that, from time to time, BlackRock and/or funds managed by BFA or an affiliate (collectively, “Affiliates”) may purchase and hold shares of the Fund. Affiliates reserve the right, subject to compliance with applicable law, to sell into the market or redeem in Creation Units through an authorized participant at any time some or all of the shares of the Fund acquired for their own accounts. A large sale or redemption of shares of the Fund by Affiliates could significantly reduce the asset size of the Fund, which might have an adverse effect on the Fund. As of February 28, 2018, the number of affiliated accounts that individually that individually represent more than 10% ownership of the Fund’s total shares outstanding and the aggregate percentage of net assets represented by such holdings were as follows:
iShares ETF | Number of Affiliated | Aggregate Ownership | ||||||
MSCI Belgium | 1 | 14 | % |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Austria | $ | 15,553,749 | $ | 17,566,796 | ||||
MSCI Belgium | 4,448,543 | 4,822,012 | ||||||
MSCI France | 18,929,047 | 20,242,573 | ||||||
MSCI Netherlands | 6,739,099 | 6,035,659 | ||||||
MSCI Sweden | 7,845,475 | 9,749,904 |
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Austria | $ | 52,593,000 | $ | 48,399,750 | ||||
MSCI Belgium | 19,066,753 | 20,482,579 | ||||||
MSCI France | 139,260,631 | 30,684,663 | ||||||
MSCI Netherlands | 51,688,075 | 32,237,653 | ||||||
MSCI Sweden | 94,750,850 | 55,098,943 |
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.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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
NOTESTO FINANCIAL STATEMENTS | 45 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares MSCI France ETF | iShares MSCI Sweden ETF | |||||||
Futures contracts: | ||||||||
Variation margin/Net assets consist of – net | $ | 40,034 | $ | 165,909 | ||||
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a | Represents cumulative appreciation of futures contracts as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities. |
Liabilities | ||||
iShares MSCI Netherlands ETF | ||||
Futures contracts: | ||||
Variation margin/Net assets consist of – net unrealized appreciation (depreciation)b | $ | 3,707 | ||
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b | Represents cumulative depreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities. |
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI France ETF | iShares MSCI Netherlands ETF | iShares MSCI Sweden ETF | ||||||||||
Futures contracts | $ | (59,858 | ) | $ | (8,492 | ) | $ | (336,002 | ) | |||
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Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI France ETF | iShares MSCI Netherlands ETF | iShares MSCI Sweden ETF | ||||||||||
Futures contracts | $ | 40,034 | $ | (3,707 | ) | $ | 165,909 | |||||
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46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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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, 2018:
iShares MSCI France ETF | iShares MSCI Netherlands ETF | iShares MSCI Sweden ETF | ||||||||||
Average notional value of contracts purchased | $ | 687,612 | $ | 296,205 | $ | 2,545,613 | ||||||
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect
NOTESTO FINANCIAL STATEMENTS | 47 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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.
As of August 31, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
MSCI Austria | $ | 34,763,382 | $ | 16,657,011 | $ | 13,826,937 | $ | 65,247,330 | ||||||||
MSCI Belgium | 14,428,086 | 10,826,174 | 19,023,517 | 44,277,777 | ||||||||||||
MSCI France | 30,506,193 | 7,008,530 | 2,858,814 | 40,373,537 | ||||||||||||
MSCI Netherlands | 14,209,375 | 22,256,170 | 2,329,005 | 38,794,550 | ||||||||||||
MSCI Sweden | 22,867,464 | 8,483,510 | 5,244,977 | 36,595,951 |
a | Must be utilized prior to losses subject to expiration. |
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Austria | $ | 237,335,149 | $ | 48,236,258 | $ | (18,475,258 | ) | $ | 29,761,000 | |||||||
MSCI Belgium | 78,332,159 | 9,756,707 | (7,052,086 | ) | 2,704,621 | |||||||||||
MSCI France | 754,793,867 | 80,210,232 | (41,208,628 | ) | 39,001,604 | |||||||||||
MSCI Netherlands | 200,031,697 | 33,415,818 | (9,606,509 | ) | 23,809,309 | |||||||||||
MSCI Sweden | 519,671,115 | 33,743,467 | (62,921,990 | ) | (29,178,523 | ) |
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, 2018, 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 Sweden 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 and payables 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 that result in the recovery of foreign withholding taxes have been 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.
9. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a
NOTESTO FINANCIAL STATEMENTS | 49 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
10. | 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.
50 | 2018 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 Capital | Total Share | Net Investment | Net Realized Gains | Return of Capital | Total per Share | ||||||||||||||||||||||||
MSCI Austria | $ | 0.176574 | $ | — | $ | 0.012415 | $ | 0.188989 | 93 | % | — | % | 7 | % | 100 | % | ||||||||||||||||
MSCI Belgium | 0.212647 | — | 0.051605 | 0.264252 | 80 | — | 20 | 100 | ||||||||||||||||||||||||
MSCI France | 0.068827 | — | 0.026077 | 0.094904 | 73 | — | 27 | 100 | ||||||||||||||||||||||||
MSCI Sweden | 0.267134 | — | 0.071598 | 0.338732 | 79 | — | 21 | 100 |
SUPPLEMENTAL INFORMATION | 51 |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
52 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 53 |
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Notes:
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-802-0218
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Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Eurozone ETF | EZU | Cboe BZX |
Ø | iShares MSCI Germany ETF | EWG | NYSE Arca |
Ø | iShares MSCI Italy ETF | EWI | NYSE Arca |
Ø | iShares MSCI Spain ETF | EWP | NYSE Arca |
Ø | iShares MSCI Switzerland ETF | EWL | NYSE Arca |
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iSHARES® MSCI EUROZONE ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 5.62%, net of fees, while the total return for the Index was 5.79%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.01% | 25.66% | 26.15% | 26.01% | 25.66% | 26.15% | ||||||||||||||||||||||
5 Years | 8.37% | 8.31% | 8.51% | 49.47% | 49.03% | 50.40% | ||||||||||||||||||||||
10 Years | 1.06% | 1.08% | 1.16% | 11.09% | 11.36% | 12.23% |
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 10 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,056.20 | $ | 2.40 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 21.06 | % | ||
Industrials | 15.03 | |||
Consumer Discretionary | 14.05 | |||
Consumer Staples | 9.70 | |||
Materials | 8.81 | |||
Information Technology | 8.44 | |||
Health Care | 7.48 | |||
Energy | 5.20 | |||
Utilities | 4.80 | |||
Telecommunication Services | 3.72 | |||
Real Estate | 1.71 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
France | 32.58 | % | ||
Germany | 29.47 | |||
Netherlands | 11.23 | |||
Spain | 9.84 | |||
Italy | 7.48 | |||
Belgium | 3.41 | |||
Finland | 3.11 | |||
Ireland | 1.43 | |||
Austria | 0.82 | |||
Portugal | 0.46 | |||
|
| |||
TOTAL | 99.83 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
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Fund Performance Overview
iSHARES® MSCI GERMANY ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 6.39%, net of fees, while the total return for the Index was 6.61%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 20.64% | 20.40% | 20.92% | 20.64% | 20.40% | 20.92% | ||||||||||||||||||||||
5 Years | 7.85% | 7.78% | 8.03% | 45.93% | 45.45% | 47.16% | ||||||||||||||||||||||
10 Years | 2.90% | 2.97% | 3.00% | 33.11% | 33.94% | 34.43% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,063.90 | $ | 2.41 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Consumer Discretionary | 19.44 | % | ||
Financials | 15.35 | |||
Materials | 14.92 | |||
Industrials | 14.19 | |||
Health Care | 11.99 | |||
Information Technology | 10.79 | |||
Telecommunication Services | 4.23 | |||
Consumer Staples | 3.50 | |||
Utilities | 3.06 | |||
Real Estate | 2.53 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Allianz SE Registered | 7.19 | % | ||
SAP SE | 7.11 | |||
Siemens AG Registered | 6.96 | |||
Bayer AG Registered | 6.67 | |||
BASF SE | 6.66 | |||
Daimler AG Registered | 5.69 | |||
Deutsche Telekom AG Registered | 3.71 | |||
Deutsche Post AG Registered | 3.06 | |||
adidas AG | 2.88 | |||
Linde AG | 2.87 | |||
|
| |||
TOTAL | 52.80 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Fund Performance Overview
iSHARES® MSCI ITALY ETF
Performance as of February 28, 2018
The iShares MSCI Italy ETF (the “Fund”) (formerly the iShares MSCI Italy Capped ETF) 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, 2018, the total return for the Fund was 6.18%, net of fees, while the total return for the Index was 6.17%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 37.81% | 37.35% | 37.75% | 37.81% | 37.35% | 37.75% | ||||||||||||||||||||||
5 Years | 7.72% | 7.67% | 7.70% | 45.06% | 44.71% | 44.93% | ||||||||||||||||||||||
10 Years | (3.23)% | (3.20)% | (3.35)% | (28.02)% | (27.77)% | (28.84)% |
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.
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,061.80 | $ | 2.40 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 36.64 | % | ||
Energy | 16.53 | |||
Utilities | 14.44 | |||
Industrials | 12.49 | |||
Consumer Discretionary | 12.30 | |||
Telecommunication Services | 4.62 | |||
Consumer Staples | 1.53 | |||
Health Care | 1.45 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Intesa Sanpaolo SpA | 12.49 | % | ||
Enel SpA | 11.57 | |||
UniCredit SpA | 10.25 | |||
Eni SpA | 10.25 | |||
Assicurazioni Generali SpA | 4.52 | |||
Ferrari NV | 4.45 | |||
Fiat Chrysler Automobiles NV | 4.43 | |||
CNH Industrial NV | 4.40 | |||
Atlantia SpA | 4.23 | |||
Snam SpA | 3.51 | |||
|
| |||
TOTAL | 70.10 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SPAIN ETF
Performance as of February 28, 2018
The iShares MSCI Spain ETF (the “Fund”) (formerly the iShares MSCI Spain Capped ETF) 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, 2018, the total return for the Fund was -0.02%, net of fees, while the total return for the Index was 0.13%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 23.75% | 23.46% | 24.25% | 23.75% | 23.46% | 24.25% | ||||||||||||||||||||||
5 Years | 5.73% | 5.69% | 6.22% | 32.11% | 31.90% | 35.25% | ||||||||||||||||||||||
10 Years | (0.75)% | (0.67)% | (0.86)% | (7.22)% | (6.47)% | (8.25)% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 999.80 | $ | 2.33 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 43.99 | % | ||
Industrials | 16.85 | |||
Utilities | 13.95 | |||
Telecommunication Services | 7.47 | |||
Energy | 6.54 | |||
Information Technology | 4.58 | |||
Consumer Discretionary | 4.19 | |||
Health Care | 2.43 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Banco Santander SA | 20.99 | % | ||
Banco Bilbao Vizcaya Argentaria SA | 9.78 | |||
Telefonica SA | 7.47 | |||
Iberdrola SA | 6.91 | |||
Repsol SA | 4.75 | |||
Amadeus IT Group SA | 4.58 | |||
CaixaBank SA | 4.42 | |||
Abertis Infraestructuras SA | 4.22 | |||
Industria de Diseno Textil SA | 4.19 | |||
Aena SME SA | 3.66 | |||
|
| |||
TOTAL | 70.97 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Fund Performance Overview
iSHARES® MSCI SWITZERLAND ETF
Performance as of February 28, 2018
The iShares MSCI Switzerland ETF (the “Fund”) (formerly the iShares MSCI Switzerland Capped ETF) 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, 2018, the total return for the Fund was 2.01%, net of fees, while the total return for the Index was 2.38%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 14.55% | 14.84% | 14.88% | 14.55% | 14.84% | 14.88% | ||||||||||||||||||||||
5 Years | 6.25% | 6.35% | 6.46% | 35.44% | 36.08% | 36.76% | ||||||||||||||||||||||
10 Years | 5.41% | 5.50% | 5.42% | 69.44% | 70.82% | 69.51% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,020.10 | $ | 2.35 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Health Care | 30.18 | % | ||
Financials | 21.39 | |||
Consumer Staples | 21.30 | |||
Industrials | 11.02 | |||
Materials | 7.18 | |||
Consumer Discretionary | 6.71 | |||
Telecommunication Services | 1.42 | |||
Real Estate | 0.80 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Nestle SA Registered | 19.08 | % | ||
Novartis AG Registered | 13.88 | |||
Roche Holding AG | 11.92 | |||
UBS Group AG | 4.53 | |||
Zurich Insurance Group AG | 4.46 | |||
Cie. Financiere Richemont SA Class A Registered | 4.12 | |||
Credit Suisse Group AG Registered | 4.05 | |||
ABB Ltd. Registered | 4.04 | |||
Swiss Re AG | 2.95 | |||
LafargeHolcim Ltd. Registered | 2.49 | |||
|
| |||
TOTAL | 71.52 | % | ||
|
|
* | 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, 2017 and held through February 28, 2018, 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 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 97.84% |
| |||||||
AUSTRIA — 0.82% |
| |||||||
ANDRITZ AG | 239,087 | $ | 13,909,443 | |||||
Erste Group Bank AG | 975,173 | 49,846,507 | ||||||
OMV AG | 479,629 | 27,552,547 | ||||||
Raiffeisen Bank International AGa | 476,222 | 18,580,573 | ||||||
Voestalpine AG | 368,212 | 21,376,682 | ||||||
|
| |||||||
131,265,752 | ||||||||
BELGIUM — 3.40% | ||||||||
Ageas | 610,670 | 32,138,292 | ||||||
Anheuser-Busch InBev SA/NV | 2,472,397 | 263,792,466 | ||||||
Colruyt SA | 193,175 | 10,444,413 | ||||||
Groupe Bruxelles Lambert SA | 257,252 | 29,505,759 | ||||||
KBC Group NV | 811,332 | 76,491,558 | ||||||
Proximus SADP | 493,236 | 15,875,579 | ||||||
Solvay SA | 240,533 | 33,179,717 | ||||||
Telenet Group Holding NVa | 174,506 | 12,014,611 | ||||||
UCB SA | 410,095 | 34,051,749 | ||||||
Umicore SA | 679,812 | 38,571,270 | ||||||
|
| |||||||
546,065,414 | ||||||||
FINLAND — 3.11% | ||||||||
Elisa OYJ | 462,627 | 19,945,999 | ||||||
Fortum OYJ | 1,432,607 | 31,538,402 | ||||||
Kone OYJ Class B | 1,096,814 | 56,973,911 | ||||||
Metso OYJ | 368,505 | 11,851,926 | ||||||
Neste OYJ | 416,920 | 30,631,841 | ||||||
Nokia OYJ | 18,951,976 | 111,020,324 | ||||||
Nokian Renkaat OYJ | 377,731 | 17,400,632 | ||||||
Orion OYJ Class B | 340,393 | 11,126,301 | ||||||
Sampo OYJ Class A | 1,445,980 | 82,253,850 | ||||||
Stora Enso OYJ Class R | 1,797,114 | 31,946,229 | ||||||
UPM-Kymmene OYJ | 1,733,441 | 59,683,646 | ||||||
Wartsila OYJ Abp | 479,634 | 33,894,080 | ||||||
|
| |||||||
498,267,141 | ||||||||
FRANCE — 32.49% | ||||||||
Accor SA | 604,960 | 35,047,390 | ||||||
Aeroports de Paris | 97,525 | 19,745,105 | ||||||
Air Liquide SA | 1,383,815 | 174,093,546 | ||||||
Airbus SE | 1,886,414 | 226,257,311 | ||||||
Alstom SA | 502,503 | 21,236,224 | ||||||
Amundi SAb | 192,126 | 15,737,373 | ||||||
Arkema SA | 221,833 | 29,071,536 | ||||||
Atos SE | 308,845 | 40,870,102 |
Security | Shares | Value | ||||||
AXA SA | 6,285,420 | $ | 198,243,168 | |||||
BioMerieux | 130,757 | 10,079,000 | ||||||
BNP Paribas SA | 3,641,655 | 290,343,889 | ||||||
Bollore SA | 2,832,737 | 16,051,694 | ||||||
Bouygues SA | 694,631 | 35,294,646 | ||||||
Bureau Veritas SA | 867,961 | 22,770,681 | ||||||
Capgemini SE | 523,149 | 65,688,169 | ||||||
Carrefour SA | 1,883,163 | 43,524,374 | ||||||
Casino Guichard Perrachon SA | 180,685 | 9,833,023 | ||||||
Cie. de Saint-Gobain | 1,634,669 | 93,196,670 | ||||||
Cie. Generale des Etablissements Michelin SCA Class B | 556,961 | 86,067,028 | ||||||
CNP Assurances | 554,850 | 13,534,462 | ||||||
Credit Agricole SA | 3,691,132 | 63,634,230 | ||||||
Danone SA | 1,949,432 | 156,328,893 | ||||||
Dassault Aviation SA | 8,091 | 14,081,911 | ||||||
Dassault Systemes SE | 421,633 | 54,638,521 | ||||||
Edenred | 727,357 | 25,664,420 | ||||||
Eiffage SA | 239,684 | 26,046,667 | ||||||
Electricite de France SA | 1,867,117 | 24,377,750 | ||||||
Engie SA | 5,910,087 | 92,806,099 | ||||||
Essilor International Cie. Generale d’Optique SA | 673,080 | 88,536,478 | ||||||
Eurazeo SA | 139,134 | 13,312,561 | ||||||
Eurofins Scientific SE | 36,580 | 20,683,429 | ||||||
Eutelsat Communications SA | 568,775 | 13,319,169 | ||||||
Faurecia SA | 238,905 | 20,186,849 | ||||||
Fonciere Des Regions | 108,206 | 11,343,123 | ||||||
Gecina SA | 154,754 | 27,198,269 | ||||||
Getlink SE Registered | 1,527,347 | 19,680,794 | ||||||
Hermes International | 102,493 | 55,264,994 | ||||||
ICADE | 110,800 | 10,750,170 | ||||||
Iliad SA | 86,117 | 20,260,797 | ||||||
Imerys SA | 115,528 | 11,807,737 | ||||||
Ingenico Group SA | 191,839 | 16,734,002 | ||||||
Ipsen SA | 123,131 | 18,148,865 | ||||||
JCDecaux SA | 244,004 | 9,511,283 | ||||||
Kering SA | 245,697 | 116,269,816 | ||||||
Klepierre SA | 712,953 | 29,503,950 | ||||||
L’Oreal SA | 816,572 | 176,329,843 | ||||||
Lagardere SCA | 388,618 | 11,470,271 | ||||||
Legrand SA | 864,017 | 68,012,174 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 903,059 | 271,499,138 | ||||||
Natixis SA | 3,067,133 | 26,559,896 |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2018
Security | Shares | Value | ||||||
Orange SA | 6,452,065 | $ | 109,697,546 | |||||
Pernod Ricard SA | 689,808 | 113,578,833 | ||||||
Peugeot SA | 1,905,177 | 43,254,747 | ||||||
Publicis Groupe SA | 670,525 | 50,736,695 | ||||||
Remy Cointreau SA | 73,205 | 9,990,937 | ||||||
Renault SA | 623,384 | 68,032,594 | ||||||
Rexel SA | 988,206 | 17,446,225 | ||||||
Safran SA | 1,083,551 | 120,129,217 | ||||||
Sanofi | 3,683,049 | 292,116,882 | ||||||
Schneider Electric SE | 1,834,765 | 160,179,726 | ||||||
SCOR SE | 558,492 | 23,833,965 | ||||||
SEB SA | 73,789 | 15,110,461 | ||||||
SES SA | 1,187,609 | 19,018,384 | ||||||
Societe BIC SA | 93,106 | 9,782,917 | ||||||
Societe Generale SA | 2,488,302 | 143,002,548 | ||||||
Sodexo SA | 295,133 | 36,391,867 | ||||||
STMicroelectronics NV | 2,069,679 | 47,507,045 | ||||||
Suez | 1,200,384 | 16,580,355 | ||||||
Teleperformance | 182,572 | 26,075,130 | ||||||
Thales SA | 348,982 | 38,962,727 | ||||||
TOTAL SA | 7,784,515 | 445,951,394 | ||||||
Ubisoft Entertainment SAa | 200,302 | 16,612,294 | ||||||
Unibail-Rodamco SE | 323,049 | 75,550,819 | ||||||
Valeo SA | 778,739 | 50,775,743 | ||||||
Veolia Environnement SA | 1,552,869 | 37,822,331 | ||||||
Vinci SA | 1,637,265 | 162,387,185 | ||||||
Vivendi SA | 3,346,225 | 86,726,033 | ||||||
Wendel SA | 92,660 | 16,115,628 | ||||||
|
| |||||||
5,214,017,718 | ||||||||
GERMANY — 27.67% | ||||||||
1&1 Drillisch AG | 168,589 | 13,046,568 | ||||||
adidas AG | 610,290 | 135,916,578 | ||||||
Allianz SE Registered | 1,447,615 | 339,027,515 | ||||||
Axel Springer SE | 156,938 | 14,164,304 | ||||||
BASF SE | 2,979,459 | 314,005,189 | ||||||
Bayer AG Registered | 2,682,124 | 314,792,766 | ||||||
Bayerische Motoren Werke AG | 1,074,052 | 113,731,429 | ||||||
Beiersdorf AG | 325,569 | 35,784,886 | ||||||
Brenntag AG | 500,369 | 31,416,973 | ||||||
Commerzbank AGa | 3,454,194 | 53,664,041 | ||||||
Continental AG | 356,402 | 98,108,604 | ||||||
Covestro AGb | 524,909 | 59,756,785 | ||||||
Daimler AG Registered | 3,123,723 | 268,480,157 | ||||||
Deutsche Bank AG Registered | 6,709,477 | 108,018,466 | ||||||
Deutsche Boerse AG | 626,209 | 83,593,109 |
Security | Shares | Value | ||||||
Deutsche Lufthansa AG Registered | 767,351 | $ | 25,849,559 | |||||
Deutsche Post AG Registered | 3,145,081 | 144,383,264 | ||||||
Deutsche Telekom AG Registered | 10,815,863 | 174,920,257 | ||||||
Deutsche Wohnen SE Bearer | 1,153,845 | 47,777,416 | ||||||
E.ON SE | 7,145,316 | 72,855,631 | ||||||
Evonik Industries AG | 528,386 | 19,610,500 | ||||||
Fraport AG Frankfurt Airport Services Worldwide | 135,177 | 13,872,052 | ||||||
Fresenius Medical Care AG & Co. KGaA | 700,018 | 74,364,004 | ||||||
Fresenius SE & Co. KGaA | 1,348,165 | 110,331,869 | ||||||
GEA Group AG | 592,920 | 28,166,895 | ||||||
Hannover Rueck SE | 195,338 | 26,659,514 | ||||||
HeidelbergCement AG | 482,141 | 48,654,721 | ||||||
Henkel AG & Co. KGaA | 337,204 | 40,654,142 | ||||||
HOCHTIEF AG | 62,923 | 10,629,054 | ||||||
HUGO BOSS AG | 205,190 | 18,359,080 | ||||||
Infineon Technologies AG | 3,686,464 | 100,714,829 | ||||||
Innogy SEb | 452,116 | 18,092,206 | ||||||
K+S AG Registeredc | 621,986 | 17,409,997 | ||||||
KION Group AG | 230,838 | 19,843,058 | ||||||
Lanxess AG | 297,332 | 24,877,181 | ||||||
Linde AGa | 600,837 | 135,093,737 | ||||||
MAN SE | 113,529 | 12,960,390 | ||||||
Merck KGaA | 419,364 | 42,053,682 | ||||||
METRO AG | 585,165 | 11,451,265 | ||||||
MTU Aero Engines AG | 169,249 | 28,404,029 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 503,066 | 112,957,263 | ||||||
Osram Licht AG | 323,673 | 25,770,451 | ||||||
ProSiebenSat.1 Media SE Registered | 757,983 | 30,082,396 | ||||||
QIAGEN NVa | 704,610 | 23,804,769 | ||||||
RTL Group SAa | 125,387 | 11,026,132 | ||||||
RWE AGa | 1,684,494 | 33,714,246 | ||||||
SAP SE | 3,185,068 | 334,858,541 | ||||||
Siemens AG Registered | 2,481,844 | 328,245,964 | ||||||
Symrise AG | 401,572 | 32,756,319 | ||||||
Telefonica Deutschland Holding AG | 2,417,206 | 11,173,475 | ||||||
thyssenkrupp AG | 1,415,012 | 38,520,305 |
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2018
Security | Shares | Value | ||||||
Uniper SE | 645,548 | $ | 19,628,460 | |||||
United Internet AG Registeredd | 398,275 | 27,182,923 | ||||||
Volkswagen AG | 104,956 | 21,057,586 | ||||||
Vonovia SE | 1,568,132 | 71,817,117 | ||||||
Wirecard AG | 378,521 | 45,575,404 | ||||||
Zalando SEa,b,c | 361,786 | 20,694,742 | ||||||
|
| |||||||
4,440,361,795 | ||||||||
IRELAND — 1.43% | ||||||||
AIB Group PLC | 2,623,060 | 17,275,769 | ||||||
Bank of Ireland Group PLCa | 3,006,321 | 28,233,290 | ||||||
CRH PLC | 2,732,211 | 90,872,982 | ||||||
Irish Bank Resolution Corp. Ltd.a,e | 446,666 | 5 | ||||||
Kerry Group PLC Class A | 521,873 | 52,161,394 | ||||||
Paddy Power Betfair PLC | 263,011 | 30,666,712 | ||||||
Ryanair Holdings PLCa | 42,432 | 838,386 | ||||||
Ryanair Holdings PLC ADRa | 75,132 | 9,110,506 | ||||||
|
| |||||||
229,159,044 | ||||||||
ITALY — 7.29% | ||||||||
Assicurazioni Generali SpA | 4,064,998 | 76,549,620 | ||||||
Atlantia SpA | 1,486,802 | 46,023,555 | ||||||
CNH Industrial NV | 3,327,897 | 45,236,121 | ||||||
Davide Campari-Milano SpA | 1,819,835 | 13,095,420 | ||||||
Enel SpA | 26,443,821 | 154,133,360 | ||||||
Eni SpA | 8,291,169 | 138,680,474 | ||||||
EXOR NV | 356,778 | 26,065,154 | ||||||
Ferrari NV | 398,965 | 49,876,282 | ||||||
Fiat Chrysler Automobiles NVa | 3,490,839 | 74,814,611 | ||||||
Intesa Sanpaolo SpA | 43,638,721 | 164,781,469 | ||||||
Leonardo SpA | 873,382 | 9,427,204 | ||||||
Luxottica Group SpA | 552,364 | 33,253,390 | ||||||
Mediobanca Banca di Credito Finanziario SpA | 1,979,701 | 23,792,910 | ||||||
Poste Italiane SpAb | 1,716,081 | 14,780,901 | ||||||
Prysmian SpA | 677,551 | 21,419,651 | ||||||
Recordati SpA | 343,142 | 12,325,217 | ||||||
Snam SpA | 7,494,691 | 33,647,667 | ||||||
Telecom Italia SpA/Milanoa | 37,274,176 | 33,641,486 | ||||||
Tenaris SA | 1,534,818 | 26,581,570 | ||||||
Terna Rete Elettrica Nazionale SpA | 4,614,807 | 25,665,740 | ||||||
UniCredit SpAa | 6,498,256 | 138,270,041 | ||||||
UnipolSai Assicurazioni SpA | 3,446,171 | 8,315,881 | ||||||
|
| |||||||
1,170,377,724 |
Security | Shares | Value | ||||||
NETHERLANDS — 11.20% | ||||||||
ABN AMRO Group NV CVAb | 1,375,025 | $ | 42,932,479 | |||||
Aegon NV | 5,733,752 | 40,084,871 | ||||||
AerCap Holdings NVa | 442,156 | 21,935,359 | ||||||
Akzo Nobel NV | 817,943 | 79,568,943 | ||||||
Altice NV Class Aa,c | 1,726,554 | 16,606,280 | ||||||
ArcelorMittala | 2,156,154 | 74,290,560 | ||||||
ASML Holding NV | 1,258,051 | 247,495,907 | ||||||
Boskalis Westminster | 294,678 | 11,141,530 | ||||||
Heineken Holding NV | 368,488 | 36,740,623 | ||||||
Heineken NV | 839,756 | 87,610,824 | ||||||
ING Groep NV | 12,595,887 | 222,419,435 | ||||||
Koninklijke Ahold Delhaize NV | 4,156,863 | 93,803,662 | ||||||
Koninklijke DSM NV | 586,990 | 60,953,655 | ||||||
Koninklijke KPN NV | 10,979,186 | 34,414,279 | ||||||
Koninklijke Philips NV | 3,050,491 | 117,308,404 | ||||||
Koninklijke Vopak NV | 236,393 | 11,201,109 | ||||||
NN Group NV | 989,307 | 44,354,939 | ||||||
NXP Semiconductors NVa | 1,099,424 | 137,054,196 | ||||||
Randstad Holding NV | 388,004 | 27,854,276 | ||||||
RELX NV | 3,139,020 | 64,510,349 | ||||||
Unilever NV CVA | 5,281,537 | 276,829,022 | ||||||
Wolters Kluwer NV | 944,969 | 48,037,531 | ||||||
|
| |||||||
1,797,148,233 | ||||||||
PORTUGAL — 0.45% | ||||||||
EDP – Energias de Portugal SA | 7,737,322 | 25,979,590 | ||||||
Galp Energia SGPS SA | 1,640,430 | 29,751,172 | ||||||
Jeronimo Martins SGPS SA | 812,637 | 16,908,731 | ||||||
|
| |||||||
72,639,493 | ||||||||
SPAIN — 9.81% | ||||||||
Abertis Infraestructuras SA | 2,247,943 | 53,737,415 | ||||||
ACS Actividades de Construccion y Servicios SA | 791,542 | 27,349,913 | ||||||
Aena SME SAb | 220,485 | 45,083,540 | ||||||
Amadeus IT Group SA | 1,425,061 | 105,257,906 | ||||||
Banco Bilbao Vizcaya Argentaria SA | 21,642,850 | 181,873,355 | ||||||
Banco de Sabadell SA | 17,355,403 | 36,524,567 | ||||||
Banco Santander SA | 52,368,684 | 361,959,749 | ||||||
Bankia SA | 3,907,338 | 18,719,225 | ||||||
Bankinter SA | 2,209,418 | 24,435,701 | ||||||
CaixaBank SA | 11,656,370 | 57,037,391 | ||||||
Enagas SA | 567,013 | 14,813,166 | ||||||
Endesa SA | 1,028,820 | 21,708,055 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2018
Security | Shares | Value | ||||||
Ferrovial SA | 1,603,682 | $ | 34,747,125 | |||||
Gas Natural SDG SA | 1,137,105 | 26,093,972 | ||||||
Grifols SA | 976,343 | 26,888,202 | ||||||
Iberdrola SA | 18,865,740 | 139,806,388 | ||||||
Industria de Diseno Textil SA | 3,541,454 | 107,810,632 | ||||||
International Consolidated Airlines Group SA | 2,019,260 | 17,121,327 | ||||||
Mapfre SA | 3,556,014 | 12,013,751 | ||||||
Red Electrica Corp. SA | 1,405,085 | 27,419,402 | ||||||
Repsol SA | 4,099,432 | 73,523,153 | ||||||
Siemens Gamesa Renewable Energy SAc | 776,548 | 12,393,028 | ||||||
Telefonica SA | 15,140,433 | 147,599,034 | ||||||
|
| |||||||
1,573,915,997 | ||||||||
UNITED KINGDOM — 0.17% | ||||||||
Coca-Cola European Partners PLC | 706,700 | 26,868,735 | ||||||
|
| |||||||
26,868,735 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $14,747,736,315) | 15,700,087,046 | |||||||
PREFERRED STOCKS — 1.89% |
| |||||||
GERMANY — 1.72% | ||||||||
Bayerische Motoren Werke AG, Preference Shares | 180,899 | 16,481,327 | ||||||
Fuchs Petrolub SE, Preference Shares | 227,807 | 12,964,244 | ||||||
Henkel AG & Co. KGaA, Preference Shares | 577,109 | 76,933,132 | ||||||
Porsche Automobil Holding SE, Preference Shares | 497,368 | 41,929,239 | ||||||
Schaeffler AG, Preference Shares | 539,610 | 8,789,401 | ||||||
Volkswagen AG, Preference Shares | 602,447 | 118,386,916 | ||||||
|
| |||||||
275,484,259 | ||||||||
ITALY — 0.17% | ||||||||
Intesa Sanpaolo SpA, Preference Shares | 3,107,494 | 12,416,225 | ||||||
Telecom Italia SpA/Milano, Preference Shares | 19,370,160 | 14,812,766 | ||||||
|
| |||||||
27,228,991 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $309,510,674) | 302,713,250 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.37% |
| |||||||
MONEY MARKET FUNDS — 0.37% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%f,g,h | 56,803,616 | $ | 56,809,296 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%f,g | 2,539,008 | 2,539,008 | ||||||
|
| |||||||
59,348,304 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $59,345,983) |
| 59,348,304 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $15,116,592,972) |
| 16,062,148,600 | ||||||
Other Assets, Less Liabilities — (0.10)% |
| (15,421,681 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 16,046,726,919 | |||||
|
|
ADR — American Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
f | Affiliate of the Fund. |
g | Annualized 7-day yield as of period end. |
h | All or a portion of this security was purchased with cash collateral received from loaned securities. |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EUROZONE ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash | 57,577,483 | — | (773,867 | )b | 56,803,616 | $ | 56,809,296 | $ | 547,697 | c | $ | (4,091 | ) | $ | (6,717 | ) | ||||||||||||||||
BlackRock Cash | 489,933 | 2,049,075 | b | — | 2,539,008 | 2,539,008 | 37,259 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 59,348,304 | $ | 584,956 | $ | (4,091 | ) | $ | (6,717 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of shares purchased and sold. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts: | ||||||||||||||||
Euro STOXX 50 | 1,045 | Mar 2018 | $ | 43,819 | $ | (1,822,579 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
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, 2018. 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 | $ | 15,700,087,040 | $ | — | $ | 5 | $ | 15,700,087,045 | ||||||||
Preferred stocks | 302,713,250 | — | — | 302,713,250 | ||||||||||||
Money market funds | 59,348,304 | — | — | 59,348,304 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 16,062,148,594 | $ | — | $ | 5 | $ | 16,062,148,599 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (1,822,579 | ) | $ | — | $ | — | $ | (1,822,579 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (1,822,579 | ) | $ | — | $ | — | $ | (1,822,579 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
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)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 93.53% |
| |||||||
AEROSPACE & DEFENSE — 0.60% |
| |||||||
MTU Aero Engines AG | 155,172 | $ | 26,041,572 | |||||
|
| |||||||
26,041,572 | ||||||||
AIR FREIGHT & LOGISTICS — 3.04% |
| |||||||
Deutsche Post AG Registered | 2,898,591 | 133,067,488 | ||||||
|
| |||||||
133,067,488 | ||||||||
AIRLINES — 0.54% |
| |||||||
Deutsche Lufthansa AG Registered | 701,989 | 23,647,726 | ||||||
|
| |||||||
23,647,726 | ||||||||
AUTO COMPONENTS — 2.07% |
| |||||||
Continental AG | 328,413 | 90,403,929 | ||||||
|
| |||||||
90,403,929 | ||||||||
AUTOMOBILES — 8.49% |
| |||||||
Bayerische Motoren Werke AG | 988,470 | 104,669,146 | ||||||
Daimler AG Registereda | 2,874,535 | 247,062,754 | ||||||
Volkswagen AG | 96,833 | 19,427,848 | ||||||
|
| |||||||
371,159,748 | ||||||||
BANKS — 1.13% |
| |||||||
Commerzbank AGb | 3,178,003 | 49,373,163 | ||||||
|
| |||||||
49,373,163 | ||||||||
CAPITAL MARKETS — 4.03% |
| |||||||
Deutsche Bank AG Registered | 6,170,202 | 99,336,469 | ||||||
Deutsche Boerse AG | 576,187 | 76,915,635 | ||||||
|
| |||||||
176,252,104 | ||||||||
CHEMICALS — 12.71% |
| |||||||
BASF SE | 2,742,053 | 288,984,970 | ||||||
Covestro AGc | 483,656 | 55,060,453 | ||||||
Evonik Industries AG | 486,178 | 18,043,993 | ||||||
K+S AG Registeredd | 569,842 | 15,950,436 | ||||||
Lanxess AG | 273,118 | 22,851,244 | ||||||
Linde AGb | 554,497 | 124,674,533 | ||||||
Symrise AG | 368,175 | 30,032,118 | ||||||
|
| |||||||
555,597,747 | ||||||||
CONSTRUCTION & ENGINEERING — 0.22% |
| |||||||
HOCHTIEF AG | 57,822 | 9,767,385 | ||||||
|
| |||||||
9,767,385 | ||||||||
CONSTRUCTION MATERIALS — 1.02% |
| |||||||
HeidelbergCement AG | 443,709 | 44,776,399 | ||||||
|
| |||||||
44,776,399 |
Security | Shares | Value | ||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.92% |
| |||||||
Deutsche Telekom AG Registered | 9,950,490 | $ | 160,924,955 | |||||
Telefonica Deutschland Holding AG | 2,226,508 | 10,291,979 | ||||||
|
| |||||||
171,216,934 | ||||||||
ELECTRICAL EQUIPMENT — 0.54% |
| |||||||
Osram Licht AG | 296,918 | 23,640,251 | ||||||
|
| |||||||
23,640,251 | ||||||||
FOOD & STAPLES RETAILING — 0.24% |
| |||||||
METRO AG | 539,111 | 10,550,021 | ||||||
|
| |||||||
10,550,021 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 3.89% |
| |||||||
Fresenius Medical Care AG & Co. KGaA | 643,568 | 68,367,233 | ||||||
Fresenius SE & Co. KGaA | 1,241,144 | 101,573,425 | ||||||
|
| |||||||
169,940,658 | ||||||||
HOUSEHOLD PRODUCTS — 0.85% |
| |||||||
Henkel AG & Co. KGaA | 309,772 | 37,346,872 | ||||||
|
| |||||||
37,346,872 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.42% |
| |||||||
Uniper SE | 602,639 | 18,323,774 | ||||||
|
| |||||||
18,323,774 | ||||||||
INDUSTRIAL CONGLOMERATES — 6.91% |
| |||||||
Siemens AG Registered | 2,283,853 | 302,059,891 | ||||||
|
| |||||||
302,059,891 | ||||||||
INSURANCE — 10.08% |
| |||||||
Allianz SE Registered | 1,332,560 | 312,081,945 | ||||||
Hannover Rueck SE | 179,962 | 24,561,014 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 463,550 | 104,084,433 | ||||||
|
| |||||||
440,727,392 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.43% |
| |||||||
Zalando SEb,c,d | 331,807 | 18,979,894 | ||||||
|
| |||||||
18,979,894 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.57% |
| |||||||
United Internet AG Registereda | 367,212 | 25,062,822 | ||||||
|
| |||||||
25,062,822 | ||||||||
IT SERVICES — 0.97% |
| |||||||
Wirecard AG | 350,451 | 42,195,667 | ||||||
|
| |||||||
42,195,667 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GERMANY ETF
February 28, 2018
Security | Shares | Value | ||||||
LIFE SCIENCES TOOLS & SERVICES — 0.51% |
| |||||||
QIAGEN NVb | 654,989 | $ | 22,128,358 | |||||
|
| |||||||
22,128,358 | ||||||||
MACHINERY — 1.29% |
| |||||||
GEA Group AG | 545,950 | 25,935,567 | ||||||
KION Group AG | 211,282 | 18,162,005 | ||||||
MAN SE | 105,627 | 12,058,303 | ||||||
|
| |||||||
56,155,875 | ||||||||
MEDIA — 1.17% |
| |||||||
Axel Springer SE | 145,374 | 13,120,605 | ||||||
ProSiebenSat.1 Media SE Registered | 695,415 | 27,599,233 | ||||||
RTL Group SAb | 115,864 | 10,188,710 | ||||||
|
| |||||||
50,908,548 | ||||||||
METALS & MINING — 0.81% |
| |||||||
thyssenkrupp AG | 1,300,970 | 35,415,785 | ||||||
|
| |||||||
35,415,785 | ||||||||
MULTI-UTILITIES — 2.62% |
| |||||||
E.ON SE | 6,571,223 | 67,002,019 | ||||||
Innogy SEc | 413,748 | 16,556,843 | ||||||
RWE AGb | 1,546,968 | 30,961,737 | ||||||
|
| |||||||
114,520,599 | ||||||||
PERSONAL PRODUCTS — 0.76% |
| |||||||
Beiersdorf AG | 300,933 | 33,077,022 | ||||||
|
| |||||||
33,077,022 | ||||||||
PHARMACEUTICALS — 7.52% |
| |||||||
Bayer AG Registered | 2,468,791 | 289,754,518 | ||||||
Merck KGaA | 386,222 | 38,730,213 | ||||||
|
| |||||||
328,484,731 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.52% |
| |||||||
Deutsche Wohnen SE Bearer | 1,058,823 | 43,842,827 | ||||||
Vonovia SE | 1,445,404 | 66,196,435 | ||||||
|
| |||||||
110,039,262 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 2.12% |
| |||||||
Infineon Technologies AG | 3,390,911 | 92,640,271 | ||||||
|
| |||||||
92,640,271 | ||||||||
SOFTWARE — 7.06% |
| |||||||
SAP SE | 2,934,108 | 308,474,144 | ||||||
|
| |||||||
308,474,144 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 3.25% |
| |||||||
adidas AG | 562,145 | 125,194,293 | ||||||
HUGO BOSS AG | 188,766 | 16,889,566 | ||||||
|
| |||||||
142,083,859 |
Security | Shares | Value | ||||||
TRADING COMPANIES & DISTRIBUTORS — 0.66% |
| |||||||
Brenntag AG | 461,257 | $ | 28,961,224 | |||||
|
| |||||||
28,961,224 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.29% |
| |||||||
Fraport AG Frankfurt Airport Services Worldwide | 124,715 | 12,798,427 | ||||||
|
| |||||||
12,798,427 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.28% |
| |||||||
1&1 Drillisch AG | 158,776 | 12,287,171 | ||||||
|
| |||||||
12,287,171 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $4,058,112,615) | 4,088,106,713 | |||||||
PREFERRED STOCKS — 5.79% |
| |||||||
AUTO COMPONENTS — 0.18% |
| |||||||
Schaeffler AG, Preference Shares | 497,030 | 8,095,840 | ||||||
|
| |||||||
8,095,840 | ||||||||
AUTOMOBILES — 3.72% |
| |||||||
Bayerische Motoren Werke AG, Preference Shares | 165,191 | 15,050,204 | ||||||
Porsche Automobil Holding SE, Preference Shares | 457,150 | 38,538,771 | ||||||
Volkswagen AG, Preference Shares | 554,055 | 108,877,399 | ||||||
|
| |||||||
162,466,374 | ||||||||
CHEMICALS — 0.27% |
| |||||||
Fuchs Petrolub SE, Preference Shares | 208,305 | 11,854,407 | ||||||
|
| |||||||
11,854,407 | ||||||||
HOUSEHOLD PRODUCTS — 1.62% |
| |||||||
Henkel AG & Co. KGaA, Preference Shares | 531,901 | 70,906,553 | ||||||
|
| |||||||
70,906,553 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $277,964,637) | 253,323,174 | |||||||
SHORT-TERM INVESTMENTS — 0.62% |
| |||||||
MONEY MARKET FUNDS — 0.62% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 25,385,150 | 25,387,689 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GERMANY ETF
February 28, 2018
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 1,692,113 | $ | 1,692,113 | |||||
|
| |||||||
27,079,802 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $27,079,802) |
| 27,079,802 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $4,363,157,054) |
| 4,368,509,689 | ||||||
Other Assets, Less Liabilities — 0.06% |
| 2,437,777 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 4,370,947,466 | |||||
|
|
a | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
b | Non-income producing security. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | All or a portion of this security is on loan. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 69,810,722 | — | (44,425,572 | )b | 25,385,150 | $ | 25,387,689 | $ | 270,933 | c | $ | (6,615 | ) | $ | — | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 589,306 | 1,102,807 | b | — | 1,692,113 | 1,692,113 | 7,757 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 27,079,802 | $ | 278,690 | $ | (6,615 | ) | $ | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of shares purchased and sold. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts: | ||||||||||||||||
DAX Index | 75 | Mar 2018 | $ | 28,431 | $ | (1,300,437 | ) | |||||||||
|
| |||||||||||||||
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GERMANY ETF
February 28, 2018
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, 2018. 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 | $ | 4,088,106,713 | $ | — | $ | — | $ | 4,088,106,713 | ||||||||
Preferred stocks | 253,323,174 | — | — | 253,323,174 | ||||||||||||
Money market funds | 27,079,802 | — | — | 27,079,802 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,368,509,689 | $ | — | $ | — | $ | 4,368,509,689 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (1,300,437 | ) | $ | — | $ | — | $ | (1,300,437 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (1,300,437 | ) | $ | — | $ | — | $ | (1,300,437 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 97.65% |
| |||||||
AEROSPACE & DEFENSE — 1.55% |
| |||||||
Leonardo SpA | 1,020,041 | $ | 11,010,228 | |||||
|
| |||||||
11,010,228 | ||||||||
AUTOMOBILES — 8.86% |
| |||||||
Ferrari NV | 252,290 | 31,539,827 | ||||||
Fiat Chrysler Automobiles NVa | 1,465,529 | 31,408,776 | ||||||
|
| |||||||
62,948,603 | ||||||||
BANKS — 25.31% |
| |||||||
Intesa Sanpaolo SpA | 23,461,061 | 88,589,858 | ||||||
Mediobanca Banca di Credito Finanziario SpA | 1,536,478 | 18,466,063 | ||||||
UniCredit SpAa | 3,417,689 | 72,721,665 | ||||||
|
| |||||||
179,777,586 | ||||||||
BEVERAGES — 1.53% |
| |||||||
Davide Campari-Milano SpA | 1,505,838 | 10,835,917 | ||||||
|
| |||||||
10,835,917 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 2.93% |
| |||||||
EXOR NV | 285,172 | 20,833,830 | ||||||
|
| |||||||
20,833,830 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.09% |
| |||||||
Telecom Italia SpA/Milanoa | 24,314,868 | 21,945,175 | ||||||
|
| |||||||
21,945,175 | ||||||||
ELECTRIC UTILITIES — 14.42% |
| |||||||
Enel SpA | 14,080,985 | 82,073,976 | ||||||
Terna Rete Elettrica Nazionale SpA | 3,662,409 | 20,368,877 | ||||||
|
| |||||||
102,442,853 | ||||||||
ELECTRICAL EQUIPMENT — 2.31% |
| |||||||
Prysmian SpA | 518,250 | 16,383,614 | ||||||
|
| |||||||
16,383,614 | ||||||||
ENERGY EQUIPMENT & SERVICES — 2.77% |
| |||||||
Tenaris SA | 1,137,242 | 19,695,937 | ||||||
|
| |||||||
19,695,937 | ||||||||
INSURANCE — 7.68% |
| |||||||
Assicurazioni Generali SpA | 1,703,224 | 32,074,099 | ||||||
Poste Italiane SpAb | 1,551,208 | 13,360,821 | ||||||
UnipolSai Assicurazioni SpA | 3,789,705 | 9,144,856 | ||||||
|
| |||||||
54,579,776 | ||||||||
MACHINERY — 4.39% | ||||||||
CNH Industrial NV | 2,293,451 | 31,174,891 | ||||||
|
| |||||||
31,174,891 |
Security | Shares | Value | ||||||
OIL, GAS & CONSUMABLE FUELS — 13.73% |
| |||||||
Eni SpA | 4,346,257 | $ | 72,696,743 | |||||
Snam SpA | 5,540,243 | 24,873,107 | ||||||
|
| |||||||
97,569,850 | ||||||||
PHARMACEUTICALS — 1.44% |
| |||||||
Recordati SpA | 285,364 | 10,249,906 | ||||||
|
| |||||||
10,249,906 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 3.42% |
| |||||||
Luxottica Group SpA | 403,182 | 24,272,343 | ||||||
|
| |||||||
24,272,343 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 4.22% |
| |||||||
Atlantia SpA | 969,487 | 30,010,209 | ||||||
|
| |||||||
30,010,209 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $684,509,930) | 693,730,718 | |||||||
PREFERRED STOCKS — 2.19% |
| |||||||
BANKS — 0.67% |
| |||||||
Intesa Sanpaolo SpA, Preference Shares | 1,179,735 | 4,713,720 | ||||||
|
| |||||||
4,713,720 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.52% |
| |||||||
Telecom Italia SpA/Milano, Preference Shares | 14,152,122 | 10,822,423 | ||||||
|
| |||||||
10,822,423 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $15,842,949) | 15,536,143 | |||||||
SHORT-TERM INVESTMENTS — 0.02% |
| |||||||
MONEY MARKET FUNDS — 0.02% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 171,861 | 171,861 | ||||||
|
| |||||||
171,861 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $171,861) |
| 171,861 | ||||||
|
|
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ITALY ETF
February 28, 2018
Value | ||||||
TOTAL INVESTMENTS |
| |||||
(Cost: $700,524,740) | $ | 709,438,722 | ||||
Other Assets, Less Liabilities — 0.14% | 1,017,761 | |||||
|
| |||||
NET ASSETS — 100.00% | $ | 710,456,483 | ||||
|
|
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | — | — | — | b | — | $ | — | $ | 1,290 | c | $ | (205 | ) | $ | — | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 998,621 | — | (826,760 | )b | 171,861 | 171,861 | 2,400 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 171,861 | $ | 3,690 | $ | (205 | ) | $ | — | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of shares purchased and sold. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ appreciation | ||||||||||||
Long Contracts: | ||||||||||||||||
FTSE/MIB Index | 7 | Mar 2018 | $ | 965 | $ | (30,878 | ) | |||||||||
|
| |||||||||||||||
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.
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ITALY ETF
February 28, 2018
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2018. 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 | $ | 693,730,718 | $ | — | $ | — | $ | 693,730,718 | ||||||||
Preferred stocks | 15,536,143 | — | — | 15,536,143 | ||||||||||||
Money market funds | 171,861 | — | — | 171,861 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 709,438,722 | $ | — | $ | — | $ | 709,438,722 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (30,878 | ) | $ | — | $ | — | $ | (30,878 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (30,878 | ) | $ | — | $ | — | $ | (30,878 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.82% |
| |||||||
AIRLINES — 1.87% |
| |||||||
International Consolidated Airlines Group SA | 2,383,539 | $ | 20,210,052 | |||||
|
| |||||||
20,210,052 | ||||||||
BANKS — 42.34% |
| |||||||
Banco Bilbao Vizcaya Argentaria SA | 12,580,391 | 105,717,958 | ||||||
Banco de Sabadell SA | 15,837,093 | 33,329,273 | ||||||
Banco Santander SA | 32,830,345 | 226,915,449 | ||||||
Bankia SA | 4,073,322 | 19,514,419 | ||||||
Bankinter SA | 2,289,302 | 25,319,202 | ||||||
CaixaBank SA | 9,765,709 | 47,785,937 | ||||||
|
| |||||||
458,582,238 | ||||||||
BIOTECHNOLOGY — 2.42% |
| |||||||
Grifols SA | 952,269 | 26,225,211 | ||||||
|
| |||||||
26,225,211 | ||||||||
CONSTRUCTION & ENGINEERING — 5.46% |
| |||||||
ACS Actividades de Construccion y Servicios SA | 776,848 | 26,842,195 | ||||||
Ferrovial SA | 1,491,639 | 32,319,479 | ||||||
|
| |||||||
59,161,674 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 7.46% |
| |||||||
Telefonica SA | 8,283,098 | 80,749,161 | ||||||
|
| |||||||
80,749,161 | ||||||||
ELECTRIC UTILITIES — 11.46% |
| |||||||
Endesa SA | 1,097,325 | 23,153,507 | ||||||
Iberdrola SA | 10,071,173 | 74,633,400 | ||||||
Red Electrica Corp. SA | 1,346,437 | 26,274,922 | ||||||
|
| |||||||
124,061,829 | ||||||||
ELECTRICAL EQUIPMENT — 1.62% |
| |||||||
Siemens Gamesa Renewable Energy SAa | 1,099,364 | 17,544,890 | ||||||
|
| |||||||
17,544,890 | ||||||||
GAS UTILITIES — 2.47% |
| |||||||
Gas Natural SDG SA | 1,166,543 | 26,769,507 | ||||||
|
| |||||||
26,769,507 | ||||||||
INSURANCE — 1.57% |
| |||||||
Mapfre SA | 5,021,803 | 16,965,820 | ||||||
|
| |||||||
16,965,820 | ||||||||
IT SERVICES — 4.57% |
| |||||||
Amadeus IT Group SA | 670,236 | 49,504,995 | ||||||
|
| |||||||
49,504,995 |
Security | Shares | Value | ||||||
OIL, GAS & CONSUMABLE FUELS — 6.53% |
| |||||||
Enagas SA | 742,527 | $ | 19,398,454 | |||||
Repsol SA | 2,860,367 | 51,300,570 | ||||||
|
| |||||||
70,699,024 | ||||||||
SPECIALTY RETAIL — 4.18% |
| |||||||
Industria de Diseno Textil SA | 1,488,622 | 45,317,341 | ||||||
|
| |||||||
45,317,341 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 7.87% |
| |||||||
Abertis Infraestructuras SA | 1,909,517 | 45,647,291 | ||||||
Aena SME SAb | 193,518 | 39,569,479 | ||||||
|
| |||||||
85,216,770 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,194,053,518) |
| 1,081,008,512 | ||||||
SHORT-TERM INVESTMENTS — 1.65% |
| |||||||
MONEY MARKET FUNDS — 1.65% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 15,069,738 | 15,071,245 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 2,800,997 | 2,800,997 | ||||||
|
| |||||||
17,872,242 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $17,873,539) |
| 17,872,242 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,211,927,057) |
| 1,098,880,754 | ||||||
Other Assets, Less Liabilities — (1.47)% |
| (15,931,204 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 1,082,949,550 | |||||
|
|
a | All or a portion of this security is on loan. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SPAIN ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 10,256,664 | 4,813,074 | b | — | 15,069,738 | $ | 15,071,245 | $ | 22,833 | c | $ | (1,350 | ) | $ | (1,297 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 1,301,695 | 1,499,302 | b | — | 2,800,997 | 2,800,997 | 4,699 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 17,872,242 | $ | 27,532 | $ | (1,350 | ) | $ | (1,297 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of shares purchased and sold. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||
Long Contracts: | ||||||||||||||
IBEX 35 Index | 13 | Mar 2018 | $ | 1,559 | $ | 1,836 | ||||||||
|
|
|
|
|
|
| ||||||||
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, 2018. 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 | $ | 1,081,008,512 | $ | — | $ | — | $ | 1,081,008,512 | ||||||||
Money market funds | 17,872,242 | — | — | 17,872,242 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,098,880,754 | $ | — | $ | — | $ | 1,098,880,754 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 1,836 | $ | — | $ | — | $ | 1,836 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,836 | $ | — | $ | — | $ | 1,836 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.56% |
| |||||||
BUILDING PRODUCTS — 1.64% |
| |||||||
Geberit AG Registered | 47,876 | $ | 21,692,506 | |||||
|
| |||||||
21,692,506 | ||||||||
CAPITAL MARKETS — 11.29% |
| |||||||
Credit Suisse Group AG Registered | 2,864,416 | 53,223,793 | ||||||
Julius Baer Group Ltd. | 295,237 | 19,244,060 | ||||||
Partners Group Holding AG | 23,426 | 17,029,429 | ||||||
UBS Group AG Registered | 3,110,071 | 59,466,677 | ||||||
|
| |||||||
148,963,959 | ||||||||
CHEMICALS — 4.67% |
| |||||||
Clariant AG Registered | 148,698 | 3,729,054 | ||||||
EMS-Chemie Holding AG Registered | 13,672 | 8,766,977 | ||||||
Givaudan SA Registered | 11,586 | 26,444,106 | ||||||
Sika AG Bearer | 2,760 | 22,721,338 | ||||||
|
| |||||||
61,661,475 | ||||||||
CONSTRUCTION MATERIALS — 2.48% |
| |||||||
LafargeHolcim Ltd. Registered | 558,106 | 32,705,053 | ||||||
|
| |||||||
32,705,053 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.52% |
| |||||||
Pargesa Holding SA Bearer | 77,415 | 6,864,586 | ||||||
|
| |||||||
6,864,586 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.41% |
| |||||||
Swisscom AG Registered | 34,418 | 18,646,649 | ||||||
|
| |||||||
18,646,649 | ||||||||
ELECTRICAL EQUIPMENT — 4.02% |
| |||||||
ABB Ltd. Registered | 2,172,546 | 53,011,915 | ||||||
|
| |||||||
53,011,915 | ||||||||
FOOD PRODUCTS — 21.20% |
| |||||||
Barry Callebaut AG Registered | 4,117 | 8,133,368 | ||||||
Chocoladefabriken Lindt & Spruengli AG Participation Certificates | 1,670 | 10,001,799 | ||||||
Chocoladefabriken Lindt & Spruengli AG Registered | 152 | 10,969,155 | ||||||
Nestle SA Registered | 3,147,362 | 250,709,921 | ||||||
|
| |||||||
279,814,243 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.74% |
| |||||||
Sonova Holding AG Registered | 77,615 | 12,187,785 | ||||||
Straumann Holding AG Registered | 15,802 | 10,709,678 | ||||||
|
| |||||||
22,897,463 |
Security | Shares | Value | ||||||
INSURANCE — 9.49% |
| |||||||
Baloise Holding AG Registered | 73,414 | $ | 11,590,253 | |||||
Swiss Life Holding AG Registered | 44,597 | 16,186,203 | ||||||
Swiss Re AG | 379,962 | 38,798,299 | ||||||
Zurich Insurance Group AG | 177,541 | 58,613,610 | ||||||
|
| |||||||
125,188,365 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 1.83% |
| |||||||
Lonza Group AG Registered | 94,510 | 24,081,274 | ||||||
|
| |||||||
24,081,274 | ||||||||
MACHINERY — 1.64% |
| |||||||
Schindler Holding AG Participation Certificates | 57,953 | 13,589,106 | ||||||
Schindler Holding AG Registered | 35,451 | 8,035,135 | ||||||
|
| |||||||
21,624,241 | ||||||||
MARINE — 0.96% |
| |||||||
Kuehne + Nagel International AG Registered | 77,576 | 12,698,807 | ||||||
|
| |||||||
12,698,807 | ||||||||
PHARMACEUTICALS — 26.49% |
| |||||||
Novartis AG Registered | 2,176,860 | 182,339,810 | ||||||
Roche Holding AG | 674,972 | 156,628,072 | ||||||
Vifor Pharma AG | 75,477 | 10,638,100 | ||||||
|
| |||||||
349,605,982 | ||||||||
PROFESSIONAL SERVICES — 2.71% |
| |||||||
Adecco Group AG Registered | 218,634 | 17,642,483 | ||||||
SGS SA Registered | 7,125 | 18,147,056 | ||||||
|
| |||||||
35,789,539 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.79% |
| |||||||
Swiss Prime Site AG Registered | 111,859 | 10,463,294 | ||||||
|
| |||||||
10,463,294 | ||||||||
SPECIALTY RETAIL — 0.65% |
| |||||||
Dufry AG Registereda | 59,596 | 8,588,937 | ||||||
|
| |||||||
8,588,937 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 6.03% |
| |||||||
Cie. Financiere Richemont SA Class A Registered | 614,633 | 54,149,879 | ||||||
Swatch Group AG (The) Bearer | 41,330 | 17,484,508 | ||||||
Swatch Group AG (The) Registered | 99,155 | 7,979,195 | ||||||
|
| |||||||
79,613,582 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,297,265,346) |
| 1,313,911,870 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWITZERLAND ETF
February 28, 2018
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.01% |
| |||||||
MONEY MARKET FUNDS — 0.01% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 171,407 | $ | 171,407 | |||||
|
| |||||||
171,407 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $171,407) | 171,407 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,297,436,753) |
| 1,314,083,277 | ||||||
Other Assets, Less Liabilities — 0.43% |
| 5,613,691 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 1,319,696,968 | |||||
|
|
a | Non-income producing security. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, | 609,567 | — | (438,160 | )b | 171,407 | $ | 171,407 | $ | 5,395 | $ | — | $ | — | |||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 171,407 | $ | 5,395 | $ | — | $ | — | |||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of shares purchased and sold. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts: | ||||||||||||||||
Euro STOXX 50 | 127 | Mar 2018 | $ | 5,325 | $ | (193,892 | ) | |||||||||
|
| |||||||||||||||
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SWITZERLAND ETF
February 28, 2018
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, 2018. 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 | $ | 1,313,911,870 | $ | — | $ | — | $ | 1,313,911,870 | ||||||||
Money market funds | 171,407 | — | — | 171,407 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,314,083,277 | $ | — | $ | — | $ | 1,314,083,277 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (193,892 | ) | $ | — | $ | — | $ | (193,892 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (193,892 | ) | $ | — | $ | — | $ | (193,892 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares ETF | iShares MSCI Germany ETF | iShares ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 15,057,246,989 | $ | 4,336,077,252 | $ | 700,352,879 | ||||||
Affiliated (Note 2) | 59,345,983 | 27,079,802 | 171,861 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 15,116,592,972 | $ | 4,363,157,054 | $ | 700,524,740 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 16,002,800,296 | $ | 4,341,429,887 | $ | 709,266,861 | ||||||
Affiliated (Note 2) | 59,348,304 | 27,079,802 | 171,861 | |||||||||
Foreign currency, at valueb,c | 28,279,453 | 13,778,415 | 734,511 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | 3,135,721 | 3,126,716 | 62,900 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 10,990,190 | 2,217,873 | 9,967,084 | |||||||||
Dividends and interest | 4,774,151 | 477,488 | 236 | |||||||||
Tax reclaims | 10,912,030 | 11,433,759 | — | |||||||||
Foreign withholding tax claims (Note 8) | 4,147,783 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 16,124,387,928 | 4,399,543,940 | 720,203,453 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 13,776,149 | 334,498 | 9,482,816 | |||||||||
Collateral for securities on loan (Note 1) | 56,813,313 | 25,403,301 | — | |||||||||
Capital shares redeemed | 1,021,424 | — | — | |||||||||
Futures variation margin | 172,706 | 1,300,437 | 2,748 | |||||||||
Professional fees (Note 8) | 41,478 | — | — | |||||||||
Investment advisory fees (Note 2) | 5,835,939 | 1,558,238 | 261,406 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 77,661,009 | 28,596,474 | 9,746,970 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 16,046,726,919 | $ | 4,370,947,466 | $ | 710,456,483 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 15,494,119,968 | $ | 4,413,513,704 | $ | 897,026,658 | ||||||
Undistributed net investment income | 16,586,954 | 299,900 | 2,039,546 | |||||||||
Accumulated net realized loss | (408,649,828 | ) | (47,705,107 | ) | (197,482,440 | ) | ||||||
Net unrealized appreciation | 944,669,825 | 4,838,969 | 8,872,719 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 16,046,726,919 | $ | 4,370,947,466 | $ | 710,456,483 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 365,800,000 | 134,100,000 | 22,275,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 43.87 | $ | 32.59 | $ | 31.89 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $54,253,279, $24,221,702 and $ —, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $31,699,841, $17,125,313 and $744,896, respectively. |
c | $0.001 par value, number of shares authorized: 1 billion, 482.2 million and 295.4 million, respectively. |
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Spain ETF | iShares MSCI Switzerland ETF | |||||||
ASSETS | ||||||||
Investments in securities, at cost: | ||||||||
Unaffiliated | $ | 1,194,053,518 | $ | 1,297,265,346 | ||||
Affiliated (Note 2) | 17,873,539 | 171,407 | ||||||
|
|
|
| |||||
Total cost of investments in securities | $ | 1,211,927,057 | $ | 1,297,436,753 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 1,081,008,512 | $ | 1,313,911,870 | ||||
Affiliated (Note 2) | 17,872,242 | 171,407 | ||||||
Foreign currency, at valueb | 1,242,372 | 1,079,928 | ||||||
Foreign currency pledged to broker for futures contracts, at valueb | 126,917 | 299,644 | ||||||
Receivables: | ||||||||
Investment securities sold | 8,139,180 | 31,510,192 | ||||||
Due from custodian (Note 4) | 42,124,829 | — | ||||||
Dividends and interest | 9,230 | 75,061 | ||||||
Capital shares sold | — | 537,085 | ||||||
Tax reclaims | 86,626 | 4,328,129 | ||||||
|
|
|
| |||||
Total Assets | 1,150,609,908 | 1,351,913,316 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 52,224,538 | 31,726,306 | ||||||
Collateral for securities on loan (Note 1) | 15,073,055 | — | ||||||
Futures variation margin | 9,996 | 21,085 | ||||||
Investment advisory fees (Note 2) | 352,769 | 468,957 | ||||||
|
|
|
| |||||
Total Liabilities | 67,660,358 | 32,216,348 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 1,082,949,550 | $ | 1,319,696,968 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 1,306,889,417 | $ | 1,361,856,670 | ||||
Undistributed (distributions in excess of) net investment income | 3,979,123 | (3,760,168 | ) | |||||
Accumulated net realized loss | (114,845,902 | ) | (55,081,710 | ) | ||||
Net unrealized appreciation (depreciation) | (113,073,088 | ) | 16,682,176 | |||||
�� |
|
|
|
| ||||
NET ASSETS | $ | 1,082,949,550 | $ | 1,319,696,968 | ||||
|
|
|
| |||||
Shares outstandingc | 32,775,000 | 37,750,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 33.04 | $ | 34.96 | ||||
|
|
|
|
a | Securities on loan with values of $14,395,739 and $ —, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $1,269,496 and $1,086,756, 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 | 29 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 71,774,206 | $ | 10,968,182 | $ | 6,101,061 | ||||||
Dividends — affiliated (Note 2) | 37,259 | 7,757 | 2,400 | |||||||||
Securities lending income — affiliated — net (Note 2) | 547,697 | 270,933 | 1,290 | |||||||||
Non-cash dividends — unaffiliated | 8,126,545 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 80,485,707 | 11,246,872 | 6,104,751 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 35,257,572 | 10,946,495 | 1,829,604 | |||||||||
Proxy fees | 1,158 | 521 | 64 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 35,258,730 | 10,947,016 | 1,829,668 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 45,226,977 | 299,856 | 4,275,083 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (71,477,636 | ) | (19,634,095 | ) | (1,368,563 | ) | ||||||
Investments — affiliated (Note 2) | (4,091 | ) | (6,615 | ) | (205 | ) | ||||||
In-kind redemptions — unaffiliated | 180,445,446 | 182,002,829 | 39,386,690 | |||||||||
Futures contracts | (146,532 | ) | 911,841 | 16,010 | ||||||||
Foreign currency transactions | 2,278,391 | 1,068,271 | 78,340 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain | 111,095,578 | 164,342,231 | 38,112,272 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliated | 591,610,402 | 150,934,109 | 4,029,646 | |||||||||
Investments — affiliated (Note 2) | (6,717 | ) | — | — | ||||||||
Futures contracts | (1,822,579 | ) | 249,959 | (30,878 | ) | |||||||
Translation of assets and liabilities in foreign currencies | (622,227 | ) | (847,703 | ) | (15,421 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 589,158,879 | 150,336,365 | 3,983,347 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 700,254,457 | 314,678,596 | 42,095,619 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 745,481,434 | $ | 314,978,452 | $ | 46,370,702 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $9,674,690, $1,692,110 and $1,048,817, respectively. |
See notes to financial statements.
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares ETF | iShares MSCI Switzerland ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 9,912,823 | $ | (396,113 | )b | |||
Dividends — affiliated (Note 2) | 4,699 | 5,395 | ||||||
Securities lending income — affiliated — net (Note 2) | 22,833 | — | ||||||
Non-cash dividends — unaffiliated | 5,010,762 | — | ||||||
|
|
|
| |||||
Total investment income | 14,951,117 | (390,718 | ) | |||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 2,596,902 | 3,000,019 | ||||||
Proxy fees | 137 | 123 | ||||||
|
|
|
| |||||
Total expenses | 2,597,039 | 3,000,142 | ||||||
|
|
|
| |||||
Net investment income (loss) | 12,354,078 | (3,390,860 | ) | |||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (15,584,529 | ) | (3,517,484 | ) | ||||
Investments — affiliated (Note 2) | (1,350 | ) | — | |||||
In-kind redemptions — unaffiliated | 94,495,879 | 19,944,111 | ||||||
Futures contracts | (187,432 | ) | 301,595 | |||||
Foreign currency transactions | 171,271 | (324,520 | ) | |||||
|
|
|
| |||||
Net realized gain | 78,893,839 | 16,403,702 | ||||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments — unaffiliated | (100,808,097 | ) | 12,737,925 | |||||
Investments — affiliated (Note 2) | (1,297 | ) | — | |||||
Futures contracts | 1,836 | (193,892 | ) | |||||
Translation of assets and liabilities in foreign currencies | (35,520 | ) | 289,530 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | (100,843,078 | ) | 12,833,563 | |||||
|
|
|
| |||||
Net realized and unrealized gain (loss) | (21,949,239 | ) | 29,237,265 | |||||
|
|
|
| |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (9,595,161 | ) | $ | 25,846,405 | |||
|
|
|
|
a | Net of foreign withholding tax of $1,750,903 and $1,570,731, respectively. |
b | Includes prior period adjustment for withholding taxes of $1,372,743. |
See notes to financial statements.
FINANCIAL STATEMENTS | 31 |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 45,226,977 | $ | 250,039,419 | $ | 299,856 | $ | 89,451,626 | ||||||||
Net realized gain (loss) | 111,095,578 | (107,531,785 | ) | 164,342,231 | 81,994,943 | |||||||||||
Net change in unrealized appreciation/depreciation | 589,158,879 | 1,981,250,890 | 150,336,365 | 639,971,332 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 745,481,434 | 2,123,758,524 | 314,978,452 | 811,417,901 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (68,246,680 | ) | (251,508,888 | ) | (11,828,503 | ) | (101,663,169 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (68,246,680 | ) | (251,508,888 | ) | (11,828,503 | ) | (101,663,169 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 2,935,443,308 | 5,075,719,442 | 217,762,225 | 1,344,475,553 | ||||||||||||
Cost of shares redeemed | (852,167,067 | ) | (1,955,344,002 | ) | (959,864,204 | ) | (841,232,745 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 2,083,276,241 | 3,120,375,440 | (742,101,979 | ) | 503,242,808 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 2,760,510,995 | 4,992,625,076 | (438,952,030 | ) | 1,212,997,540 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 13,286,215,924 | 8,293,590,848 | 4,809,899,496 | 3,596,901,956 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 16,046,726,919 | $ | 13,286,215,924 | $ | 4,370,947,466 | $ | 4,809,899,496 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed net investment income included in net assets at end of period | $ | 16,586,954 | $ | 39,606,657 | $ | 299,900 | $ | 11,828,547 | ||||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 66,900,000 | 130,800,000 | 6,600,000 | 47,700,000 | ||||||||||||
Shares redeemed | (19,600,000 | ) | (54,800,000 | ) | (29,100,000 | ) | (28,500,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 47,300,000 | 76,000,000 | (22,500,000 | ) | 19,200,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Italy ETF | iShares MSCI Spain ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017a | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 4,275,083 | $ | 14,617,536 | $ | 12,354,078 | $ | 29,663,738 | ||||||||
Net realized gain (loss) | 38,112,272 | (44,661,565 | ) | 78,893,839 | (76,940,027 | ) | ||||||||||
Net change in unrealized appreciation/depreciation | 3,983,347 | 222,005,377 | (100,843,078 | ) | 304,908,943 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | 46,370,702 | 191,961,348 | (9,595,161 | ) | 257,632,654 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (4,045,646 | ) | (15,689,552 | ) | (17,718,786 | ) | (28,748,503 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (4,045,646 | ) | (15,689,552 | ) | (17,718,786 | ) | (28,748,503 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 60,641,414 | 478,934,035 | 238,884,886 | 827,558,231 | ||||||||||||
Cost of shares redeemed | (233,140,414 | ) | (275,606,026 | ) | (657,154,880 | ) | (127,852,787 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (172,499,000 | ) | 203,328,009 | (418,269,994 | ) | 699,705,444 | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (130,173,944 | ) | 379,599,805 | (445,583,941 | ) | 928,589,595 | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 840,630,427 | 461,030,622 | 1,528,533,491 | 599,943,896 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 710,456,483 | $ | 840,630,427 | $ | 1,082,949,550 | $ | 1,528,533,491 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed net investment income included in net assets at end of period | $ | 2,039,546 | $ | 1,810,109 | $ | 3,979,123 | $ | 9,343,831 | ||||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,950,000 | 20,625,000 | 7,200,000 | 27,300,000 | ||||||||||||
Shares redeemed | (7,500,000 | ) | (13,200,000 | ) | (19,875,000 | ) | (4,500,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (5,550,000 | ) | 7,425,000 | (12,675,000 | ) | 22,800,000 | ||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
FINANCIAL STATEMENTS | 33 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Switzerland ETF | ||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income (loss) | $ | (3,390,860 | ) | $ | 23,926,958 | |||
Net realized gain | 16,403,702 | 30,303,367 | ||||||
Net change in unrealized appreciation/depreciation | 12,833,563 | 106,883,974 | ||||||
|
|
|
| |||||
Net increase in net assets resulting from operations | 25,846,405 | 161,114,299 | ||||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | — | (25,105,668 | ) | |||||
|
|
|
| |||||
Total distributions to shareholders | — | (25,105,668 | ) | |||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 165,794,422 | 196,663,250 | ||||||
Cost of shares redeemed | (131,201,522 | ) | (165,149,192 | ) | ||||
|
|
|
| |||||
Net increase in net assets from capital share transactions | 34,592,900 | 31,514,058 | ||||||
|
|
|
| |||||
INCREASE IN NET ASSETS | 60,439,305 | 167,522,689 | ||||||
NET ASSETS | ||||||||
Beginning of period | 1,259,257,663 | 1,091,734,974 | ||||||
|
|
|
| |||||
End of period | $ | 1,319,696,968 | $ | 1,259,257,663 | ||||
|
|
|
| |||||
Distributions in excess of net investment income included in net assets at end of period | $ | (3,760,168 | ) | $ | (369,308 | ) | ||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 4,750,000 | 5,875,000 | ||||||
Shares redeemed | (3,750,000 | ) | (5,250,000 | ) | ||||
|
|
|
| |||||
Net increase in shares outstanding | 1,000,000 | 625,000 | ||||||
|
|
|
|
See notes to financial statements.
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Eurozone ETF | ||||||||||||||||||||||||
Six months Feb. 28, 2018 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 41.71 | $ | 34.20 | $ | 36.04 | $ | 39.98 | $ | 34.64 | $ | 29.09 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.13 | 0.99 | 0.92 | b | 0.96 | 1.18 | 0.92 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 2.22 | 7.38 | (1.84 | ) | (3.95 | ) | 5.10 | 5.55 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 2.35 | 8.37 | (0.92 | ) | (2.99 | ) | 6.28 | 6.47 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.19 | ) | (0.86 | ) | (0.92 | ) | (0.95 | ) | (0.94 | ) | (0.92 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.19 | ) | (0.86 | ) | (0.92 | ) | (0.95 | ) | (0.94 | ) | (0.92 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 43.87 | $ | 41.71 | $ | 34.20 | $ | 36.04 | $ | 39.98 | $ | 34.64 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 5.62 | %d | 24.72 | % | (2.53 | )%b | (7.62 | )% | 18.02 | % | 22.43 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 16,046,727 | $ | 13,286,216 | $ | 8,293,591 | $ | 10,134,616 | $ | 8,702,637 | $ | 3,539,980 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claims (Note 8)e | n/a | 0.49 | % | 0.48 | % | n/a | n/a | n/a | ||||||||||||||||
Ratio of net investment income to average net assetse | 0.61 | % | 2.63 | % | 2.69 | %b | 2.50 | % | 2.89 | % | 2.74 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 4 | % | 4 | % | 5 | % | 7 | % | 5 | % |
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 | 35 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Germany ETF | ||||||||||||||||||||||||
Six months Feb. 28, 2018 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 30.71 | $ | 26.18 | $ | 26.34 | $ | 28.97 | $ | 25.61 | $ | 21.34 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.00 | b | 0.59 | 0.49 | 0.58 | 0.59 | 0.46 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 1.96 | 4.54 | (0.04 | ) | (2.70 | ) | 3.40 | 4.24 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.96 | 5.13 | 0.45 | (2.12 | ) | 3.99 | 4.70 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.08 | ) | (0.60 | ) | (0.61 | ) | (0.51 | ) | (0.63 | ) | (0.43 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.08 | ) | (0.60 | ) | (0.61 | ) | (0.51 | ) | (0.63 | ) | (0.43 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 32.59 | $ | 30.71 | $ | 26.18 | $ | 26.34 | $ | 28.97 | $ | 25.61 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.39 | %d | 19.63 | % | 1.81 | % | (7.50 | )% | 15.41 | % | 22.11 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 4,370,947 | $ | 4,809,899 | $ | 3,596,902 | $ | 6,607,056 | $ | 4,797,434 | $ | 4,655,875 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.01 | % | 2.08 | % | 1.90 | % | 2.03 | % | 1.95 | % | 1.88 | % | ||||||||||||
Portfolio turnover ratef | 3 | %d | 3 | % | 3 | % | 3 | % | 6 | % | 4 | % |
a | Based on average shares outstanding throughout each period. |
b | Rounds to less than $0.01. |
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.
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Italy ETF | ||||||||||||||||||||||||
Six months Feb. 28, 2018 | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 30.21 | $ | 22.60 | $ | 29.50 | $ | 32.03 | $ | 26.12 | $ | 23.57 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.17 | 0.57 | 0.66 | 0.70 | 0.82 | 0.72 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 1.68 | 7.76 | (6.82 | ) | (2.49 | ) | 5.77 | 2.45 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.85 | 8.33 | (6.16 | ) | (1.79 | ) | 6.59 | 3.17 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.17 | ) | (0.72 | ) | (0.72 | ) | (0.74 | ) | (0.68 | ) | (0.60 | ) | ||||||||||||
Return of capital | — | — | (0.02 | ) | — | — | (0.02 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.17 | ) | (0.72 | ) | (0.74 | ) | (0.74 | ) | (0.68 | ) | (0.62 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 31.89 | $ | 30.21 | $ | 22.60 | $ | 29.50 | $ | 32.03 | $ | 26.12 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 6.18 | %d | 37.37 | % | (20.97 | )% | (5.66 | )% | 25.20 | % | 13.58 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 710,456 | $ | 840,630 | $ | 461,031 | $ | 1,077,437 | $ | 1,556,860 | $ | 717,122 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.10 | % | 2.59 | % | 2.54 | % | 2.34 | % | 2.49 | % | 2.78 | % | ||||||||||||
Portfolio turnover ratef | 4 | %d | 18 | % | 16 | % | 22 | % | 24 | % | 45 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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 | 37 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Spain ETF | ||||||||||||||||||||||||
Six months Feb. 28, 2018 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 33.63 | $ | 26.49 | $ | 31.96 | $ | 40.61 | $ | 30.44 | $ | 26.28 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.37 | 0.94 | 1.00 | 1.32 | 1.80 | 1.33 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (0.38 | ) | 7.19 | (5.40 | ) | (8.35 | ) | 9.53 | 4.07 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (0.01 | ) | 8.13 | (4.40 | ) | (7.03 | ) | 11.33 | 5.40 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.58 | ) | (0.99 | ) | (1.07 | ) | (1.62 | ) | (1.16 | ) | (1.24 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.58 | ) | (0.99 | ) | (1.07 | ) | (1.62 | ) | (1.16 | ) | (1.24 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 33.04 | $ | 33.63 | $ | 26.49 | $ | 31.96 | $ | 40.61 | $ | 30.44 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (0.02 | )%c | 31.48 | % | (13.82 | )% | (17.63 | )% | 37.39 | % | 20.88 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,082,950 | $ | 1,528,533 | $ | 599,944 | $ | 1,666,091 | $ | 2,473,038 | $ | 417,778 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.25 | % | 3.10 | % | 3.53 | % | 3.70 | % | 4.48 | % | 4.45 | % | ||||||||||||
Portfolio turnover ratee | 9 | %c | 16 | % | 9 | % | 15 | % | 15 | % | 24 | % |
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.
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Switzerland ETF | ||||||||||||||||||||||||
Six months Feb. 28, 2018 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 34.27 | $ | 30.22 | $ | 31.90 | $ | 33.64 | $ | 29.36 | $ | 23.85 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment income (loss)a | (0.09 | ) | 0.69 | 0.81 | 0.83 | 0.80 | 0.67 | |||||||||||||||||
Net realized and unrealized gain (loss)b | 0.78 | 4.11 | (1.70 | ) | (1.77 | ) | 4.27 | 5.44 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.69 | 4.80 | (0.89 | ) | (0.94 | ) | 5.07 | 6.11 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | — | (0.75 | ) | (0.79 | ) | (0.80 | ) | (0.79 | ) | (0.60 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | — | (0.75 | ) | (0.79 | ) | (0.80 | ) | (0.79 | ) | (0.60 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 34.96 | $ | 34.27 | $ | 30.22 | $ | 31.90 | $ | 33.64 | $ | 29.36 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 2.01 | %c | 15.90 | % | (2.76 | )% | (2.92 | )% | 17.21 | % | 25.71 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,319,697 | $ | 1,259,258 | $ | 1,091,735 | $ | 1,200,164 | $ | 1,072,157 | $ | 902,860 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income (loss) to average net assetsd | (0.53 | )% | 2.18 | % | 2.68 | % | 2.49 | % | 2.41 | % | 2.38 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 13 | % | 6 | % | 7 | % | 5 | % | 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.
FINANCIAL HIGHLIGHTS | 39 |
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 | Former Name | Diversification Classification | ||
MSCI Eurozone | N/A | Diversified | ||
MSCI Germany | N/A | Non-diversified | ||
MSCI Italy | iShares MSCI Italy Capped ETF | Non-diversified | ||
MSCI Spain | iShares MSCI Spain Capped ETF | Non-diversified | ||
MSCI Switzerland | iShares MSCI Switzerland Capped ETF | 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. |
40 | 2018 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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 41 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, 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.
42 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 43 |
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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Eurozone | ||||||||||||
Barclays Capital Inc. | $ | 6,251,392 | $ | 6,251,392 | $ | — | ||||||
Citigroup Global Markets Inc. | 3,267,675 | 3,267,675 | — | |||||||||
Credit Suisse Securities (USA) LLC | 14,650,762 | 14,650,762 | — | |||||||||
Goldman Sachs & Co. | 139,899 | 139,899 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 5,485,924 | 5,485,924 | — | |||||||||
Morgan Stanley & Co. LLC | 19,801,628 | 19,801,628 | — | |||||||||
UBS AG | 4,655,999 | 4,655,999 | — | |||||||||
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| |||||||
$ | 54,253,279 | $ | 54,253,279 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Germany | ||||||||||||
Goldman Sachs & Co. | $ | 12,754,230 | $ | 12,754,230 | $ | — | ||||||
Morgan Stanley & Co. LLC | 11,467,472 | 11,467,472 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 24,221,702 | $ | 24,221,702 | $ | — | |||||||
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| |||||||
MSCI Spain | ||||||||||||
Citigroup Global Markets Inc. | $ | 3,768,876 | $ | 3,768,876 | $ | — | ||||||
Goldman Sachs & Co. | 10,626,863 | 10,626,863 | — | |||||||||
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|
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| |||||||
$ | 14,395,739 | $ | 14,395,739 | $ | — | |||||||
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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 Fund, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, 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, up to and including $96 billion | ||||
0.32 | Over $96 billion |
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Eurozone | $ | 123,223 | ||
MSCI Germany | 70,721 | |||
MSCI Italy | 299 | |||
MSCI Spain | 6,142 |
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, 2018, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Eurozone | $ | 38,777,309 | $ | 34,157,805 | ||||
MSCI Germany | 21,940,688 | 7,836,754 | ||||||
MSCI Italy | 5,708,879 | 4,415,526 | ||||||
MSCI Spain | 22,403,278 | 8,860,253 | ||||||
MSCI Switzerland | 6,028,679 | 9,793,602 |
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.
NOTESTO FINANCIAL STATEMENTS | 45 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
It is possible that, from time to time, BlackRock and/or funds managed by BFA or an affiliate (collectively, “Affiliates”) may purchase and hold shares of the Fund. Affiliates reserve the right, subject to compliance with applicable law, to sell into the market or redeem in Creation Units through an authorized participant at any time some or all of the shares of the Fund acquired for their own accounts. A large sale or redemption of shares of the Fund by Affiliates could significantly reduce the asset size of the Fund, which might have an adverse effect on the Fund. As of February 28, 2018, the number of affiliated accounts that individually that individually represent more than 10% ownership of the Fund’s total shares outstanding and the aggregate percentage of net assets represented by such holdings were as follows:
iShares ETF | Number of Affiliated | Aggregate Ownership | ||||||
MSCI Eurozone | 1 | 13 | % | |||||
MSCI Germany | 1 | 14 | % |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Eurozone | $ | 347,791,751 | $ | 308,468,772 | ||||
MSCI Germany | 131,241,905 | 134,485,699 | ||||||
MSCI Italy | 34,473,904 | 35,592,529 | ||||||
MSCI Spain | 107,096,580 | 119,570,660 | ||||||
MSCI Switzerland | 51,641,864 | 43,964,885 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Eurozone | $ | 2,844,178,488 | $ | 843,273,827 | ||||
MSCI Germany | 206,482,802 | 954,072,574 | ||||||
MSCI Italy | 56,954,894 | 228,052,283 | ||||||
MSCI Spain | 216,049,644 | 642,322,756 | ||||||
MSCI Switzerland | 161,748,668 | 127,026,624 |
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.
46 | 2018 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.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
iShares MSCI Spain ETF | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation) a | $ | 1,836 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities. |
NOTESTO FINANCIAL STATEMENTS | 47 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Liabilities | ||||||||||||
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy ETF | ||||||||||
Futures contracts: | ||||||||||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation) b | $ | 1,822,579 | $ | 1,300,437 | $ | 30,878 | ||||||
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|
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|
Liabilities | ||||
iShares MSCI Switzerland ETF | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation) b | $ | 193,892 | ||
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| |||
b | Represents cumulative depreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities. |
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy ETF | ||||||||||
Futures contracts | $ | (146,532 | ) | $ | 976,061 | $ | 16,010 | |||||
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| |||||||
Net Realized Gain (Loss) | ||||||||
iShares MSCI Spain ETF | iShares MSCI Switzerland ETF | |||||||
Futures contracts | $ | (187,432 | ) | $ | 301,595 | |||
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|
|
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy ETF | ||||||||||
Futures contracts | $ | (1,822,579 | ) | $ | 249,959 | $ | (30,878 | ) | ||||
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48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Net Change in Unrealized Appreciation/Depreciation | ||||||||
iShares MSCI Spain ETF | iShares MSCI Switzerland ETF | |||||||
Futures contracts | $ | 1,836 | $ | (193,892 | ) | |||
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| |||||
The following table shows the average quarter-end balances of open futures contracts for the six months ended February 28, 2018:
iShares MSCI Eurozone ETF | iShares MSCI Germany ETF | iShares MSCI Italy ETF | ||||||||||
Average notional value of contracts purchased | $ | 32,059,059 | $ | 26,512,016 | $ | 721,828 |
iShares MSCI Spain ETF | iShares MSCI Switzerland ETF | |||||||
Average notional value of contracts purchased | $ | 1,006,227 | $ | 3,749,027 |
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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 | 49 |
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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.
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The tax character of current year distributions will be determined at the end of the current fiscal year.
As of August 31, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
MSCI Eurozone | $ | 263,923,287 | $ | 68,035,542 | $ | 30,230,739 | $ | 362,189,568 | ||||||||
MSCI Germany | 73,191,131 | 28,490,949 | 32,215,954 | 133,898,034 | ||||||||||||
MSCI Italy | 181,005,358 | 18,169,627 | 9,459,662 | 208,634,647 | ||||||||||||
MSCI Spain | 141,557,230 | 15,120,672 | 8,619,903 | 165,297,805 | ||||||||||||
MSCI Switzerland | 31,918,774 | 22,569,380 | 6,955,758 | 61,443,912 |
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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Eurozone | $ | 15,276,466,309 | $ | 1,686,771,303 | $ | (902,911,592 | ) | $ | 783,859,711 | |||||||
MSCI Germany | 4,442,632,494 | 501,046,692 | (576,469,934 | ) | (75,423,242 | ) | ||||||||||
MSCI Italy | 727,318,910 | 62,598,867 | (80,509,933 | ) | (17,911,066 | ) | ||||||||||
MSCI Spain | 1,240,368,993 | 35,226,976 | (176,713,379 | ) | (141,486,403 | ) | ||||||||||
MSCI Switzerland | 1,307,847,561 | 90,355,194 | (84,313,370 | ) | 6,041,824 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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 impacts to the receivables and payables 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 that result in the recovery of foreign withholding taxes have been 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
NOTESTO FINANCIAL STATEMENTS | 51 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
which the Fund is able to pass through to its shareholders as a foreign tax credit 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. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
10. | 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.
52 | 2018 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 | $ | 0.168471 | $ | — | $ | 0.023018 | $ | 0.191489 | 88 | % | — | % | 12 | % | 100 | % | ||||||||||||||||
MSCI Germany | 0.038888 | — | 0.045541 | 0.084429 | 46 | — | 54 | 100 | ||||||||||||||||||||||||
MSCI Spain | 0.509667 | — | 0.070801 | 0.580468 | 88 | — | 12 | 100 |
SUPPLEMENTAL INFORMATION | 53 |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-807-0218
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Table of Contents
FEBRUARY 28, 2018
2018 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 ETF | EWS | NYSE Arca |
Ø | iShares MSCI Taiwan ETF | EWT | NYSE Arca |
Ø | iShares MSCI Thailand ETF | THD | NYSE Arca |
Table of Contents
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Table of Contents
iSHARES® MSCI HONG KONG ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 7.35%, net of fees, while the total return for the Index was 7.57%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 24.96% | 23.86% | 25.50% | 24.96% | 23.86% | 25.50% | ||||||||||||||||||||||
5 Years | 8.63% | 8.45% | 9.26% | 51.29% | 50.05% | 55.69% | ||||||||||||||||||||||
10 Years | 6.42% | 6.72% | 7.00% | 86.30% | 91.62% | 96.64% |
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,073.50 | $ | 2.42 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 34.98 | % | ||
Real Estate | 25.32 | |||
Consumer Discretionary | 13.44 | |||
Industrials | 12.41 | |||
Utilities | 9.72 | |||
Consumer Staples | 2.00 | |||
Telecommunication Services | 1.33 | |||
Information Technology | 0.80 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
AIA Group Ltd. | 18.53 | % | ||
Hong Kong Exchanges & Clearing Ltd. | 7.83 | |||
CK Hutchison Holdings Ltd. | 6.20 | |||
Sun Hung Kai Properties Ltd. | 4.43 | |||
CK Asset Holdings Ltd. | 4.10 | |||
Galaxy Entertainment Group Ltd. | 3.80 | |||
Hang Seng Bank Ltd. | 3.49 | |||
Link REIT | 3.45 | |||
BOC Hong Kong Holdings Ltd. | 3.43 | |||
Hong Kong & China Gas Co. Ltd. | 3.04 | |||
|
| |||
TOTAL | 58.30 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI JAPAN SMALL-CAP ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 13.55%, net of fees, while the total return for the Index was 13.73%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.00% | 25.22% | 26.37% | 26.00% | 25.22% | 26.37% | ||||||||||||||||||||||
5 Years | 14.06% | 13.92% | 14.47% | 93.06% | 91.85% | 96.57% | ||||||||||||||||||||||
10 Years | 7.75% | 7.70% | 8.10% | 111.03% | 110.06% | 117.85% |
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,135.50 | $ | 2.49 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Industrials | 24.82 | % | ||
Consumer Discretionary | 17.36 | |||
Information Technology | 12.51 | |||
Materials | 10.62 | |||
Consumer Staples | 10.34 | |||
Real Estate | 8.88 | |||
Financials | 7.70 | |||
Health Care | 6.19 | |||
Utilities | 0.95 | |||
Energy | 0.63 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Showa Denko KK | 0.79 | % | ||
Nihon M&A Center Inc. | 0.56 | |||
Pigeon Corp. | 0.55 | |||
CyberAgent Inc. | 0.53 | |||
Sojitz Corp. | 0.50 | |||
Haseko Corp. | 0.49 | |||
Furukawa Electric Co. Ltd. | 0.47 | |||
Orix JREIT Inc. | 0.47 | |||
SCREEN Holdings Co. Ltd. | 0.46 | |||
Ebara Corp. | 0.46 | |||
|
| |||
TOTAL | 5.28 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI MALAYSIA ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 15.09%, net of fees, while the total return for the Index was 15.26%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.16% | 25.52% | 26.62% | 26.16% | 25.52% | 26.62% | ||||||||||||||||||||||
5 Years | 0.03% | (0.18)% | 0.30% | 0.15% | (0.87)% | 1.50% | ||||||||||||||||||||||
10 Years | 2.98% | 3.12% | 3.37% | 34.13% | 35.93% | 39.25% |
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,150.90 | $ | 2.51 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 33.29 | % | ||
Utilities | 13.87 | |||
Consumer Staples | 11.28 | |||
Industrials | 10.42 | |||
Telecommunication Services | 8.96 | |||
Consumer Discretionary | 8.03 | |||
Materials | 5.06 | |||
Health Care | 3.72 | |||
Energy | 3.22 | |||
Real Estate | 2.15 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Public Bank Bhd | 12.53 | % | ||
Tenaga Nasional Bhd | 9.98 | |||
Malayan Banking Bhd | 8.44 | |||
CIMB Group Holdings Bhd | 6.20 | |||
Genting Bhd | 3.83 | |||
Petronas Chemicals Group Bhd | 3.63 | |||
Genting Malaysia Bhd | 2.93 | |||
DiGi.Com Bhd | 2.81 | |||
Axiata Group Bhd | 2.74 | |||
Hong Leong Bank Bhd | 2.43 | |||
|
| |||
TOTAL | 55.52 | % | ||
|
|
* | 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, 2018
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, 2018, the total return for the Fund was 6.35%, net of fees, while the total return for the Index was 6.56%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 15.67% | 14.55% | 16.07% | 15.67% | 14.55% | 16.07% | ||||||||||||||||||||||
5 Years | 3.61% | 3.49% | 4.03% | 19.41% | 18.70% | 21.85% | ||||||||||||||||||||||
10 Years | 4.22% | 4.39% | 4.53% | 51.11% | 53.71% | 55.68% |
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,063.50 | $ | 2.46 | $ | 1,000.00 | $ | 1,022.40 | $ | 2.41 | 0.48% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 39.71 | % | ||
Real Estate | 13.92 | |||
Materials | 10.39 | |||
Industrials | 8.65 | |||
Consumer Discretionary | 6.19 | |||
Consumer Staples | 5.26 | |||
Health Care | 5.09 | |||
Utilities | 4.34 | |||
Energy | 3.11 | |||
Telecommunication Services | 2.57 | |||
Information Technology | 0.77 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
ALLOCATION BY COUNTRY
As of 2/28/18
Country | Percentage of Total Investments* |
Australia | 57.16 | % | ||
Hong Kong | 30.24 | |||
Singapore | 11.21 | |||
New Zealand | 1.39 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
* | Excludes money market funds. |
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SINGAPORE ETF
Performance as of February 28, 2018
The iShares MSCI Singapore ETF (the “Fund”) (formerly the iShares MSCI Singapore Capped 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, 2018, the total return for the Fund was 11.54%, net of fees, while the total return for the Index was 11.80%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 24.90% | 24.01% | 25.44% | 24.90% | 24.01% | 25.44% | ||||||||||||||||||||||
5 Years | 3.27% | 3.27% | 3.70% | 17.47% | 17.44% | 19.93% | ||||||||||||||||||||||
10 Years | 4.59% | 4.82% | 4.88% | 56.68% | 60.09% | 61.05% |
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.
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,115.40 | $ | 2.47 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 47.58 | % | ||
Industrials | 18.86 | |||
Real Estate | 17.03 | |||
Consumer Discretionary | 6.78 | |||
Telecommunication Services | 5.57 | |||
Consumer Staples | 4.18 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
DBS Group Holdings Ltd. | 18.01 | % | ||
Oversea-Chinese Banking Corp. Ltd. | 14.10 | |||
United Overseas Bank Ltd. | 12.66 | |||
Singapore Telecommunications Ltd. | 4.54 | |||
Keppel Corp. Ltd. | 4.53 | |||
CapitaLand Ltd. | 3.26 | |||
Genting Singapore PLC | 3.14 | |||
Ascendas REIT | 3.02 | |||
Singapore Airlines Ltd. | 2.82 | |||
Singapore Exchange Ltd. | 2.81 | |||
|
| |||
TOTAL | 68.89 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI TAIWAN ETF
Performance as of February 28, 2018
The iShares MSCI Taiwan ETF (the “Fund”) (formerly the iShares MSCI Taiwan Capped 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, 2018, the total return for the Fund was 3.44%, 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 | 18.47% | 16.42% | 19.09% | 18.47% | 16.42% | 19.09% | ||||||||||||||||||||||
5 Years | 9.47% | 8.86% | 10.19% | 57.18% | 52.88% | 62.48% | ||||||||||||||||||||||
10 Years | 4.97% | 4.86% | 5.56% | 62.40% | 60.68% | 71.72% |
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.
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 page12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,034.40 | $ | 2.98 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 56.44 | % | ||
Financials | 17.96 | |||
Materials | 9.63 | |||
Telecommunication Services | 4.29 | |||
Consumer Discretionary | 3.44 | |||
Consumer Staples | 3.28 | |||
Industrials | 3.10 | |||
Energy | 0.96 | |||
Real Estate | 0.53 | |||
Health Care | 0.37 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Taiwan Semiconductor Manufacturing Co. Ltd. | 22.90 | % | ||
Hon Hai Precision Industry Co. Ltd. | 7.72 | |||
MediaTek Inc. | 2.66 | |||
Cathay Financial Holding Co. Ltd. | 2.54 | |||
Formosa Plastics Corp. | 2.45 | |||
Chunghwa Telecom Co. Ltd. | 2.40 | |||
Nan Ya Plastics Corp. | 2.21 | |||
CTBC Financial Holding Co. Ltd. | 2.16 | |||
Largan Precision Co. Ltd. | 2.09 | |||
Fubon Financial Holding Co. Ltd. | 2.00 | |||
|
| |||
TOTAL | 49.13 | % | ||
|
|
* | Excludes money market funds. |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI THAILAND ETF
Performance as of February 28, 2018
The iShares MSCI Thailand ETF (the “Fund”) (formerly the iShares MSCI Thailand Capped ETF) seeks to track the investment results of a broad-based index composed of Thai equities, as represented by the MSCI Thailand IMI 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, 2018, the total return for the Fund was 22.82%, net of fees, while the total return for the Index was 23.09%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 37.29% | 37.33% | 37.78% | 37.29% | 37.33% | 37.78% | ||||||||||||||||||||||
5 Years | 4.96% | 4.97% | 5.14% | 27.39% | 27.46% | 28.49% | ||||||||||||||||||||||
Since Inception | 10.20% | 10.16% | 10.54% | 162.40% | 161.45% | 170.51% |
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 IMI 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 12 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,228.20 | $ | 3.26 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Energy | 21.42 | % | ||
Financials | 19.46 | |||
Industrials | 11.18 | |||
Consumer Staples | 10.88 | |||
Materials | 9.99 | |||
Consumer Discretionary | 6.75 | |||
Real Estate | 5.77 | |||
Telecommunication Services | 5.58 | |||
Health Care | 4.19 | |||
Utilities | 2.98 | |||
Information Technology | 1.80 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
PTT PCL NVDR | 11.45 | % | ||
CP ALL PCL NVDR | 7.93 | |||
Airports of Thailand PCL NVDR | 5.81 | |||
Kasikornbank PCL Foreign | 5.21 | |||
Siam Commercial Bank PCL (The) NVDR | 4.46 | |||
PTT Global Chemical PCL NVDR | 4.13 | |||
Advanced Info Service PCL NVDR | 3.96 | |||
PTT Exploration & Production PCL NVDR | 3.09 | |||
Siam Cement PCL (The) Foreign | 2.81 | |||
Kasikornbank PCL NVDR | 2.77 | |||
|
| |||
TOTAL | 51.62 | % | ||
|
|
* | 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, 2017 and held through February 28, 2018, 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 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.77% |
| |||||||
AUTO COMPONENTS — 0.80% |
| |||||||
Minth Group Ltd. | 3,086,000 | $ | 18,258,956 | |||||
|
| |||||||
18,258,956 | ||||||||
BANKS — 7.89% |
| |||||||
Bank of East Asia Ltd. (The)a | 5,146,210 | 22,655,608 | ||||||
BOC Hong Kong Holdings Ltd. | 15,419,500 | 78,030,516 | ||||||
Hang Seng Bank Ltd. | 3,186,900 | 79,211,283 | ||||||
|
| |||||||
179,897,407 | ||||||||
CAPITAL MARKETS — 8.26% |
| |||||||
Hong Kong Exchanges & Clearing Ltd. | 4,905,200 | 178,022,159 | ||||||
Kingston Financial Group Ltd.a | 17,058,000 | 10,310,702 | ||||||
|
| |||||||
188,332,861 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.25% |
| |||||||
First Pacific Co. Ltd./Hong Kong | 9,062,999 | 5,663,433 | ||||||
|
| |||||||
5,663,433 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.33% |
| |||||||
HKT Trust & HKT Ltd. | 15,760,500 | 20,140,442 | ||||||
PCCW Ltd. | 17,721,169 | 10,100,113 | ||||||
|
| |||||||
30,240,555 | ||||||||
ELECTRIC UTILITIES — 6.66% |
| |||||||
CK Infrastructure Holdings Ltd. | 2,763,500 | 23,201,916 | ||||||
CLP Holdings Ltd. | 6,841,700 | 69,157,536 | ||||||
HK Electric Investments & HK Electric Investments Ltd.a,b | 11,023,000 | 10,339,389 | ||||||
Power Assets Holdings Ltd. | 5,779,500 | 49,151,563 | ||||||
|
| |||||||
151,850,404 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Link REIT | 9,164,500 | 78,349,079 | ||||||
|
| |||||||
78,349,079 | ||||||||
FOOD PRODUCTS — 1.99% |
| |||||||
WH Group Ltd.b | 36,641,000 | 45,419,051 | ||||||
|
| |||||||
45,419,051 | ||||||||
GAS UTILITIES — 3.04% |
| |||||||
Hong Kong & China Gas Co. Ltd. | 34,966,802 | 69,171,290 | ||||||
|
| |||||||
69,171,290 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 9.90% |
| |||||||
Galaxy Entertainment Group Ltd. | 9,860,000 | 86,311,068 | ||||||
Melco Resorts & Entertainment Ltd. ADR | 1,026,209 | 28,169,437 |
Security | Shares | Value | ||||||
MGM China Holdings Ltd. | 3,969,488 | $ | 11,692,420 | |||||
Sands China Ltd. | 10,091,200 | 56,934,109 | ||||||
Shangri-La Asia Ltd. | 5,212,000 | 11,735,709 | ||||||
SJM Holdings Ltd.a | 8,265,000 | 7,931,983 | ||||||
Wynn Macau Ltd. | 6,492,000 | 22,814,461 | ||||||
|
| |||||||
225,589,187 | ||||||||
HOUSEHOLD DURABLES — 1.58% |
| |||||||
Techtronic Industries Co. Ltd. | 5,733,147 | 35,972,745 | ||||||
|
| |||||||
35,972,745 | ||||||||
INDUSTRIAL CONGLOMERATES — 10.93% |
| |||||||
CK Hutchison Holdings Ltd. | 11,251,267 | 140,905,034 | ||||||
Jardine Matheson Holdings Ltd. | 906,000 | 59,025,900 | ||||||
Jardine Strategic Holdings Ltd. | 924,100 | 36,806,903 | ||||||
NWS Holdings Ltd. | 6,479,000 | 12,220,623 | ||||||
|
| |||||||
248,958,460 | ||||||||
INSURANCE — 18.49% |
| |||||||
AIA Group Ltd. | 50,301,400 | 421,358,513 | ||||||
|
| |||||||
421,358,513 | ||||||||
REAL ESTATE MANAGEMENT & |
| |||||||
CK Asset Holdings Ltd. | 10,784,267 | 93,299,283 | ||||||
Hang Lung Group Ltd. | 3,698,000 | 12,523,098 | ||||||
Hang Lung Properties Ltd. | 8,427,000 | 20,137,873 | ||||||
Henderson Land Development Co. Ltd. | 5,004,862 | 32,618,297 | ||||||
Hongkong Land Holdings Ltd. | 4,896,700 | 33,738,263 | ||||||
Hysan Development Co. Ltd. | 2,619,000 | 15,177,904 | ||||||
Kerry Properties Ltd. | 2,707,000 | 12,297,784 | ||||||
New World Development Co. Ltd. | 24,578,066 | 37,438,890 | ||||||
Sino Land Co. Ltd. | 13,146,000 | 23,250,309 | ||||||
Sun Hung Kai Properties Ltd. | 6,034,000 | 100,781,286 | ||||||
Swire Pacific Ltd. Class A | 2,077,000 | 21,021,354 | ||||||
Swire Properties Ltd. | 4,868,800 | 16,643,502 | ||||||
Wharf Holdings Ltd. (The) | 5,069,150 | 18,980,243 | ||||||
Wharf Real Estate Investment Co. Ltd.c | 5,058,150 | 34,387,638 | ||||||
Wheelock & Co. Ltd. | 3,408,357 | 24,848,474 | ||||||
|
| |||||||
497,144,198 | ||||||||
ROAD & RAIL — 1.46% |
| |||||||
MTR Corp. Ltd. | 6,256,083 | 33,177,954 | ||||||
|
| |||||||
33,177,954 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 0.80% |
| |||||||
ASM Pacific Technology Ltd. | 1,269,800 | 18,255,211 | ||||||
|
| |||||||
18,255,211 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI HONG KONG ETF
February 28, 2018
Security | Shares | Value | ||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.13% |
| |||||||
Li & Fung Ltd. | 24,770,000 | $ | 12,503,227 | |||||
Yue Yuen Industrial Holdings Ltd. | 3,098,500 | 13,264,635 | ||||||
|
| |||||||
25,767,862 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $2,061,606,921) |
| 2,273,407,166 | ||||||
SHORT-TERM INVESTMENTS — 1.43% |
| |||||||
MONEY MARKET FUNDS — 1.43% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 31,560,551 | 31,563,707 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 925,756 | 925,756 | ||||||
|
| |||||||
32,489,463 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $32,487,548) |
| 32,489,463 | ||||||
|
|
Value | ||||||
TOTAL INVESTMENTS |
| |||||
(Cost: $2,094,094,469) | $ | 2,305,896,629 | ||||
Other Assets, Less Liabilities — (1.20)% | (27,335,823 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 2,278,560,806 | ||||
|
|
ADR — American Depositary Receipts
a | All or a portion of this security is on loan. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | Non-income producing security. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 33,422,824 | — | (1,862,273 | )b | 31,560,551 | $ | 31,563,707 | $ | 233,344 | c | $ | 2,125 | $ | (3,829 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 109,004 | 816,752 | b | — | 925,756 | 925,756 | 18,228 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 32,489,463 | $ | 251,572 | $ | 2,125 | $ | (3,829 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI HONG KONG ETF
February 28, 2018
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
Hang Seng Index | 23 | Mar 2018 | $ | 4,516 | $ | (37,226 | ) | |||||||||
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, 2018. 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 | $ | 2,273,407,166 | $ | — | $ | — | $ | 2,273,407,166 | ||||||||
Money market funds | 32,489,463 | — | — | 32,489,463 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 2,305,896,629 | $ | — | $ | — | $ | 2,305,896,629 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (37,226 | ) | $ | — | $ | — | $ | (37,226 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (37,226 | ) | $ | — | $ | — | $ | (37,226 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
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® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.84% |
| |||||||
AEROSPACE & DEFENSE — 0.03% |
| |||||||
Jamco Corp.a | 4,600 | $ | 103,980 | |||||
|
| |||||||
103,980 | ||||||||
AIR FREIGHT & LOGISTICS — 0.24% |
| |||||||
Kintetsu World Express Inc. | 18,400 | 363,327 | ||||||
Konoike Transport Co. Ltd. | 13,800 | 244,431 | ||||||
Maruwa Unyu Kikan Co. Ltd.a | 4,600 | 157,350 | ||||||
Mitsui-Soko Holdings Co. Ltd.b | 46,000 | 154,332 | ||||||
|
| |||||||
919,440 | ||||||||
AUTO COMPONENTS — 3.59% |
| |||||||
Aisan Industry Co. Ltd. | 18,400 | 212,099 | ||||||
Akebono Brake Industry Co. Ltd.b | 41,400 | 117,560 | ||||||
Daido Metal Co. Ltd. | 13,800 | 172,266 | ||||||
Daikyonishikawa Corp. | 18,400 | 317,114 | ||||||
Eagle Industry Co. Ltd. | 9,200 | 170,714 | ||||||
Exedy Corp. | 13,800 | 452,003 | ||||||
FCC Co. Ltd. | 13,800 | 392,512 | ||||||
Futaba Industrial Co. Ltd. | 27,600 | 247,017 | ||||||
G-Tekt Corp. | 9,200 | 183,905 | ||||||
Ichikoh Industries Ltd.a | 9,200 | 97,427 | ||||||
Kasai Kogyo Co. Ltd. | 13,800 | 192,312 | ||||||
Keihin Corp. | 18,400 | 387,296 | ||||||
KYB Corp. | 9,200 | 492,311 | ||||||
Mitsuba Corp. | 13,800 | 197,226 | ||||||
Musashi Seimitsu Industry Co. Ltd. | 9,200 | 326,339 | ||||||
NHK Spring Co. Ltd. | 92,000 | 974,275 | ||||||
Nifco Inc./Japan | 18,400 | 1,326,048 | ||||||
Nippon Seiki Co. Ltd. | 23,000 | 493,604 | ||||||
Nissin Kogyo Co. Ltd. | 18,400 | 328,839 | ||||||
Pacific Industrial Co. Ltd. | 18,400 | 258,657 | ||||||
Piolax Inc. | 13,800 | 384,623 | ||||||
Press Kogyo Co. Ltd. | 41,400 | 258,010 | ||||||
Riken Corp. | 4,600 | 271,159 | ||||||
Sanden Holdings Corp.b | 9,200 | 152,263 | ||||||
Showa Corp. | 23,000 | 367,077 | ||||||
Sumitomo Riko Co. Ltd. | 18,400 | 189,854 | ||||||
Tachi-S Co. Ltd. | 13,800 | 251,156 | ||||||
Taiho Kogyo Co. Ltd. | 9,200 | 139,157 | ||||||
Tokai Rika Co. Ltd. | 23,000 | 503,088 | ||||||
Topre Corp. | 13,800 | 418,378 | ||||||
Toyo Tire & Rubber Co. Ltd. | 46,000 | 863,483 | ||||||
Toyota Boshoku Corp. | 27,600 | 594,135 | ||||||
TPR Co. Ltd. | 9,200 | 263,399 |
Security | Shares | Value | ||||||
TS Tech Co. Ltd. | 23,000 | $ | 938,710 | |||||
Unipres Corp. | 18,400 | 453,167 | ||||||
Yorozu Corp. | 9,200 | 170,714 | ||||||
|
| |||||||
13,557,897 | ||||||||
AUTOMOBILES — 0.10% |
| |||||||
Nissan Shatai Co. Ltd. | 36,800 | 374,880 | ||||||
|
| |||||||
374,880 | ||||||||
BANKS — 4.94% |
| |||||||
77 Bank Ltd. (The) | 27,600 | 695,270 | ||||||
Aichi Bank Ltd. (The) | 4,600 | 230,205 | ||||||
Akita Bank Ltd. (The) | 9,200 | 247,535 | ||||||
Aomori Bank Ltd. (The) | 9,200 | 290,558 | ||||||
Awa Bank Ltd. (The) | 92,000 | 594,049 | ||||||
Bank of Iwate Ltd. (The) | 9,200 | 369,448 | ||||||
Bank of Nagoya Ltd. (The) | 4,600 | 168,989 | ||||||
Bank of Okinawa Ltd. (The) | 9,200 | 370,742 | ||||||
Bank of Saga Ltd. (The) | 4,600 | 111,093 | ||||||
Bank of the Ryukyus Ltd. | 18,400 | 279,694 | ||||||
Chiba Kogyo Bank Ltd. (The) | 23,000 | 106,049 | ||||||
Chugoku Bank Ltd. (The) | 73,600 | 915,301 | ||||||
Chukyo Bank Ltd. (The) | 4,600 | 100,014 | ||||||
Daishi Bank Ltd. (The) | 13,800 | 631,770 | ||||||
Ehime Bank Ltd. (The) | 13,800 | 172,266 | ||||||
Eighteenth Bank Ltd. (The) | 92,000 | 243,138 | ||||||
Gunma Bank Ltd. (The) | 161,000 | 1,000,356 | ||||||
Hiroshima Bank Ltd. (The) | 110,400 | 867,018 | ||||||
Hokkoku Bank Ltd. (The) | 9,200 | 385,399 | ||||||
Hokuetsu Bank Ltd. (The) | 9,200 | 207,271 | ||||||
Hokuhoku Financial Group Inc. | 55,200 | 788,387 | ||||||
Hyakugo Bank Ltd. (The) | 92,000 | 456,099 | ||||||
Hyakujushi Bank Ltd. (The) | 92,000 | 311,251 | ||||||
Iyo Bank Ltd. (The) | 110,400 | 881,503 | ||||||
Jimoto Holdings Inc. | 73,600 | 128,294 | ||||||
Juroku Bank Ltd. (The) | 13,800 | 374,018 | ||||||
Kansai Urban Banking Corp. | 13,800 | 185,845 | ||||||
Keiyo Bank Ltd. (The) | 92,000 | 436,268 | ||||||
Kiyo Bank Ltd. (The) | 27,600 | 456,788 | ||||||
Mie Bank Ltd. (The) | 4,600 | 98,979 | ||||||
Minato Bank Ltd. (The) | 9,200 | 178,646 | ||||||
Miyazaki Bank Ltd. (The) | 4,600 | 151,099 | ||||||
Musashino Bank Ltd. (The) | 13,800 | 465,583 | ||||||
Nanto Bank Ltd. (The) | 13,800 | 384,623 | ||||||
Nishi-Nippon Financial Holdings Inc. | 64,400 | 801,492 | ||||||
North Pacific Bank Ltd. | 138,000 | 483,689 | ||||||
Ogaki Kyoritsu Bank Ltd. (The) | 13,800 | 360,051 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Oita Bank Ltd. (The) | 4,600 | $ | 175,671 | |||||
San-in Godo Bank Ltd. (The) | 64,400 | 611,983 | ||||||
Senshu Ikeda Holdings Inc. | 110,400 | 434,544 | ||||||
Shiga Bank Ltd. (The) | 92,000 | 482,826 | ||||||
Shikoku Bank Ltd. (The) | 18,400 | 261,933 | ||||||
Tochigi Bank Ltd. (The) | 41,400 | 171,102 | ||||||
Toho Bank Ltd. (The) | 92,000 | 348,325 | ||||||
Tokyo TY Financial Group Inc. | 9,230 | 231,128 | ||||||
TOMONY Holdings Inc. | 64,400 | 300,559 | ||||||
Towa Bank Ltd. (The) | 13,800 | 185,716 | ||||||
Tsukuba Bank Ltd. | 36,800 | 121,396 | ||||||
Yamagata Bank Ltd. (The) | 9,200 | 201,321 | ||||||
Yamanashi Chuo Bank Ltd. (The) | 46,000 | 188,820 | ||||||
|
| |||||||
18,644,104 | ||||||||
BEVERAGES — 0.71% |
| |||||||
Ito En Ltd. | 23,000 | 972,119 | ||||||
Sapporo Holdings Ltd. | 27,600 | 787,611 | ||||||
Takara Holdings Inc. | 73,600 | 909,093 | ||||||
|
| |||||||
2,668,823 | ||||||||
BIOTECHNOLOGY — 0.86% |
| |||||||
GNI Group Ltd.a,b | 46,000 | 265,124 | ||||||
HEALIOS KKb | 4,600 | 80,313 | ||||||
Japan Tissue Engineering Co. Ltd.b | 9,200 | 119,672 | ||||||
NanoCarrier Co. Ltd.a,b | 18,400 | 181,577 | ||||||
OncoTherapy Science Inc.a,b | 64,400 | 135,191 | ||||||
PeptiDream Inc.a,b | 36,800 | 1,696,790 | ||||||
SanBio Co. Ltd.b | 9,200 | 335,392 | ||||||
Takara Bio Inc. | 23,000 | 427,000 | ||||||
|
| |||||||
3,241,059 | ||||||||
BUILDING PRODUCTS — 1.76% |
| |||||||
Aica Kogyo Co. Ltd. | 23,000 | 878,356 | ||||||
Bunka Shutter Co. Ltd. | 23,000 | 221,152 | ||||||
Central Glass Co. Ltd. | 18,400 | 414,024 | ||||||
Maeda Kosen Co. Ltd. | 9,200 | 169,593 | ||||||
Nichias Corp. | 46,000 | 615,173 | ||||||
Nichiha Corp. | 13,800 | 547,706 | ||||||
Nippon Sheet Glass Co. Ltd.b | 41,400 | 333,668 | ||||||
Nitto Boseki Co. Ltd. | 14,000 | 328,794 | ||||||
Noritz Corp. | 13,800 | 246,888 | ||||||
Okabe Co. Ltd. | 18,400 | 176,749 | ||||||
Sankyo Tateyama Inc. | 13,800 | 201,753 | ||||||
Sanwa Holdings Corp. | 92,000 | 1,288,974 | ||||||
Sekisui Jushi Corp. | 13,800 | 318,665 | ||||||
Sinko Industries Ltd. | 9,200 | 170,369 |
Security | Shares | Value | ||||||
Takara Standard Co. Ltd. | 18,400 | $ | 307,974 | |||||
Takasago Thermal Engineering Co. Ltd. | 23,000 | 424,413 | ||||||
|
| |||||||
6,644,251 | ||||||||
CAPITAL MARKETS — 1.10% |
| |||||||
Ichiyoshi Securities Co. Ltd. | 18,400 | 218,651 | ||||||
Jafco Co. Ltd. | 13,800 | 699,667 | ||||||
kabu.com Securities Co. Ltd. | 64,400 | 235,981 | ||||||
Kyokuto Securities Co. Ltd. | 9,200 | 136,399 | ||||||
M&A Capital Partners Co. Ltd.b | 4,600 | 365,138 | ||||||
Marusan Securities Co. Ltd. | 23,000 | 226,540 | ||||||
Matsui Securities Co. Ltd. | 50,600 | 503,131 | ||||||
Monex Group Inc. | 87,400 | 312,889 | ||||||
Okasan Securities Group Inc. | 92,000 | 597,498 | ||||||
SPARX Group Co. Ltd.a | 46,000 | 134,502 | ||||||
Tokai Tokyo Financial Holdings Inc. | 96,600 | 723,334 | ||||||
|
| |||||||
4,153,730 | ||||||||
CHEMICALS — 7.03% |
| |||||||
Achilles Corp. | 9,200 | 191,406 | ||||||
ADEKA Corp. | 41,400 | 759,288 | ||||||
Chugoku Marine Paints Ltd. | 32,200 | 334,357 | ||||||
Dainichiseika Color & Chemicals Manufacturing Co. Ltd. | 4,800 | 213,448 | ||||||
Denka Co. Ltd. | 36,800 | 1,369,158 | ||||||
DIC Corp. | 36,800 | 1,332,946 | ||||||
Fujimi Inc. | 9,200 | 225,549 | ||||||
Fujimori Kogyo Co. Ltd. | 9,200 | 319,873 | ||||||
Fuso Chemical Co. Ltd. | 9,200 | 259,519 | ||||||
Hodogaya Chemical Co. Ltd. | 4,600 | 217,272 | ||||||
Ishihara Sangyo Kaisha Ltd.b | 13,800 | 198,778 | ||||||
JCU Corp. | 4,600 | 221,152 | ||||||
JSP Corp. | 4,600 | 146,788 | ||||||
Kanto Denka Kogyo Co. Ltd.a | 18,400 | 214,168 | ||||||
KH Neochem Co. Ltd. | 13,800 | 434,544 | ||||||
Koatsu Gas Kogyo Co. Ltd. | 13,800 | 117,430 | ||||||
Konishi Co. Ltd. | 13,800 | 234,990 | ||||||
Kumiai Chemical Industry Co. Ltd. | 38,049 | 242,119 | ||||||
Kureha Corp. | 4,600 | 330,219 | ||||||
Lintec Corp. | 23,000 | 672,508 | ||||||
Nihon Nohyaku Co. Ltd. | 23,000 | 139,675 | ||||||
Nihon Parkerizing Co. Ltd. | 41,400 | 738,724 | ||||||
Nippon Kayaku Co. Ltd. | 59,800 | 773,945 | ||||||
Nippon Shokubai Co. Ltd. | 13,800 | 982,897 | ||||||
Nippon Soda Co. Ltd. | 46,000 | 286,247 | ||||||
NOF Corp. | 28,400 | 787,551 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Okamoto Industries Inc. | 19,000 | $ | 198,004 | |||||
Osaka Soda Co. Ltd.a | 9,200 | 248,225 | ||||||
Sakai Chemical Industry Co. Ltd. | 9,200 | 272,452 | ||||||
Sakata INX Corp. | 18,400 | 244,517 | ||||||
Sanyo Chemical Industries Ltd. | 4,600 | 229,774 | ||||||
Sekisui Plastics Co. Ltd. | 9,200 | 104,239 | ||||||
Shikoku Chemicals Corp. | 13,800 | 195,545 | ||||||
Shin-Etsu Polymer Co. Ltd. | 18,400 | 218,651 | ||||||
Showa Denko KK | 59,800 | 2,981,453 | ||||||
Stella Chemifa Corp.a | 4,600 | 124,371 | ||||||
Sumitomo Bakelite Co. Ltd. | 92,000 | 811,321 | ||||||
Sumitomo Seika Chemicals Co. Ltd. | 4,600 | 237,102 | ||||||
T. Hasegawa Co. Ltd. | 4,600 | 88,202 | ||||||
Taiyo Holdings Co. Ltd. | 9,200 | 418,162 | ||||||
Takasago International Corp. | 4,600 | 137,304 | ||||||
Tanaka Chemical Corp.a,b | 4,600 | 80,141 | ||||||
Tayca Corp. | 4,600 | 117,861 | ||||||
Tenma Corp. | 9,200 | 189,164 | ||||||
Toagosei Co. Ltd. | 50,600 | 594,178 | ||||||
Tokai Carbon Co. Ltd. | 92,000 | 1,606,260 | ||||||
Tokuyama Corp. | 27,600 | 832,876 | ||||||
Tokyo Ohka Kogyo Co. Ltd. | 18,400 | 723,378 | ||||||
Toyo Ink SC Holdings Co. Ltd. | 92,000 | 581,116 | ||||||
Toyobo Co. Ltd. | 36,800 | 726,654 | ||||||
Ube Industries Ltd. | 50,600 | 1,593,327 | ||||||
W-Scope Corp.a | 13,800 | 194,381 | ||||||
Zeon Corp. | 69,000 | 1,043,681 | ||||||
|
| |||||||
26,536,890 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.60% |
| |||||||
Aeon Delight Co. Ltd. | 9,200 | 324,183 | ||||||
Bell System24 Holdings Inc. | 13,800 | 195,674 | ||||||
Daiseki Co. Ltd. | 18,460 | 544,086 | ||||||
Duskin Co. Ltd. | 18,400 | 457,133 | ||||||
Itoki Corp. | 18,400 | 126,052 | ||||||
Kokuyo Co. Ltd. | 36,800 | 696,994 | ||||||
Kyodo Printing Co. Ltd. | 4,600 | 136,873 | ||||||
Matsuda Sangyo Co. Ltd. | 9,260 | 172,782 | ||||||
Mitsubishi Pencil Co. Ltd. | 18,400 | 418,335 | ||||||
Nippon Kanzai Co. Ltd. | 9,200 | 183,129 | ||||||
Nippon Parking Development Co. Ltd. | 87,400 | 151,530 | ||||||
Okamura Corp. | 32,200 | 448,727 | ||||||
Oyo Corp. | 9,200 | 133,898 | ||||||
Pilot Corp. | 18,400 | 989,794 | ||||||
Prestige International Inc. | 18,400 | 237,620 | ||||||
Relia Inc. | 18,400 | 235,378 |
Security | Shares | Value | ||||||
Sato Holdings Corp. | 9,200 | $ | 309,526 | |||||
Toppan Forms Co. Ltd. | 23,000 | 261,675 | ||||||
|
| |||||||
6,023,389 | ||||||||
COMMUNICATIONS EQUIPMENT — 0.17% |
| |||||||
Denki Kogyo Co. Ltd. | 9,200 | 272,021 | ||||||
Hitachi Kokusai Electric Inc. | 9,200 | 268,141 | ||||||
Icom Inc. | 4,600 | 117,344 | ||||||
|
| |||||||
657,506 | ||||||||
CONSTRUCTION & ENGINEERING — 4.88% |
| |||||||
Chiyoda Corp. | 69,000 | 684,148 | ||||||
Chudenko Corp. | 13,800 | 395,099 | ||||||
COMSYS Holdings Corp. | 46,000 | 1,218,275 | ||||||
Dai-Dan Co. Ltd. | 4,600 | 101,178 | ||||||
Daiho Corp. | 46,000 | 273,745 | ||||||
Fudo Tetra Corp. | 82,800 | 147,434 | ||||||
Fukuda Corp. | 4,600 | 278,487 | ||||||
Hazama Ando Corp. | 78,200 | 566,502 | ||||||
Hibiya Engineering Ltd. | 9,200 | 174,852 | ||||||
Kandenko Co. Ltd. | 41,400 | 465,971 | ||||||
Kinden Corp. | 59,800 | 988,587 | ||||||
Kumagai Gumi Co. Ltd. | 13,800 | 410,618 | ||||||
Kyowa Exeo Corp. | 41,400 | 1,109,251 | ||||||
Kyudenko Corp. | 18,400 | 855,293 | ||||||
Maeda Corp. | 55,200 | 665,266 | ||||||
Maeda Road Construction Co. Ltd. | 27,000 | 595,895 | ||||||
Mirait Holdings Corp. | 27,600 | 444,114 | ||||||
Nippo Corp. | 19,000 | 450,494 | ||||||
Nippon Densetsu Kogyo Co. Ltd. | 13,800 | 291,894 | ||||||
Nippon Koei Co. Ltd. | 4,600 | 127,863 | ||||||
Nippon Road Co. Ltd. (The) | 4,600 | 248,742 | ||||||
Nishimatsu Construction Co. Ltd. | 23,200 | 587,909 | ||||||
Okumura Corp. | 14,000 | 610,093 | ||||||
OSJB Holdings Corp.a | 59,800 | 175,973 | ||||||
Penta-Ocean Construction Co. Ltd. | 124,200 | 902,066 | ||||||
Raito Kogyo Co. Ltd. | 18,400 | 205,374 | ||||||
Sanki Engineering Co. Ltd. | 18,400 | 206,926 | ||||||
Shinnihon Corp. | 13,800 | 136,959 | ||||||
SHO-BOND Holdings Co. Ltd. | 9,200 | 664,749 | ||||||
Sumitomo Densetsu Co. Ltd. | 9,200 | 190,285 | ||||||
Sumitomo Mitsui Construction Co. Ltd. | 73,600 | 433,854 | ||||||
Taihei Dengyo Kaisha Ltd. | 4,600 | 111,654 | ||||||
Taikisha Ltd. | 13,800 | 477,869 | ||||||
Takamatsu Construction Group Co. Ltd. | 4,600 | 128,208 | ||||||
Tekken Corp. | 4,600 | 135,148 |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Toa Corp./Tokyob | 4,600 | $ | 99,454 | |||||
Toda Corp. | 92,000 | 707,858 | ||||||
Tokyu Construction Co. Ltd. | 36,840 | 414,301 | ||||||
Toshiba Plant Systems & Services Corp. | 23,000 | 466,229 | ||||||
Totetsu Kogyo Co. Ltd. | 13,800 | 440,364 | ||||||
Toyo Construction Co. Ltd. | 32,200 | 163,557 | ||||||
Toyo Engineering Corp.a | 13,800 | 129,975 | ||||||
Yahagi Construction Co. Ltd. | 13,800 | 106,696 | ||||||
Yokogawa Bridge Holdings Corp. | 13,800 | 335,866 | ||||||
Yurtec Corp. | 13,800 | 109,671 | ||||||
|
| |||||||
18,434,746 | ||||||||
CONSTRUCTION MATERIALS — 0.23% |
| |||||||
Sumitomo Osaka Cement Co. Ltd. | 184,000 | 853,568 | ||||||
|
| |||||||
853,568 | ||||||||
CONSUMER FINANCE — 0.49% |
| |||||||
Aiful Corp.b | 147,200 | 503,519 | ||||||
Hitachi Capital Corp. | 23,000 | 600,731 | ||||||
J Trust Co. Ltd.a | 32,200 | 206,408 | ||||||
Jaccs Co. Ltd. | 9,200 | 216,841 | ||||||
Orient Corp.a | 202,400 | 324,356 | ||||||
|
| |||||||
1,851,855 | ||||||||
CONTAINERS & PACKAGING — 0.54% |
| |||||||
FP Corp. | 9,200 | 544,042 | ||||||
Fuji Seal International Inc. | 18,400 | 604,395 | ||||||
Pack Corp. (The) | 4,600 | 160,152 | ||||||
Rengo Co. Ltd. | 82,800 | 722,429 | ||||||
|
| |||||||
2,031,018 | ||||||||
DISTRIBUTORS — 0.47% |
| |||||||
Arata Corp. | 4,600 | 221,152 | ||||||
Canon Marketing Japan Inc. | 23,000 | 627,243 | ||||||
Doshisha Co. Ltd. | 9,200 | 205,288 | ||||||
PALTAC Corp. | 13,800 | 717,773 | ||||||
|
| |||||||
1,771,456 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 0.03% |
| |||||||
Meiko Network Japan Co. Ltd. | 9,200 | 113,206 | ||||||
|
| |||||||
113,206 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 1.07% |
| |||||||
Financial Products Group Co. Ltd. | 32,200 | 426,094 | ||||||
Fuyo General Lease Co. Ltd. | 9,200 | 618,190 | ||||||
IBJ Leasing Co. Ltd. | 13,800 | 361,991 | ||||||
Japan Securities Finance Co. Ltd. | 41,400 | 256,846 | ||||||
Ricoh Leasing Co. Ltd. | 9,200 | 312,113 | ||||||
Tokyo Century Corp. | 18,480 | 1,051,250 |
Security | Shares | Value | ||||||
Zenkoku Hosho Co. Ltd. | 23,000 | $ | 1,018,462 | |||||
|
| |||||||
4,044,946 | ||||||||
ELECTRIC UTILITIES — 0.62% |
| |||||||
Hokkaido Electric Power Co. Inc. | 82,800 | 496,622 | ||||||
Hokuriku Electric Power Co.a | 73,600 | 574,563 | ||||||
Okinawa Electric Power Co. Inc. (The) | 14,430 | 392,580 | ||||||
Shikoku Electric Power Co. Inc. | 78,200 | 884,564 | ||||||
|
| |||||||
2,348,329 | ||||||||
ELECTRICAL EQUIPMENT — 1.85% |
| |||||||
Chiyoda Integre Co. Ltd. | 4,600 | 107,300 | ||||||
Cosel Co. Ltd. | 9,200 | 143,468 | ||||||
Daihen Corp. | 46,000 | 367,724 | ||||||
Denyo Co. Ltd. | 9,200 | 158,471 | ||||||
FDK Corp.a,b | 46,000 | 98,290 | ||||||
Fujikura Ltd. | 115,000 | 849,257 | ||||||
Furukawa Electric Co. Ltd. | 32,200 | 1,774,387 | ||||||
Futaba Corp. | 13,800 | 298,102 | ||||||
GS Yuasa Corp. | 138,000 | 772,091 | ||||||
Idec Corp./Japan | 13,800 | 387,339 | ||||||
Nissin Electric Co. Ltd. | 23,000 | 226,756 | ||||||
Nitto Kogyo Corp. | 13,800 | 243,138 | ||||||
Sanyo Denki Co. Ltd. | 4,600 | 382,381 | ||||||
Sinfonia Technology Co. Ltd. | 46,000 | 162,523 | ||||||
Tatsuta Electric Wire and Cable Co. Ltd. | 18,400 | 125,535 | ||||||
Toyo Tanso Co. Ltd. | 4,600 | 177,396 | ||||||
Ushio Inc. | 50,600 | 704,194 | ||||||
|
| |||||||
6,978,352 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 4.55% |
| |||||||
Ai Holdings Corp. | 18,400 | 503,691 | ||||||
Amano Corp. | 27,600 | 774,678 | ||||||
Anritsu Corp. | 64,400 | 860,638 | ||||||
Azbil Corp. | 27,600 | 1,231,208 | ||||||
Canon Electronics Inc. | 9,200 | 223,049 | ||||||
Citizen Watch Co. Ltd. | 128,800 | 992,208 | ||||||
CMK Corp. | 18,400 | 160,885 | ||||||
CONEXIO Corp. | 4,600 | 103,032 | ||||||
Daiwabo Holdings Co. Ltd. | 9,200 | 383,675 | ||||||
Dexerials Corp. | 23,000 | 303,275 | ||||||
Elematec Corp. | 4,600 | 109,110 | ||||||
Enplas Corp. | 4,600 | 168,774 | ||||||
Horiba Ltd. | 18,400 | 1,369,158 | ||||||
Hosiden Corp. | 27,600 | 408,937 | ||||||
Ibiden Co. Ltd. | 50,600 | 825,116 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Iriso Electronics Co. Ltd. | 9,200 | $ | 616,466 | |||||
Japan Aviation Electronics Industry Ltd. | 14,000 | 214,254 | ||||||
Japan Cash Machine Co. Ltd. | 9,200 | 116,051 | ||||||
Japan Display Inc.a,b | 170,200 | 371,647 | ||||||
Kaga Electronics Co. Ltd. | 9,200 | 244,431 | ||||||
Koa Corp. | 13,800 | 299,396 | ||||||
Macnica Fuji Electronics Holdings Inc. | 13,800 | 381,907 | ||||||
Maruwa Co. Ltd./Aichi | 4,600 | 382,812 | ||||||
Nichicon Corp. | 23,000 | 287,325 | ||||||
Nippon Ceramic Co. Ltd. | 9,200 | 260,381 | ||||||
Nippon Chemi-Con Corp. | 4,600 | 125,449 | ||||||
Nippon Signal Co. Ltd. | 23,000 | 226,540 | ||||||
Nissha Co. Ltd.a | 13,800 | 376,605 | ||||||
Nohmi Bosai Ltd. | 9,200 | 200,287 | ||||||
Oki Electric Industry Co. Ltd. | 36,800 | 509,727 | ||||||
Optex Group Co. Ltd. | 4,600 | 253,053 | ||||||
Osaki Electric Co. Ltd. | 9,200 | 69,579 | ||||||
Riken Keiki Co. Ltd. | 4,600 | 102,902 | ||||||
Ryosan Co. Ltd. | 9,400 | 352,373 | ||||||
Ryoyo Electro Corp. | 9,200 | 165,109 | ||||||
SIIX Corp.a | 9,200 | 446,615 | ||||||
SMK Corp. | 46,000 | 203,908 | ||||||
Taiyo Yuden Co. Ltd. | 50,600 | 897,669 | ||||||
Topcon Corp. | 46,000 | 1,035,490 | ||||||
UKC Holdings Corp. | 4,600 | 101,523 | ||||||
V Technology Co. Ltd. | 1,900 | 511,213 | ||||||
|
| |||||||
17,170,146 | ||||||||
ENERGY EQUIPMENT & SERVICES — 0.14% |
| |||||||
Modec Inc. | 9,200 | 232,188 | ||||||
Shinko Plantech Co. Ltd. | 18,400 | 166,058 | ||||||
Toyo Kanetsu KK | 4,600 | 146,788 | ||||||
|
| |||||||
545,034 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 6.91% |
| |||||||
Activia Properties Inc. | 276 | 1,220,861 | ||||||
Advance Residence Investment Corp. | 598 | 1,501,375 | ||||||
AEON REIT Investment Corp. | 644 | 691,649 | ||||||
Comforia Residential REIT Inc. | 230 | 507,615 | ||||||
Daiwa Office Investment Corp. | 138 | 799,250 | ||||||
Frontier Real Estate Investment Corp. | 230 | 955,953 | ||||||
Fukuoka REIT Corp. | 322 | 522,358 | ||||||
Global One Real Estate Investment Corp. | 92 | 359,964 | ||||||
GLP J-REIT | 1,150 | 1,214,610 |
Security | Shares | Value | ||||||
Hankyu REIT Inc. | 230 | $ | 284,092 | |||||
Heiwa Real Estate REIT Inc. | 414 | 395,745 | ||||||
Hoshino Resorts REIT Inc.a | 92 | 495,759 | ||||||
Hulic Reit Inc. | 414 | 619,225 | ||||||
Ichigo Office REIT Investment | 598 | 456,745 | ||||||
Industrial & Infrastructure Fund Investment Corp. | 552 | 633,710 | ||||||
Invesco Office J-Reit Inc. | 2,944 | 433,992 | ||||||
Invincible Investment Corp. | 1,702 | 781,575 | ||||||
Japan Excellent Inc. | 552 | 734,586 | ||||||
Japan Hotel REIT Investment Corp. | 1,748 | 1,284,319 | ||||||
Japan Logistics Fund Inc. | 368 | 735,276 | ||||||
Japan Rental Housing Investments Inc. | 736 | 581,461 | ||||||
Kenedix Office Investment Corp. | 184 | 1,165,681 | ||||||
Kenedix Residential Investment Corp. | 276 | 402,470 | ||||||
Kenedix Retail REIT Corp. | 230 | 527,445 | ||||||
LaSalle Logiport REIT | 506 | 533,006 | ||||||
MCUBS MidCity Investment Corp. | 690 | 518,607 | ||||||
Mitsui Fudosan Logistics Park Inc. | 92 | 309,526 | ||||||
Mori Hills REIT Investment Corp. | 690 | 898,187 | ||||||
Mori Trust Hotel Reit Inc. | 138 | 185,716 | ||||||
Mori Trust Sogo REIT Inc. | 460 | 703,547 | ||||||
Nippon Accommodations Fund Inc. | 230 | 1,008,763 | ||||||
NIPPON REIT Investment Corp. | 184 | 572,494 | ||||||
Orix JREIT Inc. | 1,150 | 1,755,635 | ||||||
Premier Investment Corp. | 598 | 638,323 | ||||||
Sekisui House Reit Inc. | 414 | 564,131 | ||||||
Sekisui House Residential Investment Corp. | 460 | 527,229 | ||||||
TOKYU REIT Inc. | 414 | 566,459 | ||||||
|
| |||||||
26,087,339 | ||||||||
FOOD & STAPLES RETAILING — 3.13% |
| |||||||
Ain Holdings Inc. | 10,200 | 684,429 | ||||||
Arcs Co. Ltd. | 18,400 | 436,268 | ||||||
Axial Retailing Inc. | 4,600 | 185,802 | ||||||
Belc Co. Ltd. | 4,600 | 258,226 | ||||||
Cawachi Ltd. | 4,600 | 113,076 | ||||||
Cocokara fine Inc. | 9,200 | 600,084 | ||||||
Cosmos Pharmaceutical Corp. | 4,600 | 874,261 | ||||||
Create SD Holdings Co. Ltd. | 13,800 | 349,963 | ||||||
Daikokutenbussan Co. Ltd. | 4,600 | 225,894 | ||||||
Genky DrugStores Co. Ltd.b | 3,600 | 117,745 | ||||||
Heiwado Co. Ltd. | 13,800 | 320,735 | ||||||
Kansai Super Market Ltd. | 4,600 | 48,671 | ||||||
Kato Sangyo Co. Ltd. | 9,200 | 313,406 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Kobe Bussan Co. Ltd. | 4,600 | $ | 185,802 | |||||
Kusuri no Aoki Holdings Co. Ltd.a | 4,900 | 291,598 | ||||||
Life Corp. | 4,600 | 121,267 | ||||||
Matsumotokiyoshi Holdings Co. Ltd. | 36,800 | 1,558,840 | ||||||
Ministop Co. Ltd. | 9,200 | 188,475 | ||||||
Mitsubishi Shokuhin Co. Ltd. | 4,600 | 138,597 | ||||||
Qol Co. Ltd. | 9,200 | 197,442 | ||||||
San-A Co. Ltd. | 9,200 | 478,516 | ||||||
Shoei Foods Corp. | 4,600 | 177,180 | ||||||
Sogo Medical Co. Ltd. | 4,600 | 271,159 | ||||||
Sugi Holdings Co. Ltd. | 18,400 | 1,013,936 | ||||||
United Super Markets Holdings Inc. | 23,000 | 237,102 | ||||||
Valor Holdings Co. Ltd. | 18,400 | 505,243 | ||||||
Welcia Holdings Co. Ltd. | 23,000 | 1,021,695 | ||||||
Yakuodo Co. Ltd. | 4,600 | 151,099 | ||||||
Yaoko Co. Ltd. | 9,200 | 500,932 | ||||||
Yokohama Reito Co. Ltd. | 23,000 | 238,180 | ||||||
|
| |||||||
11,805,623 | ||||||||
FOOD PRODUCTS — 4.47% |
| |||||||
Ariake Japan Co. Ltd. | 9,200 | 730,275 | ||||||
Chubu Shiryo Co. Ltd. | 4,600 | 87,900 | ||||||
DyDo Group Holdings Inc. | 4,600 | 287,109 | ||||||
Ezaki Glico Co. Ltd. | 18,400 | 901,851 | ||||||
Feed One Co. Ltd. | 27,600 | 64,147 | ||||||
Fuji Oil Holdings Inc. | 27,600 | 822,529 | ||||||
Fujicco Co. Ltd. | 9,200 | 204,253 | ||||||
Fujiya Co. Ltd. | 4,600 | 111,136 | ||||||
Hokuto Corp. | 9,200 | 182,267 | ||||||
House Foods Group Inc. | 27,600 | 931,165 | ||||||
Itoham Yonekyu Holdings Inc. | 64,400 | 546,198 | ||||||
J-Oil Mills Inc. | 4,600 | 159,936 | ||||||
Kagome Co. Ltd. | 36,800 | 1,260,522 | ||||||
Kameda Seika Co. Ltd. | 4,600 | 221,152 | ||||||
Kenko Mayonnaise Co. Ltd. | 4,600 | 156,272 | ||||||
Kewpie Corp. | 50,600 | 1,389,894 | ||||||
KEY Coffee Inc. | 9,200 | 187,009 | ||||||
Kotobuki Spirits Co. Ltd. | 9,200 | 538,007 | ||||||
Marudai Food Co. Ltd. | 46,000 | 219,859 | ||||||
Maruha Nichiro Corp. | 18,400 | 544,904 | ||||||
MEGMILK SNOW BRAND Co. Ltd. | 23,000 | 625,303 | ||||||
Mitsui Sugar Co. Ltd. | 9,200 | 377,208 | ||||||
Morinaga & Co. Ltd./Japan | 18,400 | 843,222 | ||||||
Morinaga Milk Industry Co. Ltd. | 18,400 | 744,932 | ||||||
Nichirei Corp. | 50,800 | 1,302,076 |
Security | Shares | Value | ||||||
Nippon Beet Sugar Manufacturing Co. Ltd. | 9,200 | $ | 203,908 | |||||
Nippon Flour Mills Co. Ltd. | 23,000 | 356,300 | ||||||
Nippon Suisan Kaisha Ltd. | 128,800 | 667,508 | ||||||
Nisshin OilliO Group Ltd. (The) | 9,200 | 251,242 | ||||||
Prima Meat Packers Ltd. | 46,000 | 278,056 | ||||||
Riken Vitamin Co. Ltd. | 4,600 | 176,749 | ||||||
Rock Field Co. Ltd. | 13,800 | 277,410 | ||||||
Rokko Butter Co. Ltd. | 4,600 | 97,902 | ||||||
S Foods Inc. | 4,600 | 184,724 | ||||||
Sakata Seed Corp. | 13,800 | 481,102 | ||||||
Showa Sangyo Co. Ltd. | 9,200 | 242,189 | ||||||
Warabeya Nichiyo Holdings Co. Ltd. | 9,200 | 220,635 | ||||||
|
| |||||||
16,876,851 | ||||||||
GAS UTILITIES — 0.30% |
| |||||||
K&O Energy Group Inc. | 9,200 | 147,866 | ||||||
Nippon Gas Co. Ltd. | 18,400 | 795,802 | ||||||
Shizuoka Gas Co. Ltd. | 23,000 | 194,639 | ||||||
|
| |||||||
1,138,307 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.85% |
| |||||||
Asahi Intecc Co. Ltd. | 37,200 | 1,324,774 | ||||||
Eiken Chemical Co. Ltd. | 9,200 | 446,615 | ||||||
Fukuda Denshi Co. Ltd. | 4,600 | 341,427 | ||||||
Hogy Medical Co. Ltd. | 4,600 | 352,636 | ||||||
JEOL Ltd. | 46,000 | 383,244 | ||||||
Mani Inc. | 9,200 | 349,187 | ||||||
Menicon Co. Ltd. | 9,200 | 227,187 | ||||||
Nagaileben Co. Ltd. | 9,200 | 248,138 | ||||||
Nakanishi Inc. | 9,200 | 513,003 | ||||||
Nihon Kohden Corp. | 36,800 | 1,038,077 | ||||||
Nikkiso Co. Ltd. | 27,600 | 310,647 | ||||||
Nipro Corp. | 64,400 | 957,203 | ||||||
Paramount Bed Holdings Co. Ltd. | 9,200 | 478,516 | ||||||
|
| |||||||
6,970,654 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 1.10% |
| |||||||
AS ONE Corp. | 4,600 | 315,562 | ||||||
BML Inc. | 9,200 | 234,861 | ||||||
Japan Lifeline Co. Ltd. | 18,400 | 602,671 | ||||||
Miraca Holdings Inc. | 23,000 | 864,346 | ||||||
NichiiGakkan Co. Ltd. | 18,400 | 200,545 | ||||||
Ship Healthcare Holdings Inc. | 18,400 | 644,056 | ||||||
Solasto Corp. | 4,600 | 122,776 | ||||||
Toho Holdings Co. Ltd. | 23,000 | 545,551 | ||||||
Tokai Corp./Gifu | 9,200 | 226,583 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Tsukui Corp. | 27,600 | $ | 229,946 | |||||
Vital KSK Holdings Inc. | 18,400 | 177,956 | ||||||
|
| |||||||
4,164,853 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 3.53% |
| |||||||
Arcland Service Holdings Co. Ltd. | 4,600 | 98,936 | ||||||
Atom Corp.a | 41,400 | 381,390 | ||||||
BRONCO BILLY Co. Ltd. | 4,600 | 152,392 | ||||||
Colowide Co. Ltd. | 27,600 | 640,694 | ||||||
Create Restaurants Holdings Inc.a | 23,000 | 258,873 | ||||||
Doutor Nichires Holdings Co. Ltd. | 13,800 | 321,511 | ||||||
Fuji Kyuko Co. Ltd. | 9,200 | 233,567 | ||||||
Fujita Kanko Inc.a | 4,600 | 137,088 | ||||||
Hiday Hidaka Corp. | 11,459 | 291,240 | ||||||
Hiramatsu Inc. | 13,800 | 72,683 | ||||||
HIS Co. Ltd. | 18,400 | 686,303 | ||||||
Ichibanya Co. Ltd. | 4,600 | 193,346 | ||||||
Kappa Create Co. Ltd.a,b | 13,800 | 169,162 | ||||||
Kisoji Co. Ltd. | 9,200 | 235,205 | ||||||
KNT-CT Holdings Co. Ltd.b | 4,600 | 80,960 | ||||||
Komeda Holdings Co. Ltd. | 13,800 | 261,890 | ||||||
Koshidaka Holdings Co. Ltd. | 4,600 | 307,802 | ||||||
Kura Corp. | 4,600 | 279,781 | ||||||
Kyoritsu Maintenance Co. Ltd. | 13,880 | 598,360 | ||||||
Matsuya Foods Co. Ltd. | 4,600 | 170,283 | ||||||
MOS Food Services Inc. | 13,800 | 422,904 | ||||||
Ohsho Food Service Corp. | 4,600 | 221,583 | ||||||
Pepper Food Service Co. Ltd.a | 9,200 | 439,717 | ||||||
Plenus Co. Ltd. | 9,200 | 178,215 | ||||||
Resorttrust Inc. | 36,800 | 833,565 | ||||||
Ringer Hut Co. Ltd. | 9,200 | 205,805 | ||||||
Round One Corp. | 32,200 | 535,032 | ||||||
Royal Holdings Co. Ltd. | 13,800 | 377,122 | ||||||
Saizeriya Co. Ltd. | 13,800 | 392,512 | ||||||
Skylark Co. Ltd. | 46,000 | 633,710 | ||||||
St. Marc Holdings Co. Ltd. | 9,200 | 277,194 | ||||||
Sushiro Global Holdings Ltd. | 9,200 | 417,731 | ||||||
Tokyo Dome Corp. | 41,400 | 381,390 | ||||||
Tokyotokeiba Co. Ltd. | 9,200 | 309,526 | ||||||
Toridoll Holdings Corp. | 9,200 | 318,148 | ||||||
Tosho Co. Ltd. | 9,200 | 341,427 | ||||||
WATAMI Co. Ltd. | 9,200 | 114,585 | ||||||
Yoshinoya Holdings Co. Ltd. | 27,600 | 498,949 | ||||||
Zensho Holdings Co. Ltd. | 41,400 | 865,208 | ||||||
|
| |||||||
13,335,789 |
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 1.94% |
| |||||||
Alpine Electronics Inc. | 18,400 | $ | 369,017 | |||||
Chofu Seisakusho Co. Ltd. | 9,200 | 207,874 | ||||||
Clarion Co. Ltd. | 46,000 | 147,866 | ||||||
Cleanup Corp. | 9,200 | 71,044 | ||||||
Foster Electric Co. Ltd. | 9,200 | 258,140 | ||||||
France Bed Holdings Co. Ltd. | 13,800 | 128,811 | ||||||
Fujitsu General Ltd. | 27,600 | 529,730 | ||||||
Funai Electric Co. Ltd.a | 9,200 | 66,561 | ||||||
Haseko Corp. | 124,200 | 1,835,560 | ||||||
JVC Kenwood Corp. | 59,800 | 224,169 | ||||||
Misawa Homes Co. Ltd. | 9,200 | 81,822 | ||||||
Pioneer Corp.a,b | 147,200 | 267,624 | ||||||
Pressance Corp. | 18,400 | 291,075 | ||||||
Sangetsu Corp. | 23,000 | 484,335 | ||||||
Starts Corp. Inc. | 13,800 | 365,870 | ||||||
Sumitomo Forestry Co. Ltd. | 59,800 | 1,010,444 | ||||||
Tamron Co. Ltd. | 9,200 | 213,737 | ||||||
Token Corp. | 4,620 | 523,893 | ||||||
Zojirushi Corp.a | 18,400 | 230,895 | ||||||
|
| |||||||
7,308,467 | ||||||||
HOUSEHOLD PRODUCTS — 0.63% |
| |||||||
Earth Chemical Co. Ltd. | 4,600 | 227,618 | ||||||
Pigeon Corp. | 50,600 | 2,065,161 | ||||||
S.T. Corp. | 4,600 | 100,661 | ||||||
|
| |||||||
2,393,440 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.03% |
| |||||||
eRex Co. Ltd.a | 13,800 | 104,756 | ||||||
|
| |||||||
104,756 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.38% |
| |||||||
Katakura Industries Co. Ltd. | 9,200 | 121,655 | ||||||
Nisshinbo Holdings Inc. | 59,800 | 915,732 | ||||||
TOKAI Holdings Corp. | 36,800 | 397,642 | ||||||
|
| |||||||
1,435,029 | ||||||||
INSURANCE — 0.08% |
| |||||||
Anicom Holdings Inc.a | 9,200 | 308,664 | ||||||
|
| |||||||
308,664 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.21% |
| |||||||
ASKUL Corp.a | 9,200 | 334,961 | ||||||
Belluna Co. Ltd. | 18,400 | 223,652 | ||||||
Senshukai Co. Ltd.b | 13,800 | 74,364 | ||||||
Yume No Machi Souzou Iinkai Co. Ltd.a | 9,200 | 151,228 | ||||||
|
| |||||||
784,205 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
INTERNET SOFTWARE & SERVICES — 1.03% |
| |||||||
Ateam Inc. | 4,600 | $ | 114,240 | |||||
COOKPAD Inc.a | 27,600 | 155,712 | ||||||
CROOZ Inc.a | 4,600 | 92,556 | ||||||
Dip Corp. | 13,800 | 430,664 | ||||||
F@N Communications Inc. | 18,400 | 128,639 | ||||||
GMO Internet Inc. | 32,200 | 585,427 | ||||||
Gree Inc. | 50,600 | 320,088 | ||||||
Gurunavi Inc. | 13,800 | 187,526 | ||||||
Infomart Corp. | 41,400 | 363,931 | ||||||
Internet Initiative Japan Inc. | 13,800 | 316,855 | ||||||
Istyle Inc. | 18,400 | 281,591 | ||||||
SMS Co. Ltd. | 13,800 | 572,925 | ||||||
UNITED Inc./Japan | 4,600 | 147,435 | ||||||
ZIGExN Co. Ltd.b | 18,400 | 201,580 | ||||||
|
| |||||||
3,899,169 | ||||||||
IT SERVICES — 2.24% |
| |||||||
Digital Garage Inc. | 18,400 | 553,526 | ||||||
DTS Corp. | 9,200 | 333,237 | ||||||
Future Corp. | 4,600 | 52,464 | ||||||
GMO Payment Gateway Inc.a | 9,274 | 779,605 | ||||||
Hearts United Group Co. Ltd. | 4,600 | 69,751 | ||||||
Ines Corp. | 13,800 | 139,546 | ||||||
Infocom Corp. | 4,600 | 94,539 | ||||||
Information Services International-Dentsu Ltd. | 4,600 | 116,439 | ||||||
Itochu Techno-Solutions Corp. | 23,000 | 947,332 | ||||||
Kanematsu Electronics Ltd. | 9,200 | 291,851 | ||||||
NEC Networks & System Integration Corp. | 9,200 | 241,844 | ||||||
NET One Systems Co. Ltd. | 36,800 | 571,460 | ||||||
Nihon Unisys Ltd. | 32,200 | 674,448 | ||||||
NS Solutions Corp. | 18,400 | 493,173 | ||||||
SCSK Corp. | 23,056 | 950,718 | ||||||
TIS Inc. | 36,848 | 1,370,944 | ||||||
TKC Corp. | 9,200 | 403,936 | ||||||
Transcosmos Inc. | 13,800 | 376,475 | ||||||
|
| |||||||
8,461,288 | ||||||||
LEISURE PRODUCTS — 0.53% |
| |||||||
Fields Corp.a | 9,200 | 99,583 | ||||||
Heiwa Corp. | 23,016 | 499,771 | ||||||
Mars Engineering Corp. | 4,600 | 105,834 | ||||||
Mizuno Corp. | 9,200 | 273,746 | ||||||
Tomy Co. Ltd. | 36,800 | 391,779 | ||||||
Universal Entertainment Corp.a | 9,200 | 462,996 |
Security | Shares | Value | ||||||
Yonex Co. Ltd.a | 27,600 | $ | 169,420 | |||||
|
| |||||||
2,003,129 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.09% |
| |||||||
EPS Holdings Inc. | 13,800 | 290,213 | ||||||
Linical Co. Ltd.a | 4,600 | 63,199 | ||||||
|
| |||||||
353,412 | ||||||||
MACHINERY — 6.87% |
| |||||||
Aichi Corp. | 13,800 | 96,608 | ||||||
Aida Engineering Ltd. | 23,000 | 320,304 | ||||||
Anest Iwata Corp. | 18,400 | 197,442 | ||||||
Asahi Diamond Industrial Co. Ltd. | 23,000 | 279,996 | ||||||
Bando Chemical Industries Ltd. | 18,400 | 205,891 | ||||||
CKD Corp. | 23,000 | 586,505 | ||||||
Daiwa Industries Ltd. | 13,800 | 158,945 | ||||||
DMG Mori Co. Ltd. | 46,000 | 939,787 | ||||||
Ebara Corp. | 46,000 | 1,724,380 | ||||||
Fuji Machine Manufacturing Co. Ltd. | 32,200 | 661,171 | ||||||
Fujitec Co. Ltd. | 23,000 | 308,017 | ||||||
Fukushima Industries Corp. | 4,600 | 204,770 | ||||||
Furukawa Co. Ltd. | 13,800 | 288,144 | ||||||
Giken Ltd. | 4,600 | 127,733 | ||||||
Glory Ltd. | 27,600 | 1,046,268 | ||||||
Harmonic Drive Systems Inc. | 13,800 | 848,395 | ||||||
Hirata Corp. | 4,600 | 455,236 | ||||||
Hitachi Zosen Corp. | 73,600 | 373,846 | ||||||
Iseki & Co. Ltd. | 9,200 | 189,854 | ||||||
Japan Steel Works Ltd. (The) | 27,600 | 858,741 | ||||||
Kato Works Co. Ltd. | 4,600 | 115,749 | ||||||
Kitz Corp. | 36,800 | 302,111 | ||||||
Komori Corp. | 23,000 | 305,862 | ||||||
Kyokuto Kaihatsu Kogyo Co. Ltd. | 13,800 | 218,565 | ||||||
Makino Milling Machine Co. Ltd. | 46,000 | 471,187 | ||||||
Max Co. Ltd. | 9,200 | 128,811 | ||||||
Meidensha Corp. | 92,000 | 349,187 | ||||||
METAWATER Co. Ltd. | 4,600 | 138,597 | ||||||
Mitsubishi Logisnext Co. Ltd. | 13,800 | 124,673 | ||||||
Mitsuboshi Belting Ltd. | 7,000 | 78,525 | ||||||
Mitsui Engineering & Shipbuilding Co. Ltd. | 32,200 | 585,729 | ||||||
Miura Co. Ltd. | 41,400 | 1,169,776 | ||||||
Morita Holdings Corp. | 13,800 | 262,408 | ||||||
Nachi-Fujikoshi Corp. | 92,000 | 581,116 | ||||||
Namura Shipbuilding Co. Ltd. | 23,000 | 139,675 | ||||||
Nippon Sharyo Ltd.b | 46,000 | 131,484 | ||||||
Nippon Thompson Co. Ltd. | 27,600 | 223,480 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Nissei ASB Machine Co. Ltd. | 4,600 | $ | 350,911 | |||||
Nitta Corp. | 9,200 | 356,085 | ||||||
Nitto Kohki Co. Ltd. | 4,600 | 129,544 | ||||||
Nittoku Engineering Co. Ltd. | 4,600 | 190,113 | ||||||
Noritake Co. Ltd./Nagoya Japan | 4,600 | 234,516 | ||||||
NTN Corp. | 184,000 | 813,907 | ||||||
Obara Group Inc. | 4,600 | 292,714 | ||||||
Oiles Corp. | 9,296 | 204,119 | ||||||
OKUMA Corp. | 9,200 | 588,014 | ||||||
OSG Corp. | 36,800 | 874,261 | ||||||
Ryobi Ltd. | 9,200 | 252,967 | ||||||
Shibuya Corp. | 9,200 | 375,053 | ||||||
Shima Seiki Manufacturing Ltd. | 9,200 | 618,190 | ||||||
Shinmaywa Industries Ltd. | 36,800 | 321,769 | ||||||
Sintokogio Ltd. | 18,400 | 218,307 | ||||||
Sodick Co. Ltd. | 18,400 | 259,174 | ||||||
Star Micronics Co. Ltd. | 18,400 | 381,605 | ||||||
Tadano Ltd. | 46,000 | 729,413 | ||||||
Takeuchi Manufacturing Co. Ltd. | 13,800 | 334,573 | ||||||
Takuma Co. Ltd. | 36,800 | 443,855 | ||||||
Teikoku Sen-I Co. Ltd. | 9,200 | 172,783 | ||||||
Tocalo Co. Ltd. | 19,200 | 264,145 | ||||||
Toshiba Machine Co. Ltd. | 46,000 | 332,805 | ||||||
Tsubaki Nakashima Co. Ltd. | 13,800 | 404,152 | ||||||
Tsubakimoto Chain Co. | 46,000 | 393,590 | ||||||
Tsugami Corp. | 21,000 | 288,712 | ||||||
Tsukishima Kikai Co. Ltd. | 13,800 | 198,519 | ||||||
Tsurumi Manufacturing Co. Ltd. | 9,200 | 171,490 | ||||||
Union Tool Co. | 4,600 | 164,032 | ||||||
YAMABIKO Corp. | 13,800 | 216,237 | ||||||
Yushin Precision Equipment Co. Ltd. | 4,600 | 158,212 | ||||||
|
| |||||||
25,932,735 | ||||||||
MARINE — 0.35% |
| |||||||
Iino Kaiun Kaisha Ltd. | 41,400 | 218,048 | ||||||
Kawasaki Kisen Kaisha Ltd.a,b | 41,400 | 1,005,659 | ||||||
NS United Kaiun Kaisha Ltd. | 4,600 | 99,195 | ||||||
|
| |||||||
1,322,902 | ||||||||
MEDIA — 1.93% |
| |||||||
Amuse Inc. | 4,600 | 170,283 | ||||||
Avex Inc. | 13,800 | 211,193 | ||||||
CyberAgent Inc. | 46,000 | 1,993,815 | ||||||
D.A. Consortium Holdings Inc. | 9,200 | 218,220 | ||||||
Daiichikosho Co. Ltd. | 18,400 | 982,897 | ||||||
Kadokawa Dwangob | 23,008 | 261,550 | ||||||
Lifull Co. Ltd. | 23,000 | 222,876 |
Security | Shares | Value | ||||||
Macromill Inc.a | 9,200 | $ | 259,088 | |||||
Septeni Holdings Co. Ltd.a | 46,000 | 187,526 | ||||||
Shochiku Co. Ltd. | 4,600 | 648,367 | ||||||
SKY Perfect JSAT Holdings Inc. | 59,800 | 270,685 | ||||||
Toei Animation Co. Ltd. | 1,600 | 152,345 | ||||||
Toei Co. Ltd. | 4,600 | 490,586 | ||||||
Tokyo Broadcasting System Holdings Inc. | 18,400 | 416,783 | ||||||
TV Asahi Holdings Corp. | 9,200 | 188,044 | ||||||
Vector Inc.b | 13,800 | 294,869 | ||||||
Zenrin Co. Ltd. | 9,200 | 299,180 | ||||||
|
| |||||||
7,268,307 | ||||||||
METALS & MINING — 2.25% |
| |||||||
Aichi Steel Corp. | 4,600 | 199,166 | ||||||
Asahi Holdings Inc. | 13,800 | 260,856 | ||||||
Daido Steel Co. Ltd. | 13,800 | 752,692 | ||||||
Dowa Holdings Co. Ltd. | 23,200 | 864,252 | ||||||
Godo Steel Ltd. | 4,600 | 89,754 | ||||||
Kyoei Steel Ltd.a | 9,200 | 147,866 | ||||||
Mitsubishi Steel Manufacturing Co. Ltd. | 4,600 | 112,430 | ||||||
Mitsui Mining & Smelting Co. Ltd. | 27,600 | 1,394,162 | ||||||
Nakayama Steel Works Ltd. | 4,600 | 30,737 | ||||||
Neturen Co. Ltd. | 13,800 | 139,416 | ||||||
Nippon Denko Co. Ltd. | 50,600 | 181,146 | ||||||
Nippon Light Metal Holdings Co. Ltd. | 262,200 | 715,057 | ||||||
Nisshin Steel Co. Ltd. | 23,000 | 308,449 | ||||||
Nittetsu Mining Co. Ltd. | 4,600 | 309,957 | ||||||
Osaka Steel Co. Ltd. | 4,600 | 93,763 | ||||||
OSAKA Titanium Technologies Co. Ltd. | 9,200 | 227,704 | ||||||
Pacific Metals Co. Ltd.b | 4,600 | 143,339 | ||||||
Sanyo Special Steel Co. Ltd. | 9,200 | 204,253 | ||||||
Toho Titanium Co. Ltd. | 13,800 | 187,656 | ||||||
Toho Zinc Co. Ltd. | 4,600 | 245,724 | ||||||
Tokyo Steel Manufacturing Co. Ltd. | 41,400 | 337,159 | ||||||
Topy Industries Ltd. | 9,200 | 282,367 | ||||||
Toyo Kohan Co. Ltd. | 18,400 | 122,948 | ||||||
UACJ Corp. | 13,814 | 338,667 | ||||||
Yamato Kogyo Co. Ltd. | 18,400 | 541,455 | ||||||
Yodogawa Steel Works Ltd. | 9,200 | 263,399 | ||||||
|
| |||||||
8,494,374 | ||||||||
MULTILINE RETAIL — 0.94% |
| |||||||
Fuji Co. Ltd./Ehime | 9,200 | 193,044 | ||||||
H2O Retailing Corp. | 36,835 | 727,690 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Izumi Co. Ltd. | 18,400 | $ | 1,210,515 | |||||
Kintetsu Department Store Co. Ltd.b | 4,600 | 167,481 | ||||||
Matsuya Co. Ltd. | 13,800 | 199,942 | ||||||
Parco Co. Ltd. | 9,200 | 129,070 | ||||||
Seria Co. Ltd. | 18,400 | 924,268 | ||||||
|
| |||||||
3,552,010 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.49% |
| |||||||
Cosmo Energy Holdings Co. Ltd. | 27,600 | 975,137 | ||||||
ITOCHU Enex Co. Ltd. | 23,000 | 221,367 | ||||||
Japan Petroleum Exploration Co. Ltd. | 13,800 | 327,201 | ||||||
San-Ai Oil Co. Ltd. | 23,000 | 321,166 | ||||||
|
| |||||||
1,844,871 | ||||||||
PAPER & FOREST PRODUCTS — 0.57% |
| |||||||
Daiken Corp. | 9,200 | 235,378 | ||||||
Daio Paper Corp.a | 32,200 | 445,407 | ||||||
Hokuetsu Kishu Paper Co. Ltd. | 55,200 | 358,499 | ||||||
Nippon Paper Industries Co. Ltd. | 46,000 | 909,611 | ||||||
Tokushu Tokai Paper Co. Ltd. | 4,600 | 181,922 | ||||||
|
| |||||||
2,130,817 | ||||||||
PERSONAL PRODUCTS — 1.38% |
| |||||||
Ci:z Holdings Co. Ltd. | 13,800 | 800,544 | ||||||
Euglena Co. Ltd.a,b | 32,200 | 298,145 | ||||||
Fancl Corp. | 18,400 | 663,886 | ||||||
Kobayashi Pharmaceutical Co. Ltd. | 23,000 | 1,506,677 | ||||||
Mandom Corp. | 18,400 | 650,954 | ||||||
Milbon Co. Ltd. | 9,200 | 386,261 | ||||||
Noevir Holdings Co. Ltd. | 9,200 | 688,890 | ||||||
YA-MAN Ltd.a | 13,800 | 229,688 | ||||||
|
| |||||||
5,225,045 | ||||||||
PHARMACEUTICALS — 2.28% |
| |||||||
ASKA Pharmaceutical Co. Ltd. | 9,200 | 184,509 | ||||||
JCR Pharmaceuticals Co. Ltd. | 4,600 | 235,809 | ||||||
Kaken Pharmaceutical Co. Ltd. | 13,800 | 783,731 | ||||||
Kissei Pharmaceutical Co. Ltd. | 13,800 | 377,639 | ||||||
KYORIN Holdings Inc. | 18,400 | 356,602 | ||||||
Mochida Pharmaceutical Co. Ltd. | 4,600 | 331,943 | ||||||
Nichi-Iko Pharmaceutical Co. Ltd.a | 18,450 | 290,137 | ||||||
Nippon Shinyaku Co. Ltd. | 23,000 | 1,297,596 | ||||||
Rohto Pharmaceutical Co. Ltd. | 46,000 | 1,290,699 | ||||||
Sawai Pharmaceutical Co. Ltd. | 13,800 | 642,116 | ||||||
Seikagaku Corp. | 18,400 | 363,499 | ||||||
Sosei Group Corp.a,b | 9,200 | 833,738 | ||||||
Torii Pharmaceutical Co. Ltd. | 4,600 | 126,871 | ||||||
Towa Pharmaceutical Co. Ltd. | 4,600 | 299,611 |
Security | Shares | Value | ||||||
Tsumura & Co. | 27,600 | $ | 928,579 | |||||
ZERIA Pharmaceutical Co. Ltd. | 13,800 | 271,073 | ||||||
|
| |||||||
8,614,152 | ||||||||
PROFESSIONAL SERVICES — 1.97% |
| |||||||
Benefit One Inc.a | 18,400 | 474,549 | ||||||
en-japan Inc. | 9,200 | 525,074 | ||||||
FULLCAST Holdings Co. Ltd. | 9,200 | 221,497 | ||||||
Funai Soken Holdings Inc.a | 13,800 | 284,135 | ||||||
JAC Recruitment Co. Ltd.a | 4,600 | 97,859 | ||||||
Link And Motivation Inc. | 13,800 | 142,649 | ||||||
Meitec Corp. | 9,400 | 534,727 | ||||||
Nihon M&A Center Inc. | 32,200 | 2,100,295 | ||||||
Nomura Co. Ltd. | 18,400 | 369,017 | ||||||
Outsourcing Inc.a | 32,200 | 623,148 | ||||||
Pasona Group Inc. | 9,200 | 201,408 | ||||||
Tanseisha Co. Ltd. | 18,400 | 185,371 | ||||||
TechnoPro Holdings Inc. | 13,800 | 825,116 | ||||||
Trust Tech Inc. | 4,600 | 140,752 | ||||||
UT Group Co. Ltd.b | 13,800 | 492,095 | ||||||
Yumeshin Holdings Co. Ltd. | 18,400 | 219,341 | ||||||
|
| |||||||
7,437,033 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 1.95% |
| |||||||
Ardepro Co. Ltd.a | 69,000 | 55,611 | ||||||
Daibiru Corp. | 23,000 | 285,816 | ||||||
Daikyo Inc. | 13,800 | 294,740 | ||||||
Goldcrest Co. Ltd. | 9,200 | 194,941 | ||||||
Heiwa Real Estate Co. Ltd. | 18,400 | 346,945 | ||||||
Ichigo Inc. | 105,800 | 438,251 | ||||||
Investors Cloud Co. Ltd. | 9,200 | 182,181 | ||||||
Japan Asset Marketing Co. Ltd.b | 59,800 | 72,855 | ||||||
Kenedix Inc. | 115,000 | 735,017 | ||||||
Leopalace21 Corp. | 115,000 | 910,688 | ||||||
NTT Urban Development Corp. | 55,200 | 687,511 | ||||||
Open House Co. Ltd. | 13,800 | 834,169 | ||||||
Relo Group Inc. | 50,600 | 1,429,727 | ||||||
Sun Frontier Fudousan Co. Ltd. | 9,200 | 105,015 | ||||||
Takara Leben Co. Ltd. | 36,800 | 164,161 | ||||||
TOC Co. Ltd. | 27,600 | 222,704 | ||||||
Tosei Corp. | 13,800 | 172,395 | ||||||
Unizo Holdings Co. Ltd. | 9,200 | 243,310 | ||||||
|
| |||||||
7,376,037 | ||||||||
ROAD & RAIL — 2.15% |
| |||||||
Fukuyama Transporting Co. Ltd. | 13,800 | 603,964 | ||||||
Hamakyorex Co. Ltd. | 4,600 | 154,332 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Hitachi Transport System Ltd. | 23,000 | $ | 571,848 | |||||
Nankai Electric Railway Co. Ltd. | 46,000 | 1,176,458 | ||||||
Nikkon Holdings Co. Ltd. | 27,600 | 711,048 | ||||||
Nishi-Nippon Railroad Co. Ltd. | 27,600 | 737,949 | ||||||
Sakai Moving Service Co. Ltd.a | 4,600 | 245,293 | ||||||
Sankyu Inc. | 23,200 | 1,130,594 | ||||||
Seino Holdings Co. Ltd. | 69,000 | 1,184,003 | ||||||
Senko Group Holdings Co. Ltd. | 46,000 | 328,494 | ||||||
Sotetsu Holdings Inc. | 36,800 | 978,758 | ||||||
Trancom Co. Ltd. | 4,600 | 306,078 | ||||||
|
| |||||||
8,128,819 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 2.23% |
| |||||||
Advantest Corp. | 73,600 | 1,563,668 | ||||||
Ferrotec Holdings Corp. | 13,800 | 349,316 | ||||||
Japan Material Co. Ltd. | 27,600 | 385,658 | ||||||
Lasertec Corp. | 18,400 | 764,763 | ||||||
Megachips Corp. | 9,200 | 317,717 | ||||||
Micronics Japan Co. Ltd.a | 13,800 | 138,381 | ||||||
Mimasu Semiconductor Industry Co. Ltd. | 4,600 | 87,986 | ||||||
Mitsui High-Tec Inc.a | 9,200 | 178,560 | ||||||
Sanken Electric Co. Ltd. | 46,000 | 357,809 | ||||||
SCREEN Holdings Co. Ltd. | 18,400 | 1,731,278 | ||||||
Shindengen Electric Manufacturing Co. Ltd. | 4,600 | 364,275 | ||||||
Shinko Electric Industries Co. Ltd. | 32,200 | 261,632 | ||||||
Tokyo Seimitsu Co. Ltd. | 18,400 | 769,936 | ||||||
Ulvac Inc. | 18,400 | 1,143,264 | ||||||
|
| |||||||
8,414,243 | ||||||||
SOFTWARE — 1.68% |
| |||||||
Broadleaf Co. Ltd. | 18,400 | 207,788 | ||||||
Capcom Co. Ltd. | 18,400 | 744,932 | ||||||
COLOPL Inc.a | 23,000 | 212,961 | ||||||
Digital Arts Inc. | 4,600 | 168,127 | ||||||
Fuji Soft Inc. | 9,200 | 348,325 | ||||||
Fukui Computer Holdings Inc. | 4,600 | 104,411 | ||||||
GungHo Online Entertainment Inc. | 174,800 | 615,949 | ||||||
Gunosy Inc.a,b | 4,600 | 115,318 | ||||||
Justsystems Corp. | 13,800 | 303,663 | ||||||
KLab Inc.a | 13,800 | 213,133 | ||||||
Koei Tecmo Holdings Co. Ltd. | 18,440 | 382,089 | ||||||
Marvelous Inc.a | 13,800 | 120,017 | ||||||
Miroku Jyoho Service Co. Ltd. | 9,200 | 279,350 | ||||||
MTI Ltd. | 13,800 | 79,925 |
Security | Shares | Value | ||||||
NSD Co. Ltd. | 18,400 | $ | 384,020 | |||||
OBIC Business Consultants Co. Ltd. | 4,600 | 272,452 | ||||||
Square Enix Holdings Co. Ltd. | 37,000 | 1,588,117 | ||||||
Systena Corp. | 4,600 | 198,304 | ||||||
|
| |||||||
6,338,881 | ||||||||
SPECIALTY RETAIL — 2.91% |
| |||||||
Adastria Co. Ltd. | 9,200 | 200,545 | ||||||
Alpen Co. Ltd. | 9,200 | 211,150 | ||||||
AOKI Holdings Inc. | 18,400 | 296,249 | ||||||
Aoyama Trading Co. Ltd. | 23,000 | 960,264 | ||||||
Arcland Sakamoto Co. Ltd. | 9,200 | 152,004 | ||||||
Asahi Co. Ltd. | 9,200 | 114,068 | ||||||
Autobacs Seven Co. Ltd. | 32,200 | 629,485 | ||||||
Bic Camera Inc. | 41,400 | 625,821 | ||||||
Chiyoda Co. Ltd. | 9,200 | 236,757 | ||||||
DCM Holdings Co. Ltd. | 46,000 | 454,805 | ||||||
EDION Corp.a | 32,200 | 391,693 | ||||||
Geo Holdings Corp. | 13,800 | 253,355 | ||||||
IDOM Inc. | 27,600 | 185,198 | ||||||
JINS Inc.a | 5,600 | 272,377 | ||||||
Joshin Denki Co. Ltd. | 4,900 | 177,255 | ||||||
Joyful Honda Co. Ltd. | 13,800 | 472,049 | ||||||
K’s Holdings Corp. | 36,800 | 1,028,420 | ||||||
Keiyo Co. Ltd. | 13,800 | 79,278 | ||||||
Kohnan Shoji Co. Ltd. | 13,800 | 325,520 | ||||||
Komeri Co. Ltd. | 13,800 | 399,625 | ||||||
Laox Co. Ltd.b | 13,800 | 69,320 | ||||||
LIXIL VIVA Corp. | 9,400 | 190,017 | ||||||
Nishimatsuya Chain Co. Ltd. | 23,000 | 274,608 | ||||||
Nojima Corp. | 13,800 | 326,425 | ||||||
PAL GROUP Holdings Co. Ltd. | 4,600 | 130,191 | ||||||
PC Depot Corp. | 13,840 | 102,466 | ||||||
Sac’s Bar Holdings Inc. | 9,200 | 104,153 | ||||||
Sanrio Co. Ltd.a | 23,000 | 417,085 | ||||||
Shimachu Co. Ltd. | 18,400 | 613,017 | ||||||
T-Gaia Corp. | 9,200 | 265,124 | ||||||
United Arrows Ltd. | 9,200 | 377,639 | ||||||
VT Holdings Co. Ltd. | 36,800 | 198,649 | ||||||
Xebio Holdings Co. Ltd. | 9,200 | 187,613 | ||||||
Yellow Hat Ltd. | 9,200 | 275,901 | ||||||
|
| |||||||
10,998,126 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 0.59% |
| |||||||
Eizo Corp. | 9,200 | 444,028 | ||||||
Elecom Co. Ltd. | 4,600 | 103,851 |
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Maxell Holdings Ltd. | 18,400 | $ | 376,087 | |||||
MCJ Co. Ltd. | 13,800 | 185,974 | ||||||
Melco Holdings Inc. | 4,600 | 157,134 | ||||||
Riso Kagaku Corp. | 9,200 | 197,614 | ||||||
Roland DG Corp. | 4,600 | 119,155 | ||||||
Toshiba TEC Corp. | 46,000 | 288,403 | ||||||
Wacom Co. Ltd. | 64,400 | 342,203 | ||||||
|
| |||||||
2,214,449 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.16% |
| |||||||
Descente Ltd. | 18,400 | 291,765 | ||||||
Fujibo Holdings Inc. | 4,600 | 185,155 | ||||||
Goldwin Inc. | 1,800 | 205,970 | ||||||
Gunze Ltd. | 9,200 | 515,590 | ||||||
Japan Wool Textile Co. Ltd. (The) | 32,200 | 332,848 | ||||||
Kurabo Industries Ltd. | 92,000 | 306,940 | ||||||
Onward Holdings Co. Ltd. | 46,000 | 394,021 | ||||||
Seiko Holdings Corp. | 9,200 | 253,570 | ||||||
Seiren Co. Ltd. | 23,000 | 452,003 | ||||||
TSI Holdings Co. Ltd. | 32,200 | 232,964 | ||||||
Tsutsumi Jewelry Co. Ltd. | 4,600 | 92,729 | ||||||
Unitika Ltd.b | 27,600 | 183,129 | ||||||
Wacoal Holdings Corp. | 23,000 | 685,441 | ||||||
Yondoshi Holdings Inc. | 9,200 | 233,309 | ||||||
|
| |||||||
4,365,434 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 2.40% |
| |||||||
Hanwa Co. Ltd. | 18,400 | 839,773 | ||||||
Inaba Denki Sangyo Co. Ltd. | 9,400 | 436,502 | ||||||
Inabata & Co. Ltd. | 18,400 | 279,350 | ||||||
Iwatani Corp. | 18,400 | 705,272 | ||||||
Japan Pulp & Paper Co. Ltd. | 4,600 | 189,897 | ||||||
Kamei Corp. | 9,200 | 138,899 | ||||||
Kanamoto Co. Ltd. | 13,800 | 437,777 | ||||||
Kanematsu Corp. | 36,800 | 501,450 | ||||||
MonotaRO Co. Ltd.a | 27,600 | 891,073 | ||||||
Nagase & Co. Ltd. | 50,600 | 884,866 | ||||||
Nippon Steel & Sumikin Bussan Corp. | 4,744 | 271,645 | ||||||
Nishio Rent All Co. Ltd. | 9,200 | 294,007 | ||||||
Sojitz Corp. | 565,800 | 1,866,469 | ||||||
Trusco Nakayama Corp. | 18,400 | 483,171 | ||||||
Wakita & Co. Ltd. | 18,400 | 223,480 | ||||||
Yamazen Corp. | 27,600 | 307,543 | ||||||
Yuasa Trading Co. Ltd. | 9,200 | 322,459 | ||||||
|
| |||||||
9,073,633 |
Security | Shares | Value | ||||||
TRANSPORTATION INFRASTRUCTURE — 0.29% |
| |||||||
Mitsubishi Logistics Corp. | 23,000 | $ | 543,180 | |||||
Nissin Corp. | 9,200 | 238,568 | ||||||
Sumitomo Warehouse Co. Ltd. (The) | 46,000 | 322,890 | ||||||
|
| |||||||
1,104,638 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $357,454,828) |
| 376,936,086 | ||||||
SHORT-TERM INVESTMENTS — 4.55% |
| |||||||
MONEY MARKET FUNDS — 4.55% |
| |||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | ||||||||
1.58%c,d,e | 16,637,910 | 16,639,573 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%c,d | 535,449 | 535,449 | ||||||
|
| |||||||
17,175,022 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $17,175,269) | 17,175,022 | |||||||
|
| |||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $374,630,097) | 394,111,108 | |||||||
Other Assets, Less Liabilities — (4.39)% |
| (16,574,161 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 377,536,947 | |||||
|
|
a | All or a portion of this security is on loan. |
b | Non-income producing security. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN SMALL-CAP ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 9,394,924 | 7,242,986 | b | — | 16,637,910 | $ | 16,639,573 | $ | 183,071 | c | $ | (954 | ) | $ | (1,475 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 78,081 | 457,368 | b | — | 535,449 | 535,449 | 1,518 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 17,175,022 | $ | 184,589 | $ | (954 | ) | $ | (1,475 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
TOPIX Index | 6 | Mar 2018 | $ | 994 | $ | (31,473 | ) | |||||||||
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, 2018. 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 | $ | 376,936,086 | $ | — | $ | — | $ | 376,936,086 | ||||||||
Money market funds | 17,175,022 | — | — | 17,175,022 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 394,111,108 | $ | — | $ | — | $ | 394,111,108 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (31,473 | ) | $ | — | $ | — | $ | (31,473 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (31,473 | ) | $ | — | $ | — | $ | (31,473 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.83% |
| |||||||
AIRLINES — 1.23% |
| |||||||
AirAsia Bhd | 7,059,300 | $ | 7,893,728 | |||||
|
| |||||||
7,893,728 | ||||||||
AUTOMOBILES — 0.57% |
| |||||||
UMW Holdings Bhda | 2,193,600 | 3,640,133 | ||||||
|
| |||||||
3,640,133 | ||||||||
BANKS — 33.23% |
| |||||||
Alliance Bank Malaysia Bhd | 4,733,600 | 4,978,921 | ||||||
AMMB Holdings Bhdb | 7,781,837 | 8,224,867 | ||||||
CIMB Group Holdings Bhd | 21,642,512 | 39,726,746 | ||||||
Hong Leong Bank Bhd | 3,052,640 | 15,602,209 | ||||||
Hong Leong Financial Group Bhd | 1,077,300 | 5,253,110 | ||||||
Malayan Banking Bhd | 20,238,981 | 54,046,398 | ||||||
Public Bank Bhd | 13,666,480 | 80,247,393 | ||||||
RHB Bank Bhd | 3,772,702 | 5,181,807 | ||||||
RHB Bank Bhd Newa,c | 1,621,200 | 4 | ||||||
|
| |||||||
213,261,455 | ||||||||
CHEMICALS — 3.63% |
| |||||||
Petronas Chemicals Group Bhd | 11,265,700 | 23,267,683 | ||||||
|
| |||||||
23,267,683 | ||||||||
CONSTRUCTION & ENGINEERING — 3.07% |
| |||||||
Gamuda Bhd | 8,067,600 | 10,215,802 | ||||||
IJM Corp. Bhd | 13,625,880 | 9,461,933 | ||||||
|
| |||||||
19,677,735 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.24% |
| |||||||
Telekom Malaysia Bhd | 5,292,000 | 7,971,100 | ||||||
|
| |||||||
7,971,100 | ||||||||
ELECTRIC UTILITIES — 9.97% |
| |||||||
Tenaga Nasional Bhd | 15,957,812 | 63,961,616 | ||||||
|
| |||||||
63,961,616 | ||||||||
ENERGY EQUIPMENT & SERVICES — 2.02% |
| |||||||
Dialog Group Bhd | 14,565,154 | 9,853,882 | ||||||
Sapura Energy Bhdb | 18,282,800 | 3,127,260 | ||||||
|
| |||||||
12,981,142 | ||||||||
FOOD PRODUCTS — 10.50% |
| |||||||
Felda Global Ventures Holdings Bhd | 6,858,700 | 3,396,956 | ||||||
Genting Plantations Bhd | 1,135,800 | 2,928,665 | ||||||
IOI Corp. Bhd | 10,323,830 | 12,361,185 | ||||||
Kuala Lumpur Kepong Bhd | 2,254,900 | 14,414,781 | ||||||
Nestle Malaysia Bhd | 275,200 | 9,000,031 | ||||||
PPB Group Bhd | 2,225,866 | 10,058,164 |
Security | Shares | Value | ||||||
Sime Darby Plantation Bhda | 11,173,155 | $ | 15,260,755 | |||||
|
| |||||||
67,420,537 | ||||||||
GAS UTILITIES — 2.28% |
| |||||||
Petronas Gas Bhd | 3,250,900 | 14,623,655 | ||||||
|
| |||||||
14,623,655 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.44% |
| |||||||
Hartalega Holdings Bhd | 3,106,100 | 9,261,999 | ||||||
|
| |||||||
9,261,999 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 2.27% |
| |||||||
IHH Healthcare Bhd | 9,668,700 | 14,588,210 | ||||||
|
| |||||||
14,588,210 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 6.74% |
| |||||||
Genting Bhd | 10,848,300 | 24,510,456 | ||||||
Genting Malaysia Bhdb | 13,936,700 | 18,750,679 | ||||||
|
| |||||||
43,261,135 | ||||||||
INDUSTRIAL CONGLOMERATES — 2.34% |
| |||||||
HAP Seng Consolidated Bhdb | 2,921,700 | 7,123,369 | ||||||
Sime Darby Bhd | 11,173,155 | �� | 7,872,838 | |||||
|
| |||||||
14,996,207 | ||||||||
MARINE — 1.71% |
| |||||||
MISC Bhd | 6,285,920 | 11,008,785 | ||||||
|
| |||||||
11,008,785 | ||||||||
MEDIA — 0.71% |
| |||||||
Astro Malaysia Holdings Bhd | 7,342,300 | 4,536,218 | ||||||
|
| |||||||
4,536,218 | ||||||||
METALS & MINING — 1.42% |
| |||||||
Press Metal Aluminium Holdings Bhd | 6,170,400 | 9,136,666 | ||||||
|
| |||||||
9,136,666 | ||||||||
MULTI-UTILITIES — 1.60% |
| |||||||
YTL Corp. Bhd | 20,485,862 | 7,478,882 | ||||||
YTL Power International Bhd | 9,610,556 | 2,772,512 | ||||||
|
| |||||||
10,251,394 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.20% |
| |||||||
Petronas Dagangan Bhd | 1,165,800 | 7,678,744 | ||||||
|
| |||||||
7,678,744 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.15% |
| |||||||
IOI Properties Group Bhd | 7,753,825 | 3,662,133 | ||||||
Sime Darby Property Bhda | 11,173,155 | 4,021,994 | ||||||
SP Setia Bhd Group | 7,047,000 | 6,098,884 | ||||||
|
| |||||||
13,783,011 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MALAYSIA ETF
February 28, 2018
Security | Shares | Value | ||||||
TOBACCO — 0.76% |
| |||||||
British American Tobacco Malaysia Bhdb | 670,100 | $ | 4,858,524 | |||||
|
| |||||||
4,858,524 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 2.05% |
| |||||||
Malaysia Airports Holdings Bhd | 3,894,200 | 8,649,359 | ||||||
Westports Holdings Bhd | 4,802,000 | 4,511,453 | ||||||
|
| |||||||
13,160,812 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 7.70% |
| |||||||
Axiata Group Bhd | 12,741,400 | 17,565,371 | ||||||
DiGi.Com Bhdb | 14,598,500 | 18,038,484 | ||||||
Maxis Bhd | 9,165,800 | 13,829,430 | ||||||
|
| |||||||
49,433,285 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $450,382,727) | 640,653,774 | |||||||
SHORT-TERM INVESTMENTS — 2.29% |
| |||||||
MONEY MARKET FUNDS — 2.29% |
| |||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | ||||||||
1.58%d,e,f | 14,432,237 | 14,433,680 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%d,e | 283,679 | 283,679 | ||||||
|
| |||||||
14,717,359 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $14,717,067) | 14,717,359 | |||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS | $ | 655,371,133 | ||||||
(Cost: $465,099,794) | ||||||||
Other Assets, Less Liabilities — (2.12)% |
| (13,604,751 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 641,766,382 | ||||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 12,721,787 | 1,710,450 | b | — | 14,432,237 | $ | 14,433,680 | $ | 203,045 | c | $ | (2,811 | ) | $ | (2,343 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 290,485 | — | (6,806 | )b | 283,679 | 283,679 | 4,802 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 14,717,359 | $ | 207,847 | $ | (2,811 | ) | $ | (2,343 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MALAYSIA ETF
February 28, 2018
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, 2018. 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 | $ | 640,653,770 | $ | — | $ | 4 | $ | 640,653,774 | ||||||||
Money market funds | 14,717,359 | — | — | 14,717,359 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 655,371,129 | $ | — | $ | 4 | $ | 655,371,133 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.32% |
| |||||||
AUSTRALIA — 56.77% |
| |||||||
AGL Energy Ltd. | 1,193,105 | $ | 20,323,837 | |||||
Alumina Ltd. | 4,459,582 | 7,749,540 | ||||||
Amcor Ltd./Australia | 2,108,784 | 22,841,456 | ||||||
AMP Ltd. | 5,338,154 | 22,005,116 | ||||||
APA Group | 2,012,833 | 12,548,003 | ||||||
APA Group Newa | 119,304 | 743,741 | ||||||
Aristocrat Leisure Ltd. | 989,189 | 19,000,852 | ||||||
ASX Ltd. | 353,389 | 16,079,346 | ||||||
Aurizon Holdings Ltd. | 3,670,101 | 13,069,865 | ||||||
AusNet Services | 3,179,318 | 4,211,723 | ||||||
Australia & New Zealand Banking Group Ltd. | 5,357,202 | 121,272,140 | ||||||
Bank of Queensland Ltd. | 711,403 | 7,001,578 | ||||||
Bendigo & Adelaide Bank Ltd. | 870,907 | 7,695,941 | ||||||
BGP Holdings PLCa,b | 27,004,595 | 329 | ||||||
BHP Billiton Ltd. | 5,846,685 | 138,958,916 | ||||||
BlueScope Steel Ltd. | 1,020,857 | 12,990,563 | ||||||
Boral Ltd. | 2,141,199 | 13,031,216 | ||||||
Brambles Ltd. | 2,893,282 | 21,644,068 | ||||||
Caltex Australia Ltd. | 474,834 | 13,013,408 | ||||||
Challenger Ltd./Australia | 1,057,473 | 10,382,853 | ||||||
CIMIC Group Ltd. | 177,735 | 6,481,801 | ||||||
Coca-Cola Amatil Ltd. | 986,882 | 6,690,543 | ||||||
Cochlear Ltd. | 105,096 | 15,060,688 | ||||||
Commonwealth Bank of Australia | 3,187,345 | 189,732,822 | ||||||
Computershare Ltd. | 846,033 | 11,761,400 | ||||||
Crown Resorts Ltd. | 693,870 | 7,299,427 | ||||||
CSL Ltd. | 823,571 | 104,717,253 | ||||||
Dexus | 1,857,213 | 13,459,271 | ||||||
Domino’s Pizza Enterprises Ltd.c | 111,268 | 3,415,334 | ||||||
Flight Centre Travel Group Ltd.c | 102,401 | 4,611,410 | ||||||
Fortescue Metals Group Ltd. | 2,843,653 | 11,168,221 | ||||||
Goodman Group | 3,286,250 | 21,024,256 | ||||||
GPT Group (The) | 3,290,191 | 12,204,077 | ||||||
Harvey Norman Holdings Ltd. | 999,984 | 3,124,743 | ||||||
Healthscope Ltd. | 3,173,375 | 4,673,692 | ||||||
Incitec Pivot Ltd. | 3,077,392 | 9,112,621 | ||||||
Insurance Australia Group Ltd. | 4,307,255 | 27,522,718 | ||||||
James Hardie Industries PLC | 804,808 | 14,330,303 | ||||||
LendLease Group | 1,007,384 | 14,012,323 | ||||||
Macquarie Group Ltd. | 589,265 | 47,594,507 | ||||||
Medibank Pvt Ltd. | 5,031,604 | 12,429,183 | ||||||
Mirvac Group | 6,784,333 | 11,207,788 |
Security | Shares | Value | ||||||
National Australia Bank Ltd. | 4,896,848 | $ | 115,162,939 | |||||
Newcrest Mining Ltd. | 1,396,035 | 23,117,035 | ||||||
Oil Search Ltd. | 2,480,246 | 14,592,127 | ||||||
Orica Ltd. | 686,276 | 9,973,659 | ||||||
Origin Energy Ltd.a | 3,191,664 | 22,508,296 | ||||||
QBE Insurance Group Ltd. | 2,480,356 | 19,695,413 | ||||||
Ramsay Health Care Ltd. | 258,441 | 12,868,833 | ||||||
REA Group Ltd. | 95,004 | 5,699,714 | ||||||
Rio Tinto Ltd. | 751,234 | 47,510,998 | ||||||
Santos Ltd.a | 3,421,337 | 13,437,030 | ||||||
Scentre Group | 9,677,276 | 28,957,511 | ||||||
Seek Ltd. | 602,919 | 9,495,157 | ||||||
Sonic Healthcare Ltd. | 727,328 | 13,885,876 | ||||||
South32 Ltd. | 9,451,278 | 24,451,500 | ||||||
Stockland | 4,412,112 | 13,890,081 | ||||||
Suncorp Group Ltd. | 2,357,041 | 24,905,984 | ||||||
Sydney Airport | 1,994,951 | 10,244,589 | ||||||
Tabcorp Holdings Ltd. | 3,488,630 | 12,559,541 | ||||||
Telstra Corp. Ltd. | 7,578,272 | 19,782,988 | ||||||
TPG Telecom Ltd.c | 677,231 | 3,224,445 | ||||||
Transurban Group | 4,047,849 | 36,526,642 | ||||||
Treasury Wine Estates Ltd. | 1,325,578 | 18,076,744 | ||||||
Vicinity Centres | 5,995,285 | 11,586,130 | ||||||
Wesfarmers Ltd. | 2,065,144 | 66,510,870 | ||||||
Westfield Corp. | 3,594,004 | 24,533,502 | ||||||
Westpac Banking Corp. | 6,189,226 | 148,402,330 | ||||||
Woodside Petroleum Ltd. | 1,703,999 | 38,746,413 | ||||||
Woolworths Group Ltd. | 2,356,502 | 50,700,367 | ||||||
|
| |||||||
1,877,245,586 | ||||||||
HONG KONG — 30.03% |
| |||||||
AIA Group Ltd. | 22,029,814 | 184,536,607 | ||||||
ASM Pacific Technology Ltd. | 554,500 | 7,971,739 | ||||||
Bank of East Asia Ltd. (The) | 2,292,520 | 10,092,561 | ||||||
BOC Hong Kong Holdings Ltd. | 6,708,000 | 33,945,894 | ||||||
CK Asset Holdings Ltd. | 4,694,732 | 40,616,124 | ||||||
CK Hutchison Holdings Ltd. | 4,896,732 | 61,324,133 | ||||||
CK Infrastructure Holdings Ltd. | 1,206,708 | 10,131,332 | ||||||
CLP Holdings Ltd. | 2,981,000 | 30,132,660 | ||||||
First Pacific Co. Ltd./Hong Kong | 3,970,500 | 2,481,150 | ||||||
Galaxy Entertainment Group Ltd. | 4,268,000 | 37,360,612 | ||||||
Hang Lung Group Ltd. | 1,604,000 | 5,431,868 | ||||||
Hang Lung Properties Ltd. | 3,696,736 | 8,834,034 | ||||||
Hang Seng Bank Ltd. | 1,409,200 | 35,026,057 | ||||||
Henderson Land Development Co. Ltd. | 2,180,002 | 14,207,775 |
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
HK Electric Investments & HK Electric Investments Ltd.c,d | 4,862,000 | $ | 4,560,474 | |||||
HKT Trust & HKT Ltd. | 6,837,338 | 8,737,477 | ||||||
Hong Kong & China Gas Co. Ltd. | 15,442,237 | 30,547,817 | ||||||
Hong Kong Exchanges & Clearing Ltd. | 2,129,300 | 77,277,702 | ||||||
Hongkong Land Holdings Ltd. | 2,151,000 | 14,820,390 | ||||||
Hysan Development Co. Ltd. | 1,142,830 | 6,623,048 | ||||||
Jardine Matheson Holdings Ltd. | 393,400 | 25,630,010 | ||||||
Jardine Strategic Holdings Ltd. | 402,700 | 16,039,541 | ||||||
Kerry Properties Ltd. | 1,190,500 | 5,408,390 | ||||||
Kingston Financial Group Ltd.c | 7,434,000 | 4,493,479 | ||||||
Li & Fung Ltd. | 10,841,200 | 5,472,345 | ||||||
Link REIT | 4,003,086 | 34,223,155 | ||||||
Melco Resorts & Entertainment Ltd. ADR | 450,303 | 12,360,817 | ||||||
MGM China Holdings Ltd. | 1,735,600 | 5,112,338 | ||||||
Minth Group Ltd. | 1,352,000 | 7,999,387 | ||||||
MTR Corp. Ltd. | 2,774,286 | 14,712,902 | ||||||
New World Development Co. Ltd. | 10,903,921 | 16,609,553 | ||||||
NWS Holdings Ltd. | 2,837,000 | 5,351,120 | ||||||
PCCW Ltd. | 7,691,867 | 4,383,950 | ||||||
Power Assets Holdings Ltd. | 2,522,500 | 21,452,516 | ||||||
Sands China Ltd. | 4,396,800 | 24,806,553 | ||||||
Shangri-La Asia Ltd. | 2,273,000 | 5,118,048 | ||||||
Sino Land Co. Ltd. | 5,720,800 | 10,117,934 | ||||||
SJM Holdings Ltd. | 3,617,000 | 3,471,262 | ||||||
Sun Hung Kai Properties Ltd. | 2,629,000 | 43,910,176 | ||||||
Swire Pacific Ltd. Class A | 909,000 | 9,200,005 | ||||||
Swire Properties Ltd. | 2,137,200 | 7,305,803 | ||||||
Techtronic Industries Co. Ltd. | 2,494,707 | 15,653,089 | ||||||
WH Group Ltd.d | 16,031,000 | 19,871,532 | ||||||
Wharf Holdings Ltd. (The) | 2,191,600 | 8,205,932 | ||||||
Wharf Real Estate Investment Co. Ltd.a | 2,191,600 | 14,899,508 | ||||||
Wheelock & Co. Ltd. | 1,478,000 | 10,775,293 | ||||||
Wynn Macau Ltd. | 2,884,800 | 10,137,886 | ||||||
Yue Yuen Industrial Holdings Ltd. | 1,345,500 | 5,760,067 | ||||||
|
| |||||||
993,142,045 | ||||||||
NEW ZEALAND — 1.39% |
| |||||||
Auckland International Airport Ltd. | 1,738,007 | 8,096,528 | ||||||
Fisher & Paykel Healthcare Corp. Ltd. | 1,034,550 | 10,311,412 | ||||||
Fletcher Building Ltd. | 1,253,719 | 5,894,796 |
Security | Shares | Value | ||||||
Mercury NZ Ltd. | 1,362,018 | $ | 3,118,385 | |||||
Meridian Energy Ltd. | 2,340,818 | 4,733,837 | ||||||
Ryman Healthcare Ltd. | 722,639 | 5,574,170 | ||||||
Spark New Zealand Ltd. | 3,335,848 | 8,083,257 | ||||||
|
| |||||||
45,812,385 | ||||||||
SINGAPORE — 11.13% |
| |||||||
Ascendas REIT | 4,553,525 | 9,121,851 | ||||||
CapitaLand Commercial Trust | 4,573,493 | 5,981,134 | ||||||
CapitaLand Ltd. | 4,694,100 | 12,880,964 | ||||||
CapitaLand Mall Trust | 4,524,500 | 6,908,939 | ||||||
City Developments Ltd. | 751,100 | 7,244,991 | ||||||
ComfortDelGro Corp. Ltd. | 3,973,700 | 6,097,903 | ||||||
DBS Group Holdings Ltd. | 3,251,000 | 70,532,336 | ||||||
Genting Singapore PLC | 11,089,300 | 9,724,147 | ||||||
Golden Agri-Resources Ltd. | 12,922,587 | 3,516,749 | ||||||
Hutchison Port Holdings Trustc | 9,652,000 | 3,522,980 | ||||||
Jardine Cycle & Carriage Ltd. | 179,300 | 5,038,047 | ||||||
Keppel Corp. Ltd. | 2,659,000 | 16,120,633 | ||||||
Oversea-Chinese Banking Corp. Ltd.c | 5,724,224 | 56,513,108 | ||||||
SATS Ltd. | 1,237,600 | 4,864,890 | ||||||
SembCorp Industries Ltd. | 1,857,740 | 4,493,909 | ||||||
Singapore Airlines Ltd. | 978,700 | 8,204,848 | ||||||
Singapore Exchange Ltd. | 1,456,500 | 8,312,791 | ||||||
Singapore Press Holdings Ltd.c | 2,689,717 | 5,286,513 | ||||||
Singapore Technologies Engineering Ltd. | 2,866,900 | 7,390,202 | ||||||
Singapore Telecommunications Ltd. | 14,913,828 | 38,106,164 | ||||||
StarHub Ltd. | 1,164,600 | 2,200,930 | ||||||
Suntec REIT | 4,618,100 | 6,912,226 | ||||||
United Overseas Bank Ltd. | 2,424,000 | 51,105,840 | ||||||
UOL Group Ltd. | 925,100 | 5,958,236 | ||||||
Wilmar International Ltd. | 2,959,100 | 7,225,228 | ||||||
Yangzijiang Shipbuilding Holdings Ltd. | 4,332,900 | 4,945,896 | ||||||
|
| |||||||
368,211,455 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,060,317,622) | 3,284,411,471 |
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.81% |
| |||||||
MONEY MARKET FUNDS — 0.81% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
1.58%e,f,g | 26,237,834 | $ | 26,240,458 | |||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%e,f | 480,402 | 480,402 | ||||||
|
| |||||||
26,720,860 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $26,720,020) |
| 26,720,860 | ||||||
|
|
Value | ||||||
TOTAL INVESTMENTS |
| |||||
(Cost: $3,087,037,642) | $ | 3,311,132,331 | ||||
Other Assets, Less Liabilities — (0.13)% | (4,140,625 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 3,306,991,706 | ||||
|
|
ADR — American Depositary Receipts
a | Non-income producing security. |
b | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
c | All or a portion of this security is on loan. |
d | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 44,795,138 | — | (18,557,304 | )b | 26,237,834 | $ | 26,240,458 | $ | 253,345 | c | $ | (6,375 | ) | $ | (3,615 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 800,222 | — | (319,820 | )b | 480,402 | 480,402 | 19,161 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 26,720,860 | $ | 272,506 | $ | (6,375 | ) | $ | (3,615 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI PACIFIC ex JAPAN ETF
February 28, 2018
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
ASX SPI 200 Index | 122 | Mar 2018 | $ | 14,263 | $ | 173,484 | ||||||||||
Hang Seng Index | 23 | Mar 2018 | 4,516 | (42,139 | ) | |||||||||||
MSCI Singapore Index | 120 | Mar 2018 | 3,634 | 2,413 | ||||||||||||
|
| |||||||||||||||
Total |
| $ | 133,758 | |||||||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 3,284,411,142 | $ | — | $ | 329 | $ | 3,284,411,471 | ||||||||
Money market funds | 26,720,860 | — | — | 26,720,860 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,311,132,002 | $ | — | $ | 329 | $ | 3,311,132,331 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 175,897 | $ | — | $ | — | $ | 175,897 | ||||||||
Liabilities | ||||||||||||||||
Futures contracts | (42,139 | ) | — | — | (42,139 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 133,758 | $ | — | $ | — | $ | 133,758 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.64% |
| |||||||
AEROSPACE & DEFENSE — 2.55% |
| |||||||
Singapore Technologies Engineering Ltd. | 6,889,400 | $ | 17,759,273 | |||||
|
| |||||||
17,759,273 | ||||||||
AIRLINES — 2.81% |
| |||||||
Singapore Airlines Ltd. | 2,331,067 | 19,542,301 | ||||||
|
| |||||||
19,542,301 | ||||||||
BANKS — 44.61% |
| |||||||
DBS Group Holdings Ltd. | 5,758,600 | 124,936,176 | ||||||
Oversea-Chinese Banking Corp. Ltd.a | 9,908,850 | 97,826,345 | ||||||
United Overseas Bank Ltd. | 4,167,900 | 87,872,949 | ||||||
|
| |||||||
310,635,470 | ||||||||
CAPITAL MARKETS — 2.80% |
| |||||||
Singapore Exchange Ltd. | 3,415,600 | 19,494,107 | ||||||
|
| |||||||
19,494,107 | ||||||||
DISTRIBUTORS — 1.88% |
| |||||||
Jardine Cycle & Carriage Ltd. | 466,244 | 13,100,722 | ||||||
|
| |||||||
13,100,722 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 4.53% |
| |||||||
Singapore Telecommunications Ltd. | 12,328,468 | 31,500,338 | ||||||
|
| |||||||
31,500,338 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 9.15% |
| |||||||
Ascendas REIT | 10,463,681 | 20,961,375 | ||||||
CapitaLand Commercial Trust | 7,213,783 | 9,434,059 | ||||||
CapitaLand Mall Trust | 10,929,800 | 16,689,871 | ||||||
Suntec REIT | 11,122,700 | 16,648,105 | ||||||
|
| |||||||
63,733,410 | ||||||||
FOOD PRODUCTS — 4.16% |
| |||||||
Golden Agri-Resources Ltd. | 37,205,828 | 10,125,183 | ||||||
Wilmar International Ltd. | 7,718,200 | 18,845,512 | ||||||
|
| |||||||
28,970,695 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 3.13% |
| |||||||
Genting Singapore PLC | 24,885,300 | 21,821,785 | ||||||
|
| |||||||
21,821,785 | ||||||||
INDUSTRIAL CONGLOMERATES — 6.22% |
| |||||||
Keppel Corp. Ltd. | 5,180,000 | 31,404,619 | ||||||
SembCorp Industries Ltd. | 4,921,000 | 11,903,995 | ||||||
|
| |||||||
43,308,614 |
Security | Shares | Value | ||||||
MACHINERY — 1.80% |
| |||||||
Yangzijiang Shipbuilding Holdings Ltd. | 10,981,600 | $ | 12,535,220 | |||||
|
| |||||||
12,535,220 | ||||||||
MEDIA — 1.75% |
| |||||||
Singapore Press Holdings Ltd.a | 6,178,700 | 12,143,947 | ||||||
|
| |||||||
12,143,947 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 7.82% |
| |||||||
CapitaLand Ltd. | 8,236,200 | 22,600,753 | ||||||
City Developments Ltd. | 1,806,900 | 17,429,069 | ||||||
UOL Group Ltd. | 2,238,400 | 14,416,728 | ||||||
|
| |||||||
54,446,550 | ||||||||
ROAD & RAIL — 2.17% |
| |||||||
ComfortDelGro Corp. Ltd. | 9,829,700 | 15,084,319 | ||||||
|
| |||||||
15,084,319 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 3.24% |
| |||||||
Hutchison Port Holdings Trust | 26,792,600 | 9,779,299 | ||||||
SATS Ltd. | 3,258,100 | 12,807,287 | ||||||
|
| |||||||
22,586,586 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.02% |
| |||||||
StarHub Ltd. | 3,770,900 | 7,126,469 | ||||||
|
| |||||||
7,126,469 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $650,625,563) |
| 693,789,806 | ||||||
SHORT-TERM INVESTMENTS — 0.99% |
| |||||||
MONEY MARKET FUNDS — 0.99% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%b,c,d | 6,786,740 | 6,787,419 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 110,673 | 110,673 | ||||||
|
| |||||||
6,898,092 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $6,897,433) |
| 6,898,092 | ||||||
|
|
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SINGAPORE ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $657,522,996) | $ | 700,687,898 | ||||||
Other Assets, Less Liabilities — (0.63)% |
| (4,401,170 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 696,286,728 | |||||
|
|
a | All or a portion of this security is on loan. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
d | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 17,309,109 | — | (10,522,369 | )b | 6,786,740 | $ | 6,787,419 | $ | 23,766 | c | $ | 2,062 | $ | (3,518 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 226,142 | — | (115,469 | )b | 110,673 | 110,673 | 4,019 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 6,898,092 | $ | 27,785 | $ | 2,062 | $ | (3,518 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI Singapore Index | 64 | Mar 2018 | $ | 1,938 | $ | 4,780 | ||||||||||
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SINGAPORE ETF
February 28, 2018
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, 2018. 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 | $ | 693,789,806 | $ | — | $ | — | $ | 693,789,806 | ||||||||
Money market funds | 6,898,092 | — | — | 6,898,092 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 700,687,898 | $ | — | $ | — | $ | 700,687,898 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 4,780 | $ | — | $ | — | $ | 4,780 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,780 | $ | — | $ | — | $ | 4,780 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.96% |
| |||||||
AIRLINES — 0.50% |
| |||||||
China Airlines Ltd.a | 25,416,761 | $ | 10,011,569 | |||||
Eva Airways Corp. | 19,062,278 | 9,793,775 | ||||||
|
| |||||||
19,805,344 | ||||||||
AUTO COMPONENTS — 0.60% |
| |||||||
Cheng Shin Rubber Industry Co. Ltd.b | 13,767,670 | 23,672,725 | ||||||
|
| |||||||
23,672,725 | ||||||||
BANKS — 10.79% |
| |||||||
Chang Hwa Commercial Bank Ltd. | 38,124,848 | 21,938,225 | ||||||
China Development Financial Holding Corp. | 95,310,508 | 34,277,897 | ||||||
CTBC Financial Holding Co. Ltd. | 117,549,325 | 85,961,127 | ||||||
E.Sun Financial Holding Co. Ltd. | 62,481,058 | 41,410,782 | ||||||
First Financial Holding Co. Ltd. | 67,776,171 | 46,429,190 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 54,513,746 | 32,115,786 | ||||||
Mega Financial Holding Co. Ltd. | 75,189,271 | 64,255,529 | ||||||
SinoPac Financial Holdings Co. Ltd. | 77,799,397 | 26,914,213 | ||||||
Taishin Financial Holding Co. Ltd. | 67,386,469 | 32,775,183 | ||||||
Taiwan Business Bank | 36,006,697 | 10,655,679 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 55,663,014 | 32,411,544 | ||||||
|
| |||||||
429,145,155 | ||||||||
BIOTECHNOLOGY — 0.37% |
| |||||||
TaiMed Biologics Inc.a,b | 2,118,000 | 14,654,176 | ||||||
|
| |||||||
14,654,176 | ||||||||
CAPITAL MARKETS — 0.80% |
| |||||||
Yuanta Financial Holding Co. Ltd. | 70,953,248 | 31,958,186 | ||||||
|
| |||||||
31,958,186 | ||||||||
CHEMICALS — 6.64% |
| |||||||
Formosa Chemicals & Fibre Corp. | 21,180,610 | 78,714,055 | ||||||
Formosa Plastics Corp. | 27,534,518 | 97,611,708 | ||||||
Nan Ya Plastics Corp. | 31,770,938 | 87,710,010 | ||||||
|
| |||||||
264,035,773 |
Security | Shares | Value | ||||||
CONSTRUCTION MATERIALS — 1.25% |
| |||||||
Asia Cement Corp. | 18,003,136 | $ | 17,512,598 | |||||
Taiwan Cement Corp. | 25,416,504 | 32,210,808 | ||||||
|
| |||||||
49,723,406 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 2.72% |
| |||||||
Chailease Holding Co. Ltd. | 8,472,937 | 28,498,995 | ||||||
Fubon Financial Holding Co. Ltd. | 44,478,515 | 79,525,218 | ||||||
|
| |||||||
108,024,213 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 2.56% |
| |||||||
Asia Pacific Telecom Co. Ltd.a | 20,121,000 | 6,526,549 | ||||||
Chunghwa Telecom Co. Ltd. | 25,416,648 | 95,327,121 | ||||||
|
| |||||||
101,853,670 | ||||||||
ELECTRICAL EQUIPMENT — 0.34% |
| |||||||
Teco Electric and Machinery Co. Ltd. | 14,826,092 | 13,457,260 | ||||||
Ya Hsin Industrial Co. Ltd.a,c | 6,845,461 | 3 | ||||||
|
| |||||||
13,457,263 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 14.48% |
| |||||||
AU Optronics Corp.b | 62,481,830 | 28,035,552 | ||||||
Delta Electronics Inc. | 13,154,180 | 62,627,152 | ||||||
General Interface Solution Holding Ltd.b | 1,458,000 | 8,914,148 | ||||||
Hon Hai Precision Industry Co. Ltd. | 101,664,003 | 306,780,109 | ||||||
Innolux Corp.b | 64,599,873 | 28,764,650 | ||||||
Largan Precision Co. Ltd.b | 656,794 | 83,124,243 | ||||||
Pacific Electric Wire & Cable Co. Ltd.a,c | 197 | — | ||||||
Synnex Technology International Corp. | 10,590,364 | 14,038,023 | ||||||
WPG Holdings Ltd.b | 12,708,744 | 16,323,677 | ||||||
Yageo Corp. | 1,586,000 | 17,953,897 | ||||||
Zhen Ding Technology Holding Ltd.b | 4,236,072 | 9,271,463 | ||||||
|
| |||||||
575,832,914 | ||||||||
FOOD & STAPLES RETAILING — 1.08% |
| |||||||
President Chain Store Corp. | 4,236,215 | 42,731,425 | ||||||
|
| |||||||
42,731,425 | ||||||||
FOOD PRODUCTS — 2.20% |
| |||||||
Standard Foods Corp.b | 4,282,056 | 10,061,449 | ||||||
Uni-President Enterprises Corp. | 32,829,189 | 77,587,781 | ||||||
|
| |||||||
87,649,230 |
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TAIWAN ETF
February 28, 2018
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 0.26% |
| |||||||
Nien Made Enterprise Co. Ltd. | 1,059,000 | $ | 10,446,541 | |||||
|
| |||||||
10,446,541 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.54% |
| |||||||
Far Eastern New Century Corp. | 24,357,843 | 21,650,118 | ||||||
|
| |||||||
21,650,118 | ||||||||
INSURANCE — 3.64% |
| |||||||
Cathay Financial Holding Co. Ltd. | 54,009,483 | 100,820,908 | ||||||
China Life Insurance Co. Ltd./Taiwan | 18,542,250 | 18,672,129 | ||||||
Shin Kong Financial Holding Co. Ltd.b | 61,422,205 | 25,351,084 | ||||||
|
| |||||||
144,844,121 | ||||||||
LEISURE PRODUCTS — 0.28% |
| |||||||
Giant Manufacturing Co. Ltd.b | 2,118,590 | 11,102,542 | ||||||
|
| |||||||
11,102,542 | ||||||||
MACHINERY — 1.17% |
| |||||||
Airtac International Group | 1,059,000 | 19,405,902 | ||||||
Hiwin Technologies Corp. | 2,118,862 | 27,215,607 | ||||||
|
| |||||||
46,621,509 | ||||||||
MARINE — 0.25% |
| |||||||
Evergreen Marine Corp. Taiwan Ltd.a | 19,062,364 | 10,087,634 | ||||||
|
| |||||||
10,087,634 | ||||||||
METALS & MINING — 1.74% |
| |||||||
China Steel Corp. | 83,661,977 | 69,060,425 | ||||||
|
| |||||||
69,060,425 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.96% |
| |||||||
Formosa Petrochemical Corp. | 9,531,950 | 38,198,974 | ||||||
|
| |||||||
38,198,974 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.53% |
| |||||||
Highwealth Construction Corp.b | 7,413,790 | 11,211,277 | ||||||
Ruentex Development Co. Ltd.a,b | 8,876,127 | 9,774,365 | ||||||
|
| |||||||
20,985,642 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 33.21% |
| |||||||
Advanced Semiconductor Engineering Inc. | 45,537,864 | 62,000,311 | ||||||
Globalwafers Co. Ltd. | 1,604,000 | 23,404,429 | ||||||
Macronix Internationala,b | 12,708,000 | 18,912,593 | ||||||
MediaTek Inc. | 10,262,175 | 105,801,054 | ||||||
Nanya Technology Corp. | 7,413,000 | 20,515,847 | ||||||
Novatek Microelectronics Corp. | 4,236,544 | 18,356,350 |
Security | Shares | Value | ||||||
Phison Electronics Corp.b | 1,059,698 | $ | 10,380,834 | |||||
Powertech Technology Inc. | 5,295,036 | 16,431,651 | ||||||
Realtek Semiconductor Corp. | 3,177,063 | 12,623,154 | ||||||
Siliconware Precision Industries Co. Ltd. | 15,885,834 | 27,695,671 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 108,018,882 | 910,162,353 | ||||||
United Microelectronics Corp.b | 83,661,501 | 40,547,695 | ||||||
Vanguard International Semiconductor Corp.b | 7,413,000 | 15,488,448 | ||||||
Win Semiconductors Corp.b | 2,478,000 | 22,789,231 | ||||||
Winbond Electronics Corp.b | 22,239,000 | 15,158,367 | ||||||
|
| |||||||
1,320,267,988 | ||||||||
SPECIALTY RETAIL — 0.59% |
| |||||||
Hotai Motor Co. Ltd.b | 2,118,000 | 23,613,536 | ||||||
|
| |||||||
23,613,536 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 8.74% |
| |||||||
Acer Inc.b | 23,298,737 | 19,631,413 | ||||||
Advantech Co. Ltd.b | 2,320,614 | 17,288,060 | ||||||
Asustek Computer Inc.b | 4,862,857 | 46,137,637 | ||||||
Catcher Technology Co. Ltd. | 4,613,743 | 55,942,355 | ||||||
Chicony Electronics Co. Ltd. | 5,316,050 | 13,091,880 | ||||||
Compal Electronics Inc. | 30,711,554 | 21,143,746 | ||||||
Foxconn Technology Co. Ltd.b | 6,407,499 | 17,425,816 | ||||||
HTC Corp.a,b | 5,295,884 | 11,065,025 | ||||||
Inventec Corp. | 20,121,868 | 16,093,083 | ||||||
Lite-On Technology Corp.b | 15,938,071 | 22,928,156 | ||||||
Micro-Star International Co. Ltd. | 5,295,000 | 15,506,585 | ||||||
Pegatron Corp. | 13,767,037 | 35,365,991 | ||||||
Quanta Computer Inc.b | 19,062,240 | 38,913,857 | ||||||
Wistron Corp.b | 20,121,130 | 16,885,057 | ||||||
|
| |||||||
347,418,661 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.71% |
| |||||||
Eclat Textile Co. Ltd.b | 1,451,601 | 15,512,648 | ||||||
Feng TAY Enterprise Co. Ltd.b | 3,177,476 | 15,127,988 | ||||||
Formosa Taffeta Co. Ltd. | 7,413,515 | 8,100,259 | ||||||
Pou Chen Corp. | 15,885,103 | 19,995,463 | ||||||
Ruentex Industries Ltd.b | 5,295,262 | 9,304,411 | ||||||
|
| |||||||
68,040,769 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.29% |
| |||||||
Taiwan High Speed Rail Corp. | 14,655,000 | 11,369,415 | ||||||
|
| |||||||
11,369,415 |
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TAIWAN ETF
February 28, 2018
Security | Shares | Value | ||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.72% |
| |||||||
Far EasTone Telecommunications Co. Ltd. | 11,649,259 | $ | 29,526,645 | |||||
Taiwan Mobile Co. Ltd. | 10,590,609 | 38,995,409 | ||||||
|
| |||||||
68,522,054 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,991,061,356) |
| 3,974,773,409 | ||||||
SHORT-TERM INVESTMENTS — 4.43% |
| |||||||
MONEY MARKET FUNDS — 4.43% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 171,911,012 | 171,928,203 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 4,115,073 | 4,115,073 | ||||||
|
| |||||||
176,043,276 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $176,035,241) |
| 176,043,276 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $2,167,096,597) | $ | 4,150,816,685 | ||||||
Other Assets, Less Liabilities — (4.39)% |
| (174,675,997 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 3,976,140,688 | |||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 176,501,828 | — | (4,590,816 | )b | 171,911,012 | $ | 171,928,203 | $ | 1,243,705 | c | $ | (8,561 | ) | $ | (23,710 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | 22,826,941 | — | (18,711,868 | )b | 4,115,073 | 4,115,073 | 45,139 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 176,043,276 | $ | 1,288,844 | $ | (8,561 | ) | $ | (23,710 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TAIWAN ETF
February 28, 2018
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts |
| |||||||||||||||
MSCI Taiwan Index | 1 | Mar 2018 | $ | 40 | $ | (48 | ) | |||||||||
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, 2018. 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 | $ | 3,974,773,406 | $ | — | $ | 3 | $ | 3,974,773,409 | ||||||||
Money market funds | 176,043,276 | — | — | 176,043,276 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,150,816,682 | $ | — | $ | 3 | $ | 4,150,816,685 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Liabilities | ||||||||||||||||
Futures contracts | $ | (48 | ) | $ | — | $ | — | $ | (48 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (48 | ) | $ | — | $ | — | $ | (48 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.72% |
| |||||||
AIRLINES — 0.40% |
| |||||||
Bangkok Airways PCL NVDRa | 2,135,100 | $ | 1,013,475 | |||||
Thai Airways International PCL NVDRb | 1,912,866 | 920,175 | ||||||
|
| |||||||
1,933,650 | ||||||||
AUTO COMPONENTS — 0.17% |
| |||||||
Sri Trang Agro-Industry PCL NVDRa | 2,233,245 | 811,054 | ||||||
|
| |||||||
811,054 | ||||||||
BANKS — 17.49% |
| |||||||
Bangkok Bank PCL Foreign | 715,700 | 5,244,059 | ||||||
Kasikornbank PCL Foreign | 3,366,600 | 24,882,166 | ||||||
Kasikornbank PCL NVDR | 1,794,000 | 13,259,254 | ||||||
Kiatnakin Bank PCL NVDR | 1,075,173 | 2,671,663 | ||||||
Krung Thai Bank PCL NVDR | 10,082,000 | 6,520,057 | ||||||
LH Financial Group PCL NVDR | 12,443,119 | 669,923 | ||||||
Siam Commercial Bank PCL (The) NVDR | 4,485,800 | 21,292,902 | ||||||
Thanachart Capital PCL NVDR | 1,705,500 | 3,029,042 | ||||||
Tisco Financial Group PCL NVDRa | 924,010 | 2,605,125 | ||||||
TMB Bank PCL NVDR | 37,930,000 | 3,625,040 | ||||||
|
| |||||||
83,799,231 | ||||||||
BUILDING PRODUCTS — 0.24% |
| |||||||
Dynasty Ceramic PCL NVDR | 6,794,640 | 744,618 | ||||||
Vanachai Group PCL NVDRa | 1,202,600 | 417,596 | ||||||
|
| |||||||
1,162,214 | ||||||||
CHEMICALS — 6.06% |
| |||||||
Eastern Polymer Group PCL NVDRa | 2,843,800 | 661,349 | ||||||
Global Green Chemicals PCL NVDRa | 487,500 | 254,699 | ||||||
Indorama Ventures PCL NVDR | 4,411,910 | 7,589,778 | ||||||
PTT Global Chemical PCL NVDR | 6,244,407 | 19,743,785 | ||||||
Vinythai PCL NVDR | 717,900 | 771,874 | ||||||
|
| |||||||
29,021,485 | ||||||||
CONSTRUCTION & ENGINEERING — 0.75% |
| |||||||
CH Karnchang PCL NVDRa | 1,233,000 | 1,001,640 | ||||||
Italian-Thai Development PCL NVDRa | 5,073,048 | 546,254 | ||||||
Sino-Thai Engineering & Construction PCL NVDRa | 2,152,728 | 1,371,601 |
Security | Shares | Value | ||||||
Unique Engineering & Construction PCL NVDRa | 1,571,300 | $ | 680,780 | |||||
|
| |||||||
3,600,275 | ||||||||
CONSTRUCTION MATERIALS — 3.81% |
| |||||||
Siam Cement PCL (The) Foreign | 859,700 | 13,419,974 | ||||||
Siam Cement PCL (The) NVDR | 308,700 | 4,818,828 | ||||||
|
| |||||||
18,238,802 | ||||||||
CONSUMER FINANCE — 1.92% |
| |||||||
Group Lease PCLa | 1,220,600 | 349,965 | ||||||
Krungthai Card PCL NVDR | 297,300 | 2,509,860 | ||||||
Muangthai Leasing PCL NVDRa | 1,836,000 | 2,529,691 | ||||||
Ratchthani Leasing PCL NVDRa | 2,491,800 | 785,881 | ||||||
Srisawad Corp PCL NVDRa | 1,536,686 | 3,010,710 | ||||||
|
| |||||||
9,186,107 | ||||||||
CONTAINERS & PACKAGING — 0.10% |
| |||||||
Polyplex Thailand PCL NVDRa | 985,000 | 486,381 | ||||||
|
| |||||||
486,381 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.61% |
| |||||||
Jasmine International PCL NVDRa | 6,580,568 | 1,446,509 | ||||||
Thaicom PCL NVDRa | 1,336,700 | 455,645 | ||||||
True Corp. PCL NVDRb | 28,886,018 | 5,797,449 | ||||||
|
| |||||||
7,699,603 | ||||||||
ELECTRICAL EQUIPMENT — 0.17% |
| |||||||
Gunkul Engineering PCL NVDRa | 6,465,268 | 799,147 | ||||||
|
| |||||||
799,147 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 1.74% |
| |||||||
Cal-Comp Electronics Thailand PCL NVDR | 5,531,612 | 384,164 | ||||||
Delta Electronics Thailand PCL NVDR | 1,439,244 | 3,117,827 | ||||||
Hana Microelectronics PCL NVDR | 1,626,000 | 2,136,747 | ||||||
KCE Electronics PCL NVDR | 761,100 | 1,697,260 | ||||||
Samart Corp. PCL NVDRa | 1,485,137 | 402,156 | ||||||
SVI PCL NVDRa | 4,109,015 | 575,969 | ||||||
|
| |||||||
8,314,123 | ||||||||
FOOD & STAPLES RETAILING — 7.90% |
| |||||||
CP ALL PCL NVDR | 14,149,800 | 37,865,027 | ||||||
|
| |||||||
37,865,027 | ||||||||
FOOD PRODUCTS — 2.95% |
| |||||||
Charoen Pokphand Foods PCL NVDR | 8,696,400 | 6,344,299 | ||||||
GFPT PCL NVDRa | 1,468,300 | 612,766 | ||||||
Ichitan Group PCL NVDRa,b | 1,406,200 | 403,179 |
SCHEDULESOF INVESTMENTS | 43 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND ETF
February 28, 2018
Security | Shares | Value | ||||||
Khon Kaen Sugar Industry PCL NVDRa | 4,612,078 | $ | 564,205 | |||||
Malee Group PCLa | 342,900 | 252,341 | ||||||
Taokaenoi Food & Marketing PCLa | 1,027,100 | 651,140 | ||||||
Thai Union Group PCL NVDR | 5,507,400 | 3,526,561 | ||||||
Thai Vegetable Oil PCL NVDR | 1,147,753 | 1,151,775 | ||||||
Thaifoods Group PCL NVDRa | 3,802,400 | 605,671 | ||||||
|
| |||||||
14,111,937 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 3.88% |
| |||||||
Bangkok Chain Hospital PCL NVDR | 3,521,125 | 1,783,558 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 11,174,600 | 7,867,431 | ||||||
Bumrungrad Hospital PCL NVDR | 1,029,776 | 6,758,008 | ||||||
Chularat Hospital PCL NVDRa | 14,601,500 | 948,935 | ||||||
Vibhavadi Medical Center PCL NVDR | 15,352,000 | 1,242,245 | ||||||
|
| |||||||
18,600,177 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 1.88% |
| |||||||
Erawan Group PCL (The) NVDRa | 3,557,800 | 974,740 | ||||||
Minor International PCL NVDR | 6,235,410 | 8,045,049 | ||||||
|
| |||||||
9,019,789 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 2.30% |
| |||||||
BCPG PCL NVDRa | 1,743,900 | 1,277,786 | ||||||
CK Power PCL NVDRa | 5,378,460 | 692,226 | ||||||
Electricity Generating PCL NVDR | 378,800 | 2,872,074 | ||||||
Glow Energy PCL NVDR | 1,476,900 | 3,987,489 | ||||||
Inter Far East Energy Corp. NVDRa,b,c | 3,184,500 | 1 | ||||||
SPCG PCL NVDRa | 1,098,600 | 857,461 | ||||||
Superblock PCL NVDRa,b | 31,907,550 | 1,046,982 | ||||||
Thai Solar Energy PCLa | 2,256,500 | 283,231 | ||||||
|
| |||||||
11,017,250 | ||||||||
INDUSTRIAL CONGLOMERATES — 1.37% |
| |||||||
Berli Jucker PCL NVDR | 3,454,300 | 6,547,654 | ||||||
|
| |||||||
6,547,654 | ||||||||
IT SERVICES — 0.05% |
| |||||||
Forth Smart Service PCL NVDRa | 736,000 | 260,261 | ||||||
|
| |||||||
260,261 | ||||||||
MARINE — 0.31% |
| |||||||
Precious Shipping PCL NVDRa,b | 1,649,100 | 735,502 | ||||||
Thoresen Thai Agencies PCL NVDR | 2,662,089 | 759,022 | ||||||
|
| |||||||
1,494,524 |
Security | Shares | Value | ||||||
MEDIA — 1.30% |
| |||||||
BEC World PCL NVDR | 2,863,500 | $ | 921,356 | |||||
Major Cineplex Group PCL NVDR | 1,268,700 | 1,071,059 | ||||||
Plan B Media PCLa | 3,162,000 | 639,653 | ||||||
RS PCL NVDRb | 1,330,200 | 1,398,426 | ||||||
VGI Global Media PCL NVDR | 4,980,240 | 1,070,934 | ||||||
Workpoint Entertainment PCLa | 431,000 | 1,108,737 | ||||||
|
| |||||||
6,210,165 | ||||||||
MULTILINE RETAIL — 0.64% |
| |||||||
Robinson PCL NVDR | 1,441,500 | 3,088,273 | ||||||
|
| |||||||
3,088,273 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 21.36% |
| |||||||
Bangchak Corp. PCL NVDR | 1,004,200 | 1,295,639 | ||||||
Banpu PCL NVDR | 5,928,900 | 4,438,648 | ||||||
Energy Absolute PCL NVDRa | 3,228,200 | 6,916,102 | ||||||
Energy Earth PCL NVDRa,c | 4,419,400 | 1 | ||||||
Esso Thailand PCL NVDRb | 3,496,400 | 1,982,667 | ||||||
IRPC PCL NVDR | 28,892,000 | 7,501,427 | ||||||
PTT Exploration & Production PCL NVDR | 4,009,284 | 14,752,224 | ||||||
PTT PCL NVDR | 3,023,600 | 54,711,844 | ||||||
Siamgas & Petrochemicals PCL NVDRa | 1,083,300 | 1,069,841 | ||||||
Thai Oil PCL NVDR | 2,938,900 | 9,643,412 | ||||||
|
| |||||||
102,311,805 | ||||||||
PHARMACEUTICALS — 0.30% |
| |||||||
Mega Lifesciences PCL NVDRa | 1,009,900 | 1,431,684 | ||||||
|
| |||||||
1,431,684 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 5.76% |
| |||||||
Amata Corp. PCL NVDR | 1,518,200 | 1,221,235 | ||||||
Ananda Development PCL NVDRa | 4,446,200 | 715,301 | ||||||
AP Thailand PCL NVDRa | 2,807,786 | 751,367 | ||||||
Bangkok Land PCL NVDR | 29,177,000 | 1,635,920 | ||||||
Central Pattana PCL NVDR | 3,884,000 | 10,424,562 | ||||||
Golden Land Property Development PCL NVDR | 1,441,900 | 427,196 | ||||||
LPN Development PCL NVDR | 1,682,047 | 551,930 | ||||||
Origin Property PCL NVDRa | 1,208,400 | 827,671 | ||||||
Platinum Group PCL (The) NVDR | 2,513,300 | 700,585 | ||||||
Quality Houses PCL NVDR | 12,517,731 | 1,188,367 | ||||||
Sansiri PCL NVDR | 16,260,137 | 1,004,927 | ||||||
SC Asset Corp. PCL NVDRa | 4,440,204 | 531,863 | ||||||
Siam Future Development PCL NVDRa | 2,556,528 | 716,707 |
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND ETF
February 28, 2018
Security | Shares | Value | ||||||
Singha Estate PCL NVDRa,b | 7,011,200 | $ | 844,292 | |||||
Supalai PCL NVDR | 1,744,700 | 1,283,930 | ||||||
TICON Industrial Connection PCL NVDR | 1,342,491 | 752,719 | ||||||
U City PCL NVDRb | 805,602,000 | 769,929 | ||||||
Univentures PCL NVDRa | 1,959,900 | 574,421 | ||||||
WHA Corp. PCL NVDR | 20,256,140 | 2,658,659 | ||||||
|
| |||||||
27,581,581 | ||||||||
ROAD & RAIL — 0.92% |
| |||||||
BTS Group Holdings PCL NVDR | 16,875,400 | 4,381,475 | ||||||
|
| |||||||
4,381,475 | ||||||||
SPECIALTY RETAIL — 2.64% |
| |||||||
Beauty Community PCL NVDRa | 5,196,600 | 3,526,205 | ||||||
Big Camera Corp. PCL NVDRa | 2,813,800 | 268,920 | ||||||
Com7 PCL NVDRa | 1,061,000 | 652,351 | ||||||
Home Product Center PCL NVDR | 11,384,871 | 5,222,751 | ||||||
PTG Energy PCL NVDRa | 1,705,800 | 972,725 | ||||||
Siam Global House PCL NVDRa | 3,876,903 | 2,025,524 | ||||||
|
| |||||||
12,668,476 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.09% |
| |||||||
MC Group PCL NVDRa | 1,090,400 | 448,110 | ||||||
|
| |||||||
448,110 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 6.99% |
| |||||||
Airports of Thailand PCL NVDR | 12,312,700 | 27,751,625 | ||||||
Bangkok Aviation Fuel Services PCL NVDRa | 561,300 | 697,378 | ||||||
Bangkok Expressway & Metro PCL NVDR | 21,611,253 | 5,025,873 | ||||||
|
| |||||||
33,474,876 | ||||||||
WATER UTILITIES — 0.67% |
| |||||||
Eastern Water Resources Development and Management PCL NVDR | 1,502,900 | 588,903 | ||||||
TTW PCL NVDRa | 4,031,266 | 1,708,055 | ||||||
WHA Utilities and Power PCL NVDRb | 3,948,300 | 911,920 | ||||||
|
| |||||||
3,208,878 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 3.95% |
| |||||||
Advanced Info Service PCL NVDR | 3,002,519 | 18,939,113 | ||||||
|
| |||||||
18,939,113 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $419,268,020) |
| 477,713,127 |
Security | Shares | Value | ||||||
RIGHTS — 0.00% |
| |||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.00% |
| |||||||
U City PCL | 590,209,600 | $ | 188 | |||||
|
| |||||||
188 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 188 | ||||||
SHORT-TERM INVESTMENTS — 3.59% |
| |||||||
MONEY MARKET FUNDS — 3.59% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 16,621,861 | 16,623,523 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 604,911 | 604,911 | ||||||
|
| |||||||
17,228,434 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $17,227,317) |
| 17,228,434 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| 494,941,749 | ||||||
Other Assets, Less Liabilities — (3.31)% |
| (15,870,496 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 479,071,253 | |||||
|
|
NVDR — Non-Voting Depositary Receipts
a | All or a portion of this security is on loan. |
b | Non-income producing security. |
c | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 45 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI THAILAND ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 15,082,493 | 1,539,368 | b | — | 16,621,861 | $ | 16,623,523 | $ | 450,405 | c | $ | 610 | $ | (3,408 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 1,168,228 | — | (563,317 | )b | 604,911 | 604,911 | 3,470 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 17,228,434 | $ | 453,875 | $ | 610 | $ | (3,408 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 477,713,125 | $ | — | $ | 2 | $ | 477,713,127 | ||||||||
Rights | — | 188 | — | 188 | ||||||||||||
Money market funds | 17,228,434 | — | — | 17,228,434 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 494,941,559 | $ | 188 | $ | 2 | $ | 494,941,749 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Malaysia ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 2,061,606,921 | $ | 357,454,828 | $ | 450,382,727 | ||||||
Affiliated (Note 2) | 32,487,548 | 17,175,269 | 14,717,067 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 2,094,094,469 | $ | 374,630,097 | $ | 465,099,794 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 2,273,407,166 | $ | 376,936,086 | $ | 640,653,774 | ||||||
Affiliated (Note 2) | 32,489,463 | 17,175,022 | 14,717,359 | |||||||||
Foreign currency, at valueb | 4,548,717 | 79,439 | 394,989 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | 369,730 | 38,762 | — | |||||||||
Receivables: |
| |||||||||||
Investment securities sold | 3,513,302 | — | 1,534,968 | |||||||||
Dividends and interest | 178,939 | 850,059 | 754,344 | |||||||||
Tax reclaims | — | 3,814 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 2,314,507,317 | 395,083,182 | 658,055,434 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES |
| |||||||||||
Payables: |
| |||||||||||
Investment securities purchased | 3,574,747 | — | 1,622,870 | |||||||||
Collateral for securities on loan (Note 1) | 31,533,703 | 16,640,495 | 14,435,431 | |||||||||
Capital shares redeemed | — | 734,328 | — | |||||||||
Futures variation margin | 37,226 | 14,585 | — | |||||||||
Investment advisory fees (Note 2) | 800,835 | 156,827 | 230,751 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 35,946,511 | 17,546,235 | 16,289,052 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,278,560,806 | $ | 377,536,947 | $ | 641,766,382 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 2,572,629,861 | $ | 338,955,315 | $ | 493,450,090 | ||||||
Distributions in excess of net investment income | (32,880,046 | ) | (1,190,644 | ) | (24,463,220 | ) | ||||||
Undistributed net realized gain (accumulated net realized loss) | (472,951,788 | ) | 20,298,101 | (17,486,648 | ) | |||||||
Net unrealized appreciation | 211,762,779 | 19,474,175 | 190,266,160 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 2,278,560,806 | $ | 377,536,947 | $ | 641,766,382 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 88,425,000 | 4,600,000 | 18,225,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 25.77 | $ | 82.07 | $ | 35.21 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $29,932,634, $15,211,687 and $13,700,525, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $4,920,602, $118,219 and $397,679, respectively. |
c | $0.001 par value, number of shares authorized: 375 million, 500 million and 300 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Pacific ex Japan ETF | iShares MSCI Singapore ETF | iShares MSCI Taiwan ETF | ||||||||||
ASSETS |
| |||||||||||
Investments in securities, at cost: |
| |||||||||||
Unaffiliated | $ | 3,060,317,622 | $ | 650,625,563 | $ | 1,991,061,356 | ||||||
Affiliated (Note 2) | 26,720,020 | 6,897,433 | 176,035,241 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 3,087,037,642 | $ | 657,522,996 | $ | 2,167,096,597 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): |
| |||||||||||
Unaffiliated | $ | 3,284,411,471 | $ | 693,789,806 | $ | 3,974,773,409 | ||||||
Affiliated (Note 2) | 26,720,860 | 6,898,092 | 176,043,276 | |||||||||
Foreign currency, at valueb | 9,463,502 | 1,241,343 | 219,212 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | 1,092,636 | 23,533 | — | |||||||||
Cash pledged to broker for futures contracts | — | — | 2,000 | |||||||||
Receivables: |
| |||||||||||
Investment securities sold | 3,260,008 | 27,529,002 | 8,212,854 | |||||||||
Dividends and interest | 13,659,399 | 384,251 | 215,119 | |||||||||
Capital shares sold | — | — | 14,540,274 | |||||||||
Futures variation margin | — | 4,780 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 3,338,607,876 | 729,870,807 | 4,174,006,144 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES |
| |||||||||||
Payables: |
| |||||||||||
Investment securities purchased | 3,968,126 | 26,551,027 | 24,073,164 | |||||||||
Collateral for securities on loan (Note 1) | 26,233,463 | 6,783,186 | 171,942,516 | |||||||||
Futures variation margin | 193,336 | — | 370 | |||||||||
Foreign taxes (Note 1) | — | — | 101,527 | |||||||||
Investment advisory fees (Note 2) | 1,221,245 | 249,866 | 1,747,879 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 31,616,170 | 33,584,079 | 197,865,456 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 3,306,991,706 | $ | 696,286,728 | $ | 3,976,140,688 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: |
| |||||||||||
Paid-in capital | $ | 3,588,836,364 | $ | 916,245,699 | $ | 2,903,704,343 | ||||||
Distributions in excess of net investment income | (26,297,279 | ) | (15,771,615 | ) | (26,038,241 | ) | ||||||
Accumulated net realized loss | (479,664,158 | ) | (247,359,793 | ) | (885,247,703 | ) | ||||||
Net unrealized appreciation | 224,116,779 | 43,172,437 | 1,983,722,289 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 3,306,991,706 | $ | 696,286,728 | $ | 3,976,140,688 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 68,700,000 | 25,900,000 | 105,900,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 48.14 | $ | 26.88 | $ | 37.55 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $24,847,510, $6,440,641 and $161,915,367, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $10,575,350, $1,264,083 and $219,071, respectively. |
c | $0.001 par value, number of shares authorized: 1 billion, 300 million and 900 million, respectively. |
See notes to financial statements.
