N-CSR 1 d344570dncsr.htm ISHARES TRUST iShares Trust

 

 

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 811-09729

 

 

iShares Trust

(Exact name of registrant as specified in charter)

 

 

c/o: State Street Bank and Trust Company

100 Summer Street, 4th Floor, Boston, MA 02110

(Address of principal executive offices) (Zip code)

 

 

The Corporation Trust Company

1209 Orange Street, Wilmington, DE 19801

(Name and address of agent for service)

 

 

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

Date of fiscal year end: April 30, 2022

Date of reporting period: April 30, 2022

 

 

 

 

 

Item 1.

Reports to Stockholders.

(a) The Report to Shareholders is attached herewith.

 

 

LOGO

  APRIL 30, 2022

 

 

  

   

 

2022 Annual Report

 

 

 

iShares Trust

·  iShares Dow Jones U.S. ETF | IYY | NYSE Arca

·  iShares U.S. Energy ETF | IYE | NYSE Arca

·  iShares U.S. Healthcare ETF | IYH | NYSE Arca

·  iShares U.S. Technology ETF | IYW | NYSE Arca

·  iShares U.S. Transportation ETF | IYT | Cboe BZX

·  iShares U.S. Utilities ETF | IDU | NYSE Arca

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of April 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets which characterized 2021. The U.S. economy shrank in the first quarter of 2022, ending the run of robust growth which followed reopening and the development of the COVID-19 vaccines. Rapid changes in consumer spending led to supply constraints and elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed but mostly down, as persistently high inflation drove investors’ expectations for higher interest rates, particularly weighing on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks were nearly flat. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as increasing inflation drove investors’ expectations for higher interest rates. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is growing faster than expected, raised interest rates in March 2022, the first increase of this business cycle. Furthermore, the Fed wound down its bond-buying programs and raised the prospect of reversing the flow and reducing its balance sheet. Continued high inflation and the Fed’s new tone led many analysts to anticipate that the Fed will continue to raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metal markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption are likely to drive already-high commodity prices even higher. We believe sharp increases in energy prices will exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks amid the ebb and flow of the pandemic, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will err on the side of protecting employment, even at the expense of higher inflation.

In this environment, we favor an overweight to equities, as valuations have become more attractive and inflation-adjusted interest rates remain low. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and healthcare, are particularly attractive in the long term. We favor U.S. equities due to strong earnings momentum, while Japanese equities should benefit from supportive monetary and fiscal policy. We are underweight credit overall, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities for additional yield. We believe that international diversification and a focus on sustainability and quality can help provide portfolio resilience.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

 

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of April 30, 2022  
     
      6-Month       12-Month  
   

U.S. large cap equities
(S&P 500® Index)

      (9.65)%     0.21%   
   

U.S. small cap equities
(Russell 2000® Index)

   (18.38)       (16.87)     
   

International equities
(MSCI Europe, Australasia, Far East Index)

   (11.80)       (8.15)     
   

Emerging market equities
(MSCI Emerging Markets Index)

   (14.15)       (18.33)     
   

3-month Treasury bills
(ICE BofA 3-Month U.S. Treasury Bill Index)

      0.07        0.08      
   

U.S. Treasury securities
(ICE BofA 10-Year U.S. Treasury Index)

   (10.29)       (8.86)     
   

U.S. investment grade bonds
(Bloomberg U.S. Aggregate Bond Index)

     (9.47)       (8.51)     
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

     (7.90)       (7.88)     
   

U.S. high yield bonds
(Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)

     (7.40)       (5.22)     
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

 

2  

T H I S   P A G E   I S   N O T   P A R T   O F   Y O U R   F U N D   R E P O R T

Table of Contents

 

 

    Page  

 

  

The Markets in Review

     2  

Market Overview

     4  

Fund Summary

     5  

About Fund Performance

     17  

Shareholder Expenses

     17  

Schedules of Investments

     18  

Financial Statements

  

Statements of Assets and Liabilities

     46  

Statements of Operations

     48  

Statements of Changes in Net Assets

     50  

Financial Highlights

     53  

Notes to Financial Statements

     59  

Report of Independent Registered Public Accounting Firm

     69  

Important Tax Information (Unaudited)

     70  

Statement Regarding Liquidity Risk Management Program

     71  

Supplemental Information

     72  

Trustee and Officer Information

     73  

General Information

     76  

Glossary of Terms Used in this Report

     77  

 

 

 

Market Overview

 

iShares Trust

Domestic Market Overview

U.S. stocks declined for the 12 months ended April 30, 2022 (“reporting period”), when the Russell 3000® Index, a broad measure of U.S. equity market performance, returned -3.11%. Equities advanced early in the reporting period as high consumer spending drove robust economic growth and authorities eased most remaining coronavirus pandemic-related restrictions. Increased economic activity led to strong corporate earnings as companies reaped the benefits of the recovery. However, significant challenges emerged in the second half of the reporting period which erased earlier gains, including high inflation, rising interest rates, slower economic growth, and the impacts of Russia’s invasion of Ukraine.

The U.S. economy grew briskly over the final three quarters of 2021, powered primarily by consumers with strong household balance sheets. Record-high personal savings rates allowed consumers to spend at an elevated level throughout much of the reporting period, releasing pent-up demand for goods and services. Hiring increased as businesses restored capacity, and unemployment decreased substantially, falling to 3.6% in April 2022 — only marginally higher than the pre-pandemic rate of 3.5% in February 2020. However, growth stalled in the first quarter of 2022, and the economy contracted amid lower inventory investment and an inflation-driven decline in consumer sentiment.

The rapid increase in consumer spending drove a significant rise in inflation. Supply chains for many goods were disrupted by the pandemic and could not quickly adapt to the rapid rebound in demand. In one prominent example of this dynamic, a global shortage of semiconductors created bottlenecks in the production of many goods, including automobiles. Consequently, the price of used cars rose sharply during the reporting period and played a notable role in overall inflation. Oil prices also rose significantly as demand increased and a lack of investment constrained the supply of oil. The strong job market led to higher wages, particularly at the lower end of the market. These factors drove prices higher in many areas of the economy. By the end of the reporting period, the consumer price index, a widely used measure of prices in the U.S., grew at the fastest rate since 1982.

Rising inflation led to a shift in policy from the U.S. Federal Reserve Bank (“Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy in the second half of the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities and discussed plans to begin reducing its balance sheet by selling bonds later in 2022. In March 2022, it raised short-term interest rates and indicated that further increases could be necessary. Interest rates rose significantly in anticipation of further tightening, leading to higher borrowing costs for businesses.

Russia’s invasion of Ukraine in late February 2022 led to substantial disruptions to the global economy and increased uncertainty in financial markets, exacerbating inflation and weighing on U.S. corporate earnings. The invasion was met with widespread condemnation and sanctions imposed by many countries on the Russian state, businesses, and individuals. As Russia is a top producer of both oil and natural gas, global supply concerns led to sharp volatility in U.S. energy markets.

 

 

4  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® Dow Jones U.S. ETF

 

Investment Objective

The iShares Dow Jones U.S. ETF (the “Fund”) seeks to track the investment results of a broad-based index composed of U.S. equities, as represented by the Dow Jones U.S. IndexTM (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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (2.61 )%       12.95 %       13.12 %        (2.61 )%       83.87 %       243.09 % 

Fund Market

     (2.66 )       12.95        13.12         (2.66 )       83.82        243.23  

Index

     (2.43 )       13.17        13.33               (2.43 )       85.64        249.62  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $         883.60          $        0.93               $      1,000.00          $        1,023.80          $        1.00          0.20 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   5

Fund Summary as of April 30, 2022   (continued)    iShares® Dow Jones U.S. ETF

 

Portfolio Management Commentary

U.S. stocks declined for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. The communication services sector detracted the most from the Index’s return, particularly the media and entertainment industry, as shifts in consumer consumption patterns disrupted both advertising and subscription-based revenue streams. Enhanced privacy tools and opt-in data tracking built into mobile operating systems made it more difficult for advertisers to target consumers. High inflation and the war in Ukraine prompted companies to slow their online advertising spending, which further weighed on industry revenues. Changing consumer behavior also negatively impacted stocks of content providers in the entertainment industry. Increased password sharing and strong competition pressured revenues of companies that sell subscription-based streaming content. The resumption of in-person activities further dampened growth for home entertainment providers.

The consumer discretionary sector also detracted from the Index’s performance. The internet and direct marketing retail industry declined the most as the strong growth in online retailing that accelerated during the pandemic began to slow. As sales growth slowed, costs from recent investments to increase capacity, including staffing and warehouses, rose faster than revenues, pressuring profit margins. High inflation further weighed on profitability, as costs for transportation, shipping, and labor increased sharply.

On the upside, the energy sector was the leading contributor to the Index’s return amid higher prices for energy commodities. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

The consumer staples sector also gained, driven primarily by the beverages industry. Brand loyalty helped the beverages industry to improve profit margins by raising prices to keep pace with rising input costs.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector    
 Percent of
Total Investments		  
(a) 

Information Technology

     27.1 % 

Health Care

     13.8  

Consumer Discretionary

     11.5  

Financials

     11.3  

Industrials

     8.4  

Communication Services

     8.2  

Consumer Staples

     6.4  

Energy

     4.0  

Real Estate

     3.5  

Materials

     3.0  

Utilites

     2.8  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

   
Security    
 Percent of
Total Investments		  
(a) 

Apple Inc.

     6.2 % 

Microsoft Corp.

     5.3  

Amazon.com Inc.

     2.8  

Tesla Inc.

     1.9  

Alphabet Inc., Class A

     1.8  

Alphabet Inc., Class C

     1.6  

Berkshire Hathaway Inc., Class B

     1.5  

UnitedHealth Group Inc.

     1.2  

Johnson & Johnson

     1.2  

NVIDIA Corp.

     1.2  
 

 

 

6  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® U.S. Energy ETF

 

Investment Objective

The iShares U.S. Energy ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the energy sector, as represented by the Russell 1000 Energy RIC 22.5/45 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     56.56 %       5.66 %       2.89 %        56.56 %       31.71 %       32.98 % 

Fund Market

     56.48        5.67        2.90         56.48        31.75        33.08  

Index(a)

     57.23        6.08        3.30         57.23        34.36        38.31  

Dow Jones U.S. Oil & Gas Index™

     59.25        6.36        3.43         59.25        36.08        40.09  

Russell 1000 Energy RIC 22.5/45 Capped Index(b)

     N/A        N/A        N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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.

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Oil & Gas IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Energy RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Oil & Gas IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Energy RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was 43.93%.

 

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 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $        1,290.50          $        2.21               $      1,000.00          $        1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   7

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Energy ETF

 

Portfolio Management Commentary

U.S. energy stocks advanced sharply during the reporting period, as oil prices soared on renewed demand and concerns about supply constraints following Russia’s invasion of Ukraine. Oil prices rose early in the reporting period as vaccinations against COVID-19 rolled out and the global economy recovered. Oil prices continued to climb throughout 2021 as coronavirus-related restrictions eased, travel increased, and oil stockpiles dropped. Members of OPEC and other oil-producing countries gradually increased oil supply throughout 2021, but demand outstripped supply, sending prices higher. U.S. oil producers, which curtailed output in 2020 when prices slid, were slow to renew production when economic activity and demand rebounded. Oil prices briefly faltered late in 2021 when the emergence of new coronavirus variants raised fears of renewed shutdowns and weakened global economic demand.

However, oil prices rose sharply in March 2022 after the U.S. and its European allies began considering banning oil imports from Russia following its invasion of Ukraine. Russia is the world’s top exporter of oil and oil products. U.S. natural gas prices also soared during the reporting period, nearly doubling during the first four months of 2022 and hitting a 13-year high.

U.S. oil, gas, and consumable fuels stocks contributed the most to the Index’s return, as stocks in the industry hit their highest levels in years following the rally in oil prices. In a marked turnaround from 2020, energy companies posted stronger earnings and, flush with excess cash, rewarded shareholders by buying back their own stock and raising dividends. The higher oil prices and free cash flow led some companies to expand plans to invest in new oil production, although many detailed only modest budget expansions.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector    
 Percent of
Total Investments		  
(a) 

Oil, Gas & Consumable Fuels

     88.9 % 

Energy Equipment & Services

     8.0  

Semiconductors & Semiconductor Equipment

     2.0  

Electrical Equipment

     1.1  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

   

Security

    
 Percent of
Total Investments		  
(a) 

Exxon Mobil Corp.

     20.0 % 

Chevron Corp.

     16.8  

ConocoPhillips

     7.4  

EOG Resources Inc.

     4.6  

Schlumberger NV

     3.7  

Marathon Petroleum Corp.

     3.7  

Pioneer Natural Resources Co.

     3.4  

Occidental Petroleum Corp.

     3.2  

Valero Energy Corp.

     3.2  

Williams Companies Inc. (The)

     2.9  
 

 

 

8  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® U.S. Healthcare ETF

 

Investment Objective

The iShares U.S. Healthcare ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the healthcare sector, as represented by the Russell 1000 Health Care RIC 22.5/45 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     4.86 %       12.98 %       14.92 %        4.86 %       84.07 %       301.81 % 

Fund Market

     4.83        12.96        14.92         4.83        83.95        301.66  

Index(a)

     5.27        13.42        15.40         5.27        87.69        318.87  

Dow Jones U.S. Health Care Index™

     4.61        13.28        15.33         4.61        86.52        316.25  

Russell 1000 Health Care RIC 22.5/45 Capped Index(b)

     N/A        N/A        N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Health Care IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Health Care RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Health Care IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Health Care RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was -0.90%.

 

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 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $         949.30          $        1.88               $      1,000.00          $        1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   9

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Healthcare ETF

 

Portfolio Management Commentary

U.S. healthcare stocks advanced significantly for the reporting period amid strong sales of pharmaceuticals, especially products used to combat the ongoing coronavirus pandemic. The pharmaceuticals industry was the top contributor to the Index’s return. Vaccines developed by pharmaceuticals companies to protect against the COVID-19 virus were a crucial driver of revenues for the reporting period, generating billions of U.S. dollars in sales. Pharmaceuticals firms also developed antibody therapies to fight COVID-19 that the U.S. government contracted to purchase. Sales of antiviral medications also benefited the industry; the U.S. government purchased and distributed antivirals in large quantities, then authorized their use in its new “test to treat” program. Outside of treatments and vaccines for the coronavirus, the pharmaceuticals industry was helped by continued strong sales of already-approved drugs, as global spending on medicine grew. Sales of treatments for Alzheimer’s, diabetes, as well as plaque psoriasis, cancer, and schizophrenia, supported revenues.

Some pharmaceuticals companies focused their operations, strategically divesting legacy businesses in favor of emphasizing new product development. For example, a large healthcare and pharmaceuticals company announced plans to spin off its consumer products unit to focus on its core pharmaceuticals business. Other significant trends included the use of artificial intelligence to spur drug development and the move toward personalized medicine, allowing for more targeted and efficient research and development. The healthcare providers and services industry also contributed due to strong healthcare plan enrollments and investors’ demand for lower volatility stocks amid rising inflation and the Russian invasion of Ukraine.

On the downside, the healthcare equipment and supplies industry detracted from the Index’s return. The spread of a new coronavirus variant led to a smaller number of healthcare procedures, reducing revenues.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector    
 Percent of
Total Investments		  
(a) 

Pharmaceuticals

     30.4 % 

Health Care Equipment & Supplies

     20.6  

Health Care Providers & Services

     19.2  

Biotechnology

     16.1  

Life Sciences Tools & Services

     12.5  

Health Care Technology

     1.2  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

   
Security    
 Percent of
Total Investments		  
(a) 

UnitedHealth Group Inc.

     9.4 % 

Johnson & Johnson

     9.3  

Pfizer Inc.

     5.4  

AbbVie Inc.

     5.1  

Eli Lilly & Co.

     4.9  

Merck & Co. Inc.

     4.4  

Thermo Fisher Scientific Inc.

     4.3  

Abbott Laboratories

     3.9  

Bristol-Myers Squibb Co.

     3.2  

Danaher Corp.

     3.1  
 

 

 

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Fund Summary as of April 30, 2022    iShares® U.S. Technology ETF

 

Investment Objective

The iShares U.S. Technology ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the technology sector, as represented by the Russell 1000 Technology RIC 22.5/45 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (3.35 )%       21.85 %       17.90 %        (3.35 )%       168.59 %       419.10 % 

Fund Market

     (3.45 )       21.84        17.91         (3.45 )       168.51        419.36  

Index(a)

     (2.98 )       22.36        18.38         (2.98 )       174.33        440.60  

Dow Jones U.S. Technology Capped IndexTM(b)

     (2.06 )       N/A        N/A         (2.06 )       N/A        N/A  

Russell 1000 Technology RIC 22.5/45 Capped Index(c)

     N/A        N/A        N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through June 23, 2019 reflects the performance of the Dow Jones U.S. Technology Total Return Index. Index performance beginning on June 24, 2019 through September 19, 2021 reflects the performance of the Dow Jones U.S. Technology Capped IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Technology RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Technology Capped IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Dow Jones U.S. Technology Capped IndexTM was April 15, 2019. The cumulative total return for this index for the period April 15, 2019 through April 30, 2022 was 87.37%.

 
  (c) 

The inception date of the Russell 1000 Technology RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was -11.18%.

 

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 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $         812.80          $        1.75               $      1,000.00          $        1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   11

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Technology ETF

 

Portfolio Management Commentary

U.S. technology stocks declined during the reporting period as users spent less time on social media platforms as the coronavirus pandemic ebbed. Expenditures on online advertising, especially in Europe, declined amid supply chain disruptions and rising inflation. Interest rate increases by the Fed and concerns about sales disruptions due to Russia’s invasion of Ukraine weighed heavily on U.S. technology stocks.

The application software industry detracted the most from the Index’s return. Software-as-a-service revenues declined as the trend for businesses to migrate online to facilitate remote work receded amid easing pandemic-related restrictions. Rising interest rates and increasing competition also challenged the industry.

The interactive media and services industry also detracted from the Index’s performance, as profits and revenues fell by record amounts amid increased competition on digital platforms, especially video-based social media. Investors grew concerned that changes to corporate policies designed to increase user privacy would make targeted advertising more difficult, ultimately reducing sales. Additionally, new European regulatory policies and tighter monetary policy from the Fed weighed on the industry. Toward the end of the reporting period, Russia’s ban of a major social media platform following the invasion of Ukraine led to a steep loss in users.

On the upside, the technology hardware and equipment industry contributed significantly to the Index’s return. Increased time at home drove strong demand for computing products for both work and leisure, leading to record earnings despite ongoing supply chain challenges. Strong demand for subscription services, including music and streaming video, drove rising revenues.

In the systems software industry, development of new products and services and industry consolidation bolstered the Index’s return. Strength in sales of hardware, including personal computers and tablets, contributed to rising revenues.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector    
 Percent of
Total Investments		  
(a) 

Software

     34.5 % 

Semiconductors & Semiconductor Equipment

     22.0  

Technology Hardware, Storage & Peripherals

     20.1  

Interactive Media & Services

     15.9  

IT Services

     5.1  

Electronic Equipment, Instruments & Components

     1.5  

Other (each representing less than 1%)

     0.9  

TEN LARGEST HOLDINGS

 

   
Security    
 Percent of
Total Investments		  
(a) 

Apple Inc.

     18.7 % 

Microsoft Corp.

     16.2  

Alphabet Inc., Class A

     5.5  

Alphabet Inc., Class C

     5.1  

Meta Platforms Inc, Class A

     4.3  

NVIDIA Corp.

     3.9  

Broadcom Inc.

     2.7  

Adobe Inc.

     2.3  

Intel Corp.

     2.1  

salesforce.com Inc.

     2.0  
 
  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022    iShares® U.S. Transportation ETF

 

Investment Objective

The iShares U.S. Transportation ETF (the “Fund”) (formerly the iShares Transportation Average ETF) seeks to track the investment results of an index composed of U.S. equities in the transportation sector, as represented by the S&P Transportation Select Industry FMC 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (9.18 )%       9.43 %       11.26 %        (9.18 )%       56.90 %       190.59 % 

Fund Market

     (9.34 )       9.42        11.25         (9.34 )       56.83        190.50  

Index(a)

     (8.19 )       10.46        11.88         (8.19 )       64.48        207.33  

Dow Jones Transportation Average IndexTM

     (2.00 )       11.92        12.62         (2.00 )       75.58        228.07  

S&P Transportation Select Industry FMC Capped Index(b)

     (7.97 )       N/A        N/A               (7.97 )       N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through July 18, 2021 reflects the performance of the Dow Jones Transportation Average IndexTM. Index performance beginning on July 19, 2021 reflects the performance of the S&P Transportation Select Industry FMC Capped Index, which, effective as of July 19, 2021, replaced the Dow Jones Transportation Average IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the S&P Transportation Select Industry FMC Capped Index was April 26, 2021. The cumulative total return for this index for the period April 26, 2021 through April 30, 2022 was -6.45%.

 

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 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $         901.50          $        1.84               $      1,000.00          $        1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   13

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Transportation ETF

 

Portfolio Management Commentary

U.S. transportation stocks declined for the reporting period as cost increases, labor shortages, and ongoing disruption due to the emergence of COVID-19 variants outweighed robust industry demand. Additionally, investor concern over the impact of rising interest rates on consumer spending drove transportation stocks sharply lower at the close of the reporting period.

Air freight and logistics companies were the primary detractors from the Index’s return as supply chain difficulties weighed on growth. Delivery companies increased parcel shipping prices at the fastest pace in nearly a decade, in part to offset the costly infrastructure upgrades required to keep pace with the high-demand environment. Supply was constrained by a shortage of truck drivers, port closures, and rail yard and port congestion. Labor shortages at distribution centers also lowered operating volumes. War in Ukraine further exacerbated supply constraints as sanctions on Russia disrupted shipping routes and created congestion at European ports. Stocks also fell on investor concerns that e-commerce activity faced slowdowns due to the lifting of COVID-19 restrictions and consumers shifting spending from goods to services and travel.

Road and rail stocks also detracted from the Index’s return as a shortage of drivers and rising gas prices increased costs and the persistence of COVID-19 variants and the resulting drag on rider demand lowered earnings outlooks. To attract and retain drivers, ride-sharing companies re-introduced incentive programs and fuel surcharges to help offset higher fuel prices. While the incentive programs aided in driver recruitment, they also increased costs and lowered profit margins. A slowdown in the demand for food delivery services as consumers returned to in-person dining further impacted revenues of ride-sharing companies with food delivery divisions.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector    
 Percent of
Total Investments		  
(a) 

Road & Rail

     52.3 % 

Air Freight & Logistics

     28.5  

Airlines

     17.6  

Marine

     1.6  

 

TEN LARGEST HOLDINGS

 

   
Security    
 Percent of
Total Investments		  
(a) 

Union Pacific Corp.

     19.0 % 

United Parcel Service Inc., Class B

     16.7  

CSX Corp.

     6.8  

Uber Technologies Inc.

     4.7  

Southwest Airlines Co.

     4.7  

Delta Air Lines Inc.

     4.6  

Norfolk Southern Corp.

     4.6  

FedEx Corp.

     4.3  

Old Dominion Freight Line Inc.

     4.3  

Expeditors International of Washington Inc.

     2.8  
 
  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022    iShares® U.S. Utilities ETF

 

Investment Objective

The iShares U.S. Utilities ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the utilities sector, as represented by the Russell 1000 Utilities RIC 22.5/45 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     8.52 %       9.24 %       10.54 %        8.52 %       55.57 %       172.33 % 

Fund Market

     8.38        9.23        10.53         8.38        55.47        172.22  

Index(a)

     8.79        9.69        11.01         8.79        58.79        184.22  

Dow Jones U.S. Utilities Index™

     9.61        9.86        11.09         9.61        59.99        186.37  

Russell 1000 Utilities RIC 22.5/45 Capped Index(b)

     N/A        N/A        N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Utilities IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Utilities RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Utilities IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Utilities RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was 11.85%.

 

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 page 17 for more information.

Expense Example

 

      Actual           Hypothetical 5% Return           
 

 

 

      

 

 

       
         

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

             Annualized
Expense

Ratio

  
 

 

          $       1,000.00          $        1,063.50          $        2.00               $      1,000.00          $        1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   15

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Utilities ETF

 

Portfolio Management Commentary

U.S. utilities stocks advanced for the reporting period, outpacing the broader domestic equity market. The utilities sector was supported as coronavirus pandemic-related restrictions eased, global economies rebounded, and electricity prices surged. Additionally, investors increasingly sought utilities stocks, as they are typically regarded as less-risky in periods of market turbulence because consumer spending on power is relatively non-discretionary.

Electric utilities contributed the most to the Index’s return. U.S. electricity prices reached a 13-year high in 2021 as pandemic-related restrictions eased, and severe weather led to energy disruptions. The U.S. government expected electricity demand and prices throughout the U.S. to continue rising in 2022. Prices for natural gas, the leading source of power generation for U.S. electricity, also rose considerably for the reporting period as economic growth recovered and demand increased. Like electricity prices, the U.S. government expected a continued increase in natural gas costs during 2022.

Despite rising input costs, earnings for electricity providers increased as they were able to continue raising usage rates while benefiting from investments to improve transmission, modernize power grids, and add renewable energy capacity. U.S. investment in renewable energy set a record in 2021, as renewable energy projects represented the vast majority of investment in new capacity, supporting the U.S. administration’s goal of emissions-free electricity by 2035. Broadly, the amount of electricity produced by renewable energy, primarily solar and wind power, quadrupled in the past decade, whereas coal-fired generation declined 62% since 2007. Meanwhile, within the industrials sector, a large environmental and facilities services company contributed to the Index’s return as the company’s customer retention and overall growth benefited from technology investments and a key acquisition.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   

Sector

    
 Percent of
Total Investments		  
(a) 

Electric Utilities

     56.2 % 

Multi-Utilities

     26.4  

Commercial Services & Supplies

     9.0  

Water Utilities

     3.2  

Independent Power and Renewable Electricity Producers

     2.5  

Gas Utilities

     2.4  

Electrical Equipment

     0.3  

TEN LARGEST HOLDINGS

 

   

Security

    
 Percent of
Total Investments		  
(a) 

NextEra Energy Inc.

     11.7 % 

Duke Energy Corp.

     7.1  

Southern Co. (The)

     6.5  

Waste Management Inc.

     5.8  

Dominion Energy Inc.

     5.5  

Sempra Energy

     4.3  

American Electric Power Co. Inc.

     4.2  

Exelon Corp.

     3.8  

Xcel Energy Inc.

     3.3  

Public Service Enterprise Group Inc.

     2.9  
 
  (a) 

Excludes money market funds.

 

 

 

16  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at 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. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask 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. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in a Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

A B O U T   F U N D   P E R F O R M A N C E / S H A R E H O L D E R   E X P E N S E S

   17

Schedule of Investments

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Aerospace & Defense — 1.5%

    

Axon Enterprise Inc.(a)

     2,735     $ 306,867  

Boeing Co. (The)(a)

     21,703       3,230,275  

BWX Technologies Inc.

     3,808       197,711  

Curtiss-Wright Corp.

     1,547       221,082  

General Dynamics Corp.

     9,084       2,148,639  

HEICO Corp.

     1,711       241,645  

HEICO Corp., Class A

     2,982       347,820  

Hexcel Corp.

     3,171       172,376  

Howmet Aerospace Inc.

     14,992       511,527  

Huntington Ingalls Industries Inc.

     1,562       332,300  

L3Harris Technologies Inc.

     7,737       1,796,996  

Lockheed Martin Corp.

     9,596       4,146,623  

Mercury Systems Inc.(a)

     2,283       127,369  

Northrop Grumman Corp.

     5,811       2,553,353  

Raytheon Technologies Corp.

     58,950       5,594,944  

Textron Inc.

     8,629       597,558  

TransDigm Group Inc.(a)

     2,094       1,245,532  

Virgin Galactic Holdings Inc.(a)(b)

     7,015       52,542  

Woodward Inc.

     2,514       277,747  
   

 

 

  
          24,102,906  
Air Freight & Logistics — 0.6%            

CH Robinson Worldwide Inc.

     5,205       552,511  

Expeditors International of Washington Inc.

     6,665       660,301  

FedEx Corp.

     9,651       1,918,040  

GXO Logistics Inc.(a)

     3,873       229,243  

United Parcel Service Inc., Class B

     28,859       5,194,043  
   

 

 

  
      8,554,138  
Airlines — 0.2%            

Alaska Air Group Inc.(a)

     5,060       275,213  

American Airlines Group Inc.(a)(b)

     25,698       482,351  

Delta Air Lines Inc.(a)

     25,288       1,088,143  

JetBlue Airways Corp.(a)

     12,404       136,568  

Joby Aviation Inc., Class A(a)(b)

     10,413       54,564  

Southwest Airlines Co.(a)

     23,380       1,092,314  

United Airlines Holdings Inc.(a)

     12,736       643,168  
   

 

 

  
      3,772,321  
Auto Components — 0.2%            

Aptiv PLC(a)

     10,690       1,137,416  

Autoliv Inc.

     3,164       233,123  

BorgWarner Inc.

     9,385       345,650  

Fox Factory Holding Corp.(a)

     1,664       136,248  

Gentex Corp.

     9,276       272,251  

Lear Corp.

     2,360       301,938  

Luminar Technologies Inc.(a)(b)

     9,207       113,891  

QuantumScape Corp.(a)(b)

     10,211       152,552  
   

 

 

  
      2,693,069  
Automobiles — 2.2%            

Ford Motor Co.

     155,121       2,196,513  

General Motors Co.(a)

     57,444       2,177,702  

Harley-Davidson Inc.

     6,237       227,339  

Lucid Group Inc.(a)(b)

     22,252       402,316  

Rivian Automotive Inc., Class A(a)(b)

     6,124       185,190  

Tesla Inc.(a)

     33,100       28,822,156  

Thor Industries Inc.

     2,190       167,645  
   

 

 

  
      34,178,861  
Banks — 3.6%            

Bank of America Corp.

     281,229       10,034,251  
Security   Shares     Value  

Banks (continued)

    

Bank OZK

     4,630     $ 177,885  

BOK Financial Corp.

     1,266       104,989  

Citigroup Inc.

     78,509       3,784,919  

Citizens Financial Group Inc.

     19,566       770,900  

Comerica Inc.

     5,086       416,543  

Commerce Bancshares Inc.

     4,425       302,537  

Cullen/Frost Bankers Inc.

     2,299       304,135  

East West Bancorp. Inc.

     5,522       393,719  

Fifth Third Bancorp.

     26,933       1,010,795  

First Citizens BancShares Inc./NC, Class A

     521       333,117  

First Financial Bankshares Inc.

     5,064       202,459  

First Horizon Corp.

     21,254       475,665  

First Republic Bank/CA

     7,065       1,054,239  

FNB Corp.

     13,211       152,191  

Glacier Bancorp. Inc.

     4,269       195,349  

Home BancShares Inc./AR

     6,207       134,195  

Huntington Bancshares Inc./OH

     57,023       749,852  

JPMorgan Chase & Co.

     116,869       13,949,484  

KeyCorp

     36,708       708,831  

M&T Bank Corp.

     7,099       1,182,977  

Pinnacle Financial Partners Inc.

     2,941       228,075  

PNC Financial Services Group Inc. (The)

     16,591       2,755,765  

Popular Inc.

     3,232       252,064  

Prosperity Bancshares Inc.

     3,553       232,295  

Regions Financial Corp.

     36,995       766,536  

Signature Bank/New York NY

     2,484       601,749  

SVB Financial Group(a)

     2,331       1,136,689  

Synovus Financial Corp.

     5,888       244,588  

Truist Financial Corp.

     52,690       2,547,562  

U.S. Bancorp.

     53,320       2,589,219  

UMB Financial Corp.

     1,732       156,192  

Umpqua Holdings Corp.

     8,885       146,958  

United Bankshares Inc./WV

     5,380       178,939  

Valley National Bancorp.

     17,006       203,732  

Webster Financial Corp.

     7,087       354,279  

Wells Fargo & Co.

     153,499       6,697,161  

Western Alliance Bancorp.

     4,153       316,085  

Wintrust Financial Corp.

     2,323       202,844  

Zions Bancorp. NA

     5,923       334,709  
   

 

 

  
      56,384,473  
Beverages — 1.6%            

Boston Beer Co. Inc. (The), Class A, NVS(a)

     368       138,000  

Brown-Forman Corp., Class B, NVS

     7,101       478,891  

Coca-Cola Co. (The)

     153,566       9,921,899  

Constellation Brands Inc., Class A

     6,477       1,593,925  

Keurig Dr Pepper Inc.

     29,128       1,089,387  

Molson Coors Beverage Co., Class B

     7,561       409,353  

Monster Beverage Corp.(a)

     14,954       1,281,259  

National Beverage Corp.

     969       42,713  

PepsiCo Inc.

     54,649       9,383,780  
   

 

 

  
          24,339,207  
Biotechnology — 2.2%            

AbbVie Inc.

     69,944       10,273,375  

ACADIA Pharmaceuticals Inc.(a)

     4,544       83,791  

Agios Pharmaceuticals Inc.(a)(b)

     2,466       54,178  

Alkermes PLC(a)

     6,166       177,889  

Allogene Therapeutics Inc.(a)

     2,538       21,192  

Alnylam Pharmaceuticals Inc.(a)

     4,783       638,196  

Amgen Inc.

     22,276       5,194,540  
 

 

 

18  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Biotechnology (continued)

    

Arrowhead Pharmaceuticals Inc.(a)

     4,120     $ 169,373  

Beam Therapeutics Inc.(a)(b)

     1,730       64,927  

Biogen Inc.(a)

     5,789       1,200,870  

Biohaven Pharmaceutical Holding Co. Ltd.(a)(b)

     2,431       216,772  

BioMarin Pharmaceutical Inc.(a)

     7,264       590,926  

Blueprint Medicines Corp.(a)

     2,353       137,298  

Bridgebio Pharma Inc.(a)

     4,320       34,646  

CRISPR Therapeutics AG(a)(b)

     2,788       138,341  

Denali Therapeutics Inc.(a)

     3,653       86,941  

Emergent BioSolutions Inc.(a)

     1,817       58,834  

Exact Sciences Corp.(a)

     6,775       372,964  

Exelixis Inc.(a)

     12,488       278,982  

Fate Therapeutics Inc.(a)

     3,198       91,335  

Gilead Sciences Inc.

     49,584       2,942,315  

Halozyme Therapeutics Inc.(a)

     5,625       224,438  

Horizon Therapeutics PLC(a)

     9,026       889,603  

Incyte Corp.(a)

     7,508       562,800  

Intellia Therapeutics Inc.(a)

     2,701       132,430  

Ionis Pharmaceuticals Inc.(a)

     5,642       207,400  

Mirati Therapeutics Inc.(a)

     1,956       120,861  

Moderna Inc.(a)

     13,911       1,869,778  

Natera Inc.(a)

     3,447       121,059  

Neurocrine Biosciences Inc.(a)

     3,725       335,362  

Novavax Inc.(a)(b)

     2,943       132,641  

Regeneron Pharmaceuticals Inc.(a)

     4,226       2,785,399  

Sarepta Therapeutics Inc.(a)

     3,389       245,092  

Seagen Inc.(a)

     5,364       702,738  

Twist Bioscience Corp.(a)(b)

     2,229       64,284  

Ultragenyx Pharmaceutical Inc.(a)(b)

     2,680       189,449  

United Therapeutics Corp.(a)

     1,772       314,636  

Vertex Pharmaceuticals Inc.(a)

     10,087       2,755,970  

Vir Biotechnology Inc.(a)

     2,966       60,358  
   

 

 

  
          34,541,983  
Building Products — 0.5%            

A O Smith Corp.

     5,264       307,575  

Advanced Drainage Systems Inc.

     2,203       225,719  

Allegion PLC

     3,544       404,866  

Armstrong World Industries Inc.

     1,830       154,928  

Builders FirstSource Inc.(a)

     7,549       464,792  

Carlisle Companies Inc.

     2,060       534,282  

Carrier Global Corp.

     33,877       1,296,473  

Fortune Brands Home & Security Inc.

     5,438       387,457  

Johnson Controls International PLC

     27,822       1,665,703  

Lennox International Inc.

     1,340       285,675  

Masco Corp.

     9,458       498,342  

Owens Corning

     3,898       354,445  

Trane Technologies PLC

     9,248       1,293,703  

Trex Co. Inc.(a)(b)

     4,495       261,564  

Zurn Water Solutions Corp.

     4,785       149,388  
   

 

 

  
      8,284,912  
Capital Markets — 3.0%            

Affiliated Managers Group Inc.

     1,568       196,894  

Ameriprise Financial Inc.

     4,359       1,157,271  

Ares Management Corp., Class A

     6,679       442,283  

Bank of New York Mellon Corp. (The)

     29,295       1,232,148  

BlackRock Inc.(c)

     5,634       3,519,447  

Blackstone Inc., NVS

     27,892       2,832,990  

Blue Owl Capital Inc.

     13,328       159,003  

Carlyle Group Inc. (The)

     5,463       198,252  
Security   Shares     Value  

Capital Markets (continued)

    

Cboe Global Markets Inc.

     4,152     $ 469,093  

Charles Schwab Corp. (The)

     59,347       3,936,487  

CME Group Inc.

     14,180       3,110,241  

Coinbase Global Inc., Class A(a)(b)

     1,132       127,588  

FactSet Research Systems Inc.

     1,480       597,165  

Federated Hermes Inc.

     3,961       112,809  

Franklin Resources Inc.

     11,402       280,375  

Goldman Sachs Group Inc. (The)

     13,432       4,103,342  

Houlihan Lokey Inc.

     2,000       166,580  

Interactive Brokers Group Inc., Class A

     3,510       209,056  

Intercontinental Exchange Inc.

     22,245       2,576,194  

Invesco Ltd.

     13,492       247,983  

Janus Henderson Group PLC

     6,732       205,191  

Jefferies Financial Group Inc.

     7,662       235,683  

KKR & Co. Inc.

     23,040       1,174,349  

Lazard Ltd., Class A

     4,535       148,612  

LPL Financial Holdings Inc.

     3,191       599,493  

MarketAxess Holdings Inc.

     1,479       389,879  

Moody’s Corp.

     6,406       2,027,371  

Morgan Stanley

     55,954       4,509,333  

Morningstar Inc.

     936       237,023  

MSCI Inc.

     3,217       1,355,161  

Nasdaq Inc.

     4,633       729,095  

Northern Trust Corp.

     8,234       848,514  

Raymond James Financial Inc.

     7,412       722,374  

Robinhood Markets Inc., Class A(a)(b)

     2,290       22,453  

S&P Global Inc.

     14,000       5,271,000  

SEI Investments Co.

     4,237       236,086  

State Street Corp.

     14,449       967,650  

Stifel Financial Corp.

     4,033       249,441  

T Rowe Price Group Inc.

     9,075       1,116,588  

Tradeweb Markets Inc., Class A

     4,075       290,099  

Virtu Financial Inc., Class A

     3,172       91,607  
   

 

 

  
          47,102,203  
Chemicals — 1.8%            

Air Products and Chemicals Inc.

     8,741       2,046,006  

Albemarle Corp.

     4,622       891,260  

Ashland Global Holdings Inc.

     2,199       230,829  

Axalta Coating Systems Ltd.(a)

     8,354       211,941  

Celanese Corp.

     4,268       627,140  

CF Industries Holdings Inc.

     8,522       825,185  

Chemours Co. (The)

     6,148       203,314  

Corteva Inc.

     28,712       1,656,395  

Dow Inc.

     29,135       1,937,478  

DuPont de Nemours Inc.

     20,206       1,332,182  

Eastman Chemical Co.

     5,109       524,541  

Ecolab Inc.

     9,849       1,667,830  

Element Solutions Inc.

     8,376       172,713  

FMC Corp.

     4,980       660,049  

Ginkgo Bioworks Holdings Inc.(a)

     45,676       132,460  

Huntsman Corp.

     8,316       281,663  

Ingevity Corp.(a)

     1,526       91,407  

International Flavors & Fragrances Inc.

     10,028       1,216,396  

Linde PLC

     20,259       6,319,998  

LyondellBasell Industries NV, Class A

     10,425       1,105,363  

Mosaic Co. (The)

     14,611       912,019  

NewMarket Corp.

     298       96,734  

Olin Corp.

     5,707       327,582  

PPG Industries Inc.

     9,380       1,200,546  

RPM International Inc.

     5,031       417,070  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   19

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Chemicals (continued)

    

Scotts Miracle-Gro Co. (The)

     1,616     $ 167,951  

Sherwin-Williams Co. (The)

     9,514       2,615,969  

Valvoline Inc.

     6,920       209,192  

Westlake Corp.

     1,305       165,148  
   

 

 

  
          28,246,361  
Commercial Services & Supplies — 0.5%  

Cimpress PLC(a)

     786       39,701  

Cintas Corp.

     3,502       1,391,204  

Clean Harbors Inc.(a)

     1,914       200,836  

Copart Inc.(a)

     8,397       954,319  

IAA Inc.(a)

     5,338       195,638  

MSA Safety Inc.

     1,487       179,466  

Republic Services Inc.

     8,273       1,110,816  

Rollins Inc.

     8,937       299,747  

Stericycle Inc.(a)

     3,732       187,309  

Tetra Tech Inc.

     2,081       289,842  

Waste Management Inc.

     15,199       2,499,323  
   

 

 

  
      7,348,201  
Communications Equipment — 0.8%  

Arista Networks Inc.(a)

     8,925       1,031,462  

Ciena Corp.(a)

     6,008       331,461  

Cisco Systems Inc.

     166,607       8,160,411  

F5 Inc.(a)

     2,383       398,938  

Juniper Networks Inc.

     12,905       406,766  

Lumentum Holdings Inc.(a)(b)

     2,795       226,982  

Motorola Solutions Inc.

     6,691       1,429,800  

Ubiquiti Inc.

     248       69,998  

Viavi Solutions Inc.(a)

     8,865       127,124  
   

 

 

  
      12,182,942  
Construction & Engineering — 0.1%  

AECOM

     5,693       401,698  

EMCOR Group Inc.

     2,048       218,071  

MasTec Inc.(a)(b)

     2,392       172,248  

MDU Resources Group Inc.

     8,216       211,644  

Quanta Services Inc.

     5,638       653,895  

Valmont Industries Inc.

     842       209,498  

WillScot Mobile Mini Holdings Corp.(a)

     8,844       310,425  
   

 

 

  
      2,177,479  
Construction Materials — 0.1%  

Eagle Materials Inc.

     1,528       188,433  

Martin Marietta Materials Inc.

     2,465       873,152  

Vulcan Materials Co.

     5,243       903,317  
   

 

 

  
      1,964,902  
Consumer Finance — 0.6%  

Ally Financial Inc.

     13,286       530,909  

American Express Co.

     24,357       4,255,411  

Capital One Financial Corp.

     16,389       2,042,397  

Credit Acceptance Corp.(a)(b)

     319       163,488  

Discover Financial Services

     11,404       1,282,494  

FirstCash Holdings Inc.

     1,567       125,015  

OneMain Holdings Inc.

     4,365       200,484  

PROG Holdings Inc.(a)

     2,284       60,458  

SLM Corp.

     11,044       184,766  

SoFi Technologies Inc.(a)(b)

     25,285       154,744  

Synchrony Financial

     20,642       759,832  

Upstart Holdings Inc.(a)(b)

     1,942       145,689  
   

 

 

  
      9,905,687  
Security   Shares     Value  

Containers & Packaging — 0.4%

    

Amcor PLC

     60,928     $ 722,606  

AptarGroup Inc.

     2,598       298,328  

Ardagh Metal Packaging SA(a)

     6,137       43,757  

Avery Dennison Corp.

     3,263       589,298  

Ball Corp.

     12,907       1,047,532  

Berry Global Group Inc.(a)

     5,337       300,740  

Crown Holdings Inc.

     4,994       549,540  

Graphic Packaging Holding Co.

     10,840       236,312  

International Paper Co.

     15,368       711,231  

Packaging Corp. of America

     3,787       610,351  

Sealed Air Corp.

     5,851       375,693  

Silgan Holdings Inc.

     3,302       146,510  

Sonoco Products Co.

     3,927       243,120  

Westrock Co.

     10,291       509,713  
   

 

 

  
      6,384,731  
Distributors — 0.1%            

Genuine Parts Co.

     5,636       732,962  

LKQ Corp.

     10,684       530,247  

Pool Corp.

     1,577       639,032  
   

 

 

  
      1,902,241  
Diversified Consumer Services — 0.1%  

ADT Inc.

     6,635       45,450  

Bright Horizons Family Solutions Inc.(a)

     2,339       267,207  

Chegg Inc.(a)

     5,604       138,643  

frontdoor Inc.(a)(b)

     3,395       104,939  

Grand Canyon Education Inc.(a)

     1,569       150,577  

H&R Block Inc.

     6,515       169,846  

Service Corp. International

     6,488       425,678  

Terminix Global Holdings Inc.(a)

     4,927       226,100  
   

 

 

  
      1,528,440  
Diversified Financial Services — 1.6%  

Apollo Global Management Inc.

     14,801       736,498  

Berkshire Hathaway Inc., Class B(a)

     72,410       23,376,120  

Equitable Holdings Inc.

     15,123       435,996  

Jackson Financial Inc., Class A

     3,661       154,897  

Voya Financial Inc.

     4,249       268,282  
   

 

 

  
          24,971,793  
Diversified Telecommunication Services — 0.9%  

AT&T Inc.

     282,039       5,319,256  

Frontier Communications Parent Inc.(a)(b)

     8,209       216,635  

Liberty Global PLC, Class A(a)

     6,977       158,797  

Liberty Global PLC, Class C, NVS(a)

     12,952       306,962  

Lumen Technologies Inc.

     36,344       365,621  

Verizon Communications Inc.

     166,141       7,692,328  
   

 

 

  
      14,059,599  
Electric Utilities — 1.7%  

ALLETE Inc.

     2,088       123,902  

Alliant Energy Corp.

     9,822       577,632  

American Electric Power Co. Inc.

     19,939       1,976,154  

Avangrid Inc.

     2,795       123,958  

Constellation Energy Corp.

     12,876       762,388  

Duke Energy Corp.

     30,396       3,348,423  

Edison International

     15,005       1,032,194  

Entergy Corp.

     8,004       951,276  

Evergy Inc.

     9,169       622,117  

Eversource Energy

     13,580       1,186,892  

Exelon Corp.

     38,633       1,807,252  

FirstEnergy Corp.

     22,578       977,853  

Hawaiian Electric Industries Inc.

     4,445       182,734  
 

 

 

20  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Electric Utilities (continued)

    

IDACORP Inc.

     2,007     $ 211,096  

NextEra Energy Inc.

     77,510       5,504,760  

NRG Energy Inc.

     9,797       351,712  

OGE Energy Corp.

     8,022       310,291  

PG&E Corp.(a)

     59,725       755,521  

Pinnacle West Capital Corp.

     4,502       320,543  

PNM Resources Inc.

     3,524       164,430  

Portland General Electric Co.

     3,546       167,832  

PPL Corp.

     29,597       837,891  

Southern Co. (The)

     41,833       3,070,124  

Xcel Energy Inc.

     21,278       1,558,826  
   

 

 

  
          26,925,801  
Electrical Equipment — 0.6%  

Acuity Brands Inc.

     1,365       235,435  

AMETEK Inc.

     9,136       1,153,511  

ChargePoint Holdings Inc., Class A(a)(b)

     6,734       87,138  

Eaton Corp. PLC

     15,752       2,284,355  

Emerson Electric Co.

     23,447       2,114,450  

EnerSys

     1,641       107,420  

Generac Holdings Inc.(a)

     2,494       547,134  

Hubbell Inc.

     2,134       416,898  

nVent Electric PLC

     6,384       215,651  

Plug Power Inc.(a)

     20,428       429,397  

Regal Rexnord Corp.

     2,720       346,093  

Rockwell Automation Inc.

     4,585       1,158,492  

Sensata Technologies Holding PLC(a)

     6,135       278,590  

Shoals Technologies Group Inc., Class A(a)(b)

     3,723       37,156  

Sunrun Inc.(a)(b)

     8,138       162,597  

Vertiv Holdings Co.

     11,954       149,784  
   

 

 

  
      9,724,101  
Electronic Equipment, Instruments & Components — 0.7%  

Amphenol Corp., Class A

     23,635       1,689,902  

Arrow Electronics Inc.(a)

     2,696       317,751  

Avnet Inc.

     4,097       178,875  

CDW Corp./DE

     5,335       870,565  

Cognex Corp.

     6,952       470,164  

Coherent Inc.(a)

     976       261,470  

Corning Inc.

     29,580       1,040,920  

II-VI Inc.(a)(b)

     4,145       253,715  

IPG Photonics Corp.(a)

     1,433       135,390  

Itron Inc.(a)

     1,797       85,861  

Jabil Inc.

     5,563       321,152  

Keysight Technologies Inc.(a)

     7,280       1,021,166  

Littelfuse Inc.

     984       225,582  

National Instruments Corp.

     5,310       191,903  

TD SYNNEX Corp.

     1,621       162,246  

TE Connectivity Ltd.

     12,846       1,602,924  

Teledyne Technologies Inc.(a)

     1,847       797,073  

Trimble Inc.(a)

     9,930       662,331  

Vontier Corp.

     6,804       174,318  

Zebra Technologies Corp., Class A(a)

     2,110       779,983  
   

 

 

  
      11,243,291  
Energy Equipment & Services — 0.3%  

Baker Hughes Co.

     35,863       1,112,470  

Halliburton Co.

     35,343       1,258,918  

NOV Inc.

     15,542       281,776  

Schlumberger NV

     55,619       2,169,697  

TechnipFMC PLC(a)

     16,880       116,810  
   

 

 

  
      4,939,671  
Security   Shares     Value  

Entertainment — 1.3%

    

Activision Blizzard Inc.

     30,720     $ 2,322,432  

AMC Entertainment Holdings Inc., Class A(a)(b)

     20,285       310,361  

Electronic Arts Inc.

     11,109       1,311,417  

Endeavor Group Holdings Inc.(a)

     820       18,655  

Liberty Media Corp.-Liberty Formula One,
Class A(a)(b)

     931       53,458  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

     8,168       509,111  

Live Nation Entertainment Inc.(a)

     5,356       561,737  

Madison Square Garden Sports Corp.(a)(b)

     699       113,315  

Netflix Inc.(a)

     17,535       3,337,963  

Playtika Holding Corp.(a)

     4,047       71,146  

ROBLOX Corp., Class A(a)(b)

     1,585       48,580  

Roku Inc.(a)(b)

     4,721       438,581  

Take-Two Interactive Software Inc.(a)

     4,620       552,136  

Walt Disney Co. (The)(a)

     71,921       8,028,541  

Warner Bros. Discovery Inc.(a)

     87,610       1,590,122  

Warner Music Group Corp., Class A

     4,458       132,715  

World Wrestling Entertainment Inc., Class A

     1,643       95,935  

Zynga Inc., Class A(a)

     42,160       348,663  
   

 

 

  
          19,844,868  
Equity Real Estate Investment Trusts (REITs) — 3.4%  

Alexandria Real Estate Equities Inc.

     5,764       1,049,970  

American Campus Communities Inc.

     5,564       359,824  

American Homes 4 Rent, Class A

     11,693       463,160  

American Tower Corp.

     17,989       4,335,709  

Americold Realty Trust

     10,692       282,055  

Apartment Income REIT Corp.

     6,289       309,230  

AvalonBay Communities Inc.

     5,517       1,255,007  

Boston Properties Inc.

     5,616       660,442  

Brixmor Property Group Inc.

     11,999       304,535  

Camden Property Trust

     4,029       632,110  

Corporate Office Properties Trust

     4,346       115,995  

Cousins Properties Inc.

     5,977       214,574  

Crown Castle International Corp.

     17,087       3,164,683  

CubeSmart

     8,821       419,086  

Digital Realty Trust Inc.

     11,284       1,648,818  

Douglas Emmett Inc.

     6,715       197,824  

Duke Realty Corp.

     14,959       819,005  

EastGroup Properties Inc.

     1,576       295,500  

Equinix Inc.

     3,567       2,564,958  

Equity Commonwealth(a)

     4,375       114,581  

Equity LifeStyle Properties Inc.

     6,841       528,672  

Equity Residential

     13,466       1,097,479  

Essex Property Trust Inc.

     2,560       842,931  

Extra Space Storage Inc.

     5,268       1,000,920  

Federal Realty Investment Trust

     2,834       331,748  

First Industrial Realty Trust Inc.

     5,066       293,828  

Gaming and Leisure Properties Inc.

     9,299       412,690  

Healthcare Realty Trust Inc.

     6,153       166,623  

Healthcare Trust of America Inc., Class A

     8,856       269,754  

Healthpeak Properties Inc.

     21,299       698,820  

Highwoods Properties Inc.

     4,098       167,362  

Host Hotels & Resorts Inc.

     27,976       569,312  

Hudson Pacific Properties Inc.

     5,797       134,954  

Invitation Homes Inc.

     23,521       936,606  

Iron Mountain Inc.

     11,413       613,220  

JBG SMITH Properties

     4,353       114,745  

Kilroy Realty Corp.

     4,265       298,550  

Kimco Realty Corp.

     24,145       611,593  

Lamar Advertising Co., Class A

     3,374       372,523  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   21

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

Life Storage Inc.

     3,236     $ 428,738  

LXP Industrial Trust.

     11,197       140,522  

Medical Properties Trust Inc.

     23,494       432,055  

Mid-America Apartment Communities Inc.

     4,543       893,517  

National Health Investors Inc.

     1,762       90,796  

National Retail Properties Inc.

     6,927       303,680  

National Storage Affiliates Trust

     3,223       182,422  

Omega Healthcare Investors Inc.

     9,400       239,512  

Orion Office REIT Inc.

     2,187       29,350  

Physicians Realty Trust

     9,193       157,568  

PotlatchDeltic Corp.

     2,798       154,981  

Prologis Inc.

     29,303       4,696,978  

PS Business Parks Inc.

     812       152,006  

Public Storage

     6,019       2,236,058  

Rayonier Inc.

     5,682       245,462  

Realty Income Corp.

     22,297       1,546,520  

Regency Centers Corp.

     6,041       415,802  

Rexford Industrial Realty Inc.

     6,347       495,320  

Sabra Health Care REIT Inc.

     8,503       99,315  

SBA Communications Corp.

     4,322       1,500,209  

Simon Property Group Inc.

     12,986       1,532,348  

SL Green Realty Corp.

     2,522       174,573  

Spirit Realty Capital Inc.

     4,964       215,686  

STAG Industrial Inc.

     6,900       257,508  

STORE Capital Corp.

     9,456       268,834  

Sun Communities Inc.

     4,580       804,111  

UDR Inc.

     11,841       630,060  

Ventas Inc.

     15,882       882,245  

VICI Properties Inc.

     33,328       993,508  

Vornado Realty Trust

     6,392       247,434  

Welltower Inc.

     17,149       1,557,301  

Weyerhaeuser Co.

     29,630       1,221,349  

WP Carey Inc.

     7,641       617,164  
   

 

 

  
          52,512,328  
Food & Staples Retailing — 1.5%  

Albertsons Companies Inc., Class A

     3,871       121,085  

BJ’s Wholesale Club Holdings Inc.(a)

     5,276       339,511  

Casey’s General Stores Inc.

     1,497       301,346  

Costco Wholesale Corp.

     17,545       9,329,027  

Kroger Co. (The)

     26,495       1,429,670  

Performance Food Group Co.(a)(b)

     6,183       304,513  

Sprouts Farmers Market Inc.(a)

     4,620       137,676  

Sysco Corp.

     20,005       1,710,027  

U.S. Foods Holding Corp.(a)

     8,925       335,759  

Walgreens Boots Alliance Inc.

     28,371       1,202,930  

Walmart Inc.

     55,883       8,549,540  
   

 

 

  
      23,761,084  
Food Products — 1.1%  

Archer-Daniels-Midland Co.

     22,105       1,979,724  

Beyond Meat Inc.(a)(b)

     2,374       87,553  

Bunge Ltd.

     5,620       635,734  

Campbell Soup Co.

     8,113       383,096  

Conagra Brands Inc.

     18,729       654,204  

Darling Ingredients Inc.(a)

     6,364       467,054  

Flowers Foods Inc.

     8,139       215,846  

Freshpet Inc.(a)(b)

     1,713       159,909  

General Mills Inc.

     23,917       1,691,649  

Hain Celestial Group Inc. (The)(a)

     3,400       114,036  

Hershey Co. (The)

     5,747       1,297,500  
Security   Shares     Value  

Food Products (continued)

 

Hormel Foods Corp.

     11,169     $ 585,144  

Ingredion Inc.

     2,687       228,691  

JM Smucker Co. (The)

     4,259       583,185  

Kellogg Co.

     10,008       685,548  

Kraft Heinz Co. (The)

     28,000       1,193,640  

Lamb Weston Holdings Inc.

     5,644       373,068  

Lancaster Colony Corp.

     750       116,385  

McCormick & Co. Inc./MD, NVS

     9,815       987,095  

Mondelez International Inc., Class A

     54,842       3,536,212  

Pilgrim’s Pride Corp.(a)

     2,080       58,968  

Post Holdings Inc.(a)

     2,363       175,784  

Seaboard Corp.

     10       42,250  

Tyson Foods Inc., Class A

     11,650       1,085,314  
   

 

 

  
          17,337,589  
Gas Utilities — 0.1%  

Atmos Energy Corp.

     5,414       613,947  

National Fuel Gas Co.

     3,553       249,172  

New Jersey Resources Corp.

     3,985       171,993  

ONE Gas Inc.

     2,099       177,093  

Southwest Gas Holdings Inc.(a)

     2,620       230,848  

Spire Inc.

     2,067       150,374  

UGI Corp.

     8,509       291,859  
   

 

 

  
      1,885,286  
Health Care Equipment & Supplies — 2.7%  

Abbott Laboratories

     69,990       7,943,865  

ABIOMED Inc.(a)

     1,804       516,990  

Align Technology Inc.(a)

     2,901       841,029  

Baxter International Inc.

     19,755       1,403,790  

Becton Dickinson and Co.

     11,277       2,787,562  

Boston Scientific Corp.(a)

     56,263       2,369,235  

Cooper Companies Inc. (The)

     1,941       700,779  

DENTSPLY SIRONA Inc.

     8,827       352,992  

Dexcom Inc.(a)

     3,824       1,562,410  

Edwards Lifesciences Corp.(a)

     24,642       2,606,631  

Embecta Corp.(a)

     2,255       68,620  

Enovis Corp.(a)(b)

     1,706       110,668  

Envista Holdings Corp.(a)

     6,372       252,459  

Globus Medical Inc., Class A(a)

     3,141       207,997  

Haemonetics Corp.(a)

     2,011       101,897  

Hologic Inc.(a)

     9,792       704,926  

ICU Medical Inc.(a)

     778       166,484  

IDEXX Laboratories Inc.(a)

     3,363       1,447,704  

Insulet Corp.(a)(b)

     2,722       650,531  

Integra LifeSciences Holdings Corp.(a)

     2,848       174,184  

Intuitive Surgical Inc.(a)

     14,162       3,388,967  

Masimo Corp.(a)

     1,968       222,325  

Medtronic PLC

     53,108       5,542,351  

Neogen Corp.(a)

     4,085       107,844  

Novocure Ltd.(a)(b)

     3,479       266,422  

NuVasive Inc.(a)

     2,030       104,423  

Omnicell Inc.(a)

     1,718       187,554  

Penumbra Inc.(a)

     1,368       236,062  

Quidel Corp.(a)

     1,542       155,156  

ResMed Inc.

     5,817       1,163,225  

Shockwave Medical Inc.(a)

     1,389       209,919  

STAAR Surgical Co.(a)(b)

     1,873       106,929  

STERIS PLC

     3,992       894,408  

Stryker Corp.

     13,271       3,201,761  

Tandem Diabetes Care Inc.(a)

     2,461       237,437  
 

 

 

22  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Health Care Equipment & Supplies (continued)

    

Teleflex Inc.

     1,858     $ 530,682  

Zimmer Biomet Holdings Inc.

     8,253       996,550  

Zimvie Inc.(a)

     824       18,540  
   

 

 

  
          42,541,308  
Health Care Providers & Services — 3.0%            

1Life Healthcare Inc.(a)(b)

     6,681       47,101  

Acadia Healthcare Co. Inc.(a)

     3,603       244,572  

agilon health Inc.(a)(b)

     1,854       32,946  

Amedisys Inc.(a)

     1,302       166,200  

AmerisourceBergen Corp.

     5,936       898,057  

Anthem Inc.

     9,590       4,813,509  

Cardinal Health Inc.

     10,972       636,925  

Centene Corp.(a)

     23,040       1,855,872  

Chemed Corp.

     615       302,205  

Cigna Corp.

     12,790       3,156,316  

Covetrus Inc.(a)

     3,810       52,578  

CVS Health Corp.

     51,847       4,984,052  

DaVita Inc.(a)

     2,441       264,531  

Encompass Health Corp.

     4,062       279,587  

Guardant Health Inc.(a)

     4,003       246,985  

HCA Healthcare Inc.

     9,495       2,037,152  

HealthEquity Inc.(a)

     3,285       204,721  

Henry Schein Inc.(a)

     5,481       444,509  

Humana Inc.

     5,078       2,257,476  

Invitae Corp.(a)

     7,901       41,954  

Laboratory Corp. of America Holdings(a)

     3,687       885,912  

LHC Group Inc.(a)

     1,276       211,625  

McKesson Corp.

     5,931       1,836,297  

Molina Healthcare Inc.(a)

     2,308       723,443  

Oak Street Health Inc.(a)(b)

     5,520       99,857  

Premier Inc., Class A

     4,831       174,931  

Quest Diagnostics Inc.

     4,711       630,520  

R1 RCM Inc.(a)

     5,290       119,131  

Signify Health Inc., Class A(a)

     1,176       16,229  

Tenet Healthcare Corp.(a)

     4,174       302,657  

UnitedHealth Group Inc.

     37,240       18,938,402  

Universal Health Services Inc., Class B

     2,880       352,886  
   

 

 

  
      47,259,138  
Health Care Technology — 0.2%            

American Well Corp., Class A(a)

     7,096       22,210  

Cerner Corp.

     11,605       1,086,692  

Doximity Inc., Class A(a)(b)

     3,670       146,323  

GoodRx Holdings Inc., Class A(a)

     2,510       34,011  

Teladoc Health Inc.(a)(b)

     6,294       212,485  

Veeva Systems Inc., Class A(a)

     5,463       993,993  
   

 

 

  
      2,495,714  
Hotels, Restaurants & Leisure — 2.1%            

Airbnb Inc., Class A(a)

     13,671       2,094,534  

Aramark

     10,199       369,714  

Booking Holdings Inc.(a)

     1,621       3,582,912  

Boyd Gaming Corp.

     3,196       193,614  

Caesars Entertainment Inc.(a)

     8,435       559,072  

Carnival Corp.(a)

     32,142       556,057  

Chipotle Mexican Grill Inc.(a)

     1,110       1,615,727  

Choice Hotels International Inc.

     1,297       182,177  

Churchill Downs Inc.

     1,331       270,113  

Cracker Barrel Old Country Store Inc.

     952       105,662  

Darden Restaurants Inc.

     5,019       661,153  

Domino’s Pizza Inc.

     1,456       492,128  
Security   Shares     Value  
Hotels, Restaurants & Leisure (continued)            

DraftKings Inc., Class A(a)

     13,017     $ 178,072  

Dutch Bros. Inc.(a)

     941       44,952  

Expedia Group Inc.(a)

     5,948       1,039,413  

Hilton Worldwide Holdings Inc.(a)

     11,013       1,710,209  

Hyatt Hotels Corp., Class A(a)

     1,901       180,519  

Las Vegas Sands Corp.(a)

     13,642       483,336  

Marriott International Inc./MD, Class A(a)

     10,860       1,927,867  

Marriott Vacations Worldwide Corp.

     1,660       247,888  

McDonald’s Corp.

     29,518       7,354,705  

MGM Resorts International

     14,914       612,070  

Norwegian Cruise Line Holdings Ltd.(a)

     16,509       330,675  

Penn National Gaming Inc.(a)

     6,544       239,314  

Planet Fitness Inc., Class A(a)

     3,294       263,619  

Royal Caribbean Cruises Ltd.(a)(b)

     8,783       682,703  

Scientific Games Corp./DE, Class A(a)

     3,797       212,860  

Starbucks Corp.

     45,550       3,399,852  

Texas Roadhouse Inc.

     2,800       230,524  

Vail Resorts Inc.

     1,572       399,539  

Wendy’s Co. (The)

     6,638       131,167  

Wyndham Hotels & Resorts Inc.

     3,684       324,045  

Wynn Resorts Ltd.(a)

     4,155       292,844  

Yum! Brands Inc.

     11,444       1,339,062  
   

 

 

  
          32,308,098  
Household Durables — 0.4%            

Cricut Inc., Class A(a)(b)

     967       11,236  

DR Horton Inc.

     12,674       881,984  

Garmin Ltd.

     6,028       661,513  

Helen of Troy Ltd.(a)

     969       207,860  

Leggett & Platt Inc.

     5,439       193,792  

Lennar Corp., Class A

     10,351       791,748  

Lennar Corp., Class B

     656       42,771  

Mohawk Industries Inc.(a)

     2,210       311,743  

Newell Brands Inc.

     14,904       345,028  

NVR Inc.(a)

     129       564,531  

PulteGroup Inc.

     9,846       411,169  

Tempur Sealy International Inc.

     7,744       209,940  

Toll Brothers Inc.

     4,444       206,068  

TopBuild Corp.(a)

     1,302       235,844  

Whirlpool Corp.

     2,301       417,677  
   

 

 

  
      5,492,904  
Household Products — 1.4%            

Church & Dwight Co. Inc.

     9,605       937,064  

Clorox Co. (The)

     4,853       696,260  

Colgate-Palmolive Co.

     33,328       2,567,922  

Energizer Holdings Inc.

     2,355       71,333  

Kimberly-Clark Corp.

     13,308       1,847,549  

Procter & Gamble Co. (The)

     94,794       15,219,177  

Reynolds Consumer Products Inc.

     2,388       70,661  
   

 

 

  
      21,409,966  
Independent Power and Renewable Electricity Producers — 0.1%  

AES Corp. (The)

     26,246       535,943  

Clearway Energy Inc., Class A

     1,368       38,879  

Clearway Energy Inc., Class C

     3,227       98,520  

Vistra Corp.

     18,809       470,601  
   

 

 

  
      1,143,943  
Industrial Conglomerates — 0.8%            

3M Co.

     22,613       3,261,247  

General Electric Co.

     43,541       3,245,981  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   23

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Industrial Conglomerates (continued)

    

Honeywell International Inc.

     27,092     $ 5,242,573  
   

 

 

  
          11,749,801  
Insurance — 2.3%            

Aflac Inc.

     23,700       1,357,536  

Alleghany Corp.(a)

     544       455,056  

Allstate Corp. (The)

     11,111       1,405,986  

American Financial Group Inc./OH

     2,613       361,848  

American International Group Inc.

     32,738       1,915,500  

Aon PLC, Class A

     8,507       2,449,931  

Arch Capital Group Ltd.(a)

     15,227       695,417  

Arthur J Gallagher & Co.

     8,213       1,383,808  

Assurant Inc.

     2,226       404,865  

Axis Capital Holdings Ltd.

     2,943       168,722  

Brighthouse Financial Inc.(a)

     3,097       159,062  

Brown & Brown Inc.

     9,231       572,137  

Chubb Ltd.

     17,059       3,521,831  

Cincinnati Financial Corp.

     5,972       732,526  

CNA Financial Corp.

     1,073       50,903  

Enstar Group Ltd.(a)

     513       120,940  

Erie Indemnity Co., Class A, NVS

     1,006       161,242  

Everest Re Group Ltd.

     1,538       422,504  

Fidelity National Financial Inc.

     11,275       448,971  

First American Financial Corp.

     4,224       246,301  

Globe Life Inc.

     3,646       357,600  

Hanover Insurance Group Inc. (The)

     1,447       212,449  

Hartford Financial Services Group Inc. (The)

     13,176       921,398  

Kemper Corp.

     2,387       110,184  

Lincoln National Corp.

     6,696       402,764  

Loews Corp.

     7,764       487,890  

Markel Corp.(a)

     545       737,538  

Marsh & McLennan Companies Inc.

     19,912       3,219,770  

Mercury General Corp.

     1,071       54,011  

MetLife Inc.

     27,785       1,824,919  

Old Republic International Corp.

     11,049       243,188  

Primerica Inc.

     1,597       206,907  

Principal Financial Group Inc.

     9,620       655,507  

Progressive Corp. (The)

     23,100       2,480,016  

Prudential Financial Inc.

     14,906       1,617,450  

Reinsurance Group of America Inc.

     2,587       277,637  

RenaissanceRe Holdings Ltd.

     1,742       250,012  

RLI Corp.

     1,645       188,813  

Ryan Specialty Group Holdings Inc., Class A(a)(b)

     2,285       84,522  

Selective Insurance Group Inc.

     2,393       197,087  

Travelers Companies Inc. (The)

     9,551       1,633,794  

Unum Group

     8,221       250,905  

W R Berkley Corp.

     8,153       542,093  

White Mountains Insurance Group Ltd.

