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Filed by State Street Research Exchange Trust
Pursuant to Rule 425 Under the Securities Act of 1933 and
Deemed filed pursuant to Rule 14a-2 of the
Securities Exchange Act of 1934
Subject Company: State Street Research Exchange Trust
SEC File No. 811-4256

This filing relates to the proposed reorganizations of certain series of
State Street Research trusts ("State Street Research") into certain series of
the BlackRock Funds ("BlackRock") pursuant to Agreements and Plans of
Reorganization, forms of which are on file with the U.S. Securities and
Exchange Commission as appendices to the Combined Prospectus/Proxy Statements
on Form N-14 filed by BlackRock on November 8, 2004, and which are
incorporated by reference into this filing.

The following is a letter sent to shareholders of the series of the trusts
reminding them of the proxy materials they received relating to the proposed
reorganizations.

                           [STATE STREET RESEARCH LOGO]

December 3, 2004

REMINDER

Dear State Street Research Shareholder,

In mid-November, we mailed you proxy materials requesting your vote on an
important proposal affecting your State Street Research fund(s). If you have
not already returned the proxy card previously mailed to you, please sign and
return promptly the enclosed proxy card in the accompanying envelope which
requires no postage. If you have already voted, we thank you for your
consideration.

If you prefer, you may cast your vote by: 1) calling a telephone
representative toll-free at 1-877-456-6399, 2) touch-tone voting at
1-888-221-0697, 3) visiting our website at www.ssrfunds.com and clicking on
VOTE YOUR PROXY ONLINE, or 4) attending the special shareholder meeting on
December 27, 2004.

As a shareholder, your vote is important. We hope that you will respond today
to ensure that your shares will be represented at the meeting.

If you have any questions about the proxy materials you received, please call
1-877-773-8637 or contact your financial advisor.

Sincerely,

/s/ Richard S. Davis

Richard S. Davis
Chairman of the Board
President & Chief Executive Officer

ADDITIONAL INFORMATION AND WHERE TO FIND IT

BlackRock Funds ("BlackRock") has filed Combined Prospectus / Proxy
Statements with the Securities and Exchange Commission Registration
Statements, on Form N-14 (Nos. 333-119445, 333-119446, 333-119447,
333-119457, 333-119448, 333-119449, 333-119450, 333-119451, 333-119452,
333-119453, 333-119454, 333-119456, 333-119458, 333-119459 and 333-119461),
of BlackRock and certain State Street Research ("SSR") funds and other
relevant materials regarding the proposed reorganizations (the
"Reorganizations") of certain series of SSR trusts into certain series of
BlackRock. The Combined Prospectus/Proxy Statements were sent to security
holders of SSR funds seeking their approval of the reorganizations. WE URGE
YOU TO READ THE COMBINED PROSPECTUS/PROXY STATEMENTS FILED BY BLACKROCK WITH
THE SEC ON NOVEMBER 8, 2004 AND THE OTHER RELEVANT MATERIALS FILED BY
BLACKROCK OR SSR WITH THE SEC BEFORE VOTING OR MAKING ANY INVESTMENT DECISION
WITH RESPECT TO THE REORGANIZATIONS, BECAUSE THEY CONTAIN IMPORTANT
INFORMATION ABOUT BLACKROCK, SSR AND THE REORGANIZATIONS. You may obtain a
free copy of these materials and other documents filed by BlackRock or SSR
with the SEC at the SEC's website at www.sec.gov. In addition, the documents
filed with the SEC by BlackRock may be obtained free of charge by directing
such request to: BlackRock Funds, Bellevue Park Corporate Center, 100
Bellevue Parkway, Wilmington, Delaware, 19809, (800) 441-7762. Documents
filed with the SEC by SSR may be obtained free of charge by directing such
request to: State Street Research, One Financial Center, Boston,
Massachusetts, 02111, (877) 773-8637.







                 One Financial Center - Boston, MA 02111-2690
                       1.87.SSR.FUNDS - (1.877.773.8637)
                          www.statestreetresearch.com