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Thailand ETF | ||||
ASSETS | ||||
Investments in securities, at cost: | ||||
Unaffiliated | $ | 419,268,020 | ||
Affiliated (Note 2) | 17,227,317 | |||
|
| |||
Total cost of investments in securities | $ | 436,495,337 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 477,713,315 | ||
Affiliated (Note 2) | 17,228,434 | |||
Receivables: | ||||
Investment securities sold | 2,789,490 | |||
Dividends and interest | 879,737 | |||
Capital shares sold | 66,669 | |||
|
| |||
Total Assets | 498,677,645 | |||
|
| |||
LIABILITIES | ||||
Payables: | ||||
Investment securities purchased | 2,797,981 | |||
Collateral for securities on loan (Note 1) | 16,615,944 | |||
Investment advisory fees (Note 2) | 192,467 | |||
|
| |||
Total Liabilities | 19,606,392 | |||
|
| |||
NET ASSETS | $ | 479,071,253 | ||
|
| |||
Net assets consist of: | ||||
Paid-in capital | $ | 462,832,266 | ||
Undistributed net investment income | 657,432 | |||
Accumulated net realized loss | (42,865,480 | ) | ||
Net unrealized appreciation | 58,447,035 | |||
|
| |||
NET ASSETS | $ | 479,071,253 | ||
|
| |||
Shares outstandingb | 4,750,000 | |||
|
| |||
Net asset value per share | $ | 100.86 | ||
|
|
a | Securities on loan with a value of $15,528,080. See Note 1. |
b | $0.001 par value, number of shares authorized: 200 million. |
See notes to financial statements.
FINANCIAL STATEMENTS | 49 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Malaysia ETF | ||||||||||
NET INVESTMENT INCOME |
| |||||||||||
Dividends — unaffiliateda | $ | 15,812,300 | $ | 1,851,360 | $ | 6,407,179 | ||||||
Dividends — affiliated (Note 2) | 18,228 | 1,518 | 4,802 | |||||||||
Securities lending income — affiliated — net (Note 2) | 233,344 | 183,071 | 203,045 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 16,063,872 | 2,035,949 | 6,615,026 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES |
| |||||||||||
Investment advisory fees (Note 2) | 4,709,506 | 670,941 | 1,181,031 | |||||||||
Proxy fees | 186 | 14 | 42 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 4,709,692 | 670,955 | 1,181,073 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 11,354,180 | 1,364,994 | 5,433,953 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: |
| |||||||||||
Investments — unaffiliated | 21,636,690 | (118,045 | ) | 11,660,588 | ||||||||
Investments — affiliated (Note 2) | 2,125 | (954 | ) | (2,811 | ) | |||||||
In-kind redemptions — unaffiliated | — | 24,530,939 | — | |||||||||
Futures contracts | 711,227 | 187,486 | — | |||||||||
Foreign currency transactions | 11,018 | (13,237 | ) | (172,716 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized gain | 22,361,060 | 24,586,189 | 11,485,061 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: |
| |||||||||||
Investments — unaffiliated | 100,575,721 | 5,509,243 | 53,101,226 | |||||||||
Investments — affiliated (Note 2) | (3,829 | ) | (1,475 | ) | (2,343 | ) | ||||||
Futures contracts | (143,728 | ) | (31,473 | ) | — | |||||||
Translation of assets and liabilities in foreign currencies | 7,024 | 21,969 | (9,486 | ) | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 100,435,188 | 5,498,264 | 53,089,397 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 122,796,248 | 30,084,453 | 64,574,458 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 134,150,428 | $ | 31,449,447 | $ | 70,008,411 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $ —, $202,127 and $ —, respectively. |
See notes to financial statements.
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Pacific ex Japan ETF | iShares MSCI Singapore ETF | iShares MSCI Taiwan ETF | ||||||||||
NET INVESTMENT INCOME |
| |||||||||||
Dividends — unaffiliateda | $ | 53,070,792 | $ | 4,801,004 | $ | 3,609,637 | ||||||
Dividends — affiliated (Note 2) | 19,161 | 4,019 | 45,139 | |||||||||
Interest — unaffiliated | — | — | 1,850 | |||||||||
Securities lending income — affiliated — net (Note 2)b | 253,345 | 23,766 | 1,243,705 | |||||||||
|
|
|
|
|
| |||||||
53,343,298 | 4,828,789 | 4,900,331 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | (270,099 | ) | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 53,343,298 | 4,828,789 | 4,630,232 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES |
| |||||||||||
Investment advisory fees (Note 2) | 7,762,557 | 1,510,169 | 11,227,200 | |||||||||
Proxy fees | 321 | 58 | 373 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 7,762,878 | 1,510,227 | 11,227,573 | |||||||||
|
|
|
|
|
| |||||||
Net investment income (loss) | 45,580,420 | 3,318,562 | (6,597,341 | ) | ||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: |
| |||||||||||
Investments — unaffiliated | 8,538,488 | 1,166,030 | 25,561,734 | |||||||||
Investments — affiliated (Note 2) | (6,375 | ) | 2,062 | (8,561 | ) | |||||||
In-kind redemptions — unaffiliated | 35,034,162 | 6,523,893 | — | |||||||||
Futures contracts | 761,482 | 263,656 | 295,666 | |||||||||
Foreign currency transactions | (425,333 | ) | 62,482 | (105,784 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized gain | 43,902,424 | 8,018,123 | 25,743,055 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: |
| |||||||||||
Investments — unaffiliated | 110,121,740 | 57,569,562 | 106,310,162 | |||||||||
Investments — affiliated (Note 2) | (3,615 | ) | (3,518 | ) | (23,710 | ) | ||||||
Futures contracts | 133,758 | (24,176 | ) | (122,636 | ) | |||||||
Translation of assets and liabilities in foreign currencies | (206,151 | ) | (10,829 | ) | (57,788 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 110,045,732 | 57,531,039 | 106,106,028 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 153,948,156 | 65,549,162 | 131,849,083 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 199,528,576 | $ | 68,867,724 | $ | 125,251,742 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $291,633, $143,078 and $615,856, respectively. |
b | Net of securities lending income tax paid of $ —, $ — and $302,780, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 51 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Thailand ETF | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 1,998,703 | ||
Dividends — affiliated (Note 2) | 3,470 | |||
Securities lending income — affiliated — net (Note 2) | 450,405 | |||
|
| |||
Total investment income | 2,452,578 | |||
|
| |||
EXPENSES | ||||
Investment advisory fees (Note 2) | 1,183,330 | |||
Proxy fees | 47 | |||
|
| |||
Total expenses | 1,183,377 | |||
|
| |||
Net investment income | 1,269,201 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||
Net realized gain (loss) from: |
| |||
Investments — unaffiliated | (1,335,112 | ) | ||
Investments — affiliated (Note 2) | 610 | |||
In-kind redemptions — unaffiliated | 9,320,234 | |||
Foreign currency transactions | 4,987 | |||
|
| |||
Net realized gain | 7,990,719 | |||
|
| |||
Net change in unrealized appreciation/depreciation on: |
| |||
Investments — unaffiliated | 73,886,244 | |||
Investments — affiliated (Note 2) | (3,408 | ) | ||
Translation of assets and liabilities in foreign currencies | (763 | ) | ||
|
| |||
Net change in unrealized appreciation/depreciation | 73,882,073 | |||
|
| |||
Net realized and unrealized gain | 81,872,792 | |||
|
| |||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 83,141,993 | ||
|
|
a | Net of foreign withholding tax of $213,999. |
See notes to financial statements.
52 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 11,354,180 | $ | 54,584,827 | $ | 1,364,994 | $ | 2,245,390 | ||||||||
Net realized gain (loss) | 22,361,060 | (4,934,210 | ) | 24,586,189 | 11,931,619 | |||||||||||
Net change in unrealized appreciation/depreciation | 100,435,188 | 243,779,429 | 5,498,264 | 19,303,879 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 134,150,428 | 293,430,046 | 31,449,447 | 33,480,888 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (56,561,270 | ) | (47,903,550 | ) | (1,964,563 | ) | (4,653,375 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (56,561,270 | ) | (47,903,550 | ) | (1,964,563 | ) | (4,653,375 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 345,524,418 | 465,624,058 | 248,816,950 | 116,995,181 | ||||||||||||
Cost of shares redeemed | — | (452,279,138 | ) | (89,980,849 | ) | (121,160,138 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 345,524,418 | 13,344,920 | 158,836,101 | (4,164,957 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 423,113,576 | 258,871,416 | 188,320,985 | 24,662,556 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 1,855,447,230 | 1,596,575,814 | 189,215,962 | 164,553,406 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 2,278,560,806 | $ | 1,855,447,230 | $ | 377,536,947 | $ | 189,215,962 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (32,880,046 | ) | $ | 12,327,044 | $ | (1,190,644 | ) | $ | (591,075 | ) | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 13,275,000 | 21,225,000 | 3,100,000 | 1,800,000 | ||||||||||||
Shares redeemed | — | (21,825,000 | ) | (1,100,000 | ) | (1,900,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 13,275,000 | (600,000 | ) | 2,000,000 | (100,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 53 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Malaysia ETF | iShares MSCI Pacific ex Japan ETF | |||||||||||||||
Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017a | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 5,433,953 | $ | 9,215,501 | $ | 45,580,420 | $ | 96,552,726 | ||||||||
Net realized gain (loss) | 11,485,061 | (5,180,434 | ) | 43,902,424 | 1,737,386 | |||||||||||
Net change in unrealized appreciation/depreciation | 53,089,397 | 3,247,154 | 110,045,732 | 333,667,268 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 70,008,411 | 7,282,221 | 199,528,576 | 431,957,380 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (21,685,305 | ) | (15,799,041 | ) | (83,284,164 | ) | (98,968,999 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (21,685,305 | ) | (15,799,041 | ) | (83,284,164 | ) | (98,968,999 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 177,363,893 | 158,537,129 | 198,596,574 | 627,289,205 | ||||||||||||
Cost of shares redeemed | (21,144,492 | ) | (48,251,620 | ) | (128,275,536 | ) | (197,813,415 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 156,219,401 | 110,285,509 | 70,321,038 | 429,475,790 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 204,542,507 | 101,768,689 | 186,565,450 | 762,464,171 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 437,223,875 | 335,455,186 | 3,120,426,256 | 2,357,962,085 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 641,766,382 | $ | 437,223,875 | $ | 3,306,991,706 | $ | 3,120,426,256 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (24,463,220 | ) | $ | (8,211,868 | ) | $ | (26,297,279 | ) | $ | 11,406,465 | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 5,175,000 | 6,900,000 | 4,200,000 | 14,400,000 | ||||||||||||
Shares redeemed | (600,000 | ) | (3,375,000 | ) | (2,700,000 | ) | (4,800,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 4,575,000 | 3,525,000 | 1,500,000 | 9,600,000 | ||||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Singapore ETF | iShares MSCI Taiwan ETF | |||||||||||||||
Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017a | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income (loss) | $ | 3,318,562 | $ | 16,847,836 | $ | (6,597,341 | ) | $ | 97,355,721 | |||||||
Net realized gain (loss) | 8,018,123 | (26,854,229 | ) | 25,743,055 | 7,103,672 | |||||||||||
Net change in unrealized appreciation/depreciation | 57,531,039 | 116,883,844 | 106,106,028 | 637,093,016 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 68,867,724 | 106,877,451 | 125,251,742 | 741,552,409 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (16,209,761 | ) | (23,963,560 | ) | (104,132,193 | ) | (64,888,894 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (16,209,761 | ) | (23,963,560 | ) | (104,132,193 | ) | (64,888,894 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 80,201,105 | 74,734,333 | 190,530,742 | 500,883,331 | ||||||||||||
Cost of shares redeemed | (36,840,000 | ) | (119,799,002 | ) | — | (69,945,562 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 43,361,105 | (45,064,669 | ) | 190,530,742 | 430,937,769 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 96,019,068 | 37,849,222 | 211,650,291 | 1,107,601,284 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 600,267,660 | 562,418,438 | 3,764,490,397 | 2,656,889,113 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 696,286,728 | $ | 600,267,660 | $ | 3,976,140,688 | $ | 3,764,490,397 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (15,771,615 | ) | $ | (2,880,416 | ) | $ | (26,038,241 | ) | $ | 84,691,293 | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 3,050,000 | 3,400,000 | 5,100,000 | 15,300,000 | ||||||||||||
Shares redeemed | (1,450,000 | ) | (5,600,000 | ) | — | (2,200,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 1,600,000 | (2,200,000 | ) | 5,100,000 | 13,100,000 | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
FINANCIAL STATEMENTS | 55 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Thailand ETF | ||||||||
Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 1,269,201 | $ | 10,325,846 | ||||
Net realized gain | 7,990,719 | 18,501,262 | ||||||
Net change in unrealized appreciation/depreciation | 73,882,073 | 8,462,392 | ||||||
|
|
|
| |||||
Net increase in net assets resulting from operations | 83,141,993 | 37,289,500 | ||||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (2,646,025 | ) | (10,761,008 | ) | ||||
|
|
|
| |||||
Total distributions to shareholders | (2,646,025 | ) | (10,761,008 | ) | ||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 88,091,830 | 125,837,713 | ||||||
Cost of shares redeemed | (45,106,572 | ) | (244,851,266 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in net assets from capital share transactions | 42,985,258 | (119,013,553 | ) | |||||
|
|
|
| |||||
INCREASE (DECREASE) IN NET ASSETS | 123,481,226 | (92,485,061 | ) | |||||
NET ASSETS | ||||||||
Beginning of period | 355,590,027 | 448,075,088 | ||||||
|
|
|
| |||||
End of period | $ | 479,071,253 | $ | 355,590,027 | ||||
|
|
|
| |||||
Undistributed net investment income included in net assets at end of period | $ | 657,432 | $ | 2,034,256 | ||||
|
|
|
| |||||
SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 950,000 | 1,700,000 | ||||||
Shares redeemed | (500,000 | ) | (3,300,000 | ) | ||||
|
|
|
| |||||
Net increase (decrease) in shares outstanding | 450,000 | (1,600,000 | ) | |||||
|
|
|
|
See notes to financial statements.
56 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 24.69 | $ | 21.08 | $ | 19.42 | $ | 21.89 | $ | 18.91 | $ | 16.94 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.14 | 0.68 | 0.54 | 0.52 | 0.66 | 0.48 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 1.65 | 3.54 | 1.72 | (2.50 | ) | 3.04 | 2.05 | |||||||||||||||||
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Total from investment operations | 1.79 | 4.22 | 2.26 | (1.98 | ) | 3.70 | 2.53 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.71 | ) | (0.61 | ) | (0.60 | ) | (0.49 | ) | (0.72 | ) | (0.56 | ) | ||||||||||||
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Total distributions | (0.71 | ) | (0.61 | ) | (0.60 | ) | (0.49 | ) | (0.72 | ) | (0.56 | ) | ||||||||||||
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Net asset value, end of period | $ | 25.77 | $ | 24.69 | $ | 21.08 | $ | 19.42 | $ | 21.89 | $ | 18.91 | ||||||||||||
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Total return | 7.35 | %c | 20.38 | % | 11.94 | % | (9.29 | )% | 19.87 | % | 15.04 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 2,278,561 | $ | 1,855,447 | $ | 1,596,576 | $ | 2,722,224 | $ | 3,221,312 | $ | 2,124,856 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.14 | % | 3.08 | % | 2.73 | % | 2.36 | % | 3.24 | % | 2.47 | % | ||||||||||||
Portfolio turnover ratee | 5 | %c | 8 | % | 9 | % | 7 | % | 6 | % | 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
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Japan Small-Cap ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 72.78 | $ | 60.95 | $ | 56.79 | $ | 56.61 | $ | 49.44 | $ | 42.82 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.37 | 1.02 | 0.84 | 0.70 | 0.70 | 0.65 | ||||||||||||||||||
Net realized and unrealized gainb | 9.47 | 12.62 | 4.29 | 0.71 | 7.61 | 6.97 | ||||||||||||||||||
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Total from investment operations | 9.84 | 13.64 | 5.13 | 1.41 | 8.31 | 7.62 | ||||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.55 | ) | (1.81 | ) | (0.97 | ) | (1.23 | ) | (1.14 | ) | (1.00 | ) | ||||||||||||
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Total distributions | (0.55 | ) | (1.81 | ) | (0.97 | ) | (1.23 | ) | (1.14 | ) | (1.00 | ) | ||||||||||||
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Net asset value, end of period | $ | 82.07 | $ | 72.78 | $ | 60.95 | $ | 56.79 | $ | 56.61 | $ | 49.44 | ||||||||||||
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Total return | 13.55 | %c | 22.81 | % | 9.10 | % | 2.63 | % | 16.94 | % | 18.07 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 377,537 | $ | 189,216 | $ | 164,553 | $ | 159,004 | $ | 169,837 | $ | 88,988 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.96 | % | 1.53 | % | 1.44 | % | 1.26 | % | 1.31 | % | 1.36 | % | ||||||||||||
Portfolio turnover ratee | 1 | %c | 8 | % | 12 | % | 10 | % | 14 | % | 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.
58 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 32.03 | $ | 33.13 | $ | 40.75 | $ | 64.53 | $ | 58.40 | $ | 58.09 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.36 | 0.56 | 1.00 | 1.44 | 2.16 | 1.64 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 4.31 | (0.05 | ) | 2.79 | (23.47 | ) | 6.06 | 0.15 | ||||||||||||||||
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Total from investment operations | 4.67 | 0.51 | 3.79 | (22.03 | ) | 8.22 | 1.79 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.49 | ) | (1.61 | ) | (1.81 | ) | (1.57 | ) | (2.09 | ) | (1.48 | ) | ||||||||||||
Net realized gain | — | — | (9.60 | ) | (0.18 | ) | — | — | ||||||||||||||||
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Total distributions | (1.49 | ) | (1.61 | ) | (11.41 | ) | (1.75 | ) | (2.09 | ) | (1.48 | ) | ||||||||||||
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Net asset value, end of period | $ | 35.21 | $ | 32.03 | $ | 33.13 | $ | 40.75 | $ | 64.53 | $ | 58.40 | ||||||||||||
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Total return | 15.09 | %d | 2.14 | % | 12.58 | % | (34.62 | )% | 14.17 | % | 3.02 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 641,766 | $ | 437,224 | $ | 335,455 | $ | 263,579 | $ | 786,461 | $ | 809,138 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetse | 2.17 | % | 2.73 | % | 2.86 | % | 2.61 | % | 3.48 | % | 2.71 | % | ||||||||||||
Portfolio turnover ratef | 12 | %d | 24 | % | 72 | % | 24 | % | 16 | % | 17 | % |
a | Per share amounts reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. |
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, 2018 and the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 8%, 10%, 17%, 5%, 10%, and 8%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 59 |
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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 46.43 | $ | 40.94 | $ | 38.01 | $ | 51.21 | $ | 44.56 | $ | 43.21 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.67 | 1.60 | 1.54 | 1.97 | 1.88 | 1.69 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.27 | 5.55 | 2.98 | (13.09 | ) | 6.51 | 1.71 | |||||||||||||||||
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Total from investment operations | 2.94 | 7.15 | 4.52 | (11.12 | ) | 8.39 | 3.40 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.23 | ) | (1.66 | ) | (1.59 | ) | (2.08 | ) | (1.74 | ) | (2.05 | ) | ||||||||||||
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Total distributions | (1.23 | ) | (1.66 | ) | (1.59 | ) | (2.08 | ) | (1.74 | ) | (2.05 | ) | ||||||||||||
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Net asset value, end of period | $ | 48.14 | $ | 46.43 | $ | 40.94 | $ | 38.01 | $ | 51.21 | $ | 44.56 | ||||||||||||
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Total return | 6.35 | %c | 18.06 | % | 12.20 | % | (22.19 | )% | 19.25 | % | 7.87 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,306,992 | $ | 3,120,426 | $ | 2,357,962 | $ | 1,984,205 | $ | 3,472,048 | $ | 3,008,067 | ||||||||||||
Ratio of expenses to average net assetsd | 0.48 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.83 | % | 3.69 | % | 4.00 | % | 4.31 | % | 3.90 | % | 3.59 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 3 | % | 6 | % | 7 | % | 8 | % | 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.
60 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Singapore ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 24.70 | $ | 21.22 | $ | 21.25 | $ | 27.93 | $ | 24.98 | $ | 26.19 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.13 | 0.56 | 0.84 | 0.82 | 0.80 | 0.88 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 2.69 | 3.84 | (0.24 | ) | (6.64 | ) | 3.05 | (0.92 | ) | |||||||||||||||
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Total from investment operations | 2.82 | 4.40 | 0.60 | (5.82 | ) | 3.85 | (0.04 | ) | ||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.64 | ) | (0.92 | ) | (0.63 | ) | (0.86 | ) | (0.90 | ) | (1.17 | ) | ||||||||||||
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Total distributions | (0.64 | ) | (0.92 | ) | (0.63 | ) | (0.86 | ) | (0.90 | ) | (1.17 | ) | ||||||||||||
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Net asset value, end of period | $ | 26.88 | $ | 24.70 | $ | 21.22 | $ | 21.25 | $ | 27.93 | $ | 24.98 | ||||||||||||
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Total return | 11.54 | %d | 21.51 | % | 2.87 | % | (21.27 | )% | 15.65 | % | (0.38 | )% | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 696,287 | $ | 600,268 | $ | 562,418 | $ | 609,927 | $ | 984,455 | $ | 1,135,477 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.04 | % | 3.00 | % | 3.96 | % | 3.15 | % | 2.99 | % | 3.23 | % | ||||||||||||
Portfolio turnover ratef | 11 | %d | 12 | % | 7 | % | 10 | % | 4 | % | 10 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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 | 61 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Taiwan ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 37.35 | $ | 30.30 | $ | 27.17 | $ | 32.89 | $ | 27.21 | $ | 25.16 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment income (loss)b | (0.06 | ) | 0.87 | 0.68 | 0.74 | 0.58 | 0.48 | |||||||||||||||||
Net realized and unrealized gain (loss)c | 1.28 | 6.88 | 3.25 | (5.88 | ) | 5.62 | 2.11 | |||||||||||||||||
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Total from investment operations | 1.22 | 7.75 | 3.93 | (5.14 | ) | 6.20 | 2.59 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.02 | ) | (0.70 | ) | (0.80 | ) | (0.58 | ) | (0.52 | ) | (0.54 | ) | ||||||||||||
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Total distributions | (1.02 | ) | (0.70 | ) | (0.80 | ) | (0.58 | ) | (0.52 | ) | (0.54 | ) | ||||||||||||
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Net asset value, end of period | $ | 37.55 | $ | 37.35 | $ | 30.30 | $ | 27.17 | $ | 32.89 | $ | 27.21 | ||||||||||||
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Total return | 3.44 | %d | 26.17 | % | 15.02 | % | (15.79 | )% | 23.24 | % | 10.30 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,976,141 | $ | 3,764,490 | $ | 2,656,889 | $ | 3,276,410 | $ | 3,298,664 | $ | 2,641,997 | ||||||||||||
Ratio of expenses to average net assetse | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income (loss) to average net assetse | (0.35 | )% | 3.10 | % | 2.51 | % | 2.36 | % | 1.98 | % | 1.80 | % | ||||||||||||
Portfolio turnover ratef | 6 | %d | 11 | % | 27 | % | 14 | % | 11 | % | 21 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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, 2018 and the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 4%, 8%, 9%, 4%, 4% and 6% respectively. See Note 4. |
See notes to financial statements.
62 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Thailand ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 82.70 | $ | 75.94 | $ | 65.01 | $ | 83.41 | $ | 67.73 | $ | 70.53 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.29 | 1.99 | 2.05 | 1.66 | 1.67 | 1.84 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 18.50 | 6.90 | 10.54 | (17.98 | ) | 15.84 | (2.75 | ) | ||||||||||||||||
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Total from investment operations | 18.79 | 8.89 | 12.59 | (16.32 | ) | 17.51 | (0.91 | ) | ||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.63 | ) | (2.13 | ) | (1.66 | ) | (2.08 | ) | (1.83 | ) | (1.89 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
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| |||||||||||||
Total distributions | (0.63 | ) | (2.13 | ) | (1.66 | ) | (2.08 | ) | (1.83 | ) | (1.89 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 100.86 | $ | 82.70 | $ | 75.94 | $ | 65.01 | $ | 83.41 | $ | 67.73 | ||||||||||||
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|
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| |||||||||||||
Total return | 22.82 | %c | 12.01 | % | 19.87 | % | (19.92 | )% | 26.18 | % | (1.65 | )% | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 479,071 | $ | 355,590 | $ | 448,075 | $ | 237,304 | $ | 571,370 | $ | 541,873 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.63 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.63 | % | 2.63 | % | 3.08 | % | 2.09 | % | 2.24 | % | 2.22 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 7 | % | 16 | % | 13 | % | 9 | % | 24 | % |
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 | 63 |
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 | Former Name | Diversification Classification | ||
MSCI Hong Kong | N/A | Non-diversified | ||
MSCI Japan Small-Cap | N/A | Diversified | ||
MSCI Malaysia | N/A | Non-diversified | ||
MSCI Pacific ex Japan | N/A | Diversified | ||
MSCI Singapore | iShares MSCI Singapore Capped ETF | Non-diversified | ||
MSCI Taiwan | iShares MSCI Taiwan Capped ETF | Non-diversified | ||
MSCI Thailand | iShares MSCI Thailand Capped ETF | 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. |
64 | 2018 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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 65 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, 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.
66 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 67 |
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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Hong Kong | ||||||||||||
Citigroup Global Markets Inc. | $ | 448,260 | $ | 448,260 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 2,021,281 | 2,021,281 | — | |||||||||
Goldman Sachs & Co. | 787,413 | 787,413 | — | |||||||||
Macquarie Bank Limited | 2,061,325 | 2,061,325 | — | |||||||||
Morgan Stanley & Co. LLC | 24,411,857 | 24,411,857 | — | |||||||||
State Street Bank & Trust Company | 202,498 | 202,498 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 29,932,634 | $ | 29,932,634 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Japan Small-Cap | ||||||||||||
Barclays Capital Inc. | $ | 1,095,678 | $ | 1,095,678 | $ | — | ||||||
Citigroup Global Markets Inc. | 534,535 | 534,535 | — | |||||||||
Credit Suisse Securities (USA) LLC | 344,888 | 344,888 | — | |||||||||
Deutsche Bank Securities Inc. | 279,060 | 279,060 | — | |||||||||
Goldman Sachs & Co. | 1,430,355 | 1,430,355 | — | |||||||||
HSBC Bank PLC | 147,896 | 147,896 | — | |||||||||
JPMorgan Securities LLC | 5,861,776 | 5,861,776 | — | |||||||||
Macquarie Bank Limited | 792,662 | 792,662 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,462,314 | 1,462,314 | — | |||||||||
Morgan Stanley & Co. LLC | 2,338,779 | 2,338,779 | — | |||||||||
State Street Bank & Trust Company | 509,372 | 509,372 | — | |||||||||
UBS AG | 414,372 | 414,372 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 15,211,687 | $ | 15,211,687 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Malaysia | ||||||||||||
JPMorgan Securities PLC | $ | 1,717,848 | $ | 1,717,848 | $ | — | ||||||
Macquarie Bank Limited | 4,643,264 | 4,643,264 | — | |||||||||
Morgan Stanley & Co. International PLC | 7,327,551 | 7,327,551 | — | |||||||||
UBS AG | 11,862 | 11,862 | — | |||||||||
|
|
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|
| |||||||
$ | 13,700,525 | $ | 13,700,525 | $ | — | |||||||
|
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|
|
| |||||||
MSCI Pacific ex Japan | ||||||||||||
Deutsche Bank Securities Inc. | $ | 169,306 | $ | 169,306 | $ | — | ||||||
Goldman Sachs & Co. | 7,557,431 | 7,557,431 | — | |||||||||
JPMorgan Securities LLC | 1,709,799 | 1,709,799 | — | |||||||||
Macquarie Bank Limited | 3,149,417 | 3,149,417 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 2,403,082 | 2,403,082 | — | |||||||||
Morgan Stanley & Co. LLC | 6,094,924 | 6,094,924 | — | |||||||||
Scotia Capital (USA) Inc. | 677,224 | 677,224 | — | |||||||||
UBS Securities LLC | 3,086,327 | 3,086,327 | — | |||||||||
|
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|
|
|
| |||||||
$ | 24,847,510 | $ | 24,847,510 | $ | — | |||||||
|
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|
|
|
| |||||||
68 | 2018 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 Singapore | ||||||||||||
Goldman Sachs & Co. | $ | 340,316 | $ | 340,316 | $ | — | ||||||
JPMorgan Securities LLC | 16,882 | 16,882 | — | |||||||||
Morgan Stanley & Co. LLC | 6,083,443 | 6,083,443 | — | |||||||||
|
|
|
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|
| |||||||
$ | 6,440,641 | $ | 6,440,641 | $ | — | |||||||
|
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| |||||||
MSCI Taiwan | ||||||||||||
Citigroup Global Markets Ltd. | $ | 26,870,883 | $ | 26,870,883 | $ | — | ||||||
Credit Suisse Securities (Europe) Ltd. | 25,454,973 | 25,454,973 | — | |||||||||
JPMorgan Securities PLC | 22,289,808 | 22,289,808 | — | |||||||||
Morgan Stanley & Co. International PLC | 86,955,814 | 86,955,814 | — | |||||||||
UBS Ltd. | 343,889 | 343,889 | — | |||||||||
|
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| |||||||
$ | 161,915,367 | $ | 161,915,367 | $ | — | |||||||
|
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| |||||||
MSCI Thailand | ||||||||||||
Barclays Capital Inc. | $ | 1,154,902 | $ | 1,154,902 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 2,805,742 | 2,805,742 | — | |||||||||
Deutsche Bank Securities Inc. | 999,277 | 999,277 | — | |||||||||
Goldman Sachs & Co. | 1,472,936 | 1,472,936 | — | |||||||||
JPMorgan Securities LLC | 1,771,612 | 1,771,612 | — | |||||||||
Macquarie Bank Limited | 177,095 | 177,095 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 821,175 | 821,175 | — | |||||||||
Morgan Stanley & Co. LLC | 4,396,172 | 4,396,172 | — | |||||||||
Scotia Capital (USA) Inc. | 127,429 | 127,429 | — | |||||||||
UBS AG | 1,771,857 | 1,771,857 | — | |||||||||
UBS Securities LLC | 29,883 | 29,883 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 15,528,080 | $ | 15,528,080 | $ | — | |||||||
|
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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. |
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 | 69 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 ETFs, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, 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, up to and including $96 billion | ||||
0.32 | Over $96 billion |
For its investment advisory services to the iShares MSCI Pacific ex Japan ETF, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Fund, 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 and iShares MSCI Thailand ETFs, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, 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 |
70 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Hong Kong | $ | 54,794 | ||
MSCI Japan Small-Cap | 40,559 | |||
MSCI Malaysia | 42,419 | |||
MSCI Pacific ex Japan | 61,482 | |||
MSCI Singapore | 6,534 | |||
MSCI Taiwan | 342,632 | |||
MSCI Thailand | 95,454 |
For the six months ended February 28, 2018, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares MSCI Taiwan ETF in the amount of $32,584, related to the foreign tax on the securities lending income. The voluntary waiver was discontinued effective January 1, 2018. 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.
NOTESTO FINANCIAL STATEMENTS | 71 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2018, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Hong Kong | $ | 9,612,154 | $ | 8,236,300 | ||||
MSCI Japan Small-Cap | 2,218,995 | 295,496 | ||||||
MSCI Pacific ex Japan | 7,779,088 | 2,799,534 | ||||||
MSCI Singapore | 1,911,123 | 8,128,246 |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Hong Kong | $ | 130,002,654 | $ | 92,622,487 | ||||
MSCI Japan Small-Cap | 11,572,406 | 2,624,483 | ||||||
MSCI Malaysia | 215,860,687 | 59,501,183 | ||||||
MSCI Pacific ex Japan | 117,724,799 | 66,017,822 | ||||||
MSCI Singapore | 75,681,946 | 70,293,970 | ||||||
MSCI Taiwan | 354,310,254 | 245,176,541 | ||||||
MSCI Thailand | 9,720,307 | 9,817,831 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Hong Kong | $ | 300,002,788 | $ | — | ||||
MSCI Japan Small-Cap | 238,141,079 | 88,860,030 | ||||||
MSCI Pacific ex Japan | 123,736,113 | 123,920,334 | ||||||
MSCI Singapore | 62,584,122 | 35,645,075 | ||||||
MSCI Thailand | 87,655,152 | 44,764,736 |
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.
72 | 2018 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.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares MSCI Pacific ex Japan ETF | iShares MSCI Singapore ETF | |||||||
Futures contracts: |
| |||||||
Variation margin / Net assets consist of – net unrealized appreciationa | $ | 175,897 | $ | 4,780 | ||||
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| |||||
a | Represents cumulative appreciation of futures contracts as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities for the iShares MSCI Pacific ex Japan ETF. |
NOTESTO FINANCIAL STATEMENTS | 73 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Liabilities | ||||||||||||||||
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Pacific ex Japan ETF | iShares MSCI Taiwan ETF | |||||||||||||
Futures contracts: |
| |||||||||||||||
Variation margin / Net assets consist of – net unrealized appreciationb | $ | 37,226 | $ | 31,473 | $ | 42,139 | $ | 48 | ||||||||
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b | Represents cumulative depreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities for the iShares MSCI Japan Small-Cap ETF, iShares MSCI Pacific ex Japan ETF and iShares MSCI Taiwan ETF. |
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Pacific ex Japan ETF | ||||||||||
Futures contracts | $ | 711,227 | $ | 187,486 | $ | 761,482 | ||||||
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| |||||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI Hong Kong ETF | Shares MSCI Japan Small-Cap ETF | iShares MSCI Pacific ex Japan ETF | ||||||||||
Futures contracts | $ | (143,728 | ) | $ | (31,473 | ) | $ | 133,758 | ||||
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| |||||||
Net Realized Gain (Loss) | ||||||||
iShares MSCI Singapore | iShares MSCI Taiwan | |||||||
Futures contracts | $ | 263,656 | $ | 295,666 | ||||
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|
|
| |||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||
iShares MSCI Singapore | iShares MSCI Taiwan | |||||||
Futures contracts | $ | (24,176 | ) | $ | (122,636 | ) | ||
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74 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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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, 2018:
iShares MSCI Hong Kong ETF | iShares MSCI Japan Small-Cap ETF | iShares MSCI Pacific ex Japan ETF | ||||||||||
Average notional value of contracts purchased | $ | 6,607,316 | $ | 920,184 | $ | 13,237,862 | ||||||
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| |||||||
iShares MSCI Singapore | iShares MSCI Taiwan | |||||||
Average notional value of contracts purchased | $ | 3,011,786 | $ | 10,318,247 | ||||
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| |||||
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the
NOTESTO FINANCIAL STATEMENTS | 75 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital 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.
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, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
MSCI Hong Kong | $ | 324,895,525 | $ | 114,836,904 | $ | 34,565,959 | $ | 474,298,388 | ||||||||
MSCI Japan Small-Cap | 2,856,676 | 541,322 | 203,697 | 3,601,695 | ||||||||||||
MSCI Malaysia | 14,406,515 | — | — | 14,406,515 | ||||||||||||
MSCI Pacific ex Japan | 322,330,812 | 104,799,503 | 36,600,987 | 463,731,302 | ||||||||||||
MSCI Singapore | 101,383,410 | 132,420,824 | 11,588,528 | 245,392,762 | ||||||||||||
MSCI Taiwan | 335,557,692 | 363,052,013 | 19,669,958 | 718,279,663 | ||||||||||||
MSCI Thailand | 37,227,149 | 2,321,428 | 1,304,910 | 40,853,487 |
a | Must be utilized prior to losses subject to expiration. |
76 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Hong Kong | $ | 2,115,108,929 | $ | 320,932,214 | $ | (130,181,740 | ) | $ | 190,750,474 | |||||||
MSCI Japan Small-Cap | 376,877,755 | 29,901,797 | (12,699,917 | ) | 17,201,880 | |||||||||||
MSCI Malaysia | 491,769,856 | 199,438,365 | (35,837,088 | ) | 163,601,277 | |||||||||||
MSCI Pacific ex Japan | 3,164,748,282 | 494,486,473 | (347,968,666 | ) | 146,517,807 | |||||||||||
MSCI Singapore | 672,572,705 | 96,396,443 | (68,276,470 | ) | 28,119,973 | |||||||||||
MSCI Taiwan | 2,378,874,794 | 2,016,248,035 | (244,306,192 | ) | 1,771,941,843 | |||||||||||
MSCI Thailand | 446,498,049 | 88,289,417 | (39,845,717 | ) | 48,443,700 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
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.
NOTESTO FINANCIAL STATEMENTS | 77 |
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 Japan Small-Cap | $ | 0.498695 | $ | — | $ | 0.047017 | $ | 0.545712 | 91 | % | — | % | 9 | % | 100 | % | ||||||||||||||||
MSCI Pacific ex Japan | 1.095348 | — | 0.133032 | 1.228380 | 89 | — | 11 | 100 | ||||||||||||||||||||||||
MSCI Singapore | 0.136941 | — | 0.503761 | 0.640702 | 21 | — | 79 | 100 | ||||||||||||||||||||||||
MSCI Taiwan | 0.990806 | — | 0.028100 | 1.018906 | 97 | — | 3 | 100 |
78 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
GENERAL INFORMATION | 79 |
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Notes:
80 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 81 |
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Notes:
82 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-803-0218
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Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares MSCI Brazil ETF | EWZ | NYSE Arca |
Ø | iShares MSCI Chile ETF | ECH | Cboe BZX |
Ø | iShares MSCI Colombia ETF | ICOL | NYSE Arca |
Ø | iShares MSCI Israel ETF | EIS | NYSE Arca |
Ø | iShares MSCI Russia ETF | ERUS | NYSE Arca |
Ø | iShares MSCI South Africa ETF | EZA | NYSE Arca |
Ø | iShares MSCI Turkey ETF | TUR | NASDAQ |
Ø | iShares MSCI USA Equal Weighted ETF | EUSA | NYSE Arca |
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iSHARES® MSCI BRAZIL ETF
Performance as of February 28, 2018
The iShares MSCI Brazil ETF (the “Fund”) (formerly the iShares MSCI Brazil Capped ETF) 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, 2018, the total return for the Fund was 14.67%, net of fees, while the total return for the Index was 14.92%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 20.25% | 22.85% | 20.91% | 20.25% | 22.85% | 20.91% | ||||||||||||||||||||||
5 Years | (1.30)% | (1.18)% | (0.69)% | (6.31)% | (5.75)% | (3.39)% | ||||||||||||||||||||||
10 Years | (2.89)% | (2.93)% | (2.38)% | (25.38)% | (25.70)% | (21.43)% |
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.
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,146.70 | $ | 3.14 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 36.37 | % | ||
Materials | 16.09 | |||
Energy | 11.79 | |||
Consumer Staples | 10.59 | |||
Industrials | 6.02 | |||
Utilities | 5.76 | |||
Consumer Discretionary | 4.77 | |||
Telecommunication Services | 2.85 | |||
Information Technology | 2.32 | |||
Health Care | 1.96 | |||
Real Estate | 1.48 | |||
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TOTAL | 100.00 | % | ||
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TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Itau Unibanco Holding SA (Preferred) | 11.62 | % | ||
Vale SA | 10.21 | |||
Banco Bradesco SA (Preferred) | 8.29 | |||
Petroleo Brasileiro SA (Preferred) | 5.05 | |||
Ambev SA | 4.49 | |||
B3 SA — Brasil Bolsa Balcao | 4.17 | |||
Petroleo Brasileiro SA | 3.92 | |||
Itausa-Investimentos Itau SA (Preferred) | 3.43 | |||
Banco do Brasil SA | 2.79 | |||
Cielo SA | 2.32 | |||
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TOTAL | 56.29 | % | ||
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* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
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Fund Performance Overview
iSHARES® MSCI CHILE ETF
Performance as of February 28, 2018
The iShares MSCI Chile ETF (the “Fund”) (formerly the iShares MSCI Chile Capped ETF) seeks to track the investment results of a broad-based index composed of Chilean equities, as represented by the MSCI Chile IMI 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, 2018, the total return for the Fund was 12.91%, net of fees, while the total return for the Index was 13.14%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 35.82% | 35.54% | 36.10% | 35.82% | 35.54% | 36.10% | ||||||||||||||||||||||
5 Years | (2.44)% | (2.46)% | (2.22)% | (11.62)% | (11.69)% | (10.60)% | ||||||||||||||||||||||
10 Years | 2.55% | 2.41% | 3.09% | 28.63% | 26.95% | 35.59% |
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 IMI 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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,129.10 | $ | 3.11 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Utilities | 24.08 | % | ||
Financials | 19.28 | |||
Materials | 12.08 | |||
Consumer Discretionary | 11.25 | |||
Consumer Staples | 10.95 | |||
Energy | 8.30 | |||
Industrials | 7.22 | |||
Real Estate | 2.76 | |||
Telecommunication Services | 2.55 | |||
Information Technology | 1.53 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
SACI Falabella | 8.97 | % | ||
Empresas COPEC SA | 8.30 | |||
Enel Americas SA | 8.04 | |||
Banco Santander Chile | 6.53 | |||
Sociedad Quimica y Minera de Chile SA Series B (Preferred) | 5.88 | |||
Cencosud SA | 4.58 | |||
LATAM Airlines Group SA | 4.54 | |||
Empresas CMPC SA | 4.45 | |||
Banco de Credito e Inversiones SA | 4.36 | |||
Banco de Chile | 4.01 | |||
|
| |||
TOTAL | 59.66 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI COLOMBIA ETF
Performance as of February 28, 2018
The iShares MSCI Colombia ETF (the “Fund”) (formerly the iShares MSCI Colombia Capped ETF) 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, 2018, the total return for the Fund was 1.52%, net of fees, while the total return for the Index was 1.79%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 13.41% | 14.74% | 13.89% | 13.41% | 14.74% | 13.89% | ||||||||||||||||||||||
Since Inception | (9.23)% | (8.92)% | (8.94)% | (36.58)% | (35.56)% | (35.61)% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,015.20 | $ | 3.05 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 34.13 | % | ||
Materials | 17.37 | |||
Energy | 17.19 | |||
Utilities | 15.88 | |||
Consumer Staples | 9.23 | |||
Industrials | 4.84 | |||
Telecommunication Services | 1.36 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Bancolombia SA (Preferred) | 12.70 | % | ||
Ecopetrol SA | 11.34 | |||
Bancolombia SA | 6.05 | |||
Grupo Argos SA/Colombia | 4.82 | |||
Grupo Energia Bogota SA ESP | 4.70 | |||
Interconexion Electrica SA ESP | 4.68 | |||
Grupo Nutresa SA | 4.67 | |||
Almacenes Exito SA | 4.57 | |||
Grupo de Inversiones Suramericana SA | 4.37 | |||
Banco Davivienda SA (Preferred) | 4.27 | |||
|
| |||
TOTAL | 62.17 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI ISRAEL ETF
Performance as of February 28, 2018
The iShares MSCI Israel ETF (the “Fund”) (formerly the iShares MSCI Israel Capped ETF) 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, 2018, the total return for the Fund was 8.70%, net of fees, while the total return for the Index was 8.96%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 4.59% | 4.24% | 5.06% | 4.59% | 4.24% | 5.06% | ||||||||||||||||||||||
5 Years | 5.64% | 5.48% | 6.04% | 31.59% | 30.59% | 34.09% | ||||||||||||||||||||||
Since Inception | 2.65% | 2.61% | 3.10% | 29.72% | 29.19% | 35.37% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,087.00 | $ | 3.05 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 27.13 | % | ||
Financials | 23.68 | |||
Health Care | 15.90 | |||
Real Estate | 8.97 | |||
Materials | 6.42 | |||
Industrials | 5.52 | |||
Telecommunication Services | 4.43 | |||
Energy | 3.49 | |||
Consumer Staples | 2.03 | |||
Consumer Discretionary | 1.76 | |||
Utilities | 0.67 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Teva Pharmaceutical Industries Ltd. ADR | 14.98 | % | ||
Check Point Software Technologies Ltd. | 11.89 | |||
Bank Leumi Le-Israel BM | 7.50 | |||
Bank Hapoalim BM | 6.49 | |||
Nice Ltd. | 4.55 | |||
Frutarom Industries Ltd. | 3.34 | |||
Elbit Systems Ltd. | 3.15 | |||
Israel Discount Bank Ltd. Class A | 3.04 | |||
Bezeq The Israeli Telecommunication Corp. Ltd. | 2.98 | |||
Mizrahi Tefahot Bank Ltd. | 2.45 | |||
|
| |||
TOTAL | 60.37 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI RUSSIA ETF
Performance as of February 28, 2018
The iShares MSCI Russia ETF (the “Fund”) (formerly the iShares MSCI Russia Capped ETF) 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, 2018, the total return for the Fund was 21.31%, net of fees, while the total return for the Index was 21.70%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 24.82% | 23.65% | 24.95% | 24.82% | 23.65% | 24.95% | ||||||||||||||||||||||
5 Years | 0.01% | (0.21)% | 0.62% | 0.04% | (1.05)% | 3.15% | ||||||||||||||||||||||
Since Inception | (0.69)% | (0.89)% | (0.10)% | (4.91)% | (6.30)% | (0.72)% |
The inception date of the Fund was 11/9/10. The first day of secondary market trading was 11/10/10.
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 13 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,213.10 | $ | 3.24 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Energy | 41.80 | % | ||
Financials | 27.09 | |||
Materials | 19.05 | |||
Consumer Staples | 4.41 | |||
Telecommunication Services | 3.93 | |||
Utilities | 3.72 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Sberbank of Russia PJSC ADR | 14.76 | % | ||
Lukoil PJSC | 11.49 | |||
Gazprom PJSC | 10.33 | |||
Sberbank of Russia PJSC | 6.88 | |||
Tatneft PJSC Class S | 4.70 | |||
Novatek PJSC GDR | 4.66 | |||
MMC Norilsk Nickel PJSC | 4.63 | |||
Magnit PJSC GDR | 4.41 | |||
Mobile TeleSystems PJSC ADR | 3.93 | |||
Severstal PJSC | 3.15 | |||
|
| |||
TOTAL | 68.94 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SOUTH AFRICA ETF
Performance as of February 28, 2018
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 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, 2018, the total return for the Fund was 15.98%, net of fees, while the total return for the Index was 16.41%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 years | 1 Year | 5 Years | 10 years | |||||||||||||||||||||||
NAV | 32.30% | 4.85% | 4.98% | 32.30% | 26.70% | 62.52% | ||||||||||||||||||||||
MARKET | 32.14% | 4.79% | 5.09% | 32.14% | 26.38% | 64.22% | ||||||||||||||||||||||
INDEX a | 33.37% | 5.53% | 5.82% | 33.37% | 30.87% | 76.11% | ||||||||||||||||||||||
MSCI South Africa Index | 33.34% | 5.52% | 5.82% | 33.34% | 30.84% | 76.07% | ||||||||||||||||||||||
MSCI South Africa 25/50 Index b | n/a | n/a | n/a | n/a | n/a | n/a |
a | Index performance through August 31, 2017 reflects the performance of the MSCI South Africa Index. Index performance beginning on September 1, 2017 reflects the performance of the MSCI South Africa 25/50 Index, which, effective as of September 1, 2017, replaced the MSCI South Africa Index as the underlying index of the Fund. |
b | The inception date of the MSCI South Africa 25/50 Index was May 12, 2017. |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,159.80 | $ | 3.16 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 30.82 | % | ||
Consumer Discretionary | 28.95 | |||
Materials | 10.97 | |||
Consumer Staples | 8.79 | |||
Telecommunication Services | 7.53 | |||
Real Estate | 6.23 | |||
Health Care | 4.07 | |||
Industrials | 1.79 | |||
Energy | 0.85 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Naspers Ltd. Class N | 22.03 | % | ||
Standard Bank Group Ltd. | 6.17 | |||
FirstRand Ltd. | 5.46 | |||
Sasol Ltd. | 5.05 | |||
MTN Group Ltd. | 4.79 | |||
Barclays Africa Group Ltd. | 3.12 | |||
Sanlam Ltd. | 2.91 | |||
Remgro Ltd. | 2.91 | |||
Shoprite Holdings Ltd. | 2.64 | |||
Aspen Pharmacare Holdings Ltd. | 2.39 | |||
|
| |||
TOTAL | 57.47 | % | ||
|
|
* | Excludes money market funds. |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI TURKEY ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was -2.67%, net of fees, while the total return for the Index was -2.52%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 30.06% | 30.73% | 30.48% | 30.06% | 30.73% | 30.48% | ||||||||||||||||||||||
5 Years | (5.49)% | (5.45)% | (5.16)% | (24.62)% | (24.42)% | (23.26)% | ||||||||||||||||||||||
Since Inception | 0.94% | 0.90% | 1.29% | 9.73% | 9.35% | 13.56% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 973.30 | $ | 2.89 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 34.51 | % | ||
Industrials | 18.62 | |||
Materials | 12.30 | |||
Consumer Staples | 10.85 | |||
Telecommunication Services | 7.56 | |||
Consumer Discretionary | 6.62 | |||
Energy | 5.64 | |||
Real Estate | 2.08 | |||
Utilities | 1.35 | |||
Information Technology | 0.30 | |||
Health Care | 0.17 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Turkiye Garanti Bankasi AS | 10.08 | % | ||
Akbank Turk AS | 8.70 | |||
Turkcell Iletisim Hizmetleri AS | 6.28 | |||
BIM Birlesik Magazalar AS | 5.95 | |||
Eregli Demir ve Celik Fabrikalari TAS | 5.92 | |||
Tupras Turkiye Petrol Rafinerileri AS | 5.45 | |||
KOC Holding AS | 5.09 | |||
Turkiye Is Bankasi AS Class C | 4.45 | |||
Turk Hava Yollari AO | 3.92 | |||
Haci Omer Sabanci Holding AS | 3.67 | |||
|
| |||
TOTAL | 59.51 | % | ||
|
|
* | 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, 2018
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, 2018, the total return for the Fund was 9.16%, net of fees, while the total return for the Index was 9.24%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 12.81% | 12.76% | 12.95% | 12.81% | 12.76% | 12.95% | ||||||||||||||||||||||
5 Years | 13.34% | 13.35% | 13.50% | 87.05% | 87.15% | 88.37% | ||||||||||||||||||||||
Since Inception | 12.89% | 12.88% | 13.06% | 158.08% | 157.99% | 161.18% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,091.60 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 16.13 | % | ||
Consumer Discretionary | 15.33 | |||
Financials | 14.42 | |||
Industrials | 13.85 | |||
Health Care | 10.91 | |||
Real Estate | 6.39 | |||
Energy | 6.15 | |||
Consumer Staples | 5.89 | |||
Utilities | 5.11 | |||
Materials | 4.86 | |||
Telecommunication Services | 0.96 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Veeva Systems Inc. Class A | 0.19 | % | ||
Hewlett Packard Enterprise Co. | 0.18 | |||
Macy’s Inc. | 0.18 | |||
Booking Holdings Inc. | 0.18 | |||
Micron Technology Inc. | 0.18 | |||
Worldpay Inc. Class A | 0.18 | |||
Macquarie Infrastructure Corp. | 0.17 | |||
TJX Companies Inc. (The) | 0.17 | |||
Arista Networks Inc. | 0.17 | |||
Activision Blizzard Inc. | 0.17 | |||
|
| |||
TOTAL | 1.77 | % | ||
|
|
* | Excludes money market funds. |
12 | 2018 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, 2017 and held through February 28, 2018, 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)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 63.60% |
| |||||||
AEROSPACE & DEFENSE — 1.20% |
| |||||||
Embraer SA | 15,704,887 | $ | 105,190,717 | |||||
|
| |||||||
105,190,717 | ||||||||
BANKS — 6.08% |
| |||||||
Banco Bradesco SA | 15,988,786 | 181,259,558 | ||||||
Banco do Brasil SA | 18,729,387 | 240,981,416 | ||||||
Banco Santander Brasil SA Units | 9,683,475 | 109,599,500 | ||||||
|
| |||||||
531,840,474 | ||||||||
BEVERAGES — 4.44% |
| |||||||
Ambev SA | 57,343,555 | 388,321,111 | ||||||
|
| |||||||
388,321,111 | ||||||||
CAPITAL MARKETS — 4.13% |
| |||||||
B3 SA — Brasil Bolsa Balcao | 45,765,377 | 360,910,799 | ||||||
|
| |||||||
360,910,799 | ||||||||
CONTAINERS & PACKAGING — 0.92% |
| |||||||
Klabin SA Units | 14,609,144 | 80,493,629 | ||||||
|
| |||||||
80,493,629 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 1.71% |
| |||||||
Kroton Educacional SA | 31,398,819 | 149,805,831 | ||||||
|
| |||||||
149,805,831 | ||||||||
ELECTRIC UTILITIES — 2.74% |
| |||||||
Centrais Eletricas Brasileiras SAa | 6,349,300 | 48,410,054 | ||||||
Cia. Energetica de Minas Geraisa | 2,390,550 | 5,997,070 | ||||||
EDP — Energias do Brasil SA | 9,602,645 | 39,312,098 | ||||||
Equatorial Energia SA | 4,710,900 | 103,824,683 | ||||||
Transmissora Alianca de Energia Eletrica SA Units | 6,637,000 | 41,880,262 | ||||||
|
| |||||||
239,424,167 | ||||||||
FOOD & STAPLES RETAILING — 2.04% |
| |||||||
Atacadao Distribuicao Comercio e Industria Ltdaa | 11,285,300 | 51,584,981 | ||||||
Raia Drogasil SA | 5,301,800 | 126,867,851 | ||||||
|
| |||||||
178,452,832 | ||||||||
FOOD PRODUCTS — 2.46% |
| |||||||
BRF SAa | 10,635,650 | 97,951,103 | ||||||
JBS SA | 21,214,107 | 64,711,597 | ||||||
M. Dias Branco SA | 2,853,500 | 52,550,952 | ||||||
|
| |||||||
215,213,652 |
Security | Shares | Value | ||||||
HEALTH CARE PROVIDERS & SERVICES — 0.92% |
| |||||||
Odontoprev SA | 5,181,465 | $ | 24,418,078 | |||||
Qualicorp SA | 6,298,505 | 55,738,982 | ||||||
|
| |||||||
80,157,060 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.63% |
| |||||||
Engie Brasil Energia SA | 4,530,375 | 54,594,592 | ||||||
|
| |||||||
54,594,592 | ||||||||
INSURANCE — 2.65% |
| |||||||
BB Seguridade Participacoes SA | 15,859,095 | 142,054,533 | ||||||
Porto Seguro SA | 3,373,320 | 47,545,771 | ||||||
Sul America SA Units | 6,420,749 | 42,195,611 | ||||||
|
| |||||||
231,795,915 | ||||||||
IT SERVICES — 2.30% |
| |||||||
Cielo SA | 27,000,696 | 201,045,583 | ||||||
|
| |||||||
201,045,583 | ||||||||
MACHINERY — 1.12% |
| |||||||
WEG SA | 13,568,370 | 97,771,617 | ||||||
|
| |||||||
97,771,617 | ||||||||
METALS & MINING — 10.73% |
| |||||||
Cia. Siderurgica Nacional SAa | 17,739,969 | 55,424,605 | ||||||
Vale SA | 63,683,831 | 883,095,525 | ||||||
|
| |||||||
938,520,130 | ||||||||
MULTILINE RETAIL — 1.94% |
| |||||||
Lojas Renner SA | 15,978,090 | 169,777,196 | ||||||
|
| |||||||
169,777,196 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 6.66% |
| |||||||
Cosan SA Industria e Comercio | 4,308,050 | 57,511,390 | ||||||
Petroleo Brasileiro SAa | 47,616,969 | 339,309,837 | ||||||
Ultrapar Participacoes SA | 8,005,455 | 185,650,167 | ||||||
|
| |||||||
582,471,394 | ||||||||
PAPER & FOREST PRODUCTS — 2.12% |
| |||||||
Fibria Celulose SA | 5,856,551 | 111,173,066 | ||||||
Suzano Papel e Celulose SA | 11,120,430 | 74,449,974 | ||||||
|
| |||||||
185,623,040 | ||||||||
PERSONAL PRODUCTS — 0.58% |
| |||||||
Natura Cosmeticos SA | 4,831,465 | 51,054,773 | ||||||
|
| |||||||
51,054,773 | ||||||||
PHARMACEUTICALS — 1.02% |
| |||||||
Hypera SA | 8,382,700 | 89,071,429 | ||||||
|
| |||||||
89,071,429 |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRAZIL ETF
February 28, 2018
Security | Shares | Value | ||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 1.46% |
| |||||||
BR Malls Participacoes SA | 20,735,838 | $ | 76,145,763 | |||||
Multiplan Empreendimentos Imobiliarios SA | 2,387,646 | 51,592,997 | ||||||
|
| |||||||
127,738,760 | ||||||||
ROAD & RAIL — 2.39% |
| |||||||
Localiza Rent a Car SA | 12,027,831 | 96,037,533 | ||||||
Rumo SAa | 25,699,590 | 112,647,068 | ||||||
|
| |||||||
208,684,601 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 1.25% |
| |||||||
CCR SA | 27,969,265 | 109,337,335 | ||||||
|
| |||||||
109,337,335 | ||||||||
WATER UTILITIES — 1.09% |
| |||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 8,242,100 | 95,518,296 | ||||||
|
| |||||||
95,518,296 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.02% |
| |||||||
TIM Participacoes SA | 20,633,625 | 89,552,632 | ||||||
|
| |||||||
89,552,632 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,719,186,892) |
| 5,562,367,565 | ||||||
PREFERRED STOCKS — 35.26% |
| |||||||
BANKS — 23.08% |
| |||||||
Banco Bradesco SA, Preference Shares | 60,060,718 | 716,753,840 | ||||||
Itau Unibanco Holding SA, Preference Shares | 64,800,698 | 1,004,897,011 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 73,513,292 | 296,881,690 | ||||||
|
| |||||||
2,018,532,541 | ||||||||
CHEMICALS — 0.74% |
| |||||||
Braskem SA Class A, Preference Shares | 4,509,156 | 64,457,162 | ||||||
|
| |||||||
64,457,162 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.80% |
| |||||||
Telefonica Brasil SA, Preference Shares | 10,085,464 | 157,238,554 | ||||||
|
| |||||||
157,238,554 | ||||||||
ELECTRIC UTILITIES — 1.24% |
| |||||||
Centrais Eletricas Brasileiras SA Class B, Preference Shares | 6,495,246 | 55,780,643 |
Security | Shares | Value | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 20,884,420 | $ | 52,777,557 | |||||
|
| |||||||
108,558,200 | ||||||||
FOOD & STAPLES RETAILING — 0.95% |
| |||||||
Cia. Brasileira de Distribuicao, Preference Shares | 3,947,764 | 83,226,581 | ||||||
|
| |||||||
83,226,581 | ||||||||
METALS & MINING — 1.40% |
| |||||||
Gerdau SA, Preference Shares | 23,990,026 | 122,728,505 | ||||||
|
| |||||||
122,728,505 | ||||||||
MULTILINE RETAIL — 1.06% |
| |||||||
Lojas Americanas SA, Preference Shares | 17,863,717 | 92,817,097 | ||||||
|
| |||||||
92,817,097 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 4.99% |
| |||||||
Petroleo Brasileiro SA, Preference Shares | 66,153,483 | 436,984,608 | ||||||
|
| |||||||
436,984,608 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $1,804,041,562) |
| 3,084,543,248 | ||||||
RIGHTS — 0.04% |
| |||||||
DIVERSIFIED FINANCIAL SERVICES — 0.04% |
| |||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 1,962,733 | 3,262,411 | ||||||
|
| |||||||
3,262,411 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 3,262,411 | ||||||
SHORT-TERM INVESTMENTS — 0.07% |
| |||||||
MONEY MARKET FUNDS — 0.07% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 6,244,689 | 6,244,689 | ||||||
|
| |||||||
6,244,689 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $6,244,689) | 6,244,689 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $5,529,473,143) | 8,656,417,913 | |||||||
Other Assets, Less Liabilities — 1.03% |
| 89,844,090 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 8,746,262,003 | |||||
|
|
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRAZIL ETF
February 28, 2018
a | Non-income producing security. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, | 16,859 | 6,227,830 | b | — | 6,244,689 | $ | 6,244,689 | $ | 31,463 | $ | — | $ | — | |||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI Emerging Markets E-Mini | 1,978 | Mar 2018 | $ | 116,999 | $ | 54,106 | ||||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 5,562,367,565 | $ | — | $ | — | $ | 5,562,367,565 | ||||||||
Preferred stocks | 3,084,543,248 | — | — | 3,084,543,248 | ||||||||||||
Rights | 3,262,411 | — | — | 3,262,411 | ||||||||||||
Money market funds | 6,244,689 | — | — | 6,244,689 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 8,656,417,913 | $ | — | $ | — | $ | 8,656,417,913 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 54,106 | $ | — | $ | — | $ | 54,106 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 54,106 | $ | — | $ | — | $ | 54,106 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 92.15% |
| |||||||
AIRLINES — 4.54% |
| |||||||
Latam Airlines Group SA | 1,371,504 | $ | 22,469,630 | |||||
|
| |||||||
22,469,630 | ||||||||
BANKS — 17.19% |
| |||||||
Banco de Chile | 116,934,593 | 19,846,652 | ||||||
Banco de Credito e Inversiones SA | 289,416 | 21,570,780 | ||||||
Banco Santander Chile | 393,425,980 | 32,305,296 | ||||||
Itau CorpBanca | 1,111,889,521 | 11,362,525 | ||||||
|
| |||||||
85,085,253 | ||||||||
BEVERAGES — 4.45% |
| |||||||
Cia. Cervecerias Unidas SA | 1,012,175 | 14,277,204 | ||||||
Vina Concha y Toro SA | 3,606,935 | 7,772,861 | ||||||
|
| |||||||
22,050,065 | ||||||||
CAPITAL MARKETS — 0.80% |
| |||||||
Sociedad de Inversiones Oro Blanco SA | 365,605,357 | 3,947,655 | ||||||
|
| |||||||
3,947,655 | ||||||||
CONSTRUCTION & ENGINEERING — 2.17% |
| |||||||
Besalco SA | 3,990,764 | 4,523,810 | ||||||
Salfacorp SA | 3,104,208 | 6,223,345 | ||||||
|
| |||||||
10,747,155 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 1.28% |
| |||||||
Inversiones La Construccion SA | 318,707 | 6,345,521 | ||||||
|
| |||||||
6,345,521 | ||||||||
ELECTRIC UTILITIES — 12.62% |
| |||||||
Enel Americas SA | 172,352,081 | 39,796,298 | ||||||
Enel Chile SA | 111,600,530 | 13,780,461 | ||||||
Engie Energia Chile SA | 3,953,351 | 8,916,928 | ||||||
|
| |||||||
62,493,687 | ||||||||
FOOD & STAPLES RETAILING — 4.58% |
| |||||||
Cencosud SA | 7,449,871 | 22,660,176 | ||||||
|
| |||||||
22,660,176 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 7.69% |
| |||||||
AES Gener SA | 22,769,033 | 6,957,406 | ||||||
Colbun SA | 54,965,624 | 13,361,748 | ||||||
Enel Generacion Chile SA | 18,981,833 | 17,773,025 | ||||||
|
| |||||||
38,092,179 | ||||||||
IT SERVICES — 1.53% |
| |||||||
SONDA SA | 3,750,120 | 7,581,969 | ||||||
|
| |||||||
7,581,969 |
Security | Shares | Value | ||||||
MARINE — 0.50% |
| |||||||
Cia. Sud Americana de Vapores SAa | 49,345,945 | $ | 2,491,901 | |||||
|
| |||||||
2,491,901 | ||||||||
METALS & MINING — 1.76% |
| |||||||
CAP SA | 610,776 | 8,714,704 | ||||||
|
| |||||||
8,714,704 | ||||||||
MULTILINE RETAIL — 10.36% |
| |||||||
Ripley Corp. SA | 6,440,619 | 6,908,933 | ||||||
SACI Falabella | 4,384,338 | 44,372,005 | ||||||
|
| |||||||
51,280,938 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 8.30% |
| |||||||
Empresas COPEC SA | 2,540,581 | 41,063,192 | ||||||
|
| |||||||
41,063,192 | ||||||||
PAPER & FOREST PRODUCTS — 4.44% |
| |||||||
Empresas CMPC SA | 5,698,674 | 21,997,589 | ||||||
|
| |||||||
21,997,589 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.76% |
| |||||||
Parque Arauco SA | 4,275,323 | 13,644,770 | ||||||
|
| |||||||
13,644,770 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.88% |
| |||||||
Forus SA | 952,930 | 4,375,334 | ||||||
|
| |||||||
4,375,334 | ||||||||
WATER UTILITIES — 3.75% |
| |||||||
Aguas Andinas SA Series A | 18,363,444 | 12,275,750 | ||||||
Inversiones Aguas Metropolitanas SA | 3,335,860 | 6,272,092 | ||||||
|
| |||||||
18,547,842 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 2.55% |
| |||||||
Empresa Nacional de Telecomunicaciones SA | 1,065,897 | 12,636,724 | ||||||
|
| |||||||
12,636,724 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $271,029,717) |
| 456,226,284 | ||||||
PREFERRED STOCKS — 7.78% |
| |||||||
BEVERAGES — 1.91% |
| |||||||
Embotelladora Andina SA Class B, Preference Shares | 1,912,046 | 9,458,144 | ||||||
|
| |||||||
9,458,144 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CHILE ETF
February 28, 2018
Security | Shares | Value | ||||||
CHEMICALS — 5.87% |
| |||||||
Sociedad Quimica y Minera de Chile SA Series B, Preference Shares | 573,765 | $ | 29,083,354 | |||||
|
| |||||||
29,083,354 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $18,237,466) |
| 38,541,498 | ||||||
RIGHTS — 0.00% |
| |||||||
ELECTRIC UTILITIES — 0.00% |
| |||||||
Enel Chile SA (Expires 03/16/18)a | 12,277,008 | 2,085 | ||||||
|
| |||||||
2,085 | ||||||||
|
| |||||||
TOTAL RIGHTS | ||||||||
(Cost: $0) | 2,085 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.06% |
| |||||||
MONEY MARKET FUNDS — 0.06% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 275,371 | $ | 275,371 | |||||
|
| |||||||
275,371 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $275,371) | 275,371 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $289,542,554) |
| 495,045,238 | ||||||
Other Assets, Less Liabilities — 0.01% |
| 34,893 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 495,080,131 | |||||
|
|
a | Non-income producing security. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, | 227,709 | 47,662 | b | — | 275,371 | $ | 275,371 | $ | 3,601 | $ | — | $ | — | |||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CHILE ETF
February 28, 2018
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, 2018. 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 | $ | 456,226,284 | $ | — | $ | — | $ | 456,226,284 | ||||||||
Preferred stocks | 38,541,498 | — | — | 38,541,498 | ||||||||||||
Rights | 2,085 | — | — | 2,085 | ||||||||||||
Money market funds | 275,371 | — | — | 275,371 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 495,045,238 | $ | — | $ | — | $ | 495,045,238 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 72.91% |
| |||||||
BANKS — 7.03% |
| |||||||
Banco de Bogota SA | 6,948 | $ | 159,915 | |||||
Bancolombia SA | 122,351 | 1,286,453 | ||||||
Grupo Aval Acciones y Valores SA | 114,753 | 50,207 | ||||||
|
| |||||||
1,496,575 | ||||||||
CAPITAL MARKETS — 1.92% |
| |||||||
Bolsa de Valores de Colombia | 46,658,766 | 408,284 | ||||||
|
| |||||||
408,284 | ||||||||
CONSTRUCTION & ENGINEERING — 1.89% |
| |||||||
Constructora Conconcreto SA | 1,167,946 | 401,879 | ||||||
|
| |||||||
401,879 | ||||||||
CONSTRUCTION MATERIALS — 11.67% |
| |||||||
Cementos Argos SA | 234,726 | 854,312 | ||||||
Cemex Latam Holdings SAa | 184,092 | 605,204 | ||||||
Grupo Argos SA/Colombia | 152,279 | 1,025,657 | ||||||
|
| |||||||
2,485,173 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 5.06% |
| |||||||
Corp. Financiera Colombiana SA | 17,835 | 150,717 | ||||||
Grupo de Inversiones Suramericana SA | 69,281 | 927,954 | ||||||
|
| |||||||
1,078,671 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.35% |
| |||||||
Empresa de Telecomunicaciones de Bogotaa | 1,923,019 | 288,945 | ||||||
|
| |||||||
288,945 | ||||||||
ELECTRIC UTILITIES — 9.33% |
| |||||||
Celsia SA ESP | 234,419 | 371,434 | ||||||
Enel Americas SA | 2,687,111 | 620,457 | ||||||
Interconexion Electrica SA ESP | 208,481 | 995,731 | ||||||
|
| |||||||
1,987,622 | ||||||||
FOOD & STAPLES RETAILING — 4.56% |
| |||||||
Almacenes Exito SA | 165,938 | 970,717 | ||||||
|
| |||||||
970,717 | ||||||||
FOOD PRODUCTS — 4.66% |
| |||||||
Grupo Nutresa SA | 105,386 | 991,977 | ||||||
|
| |||||||
991,977 | ||||||||
GAS UTILITIES — 6.52% |
| |||||||
Grupo Energia Bogota SA ESP | 1,412,706 | 999,776 | ||||||
Promigas SA ESP | 150,394 | 387,987 | ||||||
|
| |||||||
1,387,763 |
Security | Shares | Value | ||||||
METALS & MINING — 1.76% |
| |||||||
Mineros SA | 448,282 | $ | 375,075 | |||||
|
| |||||||
375,075 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 17.16% |
| |||||||
Canacol Energy Ltd.a | 185,890 | 613,661 | ||||||
Ecopetrol SA | 2,754,449 | 2,410,257 | ||||||
Empresas COPEC SA | 38,976 | 629,966 | ||||||
|
| |||||||
3,653,884 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $12,701,774) |
| 15,526,565 | ||||||
PREFERRED STOCKS — 26.91% |
| |||||||
AIRLINES — 2.94% |
| |||||||
Avianca Holdings SA, Preference Shares | 541,894 | 626,257 | ||||||
|
| |||||||
626,257 | ||||||||
BANKS — 19.83% |
| |||||||
Banco Davivienda SA, Preference Shares | 87,725 | 908,312 | ||||||
Bancolombia SA, Preference Shares | 256,537 | 2,699,133 | ||||||
Grupo Aval Acciones y Valores SA, Preference Shares | 1,422,682 | 615,013 | ||||||
|
| |||||||
4,222,458 | ||||||||
CONSTRUCTION MATERIALS — 3.91% |
| |||||||
Cementos Argos SA, Preference Shares | 78,764 | 236,695 | ||||||
Grupo Argos SA/Colombia, Preference Shares | 103,269 | 595,471 | ||||||
|
| |||||||
832,166 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.23% |
| |||||||
Grupo de Inversiones Suramericana SA, Preference Shares | 3,973 | 49,226 | ||||||
|
| |||||||
49,226 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $4,903,406) |
| 5,730,107 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI COLOMBIA ETF
February 28, 2018
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.05% |
| |||||||
MONEY MARKET FUNDS — 0.05% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 11,069 | $ | 11,069 | |||||
|
| |||||||
11,069 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $11,069) | 11,069 | |||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $17,616,249) | $ | 21,267,741 | ||||||
Other Assets, Less Liabilities — 0.13% |
| 26,857 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 21,294,598 | |||||
|
|
a | Non-income producing security. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 59,106 | — | (59,106 | )b | — | $ | — | $ | 806 | c | $ | (15 | ) | $ | 4 | |||||||||||||||
BlackRock Cash Funds: Treasury, | 57,311 | — | (46,242 | )b | 11,069 | 11,069 | 210 | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||
$ | 11,069 | $ | 1,016 | $ | (15 | ) | $ | 4 | ||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 15,526,565 | $ | — | $ | — | $ | 15,526,565 | ||||||||
Preferred stocks | 5,730,107 | — | — | 5,730,107 | ||||||||||||
Money market funds | 11,069 | — | — | 11,069 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 21,267,741 | $ | — | $ | — | $ | 21,267,741 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.96% |
| |||||||
AEROSPACE & DEFENSE — 3.15% |
| |||||||
Elbit Systems Ltd. | 26,213 | $ | 3,748,001 | |||||
|
| |||||||
3,748,001 | ||||||||
AIRLINES — 0.09% |
| |||||||
El Al Israel Airlines | 294,706 | 106,447 | ||||||
|
| |||||||
106,447 | ||||||||
BANKS — 20.44% |
| |||||||
Bank Hapoalim BM | 1,074,937 | 7,703,424 | ||||||
Bank Leumi Le-Israel BM | 1,468,956 | 8,912,116 | ||||||
First International Bank of Israel Ltd. | 52,321 | 1,153,771 | ||||||
Israel Discount Bank Ltd. Class Aa | 1,253,655 | 3,608,107 | ||||||
Mizrahi Tefahot Bank Ltd. | 156,727 | 2,905,801 | ||||||
|
| |||||||
24,283,219 | ||||||||
BUILDING PRODUCTS — 0.50% |
| |||||||
Caesarstone Ltd.b | 27,694 | 599,575 | ||||||
|
| |||||||
599,575 | ||||||||
CHEMICALS — 6.42% |
| |||||||
Frutarom Industries Ltd. | 43,129 | 3,972,106 | ||||||
Israel Chemicals Ltd. | 652,129 | 2,800,295 | ||||||
Israel Corp. Ltd. (The)a | 4,345 | 856,607 | ||||||
|
| |||||||
7,629,008 | ||||||||
COMMUNICATIONS EQUIPMENT — 1.55% |
| |||||||
Ituran Location and Control Ltd. | 21,542 | 744,276 | ||||||
Radware Ltd.a | 53,223 | 1,100,120 | ||||||
|
| |||||||
1,844,396 | ||||||||
CONSTRUCTION & ENGINEERING — 1.39% |
| |||||||
Electra Ltd./Israel | 2,474 | 640,831 | ||||||
Shapir Engineering and Industry Ltd. | 131,627 | 504,604 | ||||||
Shikun & Binui Ltd. | 268,260 | 500,920 | ||||||
|
| |||||||
1,646,355 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 3.28% |
| |||||||
B Communications Ltd.a | 20,655 | 361,495 | ||||||
Bezeq The Israeli Telecommunication Corp. Ltd. | 2,307,353 | 3,539,506 | ||||||
|
| |||||||
3,901,001 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 2.41% |
| |||||||
Orbotech Ltd.a | 52,195 | 2,868,637 | ||||||
|
| |||||||
2,868,637 |
Security | Shares | Value | ||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
REIT 1 Ltd. | 207,170 | $ | 875,295 | |||||
|
| |||||||
875,295 | ||||||||
FOOD & STAPLES RETAILING — 1.00% |
| |||||||
Rami Levy Chain Stores Hashikma Marketing 2006 Ltd. | 8,966 | 510,677 | ||||||
Shufersal Ltd. | 94,128 | 674,287 | ||||||
|
| |||||||
1,184,964 | ||||||||
FOOD PRODUCTS — 1.03% |
| |||||||
Strauss Group Ltd. | 54,314 | 1,227,108 | ||||||
|
| |||||||
1,227,108 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.92% |
| |||||||
Mazor Robotics Ltd.a | 33,361 | 1,087,855 | ||||||
|
| |||||||
1,087,855 | ||||||||
HOUSEHOLD DURABLES — 1.08% |
| |||||||
SodaStream International Ltd.a,b | 15,811 | 1,279,426 | ||||||
|
| |||||||
1,279,426 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.67% |
| |||||||
Kenon Holdings Ltd./Singaporea | 25,741 | 798,630 | ||||||
|
| |||||||
798,630 | ||||||||
INSURANCE — 3.24% |
| |||||||
Clal Insurance Enterprises Holdings Ltd.a | 28,338 | 516,593 | ||||||
Harel Insurance Investments & Financial Services Ltd. | 134,599 | 1,076,932 | ||||||
IDI Insurance Co. Ltd. | 9,046 | 613,906 | ||||||
Menora Mivtachim Holdings Ltd. | 37,024 | 512,223 | ||||||
Migdal Insurance & Financial Holding Ltd. | 511,069 | 565,852 | ||||||
Phoenix Holdings Ltd. (The)a | 93,935 | 559,356 | ||||||
|
| |||||||
3,844,862 | ||||||||
INTERNET SOFTWARE & SERVICES — 2.00% |
| |||||||
Wix.com Ltd.a,b | 31,647 | 2,375,107 | ||||||
|
| |||||||
2,375,107 | ||||||||
IT SERVICES — 0.62% |
| |||||||
Formula Systems 1985 Ltd. | 5,384 | 192,300 | ||||||
Matrix IT Ltd. | 47,589 | 538,681 | ||||||
|
| |||||||
730,981 | ||||||||
MACHINERY — 0.39% |
| |||||||
Kornit Digital Ltd.a,b | 35,778 | 457,958 | ||||||
|
| |||||||
457,958 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ISRAEL ETF
February 28, 2018
Security | Shares | Value | ||||||
OIL, GAS & CONSUMABLE FUELS — 3.48% |
| |||||||
Delek Group Ltd. | 5,158 | $ | 889,221 | |||||
Jerusalem Oil Explorationa | 11,470 | 684,683 | ||||||
Naphtha Israel Petroleum Corp. Ltd. | 54,051 | 360,124 | ||||||
Oil Refineries Ltd. | 1,754,993 | 837,455 | ||||||
Paz Oil Co. Ltd.a | 8,376 | 1,369,261 | ||||||
|
| |||||||
4,140,744 | ||||||||
PHARMACEUTICALS — 14.97% |
| |||||||
Teva Pharmaceutical Industries Ltd. ADRb | 950,296 | 17,789,541 | ||||||
|
| |||||||
17,789,541 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 8.23% |
| |||||||
Africa Israel Properties Ltd.a | 19,187 | 472,852 | ||||||
Airport City Ltd.a | 95,182 | 1,137,125 | ||||||
Alony Hetz Properties & Investments Ltd. | 124,093 | 1,203,590 | ||||||
Amot Investments Ltd. | 155,890 | 897,325 | ||||||
Azrieli Group Ltd. | 47,823 | 2,363,244 | ||||||
Bayside Land Corp. | 1,020 | 475,572 | ||||||
Big Shopping Centers Ltd. | 2,960 | 196,535 | ||||||
Blue Square Real Estate Ltd. | 4,609 | 179,343 | ||||||
Brack Capital Properties NVa | 1,186 | 146,161 | ||||||
Gazit-Globe Ltd. | 117,123 | 1,193,293 | ||||||
Jerusalem Economy Ltd.a | 86,476 | 216,280 | ||||||
Melisron Ltd. | 21,428 | 945,406 | ||||||
Norstar Holdings Inc. | 18,880 | 353,577 | ||||||
|
| |||||||
9,780,303 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
Nova Measuring Instruments Ltd.a | 11,257 | 308,919 | ||||||
Tower Semiconductor Ltd.a | 97,875 | 2,881,690 | ||||||
|
| |||||||
3,190,609 | ||||||||
SOFTWARE — 17.85% |
| |||||||
Check Point Software Technologies Ltd.a,b | 135,900 | 14,118,651 | ||||||
CyberArk Software Ltd.a,b | 26,791 | 1,326,422 | ||||||
Nice Ltd. | 55,413 | 5,406,458 | ||||||
Sapiens International Corp. NVb | 37,253 | 358,104 | ||||||
|
| |||||||
21,209,635 | ||||||||
SPECIALTY RETAIL — 0.31% |
| |||||||
Delek Automotive Systems Ltd. | 55,330 | 364,031 | ||||||
|
| |||||||
364,031 |
Security | Shares | Value | ||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.37% |
| |||||||
Delta-Galil Industries Ltd.b | 13,388 | $ | 441,187 | |||||
|
| |||||||
441,187 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.15% |
| |||||||
Cellcom Israel Ltd.a | 73,334 | 610,387 | ||||||
Partner Communications Co. Ltd.a | 143,467 | 753,144 | ||||||
|
| |||||||
1,363,531 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $122,629,790) |
| 118,768,406 | ||||||
SHORT-TERM INVESTMENTS — 9.19% |
| |||||||
MONEY MARKET FUNDS — 9.19% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 10,911,435 | 10,912,526 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 9,100 | 9,100 | ||||||
|
| |||||||
10,921,626 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $10,921,381) |
| 10,921,626 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $133,551,171) | 129,690,032 | |||||||
Other Assets, Less Liabilities — (9.15)% |
| (10,869,912 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 118,820,120 | |||||
|
|
ADR — American Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI ISRAEL ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | 15,525,641 | — | (4,614,206 | )b | 10,911,435 | $ | 10,912,526 | $ | 26,894 | c | $ | (1,679 | ) | $ | (301 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | 40,997 | — | (31,897 | )b | 9,100 | 9,100 | 120 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 10,921,626 | $ | 27,014 | $ | (1,679 | ) | $ | (301 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 118,768,406 | $ | — | $ | — | $ | 118,768,406 | ||||||||
Money market funds | 10,921,626 | — | — | 10,921,626 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 129,690,032 | $ | — | $ | — | $ | 129,690,032 | ||||||||
�� |
|
|
|
|
|
|
|
| ||||||||
See notes to financial statements.
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 96.48% |
| |||||||
BANKS — 24.68% |
| |||||||
Sberbank of Russia PJSC | 11,591,520 | $ | 56,086,506 | |||||
Sberbank of Russia PJSC ADR | 5,885,786 | 120,364,324 | ||||||
VTB Bank PJSC | 7,757,295,000 | 7,269,859 | ||||||
VTB Bank PJSC GDR | 8,306,686 | 17,776,308 | ||||||
|
| |||||||
201,496,997 | ||||||||
CAPITAL MARKETS — 2.38% |
| |||||||
Moscow Exchange MICEX-RTS PJSC | 9,781,210 | 19,432,983 | ||||||
|
| |||||||
19,432,983 | ||||||||
CHEMICALS — 1.78% |
| |||||||
PhosAgro PJSC GDR | 944,317 | 14,542,482 | ||||||
|
| |||||||
14,542,482 | ||||||||
ELECTRIC UTILITIES — 3.71% |
| |||||||
Inter RAO UES PJSC | 237,861,000 | 15,717,268 | ||||||
RusHydro PJSC | 1,052,364,000 | 14,608,508 | ||||||
|
| |||||||
30,325,776 | ||||||||
FOOD & STAPLES RETAILING — 4.40% |
| |||||||
Magnit PJSC GDR | 1,736,143 | 35,938,160 | ||||||
|
| |||||||
35,938,160 | ||||||||
METALS & MINING — 17.25% |
| |||||||
Alrosa PJSC | 16,469,300 | 25,246,247 | ||||||
Magnitogorsk Iron & Steel Works PJSC | 18,076,400 | 15,309,432 | ||||||
MMC Norilsk Nickel PJSC | 190,612 | 37,782,127 | ||||||
Novolipetsk Steel PJSC | 7,705,710 | 19,997,411 | ||||||
Polyus PJSC | 203,665 | 16,807,631 | ||||||
Severstal PJSC | 1,576,255 | 25,713,976 | ||||||
|
| |||||||
140,856,824 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 38.35% |
| |||||||
Gazprom PJSC | 33,122,290 | 84,227,311 | ||||||
Gazprom PJSC ADR | 1,446,864 | 7,240,107 | ||||||
LUKOIL PJSC | 1,397,683 | 93,758,157 | ||||||
LUKOIL PJSC ADR | 61,068 | 4,097,663 | ||||||
Novatek PJSC GDR | 278,459 | 38,009,654 | ||||||
Rosneft Oil Co. PJSC | 1,363,360 | 8,003,739 | ||||||
Rosneft Oil Co. PJSC GDR | 3,485,602 | 20,390,772 |
Security | Shares | Value | ||||||
Surgutneftegas OJSC | 30,493,746 | $ | 15,553,584 | |||||
Surgutneftegas OJSC ADR | 696,229 | 3,481,145 | ||||||
Tatneft PJSC Class S | 3,633,415 | 38,336,489 | ||||||
|
| |||||||
313,098,621 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 3.93% |
| |||||||
Mobile TeleSystems PJSC ADR | 2,681,715 | 32,073,311 | ||||||
|
| |||||||
32,073,311 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $658,564,978) |
| 787,765,154 | ||||||
PREFERRED STOCKS — 3.41% |
| |||||||
OIL, GAS & CONSUMABLE FUELS — 3.41% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 35,955,200 | 18,840,595 | ||||||
Transneft PJSC, Preference Shares | 2,740 | 9,003,952 | ||||||
|
| |||||||
27,844,547 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $26,754,310) |
| 27,844,547 | ||||||
SHORT-TERM INVESTMENTS — 0.16% |
| |||||||
MONEY MARKET FUNDS — 0.16% |
| |||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%a,b | 1,290,488 | 1,290,488 | ||||||
|
| |||||||
1,290,488 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $1,290,488) |
| 1,290,488 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $686,609,776) |
| 816,900,189 | ||||||
Other Assets, Less Liabilities — (0.05)% |
| (381,846 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 816,518,343 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
a | Affiliate of the Fund. |
b | Annualized 7-day yield as of period end. |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI RUSSIA ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, | 1,026,049 | 264,439 | b | — | 1,290,488 | $ | 1,290,488 | $ | 9,867 | $ | — | $ | — | |||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
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, 2018. 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 | $ | 787,765,154 | $ | — | $ | — | $ | 787,765,154 | ||||||||
Preferred stocks | 27,844,547 | — | — | 27,844,547 | ||||||||||||
Money market funds | 1,290,488 | — | — | 1,290,488 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 816,900,189 | $ | — | $ | — | $ | 816,900,189 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI SOUTH AFRICA ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.75% |
| |||||||
BANKS — 11.70% |
| |||||||
Barclays Africa Group Ltd. | 958,156 | $ | 16,113,012 | |||||
Capitec Bank Holdings Ltd. | 65,442 | 4,615,300 | ||||||
Nedbank Group Ltd. | 328,772 | 8,009,461 | ||||||
Standard Bank Group Ltd. | 1,728,547 | 31,896,204 | ||||||
|
| |||||||
60,633,977 | ||||||||
CAPITAL MARKETS — 1.90% |
| |||||||
Brait SEa | 741,515 | 2,817,490 | ||||||
Coronation Fund Managers Ltd. | 434,740 | 2,944,612 | ||||||
Investec Ltd. | 472,088 | 4,099,462 | ||||||
|
| |||||||
9,861,564 | ||||||||
CHEMICALS — 5.04% |
| |||||||
Sasol Ltd. | 739,385 | 26,105,153 | ||||||
|
| |||||||
26,105,153 | ||||||||
DISTRIBUTORS — 0.98% |
| |||||||
Imperial Holdings Ltd. | 240,276 | 5,102,411 | ||||||
|
| |||||||
5,102,411 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 10.71% |
| |||||||
FirstRand Ltd. | 4,510,018 | 28,235,970 | ||||||
PSG Group Ltd. | 245,701 | 4,527,372 | ||||||
Remgro Ltd. | 733,591 | 15,008,978 | ||||||
RMB Holdings Ltd. | 1,044,446 | 7,708,748 | ||||||
|
| |||||||
55,481,068 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.47% |
| |||||||
Telkom SA SOC Ltd. | 557,850 | 2,445,726 | ||||||
|
| |||||||
2,445,726 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Fortress REIT Ltd. Series A | 2,070,675 | 2,792,769 | ||||||
Fortress REIT Ltd. Series B | 1,367,117 | 1,853,129 | ||||||
Growthpoint Properties Ltd. | 3,229,034 | 8,070,020 | ||||||
Hyprop Investments Ltd. | 421,489 | 3,897,535 | ||||||
Redefine Properties Ltd. | 7,558,494 | 7,261,533 | ||||||
Resilient REIT Ltd. | 477,037 | 2,681,874 | ||||||
|
| |||||||
26,556,860 | ||||||||
FOOD & STAPLES RETAILING — 6.56% |
| |||||||
Bid Corp. Ltd. | 474,778 | 10,855,287 | ||||||
Pick n Pay Stores Ltd. | 629,310 | 3,873,825 | ||||||
Shoprite Holdings Ltd. | 619,325 | 13,639,710 | ||||||
SPAR Group Ltd. (The) | 302,430 | 5,600,864 | ||||||
|
| |||||||
33,969,686 |
Security | Shares | Value | ||||||
FOOD PRODUCTS — 2.21% |
| |||||||
Pioneer Foods Group Ltd. | 256,007 | $ | 2,852,053 | |||||
Tiger Brands Ltd. | 238,511 | 8,619,635 | ||||||
|
| |||||||
11,471,688 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 1.67% |
| |||||||
Life Healthcare Group Holdings Ltd. | 2,119,230 | 4,876,271 | ||||||
Netcare Ltd. | 1,755,628 | 3,792,737 | ||||||
|
| |||||||
8,669,008 | ||||||||
HOUSEHOLD DURABLES — 0.39% |
| |||||||
Steinhoff International Holdings NV Class Hb | 4,067,720 | 1,998,753 | ||||||
|
| |||||||
1,998,753 | ||||||||
INDUSTRIAL CONGLOMERATES — 1.78% |
| |||||||
Bidvest Group Ltd. (The) | 484,365 | 9,237,353 | ||||||
|
| |||||||
9,237,353 | ||||||||
INSURANCE — 6.43% |
| |||||||
Discovery Ltd. | 524,757 | 7,947,987 | ||||||
Liberty Holdings Ltd. | 252,305 | 2,849,500 | ||||||
MMI Holdings Ltd./South Africa | 1,728,011 | 3,195,805 | ||||||
Rand Merchant Investment Holdings Ltd. | 1,133,114 | 4,287,186 | ||||||
Sanlam Ltd. | 1,944,474 | 15,031,939 | ||||||
|
| |||||||
33,312,417 | ||||||||
MEDIA — 21.98% |
| |||||||
Naspers Ltd. Class N | 410,886 | 113,862,807 | ||||||
|
| |||||||
113,862,807 | ||||||||
METALS & MINING — 3.88% |
| |||||||
Anglo American Platinum Ltd.a | 100,820 | 3,124,342 | ||||||
AngloGold Ashanti Ltd. | 621,768 | 5,698,431 | ||||||
Gold Fields Ltd. | 1,291,329 | 5,011,609 | ||||||
Kumba Iron Ore Ltd. | 116,379 | 3,454,767 | ||||||
Sibanye Gold Ltd. | 2,939,322 | 2,826,331 | ||||||
|
| |||||||
20,115,480 | ||||||||
MULTILINE RETAIL — 1.56% |
| |||||||
Woolworths Holdings Ltd./South Africa | 1,460,351 | 8,085,052 | ||||||
|
| |||||||
8,085,052 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 0.85% |
| |||||||
Exxaro Resources Ltd. | 392,750 | 4,406,054 | ||||||
|
| |||||||
4,406,054 | ||||||||
PAPER & FOREST PRODUCTS — 2.02% |
| |||||||
Mondi Ltd. | 190,110 | 4,961,100 | ||||||
Sappi Ltd. | 848,338 | 5,505,258 | ||||||
|
| |||||||
10,466,358 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH AFRICA ETF
February 28, 2018
Security | Shares | Value | ||||||
PHARMACEUTICALS — 2.39% |
| |||||||
Aspen Pharmacare Holdings Ltd. | 540,181 | $ | 12,360,723 | |||||
|
| |||||||
12,360,723 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 1.09% |
| |||||||
NEPI Rockcastle PLC | 559,875 | 5,655,313 | ||||||
|
| |||||||
5,655,313 | ||||||||
SPECIALTY RETAIL — 3.97% |
| |||||||
Foschini Group Ltd. (The) | 342,782 | 6,229,100 | ||||||
Mr. Price Group Ltd. | 355,152 | 8,508,303 | ||||||
Truworths International Ltd. | 677,508 | 5,813,238 | ||||||
|
| |||||||
20,550,641 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 7.04% |
| |||||||
MTN Group Ltd. | 2,274,757 | 24,763,848 | ||||||
Vodacom Group Ltd. | 849,901 | 11,718,428 | ||||||
|
| |||||||
36,482,276 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $508,919,910) |
| 516,830,368 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.40% |
| |||||||
MONEY MARKET FUNDS — 0.40% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 2,053,061 | $ | 2,053,266 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 19,174 | 19,174 | ||||||
|
| |||||||
2,072,440 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,072,618) |
| 2,072,440 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $510,992,528) |
| 518,902,808 | ||||||
Other Assets, Less Liabilities — (0.15)% |
| (769,608 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 518,133,200 | |||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | — | 2,053,061 | b | — | 2,053,061 | $ | 2,053,266 | $ | 16,842 | c | $ | (1,001 | ) | $ | (178 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 225,602 | — | (206,428 | )b | 19,174 | 19,174 | 1,603 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 2,072,440 | $ | 18,445 | $ | (1,001 | ) | $ | (178 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH AFRICA ETF
February 28, 2018
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, 2018. 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 | $ | 516,830,368 | $ | — | $ | — | $ | 516,830,368 | ||||||||
Money market funds | 2,072,440 | — | — | 2,072,440 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 518,902,808 | $ | — | $ | — | $ | 518,902,808 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.83% |
| |||||||
AEROSPACE & DEFENSE — 2.32% |
| |||||||
Aselsan Elektronik Sanayi Ve Ticaret ASa | 1,096,130 | $ | 8,973,035 | |||||
|
| |||||||
8,973,035 | ||||||||
AIRLINES — 4.38% |
| |||||||
Pegasus Hava Tasimaciligi ASb | 196,134 | 1,827,139 | ||||||
Turk Hava Yollari AOb | 3,025,323 | 15,156,618 | ||||||
|
| |||||||
16,983,757 | ||||||||
AUTO COMPONENTS — 0.29% |
| |||||||
Goodyear Lastikleri TASa | 445,334 | 476,168 | ||||||
Kordsa Teknik Tekstil ASa | 322,266 | 640,900 | ||||||
|
| |||||||
1,117,068 | ||||||||
AUTOMOBILES — 3.05% |
| |||||||
Ford Otomotiv Sanayi AS | 384,647 | 6,335,921 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 685,092 | 5,467,849 | ||||||
|
| |||||||
11,803,770 | ||||||||
BANKS — 29.89% |
| |||||||
Akbank Turk AS | 12,057,453 | 33,671,984 | ||||||
Albaraka Turk Katilim Bankasi ASa | 1,736,138 | 729,767 | ||||||
Turkiye Garanti Bankasi AS | 12,660,326 | 39,014,206 | ||||||
Turkiye Halk Bankasi AS | 3,425,410 | 8,666,001 | ||||||
Turkiye Is Bankasi AS Class C | 8,631,983 | 17,234,712 | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 5,919,366 | 2,628,099 | ||||||
Turkiye Vakiflar Bankasi TAO Class D | 4,110,527 | 7,937,152 | ||||||
Yapi ve Kredi Bankasi ASb | 4,764,742 | 5,958,353 | ||||||
|
| |||||||
115,840,274 | ||||||||
BEVERAGES — 3.02% |
| |||||||
Anadolu Efes Biracilik Ve Malt Sanayii AS | 1,135,798 | 7,662,597 | ||||||
Coca-Cola Icecek AS | 418,213 | 4,056,384 | ||||||
|
| |||||||
11,718,981 | ||||||||
BUILDING PRODUCTS — 0.71% |
| |||||||
Trakya Cam Sanayii AS | 2,167,675 | 2,761,950 | ||||||
|
| |||||||
2,761,950 | ||||||||
CAPITAL MARKETS — 0.24% |
| |||||||
Verusa Holding ASa | 135,431 | 932,179 | ||||||
|
| |||||||
932,179 | ||||||||
CHEMICALS — 3.16% |
| |||||||
Gubre Fabrikalari TASa,b | 442,098 | 526,135 | ||||||
Petkim Petrokimya Holding AS | 3,699,469 | 7,843,191 | ||||||
Sasa Polyester Sanayi ASa | 450,297 | 1,224,388 |
Security | Shares | Value | ||||||
Soda Sanayii AS | 1,978,616 | $ | 2,635,417 | |||||
|
| |||||||
12,229,131 | ||||||||
CONSTRUCTION & ENGINEERING — 1.00% |
| |||||||
Tekfen Holding AS | 811,090 | 3,871,719 | ||||||
|
| |||||||
3,871,719 | ||||||||
CONSTRUCTION MATERIALS — 0.59% |
| |||||||
Adana Cimento Sanayii TAS Class Aa | 291,304 | 474,480 | ||||||
Akcansa Cimento AS | 264,559 | 756,191 | ||||||
Cimsa Cimento Sanayi VE Ticaret ASa | 294,461 | 1,038,150 | ||||||
|
| |||||||
2,268,821 | ||||||||
CONTAINERS & PACKAGING — 0.23% |
| |||||||
Anadolu Cam Sanayii AS | 1,036,416 | 876,738 | ||||||
|
| |||||||
876,738 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 3.66% |
| |||||||
Haci Omer Sabanci Holding AS | 5,032,243 | 14,198,608 | ||||||
|
| |||||||
14,198,608 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.28% |
| |||||||
Turk Telekomunikasyon ASb | 2,877,225 | 4,943,465 | ||||||
|
| |||||||
4,943,465 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi ASa,b | 10,413,290 | 7,222,237 | ||||||
Is Gayrimenkul Yatirim Ortakligi AS | 2,257,109 | 818,298 | ||||||
|
| |||||||
8,040,535 | ||||||||
FOOD & STAPLES RETAILING — 6.25% |
| |||||||
BIM Birlesik Magazalar AS | 1,164,747 | 23,010,672 | ||||||
Migros Ticaret ASb | 194,389 | 1,229,725 | ||||||
|
| |||||||
24,240,397 | ||||||||
FOOD PRODUCTS — 1.29% |
| |||||||
Ulker Biskuvi Sanayi AS | 843,437 | 4,998,867 | ||||||
|
| |||||||
4,998,867 | ||||||||
GAS UTILITIES — 0.43% |
| |||||||
Aygaz AS | 410,663 | 1,684,102 | ||||||
|
| |||||||
1,684,102 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.17% |
| |||||||
Selcuk Ecza Deposu Ticaret ve Sanayi AS | 686,520 | 676,339 | ||||||
|
| |||||||
676,339 |
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TURKEY ETF
February 28, 2018
Security | Shares | Value | ||||||
HOUSEHOLD DURABLES — 2.00% |
| |||||||
Arcelik AS | 1,296,208 | $ | 6,453,032 | |||||
Vestel Elektronik Sanayi ve Ticaret ASb | 457,785 | 1,304,883 | ||||||
|
| |||||||
7,757,915 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.92% |
| |||||||
Aksa Enerji Uretim ASa,b | 834,920 | 1,046,269 | ||||||
Zorlu Enerji Elektrik Uretim ASa,b | 4,384,689 | 2,499,645 | ||||||
|
| |||||||
3,545,914 | ||||||||
INDUSTRIAL CONGLOMERATES — 8.02% |
| |||||||
AG Anadolu Grubu Holding ASa | 477,511 | 3,665,586 | ||||||
Alarko Holding ASa | 432,331 | 776,877 | ||||||
Dogan Sirketler Grubu Holding ASa,b | 7,127,357 | 1,497,954 | ||||||
Enka Insaat ve Sanayi AS | 1 | 2 | ||||||
KOC Holding AS | 4,169,515 | 19,705,915 | ||||||
Turkiye Sise ve Cam Fabrikalari AS | 4,315,834 | 5,419,666 | ||||||
|
| |||||||
31,066,000 | ||||||||
INSURANCE — 0.66% |
| |||||||
Anadolu Anonim Turk Sigorta Sirketi | 953,009 | 1,031,511 | ||||||
Anadolu Hayat Emeklilik AS | 475,373 | 934,149 | ||||||
AvivaSA Emeklilik ve Hayat ASa | 130,430 | 608,213 | ||||||
|
| |||||||
2,573,873 | ||||||||
MACHINERY — 0.75% |
| |||||||
Otokar Otomotiv Ve Savunma Sanayi ASa | 45,944 | 1,436,335 | ||||||
Turk Traktor ve Ziraat Makineleri AS | 73,013 | 1,488,476 | ||||||
|
| |||||||
2,924,811 | ||||||||
MEDIA — 0.31% |
| |||||||
Besiktas Futbol Yatirimlari Sanayi ve Ticaret ASa,b | 663,303 | 665,664 | ||||||
Fenerbahce Futbol ASa,b | 54,472 | 518,038 | ||||||
|
| |||||||
1,183,702 | ||||||||
METALS & MINING — 8.31% |
| |||||||
Borusan Mannesmann Boru Sanayi ve Ticaret ASa | 235,064 | 836,768 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 7,672,922 | 22,899,132 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Ab | 1,129,042 | 937,297 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Db | 4,274,411 | 3,862,910 | ||||||
Koza Altin Isletmeleri ASb | 250,748 | 2,159,366 |
Security | Shares | Value | ||||||
Koza Anadolu Metal Madencilik Isletmeleri ASb | 1,061,853 | $ | 1,520,340 | |||||
|
| |||||||
32,215,813 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.63% |
| |||||||
Ipek Dogal Enerji Kaynaklari Arastirma Ve Uretim ASa,b | 574,389 | 752,986 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 686,230 | 21,074,830 | ||||||
|
| |||||||
21,827,816 | ||||||||
PERSONAL PRODUCTS — 0.26% |
| |||||||
EIS Eczacibasi Ilac ve Sinai ve Finansal Yatirimlar Sanayi ve Ticaret ASa | 933,194 | 1,024,774 | ||||||
|
| |||||||
1,024,774 | ||||||||
SOFTWARE — 0.30% |
| |||||||
Logo Yazilim Sanayi Ve Ticaret ASa,b | 81,876 | 1,176,586 | ||||||
|
| |||||||
1,176,586 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.96% |
| |||||||
Aksa Akrilik Kimya Sanayii AS | 405,166 | 1,639,206 | ||||||
Mavi Giyim Sanayi Ve Ticaret AS Class Bb,c | 149,688 | 2,097,980 | ||||||
|
| |||||||
3,737,186 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 1.41% |
| |||||||
TAV Havalimanlari Holding AS | 895,921 | 5,460,565 | ||||||
|
| |||||||
5,460,565 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 6.27% |
| |||||||
Turkcell Iletisim Hizmetleri AS | 6,028,725 | 24,295,772 | ||||||
|
| |||||||
24,295,772 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $508,406,593) |
| 386,950,463 | ||||||
SHORT-TERM INVESTMENTS — 4.56% |
| |||||||
MONEY MARKET FUNDS — 4.56% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 17,534,009 | 17,535,763 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 140,120 | 140,120 | ||||||
|
| |||||||
17,675,883 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $17,674,992) |
| 17,675,883 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI TURKEY ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $526,081,585) |
| $ | 404,626,346 | |||||
Other Assets, Less Liabilities — (4.39)% |
| (17,007,397 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 387,618,949 | |||||
|
|
a | All or a portion of this security is on loan. |
b | Non-income producing security. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 15,951,030 | 1,582,979 | b | — | 17,534,009 | $ | 17,535,763 | $ | 572,786 | c | $ | (500 | ) | $ | (3,039 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 100,988 | 39,132 | b | — | 140,120 | 140,120 | 961 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 17,675,883 | $ | 573,747 | $ | (500 | ) | $ | (3,039 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 386,950,463 | $ | — | $ | — | $ | 386,950,463 | ||||||||
Money market funds | 17,675,883 | — | — | 17,675,883 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 404,626,346 | $ | — | $ | — | $ | 404,626,346 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.91% |
| |||||||
AEROSPACE & DEFENSE — 2.24% |
| |||||||
Arconic Inc. | 9,319 | $ | 227,290 | |||||
Boeing Co. (The) | 667 | 241,594 | ||||||
General Dynamics Corp. | 1,049 | 233,350 | ||||||
Harris Corp. | 1,471 | 229,697 | ||||||
Huntington Ingalls Industries Inc. | 879 | 230,307 | ||||||
L3 Technologies Inc. | 1,088 | 225,814 | ||||||
Lockheed Martin Corp. | 650 | 229,086 | ||||||
Northrop Grumman Corp. | 662 | 231,726 | ||||||
Raytheon Co. | 1,071 | 232,953 | ||||||
Rockwell Collins Inc. | 1,687 | 232,334 | ||||||
Spirit AeroSystems Holdings Inc. Class A | 2,526 | 230,599 | ||||||
Textron Inc. | 3,874 | 231,859 | ||||||
TransDigm Group Inc. | 787 | 226,900 | ||||||
United Technologies Corp. | 1,726 | 232,561 | ||||||
|
| |||||||
3,236,070 | ||||||||
AIR FREIGHT & LOGISTICS — 0.65% |
| |||||||
CH Robinson Worldwide Inc. | 2,559 | 238,908 | ||||||
Expeditors International of Washington Inc. | 3,584 | 232,817 | ||||||
FedEx Corp. | 941 | 231,872 | ||||||
United Parcel Service Inc. Class B | 2,194 | 229,075 | ||||||
|
| |||||||
932,672 | ||||||||
AIRLINES — 0.65% |
| |||||||
American Airlines Group Inc. | 4,352 | 236,096 | ||||||
Delta Air Lines Inc. | 4,464 | 240,610 | ||||||
Southwest Airlines Co. | 4,056 | 234,599 | ||||||
United Continental Holdings Inc.a | 3,457 | 234,350 | ||||||
|
| |||||||
945,655 | ||||||||
AUTO COMPONENTS — 0.78% |
| |||||||
Aptiv PLC | 2,481 | 226,590 | ||||||
Autoliv Inc.b | 1,578 | 226,348 | ||||||
BorgWarner Inc. | 4,414 | 216,639 | ||||||
Goodyear Tire & Rubber Co. (The) | 7,916 | 229,089 | ||||||
Lear Corp. | 1,219 | 227,429 | ||||||
|
| |||||||
1,126,095 | ||||||||
AUTOMOBILES — 0.63% |
| |||||||
Ford Motor Co. | 21,692 | 230,152 | ||||||
General Motors Co. | 5,636 | 221,777 | ||||||
Harley-Davidson Inc. | 4,941 | 224,222 | ||||||
Tesla Inc.a | 666 | 228,478 | ||||||
|
| |||||||
904,629 |
Security | Shares | Value | ||||||
BANKS — 3.52% |
| |||||||
Bank of America Corp. | 7,276 | $ | 233,560 | |||||
BB&T Corp. | 4,286 | 232,944 | ||||||
CIT Group Inc. | 4,320 | 229,176 | ||||||
Citigroup Inc. | 3,107 | 234,547 | ||||||
Citizens Financial Group Inc. | 5,073 | 220,625 | ||||||
Comerica Inc. | 2,385 | 231,870 | ||||||
East West Bancorp. Inc. | 3,522 | 230,867 | ||||||
Fifth Third Bancorp. | 7,015 | 231,846 | ||||||
First Republic Bank/CA | 2,411 | 223,741 | ||||||
Huntington Bancshares Inc./OH | 14,659 | 230,146 | ||||||
JPMorgan Chase & Co. | 2,026 | 234,003 | ||||||
KeyCorp | 11,231 | 237,311 | ||||||
M&T Bank Corp. | 1,220 | 231,605 | ||||||
People’s United Financial Inc. | 11,867 | 227,134 | ||||||
PNC Financial Services Group Inc. (The)c | 1,478 | 233,021 | ||||||
Regions Financial Corp. | 11,941 | 231,775 | ||||||
Signature Bank/New York NYa | 1,565 | 228,787 | ||||||
SunTrust Banks Inc. | 3,289 | 229,704 | ||||||
SVB Financial Groupa | 946 | 235,535 | ||||||
U.S. Bancorp. | 4,315 | 234,563 | ||||||
Wells Fargo & Co. | 3,936 | 229,902 | ||||||
Zions BanCorp. | 4,214 | 231,644 | ||||||
|
| |||||||
5,084,306 | ||||||||
BEVERAGES — 1.12% |
| |||||||
Brown-Forman Corp. Class B | 3,395 | 236,937 | ||||||
Coca-Cola Co. (The) | 5,298 | 228,980 | ||||||
Constellation Brands Inc. Class A | 1,082 | 233,149 | ||||||
Dr Pepper Snapple Group Inc. | 2,008 | 233,430 | ||||||
Molson Coors Brewing Co. Class B | 2,939 | 224,099 | ||||||
Monster Beverage Corp.a | 3,623 | 229,590 | ||||||
PepsiCo Inc. | 2,110 | 231,530 | ||||||
|
| |||||||
1,617,715 | ||||||||
BIOTECHNOLOGY — 2.38% |
| |||||||
AbbVie Inc. | 1,961 | 227,143 | ||||||
Alexion Pharmaceuticals Inc.a | 2,061 | 242,064 | ||||||
Alkermes PLCa,b | 4,077 | 232,715 | ||||||
Alnylam Pharmaceuticals Inc.a | 1,924 | 231,188 | ||||||
Amgen Inc. | 1,264 | 232,285 | ||||||
Biogen Inc.a | 810 | 234,082 | ||||||
BioMarin Pharmaceutical Inc.a | 2,705 | 219,565 | ||||||
Celgene Corp.a | 2,459 | 214,228 | ||||||
Gilead Sciences Inc. | 2,904 | 228,632 | ||||||
Incyte Corp.a | 2,707 | 230,528 |
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Regeneron Pharmaceuticals Inc.a | 730 | $ | 233,921 | |||||
Seattle Genetics Inc.a,b | 4,287 | 231,498 | ||||||
TESARO Inc.a,b | 3,787 | 209,156 | ||||||
United Therapeutics Corp.a | 1,962 | 227,298 | ||||||
Vertex Pharmaceuticals Inc.a | 1,463 | 242,902 | ||||||
|
| |||||||
3,437,205 | ||||||||
BUILDING PRODUCTS — 1.09% |
| |||||||
Allegion PLC | 2,708 | 227,770 | ||||||
AO Smith Corp. | 3,517 | 225,756 | ||||||
Fortune Brands Home & Security Inc. | 3,645 | 221,106 | ||||||
Johnson Controls International PLC | 6,061 | 223,469 | ||||||
Lennox International Inc. | 1,139 | 233,073 | ||||||
Masco Corp. | 5,415 | 222,665 | ||||||
Owens Corning | 2,712 | 220,486 | ||||||
|
| |||||||
1,574,325 | ||||||||
CAPITAL MARKETS — 3.90% |
| |||||||
Affiliated Managers Group Inc. | 1,234 | 233,670 | ||||||
Ameriprise Financial Inc. | 1,459 | 228,246 | ||||||
Bank of New York Mellon Corp. (The) | 4,135 | 235,819 | ||||||
BlackRock Inc.c | 428 | 235,156 | ||||||
Cboe Global Markets Inc. | 2,097 | 234,885 | ||||||
Charles Schwab Corp. (The) | 4,432 | 234,985 | ||||||
CME Group Inc. | 1,444 | 239,935 | ||||||
E*TRADE Financial Corp.a | 4,544 | 237,333 | ||||||
Eaton Vance Corp. NVS | 4,252 | 225,058 | ||||||
Franklin Resources Inc. | 5,955 | 230,280 | ||||||
Goldman Sachs Group Inc. (The) | 882 | 231,904 | ||||||
Intercontinental Exchange Inc. | 3,297 | 240,945 | ||||||
Invesco Ltd. | 7,000 | 227,780 | ||||||
Moody’s Corp. | 1,388 | 231,630 | ||||||
Morgan Stanley | 4,203 | 235,452 | ||||||
MSCI Inc. | 1,614 | 228,413 | ||||||
Nasdaq Inc. | 2,896 | 233,852 | ||||||
Northern Trust Corp. | 2,220 | 235,031 | ||||||
Raymond James Financial Inc. | 2,634 | 244,198 | ||||||
S&P Global Inc. | 1,230 | 235,914 | ||||||
SEI Investments Co. | 3,133 | 228,176 | ||||||
State Street Corp. | 2,257 | 239,581 | ||||||
T Rowe Price Group Inc. | 2,088 | 233,647 | ||||||
TD Ameritrade Holding Corp. | 4,215 | 242,363 | ||||||
|
| |||||||
5,624,253 | ||||||||
CHEMICALS — 2.80% |
| |||||||
Air Products & Chemicals Inc. | 1,385 | 222,694 | ||||||
Albemarle Corp. | 2,028 | 203,672 | ||||||
Axalta Coating Systems Ltd.a,b | 7,462 | 229,830 |
Security | Shares | Value | ||||||
Celanese Corp. Series A | 2,249 | $ | 226,834 | |||||
CF Industries Holdings Inc. | 5,366 | 221,294 | ||||||
Chemours Co. (The) | 4,599 | 218,498 | ||||||
DowDuPont Inc. | 3,143 | 220,953 | ||||||
Eastman Chemical Co. | 2,272 | 229,654 | ||||||
Ecolab Inc. | 1,781 | 232,331 | ||||||
FMC Corp. | 2,760 | 216,605 | ||||||
International Flavors & Fragrances Inc. | 1,616 | 228,260 | ||||||
LyondellBasell Industries NV Class A | 2,143 | 231,915 | ||||||
Monsanto Co. | 1,892 | 233,416 | ||||||
Mosaic Co. (The) | 8,400 | 221,088 | ||||||
PPG Industries Inc. | 1,990 | 223,756 | ||||||
Praxair Inc. | 1,466 | 219,534 | ||||||
Sherwin-Williams Co. (The) | 568 | 228,097 | ||||||
WR Grace & Co. | 3,466 | 229,380 | ||||||
|
| |||||||
4,037,811 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.98% |
| |||||||
Cintas Corp. | 1,380 | 235,511 | ||||||
Republic Services Inc. | 3,588 | 241,042 | ||||||
Rollins Inc. | 4,577 | 230,086 | ||||||
Stericycle Inc.a | 3,803 | 238,334 | ||||||
Waste Connections Inc. | 3,249 | 229,964 | ||||||
Waste Management Inc. | 2,791 | 240,919 | ||||||
|
| |||||||
1,415,856 | ||||||||
COMMUNICATIONS EQUIPMENT — 1.16% |
| |||||||
Arista Networks Inc.a,b | 925 | 249,509 | ||||||
Cisco Systems Inc. | 5,370 | 240,469 | ||||||
CommScope Holding Co. Inc.a | 6,028 | 233,344 | ||||||
F5 Networks Inc.a | 1,603 | 238,078 | ||||||
Juniper Networks Inc. | 8,858 | 227,296 | ||||||
Motorola Solutions Inc. | 2,202 | 233,742 | ||||||
Palo Alto Networks Inc.a | 1,424 | 246,879 | ||||||
|
| |||||||
1,669,317 | ||||||||
CONSTRUCTION & ENGINEERING — 0.31% |
| |||||||
Fluor Corp. | 3,968 | 225,779 | ||||||
Jacobs Engineering Group Inc. | 3,683 | 224,884 | ||||||
|
| |||||||
450,663 | ||||||||
CONSTRUCTION MATERIALS — 0.30% |
| |||||||
Martin Marietta Materials Inc. | 1,088 | 221,876 | ||||||
Vulcan Materials Co. | 1,828 | 215,210 | ||||||
|
| |||||||
437,086 | ||||||||
CONSUMER FINANCE — 0.81% |
| |||||||
Ally Financial Inc. | 8,432 | 235,253 | ||||||
American Express Co. | 2,398 | 233,829 |
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Capital One Financial Corp. | 2,391 | $ | 234,151 | |||||
Discover Financial Services | 2,966 | 233,810 | ||||||
Synchrony Financial | 6,347 | 230,967 | ||||||
|
| |||||||
1,168,010 | ||||||||
CONTAINERS & PACKAGING — 1.13% |
| |||||||
Avery Dennison Corp. | 1,950 | 230,393 | ||||||
Ball Corp. | 5,830 | 232,908 | ||||||
Crown Holdings Inc.a | 4,533 | 225,925 | ||||||
International Paper Co. | 4,071 | 242,591 | ||||||
Packaging Corp. of America | 1,941 | 231,367 | ||||||
Sealed Air Corp. | 5,498 | 232,950 | ||||||
WestRock Co. | 3,532 | 232,264 | ||||||
|
| |||||||
1,628,398 | ||||||||
DISTRIBUTORS — 0.32% |
| |||||||
Genuine Parts Co. | 2,481 | 227,855 | ||||||
LKQ Corp.a | 5,878 | 232,063 | ||||||
|
| |||||||
459,918 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 0.15% |
| |||||||
H&R Block Inc. | 8,717 | 220,802 | ||||||
|
| |||||||
220,802 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.48% |
| |||||||
Berkshire Hathaway Inc. Class Ba | 1,150 | 238,280 | ||||||
Leucadia National Corp. | 9,419 | 225,962 | ||||||
Voya Financial Inc. | 4,547 | 231,988 | ||||||
|
| |||||||
696,230 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.63% |
| |||||||
AT&T Inc. | 6,426 | 233,264 | ||||||
CenturyLink Inc. | 12,824 | 226,600 | ||||||
Verizon Communications Inc. | 4,760 | 227,243 | ||||||
Zayo Group Holdings Inc.a | 6,284 | 225,281 | ||||||
|
| |||||||
912,388 | ||||||||
ELECTRIC UTILITIES — 2.55% |
| |||||||
Alliant Energy Corp. | 5,974 | 230,895 | ||||||
American Electric Power Co. Inc. | 3,511 | 230,251 | ||||||
Duke Energy Corp. | 3,052 | 229,938 | ||||||
Edison International | 3,860 | 233,877 | ||||||
Entergy Corp. | 3,073 | 232,995 | ||||||
Eversource Energy | 4,012 | 228,684 | ||||||
Exelon Corp. | 6,192 | 229,352 | ||||||
FirstEnergy Corp. | 7,004 | 226,439 | ||||||
NextEra Energy Inc. | 1,514 | 230,355 | ||||||
OGE Energy Corp. | 7,327 | 229,628 | ||||||
PG&E Corp. | 5,752 | 236,350 | ||||||
Pinnacle West Capital Corp. | 3,005 | 231,265 |
Security | Shares | Value | ||||||
PPL Corp. | 7,811 | $ | 223,785 | |||||
Southern Co. (The) | 5,360 | 230,802 | ||||||
Westar Energy Inc. | 4,639 | 226,059 | ||||||
Xcel Energy Inc. | 5,287 | 228,821 | ||||||
|
| |||||||
3,679,496 | ||||||||
ELECTRICAL EQUIPMENT — 0.94% |
| |||||||
Acuity Brands Inc. | 1,576 | 224,706 | ||||||
AMETEK Inc. | 3,022 | 228,886 | ||||||
Eaton Corp. PLC | 2,824 | 227,897 | ||||||
Emerson Electric Co. | 3,199 | 227,321 | ||||||
Rockwell Automation Inc. | 1,247 | 225,458 | ||||||
Sensata Technologies Holding NVa,b | 4,306 | 227,615 | ||||||
|
| |||||||
1,361,883 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 1.78% |
| |||||||
Amphenol Corp. Class A | 2,555 | 233,501 | ||||||
Arrow Electronics Inc.a | 2,837 | 231,442 | ||||||
Avnet Inc. | 5,569 | 237,796 | ||||||
CDW Corp./DE | 3,226 | 235,272 | ||||||
Cognex Corp. | 4,229 | 227,140 | ||||||
Corning Inc. | 7,894 | 229,558 | ||||||
Flex Ltd.a | 13,057 | 236,332 | ||||||
FLIR Systems Inc. | 4,750 | 233,225 | ||||||
IPG Photonics Corp.a | 962 | 236,306 | ||||||
TE Connectivity Ltd. | 2,347 | 241,952 | ||||||
Trimble Inc.a | 6,039 | 229,059 | ||||||
|
| |||||||
2,571,583 | ||||||||
ENERGY EQUIPMENT & SERVICES — 0.94% |
| |||||||
Baker Hughes a GE Co. | 8,223 | 217,087 | ||||||
Halliburton Co. | 4,892 | 227,087 | ||||||
Helmerich & Payne Inc. | 3,526 | 227,603 | ||||||
National Oilwell Varco Inc. | 6,569 | 230,506 | ||||||
Schlumberger Ltd. | 3,610 | 236,961 | ||||||
TechnipFMC PLC | 7,550 | 217,591 | ||||||
|
| |||||||
1,356,835 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS |
| |||||||
Alexandria Real Estate Equities Inc. | 1,922 | 233,158 | ||||||
American Tower Corp. | 1,659 | 231,148 | ||||||
AvalonBay Communities Inc. | 1,468 | 229,037 | ||||||
Boston Properties Inc. | 1,946 | 231,321 | ||||||
Brixmor Property Group Inc. | 14,934 | 232,074 | ||||||
Camden Property Trust | 2,869 | 228,688 | ||||||
Colony NorthStar Inc. Class Ab | 29,299 | 227,946 | ||||||
Crown Castle International Corp. | 2,126 | 233,988 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Digital Realty Trust Inc. | 2,287 | $ | 230,164 | |||||
Duke Realty Corp. | 9,260 | 229,370 | ||||||
Equinix Inc. | 591 | 231,731 | ||||||
Equity Residential | 4,105 | 230,824 | ||||||
Essex Property Trust Inc. | 1,041 | 233,007 | ||||||
Extra Space Storage Inc.b | 2,731 | 232,272 | ||||||
Federal Realty Investment Trust | 2,021 | 230,273 | ||||||
GGP Inc. | 10,836 | 229,398 | ||||||
HCP Inc. | 10,534 | 227,956 | ||||||
Host Hotels & Resorts Inc. | 12,066 | 223,945 | ||||||
Invitation Homes Inc. | 10,636 | 231,333 | ||||||
Iron Mountain Inc. | 7,301 | 229,689 | ||||||
Kimco Realty Corp. | 15,382 | 230,115 | ||||||
Liberty Property Trust | 5,857 | 229,946 | ||||||
Macerich Co. (The) | 3,921 | 231,104 | ||||||
Mid-America Apartment Communities Inc. | 2,684 | 230,341 | ||||||
National Retail Properties Inc. | 6,062 | 225,749 | ||||||
Prologis Inc. | 3,847 | 233,436 | ||||||
Public Storage | 1,194 | 232,161 | ||||||
Realty Income Corp. | 4,677 | 230,015 | ||||||
Regency Centers Corp. | 3,956 | 229,883 | ||||||
SBA Communications Corp.a | 1,317 | 207,125 | ||||||
Simon Property Group Inc. | 1,497 | 229,804 | ||||||
SL Green Realty Corp. | 2,404 | 232,996 | ||||||
UDR Inc. | 6,895 | 231,810 | ||||||
Ventas Inc. | 4,642 | 224,301 | ||||||
VEREIT Inc. | 33,859 | 231,934 | ||||||
Vornado Realty Trust | 3,466 | 230,385 | ||||||
Welltower Inc. | 4,291 | 225,278 | ||||||
Weyerhaeuser Co. | 6,614 | 231,688 | ||||||
|
| |||||||
8,725,393 | ||||||||
FOOD & STAPLES RETAILING — 0.96% |
| |||||||
Costco Wholesale Corp. | 1,236 | 235,952 | ||||||
CVS Health Corp. | 3,391 | 229,672 | ||||||
Kroger Co. (The) | 8,471 | 229,734 | ||||||
Sysco Corp. | 3,928 | 234,305 | ||||||
Walgreens Boots Alliance Inc. | 3,310 | 228,026 | ||||||
Walmart Inc. | 2,486 | 223,765 | ||||||
|
| |||||||
1,381,454 | ||||||||
FOOD PRODUCTS — 2.23% |
| |||||||
Archer-Daniels-Midland Co. | 5,522 | 229,273 | ||||||
Bunge Ltd. | 3,050 | 230,062 | ||||||
Campbell Soup Co. | 5,245 | 225,797 | ||||||
Conagra Brands Inc. | 6,308 | 227,908 |
Security | Shares | Value | ||||||
General Mills Inc. | 4,168 | $ | 210,692 | |||||
Hershey Co. (The) | 2,375 | 233,368 | ||||||
Hormel Foods Corp. | 6,987 | 226,798 | ||||||
Ingredion Inc. | 1,801 | 235,283 | ||||||
JM Smucker Co. (The) | 1,877 | 237,065 | ||||||
Kellogg Co. | 3,443 | 227,927 | ||||||
Kraft Heinz Co. (The) | 3,409 | 228,573 | ||||||
McCormick & Co. Inc./MD NVS | 2,255 | 240,789 | ||||||
Mondelez International Inc. Class A | 5,306 | 232,933 | ||||||
Tyson Foods Inc. Class A | 3,087 | 229,611 | ||||||
|
| |||||||
3,216,079 | ||||||||
GAS UTILITIES — 0.32% |
| |||||||
Atmos Energy Corp. | 2,852 | 229,557 | ||||||
UGI Corp. | 5,341 | 230,144 | ||||||
|
| |||||||
459,701 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 2.91% |
| |||||||
Abbott Laboratories | 3,986 | 240,475 | ||||||
Align Technology Inc.a | 881 | 231,280 | ||||||
Baxter International Inc. | 3,488 | 236,451 | ||||||
Becton Dickinson and Co. | 1,072 | 238,005 | ||||||
Boston Scientific Corp.a | 8,708 | 237,380 | ||||||
Cooper Companies Inc. (The) | 1,013 | 233,517 | ||||||
Danaher Corp. | 2,384 | 233,108 | ||||||
DENTSPLY SIRONA Inc. | 4,037 | 226,314 | ||||||
Edwards Lifesciences Corp.a | 1,725 | 230,581 | ||||||
Hologic Inc.a | 5,921 | 229,912 | ||||||
IDEXX Laboratories Inc.a | 1,261 | 236,097 | ||||||
Intuitive Surgical Inc.a | 563 | 240,091 | ||||||
Medtronic PLC | 2,868 | 229,125 | ||||||
ResMed Inc. | 2,459 | 234,269 | ||||||
Stryker Corp. | 1,447 | 234,646 | ||||||
Teleflex Inc. | 926 | 231,343 | ||||||
Varian Medical Systems Inc.a,b | 1,924 | 229,610 | ||||||
Zimmer Biomet Holdings Inc. | 1,979 | 230,059 | ||||||
|
| |||||||
4,202,263 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 2.73% |
| |||||||
Aetna Inc. | 1,317 | 233,188 | ||||||
AmerisourceBergen Corp. | 2,374 | 225,910 | ||||||
Anthem Inc. | 1,015 | 238,911 | ||||||
Cardinal Health Inc. | 3,399 | 235,245 | ||||||
Centene Corp.a | 2,301 | 233,367 | ||||||
Cigna Corp. | 1,202 | 235,460 | ||||||
DaVita Inc.a | 3,199 | 230,392 | ||||||
Envision Healthcare Corp.a | 6,123 | 235,735 | ||||||
Express Scripts Holding Co.a | 3,086 | 232,839 |
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
HCA Healthcare Inc. | 2,293 | $ | 227,580 | |||||
Henry Schein Inc.a,b | 3,392 | 224,516 | ||||||
Humana Inc. | 861 | 234,037 | ||||||
Laboratory Corp. of America Holdingsa | 1,354 | 233,836 | ||||||
McKesson Corp. | 1,547 | 230,859 | ||||||
Quest Diagnostics Inc. | 2,286 | 235,572 | ||||||
UnitedHealth Group Inc. | 1,017 | 230,005 | ||||||
Universal Health Services Inc. Class B | 1,976 | 225,659 | ||||||
|
| |||||||
3,943,111 | ||||||||
HEALTH CARE TECHNOLOGY — 0.35% |
| |||||||
Cerner Corp.a | 3,665 | 235,146 | ||||||
Veeva Systems Inc. Class Aa | 3,853 | 268,554 | ||||||
|
| |||||||
503,700 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 2.69% |
| |||||||
Aramark | 5,412 | 225,735 | ||||||
Carnival Corp. | 3,351 | 224,215 | ||||||
Chipotle Mexican Grill Inc.a,b | 735 | 234,031 | ||||||
Darden Restaurants Inc. | 2,459 | 226,695 | ||||||
Domino’s Pizza Inc. | 1,016 | 225,969 | ||||||
Hilton Worldwide Holdings Inc. | 2,765 | 223,384 | ||||||
Las Vegas Sands Corp. | 3,161 | 230,152 | ||||||
Marriott International Inc./MD Class A | 1,640 | 231,584 | ||||||
McDonald’s Corp. | 1,435 | 226,357 | ||||||
MGM Resorts International | 6,625 | 226,774 | ||||||
Norwegian Cruise Line Holdings Ltd.a,b | 4,031 | 229,364 | ||||||
Royal Caribbean Cruises Ltd. | 1,785 | 225,981 | ||||||
Starbucks Corp. | 4,162 | 237,650 | ||||||
Vail Resorts Inc. | 1,089 | 224,193 | ||||||
Wyndham Worldwide Corp. | 1,926 | 222,992 | ||||||
Wynn Resorts Ltd. | 1,403 | 235,003 | ||||||
Yum! Brands Inc. | 2,944 | 239,583 | ||||||
|
| |||||||
3,889,662 | ||||||||
HOUSEHOLD DURABLES — 1.53% |
| |||||||
DR Horton Inc. | 5,210 | 218,299 | ||||||
Garmin Ltd. | 3,818 | 226,178 | ||||||
Leggett & Platt Inc. | 5,198 | 225,905 | ||||||
Lennar Corp. Class A | 3,946 | 223,265 | ||||||
Mohawk Industries Inc.a | 926 | 222,129 | ||||||
Newell Brands Inc. | 8,633 | 221,782 | ||||||
NVR Inc.a | 75 | 213,238 | ||||||
PulteGroup Inc. | 7,899 | 221,725 | ||||||
Toll Brothers Inc. | 4,987 | 218,580 | ||||||
Whirlpool Corp. | 1,334 | 216,681 | ||||||
|
| |||||||
2,207,782 |
Security | Shares | Value | ||||||
HOUSEHOLD PRODUCTS — 0.95% |
| |||||||
Church & Dwight Co. Inc. | 4,787 | $ | 235,473 | |||||
Clorox Co. (The) | 1,811 | 233,764 | ||||||
Colgate-Palmolive Co. | 3,323 | 229,187 | ||||||
Kimberly-Clark Corp. | 2,044 | 226,720 | ||||||
Procter & Gamble Co. (The) | 2,852 | 223,939 | ||||||
Spectrum Brands Holdings Inc. | 2,224 | 219,531 | ||||||
|
| |||||||
1,368,614 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.33% |
| |||||||
AES Corp./VA | 22,387 | 243,347 | ||||||
Vistra Energy Corp.a | 12,317 | 233,407 | ||||||
|
| |||||||
476,754 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.63% |
| |||||||
3M Co. | 968 | 227,974 | ||||||
General Electric Co. | 15,772 | 222,543 | ||||||
Honeywell International Inc. | 1,495 | 225,909 | ||||||
Roper Technologies Inc. | 825 | 226,949 | ||||||
|
| |||||||
903,375 | ||||||||
INSURANCE — 5.23% |
| |||||||
Aflac Inc. | 2,632 | 233,932 | ||||||
Alleghany Corp.a | 314 | 190,331 | ||||||
Allstate Corp. (The) | 2,485 | 229,266 | ||||||
American Financial Group Inc./OH | 2,062 | 232,594 | ||||||
American International Group Inc. | 3,789 | 217,261 | ||||||
Aon PLC | 1,613 | 226,336 | ||||||
Arch Capital Group Ltd.a | 2,622 | 231,365 | ||||||
Arthur J Gallagher & Co. | 3,421 | 236,425 | ||||||
Assurant Inc. | 2,625 | 224,359 | ||||||
Athene Holding Ltd. Class Aa | 4,875 | 230,149 | ||||||
Axis Capital Holdings Ltd. | 4,631 | 228,494 | ||||||
Brighthouse Financial Inc.a | 4,179 | 226,794 | ||||||
Chubb Ltd. | 1,612 | 228,775 | ||||||
Cincinnati Financial Corp. | 3,083 | 229,961 | ||||||
Everest Re Group Ltd. | 963 | 231,351 | ||||||
FNF Group | 5,906 | 235,827 | ||||||
Hartford Financial Services Group Inc. (The) | 4,333 | 228,999 | ||||||
Lincoln National Corp. | 3,058 | 232,928 | ||||||
Loews Corp. | 4,531 | 223,514 | ||||||
Markel Corp.a | 208 | 231,296 | ||||||
Marsh & McLennan Companies Inc. | 2,815 | 233,701 | ||||||
MetLife Inc. | 4,945 | 228,410 | ||||||
Principal Financial Group Inc. | 3,697 | 230,434 | ||||||
Progressive Corp. (The) | 4,056 | 233,544 |
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Prudential Financial Inc. | 2,139 | $ | 227,418 | |||||
Reinsurance Group of America Inc. | 1,506 | 231,608 | ||||||
RenaissanceRe Holdings Ltd. | 1,797 | 230,519 | ||||||
Torchmark Corp. | 2,640 | 225,377 | ||||||
Travelers Companies Inc. (The) | 1,722 | 239,358 | ||||||
Unum Group | 4,498 | 229,218 | ||||||
Willis Towers Watson PLC | 1,473 | 232,587 | ||||||
WR Berkley Corp. | 3,379 | 231,056 | ||||||
XL Group Ltd. | 5,350 | 226,359 | ||||||
|
| |||||||
7,549,546 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.99% |
| |||||||
Amazon.com Inc.a | 155 | 234,430 | ||||||
Booking Holdings Inc.a | 127 | 258,323 | ||||||
Expedia Inc. | 2,206 | 232,005 | ||||||
Liberty Interactive Corp. QVC Group Series Aa | 8,168 | 235,810 | ||||||
Netflix Inc.a | 829 | 241,554 | ||||||
TripAdvisor Inc.a,b | 5,536 | 221,883 | ||||||
|
| |||||||
1,424,005 | ||||||||
INTERNET SOFTWARE & SERVICES — 1.45% |
| |||||||
Akamai Technologies Inc.a | 3,533 | 238,336 | ||||||
Alphabet Inc. Class Aa | 104 | 114,808 | ||||||
Alphabet Inc. Class Ca | 111 | 122,625 | ||||||
eBay Inc.a | 5,384 | 230,758 | ||||||
Facebook Inc. Class Aa | 1,288 | 229,676 | ||||||
IAC/InterActiveCorp.a | 1,529 | 227,684 | ||||||
MercadoLibre Inc. | 624 | 242,093 | ||||||
Twitter Inc.a | 7,181 | 228,787 | ||||||
VeriSign Inc.a,b | 2,006 | 232,736 | ||||||
Zillow Group Inc. Class Ca,b | 4,821 | 229,817 | ||||||
|
| |||||||
2,097,320 | ||||||||
IT SERVICES — 3.85% |
| |||||||
Accenture PLC Class A | 1,438 | 231,532 | ||||||
Alliance Data Systems Corp. | 966 | 232,767 | ||||||
Automatic Data Processing Inc. | 2,037 | 234,907 | ||||||
Broadridge Financial Solutions Inc. | 2,309 | 231,777 | ||||||
Cognizant Technology Solutions Corp. Class A | 2,825 | 231,707 | ||||||
DXC Technology Co. | 2,288 | 234,612 | ||||||
Fidelity National Information Services Inc. | 2,352 | 228,567 | ||||||
First Data Corp. Class Aa | 14,715 | 229,848 | ||||||
Fiserv Inc.a | 1,623 | 232,722 | ||||||
FleetCor Technologies Inc.a | 1,130 | 225,921 | ||||||
Gartner Inc.a | 1,996 | 226,366 |
Security | Shares | Value | ||||||
Global Payments Inc. | 2,058 | $ | 233,357 | |||||
International Business Machines Corp. | 1,472 | 229,382 | ||||||
Jack Henry & Associates Inc. | 1,954 | 229,204 | ||||||
Leidos Holdings Inc. | 3,507 | 222,028 | ||||||
Mastercard Inc. Class A | 1,333 | 234,288 | ||||||
Paychex Inc. | 3,459 | 225,285 | ||||||
PayPal Holdings Inc.a | 2,968 | 235,689 | ||||||
Sabre Corp. | 9,862 | 226,530 | ||||||
Square Inc. Class Aa | 5,135 | 236,467 | ||||||
Total System Services Inc. | 2,656 | 233,595 | ||||||
Visa Inc. Class A | 1,919 | 235,922 | ||||||
Western Union Co. (The) | 11,382 | 225,591 | ||||||
Worldpay Inc. Class Aa | 3,089 | 251,074 | ||||||
|
| |||||||
5,559,138 | ||||||||
LEISURE PRODUCTS — 0.47% |
| |||||||
Hasbro Inc. | 2,362 | 225,737 | ||||||
Mattel Inc. | 13,857 | 220,326 | ||||||
Polaris Industries Inc. | 1,985 | 226,270 | ||||||
|
| |||||||
672,333 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.96% |
| |||||||
Agilent Technologies Inc. | 3,224 | 221,134 | ||||||
Illumina Inc.a | 1,041 | 237,369 | ||||||
IQVIA Holdings Inc.a | 2,344 | 230,486 | ||||||
Mettler-Toledo International Inc.a | 369 | 227,385 | ||||||
Thermo Fisher Scientific Inc. | 1,103 | 230,064 | ||||||
Waters Corp.a | 1,144 | 234,108 | ||||||
|
| |||||||
1,380,546 | ||||||||
MACHINERY — 2.98% |
| |||||||
AGCO Corp. | 3,413 | 227,306 | ||||||
Caterpillar Inc. | 1,454 | 224,832 | ||||||
Cummins Inc. | 1,398 | 235,102 | ||||||
Deere & Co. | 1,409 | 226,666 | ||||||
Dover Corp. | 2,259 | 226,126 | ||||||
Flowserve Corp. | 5,291 | 224,074 | ||||||
Fortive Corp. | 3,012 | 231,322 | ||||||
IDEX Corp. | 1,712 | 234,201 | ||||||
Illinois Tool Works Inc. | 1,403 | 226,500 | ||||||
Ingersoll-Rand PLC | 2,553 | 226,706 | ||||||
Middleby Corp. (The)a | 1,734 | 208,513 | ||||||
PACCAR Inc. | 3,340 | 239,110 | ||||||
Parker-Hannifin Corp. | 1,227 | 218,983 | ||||||
Pentair PLC | 3,233 | 222,075 | ||||||
Snap-on Inc. | 1,401 | 223,067 | ||||||
Stanley Black & Decker Inc. | 1,446 | 230,189 | ||||||
WABCO Holdings Inc.a | 1,644 | 226,823 |
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Wabtec Corp./DEb | 2,802 | $ | 227,915 | |||||
Xylem Inc./NY | 3,072 | 229,110 | ||||||
|
| |||||||
4,308,620 | ||||||||
MEDIA — 2.99% |
| |||||||
CBS Corp. Class B NVS | 4,245 | 224,858 | ||||||
Charter Communications Inc. Class Aa | 647 | 221,229 | ||||||
Comcast Corp. Class A | 5,962 | 215,884 | ||||||
Discovery Communications Inc. Class Aa,b | 4,249 | 103,336 | ||||||
Discovery Communications Inc. Class C NVSa | 5,728 | 131,629 | ||||||
DISH Network Corp. Class Aa,b | 5,256 | 219,122 | ||||||
Interpublic Group of Companies Inc. (The) | 9,632 | 225,389 | ||||||
Liberty Broadband Corp. Class Ca | 2,544 | 223,567 | ||||||
Liberty Global PLC Series Aa | 1,971 | 61,377 | ||||||
Liberty Global PLC Series C NVSa | 5,496 | 165,045 | ||||||
Liberty Media Corp.-Liberty Formula One Class Ca | 6,701 | 220,664 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Aa | 1,869 | 78,404 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Ca | 3,620 | 151,171 | ||||||
Live Nation Entertainment Inc.a | 4,941 | 221,357 | ||||||
News Corp. Class A | 14,182 | 228,756 | ||||||
Omnicom Group Inc. | 3,003 | 228,919 | ||||||
Scripps Networks Interactive Inc. Class A | 2,627 | 236,062 | ||||||
Sirius XM Holdings Inc.b | 37,493 | 235,456 | ||||||
Time Warner Inc. | 2,499 | 232,307 | ||||||
Twenty-First Century Fox Inc. Class A | 4,395 | 161,824 | ||||||
Twenty-First Century Fox Inc. Class B | 1,831 | 66,685 | ||||||
Viacom Inc. Class B NVS | 7,002 | 233,447 | ||||||
Walt Disney Co. (The) | 2,179 | 224,785 | ||||||
|
| |||||||
4,311,273 | ||||||||
METALS & MINING — 0.63% |
| |||||||
Freeport-McMoRan Inc.a | 12,035 | 223,851 | ||||||
Newmont Mining Corp. | 6,096 | 232,867 | ||||||
Nucor Corp. | 3,444 | 225,238 | ||||||
Steel Dynamics Inc. | 4,804 | 222,185 | ||||||
|
| |||||||
904,141 | ||||||||
MORTGAGE REAL ESTATE INVESTMENT — 0.31% |
| |||||||
AGNC Investment Corp.b | 12,397 | 222,402 | ||||||
Annaly Capital Management Inc. | 22,650 | 227,180 | ||||||
|
| |||||||
449,582 |
Security | Shares | Value | ||||||
MULTI-UTILITIES — 1.75% |
| |||||||
Ameren Corp. | 4,224 | $ | 229,363 | |||||
CenterPoint Energy Inc. | 8,540 | 231,007 | ||||||
CMS Energy Corp. | 5,361 | 227,575 | ||||||
Consolidated Edison Inc. | 3,042 | 227,815 | ||||||
Dominion Energy Inc. | 3,134 | 232,136 | ||||||
DTE Energy Co. | 2,264 | 228,166 | ||||||
NiSource Inc. | 9,991 | 231,092 | ||||||
Public Service Enterprise Group Inc. | 4,689 | 227,088 | ||||||
SCANA Corp. | 5,775 | 229,094 | ||||||
Sempra Energy | 2,162 | 235,615 | ||||||
WEC Energy Group Inc. | 3,821 | 228,954 | ||||||
|
| |||||||
2,527,905 | ||||||||
MULTILINE RETAIL — 0.98% |
| |||||||
Dollar General Corp. | 2,399 | 226,921 | ||||||
Dollar Tree Inc.a | 2,155 | 221,189 | ||||||
Kohl’s Corp. | 3,561 | 235,347 | ||||||
Macy’s Inc. | 8,811 | 259,132 | ||||||
Nordstrom Inc. | 4,587 | 235,359 | ||||||
Target Corp. | 3,073 | 231,735 | ||||||
|
| |||||||
1,409,683 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.21% |
| |||||||
Anadarko Petroleum Corp. | 3,956 | 225,650 | ||||||
Andeavor | 2,494 | 223,512 | ||||||
Antero Resources Corp.a,b | 12,484 | 234,824 | ||||||
Apache Corp. | 6,616 | 225,936 | ||||||
Cabot Oil & Gas Corp. | 9,656 | 233,289 | ||||||
Cheniere Energy Inc.a | 4,100 | 215,332 | ||||||
Chevron Corp. | 2,098 | 234,808 | ||||||
Cimarex Energy Co. | 2,416 | 232,153 | ||||||
Concho Resources Inc.a | 1,592 | 240,074 | ||||||
ConocoPhillips | 4,199 | 228,048 | ||||||
Continental Resources Inc./OKa | 4,786 | 227,383 | ||||||
Devon Energy Corp. | 7,582 | 232,540 | ||||||
Diamondback Energy Inc.a | 1,870 | 233,077 | ||||||
EOG Resources Inc. | 2,199 | 223,023 | ||||||
EQT Corp. | 4,537 | 228,256 | ||||||
Exxon Mobil Corp. | 3,040 | 230,250 | ||||||
Hess Corp. | 5,037 | 228,781 | ||||||
HollyFrontier Corp. | 5,078 | 217,491 | ||||||
Kinder Morgan Inc./DE | 13,840 | 224,208 | ||||||
Marathon Oil Corp. | 14,778 | 214,577 | ||||||
Marathon Petroleum Corp. | 3,469 | 222,224 | ||||||
Newfield Exploration Co.a | 9,829 | 229,311 | ||||||
Noble Energy Inc. | 7,846 | 234,046 |
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
Occidental Petroleum Corp. | 3,395 | $ | 222,712 | |||||
ONEOK Inc. | 4,033 | 227,179 | ||||||
Parsley Energy Inc. Class Aa | 9,209 | 232,803 | ||||||
Phillips 66 | 2,558 | 231,166 | ||||||
Pioneer Natural Resources Co. | 1,300 | 221,299 | ||||||
Plains GP Holdings LP Class A | 11,071 | 230,277 | ||||||
Range Resources Corp. | 17,737 | 235,725 | ||||||
Targa Resources Corp. | 5,154 | 230,126 | ||||||
Valero Energy Corp. | 2,505 | 226,502 | ||||||
Williams Companies Inc. (The) | 7,966 | 221,136 | ||||||
|
| |||||||
7,517,718 | ||||||||
PERSONAL PRODUCTS — 0.31% |
| |||||||
Coty Inc. Class A | 11,161 | 215,630 | ||||||
Estee Lauder Companies Inc. (The) Class A | 1,645 | 227,734 | ||||||
|
| |||||||
443,364 | ||||||||
PHARMACEUTICALS — 1.57% |
| |||||||
Allergan PLC | 1,447 | 223,156 | ||||||
Bristol-Myers Squibb Co. | 3,504 | 231,965 | ||||||
Eli Lilly & Co. | 2,987 | 230,059 | ||||||
Jazz Pharmaceuticals PLCa,b | 1,616 | 233,997 | ||||||
Johnson & Johnson | 1,775 | 230,537 | ||||||
Merck & Co. Inc. | 4,114 | 223,061 | ||||||
Mylan NVa | 5,586 | 225,227 | ||||||
Perrigo Co. PLC | 2,586 | 210,656 | ||||||
Pfizer Inc. | 6,325 | 229,661 | ||||||
Zoetis Inc. | 2,855 | 230,855 | ||||||
|
| |||||||
2,269,174 | ||||||||
PROFESSIONAL SERVICES — 1.28% |
| |||||||
CoStar Group Inc.a | 656 | 224,437 | ||||||
Equifax Inc. | 2,035 | 229,955 | ||||||
IHS Markit Ltd.a | 4,925 | 231,721 | ||||||
ManpowerGroup Inc. | 1,900 | 225,074 | ||||||
Nielsen Holdings PLC | 7,203 | 235,034 | ||||||
Robert Half International Inc. | 4,090 | 233,416 | ||||||
TransUniona | 4,057 | 231,533 | ||||||
Verisk Analytics Inc. Class Aa | 2,383 | 243,519 | ||||||
|
| |||||||
1,854,689 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.33% |
| |||||||
CBRE Group Inc. Class Aa | 5,220 | 244,035 | ||||||
Jones Lang LaSalle Inc. | 1,490 | 239,309 | ||||||
|
| |||||||
483,344 | ||||||||
ROAD & RAIL ��� 1.26% |
| |||||||
AMERCO | 661 | 227,384 | ||||||
CSX Corp. | 4,193 | 225,248 |
Security | Shares | Value | ||||||
JB Hunt Transport Services Inc. | 1,926 | $ | 228,366 | |||||
Kansas City Southern | 2,107 | 217,105 | ||||||
Knight-Swift Transportation Holdings Inc. | 4,821 | 232,179 | ||||||
Norfolk Southern Corp. | 1,635 | 227,396 | ||||||
Old Dominion Freight Line Inc. | 1,657 | 230,190 | ||||||
Union Pacific Corp. | 1,726 | 224,812 | ||||||
|
| |||||||
1,812,680 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR |
| |||||||
Advanced Micro Devices Inc.a | 19,653 | 237,998 | ||||||
Analog Devices Inc. | 2,604 | 234,751 | ||||||
Applied Materials Inc. | 4,112 | 236,810 | ||||||
Broadcom Ltd. | 925 | 227,975 | ||||||
Intel Corp. | 4,997 | 246,302 | ||||||
KLA-Tencor Corp. | 2,135 | 241,917 | ||||||
Lam Research Corp. | 1,224 | 234,837 | ||||||
Marvell Technology Group Ltd. | 9,969 | 234,172 | ||||||
Maxim Integrated Products Inc. | 3,778 | 230,231 | ||||||
Microchip Technology Inc. | 2,748 | 244,380 | ||||||
Micron Technology Inc.a | 5,211 | 254,349 | ||||||
NVIDIA Corp. | 954 | 230,868 | ||||||
Qorvo Inc.a | 2,937 | 237,045 | ||||||
QUALCOMM Inc. | 3,708 | 241,020 | ||||||
Skyworks Solutions Inc. | 2,150 | 234,887 | ||||||
Texas Instruments Inc. | 2,251 | 243,896 | ||||||
Xilinx Inc. | 3,345 | 238,331 | ||||||
|
| |||||||
4,049,769 | ||||||||
SOFTWARE — 3.90% |
| |||||||
Activision Blizzard Inc. | 3,389 | 247,838 | ||||||
Adobe Systems Inc.a | 1,141 | 238,617 | ||||||
ANSYS Inc.a | 1,475 | 235,912 | ||||||
Autodesk Inc.a | 2,052 | 241,048 | ||||||
CA Inc. | 6,633 | 232,818 | ||||||
Cadence Design Systems Inc.a | 5,943 | 230,410 | ||||||
CDK Global Inc. | 3,267 | 224,378 | ||||||
Citrix Systems Inc.a | 2,517 | 231,564 | ||||||
Dell Technologies Inc. Class Va | 3,268 | 242,780 | ||||||
Electronic Arts Inc.a | 1,869 | 231,195 | ||||||
Fortinet Inc.a | 4,687 | 236,553 | ||||||
Intuit Inc. | 1,340 | 223,592 | ||||||
Microsoft Corp. | 2,518 | 236,113 | ||||||
Oracle Corp. | 4,564 | 231,258 | ||||||
Red Hat Inc.a | 1,594 | 234,956 | ||||||
salesforce.com Inc.a | 2,087 | 242,614 |
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Security | Shares | Value | ||||||
ServiceNow Inc.a | 1,478 | $ | 237,973 | |||||
Splunk Inc.a | 2,474 | 230,577 | ||||||
SS&C Technologies Holdings Inc. | 4,597 | 227,643 | ||||||
Symantec Corp. | 8,546 | 224,674 | ||||||
Synopsys Inc.a | 2,733 | 231,403 | ||||||
Take-Two Interactive Software Inc.a | 2,123 | 237,500 | ||||||
VMware Inc. Class Aa,b | 1,802 | 237,413 | ||||||
Workday Inc. Class Aa | 1,854 | 234,846 | ||||||
|
| |||||||
5,623,675 | ||||||||
SPECIALTY RETAIL — 2.38% |
| |||||||
Advance Auto Parts Inc. | 2,087 | 238,440 | ||||||
AutoNation Inc.a,b | 4,448 | 223,334 | ||||||
AutoZone Inc.a | 325 | 216,034 | ||||||
Best Buy Co. Inc. | 3,234 | 234,271 | ||||||
CarMax Inc.a | 3,778 | 233,934 | ||||||
Gap Inc. (The) | 7,123 | 224,944 | ||||||
Home Depot Inc. (The) | 1,243 | 226,562 | ||||||
L Brands Inc. | 4,792 | 236,389 | ||||||
Lowe’s Companies Inc. | 2,380 | 213,224 | ||||||
O’Reilly Automotive Inc.a | 932 | 227,585 | ||||||
Ross Stores Inc. | 2,937 | 229,350 | ||||||
Tiffany & Co. | 2,265 | 228,856 | ||||||
TJX Companies Inc. (The) | 3,018 | 249,528 | ||||||
Tractor Supply Co. | 3,479 | 225,891 | ||||||
Ulta Beauty Inc.a | 1,130 | 229,786 | ||||||
|
| |||||||
3,438,128 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 1.18% |
| |||||||
Apple Inc. | 1,337 | 238,147 | ||||||
Hewlett Packard Enterprise Co. | 14,051 | 261,208 | ||||||
HP Inc. | 10,533 | 246,367 | ||||||
NetApp Inc. | 3,964 | 240,020 | ||||||
Seagate Technology PLC | 4,513 | 240,994 | ||||||
Western Digital Corp. | 2,696 | 234,660 | ||||||
Xerox Corp. | 7,850 | 238,012 | ||||||
|
| |||||||
1,699,408 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 1.42% |
| |||||||
Hanesbrands Inc. | 11,284 | 218,910 | ||||||
Lululemon Athletica Inc.a | 2,853 | 231,378 | ||||||
Michael Kors Holdings Ltd.a | 3,616 | 227,555 | ||||||
NIKE Inc. Class B | 3,435 | 230,248 | ||||||
PVH Corp. | 1,544 | 222,768 | ||||||
Ralph Lauren Corp. | 2,145 | 227,027 | ||||||
Tapestry Inc. | 4,633 | 235,866 | ||||||
Under Armour Inc. Class Aa,b | 7,231 | 119,890 |
Security | Shares | Value | ||||||
Under Armour Inc. Class Ca,b | 7,375 | $ | 110,994 | |||||
VF Corp. | 3,026 | 225,649 | ||||||
|
| |||||||
2,050,285 | ||||||||
THRIFTS & MORTGAGE FINANCE — 0.16% |
| |||||||
New York Community Bancorp. Inc. | 16,577 | 225,779 | ||||||
|
| |||||||
225,779 | ||||||||
TOBACCO — 0.32% |
| |||||||
Altria Group Inc. | 3,640 | 229,138 | ||||||
Philip Morris International Inc. | 2,239 | 231,848 | ||||||
|
| |||||||
460,986 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.64% |
| |||||||
Fastenal Co. | 4,255 | 232,833 | ||||||
HD Supply Holdings Inc.a | 6,383 | 231,384 | ||||||
United Rentals Inc.a | 1,319 | 230,944 | ||||||
WW Grainger Inc. | 875 | 228,856 | ||||||
|
| |||||||
924,017 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.17% |
| |||||||
Macquarie Infrastructure Corp. | 6,164 | 249,642 | ||||||
|
| |||||||
249,642 | ||||||||
WATER UTILITIES — 0.16% |
| |||||||
American Water Works Co. Inc. | 2,928 | 232,366 | ||||||
|
| |||||||
232,366 | ||||||||
WIRELESS TELECOMMUNICATION |
| |||||||
Sprint Corp.a,b | 44,088 | 228,817 | ||||||
T-Mobile U.S. Inc.a | 3,926 | 237,955 | ||||||
|
| |||||||
466,772 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $127,200,226) | 144,222,977 | |||||||
SHORT-TERM INVESTMENTS — 2.83% |
| |||||||
MONEY MARKET FUNDS — 2.83% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 3,976,113 | 3,976,511 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%c,d | 111,858 | 111,858 | ||||||
|
| |||||||
4,088,369 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,088,169) | 4,088,369 | |||||||
|
|
SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI USA EQUAL WEIGHTED ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $131,288,395) | $ | 148,311,346 | ||||||
Other Assets, Less Liabilities — (2.74)% |
| (3,959,743 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 144,351,603 | ||||||
|
|
NVS | — Non-Voting Shares |
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 7,464,215 | — | (3,488,102 | )b | 3,976,113 | $ | 3,976,511 | $ | 16,293 | c | $ | (706 | ) | $ | (498 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 69,879 | 41,979 | b | — | 111,858 | 111,858 | 796 | — | — | |||||||||||||||||||||||
BlackRock Inc. | 515 | 83 | (170 | ) | 428 | 235,156 | 1,100 | 18,268 | 43,032 | |||||||||||||||||||||||
PNC Financial Services Group Inc. (The) | 1,677 | 328 | (527 | ) | 1,478 | 233,021 | 2,378 | 19,053 | 32,819 | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 4,556,546 | $ | 20,567 | $ | 36,615 | $ | 75,353 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 144,222,977 | $ | — | $ | — | $ | 144,222,977 | ||||||||
Money market funds | 4,088,369 | — | — | 4,088,369 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 148,311,346 | $ | — | $ | — | $ | 148,311,346 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares MSCI Brazil ETF | iShares MSCI Chile ETF | iShares MSCI Colombia ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 5,523,228,454 | $ | 289,267,183 | $ | 17,605,180 | ||||||
Affiliated (Note 2) | 6,244,689 | 275,371 | 11,069 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 5,529,473,143 | $ | 289,542,554 | $ | 17,616,249 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value(Note 1): | ||||||||||||
Unaffiliated | $ | 8,650,173,224 | $ | 494,769,867 | $ | 21,256,672 | ||||||
Affiliated (Note 2) | 6,244,689 | 275,371 | 11,069 | |||||||||
Foreign currency, at valuea | 16,810,392 | — | 16,834 | |||||||||
Cash pledged to broker for futures contracts | 5,195,000 | — | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 507,627,805 | 7,284,920 | 1,468,485 | |||||||||
Dividends | 104,488,080 | 436 | 2,859 | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 9,290,539,190 | 502,330,594 | 22,755,919 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 538,882,490 | 7,018,692 | 1,451,000 | |||||||||
Futures variation margin | 1,542,840 | — | — | |||||||||
Investment advisory fees (Note 2) | 3,851,857 | 231,771 | 10,321 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 544,277,187 | 7,250,463 | 1,461,321 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 8,746,262,003 | $ | 495,080,131 | $ | 21,294,598 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 8,328,507,464 | $ | 484,793,226 | $ | 30,036,160 | ||||||
Undistributed net investment income | 68,618,662 | 593,609 | 33,189 | |||||||||
Accumulated net realized loss | (2,778,182,111 | ) | (195,809,388 | ) | (12,426,051 | ) | ||||||
Net unrealized appreciation | 3,127,317,988 | 205,502,684 | 3,651,300 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 8,746,262,003 | $ | 495,080,131 | $ | 21,294,598 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingb | 192,450,000 | 9,150,000 | 1,450,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 45.45 | $ | 54.11 | $ | 14.69 | ||||||
|
|
|
|
|
|
a | Cost of foreign currency: $16,864,639, $ — and $17,007, respectively. |
b | $0.001 par value, number of shares authorized: 500 million, 200 million and 25 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Israel ETF | iShares MSCI Russia ETF | iShares MSCI South Africa ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 122,629,790 | $ | 685,319,288 | $ | 508,919,910 | ||||||
Affiliated (Note 2) | 10,921,381 | 1,290,488 | 2,072,618 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 133,551,171 | $ | 686,609,776 | $ | 510,992,528 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 118,768,406 | $ | 815,609,701 | $ | 516,830,368 | ||||||
Affiliated (Note 2) | 10,921,626 | 1,290,488 | 2,072,440 | |||||||||
Foreign currency, at valueb | 179,412 | — | 143,355 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 859,975 | 27,958,693 | 12,607,638 | |||||||||
Due from custodian (Note 4) | 447,596 | — | — | |||||||||
Dividends and interest | 34,331 | 1,376 | 467,075 | |||||||||
Tax reclaims | — | — | 4,671 | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 131,211,346 | 844,860,258 | 532,125,547 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 1,383,810 | 27,984,718 | 11,710,125 | |||||||||
Collateral for securities on loan (Note 1) | 10,911,032 | — | 2,054,004 | |||||||||
Deferred foreign capital gains taxes (Note 1) | 44,253 | — | — | |||||||||
Investment advisory fees (Note 2) | 52,131 | 357,197 | 228,218 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 12,391,226 | 28,341,915 | 13,992,347 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 118,820,120 | $ | 816,518,343 | $ | 518,133,200 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 177,512,261 | $ | 804,092,500 | $ | 611,873,598 | ||||||
Distributions in excess of net investment income | (1,209,653 | ) | (617,128 | ) | (58,482 | ) | ||||||
Accumulated net realized loss | (53,576,414 | ) | (117,247,442 | ) | (101,595,918 | ) | ||||||
Net unrealized appreciation (depreciation) | (3,906,074 | ) | 130,290,413 | 7,914,002 | ||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 118,820,120 | $ | 816,518,343 | $ | 518,133,200 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 2,300,000 | 21,600,000 | 7,200,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 51.66 | $ | 37.80 | $ | 71.96 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $10,523,308, $ — and $1,940,911, respectively. See Note 1. |
b | Cost of foreign currency: $180,092, $ — and $141,131, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 1 billion and 400 million, respectively. |
See notes to financial statements.