     113       118,426  

Willis Towers Watson PLC

     4,834       1,038,633  
   

 

 

  
      35,148,599  
Interactive Media & Services — 4.9%            

Alphabet Inc., Class A(a)

     11,891       27,137,521  

Alphabet Inc., Class C, NVS(a)

     10,982       25,251,242  

Angi Inc.(a)

     2,991       13,190  

Bumble Inc., Class A(a)(b)

     2,735       65,613  

Cargurus Inc.(a)(b)

     3,457       112,975  

IAC/InterActiveCorp.(a)(b)

     3,334       276,322  

Match Group Inc.(a)

     11,158       883,156  

Meta Platforms Inc, Class A(a)

     91,298       18,302,510  

Pinterest Inc., Class A(a)

     22,624       464,244  
Security   Shares     Value  

Interactive Media & Services (continued)

    

Snap Inc., Class A, NVS(a)

     42,855     $ 1,219,653  

TripAdvisor Inc.(a)

     3,858       99,035  

Twitter Inc.(a)

     31,534       1,545,797  

Vimeo Inc.(a)

     6,210       63,280  

Ziff Davis Inc.(a)

     1,905       168,326  

ZoomInfo Technologies Inc.(a)(b)

     11,886       563,396  
   

 

 

  
      76,166,260  
Internet & Direct Marketing Retail — 2.9%            

Amazon.com Inc.(a)

     17,302       43,006,370  

Chewy Inc., Class A(a)(b)

     3,343       97,148  

ContextLogic Inc., Class A(a)(b)

     12,789       21,741  

DoorDash Inc., Class A(a)

     6,383       519,768  

eBay Inc.

     24,682       1,281,489  

Etsy Inc.(a)

     5,002       466,136  

Qurate Retail Inc., Series A(a)

     14,814       62,367  

Stitch Fix Inc., Class A(a)

     2,838       26,961  

Wayfair Inc., Class A(a)(b)

     3,056       235,129  
   

 

 

  
          45,717,109  
IT Services — 4.6%            

Accenture PLC, Class A

     24,966       7,498,788  

Affirm Holdings Inc.(a)(b)

     6,427       184,455  

Akamai Technologies Inc.(a)

     6,364       714,550  

Amdocs Ltd.

     5,045       402,036  

Automatic Data Processing Inc.

     16,634       3,629,206  

Block Inc.(a)

     19,843       1,975,172  

Broadridge Financial Solutions Inc.

     4,591       661,701  

Cloudflare Inc., Class A(a)(b)

     10,997       947,282  

Cognizant Technology Solutions Corp., Class A

     20,771       1,680,374  

Concentrix Corp.

     1,723       271,338  

DXC Technology Co.(a)

     9,955       285,708  

EPAM Systems Inc.(a)

     2,233       591,723  

Euronet Worldwide Inc.(a)

     2,067       251,450  

Fastly Inc., Class A(a)(b)

     4,193       66,669  

Fidelity National Information Services Inc.

     24,001       2,379,699  

Fiserv Inc.(a)

     23,557       2,306,701  

FleetCor Technologies Inc.(a)

     3,192       796,468  

Gartner Inc.(a)

     3,238       940,801  

Genpact Ltd.

     6,823       274,762  

Global Payments Inc.

     11,276       1,544,586  

GoDaddy Inc., Class A(a)

     6,652       537,548  

International Business Machines Corp.

     35,420       4,682,878  

Jack Henry & Associates Inc.

     2,871       544,284  

Kyndryl Holdings Inc.(a)(b)

     7,058       83,920  

LiveRamp Holdings Inc.(a)

     2,739       85,785  

Marqeta Inc., Class A(a)

     9,102       84,649  

Mastercard Inc., Class A

     34,141       12,406,157  

Maximus Inc.

     2,549       185,771  

MongoDB Inc., Class A(a)

     2,654       941,984  

Okta Inc.(a)

     5,918       706,077  

Paychex Inc.

     12,656       1,603,895  

PayPal Holdings Inc.(a)

     45,987       4,043,637  

Shift4 Payments Inc., Class A(a)(b)

     2,171       113,891  

Snowflake Inc., Class A(a)

     9,339       1,601,078  

SolarWinds Corp.

     1,316       16,279  

Squarespace Inc., Class A(a)(b)

     1,095       21,867  

SS&C Technologies Holdings Inc.

     8,715       563,512  

TaskUS Inc., Class A(a)

     1,072       30,970  

Thoughtworks Holding Inc.(a)(b)

     1,450       26,839  

Toast Inc.(a)(b)

     2,919       54,381  
 

 

 

24  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

IT Services (continued)

    

Twilio Inc., Class A(a)

     6,635     $ 741,926  

VeriSign Inc.(a)

     3,847       687,420  

Visa Inc., Class A

     65,591       13,979,410  

Western Union Co. (The)

     15,789       264,624  

WEX Inc.(a)

     1,767       293,746  
   

 

 

  
          71,705,997  
Leisure Products — 0.1%            

Brunswick Corp./DE

     3,103       234,618  

Callaway Golf Co.(a)

     4,629       101,560  

Hasbro Inc.

     5,088       448,049  

Mattel Inc.(a)

     13,995       340,218  

Peloton Interactive Inc., Class A(a)(b)

     11,757       206,453  

Polaris Inc.

     2,190       207,919  

YETI Holdings Inc.(a)(b)

     3,456       168,895  
   

 

 

  
      1,707,712  
Life Sciences Tools & Services — 1.8%            

10X Genomics Inc., Class A(a)(b)

     3,580       170,981  

Agilent Technologies Inc.

     11,866       1,415,258  

Avantor Inc.(a)

     24,017       765,662  

Azenta Inc.

     2,936       220,083  

Berkeley Lights Inc.(a)

     1,635       8,134  

Bio-Rad Laboratories Inc., Class A(a)

     870       445,492  

Bio-Techne Corp.

     1,562       593,076  

Bruker Corp.

     4,010       230,535  

Charles River Laboratories International Inc.(a)

     1,985       479,397  

Danaher Corp.

     25,199       6,328,225  

Illumina Inc.(a)

     6,161       1,827,661  

IQVIA Holdings Inc.(a)

     7,578       1,651,928  

Maravai LifeSciences Holdings Inc., Class A(a)

     4,310       132,446  

Medpace Holdings Inc.(a)

     1,132       151,201  

Mettler-Toledo International Inc.(a)

     913       1,166,385  

NeoGenomics Inc.(a)

     4,853       45,861  

Pacific Biosciences of California Inc.(a)

     8,693       55,114  

PerkinElmer Inc.

     4,971       728,798  

Repligen Corp.(a)

     1,997       314,008  

Sotera Health Co.(a)

     3,912       79,727  

Syneos Health Inc., Class A(a)

     4,033       294,772  

Thermo Fisher Scientific Inc.

     15,567       8,607,306  

Waters Corp.(a)

     2,425       734,823  

West Pharmaceutical Services Inc.

     2,921       920,290  
   

 

 

  
      27,367,163  
Machinery — 1.6%            

AGCO Corp.

     2,429       309,455  

Allison Transmission Holdings Inc.

     3,968       148,562  

Caterpillar Inc.

     21,404       4,506,398  

Chart Industries Inc.(a)(b)

     1,417       239,218  

Crane Co.

     2,027       195,058  

Cummins Inc.

     5,594       1,058,329  

Deere & Co.

     11,105       4,192,693  

Donaldson Co. Inc.

     4,835       237,108  

Dover Corp.

     5,674       756,344  

Esab Corp.(a)

     1,706       80,182  

Flowserve Corp.

     5,350       174,998  

Fortive Corp.

     14,163       814,372  

Gates Industrial Corp. PLC(a)

     3,750       47,813  

Graco Inc.

     6,801       421,798  

IDEX Corp.

     2,973       564,335  

Illinois Tool Works Inc.

     11,329       2,233,059  

Ingersoll Rand Inc.

     16,011       703,844  
Security   Shares     Value  

Machinery (continued)

    

ITT Inc.

     3,469     $ 243,593  

Lincoln Electric Holdings Inc.

     2,341       315,403  

Middleby Corp. (The)(a)

     2,144       329,940  

Nikola Corp.(a)(b)

     8,026       57,627  

Nordson Corp.

     2,108       454,675  

Oshkosh Corp.

     2,696       249,218  

Otis Worldwide Corp.

     16,865       1,228,447  

PACCAR Inc.

     13,693       1,137,204  

Parker-Hannifin Corp.

     5,100       1,381,182  

Pentair PLC

     6,555       332,666  

RBC Bearings Inc.(a)

     1,123       189,057  

Snap-on Inc.

     2,149       456,641  

Stanley Black & Decker Inc.

     6,451       775,088  

Timken Co. (The)

     2,660       153,322  

Toro Co. (The)

     4,065       325,728  

Westinghouse Air Brake Technologies Corp.

     7,470       671,628  

Xylem Inc./NY

     7,111       572,435  
   

 

 

  
          25,557,420  
Marine — 0.0%            

Kirby Corp.(a)

     2,416       157,523  
   

 

 

  
Media — 0.9%            

Altice USA Inc., Class A(a)

     9,230       85,654  

Cable One Inc.

     195       227,409  

Charter Communications Inc., Class A(a)

     4,719       2,022,044  

Comcast Corp., Class A

     179,056       7,119,267  

DISH Network Corp., Class A(a)

     9,965       284,102  

Fox Corp., Class A, NVS

     12,367       443,233  

Fox Corp., Class B

     5,646       187,673  

Interpublic Group of Companies Inc. (The)

     15,530       506,589  

Liberty Broadband Corp., Class A(a)

     931       100,231  

Liberty Broadband Corp., Class C, NVS(a)

     5,580       623,956  

Liberty Media Corp.-Liberty SiriusXM, Class A(a)(b)

     3,004       125,657  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

     6,318       264,598  

New York Times Co. (The), Class A

     6,604       253,065  

News Corp., Class A, NVS

     15,608       309,975  

News Corp., Class B

     4,705       93,677  

Nexstar Media Group Inc., Class A

     1,602       253,789  

Omnicom Group Inc.

     8,196       623,962  

Paramount Global, Class A

     446       14,071  

Paramount Global, Class B, NVS

     23,856       694,687  

Sirius XM Holdings Inc.(b)

     36,814       220,884  

TEGNA Inc.

     8,548       188,483  
   

 

 

  
      14,643,006  
Metals & Mining — 0.6%            

Alcoa Corp.

     7,385       500,703  

Cleveland-Cliffs Inc.(a)

     18,932       482,577  

Commercial Metals Co.

     4,651       190,691  

Freeport-McMoRan Inc.

     57,949       2,349,832  

MP Materials Corp.(a)(b)

     2,950       112,218  

Newmont Corp.

     31,579       2,300,530  

Nucor Corp.

     10,771       1,667,136  

Reliance Steel & Aluminum Co.

     2,452       486,109  

Royal Gold Inc.

     2,634       343,684  

Steel Dynamics Inc.

     7,447       638,580  

United States Steel Corp.

     10,188       310,632  
   

 

 

  
      9,382,692  
Mortgage Real Estate Investment — 0.1%            

AGNC Investment Corp.

     20,744       227,769  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   25

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Mortgage Real Estate Investment (continued)

 

  

Annaly Capital Management Inc.

     57,716     $ 370,537  

Blackstone Mortgage Trust Inc., Class A

     6,588       197,904  

New Residential Investment Corp.

     18,697       194,449  

Starwood Property Trust Inc.

     12,138       277,717  
   

 

 

  
      1,268,376  
Multi-Utilities — 0.8%            

Ameren Corp.

     10,162       944,050  

Avista Corp.

     2,714       110,107  

Black Hills Corp.

     2,465       180,537  

CenterPoint Energy Inc.

     24,783       758,608  

CMS Energy Corp.

     11,447       786,294  

Consolidated Edison Inc.

     13,965       1,295,114  

Dominion Energy Inc.

     31,952       2,608,561  

DTE Energy Co.

     7,604       996,428  

NiSource Inc.

     15,517       451,855  

NorthWestern Corp.

     2,111       119,673  

Public Service Enterprise Group Inc.

     19,979       1,391,737  

Sempra Energy

     12,633       2,038,461  

WEC Energy Group Inc.

     12,466       1,247,223  
   

 

 

  
          12,928,648  
Multiline Retail — 0.5%            

Dollar General Corp.

     9,185       2,181,713  

Dollar Tree Inc.(a)

     8,866       1,440,282  

Kohl’s Corp.

     5,511       318,977  

Ollie’s Bargain Outlet Holdings Inc.(a)

     2,232       107,248  

Target Corp.

     18,973       4,338,176  
   

 

 

  
      8,386,396  
Oil, Gas & Consumable Fuels — 3.7%            

APA Corp.

     14,324       586,281  

Cheniere Energy Inc.

     9,329       1,266,971  

Chevron Corp.

     76,246       11,945,461  

ConocoPhillips

     51,399       4,909,632  

Continental Resources Inc./OK

     2,393       132,979  

Coterra Energy Inc.

     32,158       925,829  

Devon Energy Corp.

     24,881       1,447,328  

Diamondback Energy Inc.

     6,725       848,897  

DTE Midstream LLC(a)

     3,877       208,389  

EOG Resources Inc.

     23,164       2,704,629  

EQT Corp.(a)

     11,916       473,661  

Equitrans Midstream Corp.

     16,480       129,533  

Exxon Mobil Corp.

     167,429       14,273,322  

Hess Corp.

     10,984       1,132,121  

HF Sinclair Corp.(a)

     6,105       232,112  

Kinder Morgan Inc.

     77,028       1,398,058  

Marathon Oil Corp.

     30,656       763,947  

Marathon Petroleum Corp.

     22,927       2,000,610  

New Fortress Energy Inc.

     1,634       63,367  

Occidental Petroleum Corp.

     35,054       1,931,125  

ONEOK Inc.

     17,524       1,109,795  

Ovintiv Inc.

     10,478       536,369  

Phillips 66

     18,468       1,602,284  

Pioneer Natural Resources Co.

     8,966       2,084,326  

Targa Resources Corp.

     9,134       670,527  

Texas Pacific Land Corp.

     245       334,817  

Valero Energy Corp.

     16,164       1,801,963  

Williams Companies Inc. (The)

     47,884       1,641,942  
   

 

 

  
      57,156,275  
Paper & Forest Products — 0.0%            

Louisiana-Pacific Corp.

     3,472       224,014  
Security   Shares     Value  

Paper & Forest Products (continued)

    

Sylvamo Corp.(a)

     1,396     $ 62,331  
   

 

 

  
      286,345  
Personal Products — 0.2%            

Coty Inc., Class A(a)(b)

     14,150       114,756  

Estee Lauder Companies Inc. (The), Class A

     9,165       2,420,110  

Herbalife Nutrition Ltd.(a)

     4,020       106,852  

Olaplex Holdings Inc.(a)(b)

     2,823       41,498  
   

 

 

  
      2,683,216  
Pharmaceuticals — 3.9%            

Bristol-Myers Squibb Co.

     86,289       6,494,973  

Catalent Inc.(a)

     7,092       642,252  

Elanco Animal Health Inc.(a)(b)

     18,514       468,589  

Eli Lilly & Co.

     31,422       9,179,309  

Jazz Pharmaceuticals PLC(a)

     2,412       386,451  

Johnson & Johnson

     104,090       18,784,081  

Merck & Co. Inc.

     99,782       8,849,666  

Nektar Therapeutics(a)

     7,338       30,306  

Organon & Co.

     10,159       328,440  

Perrigo Co. PLC

     5,093       174,690  

Pfizer Inc.

     222,062       10,896,582  

Royalty Pharma PLC, Class A

     14,006       596,376  

Viatris Inc.

     47,236       487,948  

Zoetis Inc.

     18,733       3,320,424  
   

 

 

  
          60,640,087  
Professional Services — 0.6%            

Alight Inc., Class A(a)(b)

     9,627       82,696  

ASGN Inc.(a)

     2,080       235,976  

Booz Allen Hamilton Holding Corp.

     5,343       436,149  

CACI International Inc., Class A(a)

     931       246,994  

Clarivate PLC(a)

     15,783       247,477  

CoStar Group Inc.(a)

     15,607       992,917  

Dun & Bradstreet Holdings Inc.(a)

     5,433       85,787  

Equifax Inc.

     4,814       979,745  

FTI Consulting Inc.(a)(b)

     1,374       216,694  

Insperity Inc.

     1,433       151,970  

Jacobs Engineering Group Inc.

     5,149       713,394  

KBR Inc.

     5,525       271,996  

Leidos Holdings Inc.

     5,594       579,035  

ManpowerGroup Inc.

     2,143       193,299  

Nielsen Holdings PLC

     14,050       376,680  

Robert Half International Inc.

     4,386       431,188  

Science Applications International Corp.

     2,352       195,757  

TransUnion

     7,643       668,915  

TriNet Group Inc.(a)

     1,512       134,114  

Upwork Inc.(a)

     4,741       99,419  

Verisk Analytics Inc.

     6,376       1,301,023  
   

 

 

  
      8,641,225  
Real Estate Management & Development — 0.1%  

CBRE Group Inc., Class A(a)

     13,268       1,101,775  

Compass Inc., Class A(a)(b)

     1,439       7,814  

Howard Hughes Corp. (The)(a)(b)

     1,717       172,198  

Jones Lang LaSalle Inc.(a)

     2,003       438,116  

Opendoor Technologies Inc.(a)

     15,053       105,220  

Redfin Corp.(a)(b)

     4,146       46,228  

Zillow Group Inc., Class A(a)(b)

     1,502       58,052  

Zillow Group Inc., Class C, NVS(a)(b)

     6,688       266,316  
   

 

 

  
      2,195,719  
Road & Rail — 1.1%            

AMERCO

     400       214,192  
 

 

 

26  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Road & Rail (continued)

    

CSX Corp.

     87,906     $ 3,018,692  

Hertz Global Holdings Inc.(a)(b)

     2,227       44,674  

JB Hunt Transport Services Inc.

     3,312       565,855  

Knight-Swift Transportation Holdings Inc.

     6,559       314,110  

Landstar System Inc.

     1,516       234,828  

Lyft Inc., Class A(a)

     11,920       388,592  

Norfolk Southern Corp.

     9,495       2,448,571  

Old Dominion Freight Line Inc.

     3,707       1,038,405  

Saia Inc.(a)

     1,041       214,404  

TuSimple Holdings Inc., Class A(a)(b)

     1,316       13,647  

Uber Technologies Inc.(a)

     65,752       2,069,873  

Union Pacific Corp.

     25,157       5,894,034  

XPO Logistics Inc.(a)

     3,884       208,920  
   

 

 

  
          16,668,797  
Semiconductors & Semiconductor Equipment — 5.1%  

Advanced Micro Devices Inc.(a)

     64,580       5,522,882  

Allegro MicroSystems Inc.(a)

     2,173       52,826  

Amkor Technology Inc.

     3,959       74,469  

Analog Devices Inc.

     20,803       3,211,567  

Applied Materials Inc.

     35,181       3,882,223  

Broadcom Inc.

     16,310       9,042,101  

Cirrus Logic Inc.(a)

     2,293       173,809  

Enphase Energy Inc.(a)

     5,320       858,648  

Entegris Inc.

     5,359       596,939  

First Solar Inc.(a)

     3,907       285,328  

GLOBALFOUNDRIES Inc.(a)(b)

     2,106       110,123  

Intel Corp.

     160,854       7,011,626  

KLA Corp.

     5,945       1,898,001  

Lam Research Corp.

     5,524       2,572,858  

Lattice Semiconductor Corp.(a)

     5,392       259,032  

Marvell Technology Inc.

     33,412       1,940,569  

Microchip Technology Inc.

     22,110       1,441,572  

Micron Technology Inc.

     44,258       3,017,953  

MKS Instruments Inc.

     2,232       254,403  

Monolithic Power Systems Inc.

     1,705       668,769  

NVIDIA Corp.

     98,847       18,333,153  

NXP Semiconductors NV

     10,478       1,790,690  

ON Semiconductor Corp.(a)

     17,140       893,165  

Power Integrations Inc.

     2,415       193,200  

Qorvo Inc.(a)

     4,261       484,816  

QUALCOMM Inc.

     44,520       6,218,999  

Semtech Corp.(a)

     2,573       153,351  

Silicon Laboratories Inc.(a)

     1,513       204,119  

Skyworks Solutions Inc.

     6,526       739,396  

SolarEdge Technologies Inc.(a)

     2,095       524,609  

Teradyne Inc.

     6,478       683,170  

Texas Instruments Inc.

     36,477       6,210,209  

Universal Display Corp.

     1,725       220,334  

Wolfspeed Inc.(a)(b)

     4,894       448,829  
   

 

 

  
      79,973,738  
Software — 9.3%            

ACI Worldwide Inc.(a)

     4,658       128,654  

Adobe Inc.(a)

     18,632       7,377,340  

Alteryx Inc., Class A(a)

     2,366       151,897  

Anaplan Inc.(a)

     5,817       378,047  

ANSYS Inc.(a)

     3,448       950,579  

Appian Corp.(a)

     1,564       74,759  

AppLovin Corp., Class A(a)(b)

     1,403       53,524  

Asana Inc., Class A(a)(b)

     3,085       82,678  
Security   Shares     Value  

Software (continued)

    

Aspen Technology Inc.(a)

     2,620     $ 415,375  

Autodesk Inc.(a)

     8,691       1,645,032  

Avalara Inc.(a)

     3,384       257,421  

Bentley Systems Inc., Class B

     7,257       307,624  

Bill.com Holdings Inc.(a)

     3,676       627,530  

Black Knight Inc.(a)

     6,114       402,240  

Blackbaud Inc.(a)

     1,855       107,609  

Blackline Inc.(a)(b)

     2,100       140,805  

Cadence Design Systems Inc.(a)

     10,936       1,649,696  

CCC Intelligent Solutions Holdings Inc.(a)(b)

     2,360       21,783  

CDK Global Inc.

     4,605       250,558  

Ceridian HCM Holding Inc.(a)

     5,504       308,940  

Citrix Systems Inc.

     4,875       487,988  

Clear Secure Inc., Class A(a)(b)

     681       20,716  

Confluent Inc., Class A(a)

     2,395       74,820  

Consensus Cloud Solutions Inc.(a)

     635       33,477  

Coupa Software Inc.(a)(b)

     2,893       249,666  

Crowdstrike Holdings Inc., Class A(a)

     8,245       1,638,776  

Datadog Inc., Class A(a)

     10,133       1,223,864  

Digital Turbine Inc.(a)

     3,456       109,382  

DocuSign Inc.(a)

     7,758       628,398  

Dolby Laboratories Inc., Class A

     2,577       199,640  

Dropbox Inc., Class A(a)

     11,291       245,579  

Duck Creek Technologies Inc.(a)

     2,966       47,248  

Dynatrace Inc.(a)

     7,752       297,367  

Elastic NV(a)

     2,821       214,791  

Fair Isaac Corp.(a)(b)

     1,040       388,450  

Five9 Inc.(a)

     2,629       289,453  

Fortinet Inc.(a)

     5,357       1,548,227  

Gitlab Inc.(a)(b)

     448       21,473  

Guidewire Software Inc.(a)

     3,242       281,859  

HubSpot Inc.(a)

     1,762       668,556  

Informatica Inc.(a)(b)

     1,206       23,469  

Intuit Inc.

     11,205       4,692,094  

Mandiant Inc.(a)

     9,707       213,360  

Manhattan Associates Inc.(a)

     2,540       331,597  

Matterport Inc.(a)(b)

     7,223       41,460  

Microsoft Corp.

     296,417           82,261,646  

MicroStrategy Inc., Class A(a)(b)

     378       133,876  

nCino Inc.(a)

     2,225       83,415  

NCR Corp.(a)

     5,192       181,876  

New Relic Inc.(a)

     2,303       145,711  

NortonLifeLock Inc.

     23,170       580,177  

Nutanix Inc., Class A(a)(b)

     8,671       217,035  

Oracle Corp.

     62,392       4,579,573  

Palantir Technologies Inc., Class A(a)

     63,119       656,438  

Palo Alto Networks Inc.(a)

     3,908       2,193,482  

Paycom Software Inc.(a)

     1,900       534,793  

Paylocity Holding Corp.(a)

     1,586       300,753  

Pegasystems Inc.

     1,591       121,855  

Procore Technologies Inc.(a)

     364       20,191  

PTC Inc.(a)

     4,104       468,718  

Q2 Holdings Inc.(a)

     2,232       115,461  

Qualtrics International Inc., Class A(a)

     3,637       67,430  

Rapid7 Inc.(a)

     2,205       210,622  

RingCentral Inc., Class A(a)

     3,235       274,490  

Roper Technologies Inc.

     4,170       1,959,566  

salesforce.com Inc.(a)

     38,909       6,845,649  

SentinelOne Inc., Class A(a)(b)

     5,326       177,196  

ServiceNow Inc.(a)(b)

     7,925       3,788,942  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   27

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Software (continued)

    

Smartsheet Inc., Class A(a)

     5,007     $ 241,988  

Splunk Inc.(a)

     6,287       767,140  

Synopsys Inc.(a)

     6,093       1,747,411  

Trade Desk Inc. (The), Class A(a)

     17,358       1,022,733  

Tyler Technologies Inc.(a)

     1,612       636,273  

UiPath Inc., Class A(a)

     10,703       190,834  

Unity Software Inc.(a)

     6,488       430,868  

Varonis Systems Inc.(a)(b)

     4,225       182,520  

Verint Systems Inc.(a)(b)

     2,521       137,546  

VMware Inc., Class A

     7,979       862,051  

Workday Inc., Class A(a)

     7,643       1,579,808  

Workiva Inc.(a)

     1,856       179,123  

Zendesk Inc.(a)(b)

     4,820       588,233  

Zoom Video Communications Inc., Class A(a)

     8,688       865,064  

Zscaler Inc.(a)

     3,166       641,875  
   

 

 

  
      145,296,163  

Specialty Retail — 2.1%

    

Advance Auto Parts Inc.

     2,469       492,887  

American Eagle Outfitters Inc.

     6,031       91,128  

AutoNation Inc.(a)(b)

     1,583       183,486  

AutoZone Inc.(a)

     817       1,597,619  

Bath & Body Works Inc.

     10,373       548,628  

Best Buy Co. Inc.

     8,553       769,171  

Burlington Stores Inc.(a)(b)

     2,627       534,752  

CarMax Inc.(a)(b)

     6,397       548,735  

Carvana Co., Class A(a)

     3,929       227,725  

Dick’s Sporting Goods Inc.

     2,573       248,089  

Five Below Inc.(a)

     2,249       353,318  

Floor & Decor Holdings Inc., Class A(a)(b)

     4,193       334,266  

Foot Locker Inc.

     3,559       104,314  

GameStop Corp., Class A(a)(b)

     2,458       307,422  

Gap Inc. (The)

     8,529       105,930  

Home Depot Inc. (The)

     41,304       12,407,722  

Lithia Motors Inc.

     1,193       337,774  

Lowe’s Companies Inc.

     26,603       5,260,211  

Murphy USA Inc.

     893       208,605  

National Vision Holdings Inc.(a)

     3,160       118,974  

O’Reilly Automotive Inc.(a)

     2,675       1,622,521  

Penske Automotive Group Inc.

     1,187       124,421  

Petco Health & Wellness Co. Inc.(a)(b)

     2,907       55,989  

RH(a)

     681       228,898  

Ross Stores Inc.

     13,925       1,389,297  

TJX Companies Inc. (The)

     47,122       2,887,636  

Tractor Supply Co.

     4,518       910,151  

Ulta Beauty, Inc.(a)

     2,149       852,723  

Victoria’s Secret & Co.(a)

     2,967       139,805  

Williams-Sonoma Inc.

     2,852       372,129  
   

 

 

  
      33,364,326  

Technology Hardware, Storage & Peripherals — 6.5%

 

Apple Inc.

     612,988       96,637,558  

Dell Technologies Inc., Class C

     11,464       538,923  

Hewlett Packard Enterprise Co.

     50,998       785,879  

HP Inc.

     42,874       1,570,475  

NetApp Inc.

     8,727       639,253  

Pure Storage Inc., Class A(a)

     10,643       311,840  

Seagate Technology Holdings PLC

     7,896       647,788  

Western Digital Corp.(a)

     12,280       651,699  

Xerox Holdings Corp.

     4,588       79,831  
   

 

 

  
          101,863,246  
Security   Shares     Value  

Textiles, Apparel & Luxury Goods — 0.7%

 

Capri Holdings Ltd.(a)

     6,007     $ 286,534  

Carter’s Inc.

     1,759       148,178  

Columbia Sportswear Co.

     1,382       113,545  

Crocs Inc.(a)

     2,316       153,852  

Deckers Outdoor Corp.(a)

     1,076       285,947  

Hanesbrands Inc.

     13,445       178,281  

Levi Strauss & Co., Class A

     3,903       70,683  

Lululemon Athletica Inc.(a)

     4,671       1,656,477  

Nike Inc., Class B

     50,488       6,295,854  

PVH Corp.

     2,795       203,420  

Ralph Lauren Corp.

     1,809       188,751  

Skechers U.S.A. Inc., Class A(a)

     5,437       208,237  

Tapestry Inc.

     10,454       344,146  

Under Armour Inc., Class A(a)

     7,587       116,536  

Under Armour Inc., Class C, NVS(a)

     8,916       126,518  

VF Corp.

     12,715       661,180  
   

 

 

  
      11,038,139  

Thrifts & Mortgage Finance — 0.1%

 

Essent Group Ltd.

     4,487       181,858  

MGIC Investment Corp.

     13,174       172,052  

New York Community Bancorp. Inc.

     18,613       171,984  

Radian Group Inc.

     7,210       154,222  

Rocket Companies Inc., Class A(b)

     5,472       48,427  

TFS Financial Corp.

     2,105       31,554  

UWM Holdings Corp.

     2,150       7,977  
   

 

 

  
      768,074  
Tobacco — 0.7%            

Altria Group Inc.

     72,194       4,011,821  

Philip Morris International Inc.

     61,350       6,135,000  
   

 

 

  
      10,146,821  
Trading Companies & Distributors — 0.3%  

Air Lease Corp.

     4,192       168,854  

Applied Industrial Technologies Inc.

     1,438       150,544  

Core & Main Inc., Class A(a)

     2,248       53,412  

Fastenal Co.

     22,663       1,253,490  

MSC Industrial Direct Co. Inc., Class A

     1,837       152,214  

SiteOne Landscape Supply Inc.(a)(b)

     1,732       244,264  

United Rentals Inc.(a)

     2,861       905,564  

Univar Solutions Inc.(a)

     6,830       198,890  

Watsco Inc.

     1,274       339,878  

WW Grainger Inc.

     1,725       862,552  
   

 

 

  
      4,329,662  
Water Utilities — 0.1%            

American Water Works Co. Inc.

     7,173       1,105,216  

Essential Utilities Inc.

     9,067       405,839  
   

 

 

  
      1,511,055  
Wireless Telecommunication Services — 0.2%  

T-Mobile U.S. Inc.(a)

     23,182       2,854,631  

United States Cellular Corp.(a)

     596       17,153  
   

 

 

  
      2,871,784  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $812,592,967)

           1,556,772,913  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 1.5%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     21,439,436       21,439,436  
 

 

 

28  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Money Market Funds (continued)

 

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     1,896,000     $ 1,896,000  
   

 

 

  
      23,335,436  
   

 

 

  

Total Short-Term Investments — 1.5%
(Cost: $23,335,436)

 

     23,335,436  
   

 

 

  

Total Investments in Securities — 101.3%
(Cost: $835,928,403)

 

     1,580,108,349  

Other Assets, Less Liabilities — (1.3)%

 

     (20,682,098 ) 
   

 

 

  

Net Assets — 100.0%

     $   1,559,426,251  
   

 

 

  

 

 

(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 the cash collateral from loaned securities.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

    
      Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

     Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income    

Capital

Gain

Distributions

from

Underlying

Funds

    

   

  
 

 

    
 

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 16,762,800     $ 4,686,958(a )    $ —     $ (6,135 )    $ (4,187 )    $ 21,439,436       21,439,436     $ 77,078(b )    $ —    
 

BlackRock Cash Funds: Treasury, SL Agency Shares

     4,056,000       —       (2,160,000 )(a)      —       —       1,896,000       1,896,000       1,385       —    
 

BlackRock Inc.

     4,641,334       335,390       (340,061 )      194,966       (1,312,182 )      3,519,447       5,634       98,736       —    
         

 

 

    

 

 

    

 

 

      

 

 

    

 

 

    
          $ 188,831     $ (1,316,369 )    $ 26,854,883       $ 177,199     $ —    
         

 

 

    

 

 

    

 

 

      

 

 

    

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		     Expiration
Date		     Notional
Amount
(000)		     Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

        

S&P 500 E-Mini Index

     12       06/17/22     $ 2,477     $ (162,003 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 162,003  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   29

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Dow Jones U.S. ETF

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 357,532  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (339,923 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 3,660,122      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 1,556,772,913      $                 —      $                 —      $ 1,556,772,913  

Money Market Funds

      23,335,436        —        —        23,335,436  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 1,580,108,349      $ —      $ —      $ 1,580,108,349  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

            

Liabilities

            

Futures Contracts

    $ (162,003 )     $ —      $ —      $ (162,003 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

30  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® U.S. Energy ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Common Stocks

    

Electrical Equipment — 1.0%

 

ChargePoint Holdings Inc., Class A(a)(b)

     564,812     $ 7,308,667  

Fluence Energy Inc., Class A(a)(b)

     89,237       818,304  

Plug Power Inc.(a)(b)

     1,269,460       26,684,049  

Shoals Technologies Group Inc.,
Class A(a)(b)

     258,660       2,581,427  
   

 

 

  
      37,392,447  

Energy Equipment & Services — 8.0%

 

Baker Hughes Co.

     1,828,976       56,734,836  

Halliburton Co.

     2,198,948       78,326,528  

NOV Inc.

     966,850       17,528,990  

Schlumberger NV

     3,378,346       131,789,277  
   

 

 

  
          284,379,631  

Oil, Gas & Consumable Fuels — 88.7%

 

Antero Midstream Corp.

     827,966       8,503,211  

APA Corp.

     899,340       36,809,986  

Cheniere Energy Inc.

     581,260       78,940,921  

Chevron Corp.

     3,800,340       595,399,268  

ConocoPhillips

     2,738,333       261,565,568  

Continental Resources Inc./OK

     161,035       8,948,715  

Coterra Energy Inc.

     1,975,189       56,865,691  

Devon Energy Corp.

     1,661,155       96,629,386  

Diamondback Energy Inc.

     448,153       56,570,353  

DTE Midstream LLC(a)

     239,062       12,849,583  

EOG Resources Inc.

     1,402,835       163,795,015  

EQT Corp.(a)

     755,252       30,021,267  

Exxon Mobil Corp.

     8,293,754       707,042,529  

Hess Corp.

     688,205       70,933,289  

HF Sinclair Corp.(a)

     371,576       14,127,320  

Kinder Morgan Inc.

     4,830,245       87,668,947  

Marathon Oil Corp.

     1,921,424       47,881,886  

Marathon Petroleum Corp.

     1,502,028       131,066,963  

New Fortress Energy Inc.

     66,139       2,564,870  

Occidental Petroleum Corp.

     2,059,147       113,438,408  

ONEOK Inc.

     1,100,888       69,719,237  

Phillips 66

     1,156,453       100,333,862  

Pioneer Natural Resources Co.

     525,287       122,113,469  
Security   Shares     Value  

 

  

Oil, Gas & Consumable Fuels (continued)

 

Targa Resources Corp.

     559,014     $ 41,037,218  

Texas Pacific Land Corp.

     14,592       19,941,427  

Valero Energy Corp.

     1,013,319       112,964,802  

Williams Companies Inc. (The)

     2,996,769       102,759,209  
   

 

 

  
      3,150,492,400  
Semiconductors & Semiconductor Equipment — 2.0%  

Enphase Energy Inc.(a)

     322,962       52,126,067  

First Solar Inc.(a)(b)

     263,022       19,208,496  
   

 

 

  
      71,334,563  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $2,649,216,860)

 

     3,543,599,041  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 1.1%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     31,791,528       31,791,528  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     7,030,000       7,030,000  
   

 

 

  
      38,821,528  
   

 

 

  

Total Short-Term Investments — 1.1%
(Cost: $38,814,083)

 

     38,821,528  
   

 

 

  

Total Investments in Securities — 100.8%
(Cost: $2,688,030,943)

 

     3,582,420,569  

Other Assets, Less Liabilities — (0.8)%

 

     (29,639,605 ) 
   

 

 

  

Net Assets — 100.0%

 

   $   3,552,780,964  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

     Proceeds
from Sales		     Net Realized
Gain (Loss)		    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain
Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ —     $ 31,801,555(a )    $ —     $ (17,472 )    $ 7,445     $ 31,791,528       31,791,528     $ 40,000 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     3,640,000       3,390,000(a )      —       —       —       7,030,000       7,030,000       4,718       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (17,472 )    $ 7,445     $ 38,821,528       $ 44,718     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   31

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Energy ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

E-mini Energy Select Sector Index

     113       06/17/22     $ 8,860     $ (131,633 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 131,633  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 5,046,821  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (73,025 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 7,556,652      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 3,543,599,041      $ —      $ —      $ 3,543,599,041  

Money Market Funds

      38,821,528        —        —        38,821,528  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 3,582,420,569      $               —      $               —      $ 3,582,420,569  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

            

Liabilities

            

Futures Contracts

    $ (131,633 )     $ —      $ —      $ (131,633 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

32  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  

April 30, 2022

   

iShares® U.S.Healthcare ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Common Stocks

    

Biotechnology — 16.1%

    

AbbVie Inc.

     978,867     $  143,775,985  

Alnylam Pharmaceuticals Inc.(a)

     66,331       8,850,545  

Amgen Inc.

     309,243       72,112,375  

Biogen Inc.(a)

     80,978       16,798,076  

BioMarin Pharmaceutical Inc.(a)

     100,944       8,211,794  

CureVac NV(a)(b)

     29,274       500,293  

Exact Sciences Corp.(a)(b)

     95,843       5,276,157  

Exelixis Inc.(a)

     171,927       3,840,849  

Gilead Sciences Inc.

     695,518       41,272,038  

Horizon Therapeutics PLC(a)

     120,731       11,899,247  

Incyte Corp.(a)

     102,357       7,672,681  

Ionis Pharmaceuticals Inc.(a)

     77,319       2,842,247  

Iovance Biotherapeutics Inc.(a)

     82,858       1,255,299  

Mirati Therapeutics Inc.(a)

     23,249       1,436,556  

Moderna Inc.(a)

     187,418       25,190,853  

Natera Inc.(a)

     45,985       1,614,993  

Neurocrine Biosciences Inc.(a)

     51,903       4,672,827  

Novavax Inc.(a)(b)

     41,643       1,876,850  

Regeneron Pharmaceuticals Inc.(a)

     56,603       37,307,603  

Sage Therapeutics Inc.(a)

     28,309       892,300  

Sarepta Therapeutics Inc.(a)

     46,015       3,327,805  

Seagen Inc.(a)

     74,657       9,780,814  

Ultragenyx Pharmaceutical Inc.(a)

     35,964       2,542,295  

United Therapeutics Corp.(a)

     24,459       4,342,940  

Vertex Pharmaceuticals Inc.(a)

     140,953       38,511,179  
   

 

 

  
          455,804,601  

Health Care Equipment & Supplies — 20.6%

 

Abbott Laboratories

     962,354       109,227,179  

ABIOMED Inc.(a)

     24,536       7,031,527  

Align Technology Inc.(a)(b)

     43,582       12,634,858  

Baxter International Inc.

     278,398       19,782,962  

Becton Dickinson and Co.

     158,098       39,080,245  

Boston Scientific Corp.(a)

     785,785       33,089,406  

Cooper Companies Inc. (The)

     26,783       9,669,734  

DENTSPLY SIRONA Inc.

     120,412       4,815,276  

Dexcom Inc.(a)

     53,365       21,803,872  

Edwards Lifesciences Corp.(a)(b)

     342,256       36,203,840  

Embecta Corp.(a)

     31,466       957,510  

Enovis Corp.(a)(b)

     25,640       1,663,267  

Envista Holdings Corp.(a)

     89,253       3,536,204  

Globus Medical Inc., Class A(a)(b)

     43,283       2,866,200  

Hologic Inc.(a)(b)

     136,828       9,850,248  

ICU Medical Inc.(a)(b)

     10,971       2,347,684  

IDEXX Laboratories Inc.(a)

     46,843       20,164,975  

Insulet Corp.(a)

     36,583       8,742,971  

Integra LifeSciences Holdings Corp.(a)

     40,115       2,453,433  

Intuitive Surgical Inc.(a)

     196,286       46,971,240  

Masimo Corp.(a)

     27,696       3,128,817  

Medtronic PLC

     743,868       77,630,064  

Novocure Ltd.(a)(b)

     56,552       4,330,752  

Penumbra Inc.(a)

     19,108       3,297,276  

Quidel Corp.(a)(b)

     20,256       2,038,159  

ResMed Inc.

     79,643       15,926,211  

STERIS PLC

     47,203       10,575,832  

Stryker Corp.

     193,144       46,597,921  

Tandem Diabetes Care Inc.(a)(b)

     34,199       3,299,520  

Teleflex Inc.

     25,905       7,398,986  

Zimmer Biomet Holdings Inc.

     115,554       13,953,146  
Security   Shares     Value  

 

  

Health Care Equipment & Supplies (continued)

 

Zimvie Inc.(a)

     11,540     $ 259,650  
   

 

 

  
      581,328,965  
Health Care Providers & Services — 19.1%  

Acadia Healthcare Co. Inc.(a)

     49,190       3,339,017  

agilon health Inc.(a)(b)

     92,204       1,638,465  

Amedisys Inc.(a)

     17,677       2,256,469  

Anthem Inc.

     135,693       68,108,388  

Cardinal Health Inc.

     153,312       8,899,762  

Centene Corp.(a)

     320,340       25,803,387  

Chemed Corp.

     8,313       4,084,925  

Cigna Corp.

     180,286       44,490,979  

DaVita Inc.(a)

     35,231       3,817,983  

Encompass Health Corp.

     54,203       3,730,793  

Guardant Health Inc.(a)(b)

     49,788       3,071,920  

HCA Healthcare Inc.

     135,578       29,088,260  

Henry Schein Inc.(a)(b)

     76,683       6,218,991  

Humana Inc.

     71,424       31,752,253  

Laboratory Corp. of America Holdings(a)

     51,544       12,384,992  

Molina Healthcare Inc.(a)(b)

     31,914       10,003,443  

Oak Street Health Inc.(a)(b)

     54,033       977,457  

Premier Inc., Class A

     65,686       2,378,490  

Quest Diagnostics Inc.

     67,464       9,029,382  

Signify Health Inc., Class A(a)

     34,731       479,288  

UnitedHealth Group Inc.

     521,232       265,072,534  

Universal Health Services Inc., Class B

     39,257       4,810,160  
   

 

 

  
      541,437,338  
Health Care Technology — 1.2%            

Cerner Corp.

     161,798       15,150,765  

Certara Inc.(a)(b)

     63,147       1,158,747  

Definitive Healthcare Corp.(a)(b)

     11,182       264,454  

Teladoc Health Inc.(a)(b)

     83,864       2,831,249  

Veeva Systems Inc., Class A(a)(b)

     76,692       13,954,109  
   

 

 

  
      33,359,324  
Life Sciences Tools & Services — 12.5%  

10X Genomics Inc., Class A(a)(b)

     46,695       2,230,153  

Adaptive Biotechnologies Corp.(a)(b)

     59,960       494,670  

Agilent Technologies Inc.

     166,038       19,803,352  

Avantor Inc.(a)

     333,253       10,624,105  

Bio-Rad Laboratories Inc., Class A(a)

     11,749       6,016,193  

Bio-Techne Corp.

     21,616       8,207,379  

Bruker Corp.

     56,781       3,264,340  

Charles River Laboratories International Inc.(a)

     27,582       6,661,329  

Danaher Corp.

     351,292       88,219,960  

Illumina Inc.(a)

     80,799       23,969,023  

IQVIA Holdings Inc.(a)

     105,580       23,015,384  

Maravai LifeSciences Holdings Inc., Class A(a)

     60,621       1,862,883  

PerkinElmer Inc.

     69,801       10,233,525  

QIAGEN NV(a)

     125,629       5,699,788  

Repligen Corp.(a)

     30,305       4,765,158  

Sotera Health Co.(a)

     54,757       1,115,948  

Syneos Health Inc., Class A(a)

     56,352       4,118,768  

Thermo Fisher Scientific Inc.

     217,681       120,360,178  

West Pharmaceutical Services Inc.

     40,679       12,816,326  
   

 

 

  
          353,478,462  
Pharmaceuticals — 30.3%            

Bristol-Myers Squibb Co.

     1,208,206       90,941,666  

Catalent Inc.(a)

     94,291       8,538,993  

Elanco Animal Health Inc.(a)

     246,560       6,240,434  

Eli Lilly & Co.

     469,637       137,195,057  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   33

Schedule of Investments (continued)

April 30, 2022

   

iShares® U.S. Healthcare ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Pharmaceuticals (continued)

    

Jazz Pharmaceuticals PLC(a)

     33,097     $ 5,302,801  

Johnson & Johnson

     1,459,836       263,442,005  

Merck & Co. Inc.

     1,403,649       124,489,630  

Nektar Therapeutics(a)

     100,393       414,623  

Organon & Co.

     140,624       4,546,374  

Perrigo Co. PLC

     73,574       2,523,588  

Pfizer Inc.

     3,093,058       151,776,356  

Royalty Pharma PLC, Class A

     180,164       7,671,383  

Viatris Inc.

     669,141       6,912,226  

Zoetis Inc.

     263,038       46,623,485  
   

 

 

  
      856,618,621  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $2,467,352,449)

 

       2,822,027,311  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 1.6%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     40,415,625       40,415,625  
Security   Shares     Value  

 

  

Money Market Funds (continued)

    

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     2,957,000     $ 2,957,000  
   

 

 

  
      43,372,625  
   

 

 

  

Total Short-Term Investments — 1.6%
(Cost: $43,357,061)

 

     43,372,625  
   

 

 

  

Total Investments in Securities — 101.4%
(Cost: $2,510,709,510)

 

     2,865,399,936  

Other Assets, Less Liabilities — (1.4)%

 

     (38,617,514 ) 
   

 

 

  

Net Assets — 100.0%

     $  2,826,782,422  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

     Purchases
at Cost		    

Proceeds

from Sales

     Net Realized
Gain (Loss)		    

Change in

Unrealized

Appreciation

(Depreciation)

     Value at
04/30/22		    

Shares

Held at
04/30/22

     Income    

Capital

Gain

Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 33,909,140     $ 6,520,286 (a)    $ —     $ (17,553 )    $ 3,752     $ 40,415,625       40,415,625     $ 67,960 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     2,827,000       130,000 (a)      —       —       —       2,957,000       2,957,000       1,672       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (17,553 )    $ 3,752     $ 43,372,625       $ 69,632     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

E-Mini Health Care Sector index

     34       06/17/22     $ 4,469     $ (161,781 ) 
       

 

 

  

 

 

34  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Healthcare ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 161,781  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 843,216  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (369,506 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 5,931,914      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 2,822,027,311      $ —      $ —      $ 2,822,027,311  

Money Market Funds

      43,372,625        —        —        43,372,625  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 2,865,399,936      $                 —      $                 —      $ 2,865,399,936  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

            

Liabilities

            

Futures Contracts

    $ (161,781 )     $ —      $ —      $ (161,781 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a)

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   35

Schedule of Investments  

April 30, 2022

   

iShares® U.S.Technology ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Communications Equipment — 0.1%

    

F5 Inc.(a)

     53,872     $ 9,018,712  
   

 

 

  

Electrical Equipment — 0.1%

    

Vertiv Holdings Co.

     287,415       3,601,310  
   

 

 

  

Electronic Equipment, Instruments & Components — 1.5%

 

Amphenol Corp., Class A

     521,471       37,285,177  

Arrow Electronics Inc.(a)

     60,228       7,098,472  

Avnet Inc.

     88,712       3,873,166  

CDW Corp./DE

     121,206       19,778,395  

Corning Inc.

     678,723       23,884,262  

IPG Photonics Corp.(a)

     32,359       3,057,278  

Jabil Inc.

     124,011       7,159,155  

National Instruments Corp.

     118,615       4,286,746  

TD SYNNEX Corp.

     37,209       3,724,249  
   

 

 

  
      110,146,900  

Entertainment — 0.0%

    

Skillz Inc., Class A(a)(b)

     280,075       574,154  
   

 

 

  

Health Care Technology — 0.1%

    

Change Healthcare Inc.(a)

     223,725       5,270,961  
   

 

 

  

Interactive Media & Services — 15.8%

    

Alphabet Inc., Class A(a)

     176,103       401,900,506  

Alphabet Inc., Class C, NVS(a)

     161,916       372,298,316  

IAC/InterActiveCorp.(a)

     68,364       5,666,008  

Match Group Inc.(a)

     252,867       20,014,423  

Meta Platforms Inc, Class A(a)

     1,580,061       316,754,829  

Pinterest Inc., Class A(a)

     508,953       10,443,715  

Twitter Inc.(a)

     695,796       34,107,920  

Vimeo Inc.(a)(b)

     129,715       1,321,796  
   

 

 

  
          1,162,507,513  

Internet & Direct Marketing Retail — 0.2%

 

  

DoorDash Inc., Class A(a)

     131,075       10,673,437  
   

 

 

  

IT Services — 5.1%

    

Akamai Technologies Inc.(a)

     143,803       16,146,201  

Amdocs Ltd.

     109,977       8,764,067  

Cloudflare Inc., Class A(a)(b)

     234,377       20,189,235  

Cognizant Technology Solutions Corp., Class A

     470,600       38,071,540  

Concentrix Corp.

     37,671       5,932,429  

DXC Technology Co.(a)

     217,944       6,254,993  

EPAM Systems Inc.(a)

     48,161       12,762,183  

Fastly Inc., Class A(a)(b)

     95,805       1,523,299  

Gartner Inc.(a)

     71,552       20,789,434  

Globant SA(a)

     36,156       7,809,334  

GoDaddy Inc., Class A(a)

     150,148       12,133,460  

International Business Machines Corp.

     799,561       105,709,960  

Kyndryl Holdings Inc.(a)

     200,584       2,384,944  

MongoDB Inc., Class A(a)(b)

     56,780       20,152,925  

Okta Inc.(a)

     112,764       13,453,873  

Snowflake Inc., Class A(a)

     180,795       30,995,495  

SolarWinds Corp.

     28,879       357,233  

SS&C Technologies Holdings Inc.

     200,500       12,964,330  

Switch Inc., Class A

     102,480       3,060,053  

Thoughtworks Holding Inc.(a)(b)

     36,338       672,616  

Twilio Inc., Class A(a)

     149,008       16,662,075  

VeriSign Inc.(a)

     87,014       15,548,532  
Security   Shares     Value  

IT Services (continued)

    

Wix.com Ltd.(a)

     47,693     $ 3,598,914  
   

 

 

  
      375,937,125  
Life Sciences Tools & Services — 0.1%        

Azenta Inc.

     65,468       4,907,481  
   

 

 

  
Professional Services — 0.4%            

CACI International Inc., Class A(a)

     20,775       5,511,607  

Clarivate PLC(a)(b)

     416,242       6,526,675  

Dun & Bradstreet Holdings Inc.(a)

     143,226       2,261,539  

Leidos Holdings Inc.

     126,279       13,071,139  

Science Applications International Corp.

     50,863       4,233,327  
   

 

 

  
      31,604,287  
Semiconductors & Semiconductor Equipment — 22.0%  

Advanced Micro Devices Inc.(a)

     1,461,769       125,010,485  

Allegro MicroSystems Inc.(a)

     33,910       824,352  

Analog Devices Inc.

     469,117       72,422,282  

Applied Materials Inc.

     793,053       87,513,399  

Broadcom Inc.

     359,565       199,339,240  

Cirrus Logic Inc.(a)

     50,903       3,858,447  

Entegris Inc.

     120,371       13,408,126  

GLOBALFOUNDRIES Inc.(a)(b)

     46,829       2,448,688  

Intel Corp.

     3,616,544       157,645,153  

KLA Corp.

     135,526       43,268,031  

Lam Research Corp.

     125,769       58,578,169  

Marvell Technology Inc.

     753,502       43,763,396  

Microchip Technology Inc.

     486,469       31,717,779  

Micron Technology Inc.

     1,002,309       68,347,451  

Monolithic Power Systems Inc.

     40,538       15,900,625  

NVIDIA Corp.

     1,546,823       286,889,262  

NXP Semiconductors NV

     237,221       40,541,069  

ON Semiconductor Corp.(a)(b)

     378,776       19,738,017  

Qorvo Inc.(a)

     96,774       11,010,946  

QUALCOMM Inc.

     1,009,323       140,992,330  

Skyworks Solutions Inc.

     147,567       16,719,341  

Teradyne Inc.

     145,759       15,371,744  

Texas Instruments Inc.

     826,402       140,694,941  

Universal Display Corp.

     38,689       4,941,746  

Wolfspeed Inc.(a)(b)

     103,152       9,460,070  
   

 

 

  
          1,610,405,089  
Software — 34.5%            

Adobe Inc.(a)

     421,580       166,924,601  

Alteryx Inc., Class A(a)(b)

     52,579       3,375,572  

Anaplan Inc.(a)

     128,280       8,336,917  

ANSYS Inc.(a)

     77,901       21,476,527  

Aspen Technology Inc.(a)

     59,814       9,482,911  

Atlassian Corp. PLC, Class A(a)

     124,441       27,978,070  

Autodesk Inc.(a)

     196,768       37,244,247  

Avalara Inc.(a)

     76,587       5,825,973  

Bentley Systems Inc., Class B(b)

     123,429       5,232,155  

Black Knight Inc.(a)

     135,943       8,943,690  

C3.ai Inc., Class A(a)(b)

     54,893       932,632  

Cadence Design Systems Inc.(a)

     245,370       37,014,064  

CDK Global Inc.

     104,529       5,687,423  

Ceridian HCM Holding Inc.(a)

     117,097       6,572,655  

Citrix Systems Inc.

     110,766       11,087,677  

Coupa Software Inc.(a)

     66,577       5,745,595  

Crowdstrike Holdings Inc., Class A(a)

     177,966       35,372,522  

Datadog Inc., Class A(a)

     227,006       27,417,785  

Datto Holding Corp.(a)

     20,492       711,072  
 

 

 

36  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S.Technology ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Software (continued)

    

DocuSign Inc.(a)(b)

     172,581     $ 13,979,061  

Dolby Laboratories Inc., Class A

     57,427       4,448,870  

DoubleVerify Holdings Inc.(a)

     52,213       1,135,633  

Dropbox Inc., Class A(a)

     265,669       5,778,301  

Duck Creek Technologies Inc.(a)(b)

     68,183       1,086,155  

Dynatrace Inc.(a)

     177,934       6,825,548  

Elastic NV(a)(b)

     67,004       5,101,684  

Everbridge Inc.(a)

     35,243       1,518,973  

Five9 Inc.(a)

     60,338       6,643,214  

Fortinet Inc.(a)

     119,559       34,553,746  

Guidewire Software Inc.(a)(b)

     75,023       6,522,500  

HubSpot Inc.(a)

     40,295       15,289,132  

Informatica Inc.(a)(b)

     28,645       557,432  

Intuit Inc.

     237,508       99,456,475  

Jamf Holding Corp.(a)(b)

     47,860       1,474,088  

Mandiant Inc.(a)

     209,616       4,607,360  

Manhattan Associates Inc.(a)

     56,578       7,386,258  

Microsoft Corp.

     4,290,688       1,190,751,734  

N-able Inc.(a)(b)

     36,490       364,900  

nCino Inc.(a)(b)

     50,165       1,880,686  

NCR Corp.(a)

     113,958       3,991,949  

New Relic Inc.(a)(b)

     47,062       2,977,613  

NortonLifeLock Inc.

     491,675       12,311,542  

Nutanix Inc., Class A(a)

     191,363       4,789,816  

Oracle Corp.

     1,442,415       105,873,261  

Palantir Technologies Inc., Class A(a)(b)

     1,485,072       15,444,749  

Palo Alto Networks Inc.(a)(b)

     86,368       48,476,631  

Paycom Software Inc.(a)

     43,708       12,302,491  

Paycor HCM Inc.(a)(b)

     42,109       1,037,145  

Pegasystems Inc.

     36,495       2,795,152  

Procore Technologies Inc.(a)

     53,249       2,953,722  

PTC Inc.(a)

     94,254       10,764,749  

RingCentral Inc., Class A(a)

     73,076       6,200,499  

Roper Technologies Inc.

     93,696       44,029,624  

salesforce.com Inc.(a)

     836,735       147,215,156  

ServiceNow Inc.(a)

     178,615       85,395,831  

Smartsheet Inc., Class A(a)

     108,679       5,252,456  

Splunk Inc.(a)

     141,971       17,323,301  

Synopsys Inc.(a)

     135,488       38,856,603  

Teradata Corp.(a)

     96,376       3,985,148  

Tyler Technologies Inc.(a)

     36,012       14,214,296  

Unity Software Inc.(a)

     134,795       8,951,736  

VMware Inc., Class A

     199,283       21,530,535  

Workday Inc., Class A(a)

     171,294       35,406,470  
Security   Shares     Value  

Software (continued)

    

Zendesk Inc.(a)(b)

     107,820     $ 13,158,353  

Zoom Video Communications Inc., Class A(a)

     194,723       19,388,569  

Zscaler Inc.(a)(b)

     70,574       14,308,173  
   

 

 

  
      2,533,659,408  
Specialty Retail — 0.0%            

Vroom Inc.(a)(b)

     98,765       154,074  
   

 

 

  
Technology Hardware, Storage & Peripherals — 20.1%  

Apple Inc.

     8,706,119       1,372,519,660  

Dell Technologies Inc., Class C

     242,548       11,402,182  

Hewlett Packard Enterprise Co.

     1,163,177       17,924,558  

HP Inc.

     967,208       35,428,829  

NetApp Inc.

     199,057       14,580,925  

Pure Storage Inc., Class A(a)(b)

     244,024       7,149,903  

Western Digital Corp.(a)

     279,241       14,819,320  

Xerox Holdings Corp.

     113,376       1,972,742  
   

 

 

  
      1,475,798,119  
   

 

 

  

Total Common Stocks — 100.0%
(Cost: $6,168,803,684)

 

     7,334,258,570  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 1.7%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     119,017,767       119,017,767  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     6,440,000       6,440,000  
   

 

 

  
      125,457,767  
   

 

 

  

Total Short-Term Investments — 1.7%
(Cost: $125,458,863)

 

     125,457,767  
   

 

 

  

Total Investments in Securities — 101.7%
(Cost: $6,294,262,547)

 

     7,459,716,337  

Other Assets, Less Liabilities — (1.7)%

 

     (121,282,771 ) 
   

 

 

  

Net Assets — 100.0%

     $  7,338,433,566  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   37

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Technology ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost		     Proceeds
from Sales		     Net Realized
Gain (Loss)		    

Change in

Unrealized

Appreciation

(Depreciation)

     Value at
04/30/22		    

Shares

Held at

04/30/22

     Income    

Capital

Gain

Distributions

from

Underlying
Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 117,943,012     $ 1,135,810 (a)    $ —     $ (26,008 )    $ (35,047 )    $ 119,017,767       119,017,767     $ 189,489 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     18,110,000       —       (11,670,000 )(a)      —       —       6,440,000       6,440,000       3,882       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (26,008 )    $ (35,047 )    $ 125,457,767       $ 193,371     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		    

Expiration

Date

    

Notional

Amount
(000)

     Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

        

E-Mini S&P Communication Services Index

     7       06/17/22     $ 540     $ (72,641 ) 

E-Mini Technology Select Sector Index

     22       06/17/22       3,131       (265,758 ) 
       

 

 

  
        $ (338,399 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 338,399  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 1,978,545  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (793,290 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 8,311,042      

 

  

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

 

 

38  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Technology ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 7,334,258,570        $ —        $ —        $ 7,334,258,570  

Money Market Funds

      125,457,767          —          —          125,457,767  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 7,459,716,337        $                 —        $                 —        $ 7,459,716,337  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                  

Liabilities

                  

Futures Contracts

    $ (338,399 )       $ —        $ —        $ (338,399 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a)

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   39

Schedule of Investments  

April 30, 2022

   

iShares® U.S. Transportation ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Air Freight & Logistics — 28.5%

    

Air Transport Services Group Inc.(a)(b)

     114,759     $ 3,591,957  

Atlas Air Worldwide Holdings Inc.(a)(b)

     53,396       3,681,120  

CH Robinson Worldwide Inc.

     257,497       27,333,307  

Expeditors International of Washington Inc.

     335,581       33,246,010  

FedEx Corp.

     253,225       50,325,936  

Forward Air Corp.

     53,332       5,171,604  

GXO Logistics Inc.(a)(b)

     195,306       11,560,162  

Hub Group Inc., Class A(a)

     67,072       4,504,555  

United Parcel Service Inc., Class B

     1,092,294       196,591,074  
   

 

 

  
          336,005,725  
Airlines — 17.6%            

Alaska Air Group Inc.(a)

     249,424       13,566,171  

Allegiant Travel Co.(a)(b)

     30,041       4,662,063  

American Airlines Group Inc.(a)(b)

     1,283,145       24,084,632  

Blade Air Mobility Inc.(a)

     92,616       797,424  

Delta Air Lines Inc.(a)

     1,267,854       54,555,758  

Frontier Group Holdings Inc.(a)(b)

     59,980       636,388  

Hawaiian Holdings Inc.(a)(b)

     101,562       1,722,492  

JetBlue Airways Corp.(a)(b)

     630,143       6,937,874  

Joby Aviation Inc., Class A(a)(b)

     526,652       2,759,656  

SkyWest Inc.(a)(b)

     99,904       2,912,202  

Southwest Airlines Co.(a)

     1,173,424       54,822,369  

Spirit Airlines Inc.(a)(b)

     214,778       5,070,909  

Sun Country Airlines Holdings Inc.(a)(b)

     61,641       1,695,744  

United Airlines Holdings Inc.(a)(b)

     641,457       32,393,578  

Wheels Up Experience Inc.(a)(b)

     350,887       1,070,205  
   

 

 

  
      207,687,465  
Marine — 1.6%            

Eagle Bulk Shipping Inc.

     26,949       1,677,306  

Genco Shipping & Trading Ltd.

     70,661       1,556,662  

Kirby Corp.(a)

     119,119       7,766,559  

Matson Inc.

     83,271       7,162,971  
   

 

 

  
      18,163,498  
Road & Rail — 52.3%            

AMERCO

     19,426       10,402,235  

ArcBest Corp.

     49,172       3,548,252  

Avis Budget Group Inc.(a)(b)

     79,391       21,250,589  

Bird Global Inc.(a)(b)

     285,343       513,617  

CSX Corp.

     2,337,850       80,281,769  

Daseke Inc.(a)

     117,719       988,840  

Heartland Express Inc.

     92,343       1,274,333  

Hertz Global Holdings Inc.(a)(b)

     112,662       2,260,000  
Security   Shares     Value  

Road & Rail (continued)

    

JB Hunt Transport Services Inc.

     166,420     $ 28,432,857  

Knight-Swift Transportation Holdings Inc.

     328,763       15,744,460  

Landstar System Inc.

     74,668       11,566,073  

Lyft Inc., Class A(a)

     592,992       19,331,539  

Marten Transport Ltd.

     118,567       2,060,694  

Norfolk Southern Corp.

     208,042       53,649,871  

Old Dominion Freight Line Inc.

     178,833       50,094,700  

Ryder System Inc.

     106,404       7,437,640  

Saia Inc.(a)

     52,171       10,745,139  

Schneider National Inc., Class B

     69,428       1,640,584  

TuSimple Holdings Inc., Class A(a)(b)

     67,466       699,622  

Uber Technologies Inc.(a)

     1,742,234       54,845,526  

Union Pacific Corp.

     954,091       223,533,980  

Werner Enterprises Inc.

     118,419       4,692,945  

XPO Logistics Inc.(a)

     195,422       10,511,749  

Yellow Corp.(a)

     67,266       301,352  
   

 

 

  
      615,808,366  
   

 

 

  

Total Common Stocks — 100.0%
(Cost: $1,296,669,540)

       1,177,665,054  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 5.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     60,502,490       60,502,490  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     990,000       990,000  
   

 

 

  
      61,492,490  
   

 

 

  

Total Short-Term Investments — 5.2%
(Cost: $61,474,083)

       61,492,490  
   

 

 

  

Total Investments in Securities — 105.2%
(Cost: $1,358,143,623)

       1,239,157,544  

Other Assets, Less Liabilities — (5.2)%

       (60,881,531 ) 
   

 

 

  

Net Assets — 100.0%

     $  1,178,276,013  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

40  

2 0 2 2   I S H A R E S    A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Transportation ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain

Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 12,174,329     $ 48,348,551 (a)    $ —     $ (28,677 )    $ 8,287     $ 60,502,490       60,502,490     $ 72,267 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     4,370,000       —       (3,380,000 )(a)      —       —       990,000       990,000       818       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (28,677 )    $ 8,287     $ 61,492,490       $ 73,085     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a)

Represents net amount purchased (sold).

 
  (b)

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

XAI Industrial Index

     6       06/17/22     $ 575     $ (19,382 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
   

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

   $ 19,382  
 

 

 

  

 

  (a)

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ (57,918 ) 
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (257,977 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 1,469,596    

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

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   41

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Transportation ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 1,177,665,054        $ —        $ —        $ 1,177,665,054  

Money Market Funds

      61,492,490          —          —          61,492,490  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 1,239,157,544        $                 —        $                 —        $ 1,239,157,544  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                  

Liabilities

                  

Futures Contracts

    $ (19,382 )       $ —        $ —        $ (19,382 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

42  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  

April 30, 2022

   

iShares® U.S. Utilities ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Commercial Services & Supplies — 9.0%

    

Clean Harbors Inc.(a)(b)

     41,031     $ 4,305,383  

Republic Services Inc.

     170,218       22,855,171  

Stericycle Inc.(a)

     74,134       3,720,785  

Waste Management Inc.

     342,181       56,268,244  
   

 

 

  
      87,149,583  
Electric Utilities — 56.1%            

Alliant Energy Corp.

     202,667       11,918,846  

American Electric Power Co. Inc.

     405,654       40,204,368  

Avangrid Inc.

     46,169       2,047,595  

Constellation Energy Corp.

     263,742       15,616,164  

Duke Energy Corp.

     623,874       68,725,960  

Edison International

     302,112       20,782,284  

Entergy Corp.

     162,359       19,296,367  

Evergy Inc.

     185,249       12,569,145  

Eversource Energy.

     278,102       24,306,115  

Exelon Corp.

     791,226       37,013,552  

FirstEnergy Corp.

     440,713       19,087,280  

Hawaiian Electric Industries Inc.

     85,225       3,503,600  

IDACORP Inc.

     40,780       4,289,240  

NextEra Energy Inc.

     1,590,188       112,935,152  

NRG Energy Inc.

     197,050       7,074,095  

OGE Energy Corp.

     161,658       6,252,931  

PG&E Corp.(a)(b)

     1,611,415       20,384,400  

Pinnacle West Capital Corp.

     91,273       6,498,637  

PPL Corp.

     609,164       17,245,433  

Southern Co. (The)

     857,643       62,942,420  

Xcel Energy Inc.

     436,245       31,959,309  
   

 

 

  
      544,652,893  
Electrical Equipment — 0.3%            

Sunrun Inc.(a)(b)

     163,621       3,269,148  
   

 

 

  
Gas Utilities — 2.4%            

Atmos Energy Corp.

     108,584       12,313,426  

National Fuel Gas Co.

     70,691       4,957,560  

UGI Corp.

     168,444       5,777,629  
   

 

 

  
      23,048,615  
Independent Power and Renewable Electricity Producers — 2.5%  

AES Corp. (The)

     535,024       10,925,190  

Brookfield Renewable Corp., Class A

     103,516       3,716,224  

Vistra Corp.

     387,876       9,704,658  
   

 

 

  
      24,346,072  
Security   Shares     Value  
Multi-Utilities — 26.3%            

Ameren Corp.

     206,205     $ 19,156,445  

CenterPoint Energy Inc.

     480,756       14,715,941  

CMS Energy Corp.

     234,151       16,083,832  

Consolidated Edison Inc.

     286,839       26,601,449  

Dominion Energy Inc.

     653,077       53,317,206  

DTE Energy Co.

     156,333       20,485,876  

NiSource Inc.

     317,248       9,238,262  

Public Service Enterprise Group Inc.

     408,622       28,464,609  

Sempra Energy

     259,162       41,818,380  

WEC Energy Group Inc.

     255,686       25,581,384  
   

 

 

  
      255,463,384  
Water Utilities — 3.2%            

American Water Works Co. Inc.

     147,105       22,665,938  

Essential Utilities Inc.