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Turkey ETF | iShares MSCI USA Equal Weighted ETF | |||||||
ASSETS | ||||||||
Investments in securities, at cost: | ||||||||
Unaffiliated | $ | 508,406,593 | $ | 126,891,461 | ||||
Affiliated (Note 2) | 17,674,992 | 4,396,934 | ||||||
|
|
|
| |||||
Total cost of investments in securities | $ | 526,081,585 | $ | 131,288,395 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 386,950,463 | $ | 143,754,800 | ||||
Affiliated (Note 2) | 17,675,883 | 4,556,546 | ||||||
Foreign currency, at valueb | 96,927 | — | ||||||
Receivables: | ||||||||
Investment securities sold | 2,505,949 | 6,169,848 | ||||||
Dividends and interest | 71,496 | 197,891 | ||||||
|
|
|
| |||||
Total Assets | 407,300,718 | 154,679,085 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 1,985,501 | 6,333,344 | ||||||
Collateral for securities on loan (Note 1) | 17,527,624 | 3,977,386 | ||||||
Investment advisory fees (Note 2) | 168,644 | 16,752 | ||||||
|
|
|
| |||||
Total Liabilities | 19,681,769 | 10,327,482 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 387,618,949 | $ | 144,351,603 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 601,639,394 | $ | 122,686,461 | ||||
Undistributed (distributions in excess of) net investment income | (100,978 | ) | 298,786 | |||||
Undistributed net realized gain (accumulated net realized loss) | (92,464,475 | ) | 4,343,405 | |||||
Net unrealized appreciation (depreciation) | (121,454,992 | ) | 17,022,951 | |||||
|
|
|
| |||||
NET ASSETS | $ | 387,618,949 | $ | 144,351,603 | ||||
|
|
|
| |||||
Shares outstandingc | 8,650,000 | 2,600,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 44.81 | $ | 55.52 | ||||
|
|
|
|
a | Securities on loan with values of $16,728,164 and $3,839,338, respectively. See Note 1. |
b | Cost of foreign currency: $96,672 and $ —, respectively. |
c | $0.001 par value, number of shares authorized: 200 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Brazil ETF | iShares MSCI Chile ETF | iShares MSCI Colombia ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 141,611,900 | $ | 2,775,336 | $ | 220,469 | ||||||
Dividends — affiliated (Note 2) | 31,463 | 3,601 | 210 | |||||||||
Interest — unaffiliated | 249 | — | — | |||||||||
Securities lending income — affiliated — net (Note 2) | — | — | 806 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 141,643,612 | 2,778,937 | 221,485 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 21,920,144 | 1,573,032 | 67,546 | |||||||||
Proxy fees | 620 | 55 | 2 | |||||||||
Commitment fees (Note 6) | — | — | 36 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 21,920,764 | 1,573,087 | 67,584 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 119,722,848 | 1,205,850 | 153,901 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | 63,265,557 | 15,897,003 | 15,341 | |||||||||
Investments — affiliated (Note 2) | — | — | (15 | ) | ||||||||
In-kind redemptions — unaffiliated | — | — | 17,544 | |||||||||
Futures contracts | 570,869 | — | — | |||||||||
Foreign currency transactions | (436,389 | ) | 31,551 | 8,190 | ||||||||
|
|
|
|
|
| |||||||
Net realized gain | 63,400,037 | 15,928,554 | 41,060 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliated | 904,929,177 | 46,958,390 | 189,177 | |||||||||
Investments — affiliated (Note 2) | — | — | 4 | |||||||||
Futures contracts | 54,106 | — | — | |||||||||
Translation of assets and liabilities in foreign currencies | (57,609 | ) | (185 | ) | (234 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 904,925,674 | 46,958,205 | 188,947 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 968,325,711 | 62,886,759 | 230,007 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,088,048,559 | $ | 64,092,609 | $ | 383,908 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $15,244,357, $572,033 and $1,160, respectively. |
See notes to financial statements.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Israel | iShares MSCI Russia ETF | iShares MSCI South Africa ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 601,916 | $ | 8,403,102 | $ | 5,118,284 | ||||||
Dividends — affiliated (Note 2) | 120 | 9,867 | 1,603 | |||||||||
Securities lending income — affiliated — net (Note 2) | 26,894 | — | 16,842 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 628,930 | 8,412,969 | 5,136,729 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 300,495 | 1,982,769 | 1,324,289 | |||||||||
Proxy fees | 11 | 57 | 48 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 300,506 | 1,982,826 | 1,324,337 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 328,424 | 6,430,143 | 3,812,392 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliatedb | (712,497 | ) | (8,219,337 | ) | (20,327,525 | ) | ||||||
Investments — affiliated (Note 2) | (1,679 | ) | — | (1,001 | ) | |||||||
In-kind redemptions — unaffiliated | — | — | 21,492,671 | |||||||||
Foreign currency transactions | 755 | 63,003 | 57,040 | |||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | (713,421 | ) | (8,156,334 | ) | 1,221,185 | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliatedc | 9,051,762 | 132,988,675 | 67,373,621 | |||||||||
Investments — affiliated (Note 2) | (301 | ) | — | (178 | ) | |||||||
Translation of assets and liabilities in foreign currencies | (805 | ) | (282 | ) | (1,845 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 9,050,656 | 132,988,393 | 67,371,598 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 8,337,235 | 124,832,059 | 68,592,783 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 8,665,659 | $ | 131,262,202 | $ | 72,405,175 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $143,815, $920,660 and $870,681, respectively. |
b | Net of foreign capital gains taxes of $3,696, $ — and $ —, respectively. |
c | Net of deferred foreign capital gains taxes of $44,253, $ — and $ —, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Turkey ETF | iShares MSCI USA Equal Weighted ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 1,648,645 | $ | 1,153,693 | ||||
Dividends — affiliated (Note 2) | 961 | 4,274 | ||||||
Securities lending income — affiliated — net (Note 2) | 572,786 | 16,293 | ||||||
|
|
|
| |||||
Total investment income | 2,222,392 | 1,174,260 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 1,117,211 | 101,548 | ||||||
Proxy fees | 44 | 14 | ||||||
|
|
|
| |||||
Total expenses | 1,117,255 | 101,562 | ||||||
|
|
|
| |||||
Net investment income | 1,105,137 | 1,072,698 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (8,931,477 | ) | (254,198 | ) | ||||
Investments — affiliated (Note 2) | (500 | ) | 3,303 | |||||
In-kind redemptions — unaffiliated | 6,962,587 | 6,681,730 | ||||||
In-kind redemptions — affiliated (Note 2) | — | 33,312 | ||||||
Foreign currency transactions | (13,011 | ) | (6 | ) | ||||
|
|
|
| |||||
Net realized gain (loss) | (1,982,401 | ) | 6,464,141 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments — unaffiliated | (11,317,038 | ) | 3,934,993 | |||||
Investments — affiliated (Note 2) | (3,039 | ) | 75,353 | |||||
Translation of assets and liabilities in foreign currencies | (6,872 | ) | — | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | (11,326,949 | ) | 4,010,346 | |||||
|
|
|
| |||||
Net realized and unrealized gain (loss) | (13,309,350 | ) | 10,474,487 | |||||
|
|
|
| |||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (12,204,213 | ) | $ | 11,547,185 | |||
|
|
|
|
a | Net of foreign withholding tax of $287,020 and $315, respectively. |
See notes to financial statements.
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets
iSHARES®, INC.
iShares MSCI Brazil ETF | iShares MSCI Chile ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 119,722,848 | $ | 104,757,147 | $ | 1,205,850 | $ | 6,990,238 | ||||||||
Net realized gain (loss) | 63,400,037 | (57,957,125 | ) | 15,928,554 | (1,199,111 | ) | ||||||||||
Net change in unrealized appreciation/depreciation | 904,925,674 | 984,438,707 | 46,958,205 | 110,031,708 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 1,088,048,559 | 1,031,238,729 | 64,092,609 | 115,822,835 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (78,425,641 | ) | (93,579,029 | ) | (533,885 | ) | (6,944,133 | ) | ||||||||
Return of capital | — | — | — | (462,190 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (78,425,641 | ) | (93,579,029 | ) | (533,885 | ) | (7,406,323 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 1,408,720,049 | 1,830,568,929 | 107,541,239 | 222,913,747 | ||||||||||||
Cost of shares redeemed | — | (339,939,142 | ) | (143,664,880 | ) | (190,929,443 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 1,408,720,049 | 1,490,629,787 | (36,123,641 | ) | 31,984,304 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 2,418,342,967 | 2,428,289,487 | 27,435,083 | 140,400,816 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 6,327,919,036 | 3,899,629,549 | 467,645,048 | 327,244,232 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 8,746,262,003 | $ | 6,327,919,036 | $ | 495,080,131 | $ | 467,645,048 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 68,618,662 | $ | 27,321,455 | $ | 593,609 | $ | (78,356 | ) | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 34,500,000 | 50,950,000 | 2,200,000 | 5,400,000 | ||||||||||||
Shares redeemed | — | (9,350,000 | ) | (2,800,000 | ) | (4,550,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 34,500,000 | 41,600,000 | (600,000 | ) | 850,000 | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 49 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Colombia ETF | iShares MSCI Israel ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 153,901 | $ | 309,200 | $ | 328,424 | $ | 1,230,124 | ||||||||
Net realized gain (loss) | 41,060 | (151,505 | ) | (713,421 | ) | 2,010,978 | ||||||||||
Net change in unrealized appreciation/depreciation | 188,947 | 1,966,444 | 9,050,656 | (2,512,946 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 383,908 | 2,124,139 | 8,665,659 | 728,156 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (168,036 | ) | (229,358 | ) | (1,498,969 | ) | (1,597,362 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (168,036 | ) | (229,358 | ) | (1,498,969 | ) | (1,597,362 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | — | 3,562,888 | 22,501,440 | 14,260,227 | ||||||||||||
Cost of shares redeemed | (1,515,157 | ) | — | — | (18,031,594 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (1,515,157 | ) | 3,562,888 | 22,501,440 | (3,771,367 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (1,299,285 | ) | 5,457,669 | 29,668,130 | (4,640,573 | ) | ||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 22,593,883 | 17,136,214 | 89,151,990 | 93,792,563 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 21,294,598 | $ | 22,593,883 | $ | 118,820,120 | $ | 89,151,990 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 33,189 | $ | 47,324 | $ | (1,209,653 | ) | $ | (39,108 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | — | 250,000 | 450,000 | 300,000 | ||||||||||||
Shares redeemed | (100,000 | ) | — | — | (350,000 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (100,000 | ) | 250,000 | 450,000 | (50,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Russia ETF | iShares MSCI South Africa ETF | |||||||||||||||
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017a | Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 6,430,143 | $ | 18,805,766 | $ | 3,812,392 | $ | 7,839,110 | ||||||||
Net realized gain (loss) | (8,156,334 | ) | (22,078,447 | ) | 1,221,185 | 2,780,139 | ||||||||||
Net change in unrealized appreciation/depreciation | 132,988,393 | 66,063,307 | 67,371,598 | 67,112,331 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 131,262,202 | 62,790,626 | 72,405,175 | 77,731,580 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (19,835,594 | ) | (13,531,335 | ) | (4,319,700 | ) | (7,473,325 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (19,835,594 | ) | (13,531,335 | ) | (4,319,700 | ) | (7,473,325 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 175,015,286 | 189,716,789 | 139,903,195 | 87,244,010 | ||||||||||||
Cost of shares redeemed | — | (28,528,183 | ) | (109,442,180 | ) | (144,358,566 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 175,015,286 | 161,188,606 | 30,461,015 | (57,114,556 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 286,441,894 | 210,447,897 | 98,546,490 | 13,143,699 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 530,076,449 | 319,628,552 | 419,586,710 | 406,443,011 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 816,518,343 | $ | 530,076,449 | $ | 518,133,200 | $ | 419,586,710 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (617,128 | ) | $ | 12,788,323 | $ | (58,482 | ) | $ | 448,826 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 5,100,000 | 6,000,000 | 2,200,000 | 1,600,000 | ||||||||||||
Shares redeemed | — | (950,000 | ) | (1,700,000 | ) | (2,600,000 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 5,100,000 | 5,050,000 | 500,000 | (1,000,000 | ) | |||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
FINANCIAL STATEMENTS | 51 |
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, 2018 (Unaudited) | Year ended August 31, 2017 | Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 1,105,137 | $ | 9,674,627 | $ | 1,072,698 | $ | 1,912,769 | ||||||||
Net realized gain (loss) | (1,982,401 | ) | (373,124 | ) | 6,464,141 | 3,014,793 | ||||||||||
Net change in unrealized appreciation/depreciation | (11,326,949 | ) | 90,151,289 | 4,010,346 | 8,677,766 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (12,204,213 | ) | 99,452,792 | 11,547,185 | 13,605,328 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,038,822 | ) | (10,121,626 | ) | (1,171,420 | ) | (1,736,320 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,038,822 | ) | (10,121,626 | ) | (1,171,420 | ) | (1,736,320 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 30,914,959 | 103,777,923 | 24,803,303 | 60,481,105 | ||||||||||||
Cost of shares redeemed | (54,779,558 | ) | (136,607,007 | ) | (26,772,660 | ) | (10,078,303 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (23,864,599 | ) | (32,829,084 | ) | (1,969,357 | ) | 50,402,802 | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (37,107,634 | ) | 56,502,082 | 8,406,408 | 62,271,810 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 424,726,583 | 368,224,501 | 135,945,195 | 73,673,385 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 387,618,949 | $ | 424,726,583 | $ | 144,351,603 | $ | 135,945,195 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (100,978 | ) | $ | (167,293 | ) | $ | 298,786 | $ | 397,508 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 750,000 | 3,150,000 | 450,000 | 1,250,000 | ||||||||||||
Shares redeemed | (1,300,000 | ) | (3,600,000 | ) | (500,000 | ) | (200,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (550,000 | ) | (450,000 | ) | (50,000 | ) | 1,050,000 | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
52 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Brazil ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 40.06 | $ | 33.52 | $ | 24.71 | $ | 53.61 | $ | 42.52 | $ | 52.61 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.67 | 0.76 | 0.63 | 1.00 | 1.56 | 1.59 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 5.14 | 6.45 | 8.62 | (28.87 | ) | 11.08 | (10.32 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 5.81 | 7.21 | 9.25 | (27.87 | ) | 12.64 | (8.73 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.42 | ) | (0.67 | ) | (0.44 | ) | (1.03 | ) | (1.55 | ) | (1.36 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.42 | ) | (0.67 | ) | (0.44 | ) | (1.03 | ) | (1.55 | ) | (1.36 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 45.45 | $ | 40.06 | $ | 33.52 | $ | 24.71 | $ | 53.61 | $ | 42.52 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 14.67 | %c | 22.03 | % | 38.22 | % | (52.49 | )% | 30.33 | % | (16.85 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 8,746,262 | $ | 6,327,919 | $ | 3,899,630 | $ | 1,989,135 | $ | 5,449,685 | $ | 4,983,630 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.63 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 3.23 | % | 2.10 | % | 2.41 | % | 2.73 | % | 3.37 | % | 3.02 | % | ||||||||||||
Portfolio turnover ratee | 9 | %c | 20 | % | 18 | % | 63 | % | 54 | % | 56 | % |
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, 2018, years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 9%, 13%, 4%, 48%, 11% and 20%, 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 Chile ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 47.96 | $ | 36.77 | $ | 34.75 | $ | 43.52 | $ | 47.70 | $ | 60.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.11 | 0.69 | 0.78 | 0.66 | 0.69 | 0.68 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 6.09 | 11.21 | 2.03 | (8.81 | ) | (4.18 | ) | (12.58 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 6.20 | 11.90 | 2.81 | (8.15 | ) | (3.49 | ) | (11.90 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.05 | ) | (0.67 | ) | (0.75 | ) | (0.62 | ) | (0.69 | ) | (0.68 | ) | ||||||||||||
Return of capital | — | (0.04 | ) | (0.04 | ) | — | — | (0.03 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.05 | ) | (0.71 | ) | (0.79 | ) | (0.62 | ) | (0.69 | ) | (0.71 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 54.11 | $ | 47.96 | $ | 36.77 | $ | 34.75 | $ | 43.52 | $ | 47.70 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 12.91 | %c | 32.65 | % | 8.17 | % | (18.85 | )% | (7.40 | )% | (19.87 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 495,080 | $ | 467,645 | $ | 327,244 | $ | 234,536 | $ | 352,499 | $ | 364,890 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.45 | % | 1.68 | % | 2.20 | % | 1.64 | % | 1.49 | % | 1.12 | % | ||||||||||||
Portfolio turnover ratee | 24 | %c | 54 | % | 73 | % | 71 | % | 91 | % | 34 | % |
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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 4%, 8%, 11%, 10%, 11% and 16%, respectively. See Note 4. |
See notes to financial statements.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Colombia ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 | Year ended Aug. 31, 2017 | 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 | $ | 14.58 | $ | 13.18 | $ | 11.88 | $ | 28.22 | $ | 25.98 | $ | 25.28 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.10 | 0.23 | 0.25 | 0.46 | c | 0.67 | 0.03 | |||||||||||||||||
Net realized and unrealized gain (loss)d | 0.12 | 1.34 | 1.23 | (16.34 | ) | 2.24 | 0.67 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.22 | 1.57 | 1.48 | (15.88 | ) | 2.91 | 0.70 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.11 | ) | (0.17 | ) | (0.18 | ) | (0.45 | ) | (0.63 | ) | — | |||||||||||||
Net realized gain | — | — | — | — | (0.03 | ) | — | |||||||||||||||||
Return of capital | — | — | — | (0.01 | ) | (0.01 | ) | — | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.11 | ) | (0.17 | ) | (0.18 | ) | (0.46 | ) | (0.67 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 14.69 | $ | 14.58 | $ | 13.18 | $ | 11.88 | $ | 28.22 | $ | 25.98 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 1.52 | %e | 12.05 | % | 12.49 | % | (56.73 | )% | 11.44 | % | 2.77 | %e | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 21,295 | $ | 22,594 | $ | 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 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsf | 1.39 | % | 1.72 | % | 2.16 | % | 2.60 | %c | 2.54 | % | 0.61 | % | ||||||||||||
Portfolio turnover rateg | 14 | %e | 14 | % | 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 six months ended February 28, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and for the period ended August 31, 2013 were 14%, 14%, 32%, 49%, 33% and 2%, respectively. See Note 4. |
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 Israel ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 48.19 | $ | 49.36 | $ | 50.51 | $ | 50.69 | $ | 42.85 | $ | 37.25 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.16 | 0.62 | 0.71 | 1.23 | 0.87 | 0.95 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 4.01 | (0.98 | ) | (0.87 | ) | (0.34 | ) | 7.95 | 5.68 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.17 | (0.36 | ) | (0.16 | ) | 0.89 | 8.82 | 6.63 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.70 | ) | (0.81 | ) | (0.99 | ) | (1.07 | ) | (0.98 | ) | (1.03 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.70 | ) | (0.81 | ) | (0.99 | ) | (1.07 | ) | (0.98 | ) | (1.03 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 51.66 | $ | 48.19 | $ | 49.36 | $ | 50.51 | $ | 50.69 | $ | 42.85 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 8.70 | %c | (0.77 | )% | (0.23 | )% | 1.80 | % | 20.67 | % | 17.82 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 118,820 | $ | 89,152 | $ | 93,793 | $ | 126,285 | $ | 121,645 | $ | 70,710 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.65 | % | 1.25 | % | 1.46 | % | 2.45 | % | 1.74 | % | 2.20 | % | ||||||||||||
Portfolio turnover ratee | 4 | %c | 28 | % | 46 | % | 14 | % | 15 | % | 14 | % |
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 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Russia ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 32.13 | $ | 27.92 | $ | 25.03 | $ | 36.68 | $ | 39.68 | $ | 42.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.33 | 1.14 | 1.06 | 0.94 | 1.26 | 1.24 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 6.37 | 4.07 | 2.65 | (11.27 | ) | (4.01 | ) | (2.71 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 6.70 | 5.21 | 3.71 | (10.33 | ) | (2.75 | ) | (1.47 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.03 | ) | (1.00 | ) | (0.82 | ) | (1.32 | ) | (0.25 | ) | (1.16 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (1.03 | ) | (1.00 | ) | (0.82 | ) | (1.32 | ) | (0.25 | ) | (1.16 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 37.80 | $ | 32.13 | $ | 27.92 | $ | 25.03 | $ | 36.68 | $ | 39.68 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 21.31 | %d | 18.73 | % | 15.62 | % | (27.57 | )% | (7.00 | )% | (3.40 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 816,518 | $ | 530,076 | $ | 319,629 | $ | 210,912 | $ | 289,775 | $ | 310,511 | ||||||||||||
Ratio of expenses to average net assetse | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.92 | % | 4.27 | % | 4.17 | % | 3.33 | % | 3.14 | % | 2.87 | % | ||||||||||||
Portfolio turnover ratef | 11 | %d | 18 | % | 23 | % | 19 | % | 15 | % | 14 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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 | 57 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI South Africa ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 62.62 | $ | 52.78 | $ | 57.44 | $ | 70.77 | $ | 58.88 | $ | 64.65 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: |
| |||||||||||||||||||||||
Net investment incomea | 0.55 | 1.07 | 1.02 | 1.28 | 1.57 | 1.32 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 9.41 | 9.79 | (3.24 | ) | (13.24 | ) | 11.86 | (5.31 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 9.96 | 10.86 | (2.22 | ) | (11.96 | ) | 13.43 | (3.99 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: |
| |||||||||||||||||||||||
Net investment income | (0.62 | ) | (1.02 | ) | (2.44 | ) | (1.37 | ) | (1.54 | ) | (1.78 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.62 | ) | (1.02 | ) | (2.44 | ) | (1.37 | ) | (1.54 | ) | (1.78 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 71.96 | $ | 62.62 | $ | 52.78 | $ | 57.44 | $ | 70.77 | $ | 58.88 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 15.98 | %c | 20.91 | % | (3.64 | )% | (17.07 | )% | 23.13 | % | (6.35 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 518,133 | $ | 419,587 | $ | 406,443 | $ | 373,346 | $ | 587,396 | $ | 547,569 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.70 | % | 1.91 | % | 1.96 | % | 1.94 | % | 2.40 | % | 2.08 | % | ||||||||||||
Portfolio turnover ratee | 9 | %c | 13 | % | 12 | % | 9 | % | 6 | % | 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.
58 | 2018 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 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 46.17 | $ | 38.16 | $ | 38.27 | $ | 55.72 | $ | 49.00 | $ | 56.13 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.12 | 0.97 | 0.96 | 1.13 | b | 0.85 | 1.07 | |||||||||||||||||
Net realized and unrealized gain (loss)c | (1.36 | ) | 8.12 | (0.17 | ) | (17.49 | ) | 6.75 | (7.08 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (1.24 | ) | 9.09 | 0.79 | (16.36 | ) | 7.60 | (6.01 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.12 | ) | (1.08 | ) | (0.90 | ) | (1.09 | ) | (0.88 | ) | (1.12 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.12 | ) | (1.08 | ) | (0.90 | ) | (1.09 | ) | (0.88 | ) | (1.12 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 44.81 | $ | 46.17 | $ | 38.16 | $ | 38.27 | $ | 55.72 | $ | 49.00 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (2.67 | )%d | 24.23 | % | 1.98 | % | (29.69 | )% | 15.52 | % | (11.05 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 387,619 | $ | 424,727 | $ | 368,225 | $ | 371,225 | $ | 515,367 | $ | 436,076 | ||||||||||||
Ratio of expenses to average net assetse | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.59 | % | 2.58 | % | 2.45 | % | 2.31 | %b | 1.64 | % | 1.67 | % | ||||||||||||
Portfolio turnover ratef | 3 | %d | 6 | % | 6 | % | 6 | % | 8 | % | 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. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 59 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI USA Equal Weighted ETF | ||||||||||||||||||||||||
Six months ended | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 51.30 | $ | 46.05 | $ | 42.51 | $ | 43.08 | $ | 35.26 | $ | 30.31 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.43 | 0.85 | 0.77 | 0.80 | 0.71 | 0.69 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 4.26 | 5.18 | 3.63 | (0.57 | ) | 8.01 | 4.96 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.69 | 6.03 | 4.40 | 0.23 | 8.72 | 5.65 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.47 | ) | (0.78 | ) | (0.86 | ) | (0.80 | ) | (0.90 | ) | (0.70 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.47 | ) | (0.78 | ) | (0.86 | ) | (0.80 | ) | (0.90 | ) | (0.70 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 55.52 | $ | 51.30 | $ | 46.05 | $ | 42.51 | $ | 43.08 | $ | 35.26 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 9.16 | %c | 13.22 | % | 10.54 | % | 0.48 | % | 24.98 | % | 18.85 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 144,352 | $ | 135,945 | $ | 73,673 | $ | 44,632 | $ | 47,391 | $ | 179,830 | ||||||||||||
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 | 1.58 | % | 1.72 | % | 1.79 | % | 1.82 | % | 1.82 | % | 2.10 | % | ||||||||||||
Portfolio turnover ratee | 12 | %c | 27 | % | 28 | % | 39 | % | 6 | % | 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.
60 | 2018 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 | Former Name | Diversification Classification | ||
MSCI Brazil | iShares MSCI Brazil Capped ETF | Non-diversified | ||
MSCI Chile | iShares MSCI Chile Capped ETF | Non-diversified | ||
MSCI Colombia | iShares MSCI Colombia Capped ETF | Non-diversified | ||
MSCI Israel | iShares MSCI Israel Capped ETF | Non-diversified | ||
MSCI Russia | iShares MSCI Russia Capped ETF | Non-diversified | ||
MSCI South Africa | N/A | Non-diversified | ||
MSCI Turkey | N/A | Non-diversified | ||
MSCI USA Equal Weighted | N/A | 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”).
NOTESTO FINANCIAL STATEMENTS | 61 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
• | 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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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
62 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, if any, are disclosed in the Funds’ statements of assets and liabilities.
NOTESTO FINANCIAL STATEMENTS | 63 |
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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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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.
64 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Israel | ||||||||||||
Barclays Capital Inc. | $ | 50,496 | $ | 50,496 | $ | — | ||||||
BNP Paribas New York Branch | 21,116 | 21,116 | — | |||||||||
Citigroup Global Markets Inc. | 29,505 | 29,505 | — | |||||||||
Goldman Sachs & Co. | 3,744,000 | 3,744,000 | — | |||||||||
HSBC Bank PLC | 12,990 | 12,990 | — | |||||||||
JPMorgan Securities LLC | 2,981,359 | 2,981,359 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 2,023,597 | 2,023,597 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 854,669 | 854,669 | — | |||||||||
Nomura Securities International Inc. | 453,152 | 453,152 | — | |||||||||
Scotia Capital (USA) Inc. | 256,296 | 256,296 | — | |||||||||
UBS AG | 96,128 | 96,128 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 10,523,308 | $ | 10,523,308 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI South Africa | ||||||||||||
UBS Securities LLC | $ | 1,940,911 | $ | 1,940,911 | $ | — | ||||||
|
|
|
|
|
| |||||||
MSCI Turkey | ||||||||||||
Citigroup Global Markets Inc. | $ | 1,230,830 | $ | 1,230,830 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 5,298,927 | 5,298,927 | — | |||||||||
Deutsche Bank Securities Inc. | 5,180,563 | 5,180,563 | — | |||||||||
Goldman Sachs & Co. | 151,015 | 151,015 | — | |||||||||
JPMorgan Securities LLC | 763,480 | 763,480 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 882,548 | 882,548 | — | |||||||||
Morgan Stanley & Co. LLC | 1,291,270 | 1,291,270 | — | |||||||||
UBS AG | 1,257,043 | 1,257,043 | — | |||||||||
UBS Securities LLC | 672,488 | 672,488 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 16,728,164 | $ | 16,728,164 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI USA Equal Weighted | ||||||||||||
Barclays Capital Inc. | $ | 212,000 | $ | 212,000 | $ | — | ||||||
Citigroup Global Markets Inc. | 326,828 | 326,828 | — | |||||||||
Credit Suisse Securities (USA) LLC | 194,346 | 194,346 | — | |||||||||
Deutsche Bank Securities Inc. | 121,506 | 121,506 | — | |||||||||
Goldman Sachs & Co. | 806,215 | 806,215 | — | |||||||||
HSBC Bank PLC | 256,853 | 256,853 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 674,630 | 674,630 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 909,232 | 909,232 | — | |||||||||
Scotia Capital (USA) Inc. | 158,380 | 158,380 | — | |||||||||
SG Americas Securities LLC | 155,628 | 155,628 | — | |||||||||
State Street Bank & Trust Company | 18,753 | 18,507 | (246 | ) | ||||||||
UBS Securities LLC | 4,967 | 4,967 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 3,839,338 | $ | 3,839,092 | $ | (246 | ) | ||||||
|
|
|
|
|
| |||||||
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 | 65 |
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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, iShares MSCI Chile, iShares MSCI Israel, iShares MSCI Russia, iShares MSCI South Africa and iShares MSCI Turkey ETFs, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, 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, accrued daily and paid monthly by the Funds, based on the average daily net assets of each Fund as follows:
iShares ETF | Investment Advisory Fee | |||
MSCI Colombia | 0.61 | % | ||
MSCI USA Equal Weighted | 0.15 |
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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.
66 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Pursuant to a securities lending agreement, the iShares MSCI Brazil, iShares MSCI Chile, iShares MSCI Colombia, iShares MSCI Israel, iShares MSCI Russia, 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, 2018, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Colombia | $ | 155 | ||
MSCI Israel | 8,063 | |||
MSCI South Africa | 4,109 | |||
MSCI Turkey | 118,376 | |||
MSCI USA Equal Weighted | 6,982 |
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, 2018, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Israel | $ | 282,510 | $ | 25,883 | ||||
MSCI Russia | 3,119,477 | 2,437,336 | ||||||
MSCI USA Equal Weighted | 5,914,047 | 4,760,000 |
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.
It is possible that, from time to time, BlackRock and/or funds managed by BFA or an affiliate (collectively, “Affiliates”) may purchase and hold shares of a Fund. Affiliates reserve the right, subject to compliance with applicable law, to sell into the market or redeem in Creation Units through an authorized participant at any time some or all of the shares of a Fund acquired for their own accounts. A large sale or redemption of shares of a Fund by Affiliates could significantly reduce the asset size of the Fund,
NOTESTO FINANCIAL STATEMENTS | 67 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
which might have an adverse effect on the Fund. As of February 28, 2018, the number of affiliated accounts that individually that individually represent more than 10% ownership of a Fund’s total shares outstanding and the aggregate percentage of net assets represented by such holdings were as follows:
iShares ETF | Number of Affiliated | Aggregate Affiliated Ownership | ||||||
MSCI USA Equal Weighted | 1 | 34 | % |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Brazil | $ | 2,057,317,895 | $ | 685,282,153 | ||||
MSCI Chile | 127,266,567 | 162,570,141 | ||||||
MSCI Colombia | 2,995,671 | 4,488,644 | ||||||
MSCI Israel | 4,230,833 | 4,144,687 | ||||||
MSCI Russia | 99,624,081 | 76,162,604 | ||||||
MSCI South Africa | 42,187,619 | 43,772,754 | ||||||
MSCI Turkey | 11,144,523 | 11,412,033 | ||||||
MSCI USA Equal Weighted | 16,372,045 | 16,152,612 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Colombia | $ | — | $ | 46,315 | ||||
MSCI Israel | 21,357,194 | — | ||||||
MSCI Russia | 139,078,626 | — | ||||||
MSCI South Africa | 139,754,109 | 108,818,016 | ||||||
MSCI Turkey | 30,808,591 | 54,714,478 | ||||||
MSCI USA Equal Weighted | 24,695,397 | 26,641,859 |
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.
68 | 2018 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.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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 Brazil ETF as of February 28, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciationa | $ | 54,106 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities. |
NOTESTO FINANCIAL STATEMENTS | 69 |
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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 Brazil ETF during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | Net Change in Unrealized Appreciation/Depreciation | |||||||
Futures contracts | $ | 570,869 | $ | 54,106 | ||||
|
|
|
| |||||
The following table shows the average quarter-end balances of open futures contracts for the iShares MSCI Brazil ETF for the six months ended February 28, 2018:
Average notional value of contracts purchased | $ | 38,999,567 |
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the
70 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital 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.
The United States and the European Union, along with the regulatory bodies of a number of countries including Japan, Australia, Norway, Switzerland and Canada, have imposed economic sanctions, which consist of asset freezes and sectorial sanctions, on certain Russian individuals and Russian corporate entities. Broader sanctions on Russia could also be instituted. 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.
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 | 71 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of August 31, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
MSCI Brazil | $ | 2,141,732,429 | $ | 198,226,310 | — | $ | 2,339,958,739 | |||||||||
MSCI Chile | 150,400,264 | 11,712,090 | 976,991 | 163,089,345 | ||||||||||||
MSCI Colombia | 8,287,339 | — | — | 8,287,339 | ||||||||||||
MSCI Israel | 33,128,188 | 10,801,191 | 7,130,249 | 51,059,628 | ||||||||||||
MSCI Russia | 70,987,197 | — | — | 70,987,197 | ||||||||||||
MSCI South Africa | 63,988,602 | 14,856,365 | 6,137,142 | 84,982,109 | ||||||||||||
MSCI Turkey | 70,376,752 | 5,982,737 | 3,859,184 | 80,218,673 | ||||||||||||
MSCI USA Equal Weighted | 885,021 | — | — | 885,021 |
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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Brazil | $ | 6,034,006,807 | $ | 3,141,530,134 | $ | (519,064,922 | ) | $ | 2,622,465,212 | |||||||
MSCI Chile | 338,191,151 | 206,733,632 | (49,879,545 | ) | 156,854,087 | |||||||||||
MSCI Colombia | 21,796,021 | 3,836,447 | (4,364,727 | ) | (528,280 | ) | ||||||||||
MSCI Israel | 136,238,336 | 20,847,704 | (27,396,008 | ) | (6,548,304 | ) | ||||||||||
MSCI Russia | 724,786,142 | 160,261,097 | (68,147,050 | ) | 92,114,047 | |||||||||||
MSCI South Africa | 528,649,321 | 95,449,637 | (105,196,150 | ) | (9,746,513 | ) | ||||||||||
MSCI Turkey | 536,512,279 | 28,067,345 | (159,953,278 | ) | (131,885,933 | ) | ||||||||||
MSCI USA Equal Weighted | 132,524,110 | 22,431,579 | (6,644,343 | ) | 15,787,236 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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. | LINE OF CREDIT |
The iShares MSCI Colombia ETF, along with certain other iShares funds, is a party to a credit agreement with State Street Bank and Trust Company. Effective October 25, 2017, certain terms of the credit agreement were amended, including (i) increasing the maximum borrowing amount from $250 million to $275 million and (ii) extending the expiration date from October 25, 2017 to October 24, 2018. 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
72 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018.
9. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
10. | 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 | 73 |
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 | $ | 0.266181 | $ | — | $ | 0.149369 | $ | 0.415550 | 64 | % | — | % | 36 | % | 100 | % | ||||||||||||||||
MSCI Chile | 0.048433 | — | 0.000773 | 0.049206 | 98 | — | 2 | 100 | ||||||||||||||||||||||||
MSCI Colombia | 0.100316 | — | 0.008094 | 0.108410 | 93 | — | 7 | 100 | ||||||||||||||||||||||||
MSCI Israel | 0.529123 | — | 0.168072 | 0.697195 | 76 | — | 24 | 100 | ||||||||||||||||||||||||
MSCI Russia | 0.823930 | — | 0.203821 | 1.027751 | 80 | — | 20 | 100 | ||||||||||||||||||||||||
MSCI South Africa | 0.599240 | — | 0.017860 | 0.617100 | 97 | — | 3 | 100 | ||||||||||||||||||||||||
MSCI USA Equal Weighted | 0.416583 | — | 0.048800 | 0.465383 | 90 | — | 10 | 100 |
74 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
GENERAL INFORMATION | 75 |
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Notes:
76 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 77 |
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Notes:
78 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-804-0218
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Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Edge MSCI Min Vol Global ETF | ACWV | Cboe BZX |
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 ETF | EWW | NYSE Arca |
Ø | iShares MSCI South Korea ETF | EWY | NYSE Arca |
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iSHARES® EDGE MSCI MIN VOL GLOBAL ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 4.19%, net of fees, while the total return for the Index was 4.05%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 11.64% | 11.57% | 11.29% | 11.64% | 11.57% | 11.29% | ||||||||||||||||||||||
5 Years | 9.69% | 9.58% | 9.40% | 58.79% | 58.01% | 56.74% | ||||||||||||||||||||||
Since Inception | 10.86% | 10.80% | 10.56% | 92.74% | 92.10% | 89.57% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,041.90 | $ | 1.01 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Health Care | 15.37 | % | ||
Information Technology | 13.95 | |||
Financials | 13.72 | |||
Consumer Staples | 13.40 | |||
Industrials | 11.93 | |||
Consumer Discretionary | 8.03 | |||
Utilities | 7.36 | |||
Telecommunication Services | 7.30 | |||
Real Estate | 4.51 | |||
Materials | 3.00 | |||
Energy | 1.43 | |||
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| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
United States | 56.49 | % | ||
Japan | 13.34 | |||
Switzerland | 4.88 | |||
Taiwan | 4.28 | |||
China | 4.22 | |||
Hong Kong | 3.49 | |||
Canada | 2.94 | |||
Singapore | 1.32 | |||
Denmark | 1.00 | |||
Malaysia | 0.96 | |||
|
| |||
TOTAL | 92.92 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
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Fund Performance Overview
iSHARES® MSCI AUSTRALIA ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 4.91%, net of fees, while the total return for the Index was 5.02%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 9.88% | 8.91% | 10.18% | 9.88% | 8.91% | 10.18% | ||||||||||||||||||||||
5 Years | 1.52% | 1.39% | 1.88% | 7.83% | 7.16% | 9.78% | ||||||||||||||||||||||
10 Years | 3.10% | 3.21% | 3.38% | 35.72% | 37.17% | 39.48% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,049.10 | $ | 2.39 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 40.99 | % | ||
Materials | 17.85 | |||
Health Care | 8.05 | |||
Real Estate | 8.03 | |||
Consumer Staples | 7.59 | |||
Energy | 5.45 | |||
Industrials | 5.19 | |||
Consumer Discretionary | 2.66 | |||
Utilities | 2.03 | |||
Telecommunication Services | 1.23 | |||
Information Technology | 0.93 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Commonwealth Bank of Australia | 10.12 | % | ||
Westpac Banking Corp. | 7.90 | |||
BHP Billiton Ltd. | 7.40 | |||
Australia & New Zealand Banking Group Ltd. | 6.45 | |||
National Australia Bank Ltd. | 6.13 | |||
CSL Ltd. | 5.58 | |||
Wesfarmers Ltd. | 3.54 | |||
Woolworths Group Ltd. | 2.72 | |||
Macquarie Group Ltd. | 2.53 | |||
Rio Tinto Ltd. | 2.53 | |||
|
| |||
TOTAL | 54.90 | % | ||
|
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* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Fund Performance Overview
iSHARES® MSCI CANADA ETF
Performance as of February 28, 2018
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 Custom 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, 2018, the total return for the Fund was 1.07%, net of fees, while the total return for the Index was 1.18%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
1 Year | 5 Years | 10 years | 1 Year | 5 Years | 10 years | |||||||||||||||||||||||
NAV | 6.21% | 1.68% | 0.58% | 6.21% | 8.71% | 5.91% | ||||||||||||||||||||||
MARKET | 6.13% | 1.78% | 0.61% | 6.13% | 9.24% | 6.22% | ||||||||||||||||||||||
INDEXa | 6.41% | 1.86% | 0.78% | 6.41% | 9.64% | 8.06% | ||||||||||||||||||||||
MSCI Canada Index | 6.33% | 1.84% | 0.77% | 6.33% | 9.57% | 7.98% | ||||||||||||||||||||||
MSCI Canada Custom Capped Indexb | n/a | n/a | n/a | n/a | n/a | n/a |
a | Index performance through August 31, 2017 reflects the performance of the MSCI Canada Index. Index performance beginning on September 1, 2017 reflects the performance of the MSCI Canada Custom Capped Index, which, effective as of September 1, 2017, replaced the MSCI Canada Index as the underlying index of the Fund. |
b | The inception date of the MSCI Canada Custom Capped Index was May 12, 2017. |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,010.70 | $ | 2.34 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 42.90 | % | ||
Energy | 19.82 | |||
Materials | 10.58 | |||
Industrials | 7.96 | |||
Consumer Discretionary | 5.25 | |||
Information Technology | 4.13 | |||
Consumer Staples | 4.09 | |||
Telecommunication Services | 2.24 | |||
Utilities | 1.95 | |||
Real Estate | 0.68 | |||
Health Care | 0.40 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Royal Bank of Canada | 8.56 | % | ||
Toronto-Dominion Bank (The) | 7.94 | |||
Bank of Nova Scotia (The) | 5.53 | |||
Canadian National Railway Co. | 4.30 | |||
Suncor Energy Inc. | 4.06 | |||
Enbridge Inc. | 3.92 | |||
Bank of Montreal | 3.67 | |||
Canadian Imperial Bank of Commerce | 2.97 | |||
TransCanada Corp. | 2.81 | |||
Manulife Financial Corp. | 2.80 | |||
|
| |||
TOTAL | 46.56 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI JAPAN ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 13.71%, net of fees, while the total return for the Index was 13.94%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 21.36% | 20.71% | 21.77% | 21.36% | 20.71% | 21.77% | ||||||||||||||||||||||
5 Years | 10.01% | 9.89% | 10.44% | 61.16% | 60.23% | 64.28% | ||||||||||||||||||||||
10 Years | 3.40% | 3.53% | 3.89% | 39.74% | 41.49% | 46.43% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,137.10 | $ | 2.49 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Industrials | 21.36 | % | ||
Consumer Discretionary | 20.47 | |||
Information Technology | 13.03 | |||
Financials | 12.45 | |||
Consumer Staples | 7.54 | |||
Health Care | 7.40 | |||
Materials | 6.36 | |||
Telecommunication Services | 4.87 | |||
Real Estate | 3.88 | |||
Utilities | 1.62 | |||
Energy | 1.02 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Toyota Motor Corp. | 4.79 | % | ||
Mitsubishi UFJ Financial Group Inc. | 2.29 | |||
SoftBank Group Corp. | 1.84 | |||
Sony Corp. | 1.73 | |||
Honda Motor Co. Ltd. | 1.66 | |||
Sumitomo Mitsui Financial Group Inc. | 1.57 | |||
Keyence Corp. | 1.56 | |||
Nintendo Co. Ltd. | 1.36 | |||
FANUC Corp. | 1.29 | |||
Mizuho Financial Group Inc. | 1.21 | |||
|
| |||
TOTAL | 19.30 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI MEXICO ETF
Performance as of February 28, 2018
The iShares MSCI Mexico ETF (the “Fund”) (formerly the iShares MSCI Mexico Capped ETF) seeks to track the investment results of a broad-based index composed of Mexican equities, as represented by the MSCI Mexico IMI 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, 2018, the total return for the Fund was -10.86%, net of fees, while the total return for the Index was -10.71%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 10.20% | 10.81% | 10.45% | 10.20% | 10.81% | 10.45% | ||||||||||||||||||||||
5 Years | (5.15)% | (5.15)% | (4.88)% | (23.21)% | (23.22)% | (22.15)% | ||||||||||||||||||||||
10 Years | 0.56% | 0.58% | 0.30% | 5.78% | 5.96% | 3.09% |
Index performance 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 IMI 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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 891.40 | $ | 2.20 | $ | 1,000.00 | $ | 1,022.50 | $ | 2.36 | 0.47% |
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 2/28/18
Sector | Percentage of Total Investments* |
Consumer Staples | 25.84 | % | ||
Telecommunication Services | 17.12 | |||
Financials | 15.95 | |||
Materials | 14.53 | |||
Industrials | 10.96 | |||
Consumer Discretionary | 7.51 | |||
Real Estate | 6.05 | |||
Utilities | 1.43 | |||
Health Care | 0.61 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
America Movil SAB de CV Series L | 16.09 | % | ||
Fomento Economico Mexicano SAB de CV | 8.98 | |||
Grupo Financiero Banorte SAB de CV Series O | 7.33 | |||
Wal-Mart de Mexico SAB de CV | 5.82 | |||
Grupo Mexico SAB de CV Series B | 5.78 | |||
Grupo Televisa SAB CPO | 4.31 | |||
Cemex SAB de CV CPO | 4.26 | |||
Fibra Uno Administracion SA de CV | 2.49 | |||
Grupo Bimbo SAB de CV Series A | 2.30 | |||
Grupo Financiero Inbursa SAB de CV Series O | 2.22 | |||
|
| |||
TOTAL | 59.58 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 9 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI SOUTH KOREA ETF
Performance as of February 28, 2018
The iShares MSCI South Korea ETF (the “Fund”) (formerly the iShares MSCI South Korea Capped ETF) 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, 2018, the total return for the Fund was 10.20%, net of fees, while the total return for the Index was 10.46%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 27.06% | 26.87% | 27.80% | 27.06% | 26.87% | 27.80% | ||||||||||||||||||||||
5 Years | 5.11% | 5.08% | 5.61% | 28.30% | 28.09% | 31.38% | ||||||||||||||||||||||
10 Years | 3.67% | 3.87% | 4.23% | 43.42% | 46.18% | 51.30% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,102.00 | $ | 3.07 | $ | 1,000.00 | $ | 1,021.90 | $ | 2.96 | 0.59% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 36.15 | % | ||
Financials | 14.35 | |||
Consumer Discretionary | 12.05 | |||
Industrials | 10.13 | |||
Materials | 8.95 | |||
Consumer Staples | 6.88 | |||
Health Care | 6.73 | |||
Energy | 2.76 | |||
Utilities | 1.25 | |||
Telecommunication Services | 0.75 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Samsung Electronics Co. Ltd. | 22.25 | % | ||
SK Hynix Inc. | 5.17 | |||
Celltrion Inc. | 3.35 | |||
POSCO | 3.12 | |||
KB Financial Group Inc. | 2.97 | |||
Hyundai Motor Co. | 2.91 | |||
NAVER Corp. | 2.63 | |||
Shinhan Financial Group Co. Ltd. | 2.38 | |||
LG Chem Ltd. | 2.07 | |||
Hyundai Mobis Co. Ltd. | 1.84 | |||
|
| |||
TOTAL | 48.69 | % | ||
|
|
* | Excludes money market funds. |
10 | 2018 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, 2017 and held through February 28, 2018, 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® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.62% |
| |||||||
BELGIUM — 0.31% |
| |||||||
Colruyt SA | 36,192 | $ | 1,956,797 | |||||
Proximus SADP | 139,360 | 4,485,521 | ||||||
UCB SA | 53,664 | 4,455,926 | ||||||
|
| |||||||
10,898,244 | ||||||||
CANADA — 2.92% |
| |||||||
Agnico Eagle Mines Ltd. | 207,584 | 7,920,382 | ||||||
Barrick Gold Corp. | 596,960 | 6,885,760 | ||||||
BCE Inc. | 225,056 | 9,835,826 | ||||||
Fairfax Financial Holdings Ltd. | 12,896 | 6,311,980 | ||||||
First Capital Realty Inc. | 121,056 | 1,886,673 | ||||||
Franco-Nevada Corp. | 274,560 | 19,267,519 | ||||||
Goldcorp Inc. | 529,152 | 6,632,209 | ||||||
Intact Financial Corp. | 210,496 | 16,304,466 | ||||||
RioCan REIT | 98,592 | 1,807,411 | ||||||
Rogers Communications Inc. Class B | 86,944 | 3,923,285 | ||||||
Shaw Communications Inc. Class B | 174,720 | 3,387,088 | ||||||
TELUS Corp. | 303,264 | 10,962,804 | ||||||
Thomson Reuters Corp. | 169,312 | 6,680,778 | ||||||
|
| |||||||
101,806,181 | ||||||||
CHILE — 0.51% |
| |||||||
Banco de Chile | 37,665,472 | 6,392,749 | ||||||
SACI Falabella | 1,106,976 | 11,203,229 | ||||||
|
| |||||||
17,595,978 | ||||||||
CHINA — 4.21% |
| |||||||
Agricultural Bank of China Ltd. Class H | 7,488,000 | 4,162,499 | ||||||
Alibaba Group Holding Ltd. ADRa,b | 13,728 | 2,555,330 | ||||||
Alibaba Pictures Group Ltd.a,b | 20,800,000 | 2,844,108 | ||||||
ANTA Sports Products Ltd. | 416,000 | 2,062,643 | ||||||
China Conch Venture Holdings Ltd. | 1,872,000 | 5,633,726 | ||||||
China Construction Bank Corp. Class H | 8,736,000 | 9,098,488 | ||||||
China Huarong Asset Management Co. Ltd. Class Hc | 6,240,000 | 2,830,818 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,b,d | 3,106,800 | 4 | ||||||
China Mobile Ltd. | 2,288,000 | 21,461,056 |
Security | Shares | Value | ||||||
China Resources Beer Holdings Co. Ltd. | 832,000 | $ | 3,210,918 | |||||
China Resources Pharmaceutical Group Ltd.a,c | 2,912,000 | 3,929,654 | ||||||
China Telecom Corp. Ltd. Class H | 8,320,000 | 3,668,102 | ||||||
China Unicom Hong Kong Ltd.b | 1,664,000 | 2,156,206 | ||||||
COSCO SHIPPING Ports Ltd.a | 1,664,000 | 1,618,218 | ||||||
CSPC Pharmaceutical Group Ltd. | 5,824,000 | 13,456,087 | ||||||
Fullshare Holdings Ltd.a | 1,117,500 | 628,347 | ||||||
Guangdong Investment Ltd. | 5,364,000 | 8,211,918 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 1,860,000 | 2,895,071 | ||||||
Kingboard Chemical Holdings Ltd. | 416,000 | 2,113,146 | ||||||
Lenovo Group Ltd.a | 4,160,000 | 2,174,281 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 3,328,000 | 2,275,287 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 1,747,431 | 2,540,765 | ||||||
Shenzhou International Group Holdings Ltd.a | 832,000 | 8,239,940 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 4,992,000 | 1,824,482 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 5,824,000 | 3,497,987 | ||||||
Tencent Holdings Ltd. | 332,800 | 18,380,913 | ||||||
Yum China Holdings Inc. | 247,104 | 10,704,545 | ||||||
Zijin Mining Group Co. Ltd. Class H | 9,152,000 | 4,210,343 | ||||||
|
| |||||||
146,384,882 | ||||||||
CZECH REPUBLIC — 0.07% |
| |||||||
Komercni Banka AS | 51,168 | 2,275,531 | ||||||
|
| |||||||
2,275,531 | ||||||||
DENMARK — 0.99% |
| |||||||
Chr Hansen Holding A/S | 42,016 | 3,503,169 | ||||||
Coloplast A/S Class B | 58,240 | 4,937,922 | ||||||
H Lundbeck A/S | 107,744 | 5,660,054 | ||||||
Orsted A/Sc | 232,544 | 14,509,240 | ||||||
William Demant Holding A/Sa,b | 163,488 | 5,870,228 | ||||||
|
| |||||||
34,480,613 | ||||||||
GERMANY — 0.22% |
| |||||||
MAN SE | 49,920 | 5,698,832 |
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
Uniper SE | 65,312 | $ | 1,985,869 | |||||
|
| |||||||
7,684,701 | ||||||||
HONG KONG — 3.47% |
| |||||||
CK Infrastructure Holdings Ltd.a | 1,040,000 | 8,731,678 | ||||||
CLP Holdings Ltd. | 2,288,000 | 23,127,650 | ||||||
Hang Seng Bank Ltd. | 1,164,800 | 28,951,427 | ||||||
HK Electric Investments & HK Electric Investments Ltd.a,c | 4,160,000 | 3,902,010 | ||||||
HKT Trust & HKT Ltd. | 5,824,000 | 7,442,526 | ||||||
Hong Kong & China Gas Co. Ltd. | 4,992,852 | 9,876,854 | ||||||
Jardine Strategic Holdings Ltd. | 41,600 | 1,656,928 | ||||||
Link REIT | 1,040,000 | 8,891,161 | ||||||
MTR Corp. Ltd.a | 2,288,000 | 12,133,976 | ||||||
PCCW Ltd.a | 6,656,000 | 3,793,562 | ||||||
Power Assets Holdings Ltd. | 832,000 | 7,075,716 | ||||||
Yue Yuen Industrial Holdings Ltd. | 1,248,000 | 5,342,670 | ||||||
|
| |||||||
120,926,158 | ||||||||
INDIA — 0.37% |
| |||||||
Wipro Ltd. ADRa | 2,335,131 | 12,866,572 | ||||||
|
| |||||||
12,866,572 | ||||||||
INDONESIA — 0.85% |
| |||||||
Bank Central Asia Tbk PT | 8,361,600 | 14,094,634 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 11,356,800 | 3,981,509 | ||||||
Kalbe Farma Tbk PT | 13,977,600 | 1,626,662 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 18,844,800 | 5,482,722 | ||||||
Unilever Indonesia Tbk PT | 1,164,800 | 4,566,514 | ||||||
|
| |||||||
29,752,041 | ||||||||
IRELAND — 0.39% |
| |||||||
Kerry Group PLC Class A | 94,432 | 9,438,512 | ||||||
Ryanair Holdings PLC ADRb | 34,112 | 4,136,421 | ||||||
|
| |||||||
13,574,933 | ||||||||
ISRAEL — 0.43% |
| |||||||
Azrieli Group Ltd. | 56,992 | 2,816,344 | ||||||
Bank Hapoalim BM | 344,032 | 2,465,470 | ||||||
Bank Leumi Le-Israel BM | 393,120 | 2,385,048 | ||||||
Check Point Software Technologies Ltd.a,b | 33,280 | 3,457,459 | ||||||
Mizrahi Tefahot Bank Ltd. | 214,240 | 3,972,123 | ||||||
|
| |||||||
15,096,444 | ||||||||
ITALY — 0.45% |
| |||||||
Luxottica Group SpA | 69,056 | 4,157,306 | ||||||
Recordati SpA | 47,424 | 1,703,409 |
Security | Shares | Value | ||||||
Snam SpA | 2,179,008 | $ | 9,782,729 | |||||
|
| |||||||
15,643,444 | ||||||||
JAPAN — 13.29% |
| |||||||
ABC-Mart Inc. | 46,500 | 2,963,310 | ||||||
Ajinomoto Co. Inc. | 208,000 | 3,814,779 | ||||||
ANA Holdings Inc. | 166,400 | 6,710,269 | ||||||
Asahi Group Holdings Ltd. | 41,600 | 2,140,721 | ||||||
Astellas Pharma Inc. | 790,400 | 11,707,298 | ||||||
Benesse Holdings Inc. | 124,800 | 4,508,730 | ||||||
Canon Inc. | 582,400 | 22,356,126 | ||||||
Chugai Pharmaceutical Co. Ltd. | 83,200 | 4,327,445 | ||||||
Daiichi Sankyo Co. Ltd. | 226,600 | 8,086,714 | ||||||
Daito Trust Construction Co. Ltd. | 41,600 | 6,920,013 | ||||||
Daiwa House REIT Investment Corp. | 1,248 | 3,006,989 | ||||||
Eisai Co. Ltd. | 83,200 | 4,441,284 | ||||||
FamilyMart UNY Holdings Co. Ltd. | 83,200 | 6,307,933 | ||||||
FUJIFILM Holdings Corp. | 93,000 | 3,901,982 | ||||||
Hankyu Hanshin Holdings Inc. | 41,600 | 1,559,440 | ||||||
Japan Airlines Co. Ltd. | 166,400 | 6,376,548 | ||||||
Japan Prime Realty Investment Corp. | 1,248 | 4,304,053 | ||||||
Japan Real Estate Investment Corp. | 1,248 | 6,479,471 | ||||||
Japan Retail Fund Investment Corp. | 2,496 | 4,802,294 | ||||||
Kajima Corp. | 447,000 | 4,281,280 | ||||||
KDDI Corp. | 83,200 | 2,054,952 | ||||||
Keikyu Corp.a | 374,400 | 6,729,761 | ||||||
Keyence Corp. | 20,000 | 12,233,728 | ||||||
Kintetsu Group Holdings Co. Ltd. | 46,500 | 1,795,417 | ||||||
Kirin Holdings Co. Ltd. | 332,800 | 8,665,806 | ||||||
Konami Holdings Corp. | 124,800 | 6,608,125 | ||||||
Kyowa Hakko Kirin Co. Ltd. | 89,400 | 1,901,860 | ||||||
Kyushu Railway Co. | 214,800 | 6,642,988 | ||||||
Lawson Inc. | 83,200 | 5,450,241 | ||||||
LINE Corp.a,b | 41,600 | 1,693,941 | ||||||
McDonald’s Holdings Co. Japan Ltd.a | 97,600 | 4,367,555 | ||||||
MEIJI Holdings Co. Ltd. | 83,200 | 6,105,206 | ||||||
Mitsubishi Tanabe Pharma Corp. | 332,800 | 7,157,828 | ||||||
Nagoya Railroad Co. Ltd. | 291,200 | 7,458,410 | ||||||
NH Foods Ltd. | 416,000 | 9,376,130 | ||||||
Nippon Building Fund Inc. | 832 | 4,522,375 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
Nippon Prologis REIT Inc. | 2,912 | $ | 6,604,227 | |||||
Nippon Telegraph & Telephone Corp. | 416,000 | 19,422,820 | ||||||
Nissin Foods Holdings Co. Ltd. | 83,200 | 5,707,549 | ||||||
Nitori Holdings Co. Ltd. | 47,800 | 8,070,072 | ||||||
Nomura Real Estate Master Fund Inc. | 5,408 | 7,419,813 | ||||||
Nomura Research Institute Ltd. | 166,430 | 7,517,854 | ||||||
NTT Data Corp. | 956,800 | 9,971,057 | ||||||
NTT DOCOMO Inc. | 748,800 | 19,262,977 | ||||||
Obayashi Corp. | 166,400 | 1,893,160 | ||||||
Oracle Corp. Japan | 46,500 | 3,625,697 | ||||||
Oriental Land Co. Ltd./Japan | 139,500 | 13,622,511 | ||||||
Otsuka Corp. | 83,200 | 7,773,806 | ||||||
Otsuka Holdings Co. Ltd. | 249,600 | 12,594,034 | ||||||
Park24 Co. Ltd. | 166,400 | 4,013,997 | ||||||
Recruit Holdings Co. Ltd. | 457,600 | 11,115,685 | ||||||
Sankyo Co. Ltd. | 83,200 | 2,994,124 | ||||||
Santen Pharmaceutical Co. Ltd. | 208,000 | 3,352,795 | ||||||
Secom Co. Ltd. | 208,000 | 14,970,620 | ||||||
Shimadzu Corp. | 124,800 | 3,222,192 | ||||||
Shimamura Co. Ltd. | 41,600 | 4,966,815 | ||||||
Shionogi & Co. Ltd. | 41,600 | 2,179,707 | ||||||
Suntory Beverage & Food Ltd. | 208,000 | 9,707,511 | ||||||
Taisho Pharmaceutical Holdings Co. Ltd. | 46,500 | 4,261,937 | ||||||
Takeda Pharmaceutical Co. Ltd. | 249,600 | 14,296,942 | ||||||
Terumo Corp. | 124,800 | 6,748,475 | ||||||
Tobu Railway Co. Ltd. | 291,200 | 9,033,054 | ||||||
Toho Co. Ltd./Tokyo | 83,200 | 2,709,526 | ||||||
Toyo Suisan Kaisha Ltd. | 124,800 | 4,900,539 | ||||||
Tsuruha Holdings Inc. | 41,600 | 6,050,626 | ||||||
United Urban Investment Corp. | 4,576 | 7,238,919 | ||||||
USS Co. Ltd. | 92,500 | 1,917,530 | ||||||
Yahoo Japan Corp. | 915,200 | 4,254,151 | ||||||
Yamada Denki Co. Ltd.a | 956,800 | 6,070,508 | ||||||
Yamazaki Baking Co. Ltd.a | 166,400 | 3,263,907 | ||||||
|
| |||||||
462,516,139 | ||||||||
MALAYSIA — 0.96% |
| |||||||
Hong Leong Bank Bhda | 998,400 | 5,102,877 | ||||||
IHH Healthcare Bhda | 2,995,200 | 4,519,181 | ||||||
Malayan Banking Bhd | 2,246,400 | 5,998,811 | ||||||
Maxis Bhda | 2,828,800 | 4,268,115 | ||||||
Petronas Dagangan Bhd | 332,800 | 2,192,045 | ||||||
Public Bank Bhd | 1,486,160 | 8,726,495 |
Security | Shares | Value | ||||||
Telekom Malaysia Bhda | 1,664,000 | $ | 2,506,408 | |||||
|
| |||||||
33,313,932 | ||||||||
PERU — 0.15% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 138,528 | 2,154,110 | ||||||
Credicorp Ltd. | 13,728 | 2,971,426 | ||||||
|
| |||||||
5,125,536 | ||||||||
PHILIPPINES — 0.46% |
| |||||||
Aboitiz Equity Ventures Inc. | 1,747,200 | 2,596,645 | ||||||
Bank of the Philippine Islands | 1,214,729 | 2,796,583 | ||||||
BDO Unibank Inc. | 3,556,809 | 10,640,377 | ||||||
|
| |||||||
16,033,605 | ||||||||
QATAR — 0.18% |
| |||||||
Qatar National Bank QPSC | 191,360 | 6,263,015 | ||||||
|
| |||||||
6,263,015 | ||||||||
SINGAPORE — 1.32% |
| |||||||
CapitaLand Commercial Trust | 3,952,000 | 5,168,356 | ||||||
CapitaLand Mall Trust | 2,537,600 | 3,874,931 | ||||||
Oversea-Chinese Banking Corp. Ltd. | 416,000 | 4,107,011 | ||||||
SATS Ltd. | 1,248,000 | 4,905,772 | ||||||
Singapore Airlines Ltd. | 956,800 | 8,021,251 | ||||||
Singapore Press Holdings Ltd.a | 1,439,500 | 2,829,270 | ||||||
Singapore Telecommunications Ltd. | 5,948,800 | 15,199,716 | ||||||
StarHub Ltd. | 956,800 | 1,808,217 | ||||||
|
| |||||||
45,914,524 | ||||||||
SOUTH KOREA — 0.49% |
| |||||||
DB Insurance Co. Ltd. | 28,288 | 1,815,510 | ||||||
Hanmi Science Co. Ltd. | 17,472 | 1,355,294 | ||||||
KT&G Corp. | 25,792 | 2,376,989 | ||||||
NAVER Corp. | 2,496 | 1,850,853 | ||||||
S-1 Corp. | 32,032 | 2,839,664 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 14,144 | 3,774,694 | ||||||
SK Telecom Co. Ltd. | 13,728 | 3,042,497 | ||||||
|
| |||||||
17,055,501 | ||||||||
SPAIN — 0.09% |
| |||||||
Amadeus IT Group SA | 44,512 | 3,287,747 | ||||||
|
| |||||||
3,287,747 | ||||||||
SWITZERLAND — 4.86% |
| |||||||
Chocoladefabriken Lindt & Spruengli AG Registered | 146 | 10,536,162 | ||||||
EMS-Chemie Holding AG Registered | 11,232 | 7,202,362 |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
Givaudan SA Registered | 832 | $ | 1,898,972 | |||||
Kuehne + Nagel International AG Registered | 83,616 | 13,687,525 | ||||||
Nestle SA Registered | 430,560 | 34,297,187 | ||||||
Novartis AG Registered | 211,744 | 17,736,263 | ||||||
Partners Group Holding AG | 12,896 | 9,374,691 | ||||||
Roche Holding AG | 78,624 | 18,244,795 | ||||||
Schindler Holding AG Registered | 31,200 | 7,071,626 | ||||||
Sika AG Bearer | 447 | 3,679,869 | ||||||
Sonova Holding AG Registered | 76,128 | 11,954,283 | ||||||
Straumann Holding AG Registered | 12,064 | 8,176,278 | ||||||
Swiss Prime Site AG Registered | 63,954 | 5,982,259 | ||||||
Swisscom AG Registered | 35,360 | 19,156,997 | ||||||
|
| |||||||
168,999,269 | ||||||||
TAIWAN — 4.27% |
| |||||||
Asustek Computer Inc. | 930,000 | 8,823,620 | ||||||
Chang Hwa Commercial Bank Ltd. | 7,488,361 | 4,309,036 | ||||||
Chicony Electronics Co. Ltd. | 832,956 | 2,051,328 | ||||||
Chunghwa Telecom Co. Ltd. | 5,824,000 | 21,843,366 | ||||||
Compal Electronics Inc. | 3,328,000 | 2,291,202 | ||||||
CTBC Financial Holding Co. Ltd. | 2,912,000 | 2,129,479 | ||||||
E.Sun Financial Holding Co. Ltd. | 7,904,557 | 5,238,930 | ||||||
Far EasTone Telecommunications Co. Ltd. | 2,496,000 | 6,326,454 | ||||||
First Financial Holding Co. Ltd. | 14,144,894 | 9,689,777 | ||||||
Formosa Petrochemical Corp. | 1,664,000 | 6,668,425 | ||||||
Hon Hai Precision Industry Co. Ltd. | 2,912,400 | 8,788,424 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 11,232,261 | 6,617,283 | ||||||
Innolux Corp. | 5,408,000 | 2,408,042 | ||||||
Mega Financial Holding Co. Ltd. | 14,560,000 | 12,442,740 | ||||||
Quanta Computer Inc. | 832,000 | 1,698,454 | ||||||
Siliconware Precision Industries Co. Ltd. | 3,328,000 | 5,802,100 | ||||||
Standard Foods Corp. | 832,000 | 1,954,931 | ||||||
Synnex Technology International Corp. | 2,496,250 | 3,308,896 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 12,480,454 | 7,267,138 | ||||||
Taiwan Mobile Co. Ltd. | 2,496,000 | 9,190,457 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 2,080,000 | 17,525,989 |
Security | Shares | Value | ||||||
WPG Holdings Ltd. | 1,664,000 | $ | 2,137,316 | |||||
|
| |||||||
148,513,387 | ||||||||
THAILAND — 0.90% |
| |||||||
Airports of Thailand PCL NVDR | 2,080,000 | 4,688,117 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 6,822,400 | 4,803,283 | ||||||
Bangkok Expressway & Metro PCL NVDR | 9,692,800 | 2,254,140 | ||||||
BTS Group Holdings PCL NVDRa | 9,068,800 | 2,354,594 | ||||||
Bumrungrad Hospital PCL NVDR | 624,000 | 4,095,062 | ||||||
CP ALL PCL NVDR | 1,071,500 | 2,867,346 | ||||||
Home Product Center PCL NVDR | 7,737,600 | 3,549,584 | ||||||
Krung Thai Bank PCL NVDR | 5,241,600 | 3,389,757 | ||||||
Siam Cement PCL (The) Foreign | 208,000 | 3,246,894 | ||||||
|
| |||||||
31,248,777 | ||||||||
UNITED ARAB EMIRATES — 0.25% |
| |||||||
Emirates Telecommunications Group Co. PJSC | 1,366,144 | 6,397,495 | ||||||
First Abu Dhabi Bank PJSC | 789,152 | 2,481,576 | ||||||
|
| |||||||
8,879,071 | ||||||||
UNITED KINGDOM — 0.93% |
| |||||||
AstraZeneca PLC | 26,208 | 1,724,287 | ||||||
Compass Group PLC | 437,216 | 9,313,389 | ||||||
GlaxoSmithKline PLC | 494,208 | 8,901,311 | ||||||
Kingfisher PLC | 426,400 | 2,102,718 | ||||||
Randgold Resources Ltd. | 65,728 | 5,296,146 | ||||||
TUI AG | 231,296 | 4,922,188 | ||||||
|
| |||||||
32,260,039 | ||||||||
UNITED STATES — 56.28% |
| |||||||
3M Co. | 24,544 | 5,780,357 | ||||||
Abbott Laboratories | 193,024 | 11,645,138 | ||||||
Accenture PLC Class A | 29,952 | 4,822,572 | ||||||
Adobe Systems Inc.b | 23,712 | 4,958,891 | ||||||
Aetna Inc. | 69,056 | 12,227,055 | ||||||
AGNC Investment Corp. | 599,872 | 10,761,704 | ||||||
Alleghany Corp.b | 18,384 | 11,143,462 | ||||||
Allstate Corp. (The) | 171,392 | 15,812,626 | ||||||
Alphabet Inc. Class Cb | 1,664 | 1,838,271 | ||||||
Altria Group Inc. | 423,488 | 26,658,570 | ||||||
Ameren Corp. | 46,592 | 2,529,946 | ||||||
American Tower Corp. | 16,640 | 2,318,451 | ||||||
American Water Works Co. Inc. | 84,448 | 6,701,793 | ||||||
Amphenol Corp. Class A | 80,704 | 7,375,539 | ||||||
Annaly Capital Management Inc. | 1,637,376 | 16,422,881 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
ANSYS Inc.b | 76,544 | $ | 12,242,447 | |||||
Aon PLC | 65,312 | 9,164,580 | ||||||
Apple Inc. | 20,384 | 3,630,798 | ||||||
Aramark | 106,080 | 4,424,597 | ||||||
Arch Capital Group Ltd.b | 201,344 | 17,766,595 | ||||||
AT&T Inc. | 589,888 | 21,412,934 | ||||||
Athene Holding Ltd. Class Ab | 165,984 | 7,836,105 | ||||||
Automatic Data Processing Inc. | 135,200 | 15,591,264 | ||||||
AutoZone Inc.b | 13,728 | 9,125,276 | ||||||
AvalonBay Communities Inc. | 108,160 | 16,875,123 | ||||||
Axis Capital Holdings Ltd. | 118,144 | 5,829,225 | ||||||
Baxter International Inc. | 201,760 | 13,677,310 | ||||||
Becton Dickinson and Co. | 151,120 | 33,551,662 | ||||||
Berkshire Hathaway Inc. Class Bb | 136,032 | 28,185,830 | ||||||
Boston Scientific Corp.b | 148,928 | 4,059,777 | ||||||
Bristol-Myers Squibb Co. | 76,544 | 5,067,213 | ||||||
Broadridge Financial Solutions Inc. | 120,224 | 12,068,085 | ||||||
Campbell Soup Co. | 116,896 | 5,032,373 | ||||||
Cboe Global Markets Inc. | 42,016 | 4,706,212 | ||||||
CH Robinson Worldwide Inc. | 143,936 | 13,437,865 | ||||||
Charter Communications Inc. Class Ab | 32,864 | 11,237,188 | ||||||
Chevron Corp. | 17,056 | 1,908,908 | ||||||
Chubb Ltd. | 116,480 | 16,530,842 | ||||||
Church & Dwight Co. Inc. | 330,304 | 16,247,654 | ||||||
Cigna Corp. | 11,648 | 2,281,727 | ||||||
Cincinnati Financial Corp. | 96,096 | 7,167,801 | ||||||
Cintas Corp. | 39,520 | 6,744,483 | ||||||
Cisco Systems Inc. | 182,624 | 8,177,903 | ||||||
Clorox Co. (The) | 176,384 | 22,767,647 | ||||||
CMS Energy Corp. | 32,032 | 1,359,758 | ||||||
Coca-Cola Co. (The) | 592,384 | 25,602,836 | ||||||
Colgate-Palmolive Co. | 131,456 | 9,066,520 | ||||||
Comcast Corp. Class A | 344,032 | 12,457,399 | ||||||
Consolidated Edison Inc. | 464,256 | 34,768,132 | ||||||
Constellation Brands Inc. Class A | 32,448 | 6,991,895 | ||||||
Cooper Companies Inc. (The) | 8,736 | 2,013,823 | ||||||
Costco Wholesale Corp. | 38,688 | 7,385,539 | ||||||
Crown Castle International Corp. | 112,736 | 12,407,724 | ||||||
CVS Health Corp. | 47,008 | 3,183,852 | ||||||
Danaher Corp. | 69,888 | 6,833,649 | ||||||
Darden Restaurants Inc. | 38,272 | 3,528,296 | ||||||
Dell Technologies Inc. Class Vb | 152,672 | 11,342,003 | ||||||
Dollar General Corp. | 19,968 | 1,888,773 | ||||||
Dominion Energy Inc. | 259,584 | 19,227,387 |
Security | Shares | Value | ||||||
Dr Pepper Snapple Group Inc. | 106,912 | $ | 12,428,520 | |||||
Duke Energy Corp. | 298,272 | 22,471,812 | ||||||
eBay Inc.b | 91,104 | 3,904,717 | ||||||
Ecolab Inc. | 24,128 | 3,147,498 | ||||||
Edison International | 30,368 | 1,839,997 | ||||||
Eli Lilly & Co. | 266,656 | 20,537,845 | ||||||
Equity Residential | 122,304 | 6,877,154 | ||||||
Essex Property Trust Inc. | 12,896 | 2,886,512 | ||||||
Everest Re Group Ltd. | 42,848 | 10,293,804 | ||||||
Eversource Energy | 70,304 | 4,007,328 | ||||||
Expeditors International of Washington Inc. | 225,056 | 14,619,638 | ||||||
Exxon Mobil Corp. | 312,416 | 23,662,388 | ||||||
F5 Networks Inc.b | 14,144 | 2,100,667 | ||||||
Facebook Inc. Class Ab | 93,184 | 16,616,571 | ||||||
Federal Realty Investment Trust | 13,312 | 1,516,769 | ||||||
Fidelity National Information Services Inc. | 130,208 | 12,653,613 | ||||||
Fiserv Inc.b | 124,800 | 17,895,072 | ||||||
FNF Group | 115,648 | 4,617,825 | ||||||
Gartner Inc.b | 93,184 | 10,567,997 | ||||||
General Dynamics Corp. | 6,656 | 1,480,627 | ||||||
General Mills Inc. | 260,832 | 13,185,058 | ||||||
Genuine Parts Co. | 35,360 | 3,247,462 | ||||||
Gilead Sciences Inc. | 24,128 | 1,899,597 | ||||||
Harris Corp. | 88,608 | 13,836,139 | ||||||
Henry Schein Inc.b | 128,960 | 8,535,862 | ||||||
Hershey Co. (The) | 57,824 | 5,681,786 | ||||||
Home Depot Inc. (The) | 48,672 | 8,871,445 | ||||||
Hormel Foods Corp. | 130,208 | 4,226,552 | ||||||
Humana Inc. | 21,632 | 5,880,010 | ||||||
Intel Corp. | 78,208 | 3,854,872 | ||||||
International Business Machines Corp. | 72,800 | 11,344,424 | ||||||
Intuit Inc. | 16,224 | 2,707,137 | ||||||
Intuitive Surgical Inc.b | 72,384 | 30,868,157 | ||||||
Jack Henry & Associates Inc. | 120,224 | 14,102,275 | ||||||
JM Smucker Co. (The) | 64,064 | 8,091,283 | ||||||
Johnson & Johnson | 372,320 | 48,356,922 | ||||||
Kellogg Co. | 220,896 | 14,623,315 | ||||||
Kimberly-Clark Corp. | 94,016 | 10,428,255 | ||||||
Kraft Heinz Co. (The) | 78,624 | 5,271,739 | ||||||
L3 Technologies Inc. | 13,728 | 2,849,246 | ||||||
Laboratory Corp. of America Holdingsb | 77,792 | 13,434,678 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Security | Shares | Value | ||||||
Liberty Broadband Corp. Class Cb | 36,192 | $ | 3,180,553 | |||||
Lockheed Martin Corp. | 100,256 | 35,334,225 | ||||||
Lowe’s Companies Inc. | 21,632 | 1,938,011 | ||||||
Markel Corp.b | 21,632 | 24,054,784 | ||||||
Marsh & McLennan Companies Inc. | 280,800 | 23,312,016 | ||||||
Mastercard Inc. Class A | 49,742 | 8,742,654 | ||||||
McCormick & Co. Inc./MD NVS | 179,712 | 19,189,647 | ||||||
McDonald’s Corp. | 236,288 | 37,272,069 | ||||||
Medtronic PLC | 158,496 | 12,662,245 | ||||||
Merck & Co. Inc. | 373,568 | 20,254,857 | ||||||
Microsoft Corp. | 29,952 | 2,808,599 | ||||||
Monsanto Co. | 86,944 | 10,726,281 | ||||||
Motorola Solutions Inc. | 148,096 | 15,720,390 | ||||||
Newmont Mining Corp. | 302,848 | 11,568,794 | ||||||
NextEra Energy Inc. | 105,248 | 16,013,483 | ||||||
Northrop Grumman Corp. | 131,456 | 46,014,858 | ||||||
O’Reilly Automotive Inc.b | 19,552 | 4,774,403 | ||||||
Occidental Petroleum Corp. | 83,616 | 5,485,210 | ||||||
Oracle Corp. | 65,728 | 3,330,438 | ||||||
Paychex Inc. | 288,704 | 18,803,292 | ||||||
PepsiCo Inc. | 274,976 | 30,173,117 | ||||||
Pfizer Inc. | 605,696 | 21,992,822 | ||||||
PG&E Corp. | 101,088 | 4,153,706 | ||||||
Philip Morris International Inc. | 39,520 | 4,092,296 | ||||||
Procter & Gamble Co. (The) | 427,232 | 33,546,257 | ||||||
Progressive Corp. (The) | 141,856 | 8,168,068 | ||||||
Public Storage | 64,480 | 12,537,491 | ||||||
Raytheon Co. | 153,088 | 33,298,171 | ||||||
Realty Income Corp.a | 101,920 | 5,012,426 | ||||||
RenaissanceRe Holdings Ltd. | 59,904 | 7,684,485 | ||||||
Republic Services Inc. | 363,584 | 24,425,573 | ||||||
Rollins Inc. | 39,104 | 1,965,758 | ||||||
Ross Stores Inc. | 58,240 | 4,547,962 | ||||||
Sherwin-Williams Co. (The) | 7,488 | 3,007,031 | ||||||
Southern Co. (The) | 576,992 | 24,845,276 | ||||||
Starbucks Corp. | 191,360 | 10,926,656 | ||||||
Stryker Corp. | 127,296 | 20,642,319 | ||||||
Synopsys Inc.b | 209,248 | 17,717,028 | ||||||
Sysco Corp. | 126,880 | 7,568,392 | ||||||
Texas Instruments Inc. | 20,384 | 2,208,606 | ||||||
Time Warner Inc. | 88,192 | 8,198,328 | ||||||
TJX Companies Inc. (The) | 295,360 | 24,420,365 | ||||||
Travelers Companies Inc. (The) | 107,328 | 14,918,592 | ||||||
Tyson Foods Inc. Class A | 33,280 | 2,475,366 |
Security | Shares | Value | ||||||
UDR Inc. | 254,176 | $ | 8,545,397 | |||||
Ulta Beauty Inc.b | 8,320 | 1,691,872 | ||||||
United Parcel Service Inc. Class B | 124,800 | 13,030,368 | ||||||
UnitedHealth Group Inc. | 86,528 | 19,569,172 | ||||||
Varian Medical Systems Inc.b | 51,168 | 6,106,389 | ||||||
VeriSign Inc.b | 30,784 | 3,571,560 | ||||||
Verizon Communications Inc. | 585,728 | 27,962,655 | ||||||
Visa Inc. Class A | 274,976 | 33,805,549 | ||||||
VMware Inc. Class Aa,b | 70,304 | 9,262,552 | ||||||
Walmart Inc. | 265,824 | 23,926,818 | ||||||
Walt Disney Co. (The) | 35,776 | 3,690,652 | ||||||
Waste Management Inc. | 418,496 | 36,124,575 | ||||||
Waters Corp.b | 11,648 | 2,383,647 | ||||||
WEC Energy Group Inc. | 317,408 | 19,019,087 | ||||||
Welltower Inc. | 49,504 | 2,598,960 | ||||||
Westar Energy Inc. | 40,352 | 1,966,353 | ||||||
Worldpay Inc. Class Ab | 63,232 | 5,139,497 | ||||||
WR Berkley Corp. | 150,592 | 10,297,481 | ||||||
Xcel Energy Inc. | 438,048 | 18,958,717 | ||||||
|
| |||||||
1,958,591,035 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | 3,466,987,299 | |||||||
SHORT-TERM INVESTMENTS — 1.97% |
| |||||||
MONEY MARKET FUNDS — 1.97% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 63,759,914 | 63,766,290 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 4,724,502 | 4,724,502 | ||||||
|
| |||||||
68,490,792 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| 68,490,792 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS | $ | 3,535,478,091 | ||||||
Other Assets, Less Liabilities — (1.59)% |
| (55,347,028 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 3,480,131,063 | ||||||
|
|
ADR — American Depositary Receipts
NVDR — Non-Voting Depositary Receipts
NVS — Non-Voting Shares
a | All or a portion of this security is on loan. |
b | Non-income producing security. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 56,910,361 | 6,849,553 | b | — | 63,759,914 | $ | 63,766,290 | $ | 231,448 | c | $ | (5,766 | ) | $ | (9,204 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 2,465,143 | 2,259,359 | b | — | 4,724,502 | 4,724,502 | 33,643 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 68,490,792 | $ | 265,091 | $ | (5,766 | ) | $ | (9,204 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI EAFE E-Mini | 38 | Mar 2018 | $ | 3,869 | $ | (45,538 | ) | |||||||||
MSCI Emerging Markets E-Mini | 25 | Mar 2018 | 1,479 | 14,892 | ||||||||||||
S&P 500 E-Mini | 43 | Mar 2018 | 5,836 | 54,267 | ||||||||||||
|
| |||||||||||||||
Total |
| $ | 23,621 | |||||||||||||
|
| |||||||||||||||
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iShares® EDGE MSCI MIN VOL GLOBAL ETF
February 28, 2018
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, 2018. 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 | $ | 3,460,724,280 | $ | 6,263,015 | $ | 4 | $ | 3,466,987,299 | ||||||||
Money market funds | 68,490,792 | — | — | 68,490,792 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 3,529,215,072 | $ | 6,263,015 | $ | 4 | $ | 3,535,478,091 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa |
| |||||||||||||||
Assets |
| |||||||||||||||
Futures contracts | $ | 69,159 | $ | — | $ | — | $ | 69,159 | ||||||||
Liabilities |
| |||||||||||||||
Futures contracts | (45,538 | ) | — | — | (45,538 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 23,621 | $ | — | $ | — | $ | 23,621 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.95% |
| |||||||
BANKS — 31.04% |
| |||||||
Australia & New Zealand Banking Group Ltd. | 4,730,551 | $ | 107,086,506 | |||||
Bank of Queensland Ltd. | 632,614 | 6,226,142 | ||||||
Bendigo & Adelaide Bank Ltd. | 769,123 | 6,796,507 | ||||||
Commonwealth Bank of Australia | 2,822,256 | 168,000,199 | ||||||
National Australia Bank Ltd. | 4,324,801 | 101,709,670 | ||||||
Westpac Banking Corp. | 5,466,441 | 131,071,734 | ||||||
|
| |||||||
520,890,758 | ||||||||
BEVERAGES — 1.31% |
| |||||||
Coca-Cola Amatil Ltd. | 887,231 | 6,014,961 | ||||||
Treasury Wine Estates Ltd. | 1,170,268 | 15,958,801 | ||||||
|
| |||||||
21,973,762 | ||||||||
BIOTECHNOLOGY — 5.52% |
| |||||||
CSL Ltd. | 728,697 | 92,654,001 | ||||||
|
| |||||||
92,654,001 | ||||||||
CAPITAL MARKETS — 3.35% |
| |||||||
ASX Ltd. | 311,603 | 14,178,066 | ||||||
Macquarie Group Ltd. | 520,723 | 42,058,419 | ||||||
|
| |||||||
56,236,485 | ||||||||
CHEMICALS — 1.01% |
| |||||||
Incitec Pivot Ltd. | 2,724,547 | 8,067,794 | ||||||
Orica Ltd. | 607,554 | 8,829,591 | ||||||
|
| |||||||
16,897,385 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 1.14% |
| |||||||
Brambles Ltd. | 2,559,760 | 19,149,056 | ||||||
|
| |||||||
19,149,056 | ||||||||
CONSTRUCTION & ENGINEERING — 0.34% |
| |||||||
CIMIC Group Ltd. | 155,983 | 5,688,529 | ||||||
|
| |||||||
5,688,529 | ||||||||
CONSTRUCTION MATERIALS — 1.44% |
| |||||||
Boral Ltd. | 1,884,733 | 11,470,378 | ||||||
James Hardie Industries PLC | 710,349 | 12,648,379 | ||||||
|
| |||||||
24,118,757 | ||||||||
CONTAINERS & PACKAGING — 1.20% |
| |||||||
Amcor Ltd./Australia | 1,865,124 | 20,202,234 | ||||||
|
| |||||||
20,202,234 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 1.70% |
| |||||||
AMP Ltd. | 4,700,039 | 19,374,657 | ||||||
Challenger Ltd./Australia | 931,231 | 9,143,339 | ||||||
|
| |||||||
28,517,996 |
Security | Shares | Value | ||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.21% |
| |||||||
Telstra Corp. Ltd. | 6,703,732 | $ | 17,500,011 | |||||
TPG Telecom Ltd.a | 599,461 | 2,854,165 | ||||||
|
| |||||||
20,354,176 | ||||||||
ELECTRIC UTILITIES — 0.23% |
| |||||||
AusNet Services | 2,896,950 | 3,837,663 | ||||||
|
| |||||||
3,837,663 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 7.21% |
| |||||||
BGP Holdings PLCb,c | 18,888,372 | 230 | ||||||
Dexus | 1,637,008 | 11,863,440 | ||||||
Goodman Group | 2,900,034 | 18,553,384 | ||||||
GPT Group (The) | 2,901,331 | 10,761,706 | ||||||
Mirvac Group | 5,968,594 | 9,860,178 | ||||||
Scentre Group | 8,582,208 | 25,680,717 | ||||||
Stockland | 3,889,395 | 12,244,479 | ||||||
Vicinity Centres | 5,299,128 | 10,240,778 | ||||||
Westfield Corp. | 3,180,938 | 21,713,818 | ||||||
|
| |||||||
120,918,730 | ||||||||
FOOD & STAPLES RETAILING — 6.20% |
| |||||||
Wesfarmers Ltd. | 1,825,989 | 58,808,546 | ||||||
Woolworths Group Ltd. | 2,100,925 | 45,201,603 | ||||||
|
| |||||||
104,010,149 | ||||||||
GAS UTILITIES — 0.71% |
| |||||||
APA Group | 1,803,811 | 11,244,960 | ||||||
APA Group Newc | 106,106 | 661,465 | ||||||
|
| |||||||
11,906,425 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 0.79% |
| |||||||
Cochlear Ltd. | 92,575 | 13,266,377 | ||||||
|
| |||||||
13,266,377 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 1.65% |
| |||||||
Healthscope Ltd. | 2,795,819 | 4,117,634 | ||||||
Ramsay Health Care Ltd. | 227,742 | 11,340,204 | ||||||
Sonic Healthcare Ltd. | 640,485 | 12,227,902 | ||||||
|
| |||||||
27,685,740 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 2.46% |
| |||||||
Aristocrat Leisure Ltd. | 873,883 | 16,785,995 | ||||||
Crown Resorts Ltd. | 608,210 | 6,398,294 | ||||||
Domino’s Pizza Enterprises Ltd.a | 100,424 | 3,082,481 | ||||||
Flight Centre Travel Group Ltd.a | 88,832 | 4,000,359 | ||||||
Tabcorp Holdings Ltd. | 3,080,393 | 11,089,833 | ||||||
|
| |||||||
41,356,962 | ||||||||
INSURANCE — 4.46% |
| |||||||
Insurance Australia Group Ltd. | 3,814,570 | 24,374,534 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRALIA ETF
February 28, 2018
Security | Shares | Value | ||||||
Medibank Pvt Ltd. | 4,426,613 | $ | 10,934,721 | |||||
QBE Insurance Group Ltd. | 2,209,584 | 17,545,332 | ||||||
Suncorp Group Ltd. | 2,082,838 | 22,008,582 | ||||||
|
| |||||||
74,863,169 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.30% |
| |||||||
REA Group Ltd. | 84,816 | 5,088,491 | ||||||
|
| |||||||
5,088,491 | ||||||||
IT SERVICES — 0.62% |
| |||||||
Computershare Ltd. | 746,298 | 10,374,902 | ||||||
|
| |||||||
10,374,902 | ||||||||
METALS & MINING — 14.02% |
| |||||||
Alumina Ltd. | 3,939,511 | 6,845,798 | ||||||
BHP Billiton Ltd. | 5,172,257 | 122,929,699 | ||||||
BlueScope Steel Ltd. | 902,470 | 11,484,070 | ||||||
Fortescue Metals Group Ltd. | 2,502,488 | 9,828,323 | ||||||
Newcrest Mining Ltd. | 1,235,389 | 20,456,887 | ||||||
Rio Tinto Ltd. | 664,265 | 42,010,736 | ||||||
South32 Ltd. | 8,376,909 | 21,671,988 | ||||||
|
| |||||||
235,227,501 | ||||||||
MULTI-UTILITIES — 1.07% |
| |||||||
AGL Energy Ltd. | 1,056,172 | 17,991,265 | ||||||
|
| |||||||
17,991,265 | ||||||||
MULTILINE RETAIL — 0.17% |
| |||||||
Harvey Norman Holdings Ltd. | 891,010 | 2,784,222 | ||||||
|
| |||||||
2,784,222 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 5.40% |
| |||||||
Caltex Australia Ltd. | 419,991 | 11,510,369 | ||||||
Oil Search Ltd. | 2,207,133 | 12,985,310 | ||||||
Origin Energy Ltd.c | 2,827,073 | 19,937,123 | ||||||
Santos Ltd.c | 3,015,309 | 11,842,387 | ||||||
Woodside Petroleum Ltd. | 1,507,250 | 34,272,632 | ||||||
|
| |||||||
90,547,821 | ||||||||
PROFESSIONAL SERVICES — 0.50% |
| |||||||
Seek Ltd. | 535,327 | 8,430,675 | ||||||
|
| |||||||
8,430,675 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.74% |
| |||||||
LendLease Group | 891,128 | 12,395,247 | ||||||
|
| |||||||
12,395,247 |
Security | Shares | Value | ||||||
ROAD & RAIL — 0.69% |
| |||||||
Aurizon Holdings Ltd. | 3,243,785 | $ | 11,551,680 | |||||
|
| |||||||
11,551,680 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 2.47% |
| |||||||
Sydney Airport | 1,771,747 | 9,098,379 | ||||||
Transurban Group | 3,577,953 | 32,286,433 | ||||||
|
| |||||||
41,384,812 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,809,572,197) |
| 1,660,304,970 | ||||||
SHORT-TERM INVESTMENTS — 0.46% |
| |||||||
MONEY MARKET FUNDS — 0.46% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 7,499,021 | 7,499,771 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 171,691 | 171,691 | ||||||
|
| |||||||
7,671,462 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,671,773) |
| 7,671,462 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $1,817,243,970) |
| 1,667,976,432 | ||||||
Other Assets, Less Liabilities — 0.59% |
| 9,852,532 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 1,677,828,964 | |||||
|
|
a | All or a portion of this security is on loan. |
b | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
c | Non-income producing security. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI AUSTRALIA ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 6,985,447 | 513,574 | b | — | 7,499,021 | $ | 7,499,771 | $ | 41,771 | c | $ | (1,096 | ) | $ | (629 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 183,299 | — | (11,608 | )b | 171,691 | 171,691 | 9,672 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 7,671,462 | $ | 51,443 | $ | (1,096 | ) | $ | (629 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
ASX SPI 200 Index | 147 | Mar 2018 | $ | 17,185 | $ | 273,900 | ||||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 1,660,304,740 | $ | — | $ | 230 | $ | 1,660,304,970 | ||||||||
Money market funds | 7,671,462 | — | — | 7,671,462 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,667,976,202 | $ | — | $ | 230 | $ | 1,667,976,432 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 273,900 | $ | — | $ | — | $ | 273,900 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 273,900 | $ | — | $ | — | $ | 273,900 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.62% |
| |||||||
AEROSPACE & DEFENSE — 0.82% |
| |||||||
Bombardier Inc. Class Ba | 4,117,707 | $ | 13,047,091 | |||||
CAE Inc. | 574,893 | 10,615,342 | ||||||
|
| |||||||
23,662,433 | ||||||||
AUTO COMPONENTS — 1.60% |
| |||||||
Linamar Corp. | 104,175 | 5,712,206 | ||||||
Magna International Inc. | 732,006 | 40,332,168 | ||||||
|
| |||||||
46,044,374 | ||||||||
BANKS — 29.78% |
| |||||||
Bank of Montreal | 1,383,074 | 105,175,581 | ||||||
Bank of Nova Scotia (The) | 2,556,559 | 158,618,988 | ||||||
Canadian Imperial Bank of Commerce | 929,596 | 85,026,457 | ||||||
National Bank of Canada | 725,507 | 35,251,934 | ||||||
Royal Bank of Canada | 3,108,296 | 245,223,899 | ||||||
Toronto-Dominion Bank (The) | 3,939,604 | 227,518,396 | ||||||
|
| |||||||
856,815,255 | ||||||||
CAPITAL MARKETS — 3.90% |
| |||||||
Brookfield Asset Management Inc. Class A | 1,790,330 | 69,511,779 | ||||||
CI Financial Corp. | 586,472 | 13,062,716 | ||||||
IGM Financial Inc. | 183,622 | 5,616,066 | ||||||
Thomson Reuters Corp. | 607,060 | 23,953,606 | ||||||
|
| |||||||
112,144,167 | ||||||||
CHEMICALS — 2.69% |
| |||||||
Methanex Corp. | 178,831 | 9,885,355 | ||||||
Nutrien Ltd.a | 1,372,961 | 67,557,803 | ||||||
|
| |||||||
77,443,158 | ||||||||
CONSTRUCTION & ENGINEERING — 0.57% |
| |||||||
SNC-Lavalin Group Inc. | 375,332 | 16,306,811 | ||||||
|
| |||||||
16,306,811 | ||||||||
CONTAINERS & PACKAGING — 0.52% |
| |||||||
CCL Industries Inc. Class B | 298,450 | 14,876,499 | ||||||
|
| |||||||
14,876,499 | ||||||||
DIVERSIFIED FINANCIAL SERVICES — 0.55% |
| |||||||
Element Fleet Management Corp. | 831,239 | 3,159,273 | ||||||
Onex Corp. | 174,164 | 12,798,441 | ||||||
|
| |||||||
15,957,714 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.02% |
| |||||||
BCE Inc. | 326,010 | 14,247,911 | ||||||
TELUS Corp. | 418,187 | 15,117,198 | ||||||
|
| |||||||
29,365,109 |
Security | Shares | Value | ||||||
ELECTRIC UTILITIES — 1.51% |
| |||||||
Emera Inc. | 120,188 | $ | 3,884,173 | |||||
Fortis Inc./Canada | 891,913 | 29,186,336 | ||||||
Hydro One Ltd.b | 642,836 | 10,309,658 | ||||||
|
| |||||||
43,380,167 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 0.49% |
| |||||||
H&R REIT | 297,483 | 4,638,631 | ||||||
RioCan REIT | 344,248 | 6,310,833 | ||||||
SmartCentres Real Estate Investment Trust | 139,277 | 3,195,648 | ||||||
|
| |||||||
14,145,112 | ||||||||
FOOD & STAPLES RETAILING — 3.57% |
| |||||||
Alimentation Couche-Tard Inc. Class B | 918,976 | 44,745,708 | ||||||
Empire Co. Ltd. Class A | 367,610 | 6,816,571 | ||||||
George Weston Ltd. | 109,967 | 9,003,503 | ||||||
Jean Coutu Group PJC Inc. (The) Class A | 174,637 | 3,310,518 | ||||||
Loblaw Companies Ltd. | 456,011 | 23,459,824 | ||||||
Metro Inc. | 485,892 | 15,350,145 | ||||||
|
| |||||||
102,686,269 | ||||||||
FOOD PRODUCTS — 0.51% |
| |||||||
Saputo Inc.c | 456,437 | 14,608,406 | ||||||
|
| |||||||
14,608,406 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.98% |
| |||||||
Restaurant Brands International Inc. | 479,003 | 28,115,515 | ||||||
|
| |||||||
28,115,515 | ||||||||
INSURANCE — 8.51% |
| |||||||
Fairfax Financial Holdings Ltd. | 59,605 | 29,173,818 | ||||||
Great-West Lifeco Inc. | 634,849 | 16,776,046 | ||||||
Industrial Alliance Insurance & Financial Services Inc. | 227,921 | 9,674,658 | ||||||
Intact Financial Corp. | 297,593 | 23,050,771 | ||||||
Manulife Financial Corp. | 4,217,365 | 80,374,647 | ||||||
Power Corp. of Canada | 755,648 | 17,933,629 | ||||||
Power Financial Corp. | 531,868 | 13,905,317 | ||||||
Sun Life Financial Inc. | 1,304,728 | 53,824,421 | ||||||
|
| |||||||
244,713,307 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.90% |
| |||||||
Shopify Inc. Class Aa,c | 186,384 | 25,818,988 | ||||||
|
| |||||||
25,818,988 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CANADA ETF
February 28, 2018
Security | Shares | Value | ||||||
IT SERVICES — 1.10% |
| |||||||
CGI Group Inc. Class Aa | 540,031 | $ | 31,609,104 | |||||
|
| |||||||
31,609,104 | ||||||||
MEDIA — 0.61% |
| |||||||
Shaw Communications Inc. Class B | 912,526 | 17,690,050 | ||||||
|
| |||||||
17,690,050 | ||||||||
METALS & MINING — 6.97% |
| |||||||
Agnico Eagle Mines Ltd. | 494,942 | 18,884,547 | ||||||
Barrick Gold Corp. | 2,488,270 | 28,701,472 | ||||||
First Quantum Minerals Ltd. | 1,473,790 | 24,050,376 | ||||||
Franco-Nevada Corp. | 396,710 | 27,839,516 | ||||||
Goldcorp Inc. | 1,843,084 | 23,100,581 | ||||||
Kinross Gold Corp.a | 2,660,760 | 9,572,797 | ||||||
Lundin Mining Corp. | 1,388,623 | 9,049,051 | ||||||
Teck Resources Ltd. Class B | 1,214,569 | 34,787,281 | ||||||
Turquoise Hill Resources Ltd.a | 2,171,389 | 6,608,980 | ||||||
Wheaton Precious Metals Corp.c | 945,478 | 18,070,594 | ||||||
|
| |||||||
200,665,195 | ||||||||
MULTI-UTILITIES — 0.44% |
| |||||||
Atco Ltd./Canada Class I | 162,188 | 5,346,565 | ||||||
Canadian Utilities Ltd. Class A | 272,013 | 7,194,381 | ||||||
|
| |||||||
12,540,946 | ||||||||
MULTILINE RETAIL — 1.56% |
| |||||||
Canadian Tire Corp. Ltd. Class A | 136,078 | 18,520,032 | ||||||
Dollarama Inc. | 226,243 | 26,370,150 | ||||||
|
| |||||||
44,890,182 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 19.75% |
| |||||||
AltaGas Ltd. | 366,440 | 7,555,582 | ||||||
ARC Resources Ltd. | 746,020 | 7,207,810 | ||||||
Cameco Corp. | 845,214 | 7,466,986 | ||||||
Canadian Natural Resources Ltd. | 2,337,833 | 72,524,183 | ||||||
Cenovus Energy Inc. | 2,231,482 | 16,265,690 | ||||||
Crescent Point Energy Corp. | 1,160,321 | 8,358,187 | ||||||
Enbridge Inc. | 3,527,474 | 112,347,301 | ||||||
Encana Corp. | 2,079,354 | 21,842,670 | ||||||
Husky Energy Inc.a | 752,839 | 9,952,856 | ||||||
Imperial Oil Ltd. | 624,783 | 16,944,012 | ||||||
Inter Pipeline Ltd. | 797,590 | 13,887,098 | ||||||
Keyera Corp. | 427,032 | 10,897,839 | ||||||
Pembina Pipeline Corp. | 1,074,247 | 34,591,198 | ||||||
PrairieSky Royalty Ltd. | 454,901 | 10,107,333 | ||||||
Seven Generations Energy Ltd. Class Aa,c | 529,414 | 6,197,534 |
Security | Shares | Value | ||||||
Suncor Energy Inc. | 3,528,145 | $ | 116,306,118 | |||||
Tourmaline Oil Corp.a | 489,188 | 7,127,748 | ||||||
TransCanada Corp. | 1,857,220 | 80,443,056 | ||||||
Vermilion Energy Inc. | 245,917 | 8,112,469 | ||||||
|
| |||||||
568,135,670 | ||||||||
PAPER & FOREST PRODUCTS — 0.35% |
| |||||||
West Fraser Timber Co. Ltd. | 146,214 | 10,199,093 | ||||||
|
| |||||||
10,199,093 | ||||||||
PHARMACEUTICALS — 0.40% |
| |||||||
Valeant Pharmaceuticals International Inc.a | 705,114 | 11,561,591 | ||||||
|
| |||||||
11,561,591 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.18% |
| |||||||
First Capital Realty Inc. | 333,078 | 5,191,062 | ||||||
|
| |||||||
5,191,062 | ||||||||
ROAD & RAIL — 6.21% |
| |||||||
Canadian National Railway Co. | 1,591,076 | 123,277,813 | ||||||
Canadian Pacific Railway Ltd. | 309,064 | 55,355,826 | ||||||
|
| |||||||
178,633,639 | ||||||||
SOFTWARE — 2.12% |
| |||||||
BlackBerry Ltd.a,c | 1,080,730 | 13,132,217 | ||||||
Constellation Software Inc./Canada | 43,078 | 27,923,796 | ||||||
Open Text Corp. | 564,231 | 19,837,364 | ||||||
|
| |||||||
60,893,377 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.47% |
| |||||||
Gildan Activewear Inc. | 468,907 | 13,620,571 | ||||||
|
| |||||||
13,620,571 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.33% |
| |||||||
Finning International Inc. | 358,888 | 9,573,334 | ||||||
|
| |||||||
9,573,334 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 1.21% |
| |||||||
Rogers Communications Inc. Class B | 771,410 | 34,809,323 | ||||||
|
| |||||||
34,809,323 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,329,516,798) |
| 2,866,096,421 | ||||||
SHORT-TERM INVESTMENTS — 0.06% |
| |||||||
MONEY MARKET FUNDS — 0.06% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 997,231 | 997,331 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CANADA ETF
February 28, 2018
Security | Shares | Value | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%d,e | 629,153 | $ | 629,153 | |||||
|
| |||||||
1,626,484 | ||||||||
TOTAL SHORT-TERM INVESTMENTS |
| 1,626,484 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $3,331,143,182) | 2,867,722,905 | |||||||
Other Assets, Less Liabilities — 0.32% |
| 9,317,623 | ||||||
|
| |||||||
NET ASSETS — 100.00% | $ | 2,877,040,528 | ||||||
|
|
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 43,796,579 | — | (42,799,348 | )b | 997,231 | $ | 997,331 | $ | 35,956 | c | $ | (3,339 | ) | $ | (2,587 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 412,255 | 216,898 | b | — | 629,153 | 629,153 | 12,549 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 1,626,484 | $ | 48,505 | $ | (3,339 | ) | $ | (2,587 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
S&P/TSX 60 Index | 72 | Mar 2018 | $ | 10,257 | $ | (313,006 | ) | |||||||||
|
| |||||||||||||||
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI CANADA ETF
February 28, 2018
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, 2018. 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 | $ | 2,866,096,421 | $ | — | $ | — | $ | 2,866,096,421 | ||||||||
Money market funds | 1,626,484 | — | — | 1,626,484 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 2,867,722,905 | $ | — | $ | — | $ | 2,867,722,905 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa |
| |||||||||||||||
Liabilities |
| |||||||||||||||
Futures contracts | $ | (313,006 | ) | $ | — | $ | — | $ | (313,006 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (313,006 | ) | $ | — | $ | — | $ | (313,006 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.62% |
| |||||||
AIR FREIGHT & LOGISTICS — 0.24% |
| |||||||
Yamato Holdings Co. Ltd. | 2,221,200 | $ | 55,745,968 | |||||
|
| |||||||
55,745,968 | ||||||||
AIRLINES — 0.26% |
| |||||||
ANA Holdings Inc. | 740,400 | 29,857,469 | ||||||
Japan Airlines Co. Ltd. | 740,400 | 28,372,575 | ||||||
|
| |||||||
58,230,044 | ||||||||
AUTO COMPONENTS — 3.15% |
| |||||||
Aisin Seiki Co. Ltd. | 1,023,500 | 60,140,996 | ||||||
Bridgestone Corp. | 3,948,800 | 176,966,043 | ||||||
Denso Corp. | 2,961,600 | 174,440,336 | ||||||
Koito Manufacturing Co. Ltd. | 740,400 | 51,693,735 | ||||||
NGK Spark Plug Co. Ltd. | 987,200 | 25,275,577 | ||||||
NOK Corp. | 493,600 | 10,630,175 | ||||||
Stanley Electric Co. Ltd. | 740,400 | 29,246,858 | ||||||
Sumitomo Electric Industries Ltd. | 4,689,200 | 74,619,386 | ||||||
Sumitomo Rubber Industries Ltd. | 1,234,000 | 23,799,934 | ||||||
Toyoda Gosei Co. Ltd. | 493,600 | 12,064,184 | ||||||
Toyota Industries Corp. | 987,200 | 62,541,324 | ||||||
Yokohama Rubber Co. Ltd. (The) | 740,400 | 18,394,643 | ||||||
|
| |||||||
719,813,191 | ||||||||
AUTOMOBILES — 9.01% |
| |||||||
Honda Motor Co. Ltd. | 10,365,600 | 377,398,960 | ||||||
Isuzu Motors Ltd. | 3,455,600 | 54,632,840 | ||||||
Mazda Motor Corp. | 3,455,200 | 48,457,962 | ||||||
Mitsubishi Motors Corp. | 4,195,600 | 33,382,357 | ||||||
Nissan Motor Co. Ltd. | 14,067,600 | 148,315,918 | ||||||
Subaru Corp. | 3,724,100 | 131,925,383 | ||||||
Suzuki Motor Corp. | 2,080,500 | 119,832,744 | ||||||
Toyota Motor Corp. | 16,042,000 | 1,087,707,886 | ||||||
Yamaha Motor Co. Ltd. | 1,727,600 | 55,128,419 | ||||||
|
| |||||||
2,056,782,469 | ||||||||
BANKS — 7.18% |
| |||||||
Aozora Bank Ltd. | 740,400 | 30,495,834 | ||||||
Bank of Kyoto Ltd. (The) | 363,700 | 20,348,522 | ||||||
Chiba Bank Ltd. (The) | 3,815,000 | 31,748,465 | ||||||
Concordia Financial Group Ltd. | 7,650,800 | 44,884,502 | ||||||
Fukuoka Financial Group Inc. | 4,936,000 | 25,488,365 | ||||||
Hachijuni Bank Ltd. (The) | 2,468,000 | 15,010,843 |
Security | Shares | Value | ||||||
Japan Post Bank Co. Ltd. | 2,468,000 | $ | 33,907,389 | |||||
Kyushu Financial Group Inc. | 2,221,300 | 12,490,324 | ||||||
Mebuki Financial Group Inc. | 6,170,080 | 25,037,671 | ||||||
Mitsubishi UFJ Financial Group Inc. | 72,806,080 | 520,126,281 | ||||||
Mizuho Financial Group Inc. | 147,092,880 | 274,872,970 | ||||||
Resona Holdings Inc. | 13,574,000 | 77,852,847 | ||||||
Seven Bank Ltd. | 3,702,000 | 12,836,699 | ||||||
Shinsei Bank Ltd. | 987,200 | 15,690,841 | ||||||
Shizuoka Bank Ltd. (The) | 3,062,000 | 31,192,484 | ||||||
Sumitomo Mitsui Financial Group Inc. | 8,144,400 | 357,665,137 | ||||||
Sumitomo Mitsui Trust Holdings Inc. | 1,998,232 | 81,105,316 | ||||||
Suruga Bank Ltd. | 987,200 | 16,319,955 | ||||||
Yamaguchi Financial Group Inc. | 922,000 | 11,215,557 | ||||||
|
| |||||||
1,638,290,002 | ||||||||
BEVERAGES — 1.47% |
| |||||||
Asahi Group Holdings Ltd. | 2,468,000 | 127,002,371 | ||||||
Coca-Cola Bottlers Japan Holdings Inc. | 740,400 | 28,240,739 | ||||||
Kirin Holdings Co. Ltd. | 5,429,600 | 141,381,787 | ||||||
Suntory Beverage & Food Ltd. | 810,900 | 37,845,293 | ||||||
|
| |||||||
334,470,190 | ||||||||
BUILDING PRODUCTS — 1.38% |
| |||||||
Asahi Glass Co. Ltd. | 1,239,700 | 51,758,245 | ||||||
Daikin Industries Ltd. | 1,492,100 | 176,890,164 | ||||||
LIXIL Group Corp. | 1,727,600 | 42,435,121 | ||||||
TOTO Ltd. | 846,500 | 44,901,270 | ||||||
|
| |||||||
315,984,800 | ||||||||
CAPITAL MARKETS — 1.26% |
| |||||||
Daiwa Securities Group Inc. | 9,872,000 | 66,316,007 | ||||||
Japan Exchange Group Inc. | 3,208,400 | 55,806,105 | ||||||
Nomura Holdings Inc. | 22,212,000 | 137,304,111 | ||||||
SBI Holdings Inc./Japan | 1,234,010 | 28,668,861 | ||||||
|
| |||||||
288,095,084 | ||||||||
CHEMICALS — 4.57% |
| |||||||
Air Water Inc. | 987,200 | 19,770,830 | ||||||
Asahi Kasei Corp. | 7,650,800 | 99,197,618 | ||||||
Daicel Corp. | 1,727,600 | 19,930,421 | ||||||
Hitachi Chemical Co. Ltd. | 740,400 | 16,646,077 | ||||||
JSR Corp. | 1,234,000 | 29,952,298 | ||||||
Kaneka Corp. | 1,370,000 | 14,007,497 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
Kansai Paint Co. Ltd. | 1,234,000 | $ | 31,224,404 | |||||
Kuraray Co. Ltd. | 2,221,200 | 39,009,688 | ||||||
Mitsubishi Chemical Holdings Corp. | 8,884,800 | 91,091,994 | ||||||
Mitsubishi Gas Chemical Co. Inc. | 1,015,700 | 25,510,295 | ||||||
Mitsui Chemicals Inc. | 1,052,200 | 32,392,831 | ||||||
Nippon Paint Holdings Co. Ltd. | 987,200 | 36,174,050 | ||||||
Nissan Chemical Industries Ltd. | 740,400 | 29,559,102 | ||||||
Nitto Denko Corp. | 996,800 | 83,168,646 | ||||||
Shin-Etsu Chemical Co. Ltd. | 2,337,600 | 249,193,571 | ||||||
Sumitomo Chemical Co. Ltd. | 9,872,000 | 61,893,707 | ||||||
Taiyo Nippon Sanso Corp. | 740,400 | 10,900,786 | ||||||
Teijin Ltd. | 1,234,000 | 24,482,246 | ||||||
Toray Industries Inc. | 8,884,800 | 90,425,873 | ||||||
Tosoh Corp. | 1,764,200 | 37,200,225 | ||||||
|
| |||||||
1,041,732,159 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.84% |
| |||||||
Dai Nippon Printing Co. Ltd. | 1,583,100 | 33,396,355 | ||||||
Park24 Co. Ltd. | 740,400 | 17,860,359 | ||||||
Secom Co. Ltd. | 1,241,800 | 89,377,480 | ||||||
Sohgo Security Services Co. Ltd. | 493,600 | 23,406,738 | ||||||
Toppan Printing Co. Ltd. | 3,113,000 | 26,810,806 | ||||||
|
| |||||||
190,851,738 | ||||||||
CONSTRUCTION & ENGINEERING — 0.96% |
| |||||||
JGC Corp. | 1,234,000 | 28,460,466 | ||||||
Kajima Corp. | 5,242,000 | 50,206,869 | ||||||
Obayashi Corp. | 3,948,800 | 44,926,135 | ||||||
Shimizu Corp. | 3,455,200 | 32,316,101 | ||||||
Taisei Corp. | 1,257,900 | 64,247,739 | ||||||
|
| |||||||
220,157,310 | ||||||||
CONSTRUCTION MATERIALS — 0.12% |
| |||||||
Taiheiyo Cement Corp. | 740,400 | 27,755,026 | ||||||
|
| |||||||
27,755,026 | ||||||||
CONSUMER FINANCE — 0.20% |
| |||||||
Acom Co. Ltd.a,b | 2,468,000 | 11,240,785 | ||||||
AEON Financial Service Co. Ltd. | 740,470 | 17,362,410 | ||||||
Credit Saison Co. Ltd. | 987,200 | 17,106,348 | ||||||
|
| |||||||
45,709,543 | ||||||||
CONTAINERS & PACKAGING — 0.06% |
| |||||||
Toyo Seikan Group Holdings Ltd. | 987,200 | 14,756,422 | ||||||
|
| |||||||
14,756,422 | ||||||||
DIVERSIFIED CONSUMER SERVICES — 0.08% |
| |||||||
Benesse Holdings Inc. | 493,600 | 17,832,604 | ||||||
|
| |||||||
17,832,604 |
Security | Shares | Value | ||||||
DIVERSIFIED FINANCIAL SERVICES — 0.72% |
| |||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. | 2,714,800 | $ | 17,376,959 | |||||
ORIX Corp. | 8,144,400 | 145,783,272 | ||||||
|
| |||||||
163,160,231 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.86% |
| |||||||
Nippon Telegraph & Telephone Corp. | 4,219,200 | 196,992,216 | ||||||
|
| |||||||
196,992,216 | ||||||||
ELECTRIC UTILITIES — 0.98% |
| |||||||
Chubu Electric Power Co. Inc. | 3,948,800 | 54,048,286 | ||||||
Chugoku Electric Power Co. Inc. (The) | 1,727,600 | 20,254,230 | ||||||
Kansai Electric Power Co. Inc. (The) | 4,195,600 | 51,312,103 | ||||||
Kyushu Electric Power Co. Inc. | 2,468,000 | 27,778,155 | ||||||
Tohoku Electric Power Co. Inc. | 2,714,800 | 35,720,718 | ||||||
Tokyo Electric Power Co. Holdings Inc.a | 8,638,000 | 33,352,289 | ||||||
|
| |||||||
222,465,781 | ||||||||
ELECTRICAL EQUIPMENT — 2.09% |
| |||||||
Fuji Electric Co. Ltd. | 2,935,000 | 22,499,695 | ||||||
Mabuchi Motor Co. Ltd. | 270,000 | 13,992,784 | ||||||
Mitsubishi Electric Corp. | 11,846,400 | 201,723,526 | ||||||
Nidec Corp. | 1,480,800 | 239,525,870 | ||||||
|
| |||||||
477,741,875 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 5.65% |
| |||||||
Alps Electric Co. Ltd. | 1,234,700 | 34,192,760 | ||||||
Hamamatsu Photonics KK | 987,200 | 39,643,428 | ||||||
Hirose Electric Co. Ltd. | 246,860 | 36,900,023 | ||||||
Hitachi High-Technologies Corp. | 493,600 | 24,285,647 | ||||||
Hitachi Ltd. | 29,616,000 | 227,036,109 | ||||||
Keyence Corp. | 579,652 | 354,565,260 | ||||||
Kyocera Corp. | 1,974,400 | 117,551,785 | ||||||
Murata Manufacturing Co. Ltd. | 1,132,500 | 159,041,399 | ||||||
Nippon Electric Glass Co. Ltd. | 493,700 | 15,060,152 | ||||||
Omron Corp. | 1,234,000 | 73,550,818 | ||||||
Shimadzu Corp. | 1,481,500 | 38,250,621 | ||||||
TDK Corp. | 759,200 | 69,512,994 | ||||||
Yaskawa Electric Corp. | 1,480,800 | 69,526,339 | ||||||
Yokogawa Electric Corp. | 1,480,800 | 30,225,223 | ||||||
|
| |||||||
1,289,342,558 |
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 1.05% |
| |||||||
Daiwa House REIT Investment Corp. | 9,872 | $ | 23,786,057 | |||||
Japan Prime Realty Investment Corp. | 4,936 | 17,023,082 | ||||||
Japan Real Estate Investment Corp. | 7,404 | 38,440,710 | ||||||
Japan Retail Fund Investment Corp. | 14,808 | 28,490,534 | ||||||
Nippon Building Fund Inc. | 7,811 | 42,457,055 | ||||||
Nippon Prologis REIT Inc. | 12,340 | 27,986,318 | ||||||
Nomura Real Estate Master Fund Inc. | 22,212 | 30,475,018 | ||||||
United Urban Investment Corp. | 19,744 | 31,233,655 | ||||||
|
| |||||||
239,892,429 | ||||||||
FOOD & STAPLES RETAILING — 1.64% |
| |||||||
Aeon Co. Ltd. | 3,702,400 | 62,681,089 | ||||||
FamilyMart UNY Holdings Co. Ltd. | 493,600 | 37,423,026 | ||||||
Lawson Inc. | 290,800 | 19,049,641 | ||||||
Seven & i Holdings Co. Ltd. | 4,689,280 | 196,044,029 | ||||||
Sundrug Co. Ltd. | 493,600 | 22,874,767 | ||||||
Tsuruha Holdings Inc. | 246,800 | 35,896,500 | ||||||
|
| |||||||
373,969,052 | ||||||||
FOOD PRODUCTS — 1.34% |
| |||||||
Ajinomoto Co. Inc. | 3,208,400 | 58,842,967 | ||||||
Calbee Inc. | 495,400 | 16,620,889 | ||||||
Kikkoman Corp. | 987,200 | 39,412,136 | ||||||
MEIJI Holdings Co. Ltd. | 740,456 | 54,334,572 | ||||||
NH Foods Ltd. | 854,000 | 19,248,114 | ||||||
Nisshin Seifun Group Inc. | 1,234,075 | 24,541,560 | ||||||
Nissin Foods Holdings Co. Ltd. | 329,100 | 22,576,374 | ||||||
Toyo Suisan Kaisha Ltd. | 493,600 | 19,382,260 | ||||||
Yakult Honsha Co. Ltd. | 514,900 | 37,011,227 | ||||||
Yamazaki Baking Co. Ltd. | 740,400 | 14,522,817 | ||||||
|
| |||||||
306,492,916 | ||||||||
GAS UTILITIES — 0.53% |
| |||||||
Osaka Gas Co. Ltd. | 2,242,300 | 44,507,674 | ||||||
Toho Gas Co. Ltd. | 493,600 | 14,525,130 | ||||||
Tokyo Gas Co. Ltd. | 2,468,000 | 62,101,870 | ||||||
|
| |||||||
121,134,674 | ||||||||
HEALTH CARE EQUIPMENT & SUPPLIES — 1.74% |
| |||||||
CYBERDYNE Inc.a,b | 493,600 | 7,415,218 |
Security | Shares | Value | ||||||
Hoya Corp. | 2,468,000 | $ | 131,165,625 | |||||
Olympus Corp. | 1,733,900 | 69,953,981 | ||||||
Sysmex Corp. | 987,200 | 82,432,426 | ||||||
Terumo Corp. | 1,974,400 | 106,764,331 | ||||||
|
| |||||||
397,731,581 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.30% |
| |||||||
Alfresa Holdings Corp. | 1,234,000 | 27,859,107 | ||||||
Medipal Holdings Corp. | 987,200 | 20,261,169 | ||||||
Suzuken Co. Ltd./Aichi Japan | 493,640 | 20,262,810 | ||||||
|
| |||||||
68,383,086 | ||||||||
HEALTH CARE TECHNOLOGY — 0.21% |
| |||||||
M3 Inc. | 1,234,000 | 48,340,003 | ||||||
|
| |||||||
48,340,003 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.65% |
| |||||||
McDonald’s Holdings Co. Japan Ltd. | 493,600 | 22,088,374 | ||||||
Oriental Land Co. Ltd./Japan | 1,282,100 | 125,200,150 | ||||||
|
| |||||||
147,288,524 | ||||||||
HOUSEHOLD DURABLES — 3.72% |
| |||||||
Casio Computer Co. Ltd. | 1,234,400 | 18,358,960 | ||||||
Iida Group Holdings Co. Ltd. | 987,280 | 18,717,656 | ||||||
Nikon Corp. | 1,974,400 | 40,374,310 | ||||||
Panasonic Corp. | 13,574,015 | 213,395,906 | ||||||
Rinnai Corp. | 246,800 | 22,227,150 | ||||||
Sekisui Chemical Co. Ltd. | 2,468,000 | 46,836,605 | ||||||
Sekisui House Ltd. | 3,455,200 | 60,843,642 | ||||||
Sharp Corp./Japana,b | 987,200 | 34,693,782 | ||||||
Sony Corp. | 7,699,600 | 392,682,847 | ||||||
|
| |||||||
848,130,858 | ||||||||
HOUSEHOLD PRODUCTS — 0.43% |
| |||||||
Lion Corp. | 1,480,800 | 27,963,188 | ||||||
Unicharm Corp. | 2,468,000 | 69,456,952 | ||||||
|
| |||||||
97,420,140 | ||||||||
INDEPENDENT POWER AND RENEWABLE ELECTRICITY PRODUCERS — 0.11% |
| |||||||
Electric Power Development Co. Ltd. | 987,200 | 25,183,060 | ||||||
|
| |||||||
25,183,060 | ||||||||
INDUSTRIAL CONGLOMERATES — 0.70% |
| |||||||
Keihan Holdings Co. Ltd. | 493,600 | 15,519,685 | ||||||
Seibu Holdings Inc. | 1,480,800 | 25,340,338 | ||||||
Toshiba Corp.a | 39,817,000 | 118,288,637 | ||||||
|
| |||||||
159,148,660 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
INSURANCE — 3.05% |
| |||||||
Dai-ichi Life Holdings Inc. | 6,664,700 | $ | 133,162,836 | |||||
Japan Post Holdings Co. Ltd. | 9,625,200 | 116,453,148 | ||||||
MS&AD Insurance Group Holdings Inc. | 2,961,640 | 92,480,994 | ||||||
Sompo Holdings Inc. | 2,221,250 | 86,243,745 | ||||||
Sony Financial Holdings Inc. | 987,200 | 18,503,350 | ||||||
T&D Holdings Inc. | 3,208,400 | 53,505,907 | ||||||
Tokio Marine Holdings Inc. | 4,195,600 | 195,261,231 | ||||||
|
| |||||||
695,611,211 | ||||||||
INTERNET & DIRECT MARKETING RETAIL — 0.37% |
| |||||||
Rakuten Inc. | 5,676,400 | 51,989,557 | ||||||
Start Today Co. Ltd. | 1,234,700 | 32,214,093 | ||||||
|
| |||||||
84,203,650 | ||||||||
INTERNET SOFTWARE & SERVICES — 0.36% |
| |||||||
DeNA Co. Ltd. | 740,400 | 13,565,269 | ||||||
Kakaku.com Inc. | 987,200 | 16,847,300 | ||||||
Mixi Inc. | 251,900 | 10,233,696 | ||||||
Yahoo Japan Corp. | 8,884,800 | 41,299,478 | ||||||
|
| |||||||
81,945,743 | ||||||||
IT SERVICES — 0.94% |
| |||||||
Fujitsu Ltd. | 12,340,000 | 74,464,421 | ||||||
Nomura Research Institute Ltd. | 773,304 | 34,931,121 | ||||||
NTT Data Corp. | 3,702,000 | 38,579,485 | ||||||
Obic Co. Ltd. | 493,600 | 41,354,988 | ||||||
Otsuka Corp. | 270,800 | 25,302,245 | ||||||
|
| |||||||
214,632,260 | ||||||||
LEISURE PRODUCTS — 0.78% |
| |||||||
Bandai Namco Holdings Inc. | 1,234,098 | 40,074,500 | ||||||
Sankyo Co. Ltd. | 246,800 | 8,881,608 | ||||||
Sega Sammy Holdings Inc. | 987,200 | 14,423,362 | ||||||
Shimano Inc. | 493,600 | 71,607,966 | ||||||
Yamaha Corp. | 987,200 | 43,760,424 | ||||||
|
| |||||||
178,747,860 | ||||||||
MACHINERY — 6.04% |
| |||||||
Amada Holdings Co. Ltd. | 1,974,400 | 26,570,811 | ||||||
Daifuku Co. Ltd. | 593,600 | 39,274,786 | ||||||
FANUC Corp. | 1,149,700 | 294,253,381 | ||||||
Hino Motors Ltd. | 1,480,800 | 19,636,681 | ||||||
Hitachi Construction Machinery Co. Ltd. | 740,400 | 31,883,586 | ||||||
Hoshizaki Corp. | 301,300 | 27,333,152 | ||||||
IHI Corp. | 987,200 | 33,861,131 | ||||||
JTEKT Corp. | 1,480,800 | 23,092,181 |
Security | Shares | Value | ||||||
Kawasaki Heavy Industries Ltd. | 987,200 | $ | 36,266,567 | |||||
Komatsu Ltd. | 5,676,400 | 208,319,970 | ||||||
Kubota Corp. | 6,416,800 | 117,084,575 | ||||||
Kurita Water Industries Ltd. | 493,600 | 15,242,135 | ||||||
Makita Corp. | 1,480,800 | 70,358,990 | ||||||
MINEBEA MITSUMI Inc. | 2,468,000 | 56,897,802 | ||||||
Mitsubishi Heavy Industries Ltd. | 1,974,400 | 81,081,681 | ||||||
Nabtesco Corp. | 740,400 | 32,230,523 | ||||||
NGK Insulators Ltd. | 1,480,800 | 27,810,536 | ||||||
NSK Ltd. | 2,353,000 | 35,480,783 | ||||||
SMC Corp./Japan | 329,300 | 138,966,112 | ||||||
Sumitomo Heavy Industries Ltd. | 740,400 | 29,316,246 | ||||||
THK Co. Ltd. | 741,000 | 32,499,695 | ||||||
|
| |||||||
1,377,461,324 | ||||||||
MARINE — 0.20% |
| |||||||
Mitsui OSK Lines Ltd. | 740,400 | 23,383,609 | ||||||
Nippon Yusen KKa | 987,200 | 21,574,907 | ||||||
|
| |||||||
44,958,516 | ||||||||
MEDIA — 0.46% |
| |||||||
Dentsu Inc. | 1,290,900 | 59,823,818 | ||||||
Hakuhodo DY Holdings Inc. | 1,481,500 | 21,548,081 | ||||||
Toho Co. Ltd./Tokyo | 740,400 | 24,112,179 | ||||||
|
| |||||||
105,484,078 | ||||||||
METALS & MINING — 1.45% |
| |||||||
Hitachi Metals Ltd. | 1,234,000 | 15,912,881 | ||||||
JFE Holdings Inc. | 3,208,450 | 74,795,177 | ||||||
Kobe Steel Ltd.a | 1,980,000 | 22,081,439 | ||||||
Maruichi Steel Tube Ltd. | 293,700 | 9,275,751 | ||||||
Mitsubishi Materials Corp. | 740,400 | 23,383,609 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 4,689,670 | 112,357,822 | ||||||
Sumitomo Metal Mining Co. Ltd. | 1,525,100 | 71,920,746 | ||||||
|
| |||||||
329,727,425 | ||||||||
MULTILINE RETAIL — 0.76% |
| |||||||
Don Quijote Holdings Co. Ltd. | 740,400 | 41,701,926 | ||||||
Isetan Mitsukoshi Holdings Ltd. | 1,974,460 | 23,351,938 | ||||||
J Front Retailing Co. Ltd. | 1,480,800 | 27,075,027 | ||||||
Marui Group Co. Ltd. | 1,234,000 | 23,834,628 | ||||||
Ryohin Keikaku Co. Ltd. | 123,100 | 42,281,196 | ||||||
Takashimaya Co. Ltd. | 1,522,000 | 15,533,087 | ||||||
|
| |||||||
173,777,802 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 1.02% |
| |||||||
Idemitsu Kosan Co. Ltd. | 740,400 | 28,622,370 | ||||||
Inpex Corp. | 5,923,200 | 72,801,432 |
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
JXTG Holdings Inc. | 18,756,895 | $ | 115,313,464 | |||||
Showa Shell Sekiyu KK | 1,234,000 | 16,109,479 | ||||||
|
| |||||||
232,846,745 | ||||||||
PAPER & FOREST PRODUCTS — 0.14% |
| |||||||
Oji Holdings Corp. | 4,936,000 | 32,473,380 | ||||||
|
| |||||||
32,473,380 | ||||||||
PERSONAL PRODUCTS — 1.79% |
| |||||||
Kao Corp. | 3,001,900 | 220,897,979 | ||||||
Kose Corp. | 145,400 | 27,443,475 | ||||||
Pola Orbis Holdings Inc. | 513,000 | 21,706,527 | ||||||
Shiseido Co. Ltd. | 2,285,800 | 138,405,452 | ||||||
|
| |||||||
408,453,433 | ||||||||
PHARMACEUTICALS — 5.12% |
| |||||||
Astellas Pharma Inc. | 12,586,850 | 186,434,717 | ||||||
Chugai Pharmaceutical Co. Ltd. | 1,480,800 | 77,020,196 | ||||||
Daiichi Sankyo Co. Ltd. | 3,455,669 | 123,323,064 | ||||||
Eisai Co. Ltd. | 1,727,600 | 92,220,698 | ||||||
Hisamitsu Pharmaceutical Co. Inc. | 307,400 | 22,297,699 | ||||||
Kyowa Hakko Kirin Co. Ltd. | 1,480,800 | 31,501,954 | ||||||
Mitsubishi Tanabe Pharma Corp. | 1,234,000 | 26,540,743 | ||||||
Ono Pharmaceutical Co. Ltd. | 2,476,900 | 72,655,424 | ||||||
Otsuka Holdings Co. Ltd. | 2,468,000 | 124,527,548 | ||||||
Santen Pharmaceutical Co. Ltd. | 2,221,200 | 35,803,983 | ||||||
Shionogi & Co. Ltd. | 1,769,400 | 92,710,889 | ||||||
Sumitomo Dainippon Pharma Co. Ltd. | 987,200 | 15,200,502 | ||||||
Taisho Pharmaceutical Holdings Co. Ltd. | 142,700 | 13,079,106 | ||||||
Takeda Pharmaceutical Co. Ltd. | 4,442,400 | 254,458,074 | ||||||
|
| |||||||
1,167,774,597 | ||||||||
PROFESSIONAL SERVICES — 0.82% |
| |||||||
Persol Holdings Co. Ltd. | 987,200 | 25,451,358 | ||||||
Recruit Holdings Co. Ltd. | 6,663,600 | 161,867,309 | ||||||
|
| |||||||
187,318,667 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 2.82% |
| |||||||
Aeon Mall Co. Ltd. | 740,400 | 15,521,998 | ||||||
Daito Trust Construction Co. Ltd. | 384,200 | 63,910,314 | ||||||
Daiwa House Industry Co. Ltd. | 3,455,200 | 128,778,693 | ||||||
Hulic Co. Ltd. | 1,727,600 | 19,331,375 | ||||||
Mitsubishi Estate Co. Ltd. | 7,650,800 | 134,474,255 | ||||||
Mitsui Fudosan Co. Ltd. | 5,429,600 | 131,179,502 |
Security | Shares | Value | ||||||
Nomura Real Estate Holdings Inc. | 740,400 | $ | 17,957,502 | |||||
Sumitomo Realty & Development Co. Ltd. | 2,468,000 | 90,226,962 | ||||||
Tokyo Tatemono Co. Ltd. | 1,234,000 | 19,231,920 | ||||||
Tokyu Fudosan Holdings Corp. | 2,961,600 | 21,981,980 | ||||||
|
| |||||||
642,594,501 | ||||||||
ROAD & RAIL — 3.58% |
| |||||||
Central Japan Railway Co. | 855,700 | 159,985,146 | ||||||
East Japan Railway Co. | 1,999,200 | 188,481,814 | ||||||
Hankyu Hanshin Holdings Inc. | 1,480,800 | 55,510,051 | ||||||
Keikyu Corp. | 1,480,800 | 26,617,070 | ||||||
Keio Corp. | 740,400 | 32,577,461 | ||||||
Keisei Electric Railway Co. Ltd. | 762,700 | 25,017,103 | ||||||
Kintetsu Group Holdings Co. Ltd. | 1,090,600 | 42,109,292 | ||||||
Kyushu Railway Co. | 987,200 | 30,530,528 | ||||||
Nagoya Railroad Co. Ltd. | 1,107,200 | 28,358,349 | ||||||
Nippon Express Co. Ltd. | 493,600 | 33,306,031 | ||||||
Odakyu Electric Railway Co. Ltd. | 1,727,600 | 35,327,522 | ||||||
Tobu Railway Co. Ltd. | 1,234,000 | 38,278,806 | ||||||
Tokyu Corp. | 3,233,200 | 51,904,518 | ||||||
West Japan Railway Co. | 987,200 | 68,841,715 | ||||||
|
| |||||||
816,845,406 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 1.64% |
| |||||||
Disco Corp. | 144,500 | 34,139,403 | ||||||
Renesas Electronics Corp.a | 4,195,600 | 48,638,369 | ||||||
Rohm Co. Ltd. | 539,700 | 57,507,980 | ||||||
Sumco Corp. | 1,480,800 | 40,008,869 | ||||||
Tokyo Electron Ltd. | 987,252 | 194,850,543 | ||||||
|
| |||||||
375,145,164 | ||||||||
SOFTWARE — 1.99% |
| |||||||
Konami Holdings Corp. | 546,500 | 28,937,022 | ||||||
LINE Corp.a | 247,700 | 10,086,280 | ||||||
Nexon Co. Ltd.a | 1,234,700 | 44,896,078 | ||||||
Nintendo Co. Ltd. | 672,300 | 309,230,908 | ||||||
Oracle Corp. Japan | 246,800 | 19,243,484 | ||||||
Trend Micro Inc./Japan | 740,400 | 42,187,639 | ||||||
|
| |||||||
454,581,411 | ||||||||
SPECIALTY RETAIL — 1.34% |
| |||||||
ABC-Mart Inc. | 246,800 | 15,727,848 | ||||||
Fast Retailing Co. Ltd. | 309,400 | 123,435,247 | ||||||
Hikari Tsushin Inc. | 93,100 | 13,506,284 | ||||||
Nitori Holdings Co. Ltd. | 493,600 | 83,334,464 |
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Security | Shares | Value | ||||||
Shimamura Co. Ltd. | 108,100 | $ | 12,906,555 | |||||
USS Co. Ltd. | 1,480,800 | 30,697,058 | ||||||
Yamada Denki Co. Ltd. | 3,948,800 | 25,053,536 | ||||||
|
| |||||||
304,660,992 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 2.39% |
| |||||||
Brother Industries Ltd. | 1,480,800 | 37,274,999 | ||||||
Canon Inc. | 6,472,950 | 248,471,985 | ||||||
FUJIFILM Holdings Corp. | 2,468,000 | 103,549,375 | ||||||
Konica Minolta Inc. | 2,962,300 | 27,511,731 | ||||||
NEC Corp. | 1,642,900 | 50,193,093 | ||||||
Ricoh Co. Ltd. | 4,195,600 | 45,453,480 | ||||||
Seiko Epson Corp. | 1,727,600 | 33,255,147 | ||||||
|
| |||||||
545,709,810 | ||||||||
TEXTILES, APPAREL & LUXURY GOODS — 0.07% |
| |||||||
Asics Corp. | 987,200 | 15,811,113 | ||||||
|
| |||||||
15,811,113 | ||||||||
TOBACCO — 0.84% |
| |||||||
Japan Tobacco Inc. | 6,721,300 | 191,992,150 | ||||||
|
| |||||||
191,992,150 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 4.06% |
| |||||||
ITOCHU Corp. | 9,131,600 | 176,804,139 | ||||||
Marubeni Corp. | 10,118,800 | 77,731,881 | ||||||
MISUMI Group Inc. | 1,727,600 | 50,190,338 | ||||||
Mitsubishi Corp. | 9,131,600 | 258,103,234 | ||||||
Mitsui & Co. Ltd. | 10,365,600 | 189,573,763 | ||||||
Sumitomo Corp. | 7,157,200 | 126,704,004 | ||||||
Toyota Tsusho Corp. | 1,234,000 | 46,200,553 | ||||||
|
| |||||||
925,307,912 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 0.11% |
| |||||||
Japan Airport Terminal Co. Ltd. | 246,800 | 9,367,321 | ||||||
Kamigumi Co. Ltd. | 740,400 | 16,299,139 | ||||||
|
| |||||||
25,666,460 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 3.98% |
| |||||||
KDDI Corp. | 11,106,000 | 274,306,387 | ||||||
NTT DOCOMO Inc. | 8,391,200 | 215,864,711 | ||||||
SoftBank Group Corp. | 5,024,800 | 418,870,681 | ||||||
|
| |||||||
909,041,779 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $20,713,590,423) | 22,731,797,583 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.17% |
| |||||||
MONEY MARKET FUNDS — 0.17% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 34,703,366 | $ | 34,706,836 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 3,566,449 | 3,566,449 | ||||||
|
| |||||||
38,273,285 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS | ||||||||
(Cost: $38,271,158) | 38,273,285 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $20,751,861,581) | 22,770,070,868 | |||||||
Other Assets, Less Liabilities — 0.21% |
| 48,850,792 | ||||||
|
| |||||||
NET ASSETS — 100.00% | $ | 22,818,921,660 | ||||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI JAPAN ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, |
| |||||||||||||||||||||||||||||||
SL Agency Shares | 40,539,970 | — | (5,836,604 | )b | 34,703,366 | $ | 34,706,836 | $ | 2,253,488 | c | $ | (5,338 | ) | $ | (4,685 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, |
| |||||||||||||||||||||||||||||||
SL Agency Shares | 5,281,032 | — | (1,714,583 | )b | 3,566,449 | 3,566,449 | 70,791 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 38,273,285 | $ | 2,324,279 | $ | (5,338 | ) | $ | (4,685 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
TOPIX Index | 500 | Mar 2018 | $ | 82,845 | $ | (857,895 | ) | |||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 22,731,797,583 | $ | — | $ | — | $ | 22,731,797,583 | ||||||||
Money market funds | 38,273,285 | — | — | 38,273,285 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 22,770,070,868 | $ | — | $ | — | $ | 22,770,070,868 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa |
| |||||||||||||||
Liabilities |
| |||||||||||||||
Futures contracts | $ | (857,895 | ) | $ | — | $ | — | $ | (857,895 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (857,895 | ) | $ | — | $ | — | $ | (857,895 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
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)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.77% |
| |||||||
AIRLINES — 0.70% |
| |||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa,b | 4,002,900 | $ | 3,560,113 | |||||
Grupo Aeromexico SAB de CVa | 1,888,743 | 2,923,162 | ||||||
|
| |||||||
6,483,275 | ||||||||
AUTO COMPONENTS — 0.24% |
| |||||||
Rassini SAB de CV | 534,299 | 2,201,537 | ||||||
|
| |||||||
2,201,537 | ||||||||
BANKS — 13.35% |
| |||||||
Banco del Bajio SAa,c | 3,924,830 | 8,539,475 | ||||||
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand Class B | 10,271,350 | 14,486,703 | ||||||
Banregio Grupo Financiero SAB de CV | 1,424,800 | 8,771,427 | ||||||
Grupo Financiero Banorte SAB de CV Series O | 11,282,794 | 67,671,647 | ||||||
Grupo Financiero Inbursa SAB de CV Series Ob | 12,858,392 | 20,527,629 | ||||||
Grupo Financiero Interacciones SA de CV Series O | 751,000 | 3,500,845 | ||||||
|
| |||||||
123,497,726 | ||||||||
BEVERAGES — 11.78% |
| |||||||
Arca Continental SAB de CV | 2,418,229 | 16,770,079 | ||||||
Coca-Cola Femsa SAB de CV Series L | 1,395,147 | 9,391,195 | ||||||
Fomento Economico Mexicano SAB de CV | 8,958,410 | 82,865,411 | ||||||
|
| |||||||
109,026,685 | ||||||||
BUILDING PRODUCTS — 0.35% |
| |||||||
Elementia SAB de CVa,c | 2,625,090 | 3,253,013 | ||||||
|
| |||||||
3,253,013 | ||||||||
CAPITAL MARKETS — 0.55% |
| |||||||
Bolsa Mexicana de Valores SAB de CV | 2,739,787 | 5,073,841 | ||||||
|
| |||||||
5,073,841 | ||||||||
CHEMICALS — 1.82% |
| |||||||
Mexichem SAB de CV | 6,013,218 | 16,840,963 | ||||||
|
| |||||||
16,840,963 | ||||||||
CONSTRUCTION MATERIALS — 4.25% |
| |||||||
Cemex SAB de CV CPOa | 59,603,029 | 39,330,986 | ||||||
|
| |||||||
39,330,986 |
Security | Shares | Value | ||||||
CONSUMER FINANCE — 1.24% |
| |||||||
Credito Real SAB de CV SOFOM ER | 1,747,374 | $ | 2,420,039 | |||||
Gentera SAB de CVb | 5,920,206 | 4,832,309 | ||||||
Unifin Financiera SAB de CV SOFOM ENR | 1,191,648 | 4,232,381 | ||||||
|
| |||||||
11,484,729 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 1.03% |
| |||||||
Axtel SAB de CV CPOa,b | 8,917,677 | 2,074,978 | ||||||
Telesites SAB de CVa,b | 9,510,046 | 7,490,289 | ||||||
|
| |||||||
9,565,267 | ||||||||
EQUITY REAL ESTATE INVESTMENT TRUSTS (REITS) — 5.23% |
| |||||||
Concentradora Fibra Danhos SA de CV | 1,925,600 | 3,107,782 | ||||||
Concentradora Fibra Hotelera Mexicana SA de CVc | 7,368,890 | 4,100,988 | ||||||
Fibra Uno Administracion SA de CV | 16,291,100 | 22,951,049 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 5,278,500 | 5,584,293 | ||||||
PLA Administradora Industrial S. de RL de CV | 5,198,700 | 7,786,891 | ||||||
Prologis Property Mexico SA de CV | 2,613,100 | 4,898,783 | ||||||
|
| |||||||
48,429,786 | ||||||||
FOOD & STAPLES RETAILING — 6.74% |
| |||||||
Grupo Comercial Chedraui SA de CV | 2,316,600 | 4,824,255 | ||||||
La Comer SAB de CVa,b | 3,790,555 | 3,767,048 | ||||||
Wal-Mart de Mexico SAB de CV | 23,048,533 | 53,751,813 | ||||||
|
| |||||||
62,343,116 | ||||||||
FOOD PRODUCTS — 5.56% |
| |||||||
Gruma SAB de CV Series B | 1,227,305 | 14,193,987 | ||||||
Grupo Bimbo SAB de CV | 9,083,504 | 21,236,729 | ||||||
Grupo Herdez SAB de CV | 1,729,344 | 4,233,762 | ||||||
Grupo Lala SAB de CVb | 3,881,000 | 5,679,462 | ||||||
Industrias Bachoco SAB de CV Series Bb | 1,249,900 | 6,072,287 | ||||||
|
| |||||||
51,416,227 | ||||||||
GAS UTILITIES — 1.43% |
| |||||||
Infraestructura Energetica Nova SAB de CV | 2,786,800 | 13,190,292 | ||||||
|
| |||||||
13,190,292 |
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MEXICO ETF
February 28, 2018
Security | Shares | Value | ||||||
HOTELS, RESTAURANTS & LEISURE — 1.65% |
| |||||||
Alsea SAB de CVb | 3,237,766 | $ | 11,027,659 | |||||
Hoteles City Express SAB de CVa,b | 2,910,000 | 4,230,736 | ||||||
|
| |||||||
15,258,395 | ||||||||
HOUSEHOLD DURABLES — 0.30% |
| |||||||
Consorcio ARA SAB de CV | 7,141,819 | 2,774,661 | ||||||
|
| |||||||
2,774,661 | ||||||||
HOUSEHOLD PRODUCTS — 1.70% |
| |||||||
Kimberly-Clark de Mexico SAB de CV Series A | 8,621,454 | 15,696,557 | ||||||
|
| |||||||
15,696,557 | ||||||||
INDUSTRIAL CONGLOMERATES — 3.05% |
| |||||||
Alfa SAB de CV Class A | 15,747,851 | 18,688,418 | ||||||
Grupo Carso SAB de CV Series A1b | 2,725,533 | 9,561,829 | ||||||
|
| |||||||
28,250,247 | ||||||||
INSURANCE — 0.54% |
| |||||||
Qualitas Controladora SAB de CV | 1,887,100 | 4,959,051 | ||||||
|
| |||||||
4,959,051 | ||||||||
MACHINERY — 0.24% |
| |||||||
Grupo Rotoplas SAB de CVb | 1,449,600 | 2,208,168 | ||||||
|
| |||||||
2,208,168 | ||||||||
MEDIA — 4.49% |
| |||||||
Grupo Televisa SAB CPOb | 11,632,047 | 39,772,267 | ||||||
TV Azteca SAB de CV CPOb | 12,011,139 | 1,750,709 | ||||||
|
| |||||||
41,522,976 | ||||||||
METALS & MINING — 8.42% |
| |||||||
Grupo Mexico SAB de CV Series B | 15,651,086 | 53,381,427 | ||||||
Industrias CH SAB de CV Series Ba,b | 1,007,283 | 4,396,019 | ||||||
Industrias Penoles SAB de CV | 783,173 | 17,099,713 | ||||||
Minera Frisco SAB de CV Series A1a | 5,043,003 | 3,071,188 | ||||||
|
| |||||||
77,948,347 | ||||||||
MORTGAGE REAL ESTATE INVESTMENT — 0.24% |
| |||||||
Concentradora Hipotecaria SAPI de CVb | 2,431,200 | 2,249,894 | ||||||
|
| |||||||
2,249,894 |
Security | Shares | Value | ||||||
MULTILINE RETAIL — 0.82% |
| |||||||
El Puerto de Liverpool SAB de CV Series C1b | 1,113,565 | $ | 7,596,111 | |||||
|
| |||||||
7,596,111 | ||||||||
PHARMACEUTICALS — 0.61% |
| |||||||
Genomma Lab Internacional SAB de CV Series Ba,b | 5,244,493 | 5,667,844 | ||||||
|
| |||||||
5,667,844 | ||||||||
REAL ESTATE MANAGEMENT & DEVELOPMENT — 0.80% |
| |||||||
Corp Inmobiliaria Vesta SAB de CVb | 3,581,549 | 4,916,633 | ||||||
Grupo GICSA SA de CVa,b | 4,273,666 | 2,464,488 | ||||||
|
| |||||||
7,381,121 | ||||||||
TRANSPORTATION INFRASTRUCTURE — 6.59% |
| |||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 1,583,292 | 7,729,741 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 1,996,249 | 19,269,458 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 1,150,525 | 20,369,421 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 1,332,360 | 13,585,595 | ||||||
|
| |||||||
60,954,215 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 16.05% |
| |||||||
America Movil SAB de CV Series L | 161,554,218 | 148,478,833 | ||||||
|
| |||||||
148,478,833 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $1,296,542,107) |
| 923,083,863 | ||||||
SHORT-TERM INVESTMENTS — 1.72% |
| |||||||
MONEY MARKET FUNDS — 1.72% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 15,540,436 | 15,541,990 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 405,078 | 405,078 | ||||||
|
| |||||||
15,947,068 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $15,945,705) |
| 15,947,068 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MEXICO ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $1,312,487,812) |
| $ | 939,030,931 | |||||
Other Assets, Less Liabilities — (1.49)% |
| (13,765,188 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 925,265,743 | ||||||
|
|
CPO — Certificates of Participation (Ordinary)
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 27,657,667 | — | (12,117,231 | )b | 15,540,436 | $ | 15,541,990 | $ | 175,303 | c | $ | 465 | $ | (5,109 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 431,254 | — | (26,176 | )b | 405,078 | 405,078 | 4,302 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 15,947,068 | $ | 179,605 | $ | 465 | $ | (5,109 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MEX BOLSA Index | 81 | Mar 2018 | $ | 2,036 | $ | (40,618 | ) | |||||||||
|
| |||||||||||||||
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI MEXICO ETF
February 28, 2018
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, 2018. 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 | $ | 923,083,863 | $ | — | $ | — | $ | 923,083,863 | ||||||||
Money market funds | 15,947,068 | — | — | 15,947,068 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 939,030,931 | $ | — | $ | — | $ | 939,030,931 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa |
| |||||||||||||||
Liabilities |
| |||||||||||||||
Futures contracts | $ | (40,618 | ) | $ | — | $ | — | $ | (40,618 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (40,618 | ) | $ | — | $ | — | $ | (40,618 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 96.71% |
| |||||||
AEROSPACE & DEFENSE — 0.63% |
| |||||||
Hanwha Techwin Co. Ltd.a,b | 281,406 | $ | 7,575,016 | |||||
Korea Aerospace Industries Ltd. Class Aa,b | 411,249 | 19,102,248 | ||||||
|
| |||||||
26,677,264 | ||||||||
AIR FREIGHT & LOGISTICS — 0.37% |
| |||||||
Hyundai Glovis Co. Ltd. | 118,918 | 15,648,550 | ||||||
|
| |||||||
15,648,550 | ||||||||
AIRLINES — 0.24% |
| |||||||
Korean Air Lines Co. Ltd. | 333,942 | 10,068,526 | ||||||
|
| |||||||
10,068,526 | ||||||||
AUTO COMPONENTS — 2.88% |
| |||||||
Hankook Tire Co. Ltd. | 437,028 | 23,810,742 | ||||||
Hanon Systems | 1,217,850 | 14,057,738 | ||||||
Hyundai Mobis Co. Ltd. | 362,890 | 76,404,950 | ||||||
Hyundai Wia Corp.b | 135,641 | 7,277,442 | ||||||
|
| |||||||
121,550,872 | ||||||||
AUTOMOBILES — 3.95% |
| |||||||
Hyundai Motor Co. | 809,244 | 120,687,881 | ||||||
Kia Motors Corp. | 1,443,020 | 45,773,143 | ||||||
|
| |||||||
166,461,024 | ||||||||
BANKS — 8.98% |
| |||||||
BNK Financial Group Inc. | 1,629,986 | 16,858,291 | ||||||
DGB Financial Group Inc. | 1,127,376 | 12,909,283 | ||||||
Hana Financial Group Inc. | 1,578,083 | 71,625,062 | ||||||
Industrial Bank of Korea | 1,480,628 | 23,517,224 | ||||||
KB Financial Group Inc. | 2,081,435 | 123,013,981 | ||||||
Shinhan Financial Group Co. Ltd. | 2,250,428 | 98,504,282 | ||||||
Woori Bank | 2,092,626 | 32,078,300 | ||||||
|
| |||||||
378,506,423 | ||||||||
BIOTECHNOLOGY — 4.33% |
| |||||||
Celltrion Inc.a,b | 426,484 | 139,023,781 | ||||||
Medy-Tox Inc.b | 26,827 | 14,963,069 | ||||||
SillaJen Inc.a,b | 300,902 | 28,453,564 | ||||||
|
| |||||||
182,440,414 | ||||||||
BUILDING PRODUCTS — 0.31% |
| |||||||
KCC Corp. | 38,412 | 12,858,390 | ||||||
|
| |||||||
12,858,390 | ||||||||
CAPITAL MARKETS — 1.52% |
| |||||||
Korea Investment Holdings Co. Ltd.a | 239,578 | 17,367,137 | ||||||
Mirae Asset Daewoo Co. Ltd. | 2,213,907 | 18,972,257 |
Security | Shares | Value | ||||||
NH Investment & Securities Co. Ltd.a | 944,168 | $ | 12,468,005 | |||||
Samsung Securities Co. Ltd. | 422,464 | 15,448,864 | ||||||
|
| |||||||
64,256,263 | ||||||||
CHEMICALS — 4.38% |
| |||||||
Hanwha Chemical Corp. | 646,727 | 19,827,626 | ||||||
Hyosung Corp. | 132,422 | 15,285,576 | ||||||
Kumho Petrochemical Co. Ltd. | 129,643 | 10,846,482 | ||||||
LG Chem Ltd. | 243,247 | 86,031,583 | ||||||
Lotte Chemical Corp. | 86,135 | 36,509,341 | ||||||
OCI Co. Ltd.b | 105,579 | 16,038,180 | ||||||
|
| |||||||
184,538,788 | ||||||||
COMMERCIAL SERVICES & SUPPLIES — 0.42% |
| |||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 193,070 | 7,193,992 | ||||||
S-1 Corp. | 120,815 | 10,710,352 | ||||||
|
| |||||||
17,904,344 | ||||||||
CONSTRUCTION & ENGINEERING — 1.40% |
| |||||||
Daelim Industrial Co. Ltd. | 183,164 | 12,550,345 | ||||||
Daewoo Engineering & Construction Co. Ltd.a | 1,232,795 | 5,942,552 | ||||||
GS Engineering & Construction Corp.b | 362,006 | 9,761,359 | ||||||
Hyundai Development Co. Engineering & Construction | 391,672 | 13,671,809 | ||||||
Hyundai Engineering & Construction Co. Ltd.a | 480,862 | 17,095,934 | ||||||
|
| |||||||
59,021,999 | ||||||||
CONSUMER FINANCE — 0.19% |
| |||||||
Samsung Card Co. Ltd. | 236,063 | 7,913,092 | ||||||
|
| |||||||
7,913,092 | ||||||||
DIVERSIFIED TELECOMMUNICATION SERVICES — 0.13% |
| |||||||
KT Corp. | 205,716 | 5,300,098 | ||||||
|
| |||||||
5,300,098 | ||||||||
ELECTRIC UTILITIES — 1.02% |
| |||||||
Korea Electric Power Corp.a | 1,403,729 | 42,906,482 | ||||||
|
| |||||||
42,906,482 | ||||||||
ELECTRICAL EQUIPMENT — 0.16% |
| |||||||
Doosan Heavy Industries & Construction Co. Ltd.a,b | 482,144 | 6,656,250 | ||||||
|
| |||||||
6,656,250 | ||||||||
ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 2.90% |
| |||||||
LG Display Co. Ltd.b | 1,295,760 | 35,717,459 | ||||||
LG Innotek Co. Ltd.b | 97,241 | 11,853,183 |
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA ETF
February 28, 2018
Security | Shares | Value | ||||||
Samsung Electro-Mechanics Co. Ltd. | 319,941 | $ | 27,358,516 | |||||
Samsung SDI Co. Ltd. | 299,307 | 47,263,364 | ||||||
|
| |||||||
122,192,522 | ||||||||
FOOD & STAPLES RETAILING — 1.34% |
| |||||||
BGF retail Co. Ltd.b | 51,967 | 8,350,040 | ||||||
Dongsuh Cos. Inc. | 292,320 | 7,517,880 | ||||||
E-MART Inc. | 117,707 | 33,043,612 | ||||||
GS Retail Co. Ltd.b | 226,775 | 7,538,923 | ||||||
|
| |||||||
56,450,455 | ||||||||
FOOD PRODUCTS — 0.85% |
| |||||||
CJ CheilJedang Corp.b | 48,972 | 15,285,378 | ||||||
Orion Corp./Republic of Korea | 139,638 | 13,926,405 | ||||||
Ottogi Corp. | 10,393 | 6,785,346 | ||||||
|
| |||||||
35,997,129 | ||||||||
GAS UTILITIES — 0.21% |
| |||||||
Korea Gas Corp.a | 210,202 | 8,909,661 | ||||||
|
| |||||||
8,909,661 | ||||||||
HEALTH CARE PROVIDERS & SERVICES — 0.54% |
| |||||||
Celltrion Healthcare Co. Ltd.a,b | 204,685 | 22,606,266 | ||||||
|
| |||||||
22,606,266 | ||||||||
HOTELS, RESTAURANTS & LEISURE — 0.44% |
| |||||||
Kangwon Land Inc.a | 694,025 | 18,489,816 | ||||||
|
| |||||||
18,489,816 | ||||||||
HOUSEHOLD DURABLES — 2.08% |
| |||||||
Coway Co. Ltd. | 303,983 | 24,309,657 | ||||||
Hanssem Co. Ltd.b | 74,080 | 10,227,131 | ||||||
LG Electronics Inc. | 576,243 | 53,159,734 | ||||||
|
| |||||||
87,696,522 | ||||||||
INDUSTRIAL CONGLOMERATES — 4.14% |
| |||||||
CJ Corp. | 92,029 | 14,149,809 | ||||||
Hanwha Corp. | 305,664 | 12,461,969 | ||||||
LG Corp. | 523,386 | 41,662,086 | ||||||
Lotte Corp.a | 201,125 | 11,645,154 | ||||||
Samsung C&T Corp. | 412,783 | 48,982,007 | ||||||
SK Holdings Co. Ltd. | 173,284 | 45,525,255 | ||||||
|
| |||||||
174,426,280 | ||||||||
INSURANCE — 3.43% |
| |||||||
DB Insurance Co. Ltd. | 300,493 | 19,285,496 | ||||||
Hanwha Life Insurance Co. Ltd. | 1,779,786 | 11,028,132 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 398,319 | 15,191,222 | ||||||
ING Life Insurance Korea Ltd.c | 229,343 | 11,182,298 |
Security | Shares | Value | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 168,512 | $ | 44,971,805 | |||||
Samsung Life Insurance Co. Ltd. | 384,121 | 43,097,887 | ||||||
|
| |||||||
144,756,840 | ||||||||
INTERNET SOFTWARE & SERVICES — 3.32% |
| |||||||
Kakao Corp. | 259,667 | 30,692,932 | ||||||
NAVER Corp. | 147,212 | 109,161,729 | ||||||
|
| |||||||
139,854,661 | ||||||||
IT SERVICES — 1.00% |
| |||||||
Samsung SDS Co. Ltd.b | 191,464 | 42,080,000 | ||||||
|
| |||||||
42,080,000 | ||||||||
LIFE SCIENCES TOOLS & SERVICES — 0.91% |
| |||||||
Samsung Biologics Co. Ltd.a,c | 91,844 | 38,165,851 | ||||||
|
| |||||||
38,165,851 | ||||||||
MACHINERY — 1.58% |
| |||||||
Doosan Bobcat Inc. | 270,834 | 8,503,422 | ||||||
Hyundai Heavy Industries Co. Ltd.a,b | 180,845 | 21,877,085 | ||||||
Hyundai Robotics Co. Ltd.a | 57,763 | 23,603,405 | ||||||
Samsung Heavy Industries Co. Ltd.a,b | 1,581,288 | 12,485,006 | ||||||
|
| |||||||
66,468,918 | ||||||||
MARINE — 0.21% |
| |||||||
Pan Ocean Co. Ltd.a,b | 1,627,509 | 8,912,299 | ||||||
|
| |||||||
8,912,299 | ||||||||
MEDIA — 0.46% |
| |||||||
Cheil Worldwide Inc. | 516,882 | 8,878,018 | ||||||
CJ E&M Corp. | 133,834 | 10,702,765 | ||||||
|
| |||||||
19,580,783 | ||||||||
METALS & MINING — 4.18% |
| |||||||
Hyundai Steel Co. | 466,752 | 23,102,694 | ||||||
Korea Zinc Co. Ltd.a | 49,591 | 23,446,848 | ||||||
POSCO | 388,047 | 129,540,115 | ||||||
|
| |||||||
176,089,657 | ||||||||
MULTILINE RETAIL — 0.90% |
| |||||||
Hyundai Department Store Co. Ltd. | 106,723 | 9,007,741 | ||||||
Lotte Shopping Co. Ltd. | 72,520 | 13,828,959 | ||||||
Shinsegae Inc. | 47,552 | 15,061,719 | ||||||
|
| |||||||
37,898,419 | ||||||||
OIL, GAS & CONSUMABLE FUELS — 2.72% |
| |||||||
GS Holdings Corp. | 312,431 | 19,070,726 | ||||||
S-Oil Corp. | 257,953 | 29,418,409 |
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA ETF
February 28, 2018
Security | Shares | Value | ||||||
SK Innovation Co. Ltd. | 347,712 | $ | 65,984,686 | |||||
|
| |||||||
114,473,821 | ||||||||
PERSONAL PRODUCTS — 2.78% |
| |||||||
Amorepacific Corp.b | 175,368 | 45,586,935 | ||||||
AMOREPACIFIC Groupb | 169,287 | 19,697,259 | ||||||
LG Household & Health Care Ltd. | 50,902 | 51,705,790 | ||||||
|
| |||||||
116,989,984 | ||||||||
PHARMACEUTICALS — 0.85% |
| |||||||
Hanmi Pharm Co. Ltd. | 38,631 | 16,516,902 | ||||||
Hanmi Science Co. Ltd.b | 102,168 | 7,925,119 | ||||||
Yuhan Corp. | 58,918 | 11,316,783 | ||||||
|
| |||||||
35,758,804 | ||||||||
ROAD & RAIL — 0.18% |
| |||||||
CJ Logistics Corp.a,b | 63,246 | 7,738,568 | ||||||
|
| |||||||
7,738,568 | ||||||||
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 5.09% |
| |||||||
SK Hynix Inc. | 3,021,796 | 214,307,815 | ||||||
|
| |||||||
214,307,815 | ||||||||
SOFTWARE — 1.14% |
| |||||||
NCSoft Corp. | 97,826 | 33,876,397 | ||||||
Netmarble Games Corp.c | 104,201 | 14,193,044 | ||||||
|
| |||||||
48,069,441 | ||||||||
SPECIALTY RETAIL — 0.36% |
| |||||||
Hotel Shilla Co. Ltd. | 199,198 | 15,047,000 | ||||||
|
| |||||||
15,047,000 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS — 21.90% |
| |||||||
Samsung Electronics Co. Ltd. | 424,789 | 923,010,912 | ||||||
|
| |||||||
923,010,912 | ||||||||
TOBACCO — 1.37% |
| |||||||
KT&G Corp. | 628,085 | 57,884,276 | ||||||
|
| |||||||
57,884,276 | ||||||||
TRADING COMPANIES & DISTRIBUTORS — 0.31% |
| |||||||
Posco Daewoo Corp.b | 340,846 | 6,358,010 | ||||||
SK Networks Co. Ltd.b | 1,225,320 | 6,766,473 | ||||||
|
| |||||||
13,124,483 | ||||||||
WIRELESS TELECOMMUNICATION SERVICES — 0.61% |
| |||||||
SK Telecom Co. Ltd. | 116,595 | 25,840,613 | ||||||
|
| |||||||
25,840,613 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | 4,075,530,575 |
Security | Shares | Value | ||||||
PREFERRED STOCKS — 1.71% |
| |||||||
AUTOMOBILES — 0.78% |
| |||||||
Hyundai Motor Co., Preference Shares | 155,450 | $ | 12,890,766 | |||||
Hyundai Motor Co. Series 2, Preference Sharesb | 223,460 | 20,160,718 | ||||||
|
| |||||||
33,051,484 | ||||||||
CHEMICALS — 0.26% |
| |||||||
LG Chem Ltd., | 54,273 | 10,750,354 | ||||||
|
| |||||||
10,750,354 | ||||||||
PERSONAL PRODUCTS — 0.43% |
| |||||||
Amorepacific Corp., Preference Shares | 66,041 | 9,269,768 | ||||||
LG Household & Health Care Ltd. Preference Shares | 15,889 | 9,009,000 | ||||||
|
| |||||||
18,278,768 | ||||||||
TECHNOLOGY HARDWARE, STORAGE & PERIPHERALS —0.24% |
| |||||||
Samsung Electronics Co. Ltd. Preference Shares | 5,410 | 9,966,710 | ||||||
|
| |||||||
9,966,710 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $46,215,303) | 72,047,316 | |||||||
RIGHTS — 0.01% |
| |||||||
MACHINERY — 0.01% |
| |||||||
Hyundai Heavy Industries Co. Ltd. (Expires 03/09/18)a | 32,117 | 741,458 | ||||||
|
| |||||||
741,458 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) | 741,458 | |||||||
SHORT-TERM INVESTMENTS — 6.28% |
| |||||||
MONEY MARKET FUNDS — 6.28% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 254,204,049 | 254,229,469 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%d,e | 10,335,766 | 10,335,766 | ||||||
|
| |||||||
264,565,235 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $264,565,198) |
| 264,565,235 | ||||||
|
|
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA ETF
February 28, 2018
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $2,050,899,201) |
| $ | 4,412,884,584 | |||||
Other Assets, Less Liabilities — (4.71)% |
| (198,613,516 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 4,214,271,068 | ||||||
|
|
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, |
| |||||||||||||||||||||||||||||||
SL Agency Shares | 140,876,705 | 113,327,344 | b | — | 254,204,049 | $ | 254,229,469 | $ | 2,265,344 | c | $ | (18,334 | ) | $ | (19,804 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, |
| |||||||||||||||||||||||||||||||
SL Agency Shares | 4,974,415 | 5,361,351 | b | — | 10,335,766 | 10,335,766 | 46,903 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 264,565,235 | $ | 2,312,247 | $ | (18,334 | ) | $ | (19,804 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
KOSPI 200 Index | 861 | Mar 2018 | $ | 62,206 | $ | (1,872,855 | ) | |||||||||
|
| |||||||||||||||
SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI SOUTH KOREA ETF
February 28, 2018
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, 2018. 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 | $ | 4,075,530,575 | $ | — | $ | — | $ | 4,075,530,575 | ||||||||
Preferred stocks | 72,047,316 | — | — | 72,047,316 | ||||||||||||
Rights | — | 741,458 | — | 741,458 | ||||||||||||
Money market funds | 264,565,235 | — | — | 264,565,235 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,412,143,126 | $ | 741,458 | $ | — | $ | 4,412,884,584 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa |
| |||||||||||||||
Liabilities |
| |||||||||||||||
Futures contracts | $ | (1,872,855 | ) | $ | — | $ | — | $ | (1,872,855 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | (1,872,855 | ) | $ | — | $ | — | $ | (1,872,855 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
ASSETS |
| |||||||||||
Investments in securities, at cost: |
| |||||||||||
Unaffiliated | $ | 3,033,823,334 | $ | 1,809,572,197 | $ | 3,329,516,798 | ||||||
Affiliated (Note 2) | 68,486,190 | 7,671,773 | 1,626,384 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 3,102,309,524 | $ | 1,817,243,970 | $ | 3,331,143,182 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 3,466,987,299 | $ | 1,660,304,970 | $ | 2,866,096,421 | ||||||
Affiliated (Note 2) | 68,490,792 | 7,671,462 | 1,626,484 | |||||||||
Foreign currency, at valueb | 3,174,072 | 6,104,808 | 7,760,482 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | — | 346,350 | 623,627 | |||||||||
Cash pledged to broker for futures contracts | 491,000 | — | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 6,346,893 | 2,222,195 | 8,696,638 | |||||||||
Dividends and interest | 6,082,558 | 11,970,648 | 4,254,169 | |||||||||
Futures variation margin | — | 273,900 | — | |||||||||
Tax reclaims | 988,833 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 3,552,561,447 | 1,688,894,333 | 2,889,057,821 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | — | 2,954,925 | 9,469,465 | |||||||||
Collateral for securities on loan (Note 1) | 63,751,367 | 7,501,367 | 1,003,131 | |||||||||
Capital shares redeemed | 7,997,798 | — | 177,869 | |||||||||
Futures variation margin | 131,515 | — | 313,006 | |||||||||
Investment advisory fees (Note 2) | 549,704 | 609,077 | 1,053,822 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 72,430,384 | 11,065,369 | 12,017,293 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 3,480,131,063 | $ | 1,677,828,964 | $ | 2,877,040,528 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 2,978,890,230 | $ | 2,041,352,461 | $ | 3,786,466,980 | ||||||
Undistributed (distributions in excess of) net investment income | 5,749,102 | (1,317,550 | ) | (2,101,962 | ) | |||||||
Undistributed net realized gain (accumulated net realized loss) | 62,191,530 | (213,079,501 | ) | (443,332,020 | ) | |||||||
Net unrealized appreciation (depreciation) | 433,300,201 | (149,126,446 | ) | (463,992,470 | ) | |||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 3,480,131,063 | $ | 1,677,828,964 | $ | 2,877,040,528 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 41,600,000 | 72,600,000 | 103,600,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 83.66 | $ | 23.11 | $ | 27.77 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $61,023,031, $7,130,294 and $951,710, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $3,176,647, $6,500,976 and $8,586,321, 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 | 43 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI | iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | ||||||||||
ASSETS |
| |||||||||||
Investments in securities, at cost: |
| |||||||||||
Unaffiliated | $ | 20,713,590,423 | $ | 1,296,542,107 | $ | 1,786,334,003 | ||||||
Affiliated (Note 2) | 38,271,158 | 15,945,705 | 264,565,198 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 20,751,861,581 | $ | 1,312,487,812 | $ | 2,050,899,201 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 22,731,797,583 | $ | 923,083,863 | $ | 4,148,319,349 | ||||||
Affiliated (Note 2) | 38,273,285 | 15,947,068 | 264,565,235 | |||||||||
Foreign currency, at valueb | 71,797,419 | 1,250,761 | 194 | |||||||||
Foreign currency pledged to broker for futures contracts, at valueb | 3,501,483 | 92,384 | — | |||||||||
Cash pledged to broker for futures contracts | — | — | 7,307,807 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | — | 12,933,537 | 112,524,142 | |||||||||
Due from custodian (Note 4) | 41,055 | — | — | |||||||||
Dividends and interest | 30,692,652 | 430,698 | 50,323,357 | |||||||||
Capital shares sold | 672,973 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 22,876,776,450 | 953,738,311 | 4,583,040,084 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 14,349,319 | 12,429,450 | 109,619,145 | |||||||||
Collateral for securities on loan (Note 1) | 34,708,457 | 15,542,248 | 254,243,057 | |||||||||
Capital shares redeemed | — | 115,803 | — | |||||||||
Futures variation margin | 857,895 | 13,503 | 2,268,255 | |||||||||
Due to custodian | — | — | 742,277 | |||||||||
Foreign taxes (Note 1) | — | — | 2,607 | |||||||||
Investment advisory fees (Note 2) | 7,939,119 | 371,564 | 1,893,675 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 57,854,790 | 28,472,568 | 368,769,016 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 22,818,921,660 | $ | 925,265,743 | $ | 4,214,271,068 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 21,882,215,113 | $ | 1,612,166,320 | $ | 3,042,643,903 | ||||||
Undistributed (distributions in excess of) net investment income | (44,341,940 | ) | 1,913,321 | (153,686,762 | ) | |||||||
Accumulated net realized loss | (1,038,665,327 | ) | (315,117,964 | ) | (1,034,393,569 | ) | ||||||
Net unrealized appreciation (depreciation) | 2,019,713,814 | (373,695,934 | ) | 2,359,707,496 | ||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 22,818,921,660 | $ | 925,265,743 | $ | 4,214,271,068 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 370,200,000 | 18,500,000 | 57,750,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 61.64 | $ | 50.01 | $ | 72.97 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $33,180,121, $14,212,483 and $239,457,457, respectively. See Note 1. |
b | Cost of foreign currency including currency pledged to broker for futures contracts: $74,312,965, $1,353,579 and $196 , respectively. |
c | $0.001 par value, number of shares authorized: 2.5246 billion, 255 million and 200 million, respectively. |
See notes to financial statements.
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
NET INVESTMENT INCOME |
| |||||||||||
Dividends — unaffiliateda | $ | 33,599,807 | $ | 38,573,981 | $ | 36,508,547 | ||||||
Dividends — affiliated (Note 2) | 33,643 | 9,672 | 12,549 | |||||||||
Interest — unaffiliated | — | 370 | 945 | |||||||||
Securities lending income — affiliated — net (Note 2) | 231,448 | 41,771 | 35,956 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 33,864,898 | 38,625,794 | 36,557,997 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES |
| |||||||||||
Investment advisory fees (Note 2) | 5,546,026 | 4,148,819 | 7,297,412 | |||||||||
Proxy fees | 342 | 210 | 339 | |||||||||
Commitment fees (Note 8) | 910 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 5,547,278 | 4,149,029 | 7,297,751 | |||||||||
Less investment advisory fees waived (Note 2) | (1,936,533 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Net expenses | 3,610,745 | 4,149,029 | 7,297,751 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 30,254,153 | 34,476,765 | 29,260,246 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: |
| |||||||||||
Investments — unaffiliated | (16,282,124 | ) | (2,039,508 | ) | (31,665,750 | ) | ||||||
Investments — affiliated (Note 2) | (5,766 | ) | (1,096 | ) | (3,339 | ) | ||||||
In-kind redemptions — unaffiliated | 184,233,762 | 32,076,154 | 125,800,320 | |||||||||
Futures contracts | 1,076,686 | 378,163 | 758,649 | |||||||||
Foreign currency transactions | 126,696 | (259,205 | ) | (176,426 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized gain | 169,149,254 | 30,154,508 | 94,713,454 | |||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: |
| |||||||||||
Investments — unaffiliated | (47,643,397 | ) | 18,361,760 | (78,597,785 | ) | |||||||
Investments — affiliated (Note 2) | (9,204 | ) | (629 | ) | (2,587 | ) | ||||||
Futures contracts | 23,621 | 354,553 | (360,278 | ) | ||||||||
Translation of assets and liabilities in foreign currencies | 46,925 | (352,708 | ) | (258,664 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | (47,582,055 | ) | 18,362,976 | (79,219,314 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 121,567,199 | 48,517,484 | 15,494,140 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 151,821,352 | $ | 82,994,249 | $ | 44,754,386 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $1,244,512, $521,670 and $6,440,767, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI | iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 150,237,121 | $ | 8,074,388 | $ | 55,467,282 | ||||||
Dividends — affiliated (Note 2) | 70,791 | 4,302 | 46,903 | |||||||||
Interest — unaffiliated | — | 90 | 73 | |||||||||
Securities lending income — affiliated — net (Note 2) | 2,253,488 | 175,303 | 2,265,344 | |||||||||
|
|
|
|
|
| |||||||
152,561,400 | 8,254,083 | 57,779,602 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | (2,607 | ) | ||||||||
|
|
|
|
|
| |||||||
Total investment income | 152,561,400 | 8,254,083 | 57,776,995 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES |
| |||||||||||
Investment advisory fees (Note 2) | 43,960,060 | 2,660,390 | 11,942,434 | |||||||||
Proxy fees | 1,749 | 144 | 352 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 43,961,809 | 2,660,534 | 11,942,786 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 108,599,591 | 5,593,549 | 45,834,209 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (58,768,119 | ) | (12,909,335 | ) | 33,646,648 | |||||||
Investments — affiliated (Note 2) | (5,338 | ) | 465 | (18,334 | ) | |||||||
In-kind redemptions — unaffiliated | 199,483,255 | (16,565,116 | ) | — | ||||||||
Futures contracts | 11,611,324 | 46,219 | (395,400 | ) | ||||||||
Foreign currency transactions | 1,572,548 | (68,101 | ) | 207,471 | ||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 153,893,670 | (29,495,868 | ) | 33,440,385 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliated | 1,982,200,192 | (124,247,935 | ) | 290,238,432 | ||||||||
Investments — affiliated (Note 2) | (4,685 | ) | (5,109 | ) | (19,804 | ) | ||||||
Futures contracts | (1,500,127 | ) | (40,618 | ) | (1,872,855 | ) | ||||||
Translation of assets and liabilities in foreign currencies | 2,226,317 | (34,812 | ) | (408,421 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 1,982,921,697 | (124,328,474 | ) | 287,937,352 | ||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain (loss) | 2,136,815,367 | (153,824,342 | ) | 321,377,737 | ||||||||
|
|
|
|
|
| |||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 2,245,414,958 | $ | (148,230,793 | ) | $ | 367,211,946 | |||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $16,702,777, $446,324 and $10,186,884, respectively. |
See notes to financial statements.
46 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: |
| |||||||||||||||
Net investment income | $ | 30,254,153 | $ | 77,633,946 | $ | 34,476,765 | $ | 70,264,196 | ||||||||
Net realized gain | 169,149,254 | 74,390,587 | 30,154,508 | 78,995,511 | ||||||||||||
Net change in unrealized appreciation/depreciation | (47,582,055 | ) | 141,521,669 | 18,362,976 | 127,209,450 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 151,821,352 | 293,546,202 | 82,994,249 | 276,469,157 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (37,306,327 | ) | (82,291,396 | ) | (42,703,016 | ) | (83,656,742 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (37,306,327 | ) | (82,291,396 | ) | (42,703,016 | ) | (83,656,742 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||||||||||
Proceeds from shares sold | 384,705,829 | 684,634,417 | 123,049,709 | 624,267,864 | ||||||||||||
Cost of shares redeemed | (694,463,723 | ) | (488,203,636 | ) | (251,424,304 | ) | (719,870,284 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from | (309,757,894 | ) | 196,430,781 | (128,374,595 | ) | (95,602,420 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (195,242,869 | ) | 407,685,587 | (88,083,362 | ) | 97,209,995 | ||||||||||
NET ASSETS |
| |||||||||||||||
Beginning of period | 3,675,373,932 | 3,267,688,345 | 1,765,912,326 | 1,668,702,331 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 3,480,131,063 | $ | 3,675,373,932 | $ | 1,677,828,964 | $ | 1,765,912,326 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 5,749,102 | $ | 12,801,276 | $ | (1,317,550 | ) | $ | 6,908,701 | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED |
| |||||||||||||||
Shares sold | 4,600,000 | 8,700,000 | 5,400,000 | 29,400,000 | ||||||||||||
Shares redeemed | (8,300,000 | ) | (6,500,000 | ) | (11,000,000 | ) | (33,400,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (3,700,000 | ) | 2,200,000 | (5,600,000 | ) | (4,000,000 | ) | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Canada ETF | iShares MSCI Japan ETF | |||||||||||||||
Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: |
| |||||||||||||||
Net investment income | $ | 29,260,246 | $ | 62,223,555 | $ | 108,599,591 | $ | 227,669,417 | ||||||||
Net realized gain | 94,713,454 | 139,294,992 | 153,893,670 | 455,582,391 | ||||||||||||
Net change in unrealized appreciation/depreciation | (79,219,314 | ) | 156,684,789 | 1,982,921,697 | 1,310,254,903 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 44,754,386 | 358,203,336 | 2,245,414,958 | 1,993,506,711 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (38,937,254 | ) | (60,198,481 | ) | (126,892,875 | ) | (288,645,468 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (38,937,254 | ) | (60,198,481 | ) | (126,892,875 | ) | (288,645,468 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||||||||||
Proceeds from shares sold | 518,215,666 | 1,022,753,433 | 5,762,886,952 | 4,661,723,572 | ||||||||||||
Cost of shares redeemed | (774,911,972 | ) | (1,290,632,177 | ) | (1,080,176,274 | ) | (4,364,075,580 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from | (256,696,306 | ) | (267,878,744 | ) | 4,682,710,678 | 297,647,992 | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (250,879,174 | ) | 30,126,111 | 6,801,232,761 | 2,002,509,235 | |||||||||||
NET ASSETS |
| |||||||||||||||
Beginning of period | 3,127,919,702 | 3,097,793,591 | 16,017,688,899 | 14,015,179,664 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 2,877,040,528 | $ | 3,127,919,702 | $ | 22,818,921,660 | $ | 16,017,688,899 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (2,101,962 | ) | $ | 7,575,046 | $ | (44,341,940 | ) | $ | (26,048,656 | ) | |||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED |
| |||||||||||||||
Shares sold | 18,000,000 | 38,600,000 | 95,400,000 | 113,100,000 | ||||||||||||
Shares redeemed | (26,800,000 | ) | (48,500,000 | ) | (18,750,000 | ) | (105,300,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (8,800,000 | ) | (9,900,000 | ) | 76,650,000 | 7,800,000 | ||||||||||
|
|
|
|
|
|
|
|
a | Share transactions reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | |||||||||||||||
Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: |
| |||||||||||||||
Net investment income | $ | 5,593,549 | $ | 25,577,881 | $ | 45,834,209 | $ | 35,160,671 | ||||||||
Net realized gain (loss) | (29,495,868 | ) | (7,878,835 | ) | 33,440,385 | 166,328,669 | ||||||||||
Net change in unrealized appreciation/depreciation | (124,328,474 | ) | 189,275,345 | 287,937,352 | 392,652,094 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets resulting from operations | (148,230,793 | ) | 206,974,391 | 367,211,946 | 594,141,434 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (10,834,245 | ) | (21,098,710 | ) | (118,169,941 | ) | (34,948,193 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (10,834,245 | ) | (21,098,710 | ) | (118,169,941 | ) | (34,948,193 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||||||||||
Proceeds from shares sold | 499,037,658 | 2,161,693,065 | 280,251,197 | 330,287,930 | ||||||||||||
Cost of shares redeemed | (735,348,472 | ) | (2,344,445,161 | ) | (99,659,897 | ) | (557,813,596 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from | (236,310,814 | ) | (182,752,096 | ) | 180,591,300 | (227,525,666 | ) | |||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | (395,375,852 | ) | 3,123,585 | 429,633,305 | 331,667,575 | |||||||||||
NET ASSETS |
| |||||||||||||||
Beginning of period | 1,320,641,595 | 1,317,518,010 | 3,784,637,763 | 3,452,970,188 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 925,265,743 | $ | 1,320,641,595 | $ | 4,214,271,068 | $ | 3,784,637,763 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 1,913,321 | $ | 7,154,017 | $ | (153,686,762 | ) | $ | (81,351,030 | ) | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED |
| |||||||||||||||
Shares sold | 9,600,000 | 45,200,000 | 3,700,000 | 4,750,000 | ||||||||||||
Shares redeemed | (14,400,000 | ) | (48,000,000 | ) | (1,450,000 | ) | (9,950,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (4,800,000 | ) | (2,800,000 | ) | 2,250,000 | (5,200,000 | ) | |||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 49 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Edge MSCI Min Vol Global ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 81.13 | $ | 75.82 | $ | 67.59 | $ | 68.25 | $ | 59.99 | $ | 55.65 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: |
| |||||||||||||||||||||||
Net investment incomea | 0.69 | 1.84 | 1.79 | 1.70 | 1.72 | 1.68 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.71 | 5.40 | 8.07 | (0.89 | ) | 8.18 | 4.20 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 3.40 | 7.24 | 9.86 | 0.81 | 9.90 | 5.88 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: |
| |||||||||||||||||||||||
Net investment income | (0.87 | ) | (1.93 | ) | (1.63 | ) | (1.47 | ) | (1.64 | ) | (1.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.87 | ) | (1.93 | ) | (1.63 | ) | (1.47 | ) | (1.64 | ) | (1.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 83.66 | $ | 81.13 | $ | 75.82 | $ | 67.59 | $ | 68.25 | $ | 59.99 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 4.19 | %c | 9.75 | % | 14.76 | % | 1.15 | % | 16.70 | % | 10.69 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: |
| |||||||||||||||||||||||
Net assets, end of period (000s) | $ | 3,480,131 | $ | 3,675,374 | $ | 3,267,688 | $ | 2,115,632 | $ | 1,283,012 | $ | 1,007,760 | ||||||||||||
Ratio of expenses to average net assetsd | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | 0.20 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesd | 0.31 | % | 0.32 | % | 0.32 | % | 0.33 | % | 0.33 | % | 0.34 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.68 | % | 2.40 | % | 2.49 | % | 2.41 | % | 2.67 | % | 2.83 | % | ||||||||||||
Portfolio turnover ratee | 11 | %c | 24 | % | 24 | % | 22 | % | 24 | % | 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 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 11%, 24%, 23%, 22%, 23% and 13%, respectively. See Note 4. |
See notes to financial statements.
50 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 22.58 | $ | 20.30 | $ | 18.66 | $ | 27.15 | $ | 23.61 | $ | 23.39 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.45 | 0.84 | 0.84 | 1.23 | 1.10 | 1.02 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 0.64 | 2.45 | 1.59 | (8.49 | ) | 3.43 | 0.64 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 1.09 | 3.29 | 2.43 | (7.26 | ) | 4.53 | 1.66 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.56 | ) | (1.01 | ) | (0.79 | ) | (1.23 | ) | (0.99 | ) | (1.44 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.56 | ) | (1.01 | ) | (0.79 | ) | (1.23 | ) | (0.99 | ) | (1.44 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 23.11 | $ | 22.58 | $ | 20.30 | $ | 18.66 | $ | 27.15 | $ | 23.61 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 4.91 | %c | 16.70 | % | 13.36 | % | (27.31 | )% | 19.76 | % | 7.06 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 1,677,829 | $ | 1,765,912 | $ | 1,668,702 | $ | 1,228,063 | $ | 2,047,113 | $ | 1,916,849 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 3.93 | % | 3.90 | % | 4.41 | % | 5.37 | % | 4.28 | % | 4.05 | % | ||||||||||||
Portfolio turnover ratee | 1 | %c | 4 | % | 7 | % | 9 | % | 6 | % | 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.
FINANCIAL HIGHLIGHTS | 51 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Canada ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 27.83 | $ | 25.33 | $ | 24.02 | $ | 32.93 | $ | 27.34 | $ | 27.52 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.27 | 0.51 | 0.51 | 0.54 | 0.59 | 0.60 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 0.04 | 2.47 | 1.29 | (8.85 | ) | 5.62 | (0.10 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 0.31 | 2.98 | 1.80 | (8.31 | ) | 6.21 | 0.50 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.37 | ) | (0.48 | ) | (0.49 | ) | (0.60 | ) | (0.62 | ) | (0.68 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.37 | ) | (0.48 | ) | (0.49 | ) | (0.60 | ) | (0.62 | ) | (0.68 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 27.77 | $ | 27.83 | $ | 25.33 | $ | 24.02 | $ | 32.93 | $ | 27.34 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 1.07 | %c | 11.88 | % | 7.73 | % | (25.48 | )% | 23.00 | % | 1.84 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 2,877,041 | $ | 3,127,920 | $ | 3,097,794 | $ | 1,931,454 | $ | 3,786,906 | $ | 3,428,223 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.51 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.89 | % | 1.93 | % | 2.18 | % | 1.92 | % | 1.97 | % | 2.12 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 6 | % | 4 | % | 5 | % | 6 | % | 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 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 54.57 | $ | 49.05 | $ | 48.61 | $ | 47.32 | $ | 43.87 | $ | 36.09 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.34 | 0.49 | 0.72 | 0.60 | 0.60 | 0.52 | ||||||||||||||||||
Net realized and unrealized gainc | 7.13 | 5.96 | 0.44 | 1.22 | 3.53 | 7.85 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 7.47 | 6.45 | 1.16 | 1.82 | 4.13 | 8.37 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.40 | ) | (0.93 | ) | (0.72 | ) | (0.53 | ) | (0.68 | ) | (0.59 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.40 | ) | (0.93 | ) | (0.72 | ) | (0.53 | ) | (0.68 | ) | (0.59 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 61.64 | $ | 54.57 | $ | 49.05 | $ | 48.61 | $ | 47.32 | $ | 43.87 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 13.71 | %d | 13.31 | % | 2.44 | % | 3.84 | % | 9.39 | % | 23.46 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 22,818,922 | $ | 16,017,689 | $ | 14,015,180 | $ | 19,147,802 | $ | 14,729,189 | $ | 10,461,942 | ||||||||||||
Ratio of expenses to average net assetse | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.17 | % | 1.45 | % | 1.53 | % | 1.20 | % | 1.31 | % | 1.18 | % | ||||||||||||
Portfolio turnover ratef | 1 | %d | 4 | % | 4 | % | 2 | % | 2 | % | 4 | % |
a | Per share amounts reflect a one-for-four reverse stock split effective after the close of trading on November 4, 2016. |
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 | 53 |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Mexico ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 56.68 | $ | 50.48 | $ | 52.70 | $ | 71.51 | $ | 61.93 | $ | 60.96 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.26 | 0.88 | 0.93 | 0.68 | 1.06 | 0.75 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (6.42 | ) | 6.10 | (1.82 | ) | (18.56 | ) | 9.61 | 0.85 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (6.16 | ) | 6.98 | (0.89 | ) | (17.88 | ) | 10.67 | 1.60 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.51 | ) | (0.78 | ) | (1.33 | ) | (0.93 | ) | (1.09 | ) | (0.63 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.51 | ) | (0.78 | ) | (1.33 | ) | (0.93 | ) | (1.09 | ) | (0.63 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 50.01 | $ | 56.68 | $ | 50.48 | $ | 52.70 | $ | 71.51 | $ | 61.93 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (10.86 | )%c | 14.03 | % | (1.68 | )% | (25.10 | )% | 17.42 | % | 2.53 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 925,266 | $ | 1,320,642 | $ | 1,317,518 | $ | 1,206,942 | $ | 3,275,152 | $ | 2,217,052 | ||||||||||||
Ratio of expenses to average net assetsd | 0.47 | % | 0.49 | % | 0.48 | % | 0.48 | % | 0.48 | % | 0.50 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.99 | % | 1.79 | % | 1.82 | % | 1.10 | % | 1.61 | % | 1.09 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 8 | % | 8 | % | 13 | % | 19 | % | 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 as a result of processing capital share transactions in Creation Units. |
See notes to financial statements.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI South Korea ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 68.19 | $ | 56.89 | $ | 48.15 | $ | 66.42 | $ | 57.67 | $ | 55.97 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.83 | 0.64 | 0.56 | 0.46 | 0.25 | 0.23 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 6.13 | 11.31 | 9.38 | (18.07 | ) | 9.40 | 1.83 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 6.96 | 11.95 | 9.94 | (17.61 | ) | 9.65 | 2.06 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (2.18 | ) | (0.65 | ) | (1.20 | ) | (0.66 | ) | (0.90 | ) | (0.36 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (2.18 | ) | (0.65 | ) | (1.20 | ) | (0.66 | ) | (0.90 | ) | (0.36 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 72.97 | $ | 68.19 | $ | 56.89 | $ | 48.15 | $ | 66.42 | $ | 57.67 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 10.20 | %c | 21.28 | % | 20.92 | % | (26.58 | )% | 16.83 | % | 3.65 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 4,214,271 | $ | 3,784,638 | $ | 3,452,970 | $ | 3,160,954 | $ | 4,891,619 | $ | 3,376,516 | ||||||||||||
Ratio of expenses to average net assetsd | 0.59 | % | 0.62 | % | 0.64 | % | 0.62 | % | 0.62 | % | 0.61 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.27 | % | 1.05 | % | 1.09 | % | 0.81 | % | 0.39 | % | 0.40 | % | ||||||||||||
Portfolio turnover ratee | 8 | %c | 16 | % | 22 | % | 24 | % | 13 | % | 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 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014, and August 31, 2013 were 6%, 6%, 10%, 10%, 10%, and 11%, respectively. See Note 4. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 55 |
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 Mexicoa | Non-diversified | |
MSCI South Koreab | Non-diversified |
a | Formerly the iShares MSCI Mexico Capped ETF. |
b | Formerly the iShares MSCI South Korea Capped 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
56 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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”). |
• | Futures contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 57 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, if any, are disclosed in the Funds’ statements of assets and liabilities.
58 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 59 |
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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
Edge MSCI Min Vol Global | ||||||||||||
Citigroup Global Markets Inc. | $ | 3,664,403 | $ | 3,664,403 | $ | — | ||||||
Deutsche Bank AG | 1,336,420 | 1,336,420 | — | |||||||||
Goldman Sachs & Co. | 2,546,514 | 2,546,514 | — | |||||||||
Jefferies LLC | 1,165,988 | 1,164,047 | (1,941 | ) | ||||||||
JPMorgan Securities LLC | 6,909,958 | 6,909,958 | — | |||||||||
JPMorgan Securities PLC | 529,819 | 529,819 | — | |||||||||
Macquarie Bank Limited | 70,116 | 70,116 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 7,129,331 | 7,129,331 | — | |||||||||
Morgan Stanley & Co. International PLC | 3,863,829 | 3,863,829 | — | |||||||||
Morgan Stanley & Co. LLC | 12,887,013 | 12,887,013 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 10,591,322 | 10,591,322 | — | |||||||||
Nomura Securities International Inc. | 6,070,508 | 6,070,508 | — | |||||||||
State Street Bank & Trust Company | 3,831,861 | 3,831,861 | — | |||||||||
UBS Securities LLC | 425,949 | 425,949 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 61,023,031 | $ | 61,021,185 | $ | (1,941 | ) | ||||||
|
|
|
|
|
| |||||||
MSCI Australia | ||||||||||||
Deutsche Bank Securities Inc. | $ | 1,331,598 | $ | 1,331,598 | $ | — | ||||||
JPMorgan Securities LLC | 1,669,526 | 1,669,526 | — | |||||||||
Macquarie Bank Limited | 72,723 | 72,723 | — | |||||||||
Morgan Stanley & Co. LLC | 468,117 | 468,117 | — | |||||||||
State Street Bank & Trust Company | 56,087 | 56,087 | — | |||||||||
UBS Securities LLC | 3,532,243 | 3,532,243 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 7,130,294 | $ | 7,130,294 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Canada | ||||||||||||
Citigroup Global Markets Inc. | $ | 77,421 | $ | 77,421 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 100,272 | 100,272 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 554,267 | 554,267 | — | |||||||||
State Street Bank & Trust Company | 208,044 | 208,044 | — | |||||||||
UBS AG | 11,706 | 11,706 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 951,710 | $ | 951,710 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Japan | ||||||||||||
Barclays Capital Inc. | $ | 4,001,242 | $ | 4,001,242 | $ | — | ||||||
Citigroup Global Markets Inc. | 4,806,066 | 4,806,066 | — | |||||||||
Credit Suisse Securities (USA) LLC | 4,893,573 | 4,893,573 | — | |||||||||
Deutsche Bank Securities Inc. | 6,196,921 | 6,196,921 | — | |||||||||
Goldman Sachs & Co. | 1,557,616 | 1,557,616 | — | |||||||||
JPMorgan Securities LLC | 787,493 | 787,493 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 9,274,120 | 9,274,120 | — | |||||||||
Morgan Stanley & Co. LLC | 1,663,090 | 1,663,090 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 33,180,121 | $ | 33,180,121 | $ | — | |||||||
|
|
|
|
|
| |||||||
60 | 2018 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 | ||||||||||||
Credit Suisse Securities (USA) LLC | $ | 106,968 | $ | 106,968 | $ | — | ||||||
Deutsche Bank Securities Inc. | 32,397 | 32,397 | — | |||||||||
Goldman Sachs & Co. | 6,153,594 | 6,153,594 | — | |||||||||
JPMorgan Securities LLC | 1,754,215 | 1,754,215 | — | |||||||||
Morgan Stanley & Co. LLC | 5,983,820 | 5,983,820 | — | |||||||||
UBS Securities LLC | 181,489 | 181,489 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 14,212,483 | $ | 14,212,483 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI South Korea | ||||||||||||
Citigroup Global Markets Inc. | $ | 46,871,272 | $ | 46,871,272 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 5,775,873 | 5,775,873 | — | |||||||||
Deutsche Bank Securities Inc. | 1,509,993 | 1,509,993 | — | |||||||||
Goldman Sachs & Co. | 121,882,968 | 121,882,968 | — | |||||||||
HSBC Bank PLC | 13,233,321 | 13,233,321 | — | |||||||||
Jefferies LLC | 756,487 | 756,487 | — | |||||||||
JPMorgan Securities LLC | 10,387,848 | 10,387,848 | — | |||||||||
Macquarie Bank Limited | 413,015 | 413,015 | — | |||||||||
Morgan Stanley & Co. LLC | 35,970,405 | 35,970,405 | — | |||||||||
UBS Securities LLC | 2,656,275 | 2,656,275 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 239,457,457 | $ | 239,457,457 | $ | — | |||||||
|
|
|
|
|
| |||||||
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 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 the iShares Edge MSCI Min Vol Global ETF, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Fund, 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, up to and including $120 billion | ||||
0.227 | Over $120 billion |
NOTESTO FINANCIAL STATEMENTS | 61 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 acquired fund fees and expenses are a fund’s total annual operating expenses. BFA has contractually agreed to waive through December 31, 2023 a portion of its investment advisory fee for the Fund necessary to limit total annual operating expenses after fee waiver 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 ETFs, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Funds, 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, up to and including $96 billion | ||||
0.32 | Over $96 billion |
For its investment advisory services to the iShares MSCI South Korea ETF, BFA is entitled to an annual investment advisory fee, accrued daily and paid monthly by the Fund, 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 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 (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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
62 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018, 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 | $ | 61,223 | ||
MSCI Australia | 10,028 | |||
MSCI Canada | 12,399 | |||
MSCI Japan | 449,859 | |||
MSCI Mexico | 39,769 | |||
MSCI South Korea | 520,307 |
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, 2018, 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 | $ | 59,776,134 | $ | 46,630,156 | ||||
MSCI Australia | 1,436,358 | — | ||||||
MSCI Japan | 5,055,713 | 10,435,130 | ||||||
MSCI South Korea | 19,574,912 | 4,872,193 |
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 | 63 |
Table of Contents
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Min Vol Global | $ | 652,235,450 | $ | 407,846,533 | ||||
MSCI Australia | 49,461,544 | 14,735,199 | ||||||
MSCI Canada | 93,619,388 | 59,800,058 | ||||||
MSCI Japan | 378,115,171 | 235,315,311 | ||||||
MSCI Mexico | 41,148,903 | 37,483,207 | ||||||
MSCI South Korea | 385,681,644 | 327,776,256 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Edge MSCI Min Vol Global | $ | 109,121,742 | $ | 655,524,094 | ||||
MSCI Australia | 81,401,338 | 249,444,155 | ||||||
MSCI Canada | 477,363,023 | 768,957,012 | ||||||
MSCI Japan | 5,528,370,786 | 1,032,801,297 | ||||||
MSCI Mexico | 487,964,633 | 732,982,071 |
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.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is
64 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | |||||||
Futures contracts: | ||||||||
Variation margin / Net assets consist of – | $ | 69,159 | $ | 273,900 | ||||
|
|
|
| |||||
a | Represents cumulative appreciation of futures contracts as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities. |
Liabilities | ||||||||||||
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Canada ETF | iShares MSCI Japan ETF | ||||||||||
Futures contracts: | ||||||||||||
Variation margin / Net assets consist of – net unrealized appreciation (depreciation)b | $ | 45,538 | $ | 313,006 | $ | 857,895 | ||||||
|
|
|
|
|
| |||||||
Liabilities | ||||||||||||
iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | |||||||||||
Futures contracts: | ||||||||||||
Variation margin / Net assets consist of – | $ | 40,618 | $ | 1,872,855 | ||||||||
|
|
|
| |||||||||
b | Represents cumulative depreciation of futures contracts as reported in the schedules of investments. Only current day’s variation margin is reported separately within the statements of assets and liabilities. |
NOTESTO FINANCIAL STATEMENTS | 65 |
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 during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||||||
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
Futures contracts | $ | 1,076,686 | $ | 378,163 | $ | 758,649 | ||||||
|
|
|
|
|
| |||||||
Net Realized Gain (Loss) | ||||||||||||
iShares MSCI Japan ETF | iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | ||||||||||
Futures contracts | $ | 11,611,324 | $ | 46,219 | $ | (395,400 | ) | |||||
|
|
|
|
|
| |||||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
Futures contracts | $ | 23,621 | $ | 354,553 | $ | (360,278 | ) | |||||
|
|
|
|
|
| |||||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||||||
iShares MSCI Japan ETF | iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | ||||||||||
Futures contracts | $ | (1,500,127 | ) | $ | (40,618 | ) | $ | (1,872,855 | ) | |||
|
|
|
|
|
| |||||||
The following table shows the average quarter-end balances of open futures contracts for the six months ended February 28, 2018 :
iShares Edge MSCI Min Vol Global ETF | iShares MSCI Australia ETF | iShares MSCI Canada ETF | ||||||||||
Average notional value of contracts purchased | $ | 7,376,950 | $ | 18,176,482 | $ | 12,189,361 | ||||||
iShares MSCI Japan ETF | iShares MSCI Mexico ETF | iShares MSCI South Korea ETF | ||||||||||
Average notional value of contracts purchased | $ | 89,046,355 | $ | 1,405,131 | $ | 22,630,121 |
66 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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.
NOTESTO FINANCIAL STATEMENTS | 67 |
Table of Contents
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, 2017, 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- Expiringa | Expiring 2018 | Expiring 2019 | Total | ||||||||||||
Edge MSCI Min Vol Global | $ | 86,612,072 | $ | — | $ | — | $ | 86,612,072 | ||||||||
MSCI Australia | 160,958,058 | 23,348,244 | 12,127,364 | 196,433,666 | ||||||||||||
MSCI Canada | 380,840,433 | 68,928,677 | 14,903,919 | 464,673,029 | ||||||||||||
MSCI Japan | 686,418,449 | 173,577,101 | 139,228,194 | 999,223,744 | ||||||||||||
MSCI Mexico | 218,505,597 | 2,789,471 | 22,863,665 | 244,158,733 | ||||||||||||
MSCI South Korea | 326,749,122 | 226,591,665 | 78,503,704 | 631,844,491 |
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.
68 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
Edge MSCI Min Vol Global | $ | 3,123,431,022 | $ | 499,606,280 | $ | (87,535,590 | ) | $ | 412,070,690 | |||||||
MSCI Australia | 1,875,573,006 | 115,393,011 | (322,715,685 | ) | (207,322,674 | ) | ||||||||||
MSCI Canada | 3,405,939,793 | 198,536,635 | (737,066,529 | ) | (538,529,894 | ) | ||||||||||
MSCI Japan | 20,973,173,335 | 2,915,270,912 | (1,119,231,274 | ) | 1,796,039,638 | |||||||||||
MSCI Mexico | 1,354,311,339 | 6,623,984 | (421,945,010 | ) | (415,321,026 | ) | ||||||||||
MSCI South Korea | 2,610,570,146 | 2,393,983,366 | (593,541,783 | ) | 1,800,441,583 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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. | LINE OF CREDIT |
The iShares Edge MSCI Min Vol Global ETF, along with certain other iShares funds, is a party to a $275 million credit agreement with State Street Bank and Trust Company, which expires on October 24, 2018. The Fund became a party to the credit agreement effective 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, 2018.
9. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
NOTESTO FINANCIAL STATEMENTS | 69 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
10. | 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 | 2018 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 | ||||||||||||||||||||||||
Edge MSCI Min Vol Global | $ | 0.751591 | $ | — | $ | 0.115998 | $ | 0.867589 | 87 | % | — | % | 13 | % | 100 | % | ||||||||||||||||
MSCI Australia | 0.512974 | — | 0.045966 | 0.558940 | 92 | — | 8 | 100 | ||||||||||||||||||||||||
MSCI Canada | 0.249748 | — | 0.118976 | 0.368724 | 68 | — | 32 | 100 | ||||||||||||||||||||||||
MSCI Japan | 0.312537 | — | 0.086874 | 0.399411 | 78 | — | 22 | 100 | ||||||||||||||||||||||||
MSCI South Korea | 0.962801 | — | 1.213441 | 2.176242 | 44 | — | 56 | 100 |
SUPPLEMENTAL INFORMATION | 71 |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
72 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 73 |
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Notes:
74 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-815-0218
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Table of Contents
FEBRUARY 28, 2018
2018 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 |
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Table of Contents
iSHARES® CORE MSCI EMERGING MARKETS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 10.54%, net of fees, while the total return for the Index was 10.62%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 29.41% | 28.66% | 29.54% | 29.41% | 28.66% | 29.54% | ||||||||||||||||||||||
5 Years | 4.99% | 4.77% | 4.99% | 27.58% | 26.26% | 27.58% | ||||||||||||||||||||||
Since Inception | 5.58% | 5.36% | 5.58% | 33.82% | 32.37% | 33.86% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,105.40 | $ | 0.73 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 26.00 | % | ||
Financials | 22.34 | |||
Consumer Discretionary | 10.67 | |||
Materials | 8.05 | |||
Energy | 6.60 | |||
Consumer Staples | 6.35 | |||
Industrials | 6.29 | |||
Telecommunication Services | 4.09 | |||
Health Care | 3.65 | |||
Real Estate | 3.46 | |||
Utilities | 2.50 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 28.96 | % | ||
South Korea | 14.69 | |||
Taiwan | 12.15 | |||
India | 8.94 | |||
Brazil | 7.24 | |||
South Africa | 6.90 | |||
Russia | 3.30 | |||
Mexico | 2.81 | |||
Thailand | 2.61 | |||
Malaysia | 2.55 | |||
|
| |||
TOTAL | 90.15 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI BRIC ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 13.19%, net of fees, while the total return for the Index was 13.55%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 35.57% | 33.64% | 36.36% | 35.57% | 33.64% | 36.36% | ||||||||||||||||||||||
5 Years | 5.80% | 5.63% | 6.41% | 32.55% | 31.50% | 36.40% | ||||||||||||||||||||||
10 Years | 0.81% | 0.70% | 1.26% | �� | 8.44% | 7.23% | 13.30% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,131.90 | $ | 3.54 | $ | 1,000.00 | $ | 1,021.50 | $ | 3.36 | 0.67% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 28.25 | % | ||
Financials | 25.65 | |||
Energy | 10.70 | |||
Consumer Discretionary | 8.38 | |||
Materials | 5.82 | |||
Consumer Staples | 5.02 | |||
Industrials | 4.25 | |||
Telecommunication Services | 3.64 | |||
Real Estate | 3.24 | |||
Health Care | 2.72 | |||
Utilities | 2.33 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
ALLOCATION BY COUNTRY
As of 2/28/18
Country | Percentage of Total Investments* |
China | 61.04 | % | ||
India | 16.59 | |||
Brazil | 15.03 | |||
Russia | 7.34 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS ASIA ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 10.39%, net of fees, while the total return for the Index was 10.75%.
Special note: Effective on or around May 31, 2018, the Fund will track a new underlying index, the MSCI EM Asia Custom Capped Index, and will cease to track the MSCI Emerging Markets Asia Index.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 32.23% | 30.53% | 33.09% | 32.23% | 30.53% | 33.09% | ||||||||||||||||||||||
5 Years | 7.82% | 7.62% | 8.17% | 45.71% | 44.38% | 48.07% | ||||||||||||||||||||||
Since Inception | 7.41% | 7.19% | 7.81% | 54.21% | 52.25% | 57.70% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,103.90 | $ | 2.61 | $ | 1,000.00 | $ | 1,022.30 | $ | 2.51 | 0.50% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 37.46 | % | ||
Financials | 20.98 | |||
Consumer Discretionary | 8.80 | |||
Materials | 5.52 | |||
Industrials | 5.47 | |||
Energy | 5.26 | |||
Consumer Staples | 4.90 | |||
Telecommunication Services | 3.86 | |||
Health Care | 3.20 | |||
Real Estate | 2.62 | |||
Utilities | 1.93 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 41.81 | % | ||
South Korea | 19.92 | |||
Taiwan | 15.69 | |||
India | 11.35 | |||
Thailand | 3.36 | |||
Malaysia | 3.35 | |||
Indonesia | 3.00 | |||
Philippines | 1.42 | |||
Pakistan | 0.10 | |||
|
| |||
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, 2018
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, 2018, the total return for the Fund was 11.14%, net of fees, while the total return for the Index was 10.87%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 23.56% | 22.31% | 23.30% | 23.56% | 22.31% | 23.30% | ||||||||||||||||||||||
5 Years | 4.44% | 3.90% | 4.92% | 24.26% | 21.07% | 27.12% | ||||||||||||||||||||||
Since Inception | 3.79% | 3.57% | 4.38% | 27.53% | 25.78% | 32.39% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,111.40 | $ | 3.46 | $ | 1,000.00 | $ | 1,021.50 | $ | 3.31 | 0.66% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 16.46 | % | ||
Consumer Discretionary | 16.21 | |||
Industrials | 14.02 | |||
Materials | 11.99 | |||
Health Care | 9.45 | |||
Financials | 8.98 | |||
Real Estate | 8.78 | |||
Consumer Staples | 6.98 | |||
Utilities | 3.75 | |||
Energy | 2.42 | |||
Telecommunication Services | 0.96 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 19.84 | % | ||
Taiwan | 17.47 | |||
South Korea | 16.32 | |||
India | 13.84 | |||
South Africa | 5.76 | |||
Brazil | 5.72 | |||
Thailand | 3.66 | |||
Malaysia | 3.39 | |||
Mexico | 2.68 | |||
Indonesia | 2.57 | |||
|
| |||
TOTAL | 91.25 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 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, 2017 and held through February 28, 2018, 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 | 9 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 96.09% |
| |||||||
BRAZIL — 4.64% |
| |||||||
AES Tiete Energia SA | 1,185,600 | $ | 4,142,073 | |||||
Aliansce Shopping Centers SAa | 878,200 | 4,844,123 | ||||||
Alupar Investimento SA Units | 1,393,024 | 7,803,936 | ||||||
Ambev SA | 35,570,500 | 240,877,568 | ||||||
Arezzo Industria e Comercio SA | 451,200 | 7,791,403 | ||||||
Atacadao Distribuicao Comercio e Industria Ltdaa | 2,390,600 | 10,927,406 | ||||||
B2W Cia. Digitala | 1,597,727 | 11,699,862 | ||||||
B3 SA – Brasil Bolsa Balcao | 15,592,178 | 122,961,631 | ||||||
Banco ABC Brasil SAa | 28,958 | 169,358 | ||||||
Banco Bradesco SA | 7,095,966 | 80,444,610 | ||||||
Banco do Brasil SA | 6,489,200 | 83,493,208 | ||||||
Banco Santander Brasil SA Units | 3,153,300 | 35,689,678 | ||||||
BB Seguridade Participacoes SA | 5,183,200 | 46,427,432 | ||||||
BR Malls Participacoes SA | 6,101,065 | 22,404,219 | ||||||
BR Properties SA | 957,800 | 2,647,493 | ||||||
BRF SAa | 3,416,800 | 31,467,689 | ||||||
CCR SA | 9,084,100 | 35,511,526 | ||||||
Centrais Eletricas Brasileiras SAa | 1,716,400 | 13,086,642 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 2,533,600 | 29,362,075 | ||||||
Cia. de Saneamento de Minas Gerais-COPASA | 567,200 | 7,690,699 | ||||||
Cia. Energetica de Minas Geraisa | 796,974 | 1,999,335 | ||||||
Cia. Hering | 989,736 | 7,006,981 | ||||||
Cia. Siderurgica Nacional SAa | 4,773,200 | 14,912,806 | ||||||
Cielo SA | 9,169,896 | 68,278,502 | ||||||
Cosan SA Industria e Comercio | 1,306,800 | 17,445,453 | ||||||
CVC Brasil Operadora e Agencia de Viagens SA | 905,600 | 15,649,214 | ||||||
Cyrela Brazil Realty SA Empreendimentos e Participacoes | 1,976,500 | 9,332,669 | ||||||
Duratex SA | 2,572,329 | 9,018,492 | ||||||
EcoRodovias Infraestrutura e Logistica SA | 1,923,300 | 5,949,724 | ||||||
EDP – Energias do Brasil SA | 2,299,400 | 9,413,473 | ||||||
Eletropaulo Metropolitana Eletricidade de Sao Paulo SA | 877,600 | 4,727,357 |
Security | Shares | Value | ||||||
Embraer SA | 5,090,900 | $ | 34,098,648 | |||||
Engie Brasil Energia SA | 988,800 | 11,915,820 | ||||||
Equatorial Energia SA | 1,531,076 | 33,743,760 | ||||||
Estacio Participacoes SA | 2,089,800 | 21,806,609 | ||||||
Ez Tec Empreendimentos e Participacoes SA | 578,623 | 4,329,765 | ||||||
Fibria Celulose SA | 1,890,700 | 35,890,564 | ||||||
Fleury SA | 1,313,800 | 10,971,418 | ||||||
Gafisa SAa | 1 | 5 | ||||||
Hypera SA | 2,528,700 | 26,869,019 | ||||||
Iguatemi Empresa de Shopping Centers SA | 704,900 | 8,568,373 | ||||||
Instituto Hermes Pardini SA | 214,600 | 1,942,052 | ||||||
Iochpe Maxion SA | 791,909 | 5,384,616 | ||||||
JBS SA | 6,248,200 | 19,059,534 | ||||||
JSL SAa | 954,500 | 2,171,221 | ||||||
Klabin SA Units | 4,516,600 | 24,885,614 | ||||||
Kroton Educacional SA | 10,511,956 | 50,153,234 | ||||||
Light SAa | 786,100 | 3,694,882 | ||||||
Linx SA | 973,200 | 5,685,675 | ||||||
Localiza Rent a Car SA | 3,835,433 | 30,624,435 | ||||||
Lojas Renner SA | 5,486,260 | 58,294,943 | ||||||
M. Dias Branco SA | 859,200 | 15,823,297 | ||||||
Magazine Luiza SA | 592,600 | 16,608,305 | ||||||
Magnesita Refratarios SA | 436,260 | 7,385,702 | ||||||
Marfrig Global Foods SAa | 2,089,700 | 3,840,095 | ||||||
Minerva SA | 1,215,500 | 3,397,227 | ||||||
MRV Engenharia e Participacoes SA | 2,277,800 | 10,643,172 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 583,811 | 12,615,170 | ||||||
Multiplus SA | 457,700 | 4,850,669 | ||||||
Natura Cosmeticos SA | 1,364,200 | 14,415,694 | ||||||
Odontoprev SA | 2,184,100 | 10,292,750 | ||||||
Petroleo Brasileiro SAa | 22,578,000 | 160,886,710 | ||||||
Porto Seguro SA | 966,601 | 13,623,905 | ||||||
Qualicorp SA | 1,797,100 | 15,903,540 | ||||||
Raia Drogasil SA | 1,800,100 | 43,074,959 | ||||||
Rumo SAa | 8,368,900 | 36,682,766 | ||||||
Sao Martinho SA | 1,587,400 | 8,966,153 | ||||||
SLC Agricola SA | 644,300 | 6,885,755 | ||||||
Smiles Fidelidade SA | 509,300 | 13,212,406 | ||||||
Sonae Sierra Brasil SA | 376,900 | 2,714,724 | ||||||
Sul America SA Units | 1,559,532 | 10,248,867 | ||||||
Suzano Papel e Celulose SA | 3,312,800 | 22,178,807 |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
TIM Participacoes SA | 6,585,300 | $ | 28,581,063 | |||||
TOTVS SA | 778,500 | 7,318,319 | ||||||
Transmissora Alianca de Energia Eletrica SA Units | 1,411,400 | 8,906,102 | ||||||
Ultrapar Participacoes SA | 2,702,900 | 62,681,489 | ||||||
Vale SA | 23,787,863 | 329,863,248 | ||||||
Via Varejo SA | 936,900 | 7,898,943 | ||||||
WEG SA | 4,203,360 | 30,288,775 | ||||||
|
| |||||||
2,263,055,436 | ||||||||
CHILE — 1.15% |
| |||||||
AES Gener SA | 23,232,113 | 7,098,907 | ||||||
Aguas Andinas SA Series A | 19,168,364 | 12,813,829 | ||||||
Banco de Chile | 200,603,578 | 34,047,319 | ||||||
Banco de Credito e Inversiones SA | 329,449 | 24,554,524 | ||||||
Banco Santander Chile | 504,754,371 | 41,446,779 | ||||||
CAP SA | 616,764 | 8,800,143 | ||||||
Cencosud SA | 10,254,095 | 31,189,747 | ||||||
Cia. Cervecerias Unidas SA | 1,137,270 | 16,041,728 | ||||||
Cia. Sud Americana de Vapores SAa | 136,100,880 | 6,872,903 | ||||||
Colbun SA | 62,778,866 | 15,261,091 | ||||||
Empresa Nacional de Telecomunicaciones SA | 1,118,750 | 13,263,321 | ||||||
Empresas CMPC SA | 9,082,537 | 35,059,720 | ||||||
Empresas COPEC SA | 3,330,185 | 53,825,493 | ||||||
Enel Americas SA | 218,037,417 | 50,345,095 | ||||||
Enel Chile SA | 151,824,889 | 18,747,375 | ||||||
Enel Generacion Chile SA | 25,231,305 | 23,624,515 | ||||||
Engie Energia Chile SA | 3,974,070 | 8,963,661 | ||||||
Inversiones Aguas Metropolitanas SA | 3,794,627 | 7,134,667 | ||||||
Inversiones La Construccion SA | 429,217 | 8,545,797 | ||||||
Itau CorpBanca | 1,103,240,233 | 11,274,137 | ||||||
Latam Airlines Group SA | 2,253,594 | 36,921,091 | ||||||
Parque Arauco SA | 4,921,927 | 15,708,419 | ||||||
SACI Falabella | 5,261,864 | 53,253,069 | ||||||
Salfacorp SA | 5,290,134 | 10,605,710 | ||||||
SONDA SA | 3,494,200 | 7,064,551 | ||||||
Vina Concha y Toro SA | 3,651,217 | 7,868,288 | ||||||
|
| |||||||
560,331,879 | ||||||||
CHINA — 28.85% |
| |||||||
21Vianet Group Inc. ADRa | 670,772 | 5,117,990 | ||||||
361 Degrees International Ltd. | 8,480,000 | 3,110,117 |
Security | Shares | Value | ||||||
3SBio Inc.a,b,c | 9,582,500 | $ | 18,245,850 | |||||
51job Inc. ADRa | 252,856 | 16,554,482 | ||||||
58.com Inc. ADRa | 695,518 | 52,421,192 | ||||||
AAC Technologies Holdings Inc. | 5,584,500 | 111,257,530 | ||||||
Agile Group Holdings Ltd. | 12,872,500 | 22,207,296 | ||||||
Agricultural Bank of China Ltd. Class H | 194,718,000 | 108,241,639 | ||||||
AGTech Holdings Ltd.a,b | 25,484,000 | 2,996,087 | ||||||
Air China Ltd. Class H | 13,374,000 | 20,406,318 | ||||||
Ajisen (China) Holdings Ltd. | 8,993,000 | 4,206,149 | ||||||
Alibaba Group Holding Ltd. ADRa,b | 8,698,105 | 1,619,065,265 | ||||||
Alibaba Health Information Technology Ltd.a,b | 28,222,000 | 13,885,052 | ||||||
Alibaba Pictures Group Ltd.a,b | 115,430,000 | 15,783,433 | ||||||
Aluminum Corp. of China Ltd. Class Ha,b | 30,644,000 | 18,601,076 | ||||||
Anhui Conch Cement Co. Ltd. Class H | 9,428,000 | 50,541,781 | ||||||
Anhui Expressway Co. Ltd. Class H | 3,838,000 | 3,016,332 | ||||||
ANTA Sports Products Ltd. | 8,642,000 | 42,849,424 | ||||||
APT Satellite Holdings Ltd. | 6,681,500 | 2,954,262 | ||||||
Asia Cement China Holdings Corp.b | 6,171,500 | 2,358,093 | ||||||
Autohome Inc. ADR | 409,399 | 32,019,096 | ||||||
AVIC International Holding HK Ltd.a,b | 44,806,000 | 2,290,315 | ||||||
AviChina Industry & Technology Co. Ltd. Class Hb | 17,195,000 | 9,580,489 | ||||||
Baidu Inc. ADRa | 2,071,023 | 522,601,944 | ||||||
Bank of China Ltd. Class H | 592,535,000 | 323,326,192 | ||||||
Bank of Communications Co. Ltd. Class H | 62,561,000 | 50,206,775 | ||||||
Baozun Inc. ADRa,b | 219,641 | 7,722,578 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 11,942,000 | 17,641,435 | ||||||
Beijing Capital Land Ltd. Class H | 9,276,000 | 5,559,460 | ||||||
Beijing Enterprises Holdings Ltd. | 3,698,000 | 20,580,412 | ||||||
Beijing Enterprises Medical & Health Group Ltd.a,b | 73,260,000 | 3,651,157 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Beijing Enterprises Water Group Ltd. | 41,708,000 | $ | 27,182,447 | |||||
Beijing Tong Ren Tang Chinese Medicine Co. Ltd.b | 3,766,000 | 6,400,751 | ||||||
Bitauto Holdings Ltd. ADRa,b | 197,690 | 5,612,419 | ||||||
Bosideng International Holdings Ltd. | 44,618,000 | 3,820,181 | ||||||
Brilliance China Automotive Holdings Ltd. | 23,044,000 | 62,135,433 | ||||||
BYD Co. Ltd. Class Hb | 4,869,500 | 45,083,930 | ||||||
BYD Electronic International Co. Ltd.b | 5,586,000 | 13,848,466 | ||||||
C C Land Holdings Ltd.a | 22,641,500 | 5,237,002 | ||||||
CGN Power Co. Ltd. Class Hc | 82,889,000 | 22,350,043 | ||||||
Changyou.com Ltd. ADRa | 76,530 | 2,165,799 | ||||||
Chaowei Power Holdings Ltd.b | 8,167,000 | 5,030,470 | ||||||
Cheetah Mobile Inc. ADRa,b | 374,748 | 5,328,917 | ||||||
China Aerospace International Holdings Ltd.b | 37,566,000 | 4,224,513 | ||||||
China Agri-Industries Holdings Ltd. | 18,825,200 | 8,107,156 | ||||||
China Aircraft Leasing Group Holdings Ltd.b | 3,859,500 | 3,777,973 | ||||||
China Animal Healthcare Ltd.a,b,d | 1,237,000 | 12,646 | ||||||
China Aoyuan Property Group Ltd.b | 18,332,000 | 14,829,024 | ||||||
China BlueChemical Ltd. Class H | 16,796,000 | 5,086,900 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 67,665,000 | 25,422,041 | ||||||
China CITIC Bank Corp. Ltd. Class H | 67,179,000 | 49,019,474 | ||||||
China Communications Construction Co. Ltd. Class H | 33,465,000 | 37,462,257 | ||||||
China Communications Services Corp. Ltd. Class H | 19,912,000 | 11,857,682 | ||||||
China Conch Venture Holdings Ltd. | 12,790,000 | 38,491,112 | ||||||
China Construction Bank Corp. Class H | 635,864,000 | 662,248,297 | ||||||
China Datang Corp. Renewable Power Co. Ltd. Class H | 29,413,000 | 3,645,945 |
Security | Shares | Value | ||||||
China Dongxiang Group Co. Ltd. | 34,401,000 | $ | 6,682,111 | |||||
China Everbright Bank Co. Ltd. Class H | 19,832,000 | 10,213,405 | ||||||
China Everbright International Ltd. | 19,200,000 | 29,737,390 | ||||||
China Everbright Ltd. | 7,152,000 | 15,738,367 | ||||||
China Everbright Water Ltd.b | 9,725,300 | 3,308,300 | ||||||
China Evergrande Groupa,b | 24,952,000 | 73,976,257 | ||||||
China Fiber Optic Network System Group Ltd.a,d | 10,394,800 | 650,895 | ||||||
China First Capital Group Ltd.a | 18,564,000 | 8,042,115 | ||||||
China Foods Ltd.b | 9,878,000 | 5,225,988 | ||||||
China Galaxy Securities Co. Ltd. Class H | 24,833,000 | 17,422,101 | ||||||
China Gas Holdings Ltd.b | 13,491,200 | 42,066,794 | ||||||
China Huarong Asset Management Co. Ltd. Class Hc | 68,579,000 | 31,111,325 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,d | 24,638,800 | 32 | ||||||
China Huiyuan Juice Group Ltd.a,b | 10,577,000 | 2,838,447 | ||||||
China Innovationpay Group Ltd.a,b | 68,824,000 | 3,869,827 | ||||||
China Internet Nationwide Financial Services Inc.a,b | 88,675 | 3,332,407 | ||||||
China Investment Fund International Holdings Co. Ltd.a | 3,112,000 | 3,459,855 | ||||||
China Jinmao Holdings Group Ltd. | 34,736,000 | 21,262,500 | ||||||
China Lesso Group Holdings Ltd.b | 10,422,000 | 6,858,945 | ||||||
China Life Insurance Co. Ltd. Class H | 55,538,000 | 165,010,734 | ||||||
China Lilang Ltd. | 6,234,000 | 5,815,521 | ||||||
China Logistics Property Holdings Co. Ltd.a,b | 8,353,000 | 2,508,473 | ||||||
China Longyuan Power Group Corp. Ltd. Class H | 24,070,000 | 15,994,786 | ||||||
China Lumena New Materials Corp.a,b,d | 2,584,000 | 3 | ||||||
China Maple Leaf Educational Systems Ltd.b | 6,850,000 | 8,736,151 |
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
China Medical System Holdings Ltd. | 10,414,000 | $ | 20,920,358 | |||||
China Mengniu Dairy Co. Ltd. | 21,082,000 | 69,642,020 | ||||||
China Merchants Bank Co. Ltd. Class H | 29,360,964 | 124,005,452 | ||||||
China Merchants Land Ltd.b | 20,038,000 | 3,636,149 | ||||||
China Merchants Port Holdings Co. Ltd. | 9,648,270 | 22,587,799 | ||||||
China Metal Recycling Holdings Ltd.a,d | 62,400 | — | ||||||
China Minsheng Banking Corp. Ltd. Class H | 39,878,600 | 41,686,191 | ||||||
China Mobile Ltd. | 46,273,500 | 434,037,660 | ||||||
China Molybdenum Co. Ltd. Class H | 28,248,000 | 23,102,910 | ||||||
China National Building Material Co. Ltd. Class Hb | 21,610,000 | 21,457,286 | ||||||
China National Materials Co. Ltd. Class H | 10,829,000 | 9,050,344 | ||||||
China Oil and Gas Group Ltd. | 59,268,000 | 5,074,510 | ||||||
China Oilfield Services Ltd. Class H | 14,680,000 | 15,495,483 | ||||||
China Overseas Grand Oceans Group Ltd. | 12,411,500 | 6,217,408 | ||||||
China Overseas Land & Investment Ltd. | 28,322,000 | 99,530,369 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 19,565,400 | 96,260,578 | ||||||
China Petroleum & Chemical Corp. Class H | 188,102,200 | 151,437,499 | ||||||
China Power Clean Energy Development Co. Ltd.b | 4,773,000 | 2,671,558 | ||||||
China Power International Development Ltd.b | 28,884,000 | 7,271,476 | ||||||
China Railway Construction Corp. Ltd. Class H | 14,747,500 | 15,830,575 | ||||||
China Railway Group Ltd. Class H | 29,758,000 | 21,637,895 | ||||||
China Resources Beer Holdings Co. Ltd. | 12,344,000 | 47,638,915 | ||||||
China Resources Gas Group Ltd.b | 6,730,000 | 22,704,816 | ||||||
China Resources Land Ltd. | 20,659,777 | 73,791,518 | ||||||
China Resources Pharmaceutical Group Ltd.c | 11,340,500 | 15,303,654 |
Security | Shares | Value | ||||||
China Resources Phoenix Healthcare Holdings Co. Ltd.b | 5,970,500 | $ | 7,644,999 | |||||
China Resources Power Holdings Co. Ltd. | 14,098,000 | 24,537,687 | ||||||
China SCE Property Holdings Ltd. | 15,839,200 | 7,792,790 | ||||||
China Shenhua Energy Co. Ltd. Class H | 25,236,500 | 71,755,987 | ||||||
China Shineway Pharmaceutical Group Ltd. | 4,627,000 | 6,504,160 | ||||||
China Singyes Solar Technologies Holdings Ltd.b | 7,877,000 | 3,150,679 | ||||||
China South City Holdings Ltd.b | 25,122,000 | 5,939,159 | ||||||
China Southern Airlines Co. Ltd. Class H | 13,144,000 | 17,636,640 | ||||||
China State Construction International Holdings Ltd.b | 14,880,000 | 20,270,252 | ||||||
China Suntien Green Energy Corp. Ltd. Class H | 19,643,000 | 4,694,058 | ||||||
China Taiping Insurance Holdings Co. Ltd. | 12,510,308 | 48,280,743 | ||||||
China Telecom Corp. Ltd. Class H | 101,818,000 | 44,889,282 | ||||||
China Traditional Chinese Medicine Holdings Co. Ltd.b | 16,924,000 | 10,229,706 | ||||||
China Travel International Investment Hong Kong Ltd. | 21,158,000 | 7,949,155 | ||||||
China Unicom Hong Kong Ltd.a | 44,930,000 | 58,220,158 | ||||||
China Vanke Co. Ltd. Class H | 9,127,387 | 40,998,767 | ||||||
China Water Affairs Group Ltd. | 9,346,000 | 8,252,829 | ||||||
China Yuhua Education Corp Ltd. Class Lb,c | 9,502,000 | 5,367,058 | ||||||
China ZhengTong Auto Services Holdings Ltd.b | 7,488,500 | 6,775,278 | ||||||
Chinasoft International Ltd.b | 17,714,000 | 12,993,541 | ||||||
Chong Sing Holdings FinTech Group Ltd.a,b | 124,504,000 | 15,433,131 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 17,431,000 | 14,167,017 | ||||||
CIFI Holdings Group Co. Ltd. | 26,752,000 | 21,058,914 | ||||||
CIMC Enric Holdings Ltd.a,b | 6,562,000 | 6,012,490 | ||||||
CITIC Ltd. | 42,648,000 | 62,021,167 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
CITIC Resources Holdings Ltd.b | 30,178,000 | $ | 3,008,043 | |||||
CITIC Securities Co. Ltd. Class H | 16,476,000 | 37,309,077 | ||||||
CNOOC Ltd. | 133,463,000 | 194,430,654 | ||||||
Colour Life Services Group Co. Ltd.b | 6,515,000 | 4,221,059 | ||||||
Comba Telecom Systems Holdings Ltd.b | 21,855,524 | 3,519,093 | ||||||
Concord New Energy Group Ltd.b | 93,880,000 | 4,198,944 | ||||||
Coolpad Group Ltd.a,b,d | 22,836,000 | 175,094 | ||||||
COSCO SHIPPING International Hong Kong Co. Ltd.b | 9,152,000 | 3,906,263 | ||||||
COSCO SHIPPING Ports Ltd. | 13,068,000 | 12,708,456 | ||||||
Country Garden Holdings Co. Ltd.b | 40,704,733 | 73,239,702 | ||||||
CPMC Holdings Ltd.b | 4,813,000 | 3,315,153 | ||||||
CRRC Corp. Ltd. Class H | 29,454,750 | 26,988,174 | ||||||
CSPC Pharmaceutical Group Ltd. | 34,236,000 | 79,100,722 | ||||||
CT Environmental Group Ltd.b | 25,622,000 | 4,485,725 | ||||||
Ctrip.com International Ltd. ADRa,b | 2,950,925 | 135,683,532 | ||||||
Dah Chong Hong Holdings Ltd.b | 9,946,000 | 4,931,502 | ||||||
Dawnrays Pharmaceutical Holdings Ltd. | 6,336,000 | 3,457,340 | ||||||
Dazhong Transportation Group Co. Ltd. Class B | 7,006,083 | 4,343,771 | ||||||
Digital China Holdings Ltd.a,b | 8,028,000 | 4,544,751 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 20,284,000 | 25,687,762 | ||||||
Dongjiang Environmental Co. Ltd. Class Hb | 2,417,900 | 3,361,756 | ||||||
Eastern Communications Co. Ltd. Class B | 3,662,249 | 2,222,985 | ||||||
ENN Energy Holdings Ltd. | 5,846,000 | 45,047,960 | ||||||
Fang Holdings Ltd. ADRa,b | 1,987,635 | 10,057,433 | ||||||
Fantasia Holdings Group Co. Ltd.b | 31,879,500 | 5,255,333 | ||||||
Far East Horizon Ltd. | 16,903,000 | 17,064,355 | ||||||
FDG Electric Vehicles Ltd.a,b | 179,480,000 | 7,339,476 | ||||||
First Tractor Co. Ltd. Class Hb | 6,850,000 | 2,713,634 |
Security | Shares | Value | ||||||
Fosun International Ltd.b | 19,463,000 | $ | 42,928,882 | |||||
Fu Shou Yuan International Group Ltd. | 9,925,000 | 8,751,422 | ||||||
Fufeng Group Ltd. | 14,014,400 | 9,635,090 | ||||||
Fullshare Holdings Ltd.b | 50,035,000 | 28,133,618 | ||||||
Future Land Development Holdings Ltd. | 10,876,000 | 8,519,786 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hc | 4,004,000 | 16,066,553 | ||||||
GCL New Energy Holdings Ltd.a,b | 54,804,000 | 3,431,684 | ||||||
GCL-Poly Energy Holdings Ltd.a | 102,276,000 | 16,206,694 | ||||||
GDS Holdings Ltd. ADRa | 467,341 | 12,244,334 | ||||||
Geely Automobile Holdings Ltd. | 37,999,000 | 124,068,656 | ||||||
Genscript Biotech Corp.b | 5,514,000 | 16,558,982 | ||||||
GF Securities Co. Ltd. Class H | 9,853,400 | 18,988,316 | ||||||
Glorious Property Holdings Ltd.a,b | 28,394,000 | 2,830,220 | ||||||
Golden Eagle Retail Group Ltd.b | 5,833,000 | 7,767,096 | ||||||
GOME Retail Holdings Ltd.b | 95,206,000 | 11,193,120 | ||||||
Great Wall Motor Co. Ltd. Class H | 23,651,500 | 27,987,795 | ||||||
Greatview Aseptic Packaging Co. Ltd. | 12,579,000 | 8,953,654 | ||||||
Greentown China Holdings Ltd.b | 5,905,500 | 8,874,890 | ||||||
Guangdong Investment Ltd. | 21,746,000 | 33,291,641 | ||||||
Guangdong Land Holdings Ltd.a | 9,534,000 | 2,119,939 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 16,198,000 | 36,017,175 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 7,507,600 | 17,672,165 | ||||||
Haier Electronics Group Co. Ltd. | 9,881,000 | 33,903,473 | ||||||
Haitian International Holdings Ltd. | 5,549,000 | 16,983,189 | ||||||
Haitong Securities Co. Ltd. Class H | 24,178,400 | 34,605,457 | ||||||
Hanergy Thin Film Power Group Ltd.a,d | 8,046 | — | ||||||
Hangzhou Steam Turbine Co. Ltd. Class Ba | 3,023,101 | 2,920,609 |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Harbin Electric Co. Ltd. Class H | 7,182,000 | $ | 2,909,402 | |||||
HC International Inc.b | 4,547,500 | 2,830,093 | ||||||
Hengan International Group Co. Ltd. | 5,575,500 | 54,505,993 | ||||||
HengTen Networks Group Ltd.a,b | 161,908,000 | 7,241,614 | ||||||
Hi Sun Technology (China) Ltd.a | 26,730,000 | 5,567,825 | ||||||
Hisense Kelon Electrical Holdings Co. Ltd. Class H | 3,316,000 | 4,089,223 | ||||||
Hopson Development Holdings Ltd. | 6,010,000 | 5,721,761 | ||||||
Hua Han Health Industry Holdings Ltd. Class Ha,b,d | 22,424,288 | 143,281 | ||||||
Hua Hong Semiconductor Ltd.c | 3,426,000 | 6,628,454 | ||||||
Huabao International Holdings Ltd.b | 9,456,000 | 7,117,406 | ||||||
Huadian Fuxin Energy Corp. Ltd. Class H | 20,412,000 | 4,956,078 | ||||||
Huaneng Power International Inc. Class H | 30,206,000 | 18,759,812 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 37,326,000 | 12,497,172 | ||||||
Huangshi Dongbei Electrical Appliance Co. Ltd. Class B | 1,740,203 | 2,323,171 | ||||||
Huatai Securities Co. Ltd. Class Hc | 12,114,200 | 24,428,722 | ||||||
Hutchison China MediTech Ltd.a | 109,160 | 7,144,294 | ||||||
IGG Inc.b | 12,922,000 | 16,513,105 | ||||||
iKang Healthcare Group Inc. ADRa,b | 473,815 | 7,798,995 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 558,312,000 | 482,305,997 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 9,486,603 | 13,622,762 | ||||||
JA Solar Holdings Co. Ltd. ADRa,b | 483,014 | 3,579,134 | ||||||
JD.com Inc. ADRa | 4,923,921 | 232,162,875 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 9,966,000 | 15,511,978 | ||||||
Jiangxi Copper Co. Ltd. Class H | 9,946,000 | 15,735,049 | ||||||
JinkoSolar Holding Co. Ltd. ADRa | 221,228 | 3,953,344 |
Security | Shares | Value | ||||||
Ju Teng International Holdings Ltd. | 9,518,000 | $ | 2,700,211 | |||||
Jumei International Holding Ltd. ADRa,b | 861,943 | 2,456,538 | ||||||
Kaisa Group Holdings Ltd.a,b | 19,374,000 | 10,324,151 | ||||||
Kama Co. Ltd. Class Ba | 3,150,600 | 2,400,757 | ||||||
Kingboard Chemical Holdings Ltd. | 5,338,200 | 27,116,334 | ||||||
Kingboard Laminates Holdings Ltd. | 7,915,500 | 13,938,838 | ||||||
Kingdee International Software Group Co. Ltd.a,b | 17,002,000 | 12,254,007 | ||||||
Kingsoft Corp. Ltd. | 5,795,000 | 19,143,132 | ||||||
Konka Group Co. Ltd. Class Ba | 8,000,818 | 3,322,896 | ||||||
KuangChi Science Ltd.a,b | 16,442,000 | 4,223,278 | ||||||
Kunlun Energy Co. Ltd. | 25,424,000 | 23,912,264 | ||||||
KWG Property Holding Ltd. | 10,044,500 | 14,093,851 | ||||||
Lao Feng Xiang Co. Ltd. Class B | 1,761,986 | 6,503,490 | ||||||
Launch Tech Co. Ltd. | 2,202,500 | 2,592,236 | ||||||
Lee & Man Paper Manufacturing Ltd. | 12,785,000 | 14,622,538 | ||||||
Lee’s Pharmaceutical Holdings Ltd. | 882,000 | 1,375,078 | ||||||
Lenovo Group Ltd.b | 53,550,000 | 27,988,639 | ||||||
Li Ning Co. Ltd.a | 13,255,500 | 12,196,286 | ||||||
Lianhua Supermarket Holdings Co. Ltd. Class Ha,b | 5,644,000 | 1,846,401 | ||||||
Lifetech Scientific Corp.a,b | 23,362,000 | 5,582,782 | ||||||
Livzon Pharmaceutical Group Inc. Class H | 1,108,451 | 8,293,587 | ||||||
Longfor Properties Co. Ltd. | 11,523,000 | 33,279,210 | ||||||
Lonking Holdings Ltd. | 18,310,000 | 7,651,298 | ||||||
Luthai Textile Co. Ltd. Class B | 2,995,721 | 3,242,528 | ||||||
Luye Pharma Group Ltd.b | 11,446,500 | 9,917,482 | ||||||
Meitu Inc.a,c | 16,257,000 | 20,941,122 | ||||||
MIE Holdings Corp.a | 17,604,000 | 1,147,309 | ||||||
MMG Ltd.a,b | 18,443,999 | 12,939,766 | ||||||
Momo Inc. ADRa | 813,647 | 26,891,033 | ||||||
NetDragon Websoft Holdings Ltd.b | 1,661,500 | 4,331,412 | ||||||
NetEase Inc. ADR | 595,819 | 174,783,504 | ||||||
New China Life Insurance Co. Ltd. Class H | 5,997,000 | 35,903,985 | ||||||
New Oriental Education & Technology Group Inc. ADR | 1,011,258 | 92,418,869 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Nexteer Automotive Group Ltd. | 7,193,000 | $ | 16,030,813 | |||||
Nine Dragons Paper Holdings Ltd. | 12,821,000 | 23,134,259 | ||||||
Noah Holdings Ltd. ADRa,b | 259,582 | 12,054,988 | ||||||
North Mining Shares Co. Ltd.a,b | 141,200,000 | 2,778,782 | ||||||
NQ Mobile Inc. ADRa,b | 979,707 | 2,165,152 | ||||||
Panda Green Energy Group Ltd.a,b | 49,388,852 | 5,617,175 | ||||||
Parkson Retail Group Ltd.b | 24,675,000 | 2,869,443 | ||||||
PAX Global Technology Ltd.b | 8,122,000 | 4,037,491 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 49,026,000 | 26,501,218 | ||||||
PetroChina Co. Ltd. Class H | 155,864,000 | 110,146,310 | ||||||
Phoenix New Media Ltd. ADRa | 320,188 | 1,658,574 | ||||||
Phoenix Satellite Television Holdings Ltd.b | 25,810,000 | 3,199,328 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 33,967,360 | 67,367,823 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 39,322,500 | 419,340,169 | ||||||
Poly Property Group Co. Ltd.a | 17,175,000 | 8,779,216 | ||||||
Pou Sheng International Holdings Ltd.b | 19,803,000 | 4,985,356 | ||||||
Q Technology Group Co. Ltd.b | 3,307,000 | 4,733,160 | ||||||
Renhe Commercial Holdings Co. Ltd.a,b | 154,898,000 | 3,939,108 | ||||||
Renren Inc. ADRa,b | 210,289 | 1,924,144 | ||||||
Road King Infrastructure Ltd. | 4,240,000 | 7,726,528 | ||||||
Ronshine China Holdings Ltd.a | 1,006,000 | 1,470,696 | ||||||
Sany Heavy Equipment International Holdings Co. Ltd.b | 15,928,000 | 4,477,988 | ||||||
Semiconductor Manufacturing International Corp.a,b | 21,657,200 | 29,170,369 | ||||||
Shandong Airlines Co. Ltd. Class B | 1,609,024 | 3,289,891 | ||||||
Shandong Chenming Paper Holdings Ltd. Class H | 3,801,000 | 6,499,097 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 14,232,000 | 9,730,132 | ||||||
Shang Gong Group Co. Ltd. Class Ba | 3,931,800 | 3,353,825 | ||||||
Shanghai Baosight Software Co. Ltd. Class B | 2,361,080 | 4,101,196 |
Security | Shares | Value | ||||||
Shanghai Chlor-Alkali Chemical Co. Ltd. Class Ba | 4,809,547 | $ | 3,818,780 | |||||
Shanghai Electric Group Co. Ltd. Class Ha | 22,898,000 | 8,632,142 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 3,774,500 | 21,970,848 | ||||||
Shanghai Greencourt Investment Group Co. Ltd. Class Ba | 5,033,510 | 2,682,861 | ||||||
Shanghai Haixin Group Co. Class B | 4,799,000 | 2,865,003 | ||||||
Shanghai Industrial Holdings Ltd. | 3,668,000 | 10,288,756 | ||||||
Shanghai Industrial Urban Development Group Ltd.b | 20,214,000 | 5,011,330 | ||||||
Shanghai Jin Jiang International Hotels Group Co. Ltd. Class H | 12,430,000 | 5,416,572 | ||||||
Shanghai Jinjiang International Industrial Investment Co. Ltd. Class B | 1,857,142 | 2,258,285 | ||||||
Shanghai Jinjiang International Travel Co. Ltd. Class B | 993,700 | 2,560,765 | ||||||
Shanghai Lingyun Industries Development Co. Ltd. Class Ba | 2,785,634 | 2,261,935 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 7,291,653 | 10,602,063 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 5,530,900 | 13,938,040 | ||||||
Shanghai Shibei Hi-Tech Co. Ltd. Class B | 5,363,400 | 2,762,151 | ||||||
Shenzhen Expressway Co. Ltd. Class H | 6,624,000 | 6,687,232 | ||||||
Shenzhen International Holdings Ltd. | 7,709,750 | 15,881,969 | ||||||
Shenzhen Investment Ltd. | 24,986,000 | 10,441,034 | ||||||
Shenzhou International Group Holdings Ltd.b | 5,649,000 | 55,946,417 | ||||||
Shimao Property Holdings Ltd. | 9,184,500 | 22,910,488 | ||||||
Shougang Concord International Enterprises Co. Ltd.a,b | 207,780,000 | 6,399,113 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Shougang Fushan Resources Group Ltd.b | 23,522,000 | $ | 7,424,551 | |||||
Shui On Land Ltd. | 30,225,666 | 8,497,625 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 33,543,000 | 12,259,336 | ||||||
SINA Corp./Chinaa | 424,920 | 49,685,896 | ||||||
Sino Biopharmaceutical Ltd. | 34,380,000 | 65,110,807 | ||||||
Sino Oil And Gas Holdings Ltd.a,b | 127,860,000 | 1,013,037 | ||||||
Sino-Ocean Group Holding Ltd. | 23,798,000 | 16,969,680 | ||||||
Sinofert Holdings Ltd.a,b | 27,992,000 | 3,970,598 | ||||||
Sinolink Worldwide Holdings Ltd.a,b | 26,672,000 | 3,306,179 | ||||||
Sinopec Kantons Holdings Ltd.b | 9,634,000 | 5,835,579 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 27,165,000 | 16,315,732 | ||||||
Sinopharm Group Co. Ltd. Class H | 8,926,800 | 39,413,306 | ||||||
Sinosoft Technology Group Ltd.b | 8,905,600 | 2,412,671 | ||||||
Sinotrans Ltd. Class H | 17,392,000 | 9,668,026 | ||||||
Sinotrans Shipping Ltd.b | 17,571,500 | 5,074,769 | ||||||
Sinotruk Hong Kong Ltd. | 3,367,000 | 4,285,500 | ||||||
Skyfame Realty Holdings Ltd.a | 10,320,000 | 6,040,101 | ||||||
Skyworth Digital Holdings Ltd.b | 16,278,000 | 7,176,607 | ||||||
SMI Holdings Group Ltd.b | 12,987,999 | 6,207,445 | ||||||
SOHO China Ltd. | 16,644,000 | 9,571,262 | ||||||
Sohu.com Inc.a | 221,548 | 7,455,090 | ||||||
SSY Group Ltd. | 19,380,411 | 14,711,211 | ||||||
Sun Art Retail Group Ltd. | 18,992,500 | 25,241,460 | ||||||
Sunac China Holdings Ltd.b | 17,951,000 | 65,836,926 | ||||||
Sunny Optical Technology Group Co. Ltd. | 5,390,000 | 90,025,047 | ||||||
Superb Summit International Group Ltd.a,b,d | 6,035,000 | 38,561 | ||||||
TAL Education Group Class A ADR | 2,341,865 | 88,428,822 | ||||||
Tarena International Inc. ADR | 351,749 | 4,315,960 | ||||||
TCL Multimedia Technology Holdings Ltd.b | 6,506,000 | 3,009,689 | ||||||
Tencent Holdings Ltd. | 42,954,400 | 2,372,419,163 | ||||||
Tian Ge Interactive Holdings Ltd.b,c | 4,640,000 | 4,174,358 |
Security | Shares | Value | ||||||
Tianjin Capital Environmental Protection Group Co. Ltd. Class Hb | 4,600,000 | $ | 2,680,536 | |||||
Tianjin Development Holdings Ltd. | 8,038,000 | 3,667,036 | ||||||
Tianjin Port Development Holdings Ltd. | 31,868,000 | 4,642,572 | ||||||
Tianneng Power International Ltd. | 6,356,000 | 6,294,839 | ||||||
Tibet Water Resources Ltd.a,b | 19,505,000 | 8,175,584 | ||||||
Tingyi Cayman Islands Holding Corp.b | 15,368,000 | 32,286,292 | ||||||
Tong Ren Tang Technologies Co. Ltd. Class H | 5,082,000 | 8,598,479 | ||||||
Tongda Group Holdings Ltd.b | 24,530,000 | 5,893,244 | ||||||
Tongda Hong Tai Holdings Ltd.a | 610,000 | 1 | ||||||
Towngas China Co. Ltd. | 9,774,000 | 7,906,332 | ||||||
TravelSky Technology Ltd. Class H | 7,198,000 | 22,995,923 | ||||||
Truly International Holdings Ltd.b | 31,314,000 | 10,444,269 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 2,812,000 | 15,451,932 | ||||||
Tuniu Corp. ADRa | 313,217 | 2,414,903 | ||||||
Universal Medical Financial & Technical Advisory Services Co. Ltd.b,c | 5,321,500 | 4,386,244 | ||||||
Vinda International Holdings Ltd.b | 2,282,000 | 4,525,915 | ||||||
Vipshop Holdings Ltd. ADRa | 3,127,926 | 54,394,633 | ||||||
Viva China Holdings Ltd.a,b | 27,456,000 | 3,017,413 | ||||||
Want Want China Holdings Ltd.b | 39,239,000 | 33,145,028 | ||||||
Wasion Group Holdings Ltd. | 5,008,000 | 2,643,099 | ||||||
Weibo Corp. ADRa,b | 357,941 | 46,002,577 | ||||||
Weichai Power Co. Ltd. Class H | 15,561,000 | 17,539,011 | ||||||
West China Cement Ltd.a | 25,120,000 | 4,269,434 | ||||||
Xiamen International Port Co. Ltd. Class H | 18,736,000 | 3,495,656 | ||||||
Xingda International Holdings Ltd. | 10,925,000 | 4,132,493 | ||||||
Xinhua Winshare Publishing and Media Co. Ltd. Class H | 3,703,000 | 2,853,448 | ||||||
Xinyi Solar Holdings Ltd. | 25,540,800 | 10,574,955 | ||||||
Xtep International Holdings Ltd. | 9,869,000 | 4,388,857 | ||||||
Xunlei Ltd. ADRa,b | 184,614 | 2,357,521 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Yangtze Optical Fibre and Cable Joint Stock Ltd. Co. Class Hb,c | 909,000 | $ | 3,961,113 | |||||
Yanzhou Coal Mining Co. Ltd. Class H | 14,298,000 | 21,414,203 | ||||||
YiChang HEC ChangJiang Pharmaceutical Co. Ltd. Class Hc | 652,400 | 3,868,396 | ||||||
Yirendai Ltd. ADRb | 87,735 | 3,322,524 | ||||||
Yuexiu Property Co. Ltd. | 57,408,880 | 11,371,291 | ||||||
Yuexiu REIT | 13,215,000 | 8,798,404 | ||||||
Yuexiu Transport Infrastructure Ltd.b | 8,858,000 | 6,655,980 | ||||||
Yum China Holdings Inc. | 2,904,604 | 125,827,445 | ||||||
Yuzhou Properties Co. Ltd. | 14,710,400 | 9,079,682 | ||||||
YY Inc. ADRa | 334,108 | 43,210,188 | ||||||
Zhaojin Mining Industry Co. Ltd. Class Hb | 9,301,000 | 7,190,913 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 11,314,000 | 12,361,788 | ||||||
Zhongsheng Group Holdings Ltd. | 4,745,000 | 12,066,694 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 4,188,500 | 22,694,644 | ||||||
Zijin Mining Group Co. Ltd. Class H | 45,336,000 | 20,856,657 | ||||||
ZTE Corp. Class Ha | 5,604,640 | 19,767,685 | ||||||
|
| |||||||
14,058,104,281 | ||||||||
COLOMBIA — 0.28% |
| |||||||
Almacenes Exito SA | 1,482,220 | 8,670,809 | ||||||
Bancolombia SA | 1,451,892 | 15,265,837 | ||||||
Cementos Argos SA | 3,557,047 | 12,946,283 | ||||||
Corp. Financiera Colombiana SA | 979,542 | 8,277,719 | ||||||
Ecopetrol SA | 37,818,241 | 33,092,535 | ||||||
Grupo Argos SA/Colombia | 2,126,735 | 14,324,368 | ||||||
Grupo de Inversiones Suramericana SA | 2,014,105 | 26,977,050 | ||||||
Interconexion Electrica SA ESP | 3,070,881 | 14,666,907 | ||||||
|
| |||||||
134,221,508 | ||||||||
CZECH REPUBLIC — 0.18% |
| |||||||
CEZ AS | 1,241,176 | 30,085,938 | ||||||
Komercni Banka AS | 669,049 | 29,753,780 | ||||||
Moneta Money Bank ASc | 4,853,941 | 19,582,630 | ||||||
Philip Morris CR AS | 8,945 | 7,264,731 | ||||||
|
| |||||||
86,687,079 |
Security | Shares | Value | ||||||
EGYPT — 0.14% |
| |||||||
Commercial International Bank Egypt SAE | 7,243,541 | $ | 31,664,857 | |||||
Egyptian Financial Group-Hermes Holding Co. | 6,896,860 | 8,630,838 | ||||||
Ezz Steela | 3,019,447 | 4,017,951 | ||||||
Global Telecom Holding SAEa | 31,999,368 | 12,267,028 | ||||||
Heliopolis Housing | 1,210,300 | 2,537,107 | ||||||
Medinet Nasr Housing | 4,109,309 | 2,547,958 | ||||||
Oriental Weavers | 845,133 | 768,085 | ||||||
Six of October Development & Investmenta | 3,040,730 | 3,397,146 | ||||||
Telecom Egypt Co. | 2,992,258 | 2,058,660 | ||||||
|
| |||||||
67,889,630 | ||||||||
GREECE — 0.38% |
| |||||||
Alpha Bank AEa | 12,180,259 | 29,131,948 | ||||||
Athens Water Supply & Sewage Co. SA | 303,914 | 2,309,267 | ||||||
Eurobank Ergasias SAa | 9,782,461 | �� | 9,902,882 | |||||
FF Groupa,b | 310,972 | 6,637,350 | ||||||
Hellenic Exchanges-Athens Stock Exchange SA | 742,716 | 4,637,972 | ||||||
Hellenic Telecommunications Organization SA | 2,033,733 | 28,996,385 | ||||||
Holding Co. ADMIE IPTO SAa | 1,102,441 | 2,595,064 | ||||||
JUMBO SA | 879,212 | 16,020,631 | ||||||
Motor Oil Hellas Corinth Refineries SA | 534,228 | 12,536,235 | ||||||
Mytilineos Holdings SAa | 954,361 | 11,232,474 | ||||||
National Bank of Greece SAa,b | 43,154,793 | 16,063,825 | ||||||
OPAP SA | 2,029,697 | 24,779,965 | ||||||
Piraeus Bank SAa | 967,644 | 4,208,549 | ||||||
Piraeus Port Authority SA | 50,540 | 1,047,899 | ||||||
Public Power Corp. SAa,b | 1,300,079 | 4,468,339 | ||||||
Titan Cement Co. SA | 393,251 | 10,743,685 | ||||||
|
| |||||||
185,312,470 | ||||||||
HUNGARY — 0.30% |
| |||||||
Magyar Telekom Telecommunications PLC | 3,228,789 | 5,706,235 | ||||||
MOL Hungarian Oil & Gas PLC | 2,916,572 | 31,900,974 | ||||||
OTP Bank PLC | 1,876,808 | 83,833,244 | ||||||
Richter Gedeon Nyrt | 1,044,471 | 23,043,227 | ||||||
|
| |||||||
144,483,680 |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
INDIA — 8.90% |
| |||||||
5Paisa Capital Ltd.a | 1 | $ | 3 | |||||
ACC Ltd. | 458,126 | 11,413,725 | ||||||
Adani Enterprises Ltd. | 2,511,835 | 7,848,249 | ||||||
Adani Ports & Special Economic Zone Ltd. | 5,767,949 | 36,154,682 | ||||||
Adani Power Ltd.a | 10,158,786 | 4,935,443 | ||||||
AIA Engineering Ltd. | 388,101 | 8,576,245 | ||||||
Ajanta Pharma Ltd. | 310,034 | 6,651,957 | ||||||
Amara Raja Batteries Ltd. | 404,525 | 5,105,753 | ||||||
Ambuja Cements Ltd. | 5,287,778 | 20,482,695 | ||||||
Apollo Hospitals Enterprise Ltd. | 647,748 | 11,961,905 | ||||||
Apollo Tyres Ltd. | 2,324,357 | 9,795,686 | ||||||
Arvind Ltd. | 1,216,041 | 7,838,923 | ||||||
Ashok Leyland Ltd. | 10,015,870 | 21,754,830 | ||||||
Asian Paints Ltd. | 2,299,503 | 39,453,836 | ||||||
Aurobindo Pharma Ltd. | 2,256,409 | 21,263,073 | ||||||
Avanti Feeds Ltd. | 94,436 | 3,475,996 | ||||||
Axis Bank Ltd. | 13,394,423 | 108,713,873 | ||||||
Bajaj Auto Ltd. | 668,082 | 30,976,587 | ||||||
Bajaj Finance Ltd. | 1,326,381 | 33,395,574 | ||||||
Bajaj Finserv Ltd. | 331,310 | 25,691,099 | ||||||
Balkrishna Industries Ltd. | 792,155 | 13,213,882 | ||||||
Bata India Ltd. | 642,784 | 7,202,259 | ||||||
Bayer CropScience Ltd./India | 115,363 | 6,726,856 | ||||||
BEML Ltd. | 134,201 | 2,544,301 | ||||||
Bharat Forge Ltd. | 1,694,067 | 20,539,307 | ||||||
Bharat Heavy Electricals Ltd. | 6,979,888 | 9,632,050 | ||||||
Bharat Petroleum Corp. Ltd. | 5,984,488 | 39,459,475 | ||||||
Bharti Airtel Ltd. | 9,909,349 | 65,186,431 | ||||||
Bharti Infratel Ltd. | 3,344,308 | 17,797,979 | ||||||
Biocon Ltd. | 1,379,815 | 13,344,628 | ||||||
Blue Dart Express Ltd. | 77,079 | 5,068,872 | ||||||
Bosch Ltd. | 61,480 | 17,635,631 | ||||||
Britannia Industries Ltd. | 165,153 | 12,660,980 | ||||||
Cadila Healthcare Ltd. | 1,763,116 | 10,963,613 | ||||||
Canara Bank | 1,178,218 | 5,412,157 | ||||||
Care Ratings Ltd. | 274,967 | 5,770,630 | ||||||
Ceat Ltd. | 200,294 | 4,926,778 | ||||||
Century Textiles & Industries Ltd. | 336,190 | 6,297,152 | ||||||
CESC Ltd. | 691,679 | 10,866,303 | ||||||
CG Power and Industrial Solutions Ltd.a | 4,349,308 | 5,574,645 | ||||||
Cipla Ltd./India | 2,877,440 | 26,044,208 | ||||||
Coal India Ltd. | 5,672,273 | 26,917,638 |
Security | Shares | Value | ||||||
Container Corp. of India Ltd. | 444,255 | $ | 8,893,454 | |||||
CRISIL Ltd. | 231,116 | 6,836,851 | ||||||
Crompton Greaves Consumer Electricals Ltd. | 3,443,764 | 12,290,425 | ||||||
Dabur India Ltd. | 4,661,721 | 23,259,856 | ||||||
DCB Bank Ltd. | 2,255,104 | 5,677,028 | ||||||
Dewan Housing Finance Corp. Ltd. | 1,343,218 | 11,261,825 | ||||||
Dish TV India Ltd.a | 4,441,907 | 5,018,314 | ||||||
Divi’s Laboratories Ltd. | 648,574 | 10,213,513 | ||||||
Dr. Reddy’s Laboratories Ltd. | 900,995 | 30,941,935 | ||||||
Edelweiss Financial Services Ltd. | 3,603,267 | 14,864,678 | ||||||
Eicher Motors Ltd. | 104,781 | 44,130,781 | ||||||
Escorts Ltd. | 454,389 | 6,227,545 | ||||||
Exide Industries Ltd. | 2,388,677 | 7,604,607 | ||||||
Federal Bank Ltd. | 12,099,697 | 17,505,174 | ||||||
Finolex Cables Ltd. | 1,016,931 | 11,191,568 | ||||||
Fortis Healthcare Ltd.a | 1,624,191 | 4,015,211 | ||||||
GAIL India Ltd. | 4,024,543 | 28,262,999 | ||||||
Gateway Distriparks Ltd. | 1,162,555 | 3,725,208 | ||||||
GE T&D India Ltd. | 932,393 | 5,835,127 | ||||||
Glenmark Pharmaceuticals Ltd. | 1,251,992 | 10,465,257 | ||||||
GMR Infrastructure Ltd.a | 21,516,170 | 6,258,709 | ||||||
Godrej Consumer Products Ltd. | 1,987,216 | 32,652,921 | ||||||
Godrej Industries Ltd. | 834,371 | 7,066,626 | ||||||
Grasim Industries Ltd. | 2,728,364 | 48,275,767 | ||||||
GRUH Finance Ltd. | 1,230,465 | 10,123,825 | ||||||
Gujarat Narmada Valley Fertilizers & Chemicals Ltd. | 501,763 | 3,339,631 | ||||||
Gujarat Pipavav Port Ltd. | 1,838,034 | 4,006,383 | ||||||
Havells India Ltd. | 2,218,614 | 17,288,476 | ||||||
HCL Technologies Ltd. | 4,275,262 | 61,707,755 | ||||||
Hero MotoCorp Ltd. | 419,966 | 23,186,165 | ||||||
Hexaware Technologies Ltd. | 1,147,125 | 6,094,287 | ||||||
Hindalco Industries Ltd. | 9,452,574 | 35,606,987 | ||||||
Hindustan Petroleum Corp. Ltd. | 4,848,582 | 28,293,086 | ||||||
Hindustan Unilever Ltd. | 5,080,233 | 102,760,743 | ||||||
Housing Development & Infrastructure Ltd.a | 3,565,269 | 2,730,885 | ||||||
Housing Development Finance Corp. Ltd. | 11,433,880 | 317,446,649 | ||||||
ICICI Bank Ltd. | 18,304,679 | 88,016,435 | ||||||
Idea Cellular Ltd.a | 11,400,082 | 14,681,841 | ||||||
IDFC Bank Ltd. | 13,766,426 | 10,882,759 | ||||||
IDFC Ltd. | 4,861,049 | 3,950,996 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
IFCI Ltd.a | 8,668,287 | $ | 3,013,784 | |||||
IIFL Holdings Ltd. | 395,088 | 4,585,468 | ||||||
India Cements Ltd. (The) | 1,823,630 | 4,457,863 | ||||||
Indiabulls Housing Finance Ltd. | 2,473,464 | 47,615,499 | ||||||
Indiabulls Real Estate Ltd.a | 1,475,627 | 4,877,891 | ||||||
Indiabulls Ventures Ltd. | 1,025,293 | 4,070,718 | ||||||
Indian Hotels Co. Ltd. (The) | 3,988,526 | 8,396,897 | ||||||
Indian Oil Corp. Ltd. | 4,475,766 | 26,059,183 | ||||||
Infibeam Incorporation Ltd. | 1,285,848 | 3,126,478 | ||||||
Infosys Ltd. | 13,175,413 | 237,150,861 | ||||||
IRB Infrastructure Developers Ltd. | 1,779,072 | 6,242,813 | ||||||
ITC Ltd. | 26,008,117 | 105,815,015 | ||||||
Jain Irrigation Systems Ltd. | 3,482,542 | 6,251,830 | ||||||
Jaiprakash Associates Ltd.a | 11,337,588 | 3,080,382 | ||||||
Jammu & Kashmir Bank Ltd. (The)a | 2,608,026 | 2,666,225 | ||||||
Jindal Steel & Power Ltd.a | 2,760,846 | 10,781,269 | ||||||
JSW Steel Ltd. | 7,057,981 | 33,823,922 | ||||||
Jubilant Foodworks Ltd. | 327,134 | 10,213,797 | ||||||
Jubilant Life Sciences Ltd. | 648,421 | 8,734,032 | ||||||
Just Dial Ltd.a | 350,157 | 2,428,934 | ||||||
Kajaria Ceramics Ltd. | 731,679 | 6,454,645 | ||||||
Karur Vysya Bank Ltd. (The) | 3,957,807 | 6,549,135 | ||||||
KPIT Technologies Ltd. | 1,902,950 | 6,312,374 | ||||||
Larsen & Toubro Infotech Ltd.c | 47,699 | 1,029,633 | ||||||
Larsen & Toubro Ltd. | 3,653,643 | 73,926,734 | ||||||
LIC Housing Finance Ltd. | 2,504,976 | 19,525,710 | ||||||
Lupin Ltd. | 1,752,719 | 22,060,241 | ||||||
Mahanagar Gas Ltd. | 162,405 | 2,600,998 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 2,332,150 | 15,488,301 | ||||||
Mahindra & Mahindra Ltd. | 5,827,835 | 65,156,530 | ||||||
Manappuram Finance Ltd. | 3,827,102 | 6,341,665 | ||||||
Marico Ltd. | 3,902,806 | 18,460,766 | ||||||
Maruti Suzuki India Ltd. | 829,829 | 112,742,867 | ||||||
Max Financial Services Ltd.a | 1,120,935 | 8,524,930 | ||||||
Max India Ltd.a | 1,559,439 | 2,298,001 | ||||||
Mindtree Ltd. | 821,598 | 10,279,710 | ||||||
Motherson Sumi Systems Ltd. | 5,086,238 | 25,764,469 | ||||||
Mphasis Ltd. | 562,031 | 7,416,821 | ||||||
Natco Pharma Ltd. | 402,463 | 4,934,239 | ||||||
National Aluminium Co. Ltd. | 2,858,147 | 3,007,479 | ||||||
NCC Ltd./India | 4,282,455 | 8,657,433 | ||||||
Nestle India Ltd. | 200,661 | 23,907,139 |
Security | Shares | Value | ||||||
NIIT Technologies Ltd. | 567,280 | $ | 7,266,653 | |||||
NTPC Ltd. | 12,993,551 | 32,560,542 | ||||||
Oil & Natural Gas Corp. Ltd. | 10,277,538 | 29,706,398 | ||||||
Page Industries Ltd. | 52,037 | 17,483,282 | ||||||
PC Jeweller Ltd. | 813,010 | 4,157,634 | ||||||
Persistent Systems Ltd. | 526,106 | 6,906,801 | ||||||
Petronet LNG Ltd. | 3,201,364 | 12,152,615 | ||||||
PI Industries Ltd. | 620,329 | 8,308,983 | ||||||
Piramal Enterprises Ltd. | 625,747 | 24,806,077 | ||||||
Piramal Enterprises Ltd. Newa | 26,382 | 1,045,844 | ||||||
Power Finance Corp. Ltd. | 5,973,209 | 9,636,537 | ||||||
PTC India Ltd. | 4,262,715 | 6,723,241 | ||||||
Rain Industries Ltd. | 699,535 | 4,090,072 | ||||||
Rajesh Exports Ltd. | 793,555 | 10,202,306 | ||||||
Rallis India Ltd. | 1,372,337 | 4,874,552 | ||||||
Ramco Cements Ltd. (The) | 822,312 | 9,499,733 | ||||||
Raymond Ltd. | 422,220 | 6,185,895 | ||||||
RBL Bank Ltd.c | 666,777 | 5,017,236 | ||||||
Redington India Ltd. | 3,384,518 | 7,483,774 | ||||||
Reliance Capital Ltd. | 883,384 | 6,403,716 | ||||||
Reliance Communications Ltd.a | 5,673,399 | 2,429,731 | ||||||
Reliance Industries Ltd. | 21,464,226 | 314,502,783 | ||||||
Reliance Infrastructure Ltd. | 1,098,249 | 7,680,599 | ||||||
Rural Electrification Corp. Ltd. | 5,887,843 | 13,041,668 | ||||||
Shree Cement Ltd. | 75,608 | 19,292,988 | ||||||
Shriram Transport Finance Co. Ltd. | 1,157,728 | 23,704,135 | ||||||
Siemens Ltd. | 681,564 | 12,218,640 | ||||||
Sintex Plastics Technology Ltd. Class La | 4,484,440 | 4,508,791 | ||||||
Sobha Ltd. | 655,811 | 5,584,529 | ||||||
SRF Ltd. | 205,626 | 5,993,167 | ||||||
State Bank of India | 13,326,464 | 54,822,685 | ||||||
Sterlite Technologies Ltd. | 839,361 | 4,629,958 | ||||||
Strides Shasun Ltd. | 448,085 | 4,935,065 | ||||||
Sun Pharma Advanced Research Co. Ltd.a | 992,652 | 6,481,179 | ||||||
Sun Pharmaceutical Industries Ltd. | 7,502,360 | 61,651,874 | ||||||
Sundaram Finance Holdings Ltd.a | 368,186 | 879,572 | ||||||
Sundaram Finance Ltd. | 378,218 | 10,201,443 | ||||||
Suzlon Energy Ltd.a | 27,423,587 | 5,388,214 | ||||||
Tata Communications Ltd. | 717,659 | 7,076,206 | ||||||
Tata Consultancy Services Ltd. | 3,512,723 | 163,651,629 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Tata Elxsi Ltd. | 251,995 | $ | 4,074,121 | |||||
Tata Global Beverages Ltd. | 3,158,328 | 13,356,400 | ||||||
Tata Motors Ltd.a | 12,202,072 | 69,283,289 | ||||||
Tata Motors Ltd. Class Aa | 2,669,646 | 8,478,612 | ||||||
Tata Power Co. Ltd. (The) | 9,410,464 | 12,206,139 | ||||||
Tata Steel Ltd. | 2,455,419 | 25,313,190 | ||||||
Tech Mahindra Ltd. | 3,627,951 | 34,118,068 | ||||||
Thermax Ltd. | 386,187 | 6,844,173 | ||||||
TI Financial Holdings Ltd. | 817,588 | 8,413,546 | ||||||
Titan Co. Ltd. | 2,537,393 | 31,788,373 | ||||||
Torrent Power Ltd. | 1,320,003 | 5,362,378 | ||||||
TTK Prestige Ltd. | 50,248 | 5,335,580 | ||||||
Tube Investments of India Ltd. | 707,916 | 2,839,434 | ||||||
TV18 Broadcast Ltd.a | 6,488,990 | 6,240,347 | ||||||
UltraTech Cement Ltd. | 701,861 | 44,770,859 | ||||||
Union Bank of Indiaa | 1,930,386 | 3,127,613 | ||||||
United Spirits Ltd.a | 457,236 | 23,104,907 | ||||||
UPL Ltd. | 2,866,062 | 32,060,828 | ||||||
VA Tech Wabag Ltd. | 440,111 | 3,719,709 | ||||||
Vakrangee Ltd. | 3,249,027 | 8,114,307 | ||||||
Vedanta Ltd. | 11,798,409 | 59,719,867 | ||||||
Vijaya Bank | 4,018,307 | 3,694,711 | ||||||
Voltas Ltd. | 1,109,042 | 10,374,353 | ||||||
Welspun India Ltd. | 2,451,370 | 2,427,052 | ||||||
Wipro Ltd. | 8,842,985 | 39,744,820 | ||||||
Wockhardt Ltd.a | 378,790 | 4,768,435 | ||||||
Yes Bank Ltd. | 12,306,774 | 60,885,673 | ||||||
Zee Entertainment Enterprises Ltd. | 4,402,040 | 38,201,636 | ||||||
|
| |||||||
4,338,256,039 | ||||||||
INDONESIA — 2.21% |
| |||||||
Ace Hardware Indonesia Tbk PT | 84,331,700 | 8,158,065 | ||||||
Adaro Energy Tbk PT | 115,677,600 | 19,772,510 | ||||||
Adhi Karya Persero Tbk PT | 22,218,700 | 4,007,883 | ||||||
AKR Corporindo Tbk PT | 16,092,200 | 7,139,864 | ||||||
Alam Sutera Realty Tbk PT | 111,012,300 | 3,165,205 | ||||||
Aneka Tambang Persero Tbk PTa | 73,647,643 | 5,115,722 | ||||||
Astra International Tbk PT | 150,791,400 | 88,565,338 | ||||||
Bank Bukopin Tbk PT | 59,405,300 | 2,722,140 | ||||||
Bank Central Asia Tbk PT | 78,957,000 | 133,092,954 | ||||||
Bank Danamon Indonesia Tbk PT | 28,446,500 | 13,655,810 | ||||||
Bank Mandiri Persero Tbk PT | 142,939,900 | 86,293,135 |
Security | Shares | Value | ||||||
Bank Negara Indonesia Persero Tbk PT | 59,291,000 | $ | 41,939,483 | |||||
Bank Pembangunan Daerah Jawa Barat Dan Banten Tbk PT | 22,682,700 | 3,745,116 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 422,069,700 | 116,043,457 | ||||||
Bank Tabungan Negara Persero Tbk PT | 40,038,276 | 10,891,599 | ||||||
Bukit Asam Persero Tbk PT | 30,821,600 | 7,106,555 | ||||||
Bumi Resources Tbk PTa | 175,841,600 | 4,041,601 | ||||||
Bumi Serpong Damai Tbk PT | 66,631,700 | 9,377,920 | ||||||
Charoen Pokphand Indonesia Tbk PT | 60,290,800 | 15,085,308 | ||||||
Ciputra Development Tbk PT | 114,529,927 | 10,746,162 | ||||||
Delta Dunia Makmur Tbk PTa | 16,700,000 | 1,293,632 | ||||||
Eagle High Plantations Tbk PTa | 134,400,800 | 2,267,955 | ||||||
Gudang Garam Tbk PT | 3,714,500 | 21,546,451 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 68,980,200 | 24,183,334 | ||||||
Hanson International Tbk PTa | 567,044,600 | 6,269,104 | ||||||
Indika Energy Tbk PTa | 12,217,800 | 3,839,029 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 13,128,300 | 20,983,700 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 19,651,700 | 12,828,600 | ||||||
Indofood Sukses Makmur Tbk PT | 33,618,500 | 18,522,758 | ||||||
Inti Agri Resources Tbk PTa | 212,614,700 | 3,494,994 | ||||||
Jasa Marga Persero Tbk PT | 20,743,380 | 8,071,941 | ||||||
Kalbe Farma Tbk PT | 170,350,300 | 19,824,743 | ||||||
Kawasan Industri Jababeka Tbk PT | 202,880,688 | 4,102,326 | ||||||
Krakatau Steel Persero Tbk PTa | 42,911,214 | 1,591,790 | ||||||
Link Net Tbk PT | 11,558,600 | 4,665,980 | ||||||
Lippo Karawaci Tbk PT | 106,196,500 | 3,977,976 | ||||||
Matahari Department Store Tbk PT | 18,885,900 | 14,629,584 | ||||||
Medco Energi Internasional Tbk PTa | 19,200,000 | 2,094,774 | ||||||
Media Nusantara Citra Tbk PT | 49,009,800 | 5,471,873 | ||||||
Mitra Adiperkasa Tbk PT | 9,649,700 | 5,334,234 | ||||||
Modernland Realty Tbk PT | 116,191,200 | 2,805,795 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Pakuwon Jati Tbk PT | 189,587,200 | $ | 9,308,023 | |||||
Panin Financial Tbk PTa | 191,961,000 | 3,853,601 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 83,284,900 | 16,174,178 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 34,297,100 | 3,467,503 | ||||||
PP Persero Tbk PT | 29,904,250 | 6,742,785 | ||||||
Ramayana Lestari Sentosa Tbk PT | 37,036,400 | 3,178,743 | ||||||
Salim Ivomas Pratama Tbk PT | 41,775,400 | 1,595,235 | ||||||
Semen Indonesia Persero Tbk PT | 22,892,800 | 18,524,377 | ||||||
Siloam International Hospitals Tbk PTa | 2,706,871 | 1,683,365 | ||||||
Sugih Energy Tbk PTa | 82,105,800 | 298,599 | ||||||
Summarecon Agung Tbk PT | 80,291,100 | 6,482,389 | ||||||
Surya Citra Media Tbk PT | 51,633,900 | 10,703,467 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 379,357,900 | 110,370,702 | ||||||
Timah Tbk PT | 36,936,152 | 3,129,841 | ||||||
Tower Bersama Infrastructure Tbk PT | 19,858,400 | 8,124,777 | ||||||
Unilever Indonesia Tbk PT | 11,749,300 | 46,062,281 | ||||||
United Tractors Tbk PT | 13,056,300 | 33,807,636 | ||||||
Waskita Karya Persero Tbk PT | 47,503,200 | 10,054,501 | ||||||
Wijaya Karya Persero Tbk PT | 29,454,523 | 4,124,083 | ||||||
|
| |||||||
1,076,152,486 | ||||||||
MALAYSIA — 2.54% |
| |||||||
AEON Credit Service M Bhd | 2,218,000 | 7,531,121 | ||||||
AirAsia Bhd | 12,554,200 | 14,038,140 | ||||||
Alliance Bank Malaysia Bhd | 9,465,300 | 9,955,843 | ||||||
AMMB Holdings Bhd | 13,097,900 | 13,843,581 | ||||||
Astro Malaysia Holdings Bhd | 15,023,600 | 9,281,877 | ||||||
Axiata Group Bhdb | 20,855,900 | 28,752,070 | ||||||
Berjaya Corp. Bhda | 37,466,506 | 3,156,484 | ||||||
Berjaya Sports Toto Bhdb | 6,125,673 | 3,518,704 | ||||||
British American Tobacco Malaysia Bhdb | 1,160,900 | 8,417,044 | ||||||
Bursa Malaysia Bhdb | 4,376,500 | 12,625,594 | ||||||
Cahya Mata Sarawak Bhdb | 6,331,100 | 6,950,148 | ||||||
Carlsberg Brewery Malaysia Bhd | 1,597,600 | 7,537,311 | ||||||
CIMB Group Holdings Bhd | 35,171,800 | 64,560,950 | ||||||
Dialog Group Bhdb | 33,132,696 | 22,415,533 |
Security | Shares | Value | ||||||
DiGi.Com Bhdb | 24,894,100 | $ | 30,760,134 | |||||
DRB-Hicom Bhdb | 5,611,900 | 3,753,683 | ||||||
Eastern & Oriental Bhdb | 9,316,929 | 3,425,167 | ||||||
Felda Global Ventures Holdings Bhdb | 13,877,700 | 6,873,306 | ||||||
Gamuda Bhdb | 13,754,600 | 17,417,109 | ||||||
Genting Bhd | 16,879,900 | 38,138,145 | ||||||
Genting Malaysia Bhdb | 23,323,800 | 31,380,247 | ||||||
Genting Plantations Bhd | 2,382,200 | 6,142,512 | ||||||
HAP Seng Consolidated Bhdb | 5,515,400 | 13,447,044 | ||||||
Hartalega Holdings Bhd | 5,705,900 | 17,014,274 | ||||||
Hengyuan Refining Co. Bhda | 544,800 | 1,780,301 | ||||||
Hong Leong Bank Bhd | 5,867,600 | 29,989,623 | ||||||
Hong Leong Financial Group Bhd | 2,260,900 | 11,024,557 | ||||||
IHH Healthcare Bhdb | 18,111,500 | 27,326,772 | ||||||
IJM Corp. Bhd | 20,640,600 | 14,333,018 | ||||||
Inari Amertron Bhdb | 14,665,700 | 12,655,110 | ||||||
IOI Corp. Bhd | 17,822,600 | 21,339,799 | ||||||
IOI Properties Group Bhd | 17,117,141 | 8,084,430 | ||||||
Kossan Rubber Industries | 2,819,800 | 6,169,437 | ||||||
KPJ Healthcare Bhd | 23,322,800 | 5,864,937 | ||||||
Kuala Lumpur Kepong Bhd | 3,576,800 | 22,865,221 | ||||||
Lafarge Malaysia Bhda,b | 4,140,200 | 5,549,158 | ||||||
Magnum Bhd | 7,891,700 | 3,948,872 | ||||||
Mah Sing Group Bhd | 13,321,023 | 4,080,987 | ||||||
Malayan Banking Bhd | 29,274,100 | 78,173,879 | ||||||
Malaysia Airports Holdings Bhdb | 6,791,100 | 15,083,628 | ||||||
Malaysia Building Society Bhdb | 13,823,200 | 4,305,413 | ||||||
Malaysian Resources Corp. Bhdb | 24,489,300 | 6,752,220 | ||||||
Maxis Bhdb | 14,572,600 | 21,987,252 | ||||||
MISC Bhd | 9,239,400 | 16,181,334 | ||||||
My EG Services Bhdb | 20,540,200 | 14,105,984 | ||||||
Nestle Malaysia Bhd | 163,300 | 5,340,498 | ||||||
OSK Holdings Bhd | 10,633,200 | 2,823,214 | ||||||
Pavilion REIT | 11,973,300 | 4,096,048 | ||||||
Petronas Chemicals Group Bhd | 18,294,200 | 37,784,038 | ||||||
Petronas Dagangan Bhd | 2,147,400 | 14,144,223 | ||||||
Petronas Gas Bhd | 5,077,300 | 22,839,425 | ||||||
Pos Malaysia Bhdb | 3,505,600 | 3,553,033 | ||||||
PPB Group Bhd | 3,668,400 | 16,576,635 | ||||||
Press Metal Aluminium Holdings Bhd | 9,210,900 | 13,638,810 | ||||||
Public Bank Bhd | 21,893,960 | 128,557,845 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
QL Resources Bhd | 8,521,995 | $ | 10,747,678 | |||||
RHB Bank Bhd | 7,005,066 | 9,621,459 | ||||||
RHB Bank Bhd Newa,d | 1,769,000 | 5 | ||||||
Sapura Energy Bhdb | 32,692,000 | 5,591,943 | ||||||
Sime Darby Bhd | 17,511,300 | 12,338,828 | ||||||
Sime Darby Plantation Bhda | 17,511,300 | 23,917,655 | ||||||
Sime Darby Property Bhda | 17,511,300 | 6,303,532 | ||||||
SP Setia Bhd Group | 1,978,800 | 1,667,102 | ||||||
Sunway Bhdb | 17,208,354 | 7,248,860 | ||||||
Sunway Construction Group Bhd | 6,837,270 | 4,189,290 | ||||||
Sunway REITb | 16,240,200 | 7,006,877 | ||||||
Supermax Corp. Bhd | 5,874,000 | 3,928,997 | ||||||
Ta Ann Holdings Bhd | 4,241,360 | 3,714,032 | ||||||
Telekom Malaysia Bhdb | 8,273,100 | 12,461,396 | ||||||
Tenaga Nasional Bhd | 25,687,300 | 102,959,053 | ||||||
TIME dotCom Bhdb | 3,564,200 | 7,597,924 | ||||||
Top Glove Corp. Bhdb | 5,929,400 | 14,698,615 | ||||||
UEM Sunrise Bhda,b | 13,693,600 | 3,810,575 | ||||||
UOA Development Bhd | 8,284,100 | 5,498,764 | ||||||
VS Industry Bhdb | 3,122,300 | 2,359,461 | ||||||
WCT Holdings Bhda,b | 10,228,779 | 4,021,527 | ||||||
Westports Holdings Bhdb | 10,273,500 | 9,651,897 | ||||||
YTL Corp. Bhd | 32,810,166 | 11,978,182 | ||||||
YTL Power International Bhd | 15,567,300 | 4,490,949 | ||||||
|
| |||||||
1,237,696,323 | ||||||||
MEXICO — 2.80% |
| |||||||
Alfa SAB de CV Class A | 23,365,700 | 27,728,734 | ||||||
Alsea SAB de CV | 4,265,300 | 14,527,385 | ||||||
America Movil SAB de CV Series L | 254,617,400 | 234,009,949 | ||||||
Arca Continental SAB de CV | 3,485,700 | 24,172,841 | ||||||
Axtel SAB de CV CPOa,b | 13,121,300 | 3,053,082 | ||||||
Banco del Bajio SAa,c | 2,164,200 | 4,708,772 | ||||||
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand Class B | 13,499,800 | 19,040,106 | ||||||
Banregio Grupo Financiero SAB de CV | 1,903,800 | 11,720,272 | ||||||
Bolsa Mexicana de Valores SAB de CV | 3,888,300 | 7,200,785 | ||||||
Cemex SAB de CV CPOa | 109,652,186 | 72,357,540 | ||||||
Coca-Cola Femsa SAB de CV Series L | 3,721,800 | 25,052,663 |
Security | Shares | Value | ||||||
Concentradora Fibra Hotelera Mexicana SA de CVc | 5,223,200 | $ | 2,906,853 | |||||
Consorcio ARA SAB de CV | 10,612,100 | 4,122,897 | ||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa,b | 5,415,400 | 4,816,368 | ||||||
Corp Inmobiliaria Vesta SAB de CV | 4,780,000 | 6,561,828 | ||||||
El Puerto de Liverpool SAB de CV Series C1b | 1,423,735 | 9,711,915 | ||||||
Fibra Uno Administracion SA de CV | 23,447,000 | 33,032,345 | ||||||
Fomento Economico Mexicano SAB de CV | 14,686,200 | 135,847,545 | ||||||
Genomma Lab Internacional SAB de CV Series Ba,b | 6,728,000 | 7,271,104 | ||||||
Gentera SAB de CV | 7,868,400 | 6,422,503 | ||||||
Gruma SAB de CV Series B | 1,697,865 | 19,636,092 | ||||||
Grupo Aeromexico SAB de CVa,b | 3,955,100 | 6,121,213 | ||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 2,425,000 | 11,839,018 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 2,749,500 | 26,540,464 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 1,642,250 | 29,075,145 | ||||||
Grupo Bimbo SAB de CV Series A | 12,640,800 | 29,553,490 | ||||||
Grupo Carso SAB de CV Series A1 | 4,252,448 | 14,918,616 | ||||||
Grupo Comercial Chedraui SA de CV | 3,235,800 | 6,738,463 | ||||||
Grupo Financiero Banorte SAB de CV Series O | 18,828,000 | 112,926,087 | ||||||
Grupo Financiero Inbursa SAB de CV Series O | 18,185,100 | 29,031,389 | ||||||
Grupo Herdez SAB de CV | 2,697,900 | 6,604,972 | ||||||
Grupo Lala SAB de CV | 5,548,400 | 8,119,538 | ||||||
Grupo Mexico SAB de CV Series B | 29,184,500 | 99,540,074 | ||||||
Grupo Televisa SAB CPO | 18,708,600 | 63,968,399 | ||||||
Industrias Bachoco SAB de CV Series B | 1,568,300 | 7,619,143 | ||||||
Industrias CH SAB de CV Series Ba,b | 1,424,700 | 6,217,724 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Industrias Penoles SAB de CV | 1,064,300 | $ | 23,237,809 | |||||
Infraestructura Energetica Nova SAB de CV | 4,111,800 | 19,461,692 | ||||||
Kimberly-Clark de Mexico SAB de CV Series Ab | 11,856,000 | 21,585,498 | ||||||
La Comer SAB de CVa | 3,991,900 | 3,967,145 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 6,942,900 | 7,345,115 | ||||||
Mexichem SAB de CV | 7,676,583 | 21,499,478 | ||||||
PLA Administradora Industrial S. de RL de CV | 5,500,400 | 8,238,793 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 1,821,745 | 18,575,677 | ||||||
Qualitas Controladora SAB de CV | 2,873,100 | 7,550,130 | ||||||
Telesites SAB de CVa,b | 12,444,995 | 9,801,909 | ||||||
Wal-Mart de Mexico SAB de CV | 39,137,200 | 91,272,423 | ||||||
|
| |||||||
1,365,250,983 | ||||||||
PAKISTAN — 0.17% |
| |||||||
DG Khan Cement Co. Ltd. | 2,593,000 | 3,370,935 | ||||||
Engro Corp. Ltd./Pakistan | 2,656,600 | 7,225,173 | ||||||
Engro Fertilizers Ltd. | 5,597,347 | 3,502,867 | ||||||
Fauji Cement Co. Ltd. | 7,333,000 | 1,655,721 | ||||||
Fauji Fertilizer Co. Ltd. | 4,923,820 | 3,949,479 | ||||||
Habib Bank Ltd. | 4,466,900 | 8,419,002 | ||||||
Hub Power Co. Ltd. (The) | 6,139,995 | 5,445,986 | ||||||
Lucky Cement Ltd. | 1,204,000 | 6,543,064 | ||||||
MCB Bank Ltd. | 2,943,500 | 5,815,107 | ||||||
National Bank of Pakistan | 4,329,500 | 1,833,708 | ||||||
Nishat Mills Ltd. | 3,161,900 | 4,563,582 | ||||||
Oil & Gas Development Co. Ltd. | 5,795,000 | 8,556,334 | ||||||
Pakistan Oilfields Ltd. | 956,350 | 5,402,778 | ||||||
Pakistan State Oil Co. Ltd. | 1,841,382 | 4,960,213 | ||||||
Searle Co. Ltd. (The) | 1,012,711 | 3,311,545 | ||||||
SUI Northern Gas Pipeline | 2,720,400 | 2,832,248 | ||||||
United Bank Ltd./Pakistan | 3,771,400 | 6,436,404 | ||||||
|
| |||||||
83,824,146 | ||||||||
PERU — 0.36% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 1,564,773 | 24,332,220 | ||||||
Credicorp Ltd. | 531,606 | 115,066,119 | ||||||
Southern Copper Corp. | 718,224 | 37,871,951 | ||||||
|
| |||||||
177,270,290 |
Security | Shares | Value | ||||||
PHILIPPINES — 1.01% |
| |||||||
Aboitiz Equity Ventures Inc. | 15,428,160 | $ | 22,928,947 | |||||
Aboitiz Power Corp. | 10,351,600 | 7,652,392 | ||||||
Alliance Global Group Inc.a | 25,322,100 | 7,225,161 | ||||||
Ayala Corp. | 1,993,915 | 40,467,899 | ||||||
Ayala Land Inc. | 54,413,200 | 42,941,293 | ||||||
Bank of the Philippine Islands | 6,744,775 | 15,528,005 | ||||||
BDO Unibank Inc. | 15,528,186 | 46,453,367 | ||||||
Bloomberry Resorts Corp.a | 3,603,300 | 985,234 | ||||||
Cebu Air Inc. | 2,403,290 | 4,628,456 | ||||||
Cosco Capital Inc. | 23,503,100 | 3,303,431 | ||||||
D&L Industries Inc. | 24,156,300 | 5,473,202 | ||||||
DMCI Holdings Inc. | 32,020,600 | 8,558,501 | ||||||
DoubleDragon Properties Corp.a | 5,671,400 | 3,484,731 | ||||||
Filinvest Land Inc. | 98,737,000 | 3,355,693 | ||||||
First Gen Corp. | 10,903,500 | 3,035,729 | ||||||
First Philippine Holdings Corp. | 1,721,060 | 2,057,143 | ||||||
Globe Telecom Inc. | 286,120 | 9,460,419 | ||||||
GT Capital Holdings Inc. | 705,620 | 18,290,841 | ||||||
International Container Terminal Services Inc. | 4,084,130 | 8,626,235 | ||||||
JG Summit Holdings Inc. | 22,270,793 | 30,789,115 | ||||||
Jollibee Foods Corp. | 3,372,120 | 19,321,056 | ||||||
Lopez Holdings Corp. | 16,480,300 | 1,705,622 | ||||||
Manila Electric Co. | 776,720 | 5,020,045 | ||||||
Manila Water Co. Inc. | 10,665,600 | 5,324,608 | ||||||
Megaworld Corp. | 90,471,600 | 8,425,255 | ||||||
Melco Resorts And Entertainment (Philippines) Corp.a | 16,870,400 | 2,478,083 | ||||||
Metro Pacific Investments Corp. | 110,567,400 | 11,952,659 | ||||||
Metropolitan Bank & Trust Co. | 5,712,932 | 10,733,687 | ||||||
Nickel Asia Corp. | 15,599,324 | 1,878,029 | ||||||
PLDT Inc. | 681,095 | 19,878,349 | ||||||
Robinsons Land Corp. | 18,115,313 | 6,748,024 | ||||||
Security Bank Corp. | 1,779,390 | 8,411,786 | ||||||
SM Investments Corp. | 1,864,382 | 33,650,520 | ||||||
SM Prime Holdings Inc. | 65,244,096 | 44,222,669 | ||||||
Universal Robina Corp. | 7,141,200 | 20,430,853 | ||||||
Vista Land & Lifescapes Inc. | 39,966,700 | 4,988,163 | ||||||
|
| |||||||
490,415,202 | ||||||||
POLAND — 1.22% |
| |||||||
Alior Bank SAa | 727,244 | 17,689,002 | ||||||
Asseco Poland SA | 570,849 | 7,872,860 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Bank Handlowy w Warszawie SA | 266,576 | $ | 6,519,025 | |||||
Bank Millennium SAa | 4,870,244 | 11,881,590 | ||||||
Bank Pekao SA | 1,135,256 | 43,879,669 | ||||||
Bank Zachodni WBK SA | 265,980 | 29,044,931 | ||||||
Budimex SA | 107,367 | 6,072,146 | ||||||
CCC SA | 234,773 | 17,264,988 | ||||||
CD Projekt SA | 535,594 | 16,723,881 | ||||||
Ciech SAa | 241,134 | 4,084,870 | ||||||
Cyfrowy Polsat SA | 1,778,932 | 12,126,899 | ||||||
Dino Polska SAa,c | 269,317 | 6,707,874 | ||||||
Enea SA | 1,799,497 | 5,314,339 | ||||||
Eurocash SAb | 727,335 | 4,440,315 | ||||||
Getin Noble Bank SAa | 4,951,350 | 2,196,265 | ||||||
Globe Trade Centre SAb | 2,040,709 | 5,329,932 | ||||||
Grupa Azoty SA | 351,278 | 5,955,863 | ||||||
Grupa Lotos SA | 784,619 | 12,863,470 | ||||||
Jastrzebska Spolka Weglowa SAa | 422,453 | 11,366,504 | ||||||
KGHM Polska Miedz SA | 1,079,727 | 33,084,215 | ||||||
KRUK SA | 139,915 | 8,656,009 | ||||||
LPP SA | 10,275 | 27,031,188 | ||||||
Lubelski Wegiel Bogdanka SA | 145,336 | 2,230,882 | ||||||
mBank SAa | 115,237 | 15,401,925 | ||||||
Netia SA | 2,875,054 | 4,513,837 | ||||||
Orange Polska SAa | 4,831,735 | 8,037,029 | ||||||
PGE Polska Grupa Energetyczna SAa | 6,276,372 | 18,572,237 | ||||||
PLAY Communications SAa,c | 463,932 | 4,576,027 | ||||||
Polski Koncern Naftowy ORLEN SA | 2,280,939 | 64,246,365 | ||||||
Polskie Gornictwo Naftowe i Gazownictwo SA | 13,872,960 | 24,533,490 | ||||||
Powszechna Kasa Oszczednosci Bank Polski SAa | 6,988,649 | 87,838,655 | ||||||
Powszechny Zaklad Ubezpieczen SA | 4,648,102 | 57,959,699 | ||||||
Tauron Polska Energia SAa | 8,119,558 | 6,042,131 | ||||||
Warsaw Stock Exchange | 448,208 | 5,755,060 | ||||||
|
| |||||||
595,813,172 | ||||||||
QATAR — 0.50% |
| |||||||
Al Meera Consumer Goods Co. QSC | 89,225 | 3,658,245 | ||||||
Barwa Real Estate Co. | 837,228 | 7,727,482 | ||||||
Commercial Bank PQSC (The)a | 1,740,092 | 13,463,409 |
Security | Shares | Value | ||||||
Doha Bank QPSC | 392,500 | $ | 3,515,214 | |||||
Ezdan Holding Group QSC | 6,420,713 | 16,002,544 | ||||||
Gulf International Services QSCa | 323,091 | 1,556,521 | ||||||
Industries Qatar QSC | 1,105,133 | 31,266,498 | ||||||
Masraf Al Rayan QSC | 3,111,446 | 32,041,622 | ||||||
Mazaya Qatar Real Estate Development QSCa | 12 | 25 | ||||||
Ooredoo QPSC | 661,784 | 15,768,845 | ||||||
Qatar Electricity & Water Co. QSC | 259,967 | 12,182,393 | ||||||
Qatar Gas Transport Co. Ltd. | 1,322,782 | 6,173,369 | ||||||
Qatar Industrial Manufacturing Co. QSC | 255,610 | 3,073,313 | ||||||
Qatar Insurance Co. SAQ | 1,358,626 | 14,419,029 | ||||||
Qatar Islamic Bank SAQ | 575,858 | 15,142,454 | ||||||
Qatar National Bank QPSC | 1,742,788 | 57,039,649 | ||||||
Qatar National Cement Co. QSC | 193,670 | 3,182,570 | ||||||
United Development Co. QSC | 1,563,939 | 7,067,538 | ||||||
|
| |||||||
243,280,720 | ||||||||
RUSSIA — 3.21% |
| |||||||
Aeroflot PJSC | 4,638,200 | 11,653,686 | ||||||
Alrosa PJSC | 20,032,200 | 30,707,915 | ||||||
Gazprom PJSC | 61,583,720 | 156,602,431 | ||||||
Gazprom PJSC ADR | 9,615,007 | 48,113,495 | ||||||
Inter RAO UES PJSC | 264,063,000 | 17,448,632 | ||||||
LSR Group PJSC GDRe | 2,260,653 | 6,940,205 | ||||||
LUKOIL PJSC | 2,444,539 | 163,982,442 | ||||||
LUKOIL PJSC ADR | 831,593 | 55,799,890 | ||||||
M.Video PJSCa | 367,615 | 2,716,423 | ||||||
Magnit PJSC GDRe | 2,702,512 | 55,941,998 | ||||||
Magnitogorsk Iron & Steel Works PJSC | 15,368,000 | 13,015,609 | ||||||
Mechel PJSC ADRa | 821,217 | 4,048,600 | ||||||
MMC Norilsk Nickel PJSC | 497,720 | 98,655,491 | ||||||
Mobile TeleSystems PJSC ADR | 3,972,281 | 47,508,481 | ||||||
Moscow Exchange MICEX-RTS PJSC | 12,878,830 | 25,587,231 | ||||||
Novatek PJSC GDRe | 714,568 | 97,538,532 | ||||||
Novolipetsk Steel PJSC | 9,372,670 | 24,323,408 | ||||||
PhosAgro PJSC GDRe | 1,052,443 | 16,207,622 | ||||||
Polyus PJSC | 152,615 | 12,594,685 | ||||||
Rosneft Oil Co. PJSC | 1,206,660 | 7,083,816 | ||||||
Rosneft Oil Co. PJSC GDR | 7,231,536 | 42,304,486 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
RusHydro PJSC | 871,605,000 | $ | 12,099,282 | |||||
Sberbank of Russia PJSC | 12,641,030 | 61,164,644 | ||||||
Sberbank of Russia PJSC ADR | 16,276,071 | 332,845,652 | ||||||
Severstal PJSC | 1,660,810 | 27,093,351 | ||||||
Surgutneftegas OJSC | 48,054,750 | 24,510,718 | ||||||
Surgutneftegas OJSC ADR | 1,311,499 | 6,557,495 | ||||||
Tatneft PJSC Class S | 11,845,800 | 124,986,104 | ||||||
VTB Bank PJSC | 5,421,870,000 | 5,081,182 | ||||||
VTB Bank PJSC GDRe | 15,679,506 | 33,554,143 | ||||||
|
| |||||||
1,566,667,649 | ||||||||
SOUTH AFRICA — 6.88% |
| |||||||
Adcock Ingram Holdings Ltd. | 980,921 | 5,650,969 | ||||||
Advtech Ltd. | 4,881,437 | 7,009,667 | ||||||
AECI Ltd. | 1,141,017 | 10,938,683 | ||||||
African Rainbow Minerals Ltd. | 942,877 | 9,746,890 | ||||||
Anglo American Platinum Ltd.a | 414,360 | 12,840,728 | ||||||
AngloGold Ashanti Ltd. | 3,136,649 | 28,747,024 | ||||||
Aspen Pharmacare Holdings Ltd. | 2,949,813 | 67,499,269 | ||||||
Astral Foods Ltd. | 423,732 | 10,230,954 | ||||||
Attacq Ltd.a | 4,612,219 | 7,381,113 | ||||||
AVI Ltd. | 2,812,600 | 28,951,045 | ||||||
Barclays Africa Group Ltd. | 4,922,571 | 82,781,349 | ||||||
Barloworld Ltd. | 1,663,237 | 25,085,764 | ||||||
Bid Corp. Ltd. | 2,562,879 | 58,597,461 | ||||||
Bidvest Group Ltd. (The) | 2,527,327 | 48,198,800 | ||||||
Blue Label Telecoms Ltd. | 4,851,571 | 5,343,253 | ||||||
Brait SEa,b | 1,024,103 | 3,891,223 | ||||||
Capitec Bank Holdings Ltd. | 325,490 | 22,955,197 | ||||||
Cashbuild Ltd. | 220,063 | 8,788,910 | ||||||
City Lodge Hotels Ltd. | 490,447 | 7,105,067 | ||||||
Clicks Group Ltd. | 2,001,663 | 28,667,257 | ||||||
Coronation Fund Managers Ltd. | 1,807,657 | 12,243,751 | ||||||
DataTec Ltd. | 1,638,593 | 3,470,492 | ||||||
Discovery Ltd. | 2,621,585 | 39,706,616 | ||||||
Emira Property Fund Ltd. | 5,481,981 | 7,272,928 | ||||||
EOH Holdings Ltd. | 1,112,004 | 6,735,850 | ||||||
Exxaro Resources Ltd. | 1,711,648 | 19,202,070 | ||||||
Famous Brands Ltd.a,b | 709,840 | 7,396,829 | ||||||
FirstRand Ltd. | 25,332,240 | 158,598,118 | ||||||
Fortress REIT Ltd. Series A | 7,400,549 | 9,981,298 | ||||||
Fortress REIT Ltd. Series B | 6,566,808 | 8,901,318 |
Security | Shares | Value | ||||||
Foschini Group Ltd. (The) | 1,625,941 | $ | 29,546,910 | |||||
Gold Fields Ltd. | 6,445,349 | 25,014,206 | ||||||
Grindrod Ltd.a | 4,158,786 | 4,869,166 | ||||||
Growthpoint Properties Ltd. | 17,292,484 | 43,217,476 | ||||||
Harmony Gold Mining Co. Ltd. | 3,295,319 | 6,594,128 | ||||||
Hosken Consolidated Investments Ltd. | 630,159 | 8,234,843 | ||||||
Hudaco Industries Ltd. | 519,885 | 6,958,961 | ||||||
Hyprop Investments Ltd. | 1,980,905 | 18,317,550 | ||||||
Impala Platinum Holdings Ltd.a,b | 4,914,690 | 12,532,642 | ||||||
Imperial Holdings Ltd. | 1,113,340 | 23,642,470 | ||||||
Investec Ltd. | 1,947,671 | 16,912,954 | ||||||
JSE Ltd. | 802,483 | 13,869,027 | ||||||
KAP Industrial Holdings Ltd. | 9,453,196 | 7,047,601 | ||||||
Kumba Iron Ore Ltd. | 440,747 | 13,083,787 | ||||||
Liberty Holdings Ltd. | 1,036,562 | 11,706,795 | ||||||
Life Healthcare Group Holdings Ltd. | 9,312,874 | 21,428,585 | ||||||
Massmart Holdings Ltd. | 914,169 | 12,622,367 | ||||||
Metair Investments Ltd. | 2,466,694 | 4,981,975 | ||||||
MMI Holdings Ltd./South Africa | 6,938,793 | 12,832,689 | ||||||
Mondi Ltd. | 881,030 | 22,991,310 | ||||||
Mpact Ltd. | 2,042,033 | 4,790,333 | ||||||
Mr. Price Group Ltd. | 1,765,278 | 42,290,400 | ||||||
MTN Group Ltd. | 12,732,694 | 138,612,829 | ||||||
Murray & Roberts Holdings Ltd. | 4,038,130 | 3,817,899 | ||||||
Nampak Ltd.a | 4,817,230 | 6,476,708 | ||||||
Naspers Ltd. Class N | 3,307,694 | 916,612,693 | ||||||
Nedbank Group Ltd. | 1,652,276 | 40,252,334 | ||||||
NEPI Rockcastle PLC | 2,773,100 | 28,011,159 | ||||||
Netcare Ltd. | 7,839,896 | 16,936,766 | ||||||
Northam Platinum Ltd.a | 2,746,305 | 9,920,783 | ||||||
Omnia Holdings Ltd. | 588,576 | 7,746,291 | ||||||
Pick n Pay Stores Ltd. | 2,896,770 | 17,831,563 | ||||||
Pioneer Foods Group Ltd. | 1,044,637 | 11,637,807 | ||||||
PPC Ltd.a | 12,586,754 | 8,903,899 | ||||||
PSG Group Ltd. | 796,406 | 14,674,854 | ||||||
Rand Merchant Investment Holdings Ltd. | 5,551,634 | 21,004,848 | ||||||
Redefine Properties Ltd. | 39,243,348 | 37,701,541 | ||||||
Remgro Ltd. | 3,926,733 | 80,339,385 | ||||||
Resilient REIT Ltd.b | 2,250,322 | 12,651,180 | ||||||
Reunert Ltd. | 1,559,476 | 10,106,950 | ||||||
RMB Holdings Ltd. | 5,217,068 | 38,505,641 | ||||||
Royal Bafokeng Platinum Ltd.a | 593,062 | 1,607,793 | ||||||
SA Corporate Real Estate Ltd. | 20,080,760 | 7,961,703 |
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Sanlam Ltd. | 10,347,413 | $ | 79,991,650 | |||||
Sappi Ltd. | 4,264,665 | 27,675,386 | ||||||
Sasol Ltd. | 4,141,436 | 146,219,926 | ||||||
Shoprite Holdings Ltd. | 3,388,682 | 74,630,670 | ||||||
Sibanye Gold Ltd. | 13,482,773 | 12,964,479 | ||||||
SPAR Group Ltd. (The) | 1,463,889 | 27,110,548 | ||||||
Standard Bank Group Ltd. | 9,734,808 | 179,632,619 | ||||||
Steinhoff International Holdings NV Class Hb | 23,632,564 | 11,612,316 | ||||||
Super Group Ltd./South Africaa | 3,181,187 | 10,583,519 | ||||||
Telkom SA SOC Ltd. | 2,098,026 | 9,198,165 | ||||||
Tiger Brands Ltd. | 1,224,940 | 44,268,551 | ||||||
Tongaat Hulett Ltd. | 961,556 | 8,792,998 | ||||||
Trencor Ltd. | 1,617,708 | 6,052,143 | ||||||
Truworths International Ltd. | 3,320,619 | 28,491,987 | ||||||
Tsogo Sun Holdings Ltd. | 3,534,086 | 7,634,793 | ||||||
Vodacom Group Ltd. | 4,462,204 | 61,524,829 | ||||||
Vukile Property Fund Ltd. | 5,696,763 | 10,202,653 | ||||||
Wilson Bayly Holmes-Ovcon Ltd. | 538,732 | 7,915,019 | ||||||
Woolworths Holdings Ltd./South Africa | 7,515,709 | 41,609,792 | ||||||
Zeder Investments Ltd. | 13,040,884 | 7,126,015 | ||||||
|
| |||||||
3,351,958,752 | ||||||||
SOUTH KOREA — 13.98% |
| |||||||
Advanced Process Systems Corp.a,b | 121,491 | 3,651,798 | ||||||
Ahnlab Inc.b | 50,377 | 3,433,210 | ||||||
AK Holdings Inc. | 47,998 | 3,630,101 | ||||||
Amorepacific Corp.b | 243,393 | 63,270,043 | ||||||
AMOREPACIFIC Group | 224,427 | 26,113,032 | ||||||
Aprogen pharmaceuticals Inc.a,b | 917,158 | 3,646,103 | ||||||
Asiana Airlines Inc.a | 856,542 | 3,986,492 | ||||||
ATGen Co. Ltd.a,b | 221,205 | 4,330,544 | ||||||
BGF Co. Ltd.b | 123,217 | 1,427,993 | ||||||
BGF retail Co. Ltd. | 60,609 | 9,738,633 | ||||||
BH Co. Ltd.a,b | 196,709 | 3,669,334 | ||||||
Binggrae Co. Ltd.a | 65,599 | 3,773,957 | ||||||
BNK Financial Group Inc. | 1,699,423 | 17,576,450 | ||||||
Boditech Med Inc.b | 204,405 | 3,576,946 | ||||||
Bukwang Pharmaceutical Co. Ltd. | 264,291 | 5,820,796 | ||||||
Caregen Co. Ltd. | 36,236 | 2,877,732 | ||||||
Cell Biotech Co. Ltd.b | 80,269 | 3,587,607 | ||||||
Celltrion Healthcare Co. Ltd.a,b | 249,748 | 27,583,212 | ||||||
Celltrion Inc.a,b | 612,596 | 199,691,927 |
Security | Shares | Value | ||||||
Chabiotech Co. Ltd.a,b | 411,206 | $ | 12,398,075 | |||||
Cheil Worldwide Inc. | 543,067 | 9,327,774 | ||||||
Chong Kun Dang Pharmaceutical Corp. | 56,225 | 6,723,739 | ||||||
CJ CGV Co. Ltd. | 127,362 | 8,315,166 | ||||||
CJ CheilJedang Corp. | 57,956 | 18,089,508 | ||||||
CJ Corp. | 103,225 | 15,871,237 | ||||||
CJ E&M Corp. | 158,729 | 12,693,629 | ||||||
CJ Freshway Corp.b | 82,470 | 2,794,948 | ||||||
CJ Logistics Corp.a,b | 66,247 | 8,105,760 | ||||||
CJ O Shopping Co. Ltd. | 26,911 | 5,238,562 | ||||||
Com2uSCorp. | 74,337 | 11,196,200 | ||||||
Cosmax Inc.b | 68,884 | 8,142,166 | ||||||
Coway Co. Ltd. | 403,895 | 32,299,665 | ||||||
CrystalGenomics Inc.a,b | 200,419 | 5,145,118 | ||||||
Daeduck Electronics Co. | 477,717 | 3,952,668 | ||||||
Daeduck GDS Co. Ltd. | 289,196 | 5,314,434 | ||||||
Daekyo Co. Ltd. | 323,949 | 2,408,154 | ||||||
Daelim Industrial Co. Ltd. | 205,556 | 14,084,639 | ||||||
Daesang Corp. | 179,764 | 4,050,459 | ||||||
Daewoo Engineering & Construction Co. Ltd.a | 991,915 | 4,781,417 | ||||||
Daewoo Shipbuilding & Marine Engineering Co. Ltd.a,b | 44,738 | 1,032,829 | ||||||
Daewoong Pharmaceutical Co. Ltd.b | 44,866 | 7,581,936 | ||||||
Daishin Securities Co. Ltd.a | 317,794 | 4,313,946 | ||||||
Daou Technology Inc. | 216,984 | 4,648,655 | ||||||
DB HiTek Co. Ltd. | 329,457 | 4,654,808 | ||||||
DB Insurance Co. Ltd. | 375,030 | 24,069,245 | ||||||
Dentium Co. Ltd.a,b | 55,309 | 3,907,229 | ||||||
DGB Financial Group Inc. | 1,121,910 | 12,846,693 | ||||||
DIO Corp.a | 109,241 | 3,803,108 | ||||||
Dong-A Socio Holdings Co. Ltd. | 35,450 | 4,337,543 | ||||||
Dong-A ST Co. Ltd. | 52,899 | 5,275,734 | ||||||
Dongjin Semichem Co. Ltd.a,b | 256,804 | 3,818,030 | ||||||
DongKook Pharmaceutical Co. Ltd. | 65,524 | 4,090,334 | ||||||
Dongkuk Steel Mill Co. Ltd. | 486,448 | 4,828,993 | ||||||
Dongsuh Cos. Inc. | 299,321 | 7,697,931 | ||||||
Dongwon Industries Co. Ltd. | 15,700 | 4,429,172 | ||||||
Doosan Bobcat Inc. | 213,703 | 6,709,670 | ||||||
Doosan Heavy Industries & Construction Co. Ltd.a,b | 483,283 | 6,671,974 | ||||||
Doosan Infracore Co. Ltd.a,b | 1,072,973 | 9,254,380 | ||||||
DoubleUGames Co. Ltd.b | 94,671 | 5,411,520 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Douzone Bizon Co. Ltd. | 179,919 | $ | 9,221,077 | |||||
E-MART Inc. | 160,927 | 45,176,663 | ||||||
E1 Corp. | 32,842 | 1,819,669 | ||||||
Ecopro Co. Ltd.a,b | 162,626 | 5,263,682 | ||||||
Emerson Pacific Inc.a,b | 84,220 | 2,103,750 | ||||||
Eo Technics Co Ltd. | 71,215 | 5,247,906 | ||||||
Fila Korea Ltd.b | 95,209 | 8,765,664 | ||||||
Foosung Co. Ltd.a,b | 484,135 | 4,206,954 | ||||||
G-treeBNT Co. Ltd.a | 167,284 | 6,148,216 | ||||||
GemVax & Kael Co. Ltd.a,b | 284,769 | 3,970,830 | ||||||
Genexine Co. Ltd.a,b | 99,239 | 8,229,441 | ||||||
Grand Korea Leisure Co. Ltd. | 256,049 | 5,497,404 | ||||||
Green Cross Cell Corp. | 101,283 | 4,900,941 | ||||||
Green Cross Corp./South Korea | 45,247 | 9,066,949 | ||||||
Green Cross Holdings Corp. | 215,421 | 8,176,012 | ||||||
GS Engineering & Construction Corp.b | 332,771 | 8,973,048 | ||||||
GS Holdings Corp. | 381,937 | 23,313,358 | ||||||
GS Home Shopping Inc. | 29,555 | 5,510,347 | ||||||
GS Retail Co. Ltd.b | 210,498 | 6,997,810 | ||||||
Gwangju Shinsegae Co. Ltd. | 11,228 | 2,312,165 | ||||||
Halla Holdings Corp. | 69,794 | 3,473,909 | ||||||
Hana Financial Group Inc. | 2,091,677 | 94,935,751 | ||||||
Hana Tour Service Inc.b | 88,602 | 8,386,467 | ||||||
Hanall Biopharma Co. Ltd.a,b | 252,296 | 7,595,207 | ||||||
Hancom Inc.b | 209,117 | 3,244,220 | ||||||
Handsome Co. Ltd. | 147,805 | 3,978,683 | ||||||
Hanil Cement Co. Ltd. | 29,526 | 3,476,374 | ||||||
Hanjin Heavy Industries & Construction Co. Ltd.a,b | 678,518 | 2,099,026 | ||||||
Hanjin Kal Corp.a | 358,277 | 6,716,246 | ||||||
Hanjin Transportation Co. Ltd. | 95,356 | 2,192,598 | ||||||
Hankook Shell Oil Co. Ltd. | 11,110 | 3,708,805 | ||||||
Hankook Tire Co. Ltd. | 555,719 | 30,277,423 | ||||||
Hankook Tire Worldwide Co. Ltd. | 236,100 | 4,338,711 | ||||||
Hanmi Pharm Co. Ltd.b | 48,472 | 20,724,477 | ||||||
Hanmi Science Co. Ltd.b | 107,154 | 8,311,881 | ||||||
Hanon Systems | 1,447,784 | 16,711,885 | ||||||
Hansae Co. Ltd.b | 141,938 | 2,942,569 | ||||||
Hansol Chemical Co. Ltd.b | 75,371 | 5,136,559 | ||||||
Hansol Technics Co. Ltd.a | 205,142 | 2,604,767 | ||||||
Hanssem Co. Ltd.b | 83,923 | 11,586,008 | ||||||
Hanwha Chemical Corp. | 786,115 | 24,101,042 | ||||||
Hanwha Corp. | 324,690 | 13,237,661 | ||||||
Hanwha General Insurance Co. Ltd. | 762,002 | 6,121,911 |
Security | Shares | Value | ||||||
Hanwha Investment & Securities Co. Ltd.a,b | 1,232,524 | $ | 3,534,017 | |||||
Hanwha Life Insurance Co. Ltd. | 1,863,061 | 11,544,131 | ||||||
Hanwha Techwin Co. Ltd.a,b | 290,701 | 7,825,223 | ||||||
Hite Jinro Co. Ltd.a | 228,683 | 4,645,882 | ||||||
HLB Inc.a,b | 250,414 | 9,226,631 | ||||||
HMC Investment Securities Co. Ltd. | 349,532 | 3,550,514 | ||||||
Homecast Co. Ltd.a,b | 265,874 | 2,933,968 | ||||||
Hotel Shilla Co. Ltd. | 240,121 | 18,138,238 | ||||||
HS Industries Co. Ltd.a,b | 337,610 | 2,774,706 | ||||||
Huchems Fine Chemical Corp. | 191,118 | 4,738,682 | ||||||
Hugel Inc.a,b | 19,427 | 10,010,404 | ||||||
Humedix Co. Ltd.b | 126,228 | 4,866,580 | ||||||
Huons Co. Ltd. | 71,995 | 6,269,396 | ||||||
Huons Global Co. Ltd.b | 83,512 | 4,827,640 | ||||||
Hy-Lok Corp.b | 146,745 | 3,340,349 | ||||||
Hyosung Corp. | 158,444 | 18,289,316 | ||||||
Hyundai Construction Equipment Co. Ltd.a | 43,619 | 6,847,567 | ||||||
Hyundai Department Store Co. Ltd. | 100,358 | 8,470,515 | ||||||
Hyundai Development Co. Engineering & Construction | 445,538 | 15,552,070 | ||||||
Hyundai Electric & Energy System Co. Ltd.a | 46,826 | 3,913,337 | ||||||
Hyundai Elevator Co. Ltd.a | 112,956 | 6,122,927 | ||||||
Hyundai Engineering & Construction Co. Ltd.a | 588,761 | 20,932,033 | ||||||
Hyundai Glovis Co. Ltd. | 141,046 | 18,560,398 | ||||||
Hyundai Greenfood Co. Ltd. | 396,891 | 5,387,661 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 238,364 | 28,835,242 | ||||||
Hyundai Home Shopping Network Corp. | 57,688 | 5,859,895 | ||||||
Hyundai Livart Furniture Co. Ltd.b | 126,396 | 2,935,506 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 482,487 | 18,401,249 | ||||||
Hyundai Merchant Marine Co. Ltd.a,b | 1,444,438 | 5,822,303 | ||||||
Hyundai Mipo Dockyard Co. Ltd.a,b | 94,598 | 9,521,823 | ||||||
Hyundai Mobis Co. Ltd. | 507,804 | 106,915,977 | ||||||
Hyundai Motor Co. | 1,165,623 | 173,837,025 | ||||||
Hyundai Robotics Co. Ltd.a | 73,874 | 30,186,762 | ||||||
Hyundai Rotem Co. Ltd.a,b | 218,310 | 3,114,682 |
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Hyundai Steel Co. | 576,110 | $ | 28,515,556 | |||||
Hyundai Wia Corp.b | 122,910 | 6,594,396 | ||||||
Il Dong Pharmaceutical Co. Ltd. | 162,437 | 3,600,044 | ||||||
Iljin Materials Co. Ltd.a,b | 138,038 | 4,155,544 | ||||||
Ilyang Pharmaceutical Co. Ltd.a | 131,189 | 4,658,064 | ||||||
iMarketKorea Inc. | 225,408 | 2,143,967 | ||||||
InBody Co. Ltd. | 121,646 | 4,751,709 | ||||||
Industrial Bank of Korea | 1,724,214 | 27,386,167 | ||||||
ING Life Insurance Korea Ltd.c | 176,565 | 8,608,950 | ||||||
Innocean Worldwide Inc. | 85,487 | 5,091,801 | ||||||
Innox Advanced Materials Co. Ltd.a,b | 56,062 | 3,794,759 | ||||||
Interflex Co. Ltd.a,b | 84,037 | 2,157,382 | ||||||
iNtRON Biotechnology Inc.a,b | 114,501 | 4,277,002 | ||||||
IS Dongseo Co. Ltd.a | 127,772 | 3,999,881 | ||||||
It’s Hanbul Co. Ltd.a,b | 71,071 | 3,721,235 | ||||||
Jayjun Cosmetic Co. Ltd.a | 113,728 | 1,732,858 | ||||||
JB Financial Group Co. Ltd. | 897,770 | 5,264,419 | ||||||
Jeil Pharmaceutical Co. Ltd.b | 38,135 | 2,074,200 | ||||||
Jenax Inc.a,b | 143,590 | 4,369,093 | ||||||
Jusung Engineering Co. Ltd.b | 347,919 | 3,742,965 | ||||||
JW Holdings Corp.b | 325,090 | 2,467,670 | ||||||
JW Pharmaceutical Corp. | 105,095 | 4,134,312 | ||||||
Kakao Corp.b | 313,033 | 37,000,853 | ||||||
Kangwon Land Inc.a | 836,976 | 22,298,234 | ||||||
KB Financial Group Inc. | 2,902,379 | 171,532,234 | ||||||
KC Co. Ltd. | 81,723 | 1,886,670 | ||||||
KC Tech Co. Ltd./New | 121,456 | 2,254,378 | ||||||
KCC Corp. | 38,898 | 13,021,078 | ||||||
KEPCO Engineering & Construction Co. Inc.a,b | 141,171 | 3,043,996 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 188,074 | 7,007,836 | ||||||
Kia Motors Corp. | 1,927,386 | 61,137,417 | ||||||
KISWIRE Ltd. | 80,528 | 2,383,343 | ||||||
KIWOOM Securities Co. Ltd.a,b | 92,029 | 8,421,898 | ||||||
Koh Young Technology Inc. | 116,681 | 9,869,775 | ||||||
Kolon Corp.b | 55,996 | 2,875,037 | ||||||
Kolon Industries Inc.b | 120,484 | 7,910,622 | ||||||
Kolon Life Science Inc.a,b | 67,445 | 5,630,278 | ||||||
Komipharm International Co. Ltd.a,b | 304,296 | 10,959,040 | ||||||
Korea Aerospace Industries Ltd. Class Aa,b | 519,382 | 24,124,956 | ||||||
Korea Electric Power Corp.a | 1,835,089 | 56,091,464 | ||||||
Korea Gas Corp.a | 184,359 | 7,814,275 |
Security | Shares | Value | ||||||
Korea Investment Holdings Co. Ltd.a | 289,510 | $ | 20,986,735 | |||||
Korea Kolmar Co. Ltd.a,b | 119,652 | 8,574,194 | ||||||
Korea Line Corp.a,b | 115,903 | 3,531,996 | ||||||
Korea Petrochemical Ind. Co Ltd. | 25,284 | 7,308,054 | ||||||
Korea REIT Co. Ltd. | 1,436,246 | 3,912,573 | ||||||
Korea Zinc Co. Ltd.a | 65,951 | 31,181,930 | ||||||
Korean Air Lines Co. Ltd. | 338,620 | 10,209,570 | ||||||
Korean Reinsurance Co. | 731,528 | 8,038,769 | ||||||
KT Corp. | 51,660 | 1,330,976 | ||||||
KT Skylife Co. Ltd. | 269,839 | 3,251,823 | ||||||
KT&G Corp. | 862,276 | 79,467,305 | ||||||
Kukdo Chemical Co. Ltd.b | 80,835 | 4,583,312 | ||||||
Kumho Industrial Co. Ltd.a,b | 286,457 | 2,684,956 | ||||||
Kumho Petrochemical Co. Ltd. | 123,986 | 10,373,194 | ||||||
Kumho Tire Co. Inc.a,b | 961,786 | 4,973,683 | ||||||
Kwang Dong Pharmaceutical Co. Ltd. | 535,146 | 5,015,913 | ||||||
Kwangju Bank Co. Ltd. | 369,735 | 4,233,737 | ||||||
L&F Co. Ltd.b | 108,901 | 3,308,563 | ||||||
LF Corp. | 165,783 | 4,462,623 | ||||||
LG Chem Ltd. | 345,592 | 122,228,956 | ||||||
LG Corp. | 707,572 | 56,323,489 | ||||||
LG Display Co. Ltd. | 1,671,169 | 46,065,560 | ||||||
LG Electronics Inc. | 766,000 | 70,665,251 | ||||||
LG Hausys Ltd. | 52,950 | 4,112,194 | ||||||
LG Household & Health Care Ltd. | 70,952 | 72,072,398 | ||||||
LG Innotek Co. Ltd.b | 114,909 | 14,006,822 | ||||||
LG International Corp. | 230,466 | 5,778,144 | ||||||
LIG Nex1 Co. Ltd.b | 85,743 | 3,879,774 | ||||||
Lock&Lock Co. Ltd. | 140,506 | 3,023,169 | ||||||
Loen Entertainment Inc.b | 64,941 | 6,536,678 | ||||||
Lotte Chemical Corp. | 116,701 | 49,465,102 | ||||||
Lotte Confectionery Co. Ltd.a | 18,038 | 2,898,340 | ||||||
Lotte Corp.a | 201,646 | 11,675,320 | ||||||
LOTTE Fine Chemical Co. Ltd. | 146,234 | 9,533,771 | ||||||
Lotte Food Co. Ltd.a | 5,891 | 3,182,413 | ||||||
LOTTE Himart Co. Ltd. | 65,377 | 4,226,050 | ||||||
Lotte Shopping Co. Ltd. | 79,636 | 15,185,921 | ||||||
LS Corp. | 136,665 | 9,591,412 | ||||||
LS Industrial Systems Co. Ltd. | 122,308 | 6,302,324 | ||||||
Maeil Dairies Co. Ltd.a | 51,975 | 3,258,937 | ||||||
Mando Corp.b | 51,079 | 12,145,944 | ||||||
Medipost Co. Ltd.a,b | 72,969 | 6,940,444 | ||||||
Medy-Tox Inc. | 33,480 | 18,673,857 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Meritz Fire & Marine Insurance Co. Ltd. | 468,577 | $ | 9,887,325 | |||||
Meritz Securities Co. Ltd. | 2,924,419 | 13,192,157 | ||||||
Mirae Asset Daewoo Co. Ltd.b | 2,779,053 | 23,815,322 | ||||||
Modetour Network Inc. | 194,638 | 7,189,510 | ||||||
Muhak Co. Ltd. | 161,443 | 2,787,870 | ||||||
Namhae Chemical Corp. | 390,188 | 4,431,907 | ||||||
Namyang Dairy Products Co. Ltd.a | 4,909 | 3,109,774 | ||||||
Naturalendo Tech Co. Ltd.a,b | 108,692 | 2,052,592 | ||||||
NAVER Corp. | 211,597 | 156,904,969 | ||||||
NCSoft Corp.b | 134,744 | 46,660,818 | ||||||
Netmarble Games Corp.b,c | 153,884 | 20,960,283 | ||||||
Nexen Corp. | 415,748 | 2,794,945 | ||||||
Nexen Tire Corp. | 310,131 | 3,408,033 | ||||||
NH Investment & Securities Co. Ltd.a | 970,313 | 12,813,257 | ||||||
NHN Entertainment Corp.a,b | 88,240 | 6,412,862 | ||||||
NHN KCP Corp.a,b | 175,692 | 3,001,479 | ||||||
NICE Holdings Co. Ltd.a | 231,111 | 3,190,608 | ||||||
NICE Information Service Co. Ltd.a | 409,505 | 3,490,379 | ||||||
Nong Shim Holdings Co. Ltd. | 32,287 | 3,145,515 | ||||||
NongShim Co. Ltd. | 24,098 | 6,876,242 | ||||||
NS Shopping Co. Ltd. | 227,255 | 2,969,488 | ||||||
NUTRIBIOTECH Co. Ltd.a,b | 135,590 | 3,073,908 | ||||||
OCI Co. Ltd.b | 127,272 | 19,333,497 | ||||||
Orion Corp./Republic of Korea | 156,091 | 15,567,299 | ||||||
Orion Holdings Corp. | 135,035 | 3,179,788 | ||||||
Osstem Implant Co. Ltd.a,b | 101,092 | 4,686,322 | ||||||
Ottogi Corp. | 10,129 | 6,612,986 | ||||||
Pan Ocean Co. Ltd.a,b | 1,673,133 | 9,162,137 | ||||||
Paradise Co. Ltd.b | 396,792 | 6,705,415 | ||||||
Partron Co. Ltd.b | 343,435 | 2,958,951 | ||||||
Poongsan Corp. | 192,958 | 7,670,922 | ||||||
POSCO | 541,683 | 180,827,781 | ||||||
POSCO Chemtech Co. Ltd.b | 217,033 | 8,928,636 | ||||||
Posco Daewoo Corp.b | 311,544 | 5,811,422 | ||||||
Posco ICT Co. Ltd.b | 430,745 | 3,106,583 | ||||||
S&T Motiv Co. Ltd. | 98,215 | 4,022,380 | ||||||
S-1 Corp. | 127,188 | 11,275,324 | ||||||
S-Oil Corp. | 340,446 | 38,826,375 | ||||||
Samchully Co. Ltd. | 24,618 | 2,773,475 | ||||||
Samjin Pharmaceutical Co. Ltd. | 150,191 | 5,755,773 | ||||||
Samsung Biologics Co. Ltd.a,b,c | 131,384 | 54,596,731 | ||||||
Samsung C&T Corp. | 567,944 | 67,393,854 |
Security | Shares | Value | ||||||
Samsung Card Co. Ltd. | 176,837 | $ | 5,927,771 | |||||
Samsung Electro-Mechanics Co. Ltd. | 414,830 | 35,472,581 | ||||||
Samsung Electronics Co. Ltd. | 726,937 | 1,579,538,980 | ||||||
Samsung Engineering Co. Ltd.a,b | 919,193 | 13,623,647 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 228,022 | 60,853,595 | ||||||
Samsung Heavy Industries Co. Ltd.a,b | 1,950,863 | 15,402,972 | ||||||
Samsung Life Insurance Co. Ltd. | 525,816 | 58,995,885 | ||||||
Samsung SDI Co. Ltd.b | 418,374 | 66,065,153 | ||||||
Samsung SDS Co. Ltd. | 260,819 | 57,322,857 | ||||||
Samsung Securities Co. Ltd. | 443,991 | 16,236,073 | ||||||
Samyang Corp.b | 34,857 | 2,877,658 | ||||||
Samyang Holdings Corp.b | 32,813 | 3,378,566 | ||||||
Seah Besteel Corp. | 118,865 | 3,128,315 | ||||||
Sebang Global Battery Co. Ltd. | 107,929 | 3,418,566 | ||||||
Seegene Inc.a,b | 141,732 | 4,489,249 | ||||||
Seobu T&Da,b | 390,790 | 3,897,435 | ||||||
Seoul Semiconductor Co. Ltd.b | 304,881 | 6,714,758 | ||||||
SFA Engineering Corp. | 158,386 | 5,477,473 | ||||||
Shinhan Financial Group Co. Ltd. | 3,097,031 | 135,561,242 | ||||||
Shinsegae Food Co. Ltd.b | 23,941 | 2,851,961 | ||||||
Shinsegae Inc. | 56,953 | 18,039,412 | ||||||
Shinsegae International Inc. | 35,890 | 2,651,399 | ||||||
Silicon Works Co. Ltd. | 114,961 | 4,644,514 | ||||||
SillaJen Inc.a,b | 405,389 | 38,333,949 | ||||||
Sindoh Co. Ltd. | 68,653 | 4,203,245 | ||||||
SK Chemicals Co. Ltd./Newa | 60,527 | 6,092,384 | ||||||
SK Discovery Co. Ltd.b | 74,907 | 3,112,767 | ||||||
SK Gas Ltd.b | 43,454 | 3,780,004 | ||||||
SK Holdings Co. Ltd. | 261,882 | 68,801,763 | ||||||
SK Hynix Inc. | 4,375,541 | 310,316,325 | ||||||
SK Innovation Co. Ltd. | 485,123 | 92,060,926 | ||||||
SK Materials Co. Ltd.b | 48,555 | 7,523,805 | ||||||
SK Networks Co. Ltd.b | 1,036,191 | 5,722,063 | ||||||
SK Securities Co. Ltd.a,b | 3,263,882 | 3,616,824 | ||||||
SK Telecom Co. Ltd. | 150,624 | 33,382,362 | ||||||
SKC Co. Ltd. | 172,623 | 6,256,767 | ||||||
SKCKOLONPI Inc.b | 105,285 | 3,874,418 | ||||||
SL Corp. | 153,116 | 3,393,466 | ||||||
SM Entertainment Co.a,b | 205,850 | 6,985,860 | ||||||
Songwon Industrial Co. Ltd. | 167,071 | 3,695,032 | ||||||
Soulbrain Co. Ltd.b | 79,698 | 4,283,335 | ||||||
SPC Samlip Co. Ltd.a,b | 23,982 | 2,956,503 |
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Ssangyong Cement Industrial Co. Ltd. | 240,701 | $ | 4,645,536 | |||||
Ssangyong Motor Co.a | 473,964 | 2,367,850 | ||||||
Sungwoo Hitech Co. Ltd. | 410,620 | 2,631,547 | ||||||
Taekwang Industrial Co. Ltd. | 3,497 | 4,256,206 | ||||||
Taewoong Co. Ltd.a,b | 97,480 | 1,948,880 | ||||||
Taeyoung Engineering & Construction Co. Ltd. | 589,063 | 5,521,276 | ||||||
TELCON Inc.a,b | 450,286 | 5,093,733 | ||||||
Tera Resource Co. Ltd.a,d | 49,111 | — | ||||||
Texcell-NetCom Co. Ltd.a | 198,136 | 5,800,084 | ||||||
Tongyang Inc.a | 1,488,911 | 2,791,107 | ||||||
Tongyang Life Insurance Co. Ltd. | 427,671 | 2,839,555 | ||||||
Toptec Co. Ltd.a,b | 174,884 | 4,731,832 | ||||||
Value Added Technology Co. Ltd.a,b | 101,057 | 3,784,155 | ||||||
Vieworks Co. Ltd. | 74,600 | 2,883,009 | ||||||
ViroMed Co. Ltd.a,b | 107,751 | 23,283,529 | ||||||
Webzen Inc.a,b | 146,276 | 3,579,568 | ||||||
Wonik Holdings Co. Ltd.a | 279,913 | 2,034,274 | ||||||
WONIK IPS Co. Ltd. | 181,485 | 5,966,263 | ||||||
Woori Bank | 3,049,976 | 46,753,718 | ||||||
YG Entertainment Inc.b | 142,148 | 3,563,873 | ||||||
Youlchon Chemical Co. Ltd. | 289,625 | 4,787,411 | ||||||
Youngone Corp. | 180,473 | 4,874,721 | ||||||
Youngone Holdings Co. Ltd. | 71,462 | 3,556,932 | ||||||
Yuanta Securities Korea Co. Ltd.a | 765,937 | 3,197,004 | ||||||
Yuhan Corp. | 64,863 | 12,458,679 | ||||||
Yungjin Pharmaceutical Co. Ltd.a,b | 747,443 | 6,060,162 | ||||||
|
| |||||||
6,813,684,865 | ||||||||
TAIWAN — 12.10% |
| |||||||
A-DATA Technology Co. Ltd.b | 1,975,820 | 4,974,149 | ||||||
AcBel Polytech Inc.b | 4,562,000 | 3,351,712 | ||||||
Accton Technology Corp.b | 3,786,000 | 14,523,882 | ||||||
Acer Inc.b | 21,219,872 | 17,879,771 | ||||||
Advanced Ceramic X Corp.b | 338,000 | 4,092,514 | ||||||
Advanced Semiconductor Engineering Inc. | 52,496,444 | 71,474,496 | ||||||
Advanced Wireless Semiconductor Co.b | 1,607,000 | 3,737,401 | ||||||
Advantech Co. Ltd.b | 2,322,165 | 17,299,614 | ||||||
Airtac International Groupb | 884,880 | 16,215,198 | ||||||
Alpha Networks Inc.b | 3,811,700 | 3,244,361 |
Security | Shares | Value | ||||||
AmTRAN Technology Co. Ltd.b | 6,270,000 | $ | 3,650,905 | |||||
Ardentec Corp.b | 4,950,546 | 6,028,049 | ||||||
Asia Cement Corp. | 16,646,050 | 16,192,489 | ||||||
Asia Optical Co. Inc.b | 2,308,000 | 8,695,861 | ||||||
Asia Pacific Telecom Co. Ltd.a | 16,171,000 | 5,245,307 | ||||||
Asia Polymer Corp.b | 8,513,977 | 5,234,570 | ||||||
Asustek Computer Inc.b | 4,894,000 | 46,433,115 | ||||||
AU Optronics Corp.b | 58,827,000 | 26,395,633 | ||||||
Bank of Kaohsiung Co. Ltd.b | 18,663,149 | 6,162,345 | ||||||
BES Engineering Corp.b | 18,097,000 | 4,667,514 | ||||||
Bizlink Holding Inc.b | 927,926 | 8,454,327 | ||||||
Brogent Technologies Inc.b | 338,799 | 2,576,198 | ||||||
Capital Securities Corp. | 19,477,000 | 7,605,206 | ||||||
Casetek Holdings Ltd.b | 1,167,485 | 3,846,896 | ||||||
Catcher Technology Co. Ltd. | 4,846,000 | 58,758,507 | ||||||
Cathay Financial Holding Co. Ltd. | 60,685,078 | 113,282,415 | ||||||
Cathay Real Estate Development Co. Ltd.b | 6,508,900 | 3,544,776 | ||||||
Center Laboratories Inc.a,b | 2,970,409 | 4,644,523 | ||||||
Chailease Holding Co. Ltd. | 8,468,945 | 28,485,568 | ||||||
Chang Hwa Commercial Bank Ltd. | 38,101,470 | 21,924,773 | ||||||
Cheng Loong Corp.b | 9,551,000 | 5,528,657 | ||||||
Cheng Shin Rubber Industry Co. Ltd.b | 13,613,650 | 23,407,896 | ||||||
Cheng Uei Precision Industry Co. Ltd.b | 2,898,000 | 4,188,851 | ||||||
Chicony Electronics Co. Ltd. | 3,698,326 | 9,107,898 | ||||||
Chin-Poon Industrial Co. Ltd.b | 2,341,000 | 4,410,097 | ||||||
China Airlines Ltd.a | 19,070,000 | 7,511,603 | ||||||
China Bills Finance Corp.b | 12,980,000 | 6,802,213 | ||||||
China Development Financial Holding Corp. | 105,049,000 | 37,780,292 | ||||||
China Life Insurance Co. Ltd./Taiwan | 24,616,622 | 24,789,049 | ||||||
China Man-Made Fiber Corp.a | 15,516,550 | 5,144,635 | ||||||
China Metal Productsb | 3,102,146 | 3,086,686 | ||||||
China Motor Corp.b | 4,398,000 | 4,052,207 | ||||||
China Petrochemical Development Corp.a,b | 17,876,900 | 8,235,663 | ||||||
China Steel Chemical Corp.b | 1,429,000 | 7,268,466 | ||||||
China Steel Corp.b | 91,318,529 | 75,380,677 | ||||||
China Synthetic Rubber Corp.b | 5,647,005 | 9,671,020 | ||||||
Chipbond Technology Corp.b | 5,202,000 | 12,205,203 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Chlitina Holding Ltd. | 525,000 | $ | 2,679,351 | |||||
Chong Hong Construction Co. Ltd.b | 1,859,122 | 5,285,305 | ||||||
Chroma ATE Inc. | 2,957,000 | 16,205,237 | ||||||
Chunghwa Precision Test Tech Co. Ltd.b | 115,000 | 4,175,301 | ||||||
Chunghwa Telecom Co. Ltd. | 28,666,000 | 107,514,069 | ||||||
Cleanaway Co. Ltd.b | 670,000 | 4,050,453 | ||||||
Clevo Co. | 3,271,175 | 3,288,486 | ||||||
CMC Magnetics Corp.a,b | 31,683,566 | 4,840,085 | ||||||
Compal Electronics Inc. | 28,745,000 | 19,789,848 | ||||||
Compeq Manufacturing Co. Ltd.b | 8,616,000 | 10,033,875 | ||||||
Concraft Holding Co. Ltd.b | 283,000 | 2,534,791 | ||||||
Continental Holdings Corp.b | 8,826,600 | 4,822,122 | ||||||
Coretronic Corp. | 3,406,200 | 5,232,590 | ||||||
CSBC Corp. Taiwana,b | 7,834,000 | 3,689,524 | ||||||
CTBC Financial Holding Co. Ltd. | 127,755,599 | 93,424,741 | ||||||
CTCI Corp.b | 4,631,000 | 7,137,915 | ||||||
Cub Elecparts Inc.b | 417,067 | 4,921,292 | ||||||
Darwin Precisions Corp.b | 5,558,000 | 5,692,117 | ||||||
Delta Electronics Inc. | 14,380,000 | 68,463,291 | ||||||
Depo Auto Parts Ind. Co. Ltd.b | 1,001,000 | 3,003,463 | ||||||
E Ink Holdings Inc. | 6,758,000 | 10,937,148 | ||||||
E.Sun Financial Holding Co. Ltd. | 67,373,926 | 44,653,644 | ||||||
Eclat Textile Co. Ltd.b | 1,191,683 | 12,735,014 | ||||||
Egis Technology Inc.a,b | 513,000 | 2,864,106 | ||||||
Elan Microelectronics Corp. | 3,335,000 | 5,174,616 | ||||||
Elite Advanced Laser Corp.b | 1,066,560 | 4,493,394 | ||||||
Elite Material Co. Ltd.b | 2,053,000 | 7,699,937 | ||||||
Elite Semiconductor Memory Technology Inc.b | 3,765,000 | 5,429,142 | ||||||
Ennoconn Corp.b | 377,000 | 6,417,736 | ||||||
Epistar Corp.a,b | 7,442,000 | 13,458,841 | ||||||
Eternal Materials Co. Ltd.b | 6,951,145 | 7,404,587 | ||||||
Eva Airways Corp. | 14,210,963 | 7,301,277 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 15,621,808 | 8,266,922 | ||||||
Everlight Chemical Industrial Corp.b | 7,475,781 | 4,570,660 | ||||||
Everlight Electronics Co. Ltd.b | 2,995,000 | 4,729,136 | ||||||
Far Eastern Department Stores Ltd.b | 6,811,167 | 3,709,392 |
Security | Shares | Value | ||||||
Far Eastern International Bankb | 18,869,201 | $ | 6,236,844 | |||||
Far Eastern New Century Corp. | 20,815,916 | 18,501,927 | ||||||
Far EasTone Telecommunications Co. Ltd. | 11,679,000 | 29,602,028 | ||||||
Faraday Technology Corp.b | 2,309,000 | 5,370,043 | ||||||
Farglory Land Development Co. Ltd. | 2,189,782 | 2,433,883 | ||||||
Feng Hsin Steel Co. Ltd. | 3,696,000 | 7,785,583 | ||||||
Feng TAY Enterprise Co. Ltd.b | 2,373,506 | 11,300,280 | ||||||
Firich Enterprises Co. Ltd.b | 2,215,798 | 3,176,214 | ||||||
First Financial Holding Co. Ltd. | 68,748,052 | 47,094,965 | ||||||
FLEXium Interconnect Inc.b | 2,306,616 | 8,848,658 | ||||||
Formosa Chemicals & Fibre Corp. | 21,375,210 | 79,437,252 | ||||||
Formosa Petrochemical Corp. | 10,003,000 | 40,086,691 | ||||||
Formosa Plastics Corp. | 30,164,800 | 106,936,233 | ||||||
Formosa Taffeta Co. Ltd. | 4,181,000 | 4,568,303 | ||||||
Foxconn Technology Co. Ltd.b | 6,449,424 | 17,539,835 | ||||||
Foxsemicon Integrated Technology Inc.b | 392,000 | 3,195,561 | ||||||
Fubon Financial Holding Co. Ltd. | 49,082,000 | 87,756,004 | ||||||
General Interface Solution Holding Ltd.b | 1,176,000 | 7,190,012 | ||||||
Genius Electronic Optical Co. Ltd.a,b | 434,000 | 3,627,134 | ||||||
Getac Technology Corp. | 3,899,000 | 5,742,563 | ||||||
Giant Manufacturing Co. Ltd.b | 2,196,000 | 11,508,212 | ||||||
Gigabyte Technology Co. Ltd.b | 3,647,000 | 8,781,631 | ||||||
Gigasolar Materials Corp.b | 309,800 | 2,122,245 | ||||||
Ginko International Co. Ltd.b | 285,000 | 2,103,663 | ||||||
Gintech Energy Corp.a,b | 5,123,762 | 2,930,822 | ||||||
Global Unichip Corp.b | 592,000 | 6,285,900 | ||||||
Globalwafers Co. Ltd.b | 1,668,000 | 24,338,271 | ||||||
Gloria Material Technology Corp.b | 7,254,048 | 5,018,985 | ||||||
Goldsun Building Materials Co. Ltd.a,b | 14,122,000 | 4,575,846 | ||||||
Gourmet Master Co. Ltd.b | 519,855 | 7,282,653 | ||||||
Grand Pacific Petrochemical | 8,351,000 | 8,352,287 | ||||||
Grape King Bio Ltd.b | 908,000 | 6,717,748 | ||||||
Great Wall Enterprise Co. Ltd.b | 5,114,500 | 5,947,399 | ||||||
Greatek Electronics Inc.b | 3,231,000 | 6,285,928 | ||||||
HannStar Display Corp.b | 20,180,640 | 6,946,805 | ||||||
Highwealth Construction Corp.b | 6,142,230 | 9,288,399 |
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Hiwin Technologies Corp. | 1,649,621 | $ | 21,188,467 | |||||
Ho Tung Chemical Corp.a | 19,553,920 | 6,054,612 | ||||||
Holy Stone Enterprise Co. Ltd.b | 2,894,330 | 9,249,405 | ||||||
Hon Hai Precision Industry Co. Ltd. | 117,922,410 | 355,841,288 | ||||||
Hota Industrial Manufacturing Co. Ltd.b | 1,832,219 | 8,127,018 | ||||||
Hotai Motor Co. Ltd.b | 1,908,000 | 21,272,251 | ||||||
HTC Corp.a,b | 5,010,000 | 10,467,709 | ||||||
Hu Lane Associate Inc. | 613,000 | 3,012,981 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 53,434,182 | 31,479,780 | ||||||
Huaku Development Co. Ltd. | 2,616,000 | 6,442,445 | ||||||
Hung Sheng Construction Ltd. | 7,293,000 | 7,294,124 | ||||||
IEI Integration Corp.b | 3,149,582 | 4,379,888 | ||||||
Innolux Corp.b | 63,588,241 | 28,314,197 | ||||||
International Games System Co. Ltd.b | 389,000 | 2,051,892 | ||||||
Inventec Corp. | 18,725,000 | 14,975,895 | ||||||
ITEQ Corp. | 2,959,000 | 7,753,370 | ||||||
Kenda Rubber Industrial Co. Ltd.b | 3,480,889 | 4,327,937 | ||||||
Kerry TJ Logistics Co. Ltd.b | 2,990,000 | 3,937,782 | ||||||
Kindom Construction Corp.b | 4,802,000 | 3,470,473 | ||||||
King Slide Works Co. Ltd.b | 424,000 | 6,186,707 | ||||||
King Yuan Electronics Co. Ltd. | 8,352,000 | 9,011,252 | ||||||
King’s Town Bank Co. Ltd. | 7,843,000 | 10,597,741 | ||||||
Kinpo Electronicsb | 14,766,000 | 5,234,646 | ||||||
Kinsus Interconnect Technology Corp.b | 1,964,000 | 3,424,076 | ||||||
LandMark Optoelectronics Corp.b | 408,900 | 5,231,085 | ||||||
Largan Precision Co. Ltd.b | 731,000 | 92,515,799 | ||||||
LCY Chemical Corp.b | 4,210,000 | 6,431,334 | ||||||
Lealea Enterprise Co. Ltd.a,b | 14,042,173 | 5,579,257 | ||||||
Lien Hwa Industrial Corp.b | 6,326,405 | 8,212,593 | ||||||
Lite-On Technology Corp. | 15,717,238 | 22,610,471 | ||||||
Long Chen Paper Co. Ltd.b | 4,627,000 | 5,792,566 | ||||||
Lotes Co. Ltd. | 216,000 | 1,479,680 | ||||||
Macronix Internationala,b | 13,587,000 | 20,220,758 | ||||||
Makalot Industrial Co. Ltd.b | 1,556,208 | 7,355,815 | ||||||
Masterlink Securities Corp. | 18,238,344 | 5,722,225 | ||||||
MediaTek Inc. | 11,222,572 | 115,702,563 | ||||||
Mega Financial Holding Co. Ltd. | 79,332,958 | 67,796,657 |
Security | Shares | Value | ||||||
Merida Industry Co. Ltd.b | 1,616,850 | $ | 7,116,344 | |||||
Merry Electronics Co. Ltd.b | 1,239,070 | 8,148,565 | ||||||
Micro-Star International Co. Ltd. | 5,120,000 | 14,994,092 | ||||||
Microbio Co. Ltd.a | 6,389,141 | 4,519,044 | ||||||
Mitac Holdings Corp.b | 5,202,560 | 5,782,503 | ||||||
Motech Industries Inc.a,b | 4,642,948 | 3,466,845 | ||||||
Nan Kang Rubber Tire Co. Ltd.b | 4,680,000 | 4,304,019 | ||||||
Nan Ya Plastics Corp. | 34,371,440 | 94,889,215 | ||||||
Nan Ya Printed Circuit Board Corp.b | 2,089,000 | 1,981,994 | ||||||
Nanya Technology Corp.b | 7,791,000 | 21,561,980 | ||||||
Neo Solar Power Corp.a,b | 8,563,806 | 4,018,569 | ||||||
Nien Made Enterprise Co. Ltd.b | 999,000 | 9,854,669 | ||||||
Novatek Microelectronics Corp. | 4,007,000 | 17,361,768 | ||||||
OBI Pharma Inc.a | 879,000 | 5,148,362 | ||||||
Oriental Union Chemical Corp. | 5,237,000 | 5,793,876 | ||||||
Pan-International Industrial Corp.b | 2,873,366 | 2,184,882 | ||||||
Parade Technologies Ltd.b | 471,000 | 8,953,606 | ||||||
PChome Online Inc.b | 734,070 | 4,073,208 | ||||||
Pegatron Corp. | 14,286,000 | 36,699,149 | ||||||
PharmaEngine Inc.b | 609,793 | 2,715,250 | ||||||
PharmaEssentia Corp.a | 1,025,000 | 6,056,156 | ||||||
Pharmally International Holding Co. Ltd. | 212,704 | 2,775,778 | ||||||
Phison Electronics Corp. | 1,026,000 | 10,050,727 | ||||||
Pixart Imaging Inc.b | 1,477,000 | 6,551,404 | ||||||
Pou Chen Corp. | 14,998,000 | 18,878,817 | ||||||
Powertech Technology Inc. | 4,904,000 | 15,218,181 | ||||||
Poya International Co. Ltd.b | 399,447 | 5,164,880 | ||||||
President Chain Store Corp. | 4,302,000 | 43,395,010 | ||||||
President Securities Corp.a,b | 11,285,135 | 5,701,418 | ||||||
Primax Electronics Ltd. | 3,500,000 | 8,991,112 | ||||||
Prince Housing & Development Corp.b | 10,561,995 | 4,305,038 | ||||||
Qisda Corp.b | 14,708,000 | 10,251,847 | ||||||
Quanta Computer Inc.b | 19,850,000 | 40,521,998 | ||||||
Radiant Opto-Electronics Corp.b | 3,442,000 | 9,726,328 | ||||||
Radium Life Tech Co. Ltd.a | 12,271,196 | 5,190,843 | ||||||
Realtek Semiconductor Corp. | 3,422,110 | 13,596,779 | ||||||
Ritek Corp.a | 16,683,503 | 3,000,065 | ||||||
Ruentex Development Co. Ltd.a,b | 7,072,986 | 7,788,752 | ||||||
Ruentex Industries Ltd.b | 4,338,906 | 7,623,979 | ||||||
Sanyang Motor Co. Ltd.b | 5,216,000 | 3,778,610 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
ScinoPharm Taiwan Ltd.b | 2,069,027 | $ | 2,278,407 | |||||
Sercomm Corp. | 2,049,000 | 5,958,456 | ||||||
Shin Kong Financial Holding Co. Ltd.b | 61,577,443 | 25,415,156 | ||||||
Shin Zu Shing Co. Ltd.b | 1,112,000 | 3,450,778 | ||||||
Shining Building Business Co. Ltd.a,b | 8,155,281 | 2,988,868 | ||||||
Shinkong Synthetic Fibers Corp.b | 13,957,000 | 4,508,041 | ||||||
Sigurd Microelectronics Corp.b | 5,960,000 | 7,461,355 | ||||||
Silergy Corp.b | 431,000 | 9,595,657 | ||||||
Siliconware Precision Industries Co. Ltd. | 14,422,819 | 25,145,022 | ||||||
Simplo Technology Co. Ltd. | 989,400 | 6,269,425 | ||||||
Sinbon Electronics Co. Ltd.b | 2,048,809 | 5,628,076 | ||||||
Sino-American Silicon Products Inc. | 4,299,000 | 13,222,935 | ||||||
SinoPac Financial Holdings Co. Ltd. | 71,832,746 | 24,850,088 | ||||||
Sinyi Realty Inc.b | 3,040,087 | 4,118,287 | ||||||
Sitronix Technology Corp.b | 1,247,000 | 3,583,542 | ||||||
Soft-World International Corp.b | 1,422,000 | 3,248,699 | ||||||
St. Shine Optical Co. Ltd. | 311,000 | 9,629,703 | ||||||
Standard Foods Corp. | 4,199,096 | 9,866,520 | ||||||
Sunny Friend Environmental Technology Co. Ltd.b | 663,000 | 5,302,547 | ||||||
Synnex Technology International Corp. | 8,932,250 | 11,840,115 | ||||||
TA Chen Stainless Pipeb | 8,500,099 | 7,336,833 | ||||||
Taichung Commercial Bank Co. Ltd.b | 20,681,200 | 7,189,950 | ||||||
Taigen Biopharmaceuticals Holdings Ltd.a | 2,588,000 | 2,207,231 | ||||||
TaiMed Biologics Inc.a,b | 1,515,000 | 10,482,095 | ||||||
Tainan Spinning Co. Ltd.b | 9,261,894 | 4,250,976 | ||||||
Taishin Financial Holding Co. Ltd. | 68,407,448 | 33,271,763 | ||||||
Taiwan Acceptance Corp. | 1,754,000 | 6,788,786 | ||||||
Taiwan Business Bank | 29,748,718 | 8,803,717 | ||||||
Taiwan Cement Corp. | 26,710,000 | 33,850,080 | ||||||
Taiwan Cogeneration Corp.b | 4,680,000 | 4,127,691 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 57,836,966 | 33,677,396 | ||||||
Taiwan Fertilizer Co. Ltd. | 3,659,000 | 4,881,507 | ||||||
Taiwan Glass Industry Corp.a,b | 9,966,053 | 6,127,336 |
Security | Shares | Value | ||||||
Taiwan High Speed Rail Corp. | 11,902,000 | $ | 9,233,625 | |||||
Taiwan Hon Chuan Enterprise Co. Ltd. | 2,977,674 | 5,609,497 | ||||||
Taiwan Land Development Corp.a,b | 13,936,973 | 4,721,161 | ||||||
Taiwan Mobile Co. Ltd. | 11,434,000 | 42,100,837 | ||||||
Taiwan Paiho Ltd.b | 1,813,000 | 6,054,615 | ||||||
Taiwan PCB Techvest Co. Ltd.b | 4,794,042 | 4,942,565 | ||||||
Taiwan Secom Co. Ltd.b | 2,232,185 | 6,949,894 | ||||||
Taiwan Semiconductor Co. Ltd.b | 2,948,000 | 7,169,187 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 186,144,000 | 1,568,441,164 | ||||||
Taiwan Shin Kong Security Co. Ltd.b | 4,629,770 | 6,073,545 | ||||||
Taiwan Surface Mounting Technology Corp.b | 5,137,261 | 5,199,639 | ||||||
Taiwan TEA Corp.b | 8,234,000 | 4,202,244 | ||||||
Tatung Co. Ltd.a,b | 15,702,000 | 13,606,912 | ||||||
TCI Co. Ltd. | 590,000 | 6,668,836 | ||||||
Teco Electric and Machinery Co. Ltd. | 13,952,000 | 12,663,869 | ||||||
Test Research Inc. | 2,250,400 | 4,293,377 | ||||||
Test Rite International Co. Ltd.b | 7,296,000 | 5,710,250 | ||||||
Ton Yi Industrial Corp.b | 7,453,000 | 3,446,267 | ||||||
Tong Hsing Electronic Industries Ltd. | 1,042,000 | 4,050,864 | ||||||
Tong Yang Industry Co. Ltd.b | 2,968,400 | 5,337,843 | ||||||
Topco Scientific Co. Ltd.b | 1,878,639 | 5,353,659 | ||||||
TPK Holding Co. Ltd.a | 2,320,000 | 5,769,108 | ||||||
Transcend Information Inc. | 1,475,000 | 4,284,222 | ||||||
Tripod Technology Corp. | 3,549,000 | 11,876,395 | ||||||
TSRC Corp.b | 5,022,900 | 5,686,042 | ||||||
TTY Biopharm Co. Ltd. | 1,862,124 | 6,250,558 | ||||||
Tung Ho Steel Enterprise Corp.b | 7,259,000 | 6,290,445 | ||||||
Tung Thih Electronic Co. Ltd.b | 405,000 | 2,046,120 | ||||||
TWi Pharmaceuticals Inc.a,b | 799,000 | 2,044,332 | ||||||
TXC Corp. | 3,234,000 | 4,375,435 | ||||||
U-Ming Marine Transport Corp. | 4,269,000 | 5,454,049 | ||||||
Uni-President Enterprises Corp. | 35,826,369 | 84,671,249 |
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Unimicron Technology Corp.b | 10,662,000 | $ | 7,376,904 | |||||
United Integrated Services Co. Ltd.b | 2,817,000 | 5,605,922 | ||||||
United Microelectronics Corp.b | 88,494,000 | 42,889,832 | ||||||
UPC Technology Corp.b | 10,458,099 | 6,608,961 | ||||||
USI Corp.b | 9,495,040 | 4,975,908 | ||||||
Vanguard International Semiconductor Corp. | 6,408,000 | 13,388,639 | ||||||
Visual Photonics Epitaxy Co. Ltd.b | 2,044,000 | 7,841,208 | ||||||
Voltronic Power Technology Corp.b | 357,974 | 6,124,506 | ||||||
Wafer Works Corp.a,b | 3,449,000 | 5,351,499 | ||||||
Wah Lee Industrial Corp. | 2,034,000 | 3,943,224 | ||||||
Walsin Lihwa Corp.b | 22,578,000 | 13,108,085 | ||||||
Walsin Technology Corp.b | 2,627,597 | 7,776,006 | ||||||
Waterland Financial Holdings Co. Ltd. | 23,344,938 | 7,996,074 | ||||||
Win Semiconductors Corp.b | 2,578,427 | 23,712,820 | ||||||
Winbond Electronics Corp.b | 23,368,480 | 15,928,234 | ||||||
Wistron Corp.b | 19,834,825 | 16,644,798 | ||||||
Wistron NeWeb Corp.b | 2,142,736 | 5,988,843 | ||||||
Wowprime Corp.b | 587,260 | 2,584,745 | ||||||
WPG Holdings Ltd.b | 9,859,000 | 12,663,339 | ||||||
WT Microelectronics Co. Ltd.b | 3,433,734 | 5,533,633 | ||||||
XinTec Inc.a,b | 1,254,000 | 2,456,844 | ||||||
XPEC Entertainment Inc.a,d | 31,000 | — | ||||||
Yageo Corp.b | 1,616,370 | 18,297,693 | ||||||
Yang Ming Marine Transport Corp.a | 9,539,677 | 3,398,217 | ||||||
Yeong Guan Energy Technology Group Co. Ltd.b | 532,937 | 1,423,818 | ||||||
YFY Inc.a | 11,920,000 | 5,736,364 | ||||||
Yieh Phui Enterprise Co. Ltd.b | 11,733,900 | 4,642,035 | ||||||
Yuanta Financial Holding Co. Ltd. | 76,111,912 | 34,281,709 | ||||||
Yulon Motor Co. Ltd. | 5,345,000 | 4,274,828 | ||||||
YungShin Global Holding Corp.b | 3,132,650 | 4,345,612 | ||||||
Yungtay Engineering Co. Ltd.b | 3,386,000 | 6,923,814 | ||||||
Zhen Ding Technology Holding Ltd. | 2,915,950 | 6,382,121 | ||||||
Zinwell Corp.b | 3,236,000 | 2,981,569 | ||||||
|
| |||||||
5,898,744,451 | ||||||||
THAILAND — 2.60% |
| |||||||
Advanced Info Service PCL NVDR | 8,013,400 | 50,546,454 |
Security | Shares | Value | ||||||
Airports of Thailand PCL NVDR | 32,237,400 | $ | 72,659,957 | |||||
Amata Corp. PCL NVDRb | 6,917,900 | 5,564,733 | ||||||
AP Thailand PCL NVDRb | 19,012,790 | 5,087,844 | ||||||
Bangchak Corp. PCL NVDRb | 4,185,000 | 5,399,570 | ||||||
Bangkok Airways PCL NVDRb | 6,332,100 | 3,005,680 | ||||||
Bangkok Bank PCL Foreign | 1,955,700 | 14,329,755 | ||||||
Bangkok Chain Hospital PCL NVDR | 12,595,050 | 6,379,780 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 28,926,800 | 20,365,794 | ||||||
Bangkok Expressway & Metro PCL NVDR | 61,869,485 | 14,388,252 | ||||||
Bangkok Land PCL NVDRb | 98,074,700 | 5,498,932 | ||||||
Banpu PCL NVDR | 16,605,300 | 12,431,493 | ||||||
Beauty Community PCL NVDRb | 18,160,400 | 12,322,922 | ||||||
Berli Jucker PCL NVDR | 9,678,700 | 18,346,055 | ||||||
BTS Group Holdings PCL NVDR | 46,414,900 | 12,051,017 | ||||||
Bumrungrad Hospital PCL NVDR | 2,710,200 | 17,785,957 | ||||||
Central Pattana PCL NVDR | 10,793,700 | 28,970,029 | ||||||
Charoen Pokphand Foods PCL NVDRb | 24,305,200 | 17,731,414 | ||||||
Chularat Hospital PCL NVDRb | 57,340,100 | 3,726,467 | ||||||
CP ALL PCL NVDR | 38,238,400 | 102,326,397 | ||||||
Delta Electronics Thailand PCL NVDR | 3,947,600 | 8,551,666 | ||||||
Dynasty Ceramic PCL NVDRb | 36,281,920 | 3,976,101 | ||||||
Eastern Polymer Group PCL NVDRb | 9,651,500 | 2,244,535 | ||||||
Electricity Generating PCL NVDR | 1,022,600 | 7,753,386 | ||||||
Energy Absolute PCL NVDR | 10,008,600 | 21,442,445 | ||||||
Esso Thailand PCL NVDRa,b | 12,349,400 | 7,002,846 | ||||||
Glow Energy PCL NVDR | 3,623,100 | 9,782,024 | ||||||
Gunkul Engineering PCL NVDRb | 26,507,835 | 3,276,534 | ||||||
Hana Microelectronics PCL NVDR | 5,008,300 | 6,581,471 | ||||||
Home Product Center PCL NVDR | 37,520,574 | 17,212,369 | ||||||
Indorama Ventures PCL NVDR | 11,430,100 | 19,663,122 | ||||||
Inter Far East Energy Corp. NVDRa,b,d | 7,049,000 | 2 | ||||||
IRPC PCL NVDR | 79,560,400 | 20,656,810 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Italian-Thai Development PCL NVDRb | 20,651,500 | $ | 2,223,704 | |||||
Jasmine International PCL NVDRb | 18,741,000 | 4,119,557 | ||||||
Kasikornbank PCL Foreign | 9,118,300 | 67,392,342 | ||||||
Kasikornbank PCL NVDR | 4,336,700 | 32,052,068 | ||||||
KCE Electronics PCL NVDRb | 2,178,300 | 4,857,630 | ||||||
Khon Kaen Sugar Industry PCL NVDRb | 16,401,686 | 2,006,450 | ||||||
Kiatnakin Bank PCL NVDR | 3,375,400 | 8,387,423 | ||||||
Krung Thai Bank PCL NVDR | 25,457,500 | 16,463,436 | ||||||
Krungthai Card PCL NVDR | 1,233,000 | 10,409,207 | ||||||
LPN Development PCL NVDRb | 8,210,500 | 2,694,111 | ||||||
Major Cineplex Group PCL NVDRb | 4,320,100 | 3,647,106 | ||||||
Minor International PCL NVDR | 16,317,860 | 21,053,626 | ||||||
Muangthai Leasing PCL NVDRb | 6,667,700 | 9,186,939 | ||||||
PTG Energy PCL NVDRb | 6,689,600 | 3,814,713 | ||||||
PTT Exploration & Production PCL NVDR | 10,689,001 | 39,330,348 | ||||||
PTT Global Chemical PCL NVDR | 16,266,500 | 51,431,989 | ||||||
PTT PCL NVDR | 7,971,500 | 144,243,772 | ||||||
Quality Houses PCL NVDRb | 46,153,417 | 4,381,560 | ||||||
Robinson PCL NVDR | 4,441,000 | 9,514,407 | ||||||
Siam Cement PCL (The) Foreign | 2,640,900 | 41,224,626 | ||||||
Siam Cement PCL (The) NVDR | 284,400 | 4,439,503 | ||||||
Siam Commercial Bank PCL (The) NVDR | 13,211,600 | 62,711,959 | ||||||
Siam Global House PCL NVDRb | 15,222,295 | 7,953,031 | ||||||
Singha Estate PCL NVDRa,b | 23,079,700 | 2,779,269 | ||||||
Sino-Thai Engineering & Construction PCL NVDRb | 7,282,128 | 4,639,776 | ||||||
Sri Trang Agro-Industry PCL NVDRb | 8,144,960 | 2,958,029 | ||||||
Srisawad Corp PCL NVDRb | 4,895,430 | 9,591,238 | ||||||
Supalai PCL NVDR | 6,880,800 | 5,063,602 | ||||||
Superblock PCL NVDRa,b | 107,777,900 | 3,536,516 | ||||||
Thai Airways International PCL NVDRa,b | 5,794,600 | 2,787,463 |
Security | Shares | Value | ||||||
Thai Oil PCL NVDR | 7,874,000 | $ | 25,836,954 | |||||
Thai Union Group PCL NVDR | 15,869,300 | 10,161,610 | ||||||
Thai Vegetable Oil PCL NVDRb | 4,818,400 | 4,835,285 | ||||||
Thaicom PCL NVDRb | 15,700 | 5,352 | ||||||
Thanachart Capital PCL NVDR | 5,325,200 | �� | 9,457,786 | |||||
Thoresen Thai Agencies PCL NVDRb | 12,014,723 | 3,425,670 | ||||||
TICON Industrial Connection PCL NVDRb | 6,316,960 | 3,541,844 | ||||||
Tisco Financial Group PCL NVDR | 3,158,450 | 8,904,837 | ||||||
TMB Bank PCL NVDR | 120,011,000 | 11,469,672 | ||||||
True Corp. PCL NVDRa | 87,543,611 | 17,570,078 | ||||||
TTW PCL NVDRb | 14,331,000 | 6,072,071 | ||||||
Unique Engineering & Construction PCL NVDRb | 6,708,000 | 2,906,301 | ||||||
VGI Global Media PCL NVDR | 26,799,900 | 5,762,960 | ||||||
Vibhavadi Medical Center PCL NVDR | 50,216,700 | 4,063,409 | ||||||
WHA Corp. PCL NVDR | 67,156,900 | 8,814,477 | ||||||
|
| |||||||
1,264,785,519 | ||||||||
TURKEY — 1.08% |
| |||||||
AG Anadolu Grubu Holding ASb | 560,632 | 4,303,660 | ||||||
Akbank Turk AS | 16,405,298 | 45,813,900 | ||||||
Aksa Akrilik Kimya Sanayii AS | 976,860 | 3,952,145 | ||||||
Albaraka Turk Katilim Bankasi ASb | 10,344,815 | 4,348,331 | ||||||
Anadolu Efes Biracilik Ve Malt Sanayii AS | 1,642,847 | 11,083,375 | ||||||
Arcelik AS | 1,856,472 | 9,242,245 | ||||||
Aselsan Elektronik Sanayi Ve Ticaret ASb | 1,709,520 | 13,994,311 | ||||||
BIM Birlesik Magazalar AS | 1,673,153 | 33,054,711 | ||||||
Cimsa Cimento Sanayi VE Ticaret ASb | 825,910 | 2,911,824 | ||||||
Coca-Cola Icecek AS | 707,581 | 6,863,059 | ||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi ASa,b | 19,440,524 | 13,483,162 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 11,006,372 | 32,847,505 | ||||||
Ford Otomotiv Sanayi AS | 587,641 | 9,679,647 | ||||||
Haci Omer Sabanci Holding AS | 6,293,298 | 17,756,708 |
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Is Gayrimenkul Yatirim Ortakligi ASb | 7,999,336 | $ | 2,900,099 | |||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Da | 9,322,833 | 8,425,316 | ||||||
KOC Holding AS | 5,113,511 | 24,167,417 | ||||||
Koza Altin Isletmeleri ASa | 340,232 | 2,929,975 | ||||||
Koza Anadolu Metal Madencilik Isletmeleri ASa,b | 1,752,001 | 2,508,480 | ||||||
Otokar Otomotiv Ve Savunma Sanayi ASb | 90,578 | 2,831,715 | ||||||
Petkim Petrokimya Holding AS | 5,729,310 | 12,146,628 | ||||||
Soda Sanayii AS | 3,714,516 | 4,947,549 | ||||||
TAV Havalimanlari Holding AS | 1,428,155 | 8,704,487 | ||||||
Tekfen Holding AS | 1,601,866 | 7,646,470 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 1,002,517 | 8,001,278 | ||||||
Trakya Cam Sanayii AS | 5,544,296 | 7,064,282 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 969,568 | 29,776,432 | ||||||
Turk Hava Yollari AOa | 4,136,053 | 20,721,284 | ||||||
Turk Telekomunikasyon ASa | 4,272,478 | 7,340,700 | ||||||
Turkcell Iletisim Hizmetleri AS | 7,623,950 | 30,724,532 | ||||||
Turkiye Garanti Bankasi AS | 16,827,477 | 51,855,746 | ||||||
Turkiye Halk Bankasi AS | 5,047,425 | 12,769,563 | ||||||
Turkiye Is Bankasi AS Class C | 12,538,548 | 25,034,603 | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 14,595,521 | 6,480,167 | ||||||
Turkiye Sise ve Cam Fabrikalari AS | 6,086,247 | 7,642,885 | ||||||
Turkiye Vakiflar Bankasi TAO Class D | 6,375,538 | 12,310,737 | ||||||
Ulker Biskuvi Sanayi AS | 1,421,323 | 8,423,872 | ||||||
Yapi ve Kredi Bankasi ASa | 6,761,140 | 8,454,866 | ||||||
Zorlu Enerji Elektrik Uretim ASa,b | 8,695,240 | 4,957,026 | ||||||
|
| |||||||
528,100,692 | ||||||||
UNITED ARAB EMIRATES — 0.61% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 16,345,901 | 32,487,531 | ||||||
Agthia Group PJSC | 1,720,319 | 2,056,167 | ||||||
Air Arabia PJSC | 20,545,169 | 7,327,672 | ||||||
Al Waha Capital PJSC | 10,021,778 | 5,866,353 | ||||||
Aldar Properties PJSC | 25,339,331 | 14,901,634 | ||||||
Amanat Holdings PJSC | 6,967,217 | 2,788,442 |
Security | Shares | Value | ||||||
Amlak Finance PJSCa | 10,081,949 | $ | 2,497,876 | |||||
DAMAC Properties Dubai Co. PJSC | 11,151,322 | 9,108,201 | ||||||
Dana Gas PJSCa | 34,930,002 | 7,132,551 | ||||||
Deyaar Development PJSCa | 19,582,343 | 2,815,033 | ||||||
DP World Ltd. | 1,313,060 | 32,104,317 | ||||||
Dubai Investments PJSC | 6,512,517 | 3,918,557 | ||||||
Dubai Islamic Bank PJSC | 10,572,043 | 17,442,813 | ||||||
DXB Entertainments PJSCa | 30,706,389 | 4,639,880 | ||||||
Emaar Malls PJSC | 13,909,600 | 8,028,520 | ||||||
Emaar Properties PJSC | 26,303,431 | 44,185,782 | ||||||
Emirates Telecommunications Group Co. PJSC | 13,419,102 | 62,840,102 | ||||||
Eshraq Properties Co. PJSCa | 12,066,071 | 2,398,135 | ||||||
First Abu Dhabi Bank PJSC | 11,463,169 | 36,047,211 | ||||||
|
| |||||||
298,586,777 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| 46,830,574,029 | ||||||
PREFERRED STOCKS — 3.51% |
| |||||||
BRAZIL — 2.57% |
| |||||||
Alpargatas SA, Preference Shares | 1,316,500 | 6,941,638 | ||||||
Banco ABC Brasil SA, Preference Shares | 877,547 | 5,089,030 | ||||||
Banco Bradesco SA, Preference Shares | 22,758,562 | 271,596,598 | ||||||
Banco do Estado do Rio Grande do Sul SA Class B, Preference Shares | 1,461,900 | 8,167,291 | ||||||
Bradespar SA, Preference Shares | 1,830,400 | 19,251,949 | ||||||
Braskem SA Class A, Preference Shares | 1,311,400 | 18,746,107 | ||||||
Centrais Eletricas Brasileiras SA Class B, Preference Shares | 1,681,900 | 14,444,020 | ||||||
Cia. Brasileira de Distribuicao, Preference Shares | 1,186,400 | 25,011,631 | ||||||
Cia. de Saneamento do Parana, Preference Shares | 2,062,275 | 6,557,384 | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 5,597,120 | 14,144,626 | ||||||
Cia. Energetica de Sao Paulo Class B, Preference Shares | 1,487,300 | 6,958,664 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Cia. Energetica do Ceara Class A, Preference Shares | 93,400 | $ | 1,701,972 | |||||
Cia. Paranaense de Energia Class B, Preference Shares | 805,300 | 6,283,757 | ||||||
Gerdau SA, Preference Shares | 7,587,500 | 38,816,237 | ||||||
Gol Linhas Aereas Inteligentes SA, Preference Shares | 769,700 | 4,548,900 | ||||||
Itau Unibanco Holding SA, Preference Shares | 24,282,113 | 376,554,937 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 29,919,492 | 120,829,160 | ||||||
Lojas Americanas SA, Preference Shares | 5,496,810 | 28,560,570 | ||||||
Marcopolo SA, Preference Shares | 4,460,900 | 5,616,031 | ||||||
Metalurgica Gerdau SA, Preference Shares | 5,181,200 | 12,567,251 | ||||||
Petroleo Brasileiro SA, Preference Shares | 29,453,100 | 194,555,914 | ||||||
Telefonica Brasil SA, Preference Shares | 3,278,200 | 51,109,144 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A, Preference Shares | 3,350,500 | 12,705,859 | ||||||
|
| |||||||
1,250,758,670 | ||||||||
CHILE — 0.10% |
| |||||||
Embotelladora Andina SA Class B, Preference Shares | 2,174,647 | 10,757,128 | ||||||
Sociedad Quimica y Minera de Chile SA Series B, Preference Shares | 721,229 | 36,558,101 | ||||||
|
| |||||||
47,315,229 | ||||||||
COLOMBIA — 0.13% |
| |||||||
Avianca Holdings SA, Preference Shares | 3,412,328 | 3,943,568 | ||||||
Bancolombia SA, Preference Shares | 3,701,943 | 38,949,685 | ||||||
Grupo Aval Acciones y Valores SA, Preference Shares | 30,985,687 | 13,394,848 | ||||||
Grupo de Inversiones Suramericana SA, Preference Shares | 628,716 | 7,789,811 | ||||||
|
| |||||||
64,077,912 |
Security | Shares | Value | ||||||
RUSSIA — 0.07% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 51,953,800 | $ | 27,223,893 | |||||
Transneft PJSC, Preference Shares | 2,068 | 6,795,684 | ||||||
|
| |||||||
34,019,577 | ||||||||
SOUTH KOREA — 0.64% |
| |||||||
Amorepacific Corp., Preference Shares | 72,738 | 10,209,785 | ||||||
Hyundai Motor Co., Preference Shares | 161,786 | 13,416,181 | ||||||
Hyundai Motor Co. Series 2, Preference Shares | 263,328 | 23,757,637 | ||||||
LG Chem Ltd., Preference Shares | 57,151 | 11,320,426 | ||||||
LG Household & Health Care Ltd., Preference Shares | 16,454 | 9,329,353 | ||||||
Samsung Electronics Co. Ltd., Preference Shares | 133,618 | 246,161,151 | ||||||
|
| |||||||
314,194,533 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| 1,710,365,921 | ||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.01% |
| |||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 700,624 | 1,164,561 | ||||||
|
| |||||||
1,164,561 | ||||||||
CHILE — 0.00% |
| |||||||
Enel Chile SA (Expires 03/16/18)a | 15,875,973 | 2,696 | ||||||
|
| |||||||
2,696 | ||||||||
SOUTH KOREA — 0.00% |
| |||||||
Hyundai Heavy Industries Co. Ltd. (Expires 03/09/18)a | 40,839 | 942,816 | ||||||
|
| |||||||
942,816 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| 2,110,073 |
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 5.79% |
| |||||||
MONEY MARKET FUNDS — 5.79% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%f,g,h | 2,748,098,082 | $ | 2,748,372,892 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%f,g | 72,760,236 | 72,760,236 | ||||||
|
| |||||||
2,821,133,128 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,821,074,522) | 2,821,133,128 | |||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $41,664,053,509) | $ | 51,364,183,151 | ||||||
Other Assets, Less Liabilities — (5.40)% |
| (2,630,033,234 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 48,734,149,917 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
f | Affiliate of the Fund. |
g | Annualized 7-day yield as of period end. |
h | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | 2,544,586,672 | 203,511,410 | b | — | 2,748,098,082 | $ | 2,748,372,892 | $ | 23,269,381 | c | $ | (192,538 | ) | $ | (247,254 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | 111,111,661 | — | (38,351,425 | )b | 72,760,236 | 72,760,236 | 542,718 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 2,821,133,128 | $ | 23,812,099 | $ | (192,538 | ) | $ | (247,254 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® CORE MSCI EMERGING MARKETS ETF
February 28, 2018
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI Emerging Markets E-Mini | 2,682 | Mar 2018 | $ | 158,640 | $ | 2,453,352 | ||||||||||
|
| |||||||||||||||
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, 2018. 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 | $ | 46,584,347,373 | $ | 245,206,137 | $ | 1,020,519 | $ | 46,830,574,029 | ||||||||
Preferred stocks | 1,710,365,921 | — | — | 1,710,365,921 | ||||||||||||
Rights | 1,167,257 | 942,816 | — | 2,110,073 | ||||||||||||
Money market funds | 2,821,133,128 | — | — | 2,821,133,128 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 51,117,013,679 | $ | 246,148,953 | $ | 1,020,519 | $ | 51,364,183,151 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 2,453,352 | $ | — | $ | — | $ | 2,453,352 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 2,453,352 | $ | — | $ | — | $ | 2,453,352 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to consolidated financial statements.