     186,727       8,357,901  
   

 

 

  
      31,023,839  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $888,713,919)

       968,953,534  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 0.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     460,950       460,950  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     1,712,000       1,712,000  
   

 

 

  
      2,172,950  
   

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $2,172,950)

       2,172,950  
   

 

 

  

Total Investments in Securities — 100.0%
(Cost: $890,886,869)

       971,126,484  

Other Assets, Less Liabilities — (0.0)%

       (136,263 ) 
   

 

 

  

Net Assets — 100.0%

     $  970,990,221  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   43

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Utilities ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain
Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ —       $465,031 (a)    $ —     $ (4,081 )    $ —     $ 460,950       460,950     $ 4,661 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     902,000       810,000 (a)      —       —       —       1,712,000       1,712,000       916       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (4,081 )    $ —     $ 2,172,950       $ 5,577     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

E-Mini Utilities Select Sector Index

     27       06/17/22     $ 1,936     $ (10,936 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 10,936  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    

Equity

Contracts

  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 583,210  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (50,668 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 1,967,672    

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

 

 

44  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

    iShares® U.S. Utilities ETF

 

Fair Value Hierarchy as of Period End (continued)

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 968,953,534      $ —      $ —      $ 968,953,534  

Money Market Funds

      2,172,950        —        —        2,172,950  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 971,126,484      $                 —      $                 —      $ 971,126,484  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

            

Liabilities

            

Futures Contracts

    $ (10,936 )     $ —      $ —      $ (10,936 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   45

 

Statements of Assets and Liabilities

April 30, 2022

 

   

iShares

Dow Jones

U.S. ETF

     

iShares

U.S. Energy

ETF

     

iShares

U.S. Healthcare

ETF

     

iShares

U.S. Technology

ETF

  

 

  

ASSETS

           

Investments in securities, at value (including securities on loan)(a):

           

Unaffiliated(b)

   $ 1,553,253,466      $ 3,543,599,041      $ 2,822,027,311      $ 7,334,258,570  

Affiliated(c)

     26,854,883        38,821,528        43,372,625        125,457,767  

Cash

     69,647        199,711        66,861        234,981  

Cash pledged:

           

Futures contracts

     136,000        450,000        223,999        259,000  

Receivables:

           

Securities lending income — Affiliated

     10,563        9,637        10,333        15,958  

Capital shares sold

     —        11,185        —        400  

Dividends

     1,167,063        2,861,587        2,567,758        40,131  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total assets

     1,581,491,622        3,585,952,689        2,868,268,887        7,460,266,807  
 

 

 

     

 

 

     

 

 

     

 

 

  

LIABILITIES

           

Collateral on securities loaned, at value

     21,443,975        31,801,416        40,407,155        119,064,450  

Payables:

           

Investments purchased

     254,586        —        —        —  

Variation margin on futures contracts

     93,623        198,772        119,337        157,806  

Capital shares redeemed

     —        —        —        11,189  

Investment advisory fees

     273,187        1,171,537        959,973        2,599,796  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total liabilities

     22,065,371        33,171,725        41,486,465        121,833,241  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS

   $ 1,559,426,251      $ 3,552,780,964      $ 2,826,782,422      $ 7,338,433,566  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS CONSIST OF:

           

Paid-in capital

   $ 848,019,814      $ 3,050,351,777      $ 2,563,591,500      $ 6,278,388,184  

Accumulated earnings

     711,406,437        502,429,187        263,190,922        1,060,045,382  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS

   $ 1,559,426,251      $ 3,552,780,964      $ 2,826,782,422      $ 7,338,433,566  
 

 

 

     

 

 

     

 

 

     

 

 

  

Shares outstanding

     15,400,000        89,000,000        10,350,000        81,900,000  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net asset value

   $ 101.26      $ 39.92      $ 273.12      $ 89.60  
 

 

 

     

 

 

     

 

 

     

 

 

  

Shares authorized

     Unlimited        Unlimited        Unlimited        Unlimited  
 

 

 

     

 

 

     

 

 

     

 

 

  

Par value

     None        None        None        None  
 

 

 

     

 

 

     

 

 

     

 

 

  

(a) Securities loaned, at value

   $ 20,149,845      $ 29,998,184      $ 37,191,715      $ 111,212,775  

(b) Investments, at cost — Unaffiliated

   $ 810,480,101      $ 2,649,216,860      $ 2,467,352,449      $ 6,168,803,684  

(c)  Investments, at cost — Affiliated

   $ 25,448,302      $ 38,814,083      $ 43,357,061      $ 125,458,863  

See notes to financial statements.

 

 

46  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

 

Statements of Assets and Liabilities (continued)

April 30, 2022

 

   

iShares

U.S. Transportation

ETF

     

iShares

U.S. Utilities

ETF

  

 

  

ASSETS

                

Investments in securities, at value (including securities on loan)(a):

       

Unaffiliated(b)

     $ 1,177,665,054      $ 968,953,534  

Affiliated(c)

       61,492,490        2,172,950  

Cash

       13,276        27,903  

Cash pledged:

       

Futures contracts

       31,000        93,000  

Receivables:

       

Securities lending income — Affiliated

       13,644        605  

Capital shares sold

       13,114        —  

Dividends

       14,968        595,126  
   

 

 

     

 

 

  

Total assets

       1,239,243,546        971,843,118  
   

 

 

     

 

 

  

LIABILITIES

       

Collateral on securities loaned, at value

       60,543,821        460,950  

Payables:

       

Variation margin on futures contracts

       15,115        57,405  

Capital shares redeemed

       —        9,313  

Investment advisory fees

       408,597        325,229  
   

 

 

     

 

 

  

Total liabilities

       60,967,533        852,897  
   

 

 

     

 

 

  

NET ASSETS

     $ 1,178,276,013      $ 970,990,221  
   

 

 

     

 

 

  

NET ASSETS CONSIST OF:

       

Paid-in capital

     $ 1,379,005,849      $ 954,136,739  

Accumulated earnings (loss)

       (200,729,836 )       16,853,482  
   

 

 

     

 

 

  

NET ASSETS

     $ 1,178,276,013      $ 970,990,221  
   

 

 

     

 

 

  

Shares outstanding

       4,850,000        11,100,000  
   

 

 

     

 

 

  

Net asset value

     $ 242.94      $ 87.48  
   

 

 

     

 

 

  

Shares authorized

       Unlimited        Unlimited  
   

 

 

     

 

 

  

Par value

       None        None  
   

 

 

     

 

 

  

(a) Securities loaned, at value

     $ 57,645,587      $ 440,226  

(b) Investments, at cost — Unaffiliated

     $ 1,296,669,540      $ 888,713,919  

(c)  Investments, at cost — Affiliated

     $ 61,474,083      $ 2,172,950  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   47

 

Statements of Operations

Year Ended April 30, 2022

 

   

iShares

Dow Jones

U.S. ETF

     

iShares

U.S. Energy

ETF

     

iShares

U.S. Healthcare

ETF

     

iShares

U.S. Technology

ETF

  

 

  

INVESTMENT INCOME

           

Dividends — Unaffiliated

   $ 22,294,419      $ 99,715,906      $ 41,050,840      $ 53,810,069  

Dividends — Affiliated

     102,003        6,786        5,744        20,347  

Securities lending income — Affiliated — net

     75,196        37,932        63,888        173,024  

Foreign taxes withheld

     (4,743 )       —        —        (84,330 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Total investment income

     22,466,875        99,760,624        41,120,472        53,919,110  
 

 

 

     

 

 

     

 

 

     

 

 

  

EXPENSES

           

Investment advisory fees

     3,429,146        10,339,924        11,335,400        33,170,847  

Professional fees

     217        217        217        217  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total expenses

     3,429,363        10,340,141        11,335,617        33,171,064  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income

     19,037,512        89,420,483        29,784,855        20,748,046  
 

 

 

     

 

 

     

 

 

     

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

           

Net realized gain (loss) from:

           

Investments — Unaffiliated

     3,441,645        (173,008,628 )       5,543,357        (17,794,697 ) 

Investments — Affiliated

     (8,023 )       (17,472 )       (17,553 )       (26,008 ) 

In-kind redemptions — Unaffiliated

     69,043,479        210,585,893        240,376,680        1,692,957,248  

In-kind redemptions — Affiliated

     196,854        —        —        —  

Futures contracts

     357,532        5,046,821        843,216        1,978,545  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net realized gain

     73,031,487        42,606,614        246,745,700        1,677,115,088  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net change in unrealized appreciation (depreciation) on:

           

Investments — Unaffiliated

     (133,809,567 )       1,040,656,200        (174,743,583 )       (2,049,951,696 ) 

Investments — Affiliated

     (1,316,369 )       7,445        3,752        (35,047 ) 

Futures contracts

     (339,923 )       (73,025 )       (369,506 )       (793,290 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Net change in unrealized appreciation (depreciation)

     (135,465,859 )       1,040,590,620        (175,109,337 )       (2,050,780,033 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Net realized and unrealized gain (loss)

     (62,434,372 )       1,083,197,234        71,636,363        (373,664,945 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ (43,396,860 )     $ 1,172,617,717      $ 101,421,218      $ (352,916,899 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

See notes to financial statements.

 

 

 

48  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

 

Statements of Operations (continued)

Year Ended April 30, 2022

 

   

iShares

U.S. Transportation

ETF

        

iShares

U.S. Utilities

ETF

  

 

  

INVESTMENT INCOME

        

Dividends — Unaffiliated

                $ 20,468,659       $ 23,372,972  

Dividends — Affiliated

       2,491         916  

Securities lending income — Affiliated — net

       70,594         4,661  

Foreign taxes withheld

       —         (8,963 ) 
   

 

 

      

 

 

  

Total investment income

       20,541,744         23,369,586  
   

 

 

      

 

 

  

EXPENSES

        

Investment advisory fees

       6,764,193         3,323,233  

Professional fees

       217         217  
   

 

 

      

 

 

  

Total expenses

       6,764,410         3,323,450  
   

 

 

      

 

 

  

Net investment income

       13,777,334         20,046,136  
   

 

 

      

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

        

Net realized gain (loss) from:

        

Investments — Unaffiliated

       (47,127,536 )        (13,960,124 ) 

Investments — Affiliated

       (28,677 )        (4,081 ) 

In-kind redemptions — Unaffiliated

       381,595,902         9,000,408  

Futures contracts

       (57,918 )        583,210  
   

 

 

      

 

 

  

Net realized gain (loss)

       334,381,771         (4,380,587 ) 
   

 

 

      

 

 

  

Net change in unrealized appreciation (depreciation) on:

        

Investments — Unaffiliated

       (518,715,898 )        55,776,512  

Investments — Affiliated

       8,287         —  

Futures contracts

       (257,977 )        (50,668 ) 
   

 

 

      

 

 

  

Net change in unrealized appreciation (depreciation)

       (518,965,588 )        55,725,844  
   

 

 

      

 

 

  

Net realized and unrealized gain (loss)

       (184,583,817 )        51,345,257  
   

 

 

      

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

     $ (170,806,483 )      $ 71,391,393  
   

 

 

      

 

 

  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   49

 

Statements of Changes in Net Assets

 

   

iShares

Dow Jones U.S. ETF

       

iShares

U.S. Energy ETF

  
 

 

 

       

 

 

  
   

Year Ended

04/30/22

       

Year Ended

04/30/21

       

Year Ended

04/30/22

       

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 19,037,512        $ 18,421,715        $ 89,420,483        $ 23,266,005  

Net realized gain (loss)

     73,031,487          56,309,736          42,606,614          (74,049,770 ) 

Net change in unrealized appreciation (depreciation)

     (135,465,859 )         465,697,162          1,040,590,620          257,883,910  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     (43,396,860 )         540,428,613          1,172,617,717          207,100,145  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                 

Decrease in net assets resulting from distributions to shareholders

     (18,957,187 )         (19,374,122 )         (92,818,427 )         (24,408,521 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     8,199,868          (65,749,746 )         370,522,917          1,460,310,777  
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase (decrease) in net assets

     (54,154,179 )         455,304,745          1,450,322,207          1,643,002,401  

Beginning of year

     1,613,580,430          1,158,275,685          2,102,458,757          459,456,356  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 1,559,426,251        $ 1,613,580,430        $ 3,552,780,964        $ 2,102,458,757  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

50  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)

 

   

iShares

U.S. Healthcare ETF

       

iShares

U.S. Technology ETF

  
 

 

 

       

 

 

  
   

Year Ended

04/30/22

       

Year Ended

04/30/21

       

Year Ended

04/30/22

       

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 29,784,855        $ 27,461,238        $ 20,748,046        $ 29,843,120  

Net realized gain

     246,745,700          186,575,662          1,677,115,088          910,330,362  

Net change in unrealized appreciation (depreciation)

     (175,109,337 )         340,519,748          (2,050,780,033 )         1,875,944,588  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     101,421,218          554,556,648          (352,916,899 )         2,816,118,070  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                 

Decrease in net assets resulting from distributions to shareholders

     (29,723,391 )         (29,705,083 )         (25,450,503 )         (30,897,304 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     190,045,697          (392,745,645 )         459,545,739          (390,106,288 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase in net assets

     261,743,524          132,105,920          81,178,337          2,395,114,478  

Beginning of year

     2,565,038,898          2,432,932,978          7,257,255,229          4,862,140,751  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 2,826,782,422        $ 2,565,038,898        $ 7,338,433,566        $ 7,257,255,229  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   51

Statements of Changes in Net Assets (continued)

 

   

iShares

U.S. Transportation ETF

       

iShares

U.S. Utilities ETF

  
 

 

 

       

 

 

  
   

Year Ended

04/30/22

       

Year Ended

04/30/21

       

Year Ended

04/30/22

       

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 13,777,334        $ 11,015,888        $ 20,046,136        $ 22,161,048  

Net realized gain (loss)

     334,381,771          101,703,980          (4,380,587 )         17,410,732  

Net change in unrealized appreciation (depreciation)

     (518,965,588 )         551,433,632          55,725,844          105,278,903  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     (170,806,483 )         664,153,500          71,391,393          144,850,683  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                 

Decrease in net assets resulting from distributions to shareholders

     (14,205,923 )         (11,445,745 )         (20,890,534 )         (23,625,593 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     (781,017,714 )         1,034,833,040          98,397,603          (174,806,045 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase (decrease) in net assets

     (966,030,120 )         1,687,540,795          148,898,462          (53,580,955 ) 

Beginning of year

     2,144,306,133          456,765,338          822,091,759          875,672,714  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 1,178,276,013        $ 2,144,306,133        $ 970,990,221        $ 822,091,759  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

52  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights

(For a share outstanding throughout each period)

 

    iShares Dow Jones U.S. ETF  
 

 

 

  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
(a) 		    
 Year Ended
04/30/20		  
(a) 		    
 Year Ended
04/30/19		  
(a) 		    
 Year Ended
04/30/18		  
(a) 

 

  

Net asset value, beginning of year

   $ 105.12     $ 71.50     $ 73.44     $ 66.25     $ 59.73  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(b)

     1.23       1.19       1.28       1.20       1.10  

Net realized and unrealized gain (loss)(c)

     (3.87 )      33.68       (1.75 )      7.23       6.51  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     (2.64 )      34.87       (0.47 )      8.43       7.61  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

          

From net investment income

     (1.22 )      (1.25 )      (1.47 )      (1.24 )      (1.09 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (1.22 )      (1.25 )      (1.47 )      (1.24 )      (1.09 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 101.26     $ 105.12     $ 71.50     $ 73.44     $ 66.25  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

          

Based on net asset value

     (2.61 )%      49.18 %      (0.63 )%      12.89 %      12.81 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

          

Total expenses

     0.20 %      0.20 %      0.20 %      0.20 %      0.20 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     1.11 %      1.35 %      1.72 %      1.74 %      1.70 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 1,559,426     $ 1,613,580     $ 1,158,276     $ 1,241,141     $ 1,126,170  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

     4 %      4 %      4 %      5 %      4 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   53

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Energy ETF  
 

 

 

  
   

 Year Ended

04/30/22

  

 

    

 Year Ended

04/30/21

  

 

    

 Year Ended

04/30/20

  

 

    

 Year Ended

04/30/19

  

 

    

 Year Ended

04/30/18

  

 

 

  

Net asset value, beginning of year

   $ 26.40     $ 20.06        $ 35.96        $ 40.47     $ 37.27  
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Net investment income(a)

     1.07       0.80          1.02          0.89       1.07  

Net realized and unrealized gain (loss)(b)

     13.56       6.36          (14.81 )         (4.43 )      3.25  
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Net increase (decrease) from investment operations

     14.63       7.16          (13.79 )         (3.54 )      4.32  
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Distributions(c)

                

From net investment income

     (1.11 )      (0.82 )         (2.11 )         (0.97 )      (1.12 ) 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Total distributions

     (1.11 )      (0.82 )         (2.11 )         (0.97 )      (1.12 ) 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Net asset value, end of year

   $ 39.92     $ 26.40        $ 20.06        $ 35.96     $ 40.47  
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Total Return(d)

                

Based on net asset value

     56.56 %      37.20 %         (39.91 )%         (8.83 )%      11.92 % 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Ratios to Average Net Assets(e)

                

Total expenses

     0.39 %      0.41 %         0.42 %         0.42 %      0.43 % 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Net investment income

     3.38 %      3.62 %         3.42 %         2.33 %      2.87 % 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Supplemental Data

                

Net assets, end of year (000)

   $ 3,552,781     $ 2,102,459        $ 459,456        $ 789,226     $ 1,088,740  
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

Portfolio turnover rate(f)

     17 %      15 %         12 %         6 %      6 % 
 

 

 

    

 

 

       

 

 

       

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

54  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Healthcare ETF  
 

 

 

  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		    
 Year Ended
04/30/20		  
 		    
 Year Ended
04/30/19		  
 		    
 Year Ended
04/30/18		  
 

 

  

Net asset value, beginning of year

   $ 263.08     $ 212.48     $ 188.15     $ 173.95     $ 158.62  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

     2.89       2.65       2.49       2.26       1.99  

Net realized and unrealized gain(b)

     10.00       50.86       24.38       15.50       15.31  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase from investment operations

     12.89       53.51       26.87       17.76       17.30  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(c)

          

From net investment income

     (2.85 )      (2.91 )      (2.54 )      (3.56 )      (1.97 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (2.85 )      (2.91 )      (2.54 )      (3.56 )      (1.97 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 273.12     $ 263.08     $ 212.48     $ 188.15     $ 173.95  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(d)

          

Based on net asset value

     4.86 %      25.40 %      14.44 %      10.27 %      10.93 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(e)

          

Total expenses

     0.39 %      0.41 %      0.43 %      0.43 %      0.43 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     1.03 %      1.13 %      1.25 %      1.19 %      1.16 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 2,826,782     $ 2,565,039     $ 2,432,933     $ 2,097,818     $ 1,800,336  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(f)

     7 %      6 %      5 %      6 %      7 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   55

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Technology ETF  
 

 

 

  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
(a) 		    
 Year Ended
04/30/20		  
(a) 		    
 Year Ended
04/30/19		  
(a) 		    
 Year Ended
04/30/18		  
(a) 

 

  

Net asset value, beginning of year

   $ 92.98     $ 58.58     $ 50.85     $ 41.99     $ 34.55  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(b)

     0.25       0.37       0.48       0.40       0.32  

Net realized and unrealized gain (loss)(c)

     (3.33 )      34.42       7.75       8.84       7.46  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     (3.08 )      34.79       8.23       9.24       7.78  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

          

From net investment income

     (0.30 )      (0.39 )      (0.50 )      (0.38 )      (0.34 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (0.30 )      (0.39 )      (0.50 )      (0.38 )      (0.34 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 89.60     $ 92.98     $ 58.58     $ 50.85     $ 41.99  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

          

Based on net asset value

     (3.35 )%      59.56 %      16.34 %      22.10 %      22.62 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

          

Total expenses

     0.39 %      0.41 %      0.43 %      0.42 %      0.43 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     0.24 %      0.47 %      0.89 %      0.87 %      0.80 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 7,338,434     $ 7,257,255     $ 4,862,141     $ 4,271,433     $ 4,031,372  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

     13 %      12 %      16 %      19 %      15 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Per share amounts reflect a four-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

56  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Transportation ETF  
 

 

 

  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		    
 Year Ended
04/30/20		  
 		    
 Year Ended
04/30/19		  
 		    
 Year Ended
04/30/18		  
 

 

  

Net asset value, beginning of year

   $ 269.72     $ 149.76        $ 195.07        $ 187.76        $ 163.83  
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(a)

     2.08       1.95          2.55          2.12          1.91  

Net realized and unrealized gain (loss)(b)

     (26.68 )      119.89          (45.09 )         7.34          24.02  
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

     (24.60 )      121.84          (42.54 )         9.46          25.93  
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(c)

                   

From net investment income

     (2.18 )      (1.88 )         (2.77 )         (2.15 )         (2.00 ) 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

     (2.18 )      (1.88 )         (2.77 )         (2.15 )         (2.00 ) 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

   $ 242.94     $ 269.72        $ 149.76        $ 195.07        $ 187.76  
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(d)

                   

Based on net asset value

     (9.18 )%      81.75 %         (21.92 )%         5.12 %         15.88 % 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(e)

                   

Total expenses

     0.39 %      0.41 %         0.42 %         0.42 %         0.43 % 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

     0.80 %      0.90 %         1.40 %         1.11 %         1.07 % 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                   

Net assets, end of year (000)

   $ 1,178,276     $ 2,144,306        $ 456,765        $ 575,444        $ 807,349  
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(f)

     72 %      80 %         35 %         17 %         5 % 
 

 

 

    

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   57

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

     iShares U.S. Utilities ETF  
  

 

 

  
     Year Ended       Year Ended       Year Ended       Year Ended       Year Ended  
       04/30/22          04/30/21 (a)         04/30/20 (a)         04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

      $ 82.62        $ 71.20        $ 74.36        $ 65.22        $ 64.65  
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

        1.98          2.10          2.10          2.02          1.90  

Net realized and unrealized gain (loss)(c)

        4.95          11.60          (3.06 )         9.06          0.42  
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

        6.93          13.70          (0.96 )         11.08          2.32  
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                         

From net investment income

        (2.07 )         (2.28 )         (2.20 )         (1.94 )         (1.75 ) 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

        (2.07 )         (2.28 )         (2.20 )         (1.94 )         (1.75 ) 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

      $ 87.48        $ 82.62        $ 71.20        $ 74.36        $ 65.22  
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                         

Based on net asset value

        8.52 %         19.66 %         (1.39 )%         17.29 %         3.59 % 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                         

Total expenses

        0.39 %         0.41 %         0.43 %         0.43 %         0.43 % 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

        2.35 %         2.78 %         2.70 %         2.94 %         2.86 % 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                         

Net assets, end of year (000)

      $ 970,990        $ 822,092        $ 875,673        $ 810,455        $ 606,486  
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

        14 %         5 %         4 %         6 %         5 % 
    

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

58  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Notes to Financial Statements

 

1.

ORGANIZATION

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.

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

 

   
iShares ETF  

Diversification

Classification

  

Dow Jones U.S.

     Diversified  

U.S. Energy

     Non-diversified  

U.S. Healthcare

     Non-diversified  

U.S. Technology

     Non-diversified  

U.S. Transportation

     Non-diversified  

U.S. Utilities

     Non-diversified  

 

2.

SIGNIFICANT ACCOUNTING POLICIES

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

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 each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its 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 April 30, 2022, if any, are disclosed in the Statements of Assets and Liabilities.

The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.

Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

In-kind Redemptions: For financial reporting purposes, 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 net asset value (“NAV”) per share.

Distributions: 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. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   59

Notes to Financial Statements  (continued)

 

3.

INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. 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. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

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

 

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s 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.

  •  

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

  •  

Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded.

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

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.

Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access;

  •  

Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and

  •  

Level 3 – Unobservable inputs 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 financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

 

4.

SECURITIES AND OTHER INVESTMENTS

Securities Lending: Each Fund may lend its 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 market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, 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.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule 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, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.

 

 

60  

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Notes to Financial Statements  (continued)

 

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left 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, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.

As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:

 

 

  
iShares ETF and Counterparty     

 Market Value of

Securities on Loan

  

 

    

 Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

     Net Amount  

 

  

Dow Jones U.S.

         

Barclays Bank PLC

    $ 1,583,314     $ 1,583,314     $ —     $ —  

Barclays Capital, Inc.

      64,557       64,557       —       —  

BNP Paribas SA

      4,353,214       4,353,214       —       —  

BofA Securities, Inc.

      1,072,877       1,072,877       —       —  

Citigroup Global Markets, Inc.

      3,885,643       3,885,643       —       —  

Goldman Sachs & Co. LLC

      2,891,966       2,891,966       —       —  

J.P. Morgan Securities LLC

      1,070,678       1,070,678       —       —  

Jefferies LLC

      680,644       680,644       —       —  

Morgan Stanley

      1,649,969       1,649,969       —       —  

National Financial Services LLC

      305,250       305,250       —       —  

RBC Capital Markets LLC

      149,404       149,404       —       —  

Scotia Capital (USA), Inc.

      681,819       681,819       —       —  

SG Americas Securities LLC

      95,716       95,716       —       —  

State Street Bank & Trust Co.

      64,251       64,251       —       —  

Toronto-Dominion Bank

      184,722       184,722       —       —  

UBS AG

      782,182       782,182       —       —  

UBS Securities LLC

      320,694       320,694       —       —  

Wells Fargo Bank N.A.

      93,816       93,816       —       —  

Wells Fargo Securities LLC

      219,129       219,129       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 20,149,845     $ 20,149,845     $ —     $ —  
  

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Energy

         

Barclays Bank PLC

    $ 4,665,181     $ 4,665,181     $ —     $ —  

BNP Paribas SA

      1,156,813       1,156,813       —       —  

BofA Securities, Inc.

      1,856,389       1,856,389       —       —  

Goldman Sachs & Co. LLC

      1,753,415       1,753,415       —       —  

J.P. Morgan Securities LLC

      8,380,085       8,380,085       —       —  

Morgan Stanley

      11,728,380       11,728,380       —       —  

National Financial Services LLC

      457,921       457,921       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 29,998,184     $ 29,998,184     $ —     $ —  
  

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Healthcare

         

Barclays Bank PLC

    $ 57,726     $ 57,726     $ —     $ —  

Barclays Capital, Inc.

      663       663       —       —  

BNP Paribas SA

      6,486,389       6,486,389       —       —  

Citigroup Global Markets, Inc.

      607,380       607,380       —       —  

Goldman Sachs & Co. LLC

      1,586,716       1,586,716       —       —  

J.P. Morgan Securities LLC

      9,900,429       9,900,429       —       —  

Jefferies LLC

      309,146       309,146       —       —  

Morgan Stanley

      2,744,400       2,744,400       —       —  

National Financial Services LLC

      248,215       246,955       —       (1,260 )(b) 

SG Americas Securities LLC

      839,502       839,502       —       —  

State Street Bank & Trust Co.

      352,345       352,345       —       —  

UBS AG

      9,629,310       9,629,310       —       —  

UBS Securities LLC

      1,922,949       1,922,949       —       —  

Wells Fargo Bank N.A.

      2,460,148       2,460,148       —       —  

Wells Fargo Securities LLC

      46,397       46,397       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 37,191,715     $ 37,190,455     $ —     $ (1,260 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   61

Notes to Financial Statements  (continued)

 

 

  
iShares ETF and Counterparty     

 Market Value of

Securities on Loan

  

 

    

   Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

     Net Amount  

 

  

U.S. Technology

         

Barclays Bank PLC

    $ 2,308,760     $ 2,308,760     $ —     $ —  

Barclays Capital, Inc.

      4,698,000       4,698,000       —       —  

BNP Paribas SA

      2,337,405       2,337,405       —       —  

BofA Securities, Inc.

      6,136,405       6,136,405       —       —  

Citigroup Global Markets, Inc.

      1,690,797       1,690,797       —       —  

Goldman Sachs & Co. LLC

      3,393,388       3,393,388       —       —  

J.P. Morgan Securities LLC

      48,034,410       48,034,410       —       —  

Morgan Stanley

      4,907,941       4,907,941       —       —  

Scotia Capital (USA), Inc.

      13,985,763       13,985,763       —       —  

SG Americas Securities LLC

      1,436,047       1,436,047       —       —  

State Street Bank & Trust Co.

      10,657,648       10,657,648       —       —  

UBS AG

      11,549,049       11,549,049       —       —  

UBS Securities LLC

      77,162       77,162       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 111,212,775     $ 111,212,775     $ —     $ —  
  

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Transportation

         

Barclays Bank PLC

    $ 14,258,509     $ 14,258,509     $ —     $ —  

Barclays Capital, Inc.

      14,290       14,290       —       —  

BNP Paribas SA

      247,199       247,199       —       —  

BofA Securities, Inc.

      3,441,278       3,441,278       —       —        

Citigroup Global Markets, Inc.

      24,145,609       24,145,609       —       —  

Goldman Sachs & Co. LLC

      8,985,941       8,985,941       —       —  

J.P. Morgan Securities LLC

      2,460,270       2,460,270       —       —  

Jefferies LLC

      423,658       423,658       —       —  

Morgan Stanley

      2,588,644       2,588,644       —       —  

National Financial Services LLC

      13,755       13,755       —       —  

RBC Capital Markets LLC

      121,739       121,739       —       —  

SG Americas Securities LLC

      4,781       4,781       —       —  

State Street Bank & Trust Co.

      190,607       190,607       —       —  

UBS AG

      13,161       13,161       —       —  

UBS Securities LLC

      3,130       3,130       —       —  

Wells Fargo Bank N.A.

      733,016       733,016       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 57,645,587     $ 57,645,587     $ —     $ —  
  

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Utilities

         

Barclays Capital, Inc.

    $ 88,550     $ 88,550     $ —     $ —  

Morgan Stanley

      267,732       267,732       —       —  

Wells Fargo Bank National Association

      83,944       83,944       —       —  
  

 

 

    

 

 

    

 

 

    

 

 

  
   $ 440,226     $ 440,226     $ —     $ —  
  

 

 

    

 

 

    

 

 

    

 

 

  

 

  (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) 

The market value of the loaned securities is determined as of April 30, 2022. Additional collateral is delivered to the Fund on the next business day in accordance with the MSLA. The net amount would be subject to the borrower default indemnity in the event of default by a counterparty.

 

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, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent 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 market 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. Such losses are borne entirely by each Fund.

 

5.

DERIVATIVE FINANCIAL INSTRUMENTS

Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).

Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.

 

 

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Notes to Financial Statements  (continued)

 

Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.

 

6.

INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (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 trustees).

For its investment advisory services to the iShares Dow Jones U.S. ETF, BFA is entitled to an annual investment advisory fee of 0.20%, accrued daily and paid monthly by the Fund, based on the average daily net assets of the Fund.

For its investment advisory services to each of the iShares U.S. Energy, iShares U.S. Healthcare, iShares U.S. Technology, iShares U.S. Utilities and iShares U.S. Transportation 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:

 

   
Aggregate Average Daily Net Assets    Investment Advisory Fee  

First $10 billion

      0.4800 % 

Over $10 billion, up to and including $20 billion

      0.4300  

Over $20 billion, up to and including $30 billion

      0.3800  

Over $30 billion, up to and including $40 billion

      0.3400  

Over $40 billion, up to and including $50 billion

      0.3300  

Over $50 billion, up to and including $60 billion

      0.3100  

Over $60 billion

      0.2945  

Prior to July 14, 2021, for its investment advisory services to each of the iShares U.S. Energy, iShares U.S. Healthcare, iShares U.S. Technology, iShares U.S. Utilities and iShares U.S. Transportation ETFs, BFA was 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:

 

   
Aggregate Average Daily Net Assets    Investment Advisory Fee  

First $10 billion

      0.48 % 

Over $10 billion, up to and including $20 billion

      0.43  

Over $20 billion, up to and including $30 billion

      0.38  

Over $30 billion, up to and including $40 billion

      0.34  

Over $40 billion, up to and including $50 billion

      0.33  

Over $50 billion

      0.31  

Distributor: BlackRock Investments, LLC (“BRIL”), 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.

ETF Servicing Fees: Each Fund has entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. The Funds do not pay BRIL for ETF Services.

Prior to April 11, 2022, ETF Services were performed by State Street Bank and Trust Company.

Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. 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 SL Agency Shares of such money market fund will not be subject to a sales load, distribution

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   63

Notes to Financial Statements  (continued)

 

fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each Fund retains 81% of securities lending income (which excludes collateral investment fees) 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 that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Prior to January 1, 2022, each Fund retained 77% of securities lending income (which excludes collateral investment fees) and the amount retained was not 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 the iShares ETF Complex in a calendar year exceeded a specified threshold, each Fund, pursuant to the securities lending agreement, retained for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended April 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:

 

   
iShares ETF   

Fees Paid

to BTC

  

Dow Jones U.S.

    $ 26,513  

U.S. Energy

      15,551     

U.S. Healthcare

      26,193  

U.S. Technology

      73,272  

U.S. Transportation

      28,775  

U.S. Utilities

      1,992  

Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.

Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended April 30, 2022, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:

 

       
iShares ETF    Purchases     Sales    

Net Realized

Gain (Loss)

  

Dow Jones U.S.

    $ 14,187,188     $ 10,635,225     $ (818,233 ) 

U.S. Energy

       118,487,106       80,194,572        (49,261,398 ) 

U.S. Healthcare

      83,587,467       57,161,869       2,255,519  

U.S. Technology

      462,494,570            236,927,602           (13,817,194 ) 

U.S. Transportation

      55,914,533       33,754,084       (993,223 )    

U.S. Utilities

      28,704,741       31,843,435       (3,470,763 ) 

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 shown as dividends – affiliated in the Statements of Operations.

A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.

 

 

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Notes to Financial Statements  (continued)

 

7.

PURCHASES AND SALES

For the year ended April 30, 2022, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:

 

     
iShares ETF    Purchases     Sales  

Dow Jones U.S.

    $ 75,905,214     $ 72,276,615  

U.S. Energy

      465,579,831       456,301,406  

U.S. Healthcare

      204,608,153       207,567,950  

U.S. Technology

       1,147,714,566          1,134,960,783     

U.S. Transportation

      1,241,431,077       1,250,695,895  

U.S. Utilities

      121,863,980       119,814,324  

For the year ended April 30, 2022, in-kind transactions were as follows:

 

     
iShares ETF   

In-kind

Purchases

    

In-kind

Sales

  

Dow Jones U.S.

    $ 106,071,745     $ 97,890,582  

U.S. Energy

      1,489,766,607          1,124,369,294     

U.S. Healthcare

      929,211,290       735,597,434  

U.S. Technology

       3,436,527,035        2,982,592,242  

U.S. Transportation

      1,786,800,849       2,560,596,507  

U.S. Utilities

      144,617,707       46,794,604  

 

8.

INCOME TAX INFORMATION

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Management has analyzed tax laws and regulations and their application to the Funds as of April 30, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of April 30, 2022, permanent differences attributable to realized gains (losses) from in-kind redemptions and distributions paid in excess of taxable income were reclassified to the following accounts:

 

     
iShares ETF    Paid-in Capital     Accumulated
Earnings (Loss)		  

Dow Jones U.S.

    $ 69,028,845     $ (69,028,845 ) 

U.S. Energy

      164,463,538       (164,463,538 ) 

U.S. Healthcare

      231,346,448          (231,346,448 ) 

U.S. Technology

       1,688,073,041       (1,688,073,041 )    

U.S. Transportation

      351,891,940       (351,891,940 ) 

U.S. Utilities

      7,308,760       (7,308,760 ) 

The tax character of distributions paid was as follows:

 

 

  
iShares ETF  

Year Ended

04/30/22

     

Year Ended

04/30/21

  

 

  

Dow Jones U.S.

     

Ordinary income

   $ 18,957,187      $ 19,374,122  
 

 

 

     

 

 

  

U.S. Energy

     

Ordinary income

   $ 92,818,427      $ 24,408,521  
 

 

 

     

 

 

  

U.S. Healthcare

     

Ordinary income

   $ 29,723,391      $ 29,705,083  
 

 

 

     

 

 

  

U.S. Technology

     

Ordinary income

   $ 25,450,503      $ 30,897,304  
 

 

 

     

 

 

  

U.S. Transportation

     

Ordinary income

   $ 14,205,923      $ 11,445,745  
 

 

 

     

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   65

Notes to Financial Statements  (continued)

 

 

  
iShares ETF  

Year Ended

04/30/22

     

Year Ended

04/30/21

  

 

  

U.S. Utilities

     

Ordinary income

   $ 20,890,534      $ 23,625,593  
 

 

 

     

 

 

  

As of April 30, 2022, the tax components of accumulated net earnings (losses) were as follows:

 

         
iShares ETF     

 Undistributed

Ordinary Income

  

 

       

 Non-expiring

Capital Loss

Carryforwards

  

 

(a) 

     

 Net Unrealized

Gains (Losses)

  

(b) 

      Total  

Dow Jones U.S.

    $ 1,022,810        $ (19,798,231 )     $ 730,181,858      $ 711,406,437  

U.S. Energy

      —          (306,213,545 )       808,642,732        502,429,187  

U.S. Healthcare

      2,866,620          (82,681,070 )       343,005,372        263,190,922  

U.S. Technology

      1,140,538          (64,508,835 )       1,123,413,679        1,060,045,382  

U.S. Transportation

      —          (72,620,946 )       (128,108,890 )       (200,729,836 )    

U.S. Utilities

      —          (56,939,402 )       73,792,884        16,853,482  

 

  (a) 

Amounts available to offset future realized capital gains.

 
  (b) 

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains (losses) on certain futures contracts, the timing and recognition of partnership income, the characterization of corporate actions and the realization for tax purposes of unrealized gains on investments in passive foreign investment companies.

 

For the year ended April 30, 2022, the Funds listed below utilized the following amounts of their respective capital loss carryforwards:

 

   
iShares ETF    Utilized  

Dow Jones U.S.

    $  3,929,177     

U.S. Healthcare

      8,153,410  

As of April 30, 2022, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:

 

         
iShares ETF    Tax Cost       

Gross Unrealized

Appreciation

       

Gross Unrealized

Depreciation

       

Net Unrealized

Appreciation

(Depreciation)

  

Dow Jones U.S.

    $ 849,926,491        $ 796,650,478        $ (66,468,620 )       $ 730,181,858  

U.S. Energy

        2,773,777,837          860,742,604          (52,099,872 )         808,642,732  

U.S. Healthcare

      2,522,394,564          513,172,929          (170,167,557 )         343,005,372  

U.S. Technology

       6,336,302,658          1,688,358,886          (564,945,207 )         1,123,413,679  

U.S. Transportation

      1,367,266,434          23,145,810          (151,254,700 )         (128,108,890 )    

U.S. Utilities

      897,333,600          100,650,667          (26,857,783 )         73,792,884  

 

9.

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. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. 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.

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, the duration of this pandemic and its effects cannot be determined with certainty.

 

 

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Notes to Financial Statements  (continued)

 

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.

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

Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a Fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

 

10.

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 were as follows:

 

 

  
   

Year Ended

04/30/22

    

Year Ended

04/30/21

  
 

 

 

    

 

 

  
iShares ETF   Shares     Amount     Shares     Amount  

 

  

Dow Jones U.S.

        

Shares sold

     950,000     $    106,366,538       350,000 (a)    $ 34,300,344  

Shares redeemed

     (900,000 )        (98,166,670 )        (1,200,000 )(a)          (100,050,090 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     50,000     $ 8,199,868       (850,000 )    $ (65,749,746 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   67

Notes to Financial Statements  (continued)

 

 

  
   

Year Ended

04/30/22

    

Year Ended

04/30/21

  
 

 

 

    

 

 

  
iShares ETF   Shares     Amount     Shares     Amount  

 

  

U.S. Energy

        

Shares sold

     46,850,000     $ 1,499,858,858       76,000,000     $ 1,857,056,842  

Shares redeemed

     (37,500,000 )        (1,129,335,941 )         (19,250,000 )      (396,746,065 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase

     9,350,000     $ 370,522,917       56,750,000     $ 1,460,310,777  
 

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Healthcare

        

Shares sold

     3,250,000     $ 931,265,158       1,650,000     $ 371,904,383  

Shares redeemed

     (2,650,000 )      (741,219,461 )      (3,350,000 )      (764,650,028 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     600,000     $ 190,045,697       (1,700,000 )    $ (392,745,645 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Technology

        

Shares sold

     33,200,000     $ 3,442,394,913       16,200,000 (b)    $ 1,217,516,386  

Shares redeemed

     (29,350,000 )      (2,982,849,174 )      (21,150,000 )(b)      (1,607,622,674 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     3,850,000     $ 459,545,739       (4,950,000 )    $ (390,106,288 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Transportation

        

Shares sold

     6,900,000     $ 1,790,270,650       10,000,000     $ 2,071,869,906  

Shares redeemed

     (10,000,000 )      (2,571,288,364 )      (5,100,000 )      (1,037,036,866 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     (3,100,000 )    $ (781,017,714 )      4,900,000     $ 1,034,833,040  
 

 

 

    

 

 

    

 

 

    

 

 

  

U.S. Utilities

        

Shares sold

     1,700,000     $ 145,456,356       1,450,000 (a)    $ 110,955,395  

Shares redeemed

     (550,000 )      (47,058,753 )      (3,800,000 )(a)      (285,761,440 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     1,150,000     $ 98,397,603       (2,350,000 )    $ (174,806,045 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

 

  (a) 

Share transactions reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

 
  (b) 

Share transactions reflect a four-for-one stock split effective after the close of trading on December 4, 2020.

 

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to BRIL, 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 shares sold in the table above.

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 transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.

 

11.

LEGAL PROCEEDINGS

Certain iShares funds (the “Impacted Funds”), along with thousands of other former shareholders of Tribune Company (“Tribune”), were named as defendants in one or more lawsuits (the “Litigation”) arising out of Tribune’s 2007 leveraged buyout transaction (“LBO”). The Litigation sought to “claw back” from former Tribune shareholders, including the Impacted Funds, proceeds received in connection with the LBO. The iShares Dow Jones U.S. ETF received proceeds of $118,354 in the LBO. The claims that were originally brought against the Impacted Funds were dismissed but were subject to various appeals. On February 22, 2022, the United States Supreme Court refused to hear the last of these appeals and, accordingly, the Litigation is now closed.

 

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 additional disclosure in the financial statements.

 

 

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Report of Independent Registered Public Accounting Firm

 

To the Board of Trustees of iShares Trust and

Shareholders of iShares Dow Jones U.S. ETF, iShares U.S. Energy ETF, iShares U.S. Healthcare ETF, iShares U.S. Technology ETF, iShares U.S. Transportation ETF and iShares U.S. Utilities ETF

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares Dow Jones U.S. ETF, iShares U.S. Energy ETF, iShares U.S. Healthcare ETF, iShares U.S. Technology ETF, iShares U.S. Transportation ETF, and iShares U.S. Utilities ETF (six of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2022, the related statements of operations for the year ended April 30, 2022, the statements of changes in net assets for each of the two years in the period ended April 30, 2022, including the related notes, and the financial highlights for each of the five years in the period ended April 30, 2022 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2022 and each of the financial highlights for each of the five years in the period ended April 30, 2022 in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2022 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 23, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.

 

 

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   69

Important Tax Information (unaudited)

 

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Dividend

Income

  

Dow Jones U.S.

   $ 21,339,587  

U.S. Energy

     99,600,482  

U.S. Healthcare

     40,803,128  

U.S. Technology

     60,017,396  

U.S. Transportation

     19,917,746  

U.S. Utilities

     23,288,122  

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Business

Income

  

Dow Jones U.S.

   $ 411,919  

The following percentage, or maximum percentage allowable by law, of ordinary income distributions paid during the fiscal year ended April 30, 2022 qualified for the dividends-received deduction for corporate shareholders:

 

   
iShares ETF  

Dividends-Received

Deduction

  

Dow Jones U.S.

     100.00 % 

U.S. Energy

     100.00 % 

U.S. Healthcare

     100.00 % 

U.S. Technology

     100.00 % 

U.S. Transportation

     100.00 % 

U.S. Utilities

     100.00 % 

 

 

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2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

 

Statement Regarding Liquidity Risk Management Program (unaudited)

 

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares Dow Jones U.S. ETF, iShares U.S. Energy ETF, iShares U.S. Healthcare ETF, iShares U.S. Technology ETF, iShares U.S. Transportation ETF and iShares U.S. Utilities ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays and the imposition of capital controls in certain non-U.S. countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

 

  a)

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

 

  b)

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

 

  c)

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. While the ETFs generally do not engage in borrowing, certain of the ETFs have the flexibility to draw on a line of credit to meet redemption requests or facilitate settlements.

 

  d)

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs and reviewed any persistent deviations from long-term averages.

 

  e)

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

As part of BlackRock’s continuous review of the effectiveness of the Program, the Committee made the following material changes to the Program: (1) updates to certain model components in the Program’s methodology; and (2) certain iShares Funds entered into a $800 million credit agreement with a group of lenders that replaced a previous liquidity facility. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.

 

 

S T A T E M E N T   R E G A R D I N G   L I Q U I D I T Y   R I S K   M A N A G E M E N T   P R O G R A M

   71

Supplemental Information (unaudited)

 

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are being 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 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.

April 30, 2022

 

       
   

Total Cumulative Distributions

for the Fiscal Year

          

% Breakdown of the Total Cumulative

Distributions for the Fiscal Year

  
 

 

 

      

 

 

  
iShares ETF  

Net

Investment

Income

     Net Realized
Capital Gains		     Return of
Capital		     Total Per
Share		           

Net

Investment

Income

    

Net Realized

Capital Gains

     Return of
Capital		     Total Per
Share		  

Dow Jones U.S.(a)

   $ 1.203148      $ —     $   0.019502     $   1.222650         98 %      — %      2 %      100 % 

U.S. Healthcare

     2.846058       —       —       2.846058         100       —       —       100  

U.S. Technology(a)

     0.288903       —       0.014891       0.303794         95       —       5       100  

U.S. Transportation

     2.175290       —       —       2.175290         100       —       —       100  

U.S. Utilities

     2.066551       —       —       2.066551               100       —       —       100  

 

  (a) 

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share.

 

Premium/Discount Information

Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.

 

 

72  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Trustee and Officer Information

 

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 380 funds as of April 30, 2022. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated John E. Kerrigan as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

 

Interested Trustees
       
 Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Robert S.

Kapito(a) (65)

   

Trustee

(since 2009).

    President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002).    Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011).

Salim Ramji(b)

(51)

   

Trustee

(since 2019).

    Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014).    Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019).

 

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

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

Independent Trustees
       
 Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

John E.

Kerrigan (66)

   

Trustee

(since 2005); Independent Board Chair

(since 2022).

    Chief Investment Officer, Santa Clara University (since 2002).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2022).

Jane D.

Carlin (66)

   

Trustee

(since 2015); Risk Committee Chair

(since 2016).

    Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).    Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016).

Richard L.

Fagnani (67)

   

Trustee

(since 2017); Audit Committee Chair

(since 2019).

    Partner, KPMG LLP (2002-2016).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

 

T R U S T E E   A N D   O F F I C E R   I N F O R M A T I O N

   73

Trustee and Officer Information  (continued)

 

Independent Trustees (continued)
       
 Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Cecilia H.

Herbert (73)

   

Trustee

(since 2005); Nominating and Governance and Equity Plus Committee Chairs

(since 2022).

    Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Trustee of Thrivent Church Loan and Income Fund (since 2019).

Drew E.

Lawton (63)

   

Trustee

(since 2017); 15(c) Committee Chair

(since 2017).

    Senior Managing Director of New York Life Insurance Company (2010-2015).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

John E.

Martinez (60)

   

Trustee

(since 2003); Securities Lending Committee Chair

(since 2019).

    Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016).    Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011).

Madhav V.

Rajan (57)

   

Trustee

(since 2011); Fixed Income Plus Committee Chair

(since 2019).

    Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016).    Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011).
Officers
     
 Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

Armando

Senra (50)

    President (since 2019).    Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006).

Trent

Walker (47)

    Treasurer and Chief Financial Officer (since 2020).    Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.

Charles

Park (54)

    Chief Compliance Officer (since 2006).    Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006).

Deepa Damre

Smith (46)

    Secretary (since 2019).    Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013).

Rachel

Aguirre (39)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2018); Director, BlackRock, Inc. (2009-2018); Head of U.S. iShares Product (since 2022); Head of EII U.S. Product Engineering (since 2021); Co-Head of EII’s Americas Portfolio Engineering (2020-2021); Head of Developed Markets Portfolio Engineering 2021); Head of Developed Markets Portfolio Engineering (2016-2019).

Jennifer

Hsui (46)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2009); Co-Head of Index Equity (since 2022).

James

Mauro (51)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2010); Head of Fixed Income Index Investments in the Americas and Head of San Francisco Core Portfolio Management (since 2020).

 

 

74  

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Trustee and Officer Information  (continued)

 

 

Effective March 18, 2022, Rachel Aguirre, Jennifer Hsui, and James Mauro have replaced Scott Radell, Alan Mason, and Marybeth Leithead as Executive Vice Presidents.

 

 

T R U S T E E   A N D   O F F I C E R   I N F O R M A T I O N

   75

General Information

 

Electronic Delivery

Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at 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 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 and Rule 30e-3 notices 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 Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.

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 iShares.com; and (3) on the SEC website at sec.gov.

A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.

 

 

76  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Glossary of Terms Used in this Report

 

Portfolio Abbreviations - Equity
NVS    Non-Voting Shares
REIT    Real Estate Investment Trust

 

 

G L O S S A R Y   O F   T E R M S   U S E D   I N   T H I S   R E P O R T

   77

 

Want to know more?

iShares.com   |   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 FTSE Russell or S&P Dow Jones Indices LLC, nor do these companies make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the companies listed above.

©2022 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-AR-401-0422

 

 

 

LOGO

   LOGO

 

LOGO

  APRIL 30, 2022

 

 

    

   

2022 Annual Report

 

 

iShares Trust

·  iShares MSCI KLD 400 Social ETF | DSI | NYSE Arca

·  iShares MSCI USA ESG Select ETF | SUSA | NYSE Arca

·  iShares U.S. Basic Materials ETF | IYM | NYSE Arca

·  iShares U.S. Consumer Discretionary ETF | IYC | NYSE Arca

·  iShares U.S. Consumer Staples ETF | IYK | NYSE Arca

·  iShares U.S. Financial Services ETF | IYG | NYSE Arca

·  iShares U.S. Financials ETF | IYF | NYSE Arca

·  iShares U.S. Industrials ETF | IYJ | Cboe BZX

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of April 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets which characterized 2021. The U.S. economy shrank in the first quarter of 2022, ending the run of robust growth which followed reopening and the development of the COVID-19 vaccines. Rapid changes in consumer spending led to supply constraints and elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed but mostly down, as persistently high inflation drove investors’ expectations for higher interest rates, particularly weighing on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks were nearly flat. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as increasing inflation drove investors’ expectations for higher interest rates. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is growing faster than expected, raised interest rates in March 2022, the first increase of this business cycle. Furthermore, the Fed wound down its bond-buying programs and raised the prospect of reversing the flow and reducing its balance sheet. Continued high inflation and the Fed’s new tone led many analysts to anticipate that the Fed will continue to raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metal markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption are likely to drive already-high commodity prices even higher. We believe sharp increases in energy prices will exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks amid the ebb and flow of the pandemic, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will err on the side of protecting employment, even at the expense of higher inflation.

In this environment, we favor an overweight to equities, as valuations have become more attractive and inflation-adjusted interest rates remain low. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and healthcare, are particularly attractive in the long term. We favor U.S. equities due to strong earnings momentum, while Japanese equities should benefit from supportive monetary and fiscal policy. We are underweight credit overall, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities for additional yield. We believe that international diversification and a focus on sustainability and quality can help provide portfolio resilience.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of April 30, 2022
     
     6-Month    12-Month 
   

U.S. large cap equities
(S&P 500® Index)

      (9.65)%      0.21%
   

U.S. small cap equities
(Russell 2000® Index)

   (18.38)     (16.87)
   

International equities
(MSCI Europe, Australasia, Far East Index)

   (11.80)     (8.15)
   

Emerging market equities
(MSCI Emerging Markets Index)

   (14.15)     (18.33)
   

3-month Treasury bills (ICE BofA 3-Month U.S. Treasury Bill Index)

   0.07   0.08
   

U.S. Treasury securities
(ICE BofA 10-Year U.S. Treasury Index)

   (10.29)     (8.86)
   

U.S. investment grade bonds
(Bloomberg U.S. Aggregate Bond Index)

    (9.47)     (8.51)
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

    (7.90)     (7.88)
   

U.S. high yield bonds (Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)

    (7.40)      (5.22)
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.
 

 

 

2  

T H I S   P A G E   I S   N O T   P A R T   O F   Y O U R   F U N D   R E P O R T

Table of Contents

 

      Page  

The Markets in Review

      2  

Market Overview

      4  

Fund Summary

      5  

About Fund Performance

      21  

Shareholder Expenses

      21  

Schedules of Investments

      22  

Financial Statements

   

Statements of Assets and Liabilities

      52  

Statements of Operations

      54  

Statements of Changes in Net Assets

      56  

Financial Highlights

      60  

Notes to Financial Statements

      68  

Report of Independent Registered Public Accounting Firm

      79  

Important Tax Information (Unaudited)

      80  

Statement Regarding Liquidity Risk Management Program

      81  

Supplemental Information

      82  

Trustee and Officer Information

      83  

General Information

      86  

Glossary of Terms Used in this Report

      87  

 

 

 

Market Overview

 

iShares Trust

Domestic Market Overview

U.S. stocks declined for the 12 months ended April 30, 2022 (“reporting period”), when the Russell 3000® Index, a broad measure of U.S. equity market performance, returned -3.11%. Equities advanced early in the reporting period as high consumer spending drove robust economic growth and authorities eased most remaining coronavirus pandemic-related restrictions. Increased economic activity led to strong corporate earnings as companies reaped the benefits of the recovery. However, significant challenges emerged in the second half of the reporting period which erased earlier gains, including high inflation, rising interest rates, slower economic growth, and the impacts of Russia’s invasion of Ukraine.

The U.S. economy grew briskly over the final three quarters of 2021, powered primarily by consumers with strong household balance sheets. Record-high personal savings rates allowed consumers to spend at an elevated level throughout much of the reporting period, releasing pent-up demand for goods and services. Hiring increased as businesses restored capacity, and unemployment decreased substantially, falling to 3.6% in April 2022 — only marginally higher than the pre-pandemic rate of 3.5% in February 2020. However, growth stalled in the first quarter of 2022, and the economy contracted amid lower inventory investment and an inflation-driven decline in consumer sentiment.

The rapid increase in consumer spending drove a significant rise in inflation. Supply chains for many goods were disrupted by the pandemic and could not quickly adapt to the rapid rebound in demand. In one prominent example of this dynamic, a global shortage of semiconductors created bottlenecks in the production of many goods, including automobiles. Consequently, the price of used cars rose sharply during the reporting period and played a notable role in overall inflation. Oil prices also rose significantly as demand increased and a lack of investment constrained the supply of oil. The strong job market led to higher wages, particularly at the lower end of the market. These factors drove prices higher in many areas of the economy. By the end of the reporting period, the consumer price index, a widely used measure of prices in the U.S., grew at the fastest rate since 1982.

Rising inflation led to a shift in policy from the U.S. Federal Reserve Bank (“Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy in the second half of the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities and discussed plans to begin reducing its balance sheet by selling bonds later in 2022. In March 2022, it raised short-term interest rates and indicated that further increases could be necessary. Interest rates rose significantly in anticipation of further tightening, leading to higher borrowing costs for businesses.

Russia’s invasion of Ukraine in late February 2022 led to substantial disruptions to the global economy and increased uncertainty in financial markets, exacerbating inflation and weighing on U.S. corporate earnings. The invasion was met with widespread condemnation and sanctions imposed by many countries on the Russian state, businesses, and individuals. As Russia is a top producer of both oil and natural gas, global supply concerns led to sharp volatility in U.S. energy markets.

 

 

4  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® MSCI KLD 400 Social ETF

 

Investment Objective

The iShares MSCI KLD 400 Social ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. companies that have positive environmental, social and governance characteristics, as represented by the MSCI KLD 400 Social 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.

Performance

 

      Average Annual Total Returns             Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (0.95 )%       13.89 %       13.43 %        (0.95 )%       91.58 %       252.55 % 

Fund Market

     (0.97 )       13.87        13.43         (0.97 )       91.47        252.56  

Index

     (0.71 )       14.24        13.89               (0.71 )       94.56        267.19  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending
      Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
  Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

     Annualized
Expense
Ratio 		 
 
 
   

$      1,000.00

        $        869.70          $        1.16               $      1,000.00          $      1,023.60          $        1.25          0.25 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   5

Fund Summary as of April 30, 2022   (continued)    iShares® MSCI KLD 400 Social ETF

 

Portfolio Management Commentary

Investor interest in the environmental, social, and governance (“ESG”) attributes of companies continued to grow during the reporting period as ESG investments reached a record level in 2021. The impact of the COVID-19 pandemic on public health was a motivating factor for many businesses to reexamine their ESG policies, and the pandemic’s disruption led many managers to regard environmental goals as more achievable. In August 2021, the Securities and Exchange Commission (“SEC”) approved a rule change requiring disclosures to encourage diversity on the boards of public companies. A rule proposed by the Department of Labor in October 2021 would expand the ability of retirement plan sponsors to offer ESG products, reversing the stance of the prior administration. And in March 2022, the SEC proposed a rule to require climate-related disclosures from public companies.

In this environment, the index reported negative performance for the reporting period. The information technology sector was the leading detractor from the Index’s return, driven primarily by the information technology services industry. Digital payments companies were pressured by inflation, which led consumers to reduce their spending, and by supply chain disruptions, which negatively impacted cross-border payments. The communication services sector also faced headwinds, particularly the media & entertainment industry. The resumption of in-person activities dampened demand for home entertainment providers.

In terms of relative performance, the Index outperformed the broader market, as represented by the MSCI USA Investable Market Index. Relative to the broader market, the ESG selection process leads to relatively minor overweight and underweight positions in stocks with higher or lower ESG characteristics, respectively. Consequently, the Index achieved an MSCI ESG quality score of 8.5 and an MSCI ESG fund rating of AA. Security selection in the consumer discretionary and communication services sectors were the largest contributors to the Index’s relative performance, while an underweight to the energy sector detracted from results. The Index’s largest overweight positions were in the information technology and consumer staples sectors and the largest underweights were in the healthcare and financials sectors. Those allocations contributed modestly to the Index’s return on a net basis.

Portfolio Information

 

ALLOCATION BY SECTOR

 

 

   
Sector    

 Percent of

Total Investments

  

(a) 

Information Technology

     32.3 % 

Consumer Discretionary

     12.0  

Health Care

     11.0  

Communication Services

     9.7  

Financials

     9.4  

Industrials

     8.3  

Consumer Staples

     8.1  

Real Estate

     3.8  

Materials

     2.9  

Energy

     1.5  

Utilities

     1.0  

TEN LARGEST HOLDINGS

 

 

   
Security    

 Percent of

Total Investments

  

(a) 

Microsoft Corp.

     10.3 % 

Tesla Inc.

     3.9  

Alphabet Inc., Class A

     3.6  

Alphabet Inc., Class C

     3.4  

NVIDIA Corp.

     2.4  

Procter & Gamble Co. (The)

     2.0  

Visa Inc., Class A

     1.8  

Mastercard Inc., Class A

     1.7  

Home Depot Inc. (The)

     1.6  

Coca-Cola Co. (The)

     1.4  
 
  (a) 

Excludes money market funds.

 

 

 

6  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® MSCI USA ESG Select ETF

 

Investment Objective

The iShares MSCI USA ESG Select ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. companies that have positive environmental, social and governance characteristics, as represented by the MSCI USA Extended ESG Select 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year     5 Years      10 Years  

Fund NAV

     (2.77 )%       13.82 %       12.90 %        (2.77 )%      91.02 %       236.58 % 

Fund Market

     (2.85 )       13.82        12.90         (2.85 )      91.02        236.54  

Index

     (2.53 )       14.17        13.36               (2.53 )      93.95        250.56  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

       

 Ending

      Account Value

(04/30/22)

  

 

 

       

 Expenses

Paid During

the Period

  

 

 (a) 

            

 Beginning

Account Value

(11/01/21)

  

 

 

       

 Ending

  Account Value

(04/30/22)

 

 

       

 Expenses

Paid During

the Period

  

 

 (a) 

       

     Annualized

Expense

Ratio

  

 

 

   

$      1,000.00

        $        862.40          $         1.15               $      1,000.00          $      1,023.60          $          1.25          0.25 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   7

Fund Summary as of April 30, 2022   (continued)    iShares® MSCI USA ESG Select ETF

 

Portfolio Management Commentary

Investor interest in the environmental, social, and governance (“ESG”) attributes of companies continued to grow during the reporting period as ESG investments reached a record level in 2021. The impact of the COVID-19 pandemic on public health was a motivating factor for many businesses to reexamine their ESG policies, and the pandemic’s disruption led many managers to regard environmental goals as more achievable. In August 2021, the Securities and Exchange Commission (“SEC”) approved a rule change requiring disclosures to encourage diversity on the boards of public companies. A rule proposed by the Department of Labor in October 2021 would expand the ability of retirement plan sponsors to offer ESG products, reversing the stance of the prior administration. And in March 2022, the SEC proposed a rule to require climate-related disclosures from public companies.

The index experienced negative performance for the year. The communications services sector detracted the most from the Index’s return, driven primarily by the media & entertainment industry. The resumption of in-person activities dampened demand for home entertainment providers. The industrials sector also declined, as supply chain disruptions due to semiconductor shortages weighed on earnings in the capital goods industry. Digital payments companies in the information technology sector were pressured by inflation, which lowered consumer spending, and supply chain complications, which negatively impacted cross-border payments.

On the upside, the consumer staples sector gained, driven primarily by the food products industry. Consumer staples companies are relatively resilient to inflation, as their products are necessities that consumers are hesitant to trim from household budgets. The energy sector was another contributor to the Index’s return amid rising oil and gas prices.

In terms of relative performance, the Index underperformed the broader market, as represented by the MSCI USA Index. Relative to the broader market, the ESG selection process leads to relatively minor overweight and underweight positions in stocks with higher or lower ESG characteristics, respectively. Consequently, the Index achieved an MSCI ESG quality score of 9.6 and an MSCI ESG fund rating of AAA. Stock selection in the healthcare and industrials sectors and an underweight to the energy sector detracted from the Index’s relative performance.

Portfolio Information

 

ALLOCATION BY SECTOR

 

 

   
Sector    

 Percent of

Total Investments

  

(a) 

Information Technology

     31.0 % 

Health Care

     11.2  

Financials

     11.2  

Consumer Staples

     10.1  

Industrials

     10.0  

Consumer Discretionary

     9.5  

Communication Services

     5.9  

Real Estate

     3.7  

Materials

     3.4  

Energy

     2.7  

Utilities

     1.3  

TEN LARGEST HOLDINGS

 

 

   
Security    

 Percent of

Total Investments

  

(a) 

Microsoft Corp.

     5.1 % 

Apple Inc.

     5.0  

Alphabet Inc., Class A

     2.1  

Tesla Inc.

     2.0  

Home Depot Inc. (The)

     1.9  

NVIDIA Corp.

     1.8  

PepsiCo Inc.

     1.6  

Kellogg Co.

     1.5  

Texas Instruments Inc.

     1.5  

Johnson Controls International PLC

     1.4  
 
  (a)

Excludes money market funds.

 

 

 

8  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® U.S. Basic Materials ETF

 

Investment Objective

The iShares U.S. Basic Materials ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the basic materials sector, as represented by the Russell 1000 Basic Materials RIC 22.5/45 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year     5 Years      10 Years  

Fund NAV

     9.13 %       11.42 %       9.17 %               9.13 %      71.72 %       140.42 % 

Fund Market

     9.12        11.43        9.17         9.12       71.78        140.52  

Index(a)

    9.58        11.83        9.60         9.58       74.91        150.13  

Dow Jones U.S. Basic Materials IndexTM

     7.67        11.44        9.41         7.67       71.87        145.78  

Russell 1000 Basic Materials RIC 22.5/45 Capped Index(b)

    N/A        N/A        N/A               N/A       N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Basic Materials IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Basic Materials RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Basic Materials IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Basic Materials RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was 8.23%.

 

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

       

 Ending

      Account Value

(04/30/22)

  

 

 

       

 Expenses

Paid During

the Period

  

 

 (a) 

            

 Beginning

Account Value

(11/01/21)

  

 

 

       

 Ending

  Account Value

(04/30/22)

 

 

       

 Expenses

Paid During

the Period

  

 

 (a) 

       

     Annualized

Expense

Ratio

  

 

 

   

$      1,000.00

        $      1,062.10          $        1.99               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   9

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Basic Materials ETF

 

Portfolio Management Commentary

Stocks of U.S. basic materials companies rose moderately during the reporting period. Metals and mining companies in particular benefited from high prices for commodities. Prices for steel and gold surged late in the reporting period as Russia’s invasion of Ukraine and subsequent Western sanctions disrupted trade flows and increased global economic uncertainty.

The U.S. steel industry contributed the most to the Index’s return amid record high steel prices. Demand for steel outstripped supply for much of 2021. Steel mills, which initially were slow to ramp up after pandemic-related shutdowns, struggled to meet growing demand during the economic recovery even as production neared full capacity. However, steel prices declined sharply in early 2022 after demand from major manufacturers such as automakers and appliance companies suddenly weakened. Supply concerns prompted a rebound in steel prices late in the reporting period as the war in Ukraine curtailed the import of key steel-making products such as pig iron, which is mixed with scrap iron to make steel. Steel company stocks rallied to record highs amid surging corporate profits, increased dividends to shareholders, and announced plans to buy back stocks.

The U.S. gold industry also boosted the Index’s performance. Gold prices retreated from record highs reached in 2020 during the pandemic but strengthened toward the end of the reporting period amid rising inflation rates and geopolitical uncertainty stemming from Russia’s invasion of Ukraine. Higher gold prices sent stocks in gold mining companies soaring despite rising production costs. Production disruptions stemming from coronavirus-related shutdowns escalated costs for gold mining companies. Cost inflation related to labor, energy, and materials also partially offset companies’ gains from higher gold prices.

Portfolio Information

 

ALLOCATION BY SECTOR

 

 

   
Sector    

 Percent of

Total Investments

  

(a) 

Chemicals

     53.6 % 

Metals & Mining

     34.7  

Trading Companies & Distributors

     5.2  

Containers & Packaging

     5.0  

Other (each representing less than 1%)

     1.5  

TEN LARGEST HOLDINGS

 

 

   
Security    

 Percent of

Total Investments

  

(a) 

Freeport-McMoRan Inc.

     8.6 % 

Newmont Corp.

     8.5  

Air Products and Chemicals Inc.

     7.6  

Dow Inc.

     7.2  

Ecolab Inc.

     6.2  

Nucor Corp.

     6.2  

Fastenal Co.

     4.4  

International Flavors & Fragrances Inc.

     4.3  

LyondellBasell Industries NV, Class A

     4.0  

Mosaic Co. (The)

     3.5  
 

 

  (a) 

Excludes money market funds.

 

 

 

10  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022       iShares® U.S. Consumer Discretionary ETF

 

Investment Objective

The iShares U.S. Consumer Discretionary ETF (the “Fund”) (formerly the iShares U.S. Consumer Services ETF) seeks to track the investment results of an index composed of U.S. equities in the consumer discretionary sector, as represented by the Russell 1000 Consumer Discretionary 40 Act 15/22.5 Daily 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.

Performance

 

      Average Annual Total Returns             Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year     5 Years      10 Years  

Fund NAV

     (14.16 )%       10.92 %       13.58 %        (14.16 )%      67.90 %       257.19 % 

Fund Market

     (14.18 )       10.91        13.57         (14.18 )      67.84        257.02  

Index(a)

    (13.85 )       11.39        14.07         (13.85 )      71.46        272.90  

Dow Jones U.S. Consumer Services Capped (TR) IndexTM(b)

    (15.90 )       N/A        N/A         (15.90 )      N/A        N/A  

Russell 1000 Consumer Discretionary 40 Act 15/22.5 Daily Capped Index(c)

    N/A        N/A        N/A               N/A       N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through June 23, 2019 reflects the performance of the Dow Jones U.S. Consumer Services Total Return Index. Index performance beginning on June 24, 2019 through September 19, 2021 reflects the performance of the Dow Jones U.S. Consumer Services Capped (TR) IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Consumer Discretionary 40 Act 15/22.5 Daily Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Consumer Services Capped (TR) IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Dow Jones U.S. Consumer Services Capped (TR) IndexTM was April 15, 2019. The cumulative total return for this index for the period April 15, 2019 2019 through April 30, 2022 was 26.15%.

 
  (c) 

The inception date of the Russell 1000 Consumer Discretionary 40 Act 15/22.5 Daily Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was -14.98%.

 

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

Account Value

(04/30/22)

 

 

 

       

Expenses
Paid During

the Period

  
 

 (a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       


 Ending

  Account Value
(04/30/22)

 

 
 

       


 Expenses

Paid During
the Period 

  

 
(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$      1,000.00

        $        796.20          $      1.74               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   11

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Consumer Discretionary ETF

 

Portfolio Management Commentary

U.S. consumer discretionary stocks declined for the reporting period, led by declines in companies that posted substantial gains during the early part of the coronavirus pandemic. Rising inflation and corresponding interest rate increases by the Fed constrained consumer spending, casting doubt on the economy’s trajectory and weighing on the consumer discretionary sector.

Within the sector, the internet and the direct marketing retail industry detracted the most from the Index’s return. Online marketplaces for consumer goods, whose stocks surged early in the pandemic, declined. The industry’s largest deliverer of goods sold online reported its first quarterly earnings loss in seven years as overall online sales of U.S. retail goods fell steadily late in the reporting period. That sales decline coincided with rising inflation and the resumption of more in-store shopping by consumers, as pandemic restrictions eased and COVID-19 vaccination rates increased. Stocks in the consumer durables industry also declined amid challenges in production and supply chains, which negatively affected inventories in the textile and apparel industry.

The communication services sector also detracted from the Index’s return. In the media and entertainment industry, many companies sought to expand their video streaming services, but several of those companies, whose stocks surged early in the pandemic, encountered shrinking subscription growth in their streaming businesses throughout the reporting period.

On the upside, companies within the consumer staples sector contributed to the Index’s performance, benefiting broadly from the easing in pandemic-related restrictions. In particular, large hypermarket and supercenter chains advanced amid an increase in revenues and profits as shoppers increasingly returned to their stores throughout the reporting period.

Portfolio Information

 

ALLOCATION BY SECTOR

 

 

Sector  

Percent of    

Total Investments(a)

 

Retailing

   34.0%

Consumer Services

   17.3   

Automobiles & Components

   12.4   

Media & Entertainment

   11.9   

Consumer Durables & Apparel

   9.0   

Food & Staples Retailing

   8.8   

Transportation

   3.5   

Household & Personal Products

   1.4   

Commercial & Professional Services

   1.0   

Other (each representing less than 1%)

   0.7   

 

TEN LARGEST HOLDINGS

 

 

Security  

Percent of    

Total Investments(a)

 

Amazon.com Inc.

   11.5%

Tesla Inc.

   8.6   

Home Depot Inc. (The)

   4.6   

Walmart Inc.

   4.5   

Costco Wholesale Corp.

   4.3   

McDonald’s Corp.

   4.0   

Walt Disney Co. (The)

   3.6   

Nike Inc., Class B

   3.3   

Lowe’s Companies Inc.

   2.9   

Target Corp.

   2.3   

 

 

 

  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022       iShares® U.S. Consumer Staples ETF

 

Investment Objective

The iShares U.S. Consumer Staples ETF (the “Fund”) (formerly the iShares U.S. Consumer Goods ETF) seeks to track the investment results of an index composed of U.S. equities in the consumer staples sector, as represented by the Russell 1000 Consumer Staples RIC 22.5/45 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.

Performance

 

      Average Annual Total Returns             Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     15.33 %       13.91 %       13.16 %        15.33 %       91.75 %       244.38 % 

Fund Market

     15.38        13.91        13.16         15.38        91.75        244.38  

Index(a)

    15.82        14.38        13.65         15.82        95.81        259.41  

Dow Jones U.S. Consumer Goods IndexTM

    3.75        11.89        12.40         3.75        75.40        221.95  

Russell 1000 Consumer Staples RIC 22.5/45 Capped Index(b)

    N/A        N/A        N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Consumer Goods IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Consumer Staples RIC 22.5/45 Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Consumer Goods IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Consumer Staples RIC 22.5/45 Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was 14.41%.

 

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       

 Ending

  Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$      1,000.00

        $       1,128.70          $       2.06               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   13

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Consumer Staples ETF

 

Portfolio Management Commentary

Consumer staples stocks in the U.S. advanced for the reporting period, outpacing the broader equity market as coronavirus pandemic restrictions eased, boosting demand for food, beverages, and other basic retail goods as shoppers returned to stores. As market volatility rose, investors turned to consumer staples, which are traditionally regarded as relatively steady businesses in volatile market environments.

The food, beverage, and tobacco industry contributed the most to the Index’s return. Soft drink manufacturers drove contribution amid robust demand, which boosted their revenues and profits. These companies generally remained upbeat about their growth prospects and financial outlooks, as they were able to raise prices to counteract surging raw material costs, suspension of business in Russia, and expectations of a slowdown in demand from Chinese markets fighting to contain the coronavirus pandemic. Tobacco companies also contributed to the Index’s performance. Sales of cigarettes continued their long-term decline, but tobacco firms compensated by continuing to raise prices, and investors were attracted to the relatively significant dividends these firms offer.

Food products companies contributed meaningfully to the Index’s performance, benefiting from the return to more typical retail shopping patterns. Despite advancing inflation, sales volumes of many well-known, household brands increased, raising profits. Sales of packaged foods and meats, including items ranging from candy to fresh chicken, increased, even as more restaurants reopened for regular business. Stocks of agricultural commodities firms also advanced, benefiting from increased demand and the disruption of crop shipments due to the war in Ukraine.

In the healthcare sector, healthcare distributors contributed notably to the Index’s return as demand for Covid-19 vaccines and tests boosted earnings. The consumer discretionary sector also contributed, as burgeoning demand for electrical vehicles supported auto manufacturers.

Portfolio Information

 

ALLOCATION BY SECTOR

 

 

Sector  

Percent of    

Total Investments(a)

 

Food, Beverage & Tobacco

   58.9%

Household & Personal Products

   24.9   

Health Care Equipment & Services

   7.3   

Food & Staples Retailing

   6.8   

Materials

   2.1   

 

TEN LARGEST HOLDINGS

 

 

Security  

Percent of    

Total Investments(a)

 

Procter & Gamble Co. (The)

   17.1%

Coca-Cola Co. (The)

   11.1   

PepsiCo Inc.

   10.5   

Philip Morris International Inc.

   6.9   

CVS Health Corp.

   3.9   

Altria Group Inc.

   3.7   

Mondelez International Inc., Class A

   3.4   

Colgate-Palmolive Co.

   2.9   

Archer-Daniels-Midland Co.

   2.5   

Kimberly-Clark Corp.

   2.3   

 

 

 

  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022       iShares® U.S. Financial Services ETF

 

Investment Objective

The iShares U.S. Financial Services ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the financial services sector, as represented by the Dow Jones U.S. Financial Services IndexTM (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.

Performance

 

      Average Annual Total Returns             Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (9.57 )%       10.32 %       13.09 %        (9.57 )%       63.38 %       242.02 % 

Fund Market

     (9.58 )       10.31        13.09         (9.58 )       63.35        242.14  

Index

     (9.23 )       10.77        13.56               (9.23 )       66.74        256.59  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       

 Ending

Account Value

(04/30/22)

 

 

 

       


 Expenses

Paid During
the Period

  

 
 (a) 

       

     Annualized
Expense
Ratio 		 
 
 
   

$      1,000.00

        $       822.60          $      1.76               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   15

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Financial Services ETF

 

Portfolio Management Commentary

U.S. financial services stocks declined significantly during the reporting period even as interest rates rose, which typically benefits companies that provide lending services. The slowing economy weighed on financial services companies as the impact of rising inflation diminished consumer and investor confidence, despite solid profits throughout much of the reporting period. The war in Ukraine exacerbated inflationary concerns, while also negatively impacting revenues.

Banks were the largest detractors from the Index’s return, as growth across multiple business areas softened. Investment banking revenues fell amid the worsening macroeconomic climate, as the pipeline for new initial public offerings slowed to its lowest tally in years. Trading revenues decreased as the Fed scaled back its pandemic-era asset purchases, though they later recovered as market volatility increased amid geopolitical tensions. Many banks also collectively set aside billions of dollars to offset potential losses from the Russia-Ukraine conflict and broader economic turmoil; these moves were reported as credit charges to the banks’ balance sheets, which reduced income. Additionally, inflation and labor shortages led to increased operating costs.

The diversified financials industry was also a notable detractor from the Index’s return. Despite increased profitability, asset managers felt the impact of reduced inflows toward the end of the reporting period, as rising inflation and the conflict in Ukraine sapped investor enthusiasm.

Companies within the data processing and outsourced services industry that process payments also weighed on the Index’s performance. Growth in cross-border transactions and digital payments, both linked to a post-pandemic recovery in travel volumes, were offset by the impact of weaker earnings outlooks, regulatory investigations, and decisions from large vendors to stop accepting some services in select regions.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of   

Total Investments(a)

Diversified Financials

   41.0%

Banks

   40.2   

Software & Services

   18.5   

Insurance

   0.3   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of   

Total Investments(a)

Visa Inc., Class A

   9.8%

JPMorgan Chase & Co.

   9.8   

Mastercard Inc., Class A

   8.7   

Bank of America Corp.

   7.1   

Wells Fargo & Co.

   4.7   

S&P Global Inc.

   3.7   

Morgan Stanley

   3.2   

American Express Co.

   3.0   

Goldman Sachs Group Inc. (The)

   2.9   

Charles Schwab Corp. (The)

   2.8   
 
  (a) 

Excludes money market funds.

 

 

 

16  

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Fund Summary as of April 30, 2022    iShares® U.S. Financials ETF

 

Investment Objective

The iShares U.S. Financials ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the financials sector, as represented by the Russell 1000 Financials 40 Act 15/22.5 Daily 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.

Performance

 

      Average Annual Total Returns             Cumulative Total Returns  
     1 Year      5 Years     10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (4.11 )%       9.75 %      12.00 %        (4.11 )%       59.24 %       210.61 % 

Fund Market

     (4.21 )       9.74       12.00               (4.21 )       59.16        210.54  

Index(a)

    (3.74 )       10.18       12.46         (3.74 )       62.40        223.71  

Dow Jones U.S. Financials Capped (TR) IndexTM(b)

    (1.41 )       N/A       N/A         (1.41 )       N/A        N/A  

Russell 1000 Financials 40 Act 15/22.5 Daily Capped Index(c)

    N/A        N/A       N/A               N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through June 23, 2019 reflects the performance of the Dow Jones U.S. Financials Total Return Index. Index performance beginning on June 24, 2019 through September 19, 2021 reflects the performance of the Dow Jones U.S. Financials Capped (TR) IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Financials 40 Act 15/22.5 Daily Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Financials Capped (TR) IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Dow Jones U.S. Financials Capped (TR) IndexTM was April 15, 2019. The cumulative total return for this index for the period April 15, 2019 through April 30, 2022 was 35.15%.

 
  (c) 

The inception date of the Russell 1000 Financials 40 Act 15/22.5 Daily Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was -4.31%.

 

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      


 Ending

      Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period

  

 

 (a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       

 Ending

Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$      1,000.00

        $        855.70          $        1.79               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   17

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Financials ETF

 

Portfolio Management Commentary

U.S. financials stocks declined during the reporting period. The inflation rate rose to a 40-year high due to the coronavirus pandemic and rising energy prices and was further exacerbated by the Russian invasion of Ukraine. Yields on U.S. Treasuries rose significantly, and investors grew concerned that actions by the Fed to counter inflation, especially raising interest rates, will weigh on the economy.

While an increasing interest rate environment generally supports banks, bank stocks nonetheless detracted the most from the Index’s return. Bank profits fell as volatile equities markets led to fewer stock listings and acquisitions. Additionally, the ongoing war in Europe threatened to negatively impact global economic activity. Bank stocks were also constrained by the Fed’s reduction and eventual halt of asset purchases. Investor concern also rose that higher inflation will reduce investment and borrowing by businesses and increase loan defaults. In the diversified financials industry, the value of assets under management declined due to exposure to Russia and market volatility, raising the possibility of reduced performance fees.

The information technology sector was also a detractor from the Index’s return. Stocks of payment processing companies in the IT services industry declined amid investor concern about the European economy, reducing financial transaction volumes. Additionally, companies suspended services to Russia to comply with government sanctions, reducing revenues.

On the upside, the real estate sector contributed meaningfully to the Index’s performance. In the specialized real estate investment trusts (“REITs”) industry, the ongoing rollout of 5G technology benefited companies that rent space on towers for wireless communication equipment. Similarly, continued growth in global demand for data centers, accelerated by the pandemic, drove strong revenues of REITs that provide space in online data storage facilities.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of    

Total Investments(a)

Diversified Financials

   43.7%

Banks

   33.0   

Insurance

   22.9   

Software & Services

   0.4   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of    

Total Investments(a)

Berkshire Hathaway Inc., Class B

   10.4%

JPMorgan Chase & Co.

   6.8   

Bank of America Corp.

   5.3   

Wells Fargo & Co.

   4.3   

S&P Global Inc.

   3.4   

Morgan Stanley

   2.8   

Goldman Sachs Group Inc. (The)

   2.6   

Charles Schwab Corp. (The)

   2.6   

Citigroup Inc.

   2.5   

BlackRock Inc.

   2.3   
 
  (a) 

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022    iShares® U.S. Industrials ETF

 

Investment Objective

The iShares U.S. Industrials ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities in the industrials sector, as represented by the Russell 1000 Industrials 40 Act 15/22.5 Daily 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.

Performance

 

      Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     (10.75 )%       10.02 %    12.18%       (10.75 )%       61.18 %       215.74 % 

Fund Market

     (10.86 )       10.00     12.18                (10.86 )       61.08        215.66  

Index(a)

    (10.41 )       10.47     12.66          (10.41 )       64.55        229.51  

Dow Jones U.S. Industrials IndexTM

     (11.12 )       10.30     12.57          (11.12 )       63.25        226.90  

Russell 1000 Industrials 40 Act 15/22.5 Daily Capped Index(b)

    N/A        N/A     N/A                N/A        N/A        N/A  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

  (a) 

Index performance through September 19, 2021 reflects the performance of the Dow Jones U.S. Industrials IndexTM. Index performance beginning on September 20, 2021 reflects the performance of the Russell 1000 Industrials 40 Act 15/22.5 Daily Capped Index, which, effective as of September 20, 2021, replaced the Dow Jones U.S. Industrials IndexTM as the underlying index of the fund.

 
  (b) 

The inception date of the Russell 1000 Industrials 40 Act 15/22.5 Daily Capped Index was July 9, 2021. The cumulative total return for this index for the period July 9, 2021 through April 30, 2022 was -13.42%.

 

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 21 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      


 Ending

      Account Value
(04/30/22)

 

 
 

       


 Expenses

Paid During
the Period 

  

 
(a) 

            


 Beginning

Account Value
(11/01/21)

 

 
 

       


 Ending

  Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period

  

 

 (a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$      1,000.00

        $        880.90          $        1.82               $      1,000.00          $      1,022.90          $        1.96          0.39 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   19

Fund Summary as of April 30, 2022   (continued)    iShares® U.S. Industrials ETF

 

Portfolio Management Commentary

U.S. industrials stocks declined significantly during the reporting period as persistent supply-chain shortages and outbreaks of new COVID-19 variants led to a reduction in manufacturing activity. Persistent inflation and tighter Fed monetary policy raised concerns about an economic slowdown and its effect on corporate earnings growth.

The information technology sector detracted the most from the Index’s return, particularly the data processing and outsourced services industry. Companies specializing in payments technology faced headwinds as the pandemic-era surge in e-commerce activity slowed following the end of the stimulus measures and amid rising inflation. A decrease in cross-border transactions, along with the loss of enterprise clients who opted to develop their own payments software, led to a slump in payment volumes. Lower-than-expected earnings reports and an unanticipated reduction in estimated user growth rates drove additional selling of payment company stocks. Although companies sought growth by expanding into new areas, such as the cryptocurrency market, concerns over potential regulation sapped investor enthusiasm. Fears over increased competition from financial technology startups also negatively impacted well established companies in the industry.

In the industrials sector, companies in the capital goods industry, which includes manufacturers of heavy equipment and machinery, weighed on the Index’s return as production issues and supply-chain constraints impacted revenues. Sales volumes at industrial machinery firms fell, even amid strong demand, as a result of continuing raw material shortages. The rising prices of these materials and a withdrawal from the Russian market as a result of the invasion of Ukraine also created headwinds. Industrial conglomerates also detracted from performance. Labor shortages, rising freight costs, and the limited availability of materials reduced revenues and growth prospects.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of    

Total Investments(a)

Capital Goods

   42.3%

Software & Services

   28.6   

Transportation

   11.7   

Materials

   6.7   

Diversified Financials

   3.6   

Commercial & Professional Services

   3.4   

Technology Hardware & Equipment

   2.2   

Pharmaceuticals, Biotechnology & Life Sciences

   1.0   

Other (each representing less than 1%)

   0.5   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of    

Total Investments(a)

Visa Inc., Class A

   7.2%

Mastercard Inc., Class A

   6.4   

Accenture PLC, Class A

   3.9   

Union Pacific Corp.

   3.1   

Raytheon Technologies Corp.

   2.9   

Honeywell International Inc.

   2.7   

United Parcel Service Inc., Class B

   2.7   

Caterpillar Inc.

   2.3   

American Express Co.

   2.2   

Deere & Co.

   2.1   
 
  (a) 

Excludes money market funds.

 

 

 

20  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at 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. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask 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. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in a Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

A B O U T   F U N D   P E R F O R M A N C E / S H A R E H O L D E R   E X P E N S E S

   21

Schedule of Investments

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Aerospace & Defense — 0.0%            

Spirit AeroSystems Holdings Inc., Class A

     19,697     $ 828,062  
   

 

 

  
Air Freight & Logistics — 0.8%            

CH Robinson Worldwide Inc.

     24,330       2,582,629  

Expeditors International of Washington Inc.

     31,559       3,126,550  

United Parcel Service Inc., Class B

     136,508       24,568,710  
   

 

 

  
          30,277,889  
Airlines — 0.1%            

Delta Air Lines Inc.(a)

    29,485       1,268,740  

Southwest Airlines Co.(a)

    27,282       1,274,615  
   

 

 

  
      2,543,355  
Auto Components — 0.2%            

Aptiv PLC(a)

    49,930       5,312,552  

Autoliv Inc.

     15,606       1,149,850  

BorgWarner Inc.

     45,031       1,658,492  
   

 

 

  
      8,120,894  
Automobiles — 3.9%            

Harley-Davidson Inc.

     28,319       1,032,227  

Lucid Group Inc.(a)(b)

    77,533       1,401,797  

Rivian Automotive Inc., Class A(a)(b)

    33,637       1,017,183  

Tesla Inc.(a)

    159,696       139,056,889  
   

 

 

  
      142,508,096  
Banks — 1.7%            

Bank of Hawaii Corp.

     7,689       571,600  

Cathay General Bancorp.

     13,999       561,220  

Citizens Financial Group Inc.

     93,567       3,686,540  

Comerica Inc.

     24,575       2,012,692  

First Republic Bank/CA

     32,603       4,865,020  

Heartland Financial USA Inc.

     7,706       337,292  

Huntington Bancshares Inc./OH

     270,959       3,563,111  

International Bancshares Corp.

     9,602       382,064  

KeyCorp.

     174,411       3,367,876  

M&T Bank Corp.

     33,606       5,600,167  

Old National Bancorp./IN

     55,367       839,364  

PNC Financial Services Group Inc. (The)

     79,130       13,143,493  

Regions Financial Corp.

     177,574       3,679,333  

SVB Financial Group(a)(b)

    10,829       5,280,653  

Truist Financial Corp.

     249,924       12,083,825  

Umpqua Holdings Corp.

     40,690       673,013  

Zions Bancorp. NA

     29,310       1,656,308  
   

 

 

  
      62,303,571  
Beverages — 2.7%            

Coca-Cola Co. (The)

     767,657       49,598,319  

Keurig Dr Pepper Inc.

     133,105       4,978,127  

PepsiCo Inc.

     258,643       44,411,589  
   

 

 

  
      98,988,035  
Biotechnology — 3.0%            

AbbVie Inc.

     330,766       48,582,910  

Amgen Inc.

     105,452       24,590,352  

Biogen Inc.(a)

    27,521       5,708,956  

BioMarin Pharmaceutical Inc.(a)

    34,348       2,794,210  

Gilead Sciences Inc.

     234,780       13,931,845  

Vertex Pharmaceuticals Inc.(a)

    47,599       13,004,999  
   

 

 

  
      108,613,272  
Building Products — 0.9%            

A O Smith Corp.

     24,918       1,455,959  

Allegion PLC

     16,828       1,922,431  
Security   Shares     Value  

Building Products (continued)

 

Builders FirstSource Inc.(a)

    35,872     $ 2,208,639  

Carrier Global Corp.

     153,932       5,890,978  

Fortune Brands Home & Security Inc.

     25,436       1,812,315  

Johnson Controls International PLC

     131,953       7,900,026  

Lennox International Inc.

     6,144       1,309,839  

Masco Corp.

     45,729       2,409,461  

Owens Corning

     18,812       1,710,575  

Trane Technologies PLC

     44,408       6,212,235  
   

 

 

  
      32,832,458  
Capital Markets — 4.1%            

Ameriprise Financial Inc.

     20,966       5,566,263  

Bank of New York Mellon Corp. (The)

     146,942       6,180,381  

BlackRock Inc.(c)

    28,408       17,745,909  

Charles Schwab Corp. (The)

     271,300       17,995,329  

CME Group Inc.

     67,265       14,753,905  

FactSet Research Systems Inc.

     7,008       2,827,658  

Franklin Resources Inc.

     56,206       1,382,106  

Intercontinental Exchange Inc.

     105,434       12,210,312  

Invesco Ltd.

     64,721       1,189,572  

Moody’s Corp.

     31,342       9,919,116  

Morgan Stanley

     251,972       20,306,423  

Northern Trust Corp.

     36,829       3,795,228  

S&P Global Inc.

     66,315       24,967,598  

State Street Corp.

     68,250       4,570,703  

T Rowe Price Group Inc.

     42,110       5,181,214  
   

 

 

  
          148,591,717  
Chemicals — 2.3%            

Air Products and Chemicals Inc.

     41,389       9,687,923  

Albemarle Corp.

     21,967       4,235,897  

Axalta Coating Systems Ltd.(a)(b)

    37,980       963,553  

Ecolab Inc.

     47,861       8,104,782  

HB Fuller Co.

     9,694       646,590  

International Flavors & Fragrances Inc.

     47,696       5,785,525  

Linde PLC

     95,846       29,900,118  

Minerals Technologies Inc.

     6,079       386,685  

Mosaic Co. (The)

     68,296       4,263,036  

PPG Industries Inc.

     44,309       5,671,109  

Sherwin-Williams Co. (The)

     46,670       12,832,383  
   

 

 

  
      82,477,601  
Commercial Services & Supplies — 0.2%  

ACCO Brands Corp.

     16,336       119,743  

Copart Inc.(a)

    40,010       4,547,136  

Deluxe Corp.

     7,848       212,524  

HNI Corp.

     7,678       273,644  

Interface Inc.

     4,996       63,399  

Steelcase Inc., Class A

     15,343       179,973  

Tetra Tech Inc.

     10,120       1,409,514  
   

 

 

  
      6,805,933  
Communications Equipment — 1.3%  

Cisco Systems Inc.

     788,925       38,641,546  

CommScope Holding Co. Inc.(a)

    39,131       235,960  

F5 Inc.(a)

    11,463       1,919,021  

Motorola Solutions Inc.

     31,624       6,757,733  

Plantronics Inc.(a)

    7,888       314,416  
   

 

 

  
      47,868,676  
Construction & Engineering — 0.2%  

EMCOR Group Inc.

     9,945       1,058,943  

Granite Construction Inc.

     8,504       252,144  

MDU Resources Group Inc.

     38,588       994,027  
 

 

 

22  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Construction & Engineering (continued)

 

Quanta Services Inc.

     26,701     $ 3,096,782  
   

 

 

  
      5,401,896  
Consumer Finance — 0.9%            

Ally Financial Inc.

     67,754       2,707,450  

American Express Co.

     123,264       21,535,453  

Discover Financial Services

     54,907       6,174,841  

Synchrony Financial

     102,516       3,773,614  
   

 

 

  
      34,191,358  
Containers & Packaging — 0.3%            

Avery Dennison Corp.

     15,568       2,811,581  

Ball Corp.

     60,675       4,924,383  

Sealed Air Corp.

     26,601       1,708,050  

Sonoco Products Co.

     18,405       1,139,454  
   

 

 

  
      10,583,468  
Distributors — 0.2%            

LKQ Corp.

     51,595       2,560,660  

Pool Corp.

     7,521       3,047,659  
   

 

 

  
      5,608,319  
Diversified Financial Services — 0.1%  

Equitable Holdings Inc.

     68,235       1,967,215  

Voya Financial Inc.

     20,170       1,273,534  
   

 

 

  
      3,240,749  
Diversified Telecommunication Services — 1.1%  

Liberty Global PLC, Class A(a)

    29,007       660,199  

Liberty Global PLC, Class C, NVS(a)

    62,825       1,488,953  

Lumen Technologies Inc.

     162,973       1,639,508  

Verizon Communications Inc.

     774,406           35,854,998  
   

 

 

  
      39,643,658  
Electric Utilities — 0.2%            

Eversource Energy

     64,523       5,639,310  
   

 

 

  
Electrical Equipment — 0.5%            

Acuity Brands Inc.

     6,481       1,117,843  

Eaton Corp. PLC

     74,573       10,814,576  

Rockwell Automation Inc.

     21,656       5,471,822  

Sensata Technologies Holding PLC(a)

    29,520       1,340,503  
   

 

 

  
      18,744,744  
Electronic Equipment, Instruments & Components — 0.8%  

Cognex Corp.

     33,179       2,243,896  

Corning Inc.

     151,379       5,327,027  

Flex Ltd.(a)

    88,152       1,453,626  

Itron Inc.(a)

    8,630       412,341  

Keysight Technologies Inc.(a)

    34,574       4,849,695  

TE Connectivity Ltd.

     61,143       7,629,424  

Trimble Inc.(a)

    46,668       3,112,756  

Zebra Technologies Corp., Class A(a)

    10,033       3,708,799  
   

 

 

  
      28,737,564  
Energy Equipment & Services — 0.2%  

Baker Hughes Co.

     154,222       4,783,966  

Core Laboratories NV

     9,052       235,352  

NOV Inc.

     73,722       1,336,580  

TechnipFMC PLC(a)

    77,388       535,525  
   

 

 

  
      6,891,423  
Entertainment — 1.4%            

Electronic Arts Inc.

     52,990       6,255,470  

Walt Disney Co. (The)(a)

    340,013       37,955,651  

Warner Bros. Discovery Inc.(a)

    414,200       7,517,730  
   

 

 

  
      51,728,851  
Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) — 3.5%

 

American Tower Corp.

     85,261     $ 20,549,606  

AvalonBay Communities Inc.

     26,095       5,936,091  

Boston Properties Inc.

     27,845       3,274,572  

Corporate Office Properties Trust

     21,502       573,888  

Digital Realty Trust Inc.

     53,055       7,752,397  

Duke Realty Corp.

     71,013       3,887,962  

Equinix Inc.

     16,759       12,051,062  

Equity Residential

     66,820       5,445,830  

Federal Realty Investment Trust

     13,025       1,524,707  

Healthpeak Properties Inc.

     101,208       3,320,634  

Host Hotels & Resorts Inc.(b)

    133,760       2,722,016  

Iron Mountain Inc.

     54,351       2,920,279  

Macerich Co. (The)

     39,531       496,114  

PotlatchDeltic Corp.

     12,305       681,574  

Prologis Inc.

     138,413       22,186,220  

SBA Communications Corp.

     20,377       7,073,060  

Simon Property Group Inc.

     61,400       7,245,200  

UDR Inc.

     57,935       3,082,721  

Ventas Inc.

     74,783       4,154,196  

Welltower Inc.

     81,568       7,407,190  

Weyerhaeuser Co.

     139,760       5,760,907  
   

 

 

  
          128,046,226  
Food & Staples Retailing — 0.4%  

Kroger Co. (The)

     132,348       7,141,498  

Sysco Corp.

     96,095       8,214,200  

United Natural Foods Inc.(a)

    10,260       440,462  
   

 

 

  
      15,796,160  
Food Products — 1.9%            

Archer-Daniels-Midland Co.

     104,571       9,365,379  

Bunge Ltd.

     26,251       2,969,513  

Campbell Soup Co.

     36,432       1,720,319  

Conagra Brands Inc.

     90,196       3,150,546  

Darling Ingredients Inc.(a)

    30,430       2,233,258  

General Mills Inc.

     113,196       8,006,353  

Hain Celestial Group Inc. (The)(a)(b)

    17,519       587,587  

Hormel Foods Corp.

     55,953       2,931,378  

Ingredion Inc.

     12,494       1,063,364  

JM Smucker Co. (The)

     20,342       2,785,430  

Kellogg Co.

     47,999       3,287,932  

Kraft Heinz Co. (The)

     126,334       5,385,618  

Lamb Weston Holdings Inc.

     27,407       1,811,603  

McCormick & Co. Inc./MD, NVS

     46,801       4,706,777  

Mondelez International Inc., Class A

     261,176       16,840,628  
   

 

 

  
      66,845,685  
Gas Utilities — 0.1%  

Atmos Energy Corp.

     24,842       2,817,083  

New Jersey Resources Corp.

     17,683       763,198  

UGI Corp.

     39,089       1,340,753  
   

 

 

  
      4,921,034  
Health Care Equipment & Supplies — 1.9%  

ABIOMED Inc.(a)

    8,508       2,438,222  

Align Technology Inc.(a)

    14,001       4,059,030  

Becton Dickinson and Co.

     53,174       13,144,081  

Cooper Companies Inc. (The)

     9,245       3,337,815  

DENTSPLY SIRONA Inc.

     41,059       1,641,949  

Dexcom Inc.(a)

    17,986       7,348,720  

Edwards Lifesciences Corp.(a)

    116,759       12,350,767  

Hologic Inc.(a)

    47,068       3,388,425  

IDEXX Laboratories Inc.(a)

    15,881       6,836,453  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   23

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Health Care Equipment & Supplies (continued)

 

Insulet Corp.(a)(b)

    12,930     $ 3,090,141  

ResMed Inc.

     27,211       5,441,384  

STERIS PLC

     18,715       4,193,096  
   

 

 

  
      67,270,083  
Health Care Providers & Services — 2.4%  

AmerisourceBergen Corp.

     29,273       4,428,712  

Anthem Inc.

     45,382       22,778,587  

Cardinal Health Inc.

     52,774       3,063,531  

Centene Corp.(a)

    109,025       8,781,964  

Cigna Corp.

     61,955       15,289,255  

DaVita Inc.(a)

    12,418       1,345,739  

HCA Healthcare Inc.

     46,580       9,993,739  

Henry Schein Inc.(a)

    25,820       2,094,002  

Humana Inc.

     24,027       10,681,443  

Laboratory Corp. of America Holdings(a)

    17,938       4,310,142  

MEDNAX Inc.(a)

    14,940       276,689  

Patterson Companies Inc.

     16,232       499,459  

Quest Diagnostics Inc.

     22,946       3,071,092  

Select Medical Holdings Corp.

     16,833       380,594  
   

 

 

  
          86,994,948  
Health Care Technology — 0.2%  

Cerner Corp.

     55,122       5,161,624  

Teladoc Health Inc.(a)(b)

    26,801       904,802  
   

 

 

  
      6,066,426  
Hotels, Restaurants & Leisure — 2.7%  

Aramark

     43,142       1,563,897  

Booking Holdings Inc.(a)

    7,693       17,003,915  

Choice Hotels International Inc.

     6,830       959,342  

Darden Restaurants Inc.

     24,206       3,188,656  

Domino’s Pizza Inc.

     6,804       2,299,752  

Hilton Worldwide Holdings Inc.(a)

    52,072       8,086,261  

Jack in the Box Inc.

     3,843       318,047  

Marriott International Inc./MD, Class A(a)

    51,786       9,193,051  

McDonald’s Corp.

     139,750       34,820,110  

Royal Caribbean Cruises Ltd.(a)(b)

    43,055       3,346,665  

Starbucks Corp.

     219,653       16,394,900  

Vail Resorts Inc.

     7,551       1,919,162  
   

 

 

  
      99,093,758  
Household Durables — 0.3%            

Garmin Ltd.

     28,871       3,168,304  

La-Z-Boy Inc.

     8,626       226,691  

Meritage Homes Corp.(a)

    6,985       576,612  

Mohawk Industries Inc.(a)

    10,752       1,516,677  

Newell Brands Inc.

     71,887       1,664,184  

Whirlpool Corp.

     11,368       2,063,519  
   

 

 

  
      9,215,987  
Household Products — 2.8%            

Church & Dwight Co. Inc.

     45,712       4,459,663  

Clorox Co. (The)

     23,059       3,308,275  

Colgate-Palmolive Co.

     150,002       11,557,654  

Kimberly-Clark Corp.

     62,940       8,737,960  

Procter & Gamble Co. (The)

     452,824       72,700,893  
   

 

 

  
      100,764,445  
Independent Power and Renewable Electricity Producers — 0.0%  

Ormat Technologies Inc.

     8,534       663,092  
   

 

 

  
Industrial Conglomerates — 0.4%  

3M Co.

     107,946       15,567,972  
   

 

 

  
Security   Shares     Value  

Insurance — 2.5%

    

Allstate Corp. (The)

     53,690     $ 6,793,933  

Arthur J Gallagher & Co.

     38,814       6,539,771  

Chubb Ltd.

     80,641       16,648,334  

Hartford Financial Services Group Inc. (The)

     63,748       4,457,898  

Lincoln National Corp.

     32,158       1,934,304  

Loews Corp.

     40,394       2,538,359  

Marsh & McLennan Companies Inc.

     94,363       15,258,497  

Principal Financial Group Inc.

     49,655       3,383,492  

Progressive Corp. (The)

     109,533       11,759,463  

Prudential Financial Inc.

     70,807       7,683,267  

Travelers Companies Inc. (The)

     46,082       7,882,787  

Willis Towers Watson PLC

     23,332       5,013,113  
   

 

 

  
      89,893,218  
Interactive Media & Services — 7.0%  

Alphabet Inc., Class A(a)

    56,278       128,437,089  

Alphabet Inc., Class C, NVS(a)

    53,500       123,014,155  
   

 

 

  
      251,451,244  
IT Services — 6.8%            

Accenture PLC, Class A

     118,136       35,483,329  

Akamai Technologies Inc.(a)

    29,765       3,342,014  

Automatic Data Processing Inc.

     78,890       17,212,220  

Cognizant Technology Solutions Corp., Class A

     98,233       7,947,050  

Fidelity National Information Services Inc.

     114,011       11,304,191  

International Business Machines Corp.

     167,897       22,197,662  

Mastercard Inc., Class A

     164,122       59,638,652  

Okta Inc.(a)

    27,674       3,301,785  

PayPal Holdings Inc.(a)

    208,961       18,373,941  

Visa Inc., Class A

     312,434       66,589,058  

Western Union Co. (The)

     75,526       1,265,816  
   

 

 

  
          246,655,718  
Leisure Products — 0.1%            

Callaway Golf Co.(a)

    23,105       506,924  

Hasbro Inc.

     24,577       2,164,251  

Mattel Inc.(a)

    65,482       1,591,867  
   

 

 

  
      4,263,042  
Life Sciences Tools & Services — 1.1%  

Agilent Technologies Inc.

     56,587       6,749,132  

Bio-Techne Corp.

     7,340       2,786,925  

Illumina Inc.(a)

    27,814       8,251,023  

IQVIA Holdings Inc.(a)

    35,792       7,802,298  

Mettler-Toledo International Inc.(a)

    4,298       5,490,824  

Waters Corp.(a)

    11,405       3,455,943  

West Pharmaceutical Services Inc.

     13,887       4,375,238  
   

 

 

  
      38,911,383  
Machinery — 2.8%            

AGCO Corp.

     11,912       1,517,589  

Caterpillar Inc.

     101,280       21,323,491  

Cummins Inc.

     26,768       5,064,238  

Deere & Co.

     55,126       20,812,821  

Dover Corp.

     27,014       3,600,966  

Flowserve Corp.

     23,840       779,806  

Fortive Corp.

     63,959       3,677,643  

Graco Inc.

     31,892       1,977,942  

IDEX Corp.

     14,295       2,713,477  

Illinois Tool Works Inc.

     58,790       11,588,097  

Lincoln Electric Holdings Inc.

     9,898       1,333,558  

Meritor Inc.(a)

    13,273       476,633  

Middleby Corp. (The)(a)

    10,387       1,598,456  

PACCAR Inc.

     64,767       5,378,899  
 

 

 

24  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Machinery (continued)            

Parker-Hannifin Corp.

     24,073     $ 6,519,450  

Pentair PLC

     31,153       1,581,015  

Snap-on Inc.

     9,678       2,056,478  

Stanley Black & Decker Inc.

     30,588       3,675,148  

Tennant Co.

     3,538       228,484  

Timken Co. (The)

     12,761       735,544  

Westinghouse Air Brake Technologies Corp.

     33,242       2,988,788  

Xylem Inc./NY

     33,843       2,724,362  
   

 

 

  
      102,352,885  
Media — 0.2%            

Cable One Inc.

     1,015       1,183,693  

John Wiley & Sons Inc., Class A

     6,846       348,393  

New York Times Co. (The), Class A

     31,371       1,202,137  

Omnicom Group Inc.

     39,799       3,029,898  

Scholastic Corp., NVS

     4,929       181,633  
   

 

 

  
      5,945,754  
Metals & Mining — 0.3%            

Compass Minerals International Inc.

     6,231       368,439  

Newmont Corp.

     149,406       10,884,227  

Schnitzer Steel Industries Inc., Class A

     4,920       224,500  
   

 

 

  
          11,477,166  
Multi-Utilities — 0.5%            

Avista Corp.

     12,969       526,153  

Consolidated Edison Inc.

     66,357       6,153,948  

Sempra Energy

     59,700       9,633,192  
   

 

 

  
      16,313,293  
Multiline Retail — 0.6%            

Kohl’s Corp.

     28,203       1,632,390  

Nordstrom Inc.

     20,948       538,363  

Target Corp.

     89,697       20,509,219  
   

 

 

  
      22,679,972  
Oil, Gas & Consumable Fuels — 1.3%  

Cheniere Energy Inc.

     44,569       6,052,916  

Marathon Petroleum Corp.

     115,295       10,060,642  

ONEOK Inc.

     83,689       5,300,024  

Phillips 66

     89,898       7,799,550  

Valero Energy Corp.

     76,362       8,512,836  

Williams Companies Inc. (The)

     226,914       7,780,881  
   

 

 

  
      45,506,849  
Personal Products — 0.3%            

Estee Lauder Companies Inc. (The), Class A

     43,400       11,460,204  
   

 

 

  
Pharmaceuticals — 2.5%            

Bristol-Myers Squibb Co.

     415,064       31,241,867  

Jazz Pharmaceuticals PLC(a)

    11,457       1,835,641  

Merck & Co. Inc.

     472,472       41,903,542  

Zoetis Inc.

     88,589       15,702,400  
   

 

 

  
      90,683,450  
Professional Services — 0.3%  

ASGN Inc.(a)

    9,606       1,089,801  

Exponent Inc.

     9,873       945,932  

Heidrick & Struggles International Inc.

     3,415       109,143  

ICF International Inc.

     3,619       357,593  

Kelly Services Inc., Class A, NVS

     6,475       124,903  

ManpowerGroup Inc.

     10,279       927,166  

Resources Connection Inc.

     6,640       114,141  

Robert Half International Inc.

     20,693       2,034,329  

TransUnion

     35,956       3,146,869  
Security   Shares     Value  
Professional Services (continued)  

TrueBlue Inc.(a)

    6,566     $ 167,893  
   

 

 

  
      9,017,770  
Real Estate Management & Development — 0.2%  

CBRE Group Inc., Class A(a)

    62,650       5,202,456  

Jones Lang LaSalle Inc.(a)(b)

    9,503       2,078,591  

Realogy Holdings Corp.(a)(b)

    21,301       233,459  
   

 

 

  
      7,514,506  
Road & Rail — 1.7%            

AMERCO

     1,860       995,993  

ArcBest Corp.

     4,700       339,152  

Avis Budget Group Inc.(a)(b)

    7,392       1,978,617  

CSX Corp.

     415,258       14,259,960  

Knight-Swift Transportation Holdings Inc.

     29,600       1,417,544  

Norfolk Southern Corp.

     45,597       11,758,554  

Ryder System Inc.

     10,237       715,566  

Union Pacific Corp.

     120,197       28,160,955  
   

 

 

  
      59,626,341  
Semiconductors & Semiconductor Equipment — 6.8%  

Advanced Micro Devices Inc.(a)

    305,685       26,142,181  

Analog Devices Inc.

     100,435       15,505,155  

Applied Materials Inc.

     169,048       18,654,447  

Intel Corp.

     760,602       33,154,641  

Lam Research Corp.

     26,303       12,250,885  

Microchip Technology Inc.

     103,957       6,777,996  

NVIDIA Corp.

     467,822       86,766,946  

NXP Semiconductors NV

     49,782       8,507,744  

ON Semiconductor Corp.(a)

    80,852       4,213,198  

Skyworks Solutions Inc.

     31,026       3,515,246  

Texas Instruments Inc.

     172,682       29,399,111  
   

 

 

  
          244,887,550  
Software — 16.1%            

Adobe Inc.(a)

    88,991       35,235,987  

ANSYS Inc.(a)

    16,267       4,484,649  

Autodesk Inc.(a)

    41,150       7,788,872  

Black Knight Inc.(a)(b)

    28,774       1,893,042  

Cadence Design Systems Inc.(a)

    51,766       7,808,901  

Citrix Systems Inc.

     23,283       2,330,628  

Coupa Software Inc.(a)

    13,806       1,191,458  

Fair Isaac Corp.(a)

    5,133       1,917,227  

Fortinet Inc.(a)

    26,051       7,529,000  

Guidewire Software Inc.(a)(b)

    14,828       1,289,146  

HubSpot Inc.(a)

    8,380       3,179,623  

Intuit Inc.

     50,362       21,089,088  

Microsoft Corp.

     1,334,405       370,324,076  

NortonLifeLock Inc.

     109,242       2,735,420  

Oracle Corp.

     307,090       22,540,406  

Paycom Software Inc.(a)

    9,571       2,693,949  

PTC Inc.(a)

    20,952       2,392,928  

RingCentral Inc., Class A(a)

    14,533       1,233,125  

Roper Technologies Inc.(b)

    19,750       9,280,920  

salesforce.com Inc.(a)

    183,100       32,214,614  

ServiceNow Inc.(a)

    37,250       17,809,225  

Splunk Inc.(a)

    30,267       3,693,179  

Synopsys Inc.(a)

    28,508       8,175,809  

Teradata Corp.(a)

    20,114       831,714  

VMware Inc., Class A

     38,582       4,168,399  

Workday Inc., Class A(a)

    36,152       7,472,618  
   

 

 

  
      581,304,003  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   25

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Specialty Retail — 2.8%            

AutoNation Inc.(a)

    7,982     $ 925,194  

Best Buy Co. Inc.

     41,466       3,729,037  

Buckle Inc. (The)

     5,303       164,711  

CarMax Inc.(a)(b)

    30,230       2,593,130  

Foot Locker Inc.

     17,432       510,932  

GameStop Corp., Class A(a)(b)

    12,245       1,531,482  

Gap Inc. (The)

     36,080       448,114  

Home Depot Inc. (The)

     195,373       58,690,049  

Lowe’s Companies Inc.

     126,148       24,943,244  

ODP Corp. (The)(a)

    9,339       401,857  

Signet Jewelers Ltd.

     9,977       700,385  

Tractor Supply Co.

     21,248       4,280,410  

Ulta Beauty, Inc.(a)

    9,634       3,822,771  
   

 

 

  
          102,741,316  
Technology Hardware, Storage & Peripherals — 0.5%  

Dell Technologies Inc., Class C

     54,495       2,561,810  

Hewlett Packard Enterprise Co.

     245,251       3,779,318  

HP Inc.

     215,873       7,907,428  

Seagate Technology Holdings PLC

     37,537       3,079,536  

Xerox Holdings Corp.

     28,491       495,743  
   

 

 

  
      17,823,835  
Textiles, Apparel & Luxury Goods — 1.1%            

Capri Holdings Ltd.(a)

    27,958       1,333,597  

Columbia Sportswear Co.

     6,870       564,439  

Deckers Outdoor Corp.(a)

    4,846       1,287,824  

Hanesbrands Inc.

     66,215       878,011  

Nike Inc., Class B

     238,933       29,794,945  

PVH Corp.

     13,105       953,782  

Under Armour Inc., Class A(a)

    34,405       528,461  

Under Armour Inc., Class C, NVS(a)

    39,199       556,234  

VF Corp.

     62,665       3,258,580  

Wolverine World Wide Inc.

     14,886       295,040  
   

 

 

  
      39,450,913  
Thrifts & Mortgage Finance — 0.0%            

New York Community Bancorp. Inc.

     87,962       812,769  
   

 

 

  
Trading Companies & Distributors — 0.4%            

Air Lease Corp.

     20,601       829,808  
Security   Shares     Value  
Trading Companies & Distributors (continued)  

Applied Industrial Technologies Inc.

     6,970     $ 729,689  

Fastenal Co.

     107,910       5,968,502  

H&E Equipment Services Inc.

     6,439       228,456  

United Rentals Inc.(a)

    13,492       4,270,488  

WW Grainger Inc.

     8,206       4,103,246  
   

 

 

  
      16,130,189  
Water Utilities — 0.2%            

American Water Works Co. Inc.

     33,535       5,167,073  

Essential Utilities Inc.

     44,989       2,013,707  
   

 

 

  
      7,180,780  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $2,864,677,734)

       3,608,500,865  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 0.8%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    25,429,018       25,429,018  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    2,630,000       2,630,000  
   

 

 

  
      28,059,018  
   

 

 

  

Total Short-Term Investments — 0.8%
(Cost: $28,059,591)

       28,059,018  
   

 

 

  

Total Investments in Securities — 100.6%
(Cost: $2,892,737,325)

 

     3,636,559,883  

Other Assets, Less Liabilities — (0.6)%

       (22,845,480 ) 
   

 

 

  

Net Assets — 100.0%

     $   3,613,714,403  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

26  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

    
    Affiliated Issuer   

Value at

04/30/21

    

Purchases

at Cost

   

Proceeds

from Sales

   

Net Realized

Gain (Loss)

   

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain
Distributions

from

Underlying

Funds

     
 

 

    

    

  

BlackRock Cash Funds: Institutional, SL Agency Shares

    $ 13,210,182      $ 12,228,343 (a)    $ —     $ (8,483 )    $ (1,024 )    $ 25,429,018        25,429,018      $ 70,386 (b)    $ —         
 

BlackRock Cash Funds: Treasury, SL Agency Shares

      8,780,000        —       (6,150,000 )(a)      —       —       2,630,000        2,630,000        1,927       —    
 

BlackRock Inc.

      20,060,560        6,610,090       (3,132,925 )      1,198,161       (6,989,977 )      17,745,909        28,408        451,823       —    
           

 

 

    

 

 

    

 

 

        

 

 

    

 

 

    
            $ 1,189,678     $ (6,991,001 )    $ 45,804,927         $ 524,136     $ —    
           

 

 

    

 

 

    

 

 

        

 

 

    

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		     Expiration
Date 		    

Notional

Amount

(000)

    

Value/

Unrealized
Appreciation

(Depreciation)

  

 

  

Long Contracts

            

S&P 500 E-Mini Index

      22        06/17/22      $ 4,540      $ (278,841 ) 
           

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 278,841  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    

Equity

Contracts

  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 525,239  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (308,731 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 6,825,004       

 

  

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

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   27

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI KLD 400 Social ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 3,608,500,865      $ —      $ —      $ 3,608,500,865  

Money Market Funds

      28,059,018        —        —        28,059,018  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 3,636,559,883      $ —      $ —      $ 3,636,559,883  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

           

Liabilities

            

Futures Contracts

    $ (278,841 )     $ —      $ —      $ (278,841 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

28  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® MSCI USA ESG Select ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Air Freight & Logistics — 1.7%

    

CH Robinson Worldwide Inc.

     191,482     $ 20,325,814  

Expeditors International of Washington Inc.

     436,403       43,234,445  
   

 

 

  
      63,560,259  
Auto Components — 0.4%            

Aptiv PLC(a)

    133,153       14,167,479  
   

 

 

  
Automobiles — 2.2%            

Lucid Group Inc.(a)(b)

    138,029       2,495,564  

Rivian Automotive Inc., Class A(a)(b)

    92,709       2,803,520  

Tesla Inc.(a)

    86,125       74,994,205  
   

 

 

  
      80,293,289  
Banks — 2.2%            

Huntington Bancshares Inc./OH

     1,677,852       22,063,754  

KeyCorp.

     279,732       5,401,625  

PNC Financial Services Group Inc. (The)

     57,210       9,502,581  

Regions Financial Corp.

     1,276,974       26,458,901  

SVB Financial Group(a)(b)

    24,700       12,044,708  

Truist Financial Corp.

     119,785       5,791,605  
   

 

 

  
      81,263,174  
Beverages — 3.0%            

Coca-Cola Co. (The)

     709,215       45,822,381  

Keurig Dr Pepper Inc.

     209,228       7,825,127  

PepsiCo Inc.

     330,677       56,780,548  
   

 

 

  
          110,428,056  
Biotechnology — 2.1%            

Amgen Inc.

     117,783       27,465,818  

Biogen Inc.(a)

    31,394       6,512,371  

Gilead Sciences Inc.

     345,750       20,516,805  

Vertex Pharmaceuticals Inc.(a)

    81,217       22,190,109  
   

 

 

  
      76,685,103  
Building Products — 2.6%            

Carrier Global Corp.

     142,645       5,459,024  

Fortune Brands Home & Security Inc.

     49,084       3,497,235  

Johnson Controls International PLC

     858,434       51,394,444  

Owens Corning

     84,753       7,706,590  

Trane Technologies PLC

     204,942       28,669,336  
   

 

 

  
      96,726,629  
Capital Markets — 5.5%            

Bank of New York Mellon Corp. (The)

     435,190       18,304,092  

BlackRock Inc.(c)

    75,690       47,282,029  

CME Group Inc.

     20,996       4,605,263  

FactSet Research Systems Inc.

     16,768       6,765,720  

Invesco Ltd.

     335,214       6,161,233  

Moody’s Corp.

     57,439       18,178,295  

Morgan Stanley

     425,846       34,318,929  

Northern Trust Corp.

     233,324       24,044,038  

S&P Global Inc.

     59,345       22,343,393  

State Street Corp.

     186,624       12,498,209  

T Rowe Price Group Inc.

     55,396       6,815,924  
   

 

 

  
      201,317,125  
Chemicals — 2.5%            

DuPont de Nemours Inc.

     58,672       3,868,245  

Ecolab Inc.

     233,098       39,472,815  

International Flavors & Fragrances Inc.

     87,080       10,562,804  

Linde PLC

     65,660       20,483,294  

Mosaic Co. (The)

     222,329       13,877,776  
Security   Shares     Value  

Chemicals (continued)

    

PPG Industries Inc.

     26,785     $ 3,428,212  
   

 

 

  
      91,693,146  
Communications Equipment — 1.2%            

Cisco Systems Inc.

     825,051       40,410,998  

Motorola Solutions Inc.

     19,635       4,195,803  
   

 

 

  
      44,606,801  
Consumer Finance — 1.2%            

Ally Financial Inc.

     164,268       6,564,149  

American Express Co.

     211,573       36,963,919  
   

 

 

  
      43,528,068  
Containers & Packaging — 0.6%            

Amcor PLC

     981,730       11,643,318  

Ball Corp.

     115,152       9,345,736  
   

 

 

  
      20,989,054  
Distributors — 0.2%            

LKQ Corp.

     179,025       8,885,011  
   

 

 

  
Diversified Telecommunication Services — 0.6%        

Verizon Communications Inc.

     500,756       23,185,003  
   

 

 

  
Electric Utilities — 0.8%            

Eversource Energy

     327,162       28,593,959  
   

 

 

  
Electrical Equipment — 0.2%            

Plug Power Inc.(a)

    167,478       3,520,388  

Sunrun Inc.(a)

    162,583       3,248,408  
   

 

 

  
      6,768,796  
Electronic Equipment, Instruments & Components — 1.0%  

Cognex Corp.

     62,436       4,222,547  

Keysight Technologies Inc.(a)

    77,449       10,863,771  

Teledyne Technologies Inc.(a)

    9,660       4,168,773  

Trimble Inc.(a)

    183,178       12,217,973  

Zebra Technologies Corp., Class A(a)

    12,841       4,746,804  
   

 

 

  
      36,219,868  
Energy Equipment & Services — 1.2%            

Baker Hughes Co.

     600,268       18,620,313  

Schlumberger NV

     608,589       23,741,057  
   

 

 

  
      42,361,370  
Entertainment — 1.1%            

Electronic Arts Inc.

     73,056       8,624,261  

Netflix Inc.(a)

    12,005       2,285,272  

Roku Inc.(a)

    24,793       2,303,270  

Walt Disney Co. (The)(a)

    219,585       24,512,273  

Warner Bros. Discovery Inc.(a)

    166,001       3,012,918  
   

 

 

  
      40,737,994  
Equity Real Estate Investment Trusts (REITs) — 3.1%        

American Tower Corp.

     89,337       21,532,004  

Crown Castle International Corp.

     24,315       4,503,381  

Equinix Inc.

     31,348       22,541,720  

Healthpeak Properties Inc.

     605,041       19,851,395  

Iron Mountain Inc.

     91,658       4,924,784  

Prologis Inc.

     157,129       25,186,208  

Ventas Inc.

     115,602       6,421,691  

Welltower Inc.

     85,332       7,748,999  
   

 

 

  
          112,710,182  
Food & Staples Retailing — 0.3%            

Kroger Co. (The)

     176,118       9,503,327  
   

 

 

  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   29

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI USA ESG Select ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Food Products — 4.3%            

Bunge Ltd.

     251,955     $ 28,501,150  

Campbell Soup Co.

     246,831       11,655,360  

General Mills Inc.

     531,059       37,561,803  

Kellogg Co.

     811,579       55,593,161  

McCormick & Co. Inc./MD, NVS

     233,529       23,486,012  
   

 

 

  
          156,797,486  
Gas Utilities — 0.1%            

UGI Corp.

     126,163       4,327,391  
   

 

 

  
Health Care Equipment & Supplies — 2.4%            

Align Technology Inc.(a)

    7,608       2,205,635  

Dexcom Inc.(a)

    20,859       8,522,570  

Edwards Lifesciences Corp.(a)

    229,952       24,324,323  

Hologic Inc.(a)

    119,543       8,605,901  

IDEXX Laboratories Inc.(a)

    41,848       18,014,727  

Insulet Corp.(a)

    46,872       11,201,939  

ResMed Inc.

     34,356       6,870,169  

STERIS PLC

     44,288       9,922,727  
   

 

 

  
      89,667,991  
Health Care Providers & Services — 1.3%            

DaVita Inc.(a)

    58,930       6,386,244  

HCA Healthcare Inc.

     65,632       14,081,346  

Humana Inc.

     14,802       6,580,377  

Laboratory Corp. of America Holdings(a)

    16,316       3,920,409  

Quest Diagnostics Inc.

     125,379       16,780,725  
   

 

 

  
      47,749,101  
Health Care Technology — 0.3%            

Cerner Corp.

     88,242       8,262,981  

Teladoc Health Inc.(a)(b)

    61,146       2,064,289  
   

 

 

  
      10,327,270  
Hotels, Restaurants & Leisure — 0.6%            

Hilton Worldwide Holdings Inc.(a)

    74,710       11,601,716  

Vail Resorts Inc.

     41,339       10,506,720  
   

 

 

  
      22,108,436  
Household Durables — 0.1%            

Newell Brands Inc.

     153,937       3,563,642  
   

 

 

  
Household Products — 2.5%            

Clorox Co. (The)

     75,510       10,833,420  

Colgate-Palmolive Co.

     306,742       23,634,471  

Kimberly-Clark Corp.

     164,009       22,769,369  

Procter & Gamble Co. (The)

     217,085       34,852,997  
   

 

 

  
      92,090,257  
Industrial Conglomerates — 1.3%            

3M Co.

     338,000       48,746,360  
   

 

 

  
Insurance — 2.3%            

American International Group Inc.

     123,215       7,209,310  

Marsh & McLennan Companies Inc.

     270,539       43,746,156  

Prudential Financial Inc.

     164,986       17,902,631  

Travelers Companies Inc. (The)

     87,465       14,961,763  
   

 

 

  
      83,819,860  
Interactive Media & Services — 3.7%            

Alphabet Inc., Class A(a)

    34,159       77,957,328  

Alphabet Inc., Class C, NVS(a)

    18,933       43,533,215  

Meta Platforms Inc, Class A(a)

    49,314       9,885,977  

Snap Inc., Class A, NVS(a)(b)

    100,047       2,847,338  
   

 

 

  
      134,223,858  
Security   Shares     Value  
Internet & Direct Marketing Retail — 0.3%            

eBay Inc.

     69,434     $ 3,605,013  

MercadoLibre Inc.(a)

    5,981       5,823,281  
   

 

 

  
      9,428,294  
IT Services — 6.2%            

Accenture PLC, Class A

     129,642       38,939,271  

Automatic Data Processing Inc.

     218,656       47,706,366  

Block Inc.(a)(b)

    51,436       5,119,940  

Fidelity National Information Services Inc.

     46,052       4,566,056  

Fiserv Inc.(a)(b)

    42,897       4,200,474  

International Business Machines Corp.

     266,148       35,187,427  

Mastercard Inc., Class A(b)

    92,477       33,604,292  

Okta Inc.(a)

    44,015       5,251,430  

PayPal Holdings Inc.(a)

    121,982       10,725,877  

Snowflake Inc., Class A(a)

    13,136       2,252,036  

Twilio Inc., Class A(a)

    54,647       6,110,628  

Visa Inc., Class A

     160,256       34,155,361  
   

 

 

  
          227,819,158  
Leisure Products — 0.7%            

Hasbro Inc.

     283,485       24,963,689  
   

 

 

  
Life Sciences Tools & Services — 3.7%            

Agilent Technologies Inc.

     293,303       34,982,249  

Illumina Inc.(a)

    22,384       6,640,213  

Mettler-Toledo International Inc.(a)

    15,492       19,791,495  

Waters Corp.(a)

    115,293       34,936,085  

West Pharmaceutical Services Inc.

     120,306       37,903,608  
   

 

 

  
      134,253,650  
Machinery — 2.5%            

Caterpillar Inc.

     107,958       22,729,477  

Cummins Inc.

     129,785       24,554,024  

Deere & Co.

     24,772       9,352,669  

Xylem Inc./NY

     420,793       33,873,837  
   

 

 

  
      90,510,007  
Media — 0.4%            

Cable One Inc.

     7,183       8,376,815  

Interpublic Group of Companies Inc. (The)

     228,620       7,457,584  
   

 

 

  
      15,834,399  
Metals & Mining — 0.3%            

Newmont Corp.

     162,758       11,856,920  
   

 

 

  
Multi-Utilities — 0.4%            

Consolidated Edison Inc.

     78,094       7,242,438  

Sempra Energy

     43,334       6,992,374  
   

 

 

  
      14,234,812  
Multiline Retail — 0.5%            

Target Corp.

     87,837       20,083,930  
   

 

 

  
Oil, Gas & Consumable Fuels — 1.5%            

Cheniere Energy Inc.

     135,475       18,398,860  

ONEOK Inc.

     330,520       20,931,832  

Valero Energy Corp.

     149,978       16,719,547  
   

 

 

  
      56,050,239  
Pharmaceuticals — 1.4%            

Eli Lilly & Co.

     35,615       10,404,210  

Merck & Co. Inc.

     173,812       15,415,386  

Zoetis Inc.

     151,376       26,831,396  
   

 

 

  
      52,650,992  
Professional Services — 0.2%            

Robert Half International Inc.

     59,126       5,812,677  
   

 

 

  
 

 

 

30  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI USA ESG Select ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Real Estate Management & Development — 0.6%  

CBRE Group Inc., Class A(a)

    281,009     $ 23,334,987  
   

 

 

  
Road & Rail — 0.2%            

Norfolk Southern Corp.

     32,187       8,300,384  
   

 

 

  
Semiconductors & Semiconductor Equipment — 6.1%  

Advanced Micro Devices Inc.(a)

    52,778       4,513,575  

Applied Materials Inc.

     316,192       34,891,787  

Intel Corp.

     627,434       27,349,848  

Lam Research Corp.

     29,610       13,791,154  

Marvell Technology Inc.

     57,904       3,363,064  

NVIDIA Corp.

     358,466       66,484,689  

NXP Semiconductors NV

     62,868       10,744,141  

ON Semiconductor Corp.(a)

    117,758       6,136,369  

Texas Instruments Inc.

     319,820       54,449,355  
   

 

 

  
      221,723,982  
Software — 10.6%            

Adobe Inc.(a)

    126,150       49,949,093  

ANSYS Inc.(a)

    34,860       9,610,553  

Autodesk Inc.(a)

    82,251       15,568,469  

Cadence Design Systems Inc.(a)

    129,498       19,534,773  

HubSpot Inc.(a)

    11,440       4,340,679  

Intuit Inc.

     70,259       29,420,956  

Microsoft Corp.

     667,608       185,274,572  

RingCentral Inc., Class A(a)

    24,277       2,059,904  

salesforce.com Inc.(a)

    183,963       32,366,450  

ServiceNow Inc.(a)

    44,338       21,197,998  

Splunk Inc.(a)

    41,382       5,049,432  

VMware Inc., Class A

     38,433       4,152,301  

Workday Inc., Class A(a)

    40,295       8,328,977  
   

 

 

  
      386,854,157  
Specialty Retail — 3.7%            

Best Buy Co. Inc.

     332,933       29,940,665  

Home Depot Inc. (The)

     225,431       67,719,472  

Lowe’s Companies Inc.

     138,688       27,422,778  

TJX Companies Inc. (The)

     59,660       3,655,965  

Tractor Supply Co.

     25,299       5,096,484  
   

 

 

  
      133,835,364  
Security   Shares     Value  
Technology Hardware, Storage & Peripherals — 5.9%  

Apple Inc.

     1,158,785     $ 182,682,455  

Hewlett Packard Enterprise Co.

     1,442,653       22,231,283  

HP Inc.

     299,181       10,959,000  
   

 

 

  
      215,872,738  
Textiles, Apparel & Luxury Goods — 0.8%        

Lululemon Athletica Inc.(a)

    12,511       4,436,776  

Nike Inc., Class B

     117,882       14,699,885  

VF Corp.

     189,547       9,856,444  
   

 

 

  
      28,993,105  
Trading Companies & Distributors — 1.2%        

WW Grainger Inc.

     90,748       45,376,722  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $3,596,083,826)

 

     3,655,435,551  
   

 

 

  

Short-Term Investments

 

Money Market Funds — 0.6%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    14,194,811       14,194,811  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    8,900,000       8,900,000  
   

 

 

  
      23,094,811  
   

 

 

  

Total Short-Term Investments — 0.6%
(Cost: $23,088,939)

 

     23,094,811  
   

 

 

  

Total Investments in Securities — 100.4%
(Cost: $3,619,172,765)

 

     3,678,530,362  

Other Assets, Less Liabilities — (0.4)%

       (15,884,129 ) 
   

 

 

  

Net Assets — 100.0%

     $   3,662,646,233  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

   

Purchases

at Cost

    Proceeds
from Sales 		   

Net Realized

Gain (Loss)

   

Change in

Unrealized

Appreciation
(Depreciation)

     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 28,187,959     $ —     $ (13,978,058 )(a)    $ (20,031 )    $ 4,941     $ 14,194,811       14,194,811     $ 123,109 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     6,570,000       2,330,000 (a)      —       —       —       8,900,000       8,900,000       4,105       —  

BlackRock Inc.

     49,499,648       32,257,506       (17,666,594 )      4,380,918       (21,189,449 )      47,282,029       75,690       1,248,515       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ 4,360,887     $ (21,184,508 )    $ 70,376,840       $ 1,375,729     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E    O F   I N V E S T M E  N T S

   31

Schedule of Investments   (continued)

April 30, 2022

   

iShares® MSCI USA ESG Select ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		    Expiration
Date 		    Notional
Amount
(000) 		    Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

         

S&P 500 E-Mini Index

      33       06/17/22     $ 6,810     $ (309,510 ) 
        

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 309,510  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 941,221  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (702,954 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 9,031,847    

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 3,655,435,551      $ —      $ —      $ 3,655,435,551  

Money Market Funds

      23,094,811        —        —        23,094,811  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 3,678,530,362      $ —      $ —      $ 3,678,530,362  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

           

Liabilities

            

Futures Contracts

    $ (309,510 )     $ —      $ —      $ (309,510 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

32  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® U.S. Basic Materials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Aerospace & Defense — 0.7%            

Hexcel Corp.

     143,498     $ 7,800,551  
   

 

 

  
Chemicals — 53.4%            

Air Products and Chemicals Inc.

     363,312       85,040,440  

Albemarle Corp.

     196,431       37,877,790  

Ashland Global Holdings Inc.

     88,447       9,284,282  

Celanese Corp.

     187,069       27,487,919  

CF Industries Holdings Inc.

     367,300       35,565,659  

Chemours Co. (The)

     273,253       9,036,477  

Dow Inc.

     1,213,151       80,674,542  

Eastman Chemical Co.

     230,027       23,616,872  

Ecolab Inc.

     412,574       69,865,281  

Element Solutions Inc.

     397,324       8,192,821  

FMC Corp.

     217,695       28,853,295  

Huntsman Corp.

     356,062       12,059,820  

International Flavors & Fragrances Inc.

     401,806       48,739,068  

LyondellBasell Industries NV, Class A

     424,146       44,972,200  

Mosaic Co. (The)

     629,305       39,281,218  

NewMarket Corp.

     10,888       3,534,354  

Olin Corp.

     243,180       13,958,532  

Scotts Miracle-Gro Co. (The)

     70,511       7,328,208  

Valvoline Inc.

     311,019       9,402,104  

Westlake Corp.

     56,939       7,205,630  
   

 

 

  
      601,976,512  
Containers & Packaging — 5.0%            

Avery Dennison Corp.

     142,174       25,676,624  

International Paper Co.

     664,678       30,761,298  
   

 

 

  
      56,437,922  
Machinery — 0.6%            

Timken Co. (The)

     110,265       6,355,675  
   

 

 

  
Metals & Mining — 34.6%            

Alcoa Corp.

     316,219       21,439,648  

Cleveland-Cliffs Inc.(a)

    766,701       19,543,209  

Freeport-McMoRan Inc.

     2,390,897       96,950,873  
Security   Shares     Value  
Metals & Mining (continued)            

Newmont Corp.

     1,312,575     $ 95,621,089  

Nucor Corp.

     451,045       69,812,745  

Reliance Steel & Aluminum Co.

     107,005       21,213,741  

Royal Gold Inc.

     112,525       14,682,262  

Southern Copper Corp.

     144,605       9,004,553  

Steel Dynamics Inc.

     323,794       27,765,336  

United States Steel Corp.

     444,319       13,547,286  
   

 

 

  
      389,580,742  
Paper & Forest Products — 0.2%            

Sylvamo Corp.(a)

    61,267       2,735,571  
   

 

 

  
Trading Companies & Distributors — 5.2%            

Fastenal Co.

     901,755       49,876,069  

Univar Solutions Inc.(a)

    287,296       8,366,060  
   

 

 

  
      58,242,129  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $1,135,752,285)

 

     1,123,129,102  
   

 

 

  

Short-Term Investments

 

Money Market Funds — 0.2%            

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(c)

    1,980,000       1,980,000  
   

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $1,980,000)

 

     1,980,000  
   

 

 

  

Total Investments in Securities — 99.9%
(Cost: $1,137,732,285)

 

     1,125,109,102  

Other Assets, Less Liabilities — 0.1%

 

     1,217,037  
   

 

 

  

Net Assets — 100.0%

     $   1,126,326,139  
   

 

 

  

 

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

Annualized 7-day yield as of period end.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		    Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares(a)

  $ —     $ 9 (b)     $ —     $ (9 )    $ —     $ —       —     $ 1,665 (c)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     1,347,000       633,000 (b)      —       —       —       1,980,000       1,980,000       858       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (9 )    $ —     $ 1,980,000       $ 2,523     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

As of period end, the entity is no longer held.

 
  (b) 

Represents net amount purchased (sold).

 
  (c) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   33

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Basic Materials ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		     Expiration
Date 		    Notional
Amount
(000) 		    Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

        

E-mini Materials Select Sector Index

     33       06/17/22     $ 2,959     $ (14,571 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 14,571  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

     

Futures contracts

      $ (32,978 ) 
    

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

     

Futures contracts

      $ (74,772 ) 
    

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 1,963,926    

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 1,123,129,102      $ —      $ —      $ 1,123,129,102  

Money Market Funds

      1,980,000        —        —        1,980,000  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 1,125,109,102      $ —      $ —      $ 1,125,109,102  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

           

Liabilities

            

Futures Contracts

    $ (14,571 )     $ —      $ —      $ (14,571 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

34  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® U.S. Consumer Discretionary ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Airlines — 2.1%            

Alaska Air Group Inc.(a)

    22,621     $ 1,230,356  

American Airlines Group Inc.(a)

    117,095       2,197,873  

Copa Holdings SA, Class A, NVS(a)(b)

    5,823       438,880  

Delta Air Lines Inc.(a)(b)

    117,244       5,045,009  

JetBlue Airways Corp.(a)

    57,751       635,839  

Southwest Airlines Co.(a)

    108,377       5,063,373  

United Airlines Holdings Inc.(a)

    59,299       2,994,600  
   

 

 

  
      17,605,930  
Auto Components — 1.2%            

Aptiv PLC(a)

    49,509       5,267,758  

BorgWarner Inc.

     43,935       1,618,126  

Gentex Corp.

     43,392       1,273,555  

Lear Corp.

     11,008       1,408,364  

QuantumScape Corp.(a)(b)

    44,646       667,011  
   

 

 

  
      10,234,814  
Automobiles — 11.2%            

Ford Motor Co.

     718,381       10,172,275  

General Motors Co.(a)

    252,421       9,569,280  

Harley-Davidson Inc.

     28,066       1,023,006  

Rivian Automotive Inc., Class A(a)(b)

    27,031       817,418  

Tesla Inc.(a)

    84,666       73,723,766  

Thor Industries Inc.

     9,726       744,525  
   

 

 

  
          96,050,270  
Commercial Services & Supplies — 0.8%            

Copart Inc.(a)

    38,351       4,358,591  

Driven Brands Holdings Inc.(a)

    9,786       272,932  

IAA Inc.(a)

    24,683       904,632  

Rollins Inc.

     41,556       1,393,788  
   

 

 

  
      6,929,943  
Distributors — 1.0%            

Genuine Parts Co.

     25,551       3,322,908  

LKQ Corp.

     49,894       2,476,239  

Pool Corp.

     7,140       2,893,271  
   

 

 

  
      8,692,418  
Diversified Consumer Services — 0.8%            

Bright Horizons Family Solutions Inc.(a)

    11,021       1,259,039  

Chegg Inc.(a)(b)

    24,715       611,449  

frontdoor Inc.(a)

    15,670       484,360  

Grand Canyon Education Inc.(a)

    7,235       694,343  

H&R Block Inc.

     30,112       785,020  

Mister Car Wash Inc.(a)(b)

    13,891       200,030  

Service Corp. International

     29,426       1,930,640  

Terminix Global Holdings Inc.(a)

    22,213       1,019,354  
   

 

 

  
      6,984,235  
Entertainment — 9.7%            

Activision Blizzard Inc.