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 94.19% |
| |||||||
BRAZIL — 9.54% |
| |||||||
Ambev SA | 580,065 | $ | 3,928,105 | |||||
Atacadao Distribuicao Comercio e Industria Ltdaa | 43,500 | 198,838 | ||||||
B3 SA – Brasil Bolsa Balcao | 261,069 | 2,058,819 | ||||||
Banco Bradesco SA | 117,218 | 1,328,861 | ||||||
Banco do Brasil SA | 101,589 | 1,307,094 | ||||||
Banco Santander Brasil SA Units | 58,000 | 656,456 | ||||||
BB Seguridade Participacoes SA | 87,000 | 779,284 | ||||||
BR Malls Participacoes SA | 89,718 | 329,461 | ||||||
BRF SAa | 58,000 | 534,162 | ||||||
CCR SA | 145,000 | 566,833 | ||||||
Centrais Eletricas Brasileiras SAa | 29,000 | 221,110 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 43,500 | 504,125 | ||||||
Cia. Energetica de Minas Geraisa | 13,255 | 33,252 | ||||||
Cia. Siderurgica Nacional SAa | 72,500 | 226,510 | ||||||
Cielo SA | 145,021 | 1,079,818 | ||||||
Cosan SA Industria e Comercio | 14,500 | 193,571 | ||||||
EDP – Energias do Brasil SA | 29,000 | 118,723 | ||||||
Embraer SA | 91,100 | 610,184 | ||||||
Engie Brasil Energia SA | 14,500 | 174,736 | ||||||
Equatorial Energia SA | 29,000 | 639,138 | ||||||
Fibria Celulose SA | 29,041 | 551,276 | ||||||
Hypera SA | 43,500 | 462,215 | ||||||
JBS SA | 101,552 | 309,775 | ||||||
Klabin SA Units | 72,500 | 399,461 | ||||||
Kroton Educacional SA | 174,064 | 830,471 | ||||||
Localiza Rent a Car SA | 46,179 | 368,721 | ||||||
Lojas Renner SA | 87,060 | 925,067 | ||||||
M. Dias Branco SA | 14,500 | 267,036 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 15,010 | 324,341 | ||||||
Natura Cosmeticos SA | 14,500 | 153,224 | ||||||
Odontoprev SA | 29,000 | 136,665 | ||||||
Petroleo Brasileiro SAa | 362,500 | 2,583,109 | ||||||
Porto Seguro SA | 14,500 | 204,372 | ||||||
Qualicorp SA | 29,000 | 256,637 | ||||||
Raia Drogasil SA | 29,050 | 695,143 | ||||||
Rumo SAa | 130,500 | 572,011 | ||||||
Sul America SA Units | 29,089 | 191,166 | ||||||
Suzano Papel e Celulose SA | 58,000 | 388,303 | ||||||
TIM Participacoes SA | 116,069 | 503,755 |
Security | Shares | Value | ||||||
Transmissora Alianca de Energia Eletrica SA Units | 19,500 | $ | 123,047 | |||||
Ultrapar Participacoes SA | 43,500 | 1,008,785 | ||||||
Vale SA | 387,929 | 5,379,362 | ||||||
WEG SA | 72,940 | 525,595 | ||||||
|
| |||||||
32,648,617 | ||||||||
CHINA — 60.92% |
| |||||||
3SBio Inc.a,b,c | 145,000 | 276,092 | ||||||
58.com Inc. ADRa | 10,875 | 819,649 | ||||||
AAC Technologies Holdings Inc. | 86,500 | 1,723,301 | ||||||
Agile Group Holdings Ltd. | 290,000 | 500,300 | ||||||
Agricultural Bank of China Ltd. Class H | 3,190,000 | 1,773,287 | ||||||
Air China Ltd. Class H | 290,000 | 442,488 | ||||||
Alibaba Group Holding Ltd. ADRa,c | 141,520 | 26,342,533 | ||||||
Alibaba Health Information Technology Ltd.a,c | 368,000 | 181,054 | ||||||
Alibaba Pictures Group Ltd.a | 1,450,000 | 198,267 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 580,000 | 352,063 | ||||||
Anhui Conch Cement Co. Ltd. Class H | 145,000 | 777,318 | ||||||
ANTA Sports Products Ltd. | 145,040 | 719,148 | ||||||
Autohome Inc. ADR | 6,525 | 510,320 | ||||||
AviChina Industry & Technology Co. Ltd. Class Hc | 290,000 | 161,578 | ||||||
Baidu Inc. ADRa | 33,640 | 8,488,718 | ||||||
Bank of China Ltd. Class H | 9,860,000 | 5,380,267 | ||||||
Bank of Communications Co. Ltd. Class H | 1,160,200 | 931,090 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 290,000 | 428,405 | ||||||
Beijing Enterprises Holdings Ltd. | 72,500 | 403,483 | ||||||
Beijing Enterprises Water Group Ltd.c | 580,000 | 378,005 | ||||||
Brilliance China Automotive Holdings Ltd. | 290,000 | 781,951 | ||||||
BYD Co. Ltd. Class Hc | 72,500 | 671,236 | ||||||
BYD Electronic International Co. Ltd. | 72,500 | 179,738 | ||||||
CGN Power Co. Ltd. Class Hb | 1,740,000 | 469,170 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 1,160,000 | 435,817 | ||||||
China CITIC Bank Corp. Ltd. Class H | 1,160,000 | 846,434 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2018
Security | Shares | Value | ||||||
China Communications Construction Co. Ltd. Class H | 590,000 | $ | 660,473 | |||||
China Communications Services Corp. Ltd. Class H | 290,800 | 173,173 | ||||||
China Conch Venture Holdings Ltd. | 217,500 | 654,560 | ||||||
China Construction Bank Corp. Class H | 10,295,370 | 10,722,562 | ||||||
China Everbright Bank Co. Ltd. Class H | 444,000 | 228,658 | ||||||
China Everbright International Ltd. | 290,000 | 449,158 | ||||||
China Evergrande Groupa | 435,000 | 1,289,663 | ||||||
China Galaxy Securities Co. Ltd. Class H | 362,500 | 254,319 | ||||||
China Gas Holdings Ltd.c | 203,000 | 632,973 | ||||||
China Huarong Asset Management Co. Ltd. Class Hb | 1,160,000 | 526,242 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,d | 51,450 | — | ||||||
China Jinmao Holdings Group Ltd.c | 580,000 | 355,028 | ||||||
China Life Insurance Co. Ltd. Class H | 870,000 | 2,584,885 | ||||||
China Longyuan Power Group Corp. Ltd. Class H | 435,000 | 289,062 | ||||||
China Medical System Holdings Ltd. | 145,000 | 291,286 | ||||||
China Mengniu Dairy Co. Ltd. | 290,000 | 957,982 | ||||||
China Merchants Bank Co. Ltd. Class H | 435,456 | 1,839,140 | ||||||
China Merchants Port Holdings Co. Ltd. | 290,000 | 678,926 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 652,500 | 682,076 | ||||||
China Mobile Ltd. | 725,000 | 6,800,378 | ||||||
China Molybdenum Co. Ltd. Class H | 435,000 | 355,769 | ||||||
China National Building Material Co. Ltd. Class H | 290,000 | 287,951 | ||||||
China Oilfield Services Ltd. Class H | 290,000 | 306,110 | ||||||
China Overseas Land & Investment Ltd. | 580,800 | 2,041,072 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 319,000 | 1,569,461 | ||||||
China Petroleum & Chemical Corp. Class H | 3,190,600 | 2,568,691 |
Security | Shares | Value | ||||||
China Railway Construction Corp. Ltd. Class H | 229,500 | $ | 246,355 | |||||
China Railway Group Ltd. Class H | 435,000 | 316,301 | ||||||
China Resources Beer Holdings Co. Ltd. | 290,000 | 1,119,190 | ||||||
China Resources Gas Group Ltd. | 89,000 | 300,257 | ||||||
China Resources Land Ltd. | 318,444 | 1,137,402 | ||||||
China Resources Pharmaceutical Group Ltd.b | 217,500 | 293,510 | ||||||
China Resources Power Holdings Co. Ltd. | 290,200 | 505,096 | ||||||
China Shenhua Energy Co. Ltd. Class H | 435,000 | 1,236,854 | ||||||
China Southern Airlines Co. Ltd. Class H | 290,000 | 389,122 | ||||||
China State Construction International Holdings Ltd. | 290,000 | 395,052 | ||||||
China Taiping Insurance Holdings Co. Ltd. | 203,040 | 783,588 | ||||||
China Telecom Corp. Ltd. Class H | 2,030,000 | 894,982 | ||||||
China Unicom Hong Kong Ltd.a | 623,900 | 808,448 | ||||||
China Vanke Co. Ltd. Class H | 145,001 | 651,321 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 290,000 | 235,697 | ||||||
CIFI Holdings Group Co. Ltd. | 290,000 | 236,809 | ||||||
CITIC Ltd. | 725,000 | 1,054,337 | ||||||
CITIC Securities Co. Ltd. Class H | 290,000 | 656,690 | ||||||
CNOOC Ltd. | 2,175,000 | 3,168,569 | ||||||
COSCO SHIPPING Ports Ltd. | 290,000 | 282,021 | ||||||
Country Garden Holdings Co. Ltd. | 580,046 | 1,043,672 | ||||||
CRRC Corp. Ltd. Class H | 510,400 | 467,658 | ||||||
CSPC Pharmaceutical Group Ltd. | 580,000 | 1,340,064 | ||||||
Ctrip.com International Ltd. ADRa | 48,285 | 2,220,144 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 290,000 | 367,257 | ||||||
ENN Energy Holdings Ltd. | 74,000 | 570,227 | ||||||
Far East Horizon Ltd. | 290,000 | 292,768 | ||||||
Fosun International Ltd. | 290,000 | 639,643 | ||||||
Fullshare Holdings Ltd.c | 810,000 | 455,446 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 58,000 | 232,732 | ||||||
GCL-Poly Energy Holdings Ltd.a | 1,740,000 | 275,721 | ||||||
Geely Automobile Holdings Ltd. | 580,000 | 1,893,729 | ||||||
GF Securities Co. Ltd. Class H | 174,000 | 335,312 | ||||||
GOME Retail Holdings Ltd.c | 1,595,400 | 187,567 | ||||||
Great Wall Motor Co. Ltd. Class H | 407,000 | 481,620 |
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2018
Security | Shares | Value | ||||||
Guangdong Investment Ltd. | 290,000 | $ | 443,970 | |||||
Guangzhou Automobile Group Co. Ltd. Class H | 290,454 | 645,841 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 116,000 | 273,053 | ||||||
Haier Electronics Group Co. Ltd. | 165,000 | 566,144 | ||||||
Haitong Securities Co. Ltd. Class H | 406,000 | 581,090 | ||||||
Hanergy Thin Film Power Group Ltd.a,d | 7,709 | — | ||||||
Hengan International Group Co. Ltd. | 72,500 | 708,759 | ||||||
Huaneng Power International Inc. Class H | 580,000 | 360,216 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 580,000 | 194,191 | ||||||
Huatai Securities Co. Ltd. Class Hb | 203,000 | 409,357 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 9,135,050 | 7,891,447 | ||||||
JD.com Inc. ADRa | 80,765 | 3,808,070 | ||||||
Jiangxi Copper Co. Ltd. Class H | 145,000 | 229,397 | ||||||
Kingboard Chemical Holdings Ltd. | 72,500 | 368,277 | ||||||
Kingsoft Corp. Ltd. | 145,000 | 478,991 | ||||||
Kunlun Energy Co. Ltd. | 290,000 | 272,756 | ||||||
Lee & Man Paper Manufacturing Ltd. | 145,000 | 165,840 | ||||||
Lenovo Group Ltd. | 870,000 | 454,717 | ||||||
Longfor Properties Co. Ltd. | 145,000 | 418,770 | ||||||
Meitu Inc.a,b | 145,000 | 186,779 | ||||||
Momo Inc. ADRa | 13,340 | 440,887 | ||||||
NetEase Inc. ADR | 9,860 | 2,892,431 | ||||||
New China Life Insurance Co. Ltd. Class H | 101,500 | 607,680 | ||||||
New Oriental Education & Technology Group Inc. ADR | 16,530 | 1,510,677 | ||||||
Nexteer Automotive Group Ltd. | 145,000 | 323,157 | ||||||
Nine Dragons Paper (Holdings) Ltd. | 145,000 | 261,639 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 870,000 | 470,282 | ||||||
PetroChina Co. Ltd. Class H | 2,610,000 | 1,844,440 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 581,548 | 1,153,390 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 652,500 | 6,958,343 | ||||||
Semiconductor Manufacturing International Corp.a,c | 390,700 | 526,239 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 184,000 | 125,797 |
Security | Shares | Value | ||||||
Shanghai Electric Group Co. Ltd. Class Ha | 294,000 | $ | 110,833 | |||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 76,000 | 442,386 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 116,080 | 168,780 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 116,000 | 292,324 | ||||||
Shenzhou International Group Holdings Ltd. | 55,000 | 544,708 | ||||||
Shimao Property Holdings Ltd. | 145,000 | 361,699 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 435,000 | 158,984 | ||||||
SINA Corp./Chinaa | 7,105 | 830,788 | ||||||
Sino Biopharmaceutical Ltd. | 580,000 | 1,098,437 | ||||||
Sino-Ocean Group Holding Ltd. | 362,500 | 258,488 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 291,000 | 174,779 | ||||||
Sinopharm Group Co. Ltd. Class H | 174,000 | 768,239 | ||||||
SOHO China Ltd. | 290,000 | 166,767 | ||||||
Sun Art Retail Group Ltd. | 290,000 | 385,417 | ||||||
Sunac China Holdings Ltd. | 290,000 | 1,063,601 | ||||||
Sunny Optical Technology Group Co. Ltd. | 87,000 | 1,453,094 | ||||||
TAL Education Group Class A ADR | 39,150 | 1,478,304 | ||||||
Tencent Holdings Ltd. | 696,000 | 38,440,852 | ||||||
Tingyi Cayman Islands Holding Corp. | 290,000 | 609,255 | ||||||
TravelSky Technology Ltd. Class H | 145,000 | 463,241 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 40,000 | 219,800 | ||||||
Vipshop Holdings Ltd. ADRa | 50,170 | 872,456 | ||||||
Want Want China Holdings Ltd. | 580,000 | 489,924 | ||||||
Weibo Corp. ADRa | 5,800 | 745,416 | ||||||
Weichai Power Co. Ltd. Class H | 291,100 | 328,103 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 290,000 | 434,335 | ||||||
Yum China Holdings Inc. | 47,850 | 2,072,862 | ||||||
YY Inc. ADRa | 5,365 | 693,855 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 72,500 | 392,828 | ||||||
Zijin Mining Group Co. Ltd. Class H | 611,000 | 281,088 | ||||||
ZTE Corp. Class Ha | 87,048 | 307,020 | ||||||
|
| |||||||
208,567,761 | ||||||||
INDIA — 16.55% |
| |||||||
ACC Ltd. | 5,510 | 137,276 | ||||||
Adani Ports & Special Economic Zone Ltd. | 87,146 | 546,249 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 43 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2018
Security | Shares | Value | ||||||
Ambuja Cements Ltd. | 74,675 | $ | 289,260 | |||||
Ashok Leyland Ltd. | 141,252 | 306,804 | ||||||
Asian Paints Ltd. | 36,685 | 629,425 | ||||||
Aurobindo Pharma Ltd. | 33,207 | 312,923 | ||||||
Axis Bank Ltd. | 217,355 | 1,764,130 | ||||||
Bajaj Auto Ltd. | 10,295 | 477,343 | ||||||
Bajaj Finance Ltd. | 20,300 | 511,113 | ||||||
Bajaj Finserv Ltd. | 4,495 | 348,560 | ||||||
Bharat Forge Ltd. | 24,038 | 291,443 | ||||||
Bharat Heavy Electricals Ltd. | 110,595 | 152,618 | ||||||
Bharat Petroleum Corp. Ltd. | 93,960 | 619,537 | ||||||
Bharti Airtel Ltd. | 165,010 | 1,085,481 | ||||||
Bharti Infratel Ltd. | 47,560 | 253,108 | ||||||
Bosch Ltd. | 870 | 249,561 | ||||||
Britannia Industries Ltd. | 2,320 | 177,856 | ||||||
Cadila Healthcare Ltd. | 23,635 | 146,970 | ||||||
Cipla Ltd./India | 40,745 | 368,790 | ||||||
Coal India Ltd. | 86,710 | 411,480 | ||||||
Container Corp. of India Ltd. | 5,532 | 110,744 | ||||||
Dabur India Ltd. | 69,165 | 345,102 | ||||||
Dr. Reddy’s Laboratories Ltd. | 14,358 | 493,082 | ||||||
Eicher Motors Ltd. | 1,595 | 671,769 | ||||||
GAIL India Ltd. | 60,610 | 425,643 | ||||||
Glenmark Pharmaceuticals Ltd. | 16,240 | 135,748 | ||||||
Godrej Consumer Products Ltd. | 30,740 | 505,104 | ||||||
Grasim Industries Ltd. | 40,600 | 718,378 | ||||||
Havells India Ltd. | 29,290 | 228,241 | ||||||
HCL Technologies Ltd. | 69,310 | 1,000,398 | ||||||
Hero MotoCorp Ltd. | 6,090 | 336,227 | ||||||
Hindalco Industries Ltd. | 147,611 | 556,037 | ||||||
Hindustan Petroleum Corp. Ltd. | 75,027 | 437,807 | ||||||
Hindustan Unilever Ltd. | 81,055 | 1,639,545 | ||||||
Housing Development Finance Corp. Ltd. | 185,890 | 5,160,992 | ||||||
ICICI Bank Ltd. | 297,105 | 1,428,603 | ||||||
Idea Cellular Ltd.a | 171,535 | 220,915 | ||||||
IDFC Bank Ltd. | 190,820 | 150,849 | ||||||
Indiabulls Housing Finance Ltd. | 38,715 | 745,284 | ||||||
Indian Oil Corp. Ltd. | 71,195 | 414,518 | ||||||
Infosys Ltd. | 215,704 | 3,882,564 | ||||||
ITC Ltd. | 422,095 | 1,717,310 | ||||||
JSW Steel Ltd. | 103,385 | 495,451 | ||||||
Larsen & Toubro Ltd. | 58,435 | 1,182,357 | ||||||
LIC Housing Finance Ltd. | 37,120 | 289,342 | ||||||
Lupin Ltd. | 27,405 | 344,927 |
Security | Shares | Value | ||||||
Mahindra & Mahindra Financial Services Ltd. | 35,469 | $ | 235,557 | |||||
Mahindra & Mahindra Ltd. | 91,350 | 1,021,314 | ||||||
Marico Ltd. | 60,900 | 288,065 | ||||||
Maruti Suzuki India Ltd. | 13,050 | 1,773,009 | ||||||
Motherson Sumi Systems Ltd. | 74,157 | 375,644 | ||||||
Nestle India Ltd. | 2,900 | 345,512 | ||||||
NTPC Ltd. | 201,405 | 504,701 | ||||||
Oil & Natural Gas Corp. Ltd. | 155,440 | 449,287 | ||||||
Petronet LNG Ltd. | 56,550 | 214,668 | ||||||
Piramal Enterprises Ltd. | 9,135 | 362,133 | ||||||
Piramal Enterprises Ltd. Newa | 380 | 15,064 | ||||||
Power Finance Corp. Ltd. | 82,940 | 133,807 | ||||||
Reliance Industries Ltd. | 343,505 | 5,033,178 | ||||||
Rural Electrification Corp. Ltd. | 83,810 | 185,641 | ||||||
Shree Cement Ltd. | 1,015 | 258,999 | ||||||
Shriram Transport Finance Co. Ltd. | 18,995 | 388,917 | ||||||
Siemens Ltd. | 9,863 | 176,818 | ||||||
State Bank of India | 212,135 | 872,685 | ||||||
Sun Pharmaceutical Industries Ltd. | 120,350 | 988,996 | ||||||
Tata Consultancy Services Ltd. | 56,840 | 2,648,076 | ||||||
Tata Motors Ltd.a | 198,654 | 1,127,956 | ||||||
Tata Motors Ltd. Class Aa | 51,620 | 163,942 | ||||||
Tata Power Co. Ltd. (The) | 132,965 | 172,466 | ||||||
Tata Steel Ltd. | 38,135 | 393,138 | ||||||
Tech Mahindra Ltd. | 58,580 | 550,900 | ||||||
Titan Co. Ltd. | 38,135 | 477,754 | ||||||
UltraTech Cement Ltd. | 10,730 | 684,454 | ||||||
United Spirits Ltd.a | 6,815 | 344,373 | ||||||
UPL Ltd. | 44,515 | 497,961 | ||||||
Vakrangee Ltd. | 51,414 | 128,404 | ||||||
Vedanta Ltd. | 187,146 | 947,275 | ||||||
Wipro Ltd. | 142,357 | 639,824 | ||||||
Yes Bank Ltd. | 200,970 | 994,265 | ||||||
Zee Entertainment Enterprises Ltd. | 64,815 | 562,475 | ||||||
|
| |||||||
56,674,122 | ||||||||
RUSSIA — 7.18% |
| |||||||
Alrosa PJSC | 333,500 | 511,231 | ||||||
Gazprom PJSC | 1,000,504 | 2,544,201 | ||||||
Gazprom PJSC ADR | 163,850 | 819,905 | ||||||
Inter RAO UES PJSC | 3,625,000 | 239,531 | ||||||
LUKOIL PJSC | 31,030 | 2,081,528 | ||||||
LUKOIL PJSC ADR | 21,895 | 1,469,155 | ||||||
Magnit PJSC GDRe | 43,645 | 903,452 | ||||||
Magnitogorsk Iron & Steel Works PJSC | 304,500 | 257,890 |
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2018
Security | Shares | Value | ||||||
MMC Norilsk Nickel PJSC | 7,830 | $ | 1,552,022 | |||||
Mobile TeleSystems PJSC ADR | 64,960 | 776,922 | ||||||
Moscow Exchange MICEX-RTS PJSC | 208,580 | 414,400 | ||||||
Novatek PJSC GDRe | 11,165 | 1,524,022 | ||||||
Novolipetsk Steel PJSC | 141,770 | 367,913 | ||||||
PhosAgro PJSC GDRe | 14,355 | 221,067 | ||||||
Polyus PJSC | 3,480 | 287,190 | ||||||
Rosneft Oil Co. PJSC | 97,602 | 572,982 | ||||||
Rosneft Oil Co. PJSC GDR | 36,105 | 211,214 | ||||||
RusHydro PJSC | 14,355,200 | 199,273 | ||||||
Sberbank of Russia PJSC | 878,900 | 4,252,629 | ||||||
Sberbank of Russia PJSC ADR | 100,630 | 2,057,883 | ||||||
Severstal PJSC | 27,550 | 449,432 | ||||||
Surgutneftegas OJSC | 696,010 | 355,006 | ||||||
Surgutneftegas OJSC ADR | 18,560 | 92,800 | ||||||
Tatneft PJSC Class S | 191,403 | 2,019,510 | ||||||
VTB Bank PJSC | 434,186,001 | 406,904 | ||||||
|
| |||||||
24,588,062 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $253,657,660) |
| 322,478,562 | ||||||
PREFERRED STOCKS — 5.61% |
| |||||||
BRAZIL — 5.46% |
| |||||||
Banco Bradesco SA, Preference Shares | 377,093 | 4,500,160 | ||||||
Braskem SA Class A, Preference Shares | 14,500 | 207,274 | ||||||
Centrais Eletricas Brasileiras SA Class B, Preference Shares | 29,082 | 249,754 | ||||||
Cia. Brasileira de Distribuicao, Preference Shares | 14,856 | 313,194 | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 87,032 | 219,941 | ||||||
Gerdau SA, Preference Shares | 116,000 | 593,434 | ||||||
Itau Unibanco Holding SA, Preference Shares | 398,071 | 6,173,087 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 478,531 | 1,932,536 | ||||||
Lojas Americanas SA, Preference Shares | 87,104 | 452,579 | ||||||
Petroleo Brasileiro SA, Preference Shares | 478,514 | 3,160,880 | ||||||
Telefonica Brasil SA, Preference Shares | 58,064 | 905,253 | ||||||
|
| |||||||
18,708,092 |
Security | Shares | Value | ||||||
RUSSIA — 0.15% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 971,500 | $ | 509,068 | |||||
|
| |||||||
509,068 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $13,493,498) |
| 19,217,160 | ||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.01% |
| |||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 11,246 | 18,693 | ||||||
|
| |||||||
18,693 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 18,693 | ||||||
SHORT-TERM INVESTMENTS — 8.80% |
| |||||||
MONEY MARKET FUNDS — 8.80% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%f,g,h | 30,149,367 | 30,152,382 | ||||||
|
| |||||||
30,152,382 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $30,151,750) | 30,152,382 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $297,302,908) | 371,866,797 | |||||||
Other Assets, Less Liabilities — (8.61)% |
| (29,486,556 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 342,380,241 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
f | Affiliate of the Fund. |
g | Annualized 7-day yield as of period end. |
h | All or a portion of this security was purchased with cash collateral received from loaned securities. |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 45 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI BRIC ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 25,497,132 | 4,652,235 | b | — | 30,149,367 | $ | 30,152,382 | $ | 64,717 | c | $ | (2,186 | ) | $ | (1,505 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 159,468 | — | (159,468 | )b | — | — | 2,750 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 30,152,382 | $ | 67,467 | $ | (2,186 | ) | $ | (1,505 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 322,463,498 | $ | 15,064 | $ | 0 | a | $ | 322,478,562 | |||||||
Preferred stocks | 19,217,160 | — | — | 19,217,160 | ||||||||||||
Rights | 18,693 | — | — | 18,693 | ||||||||||||
Money market funds | 30,152,382 | — | — | 30,152,382 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 371,851,733 | $ | 15,064 | $ | 0 | a | $ | 371,866,797 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to consolidated financial statements.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.71% |
| |||||||
CHINA — 41.70% |
| |||||||
3SBio Inc.a,b,c | 160,500 | $ | 305,605 | |||||
58.com Inc. ADRa | 14,017 | 1,056,461 | ||||||
AAC Technologies Holdings Inc. | 113,000 | 2,251,249 | ||||||
Agile Group Holdings Ltd. | 240,000 | 414,042 | ||||||
Agricultural Bank of China Ltd. Class H | 4,025,000 | 2,237,454 | ||||||
Air China Ltd. Class H | 280,000 | 427,230 | ||||||
Alibaba Group Holding Ltd. ADRa | 177,303 | 33,003,180 | ||||||
Alibaba Health Information Technology Ltd.a,c | 492,000 | 242,061 | ||||||
Alibaba Pictures Group Ltd.a,c | 1,820,000 | 248,859 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 608,000 | 369,059 | ||||||
Anhui Conch Cement Co. Ltd. Class H | 193,500 | 1,037,318 | ||||||
ANTA Sports Products Ltd. | 167,000 | 828,032 | ||||||
Autohome Inc. ADR | 8,100 | 633,501 | ||||||
AviChina Industry & Technology Co. Ltd. Class Hc | 305,000 | 169,936 | ||||||
Baidu Inc. ADRa | 42,258 | 10,663,384 | ||||||
Bank of China Ltd. Class H | 12,228,000 | 6,672,404 | ||||||
Bank of Communications Co. Ltd. Class H | 1,351,000 | 1,084,211 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 250,000 | 369,315 | ||||||
Beijing Enterprises Holdings Ltd. | 76,000 | 422,961 | ||||||
Beijing Enterprises Water Group Ltd.c | 820,000 | 534,420 | ||||||
Brilliance China Automotive Holdings Ltd. | 462,000 | 1,245,729 | ||||||
BYD Co. Ltd. Class Hc | 100,500 | 930,472 | ||||||
BYD Electronic International Co. Ltd.c | 105,500 | 261,549 | ||||||
CGN Power Co. Ltd. Class Hb | 1,680,000 | 452,992 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 1,340,000 | 503,444 | ||||||
China CITIC Bank Corp. Ltd. Class H | 1,397,000 | 1,019,369 | ||||||
China Communications Construction Co. Ltd. Class H | 692,000 | 774,657 | ||||||
China Communications Services Corp. Ltd. Class H | 360,000 | 214,382 | ||||||
China Conch Venture Holdings Ltd. | 250,500 | 753,872 |
Security | Shares | Value | ||||||
China Construction Bank Corp. Class H | 12,952,000 | $ | 13,489,425 | |||||
China Everbright Bank Co. Ltd. Class H | 425,000 | 218,873 | ||||||
China Everbright International Ltd. | 377,000 | 583,906 | ||||||
China Everbright Ltd. | 116,000 | 255,264 | ||||||
China Evergrande Groupa,c | 507,000 | 1,503,124 | ||||||
China Galaxy Securities Co. Ltd. Class H | 512,500 | 359,555 | ||||||
China Gas Holdings Ltd.c | 268,200 | 836,272 | ||||||
China Huarong Asset Management Co. Ltd. Class Hb | 1,569,000 | 711,787 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,d | 20,200 | — | ||||||
China Jinmao Holdings Group Ltd. | 814,000 | 498,263 | ||||||
China Life Insurance Co. Ltd. Class H | 1,148,000 | 3,410,860 | ||||||
China Longyuan Power Group Corp. Ltd. Class H | 463,000 | 307,669 | ||||||
China Medical System Holdings Ltd. | 202,000 | 405,791 | ||||||
China Mengniu Dairy Co. Ltd. | 422,000 | 1,394,030 | ||||||
China Merchants Bank Co. Ltd. Class H | 606,331 | 2,560,827 | ||||||
China Merchants Port Holdings Co. Ltd. | 190,000 | 444,814 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 864,800 | 903,999 | ||||||
China Mobile Ltd. | 946,000 | 8,873,321 | ||||||
China Molybdenum Co. Ltd. Class H | 579,000 | 473,541 | ||||||
China National Building Material Co. Ltd. Class Hc | 450,000 | 446,820 | ||||||
China Oilfield Services Ltd. Class H | 264,000 | 278,665 | ||||||
China Overseas Land & Investment Ltd. | 598,000 | 2,101,517 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 407,800 | 2,006,351 | ||||||
China Petroleum & Chemical Corp. Class H | 3,906,600 | 3,145,129 | ||||||
China Railway Construction Corp. Ltd. Class H | 305,000 | 327,400 | ||||||
China Railway Group Ltd. Class H | 601,000 | 437,004 | ||||||
China Resources Beer Holdings Co. Ltd. | 248,000 | 957,101 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 47 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
China Resources Gas Group Ltd.c | 136,000 | $ | 458,819 | |||||
China Resources Land Ltd. | 429,777 | 1,535,055 | ||||||
China Resources Pharmaceutical Group Ltd.b,c | 283,000 | 381,900 | ||||||
China Resources Power Holdings Co. Ltd. | 290,000 | 504,747 | ||||||
China Shenhua Energy Co. Ltd. Class H | 528,500 | 1,502,706 | ||||||
China Southern Airlines Co. Ltd. Class H | 280,000 | 375,704 | ||||||
China State Construction International Holdings Ltd. | 310,000 | 422,297 | ||||||
China Taiping Insurance Holdings Co. Ltd. | 249,500 | 962,890 | ||||||
China Telecom Corp. Ltd. Class H | 2,122,000 | 935,542 | ||||||
China Unicom Hong Kong Ltd.a | 942,000 | 1,220,641 | ||||||
China Vanke Co. Ltd. Class H | 183,900 | 826,049 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 395,000 | 321,036 | ||||||
CIFI Holdings Group Co. Ltd. | 512,000 | 418,090 | ||||||
CITIC Ltd. | 913,000 | 1,327,737 | ||||||
CITIC Securities Co. Ltd. Class H | 356,000 | 806,144 | ||||||
CNOOC Ltd. | 2,747,000 | 4,001,866 | ||||||
COSCO SHIPPING Ports Ltd. | 238,000 | 231,452 | ||||||
Country Garden Holdings Co. Ltd. | 821,828 | 1,478,709 | ||||||
CRRC Corp. Ltd. Class H | 653,750 | 599,004 | ||||||
CSPC Pharmaceutical Group Ltd. | 728,000 | 1,682,011 | ||||||
Ctrip.com International Ltd. ADRa | 60,674 | 2,789,791 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 420,000 | 531,890 | ||||||
ENN Energy Holdings Ltd. | 116,000 | 893,870 | ||||||
Far East Horizon Ltd. | 323,000 | 326,083 | ||||||
Fosun International Ltd. | 388,000 | 855,798 | ||||||
Fullshare Holdings Ltd.c | 652,500 | 366,887 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 79,200 | 317,800 | ||||||
GCL-Poly Energy Holdings Ltd.a | 2,345,000 | 371,590 | ||||||
Geely Automobile Holdings Ltd. | 757,000 | 2,471,643 | ||||||
GF Securities Co. Ltd. Class H | 221,200 | 426,271 | ||||||
GOME Retail Holdings Ltd.c | 1,413,000 | 166,123 | ||||||
Great Wall Motor Co. Ltd. Class H | 494,000 | 584,571 | ||||||
Guangdong Investment Ltd. | 454,000 | 695,043 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 320,000 | 711,538 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 153,200 | 360,618 |
Security | Shares | Value | ||||||
Haier Electronics Group Co. Ltd. | 192,000 | $ | 658,786 | |||||
Haitian International Holdings Ltd. | 92,000 | 281,574 | ||||||
Haitong Securities Co. Ltd. Class H | 512,400 | 733,375 | ||||||
Hanergy Thin Film Power Group Ltd.a,d | 2,513 | — | ||||||
Hengan International Group Co. Ltd. | 111,000 | 1,085,134 | ||||||
Huaneng Power International Inc. Class H | 632,000 | 392,511 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 706,000 | 236,377 | ||||||
Huatai Securities Co. Ltd. Class Hb | 243,800 | 491,632 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 11,372,000 | 9,823,869 | ||||||
JD.com Inc. ADRa | 100,863 | 4,755,690 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 190,000 | 295,733 | ||||||
Jiangxi Copper Co. Ltd. Class H | 196,000 | 310,081 | ||||||
Kingboard Chemical Holdings Ltd. | 96,500 | 490,189 | ||||||
Kingsoft Corp. Ltd. | 116,000 | 383,193 | ||||||
Kunlun Energy Co. Ltd. | 482,000 | 453,340 | ||||||
Lee & Man Paper Manufacturing Ltd. | 239,000 | 273,351 | ||||||
Lenovo Group Ltd. | 1,094,000 | 571,794 | ||||||
Longfor Properties Co. Ltd. | 228,500 | 659,924 | ||||||
Meitu Inc.a,b,c | 193,000 | 248,609 | ||||||
Momo Inc. ADRa | 16,564 | 547,440 | ||||||
NetEase Inc. ADR | 12,249 | 3,593,244 | ||||||
New China Life Insurance Co. Ltd. Class H | 126,400 | 756,756 | ||||||
New Oriental Education & Technology Group Inc. ADR | 20,708 | 1,892,504 | ||||||
Nexteer Automotive Group Ltd. | 131,000 | 291,956 | ||||||
Nine Dragons Paper Holdings Ltd. | 245,000 | 442,079 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 1,062,000 | 574,069 | ||||||
PetroChina Co. Ltd. Class H | 3,270,000 | 2,310,851 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 717,160 | 1,422,351 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 803,000 | 8,563,295 | ||||||
Semiconductor Manufacturing International Corp.a,c | 475,300 | 640,188 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 268,000 | 183,226 |
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
Shanghai Electric Group Co. Ltd. Class Ha | 440,000 | $ | 165,872 | |||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 70,500 | 410,371 | ||||||
Shanghai Industrial Holdings Ltd. | 64,000 | 179,520 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 150,380 | 218,653 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 119,600 | 301,396 | ||||||
Shenzhou International Group Holdings Ltd. | 117,000 | 1,158,742 | ||||||
Shimao Property Holdings Ltd. | 181,500 | 452,747 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 613,000 | 224,040 | ||||||
SINA Corp./Chinaa | 8,768 | 1,025,242 | ||||||
Sino Biopharmaceutical Ltd. | 684,000 | 1,295,398 | ||||||
Sino-Ocean Group Holding Ltd. | 457,000 | 325,874 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 511,000 | 306,915 | ||||||
Sinopharm Group Co. Ltd. Class H | 182,000 | 803,560 | ||||||
SOHO China Ltd. | 320,000 | 184,019 | ||||||
Sun Art Retail Group Ltd. | 379,000 | 503,700 | ||||||
Sunac China Holdings Ltd.c | 371,000 | 1,360,676 | ||||||
Sunny Optical Technology Group Co. Ltd. | 111,200 | 1,857,289 | ||||||
TAL Education Group Class A ADR | 49,002 | 1,850,316 | ||||||
Tencent Holdings Ltd. | 877,100 | 48,443,206 | ||||||
Tingyi Cayman Islands Holding Corp. | 300,000 | 630,263 | ||||||
TravelSky Technology Ltd. Class H | 144,000 | 460,046 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 54,000 | 296,730 | ||||||
Vipshop Holdings Ltd. ADRa | 62,680 | 1,090,005 | ||||||
Want Want China Holdings Ltd.c | 788,000 | 665,620 | ||||||
Weibo Corp. ADRa | 7,188 | 923,802 | ||||||
Weichai Power Co. Ltd. Class H | 286,200 | 322,580 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 282,000 | 422,353 | ||||||
Yum China Holdings Inc. | 59,391 | 2,572,818 | ||||||
YY Inc. ADRa | 6,637 | 858,363 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 206,000 | 225,078 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 85,400 | 462,725 | ||||||
Zijin Mining Group Co. Ltd. Class H | 884,000 | 406,681 | ||||||
ZTE Corp. Class Ha | 111,960 | 394,885 | ||||||
|
| |||||||
262,082,977 | ||||||||
INDIA — 11.32% |
| |||||||
ACC Ltd. | 6,744 | 168,020 |
Security | Shares | Value | ||||||
Adani Ports & Special Economic Zone Ltd. | 112,676 | $ | 706,276 | |||||
Ambuja Cements Ltd. | 89,757 | 347,682 | ||||||
Ashok Leyland Ltd. | 172,869 | 375,478 | ||||||
Asian Paints Ltd. | 44,334 | 760,663 | ||||||
Aurobindo Pharma Ltd. | 38,941 | 366,957 | ||||||
Axis Bank Ltd. | 276,599 | 2,244,975 | ||||||
Bajaj Auto Ltd. | 13,398 | 621,218 | ||||||
Bajaj Finance Ltd. | 26,031 | 655,408 | ||||||
Bajaj Finserv Ltd. | 5,853 | 453,865 | ||||||
Bharat Forge Ltd. | 30,523 | 370,069 | ||||||
Bharat Heavy Electricals Ltd. | 130,466 | 180,039 | ||||||
Bharat Petroleum Corp. Ltd. | 117,111 | 772,186 | ||||||
Bharti Airtel Ltd. | 212,829 | 1,400,048 | ||||||
Bharti Infratel Ltd. | 51,271 | 272,858 | ||||||
Bosch Ltd. | 1,119 | 320,987 | ||||||
Britannia Industries Ltd. | 4,597 | 352,416 | ||||||
Cadila Healthcare Ltd. | 30,573 | 190,113 | ||||||
Cipla Ltd./India | 53,475 | 484,011 | ||||||
Coal India Ltd. | 107,061 | 508,055 | ||||||
Container Corp. of India Ltd. | 6,567 | 131,463 | ||||||
Dabur India Ltd. | 85,009 | 424,156 | ||||||
Dr. Reddy’s Laboratories Ltd. | 17,837 | 612,558 | ||||||
Eicher Motors Ltd. | 2,072 | 872,667 | ||||||
GAIL India Ltd. | 78,031 | 547,985 | ||||||
Glenmark Pharmaceuticals Ltd. | 20,525 | 171,566 | ||||||
Godrej Consumer Products Ltd. | 37,415 | 614,784 | ||||||
Grasim Industries Ltd. | 50,541 | 894,274 | ||||||
Havells India Ltd. | 38,685 | 301,452 | ||||||
HCL Technologies Ltd. | 86,956 | 1,255,095 | ||||||
Hero MotoCorp Ltd. | 7,853 | 433,561 | ||||||
Hindalco Industries Ltd. | 174,904 | 658,847 | ||||||
Hindustan Petroleum Corp. Ltd. | 91,635 | 534,721 | ||||||
Hindustan Unilever Ltd. | 100,507 | 2,033,012 | ||||||
Housing Development Finance Corp. Ltd. | 234,048 | 6,498,035 | ||||||
ICICI Bank Ltd. | 365,777 | 1,758,806 | ||||||
Idea Cellular Ltd.a | 218,552 | 281,467 | ||||||
IDFC Bank Ltd. | 169,543 | 134,029 | ||||||
Indiabulls Housing Finance Ltd. | 49,023 | 943,719 | ||||||
Indian Oil Corp. Ltd. | 88,568 | 515,668 | ||||||
Infosys Ltd. | 268,656 | 4,835,674 | ||||||
ITC Ltd. | 524,842 | 2,135,340 | ||||||
JSW Steel Ltd. | 132,582 | 635,372 | ||||||
Larsen & Toubro Ltd. | 74,651 | 1,510,466 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 49 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
LIC Housing Finance Ltd. | 42,147 | $ | 328,526 | |||||
Lupin Ltd. | 34,071 | 428,828 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 41,794 | 277,563 | ||||||
Mahindra & Mahindra Ltd. | 114,189 | 1,276,659 | ||||||
Marico Ltd. | 74,842 | 354,012 | ||||||
Maruti Suzuki India Ltd. | 16,397 | 2,227,742 | ||||||
Motherson Sumi Systems Ltd. | 95,884 | 485,703 | ||||||
Nestle India Ltd. | 3,650 | 434,868 | ||||||
NTPC Ltd. | 255,736 | 640,849 | ||||||
Oil & Natural Gas Corp. Ltd. | 203,333 | 587,718 | ||||||
Petronet LNG Ltd. | 83,617 | 317,416 | ||||||
Piramal Enterprises Ltd. | 11,707 | 464,093 | ||||||
Piramal Enterprises Ltd. Newa | 569 | 22,556 | ||||||
Power Finance Corp. Ltd. | 91,930 | 148,310 | ||||||
Reliance Industries Ltd. | 436,464 | 6,395,252 | ||||||
Rural Electrification Corp. Ltd. | 99,533 | 220,467 | ||||||
Shree Cement Ltd. | 1,349 | 344,226 | ||||||
Shriram Transport Finance Co. Ltd. | 22,233 | 455,214 | ||||||
Siemens Ltd. | 11,032 | 197,775 | ||||||
State Bank of India | 265,981 | 1,094,198 | ||||||
Sun Pharmaceutical Industries Ltd. | 148,297 | 1,218,655 | ||||||
Tata Consultancy Services Ltd. | 70,796 | 3,298,262 | ||||||
Tata Motors Ltd.a | 246,509 | 1,399,677 | ||||||
Tata Motors Ltd. Class Aa | 55,687 | 176,858 | ||||||
Tata Power Co. Ltd. (The) | 163,707 | 212,341 | ||||||
Tata Steel Ltd. | 52,423 | 540,435 | ||||||
Tech Mahindra Ltd. | 73,003 | 686,537 | ||||||
Titan Co. Ltd. | 48,319 | 605,339 | ||||||
UltraTech Cement Ltd. | 13,711 | 874,608 | ||||||
United Spirits Ltd.a | 8,817 | 445,538 | ||||||
UPL Ltd. | 55,405 | 619,781 | ||||||
Vakrangee Ltd. | 64,647 | 161,453 | ||||||
Vedanta Ltd. | 227,961 | 1,153,867 | ||||||
Wipro Ltd. | 176,656 | 793,981 | ||||||
Yes Bank Ltd. | 258,867 | 1,280,700 | ||||||
Zee Entertainment Enterprises Ltd. | 82,733 | 717,971 | ||||||
|
| |||||||
71,174,019 | ||||||||
INDONESIA — 2.99% |
| |||||||
Adaro Energy Tbk PT | 2,194,800 | 375,152 | ||||||
AKR Corporindo Tbk PT | 238,600 | 105,863 | ||||||
Astra International Tbk PT | 3,126,200 | 1,836,132 | ||||||
Bank Central Asia Tbk PT | 1,519,400 | 2,561,159 | ||||||
Bank Danamon Indonesia Tbk PT | 497,700 | 238,922 | ||||||
Bank Mandiri Persero Tbk PT | 2,880,400 | 1,738,904 |
Security | Shares | Value | ||||||
Bank Negara Indonesia Persero Tbk PT | 1,153,000 | $ | 815,574 | |||||
Bank Rakyat Indonesia Persero Tbk PT | 8,579,800 | 2,358,922 | ||||||
Bank Tabungan Negara Persero Tbk PT | 613,600 | 166,917 | ||||||
Bumi Serpong Damai Tbk PT | 1,240,800 | 174,633 | ||||||
Charoen Pokphand Indonesia Tbk PT | 1,155,500 | 289,117 | ||||||
Gudang Garam Tbk PT | 74,000 | 429,247 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 1,486,600 | 521,178 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 283,600 | 453,294 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 337,500 | 220,320 | ||||||
Indofood Sukses Makmur Tbk PT | 685,000 | 377,414 | ||||||
Jasa Marga Persero Tbk PT | 299,498 | 116,545 | ||||||
Kalbe Farma Tbk PT | 3,316,400 | 385,950 | ||||||
Matahari Department Store Tbk PT | 382,500 | 296,296 | ||||||
Pakuwon Jati Tbk PT | 3,336,700 | 163,820 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 1,640,800 | 318,648 | ||||||
Semen Indonesia Persero Tbk PT | 467,800 | 378,534 | ||||||
Surya Citra Media Tbk PT | 893,700 | 185,260 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 7,790,600 | 2,266,604 | ||||||
Tower Bersama Infrastructure Tbk PT | 309,000 | 126,423 | ||||||
Unilever Indonesia Tbk PT | 236,900 | 928,749 | ||||||
United Tractors Tbk PT | 261,700 | 677,639 | ||||||
Waskita Karya Persero Tbk PT | 752,100 | 159,189 | ||||||
XL Axiata Tbk PTa | 515,600 | 110,632 | ||||||
|
| |||||||
18,777,037 | ||||||||
MALAYSIA — 3.34% |
| |||||||
AirAsia Bhd | 220,400 | 246,452 | ||||||
Alliance Bank Malaysia Bhd | 151,700 | 159,562 | ||||||
AMMB Holdings Bhd | 248,100 | 262,225 | ||||||
Astro Malaysia Holdings Bhd | 235,500 | 145,497 | ||||||
Axiata Group Bhdc | 424,900 | 585,770 | ||||||
British American Tobacco Malaysia Bhdc | 22,500 | 163,135 | ||||||
CIMB Group Holdings Bhd | 695,500 | 1,276,652 | ||||||
Dialog Group Bhd | 466,778 | 315,793 | ||||||
DiGi.Com Bhdc | 510,900 | 631,288 | ||||||
Felda Global Ventures Holdings Bhd | 198,300 | 98,213 |
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
Gamuda Bhdc | 265,800 | $ | 336,576 | |||||
Genting Bhd | 354,800 | 801,629 | ||||||
Genting Malaysia Bhdc | 451,300 | 607,187 | ||||||
Genting Plantations Bhd | 34,900 | 89,990 | ||||||
HAP Seng Consolidated Bhdc | 100,600 | 245,272 | ||||||
Hartalega Holdings Bhd | 101,900 | 303,853 | ||||||
Hong Leong Bank Bhd | 103,800 | 530,527 | ||||||
Hong Leong Financial Group Bhd | 34,300 | 167,253 | ||||||
IHH Healthcare Bhdc | 335,800 | 506,658 | ||||||
IJM Corp. Bhd | 448,500 | 311,442 | ||||||
IOI Corp. Bhd | 342,800 | 410,450 | ||||||
IOI Properties Group Bhdc | 275,943 | 130,328 | ||||||
Kuala Lumpur Kepong Bhd | 72,100 | 460,910 | ||||||
Malayan Banking Bhd | 666,400 | 1,779,562 | ||||||
Malaysia Airports Holdings Bhd | 124,600 | 276,748 | ||||||
Maxis Bhdc | 318,500 | 480,555 | ||||||
MISC Bhdc | 201,500 | 352,895 | ||||||
Nestle Malaysia Bhd | 9,400 | 307,414 | ||||||
Petronas Chemicals Group Bhd | 390,100 | 805,695 | ||||||
Petronas Dagangan Bhd | 41,000 | 270,054 | ||||||
Petronas Gas Bhd | 110,200 | 495,717 | ||||||
PPB Group Bhdc | 53,600 | 242,206 | ||||||
Press Metal Aluminium Holdings Bhd | 203,300 | 301,031 | ||||||
Public Bank Bhd | 450,810 | 2,647,085 | ||||||
RHB Bank Bhd | 124,962 | 171,635 | ||||||
RHB Bank Bhd Newa,d | 28,800 | — | ||||||
Sapura Energy Bhdc | 622,800 | 106,529 | ||||||
Sime Darby Bhd | 360,200 | 253,804 | ||||||
Sime Darby Plantation Bhda | 339,700 | 463,976 | ||||||
Sime Darby Property Bhda | 320,700 | 115,442 | ||||||
SP Setia Bhd Group | 135,900 | 114,493 | ||||||
Telekom Malaysia Bhdc | 176,300 | 265,553 | ||||||
Tenaga Nasional Bhdc | 528,400 | 2,117,917 | ||||||
UMW Holdings Bhda,c | 71,000 | 117,820 | ||||||
Westports Holdings Bhdc | 162,200 | 152,386 | ||||||
YTL Corp. Bhdc | 703,008 | 256,651 | ||||||
YTL Power International Bhd | 344,281 | 99,320 | ||||||
|
| |||||||
20,981,150 | ||||||||
PAKISTAN — 0.11% |
| |||||||
Habib Bank Ltd. | 77,300 | 145,691 | ||||||
Lucky Cement Ltd. | 19,900 | 108,145 | ||||||
MCB Bank Ltd. | 66,300 | 130,981 | ||||||
Oil & Gas Development Co. Ltd. | 105,200 | 155,328 | ||||||
United Bank Ltd./Pakistan | 70,600 | 120,489 | ||||||
|
| |||||||
660,634 |
Security | Shares | Value | ||||||
PHILIPPINES — 1.41% |
| |||||||
Aboitiz Equity Ventures Inc. | 288,250 | $ | 428,390 | |||||
Aboitiz Power Corp. | 225,000 | 166,331 | ||||||
Alliance Global Group Inc.a | 588,400 | 167,888 | ||||||
Ayala Corp. | 38,610 | 783,617 | ||||||
Ayala Land Inc. | 1,152,100 | 909,203 | ||||||
Bank of the Philippine Islands | 116,920 | 269,176 | ||||||
BDO Unibank Inc. | 300,789 | 899,826 | ||||||
DMCI Holdings Inc. | 591,500 | 158,097 | ||||||
Globe Telecom Inc. | 5,145 | 170,117 | ||||||
GT Capital Holdings Inc. | 12,885 | 334,001 | ||||||
International Container Terminal Services Inc. | 76,680 | 161,958 | ||||||
JG Summit Holdings Inc. | 426,646 | 589,833 | ||||||
Jollibee Foods Corp. | 66,860 | 383,084 | ||||||
Manila Electric Co. | 34,650 | 223,948 | ||||||
Megaworld Corp. | 1,716,500 | 159,851 | ||||||
Metro Pacific Investments Corp. | 2,188,100 | 236,540 | ||||||
Metropolitan Bank & Trust Co. | 93,646 | 175,946 | ||||||
PLDT Inc. | 13,385 | 390,653 | ||||||
Robinsons Land Corp. | 354,190 | 131,937 | ||||||
Security Bank Corp. | 34,370 | �� | 162,479 | |||||
SM Investments Corp. | 37,279 | 672,854 | ||||||
SM Prime Holdings Inc. | 1,352,250 | 916,560 | ||||||
Universal Robina Corp. | 136,600 | 390,810 | ||||||
|
| |||||||
8,883,099 | ||||||||
SOUTH KOREA — 18.85% |
| |||||||
Amorepacific Corp. | 4,971 | 1,292,212 | ||||||
AMOREPACIFIC Group | 4,397 | 511,610 | ||||||
BGF retail Co. Ltd. | 1,288 | 206,955 | ||||||
BNK Financial Group Inc. | 40,311 | 416,920 | ||||||
Celltrion Healthcare Co. Ltd.a,c | 5,464 | 603,467 | ||||||
Celltrion Inc.a | 12,564 | 4,095,569 | ||||||
Cheil Worldwide Inc. | 10,377 | 178,236 | ||||||
CJ CheilJedang Corp. | 1,270 | 396,399 | ||||||
CJ Corp. | 2,199 | 338,105 | ||||||
CJ E&M Corp. | 2,809 | 224,637 | ||||||
CJ Logistics Corp.a | 1,329 | 162,612 | ||||||
Coway Co. Ltd. | 8,233 | 658,397 | ||||||
Daelim Industrial Co. Ltd.c | 4,279 | 293,196 | ||||||
Daewoo Engineering & Construction Co. Ltd.a | 20,713 | 99,845 | ||||||
DB Insurance Co. Ltd. | 7,614 | 488,663 | ||||||
DGB Financial Group Inc. | 25,351 | 290,288 | ||||||
Dongsuh Cos. Inc. | 5,696 | 146,490 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 51 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
Doosan Bobcat Inc. | 5,893 | $ | 185,024 | |||||
Doosan Heavy Industries & Construction Co. Ltd.a | 6,075 | 83,869 | ||||||
E-MART Inc. | 3,234 | 907,873 | ||||||
GS Engineering & Construction Corp.c | 7,449 | 200,860 | ||||||
GS Holdings Corp. | 7,871 | 480,444 | ||||||
GS Retail Co. Ltd. | 4,221 | 140,323 | ||||||
Hana Financial Group Inc. | 45,440 | 2,062,403 | ||||||
Hankook Tire Co. Ltd. | 11,553 | 629,446 | ||||||
Hanmi Pharm Co. Ltd. | 965 | 412,591 | ||||||
Hanmi Science Co. Ltd. | 1,893 | 146,839 | ||||||
Hanon Systems | 29,398 | 339,343 | ||||||
Hanssem Co. Ltd. | 1,582 | 218,403 | ||||||
Hanwha Chemical Corp. | 16,318 | 500,284 | ||||||
Hanwha Corp. | 6,728 | 274,302 | ||||||
Hanwha Life Insurance Co. Ltd. | 38,928 | 241,211 | ||||||
Hanwha Techwin Co. Ltd.a | 5,649 | 152,062 | ||||||
Hotel Shilla Co. Ltd. | 4,703 | 355,255 | ||||||
Hyosung Corp. | 3,149 | 363,492 | ||||||
Hyundai Department Store Co. Ltd. | 2,182 | 184,167 | ||||||
Hyundai Development Co. Engineering & Construction | 9,018 | 314,785 | ||||||
Hyundai Engineering & Construction Co. Ltd.a,c | 12,243 | 435,271 | ||||||
Hyundai Glovis Co. Ltd. | 3,011 | 396,221 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 4,714 | 570,259 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 9,361 | 357,013 | ||||||
Hyundai Mobis Co. Ltd. | 10,570 | 2,225,469 | ||||||
Hyundai Motor Co. | 23,637 | 3,525,141 | ||||||
Hyundai Robotics Co. Ltd.a | 1,503 | 614,163 | ||||||
Hyundai Steel Co. | 12,226 | 605,147 | ||||||
Hyundai Wia Corp. | 2,189 | 117,445 | ||||||
Industrial Bank of Korea | 38,732 | 615,191 | ||||||
ING Life Insurance Korea Ltd.b | 4,895 | 238,670 | ||||||
Kakao Corp. | 7,095 | 838,637 | ||||||
Kangwon Land Inc.a | 18,650 | 496,863 | ||||||
KB Financial Group Inc. | 61,180 | 3,615,772 | ||||||
KCC Corp. | 877 | 293,575 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 3,611 | 134,550 | ||||||
Kia Motors Corp. | 39,482 | 1,252,384 | ||||||
Korea Aerospace Industries Ltd. Class Aa | 10,430 | 484,467 | ||||||
Korea Electric Power Corp.a | 38,488 | 1,176,427 |
Security | Shares | Value | ||||||
Korea Gas Corp.a | 4,350 | $ | 184,380 | |||||
Korea Investment Holdings Co. Ltd.a | 6,091 | 441,540 | ||||||
Korea Zinc Co. Ltd.a | 1,373 | 649,161 | ||||||
Korean Air Lines Co. Ltd. | 7,654 | 230,772 | ||||||
KT Corp. | 1,558 | 40,141 | ||||||
KT&G Corp. | 17,819 | 1,642,198 | ||||||
Kumho Petrochemical Co. Ltd. | 2,960 | 247,646 | ||||||
LG Chem Ltd. | 7,140 | 2,525,275 | ||||||
LG Corp. | 14,856 | 1,182,553 | ||||||
LG Display Co. Ltd. | 36,087 | 994,734 | ||||||
LG Electronics Inc.c | 16,321 | 1,505,650 | ||||||
LG Household & Health Care Ltd. | 1,435 | 1,457,660 | ||||||
LG Innotek Co. Ltd. | 2,103 | 256,345 | ||||||
Lotte Chemical Corp. | 2,418 | 1,024,898 | ||||||
Lotte Corp.a | 4,344 | 251,518 | ||||||
Lotte Shopping Co. Ltd. | 1,719 | 327,799 | ||||||
Medy-Tox Inc. | 669 | 373,142 | ||||||
Mirae Asset Daewoo Co. Ltd. | 57,058 | 488,963 | ||||||
NAVER Corp. | 4,327 | 3,208,589 | ||||||
NCSoft Corp. | 2,715 | 940,184 | ||||||
Netmarble Games Corp.b | 3,804 | 518,136 | ||||||
NH Investment & Securities Co. Ltd.a | 21,593 | 285,142 | ||||||
OCI Co. Ltd. | 2,510 | 381,286 | ||||||
Orion Corp./Republic of Korea | 3,337 | 332,806 | ||||||
Ottogi Corp. | 161 | 105,113 | ||||||
Pan Ocean Co. Ltd.a | 32,571 | 178,360 | ||||||
POSCO | 11,394 | 3,803,612 | ||||||
Posco Daewoo Corp. | 5,604 | 104,535 | ||||||
S-1 Corp. | 2,746 | 243,435 | ||||||
S-Oil Corp. | 7,006 | 799,004 | ||||||
Samsung Biologics Co. Ltd.a,b | 2,540 | 1,055,499 | ||||||
Samsung C&T Corp. | 11,839 | 1,404,849 | ||||||
Samsung Card Co. Ltd. | 4,524 | 151,649 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 8,629 | 737,875 | ||||||
Samsung Electronics Co. Ltd. | 14,889 | 32,351,849 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 4,666 | 1,245,243 | ||||||
Samsung Heavy Industries Co. Ltd.a,c | 39,355 | 310,726 | ||||||
Samsung Life Insurance Co. Ltd. | 10,974 | 1,231,269 | ||||||
Samsung SDI Co. Ltd. | 8,465 | 1,336,702 | ||||||
Samsung SDS Co. Ltd. | 5,385 | 1,183,516 | ||||||
Samsung Securities Co. Ltd. | 10,235 | 374,278 | ||||||
Shinhan Financial Group Co. Ltd. | 65,933 | 2,885,977 | ||||||
Shinsegae Inc. | 1,162 | 368,054 | ||||||
SillaJen Inc.a | 8,184 | 773,886 |
52 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
SK Holdings Co. Ltd. | 4,934 | $ | 1,296,263 | |||||
SK Hynix Inc. | 90,313 | 6,405,059 | ||||||
SK Innovation Co. Ltd. | 10,023 | 1,902,047 | ||||||
SK Networks Co. Ltd. | 18,349 | 101,327 | ||||||
SK Telecom Co. Ltd. | 3,189 | 706,769 | ||||||
Woori Bank | 69,239 | 1,061,379 | ||||||
Yuhan Corp. | 1,316 | 252,773 | ||||||
|
| |||||||
118,450,808 | ||||||||
TAIWAN — 15.64% |
| |||||||
Acer Inc. | 444,062 | 374,165 | ||||||
Advanced Semiconductor Engineering Inc. | 1,212,969 | 1,651,471 | ||||||
Advantech Co. Ltd. | 61,282 | 456,537 | ||||||
Airtac International Group | 18,000 | 329,845 | ||||||
Asia Cement Corp. | 365,229 | 355,277 | ||||||
Asia Pacific Telecom Co. Ltd.a | 128,000 | 41,519 | ||||||
Asustek Computer Inc. | 111,000 | 1,053,142 | ||||||
AU Optronics Corp. | 1,350,000 | 605,744 | ||||||
Catcher Technology Co. Ltd. | 101,000 | 1,224,641 | ||||||
Cathay Financial Holding Co. Ltd. | 1,254,944 | 2,342,637 | ||||||
Chailease Holding Co. Ltd. | 182,496 | 613,831 | ||||||
Chang Hwa Commercial Bank Ltd. | 717,294 | 412,753 | ||||||
Cheng Shin Rubber Industry Co. Ltd. | 320,776 | 551,556 | ||||||
Chicony Electronics Co. Ltd. | 80,173 | 197,443 | ||||||
China Airlines Ltd.a | 412,000 | 162,285 | ||||||
China Development Financial Holding Corp. | 1,906,200 | 685,554 | ||||||
China Life Insurance Co. Ltd./Taiwan | 381,640 | 384,313 | ||||||
China Steel Corp. | 1,939,867 | 1,601,301 | ||||||
Chunghwa Telecom Co. Ltd. | 603,000 | 2,261,599 | ||||||
Compal Electronics Inc. | 669,000 | 460,581 | ||||||
CTBC Financial Holding Co. Ltd. | 2,668,265 | 1,951,241 | ||||||
Delta Electronics Inc. | 310,000 | 1,475,912 | ||||||
E.Sun Financial Holding Co. Ltd. | 1,384,766 | 917,786 | ||||||
Eclat Textile Co. Ltd. | 27,604 | 294,992 | ||||||
Eva Airways Corp. | 332,628 | 170,897 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 289,437 | 153,168 | ||||||
Far Eastern New Century Corp. | 502,460 | 446,604 | ||||||
Far EasTone Telecommunications Co. Ltd. | 254,000 | 643,798 | ||||||
Feng TAY Enterprise Co. Ltd. | 55,064 | 262,160 | ||||||
First Financial Holding Co. Ltd. | 1,410,817 | 966,462 |
Security | Shares | Value | ||||||
Formosa Chemicals & Fibre Corp. | 462,950 | $ | 1,720,473 | |||||
Formosa Petrochemical Corp. | 213,000 | 853,590 | ||||||
Formosa Plastics Corp. | 641,400 | 2,273,806 | ||||||
Formosa Taffeta Co. Ltd. | 138,000 | 150,784 | ||||||
Foxconn Technology Co. Ltd. | 136,521 | 371,282 | ||||||
Fubon Financial Holding Co. Ltd. | 1,012,396 | 1,810,110 | ||||||
General Interface Solution Holding Ltd. | 25,000 | 152,849 | ||||||
Giant Manufacturing Co. Ltd. | 45,000 | 235,824 | ||||||
Globalwafers Co. Ltd. | 38,000 | 554,469 | ||||||
Highwealth Construction Corp. | 123,840 | 187,273 | ||||||
Hiwin Technologies Corp. | 31,540 | 405,114 | ||||||
Hon Hai Precision Industry Co. Ltd. | 2,407,314 | 7,264,283 | ||||||
Hotai Motor Co. Ltd. | 41,000 | 457,108 | ||||||
HTC Corp.a | 94,000 | 196,400 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 1,098,011 | 646,873 | ||||||
Innolux Corp. | 1,397,620 | 622,324 | ||||||
Inventec Corp. | 392,980 | 314,298 | ||||||
Largan Precision Co. Ltd. | 16,000 | 2,024,970 | ||||||
Lite-On Technology Corp. | 322,032 | 463,268 | ||||||
Macronix Internationala | 296,000 | 440,520 | ||||||
MediaTek Inc. | 246,176 | 2,538,027 | ||||||
Mega Financial Holding Co. Ltd. | 1,658,542 | 1,417,363 | ||||||
Micro-Star International Co. Ltd. | 103,000 | 301,639 | ||||||
Nan Ya Plastics Corp. | 726,090 | 2,004,516 | ||||||
Nanya Technology Corp. | 189,000 | 523,067 | ||||||
Nien Made Enterprise Co. Ltd. | 25,000 | 246,613 | ||||||
Novatek Microelectronics Corp. | 132,000 | 571,937 | ||||||
Pegatron Corp. | 302,000 | 775,804 | ||||||
Phison Electronics Corp. | 34,000 | 333,065 | ||||||
Pou Chen Corp. | 343,000 | 431,753 | ||||||
Powertech Technology Inc. | 169,000 | 524,444 | ||||||
President Chain Store Corp. | 91,000 | 917,933 | ||||||
Quanta Computer Inc. | 415,000 | 847,185 | ||||||
Realtek Semiconductor Corp. | 119,140 | 473,369 | ||||||
Ruentex Development Co. Ltd.a | 134,065 | 147,632 | ||||||
Ruentex Industries Ltd. | 80,855 | 142,072 | ||||||
Shin Kong Financial Holding Co. Ltd. | 1,287,138 | 531,247 | ||||||
Siliconware Precision Industries Co. Ltd. | 411,438 | 717,309 | ||||||
SinoPac Financial Holdings Co. Ltd. | 1,587,529 | 549,196 | ||||||
Standard Foods Corp. | 90,987 | 213,790 | ||||||
Synnex Technology International Corp. | 219,050 | 290,361 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 53 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
TaiMed Biologics Inc.a | 22,000 | $ | 152,215 | |||||
Taishin Financial Holding Co. Ltd. | 1,465,305 | 712,690 | ||||||
Taiwan Business Bank | 274,768 | 81,314 | ||||||
Taiwan Cement Corp. | 551,000 | 698,293 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 1,335,948 | 777,898 | ||||||
Taiwan High Speed Rail Corp. | 291,000 | 225,759 | ||||||
Taiwan Mobile Co. Ltd. | 258,000 | 949,975 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 3,519,000 | 29,650,939 | ||||||
Teco Electric and Machinery Co. Ltd. | 274,000 | 248,703 | ||||||
Uni-President Enterprises Corp. | 747,650 | 1,766,980 | ||||||
United Microelectronics Corp. | 2,193,000 | 1,062,868 | ||||||
Vanguard International Semiconductor Corp. | 182,000 | 380,264 | ||||||
Win Semiconductors Corp. | 59,000 | 542,601 | ||||||
Winbond Electronics Corp. | 533,000 | 363,299 | ||||||
Wistron Corp. | 418,119 | 350,873 | ||||||
WPG Holdings Ltd. | 257,000 | 330,102 | ||||||
Yageo Corp. | 33,000 | 373,568 | ||||||
Yuanta Financial Holding Co. Ltd. | 1,584,893 | 713,855 | ||||||
Zhen Ding Technology Holding Ltd. | 110,455 | 241,752 | ||||||
|
| |||||||
98,317,102 | ||||||||
THAILAND — 3.35% |
| |||||||
Advanced Info Service PCL NVDR | 159,700 | 1,007,346 | ||||||
Airports of Thailand PCL NVDR | 668,500 | 1,506,734 | ||||||
Bangkok Bank PCL Foreign | 41,100 | 301,147 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 569,400 | 400,884 | ||||||
Bangkok Expressway & Metro PCL NVDR | 1,153,800 | 268,325 | ||||||
Banpu PCL NVDR | 334,600 | 250,497 | ||||||
Berli Jucker PCL NVDRc | 185,600 | 351,806 | ||||||
BTS Group Holdings PCL NVDR | 654,700 | 169,984 | ||||||
Bumrungrad Hospital PCL NVDR | 58,700 | 385,225 | ||||||
Central Pattana PCL NVDR | 217,800 | 584,570 | ||||||
Charoen Pokphand Foods PCL NVDRc | 454,800 | 331,791 | ||||||
CP ALL PCL NVDR | 756,900 | 2,025,473 | ||||||
Delta Electronics Thailand PCL NVDR | 77,800 | 168,538 | ||||||
Electricity Generating PCL NVDR | 21,000 | 159,223 | ||||||
Energy Absolute PCL NVDRc | 168,900 | 361,852 | ||||||
Glow Energy PCL NVDR | 77,600 | 209,512 |
Security | Shares | Value | ||||||
Home Product Center PCL NVDR | 631,045 | $ | 289,489 | |||||
Indorama Ventures PCL NVDR | 221,400 | 380,873 | ||||||
IRPC PCL NVDR | 1,501,700 | 389,897 | ||||||
Kasikornbank PCL Foreign | 182,800 | 1,351,054 | ||||||
Kasikornbank PCL NVDR | 89,300 | 660,006 | ||||||
KCE Electronics PCL NVDRc | 67,100 | 149,634 | ||||||
Krung Thai Bank PCL NVDR | 564,850 | 365,290 | ||||||
Minor International PCL NVDR | 334,680 | 431,811 | ||||||
PTT Exploration & Production PCL NVDR | 217,810 | 801,435 | ||||||
PTT Global Chemical PCL NVDR | 351,000 | 1,109,804 | ||||||
PTT PCL NVDR | 163,200 | 2,953,093 | ||||||
Robinson PCL NVDR | 73,900 | 158,323 | ||||||
Siam Cement PCL (The) Foreign | 45,700 | 713,380 | ||||||
Siam Cement PCL (The) NVDR | 17,300 | 270,054 | ||||||
Siam Commercial Bank PCL (The) NVDR | 285,200 | 1,353,769 | ||||||
Thai Oil PCL NVDR | 169,800 | 557,165 | ||||||
Thai Union Group PCL NVDR | 279,400 | 178,908 | ||||||
TMB Bank PCL NVDR | 1,950,100 | 186,375 | ||||||
True Corp. PCL NVDRa | 1,442,005 | 289,412 | ||||||
|
| |||||||
21,072,679 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $501,562,277) | 620,399,505 | |||||||
PREFERRED STOCKS — 1.01% |
| |||||||
SOUTH KOREA — 1.01% |
| |||||||
Amorepacific Corp., Preference Shares | 1,509 | 211,809 | ||||||
Hyundai Motor Co., Preference Shares | 3,655 | 303,093 | ||||||
Hyundai Motor Co. Series 2, Preference Shares | 5,667 | 511,281 | ||||||
LG Chem Ltd., Preference Shares | 1,203 | 238,289 | ||||||
LG Household & Health Care Ltd., Preference Shares | 345 | 195,614 | ||||||
Samsung Electronics Co. Ltd., Preference Shares | 2,664 | 4,907,821 | ||||||
|
| |||||||
6,367,907 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $4,852,608) | 6,367,907 |
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
Security | Shares | Value | ||||||
RIGHTS — 0.01% |
| |||||||
SOUTH KOREA — 0.01% |
| |||||||
Hyundai Heavy Industries Co. Ltd. (Expires 03/09/18)a | 931 | $ | 21,493 | |||||
|
| |||||||
21,493 | ||||||||
|
| |||||||
TOTAL RIGHTS | ||||||||
(Cost: $0) | 21,493 | |||||||
SHORT-TERM INVESTMENTS — 2.38% |
| |||||||
MONEY MARKET FUNDS — 2.38% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
1.58%e,f,g | 14,934,281 | 14,935,775 | ||||||
|
| |||||||
14,935,775 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $14,936,072) | 14,935,775 | |||||||
|
|
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $521,350,957) | $ | 641,724,680 | ||||
Other Assets, Less Liabilities — (2.11)% | (13,231,400 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 628,493,280 | ||||
|
|
ADR — American Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 9,807,306 | 5,126,975 | b | — | 14,934,281 | $ | 14,935,775 | $ | 95,232 | c | $ | (940 | ) | $ | (1,568 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 768,227 | — | (768,227 | )b | — | — | 9,056 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 14,935,775 | $ | 104,288 | $ | (940 | ) | $ | (1,568 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 55 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ASIA ETF
February 28, 2018
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, 2018. 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 | $ | 620,376,949 | $ | 22,556 | $ | 0 | a | $ | 620,399,505 | |||||||
Preferred stocks | 6,367,907 | — | — | 6,367,907 | ||||||||||||
Rights | — | 21,493 | — | 21,493 | ||||||||||||
Money market funds | 14,935,775 | — | — | 14,935,775 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 641,680,631 | $ | 44,049 | $ | 0 | a | $ | 641,724,680 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to consolidated financial statements.
56 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.16% |
| |||||||
BRAZIL — 4.19% |
| |||||||
AES Tiete Energia SA | 57,300 | $ | 200,186 | |||||
Aliansce Shopping Centers SAa | 41,600 | 229,464 | ||||||
Alupar Investimento SA Units | 69,908 | 391,635 | ||||||
Anima Holding SA | 15,200 | 126,513 | ||||||
Arezzo Industria e Comercio SA | 19,600 | 338,456 | ||||||
B2W Cia. Digitala | 76,123 | 557,435 | ||||||
Banco ABC Brasil SAa | 1,187 | 6,942 | ||||||
BR Properties SA | 41,241 | 113,996 | ||||||
Cia. de Saneamento de Minas Gerais-COPASA | 24,100 | 326,773 | ||||||
Cia. Hering | 55,200 | 390,797 | ||||||
Cosan Logistica SAa | 57,422 | 179,226 | ||||||
CVC Brasil Operadora e Agencia de Viagens SA | 39,300 | 679,123 | ||||||
Cyrela Brazil Realty SA Empreendimentos e Participacoes | 101,700 | 480,209 | ||||||
Duratex SA | 109,900 | 385,305 | ||||||
EcoRodovias Infraestrutura e Logistica SA | 86,200 | 266,660 | ||||||
Eletropaulo Metropolitana Eletricidade de Sao Paulo SA | 42,000 | 226,241 | ||||||
Estacio Participacoes SA | 104,000 | 1,085,217 | ||||||
Even Construtora e Incorporadora SAa | 84,900 | 158,105 | ||||||
Ez Tec Empreendimentos e Participacoes SA | 25,344 | 189,646 | ||||||
Fleury SA | 69,300 | 578,718 | ||||||
Guararapes Confeccoes SA | 2,800 | 135,745 | ||||||
Iguatemi Empresa de Shopping Centers SA | 30,600 | 371,957 | ||||||
Instituto Hermes Pardini SA | 20,500 | 185,518 | ||||||
Iochpe Maxion SA | 40,405 | 274,735 | ||||||
Light SAa | 37,200 | 174,850 | ||||||
Linx SA | 55,400 | 323,661 | ||||||
Magazine Luiza SA | 29,600 | 829,574 | ||||||
Magnesita Refratarios SA | 11,400 | 192,997 | ||||||
Mahle-Metal Leve SA | 17,700 | 126,399 | ||||||
Marfrig Global Foods SAa | 87,700 | 161,160 | ||||||
Minerva SA | 46,200 | 129,125 | ||||||
MRV Engenharia e Participacoes SA | 111,300 | 520,057 | ||||||
Multiplus SA | 19,100 | 202,420 | ||||||
Prumo Logistica SAa | 33,100 | 115,640 | ||||||
Santos Brasil Participacoes SAa | 144,100 | 166,333 | ||||||
Sao Martinho SA | 67,800 | 382,957 |
Security | Shares | Value | ||||||
Ser Educacional SAb | 17,135 | $ | 163,504 | |||||
SLC Agricola SA | 28,600 | 305,654 | ||||||
Smiles Fidelidade SA | 24,200 | 627,803 | ||||||
TOTVS SA | 43,100 | 405,163 | ||||||
Valid Solucoes e Servicos de Seguranca em Meios de Pagamento e Identificacao SA | 29,440 | 179,517 | ||||||
Via Varejo SA | 47,100 | 397,097 | ||||||
Wiz Solucoes e Corretagem de Seguros SA | 27,100 | 103,020 | ||||||
|
| |||||||
13,385,533 | ||||||||
CHILE — 1.34% |
| |||||||
Besalco SA | 128,799 | 146,003 | ||||||
CAP SA | 31,074 | 443,372 | ||||||
Cia. Sud Americana de Vapores SAa | 5,290,792 | 267,177 | ||||||
Engie Energia Chile SA | 200,086 | 451,301 | ||||||
Forus SA | 35,947 | 165,049 | ||||||
Inversiones Aguas Metropolitanas SA | 169,647 | 318,971 | ||||||
Inversiones La Construccion SA | 13,184 | 262,496 | ||||||
Parque Arauco SA | 223,523 | 713,378 | ||||||
Ripley Corp. SA | 286,459 | 307,288 | ||||||
Salfacorp SA | 193,813 | 388,558 | ||||||
Sociedad de Inversiones Oro Blanco SA | 12,069,704 | 130,324 | ||||||
SONDA SA | 161,861 | 327,249 | ||||||
Vina Concha y Toro SA | 161,925 | 348,945 | ||||||
|
| |||||||
4,270,111 | ||||||||
CHINA — 19.79% |
| |||||||
21Vianet Group Inc. ADRa | 29,772 | 227,160 | ||||||
361 Degrees International Ltd. | 310,000 | 113,695 | ||||||
500.com Ltd. ADRa,c | 9,381 | 168,201 | ||||||
51job Inc. ADRa | 9,893 | 647,695 | ||||||
AGTech Holdings Ltd.a,c | 1,244,000 | 146,254 | ||||||
Ajisen China Holdings Ltd. | 417,000 | 195,037 | ||||||
Anhui Expressway Co. Ltd. Class H | 252,000 | 198,050 | ||||||
Anhui Gujing Distillery Co. Ltd. Class B | 43,500 | 234,696 | ||||||
Anton Oilfield Services Group/Hong Konga,c | 1,090,000 | 140,685 | ||||||
Anxin-China Holdings Ltd.a,d | 1,084,000 | 20,779 | ||||||
APT Satellite Holdings Ltd. | 279,000 | 123,361 | ||||||
Asia Cement China Holdings Corp.c | 398,500 | 152,264 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 57 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
AVIC International Holding HK Ltd.a,c | 2,290,000 | $ | 117,056 | |||||
AVIC International Holdings Ltd. Class H | 128,000 | 101,742 | ||||||
Baozun Inc. ADRa,c | 10,501 | 369,215 | ||||||
Beijing Beida Jade Bird Universal Sci-Tech Co. Ltd. Class Ha | 323,000 | 60,263 | ||||||
Beijing Capital Land Ltd. Class H | 442,000 | 264,907 | ||||||
Beijing Enterprises Medical & Health Group Ltd.a | 2,208,000 | 110,043 | ||||||
Beijing Gas Blue Sky Holdings Ltd.a,c | 2,328,000 | 175,523 | ||||||
Beijing Tong Ren Tang Chinese Medicine Co. Ltd. | 144,000 | 244,745 | ||||||
Best Pacific International Holdings Ltd.c | 146,000 | 78,361 | ||||||
Bitauto Holdings Ltd. ADRa,c | 9,388 | 266,525 | ||||||
Boshiwa International Holding Ltd.a,d | 32,000 | 245 | ||||||
Bosideng International Holdings Ltd. | 1,464,000 | 125,347 | ||||||
Boyaa Interactive International Ltd.a,c | 281,000 | 111,318 | ||||||
C C Land Holdings Ltd.a | 937,000 | 216,729 | ||||||
C.banner International Holdings Ltd.a,c | 498,000 | 155,917 | ||||||
Canvest Environment Protection Group Co. Ltd.c | 304,000 | 175,206 | ||||||
Capital Environment Holdings Ltd.a,c | 3,728,000 | 150,067 | ||||||
Carnival Group International Holdings Ltd.a,c | 3,777,500 | 193,092 | ||||||
CGN Meiya Power Holdings Co. Ltd.a,b | 1,032,000 | 139,793 | ||||||
Changyou.com Ltd. ADRa | 6,521 | 184,544 | ||||||
Chaowei Power Holdings Ltd.c | 310,000 | 190,945 | ||||||
Cheetah Mobile Inc. ADRa,c | 12,453 | 177,082 | ||||||
Chiho Environmental Group Ltd.a,c | 238,000 | 124,698 | ||||||
China Aerospace International Holdings Ltd. | 1,778,000 | 199,946 | ||||||
China Agri-Industries Holdings Ltd. | 793,000 | 341,509 | ||||||
China Aircraft Leasing Group Holdings Ltd. | 162,500 | 159,067 | ||||||
China All Access Holdings Ltd. | 626,000 | 181,593 | ||||||
China Animal Healthcare Ltd.a,c,d | 126,000 | 1,288 | ||||||
China Animation Characters Co. Ltd.c | 318,000 | 124,350 | ||||||
China Aoyuan Property Group Ltd. | 423,000 | 342,171 |
Security | Shares | Value | ||||||
China Beidahuang Industry Group Holdings Ltd.a | 2,260,000 | $ | 102,526 | |||||
China BlueChemical Ltd. Class H | 726,000 | 219,879 | ||||||
China Chengtong Development Group Ltd.a,c | 1,722,000 | 97,925 | ||||||
China Datang Corp. Renewable Power Co. Ltd. Class H | 1,257,000 | 155,814 | ||||||
China Dongxiang Group Co. Ltd. | 1,473,000 | 286,118 | ||||||
China Electronics Huada Technology Co. Ltd.c | 560,000 | 83,013 | ||||||
China Electronics Optics Valley Union Holding Co Ltd. | 2,036,000 | 174,322 | ||||||
China Everbright Greentech Ltd. Class La,b,c | 187,000 | 165,844 | ||||||
China Fangda Group Co. Ltd. Class B | 386,300 | 258,182 | ||||||
China First Capital Group Ltd.a | 1,262,000 | 546,711 | ||||||
China Foods Ltd.c | 404,000 | 213,737 | ||||||
China Goldjoy Group Ltd.c | 3,212,000 | 258,592 | ||||||
China Greenland Broad Greenstate Group Co Ltd.c | 420,000 | 59,039 | ||||||
China Harmony New Energy Auto Holding Ltd.a,c | 283,500 | 204,330 | ||||||
China High Speed Transmission Equipment Group Co. Ltd.c | 137,000 | 236,349 | ||||||
China Huiyuan Juice Group Ltd.a | 379,000 | 101,709 | ||||||
China Innovationpay Group Ltd.a,c | 2,328,000 | 130,898 | ||||||
China Internet Nationwide Financial Services Inc.a,c | 2,803 | 105,337 | ||||||
China Investment Fund International Holdings Co. Ltd.a | 328,000 | 364,663 | ||||||
China Lesso Group Holdings Ltd. | 415,000 | 273,120 | ||||||
China Lilang Ltd. | 221,000 | 206,165 | ||||||
China Logistics Property Holdings Co. Ltd.a,c | 591,000 | 177,482 | ||||||
China Lumena New Materials Corp.a,c,d | 210,000 | — | ||||||
China Maple Leaf Educational Systems Ltd.c | 262,000 | 334,142 | ||||||
China Merchants Land Ltd.c | 682,000 | 123,758 | ||||||
China Metal Recycling Holdings Ltd.a,d | 12,000 | — | ||||||
China Metal Resources Utilization Ltd.a,b,c | 408,000 | 263,300 | ||||||
China Minsheng Financial Holding Corp. Ltd.a,c | 4,010,000 | 124,523 |
58 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
China Modern Dairy Holdings Ltd.a | 692,000 | $ | 123,804 | |||||
China National Materials Co. Ltd. Class H | 432,000 | 361,044 | ||||||
China NT Pharma Group Co.Ltd. | 609,500 | 136,305 | ||||||
China Oil & Gas Group Ltd. | 2,670,000 | 228,605 | ||||||
China Overseas Grand Oceans Group Ltd. | 561,000 | 281,027 | ||||||
China Overseas Property Holdings Ltd.c | 590,000 | 199,801 | ||||||
China Power Clean Energy Development Co. Ltd. | 276,000 | 154,484 | ||||||
China Power International Development Ltd. | 1,806,000 | 454,656 | ||||||
China Rapid Finance Ltd. ADRa,c | 23,869 | 111,468 | ||||||
China Regenerative Medicine International Ltd.a,c | 4,960,000 | 109,655 | ||||||
China Resources Phoenix Healthcare Holdings Co. Ltd.c | 218,000 | 279,141 | ||||||
China SCE Property Holdings Ltd. | 696,000 | 342,428 | ||||||
China Shengmu Organic Milk Ltd.a,b,c | 1,565,000 | 235,991 | ||||||
China Shineway Pharmaceutical Group Ltd. | 228,000 | 320,499 | ||||||
China Silver Group Ltd.c | 496,000 | 114,725 | ||||||
China Singyes Solar Technologies Holdings Ltd.c | 314,000 | 125,595 | ||||||
China South City Holdings Ltd. | 1,090,000 | 257,690 | ||||||
China Suntien Green Energy Corp. Ltd. Class H | 787,000 | 188,068 | ||||||
China Traditional Chinese Medicine Holdings Co. Ltd. | 780,000 | 471,471 | ||||||
China Travel International Investment Hong Kong Ltd.c | 884,000 | 332,123 | ||||||
China Water Affairs Group Ltd. | 392,000 | 346,149 | ||||||
China Water Industry Group Ltd.a,c | 900,000 | 186,319 | ||||||
China Yuhua Education Corp Ltd. Class Lb,c | 440,000 | 248,527 | ||||||
China ZhengTong Auto Services Holdings Ltd.c | 444,500 | 402,165 | ||||||
Chinasoft International Ltd.c | 800,000 | 586,815 | ||||||
Chong Sing Holdings FinTech Group Ltd.a,c | 6,212,000 | 770,020 | ||||||
Chongqing Machinery & Electric Co. Ltd. Class H | 1,746,000 | 171,804 | ||||||
CIMC Enric Holdings Ltd.a,c | 292,000 | 267,548 | ||||||
CITIC Resources Holdings Ltd.c | 1,426,000 | 142,139 |
Security | Shares | Value | ||||||
Citychamp Watch & Jewellery Group Ltd.c | 764,000 | $ | 167,927 | |||||
COFCO Meat Holdings Ltd.a,c | 1,036,000 | 184,024 | ||||||
Cogobuy Groupb | 236,000 | 130,888 | ||||||
Colour Life Services Group Co. Ltd.c | 208,000 | 134,763 | ||||||
Comba Telecom Systems Holdings Ltd.c | 1,032,894 | 166,313 | ||||||
Concord New Energy Group Ltd. | 3,790,000 | 169,514 | ||||||
Coolpad Group Ltd.a,d | 1,024,000 | 7,851 | ||||||
COSCO SHIPPING International Hong Kong Co. Ltd. | 640,000 | 273,165 | ||||||
Cosmo Lady China Holdings Co. Ltd.b,c | 268,000 | 112,676 | ||||||
Crown International Corp Ltd.a,c | 588,000 | 99,186 | ||||||
CSMall Group Ltd.a | 8,266 | — | ||||||
CT Environmental Group Ltd.c | 1,036,000 | 181,376 | ||||||
Dah Chong Hong Holdings Ltd.c | 375,000 | 185,935 | ||||||
Dawnrays Pharmaceutical Holdings Ltd. | 268,000 | 146,238 | ||||||
Dazhong Transportation Group Co. Ltd. Class B | 527,100 | 326,802 | ||||||
Digital China Holdings Ltd.a,c | 306,000 | 173,230 | ||||||
eHi Car Services Ltd. ADRa | 16,950 | 192,043 | ||||||
Fang Holdings Ltd. ADRa,c | 94,458 | 477,957 | ||||||
Fantasia Holdings Group Co. Ltd.c | 1,186,500 | 195,594 | ||||||
FDG Electric Vehicles Ltd.a,c | 5,790,000 | 236,770 | ||||||
First Tractor Co. Ltd. Class H | 310,000 | 122,807 | ||||||
Fu Shou Yuan International Group Ltd.c | 453,000 | 399,435 | ||||||
Fufeng Group Ltd. | 605,400 | 416,221 | ||||||
Future Land Development Holdings Ltd. | 670,000 | 524,849 | ||||||
GCL New Energy Holdings Ltd.a,c | 3,232,000 | 202,379 | ||||||
GDS Holdings Ltd. ADRa | 26,992 | 707,190 | ||||||
Genscript Biotech Corp.c | 300,000 | 900,924 | ||||||
Glorious Property Holdings Ltd.a | 1,101,000 | 109,744 | ||||||
Golden Eagle Retail Group Ltd.c | 194,000 | 258,326 | ||||||
Golden Meditech Holdings Ltd.a,c | 1,040,000 | 175,431 | ||||||
Greatview Aseptic Packaging Co. Ltd. | 491,000 | 349,491 | ||||||
Greenland Hong Kong Holdings Ltd. | 371,000 | 181,582 | ||||||
Greentown China Holdings Ltd. | 246,500 | 370,445 | ||||||
Greentown Service Group Co. Ltd.c | 292,000 | 212,695 | ||||||
Gridsum Holding Inc. ADRa | 6,461 | 70,360 | ||||||
Ground International Development Ltd.a,c | 490,000 | 101,440 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 59 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Guorui Properties Ltd.c | 500,000 | $ | 139,931 | |||||
Haichang Ocean Park Holdings Ltd.a,b | 759,000 | 192,046 | ||||||
Hangzhou Steam Turbine Co. Ltd. Class Ba | 125,380 | 121,129 | ||||||
Harbin Electric Co. Ltd. Class H | 272,000 | 110,186 | ||||||
Harmonicare Medical Holdings Ltd.b | 278,000 | 89,880 | ||||||
HC International Inc.c | 252,000 | 156,830 | ||||||
HengTen Networks Group Ltd.a,c | 9,060,000 | 405,224 | ||||||
Hi Sun Technology China Ltd.a | 822,000 | 171,222 | ||||||
Hilong Holding Ltd.c | 404,000 | 68,148 | ||||||
Hisense Kelon Electrical Holdings Co. Ltd. Class H | 155,000 | 191,143 | ||||||
Honghua Group Ltd.a,c | 898,000 | 94,100 | ||||||
Hopewell Highway Infrastructure Ltd. | 536,500 | 324,287 | ||||||
Hopson Development Holdings Ltd. | 288,000 | 274,188 | ||||||
Hua Han Health Industry Holdings Ltd. Class Ha,d | 1,112,400 | 7,108 | ||||||
Hua Hong Semiconductor Ltd.b | 159,000 | 307,625 | ||||||
Huabao International Holdings Ltd. | 413,000 | 310,860 | ||||||
Huadian Fuxin Energy Corp. Ltd. Class H | 970,000 | 235,518 | ||||||
Huangshi Dongbei Electrical Appliance Co. Ltd. Class B | 69,200 | 92,382 | ||||||
Huanxi Media Group Ltd.a,c | 530,000 | 101,594 | ||||||
Huayi Tencent Entertainment Co. Ltd.a,c | 2,550,000 | 131,976 | ||||||
Hutchison China MediTech Ltd.a,c | 8,983 | 587,919 | ||||||
IGG Inc.c | 311,000 | 397,429 | ||||||
iKang Healthcare Group Inc. ADRa,c | 20,453 | 336,656 | ||||||
IMAX China Holding Inc.a,b,c | 49,800 | 141,280 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 413,000 | 593,068 | ||||||
JA Solar Holdings Co. Ltd. ADRa,c | 18,000 | 133,380 | ||||||
Jiayuan International Group Ltd.a | 406,000 | 425,441 | ||||||
JinkoSolar Holding Co. Ltd. ADRa | 11,041 | 197,303 | ||||||
Ju Teng International Holdings Ltd. | 420,000 | 119,152 | ||||||
Jumei International Holding Ltd. ADRa,c | 29,622 | 84,423 | ||||||
Kaisa Group Holdings Ltd.a | 1,012,000 | 539,282 | ||||||
Kama Co. Ltd. Class Ba | 125,500 | 95,631 | ||||||
Kingboard Laminates Holdings Ltd. | 415,500 | 731,677 | ||||||
Kingdee International Software Group Co. Ltd.a,c | 740,000 | 533,347 |
Security | Shares | Value | ||||||
Kong Sun Holdings Ltd.a | 1,900,000 | $ | 65,557 | |||||
Konka Group Co. Ltd. Class Ba | 370,400 | 153,834 | ||||||
KuangChi Science Ltd.a,c | 755,000 | 193,929 | ||||||
KWG Property Holding Ltd. | 481,000 | 674,911 | ||||||
Lao Feng Xiang Co. Ltd. Class B | 70,200 | 259,108 | ||||||
Launch Tech Co. Ltd. | 93,000 | 109,456 | ||||||
Lee’s Pharmaceutical Holdings Ltd.c | 145,000 | 219,762 | ||||||
Li Ning Co. Ltd.a | 564,000 | 518,932 | ||||||
Lifestyle China Group Ltd.a | 381,500 | 107,742 | ||||||
Lifetech Scientific Corp.a,c | 988,000 | 236,101 | ||||||
Livzon Pharmaceutical Group Inc. Class H | 42,590 | 318,664 | ||||||
Lonking Holdings Ltd. | 780,000 | 325,943 | ||||||
Luthai Textile Co. Ltd. Class B | 190,700 | 206,411 | ||||||
Luye Pharma Group Ltd.c | 475,000 | 411,550 | ||||||
MMG Ltd.a | 768,000 | 538,806 | ||||||
Nam Tai Property Inc. | 10,074 | 138,014 | ||||||
Nan Hai Corp. Ltd.c | 6,400,000 | 204,465 | ||||||
National Agricultural Holdings Ltd.a,c,d | 354,000 | 42,976 | ||||||
NetDragon Websoft Holdings Ltd.c | 91,500 | 238,534 | ||||||
New Provenance Everlasting Holdings Ltd. Class Ha | 9,250,000 | 200,951 | ||||||
Noah Holdings Ltd. ADRa,c | 10,222 | 474,710 | ||||||
North Mining Shares Co. Ltd.a,c | 5,940,000 | 116,898 | ||||||
NQ Mobile Inc. ADRa,c | 38,424 | 84,917 | ||||||
NVC Lighting Holding Ltd. | 855,000 | 79,761 | ||||||
O-Net Technologies Group Ltd.a,c | 189,000 | 135,254 | ||||||
Panda Green Energy Group Ltd.a,c | 1,828,000 | 207,905 | ||||||
PAX Global Technology Ltd.c | 393,000 | 195,362 | ||||||
Phoenix Satellite Television Holdings Ltd. | 928,000 | 115,032 | ||||||
Poly Property Group Co. Ltd.a | 734,000 | 375,193 | ||||||
Pou Sheng International Holdings Ltd. | 912,000 | 229,594 | ||||||
Powerlong Real Estate Holdings Ltd. | 486,000 | 243,456 | ||||||
Q Technology Group Co. Ltd.c | 131,000 | 187,494 | ||||||
Qingdao Port International Co. Ltd.b | 483,000 | 350,586 | ||||||
Realord Group Holdings Ltd.a,c | 176,000 | 113,580 | ||||||
Renhe Commercial Holdings Co. Ltd.a,c | 6,222,000 | 158,228 | ||||||
Ronshine China Holdings Ltd.a,c | 197,000 | 282,461 | ||||||
Seaspan Corp. | 22,746 | 139,888 | ||||||
Shandong Airlines Co. Ltd. Class B | 65,400 | 133,720 |
60 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Shandong Chenming Paper Holdings Ltd. Class B | 256,900 | $ | 434,005 | |||||
Shang Gong Group Co. Ltd. Class Ba | 187,000 | 159,511 | ||||||
Shanghai Baosight Software Co. Ltd. Class B | 90,900 | 157,893 | ||||||
Shanghai Dasheng Agricultural Finance Technology Co. Ltd.c | 1,360,000 | 79,946 | ||||||
Shanghai Haixin Group Co. Class B | 192,700 | 115,042 | ||||||
Shanghai Jin Jiang International Hotels Group Co. Ltd. Class H | 554,000 | 241,414 | ||||||
Shanghai Jinjiang International Industrial Investment Co. Ltd. Class B | 132,600 | 161,242 | ||||||
Shanghai Jinjiang International Travel Co. Ltd. Class B | 62,700 | 161,578 | ||||||
Shanghai Lingyun Industries Development Co. Ltd. Class Ba | 132,400 | 107,509 | ||||||
Shanghai Shibei Hi-Tech Co. Ltd. Class B | 273,000 | 140,595 | ||||||
Shanghai Zhongyida Co. Ltd.a | 324,600 | 88,616 | ||||||
Shenzhen Expressway Co. Ltd. Class H | 306,000 | 308,921 | ||||||
Shenzhen International Holdings Ltd. | 352,000 | 725,115 | ||||||
Shenzhen Investment Ltd. | 1,248,000 | 521,508 | ||||||
Shougang Concord International Enterprises Co. Ltd.a,c | 8,984,000 | 276,685 | ||||||
Shougang Fushan Resources Group Ltd.c | 1,044,000 | 329,531 | ||||||
Shui On Land Ltd. | 1,418,500 | 398,796 | ||||||
Sino Oil And Gas Holdings Ltd.a,c | 13,170,000 | 104,346 | ||||||
Sinolink Worldwide Holdings Ltd.a | 1,020,000 | 126,436 | ||||||
Sinopec Kantons Holdings Ltd. | 362,000 | 219,273 | ||||||
Sinosoft Technology Group Ltd.c | 362,800 | 98,288 | ||||||
Sinotrans Ltd. Class H | 779,000 | 433,038 | ||||||
Sinotrans Shipping Ltd.c | 716,000 | 206,786 | ||||||
Sinotruk Hong Kong Ltd. | 276,000 | 351,291 | ||||||
Skyfame Realty Holdings Ltd.a | 300,000 | 175,584 | ||||||
Skyworth Digital Holdings Ltd. | 780,000 | 343,885 | ||||||
SMI Holdings Group Ltd.c | 516,800 | 246,998 | ||||||
Sohu.com Inc.a | 10,970 | 369,140 | ||||||
SSY Group Ltd. | 679,970 | 516,149 | ||||||
Superb Summit International Group Ltd.a,c,d | 238,250 | 1,522 |
Security | Shares | Value | ||||||
Tarena International Inc. ADR | 13,639 | $ | 167,351 | |||||
TCL Multimedia Technology Holdings Ltd.c | 214,000 | 98,997 | ||||||
Texhong Textile Group Ltd. | 115,000 | 150,486 | ||||||
Tian Ge Interactive Holdings Ltd.b | 187,000 | 168,234 | ||||||
Tianjin Development Holdings Ltd. | 328,000 | 149,638 | ||||||
Tianjin Port Development Holdings Ltd. | 1,510,000 | 219,979 | ||||||
Tianneng Power International Ltd. | 288,000 | 285,229 | ||||||
Tibet Water Resources Ltd.a,c | 854,000 | 357,957 | ||||||
Tong Ren Tang Technologies Co. Ltd. Class H | 226,000 | 382,380 | ||||||
Tongda Group Holdings Ltd. | 1,200,000 | 288,296 | ||||||
Tongda Hong Tai Holdings Ltd.a | 30,000 | — | ||||||
Towngas China Co. Ltd. | 434,000 | 351,069 | ||||||
TPV Technology Ltd. | 468,000 | 65,787 | ||||||
Truly International Holdings Ltd.c | 682,000 | 227,470 | ||||||
Tuniu Corp. ADRa | 13,849 | 106,776 | ||||||
Universal Medical Financial & Technical Advisory Services Co. Ltd.b | 335,500 | 276,536 | ||||||
Vinda International Holdings Ltd.c | 87,000 | 172,548 | ||||||
Viva China Holdings Ltd.a | 1,128,000 | 123,967 | ||||||
Wasion Group Holdings Ltd. | 212,000 | 111,888 | ||||||
West China Cement Ltd.a | 1,030,000 | 175,060 | ||||||
Wisdom Education International Holdings Co. Ltd. | 256,000 | 187,453 | ||||||
Xiamen International Port Co. Ltd. Class H | 914,000 | 170,529 | ||||||
Xingda International Holdings Ltd. | 398,000 | 150,548 | ||||||
Xinjiang Xinxin Mining Industry Co. Ltd. Class Ha | 580,000 | 95,613 | ||||||
Xinyi Solar Holdings Ltd. | 1,197,400 | 495,773 | ||||||
Xinyuan Real Estate Co. Ltd. ADR | 22,286 | 133,716 | ||||||
Xtep International Holdings Ltd. | 378,500 | 168,323 | ||||||
Xunlei Ltd. ADRa,c | 10,908 | 139,295 | ||||||
Yangtze Optical Fibre and Cable Joint Stock Ltd. Co. Class Hb,c | 69,500 | 302,857 | ||||||
Yihai International Holding Ltd.c | 192,000 | 258,117 | ||||||
Yirendai Ltd. ADRc | 4,628 | 175,262 | ||||||
Yuexiu Property Co. Ltd. | 2,522,000 | 499,546 | ||||||
Yuexiu REIT | 585,000 | 389,487 | ||||||
Yuexiu Transport Infrastructure Ltd.c | 374,000 | 281,027 | ||||||
Yuzhou Properties Co. Ltd. | 651,000 | 401,816 | ||||||
Zhaojin Mining Industry Co. Ltd. Class Hc | 433,000 | 334,767 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 61 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Zhongsheng Group Holdings Ltd. | 219,500 | $ | 558,196 | |||||
Zhou Hei Ya International Holdings Co. Ltd.b,c | 242,000 | 251,423 | ||||||
Zhuguang Holdings Group Co. Ltd.a | 932,000 | 165,550 | ||||||
|
| |||||||
63,204,918 | ||||||||
COLOMBIA — 0.30% |
| |||||||
Almacenes Exito SA | 71,807 | 420,063 | ||||||
Cemex Latam Holdings SAa | 70,743 | 232,568 | ||||||
Corp. Financiera Colombiana SA | 35,025 | 295,982 | ||||||
|
| |||||||
948,613 | ||||||||
CZECH REPUBLIC — 0.14% |
| |||||||
Central European Media Enterprises Ltd. AS Class Aa,c | 27,693 | 125,748 | ||||||
Philip Morris CR AS | 376 | 305,370 | ||||||
|
| |||||||
431,118 | ||||||||
EGYPT — 0.45% |
| |||||||
Alexandria Mineral Oils Co. | 211,394 | 107,971 | ||||||
Ezz Steela | 88,085 | 117,214 | ||||||
Heliopolis Housing | 58,049 | 121,686 | ||||||
Juhayna Food Industries | 200,233 | 128,802 | ||||||
Medinet Nasr Housing | 251,884 | 156,179 | ||||||
Oriental Weavers | 104,075 | 94,587 | ||||||
Palm Hills Developments SAEa | 600,894 | 139,846 | ||||||
Pioneers Holding For Financial Investments SAEa | 199,588 | 90,414 | ||||||
Sidi Kerir Petrochemicals Co. | 67,250 | 109,748 | ||||||
Six of October Development & Investmenta | 93,147 | 104,065 | ||||||
Talaat Moustafa Group | 347,485 | 194,403 | ||||||
Telecom Egypt Co. | 122,975 | 84,606 | ||||||
|
| |||||||
1,449,521 | ||||||||
GREECE — 0.78% |
| |||||||
Aegean Airlines SA | 22,702 | 253,904 | ||||||
Grivalia Properties REIC AE | 26,676 | 307,785 | ||||||
Hellenic Exchanges-Athens Stock Exchange SA | 39,536 | 246,887 | ||||||
Hellenic Petroleum SA | 29,451 | 296,339 | ||||||
Motor Oil Hellas Corinth Refineries SA | 26,169 | 614,084 | ||||||
Mytilineos Holdings SAa | 51,343 | 604,288 | ||||||
Public Power Corp. SAa | 49,828 | 171,257 | ||||||
|
| |||||||
2,494,544 | ||||||||
HUNGARY — 0.09% |
| |||||||
Magyar Telekom Telecommunications PLC | 159,868 | 282,534 | ||||||
|
| |||||||
282,534 |
Security | Shares | Value | ||||||
INDIA — 13.80% |
| |||||||
Adani Enterprises Ltd. | 104,032 | $ | 325,049 | |||||
Adani Power Ltd.a | 366,753 | 178,180 | ||||||
Aditya Birla Fashion and Retail Ltd.a | 79,248 | 185,267 | ||||||
Aegis Logistics Ltd. | 34,075 | 132,123 | ||||||
AIA Engineering Ltd. | 16,361 | 361,545 | ||||||
Ajanta Pharma Ltd. | 10,979 | 235,561 | ||||||
Alembic Pharmaceuticals Ltd. | 28,859 | 244,862 | ||||||
Allcargo Logistics Ltd. | 36,014 | 99,369 | ||||||
Amara Raja Batteries Ltd. | 18,443 | 232,780 | ||||||
Andhra Banka | 139,423 | 98,554 | ||||||
Apollo Hospitals Enterprise Ltd. | 35,546 | 656,425 | ||||||
Apollo Tyres Ltd. | 109,303 | 460,643 | ||||||
Arvind Ltd. | 53,756 | 346,525 | ||||||
Asahi India Glass Ltd. | 24,823 | 134,620 | ||||||
Avanti Feeds Ltd. | 4,605 | 169,501 | ||||||
Balkrishna Industries Ltd. | 30,958 | 516,408 | ||||||
Balrampur Chini Mills Ltd. | 60,673 | 111,527 | ||||||
Bayer CropScience Ltd./India | 5,197 | 303,039 | ||||||
Biocon Ltd. | 56,497 | 546,400 | ||||||
Birla Corp. Ltd. | 8,677 | 119,913 | ||||||
Blue Dart Express Ltd. | 3,246 | 213,464 | ||||||
Can Fin Homes Ltd. | 17,330 | 144,035 | ||||||
Canara Bank | 46,137 | 211,931 | ||||||
Care Ratings Ltd. | 11,027 | 231,420 | ||||||
Ceat Ltd. | 8,811 | 216,731 | ||||||
Century Plyboards India Ltd. | 25,490 | 128,885 | ||||||
Century Textiles & Industries Ltd. | 11,352 | 212,634 | ||||||
Cera Sanitaryware Ltd. | 2,320 | 119,639 | ||||||
CESC Ltd. | 30,580 | 480,413 | ||||||
CG Power and Industrial Solutions Ltd.a | 164,959 | 211,433 | ||||||
Chennai Petroleum Corp. Ltd. | 20,084 | 112,434 | ||||||
Coromandel International Ltd. | 30,700 | 263,309 | ||||||
Cox & Kings Ltd. | 43,935 | 161,014 | ||||||
CRISIL Ltd. | 8,870 | 262,391 | ||||||
Crompton Greaves Consumer Electricals Ltd. | 152,745 | 545,131 | ||||||
Dalmia Bharat Ltd. | 8,431 | 340,689 | ||||||
DCB Bank Ltd. | 80,513 | 202,684 | ||||||
Delta Corp. Ltd. | 28,770 | 153,177 | ||||||
Dewan Housing Finance Corp. Ltd. | 55,861 | 468,350 | ||||||
Dilip Buildcon Ltd.b | 14,889 | 216,149 | ||||||
Dish TV India Ltd.a | 152,801 | 172,629 | ||||||
Divi’s Laboratories Ltd. | 31,402 | 494,508 | ||||||
Dr Lal PathLabs Ltd.b | 9,138 | 127,869 |
62 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
eClerx Services Ltd. | 14,308 | $ | 300,551 | |||||
Edelweiss Financial Services Ltd. | 175,870 | 725,522 | ||||||
EID Parry India Ltd. | 38,080 | 185,033 | ||||||
Endurance Technologies Ltd.b | 13,037 | 275,954 | ||||||
Engineers India Ltd. | 73,282 | 194,717 | ||||||
Eris Lifesciences Ltd.a,b | 15,226 | 176,097 | ||||||
Escorts Ltd. | 22,488 | 308,205 | ||||||
Eveready Industries India Ltd.a | 18,148 | 109,437 | ||||||
Exide Industries Ltd. | 108,176 | 344,390 | ||||||
Federal Bank Ltd. | 578,966 | 837,616 | ||||||
Finolex Cables Ltd. | 39,689 | 436,787 | ||||||
Force Motors Ltd. | 2,299 | 104,779 | ||||||
Fortis Healthcare Ltd.a | 141,512 | 347,121 | ||||||
Gateway Distriparks Ltd. | 54,133 | 173,460 | ||||||
Gayatri Highways Ltd.a | 79,435 | 10,986 | ||||||
Gayatri Projects Ltd.a | 79,435 | 258,133 | ||||||
GE T&D India Ltd. | 37,332 | 233,632 | ||||||
Gillette India Ltd. | 3,993 | 407,696 | ||||||
GMR Infrastructure Ltd.a | 851,605 | 247,718 | ||||||
Godfrey Phillips India Ltd. | 6,990 | 93,686 | ||||||
Godrej Industries Ltd. | 30,224 | 255,979 | ||||||
Godrej Properties Ltd.a | 21,221 | 254,145 | ||||||
Great Eastern Shipping Co. Ltd. (The) | 50,407 | 282,884 | ||||||
GRUH Finance Ltd. | 35,878 | 295,191 | ||||||
Gujarat Fluorochemicals Ltd. | 16,212 | 192,527 | ||||||
Gujarat Gas Ltd. | 21,624 | 288,779 | ||||||
Gujarat Mineral Development Corp. Ltd. | 63,221 | 136,542 | ||||||
Gujarat Narmada Valley Fertilizers & Chemicals Ltd. | 22,772 | 151,566 | ||||||
Gujarat Pipavav Port Ltd. | 97,513 | 212,550 | ||||||
Gujarat State Petronet Ltd. | 82,653 | 262,691 | ||||||
Hexaware Technologies Ltd. | 54,104 | 287,436 | ||||||
Hindustan Construction Co. Ltd.a | 230,261 | 119,820 | ||||||
Housing Development & Infrastructure Ltd.a | 127,374 | 97,565 | ||||||
IDFC Ltd. | 339,576 | 276,003 | ||||||
IIFL Holdings Ltd. | 42,950 | 498,486 | ||||||
India Cements Ltd. (The) | 72,137 | 176,339 | ||||||
Indiabulls Real Estate Ltd.a | 65,300 | 215,858 | ||||||
Indiabulls Ventures Ltd. | 41,876 | 166,260 | ||||||
Indian Hotels Co. Ltd. (The) | 198,563 | 418,027 | ||||||
Infibeam Incorporation Ltd. | 51,175 | 124,430 | ||||||
Info Edge India Ltd. | 26,928 | 529,952 | ||||||
Inox Leisure Ltd.a | 26,616 | 114,743 |
Security | Shares | Value | ||||||
Ipca Laboratories Ltd. | 24,539 | $ | 253,446 | |||||
IRB Infrastructure Developers Ltd. | 74,501 | 261,426 | ||||||
Jain Irrigation Systems Ltd. | 149,788 | 268,898 | ||||||
Jaiprakash Associates Ltd.a | 434,407 | 118,027 | ||||||
Jammu & Kashmir Bank Ltd. (The)a | 97,410 | 99,584 | ||||||
Jindal Steel & Power Ltd.a | 125,521 | 490,167 | ||||||
JK Cement Ltd. | 7,973 | 123,830 | ||||||
JM Financial Ltd. | 73,637 | 166,781 | ||||||
Jubilant Foodworks Ltd. | 14,568 | 454,843 | ||||||
Jubilant Life Sciences Ltd. | 28,409 | 382,661 | ||||||
Just Dial Ltd.a | 16,747 | 116,169 | ||||||
Kajaria Ceramics Ltd. | 29,767 | 262,595 | ||||||
Karnataka Bank Ltd. (The) | 75,429 | 156,482 | ||||||
Karur Vysya Bank Ltd. (The) | 129,266 | 213,901 | ||||||
Kaveri Seed Co. Ltd. | 15,538 | 119,326 | ||||||
KPIT Technologies Ltd. | 99,245 | 329,211 | ||||||
KRBL Ltd. | 27,262 | 230,642 | ||||||
Larsen & Toubro Infotech Ltd.b | 14,544 | 321,505 | ||||||
Laurus Labs Ltd.b | 29,434 | 245,584 | ||||||
Mahanagar Gas Ltd. | 13,340 | 213,647 | ||||||
Manappuram Finance Ltd. | 170,632 | 282,744 | ||||||
Marksans Pharma Ltd. | 140,981 | 82,559 | ||||||
Max Financial Services Ltd.a | 54,836 | 417,039 | ||||||
Max India Ltd.a | 86,628 | 127,656 | ||||||
Minda Industries Ltd. | 8,857 | 153,433 | ||||||
Mindtree Ltd. | 41,738 | 522,220 | ||||||
MOIL Ltd. | 35,806 | 121,659 | ||||||
Motilal Oswal Financial Services Ltd. | 14,149 | 246,737 | ||||||
Mphasis Ltd. | 33,920 | 447,624 | ||||||
Muthoot Finance Ltd. | 37,568 | 225,940 | ||||||
Natco Pharma Ltd. | 34,894 | 427,804 | ||||||
National Aluminium Co. Ltd. | 183,232 | 192,805 | ||||||
NCC Ltd./India | 179,899 | 363,685 | ||||||
NIIT Technologies Ltd. | 11,428 | 146,389 | ||||||
Oberoi Realty Ltd. | 43,635 | 347,727 | ||||||
Page Industries Ltd. | 2,311 | 776,445 | ||||||
PC Jeweller Ltd. | 46,228 | 236,404 | ||||||
Persistent Systems Ltd. | 25,849 | 339,350 | ||||||
PI Industries Ltd. | 24,817 | 332,411 | ||||||
Prestige Estates Projects Ltd. | 44,126 | 227,111 | ||||||
PTC India Ltd. | 162,145 | 255,738 | ||||||
PVR Ltd. | 12,524 | 253,849 | ||||||
Radico Khaitan Ltd. | 21,673 | 115,374 | ||||||
Rain Industries Ltd. | 33,547 | 196,144 | ||||||
Rajesh Exports Ltd. | 32,985 | 424,070 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 63 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Ramco Cements Ltd. (The) | 25,249 | $ | 291,688 | |||||
Raymond Ltd. | 11,000 | 161,160 | ||||||
RBL Bank Ltd.b | 46,738 | 351,685 | ||||||
Redington India Ltd. | 151,023 | 333,939 | ||||||
Reliance Capital Ltd. | 39,071 | 283,229 | ||||||
Reliance Communications Ltd.a | 381,958 | 166,218 | ||||||
Reliance Infrastructure Ltd. | 55,115 | 385,447 | ||||||
Repco Home Finance Ltd. | 16,842 | 145,964 | ||||||
Sadbhav Engineering Ltd. | 44,590 | 274,400 | ||||||
Shilpa Medicare Ltd. | 12,950 | 86,898 | ||||||
Sintex Plastics Technology Ltd. Class La | 163,960 | 164,850 | ||||||
Somany Ceramics Ltd. | 7,528 | 78,341 | ||||||
SpiceJet Ltd.a | 60,632 | 128,484 | ||||||
SRF Ltd. | 6,859 | 199,912 | ||||||
Sterlite Technologies Ltd. | 41,104 | 226,732 | ||||||
Strides Shasun Ltd. | 20,244 | 222,961 | ||||||
Sun Pharma Advanced Research Co. Ltd.a | 34,313 | 224,035 | ||||||
Sundaram Finance Holdings Ltd.a | 14,044 | 33,550 | ||||||
Sundaram Finance Ltd. | 14,044 | 378,800 | ||||||
Sundram Fasteners Ltd. | 27,483 | 238,101 | ||||||
Supreme Industries Ltd. | 19,413 | 354,326 | ||||||
Suzlon Energy Ltd.a | 1,085,106 | 213,203 | ||||||
Symphony Ltd. | 10,167 | 278,856 | ||||||
Syndicate Banka | 162,525 | 152,431 | ||||||
Syngene International Ltd.b | 18,211 | 164,985 | ||||||
Tata Communications Ltd. | 27,225 | 268,442 | ||||||
Tata Global Beverages Ltd. | 142,174 | 601,246 | ||||||
Thermax Ltd. | 17,944 | 318,011 | ||||||
TI Financial Holdings Ltd. | 37,591 | 386,837 | ||||||
Time Technoplast Ltd. | 43,385 | 115,445 | ||||||
Torrent Power Ltd. | 57,622 | 234,084 | ||||||
TTK Prestige Ltd. | 1,526 | 162,038 | ||||||
Tube Investments of India Ltd. | 36,903 | 148,017 | ||||||
Union Bank of Indiaa | 67,303 | 109,044 | ||||||
V-Guard Industries Ltd. | 41,356 | 153,816 | ||||||
VA Tech Wabag Ltd. | 12,533 | 105,926 | ||||||
Voltas Ltd. | 46,890 | 438,625 | ||||||
VRL Logistics Ltd. | 14,558 | 91,118 | ||||||
WABCO India Ltd. | 3,591 | 446,051 | ||||||
Welspun India Ltd. | 126,932 | 125,673 | ||||||
Whirlpool of India Ltd. | 13,432 | 295,356 | ||||||
Wockhardt Ltd.a | 13,014 | 163,828 | ||||||
|
| |||||||
44,073,897 |
Security | Shares | Value | ||||||
INDONESIA — 2.57% |
| |||||||
Ace Hardware Indonesia Tbk PT | 3,283,200 | $ | 317,610 | |||||
Alam Sutera Realty Tbk PT | 5,677,900 | 161,889 | ||||||
Aneka Tambang Persero Tbk PTa | 3,698,400 | 256,899 | ||||||
Bank Bukopin Tbk PT | 2,933,600 | 134,427 | ||||||
Bank Pembangunan Daerah Jawa Barat Dan Banten Tbk PT | 863,800 | 142,621 | ||||||
Bukit Asam Persero Tbk PT | 1,421,000 | 327,641 | ||||||
Bumi Resources Tbk PTa | 9,696,900 | 222,877 | ||||||
Ciputra Development Tbk PT | 4,925,063 | 462,111 | ||||||
Delta Dunia Makmur Tbk PTa | 1,777,800 | 143,532 | ||||||
Eagle High Plantations Tbk PTa | 3,964,800 | 66,904 | ||||||
Global Mediacom Tbk PT | 3,284,900 | 144,551 | ||||||
Hanson International Tbk PTa | 27,717,200 | 306,434 | ||||||
Harum Energy Tbk PTa | 387,500 | 95,829 | ||||||
Indika Energy Tbk PTa | 770,200 | 242,009 | ||||||
Indo Tambangraya Megah Tbk PT | 150,100 | 336,261 | ||||||
Indofarma Persero Tbk PTa | 212,100 | 68,034 | ||||||
Inti Agri Resources Tbk PTa | 12,051,200 | 198,099 | ||||||
Japfa Comfeed Indonesia Tbk PT | 1,853,000 | 218,341 | ||||||
Kawasan Industri Jababeka Tbk PT | 12,673,098 | 256,255 | ||||||
Krakatau Steel Persero Tbk PTa | 1,824,800 | 67,691 | ||||||
Kresna Graha Investama Tbk PTa | 6,039,900 | 261,391 | ||||||
Link Net Tbk PT | 491,000 | 198,207 | ||||||
Lippo Karawaci Tbk PT | 5,189,000 | 194,373 | ||||||
Medco Energi Internasional Tbk PTa | 3,013,066 | 345,171 | ||||||
Media Nusantara Citra Tbk PT | 1,918,600 | 214,209 | ||||||
Mitra Adiperkasa Tbk PT | 384,200 | 212,381 | ||||||
Panin Financial Tbk PTa | 7,952,600 | 159,648 | ||||||
Pelat Timah Nusantara Tbk PTa | 247,400 | 64,961 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 1,413,300 | 142,887 | ||||||
PP Persero Tbk PT | 1,322,925 | 298,292 | ||||||
PP Properti Tbk PT | 8,497,169 | 115,574 | ||||||
Ramayana Lestari Sentosa Tbk PT | 1,541,000 | 132,260 | ||||||
Sawit Sumbermas Sarana Tbk PT | 1,626,700 | 170,970 | ||||||
Sentul City Tbk PTa | 8,087,700 | 121,182 | ||||||
Siloam International Hospitals Tbk PTa | 150,425 | 93,547 | ||||||
Sri Rejeki Isman Tbk PT | 2,978,100 | 72,782 | ||||||
Sugih Energy Tbk PTa | 5,450,300 | 19,821 | ||||||
Summarecon Agung Tbk PT | 3,853,000 | 311,076 | ||||||
Timah Tbk PT | 1,656,796 | 140,391 |
64 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Totalindo Eka Persada Tbk PTa | 644,200 | $ | 222,566 | |||||
Tunas Baru Lampung Tbk PT | 1,374,200 | 120,943 | ||||||
Visi Media Asia Tbk PTa | 4,073,500 | 91,849 | ||||||
Waskita Beton Precast Tbk PT | 4,410,800 | 153,994 | ||||||
Wijaya Karya Persero Tbk PT | 1,176,448 | 164,721 | ||||||
|
| |||||||
8,193,211 | ||||||||
MALAYSIA — 3.38% | ||||||||
AirAsia X Bhda,c | 755,400 | 81,962 | ||||||
Bumi Armada Bhda,c | 987,300 | 216,767 | ||||||
Bursa Malaysia Bhdc | 179,400 | 517,544 | ||||||
Cahya Mata Sarawak Bhdc | 312,800 | 343,385 | ||||||
Carlsberg Brewery Malaysia Bhd | 88,100 | 415,647 | ||||||
DRB-Hicom Bhdc | 309,700 | 207,152 | ||||||
Eastern & Oriental Bhd | 452,481 | 166,345 | ||||||
Globetronics Technology BHDc | 123,500 | 195,481 | ||||||
Hengyuan Refining Co. Bhda | 46,300 | 155,555 | ||||||
IGB REITc | 957,100 | 376,292 | ||||||
Inari Amertron Bhdc | 648,700 | 559,767 | ||||||
Iskandar Waterfront City Bhda | 167,400 | 58,122 | ||||||
Karex Bhdc | 288,500 | 76,599 | ||||||
Kossan Rubber Industriesc | 125,500 | 274,581 | ||||||
KPJ Healthcare Bhd | 1,323,200 | 332,742 | ||||||
Lafarge Malaysia Bhda | 128,000 | 171,560 | ||||||
Magnum Bhd | 436,700 | 218,517 | ||||||
Mah Sing Group Bhd | 506,257 | 155,095 | ||||||
Malaysia Building Society Bhd | 578,600 | 180,212 | ||||||
Malaysian Pacific Industries Bhd | 66,600 | 155,746 | ||||||
Malaysian Resources Corp. Bhdc | 974,000 | 268,553 | ||||||
My EG Services Bhdc | 836,400 | 574,398 | ||||||
OSK Holdings Bhd | 771,480 | 204,835 | ||||||
Padini Holdings Bhd | 155,800 | 197,286 | ||||||
Pos Malaysia Bhdc | 168,200 | 170,476 | ||||||
QL Resources Bhdc | 394,730 | 497,821 | ||||||
Scientex BHD | 112,100 | 246,694 | ||||||
Serba Dinamik Holdings Bhdc | 270,600 | 254,227 | ||||||
Sunway Bhdc | 977,435 | 411,736 | ||||||
Sunway Construction Group Bhd | 507,720 | 311,087 | ||||||
Sunway REITc | 803,800 | 346,802 | ||||||
Supermax Corp. Bhd | 273,700 | 183,072 | ||||||
TIME dotCom Bhdc | 159,800 | 340,651 | ||||||
Top Glove Corp. Bhdc | 292,900 | 726,081 | ||||||
UMW Oil & Gas Corp. Bhda | 1,779,700 | 145,393 | ||||||
Unisem M Bhd | 302,700 | 209,425 | ||||||
VS Industry Bhdc | 471,700 | 356,454 | ||||||
WCT Holdings Bhda | 501,915 | 197,332 |
Security | Shares | Value | ||||||
Yinson Holdings BHD | 282,900 | $ | 306,951 | |||||
|
| |||||||
10,808,345 | ||||||||
MEXICO — 2.67% |
| |||||||
Alsea SAB de CV | 210,059 | 715,450 | ||||||
Axtel SAB de CV CPOa,c | 337,400 | 78,507 | ||||||
Banco del Bajio SAa,b | 286,100 | 622,484 | ||||||
Banregio Grupo Financiero SAB de CVc | 84,600 | 520,819 | ||||||
Bolsa Mexicana de Valores SAB de CV | 147,600 | 273,342 | ||||||
Concentradora Fibra Danhos SA de CV | 132,400 | 213,684 | ||||||
Concentradora Fibra Hotelera Mexicana SA de CVb | 347,500 | 193,393 | ||||||
Consorcio ARA SAB de CV | 461,700 | 179,375 | ||||||
Controladora Vuela Cia. de Aviacion SAB de CV Class Aa,c | 284,000 | 252,585 | ||||||
Corp Inmobiliaria Vesta SAB de CV | 215,400 | 295,694 | ||||||
Credito Real SAB de CV SOFOM ER | 110,800 | 153,453 | ||||||
Genomma Lab Internacional SAB de CV Series Ba,c | 293,100 | 316,760 | ||||||
Grupo Aeromexico SAB de CVa | 134,600 | 208,317 | ||||||
Grupo Aeroportuario del Centro Norte SAB de CV | 118,300 | 577,549 | ||||||
Grupo Comercial Chedraui SA de CV | 115,100 | 239,693 | ||||||
Grupo Financiero Interacciones SA de CV Series O | 40,000 | 186,463 | ||||||
Grupo Herdez SAB de CVc | 97,600 | 238,943 | ||||||
Industrias Bachoco SAB de CV Series B | 72,500 | 352,221 | ||||||
Industrias CH SAB de CV Series Ba,c | 67,600 | 295,022 | ||||||
La Comer SAB de CVa,c | 169,100 | 168,051 | ||||||
Macquarie Mexico Real Estate Management SA de CV | 333,100 | 352,397 | ||||||
Minera Frisco SAB de CV Series A1a | 303,000 | 184,527 | ||||||
PLA Administradora Industrial S. de RL de CV | 301,300 | 451,303 | ||||||
Prologis Property Mexico SA de CV | 144,800 | 271,457 | ||||||
Qualitas Controladora SAB de CV | 132,500 | 348,193 | ||||||
Rassini SAB de CV | 38,200 | 157,400 | ||||||
Telesites SAB de CVa,c | 514,900 | 405,545 | ||||||
TV Azteca SAB de CV CPOc | 515,100 | 75,079 | ||||||
Unifin Financiera SAB de CV SOFOM ENR | 60,800 | 215,944 | ||||||
Urbi Desarrollos Urbanos SAB de CVa | 1 | — | ||||||
|
| |||||||
8,543,650 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 65 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
PAKISTAN — 0.78% |
| |||||||
Bank Alfalah Ltd.a | 242,000 | $ | 103,613 | |||||
DG Khan Cement Co. Ltd. | 78,773 | 102,406 | ||||||
Engro Corp. Ltd./Pakistan | 99,100 | 269,523 | ||||||
Engro Fertilizers Ltd. | 171,500 | 107,326 | ||||||
Fauji Cement Co. Ltd. | 260,500 | 58,818 | ||||||
Fauji Fertilizer Co. Ltd. | 209,500 | 168,044 | ||||||
Honda Atlas Cars Pakistan Ltd. | 11,250 | 48,328 | ||||||
Hub Power Co. Ltd. (The) | 214,400 | 190,166 | ||||||
Indus Motor Co. Ltd. | 6,340 | 98,625 | ||||||
International Steels Ltd. | 66,500 | 72,374 | ||||||
Kot Addu Power Co. Ltd. | 161,000 | 87,065 | ||||||
Maple Leaf Cement Factory Ltd. | 91,037 | 55,588 | ||||||
Millat Tractors Ltd. | 11,430 | 142,191 | ||||||
National Bank of Pakistan | 156,500 | 66,284 | ||||||
National Refinery Ltd. | 10,700 | 41,323 | ||||||
Nishat Mills Ltd. | 57,564 | 83,082 | ||||||
Packages Ltd. | 16,500 | 83,671 | ||||||
Pak Elektron Ltd. | 100,300 | 44,341 | ||||||
Pakistan Oilfields Ltd. | 37,400 | 211,287 | ||||||
Pakistan State Oil Co. Ltd. | 61,798 | 166,468 | ||||||
Searle Co. Ltd. (The) | 37,750 | 123,442 | ||||||
SUI Northern Gas Pipeline | 97,200 | 101,196 | ||||||
Thal Ltd. | 18,000 | 78,969 | ||||||
|
| |||||||
2,504,130 | ||||||||
PERU — 0.09% |
| |||||||
Grana y Montero SAA SP ADRa | 112,588 | 275,841 | ||||||
|
| |||||||
275,841 | ||||||||
PHILIPPINES — 0.88% |
| |||||||
Bloomberry Resorts Corp.a | 1,600,400 | 442,507 | ||||||
Cebu Air Inc. | 97,610 | 187,986 | ||||||
Cosco Capital Inc. | 1,396,800 | 196,324 | ||||||
D&L Industries Inc. | 1,092,400 | 247,510 | ||||||
DoubleDragon Properties Corp.a | 280,910 | 172,602 | ||||||
Filinvest Land Inc. | 5,735,000 | 194,911 | ||||||
First Gen Corp. | 560,700 | 156,109 | ||||||
First Philippine Holdings Corp. | 159,270 | 190,372 | ||||||
Manila Water Co. Inc. | 579,100 | 289,105 | ||||||
Megawide Construction Corp. | 315,500 | 128,126 | ||||||
Melco Resorts And Entertainment (Philippines) Corp.a | 643,300 | 94,494 | ||||||
Petron Corp. | 880,600 | 155,390 | ||||||
Premium Leisure Corp. | 3,085,000 | 74,637 | ||||||
Vista Land & Lifescapes Inc. | 2,142,100 | 267,351 | ||||||
|
| |||||||
2,797,424 |
Security | Shares | Value | ||||||
POLAND — 0.92% |
| |||||||
Asseco Poland SA | 27,909 | $ | 384,907 | |||||
Boryszew SAa | 50,239 | 144,702 | ||||||
Budimex SA | 4,682 | 264,791 | ||||||
Ciech SAa | 12,557 | 212,719 | ||||||
Enea SA | 81,095 | 239,493 | ||||||
Energa SA | 83,540 | 254,027 | ||||||
Eurocash SA | 33,787 | 206,266 | ||||||
Globe Trade Centre SA | 81,895 | 213,894 | ||||||
KRUK SA | 6,549 | 405,162 | ||||||
Netia SA | 130,213 | 204,434 | ||||||
PKP Cargo SAa | 13,337 | 232,743 | ||||||
Warsaw Stock Exchange | 14,628 | 187,826 | ||||||
|
| |||||||
2,950,964 | ||||||||
QATAR — 0.41% |
| |||||||
Gulf International Services QSCa | 16,484 | 79,413 | ||||||
Gulf Warehousing Co. | 12,171 | 135,637 | ||||||
Medicare Group | 4,866 | 99,967 | ||||||
Qatar First Banka | 93,324 | 170,228 | ||||||
Qatar National Cement Co. QSC | 13,962 | 229,437 | ||||||
United Development Co. QSC | 71,777 | 324,365 | ||||||
Vodafone Qatar QSCa | 119,168 | 283,951 | ||||||
|
| |||||||
1,322,998 | ||||||||
RUSSIA — 0.71% |
| |||||||
Aeroflot PJSC | 189,456 | 476,017 | ||||||
Detsky Mir PJSCb | 125,200 | 201,263 | ||||||
DIXY Group OJSCa | 47,330 | 279,369 | ||||||
LSR Group PJSC GDRe | 101,119 | 310,435 | ||||||
M.Video PJSCa | 27,820 | 205,571 | ||||||
Mechel PJSC ADRa | 31,477 | 155,181 | ||||||
Ros Agro PLC GDRe | 12,868 | 131,543 | ||||||
Sistema PJSC FC GDRe | 65,168 | 281,526 | ||||||
TMK PJSC GDRe | 39,597 | 225,703 | ||||||
|
| |||||||
2,266,608 | ||||||||
SOUTH AFRICA — 5.74% |
| |||||||
Adcock Ingram Holdings Ltd. | 35,563 | 204,874 | ||||||
Advtech Ltd. | 190,329 | 273,309 | ||||||
AECI Ltd. | 48,237 | 462,438 | ||||||
African Rainbow Minerals Ltd. | 45,302 | 468,305 | ||||||
Alexander Forbes Group Holdings Ltd. | 315,729 | 184,563 | ||||||
ArcelorMittal South Africa Ltd.a | 87,694 | 22,288 | ||||||
Arrowhead Properties Ltd. Class A | 465,820 | 282,166 | ||||||
Ascendis Health Ltd. | 98,742 | 99,129 | ||||||
Assore Ltd. | 13,848 | 431,475 | ||||||
Astral Foods Ltd. | 17,373 | 419,469 |
66 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Attacq Ltd.a | 209,006 | $ | 334,480 | |||||
AVI Ltd. | 119,776 | 1,232,895 | ||||||
Barloworld Ltd. | 80,536 | 1,214,684 | ||||||
Blue Label Telecoms Ltd. | 180,416 | 198,700 | ||||||
Cashbuild Ltd. | 8,200 | 327,493 | ||||||
City Lodge Hotels Ltd. | 21,078 | 305,355 | ||||||
Clicks Group Ltd. | 91,957 | 1,316,982 | ||||||
Curro Holdings Ltd.a | 82,364 | 244,222 | ||||||
DataTec Ltd. | 67,328 | 142,599 | ||||||
Delta Property Fund Ltd. | 328,658 | 167,061 | ||||||
Dis-Chem Pharmacies Ltd.b | 107,203 | 312,879 | ||||||
Emira Property Fund Ltd. | 229,143 | 304,003 | ||||||
EOH Holdings Ltd. | 50,739 | 307,346 | ||||||
Famous Brands Ltd.a | 25,943 | 270,337 | ||||||
Grindrod Ltd.a | 171,521 | 200,819 | ||||||
Harmony Gold Mining Co. Ltd. | 158,019 | 316,205 | ||||||
Hosken Consolidated Investments Ltd. | 23,047 | 301,175 | ||||||
Hudaco Industries Ltd. | 14,028 | 187,773 | ||||||
Impala Platinum Holdings Ltd.a | 258,235 | 658,509 | ||||||
Invicta Holdings Ltd. | 27,043 | 127,451 | ||||||
JSE Ltd. | 30,750 | 531,441 | ||||||
KAP Industrial Holdings Ltd. | 588,503 | 438,744 | ||||||
Massmart Holdings Ltd. | 40,824 | 563,676 | ||||||
Metair Investments Ltd. | 89,178 | 180,113 | ||||||
Mpact Ltd. | 82,650 | 193,886 | ||||||
Murray & Roberts Holdings Ltd. | 155,859 | 147,359 | ||||||
Nampak Ltd.a | 212,109 | 285,178 | ||||||
Northam Platinum Ltd.a | 145,142 | 524,313 | ||||||
Oceana Group Ltd. | 20,752 | 142,405 | ||||||
Omnia Holdings Ltd. | 25,352 | 333,660 | ||||||
PPC Ltd.a | 563,804 | 398,836 | ||||||
Raubex Group Ltd. | 78,484 | 151,067 | ||||||
Reunert Ltd. | 65,130 | 422,107 | ||||||
SA Corporate Real Estate Ltd. | 878,184 | 348,186 | ||||||
Stadio Holdings Ltd.a,c | 97,284 | 55,632 | ||||||
Sun International Ltd./South Africaa | 46,416 | 259,532 | ||||||
Super Group Ltd./South Africaa | 128,402 | 427,182 | ||||||
Tongaat Hulett Ltd. | 42,029 | 384,336 | ||||||
Trencor Ltd. | 65,815 | 246,226 | ||||||
Vukile Property Fund Ltd. | 243,188 | 435,539 | ||||||
Wilson Bayly Holmes-Ovcon Ltd. | 20,895 | 306,988 | ||||||
Zeder Investments Ltd. | 454,751 | 248,493 | ||||||
|
| |||||||
18,343,883 | ||||||||
SOUTH KOREA — 16.27% |
| |||||||
Advanced Process Systems Corp.a | 7,296 | 219,304 |
Security | Shares | Value | ||||||
Ahnlab Inc. | 2,601 | $ | 177,259 | |||||
AK Holdings Inc. | 2,404 | 181,815 | ||||||
Amicogen Inc.a | 3,501 | 157,123 | ||||||
Aprogen pharmaceuticals Inc.a | 38,691 | 153,814 | ||||||
APS Holdings Corp.a | 1 | 8 | ||||||
Asiana Airlines Inc.a | 42,489 | 197,751 | ||||||
ATGen Co. Ltd.a | 8,800 | 172,278 | ||||||
BH Co. Ltd.a | 10,885 | 203,045 | ||||||
Binggrae Co. Ltd.a | 4,255 | 244,793 | ||||||
Bukwang Pharmaceutical Co. Ltd. | 12,915 | 284,442 | ||||||
Caregen Co. Ltd. | 1,849 | 146,841 | ||||||
Cell Biotech Co. Ltd. | 3,597 | 160,767 | ||||||
Celltrion Pharm Inc.a,c | 7,518 | 618,574 | ||||||
Chabiotech Co. Ltd.a,c | 23,345 | 703,864 | ||||||
Chong Kun Dang Pharmaceutical Corp. | 2,609 | 312,001 | ||||||
CJ CGV Co. Ltd. | 5,646 | 368,614 | ||||||
CJ Freshway Corp. | 3,800 | 128,784 | ||||||
CJ O Shopping Co. Ltd. | 1,445 | 281,287 | ||||||
CLIO Cosmetics Co. Ltd. | 2,969 | 91,573 | ||||||
CMG Pharmaceutical Co. Ltd.a,c | 32,397 | 210,316 | ||||||
Com2uSCorp. | 3,829 | 576,701 | ||||||
Cosmax Inc. | 2,883 | 340,774 | ||||||
CrystalGenomics Inc.a | 8,527 | 218,903 | ||||||
Dae Hwa Pharmaceutical Co. Ltd. | 5,128 | 127,857 | ||||||
Daeduck GDS Co. Ltd. | 6,709 | 123,288 | ||||||
Daesang Corp. | 9,522 | 214,551 | ||||||
Daewoong Pharmaceutical Co. Ltd. | 1,923 | 324,969 | ||||||
Daishin Securities Co. Ltd.a | 18,874 | 256,208 | ||||||
Daou Technology Inc. | 11,333 | 242,798 | ||||||
DB HiTek Co. Ltd. | 16,681 | 235,681 | ||||||
Dentium Co. Ltd.a | 3,052 | 215,604 | ||||||
DIO Corp.a | 4,298 | 149,630 | ||||||
Dong-A Socio Holdings Co. Ltd. | 1,724 | 210,943 | ||||||
Dong-A ST Co. Ltd. | 2,308 | 230,182 | ||||||
Dongjin Semichem Co. Ltd.a | 13,095 | 194,690 | ||||||
Dongkuk Steel Mill Co. Ltd. | 24,612 | 244,324 | ||||||
Dongwon Development Co. Ltd. | 42,711 | 184,783 | ||||||
Dongwon F&B Co. Ltd. | 568 | 124,573 | ||||||
Doosan Infracore Co. Ltd.a,c | 53,612 | 462,403 | ||||||
DoubleUGames Co. Ltd. | 4,015 | 229,503 | ||||||
Douzone Bizon Co. Ltd. | 9,339 | 478,636 | ||||||
Duk San Neolux Co. Ltd.a,c | 5,126 | 93,962 | ||||||
Easy Bio Inc.a,c | 26,374 | 182,906 | ||||||
Ecopro Co. Ltd.a | 7,562 | 244,758 | ||||||
Emerson Pacific Inc.a | 3,482 | 86,978 | ||||||
Eo Technics Co Ltd. | 3,531 | 260,203 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 67 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Fila Korea Ltd. | 4,880 | $ | 449,290 | |||||
Foosung Co. Ltd.a | 23,850 | 207,248 | ||||||
G-treeBNT Co. Ltd.a | 7,374 | 271,018 | ||||||
Gamevil Inc.a | 2,519 | 167,018 | ||||||
GemVax & Kael Co. Ltd.a | 14,174 | 197,643 | ||||||
Genexine Co. Ltd.a | 4,501 | 373,248 | ||||||
Grand Korea Leisure Co. Ltd.c | 13,396 | 287,614 | ||||||
Green Cross Cell Corp. | 5,010 | 242,427 | ||||||
Green Cross Corp./South Korea | 2,378 | 476,522 | ||||||
Green Cross Holdings Corp. | 9,729 | 369,251 | ||||||
GS Home Shopping Inc. | 1,506 | 280,784 | ||||||
Halla Holdings Corp. | 4,086 | 203,376 | ||||||
Hana Tour Service Inc. | 4,232 | 400,573 | ||||||
Hanall Biopharma Co. Ltd.a | 12,139 | 365,437 | ||||||
Handsome Co. Ltd. | 7,594 | 204,419 | ||||||
Hanil Cement Co. Ltd. | 1,346 | 158,477 | ||||||
Hanjin Heavy Industries & Construction Co. Ltd.a,c | 29,004 | 89,725 | ||||||
Hanjin Kal Corp.a | 18,200 | 341,176 | ||||||
Hanjin Transportation Co. Ltd. | 4,937 | 113,520 | ||||||
Hankook Tire Worldwide Co. Ltd. | 12,215 | 224,470 | ||||||
Hansae Co. Ltd. | 7,571 | 156,957 | ||||||
Hansol Chemical Co. Ltd. | 4,192 | 285,686 | ||||||
Hansol Technics Co. Ltd.a | 10,123 | 128,536 | ||||||
Hanwha Investment & Securities Co. Ltd.a | 44,915 | 128,785 | ||||||
Hite Jinro Co. Ltd.a | 12,238 | 248,625 | ||||||
HLB Inc.a | 11,456 | 422,102 | ||||||
Homecast Co. Ltd.a | 11,351 | 125,260 | ||||||
HS Industries Co. Ltd.a,c | 16,639 | 136,750 | ||||||
Huchems Fine Chemical Corp. | 12,029 | 298,253 | ||||||
Hugel Inc.a,c | 933 | 480,759 | ||||||
Humedix Co. Ltd. | 4,516 | 174,109 | ||||||
Huons Co. Ltd. | 2,792 | 243,130 | ||||||
Huons Global Co. Ltd. | 3,509 | 202,847 | ||||||
Hyundai Construction Equipment Co. Ltd.a | 2,358 | 370,173 | ||||||
Hyundai Electric & Energy System Co. Ltd.a | 2,283 | 190,795 | ||||||
Hyundai Elevator Co. Ltd.a | 6,700 | 363,182 | ||||||
Hyundai Greenfood Co. Ltd. | 20,950 | 284,389 | ||||||
Hyundai Home Shopping Network Corp. | 2,879 | 292,446 | ||||||
Hyundai Livart Furniture Co. Ltd. | 5,129 | 119,119 | ||||||
Hyundai Merchant Marine Co. Ltd.a | 88,925 | 358,443 | ||||||
Hyundai Mipo Dockyard Co. Ltd.a | 4,636 | 466,640 |
Security | Shares | Value | ||||||
Hyundai Rotem Co. Ltd.a | 11,154 | $ | 159,137 | |||||
Iljin Materials Co. Ltd.a,c | 7,434 | 223,796 | ||||||
Ilyang Pharmaceutical Co. Ltd.a | 7,200 | 255,647 | ||||||
InBody Co. Ltd. | 5,588 | 218,277 | ||||||
Innocean Worldwide Inc. | 3,752 | 223,478 | ||||||
Innox Advanced Materials Co. Ltd.a | 2,772 | 187,633 | ||||||
Interflex Co. Ltd.a | 4,759 | 122,172 | ||||||
Interojo Co. Ltd. | 5,579 | 207,622 | ||||||
iNtRON Biotechnology Inc.a | 4,801 | 179,334 | ||||||
IS Dongseo Co. Ltd.a | 7,838 | 245,367 | ||||||
It’s Hanbul Co. Ltd.a | 3,470 | 181,687 | ||||||
Jayjun Cosmetic Co. Ltd.a,c | 8,423 | 128,340 | ||||||
Jeil Pharmaceutical Co. Ltd. | 1,798 | 97,795 | ||||||
Jenax Inc.a | 6,917 | 210,467 | ||||||
Jusung Engineering Co. Ltd. | 16,693 | 179,586 | ||||||
JW Holdings Corp. | 15,364 | 116,624 | ||||||
JW Pharmaceutical Corp. | 4,865 | 191,383 | ||||||
KC Co. Ltd. | 3,944 | 91,052 | ||||||
KC Tech Co. Ltd./New | 5,774 | 107,173 | ||||||
KEPCO Engineering & Construction Co. Inc.a | 5,920 | 127,650 | ||||||
KIWOOM Securities Co. Ltd.a,c | 4,323 | 395,613 | ||||||
Koh Young Technology Inc. | 5,653 | 478,174 | ||||||
Kolmar BNH Co. Ltd.a | 5,464 | 166,761 | ||||||
Kolon Corp. | 2,810 | 144,276 | ||||||
Kolon Industries Inc. | 6,625 | 434,978 | ||||||
Kolon Life Science Inc.a | 2,984 | 249,103 | ||||||
Komipharm International Co. Ltd.a | 14,989 | 539,820 | ||||||
Korea Asset In Trust Co. Ltd. | 28,578 | 179,454 | ||||||
Korea Electric Terminal Co. Ltd. | 3,865 | 228,067 | ||||||
Korea Kolmar Co. Ltd.a | 5,556 | 398,140 | ||||||
Korea Kolmar Holdings Co. Ltd.a | 3,237 | 136,905 | ||||||
Korea Line Corp.a | 5,051 | 153,923 | ||||||
Korea Petrochemical Ind. Co Ltd. | 1,315 | 380,086 | ||||||
Korea REIT Co. Ltd. | 81,157 | 221,085 | ||||||
Korean Reinsurance Co. | 43,046 | 473,033 | ||||||
KT Skylife Co. Ltd. | 18,215 | 219,508 | ||||||
Kumho Tire Co. Inc.a | 44,038 | 227,734 | ||||||
Kyung Dong Navien Co. Ltd. | 2,806 | 162,208 | ||||||
L&F Co. Ltd. | 5,733 | 174,176 | ||||||
LEENO Industrial Inc. | 6,043 | 325,895 | ||||||
LF Corp. | 12,130 | 326,521 | ||||||
LG Hausys Ltd. | 2,973 | 230,889 | ||||||
LG International Corp. | 13,560 | 339,970 | ||||||
LIG Nex1 Co. Ltd.c | 4,538 | 205,339 | ||||||
Lock&Lock Co. Ltd. | 11,915 | 256,367 |
68 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Loen Entertainment Inc. | 2,925 | $ | 294,418 | |||||
LOTTE Fine Chemical Co. Ltd. | 7,396 | 482,184 | ||||||
Lotte Food Co. Ltd.a | 331 | 178,812 | ||||||
LOTTE Himart Co. Ltd. | 3,535 | 228,507 | ||||||
LS Corp. | 6,899 | 484,185 | ||||||
LS Industrial Systems Co. Ltd. | 6,495 | 334,676 | ||||||
Mando Corp.c | 2,544 | 604,931 | ||||||
Medipost Co. Ltd.a | 3,559 | 338,514 | ||||||
Meritz Financial Group Inc. | 24,142 | 350,013 | ||||||
Meritz Fire & Marine Insurance Co. Ltd. | 25,918 | 546,889 | ||||||
Meritz Securities Co. Ltd. | 158,771 | 716,222 | ||||||
Modetour Network Inc. | 6,566 | 242,534 | ||||||
Muhak Co. Ltd. | 10,040 | 173,375 | ||||||
Namhae Chemical Corp. | 25,749 | 292,467 | ||||||
Namyang Dairy Products Co. Ltd.a | 279 | 176,742 | ||||||
Naturalendo Tech Co. Ltd.a | 7,630 | 144,089 | ||||||
Nexen Tire Corp. | 23,962 | 263,319 | ||||||
NHN Entertainment Corp.a | 4,536 | 329,655 | ||||||
NHN KCP Corp.a | 9,210 | 157,341 | ||||||
NICE Holdings Co. Ltd.a | 9,666 | 133,444 | ||||||
NICE Information Service Co. Ltd.a | 17,135 | 146,049 | ||||||
NongShim Co. Ltd. | 1,203 | 343,270 | ||||||
NS Shopping Co. Ltd.c | 13,289 | 173,644 | ||||||
NUTRIBIOTECH Co. Ltd.a,c | 4,961 | 112,469 | ||||||
Orion Holdings Corp. | 9,167 | 215,863 | ||||||
Osstem Implant Co. Ltd.a | 4,993 | 231,460 | ||||||
Paradise Co. Ltd. | 17,811 | 300,989 | ||||||
Partron Co. Ltd.c | 18,208 | 156,876 | ||||||
Peptron Inc.a,c | 2,908 | 181,800 | ||||||
Poongsan Corp. | 8,646 | 343,716 | ||||||
POSCO Chemtech Co. Ltd. | 9,533 | 392,183 | ||||||
Posco ICT Co. Ltd. | 27,226 | 196,357 | ||||||
S&T Motiv Co. Ltd. | 4,463 | 182,781 | ||||||
Samsung Engineering Co. Ltd.a | 49,040 | 726,837 | ||||||
Samyang Corp. | 2,297 | 189,631 | ||||||
Samyang Foods Co. Ltd. | 1,973 | 176,366 | ||||||
Samyang Holdings Corp. | 1,496 | 154,035 | ||||||
Seah Besteel Corp. | 7,851 | 206,624 | ||||||
Seegene Inc.a | 7,800 | 247,059 | ||||||
Seoul Semiconductor Co. Ltd. | 15,574 | 343,005 | ||||||
SFA Engineering Corp. | 8,170 | 282,544 | ||||||
Silicon Works Co. Ltd.c | 4,995 | 201,802 | ||||||
SK Chemicals Co. Ltd./Newa | 3,449 | 347,161 | ||||||
SK Discovery Co. Ltd. | 4,015 | 166,844 | ||||||
SK Gas Ltd. | 1,925 | 167,453 |
Security | Shares | Value | ||||||
SK Materials Co. Ltd. | 2,457 | $ | 380,723 | |||||
SK Securities Co. Ltd.a | 167,980 | 186,145 | ||||||
SKC Co. Ltd. | 9,366 | 339,473 | ||||||
SKCKOLONPI Inc. | 5,197 | 191,246 | ||||||
SM Entertainment Co.a | 8,760 | 297,285 | ||||||
Songwon Industrial Co. Ltd. | 7,156 | 158,266 | ||||||
Soulbrain Co. Ltd.c | 3,654 | 196,383 | ||||||
SPC Samlip Co. Ltd.a | 1,078 | 132,896 | ||||||
Ssangyong Cement Industrial Co. Ltd. | 12,427 | 239,841 | ||||||
Sungwoo Hitech Co. Ltd. | 30,616 | 196,209 | ||||||
Taekwang Industrial Co. Ltd. | 194 | 236,118 | ||||||
Taewoong Co. Ltd.a | 5,056 | 101,083 | ||||||
TELCON Inc.a,c | 21,941 | 248,201 | ||||||
TES Co. Ltd./Korea | 6,378 | 197,012 | ||||||
Tokai Carbon Korea Co. Ltd. | 2,313 | 158,486 | ||||||
Tongyang Inc.a | 98,720 | 185,060 | ||||||
Tongyang Life Insurance Co. Ltd. | 21,548 | 143,070 | ||||||
Toptec Co. Ltd.a | 9,253 | 250,358 | ||||||
Vieworks Co. Ltd. | 3,782 | 146,160 | ||||||
ViroMed Co. Ltd.a | 5,277 | 1,140,288 | ||||||
Webzen Inc.a | 7,487 | 183,217 | ||||||
WeMade Entertainment Co. Ltd. | 4,310 | 214,525 | ||||||
WONIK IPS Co. Ltd. | 11,369 | 373,752 | ||||||
Youngone Corp. | 10,424 | 281,561 | ||||||
Yuanta Securities Korea Co. Ltd.a | 38,896 | 162,351 | ||||||
Yungjin Pharmaceutical Co. Ltd.a | 36,504 | 295,969 | ||||||
|
| |||||||
51,967,341 | ||||||||
TAIWAN — 17.42% |
| |||||||
A-DATA Technology Co. Ltd. | 92,000 | 231,611 | ||||||
AcBel Polytech Inc. | 256,000 | 188,084 | ||||||
Accton Technology Corp. | 187,000 | 717,371 | ||||||
Advanced Ceramic X Corp. | 18,000 | 217,945 | ||||||
Advanced Wireless Semiconductor Co. | 69,000 | 160,473 | ||||||
AmTRAN Technology Co. Ltd. | 388,312 | 226,107 | ||||||
Ardentec Corp. | 171,000 | 208,219 | ||||||
Asia Optical Co. Inc. | 93,000 | 350,396 | ||||||
Asia Polymer Corp. | 509,869 | 313,478 | ||||||
ASPEED Technology Inc. | 9,000 | 237,674 | ||||||
Basso Industry Corp. | 56,000 | 118,539 | ||||||
BES Engineering Corp. | 924,000 | 238,315 | ||||||
Bizlink Holding Inc. | 41,770 | 380,566 | ||||||
Casetek Holdings Ltd. | 74,816 | 246,521 | ||||||
Cathay Real Estate Development Co. Ltd. | 302,300 | 164,634 | ||||||
Charoen Pokphand Enterprise | 66,000 | 151,914 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 69 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Chaun-Choung Technology Corp. | 26,000 | $ | 83,266 | |||||
Cheng Loong Corp. | 414,000 | 239,647 | ||||||
Cheng Uei Precision Industry Co. Ltd. | 179,000 | 258,732 | ||||||
Chilisin Electronics Corp. | 60,000 | 197,702 | ||||||
Chin-Poon Industrial Co. Ltd. | 145,000 | 273,159 | ||||||
China Bills Finance Corp. | 661,000 | 346,399 | ||||||
China Man-Made Fiber Corp.a | 663,700 | 220,055 | ||||||
China Petrochemical Development Corp.a | 869,000 | 400,337 | ||||||
China Steel Chemical Corp. | 71,000 | 361,134 | ||||||
China Synthetic Rubber Corp. | 284,233 | 486,775 | ||||||
Chipbond Technology Corp. | 255,000 | 598,294 | ||||||
Chlitina Holding Ltd. | 20,000 | 102,071 | ||||||
Chong Hong Construction Co. Ltd. | 81,424 | 231,481 | ||||||
Chroma ATE Inc. | 138,000 | 756,281 | ||||||
Chunghwa Precision Test Tech Co. Ltd. | 7,000 | 254,149 | ||||||
Compeq Manufacturing Co. Ltd. | 392,000 | 456,509 | ||||||
Concraft Holding Co. Ltd. | 15,528 | 139,082 | ||||||
Coretronic Corp. | 185,400 | 284,811 | ||||||
CSBC Corp. Taiwana | 389,420 | 183,402 | ||||||
CTCI Corp. | 257,000 | 396,123 | ||||||
Cub Elecparts Inc. | 20,600 | 243,075 | ||||||
Darwin Precisions Corp. | 137,000 | 140,306 | ||||||
E Ink Holdings Inc. | 312,000 | 504,941 | ||||||
Egis Technology Inc.a | 27,000 | 150,742 | ||||||
Elan Microelectronics Corp. | 190,000 | 294,806 | ||||||
Elite Advanced Laser Corp. | 57,840 | 243,679 | ||||||
Elite Material Co. Ltd. | 106,000 | 397,561 | ||||||
Elite Semiconductor Memory Technology Inc. | 120,000 | 173,040 | ||||||
Ennoconn Corp. | 20,000 | 340,463 | ||||||
Epistar Corp.a | 372,000 | 672,761 | ||||||
Eternal Materials Co. Ltd. | 480,532 | 511,878 | ||||||
Everlight Electronics Co. Ltd. | 183,000 | 288,959 | ||||||
Far Eastern Department Stores Ltd. | 587,000 | 319,683 | ||||||
Far Eastern International Bank | 1,006,360 | 332,633 | ||||||
Faraday Technology Corp. | 121,000 | 281,410 | ||||||
Feng Hsin Steel Co. Ltd. | 220,000 | 463,428 | ||||||
Firich Enterprises Co. Ltd. | 95,267 | 136,560 | ||||||
FLEXium Interconnect Inc. | 112,418 | 431,259 | ||||||
Foxsemicon Integrated Technology Inc. | 22,000 | 179,343 | ||||||
Genius Electronic Optical Co. Ltd.a | 22,000 | 183,864 | ||||||
Getac Technology Corp. | 199,000 | 293,093 |
Security | Shares | Value | ||||||
Gigabyte Technology Co. Ltd. | 229,000 | $ | 551,410 | |||||
Ginko International Co. Ltd. | 18,000 | 132,863 | ||||||
Gintech Energy Corp.a | 258,647 | 147,948 | ||||||
Global Unichip Corp. | 37,000 | 392,869 | ||||||
Gloria Material Technology Corp. | 330,850 | 228,911 | ||||||
Goldsun Building Materials Co. Ltd.a | 623,000 | 201,866 | ||||||
Gourmet Master Co. Ltd. | 29,070 | 407,242 | ||||||
Grand Pacific Petrochemical | 350,000 | 350,054 | ||||||
Grape King Bio Ltd. | 42,000 | 310,733 | ||||||
Great Wall Enterprise Co. Ltd. | 256,128 | 297,839 | ||||||
Greatek Electronics Inc. | 192,000 | 373,537 | ||||||
HannStar Display Corp. | 970,320 | 334,014 | ||||||
Ho Tung Chemical Corp.a | 927,342 | 287,139 | ||||||
Holy Stone Enterprise Co. Ltd. | 67,050 | 214,272 | ||||||
Hota Industrial Manufacturing Co. Ltd. | 87,192 | 386,750 | ||||||
Hu Lane Associate Inc. | 35,000 | 172,030 | ||||||
Huaku Development Co. Ltd. | 132,080 | 325,275 | ||||||
Huang Hsiang Construction Corp. | 75,000 | 76,039 | ||||||
Hung Sheng Construction Ltd. | 371,000 | 371,057 | ||||||
International Games System Co. Ltd. | 22,000 | 116,045 | ||||||
Iron Force Industrial Co. Ltd. | 24,000 | 82,615 | ||||||
ITEQ Corp. | 115,600 | 302,903 | ||||||
Jih Sun Financial Holdings Co. Ltd. | 669,690 | 196,121 | ||||||
Kenda Rubber Industrial Co. Ltd. | 342,341 | 425,647 | ||||||
Kerry TJ Logistics Co. Ltd. | 193,000 | 254,178 | ||||||
Kindom Construction Corp. | 209,000 | 151,047 | ||||||
King Slide Works Co. Ltd. | 26,000 | 379,374 | ||||||
King Yuan Electronics Co. Ltd. | 492,000 | 530,835 | ||||||
King’s Town Bank Co. Ltd. | 355,000 | 479,689 | ||||||
Kinpo Electronics | 710,000 | 251,700 | ||||||
Kinsus Interconnect Technology Corp. | 114,000 | 198,750 | ||||||
LandMark Optoelectronics Corp. | 18,400 | 235,392 | ||||||
LCY Chemical Corp. | 217,000 | 331,496 | ||||||
Lealea Enterprise Co. Ltd.a | 541,590 | 215,185 | ||||||
Li Cheng Enterprise Co. Ltd. | 42,240 | 79,719 | ||||||
Lien Hwa Industrial Corp. | 343,904 | 446,437 | ||||||
Long Chen Paper Co. Ltd. | 258,751 | 323,932 | ||||||
Lotes Co. Ltd. | 24,000 | 164,409 | ||||||
Makalot Industrial Co. Ltd. | 69,559 | 328,788 | ||||||
Masterlink Securities Corp. | 898,121 | 281,783 | ||||||
Mercuries & Associates Holding Ltd. | 311,330 | 264,458 | ||||||
Merida Industry Co. Ltd. | 79,000 | 347,708 | ||||||
Merry Electronics Co. Ltd. | 63,000 | 414,310 | ||||||
Microbio Co. Ltd.a | 285,727 | 202,095 | ||||||
Mitac Holdings Corp. | 346,379 | 384,991 | ||||||
Motech Industries Inc.a | 212,344 | 158,555 |
70 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Nan Kang Rubber Tire Co. Ltd. | 370,000 | $ | 340,275 | |||||
Neo Solar Power Corp.a | 425,364 | 199,602 | ||||||
OBI Pharma Inc.a | 44,000 | 257,711 | ||||||
Oriental Union Chemical Corp. | 235,000 | 259,989 | ||||||
Pan-International Industrial Corp. | 140,722 | 107,004 | ||||||
Parade Technologies Ltd. | 25,000 | 475,244 | ||||||
PChome Online Inc. | 39,305 | 218,096 | ||||||
PharmaEngine Inc. | 34,756 | 154,759 | ||||||
PharmaEssentia Corp.a | 55,000 | 324,964 | ||||||
Pharmally International Holding Co. Ltd. | 14,851 | 193,805 | ||||||
Pixart Imaging Inc. | 59,635 | 264,518 | ||||||
Poya International Co. Ltd. | 23,453 | 303,249 | ||||||
President Securities Corp.a | 524,741 | 265,107 | ||||||
Primax Electronics Ltd. | 179,000 | 459,831 | ||||||
Prince Housing & Development Corp. | 536,917 | 218,846 | ||||||
Qisda Corp. | 741,000 | 516,496 | ||||||
Radiant Opto-Electronics Corp. | 170,000 | 480,382 | ||||||
Radium Life Tech Co. Ltd.a | 501,707 | 212,227 | ||||||
Ritek Corp.a | 928,260 | 166,922 | ||||||
Roo Hsing Co. Ltd.a | 386,000 | 239,965 | ||||||
Sanyang Motor Co. Ltd. | 410,820 | 297,609 | ||||||
ScinoPharm Taiwan Ltd. | 128,708 | 141,733 | ||||||
SDI Corp. | 59,000 | 155,202 | ||||||
Senao International Co. Ltd. | 115,000 | 203,250 | ||||||
Sercomm Corp. | 117,000 | 340,234 | ||||||
Shin Zu Shing Co. Ltd. | 61,000 | 189,296 | ||||||
Shining Building Business Co. Ltd.a | 487,858 | 178,797 | ||||||
Shinkong Synthetic Fibers Corp. | 773,135 | 249,719 | ||||||
Silergy Corp. | 25,000 | 556,593 | ||||||
Simplo Technology Co. Ltd. | 62,600 | 396,671 | ||||||
Sino-American Silicon Products Inc. | 207,000 | 636,694 | ||||||
Sinyi Realty Inc. | 150,588 | 203,996 | ||||||
Sitronix Technology Corp. | 61,000 | 175,298 | ||||||
Soft-World International Corp. | 65,140 | 148,819 | ||||||
St. Shine Optical Co. Ltd. | 17,000 | 526,382 | ||||||
Sunny Friend Environmental Technology Co. Ltd. | 30,000 | 239,934 | ||||||
Sunonwealth Electric Machine Industry Co. Ltd. | 141,000 | 245,339 | ||||||
TA Chen Stainless Pipe | 393,010 | 339,225 | ||||||
Taichung Commercial Bank Co. Ltd. | 1,545,014 | 537,134 | ||||||
Tainan Spinning Co. Ltd. | 466,190 | 213,969 | ||||||
Taiwan Acceptance Corp. | 46,000 | 178,041 | ||||||
Taiwan Fertilizer Co. Ltd. | 383,000 | 510,964 |
Security | Shares | Value | ||||||
Taiwan Glass Industry Corp.a | 430,000 | $ | 264,373 | |||||
Taiwan Hon Chuan Enterprise Co. Ltd. | 167,004 | 314,611 | ||||||
Taiwan Paiho Ltd. | 92,050 | 307,406 | ||||||
Taiwan Secom Co. Ltd. | 169,450 | 527,581 | ||||||
Taiwan Semiconductor Co. Ltd. | 93,000 | 226,165 | ||||||
Taiwan Shin Kong Security Co. Ltd. | 308,640 | 404,888 | ||||||
Taiwan Surface Mounting Technology Corp. | 367,633 | 372,097 | ||||||
Taiwan TEA Corp. | 456,000 | 232,721 | ||||||
Taiwan Union Technology Corp. | 76,000 | 243,133 | ||||||
Tatung Co. Ltd.a | 726,000 | 629,131 | ||||||
TCI Co. Ltd. | 23,000 | 259,972 | ||||||
Ton Yi Industrial Corp. | 564,000 | 260,794 | ||||||
Tong Hsing Electronic Industries Ltd. | 59,000 | 229,368 | ||||||
Tong Yang Industry Co. Ltd. | 149,133 | 268,174 | ||||||
Toung Loong Textile Manufacturing | 61,000 | 154,613 | ||||||
TPK Holding Co. Ltd.a | 116,000 | 288,455 | ||||||
Tripod Technology Corp. | 171,000 | 572,235 | ||||||
TSRC Corp. | 239,000 | 270,554 | ||||||
TTY Biopharm Co. Ltd. | 89,450 | 300,255 | ||||||
Tung Ho Steel Enterprise Corp. | 392,000 | 339,696 | ||||||
Tung Thih Electronic Co. Ltd. | 22,000 | 111,147 | ||||||
TWi Pharmaceuticals Inc.a | 38,000 | 97,227 | ||||||
TXC Corp. | 179,000 | 242,178 | ||||||
U-Ming Marine Transport Corp. | 172,000 | 219,746 | ||||||
Unimicron Technology Corp. | 487,000 | 336,949 | ||||||
UPC Technology Corp. | 397,202 | 251,010 | ||||||
USI Corp. | 474,089 | 248,448 | ||||||
Visual Photonics Epitaxy Co. Ltd. | 94,425 | 362,234 | ||||||
Voltronic Power Technology Corp. | 19,077 | 326,385 | ||||||
Wafer Works Corp.a | 166,000 | 257,567 | ||||||
Wah Lee Industrial Corp. | 192,000 | 372,222 | ||||||
Walsin Lihwa Corp. | 1,071,000 | 621,789 | ||||||
Walsin Technology Corp. | 122,603 | 362,826 | ||||||
Waterland Financial Holdings Co. Ltd. | 1,015,097 | 347,690 | ||||||
Win Semiconductors Corp. | 1 | 9 | ||||||
Wistron NeWeb Corp. | 121,923 | 340,769 | ||||||
Wowprime Corp. | 23,000 | 101,231 | ||||||
WT Microelectronics Co. Ltd. | 206,757 | 333,199 | ||||||
XinTec Inc.a | 61,000 | 119,512 | ||||||
Yang Ming Marine Transport Corp.a | 476,820 | 169,852 | ||||||
Yeong Guan Energy Technology Group Co. Ltd. | 52,601 | 140,531 | ||||||
YFY Inc.a | 668,000 | 321,467 |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 71 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Yieh Phui Enterprise Co. Ltd. | 590,342 | $ | 233,545 | |||||
YungShin Global Holding Corp. | 224,200 | 311,010 | ||||||
Yungtay Engineering Co. Ltd. | 182,000 | 372,160 | ||||||
Zinwell Corp. | 150,000 | 138,206 | ||||||
|
| |||||||
55,643,772 | ||||||||
THAILAND — 3.65% |
| |||||||
Amata Corp. PCL NVDR | 394,400 | 317,254 | ||||||
Bangchak Corp. PCL NVDR | 218,600 | 282,042 | ||||||
Bangkok Airways PCL NVDRc | 569,100 | 270,137 | ||||||
Bangkok Chain Hospital PCL NVDR | 569,100 | 288,267 | ||||||
Bangkok Land PCL NVDRc | 9,849,500 | 552,250 | ||||||
Beauty Community PCL NVDRc | 846,100 | 574,130 | ||||||
CH Karnchang PCL NVDRc | 332,000 | 269,704 | ||||||
Chularat Hospital PCL NVDR | 2,732,500 | 177,582 | ||||||
Eastern Polymer Group PCL NVDRc | 662,400 | 154,046 | ||||||
Esso Thailand PCL NVDRa | 572,100 | 324,415 | ||||||
GFPT PCL NVDRc | 308,200 | 128,621 | ||||||
Group Lease PCLc | 406,900 | 116,664 | ||||||
Gunkul Engineering PCL NVDRc | 1,556,883 | 192,440 | ||||||
Hana Microelectronics PCL NVDR | 245,900 | 323,140 | ||||||
Italian-Thai Development PCL NVDRc | 1,592,800 | 171,509 | ||||||
Jasmine International PCL NVDR | 1,022,700 | 224,805 | ||||||
Khon Kaen Sugar Industry PCL NVDRc | 806,530 | 98,664 | ||||||
Kiatnakin Bank PCL NVDR | 169,732 | 421,762 | ||||||
Krungthai Card PCL NVDRc | 53,800 | 454,189 | ||||||
LPN Development PCL NVDRc | 494,200 | 162,162 | ||||||
Major Cineplex Group PCL NVDRc | 297,400 | 251,070 | ||||||
Malee Group PCLc | 65,800 | 48,422 | ||||||
Muangthai Leasing PCL NVDRc | 269,400 | 371,187 | ||||||
PTG Energy PCL NVDRc | 287,700 | 164,060 | ||||||
Quality Houses PCL NVDR | 3,294,367 | 312,750 | ||||||
Samart Corp. PCL NVDRc | 274,300 | 74,277 | ||||||
Siam Global House PCL NVDRc | 619,795 | 323,818 | ||||||
Sino-Thai Engineering & Construction PCL NVDR | 385,028 | 245,319 | ||||||
Sri Trang Agro-Industry PCL NVDRc | 337,680 | 122,636 | ||||||
Srisawad Corp PCL NVDRc | 232,525 | 455,568 | ||||||
Supalai PCL NVDRc | 391,500 | 288,106 | ||||||
Superblock PCL NVDRa,c | 6,014,500 | 197,354 | ||||||
Taokaenoi Food & Marketing PCLc | 185,500 | 117,600 | ||||||
Thai Airways International PCL NVDRa | 272,000 | 130,844 | ||||||
Thai Vegetable Oil PCL NVDRc | 217,400 | 218,162 | ||||||
Thaicom PCL NVDRc | 294,400 | 100,353 |
Security | Shares | Value | ||||||
Thanachart Capital PCL NVDR | 286,900 | $ | 509,547 | |||||
Tisco Financial Group PCL NVDR | 144,940 | 408,639 | ||||||
TTW PCL NVDR | 922,400 | 390,822 | ||||||
U City PCL NVDRa | 233,765,100 | 223,414 | ||||||
VGI Global Media PCL NVDRc | 1,106,100 | 237,852 | ||||||
Vibhavadi Medical Center PCL NVDR | 3,912,500 | 316,590 | ||||||
WHA Corp. PCL NVDR | 3,459,300 | 454,040 | ||||||
Workpoint Entertainment PCLc | 72,100 | 185,475 | ||||||
|
| |||||||
11,651,688 | ||||||||
TURKEY — 1.26% |
| |||||||
AG Anadolu Grubu Holding AS | 25,632 | 196,763 | ||||||
Akcansa Cimento ASc | 66,237 | 189,326 | ||||||
Aksa Akrilik Kimya Sanayii AS | 52,321 | 211,678 | ||||||
Aygaz AS | 56,488 | 231,654 | ||||||
Besiktas Futbol Yatirimlari Sanayi ve Ticaret ASa | 66,687 | 66,924 | ||||||
Cimsa Cimento Sanayi VE Ticaret ASc | 61,186 | 215,717 | ||||||
Dogan Sirketler Grubu Holding ASa,c | 586,450 | 123,254 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Da | 407,262 | 368,055 | ||||||
Koza Altin Isletmeleri ASa | 18,110 | 155,958 | ||||||
Koza Anadolu Metal Madencilik Isletmeleri ASa,c | 92,189 | 131,994 | ||||||
Logo Yazilim Sanayi Ve Ticaret ASa | 9,999 | 143,689 | ||||||
Mavi Giyim Sanayi Ve Ticaret AS Class Ba,b | 12,402 | 173,822 | ||||||
Otokar Otomotiv Ve Savunma Sanayi ASc | 4,679 | 146,278 | ||||||
Soda Sanayii AS | 228,848 | 304,814 | ||||||
Tekfen Holding AS | 72,553 | 346,330 | ||||||
Trakya Cam Sanayii AS | 280,275 | 357,113 | ||||||
Turkiye Sinai Kalkinma Bankasi AS | 665,621 | 295,525 | ||||||
Vestel Elektronik Sanayi ve Ticaret ASa,c | 41,661 | 118,752 | ||||||
Zorlu Enerji Elektrik Uretim ASa,c | 412,342 | 235,070 | ||||||
|
| |||||||
4,012,716 | ||||||||
UNITED ARAB EMIRATES — 0.53% |
| |||||||
Agthia Group PJSC | 87,504 | 104,587 | ||||||
Air Arabia PJSC | 875,240 | 312,164 | ||||||
Al Waha Capital PJSC | 432,843 | 253,369 | ||||||
Amanat Holdings PJSC | 463,105 | 185,345 |
72 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Security | Shares | Value | ||||||
Amlak Finance PJSCa | 308,665 | $ | 76,474 | |||||
Arabtec Holding PJSCa | 257,024 | 172,145 | ||||||
Dana Gas PJSCa | 1,333,646 | 272,325 | ||||||
Deyaar Development PJSCa | 885,649 | 127,315 | ||||||
Drake & Scull International PJSCa | 228,391 | 114,415 | ||||||
Eshraq Properties Co. PJSCa | 438,307 | 87,114 | ||||||
|
| |||||||
1,705,253 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $269,385,208) |
| 313,528,613 | ||||||
PREFERRED STOCKS — 1.56% |
| |||||||
BRAZIL — 1.51% |
| |||||||
Alpargatas SA, Preference Shares | 62,300 | 328,495 | ||||||
Banco ABC Brasil SA, Preference Shares | 32,736 | 189,841 | ||||||
Banco do Estado do Rio Grande do Sul SA Class B, Preference Shares | 68,800 | 384,369 | ||||||
Bradespar SA, Preference Shares | 89,200 | 938,196 | ||||||
Cia. de Gas de Sao Paulo – COMGAS, Preference Shares | 10,500 | 190,398 | ||||||
Cia. de Saneamento do Parana, Preference Shares | 53,400 | 169,795 | ||||||
Cia. Energetica de Sao Paulo Class B, Preference Shares | 76,100 | 356,051 | ||||||
Cia. Paranaense de Energia Class B, Preference Shares | 41,800 | 326,165 | ||||||
Gol Linhas Aereas Inteligentes SA, Preference Shares | 41,000 | 242,309 | ||||||
Marcopolo SA, Preference Shares | 211,500 | 266,267 | ||||||
Metalurgica Gerdau SA, Preference Shares | 254,800 | 618,030 | ||||||
Randon SA Implemetos e Participacoes, Preference Shares | 69,525 | 198,169 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A, Preference Shares | 165,000 | 625,718 | ||||||
|
| |||||||
4,833,803 | ||||||||
COLOMBIA — 0.05% |
| |||||||
Avianca Holdings SA, Preference Shares | 147,154 | 170,063 | ||||||
|
| |||||||
170,063 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $3,199,075) |
| 5,003,866 |
Security | Shares | Value | ||||||
RIGHTS — 0.00% |
| |||||||
THAILAND — 0.00% |
| |||||||
U City PCL (Expires 03/07/18) NVDRa | 187,012,080 | $ | 60 | |||||
|
| |||||||
60 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 60 | ||||||
SHORT-TERM INVESTMENTS — 8.75% |
| |||||||
MONEY MARKET FUNDS — 8.75% |
| |||||||
BlackRock Cash Funds: Institutional, | ||||||||
1.58%f,g,h | 27,738,009 | 27,740,783 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%f,g | 205,984 | 205,984 | ||||||
|
| |||||||
27,946,767 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $27,946,143) |
| 27,946,767 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $300,530,426) |
| 346,479,306 | ||||||
Other Assets, Less Liabilities — (8.47)% |
| (27,066,538 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 319,412,768 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
f | Affiliate of the Fund. |
g | Annualized 7-day yield as of period end. |
h | All or a portion of this security was purchased with cash collateral received from loaned securities. |
CONSOLIDATED SCHEDULESOF INVESTMENTS | 73 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS SMALL-CAP ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 25,015,086 | 2,722,923 | b | — | 27,738,009 | $ | 27,740,783 | $ | 725,558 | c | $ | (2,648 | ) | $ | (3,860 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 579,280 | — | (373,296 | )b | 205,984 | 205,984 | 3,340 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 27,946,767 | $ | 728,898 | $ | (2,648 | ) | $ | (3,860 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 312,079,310 | $ | 1,367,534 | $ | 81,769 | $ | 313,528,613 | ||||||||
Preferred stocks | 5,003,866 | — | — | 5,003,866 | ||||||||||||
Rights | — | 60 | — | 60 | ||||||||||||
Money market funds | 27,946,767 | — | — | 27,946,767 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 345,029,943 | $ | 1,367,594 | $ | 81,769 | $ | 346,479,306 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to consolidated financial statements.