     141,775       10,718,190  

Electronic Arts Inc.

     51,425       6,070,721  

Liberty Media Corp.-Liberty Formula One, Class A(a)(b)

    4,492       257,931  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

     36,357       2,266,132  

Live Nation Entertainment Inc.(a)

    25,300       2,653,464  

Madison Square Garden Sports Corp.(a)

    3,434       556,686  

Netflix Inc.(a)

    79,309       15,097,261  

Playtika Holding Corp.(a)(b)

    19,230       338,063  

Spotify Technology SA(a)

    25,324       2,574,185  

Take-Two Interactive Software Inc.(a)(b)

    20,963       2,505,288  

Walt Disney Co. (The)(a)

    276,365       30,850,625  

Warner Bros. Discovery Inc.(a)

    405,463       7,359,154  
Security   Shares     Value  
Entertainment (continued)            

World Wrestling Entertainment Inc., Class A

     7,952     $ 464,317  

Zynga Inc., Class A(a)

    188,475       1,558,688  
   

 

 

  
      83,270,705  
Food & Staples Retailing — 8.8%            

Costco Wholesale Corp.

     68,621       36,487,158  

Walmart Inc.

     252,567       38,640,225  
   

 

 

  
      75,127,383  
Health Care Equipment & Supplies — 0.0%            

Figs Inc., Class A(a)(b)

    14,056       220,117  
   

 

 

  
Hotels, Restaurants & Leisure — 16.5%            

Aramark

     42,494       1,540,408  

Booking Holdings Inc.(a)(b)

    7,528       16,639,214  

Boyd Gaming Corp.

     15,026       910,275  

Caesars Entertainment Inc.(a)

    37,402       2,479,005  

Carnival Corp.(a)

    158,315       2,738,850  

Chipotle Mexican Grill Inc.(a)

    5,149       7,494,936  

Choice Hotels International Inc.

     6,368       894,449  

Churchill Downs Inc.

     6,762       1,372,280  

Darden Restaurants Inc.

     23,285       3,067,333  

Domino’s Pizza Inc.

     6,649       2,247,362  

DraftKings Inc., Class A(a)

    56,299       770,170  

Expedia Group Inc.(a)

    26,599       4,648,175  

Hilton Worldwide Holdings Inc.(a)

    50,265       7,805,652  

Hyatt Hotels Corp., Class A(a)

    9,036       858,059  

Las Vegas Sands Corp.(a)

    60,672       2,149,609  

Marriott International Inc./MD, Class A(a)

    49,913       8,860,556  

Marriott Vacations Worldwide Corp.

     7,630       1,139,388  

McDonald’s Corp.

     137,142       34,170,301  

MGM Resorts International

     69,253       2,842,143  

Norwegian Cruise Line Holdings Ltd.(a)

    67,725       1,356,532  

Penn National Gaming Inc.(a)(b)

    30,197       1,104,304  

Planet Fitness Inc., Class A(a)

    15,278       1,222,698  

Royal Caribbean Cruises Ltd.(a)(b)

    40,205       3,125,135  

Six Flags Entertainment Corp.(a)

    14,263       545,845  

Starbucks Corp.

     211,238       15,766,804  

Travel + Leisure Co.

     15,482       858,941  

Vail Resorts Inc.

     7,323       1,861,214  

Wendy’s Co. (The)

     32,494       642,081  

Wyndham Hotels & Resorts Inc.

     16,817       1,479,223  

Wynn Resorts Ltd.(a)

    19,382       1,366,043  

Yum China Holdings Inc.

     78,589       3,285,020  

Yum! Brands Inc.

     53,095       6,212,646  
   

 

 

  
          141,454,651  
Household Durables — 2.5%            

DR Horton Inc.

     60,265       4,193,841  

Garmin Ltd.

     27,770       3,047,480  

Leggett & Platt Inc.

     24,316       866,379  

Lennar Corp., Class A

     47,193       3,609,793  

Lennar Corp., Class B

     2,897       188,884  

Newell Brands Inc.

     69,757       1,614,875  

NVR Inc.(a)

    575       2,516,321  

PulteGroup Inc.

     45,432       1,897,240  

Tempur Sealy International Inc.

     32,567       882,891  

Toll Brothers Inc.

     19,967       925,870  

Whirlpool Corp.

     10,520       1,909,590  
   

 

 

  
      21,653,164  
Interactive Media & Services — 0.1%            

TripAdvisor Inc.(a)

    18,375       471,686  
   

 

 

  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   35

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Consumer Discretionary ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Internet & Direct Marketing Retail — 12.6%  

Amazon.com Inc.(a)

    39,612     $ 98,460,776  

eBay Inc.

     114,875       5,964,310  

Etsy Inc.(a)(b)

    23,233       2,165,083  

Qurate Retail Inc., Series A(a)

    67,443       283,935  

Wayfair Inc., Class A(a)(b)

    13,971       1,074,929  
   

 

 

  
          107,949,033  
IT Services — 0.1%            

Sabre Corp.(a)

    58,523       612,736  
   

 

 

  
Leisure Products — 0.7%            

Hasbro Inc.

     23,460       2,065,888  

Mattel Inc.(a)

    63,946       1,554,527  

Peloton Interactive Inc., Class A(a)

    54,609       958,934  

Polaris Inc.

     10,460       993,072  

YETI Holdings Inc.(a)

    15,642       764,425  
   

 

 

  
      6,336,846  
Media — 2.2%            

Fox Corp., Class A, NVS

     57,115       2,047,002  

Fox Corp., Class B

     27,166       902,998  

Interpublic Group of Companies Inc. (The)

     71,892       2,345,117  

Liberty Media Corp.-Liberty SiriusXM, Class A(a)(b)

    16,974       710,022  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    29,310       1,227,503  

New York Times Co. (The), Class A

     30,262       1,159,640  

News Corp., Class A, NVS

     71,493       1,419,851  

News Corp., Class B

     22,397       445,924  

Nexstar Media Group Inc., Class A

     7,220       1,143,792  

Omnicom Group Inc.

     37,977       2,891,189  

Paramount Global, Class A

     1,413       44,580  

Paramount Global, Class B, NVS

     106,957       3,114,588  

Sirius XM Holdings Inc.(b)

    159,392       956,352  
   

 

 

  
      18,408,558  
Multiline Retail — 4.6%            

Dollar General Corp.

     42,829       10,173,172  

Dollar Tree Inc.(a)

    40,849       6,635,920  

Kohl’s Corp.

     25,332       1,466,216  

Nordstrom Inc.

     20,431       525,077  

Ollie’s Bargain Outlet Holdings Inc.(a)(b)

    11,621       558,389  

Target Corp.

     87,907       20,099,936  
   

 

 

  
      39,458,710  
Personal Products — 1.4%            

Coty Inc., Class A(a)

    64,622       524,084  

Estee Lauder Companies Inc. (The), Class A

     42,019       11,095,537  
   

 

 

  
      11,619,621  
Professional Services — 0.2%            

Nielsen Holdings PLC

     65,557       1,757,583  
   

 

 

  
Road & Rail — 1.4%            

AMERCO

     1,641       878,723  

Lyft Inc., Class A(a)

    53,966       1,759,291  

Uber Technologies Inc.(a)(b)

    296,258       9,326,202  
   

 

 

  
      11,964,216  
Software — 0.5%            

Trade Desk Inc. (The), Class A(a)(b)

    79,662       4,693,685  
   

 

 

  
Specialty Retail — 15.7%            

Advance Auto Parts Inc.

     11,433       2,282,370  

AutoNation Inc.(a)

    7,551       875,236  

AutoZone Inc.(a)

    3,780       7,391,677  

Bath & Body Works Inc.

     43,558       2,303,783  
Security   Shares     Value  
Specialty Retail (continued)            

Best Buy Co. Inc.

     44,069     $ 3,963,125  

Burlington Stores Inc.(a)(b)

    12,172       2,477,732  

CarMax Inc.(a)(b)

    29,917       2,566,280  

Carvana Co., Class A(a)(b)

    15,947       924,288  

Dick’s Sporting Goods Inc.

     11,064       1,066,791  

Five Below Inc.(a)

    10,106       1,587,653  

Floor & Decor Holdings Inc., Class A(a)

    18,663       1,487,814  

Foot Locker Inc.

     16,124       472,594  

GameStop Corp., Class A(a)(b)

    11,777       1,472,949  

Gap Inc. (The)

     37,211       462,161  

Home Depot Inc. (The)

     130,279       39,135,812  

Leslie’s Inc.(a)(b)

    29,243       573,163  

Lithia Motors Inc.

     5,394       1,527,203  

Lowe’s Companies Inc.

     123,806       24,480,160  

O’Reilly Automotive Inc.(a)

    12,221       7,412,648  

Penske Automotive Group Inc.

     5,698       597,264  

Petco Health & Wellness Co. Inc.(a)(b)

    10,151       195,508  

RH(a)

    3,207       1,077,937  

Ross Stores Inc.

     64,266       6,411,819  

TJX Companies Inc. (The)

     219,024       13,421,791  

Tractor Supply Co.

     20,828       4,195,801  

Ulta Beauty, Inc.(a)

    9,641       3,825,549  

Victoria’s Secret & Co.(a)(b)

    13,811       650,774  

Williams-Sonoma Inc.

     13,308       1,736,428  
   

 

 

  
      134,576,310  
Textiles, Apparel & Luxury Goods — 5.7%  

Capri Holdings Ltd.(a)

    26,470       1,262,619  

Carter’s Inc.

     7,549       635,928  

Columbia Sportswear Co.

     7,246       595,331  

Deckers Outdoor Corp.(a)

    4,947       1,314,665  

Hanesbrands Inc.

     63,491       841,891  

Lululemon Athletica Inc.(a)

    20,927       7,421,342  

Nike Inc., Class B

     227,514       28,370,996  

PVH Corp.

     12,766       929,109  

Ralph Lauren Corp.

     8,305       866,544  

Skechers U.S.A. Inc., Class A(a)

    24,104       923,183  

Tapestry Inc.

     48,456       1,595,172  

Under Armour Inc., Class A(a)

    34,829       534,973  

Under Armour Inc., Class C, NVS(a)(b)

    37,787       536,198  

VF Corp.

     59,406       3,089,112  
   

 

 

  
      48,917,063  
Trading Companies & Distributors — 0.1%            

SiteOne Landscape Supply Inc.(a)

    8,085       1,140,227  
   

 

 

  

Total Common Stocks — 99.9%
(Cost: $1,007,919,225)

 

     856,129,904  
   

 

 

  

Short-Term Investments

 

Money Market Funds — 3.2%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    26,606,180       26,606,180  
 

 

 

36  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Consumer Discretionary ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  
Money Market Funds (continued)            

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    620,000     $ 620,000  
   

 

 

  
      27,226,180  
   

 

 

  

Total Short-Term Investments — 3.2%
(Cost: $27,217,218)

       27,226,180  
   

 

 

  

Total Investments in Securities — 103.1%
(Cost: $1,035,136,443)

       883,356,084  

Other Assets, Less Liabilities — (3.1)%

       (26,490,205 ) 
   

 

 

  

Net Assets — 100.0%

     $   856,865,879  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

    
Affiliated Issuer   Value at
04/30/21 		    Purchases
at Cost 		    Proceeds
from Sales 		    Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain

Distributions

from

Underlying

Funds

   

 

 

    

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 43,823,267     $ —     $ (17,219,586 )(a)    $ (566 )    $ 3,065     $ 26,606,180       26,606,180     $ 83,465 (b)    $ —    

BlackRock Cash Funds: Treasury, SL Agency Shares

     2,273,000       —       (1,653,000 )(a)      —       —       620,000       620,000       616       —    
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

    
        $ (566 )    $ 3,065     $ 27,226,180       $ 84,081     $ —    
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		    Expiration
Date 		    Notional
Amount
(000) 		    Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

         

S&P 500 E-Mini Index

      2       06/17/22     $ 413     $ (30,268 ) 

S&P Consumer Discretionary Select Sector E-Mini Index

      1       06/17/22       164       (11,742 ) 
        

 

 

  
         $ (42,010 ) 
        

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 42,010  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   37

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Consumer Discretionary ETF

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 88,671  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (154,868 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 1,223,489    

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
     Level 1      Level 2      Level 3      Total  

 

  

Investments

            

Assets

            

Common Stocks

    $ 856,129,904      $ —      $ —      $ 856,129,904  

Money Market Funds

      27,226,180        —        —        27,226,180  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 883,356,084      $ —      $ —      $ 883,356,084  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

           

Liabilities

            

Futures Contracts

    $ (42,010 )     $ —      $ —      $ (42,010 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

38  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® U.S. Consumer Staples ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Beverages — 27.8%            

Boston Beer Co. Inc. (The),
Class A, NVS(a)(b)

    5,237     $ 1,963,875  

Brown-Forman Corp., Class A

     25,550       1,594,831  

Brown-Forman Corp., Class B, NVS

     102,910       6,940,250  

Coca-Cola Co. (The)

     1,954,059       126,251,752  

Constellation Brands Inc., Class A

     87,616       21,561,422  

Keurig Dr Pepper Inc.

     392,215       14,668,841  

Molson Coors Beverage Co., Class B

     100,229       5,426,398  

Monster Beverage Corp.(a)

    208,473       17,861,967  

PepsiCo Inc.

     695,609           119,443,021  
   

 

 

  
      315,712,357  
Chemicals — 2.1%            

Corteva Inc.

     409,650       23,632,709  
   

 

 

  
Food & Staples Retailing — 6.8%            

Albertsons Companies Inc., Class A

     91,206       2,852,924  

Casey’s General Stores Inc.

     20,664       4,159,663  

Grocery Outlet Holding Corp.(a)

    49,028       1,650,773  

Kroger Co. (The)

     410,313       22,140,489  

Sysco Corp.

     286,987       24,531,649  

U.S. Foods Holding Corp.(a)

    123,825       4,658,296  

Walgreens Boots Alliance Inc.

     402,764       17,077,194  
   

 

 

  
      77,070,988  
Food Products — 20.3%            

Archer-Daniels-Midland Co.

     312,511       27,988,485  

Beyond Meat Inc.(a)(b)

    32,140       1,185,323  

Bunge Ltd.

     77,130       8,724,946  

Campbell Soup Co.

     109,358       5,163,885  

Conagra Brands Inc.

     262,989       9,186,206  

Darling Ingredients Inc.(a)

    90,652       6,652,950  

Flowers Foods Inc.

     105,181       2,789,400  

Freshpet Inc.(a)(b)

    22,902       2,137,902  

General Mills Inc.

     338,839       23,966,082  

Hain Celestial Group Inc. (The)(a)

    49,425       1,657,714  

Hershey Co. (The)

     82,116       18,539,329  

Hormel Foods Corp.

     158,606       8,309,368  

Ingredion Inc.

     37,614       3,201,328  

JM Smucker Co. (The)

     58,866       8,060,521  

Kellogg Co.

     141,293       9,678,570  

Kraft Heinz Co. (The)

     389,849       16,619,263  

Lamb Weston Holdings Inc.

     81,809       5,407,575  

McCormick & Co. Inc./MD, NVS

     140,014       14,081,208  

Mondelez International Inc., Class A

     599,499       38,655,696  

Pilgrim’s Pride Corp.(a)(b)

    26,446       749,744  

Post Holdings Inc.(a)

    32,158       2,392,234  

Seaboard Corp.

     142       599,949  

Tyson Foods Inc., Class A

     161,182       15,015,715  
   

 

 

  
      230,763,393  
Security   Shares     Value  
Health Care Providers & Services — 7.3%  

AmerisourceBergen Corp.

     83,337     $ 12,608,055  

CVS Health Corp.

     461,638       44,377,261  

McKesson Corp.

     84,220       26,075,354  
   

 

 

  
      83,060,670  
Household Products — 24.6%            

Church & Dwight Co. Inc.

     135,878       13,256,258  

Clorox Co. (The)

     68,955       9,892,974  

Colgate-Palmolive Co.

     425,901       32,815,672  

Kimberly-Clark Corp.

     189,279       26,277,603  

Procter & Gamble Co. (The)

     1,208,294       193,991,602  

Reynolds Consumer Products Inc.

     30,286       896,163  

Spectrum Brands Holdings Inc.

     22,459       1,910,587  
   

 

 

  
      279,040,859  
Personal Products — 0.2%            

Herbalife Nutrition Ltd.(a)

    57,086       1,517,346  

Olaplex Holdings Inc.(a)

    45,349       666,630  
   

 

 

  
      2,183,976  
Tobacco — 10.6%            

Altria Group Inc.

     756,318       42,028,591  

Philip Morris International Inc.

     786,684       78,668,400  
   

 

 

  
      120,696,991  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $1,041,652,045)

 

     1,132,161,943  
   

 

 

  

Short-Term Investments

 

Money Market Funds — 0.6%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    4,356,847       4,356,847  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    2,290,000       2,290,000  
   

 

 

  
      6,646,847  
   

 

 

  

Total Short-Term Investments — 0.6%
(Cost: $6,645,564)

 

     6,646,847  
   

 

 

  

Total Investments in Securities — 100.3%
(Cost: $1,048,297,609)

 

     1,138,808,790  

Other Assets, Less Liabilities — (0.3)%

 

     (3,854,461 ) 
   

 

 

  

Net Assets — 100.0%

     $   1,134,954,329  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   39

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Consumer Staples ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		    Purchases
at Cost 		   

Proceeds

from Sales

     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 1,114,123     $ 3,245,408 (a)    $ —     $ (3,812 )    $ 1,128     $ 4,356,847       4,356,847     $ 42,709 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     810,000       1,480,000 (a)      —       —       —       2,290,000       2,290,000       728       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (3,812 )    $ 1,128     $ 6,646,847       $ 43,437     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts 		    Expiration
Date 		    Notional
Amount
(000) 		    Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

        

E-mini Consumer Staples Select Sector Index

     34       06/17/22     $ 2,651     $ (28,483 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 28,483  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 131,499  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (54,835 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 1,915,316    

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

 

 

40  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Consumer Staples ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 1,132,161,943        $ —        $ —        $ 1,132,161,943  

Money Market Funds

      6,646,847          —          —          6,646,847  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 1,138,808,790        $ —        $ —        $ 1,138,808,790  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (28,483 )       $                 —        $                 —        $ (28,483 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   41

  

Schedule of Investments

April 30, 2022

   

iShares® U.S. Financial Services ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Banks — 39.5%

 

Bank of America Corp.

     3,996,045     $     142,578,886  

Bank OZK

     67,821       2,605,683  

BOK Financial Corp.

     17,009       1,410,556  

Citigroup Inc.

     1,115,538       53,780,087  

Citizens Financial Group Inc.

     278,133       10,958,440  

Comerica Inc.

     73,603       6,028,086  

Commerce Bancshares Inc.

     62,308       4,259,998  

Cullen/Frost Bankers Inc.

     32,133       4,250,875  

East West Bancorp. Inc.

     79,741       5,685,533  

Fifth Third Bancorp.

     384,370       14,425,406  

First Citizens BancShares Inc./NC, Class A

     7,476       4,780,005  

First Financial Bankshares Inc.

     71,933       2,875,881  

First Horizon Corp.

     300,096       6,716,148  

First Republic Bank/CA

     100,770       15,036,899  

FNB Corp.

     191,733       2,208,764  

Glacier Bancorp. Inc.

     60,855       2,784,725  

Home BancShares Inc./AR

     84,992       1,837,527  

Huntington Bancshares Inc./OH

     808,247       10,628,448  

JPMorgan Chase & Co.

     1,661,310       198,293,962  

KeyCorp.

     522,153       10,082,774  

M&T Bank Corp.

     100,810       16,799,045  

Pinnacle Financial Partners Inc.

     42,712       3,312,316  

PNC Financial Services Group Inc. (The)

     236,099       39,216,044  

Popular Inc.

     44,813       3,494,966  

Prosperity Bancshares Inc.

     51,704       3,380,408  

Regions Financial Corp.

     529,549       10,972,255  

Signature Bank/New York NY

     35,263       8,542,462  

SVB Financial Group(a)

    33,023       16,103,336  

Synovus Financial Corp.

     81,672       3,392,655  

Truist Financial Corp.

     750,413       36,282,469  

U.S. Bancorp.

     759,156       36,864,615  

UMB Financial Corp.

     24,379       2,198,498  

Umpqua Holdings Corp.

     121,591       2,011,115  

United Bankshares Inc./WV

     76,524       2,545,188  

Valley National Bancorp.

     237,661       2,847,179  

Webster Financial Corp.

     100,991       5,048,540  

Wells Fargo & Co.

     2,184,415       95,306,026  

Western Alliance Bancorp.

     59,846       4,554,879  

Wintrust Financial Corp.

     31,988       2,793,192  

Zions Bancorp. NA

     85,162       4,812,505  
   

 

 

  
      801,706,376  
Capital Markets — 33.0%            

Affiliated Managers Group Inc.

     22,807       2,863,875  

Ameriprise Financial Inc.

     62,347       16,552,505  

Ares Management Corp., Class A

     94,222       6,239,381  

Bank of New York Mellon Corp. (The)

     415,894       17,492,502  

BlackRock Inc.(b)

    80,153       50,069,976  

Blackstone Inc., NVS

     395,949       40,216,540  

Blue Owl Capital Inc.

     186,737       2,227,772  

Carlyle Group Inc. (The)

     78,052       2,832,507  

Cboe Global Markets Inc.

     59,931       6,771,004  

Charles Schwab Corp. (The)

     845,131       56,057,539  

CME Group Inc.

     202,038       44,315,015  

Coinbase Global Inc., Class A(a)

    16,539       1,864,111  

FactSet Research Systems Inc.

     21,247       8,572,952  

Federated Hermes Inc.

     54,643       1,556,233  

Franklin Resources Inc.

     158,565       3,899,113  

Goldman Sachs Group Inc. (The)

     190,829       58,296,351  
Security   Shares     Value  

Capital Markets (continued)

 

Houlihan Lokey Inc.

     28,623     $ 2,384,010  

Interactive Brokers Group Inc., Class A

     49,034       2,920,465  

Intercontinental Exchange Inc.

     315,854           36,579,052  

Invesco Ltd.

     191,523       3,520,193  

Janus Henderson Group PLC

     95,010       2,895,905  

Jefferies Financial Group Inc.

     109,112       3,356,285  

KKR & Co. Inc.

     328,862       16,762,096  

Lazard Ltd., Class A

     63,291       2,074,046  

LPL Financial Holdings Inc.

     45,051       8,463,731  

MarketAxess Holdings Inc.

     21,375       5,634,664  

Moody’s Corp.

     90,922       28,774,995  

Morgan Stanley

     796,915       64,223,380  

Morningstar Inc.

     13,305       3,369,225  

MSCI Inc.

     45,689       19,246,491  

Nasdaq Inc.

     65,806       10,355,890  

Northern Trust Corp.

     116,791       12,035,312  

Raymond James Financial Inc.

     105,034       10,236,614  

Robinhood Markets Inc., Class A(a)(c)

    33,150       325,036  

S&P Global Inc.

     199,108       74,964,162  

SEI Investments Co.

     59,094       3,292,718  

State Street Corp.

     205,739       13,778,341  

Stifel Financial Corp.

     58,924       3,644,449  

T Rowe Price Group Inc.

     128,849       15,853,581  

Tradeweb Markets Inc., Class A

     59,017       4,201,420  

Virtu Financial Inc., Class A

     46,426       1,340,783  
   

 

 

  
      670,060,220  
Consumer Finance — 7.0%  

Ally Financial Inc.

     189,977       7,591,481  

American Express Co.

     345,765       60,408,603  

Capital One Financial Corp.

     232,681       28,996,706  

Credit Acceptance Corp.(a)(c)

    4,540       2,326,750  

Discover Financial Services

     161,903       18,207,612  

FirstCash Holdings Inc.

     22,617       1,804,384  

OneMain Holdings Inc.

     61,100       2,806,323  

PROG Holdings Inc.(a)

    32,217       852,784  

SLM Corp.

     157,271       2,631,144  

SoFi Technologies Inc.(a)(c)

    362,508       2,218,549  

Synchrony Financial

     293,030       10,786,434  

Upstart Holdings Inc.(a)(c)

    27,597       2,070,327  
   

 

 

  
      140,701,097  
Diversified Financial Services — 0.9%            

Apollo Global Management Inc.

     208,639       10,381,877  

Equitable Holdings Inc.

     211,526       6,098,294  

Jackson Financial Inc., Class A

     52,252       2,210,782  
   

 

 

  
      18,690,953  
Insurance — 0.3%            

Fidelity National Financial Inc.

     159,956       6,369,448  
   

 

 

  
IT Services — 18.5%            

Mastercard Inc., Class A

     485,171       176,301,438  

Visa Inc., Class A

     932,288       198,698,541  
   

 

 

  
      374,999,979  
Thrifts & Mortgage Finance — 0.5%            

Essent Group Ltd.

     61,982       2,512,131  

MGIC Investment Corp.

     180,649       2,359,276  

New York Community Bancorp. Inc.

     262,709       2,427,431  

Radian Group Inc.

     100,660       2,153,117  

Rocket Companies Inc., Class A(c)

    75,073       664,396  

TFS Financial Corp.

     26,917       403,486  
 

 

 

42  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Financial Services ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Thrifts & Mortgage Finance (continued)

 

UWM Holdings Corp.

     46,062     $ 170,890  
   

 

 

  
      10,690,727  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $2,125,509,711)

 

     2,023,218,800  
   

 

 

  

Short-Term Investments

 

Money Market Funds — 0.4%

 

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(b)(d)(e)

    6,001,069       6,001,069  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(d)

    1,879,000       1,879,000  
   

 

 

  
      7,880,069  
   

 

 

  

Total Short-Term Investments — 0.4%
(Cost: $7,878,467)

 

     7,880,069  
   

 

 

  

Total Investments in Securities — 100.1%
(Cost: $2,133,388,178)

 

     2,031,098,869  

Other Assets, Less Liabilities — (0.1)%

 

     (2,067,558 ) 
   

 

 

  

Net Assets — 100.0%

 

   $   2,029,031,311  
   

 

 

  
    

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

All or a portion of this security is on loan.

(d) 

Annualized 7-day yield as of period end.

(e) 

All or a portion of this security was purchased with the cash collateral from loaned securities.

 

    

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

    
    Affiliated Issuer    Value at
04/30/21 		     Purchases
at Cost 		     Proceeds
from Sales 		     Net Realized
Gain (Loss) 		     Change in
Unrealized
Appreciation
(Depreciation)		      Value at
04/30/22 		     Shares
Held at
04/30/22 		    

Income

    

Capital

Gain
Distributions
from
Underlying
Funds

          
 

 

    
 

BlackRock Cash Funds: Institutional, SL Agency Shares

    $ —      $ 6,008,359 (a)     $ —      $ (8,892 )     $ 1,602      $ 6,001,069        6,001,069      $ 23,886 (b)      $ —    
 

BlackRock Cash Funds: Treasury, SL Agency Shares

      2,049,000        —        (170,000 )(a)        —        —        1,879,000        1,879,000        1,620        —    

    

  

BlackRock Inc.

      47,072,882        36,812,757        (15,647,356 )       4,065,136        (22,233,443 )       50,069,976        80,153        1,462,479        —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    
              $ 4,056,244      $ (22,231,841 )     $ 57,950,045         $ 1,487,985      $ —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   

Number of

Contracts

     

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

            

E-mini Financials Select Sector Index

      53        06/17/22      $ 5,627      $ (375,528 ) 
           

 

 

  

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   43

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Financial Services ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 375,528  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts
  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 246,302  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (459,708 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 5,474,538    

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 2,023,218,800        $ —        $ —        $ 2,023,218,800  

Money Market Funds

      7,880,069          —          —          7,880,069  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 2,031,098,869        $ —        $ —        $ 2,031,098,869  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (375,528 )       $                 —        $                 —        $ (375,528 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

44  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® U.S. Financials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares      Value  

Common Stocks

 

Banks — 32.6%

 

Bank of America Corp.

     3,122,620      $     111,415,082  

Bank of Hawaii Corp.

     21,566        1,603,216  

Bank OZK

     64,531        2,479,281  

BOK Financial Corp.

     16,328        1,354,081  

Citigroup Inc.

     1,075,343        51,842,286  

Citizens Financial Group Inc.

     266,416        10,496,790  

Comerica Inc.

     70,933        5,809,413  

Commerce Bancshares Inc.

     59,951        4,098,850  

Cullen/Frost Bankers Inc.

     30,987        4,099,270  

East West Bancorp. Inc.

     76,354        5,444,040  

Fifth Third Bancorp.

     369,047        13,850,334  

First Citizens BancShares Inc./NC, Class A

     6,564        4,196,890  

First Hawaiian Inc.

     69,117        1,631,852  

First Horizon Corp.

     286,285        6,407,058  

First Republic Bank/CA

     96,429        14,389,135  

FNB Corp.

     185,698        2,139,241  

Huntington Bancshares Inc./OH

     777,538        10,224,625  

JPMorgan Chase & Co.

     1,186,112        141,574,328  

KeyCorp.

     502,455        9,702,406  

M&T Bank Corp.

     96,913        16,149,582  

PacWest Bancorp.

     62,607        2,059,144  

Pinnacle Financial Partners Inc.

     40,296        3,124,955  

PNC Financial Services Group Inc. (The)

     229,937        38,192,536  

Popular Inc.

     42,864        3,342,963  

Prosperity Bancshares Inc.

     48,335        3,160,142  

Regions Financial Corp.

     520,540        10,785,589  

Signature Bank/New York NY

     33,219        8,047,303  

SVB Financial Group(a)

    30,654        14,948,117  

Synovus Financial Corp.

     78,749        3,271,234  

Truist Financial Corp.

     718,660        34,747,211  

U.S. Bancorp.

     727,423        35,323,661  

Umpqua Holdings Corp.

     117,244        1,939,216  

Webster Financial Corp.

     96,505        4,824,285  

Wells Fargo & Co.

     2,060,490        89,899,179  

Western Alliance Bancorp.

     56,136        4,272,511  

Wintrust Financial Corp.

     30,602        2,672,167  

Zions Bancorp. NA

     80,765        4,564,030  
    

 

 

  
       684,082,003  
Capital Markets — 30.0%  

Affiliated Managers Group Inc.

     21,928        2,753,499  

Ameriprise Financial Inc.

     60,574        16,081,791  

Ares Management Corp., Class A

     76,823        5,087,219  

Bank of New York Mellon Corp. (The)

     399,056        16,784,295  

BlackRock Inc.(b)

    77,472        48,395,209  

Blackstone Inc., NVS

     379,826        38,578,927  

Carlyle Group Inc. (The)

     88,039        3,194,935  

Cboe Global Markets Inc.

     57,555        6,502,564  

Charles Schwab Corp. (The)

     815,181        54,070,956  

CME Group Inc.

     194,262        42,609,427  

Evercore Inc., Class A

     20,692        2,188,179  

FactSet Research Systems Inc.

     20,525        8,281,632  

Franklin Resources Inc.

     156,943        3,859,228  

Goldman Sachs Group Inc. (The)

     177,595        54,253,497  

Interactive Brokers Group Inc., Class A

     43,339        2,581,271  

Intercontinental Exchange Inc.

     301,316        34,895,406  

Invesco Ltd.

     180,888        3,324,721  

Janus Henderson Group PLC

     91,517        2,789,438  

Jefferies Financial Group Inc.

     116,350        3,578,926  
Security   Shares      Value  

Capital Markets (continued)

 

KKR & Co. Inc.

     301,227      $ 15,353,540  

Lazard Ltd., Class A

     54,201        1,776,167  

LPL Financial Holdings Inc.

     43,091        8,095,506  

MarketAxess Holdings Inc.

     20,220        5,330,194  

Moody’s Corp.

     87,920        27,824,922  

Morgan Stanley

     716,641        57,754,098  

Morningstar Inc.

     12,657        3,205,132  

MSCI Inc.

     42,824        18,039,610  

Nasdaq Inc.

     62,991        9,912,894  

Northern Trust Corp.

     111,152        11,454,214  

Raymond James Financial Inc.

     99,978        9,743,856  

S&P Global Inc.

     187,853        70,726,654  

SEI Investments Co.

     57,840        3,222,845  

State Street Corp.

     197,647        13,236,420  

Stifel Financial Corp.

     55,316        3,421,295  

T Rowe Price Group Inc.

     123,264        15,166,403  

Tradeweb Markets Inc., Class A

     56,729        4,038,537  

Virtu Financial Inc., Class A

     47,424        1,369,605  
    

 

 

  
           629,483,012  
Consumer Finance — 1.6%             

Ally Financial Inc.

     182,841        7,306,326  

Credit Acceptance Corp.(a)(c)

    4,262        2,184,275  

Discover Financial Services

     155,857        17,527,678  

OneMain Holdings Inc.

     59,378        2,727,232  

SLM Corp.

     151,117        2,528,187  

Upstart Holdings Inc.(a)(c)

    26,099        1,957,947  
    

 

 

  
       34,231,645  
Diversified Financial Services — 11.3%             

Apollo Global Management Inc.

     199,690        9,936,574  

Berkshire Hathaway Inc., Class B(a)

    676,208        218,300,229  

Equitable Holdings Inc.

     189,536        5,464,323  

Voya Financial Inc.

     59,340        3,746,728  
    

 

 

  
       237,447,854  
Insurance — 22.8%             

Aflac Inc.

     348,945        19,987,570  

Alleghany Corp.(a)

    7,183        6,008,579  

Allstate Corp. (The)

     151,600        19,183,464  

American Financial Group Inc./OH

     36,655        5,075,984  

American International Group Inc.

     450,016        26,330,436  

Aon PLC, Class A

     118,377        34,091,392  

Arch Capital Group Ltd.(a)

    201,291        9,192,960  

Arthur J Gallagher & Co.

     110,924        18,689,585  

Assurant Inc.

     30,734        5,589,900  

Assured Guaranty Ltd.

     36,563        2,016,449  

Axis Capital Holdings Ltd.

     42,046        2,410,497  

Brighthouse Financial Inc.(a)

    42,074        2,160,921  

Brown & Brown Inc.

     126,914        7,866,130  

Chubb Ltd.

     232,368        47,972,374  

Cincinnati Financial Corp.

     81,113        9,949,321  

CNA Financial Corp.

     14,863        705,101  

Erie Indemnity Co., Class A, NVS

     13,618        2,182,693  

Everest Re Group Ltd.

     21,025        5,775,778  

Fidelity National Financial Inc.

     147,649        5,879,383  

First American Financial Corp.

     57,752        3,367,519  

Globe Life Inc.

     54,143        5,310,345  

GoHealth Inc., Class A(a)(c)

    22,349        16,699  

Hanover Insurance Group Inc. (The)

     19,259        2,827,606  

Hartford Financial Services Group Inc. (The)

     181,101        12,664,393  

Kemper Corp.

     32,530        1,501,585  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   45

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Financials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Insurance (continued)

    

Lemonade Inc.(a)(c)

    21,066     $ 439,437  

Lincoln National Corp.

     97,318       5,853,678  

Loews Corp.

     113,237       7,115,813  

Markel Corp.(a)

    7,322       9,908,716  

Marsh & McLennan Companies Inc.

     275,306       44,516,980  

Mercury General Corp.

     14,282       720,241  

MetLife Inc.

     378,560       24,863,821  

Old Republic International Corp.

     151,824       3,341,646  

Primerica Inc.

     21,320       2,762,219  

Principal Financial Group Inc.

     139,712       9,519,976  

Progressive Corp. (The)

     316,546       33,984,378  

Prudential Financial Inc.

     204,907       22,234,459  

Reinsurance Group of America Inc.

     36,399       3,906,341  

RenaissanceRe Holdings Ltd.

     23,629       3,391,234  

Travelers Companies Inc. (The)

     130,535       22,329,317  

Unum Group

     110,170       3,362,388  

W R Berkley Corp.

     112,210       7,460,843  

White Mountains Insurance Group Ltd.

     1,580       1,655,872  

Willis Towers Watson PLC

     67,198       14,438,162  
   

 

 

  
          478,562,185  
IT Services — 0.4%            

Broadridge Financial Solutions Inc.

     62,607       9,023,547  
   

 

 

  
Mortgage Real Estate Investment — 0.7%            

AGNC Investment Corp.

     284,211       3,120,637  

Annaly Capital Management Inc.

     763,815       4,903,692  

New Residential Investment Corp.

     234,984       2,443,834  

Starwood Property Trust Inc.

     156,733       3,586,051  
   

 

 

  
      14,054,214  
Thrifts & Mortgage Finance — 0.3%            

MGIC Investment Corp.

     173,221       2,262,266  
Security   Shares     Value  

Thrifts & Mortgage Finance (continued)

    

New York Community Bancorp. Inc.

     245,605     $ 2,269,390  

Rocket Companies Inc., Class A(c)

    74,127       656,024  

TFS Financial Corp.

     26,429       396,171  

UWM Holdings Corp.(c)

    48,632       180,425  
   

 

 

  
      5,764,276  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $2,225,607,192)

         2,092,648,736  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 0.4%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(b)(d)(e)

    4,990,720       4,990,720  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(d)

    4,063,000       4,063,000  
   

 

 

  
      9,053,720  
   

 

 

  

Total Short-Term Investments — 0.4%
(Cost: $9,052,270)

       9,053,720  
   

 

 

  

Total Investments in Securities — 100.1%
(Cost: $2,234,659,462)

       2,101,702,456  

Other Assets, Less Liabilities — (0.1)%

       (1,753,603 ) 
   

 

 

  

Net Assets — 100.0%

     $ 2,099,948,853  
   

 

 

  

 

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

All or a portion of this security is on loan.

(d) 

Annualized 7-day yield as of period end.

(e) 

All or a portion of this security was purchased with the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

    
    Affiliated Issuer   

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

     

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income     

Capital

Gain

Distributions

from

Underlying

Funds

       
 

 

    

  

  

BlackRock Cash Funds: Institutional, SL Agency Shares

    $ 810      $ 4,994,469 (a)     $ —      $ (6,009 )     $ 1,450      $ 4,990,720        4,990,720      $ 24,976 (b)      $ —           
 

BlackRock Cash Funds: Treasury, SL Agency Shares

      5,813,000        —        (1,750,000 )(a)       —        —        4,063,000        4,063,000        2,495        —    
 

BlackRock Inc.

      41,068,232        49,226,889        (23,413,838 )       6,670,455        (25,156,529 )       48,395,209        77,472        1,108,771        —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    
              $ 6,664,446      $ (25,155,079 )     $ 57,448,929         $ 1,136,242      $ —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

46  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Financials ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation
(Depreciation)

  

 

  

Long Contracts

           

Dow Jones U.S. Real Estate Index

     48        06/17/22      $ 1,930      $ (41,828 ) 

E-mini Financials Select Sector Index

     49        06/17/22        5,202        (366,170 ) 
          

 

 

  
           $ (407,998 ) 
          

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
   

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

  $ 407,998  
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
 

Equity

Contracts

 

 

 

  

Net Realized Gain (Loss) from:

    

Futures contracts

  

  

   $ 494,293  
   

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

    

Futures contracts

     $ (657,660 ) 
   

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

  

Average notional value of contracts — long

   $ 7,281,349        

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 2,092,648,736     $ —      $ —      $ 2,092,648,736  

Money Market Funds

     9,053,720       —        —        9,053,720  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 2,101,702,456     $ —      $ —      $ 2,101,702,456  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

         

Liabilities

          

Futures Contracts

   $ (407,998 )    $ —      $ —      $ (407,998 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   47

Schedule of Investments   

April 30, 2022

   

iShares® U.S. Industrials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Aerospace & Defense — 12.5%  

Axon Enterprise Inc.(a)

    16,501     $ 1,851,412  

Boeing Co. (The)(a)

    136,094       20,256,231  

BWX Technologies Inc.

     23,414       1,215,655  

Curtiss-Wright Corp.

     9,928       1,418,810  

General Dynamics Corp.

     63,201       14,948,933  

HEICO Corp.(b)

    11,407       1,611,011  

HEICO Corp., Class A

     20,004       2,333,267  

Howmet Aerospace Inc.

     96,392       3,288,895  

Huntington Ingalls Industries Inc.

     10,018       2,131,229  

L3Harris Technologies Inc.

     49,693       11,541,696  

Lockheed Martin Corp.

     61,673       26,650,137  

Mercury Systems Inc.(a)

    14,236       794,226  

Northrop Grumman Corp.

     37,195       16,343,483  

Raytheon Technologies Corp.

     380,445       36,108,035  

Spirit AeroSystems Holdings Inc., Class A

     26,452       1,112,042  

Textron Inc.

     55,862       3,868,444  

TransDigm Group Inc.(a)

    13,310       7,916,921  

Virgin Galactic Holdings Inc.(a)(b)

    44,672       334,593  

Woodward Inc.

     15,685       1,732,879  
   

 

 

  
          155,457,899  
Air Freight & Logistics — 4.4%  

CH Robinson Worldwide Inc.

     32,691       3,470,150  

Expeditors International of Washington Inc.

     42,669       4,227,218  

FedEx Corp.

     62,298       12,381,104  

GXO Logistics Inc.(a)

    24,620       1,457,258  

United Parcel Service Inc., Class B

     183,936       33,104,801  
   

 

 

  
      54,640,531  
Building Products — 4.3%  

A O Smith Corp.

     32,894       1,921,996  

Advanced Drainage Systems Inc.

     15,604       1,598,786  

Allegion PLC

     22,833       2,608,442  

Armstrong World Industries Inc.

     12,034       1,018,799  

AZEK Co. Inc. (The)(a)(b)

    28,559       606,593  

Builders FirstSource Inc.(a)

    48,000       2,955,360  

Carlisle Companies Inc.

     13,062       3,387,760  

Carrier Global Corp.

     217,382       8,319,209  

Fortune Brands Home & Security Inc.

     34,415       2,452,069  

Hayward Holdings Inc.(a)(b)

    12,431       197,653  

Johnson Controls International PLC

     178,259       10,672,366  

Lennox International Inc.

     8,388       1,788,238  

Masco Corp.

     60,830       3,205,133  

Owens Corning

     25,487       2,317,533  

Trane Technologies PLC

     59,188       8,279,809  

Trex Co. Inc.(a)

    29,425       1,712,241  
   

 

 

  
      53,041,987  
Chemicals — 3.0%  

Axalta Coating Systems Ltd.(a)

    51,565       1,308,204  

Diversey Holdings Ltd.(a)(b)

    19,289       149,297  

DuPont de Nemours Inc.

     130,442       8,600,041  

PPG Industries Inc.

     60,107       7,693,095  

RPM International Inc.

     32,466       2,691,431  

Sherwin-Williams Co. (The)

     61,090       16,797,307  
   

 

 

  
      37,239,375  
Commercial Services & Supplies — 0.8%  

Cintas Corp.

     22,179       8,810,830  

MSA Safety Inc.

     9,261       1,117,710  
   

 

 

  
      9,928,540  
Security   Shares     Value  

Construction & Engineering — 0.8%

 

AECOM

     34,007     $ 2,399,534  

MasTec Inc.(a)(b)

    14,683       1,057,323  

MDU Resources Group Inc.

     51,259       1,320,432  

Quanta Services Inc.

     35,880       4,161,362  

Valmont Industries Inc.

     5,275       1,312,473  
   

 

 

  
      10,251,124  
Construction Materials — 1.0%  

Eagle Materials Inc.

     9,838       1,213,222  

Martin Marietta Materials Inc.

     15,779       5,589,237  

Vulcan Materials Co.

     33,560       5,782,053  
   

 

 

  
      12,584,512  
Consumer Finance — 3.6%  

American Express Co.

     156,566       27,353,646  

Capital One Financial Corp.

     104,408       13,011,325  

Synchrony Financial

     131,943       4,856,822  
   

 

 

  
          45,221,793  
Containers & Packaging — 2.6%  

Amcor PLC

     383,623       4,549,769  

AptarGroup Inc.

     16,703       1,918,006  

Ardagh Group SA(a)

    5,329       76,231  

Ardagh Metal Packaging SA(a)(b)

    15,362       109,531  

Ball Corp.

     80,531       6,535,896  

Berry Global Group Inc.(a)

    34,347       1,935,453  

Crown Holdings Inc.

     31,161       3,428,956  

Graphic Packaging Holding Co.

     71,962       1,568,772  

Packaging Corp. of America

     23,749       3,827,626  

Sealed Air Corp.

     37,642       2,416,993  

Silgan Holdings Inc.

     21,222       941,620  

Sonoco Products Co.

     24,776       1,533,882  

Westrock Co.

     66,137       3,275,766  
   

 

 

  
      32,118,501  
Diversified Consumer Services — 0.0%  

ADT Inc.

     39,482       270,451  
   

 

 

  
Electrical Equipment — 4.5%  

Acuity Brands Inc.

     8,750       1,509,200  

AMETEK Inc.

     58,537       7,390,881  

Eaton Corp. PLC

     101,156       14,669,643  

Emerson Electric Co.

     151,578       13,669,304  

Generac Holdings Inc.(a)(b)

    15,557       3,412,895  

Hubbell Inc.

     13,766       2,689,326  

nVent Electric PLC

     42,429       1,433,252  

Regal Rexnord Corp.

     17,151       2,182,293  

Rockwell Automation Inc.

     29,476       7,447,701  

Sensata Technologies Holding PLC(a)

    39,557       1,796,283  
   

 

 

  
      56,200,778  
Electronic Equipment, Instruments & Components — 2.2%  

Cognex Corp.

     43,481       2,940,620  

Coherent Inc.(a)

    6,225       1,667,677  

Keysight Technologies Inc.(a)

    46,253       6,487,908  

Littelfuse Inc.

     6,046       1,386,046  

Teledyne Technologies Inc.(a)

    11,684       5,042,230  

Trimble Inc.(a)

    63,508       4,235,984  

Vontier Corp.(b)

    42,773       1,095,844  

Zebra Technologies Corp., Class A(a)(b)

    13,509       4,993,737  
   

 

 

  
      27,850,046  
Household Durables — 0.3%            

Mohawk Industries Inc.(a)

    13,974       1,971,172  
 

 

 

48  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Industrials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Household Durables (continued)

 

TopBuild Corp.(a)

    8,389     $ 1,519,584  
   

 

 

  
      3,490,756  
Industrial Conglomerates — 6.0%            

3M Co.

     144,820       20,885,940  

General Electric Co.

     277,534       20,690,160  

Honeywell International Inc.

     174,396       33,747,370  
   

 

 

  
      75,323,470  
IT Services — 27.8%            

Accenture PLC, Class A

     161,630       48,547,187  

Automatic Data Processing Inc.

     106,693       23,278,279  

Block Inc.(a)(b)

    121,901       12,134,025  

Bread Financial Holdings Inc.

     12,595       690,206  

Euronet Worldwide Inc.(a)

    12,894       1,568,555  

Fidelity National Information Services Inc.

     154,596       15,328,193  

Fiserv Inc.(a)(b)

    151,984       14,882,273  

FleetCor Technologies Inc.(a)

    20,143       5,026,081  

Genpact Ltd.

     46,571       1,875,414  

Global Payments Inc.

     71,857       9,842,972  

Jack Henry & Associates Inc.

     18,335       3,475,949  

Mastercard Inc., Class A

     219,406       79,727,752  

Paychex Inc.

     81,786       10,364,740  

PayPal Holdings Inc.(a)

    298,644       26,259,767  

Paysafe Ltd.(a)

    91,211       253,567  

Shift4 Payments Inc., Class A(a)(b)

    10,954       574,647  

StoneCo Ltd., Class A(a)(b)

    55,692       524,619  

Visa Inc., Class A

     421,728       89,882,889  

Western Union Co. (The)

     99,899       1,674,307  

WEX Inc.(a)

    11,282       1,875,520  
   

 

 

  
          347,786,942  
Leisure Products — 0.1%  

Brunswick Corp./DE

     19,584       1,480,746  
   

 

 

  
Life Sciences Tools & Services — 1.0%  

Mettler-Toledo International Inc.(a)

    5,760       7,358,573  

Waters Corp.(a)

    15,344       4,649,539  
   

 

 

  
      12,008,112  
Machinery — 12.8%            

AGCO Corp.

     15,868       2,021,583  

Allison Transmission Holdings Inc.

     26,367       987,181  

Caterpillar Inc.

     137,523       28,954,093  

Crane Co.

     12,452       1,198,256  

Cummins Inc.

     36,442       6,894,462  

Deere & Co.

     70,872       26,757,724  

Donaldson Co. Inc.

     31,231       1,531,568  

Dover Corp.

     36,421       4,854,919  

Esab Corp.(a)

    11,883       558,501  

Flowserve Corp.

     32,909       1,076,453  

Fortive Corp.

     82,888       4,766,060  

Gates Industrial Corp. PLC(a)

    23,760       302,940  

Graco Inc.

     42,695       2,647,944  

IDEX Corp.

     19,246       3,653,276  

Illinois Tool Works Inc.

     79,930       15,755,002  

Ingersoll Rand Inc.

     99,794       4,386,944  

ITT Inc.

     21,805       1,531,147  

Lincoln Electric Holdings Inc.

     14,600       1,967,058  

Middleby Corp. (The)(a)

    14,006       2,155,383  

Nordson Corp.

     14,707       3,172,153  

Oshkosh Corp.

     16,864       1,558,908  

Otis Worldwide Corp.

     108,031       7,868,978  
Security   Shares     Value  

Machinery (continued)

    

PACCAR Inc.

     86,523     $ 7,185,735  

Parker-Hannifin Corp.

     32,663       8,845,794  

Pentair PLC

     42,047       2,133,885  

Snap-on Inc.

     13,420       2,851,616  

Stanley Black & Decker Inc.

     40,968       4,922,305  

Toro Co. (The)

     26,634       2,134,182  

Westinghouse Air Brake Technologies Corp.

     45,449       4,086,320  

Xylem Inc./NY

     45,384       3,653,412  
   

 

 

  
          160,413,782  
Marine — 0.1%            

Kirby Corp.(a)

    15,086       983,607  
   

 

 

  
Media — 0.0%            

Loyalty Ventures Inc.(a)

    4,968       63,541  
   

 

 

  
Paper & Forest Products — 0.1%            

Louisiana-Pacific Corp.

     22,303       1,438,989  
   

 

 

  
Professional Services — 2.5%            

Booz Allen Hamilton Holding Corp.

     33,397       2,726,197  

Equifax Inc.

     30,762       6,260,682  

FTI Consulting Inc.(a)(b)

    8,471       1,335,961  

Jacobs Engineering Group Inc.

     32,774       4,540,838  

Legalzoomcom Inc.(a)(b)

    24,273       348,318  

ManpowerGroup Inc.

     13,852       1,249,450  

Robert Half International Inc.

     27,575       2,710,898  

TransUnion

     48,551       4,249,184  

Verisk Analytics Inc.

     40,305       8,224,235  
   

 

 

  
      31,645,763  
Road & Rail — 7.3%            

CSX Corp.

     561,708       19,289,053  

JB Hunt Transport Services Inc.

     21,319       3,642,351  

Knight-Swift Transportation Holdings Inc.

     40,884       1,957,935  

Landstar System Inc.

     9,736       1,508,106  

Norfolk Southern Corp.

     60,800       15,679,104  

Old Dominion Freight Line Inc.

     25,956       7,270,795  

Ryder System Inc.

     13,202       922,820  

Schneider National Inc., Class B

     12,928       305,488  

TuSimple Holdings Inc., Class A(a)(b)

    33,256       344,865  

Union Pacific Corp.

     163,387       38,279,940  

XPO Logistics Inc.(a)

    24,627       1,324,686  
   

 

 

  
      90,525,143  
Semiconductors & Semiconductor Equipment — 0.1%  

MKS Instruments Inc.

     14,059       1,602,445  
   

 

 

  
Software — 0.7%            

Bill.com Holdings Inc.(a)(b)

    23,690       4,044,120  

Fair Isaac Corp.(a)

    6,481       2,420,718  

Paylocity Holding Corp.(a)

    10,111       1,917,349  
   

 

 

  
      8,382,187  
Trading Companies & Distributors — 1.3%  

Air Lease Corp.

     27,041       1,089,211  

Core & Main Inc., Class A(a)(b)

    14,124       335,586  

MSC Industrial Direct Co. Inc., Class A

     11,375       942,533  

United Rentals Inc.(a)

    18,354       5,809,408  

Watsco Inc.

     8,312       2,217,475  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   49

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Industrials ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Trading Companies & Distributors (continued)

 

WW Grainger Inc.

     11,655     $ 5,827,850  
   

 

 

  
      16,222,063  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $1,261,312,650)

 

         1,246,173,083  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 1.6%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    17,893,851       17,893,851  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    2,472,000       2,472,000  
   

 

 

  
      20,365,851  
   

 

 

  

Total Short-Term Investments — 1.6%
(Cost: $20,361,757)

 

     20,365,851  
   

 

 

  

Total Investments in Securities — 101.4%
(Cost: $1,281,674,407)

 

     1,266,538,934  

Other Assets, Less Liabilities — (1.4)%

 

     (17,447,044 ) 
   

 

 

  

Net Assets — 100.0%

 

   $ 1,249,091,890  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

    
       Affiliated Issuer   

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

     

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income     

Capital

Gain

Distributions

from

Underlying

Funds

   

  

  
 

 

    
 

BlackRock Cash Funds: Institutional, SL Agency Shares

    $ 24,612,573      $ —      $ (6,708,427 )(a)     $ (14,358 )     $ 4,063      $ 17,893,851        17,893,851      $ 32,320 (b)     $ —    
 

BlackRock Cash Funds: Treasury, SL Agency Shares

      1,952,000        520,000 (a)       —        —        —        2,472,000        2,472,000        1,164        —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    
              $ (14,358 )     $ 4,063      $ 20,365,851         $ 33,484      $ —    
             

 

 

     

 

 

     

 

 

        

 

 

     

 

 

    

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

            

E-Mini Technology Select Sector Index

      3        06/17/22      $ 427      $ (33,677 ) 

XAI Industrial Index

      25        06/17/22        2,394        (91,864 ) 
           

 

 

  
            $ (125,541 ) 
           

 

 

  

 

 

50  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® U.S. Industrials ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 125,541  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 115,550  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (229,851 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 2,829,074      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 1,246,096,852        $ 76,231        $ —        $ 1,246,173,083  

Money Market Funds

      20,365,851          —          —          20,365,851  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 1,266,462,703        $ 76,231        $ —        $ 1,266,538,934  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (125,541 )       $ —        $ —        $ (125,541 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   51

Statements of Assets and Liabilities

April 30, 2022

 

   

iShares

MSCI KLD 400

Social ETF

     

iShares

MSCI USA

ESG Select

ETF

    

iShares

U.S. Basic

Materials ETF

    

iShares

U.S. Consumer

Discretionary

ETF

  

 

  

ASSETS

         

Investments in securities, at value (including securities on loan)(a):

         

Unaffiliated(b)

  $ 3,590,754,956      $ 3,608,153,522     $ 1,123,129,102     $ 856,129,904  

Affiliated(c)

    45,804,927        70,376,840       1,980,000       27,226,180  

Cash

     128,878        278,879       49,429       16,247  

Cash pledged:

         

Futures contracts

     249,000        623,000       150,000       36,000  

Receivables:

         

Investments sold

     104        —       —       —  

Securities lending income — Affiliated

     18,285        25,922       —       16,917  

Dividends

     3,181,822        3,007,039       1,451,130       375,125  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total assets

     3,640,137,972        3,682,465,202       1,126,759,661       883,800,373  
 

 

 

     

 

 

    

 

 

    

 

 

  

LIABILITIES

         

Collateral on securities loaned, at value

     25,452,928        14,195,814       —       26,603,496  

Payables:

         

Investments purchased

     —        4,490,942       —       —  

Variation margin on futures contracts

     171,583        309,389       62,077       24,563  

Capital shares redeemed

     —        13,024       —       —  

Investment advisory fees

     799,058        809,800       371,445       306,435  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total liabilities

     26,423,569        19,818,969       433,522       26,934,494  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 3,613,714,403      $ 3,662,646,233     $ 1,126,326,139     $ 856,865,879  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS CONSIST OF:

         

Paid-in capital

   $ 2,937,132,289      $ 3,682,172,191     $ 1,263,006,070     $ 1,107,635,916  

Accumulated earnings (loss)

     676,582,114        (19,525,958 )      (136,679,931 )      (250,770,037 ) 
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 3,613,714,403      $ 3,662,646,233     $ 1,126,326,139     $ 856,865,879  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares outstanding

     45,950,000        41,350,000       8,000,000       12,850,000  
 

 

 

     

 

 

    

 

 

    

 

 

  

Net asset value

   $ 78.64      $ 88.58     $ 140.79     $ 66.68  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares authorized

     Unlimited        Unlimited       Unlimited       Unlimited  
 

 

 

     

 

 

    

 

 

    

 

 

  

Par value

     None        None       None       None  
 

 

 

     

 

 

    

 

 

    

 

 

  

(a) Securities loaned, at value

   $ 24,024,112      $ 13,124,508     $ —     $ 24,870,414  

(b) Investments, at cost — Unaffiliated

   $ 2,848,052,391      $ 3,542,342,886     $ 1,135,752,285     $ 1,007,919,225  

(c)  Investments, at cost — Affiliated

   $ 44,684,934      $ 76,829,879     $ 1,980,000     $ 27,217,218  

See notes to financial statements.

 

 

52  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Assets and Liabilities  (continued)

April 30, 2022

 

   

iShares

U.S. Consumer

Staples ETF

     

iShares

U.S. Financial

Services ETF

    

iShares

U.S. Financials

ETF

    

iShares

U.S. Industrials

ETF

  

 

  

ASSETS

         

Investments in securities, at value (including securities on loan)(a):

         

Unaffiliated(b)

  $ 1,132,161,943      $ 1,973,148,824     $ 2,044,253,527     $ 1,246,173,083  

Affiliated(c)

    6,646,847        57,950,045       57,448,929       20,365,851  

Cash

     110,218        61,586       93,718       45,552  

Cash pledged:

         

Futures contracts

     144,000        285,000       410,000       157,000  

Receivables:

         

Investments sold

     —        85       —       —  

Securities lending income — Affiliated

     14,569        3,994       9,308       2,555  

Capital shares sold

     —        24,369       19,973       —  

Dividends

     1,930,868        4,478,872       3,705,707       767,256  

Other assets

     14,980        —       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total assets

     1,141,023,425        2,035,952,775       2,105,941,162       1,267,511,297  
 

 

 

     

 

 

    

 

 

    

 

 

  

LIABILITIES

         

Collateral on securities loaned, at value

     4,367,069        6,009,067       4,995,279       17,909,889  

Payables:

         

Investments purchased

     1,275,945        —       —       —  

Variation margin on futures contracts

     75,846        182,562       260,378       81,927  

Capital shares redeemed

     —        24,369       —       —  

Investment advisory fees

     350,236        705,466       736,652       427,591  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total liabilities

     6,069,096        6,921,464       5,992,309       18,419,407  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 1,134,954,329      $ 2,029,031,311     $ 2,099,948,853     $ 1,249,091,890  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS CONSIST OF:

         

Paid-in capital

   $ 1,077,713,899      $ 2,195,938,668     $ 2,313,907,333     $ 1,349,743,310  

Accumulated earnings (loss)

     57,240,430        (166,907,357 )      (213,958,480 )      (100,651,420 ) 
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 1,134,954,329      $ 2,029,031,311     $ 2,099,948,853     $ 1,249,091,890  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares outstanding

     5,500,000        12,450,000       27,700,000       12,800,000  
 

 

 

     

 

 

    

 

 

    

 

 

  

Net asset value

   $ 206.36      $ 162.97     $ 75.81     $ 97.59  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares authorized

     Unlimited        Unlimited       Unlimited       Unlimited  
 

 

 

     

 

 

    

 

 

    

 

 

  

Par value

     None        None       None       None  
 

 

 

     

 

 

    

 

 

    

 

 

  

(a) Securities loaned, at value

   $ 4,047,582      $ 5,608,162     $ 4,742,781     $ 16,664,865  

(b) Investments, at cost — Unaffiliated

   $ 1,041,652,045      $ 2,066,600,448     $ 2,161,338,001     $ 1,261,312,650  

(c)  Investments, at cost — Affiliated

   $ 6,645,564      $ 66,787,730     $ 73,321,461     $ 20,361,757  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   53

Statements of Operations

Year Ended April 30, 2022

 

   

iShares

MSCI KLD 400

Social ETF

    

iShares

MSCI USA

ESG Select

ETF

    

iShares

U.S. Basic

Materials ETF

    

iShares

U.S. Consumer

Discretionary

ETF

  

 

  

INVESTMENT INCOME

        

Dividends — Unaffiliated

   $ 47,704,923     $ 51,266,943     $ 18,218,694     $ 10,447,805  

Dividends — Affiliated

     456,560       1,254,838       858       2,372  

Securities lending income — Affiliated — net

     67,576       120,891       1,665       81,709  

Foreign taxes withheld

     (10,370 )      (13,751 )      —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

     48,218,689       52,628,921       18,221,217       10,531,886  
 

 

 

    

 

 

    

 

 

    

 

 

  

EXPENSES

        

Investment advisory fees

     9,104,412       9,672,606       3,584,401       5,250,594  

Professional fees

     217       217       217       217  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses

     9,104,629       9,672,823       3,584,618       5,250,811  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     39,114,060       42,956,098       14,636,599       5,281,075  
 

 

 

    

 

 

    

 

 

    

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

        

Net realized gain (loss) from:

        

Investments — Unaffiliated

     (21,851,171 )      (28,780,525 )      2,612,778       (33,069,263 ) 

Investments — Affiliated

     (59,039 )      (298,912 )      (9 )      (566 ) 

In-kind redemptions — Unaffiliated

     219,916,132       357,973,643       121,040,717       408,880,816  

In-kind redemptions — Affiliated

     1,248,717       4,659,799       —       —  

Futures contracts

     525,239       941,221       (32,978 )      88,671  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized gain

     199,779,878       334,495,226       123,620,508       375,899,658  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation) on:

        

Investments — Unaffiliated

     (321,278,616 )      (533,850,844 )      (93,455,264 )      (549,274,734 ) 

Investments — Affiliated

     (6,991,001 )      (21,184,508 )      —       3,065  

Futures contracts

     (308,731 )      (702,954 )      (74,772 )      (154,868 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation)

     (328,578,348 )      (555,738,306 )      (93,530,036 )      (549,426,537 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized and unrealized gain (loss)

     (128,798,470 )      (221,243,080 )      30,090,472       (173,526,879 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ (89,684,410 )    $ (178,286,982 )    $ 44,727,071     $ (168,245,804 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

See notes to financial statements.