74 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares Core MSCI Emerging Markets ETF | iShares MSCI BRIC ETF | iShares MSCI Emerging Markets | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 38,842,978,987 | $ | 267,151,158 | $ | 506,414,885 | ||||||
Affiliated (Note 2) | 2,821,074,522 | 30,151,750 | 14,936,072 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 41,664,053,509 | $ | 297,302,908 | $ | 521,350,957 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 48,543,050,023 | $ | 341,714,415 | $ | 626,788,905 | ||||||
Affiliated (Note 2) | 2,821,133,128 | 30,152,382 | 14,935,775 | |||||||||
Foreign currency, at valueb | 28,124,982 | 259,932 | 96,534 | |||||||||
Cash pledged to broker for futures contracts | 3,548,719 | — | — | |||||||||
Cash | 40,539,930 | 764,471 | 1,171,482 | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 151,259,129 | 1,453,744 | 3,303,853 | |||||||||
Due from custodian (Note 4) | 10,853,677 | — | — | |||||||||
Dividends and interest | 126,048,450 | 652,545 | 1,586,255 | |||||||||
Capital shares sold | 33,138,660 | — | — | |||||||||
Futures variation margin | 2,453,352 | — | — | |||||||||
Tax reclaims | 21,764 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 51,760,171,814 | 374,997,489 | 647,882,804 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 231,813,076 | 1,345,818 | 3,238,058 | |||||||||
Collateral for securities on loan (Note 1) | 2,748,630,533 | 30,152,447 | 14,937,791 | |||||||||
Line of credit (Note 8) | — | 400,030 | 375,028 | |||||||||
Foreign taxes (Note 1) | 451,713 | — | 70 | |||||||||
Deferred foreign capital gains taxes (Note 1) | 40,362,900 | 548,571 | 596,473 | |||||||||
Investment advisory fees (Note 2) | 4,763,675 | 170,382 | 242,104 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 3,026,021,897 | 32,617,248 | 19,389,524 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 48,734,149,917 | $ | 342,380,241 | $ | 628,493,280 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 40,291,357,016 | $ | 498,923,576 | $ | 531,292,985 | ||||||
Distributions in excess of net investment income | (93,494,886 | ) | (281,380 | ) | (2,276,296 | ) | ||||||
Accumulated net realized loss | (1,125,560,465 | ) | (230,279,615 | ) | (20,287,966 | ) | ||||||
Net unrealized appreciation | 9,661,848,252 | 74,017,660 | 119,764,557 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 48,734,149,917 | $ | 342,380,241 | $ | 628,493,280 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 832,200,000 | 7,250,000 | 8,350,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 58.56 | $ | 47.22 | $ | 75.27 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $2,610,787,582, $29,121,733 and $13,070,731, respectively. See Note 1. |
b | Cost of foreign currency: $28,022,600, $259,230 and $96,711, respectively. |
c | $0.001 par value, number of shares authorized: 2.05 billion, 500 million and 500 million, respectively. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 75 |
Table of Contents
Consolidated Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Emerging Markets Small-Cap ETF | ||||
ASSETS | ||||
Investments in securities, at cost: | ||||
Unaffiliated | $ | 272,584,283 | ||
Affiliated (Note 2) | 27,946,143 | |||
|
| |||
Total cost of investments in securities | $ | 300,530,426 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 318,532,539 | ||
Affiliated (Note 2) | 27,946,767 | |||
Foreign currency, at valueb | 470,332 | |||
Receivables: |
| |||
Investment securities sold | 1,583,012 | |||
Dividends and interest | 612,493 | |||
|
| |||
Total Assets | 349,145,143 | |||
|
| |||
LIABILITIES | ||||
Payables: |
| |||
Investment securities purchased | 1,630,905 | |||
Collateral for securities on loan (Note 1) | 27,743,460 | |||
Foreign taxes (Note 1) | 658 | |||
Deferred foreign capital gains taxes (Note 1) | 198,708 | |||
Investment advisory fees (Note 2) | 158,644 | |||
|
| |||
Total Liabilities | 29,732,375 | |||
|
| |||
NET ASSETS | $ | 319,412,768 | ||
|
| |||
Net assets consist of: |
| |||
Paid-in capital | $ | 282,334,723 | ||
Distributions in excess of net investment income | (2,097,838 | ) | ||
Accumulated net realized loss | (6,571,046 | ) | ||
Net unrealized appreciation | 45,746,929 | |||
|
| |||
NET ASSETS | $ | 319,412,768 | ||
|
| |||
Shares outstandingc | 5,950,000 | |||
|
| |||
Net asset value per share | $ | 53.68 | ||
|
|
a | Securities on loan with a value of $25,722,804. See Note 1. |
b | Cost of foreign currency: $471,325. |
c | $0.001 par value, number of shares authorized: 500 million. |
See notes to consolidated financial statements.
76 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Core MSCI Emerging Markets ETF | iShares MSCI BRIC ETF | iShares MSCI Emerging Markets | ||||||||||
NET INVESTMENT INCOME |
| |||||||||||
Dividends — unaffiliateda | $ | 295,515,203 | $ | 1,754,465 | $ | 2,934,936 | ||||||
Dividends — affiliated (Note 2) | 542,718 | 2,750 | 9,056 | |||||||||
Interest — unaffiliated | 7,804 | — | — | |||||||||
Securities lending income — affiliated — net (Note 2)b | 23,269,381 | 64,717 | 95,232 | |||||||||
|
|
|
|
|
| |||||||
319,335,106 | 1,821,932 | 3,039,224 | ||||||||||
Less: Other foreign taxes (Note 1) | (317,231 | ) | — | (5,716 | ) | |||||||
|
|
|
|
|
| |||||||
Total investment income | 319,017,875 | 1,821,932 | 3,033,508 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES |
| |||||||||||
Investment advisory fees (Note 2) | 29,281,842 | 1,008,812 | 1,426,740 | |||||||||
Mauritius income taxes (Note 1) | 977,661 | 10,565 | 20,448 | |||||||||
Proxy fees | 3,167 | 34 | 37 | |||||||||
Commitment fees (Note 8) | 118,935 | 1,677 | 2,049 | |||||||||
Interest expense (Note 8) | 19,961 | 30 | 292 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 30,401,566 | 1,021,118 | 1,449,566 | |||||||||
Less investment advisory fees waived (Note 2) | (1,119,724 | ) | — | — | ||||||||
|
|
|
|
|
| |||||||
Net expenses | 29,281,842 | 1,021,118 | 1,449,566 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 289,736,033 | 800,814 | 1,583,942 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: |
| |||||||||||
Investments — unaffiliatedc | (91,644,210 | ) | (1,895,866 | ) | (4,327,375 | ) | ||||||
Investments — affiliated (Note 2) | (192,538 | ) | (2,186 | ) | (940 | ) | ||||||
In-kind redemptions — unaffiliated | — | 4,812,858 | 15,635,171 | |||||||||
Futures contracts | 9,350,761 | — | — | |||||||||
Foreign currency transactions | 149,048 | (6,578 | ) | (57,780 | ) | |||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | (82,336,939 | ) | 2,908,228 | 11,249,076 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: |
| |||||||||||
Investments — unaffiliatedd | 3,835,134,859 | 31,489,821 | 41,434,480 | |||||||||
Investments — affiliated (Note 2) | (247,254 | ) | (1,505 | ) | (1,568 | ) | ||||||
Futures contracts | (4,516,826 | ) | — | — | ||||||||
Translation of assets and liabilities in foreign currencies | (555,835 | ) | 957 | (13,783 | ) | |||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 3,829,814,944 | 31,489,273 | 41,419,129 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 3,747,478,005 | 34,397,501 | 52,668,205 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 4,037,214,038 | $ | 35,198,315 | $ | 54,252,147 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $32,743,605, $133,236 and $370,625, respectively. |
b | Net of securities lending income tax paid of $1,106,451, $ — and $ —, respectively. |
c | Net of foreign capital gains taxes of $91,727, $ — and $ —, respectively. |
d | Net of deferred foreign capital gains taxes of $40,362,900, $548,571 and $596,473, respectively. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 77 |
Table of Contents
Consolidated Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Emerging Markets Small-Cap ETF | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 1,894,140 | ||
Dividends — affiliated (Note 2) | 3,340 | |||
Securities lending income — affiliated — net (Note 2) | 725,558 | |||
|
| |||
2,623,038 | ||||
Less: Other foreign taxes (Note 1) | (3,878 | ) | ||
|
| |||
Total investment income | 2,619,160 | |||
|
| |||
EXPENSES |
| |||
Investment advisory fees (Note 2) | 931,147 | |||
Mauritius income taxes (Note 1) | 3,086 | |||
Proxy fees | 24 | |||
Commitment fees (Note 8) | 1,215 | |||
|
| |||
Total expenses | 935,472 | |||
|
| |||
Net investment income | 1,683,688 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||
Net realized gain (loss) from: |
| |||
Investments — unaffiliated | 5,097,857 | |||
Investments — affiliated (Note 2) | (2,648 | ) | ||
In-kind redemptions — unaffiliated | 2,966,990 | |||
Foreign currency transactions | 3,885 | |||
|
| |||
Net realized gain | 8,066,084 | |||
|
| |||
Net change in unrealized appreciation/depreciation on: |
| |||
Investments — unaffiliatedb | 18,787,894 | |||
Investments — affiliated (Note 2) | (3,860 | ) | ||
Translation of assets and liabilities in foreign currencies | (4,947 | ) | ||
|
| |||
Net change in unrealized appreciation/depreciation | 18,779,087 | |||
|
| |||
Net realized and unrealized gain | 26,845,171 | |||
|
| |||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 28,528,859 | ||
|
|
a | Net of foreign withholding tax of $192,782. |
b | Net of deferred foreign capital gains taxes of $198,708. |
See notes to consolidated financial statements.
78 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: |
| |||||||||||||||
Net investment income | $ | 289,736,033 | $ | 673,065,996 | $ | 800,814 | $ | 4,074,906 | ||||||||
Net realized gain (loss) | (82,336,939 | ) | (251,417,814 | ) | 2,908,228 | 4,403,874 | ||||||||||
Net change in unrealized appreciation/depreciation | 3,829,814,944 | 5,496,593,394 | 31,489,273 | 45,791,924 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 4,037,214,038 | 5,918,241,576 | 35,198,315 | 54,270,704 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (718,421,598 | ) | (472,049,457 | ) | (3,520,455 | ) | (2,786,991 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (718,421,598 | ) | (472,049,457 | ) | (3,520,455 | ) | (2,786,991 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||||||||||
Proceeds from shares sold | 8,640,059,937 | 15,325,617,290 | 67,159,638 | 130,590,725 | ||||||||||||
Cost of shares redeemed | — | — | (18,158,963 | ) | (102,860,630 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 8,640,059,937 | 15,325,617,290 | 49,000,675 | 27,730,095 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 11,958,852,377 | 20,771,809,409 | 80,678,535 | 79,213,808 | ||||||||||||
NET ASSETS |
| |||||||||||||||
Beginning of period | 36,775,297,540 | 16,003,488,131 | 261,701,706 | 182,487,898 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 48,734,149,917 | $ | 36,775,297,540 | $ | 342,380,241 | $ | 261,701,706 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (93,494,886 | ) | $ | 335,190,679 | $ | (281,380 | ) | $ | 2,438,261 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED |
| |||||||||||||||
Shares sold | 150,000,000 | 323,400,000 | 1,450,000 | 3,600,000 | ||||||||||||
Shares redeemed | — | — | (400,000 | ) | (2,850,000 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 150,000,000 | 323,400,000 | 1,050,000 | 750,000 | ||||||||||||
|
|
|
|
|
|
|
|
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL STATEMENTS | 79 |
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 February 28, 2018 | Year ended August 31, 2017 | Six months February 28, 2018 | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS |
| |||||||||||||||
OPERATIONS: |
| |||||||||||||||
Net investment income | $ | 1,583,942 | $ | 6,168,348 | $ | 1,683,688 | $ | 4,272,056 | ||||||||
Net realized gain (loss) | 11,249,076 | (1,931,555 | ) | 8,066,084 | (1,051,152 | ) | ||||||||||
Net change in unrealized appreciation/depreciation | 41,419,129 | 71,503,450 | 18,779,087 | 29,206,941 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 54,252,147 | 75,740,243 | 28,528,859 | 32,427,845 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: |
| |||||||||||||||
From net investment income | (8,112,101 | ) | (3,388,608 | ) | (5,359,939 | ) | (3,832,107 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (8,112,101 | ) | (3,388,608 | ) | (5,359,939 | ) | (3,832,107 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: |
| |||||||||||||||
Proceeds from shares sold | 159,078,157 | 262,708,017 | 47,909,373 | 103,772,829 | ||||||||||||
Cost of shares redeemed | (78,055,228 | ) | (50,592,389 | ) | (5,184,618 | ) | — | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 81,022,929 | 212,115,628 | 42,724,755 | 103,772,829 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 127,162,975 | 284,467,263 | 65,893,675 | 132,368,567 | ||||||||||||
NET ASSETS |
| |||||||||||||||
Beginning of period | 501,330,305 | 216,863,042 | 253,519,093 | 121,150,526 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 628,493,280 | $ | 501,330,305 | $ | 319,412,768 | $ | 253,519,093 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (2,276,296 | ) | $ | 4,251,863 | $ | (2,097,838 | ) | $ | 1,578,413 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED |
| |||||||||||||||
Shares sold | 2,100,000 | 4,300,000 | 900,000 | 2,350,000 | ||||||||||||
Shares redeemed | (1,000,000 | ) | (900,000 | ) | (100,000 | ) | — | |||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 1,100,000 | 3,400,000 | 800,000 | 2,350,000 | ||||||||||||
|
|
|
|
|
|
|
|
See notes to consolidated financial statements.
80 | 2018 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 Feb. 28, 2018 | Year ended Aug. 31, 2017 | 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 | $ | 53.91 | $ | 44.60 | $ | 40.75 | $ | 53.89 | $ | 45.71 | $ | 49.06 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.39 | 1.31 | 1.20 | 1.21 | 1.31 | 1.33 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 5.23 | 8.95 | 3.58 | (13.26 | ) | 7.78 | (4.14 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 5.62 | 10.26 | 4.78 | (12.05 | ) | 9.09 | (2.81 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.97 | ) | (0.95 | ) | (0.93 | ) | (1.09 | ) | (0.91 | ) | (0.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.97 | ) | (0.95 | ) | (0.93 | ) | (1.09 | ) | (0.91 | ) | (0.54 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 58.56 | $ | 53.91 | $ | 44.60 | $ | 40.75 | $ | 53.89 | $ | 45.71 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 10.54 | %d | 23.45 | % | 11.99 | % | (22.61 | )% | 20.05 | % | (5.75 | )%d | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 48,734,150 | $ | 36,775,298 | $ | 16,003,488 | $ | 7,025,331 | $ | 5,669,167 | $ | 1,864,965 | ||||||||||||
Ratio of expenses to average net assetse | 0.14 | % | 0.14 | % | 0.17 | % | 0.18 | % | 0.17 | % | 0.05 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feese | 0.15 | % | 0.15 | % | 0.17 | % | 0.18 | % | 0.18 | % | 0.18 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.39 | % | 2.74 | % | 2.93 | % | 2.49 | % | 2.61 | % | 3.17 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 4 | % | 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and the period ended August 31, 2013 were 2%, 4%, 10%, 7%, 8%, and 15%, 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 BRIC ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 42.21 | $ | 33.48 | $ | 30.74 | $ | 41.12 | $ | 34.41 | $ | 35.68 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.12 | 0.70 | 0.64 | 0.77 | 0.89 | 0.84 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 5.41 | 8.57 | 2.84 | (10.20 | ) | 6.53 | (1.25 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 5.53 | 9.27 | 3.48 | (9.43 | ) | 7.42 | (0.41 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.52 | ) | (0.54 | ) | (0.74 | ) | (0.95 | ) | (0.71 | ) | (0.86 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.52 | ) | (0.54 | ) | (0.74 | ) | (0.95 | ) | (0.71 | ) | (0.86 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 47.22 | $ | 42.21 | $ | 33.48 | $ | 30.74 | $ | 41.12 | $ | 34.41 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 13.19 | %c | 28.15 | % | 11.61 | % | (23.19 | )% | 21.73 | % | (1.17 | )% | ||||||||||||
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|
|
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|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 342,380 | $ | 261,702 | $ | 182,488 | $ | 196,758 | $ | 411,164 | $ | 474,861 | ||||||||||||
Ratio of expenses to average net assetsd | 0.67 | % | 0.70 | % | 0.73 | % | 0.69 | % | 0.68 | % | 0.67 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.52 | % | 1.96 | % | 2.13 | % | 2.07 | % | 2.38 | % | 2.18 | % | ||||||||||||
Portfolio turnover ratee | 5 | %c | 24 | % | 20 | % | 9 | % | 10 | % | 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 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 3%, 7% ,20%, 9%, 6% and 9%, respectively. See Note 4. |
See notes to consolidated financial statements.
82 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 69.15 | $ | 56.33 | $ | 50.87 | $ | 62.08 | $ | 52.23 | $ | 50.18 | ||||||||||||
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.20 | 1.31 | 1.02 | 1.25 | 1.36 | 1.15 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 6.94 | 12.43 | 5.54 | (11.61 | ) | 9.75 | 1.82 | |||||||||||||||||
|
|
|
|
|
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|
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|
| |||||||||||||
Total from investment operations | 7.14 | 13.74 | 6.56 | (10.36 | ) | 11.11 | 2.97 | |||||||||||||||||
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|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.02 | ) | (0.92 | ) | (1.10 | ) | (0.85 | ) | (1.26 | ) | (0.92 | ) | ||||||||||||
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| |||||||||||||
Total distributions | (1.02 | ) | (0.92 | ) | (1.10 | ) | (0.85 | ) | (1.26 | ) | (0.92 | ) | ||||||||||||
|
|
|
|
|
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| |||||||||||||
Net asset value, end of period | $ | 75.27 | $ | 69.15 | $ | 56.33 | $ | 50.87 | $ | 62.08 | $ | 52.23 | ||||||||||||
|
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|
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|
|
|
|
|
| |||||||||||||
Total return | 10.39 | %c | 24.80 | % | 13.14 | % | (16.86 | )% | 21.54 | %d | 5.88 | % | ||||||||||||
|
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|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 628,493 | $ | 501,330 | $ | 216,863 | $ | 124,637 | $ | 80,706 | $ | 31,341 | ||||||||||||
Ratio of expenses to average net assetse | 0.50 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | 0.49 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feese | n/a | n/a | 0.66 | % | 0.68 | % | 0.68 | % | 0.68 | % | ||||||||||||||
Ratio of net investment income to average net assetse | 0.54 | % | 2.16 | % | 1.98 | % | 2.10 | % | 2.36 | % | 2.09 | % | ||||||||||||
Portfolio turnover ratef | 11 | %c | 15 | % | 22 | % | 16 | % | 33 | % | 174 | % |
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 21.46%. |
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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 5%, 6%, 16%, 10%, 33% and 21%, respectively. See Note 4. |
See notes to consolidated financial statements.
CONSOLIDATED FINANCIAL HIGHLIGHTS | 83 |
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 | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 49.23 | $ | 43.27 | $ | 40.06 | $ | 51.37 | $ | 43.78 | $ | 43.44 | ||||||||||||
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|
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|
|
|
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|
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.31 | 1.04 | 0.90 | 1.04 | 0.93 | 1.07 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 5.12 | 5.81 | 3.36 | (11.06 | ) | 7.67 | 1.13 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 5.43 | 6.85 | 4.26 | (10.02 | ) | 8.60 | 2.20 | |||||||||||||||||
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|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.98 | ) | (0.89 | ) | (1.05 | ) | (1.29 | ) | (1.01 | ) | (1.86 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.98 | ) | (0.89 | ) | (1.05 | ) | (1.29 | ) | (1.01 | ) | (1.86 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 53.68 | $ | 49.23 | $ | 43.27 | $ | 40.06 | $ | 51.37 | $ | 43.78 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 11.14 | %c | 16.17 | % | 10.83 | % | (19.77 | )% | 19.92 | %d | 4.85 | % | ||||||||||||
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|
|
|
|
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 319,413 | $ | 253,519 | $ | 121,151 | $ | 76,120 | $ | 43,666 | $ | 30,644 | ||||||||||||
Ratio of expenses to average net assetse | 0.66 | % | 0.69 | % | 0.71 | % | 0.69 | % | 0.67 | % | 0.67 | % | ||||||||||||
Ratio of net investment income to average net assetse | 1.19 | % | 2.32 | % | 2.20 | % | 2.20 | % | 1.93 | % | 2.26 | % | ||||||||||||
Portfolio turnover ratef | 6 | %c | 19 | % | 24 | % | 23 | % | 20 | % | 21 | % |
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, 2018 and the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 6%, 19%, 24%, 23%, 20% and 21%, respectively. See Note 4. |
See notes to consolidated financial statements.
84 | 2018 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 | 85 |
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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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. |
86 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Consolidated 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 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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, if any, are disclosed in the Funds’ consolidated statements of assets and liabilities.
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 87 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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.
The DTAA 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.
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.
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, 2018, 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, 2018 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.
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
88 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
Core MSCI Emerging Markets | ||||||||||||
Barclays Capital Inc. | $ | 29,490,381 | $ | 29,490,381 | $ | — | ||||||
Citigroup Global Markets Inc. | 122,775,300 | 122,775,300 | — | |||||||||
Citigroup Global Markets Ltd. | 60,167,367 | 60,167,367 | — | |||||||||
Credit Suisse Securities (Europe) Ltd. | 46,027,499 | 46,027,499 | — | |||||||||
Credit Suisse Securities (USA) LLC | 93,632,719 | 93,632,719 | — | |||||||||
Deutsche Bank AG | 6,355,347 | 6,355,347 | — | |||||||||
Deutsche Bank Securities Inc. | 17,431,198 | 17,431,198 | — | |||||||||
Goldman Sachs & Co. | 332,622,926 | 332,622,926 | — | |||||||||
Goldman Sachs International | 26,362,891 | 26,362,891 | — | |||||||||
HSBC Bank PLC | 97,155,676 | 97,155,676 | — | |||||||||
Jefferies LLC | 2,393,879 | 2,393,879 | — | |||||||||
JPMorgan Securities LLC | 627,030,484 | 627,030,484 | — | |||||||||
JPMorgan Securities PLC | 61,309,869 | 61,309,869 | — | |||||||||
Macquarie Bank Limited | 17,964,737 | 17,964,737 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 82,466,953 | 82,466,953 | — | |||||||||
Morgan Stanley & Co. International PLC | 212,150,500 | 212,150,500 | — | |||||||||
Morgan Stanley & Co. LLC | 300,739,307 | 300,739,307 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 187,009,244 | 187,009,244 | — | |||||||||
SG Americas Securities LLC | 9,716,714 | 9,716,714 | — | |||||||||
State Street Bank & Trust Company | 222,134,922 | 222,134,922 | — | |||||||||
UBS AG | 19,493,574 | 19,493,574 | — | |||||||||
UBS Ltd. | 18,748,922 | 18,748,922 | — | |||||||||
UBS Securities LLC | 13,077,229 | 13,077,229 | — | |||||||||
Wells Fargo Securities LLC | 4,529,944 | 4,529,944 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 2,610,787,582 | $ | 2,610,787,582 | $ | — | |||||||
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|
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| |||||||
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 89 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI BRIC | ||||||||||||
Citigroup Global Markets Inc. | $ | 306,265 | $ | 306,265 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 606,514 | 606,514 | — | |||||||||
Deutsche Bank Securities Inc. | 58,784 | 58,784 | — | |||||||||
Goldman Sachs & Co. | 471,616 | 471,616 | — | |||||||||
JPMorgan Securities LLC | 6,102,786 | 6,102,786 | — | |||||||||
Macquarie Bank Limited | 359,104 | 359,104 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 172,001 | 172,001 | — | |||||||||
Morgan Stanley & Co. LLC | 611,130 | 611,130 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 20,239,747 | 20,239,747 | — | |||||||||
SG Americas Securities LLC | 61,569 | 61,569 | — | |||||||||
State Street Bank & Trust Company | 132,217 | 132,217 | — | |||||||||
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| |||||||
$ | 29,121,733 | $ | 29,121,733 | $ | — | |||||||
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| |||||||
MSCI Emerging Markets Asia | ||||||||||||
Citigroup Global Markets Inc. | $ | 302,873 | $ | 302,873 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 926,417 | 926,417 | — | |||||||||
Deutsche Bank AG | 149,795 | 149,795 | — | |||||||||
Deutsche Bank Securities Inc. | 74,257 | 74,257 | — | |||||||||
HSBC Bank PLC | 691,149 | 691,149 | — | |||||||||
Jefferies LLC | 638,102 | 638,102 | — | |||||||||
JPMorgan Securities LLC | 373,401 | 373,401 | — | |||||||||
Macquarie Bank Limited | 2,280,587 | 2,280,587 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 557,023 | 557,023 | — | |||||||||
Morgan Stanley & Co. International PLC | 1,664,358 | 1,664,358 | — | |||||||||
Morgan Stanley & Co. LLC | 5,006,562 | 5,006,562 | — | |||||||||
Scotia Capital (USA) Inc. | 227,461 | 227,461 | — | |||||||||
SG Americas Securities LLC | 52,773 | 52,773 | — | |||||||||
UBS AG | 125,973 | 125,973 | — | |||||||||
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$ | 13,070,731 | $ | 13,070,731 | $ | — | |||||||
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iSHARES®, INC.
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
MSCI Emerging Markets Small-Cap | ||||||||||||
Barclays Capital Inc. | $ | 1,497,796 | $ | 1,497,796 | $ | — | ||||||
Citigroup Global Markets Inc. | 630,212 | 630,212 | — | |||||||||
Credit Suisse Securities (USA) LLC | 3,666,908 | 3,666,908 | — | |||||||||
Deutsche Bank AG | 243,257 | 243,257 | — | |||||||||
Deutsche Bank Securities Inc. | 818,544 | 818,544 | — | |||||||||
Goldman Sachs & Co. | 2,427,599 | 2,427,599 | — | |||||||||
HSBC Bank PLC | 1,743,231 | 1,743,231 | — | |||||||||
JPMorgan Securities LLC | 4,123,120 | 4,123,120 | — | |||||||||
JPMorgan Securities PLC | 20,140 | 20,140 | — | |||||||||
Macquarie Bank Limited | 748,498 | 748,498 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 3,304,686 | 3,304,686 | — | |||||||||
Morgan Stanley & Co. International PLC | 1,487,505 | 1,487,505 | — | |||||||||
Morgan Stanley & Co. LLC | 2,732,285 | 2,732,285 | — | |||||||||
SG Americas Securities LLC | 316,043 | 316,043 | — | |||||||||
UBS AG | 1,750,704 | 1,750,704 | — | |||||||||
UBS Securities LLC | 212,276 | 212,276 | — | |||||||||
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| |||||||
$ | 25,722,804 | $ | 25,722,804 | $ | — | |||||||
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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. |
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%, accrued daily and paid monthly by the Fund, 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, 2022 in order to limit the total annual operating expenses after fee waiver to 0.14% of average daily net assets.
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 91 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, accrued daily and paid monthly by the Funds, 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%, accrued daily and paid monthly by the Fund, based on the average daily net assets of the Fund.
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, 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 | $ | 5,492,767 | ||
MSCI BRIC | 17,719 | |||
MSCI Emerging Markets Asia | 22,191 | |||
MSCI Emerging Markets Small-Cap | 152,602 |
For the six months ended February 28, 2018, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares Core MSCI Emerging Markets ETF in the amount of $111,073, related to the foreign tax on the securities lending income. The voluntary waiver was discontinued effective January 1, 2018. Such reimbursement is included in “Securities lending income – affiliated – net” in the Fund’s statement of operations.
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Notes to Consolidated 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, 2018, 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 | $ | 32,893,070 | $ | 86,748,348 | ||||
MSCI BRIC | 740,587 | 1,369,665 | ||||||
MSCI Emerging Markets Asia | 1,325,640 | 2,493,342 | ||||||
MSCI Emerging Markets Small-Cap | 1,871,039 | 2,908,720 |
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.
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
Core MSCI Emerging Markets | $ | 6,339,135,528 | $ | 773,975,782 | ||||
MSCI BRIC | 45,503,194 | 15,809,915 | ||||||
MSCI Emerging Markets Asia | 172,558,798 | 62,483,790 | ||||||
MSCI Emerging Markets Small-Cap | 62,871,606 | 17,914,878 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Core MSCI Emerging Markets | $ | 2,616,449,396 | $ | — | ||||
MSCI BRIC | 28,190,735 | 11,969,545 | ||||||
MSCI Emerging Markets Asia | — | 35,328,226 | ||||||
MSCI Emerging Markets Small-Cap | — | 5,112,059 |
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 93 |
Table of Contents
Notes to Consolidated 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 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 |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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, 2018 and the related locations in the consolidated statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciation | $ | 2,453,352 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the consolidated schedule of investments. |
94 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018 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 | |||||||
Futures contracts | $ | 9,350,761 | $ | (4,516,826 | ) | |||
|
|
|
| |||||
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, 2018:
Average notional value of contracts purchased | $ | 115,429,250 |
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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 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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the
NOTESTO CONSOLIDATED FINANCIAL STATEMENTS | 95 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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, Norway, Switzerland and Canada, have imposed economic sanctions, which consist of asset freezes and sectorial sanctions, on certain Russian individuals and Russian corporate entities. Broader sanctions on Russia could also be instituted. 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.
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.
96 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of August 31, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
Core MSCI Emerging Markets | $ | 385,850,660 | $ | — | $ | — | $ | 385,850,660 | ||||||||
MSCI BRIC | 207,792,753 | 11,268,086 | 7,760,558 | 226,821,397 | ||||||||||||
MSCI Emerging Markets Asia | 27,359,939 | — | — | 27,359,939 | ||||||||||||
MSCI Emerging Markets Small-Cap | 11,844,208 | — | — | 11,844,208 |
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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
Core MSCI Emerging Markets | $ | 42,414,290,041 | $ | 11,018,481,085 | $ | (2,066,134,623 | ) | $ | 8,952,346,462 | |||||||
MSCI BRIC | 303,950,141 | 90,690,565 | (22,773,909 | ) | 67,916,656 | |||||||||||
MSCI Emerging Markets Asia | 526,543,170 | 131,173,575 | (15,992,065 | ) | 115,181,510 | |||||||||||
MSCI Emerging Markets Small-Cap | 305,378,972 | 65,151,678 | (24,051,344 | ) | 41,100,334 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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.
8. | LINE OF CREDIT |
The Funds, along with certain other iShares funds, are parties to a credit agreement with State Street Bank and Trust Company. Effective October 25, 2017, certain terms of the credit agreement were amended, including (i) increasing the maximum borrowing amount from $250 million to $275 million and (ii) extending the expiration date from October 25, 2017 to October 24, 2018. 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 CONSOLIDATED FINANCIAL STATEMENTS | 97 |
Table of Contents
Notes to Consolidated Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2018, 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 Rates | |||||||||
Core MSCI Emerging Markets | $ | 43,000,000 | $ | 1,900,552 | 2.09 | % | ||||||
MSCI BRIC | 400,000 | 2,210 | 2.67 | |||||||||
MSCI Emerging Markets Asia | 570,000 | 27,265 | 2.13 |
The iShares MSCI Emerging Markets Small-Cap ETF did not borrow under the credit agreement during the six months ended February 28, 2018.
9. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
10. | 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, except as noted below.
Effective on or around May 31, 2018, the iShares MSCI Emerging Markets Asia ETF will track a new underlying index, the MSCI EM Asia Custom Capped Index, and will cease to track the MSCI Emerging Markets Asia Index.
98 | 2018 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 | ||||||||||||||||||||||||
Core MSCI Emerging Markets | $ | 0.762060 | $ | — | $ | 0.211411 | $ | 0.973471 | 78 | % | — | % | 22 | % | 100 | % | ||||||||||||||||
MSCI BRIC | 0.366977 | — | 0.150737 | 0.517714 | 71 | — | 29 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets Asia | 0.764821 | — | 0.255569 | 1.020390 | 75 | — | 25 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets Small-Cap | 0.890969 | — | 0.092506 | 0.983475 | 91 | — | 9 | 100 |
SUPPLEMENTAL INFORMATION | 99 |
Table of Contents
Electronic Delivery
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Availability of Proxy Voting Policies and Proxy Voting Records
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100 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 101 |
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Notes:
102 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
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©2018 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-810-0218
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Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Currency Hedged MSCI Emerging Markets ETF | HEEM | Cboe BZX |
Ø | iShares Edge MSCI Min Vol EM Currency Hedged ETF | HEMV | Cboe BZX |
Ø | iShares Edge MSCI Min Vol Emerging Markets ETF | EEMV | Cboe BZX |
Ø | iShares MSCI Emerging Markets ETF | EEM | NYSE Arca |
Table of Contents
5 | ||||
9 | ||||
9 | ||||
10 | ||||
10 | ||||
14 | ||||
iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | 18 | |||
25 | ||||
42 | ||||
48 | ||||
52 | ||||
70 | ||||
71 |
Table of Contents
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
Performance as of February 28, 2018
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 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, 2018, the total return for the Fund was 6.87%, net of fees, while the total return for the Index was 8.36%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 24.00% | 23.73% | 25.08% | 24.00% | 23.73% | 25.08% | ||||||||||||||||||||||
Since Inception | 6.46% | 6.44% | 7.21% | 24.00% | 23.92% | 27.03% |
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a,b | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a,b | Annualized Expense Ratio a | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,068.70 | $ | 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 9 for more information. |
ALLOCATION BY SECTOR1
As of 2/28/18
Sector | Percentage of Total Investments 2 |
Information Technology | 27.35 | % | ||
Financials | 24.25 | |||
Consumer Discretionary | 9.89 | |||
Materials | 7.45 | |||
Energy | 7.24 | |||
Consumer Staples | 6.30 | |||
Industrials | 5.18 | |||
Telecommunication Services | 4.56 | |||
Health Care | 2.76 | |||
Real Estate | 2.70 | |||
Utilities | 2.32 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES1
As of 2/28/18
Country | Percentage of Total Investments 2 |
China | 30.32 | % | ||
South Korea | 14.44 | |||
Taiwan | 11.39 | |||
India | 8.23 | |||
Brazil | 7.47 | |||
South Africa | 7.09 | |||
Russia | 3.66 | |||
Mexico | 2.84 | |||
Thailand | 2.44 | |||
Malaysia | 2.41 | |||
|
| |||
TOTAL | 90.29 | % | ||
|
|
1 | Table shown is for the iShares MSCI Emerging Markets ETF, the underlying fund in which the Fund invests. |
2 | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
Table of Contents
Fund Performance Overview
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
Performance as of February 28, 2018
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 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, 2018, the total return for the Fund was 5.52%, net of fees, while the total return for the Index was 6.52%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 17.16% | 17.61% | 17.28% | 17.16% | 17.61% | 17.28% | ||||||||||||||||||||||
Since Inception | 7.56% | 7.91% | 7.76% | 18.56% | 19.47% | 19.11% |
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a,b | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a,b | Annualized Expense Ratio a | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,055.20 | $ | 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 9 for more information. |
ALLOCATION BY SECTOR1
As of 2/28/18
Sector | Percentage of Total Investments 2 |
Financials | 24.66 | % | ||
Information Technology | 23.20 | |||
Consumer Staples | 11.17 | |||
Telecommunication Services | 9.51 | |||
Health Care | 6.93 | |||
Consumer Discretionary | 6.39 | |||
Utilities | 6.25 | |||
Industrials | 5.32 | |||
Energy | 3.51 | |||
Materials | 2.02 | |||
Real Estate | 1.04 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES1
As of 2/28/18
Country | Percentage of Total Investments 2 |
China | 25.87 | % | ||
Taiwan | 16.38 | |||
South Korea | 9.60 | |||
India | 7.56 | |||
Malaysia | 7.50 | |||
Thailand | 6.72 | |||
Indonesia | 5.29 | |||
Chile | 3.77 | |||
Philippines | 3.35 | |||
United Arab Emirates | 2.03 | |||
|
| |||
TOTAL | 88.07 | % | ||
|
|
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. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 8.60%, net of fees, while the total return for the Index was 8.70%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 22.02% | 21.44% | 22.42% | 22.02% | 21.44% | 22.42% | ||||||||||||||||||||||
5 Years | 2.88% | 2.64% | 3.07% | 15.26% | 13.94% | 16.31% | ||||||||||||||||||||||
Since Inception | 6.29% | 6.10% | 6.52% | 47.48% | 45.77% | 49.49% |
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 9 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,086.00 | $ | 1.29 | $ | 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 9 for more information. |
ALLOCATION BY SECTOR
As of 2/28/18
Sector | Percentage of Total Investments* |
Financials | 24.66 | % | ||
Information Technology | 23.20 | |||
Consumer Staples | 11.17 | |||
Telecommunication Services | 9.51 | |||
Health Care | 6.93 | |||
Consumer Discretionary | 6.39 | |||
Utilities | 6.25 | |||
Industrials | 5.32 | |||
Energy | 3.51 | |||
Materials | 2.02 | |||
Real Estate | 1.04 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 25.87 | % | ||
Taiwan | 16.38 | |||
South Korea | 9.60 | |||
India | 7.56 | |||
Malaysia | 7.50 | |||
Thailand | 6.72 | |||
Indonesia | 5.29 | |||
Chile | 3.77 | |||
Philippines | 3.35 | |||
United Arab Emirates | 2.03 | |||
|
| |||
TOTAL | 88.07 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 10.18%, net of fees, while the total return for the Index was 10.58%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 29.63% | 28.95% | 30.51% | 29.63% | 28.95% | 30.51% | ||||||||||||||||||||||
5 Years | 4.41% | 4.32% | 5.02% | 24.11% | 23.57% | 27.72% | ||||||||||||||||||||||
10 Years | 2.31% | 2.33% | 2.65% | 25.64% | 25.88% | 29.93% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,101.80 | $ | 3.44 | $ | 1,000.00 | $ | 1,021.50 | $ | 3.31 | 0.66% |
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 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 27.35 | % | ||
Financials | 24.25 | |||
Consumer Discretionary | 9.89 | |||
Materials | 7.45 | |||
Energy | 7.24 | |||
Consumer Staples | 6.30 | |||
Industrials | 5.18 | |||
Telecommunication Services | 4.56 | |||
Health Care | 2.76 | |||
Real Estate | 2.70 | |||
Utilities | 2.32 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 30.32 | % | ||
South Korea | 14.44 | |||
Taiwan | 11.39 | |||
India | 8.23 | |||
Brazil | 7.47 | |||
South Africa | 7.09 | |||
Russia | 3.66 | |||
Mexico | 2.84 | |||
Thailand | 2.44 | |||
Malaysia | 2.41 | |||
|
| |||
TOTAL | 90.29 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 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, 2017 and held through February 28, 2018, 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 | 9 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
INVESTMENT COMPANIES — 99.56% |
| |||||||
EXCHANGE-TRADED FUNDS — 99.56% |
| |||||||
iShares MSCI Emerging Markets ETFa,b | 8,563,324 | $ | 411,210,819 | |||||
|
| |||||||
411,210,819 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $339,358,457) | 411,210,819 | |||||||
SHORT-TERM INVESTMENTS — 42.74% |
| |||||||
MONEY MARKET FUNDS — 42.74% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%b,c,d | 176,345,986 | 176,363,620 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%b,c | 186,165 | 186,165 | ||||||
|
| |||||||
176,549,785 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $176,558,940) | 176,549,785 | |||||||
|
|
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $515,917,397) | $ | 587,760,604 | ||||
Other Assets, Less Liabilities — (42.30)% | (174,716,258 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 413,044,346 | ||||
|
|
a | All or a portion of this security is on loan. |
b | Affiliate of the Fund. |
c | Annualized 7-day yield as of period end. |
d | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | — | 176,345,986 | b | — | 176,345,986 | $ | 176,363,620 | $ | 219,018 | c | $ | (10,950 | ) | $ | (9,155 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | — | 186,165 | b | — | 186,165 | 186,165 | 4,512 | — | — | |||||||||||||||||||||||
iShares MSCI Emerging Markets ETF | 8,795,358 | 794,530 | (1,026,564 | ) | 8,563,324 | 411,210,819 | 6,137,528 | 8,242,034 | 20,699,431 | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 587,760,604 | $ | 6,361,058 | $ | 8,231,084 | $ | 20,690,276 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2018
Forward Currency Contracts (Note 5)
Forward currency contracts outstanding as of February 28, 2018 were as follows:
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
BRL | 1,248,000 | USD | 381,128 | CITI | 03/05/2018 | $ | 3,094 | |||||||||||||||||
CLP | 135,639,000 | USD | 225,092 | CITI | 03/05/2018 | 2,889 | ||||||||||||||||||
HKD | 783,854,000 | USD | 100,158,955 | CITI | 03/05/2018 | 12,160 | ||||||||||||||||||
KRW | 1,020,382,000 | USD | 937,176 | CITI | 03/05/2018 | 5,092 | ||||||||||||||||||
RUB | 20,983,000 | USD | 366,101 | CITI | 03/05/2018 | 6,066 | ||||||||||||||||||
TRY | 322,000 | USD | 84,186 | CITI | 03/05/2018 | 416 | ||||||||||||||||||
TWD | 12,596,000 | USD | 429,436 | CITI | 03/05/2018 | 1,163 | ||||||||||||||||||
USD | 32,859,588 | BRL | 104,885,000 | CITI | 03/05/2018 | 568,615 | ||||||||||||||||||
USD | 23,719 | CLP | 14,007,000 | CITI | 03/05/2018 | 176 | ||||||||||||||||||
USD | 9,941,620 | EUR | 7,996,000 | CITI | 03/05/2018 | 184,682 | ||||||||||||||||||
USD | 104,695,340 | HKD | 818,064,000 | CITI | 03/05/2018 | 152,424 | ||||||||||||||||||
USD | 76,642,355 | INR | 4,947,403,000 | CITI | 03/05/2018 | 793,517 | ||||||||||||||||||
USD | 263,090 | INR | 17,128,000 | DB | 03/05/2018 | 500 | ||||||||||||||||||
USD | 113,589 | INR | 7,395,000 | MS | 03/05/2018 | 216 | ||||||||||||||||||
USD | 163,604,399 | KRW | 176,218,292,102 | CITI | 03/05/2018 | 876,269 | ||||||||||||||||||
USD | 797,917 | KRW | 863,266,102 | MS | 03/05/2018 | 737 | ||||||||||||||||||
USD | 13,145,752 | MXN | 246,892,000 | CITI | 03/05/2018 | 54,943 | ||||||||||||||||||
USD | 63,723 | RUB | 3,581,000 | CITI | 03/05/2018 | 209 | ||||||||||||||||||
USD | 178,221 | TRY | 675,000 | CITI | 03/05/2018 | 871 | ||||||||||||||||||
USD | 71,939,354 | TWD | 2,099,624,000 | CITI | 03/05/2018 | 162,946 | ||||||||||||||||||
USD | 99,195 | ZAR | 1,161,000 | CITI | 03/05/2018 | 798 | ||||||||||||||||||
ZAR | 19,687,000 | USD | 1,644,188 | CITI | 03/05/2018 | 24,322 | ||||||||||||||||||
EUR | 307,000 | USD | 375,465 | CITI | 04/06/2018 | 94 | ||||||||||||||||||
HKD | 2,481,000 | USD | 317,300 | CITI | 04/06/2018 | 34 | ||||||||||||||||||
MXN | 4,971,000 | USD | 261,995 | CITI | 04/06/2018 | 213 | ||||||||||||||||||
RUB | 2,433,000 | USD | 42,993 | CITI | 04/06/2018 | 64 | ||||||||||||||||||
TRY | 55,000 | USD | 14,293 | CITI | 04/06/2018 | 23 | ||||||||||||||||||
USD | 31,263,608 | BRL | 101,663,000 | CITI | 04/06/2018 | 65,464 | ||||||||||||||||||
USD | 7,458,697 | CLP | 4,401,004,000 | CITI | 04/06/2018 | 65,237 | ||||||||||||||||||
USD | 9,451,082 | EUR | 7,658,000 | CITI | 04/06/2018 | 82,924 | ||||||||||||||||||
USD | 36,631,368 | INR | 2,395,142,000 | CITI | 04/06/2018 | 109,978 | ||||||||||||||||||
USD | 78,407,337 | KRW | 84,266,717,102 | CITI | 04/06/2018 | 686,757 | ||||||||||||||||||
USD | 12,664,381 | MXN | 238,583,000 | CITI | 04/06/2018 | 79,699 | ||||||||||||||||||
USD | 13,831,863 | RUB | 780,053,000 | CITI | 04/06/2018 | 26,999 | ||||||||||||||||||
USD | 4,492,205 | TRY | 17,202,000 | CITI | 04/06/2018 | 14,660 | ||||||||||||||||||
USD | 30,191,089 | ZAR | 354,383,000 | CITI | 04/06/2018 | 298,109 | ||||||||||||||||||
ZAR | 6,682,000 | USD | 563,159 | CITI | 04/06/2018 | 482 | ||||||||||||||||||
TWD | 41,220,000 | USD | 1,409,636 | CITI | 04/09/2018 | 276 | ||||||||||||||||||
USD | 69,104,373 | TWD | 2,014,738,000 | CITI | 04/09/2018 | 191,143 | ||||||||||||||||||
|
| |||||||||||||||||||||||
4,474,261 | ||||||||||||||||||||||||
|
| |||||||||||||||||||||||
BRL | 103,295,000 | USD | 31,893,818 | CITI | 03/05/2018 | (92,360 | ) | |||||||||||||||||
BRL | 342,000 | USD | 105,981 | MS | 03/05/2018 | (689 | ) | |||||||||||||||||
CLP | 4,401,004,000 | USD | 7,463,250 | CITI | 03/05/2018 | (66,063 | ) | |||||||||||||||||
CLP | 14,007,000 | USD | 23,854 | MS | 03/05/2018 | (311 | ) | |||||||||||||||||
EUR | 7,972,000 | USD | 9,816,993 | CITI | 03/05/2018 | (89,341 | ) | |||||||||||||||||
EUR | 24,000 | USD | 29,562 | MS | 03/05/2018 | (277 | ) | |||||||||||||||||
HKD | 34,210,000 | USD | 4,377,973 | CITI | 03/05/2018 | (6,171 | ) | |||||||||||||||||
HKD | 2,481,000 | USD | 317,167 | MS | 03/05/2018 | (112 | ) | |||||||||||||||||
INR | 4,947,403,000 | USD | 76,030,726 | CITI | 03/05/2018 | (181,888 | ) | |||||||||||||||||
INR | 17,128,000 | USD | 268,012 | DB | 03/05/2018 | (5,422 | ) | |||||||||||||||||
INR | 7,395,000 | USD | 114,027 | MS | 03/05/2018 | (654 | ) | |||||||||||||||||
KRW | 175,197,910,102 | USD | 162,454,091 | CITI | 03/05/2018 | (668,229 | ) |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2018
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
KRW | 863,266,102 | USD | 807,581 | MS | 03/05/2018 | $ | (10,401 | ) | ||||||||||||||||
MXN | 246,137,000 | USD | 13,132,892 | CITI | 03/05/2018 | (82,116 | ) | |||||||||||||||||
MXN | 755,000 | USD | 40,432 | MS | 03/05/2018 | (400 | ) | |||||||||||||||||
RUB | 734,944,000 | USD | 13,084,280 | CITI | 03/05/2018 | (48,862 | ) | |||||||||||||||||
RUB | 2,491,000 | USD | 44,682 | MS | 03/05/2018 | (500 | ) | |||||||||||||||||
TRY | 17,579,000 | USD | 4,633,979 | CITI | 03/05/2018 | (15,278 | ) | |||||||||||||||||
TRY | 55,000 | USD | 14,507 | MS | 03/05/2018 | (56 | ) | |||||||||||||||||
TWD | 2,080,538,000 | USD | 71,184,658 | CITI | 03/05/2018 | (60,711 | ) | |||||||||||||||||
TWD | 6,490,000 | USD | 222,275 | MS | 03/05/2018 | (412 | ) | |||||||||||||||||
USD | 7,487,166 | CLP | 4,536,643,000 | CITI | 03/05/2018 | (138,002 | ) | |||||||||||||||||
USD | 317,016 | HKD | 2,481,000 | CITI | 03/05/2018 | (39 | ) | |||||||||||||||||
USD | 13,361,215 | RUB | 754,837,000 | CITI | 03/05/2018 | (27,037 | ) | |||||||||||||||||
USD | 4,527,868 | TRY | 17,281,000 | CITI | 03/05/2018 | (12,536 | ) | |||||||||||||||||
USD | 31,109,311 | ZAR | 374,070,000 | CITI | 03/05/2018 | (593,820 | ) | |||||||||||||||||
ZAR | 354,383,000 | USD | 30,334,517 | CITI | 03/05/2018 | (299,896 | ) | |||||||||||||||||
ZAR | 1,161,000 | USD | 100,413 | MS | 03/05/2018 | (2,016 | ) | |||||||||||||||||
BRL | 3,807,000 | USD | 1,173,209 | CITI | 04/06/2018 | (4,924 | ) | |||||||||||||||||
CLP | 277,836,000 | USD | 467,563 | CITI | 04/06/2018 | (813 | ) | |||||||||||||||||
EUR | 183,000 | USD | 224,053 | CITI | 04/06/2018 | (186 | ) | |||||||||||||||||
HKD | 43,914,000 | USD | 5,617,235 | CITI | 04/06/2018 | (389 | ) | |||||||||||||||||
INR | 147,614,000 | USD | 2,253,909 | CITI | 04/06/2018 | (3,074 | ) | |||||||||||||||||
KRW | 4,422,805,102 | USD | 4,091,840 | CITI | 04/06/2018 | (12,614 | ) | |||||||||||||||||
MXN | 8,748,000 | USD | 462,716 | CITI | 04/06/2018 | (1,280 | ) | |||||||||||||||||
RUB | 24,138,000 | USD | 427,568 | CITI | 04/06/2018 | (389 | ) | |||||||||||||||||
TRY | 444,000 | USD | 115,638 | CITI | 04/06/2018 | (69 | ) | |||||||||||||||||
USD | 1,378,993 | BRL | 4,498,000 | CITI | 04/06/2018 | (1,344 | ) | |||||||||||||||||
USD | 100,248,622 | HKD | 783,854,000 | CITI | 04/06/2018 | (10,678 | ) | |||||||||||||||||
USD | 42,892 | TRY | 165,000 | CITI | 04/06/2018 | (57 | ) | |||||||||||||||||
USD | 428,726 | ZAR | 5,087,000 | CITI | 04/06/2018 | (374 | ) | |||||||||||||||||
ZAR | 2,293,000 | USD | 194,258 | CITI | 04/06/2018 | (838 | ) | |||||||||||||||||
TWD | 21,578,000 | USD | 738,875 | CITI | 04/09/2018 | (809 | ) | |||||||||||||||||
|
| |||||||||||||||||||||||
(2,441,437 | ) | |||||||||||||||||||||||
|
| |||||||||||||||||||||||
Net unrealized appreciation | $ | 2,032,824 | ||||||||||||||||||||||
|
| |||||||||||||||||||||||
Counterparties:
CITI — Citibank N.A. London
DB — Deutsche Bank AG 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
TWD — Taiwan New Dollar
USD — United States Dollar
ZAR — South African Rand
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® CURRENCY HEDGED MSCI EMERGING MARKETS ETF
February 28, 2018
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, 2018. 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 | $ | 411,210,819 | $ | — | $ | — | $ | 411,210,819 | ||||||||
Money market funds | 176,549,785 | — | — | 176,549,785 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 587,760,604 | $ | — | $ | — | $ | 587,760,604 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Forward currency contracts | $ | — | $ | 4,474,261 | $ | — | $ | 4,474,261 | ||||||||
Liabilities | ||||||||||||||||
Forward currency contracts | — | (2,441,437 | ) | — | (2,441,437 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | — | $ | 2,032,824 | $ | — | $ | 2,032,824 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2018
Security | Shares | Value | ||||||
INVESTMENT COMPANIES — 99.39% |
| |||||||
EXCHANGE-TRADED FUNDS — 99.39% |
| |||||||
iShares Edge MSCI Min Vol Emerging Markets ETFa | 154,870 | $ | 9,479,593 | |||||
|
| |||||||
9,479,593 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $8,615,565) | 9,479,593 | |||||||
SHORT-TERM INVESTMENTS — 0.05% |
| |||||||
MONEY MARKET FUNDS — 0.05% |
| |||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | ||||||||
1.32%a,b | 4,830 | 4,830 | ||||||
|
| |||||||
4,830 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,830) |
| 4,830 | ||||||
|
|
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $8,620,395) | $ | 9,484,423 | ||||
Other Assets, Less Liabilities — 0.56% | 53,118 | |||||
|
| |||||
NET ASSETS — 100.00% | $ | 9,537,541 | ||||
|
|
a | Affiliate of the Fund. |
b | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, |
| |||||||||||||||||||||||||||||||
SL Agency Shares | 3,008 | 1,822 | b | — | 4,830 | $ | 4,830 | $ | 22 | $ | — | $ | — | |||||||||||||||||||
iShares Edge MSCI Min Vol Emerging Markets ETF | 112,856 | 70,951 | (28,937 | ) | 154,870 | 9,479,593 | 134,071 | 275,456 | 58,267 | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 9,484,423 | $ | 134,093 | $ | 275,456 | $ | 58,267 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2018
Forward Currency Contracts (Note 5)
Forward currency contracts outstanding as of February 28, 2018 were as follows:
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
CLP | 1,379,000 | USD | 2,289 | CITI | 03/05/2018 | $ | 29 | |||||||||||||||||
HKD | 16,100,000 | USD | 2,057,445 | MS | 03/05/2018 | 24 | ||||||||||||||||||
USD | 159,101 | BRL | 506,000 | BNP | 03/05/2018 | 3,318 | ||||||||||||||||||
USD | 625 | BRL | 2,000 | CITI | 03/05/2018 | 9 | ||||||||||||||||||
USD | 72,215 | EUR | 58,000 | BOA | 03/05/2018 | 1,442 | ||||||||||||||||||
USD | 4,993 | EUR | 4,000 | JPM | 03/05/2018 | 112 | ||||||||||||||||||
USD | 12,391 | EUR | 10,000 | NSI | 03/05/2018 | 189 | ||||||||||||||||||
USD | 640 | HKD | 5,000 | CITI | 03/05/2018 | 1 | ||||||||||||||||||
USD | 140,483 | HKD | 1,098,000 | MS | 03/05/2018 | 166 | ||||||||||||||||||
USD | 1,945,396 | HKD | 15,199,000 | SSB | 03/05/2018 | 3,069 | ||||||||||||||||||
USD | 47,898 | INR | 3,057,000 | BNP | 03/05/2018 | 1,031 | ||||||||||||||||||
USD | 7,772 | INR | 506,000 | DB | 03/05/2018 | 15 | ||||||||||||||||||
USD | 653,545 | INR | 41,753,000 | JPM | 03/05/2018 | 13,428 | ||||||||||||||||||
USD | 787,751 | INR | 51,285,000 | NSI | 03/05/2018 | 1,498 | ||||||||||||||||||
USD | 264,156 | KRW | 285,152,000 | BNP | 03/05/2018 | 834 | ||||||||||||||||||
USD | 17,698 | KRW | 19,147,102 | CITI | 03/05/2018 | 16 | ||||||||||||||||||
USD | 1,585,665 | KRW | 1,698,406,000 | JPM | 03/05/2018 | 17,278 | ||||||||||||||||||
USD | 10,111 | KRW | 10,938,898 | MS | 03/05/2018 | 9 | ||||||||||||||||||
USD | 1,806,141 | KRW | 1,954,064,000 | NSI | 03/05/2018 | 1,668 | ||||||||||||||||||
USD | 150,583 | MXN | 2,813,000 | BOA | 03/05/2018 | 1,431 | ||||||||||||||||||
USD | 53 | MXN | 1,000 | CITI | 03/05/2018 | — | ||||||||||||||||||
USD | 220,264 | PLN | 735,000 | NSI | 03/05/2018 | 5,529 | ||||||||||||||||||
USD | 35,140 | PLN | 118,000 | UBS | 03/05/2018 | 666 | ||||||||||||||||||
USD | 16,364 | RUB | 921,000 | JPM | 03/05/2018 | 29 | ||||||||||||||||||
USD | 500,014 | TWD | 14,577,000 | BNP | 03/05/2018 | 1,694 | ||||||||||||||||||
USD | 2,447,757 | TWD | 71,357,000 | JPM | 03/05/2018 | 8,392 | ||||||||||||||||||
ZAR | 37,000 | USD | 3,102 | BNP | 03/05/2018 | 34 | ||||||||||||||||||
ZAR | 20,000 | USD | 1,677 | CITI | 03/05/2018 | 19 | ||||||||||||||||||
BRL | 2,000 | USD | 614 | BNP | 04/06/2018 | — | ||||||||||||||||||
EUR | 4,000 | USD | 4,892 | BOA | 04/06/2018 | 1 | ||||||||||||||||||
HKD | 348,000 | USD | 44,510 | SSB | 04/06/2018 | 2 | ||||||||||||||||||
MXN | 77,000 | USD | 4,058 | BOA | 04/06/2018 | 3 | ||||||||||||||||||
PLN | 45,000 | USD | 13,141 | BOA | 04/06/2018 | 15 | ||||||||||||||||||
USD | 156,238 | BRL | 507,000 | UBS | 04/06/2018 | 651 | ||||||||||||||||||
USD | 443,986 | CLP | 261,499,000 | UBS | 04/06/2018 | 4,681 | ||||||||||||||||||
USD | 88,927 | EUR | 72,000 | NSI | 04/06/2018 | 848 | ||||||||||||||||||
USD | 2,059,414 | HKD | 16,100,000 | MS | 04/06/2018 | 134 | ||||||||||||||||||
USD | 785,736 | INR | 51,285,000 | NSI | 04/06/2018 | 3,737 | ||||||||||||||||||
USD | 1,823,995 | KRW | 1,954,064,000 | NSI | 04/06/2018 | 21,730 | ||||||||||||||||||
USD | 145,515 | MXN | 2,735,000 | CITI | 04/06/2018 | 1,250 | ||||||||||||||||||
USD | 249,731 | PLN | 844,000 | BNP | 04/06/2018 | 2,977 | ||||||||||||||||||
USD | 21,575 | RUB | 1,211,000 | BNP | 04/06/2018 | 143 | ||||||||||||||||||
USD | 165,613 | ZAR | 1,936,000 | CITI | 04/06/2018 | 2,307 | ||||||||||||||||||
ZAR | 55,000 | USD | 4,636 | BNP | 04/06/2018 | 4 | ||||||||||||||||||
ZAR | 17,000 | USD | 1,433 | JPM | 04/06/2018 | 1 | ||||||||||||||||||
USD | 2,936,954 | TWD | 85,436,000 | NSI | 04/09/2018 | 14,653 | ||||||||||||||||||
|
| |||||||||||||||||||||||
115,067 | ||||||||||||||||||||||||
|
| |||||||||||||||||||||||
BRL | 1,000 | USD | 315 | BNP | 03/05/2018 | (7 | ) | |||||||||||||||||
BRL | 507,000 | USD | 156,794 | UBS | 03/05/2018 | (703 | ) | |||||||||||||||||
CLP | 261,499,000 | USD | 444,212 | UBS | 03/05/2018 | (4,686 | ) | |||||||||||||||||
EUR | 72,000 | USD | 88,708 | NSI | 03/05/2018 | (852 | ) | |||||||||||||||||
HKD | 202,000 | USD | 25,844 | MS | 03/05/2018 | (30 | ) |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2018
Currency purchased | Currency sold | Counterparty | Settlement date | Unrealized appreciation (depreciation) | ||||||||||||||||||||
INR | 10,038,000 | USD | 154,186 | BNP | 03/05/2018 | $ | (293 | ) | ||||||||||||||||
INR | 506,000 | USD | 7,918 | DB | 03/05/2018 | (160 | ) | |||||||||||||||||
INR | 41,753,000 | USD | 641,337 | JPM | 03/05/2018 | (1,220 | ) | |||||||||||||||||
INR | 51,285,000 | USD | 789,425 | NSI | 03/05/2018 | (3,173 | ) | |||||||||||||||||
KRW | 285,744,000 | USD | 264,113 | BNP | 03/05/2018 | (244 | ) | |||||||||||||||||
KRW | 19,147,102 | USD | 17,924 | CITI | 03/05/2018 | (242 | ) | |||||||||||||||||
KRW | 1,698,406,000 | USD | 1,569,836 | JPM | 03/05/2018 | (1,450 | ) | |||||||||||||||||
KRW | 10,938,898 | USD | 10,239 | MS | 03/05/2018 | (138 | ) | |||||||||||||||||
KRW | 1,954,064,000 | USD | 1,823,331 | NSI | 03/05/2018 | (18,858 | ) | |||||||||||||||||
MXN | 2,765,000 | USD | 147,869 | CITI | 03/05/2018 | (1,263 | ) | |||||||||||||||||
MXN | 49,000 | USD | 2,624 | MS | 03/05/2018 | (26 | ) | |||||||||||||||||
PLN | 848,000 | USD | 250,762 | BNP | 03/05/2018 | (3,013 | ) | |||||||||||||||||
PLN | 5,000 | USD | 1,496 | CITI | 03/05/2018 | (35 | ) | |||||||||||||||||
RUB | 1,191,000 | USD | 21,304 | BNP | 03/05/2018 | (180 | ) | |||||||||||||||||
RUB | 12,000 | USD | 213 | CITI | 03/05/2018 | — | ||||||||||||||||||
TWD | 498,000 | USD | 17,134 | CITI | 03/05/2018 | (109 | ) | |||||||||||||||||
TWD | 85,436,000 | USD | 2,926,893 | NSI | 03/05/2018 | (6,232 | ) | |||||||||||||||||
USD | 436,293 | CLP | 262,878,000 | BNP | 03/05/2018 | (5,551 | ) | |||||||||||||||||
USD | 105,337 | INR | 6,981,000 | BNP | 03/05/2018 | (1,689 | ) | |||||||||||||||||
USD | 545 | KRW | 592,000 | BNP | 03/05/2018 | (1 | ) | |||||||||||||||||
USD | 4,961 | RUB | 282,000 | BNP | 03/05/2018 | (40 | ) | |||||||||||||||||
USD | 83 | ZAR | 1,000 | BBP | 03/05/2018 | (2 | ) | |||||||||||||||||
USD | 166,458 | ZAR | 1,992,000 | CITI | 03/05/2018 | (2,368 | ) | |||||||||||||||||
ZAR | 1,936,000 | USD | 166,389 | CITI | 03/05/2018 | (2,310 | ) | |||||||||||||||||
BRL | 9,000 | USD | 2,767 | CITI | 04/06/2018 | (5 | ) | |||||||||||||||||
CLP | 5,129,000 | USD | 8,622 | BNP | 04/06/2018 | (5 | ) | |||||||||||||||||
CLP | 4,273,000 | USD | 7,189 | CITI | 04/06/2018 | (11 | ) | |||||||||||||||||
EUR | 1,000 | USD | 1,224 | SSB | 04/06/2018 | (1 | ) | |||||||||||||||||
HKD | 60,000 | USD | 7,676 | BOA | 04/06/2018 | (2 | ) | |||||||||||||||||
INR | 1,926,000 | USD | 29,387 | BNP | 04/06/2018 | (19 | ) | |||||||||||||||||
INR | 424,000 | USD | 6,475 | CITI | 04/06/2018 | (10 | ) | |||||||||||||||||
KRW | 45,543,000 | USD | 42,076 | BNP | 04/06/2018 | (71 | ) | |||||||||||||||||
KRW | 13,476,000 | USD | 12,459 | CITI | 04/06/2018 | (30 | ) | |||||||||||||||||
MXN | 63,000 | USD | 3,332 | CITI | 04/06/2018 | (9 | ) | |||||||||||||||||
PLN | 8,000 | USD | 2,341 | CITI | 04/06/2018 | (2 | ) | |||||||||||||||||
RUB | 33,000 | USD | 584 | CITI | 04/06/2018 | — | ||||||||||||||||||
TWD | 1,109,000 | USD | 37,986 | CITI | 04/09/2018 | (53 | ) | |||||||||||||||||
USD | 13,818 | TWD | 405,000 | BNP | 04/09/2018 | (35 | ) | |||||||||||||||||
|
| |||||||||||||||||||||||
(55,128 | ) | |||||||||||||||||||||||
|
| |||||||||||||||||||||||
Net unrealized appreciation | $ | 59,939 | ||||||||||||||||||||||
|
| |||||||||||||||||||||||
Counterparties:
BBP — Barclays Bank PLC Wholesale
BNP — BNP Paribas SA
BOA — Bank of America N.A.
CITI — Citibank N.A. London
DB — Deutsche Bank AG London
JPM — JPMorgan Chase Bank N.A.
MS — Morgan Stanley and Co. International PLC
NSI — Nomura Securities International Inc.
SSB — State Street Bank London
UBS — UBS AG London
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EM CURRENCY HEDGED ETF
February 28, 2018
Currency abbreviations:
BRL — Brazilian Real
CLP — Chilean Peso
EUR — Euro
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
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, 2018. 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 | $ | 9,479,593 | $ | — | $ | — | $ | 9,479,593 | ||||||||
Money market funds | 4,830 | — | — | 4,830 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 9,484,423 | $ | — | $ | — | $ | 9,484,423 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Forward currency contracts | $ | — | $ | 115,067 | $ | — | $ | 115,067 | ||||||||
Liabilities | ||||||||||||||||
Forward currency contracts | — | (55,128 | ) | — | (55,128 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | — | $ | 59,939 | $ | — | $ | 59,939 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.45% |
| |||||||
BRAZIL — 1.59% |
| |||||||
Ambev SA | 4,602,000 | $ | 31,163,986 | |||||
Cielo SA | 1,826,216 | 13,597,896 | ||||||
Equatorial Energia SA | 714,600 | 15,749,245 | ||||||
Raia Drogasil SA | 635,200 | 15,199,830 | ||||||
|
| |||||||
75,710,957 | ||||||||
CHILE — 3.76% |
| |||||||
Aguas Andinas SA Series A | 44,447,135 | 29,712,394 | ||||||
Banco de Chile | 423,137,955 | 71,816,829 | ||||||
Banco de Credito e Inversiones SA | 97,236 | 7,247,203 | ||||||
Cia. Cervecerias Unidas SA | 174,912 | 2,467,216 | ||||||
Colbun SA | 18,588,515 | 4,518,734 | ||||||
Empresas COPEC SA | 345,825 | 5,589,540 | ||||||
Enel Americas SA | 18,739,578 | 4,326,990 | ||||||
Enel Generacion Chile SA | 6,406,578 | 5,998,592 | ||||||
SACI Falabella | 4,658,072 | 47,142,349 | ||||||
|
| |||||||
178,819,847 | ||||||||
CHINA — 25.79% |
| |||||||
3SBio Inc.a,b,c | 2,952,000 | 5,620,845 | ||||||
AAC Technologies Holdings Inc. | 1,380,000 | 27,493,131 | ||||||
Agricultural Bank of China Ltd. Class H | 108,147,000 | 60,117,753 | ||||||
Alibaba Group Holding Ltd. ADRa | 350,519 | 65,245,607 | ||||||
ANTA Sports Products Ltd. | 3,952,000 | 19,595,108 | ||||||
Autohome Inc. ADR | 49,088 | 3,839,172 | ||||||
Baidu Inc. ADRa | 168,740 | 42,579,852 | ||||||
Bank of China Ltd. Class H | 92,807,000 | 50,641,623 | ||||||
Bank of Communications Co. Ltd. Class H | 5,473,000 | 4,392,220 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 6,352,000 | 9,383,553 | ||||||
China CITIC Bank Corp. Ltd. Class H | 16,674,000 | 12,166,759 | ||||||
China Construction Bank Corp. Class H | 42,138,000 | 43,886,458 | ||||||
China Everbright Bank Co. Ltd. Class H | 23,082,000 | 11,887,143 | ||||||
China Gas Holdings Ltd.c | 1,687,400 | 5,261,467 | ||||||
China Huarong Asset Management Co. Ltd. Class Hb | 10,322,000 | 4,682,645 |
Security | Shares | Value | ||||||
China Huishan Dairy Holdings Co. Ltd.a,d | 33,013,520 | $ | 42 | |||||
China Life Insurance Co. Ltd. Class H | 1,588,000 | 4,718,158 | ||||||
China Medical System Holdings Ltd. | 7,940,000 | 15,950,417 | ||||||
China Mengniu Dairy Co. Ltd. | 7,492,000 | 24,748,981 | ||||||
China Merchants Port Holdings Co. Ltd. | 1,132,000 | 2,650,153 | ||||||
China Mobile Ltd. | 6,749,000 | 63,304,487 | ||||||
China Petroleum & Chemical Corp. Class H | 44,522,000 | 35,843,814 | ||||||
China Resources Beer Holdings Co. Ltd. | 7,940,000 | 30,642,659 | ||||||
China Resources Gas Group Ltd.c | 2,376,000 | 8,015,846 | ||||||
China Resources Pharmaceutical Group Ltd.b | 1,588,000 | 2,142,957 | ||||||
China Resources Power Holdings Co. Ltd. | 3,182,000 | 5,538,298 | ||||||
China Telecom Corp. Ltd. Class H | 35,098,000 | 15,473,924 | ||||||
China Unicom Hong Kong Ltd.a | 3,176,000 | 4,115,451 | ||||||
CNOOC Ltd. | 1,588,000 | 2,313,419 | ||||||
COSCO SHIPPING Ports Ltd. | 14,292,000 | 13,898,780 | ||||||
CSPC Pharmaceutical Group Ltd. | 24,180,000 | 55,866,791 | ||||||
Fullshare Holdings Ltd.c | 20,490,000 | 11,521,092 | ||||||
Fuyao Glass Industry Group Co. Ltd. Class Hb | 952,800 | 3,823,230 | ||||||
Guangdong Investment Ltd. | 33,348,000 | 51,053,511 | ||||||
Hengan International Group Co. Ltd. | 2,382,000 | 23,286,392 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 35,867,000 | 30,984,233 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 20,644,000 | 32,132,176 | ||||||
Kingboard Chemical Holdings Ltd. | 794,000 | 4,033,264 | ||||||
Lenovo Group Ltd.c | 15,340,000 | 8,017,661 | ||||||
NetEase Inc. ADR | 97,409 | 28,574,930 | ||||||
New Oriental Education & Technology Group Inc. ADR | 200,954 | 18,365,186 | ||||||
PetroChina Co. Ltd. Class H | 52,462,000 | 37,073,960 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 1,588,000 | 16,934,635 |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Semiconductor Manufacturing International Corp.a,c | 9,128,500 | $ | 12,295,297 | |||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 15,880,000 | 10,856,836 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 8,901,253 | 12,942,422 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 3,258,300 | 8,211,018 | ||||||
Shenzhou International Group Holdings Ltd. | 3,271,000 | 32,395,244 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 34,965,000 | 12,779,050 | ||||||
SINA Corp./Chinaa | 20,709 | 2,421,503 | ||||||
Sino Biopharmaceutical Ltd. | 12,391,000 | 23,466,783 | ||||||
Sinopharm Group Co. Ltd. Class H | 953,200 | 4,208,536 | ||||||
Sun Art Retail Group Ltd. | 4,602,000 | 6,116,162 | ||||||
Sunny Optical Technology Group Co. Ltd. | 200,000 | 3,340,447 | ||||||
TAL Education Group Class A ADR | 432,588 | 16,334,523 | ||||||
Tencent Holdings Ltd. | 1,289,300 | 71,209,469 | ||||||
TravelSky Technology Ltd. Class H | 7,146,000 | 22,829,796 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 2,030,000 | 11,154,844 | ||||||
Want Want China Holdings Ltd.c | 3,970,000 | 3,353,443 | ||||||
Weibo Corp. ADRa | 19,175 | 2,464,371 | ||||||
Yum China Holdings Inc. | 981,760 | 42,529,843 | ||||||
Zijin Mining Group Co. Ltd. Class H | 6,352,000 | 2,922,214 | ||||||
ZTE Corp. Class Ha | 1,746,800 | 6,161,001 | ||||||
|
| |||||||
1,225,810,585 | ||||||||
COLOMBIA — 0.52% |
| |||||||
Grupo Argos SA/Colombia | 228,168 | 1,536,798 | ||||||
Interconexion Electrica SA ESP | 4,870,385 | 23,261,561 | ||||||
|
| |||||||
24,798,359 | ||||||||
CZECH REPUBLIC — 0.53% |
| |||||||
CEZ AS | 104,312 | 2,528,509 | ||||||
Komercni Banka AS | 267,926 | 11,915,138 | ||||||
Moneta Money Bank ASb | 749,359 | 3,023,197 | ||||||
O2 Czech Republic AS | 593,668 | 7,736,638 | ||||||
|
| |||||||
25,203,482 |
Security | Shares | Value | ||||||
EGYPT — 0.32% |
| |||||||
Commercial International Bank Egypt SAE | 3,521,202 | $ | 15,392,797 | |||||
|
| |||||||
15,392,797 | ||||||||
GREECE — 0.84% |
| |||||||
Hellenic Telecommunications Organization SA | 742,950 | 10,592,769 | ||||||
JUMBO SA | 619,385 | 11,286,173 | ||||||
OPAP SA | 380,238 | 4,642,212 | ||||||
Titan Cement Co. SA | 489,204 | 13,365,137 | ||||||
|
| |||||||
39,886,291 | ||||||||
HUNGARY — 0.79% |
| |||||||
MOL Hungarian Oil & Gas PLC | 1,329,796 | 14,545,085 | ||||||
Richter Gedeon Nyrt | 1,042,435 | 22,998,309 | ||||||
|
| |||||||
37,543,394 | ||||||||
INDIA — 7.53% |
| |||||||
Asian Paints Ltd. | 1,519,571 | 26,072,115 | ||||||
Cadila Healthcare Ltd. | 338,895 | 2,107,356 | ||||||
Cipla Ltd./India | 301,899 | 2,732,540 | ||||||
Coal India Ltd. | 510,415 | 2,422,162 | ||||||
Dabur India Ltd. | 6,473,966 | 32,302,130 | ||||||
HCL Technologies Ltd. | 2,465,138 | 35,581,008 | ||||||
Hindustan Unilever Ltd. | 1,092,424 | 22,097,077 | ||||||
Housing Development Finance Corp. Ltd. | 309,868 | 8,603,078 | ||||||
Infosys Ltd. | 3,295,414 | 59,315,808 | ||||||
ITC Ltd. | 586,755 | 2,387,235 | ||||||
Lupin Ltd. | 174,109 | 2,191,388 | ||||||
Marico Ltd. | 3,185,241 | 15,066,593 | ||||||
Maruti Suzuki India Ltd. | 17,641 | 2,396,755 | ||||||
Nestle India Ltd. | 33,748 | 4,020,802 | ||||||
Reliance Industries Ltd. | 648,882 | 9,507,689 | ||||||
Sun Pharmaceutical Industries Ltd. | 712,154 | 5,852,242 | ||||||
Tata Consultancy Services Ltd. | 1,127,490 | 52,527,790 | ||||||
Tech Mahindra Ltd. | 2,011,335 | 18,915,047 | ||||||
Titan Co. Ltd. | 589,056 | 7,379,674 | ||||||
Vakrangee Ltd. | 1,705,604 | 4,259,674 | ||||||
Wipro Ltd. | 9,408,567 | 42,286,830 | ||||||
|
| |||||||
358,024,993 | ||||||||
INDONESIA — 5.27% |
| |||||||
Bank Central Asia Tbk PT | 43,642,300 | 73,565,138 | ||||||
Bank Mandiri Persero Tbk PT | 13,039,000 | 7,871,673 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 38,503,400 | 10,586,090 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Gudang Garam Tbk PT | 1,828,900 | $ | 10,608,777 | |||||
Hanjaya Mandala Sampoerna Tbk PT | 96,915,300 | 33,976,924 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 11,308,200 | 7,381,976 | ||||||
Indofood Sukses Makmur Tbk PT | 16,078,000 | 8,858,483 | ||||||
Jasa Marga Persero Tbk PT | 6,278,495 | 2,443,172 | ||||||
Kalbe Farma Tbk PT | 159,996,200 | 18,619,771 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 115,830,500 | 33,699,822 | ||||||
Unilever Indonesia Tbk PT | 10,979,800 | 43,045,512 | ||||||
|
| |||||||
250,657,338 | ||||||||
MALAYSIA — 7.48% |
| |||||||
DiGi.Com Bhdc | 3,578,600 | 4,421,860 | ||||||
HAP Seng Consolidated Bhdc | 3,020,100 | 7,363,277 | ||||||
Hong Leong Bank Bhd | 11,215,300 | 57,322,008 | ||||||
IHH Healthcare Bhdc | 34,689,100 | 52,339,183 | ||||||
Malayan Banking Bhd | 22,549,800 | 60,217,235 | ||||||
Maxis Bhdc | 10,434,800 | 15,744,107 | ||||||
Petronas Chemicals Group Bhd | 6,757,700 | 13,957,057 | ||||||
Petronas Dagangan Bhd | 1,191,000 | 7,844,728 | ||||||
Petronas Gas Bhd | 5,407,700 | 24,325,676 | ||||||
Public Bank Bhd | 13,575,980 | 79,715,992 | ||||||
Telekom Malaysia Bhdc | 7,872,000 | 11,857,238 | ||||||
Tenaga Nasional Bhdc | 4,218,500 | 16,908,463 | ||||||
Westports Holdings Bhdc | 3,417,100 | 3,210,347 | ||||||
|
| |||||||
355,227,171 | ||||||||
MEXICO — 1.43% |
| |||||||
Arca Continental SAB de CV | 2,458,000 | 17,045,885 | ||||||
Coca-Cola Femsa SAB de CV Series L | 555,800 | 3,741,273 | ||||||
Gruma SAB de CV Series B | 717,145 | 8,293,902 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 981,800 | 9,477,152 | ||||||
Infraestructura Energetica Nova SAB de CV | 1,746,800 | 8,267,835 | ||||||
Wal-Mart de Mexico SAB de CV | 8,983,800 | 20,951,248 | ||||||
|
| |||||||
67,777,295 | ||||||||
PAKISTAN — 0.24% |
| |||||||
Habib Bank Ltd. | 1,431,200 | 2,697,458 | ||||||
Lucky Cement Ltd. | 516,100 | 2,804,714 | ||||||
MCB Bank Ltd. | 3,092,500 | 6,109,467 | ||||||
|
| |||||||
11,611,639 |
Security | Shares | Value | ||||||
PERU — 1.13% |
| |||||||
Credicorp Ltd. | 247,741 | $ | 53,623,539 | |||||
|
| |||||||
53,623,539 | ||||||||
PHILIPPINES — 3.34% |
| |||||||
Aboitiz Equity Ventures Inc. | 17,839,410 | 26,512,487 | ||||||
Aboitiz Power Corp. | 25,368,600 | 18,753,669 | ||||||
Bank of the Philippine Islands | 13,280,104 | 30,573,818 | ||||||
BDO Unibank Inc. | 11,723,003 | 35,069,967 | ||||||
Jollibee Foods Corp. | 4,424,490 | 25,350,764 | ||||||
Metropolitan Bank & Trust Co. | 4,336,071 | 8,146,785 | ||||||
Security Bank Corp. | 1,510,340 | 7,139,895 | ||||||
Universal Robina Corp. | 2,425,390 | 6,939,000 | ||||||
|
| |||||||
158,486,385 | ||||||||
POLAND — 1.08% |
| |||||||
Bank Pekao SA | 436,594 | 16,875,137 | ||||||
Bank Zachodni WBK SA | 54,158 | 5,914,036 | ||||||
CD Projekt SA | 72,098 | 2,251,254 | ||||||
Cyfrowy Polsat SA | 577,333 | 3,935,653 | ||||||
Grupa Lotos SA | 185,768 | 3,045,581 | ||||||
PGE Polska Grupa Energetyczna SAa | 2,125,600 | 6,289,804 | ||||||
Polski Koncern Naftowy ORLEN SA | 456,554 | 12,859,588 | ||||||
|
| |||||||
51,171,053 | ||||||||
QATAR — 1.47% |
| |||||||
Commercial Bank PQSC (The)a | 799,502 | 6,185,893 | ||||||
Doha Bank QPSC | 522,972 | 4,683,716 | ||||||
Masraf Al Rayan QSC | 242,624 | 2,498,538 | ||||||
Qatar Electricity & Water Co. QSC | 474,078 | 22,215,914 | ||||||
Qatar Islamic Bank SAQ | 678,000 | 17,828,325 | ||||||
Qatar National Bank QPSC | 504,225 | 16,502,763 | ||||||
|
| |||||||
69,915,149 | ||||||||
RUSSIA — 0.16% |
| |||||||
Rosneft Oil Co. PJSC | 371,300 | 2,179,753 | ||||||
Rosneft Oil Co. PJSC GDR | 917,955 | 5,370,037 | ||||||
|
| |||||||
7,549,790 | ||||||||
SOUTH AFRICA — 1.62% |
| |||||||
AngloGold Ashanti Ltd. | 231,344 | 2,120,241 | ||||||
Bidvest Group Ltd. (The) | 371,507 | 7,085,031 | ||||||
Fortress REIT Ltd. Series A | 7,919,797 | 10,681,620 | ||||||
Gold Fields Ltd. | 573,716 | 2,226,575 | ||||||
Naspers Ltd. Class N | 11,116 | 3,080,414 | ||||||
NEPI Rockcastle PLC | 974,090 | 9,839,310 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Sappi Ltd. | 318,305 | $ | 2,065,629 | |||||
SPAR Group Ltd. (The) | 186,585 | 3,455,468 | ||||||
Tiger Brands Ltd. | 73,459 | 2,654,761 | ||||||
Vodacom Group Ltd. | 2,443,689 | 33,693,562 | ||||||
|
| |||||||
76,902,611 | ||||||||
SOUTH KOREA — 9.51% |
| |||||||
Celltrion Inc.a,c | 28,939 | 9,433,435 | ||||||
Cheil Worldwide Inc. | 194,762 | 3,345,252 | ||||||
CJ CheilJedang Corp. | 11,505 | 3,590,996 | ||||||
CJ Logistics Corp.a,c | 50,928 | 6,231,379 | ||||||
Coway Co. Ltd. | 77,105 | 6,166,122 | ||||||
DB Insurance Co. Ltd. | 385,882 | 24,765,721 | ||||||
E-MART Inc. | 29,407 | 8,255,359 | ||||||
GS Retail Co. Ltd. | 66,999 | 2,227,319 | ||||||
Hanssem Co. Ltd. | 27,846 | 3,844,286 | ||||||
Hanwha Life Insurance Co. Ltd. | 540,735 | 3,350,570 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 290,295 | 11,071,367 | ||||||
Kakao Corp. | 69,797 | 8,250,084 | ||||||
Kangwon Land Inc.a | 784,333 | 20,895,750 | ||||||
Kia Motors Corp. | 250,042 | 7,931,427 | ||||||
Korea Electric Power Corp.a | 116,204 | 3,551,900 | ||||||
KT Corp. | 262,836 | 6,771,747 | ||||||
KT&G Corp. | 423,165 | 38,998,861 | ||||||
LG Display Co. Ltd.c | 149,565 | 4,122,740 | ||||||
Lotte Corp.a | 44,958 | 2,603,072 | ||||||
NAVER Corp. | 53,186 | 39,438,875 | ||||||
NCSoft Corp. | 52,489 | 18,176,540 | ||||||
S-1 Corp. | 233,285 | 20,680,912 | ||||||
Samsung Biologics Co. Ltd.a,b | 46,958 | 19,513,436 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 64,428 | 5,509,311 | ||||||
Samsung Electronics Co. Ltd. | 18,289 | 39,739,604 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 100,976 | 26,948,069 | ||||||
Samsung Life Insurance Co. Ltd. | 282,345 | 31,678,749 | ||||||
Samsung SDI Co. Ltd.c | 65,962 | 10,416,014 | ||||||
SK Hynix Inc. | 454,831 | 32,256,922 | ||||||
SK Telecom Co. Ltd. | 144,963 | 32,127,731 | ||||||
|
| |||||||
451,893,550 | ||||||||
TAIWAN — 16.33% |
| |||||||
Advanced Semiconductor Engineering Inc. | 5,558,890 | 7,568,491 | ||||||
Advantech Co. Ltd. | 3,295,333 | 24,549,500 |
Security | Shares | Value | ||||||
Asustek Computer Inc. | 1,863,000 | $ | 17,675,703 | |||||
AU Optronics Corp. | 10,322,000 | 4,631,474 | ||||||
Chicony Electronics Co. Ltd. | 8,773,085 | 21,605,549 | ||||||
Chunghwa Telecom Co. Ltd. | 17,303,000 | 64,896,251 | ||||||
Compal Electronics Inc. | 2,382,000 | 1,639,917 | ||||||
Delta Electronics Inc. | 2,621,000 | 12,478,601 | ||||||
Eva Airways Corp. | 7,334,582 | 3,768,345 | ||||||
Far EasTone Telecommunications Co. Ltd. | 20,644,000 | 52,325,050 | ||||||
First Financial Holding Co. Ltd. | 62,894,159 | 43,084,831 | ||||||
Formosa Petrochemical Corp. | 6,352,000 | 25,455,430 | ||||||
Formosa Plastics Corp. | 2,382,840 | 8,447,327 | ||||||
Foxconn Technology Co. Ltd. | 3,605,331 | 9,805,048 | ||||||
Hon Hai Precision Industry Co. Ltd. | 16,701,125 | 50,397,120 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 56,003,034 | 32,993,173 | ||||||
Innolux Corp. | 8,734,000 | 3,889,024 | ||||||
Lite-On Technology Corp. | 17,468,752 | 25,130,160 | ||||||
MediaTek Inc. | 388,000 | 4,000,206 | ||||||
Nanya Technology Corp. | 3,970,000 | 10,987,173 | ||||||
Novatek Microelectronics Corp. | 541,000 | 2,344,077 | ||||||
Phison Electronics Corp. | 152,000 | 1,488,997 | ||||||
Powertech Technology Inc. | 3,177,000 | 9,858,924 | ||||||
President Chain Store Corp. | 3,012,000 | 30,382,559 | ||||||
Quanta Computer Inc. | 3,176,000 | 6,483,520 | ||||||
Siliconware Precision Industries Co. Ltd. | 31,124,000 | 54,262,184 | ||||||
Standard Foods Corp. | 1,915,476 | 4,500,750 | ||||||
Synnex Technology International Corp. | 15,880,000 | 21,049,682 | ||||||
Taiwan Business Bank | 17,641,476 | 5,220,748 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 108,998,770 | 63,467,969 | ||||||
Taiwan Mobile Co. Ltd. | 15,086,000 | 55,547,773 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 8,734,000 | 73,592,300 | ||||||
United Microelectronics Corp. | 21,438,000 | 10,390,221 | ||||||
Winbond Electronics Corp. | 5,558,000 | 3,788,399 | ||||||
WPG Holdings Ltd. | 6,352,000 | 8,158,792 | ||||||
|
| |||||||
775,865,268 | ||||||||
THAILAND — 6.70% |
| |||||||
Advanced Info Service PCL NVDR | 1,905,600 | 12,020,032 | ||||||
Airports of Thailand PCL NVDR | 16,490,500 | 37,167,979 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Bangkok Dusit Medical Services PCL NVDR | 41,759,000 | $ | 29,400,252 | |||||
Bangkok Expressway & Metro PCL NVDR | 77,440,000 | 18,009,302 | ||||||
BTS Group Holdings PCL NVDR | 97,772,500 | 25,385,342 | ||||||
Bumrungrad Hospital PCL NVDR | 3,655,300 | 23,988,270 | ||||||
Central Pattana PCL NVDR | 1,534,000 | 4,117,219 | ||||||
CP ALL PCL NVDR | 16,861,200 | 45,120,764 | ||||||
Delta Electronics Thailand PCL NVDR | 6,071,600 | 13,152,877 | ||||||
Electricity Generating PCL NVDR | 2,215,000 | 16,794,202 | ||||||
Glow Energy PCL NVDR | 8,592,200 | 23,198,119 | ||||||
Home Product Center PCL NVDR | 27,902,400 | 12,800,081 | ||||||
Kasikornbank PCL NVDR | 1,667,400 | 12,323,568 | ||||||
KCE Electronics PCL NVDRc | 4,457,100 | 9,939,376 | ||||||
Minor International PCL NVDR | 3,593,100 | 4,635,889 | ||||||
Robinson PCL NVDR | 2,255,700 | 4,832,616 | ||||||
Siam Cement PCL (The) Foreign | 1,298,100 | 20,263,428 | ||||||
Thai Union Group PCL NVDRc | 8,266,300 | 5,293,171 | ||||||
|
| |||||||
318,442,487 | ||||||||
UNITED ARAB EMIRATES — 2.02% |
| |||||||
DP World Ltd. | 973,647 | 23,805,669 | ||||||
Dubai Islamic Bank PJSC | 4,161,641 | 6,866,292 | ||||||
Emirates Telecommunications Group Co. PJSC | 5,604,507 | 26,245,258 | ||||||
First Abu Dhabi Bank PJSC | 12,424,046 | 39,068,795 | ||||||
|
| |||||||
95,986,014 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $3,882,133,656) |
| 4,726,299,994 | ||||||
PREFERRED STOCKS — 0.23% |
| |||||||
COLOMBIA — 0.12% |
| |||||||
Grupo de Inversiones Suramericana SA, Preference Shares | 479,004 | 5,934,875 | ||||||
|
| |||||||
5,934,875 | ||||||||
RUSSIA — 0.05% |
| |||||||
Transneft PJSC, Preference Shares | 695 | 2,283,849 | ||||||
|
| |||||||
2,283,849 |
Security | Shares | Value | ||||||
SOUTH KOREA — 0.06% |
| |||||||
Samsung Electronics Co. Ltd., Preference Shares | 1,588 | $ | 2,925,533 | |||||
|
| |||||||
2,925,533 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $8,459,926) |
| 11,144,257 | ||||||
SHORT-TERM INVESTMENTS — 1.13% |
| |||||||
MONEY MARKET FUNDS — 1.13% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 48,048,485 | 48,053,290 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 5,485,835 | 5,485,835 | ||||||
|
| |||||||
53,539,125 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $53,534,451) |
| 53,539,125 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $3,944,128,033) |
| 4,790,983,376 | ||||||
Other Assets, Less Liabilities — (0.81)% |
| (38,510,144 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 4,752,473,232 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | 84,571,230 | — | (36,522,745 | )b | 48,048,485 | $ | 48,053,290 | $ | 1,111,537 | c | $ | (2,631 | ) | $ | (10,249 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | 4,920,351 | 565,484 | b | — | 5,485,835 | 5,485,835 | 41,666 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 53,539,125 | $ | 1,153,203 | $ | (2,631 | ) | $ | (10,249 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI Emerging Markets E-Mini | 191 | Mar 2018 | $ | 11,298 | $ | 285,470 | ||||||||||
|
| |||||||||||||||
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.
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MIN VOL EMERGING MARKETS ETF
February 28, 2018
The following table summarizes the value of the Fund’s investments according to the fair value hierarchy as of February 28, 2018. 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 | $ | 4,656,384,803 | $ | 69,915,149 | $ | 42 | $ | 4,726,299,994 | ||||||||
Preferred stocks | 11,144,257 | — | — | 11,144,257 | ||||||||||||
Money market funds | 53,539,125 | — | — | 53,539,125 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 4,721,068,185 | $ | 69,915,149 | $ | 42 | $ | 4,790,983,376 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 285,470 | $ | — | $ | — | $ | 285,470 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 285,470 | $ | — | $ | — | $ | 285,470 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
The Fund had transfers from Level 1 to Level 2 during the six months ended February 28, 2018 in the amount of $78,233,787 (the value of the securities as of the beginning of the period), resulting from the temporary use of an offshore spot rate to translate Qatari riyal into U.S. dollars.
See notes to consolidated financial statements.
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 95.86% |
| |||||||
BRAZIL — 4.71% |
| |||||||
Ambev SA | 36,120,115 | $ | 244,599,471 | |||||
Atacadao Distribuicao Comercio e Industria Ltdaa | 2,923,100 | 13,361,458 | ||||||
B3 SA – Brasil Bolsa Balcao | 15,858,901 | 125,065,038 | ||||||
Banco Bradesco SA | 7,039,538 | 79,804,905 | ||||||
Banco do Brasil SA | 6,591,974 | 84,815,549 | ||||||
Banco Santander Brasil SA Units | 3,192,200 | 36,129,956 | ||||||
BB Seguridade Participacoes SA | 5,343,300 | 47,861,494 | ||||||
BR Malls Participacoes SA | 6,324,288 | 23,223,934 | ||||||
BRF SAa | 3,416,085 | 31,461,105 | ||||||
CCR SA | 9,306,000 | 36,378,977 | ||||||
Centrais Eletricas Brasileiras SAa | 1,544,400 | 11,775,233 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 2,621,024 | 30,375,238 | ||||||
Cia. Energetica de Minas Geraisa | 873,708 | 2,191,834 | ||||||
Cia. Siderurgica Nacional SAa | 4,766,528 | 14,891,961 | ||||||
Cielo SA | 9,370,076 | 69,769,031 | ||||||
Cosan SA Industria e Comercio | 1,239,700 | 16,549,685 | ||||||
EDP – Energias do Brasil SA | 2,286,100 | 9,359,024 | ||||||
Embraer SA | 5,107,600 | 34,210,504 | ||||||
Engie Brasil Energia SA | 1,227,400 | 14,791,138 | ||||||
Equatorial Energia SA | 1,514,600 | 33,380,642 | ||||||
Fibria Celulose SA | 1,910,761 | 36,271,375 | ||||||
Hypera SA | 2,684,000 | 28,519,178 | ||||||
JBS SA | 6,282,565 | 19,164,361 | ||||||
Klabin SA Units | 4,503,900 | 24,815,640 | ||||||
Kroton Educacional SA | 10,642,280 | 50,775,018 | ||||||
Localiza Rent a Car SA | 3,874,589 | 30,937,080 | ||||||
Lojas Renner SA | 5,488,690 | 58,320,763 | ||||||
M. Dias Branco SA | 774,200 | 14,257,910 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 650,703 | 14,060,593 | ||||||
Natura Cosmeticos SA | 1,313,000 | 13,874,656 | ||||||
Odontoprev SA | 2,063,800 | 9,725,826 | ||||||
Petroleo Brasileiro SAa | 22,908,174 | 163,239,470 |
Security | Shares | Value | ||||||
Porto Seguro SA | 869,900 | $ | 12,260,938 | |||||
Qualicorp SA | 1,746,200 | 15,453,097 | ||||||
Raia Drogasil SA | 1,782,500 | 42,653,805 | ||||||
Rumo SAa | 8,346,700 | 36,585,458 | ||||||
Sul America SA Units | 1,537,336 | 10,103,001 | ||||||
Suzano Papel e Celulose SA | 3,335,400 | 22,330,112 | ||||||
TIM Participacoes SA | 6,514,876 | 28,275,414 | ||||||
Transmissora Alianca de Energia Eletrica SA Units | 1,427,500 | 9,007,695 | ||||||
Ultrapar Participacoes SA | 2,780,400 | 64,478,749 | ||||||
Vale SA | 24,333,309 | 337,426,878 | ||||||
WEG SA | 4,348,620 | 31,335,497 | ||||||
|
| |||||||
2,033,868,691 | ||||||||
CHILE — 1.10% | ||||||||
AES Gener SA | 21,240,498 | 6,490,341 | ||||||
Aguas Andinas SA Series A | 20,662,518 | 13,812,654 | ||||||
Banco de Chile | 195,213,778 | 33,132,538 | ||||||
Banco de Credito e Inversiones SA | 296,926 | 22,130,516 | ||||||
Banco Santander Chile | 516,177,034 | 42,384,725 | ||||||
Cencosud SA | 11,046,116 | 33,598,827 | ||||||
Cia. Cervecerias Unidas SA | 1,123,496 | 15,847,439 | ||||||
Colbun SA | 61,203,599 | 14,878,155 | ||||||
Empresa Nacional de Telecomunicaciones SA | 1,136,290 | 13,471,267 | ||||||
Empresas CMPC SA | 9,754,453 | 37,653,399 | ||||||
Empresas COPEC SA | 2,600,444 | 42,030,753 | ||||||
Enel Americas SA | 223,292,095 | 51,558,407 | ||||||
Enel Chile SA | 152,663,385 | 18,850,913 | ||||||
Enel Generacion Chile SA | 25,482,164 | 23,859,399 | ||||||
Itau CorpBanca | 1,208,462,738 | 12,349,417 | ||||||
Latam Airlines Group SA | 2,356,679 | 38,609,953 | ||||||
SACI Falabella | 5,554,802 | 56,217,769 | ||||||
|
| |||||||
476,876,472 | ||||||||
CHINA — 30.22% | ||||||||
3SBio Inc.a,b,c | 7,833,000 | 14,914,661 | ||||||
58.com Inc. ADRa | 703,238 | 53,003,048 | ||||||
AAC Technologies Holdings Inc. | 5,625,000 | 112,064,394 | ||||||
Agile Group Holdings Ltd.c | 11,902,000 | 20,533,015 | ||||||
Agricultural Bank of China Ltd. Class H | 200,785,000 | 111,614,219 | ||||||
Air China Ltd. Class H | 13,910,000 | 21,224,158 | ||||||
Alibaba Group Holding Ltd. ADRa,c | 8,829,267 | 1,643,479,759 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Alibaba Health Information Technology Ltd.a,c | 25,002,000 | $ | 12,300,832 | |||||
Alibaba Pictures Group Ltd.a,c | 95,130,000 | 13,007,693 | ||||||
Aluminum Corp. of China Ltd. Class Ha,c | 30,234,000 | 18,352,204 | ||||||
Anhui Conch Cement Co. Ltd. Class H | 9,549,500 | 51,193,120 | ||||||
ANTA Sports Products Ltd. | 8,291,402 | 41,111,062 | ||||||
Autohome Inc. ADR | 405,671 | 31,727,529 | ||||||
AviChina Industry & Technology Co. Ltd. Class Hc | 16,319,000 | 9,092,410 | ||||||
Baidu Inc. ADRa | 2,107,926 | 531,914,047 | ||||||
Bank of China Ltd. Class H | 610,130,000 | 332,927,185 | ||||||
Bank of Communications Co. Ltd. Class H | 67,011,600 | 53,778,494 | ||||||
Beijing Capital International Airport Co. Ltd. Class H | 11,890,000 | 17,564,617 | ||||||
Beijing Enterprises Holdings Ltd. | 3,828,000 | 21,303,899 | ||||||
Beijing Enterprises Water Group Ltd. | 39,034,000 | 25,439,715 | ||||||
Brilliance China Automotive Holdings Ltd. | 23,224,000 | 62,620,781 | ||||||
BYD Co. Ltd. Class Hc | 4,899,000 | 45,357,053 | ||||||
BYD Electronic International Co. Ltd.c | 5,051,500 | 12,523,366 | ||||||
CGN Power Co. Ltd. Class Hb | 81,042,000 | 21,852,021 | ||||||
China Cinda Asset Management Co. Ltd. Class H | 68,535,000 | 25,748,904 | ||||||
China CITIC Bank Corp. Ltd. Class H | 69,376,800 | 50,623,175 | ||||||
China Communications Construction Co. Ltd. Class H | 34,337,000 | 38,438,414 | ||||||
China Communications Services Corp. Ltd. Class H | 18,432,000 | 10,976,336 | ||||||
China Conch Venture Holdings Ltd.c | 12,179,500 | 36,653,831 | ||||||
China Construction Bank Corp. Class H | 645,743,760 | 672,538,004 |
Security | Shares | Value | ||||||
China Everbright Bank Co. Ltd. Class H | 22,305,000 | $ | 11,486,991 | |||||
China Everbright International Ltd.c | 19,000,000 | 29,427,626 | ||||||
China Everbright Ltd. | 6,910,000 | 15,205,832 | ||||||
China Evergrande Groupa,c | 25,212,388 | 74,748,240 | ||||||
China Galaxy Securities Co. Ltd. Class H | 25,599,000 | 17,959,504 | ||||||
China Gas Holdings Ltd.c | 13,374,400 | 41,702,601 | ||||||
China Huarong Asset Management Co. Ltd. Class Hb | 74,505,000 | 33,799,695 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,d | 8,317,264 | 11 | ||||||
China Jinmao Holdings Group Ltd.c | 38,118,000 | 23,332,680 | ||||||
China Life Insurance Co. Ltd. Class H | 57,046,000 | 169,491,202 | ||||||
China Longyuan Power Group Corp. Ltd. Class H | 24,238,000 | 16,106,424 | ||||||
China Medical System Holdings Ltd. | 10,079,000 | 20,247,387 | ||||||
China Mengniu Dairy Co. Ltd. | 21,113,000 | 69,744,425 | ||||||
China Merchants Bank Co. Ltd. Class H | 30,079,467 | 127,040,035 | ||||||
China Merchants Port Holdings Co. Ltd. | 9,794,000 | 22,928,971 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 42,889,540 | 44,833,609 | ||||||
China Mobile Ltd. | 47,129,000 | 442,062,106 | ||||||
China Molybdenum Co. Ltd. Class H | 28,404,000 | 23,230,496 | ||||||
China National Building Material Co. Ltd. Class Hc | 22,182,000 | 22,025,244 | ||||||
China Oilfield Services Ltd. Class H | 13,572,000 | 14,325,933 | ||||||
China Overseas Land & Investment Ltd. | 29,356,960 | 103,167,470 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 20,308,000 | 99,914,125 | ||||||
China Petroleum & Chemical Corp. Class H | 195,846,800 | 157,672,529 | ||||||
China Railway Construction Corp. Ltd. Class H | 14,995,500 | 16,096,789 |
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
China Railway Group Ltd. Class H | 30,574,000 | $ | 22,231,232 | |||||
China Resources Beer Holdings Co. Ltd. | 12,532,000 | 48,364,459 | ||||||
China Resources Gas Group Ltd.c | 6,722,000 | 22,677,827 | ||||||
China Resources Land Ltd. | 21,207,333 | 75,747,250 | ||||||
China Resources Pharmaceutical Group Ltd.b,c | 13,167,500 | 17,769,133 | ||||||
China Resources Power Holdings Co. Ltd. | 14,638,999 | 25,479,300 | ||||||
China Shenhua Energy Co. Ltd. Class H | 26,188,500 | 74,462,848 | ||||||
China Southern Airlines Co. Ltd. Class H | 14,044,000 | 18,844,262 | ||||||
China State Construction International Holdings Ltd.c | 15,196,000 | 20,700,722 | ||||||
China Taiping Insurance Holdings Co. Ltd.c | 12,469,860 | 48,124,643 | ||||||
China Telecom Corp. Ltd. Class H | 106,164,000 | 46,805,337 | ||||||
China Unicom Hong Kong Ltd.a | 46,372,000 | 60,088,697 | ||||||
China Vanke Co. Ltd. Class H | 9,190,931 | 41,284,197 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 19,967,000 | 16,228,147 | ||||||
CIFI Holdings Group Co. Ltd. | 18,810,000 | 15,359,909 | ||||||
CITIC Ltd. | 44,470,000 | 64,670,824 | ||||||
CITIC Securities Co. Ltd. Class H | 17,593,500 | 39,839,600 | ||||||
CNOOC Ltd. | 137,239,000 | 199,931,581 | ||||||
COSCO SHIPPING Ports Ltd. | 12,712,000 | 12,362,251 | ||||||
Country Garden Holdings Co. Ltd. | 41,053,939 | 73,868,026 | ||||||
CRRC Corp. Ltd. Class H | 32,277,300 | 29,574,360 | ||||||
CSPC Pharmaceutical Group Ltd. | 35,616,000 | 82,289,149 | ||||||
Ctrip.com International Ltd. ADRa,c | 3,011,114 | 138,451,022 |
Security | Shares | Value | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 20,830,000 | $ | 26,379,219 | |||||
ENN Energy Holdings Ltd. | 5,764,000 | 44,416,086 | ||||||
Far East Horizon Ltd. | 15,340,000 | 15,486,435 | ||||||
Fosun International Ltd. | 19,863,000 | 43,811,148 | ||||||
Fullshare Holdings Ltd.c | 51,675,000 | 29,055,755 | ||||||
Fuyao Glass Industry Group Co. Ltd. | 3,810,400 | 15,289,709 | ||||||
GCL-Poly Energy Holdings Ltd.a | 100,408,000 | 15,910,690 | ||||||
Geely Automobile Holdings Ltd. | 37,868,000 | 123,640,934 | ||||||
GF Securities Co. Ltd. Class H | 10,604,000 | 20,434,785 | ||||||
GOME Retail Holdings Ltd.c | 90,193,200 | 10,603,778 | ||||||
Great Wall Motor Co. Ltd. Class Hc | 23,845,000 | 28,216,771 | ||||||
Guangdong Investment Ltd. | 22,248,110 | 34,060,337 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 16,226,742 | 36,081,085 | ||||||
Guangzhou R&F Properties Co. Ltd. Class H | 7,462,800 | 17,566,710 | ||||||
Haier Electronics Group Co. Ltd. | 9,668,000 | 33,172,632 | ||||||
Haitian International Holdings Ltd. | 4,943,000 | 15,128,474 | ||||||
Haitong Securities Co. Ltd. Class H | 24,927,600 | 35,677,753 | ||||||
Hengan International Group Co. Ltd. | 5,547,000 | 54,227,378 | ||||||
Huaneng Power International Inc. Class H | 32,422,000 | 20,136,087 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 36,508,000 | 12,223,296 | ||||||
Huatai Securities Co. Ltd. Class Hb | 12,596,000 | 25,400,289 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 567,020,085 | 489,828,604 | ||||||
JD.com Inc. ADRa,c | 5,030,455 | 237,185,953 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 9,364,000 | 14,574,971 | ||||||
Jiangxi Copper Co. Ltd. Class H | 9,523,000 | 15,065,843 | ||||||
Kingboard Chemical Holdings Ltd. | 4,813,000 | 24,448,488 |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Kingsoft Corp. Ltd. | 6,092,000 | $ | 20,124,238 | |||||
Kunlun Energy Co. Ltd. | 24,846,000 | 23,368,632 | ||||||
Lee & Man Paper Manufacturing Ltd. | 11,765,000 | 13,455,938 | ||||||
Lenovo Group Ltd.c | 55,578,000 | 29,048,601 | ||||||
Longfor Properties Co. Ltd. | 11,368,000 | 32,831,559 | ||||||
Meitu Inc.a,b,c | 9,802,000 | 12,626,246 | ||||||
Momo Inc. ADRa | 830,470 | 27,447,033 | ||||||
NetEase Inc. ADR | 607,265 | 178,141,188 | ||||||
New China Life Insurance Co. Ltd. Class H | 6,163,200 | 36,899,022 | ||||||
New Oriental Education & Technology Group Inc. ADR | 1,030,803 | 94,205,086 | ||||||
Nexteer Automotive Group Ltd. | 6,389,000 | 14,238,963 | ||||||
Nine Dragons Paper Holdings Ltd. | 12,669,000 | 22,859,990 | ||||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 53,960,000 | 29,168,313 | ||||||
PetroChina Co. Ltd. Class H | 161,674,000 | 114,252,133 | ||||||
PICC Property & Casualty Co. Ltd. Class H | 35,198,128 | 69,808,818 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 40,011,000 | 426,682,421 | ||||||
Semiconductor Manufacturing International Corp.a,c | 22,539,999 | 30,359,423 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 13,948,000 | 9,535,967 | ||||||
Shanghai Electric Group Co. Ltd. Class Ha | 21,840,000 | 8,233,295 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 3,646,000 | 21,222,867 | ||||||
Shanghai Industrial Holdings Ltd. | 3,712,000 | 10,412,176 | ||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. Class B | 7,685,326 | 11,174,464 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 5,636,500 | 14,204,156 |
Security | Shares | Value | ||||||
Shenzhou International Group Holdings Ltd.c | 5,654,000 | $ | 55,995,936 | |||||
Shimao Property Holdings Ltd. | 9,193,000 | 22,931,691 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 28,895,000 | 10,560,579 | ||||||
SINA Corp./Chinaa | 439,447 | 51,384,538 | ||||||
Sino Biopharmaceutical Ltd. | 34,426,000 | 65,197,925 | ||||||
Sino-Ocean Group Holding Ltd. | 23,312,500 | 16,623,484 | ||||||
Sinopec Shanghai Petrochemical Co. Ltd. Class H | 26,885,000 | 16,147,560 | ||||||
Sinopharm Group Co. Ltd. Class H | 9,162,000 | 40,451,753 | ||||||
SOHO China Ltd.c | 16,635,000 | 9,566,087 | ||||||
Sun Art Retail Group Ltd. | 18,466,500 | 24,542,395 | ||||||
Sunac China Holdings Ltd.c | 18,511,000 | 67,890,777 | ||||||
Sunny Optical Technology Group Co. Ltd. | 5,473,100 | 91,413,003 | ||||||
TAL Education Group Class A ADR | 2,449,178 | 92,480,961 | ||||||
Tencent Holdings Ltd. | 43,685,400 | 2,412,793,104 | ||||||
Tingyi Cayman Islands Holding Corp. | 14,932,000 | 31,370,309 | ||||||
TravelSky Technology Ltd. Class H | 7,123,000 | 22,756,316 | ||||||
Tsingtao Brewery Co. Ltd. Class H | 2,622,000 | 14,407,882 | ||||||
Vipshop Holdings Ltd. ADRa | 3,115,116 | 54,171,867 | ||||||
Want Want China Holdings Ltd.c | 39,477,000 | 33,346,066 | ||||||
Weibo Corp. ADRa,c | 357,340 | 45,925,337 | ||||||
Weichai Power Co. Ltd. Class H | 15,103,800 | 17,023,694 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 14,202,800 | 21,271,621 | ||||||
Yum China Holdings Inc. | 2,945,985 | 127,620,070 | ||||||
YY Inc. ADRa | 334,993 | 43,324,645 | ||||||
Zhejiang Expressway Co. Ltd. Class H | 10,788,000 | 11,787,075 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. Class H | 4,244,800 | 22,999,696 | ||||||
Zijin Mining Group Co. Ltd. Class H | 44,510,000 | 20,476,659 |
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
ZTE Corp. Class Ha | 5,607,400 | $ | 19,777,419 | |||||
|
| |||||||
13,058,144,835 | ||||||||
COLOMBIA — 0.28% | ||||||||
Bancolombia SA | 1,741,200 | 18,307,750 | ||||||
Cementos Argos SA | 3,511,490 | 12,780,473 | ||||||
Ecopetrol SA | 37,858,805 | 33,128,030 | ||||||
Grupo Argos SA/Colombia | 2,301,382 | 15,500,683 | ||||||
Grupo de Inversiones Suramericana SA | 2,014,047 | 26,976,273 | ||||||
Interconexion Electrica SA ESP | 2,998,324 | 14,320,366 | ||||||
|
| |||||||
121,013,575 | ||||||||
CZECH REPUBLIC — 0.18% |
| |||||||
CEZ AS | 1,247,947 | 30,250,066 | ||||||
Komercni Banka AS | 590,850 | 26,276,134 | ||||||
Moneta Money Bank ASb | 3,795,270 | 15,311,552 | ||||||
O2 Czech Republic AS | 479,599 | 6,250,099 | ||||||
|
| |||||||
78,087,851 | ||||||||
EGYPT — 0.12% | ||||||||
Commercial International Bank Egypt SAE | 7,494,171 | 32,760,476 | ||||||
Eastern Tobacco | 306,373 | 9,552,905 | ||||||
Global Telecom Holding SAEa | 19,108,142 | 7,325,148 | ||||||
|
| |||||||
49,638,529 | ||||||||
GREECE — 0.33% | ||||||||
Alpha Bank AEa | 10,740,400 | 25,688,187 | ||||||
Eurobank Ergasias SAa,c | 14,301,020 | 14,477,064 | ||||||
FF Groupa | 248,911 | 5,312,727 | ||||||
Hellenic Telecommunications Organization SA | 1,847,492 | 26,341,014 | ||||||
JUMBO SA | 760,280 | 13,853,502 | ||||||
National Bank of Greece SAa,c | 42,015,463 | 15,639,724 | ||||||
OPAP SA | 1,683,741 | 20,556,292 | ||||||
Piraeus Bank SAa,c | 2,169,477 | 9,604,994 | ||||||
Titan Cement Co. SA | 336,826 | 9,202,144 | ||||||
|
| |||||||
140,675,648 | ||||||||
HUNGARY — 0.32% | ||||||||
MOL Hungarian Oil & Gas PLC | 2,843,146 | 31,097,853 | ||||||
OTP Bank PLC | 1,840,374 | 82,205,810 | ||||||
Richter Gedeon Nyrt | 1,077,363 | 23,768,894 | ||||||
|
| |||||||
137,072,557 |
Security | Shares | Value | ||||||
INDIA — 8.20% | ||||||||
ACC Ltd. | 336,756 | $ | 8,389,920 | |||||
Adani Ports & Special Economic Zone Ltd. | 5,617,462 | 35,211,399 | ||||||
Ambuja Cements Ltd. | 4,676,922 | 18,116,488 | ||||||
Ashok Leyland Ltd. | 8,948,399 | 19,436,245 | ||||||
Asian Paints Ltd. | 2,217,646 | 38,049,371 | ||||||
Aurobindo Pharma Ltd. | 2,040,286 | 19,226,457 | ||||||
Axis Bank Ltd. | 13,718,618 | 111,345,154 | ||||||
Bajaj Auto Ltd. | 645,762 | 29,941,688 | ||||||
Bajaj Finance Ltd. | 1,293,407 | 32,565,356 | ||||||
Bajaj Finserv Ltd. | 292,822 | 22,706,586 | ||||||
Bharat Forge Ltd. | 1,617,920 | 19,616,081 | ||||||
Bharat Heavy Electricals Ltd. | 6,666,384 | 9,199,423 | ||||||
Bharat Petroleum Corp. Ltd. | 5,837,208 | 38,488,366 | ||||||
Bharti Airtel Ltd. | 10,716,092 | 70,493,409 | ||||||
Bharti Infratel Ltd. | 1,302,391 | 6,931,158 | ||||||
Bosch Ltd. | 57,316 | 16,441,181 | ||||||
Britannia Industries Ltd. | 190,299 | 14,588,726 | ||||||
Cadila Healthcare Ltd. | 1,593,217 | 9,907,128 | ||||||
Cipla Ltd./India | 2,703,389 | 24,468,842 | ||||||
Coal India Ltd. | 5,241,284 | 24,872,390 | ||||||
Container Corp. of India Ltd. | 323,828 | 6,482,649 | ||||||
Dabur India Ltd. | 4,117,330 | 20,543,594 | ||||||
Dr. Reddy’s Laboratories Ltd. | 883,712 | 30,348,403 | ||||||
Eicher Motors Ltd. | 102,765 | 43,281,699 | ||||||
GAIL India Ltd. | 3,889,346 | 27,313,557 | ||||||
Glenmark Pharmaceuticals Ltd. | 1,065,196 | 8,903,851 | ||||||
Godrej Consumer Products Ltd. | 1,860,661 | 30,573,434 | ||||||
Grasim Industries Ltd. | 2,531,355 | 44,789,883 | ||||||
Havells India Ltd. | 1,924,085 | 14,993,369 | ||||||
HCL Technologies Ltd. | 4,286,739 | 61,873,411 | ||||||
Hero MotoCorp Ltd. | 381,163 | 21,043,866 | ||||||
Hindalco Industries Ltd. | 9,002,409 | 33,911,256 | ||||||
Hindustan Petroleum Corp. Ltd. | 4,692,544 | 27,382,552 | ||||||
Hindustan Unilever Ltd. | 5,008,913 | 101,318,113 | ||||||
Housing Development Finance Corp. Ltd. | 11,646,225 | 323,342,129 | ||||||
ICICI Bank Ltd. | 18,250,970 | 87,758,180 | ||||||
Idea Cellular Ltd.a | 11,066,859 | 14,252,693 |
SCHEDULESOF INVESTMENTS | 29 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
IDFC Bank Ltd. | 10,257,037 | $ | 8,108,485 | |||||
Indiabulls Housing Finance Ltd. | 2,456,586 | 47,290,589 | ||||||
Indian Oil Corp. Ltd. | 4,464,931 | 25,996,098 | ||||||
Infosys Ltd. | 13,428,393 | 241,704,375 | ||||||
ITC Ltd. | 26,194,076 | 106,571,596 | ||||||
JSW Steel Ltd. | 6,642,039 | 31,830,605 | ||||||
Larsen & Toubro Ltd. | 3,651,234 | 73,877,991 | ||||||
LIC Housing Finance Ltd. | 2,305,628 | 17,971,839 | ||||||
Lupin Ltd. | 1,700,256 | 21,399,926 | ||||||
Mahindra & Mahindra Financial Services Ltd. | 2,182,873 | 14,496,920 | ||||||
Mahindra & Mahindra Ltd. | 5,712,482 | 63,866,858 | ||||||
Marico Ltd. | 3,504,119 | 16,574,926 | ||||||
Maruti Suzuki India Ltd. | 815,143 | 110,747,586 | ||||||
Motherson Sumi Systems Ltd. | 4,822,369 | 24,427,834 | ||||||
Nestle India Ltd. | 179,287 | 21,360,599 | ||||||
NTPC Ltd. | 12,678,347 | 31,770,672 | ||||||
Oil & Natural Gas Corp. Ltd. | 9,757,226 | 28,202,478 | ||||||
Petronet LNG Ltd. | 3,823,928 | 14,515,915 | ||||||
Piramal Enterprises Ltd. | 608,361 | 24,116,856 | ||||||
Piramal Enterprises Ltd. New | 26,757 | 1,060,710 | ||||||
Power Finance Corp. Ltd. | 4,861,921 | 7,843,704 | ||||||
Reliance Industries Ltd. | 21,829,677 | 319,857,523 | ||||||
Rural Electrification Corp. Ltd. | 5,289,022 | 11,715,269 | ||||||
Shree Cement Ltd. | 65,050 | 16,598,890 | ||||||
Shriram Transport Finance Co. Ltd. | 1,141,015 | 23,361,941 | ||||||
Siemens Ltd. | 560,658 | 10,051,115 | ||||||
State Bank of India | 13,266,149 | 54,574,560 | ||||||
Sun Pharmaceutical Industries Ltd. | 7,390,345 | 60,731,373 | ||||||
Tata Consultancy Services Ltd. | 3,529,337 | 164,425,646 | ||||||
Tata Motors Ltd.a | 12,159,543 | 69,041,809 | ||||||
Tata Motors Ltd. Class Aa | 2,961,898 | 9,406,784 | ||||||
Tata Power Co. Ltd. (The) | 8,875,353 | 11,512,057 | ||||||
Tata Steel Ltd. | 2,511,307 | 25,889,346 | ||||||
Tech Mahindra Ltd. | 3,592,780 | 33,787,312 | ||||||
Titan Co. Ltd. | 2,395,302 | 30,008,262 | ||||||
UltraTech Cement Ltd. | 670,921 | 42,797,234 | ||||||
United Spirits Ltd.a | 450,054 | 22,741,988 | ||||||
UPL Ltd. | 2,743,193 | 30,686,370 |
Security | Shares | Value | ||||||
Vakrangee Ltd. | 3,135,379 | $ | 7,830,476 | |||||
Vedanta Ltd. | 11,481,567 | 58,116,111 | ||||||
Wipro Ltd. | 8,787,510 | 39,495,488 | ||||||
Yes Bank Ltd. | 12,867,900 | 63,661,748 | ||||||
Zee Entertainment Enterprises Ltd. | 4,143,423 | 35,957,314 | ||||||
|
| |||||||
3,544,093,185 | ||||||||
INDONESIA — 2.16% |
| |||||||
Adaro Energy Tbk PT | 111,803,700 | 19,110,353 | ||||||
AKR Corporindo Tbk PT | 13,742,600 | 6,097,382 | ||||||
Astra International Tbk PT | 154,729,800 | 90,878,506 | ||||||
Bank Central Asia Tbk PT | 75,808,100 | 127,785,047 | ||||||
Bank Danamon Indonesia Tbk PT | 26,661,016 | 12,798,684 | ||||||
Bank Mandiri Persero Tbk PT | 143,594,200 | 86,688,138 | ||||||
Bank Negara Indonesia Persero Tbk PT | 57,553,476 | 40,710,445 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 426,632,610 | 117,297,979 | ||||||
Bank Tabungan Negara Persero Tbk PT | 28,995,200 | 7,887,555 | ||||||
Bumi Serpong Damai Tbk PT | 57,733,000 | 8,125,494 | ||||||
Charoen Pokphand Indonesia Tbk PT | 57,324,245 | 14,343,048 | ||||||
Gudang Garam Tbk PT | 3,688,000 | 21,392,734 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 71,470,400 | 25,056,357 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 13,628,300 | 21,782,878 | ||||||
Indofood CBP Sukses Makmur Tbk PT | 17,702,800 | 11,556,361 | ||||||
Indofood Sukses Makmur Tbk PT | 33,946,800 | 18,703,641 | ||||||
Jasa Marga Persero Tbk PT | 16,483,895 | 6,414,433 | ||||||
Kalbe Farma Tbk PT | 165,337,715 | 19,241,397 | ||||||
Matahari Department Store Tbk PT | 18,952,700 | 14,681,329 | ||||||
Pakuwon Jati Tbk PT | 156,424,100 | 7,679,839 | ||||||
Perusahaan Gas Negara Persero Tbk PT | 83,165,900 | 16,151,068 | ||||||
Semen Indonesia Persero Tbk PT | 22,897,200 | 18,527,938 |
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Surya Citra Media Tbk PT | 44,839,100 | $ | 9,294,937 | |||||
Telekomunikasi Indonesia Persero Tbk PT | 386,166,300 | 112,351,544 | ||||||
Tower Bersama Infrastructure Tbk PT | 17,290,000 | 7,073,953 | ||||||
Unilever Indonesia Tbk PT | 11,720,100 | 45,947,804 | ||||||
United Tractors Tbk PT | 13,003,453 | 33,670,795 | ||||||
Waskita Karya Persero Tbk PT | 36,669,100 | 7,761,362 | ||||||
XL Axiata Tbk PTa | 26,043,600 | 5,588,146 | ||||||
|
| |||||||
934,599,147 | ||||||||
MALAYSIA — 2.40% |
| |||||||
AirAsia Bhd | 11,607,900 | 12,979,985 | ||||||
Alliance Bank Malaysia Bhd | 8,117,000 | 8,537,667 | ||||||
AMMB Holdings Bhd | 13,867,675 | 14,657,180 | ||||||
Astro Malaysia Holdings Bhd | 11,410,600 | 7,049,694 | ||||||
Axiata Group Bhdc | 20,834,400 | 28,722,430 | ||||||
British American Tobacco Malaysia Bhdc | 1,086,600 | 7,878,335 | ||||||
CIMB Group Holdings Bhd | 34,661,000 | 63,623,332 | ||||||
Dialog Group Bhd | 25,314,412 | 17,126,166 | ||||||
DiGi.Com Bhdc | 27,052,400 | 33,427,015 | ||||||
Felda Global Ventures Holdings Bhd | 10,933,000 | 5,414,863 | ||||||
Gamuda Bhdc | 13,459,200 | 17,043,051 | ||||||
Genting Bhd | 17,489,500 | 39,515,465 | ||||||
Genting Malaysia Bhdc | 23,468,900 | 31,575,467 | ||||||
Genting Plantations Bhd | 2,207,000 | 5,690,758 | ||||||
HAP Seng Consolidated Bhd | 4,415,900 | 10,766,363 | ||||||
Hartalega Holdings Bhd | 4,934,000 | 14,712,566 | ||||||
Hong Leong Bank Bhd | 4,791,100 | 24,487,573 | ||||||
Hong Leong Financial Group Bhd | 1,576,600 | 7,687,787 | ||||||
IHH Healthcare Bhdc | 18,439,700 | 27,821,962 | ||||||
IJM Corp. Bhdc | 21,908,440 | 15,213,418 | ||||||
IOI Corp. Bhdc | 17,809,620 | 21,324,258 | ||||||
IOI Properties Group Bhdc | 16,932,756 | 7,997,345 | ||||||
Kuala Lumpur Kepong Bhd | 3,514,800 | 22,468,877 | ||||||
Malayan Banking Bhd | 31,129,800 | 83,129,361 | ||||||
Malaysia Airports Holdings Bhd | 6,219,200 | 13,813,388 | ||||||
Maxis Bhdc | 14,649,500 | 22,103,279 | ||||||
MISC Bhdc | 9,105,000 | 15,945,954 |
Security | Shares | Value | ||||||
Nestle Malaysia Bhd | 295,300 | $ | 9,657,373 | |||||
Petronas Chemicals Group Bhd | 18,649,400 | 38,517,653 | ||||||
Petronas Dagangan Bhd | 1,667,300 | 10,981,961 | ||||||
Petronas Gas Bhd | 5,388,900 | 24,241,107 | ||||||
PPB Group Bhdc | 3,800,800 | 17,174,920 | ||||||
Press Metal Aluminium Holdings Bhd | 9,796,500 | 14,505,923 | ||||||
Public Bank Bhd | 21,819,030 | 128,117,868 | ||||||
RHB Bank Bhd | 5,996,525 | 8,236,228 | ||||||
RHB Bank Bhd Newa,d | 3,214,200 | 8 | ||||||
Sapura Energy Bhdc | 30,213,800 | 5,168,048 | ||||||
Sime Darby Bhd | 18,442,773 | 12,995,163 | ||||||
Sime Darby Plantation Bhda | 18,442,773 | 25,189,899 | ||||||
Sime Darby Property Bhda | 18,442,773 | 6,638,833 | ||||||
SP Setia Bhd Group | 6,923,300 | 5,991,827 | ||||||
Telekom Malaysia Bhdc | 8,633,300 | 13,003,949 | ||||||
Tenaga Nasional Bhd | 26,384,450 | 105,753,348 | ||||||
UMW Holdings Bhda | 3,851,200 | 6,390,809 | ||||||
Westports Holdings Bhd | 7,404,700 | 6,956,675 | ||||||
YTL Corp. Bhdc | 34,876,789 | 12,732,655 | ||||||
YTL Power International Bhd | 19,220,416 | 5,544,823 | ||||||
|
| |||||||
1,038,512,609 | ||||||||
MEXICO — 2.83% |
| |||||||
Alfa SAB de CV Class A | 23,105,900 | 27,420,422 | ||||||
America Movil SAB de CV Series L | 257,912,000 | 237,037,901 | ||||||
Arca Continental SAB de CV | 3,325,336 | 23,060,739 | ||||||
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand Class B | 13,941,600 | 19,663,220 | ||||||
Cemex SAB de CV CPOa | 111,805,373 | 73,778,391 | ||||||
Coca-Cola Femsa SAB de CV Series L | 3,804,293 | 25,607,951 | ||||||
El Puerto de Liverpool SAB de CV | 1,388,965 | 9,474,733 | ||||||
Fibra Uno Administracion SA de CV | 23,015,200 | 32,424,022 | ||||||
Fomento Economico Mexicano SAB de CV | 14,886,000 | 137,695,697 | ||||||
Gentera SAB de CV | 7,520,200 | 6,138,288 |
SCHEDULESOF INVESTMENTS | 31 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Gruma SAB de CV Series B | 1,649,225 | $ | 19,073,562 | |||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 2,769,800 | 26,736,417 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 1,610,835 | 28,518,960 | ||||||
Grupo Bimbo SAB de CV Series A | 12,570,200 | 29,388,431 | ||||||
Grupo Carso SAB de CV Series A1 | 4,016,187 | 14,089,756 | ||||||
Grupo Financiero Banorte SAB de CV Series O | 19,132,803 | 114,754,226 | ||||||
Grupo Financiero Inbursa SAB de CV Series Oc | 17,870,200 | 28,528,670 | ||||||
Grupo Lala SAB de CV | 4,621,300 | 6,762,818 | ||||||
Grupo Mexico SAB de CV Series B | 29,254,688 | 99,779,465 | ||||||
Grupo Televisa SAB CPOc | 18,792,100 | 64,253,902 | ||||||
Industrias Penoles SAB de CV | 1,065,473 | 23,263,420 | ||||||
Infraestructura Energetica Nova SAB de CV | 4,084,800 | 19,333,897 | ||||||
Kimberly-Clark de Mexico SAB de CV Series A | 11,675,900 | 21,257,601 | ||||||
Mexichem SAB de CV | 8,032,934 | 22,497,495 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 1,817,965 | 18,537,134 | ||||||
Wal-Mart de Mexico SAB de CV | 40,133,700 | 93,596,375 | ||||||
|
| |||||||
1,222,673,493 | ||||||||
PAKISTAN — 0.08% |
| |||||||
Habib Bank Ltd. | 4,351,000 | 8,200,560 | ||||||
Lucky Cement Ltd. | 993,050 | 5,396,669 | ||||||
MCB Bank Ltd. | 2,817,600 | 5,566,382 | ||||||
Oil & Gas Development Co. Ltd. | 4,878,700 | 7,203,414 | ||||||
United Bank Ltd./Pakistan | 3,505,700 | 5,982,951 | ||||||
|
| |||||||
32,349,976 | ||||||||
PERU — 0.39% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 1,472,512 | 22,897,562 | ||||||
Credicorp Ltd. | 518,734 | 112,279,974 | ||||||
Southern Copper Corp. | 648,873 | 34,215,073 | ||||||
|
| |||||||
169,392,609 |
Security | Shares | Value | ||||||
PHILIPPINES — 1.03% |
| |||||||
Aboitiz Equity Ventures Inc. | 16,283,380 | $ | 24,199,954 | |||||
Aboitiz Power Corp. | 9,176,464 | 6,783,676 | ||||||
Alliance Global Group Inc.a | 27,640,980 | 7,886,808 | ||||||
Ayala Corp. | 1,927,336 | 39,116,631 | ||||||
Ayala Land Inc. | 58,991,300 | 46,554,194 | ||||||
Bank of the Philippine Islands | 6,406,632 | 14,749,523 | ||||||
BDO Unibank Inc. | 14,862,931 | 44,463,223 | ||||||
DMCI Holdings Inc. | 28,332,400 | 7,572,715 | ||||||
Globe Telecom Inc. | 264,870 | 8,757,798 | ||||||
GT Capital Holdings Inc. | 634,660 | 16,451,440 | ||||||
International Container Terminal Services Inc. | 4,238,650 | 8,952,602 | ||||||
JG Summit Holdings Inc. | 21,835,684 | 30,187,582 | ||||||
Jollibee Foods Corp. | 3,676,659 | 21,065,957 | ||||||
Manila Electric Co. | 1,288,670 | 8,328,847 | ||||||
Megaworld Corp. | 82,190,200 | 7,654,041 | ||||||
Metro Pacific Investments Corp. | 102,738,600 | 11,106,343 | ||||||
Metropolitan Bank & Trust Co. | 4,849,586 | 9,111,597 | ||||||
PLDT Inc. | 693,853 | 20,250,702 | ||||||
Robinsons Land Corp. | 13,806,306 | 5,142,902 | ||||||
Security Bank Corp. | 1,513,250 | 7,153,651 | ||||||
SM Investments Corp. | 2,006,392 | 36,213,681 | ||||||
SM Prime Holdings Inc. | 66,107,925 | 44,808,175 | ||||||
Universal Robina Corp. | 6,930,050 | 19,826,756 | ||||||
|
| |||||||
446,338,798 | ||||||||
POLAND — 1.26% |
| |||||||
Alior Bank SAa | 699,557 | 17,015,562 | ||||||
Bank Handlowy w Warszawie SA | 261,263 | 6,389,097 | ||||||
Bank Millennium SAa | 4,735,091 | 11,551,867 | ||||||
Bank Pekao SA | 1,211,586 | 46,829,960 | ||||||
Bank Zachodni WBK SA | 269,705 | 29,451,699 | ||||||
CCC SA | 217,421 | 15,988,938 | ||||||
CD Projekt SA | 512,420 | 16,000,274 | ||||||
Cyfrowy Polsat SA | 1,653,040 | 11,268,699 | ||||||
Dino Polska SAa,b | 323,762 | 8,063,934 | ||||||
Grupa Azoty SA | 339,404 | 5,754,541 | ||||||
Grupa Lotos SA | 714,844 | 11,719,541 | ||||||
Jastrzebska Spolka Weglowa SAa,c | 408,433 | 10,989,282 | ||||||
KGHM Polska Miedz SA | 1,074,315 | 32,918,385 | ||||||
LPP SA | 9,991 | 26,284,049 |
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
mBank SAa | 115,743 | $ | 15,469,554 | |||||
Orange Polska SAa | 5,026,773 | 8,361,452 | ||||||
PGE Polska Grupa Energetyczna SAa | 6,452,110 | 19,092,258 | ||||||
PLAY Communications SAa,b | 773,464 | 7,629,119 | ||||||
Polski Koncern Naftowy ORLEN SA | 2,311,029 | 65,093,899 | ||||||
Polskie Gornictwo Naftowe i Gazownictwo SA | 13,588,711 | 24,030,813 | ||||||
Powszechna Kasa Oszczednosci Bank Polski SAa | 7,197,026 | 90,457,696 | ||||||
Powszechny Zaklad Ubezpieczen SA | 4,636,399 | 57,813,768 | ||||||
Tauron Polska Energia SAa | 8,220,093 | 6,116,944 | ||||||
|
| |||||||
544,291,331 | ||||||||
QATAR — 0.51% |
| |||||||
Barwa Real Estate Co. | 792,460 | 7,314,281 | ||||||
Commercial Bank PQSC (The)a | 1,559,914 | 12,069,339 | ||||||
Doha Bank QPSC | 702,894 | 6,295,090 | ||||||
Ezdan Holding Group QSC | 6,197,447 | 15,446,091 | ||||||
Industries Qatar QSC | 1,149,588 | 32,524,222 | ||||||
Masraf Al Rayan QSC | 2,913,303 | 30,001,148 | ||||||
Ooredoo QPSC | 631,193 | 15,039,930 | ||||||
Qatar Electricity & Water Co. QSC | 228,155 | 10,691,641 | ||||||
Qatar Gas Transport Co. Ltd. | 2,039,634 | 9,518,888 | ||||||
Qatar Insurance Co. SAQ | 1,226,692 | 13,018,820 | ||||||
Qatar Islamic Bank SAQ | 472,290 | 12,419,085 | ||||||
Qatar National Bank QPSC | 1,773,886 | 58,057,454 | ||||||
|
| |||||||
222,395,989 | ||||||||
RUSSIA — 3.56% |
| |||||||
Alrosa PJSC | 20,039,200 | 30,718,646 | ||||||
Gazprom PJSC | 63,898,059 | 162,487,608 | ||||||
Gazprom PJSC ADR | 8,820,233 | 44,136,446 | ||||||
Inter RAO UES PJSC | 243,449,000 | 16,086,510 | ||||||
LUKOIL PJSC | 2,586,643 | 173,514,939 | ||||||
LUKOIL PJSC ADR | 686,044 | 46,033,552 | ||||||
Magnit PJSC GDR | 2,736,442 | 56,644,349 | ||||||
Magnitogorsk Iron & Steel Works PJSC | 16,702,600 | 14,145,921 | ||||||
MMC Norilsk Nickel PJSC | 490,559 | 97,236,074 |
Security | Shares | Value | ||||||
Mobile TeleSystems PJSC ADR | 3,864,719 | $ | 46,222,039 | |||||
Moscow Exchange MICEX-RTS PJSC | 11,628,330 | 23,102,779 | ||||||
Novatek PJSC GDR | 705,856 | 96,349,344 | ||||||
Novolipetsk Steel PJSC | 9,059,470 | 23,510,610 | ||||||
PhosAgro PJSC GDR | 845,372 | 13,018,729 | ||||||
Polyus PJSC | 196,295 | 16,199,415 | ||||||
Rosneft Oil Co. PJSC | 6,700,087 | 39,333,519 | ||||||
Rosneft Oil Co. PJSC GDR | 1,772,421 | 10,368,663 | ||||||
RusHydro PJSC | 842,842,100 | 11,700,006 | ||||||
Sberbank of Russia PJSC | 61,067,081 | 295,478,003 | ||||||
Sberbank of Russia PJSC ADR | 5,205,662 | 106,455,788 | ||||||
Severstal PJSC | 1,606,643 | 26,209,706 | ||||||
Surgutneftegas OJSC | 42,327,760 | 21,589,620 | ||||||
Surgutneftegas OJSC ADR | 1,413,682 | 7,068,410 | ||||||
Tatneft PJSC Class S | 11,748,970 | 123,964,442 | ||||||
VTB Bank PJSC | 29,830,502,000 | 27,956,078 | ||||||
VTB Bank PJSC GDR | 3,609,435 | 7,724,191 | ||||||
|
| |||||||
1,537,255,387 | ||||||||
SOUTH AFRICA — 7.06% |
| |||||||
Anglo American Platinum Ltd.a | 412,579 | 12,785,536 | ||||||
AngloGold Ashanti Ltd. | 3,152,204 | 28,889,584 | ||||||
Aspen Pharmacare Holdings Ltd. | 2,987,704 | 68,366,312 | ||||||
Barclays Africa Group Ltd. | 5,347,966 | 89,935,084 | ||||||
Bid Corp. Ltd. | 2,587,869 | 59,168,831 | ||||||
Bidvest Group Ltd. (The) | 2,581,785 | 49,237,371 | ||||||
Brait SEa,c | 2,814,760 | 10,695,075 | ||||||
Capitec Bank Holdings Ltd. | 316,913 | 22,350,304 | ||||||
Coronation Fund Managers Ltd. | 1,769,753 | 11,987,017 | ||||||
Discovery Ltd. | 2,754,742 | 41,723,416 | ||||||
Exxaro Resources Ltd. | 1,836,876 | 20,606,936 | ||||||
FirstRand Ltd. | 25,842,190 | 161,790,773 | ||||||
Fortress REIT Ltd. Series A | 7,743,608 | 10,443,989 | ||||||
Fortress REIT Ltd. Series B | 6,309,925 | 8,553,112 | ||||||
Foschini Group Ltd. (The) | 1,727,031 | 31,383,937 | ||||||
Gold Fields Ltd. | 6,345,055 | 24,624,968 | ||||||
Growthpoint Properties Ltd. | 16,579,885 | 41,436,544 | ||||||
Hyprop Investments Ltd. | 1,893,984 | 17,513,786 | ||||||
Imperial Holdings Ltd. | 1,187,087 | 25,208,534 | ||||||
Investec Ltd. | 2,103,659 | 18,267,504 |
SCHEDULESOF INVESTMENTS | 33 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Kumba Iron Ore Ltd. | 482,319 | $ | 14,317,872 | |||||
Liberty Holdings Ltd. | 970,394 | 10,959,502 | ||||||
Life Healthcare Group Holdings Ltd. | 10,044,152 | 23,111,229 | ||||||
MMI Holdings Ltd./South Africa | 7,724,962 | 14,286,639 | ||||||
Mondi Ltd. | 915,311 | 23,885,905 | ||||||
Mr. Price Group Ltd. | 1,871,809 | 44,842,542 | ||||||
MTN Group Ltd. | 13,038,312 | 141,939,900 | ||||||
Naspers Ltd. Class N | 3,361,868 | 931,625,139 | ||||||
Nedbank Group Ltd. | 1,727,807 | 42,092,401 | ||||||
NEPI Rockcastle PLC | 2,854,888 | 28,837,301 | ||||||
Netcare Ltd. | 7,719,322 | 16,676,286 | ||||||
Pick n Pay Stores Ltd. | 2,794,483 | 17,201,918 | ||||||
Pioneer Foods Group Ltd. | 981,109 | 10,930,072 | ||||||
PSG Group Ltd. | 972,792 | 17,925,004 | ||||||
Rand Merchant Investment Holdings Ltd. | 5,099,690 | 19,294,898 | ||||||
Redefine Properties Ltd. | 39,608,526 | 38,052,372 | ||||||
Remgro Ltd. | 4,082,129 | 83,518,725 | ||||||
Resilient REIT Ltd. | 2,311,704 | 12,996,266 | ||||||
RMB Holdings Ltd. | 5,492,519 | 40,538,664 | ||||||
Sanlam Ltd. | 10,822,996 | 83,668,189 | ||||||
Sappi Ltd. | 4,303,551 | 27,927,735 | ||||||
Sasol Ltd. | 4,256,689 | 150,289,115 | ||||||
Shoprite Holdings Ltd. | 3,436,993 | 75,694,648 | ||||||
Sibanye Gold Ltd. | 13,367,866 | 12,853,990 | ||||||
SPAR Group Ltd. (The) | 1,486,663 | 27,532,312 | ||||||
Standard Bank Group Ltd. | 9,959,732 | 183,783,054 | ||||||
Steinhoff International Holdings NV | 23,251,988 | 11,425,312 | ||||||
Telkom SA SOC Ltd. | 2,056,242 | 9,014,976 | ||||||
Tiger Brands Ltd. | 1,267,090 | 45,791,825 | ||||||
Truworths International Ltd. | 3,414,787 | 29,299,979 | ||||||
Vodacom Group Ltd. | 4,604,990 | 63,493,561 | ||||||
Woolworths Holdings Ltd./South Africa | 7,663,644 | 42,428,816 | ||||||
|
| |||||||
3,051,204,760 | ||||||||
SOUTH KOREA — 13.66% |
| |||||||
Amorepacific Corp.c | 247,082 | 64,228,999 | ||||||
AMOREPACIFIC Groupc | 221,825 | 25,810,278 | ||||||
BGF retail Co. Ltd.c | 61,942 | 9,952,819 | ||||||
BNK Financial Group Inc. | 2,032,866 | 21,025,117 | ||||||
Celltrion Healthcare Co. Ltd.a,c | 267,730 | 29,569,220 |
Security | Shares | Value | ||||||
Celltrion Inc.a,c | 624,116 | $ | 203,447,177 | |||||
Cheil Worldwide Inc. | 538,737 | 9,253,401 | ||||||
CJ CheilJedang Corp. | 60,764 | 18,965,954 | ||||||
CJ Corp. | 111,776 | 17,185,986 | ||||||
CJ E&M Corp. | 147,262 | 11,776,608 | ||||||
CJ Logistics Corp.a,c | 60,782 | 7,437,081 | ||||||
Coway Co. Ltd. | 408,886 | 32,698,797 | ||||||
Daelim Industrial Co. Ltd. | 213,437 | 14,624,643 | ||||||
Daewoo Engineering & Construction Co. Ltd.a | 1,083,739 | 5,224,044 | ||||||
DB Insurance Co. Ltd. | 382,246 | 24,532,364 | ||||||
DGB Financial Group Inc. | 1,300,849 | 14,895,676 | ||||||
Dongsuh Cos. Inc. | 278,690 | 7,167,344 | ||||||
Doosan Bobcat Inc. | 253,512 | 7,959,560 | ||||||
Doosan Heavy Industries & Construction Co. Ltd.a,c | 409,079 | 5,647,549 | ||||||
E-MART Inc. | 161,052 | 45,211,754 | ||||||
GS Engineering & Construction Corp.c | 355,347 | 9,581,801 | ||||||
GS Holdings Corp. | 394,468 | 24,078,248 | ||||||
GS Retail Co. Ltd. | 206,842 | 6,876,269 | ||||||
Hana Financial Group Inc. | 2,238,009 | 101,577,378 | ||||||
Hankook Tire Co. Ltd. | 572,603 | 31,197,319 | ||||||
Hanmi Pharm Co. Ltd. | 48,296 | 20,649,227 | ||||||
Hanmi Science Co. Ltd.c | 97,430 | 7,557,595 | ||||||
Hanon Systems | 1,442,152 | 16,646,874 | ||||||
Hanssem Co. Ltd.c | 81,471 | 11,247,497 | ||||||
Hanwha Chemical Corp. | 824,214 | 25,269,097 | ||||||
Hanwha Corp. | 345,322 | 14,078,831 | ||||||
Hanwha Life Insurance Co. Ltd. | 1,914,154 | 11,860,720 | ||||||
Hanwha Techwin Co. Ltd.a,c | 284,072 | 7,646,781 | ||||||
Hotel Shilla Co. Ltd. | 242,375 | 18,308,500 | ||||||
Hyosung Corp. | 162,338 | 18,738,803 | ||||||
Hyundai Department Store Co. Ltd. | 110,149 | 9,296,905 | ||||||
Hyundai Development Co. Engineering & Construction | 460,781 | 16,084,146 | ||||||
Hyundai Engineering & Construction Co. Ltd.a | 594,421 | 21,133,261 | ||||||
Hyundai Glovis Co. Ltd. | 143,332 | 18,861,215 | ||||||
Hyundai Heavy Industries Co. Ltd.a,c | 239,476 | 28,969,763 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 480,384 | 18,321,045 |
34 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Hyundai Mobis Co. Ltd. | 522,679 | $ | 110,047,846 | |||||
Hyundai Motor Co. | 1,180,849 | 176,107,779 | ||||||
Hyundai Robotics Co. Ltd.a | 75,580 | 30,883,877 | ||||||
Hyundai Steel Co. | 614,759 | 30,428,555 | ||||||
Hyundai Wia Corp.c | 125,021 | 6,707,655 | ||||||
Industrial Bank of Korea | 1,947,655 | 30,935,143 | ||||||
ING Life Insurance Korea Ltd.b | 248,889 | 12,135,321 | ||||||
Kakao Corp. | 340,952 | 40,300,910 | ||||||
Kangwon Land Inc.a | 905,022 | 24,111,076 | ||||||
KB Financial Group Inc. | 2,998,470 | 177,211,266 | ||||||
KCC Corp. | 44,952 | 15,047,650 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 175,044 | 6,522,325 | ||||||
Kia Motors Corp. | 2,024,456 | 64,216,515 | ||||||
Korea Aerospace Industries Ltd. Class Aa,c | 522,630 | 24,275,823 | ||||||
Korea Electric Power Corp.a | 1,969,463 | 60,198,749 | ||||||
Korea Gas Corp.a | 214,940 | 9,110,487 | ||||||
Korea Investment Holdings Co. Ltd.a | 304,053 | 22,040,965 | ||||||
Korea Zinc Co. Ltd.a | 64,951 | 30,709,125 | ||||||
Korean Air Lines Co. Ltd. | 358,240 | 10,801,123 | ||||||
KT Corp. | 170,925 | 4,403,738 | ||||||
KT&G Corp. | 899,278 | 82,877,407 | ||||||
Kumho Petrochemical Co. Ltd.c | 136,780 | 11,443,594 | ||||||
LG Chem Ltd. | 353,023 | 124,857,151 | ||||||
LG Corp. | 731,478 | 58,226,432 | ||||||
LG Display Co. Ltd. | 1,791,044 | 49,369,899 | ||||||
LG Electronics Inc.c | 820,223 | 75,667,446 | ||||||
LG Household & Health Care Ltd. | 72,233 | 73,373,626 | ||||||
LG Innotek Co. Ltd.c | 110,587 | 13,479,993 | ||||||
Lotte Chemical Corp. | 118,586 | 50,264,082 | ||||||
Lotte Corp.a,c | 218,484 | 12,650,242 | ||||||
Lotte Shopping Co. Ltd. | 83,623 | 15,946,209 | ||||||
Medy-Tox Inc. | 32,543 | 18,151,235 | ||||||
Mirae Asset Daewoo Co. Ltd. | 2,864,692 | 24,549,212 | ||||||
NAVER Corp. | 215,131 | 159,525,527 | ||||||
NCSoft Corp.c | 135,297 | 46,852,318 | ||||||
Netmarble Games Corp.b | 195,371 | 26,611,158 | ||||||
NH Investment & Securities Co. Ltd.a | 1,085,005 | 14,327,797 |
Security | Shares | Value | ||||||
OCI Co. Ltd.c | 128,915 | $ | 19,583,080 | |||||
Orion Corp./Republic of Korea | 163,466 | 16,302,824 | ||||||
Ottogi Corp. | 9,264 | 6,048,248 | ||||||
Pan Ocean Co. Ltd.a,c | 1,651,151 | 9,041,763 | ||||||
POSCO | 570,754 | 190,532,432 | ||||||
Posco Daewoo Corp. | 294,803 | 5,499,142 | ||||||
S-1 Corp. | 139,043 | 12,326,279 | ||||||
S-Oil Corp. | 347,112 | 39,586,603 | ||||||
Samsung Biologics Co. Ltd.a,b,c | 128,090 | 53,227,907 | ||||||
Samsung C&T Corp. | 581,924 | 69,052,760 | ||||||
Samsung Card Co. Ltd. | 234,975 | 7,876,621 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 433,284 | 37,050,603 | ||||||
Samsung Electronics Co. Ltd. | 743,060 | 1,614,572,149 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 236,864 | 63,213,312 | ||||||
Samsung Heavy Industries Co. Ltd.a,c | 1,950,155 | 15,397,382 | ||||||
Samsung Life Insurance Co. Ltd. | 538,073 | 60,371,105 | ||||||
Samsung SDI Co. Ltd. | 424,495 | 67,031,716 | ||||||
Samsung SDS Co. Ltd. | 267,992 | 58,899,341 | ||||||
Samsung Securities Co. Ltd. | 524,921 | 19,195,560 | ||||||
Shinhan Financial Group Co. Ltd. | 3,214,757 | 140,714,269 | ||||||
Shinsegae Inc.c | 57,308 | 18,151,855 | ||||||
SillaJen Inc.a,c | 415,856 | 39,323,718 | ||||||
SK Holdings Co. Ltd. | 244,383 | 64,204,417 | ||||||
SK Hynix Inc. | 4,467,651 | 316,848,829 | ||||||
SK Innovation Co. Ltd. | 498,501 | 94,599,645 | ||||||
SK Networks Co. Ltd. | 1,051,355 | 5,805,802 | ||||||
SK Telecom Co. Ltd. | 155,157 | 34,386,998 | ||||||
Woori Bank | 3,209,345 | 49,196,719 | ||||||
Yuhan Corp. | 67,361 | 12,938,487 | ||||||
|
| |||||||
5,899,944,468 | ||||||||
TAIWAN — 11.35% |
| |||||||
Acer Inc. | 22,465,121 | 18,929,012 | ||||||
Advanced Semiconductor Engineering Inc. | 51,702,220 | 70,393,151 | ||||||
Advantech Co. Ltd.c | 2,631,126 | 19,601,305 | ||||||
Airtac International Group | 886,000 | 16,235,721 |
SCHEDULESOF INVESTMENTS | 35 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Asia Cement Corp. | 18,076,077 | $ | 17,583,552 | |||||
Asia Pacific Telecom Co. Ltd.a | 15,540,000 | 5,040,633 | ||||||
Asustek Computer Inc.c | 5,346,968 | 50,730,768 | ||||||
AU Optronics Corp.c | 66,307,000 | 29,751,904 | ||||||
Catcher Technology Co. Ltd. | 5,004,210 | 60,676,828 | ||||||
Cathay Financial Holding Co. Ltd. | 62,587,644 | 116,833,985 | ||||||
Chailease Holding Co. Ltd. | 9,010,932 | 30,308,559 | ||||||
Chang Hwa Commercial Bank Ltd. | 39,669,940 | 22,827,319 | ||||||
Cheng Shin Rubber Industry Co. Ltd.c | 14,711,128 | 25,294,947 | ||||||
Chicony Electronics Co. Ltd. | 4,143,267 | 10,203,658 | ||||||
China Airlines Ltd.a | 20,175,347 | 7,946,995 | ||||||
China Development Financial Holding Corp. | 105,569,848 | 37,967,612 | ||||||
China Life Insurance Co. Ltd./Taiwanc | 22,696,285 | 22,855,261 | ||||||
China Steel Corp. | 96,349,313 | 79,533,436 | ||||||
Chunghwa Telecom Co. Ltd. | 28,789,410 | 107,976,928 | ||||||
Compal Electronics Inc. | 32,604,908 | 22,447,249 | ||||||
CTBC Financial Holding Co. Ltd. | 135,671,772 | 99,213,657 | ||||||
Delta Electronics Inc. | 14,883,000 | 70,858,077 | ||||||
E.Sun Financial Holding Co. Ltd. | 70,249,712 | 46,559,639 | ||||||
Eclat Textile Co. Ltd.c | 1,318,427 | 14,089,474 | ||||||
Eva Airways Corp. | 16,028,364 | 8,235,018 | ||||||
Evergreen Marine Corp. Taiwan Ltd.a | 14,909,012 | 7,889,717 | ||||||
Far Eastern New Century Corp. | 24,615,038 | 21,878,722 | ||||||
Far EasTone Telecommunications Co. Ltd. | 12,316,000 | 31,216,592 | ||||||
Feng TAY Enterprise Co. Ltd.c | 2,515,529 | 11,976,453 | ||||||
First Financial Holding Co. Ltd. | 73,964,639 | 50,668,520 | ||||||
Formosa Chemicals & Fibre Corp. | 22,617,090 | 84,052,483 |
Security | Shares | Value | ||||||
Formosa Petrochemical Corp. | 10,126,000 | $ | 40,579,610 | |||||
Formosa Plastics Corp. | 31,805,280 | 112,751,845 | ||||||
Formosa Taffeta Co. Ltd. | 5,939,000 | 6,489,154 | ||||||
Foxconn Technology Co. Ltd.c | 7,033,637 | 19,128,659 | ||||||
Fubon Financial Holding Co. Ltd. | 51,068,969 | 91,308,598 | ||||||
General Interface Solution Holding Ltd.c | 1,291,000 | 7,893,117 | ||||||
Giant Manufacturing Co. Ltd.c | 2,249,203 | 11,787,024 | ||||||
Globalwafers Co. Ltd. | 1,659,000 | 24,206,950 | ||||||
Highwealth Construction Corp.c | 6,312,170 | 9,545,386 | ||||||
Hiwin Technologies Corp. | 1,562,971 | 20,075,495 | ||||||
Hon Hai Precision Industry Co. Ltd. | 119,558,592 | 360,778,612 | ||||||
Hotai Motor Co. Ltd.c | 2,028,000 | 22,610,128 | ||||||
HTC Corp.a,c | 5,007,708 | 10,462,920 | ||||||
Hua Nan Financial Holdings Co. Ltd. | 59,451,305 | 35,024,659 | ||||||
Innolux Corp.c | 68,642,002 | 30,564,506 | ||||||
Inventec Corp. | 19,110,281 | 15,284,036 | ||||||
Largan Precision Co. Ltd.c | 763,000 | 96,565,738 | ||||||
Lite-On Technology Corp. | 16,189,246 | 23,289,491 | ||||||
Macronix Internationala,c | 13,842,000 | 20,600,260 | ||||||
MediaTek Inc. | 11,520,338 | 118,772,473 | ||||||
Mega Financial Holding Co. Ltd. | 84,084,162 | 71,856,959 | ||||||
Micro-Star International Co. Ltd.c | 5,134,000 | 15,035,091 | ||||||
Nan Ya Plastics Corp. | 36,666,160 | 101,224,247 | ||||||
Nanya Technology Corp. | 7,412,000 | 20,513,079 | ||||||
Nien Made Enterprise Co. Ltd.c | 1,074,000 | 10,594,509 | ||||||
Novatek Microelectronics Corp. | 4,433,000 | 19,207,566 | ||||||
Pegatron Corp. | 14,940,414 | 38,380,266 | ||||||
Phison Electronics Corp.c | 1,098,535 | 10,761,282 | ||||||
Pou Chen Corp. | 16,971,220 | 21,362,619 | ||||||
Powertech Technology Inc. | 5,295,300 | 16,432,470 | ||||||
President Chain Store Corp. | 4,388,000 | 44,262,506 | ||||||
Quanta Computer Inc.c | 20,680,000 | 42,216,369 |
36 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Realtek Semiconductor Corp. | 3,401,637 | $ | 13,515,435 | |||||
Ruentex Development Co. Ltd.a,c | 7,321,430 | 8,062,338 | ||||||
Ruentex Industries Ltd.c | 4,299,598 | 7,554,910 | ||||||
Shin Kong Financial Holding Co. Ltd.c | 63,447,865 | 26,187,144 | ||||||
Siliconware Precision Industries Co. Ltd. | 15,882,509 | 27,689,874 | ||||||
SinoPac Financial Holdings Co. Ltd. | 81,826,006 | 28,307,193 | ||||||
Standard Foods Corp.c | 3,981,615 | 9,355,510 | ||||||
Synnex Technology International Corp. | 10,819,834 | 14,342,196 | ||||||
TaiMed Biologics Inc.a,c | 1,266,000 | 8,759,295 | ||||||
Taishin Financial Holding Co. Ltd. | 71,822,006 | 34,932,523 | ||||||
Taiwan Business Bank | 32,119,632 | 9,505,356 | ||||||
Taiwan Cement Corp. | 25,846,296 | 32,755,492 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 61,947,605 | 36,070,945 | ||||||
Taiwan High Speed Rail Corp. | 12,287,000 | 9,532,310 | ||||||
Taiwan Mobile Co. Ltd. | 12,265,600 | 45,162,850 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 188,902,000 | 1,591,679,951 | ||||||
Teco Electric and Machinery Co. Ltd. | 14,691,000 | 13,334,641 | ||||||
Uni-President Enterprises Corp. | 37,114,839 | 87,716,391 | ||||||
United Microelectronics Corp.c | 92,399,000 | 44,782,444 | ||||||
Vanguard International Semiconductor Corp. | 6,917,000 | 14,452,124 | ||||||
Win Semiconductors Corp.c | 2,599,000 | 23,902,023 | ||||||
Winbond Electronics Corp.c | 22,375,000 | 15,251,066 | ||||||
Wistron Corp.c | 20,148,156 | 16,907,737 | ||||||
WPG Holdings Ltd.c | 11,887,532 | 15,268,875 | ||||||
Yageo Corp.c | 1,583,000 | 17,919,936 | ||||||
Yuanta Financial Holding Co. Ltd. | 77,524,635 | 34,918,016 | ||||||
Zhen Ding Technology Holding Ltd.c | 3,321,075 | 7,268,815 | ||||||
|
| |||||||
4,904,478,189 |
Security | Shares | Value | ||||||
THAILAND — 2.43% |
| |||||||
Advanced Info Service PCL NVDR | 8,003,800 | $ | 50,485,900 | |||||
Airports of Thailand PCL NVDR | 33,090,300 | 74,582,310 | ||||||
Bangkok Bank PCL Foreign | 1,915,300 | 14,033,737 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 29,750,200 | 20,945,506 | ||||||
Bangkok Expressway & Metro PCL NVDR | 56,934,600 | 13,240,605 | ||||||
Banpu PCL NVDR | 15,388,800 | 11,520,765 | ||||||
Berli Jucker PCL NVDR | 9,152,100 | 17,347,880 | ||||||
BTS Group Holdings PCL NVDR | 43,225,100 | 11,222,828 | ||||||
Bumrungrad Hospital PCL NVDR | 2,791,100 | 18,316,872 | ||||||
Central Pattana PCL NVDR | 10,602,500 | 28,456,853 | ||||||
Charoen Pokphand Foods PCL NVDR | 23,004,600 | 16,782,585 | ||||||
CP ALL PCL NVDR | 38,090,900 | 101,931,685 | ||||||
Delta Electronics Thailand PCL NVDR | 3,875,200 | 8,394,826 | ||||||
Electricity Generating PCL NVDR | 930,800 | 7,057,356 | ||||||
Energy Absolute PCL NVDRc | 8,475,200 | 18,157,286 | ||||||
Glow Energy PCL NVDR | 4,176,500 | 11,276,151 | ||||||
Home Product Center PCL NVDR | 30,872,014 | 14,162,377 | ||||||
Indorama Ventures PCL NVDR | 11,355,780 | 19,535,270 | ||||||
IRPC PCL NVDR | 79,478,700 | 20,635,597 | ||||||
Kasikornbank PCL Foreign | 9,172,300 | 67,791,449 | ||||||
Kasikornbank PCL NVDR | 4,721,000 | 34,892,386 | ||||||
KCE Electronics PCL NVDRc | 2,091,300 | 4,663,619 | ||||||
Krung Thai Bank PCL NVDR | 27,367,900 | 17,698,897 | ||||||
Minor International PCL NVDRc | 16,832,120 | 21,717,135 | ||||||
PTT Exploration & Production PCL NVDR | 10,628,439 | 39,107,509 | ||||||
PTT Global Chemical PCL NVDR | 16,988,430 | 53,714,612 | ||||||
PTT PCL NVDR | 8,154,000 | 147,546,097 |
SCHEDULESOF INVESTMENTS | 37 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Robinson PCL NVDR | 3,852,300 | $ | 8,253,175 | |||||
Siam Cement PCL (The) Foreign | 2,399,000 | 37,448,550 | ||||||
Siam Cement PCL (The) NVDR | 729,200 | 11,382,861 | ||||||
Siam Commercial Bank PCL (The) NVDR | 13,941,400 | 66,176,126 | ||||||
Thai Oil PCL NVDR | 8,320,500 | 27,302,055 | ||||||
Thai Union Group PCL NVDR | 14,749,700 | 9,444,695 | ||||||
TMB Bank PCL NVDR | 97,722,400 | 9,339,509 | ||||||
True Corp. PCL NVDRa | 76,837,901 | 15,421,433 | ||||||
|
| |||||||
1,049,986,497 | ||||||||
TURKEY — 1.06% |
| |||||||
Akbank Turk AS | 16,806,033 | 46,933,003 | ||||||
Anadolu Efes Biracilik Ve Malt Sanayii AS | 1,590,720 | 10,731,703 | ||||||
Arcelik AS | 1,805,762 | 8,989,791 | ||||||
Aselsan Elektronik Sanayi Ve Ticaret ASc | 1,548,195 | 12,673,687 | ||||||
BIM Birlesik Magazalar AS | 1,643,142 | 32,461,816 | ||||||
Coca-Cola Icecek AS | 571,386 | 5,542,059 | ||||||
Emlak Konut Gayrimenkul Yatirim Ortakligi ASa,c | 14,192,235 | 9,843,161 | ||||||
Enka Insaat ve Sanayi AS | 1 | 1 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 10,830,734 | 32,323,329 | ||||||
Ford Otomotiv Sanayi AS | 549,595 | 9,052,951 | ||||||
Haci Omer Sabanci Holding AS | 7,079,355 | 19,974,589 | ||||||
KOC Holding AS | 5,814,148 | 27,478,759 | ||||||
Petkim Petrokimya Holding AS | 5,292,214 | 11,219,947 | ||||||
TAV Havalimanlari Holding AS | 1,265,969 | 7,715,977 | ||||||
Tofas Turk Otomobil Fabrikasi AS | 966,139 | 7,710,939 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 970,428 | 29,802,843 | ||||||
Turk Hava Yollari AOa | 4,243,431 | 21,259,239 | ||||||
Turk Telekomunikasyon ASa | 3,666,504 | 6,299,554 | ||||||
Turkcell Iletisim Hizmetleri AS | 8,223,037 | 33,138,853 | ||||||
Turkiye Garanti Bankasi AS | 17,662,046 | 54,427,564 | ||||||
Turkiye Halk Bankasi AS | 4,786,526 | 12,109,510 |
Security | Shares | Value | ||||||
Turkiye Is Bankasi AS Class C | 12,131,018 | $ | 24,220,924 | |||||
Turkiye Sise ve Cam Fabrikalari AS | 6,173,929 | 7,752,993 | ||||||
Turkiye Vakiflar Bankasi TAO Class D | 5,714,220 | 11,033,776 | ||||||
Ulker Biskuvi Sanayi AS | 1,182,426 | 7,007,981 | ||||||
Yapi ve Kredi Bankasi ASa | 6,591,281 | 8,242,456 | ||||||
|
| |||||||
457,947,405 | ||||||||
UNITED ARAB EMIRATES — 0.62% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 16,142,366 | 32,083,005 | ||||||
Aldar Properties PJSC | 25,266,906 | 14,859,042 | ||||||
DAMAC Properties Dubai Co. PJSC | 12,518,479 | 10,224,870 | ||||||
DP World Ltd. | 1,308,631 | 31,996,028 | ||||||
Dubai Investments PJSC | 6,013,350 | 3,618,210 | ||||||
Dubai Islamic Bank PJSC | 10,182,151 | 16,799,530 | ||||||
DXB Entertainments PJSCa | 24,337,154 | 3,677,458 | ||||||
Emaar Malls PJSC | 15,429,237 | 8,905,643 | ||||||
Emaar Properties PJSC | 27,455,280 | 46,120,714 | ||||||
Emirates Telecommunications Group Co. PJSC | 13,609,533 | 63,731,869 | ||||||
First Abu Dhabi Bank PJSC | 11,168,876 | 35,121,774 | ||||||
|
| |||||||
267,138,143 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $31,977,599,385) | 41,417,980,144 | |||||||
PREFERRED STOCKS — 3.80% |
| |||||||
BRAZIL — 2.74% | ||||||||
Banco Bradesco SA, Preference Shares | 23,441,133 | 279,742,278 | ||||||
Braskem SA Class A, Preference Shares | 1,324,400 | 18,931,939 | ||||||
Centrais Eletricas Brasileiras SA Class B, Preference Shares | 1,869,237 | 16,052,855 | ||||||
Cia. Brasileira de Distribuicao, Preference Shares | 1,212,186 | 25,555,250 | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 5,773,602 | 14,590,618 |
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Gerdau SA, Preference Shares | 7,813,085 | $ | 39,970,288 | |||||
Itau Unibanco Holding SA, Preference Shares | 24,779,792 | 384,272,696 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 30,438,185 | 122,923,890 | ||||||
Lojas Americanas SA, Preference Shares | 5,580,724 | 28,996,574 | ||||||
Petroleo Brasileiro SA, Preference Shares | 30,024,127 | 198,327,900 | ||||||
Telefonica Brasil SA, Preference Shares | 3,413,267 | 53,214,921 | ||||||
|
| |||||||
1,182,579,209 | ||||||||
CHILE — 0.11% |
| |||||||
Embotelladora Andina SA Class B, Preference Shares | 2,033,810 | 10,060,463 | ||||||
Sociedad Quimica y Minera de Chile SA Series B, Preference Shares | 750,478 | 38,040,692 | ||||||
|
| |||||||
48,101,155 | ||||||||
COLOMBIA — 0.13% |
| |||||||
Bancolombia SA, Preference Shares | 3,567,802 | 37,538,332 | ||||||
Grupo Aval Acciones y Valores SA, Preference Shares | 25,304,878 | 10,939,083 | ||||||
Grupo de Inversiones Suramericana SA, Preference Shares | 695,339 | 8,615,272 | ||||||
|
| |||||||
57,092,687 | ||||||||
RUSSIA — 0.09% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 54,353,100 | 28,481,131 | ||||||
Transneft PJSC, Preference Shares | 3,784 | 12,434,655 | ||||||
|
| |||||||
40,915,786 | ||||||||
SOUTH KOREA — 0.73% |
| |||||||
Amorepacific Corp., Preference Shares | 69,838 | 9,802,730 | ||||||
Hyundai Motor Co., Preference Shares | 184,022 | 15,260,112 | ||||||
Hyundai Motor Co. Series 2, Preference Sharesc | 293,413 | 26,471,927 | ||||||
LG Chem Ltd., Preference Shares | 59,137 | 11,713,812 |
Security | Shares | Value | ||||||
LG Household & Health | 15,995 | $ | 9,069,101 | |||||
Samsung Electronics Co. Ltd., Preference Shares | 132,013 | 243,204,299 | ||||||
|
| |||||||
315,521,981 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $1,068,986,128) | 1,644,210,818 | |||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.01% | ||||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 716,572 | 1,191,070 | ||||||
|
| |||||||
1,191,070 | ||||||||
CHILE — 0.00% |
| |||||||
Enel Chile SA (Expires 03/16/18)a | 16,208,950 | 2,753 | ||||||
|
| |||||||
2,753 | ||||||||
SOUTH KOREA — 0.00% |
| |||||||
Hyundai Heavy Industries Co. Ltd. (Expires 03/09/18)a | 42,796 | 987,995 | ||||||
|
| |||||||
987,995 | ||||||||
|
| |||||||
TOTAL RIGHTS | ||||||||
(Cost: $0) | 2,181,818 | |||||||
SHORT-TERM INVESTMENTS — 5.10% |
| |||||||
MONEY MARKET FUNDS — 5.10% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 2,203,293,346 | 2,203,513,675 | ||||||
|
| |||||||
2,203,513,675 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,203,385,915) |
| 2,203,513,675 | ||||||
|
|
SCHEDULESOF INVESTMENTS | 39 |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
Value | ||||||
TOTAL INVESTMENTS | ||||||
(Cost: $35,249,971,428) | $ | 45,267,886,455 | ||||
Other Assets, Less Liabilities — (4.77)% | (2,062,939,201 | ) | ||||
|
| |||||
NET ASSETS — 100.00% | $ | 43,204,947,254 | ||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, SL Agency Shares | 2,193,968,858 | 9,324,488 | b | — | 2,203,293,346 | $ | 2,203,513,675 | $ | 9,965,902 | c | $ | (55,184 | ) | $ | (260,770 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, SL Agency Shares | 94,337,685 | — | (94,337,685 | )b | — | — | 348,509 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 2,203,513,675 | $ | 10,314,411 | $ | (55,184 | ) | $ | (260,770 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value/ unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI Emerging Markets E-Mini | 1,845 | Mar 2018 | $ | 109,132 | $ | 1,479,449 | ||||||||||
|
| |||||||||||||||
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ETF
February 28, 2018
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, 2018. 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 | $ | 41,194,523,426 | $ | 223,456,699 | $ | 19 | $ | 41,417,980,144 | ||||||||
Preferred stocks | 1,644,210,818 | — | — | 1,644,210,818 | ||||||||||||
Rights | 1,193,823 | 987,995 | — | 2,181,818 | ||||||||||||
Money market funds | 2,203,513,675 | — | — | 2,203,513,675 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 45,043,441,742 | $ | 224,444,694 | $ | 19 | $ | 45,267,886,455 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 1,479,449 | $ | — | $ | — | $ | 1,479,449 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 1,479,449 | $ | — | $ | — | $ | 1,479,449 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to consolidated financial statements.
SCHEDULESOF INVESTMENTS | 41 |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | — | $ | — | $ | 3,890,593,582 | ||||||
Affiliated (Note 2) | 515,917,397 | 8,620,395 | 53,534,451 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 515,917,397 | $ | 8,620,395 | $ | 3,944,128,033 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | — | $ | — | $ | 4,737,444,251 | ||||||
Affiliated (Note 2) | 587,760,604 | 9,484,423 | 53,539,125 | |||||||||
Foreign currency, at valueb | 96 | — | 3,522,832 | |||||||||
Cash pledged to broker for forward currency contracts | 20,000 | — | — | |||||||||
Cash pledged to broker for futures contracts | — | — | 502,000 | |||||||||
Cash | 720,000 | — | 929,822 | |||||||||
Receivables: | ||||||||||||
Dividends and interest | 37,157 | 4 | 8,661,084 | |||||||||
Unrealized appreciation on forward currency contracts (Note 1) | 4,474,261 | 115,067 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 593,012,118 | 9,599,494 | 4,804,599,114 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 418,678 | 6,612 | — | |||||||||
Collateral for securities on loan (Note 1) | 176,380,450 | — | 48,039,041 | |||||||||
Due to broker for collateral on forward currency contracts | 720,000 | — | — | |||||||||
Capital shares redeemed | 7,207 | — | — | |||||||||
Futures variation margin | — | — | 148,980 | |||||||||
Foreign taxes (Note 1) | — | — | 115 | |||||||||
Deferred foreign capital gains taxes (Note 1) | — | — | 3,049,896 | |||||||||
Unrealized depreciation on forward currency contracts (Note 1) | 2,441,437 | 55,128 | — | |||||||||
Investment advisory fees (Note 2) | — | 213 | 887,850 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 179,967,772 | 61,953 | 52,125,882 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 413,044,346 | $ | 9,537,541 | $ | 4,752,473,232 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 366,789,658 | $ | 8,800,422 | $ | 4,516,400,329 | ||||||
Undistributed (distributions in excess of) net investment income | 56,113 | (654 | ) | (7,051,618 | ) | |||||||
Accumulated net realized loss | (27,677,456 | ) | (186,194 | ) | (600,895,678 | ) | ||||||
Net unrealized appreciation | 73,876,031 | 923,967 | 844,020,199 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 413,044,346 | $ | 9,537,541 | $ | 4,752,473,232 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 15,350,000 | 350,000 | 76,700,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 26.91 | $ | 27.25 | $ | 61.96 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $169,438,618, $ — and $45,426,339, respectively. See Note 1. |
b | Cost of foreign currency: $96, $ — and $3,531,842, respectively. |
c | $0.001 par value, number of shares authorized: 250 million, 25 million and 500 million, respectively. |
See notes to financial statements.
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares MSCI Emerging Markets ETF (Consolidated) | ||||
ASSETS | ||||
Investments in securities, at cost: | ||||
Unaffiliated | $ | 33,046,585,513 | ||
Affiliated (Note 2) | 2,203,385,915 | |||
|
| |||
Total cost of investments in securities | $ | 35,249,971,428 | ||
|
| |||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||
Unaffiliated | $ | 43,064,372,780 | ||
Affiliated (Note 2) | 2,203,513,675 | |||
Foreign currency, at valueb | 31,329,350 | |||
Cash pledged to broker for futures contracts | 4,845,010 | |||
Cash | 60,349,679 | |||
Receivables: | ||||
Investment securities sold | 123,730,636 | |||
Due from custodian (Note 4) | 470,155 | |||
Dividends and interest | 119,880,695 | |||
Tax reclaims | 22,002 | |||
|
| |||
Total Assets | 45,608,513,982 | |||
|
| |||
LIABILITIES | ||||
Payables: | ||||
Investment securities purchased | 125,118,371 | |||
Collateral for securities on loan (Note 1) | 2,203,396,846 | |||
Futures variation margin | 1,434,059 | |||
Line of credit (Note 9) | 17,001,261 | |||
Foreign taxes (Note 1) | 142,888 | |||
Deferred foreign capital gains taxes (Note 1) | 34,880,054 | |||
Professional fees (Note 10) | 3,231 | |||
Investment advisory fees (Note 2) | 21,590,018 | |||
|
| |||
Total Liabilities | 2,403,566,728 | |||
|
| |||
NET ASSETS | $ | 43,204,947,254 | ||
|
| |||
Net assets consist of: | ||||
Paid-in capital | $ | 45,864,282,503 | ||
Distributions in excess of net investment income | (182,159,123 | ) | ||
Accumulated net realized loss | (12,462,019,326 | ) | ||
Net unrealized appreciation | 9,984,843,200 | |||
|
| |||
NET ASSETS | $ | 43,204,947,254 | ||
|
| |||
Shares outstandingc | 889,200,000 | |||
|
| |||
Net asset value per share | $ | 48.59 | ||
|
|
a | Securities on loan with a value of $2,101,656,948. See Note 1. |
b | Cost of foreign currency: $30,537,319. |
c | $0.001 par value, number of shares authorized: 2 billion. |
See notes to financial statements.
FINANCIAL STATEMENTS | 43 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | iShares Edge MSCI Min Vol Emerging Markets ETF (Consolidated) | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | — | $ | — | $ | 29,157,433 | ||||||
Dividends — affiliated (Note 2) | 6,142,040 | 134,093 | 41,666 | |||||||||
Securities lending income — affiliated — net (Note 2) | 219,018 | — | 1,111,537 | |||||||||
|
|
|
|
|
| |||||||
6,361,058 | 134,093 | 30,310,636 | ||||||||||
Less: Other foreign taxes (Note 1) | — | — | 669 | |||||||||
|
|
|
|
|
| |||||||
Total investment income | 6,361,058 | 134,093 | 30,311,305 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 1,621,877 | 29,460 | 14,639,063 | |||||||||
Mauritius income taxes (Note 1) | — | — | 77,265 | |||||||||
Proxy fees | 31 | 1 | 416 | |||||||||
Commitment fees (Note 9) | — | — | 8,897 | |||||||||
Interest expense (Note 9) | — | — | 267 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 1,621,908 | 29,461 | 14,725,908 | |||||||||
Less investment advisory fees waived (Note 2) | (1,621,908 | ) | (28,327 | ) | (9,181,840 | ) | ||||||
|
|
|
|
|
| |||||||
Net expenses | — | 1,134 | 5,544,068 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 6,361,058 | 132,959 | 24,767,237 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | — | — | (20,025,521 | ) | ||||||||
Investments — affiliated (Note 2) | 392,616 | 2,929 | (2,631 | ) | ||||||||
In-kind redemptions — unaffiliated | — | — | 91,426,371 | |||||||||
In-kind redemptions — affiliated (Note 2) | 7,838,468 | 272,527 | — | |||||||||
Futures contracts | — | — | 44,266 | |||||||||
Foreign currency transactions | — | — | (120,231 | ) | ||||||||
Forward currency contracts | (11,652,157 | ) | (200,545 | ) | — | |||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | (3,421,073 | ) | 74,911 | 71,322,254 | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliatedb | — | — | 270,933,249 | |||||||||
Investments — affiliated (Note 2) | 20,690,276 | 58,267 | (10,249 | ) | ||||||||
Forward currency contracts | 3,577,685 | 80,108 | — | |||||||||
Futures contracts | — | — | 285,470 | |||||||||
Translation of assets and liabilities in foreign currencies | — | — | (115,884 | ) | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 24,267,961 | 138,375 | 271,092,586 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 20,846,888 | 213,286 | 342,414,840 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 27,207,946 | $ | 346,245 | $ | 367,182,077 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $ —, $ — and $2,689,348, respectively. |
b | Net of deferred foreign capital gains taxes of $ —, $ — and $3,049,896, respectively. |
See notes to financial statements.
44 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares MSCI Emerging Markets ETF (Consolidated) | ||||
NET INVESTMENT INCOME | ||||
Dividends — unaffiliateda | $ | 276,199,099 | ||
Dividends — affiliated (Note 2) | 348,509 | |||
Interest — unaffiliated | 9,533 | |||
Securities lending income — affiliated — net (Note 2)b | 9,965,902 | |||
|
| |||
286,523,043 | ||||
Less: Other foreign taxes (Note 1) | (299,608 | ) | ||
|
| |||
Total investment income | 286,223,435 | |||
|
| |||
EXPENSES | ||||
Investment advisory fees (Note 2) | 128,387,437 | |||
Mauritius income taxes (Note 1) | 819,636 | |||
Proxy fees | 3,369 | |||
Commitment fees (Note 9) | 105,487 | |||
Interest expense (Note 9) | 11,009 | |||
|
| |||
Total expenses | 129,326,938 | |||
|
| |||
Net investment income | 156,896,497 | |||
|
| |||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||
Net realized gain (loss) from: | ||||
Investments — unaffiliated | (338,989,152 | ) | ||
Investments — affiliated (Note 2) | (55,184 | ) | ||
In-kind redemptions — unaffiliated | 142,391,756 | |||
Futures contracts | 9,250,442 | |||
Foreign currency transactions | 982,211 | |||
|
| |||
Net realized loss | (186,419,927 | ) | ||
|
| |||
Net change in unrealized appreciation/depreciation on: |
| |||
Investments — unaffiliatedc | 3,646,227,932 | |||
Investments — affiliated (Note 2) | (260,770 | ) | ||
Futures contracts | (5,603,462 | ) | ||
Translation of assets and liabilities in foreign currencies | 117,777 | |||
|
| |||
Net change in unrealized appreciation/depreciation | 3,640,481,477 | |||
|
| |||
Net realized and unrealized gain | 3,454,061,550 | |||
|
| |||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 3,610,958,047 | ||
|
|
a | Net of foreign withholding tax of $31,717,076. |
b | Net of securities lending income tax paid of $411,244. |
c | Net of deferred foreign capital gains taxes of $34,880,054. |
See notes to financial statements.
FINANCIAL STATEMENTS | 45 |
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, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 6,361,058 | $ | 4,008,451 | $ | 132,959 | $ | 183,745 | ||||||||
Net realized gain (loss) | (3,421,073 | ) | (12,482,715 | ) | 74,911 | (137,662 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 24,267,961 | 64,687,519 | 138,375 | 487,310 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 27,207,946 | 56,213,255 | 346,245 | 533,393 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (6,361,464 | ) | (3,977,750 | ) | (133,613 | ) | (184,054 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (6,361,464 | ) | (3,977,750 | ) | (133,613 | ) | (184,054 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 26,709,172 | 209,783,628 | 4,149,895 | 3,586,153 | ||||||||||||
Cost of shares redeemed | (28,268,682 | ) | (48,515,551 | ) | (1,387,339 | ) | (3,549,931 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | (1,559,510 | ) | 161,268,077 | 2,762,556 | 36,222 | |||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 19,286,972 | 213,503,582 | 2,975,188 | 385,561 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 393,757,374 | 180,253,792 | 6,562,353 | 6,176,792 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 413,044,346 | $ | 393,757,374 | $ | 9,537,541 | $ | 6,562,353 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | 56,113 | $ | 56,519 | $ | (654 | ) | $ | — | |||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,000,000 | 9,300,000 | 150,000 | 150,000 | ||||||||||||
Shares redeemed | (1,050,000 | ) | (2,200,000 | ) | (50,000 | ) | (150,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | (50,000 | ) | 7,100,000 | 100,000 | — | |||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Consolidated 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 24,767,237 | $ | 94,250,679 | $ | 156,896,497 | $ | 580,186,188 | ||||||||
Net realized gain (loss) | 71,322,254 | (128,677,692 | ) | (186,419,927 | ) | (545,920,506 | ) | |||||||||
Net change in unrealized appreciation/depreciation | 271,092,586 | 391,424,155 | 3,640,481,477 | 6,415,419,097 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 367,182,077 | 356,997,142 | 3,610,958,047 | 6,449,684,779 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (74,982,159 | ) | (84,793,898 | ) | (572,666,116 | ) | (442,844,825 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (74,982,159 | ) | (84,793,898 | ) | (572,666,116 | ) | (442,844,825 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 607,380,074 | 93,359,655 | 4,985,320,055 | 2,729,984,147 | ||||||||||||
Cost of shares redeemed | (184,534,855 | ) | (707,175,671 | ) | (710,554,777 | ) | (3,711,402,633 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 422,845,219 | (613,816,016 | ) | 4,274,765,278 | (981,418,486 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE (DECREASE) IN NET ASSETS | 715,045,137 | (341,612,772 | ) | 7,313,057,209 | 5,025,421,468 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 4,037,428,095 | 4,379,040,867 | 35,891,890,045 | 30,866,468,577 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 4,752,473,232 | $ | 4,037,428,095 | $ | 43,204,947,254 | $ | 35,891,890,045 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (7,051,618 | ) | $ | 43,163,304 | $ | (182,159,123 | ) | $ | 233,610,496 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 10,200,000 | 1,700,000 | 102,150,000 | 65,700,000 | ||||||||||||
Shares redeemed | (3,100,000 | ) | (14,100,000 | ) | (14,850,000 | ) | (103,950,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 7,100,000 | (12,400,000 | ) | 87,300,000 | (38,250,000 | ) | ||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 47 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares Currency Hedged MSCI Emerging Markets ETF |
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Period from to | |||||||||||||
Net asset value, beginning of period | $ | 25.57 | $ | 21.72 | $ | 21.40 | $ | 24.44 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Income from investment operations: |
| |||||||||||||||
Net investment incomeb | 0.41 | 0.36 | 0.50 | 0.41 | ||||||||||||
Net realized and unrealized gain (loss)c | 1.34 | 3.83 | 1.08 | (2.80 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total from investment operations | 1.75 | 4.19 | 1.58 | (2.39 | ) | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Less distributions from: | ||||||||||||||||
Net investment income | (0.41 | ) | (0.34 | ) | (0.48 | ) | (0.65 | ) | ||||||||
Net realized gain | — | — | (0.78 | ) | — | |||||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions | (0.41 | ) | (0.34 | ) | (1.26 | ) | (0.65 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net asset value, end of period | $ | 26.91 | $ | 25.57 | $ | 21.72 | $ | 21.40 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total return | 6.87 | %d | 19.55 | % | 7.84 | % | (10.01 | )%d | ||||||||
|
|
|
|
|
|
|
| |||||||||
Ratios/Supplemental data: | ||||||||||||||||
Net assets, end of period (000s) | $ | 413,044 | $ | 393,757 | $ | 180,254 | $ | 211,865 | ||||||||
Ratio of expenses to average net assetse,f | 0.00 | % | 0.00 | % | 0.00 | % | 0.02 | % | ||||||||
Ratio of expenses to average net assets prior to waived feese,f | 0.78 | % | 0.78 | % | 0.78 | % | 0.78 | % | ||||||||
Ratio of net investment income to average net assetse | 3.06 | % | 1.56 | % | 2.42 | % | 1.82 | % | ||||||||
Portfolio turnover rateg,h | 2 | %d | 4 | % | 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 51 for the portfolio turnover rates of the underlying fund. |
See notes to financial statements.
48 | 2018 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 EM Currency Hedged ETF |
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Period from to | ||||||||||
Net asset value, beginning of period | $ | 26.25 | $ | 24.71 | $ | 24.50 | ||||||
|
|
|
|
|
| |||||||
Income from investment operations: | ||||||||||||
Net investment incomeb | 0.47 | 0.70 | 0.58 | |||||||||
Net realized and unrealized gainc | 0.98 | 1.37 | 0.23 | |||||||||
|
|
|
|
|
| |||||||
Total from investment operations | 1.45 | 2.07 | 0.81 | |||||||||
|
|
|
|
|
| |||||||
Less distributions from: | ||||||||||||
Net investment income | (0.45 | ) | (0.53 | ) | (0.60 | ) | ||||||
Return of capital | — | — | (0.00 | )d | ||||||||
|
|
|
|
|
| |||||||
Total distributions | (0.45 | ) | (0.53 | ) | (0.60 | ) | ||||||
|
|
|
|
|
| |||||||
Net asset value, end of period | $ | 27.25 | $ | 26.25 | $ | 24.71 | ||||||
|
|
|
|
|
| |||||||
Total return | 5.52 | %e | 8.61 | % | 3.45 | %e | ||||||
|
|
|
|
|
| |||||||
Ratios/Supplemental data: | ||||||||||||
Net assets, end of period (000s) | $ | 9,538 | $ | 6,562 | $ | 6,177 | ||||||
Ratio of expenses to average net assetsf,g | 0.03 | % | 0.03 | % | 0.03 | % | ||||||
Ratio of expenses to average net assets prior to waived feesf,g | 0.78 | % | 0.78 | % | 0.78 | % | ||||||
Ratio of net investment income to average net assetsf | 3.52 | % | 2.85 | % | 2.88 | % | ||||||
Portfolio turnover rateh,i | 3 | %e | 8 | % | 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 50 for the portfolio turnover rates of the underlying fund. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 49 |
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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 58.01 | $ | 53.40 | $ | 50.98 | $ | 62.47 | $ | 55.56 | $ | 55.32 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.33 | 1.28 | 1.57 | 1.58 | 1.51 | 1.85 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 4.62 | 4.48 | 2.13 | (11.65 | ) | 6.94 | (0.60 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.95 | 5.76 | 3.70 | (10.07 | ) | 8.45 | 1.25 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (1.00 | ) | (1.15 | ) | (1.28 | ) | (1.42 | ) | (1.54 | ) | (1.01 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (1.00 | ) | (1.15 | ) | (1.28 | ) | (1.42 | ) | (1.54 | ) | (1.01 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 61.96 | $ | 58.01 | $ | 53.40 | $ | 50.98 | $ | 62.47 | $ | 55.56 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 8.60 | %c | 11.11 | % | 7.48 | % | (16.32 | )% | 15.44 | % | 2.22 | % | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 4,752,473 | $ | 4,037,428 | $ | 4,379,041 | $ | 2,462,357 | $ | 2,080,363 | $ | 2,455,727 | ||||||||||||
Ratio of expenses to average net assetsd | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesd | 0.66 | % | 0.69 | % | 0.71 | % | 0.69 | % | 0.67 | % | 0.67 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.12 | % | 2.40 | % | 3.12 | % | 2.71 | % | 2.58 | % | 3.13 | % | ||||||||||||
Portfolio turnover ratee | 11 | %c | 23 | % | 23 | % | 28 | % | 34 | % | 23 | % |
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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 11%, 22%, 23%, 24%, 26% and 23%, respectively. See Note 4. |
See notes to financial statements.
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Emerging Markets ETF (Consolidated) | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 44.76 | $ | 36.74 | $ | 33.79 | $ | 45.11 | $ | 38.44 | $ | 39.22 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.19 | 0.75 | 0.72 | 0.73 | 0.83 | 0.75 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 4.34 | 7.86 | 3.00 | (11.21 | ) | 6.55 | (0.76 | ) | ||||||||||||||||
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Total from investment operations | 4.53 | 8.61 | 3.72 | (10.48 | ) | 7.38 | (0.01 | ) | ||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.70 | ) | (0.59 | ) | (0.77 | ) | (0.84 | ) | (0.71 | ) | (0.77 | ) | ||||||||||||
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Total distributions | (0.70 | ) | (0.59 | ) | (0.77 | ) | (0.84 | ) | (0.71 | ) | (0.77 | ) | ||||||||||||
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Net asset value, end of period | $ | 48.59 | $ | 44.76 | $ | 36.74 | $ | 33.79 | $ | 45.11 | $ | 38.44 | ||||||||||||
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Total return | 10.18 | %c | 23.80 | % | 11.28 | % | (23.46 | )% | 19.34 | % | (0.08 | )% | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 43,204,947 | $ | 35,891,890 | $ | 30,866,469 | $ | 21,000,865 | $ | 44,336,401 | $ | 34,804,192 | ||||||||||||
Ratio of expenses to average net assetsd | 0.66 | % | 0.69 | % | 0.72 | % | 0.69 | % | 0.67 | % | 0.67 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesd | 0.66 | % | 0.69 | % | 0.72 | % | 0.69 | % | 0.68 | % | 0.67 | % | ||||||||||||
Ratio of expenses to average net assets excluding professional fees for foreign withholding tax claims (Note 10)d | n/a | 0.69 | % | n/a | n/a | n/a | n/a | |||||||||||||||||
Ratio of net investment income to average net assetsd | 0.81 | % | 1.92 | % | 2.15 | % | 1.79 | % | 1.98 | % | 1.78 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 9 | % | 23 | % | 10 | % | 22 | % | 24 | % |
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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013, were 2%, 4%, 10%, 7%, 7%, and 9%, 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 | |
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
52 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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 contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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.
NOTESTO FINANCIAL STATEMENTS | 53 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 to valuation techniques are categorized into a fair value 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.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Security transactions are accounted for on trade date. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. Purchases and sales of securities, income receipts and expense payments are translated into U.S. dollars on the respective dates of such transactions.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 U.S. federal income tax purposes. However, the iShares Currency Hedged MSCI Emerging Markets ETF and iShares Edge MSCI Min Vol EM Currency Hedged ETF elected to treat realized gains (losses) from certain foreign currency contracts as capital gain (loss) for U.S. federal income tax 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, 2018, if any, are disclosed in the Funds’ statements of assets and liabilities.
Each of 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.
The DTAA 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.
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
NOTESTO FINANCIAL STATEMENTS | 55 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
Currency Hedged MSCI Emerging Markets | ||||||||||||
Deutsche Bank Securities Inc. | $ | 8,413,104 | $ | 8,413,104 | $ | — | ||||||
HSBC Bank PLC | 153,712 | 153,712 | — | |||||||||
JPMorgan Securities LLC | 160,871,802 | 160,871,802 | — | |||||||||
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$ | 169,438,618 | $ | 169,438,618 | $ | — | |||||||
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56 | 2018 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 | |||||||||
Edge MSCI Min Vol Emerging Markets | ||||||||||||
Citigroup Global Markets Inc. | $ | 6,519,531 | $ | 6,519,531 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 108,123 | 108,123 | — | |||||||||
Deutsche Bank AG | 1,387,286 | 1,387,286 | — | |||||||||
Deutsche Bank Securities Inc. | 2,374,115 | 2,374,115 | — | |||||||||
Goldman Sachs & Co. | 6,701,751 | 6,701,751 | — | |||||||||
HSBC Bank PLC | 25,220 | 25,220 | — | |||||||||
Jefferies LLC | 799,969 | 799,969 | — | |||||||||
JPMorgan Securities PLC | 1,003,433 | 1,003,433 | — | |||||||||
Macquarie Bank Limited | 330,778 | 330,778 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 372,086 | 372,086 | — | |||||||||
Morgan Stanley & Co. International PLC | 11,626,324 | 11,626,324 | — | |||||||||
Morgan Stanley & Co. LLC | 13,758,223 | 13,758,223 | — | |||||||||
UBS AG | 419,500 | 419,500 | — | |||||||||
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$ | 45,426,339 | $ | 45,426,339 | $ | — | |||||||
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MSCI Emerging Markets | ||||||||||||
Barclays Capital Inc. | $ | 3,169,865 | $ | 3,169,865 | $ | — | ||||||
Citigroup Global Markets Inc. | 44,346,439 | 44,346,439 | — | |||||||||
Citigroup Global Markets Ltd. | 21,978,902 | 21,978,902 | — | |||||||||
Credit Suisse Securities (Europe) Ltd. | 31,478,722 | 31,478,722 | — | |||||||||
Credit Suisse Securities (USA) LLC | 47,506,400 | 47,506,400 | — | |||||||||
Deutsche Bank AG | 1,601,804 | 1,601,804 | — | |||||||||
Deutsche Bank Securities Inc. | 12,943,233 | 12,943,233 | — | |||||||||
Goldman Sachs & Co. | 435,399,893 | 435,399,893 | — | |||||||||
Goldman Sachs International | 51,083,013 | 51,083,013 | — | |||||||||
HSBC Bank PLC | 102,869,327 | 102,869,327 | — | |||||||||
Jefferies LLC | 4,578,182 | 4,578,182 | — | |||||||||
JPMorgan Securities LLC | 714,652,519 | 714,652,519 | — | |||||||||
JPMorgan Securities PLC | 18,717,187 | 18,717,187 | — | |||||||||
Macquarie Bank Limited | 13,839,880 | 13,839,880 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 17,994,089 | 17,994,089 | — | |||||||||
Morgan Stanley & Co. International PLC | 99,101,139 | 99,101,139 | — | |||||||||
Morgan Stanley & Co. LLC | 270,230,904 | 270,230,904 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 117,974,782 | 117,974,782 | — | |||||||||
National Financial Services LLC | 68,998,278 | 68,998,278 | — | |||||||||
Scotia Capital (USA) Inc. | 334,878 | 334,878 | — | |||||||||
State Street Bank & Trust Company | 6,765,010 | 6,765,010 | — | |||||||||
UBS AG | 11,896,625 | 11,896,625 | — | |||||||||
UBS Ltd. | 1,132,024 | 1,132,024 | — | |||||||||
UBS Securities LLC | 1,924,676 | 1,924,676 | — | |||||||||
Wells Fargo Securities LLC | 1,139,177 | 1,139,177 | — | |||||||||
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$ | 2,101,656,948 | $ | 2,101,656,948 | $ | — | |||||||
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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. |
NOTESTO FINANCIAL STATEMENTS | 57 |
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).
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%, accrued daily and paid monthly by the Fund, 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 for the Fund through December 31, 2020 so that the Fund’s total annual operating expenses after fee waiver is equal to the acquired fund fees and expenses attributable to the Fund’s 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%, accrued daily and paid monthly by the Fund, 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 to waive a portion of its investment advisory fee for the Fund through December 31, 2020 so that the Fund’s total annual operating expenses after fee waiver is equal to the acquired fund fees and expenses attributable to the Fund’s 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, accrued daily and paid monthly by the Funds, 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 the iShares Edge MSCI Min Vol Emerging Markets ETF, BFA has contractually agreed to waive a portion of its investment advisory fee for the Fund through December 31, 2023 in order to limit total annual operating expenses after fee waiver to 0.25% of average daily net assets.
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iSHARES®, INC.
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, 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 | $ | 69,095 | ||
Edge MSCI Min Vol Emerging Markets | 241,697 | |||
MSCI Emerging Markets | 2,542,037 |
For the six months ended February 28, 2018, BTC, the Funds’ securities lending agent, has agreed to voluntarily reimburse the iShares MSCI Emerging Markets ETF in the amount of $42,006, related to the foreign tax on the securities lending income. The voluntary waiver was discontinued effective January 1, 2018. 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, 2018, 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 | $ | 113,071,613 | $ | 21,158,169 | ||||
MSCI Emerging Markets | 53,321,186 | 103,766,372 |
NOTESTO FINANCIAL STATEMENTS | 59 |
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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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
Currency Hedged MSCI Emerging Markets | $ | 10,293,073 | $ | 20,783,210 | ||||
Edge MSCI Min Vol EM Currency Hedged | 222,167 | 402,541 | ||||||
Edge MSCI Min Vol Emerging Markets | 866,620,201 | 485,014,441 | ||||||
MSCI Emerging Markets | 3,607,852,944 | 994,402,897 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Currency Hedged MSCI Emerging Markets | $ | 26,735,315 | $ | 28,271,723 | ||||
Edge MSCI Min Vol EM Currency Hedged | 4,164,649 | 1,399,852 | ||||||
Edge MSCI Min Vol Emerging Markets | 156,978,626 | 169,377,061 | ||||||
MSCI Emerging Markets | 1,614,372,944 | 359,957,367 |
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 statements of assets and liabilities.
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iSHARES®, INC.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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, 2018 and the related locations in the consolidated statements of assets and liabilities, presented by risk exposure category:
Assets | ||||||||
iShares Edge MSCI Min Vol Emerging Markets ETF | iShares MSCI Emerging Markets ETF | |||||||
Futures contracts: | ||||||||
Variation margin/Net assets consist of – net unrealized appreciation a | $ | 285,470 | $ | 1,479,449 | ||||
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a | Represents cumulative appreciation of futures contracts as reported in the consolidated schedules of investments. Only current day’s variation margin is reported separately within the consolidated statements of assets and liabilities. |
NOTESTO FINANCIAL STATEMENTS | 61 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table shows the realized and unrealized gains (losses) on futures contracts held during the six months ended February 28, 2018 and the related locations in the consolidated statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | ||||||||
iShares Edge MSCI Min Vol Emerging Markets ETF | iShares MSCI Emerging Markets ETF | |||||||
Futures contracts | $ | 44,266 | $ | 9,250,442 | ||||
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| |||||
Net Change in Unrealized Appreciation/Depreciation | ||||||||
iShares Edge MSCI Min Vol Emerging Markets ETF | iShares MSCI Emerging Markets ETF | |||||||
Futures contracts | $ | 285,470 | $ | (5,603,462 | ) | |||
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The following table shows the average quarter-end balances of open futures contracts for the six months ended February 28, 2018:
iShares Edge MSCI Min Vol Emerging Markets ETF | iShares MSCI Emerging Markets ETF | |||||||
Average notional value of contracts purchased | $ | 5,819,217 | $ | 77,603,510 | ||||
6. | FORWARD CURRENCY CONTRACTS |
Each currency-hedged fund uses forward currency contracts to hedge the currency exposure of non-U.S. dollar-denominated securities held by the Fund or its underlying fund. A forward currency contract is an obligation to purchase or sell a currency against another currency at a specified future date at an agreed upon price and quantity. Forward currency contracts are traded over-the-counter (“OTC”) and not on an organized exchange.
The contract is marked-to-market daily and the change in market value is recorded as unrealized appreciation or depreciation. When the contract is closed, a realized gain or loss equal to the difference between the value at the time it was opened and the value at the time it was closed is recorded. Non-deliverable forward currency contracts (“NDFs”) 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.
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iSHARES®, INC.
The following table shows the value of forward currency contracts held as of February 28, 2018 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 | $ | 4,474,261 | $ | 115,067 | ||||
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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 | $ | 2,441,437 | $ | 55,128 | ||||
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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, 2018 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 | $ | (11,652,157 | ) | $ | (200,545 | ) | ||
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Net Change in Unrealized Appreciation/Depreciation | ||||||||
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Forward currency contracts | $ | 3,577,685 | $ | 80,108 | ||||
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NOTESTO FINANCIAL STATEMENTS | 63 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
The following table shows the average quarter-end balances of outstanding forward currency contracts for the six months ended February 28, 2018:
iShares Currency Hedged MSCI Emerging Markets ETF | iShares Edge MSCI Min Vol EM Currency Hedged ETF | |||||||
Average amounts purchased in U.S. dollars | $ | 544,050,352 | $ | 9,877,657 | ||||
Average amounts sold in U.S. dollars | $ | 911,407,619 | $ | 17,083,367 |
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. Except for NDFs, the forward currency contracts held by the Funds generally do not require collateral. Cash collateral pledged to the counterparty, if any, is presented as “Cash pledged to broker for forward currency contracts” on the statement of assets and liabilities. Cash received as collateral from the counterparty may be reinvested in money market funds, including those managed by the Funds’ investment adviser, or its affiliates. Such collateral, if any, is presented in the statement of assets and liabilities as “Investments in securities – affiliated” and “Payable due to broker for collateral on forwards.” 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.
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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, 2018:
Derivative Assets Subject to Offsetting | Derivatives Available for Offset | Cash Collateral Received a | Net Amount of | |||||||||||||
iShares Currency Hedged MSCI | ||||||||||||||||
Forward currency contracts | $ | 4,474,261 | $ | (2,421,640 | ) | $ | (720,000 | ) | $ | 1,332,621 | ||||||
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iShares Edge MSCI Min Vol EM | ||||||||||||||||
Forward currency contracts | $ | 115,067 | $ | (51,052 | ) | $ | — | $ | 64,015 | |||||||
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Derivative Liabilities Subject to Offsetting | Derivatives Available for Offset | Cash Collateral Pledged a | Net Amount of | |||||||||||||
iShares Currency Hedged MSCI | ||||||||||||||||
Forward currency contracts | $ | 2,441,437 | $ | (2,421,640 | ) | $ | (14,875 | ) | $ | 4,922 | ||||||
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iShares Edge MSCI Min Vol EM | ||||||||||||||||
Forward currency contracts | $ | 55,128 | $ | (51,052 | ) | $ | — | $ | 4,076 | |||||||
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a | Excess of collateral received and/or pledged is not shown for financial reporting purposes. |
7. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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,
NOTESTO FINANCIAL STATEMENTS | 65 |
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iSHARES®, INC.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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, Norway, Switzerland and Canada, have imposed economic sanctions, which consist of asset freezes and sectorial sanctions, on certain Russian individuals and Russian corporate entities. Broader sanctions on Russia could also be instituted. 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.
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
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iSHARES®, INC.
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, 2017, 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 2018 | Expiring 2019 | Total | ||||||||||||
Currency Hedged MSCI Emerging Markets | $ | 20,285,024 | $ | — | $ | — | $ | 20,285,024 | ||||||||
Edge MSCI Min Vol EM Currency Hedged | 264,276 | — | — | 264,276 | ||||||||||||
Edge MSCI Min Vol Emerging Markets | 626,690,250 | — | — | 626,690,250 | ||||||||||||
MSCI Emerging Markets | 8,973,262,771 | 1,201,366,175 | 873,167,649 | 11,047,796,595 |
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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
Currency Hedged MSCI Emerging Markets | $ | 521,415,405 | $ | 76,326,623 | $ | (7,948,600 | ) | $ | 68,378,023 | |||||||
Edge MSCI Min Vol EM Currency Hedged | 8,635,167 | 979,095 | (69,900 | ) | 909,195 | |||||||||||
Edge MSCI Min Vol Emerging Markets | 3,998,364,055 | 952,471,714 | (159,566,923 | ) | 792,904,791 | |||||||||||
MSCI Emerging Markets | 36,575,493,779 | 12,814,291,185 | (4,120,419,060 | ) | 8,693,872,125 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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 and iShares MSCI Emerging Markets ETFs, along with certain other iShares funds, are parties to a credit agreement with State Street Bank and Trust Company. Effective October 25, 2017, certain terms of the credit agreement were amended, including (i) increasing the maximum borrowing amount from $250 million to $275 million
NOTESTO FINANCIAL STATEMENTS | 67 |
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iSHARES®, INC.
and (ii) extending the expiration date from October 25, 2017 to October 24, 2018. 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, 2018, 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 | $ | 575,000 | $ | 25,414 | 2.09 | % | ||||||
MSCI Emerging Markets | 21,000,000 | 1,022,099 | 2.14 | % |
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 that result in the recovery of foreign withholding taxes have been 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 which the Fund is able to pass through to its shareholders as a foreign tax credit 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. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision
68 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
12. | 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 |
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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 | $ | 0.284799 | $ | — | $ | 0.125618 | $ | 0.410417 | 69 | % | — | % | 31 | % | 100 | % | ||||||||||||||||
Edge MSCI Min Vol EM Currency Hedged | 0.367564 | — | 0.077813 | 0.445377 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
Edge MSCI Min Vol Emerging Markets | 0.822400 | — | 0.173379 | 0.995779 | 83 | — | 17 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets | 0.475574 | — | 0.220973 | 0.696547 | 68 | — | 32 | 100 |
70 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
GENERAL INFORMATION | 71 |
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Notes:
72 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 73 |
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Notes:
74 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-805-0218
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Table of Contents
FEBRUARY 28, 2018
2018 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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iSHARES® MSCI FRONTIER 100 ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 14.51%, net of fees, while the total return for the Index was 13.24%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 29.83% | 29.82% | 29.79% | 29.83% | 29.82% | 29.79% | ||||||||||||||||||||||
5 Years | 8.21% | 7.61% | 9.72% | 48.40% | 44.32% | 58.98% | ||||||||||||||||||||||
Since Inception | 9.96% | 9.79% | 11.39% | 68.03% | 66.61% | 80.38% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,145.10 | $ | 4.41 | $ | 1,000.00 | $ | 1,020.70 | $ | 4.16 | 0.83% |
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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 44.07 | % | ||
Telecommunication Services | 12.66 | |||
Consumer Staples | 11.59 | |||
Real Estate | 7.02 | |||
Energy | 6.85 | |||
Utilities | 4.36 | |||
Industrials | 4.29 | |||
Materials | 3.89 | |||
Health Care | 2.39 | |||
Consumer Discretionary | 1.91 | |||
Information Technology | 0.97 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
Argentina | 22.90 | % | ||
Kuwait | 16.98 | |||
Vietnam | 16.03 | |||
Morocco | 7.31 | |||
Nigeria | 6.63 | |||
Kenya | 6.30 | |||
Bangladesh | 5.83 | |||
Romania | 5.26 | |||
Bahrain | 3.93 | |||
Oman | 3.34 | |||
|
| |||
TOTAL | 94.51 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 5 |
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Fund Performance Overview
iSHARES® MSCI WORLD ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 9.02%, net of fees, while the total return for the Index was 8.86%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 17.65% | 17.30% | 17.36% | 17.65% | 17.30% | 17.36% | ||||||||||||||||||||||
5 Years | 10.84% | 10.65% | 10.70% | 67.32% | 65.88% | 66.24% | ||||||||||||||||||||||
Since Inception | 11.99% | 11.93% | 11.81% | 100.37% | 99.73% | 98.43% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,090.20 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Financials | 18.30 | % | ||
Information Technology | 17.95 | |||
Consumer Discretionary | 12.71 | |||
Health Care | 11.86 | |||
Industrials | 11.68 | |||
Consumer Staples | 8.40 | |||
Energy | 5.81 | |||
Materials | 5.08 | |||
Real Estate | 2.80 | |||
Utilities | 2.79 | |||
Telecommunication Services | 2.62 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
United States | 59.57 | % | ||
Japan | 9.32 | |||
United Kingdom | 6.32 | |||
France | 3.87 | |||
Germany | 3.53 | |||
Canada | 3.28 | |||
Switzerland | 2.92 | |||
Australia | 2.54 | |||
Netherlands | 1.39 | |||
Hong Kong | 1.36 | |||
|
| |||
TOTAL | 94.10 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 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, 2017 and held through February 28, 2018, 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, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.21% |
| |||||||
ARGENTINA — 22.50% |
| |||||||
Adecoagro SAa | 487,598 | $ | 4,383,506 | |||||
Arcos Dorados Holdings Inc. Class Aa | 620,481 | 5,925,594 | ||||||
Banco Macro SA ADR | 229,164 | 25,920,740 | ||||||
BBVA Banco Frances SA ADR | 355,827 | 8,354,818 | ||||||
Cresud SACIF y A ADR | 175,872 | 3,944,809 | ||||||
Empresa Distribuidora y Comercializadora Norte SA ADRa | 110,298 | 6,379,636 | ||||||
Globant SAa,b | 140,111 | 7,296,981 | ||||||
Grupo Financiero Galicia SA ADR | 513,254 | 32,304,207 | ||||||
Grupo Supervielle SA ADR | 294,457 | 9,042,774 | ||||||
IRSA Inversiones y Representaciones SA ADR | 115,708 | 3,218,997 | ||||||
Pampa Energia SA ADRa | 292,912 | 18,550,117 | ||||||
Telecom Argentina SA ADR | 545,459 | 18,169,239 | ||||||
Transportadora de Gas del Sur SA ADRa | 388,064 | 7,951,431 | ||||||
YPF SA ADR | 883,300 | 20,413,063 | ||||||
|
| |||||||
171,855,912 | ||||||||
BAHRAIN — 3.86% | ||||||||
Ahli United Bank BSC | 30,261,972 | 21,763,229 | ||||||
Aluminium Bahrain BSC | 1,166,522 | 2,042,187 | ||||||
GFH Financial Group BSC | 12,329,993 | 4,632,622 | ||||||
Ithmaar Holding BSCa | 9,148,847 | 1,053,938 | ||||||
|
| |||||||
29,491,976 | ||||||||
BANGLADESH — 5.73% | ||||||||
ACI Ltd. | 239,341 | 1,176,993 | ||||||
Acme Laboratores Ltd. (The) | 1,198,137 | 1,581,727 | ||||||
Bangladesh Export Import Co. Ltd. | 5,330,548 | 1,602,836 | ||||||
Beximco Pharmaceuticals Ltd. | 2,535,687 | 3,195,619 | ||||||
BRAC Bank Ltd. | 3,438,885 | 3,773,607 | ||||||
City Bank Ltd. (The) | 4,057,057 | 1,861,459 | ||||||
Eastern Bank Ltd. | 1,582,237 | 784,721 | ||||||
GrameenPhone Ltd. | 765,605 | 4,390,478 |
Security | Shares | Value | ||||||
International Finance Investment & Commerce Bank Ltd.a | 4,995,069 | $ | 945,458 | |||||
Islami Bank Bangladesh Ltd. | 3,837,447 | 1,457,288 | ||||||
Lafarge Surma Cement Ltd. | 3,241,268 | 2,341,401 | ||||||
National Bank Ltd.a | 12,239,824 | 1,788,869 | ||||||
Olympic Industries Ltd. | 1,085,447 | 3,373,045 | ||||||
Pubali Bank Ltd. | 2,261,746 | 726,143 | ||||||
Renata Ltd. | 61,517 | 929,369 | ||||||
Square Pharmaceuticals Ltd. | 3,257,253 | 12,225,186 | ||||||
Summit Power Ltd. | 3,681,463 | 1,578,872 | ||||||
|
| |||||||
43,733,071 | ||||||||
CROATIA — 0.30% |
| |||||||
Valamar Riviera DD | 338,127 | 2,319,389 | ||||||
|
| |||||||
2,319,389 | ||||||||
JORDAN — 1.77% | ||||||||
Al-Eqbal Investment Co. PLC | 56,730 | 2,718,371 | ||||||
Arab Bank PLC | 560,826 | 5,295,658 | ||||||
Bank of Jordan | 373,722 | 1,564,307 | ||||||
Jordan Islamic Bank | 342,464 | 1,805,109 | ||||||
Jordan Petroleum Refinery Co. | 556,450 | 2,172,316 | ||||||
|
| |||||||
13,555,761 | ||||||||
KAZAKHSTAN — 0.89% | ||||||||
Halyk Savings Bank of Kazakhstan JSC GDRa | 432,785 | 5,972,433 | ||||||
KCell JSC GDR | 167,818 | 802,170 | ||||||
|
| |||||||
6,774,603 | ||||||||
KENYA — 6.19% | ||||||||
Co-operative Bank of Kenya Ltd. (The) | 13,445,260 | 2,380,103 | ||||||
East African Breweries Ltd. | 2,704,542 | 6,374,611 | ||||||
Equity Group Holdings Ltd./Kenya | 17,654,400 | 7,660,686 | ||||||
KCB Group Ltd. | 15,315,136 | 7,136,491 | ||||||
Safaricom Ltd. | 80,948,267 | 23,749,615 | ||||||
|
| |||||||
47,301,506 | ||||||||
KUWAIT — 16.68% | ||||||||
Agility Public Warehousing Co. KSC | 3,639,666 | 10,239,780 | ||||||
Al Mazaya Holding Co. KSCP | 2,805,717 | 1,027,564 |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2018
Security | Shares | Value | ||||||
Alimtiaz Investment Co. KSCC | 3,946,724 | $ | 1,865,939 | |||||
Boubyan Bank KSCP | 3,399,890 | 5,376,886 | ||||||
Burgan Bank SAK | 3,251,808 | 3,107,271 | ||||||
Human Soft Holding Co. KSC | 336,650 | 4,131,486 | ||||||
Jazeera Airways Co. KSC | 522,417 | 1,041,877 | ||||||
Kuwait Finance House KSCP | 14,000,784 | 27,456,174 | ||||||
Kuwait International Bank KSCP | 2,470,853 | 1,925,020 | ||||||
Kuwait Projects Co. Holding KSCP | 2,200,490 | 2,219,905 | ||||||
Mabanee Co. SAK | 2,422,480 | 5,912,029 | ||||||
Mezzan Holding Co. KSCC | 678,610 | 1,796,221 | ||||||
Mobile Telecommunications Co. KSC | 11,849,437 | 18,858,102 | ||||||
National Bank of Kuwait SAKP | 14,347,076 | 36,781,250 | ||||||
National Industries Group | 4,862,074 | 2,492,956 | ||||||
National Real Estate Co. KPSCa | 2,994,937 | 1,186,607 | ||||||
Warba Bank KSCPa | 2,479,279 | 1,997,621 | ||||||
|
| |||||||
127,416,688 | ||||||||
MAURITIUS — 0.83% | ||||||||
Greenbay Properties Ltd. | 53,081,136 | 6,340,731 | ||||||
|
| |||||||
6,340,731 | ||||||||
MOROCCO — 7.18% | ||||||||
Attijariwafa Bank | 274,192 | 15,036,145 | ||||||
Banque Centrale Populaire | 139,500 | 4,482,530 | ||||||
Ciments du Maroc | 13,254 | 2,476,179 | ||||||
Cosumar | 129,640 | 4,172,000 | ||||||
Douja Promotion Groupe Addoha SA | 869,324 | 3,190,964 | ||||||
Maroc Telecom | 1,201,070 | 19,267,705 | ||||||
Societe d’Exploitation des Ports | 152,456 | 2,778,288 | ||||||
Taqa Morocco | 13,880 | 1,498,920 | ||||||
TOTAL Maroc SA | 9,344 | 1,939,435 | ||||||
|
| |||||||
54,842,166 | ||||||||
NETHERLANDS — 0.05% | ||||||||
Digi Communications NVa,c | 44,737 | 409,905 | ||||||
|
| |||||||
409,905 |
Security | Shares | Value | ||||||
NIGERIA — 6.51% | ||||||||
Access Bank PLC | 109,435,970 | $ | 3,951,855 | |||||
Afriland Properties PLCa | 8,020 | 44 | ||||||
Dangote Cement PLC | 8,255,351 | 6,074,562 | ||||||
FBN Holdings PLC | 122,063,552 | 3,916,206 | ||||||
Guaranty Trust Bank PLC | 100,503,657 | 13,679,664 | ||||||
Lafarge Africa PLC | 16,044,068 | 2,313,020 | ||||||
Nestle Nigeria PLC | 1,316,453 | 5,273,126 | ||||||
United Bank for Africa PLC | 132,809,976 | 4,685,241 | ||||||
Zenith Bank PLC | 111,407,495 | 9,871,942 | ||||||
|
| |||||||
49,765,660 | ||||||||
OMAN — 3.25% | ||||||||
Bank Muscat SAOG | 8,125,256 | 8,736,154 | ||||||
Bank Nizwa SAOGa | 5,787,960 | 1,322,790 | ||||||
Bank Sohar SAOG | 7,762,740 | 3,124,853 | ||||||
HSBC Bank Oman SAOG | 3,086,322 | 897,723 | ||||||
Oman Telecommunications Co. SAOG | 2,297,369 | 6,503,395 | ||||||
Ooredoo QSC | 2,063,933 | 2,894,491 | ||||||
Phoenix Power Co. SAOC | 3,713,576 | 1,340,572 | ||||||
|
| |||||||
24,819,978 | ||||||||
ROMANIA — 5.17% | ||||||||
Banca Transilvania SA | 20,733,041 | 13,297,717 | ||||||
BRD-Groupe Societe Generale SA | 1,482,753 | 5,434,315 | ||||||
OMV Petrom SA | 75,335,558 | 6,113,779 | ||||||
Societatea Energetica Electrica SA | 1,121,894 | 3,377,518 | ||||||
Societatea Nationala de Gaze Naturale ROMGAZ SA | 788,519 | 7,534,476 | ||||||
Transgaz SA Medias | 34,872 | 3,724,646 | ||||||
|
| |||||||
39,482,451 | ||||||||
SLOVENIA — 0.62% | ||||||||
Petrol DD Ljubljana | 4,679 | 1,940,293 | ||||||
Zavarovalnica Triglav DD | 71,005 | 2,762,581 | ||||||
|
| |||||||
4,702,874 | ||||||||
SRI LANKA — 0.93% | ||||||||
John Keells Holdings PLC | 6,854,335 | 7,082,002 | ||||||
|
| |||||||
7,082,002 | ||||||||
VIETNAM — 15.75% | ||||||||
Bank for Foreign Trade of Vietnam JSC | 1,879,795 | 6,096,097 |
SCHEDULESOF INVESTMENTS | 9 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2018
Security | Principal or Shares | Value | ||||||
FLC Faros Construction JSCa | 788,410 | $ | 4,753,256 | |||||
Hoa Phat Group JSCa | 4,036,672 | 11,707,182 | ||||||
Hoa Sen Group | 1,111,170 | 1,186,511 | ||||||
Hoang Huy Investment Financial Services JSC | 1,197,010 | 1,046,733 | ||||||
Kinh Bac City Development Share Holding Corp.a | 1,391,150 | 791,642 | ||||||
Masan Group Corp. | 3,446,410 | 13,508,800 | ||||||
No Va Land Investment Group Corp.a | 1,240,900 | 4,678,526 | ||||||
PetroVietnam Fertilizer & Chemicals JSC | 1,044,040 | 1,078,127 | ||||||
PetroVietnam Technical Services Corp. | 1,409,300 | 1,535,819 | ||||||
Saigon Beer Alcohol Beverage Corp. | 213,190 | 2,203,379 | ||||||
Saigon Securities Inc. | 2,201,700 | 3,570,011 | ||||||
Saigon Thuong Tin Commercial JSBa | 3,659,929 | 2,589,307 | ||||||
Thanh Thanh Cong Tay Ninh JSCa | 1,812,460 | 1,425,629 | ||||||
Vietnam Dairy Products JSC | 4,847,710 | 41,752,039 | ||||||
Vincom Retail JSCa | 460,000 | 1,119,831 | ||||||
Vingroup JSCa | 5,099,530 | 21,265,782 | ||||||
|
| |||||||
120,308,671 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $582,634,949) | 750,203,344 | |||||||
CONVERTIBLE BONDS — 0.04% |
| |||||||
OMAN — 0.04% |
| |||||||
Bank Muscat SAOG | ||||||||
0.35%, 03/19/18 | OMR | 1,026,177 | 293,155 | |||||
|
| |||||||
293,155 | ||||||||
|
| |||||||
TOTAL CONVERTIBLE BONDS |
| |||||||
(Cost: $255,878) | 293,155 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.61% |
| |||||||
MONEY MARKET FUNDS — 0.61% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 4,656,544 | $ | 4,657,009 | |||||
|
| |||||||
4,657,009 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $4,656,788) |
| 4,657,009 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $587,547,615) | 755,153,508 | |||||||
Other Assets, Less Liabilities — 1.14% |
| 8,713,678 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 763,867,186 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
Currency abbreviations:
OMR — Omani Rial
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI FRONTIER 100 ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 4,575,839 | 80,705 | b | — | 4,656,544 | $ | 4,657,009 | $ | 10,026 | c | $ | (358 | ) | $ | (442 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 3,859,935 | — | (3,859,935 | )b | — | — | 38,953 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 4,657,009 | $ | 48,979 | $ | (358 | ) | $ | (442 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 750,203,300 | $ | 44 | $ | — | $ | 750,203,344 | ||||||||
Convertible bonds | — | 293,155 | — | 293,155 | ||||||||||||
Money market funds | 4,657,009 | — | — | 4,657,009 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 754,860,309 | $ | 293,199 | $ | — | $ | 755,153,508 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited)
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.48% |
| |||||||
AUSTRALIA — 2.53% |
| |||||||
AGL Energy Ltd. | 11,956 | $ | 203,662 | |||||
Amcor Ltd./Australia | 19,276 | 208,789 | ||||||
AMP Ltd. | 41,480 | 170,990 | ||||||
APA Group | 19,168 | 119,493 | ||||||
APA Group Newa | 1,238 | 7,718 | ||||||
ASX Ltd. | 3,663 | 166,668 | ||||||
Aurizon Holdings Ltd. | 32,513 | 115,784 | ||||||
Australia & New Zealand Banking Group Ltd. | 36,173 | 818,856 | ||||||
Bendigo & Adelaide Bank Ltd. | 10,187 | 90,019 | ||||||
BHP Billiton Ltd. | 42,578 | 1,011,957 | ||||||
BlueScope Steel Ltd. | 5,690 | 72,406 | ||||||
Brambles Ltd. | 22,753 | 170,211 | ||||||
Cochlear Ltd. | 1,647 | 236,022 | ||||||
Commonwealth Bank of Australia | 21,550 | 1,282,805 | ||||||
Computershare Ltd. | 8,723 | 121,266 | ||||||
Crown Resorts Ltd. | 7,015 | 73,797 | ||||||
CSL Ltd. | 6,588 | 837,666 | ||||||
Dexus | 19,655 | 142,440 | ||||||
Fortescue Metals Group Ltd. | 22,692 | 89,121 | ||||||
Goodman Group | 32,696 | 209,177 | ||||||
GPT Group (The) | 40,504 | 150,239 | ||||||
Incitec Pivot Ltd. | 37,271 | 110,365 | ||||||
Insurance Australia Group Ltd. | 36,539 | 233,479 | ||||||
James Hardie Industries PLC | 9,036 | 160,894 | ||||||
LendLease Group | 12,871 | 179,031 | ||||||
Macquarie Group Ltd. | 4,341 | 350,619 | ||||||
Medibank Pvt Ltd. | 45,630 | 112,716 | ||||||
Mirvac Group | 91,805 | 151,663 | ||||||
National Australia Bank Ltd. | 33,367 | 784,717 | ||||||
Newcrest Mining Ltd. | 12,688 | 210,101 | ||||||
Oil Search Ltd. | 21,494 | 126,457 | ||||||
Orica Ltd. | 7,015 | 101,949 | ||||||
Origin Energy Ltd.a | 32,635 | 230,149 | ||||||
QBE Insurance Group Ltd. | 19,459 | 154,515 | ||||||
Ramsay Health Care Ltd. | 2,501 | 124,535 | ||||||
Rio Tinto Ltd. | 5,673 | 358,783 | ||||||
Santos Ltd.a | 26,243 | 103,067 | ||||||
Scentre Group | 73,404 | 219,648 | ||||||
Sonic Healthcare Ltd. | 8,296 | 158,384 | ||||||
South32 Ltd. | 82,598 | 213,690 | ||||||
Stockland | 45,695 | 143,856 |
Security | Shares | Value | ||||||
Suncorp Group Ltd. | 16,426 | $ | 173,568 | |||||
Sydney Airport | 17,814 | 91,480 | ||||||
Tabcorp Holdings Ltd. | 24,107 | 86,788 | ||||||
Telstra Corp. Ltd. | 52,544 | 137,166 | ||||||
Transurban Group | 31,772 | 286,702 | ||||||
Vicinity Centres | 60,756 | 117,413 | ||||||
Wesfarmers Ltd. | 14,152 | 455,785 | ||||||
Westfield Corp. | 27,694 | 189,046 | ||||||
Westpac Banking Corp. | 42,155 | 1,010,773 | ||||||
Woodside Petroleum Ltd. | 10,921 | 248,327 | ||||||
Woolworths Group Ltd. | 16,897 | 363,541 | ||||||
|
| |||||||
13,688,293 | ||||||||
AUSTRIA — 0.12% | ||||||||
ANDRITZ AG | 1,769 | 102,916 | ||||||
Erste Group Bank AG | 5,002 | 255,680 | ||||||
OMV AG | 3,721 | 213,755 | ||||||
Raiffeisen Bank International AGa | 1,624 | 63,363 | ||||||
|
| |||||||
635,714 | ||||||||
BELGIUM — 0.46% | ||||||||
Ageas | 3,782 | 199,039 | ||||||
Anheuser-Busch InBev SA/NV | 9,638 | 1,028,327 | ||||||
Colruyt SA | 1,952 | 105,539 | ||||||
Groupe Bruxelles Lambert SA | 1,037 | 118,940 | ||||||
KBC Group NV | 3,675 | 346,475 | ||||||
Proximus SADP | 3,111 | 100,132 | ||||||
Solvay SA | 1,044 | 144,012 | ||||||
UCB SA | 2,135 | 177,277 | ||||||
Umicore SA | 4,514 | 256,116 | ||||||
|
| |||||||
2,475,857 | ||||||||
CANADA — 3.27% |
| |||||||
Agnico Eagle Mines Ltd. | 4,087 | 155,940 | ||||||
Alimentation Couche-Tard Inc. Class B | 5,856 | 285,133 | ||||||
ARC Resources Ltd. | 6,161 | 59,526 | ||||||
Bank of Montreal | 8,296 | 630,868 | ||||||
Bank of Nova Scotia (The) | 15,311 | 949,955 | ||||||
Barrick Gold Corp. | 14,367 | 165,719 | ||||||
BCE Inc. | 854 | 37,323 | ||||||
BlackBerry Ltd.a | 9,089 | 110,443 | ||||||
Bombardier Inc. Class Ba | 23,163 | 73,393 | ||||||
Brookfield Asset Management Inc. Class A | 11,468 | 445,259 | ||||||
Cameco Corp. | 7,991 | 70,596 |
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Canadian Imperial Bank of Commerce | 4,880 | $ | 446,354 | |||||
Canadian National Railway Co. | 10,614 | 822,381 | ||||||
Canadian Natural Resources Ltd. | 14,640 | 454,162 | ||||||
Canadian Pacific Railway Ltd.b | 2,074 | 371,470 | ||||||
Canadian Tire Corp. Ltd. Class A | 1,342 | 182,644 | ||||||
Canadian Utilities Ltd. Class A | 2,928 | 77,442 | ||||||
Cenovus Energy Inc. | 15,189 | 110,715 | ||||||
CGI Group Inc. Class Aa | 3,660 | 214,227 | ||||||
CI Financial Corp. | 4,514 | 100,542 | ||||||
Constellation Software Inc./Canada | 366 | 237,247 | ||||||
Crescent Point Energy Corp. | 7,808 | 56,244 | ||||||
Enbridge Inc. | 21,518 | 685,332 | ||||||
Encana Corp. | 14,457 | 151,864 | ||||||
Fairfax Financial Holdings Ltd. | 366 | 179,140 | ||||||
Finning International Inc. | 4,331 | 115,529 | ||||||
First Quantum Minerals Ltd.b | 9,428 | 153,853 | ||||||
Fortis Inc./Canada | 5,795 | 189,631 | ||||||
Franco-Nevada Corp. | 2,806 | 196,914 | ||||||
George Weston Ltd. | 1,525 | 124,859 | ||||||
Gildan Activewear Inc. | 3,721 | 108,086 | ||||||
Goldcorp Inc. | 12,017 | 150,617 | ||||||
Great-West Lifeco Inc. | 3,660 | 96,716 | ||||||
Husky Energy Inc.a | 6,060 | 80,116 | ||||||
IGM Financial Inc. | 1,769 | 54,105 | ||||||
Imperial Oil Ltd. | 4,636 | 125,728 | ||||||
Intact Financial Corp. | 1,952 | 151,197 | ||||||
Inter Pipeline Ltd. | 6,726 | 117,109 | ||||||
Loblaw Companies Ltd. | 3,416 | 175,739 | ||||||
Magna International Inc. | 5,307 | 292,406 | ||||||
Manulife Financial Corp. | 25,620 | 488,267 | ||||||
Metro Inc. | 5,490 | 173,438 | ||||||
National Bank of Canada | 5,124 | 248,972 | ||||||
Nutrien Ltd.a | 8,872 | 436,555 | ||||||
Onex Corp. | 2,257 | 165,856 | ||||||
Open Text Corp. | 4,514 | 158,704 | ||||||
Pembina Pipeline Corp. | 7,442 | 239,635 | ||||||
Power Corp. of Canada | 5,002 | 118,711 | ||||||
Power Financial Corp. | 3,538 | 92,498 | ||||||
PrairieSky Royalty Ltd. | 4,941 | 109,783 | ||||||
Restaurant Brands International Inc. | 3,599 | 211,247 | ||||||
RioCan REIT | 4,880 | 89,461 | ||||||
Rogers Communications Inc. Class B | 5,612 | 253,237 | ||||||
Royal Bank of Canada | 18,422 | 1,453,373 |
Security | Shares | Value | ||||||
Saputo Inc. | 5,124 | $ | 163,995 | |||||
Shaw Communications Inc. Class B | 6,289 | 121,917 | ||||||
Shopify Inc. Class Aa | 962 | 133,262 | ||||||
SNC-Lavalin Group Inc. | 2,867 | 124,561 | ||||||
Sun Life Financial Inc. | 7,625 | 314,557 | ||||||
Suncor Energy Inc. | 22,031 | 726,257 | ||||||
Teck Resources Ltd. Class B | 8,662 | 248,094 | ||||||
TELUS Corp. | 2,411 | 87,156 | ||||||
Thomson Reuters Corp. | 4,026 | 158,859 | ||||||
Toronto-Dominion Bank (The) | 23,241 | 1,342,205 | ||||||
Tourmaline Oil Corp.a | 3,599 | 52,439 | ||||||
TransCanada Corp. | 11,712 | 507,290 | ||||||
Valeant Pharmaceuticals International Inc.a | 5,063 | 83,017 | ||||||
Vermilion Energy Inc. | 2,684 | 88,541 | ||||||
Wheaton Precious Metals Corp. | 7,137 | 136,407 | ||||||
|
| |||||||
17,734,818 | ||||||||
DENMARK — 0.70% | ||||||||
AP Moller – Maersk A/S Class A | 122 | 191,649 | ||||||
Carlsberg A/S Class B | 1,870 | 229,799 | ||||||
Coloplast A/S Class B | 2,318 | 196,533 | ||||||
Danske Bank A/S | 9,924 | 400,224 | ||||||
DSV A/S | 4,584 | 360,725 | ||||||
Genmab A/Sa | 943 | 192,622 | ||||||
Novo Nordisk A/S Class B | 25,254 | 1,309,694 | ||||||
Novozymes A/S Class B | 4,209 | 217,179 | ||||||
Pandora A/S | 1,775 | 186,083 | ||||||
Vestas Wind Systems A/S | 3,310 | 240,518 | ||||||
William Demant Holding A/Sa,b | 7,442 | 267,214 | ||||||
|
| |||||||
3,792,240 | ||||||||
FINLAND — 0.39% | ||||||||
Elisa OYJ | 3,294 | 142,020 | ||||||
Fortum OYJ | 3,843 | 84,603 | ||||||
Kone OYJ Class B | 4,880 | 253,491 | ||||||
Metso OYJ | 3,320 | 106,778 | ||||||
Neste OYJ | 1,320 | 96,983 | ||||||
Nokia OYJ | 78,590 | 460,379 | ||||||
Sampo OYJ Class A | 5,124 | 291,476 | ||||||
Stora Enso OYJ Class R | 9,882 | 175,666 | ||||||
UPM-Kymmene OYJ | 8,113 | 279,337 | ||||||
Wartsila OYJ Abp | 3,172 | 224,154 | ||||||
|
| |||||||
2,114,887 | ||||||||
FRANCE — 3.86% |
| |||||||
Accor SA | 3,172 | 183,765 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Air Liquide SA | 5,525 | $ | 695,083 | |||||
Airbus SE | 7,930 | 951,128 | ||||||
Alstom SA | 3,782 | 159,831 | ||||||
Atos SE | 2,013 | 266,384 | ||||||
AXA SA | 24,278 | 765,732 | ||||||
BNP Paribas SA | 14,580 | 1,162,442 | ||||||
Bollore SA | 28,975 | 164,187 | ||||||
Bouygues SA | 3,050 | 154,972 | ||||||
Bureau Veritas SA | 5,003 | 131,252 | ||||||
Capgemini SE | 2,318 | 291,055 | ||||||
Carrefour SA | 7,686 | 177,642 | ||||||
Casino Guichard Perrachon SA | 976 | 53,115 | ||||||
Cie. de Saint-Gobain | 6,344 | 361,688 | ||||||
Cie. Generale des Etablissements Michelin SCA Class B | 2,623 | 405,331 | ||||||
Credit Agricole SA | 15,128 | 260,803 | ||||||
Danone SA | 7,686 | 616,356 | ||||||
Dassault Systemes SE | 2,318 | 300,385 | ||||||
Edenred | 4,209 | 148,512 | ||||||
Electricite de France SA | 4,132 | 53,949 | ||||||
Engie SA | 22,265 | 349,627 | ||||||
Essilor International Cie. Generale d’Optique SA | 2,867 | 377,123 | ||||||
Eutelsat Communications SA | 3,965 | 92,850 | ||||||
Getlink SE Registered | 11,529 | 148,558 | ||||||
Hermes International | 497 | 267,986 | ||||||
Iliad SA | 610 | 143,515 | ||||||
Ingenico Group SA | 854 | 74,494 | ||||||
Ipsen SA | 475 | 70,013 | ||||||
Kering SA | 1,220 | 577,334 | ||||||
Klepierre SA | 4,172 | 172,649 | ||||||
L’Oreal SA | 3,172 | 684,959 | ||||||
Lagardere SCA | 2,745 | 81,020 | ||||||
Legrand SA | 4,209 | 331,317 | ||||||
LVMH Moet Hennessy Louis Vuitton SE | 3,721 | 1,118,696 | ||||||
Orange SA | 25,498 | 433,515 | ||||||
Pernod Ricard SA | 3,050 | 502,191 | ||||||
Peugeot SA | 7,259 | 164,807 | ||||||
Publicis Groupe SA | 2,806 | 212,322 | ||||||
Renault SA | 2,637 | 287,787 | ||||||
Safran SA | 4,392 | 486,924 | ||||||
Sanofi | 15,433 | 1,224,051 | ||||||
Schneider Electric SE | 7,278 | 635,388 | ||||||
SCOR SE | 2,684 | 114,541 |
Security | Shares | Value | ||||||
SES SA | 5,734 | $ | 91,824 | |||||
Societe BIC SA | 610 | 64,094 | ||||||
Societe Generale SA | 10,370 | 595,963 | ||||||
Sodexo SA | 1,525 | 188,043 | ||||||
STMicroelectronics NV | 11,157 | 256,096 | ||||||
Suez | 6,710 | 92,682 | ||||||
Thales SA | 1,952 | 217,935 | ||||||
TOTAL SA | 29,280 | 1,677,363 | ||||||
Ubisoft Entertainment SAa | 1,077 | 89,322 | ||||||
Unibail-Rodamco SE | 1,299 | 303,795 | ||||||
Valeo SA | 3,843 | 250,573 | ||||||
Veolia Environnement SA | 6,893 | 167,889 | ||||||
Vinci SA | 6,527 | 647,361 | ||||||
Vivendi SA | 14,884 | 385,757 | ||||||
|
| |||||||
20,883,976 | ||||||||
GERMANY — 3.33% | ||||||||
1&1 Drillisch AG | 893 | 69,106 | ||||||
adidas AG | 2,562 | 570,578 | ||||||
Allianz SE Registered | 5,795 | 1,357,173 | ||||||
BASF SE | 11,956 | 1,260,043 | ||||||
Bayer AG Registered | 11,041 | 1,295,849 | ||||||
Bayerische Motoren Werke AG | 4,026 | 426,313 | ||||||
Beiersdorf AG | 2,650 | 291,274 | ||||||
Brenntag AG | 3,294 | 206,822 | ||||||
Commerzbank AGa | 19,094 | 296,643 | ||||||
Continental AG | 1,482 | 407,958 | ||||||
Covestro AGc | 1,948 | 221,765 | ||||||
Daimler AG Registered | 10,937 | 940,022 | ||||||
Deutsche Bank AG Registered | 29,367 | 472,791 | ||||||
Deutsche Boerse AG | 2,909 | 388,325 | ||||||
Deutsche Lufthansa AG Registered | 4,379 | 147,514 | ||||||
Deutsche Post AG Registered | 13,969 | 641,284 | ||||||
Deutsche Telekom AG Registered | 41,420 | 669,868 | ||||||
E.ON SE | 32,419 | 330,553 | ||||||
Fresenius Medical Care AG & Co. KGaA | 3,355 | 356,407 | ||||||
Fresenius SE & Co. KGaA | 5,734 | 469,262 | ||||||
GEA Group AG | 3,172 | 150,687 | ||||||
Hannover Rueck SE | 1,220 | 166,504 | ||||||
HeidelbergCement AG | 2,440 | 246,230 | ||||||
Henkel AG & Co. KGaA | 1,769 | 213,275 | ||||||
Infineon Technologies AG | 18,666 | 509,958 | ||||||
Lanxess AG | 2,257 | 188,839 | ||||||
Linde AGa | 2,684 | 603,477 |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
MAN SE | 1,403 | $ | 160,165 | |||||
Merck KGaA | 2,257 | 226,331 | ||||||
MTU Aero Engines AG | 148 | 24,838 | ||||||
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen Registered | 2,013 | 451,994 | ||||||
Osram Licht AG | 2,136 | 170,066 | ||||||
ProSiebenSat.1 Media SE Registered | 3,610 | 143,272 | ||||||
QIAGEN NVa | 5,170 | 174,665 | ||||||
RWE AGa | 9,211 | 184,353 | ||||||
SAP SE | 13,115 | �� | 1,378,831 | |||||
Siemens AG Registered | 10,126 | 1,339,254 | ||||||
thyssenkrupp AG | 6,771 | 184,324 | ||||||
United Internet AG Registeredd | 394 | 26,891 | ||||||
Vonovia SE | 7,991 | 365,971 | ||||||
Wirecard AG | 1,451 | 174,706 | ||||||
Zalando SEa,b,c | 2,379 | 136,083 | ||||||
|
| |||||||
18,040,264 | ||||||||
HONG KONG — 1.35% |
| |||||||
AIA Group Ltd. | 170,800 | 1,430,736 | ||||||
Bank of East Asia Ltd. (The)b | 48,800 | 214,836 | ||||||
BOC Hong Kong Holdings Ltd. | 91,500 | 463,037 | ||||||
CK Asset Holdings Ltd. | 57,500 | 497,457 | ||||||
CK Hutchison Holdings Ltd. | 30,500 | 381,966 | ||||||
CLP Holdings Ltd. | 30,500 | 308,301 | ||||||
Galaxy Entertainment Group Ltd. | 47,000 | 411,422 | ||||||
Hang Seng Bank Ltd. | 18,300 | 454,852 | ||||||
Hong Kong & China Gas Co. Ltd. | 219,497 | 434,209 | ||||||
Hong Kong Exchanges & Clearing Ltd. | 16,000 | 580,681 | ||||||
Jardine Matheson Holdings Ltd. | 6,100 | 397,415 | ||||||
Kingston Financial Group Ltd.b | 50,000 | 30,222 | ||||||
Li & Fung Ltd.b | 130,000 | 65,620 | ||||||
Link REIT | 61,000 | 521,501 | ||||||
Melco Resorts & Entertainment Ltd. ADR | 2,330 | 63,959 | ||||||
Minth Group Ltd.b | 8,000 | 47,334 | ||||||
MTR Corp. Ltd. | 61,000 | 323,502 | ||||||
New World Development Co. Ltd. | 183,333 | 279,265 | ||||||
Sands China Ltd. | 48,800 | 275,327 | ||||||
WH Group Ltd.c | 92,500 | 114,660 | ||||||
Wynn Macau Ltd. | 9,200 | 32,331 | ||||||
|
| |||||||
7,328,633 |
Security | Shares | Value | ||||||
IRELAND — 0.18% | ||||||||
AIB Group PLC | 8,887 | $ | 58,531 | |||||
Bank of Ireland Group PLCa | 15,570 | 146,223 | ||||||
CRH PLC | 10,370 | 344,905 | ||||||
Kerry Group PLC Class A | 2,684 | 268,267 | ||||||
Paddy Power Betfair PLC | 1,232 | 143,649 | ||||||
|
| |||||||
961,575 | ||||||||
ISRAEL — 0.16% | ||||||||
Bank Hapoalim BM | 32,635 | 233,875 | ||||||
Check Point Software Technologies Ltd.a,b | 2,013 | 209,130 | ||||||
Nice Ltd. | 1,708 | 166,644 | ||||||
Teva Pharmaceutical Industries Ltd. ADRb | 12,505 | 234,094 | ||||||
|
| |||||||
843,743 | ||||||||
ITALY — 0.91% | ||||||||
Assicurazioni Generali SpA | 15,982 | 300,963 | ||||||
Atlantia SpA | 7,564 | 234,142 | ||||||
CNH Industrial NV | 18,020 | 244,946 | ||||||
Enel SpA | 107,319 | 625,531 | ||||||
Eni SpA | 33,367 | 558,106 | ||||||
Ferrari NV | 2,372 | 296,534 | ||||||
Fiat Chrysler Automobiles NVa | 15,128 | 324,219 | ||||||
Intesa Sanpaolo SpA | 201,361 | 760,347 | ||||||
Leonardo SpA | 3,996 | 43,132 | ||||||
Luxottica Group SpA | 2,440 | 146,893 | ||||||
Mediobanca Banca di Credito Finanziario SpA | 6,396 | 76,870 | ||||||
Snam SpA | 49,084 | 220,364 | ||||||
Telecom Italia SpA/Milanoa | 234,915 | 212,021 | ||||||
Tenaris SA | 7,991 | 138,396 | ||||||
Terna Rete Elettrica Nazionale SpA | 30,073 | 167,254 | ||||||
UniCredit SpAa | 27,354 | 582,039 | ||||||
|
| |||||||
4,931,757 | ||||||||
JAPAN — 9.29% | ||||||||
Aeon Co. Ltd. | 12,200 | 206,544 | ||||||
Aisin Seiki Co. Ltd. | 6,100 | 358,437 | ||||||
Ajinomoto Co. Inc. | 12,200 | 223,751 | ||||||
Alps Electric Co. Ltd. | 800 | 22,154 | ||||||
ANA Holdings Inc. | 6,100 | 245,989 | ||||||
Asahi Group Holdings Ltd. | 10,000 | 514,596 | ||||||
Asahi Kasei Corp. | 34,300 | 444,722 | ||||||
Astellas Pharma Inc. | 36,600 | 542,114 | ||||||
Bridgestone Corp. | 12,200 | 546,745 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Canon Inc. | 18,300 | $ | 702,467 | |||||
Casio Computer Co. Ltd. | 6,400 | 95,186 | ||||||
Chubu Electric Power Co. Inc. | 18,300 | 250,477 | ||||||
Chugai Pharmaceutical Co. Ltd. | 6,100 | 317,277 | ||||||
Chugoku Electric Power Co. Inc. (The) | 18,300 | 214,548 | ||||||
Concordia Financial Group Ltd. | 24,400 | 143,146 | ||||||
Dai-ichi Life Holdings Inc. | 15,000 | 299,705 | ||||||
Daifuku Co. Ltd. | 1,000 | 66,164 | ||||||
Daiichi Sankyo Co. Ltd. | 13,100 | 467,502 | ||||||
Daikin Industries Ltd. | 6,100 | 723,162 | ||||||
Daiwa House Industry Co. Ltd. | 12,200 | 454,706 | ||||||
Denso Corp. | 6,100 | 359,294 | ||||||
Dentsu Inc. | 5,000 | 231,714 | ||||||
East Japan Railway Co. | 6,100 | 575,100 | ||||||
Eisai Co. Ltd. | 6,100 | 325,623 | ||||||
FANUC Corp. | 2,700 | 691,036 | ||||||
Fast Retailing Co. Ltd. | 700 | 279,265 | ||||||
FUJIFILM Holdings Corp. | 6,100 | 255,936 | ||||||
Fujitsu Ltd. | 40,000 | 241,376 | ||||||
Hakuhodo DY Holdings Inc. | 12,200 | 177,446 | ||||||
Hitachi Ltd. | 61,000 | 467,626 | ||||||
Honda Motor Co. Ltd. | 24,400 | 888,374 | ||||||
Hoya Corp. | 6,100 | 324,194 | ||||||
Hulic Co. Ltd. | 12,200 | 136,515 | ||||||
Idemitsu Kosan Co. Ltd. | 900 | 34,792 | ||||||
Iida Group Holdings Co. Ltd. | 6,100 | 115,649 | ||||||
Inpex Corp. | 24,400 | 299,898 | ||||||
ITOCHU Corp. | 24,400 | 472,428 | ||||||
Japan Airlines Co. Ltd. | 6,100 | 233,756 | ||||||
Japan Exchange Group Inc. | 12,200 | 212,204 | ||||||
Japan Post Holdings Co. Ltd. | 18,300 | 221,408 | ||||||
Japan Retail Fund Investment Corp. | 122 | 234,727 | ||||||
Japan Tobacco Inc. | 18,300 | 522,735 | ||||||
JFE Holdings Inc. | 12,200 | 284,406 | ||||||
JTEKT Corp. | 6,100 | 95,126 | ||||||
JXTG Holdings Inc. | 54,900 | 337,514 | ||||||
Kansai Electric Power Co. Inc. (The) | 16,100 | 196,903 | ||||||
Kao Corp. | 6,100 | 448,875 | ||||||
KDDI Corp. | 24,400 | 602,654 | ||||||
Keyence Corp. | 1,000 | 611,686 | ||||||
Kirin Holdings Co. Ltd. | 18,300 | 476,515 | ||||||
Kobe Steel Ltd.a | 6,100 | 68,029 | ||||||
Komatsu Ltd. | 16,900 | 620,218 |
Security | Shares | Value | ||||||
Konami Holdings Corp. | 2,900 | $ | 153,554 | |||||
Konica Minolta Inc. | 14,500 | 134,666 | ||||||
Kose Corp. | 200 | 37,749 | ||||||
Kubota Corp. | 18,300 | 333,912 | ||||||
Kuraray Co. Ltd. | 18,300 | 321,393 | ||||||
Kyocera Corp. | 6,100 | 363,182 | ||||||
Kyushu Electric Power Co. Inc. | 12,200 | 137,315 | ||||||
Kyushu Financial Group Inc. | 18,300 | 102,900 | ||||||
M3 Inc. | 6,100 | 238,958 | ||||||
Marubeni Corp. | 42,700 | 328,018 | ||||||
Marui Group Co. Ltd. | 6,100 | 117,821 | ||||||
Mazda Motor Corp. | 12,200 | 171,101 | ||||||
MINEBEA MITSUMI Inc. | 6,100 | 140,631 | ||||||
Mitsubishi Chemical Holdings Corp. | 42,700 | 437,785 | ||||||
Mitsubishi Corp. | 24,400 | 689,662 | ||||||
Mitsubishi Electric Corp. | 28,200 | 480,197 | ||||||
Mitsubishi Estate Co. Ltd. | 13,400 | 235,525 | ||||||
Mitsubishi Heavy Industries Ltd. | 6,100 | 250,506 | ||||||
Mitsubishi Motors Corp. | 12,200 | 97,069 | ||||||
Mitsubishi UFJ Financial Group Inc. | 171,400 | 1,224,481 | ||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. | 30,500 | 195,225 | ||||||
Mitsui & Co. Ltd. | 30,600 | 559,635 | ||||||
Mitsui Fudosan Co. Ltd. | 12,200 | 294,753 | ||||||
Mizuho Financial Group Inc. | 372,100 | 695,344 | ||||||
MS&AD Insurance Group Holdings Inc. | 8,000 | 249,810 | ||||||
Murata Manufacturing Co. Ltd. | 2,700 | 379,172 | ||||||
Nagoya Railroad Co. Ltd. | 12,200 | 312,475 | ||||||
NEC Corp. | 3,000 | 91,655 | ||||||
Nexon Co. Ltd.a | 1,400 | 50,907 | ||||||
Nidec Corp. | 4,700 | 760,245 | ||||||
Nikon Corp. | 12,200 | 249,477 | ||||||
Nintendo Co. Ltd. | 1,600 | 735,935 | ||||||
Nippon Paint Holdings Co. Ltd. | 4,900 | 179,551 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 12,247 | 293,421 | ||||||
Nippon Telegraph & Telephone Corp. | 12,200 | 569,612 | ||||||
Nissan Motor Co. Ltd. | 42,700 | 450,190 | ||||||
Nitori Holdings Co. Ltd. | 900 | 151,947 | ||||||
Nitto Denko Corp. | 3,700 | 308,712 | ||||||
Nomura Holdings Inc. | 67,100 | 414,781 | ||||||
Nomura Real Estate Master Fund Inc. | 122 | 167,385 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
NTT DOCOMO Inc. | 24,400 | $ | 627,693 | |||||
Olympus Corp. | 6,100 | 246,104 | ||||||
Omron Corp. | 6,100 | 363,582 | ||||||
Ono Pharmaceutical Co. Ltd. | 6,100 | 178,933 | ||||||
Oriental Land Co. Ltd./Japan | 6,100 | 595,680 | ||||||
ORIX Corp. | 24,400 | 436,755 | ||||||
Otsuka Holdings Co. Ltd. | 6,100 | 307,787 | ||||||
Panasonic Corp. | 36,600 | 575,385 | ||||||
Rakuten Inc. | 18,300 | 167,608 | ||||||
Recruit Holdings Co. Ltd. | 18,300 | 444,530 | ||||||
Renesas Electronics Corp.a,b | 6,100 | 70,715 | ||||||
Resona Holdings Inc. | 42,700 | 244,903 | ||||||
Ricoh Co. Ltd. | 15,200 | 164,671 | ||||||
Ryohin Keikaku Co. Ltd. | 200 | 68,694 | ||||||
Sekisui House Ltd. | 12,200 | 214,833 | ||||||
Seven & i Holdings Co. Ltd. | 12,200 | 510,044 | ||||||
Seven Bank Ltd. | 28,800 | 99,864 | ||||||
Sharp Corp./Japana,b | 1,600 | 56,230 | ||||||
Shin-Etsu Chemical Co. Ltd. | 6,100 | 650,274 | ||||||
Shionogi & Co. Ltd. | 6,100 | 319,620 | ||||||
Shiseido Co. Ltd. | 6,100 | 369,356 | ||||||
SMC Corp./Japan | 600 | 253,203 | ||||||
SoftBank Group Corp. | 12,200 | 1,017,000 | ||||||
Sompo Holdings Inc. | 6,100 | 236,843 | ||||||
Sony Corp. | 18,300 | 933,308 | ||||||
Start Today Co. Ltd. | 2,200 | 57,399 | ||||||
Subaru Corp. | 6,100 | 216,091 | ||||||
Sumco Corp. | 2,500 | 67,546 | ||||||
Sumitomo Chemical Co. Ltd. | 5,000 | 31,348 | ||||||
Sumitomo Corp. | 30,500 | 539,942 | ||||||
Sumitomo Electric Industries Ltd. | 18,300 | 291,208 | ||||||
Sumitomo Metal Mining Co. Ltd. | 900 | 42,442 | ||||||
Sumitomo Mitsui Financial Group Inc. | 18,300 | 803,653 | ||||||
Sumitomo Mitsui Trust Holdings Inc. | 6,100 | 247,590 | ||||||
Sumitomo Realty & Development Co. Ltd. | 5,000 | 182,794 | ||||||
Suzuki Motor Corp. | 6,100 | 351,348 | ||||||
Sysmex Corp. | 4,000 | 334,005 | ||||||
T&D Holdings Inc. | 12,200 | 203,457 | ||||||
Takeda Pharmaceutical Co. Ltd. | 12,200 | 698,809 | ||||||
Terumo Corp. | 6,100 | 329,853 | ||||||
Tohoku Electric Power Co. Inc. | 12,200 | 160,525 | ||||||
Tokio Marine Holdings Inc. | 12,200 | 567,782 |
Security | Shares | Value | ||||||
Tokyo Electric Power Co. Holdings Inc.a | 30,500 | $ | 117,764 | |||||
Tokyo Electron Ltd. | 1,700 | 335,523 | ||||||
Tokyo Gas Co. Ltd. | 12,200 | 306,987 | ||||||
Tokyu Fudosan Holdings Corp. | 24,400 | 181,105 | ||||||
Toshiba Corp.a | 61,000 | 181,219 | ||||||
Tosoh Corp. | 6,100 | 128,626 | ||||||
Toyota Motor Corp. | 36,600 | 2,481,617 | ||||||
Unicharm Corp. | 6,100 | 171,672 | ||||||
USS Co. Ltd. | 6,100 | 126,453 | ||||||
Yahoo Japan Corp. | 42,800 | 198,948 | ||||||
Yakult Honsha Co. Ltd. | 500 | 35,940 | ||||||
Yamada Denki Co. Ltd.b | 24,400 | 154,808 | ||||||
Yamaha Corp. | 4,800 | 212,773 | ||||||
Yamaha Motor Co. Ltd. | 900 | 28,719 | ||||||
Yamato Holdings Co. Ltd. | 6,100 | 153,093 | ||||||
Yaskawa Electric Corp. | 2,700 | 126,770 | ||||||
Yokogawa Electric Corp. | 6,100 | 124,510 | ||||||
|
| |||||||
50,335,005 | ||||||||
NETHERLANDS — 1.39% |
| |||||||
Aegon NV | 25,376 | 177,405 | ||||||
AerCap Holdings NVa,b | 2,623 | 130,127 | ||||||
Akzo Nobel NV | 3,661 | 356,140 | ||||||
Altice NV Class Aa,b | 6,555 | 63,047 | ||||||
ArcelorMittala | 8,926 | 307,547 | ||||||
ASML Holding NV | 5,124 | 1,008,043 | ||||||
Heineken Holding NV | 2,074 | 206,791 | ||||||
Heineken NV | 3,233 | 337,295 | ||||||
ING Groep NV | 50,508 | 891,875 | ||||||
Koninklijke Ahold Delhaize NV | 18,504 | 417,561 | ||||||
Koninklijke DSM NV | 2,990 | 310,485 | ||||||
Koninklijke KPN NV | 56,120 | 175,908 | ||||||
Koninklijke Philips NV | 13,557 | 521,342 | ||||||
NN Group NV | 3,965 | 177,768 | ||||||
NXP Semiconductors NVa | 4,758 | 593,132 | ||||||
Randstad Holding NV | 2,089 | 149,966 | ||||||
RELX NV | 13,974 | 287,181 | ||||||
Unilever NV CVA | 21,228 | 1,112,655 | ||||||
Wolters Kluwer NV | 5,673 | 288,387 | ||||||
|
| |||||||
7,512,655 | ||||||||
NEW ZEALAND — 0.03% | ||||||||
Fletcher Building Ltd. | 19,398 | 91,206 | ||||||
Spark New Zealand Ltd. | 39,345 | 95,339 | ||||||
|
| |||||||
186,545 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
NORWAY — 0.25% | ||||||||
DNB ASA | 15,128 | $ | 300,561 | |||||
Norsk Hydro ASA | 23,546 | 160,136 | ||||||
Orkla ASA | 14,918 | 163,837 | ||||||
Statoil ASA | 16,043 | 370,711 | ||||||
Telenor ASA | 9,699 | 219,322 | ||||||
Yara International ASA | 3,660 | 163,206 | ||||||
|
| |||||||
1,377,773 | ||||||||
PORTUGAL — 0.04% | ||||||||
EDP – Energias de Portugal SA | 29,795 | 100,043 | ||||||
Galp Energia SGPS SA | 5,507 | 99,876 | ||||||
|
| |||||||
199,919 | ||||||||
SINGAPORE — 0.43% | ||||||||
Ascendas REIT | 100,165 | 200,656 | ||||||
CapitaLand Ltd. | 85,400 | 234,344 | ||||||
CapitaLand Mall Trust | 75,700 | 115,595 | ||||||
DBS Group Holdings Ltd. | 23,100 | 501,168 | ||||||
Genting Singapore PLC | 140,300 | 123,028 | ||||||
Hutchison Port Holdings Trustb | 170,800 | 62,342 | ||||||
Oversea-Chinese Banking Corp. Ltd. | 42,700 | 421,561 | ||||||
Singapore Press Holdings Ltd.b | 3,700 | 7,272 | ||||||
Singapore Telecommunications Ltd. | 122,000 | 311,721 | ||||||
United Overseas Bank Ltd. | 16,600 | 349,982 | ||||||
|
| |||||||
2,327,669 | ||||||||
SPAIN — 1.20% | ||||||||
Abertis Infraestructuras SA | 10,994 | 262,813 | ||||||
ACS Actividades de Construccion y Servicios SA | 4,188 | 144,707 | ||||||
Aena SME SAc | 1,281 | 261,932 | ||||||
Amadeus IT Group SA | 6,771 | 500,120 | ||||||
Banco Bilbao Vizcaya Argentaria SA | 86,501 | 726,902 | ||||||
Banco de Sabadell SA | 88,215 | 185,649 | ||||||
Banco Santander SA | 210,866 | 1,457,455 | ||||||
Bankia SA | 25,300 | 121,207 | ||||||
Bankinter SA | 8,982 | 99,339 | ||||||
CaixaBank SA | 51,547 | 252,232 | ||||||
Enagas SA | 2,061 | 53,843 | ||||||
Endesa SA | 3,867 | 81,594 | ||||||
Ferrovial SA | 8,290 | 179,620 | ||||||
Gas Natural SDG SA | 4,026 | 92,388 | ||||||
Grifols SA | 3,974 | 109,443 | ||||||
Iberdrola SA | 72,641 | 538,313 | ||||||
Industria de Diseno Textil SA | 13,725 | 417,823 |
Security | Shares | Value | ||||||
International Consolidated Airlines Group SA | 10,126 | $ | 85,858 | |||||
Red Electrica Corp. SA | 5,764 | 112,481 | ||||||
Repsol SA | 17,845 | 320,049 | ||||||
Telefonica SA | 52,375 | 510,586 | ||||||
|
| |||||||
6,514,354 | ||||||||
SWEDEN — 1.01% |
| |||||||
Alfa Laval AB | 5,673 | 137,144 | ||||||
Assa Abloy AB Class B | 14,762 | 331,123 | ||||||
Atlas Copco AB Class A | 7,991 | 342,478 | ||||||
Atlas Copco AB Class B | 6,832 | 260,565 | ||||||
Boliden AB | 5,494 | 195,544 | ||||||
Electrolux AB Class B | 4,148 | 136,923 | ||||||
Essity AB Class Ba | 8,540 | 235,003 | ||||||
Hennes & Mauritz AB Class B | 11,468 | 190,204 | ||||||
Hexagon AB Class B | 4,331 | 254,408 | ||||||
Investor AB Class B | 6,100 | 276,158 | ||||||
Kinnevik AB Class B | 3,904 | 143,287 | ||||||
Lundin Petroleum ABa | 4,575 | 107,866 | ||||||
Millicom International Cellular SA SDR | 1,344 | 89,946 | ||||||
Nordea Bank AB | 38,125 | 435,110 | ||||||
Sandvik AB | 18,976 | 353,846 | ||||||
Skandinaviska Enskilda Banken AB Class A | 19,276 | 227,808 | ||||||
Skanska AB Class B | 6,161 | 123,176 | ||||||
SKF AB Class B | 6,100 | 128,435 | ||||||
Svenska Handelsbanken AB Class A | 19,581 | 269,887 | ||||||
Swedbank AB Class A | 10,187 | 256,965 | ||||||
Swedish Match AB | 3,965 | 169,214 | ||||||
Telefonaktiebolaget LM Ericsson Class B | 42,395 | 285,311 | ||||||
Telia Co. AB | 25,099 | 119,141 | ||||||
Volvo AB Class B | 21,361 | 404,636 | ||||||
|
| |||||||
5,474,178 | ||||||||
SWITZERLAND — 2.91% | ||||||||
ABB Ltd. Registered | 26,291 | 641,522 | ||||||
Adecco Group AG Registered | 2,562 | 206,738 | ||||||
Baloise Holding AG Registered | 1,159 | 182,977 | ||||||
Cie. Financiere Richemont SA Class A Registered | 7,259 | 639,526 | ||||||
Credit Suisse Group AG Registered | 33,175 | 616,426 | ||||||
Geberit AG Registered | 732 | 331,668 |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Givaudan SA Registered | 122 | $ | 278,455 | |||||
Julius Baer Group Ltd. | 4,087 | 266,398 | ||||||
Kuehne + Nagel International AG Registered | 1,681 | 275,171 | ||||||
LafargeHolcim Ltd. Registered | 6,588 | 386,057 | ||||||
Lonza Group AG Registered | 976 | 248,686 | ||||||
Nestle SA Registered | 40,870 | 3,255,588 | ||||||
Novartis AG Registered | 29,036 | 2,432,136 | ||||||
Partners Group Holding AG | 488 | 354,750 | ||||||
Roche Holding AG | 9,211 | 2,137,424 | ||||||
Schindler Holding AG Participation Certificates | 732 | 171,643 | ||||||
Schindler Holding AG Registered | 732 | 165,911 | ||||||
SGS SA Registered | 122 | 310,729 | ||||||
Sonova Holding AG Registered | 1,342 | 210,733 | ||||||
Swatch Group AG (The) Bearer | 610 | 258,058 | ||||||
Swiss Life Holding AG Registered | 549 | 199,256 | ||||||
Swiss Prime Site AG Registered | 914 | 85,496 | ||||||
Swiss Re AG | 3,660 | 373,726 | ||||||
Swisscom AG Registered | 408 | 221,042 | ||||||
UBS Group AG Registered | 46,823 | 895,288 | ||||||
Zurich Insurance Group AG | 1,891 | 624,297 | ||||||
|
| |||||||
15,769,701 | ||||||||
UNITED KINGDOM — 6.30% | ||||||||
3i Group PLC | 15,952 | 206,519 | ||||||
Admiral Group PLC | 3,843 | 97,588 | ||||||
Anglo American PLC | 19,337 | 474,414 | ||||||
Antofagasta PLC | 9,516 | 114,071 | ||||||
Aptiv PLC | 3,617 | 330,341 | ||||||
Ashtead Group PLC | 7,403 | 215,633 | ||||||
Associated British Foods PLC | 5,551 | 201,231 | ||||||
AstraZeneca PLC | 16,775 | 1,103,667 | ||||||
Auto Trader Group PLCc | 22,509 | 113,201 | ||||||
Aviva PLC | 50,581 | 352,368 | ||||||
Babcock International Group PLC | 7,198 | 64,644 | ||||||
BAE Systems PLC | 45,445 | 362,800 | ||||||
Barclays PLC | 221,430 | 651,383 | ||||||
BHP Billiton PLC | 29,158 | 596,283 | ||||||
BP PLC | 253,394 | 1,658,935 | ||||||
British American Tobacco PLC | 30,063 | 1,779,296 | ||||||
British Land Co. PLC (The) | 12,993 | 112,427 | ||||||
BT Group PLC | 112,118 | 370,448 | ||||||
Bunzl PLC | 7,137 | 192,249 | ||||||
Burberry Group PLC | 6,527 | 137,911 |
Security | Shares | Value | ||||||
Capita PLC | 11,224 | $ | 27,242 | |||||
Carnival PLC | 3,172 | 209,742 | ||||||
Centrica PLC | 72,529 | 142,906 | ||||||
Cobham PLCa | 56,384 | 88,138 | ||||||
Coca-Cola HBC AGa | 2,126 | 69,864 | ||||||
Compass Group PLC | 21,071 | 448,845 | ||||||
Croda International PLC | 2,950 | 187,869 | ||||||
Diageo PLC | 32,635 | 1,106,168 | ||||||
Experian PLC | 14,396 | 308,641 | ||||||
Ferguson PLC | 3,488 | 247,314 | ||||||
G4S PLC | 29,768 | 107,626 | ||||||
GKN PLC | 28,487 | 171,840 | ||||||
GlaxoSmithKline PLC | 62,281 | 1,121,760 | ||||||
Glencore PLC | 164,887 | 877,747 | ||||||
Hammerson PLC | 12,688 | 78,145 | ||||||
HSBC Holdings PLC | 261,141 | 2,580,221 | ||||||
IMI PLC | 7,137 | 120,660 | ||||||
Imperial Brands PLC | 12,078 | 435,846 | ||||||
InterContinental Hotels Group PLC | 3,398 | 220,004 | ||||||
Intertek Group PLC | 3,660 | 247,759 | ||||||
Investec PLC | 13,481 | 117,950 | ||||||
ITV PLC | 55,815 | 123,048 | ||||||
J Sainsbury PLC | 27,464 | 98,009 | ||||||
Johnson Matthey PLC | 3,174 | 137,103 | ||||||
Kingfisher PLC | 31,476 | 155,218 | ||||||
Land Securities Group PLC | 10,580 | 135,135 | ||||||
Legal & General Group PLC | 76,433 | 276,553 | ||||||
Lloyds Banking Group PLC | 915,732 | 868,079 | ||||||
London Stock Exchange Group PLC | 5,494 | 304,916 | ||||||
Marks & Spencer Group PLC | 22,692 | 92,423 | ||||||
Meggitt PLC | 15,860 | 98,905 | ||||||
Micro Focus International PLC | 3,124 | 88,800 | ||||||
National Grid PLC | 39,284 | 400,652 | ||||||
Next PLC | 2,257 | 151,012 | ||||||
Old Mutual PLC | 71,980 | 253,201 | ||||||
Pearson PLC | 11,712 | 118,190 | ||||||
Prudential PLC | 34,526 | 870,800 | ||||||
Randgold Resources Ltd. | 1,142 | 92,019 | ||||||
Reckitt Benckiser Group PLC | 8,601 | 684,508 | ||||||
RELX PLC | 16,592 | 341,319 | ||||||
Rio Tinto PLC | 16,714 | 904,134 | ||||||
Rolls-Royce Holdings PLC | 24,949 | 288,621 | ||||||
Royal Bank of Scotland Group PLCa | 53,070 | 195,749 | ||||||
Royal Dutch Shell PLC Class A ADR | 56,394 | 1,787,935 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Royal Dutch Shell PLC Class B | 51,182 | $ | 1,636,796 | |||||
RSA Insurance Group PLC | 19,171 | 166,783 | ||||||
Sage Group PLC (The) | 20,313 | 193,847 | ||||||
Segro PLC | 22,842 | 179,899 | ||||||
Severn Trent PLC | 5,246 | 123,422 | ||||||
Shire PLC | 12,157 | 520,774 | ||||||
Sky PLC | 13,359 | 248,122 | ||||||
Smith & Nephew PLC | 12,749 | 222,827 | ||||||
Smiths Group PLC | 8,357 | 183,947 | ||||||
SSE PLC | 12,523 | 211,372 | ||||||
Standard Chartered PLCa | 45,019 | 502,935 | ||||||
Standard Life Aberdeen PLC | 39,255 | 199,096 | ||||||
Taylor Wimpey PLC | 55,571 | 142,417 | ||||||
Tesco PLC | 116,815 | 339,290 | ||||||
TUI AG | 8,174 | 173,950 | ||||||
Unilever PLC | 17,263 | 888,044 | ||||||
United Utilities Group PLC | 12,627 | 115,906 | ||||||
Vodafone Group PLC | 336,845 | 945,649 | ||||||
Weir Group PLC (The) | 4,392 | 123,209 | ||||||
Whitbread PLC | 2,806 | 150,126 | ||||||
WPP PLC | 17,324 | 332,746 | ||||||
|
| |||||||
34,119,182 | ||||||||
UNITED STATES — 59.37% |
| |||||||
3M Co. | 7,747 | 1,824,496 | ||||||
Abbott Laboratories | 22,064 | 1,331,121 | ||||||
AbbVie Inc. | 21,045 | 2,437,642 | ||||||
Accenture PLC Class A | 8,113 | 1,306,274 | ||||||
Activision Blizzard Inc. | 9,761 | 713,822 | ||||||
Acuity Brands Inc. | 671 | 95,671 | ||||||
Adobe Systems Inc.a | 6,771 | 1,416,019 | ||||||
Advance Auto Parts Inc. | 1,220 | 139,385 | ||||||
Advanced Micro Devices Inc.a | 11,102 | 134,445 | ||||||
AES Corp./VA | 8,967 | 97,471 | ||||||
Aetna Inc. | 4,636 | 820,850 | ||||||
Affiliated Managers Group Inc. | 976 | 184,815 | ||||||
Aflac Inc. | 5,185 | 460,843 | ||||||
AGCO Corp. | 1,403 | 93,440 | ||||||
Agilent Technologies Inc. | 5,673 | 389,111 | ||||||
AGNC Investment Corp. | 5,843 | 104,823 | ||||||
Air Products & Chemicals Inc. | 2,806 | 451,177 | ||||||
Akamai Technologies Inc.a | 2,623 | 176,948 | ||||||
Albemarle Corp. | 1,831 | 183,887 | ||||||
Alexion Pharmaceuticals Inc.a | 3,172 | 372,551 | ||||||
Align Technology Inc.a | 1,117 | 293,235 |
Security | Shares | Value | ||||||
Alkermes PLCa | 2,745 | $ | 156,685 | |||||
Alleghany Corp.a | 151 | 91,529 | ||||||
Allergan PLC | 4,453 | 686,742 | ||||||
Alliance Data Systems Corp. | 793 | 191,081 | ||||||
Alliant Energy Corp. | 4,453 | 172,108 | ||||||
Allstate Corp. (The) | 4,758 | 438,973 | ||||||
Alnylam Pharmaceuticals Inc.a | 1,140 | 136,982 | ||||||
Alphabet Inc. Class Aa | 3,904 | 4,309,704 | ||||||
Alphabet Inc. Class Ca | 4,148 | 4,582,420 | ||||||
Altria Group Inc. | 24,950 | 1,570,602 | ||||||
Amazon.com Inc.a | 5,368 | 8,118,832 | ||||||
Ameren Corp. | 4,026 | 218,612 | ||||||
American Airlines Group Inc. | 1,891 | 102,587 | ||||||
American Electric Power Co. Inc. | 6,466 | 424,040 | ||||||
American Express Co. | 9,943 | 969,542 | ||||||
American International Group Inc. | 11,734 | 672,828 | ||||||
American Tower Corp. | 5,978 | 832,915 | ||||||
American Water Works Co. Inc. | 3,660 | 290,458 | ||||||
Ameriprise Financial Inc. | 2,440 | 381,714 | ||||||
AmerisourceBergen Corp. | 2,318 | 220,581 | ||||||
AMETEK Inc. | 4,087 | 309,549 | ||||||
Amgen Inc. | 9,577 | 1,759,965 | ||||||
Amphenol Corp. Class A | 4,758 | 434,834 | ||||||
Anadarko Petroleum Corp. | 7,381 | 421,012 | ||||||
Analog Devices Inc. | 5,234 | 471,845 | ||||||
Andeavor | 2,257 | 202,272 | ||||||
Annaly Capital Management Inc. | 15,921 | 159,688 | ||||||
ANSYS Inc.a | 1,587 | 253,825 | ||||||
Anthem Inc. | 3,538 | 832,774 | ||||||
Aon PLC | 3,500 | 491,120 | ||||||
Apache Corp. | 5,124 | 174,985 | ||||||
Apple Inc. | 67,962 | 12,105,391 | ||||||
Applied Materials Inc. | 15,279 | 879,918 | ||||||
Arch Capital Group Ltd.a | 2,257 | 199,158 | ||||||
Archer-Daniels-Midland Co. | 7,930 | 329,254 | ||||||
Arconic Inc. | 5,780 | 140,974 | ||||||
Arista Networks Inc.a,b | 683 | 184,232 | ||||||
Arrow Electronics Inc.a | 1,830 | 149,291 | ||||||
Assurant Inc. | 1,220 | 104,273 | ||||||
AT&T Inc. | 78,873 | 2,863,090 | ||||||
Autodesk Inc.a | 3,050 | 358,283 | ||||||
Autoliv Inc. | 1,342 | 192,496 | ||||||
Automatic Data Processing Inc. | 6,039 | 696,417 | ||||||
AutoZone Inc.a | 427 | 283,835 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
AvalonBay Communities Inc. | 1,830 | $ | 285,517 | |||||
Avery Dennison Corp. | 1,952 | 230,629 | ||||||
Avnet Inc. | 2,501 | 106,793 | ||||||
Axis Capital Holdings Ltd. | 2,074 | 102,331 | ||||||
Baker Hughes a GE Co. | 5,856 | 154,598 | ||||||
Ball Corp. | 5,124 | 204,704 | ||||||
Bank of America Corp. | 133,041 | 4,270,616 | ||||||
Bank of New York Mellon Corp. (The) | 13,969 | 796,652 | ||||||
Baxter International Inc. | 6,527 | 442,465 | ||||||
BB&T Corp. | 10,371 | 563,664 | ||||||
Becton Dickinson and Co. | 3,798 | 843,232 | ||||||
Berkshire Hathaway Inc. Class Ba | 15,520 | 3,215,744 | ||||||
Best Buy Co. Inc. | 3,965 | 287,225 | ||||||
Biogen Inc.a | 2,928 | 846,163 | ||||||
BioMarin Pharmaceutical Inc.a | 2,928 | 237,666 | ||||||
BlackRock Inc.e | 1,586 | 871,396 | ||||||
Boeing Co. (The) | 7,686 | 2,783,946 | ||||||
Booking Holdings Inc.a,b | 671 | 1,364,841 | ||||||
BorgWarner Inc. | 3,233 | 158,676 | ||||||
Boston Properties Inc. | 2,318 | 275,541 | ||||||
Boston Scientific Corp.a | 19,215 | 523,801 | ||||||
Brighthouse Financial Inc.a | 1,320 | 71,636 | ||||||
Bristol-Myers Squibb Co. | 21,592 | 1,429,390 | ||||||
Broadcom Ltd. | 5,429 | 1,338,031 | ||||||
Brown-Forman Corp. Class B | 3,172 | 221,374 | ||||||
Bunge Ltd. | 2,135 | 161,043 | ||||||
CA Inc. | 4,697 | 164,865 | ||||||
Cabot Oil & Gas Corp. | 7,442 | 179,799 | ||||||
Campbell Soup Co. | 3,355 | 144,433 | ||||||
Capital One Financial Corp. | 6,771 | 663,084 | ||||||
Cardinal Health Inc. | 4,392 | 303,970 | ||||||
CarMax Inc.a | 2,806 | 173,748 | ||||||
Carnival Corp. | 4,209 | 281,624 | ||||||
Caterpillar Inc. | 7,625 | 1,179,054 | ||||||
CBRE Group Inc. Class Aa | 4,819 | 225,288 | ||||||
CBS Corp. Class B NVS | 4,960 | 262,731 | ||||||
CDK Global Inc. | 2,501 | 171,769 | ||||||
Celanese Corp. Series A | 2,379 | 239,946 | ||||||
Celgene Corp.a | 10,370 | 903,434 | ||||||
Centene Corp.a | 2,867 | 290,771 | ||||||
CenterPoint Energy Inc. | 6,405 | 173,255 | ||||||
CenturyLink Inc. | 13,916 | 245,896 | ||||||
Cerner Corp.a | 4,148 | 266,136 |
Security | Shares | Value | ||||||
CF Industries Holdings Inc. | 3,483 | $ | 143,639 | |||||
CH Robinson Worldwide Inc. | 2,501 | 233,493 | ||||||
Charles Schwab Corp. (The) | 16,592 | 879,708 | ||||||
Charter Communications Inc. Class Aa | 2,757 | 942,701 | ||||||
Chemours Co. (The) | 2,569 | 122,053 | ||||||
Cheniere Energy Inc.a | 3,416 | 179,408 | ||||||
Chevron Corp. | 24,583 | 2,751,329 | ||||||
Chipotle Mexican Grill Inc.a | 366 | 116,538 | ||||||
Chubb Ltd. | 5,621 | 797,732 | ||||||
Church & Dwight Co. Inc. | 4,636 | 228,045 | ||||||
Cigna Corp. | 3,538 | 693,059 | ||||||
Cimarex Energy Co. | 1,464 | 140,676 | ||||||
Cincinnati Financial Corp. | 2,318 | 172,900 | ||||||
Cintas Corp. | 1,769 | 301,898 | ||||||
Cisco Systems Inc. | 64,416 | 2,884,548 | ||||||
CIT Group Inc. | 3,294 | 174,747 | ||||||
Citigroup Inc. | 36,234 | 2,735,305 | ||||||
Citizens Financial Group Inc. | 8,324 | 362,011 | ||||||
Citrix Systems Inc.a | 2,623 | 241,316 | ||||||
Clorox Co. (The) | 2,075 | 267,841 | ||||||
CME Group Inc. | 4,514 | 750,046 | ||||||
CMS Energy Corp. | 4,880 | 207,156 | ||||||
Coca-Cola Co. (The) | 51,728 | 2,235,684 | ||||||
Cognex Corp. | 2,450 | 131,590 | ||||||
Cognizant Technology Solutions Corp. Class A | 8,174 | 670,431 | ||||||
Colgate-Palmolive Co. | 11,041 | 761,498 | ||||||
Comcast Corp. Class A | 61,854 | 2,239,733 | ||||||
Comerica Inc. | 3,416 | 332,104 | ||||||
Conagra Brands Inc. | 6,710 | 242,432 | ||||||
Concho Resources Inc.a | 2,135 | 321,958 | ||||||
ConocoPhillips | 16,104 | 874,608 | ||||||
Consolidated Edison Inc. | 4,392 | 328,917 | ||||||
Constellation Brands Inc. Class A | 2,562 | 552,060 | ||||||
Continental Resources Inc./OKa,b | 1,594 | 75,731 | ||||||
Corning Inc. | 14,152 | 411,540 | ||||||
Costco Wholesale Corp. | 5,856 | 1,117,910 | ||||||
Coty Inc. Class A | 6,610 | 127,705 | ||||||
Crown Castle International Corp. | 5,429 | 597,516 | ||||||
Crown Holdings Inc.a | 2,928 | 145,932 | ||||||
CSX Corp. | 12,688 | 681,599 | ||||||
Cummins Inc. | 2,318 | 389,818 | ||||||
CVS Health Corp. | 13,359 | 904,805 | ||||||
Danaher Corp. | 7,991 | 781,360 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Darden Restaurants Inc. | 2,135 | $ | 196,826 | |||||
DaVita Inc.a | 2,135 | 153,763 | ||||||
Deere & Co. | 3,721 | 598,597 | ||||||
Dell Technologies Inc. Class Va | 3,356 | 249,317 | ||||||
Delta Air Lines Inc. | 1,606 | 86,563 | ||||||
DENTSPLY SIRONA Inc. | 3,416 | 191,501 | ||||||
Devon Energy Corp. | 6,710 | 205,796 | ||||||
Digital Realty Trust Inc. | 2,928 | 294,674 | ||||||
Discover Financial Services | 5,551 | 437,585 | ||||||
Discovery Communications Inc. Class Aa,b | 2,074 | 50,440 | ||||||
Discovery Communications Inc. Class C NVSa | 3,965 | 91,116 | ||||||
DISH Network Corp. Class Aa | 3,294 | 137,327 | ||||||
Dollar General Corp. | 4,026 | 380,819 | ||||||
Dollar Tree Inc.a | 3,233 | 331,835 | ||||||
Dominion Energy Inc. | 7,869 | 582,857 | ||||||
Dover Corp. | 2,745 | 274,775 | ||||||
DowDuPont Inc. | 29,376 | 2,065,133 | ||||||
DR Horton Inc. | 5,368 | 224,919 | ||||||
Dr Pepper Snapple Group Inc. | 3,172 | 368,745 | ||||||
DTE Energy Co. | 2,623 | 264,346 | ||||||
Duke Energy Corp. | 8,540 | 643,404 | ||||||
Duke Realty Corp. | 7,564 | 187,360 | ||||||
DXC Technology Co. | 4,197 | 430,360 | ||||||
Eastman Chemical Co. | 2,318 | 234,303 | ||||||
Eaton Corp. PLC | 5,978 | 482,425 | ||||||
Eaton Vance Corp. NVS | 2,440 | 129,149 | ||||||
eBay Inc.a | 13,603 | 583,025 | ||||||
Ecolab Inc. | 3,843 | 501,319 | ||||||
Edison International | 4,514 | 273,503 | ||||||
Edwards Lifesciences Corp.a | 3,050 | 407,693 | ||||||
Electronic Arts Inc.a | 4,331 | 535,745 | ||||||
Eli Lilly & Co. | 12,932 | 996,023 | ||||||
Emerson Electric Co. | 8,296 | 589,514 | ||||||
Entergy Corp. | 2,745 | 208,126 | ||||||
EOG Resources Inc. | 7,381 | 748,581 | ||||||
EQT Corp. | 2,519 | 126,731 | ||||||
Equifax Inc. | 1,708 | 193,004 | ||||||
Equinix Inc. | 1,098 | 430,526 | ||||||
Equity Residential | 5,002 | 281,262 | ||||||
Essex Property Trust Inc. | 1,037 | 232,112 | ||||||
Estee Lauder Companies Inc. (The) Class A | 3,050 | 422,242 | ||||||
Everest Re Group Ltd. | 707 | 169,850 |
Security | Shares | Value | ||||||
Eversource Energy | 4,758 | $ | 271,206 | |||||
Exelon Corp. | 12,078 | 447,369 | ||||||
Expedia Inc. | 1,769 | 186,046 | ||||||
Expeditors International of Washington Inc. | 3,538 | 229,828 | ||||||
Express Scripts Holding Co.a | 7,507 | 566,403 | ||||||
Exxon Mobil Corp. | 53,558 | 4,056,483 | ||||||
F5 Networks Inc.a | 1,281 | 190,254 | ||||||
Facebook Inc. Class Aa | 31,659 | 5,645,433 | ||||||
Fastenal Co. | 4,209 | 230,316 | ||||||
Federal Realty Investment Trust | 1,342 | 152,907 | ||||||
FedEx Corp. | 3,416 | 841,737 | ||||||
Fidelity National Information Services Inc. | 4,392 | 426,815 | ||||||
Fifth Third Bancorp. | 11,956 | 395,146 | ||||||
First Republic Bank/CA | 2,684 | 249,075 | ||||||
FirstEnergy Corp. | 6,344 | 205,102 | ||||||
Fiserv Inc.a | 3,538 | 507,314 | ||||||
FleetCor Technologies Inc.a | 1,282 | 256,310 | ||||||
Flex Ltd.a | 10,553 | 191,009 | ||||||
FLIR Systems Inc. | 3,050 | 149,755 | ||||||
Flowserve Corp. | 2,745 | 116,251 | ||||||
Fluor Corp. | 2,623 | 149,249 | ||||||
FMC Corp. | 2,257 | 177,129 | ||||||
FNF Group | 4,148 | 165,630 | ||||||
Ford Motor Co. | 43,249 | 458,872 | ||||||
Fortive Corp. | 4,473 | 343,526 | ||||||
Franklin Resources Inc. | 5,307 | 205,222 | ||||||
Freeport-McMoRan Inc.a | 17,751 | 330,169 | ||||||
Gap Inc. (The) | 3,599 | 113,656 | ||||||
Garmin Ltd. | 1,891 | 112,023 | ||||||
General Dynamics Corp. | 3,599 | 800,598 | ||||||
General Electric Co. | 112,484 | 1,587,149 | ||||||
General Mills Inc. | 7,869 | 397,778 | ||||||
General Motors Co. | 16,592 | 652,895 | ||||||
Genuine Parts Co. | 2,501 | 229,692 | ||||||
GGP Inc. | 8,296 | 175,626 | ||||||
Gilead Sciences Inc. | 17,141 | 1,349,511 | ||||||
Global Payments Inc. | 2,623 | 297,422 | ||||||
Goldman Sachs Group Inc. (The) | 4,697 | 1,234,982 | ||||||
Goodyear Tire & Rubber Co. (The) | 4,026 | 116,512 | ||||||
H&R Block Inc. | 3,416 | 86,527 | ||||||
Halliburton Co. | 11,468 | 532,345 | ||||||
Hanesbrands Inc. | 5,551 | 107,689 | ||||||
Harley-Davidson Inc.b | 2,501 | 113,495 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Harris Corp. | 2,426 | $ | 378,820 | |||||
Hartford Financial Services Group Inc. (The) | 5,673 | 299,818 | ||||||
Hasbro Inc. | 1,709 | 163,329 | ||||||
HCA Healthcare Inc. | 3,965 | 393,526 | ||||||
HCP Inc. | 6,771 | 146,524 | ||||||
Helmerich & Payne Inc. | 1,586 | 102,376 | ||||||
Henry Schein Inc.a | 2,392 | 158,326 | ||||||
Hershey Co. (The) | 2,379 | 233,761 | ||||||
Hess Corp. | 3,904 | 177,320 | ||||||
Hewlett Packard Enterprise Co. | 20,748 | 385,705 | ||||||
Hilton Worldwide Holdings Inc. | 3,052 | 246,571 | ||||||
HollyFrontier Corp. | 2,989 | 128,019 | ||||||
Hologic Inc.a | 4,299 | 166,930 | ||||||
Home Depot Inc. (The) | 15,250 | 2,779,617 | ||||||
Honeywell International Inc. | 9,272 | 1,401,092 | ||||||
Hormel Foods Corp. | 4,819 | 156,425 | ||||||
Host Hotels & Resorts Inc. | 10,004 | 185,674 | ||||||
HP Inc. | 23,851 | 557,875 | ||||||
Humana Inc. | 2,074 | 563,755 | ||||||
Huntington Bancshares Inc./OH | 16,874 | 264,922 | ||||||
IAC/InterActiveCorp.a | 873 | 129,998 | ||||||
IHS Markit Ltd.a | 5,429 | 255,434 | ||||||
Illinois Tool Works Inc. | 4,453 | 718,892 | ||||||
Illumina Inc.a | 2,135 | 486,823 | ||||||
Incyte Corp.a | 2,623 | 223,375 | ||||||
Ingersoll-Rand PLC | 3,904 | 346,675 | ||||||
Intel Corp. | 59,964 | 2,955,626 | ||||||
Intercontinental Exchange Inc. | 8,174 | 597,356 | ||||||
International Business Machines Corp. | 11,468 | 1,787,058 | ||||||
International Flavors & Fragrances Inc. | 1,403 | 198,174 | ||||||
International Paper Co. | 5,368 | 319,879 | ||||||
Interpublic Group of Companies Inc. (The) | 6,771 | 158,441 | ||||||
Intuit Inc. | 3,538 | 590,351 | ||||||
Intuitive Surgical Inc.a | 1,830 | 780,403 | ||||||
Invesco Ltd. | 6,405 | 208,419 | ||||||
Iron Mountain Inc. | 4,167 | 131,094 | ||||||
Jacobs Engineering Group Inc. | 2,440 | 148,986 | ||||||
Jazz Pharmaceuticals PLCa,b | 976 | 141,325 | ||||||
JB Hunt Transport Services Inc. | 1,586 | 188,052 | ||||||
JM Smucker Co. (The) | 1,891 | 238,833 | ||||||
Johnson & Johnson | 34,905 | 4,533,461 |
Security | Shares | Value | ||||||
Johnson Controls International PLC | 12,571 | $ | 463,493 | |||||
JPMorgan Chase & Co. | 46,360 | 5,354,580 | ||||||
Juniper Networks Inc. | 5,856 | 150,265 | ||||||
Kansas City Southern | 1,891 | 194,849 | ||||||
Kellogg Co. | 3,843 | 254,407 | ||||||
KeyCorp | 16,470 | 348,011 | ||||||
Kimberly-Clark Corp. | 4,697 | 520,991 | ||||||
Kimco Realty Corp. | 7,159 | 107,099 | ||||||
Kinder Morgan Inc./DE | 25,803 | 418,009 | ||||||
KLA-Tencor Corp. | 2,434 | 275,797 | ||||||
Kohl’s Corp. | 2,867 | 189,480 | ||||||
Kraft Heinz Co. (The) | 7,625 | 511,256 | ||||||
Kroger Co. (The) | 12,322 | 334,173 | ||||||
L Brands Inc. | 3,477 | 171,520 | ||||||
L3 Technologies Inc. | 1,342 | 278,532 | ||||||
Laboratory Corp. of America Holdingsa | 1,647 | 284,437 | ||||||
Lam Research Corp. | 2,542 | 487,708 | ||||||
Las Vegas Sands Corp. | 5,429 | 395,285 | ||||||
Leggett & Platt Inc. | 2,745 | 119,298 | ||||||
Leucadia National Corp. | 6,100 | 146,339 | ||||||
Liberty Global PLC Series Aa | 3,782 | 117,771 | ||||||
Liberty Global PLC Series C NVSa | 6,893 | 206,997 | ||||||
Liberty Interactive Corp. QVC Group Series Aa | 7,320 | 211,328 | ||||||
Liberty Media Corp.-Liberty SiriusXM Class Ca | 4,697 | 196,147 | ||||||
Liberty Property Trust | 3,111 | 122,138 | ||||||
Lincoln National Corp. | 3,416 | 260,197 | ||||||
LKQ Corp.a | 5,246 | 207,112 | ||||||
Lockheed Martin Corp. | 3,381 | 1,191,600 | ||||||
Loews Corp. | 4,270 | 210,639 | ||||||
Lowe’s Companies Inc. | 11,102 | 994,628 | ||||||
Lululemon Athletica Inc.a | 1,708 | 138,519 | ||||||
LyondellBasell Industries NV Class A | 4,636 | 501,708 | ||||||
M&T Bank Corp. | 2,074 | 393,728 | ||||||
Macerich Co. (The) | 1,952 | 115,051 | ||||||
Macy’s Inc. | 4,331 | 127,375 | ||||||
ManpowerGroup Inc. | 1,220 | 144,521 | ||||||
Marathon Oil Corp. | 12,445 | 180,701 | ||||||
Marathon Petroleum Corp. | 7,320 | 468,919 | ||||||
Markel Corp.a | 244 | 271,328 | ||||||
Marriott International Inc./MD Class A | 4,583 | 647,165 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Marsh & McLennan Companies Inc. | 6,711 | $ | 557,147 | |||||
Martin Marietta Materials Inc. | 976 | 199,036 | ||||||
Marvell Technology Group Ltd. | 6,219 | 146,084 | ||||||
Masco Corp. | 5,612 | 230,765 | ||||||
Mastercard Inc. Class A | 13,735 | 2,414,064 | ||||||
Mattel Inc. | 4,880 | 77,592 | ||||||
Maxim Integrated Products Inc. | 4,575 | 278,801 | ||||||
McCormick & Co. Inc./MD NVS | 2,501 | 267,057 | ||||||
McDonald’s Corp. | 10,614 | 1,674,252 | ||||||
McKesson Corp. | 2,928 | 436,945 | ||||||
Medtronic PLC | 17,263 | 1,379,141 | ||||||
MercadoLibre Inc. | 549 | 212,996 | ||||||
Merck & Co. Inc. | 34,916 | 1,893,146 | ||||||
MetLife Inc. | 11,834 | 546,612 | ||||||
MGM Resorts International | 7,137 | 244,300 | ||||||
Michael Kors Holdings Ltd.a | 2,135 | 134,356 | ||||||
Microchip Technology Inc. | 3,965 | 352,607 | ||||||
Micron Technology Inc.a | 14,680 | 716,531 | ||||||
Microsoft Corp. | 96,746 | 9,071,872 | ||||||
Mohawk Industries Inc.a | 976 | 234,123 | ||||||
Molson Coors Brewing Co. Class B | 2,623 | 200,004 | ||||||
Mondelez International Inc. Class A | 20,252 | 889,063 | ||||||
Monsanto Co. | 5,795 | 714,929 | ||||||
Monster Beverage Corp.a | 5,673 | 359,498 | ||||||
Moody’s Corp. | 2,867 | 478,445 | ||||||
Morgan Stanley | 19,581 | 1,096,928 | ||||||
Mosaic Co. (The) | 4,941 | 130,047 | ||||||
Motorola Solutions Inc. | 2,623 | 278,431 | ||||||
Mylan NVa | 6,771 | 273,007 | ||||||
Nasdaq Inc. | 2,135 | 172,401 | ||||||
National Oilwell Varco Inc. | 5,368 | 188,363 | ||||||
NetApp Inc. | 3,660 | 221,613 | ||||||
Netflix Inc.a | 5,795 | 1,688,547 | ||||||
New York Community Bancorp. Inc. | 9,699 | 132,100 | ||||||
Newell Brands Inc. | 6,490 | 166,728 | ||||||
Newfield Exploration Co.a | 3,086 | 71,996 | ||||||
Newmont Mining Corp. | 7,503 | 286,615 | ||||||
News Corp. Class A | 5,981 | 96,474 | ||||||
NextEra Energy Inc. | 6,240 | 949,416 | ||||||
Nielsen Holdings PLC | 4,880 | 159,234 | ||||||
NIKE Inc. Class B | 16,775 | 1,124,428 | ||||||
Noble Energy Inc. | 6,588 | 196,520 | ||||||
Nordstrom Inc. | 2,135 | 109,547 | ||||||
Norfolk Southern Corp. | 3,965 | 551,452 | ||||||
Northern Trust Corp. | 3,172 | 335,820 |
Security | Shares | Value | ||||||
Northrop Grumman Corp. | 2,318 | $ | 811,393 | |||||
Nucor Corp. | 4,453 | 291,226 | ||||||
NVIDIA Corp. | 8,113 | 1,963,346 | ||||||
O’Reilly Automotive Inc.a | 1,283 | 313,296 | ||||||
Occidental Petroleum Corp. | 10,065 | 660,264 | ||||||
Omnicom Group Inc. | 3,477 | 265,052 | ||||||
ONEOK Inc. | 5,309 | 299,056 | ||||||
Oracle Corp. | 39,345 | 1,993,611 | ||||||
PACCAR Inc. | 5,002 | 358,093 | ||||||
Palo Alto Networks Inc.a | 1,525 | 264,389 | ||||||
Parker-Hannifin Corp. | 2,196 | 391,920 | ||||||
Paychex Inc. | 4,636 | 301,943 | ||||||
PayPal Holdings Inc.a | 15,433 | 1,225,535 | ||||||
Pentair PLC | 3,111 | 213,695 | ||||||
People’s United Financial Inc. | 8,784 | 168,126 | ||||||
PepsiCo Inc. | 18,117 | 1,987,978 | ||||||
Perrigo Co. PLC | 2,074 | 168,948 | ||||||
Pfizer Inc. | 73,993 | 2,686,686 | ||||||
PG&E Corp. | 6,649 | 273,207 | ||||||
Philip Morris International Inc. | 20,191 | 2,090,778 | ||||||
Phillips 66 | 6,161 | 556,770 | ||||||
Pinnacle West Capital Corp. | 2,257 | 173,699 | ||||||
Pioneer Natural Resources Co. | 2,318 | 394,593 | ||||||
Plains GP Holdings LP Class A | 2,318 | 48,214 | ||||||
PNC Financial Services Group Inc. (The)e | 6,161 | 971,343 | ||||||
PPG Industries Inc. | 3,782 | 425,248 | ||||||
PPL Corp. | 9,412 | 269,654 | ||||||
Praxair Inc. | 3,660 | 548,085 | ||||||
Principal Financial Group Inc. | 4,087 | 254,743 | ||||||
Procter & Gamble Co. (The) | 32,736 | 2,570,431 | ||||||
Progressive Corp. (The) | 8,663 | 498,816 | ||||||
Prologis Inc. | 7,442 | 451,581 | ||||||
Prudential Financial Inc. | 5,795 | 616,124 | ||||||
Public Service Enterprise Group Inc. | 7,503 | 363,370 | ||||||
Public Storage | 2,013 | 391,408 | ||||||
PulteGroup Inc. | 5,490 | 154,104 | ||||||
PVH Corp. | 1,220 | 176,022 | ||||||
Qorvo Inc.a | 2,270 | 183,212 | ||||||
QUALCOMM Inc. | 19,276 | 1,252,940 | ||||||
Quest Diagnostics Inc. | 2,074 | 213,726 | ||||||
Ralph Lauren Corp. | 976 | 103,300 | ||||||
Range Resources Corp. | 3,416 | 45,399 | ||||||
Raytheon Co. | 4,087 | 888,963 | ||||||
Realty Income Corp.b | 4,087 | 200,999 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Red Hat Inc.a | 3,152 | $ | 464,605 | |||||
Regency Centers Corp. | 3,111 | 180,780 | ||||||
Regeneron Pharmaceuticals Inc.a | 1,098 | 351,843 | ||||||
Regions Financial Corp. | 19,703 | 382,435 | ||||||
Reinsurance Group of America Inc. | 819 | 125,954 | ||||||
RenaissanceRe Holdings Ltd. | 397 | 50,927 | ||||||
Republic Services Inc. | 4,148 | 278,663 | ||||||
Robert Half International Inc. | 2,562 | 146,213 | ||||||
Rockwell Automation Inc. | 2,074 | 374,979 | ||||||
Rockwell Collins Inc. | 2,562 | 352,839 | ||||||
Roper Technologies Inc. | 1,647 | 453,073 | ||||||
Ross Stores Inc. | 5,490 | 428,714 | ||||||
Royal Caribbean Cruises Ltd. | 2,318 | 293,459 | ||||||
S&P Global Inc. | 3,843 | 737,087 | ||||||
salesforce.com Inc.a | 8,845 | 1,028,231 | ||||||
SBA Communications Corp.a | 1,952 | 306,991 | ||||||
SCANA Corp. | 2,379 | 94,375 | ||||||
Schlumberger Ltd. | 17,091 | 1,121,853 | ||||||
Scripps Networks Interactive Inc. Class A | 1,342 | 120,592 | ||||||
Seagate Technology PLC | 4,331 | 231,275 | ||||||
Seattle Genetics Inc.a,b | 1,123 | 60,642 | ||||||
SEI Investments Co. | 3,294 | 239,902 | ||||||
Sempra Energy | 3,111 | 339,037 | ||||||
ServiceNow Inc.a | 2,562 | 412,508 | ||||||
Sherwin-Williams Co. (The) | 1,159 | 465,431 | ||||||
Simon Property Group Inc. | 3,907 | 599,764 | ||||||
Sirius XM Holdings Inc.b | 39,772 | 249,768 | ||||||
Skyworks Solutions Inc. | 2,806 | 306,555 | ||||||
SL Green Realty Corp. | 1,551 | 150,323 | ||||||
Southern Co. (The) | 11,529 | 496,439 | ||||||
Southwest Airlines Co. | 2,074 | 119,960 | ||||||
Splunk Inc.a | 2,257 | 210,352 | ||||||
Sprint Corp.a,b | 14,097 | 73,163 | ||||||
Square Inc. Class Aa | 3,660 | 168,543 | ||||||
Stanley Black & Decker Inc. | 2,318 | 369,002 | ||||||
Starbucks Corp. | 18,483 | 1,055,379 | ||||||
State Street Corp. | 4,943 | 524,699 | ||||||
Stericycle Inc.a | 1,403 | 87,926 | ||||||
Stryker Corp. | 4,392 | 712,207 | ||||||
SunTrust Banks Inc. | 6,649 | 464,366 | ||||||
Symantec Corp. | 9,291 | 244,260 | ||||||
Synchrony Financial | 11,533 | 419,686 | ||||||
Synopsys Inc.a | 3,416 | 289,233 | ||||||
Sysco Corp. | 7,320 | 436,638 |
Security | Shares | Value | ||||||
T Rowe Price Group Inc. | 3,538 | $ | 395,902 | |||||
T-Mobile U.S. Inc.a | 4,514 | 273,594 | ||||||
Take-Two Interactive Software Inc.a | 1,388 | 155,276 | ||||||
Tapestry Inc. | 4,148 | 211,175 | ||||||
Targa Resources Corp. | 1,755 | 78,361 | ||||||
Target Corp. | 7,198 | 542,801 | ||||||
TD Ameritrade Holding Corp. | 3,965 | 227,988 | ||||||
TE Connectivity Ltd. | 4,819 | 496,791 | ||||||
TechnipFMC PLC | 7,381 | 212,720 | ||||||
TESARO Inc.a,b | 313 | 17,287 | ||||||
Tesla Inc.a,b | 1,830 | 627,800 | ||||||
Texas Instruments Inc. | 12,200 | 1,321,870 | ||||||
Textron Inc. | 4,453 | 266,512 | ||||||
Thermo Fisher Scientific Inc. | 5,307 | 1,106,934 | ||||||
Tiffany & Co. | 2,013 | 203,394 | ||||||
Time Warner Inc. | 10,126 | 941,313 | ||||||
TJX Companies Inc. (The) | 8,418 | 696,000 | ||||||
Toll Brothers Inc. | 3,782 | 165,765 | ||||||
Torchmark Corp. | 2,207 | 188,412 | ||||||
Total System Services Inc. | 3,050 | 268,248 | ||||||
Tractor Supply Co. | 2,074 | 134,665 | ||||||
TransDigm Group Inc. | 793 | 228,630 | ||||||
Travelers Companies Inc. (The) | 3,088 | 429,232 | ||||||
Trimble Inc.a | 4,392 | 166,589 | ||||||
TripAdvisor Inc.a | 1,952 | 78,236 | ||||||
Twenty-First Century Fox Inc. Class A | 16,714 | 615,409 | ||||||
Twenty-First Century Fox Inc. Class B | 3,111 | 113,303 | ||||||
Twitter Inc.a | 9,394 | 299,293 | ||||||
Tyson Foods Inc. Class A | 4,392 | 326,677 | ||||||
U.S. Bancorp. | 21,533 | 1,170,534 | ||||||
UDR Inc. | 4,819 | 162,015 | ||||||
Ulta Beauty Inc.a | 915 | 186,065 | ||||||
Under Armour Inc. Class Aa,b | 2,745 | 45,512 | ||||||
Under Armour Inc. Class Ca,b | 2,757 | 41,493 | ||||||
Union Pacific Corp. | 10,614 | 1,382,473 | ||||||
United Parcel Service | 8,479 | 885,292 | ||||||
United Rentals Inc.a | 1,342 | 234,971 | ||||||
United Technologies Corp. | 10,004 | 1,347,939 | ||||||
UnitedHealth Group Inc. | 12,627 | 2,855,722 | ||||||
Universal Health Services Inc. Class B | 1,342 | 153,256 | ||||||
Unum Group | 3,599 | 183,405 |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Security | Shares | Value | ||||||
Valero Energy Corp. | 6,222 | $ | 562,593 | |||||
Varian Medical Systems Inc.a | 1,647 | 196,553 | ||||||
Veeva Systems Inc. Class Aa | 1,396 | 97,301 | ||||||
Ventas Inc. | 5,012 | 242,180 | ||||||
VEREIT Inc. | 15,738 | 107,805 | ||||||
VeriSign Inc.a,b | 1,952 | 226,471 | ||||||
Verisk Analytics Inc. Class Aa | 2,501 | 255,577 | ||||||
Verizon Communications Inc. | 52,704 | 2,516,089 | ||||||
Vertex Pharmaceuticals Inc.a | 3,660 | 607,670 | ||||||
VF Corp. | 4,636 | 345,707 | ||||||
Viacom Inc. Class B NVS | 4,880 | 162,699 | ||||||
Visa Inc. Class A | 24,034 | 2,954,740 | ||||||
VMware Inc. Class Aa,b | 1,159 | 152,698 | ||||||
Vornado Realty Trust | 2,562 | 170,296 | ||||||
Vulcan Materials Co. | 2,135 | 251,354 | ||||||
Walgreens Boots Alliance Inc. | 11,590 | 798,435 | ||||||
Walmart Inc. | 19,581 | 1,762,486 | ||||||
Walt Disney Co. (The) | 19,947 | 2,057,733 | ||||||
Waste Connections Inc. | 4,484 | 317,378 | ||||||
Waste Management Inc. | 5,917 | 510,755 | ||||||
Waters Corp.a | 1,403 | 287,110 | ||||||
WEC Energy Group Inc. | 4,943 | 296,185 | ||||||
Wells Fargo & Co. | 61,488 | 3,591,514 | ||||||
Welltower Inc. | 4,941 | 259,403 | ||||||
Western Digital Corp. | 4,103 | 357,125 | ||||||
Western Union Co. (The) | 8,235 | 163,218 | ||||||
WestRock Co. | 3,730 | 245,285 | ||||||
Weyerhaeuser Co. | 10,614 | 371,808 | ||||||
Whirlpool Corp. | 1,159 | 188,256 | ||||||
Williams Companies Inc. (The) | 11,590 | 321,738 | ||||||
Willis Towers Watson PLC | 1,769 | 279,325 | ||||||
Workday Inc. Class Aa | 1,892 | 239,660 | ||||||
Worldpay Inc. Class Aa | 2,972 | 241,564 | ||||||
WR Berkley Corp. | 2,318 | 158,505 | ||||||
WW Grainger Inc. | 785 | 205,317 | ||||||
Wyndham Worldwide Corp. | 1,769 | 204,815 | ||||||
Wynn Resorts Ltd. | 1,220 | 204,350 | ||||||
Xcel Energy Inc. | 7,076 | 306,249 | ||||||
Xerox Corp. | 3,157 | 95,720 | ||||||
Xilinx Inc. | 3,599 | 256,429 | ||||||
XL Group Ltd. | 4,087 | 172,921 | ||||||
Xylem Inc./NY | 4,148 | 309,358 | ||||||
Yum! Brands Inc. | 4,758 | 387,206 | ||||||
Zillow Group Inc. Class Ca,b | 2,520 | 120,128 | ||||||
Zimmer Biomet Holdings Inc. | 2,623 | 304,924 |
Security | Shares | Value | ||||||
Zoetis Inc. | 7,015 | $ | 567,233 | |||||
|
| |||||||
321,603,497 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $469,977,248) |
| 538,852,235 | ||||||
PREFERRED STOCKS — 0.19% |
| |||||||
GERMANY — 0.19% |
| |||||||
Henkel AG & Co. KGaA, Preference Shares | 2,379 | 317,139 | ||||||
Porsche Automobil Holding SE, Preference Shares | 2,013 | 169,701 | ||||||
Volkswagen AG, Preference Shares | 2,623 | 515,446 | ||||||
|
| |||||||
1,002,286 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $940,787) |
| 1,002,286 | ||||||
SHORT-TERM INVESTMENTS — 1.32% |
| |||||||
MONEY MARKET FUNDS — 1.32% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 6,181,129 | 6,181,748 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 993,068 | 993,068 | ||||||
|
| |||||||
7,174,816 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,174,362) |
| 7,174,816 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $478,092,397) | 547,029,337 | |||||||
Other Assets, Less Liabilities — (0.99)% |
| (5,356,530 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% | $ | 541,672,807 | ||||||
|
|
ADR — American Depositary Receipts
NVS — Non-Voting Shares
SDR — Swedish Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 7,849,531 | — | (1,668,402 | )b | 6,181,129 | $ | 6,181,748 | $ | 20,873 | c | $ | (1,164 | ) | $ | (1,054 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 287,312 | 705,756 | b | — | 993,068 | 993,068 | 4,243 | — | — | |||||||||||||||||||||||
BlackRock Inc. | 1,612 | 130 | (156 | ) | 1,586 | 871,396 | 4,030 | 34,904 | 178,477 | |||||||||||||||||||||||
PNC Financial Services | 6,510 | 505 | (854 | ) | 6,161 | 971,343 | 9,806 | 49,162 | 160,963 | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 9,017,555 | $ | 38,952 | $ | 82,902 | $ | 338,386 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
Futures Contracts (Note 5)
Futures contracts outstanding as of February 28, 2018 were as follows:
Description | Number of contracts | Expiration date | Notional amount (000) | Value / unrealized appreciation (depreciation) | ||||||||||||
Long Contracts | ||||||||||||||||
MSCI EAFE E-Mini | 11 | Mar 2018 | $ | 1,120 | $ | (2,615 | ) | |||||||||
S&P 500 E-Mini | 14 | Mar 2018 | 1,900 | 9,468 | ||||||||||||
|
| |||||||||||||||
$ | 6,853 | |||||||||||||||
|
| |||||||||||||||
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI WORLD ETF
February 28, 2018
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, 2018. 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 | $ | 538,852,235 | $ | — | $ | — | $ | 538,852,235 | ||||||||
Preferred stocks | 1,002,286 | — | — | 1,002,286 | ||||||||||||
Money market funds | 7,174,816 | — | — | 7,174,816 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 547,029,337 | $ | — | $ | — | $ | 547,029,337 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Derivative financial instrumentsa | ||||||||||||||||
Assets | ||||||||||||||||
Futures contracts | $ | 9,468 | $ | — | $ | — | $ | 9,468 | ||||||||
Liabilities | ||||||||||||||||
Futures contracts | (2,615 | ) | — | — | (2,615 | ) | ||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 6,853 | $ | — | $ | — | $ | 6,853 | ||||||||
|
|
|
|
|
|
|
| |||||||||
a | Shown at the unrealized appreciation (depreciation) on the contracts. |
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares 100 ETF | iShares ETF | |||||||
ASSETS | ||||||||
Investments in securities, at cost: | ||||||||
Unaffiliated | $ | 582,890,827 | $ | 469,668,502 | ||||
Affiliated (Note 2) | 4,656,788 | 8,423,895 | ||||||
|
|
|
| |||||
Total cost of investments in securities | $ | 587,547,615 | $ | 478,092,397 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 750,496,499 | $ | 538,011,782 | ||||
Affiliated (Note 2) | 4,657,009 | 9,017,555 | ||||||
Foreign currency, at valueb | 2,144,763 | 896,896 | ||||||
Cash pledged to broker for futures contracts | — | 146,000 | ||||||
Cash | 9,047,888 | — | ||||||
Receivables: | ||||||||
Investment securities sold | 25,762,674 | 62,635 | ||||||
Due from custodian (Note 4) | 1,620,548 | 12,371 | ||||||
Dividends and interest | 514,851 | 1,109,748 | ||||||
Capital shares sold | 9,128,631 | — | ||||||
Tax reclaims | — | 223,753 | ||||||
|
|
|
| |||||
Total Assets | 803,372,863 | 549,480,740 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 25,518,094 | 19,799 | ||||||
Collateral for securities on loan (Note 1) | 4,656,528 | 6,182,868 | ||||||
Capital shares redeemed | — | 1,454,426 | ||||||
Futures variation margin | — | 34,995 | ||||||
Line of credit (Note 8) | 8,251,222 | — | ||||||
Due to custodian | — | 8,026 | ||||||
Deferred foreign capital gains taxes (Note 1) | 624,479 | — | ||||||
Investment advisory fees (Note 2) | 455,354 | 107,819 | ||||||
|
|
|
| |||||
Total Liabilities | 39,505,677 | 7,807,933 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 763,867,186 | $ | 541,672,807 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 727,366,200 | $ | 460,390,707 | ||||
Undistributed (distributions in excess of) net investment income | (1,875,378 | ) | 957,100 | |||||
Undistributed net realized gain (accumulated net realized loss) | (128,592,855 | ) | 11,366,826 | |||||
Net unrealized appreciation | 166,969,219 | 68,958,174 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 763,867,186 | $ | 541,672,807 | ||||
|
|
|
| |||||
Shares outstandingc | 22,050,000 | 6,100,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 34.64 | $ | 88.80 | ||||
|
|
|
|
a | Securities on loan with values of $4,587,102 and $5,659,454, respectively. See Note 1. |
b | Cost of foreign currency: $2,146,225 and $892,048, respectively. |
c | $0.001 par value, number of shares authorized: 500 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares 100 ETF | iShares ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 4,909,945 | $ | 5,022,505 | ||||
Dividends — affiliated (Note 2) | 38,953 | 18,079 | ||||||
Interest — unaffiliated | 4,163 | — | ||||||
Securities lending income — affiliated — net (Note 2) | 10,026 | 20,873 | ||||||
|
|
|
| |||||
Total investment income | 4,963,087 | 5,061,457 | ||||||
|
|
|
| |||||
EXPENSES | ||||||||
Investment advisory fees (Note 2) | 2,701,723 | 654,025 | ||||||
Pakistan income taxes (Note 1) | 144,981 | — | ||||||
Proxy fees | 64 | 49 | ||||||
Commitment fees (Note 8) | 4,063 | — | ||||||
Interest expense (Note 8) | 1,222 | — | ||||||
|
|
|
| |||||
Total expenses | 2,852,053 | 654,074 | ||||||
|
|
|
| |||||
Net investment income | 2,111,034 | 4,407,383 | ||||||
|
|
|
| |||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliatedb | (16,044,055 | ) | (376,676 | ) | ||||
Investments — affiliated (Note 2) | (358 | ) | 4,107 | |||||
In-kind redemptions — unaffiliated | 2,297,261 | 15,511,907 | ||||||
In-kind redemptions — affiliated (Note 2) | — | 78,795 | ||||||
Futures contracts | — | 183,962 | ||||||
Foreign currency transactions | (405,145 | ) | 21,907 | |||||
|
|
|
| |||||
Net realized gain (loss) | (14,152,297 | ) | 15,424,002 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation on: | ||||||||
Investments — unaffiliated | 103,469,047 | c | 25,826,228 | |||||
Investments — affiliated (Note 2) | (442 | ) | 338,386 | |||||
Futures contracts | — | 6,853 | ||||||
Translation of assets and liabilities in foreign currencies | (12,890 | ) | 1,515 | |||||
|
|
|
| |||||
Net change in unrealized appreciation/depreciation | 103,455,715 | 26,172,982 | ||||||
|
|
|
| |||||
Net realized and unrealized gain | 89,303,418 | 41,596,984 | ||||||
|
|
|
| |||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 91,414,452 | $ | 46,004,367 | ||||
|
|
|
|
a | Net of foreign withholding tax of $259,130 and $158,802, respectively. |
b | Net of deferred foreign capital gains taxes of $624,479 and $ —, respectively. |
c | Includes prior period adjustment for foreign capital gain taxes of $2,151,590. |
See notes to financial statements.
30 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 2,111,034 | $ | 14,581,528 | $ | 4,407,383 | $ | 8,910,122 | ||||||||
Net realized gain (loss) | (14,152,297 | ) | (15,129,495 | ) | 15,424,002 | 3,197,908 | ||||||||||
Net change in unrealized appreciation/depreciation | 103,455,715 | 133,152,000 | 26,172,982 | 48,995,699 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 91,414,452 | 132,604,033 | 46,004,367 | 61,103,729 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (8,564,855 | ) | (6,259,265 | ) | (5,118,081 | ) | (8,262,836 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (8,564,855 | ) | (6,259,265 | ) | (5,118,081 | ) | (8,262,836 | ) | ||||||||
|
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|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 70,338,412 | 117,275,876 | 44,296,509 | 196,779,133 | ||||||||||||
Cost of shares redeemed | (16,946,935 | ) | (23,717,030 | ) | (53,279,107 | ) | (28,454,357 | ) | ||||||||
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|
|
|
|
|
|
| |||||||||
Net increase (decrease) in net assets from capital share transactions | 53,391,477 | 93,558,846 | (8,982,598 | ) | 168,324,776 | |||||||||||
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|
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|
| |||||||||
INCREASE IN NET ASSETS | 136,241,074 | 219,903,614 | 31,903,688 | 221,165,669 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 627,626,112 | 407,722,498 | 509,769,119 | 288,603,450 | ||||||||||||
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|
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| |||||||||
End of period | $ | 763,867,186 | $ | 627,626,112 | $ | 541,672,807 | $ | 509,769,119 | ||||||||
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|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (1,875,378 | ) | $ | 4,578,443 | $ | 957,100 | $ | 1,667,798 | |||||||
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|
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| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,050,000 | 4,500,000 | 500,000 | 2,600,000 | ||||||||||||
Shares redeemed | (500,000 | ) | (850,000 | ) | (600,000 | ) | (400,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase (decrease) in shares outstanding | 1,550,000 | 3,650,000 | (100,000 | ) | 2,200,000 | |||||||||||
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See notes to financial statements.
FINANCIAL STATEMENTS | 31 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Frontier 100 ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | 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 | $ | 30.62 | $ | 24.20 | $ | 26.20 | $ | 37.79 | $ | 30.12 | $ | 25.25 | ||||||||||||
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.10 | 0.72 | 0.76 | 0.77 | 1.09 | 0.67 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 4.32 | 6.00 | (2.17 | ) | (8.78 | ) | 7.47 | 4.51 | ||||||||||||||||
|
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|
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|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.42 | 6.72 | (1.41 | ) | (8.01 | ) | 8.56 | 5.18 | ||||||||||||||||
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| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.40 | ) | (0.30 | ) | (0.59 | ) | (0.76 | ) | (0.89 | ) | (0.28 | ) | ||||||||||||
Net realized gain | — | — | — | (2.82 | ) | — | — | |||||||||||||||||
Return of capital | — | — | — | — | — | (0.03 | ) | |||||||||||||||||
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| |||||||||||||
Total distributions | (0.40 | ) | (0.30 | ) | (0.59 | ) | (3.58 | ) | (0.89 | ) | (0.31 | ) | ||||||||||||
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|
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|
|
| |||||||||||||
Net asset value, end of period | $ | 34.64 | $ | 30.62 | $ | 24.20 | $ | 26.20 | $ | 37.79 | $ | 30.12 | ||||||||||||
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|
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| |||||||||||||
Total return | 14.51 | %d | 27.91 | % | (5.45 | )% | (21.70 | )% | 28.56 | % | 20.54 | %d | ||||||||||||
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 763,867 | $ | 627,626 | $ | 407,722 | $ | 502,993 | $ | 799,349 | $ | 280,084 | ||||||||||||
Ratio of expenses to average net assetse | 0.83 | % | 0.80 | % | 0.79 | % | 0.79 | % | 0.79 | % | 0.79 | % | ||||||||||||
Ratio of net investment income to average net assetse | 0.62 | % | 2.65 | % | 3.03 | % | 2.43 | % | 3.07 | % | 2.32 | % | ||||||||||||
Portfolio turnover ratef | 14 | %d | 32 | % | 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and the period ended August 31, 2013 were 14%, 31%, 19%, 45%, 42% and 10%, respectively. See Note 4. |
See notes to financial statements.
32 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 82.22 | $ | 72.15 | $ | 68.95 | $ | 73.36 | $ | 61.76 | $ | 53.45 | ||||||||||||
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|
|
|
|
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|
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| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.70 | 1.74 | 1.62 | 1.64 | 1.81 | 1.40 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 6.71 | 9.90 | 3.16 | (4.49 | ) | 11.16 | 8.03 | |||||||||||||||||
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|
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|
|
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| |||||||||||||
Total from investment operations | 7.41 | 11.64 | 4.78 | (2.85 | ) | 12.97 | 9.43 | |||||||||||||||||
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| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.83 | ) | (1.57 | ) | (1.58 | ) | (1.56 | ) | (1.37 | ) | (1.12 | ) | ||||||||||||
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| |||||||||||||
Total distributions | (0.83 | ) | (1.57 | ) | (1.58 | ) | (1.56 | ) | (1.37 | ) | (1.12 | ) | ||||||||||||
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| |||||||||||||
Net asset value, end of period | $ | 88.80 | $ | 82.22 | $ | 72.15 | $ | 68.95 | $ | 73.36 | $ | 61.76 | ||||||||||||
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|
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| |||||||||||||
Total return | 9.02 | %c | 16.29 | % | 7.05 | % | (3.97 | )% | 21.07 | % | 17.84 | % | ||||||||||||
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| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 541,673 | $ | 509,769 | $ | 288,603 | $ | 206,842 | $ | 168,728 | $ | 24,704 | ||||||||||||
Ratio of expenses to average net assetsd | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | 0.24 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.62 | % | 2.25 | % | 2.34 | % | 2.25 | % | 2.57 | % | 2.34 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 3 | % | 5 | % | 5 | % | 5 | % | 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.
FINANCIAL HIGHLIGHTS | 33 |
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 |
34 | 2018 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. Odd lots may trade at lower prices than institutional round lots. |
• | Open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”). |
• | Futures contract notional values are determined based on 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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 35 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, if any, are disclosed in the Funds’ statements of assets and liabilities.
36 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 37 |
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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Frontier 100 | ||||||||||||
JPMorgan Securities LLC | $ | 2,169,392 | $ | 2,169,392 | $ | — | ||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 2,417,710 | 2,417,710 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 4,587,102 | $ | 4,587,102 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI World | ||||||||||||
Barclays Capital Inc. | $ | 94,154 | $ | 94,154 | $ | — | ||||||
BNP Paribas Prime Brokerage Inc. | 67,084 | 67,084 | — | |||||||||
BNP Paribas Prime Brokerage International Ltd. | 41,767 | 41,767 | — | |||||||||
Citigroup Global Markets Inc. | 235,128 | 235,128 | — | |||||||||
Credit Suisse Securities (USA) LLC | 136,800 | 136,800 | — | |||||||||
Goldman Sachs & Co. | 750,026 | 750,026 | — | |||||||||
Jefferies LLC | 12,682 | 12,682 | — | |||||||||
JPMorgan Securities LLC | 220,668 | 220,668 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,684,336 | 1,630,859 | (53,477 | ) | ||||||||
Mizuho Securities USA Inc. | 53,747 | 53,747 | — | |||||||||
Morgan Stanley & Co. LLC | 636,274 | 636,274 | — | |||||||||
Morgan Stanley & Co. LLC (U.S. Equity Securities Lending) | 459,792 | 459,792 | — | |||||||||
Nomura Securities International Inc. | 29,185 | 29,185 | — | |||||||||
State Street Bank & Trust Company | 954,452 | 954,452 | — | |||||||||
UBS AG | 18,375 | 18,375 | — | |||||||||
UBS Securities LLC | 57,920 | 57,920 | — | |||||||||
Wells Fargo Securities LLC | 207,064 | 207,064 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 5,659,454 | $ | 5,605,977 | $ | (53,477 | ) | ||||||
|
|
|
|
|
| |||||||
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 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).
38 | 2018 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, accrued daily and paid monthly by the Funds, 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 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 (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, the total of securities lending agent services and collateral investment fees paid were as follows:
iShares ETF | Fees Paid to BTC | |||
MSCI Frontier 100 | $ | 2,927 | ||
MSCI World | 5,724 |
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, 2018, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Frontier 100 | $ | — | $ | 2,197,333 | ||||
MSCI World | 1,517,105 | 1,801,301 |
NOTESTO FINANCIAL STATEMENTS | 39 |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Frontier 100 | $ | 132,497,529 | $ | 98,545,236 | ||||
MSCI World | 8,656,318 | 8,483,010 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Frontier 100 | $ | 12,874,379 | $ | 4,172,174 | ||||
MSCI World | 43,036,220 | 51,824,681 |
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.
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
5. | FUTURES CONTRACTS |
Each Fund’s use of futures contracts is generally limited to cash equitization. This involves the use of available cash to invest in index futures contracts in order to gain exposure to the equity markets represented in or by the Fund’s underlying index and is intended to allow the Fund to better track its underlying index. Futures contracts are standardized, exchange-traded agreements 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 market 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 notional amount of the contract at the time it was opened and the notional amount at the time it was closed. Losses may arise if the notional 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 World ETF as of February 28, 2018 and the related locations in the statements of assets and liabilities, presented by risk exposure category:
Assets | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciationa | $ | 9,468 | ||
|
| |||
a | Represents cumulative appreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities. |
Liabilities | ||||
Futures contracts: | ||||
Variation margin / Net assets consist of – net unrealized appreciationb | $ | 2,615 | ||
|
| |||
b | Represents cumulative depreciation of futures contracts as reported in the schedule of investments. Only current day’s variation margin is reported separately within the statement of assets and liabilities. |
The following table shows the realized and unrealized gains (losses) on futures contracts held by the iShares MSCI World ETF during the six months ended February 28, 2018 and the related locations in the statements of operations, presented by risk exposure category:
Net Realized Gain (Loss) | Net Change in Unrealized Appreciation/Depreciation | |||||||
Futures contracts | $ | 183,962 | $ | 6,853 | ||||
|
|
|
| |||||
NOTESTO FINANCIAL STATEMENTS | 41 |
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 iShares MSCI World ETF for the six months ended February 28, 2018:
Average notional value of contracts purchased | $ | 1,750,915 |
6. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. In addition, the
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 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, 2017, 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 | $ | 88,012,787 | ||
MSCI World | 2,268,231 |
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.
NOTESTO FINANCIAL STATEMENTS | 43 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Frontier 100 | $ | 614,943,741 | $ | 192,248,363 | $ | (52,038,596 | ) | $ | 140,209,767 | |||||||
MSCI World | 480,324,222 | 91,781,835 | (25,069,867 | ) | 66,711,968 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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. | LINE OF CREDIT |
The iShares MSCI Frontier 100 ETF, along with certain other iShares funds, is a party to a credit agreement with State Street Bank and Trust Company. Effective October 25, 2017, certain terms of the credit agreement were amended, including (i) increasing the maximum borrowing amount from $250 million to $275 million and (ii) extending the expiration date from October 25, 2017 to October 24, 2018. 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, 2018, the Fund’s maximum amount borrowed, the average borrowings and the weighted average interest rate under the credit agreement were $8,250,000, $91,160 and 2.67%, respectively.
9. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
10. | 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 | 2018 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 Frontier 100 | $ | 0.365542 | $ | — | $ | 0.035316 | $ | 0.400858 | 91 | % | — | % | 9 | % | 100 | % | ||||||||||||||||
MSCI World | 0.760195 | — | 0.065302 | 0.825497 | 92 | — | 8 | 100 |
SUPPLEMENTAL INFORMATION | 45 |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-811-0218
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Table of Contents
FEBRUARY 28, 2018
2018 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 | NASDAQ |
Ø | iShares MSCI Global Metals & Mining Producers ETF | PICK | Cboe BZX |
Ø | iShares MSCI Global Silver Miners ETF | SLVP | Cboe BZX |
Table of Contents
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Table of Contents
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 9.81%, net of fees, while the total return for the Index was 9.69%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 15.23% | 15.59% | 14.95% | 15.23% | 15.59% | 14.95% | ||||||||||||||||||||||
5 Years | 3.35% | 3.35% | 3.39% | 17.91% | 17.92% | 18.14% | ||||||||||||||||||||||
Since Inception | 4.75% | 4.83% | 4.82% | 32.58% | 33.21% | 33.16% |
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 (9/1/17) | Ending Account Value | Expenses Paid During Period a | Beginning (9/1/17) | Ending (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,098.10 | $ | 1.92 | $ | 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 2/28/18
Sector/Investment Type | Percentage of Total Investments* |
Materials | 40.11 | % | ||
Food, Beverage & Tobacco | 33.37 | |||
Capital Goods | 24.00 | |||
Investment Companies | 2.52 | |||
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| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
United States | 50.93 | % | ||
Canada | 8.60 | |||
Japan | 7.47 | |||
Norway | 6.03 | |||
Italy | 3.58 | |||
Malaysia | 2.92 | |||
Hong Kong | 2.83 | |||
India | 2.52 | |||
Germany | 1.93 | |||
Singapore | 1.89 | |||
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| |||
TOTAL | 88.70 | % | ||
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|
* | 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, 2018
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, 2018, the total return for the Fund was 12.75%, net of fees, while the total return for the Index was 12.38%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 9.64% | 9.77% | 9.01% | 9.64% | 9.77% | 9.01% | ||||||||||||||||||||||
5 Years | (0.37)% | (0.35)% | (0.57)% | (1.83)% | (1.73)% | (2.80)% | ||||||||||||||||||||||
Since Inception | (0.33)% | (0.38)% | (0.50)% | (2.01)% | (2.26)% | (2.99)% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,127.50 | $ | 2.06 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Integrated Oil & Gas | 60.89 | % | ||
Oil & Gas Exploration & Production | 27.04 | |||
Oil & Gas Refining & Marketing | 10.13 | |||
Coal & Consumable Fuels | 1.94 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
United States | 47.01 | % | ||
United Kingdom | 17.35 | |||
Canada | 7.25 | |||
France | 5.94 | |||
Russia | 3.07 | |||
China | 2.41 | |||
India | 2.21 | |||
Brazil | 2.06 | |||
Italy | 1.91 | |||
Australia | 1.86 | |||
|
| |||
TOTAL | 91.07 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL GOLD MINERS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was -13.65%, net of fees, while the total return for the Index was -13.54%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | (8.93)% | (8.52)% | (8.69)% | (8.93)% | (8.52)% | (8.69)% | ||||||||||||||||||||||
5 Years | (10.91)% | (10.80)% | (10.76)% | (43.88)% | (43.51)% | (43.42)% | ||||||||||||||||||||||
Since Inception | (15.28)% | (15.24)% | (15.13)% | (63.51)% | (63.40)% | (63.13)% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 863.50 | $ | 1.80 | $ | 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 2/28/18
Country | Percentage of Total Investments* |
Canada | 49.57 | % | ||
United States | 17.05 | |||
Australia | 13.05 | |||
South Africa | 9.47 | |||
United Kingdom | 6.97 | |||
Peru | 3.05 | |||
Turkey | 0.84 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Newmont Mining Corp. | 16.18 | % | ||
Barrick Gold Corp. (Canada) | 10.54 | |||
Newcrest Mining Ltd. (Australia) | 9.71 | |||
Goldcorp Inc. (Canada) | 8.16 | |||
Randgold Resources Ltd. (United Kingdom) | 4.37 | |||
Agnico Eagle Mines Ltd. (Canada) | 4.25 | |||
Kinross Gold Corp. (Canada) | 3.98 | |||
AngloGold Ashanti Ltd. (South Africa) | 3.34 | |||
Gold Fields Ltd. (South Africa) | 3.21 | |||
Cia. de Minas Buenaventura SAA ADR (Peru) | 3.05 | |||
|
| |||
TOTAL | 66.79 | % | ||
|
|
* | 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, 2018
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, 2018, the total return for the Fund was 12.88%, net of fees, while the total return for the Index was 13.26%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 26.76% | 27.23% | 27.13% | 26.76% | 27.23% | 27.13% | ||||||||||||||||||||||
5 Years | 0.44% | 0.46% | 0.57% | 2.21% | 2.33% | 2.86% | ||||||||||||||||||||||
Since Inception | (1.83)% | (1.95)% | (1.75)% | (10.60)% | (11.26)% | (10.20)% |
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 (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,128.80 | $ | 2.06 | $ | 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 2/28/18
Sector | Percentage of Total Investments* |
Diversified Metals & Mining | 51.35 | % | ||
Steel | 36.00 | |||
Copper | 7.65 | |||
Aluminum | 3.70 | |||
Precious Metals & Minerals | 1.30 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
United Kingdom | 26.35 | % | ||
Australia | 17.11 | |||
United States | 11.76 | |||
Japan | 7.97 | |||
Brazil | 6.41 | |||
Canada | 5.02 | |||
South Korea | 4.03 | |||
Russia | 2.86 | |||
Netherlands | 2.73 | |||
Germany | 1.93 | |||
|
| |||
TOTAL | 86.17 | % | ||
|
|
* | Excludes money market funds. |
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI GLOBAL SILVER MINERS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was -14.33%, net of fees, while the total return for the Index was -14.29%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | (15.95)% | (15.51)% | (15.92)% | (15.95)% | (15.51)% | (15.92)% | ||||||||||||||||||||||
5 Years | (10.13)% | (10.08)% | (10.16)% | (41.38)% | (41.20)% | (41.48)% | ||||||||||||||||||||||
Since Inception | (12.87)% | (12.79)% | (12.84)% | (56.73)% | (56.47)% | (56.64)% |
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 | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 856.70 | $ | 1.80 | $ | 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 2/28/18
Country | Percentage of Total Investments* |
Canada | 58.05 | % | ||
United Kingdom | 14.49 | |||
United States | 11.86 | |||
Mexico | 9.70 | |||
Peru | 4.69 | |||
China | 1.21 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST FUND HOLDINGS
As of 2/28/18
Security | Percentage of Total Investments* |
Wheaton Precious Metals Corp. (Canada) | 22.94 | % | ||
Fresnillo PLC (United Kingdom) | 11.80 | |||
Industrias Penoles SAB de CV (Mexico) | 9.71 | |||
Tahoe Resources Inc. (Canada) | 5.29 | |||
Cia. de Minas Buenaventura SAA ADR (Peru) | 4.69 | |||
Pan American Silver Corp. (Canada) | 4.46 | |||
Coeur Mining Inc. | 4.46 | |||
Hecla Mining Co. | 4.35 | |||
SSR Mining Inc. (Canada) | 3.59 | |||
First Majestic Silver Corp. (Canada) | 3.13 | |||
|
| |||
TOTAL | 74.42 | % | ||
|
|
* | 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, 2017 and held through February 28, 2018, 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 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 95.79% |
| |||||||
AUSTRALIA — 1.58% |
| |||||||
Australian Agricultural Co. Ltd.a,b | 34,232 | $ | 29,477 | |||||
Costa Group Holdings Ltd. | 23,056 | 130,795 | ||||||
GrainCorp Ltd. Class A | 18,656 | 115,865 | ||||||
Inghams Group Ltd. | 14,542 | 41,928 | ||||||
Nufarm Ltd./Australia | 19,096 | 123,211 | ||||||
Select Harvests Ltd. | 7,150 | 27,580 | ||||||
Tassal Group Ltd. | 14,608 | 43,257 | ||||||
|
| |||||||
512,113 | ||||||||
BRAZIL — 0.37% |
| |||||||
Sao Martinho SA | 13,200 | 74,558 | ||||||
SLC Agricola SA | 4,400 | 47,023 | ||||||
|
| |||||||
121,581 | ||||||||
CANADA — 8.57% |
| |||||||
Ag Growth International Inc. | 1,474 | 64,397 | ||||||
Clearwater Seafoods Inc. | 3,960 | 15,298 | ||||||
Nutrien Ltd.a | 54,256 | 2,669,716 | ||||||
Rogers Sugar Inc. | 5,962 | 28,801 | ||||||
|
| |||||||
2,778,212 | ||||||||
CHINA — 0.89% |
| |||||||
China Agri-Industries Holdings Ltd. | 176,200 | 75,881 | ||||||
China BlueChemical Ltd. Class H | 176,000 | 53,304 | ||||||
China Huishan Dairy Holdings Co. Ltd.a,c | 295,050 | — | ||||||
China Modern Dairy Holdings Ltd.a | 110,000 | 19,680 | ||||||
China Shengmu Organic Milk Ltd.a,b,d | 286,000 | 43,127 | ||||||
COFCO Meat Holdings Ltd.a,b | 176,000 | 31,263 | ||||||
First Tractor Co. Ltd. Class H | 44,000 | 17,431 | ||||||
Hubei Sanonda Co. Ltd. Class Ba | 17,900 | 18,025 | ||||||
Sinofert Holdings Ltd.a,b | 220,000 | 31,206 | ||||||
|
| |||||||
289,917 | ||||||||
FINLAND — 0.10% |
| |||||||
Ponsse OYJ | 946 | 31,787 | ||||||
|
| |||||||
31,787 | ||||||||
FRANCE — 0.18% |
| |||||||
Naturexa,b | 484 | 57,496 | ||||||
|
| |||||||
57,496 | ||||||||
GERMANY — 1.92% |
| |||||||
K+S AG Registeredb | 16,302 | 456,309 | ||||||
KWS Saat SE | 154 | 63,203 | ||||||
Suedzucker AGb | 5,698 | 102,576 | ||||||
|
| |||||||
622,088 |
Security | Shares | Value | ||||||
HONG KONG — 2.82% |
| |||||||
WH Group Ltd.d | 737,000 | $ | 913,562 | |||||
|
| |||||||
913,562 | ||||||||
INDONESIA — 1.07% |
| |||||||
Charoen Pokphand Indonesia Tbk PT | 616,000 | 154,129 | ||||||
Eagle High Plantations Tbk PTa | 1,058,200 | 17,857 | ||||||
Inti Agri Resources Tbk PTa | 2,675,200 | 43,975 | ||||||
Japfa Comfeed Indonesia Tbk PT | 415,800 | 48,994 | ||||||
Perusahaan Perkebunan London Sumatra Indonesia Tbk PT | 281,600 | 28,470 | ||||||
Salim Ivomas Pratama Tbk PT | 184,800 | 7,057 | ||||||
Sawit Sumbermas Sarana Tbk PT | 195,800 | 20,579 | ||||||
Tunas Baru Lampung Tbk PT | 279,400 | 24,590 | ||||||
|
| |||||||
345,651 | ||||||||
IRELAND — 0.20% |
| |||||||
Origin Enterprises PLC | 9,416 | 65,460 | ||||||
|
| |||||||
65,460 | ||||||||
ISRAEL — 0.93% |
| |||||||
Israel Chemicals Ltd. | 55,858 | 239,859 | ||||||
Israel Corp. Ltd. (The)a | 308 | 60,721 | ||||||
|
| |||||||
300,580 | ||||||||
ITALY — 3.57% |
| |||||||
CNH Industrial NV | 85,118 | 1,157,009 | ||||||
|
| |||||||
1,157,009 | ||||||||
JAPAN — 7.43% |
| |||||||
Chubu Shiryo Co. Ltd. | 2,200 | 42,039 | ||||||
Hokuto Corp. | 2,200 | 43,586 | ||||||
Iseki & Co. Ltd. | 2,200 | 45,400 | ||||||
Kubota Corp. | 88,000 | 1,605,698 | ||||||
Kumiai Chemical Industry Co. Ltd. | 6,600 | 41,998 | ||||||
Maruha Nichiro Corp. | 4,400 | 130,303 | ||||||
Mitsui Sugar Co. Ltd. | 800 | 32,801 | ||||||
NH Foods Ltd. | 14,000 | 315,543 | ||||||
Nihon Nohyaku Co. Ltd. | 4,400 | 26,720 | ||||||
Nippon Beet Sugar Manufacturing Co. Ltd. | 700 | 15,515 | ||||||
Sakata Seed Corp.b | 2,200 | 76,697 | ||||||
YAMABIKO Corp. | 2,200 | 34,473 | ||||||
|
| |||||||
2,410,773 | ||||||||
MALAYSIA — 2.91% |
| |||||||
Felda Global Ventures Holdings Bhdb | 123,200 | 61,018 | ||||||
Genting Plantations Bhdb | 19,800 | 51,054 | ||||||
IOI Corp. Bhd | 182,600 | 218,635 | ||||||
Kuala Lumpur Kepong Bhd | 37,400 | 239,085 |
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
QL Resources Bhdb | 80,105 | $ | 101,026 | |||||
Sime Darby Plantation Bhda | 200,200 | 273,442 | ||||||
|
| |||||||
944,260 | ||||||||
MEXICO — 0.20% |
| |||||||
Industrias Bachoco SAB de CV Series B | 13,200 | 64,128 | ||||||
|
| |||||||
64,128 | ||||||||
NETHERLANDS — 0.53% |
| |||||||
ForFarmers NV | 1,430 | 15,732 | ||||||
OCI NVa,b | 6,556 | 155,323 | ||||||
|
| |||||||
171,055 | ||||||||
NORWAY — 6.00% |
| |||||||
Austevoll Seafood ASA | 7,546 | 67,930 | ||||||
Bakkafrost P/F | 3,520 | 178,519 | ||||||
Grieg Seafood ASA | 4,356 | 38,523 | ||||||
Leroy Seafood Group ASA | 25,674 | 154,068 | ||||||
Marine Harvest ASA | 34,055 | 663,432 | ||||||
Norway Royal Salmon ASA | 1,248 | 23,893 | ||||||
Salmar ASA | 4,290 | 153,387 | ||||||
Yara International ASA | 14,960 | 667,093 | ||||||
|
| |||||||
1,946,845 | ||||||||
PAKISTAN — 0.45% |
| |||||||
Engro Corp. Ltd./Pakistan | 22,000 | 59,834 | ||||||
Engro Fertilizers Ltd. | 31,967 | 20,005 | ||||||
Fauji Fertilizer Bin Qasim Ltd. | 33,000 | 10,851 | ||||||
Fauji Fertilizer Co. Ltd. | 35,100 | 28,154 | ||||||
Millat Tractors Ltd. | 2,200 | 27,369 | ||||||
|
| |||||||
146,213 | ||||||||
POLAND — 0.20% |
| |||||||
Grupa Azoty SA | 3,916 | 66,395 | ||||||
|
| |||||||
66,395 | ||||||||
RUSSIA — 0.53% |
| |||||||
PhosAgro PJSC GDR | 10,076 | 155,170 | ||||||
Ros Agro PLC GDR | 1,782 | 18,217 | ||||||
|
| |||||||
173,387 | ||||||||
SINGAPORE — 1.88% |
| |||||||
Bumitama Agri Ltd. | 41,800 | 23,067 | ||||||
China XLX Fertiliser Ltd. | 44,000 | 20,017 | ||||||
First Resources Ltd.b | 48,400 | 65,126 | ||||||
Golden Agri-Resources Ltd. | 598,400 | 162,848 | ||||||
Indofood Agri Resources Ltd. | 13,200 | 3,293 | ||||||
Japfa Ltd. | 37,400 | 13,288 | ||||||
Wilmar International Ltd. | 132,000 | 322,304 | ||||||
|
| |||||||
609,943 |
Security | Shares | Value | ||||||
SOUTH AFRICA — 0.58% |
| |||||||
Astral Foods Ltd. | 3,432 | $ | 82,865 | |||||
Oceana Group Ltd. | 3,190 | 21,891 | ||||||
Tongaat Hulett Ltd. | 9,042 | 82,685 | ||||||
|
| |||||||
187,441 | ||||||||
SOUTH KOREA — 0.47% |
| |||||||
Dongwon Industries Co. Ltd. | 132 | 37,239 | ||||||
Easy Bio Inc.a | 3,432 | 23,801 | ||||||
Farmsco | 1,364 | 15,430 | ||||||
Jeil Holdings Co. Ltd. | 1,870 | 28,148 | ||||||
Namhae Chemical Corp. | 2,992 | 33,984 | ||||||
Sajo Industries Co. Ltd. | 198 | 12,872 | ||||||
|
| |||||||
151,474 | ||||||||
SWEDEN — 0.10% |
| |||||||
Scandi Standard AB | 4,554 | 33,473 | ||||||
|
| |||||||
33,473 | ||||||||
TAIWAN — 0.34% |
| |||||||
Charoen Pokphand Enterprise | 22,000 | 50,638 | ||||||
Taiwan Fertilizer Co. Ltd. | 44,000 | 58,701 | ||||||
|
| |||||||
109,339 | ||||||||
THAILAND — 0.72% |
| |||||||
Charoen Pokphand Foods PCL NVDR | 236,500 | 172,534 | ||||||
GFPT PCL NVDRb | 53,900 | 22,494 | ||||||
Khon Kaen Sugar Industry PCL NVDRb | 160,754 | 19,666 | ||||||
Thaifoods Group PCL NVDRb | 127,600 | 20,325 | ||||||
|
| |||||||
235,019 | ||||||||
TURKEY — 0.09% |
| |||||||
Gubre Fabrikalari TASa | 13,332 | 15,866 | ||||||
Turk Traktor ve Ziraat Makineleri AS | 682 | 13,904 | ||||||
|
| |||||||
29,770 | ||||||||
UNITED KINGDOM — 0.43% |
| |||||||
Sirius Minerals PLCa | 369,072 | 139,845 | ||||||
|
| |||||||
139,845 | ||||||||
UNITED STATES — 50.73% |
| |||||||
AGCO Corp. | 5,324 | 354,578 | ||||||
AgroFresh Solutions Inc.a | 2,508 | 19,412 | ||||||
American Vanguard Corp.b | 2,640 | 51,480 | ||||||
Archer-Daniels-Midland Co. | 47,124 | 1,956,588 | ||||||
Bunge Ltd. | 11,704 | 882,833 | ||||||
Cal-Maine Foods Inc.a | 2,530 | 107,778 | ||||||
CF Industries Holdings Inc. | 19,756 | 814,737 | ||||||
Darling Ingredients Inc.a | 13,904 | 252,914 | ||||||
Deere & Co. | 22,880 | 3,680,706 | ||||||
FMC Corp. | 11,308 | 887,452 |
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
Fresh Del Monte Produce Inc. | 2,662 | $ | 124,262 | |||||
Ingredion Inc. | 5,940 | 776,002 | ||||||
Lindsay Corp. | 968 | 85,610 | ||||||
Monsanto Co. | 36,718 | 4,529,900 | ||||||
Mosaic Co. (The) | 28,292 | 744,645 | ||||||
Sanderson Farms Inc. | 1,716 | 211,325 | ||||||
Scotts Miracle-Gro Co. (The) Class A | 3,740 | 336,002 | ||||||
Titan International Inc. | 4,488 | 57,716 | ||||||
Toro Co. (The) | 9,042 | 574,800 | ||||||
|
| |||||||
16,448,740 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $29,822,470) |
| 31,063,556 | ||||||
INVESTMENT COMPANIES — 2.51% |
| |||||||
INDIA — 2.51% |
| |||||||
iShares India 50 ETFb,e | 22,745 | 813,588 | ||||||
|
| |||||||
813,588 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES | ||||||||
(Cost: $681,043) | 813,588 | |||||||
PREFERRED STOCKS — 1.29% |
| |||||||
CHILE — 1.29% |
| |||||||
Sociedad Quimica y Minera de Chile SA Series B, Preference Shares | 8,250 | 418,181 | ||||||
|
| |||||||
418,181 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $242,731) | 418,181 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 6.26% |
| |||||||
MONEY MARKET FUNDS — 6.26% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 2,012,534 | $ | 2,012,735 | |||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%e,f | 16,876 | 16,876 | ||||||
|
| |||||||
2,029,611 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $2,029,582) |
| 2,029,611 | ||||||
|
| |||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $32,775,826) | 34,324,936 | |||||||
Other Assets, Less Liabilities — (5.85)% |
| (1,898,393 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 32,426,543 | |||||
|
|
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
d | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 1,885,655 | 126,879 | b | — | 2,012,534 | $ | 2,012,735 | $ | 10,838 | c | $ | (164 | ) | $ | (98 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 37,102 | — | (20,226 | )b | 16,876 | 16,876 | 265 | — | — | |||||||||||||||||||||||
iShares India 50 ETF | 22,680 | 3,765 | (3,700 | ) | 22,745 | 813,588 | 1,308 | 9,128 | (650 | ) | ||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 2,843,199 | $ | 12,411 | $ | 8,964 | $ | (748 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL AGRICULTURE PRODUCERS ETF
February 28, 2018
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, 2018. 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 | $ | 31,063,556 | $ | — | $ | 0 | a | $ | 31,063,556 | |||||||
Investment companies | 813,588 | — | — | 813,588 | ||||||||||||
Preferred stocks | 418,181 | — | — | 418,181 | ||||||||||||
Money market funds | 2,029,611 | — | — | 2,029,611 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 34,324,936 | $ | — | $ | 0 | a | $ | 34,324,936 | |||||||
|
|
|
|
|
|
|
| |||||||||
a | Rounds to less than $1. |
See notes to financial statements.