 

 

54  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Operations  (continued)

Year Ended April 30, 2022

 

   

iShares

U.S. Consumer

Staples ETF

    

iShares

U.S. Financial

Services ETF

    

iShares

U.S. Financials

ETF

    

iShares

U.S. Industrials

ETF

  

 

  

INVESTMENT INCOME

        

Dividends — Unaffiliated

   $ 18,438,721     $ 44,110,820     $ 42,352,133     $ 19,590,759  

Dividends — Affiliated

     981       1,464,532       1,111,405       2,319  

Securities lending income — Affiliated — net

     42,456       23,453       24,837       31,165  

Foreign taxes withheld

     —       (9,085 )      (6,862 )      (1,003 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

     18,482,158       45,589,720       43,481,513       19,623,240  
 

 

 

    

 

 

    

 

 

    

 

 

  

EXPENSES

        

Investment advisory fees

     3,033,955       9,614,254       9,373,370       6,386,753  

Professional fees

     217       217       217       217  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses

     3,034,172       9,614,471       9,373,587       6,386,970  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     15,447,986       35,975,249       34,107,926       13,236,270  
 

 

 

    

 

 

    

 

 

    

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

        

Net realized gain (loss) from:

        

Investments — Unaffiliated

     (15,209,890 )      (12,776,195 )      (16,937,062 )      (49,995,141 ) 

Investments — Affiliated

     (3,812 )      (285,435 )      (317,738 )      (14,358 ) 

In-kind redemptions — Unaffiliated

     138,581,459       128,376,200       280,722,553       281,982,767  

In-kind redemptions — Affiliated

     —       4,341,679       6,982,184       —  

Futures contracts

     131,499       246,302       494,293       115,550  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized gain

     123,499,256       119,902,551       270,944,230       232,088,818  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation) on:

        

Investments — Unaffiliated

     (28,369,907 )      (371,999,116 )      (385,657,112 )      (409,156,677 ) 

Investments — Affiliated

     1,128       (22,231,841 )      (25,155,079 )      4,063  

Futures contracts

     (54,835 )      (459,708 )      (657,660 )      (229,851 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation)

     (28,423,614 )      (394,690,665 )      (411,469,851 )      (409,382,465 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized and unrealized gain (loss)

     95,075,642       (274,788,114 )      (140,525,621 )      (177,293,647 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ 110,523,628     $ (238,812,865 )    $ (106,417,695 )    $ (164,057,377 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   55

Statements of Changes in Net Assets

 

   

iShares

MSCI KLD 400 Social ETF

   

iShares

MSCI USA ESG Select ETF

  
 

 

 

       

 

 

  
    Year Ended
04/30/22		          Year Ended
04/30/21		           Year Ended
04/30/22		          Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 39,114,060        $ 30,212,755        $ 42,956,098        $ 26,983,543  

Net realized gain

     199,779,878          83,097,575          334,495,226          321,939,109  

Net change in unrealized appreciation (depreciation)

     (328,578,348 )         805,378,714          (555,738,306 )         481,849,819  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     (89,684,410 )         918,689,044          (178,286,982 )         830,772,471  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                

Decrease in net assets resulting from distributions to shareholders

     (39,133,562 )         (29,576,320 )         (43,477,209 )         (25,919,845 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase in net assets derived from capital share transactions

     633,066,989          426,528,979          826,479,467          964,022,901  
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase in net assets

     504,249,017          1,315,641,703          604,715,276          1,768,875,527  

Beginning of year

     3,109,465,386          1,793,823,683          3,057,930,957          1,289,055,430  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 3,613,714,403        $ 3,109,465,386        $ 3,662,646,233        $ 3,057,930,957  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

56  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)

 

   

iShares

U.S. Basic Materials ETF

   

iShares

U.S. Consumer Discretionary ETF

  
 

 

 

       

 

 

  
    Year Ended
04/30/22		          Year Ended
04/30/21		           Year Ended
04/30/22		          Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 14,636,599        $ 8,777,570        $ 5,281,075        $ 7,656,646  

Net realized gain

     123,620,508          87,339,085          375,899,658          56,113,667  

Net change in unrealized appreciation (depreciation)

     (93,530,036 )         164,688,371          (549,426,537 )         416,301,746  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     44,727,071          260,805,026          (168,245,804 )         480,072,059  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                

Decrease in net assets resulting from distributions to shareholders

     (13,985,668 )         (8,165,209 )         (5,634,523 )         (7,416,213 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     316,101,233          270,837,091          (552,919,725 )         312,839,562  
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase (decrease) in net assets

     346,842,636          523,476,908          (726,800,052 )         785,495,408  

Beginning of year

     779,483,503          256,006,595          1,583,665,931          798,170,523  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 1,126,326,139        $ 779,483,503        $ 856,865,879        $ 1,583,665,931  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   57

Statements of Changes in Net Assets (continued)

 

   

iShares

U.S. Consumer Staples ETF

   

iShares

U.S. Financial Services ETF

  
 

 

 

       

 

 

  
   

Year Ended

04/30/22

         

Year Ended

04/30/21

          

Year Ended

04/30/22

         

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 15,447,986        $ 10,212,175        $ 35,975,249        $ 26,019,551  

Net realized gain

     123,499,256          98,617,294          119,902,551          117,687,973  

Net change in unrealized appreciation (depreciation)

     (28,423,614 )         159,057,829          (394,690,665 )         439,809,902  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     110,523,628          267,887,298          (238,812,865 )         583,517,426  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                

Decrease in net assets resulting from distributions to shareholders

     (13,054,119 )         (10,088,558 )         (34,305,475 )         (25,484,339 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     345,936,728          (37,805,389 )         666,824,707          212,125,779  
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase in net assets

     443,406,237          219,993,351          393,706,367          770,158,866  

Beginning of year

     691,548,092          471,554,741          1,635,324,944          865,166,078  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 1,134,954,329        $ 691,548,092        $ 2,029,031,311        $ 1,635,324,944  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

58  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)

 

   

iShares

U.S. Financials ETF

   

iShares

U.S. Industrials ETF

  
 

 

 

       

 

 

  
    Year Ended
04/30/22		          Year Ended
04/30/21		           Year Ended
04/30/22		          Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

                 

OPERATIONS

                 

Net investment income

   $ 34,107,926        $ 25,420,743        $ 13,236,270        $ 10,675,723  

Net realized gain (loss)

     270,944,230          48,587,244          232,088,818          (3,027,516 ) 

Net change in unrealized appreciation (depreciation)

     (411,469,851 )         558,468,276          (409,382,465 )         492,579,101  
 

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) in net assets resulting from operations

     (106,417,695 )         632,476,263          (164,057,377 )         500,227,308  
 

 

 

       

 

 

       

 

 

       

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

                

Decrease in net assets resulting from distributions to shareholders

     (33,553,578 )         (24,797,842 )         (13,540,660 )         (10,838,019 ) 
 

 

 

       

 

 

       

 

 

       

 

 

  

CAPITAL SHARE TRANSACTIONS

                 

Net increase (decrease) in net assets derived from capital share transactions

     (113,282,168 )         512,289,078          (271,270,619 )         525,723,003  
 

 

 

       

 

 

       

 

 

       

 

 

  

NET ASSETS

                 

Total increase (decrease) in net assets

     (253,253,441 )         1,119,967,499          (448,868,656 )         1,015,112,292  

Beginning of year

     2,353,202,294          1,233,234,795          1,697,960,546          682,848,254  
 

 

 

       

 

 

       

 

 

       

 

 

  

End of year

   $ 2,099,948,853        $ 2,353,202,294        $ 1,249,091,890        $ 1,697,960,546  
 

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   59

Financial Highlights

(For a share outstanding throughout each period)

 

    iShares MSCI KLD 400 Social ETF  
 

 

 

  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
(a)  		    
 Year Ended
04/30/20		  
(a)  		    
 Year Ended
04/30/19		  
(a)  		    
 Year Ended
04/30/18		  
(a)  

 

  

Net asset value, beginning of year

   $ 80.24     $ 55.03     $ 54.88     $ 49.07     $ 44.01  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(b)

    0.92       0.86       0.90       0.83       0.68  

Net realized and unrealized gain (loss)(c)

    (1.61 )      25.19       0.14       5.82       5.01  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     (0.69 )      26.05       1.04       6.65       5.69  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

         

From net investment income

     (0.91 )      (0.84 )      (0.89 )      (0.84 )      (0.63 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (0.91 )      (0.84 )      (0.89 )      (0.84 )      (0.63 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 78.64     $ 80.24     $ 55.03     $ 54.88     $ 49.07  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

         

Based on net asset value

     (0.95 )%      47.69 %      1.95 %      13.70 %      12.99 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

         

Total expenses

     0.25 %      0.25 %      0.25 %      0.28 %      0.50 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses after fees waived

     0.25 %      0.25 %      0.25 %      0.25 %      0.48 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     1.07 %      1.27 %      1.61 %      1.61 %      1.43 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 3,613,714     $ 3,109,465     $ 1,793,824     $ 1,415,953     $ 1,035,423  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

    6 %      5 %      6 %      13 %      11 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

60  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares MSCI USA ESG Select ETF  
 

 

 

  
    Year Ended        Year Ended       Year Ended        Year Ended       Year Ended  
    04/30/22        04/30/21 (a)       04/30/20 (a)        04/30/19 (a)          04/30/18 (a) 

 

  

Net asset value, beginning of year

   $ 92.11      $ 61.68     $ 61.08      $ 55.42        $ 49.86  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net investment income(b)

    1.09        1.03       1.00        0.98          0.84  

Net realized and unrealized gain (loss)(c)

    (3.54 )       30.38       0.65        5.62          5.50  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net increase (decrease) from investment operations

     (2.45 )       31.41       1.65        6.60          6.34  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Distributions(d)

              

From net investment income

     (1.08 )       (0.98 )      (1.05 )       (0.94 )         (0.78 ) 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Total distributions

     (1.08 )       (0.98 )      (1.05 )       (0.94 )         (0.78 ) 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net asset value, end of year

   $ 88.58      $ 92.11     $ 61.68      $ 61.08              $ 55.42  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Total Return(e)

              

Based on net asset value

     (2.77 )%       51.29 %      2.76 %       12.07 %         12.76 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Ratios to Average Net Assets(f)

              

Total expenses

     0.25 %       0.25 %      0.25 %       0.28 %         0.50 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Total expenses after fees waived

     0.25 %       0.25 %      0.25 %       0.25 %         0.48 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net investment income

     1.11 %       1.31 %      1.61 %       1.71 %         1.56 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Supplemental Data

               

Net assets, end of year (000)

   $ 3,662,646      $ 3,057,931     $ 1,289,055      $ 1,001,715        $ 681,607  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Portfolio turnover rate(g)

    19 %       27 %      13 %       21 %         13 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

 

(a)

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   61

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Basic Materials ETF  
 

 

 

  
    Year Ended
04/30/22		    

Year Ended

04/30/21

    

Year Ended

04/30/20

    

Year Ended

04/30/19

     Year Ended
04/30/18		  

 

  

Net asset value, beginning of year

   $ 131.01        $ 81.27        $ 94.03        $ 97.37        $ 89.37  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(a)

    2.16          1.78          1.65          1.63          1.39  

Net realized and unrealized gain (loss)(b)

    9.70          49.62          (12.42 )         (3.49 )         8.16  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

     11.86          51.40          (10.77 )         (1.86 )         9.55  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(c)

                     

From net investment income

     (2.08 )         (1.66 )         (1.99 )         (1.48 )         (1.55 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

     (2.08 )         (1.66 )         (1.99 )         (1.48 )         (1.55 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

   $ 140.79        $ 131.01        $ 81.27        $ 94.03        $ 97.37  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(d)

                     

Based on net asset value

     9.13 %         63.81 %         (11.59 )%         (1.89 )%         10.74 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(e)

                     

Total expenses

     0.39 %         0.41 %         0.43 %         0.42 %         0.43 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

     1.60 %         1.64 %         1.83 %         1.71 %         1.44 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                      

Net assets, end of year (000)

   $ 1,126,326        $ 779,484        $ 256,007        $ 423,128        $ 632,934  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(f)

    47 %         28 %         11 %         28 %         6 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

62  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

        iShares U.S. Consumer Discretionary ETF  
   

 

 

  
  Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

     Year Ended  
  04/30/22

 

   04/30/21(a)

 

   04/30/20(a)

 

   04/30/19(a)

 

        04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 78.01        $ 51.17        $ 54.31        $ 46.36        $ 41.31  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

      0.31          0.44          0.52          0.40          0.45  

Net realized and unrealized gain (loss)(c)

      (11.31 )         26.82          (3.11 )         7.94          5.03  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       (11.00 )         27.26          (2.59 )         8.34          5.48  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                       

From net investment income

       (0.33 )         (0.42 )         (0.55 )         (0.39 )         (0.43 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (0.33 )         (0.42 )         (0.55 )         (0.39 )         (0.43 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 66.68        $ 78.01        $ 51.17        $ 54.31        $ 46.36  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                       

Based on net asset value

       (14.16 )%         53.48 %         (4.79 )%         18.09 %         13.35 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                       

Total expenses

       0.39 %         0.41 %         0.43 %         0.42 %         0.43 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       0.39 %         0.67 %         0.96 %         0.81 %         1.04 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 856,866        $ 1,583,666        $ 798,171        $ 934,120        $ 741,682  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

      45 %         20 %         31 %         15 %         10 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a)

Per share amounts reflect a four-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   63

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Consumer Staples ETF  
 

 

 

  
   

Year Ended

04/30/22

    

Year Ended

04/30/21

    

Year Ended

04/30/20

    

Year Ended

04/30/19

    

Year Ended

04/30/18

  

 

  

Net asset value, beginning of year

   $ 181.99        $ 119.38        $ 123.43        $ 114.08        $ 119.04  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(a)

    3.80          2.44          2.77          3.04          2.50  

Net realized and unrealized gain (loss)(b)

    23.80          62.57          (3.83 )         9.24          (5.24 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

     27.60          65.01          (1.06 )         12.28          (2.74 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(c)

                     

From net investment income

     (3.23 )         (2.40 )         (2.99 )         (2.93 )         (2.22 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

     (3.23 )         (2.40 )         (2.99 )         (2.93 )         (2.22 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

   $ 206.36        $ 181.99        $ 119.38        $ 123.43        $ 114.08  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(d)

                     

Based on net asset value

     15.33 %         54.87 %         (0.86 )%         10.95 %         (2.41 )% 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(e)

                     

Total expenses

     0.39 %         0.41 %         0.43 %         0.42 %         0.43 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

     1.99 %         1.57 %         2.22 %         2.61 %         2.05 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                      

Net assets, end of year (000)

   $ 1,134,954        $ 691,548        $ 471,555        $ 469,043        $ 433,499  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(f)

    33 %         4 %         5 %         4 %         7 % 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a)

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

64  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Financial Services ETF  
 

 

 

  
    Year Ended
04/30/22		     

Year Ended

04/30/21

    

Year Ended

04/30/20

     

Year Ended

04/30/19

    

Year Ended

04/30/18

  

 

  

Net asset value, beginning of year

   $ 182.72      $ 115.36     $ 136.07      $ 130.98        $ 108.38  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net investment income(a)

    2.76        2.52       2.58        2.17          1.73  

Net realized and unrealized gain (loss)(b)

    (19.91 )       67.20       (20.69 )       5.12          22.56  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net increase (decrease) from investment operations

     (17.15 )       69.72       (18.11 )       7.29          24.29  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Distributions(c)

              

From net investment income

     (2.60 )       (2.36 )      (2.60 )       (2.20 )         (1.69 ) 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Total distributions

     (2.60 )       (2.36 )      (2.60 )       (2.20 )         (1.69 ) 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net asset value, end of year

   $ 162.97      $ 182.72     $ 115.36      $ 136.07        $ 130.98  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Total Return(d)

              

Based on net asset value

     (9.57 )%       61.14 %      (13.46 )%       5.72 %         22.53 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Ratios to Average Net Assets(e)

              

Total expenses

     0.39 %       0.41 %      0.42 %       0.42 %         0.43 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Net investment income

     1.46 %       1.85 %      1.90 %       1.68 %         1.40 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Supplemental Data

               

Net assets, end of year (000)

   $ 2,029,031      $ 1,635,325     $ 865,166      $ 1,435,523        $ 1,643,780  
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

Portfolio turnover rate(f)

    5 %       7 %      7 %       4 %         4 % 
 

 

 

     

 

 

    

 

 

     

 

 

       

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   65

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

        iShares U.S. Financials ETF  
   

 

 

  
 

Year Ended

04/30/22

 

 

  

Year Ended

04/30/21(a)

 

 

      

 Year Ended

04/30/20

  

(a)  

      

 Year Ended

04/30/19

  

(a)  

      

 Year Ended

04/30/18

  

(a)  

  

 

    

Net asset value, beginning of year

     $ 80.18         $ 53.39       $ 62.97       $ 58.86       $ 51.90    
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Net investment income(b)

      1.20           1.09         1.17         1.04         0.91    

Net realized and unrealized gain (loss)(c)

      (4.38 )          26.76         (9.55 )        4.16         6.95    
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Net increase (decrease) from investment operations

       (3.18 )          27.85         (8.38 )        5.20         7.86    
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Distributions(d)

                       

From net investment income

       (1.19 )          (1.06 )        (1.20 )        (1.09 )        (0.90 )   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Total distributions

       (1.19 )          (1.06 )        (1.20 )        (1.09 )        (0.90 )   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Net asset value, end of year

     $ 75.81         $ 80.18       $ 53.39       $ 62.97       $ 58.86    
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Total Return(e)

                       

Based on net asset value

       (4.11 )%          52.80 %        (13.47 )%        9.01 %        15.21 %   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Ratios to Average Net Assets(f)

                       

Total expenses

       0.39 %          0.41 %        0.42 %        0.42 %        0.43 %   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Net investment income

       1.42 %          1.72 %        1.85 %        1.75 %        1.59 %   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Supplemental Data

                        

Net assets, end of year (000)

     $ 2,099,949         $ 2,353,202       $ 1,233,235       $ 1,693,736       $ 2,295,315    
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

Portfolio turnover rate(g)

      24 %          9 %        6 %        8 %        6 %   
   

 

 

        

 

 

      

 

 

      

 

 

      

 

 

    

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

 
(b) 

Based on average shares outstanding.

 
(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) 

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

 
(e) 

Where applicable, assumes the reinvestment of distributions.

 
(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

 
(g) 

Portfolio turnover rate excludes in-kind transactions.

 

See notes to financial statements.

 

 

66  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Industrials ETF  
 

 

 

    
   

 Year Ended

04/30/22

  

 

    

 Year Ended

04/30/21(a)

 

 

    

 Year Ended

04/30/20(a)

  

 

    
 Year Ended
04/30/19(a)		  
 		    

 Year Ended

04/30/18(a)

 

 

  

 

    

Net asset value, beginning of year

   $ 110.26       $ 68.98       $ 79.12       $ 70.80       $ 64.30    
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Net investment income(b)

    0.89         0.90         1.03         0.95         0.89    

Net realized and unrealized gain (loss)(c)

    (12.64 )        41.28         (10.11 )        8.39         6.53    
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Net increase (decrease) from investment operations

     (11.75 )        42.18         (9.08 )        9.34         7.42    
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Distributions(d)

                   

From net investment income

     (0.92 )        (0.90 )        (1.06 )        (1.02 )        (0.92 )   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Total distributions

     (0.92 )        (0.90 )        (1.06 )        (1.02 )        (0.92 )   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Net asset value, end of year

   $ 97.59       $ 110.26       $ 68.98       $ 79.12       $ 70.80    
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Total Return(e)

                   

Based on net asset value

     (10.75 )%        61.51 %        (11.57 )%        13.34 %        11.57 %   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Ratios to Average Net Assets(f)

                   

Total expenses

     0.39 %        0.41 %        0.42 %        0.42 %        0.43 %   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Net investment income

     0.81 %        0.99 %        1.32 %        1.29 %        1.27 %   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Supplemental Data

                    

Net assets, end of year (000)

   $ 1,249,092       $ 1,697,961       $ 682,848       $ 941,547       $ 1,033,654    
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

Portfolio turnover rate(g)

    26 %        5 %        4 %        5 %        7 %   
 

 

 

      

 

 

      

 

 

      

 

 

      

 

 

    

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   67

Notes to Financial Statements

 

1.

ORGANIZATION

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.

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

 

   
iShares ETF   Diversification  
Classification  		  

MSCI KLD 400 Social

     Diversified    

MSCI USA ESG Select

     Diversified    

U.S. Basic Materials

     Non-diversified    

U.S. Consumer Discretionary(a)

    Diversified    

U.S. Consumer Staples(b)

    Non-diversified    

U.S. Financial Services

     Non-diversified    

U.S. Financials

     Diversified    

U.S. Industrials

     Diversified    

 

  (a) 

Formerly the iShares U.S. Consumer Services ETF.

 
  (b) 

Formerly the iShares U.S. Consumer Goods ETF.

 

 

2.

SIGNIFICANT ACCOUNTING POLICIES

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

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 each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its 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 April 30, 2022, if any, are disclosed in the Statements of Assets and Liabilities.

The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.

Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

In-kind Redemptions: For financial reporting purposes, 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 net asset value (“NAV”) per share.

Distributions: 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. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.

 

 

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Notes to Financial Statements   (continued)

 

3.

INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. 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. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

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

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s 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.

  •  

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

  •  

Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded.

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

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.

Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access;

  •  

Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and

  •  

Level 3 – Unobservable inputs 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 financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

 

4.

SECURITIES AND OTHER INVESTMENTS

Securities Lending: Each Fund may lend its 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 market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, 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.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule 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, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

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Notes to Financial Statements   (continued)

 

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left 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, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.

As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

 

     

 Cash Collateral

Received

  

(a)  

    

 Non-Cash Collateral

Received

 

 

     Net Amount  

 

  

MSCI KLD 400 Social

         

Barclays Bank PLC

   $ 9,499,094      $ 9,499,094     $ —     $ —  

Barclays Capital, Inc.

     337,357        337,357       —       —  

BNP Paribas SA

     1,943,052        1,943,052       —       —  

BofA Securities, Inc.

     170,202        170,202       —       —  

Citigroup Global Markets, Inc.

     3,138,047        3,138,047       —       —  

Goldman Sachs & Co. LLC

     1,433,959        1,433,959       —       —  

J.P. Morgan Securities LLC

     773,853        773,853       —       —  

Morgan Stanley

     3,826,282        3,826,282       —       —  

National Bank of Canada

     133,835        133,835       —       —  

RBC Capital Markets LLC

     2,555,987        2,555,987       —       —  

UBS AG

     41,390        41,390       —       —  

UBS Securities LLC

     171,054        171,054       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 24,024,112      $ 24,024,112     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

MSCI USA ESG Select

         

Barclays Capital, Inc.

   $ 40,065      $ 40,065     $ —     $ —  

BNP Paribas SA

     1,759,867        1,759,867       —       —  

Goldman Sachs & Co. LLC

     1,629,021        1,629,021       —       —  

J.P. Morgan Securities LLC

     825,135        825,135       —       —  

Morgan Stanley

     4,387,211        4,387,211       —       —  

Scotia Capital (USA), Inc.

     2,742        2,742       —       —  

SG Americas Securities LLC

     1,241,132        1,241,132       —       —  

UBS AG

     2,822,264        2,822,264       —       —  

UBS Securities LLC

     417,071        417,071       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 13,124,508      $ 13,124,508     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

U.S. Consumer Discretionary

         

Barclays Bank PLC

   $ 3,637,875      $ 3,637,875     $ —     $ —  

Barclays Capital, Inc.

     175,800        175,800       —       —  

BNP Paribas SA

     7,099,347        7,099,347       —       —  

BofA Securities, Inc.

     3,752        3,752       —       —  

Goldman Sachs & Co. LLC

     3,444,363        3,444,363       —       —  

J.P. Morgan Securities LLC

     4,210,357        4,210,357       —       —  

Jefferies LLC

     247,053        247,053       —       —  

Morgan Stanley

     2,722,891        2,722,891       —       —  

National Bank of Canada

     70,517        70,517       —       —  

Natixis SA

     28,440        28,440       —       —  

Scotia Capital (USA), Inc.

     821,931        821,931       —       —  

State Street Bank & Trust Co.

     470,890        470,890       —       —  

UBS AG

     531,910        531,910       —       —  

Wells Fargo Bank N.A.

     1,001,836        1,001,836       —       —  

Wells Fargo Securities LLC

     403,452        403,452       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 24,870,414      $ 24,870,414     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

 

 

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Notes to Financial Statements   (continued)

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

 

     

 Cash Collateral

Received

  

(a)  

    

 Non-Cash Collateral

Received

  

 

     Net Amount  

 

  

U.S. Consumer Staples

         

Barclays Bank PLC

   $ 600,259      $ 600,259     $ —     $ —  

Barclays Capital, Inc.

     254,472        254,472       —       —  

BNP Paribas SA

     2,195,378        2,195,378       —       —  

BofA Securities, Inc.

     332        332       —       —  

Citigroup Global Markets, Inc.

     26,222        26,222       —       —  

J.P. Morgan Securities LLC

     2,471        2,471       —       —  

Jefferies LLC

     200,000        200,000       —       —  

Morgan Stanley

     766,899        766,899       —       —  

Wells Fargo Securities LLC

     1,549        1,549       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 4,047,582      $ 4,047,582     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

U.S. Financial Services

         

Barclays Bank PLC

   $ 392,400      $ 392,400     $ —     $ —  

BNP Paribas SA

     2,073,568        2,073,568       —       —  

Citigroup Global Markets, Inc.

     1,544,438        1,544,438       —       —  

Goldman Sachs & Co. LLC

     649,847        649,847       —       —  

J.P. Morgan Securities LLC

     752,350        752,350       —       —  

Jefferies LLC

     3,901        3,901       —       —  

Morgan Stanley

     191,658        191,658       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 5,608,162      $ 5,608,162     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

U.S. Financials

         

Barclays Bank PLC

   $ 768,450      $ 768,450     $ —     $ —  

BNP Paribas SA

     1,985,301        1,985,301       —       —  

BofA Securities, Inc.

     521,162        521,162       —       —  

Goldman Sachs & Co. LLC

     370,799        370,799       —       —  

J.P. Morgan Securities LLC

     18,169        18,169       —       —  

Jefferies LLC

     970,163        970,163       —       —  

Morgan Stanley

     17,063        17,063       —       —  

UBS Securities LLC

     91,674        91,674       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 4,742,781      $ 4,742,781     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

U.S. Industrials

         

Barclays Bank PLC

   $ 1,502,945      $ 1,502,945     $ —     $ —  

BNP Paribas SA

     2,416,749        2,416,749       —       —  

BofA Securities, Inc.

     1,046,780        1,046,780       —       —  

Citigroup Global Markets, Inc.

     6,444,974        6,444,974       —       —  

Goldman Sachs & Co. LLC

     149,703        149,703       —       —  

J.P. Morgan Securities LLC

     5,058,324        5,058,324       —       —  

Scotia Capital (USA), Inc.

     31,530        31,530       —       —  

Toronto-Dominion Bank

     13,860        13,860       —       —  
 

 

 

     

 

 

    

 

 

    

 

 

  
  $ 16,664,865      $ 16,664,865     $ —     $ —  
 

 

 

     

 

 

    

 

 

    

 

 

  

 

  (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.

 

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, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent 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 market 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. Such losses are borne entirely by each Fund.

 

5.

DERIVATIVE FINANCIAL INSTRUMENTS

Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).

Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   71

Notes to Financial Statements   (continued)

 

in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.

Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.

 

6.

INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (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 trustees).

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 KLD 400 Social

     0.25 % 

MSCI USA ESG Select

     0.25  

For its investment advisory services to each of the iShares U.S. Basic Materials, iShares U.S. Consumer Discretionary, iShares U.S. Consumer Staples, iShares U.S. Financial Services, iShares U.S. Financials and iShares U.S. Industrials 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:

 

   
Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $10 billion

     0.4800 % 

Over $10 billion, up to and including $20 billion

     0.4300  

Over $20 billion, up to and including $30 billion

     0.3800  

Over $30 billion, up to and including $40 billion

     0.3400  

Over $40 billion, up to and including $50 billion

     0.3300  

Over $50 billion, up to and including $60 billion

     0.3100  

Over $60 billion

     0.2945  

Prior to July 14, 2021, for its investment advisory services to each of the iShares U.S. Basic Materials, iShares U.S. Consumer Discretionary, iShares U.S. Consumer Staples, iShares U.S. Financial Services, iShares U.S. Financials and iShares U.S. Industrials ETFs, BFA was 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:

 

   
Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $10 billion

     0.48 % 

Over $10 billion, up to and including $20 billion

     0.43  

Over $20 billion, up to and including $30 billion

     0.38  

Over $30 billion, up to and including $40 billion

     0.34  

Over $40 billion, up to and including $50 billion

     0.33  

Over $50 billion

     0.31  

Distributor: BlackRock Investments, LLC (“BRIL”), 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.

ETF Servicing Fees: Each Fund has entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. The Funds do not pay BRIL for ETF Services.

Prior to April 11, 2022, ETF Services were performed by State Street Bank and Trust Company.

Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for

 

 

72  

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Notes to Financial Statements   (continued)

 

securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. 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 SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each Fund retains 81% of securities lending income (which excludes collateral investment fees) 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 that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Prior to January 1, 2022, each Fund retained 77% of securities lending income (which excludes collateral investment fees) and the amount retained was not 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 the iShares ETF Complex in a calendar year exceeded a specified threshold, each Fund, pursuant to the securities lending agreement, retained for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended April 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:

 

   
iShares ETF  

    Fees Paid  

to BTC   

  

MSCI KLD 400 Social

   $ 21,918    

MSCI USA ESG Select

     39,209    

U.S. Basic Materials

     713    

U.S. Consumer Discretionary

     30,309    

U.S. Consumer Staples

     11,987    

U.S. Financial Services

     8,587    

U.S. Financials

     7,798    

U.S. Industrials

     12,695    

Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.

Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended April 30, 2022, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:

 

           
iShares ETF   Purchases             Sales            

Net Realized

Gain (Loss)

 

MSCI KLD 400 Social

   $ 83,942,464        $ 58,539,965        $ (9,565,077 ) 

MSCI USA ESG Select

       203,136,850          182,856,796          (12,010,325 ) 

U.S. Basic Materials

     197,416,367                 59,232,692                 (4,034,628 ) 

U.S. Consumer Discretionary

     265,850,696            221,985,642          (27,768,154 ) 

U.S. Consumer Staples

     204,252,470          184,746,584          (7,113,701 ) 

U.S. Financial Services

     44,195,535          24,486,277          (3,584,568 ) 

U.S. Financials

     360,316,065          209,848,964            (10,112,123 ) 

U.S. Industrials

     328,216,467                146,989,554                (20,788,832 ) 

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 shown as dividends – affiliated in the Statements of Operations.

A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   73

Notes to Financial Statements   (continued)

 

7.

PURCHASES AND SALES

For the year ended April 30, 2022, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:

 

 

  
iShares ETF   Purchases      Sales      

 

  

MSCI KLD 400 Social

   $  227,145,494      $  226,207,778      

MSCI USA ESG Select

     728,171,813        727,423,853      

U.S. Basic Materials

     426,915,023        433,639,230      

U.S. Consumer Discretionary

     594,647,044        594,725,177      

U.S. Consumer Staples

     262,609,066        260,835,605      

U.S. Financial Services

     120,985,207        117,310,234      

U.S. Financials

     577,028,158        585,844,447      

U.S. Industrials

     422,199,233        422,889,838      

For the year ended April 30, 2022, in-kind transactions were as follows:

 

 

  
iShares ETF  

In-kind 

Purchases

    

In-kind     

Sales     

  

 

  

MSCI KLD 400 Social

   $  1,059,819,542      $ 426,047,572      

MSCI USA ESG Select

     1,918,163,169        1,088,307,051      

U.S. Basic Materials

     1,244,998,836        923,377,639      

U.S. Consumer Discretionary

     939,010,077        1,490,653,853      

U.S. Consumer Staples

     642,866,295        297,761,745      

U.S. Financial Services

     1,162,227,606        500,023,282      

U.S. Financials

     1,419,445,365        1,521,961,224      

U.S. Industrials

     557,184,721        826,282,086      

 

8.

INCOME TAX INFORMATION

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Management has analyzed tax laws and regulations and their application to the Funds as of April 30, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of April 30, 2022, permanent differences attributable to realized gains (losses) from in-kind redemptions were reclassified to the following accounts:

 

 

  
iShares ETF   Paid-in Capital        Accumulated    
Earnings (Loss)    		  

 

  

MSCI KLD 400 Social

   $     220,498,183        $     (220,498,183)      

MSCI USA ESG Select

     360,925,730          (360,925,730)      

U.S. Basic Materials

     100,375,089          (100,375,089)      

U.S. Consumer Discretionary

     396,588,563          (396,588,563)      

U.S. Consumer Staples

     138,092,759          (138,092,759)      

U.S. Financial Services

     130,585,496          (130,585,496)      

U.S. Financials

     285,026,071          (285,026,071)      

U.S. Industrials

     280,390,906          (280,390,906)      

The tax character of distributions paid was as follows:

 

 

  
iShares ETF   Year Ended
04/30/22 		       Year Ended
04/30/21 		 

 

  

MSCI KLD 400 Social

       

Ordinary income

   $ 39,133,562        $ 29,576,320  
 

 

 

       

 

 

  

MSCI USA ESG Select

       

Ordinary income

   $ 43,477,209        $ 25,919,845  
 

 

 

       

 

 

  

U.S. Basic Materials

       

Ordinary income

   $ 13,985,668        $ 8,165,209  
 

 

 

       

 

 

  

 

 

74  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Notes to Financial Statements   (continued)

 

 

  
iShares ETF   Year Ended
04/30/22 		       Year Ended
04/30/21 		 

 

  

U.S. Consumer Discretionary

       

Ordinary income

   $ 5,634,523        $ 7,416,213  
 

 

 

       

 

 

  

U.S. Consumer Staples

       

Ordinary income

   $ 13,054,119        $ 10,088,558  
 

 

 

       

 

 

  

U.S. Financial Services

       

Ordinary income

   $ 34,305,475        $ 25,484,339  
 

 

 

       

 

 

  

U.S. Financials

       

Ordinary income

   $ 33,553,578        $ 24,797,842  
 

 

 

       

 

 

  

U.S. Industrials

       

Ordinary income

   $ 13,540,660        $ 10,838,019  
 

 

 

       

 

 

  

As of April 30, 2022, the tax components of accumulated net earnings (losses) were as follows:

 

 

  
iShares ETF    
 Undistributed
Ordinary Income		  
 		     

 Non-expiring

Capital Loss

Carryforwards

  

 

(a) 

    
 Net Unrealized
Gains (Losses)		  
(b) 		     Total       

 

  

MSCI KLD 400 Social

   $ 2,899,334      $ (57,513,435 )    $ 731,196,215     $ 676,582,114      

MSCI USA ESG Select

     1,416,688        (76,836,153 )      55,893,507       (19,525,958)     

U.S. Basic Materials

     1,558,468        (121,754,467 )      (16,483,932 )      (136,679,931)     

U.S. Consumer Discretionary

     184,538        (94,893,390 )      (156,061,185 )      (250,770,037)     

U.S. Consumer Staples

     3,574,341        (32,438,823 )      86,104,912       57,240,430      

U.S. Financial Services

     3,936,541        (61,143,807 )      (109,700,091 )      (166,907,357)     

U.S. Financials

     1,331,897        (76,047,433 )      (139,242,944 )      (213,958,480)     

U.S. Industrials

     354,201        (81,960,614 )      (19,045,007 )      (100,651,420)     

 

  (a) 

Amounts available to offset future realized capital gains.

 
  (b) 

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains (losses) on certain futures contracts and the timing and recognition of partnership income.

 

For the year ended April 30, 2022, the iShares U.S. Basic Materials ETF utilized $6,602,192 of its capital loss carryforwards.

As of April 30, 2022, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) 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 KLD 400 Social

   $   2,905,363,668      $ 851,945,305      $ (120,749,090 )    $ 731,196,215      

MSCI USA ESG Select

     3,622,636,855        342,904,716        (287,011,209 )      55,893,507      

U.S. Basic Materials

     1,141,593,034        56,040,679        (72,524,611 )      (16,483,932)     

U.S. Consumer Discretionary

     1,039,417,269        28,999,013        (185,060,198 )      (156,061,185)     

U.S. Consumer Staples

     1,052,703,878        113,170,459        (27,065,547 )      86,104,912      

U.S. Financial Services

     2,140,798,960        63,589,454        (173,289,545 )      (109,700,091)     

U.S. Financials

     2,240,945,400        95,673,964        (234,916,908 )      (139,242,944)     

U.S. Industrials

     1,285,583,941        120,611,309        (139,656,316 )      (19,045,007)     

 

9.

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. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. 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.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   75

Notes to Financial Statements   (continued)

 

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, the duration of this pandemic and its effects cannot be determined with certainty.

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.

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

Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a Fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

 

10.

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.

 

 

76  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Notes to Financial Statements   (continued)

 

Transactions in capital shares were as follows:

 

 

  
   

Year Ended

04/30/22

          

Year Ended

04/30/21

 
 

 

 

       

 

 

  
iShares ETF   Shares     Amount            Shares     Amount  

 

  

MSCI KLD 400 Social

           

Shares sold

     12,250,000     $ 1,063,484,498          9,250,000 (a)    $ 643,488,005  

Shares redeemed

     (5,050,000 )      (430,417,509 )         (3,100,000 )(a)      (216,959,026 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     7,200,000     $ 633,066,989          6,150,000     $ 426,528,979  
 

 

 

    

 

 

       

 

 

    

 

 

  

MSCI USA ESG Select

           

Shares sold

     19,200,000     $ 1,922,860,020          22,250,000 (a)    $ 1,797,422,226  

Shares redeemed

     (11,050,000 )      (1,096,380,553 )         (9,950,000 )(a)      (833,399,325 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     8,150,000     $ 826,479,467          12,300,000     $ 964,022,901  
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Basic Materials

           

Shares sold

     9,000,000     $ 1,248,095,764          8,500,000     $ 923,891,071  

Shares redeemed

     (6,950,000 )      (931,994,531 )         (5,700,000 )      (653,053,980 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     2,050,000     $ 316,101,233          2,800,000     $ 270,837,091  
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Consumer Discretionary

           

Shares sold

     11,850,000     $ 940,860,027          8,150,000 (b)    $ 530,844,571  

Shares redeemed

     (19,300,000 )      (1,493,779,752 )         (3,450,000 )(b)      (218,005,009 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     (7,450,000 )    $ (552,919,725 )         4,700,000     $ 312,839,562  
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Consumer Staples

           

Shares sold

     3,300,000     $ 644,584,135          1,800,000     $ 275,702,671  

Shares redeemed

     (1,600,000 )      (298,647,407 )         (1,950,000 )      (313,508,060 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     1,700,000     $ 345,936,728          (150,000 )    $ (37,805,389 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Financial Services

           

Shares sold

     6,200,000     $ 1,168,479,105          11,200,000     $ 1,462,505,864  

Shares redeemed

     (2,700,000 )      (501,654,398 )         (9,750,000 )      (1,250,380,085 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     3,500,000     $ 666,824,707          1,450,000     $ 212,125,779  
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Financials

           

Shares sold

     17,000,000     $ 1,427,665,055          25,700,000 (a)    $ 1,648,032,759  

Shares redeemed

     (18,650,000 )      (1,540,947,223 )         (19,450,000 )(a)      (1,135,743,681 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     (1,650,000 )    $ (113,282,168 )         6,250,000     $ 512,289,078  
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Industrials

           

Shares sold

     5,050,000     $ 558,646,697          6,050,000 (a)    $ 572,947,274  

Shares redeemed

     (7,650,000 )      (829,917,316 )         (550,000 )(a)       (47,224,271 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     (2,600,000 )    $ (271,270,619 )         5,500,000     $ 525,723,003  
 

 

 

    

 

 

       

 

 

    

 

 

  

 

  (a) 

Share transactions reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

 
  (b) 

Share transactions reflect a four-for-one stock split effective after the close of trading on December 4, 2020.

 

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to BRIL, 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 shares sold in the table above.

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 transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.

 

11.

LEGAL PROCEEDINGS

Certain iShares funds (the “Impacted Funds”), along with thousands of other former shareholders of Tribune Company (“Tribune”), were named as defendants in one or more lawsuits (the “Litigation”) arising out of Tribune’s 2007 leveraged buyout transaction (“LBO”). The Litigation sought to “claw back” from former Tribune shareholders, including the Impacted Funds, proceeds received in connection with the LBO. The iShares U.S. Consumer Services ETF and iShares MSCI KLD 400 Social ETF received proceeds of $336,974 and $23,018, respectively, in the LBO. The claims that were originally brought against the Impacted Funds were dismissed but were subject to various appeals. On February 22, 2022, the United States Supreme Court refused to hear the last of these appeals and, accordingly, the Litigation is now closed.

 

 

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   77

Notes to Financial Statements   (continued)

 

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 additional disclosure in the financial statements.

 

 

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Report of Independent Registered Public Accounting Firm   

 

To the Board of Trustees of iShares Trust and

Shareholders of iShares MSCI KLD 400 Social ETF, iShares MSCI USA ESG Select ETF, iShares U.S. Basic Materials ETF, iShares U.S. Consumer Discretionary ETF, iShares U.S. Consumer Staples ETF, iShares U.S. Financial Services ETF, iShares U.S. Financials ETF and iShares U.S. Industrials ETF

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares MSCI KLD 400 Social ETF, iShares MSCI USA ESG Select ETF, iShares U.S. Basic Materials ETF, iShares U.S. Consumer Discretionary ETF, iShares U.S. Consumer Staples ETF, iShares U.S. Financial Services ETF, iShares U.S. Financials ETF and iShares U.S. Industrials ETF (eight of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2022, the related statements of operations for the year ended April 30, 2022, the statements of changes in net assets for each of the two years in the period ended April 30, 2022, including the related notes, and the financial highlights for each of the five years in the period ended April 30, 2022 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2022 and each of the financial highlights for each of the five years in the period ended April 30, 2022 in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2022 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 23, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.

 

 

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   79

Important Tax Information  (unaudited)

 

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Dividend  

Income  

  

MSCI KLD 400 Social

     $46,299,960    

MSCI USA ESG Select

     49,583,507    

U.S. Basic Materials

     17,766,777    

U.S. Consumer Discretionary

     10,357,760    

U.S. Consumer Staples

     18,320,755    

U.S. Financial Services

     45,035,657    

U.S. Financials

     39,103,488    

U.S. Industrials

     19,204,022    

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Business  

Income  

  

MSCI KLD 400 Social

     $  460,845    

MSCI USA ESG Select

     513,354    

U.S. Financials

     1,904,125    

The following percentage, or maximum percentage allowable by law, of ordinary income distributions paid during the fiscal year ended April 30, 2022 qualified for the dividends-received deduction for corporate shareholders:

 

   
iShares ETF  

Dividends-Received   

Deduction    

  

MSCI KLD 400 Social

     100.00%   

MSCI USA ESG Select

     100.00%   

U.S. Basic Materials

     100.00%   

U.S. Consumer Discretionary

     100.00%   

U.S. Consumer Staples

     100.00%   

U.S. Financial Services

     100.00%   

U.S. Financials

     100.00%   

U.S. Industrials

     100.00%   

 

 

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Statement Regarding Liquidity Risk Management Program (unaudited)

 

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares MSCI KLD 400 Social ETF, iShares MSCI USA ESG Select ETF, iShares U.S. Basic Materials ETF, iShares U.S. Consumer Discretionary ETF, iShares U.S. Consumer Staples ETF, iShares U.S. Financial Services ETF, iShares U.S. Financials ETF and iShares U.S. Industrials ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays and the imposition of capital controls in certain non-U.S. countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

 

  a)  

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

 

  b)  

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

 

  c)  

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. While the ETFs generally do not engage in borrowing, certain of the ETFs have the flexibility to draw on a line of credit to meet redemption requests or facilitate settlements.

 

  d)  

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs and reviewed any persistent deviations from long-term averages.

 

  e)  

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

As part of BlackRock’s continuous review of the effectiveness of the Program, the Committee made the following material changes to the Program: (1) updates to certain model components in the Program’s methodology; and (2) certain iShares Funds entered into a $800 million credit agreement with a group of lenders that replaced a previous liquidity facility. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.

 

 

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Supplemental Information (unaudited)

 

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are being 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 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.

April 30, 2022

 

       
    

Total Cumulative Distributions

for the Fiscal Year

          

% Breakdown of the Total Cumulative

Distributions for the Fiscal Year

 
  

 

 

       

 

 

  
iShares ETF   

Net

Investment

Income

     Net Realized
Capital Gains		     

Return of

Capital

    

Total Per

Share

           

Net

Investment

Income

     Net Realized
Capital Gains		      Return of
Capital 		     Total Per
Share 		 

MSCI KLD 400 Social(a)

   $ 0.902228      $ —      $ 0.009622      $ 0.911850                 99 %       — %       1 %       100 % 

MSCI USA ESG Select(a)

     1.072934        —        0.011844        1.084778          99        —        1        100  

U.S. Basic Materials

      2.082374        —        —        2.082374          100        —        —        100  

U.S. Consumer Discretionary(a)

     0.327655        —        0.000006        0.327661          100        —        0 (b)       100  

U.S. Consumer Staples

      3.228342        —        —        3.228342          100        —        —        100  

U.S. Financial Services

      2.596694        —        —        2.596694          100        —        —        100  

U.S. Financials(a)

     1.108687        —        0.082012        1.190699          93        —        7        100  

U.S. Industrials

      0.919625        —        —        0.919625                100        —        —        100  

 

  (a) 

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share.

 
  (b) 

Rounds to less than 1%.

 

Premium/Discount Information

Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.

 

 

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Trustee and Officer Information

 

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 380 funds as of April 30, 2022. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated John E. Kerrigan as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

 

     Interested Trustees     
       
Name (Age)          Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee
Robert S. Kapito(a) (65)      Trustee (since 2009).   

President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002).

 

    Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011).

Salim Ramji(b)

(51)

      Trustee (since 2019).   

Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014).

 

    Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019).

 

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

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

Independent Trustees
       
Name (Age)          Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee
John E. Kerrigan (66)      Trustee (since 2005); Independent Board Chair (since 2022).    Chief Investment Officer, Santa Clara University (since 2002).   

Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2022).

 

Jane D. Carlin (66)     

Trustee (since 2015); Risk Committee Chair

(since 2016).

   

Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).

 

    Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016).
Richard L. Fagnani (67)     

Trustee (since 2017);

Audit Committee Chair (since 2019).

    Partner, KPMG LLP (2002-2016).   

Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

 

 

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Trustee and Officer Information  (continued)

 

Independent Trustees (continued)
       
Name (Age)          Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee
Cecilia H. Herbert (73)      Trustee (since 2005); Nominating and Governance and Equity Plus Committee Chairs (since 2022).   

Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020).

 

    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Trustee of Thrivent Church Loan and Income Fund (since 2019).
Drew E. Lawton (63)     

Trustee (since 2017); 15(c) Committee Chair (since 2017).

 

    Senior Managing Director of New York Life Insurance Company (2010-2015).   

Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

John E. Martinez (60)     

Trustee (since 2003); Securities Lending Committee Chair (since 2019).

 

    Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016).    Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011).
Madhav V. Rajan (57)      Trustee (since 2011); Fixed Income Plus Committee Chair (since 2019).   

Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016).

 

    Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011).
Officers
     
Name (Age)          Position(s)   

Principal Occupation(s)

During the Past 5 Years

Armando Senra (50)      President (since 2019).   

Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006).

 

Trent Walker (47)      Treasurer and Chief Financial Officer (since 2020).   

Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.

 

Charles Park (54)     

Chief Compliance Officer (since 2006).

 

    Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006).

Deepa Damre Smith (46)

 

      Secretary (since 2019).    Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013).
Rachel Aguirre (39)      Executive Vice President (since 2022).   

Managing Director, BlackRock, Inc. (since 2018); Director, BlackRock, Inc. (2009-2018); Head of U.S. iShares Product (since 2022); Head of EII U.S. Product Engineering (since 2021); Co-Head of EII’s Americas Portfolio Engineering (2020-2021); Head of Developed Markets Portfolio Engineering 2021); Head of Developed Markets Portfolio Engineering (2016-2019).

 

Jennifer Hsui (46)     

Executive Vice President (since 2022).

 

    Managing Director, BlackRock, Inc. (since 2009); Co-Head of Index Equity (since 2022).
James Mauro (51)      Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2010); Head of Fixed Income Index Investments in the Americas and Head of San Francisco Core Portfolio Management (since 2020).

 

 

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Trustee and Officer Information  (continued)

 

Effective March 18, 2022, Rachel Aguirre, Jennifer Hsui, and James Mauro have replaced Scott Radell, Alan Mason, and Marybeth Leithead as Executive Vice Presidents.

 

 

T R U S T E E   A N D   O F F I C E R   I N F O R M A T I O N

   85

General Information

 

Electronic Delivery

Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at 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 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 and Rule 30e-3 notices 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 Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.

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 iShares.com; and (3) on the SEC website at sec.gov.

A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.

 

 

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Glossary of Terms Used in this Report

 

Portfolio Abbreviations - Equity
NVS      Non-Voting Shares

 

 

G L O S S A R Y   O F   T E R M S    U S E D   I N   T H I S   R E P O R T

   87

 

 

 

Want to know more?

iShares.com    |     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 FTSE Russell, MSCI Inc., or S&P Dow Jones Indices LLC, nor do these companies make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the companies listed above

©2022 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-AR-402-0422

 

 

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  APRIL 30, 2022

 

 

2022 Annual Report

 

 

iShares Trust

 

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iShares Core Dividend Growth ETF | DGRO | NYSE Arca

 

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iShares Core High Dividend ETF | HDV | NYSE Arca

 

·  

iShares International Select Dividend ETF | IDV | Cboe BZX

 

·  

iShares Select Dividend ETF | DVY | NASDAQ

 

·  

iShares U.S. Dividend and Buyback ETF | DIVB | Cboe BZX

 

 

 

 

 

 

 

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of April 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets which characterized 2021. The U.S. economy shrank in the first quarter of 2022, ending the run of robust growth which followed reopening and the development of the COVID-19 vaccines. Rapid changes in consumer spending led to supply constraints and elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed but mostly down, as persistently high inflation drove investors’ expectations for higher interest rates, particularly weighing on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks were nearly flat. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar. The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as increasing inflation drove investors’ expectations for higher interest rates. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is growing faster than expected, raised interest rates in March 2022, the first increase of this business cycle. Furthermore, the Fed wound down its bond-buying programs and raised the prospect of reversing the flow and reducing its balance sheet. Continued high inflation and the Fed’s new tone led many analysts to anticipate that the Fed will continue to raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metal markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption are likely to drive already-high commodity prices even higher. We believe sharp increases in energy prices will exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks amid the ebb and flow of the pandemic, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will err on the side of protecting employment, even at the expense of higher inflation.

In this environment, we favor an overweight to equities, as valuations have become more attractive and inflation-adjusted interest rates remain low. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and healthcare, are particularly attractive in the long term. We favor U.S. equities due to strong earnings momentum, while Japanese equities should benefit from supportive monetary and fiscal policy. We are underweight credit overall, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities for additional yield. We believe that international diversification and a focus on sustainability and quality can help provide portfolio resilience.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of April 30, 2022
       
     6-Month        12-Month
   

U.S. large cap equities
(S&P 500® Index)

       (9.65 )%           0.21 %
   

U.S. small cap equities
(Russell 2000® Index)

       (18.38 )           (16.87 )
   

International equities
(MSCI Europe, Australasia, Far East Index)

       (11.80 )           (8.15 )
   

Emerging market equities
(MSCI Emerging Markets Index)

       (14.15 )           (18.33 )
   

3-month Treasury bills
(ICE BofA 3-Month U.S. Treasury Bill Index)

       0.07           0.08
   

U.S. Treasury securities
(ICE BofA 10-Year U.S. Treasury Index)

       (10.29 )           (8.86 )
   

U.S. investment grade bonds
(Bloomberg U.S. Aggregate Bond Index)

       (9.47 )           (8.51 )
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

       (7.90 )           (7.88 )
   

U.S. high yield bonds
(Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)

       (7.40 )           (5.22 )
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

 

2  

T H I S    P A G E    I S    N O T    P A R T    O F    Y O U R    F U N D    R E P O R T

Table of Contents

 

      Page  

The Markets in Review

      2  

Market Overview

      4  

Fund Summary

      5  

About Fund Performance

      15  

Shareholder Expenses

      15  

Schedules of Investments

      16  

Financial Statements

   

Statements of Assets and Liabilities

      38  

Statements of Operations

      40  

Statements of Changes in Net Assets

      42  

Financial Highlights

      45  

Notes to Financial Statements

      50  

Report of Independent Registered Public Accounting Firm

      60  

Important Tax Information (Unaudited)

      61  

Statement Regarding Liquidity Risk Management Program

      62  

Supplemental Information

      63  

Trustee and Officer Information

      65  

General Information

      68  

Glossary of Terms Used in this Report

      69  

Market Overview

 

iShares Trust

Global Market Overview

Global equity markets declined during the 12 months ended April 30, 2022 (“reporting period”). The MSCI ACWI, a broad global equity index that includes both developed and emerging markets, returned -5.44% in U.S. dollar terms for the reporting period.

In the first half of the reporting period, stocks were supported by economic recovery in most regions of the world. The global economy continued to rebound from the impact of restrictions imposed at the beginning of the coronavirus pandemic, as mitigation and adaptation allowed most economic activity to continue. However, significant challenges emerged in the second half of the reporting period, erasing earlier gains. Inflation rose significantly in many countries, reducing consumers’ purchasing power and leading many central banks to tighten monetary policy. Russia’s invasion of Ukraine presented a further challenge to the global economy, disrupting markets in important commodities such as oil, natural gas, and wheat.

The U.S. economy grew briskly over the final three quarters of 2021, powered primarily by consumers with strong household balance sheets. Record-high personal savings rates allowed consumers to spend at an elevated level throughout much of the reporting period, releasing pent-up demand for goods and services. Hiring increased as businesses restored capacity, and unemployment decreased substantially, falling to 3.6% in April 2022 — only marginally higher than the pre-pandemic rate of 3.5% in February 2020. However, the economy contracted in the first quarter of 2022 amid lower inventory investment and an inflation-driven decline in consumer sentiment.

Rising inflation led to a shift in policy from the U.S. Federal Reserve Bank (“Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy in the second half of the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities and discussed plans to begin reducing its balance sheet by selling bonds later in 2022. In March 2022, it raised short-term interest rates and indicated that further increases could be necessary. Interest rates rose significantly in anticipation of further tightening, leading to higher borrowing costs for businesses.

Stocks declined in Europe and economic growth stalled, with the Eurozone economy slowing substantially in the second half of the reporting period. Significantly higher inflation and Russia’s invasion of Ukraine negatively impacted equities. Russia is an important trading partner with many European countries, and new sanctions against Russia imposed limits on certain types of trade with Russia. Investors became concerned that the sharp rise in energy prices during the reporting period would constrain economic growth, as Europe relies on imported energy for much of its industrial and heating needs. The European Central Bank (“ECB”) maintained ultra-low interest rates but started to wind down its bond buying program.

Despite relatively low inflation by global standards, Asia-Pacific stocks declined significantly. Chinese stocks endured substantial declines, driving much of the negative performance in the region. Regulatory interventions by the Chinese government weighed on equity markets, particularly in the information technology sector. While China’s economy continued to expand at a solid pace, COVID-19 cases rose sharply late in the reporting period, and analysts became concerned that the subsequent lockdowns would constrain growth.

 

 

4  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022     iShares® Core Dividend Growth ETF

 

Investment Objective

The iShares Core Dividend Growth ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. equities with a history of consistently growing dividends, as represented by the Morningstar® U.S. Dividend Growth IndexSM (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.

Performance

 

    Average Annual Total Returns            Cumulative Total Returns  
     1 Year     5 Years     Since
Inception		             1 Year     5 Years     Since
Inception		  

Fund NAV

     3.51 %      13.09 %      11.91 %         3.51 %      84.94 %      143.00 % 

Fund Market

     3.45       13.08       11.91          3.45       84.92       143.03  

Index

     3.60       13.18       11.98                3.60       85.68       144.17  

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

 

LOGO

 

  

The inception date of the Fund was 6/10/14. The first day of secondary market trading was 6/12/14.

 

  

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 15 for more information.

Expense Example

 

Actual           Hypothetical 5% Return               
 

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		           

 Annualized
Expense
Ratio 		 
 
 
  $ 1,000.00        $ 962.10        $ 0.39             $ 1,000.00        $ 1,024.40        $ 0.40              0.08 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   5

Fund Summary as of April 30, 2022  (continued)    iShares® Core Dividend Growth ETF

 

Portfolio Management Commentary

Stocks of companies with a history of consistently growing dividends advanced modestly during the reporting period. In 2021, an improving economy and increased cash flow encouraged companies to increase dividend payouts. Volatile equity markets drove investors seeking less-risky investments into dividend-paying stocks in early 2022.

The healthcare sector contributed the most to the Index’s return, supported by the pharmaceuticals industry. During elevated periods of inflation, established drugs provide healthy margins and cash flows that sustain dividend payouts. Additionally, strong performance from COVID-19 therapeutics, including vaccines and oral antivirals, buoyed pharmaceuticals companies. For some pharmaceuticals firms, COVID-19-related products nearly doubled annual revenues. As new variants developed, new treatment opportunities arose, providing pharmaceuticals companies with ongoing prospects for drug sales. Solid earnings from more traditional healthcare medicines, including cancer treatments, animal health medications, and vaccines, further contributed, as did pipeline treatments addressing obesity and Alzheimer’s.

The consumer staples sector, traditionally viewed as offering steady investments during turbulent markets, also contributed meaningfully to the Index’s return. As input costs rose, several industries benefited from passing on price increases to the consumer. The beverages industry advanced as consumers purchased more beverages away from home due to reopening economies. Demand for healthier drinks also buoyed the beverages industry. Strong earnings, despite rising commodities prices, aided companies in the household and personal products industry.

On the downside, the largest detractor was the financials sector as leading banking institutions reported weaker-than-expected first-quarter 2022 earnings and revenue. In Spring 2022, rising interest rates weighed on loan origination at many major banks, and in a reversal from the third quarter of 2021, investment banking fees were lower. The war in Ukraine also negatively affected banks with exposure to Russia or exposure to commodities impacted by the war.

Portfolio Information

 

ALLOCATION BY SECTOR

 

  
Sector    
 Percent of
Total Investments		  
(a) 

Information Technology

     19.9 % 

Financials

     18.8  

Health Care

     18.0  

Industrials

     12.9  

Consumer Staples

     12.4  

Consumer Discretionary

     7.3  

Utilities

     5.0  

Materials

     3.2  

Communication Services

     1.6  

Energy

     0.9  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

  
Security    
 Percent of
Total Investments		  
(a) 

Johnson & Johnson

     3.0 % 

Microsoft Corp.

     2.9  

Apple Inc.

     2.8  

Procter & Gamble Co. (The)

     2.8  

Pfizer Inc.

     2.8  

JPMorgan Chase & Co.

     2.5  

Merck & Co. Inc.

     2.4  

Coca-Cola Co. (The)

     2.2  

Home Depot Inc. (The)

     2.0  

PepsiCo Inc.

     2.0  
 

 

 

6  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® Core High Dividend ETF

 

Investment Objective

The iShares Core High Dividend ETF (the “Fund”) seeks to track the investment results of an index composed of relatively high dividend paying U.S. equities, as represented by the Morningstar® Dividend Yield Focus IndexSM (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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years     10 Years            1 Year      5 Years      10 Years  

Fund NAV

     12.21 %       8.40 %      9.84 %        12.21 %       49.65 %       155.67 % 

Fund Market

     12.21        8.40       9.84         12.21        49.67        155.64  

Index

     12.29        8.49       10.01               12.29        50.27        159.67  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

 

LOGO

 

  

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 15 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

 Annualized
Expense
Ratio 		 
 
 
  $ 1,000.00        $ 1,072.90        $ 0.41             $ 1,000.00        $ 1,024.40        $ 0.40          0.08 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   7

Fund Summary as of April 30, 2022  (continued)    iShares® Core High Dividend ETF

 

Portfolio Management Commentary

Stocks with histories of high dividend yields advanced solidly during the reporting period. During the height of the coronavirus pandemic, dividend payouts were suspended, reduced, or left unchanged by many companies, but strong economic growth led many firms to resume or increase payouts starting in mid-2021. Volatile markets late in the reporting period drove investors to seek less-risky investments in dividend-paying stocks, as many other areas of the equity market declined.

The energy sector was the leading contributor to the Index’s return, as oil prices rose sharply due to increased consumer demand, limited supply from oil-producing countries, and the Russian invasion of Ukraine. The oil, gas, and consumable fuels industry was the primary contributor within the sector. Investors pressured large oil and gas multinationals to pay out billions in stock repurchases and dividends after oil stock prices declined materially during the pandemic. To entice investors to return to the sector, leading oil and gas companies reported intentions to double and triple their stock buyback programs after posting strong profits in the first quarter of 2022.

The healthcare sector further contributed to the Index’s return, led by pharmaceuticals and biotechnology companies. Strong sales of medical devices, Covid-19 treatments, and cancer therapies supported pharmaceuticals companies. Demographic trends also benefited the healthcare sector, as the needs of an aging population added to demand for health services and pharmaceuticals. A top biotechnology firm raised its dividend due to increased sales of immunology drugs and injectable medicines.

In contrast, the financials and communication services sectors were notable detractors from the Index’s performance. In the banking industry, higher interest rates led to lower loan origination, and revenue from investment banking fees also dropped. Diversified telecommunication services companies declined due to concerns about subscriber growth and inflationary pressures.

Portfolio Information

 

ALLOCATION BY SECTOR

 

Sector    
 Percent of
Total Investments		  
(a) 

Health Care

     23.5 % 

Consumer Staples

     18.4  

Energy

     18.3  

Financials

     10.2  

Utilities

     8.5  

Information Technology

     8.5  

Industrials

     5.9  

Communication Services

     4.8  

Consumer Discretionary

     1.2  

Materials

     0.7  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

Security    
 Percent of
Total Investments		  
(a) 

Exxon Mobil Corp.

     7.9 % 

AbbVie Inc.

     6.4  

Johnson & Johnson

     6.1  

JPMorgan Chase & Co.

     5.5  

Chevron Corp.

     5.3  

Verizon Communications Inc.

     4.8  

Procter & Gamble Co. (The)

     4.7  

Philip Morris International Inc.

     4.3  

Merck & Co. Inc.

     4.1  

Coca-Cola Co. (The)

     3.7  
 

 

 

8  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® International Select Dividend ETF

 

Investment Objective

The iShares International Select Dividend ETF (the “Fund”) seeks to track the investment results of an index composed of relatively high dividend paying equities in non-U.S. developed markets, as represented by the Dow Jones EPAC Select Dividend IndexTM (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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (1.76 )%       4.70 %       4.96 %        (1.76 )%       25.82 %       62.34 % 

Fund Market

     (1.75 )       4.67        4.93         (1.75 )       25.64        61.78  

Index

     (1.02 )       4.85        5.14               (1.02 )       26.72        65.11  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

 

LOGO

 

  

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 15 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

 Annualized
Expense
Ratio 		 
 
 
  $ 1,000.00        $ 989.20        $ 2.71             $ 1,000.00        $ 1,022.10        $ 2.76          0.55 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y   9

Fund Summary as of April 30, 2022  (continued)    iShares® International Select Dividend ETF

 

Portfolio Management Commentary

International dividend stocks declined marginally for the reporting period. As equities markets rose in the first half of the reporting period, dividend payments increased sharply amid robust corporate earnings, dividend yields declined to historic lows, and investors favored growth stocks over dividend stocks. In the second half of the reporting period, inflation advanced briskly in many countries and central banks tightened monetary policy. In this environment, international dividend stocks rebounded, nearly offsetting their earlier decline.

The Japanese industrials sector detracted the most from the Index’s return, led by the transportation industry. While shipping rates initially increased as economies reopened and demand for marine transportation rose, shipping rates subsequently declined sharply amid reduced demand for iron ore in China. In addition, Russia’s invasion of Ukraine disrupted routes to ports in the region and shipping demand declined due to economic sanctions imposed on Russia by world governments.

The Hong Kong real estate sector also detracted from the Index’s return, as housing prices fell amid rising interest rates and the departure of many residents in response to unpopular coronavirus pandemic-related restrictions. In Australia, the financials sector detracted marginally, as concerns rose that additional outbreaks of the coronavirus would disrupt global economic activity. Additionally, a financial services company lost a major client, which constrained revenues.

On the upside, stocks of dividend-paying companies from the U.K. advanced notably. The consumer staples and utilities sectors were the primary contributors to the Index’s performance. Dividends rose modestly as rising demand for alternatives to traditional smoking products drove revenue growth for tobacco companies. U.K. utilities stocks also contributed due to increasing energy prices.

The Canadian financials sector also contributed to the Index’s return, as the government lifted a pandemic-imposed regulation limiting capital distributions by banks. Banks increased their dividends amid strong earnings due to growth in loans and fees.

Portfolio Information

 

ALLOCATION BY SECTOR

 

  
Sector    
 Percent of
Total Investments		  
(a) 

Financials

     29.7 % 

Materials

     16.1  

Utilities

     15.7  

Industrials

     15.3  

Consumer Discretionary

     5.0  

Communication Services

     4.8  

Energy

     4.7  

Real Estate

     3.7  

Consumer Staples

     3.2  

Health Care

     1.3  

Information Technology

     0.5  

 

  (a)

Excludes money market funds.

 

TEN LARGEST GEOGRAPHIC ALLOCATION

 

  
Country/Geographic Region    
 Percent of
Total Investments		  
(a) 

Australia

     16.5 % 

United Kingdom

     14.5  

South Korea

     9.1  

Spain

     7.8  

Canada

     7.1  

Italy

     7.0  

Hong Kong

     6.7  

Japan

     6.6  

France

     4.8  

Finland

     3.2  
 

 

 

10  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary as of April 30, 2022    iShares® Select Dividend ETF

 

Investment Objective

The iShares Select Dividend ETF (the “Fund”) seeks to track the investment results of an index composed of relatively high dividend paying U.S. equities, as represented by the Dow Jones U.S. Select Dividend IndexTM (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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     7.63 %       9.98 %       11.86 %        7.63 %       60.92 %       206.77 % 

Fund Market

     7.73        9.98        11.86         7.73        60.93        206.78  

Index

     8.01        10.42        12.29         8.01        64.14        218.72  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

 

 

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 15 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		 
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period (a)		  
 
 		       

 Annualized
Expense
Ratio 		 
 
 
  $ 1,000.00        $ 1,061.40        $ 1.94             $ 1,000.00        $ 1,022.90        $ 1.91          0.38 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   11

Fund Summary as of April 30, 2022    (continued)    iShares® Select Dividend ETF

 

Portfolio Management Commentary

Stocks of companies with a history of paying relatively high dividends advanced for the reporting period. Many companies suspended or decreased dividend payouts as the coronavirus pandemic continued. However, as economic conditions improved, numerous firms resumed or increased dividends. A volatile stock market also drove investors to dividend-paying companies late in the reporting period, as these companies are considered by some to be relatively stable businesses.

Energy stocks were the leading source of strength for the Index’s return. Oil prices increased due to higher consumer demand, limited supply from oil-producing countries, and the Russian invasion of Ukraine. Exposure to Russia negatively affected several leading oil companies, although profits remained significant. During COVID-19 outbreaks, weak stock prices, low energy demand, and surging demand for technology and healthcare reduced investor interest in the energy sector; to entice investors, companies returned cash to shareholders. Major oil, gas, and consumable fuels companies announced doubling and even tripling their existing stock buyback programs after posting strong profits in the first quarter of 2022. U.S. oil and gas refining and marketing firms also contributed; oil refining capacity decreased after less-profitable refiners closed, leading to higher profits for the surviving companies.

The utilities sector also contributed to the Index’s performance. The Fed’s efforts to tame inflation by increasing interest rates and reducing asset purchases, together with geopolitical unrest, drove investors to the relatively steady revenues and dividends of the utilities sector. In both the electric utilities and the multi-utilities industries, demand for electricity and other utility services increased, as global economies began to emerge from pandemic-related shutdowns.

In contrast, the financials and communication services sectors detracted from the Index’s return.

The capital markets industry detracted as assets under management declined in early 2022, weighing on asset managers. Bank stocks also declined, due in part to lower trading revenue. In the communication services sector, concerns about subscriber growth and inflationary pressures weighed on diversified telecommunication services companies.

Portfolio Information

 

ALLOCATION BY SECTOR

 

Sector    
 Percent of
Total Investments		  
(a) 

Utilities

     26.9 % 

Financials

     20.2  

Consumer Staples

     10.8  

Materials

     8.4  

Energy

     8.1  

Communication Services

     6.0  

Information Technology

     5.5  

Consumer Discretionary

     5.3  

Industrials

     4.5  

Health Care

     4.3  

 

  (a) 

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

Security    

 Percent of

Total Investments

(a) 

Altria Group Inc.

     2.7 % 

Valero Energy Corp.

     2.1  

International Business Machines Corp.

     1.9  

ONEOK Inc.

     1.9  

Philip Morris International Inc.

     1.8  

LyondellBasell Industries NV, Class A

     1.7  

Gilead Sciences Inc.

     1.7  

International Paper Co.

     1.6  

Edison International

     1.6  

Exxon Mobil Corp.

     1.6  
 

 

 

12  

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Fund Summary as of April 30, 2022    iShares® U.S. Dividend and Buyback ETF

 

Investment Objective

The iShares U.S. Dividend and Buyback ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. stocks with a history of dividend payments and/or share buybacks, as represented by the Morningstar® US Dividend and Buyback IndexSM (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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      Since
Inception		            1 Year      Since
Inception		  

Fund NAV

     3.71 %       12.95 %        3.71 %       72.52 % 

Fund Market

     3.69        12.94         3.69        72.47  

Index

     3.98        13.24               3.98        74.59  

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

 

LOGO

 

 

The inception date of the Fund was 11/7/17. The first day of secondary market trading was 11/9/17.

 

 

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 15 for more information.

Expense Example

 

Actual           Hypothetical 5% Return         
 

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period		  
 
 (a)  		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period		  
 
 (a)  		     

 Annualized
Expense
Ratio 		 
 
 
  $ 1,000.00        $ 955.00        $ 1.21             $ 1,000.00        $ 1,023.60        $ 1.25        0.25 % 

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   13

Fund Summary as of April 30, 2022    (continued)    iShares® U.S. Dividend and Buyback ETF

 

Portfolio Management Commentary

Stocks with histories of paying dividends or making buybacks advanced for the reporting period as continued economic recovery drove higher cash flows, which enabled companies to issue dividends and repurchase stocks. Companies generally demonstrated a strong preference for stock buybacks over dividends as the companies in the S&P 500 bought back U.S. $881 billion of their stock while paying out U.S. $511 billion in dividends in 2021. Stock buybacks set an annual record in 2021 and continued at a rapid pace in 2022, while companies increased their dividend payouts.

Energy stocks were the largest contributors to the Index’s return, led by oil, gas, and consumable fuels companies. Climbing prices for both oil and natural gas supported gains and share buybacks for integrated oil and gas companies. The war in Ukraine led to sanctions and eventual bans on Russian oil, exacerbating shortages that, coupled with increased demand from reopening economies, drove prices even higher. Oil and gas companies announced increased buybacks as cost cutting also supported both free cash flow and expanded investment in renewable energy.

The healthcare sector also contributed to the Index’s return as pharmaceuticals companies continued to benefit from broad vaccine distribution amid more contagious COVID-19 variants and breakthrough cases. Governments authorized vaccine boosters in countries spanning the Americas, Europe, and the Middle East, which bolstered pharmaceuticals firms’ profits. Manufacturers were able to set prices as the market for COVID-19 vaccine boosters evolved to resemble the flu vaccine market, but the government’s role as sole purchaser altered that power dynamic slightly.

On the downside, the communication services sector detracted from the Index’s return, as structural changes like increased competition among connectivity providers and cord-cutting challenged interactive media and services companies. Social media companies also detracted from performance after reporting significantly lower earnings. Cable and satellite companies also declined, reporting slowing subscriber growth amid lower consumer spending and competition from telephone companies.

Portfolio Information

 

ALLOCATION BY SECTOR

 

Sector    
 Percent of
Total Investments		  
(a) 

Information Technology

     23.4 % 

Financials

     19.0  

Health Care

     12.9  

Communication Services

     10.2  

Consumer Staples

     8.7  

Industrials

     7.4  

Consumer Discretionary

     6.9  

Energy

     5.0  

Materials

     2.9  

Utilities

     2.2  

Real Estate

     1.4  

 

  (a)

Excludes money market funds.

 

TEN LARGEST HOLDINGS

 

Security    

 Percent of

Total Investments

(a) 

Apple Inc.

     4.9 % 

Microsoft Corp.

     4.2  

Meta Platforms Inc, Class A

     2.6  

JPMorgan Chase & Co.

     2.1  

Berkshire Hathaway Inc., Class B

     2.1  

Procter & Gamble Co. (The)

     2.0  

Bank of America Corp.

     1.7  

Alphabet Inc., Class A

     1.7  

Alphabet Inc., Class C

     1.6  

Exxon Mobil Corp.

     1.6  
 

 

 

14  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at 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. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask 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. Since shares of a fund may not trade in the secondary market until after the fund’s inception, for the period from inception to the first day of secondary market trading in shares of the fund, the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in a Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

A B O U T   F U N D   P E R F O R M A N C E / S H A R E H O L D E R   E X P E N S E S

   15

Schedule of Investments

April 30, 2022

   

iShares® Core Dividend Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 2.6%        

BWX Technologies Inc.

     101,260     $ 5,257,419  

Curtiss-Wright Corp.

     12,809       1,830,534  

General Dynamics Corp.

     321,226       75,979,586  

HEICO Corp.

     3,512       496,000  

HEICO Corp., Class A

     8,336       972,311  

Huntington Ingalls Industries Inc.

     62,903       13,381,984  

L3Harris Technologies Inc.

     215,947       50,155,850  

Lockheed Martin Corp.

     423,029       182,799,292  

Northrop Grumman Corp.

     143,421       63,019,187  

Raytheon Technologies Corp.

     2,140,106       203,117,461  
   

 

 

  
      597,009,624  
Air Freight & Logistics — 1.3%            

CH Robinson Worldwide Inc.

     195,028       20,702,222  

Expeditors International of Washington Inc.

     135,006       13,375,044  

Forward Air Corp.

     15,542       1,507,108  

United Parcel Service Inc., Class B

     1,480,465       266,454,091  
   

 

 

  
      302,038,465  
Auto Components — 0.1%            

Gentex Corp.

     274,874       8,067,552  

LCI Industries

     52,524       5,111,636  
   

 

 

  
      13,179,188  
Automobiles — 0.0%            

Thor Industries Inc.

     75,695       5,794,452  
   

 

 

  
Banks — 9.0%            

Associated Banc-Corp.

     369,321       7,367,954  

Atlantic Union Bankshares Corp.

     153,863       5,197,492  

BancFirst Corp.

     26,230       2,144,303  

Bank of America Corp.

     10,178,765       363,178,335  

Bank of Hawaii Corp.

     97,738       7,265,843  

Bank OZK

     236,060       9,069,425  

BOK Financial Corp.

     45,669       3,787,330  

Cadence Bank

     99,460       2,490,478  

Cathay General Bancorp.

     165,697       6,642,793  

Citigroup Inc.

     4,995,809         240,847,952  

Comerica Inc.

     278,747       22,829,379  

Commerce Bancshares Inc.

     115,841       7,920,049  

Community Bank System Inc.

     53,253       3,429,493  

Cullen/Frost Bankers Inc.

     86,462       11,438,058  

CVB Financial Corp.

     267,710       6,162,684  

Fifth Third Bancorp.

     1,269,878       47,658,521  

First Financial Bankshares Inc.

     118,017       4,718,320  

First Horizon Corp.

     963,541       21,564,048  

First Merchants Corp.

     106,329       4,167,034  

First Republic Bank/CA

     67,121       10,015,796  

Fulton Financial Corp.

     372,597       5,652,296  

Glacier Bancorp. Inc.

     185,480       8,487,565  

Hilltop Holdings Inc.

     88,966       2,267,743  

Home BancShares Inc./AR

     315,318       6,817,175  

Independent Bank Corp.

     35,594       2,746,433  

Independent Bank Group Inc.

     52,664       3,570,619  

JPMorgan Chase & Co.

     4,806,115       573,657,886  

KeyCorp

     2,158,179       41,674,436  

M&T Bank Corp.