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.04% |
| |||||||
AUSTRALIA — 1.84% |
| |||||||
Beach Energy Ltd. | 26,560 | $ | 27,527 | |||||
Karoon Gas Australia Ltd.a,b | 4,192 | 3,757 | ||||||
Oil Search Ltd. | 20,080 | 118,137 | ||||||
Santos Ltd.a | 26,272 | 103,181 | ||||||
Washington H Soul Pattinson & Co. Ltd. | 1,568 | 21,810 | ||||||
Whitehaven Coal Ltd. | 7,216 | 24,573 | ||||||
Woodside Petroleum Ltd. | 13,536 | 307,789 | ||||||
|
| |||||||
606,774 | ||||||||
AUSTRIA — 0.35% |
| |||||||
OMV AG | 2,000 | 114,891 | ||||||
|
| |||||||
114,891 | ||||||||
BRAZIL — 0.95% |
| |||||||
Petroleo Brasileiro SAa | 43,200 | 307,835 | ||||||
QGEP Participacoes SA | 1,600 | 4,605 | ||||||
|
| |||||||
312,440 | ||||||||
CANADA — 7.20% |
| |||||||
Advantage Oil & Gas Ltd.a,b | 2,768 | 7,842 | ||||||
ARC Resources Ltd. | 5,360 | 51,787 | ||||||
Athabasca Oil Corp.a,b | 4,576 | 3,750 | ||||||
Baytex Energy Corp.a | 3,074 | 7,845 | ||||||
Birchcliff Energy Ltd. | 2,880 | 6,923 | ||||||
Bonavista Energy Corp. | 3,232 | 3,355 | ||||||
Bonterra Energy Corp. | 448 | 4,689 | ||||||
Cameco Corp. | 5,728 | 50,604 | ||||||
Canacol Energy Ltd.a | 1,184 | 3,909 | ||||||
Canadian Natural Resources Ltd. | 15,504 | 480,965 | ||||||
Cardinal Energy Ltd.b | 2,560 | 8,291 | ||||||
Cenovus Energy Inc. | 14,720 | 107,297 | ||||||
Crescent Point Energy Corp. | 8,048 | 57,972 | ||||||
Crew Energy Inc.a | 2,832 | 3,404 | ||||||
Encana Corp. | 13,680 | 143,702 | ||||||
Enerplus Corp. | 3,360 | 37,209 | ||||||
Freehold Royalties Ltd. | 1,424 | 13,936 | ||||||
Husky Energy Inc.a | 5,136 | 67,900 | ||||||
Imperial Oil Ltd. | 4,128 | 111,951 | ||||||
Kelt Exploration Ltd.a | 2,023 | 10,767 | ||||||
MEG Energy Corp.a,b | 3,072 | 12,083 | ||||||
NexGen Energy Ltd.a,b | 4,737 | 9,945 | ||||||
NuVista Energy Ltd.a | 2,336 | 14,566 | ||||||
Obsidian Energy Ltd.a,b | 6,080 | 5,599 | ||||||
Painted Pony Energy Ltd.a,b | 1,552 | 2,180 | ||||||
Paramount Resources Ltd. Class Aa,b | 1,072 | 14,423 |
Security | Shares | Value | ||||||
Parex Resources Inc.a | 2,048 | $ | 28,594 | |||||
Pengrowth Energy Corp.a,b | 6,672 | 4,842 | ||||||
Peyto Exploration & Development Corp. | 2,608 | 20,740 | ||||||
PrairieSky Royalty Ltd. | 3,056 | 67,900 | ||||||
Raging River Exploration Inc.a | 3,088 | 14,966 | ||||||
Seven Generations Energy Ltd. Class Aa | 3,720 | 43,548 | ||||||
Spartan Energy Corp.a | 2,800 | 11,931 | ||||||
Suncor Energy Inc. | 23,296 | 767,958 | ||||||
Surge Energy Inc. | 4,352 | 6,521 | ||||||
TORC Oil & Gas Ltd. | 1,888 | 9,003 | ||||||
Tourmaline Oil Corp.a | 3,424 | 49,890 | ||||||
Ultra Petroleum Corp.a,b | 2,560 | 9,446 | ||||||
Vermilion Energy Inc. | 1,712 | 56,477 | ||||||
Whitecap Resources Inc. | 6,128 | 36,107 | ||||||
|
| |||||||
2,370,817 | ||||||||
CHINA — 2.39% |
| |||||||
China Shenhua Energy Co. Ltd. Class H | 48,000 | 136,480 | ||||||
CNOOC Ltd. | 256,000 | 372,944 | ||||||
Inner Mongolia Yitai Coal Co. Ltd. Class B | 16,000 | 22,976 | ||||||
MIE Holdings Corp.a | 32,000 | 2,086 | ||||||
PetroChina Co. Ltd. Class H | 288,000 | 203,524 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 32,000 | 47,927 | ||||||
|
| |||||||
785,937 | ||||||||
COLOMBIA — 0.20% |
| |||||||
Ecopetrol SA | 74,416 | 65,117 | ||||||
|
| |||||||
65,117 | ||||||||
FINLAND — 0.40% |
| |||||||
Neste OYJ | 1,776 | 130,486 | ||||||
|
| |||||||
130,486 | ||||||||
FRANCE — 5.90% |
| |||||||
Esso SA Francaisea | 48 | 2,719 | ||||||
Etablissements Maurel et Proma | 1,024 | 4,390 | ||||||
TOTAL SA | 33,760 | 1,934,009 | ||||||
|
| |||||||
1,941,118 | ||||||||
GREECE — 0.10% |
| |||||||
Hellenic Petroleum SA | 739 | 7,436 | ||||||
Motor Oil Hellas Corinth Refineries SA | 1,065 | 24,991 | ||||||
|
| |||||||
32,427 | ||||||||
HUNGARY — 0.18% |
| |||||||
MOL Hungarian Oil & Gas PLC | 5,344 | 58,452 | ||||||
|
| |||||||
58,452 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
INDIA — 2.20% |
| |||||||
Reliance Industries Ltd. GDRc | 24,800 | $ | 722,920 | |||||
|
| |||||||
722,920 | ||||||||
INDONESIA — 0.51% |
| |||||||
Adaro Energy Tbk PT | 214,400 | 36,647 | ||||||
Bukit Asam Persero Tbk PT | 56,000 | 12,912 | ||||||
Bumi Resources Tbk PTa | 387,200 | 8,900 | ||||||
Delta Dunia Makmur Tbk PTa | 72,000 | 5,813 | ||||||
Harum Energy Tbk PTa | 12,800 | 3,165 | ||||||
Indika Energy Tbk PTa | 22,400 | 7,038 | ||||||
Indo Tambangraya Megah Tbk PT | 4,800 | 10,753 | ||||||
Medco Energi Internasional Tbk PTa | 119,466 | 13,686 | ||||||
Sugih Energy Tbk PTa | 618,000 | 2,248 | ||||||
United Tractors Tbk PT | 25,600 | 66,288 | ||||||
|
| |||||||
167,450 | ||||||||
ISRAEL — 0.16% |
| |||||||
Jerusalem Oil Explorationa | 128 | 7,641 | ||||||
Naphtha Israel Petroleum Corp. Ltd. | 977 | 6,506 | ||||||
Oil Refineries Ltd. | 29,424 | 14,041 | ||||||
Paz Oil Co. Ltd.a | 144 | 23,540 | ||||||
|
| |||||||
51,728 | ||||||||
ITALY — 1.89% |
| |||||||
Eni SpA | 36,496 | 610,442 | ||||||
Saras SpA | 6,176 | 13,009 | ||||||
|
| |||||||
623,451 | ||||||||
JAPAN — 1.77% |
| |||||||
Cosmo Energy Holdings Co. Ltd. | 1,600 | 56,530 | ||||||
Idemitsu Kosan Co. Ltd. | 1,600 | 61,853 | ||||||
Inpex Corp. | 14,400 | 176,989 | ||||||
Japan Petroleum Exploration Co. Ltd. | 100 | 2,371 | ||||||
JXTG Holdings Inc. | 43,200 | 265,584 | ||||||
Showa Shell Sekiyu KK | 1,600 | 20,887 | ||||||
|
| |||||||
584,214 | ||||||||
MALAYSIA — 0.02% |
| |||||||
Hengyuan Refining Co. Bhda | 1,600 | 5,376 | ||||||
|
| |||||||
5,376 | ||||||||
NEW ZEALAND — 0.02% |
| |||||||
New Zealand Refining Co. Ltd. (The) | 4,096 | 7,100 | ||||||
|
| |||||||
7,100 | ||||||||
NORWAY — 1.29% |
| |||||||
Aker BP ASA | 1,552 | 38,883 | ||||||
DNO ASAa,b | 9,120 | 12,488 | ||||||
Statoil ASA | 16,112 | 372,306 | ||||||
|
| |||||||
423,677 |
Security | Shares | Value | ||||||
PAKISTAN — 0.09% |
| |||||||
Oil & Gas Development Co. Ltd. | 12,800 | $ | 18,899 | |||||
Pakistan Oilfields Ltd. | 1,676 | 9,469 | ||||||
|
| |||||||
28,368 | ||||||||
PHILIPPINES — 0.03% |
| |||||||
Petron Corp. | 60,800 | 10,729 | ||||||
|
| |||||||
10,729 | ||||||||
POLAND — 0.45% |
| |||||||
Grupa Lotos SA | 1,392 | 22,821 | ||||||
Lubelski Wegiel Bogdanka SA | 120 | 1,842 | ||||||
Polski Koncern Naftowy ORLEN SA | 4,368 | 123,032 | ||||||
|
| |||||||
147,695 | ||||||||
PORTUGAL — 0.38% |
| |||||||
Galp Energia SGPS SA | 6,992 | 126,808 | ||||||
|
| |||||||
126,808 | ||||||||
RUSSIA — 2.88% |
| |||||||
LUKOIL PJSC | 4,160 | 279,058 | ||||||
LUKOIL PJSC ADR | 1,760 | 118,096 | ||||||
Novatek PJSC GDRd | 1,296 | 176,904 | ||||||
Rosneft Oil Co. PJSC | 9,280 | 54,479 | ||||||
Rosneft Oil Co. PJSC GDR | 7,130 | 41,710 | ||||||
Surgutneftegas OJSC | 54,400 | 27,747 | ||||||
Surgutneftegas OJSC ADR | 4,232 | 21,160 | ||||||
Tatneft PJSC Class S | 21,600 | 227,904 | ||||||
|
| |||||||
947,058 | ||||||||
SOUTH AFRICA — 0.12% |
| |||||||
Exxaro Resources Ltd. | 3,600 | 40,386 | ||||||
|
| |||||||
40,386 | ||||||||
SOUTH KOREA — 0.78% |
| |||||||
S-Oil Corp. | 672 | 76,639 | ||||||
SK Innovation Co. Ltd. | 944 | 179,141 | ||||||
|
| |||||||
255,780 | ||||||||
SPAIN — 0.99% |
| |||||||
Repsol SA | 18,152 | 325,555 | ||||||
|
| |||||||
325,555 | ||||||||
SWEDEN — 0.18% |
| |||||||
Lundin Petroleum ABa | 2,576 | 60,735 | ||||||
|
| |||||||
60,735 | ||||||||
THAILAND — 0.67% |
| |||||||
Bangchak Corp. PCL NVDR | 8,000 | 10,322 | ||||||
Banpu PCL NVDR | 33,600 | 25,155 | ||||||
Esso Thailand PCL NVDRa | 17,600 | 9,980 | ||||||
IRPC PCL NVDR | 172,800 | 44,865 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
PTT Exploration & Production PCL NVDR | 20,831 | $ | 76,648 | |||||
Thai Oil PCL NVDR | 16,000 | 52,501 | ||||||
|
| |||||||
219,471 | ||||||||
TURKEY — 0.16% |
| |||||||
Tupras Turkiye Petrol Rafinerileri AS | 1,760 | 54,051 | ||||||
|
| |||||||
54,051 | ||||||||
UNITED ARAB EMIRATES — 0.03% |
| |||||||
Dana Gas PJSCa | 44,624 | 9,112 | ||||||
|
| |||||||
9,112 | ||||||||
UNITED KINGDOM — 17.23% |
| |||||||
Amerisur Resources PLCa,b | 19,808 | 4,449 | ||||||
BP PLC | 277,856 | 1,819,084 | ||||||
Cairn Energy PLCa | 8,144 | 21,006 | ||||||
EnQuest PLC ADRa,b | 14,368 | 5,929 | ||||||
Faroe Petroleum PLCa | 5,664 | 8,210 | ||||||
Hurricane Energy PLCa,b | 18,992 | 8,264 | ||||||
Nostrum Oil & Gas PLCa | 1,072 | 4,269 | ||||||
Ophir Energy PLCa | 12,192 | 8,836 | ||||||
Premier Oil PLCa,b | 7,120 | 7,137 | ||||||
Royal Dutch Shell PLC Class A ADR | 63,472 | 2,012,338 | ||||||
Royal Dutch Shell PLC Class B | 53,072 | 1,697,238 | ||||||
SOCO International PLC | 3,488 | 4,518 | ||||||
Sound Energy PLCa,b | 8,256 | 5,130 | ||||||
Stobart Group Ltd. | 4,272 | 14,038 | ||||||
Tullow Oil PLCa | 20,272 | 50,780 | ||||||
|
| |||||||
5,671,226 | ||||||||
UNITED STATES — 46.68% |
| |||||||
Anadarko Petroleum Corp. | 7,776 | 443,543 | ||||||
Andeavor | 2,112 | 189,277 | ||||||
Antero Resources Corp.a,b | 3,232 | 60,794 | ||||||
Apache Corp. | 5,376 | 183,590 | ||||||
Arch Coal Inc. Class A | 272 | 26,033 | ||||||
Bill Barrett Corp.a | 1,280 | 5,798 | ||||||
Bonanza Creek Energy Inc.a | 224 | 6,279 | ||||||
Cabot Oil & Gas Corp. | 6,464 | 156,170 | ||||||
California Resources Corp.a | 480 | 6,773 | ||||||
Callon Petroleum Co.a | 2,928 | 30,949 | ||||||
Carrizo Oil & Gas Inc.a,b | 1,168 | 16,410 | ||||||
Centennial Resource Development Inc./DE Class Aa | 1,632 | 31,139 | ||||||
Chesapeake Energy Corp.a,b | 13,008 | 36,683 | ||||||
Chevron Corp. | 26,672 | 2,985,130 | ||||||
Cimarex Energy Co.b | 1,344 | 129,145 |
Security | Shares | Value | ||||||
CNX Resources Corp.a | 2,576 | $ | 41,396 | |||||
Concho Resources Inc.a | 2,080 | 313,664 | ||||||
ConocoPhillips | 17,008 | 923,704 | ||||||
CONSOL Energy Inc.a | 288 | 9,127 | ||||||
Continental Resources Inc./OKa,b | 1,312 | 62,333 | ||||||
CVR Energy Inc. | 224 | 6,635 | ||||||
Delek U.S. Holdings Inc. | 1,008 | 34,393 | ||||||
Denbury Resources Inc.a | 5,824 | 12,755 | ||||||
Devon Energy Corp. | 7,024 | 215,426 | ||||||
Diamondback Energy Inc.a | 1,264 | 157,545 | ||||||
Eclipse Resources Corp.a,b | 1,008 | 1,623 | ||||||
Energen Corp.a | 1,408 | 77,032 | ||||||
EOG Resources Inc. | 8,096 | 821,096 | ||||||
EQT Corp. | 3,616 | 181,921 | ||||||
Extraction Oil & Gas Inc.a | 1,424 | 17,202 | ||||||
Exxon Mobil Corp. | 59,728 | 4,523,799 | ||||||
Gran Tierra Energy Inc.a,b | 5,168 | 12,920 | ||||||
Gulfport Energy Corp.a | 2,192 | 21,262 | ||||||
Halcon Resources Corp.a,b | 1,776 | 10,745 | ||||||
Hess Corp. | 4,016 | 182,407 | ||||||
HollyFrontier Corp. | 2,320 | 99,366 | ||||||
Jagged Peak Energy Inc.a | 768 | 9,446 | ||||||
Kosmos Energy Ltd.a,b | 3,200 | 17,248 | ||||||
Laredo Petroleum Inc.a,b | 2,272 | 19,062 | ||||||
Marathon Oil Corp. | 11,936 | 173,311 | ||||||
Marathon Petroleum Corp. | 6,864 | 439,708 | ||||||
Matador Resources Co.a | 1,312 | 37,864 | ||||||
Murphy Oil Corp. | 2,432 | 61,651 | ||||||
Newfield Exploration Co.a | 2,928 | 68,310 | ||||||
Noble Energy Inc. | 6,544 | 195,207 | ||||||
Oasis Petroleum Inc.a | 3,600 | 28,368 | ||||||
Occidental Petroleum Corp. | 10,816 | 709,530 | ||||||
Par Pacific Holdings Inc.a | 272 | 4,629 | ||||||
Parsley Energy Inc. Class Aa | 3,152 | 79,683 | ||||||
PBF Energy Inc. Class A | 1,584 | 46,427 | ||||||
PDC Energy Inc.a | 816 | 42,864 | ||||||
Peabody Energy Corp. | 1,280 | 52,109 | ||||||
Pioneer Natural Resources Co. | 2,384 | 405,828 | ||||||
QEP Resources Inc.a | 3,312 | 28,549 | ||||||
Range Resources Corp. | 3,504 | 46,568 | ||||||
Resolute Energy Corp.a,b | 240 | 7,800 | ||||||
Ring Energy Inc.a | 768 | 10,422 | ||||||
RSP Permian Inc.a,b | 1,696 | 64,974 | ||||||
Sanchez Energy Corp.a,b | 705 | 2,066 | ||||||
SandRidge Energy Inc.a | 448 | 6,299 |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
SM Energy Co. | 1,344 | $ | 24,649 | |||||
Southwestern Energy Co.a | 7,088 | 25,304 | ||||||
SRC Energy Inc.a | 3,104 | 27,532 | ||||||
Stone Energy Corp.a,b | 256 | 7,747 | ||||||
Tellurian Inc.a | 800 | 6,984 | ||||||
Valero Energy Corp. | 6,192 | 559,881 | ||||||
Whiting Petroleum Corp.a,b | 1,260 | 34,285 | ||||||
WildHorse Resource Development Corp.a | 272 | 4,619 | ||||||
WPX Energy Inc.a | 5,712 | 80,711 | ||||||
|
| |||||||
15,363,699 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $33,051,219) | 32,265,048 | |||||||
PREFERRED STOCKS — 1.26% |
| |||||||
BRAZIL — 1.09% |
| |||||||
Petroleo Brasileiro SA, Preference Shares | 54,400 | 359,345 | ||||||
|
| |||||||
359,345 | ||||||||
RUSSIA — 0.17% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 105,600 | 55,335 | ||||||
|
| |||||||
55,335 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $216,597) | 414,680 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 1.68% |
| |||||||
MONEY MARKET FUNDS — 1.68% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 542,041 | $ | 542,095 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 11,321 | 11,321 | ||||||
|
| |||||||
553,416 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $553,385) |
| 553,416 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $33,821,201) |
| 33,233,144 | ||||||
Other Assets, Less Liabilities — (0.98)% |
| (321,486 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 32,911,658 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL ENERGY PRODUCERS ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 656,714 | — | (114,673 | )b | 542,041 | $ | 542,095 | $ | 4,607 | c | $ | (85 | ) | $ | (63 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 25,717 | — | (14,396 | )b | 11,321 | 11,321 | 220 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 553,416 | $ | 4,827 | $ | (85 | ) | $ | (63 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 32,265,048 | $ | — | $ | — | $ | 32,265,048 | ||||||||
Preferred stocks | 414,680 | — | — | 414,680 | ||||||||||||
Money market funds | 553,416 | — | — | 553,416 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 33,233,144 | $ | — | $ | — | $ | 33,233,144 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL GOLD MINERS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.90% |
| |||||||
AUSTRALIA — 13.04% |
| |||||||
Newcrest Mining Ltd. | 1,808,441 | $ | 29,946,094 | |||||
Resolute Mining Ltd. | 2,459,541 | 2,137,006 | ||||||
St. Barbara Ltd. | 1,892,838 | 6,047,476 | ||||||
Westgold Resources Ltd.a,b | 1,698,678 | 2,117,912 | ||||||
|
| |||||||
40,248,488 | ||||||||
CANADA — 49.52% |
| |||||||
Agnico Eagle Mines Ltd. | 343,074 | 13,090,013 | ||||||
Alacer Gold Corp.a | 1,700,811 | 2,681,265 | ||||||
Alamos Gold Inc. Class A | 1,315,338 | 6,692,944 | ||||||
Barrick Gold Corp. | 2,815,971 | 32,481,407 | ||||||
Centerra Gold Inc.a | 838,680 | 4,398,431 | ||||||
China Gold International Resources Corp. Ltd.a | 1,508,105 | 3,472,049 | ||||||
Eldorado Gold Corp. | 2,581,560 | 2,780,312 | ||||||
Endeavour Mining Corp.a,b | 216,096 | 4,081,261 | ||||||
Goldcorp Inc. | 2,007,118 | 25,156,526 | ||||||
Guyana Goldfields Inc.a,b | 586,651 | 2,280,034 | ||||||
IAMGOLD Corp.a | 1,500,447 | 7,904,177 | ||||||
Kinross Gold Corp.a | 3,414,310 | 12,283,895 | ||||||
Kirkland Lake Gold Ltd. | 573,982 | 9,021,733 | ||||||
New Gold Inc.a,b | 2,048,818 | 5,164,617 | ||||||
Premier Gold Mines Ltd.a | 516,718 | 1,266,238 | ||||||
SEMAFO Inc.a | 1,435,799 | 3,832,234 | ||||||
SSR Mining Inc.a | 364,304 | 3,036,459 | ||||||
Tahoe Resources Inc.b | 898,474 | 4,403,494 | ||||||
Yamana Gold Inc. | 3,015,018 | 8,776,694 | ||||||
|
| |||||||
152,803,783 | ||||||||
PERU — 3.05% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 604,300 | 9,396,865 | ||||||
|
| |||||||
9,396,865 | ||||||||
SOUTH AFRICA — 9.46% |
| |||||||
AngloGold Ashanti Ltd. | 1,125,235 | 10,312,648 | ||||||
Gold Fields Ltd. | 2,552,407 | 9,905,815 | ||||||
Harmony Gold Mining Co. Ltd. | 1,734,023 | 3,469,883 | ||||||
Sibanye Gold Ltd. | 5,716,559 | 5,496,808 | ||||||
|
| |||||||
29,185,154 | ||||||||
TURKEY — 0.84% |
| |||||||
Koza Altin Isletmeleri ASa | 301,188 | 2,593,740 | ||||||
|
| |||||||
2,593,740 |
Security | Shares | Value | ||||||
UNITED KINGDOM — 6.96% |
| |||||||
Acacia Mining PLC | 353,474 | $ | 676,978 | |||||
Centamin PLC | 3,581,313 | 7,352,427 | ||||||
Randgold Resources Ltd. | 167,080 | 13,462,757 | ||||||
|
| |||||||
21,492,162 | ||||||||
UNITED STATES — 17.03% |
| |||||||
McEwen Mining Inc. | 1,379,641 | 2,690,300 | ||||||
Newmont Mining Corp. | 1,305,609 | 49,874,264 | ||||||
|
| |||||||
52,564,564 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $352,545,403) | 308,284,756 | |||||||
SHORT-TERM INVESTMENTS — 2.56% |
| |||||||
MONEY MARKET FUNDS — 2.56% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 7,886,454 | 7,887,243 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%c,d | 15,107 | 15,107 | ||||||
|
| |||||||
7,902,350 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,902,071) |
| 7,902,350 | ||||||
|
| |||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $360,447,474) | 316,187,106 | |||||||
Other Assets, Less Liabilities — (2.46)% |
| (7,582,915 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 308,604,191 | |||||
|
|
ADR — American Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL GOLD MINERS ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 5,122,703 | 2,763,751 | b | — | 7,886,454 | $ | 7,887,243 | $ | 25,411 | c | $ | (1,330 | ) | $ | (558 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 27,472 | — | (12,365 | )b | 15,107 | 15,107 | 765 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 7,902,350 | $ | 26,176 | $ | (1,330 | ) | $ | (558 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 308,284,756 | $ | — | $ | — | $ | 308,284,756 | ||||||||
Money market funds | 7,902,350 | — | — | 7,902,350 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 316,187,106 | $ | — | $ | — | $ | 316,187,106 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 98.54% |
| |||||||
AUSTRALIA — 17.08% |
| |||||||
A.C.N. 004 410 833 Ltd.a,b,c | 727,228 | $ | 6 | |||||
Alumina Ltd. | 1,690,752 | 2,938,067 | ||||||
Ausdrill Ltd. | 221,835 | 454,635 | ||||||
BHP Billiton Ltd. | 2,148,253 | 51,057,806 | ||||||
BlueScope Steel Ltd. | 376,320 | 4,788,730 | ||||||
Fortescue Metals Group Ltd. | 947,520 | 3,721,310 | ||||||
Galaxy Resources Ltd.a,b | 262,937 | 717,128 | ||||||
Iluka Resources Ltd. | 295,008 | 2,388,505 | ||||||
Independence Group NLa | 354,816 | 1,401,806 | ||||||
Jacana Minerals Ltd.b,c | 6,808 | — | ||||||
Mineral Resources Ltd. | 105,504 | 1,562,888 | ||||||
Orocobre Ltd.a,b | 137,912 | 702,841 | ||||||
OZ Minerals Ltd. | 207,648 | 1,559,846 | ||||||
Pilbara Minerals Ltd.a,b | 963,422 | 690,687 | ||||||
Rio Tinto Ltd. | 276,083 | 17,460,577 | ||||||
Sandfire Resources NL | 117,264 | 700,869 | ||||||
Sims Metal Management Ltd. | 109,872 | 1,494,030 | ||||||
South32 Ltd. | 3,517,408 | 9,099,923 | ||||||
Syrah Resources Ltd.a,b | 188,671 | 502,815 | ||||||
Western Areas Ltd. | 198,240 | 500,510 | ||||||
|
| |||||||
101,742,979 | ||||||||
AUSTRIA — 0.73% |
| |||||||
Voestalpine AG | 75,264 | 4,369,479 | ||||||
|
| |||||||
4,369,479 | ||||||||
BELGIUM — 0.28% |
| |||||||
Bekaert SA | 24,528 | 1,221,154 | ||||||
Nyrstar NVa,b | 60,480 | 432,998 | ||||||
|
| |||||||
1,654,152 | ||||||||
BRAZIL — 5.16% |
| |||||||
Cia. Siderurgica Nacional SAb | 403,200 | 1,259,709 | ||||||
Vale SA | 2,124,162 | 29,455,482 | ||||||
|
| |||||||
30,715,191 | ||||||||
CANADA — 5.01% |
| |||||||
Altius Minerals Corp. | 30,912 | 335,090 | ||||||
Arizona Mining Inc.b | 106,848 | 338,552 | ||||||
First Quantum Minerals Ltd. | 460,656 | 7,517,319 | ||||||
HudBay Minerals Inc. | 175,728 | 1,353,600 | ||||||
Ivanhoe Mines Ltd. Class Ab | 436,128 | 1,099,382 | ||||||
Labrador Iron Ore Royalty Corp. | 36,960 | 726,018 | ||||||
Lithium Americas Corp.a,b | 41,689 | 262,559 | ||||||
Lucara Diamond Corp. | 223,776 | 398,181 | ||||||
Lundin Mining Corp. | 444,192 | 2,894,606 |
Security | Shares | Value | ||||||
Major Drilling Group International Inc.b | 63,168 | $ | 319,944 | |||||
Nemaska Lithium Inc.a,b | 221,835 | 254,495 | ||||||
Nevsun Resources Ltd. | 204,809 | 447,548 | ||||||
Northern Dynasty Minerals Ltd.a,b | 197,643 | 206,690 | ||||||
Stornoway Diamond Corp.b | 294,446 | 137,876 | ||||||
Taseko Mines Ltd.a,b | 147,890 | 182,359 | ||||||
Teck Resources Ltd. Class B | 381,360 | 10,922,786 | ||||||
Trevali Mining Corp.b | 443,670 | 522,841 | ||||||
Turquoise Hill Resources Ltd.b | 640,080 | 1,948,189 | ||||||
|
| |||||||
29,868,035 | ||||||||
CHILE — 0.12% |
| |||||||
CAP SA | 51,118 | 729,364 | ||||||
|
| |||||||
729,364 | ||||||||
CHINA — 1.35% |
| |||||||
Aluminum Corp. of China Ltd. Class Hb | 2,688,000 | 1,631,631 | ||||||
Chiho Environmental Group Ltd.a,b | 672,000 | 352,089 | ||||||
China Metal Recycling Holdings Ltd.b,c | 132,000 | — | ||||||
China Molybdenum Co. Ltd. Class H | 3,069,000 | 2,510,012 | ||||||
Inner Mongolia Eerduosi Resourses Co. Ltd. Class B | 255,596 | 290,613 | ||||||
Jiangxi Copper Co. Ltd. Class H | 672,000 | 1,063,136 | ||||||
MMG Ltd.b | 1,350,000 | 947,120 | ||||||
North Mining Shares Co. Ltd.a,b | 10,080,000 | 198,372 | ||||||
Shougang Concord International Enterprises Co. Ltd.a,b | 9,568,000 | 294,671 | ||||||
Shougang Fushan Resources Group Ltd. | 2,016,000 | 636,336 | ||||||
Xinjiang Xinxin Mining Industry Co. Ltd. Class Hb | 672,000 | 110,779 | ||||||
|
| |||||||
8,034,759 | ||||||||
EGYPT — 0.02% |
| |||||||
Ezz Steelb | 84,348 | 112,241 | ||||||
|
| |||||||
112,241 | ||||||||
FINLAND — 0.29% |
| |||||||
Outokumpu OYJ | 211,680 | 1,719,450 | ||||||
|
| |||||||
1,719,450 | ||||||||
FRANCE — 0.47% |
| |||||||
APERAM SA | 32,665 | 1,705,944 | ||||||
Erametb | 6,720 | 1,060,569 | ||||||
|
| |||||||
2,766,513 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
GERMANY — 1.92% |
| |||||||
Aurubis AG | 24,528 | $ | 2,069,560 | |||||
Salzgitter AG | 25,200 | 1,451,009 | ||||||
thyssenkrupp AG | 291,312 | 7,930,270 | ||||||
|
| |||||||
11,450,839 | ||||||||
INDIA — 1.04% |
| |||||||
Tata Steel Ltd. GDRa | 606,632 | 6,217,978 | ||||||
|
| |||||||
6,217,978 | ||||||||
INDONESIA — 0.14% |
| |||||||
Aneka Tambang Persero Tbk PTb | 6,283,238 | 436,447 | ||||||
Krakatau Steel Persero Tbk PTb | 2,587,353 | 95,978 | ||||||
Pelat Timah Nusantara Tbk PTb | 307,000 | 80,610 | ||||||
Timah Tbk PT | 2,593,267 | 219,744 | ||||||
|
| |||||||
832,779 | ||||||||
JAPAN — 7.95% |
| |||||||
Asahi Holdings Inc. | 33,600 | 635,127 | ||||||
Daido Steel Co. Ltd. | 9,800 | 534,520 | ||||||
Dowa Holdings Co. Ltd. | 34,100 | 1,270,301 | ||||||
Hitachi Metals Ltd. | 168,000 | 2,166,421 | ||||||
JFE Holdings Inc. | 372,900 | 8,693,021 | ||||||
Kobe Steel Ltd.b | 201,600 | 2,248,292 | ||||||
Kyoei Steel Ltd.a | 33,600 | 540,031 | ||||||
Maruichi Steel Tube Ltd. | 44,100 | 1,392,784 | ||||||
Mitsubishi Materials Corp. | 68,700 | 2,169,711 | ||||||
Mitsui Mining & Smelting Co. Ltd. | 33,600 | 1,697,240 | ||||||
Nakayama Steel Works Ltd. | 33,600 | 224,514 | ||||||
Neturen Co. Ltd. | 33,600 | 339,448 | ||||||
Nippon Denko Co. Ltd. | 100,800 | 360,860 | ||||||
Nippon Light Metal Holdings Co. Ltd. | 490,400 | 1,337,392 | ||||||
Nippon Steel & Sumitomo Metal Corp. | 490,940 | 11,762,224 | ||||||
Nisshin Steel Co. Ltd. | 67,200 | 901,206 | ||||||
OSAKA Titanium Technologies Co. Ltd. | 1,800 | 44,551 | ||||||
Sumitomo Metal Mining Co. Ltd. | 168,000 | 7,922,553 | ||||||
Toho Titanium Co. Ltd. | 33,600 | 456,901 | ||||||
Tokyo Steel Manufacturing Co. Ltd. | 20,500 | 166,951 | ||||||
Toyo Kohan Co. Ltd. | 67,200 | 449,029 | ||||||
UACJ Corp. | 4,338 | 106,351 | ||||||
Yamato Kogyo Co. Ltd. | 33,600 | 988,745 | ||||||
Yodogawa Steel Works Ltd. | 33,600 | 961,979 | ||||||
|
| |||||||
47,370,152 |
Security | Shares | Value | ||||||
MALAYSIA — 0.23% |
| |||||||
Press Metal Aluminium Holdings Bhd | 920,700 | $ | 1,363,304 | |||||
|
| |||||||
1,363,304 | ||||||||
MEXICO — 1.61% |
| |||||||
Grupo Mexico SAB de CV Series B | 2,587,200 | 8,824,207 | ||||||
Industrias CH SAB de CV Series Ba,b | 100,800 | 439,915 | ||||||
Minera Frisco SAB de CV Series A1b | 504,000 | 306,936 | ||||||
|
| |||||||
9,571,058 | ||||||||
NETHERLANDS — 2.72% |
| |||||||
AMG Advanced Metallurgical Group NVa | 18,816 | 943,202 | ||||||
ArcelorMittalb | 443,520 | 15,281,538 | ||||||
|
| |||||||
16,224,740 | ||||||||
NORWAY — 1.05% |
| |||||||
Norsk Hydro ASA | 921,312 | 6,265,823 | ||||||
|
| |||||||
6,265,823 | ||||||||
PAKISTAN — 0.01% |
| |||||||
International Steels Ltd. | 67,200 | 73,136 | ||||||
|
| |||||||
73,136 | ||||||||
PERU — 0.57% |
| |||||||
Southern Copper Corp. | 64,512 | 3,401,718 | ||||||
|
| |||||||
3,401,718 | ||||||||
PHILIPPINES — 0.02% |
| |||||||
Nickel Asia Corp. | 949,800 | 114,348 | ||||||
|
| |||||||
114,348 | ||||||||
POLAND — 0.69% |
| |||||||
Boryszew SAb | 86,016 | 247,750 | ||||||
Jastrzebska Spolka Weglowa SAb | 35,054 | 943,162 | ||||||
KGHM Polska Miedz SA | 96,096 | 2,944,504 | ||||||
|
| |||||||
4,135,416 | ||||||||
RUSSIA — 2.85% |
| |||||||
Alrosa PJSC | 1,814,400 | 2,781,344 | ||||||
Magnitogorsk Iron & Steel Works PJSC | 1,261,700 | 1,068,571 | ||||||
Mechel PJSC ADRb | 49,056 | 241,846 | ||||||
MMC Norilsk Nickel PJSC | 43,398 | 8,602,128 | ||||||
Novolipetsk Steel PJSC | 772,800 | 2,005,526 | ||||||
Raspadskaya OAOb | 77,280 | 153,606 | ||||||
Severstal PJSC | 131,040 | 2,137,699 | ||||||
|
| |||||||
16,990,720 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
SOUTH AFRICA — 1.02% |
| |||||||
African Rainbow Minerals Ltd. | 75,264 | $ | 778,034 | |||||
Anglo American Platinum Ltd.b | 37,296 | 1,155,777 | ||||||
ArcelorMittal South Africa Ltd.b | 66,864 | 16,994 | ||||||
Assore Ltd. | 24,864 | 774,710 | ||||||
Impala Platinum Holdings Ltd.b | 448,570 | 1,143,870 | ||||||
Kumba Iron Ore Ltd. | 38,976 | 1,157,021 | ||||||
Northam Platinum Ltd.b | 243,113 | 878,224 | ||||||
Royal Bafokeng Platinum Ltd.b | 55,776 | 151,209 | ||||||
|
| |||||||
6,055,839 | ||||||||
SOUTH KOREA — 4.02% |
| |||||||
Dongkuk Steel Mill Co. Ltd. | 40,390 | 400,953 | ||||||
Hyundai Steel Co. | 53,760 | 2,660,944 | ||||||
Jenax Inc.b | 10,416 | 316,933 | ||||||
KISWIRE Ltd. | 4,555 | 134,812 | ||||||
Korea Zinc Co. Ltd.b | 6,048 | 2,859,522 | ||||||
Poongsan Corp. | 15,792 | 627,801 | ||||||
Poongsan Holdings Corp. | 4,704 | 226,751 | ||||||
POSCO | 49,256 | 16,442,925 | ||||||
Seah Besteel Corp. | 5,200 | 136,855 | ||||||
SeAH Steel Corp. | 2,043 | 164,323 | ||||||
|
| |||||||
23,971,819 | ||||||||
SPAIN — 0.32% |
| |||||||
Acerinox SAa | 109,314 | 1,623,230 | ||||||
Tubacex SAa,b | 68,544 | 282,567 | ||||||
|
| |||||||
1,905,797 | ||||||||
SWEDEN — 1.62% |
| |||||||
Boliden AB | 191,856 | 6,828,596 | ||||||
Granges AB | 57,456 | 625,841 | ||||||
SSAB AB Class Aa,b | 133,056 | 798,288 | ||||||
SSAB AB Class Bb | 285,785 | 1,412,455 | ||||||
|
| |||||||
9,665,180 | ||||||||
SWITZERLAND — 0.01% |
| |||||||
Schmolz + Bickenbach AG Registeredb | 111,216 | 85,202 | ||||||
|
| |||||||
85,202 | ||||||||
TAIWAN — 1.62% |
| |||||||
China Metal Products | 336,011 | 334,337 | ||||||
China Steel Corp. | 8,400,612 | 6,934,451 | ||||||
Feng Hsin Steel Co. Ltd. | 336,000 | 707,780 | ||||||
Gloria Material Technology Corp. | 672,000 | 464,948 | ||||||
TA Chen Stainless Pipe | 396,353 | 342,111 | ||||||
Ton Yi Industrial Corp. | 70,000 | 32,368 | ||||||
Tung Ho Steel Enterprise Corp. | 672,000 | 582,336 |
Security | Shares | Value | ||||||
Yieh Phui Enterprise Co. Ltd. | 696,706 | $ | 275,623 | |||||
|
| |||||||
9,673,954 | ||||||||
TURKEY — 0.59% |
| |||||||
Borusan Mannesmann Boru Sanayi ve Ticaret ASa | 38,640 | 137,549 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 944,160 | 2,817,759 | ||||||
Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS Class Db | 587,328 | 530,785 | ||||||
|
| |||||||
3,486,093 | ||||||||
UNITED KINGDOM — 26.30% |
| |||||||
Anglo American PLC | 896,784 | 22,001,708 | ||||||
Antofagasta PLC | 263,760 | 3,161,771 | ||||||
BHP Billiton PLC | 1,413,216 | 28,900,354 | ||||||
Central Asia Metals PLC | 91,728 | 408,232 | ||||||
Evraz PLC | 221,760 | 1,305,013 | ||||||
Ferrexpo PLC | 199,920 | 861,363 | ||||||
Glencore PLC | 8,195,712 | 43,628,451 | ||||||
Hill & Smith Holdings PLC | 51,744 | 866,240 | ||||||
KAZ Minerals PLCb | 171,360 | 2,024,394 | ||||||
Lonmin PLCa,b | 173,588 | 152,835 | ||||||
Petra Diamonds Ltd.a,b | 378,471 | 320,969 | ||||||
Rio Tinto PLC | 814,376 | 44,053,199 | ||||||
Vedanta Ltd. ADR | 416,584 | 8,406,665 | ||||||
Vedanta Resources PLC | 57,792 | 585,271 | ||||||
|
| |||||||
156,676,465 | ||||||||
UNITED STATES — 11.73% |
| |||||||
AK Steel Holding Corp.a,b | 213,360 | 1,100,938 | ||||||
Alcoa Corp.a,b | 126,356 | 5,682,229 | ||||||
Allegheny Technologies Inc.b | 80,640 | 2,089,382 | ||||||
Carpenter Technology Corp. | 30,912 | 1,574,657 | ||||||
Century Aluminum Co.b | 36,960 | 704,088 | ||||||
Cleveland-Cliffs Inc.a,b | 188,832 | 1,327,489 | ||||||
Commercial Metals Co. | 77,616 | 1,886,069 | ||||||
Compass Minerals International Inc. | 24,864 | 1,499,299 | ||||||
Freeport-McMoRan Inc.b | 920,640 | 17,123,904 | ||||||
Haynes International Inc. | 7,728 | 321,485 | ||||||
Kaiser Aluminum Corp. | 13,104 | 1,315,249 | ||||||
Materion Corp. | 17,136 | 863,654 | ||||||
Nucor Corp. | 214,368 | 14,019,667 | ||||||
Reliance Steel & Aluminum Co. | 48,720 | 4,393,082 | ||||||
Ryerson Holding Corp.b | 10,752 | 108,595 | ||||||
Schnitzer Steel Industries Inc. Class A | 17,472 | 594,048 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2018
Security | Shares | Value | ||||||
Steel Dynamics Inc. | 161,280 | $ | 7,459,200 | |||||
SunCoke Energy Inc.b | 40,320 | 430,618 | ||||||
TimkenSteel Corp.b | 24,864 | 406,775 | ||||||
U.S. Steel Corp. | 117,600 | 5,116,776 | ||||||
Warrior Met Coal Inc. | 14,228 | 444,056 | ||||||
Worthington Industries Inc. | 32,256 | 1,427,006 | ||||||
|
| |||||||
69,888,266 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $506,463,452) | 587,132,789 | |||||||
PREFERRED STOCKS — 1.24% |
| |||||||
BRAZIL — 1.24% |
| |||||||
Bradespar SA, Preference Shares | 168,000 | 1,767,006 | ||||||
Gerdau SA, Preference Shares | 672,000 | 3,437,827 | ||||||
Metalurgica Gerdau SA, Preference Shares | 436,800 | 1,059,479 | ||||||
Usinas Siderurgicas de Minas Gerais SA Class A, Preference Shares | 302,400 | 1,146,770 | ||||||
|
| |||||||
7,411,082 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost: $3,920,310) | 7,411,082 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 1.84% |
| |||||||
MONEY MARKET FUNDS — 1.84% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%d,e,f | 10,346,136 | $ | 10,347,170 | |||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.34%d,e | 580,563 | 580,563 | ||||||
|
| |||||||
10,927,733 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $10,927,313) |
| 10,927,733 | ||||||
|
| |||||||
TOTAL INVESTMENTS | ||||||||
(Cost: $521,311,075) | 605,471,604 | |||||||
Other Assets, Less Liabilities — (1.62)% |
| (9,635,081 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 595,836,523 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
a | All or a portion of this security is on loan. |
b | Non-income producing security. |
c | Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
f | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 10,837,677 | — | (491,541 | )b | 10,346,136 | $ | 10,347,170 | $ | 117,835 | c | $ | (1,949 | ) | $ | (840 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 1,803,747 | — | (1,223,184 | )b | 580,563 | 580,563 | 2,758 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 10,927,733 | $ | 120,593 | $ | (1,949 | ) | $ | (840 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL METALS & MINING PRODUCERS ETF
February 28, 2018
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, 2018. 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 | $ | 587,132,783 | $ | — | $ | 6 | $ | 587,132,789 | ||||||||
Preferred stocks | 7,411,082 | — | — | 7,411,082 | ||||||||||||
Money market funds | 10,927,733 | — | — | 10,927,733 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 605,471,598 | $ | — | $ | 6 | $ | 605,471,604 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI GLOBAL SILVER MINERS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 99.99% |
| |||||||
CANADA — 58.04% |
| |||||||
Alexco Resource Corp.a,b | 385,677 | $ | 505,668 | |||||
Americas Silver Corp.a,b | 162,179 | 583,483 | ||||||
Dalradian Resources Inc.a | 763,231 | 649,254 | ||||||
Dundee Precious Metals Inc.a | 400,365 | 956,114 | ||||||
Endeavour Silver Corp.a,b | 344,533 | 760,938 | ||||||
Excellon Resources Inc.a | 344,002 | 472,504 | ||||||
First Majestic Silver Corp.a,b | 335,583 | 1,780,906 | ||||||
Fortuna Silver Mines Inc.a | 350,022 | 1,584,366 | ||||||
GoGold Resources Inc.a,b | 960,737 | 281,169 | ||||||
Great Panther Silver Ltd.a,b | 511,980 | 595,349 | ||||||
Klondex Mines Ltd.a,b | 470,175 | 653,148 | ||||||
Levon Resources Ltd.a | 1,210,062 | 283,310 | ||||||
MAG Silver Corp.a,b | 153,565 | 1,608,337 | ||||||
Mandalay Resources Corp. | 1,818,848 | 347,772 | ||||||
Minco Silver Corp.a,b | 536,255 | 284,585 | ||||||
Pan American Silver Corp. | 167,441 | 2,537,718 | ||||||
Silvercorp Metals Inc.b | 405,031 | 1,027,316 | ||||||
SSR Mining Inc.a | 244,598 | 2,038,714 | ||||||
Tahoe Resources Inc.b | 613,836 | 3,008,460 | ||||||
Wheaton Precious Metals Corp. | 682,494 | 13,044,272 | ||||||
|
| |||||||
33,003,383 | ||||||||
CHINA — 1.21% |
| |||||||
China Silver Group Ltd. | 2,966,000 | 686,039 | ||||||
CSMall Group Ltd.a | 48,600 | — | ||||||
|
| |||||||
686,039 | ||||||||
MEXICO — 9.70% |
| |||||||
Industrias Penoles SAB de CV | 252,727 | 5,518,014 | ||||||
|
| |||||||
5,518,014 | ||||||||
PERU — 4.69% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 171,321 | 2,664,042 | ||||||
|
| |||||||
2,664,042 | ||||||||
UNITED KINGDOM — 14.49% |
| |||||||
Fresnillo PLC | 399,271 | 6,708,907 | ||||||
Hochschild Mining PLC | 543,330 | 1,530,943 | ||||||
|
| |||||||
8,239,850 | ||||||||
UNITED STATES — 11.86% |
| |||||||
Coeur Mining Inc.a | 331,052 | 2,532,548 | ||||||
Golden Minerals Co.a | 682,522 | 255,946 | ||||||
Hecla Mining Co. | 676,243 | 2,475,049 | ||||||
McEwen Mining Inc. | 616,388 | 1,201,957 |
Security | Shares | Value | ||||||
Solitario Zinc Corp.a | 523,482 | $ | 277,445 | |||||
|
| |||||||
6,742,945 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| 56,854,273 | ||||||
SHORT-TERM INVESTMENTS — 11.78% |
| |||||||
MONEY MARKET FUNDS — 11.78% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%c,d,e | 6,677,415 | 6,678,082 | ||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%c,d | 20,150 | 20,150 | ||||||
|
| |||||||
6,698,232 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $6,697,829) |
| 6,698,232 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $71,369,490) |
| 63,552,505 | ||||||
Other Assets, Less Liabilities — (11.77)% |
| (6,690,013 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 56,862,492 | |||||
|
|
ADR — American Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | Affiliate of the Fund. |
d | Annualized 7-day yield as of period end. |
e | All or a portion of this security was purchased with cash collateral received from loaned securities. |
SCHEDULESOF INVESTMENTS | 27 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI GLOBAL SILVER MINERS ETF
February 28, 2018
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 7,553,574 | — | (876,159 | )b | 6,677,415 | $ | 6,678,082 | $ | 70,636 | c | $ | 317 | $ | (1,314 | ) | |||||||||||||||||
BlackRock Cash Funds: Treasury, | 37,449 | — | (17,299 | )b | 20,150 | 20,150 | 182 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 6,698,232 | $ | 70,818 | $ | 317 | $ | (1,314 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 56,854,273 | $ | — | $ | — | $ | 56,854,273 | ||||||||
Money market funds | 6,698,232 | — | — | 6,698,232 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 63,552,505 | $ | — | $ | — | $ | 63,552,505 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares MSCI Global Producers ETF | iShares MSCI Global Producers ETF | iShares Miners ETF | ||||||||||
ASSETS | ||||||||||||
Investments in securities, at cost: | ||||||||||||
Unaffiliated | $ | 30,065,201 | $ | 33,267,816 | $ | 352,545,403 | ||||||
Affiliated (Note 2) | 2,710,625 | 553,385 | 7,902,071 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 32,775,826 | $ | 33,821,201 | $ | 360,447,474 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||||||
Unaffiliated | $ | 31,481,737 | $ | 32,679,728 | $ | 308,284,756 | ||||||
Affiliated (Note 2) | 2,843,199 | 553,416 | 7,902,350 | |||||||||
Foreign currency, at valueb | 24,289 | 43,960 | 220,810 | |||||||||
Cash | 153 | — | — | |||||||||
Receivables: | ||||||||||||
Investment securities sold | 64,509 | 80,890 | 3,322,563 | |||||||||
Due from custodian (Note 4) | 10,089 | — | — | |||||||||
Dividends and interest | 53,477 | 197,471 | 105,641 | |||||||||
Tax reclaims | 44,751 | 1,335 | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 34,522,204 | 33,556,800 | 319,836,120 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES | ||||||||||||
Payables: | ||||||||||||
Investment securities purchased | 73,963 | 92,959 | 3,241,169 | |||||||||
Collateral for securities on loan (Note 1) | 2,012,916 | 542,167 | 7,891,503 | |||||||||
Investment advisory fees (Note 2) | 8,782 | 10,016 | 99,257 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 2,095,661 | 645,142 | 11,231,929 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 32,426,543 | $ | 32,911,658 | $ | 308,604,191 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: | ||||||||||||
Paid-in capital | $ | 32,826,476 | $ | 35,148,387 | $ | 393,692,463 | ||||||
Undistributed (distributions in excess of) net investment income | 26,832 | 146,876 | (21,857 | ) | ||||||||
Accumulated net realized loss | (1,977,383 | ) | (1,796,330 | ) | (40,811,801 | ) | ||||||
Net unrealized appreciation (depreciation) | 1,550,618 | (587,275 | ) | (44,254,614 | ) | |||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 32,426,543 | $ | 32,911,658 | $ | 308,604,191 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 1,100,000 | 1,600,000 | 17,950,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 29.48 | $ | 20.57 | $ | 17.19 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $1,925,825, $502,486 and $7,625,098, respectively. See Note 1. |
b | Cost of foreign currency: $24,224, $43,252 and $214,735, respectively. |
c | $0.001 par value, number of shares authorized: 500 million, 500 million and 500 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Assets and Liabilities (Unaudited) (Continued)
iSHARES®, INC.
February 28, 2018
iShares Producers ETF | iShares Silver | |||||||
ASSETS | ||||||||
Investments in securities, at cost: | ||||||||
Unaffiliated | $ | 510,383,762 | $ | 64,671,661 | ||||
Affiliated (Note 2) | 10,927,313 | 6,697,829 | ||||||
|
|
|
| |||||
Total cost of investments in securities | $ | 521,311,075 | $ | 71,369,490 | ||||
|
|
|
| |||||
Investments in securities, at fair value (including securities on loana) (Note 1): | ||||||||
Unaffiliated | $ | 594,543,871 | $ | 56,854,273 | ||||
Affiliated (Note 2) | 10,927,733 | 6,698,232 | ||||||
Foreign currency, at valueb | 489,267 | 14,206 | ||||||
Receivables: | ||||||||
Investment securities sold | 1,287,024 | 995,292 | ||||||
Due from custodian (Note 4) | 2,855 | — | ||||||
Dividends and interest | 669,047 | 7,971 | ||||||
Capital shares sold | 2,658,727 | — | ||||||
Tax reclaims | 23,669 | — | ||||||
|
|
|
| |||||
Total Assets | 610,602,193 | 64,569,974 | ||||||
|
|
|
| |||||
LIABILITIES | ||||||||
Payables: | ||||||||
Investment securities purchased | 4,251,252 | 1,013,479 | ||||||
Collateral for securities on loan (Note 1) | 10,347,100 | 6,677,133 | ||||||
Investment advisory fees (Note 2) | 167,318 | 16,870 | ||||||
|
|
|
| |||||
Total Liabilities | 14,765,670 | 7,707,482 | ||||||
|
|
|
| |||||
NET ASSETS | $ | 595,836,523 | $ | 56,862,492 | ||||
|
|
|
| |||||
Net assets consist of: | ||||||||
Paid-in capital | $ | 536,310,033 | $ | 76,626,934 | ||||
Distributions in excess of net investment income | (1,429,136 | ) | (730,325 | ) | ||||
Accumulated net realized loss | (23,209,933 | ) | (11,217,348 | ) | ||||
Net unrealized appreciation (depreciation) | 84,165,559 | (7,816,769 | ) | |||||
|
|
|
| |||||
NET ASSETS | $ | 595,836,523 | $ | 56,862,492 | ||||
|
|
|
| |||||
Shares outstandingc | 16,800,000 | 5,800,000 | ||||||
|
|
|
| |||||
Net asset value per share | $ | 35.47 | $ | 9.80 | ||||
|
|
|
|
a | Securities on loan with values of $9,496,543 and $6,377,902, respectively. See Note 1. |
b | Cost of foreign currency: $489,105 and $13,966, respectively. |
c | $0.001 par value, number of shares authorized: 500 million and 500 million, respectively. |
See notes to financial statements.
30 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Producers ETF | iShares Producers ETF | iShares MSCI Global Gold Miners ETF | ||||||||||
NET INVESTMENT INCOME | ||||||||||||
Dividends — unaffiliateda | $ | 272,179 | $ | 549,644 | $ | 967,826 | ||||||
Dividends — affiliated (Note 2) | 1,573 | 220 | 765 | |||||||||
Securities lending income — affiliated — net (Note 2) | 10,838 | 4,607 | 25,411 | |||||||||
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Total investment income | 284,590 | 554,471 | 994,002 | |||||||||
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EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 59,213 | 66,413 | 690,549 | |||||||||
Proxy fees | 3 | 4 | 24 | |||||||||
Commitment fees (Note 7) | 55 | 55 | — | |||||||||
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Total expenses | 59,271 | 66,472 | 690,573 | |||||||||
Less investment advisory fees waived (Note 2) | (3,705 | ) | — | — | ||||||||
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Net expenses | 55,566 | 66,472 | 690,573 | |||||||||
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Net investment income | 229,024 | 487,999 | 303,429 | |||||||||
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NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments — unaffiliated | (227,381 | ) | (194,506 | ) | (1,684,232 | ) | ||||||
Investments — affiliated (Note 2) | (2,472 | ) | (85 | ) | (1,330 | ) | ||||||
In-kind redemptions — unaffiliated | 305,210 | 360,274 | 4,268,606 | |||||||||
In-kind redemptions — affiliated (Note 2) | 11,436 | — | — | |||||||||
Foreign currency transactions | 1,757 | 4,837 | (20,746 | ) | ||||||||
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Net realized gain | 88,550 | 170,520 | 2,562,298 | |||||||||
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Net change in unrealized appreciation/depreciation on: | ||||||||||||
Investments — unaffiliated | 2,460,135 | 3,340,424 | (55,372,301 | ) | ||||||||
Investments — affiliated (Note 2) | (748 | ) | (63 | ) | (558 | ) | ||||||
Translation of assets and liabilities in foreign currencies | 516 | (1,130 | ) | 2,824 | ||||||||
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Net change in unrealized appreciation/depreciation | 2,459,903 | 3,339,231 | (55,370,035 | ) | ||||||||
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Net realized and unrealized gain (loss) | 2,548,453 | 3,509,751 | (52,807,737 | ) | ||||||||
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NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 2,777,477 | $ | 3,997,750 | $ | (52,504,308 | ) | |||||
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a | Net of foreign withholding tax of $13,809, $25,593 and $86,308, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 31 |
Table of Contents
Statements of Operations (Unaudited) (Continued)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Producers ETF | iShares MSCI Global Silver Miners ETF | |||||||
NET INVESTMENT INCOME | ||||||||
Dividends — unaffiliateda | $ | 3,289,038 | $ | 136,540 | ||||
Dividends — affiliated (Note 2) | 2,758 | 182 | ||||||
Securities lending income — affiliated — net (Note 2) | 117,835 | 70,636 | ||||||
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Total investment income | 3,409,631 | 207,358 | ||||||
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EXPENSES | ||||||||
Investment advisory fees (Note 2) | 800,457 | 113,493 | ||||||
Proxy fees | 31 | 7 | ||||||
Commitment fees (Note 7) | 542 | — | ||||||
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Total expenses | 801,030 | 113,500 | ||||||
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Net investment income | 2,608,601 | 93,858 | ||||||
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NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||
Net realized gain (loss) from: | ||||||||
Investments — unaffiliated | (3,792,991 | ) | (1,151,721 | ) | ||||
Investments — affiliated (Note 2) | (1,949 | ) | 317 | |||||
In-kind redemptions — unaffiliated | 8,486,383 | 687,820 | ||||||
Foreign currency transactions | 23,122 | 819 | ||||||
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Net realized gain (loss) | 4,714,565 | (462,765 | ) | |||||
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Net change in unrealized appreciation/depreciation on: | ||||||||
Investments — unaffiliated | 41,027,359 | (8,921,196 | ) | |||||
Investments — affiliated (Note 2) | (840 | ) | (1,314 | ) | ||||
Translation of assets and liabilities in foreign currencies | 4,989 | 604 | ||||||
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Net change in unrealized appreciation/depreciation | 41,031,508 | (8,921,906 | ) | |||||
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Net realized and unrealized gain (loss) | 45,746,073 | (9,384,671 | ) | |||||
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NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 48,354,674 | $ | (9,290,813 | ) | |||
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a | Net of foreign withholding tax of $178,378 and $10,720, respectively. |
See notes to financial statements.
32 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 229,024 | $ | 505,154 | $ | 487,999 | $ | 1,111,642 | ||||||||
Net realized gain | 88,550 | 935,619 | 170,520 | 489,918 | ||||||||||||
Net change in unrealized appreciation/depreciation | 2,459,903 | 2,278,925 | 3,339,231 | (734,277 | ) | |||||||||||
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Net increase in net assets resulting from operations | 2,777,477 | 3,719,698 | 3,997,750 | 867,283 | ||||||||||||
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DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (263,265 | ) | (561,907 | ) | (592,662 | ) | (1,091,944 | ) | ||||||||
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Total distributions to shareholders | (263,265 | ) | (561,907 | ) | (592,662 | ) | (1,091,944 | ) | ||||||||
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CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 2,908,832 | 4,945,056 | 81 | 513 | ||||||||||||
Cost of shares redeemed | (1,430,828 | ) | (7,619,400 | ) | (2,061,598 | ) | (5,647,790 | ) | ||||||||
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Net increase (decrease) in net assets from capital share transactions | 1,478,004 | (2,674,344 | ) | (2,061,517 | ) | (5,647,277 | ) | |||||||||
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INCREASE (DECREASE) IN NET ASSETS | 3,992,216 | 483,447 | 1,343,571 | (5,871,938 | ) | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 28,434,327 | 27,950,880 | 31,568,087 | 37,440,025 | ||||||||||||
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End of period | $ | 32,426,543 | $ | 28,434,327 | $ | 32,911,658 | $ | 31,568,087 | ||||||||
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Undistributed net investment income included in net assets at end of period | $ | 26,832 | $ | 61,073 | $ | 146,876 | $ | 251,539 | ||||||||
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SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 100,000 | 200,000 | — | — | ||||||||||||
Shares redeemed | (50,000 | ) | (300,000 | ) | (100,000 | ) | (300,000 | ) | ||||||||
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Net increase (decrease) in shares outstanding | 50,000 | (100,000 | ) | (100,000 | ) | (300,000 | ) | |||||||||
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See notes to financial statements.
FINANCIAL STATEMENTS | 33 |
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 February 28, 2018 (Unaudited) | Year ended August 31, 2017a | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017a | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 303,429 | $ | 963,974 | $ | 2,608,601 | $ | 6,226,345 | ||||||||
Net realized gain (loss) | 2,562,298 | (12,294,792 | ) | 4,714,565 | 27,468,057 | |||||||||||
Net change in unrealized appreciation/depreciation | (55,370,035 | ) | (1,688,397 | ) | 41,031,508 | 62,029,722 | ||||||||||
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Net increase (decrease) in net assets resulting from operations | (52,504,308 | ) | (13,019,215 | ) | 48,354,674 | 95,724,124 | ||||||||||
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DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (887,692 | ) | (2,501,502 | ) | (5,611,608 | ) | (5,470,440 | ) | ||||||||
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Total distributions to shareholders | (887,692 | ) | (2,501,502 | ) | (5,611,608 | ) | (5,470,440 | ) | ||||||||
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CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 18,734,771 | 302,448,527 | 237,130,357 | 181,847,994 | ||||||||||||
Cost of shares redeemed | (47,985,249 | ) | (161,789,520 | ) | (31,296,057 | ) | (148,024,373 | ) | ||||||||
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Net increase (decrease) in net assets from capital share transactions | (29,250,478 | ) | 140,659,007 | 205,834,300 | 33,823,621 | |||||||||||
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INCREASE (DECREASE) IN NET ASSETS | (82,642,478 | ) | 125,138,290 | 248,577,366 | 124,077,305 | |||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 391,246,669 | 266,108,379 | 347,259,157 | 223,181,852 | ||||||||||||
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End of period | $ | 308,604,191 | $ | 391,246,669 | $ | 595,836,523 | $ | 347,259,157 | ||||||||
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Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (21,857 | ) | $ | 562,406 | $ | (1,429,136 | ) | $ | 1,573,871 | ||||||
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SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 1,000,000 | 16,300,000 | 6,900,000 | 7,300,000 | ||||||||||||
Shares redeemed | (2,650,000 | ) | (9,250,000 | ) | (1,000,000 | ) | (6,700,000 | ) | ||||||||
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Net increase (decrease) in shares outstanding | (1,650,000 | ) | 7,050,000 | 5,900,000 | 600,000 | |||||||||||
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a | Share transactions reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
See notes to financial statements.
34 | 2018 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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 93,858 | $ | 537,789 | ||||
Net realized gain (loss) | (462,765 | ) | 583,646 | |||||
Net change in unrealized appreciation/depreciation | (8,921,906 | ) | (13,353,209 | ) | ||||
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Net decrease in net assets resulting from operations | (9,290,813 | ) | (12,231,774 | ) | ||||
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DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (153,976 | ) | (1,593,868 | ) | ||||
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Total distributions to shareholders | (153,976 | ) | (1,593,868 | ) | ||||
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CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | 4,163,046 | 3,458,260 | ||||||
Cost of shares redeemed | (2,113,815 | ) | (12,452,605 | ) | ||||
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Net increase (decrease) in net assets from capital share transactions | 2,049,231 | (8,994,345 | ) | |||||
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DECREASE IN NET ASSETS | (7,395,558 | ) | (22,819,987 | ) | ||||
NET ASSETS | ||||||||
Beginning of period | 64,258,050 | 87,078,037 | ||||||
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End of period | $ | 56,862,492 | $ | 64,258,050 | ||||
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Distributions in excess of net investment income included in net assets at end of period | $ | (730,325 | ) | $ | (670,207 | ) | ||
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SHARES ISSUED AND REDEEMED | ||||||||
Shares sold | 400,000 | 300,000 | ||||||
Shares redeemed | (200,000 | ) | (1,100,000 | ) | ||||
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Net increase (decrease) in shares outstanding | 200,000 | (800,000 | ) | |||||
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See notes to financial statements.
FINANCIAL STATEMENTS | 35 |
Table of Contents
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Global Agriculture Producers ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 27.08 | $ | 24.31 | $ | 24.03 | $ | 27.29 | $ | 24.63 | $ | 24.91 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.22 | 0.45 | 0.54 | 0.50 | 0.58 | 0.50 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.43 | 2.81 | 0.27 | (3.21 | ) | 2.63 | (0.46 | ) | ||||||||||||||||
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Total from investment operations | 2.65 | 3.26 | 0.81 | (2.71 | ) | 3.21 | 0.04 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.25 | ) | (0.49 | ) | (0.53 | ) | (0.55 | ) | (0.55 | ) | (0.32 | ) | ||||||||||||
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Total distributions | (0.25 | ) | (0.49 | ) | (0.53 | ) | (0.55 | ) | (0.55 | ) | (0.32 | ) | ||||||||||||
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Net asset value, end of period | $ | 29.48 | $ | 27.08 | $ | 24.31 | $ | 24.03 | $ | 27.29 | $ | 24.63 | ||||||||||||
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Total return | 9.81 | %c | 13.53 | % | 3.55 | % | (10.11 | )% | 13.05 | % | 0.10 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 32,427 | $ | 28,434 | $ | 27,951 | $ | 27,640 | $ | 46,395 | $ | 35,716 | ||||||||||||
Ratio of expenses to average net assetsd | 0.37 | % | 0.37 | % | 0.38 | % | 0.38 | % | 0.38 | % | 0.38 | % | ||||||||||||
Ratio of expenses to average net assets prior to waived feesd | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 1.51 | % | 1.76 | % | 2.38 | % | 1.87 | % | 2.17 | % | 1.87 | % | ||||||||||||
Portfolio turnover ratee | 3 | %c | 16 | % | 7 | % | 10 | % | 14 | % | 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 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 3%, 15%, 7%, 10%, 13% and 6%, respectively. See Note 4. |
See notes to financial statements.
36 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 18.57 | $ | 18.72 | $ | 17.67 | $ | 28.06 | $ | 24.06 | $ | 23.51 | ||||||||||||
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Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.30 | 0.60 | 0.59 | 0.68 | 0.68 | 0.63 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | 2.07 | (0.16 | ) | 1.00 | (10.61 | ) | 3.96 | 0.55 | ||||||||||||||||
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Total from investment operations | 2.37 | 0.44 | 1.59 | (9.93 | ) | 4.64 | 1.18 | |||||||||||||||||
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Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.37 | ) | (0.59 | ) | (0.54 | ) | (0.46 | ) | (0.64 | ) | (0.63 | ) | ||||||||||||
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Total distributions | (0.37 | ) | (0.59 | ) | (0.54 | ) | (0.46 | ) | (0.64 | ) | (0.63 | ) | ||||||||||||
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Net asset value, end of period | $ | 20.57 | $ | 18.57 | $ | 18.72 | $ | 17.67 | $ | 28.06 | $ | 24.06 | ||||||||||||
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Total return | 12.75 | %c | 2.26 | % | 9.31 | % | (35.63 | )% | 19.44 | % | 5.10 | % | ||||||||||||
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Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 32,912 | $ | 31,568 | $ | 37,440 | $ | 24,739 | $ | 8,419 | $ | 4,811 | ||||||||||||
Ratio of expenses to average net assetsd | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 2.87 | % | 3.10 | % | 3.36 | % | 3.23 | % | 2.57 | % | 2.61 | % | ||||||||||||
Portfolio turnover ratee | 2 | %c | 4 | % | 6 | % | 4 | % | 8 | % | 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 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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 2%, 4%, 6%, 4%, 8% and 6%, 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 Gold Miners ETF | ||||||||||||||||||||||||
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 19.96 | $ | 21.20 | $ | 11.13 | $ | 22.53 | $ | 23.20 | $ | 40.11 | ||||||||||||
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|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.02 | 0.06 | 0.02 | 0.14 | 0.16 | 0.42 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | (2.74 | ) | (1.04 | ) | 10.11 | (11.42 | ) | (0.67 | ) | (16.95 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (2.72 | ) | (0.98 | ) | 10.13 | (11.28 | ) | (0.51 | ) | (16.53 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.05 | ) | (0.26 | ) | (0.06 | ) | (0.12 | ) | (0.16 | ) | (0.38 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.05 | ) | (0.26 | ) | (0.06 | ) | (0.12 | ) | (0.16 | ) | (0.38 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 17.19 | $ | 19.96 | $ | 21.20 | $ | 11.13 | $ | 22.53 | $ | 23.20 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (13.65 | )%d | (4.30 | )% | 91.17 | % | (50.16 | )% | (2.01 | )% | (41.28 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 308,604 | $ | 391,247 | $ | 266,108 | $ | 45,926 | $ | 70,976 | $ | 38,285 | ||||||||||||
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 | 0.17 | % | 0.38 | % | 0.06 | % | 0.88 | % | 0.81 | % | 1.37 | % | ||||||||||||
Portfolio turnover ratef | 2 | %d | 26 | % | 30 | % | 20 | % | 22 | % | 19 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017a | Year ended Aug. 31, 2016a | Year ended Aug. 31, 2015a | Year ended Aug. 31, 2014a | Year ended Aug. 31, 2013a | |||||||||||||||||||
Net asset value, beginning of period | $ | 31.86 | $ | 21.67 | $ | 21.30 | $ | 40.37 | $ | 36.23 | $ | 38.01 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomeb | 0.21 | 0.53 | 0.42 | 1.62 | 1.00 | 1.00 | ||||||||||||||||||
Net realized and unrealized gain (loss)c | 3.86 | 10.26 | 0.41 | (17.91 | ) | 4.44 | (2.01 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | 4.07 | 10.79 | 0.83 | (16.29 | ) | 5.44 | (1.01 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.46 | ) | (0.60 | ) | (0.46 | ) | (2.78 | ) | (1.30 | ) | (0.77 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.46 | ) | (0.60 | ) | (0.46 | ) | (2.78 | ) | (1.30 | ) | (0.77 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 35.47 | $ | 31.86 | $ | 21.67 | $ | 21.30 | $ | 40.37 | $ | 36.23 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | 12.88 | %d | 50.55 | % | 4.52 | % | (41.94 | )% | 15.32 | % | (2.68 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 595,837 | $ | 347,259 | $ | 223,182 | $ | 69,219 | $ | 183,699 | $ | 222,808 | ||||||||||||
Ratio of expenses to average net assetse | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
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 | 1.27 | % | 2.31 | % | 2.16 | % | 5.18 | % | 2.53 | % | 2.51 | % | ||||||||||||
Portfolio turnover ratef | 4 | %d | 12 | % | 8 | % | 17 | % | 18 | % | 11 | % |
a | Per share amounts reflect a one-for-two reverse stock split effective after the close of trading on November 4, 2016. |
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, 2018, the years ended August 31, 2017, August 31, 2016, August 31, 2015, August 31, 2014 and August 31, 2013 were 3%, 6%, 6%, 10%, 15%, and 7% respectively. See Note 4 |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 39 |
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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Year ended Aug. 31, 2016 | Year ended Aug. 31, 2015 | Year ended Aug. 31, 2014 | Year ended Aug. 31, 2013 | |||||||||||||||||||
Net asset value, beginning of period | $ | 11.47 | $ | 13.61 | $ | 6.14 | $ | 12.70 | $ | 13.92 | $ | 20.94 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Income from investment operations: | ||||||||||||||||||||||||
Net investment incomea | 0.02 | 0.09 | 0.05 | 0.05 | 0.08 | 0.16 | ||||||||||||||||||
Net realized and unrealized gain (loss)b | (1.66 | ) | (1.94 | ) | 7.44 | (6.42 | ) | (1.15 | ) | (6.90 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total from investment operations | (1.64 | ) | (1.85 | ) | 7.49 | (6.37 | ) | (1.07 | ) | (6.74 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income | (0.03 | ) | (0.29 | ) | (0.02 | ) | (0.19 | ) | (0.15 | ) | (0.28 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total distributions | (0.03 | ) | (0.29 | ) | (0.02 | ) | (0.19 | ) | (0.15 | ) | (0.28 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Net asset value, end of period | $ | 9.80 | $ | 11.47 | $ | 13.61 | $ | 6.14 | $ | 12.70 | $ | 13.92 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Total return | (14.33 | )%c | (13.26 | )% | 122.11 | % | (50.51 | )% | (7.48 | )% | (32.49 | )% | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Ratios/Supplemental data: | ||||||||||||||||||||||||
Net assets, end of period (000s) | $ | 56,862 | $ | 64,258 | $ | 87,078 | $ | 12,279 | $ | 13,975 | $ | 6,959 | ||||||||||||
Ratio of expenses to average net assetsd | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | 0.39 | % | ||||||||||||
Ratio of net investment income to average net assetsd | 0.32 | % | 0.79 | % | 0.47 | % | 0.57 | % | 0.63 | % | 1.03 | % | ||||||||||||
Portfolio turnover ratee | 6 | %c | 14 | % | 27 | % | 31 | % | 22 | % | 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.
40 | 2018 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 | 41 |
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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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.
42 | 2018 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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, 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 | 43 |
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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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.
44 | 2018 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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount b | |||||||||
MSCI Global Agriculture Producers | ||||||||||||
Citigroup Global Markets Inc. | $ | 11,071 | $ | 11,071 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 5,023 | 5,023 | — | |||||||||
Deutsche Bank AG | 72,609 | 72,609 | — | |||||||||
Goldman Sachs & Co. | 558,811 | 558,811 | — | |||||||||
JPMorgan Securities LLC | 96,779 | 96,779 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 34,143 | 34,143 | — | |||||||||
Morgan Stanley & Co. International PLC | 13,793 | 13,793 | — | |||||||||
Morgan Stanley & Co. LLC | 240,225 | 240,225 | — | |||||||||
Nomura Securities International Inc. | 869,211 | 869,211 | — | |||||||||
SG Americas Securities LLC | 24,160 | 24,160 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 1,925,825 | $ | 1,925,825 | $ | — | |||||||
|
|
|
|
|
| |||||||
MSCI Global Energy Producers | ||||||||||||
BNP Paribas New York Branch | $ | 129,145 | $ | 129,145 | $ | — | ||||||
BNP Paribas Prime Brokerage Inc. | 62,333 | 62,333 | — | |||||||||
Citigroup Global Markets Inc. | 31,194 | 31,194 | — | |||||||||
Credit Suisse Securities (USA) LLC | 58,829 | 58,829 | — | |||||||||
Deutsche Bank Securities Inc. | 9,446 | 9,446 | — | |||||||||
Goldman Sachs & Co. | 69,500 | 69,500 | — | |||||||||
HSBC Bank PLC | 881 | 845 | (36 | ) | ||||||||
JPMorgan Securities LLC | 45,340 | 45,340 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 45,876 | 45,876 | — | |||||||||
Morgan Stanley & Co. LLC | 26,402 | 26,402 | — | |||||||||
SG Americas Securities LLC | 8,291 | 8,291 | — | |||||||||
State Street Bank & Trust Company | 14,410 | 14,410 | — | |||||||||
UBS Securities LLC | 839 | 839 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 502,486 | $ | 502,450 | $ | (36 | ) | ||||||
|
|
|
|
|
| |||||||
MSCI Global Gold Miners | ||||||||||||
Citigroup Global Markets Inc. | $ | 940,180 | $ | 940,180 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 706,349 | 706,349 | — | |||||||||
Goldman Sachs & Co. | 374,040 | 374,040 | — | |||||||||
JPMorgan Securities LLC | 1,148,383 | 1,148,383 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 2,036,622 | 2,036,622 | — | |||||||||
State Street Bank & Trust Company | 1,272,859 | 1,272,859 | — | |||||||||
UBS AG | 1,146,665 | 1,146,665 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 7,625,098 | $ | 7,625,098 | $ | — | |||||||
|
|
|
|
|
| |||||||
NOTESTO FINANCIAL STATEMENTS | 45 |
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 | $ | 10,250 | $ | 10,250 | $ | — | ||||||
BNP Paribas New York Branch | 1,295,080 | 1,295,080 | — | |||||||||
Citigroup Global Markets Inc. | 9,807 | 9,807 | — | |||||||||
Credit Suisse Securities (USA) LLC | 840,153 | 840,153 | — | |||||||||
Deutsche Bank Securities Inc. | 112,604 | 112,604 | — | |||||||||
HSBC Bank PLC | 430,492 | 430,492 | — | |||||||||
JPMorgan Securities LLC | 808,412 | 808,412 | — | |||||||||
Macquarie Bank Limited | 403,135 | 403,135 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 168,057 | 168,057 | — | |||||||||
Morgan Stanley & Co. LLC | 3,004,640 | 3,004,640 | — | |||||||||
National Financial Services LLC | 39,375 | 39,375 | — | |||||||||
Scotia Capital (USA) Inc. | 11,472 | 11,472 | — | |||||||||
SG Americas Securities LLC | 77,611 | 77,611 | — | |||||||||
State Street Bank & Trust Company | 713,003 | 713,003 | — | |||||||||
UBS AG | 1,551,261 | 1,551,261 | — | |||||||||
UBS Securities LLC | 21,191 | 21,133 | (58 | ) | ||||||||
|
|
|
|
|
| |||||||
$ | 9,496,543 | $ | 9,496,485 | $ | (58 | ) | ||||||
|
|
|
|
|
| |||||||
MSCI Global Silver Miners | ||||||||||||
Citigroup Global Markets Inc. | $ | 377,943 | $ | 377,943 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 454,391 | 454,391 | — | |||||||||
Goldman Sachs & Co. | 30,023 | 30,023 | — | |||||||||
JPMorgan Securities LLC | 196,738 | 196,738 | — | |||||||||
Merrill Lynch, Pierce, Fenner & Smith | 1,670,769 | 1,670,769 | — | |||||||||
Morgan Stanley & Co. LLC | 395,811 | 395,811 | — | |||||||||
State Street Bank & Trust Company | 2,658,923 | 2,658,923 | — | |||||||||
UBS AG | 593,304 | 593,304 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 6,377,902 | $ | 6,377,902 | $ | — | |||||||
|
|
|
|
|
| |||||||
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%, accrued daily and paid monthly by the Funds, based on the average daily net assets of each Fund.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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 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 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 (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, 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 | $ | 2,535 | ||
MSCI Global Energy Producers | 1,038 | |||
MSCI Global Gold Miners | 7,033 | |||
MSCI Global Metals & Mining Producers | 27,194 | |||
MSCI Global Silver Miners | 15,540 |
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 | 47 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
For the six months ended February 28, 2018, 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 | $ | — | $ | 62,725 | ||||
MSCI Global Energy Producers | 14,990 | 36,454 | ||||||
MSCI Global Gold Miners | 360,135 | 384,911 | ||||||
MSCI Global Metals & Mining Producers | — | 945,907 | ||||||
MSCI Global Silver Miners | 66,542 | 412,496 |
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
MSCI Global Agriculture Producers | $ | 1,273,439 | $ | 996,314 | ||||
MSCI Global Energy Producers | 712,962 | 920,335 | ||||||
MSCI Global Gold Miners | 6,933,541 | 6,831,584 | ||||||
MSCI Global Metals & Mining Producers | 41,083,833 | 17,073,699 | ||||||
MSCI Global Silver Miners | 3,644,203 | 3,704,070 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
MSCI Global Agriculture Producers | $ | 2,588,369 | $ | 1,335,854 | ||||
MSCI Global Energy Producers | — | 1,990,225 | ||||||
MSCI Global Gold Miners | 17,826,015 | 47,885,948 | ||||||
MSCI Global Metals & Mining Producers | 206,788,166 | 27,109,204 | ||||||
MSCI Global Silver Miners | 4,159,021 | 2,109,865 |
48 | 2018 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.
5. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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.
NOTESTO FINANCIAL STATEMENTS | 49 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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, Norway, Switzerland and Canada, have imposed economic sanctions, which consist of asset freezes and sectorial sanctions, on certain Russian individuals and Russian corporate entities. Broader sanctions on Russia could also be instituted. 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.
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2017, 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 | $ | 1,864,644 | ||
MSCI Global Energy Producers | 1,515,836 | |||
MSCI Global Gold Miners | 28,822,930 | |||
MSCI Global Metals & Mining Producers | 20,679,780 | |||
MSCI Global Silver Miners | 8,112,033 |
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.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
MSCI Global Agriculture Producers | $ | 33,008,608 | $ | 5,121,283 | $ | (3,804,955 | ) | $ | 1,316,328 | |||||||
MSCI Global Energy Producers | 34,281,704 | 3,519,367 | (4,567,927 | ) | (1,048,560 | ) | ||||||||||
MSCI Global Gold Miners | 374,998,643 | 16,376,303 | (75,187,840 | ) | (58,811,537 | ) | ||||||||||
MSCI Global Metals & Mining Producers | 529,751,720 | 89,067,420 | (13,347,536 | ) | 75,719,884 | |||||||||||
MSCI Global Silver Miners | 74,836,260 | 2,737,203 | (14,020,958 | ) | (11,283,755 | ) |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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 Global Agriculture Producers, iShares MSCI Global Energy Producers and iShares MSCI Global Metals & Mining Producers ETFs, along with certain other iShares funds, are parties to a $275 million credit agreement with State Street Bank and Trust Company, which expires on October 24, 2018. The Funds became parties to the credit agreement effective 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
NOTESTO FINANCIAL STATEMENTS | 51 |
Table of Contents
Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2018.
8. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
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.
52 | 2018 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 Global | $ | 0.213899 | $ | — | $ | 0.036830 | $ | 0.250729 | 85 | % | — | % | 15 | % | 100 | % | ||||||||||||||||
MSCI Global | 0.325397 | — | 0.045017 | 0.370414 | 88 | — | 12 | 100 | ||||||||||||||||||||||||
MSCI Global Metals & Mining Producers | 0.393166 | — | 0.061972 | 0.455138 | 86 | — | 14 | 100 |
SUPPLEMENTAL INFORMATION | 53 |
Table of Contents
Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
54 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-812-0218
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Table of Contents
FEBRUARY 28, 2018
2018 SEMI-ANNUAL REPORT (UNAUDITED) | ![]() |
iShares, Inc.
Ø | iShares Edge MSCI Multifactor Emerging Markets ETF | EMGF | Cboe BZX |
Ø | iShares MSCI EM ESG Optimized ETF | ESGE | NASDAQ |
Ø | iShares MSCI Emerging Markets ex China ETF | EMXC | NASDAQ |
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Table of Contents
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
Performance as of February 28, 2018
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, 2018, the total return for the Fund was 12.83%, net of fees, while the total return for the Index was 11.71%.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 33.19% | 31.74% | 33.08% | 33.19% | 31.74% | 33.08% | ||||||||||||||||||||||
Since Inception | 22.72% | 22.25% | 23.01% | 57.78% | 56.43% | 58.66% |
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 8 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,128.30 | $ | 2.22 | $ | 1,000.00 | $ | 1,022.70 | $ | 2.11 | 0.42% |
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 8 for more information. |
ALLOCATION BY SECTOR
As of 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 25.60 | % | ||
Financials | 15.43 | |||
Consumer Discretionary | 15.17 | |||
Industrials | 6.96 | |||
Health Care | 6.80 | |||
Materials | 6.26 | |||
Energy | 6.02 | |||
Real Estate | 5.13 | |||
Consumer Staples | 4.35 | |||
Investment Companies | 3.74 | |||
Telecommunication Services | 2.33 | |||
Utilities | 2.21 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 36.24 | % | ||
South Korea | 19.68 | |||
Taiwan | 10.73 | |||
Brazil | 7.09 | |||
Russia | 6.44 | |||
South Africa | 4.92 | |||
India | 3.74 | |||
Indonesia | 2.74 | |||
United Arab Emirates | 1.59 | |||
Turkey | 1.21 | |||
|
| |||
TOTAL | 94.38 | % | ||
|
|
* | 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, 2018
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, 2018, the total return for the Fund was 11.54%, net of fees, while the total return for the Index was 11.45%.
Special note: Effective on or around May 23, 2018, the Fund will track a new underlying index, the MSCI Emerging Markets Extended ESG Focus Index, and will cease to track the MSCI Emerging Markets ESG Focus Index.
Average Annual Total Returns | Cumulative Total Returns | |||||||||||||||||||||||||||
NAV | MARKET | INDEX | NAV | MARKET | INDEX | |||||||||||||||||||||||
1 Year | 31.38% | 30.35% | 32.22% | 31.38% | 30.35% | 32.22% | ||||||||||||||||||||||
Since Inception | 29.79% | 29.29% | 31.22% | 54.72% | 53.72% | 57.51% |
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 8 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,115.40 | $ | 1.31 | $ | 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 8 for more information. |
ALLOCATION BY SECTOR
As of 2/28/18
Sector | Percentage of Total Investments* |
Information Technology | 29.61 | % | ||
Financials | 27.89 | |||
Consumer Discretionary | 10.10 | |||
Energy | 7.14 | |||
Consumer Staples | 5.80 | |||
Materials | 5.39 | |||
Telecommunication Services | 4.62 | |||
Industrials | 3.81 | |||
Health Care | 1.98 | |||
Utilities | 1.97 | |||
Real Estate | 1.69 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
China | 27.17 | % | ||
South Korea | 14.56 | |||
Taiwan | 12.58 | |||
India | 8.53 | |||
South Africa | 7.87 | |||
Brazil | 7.37 | |||
Malaysia | 3.92 | |||
Thailand | 3.51 | |||
Russia | 3.37 | |||
Mexico | 2.38 | |||
|
| |||
TOTAL | 91.26 | % | ||
|
|
* | Excludes money market funds. |
6 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Fund Performance Overview
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
Performance as of February 28, 2018
The iShares MSCI Emerging Markets ex China ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization emerging market equities, excluding China, as represented by the MSCI Emerging Markets ex China 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, 2018, the total return for the Fund was 8.49%, net of fees, while the total return for the Index was 8.98%.
Cumulative Total Returns | ||||||||||||
NAV | MARKET | INDEX | ||||||||||
Since Inception | 10.48% | 9.85% | 11.08% |
The inception date of the Fund was 7/18/17. The first day of secondary market trading was 7/20/17.
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 8 for more information.
Shareholder Expenses | ||||||||||||||||||||||||||
Actual | Hypothetical 5% Return | |||||||||||||||||||||||||
Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Beginning Account Value (9/1/17) | Ending Account Value (2/28/18) | Expenses Paid During Period a | Annualized Expense Ratio | ||||||||||||||||||||
$ | 1,000.00 | $ | 1,084.90 | $ | 2.12 | $ | 1,000.00 | $ | 1,022.80 | $ | 2.06 | 0.41% |
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 8 for more information. |
ALLOCATION BY SECTOR
As of 2/28/18
Sector | Percentage of Total Investments* |
Financials | 22.18 | % | ||
Information Technology | 19.33 | |||
Investment Companies | 11.63 | |||
Materials | 9.04 | |||
Consumer Discretionary | 8.57 | |||
Consumer Staples | 6.98 | |||
Energy | 6.89 | |||
Industrials | 4.81 | |||
Telecommunication Services | 4.34 | |||
Health Care | 2.31 | |||
Utilities | 2.18 | |||
Real Estate | 1.74 | |||
|
| |||
TOTAL | 100.00 | % | ||
|
|
TEN LARGEST COUNTRIES
As of 2/28/18
Country | Percentage of Total Investments* |
South Korea | 20.85 | % | ||
Taiwan | 16.27 | |||
India | 11.63 | |||
Brazil | 10.82 | |||
South Africa | 10.12 | |||
Russia | 5.29 | |||
Mexico | 4.12 | |||
Thailand | 3.53 | |||
Malaysia | 3.46 | |||
Indonesia | 3.11 | |||
|
| |||
TOTAL | 89.20 | % | ||
|
|
* | Excludes money market funds. |
FUND PERFORMANCE OVERVIEWS | 7 |
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, 2017 and held through February 28, 2018, 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.
8 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 90.32% |
| |||||||
BRAZIL — 4.26% |
| |||||||
BB Seguridade Participacoes SA | 10,500 | $ | 94,052 | |||||
Centrais Eletricas Brasileiras SAa | 70,000 | 533,713 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 112,000 | 1,297,977 | ||||||
EDP – Energias do Brasil SA | 91,000 | 372,543 | ||||||
Lojas Renner SA | 206,500 | 2,194,192 | ||||||
M. Dias Branco SA | 32,300 | 594,847 | ||||||
Odontoprev SA | 80,500 | 379,363 | ||||||
Porto Seguro SA | 38,500 | 542,644 | ||||||
Qualicorp SA | 75,200 | 665,487 | ||||||
Sul America SA Units | 84,078 | 552,540 | ||||||
Transmissora Alianca de Energia Eletrica SA Units | 63,000 | 397,537 | ||||||
|
| |||||||
7,624,895 | ||||||||
CHINA — 36.07% |
| |||||||
AAC Technologies Holdings Inc. | 184,500 | 3,675,712 | ||||||
Agile Group Holdings Ltd. | 560,000 | 966,097 | ||||||
Alibaba Group Holding Ltd. ADRa | 17,430 | 3,244,420 | ||||||
ANTA Sports Products Ltd. | 350,000 | 1,735,397 | ||||||
Autohome Inc. ADR | 17,010 | 1,330,352 | ||||||
BYD Electronic International Co. Ltd. | 227,500 | 564,004 | ||||||
China Communications Services Corp. Ltd. Class H | 738,000 | 439,482 | ||||||
China Conch Venture Holdings Ltd. | 595,000 | 1,790,634 | ||||||
China Everbright Ltd. | 280,000 | 616,155 | ||||||
China Medical System Holdings Ltd. | 455,000 | 914,035 | ||||||
China State Construction International Holdings Ltd. | 140,000 | 190,715 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 700,000 | 568,924 | ||||||
COSCO SHIPPING Ports Ltd. | 560,000 | 544,593 | ||||||
Country Garden Holdings Co. Ltd. | 1,750,000 | 3,148,761 | ||||||
CSPC Pharmaceutical Group Ltd. | 1,540,000 | 3,558,100 | ||||||
Dongfeng Motor Group Co. Ltd. Class H | 910,000 | 1,152,429 | ||||||
Geely Automobile Holdings Ltd. | 1,155,000 | 3,771,133 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 700,000 | 1,556,490 | ||||||
Haitian International Holdings Ltd. | 245,000 | 749,843 | ||||||
Jiangsu Expressway Co. Ltd. Class H | 420,000 | 653,726 |
Security | Shares | Value | ||||||
Kingboard Chemical Holdings Ltd. | 227,500 | $ | 1,155,627 | |||||
Lee & Man Paper Manufacturing Ltd. | 525,000 | 600,456 | ||||||
Longfor Properties Co. Ltd. | 490,000 | 1,415,153 | ||||||
New Oriental Education & Technology Group Inc. ADR | 45,990 | 4,203,026 | ||||||
Nexteer Automotive Group Ltd. | 280,000 | 624,027 | ||||||
Nine Dragons Paper Holdings Ltd. | 509,000 | 918,442 | ||||||
Shandong Weigao Group Medical Polymer Co. Ltd. Class H | 560,000 | 382,861 | ||||||
Shanghai Industrial Holdings Ltd. | 124,000 | 347,821 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 175,000 | 441,005 | ||||||
Sihuan Pharmaceutical Holdings Group Ltd. | 1,260,000 | 460,506 | ||||||
Sino Biopharmaceutical Ltd. | 1,470,000 | 2,783,970 | ||||||
Sino-Ocean Group Holding Ltd. | 997,500 | 711,289 | ||||||
Sunny Optical Technology Group Co. Ltd. | 201,700 | 3,368,841 | ||||||
TAL Education Group Class A ADR | 97,475 | 3,680,656 | ||||||
Tencent Holdings Ltd. | 115,500 | 6,379,193 | ||||||
Yum China Holdings Inc. | 96,215 | 4,168,034 | ||||||
YY Inc. ADRa | 14,035 | 1,815,147 | ||||||
|
| |||||||
64,627,056 | ||||||||
CZECH REPUBLIC — 0.51% | ||||||||
Moneta Money Bank ASb | 146,265 | 590,088 | ||||||
O2 Czech Republic AS | 24,990 | 325,668 | ||||||
|
| |||||||
915,756 | ||||||||
EGYPT — 0.18% |
| |||||||
Commercial International Bank Egypt SAE | 75,068 | 328,157 | ||||||
|
| |||||||
328,157 | ||||||||
HUNGARY — 0.84% |
| |||||||
MOL Hungarian Oil & Gas PLC | 56,210 | 614,815 | ||||||
Richter Gedeon Nyrt | 40,683 | 897,553 | ||||||
|
| |||||||
1,512,368 | ||||||||
INDONESIA — 2.72% |
| |||||||
Adaro Energy Tbk PT | 4,935,000 | 843,528 | ||||||
Bank Danamon Indonesia Tbk PT | 1,085,000 | 520,857 | ||||||
Bank Negara Indonesia Persero Tbk PT | 2,415,000 | 1,708,250 | ||||||
Bank Tabungan Negara Persero Tbk PT | 1,277,500 | 347,518 | ||||||
United Tractors Tbk PT | 563,500 | 1,459,112 | ||||||
|
| |||||||
4,879,265 |
SCHEDULESOF INVESTMENTS | 9 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
MALAYSIA — 1.15% |
| |||||||
AirAsia Bhd | 528,500 | $ | 590,970 | |||||
Alliance Bank Malaysia Bhd | 301,000 | 316,600 | ||||||
Hartalega Holdings Bhd | 213,500 | 636,630 | ||||||
PPB Group Bhdc | 115,500 | 521,917 | ||||||
|
| |||||||
2,066,117 | ||||||||
PERU — 1.16% |
| |||||||
Credicorp Ltd. | 9,625 | 2,083,331 | ||||||
|
| |||||||
2,083,331 | ||||||||
PHILIPPINES — 0.19% |
| |||||||
DMCI Holdings Inc. | 1,253,000 | 334,903 | ||||||
|
| |||||||
334,903 | ||||||||
POLAND — 0.62% |
| |||||||
Dino Polska SAa,b | 15,225 | 379,209 | ||||||
Jastrzebska Spolka Weglowa SAa | 17,675 | 475,563 | ||||||
Tauron Polska Energia SAa | 341,250 | 253,939 | ||||||
|
| |||||||
1,108,711 | ||||||||
RUSSIA — 5.81% |
| |||||||
Alrosa PJSC | 833,000 | 1,276,929 | ||||||
Inter RAO UES PJSC | 9,555,000 | 631,371 | ||||||
Mobile TeleSystems PJSC ADR | 163,030 | 1,949,839 | ||||||
PhosAgro PJSC GDRd | 15,960 | 245,784 | ||||||
RusHydro PJSC | 32,480,000 | 450,875 | ||||||
Surgutneftegas OJSC | 2,499,600 | 1,274,941 | ||||||
Tatneft PJSC Class S | 434,000 | 4,579,173 | ||||||
|
| |||||||
10,408,912 | ||||||||
SOUTH AFRICA — 4.90% |
| |||||||
Bidvest Group Ltd. (The) | 110,040 | 2,098,579 | ||||||
Capitec Bank Holdings Ltd. | 11,270 | 794,817 | ||||||
Coronation Fund Managers Ltd. | 78,050 | 528,654 | ||||||
Exxaro Resources Ltd. | 80,115 | 898,768 | ||||||
Kumba Iron Ore Ltd. | 21,735 | 645,214 | ||||||
Liberty Holdings Ltd. | 40,705 | 459,717 | ||||||
Mondi Ltd. | 45,018 | 1,174,787 | ||||||
Naspers Ltd. Class N | 1,960 | 543,146 | ||||||
Netcare Ltd. | 239,715 | 517,864 | ||||||
SPAR Group Ltd. (The) | 60,132 | 1,113,617 | ||||||
|
| |||||||
8,775,163 | ||||||||
SOUTH KOREA — 17.50% |
| |||||||
BGF retail Co. Ltd. | 1,643 | 263,997 | ||||||
BNK Financial Group Inc. | 94,018 | 972,390 | ||||||
DB Insurance Co. Ltd. | 16,135 | 1,035,537 | ||||||
DGB Financial Group Inc. | 42,910 | 491,351 | ||||||
E-MART Inc. | 7,000 | 1,965,094 |
Security | Shares | Value | ||||||
Hana Financial Group Inc. | 87,558 | $ | 3,974,029 | |||||
Hankook Tire Co. Ltd. | 24,465 | 1,332,935 | ||||||
Hanwha Chemical Corp. | 35,315 | 1,082,702 | ||||||
Hanwha Corp. | 14,525 | 592,186 | ||||||
Hanwha Life Insurance Co. Ltd. | 57,015 | 353,283 | ||||||
Hyosung Corp. | 6,895 | 795,895 | ||||||
Hyundai Department Store Co. Ltd. | 5,476 | 462,191 | ||||||
Hyundai Engineering & Construction Co. Ltd.a | 25,165 | 894,683 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 20,720 | 790,226 | ||||||
Hyundai Steel Co. | 25,830 | 1,278,500 | ||||||
ING Life Insurance Korea Ltd.b | 10,780 | 525,611 | ||||||
KT&G Corp. | 27,510 | 2,535,320 | ||||||
Kumho Petrochemical Co. Ltd. | 5,587 | 467,432 | ||||||
LG Corp. | 18,795 | 1,496,102 | ||||||
LG Display Co. Ltd. | 72,660 | 2,002,864 | ||||||
Lotte Chemical Corp. | 5,180 | 2,195,604 | ||||||
Samsung Electronics Co. Ltd. | 1,803 | 3,917,683 | ||||||
SK Telecom Co. Ltd. | 6,510 | 1,442,793 | ||||||
Yuhan Corp. | 2,566 | 492,869 | ||||||
|
| |||||||
31,361,277 | ||||||||
TAIWAN — 10.69% |
| |||||||
Airtac International Group | 35,000 | 641,366 | ||||||
Chicony Electronics Co. Ltd. | 175,621 | 432,503 | ||||||
China Life Insurance Co. Ltd./Taiwan | 1,155,320 | 1,163,412 | ||||||
Feng TAY Enterprise Co. Ltd. | 105,880 | 504,095 | ||||||
Innolux Corp. | 3,150,000 | 1,402,613 | ||||||
Inventec Corp. | 1,021,000 | 816,576 | ||||||
Lite-On Technology Corp. | 665,718 | 957,687 | ||||||
Macronix Internationala | 595,000 | 885,505 | ||||||
Micro-Star International Co. Ltd. | 210,000 | 614,992 | ||||||
Nanya Technology Corp. | 245,000 | 678,050 | ||||||
Nien Made Enterprise Co. Ltd. | 35,000 | 345,259 | ||||||
Novatek Microelectronics Corp. | 249,000 | 1,078,882 | ||||||
Phison Electronics Corp. | 35,000 | 342,861 | ||||||
Powertech Technology Inc. | 140,000 | 434,451 | ||||||
Realtek Semiconductor Corp. | 140,000 | 556,250 | ||||||
Ruentex Industries Ltd. | 175,000 | 307,496 | ||||||
Shin Kong Financial Holding Co. Ltd. | 2,135,000 | 881,189 | ||||||
Taiwan Business Bank | 805,504 | 238,378 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 360,000 | 3,033,344 |
10 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2018
Security | Shares | Value | ||||||
Teco Electric and Machinery Co. Ltd. | 525,000 | $ | 476,529 | |||||
Win Semiconductors Corp. | 105,000 | 965,645 | ||||||
Wistron Corp. | 854,906 | 717,412 | ||||||
WPG Holdings Ltd. | 683,000 | 877,276 | ||||||
Yageo Corp. | 70,000 | 792,417 | ||||||
|
| |||||||
19,144,188 | ||||||||
THAILAND — 0.93% |
| |||||||
Central Pattana PCL NVDR | 350,000 | 939,391 | ||||||
KCE Electronics PCL NVDR | 115,500 | 257,566 | ||||||
Robinson PCL NVDR | 220,500 | 472,400 | ||||||
|
| |||||||
1,669,357 | ||||||||
TURKEY — 1.21% |
| |||||||
Aselsan Elektronik Sanayi Ve Ticaret AS | 77,490 | 634,341 | ||||||
Turkiye Halk Bankasi AS | 173,145 | 438,042 | ||||||
Turkiye Sise ve Cam Fabrikalari AS | 304,500 | 382,380 | ||||||
Turkiye Vakiflar Bankasi TAO Class D | 215,005 | 415,160 | ||||||
Yapi ve Kredi Bankasi ASa | 236,600 | 295,871 | ||||||
|
| |||||||
2,165,794 | ||||||||
UNITED ARAB EMIRATES — 1.58% |
| |||||||
Aldar Properties PJSC | 997,095 | 586,375 | ||||||
DAMAC Properties Dubai Co. PJSC | 637,115 | 520,384 | ||||||
Dubai Investments PJSC | 441,980 | 265,938 | ||||||
Dubai Islamic Bank PJSC | 369,054 | 608,902 | ||||||
Emaar Properties PJSC | 510,023 | 856,761 | ||||||
|
| |||||||
2,838,360 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $144,254,180) | 161,843,610 | |||||||
INVESTMENT COMPANIES — 3.73% |
| |||||||
INDIA — 3.73% |
| |||||||
iShares MSCI India ETFe | 194,572 | 6,677,711 | ||||||
|
| |||||||
6,677,711 | ||||||||
|
| |||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $6,789,685) |
| 6,677,711 | ||||||
PREFERRED STOCKS — 5.45% |
| |||||||
BRAZIL — 2.78% |
| |||||||
Itausa-Investimentos Itau SA, | 1,232,080 | 4,975,726 | ||||||
|
| |||||||
4,975,726 |
Security | Shares | Value | ||||||
RUSSIA — 0.59% |
| |||||||
Surgutneftegas OJSC, | 2,037,000 | $ | 1,067,392 | |||||
|
| |||||||
1,067,392 | ||||||||
SOUTH KOREA — 2.08% |
| |||||||
LG Household & Health Care Ltd., | 665 | 377,053 | ||||||
Samsung Electronics Co. Ltd., | 1,820 | 3,352,941 | ||||||
|
| |||||||
3,729,994 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $8,374,505) |
| 9,773,112 | ||||||
RIGHTS — 0.03% |
| |||||||
BRAZIL — 0.03% |
| |||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 28,955 | 48,128 | ||||||
|
| |||||||
48,128 | ||||||||
|
| |||||||
TOTAL RIGHTS | ||||||||
(Cost: $0) | 48,128 | |||||||
SHORT-TERM INVESTMENTS — 0.10% |
| |||||||
MONEY MARKET FUNDS — 0.10% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 119,851 | 119,863 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 63,070 | 63,070 | ||||||
|
| |||||||
182,933 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $182,943) | 182,933 | |||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $159,601,313) |
| 178,525,494 | ||||||
Other Assets, Less Liabilities — 0.37% |
| 658,627 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 179,184,121 | |||||
|
|
SCHEDULESOF INVESTMENTS | 11 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® EDGE MSCI MULTIFACTOR EMERGING MARKETS ETF
February 28, 2018
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
c | All or a portion of this security is on loan. |
d | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 2,360,187 | — | (2,240,336 | )b | 119,851 | $ | 119,863 | $ | 6,510 | c | $ | (286 | ) | $ | (10 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 184,901 | — | (121,831 | )b | 63,070 | 63,070 | 1,078 | — | — | |||||||||||||||||||||||
iShares MSCI India ETF | 181,962 | 135,262 | (122,652 | ) | 194,572 | 6,677,711 | 36,667 | 672,267 | (812,315 | ) | ||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 6,860,644 | $ | 44,255 | $ | 671,981 | $ | (812,325 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
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, 2018. 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 | $ | 161,843,610 | $ | — | $ | — | $ | 161,843,610 | ||||||||
Investment companies | 6,677,711 | — | — | 6,677,711 | ||||||||||||
Preferred stocks | 9,773,112 | — | — | 9,773,112 | ||||||||||||
Rights | 48,128 | — | — | 48,128 | ||||||||||||
Money market funds | 182,933 | — | — | 182,933 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 178,525,494 | $ | — | $ | — | $ | 178,525,494 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
12 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 95.04% |
| |||||||
BRAZIL — 4.01% |
| |||||||
Ambev SA | 272,000 | $ | 1,841,939 | |||||
B3 SA – Brasil Bolsa Balcao | 204,000 | 1,608,766 | ||||||
Banco Bradesco SA | 40,820 | 462,763 | ||||||
Banco do Brasil SA | 47,600 | 612,445 | ||||||
Banco Santander Brasil SA Units | 63,900 | 723,233 | ||||||
Cia. Energetica de Minas Geraisa | 14,282 | 35,829 | ||||||
Cielo SA | 81,600 | 607,589 | ||||||
Cosan SA Industria e Comercio | 49,000 | 654,138 | ||||||
EDP – Energias do Brasil SA | 190,400 | 779,475 | ||||||
Localiza Rent a Car SA | 81,630 | 651,784 | ||||||
Lojas Renner SA | 27,210 | 289,123 | ||||||
Natura Cosmeticos SA | 70,000 | 739,700 | ||||||
Ultrapar Participacoes SA | 34,000 | 788,474 | ||||||
WEG SA | 81,600 | 587,997 | ||||||
|
| |||||||
10,383,255 | ||||||||
CHILE — 0.95% |
| |||||||
Banco de Credito e Inversiones SA | 3,536 | 263,545 | ||||||
Banco Santander Chile | 13,835,552 | 1,136,076 | ||||||
Empresas COPEC SA | 46,716 | 755,067 | ||||||
Latam Airlines Group SA | 19,312 | 316,392 | ||||||
|
| |||||||
2,471,080 | ||||||||
CHINA — 27.07% |
| |||||||
58.com Inc. ADRa | 3,640 | 274,347 | ||||||
AAC Technologies Holdings Inc. | 43,500 | 866,631 | ||||||
Agricultural Bank of China Ltd. Class H | 476,000 | 264,603 | ||||||
Air China Ltd. Class H | 280,000 | 427,230 | ||||||
Alibaba Group Holding Ltd. ADRa,b | 46,512 | 8,657,744 | ||||||
Alibaba Pictures Group Ltd.a | 4,900,000 | 670,006 | ||||||
Baidu Inc. ADRa | 10,132 | 2,556,709 | ||||||
Bank of China Ltd. Class H | 1,052,000 | 574,041 | ||||||
Bank of Communications Co. Ltd. Class H | 282,000 | 226,312 | ||||||
Beijing Enterprises Water Group Ltd. | 454,000 | 295,886 | ||||||
Brilliance China Automotive Holdings Ltd. | 300,000 | 808,915 | ||||||
BYD Co. Ltd. Class Hb | 140,000 | 1,296,180 | ||||||
BYD Electronic International Co. Ltd. | 204,000 | 506,266 | ||||||
China CITIC Bank Corp. Ltd. Class H | 1,292,000 | 942,752 |
Security | Shares | Value | ||||||
China Construction Bank Corp. Class H | 3,604,000 | $ | 3,753,543 | |||||
China Everbright Bank Co. Ltd. Class H | 1,972,000 | 1,015,573 | ||||||
China Everbright International Ltd. | 544,000 | 842,559 | ||||||
China Everbright Ltd. | 174,000 | 382,897 | ||||||
China Galaxy Securities Co. Ltd. Class H | 918,000 | 644,042 | ||||||
China Life Insurance Co. Ltd. Class H | 280,000 | 831,917 | ||||||
China Longyuan Power Group Corp. Ltd. Class H | 1,360,000 | 903,735 | ||||||
China Medical System Holdings Ltd. | 140,000 | 281,242 | ||||||
China Mengniu Dairy Co. Ltd. | 68,000 | 223,327 | ||||||
China Merchants Bank Co. Ltd. Class H | 374,000 | 1,579,582 | ||||||
China Minsheng Banking Corp. Ltd. Class H | 771,000 | 805,947 | ||||||
China Molybdenum Co. Ltd. Class H | 1,020,000 | 823,790 | ||||||
China Oilfield Services Ltd. Class H | 272,000 | 287,110 | ||||||
China Pacific Insurance Group Co. Ltd. Class H | 149,600 | 736,023 | ||||||
China Shenhua Energy Co. Ltd. Class H | 246,000 | 699,462 | ||||||
China Vanke Co. Ltd. Class H | 74,800 | 335,990 | ||||||
Chongqing Rural Commercial Bank Co. Ltd. Class H | 356,000 | 289,338 | ||||||
CRRC Corp. Ltd. Class H | 210,000 | 192,414 | ||||||
CSPC Pharmaceutical Group Ltd. | 144,000 | 332,705 | ||||||
Fosun International Ltd. | 245,000 | 540,388 | ||||||
GCL-Poly Energy Holdings Ltd.a | 2,800,000 | 443,689 | ||||||
Geely Automobile Holdings Ltd. | 680,000 | 2,220,234 | ||||||
Guangzhou Automobile Group Co. Ltd. Class H | 272,000 | 604,807 | ||||||
Haier Electronics Group Co. Ltd. | 72,000 | 247,045 | ||||||
Huaneng Renewables Corp. Ltd. Class H | 2,520,000 | 843,725 | ||||||
Industrial & Commercial Bank of China Ltd. Class H | 2,872,000 | 2,481,019 | ||||||
JD.com Inc. ADRa | 12,104 | 570,704 | ||||||
Lee & Man Paper Manufacturing Ltd. | 204,000 | 233,320 | ||||||
Lenovo Group Ltd. | 2,040,000 | 1,066,234 | ||||||
Momo Inc. ADRa | 8,364 | 276,430 | ||||||
NetEase Inc. ADR | 1,632 | 478,747 |
SCHEDULESOF INVESTMENTS | 13 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
Security | Shares | Value | ||||||
New Oriental Education & Technology Group Inc. ADR | 3,332 | $ | 304,511 | |||||
People’s Insurance Co. Group of China Ltd. (The) Class H | 630,000 | 340,549 | ||||||
Ping An Insurance Group Co. of China Ltd. Class H | 315,000 | 3,359,200 | ||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd. Class H | 118,000 | 686,862 | ||||||
Shanghai Pharmaceuticals Holding Co. Ltd. Class H | 292,400 | 736,857 | ||||||
Shenzhou International Group Holdings Ltd. | 68,000 | 673,457 | ||||||
Sino Biopharmaceutical Ltd. | 204,000 | 384,783 | ||||||
Sino-Ocean Group Holding Ltd. | 442,000 | 315,178 | ||||||
Sinopharm Group Co. Ltd. Class H | 217,600 | 960,740 | ||||||
SOHO China Ltd. | 1,435,000 | 825,208 | ||||||
Sunac China Holdings Ltd. | 140,000 | 513,463 | ||||||
Sunny Optical Technology Group Co. Ltd. | 20,400 | 344,636 | ||||||
Tencent Holdings Ltd. | 292,400 | 16,149,576 | ||||||
TravelSky Technology Ltd. Class H | 142,000 | 453,657 | ||||||
Vipshop Holdings Ltd. ADRa | 14,960 | 260,154 | ||||||
Weibo Corp. ADRa | 2,046 | 262,952 | ||||||
Yanzhou Coal Mining Co. Ltd. Class H | 136,000 | 205,774 | ||||||
|
| |||||||
70,112,717 | ||||||||
COLOMBIA — 0.72% |
| |||||||
Cementos Argos SA | 428,960 | 1,561,249 | ||||||
Grupo Argos SA/Colombia | 43,248 | 291,292 | ||||||
|
| |||||||
1,852,541 | ||||||||
CZECH REPUBLIC — 0.42% |
| |||||||
Komercni Banka AS | 24,480 | 1,088,668 | ||||||
|
| |||||||
1,088,668 | ||||||||
EGYPT — 0.11% |
| |||||||
Global Telecom Holding SAEa | 708,288 | 271,524 | ||||||
|
| |||||||
271,524 | ||||||||
GREECE — 0.24% |
| |||||||
Alpha Bank AEa | 86,564 | 204,399 | ||||||
Hellenic Telecommunications Organization SA | 29,716 | 423,682 | ||||||
|
| |||||||
628,081 | ||||||||
HUNGARY — 0.61% |
| |||||||
MOL Hungarian Oil & Gas PLC | 145,248 | 1,588,698 | ||||||
|
| |||||||
1,588,698 |
Security | Shares | Value | ||||||
INDIA — 8.50% |
| |||||||
Axis Bank Ltd. GDRc | 66,886 | $ | 2,672,096 | |||||
ICICI Bank Ltd. ADR | 333,247 | 3,165,846 | ||||||
Infosys Ltd. ADR | 303,889 | 5,366,680 | ||||||
Mahindra & Mahindra Ltd. GDR | 258,944 | 2,848,384 | ||||||
Reliance Industries Ltd. GDRd | 161,772 | 4,715,654 | ||||||
Wipro Ltd. ADR | 587,316 | 3,236,111 | ||||||
|
| |||||||
22,004,771 | ||||||||
INDONESIA — 1.86% |
| |||||||
Astra International Tbk PT | 1,251,200 | 734,876 | ||||||
Bank Danamon Indonesia Tbk PT | 496,400 | 235,590 | ||||||
Bank Mandiri Persero Tbk PT | 1,434,800 | 866,192 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 2,665,600 | 732,878 | ||||||
Kalbe Farma Tbk PT | 3,420,400 | 398,053 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 1,026,800 | 298,738 | ||||||
Unilever Indonesia Tbk PT | 154,000 | 603,746 | ||||||
United Tractors Tbk PT | 258,400 | 669,094 | ||||||
XL Axiata Tbk PTa | 1,267,000 | 271,859 | ||||||
|
| |||||||
4,811,026 | ||||||||
MALAYSIA — 3.91% |
| |||||||
Astro Malaysia Holdings Bhd | 1,468,800 | 907,454 | ||||||
Axiata Group Bhd | 434,000 | 598,315 | ||||||
CIMB Group Holdings Bhd | 238,000 | 436,870 | ||||||
DiGi.Com Bhd | 346,800 | 428,520 | ||||||
Maxis Bhd | 245,000 | 369,658 | ||||||
Nestle Malaysia Bhd | 40,800 | 1,282,226 | ||||||
Petronas Dagangan Bhd | 68,000 | 447,894 | ||||||
Public Bank Bhd | 666,400 | 3,912,994 | ||||||
Sime Darby Bhd | 510,000 | 359,357 | ||||||
Sime Darby Plantation Bhda | 516,800 | 705,867 | ||||||
Sime Darby Property Bhda | 598,400 | 215,406 | ||||||
Telekom Malaysia Bhd | 299,200 | 450,671 | ||||||
|
| |||||||
10,115,232 | ||||||||
MEXICO — 2.37% |
| |||||||
Arca Continental SAB de CV | 106,700 | 739,950 | ||||||
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand Class B | 299,200 | 421,991 | ||||||
Coca-Cola Femsa SAB de CV Series L | 266,000 | 1,790,534 | ||||||
Gentera SAB de CV | 904,400 | 738,207 |
14 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
Security | Shares | Value | ||||||
Grupo Financiero Banorte SAB de CV Series O | 217,657 | $ | 1,305,457 | |||||
Industrias Penoles SAB de CV | 13,600 | 296,941 | ||||||
Infraestructura Energetica Nova SAB de CV | 47,600 | 225,297 | ||||||
Kimberly-Clark de Mexico SAB de CV Series A | 346,800 | 631,398 | ||||||
|
| |||||||
6,149,775 | ||||||||
PHILIPPINES — 0.40% |
| |||||||
SM Prime Holdings Inc. | 1,543,600 | 1,046,257 | ||||||
|
| |||||||
1,046,257 | ||||||||
POLAND — 0.96% |
| |||||||
Bank Handlowy w Warszawie SA | 11,152 | 272,718 | ||||||
Bank Zachodni WBK SA | 3,439 | 375,538 | ||||||
KGHM Polska Miedz SA | 31,212 | 956,376 | ||||||
mBank SAa | 2,870 | 383,588 | ||||||
Polski Koncern Naftowy ORLEN SA | 17,544 | 494,155 | ||||||
|
| |||||||
2,482,375 | ||||||||
QATAR — 0.41% |
| |||||||
Ooredoo QPSC | 27,880 | 664,318 | ||||||
Qatar Gas Transport Co. Ltd. | 82,390 | 384,511 | ||||||
|
| |||||||
1,048,829 | ||||||||
RUSSIA — 3.35% |
| |||||||
Alrosa PJSC | 408,000 | 625,434 | ||||||
Gazprom PJSC | 29,240 | 74,355 | ||||||
Gazprom PJSC ADR | 40,320 | 201,761 | ||||||
Inter RAO UES PJSC | 11,760,000 | 777,072 | ||||||
LUKOIL PJSC | 17,680 | 1,185,994 | ||||||
LUKOIL PJSC ADR | 2,520 | 169,092 | ||||||
Novatek PJSC GDRc | 9,874 | 1,347,801 | ||||||
Novolipetsk Steel PJSC | 159,400 | 413,666 | ||||||
Rosneft Oil Co. PJSC | 2,040 | 11,976 | ||||||
RusHydro PJSC | 37,377,000 | 518,853 | ||||||
Sberbank of Russia PJSC | 73,710 | 356,652 | ||||||
Sberbank of Russia PJSC ADR | 125,324 | 2,562,876 | ||||||
Tatneft PJSC Class S | 41,480 | 437,659 | ||||||
|
| |||||||
8,683,191 | ||||||||
SOUTH AFRICA — 7.84% |
| |||||||
Barclays Africa Group Ltd. | 39,916 | 671,255 | ||||||
Exxaro Resources Ltd. | 38,760 | 434,828 | ||||||
FirstRand Ltd. | 183,396 | 1,148,191 | ||||||
Foschini Group Ltd. (The) | 22,252 | 404,368 | ||||||
Gold Fields Ltd. | 59,704 | 231,710 |
Security | Shares | Value | ||||||
Growthpoint Properties Ltd. | 239,972 | $ | 610,108 | |||||
Imperial Holdings Ltd. | 46,648 | 990,599 | ||||||
Investec Ltd. | 252,280 | 2,190,719 | ||||||
Kumba Iron Ore Ltd. | 28,424 | 825,503 | ||||||
Mondi Ltd. | 22,168 | 578,495 | ||||||
Mr. Price Group Ltd. | 15,640 | 374,684 | ||||||
Naspers Ltd. Class N | 19,244 | 5,332,807 | ||||||
Nedbank Group Ltd. | 9,360 | 228,026 | ||||||
NEPI Rockcastle PLC | 48,620 | 491,112 | ||||||
Netcare Ltd. | 332,520 | 718,353 | ||||||
Sanlam Ltd. | 86,564 | 669,191 | ||||||
Standard Bank Group Ltd. | 71,536 | 1,320,026 | ||||||
Vodacom Group Ltd. | 153,476 | 2,116,126 | ||||||
Woolworths Holdings Ltd./South Africa | 174,896 | 968,290 | ||||||
|
| |||||||
20,304,391 | ||||||||
SOUTH KOREA — 13.75% |
| |||||||
Amorepacific Corp. | 1,768 | 459,592 | ||||||
AMOREPACIFIC Group | 3,850 | 447,964 | ||||||
BNK Financial Group Inc. | 150,348 | 1,554,989 | ||||||
Celltrion Inc.a | 1,904 | 620,659 | ||||||
CJ CheilJedang Corp. | 1,292 | 403,265 | ||||||
DGB Financial Group Inc. | 98,600 | 1,129,042 | ||||||
Doosan Heavy Industries & Construction Co. Ltd.a | 17,500 | 241,597 | ||||||
GS Holdings Corp. | 15,776 | 962,964 | ||||||
Hana Financial Group Inc. | 6,460 | 293,203 | ||||||
Hankook Tire Co. Ltd. | 10,472 | 570,549 | ||||||
Hanwha Chemical Corp. | 11,900 | 364,835 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 8,840 | 337,143 | ||||||
Hyundai Motor Co. | 748 | 111,554 | ||||||
Kangwon Land Inc.a | 10,268 | 273,554 | ||||||
KB Financial Group Inc. | 26,452 | 1,563,328 | ||||||
LG Chem Ltd. | 3,944 | 1,394,914 | ||||||
LG Corp. | 7,616 | 606,242 | ||||||
LG Display Co. Ltd. | 37,196 | 1,025,303 | ||||||
LG Electronics Inc. | 14,688 | 1,355,002 | ||||||
LG Household & Health Care Ltd. | 840 | 853,264 | ||||||
LG Innotek Co. Ltd. | 4,488 | 547,064 | ||||||
NAVER Corp. | 1,360 | 1,008,477 | ||||||
NCSoft Corp. | 680 | 235,479 | ||||||
POSCO | 7,480 | 2,497,017 | ||||||
S-Oil Corp. | 4,556 | 519,592 | ||||||
Samsung Card Co. Ltd. | 525 | 17,599 |
SCHEDULESOF INVESTMENTS | 15 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
Security | Shares | Value | ||||||
Samsung Electro-Mechanics Co. Ltd. | 4,556 | $ | 389,589 | |||||
Samsung Electronics Co. Ltd. | 4,420 | 9,604,082 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 1,768 | 471,837 | ||||||
Samsung SDI Co. Ltd. | 2,730 | 431,092 | ||||||
Shinhan Financial Group Co. Ltd. | 59,568 | 2,607,372 | ||||||
SK Holdings Co. Ltd. | 2,660 | 698,836 | ||||||
SK Hynix Inc. | 18,020 | 1,277,991 | ||||||
SK Telecom Co. Ltd. | 3,290 | 729,153 | ||||||
|
| |||||||
35,604,143 | ||||||||
TAIWAN — 12.53% |
| |||||||
Acer Inc. | 1,020,000 | 859,448 | ||||||
Advanced Semiconductor Engineering Inc. | 408,372 | 556,003 | ||||||
Cathay Financial Holding Co. Ltd. | 272,000 | 507,750 | ||||||
Chailease Holding Co. Ltd. | 136,000 | 457,440 | ||||||
Chunghwa Telecom Co. Ltd. | 980,000 | 3,675,567 | ||||||
Delta Electronics Inc. | 87,000 | 414,208 | ||||||
E.Sun Financial Holding Co. Ltd. | 1,972,000 | 1,306,989 | ||||||
Eva Airways Corp. | 1,680,441 | 863,373 | ||||||
Far Eastern New Century Corp. | 1,610,000 | 1,431,025 | ||||||
Fubon Financial Holding Co. Ltd. | 952,000 | 1,702,125 | ||||||
Hiwin Technologies Corp. | 17,380 | 223,237 | ||||||
Hotai Motor Co. Ltd. | 70,000 | 780,429 | ||||||
Inventec Corp. | 816,000 | 652,621 | ||||||
Lite-On Technology Corp. | 490,039 | 704,959 | ||||||
Macronix Internationala | 272,000 | 404,802 | ||||||
MediaTek Inc. | 71,000 | 731,996 | ||||||
President Chain Store Corp. | 158,000 | 1,593,773 | ||||||
Siliconware Precision Industries Co. Ltd. | 140,000 | 244,079 | ||||||
Taiwan Mobile Co. Ltd. | 350,000 | 1,288,726 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 1,540,000 | 12,975,972 | ||||||
Wistron Corp. | 1,292,529 | 1,084,652 | ||||||
|
| |||||||
32,459,174 | ||||||||
THAILAND — 3.50% |
| |||||||
BTS Group Holdings PCL NVDR | 7,146,800 | 1,855,572 | ||||||
Kasikornbank PCL NVDR | �� | 224,400 | 1,658,515 | |||||
Minor International PCL NVDR | 1,108,400 | 1,430,080 | ||||||
PTT Exploration & Production PCL NVDR | 133,000 | 489,376 | ||||||
PTT PCL NVDR | 49,000 | 886,652 | ||||||
Siam Cement PCL (The) Foreign | 14,000 | 218,541 |
Security | Shares | Value | ||||||
Siam Cement PCL (The) NVDR | 112,000 | $ | 1,748,327 | |||||
Siam Commercial Bank PCL (The) NVDR | 163,200 | 774,667 | ||||||
|
| |||||||
9,061,730 | ||||||||
TURKEY — 0.91% |
| |||||||
Anadolu Efes Biracilik Ve Malt Sanayii AS | 42,092 | 283,971 | ||||||
Arcelik AS | 208,012 | 1,035,565 | ||||||
Coca-Cola Icecek AS | 71,740 | 695,830 | ||||||
Ulker Biskuvi Sanayi AS | 57,596 | 341,359 | ||||||
|
| |||||||
2,356,725 | ||||||||
UNITED ARAB EMIRATES — 0.62% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 561,748 | 1,116,476 | ||||||
First Abu Dhabi Bank PJSC | 156,264 | 491,390 | ||||||
|
| |||||||
1,607,866 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS | ||||||||
(Cost: $223,025,040) |
| 246,132,049 | ||||||
PREFERRED STOCKS — 4.60% |
| |||||||
BRAZIL — 3.33% |
| |||||||
Banco Bradesco SA, Preference Shares | 204,050 | 2,435,096 | ||||||
Cia. Brasileira de Distribuicao, Preference Shares | 28,000 | 590,295 | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 278,200 | 703,046 | ||||||
Gerdau SA, | 61,799 | 316,152 | ||||||
Itau Unibanco Holding SA, Preference Shares | 192,702 | 2,988,327 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 315,072 | 1,272,411 | ||||||
Telefonica Brasil SA, Preference Shares | 21,000 | 327,403 | ||||||
|
| |||||||
8,632,730 | ||||||||
CHILE — 0.40% |
| |||||||
Embotelladora Andina SA Class B, Preference Shares | 151,436 | 749,095 | ||||||
Sociedad Quimica y Minera de Chile SA Series B, | 5,372 | 272,299 | ||||||
|
| |||||||
1,021,394 | ||||||||
COLOMBIA — 0.11% |
| |||||||
Bancolombia SA, | 27,523 | 289,581 | ||||||
|
| |||||||
289,581 |
16 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
Security | Shares | Value | ||||||
SOUTH KOREA — 0.76% |
| |||||||
LG Chem Ltd., | 1,330 | $ | 263,446 | |||||
Samsung Electronics Co. Ltd., Preference Shares | 927 | 1,707,789 | ||||||
|
| |||||||
1,971,235 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $10,261,146) |
| 11,914,940 | ||||||
RIGHTS — 0.00% |
| |||||||
BRAZIL — 0.00% |
| |||||||
Itausa-Investimentos Itau SA (Expires 03/29/18)a | 7,193 | 11,956 | ||||||
|
| |||||||
11,956 | ||||||||
|
| |||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 11,956 | ||||||
SHORT-TERM INVESTMENTS — 2.68% |
| |||||||
MONEY MARKET FUNDS — 2.68% |
| |||||||
BlackRock Cash Funds: Institutional, |
| |||||||
1.58%e,f,g | 6,593,105 | 6,593,765 | ||||||
BlackRock Cash Funds: Treasury, |
| |||||||
1.32%e,f | 344,458 | 344,458 | ||||||
|
| |||||||
6,938,223 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $6,938,219) |
| 6,938,223 | ||||||
|
|
Value | ||||||||
TOTAL INVESTMENTS IN |
| |||||||
(Cost: $240,224,405) | $ | 264,997,168 | ||||||
Other Assets, Less Liabilities — (2.32)% |
| (6,016,522 | ) | |||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 258,980,646 | |||||
|
|
ADR — American Depositary Receipts
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | All or a portion of this security is on loan. |
c | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
d | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
e | Affiliate of the Fund. |
f | Annualized 7-day yield as of period end. |
g | All or a portion of this security was purchased with cash collateral received from loaned securities. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss)a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Institutional, | 3,986,796 | 2,606,309 | b | — | 6,593,105 | $ | 6,593,765 | $ | 20,805 | c | $ | (513 | ) | $ | (55 | ) | ||||||||||||||||
BlackRock Cash Funds: Treasury, | 113,313 | 231,145 | b | — | 344,458 | 344,458 | 1,502 | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 6,938,223 | $ | 22,307 | $ | (513 | ) | $ | (55 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
c | Includes the Fund’s portion of securities lending income earned from the reinvestment of cash collateral from loaned securities (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. |
SCHEDULESOF INVESTMENTS | 17 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EM ESG OPTIMIZED ETF
February 28, 2018
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, 2018. 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 | $ | 245,083,220 | $ | 1,048,829 | $ | — | $ | 246,132,049 | ||||||||
Preferred stocks | 11,914,940 | — | — | 11,914,940 | ||||||||||||
Rights | 11,956 | — | — | 11,956 | ||||||||||||
Money market funds | 6,938,223 | — | — | 6,938,223 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 263,948,339 | $ | 1,048,829 | $ | — | $ | 264,997,168 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
18 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
COMMON STOCKS — 82.55% |
| |||||||
BRAZIL — 6.76% |
| |||||||
Ambev SA | 13,000 | $ | 88,034 | |||||
Atacadao Distribuicao Comercio e Industria Ltdaa | 600 | 2,743 | ||||||
B3 SA – Brasil Bolsa Balcao | 6,200 | 48,894 | ||||||
Banco Bradesco SA | 2,200 | 24,941 | ||||||
Banco do Brasil SA | 2,600 | 33,453 | ||||||
Banco Santander Brasil SA Units | 1,200 | 13,582 | ||||||
BB Seguridade Participacoes SA | 2,200 | 19,706 | ||||||
BR Malls Participacoes SA | 3,000 | 11,017 | ||||||
BRF SAa | 1,400 | 12,894 | ||||||
CCR SA | 4,000 | 15,637 | ||||||
Centrais Eletricas Brasileiras SAa | 1,000 | 7,624 | ||||||
Cia. de Saneamento Basico do Estado de Sao Paulo | 800 | 9,271 | ||||||
Cia. Energetica de Minas Geraisa | 508 | 1,274 | ||||||
Cia. Siderurgica Nacional SAa | 1,800 | 5,624 | ||||||
Cielo SA | 3,600 | 26,805 | ||||||
Cosan SA Industria e Comercio | 600 | 8,010 | ||||||
Embraer SA | 2,000 | 13,396 | ||||||
Engie Brasil Energia SA | 600 | 7,230 | ||||||
Equatorial Energia SA | 600 | 13,224 | ||||||
Fibria Celulose SA | 800 | 15,186 | ||||||
Hypera SA | 1,000 | 10,626 | ||||||
JBS SA | 2,600 | 7,931 | ||||||
Klabin SA Units | 1,800 | 9,918 | ||||||
Kroton Educacional SA | 3,400 | 16,222 | ||||||
Localiza Rent a Car SA | 1,600 | 12,775 | ||||||
Lojas Renner SA | 2,400 | 25,501 | ||||||
Multiplan Empreendimentos Imobiliarios SA | 400 | 8,643 | ||||||
Petroleo Brasileiro SAa | 8,200 | 58,432 | ||||||
Qualicorp SA | 600 | 5,310 | ||||||
Raia Drogasil SA | 600 | 14,357 | ||||||
Rumo SAa | 3,000 | 13,150 | ||||||
Suzano Papel e Celulose SA | 1,600 | 10,712 | ||||||
TIM Participacoes SA | 2,600 | 11,284 | ||||||
Ultrapar Participacoes SA | 1,000 | 23,190 | ||||||
Vale SA | 8,871 | 123,013 | ||||||
WEG SA | 1,800 | 12,970 | ||||||
|
| |||||||
742,579 | ||||||||
CHILE — 1.57% |
| |||||||
Banco de Chile | 36,924 | 6,267 | ||||||
Banco de Credito e Inversiones SA | 101 | 7,528 |
Security | Shares | Value | ||||||
Banco Santander Chile | 119,992 | $ | 9,853 | |||||
Cencosud SA | 3,790 | 11,528 | ||||||
Cia. Cervecerias Unidas SA | 468 | 6,601 | ||||||
Colbun SA | 44,700 | 10,866 | ||||||
Empresas CMPC SA | 2,794 | 10,785 | ||||||
Empresas COPEC SA | 1,478 | 23,889 | ||||||
Enel Americas SA | 95,012 | 21,938 | ||||||
Enel Chile SA | 57,028 | 7,042 | ||||||
Enel Generacion Chile SA | 8,716 | 8,161 | ||||||
Itau CorpBanca | 948,293 | 9,691 | ||||||
Latam Airlines Group SA | 1,112 | 18,218 | ||||||
SACI Falabella | 2,030 | 20,545 | ||||||
|
| |||||||
172,912 | ||||||||
COLOMBIA — 0.52% |
| |||||||
Bancolombia SA | 980 | 10,304 | ||||||
Cementos Argos SA | 1,302 | 4,739 | ||||||
Ecopetrol SA | 16,956 | 14,837 | ||||||
Grupo Argos SA/Colombia | 1,030 | 6,938 | ||||||
Grupo de Inversiones Suramericana SA | 988 | 13,233 | ||||||
Interconexion Electrica SA ESP | 1,354 | 6,467 | ||||||
|
| |||||||
56,518 | ||||||||
CZECH REPUBLIC — 0.25% |
| |||||||
CEZ AS | 650 | 15,756 | ||||||
Komercni Banka AS | 260 | 11,563 | ||||||
|
| |||||||
27,319 | ||||||||
EGYPT — 0.15% |
| |||||||
Commercial International Bank Egypt SAE | 3,660 | 16,000 | ||||||
|
| |||||||
16,000 | ||||||||
GREECE — 0.44% |
| |||||||
Alpha Bank AEa | 5,258 | 12,576 | ||||||
Hellenic Telecommunications Organization SA | 1,098 | 15,655 | ||||||
JUMBO SA | 496 | 9,038 | ||||||
OPAP SA | 896 | 10,939 | ||||||
|
| |||||||
48,208 | ||||||||
HUNGARY — 0.47% |
| |||||||
MOL Hungarian Oil & Gas PLC | 1,104 | 12,075 | ||||||
OTP Bank PLC | 680 | 30,374 | ||||||
Richter Gedeon Nyrt | 416 | 9,178 | ||||||
|
| |||||||
51,627 | ||||||||
INDONESIA — 3.09% |
| |||||||
Adaro Energy Tbk PT | 54,200 | 9,264 | ||||||
Astra International Tbk PT | 63,600 | 37,355 |
SCHEDULESOF INVESTMENTS | 19 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
Bank Central Asia Tbk PT | 30,400 | $ | 51,243 | |||||
Bank Mandiri Persero Tbk PT | 59,200 | 35,739 | ||||||
Bank Negara Indonesia Persero Tbk PT | 24,200 | 17,118 | ||||||
Bank Rakyat Indonesia Persero Tbk PT | 166,400 | 45,750 | ||||||
Charoen Pokphand Indonesia Tbk PT | 26,000 | 6,505 | ||||||
Gudang Garam Tbk PT | 1,600 | 9,281 | ||||||
Hanjaya Mandala Sampoerna Tbk PT | 32,600 | 11,429 | ||||||
Indocement Tunggal Prakarsa Tbk PT | 5,800 | 9,270 | ||||||
Indofood Sukses Makmur Tbk PT | 16,000 | 8,816 | ||||||
Kalbe Farma Tbk PT | 67,400 | 7,844 | ||||||
Matahari Department Store Tbk PT | 9,000 | 6,972 | ||||||
Semen Indonesia Persero Tbk PT | 11,400 | 9,225 | ||||||
Telekomunikasi Indonesia Persero Tbk PT | 141,400 | 41,139 | ||||||
Unilever Indonesia Tbk PT | 5,000 | 19,602 | ||||||
United Tractors Tbk PT | 5,000 | 12,947 | ||||||
|
| |||||||
339,499 | ||||||||
MALAYSIA — 3.45% |
| |||||||
AMMB Holdings Bhd | 7,600 | 8,033 | ||||||
Axiata Group Bhd | 8,600 | 11,856 | ||||||
CIMB Group Holdings Bhd | 13,600 | 24,964 | ||||||
DiGi.Com Bhd | 10,200 | 12,603 | ||||||
Gamuda Bhd | 7,600 | 9,624 | ||||||
Genting Bhd | 6,800 | 15,364 | ||||||
Genting Malaysia Bhd | 10,000 | 13,454 | ||||||
Hong Leong Bank Bhd | 3,000 | 15,333 | ||||||
IHH Healthcare Bhd | 6,000 | 9,053 | ||||||
IJM Corp. Bhd | 8,000 | 5,555 | ||||||
IOI Corp. Bhd | 8,200 | 9,818 | ||||||
IOI Properties Group Bhd | 14,600 | 6,895 | ||||||
Kuala Lumpur Kepong Bhd | 2,200 | 14,064 | ||||||
Malayan Banking Bhd | 12,400 | 33,113 | ||||||
Malaysia Airports Holdings Bhd | 4,800 | 10,661 | ||||||
Maxis Bhd | 6,800 | 10,260 | ||||||
MISC Bhd | 6,800 | 11,909 | ||||||
Petronas Chemicals Group Bhd | 6,800 | 14,044 | ||||||
Petronas Gas Bhd | 3,200 | 14,395 | ||||||
PPB Group Bhd | 2,600 | 11,749 | ||||||
Public Bank Bhd | 8,400 | 49,323 | ||||||
Sime Darby Plantation Bhda | 6,800 | 9,288 | ||||||
Sime Darby Property Bhda | 10,000 | 3,600 | ||||||
Tenaga Nasional Bhd | 10,600 | 42,487 | ||||||
YTL Corp. Bhd | 30,040 | 10,967 | ||||||
|
| |||||||
378,412 |
Security | Shares | Value | ||||||
MEXICO — 4.10% |
| |||||||
Alfa SAB de CV Class A | 9,800 | $ | 11,630 | |||||
America Movil SAB de CV Series L | 95,600 | 87,863 | ||||||
Arca Continental SAB de CV | 1,200 | 8,322 | ||||||
Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand Class B | 4,200 | 5,924 | ||||||
Cemex SAB de CV CPOa | 40,400 | 26,659 | ||||||
Coca-Cola Femsa SAB de CV Series L | 1,400 | 9,424 | ||||||
Fibra Uno Administracion SA de CV | 7,600 | 10,707 | ||||||
Fomento Economico Mexicano SAB de CV | 5,400 | 49,950 | ||||||
Gruma SAB de CV Series B | 730 | 8,443 | ||||||
Grupo Aeroportuario del Pacifico SAB de CV Series B | 1,200 | 11,583 | ||||||
Grupo Aeroportuario del Sureste SAB de CV Series B | 770 | 13,632 | ||||||
Grupo Bimbo SAB de CV Series A | 6,000 | 14,028 | ||||||
Grupo Financiero Banorte SAB de CV Series O | 7,000 | 41,984 | ||||||
Grupo Financiero Inbursa SAB de CV Series O | 7,000 | 11,175 | ||||||
Grupo Mexico SAB de CV Series B | 11,200 | 38,200 | ||||||
Grupo Televisa SAB CPO | 7,600 | 25,986 | ||||||
Industrias Penoles SAB de CV | 400 | 8,734 | ||||||
Infraestructura Energetica Nova SAB de CV | 1,200 | 5,680 | ||||||
Kimberly-Clark de Mexico SAB de CV Series A | 5,000 | 9,103 | ||||||
Mexichem SAB de CV | 3,600 | 10,082 | ||||||
Promotora y Operadora de Infraestructura SAB de CV | 670 | 6,832 | ||||||
Wal-Mart de Mexico SAB de CV | 14,800 | 34,515 | ||||||
|
| |||||||
450,456 | ||||||||
PAKISTAN — 0.07% |
| |||||||
Lucky Cement Ltd. | 1,350 | 7,336 | ||||||
|
| |||||||
7,336 | ||||||||
PERU — 0.57% |
| |||||||
Cia. de Minas Buenaventura SAA ADR | 538 | 8,366 | ||||||
Credicorp Ltd. | 190 | 41,126 | ||||||
Southern Copper Corp. | 258 | 13,604 | ||||||
|
| |||||||
63,096 | ||||||||
PHILIPPINES — 1.47% |
| |||||||
Aboitiz Equity Ventures Inc. | 7,300 | 10,849 | ||||||
Ayala Corp. | 790 | 16,034 |
20 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
Ayala Land Inc. | 26,000 | $ | 20,518 | |||||
BDO Unibank Inc. | 7,400 | 22,137 | ||||||
GT Capital Holdings Inc. | 360 | 9,332 | ||||||
JG Summit Holdings Inc. | 9,680 | 13,383 | ||||||
Jollibee Foods Corp. | 1,820 | 10,428 | ||||||
Metro Pacific Investments Corp. | 53,600 | 5,794 | ||||||
PLDT Inc. | 300 | 8,756 | ||||||
SM Investments Corp. | 720 | 12,995 | ||||||
SM Prime Holdings Inc. | 31,000 | 21,012 | ||||||
Universal Robina Corp. | 3,740 | 10,700 | ||||||
|
| |||||||
161,938 | ||||||||
POLAND — 1.81% |
| |||||||
Alior Bank SAa | 384 | 9,340 | ||||||
Bank Pekao SA | 562 | 21,722 | ||||||
Bank Zachodni WBK SA | 122 | 13,322 | ||||||
CCC SA | 96 | 7,060 | ||||||
CD Projekt SA | 194 | 6,058 | ||||||
KGHM Polska Miedz SA | 454 | 13,911 | ||||||
LPP SA | 4 | 10,523 | ||||||
mBank SAa | 56 | 7,485 | ||||||
PGE Polska Grupa Energetyczna SAa | 3,406 | 10,078 | ||||||
Polski Koncern Naftowy ORLEN SA | 916 | 25,801 | ||||||
Polskie Gornictwo Naftowe i Gazownictwo SA | 6,568 | 11,615 | ||||||
Powszechna Kasa Oszczednosci Bank Polski SAa | 2,934 | 36,877 | ||||||
Powszechny Zaklad Ubezpieczen SA | 1,962 | 24,465 | ||||||
|
| |||||||
198,257 | ||||||||
QATAR — 0.71% |
| |||||||
Ezdan Holding Group QSC | 2,628 | 6,550 | ||||||
Industries Qatar QSC | 507 | 14,344 | ||||||
Masraf Al Rayan QSC | 1,254 | 12,914 | ||||||
Ooredoo QPSC | 320 | 7,625 | ||||||
Qatar Insurance Co. SAQ | 660 | 7,004 | ||||||
Qatar Islamic Bank SAQ | 247 | 6,495 | ||||||
Qatar National Bank QPSC | 713 | 23,336 | ||||||
|
| |||||||
78,268 | ||||||||
RUSSIA — 5.16% |
| |||||||
Alrosa PJSC | 8,600 | 13,183 | ||||||
Gazprom PJSC | 30,600 | 77,813 | ||||||
Inter RAO UES PJSC | 118,000 | 7,797 | ||||||
LUKOIL PJSC | 1,244 | 83,449 | ||||||
Magnit PJSC GDRb | 1,006 | 20,824 | ||||||
MMC Norilsk Nickel PJSC | 176 | 34,886 | ||||||
Mobile TeleSystems PJSC ADR | 1,392 | 16,648 |
Security | Shares | Value | ||||||
Moscow Exchange MICEX-RTS PJSC | 5,600 | $ | 11,126 | |||||
Novatek PJSC GDRb | 254 | 34,671 | ||||||
Novolipetsk Steel PJSC | 4,620 | 11,989 | ||||||
Polyus PJSC | 62 | 5,117 | ||||||
Rosneft Oil Co. PJSC GDRb | 3,286 | 19,223 | ||||||
RusHydro PJSC | 498,000 | 6,913 | ||||||
Sberbank of Russia PJSC ADR | 6,900 | 141,105 | ||||||
Severstal PJSC | 500 | 8,157 | ||||||
Surgutneftegas OJSC | 20,000 | 10,201 | ||||||
Tatneft PJSC Class S | 4,460 | 47,058 | ||||||
VTB Bank PJSC GDRb | 7,912 | 16,932 | ||||||
|
| |||||||
567,092 | ||||||||
SOUTH AFRICA — 10.07% |
| |||||||
AngloGold Ashanti Ltd. | 1,262 | 11,566 | ||||||
Aspen Pharmacare Holdings Ltd. | 1,204 | 27,551 | ||||||
Barclays Africa Group Ltd. | 1,816 | 30,539 | ||||||
Bid Corp. Ltd. | 1,052 | 24,053 | ||||||
Bidvest Group Ltd. (The) | 852 | 16,249 | ||||||
Capitec Bank Holdings Ltd. | 116 | 8,181 | ||||||
Discovery Ltd. | 1,012 | 15,328 | ||||||
Exxaro Resources Ltd. | 638 | 7,157 | ||||||
FirstRand Ltd. | 8,802 | 55,107 | ||||||
Fortress REIT Ltd. Series B | 3,046 | 4,129 | ||||||
Foschini Group Ltd. (The) | 688 | 12,502 | ||||||
Gold Fields Ltd. | 2,526 | 9,803 | ||||||
Growthpoint Properties Ltd. | 6,664 | 16,655 | ||||||
Hyprop Investments Ltd. | 880 | 8,137 | ||||||
Imperial Holdings Ltd. | 504 | 10,703 | ||||||
Investec Ltd. | 800 | 6,947 | ||||||
Life Healthcare Group Holdings Ltd. | 4,634 | 10,663 | ||||||
Mondi Ltd. | 360 | 9,395 | ||||||
Mr. Price Group Ltd. | 766 | 18,351 | ||||||
MTN Group Ltd. | 5,190 | 56,500 | ||||||
Naspers Ltd. Class N | 1,250 | 346,394 | ||||||
Nedbank Group Ltd. | 510 | 12,425 | ||||||
NEPI Rockcastle PLC | 1,064 | 10,747 | ||||||
Netcare Ltd. | 4,040 | 8,728 | ||||||
Pick n Pay Stores Ltd. | 510 | 3,139 | ||||||
PSG Group Ltd. | 368 | 6,781 | ||||||
Rand Merchant Investment Holdings Ltd. | 2,062 | 7,802 | ||||||
Redefine Properties Ltd. | 14,472 | 13,903 | ||||||
Remgro Ltd. | 1,364 | 27,907 | ||||||
Resilient REIT Ltd. | 844 | 4,745 | ||||||
RMB Holdings Ltd. | 1,608 | 11,868 |
SCHEDULESOF INVESTMENTS | 21 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
Sanlam Ltd. | 4,776 | $ | 36,921 | |||||
Sappi Ltd. | 1,684 | 10,928 | ||||||
Sasol Ltd. | 1,658 | 58,538 | ||||||
Shoprite Holdings Ltd. | 1,232 | 27,133 | ||||||
Sibanye Gold Ltd. | 5,264 | 5,062 | ||||||
SPAR Group Ltd. (The) | 720 | 13,334 | ||||||
Standard Bank Group Ltd. | 3,878 | 71,559 | ||||||
Tiger Brands Ltd. | 526 | 19,009 | ||||||
Truworths International Ltd. | 1,526 | 13,094 | ||||||
Vodacom Group Ltd. | 1,348 | 18,586 | ||||||
Woolworths Holdings Ltd./South Africa | 3,244 | 17,960 | ||||||
|
| |||||||
1,106,079 | ||||||||
SOUTH KOREA — 19.78% |
| |||||||
Amorepacific Corp. | 98 | 25,475 | ||||||
AMOREPACIFIC Group | 96 | 11,170 | ||||||
BGF retail Co. Ltd. | 29 | 4,660 | ||||||
BNK Financial Group Inc. | 788 | 8,150 | ||||||
Celltrion Healthcare Co. Ltd.a | 81 | 8,946 | ||||||
Celltrion Inc.a | 230 | 74,975 | ||||||
CJ CheilJedang Corp. | 28 | 8,740 | ||||||
CJ Corp. | 52 | 7,995 | ||||||
CJ E&M Corp. | 54 | 4,318 | ||||||
Coway Co. Ltd. | 160 | 12,795 | ||||||
Daelim Industrial Co. Ltd. | 116 | 7,948 | ||||||
DB Insurance Co. Ltd. | 152 | 9,755 | ||||||
DGB Financial Group Inc. | 506 | �� | 5,794 | |||||
E-MART Inc. | 66 | 18,528 | ||||||
GS Holdings Corp. | 154 | 9,400 | ||||||
Hana Financial Group Inc. | 880 | 39,941 | ||||||
Hankook Tire Co. Ltd. | 246 | 13,403 | ||||||
Hanmi Pharm Co. Ltd. | 20 | 8,551 | ||||||
Hanon Systems | 638 | 7,364 | ||||||
Hanssem Co. Ltd. | 26 | 3,589 | ||||||
Hanwha Chemical Corp. | 362 | 11,098 | ||||||
Hanwha Corp. | 186 | 7,583 | ||||||
Hotel Shilla Co. Ltd. | 102 | 7,705 | ||||||
Hyosung Corp. | 72 | 8,311 | ||||||
Hyundai Development Co. Engineering & Construction | 160 | 5,585 | ||||||
Hyundai Engineering & Construction Co. Ltd.a | 272 | 9,670 | ||||||
Hyundai Glovis Co. Ltd. | 86 | 11,317 | ||||||
Hyundai Heavy Industries Co. Ltd.a | 114 | 13,791 | ||||||
Hyundai Marine & Fire Insurance Co. Ltd. | 202 | 7,704 |
Security | Shares | Value | ||||||
Hyundai Mobis Co. Ltd. | 198 | $ | 41,688 | |||||
Hyundai Motor Co. | 436 | 65,024 | ||||||
Hyundai Robotics Co. Ltd.a | 28 | 11,442 | ||||||
Hyundai Steel Co. | 242 | 11,978 | ||||||
Industrial Bank of Korea | 744 | 11,817 | ||||||
Kakao Corp. | 104 | 12,293 | ||||||
Kangwon Land Inc.a | 378 | 10,070 | ||||||
KB Financial Group Inc. | 1,040 | 61,465 | ||||||
KCC Corp. | 26 | 8,703 | ||||||
KEPCO Plant Service & Engineering Co. Ltd.a | 62 | 2,310 | ||||||
Kia Motors Corp. | 842 | 26,709 | ||||||
Korea Aerospace Industries Ltd. Class Aa | 232 | 10,776 | ||||||
Korea Electric Power Corp.a | 766 | 23,414 | ||||||
Korea Investment Holdings Co. Ltd.a | 126 | 9,134 | ||||||
Korea Zinc Co. Ltd.a | 26 | 12,293 | ||||||
KT&G Corp. | 330 | 30,413 | ||||||
LG Chem Ltd. | 136 | 48,100 | ||||||
LG Corp. | 306 | 24,358 | ||||||
LG Display Co. Ltd. | 702 | 19,351 | ||||||
LG Electronics Inc. | 300 | 27,676 | ||||||
LG Household & Health Care Ltd. | 30 | 30,474 | ||||||
LG Innotek Co. Ltd. | 58 | 7,070 | ||||||
Lotte Chemical Corp. | 48 | 20,345 | ||||||
Lotte Corp.a | 78 | 4,516 | ||||||
Lotte Shopping Co. Ltd. | 41 | 7,818 | ||||||
Medy-Tox Inc. | 18 | 10,040 | ||||||
Mirae Asset Daewoo Co. Ltd. | 1,168 | 10,009 | ||||||
NAVER Corp. | 80 | 59,322 | ||||||
NCSoft Corp. | 52 | 18,007 | ||||||
Netmarble Games Corp.c | 38 | 5,176 | ||||||
NH Investment & Securities Co. Ltd.a | 514 | 6,788 | ||||||
OCI Co. Ltd. | 46 | 6,988 | ||||||
POSCO | 222 | 74,109 | ||||||
S-Oil Corp. | 126 | 14,370 | ||||||
Samsung Biologics Co. Ltd.a,c | 50 | 20,778 | ||||||
Samsung C&T Corp. | 218 | 25,869 | ||||||
Samsung Electro-Mechanics Co. Ltd. | 172 | 14,708 | ||||||
Samsung Electronics Co. Ltd. | 272 | 591,020 | ||||||
Samsung Fire & Marine Insurance Co. Ltd. | 92 | 24,553 | ||||||
Samsung Heavy Industries Co. Ltd.a | 918 | 7,248 | ||||||
Samsung Life Insurance Co. Ltd. | 220 | 24,684 | ||||||
Samsung SDI Co. Ltd. | 164 | 25,897 |
22 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
Samsung SDS Co. Ltd. | 106 | $ | 23,297 | |||||
Samsung Securities Co. Ltd. | 254 | 9,288 | ||||||
Shinhan Financial Group Co. Ltd. | 1,262 | 55,239 | ||||||
Shinsegae Inc. | 20 | 6,335 | ||||||
SillaJen Inc.a | 150 | 14,184 | ||||||
SK Holdings Co. Ltd. | 100 | 26,272 | ||||||
SK Hynix Inc. | 1,644 | 116,594 | ||||||
SK Innovation Co. Ltd. | 188 | 35,676 | ||||||
SK Telecom Co. Ltd. | 58 | 12,854 | ||||||
Woori Bank | 912 | 13,980 | ||||||
Yuhan Corp. | 33 | 6,339 | ||||||
|
| |||||||
2,173,122 | ||||||||
TAIWAN — 16.18% |
| |||||||
Acer Inc. | 8,000 | 6,741 | ||||||
Advanced Semiconductor Engineering Inc. | 20,000 | 27,230 | ||||||
Asia Cement Corp. | 8,000 | 7,782 | ||||||
Asustek Computer Inc. | 2,000 | 18,976 | ||||||
AU Optronics Corp. | 26,000 | 11,666 | ||||||
Catcher Technology Co. Ltd. | 2,000 | 24,250 | ||||||
Cathay Financial Holding Co. Ltd. | 26,000 | 48,535 | ||||||
Chailease Holding Co. Ltd. | 4,000 | 13,454 | ||||||
Chang Hwa Commercial Bank Ltd. | 16,800 | 9,667 | ||||||
Cheng Shin Rubber Industry Co. Ltd. | 6,000 | 10,317 | ||||||
China Airlines Ltd.a | 7,000 | 2,757 | ||||||
China Development Financial Holding Corp. | 48,000 | 17,263 | ||||||
China Life Insurance Co. Ltd./Taiwan | 8,720 | 8,781 | ||||||
China Steel Corp. | 40,000 | 33,019 | ||||||
Chunghwa Telecom Co. Ltd. | 10,000 | 37,506 | ||||||
Compal Electronics Inc. | 14,000 | 9,639 | ||||||
CTBC Financial Holding Co. Ltd. | 44,000 | 32,176 | ||||||
Delta Electronics Inc. | 6,000 | 28,566 | ||||||
E.Sun Financial Holding Co. Ltd. | 30,074 | 19,932 | ||||||
Far Eastern New Century Corp. | 12,000 | 10,666 | ||||||
Far EasTone Telecommunications Co. Ltd. | 6,000 | 15,208 | ||||||
Feng TAY Enterprise Co. Ltd. | 2,000 | 9,522 | ||||||
First Financial Holding Co. Ltd. | 26,520 | 18,167 | ||||||
Formosa Chemicals & Fibre Corp. | 8,000 | 29,731 | ||||||
Formosa Petrochemical Corp. | 4,000 | 16,030 | ||||||
Formosa Plastics Corp. | 12,000 | 42,541 | ||||||
Foxconn Technology Co. Ltd. | 4,000 | 10,878 | ||||||
Fubon Financial Holding Co. Ltd. | 18,000 | 32,183 | ||||||
Hon Hai Precision Industry Co. Ltd. | 44,000 | 132,774 |
Security | Shares | Value | ||||||
Hotai Motor Co. Ltd. | 600 | $ | 6,689 | |||||
Hua Nan Financial Holdings Co. Ltd. | 23,100 | 13,609 | ||||||
Innolux Corp. | 28,000 | 12,468 | ||||||
Inventec Corp. | 10,000 | 7,998 | ||||||
Largan Precision Co. Ltd. | 288 | 36,449 | ||||||
Lite-On Technology Corp. | 8,000 | 11,509 | ||||||
Macronix Internationala | 6,000 | 8,929 | ||||||
MediaTek Inc. | 4,000 | 41,239 | ||||||
Mega Financial Holding Co. Ltd. | 32,000 | 27,347 | ||||||
Micro-Star International Co. Ltd. | 2,000 | 5,857 | ||||||
Nan Ya Plastics Corp. | 14,000 | 38,650 | ||||||
Nanya Technology Corp. | 2,000 | 5,535 | ||||||
Novatek Microelectronics Corp. | 2,000 | 8,666 | ||||||
Pegatron Corp. | 6,000 | 15,413 | ||||||
Pou Chen Corp. | 8,000 | 10,070 | ||||||
Powertech Technology Inc. | 2,000 | 6,206 | ||||||
President Chain Store Corp. | 2,000 | 20,174 | ||||||
Quanta Computer Inc. | 8,000 | 16,331 | ||||||
Shin Kong Financial Holding Co. Ltd. | 20,000 | 8,255 | ||||||
Siliconware Precision Industries Co. Ltd. | 6,000 | 10,461 | ||||||
SinoPac Financial Holdings Co. Ltd. | 43,470 | 15,038 | ||||||
Taishin Financial Holding Co. Ltd. | 35,460 | 17,247 | ||||||
Taiwan Cement Corp. | 10,000 | 12,673 | ||||||
Taiwan Cooperative Financial Holding Co. Ltd. | 24,720 | 14,394 | ||||||
Taiwan High Speed Rail Corp. | 6,000 | 4,655 | ||||||
Taiwan Mobile Co. Ltd. | 6,000 | 22,092 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 68,000 | 572,965 | ||||||
Teco Electric and Machinery Co. Ltd. | 10,000 | 9,077 | ||||||
Uni-President Enterprises Corp. | 14,000 | 33,087 | ||||||
United Microelectronics Corp. | 40,000 | 19,387 | ||||||
Vanguard International Semiconductor Corp. | 4,000 | 8,357 | ||||||
Win Semiconductors Corp. | 1,000 | 9,197 | ||||||
Winbond Electronics Corp. | 12,000 | 8,179 | ||||||
Wistron Corp. | 10,296 | 8,640 | ||||||
WPG Holdings Ltd. | 8,000 | 10,276 | ||||||
Yuanta Financial Holding Co. Ltd. | 32,000 | 14,413 | ||||||
|
| |||||||
1,777,489 | ||||||||
THAILAND — 3.51% |
| |||||||
Advanced Info Service PCL NVDR | 3,400 | 21,446 | ||||||
Airports of Thailand PCL NVDR | 14,200 | 32,005 | ||||||
Bangkok Dusit Medical Services PCL NVDR | 14,400 | 10,138 |
SCHEDULESOF INVESTMENTS | 23 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
Banpu PCL NVDR | 11,000 | $ | 8,235 | |||||
Berli Jucker PCL NVDR | 5,400 | 10,236 | ||||||
Bumrungrad Hospital PCL NVDR | 1,400 | 9,188 | ||||||
Central Pattana PCL NVDR | 4,800 | 12,883 | ||||||
Charoen Pokphand Foods PCL NVDR | 11,800 | 8,609 | ||||||
CP ALL PCL NVDR | 14,400 | 38,535 | ||||||
Energy Absolute PCL NVDR | 4,600 | 9,855 | ||||||
Indorama Ventures PCL NVDR | 5,600 | 9,634 | ||||||
Kasikornbank PCL Foreign | 3,400 | 25,129 | ||||||
Kasikornbank PCL NVDR | 2,400 | 17,738 | ||||||
Krung Thai Bank PCL NVDR | 12,200 | 7,890 | ||||||
Minor International PCL NVDR | 5,200 | 6,709 | ||||||
PTT Exploration & Production PCL NVDR | 5,400 | 19,869 | ||||||
PTT Global Chemical PCL NVDR | 7,400 | 23,398 | ||||||
PTT PCL NVDR | 3,000 | 54,285 | ||||||
Siam Cement PCL (The) Foreign | 1,000 | 15,610 | ||||||
Siam Commercial Bank PCL (The) NVDR | 5,400 | 25,632 | ||||||
Thai Oil PCL NVDR | 3,400 | 11,156 | ||||||
True Corp. PCL NVDRa | 35,600 | 7,145 | ||||||
|
| |||||||
385,325 | ||||||||
TURKEY — 1.52% |
| |||||||
Akbank Turk AS | 7,804 | 21,794 | ||||||
Arcelik AS | 1,020 | 5,078 | ||||||
BIM Birlesik Magazalar AS | 714 | 14,106 | ||||||
Eregli Demir ve Celik Fabrikalari TAS | 4,802 | 14,331 | ||||||
Haci Omer Sabanci Holding AS | 3,188 | 8,995 | ||||||
KOC Holding AS | 2,438 | 11,522 | ||||||
Petkim Petrokimya Holding AS | 3,454 | 7,323 | ||||||
Tupras Turkiye Petrol Rafinerileri AS | 408 | 12,530 | ||||||
Turk Hava Yollari AOa | 2,130 | 10,671 | ||||||
Turkcell Iletisim Hizmetleri AS | 3,628 | 14,621 | ||||||
Turkiye Garanti Bankasi AS | 7,000 | 21,571 | ||||||
Turkiye Halk Bankasi AS | 2,200 | 5,566 | ||||||
Turkiye Is Bankasi AS Class C | 5,900 | 11,780 | ||||||
Turkiye Vakiflar Bankasi TAO Class D | 3,800 | 7,337 | ||||||
|
| |||||||
167,225 | ||||||||
UNITED ARAB EMIRATES — 0.90% |
| |||||||
Abu Dhabi Commercial Bank PJSC | 6,136 | 12,195 | ||||||
Aldar Properties PJSC | 12,000 | 7,057 | ||||||
DAMAC Properties Dubai Co. PJSC | 5,400 | 4,411 | ||||||
DP World Ltd. | 500 | 12,225 | ||||||
Dubai Islamic Bank PJSC | 3,200 | 5,280 | ||||||
Emaar Properties PJSC | 10,876 | 18,270 |
Security | Shares | Value | ||||||
Emirates Telecommunications Group Co. PJSC | 5,602 | $ | 26,234 | |||||
First Abu Dhabi Bank PJSC | 4,000 | 12,578 | ||||||
|
| |||||||
98,250 | ||||||||
|
| |||||||
TOTAL COMMON STOCKS |
| |||||||
(Cost: $8,195,746) |
| 9,067,007 | ||||||
INVESTMENT COMPANIES — 11.57% |
| |||||||
INDIA — 11.57% |
| |||||||
iShares MSCI India ETFd | 37,027 | 1,270,767 | ||||||
|
| |||||||
1,270,767 | ||||||||
TOTAL INVESTMENT COMPANIES |
| |||||||
(Cost: $1,246,402) |
| 1,270,767 | ||||||
PREFERRED STOCKS — 5.35% |
| |||||||
BRAZIL — 4.00% |
| |||||||
Banco Bradesco SA, | 8,800 | 105,017 | ||||||
Braskem SA Class A, Preference Shares | 400 | 5,718 | ||||||
Cia. Brasileira de Distribuicao, Preference Shares | 600 | 12,649 | ||||||
Cia. Energetica de Minas Gerais, Preference Shares | 3,200 | 8,087 | ||||||
Gerdau SA, | 3,000 | 15,347 | ||||||
Itau Unibanco Holding SA, Preference Shares | 9,200 | 142,669 | ||||||
Itausa-Investimentos Itau SA, Preference Shares | 11,800 | 47,654 | ||||||
Lojas Americanas SA, Preference Shares | 2,400 | 12,470 | ||||||
Petroleo Brasileiro SA, Preference Shares | 10,800 | 71,341 | ||||||
Telefonica Brasil SA, | 1,200 | 18,709 | ||||||
|
| |||||||
439,661 | ||||||||
CHILE — 0.22% |
| |||||||
Embotelladora Andina SA Class B, Preference Shares | 1,936 | 9,576 | ||||||
Sociedad Quimica y Minera de Chile SA Series B, Preference Shares | 280 | 14,193 | ||||||
|
| |||||||
23,769 | ||||||||
COLOMBIA — 0.09% |
| |||||||
Bancolombia SA, | 922 | 9,701 | ||||||
|
| |||||||
9,701 |
24 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
Security | Shares | Value | ||||||
RUSSIA — 0.09% |
| |||||||
Surgutneftegas OJSC, Preference Shares | 20,000 | $ | 10,480 | |||||
|
| |||||||
10,480 | ||||||||
SOUTH KOREA — 0.95% |
| |||||||
Hyundai Motor Co., | 56 | 4,644 | ||||||
Hyundai Motor Co. Series 2, Preference Shares | 86 | 7,759 | ||||||
Samsung Electronics Co. Ltd., Preference Shares | 50 | 92,114 | ||||||
|
| |||||||
104,517 | ||||||||
|
| |||||||
TOTAL PREFERRED STOCKS |
| |||||||
(Cost: $477,432) |
| 588,128 | ||||||
RIGHTS — 0.01% |
| |||||||
BRAZIL — 0.00% |
| |||||||
Itausa-Investimentos Itau SA | 277 | 460 | ||||||
|
| |||||||
460 | ||||||||
CHILE — 0.00% |
| |||||||
Enel Chile SA | 11,616 | 2 | ||||||
|
| |||||||
2 | ||||||||
SOUTH KOREA — 0.01% |
| |||||||
Hyundai Heavy Industries Co. Ltd. (Expires 03/09/18)a | 20 | 462 | ||||||
|
| |||||||
462 | ||||||||
TOTAL RIGHTS |
| |||||||
(Cost: $0) |
| 924 |
Security | Shares | Value | ||||||
SHORT-TERM INVESTMENTS — 0.07% |
| |||||||
MONEY MARKET FUNDS — 0.07% |
| |||||||
BlackRock Cash Funds: Treasury, | ||||||||
1.32%d,e | 7,925 | $ | 7,925 | |||||
|
| |||||||
7,925 | ||||||||
|
| |||||||
TOTAL SHORT-TERM INVESTMENTS |
| |||||||
(Cost: $7,925) |
| 7,925 | ||||||
|
| |||||||
TOTAL INVESTMENTS |
| |||||||
(Cost: $9,927,505) |
| 10,934,751 | ||||||
Other Assets, Less Liabilities — 0.45% |
| 49,391 | ||||||
|
| |||||||
NET ASSETS — 100.00% |
| $ | 10,984,142 | |||||
|
|
ADR — American Depositary Receipts
CPO — Certificates of Participation (Ordinary)
GDR — Global Depositary Receipts
NVDR — Non-Voting Depositary Receipts
a | Non-income producing security. |
b | This security may be resold to qualified foreign investors and foreign institutional buyers under Regulation S of the Securities Act of 1933. |
c | Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors. |
d | Affiliate of the Fund. |
e | Annualized 7-day yield as of period end. |
Affiliates (Note 2)
Investments in issuers considered to be affiliates of the Fund during the six months ended February 28, 2018, for purposes of Section 2(a)(3) of the 1940 Act were as follows:
Affiliated issuer | Shares held at 08/31/17 | Shares purchased | Shares sold | Shares held at 02/28/18 | Value at 02/28/18 | Income | Net realized gain (loss) a | Change in unrealized appreciation (depreciation) | ||||||||||||||||||||||||
BlackRock Cash Funds: Treasury, | 15,969 | — | (8,044 | )b | 7,925 | $ | 7,925 | $ | 54 | $ | — | $ | — | |||||||||||||||||||
iShares MSCI India ETF | 36,404 | 1,060 | (437 | ) | 37,027 | 1,270,767 | 9,891 | 295 | 6,890 | |||||||||||||||||||||||
iShares MSCI Qatar ETF | 5,430 | — | (5,430 | ) | — | — | — | (19,411 | ) | 5,703 | ||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
$ | 1,278,692 | $ | 9,945 | $ | (19,116 | ) | $ | 12,593 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
| |||||||||||||||||||||||||
a | Includes realized capital gain distributions from an affiliated fund, if any. |
b | Net of purchases and sales. |
SCHEDULESOF INVESTMENTS | 25 |
Table of Contents
Schedule of Investments (Unaudited) (Continued)
iSHARES® MSCI EMERGING MARKETS ex CHINA ETF
February 28, 2018
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, 2018. 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 | $ | 8,988,739 | $ | 78,268 | $ | — | $ | 9,067,007 | ||||||||
Investment companies | 1,270,767 | — | — | 1,270,767 | ||||||||||||
Preferred stocks | 588,128 | — | — | 588,128 | ||||||||||||
Rights | 462 | 462 | — | 924 | ||||||||||||
Money market funds | 7,925 | — | — | 7,925 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Total | $ | 10,856,021 | $ | 78,730 | $ | — | $ | 10,934,751 | ||||||||
|
|
|
|
|
|
|
| |||||||||
See notes to financial statements.
26 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Statements of Assets and Liabilities (Unaudited)
iSHARES®, INC.
February 28, 2018
iShares Edge MSCI Multifactor Emerging Markets ETF | iShares MSCI EM ESG Optimized ETF | iShares MSCI Emerging Markets ex China ETF | ||||||||||
ASSETS |
| |||||||||||
Investments in securities, at cost: |
| |||||||||||
Unaffiliated | $ | 152,628,685 | $ | 233,286,186 | $ | 8,673,178 | ||||||
Affiliated (Note 2) | 6,972,628 | 6,938,219 | 1,254,327 | |||||||||
|
|
|
|
|
| |||||||
Total cost of investments in securities | $ | 159,601,313 | $ | 240,224,405 | $ | 9,927,505 | ||||||
|
|
|
|
|
| |||||||
Investments in securities, at fair value (including securities on loana) (Note 1): |
| |||||||||||
Unaffiliated | $ | 171,664,850 | $ | 258,058,945 | $ | 9,656,059 | ||||||
Affiliated (Note 2) | 6,860,644 | 6,938,223 | 1,278,692 | |||||||||
Foreign currency, at valueb | 105,890 | 209,456 | 10,082 | |||||||||
Cash | — | — | 339 | |||||||||
Receivables: |
| |||||||||||
Investment securities sold | — | 11,702,072 | — | |||||||||
Due from custodian (Note 4) | — | 755,355 | — | |||||||||
Dividends and interest | 726,593 | 652,829 | 42,461 | |||||||||
Capital shares sold | — | 1,864,805 | — | |||||||||
Tax reclaims | 2,932 | — | — | |||||||||
|
|
|
|
|
| |||||||
Total Assets | 179,360,909 | 280,181,685 | 10,987,633 | |||||||||
|
|
|
|
|
| |||||||
LIABILITIES |
| |||||||||||
Payables: |
| |||||||||||
Investment securities purchased | — | 14,488,464 | — | |||||||||
Collateral for securities on loan (Note 1) | 119,952 | 6,594,546 | — | |||||||||
Capital shares redeemed | — | 70,932 | — | |||||||||
Foreign taxes (Note 1) | — | — | 1 | |||||||||
Investment advisory fees (Note 2) | 56,836 | 47,097 | 3,490 | |||||||||
|
|
|
|
|
| |||||||
Total Liabilities | 176,788 | 21,201,039 | 3,491 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 179,184,121 | $ | 258,980,646 | $ | 10,984,142 | ||||||
|
|
|
|
|
| |||||||
Net assets consist of: |
| |||||||||||
Paid-in capital | $ | 157,789,295 | $ | 233,061,964 | $ | 10,046,048 | ||||||
Distributions in excess of net investment income | (44,310 | ) | (384,634 | ) | (5,772 | ) | ||||||
Undistributed net realized gain (accumulated net realized loss) | 2,516,466 | 1,534,082 | (63,277 | ) | ||||||||
Net unrealized appreciation | 18,922,670 | 24,769,234 | 1,007,143 | |||||||||
|
|
|
|
|
| |||||||
NET ASSETS | $ | 179,184,121 | $ | 258,980,646 | $ | 10,984,142 | ||||||
|
|
|
|
|
| |||||||
Shares outstandingc | 3,500,000 | 3,400,000 | 200,000 | |||||||||
|
|
|
|
|
| |||||||
Net asset value per share | $ | 51.20 | $ | 76.17 | $ | 54.92 | ||||||
|
|
|
|
|
|
a | Securities on loan with values of $113,873, $6,365,464 and $ —, respectively. See Note 1. |
b | Cost of foreign currency: $105,648, $210,013 and $10,044, respectively. |
c | $0.001 par value, number of shares authorized: 25 million, 25 million and 25 million, respectively. |
See notes to financial statements.
FINANCIAL STATEMENTS | 27 |
Table of Contents
Statements of Operations (Unaudited)
iSHARES®, INC.
Six months ended February 28, 2018
iShares Edge MSCI Multifactor Emerging Markets ETF | iShares MSCI EM ESG Optimized ETF | iShares MSCI Emerging Markets ex China ETF | ||||||||||
NET INVESTMENT INCOME |
| |||||||||||
Dividends — unaffiliateda | $ | 1,248,526 | $ | 1,132,113 | $ | 89,456 | ||||||
Dividends — affiliated (Note 2) | 37,745 | 1,502 | 9,945 | |||||||||
Securities lending income — affiliated — net (Note 2) | 6,510 | 20,805 | — | |||||||||
|
|
|
|
|
| |||||||
1,292,781 | 1,154,420 | 99,401 | ||||||||||
Less: Other foreign taxes (Note 1) | (3,875 | ) | — | (146 | ) | |||||||
|
|
|
|
|
| |||||||
Total investment income | 1,288,906 | 1,154,420 | 99,255 | |||||||||
|
|
|
|
|
| |||||||
EXPENSES | ||||||||||||
Investment advisory fees (Note 2) | 251,480 | 189,848 | 25,832 | |||||||||
Proxy fees | 5 | 6 | — | |||||||||
Commitment fees (Note 7) | — | — | 84 | |||||||||
|
|
|
|
|
| |||||||
Total expenses | 251,485 | 189,854 | 25,916 | |||||||||
Less investment advisory fees waived (Note 2) | (19,278 | ) | — | (4,230 | ) | |||||||
|
|
|
|
|
| |||||||
Net expenses | 232,207 | 189,854 | 21,686 | |||||||||
|
|
|
|
|
| |||||||
Net investment income | 1,056,699 | 964,566 | 77,569 | |||||||||
|
|
|
|
|
| |||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) |
| |||||||||||
Net realized gain (loss) from: |
| |||||||||||
Investments — unaffiliated | (1,383,076 | ) | (812,873 | ) | (47,273 | ) | ||||||
Investments — affiliated (Note 2) | (6,767 | ) | (513 | ) | (19,116 | ) | ||||||
In-kind redemptions — unaffiliated | 3,657,182 | 2,654,984 | — | |||||||||
In-kind redemptions — affiliated (Note 2) | 678,748 | — | — | |||||||||
Foreign currency transactions | 316 | (13,585 | ) | 2,701 | ||||||||
|
|
|
|
|
| |||||||
Net realized gain (loss) | 2,946,403 | 1,828,013 | (63,688 | ) | ||||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation on: |
| |||||||||||
Investments — unaffiliated | 7,741,531 | 12,517,501 | 837,497 | |||||||||
Investments — affiliated (Note 2) | (812,325 | ) | (55 | ) | 12,593 | |||||||
Translation of assets and liabilities in foreign currencies | (3,440 | ) | (4,793 | ) | (279 | ) | ||||||
|
|
|
|
|
| |||||||
Net change in unrealized appreciation/depreciation | 6,925,766 | 12,512,653 | 849,811 | |||||||||
|
|
|
|
|
| |||||||
Net realized and unrealized gain | 9,872,169 | 14,340,666 | 786,123 | |||||||||
|
|
|
|
|
| |||||||
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS | $ | 10,928,868 | $ | 15,305,232 | $ | 863,692 | ||||||
|
|
|
|
|
|
a | Net of foreign withholding tax of $156,318, $150,603 and $13,850, respectively. |
See notes to financial statements.
28 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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 February 28, 2018 (Unaudited) | Year ended August 31, 2017 | Six months February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |||||||||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
OPERATIONS: | ||||||||||||||||
Net investment income | $ | 1,056,699 | $ | 895,032 | $ | 964,566 | $ | 1,088,767 | ||||||||
Net realized gain | 2,946,403 | 59,274 | 1,828,013 | 282,004 | ||||||||||||
Net change in unrealized appreciation/depreciation | 6,925,766 | 9,748,303 | 12,512,653 | 11,678,921 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets resulting from operations | 10,928,868 | 10,702,609 | 15,305,232 | 13,049,692 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||||||||||
From net investment income | (1,532,736 | ) | (797,610 | ) | (1,978,607 | ) | (499,570 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Total distributions to shareholders | (1,532,736 | ) | (797,610 | ) | (1,978,607 | ) | (499,570 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
CAPITAL SHARE TRANSACTIONS: | ||||||||||||||||
Proceeds from shares sold | 101,336,799 | 47,184,280 | 160,039,185 | 81,808,084 | ||||||||||||
Cost of shares redeemed | (14,421,725 | ) | (4,185,348 | ) | (11,197,622 | ) | (3,191,126 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in net assets from capital share transactions | 86,915,074 | 42,998,932 | 148,841,563 | 78,616,958 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
INCREASE IN NET ASSETS | 96,311,206 | 52,903,931 | 162,168,188 | 91,167,080 | ||||||||||||
NET ASSETS | ||||||||||||||||
Beginning of period | 82,872,915 | 29,968,984 | 96,812,458 | 5,645,378 | ||||||||||||
|
|
|
|
|
|
|
| |||||||||
End of period | $ | 179,184,121 | $ | 82,872,915 | $ | 258,980,646 | $ | 96,812,458 | ||||||||
|
|
|
|
|
|
|
| |||||||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (44,310 | ) | $ | 431,727 | $ | (384,634 | ) | $ | 629,407 | ||||||
|
|
|
|
|
|
|
| |||||||||
SHARES ISSUED AND REDEEMED | ||||||||||||||||
Shares sold | 2,000,000 | 1,100,000 | 2,150,000 | 1,350,000 | ||||||||||||
Shares redeemed | (300,000 | ) | (100,000 | ) | (150,000 | ) | (50,000 | ) | ||||||||
|
|
|
|
|
|
|
| |||||||||
Net increase in shares outstanding | 1,700,000 | 1,000,000 | 2,000,000 | 1,300,000 | ||||||||||||
|
|
|
|
|
|
|
|
See notes to financial statements.
FINANCIAL STATEMENTS | 29 |
Table of Contents
Statements of Changes in Net Assets (Continued)
iSHARES®, INC.
iShares MSCI Emerging Markets ex China ETF | ||||||||
Six months February 28, 2018 (Unaudited) | Period from to | |||||||
INCREASE (DECREASE) IN NET ASSETS | ||||||||
OPERATIONS: | ||||||||
Net investment income | $ | 77,569 | $ | 25,138 | ||||
Net realized loss | (63,688 | ) | (1,330 | ) | ||||
Net change in unrealized appreciation/depreciation | 849,811 | 157,332 | ||||||
|
|
|
| |||||
Net increase in net assets resulting from operations | 863,692 | 181,140 | ||||||
|
|
|
| |||||
DISTRIBUTIONS TO SHAREHOLDERS: | ||||||||
From net investment income | (106,738 | ) | — | |||||
|
|
|
| |||||
Total distributions to shareholders | (106,738 | ) | — | |||||
|
|
|
| |||||
CAPITAL SHARE TRANSACTIONS: | ||||||||
Proceeds from shares sold | — | 10,046,048 | ||||||
|
|
|
| |||||
Net increase in net assets from capital share transactions | — | 10,046,048 | ||||||
|
|
|
| |||||
INCREASE IN NET ASSETS | 756,954 | 10,227,188 | ||||||
NET ASSETS | ||||||||
Beginning of period | 10,227,188 | — | ||||||
|
|
|
| |||||
End of period | $ | 10,984,142 | $ | 10,227,188 | ||||
|
|
|
| |||||
Undistributed (distributions in excess of) net investment income included in net assets at end of period | $ | (5,772 | ) | $ | 23,397 | |||
|
|
|
| |||||
SHARES ISSUED | ||||||||
Shares sold | — | 200,000 | ||||||
|
|
|
| |||||
Net increase in shares outstanding | — | 200,000 | ||||||
|
|
|
|
a | Commencement of operations. |
See notes to financial statements.
30 | 2018 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, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Period from to | ||||||||||
Net asset value, beginning of period | $ | 46.04 | $ | 37.46 | $ | 33.82 | ||||||
|
|
|
|
|
| |||||||
Income from investment operations: | ||||||||||||
Net investment incomeb | 0.46 | 0.91 | 1.27 | |||||||||
Net realized and unrealized gainc | 5.40 | 8.53 | 2.50 | |||||||||
|
|
|
|
|
| |||||||
Total from investment operations | 5.86 | 9.44 | 3.77 | |||||||||
|
|
|
|
|
| |||||||
Less distributions from: | ||||||||||||
Net investment income | (0.70 | ) | (0.86 | ) | (0.13 | ) | ||||||
|
|
|
|
|
| |||||||
Total distributions | (0.70 | ) | (0.86 | ) | (0.13 | ) | ||||||
|
|
|
|
|
| |||||||
Net asset value, end of period | $ | 51.20 | $ | 46.04 | $ | 37.46 | ||||||
|
|
|
|
|
| |||||||
Total return | 12.83 | %d | 25.80 | % | 11.16 | %d | ||||||
|
|
|
|
|
| |||||||
Ratios/Supplemental data: | ||||||||||||
Net assets, end of period (000s) | $ | 179,184 | $ | 82,873 | $ | 29,969 | ||||||
Ratio of expenses to average net assetse | 0.42 | % | 0.42 | % | 0.49 | % | ||||||
Ratio of expenses to average net assets prior to waived feese | 0.45 | % | 0.50 | % | 0.65 | % | ||||||
Ratio of net investment income to average net assetse | 1.89 | % | 2.24 | % | 4.91 | % | ||||||
Portfolio turnover ratef | 14 | %d | 36 | % | 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 February 28, 2018, the year ended August 31, 2017 and the period ended August 31, 2016 were 14%, 36% and 11%, respectively. See Note 4. |
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 EM ESG Optimized ETF
Six months ended Feb. 28, 2018 (Unaudited) | Year ended Aug. 31, 2017 | Period from to | ||||||||||
Net asset value, beginning of period | $ | 69.15 | $ | 56.45 | $ | 50.37 | ||||||
|
|
|
|
|
| |||||||
Income from investment operations: |
| |||||||||||
Net investment incomeb | 0.46 | 1.70 | 0.31 | |||||||||
Net realized and unrealized gainc | 7.46 | 11.62 | 5.77 | |||||||||
|
|
|
|
|
| |||||||
Total from investment operations | 7.92 | 13.32 | 6.08 | |||||||||
|
|
|
|
|
| |||||||
Less distributions from: | ||||||||||||
Net investment income | (0.90 | ) | (0.62 | ) | — | |||||||
|
|
|
|
|
| |||||||
Total distributions | (0.90 | ) | (0.62 | ) | — | |||||||
|
|
|
|
|
| |||||||
Net asset value, end of period | $ | 76.17 | $ | 69.15 | $ | 56.45 | ||||||
|
|
|
|
|
| |||||||
Total return | 11.54 | %d | 23.75 | % | 12.09 | %d | ||||||
|
|
|
|
|
| |||||||
Ratios/Supplemental data: |
| |||||||||||
Net assets, end of period (000s) | $ | 258,981 | $ | 96,812 | $ | 5,645 | ||||||
Ratio of expenses to average net assetse | 0.25 | % | 0.42 | % | 0.45 | % | ||||||
Ratio of net investment income to average net assetse | 1.27 | % | 2.73 | % | 3.26 | % | ||||||
Portfolio turnover ratef | 19 | %d | 29 | % | 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 February 28, 2018, the year ended August 31, 2017 and the period ended August 31, 2016 were 19%, 29% and 9%, respectively. See Note 4. |
See notes to financial statements.
32 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
Table of Contents
Financial Highlights (Continued)
iSHARES®, INC.
(For a share outstanding throughout each period)
iShares MSCI Emerging Markets ex China ETF
Six months ended Feb. 28, 2018 (Unaudited) | Period from to | |||||||
Net asset value, beginning of period | $ | 51.14 | $ | 50.22 | ||||
|
|
|
| |||||
Income from investment operations: | ||||||||
Net investment incomeb | 0.39 | 0.13 | ||||||
Net realized and unrealized gainc | 3.92 | 0.79 | ||||||
|
|
|
| |||||
Total from investment operations | 4.31 | 0.92 | ||||||
|
|
|
| |||||
Less distributions from: |
| |||||||
Net investment income | (0.53 | ) | — | |||||
|
|
|
| |||||
Total distributions | (0.53 | ) | — | |||||
|
|
|
| |||||
Net asset value, end of period | $ | 54.92 | $ | 51.14 | ||||
|
|
|
| |||||
Total return | 8.49 | %d | 1.83 | %d | ||||
|
|
|
| |||||
Ratios/Supplemental data: | ||||||||
Net assets, end of period (000s) | $ | 10,984 | $ | 10,227 | ||||
Ratio of expenses to average net assetse | 0.41 | % | 0.41 | % | ||||
Ratio of expenses to average net assets prior to waived feese | 0.49 | % | 0.49 | % | ||||
Ratio of net investment income to average net assetse | 1.47 | % | 2.07 | % | ||||
Portfolio turnover ratef | 5 | %d | 0 | %d,g |
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 rate for the six months ended February 28, 2018 and the period ended August 31, 2017 were 5% and 0%. See Note 4. |
g | Rounds to less than 1%. |
See notes to financial statements.
FINANCIAL HIGHLIGHTS | 33 |
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 | |
MSCI Emerging Markets ex China | 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. |
34 | 2018 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”). |
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 inputs 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 inputs, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such inputs 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 to valuation techniques are categorized into a fair value 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 | 35 |
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. Realized gains and losses on investment transactions are determined using the specific identification method. 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, 2018 are reflected in tax reclaims receivable. Upon notification from issuers, some of the dividend income received from a real estate investment trust may be re-designated as a return of capital or capital gain. Non-cash dividends, if any, are recognized on the ex-dividend date and recorded as non-cash 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.
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 prevailing market rates as quoted by one or more data service providers. 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 U.S. federal income tax 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, 2018, 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.
36 | 2018 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.
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, 2018, 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, 2018 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, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of securities loaned if the collateral received does not cover the value of the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the value of the loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original 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 | 37 |
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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, 2018:
iShares ETF and Counterparty | Market Value of Securities on Loan | Cash Collateral Received a | Net Amount | |||||||||
Edge MSCI Multifactor Emerging Markets | ||||||||||||
Macquarie Bank Limited | $ | 113,873 | $ | 113,873 | $ | — | ||||||
|
|
|
|
|
| |||||||
MSCI EM ESG Optimized | ||||||||||||
Citigroup Global Markets Inc. | $ | 202,297 | $ | 202,297 | $ | — | ||||||
Credit Suisse Securities (USA) LLC | 43,978 | 43,978 | — | |||||||||
JPMorgan Securities LLC | 5,626,640 | 5,626,640 | — | |||||||||
UBS AG | 492,549 | 492,549 | — | |||||||||
|
|
|
|
|
| |||||||
$ | 6,365,464 | $ | 6,365,464 | $ | — | |||||||
|
|
|
|
|
| |||||||
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 Multifactor Emerging Markets ETF, BFA is entitled to an annual investment advisory fee of 0.45%, accrued daily and paid monthly by the Fund, 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 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 its investment advisory services to the iShares MSCI EM ESG Optimized ETF, BFA is entitled to an annual investment advisory fee of 0.25%, accrued daily and paid monthly by the Fund, based on the average daily net assets of the Fund.
For its investment advisory services to the iShares MSCI Emerging Market ex China ETF, BFA is entitled to an annual investment advisory fee of 0.49%, accrued daily and paid monthly by the Fund, based on the average daily net assets of the Fund. BFA has contractually agreed to waive a portion of its investment advisory fees for the Fund through December 31, 2022 in an amount equal to the aggregate acquired fund fees and expenses, if any, attributable to the Fund’s investments in other iShares funds.
The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the “collateral investment fees”). Securities lending income is equal
38 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
to the total of income earned from the reinvestment of cash collateral (excluding collateral investment fees), net of fees and other payments to and from borrowers of securities. 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, 2018, 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 | $ | 1,412 | ||
MSCI EM ESG Optimized | 5,361 |
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, 2018, 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 $3,929,009 and $2,279,839, 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.
It is possible that, from time to time, BlackRock and/or funds managed by BFA or an affiliate (collectively, “Affiliates”) may purchase and hold shares of a Fund. Affiliates reserve the right, subject to compliance with applicable law, to sell into the market or redeem in Creation Units through an authorized participant at any time some or all of the shares of a Fund acquired for their own accounts. A large sale or redemption of shares of a Fund by Affiliates could significantly reduce the asset size of the Fund, which might have an adverse effect on the Fund. As of February 28, 2018, the number of affiliated accounts that individually represent more than 10% ownership of the Fund’s total shares outstanding and the aggregate percentage of net assets represented by such holdings were as follows:
iShares ETF | Number of Affiliated | Aggregate Ownership | ||||||
MSCI Emerging Markets ex China | 1 | 40 | % |
NOTESTO FINANCIAL STATEMENTS | 39 |
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Notes to Financial Statements (Unaudited) (Continued)
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 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.
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, 2018 were as follows:
iShares ETF | Purchases | Sales | ||||||
Edge MSCI Multifactor Emerging Markets | $ | 84,589,866 | $ | 16,014,669 | ||||
MSCI EM ESG Optimized | 99,302,469 | 30,709,603 | ||||||
MSCI Emerging Markets ex China | 501,107 | 540,343 |
In-kind transactions (see Note 4) for the six months ended February 28, 2018 were as follows:
iShares ETF | In-kind Purchases | In-kind Sales | ||||||
Edge MSCI Multifactor Emerging Markets | $ | 31,815,273 | $ | 14,395,818 | ||||
MSCI EM ESG Optimized | 90,268,029 | 11,156,888 |
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.
40 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
5. | PRINCIPAL RISKS |
In the normal course of business, each Fund invests in securities or other instruments and may enter into certain transactions, and such activities subject the Fund to various risks, including, among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate or price fluctuations. Each Fund’s prospectus provides details of the risks to which the Fund is subject.
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: differences in accounting, auditing and financial reporting standards; more substantial governmental involvement in the economy; higher inflation rates, greater social, economic and political uncertainties; possible nationalization or expropriation of assets; less availability of public information about issuers; imposition of withholding or other taxes; higher transaction and custody costs and delays in settlement procedures; and lower level of regulation of the securities markets and issuers. Non-U.S. securities may be less liquid, more difficult to value, and have greater price volatility due to exchange rate fluctuations. These and other risks are heightened for investments in issuers from countries with less developed capital markets.
The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The European financial markets have experienced volatility and adverse trends in recent years due to concerns about economic downturns or rising government debt levels in several European countries. These events have adversely affected the exchange rate of the euro and may continue to significantly affect European countries. The occurrence of terrorist incidents throughout Europe also could impact financial markets. 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, Norway, Switzerland and Canada, have imposed economic sanctions, which consist of asset freezes and sectorial sanctions, on certain Russian individuals and Russian corporate entities. Broader sanctions on Russia could also be instituted. These sanctions, or even the threat of further sanctions, may result in the decline of the value and liquidity of Russian securities, a
NOTESTO FINANCIAL STATEMENTS | 41 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
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, 2017, the Funds’ fiscal year-end, the following Funds had capital loss carryforwards available to offset future realized capital gains as follows:
iShares ETF | Non- Expiring | |||
Edge MSCI Multifactor Emerging Markets | $ | 305,500 | ||
MSCI EM ESG Optimized | 106,499 |
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.
42 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
As of February 28, 2018, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives) for U.S. federal income tax purposes were as follows:
iShares ETF | Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||||||||||
Edge MSCI Multifactor Emerging Markets | $ | 159,857,101 | $ | 20,843,422 | $ | (2,175,029 | ) | $ | 18,668,393 | |||||||
MSCI EM ESG Optimized | 240,527,429 | 26,934,640 | (2,464,901 | ) | 24,469,739 | |||||||||||
MSCI Emerging Markets ex China | 9,930,874 | 1,338,796 | (334,919 | ) | 1,003,877 |
Management has analyzed tax laws and regulations and their application to the Funds as of February 28, 2018, 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 credit agreement with State Street Bank and Trust Company. Effective October 25, 2017, certain terms of the credit agreement were amended, including (i) increasing the maximum borrowing amount from $250 million to $275 million and (ii) extending the expiration date from October 25, 2017 to October 24, 2018. The iShares MSCI Emerging Markets ex China ETF became a party to the credit agreement effective 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, 2018.
8. | LEGAL PROCEEDINGS |
On June 16, 2016, investors (the “Plaintiffs”) in certain iShares funds (iShares Core S&P Small-Cap ETF, iShares Russell 1000 Growth ETF, iShares Core S&P 500 ETF, iShares Russell Mid-Cap Growth ETF, iShares Russell Mid-Cap ETF, iShares Russell Mid-Cap Value ETF, iShares Select Dividend ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Large-Cap ETF, iShares U.S. Aerospace & Defense ETF and iShares U.S. Preferred Stock ETF) filed a putative class action lawsuit against iShares Trust, BlackRock, Inc. and certain of its advisory affiliates, and certain directors/trustees and officers of the Funds (collectively, “Defendants”) in California State Court. The lawsuit alleges the Defendants violated federal securities laws by failing to adequately disclose in the prospectuses issued by the funds noted above the risks of using stop-loss orders in the event of a ‘flash crash’, such as the one that occurred on May 6, 2010. On September 18, 2017, the court issued a Statement of Decision holding that the Plaintiffs lack standing to assert their claims. On October 11, 2017, the court entered final judgment dismissing all of the Plaintiffs’ claims with prejudice. Plaintiffs have appealed the court’s decision.
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 except as noted below.
NOTESTO FINANCIAL STATEMENTS | 43 |
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Notes to Financial Statements (Unaudited) (Continued)
iSHARES®, INC.
Effective on or around May 23, 2018, the iShares MSCI EM ESG Optimized ETF will track a new underlying index, the MSCI Emerging Markets Extended ESG Focus Index, and will cease to track the MSCI Emerging Markets ESG Focus Index.
44 | 2018 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 | ||||||||||||||||||||||||
Edge MSCI Multifactor Emerging Markets | $ | 0.454187 | $ | — | $ | 0.242511 | $ | 0.696698 | 65 | % | — | % | 35 | % | 100 | % | ||||||||||||||||
MSCI EM ESG Optimized | 0.688739 | — | 0.210628 | 0.899367 | 77 | — | 23 | 100 | ||||||||||||||||||||||||
MSCI Emerging Markets ex China | 0.294749 | — | 0.238941 | 0.533690 | 55 | — | 45 | 100 |
SUPPLEMENTAL INFORMATION | 45 |
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Electronic Delivery
Shareholders can sign up for email notifications announcing that the shareholder report or prospectus has been posted on the iShares website at www.iShares.com. Once you have enrolled, you will no longer receive prospectuses and shareholder reports in the mail.
To enroll in electronic delivery:
• | Go to www.icsdelivery.com. |
• | If your brokerage firm is not listed, electronic delivery may not be available. Please contact your broker-dealer or financial advisor. |
Householding
Householding is an option available to certain fund investors. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Please contact your broker-dealer if you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, or if you are currently enrolled in householding and wish to change your householding status.
Availability of Quarterly Schedule of Investments
The iShares Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The iShares Funds’ Forms N-Q are available on the SEC’s website and 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 iShares Funds also disclose their complete schedule of portfolio holdings on a daily basis on the iShares website.
Availability of Proxy Voting Policies and Proxy Voting Records
A description of the policies and procedures that the iShares Funds use to determine how to vote proxies relating to portfolio securities and information about how the iShares Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request (1) by calling toll-free 1-800-474-2737; (2) on the iShares website at www.iShares.com; and (3) on the SEC website at www.sec.gov.
46 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 47 |
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Notes:
48 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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Notes:
NOTES | 49 |
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Notes:
50 | 2018 iSHARES SEMI-ANNUAL REPORTTO SHAREHOLDERS |
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For more information visit www.iShares.com or call 1-800-iShares (1-800-474-2737)
This report is intended for the Funds’ shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus.
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, “BlackRock”).
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.
©2018 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-816-0218
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Item 2. Code of Ethics.
Not applicable to this semi-annual report.
Item 3. Audit Committee Financial Expert.
Not applicable to this semi-annual report.
Item 4. Principal Accountant Fees and Services.
Not applicable to this semi-annual report.
Item 5. Audit Committee of Listed Registrants.
Not applicable to this semi-annual report.
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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 Treasurer and Chief Financial Officer (the registrant’s Principal Financial Officer) have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are effective as of a date within 90 days of the filing date of this report, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the Investment Company Act of 1940 and Rules 13a-15(b) or 15d-15(b) under the Exchange Act of 1934. |
(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 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. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable to the registrant.
Item 13. Exhibits.
(a) (1) Not applicable to this semi-annual report.
(a) (2) Section 302 Certifications are attached.
(a) (3) Not applicable.
(a) (4) Not applicable.
(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 27, 2018 |
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 27, 2018 | |
By: | /s/ Jack Gee | |
Jack Gee, Treasurer and Chief Financial Officer (Principal Financial Officer) | ||
Date: | April 27, 2018 |