     247,223       41,197,241  

PNC Financial Services Group Inc. (The)

     781,478       129,803,496  

Popular Inc.

     120,328       9,384,381  

Prosperity Bancshares Inc.

     187,499       12,258,685  

Regions Financial Corp.

     2,001,876       41,478,871  
Security   Shares     Value  
Banks (continued)            

Sandy Spring Bancorp. Inc.

     99,908     $ 3,923,387  

ServisFirst Bancshares Inc.

     35,528       2,853,609  

Simmons First National Corp., Class A

     177,423       4,235,087  

South State Corp.

     112,812       8,736,161  

Synovus Financial Corp.

     280,701       11,660,320  

Towne Bank/Portsmouth VA

     124,277       3,426,317  

Truist Financial Corp.

     3,024,185       146,219,345  

U.S. Bancorp.

     3,145,132       152,727,610  

UMB Financial Corp.

     47,032       4,241,346  

United Community Banks Inc./GA

     94,831       2,858,206  

Washington Federal Inc.

     131,527       4,002,367  

Webster Financial Corp.

     362,868       18,139,771  

Wintrust Financial Corp.

     59,862       5,227,150  

Zions Bancorp. NA

     255,030       14,411,745  
   

 

 

  
        2,049,554,535  
Beverages — 4.4%            

Brown-Forman Corp., Class A

     48,177       3,007,208  

Brown-Forman Corp., Class B, NVS

     148,663       10,025,833  

Coca-Cola Co. (The)

     7,648,788       494,188,193  

Constellation Brands Inc., Class A

     161,075       39,638,947  

PepsiCo Inc.

     2,608,240       447,860,890  
   

 

 

  
      994,721,071  
Biotechnology — 1.3%            

Amgen Inc.

     1,303,979       304,074,863  
   

 

 

  
Building Products — 0.5%            

A O Smith Corp.

     152,670       8,920,508  

AAON Inc.

     19,749       962,566  

Advanced Drainage Systems Inc.

     15,432       1,581,163  

Allegion PLC

     78,183       8,931,626  

Carlisle Companies Inc.

     34,854       9,039,733  

Fortune Brands Home & Security Inc.

     123,992       8,834,430  

Lennox International Inc.

     32,926       7,019,494  

Masco Corp.

     350,039       18,443,555  

Owens Corning

     109,764       9,980,840  

Simpson Manufacturing Co. Inc.

     24,485       2,538,360  

Trane Technologies PLC

     255,628       35,759,801  

UFP Industries Inc.

     39,626       3,065,864  
   

 

 

  
      115,077,940  
Capital Markets — 5.1%            

Ameriprise Financial Inc.

     127,772       33,922,188  

Bank of New York Mellon Corp. (The)

     1,370,039       57,623,840  

BlackRock Inc.(a)

    234,958       146,773,563  

CME Group Inc.

     388,640       85,244,298  

Cohen & Steers Inc.

     41,819       3,248,918  

Evercore Inc., Class A

     64,845       6,857,359  

FactSet Research Systems Inc.

     20,903       8,434,151  

Franklin Resources Inc.

     787,534       19,365,461  

Goldman Sachs Group Inc. (The)

     562,179       171,740,063  

Hamilton Lane Inc., Class A

     45,970       3,152,623  

Houlihan Lokey Inc.

     64,094       5,338,389  

Intercontinental Exchange Inc.

     399,884       46,310,566  

Jefferies Financial Group Inc.

     522,053       16,058,350  

MarketAxess Holdings Inc.

     21,510       5,670,251  

Moody’s Corp.

     97,309       30,796,352  

Morgan Stanley

     3,175,613       255,922,652  

MSCI Inc.

     48,816       20,563,740  

Nasdaq Inc.

     104,830       16,497,097  

Northern Trust Corp.

     373,051       38,442,906  
 

 

16  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core Dividend Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Capital Markets (continued)            

Raymond James Financial Inc.

     181,086     $ 17,648,642  

S&P Global Inc.

     131,383       49,465,700  

SEI Investments Co.

     104,745       5,836,391  

State Street Corp.

     690,424       46,237,695  

Stifel Financial Corp.

     135,236       8,364,347  

T Rowe Price Group Inc.

     483,590       59,500,914  
   

 

 

  
        1,159,016,456  
Chemicals — 2.5%            

Air Products and Chemicals Inc.

     404,353       94,646,907  

Albemarle Corp.

     67,674       13,049,577  

Ashland Global Holdings Inc.

     53,239       5,588,498  

Avient Corp.

     122,329       6,023,480  

Balchem Corp.

     11,066       1,363,331  

Cabot Corp.

     81,812       5,387,320  

Celanese Corp.

     147,851       21,725,226  

Eastman Chemical Co.

     260,401       26,735,371  

Ecolab Inc.

     212,260       35,944,108  

HB Fuller Co.

     38,918       2,595,831  

Innospec Inc.

     21,809       2,078,616  

International Flavors & Fragrances Inc.

     458,947       55,670,271  

Linde PLC

     512,568       159,900,713  

NewMarket Corp.

     12,302       3,993,352  

PPG Industries Inc.

     316,164       40,465,830  

Quaker Chemical Corp.

     8,763       1,425,828  

RPM International Inc.

     181,131       15,015,760  

Scotts Miracle-Gro Co. (The)

     62,291       6,473,904  

Sensient Technologies Corp.

     61,537       5,206,030  

Sherwin-Williams Co. (The)

     164,889       45,337,880  

Stepan Co.

     20,339       2,076,815  

Valvoline Inc.

     208,349       6,298,390  

Westlake Corp.

     24,104       3,050,361  
   

 

 

  
      560,053,399  
Commercial Services & Supplies — 0.6%            

ABM Industries Inc.

     77,707       3,750,917  

Brady Corp., Class A, NVS

     68,855       3,081,261  

Cintas Corp.

     61,812       24,555,435  

MSA Safety Inc.

     32,713       3,948,132  

Republic Services Inc.

     212,011       28,466,717  

Tetra Tech Inc.

     18,952       2,639,635  

Waste Management Inc.

     406,838       66,900,441  
   

 

 

  
      133,342,538  
Communications Equipment — 1.8%            

Cisco Systems Inc.

     7,707,829       377,529,464  

Motorola Solutions Inc.

     166,759       35,634,731  
   

 

 

  
      413,164,195  
Construction & Engineering — 0.1%            

Comfort Systems USA Inc.

     14,631       1,235,149  

MDU Resources Group Inc.

     472,836       12,180,255  
   

 

 

  
      13,415,404  
Construction Materials — 0.1%            

Martin Marietta Materials Inc.

     28,197       9,987,941  

Vulcan Materials Co.

     83,138       14,323,846  
   

 

 

  
      24,311,787  
Consumer Finance — 0.8%            

Ally Financial Inc.

     673,786       26,924,489  

American Express Co.

     442,388       77,289,608  

Discover Financial Services

     379,792       42,711,408  

FirstCash Holdings Inc.

     54,109       4,316,816  
Security   Shares     Value  
Consumer Finance (continued)            

Nelnet Inc., Class A

     18,556     $ 1,522,891  

Synchrony Financial

     923,966       34,011,188  
   

 

 

  
      186,776,400  
Containers & Packaging — 0.3%            

AptarGroup Inc.

     60,368       6,932,058  

Avery Dennison Corp.

     93,971       16,971,163  

Ball Corp.

     206,740       16,779,018  

Silgan Holdings Inc.

     76,889       3,411,565  

Sonoco Products Co.

     222,142       13,752,811  
   

 

 

  
      57,846,615  
Distributors — 0.2%            

Genuine Parts Co.

     264,547       34,404,337  

Pool Corp.

     19,413       7,866,536  
   

 

 

  
      42,270,873  
Diversified Consumer Services — 0.1%            

Graham Holdings Co., Class B

     3,140       1,860,042  

Service Corp. International

     171,876       11,276,784  
   

 

 

  
      13,136,826  
Electric Utilities — 2.4%            

Alliant Energy Corp.

     496,161       29,179,229  

American Electric Power Co. Inc.

     1,142,626       113,245,663  

Evergy Inc.

     573,906       38,939,522  

Eversource Energy

     678,426       59,294,432  

IDACORP Inc.

     96,391       10,138,405  

MGE Energy Inc.

     51,578       4,016,379  

NextEra Energy Inc.

     2,867,645       203,660,148  

Otter Tail Corp.

     76,958       4,460,486  

PNM Resources Inc.

     179,815       8,390,168  

Portland General Electric Co.

     196,189       9,285,625  

Xcel Energy Inc.

     976,412       71,531,943  
   

 

 

  
      552,142,000  
Electrical Equipment — 1.0%            

Eaton Corp. PLC

     560,172       81,236,143  

Emerson Electric Co.

     899,469       81,114,114  

Hubbell Inc.

     87,343       17,063,329  

nVent Electric PLC

     235,041       7,939,685  

Regal Rexnord Corp.

     39,528       5,029,543  

Rockwell Automation Inc.

     132,842       33,565,188  
   

 

 

  
        225,948,002  
Electronic Equipment, Instruments & Components — 0.7%  

Amphenol Corp., Class A

     442,419       31,632,959  

Avnet Inc.

     165,503       7,225,861  

Badger Meter Inc.

     17,863       1,441,365  

CDW Corp./DE

     109,894       17,932,503  

Cognex Corp.

     48,410       3,273,968  

Corning Inc.

     1,519,784       53,481,199  

Littelfuse Inc.

     14,796       3,391,983  

TD SYNNEX Corp.

     32,340       3,236,911  

TE Connectivity Ltd.

     344,710       43,012,914  
   

 

 

  
      164,629,663  
Entertainment — 0.1%            

Activision Blizzard Inc.

     313,510       23,701,356  
   

 

 

  
Food & Staples Retailing — 2.0%            

Casey’s General Stores Inc.

     19,385       3,902,201  

Costco Wholesale Corp.

     182,770       97,182,464  

Kroger Co. (The)

     710,924       38,361,459  

Sysco Corp.

     833,164       71,218,859  
 

 

S C H E D U L E   O F   I N V E S T M E N T S

   17

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core Dividend Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Food & Staples Retailing (continued)        

Walmart Inc.

     1,549,082     $   236,994,055  
   

 

 

  
      447,659,038  
Food Products — 2.0%            

Archer-Daniels-Midland Co.

     754,622       67,583,946  

Flowers Foods Inc.

     456,050       12,094,446  

Hershey Co. (The)

     177,151       39,995,381  

Hormel Foods Corp.

     406,991       21,322,258  

Ingredion Inc.

     138,426       11,781,437  

J&J Snack Foods Corp.

     16,851       2,522,595  

JM Smucker Co. (The)

     229,860       31,474,730  

Kellogg Co.

     660,533       45,246,511  

Lamb Weston Holdings Inc.

     186,017       12,295,724  

Lancaster Colony Corp.

     28,462       4,416,733  

McCormick & Co. Inc./MD, NVS

     259,963       26,144,479  

Mondelez International Inc., Class A

     2,200,613       141,895,526  

Tyson Foods Inc., Class A

     414,370       38,602,709  
   

 

 

  
      455,376,475  
Gas Utilities — 0.4%            

Atmos Energy Corp.

     222,371       25,216,872  

National Fuel Gas Co.

     173,761       12,185,859  

New Jersey Resources Corp.

     219,895       9,490,668  

ONE Gas Inc.

     109,697       9,255,136  

Southwest Gas Holdings Inc.(b)

    140,754       12,401,835  

UGI Corp.

     575,361       19,734,882  
   

 

 

  
      88,285,252  
Health Care Equipment & Supplies — 2.9%            

Abbott Laboratories

     1,938,988       220,075,138  

Baxter International Inc.

     487,025       34,607,996  

Becton Dickinson and Co.

     260,184       64,314,883  

DENTSPLY SIRONA Inc.

     129,168       5,165,428  

Embecta Corp.(b)

    52,054       1,584,003  

Medtronic PLC

     2,260,832       235,940,428  

ResMed Inc.

     69,294       13,856,721  

STERIS PLC

     52,158       11,686,000  

Stryker Corp.

     257,791       62,194,657  
   

 

 

  
      649,425,254  
Health Care Providers & Services — 2.5%            

AmerisourceBergen Corp.

     130,796       19,788,127  

Anthem Inc.

     162,513       81,570,150  

Chemed Corp.

     3,314       1,628,466  

Encompass Health Corp.

     111,849       7,698,567  

Ensign Group Inc. (The)

     8,600       690,838  

Humana Inc.

     57,957       25,765,364  

McKesson Corp.

     71,857       22,247,646  

Quest Diagnostics Inc.

     155,350       20,792,044  

UnitedHealth Group Inc.

     776,781       395,031,977  
   

 

 

  
      575,213,179  
Hotels, Restaurants & Leisure — 2.3%            

Domino’s Pizza Inc.

     23,949       8,094,762  

McDonald’s Corp.

     1,280,218       318,979,117  

Starbucks Corp.

     1,823,098       136,076,035  

Texas Roadhouse Inc.

     98,691       8,125,230  

Wingstop Inc.

     10,531       966,324  

Yum! Brands Inc.

     396,970       46,449,460  
   

 

 

  
      518,690,928  
Household Durables — 0.2%            

DR Horton Inc.

     245,809       17,105,848  
Security   Shares     Value  
Household Durables (continued)        

Whirlpool Corp.

     150,058     $ 27,238,528  
   

 

 

  
      44,344,376  
Household Products — 3.9%            

Church & Dwight Co. Inc.

     182,815       17,835,431  

Colgate-Palmolive Co.

     1,384,651       106,687,360  

Energizer Holdings Inc.

     171,415       5,192,160  

Kimberly-Clark Corp.

     858,550       119,192,497  

Procter & Gamble Co. (The)

     3,907,927       627,417,680  

WD-40 Co.

     14,791       2,721,248  
   

 

 

  
      879,046,376  
Independent Power and Renewable Electricity Producers — 0.1%  

AES Corp. (The)

     1,329,067       27,139,548  
   

 

 

  
Industrial Conglomerates — 1.9%            

3M Co.

     1,617,713       233,306,569  

Honeywell International Inc.

     1,005,120       194,500,771  
   

 

 

  
      427,807,340  
Insurance — 3.8%            

Aflac Inc.

     1,115,445       63,892,690  

Allstate Corp. (The)

     550,619       69,675,328  

American Equity Investment Life Holding Co.

     54,703       2,063,397  

American Financial Group Inc./OH

     75,637       10,474,212  

Aon PLC, Class A

     107,243       30,884,912  

Arthur J Gallagher & Co.

     176,043       29,661,485  

Assurant Inc.

     64,437       11,719,802  

Assured Guaranty Ltd.

     75,780       4,179,267  

Axis Capital Holdings Ltd.

     178,269       10,220,162  

Brown & Brown Inc.

     106,470       6,599,011  

Chubb Ltd.

     467,111       96,435,066  

Cincinnati Financial Corp.

     214,569       26,319,034  

CNO Financial Group Inc.

     196,281       4,738,223  

Erie Indemnity Co., Class A, NVS

     45,864       7,351,082  

Everest Re Group Ltd.

     61,934       17,013,889  

Fidelity National Financial Inc.

     748,648       29,811,163  

First American Financial Corp.

     237,727       13,861,861  

Globe Life Inc.

     53,736       5,270,427  

Hanover Insurance Group Inc. (The)

     53,945       7,920,205  

Hartford Financial Services Group Inc. (The)

     535,645       37,457,655  

Kinsale Capital Group Inc.

     4,024       892,081  

Lincoln National Corp.

     338,603       20,366,970  

Marsh & McLennan Companies Inc.

     490,474       79,309,646  

MetLife Inc.

     1,472,115       96,688,513  

Old Republic International Corp.

     685,114       15,079,359  

Primerica Inc.

     48,067       6,227,560  

Principal Financial Group Inc.

     657,505       44,802,391  

Reinsurance Group of America Inc.

     136,581       14,657,873  

RenaissanceRe Holdings Ltd.

     33,420       4,796,438  

RLI Corp.

     27,113       3,112,030  

Selective Insurance Group Inc.

     58,798       4,842,603  

Travelers Companies Inc. (The)

     349,888       59,851,841  

W R Berkley Corp.

     84,600       5,625,054  

Willis Towers Watson PLC

     122,237       26,263,842  
      868,065,072  
   

 

 

  
IT Services — 3.2%            

Accenture PLC, Class A

     546,948       164,281,301  

Automatic Data Processing Inc.

     577,287       125,952,478  

Broadridge Financial Solutions Inc.

     140,646       20,271,308  

Fidelity National Information Services Inc.

     711,992       70,594,007  

Genpact Ltd.

     123,987       4,992,956  
 

 

18  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core Dividend Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
IT Services (continued)            

Jack Henry & Associates Inc.

     53,297     $ 10,104,045  

Mastercard Inc., Class A

     357,950         130,071,871  

SS&C Technologies Holdings Inc.

     163,216       10,553,547  

TTEC Holdings Inc.

     14,691       1,084,343  

Visa Inc., Class A

     869,580       185,333,585  
   

 

 

  
      723,239,441  
Leisure Products — 0.1%            

Acushnet Holdings Corp.

     36,315       1,479,473  

Brunswick Corp./DE

     83,648       6,324,625  

Polaris Inc.

     89,736       8,519,536  
   

 

 

  
      16,323,634  
Life Sciences Tools & Services — 0.2%            

Agilent Technologies Inc.

     132,259       15,774,531  

Danaher Corp.

     139,775       35,101,696  

West Pharmaceutical Services Inc.

     9,895       3,117,518  
   

 

 

  
      53,993,745  
Machinery — 2.6%            

AGCO Corp.

     26,588       3,387,311  

Barnes Group Inc.

     48,910       1,642,398  

Caterpillar Inc.

     790,584       166,449,555  

Cummins Inc.

     288,209       54,526,261  

Donaldson Co. Inc.

     146,841       7,201,083  

Dover Corp.

     131,992       17,594,534  

Franklin Electric Co. Inc.

     25,864       1,808,928  

Graco Inc.

     141,937       8,802,933  

Hillenbrand Inc.

     92,338       3,769,237  

IDEX Corp.

     59,365       11,268,664  

Illinois Tool Works Inc.

     462,437       91,150,957  

ITT Inc.

     65,958       4,631,571  

Kadant Inc.

     3,366       622,710  

Lincoln Electric Holdings Inc.

     72,140       9,719,422  

Mueller Water Products Inc., Class A

     197,334       2,373,928  

Nordson Corp.

     34,381       7,415,638  

Oshkosh Corp.

     65,514       6,056,114  

Otis Worldwide Corp.

     375,345       27,340,130  

PACCAR Inc.

     374,664       31,115,845  

Parker-Hannifin Corp.

     131,736       35,676,743  

Pentair PLC

     173,367       8,798,375  

Snap-on Inc.

     101,671       21,604,071  

Stanley Black & Decker Inc.

     233,815       28,092,872  

Terex Corp.

     61,587       2,093,958  

Timken Co. (The)

     90,201       5,199,186  

Toro Co. (The)

     104,905       8,406,038  

Trinity Industries Inc.

     164,298       4,557,627  

Watts Water Technologies Inc., Class A

     13,848       1,765,066  

Xylem Inc./NY

     175,047       14,091,283  
   

 

 

  
      587,162,438  
Marine — 0.0%            

Matson Inc.

     32,783       2,819,994  
   

 

 

  
Media — 1.4%            

Cable One Inc.

     2,513       2,930,660  

Comcast Corp., Class A

     6,826,453       271,419,771  

Interpublic Group of Companies Inc. (The)

     936,472       30,547,717  

John Wiley & Sons Inc., Class A

     83,475       4,248,043  

Nexstar Media Group Inc., Class A

     55,354       8,769,181  

Sirius XM Holdings Inc.

     899,643       5,397,858  
   

 

 

  
      323,313,230  
Security   Shares     Value  
Metals & Mining — 0.4%            

Nucor Corp.

     302,883     $ 46,880,231  

Reliance Steel & Aluminum Co.

     63,106       12,510,764  

Royal Gold Inc.

     48,329       6,305,968  

Steel Dynamics Inc.

     188,664       16,177,938  

Worthington Industries Inc.

     43,230       2,056,451  
   

 

 

  
      83,931,352  
Multi-Utilities — 1.8%            

Ameren Corp.

     452,375       42,025,637  

Black Hills Corp.

     149,637       10,959,414  

CMS Energy Corp.

     565,983       38,877,372  

DTE Energy Co.

     379,651       49,749,467  

NiSource Inc.

     862,083       25,103,857  

Public Service Enterprise Group Inc.

     1,083,922       75,506,007  

Sempra Energy

     637,532       102,872,164  

WEC Energy Group Inc.

     685,724       68,606,686  
   

 

 

  
      413,700,604  
Multiline Retail — 0.7%            

Dillard’s Inc., Class A

     880       267,353  

Dollar General Corp.

     131,101       31,140,420  

Target Corp.

     561,803       128,456,256  
   

 

 

  
      159,864,029  
Oil, Gas & Consumable Fuels — 0.9%            

ConocoPhillips

     1,741,817       166,378,360  

Coterra Energy Inc.

     1,106,083       31,844,129  
   

 

 

  
      198,222,489  
Personal Products — 0.2%            

Estee Lauder Companies Inc. (The), Class A

     137,784       36,383,243  

Medifast Inc.

     25,394       4,529,274  
   

 

 

  
      40,912,517  
Pharmaceuticals — 11.0%            

Bristol-Myers Squibb Co.

     4,859,190       365,751,231  

Eli Lilly & Co.

     817,821       238,910,049  

Johnson & Johnson

     3,757,767       678,126,633  

Merck & Co. Inc.

     6,188,387       548,848,043  

Perrigo Co. PLC

     261,325       8,963,447  

Pfizer Inc.

     12,720,308       624,185,514  

Zoetis Inc.

     223,592       39,631,682  
   

 

 

  
      2,504,416,599  
Professional Services — 0.2%            

Booz Allen Hamilton Holding Corp.

     190,979       15,589,616  

Exponent Inc.

     29,860       2,860,886  

Insperity Inc.

     51,154       5,424,882  

ManpowerGroup Inc.

     104,754       9,448,811  

Robert Half International Inc.

     118,192       11,619,455  
   

 

 

  
      44,943,650  
Road & Rail — 1.6%            

CSX Corp.

     1,767,393       60,692,276  

JB Hunt Transport Services Inc.

     46,658       7,971,519  

Landstar System Inc.

     16,642       2,577,846  

Norfolk Southern Corp.

     315,438       81,345,151  

Old Dominion Freight Line Inc.

     16,850       4,720,022  

Ryder System Inc.

     108,343       7,573,176  

Schneider National Inc., Class B

     23,374       552,328  

Union Pacific Corp.

     826,006       193,524,946  

Werner Enterprises Inc.

     48,702       1,930,060  
   

 

 

  
      360,887,324  
Semiconductors & Semiconductor Equipment — 6.8%  

Analog Devices Inc.

     734,768       113,433,484  
 

 

S C H E D U L E   O F   I N V E S T M E N T S

   19

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core Dividend Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Semiconductors & Semiconductor Equipment (continued)  

Broadcom Inc.

     780,788     $ 432,861,059  

CMC Materials Inc.

     19,765       3,536,156  

Intel Corp.

     8,608,254       375,233,792  

KLA Corp.

     129,139       41,228,917  

Lam Research Corp.

     112,692       52,487,426  

Microchip Technology Inc.

     545,735       35,581,922  

Power Integrations Inc.

     33,727       2,698,160  

QUALCOMM Inc.

     1,338,936       187,035,970  

Skyworks Solutions Inc.

     190,927       21,632,029  

Texas Instruments Inc.

     1,700,923       289,582,141  

Universal Display Corp.

     14,752       1,884,273  
   

 

 

  
        1,557,195,329  
Software — 3.8%            

Dolby Laboratories Inc., Class A

     63,332       4,906,330  

Intuit Inc.

     114,323       47,872,756  

Microsoft Corp.

     2,399,034       665,779,916  

Oracle Corp.

     1,873,213       137,493,834  

Roper Technologies Inc.

     40,990       19,262,021  
   

 

 

  
      875,314,857  
Specialty Retail — 3.0%            

Best Buy Co. Inc.

     419,543       37,729,502  

Dick’s Sporting Goods Inc.

     72,214       6,962,874  

Group 1 Automotive Inc.

     9,246       1,610,099  

Home Depot Inc. (The)

     1,516,326       455,504,330  

Lithia Motors Inc.

     9,078       2,570,254  

Lowe’s Companies Inc.

     677,409       133,944,082  

Monro Inc.

     54,195       2,478,337  

Penske Automotive Group Inc.

     39,407       4,130,642  

Tractor Supply Co.

     129,023       25,991,683  

Williams-Sonoma Inc.

     100,027       13,051,523  
   

 

 

  
      683,973,326  
Technology Hardware, Storage & Peripherals — 3.4%  

Apple Inc.

     4,022,589       634,161,156  

Hewlett Packard Enterprise Co.

     2,641,869       40,711,201  

HP Inc.

     2,204,099       80,736,146  

NetApp Inc.

     383,558       28,095,624  
   

 

 

  
      783,704,127  
Textiles, Apparel & Luxury Goods — 0.7%            

Carter’s Inc.

     74,127       6,244,458  

Columbia Sportswear Co.

     28,822       2,368,016  

Nike Inc., Class B

     848,357       105,790,118  
Security   Shares     Value  
Textiles, Apparel & Luxury Goods (continued)  

VF Corp.

     840,159     $ 43,688,268  
   

 

 

  
      158,090,860  
Thrifts & Mortgage Finance — 0.0%            

WSFS Financial Corp.

     31,938       1,279,756  
   

 

 

  
Trading Companies & Distributors — 0.5%  

Air Lease Corp.

     152,918       6,159,537  

Applied Industrial Technologies Inc.

     34,469       3,608,560  

Fastenal Co.

     897,958       49,666,057  

GATX Corp.

     44,440       4,594,651  

MSC Industrial Direct Co. Inc., Class A

     123,130       10,202,552  

Watsco Inc.

     62,292       16,618,260  

WW Grainger Inc.

     39,733       19,867,692  
   

 

 

  
      110,717,309  
Water Utilities — 0.2%            

American States Water Co.

     45,412       3,572,108  

American Water Works Co. Inc.

     197,053       30,361,926  

California Water Service Group

     62,486       3,241,149  

Essential Utilities Inc.

     364,932       16,334,356  
   

 

 

  
      53,509,539  
   

 

 

  
Total Common Stocks — 99.7%
    (Cost: $19,516,151,708)		         22,669,774,639  
   

 

 

  
Short-Term Investments  
Money Market Funds — 0.2%            

BlackRock Cash Funds: Treasury,
SL Agency Shares, 0.34%(a)(c)

    48,180,000       48,180,000  
   

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $48,180,000)

 

     48,180,000  
   

 

 

  

Total Investments in Securities — 99.9%
(Cost: $19,564,331,708)

 

     22,717,954,639  

Other Assets, Less Liabilities — 0.1%

 

     24,843,369  
   

 

 

  

Net Assets — 100.0%

 

   $   22,742,798,008  
   

 

 

  

 

(a) 

Affiliate of the Fund.

(b) 

Non-income producing security.

(c) 

Annualized 7-day yield as of period end.

 

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer    
 Value at
04/30/21 		 
 		    
 Purchases
at Cost 		 
 		    
 Proceeds
from Sales 		 
 		    
 Net Realized
Gain (Loss) 		 
 		    


 Change in
Unrealized
Appreciation
(Depreciation)		  
 
 
 		    
 Value at
04/30/22 		 
 		    

 Shares
Held at
04/30/22 		 
 
 		     Income      




 Capital
Gain
Distributions
from
Underlying
Funds
 



 

BlackRock Cash Funds: Treasury,
SL Agency Shares

   $ 56,230,000     $ —     $ (8,050,000 )(a)    $ —     $ —     $ 48,180,000       48,180,000     $ 25,091     $ —  

BlackRock Inc.

     130,088,454       79,273,316       (19,173,448 )      3,783,603       (47,198,362 )      146,773,563       234,958       2,950,579       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ 3,783,603     $ (47,198,362 )    $ 194,953,563       $ 2,975,670     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 

 

 

20  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core Dividend Growth ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		       Expiration
Date 		       Notional
Amount
(000) 		  Value/
Unrealized
Appreciation
(Depreciation)		  

 

  
Long Contracts                             

S&P 500 E-Mini Index

      328          06/17/22        $67,691   $ (2,056,437 ) 
              

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts 		 

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 2,056,437  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts 		 

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 3,745,588  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (3,858,648 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  
Futures contracts:       

Average notional value of contracts — long

    $ 55,625,006    

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 22,669,774,639        $ —        $ —        $ 22,669,774,639  

Money Market Funds

      48,180,000          —          —          48,180,000  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 22,717,954,639        $ —        $ —        $ 22,717,954,639  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (2,056,437 )       $                 —        $                 —        $ (2,056,437 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   21

Schedule of Investments

April 30, 2022

   

iShares® Core High Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 1.4%

    

Lockheed Martin Corp.

     303,377     $ 131,095,269  
   

 

 

  
Air Freight & Logistics — 2.0%            

United Parcel Service Inc., Class B

     1,061,685       191,082,066  
   

 

 

  
Auto Components — 0.1%            

Autoliv Inc.

     132,040       9,728,707  
   

 

 

  
Banks — 7.0%            

JPMorgan Chase & Co.

     4,386,831       523,612,148  

M&T Bank Corp.

     176,733       29,450,787  

Prosperity Bancshares Inc.

     132,152       8,640,098  

U.S. Bancorp.

     2,255,515       109,527,809  
   

 

 

  
      671,230,842  
Beverages — 7.0%            

Coca-Cola Co. (The)

     5,485,296       354,404,974  

PepsiCo Inc.

     1,870,501       321,183,727  
   

 

 

  
      675,588,701  
Biotechnology — 10.5%            

AbbVie Inc.

     4,187,874       615,114,933  

Amgen Inc.

     935,144       218,066,229  

Gilead Sciences Inc.

     2,990,040       177,428,974  
   

 

 

  
      1,010,610,136  
Capital Markets — 2.7%            

Artisan Partners Asset Management Inc., Class A

     372,641       11,976,682  

Blackstone Inc., NVS

     1,698,643       172,531,169  

Franklin Resources Inc.

     563,423       13,854,572  

Janus Henderson Group PLC

     403,715       12,305,233  

Moelis & Co., Class A

     157,795       6,984,007  

T Rowe Price Group Inc.

     345,998       42,571,594  
   

 

 

  
      260,223,257  
Communications Equipment — 2.8%            

Cisco Systems Inc.

     5,527,683       270,745,913  
   

 

 

  
Containers & Packaging — 0.7%            

Amcor PLC

     3,282,326       38,928,386  

Packaging Corp. of America

     127,518       20,552,076  

Sonoco Products Co.

     158,492       9,812,240  
   

 

 

  
      69,292,702  
Distributors — 0.2%            

Genuine Parts Co.

     189,233       24,609,752  
   

 

 

  
Diversified Financial Services — 0.2%  

Apollo Global Management Inc.

     461,978       22,988,025  
   

 

 

  
Diversified Telecommunication Services — 4.8%  

Cogent Communications Holdings Inc.

     109,497       6,405,575  

Verizon Communications Inc.

     9,887,970       457,813,011  
   

 

 

  
      464,218,586  
Electric Utilities — 6.4%            

Alliant Energy Corp.

     355,069       20,881,608  

American Electric Power Co. Inc.

     819,025       81,173,568  

Duke Energy Corp.

     1,424,868       156,963,459  

Evergy Inc.

     410,205       27,832,409  

Exelon Corp.

     1,502,334       70,279,184  

FirstEnergy Corp.

     954,113       41,322,634  

IDACORP Inc.

     69,055       7,263,205  

PNM Resources Inc.

     129,682       6,050,962  

Southern Co. (The)

     2,064,230       151,493,840  
Security   Shares     Value  
Electric Utilities (continued)            

Xcel Energy Inc.

     699,157     $ 51,220,242  
   

 

 

  
      614,481,111  
Electronic Equipment, Instruments & Components — 0.1%  

National Instruments Corp.

     186,500       6,740,110  
   

 

 

  
Food Products — 0.7%            

General Mills Inc.

     954,637       67,521,475  
   

 

 

  
Gas Utilities — 0.1%            

National Fuel Gas Co.

     124,679       8,743,738  
   

 

 

  
Hotels, Restaurants & Leisure — 0.3%            

Darden Restaurants Inc.

     219,883       28,965,188  
   

 

 

  
Household Products — 6.4%            

Colgate-Palmolive Co.

     994,608       76,634,546  

Kimberly-Clark Corp.

     615,363       85,430,845  

Procter & Gamble Co. (The)

     2,802,530       449,946,192  

Reynolds Consumer Products Inc.

     84,239       2,492,632  
   

 

 

  
      614,504,215  
Industrial Conglomerates — 1.7%            

3M Co.

     1,160,126       167,313,372  
   

 

 

  
Insurance — 0.1%            

First American Financial Corp.

     167,874       9,788,733  

Mercury General Corp.

     62,487       3,151,219  
   

 

 

  
      12,939,952  
IT Services — 0.2%            

Western Union Co. (The)

     1,053,732       17,660,548  
   

 

 

  
Leisure Products — 0.2%            

Hasbro Inc.

     194,549       17,131,985  
   

 

 

  
Machinery — 0.6%            

Cummins Inc.

     207,018       39,165,735  

Snap-on Inc.

     72,538       15,413,600  
   

 

 

  
      54,579,335  
Multi-Utilities — 2.0%            

NiSource Inc.

     614,277       17,887,746  

Public Service Enterprise Group Inc.

     776,097       54,062,917  

Sempra Energy

     456,859       73,718,768  

WEC Energy Group Inc.

     491,111       49,135,656  
   

 

 

  
      194,805,087  
Oil, Gas & Consumable Fuels — 18.3%            

Chevron Corp.

     3,261,002       510,901,183  

Coterra Energy Inc.

     791,596       22,790,049  

DTE Midstream LLC(a)

    204,323       10,982,361  

Exxon Mobil Corp.

     8,913,569       759,881,757  

Kinder Morgan Inc.

     5,689,489       103,264,226  

ONEOK Inc.

     1,239,897       78,522,677  

Pioneer Natural Resources Co.

     737,836       171,524,735  

Williams Companies Inc. (The)

     3,036,182       104,110,681  
   

 

 

  
      1,761,977,669  
Personal Products — 0.0%            

Medifast Inc.

     18,026       3,215,117  
   

 

 

  
Pharmaceuticals — 12.9%            

Bristol-Myers Squibb Co.

     3,484,815       262,302,025  

Johnson & Johnson

     3,263,775       588,980,837  

Merck & Co. Inc.

     4,438,026       393,608,526  
   

 

 

  
      1,244,891,388  
 

 

22  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core High Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Semiconductors & Semiconductor Equipment — 5.4%  

Broadcom Inc.

     559,920     $ 310,414,049  

Texas Instruments Inc.

     1,219,832       207,676,398  
   

 

 

  
      518,090,447  
Textiles, Apparel & Luxury Goods — 0.3%            

VF Corp.

     603,116       31,362,032  
   

 

 

  
Thrifts & Mortgage Finance — 0.1%            

Radian Group Inc.

     306,062       6,546,666  

TFS Financial Corp.

     161,123       2,415,234  
   

 

 

  
      8,961,900  
Tobacco — 4.3%            

Philip Morris International Inc.

     4,109,059       410,905,900  
   

 

 

  
Trading Companies & Distributors — 0.2%            

MSC Industrial Direct Co. Inc., Class A

     88,737       7,352,748  

Watsco Inc.

     44,348       11,831,159  
   

 

 

  
      19,183,907  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $8,947,221,988)

       9,605,388,432  
   

 

 

  
Security   Shares     Value  
Short-Term Investments  
Money Market Funds — 0.2%            

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(c)

    14,010,000     $ 14,010,000  
   

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $ 14,010,000)

 

     14,010,000  
   

 

 

  

Total Investments in Securities — 99.9%
(Cost: $ 8,961,231,988)

 

     9,619,398,432  

Other Assets, Less Liabilities — 0.1%

 

     11,503,239  
   

 

 

  

Net Assets — 100.0%

 

   $ 9,630,901,671  
   

 

 

  

 

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

Annualized 7-day yield as of period end.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income     

Capital

Gain
Distributions
from
Underlying
Funds

 

 

  

BlackRock Cash Funds: Treasury,
SL Agency Shares

   $ 16,210,000     $ —     $ (2,200,000 )(a)    $ —     $ —     $ 14,010,000       14,010,000     $ 5,965      $ —  
       

 

 

    

 

 

    

 

 

      

 

 

     

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		       Expiration
Date 		       Notional
Amount
(000) 		  Value/
Unrealized
Appreciation
(Depreciation)		  

 

  
Long Contracts                             

E-mini Consumer Staples Select Sector Index

      123          06/17/22        $ 9,589   $ 552,024  

E-Mini Dow Jones Industrial Average Index

      63          06/17/22        10,358     (165,960 ) 

E-mini Energy Select Sector Index

      57          06/17/22        4,469     (5,743 ) 
              

 

 

  
               $ 380,321  
              

 

 

  

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   23

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core High Dividend ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Assets — Derivative Financial Instruments

   

Futures contracts

   

Unrealized appreciation on futures contracts(a)

   $ 552,024  
  

 

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 171,703  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts 		 

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 3,995,240  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (203,797 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:        

Average notional value of contracts — long

    $ 18,894,983  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 9,605,388,432        $ —        $ —        $ 9,605,388,432  

Money Market Funds

      14,010,000          —          —          14,010,000  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 9,619,398,432        $ —        $ —        $ 9,619,398,432  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Assets

                  

Futures Contracts

    $ 552,024        $ —        $ —        $ 552,024  

Liabilities

                  

Futures Contracts

      (171,703 )         —          —          (171,703 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 380,321        $                 —        $                 —        $ 380,321  
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

24  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® International Select Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Common Stocks            
Australia — 16.3%            

APA Group

     4,013,986     $ 32,252,859  

Fortescue Metals Group Ltd.

     11,343,362       171,433,015  

Harvey Norman Holdings Ltd.

     4,730,482       16,850,273  

JB Hi-Fi Ltd.

     1,609,672       59,616,374  

Magellan Financial Group Ltd.

     2,526,960       28,587,531  

Pendal Group Ltd.

     5,461,995       20,107,381  

Perpetual Ltd.

     800,710       18,408,104  

Rio Tinto PLC

     4,948,458       349,638,967  

Suncorp Group Ltd.

     4,382,462       35,186,746  

Super Retail Group Ltd.

     2,496,472       18,471,608  
   

 

 

  
      750,552,858  
Austria — 0.3%            

Oesterreichische Post AG

     478,626       15,418,269  
   

 

 

  
Belgium — 2.6%            

Ageas SA/NV

     1,757,230       84,086,215  

Proximus SADP

     1,968,609       34,407,949  
   

 

 

  
      118,494,164  
Brazil — 1.5%            

Yara International ASA

     1,379,714       70,155,984  
   

 

 

  
Canada — 7.0%            

Bank of Nova Scotia (The)

     1,105,714       70,018,942  

Canadian Utilities Ltd., Class A, NVS

     1,266,246       38,066,727  

Emera Inc.

     1,109,300       53,563,133  

Great-West Lifeco Inc.

     1,353,607       37,342,336  

IGM Financial Inc.

     1,181,582       37,443,820  

Labrador Iron Ore Royalty Corp.

     871,441       23,579,410  

Manulife Financial Corp.

     1,293,531       25,293,659  

Power Corp. of Canada

     1,285,055       37,811,917  
   

 

 

  
      323,119,944  
Denmark — 2.4%            

AP Moller - Maersk A/S, Class A

     38,941       110,227,892  
   

 

 

  
Egypt — 0.1%            

Centamin PLC

     2,714,686       3,111,351  
   

 

 

  
Finland — 3.2%            

Fortum Oyj

     1,850,422       30,764,835  

Sampo Oyj, Class A

     1,470,770       71,416,832  

UPM-Kymmene Oyj

     1,312,974       45,418,779  
   

 

 

  
      147,600,446  
France — 4.7%            

Bouygues SA

     1,549,224       53,267,349  

Nexity SA

     778,085       23,627,425  

Orange SA

     1,790,378       21,315,160  

Rubis SCA

     1,528,155       40,645,092  

TotalEnergies SE

     1,596,806       78,407,910  
   

 

 

  
      217,262,936  
Germany — 1.1%            

Freenet AG

     363,012       10,043,898  

Hapag-Lloyd AG(a)

    105,465       41,984,211  
   

 

 

  
      52,028,109  
Hong Kong — 6.6%            

BOC Hong Kong Holdings Ltd.

     5,808,000       21,024,147  

CK Infrastructure Holdings Ltd.

     6,172,000       41,496,863  

Henderson Land Development Co. Ltd.

     7,213,000       29,169,491  

Hysan Development Co. Ltd.

     8,528,000       25,159,067  
Security   Shares     Value  
Hong Kong (continued)            

Kerry Properties Ltd.

     8,027,500     $ 21,707,432  

New World Development Co. Ltd.

     8,728,750       33,385,640  

Orient Overseas International Ltd.

     2,516,500       69,440,524  

PCCW Ltd.

     11,940,000       6,764,758  

Swire Pacific Ltd., Class A

     5,975,000       34,033,053  

VTech Holdings Ltd.

     3,143,600       22,237,507  
   

 

 

  
      304,418,482  
Italy — 6.9%            

A2A SpA

     6,832,883       11,674,372  

Anima Holding SpA(a)

    4,546,227       22,152,569  

Azimut Holding SpA

     1,591,041       33,771,235  

Enel SpA

     8,371,469       54,438,764  

Eni SpA

     6,729,112       94,064,845  

Italgas SpA

     6,903,880       44,700,357  

Snam SpA

     7,193,690       39,454,519  

UnipolSai Assicurazioni SpA

     6,135,834       17,259,088  
   

 

 

  
      317,515,749  
Japan — 6.6%            

Haseko Corp.

     779,700       8,543,195  

Mitsui OSK Lines Ltd.

     4,638,300       108,587,736  

MS&AD Insurance Group Holdings Inc.

     721,800       21,486,010  

Nippon Yusen KK

     1,722,200       124,246,380  

Sojitz Corp.

     840,480       12,815,925  

Sumitomo Mitsui Financial Group Inc.

     894,500       27,026,365  
   

 

 

  
      302,705,611  
Netherlands — 2.8%            

Flow Traders(a)

    493,949       16,125,368  

NN Group NV

     1,710,994       83,807,196  

SBM Offshore NV

     1,970,865       28,560,082  
   

 

 

  
      128,492,646  
New Zealand — 1.3%            

Spark New Zealand Ltd.

     18,651,078       58,987,576  
   

 

 

  
Portugal — 0.8%            

EDP - Energias de Portugal SA

     8,041,299       37,477,773  
   

 

 

  
South Korea — 9.0%            

BNK Financial Group Inc.

     2,776,026       17,216,998  

DB Insurance Co. Ltd.

     802,746       42,871,823  

DGB Financial Group Inc.

     2,598,748       18,318,162  

Hana Financial Group Inc.

     2,518,773       93,513,747  

Industrial Bank of Korea

     2,757,929       24,470,779  

KB Financial Group Inc.

     1,986,676       92,428,276  

Samsung Securities Co. Ltd.

     978,319       30,554,719  

Shinhan Financial Group Co. Ltd.

     1,993,473       66,232,350  

Woori Financial Group Inc.

     2,381,981       27,596,251  
   

 

 

  
      413,203,105  
Spain — 7.7%            

ACS Actividades de Construccion y Servicios SA

     3,862,639       98,903,879  

Cia. de Distribucion Integral Logista Holdings SA

     1,112,864       20,505,000  

Enagas SA

     2,562,582       55,409,896  

Mapfre SA

     5,836,200       10,650,231  

Naturgy Energy Group SA

     2,787,702       83,860,526  

Red Electrica Corp. SA

     3,161,199       63,648,370  

Telefonica SA

     4,733,562       23,027,082  
   

 

 

  
      356,004,984  
Sweden — 1.3%            

Telia Co. AB

     14,436,089       59,918,632  
   

 

 

  
 

 

S C H E D U L E   O F   I N V E S T M E N T S

   25

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Select Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Switzerland — 2.3%            

Swiss Re AG

     259,687     $ 21,296,106  

Zurich Insurance Group AG

     191,931       87,380,333  
   

 

 

  
      108,676,439  
United Kingdom — 14.3%            

abrdn plc

     3,680,776       8,642,932  

Antofagasta PLC

     3,636,191       69,610,900  

Ashmore Group PLC

     3,670,629       10,147,277  

BP PLC

     2,444,954       11,803,733  

British American Tobacco PLC

     3,546,971       148,661,888  

CK Hutchison Holdings Ltd.

     5,916,500       41,521,564  

Direct Line Insurance Group PLC

     4,307,408       13,671,186  

GlaxoSmithKline PLC

     2,628,707       59,257,841  

IG Group Holdings PLC

     2,822,832       28,849,548  

Jupiter Fund Management PLC

     4,491,693       10,025,627  

Legal & General Group PLC

     3,409,901       10,628,986  

National Grid PLC

     2,153,769       31,998,484  

Persimmon PLC

     4,796,466       124,920,443  

Phoenix Group Holdings PLC

     3,800,413       28,785,856  

SSE PLC

     2,414,418       56,076,851  

Vodafone Group PLC

     3,082,659       4,667,019  
   

 

 

  
      659,270,135  
   

 

 

  

Total Common Stocks — 98.8%
(Cost: $4,512,520,864)

       4,554,643,085  
   

 

 

  

 

Security   Shares     Value  
Preferred Stocks  
Germany — 0.0%            

Schaeffler AG, Preference Shares, NVS

     241,825     $ 1,298,671  
   

 

 

  

Total Preferred Stocks — 0.0%
(Cost: $1,770,800)

       1,298,671  
   

 

 

  
Short-Term Investments  
Money Market Funds — 0.1%            

BlackRock Cash Funds: Treasury,
SL Agency Shares, 0.34%(b)(c)

    2,240,000       2,240,000  
   

 

 

  

Total Short-Term Investments — 0.1%
(Cost: $2,240,000)

 

     2,240,000  
   

 

 

  

Total Investments in Securities — 98.9%
(Cost: $4,516,531,664)

 

     4,558,181,756  

Other Assets, Less Liabilities — 1.1%

 

     51,505,633  
   

 

 

  

Net Assets — 100.0%

 

   $ 4,609,687,389  
   

 

 

  

 

(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) 

Affiliate of the Fund.

(c) 

Annualized 7-day yield as of period end.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer    
 Value at
04/30/21		  
 		    
 Purchases
at Cost 		 
 		    
 Proceeds
from Sales		  
 		    
 Net Realized
Gain (Loss) 		 
 		    


 Change in
Unrealized
Appreciation
(Depreciation)		  
 
 
 		    
 Value at
04/30/22		  
 		    

 Shares
Held at
04/30/22		  
 
 		     Income      





 Capital

Gain
Distributions
from
Underlying
Funds

 

 
 
 
 
 

BlackRock Cash Funds: Institutional,
SL Agency Shares(a)

  $ —     $ 8,860 (b)     $ —     $ (8,860 )    $ —     $ —       —     $ 1,196,087 (c)    $ —  

BlackRock Cash Funds: Treasury,
SL Agency Shares

     2,930,000       —       (690,000 )(b)       —       —       2,240,000       2,240,000       1,420       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (8,860 )    $ —     $ 2,240,000       $ 1,197,507     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

As of period end, the entity is no longer held.

 
  (b) 

Represents net amount purchased (sold).

 
  (c) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date		       

Notional
Amount

(000)

   Value/
Unrealized
Appreciation
(Depreciation)		  
Long Contracts                             

SPI 200 Index

      100          06/16/22        $12,932   $ (206,347 ) 

Euro Stoxx 50 Index

      328          06/17/22        12,762     (447,508 ) 

 

 

26  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Select Dividend ETF

 

Futures Contracts (continued)

Description    Number of
Contracts		        Expiration
Date		       

Notional
Amount

(000)

   Value/
Unrealized
Appreciation
(Depreciation)		  

FTSE 100 Index

      232          06/17/22        $21,663   $ (183,593 ) 
              

 

 

  
               $ (837,448 ) 
              

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts
  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 837,448  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts 		 

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 3,959,229  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (1,635,177 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:        

Average notional value of contracts — long

    $ 40,250,519  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

      Level 1        Level 2        Level 3        Total  

Investments

                  

Assets

                  

Common Stocks

    $ 348,279,011        $ 4,206,364,074        $ —        $ 4,554,643,085  

Preferred Stocks

      —          1,298,671          —          1,298,671  

Money Market Funds

      2,240,000          —          —          2,240,000  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 350,519,011        $ 4,207,662,745        $ —        $ 4,558,181,756  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ —        $ (837,448 )       $ —        $ (837,448 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a)

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.    

 

See notes to financial statements.    

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   27

Schedule of Investments  

April 30, 2022

   

iShares® Select Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Common Stocks            
Aerospace & Defense — 0.9%            

Lockheed Martin Corp.

     432,153     $ 186,741,954  
   

 

 

  
Banks — 9.8%            

Citizens Financial Group Inc.

     4,671,300       184,049,220  

Comerica Inc.

     2,424,826       198,593,249  

Fifth Third Bancorp

     4,211,871       158,071,519  

First Horizon Corp.

     8,177,703       183,016,993  

FNB Corp.

     8,392,604       96,682,798  

Huntington Bancshares Inc./OH

     20,397,348       268,225,126  

KeyCorp

     10,020,703       193,499,775  

Regions Financial Corp.

     9,404,659       194,864,534  

Truist Financial Corp.

     3,960,530       191,491,626  

U.S. Bancorp.

     4,484,066       217,746,245  

United Bankshares Inc./WV

     3,387,860       112,680,224  

Valley National Bancorp.

     9,961,944       119,344,089  
   

 

 

  
      2,118,265,398  
Beverages — 1.1%            

Coca-Cola Co. (The)

     3,602,236       232,740,468  
   

 

 

  
Biotechnology — 1.7%            

Gilead Sciences Inc.

     6,154,318       365,197,230  
   

 

 

  
Capital Markets — 2.8%            

Federated Hermes Inc.

     2,403,823       68,460,879  

Franklin Resources Inc.

     6,889,701       169,417,748  

Invesco Ltd.

     8,502,115       156,268,874  

Janus Henderson Group PLC

     4,225,651       128,797,842  

Lazard Ltd., Class A

     2,742,025       89,856,159  
   

 

 

  
      612,801,502  
Chemicals — 3.0%            

Chemours Co. (The)

     4,151,114       137,277,340  

Huntsman Corp.

     4,272,938       144,724,410  

LyondellBasell Industries NV, Class A

     3,549,458       376,349,032  
   

 

 

  
      658,350,782  
Containers & Packaging — 4.2%            

International Paper Co.

     7,569,477       350,315,396  

Packaging Corp. of America

     1,382,403       222,801,891  

Sonoco Products Co.

     2,451,338       151,762,336  

Westrock Co.

     3,904,712       193,400,385  
   

 

 

  
      918,280,008  
Distributors — 1.1%            

Genuine Parts Co.

     1,811,455       235,579,723  
   

 

 

  
Diversified Consumer Services — 0.5%            

H&R Block Inc.

     4,150,293       108,198,139  
   

 

 

  
Diversified Telecommunication Services — 3.7%  

AT&T Inc.

     15,129,823       285,348,462  

Lumen Technologies Inc.

     21,156,364       212,833,022  

Verizon Communications Inc.

     6,749,379       312,496,247  
   

 

 

  
      810,677,731  
Electric Utilities — 14.9%            

Alliant Energy Corp.

     3,680,708       216,462,437  

American Electric Power Co. Inc.

     2,720,849       269,663,344  

Edison International

     5,064,958       348,418,461  

Entergy Corp.

     2,670,957       317,443,239  

Eversource Energy

     2,781,077       243,066,130  

Exelon Corp.

     5,470,538       255,911,768  

FirstEnergy Corp.

     6,351,467       275,082,036  
Security   Shares     Value  
Electric Utilities (continued)            

IDACORP Inc.

     1,135,562     $ 119,438,411  

NextEra Energy Inc.

     2,028,650       144,074,723  

NRG Energy Inc.

     5,753,085       206,535,752  

OGE Energy Corp.

     4,560,548       176,401,997  

Pinnacle West Capital Corp.

     2,564,444       182,588,413  

PPL Corp.

     8,602,484       243,536,322  

Xcel Energy Inc.

     3,114,643       228,178,746  
   

 

 

  
      3,226,801,779  
Electrical Equipment — 1.4%            

Eaton Corp. PLC

     1,057,985       153,428,985  

Emerson Electric Co.

     1,764,465       159,119,453  
   

 

 

  
      312,548,438  
Food & Staples Retailing — 1.3%            

Walgreens Boots Alliance Inc.

     6,468,260       274,254,224  
   

 

 

  
Food Products — 2.5%            

Conagra Brands Inc.

     8,610,430       300,762,320  

General Mills Inc.

     3,544,354       250,692,158  
   

 

 

  
      551,454,478  
Gas Utilities — 1.9%            

New Jersey Resources Corp.

     2,253,285       97,251,781  

Southwest Gas Holdings Inc.(a)

    1,427,146       125,745,834  

UGI Corp.

     5,445,144       186,768,439  
   

 

 

  
      409,766,054  
Hotels, Restaurants & Leisure — 0.9%            

McDonald’s Corp.

     761,375       189,704,195  
   

 

 

  
Household Durables — 2.4%            

Garmin Ltd.

     1,646,235       180,657,829  

Leggett & Platt Inc.

     3,144,640       112,043,523  

Newell Brands Inc.

     9,376,222       217,059,539  
   

 

 

  
      509,760,891  
Household Products — 1.4%            

Kimberly-Clark Corp.

     2,167,118       300,860,992  
   

 

 

  
Insurance — 7.1%            

Cincinnati Financial Corp.

     1,391,121       170,634,902  

Fidelity National Financial Inc.

     5,974,958       237,922,828  

MetLife Inc.

     3,312,883       217,590,155  

Old Republic International Corp.

     6,912,281       152,139,305  

Principal Financial Group Inc.

     4,113,530       280,295,934  

Prudential Financial Inc.

     3,020,597       327,764,981  

Unum Group

     4,879,487       148,921,943  
   

 

 

  
      1,535,270,048  
IT Services — 2.7%            

International Business Machines Corp.

     3,186,324       421,263,896  

Western Union Co. (The)

     9,674,404       162,143,011  
   

 

 

  
      583,406,907  
Machinery — 0.8%            

Caterpillar Inc.

     847,508       178,434,334  
   

 

 

  
Media — 2.2%            

Interpublic Group of Companies Inc. (The)

     7,008,691       228,623,500  

Omnicom Group Inc.

     3,260,346       248,210,141  
   

 

 

  
      476,833,641  
Metals & Mining — 1.1%            

Newmont Corp.

     3,285,559       239,352,973  
   

 

 

  
Multi-Utilities — 10.0%            

Avista Corp.

     1,641,522       66,596,548  
 

 

28  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Select Dividend ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Multi-Utilities (continued)  

Black Hills Corp.

     1,496,849     $ 109,629,221  

CenterPoint Energy Inc.

     6,579,998       201,413,739  

CMS Energy Corp.

     3,310,366       227,389,041  

Dominion Energy Inc.

     3,113,013       254,146,381  

DTE Energy Co.

     1,748,954       229,182,932  

NiSource Inc.

     8,230,779       239,680,284  

NorthWestern Corp.

     1,232,976       69,897,409  

Public Service Enterprise Group Inc.

     3,801,951       264,843,907  

Sempra Energy

     1,566,121       252,709,285  

WEC Energy Group Inc.

     2,597,164       259,846,258  
   

 

 

  
        2,175,335,005  
Oil, Gas & Consumable Fuels — 8.1%  

Chevron Corp.

     1,781,797       279,154,136  

Exxon Mobil Corp.

     4,072,155       347,151,214  

Marathon Petroleum Corp.

     2,966,611       258,866,476  

ONEOK Inc.

     6,458,109       408,992,043  

Valero Energy Corp.

     4,045,896       451,036,486  
   

 

 

  
      1,745,200,355  
Pharmaceuticals — 2.6%  

Merck & Co. Inc.

     3,479,817       308,624,970  

Pfizer Inc.

     5,251,562       257,694,147  
   

 

 

  
      566,319,117  
Semiconductors & Semiconductor Equipment — 1.0%  

Intel Corp.

     4,826,588       210,390,971  
   

 

 

  
Technology Hardware, Storage & Peripherals — 1.9%  

HP Inc.

     6,063,557       222,108,093  

Seagate Technology Holdings PLC

     2,255,489       185,040,318  
   

 

 

  
      407,148,411  
Textiles, Apparel & Luxury Goods — 0.5%  

Hanesbrands Inc.

     8,332,882       110,494,015  
   

 

 

  
Security   Shares     Value  
Thrifts & Mortgage Finance — 0.5%  

New York Community Bancorp. Inc.

     11,153,645     $ 103,059,680  
   

 

 

  
Tobacco — 4.5%  

Altria Group Inc.

     10,336,799       574,415,920  

Philip Morris International Inc.

     3,960,818       396,081,800  
   

 

 

  
      970,497,720  
Trading Companies & Distributors — 1.3%  

MSC Industrial Direct Co. Inc., Class A

     1,083,692       89,794,719  

Watsco Inc.

     740,845       197,642,629  
   

 

 

  
      287,437,348  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $18,888,802,657)

       21,611,164,511  
   

 

 

  
Short-Term Investments  
Money Market Funds — 0.1%            

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(c)

    24,690,000       24,690,000  
   

 

 

  

Total Short-Term Investments — 0.1%
(Cost: $24,690,000)

 

     24,690,000  
   

 

 

  

Total Investments in Securities — 99.9%
(Cost: $18,913,492,657)

 

     21,635,854,511  

Other Assets, Less Liabilities — 0.1%

 

     26,081,759  
   

 

 

  

Net Assets — 100.0%

 

   $  21,661,936,270  
   

 

 

  

 

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

Annualized 7-day yield as of period end.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer    Value at
04/30/21 		     Purchases
at Cost 		     Proceeds
from Sales 		     Net Realized
Gain (Loss) 		     Change in
Unrealized
Appreciation
(Depreciation)		      Value at
04/30/22 		     Shares
Held at
04/30/22		      Income     

Capital

Gain
Distributions
from
Underlying
Funds

 

BlackRock Cash Funds: Treasury, SL Agency Shares

    $ 28,250,000      $ —      $ (3,560,000 )(a)     $ —      $ —      $ 24,690,000        24,690,000      $ 16,511      $ —  
           

 

 

     

 

 

     

 

 

        

 

 

     

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date 		       Notional
Amount
(000) 		    Value/
Unrealized
Appreciation
(Depreciation)		  
Long Contracts                               

E-mini Energy Select Sector Index

      88          06/17/22        $ 6,900     $ 146,442  

E-mini Financials Select Sector Index

      200          06/17/22          21,233       (1,006,905 ) 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   29

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Select Dividend ETF

 

Futures Contracts (continued)

 

Description    Number of
Contracts 		       Expiration
Date 		       Notional
Amount
(000) 		  Value/
Unrealized
Appreciation
(Depreciation)		  

E-Mini Utilities Select Sector Index

      288          06/17/22        $20,655   $ (3,940 ) 
              

 

 

  
               $ (864,403 ) 
              

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts

Assets — Derivative Financial Instruments

     

Futures contracts

     

Unrealized appreciation on futures contracts(a)

     $ 146,442
    

 

 

  

Liabilities — Derivative Financial Instruments

     

Futures contracts

     

Unrealized depreciation on futures contracts(a)

     $ 1,010,845
    

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts

Net Realized Gain (Loss) from:

     

Futures contracts

      $ 8,142,327
    

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

     

Futures contracts

      $ (3,357,204 )
    

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

    $ 45,307,280  

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

 

 

30  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Select Dividend ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

      Level 1      Level 2      Level 3      Total

Investments

                          

Assets

                          

Common Stocks

      $ 21,611,164,511        $ —        $ —        $ 21,611,164,511

Money Market Funds

        24,690,000          —          —          24,690,000
    

 

 

         

 

 

         

 

 

         

 

 

  
     $ 21,635,854,511        $ —        $ —        $ 21,635,854,511
    

 

 

         

 

 

         

 

 

         

 

 

  

Derivative financial instruments(a)

                         

Assets

                          

Futures Contracts

      $ 146,442        $ —        $ —        $ 146,442

Liabilities

                          

Futures Contracts

        (1,010,845 )          —          —          (1,010,845 )
    

 

 

         

 

 

         

 

 

         

 

 

  
     $ (864,403 )        $                     —        $                     —        $ (864,403 )
    

 

 

         

 

 

         

 

 

         

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   31

Schedule of Investments  

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 1.7%            

General Dynamics Corp.

     2,329     $ 550,878  

L3Harris Technologies Inc.

     3,880       901,169  

Lockheed Martin Corp.

     2,895       1,250,988  

Northrop Grumman Corp.

     1,693       743,904  

Raytheon Technologies Corp.

     11,290       1,071,534  
   

 

 

  
      4,518,473  
Air Freight & Logistics — 0.4%            

CH Robinson Worldwide Inc.

     1,732       183,852  

United Parcel Service Inc., Class B

     4,357       784,173  
   

 

 

  
      968,025  
Airlines — 0.0%            

Delta Air Lines Inc.(a)

    1,374       59,123  
   

 

 

  
Banks — 7.3%            

Bank of America Corp.

     126,063       4,497,928  

Citigroup Inc.

     43,214       2,083,347  

Citizens Financial Group Inc.

     5,189       204,447  

Comerica Inc.

     2,380       194,922  

Fifth Third Bancorp.

     8,643       324,372  

Huntington Bancshares Inc./OH

     22,214       292,114  

JPMorgan Chase & Co.

     46,514       5,551,911  

KeyCorp

     14,940       288,491  

M&T Bank Corp.

     1,176       195,969  

PNC Financial Services Group Inc. (The)

     4,710       782,331  

Regions Financial Corp.

     9,959       206,350  

Truist Financial Corp.

     14,920       721,382  

U.S. Bancorp.

     18,332       890,202  

Wells Fargo & Co.

     62,105       2,709,641  

Zions Bancorp. NA

     2,635       148,904  
   

 

 

  
        19,092,311  
Beverages — 1.6%            

Coca-Cola Co. (The)

     26,787       1,730,708  

Constellation Brands Inc., Class A

     1,458       358,799  

PepsiCo Inc.

     11,512       1,976,726  
   

 

 

  
      4,066,233  
Biotechnology — 3.1%            

AbbVie Inc.

     18,189       2,671,600  

Amgen Inc.

     9,394       2,190,587  

Biogen Inc.(a)

    5,491       1,139,053  

Gilead Sciences Inc.

     19,594       1,162,708  

Regeneron Pharmaceuticals Inc.(a)

    1,042       686,793  

Vertex Pharmaceuticals Inc.(a)

    1,258       343,711  
   

 

 

  
      8,194,452  
Building Products — 0.5%            

Carlisle Companies Inc.

     535       138,758  

Johnson Controls International PLC

     10,460       626,240  

Masco Corp.

     5,412       285,158  

Trane Technologies PLC

     2,142       299,644  
   

 

 

  
        1,349,800  
Capital Markets — 3.8%            

Affiliated Managers Group Inc.

     979       122,933  

Ameriprise Financial Inc.

     2,140       568,149  

Bank of New York Mellon Corp. (The)

     17,842       750,434  

BlackRock Inc.(b)

    1,476       922,028  

Blackstone Inc., NVS

     8,305       843,539  

Charles Schwab Corp. (The)

     3,689       244,691  

CME Group Inc.

     1,471       322,649  
Security   Shares     Value  

Capital Markets (continued)

 

Franklin Resources Inc.

     3,717     $ 91,401  

Goldman Sachs Group Inc. (The)

     4,527       1,382,953  

Intercontinental Exchange Inc.

     3,182       368,507  

Invesco Ltd.

     3,549       65,231  

Janus Henderson Group PLC

     4,194       127,833  

Jefferies Financial Group Inc.

     4,634       142,542  

KKR & Co. Inc.

     2,747       140,015  

Moody’s Corp.

     775       245,272  

Morgan Stanley

     27,285       2,198,898  

MSCI Inc.

     440       185,350  

Northern Trust Corp.

     2,099       216,302  

Raymond James Financial Inc.

     1,075       104,769  

S&P Global Inc.

     887       333,955  

State Street Corp.

     1,915       128,248  

T Rowe Price Group Inc.

     4,040       497,082  
   

 

 

  
        10,002,781  
Chemicals — 2.2%            

Air Products and Chemicals Inc.

     1,534       359,063  

Celanese Corp.

     2,116       310,925  

CF Industries Holdings Inc.

     1,651       159,866  

Corteva Inc.

     5,158       297,565  

Dow Inc.

     10,601       704,967  

DuPont de Nemours Inc.

     6,286       414,436  

Eastman Chemical Co.

     2,192       225,053  

Ecolab Inc.

     948       160,534  

International Flavors & Fragrances Inc.

     1,724       209,121  

Linde PLC

     5,069       1,581,325  

LyondellBasell Industries NV, Class A

     3,602       381,920  

PPG Industries Inc.

     1,294       165,619  

Sherwin-Williams Co. (The)

     3,087       848,802  
   

 

 

  
      5,819,196  
Commercial Services & Supplies — 0.3%            

Cintas Corp.

     669       265,767  

Republic Services Inc.

     1,017       136,553  

Waste Management Inc.

     2,951       485,262  
   

 

 

  
      887,582  
Communications Equipment — 1.1%            

Cisco Systems Inc.

     50,423       2,469,719  

Juniper Networks Inc.

     4,822       151,989  

Motorola Solutions Inc.

     1,128       241,042  
   

 

 

  
      2,862,750  
Consumer Finance — 1.7%            

Ally Financial Inc.

     8,504       339,820  

American Express Co.

     7,062       1,233,802  

Capital One Financial Corp.

     9,317       1,161,084  

Discover Financial Services

     4,560       512,818  

Navient Corp.

     9,466       150,415  

OneMain Holdings Inc.

     3,091       141,970  

SLM Corp.

     16,351       273,552  

Synchrony Financial

     17,461       642,739  
   

 

 

  
      4,456,200  
Containers & Packaging — 0.2%            

Ball Corp.

     1,944       157,775  

International Paper Co.

     7,428       343,768  
   

 

 

  
      501,543  
Distributors — 0.1%            

Genuine Parts Co.

     1,464       190,393  
   

 

 

  
 

 

32  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Diversified Consumer Services — 0.1%            

Service Corp. International

     2,905     $ 190,597  
   

 

 

  
Diversified Financial Services — 2.3%            

Berkshire Hathaway Inc., Class B(a)

    17,087       5,516,196  

Equitable Holdings Inc.

     10,670       307,616  

Voya Financial Inc.

     3,600       227,304  
   

 

 

  
      6,051,116  
Diversified Telecommunication Services — 2.5%        

AT&T Inc.

     198,252       3,739,033  

Lumen Technologies Inc.

     33,826       340,289  

Verizon Communications Inc.

     51,762       2,396,581  
   

 

 

  
        6,475,903  
Electric Utilities — 1.3%            

American Electric Power Co. Inc.

     3,176       314,773  

Duke Energy Corp.

     4,072       448,572  

Evergy Inc.

     1,832       124,301  

Exelon Corp.

     8,741       408,904  

FirstEnergy Corp.

     2,079       90,042  

NextEra Energy Inc.

     10,245       727,600  

NRG Energy Inc.

     3,190       114,521  

PPL Corp.

     16,937       479,486  

Southern Co. (The)

     10,644       781,163  
   

 

 

  
      3,489,362  
Electrical Equipment — 0.5%            

Eaton Corp. PLC

     3,649       529,178  

Emerson Electric Co.

     5,565       501,852  

Rockwell Automation Inc.

     737       186,218  
   

 

 

  
      1,217,248  
Electronic Equipment, Instruments & Components — 0.5%  

Amphenol Corp., Class A

     3,916       279,994  

Arrow Electronics Inc.(a)

    1,547       182,329  

CDW Corp./DE

     1,783       290,950  

Corning Inc.

     6,478       227,961  

TE Connectivity Ltd.

     2,832       353,377  
   

 

 

  
      1,334,611  
Energy Equipment & Services — 0.1%            

Baker Hughes Co.

     6,471       200,730  

Schlumberger NV

     4,381       170,903  
   

 

 

  
      371,633  
Entertainment — 0.1%            

Electronic Arts Inc.

     2,314       273,168  

Warner Bros. Discovery Inc.(a)

    3,044       55,248  
   

 

 

  
      328,416  
Equity Real Estate Investment Trusts (REITs) — 1.4%        

American Tower Corp.

     1,375       331,403  

AvalonBay Communities Inc.

     1,034       235,214  

Boston Properties Inc.

     1,149       135,122  

Crown Castle International Corp.

     3,666       678,980  

Equity Residential

     2,456       200,164  

Essex Property Trust Inc.

     524       172,537  

Iron Mountain Inc.

     3,672       197,297  

Mid-America Apartment Communities Inc.

     590       116,041  

Prologis Inc.

     3,275       524,950  

Public Storage

     829       307,974  

SBA Communications Corp.

     852       295,738  

Simon Property Group Inc.

     2,098       247,564  

SL Green Realty Corp.

     2,359       163,290  
Security   Shares     Value  
Equity Real Estate Investment Trusts (REITs) (continued)  

WP Carey Inc.

     2,029     $ 163,882  
   

 

 

  
        3,770,156  
Food & Staples Retailing — 1.3%            

Costco Wholesale Corp.

     883       469,509  

Kroger Co. (The)

     7,836       422,831  

Sysco Corp.

     4,173       356,708  

Walgreens Boots Alliance Inc.

     9,551       404,962  

Walmart Inc.

     11,361       1,738,119  
   

 

 

  
      3,392,129  
Food Products — 1.2%            

Archer-Daniels-Midland Co.

     2,911       260,709  

Conagra Brands Inc.

     7,602       265,538  

General Mills Inc.

     6,441       455,572  

Hershey Co. (The)

     1,078       243,380  

JM Smucker Co. (The)

     2,046       280,159  

Kellogg Co.

     2,604       178,374  

Kraft Heinz Co. (The)

     7,795       332,301  

Mondelez International Inc., Class A

     15,406       993,379  

Tyson Foods Inc., Class A

     2,247       209,330  
   

 

 

  
      3,218,742  
Health Care Equipment & Supplies — 1.1%            

Abbott Laboratories

     10,116       1,148,166  

Baxter International Inc.

     3,649       259,298  

Edwards Lifesciences Corp.(a)

    1,408       148,938  

Hologic Inc.(a)

    1,738       125,119  

Medtronic PLC

     9,034       942,788  

Stryker Corp.

     909       219,305  
   

 

 

  
      2,843,614  
Health Care Providers & Services — 3.3%            

AmerisourceBergen Corp.

     677       102,423  

Anthem Inc.

     1,912       959,690  

Cardinal Health Inc.

     5,184       300,931  

Cigna Corp.

     7,776       1,918,961  

CVS Health Corp.

     6,850       658,491  

DaVita Inc.(a)

    2,277       246,759  

HCA Healthcare Inc.

     3,760       806,708  

Humana Inc.

     798       354,759  

McKesson Corp.

     1,448       448,315  

Quest Diagnostics Inc.

     2,989       400,048  

UnitedHealth Group Inc.

     4,595       2,336,787  
   

 

 

  
      8,533,872  
Health Care Technology — 0.1%            

Cerner Corp.

     3,947       369,597  
   

 

 

  
Hotels, Restaurants & Leisure — 1.3%            

Booking Holdings Inc.(a)

    95       209,979  

Domino’s Pizza Inc.

     631       213,278  

Expedia Group Inc.(a)

    441       77,065  

Hilton Worldwide Holdings Inc.(a)

    279       43,326  

Marriott International Inc./MD, Class A(a)

    103       18,285  

McDonald’s Corp.

     5,728       1,427,189  

Starbucks Corp.

     11,986       894,635  

Yum! Brands Inc.

     3,437       402,163  
   

 

 

  
      3,285,920  
Household Durables — 0.4%            

DR Horton Inc.

     2,969       206,613  

Lennar Corp., Class A

     2,958       226,257  

NVR Inc.(a)

    49       214,434  

Toll Brothers Inc.

     2,101       97,423  
 

 

S C H E D U L E   O F   I N V E S T M E N T S

   33

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Household Durables (continued)            

Whirlpool Corp.

     1,178     $ 213,831  
   

 

 

  
      958,558  
Household Products — 2.7%            

Church & Dwight Co. Inc.

     1,749       170,632  

Clorox Co. (The)

     2,015       289,092  

Colgate-Palmolive Co.

     10,111       779,053  

Kimberly-Clark Corp.

     4,418       613,351  

Procter & Gamble Co. (The)

     31,907       5,122,669  
   

 

 

  
      6,974,797  
Independent Power and Renewable Electricity Producers — 0.1%  

Vistra Corp.

     6,187       154,799  
   

 

 

  
Industrial Conglomerates — 1.1%            

3M Co.

     8,401       1,211,592  

Honeywell International Inc.

     8,282       1,602,650  
   

 

 

  
      2,814,242  
Insurance — 3.5%            

Aflac Inc.

     11,216       642,453  

Allstate Corp. (The)

     7,208       912,100  

American International Group Inc.

     11,726       686,088  

Aon PLC, Class A

     2,794       804,644  

Assured Guaranty Ltd.

     2,404       132,581  

Brighthouse Financial Inc.(a)

    2,729       140,162  

Chubb Ltd.

     5,216       1,076,843  

Cincinnati Financial Corp.

     1,220       149,645  

Fidelity National Financial Inc.

     4,471       178,035  

Hartford Financial Services Group Inc. (The)

     5,508       385,175  

Lincoln National Corp.

     3,952       237,713  

Loews Corp.

     3,706       232,885  

Marsh & McLennan Companies Inc.

     2,740       443,058  

MetLife Inc.

     14,999       985,134  

Principal Financial Group Inc.

     4,430       301,860  

Progressive Corp. (The)

     3,072       329,810  

Prudential Financial Inc.

     7,979       865,801  

Travelers Companies Inc. (The)

     3,507       599,907  
   

 

 

  
      9,103,894  
Interactive Media & Services — 5.9%            

Alphabet Inc., Class A(a)

    1,945       4,438,859  

Alphabet Inc., Class C, NVS(a)

    1,800       4,138,794  

Meta Platforms Inc, Class A(a)

    33,527       6,721,158  
   

 

 

  
        15,298,811  
Internet & Direct Marketing Retail — 0.6%            

eBay Inc.

     31,873       1,654,846  
   

 

 

  
IT Services — 4.7%            

Accenture PLC, Class A

     4,014       1,205,645  

Automatic Data Processing Inc.

     3,733       814,466  

Cognizant Technology Solutions Corp., Class A

     5,111       413,480  

Fidelity National Information Services Inc.

     5,879       582,903  

Fiserv Inc.(a)

    5,313       520,249  

FleetCor Technologies Inc.(a)

    856       213,589  

Global Payments Inc.

     3,766       515,867  

GoDaddy Inc., Class A(a)

    1,753       141,660  

International Business Machines Corp.

     12,844       1,698,105  

Mastercard Inc., Class A

     4,936       1,793,644  

Paychex Inc.

     2,009       254,601  

PayPal Holdings Inc.(a)

    6,155       541,209  

VeriSign Inc.(a)

    819       146,347  

Visa Inc., Class A

     15,188       3,237,018  
Security   Shares     Value  
IT Services (continued)            

Western Union Co. (The)

     10,349     $ 173,449  
   

 

 

  
        12,252,232  
Life Sciences Tools & Services — 0.5%            

Agilent Technologies Inc.

     1,988       237,109  

IQVIA Holdings Inc.(a)

    517       112,701  

Mettler-Toledo International Inc.(a)

    167       213,347  

Thermo Fisher Scientific Inc.

     1,043       576,696  

Waters Corp.(a)

    346       104,845  
   

 

 

  
      1,244,698  
Machinery — 1.2%            

Caterpillar Inc.

     5,084       1,070,385  

Cummins Inc.

     2,330       440,813  

Deere & Co.

     1,865       704,131  

Illinois Tool Works Inc.

     2,612       514,851  

PACCAR Inc.

     1,480       122,914  

Parker-Hannifin Corp.

     795       215,302  
   

 

 

  
      3,068,396  
Media — 1.7%            

Altice USA Inc., Class A(a)

    54,397       504,804  

Charter Communications Inc., Class A(a)

    4,314       1,848,506  

Comcast Corp., Class A

     25,916       1,030,420  

Liberty Broadband Corp., Class C, NVS(a)

    3,780       422,680  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    4,448       186,282  

Omnicom Group Inc.

     3,308       251,838  

Sirius XM Holdings Inc.

     17,740       106,440  
   

 

 

  
      4,350,970  
Metals & Mining — 0.5%            

Newmont Corp.

     7,847       571,654  

Nucor Corp.

     4,314       667,721  
   

 

 

  
      1,239,375  
Mortgage Real Estate Investment — 0.2%            

AGNC Investment Corp.

     17,004       186,704  

Annaly Capital Management Inc.

     40,424       259,522  

Starwood Property Trust Inc.

     4,615       105,591  
   

 

 

  
      551,817  
Multi-Utilities — 0.8%            

Consolidated Edison Inc.

     1,168       108,320  

Dominion Energy Inc.

     11,017       899,428  

Public Service Enterprise Group Inc.

     4,110       286,303  

Sempra Energy

     3,181       513,286  

WEC Energy Group Inc.

     2,652       265,333  
   

 

 

  
      2,072,670  
Multiline Retail — 0.8%            

Dollar General Corp.

     3,927       932,780  

Target Corp.

     5,510       1,259,862  
   

 

 

  
      2,192,642  
Oil, Gas & Consumable Fuels — 4.8%            

Chevron Corp.

     16,532       2,590,069  

ConocoPhillips

     11,509       1,099,340  

Devon Energy Corp.

     6,812       396,254  

EOG Resources Inc.

     2,744       320,390  

Exxon Mobil Corp.

     47,739       4,069,750  

Kinder Morgan Inc.

     30,421       552,141  

Marathon Petroleum Corp.

     12,840       1,120,418  

ONEOK Inc.

     4,592       290,811  

Ovintiv Inc.

     1,009       51,651  

Phillips 66

     5,936       515,007  

Pioneer Natural Resources Co.

     1,658       385,435  
 

 

34  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Oil, Gas & Consumable Fuels (continued)            

Valero Energy Corp.

     5,088     $ 567,210  

Williams Companies Inc. (The)

     15,980       547,954  
   

 

 

  
        12,506,430  
Personal Products — 0.2%            

Estee Lauder Companies Inc. (The), Class A

     1,551       409,557  

Herbalife Nutrition Ltd.(a)

    6,414       170,484  
   

 

 

  
      580,041  
Pharmaceuticals — 4.8%            

Bristol-Myers Squibb Co.

     32,232       2,426,102  

Eli Lilly & Co.

     3,513       1,026,253  

Johnson & Johnson

     22,454       4,052,049  

Merck & Co. Inc.

     26,046       2,310,020  

Pfizer Inc.

     47,288       2,320,422  

Zoetis Inc.

     1,393       246,909  
   

 

 

  
      12,381,755  
Professional Services — 0.1%            

Verisk Analytics Inc.

     835       170,382  
   

 

 

  
Road & Rail — 1.4%            

CSX Corp.

     20,580       706,717  

Norfolk Southern Corp.

     3,421       882,208  

Union Pacific Corp.

     8,666       2,030,357  
   

 

 

  
      3,619,282  
Semiconductors & Semiconductor Equipment — 4.5%        

Analog Devices Inc.

     5,431       838,438  

Applied Materials Inc.

     7,738       853,888  

Broadcom Inc.

     3,063       1,698,097  

Intel Corp.

     77,248       3,367,240  

KLA Corp.

     1,210       386,305  

Lam Research Corp.

     1,566       729,380  

NXP Semiconductors NV

     4,169       712,482  

Qorvo Inc.(a)

    1,402       159,520  

QUALCOMM Inc.

     9,643       1,347,031  

Skyworks Solutions Inc.

     1,858       210,511  

Texas Instruments Inc.

     7,777       1,324,034  
   

 

 

  
      11,626,926  
Software — 6.6%            

Adobe Inc.(a)

    1,900       752,305  

Citrix Systems Inc.

     2,128       213,013  

Fortinet Inc.(a)

    671       193,926  

Intuit Inc.

     845       353,844  

Microsoft Corp.

     39,735       11,027,257  

NortonLifeLock Inc.

     7,388       184,995  

Oracle Corp.

     52,094       3,823,700  

Palo Alto Networks Inc.(a)

    644       361,464  

VMware Inc., Class A

     1,337       144,449  
   

 

 

  
      17,054,953  
Specialty Retail — 3.2%            

Advance Auto Parts Inc.

     1,138       227,179  

AutoZone Inc.(a)

    353       690,281  

Best Buy Co. Inc.

     4,186       376,447  
Security   Shares     Value  
Specialty Retail (continued)            

Home Depot Inc. (The)

     10,092     $ 3,031,637  

Lowe’s Companies Inc.

     12,512       2,473,998  

O’Reilly Automotive Inc.(a)

    960       582,288  

Ross Stores Inc.

     2,163       215,802  

TJX Companies Inc. (The)

     7,085       434,169  

Tractor Supply Co.

     903       181,909  

Ulta Beauty, Inc.(a)

    327       129,754  
   

 

 

  
      8,343,464  
Technology Hardware, Storage & Peripherals — 6.0%  

Apple Inc.

     80,300       12,659,295  

Dell Technologies Inc., Class C

     6,166       289,864  

Hewlett Packard Enterprise Co.

     14,604       225,047  

HP Inc.

     43,454       1,591,720  

NetApp Inc.

     2,348       171,991  

Seagate Technology Holdings PLC

     5,869       481,493  

Xerox Holdings Corp.

     8,257       143,672  
   

 

 

  
      15,563,082  
Textiles, Apparel & Luxury Goods — 0.4%            

Nike Inc., Class B

     6,576       820,027  

VF Corp.

     4,554       236,808  
   

 

 

  
      1,056,835  
Tobacco — 1.7%            

Altria Group Inc.

     37,502       2,083,986  

Philip Morris International Inc.

     22,393       2,239,300  
   

 

 

  
      4,323,286  
Trading Companies & Distributors — 0.2%            

Fastenal Co.

     3,282       181,527  

United Rentals Inc.(a)

    133       42,097  

WW Grainger Inc.

     448       224,014  
   

 

 

  
      447,638  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $265,553,395)

       259,448,599  
   

 

 

  
Short-Term Investments  
Money Market Funds — 0.2%            

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(b)(c)

    490,000       490,000  
   

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $490,000)

 

     490,000  
   

 

 

  

Total Investments in Securities — 99.9%
(Cost: $266,043,395)

 

     259,938,599  

Other Assets, Less Liabilities — 0.1%

 

     324,827  
   

 

 

  

Net Assets — 100.0%

 

   $  260,263,426  
   

 

 

  

 

(a) 

Non-income producing security.

(b) 

Affiliate of the Fund.

(c) 

Annualized 7-day yield as of period end.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   35

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer    Value at
04/30/21		      Purchases
at Cost		      Proceeds
from Sales		      Net Realized
Gain (Loss)		     

Change in
Unrealized

Appreciation
(Depreciation)

      Value at
04/30/22 		     Shares
Held at
04/30/22		      Income     

Capital

Gain
Distributions
from
Underlying
Funds

  

BlackRock Cash Funds: Treasury, SL Agency Shares

    $ 150,000      $ 340,000 (a)     $ —      $ —      $ —      $ 490,000        490,000      $ 228      $ —  

BlackRock Inc.

      290,852        1,074,606        (149,349 )       30,300        (324,381 )       922,028        1,476        11,472        —  
           

 

 

     

 

 

     

 

 

        

 

 

     

 

 

  
            $ 30,300      $ (324,381 )     $ 1,412,028         $ 11,700      $ —  
           

 

 

     

 

 

     

 

 

        

 

 

     

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		      Expiration
Date 		     Notional
Amount
(000) 		     Value/
Unrealized
Appreciation
(Depreciation)		  

Long Contracts

            

Micro E-mini S&P 500 Index

      38        06/17/22      $ 784      $ (59,448 ) 
           

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts

Liabilities — Derivative Financial Instruments

     

Futures contracts

     

Unrealized depreciation on futures contracts(a)

     $ 59,448
    

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts

Net Realized Gain (Loss) from:

     

Futures contracts

      $ (18,197 )
    

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

     

Futures contracts

      $ (65,848 )
    

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

    $ 378,424  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

 

 

36  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® U.S. Dividend and Buyback ETF

 

Fair Value Hierarchy as of Period End (continued)

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

      Level 1        Level 2        Level 3        Total  

Investments

                  

Assets

                  

Common Stocks

    $ 259,448,599        $                     —        $                     —        $ 259,448,599  

Money Market Funds

      490,000          —          —          490,000  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 259,938,599        $ —        $ —        $ 259,938,599  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (59,448 )       $ —        $ —        $ (59,448 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   37

Statements of Assets and Liabilities

April 30, 2022

 

   

iShares

Core Dividend
Growth ETF

      iShares
Core High
Dividend ETF		     iShares
International Select
Dividend ETF		    

iShares

Select Dividend ETF

  

 

  

ASSETS

         

Investments in securities, at value:

         

Unaffiliated(a)

   $ 22,523,001,076      $ 9,605,388,432     $ 4,555,941,756     $ 21,611,164,511  

Affiliated(b)

     194,953,563        14,010,000       2,240,000       24,690,000  

Cash

     5,475        —       4,602       —  

Foreign currency, at value(c)

     —        —       9,033,695       —  

Cash pledged:

         

Futures contracts

     3,710,400        1,060,600       —       2,397,200  

Foreign currency collateral pledged:

         

Futures contracts(d)

     —        —       3,727,964       —  

Receivables:

         

Investments sold

     —        —       5,423       —  

Securities lending income — Affiliated

     —        —       10,000       —  

Capital shares sold

     132,470        211,349       20,966       500,934  

Dividends

     25,095,602        26,200,742       38,015,624       32,348,404  

Tax reclaims

     —        —       10,107,612       —  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total assets

     22,746,898,586        9,646,871,123       4,619,107,642       21,671,101,049  
 

 

 

     

 

 

    

 

 

    

 

 

  

LIABILITIES

         

Bank overdraft

     —        184,299       —       589,252  

Payables:

         

Investments purchased

     —        14,383,847       500,436       202,003  

Variation margin on futures contracts

     2,558,361        625,005       64,854       1,451,179  

Capital shares redeemed

     —        149,695       —       —  

Investment advisory fees

     1,542,217        626,606       1,906,040       6,922,345  

Professional fees

     —        —       1,095,967       —  

IRS compliance fee for foreign withholding tax claims

     —        —       5,852,956       —  
 

 

 

     

 

 

    

 

 

    

 

 

  

Total liabilities

     4,100,578        15,969,452       9,420,253       9,164,779  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 22,742,798,008      $ 9,630,901,671     $ 4,609,687,389     $ 21,661,936,270  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS CONSIST OF:

         

Paid-in capital

   $ 20,113,196,143      $ 9,919,068,351     $ 5,591,293,916     $ 19,502,577,306  

Accumulated earnings (loss)

     2,629,601,865        (288,166,680 )      (981,606,527 )      2,159,358,964  
 

 

 

     

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 22,742,798,008      $ 9,630,901,671     $ 4,609,687,389     $ 21,661,936,270  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares outstanding

     449,650,000        92,900,000       152,800,000       175,400,000  
 

 

 

     

 

 

    

 

 

    

 

 

  

Net asset value

   $ 50.58      $ 103.67     $ 30.17     $ 123.50  
 

 

 

     

 

 

    

 

 

    

 

 

  

Shares authorized

     Unlimited        Unlimited       Unlimited       Unlimited  
 

 

 

     

 

 

    

 

 

    

 

 

  

Par value

     None        None       None       None  
 

 

 

     

 

 

    

 

 

    

 

 

  

(a) Investments, at cost — Unaffiliated

   $ 19,370,656,639      $ 8,947,221,988     $ 4,514,291,664     $ 18,888,802,657  

(b) Investments, at cost — Affiliated

   $ 193,675,069      $ 14,010,000     $ 2,240,000     $ 24,690,000  

(c)  Foreign currency, at cost

   $ —      $ —     $ 9,009,193     $ —  

(d) Foreign currency collateral pledged, at cost

   $ —      $ —     $ 3,989,181     $ —  

See notes to financial statements.

 

 

38  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Assets and Liabilities  (continued)

April 30, 2022

 

     iShares
U.S. Dividend
and Buyback
ETF		  

 

  

ASSETS

   

Investments in securities, at value:

   

Unaffiliated(a)

    $ 258,526,571  

Affiliated(b)

      1,412,028  

Cash

      7,867  

Cash pledged:

   

Futures contracts

      39,000  

Receivables:

   

Investments sold

      124  

Securities lending income — Affiliated

      1  

Dividends

      362,143  
  

 

 

  

Total assets

      260,347,734  
  

 

 

  

LIABILITIES

   

Payables:

   

Variation margin on futures contracts

      28,224  

Investment advisory fees

      56,084  
  

 

 

  

Total liabilities

      84,308  
  

 

 

  

NET ASSETS

    $ 260,263,426  
  

 

 

  

NET ASSETS CONSIST OF:

   

Paid-in capital

    $ 269,928,810  

Accumulated loss

      (9,665,384 ) 
  

 

 

  

NET ASSETS

    $ 260,263,426  
  

 

 

  

Shares outstanding

      6,650,000  
  

 

 

  

Net asset value

    $ 39.14  
  

 

 

  

Shares authorized

      Unlimited  
  

 

 

  

Par value

      None  
  

 

 

  

(a) Investments, at cost — Unaffiliated

    $ 264,382,411  

(b) Investments, at cost — Affiliated

    $ 1,660,984  

See notes to financial statements.

 

 

F I N A N C I A L    S T A T E M E N T S

   39

Statements of Operations

Year Ended April 30, 2022

 

   

iShares

Core

Dividend

Growth ETF

    

iShares

Core High

Dividend ETF

    

iShares

International

Select
Dividend ETF

    

iShares

Select Dividend

ETF

  

 

  

INVESTMENT INCOME

        

Dividends — Unaffiliated

   $ 459,735,823     $ 288,397,069     $ 301,884,100     $ 701,073,166  

Dividends — Affiliated

     2,975,670       5,965       1,420       16,511  

Securities lending income — Affiliated — net

     —       —       1,196,087       —  

Other income — Unaffiliated

     —       —       2,614,687       —  

Foreign taxes withheld

     (23,304 )      —       (21,141,482 )      —  

Foreign withholding tax claims

     —       —       20,552,435       —  

IRS Compliance fee for foreign withholding tax claims

     —       —       (5,832,056 )      —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

     462,688,189       288,403,034       299,275,191       701,089,677  
 

 

 

    

 

 

    

 

 

    

 

 

  

EXPENSES

        

Investment advisory fees

     16,969,924       6,140,494       21,854,275       73,109,642  

Commitment fees

     —       —       19,287       —  

Professional fees

     217       217       2,361,026       217  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses

     16,970,141       6,140,711       24,234,588       73,109,859  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     445,718,048       282,262,323       275,040,603       627,979,818  
 

 

 

    

 

 

    

 

 

    

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

        

Net realized gain (loss) from:

        

Investments — Unaffiliated

     10,719,603       108,852,671       132,903,080       (102,383,824 ) 

Investments — Affiliated

     (657,068 )      —       (8,860 )      —  

In-kind redemptions — Unaffiliated

     953,473,722       366,242,499       16,147,640       1,263,955,175  

In-kind redemptions — Affiliated

     4,440,671       —       —       —  

Futures contracts

     3,745,588       3,995,240       3,959,229       8,142,327  

Foreign currency transactions

     —       —       (2,788,240 )      —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized gain

     971,722,516       479,090,410       150,212,849       1,169,713,678  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation) on:

        

Investments — Unaffiliated

     (882,020,484 )      55,327,994       (525,382,194 )      (417,402,610 ) 

Investments — Affiliated

     (47,198,362 )      —       —       —  

Futures contracts

     (3,858,648 )      (203,797 )      (1,635,177 )      (3,357,204 ) 

Foreign currency translations

     —       —       (3,570,466 )      —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation)

     (933,077,494 )      55,124,197       (530,587,837 )      (420,759,814 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized and unrealized gain (loss)

     38,645,022       534,214,607       (380,374,988 )      748,953,864  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ 484,363,070     $ 816,476,930     $ (105,334,385 )    $ 1,376,933,682  
 

 

 

    

 

 

    

 

 

    

 

 

  

See notes to financial statements.

 

 

40  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Operations  (continued)

Year Ended April 30, 2022

 

    iShares
U.S. Dividend
and Buyback
ETF		  

 

  

INVESTMENT INCOME

  

Dividends — Unaffiliated

   $ 3,307,525  

Dividends — Affiliated

     11,700  

Foreign taxes withheld

     (587 ) 
 

 

 

  

Total investment income

     3,318,638  
 

 

 

  

EXPENSES

  

Investment advisory fees

     391,451  

Professional fees

     217  
 

 

 

  

Total expenses

     391,668  
 

 

 

  

Net investment income

     2,926,970  
 

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

  

Net realized gain (loss) from:

  

Investments — Unaffiliated

     (2,493,915 ) 

Investments — Affiliated

     (3,550 ) 

In-kind redemptions — Unaffiliated

     11,690,689  

In-kind redemptions — Affiliated

     33,850  

Futures contracts

     (18,197 ) 
 

 

 

  

Net realized gain

     9,208,877  
 

 

 

  

Net change in unrealized appreciation (depreciation) on:

  

Investments — Unaffiliated

     (18,901,027 ) 

Investments — Affiliated

     (324,381 ) 

Futures contracts

     (65,848 ) 
 

 

 

  

Net change in unrealized appreciation (depreciation)

     (19,291,256 ) 
 

 

 

  

Net realized and unrealized loss

     (10,082,379 ) 
 

 

 

  

NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS

   $ (7,155,409 ) 
 

 

 

  

See notes to financial statements.

 

 

F I N A N C I A L    S T A T E M E N T S

   41

Statements of Changes in Net Assets

 

   

iShares

Core Dividend Growth ETF

          

iShares

Core High Dividend ETF

  
 

 

 

      

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		           Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

          

OPERATIONS

          

Net investment income

   $ 445,718,048     $ 334,481,493       $ 282,262,323     $ 239,926,357  

Net realized gain (loss)

     971,722,516       158,309,065         479,090,410       (119,602,163 ) 

Net change in unrealized appreciation (depreciation)

     (933,077,494 )      4,085,389,867         55,124,197       1,024,956,726  
 

 

 

    

 

 

      

 

 

    

 

 

  

Net increase in net assets resulting from operations

     484,363,070       4,578,180,425         816,476,930       1,145,280,920  
 

 

 

    

 

 

      

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

          

Decrease in net assets resulting from distributions to shareholders

     (433,784,061 )      (326,148,283 )        (262,993,551 )      (238,406,761 ) 
 

 

 

    

 

 

      

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

          

Net increase (decrease) in net assets derived from capital share transactions

     4,289,062,601       4,795,396,795         2,238,090,827       (104,344,490 ) 
 

 

 

    

 

 

      

 

 

    

 

 

  

NET ASSETS

          

Total increase in net assets

     4,339,641,610       9,047,428,937         2,791,574,206       802,529,669  

Beginning of year

     18,403,156,398       9,355,727,461         6,839,327,465       6,036,797,796  
 

 

 

    

 

 

      

 

 

    

 

 

  

End of year

   $ 22,742,798,008     $ 18,403,156,398       $ 9,630,901,671     $ 6,839,327,465  
 

 

 

    

 

 

      

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

42  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets  (continued)

 

   

iShares

International Select Dividend ETF

          

iShares

Select Dividend ETF

  
 

 

 

      

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		           Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

          

OPERATIONS

          

Net investment income

   $ 275,040,603     $ 176,517,860       $ 627,979,818     $ 539,461,221  

Net realized gain (loss)

     150,212,849       (599,215,367 )        1,169,713,678       1,242,537,997  

Net change in unrealized appreciation (depreciation)

     (530,587,837 )      1,651,282,925         (420,759,814 )      4,468,805,896  
 

 

 

    

 

 

      

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

     (105,334,385 )      1,228,585,418         1,376,933,682       6,250,805,114  
 

 

 

    

 

 

      

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

          

Decrease in net assets resulting from distributions to shareholders

     (239,788,045 )      (166,047,075 )        (605,570,050 )      (544,125,763 ) 
 

 

 

    

 

 

      

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

          

Net increase (decrease) in net assets derived from capital share transactions

     624,868,028       (153,719,970 )        2,395,005,483       (468,135,426 ) 
 

 

 

    

 

 

      

 

 

    

 

 

  

NET ASSETS

          

Total increase in net assets

     279,745,598       908,818,373         3,166,369,115       5,238,543,925  

Beginning of year

     4,329,941,791       3,421,123,418         18,495,567,155       13,257,023,230  
 

 

 

    

 

 

      

 

 

    

 

 

  

End of year

   $ 4,609,687,389     $ 4,329,941,791       $ 21,661,936,270     $ 18,495,567,155  
 

 

 

    

 

 

      

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L    S T A T E M E N T S

   43

Statements of Changes in Net Assets  (continued)

 

   

iShares

U.S. Dividend and Buyback ETF

  
 

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

    

OPERATIONS

    

Net investment income

   $ 2,926,970     $ 869,972  

Net realized gain

     9,208,877       2,851,821  

Net change in unrealized appreciation (depreciation)

     (19,291,256 )      12,558,681  
 

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

     (7,155,409 )      16,280,474  
 

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

    

Decrease in net assets resulting from distributions to shareholders

     (2,605,463 )      (806,983 ) 
 

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

    

Net increase in net assets derived from capital share transactions

     202,844,254       27,061,298  
 

 

 

    

 

 

  

NET ASSETS

    

Total increase in net assets

     193,083,382       42,534,789  

Beginning of year

     67,180,044       24,645,255  
 

 

 

    

 

 

  

End of year

   $ 260,263,426     $ 67,180,044  
 

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

44  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights  

(For a share outstanding throughout each period)

 

    iShares Core Dividend Growth ETF  
 

 

 

  
    Year Ended
04/30/22		      Year Ended
04/30/21		      Year Ended
04/30/20		      Year Ended
04/30/19		      Year Ended
04/30/18		  

 

  

Net asset value, beginning of year

   $ 49.87      $ 36.39      $ 38.13      $ 33.86      $ 30.75  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income(a)

     1.10        1.08        0.99        0.91        0.78  

Net realized and unrealized gain (loss)(b)

     0.68        13.44        (1.77 )       4.20        3.07  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net increase (decrease) from investment operations

     1.78        14.52        (0.78 )       5.11        3.85  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Distributions(c)

              

From net investment income

     (1.07 )       (1.04 )       (0.96 )       (0.84 )       (0.74 ) 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total distributions

     (1.07 )       (1.04 )       (0.96 )       (0.84 )       (0.74 ) 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net asset value, end of year

   $ 50.58      $ 49.87      $ 36.39      $ 38.13      $ 33.86  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total Return(d)

              

Based on net asset value

     3.51 %       40.52 %       (2.05 )%       15.30 %       12.59 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratios to Average Net Assets(e)

              

Total expenses

     0.08 %       0.08 %       0.08 %       0.08 %       0.08 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income

     2.10 %       2.53 %       2.55 %       2.55 %       2.32 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Supplemental Data

              

Net assets, end of year (000)

   $ 22,742,798      $ 18,403,156      $ 9,355,727      $ 7,084,809      $ 3,343,410  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Portfolio turnover rate(f)

     22 %       31 %       24 %       26 %       24 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L    H I G H L I G H T S

   45

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Core High Dividend ETF  
 

 

 

  
   

Year Ended

04/30/22

    

Year Ended

04/30/21

    

Year Ended

04/30/20

    

Year Ended

04/30/19

    

Year Ended

04/30/18

  

 

  

Net asset value, beginning of year

   $ 95.59     $ 81.85     $ 95.42     $ 84.44     $ 83.27  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

     3.68       3.56       3.24       3.09       2.99  

Net realized and unrealized gain (loss)(b)

     7.80       13.72       (13.51 )      11.01       1.20  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     11.48       17.28       (10.27 )      14.10       4.19  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(c)

          

From net investment income

     (3.40 )      (3.54 )      (3.30 )      (3.12 )      (3.02 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (3.40 )      (3.54 )      (3.30 )      (3.12 )      (3.02 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 103.67     $ 95.59     $ 81.85     $ 95.42     $ 84.44  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(d)

          

Based on net asset value

     12.21 %      21.70 %      (10.86 )%      17.05 %      5.03 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(e)

          

Total expenses

     0.08 %      0.08 %      0.08 %      0.08 %      0.08 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     3.68 %      4.13 %      3.53 %      3.48 %      3.47 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 9,630,902     $ 6,839,327     $ 6,036,798     $ 7,175,741     $ 6,007,744  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(f)

     74 %      75 %      62 %      57 %      46 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

46  

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Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares International Select Dividend ETF  
 

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		     Year Ended
04/30/20		     Year Ended
04/30/19		     Year Ended
04/30/18		  

 

  

Net asset value, beginning of year

   $ 32.41     $ 24.14     $ 31.59     $ 34.11     $ 31.78  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

     1.95 (b)      1.35       1.83       1.71       1.43  

Net realized and unrealized gain (loss)(c)

     (2.48 )      8.19       (7.10 )      (2.48 )      2.41  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     (0.53 )      9.54       (5.27 )      (0.77 )      3.84  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

          

From net investment income

     (1.71 )      (1.27 )      (2.18 )      (1.75 )      (1.51 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (1.71 )      (1.27 )      (2.18 )      (1.75 )      (1.51 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 30.17     $ 32.41     $ 24.14     $ 31.59     $ 34.11  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

          

Based on net asset value

     (1.76 )%(b)      40.57 %      (17.15 )%      (2.13 )%      12.35 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

          

Total expenses

     0.54 %      0.49 %      0.49 %      0.49 %      0.49 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses after fees waived

     0.54 %      0.49 %      0.49 %      0.49 %      0.49 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses excluding professional fees for foreign withholding tax claims

     0.49 %      N/A       N/A       0.49 %      N/A  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     6.12 %(b)      4.87 %      6.06 %      5.39 %      4.27 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 4,609,687     $ 4,329,942     $ 3,421,123     $ 4,377,418     $ 4,922,792  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

     36 %      86 %(h)      12 %      35 %      24 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(b) 

Reflects the one-time, positive effect of foreign withholding tax claims, net of the associated professional fees, which resulted in the following increases for the year ended April 30, 2022:

  •  

Net investment income per share by $0.13.

  •  

Total return by 0.39%.

  •  

Ratio of net investment income to average net assets by 0.41%.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

(h) 

Portfolio turnover rate excludes the portfolio activity of the underlying fund in which the Fund is invested. See the underlying fund’s financial highlights for its respective portfolio turnover rates.

See notes to financial statements.

 

 

F I N A N C I A L    H I G H L I G H T S

   47

Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares Select Dividend ETF  
    Year Ended
04/30/22		      Year Ended
04/30/21		      Year Ended
04/30/20		      Year Ended
04/30/19		      Year Ended
04/30/18		  

 

  

Net asset value, beginning of year

   $ 118.37      $ 80.66      $ 101.13      $ 96.31      $ 91.51  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income(a)

     3.91        3.51        3.51        3.31        3.08  

Net realized and unrealized gain (loss)(b)

     4.97        37.74        (20.30 )       4.80        4.76  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net increase (decrease) from investment operations

     8.88        41.25        (16.79 )       8.11        7.84  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Distributions(c)

              

From net investment income

     (3.75 )       (3.54 )       (3.68 )       (3.29 )       (3.04 ) 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total distributions

     (3.75 )       (3.54 )       (3.68 )       (3.29 )       (3.04 ) 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net asset value, end of year

   $ 123.50      $ 118.37      $ 80.66      $ 101.13      $ 96.31  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total Return(d)

              

Based on net asset value

     7.63 %       52.54 %       (16.96 )%       8.63 %       8.65 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratios to Average Net Assets(e)

              

Total expenses

     0.38 %       0.38 %       0.39 %       0.39 %       0.39 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income

     3.23 %       3.78 %       3.60 %       3.40 %       3.24 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Supplemental Data

              

Net assets, end of year (000)

   $ 21,661,936      $ 18,495,567      $ 13,257,023      $ 17,585,695      $ 16,714,032  
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Portfolio turnover rate(f)

     15 %       55 %       6 %       21 %       28 % 
 

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

48  

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Financial Highlights (continued)

(For a share outstanding throughout each period)

 

    iShares U.S. Dividend and Buyback ETF  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		     
 Year Ended
04/30/20		  
 		     
 Year Ended
04/30/19		  
 		     

 Period From
11/07/17

to 04/30/18

  
(a)  

 

 

  

Net asset value, beginning of period

   $ 38.39     $ 25.94      $ 27.96      $ 25.30      $ 24.99  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income(b)

     0.77       0.70        0.64        0.61        0.26  

Net realized and unrealized gain (loss)(c)

     0.68       12.43        (2.02 )       2.67        0.28  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Net increase (decrease) from investment operations

     1.45       13.13        (1.38 )       3.28        0.54  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Distributions(d)

             

From net investment income

     (0.70 )      (0.68 )       (0.64 )       (0.58 )       (0.23 ) 

From net realized gain

     —       —        —        (0.04 )       —  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Total distributions

     (0.70 )      (0.68 )       (0.64 )       (0.62 )       (0.23 ) 
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Net asset value, end of period

   $ 39.14     $ 38.39      $ 25.94      $ 27.96      $ 25.30  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Total Return(e)

             

Based on net asset value

     3.71 %(f)      51.33 %       (4.95 )%       13.21 %       2.16 %(f) 
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Ratios to Average Net Assets(g)

             

Total expenses

     0.25 %      0.25 %       0.25 %       0.25 %       0.25 %(h) 
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income

     1.87 %      2.20 %       2.31 %       2.34 %       2.07 %(h) 
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Supplemental Data

             

Net assets, end of period (000)

   $ 260,263     $ 67,180      $ 24,645      $ 8,389      $ 7,591  
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

Portfolio turnover rate(i)

     25 %      30 %       33 %       31 %       14 %(f) 
 

 

 

    

 

 

     

 

 

     

 

 

     

 

 

  

 

(a) 

Commencement of operations.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Not annualized.

(g) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(h) 

Annualized.

(i) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L    H I G H L I G H T S

   49

Notes to Financial Statements

 

1.

ORGANIZATION

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.

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

 

iShares ETF   Diversification
Classification		  

Core Dividend Growth

     Diversified  

Core High Dividend

     Non-diversified  

International Select Dividend

     Diversified  

Select Dividend

     Diversified  

U.S. Dividend and Buyback

     Diversified  

 

2.

SIGNIFICANT ACCOUNTING POLICIES

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Funds are informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

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

Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of investments for financial reporting purposes. Accordingly, the effects of changes in exchange rates on investments are not segregated in the Statements of Operations from the effects of changes in market prices of those investments, but are included as a component of net realized and unrealized gain (loss) from investments. Each 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: Certain 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 each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its 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 April 30, 2022, if any, are disclosed in the Statements of Assets and Liabilities.

The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.

Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

In-kind Redemptions: For financial reporting purposes, 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 net asset value (“NAV”) per share.

 

 

50  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Notes to Financial Statements  (continued)

 

Distributions: 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. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.

 

3.

INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. 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. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

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

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s 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.

  •  

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

  •  

Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded.

Generally, trading in foreign instruments is substantially completed each day at various times prior to the close of trading on the New York Stock Exchange (“NYSE”). Each business day, the Funds use current market factors supplied by independent pricing services to value certain foreign instruments (“Systematic Fair Value Price”). The Systematic Fair Value Price is designed to value such foreign securities at fair value as of the close of trading on the NYSE, which follows the close of the local markets.

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

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.

Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access;

  •  

Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and

  •  

Level 3 – Unobservable inputs 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 financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   51

Notes to Financial Statements  (continued)

 

4.

SECURITIES AND OTHER INVESTMENTS

Securities Lending: Each Fund may lend its 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 market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, 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.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule 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, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left 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, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.

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, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent 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 market 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. Such losses are borne entirely by each Fund.

 

5.

DERIVATIVE FINANCIAL INSTRUMENTS

Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).

Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.

Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.

 

6.

INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (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 trustees).

 

 

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Notes to Financial Statements  (continued)

 

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  

Core Dividend Growth

     0.08 % 

Core High Dividend

     0.08  

U.S. Dividend and Buyback

     0.25  

For its investment advisory services to the iShares International Select Dividend 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:

 

Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $12 billion

     0.5000 % 

Over $12 billion, up to and including $18 billion

     0.4750  

Over $18 billion, up to and including $24 billion

     0.4513  

Over $24 billion, up to and including $30 billion

     0.4287  

Over $30 billion

     0.4073  

For its investment advisory services to the iShares Select Dividend 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:

 

Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $46 billion

     0.4000 % 

Over $46 billion, up to and including $81 billion

     0.3800  

Over $81 billion, up to and including $111 billion

     0.3610  

Over $111 billion, up to and including $141 billion

     0.3430  

Over $141 billion, up to and including $171

     0.3259  

Over $171 billion

     0.3096  

Prior to July 14, 2021, for its investment advisory services to the iShares Select Dividend ETF, BFA was 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:

 

Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $46 billion

     0.4000 % 

Over $46 billion, up to and including $81 billion

     0.3800  

Over $81 billion, up to and including $111 billion

     0.3610  

Over $111 billion, up to and including $141 billion

     0.3430  

Over $141 billion

     0.3259  

Expense Waivers: BFA may from time to time voluntarily waive and/or reimburse fees or expenses in order to limit total annual fund operating expenses (excluding acquired fund fees and expenses, if any). BFA has elected to implement a voluntary fee waiver to the iShares International Select Dividend ETF in an amount equal to the acquired fund fees and expenses, if any, attributable to the Fund’s investments in other iShares funds.

For the year ended April 30, 2022, there were no fees waived by BFA pursuant to this arrangement.

Distributor: BlackRock Investments, LLC (“BRIL”), 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.

ETF Servicing Fees: iShares Core Dividend Growth ETF, iShares Core High Dividend ETF, iShares Select Dividend ETF and iShares U.S. Dividend and Buyback ETF have entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. iShares Core Dividend Growth ETF, iShares Core High Dividend ETF, iShares Select Dividend ETF and iShares U.S. Dividend and Buyback ETF do not pay BRIL for ETF Services.

Prior to April 25, 2022, ETF Services were performed by State Street Bank and Trust Company.

Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. 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 SL Agency Shares of such money market fund will not be subject to a sales load, distribution

 

 

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   53

Notes to Financial Statements  (continued)

 

fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each of iShares Core Dividend Growth ETF, iShares Core High Dividend ETF, iShares Select Dividend ETF and iShares U.S. Dividend and Buyback ETF (the “Group 1 Funds”), retains 81% of securities lending income (which excludes collateral investment fees) and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Pursuant to the current securities lending agreement, the iShares International Select Dividend ETF (the “Group 2 Fund”), retains 82% of securities lending income (which excludes collateral investment fees) 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 a specified threshold: (1) each Group 1 Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees, and (2) the Group 2 Fund will retain for the remainder of that calendar year 85% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Prior to January 1, 2022, each Group 1 Fund retained 77% of securities lending income (which excludes collateral investment fees) and the amount retained was not less than 70% of the total of securities lending income plus the collateral investment fees. The Group 2 Fund retained 82% of securities lending income (which excludes collateral investment fees) and the amount retained was not 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 the iShares ETF Complex in a calendar year exceeded a specified threshold: (1) each Group 1 Fund, pursuant to the securities lending agreement, retained for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees, and (2) the Group 2 Fund, pursuant to the securities lending agreement, retained for the remainder of that calendar year 85% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended April 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:

 

   
iShares ETF   Fees Paid
to BTC		  

International Select Dividend

   $ 266,457  

Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.

Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended April 30, 2022, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:

 

       
iShares ETF   Purchases      Sales     

Net Realized

Gain (Loss)

  

Core Dividend Growth

   $ 914,828,885      $ 655,533,046      $ (5,603,757 ) 

Core High Dividend

       1,106,200,636          1,003,041,704          43,263,899  

International Select Dividend

     1,234,204        6,413,704        (307,621 ) 

Select Dividend

     229,675,162        549,864,962        (24,968,436 ) 

U.S. Dividend and Buyback

     16,310,088        15,840,943        (1,402,681 ) 

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 shown as dividends – affiliated in the Statements of Operations.

A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.

 

 

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Notes to Financial Statements  (continued)

 

7.

PURCHASES AND SALES

For the year ended April 30, 2022, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:

 

     
iShares ETF   Purchases      Sales  

Core Dividend Growth

   $   4,634,865,290      $   4,644,245,886  

Core High Dividend

     5,693,702,306        5,668,434,660  

International Select Dividend

     1,789,476,117        1,591,013,658  

Select Dividend

     3,041,755,654        2,987,029,043  

U.S. Dividend and Buyback

     38,797,547        38,669,506  

For the year ended April 30, 2022, in-kind transactions were as follows:

 

     
iShares ETF   In-kind
Purchases		     

In-kind

Sales

  

Core Dividend Growth

   $   6,394,812,601      $   2,121,113,580  

Core High Dividend

     4,086,221,998        1,857,763,798  

International Select Dividend

     508,578,975        72,577,621  

Select Dividend

     5,982,740,827        3,575,056,757  

U.S. Dividend and Buyback

     234,465,039        31,989,167  

 

8.

INCOME TAX INFORMATION

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Management has analyzed tax laws and regulations and their application to the Funds as of April 30, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of April 30, 2022, permanent differences attributable to realized gains (losses) from in-kind redemptions were reclassified to the following accounts:

 

     
iShares ETF   Paid-in Capital      Accumulated
Earnings (Loss)		  

Core Dividend Growth

   $ 952,118,610      $ (952,118,610 ) 

Core High Dividend

     353,950,208        (353,950,208 ) 

International Select Dividend

     14,594,394        (14,594,394 ) 

Select Dividend

     1,236,209,798        (1,236,209,798 ) 

U.S. Dividend and Buyback

     11,617,080        (11,617,080 ) 

The tax character of distributions paid was as follows:

 

 

  

iShares ETF

    
 Year Ended
04/30/22		  
 		     
 Year Ended
04/30/21		  
 

 

  

Core Dividend Growth

     

Ordinary income

   $ 433,784,061      $ 326,148,283  
 

 

 

     

 

 

  

Core High Dividend

     

Ordinary income

   $   262,993,551      $   238,406,761  
 

 

 

     

 

 

  

International Select Dividend

     

Ordinary income

   $ 239,788,045      $ 166,047,075  
 

 

 

     

 

 

  

Select Dividend

     

Ordinary income

   $ 605,570,050      $ 544,125,763  
 

 

 

     

 

 

  

U.S. Dividend and Buyback

     

Ordinary income

   $ 2,605,463      $ 806,983  
 

 

 

     

 

 

  

 

 

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Notes to Financial Statements  (continued)

 

As of April 30, 2022, the tax components of accumulated net earnings (losses) were as follows:

 

iShares ETF

 

    

 

 Undistributed
Ordinary Income

 

  
 

 

   

 

 

 

 

Non-expiring
Capital Loss
Carryforwards

 

 

 
 
(a) 

 

     

 

 Net Unrealized
Gains (Losses)

 

  
(b) 

 

     

 

 Total

 

  

 

Core Dividend Growth

   $ 36,552,937      $ (500,795,997 )     $ 3,093,844,925      $ 2,629,601,865  

Core High Dividend

     27,676,929        (940,170,854 )       624,327,245        (288,166,680 ) 

International Select Dividend

     45,894,633        (1,024,720,546 )       (2,780,614 )       (981,606,527 ) 

Select Dividend

     22,111,695        (448,427,573 )       2,585,674,842        2,159,358,964  

U.S. Dividend and Buyback

     391,586        (3,581,767 )       (6,475,203 )       (9,665,384 ) 

 

  (a) 

Amounts available to offset future realized capital gains.

 
  (b) 

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains (losses) on certain futures contracts, the realization for tax purposes of unrealized gains on investments in passive foreign investment companies and the timing and recognition of partnership income.

 

For the year ended April 30, 2022, the Funds listed below utilized the following amounts of their respective capital loss carryforwards:

 

   
iShares ETF   Utilized  

Core Dividend Growth

   $ 30,248,411  

Core High Dividend

     122,035,974  

International Select Dividend

     147,813,022  

A fund may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” Such fund may elect to mark-to-market annually the shares of each passive foreign investment company and would be required to distribute to shareholders any such marked-to-market gains.

As of April 30, 2022, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) 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 Dividend Growth

   $   19,624,109,714      $   3,613,230,415      $ (519,385,490 )     $   3,093,844,925  

Core High Dividend

     8,995,071,187        1,037,140,122        (412,812,877 )       624,327,245  

International Select Dividend

     4,557,982,565        378,508,972        (378,516,129 )       (7,157 ) 

Select Dividend

     19,050,179,669        3,365,753,045        (780,078,203 )       2,585,674,842  

U.S. Dividend and Buyback

     266,413,802        11,948,183        (18,423,386 )       (6,475,203 ) 

 

9.

LINE OF CREDIT

The iShares International Select Dividend ETF, along with certain other iShares funds (“Participating Funds”), is a party to a $300 million credit agreement (“Credit Agreement”) with State Street Bank and Trust Company, which expires on October 15, 2021. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings in certain target markets. The Credit Agreement sets specific sub limits on aggregate borrowings based on two tiers of Participating Funds: $300 million with respect to the funds within Tier 1, including the Fund, and $200 million with respect to Tier 2. The Funds may borrow up to the aggregate commitment amount subject to asset coverage and other limitations as specified in the Credit Agreement. 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 rate (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 generally allocated to each Participating Fund based on the lesser of a Participating Fund’s relative exposure to certain target markets or a Participating Fund’s maximum borrowing amount as set forth by the terms of the Credit Agreement. The Credit Agreement was terminated on August 12, 2021.

Effective August 13, 2021, the iShares International Select Dividend ETF, along with certain other iShares funds (“Participating Funds”), is a party to a $800 million credit agreement (“Syndicated Credit Agreement”) with a group of lenders, which expires on August 12, 2022. The line of credit may be used for temporary or emergency purposes, including redemptions, settlement of trades and rebalancing of portfolio holdings in certain target markets. The Funds may borrow up to the aggregate commitment amount subject to asset coverage and other limitations as specified in the Syndicated Credit Agreement. The Syndicated Credit Agreement has the following terms: a commitment fee of 0.15% 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 rate (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 generally allocated to each Participating Fund based on the lesser of a Participating Fund’s relative exposure to certain target markets or a Participating Fund’s maximum borrowing amount as set forth by the terms of the Syndicated Credit Agreement.

During the year ended April 30, 2022, the Fund did not borrow under the Credit Agreement or Syndicated Credit Agreement.

 

 

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Notes to Financial Statements  (continued)

 

10.

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. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. 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.

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, the duration of this pandemic and its effects cannot be determined with certainty.

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.

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

Certain Funds invest a significant portion of their assets in securities of issuers located in Europe or with significant exposure to European issuers or countries. The European financial markets have recently experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of, several European countries as well as acts of war in the region. These events may spread to other countries in Europe and may affect the value and liquidity of certain of the Funds’ investments.

Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. The United Kingdom has withdrawn from the European Union, and one or more other countries may withdraw from the European Union and/or abandon the Euro, the common currency of the European Union. The impact of these actions, especially if they occur in a disorderly fashion, is not clear but could be significant and far reaching. In addition, Russia launched a large-scale invasion of Ukraine

 

 

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Notes to Financial Statements  (continued)

 

on February 24, 2022. The extent and duration of the military action, resulting sanctions and resulting future market disruptions in the region are impossible to predict, but could be significant and have a severe adverse effect on the region, including significant negative impacts on the economy and the markets for certain securities and commodities, such as oil and natural gas, as well as other sectors.

Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a Fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

 

11.

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 were as follows:

 

 

  
   

 

Year Ended

04/30/22

 

           

 

Year Ended

04/30/21

 

  
 

 

 

       

 

 

  
iShares ETF  

 

Shares

    

 

Amount

           

 

Shares

    

 

Amount

  

 

  

Core Dividend Growth

           

Shares sold

     121,400,000     $ 6,428,227,610          140,800,000     $ 5,967,489,614  

Shares redeemed

     (40,750,000 )      (2,139,165,009 )         (28,900,000 )      (1,172,092,819 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     80,650,000     $ 4,289,062,601          111,900,000     $ 4,795,396,795  
 

 

 

    

 

 

       

 

 

    

 

 

  

Core High Dividend

           

Shares sold

     39,450,000     $ 4,102,347,570          9,350,000     $ 857,073,484  

Shares redeemed

     (18,100,000 )      (1,864,256,743 )         (11,550,000 )      (961,417,974 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     21,350,000     $ 2,238,090,827          (2,200,000 )    $ (104,344,490 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

International Select Dividend

           

Shares sold

     21,900,000     $ 708,294,656          9,000,000     $ 272,038,651  

Shares redeemed

     (2,700,000 )      (83,426,628 )         (17,100,000 )      (425,758,621 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     19,200,000     $ 624,868,028          (8,100,000 )    $ (153,719,970 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Select Dividend

           

Shares sold

     48,950,000     $ 6,044,186,342          17,250,000     $ 1,779,672,971  

Shares redeemed

     (29,800,000 )      (3,649,180,859 )         (25,350,000 )      (2,247,808,397 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease)

     19,150,000     $ 2,395,005,483          (8,100,000 )    $ (468,135,426 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

U.S. Dividend and Buyback

           

Shares sold

     5,700,000     $ 235,671,266          1,200,000     $ 38,829,975  

Shares redeemed

     (800,000 )      (32,827,012 )         (400,000 )      (11,768,677 ) 
 

 

 

    

 

 

       

 

 

    

 

 

  

Net increase

     4,900,000     $ 202,844,254          800,000     $ 27,061,298  
 

 

 

    

 

 

       

 

 

    

 

 

  

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator or BRIL, 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 shares sold in the table above.

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 transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.

 

 

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Notes to Financial Statements  (continued)

 

12.

FOREIGN WITHHOLDING TAX CLAIMS

The iShares International Select Dividend ETF has filed claims to recover taxes withheld by Sweden on dividend income based upon 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 determinations made by Swedish tax authorities. Professional and other 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 continues to evaluate developments in Sweden, for potential impacts to the receivables and associated professional fees payable. Swedish tax claims receivable and related liabilities are disclosed in the Statement of Assets and Liabilities. Collection of this receivable, and any subsequent payment of associated liabilities, depends upon determinations made by Swedish tax authorities.

The iShares International Select Dividend ETF is expected to seek 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.

 

13.

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 additional disclosure in the financial statements.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   59

Report of Independent Registered Public Accounting Firm

 

To the Board of Trustees of iShares Trust and

Shareholders of iShares Core Dividend Growth ETF, iShares Core High Dividend ETF,

iShares International Select Dividend ETF, iShares Select Dividend ETF and

iShares U.S. Dividend and Buyback ETF

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares Core Dividend Growth ETF, iShares Core High Dividend ETF, iShares International Select Dividend ETF, iShares Select Dividend ETF and iShares U.S. Dividend and Buyback ETF (five of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2022, the related statements of operations for the year ended April 30, 2022, the statements of changes in net assets for each of the two years in the period ended April 30, 2022, including the related notes, and the financial highlights for each of the periods indicated therein (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2022 and each of the financial highlights for each of the periods indicated therein in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2022 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 23, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.

 

 

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Important Tax Information  (unaudited)

 

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF   Qualified Dividend    
Income    		  

Core Dividend Growth

   $ 459,365,441      

Core High Dividend

     281,569,547      

International Select Dividend

     269,545,730      

Select Dividend

     685,055,149      

U.S. Dividend and Buyback

     3,209,539      

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF   Qualified Business
Income		  

U.S. Dividend and Buyback

   $ 12,928  

The Funds intend to pass through to their shareholders the following amounts, or maximum amounts allowable by law, of foreign source income earned and foreign taxes paid for the fiscal year ended April 30, 2022:

 

   
iShares ETF   Foreign Source
Income Earned		  

International Select Dividend

   $ 301,941,625  

The following percentage, or maximum percentage allowable by law, of ordinary income distributions paid during the fiscal year ended April 30, 2022 qualified for the dividends-received deduction for corporate shareholders:

 

   
iShares ETF   Dividends-Received
Deduction		  

Core Dividend Growth

     100.00 % 

Core High Dividend

     100.00 % 

Select Dividend

     100.00 % 

U.S. Dividend and Buyback

     100.00 % 

 

 

I M P O R T A N T   T A X   I N F O R M A T I O N

   61

Statement Regarding Liquidity Risk Management Program  (unaudited)

 

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares Core Dividend Growth ETF, iShares Core High Dividend ETF, iShares International Select Dividend ETF, iShares Select Dividend ETF and iShares U.S. Dividend and Buyback ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays and the imposition of capital controls in certain non-U.S. countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

 

  a)

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

 

  b)

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

 

  c)

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. While the ETFs generally do not engage in borrowing, certain of the ETFs have the flexibility to draw on a line of credit to meet redemption requests or facilitate settlements.

 

  d)

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs and reviewed any persistent deviations from long-term averages.

 

  e)

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

As part of BlackRock’s continuous review of the effectiveness of the Program, the Committee made the following material changes to the Program: (1) updates to certain model components in the Program’s methodology; and (2) certain iShares Funds entered into a $800 million credit agreement with a group of lenders that replaced a previous liquidity facility. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.

 

 

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Supplemental Information  (unaudited)

 

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are being 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 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.

April 30, 2022

 

     Total Cumulative Distributions
for the Fiscal Year		            % Breakdown of the Total Cumulative
Distributions for the Fiscal Year		  
iShares ETF   Net
Investment
Income		     Net Realized
Capital Gains		     Return of
Capital		     Total Per
Share		            Net
Investment
Income		     Net Realized
Capital Gains		     Return of
Capital		     Total Per
Share		  

Core Dividend Growth

   $   1.071576     $ —     $ —     $   1.071576         100 %      — %      — %      100 % 

Core High Dividend

     3.395664       —       —       3.395664         100       —       —       100  

International Select Dividend

     1.706656       —       —       1.706656         100       —       —       100  

Select Dividend

     3.751214       —       —       3.751214         100       —       —       100  

U.S. Dividend and Buyback(a)

     0.695901       —       0.003304       0.699205               100       —       0 (b)      100  

 

  (a) 

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share.

 
  (b) 

Rounds to less than 1%.

 

Premium/Discount Information

Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.

Regulation under the Alternative Investment Fund Managers Directive

The Alternative Investment Fund Managers Directive and the Alternative Investment Fund Managers Regulations 2013 (as amended) and the “Guidelines on sound remuneration policies under the AIFMD” issued by the European Securities and Markets Authority (together the “Regulations”) impose detailed and prescriptive obligations on fund managers established in the European Union (the “EU”) and the UK. These do not currently apply to managers established outside of the EU or UK, such as BFA (the “Company”). Rather, non-EU and non-UK managers are only required to comply with certain disclosure, reporting and transparency obligations of the Regulations if such managers market a fund to EU investors.

The Company has registered the iShares Select Dividend ETF (the “Fund”) to be marketed to United Kingdom and EU investors in the Netherlands, Finland and Sweden.

Report on Remuneration

The Company is required under the Regulations to make quantitative disclosures of remuneration. These disclosures are made in line with BlackRock’s interpretation of currently available regulatory guidance on quantitative remuneration disclosures. As market or regulatory practice develops BlackRock may consider it appropriate to make changes to the way in which quantitative remuneration disclosures are calculated. Where such changes are made, this may result in disclosures in relation to a fund not being comparable to the disclosures made in the prior year, or in relation to other BlackRock fund disclosures in that same year.

Disclosures are provided in relation to (a) the staff of the Company; (b) staff who are senior management; and (c) staff who have the ability to materially affect the risk profile of the Fund.

All individuals included in the aggregated figures disclosed are rewarded in line with BlackRock’s remuneration policy for their responsibilities across the relevant BlackRock business area. As all individuals have a number of areas of responsibilities, only the portion of remuneration for those individuals’ services attributable to the Fund is included in the aggregate figures disclosed.

BlackRock has a clear and well defined pay-for-performance philosophy, and compensation programmes which support that philosophy.

 

 

S U P P L E M E N T A L   I N F O R M A T I O N

   63

Supplemental Information (unaudited) (continued)

 

BlackRock operates a total compensation model for remuneration which includes a base salary, which is contractual, and a discretionary bonus scheme. Although all employees are eligible to receive a discretionary bonus, there is no contractual obligation to make a discretionary bonus award to any employees. For senior management, a significant percentage of variable remuneration is deferred over time. All employees are subject to a claw-back policy.

Remuneration decisions for employees are made once annually in January following the end of the performance year, based on BlackRock’s full-year financial results and other non-financial goals and objectives. Alongside financial performance, individual total compensation is also based on strategic and operating results and other considerations such as management and leadership capabilities. No set formulas are established and no fixed benchmarks are used in determining annual incentive awards.

Annual incentive awards are paid from a bonus pool which is reviewed throughout the year by BlackRock’s independent compensation committee, taking into account both actual and projected financial information together with information provided by the Enterprise Risk and Regulatory Compliance departments in relation to any activities, incidents or events that warrant consideration in making compensation decisions. Individuals are not involved in setting their own remuneration.

Each of the control functions (Enterprise Risk, Legal & Compliance, and Internal Audit) each have their own organisational structures which are independent of the business units. Functional bonus pools for those control functions are determined with reference to the performance of each individual function and the remuneration of the senior members of control functions is directly overseen by BlackRock’s independent remuneration committee.

Members of staff and senior management of the Company typically provide both AIFMD and non-AIFMD related services in respect of multiple funds, clients and functions of the Company and across the broader BlackRock group. Therefore, the figures disclosed are a sum of each individual’s portion of remuneration attributable to the Fund according to an objective apportionment methodology which acknowledges the multiple-service nature of the Company. Accordingly the figures are not representative of any individual’s actual remuneration or their remuneration structure.

The amount of total & aggregate remuneration awarded by the Company to its staff which has been attributed to the Fund in respect of the Company’s financial year ending December 31, 2021 were as follows:

 

iShares ETF   Total
Remuneration		      Fixed
Remuneration		      Variable
Remuneration		      No. of
Beneficiaries		      Senior Management
Remuneration		      Risk Taker
Remuneration		  

Select Dividend

     $1,766,661        $826,029        $940,632        661        $216,243        $22,348  

 

 

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Trustee and Officer Information

 

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 380 funds as of April 30, 2022. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated John E. Kerrigan as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

 

Interested Trustees
       
  Name (Age)    Position(s)    Principal Occupation(s)
During the Past 5 Years		    Other Directorships Held by Trustee
Robert S. Kapito(a) (65)    Trustee (since 2009).    President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002).    Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011).
Salim Ramji(b) (51)    Trustee (since 2019).    Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014).    Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019).

 

(a) 

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

(b) 

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

 

     Independent Trustees     
       
  Name (Age)    Position(s)    Principal Occupation(s)
During the Past 5 Years		    Other Directorships Held by Trustee
John E. Kerrigan (66)    Trustee (since 2005); Independent Board Chair (since 2022).    Chief Investment Officer, Santa Clara University (since 2002).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2022).
Jane D. Carlin (66)    Trustee (since 2015); Risk Committee Chair (since 2016).    Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).    Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016).
Richard L. Fagnani (67)    Trustee (since 2017); Audit Committee Chair (since 2019).    Partner, KPMG LLP (2002-2016).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

 

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   65

Trustee and Officer Information  (continued)

 

Independent Trustees (continued)
       
  Name (Age)    Position(s)    Principal Occupation(s)
During the Past 5 Years		    Other Directorships Held by Trustee
Cecilia H. Herbert (73)    Trustee (since 2005); Nominating and Governance and Equity Plus Committee Chairs (since 2022).    Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Trustee of Thrivent Church Loan and Income Fund (since 2019).
Drew E. Lawton (63)    Trustee (since 2017); 15(c) Committee Chair (since 2017).    Senior Managing Director of New York Life Insurance Company (2010-2015).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).
John E. Martinez (60)    Trustee (since 2003); Securities Lending Committee Chair (since 2019).    Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016).    Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011).
Madhav V. Rajan (57)    Trustee (since 2011); Fixed Income Plus Committee Chair (since 2019).    Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016).    Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011).

 

Officers
     
  Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

Armando Senra (50)    President (since 2019).    Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006).
Trent Walker (47)    Treasurer and Chief Financial Officer (since 2020).    Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.
Charles Park (54)    Chief Compliance Officer (since 2006).    Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006).
Deepa Damre Smith (46)    Secretary (since 2019).    Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013).
Rachel Aguirre (39)    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2018); Director, BlackRock, Inc. (2009-2018); Head of U.S. iShares Product (since 2022); Head of EII U.S. Product Engineering (since 2021); Co-Head of EII’s Americas Portfolio Engineering (2020-2021); Head of Developed Markets Portfolio Engineering 2021); Head of Developed Markets Portfolio Engineering (2016-2019).
Jennifer Hsui (46)    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2009); Co-Head of Index Equity (since 2022).
James Mauro (51)    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2010); Head of Fixed Income Index Investments in the Americas and Head of San Francisco Core Portfolio Management (since 2020).

 

 

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Trustee and Officer Information  (continued)

 

Effective March 18, 2022, Rachel Aguirre, Jennifer Hsui, and James Mauro have replaced Scott Radell, Alan Mason, and Marybeth Leithead as Executive Vice Presidents.

 

 

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   67

General Information

 

Electronic Delivery

Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at 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 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 and Rule 30e-3 notices 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 Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.

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 iShares.com; and (3) on the SEC website at sec.gov.

A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.

 

 

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Glossary of Terms Used in this Report

 

Portfolio Abbreviations - Equity
NVS   Non-Voting Shares

 

 

G L O S S A R Y   O F   T E R M S   U S E D   I N   T H I S   R E P O R T

   69

 

 

 

 

Want to know more?

iShares.com   |   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 Morningstar, Inc. or S&P Dow Jones Indices LLC, nor do these companies make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the companies listed above

©2022 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-AR-406-0422

 

 

LOGO

   LOGO

LOGO

  APRIL 30, 2022

 

 

   

   

2022 Annual Report

 

 

iShares Trust

·  iShares Morningstar Growth ETF | ILCG | NYSE Arca

·  iShares Morningstar Mid-Cap ETF | IMCB | NYSE Arca

·  iShares Morningstar Mid-Cap Growth ETF | IMCG | NYSE Arca

·  iShares Morningstar Mid-Cap Value ETF | IMCV | NASDAQ

·  iShares Morningstar Small-Cap ETF | ISCB | NYSE Arca

·  iShares Morningstar Small-Cap Growth ETF | ISCG | NYSE Arca

·  iShares Morningstar Small-Cap Value ETF | ISCV | NYSE Arca

·  iShares Morningstar U.S. Equity ETF | ILCB | NYSE Arca

·  iShares Morningstar Value ETF | ILCV | NYSE Arca

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of April 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets which characterized 2021. The U.S. economy shrank in the first quarter of 2022, ending the run of robust growth which followed reopening and the development of the COVID-19 vaccines. Rapid changes in consumer spending led to supply constraints and elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed but mostly down, as persistently high inflation drove investors’ expectations for higher interest rates, particularly weighing on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks were nearly flat. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as increasing inflation drove investors’ expectations for higher interest rates. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is growing faster than expected, raised interest rates in March 2022, the first increase of this business cycle. Furthermore, the Fed wound down its bond-buying programs and raised the prospect of reversing the flow and reducing its balance sheet. Continued high inflation and the Fed’s new tone led many analysts to anticipate that the Fed will continue to raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metal markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption are likely to drive already-high commodity prices even higher. We believe sharp increases in energy prices will exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks amid the ebb and flow of the pandemic, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will err on the side of protecting employment, even at the expense of higher inflation.

In this environment, we favor an overweight to equities, as valuations have become more attractive and inflation-adjusted interest rates remain low. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and healthcare, are particularly attractive in the long term. We favor U.S. equities due to strong earnings momentum, while Japanese equities should benefit from supportive monetary and fiscal policy. We are underweight credit overall, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities for additional yield. We believe that international diversification and a focus on sustainability and quality can help provide portfolio resilience.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of April 30, 2022  
     
     6-Month    12-Month 
   

U.S. large cap equities
(S&P 500® Index)

     (9.65 )%       0.21 % 
   

U.S. small cap equities
(Russell 2000® Index)

     (18.38 )       (16.87 ) 
   

International equities
(MSCI Europe, Australasia, Far East Index)

     (11.80 )      (8.15 ) 
   

Emerging market equities
(MSCI Emerging Markets Index)

     (14.15 )      (18.33 )  
   

3-month Treasury bills
(ICE BofA 3-Month U.S. Treasury Bill Index)

       0.07       0.08  
   

U.S. Treasury securities
(ICE BofA 10-Year U.S. Treasury Index)

     (10.29 )      (8.86 ) 
   

U.S. investment grade bonds
(Bloomberg U.S. Aggregate Bond Index)

     (9.47 )      (8.51 ) 
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

     (7.90 )      (7.88 ) 
   

U.S. high yield bonds
(Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)

     (7.40 )      (5.22 ) 
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

 

2   T H I S   P A G E   I S   N O T   P A R T   O F   Y O U R   F U N D   R E P O R T

Table of Contents

 

 

      Page

The Markets in Review

   2

Market Overview

    4

Fund Summary

    5

About Fund Performance

    23

Shareholder Expenses

    23

Schedules of Investments

    24

Financial Statements

   

Statements of Assets and Liabilities

    115

Statements of Operations

    118

Statements of Changes in Net Assets

    121

Financial Highlights

    126

Notes to Financial Statements

    135

Report of Independent Registered Public Accounting Firm

    148

Important Tax Information (Unaudited)

    149

Statement Regarding Liquidity Risk Management Program

    150

Supplemental Information

    151

Trustee and Officer Information

    152

General Information

    155

Glossary of Terms Used in this Report

    156

 

 

 

Market Overview

 

iShares Trust

Domestic Market Overview

U.S. stocks declined for the 12 months ended April 30, 2022 (“reporting period”), when the Russell 3000® Index, a broad measure of U.S. equity market performance, returned -3.11%. Equities advanced early in the reporting period as high consumer spending drove robust economic growth and authorities eased most remaining coronavirus pandemic-related restrictions. Increased economic activity led to strong corporate earnings as companies reaped the benefits of the recovery. However, significant challenges emerged in the second half of the reporting period which erased earlier gains, including high inflation, rising interest rates, slower economic growth, and the impacts of Russia’s invasion of Ukraine.

The U.S. economy grew briskly over the final three quarters of 2021, powered primarily by consumers with strong household balance sheets. Record-high personal savings rates allowed consumers to spend at an elevated level throughout much of the reporting period, releasing pent-up demand for goods and services. Hiring increased as businesses restored capacity, and unemployment decreased substantially, falling to 3.6% in April 2022 — only marginally higher than the pre-pandemic rate of 3.5% in February 2020. However, growth stalled in the first quarter of 2022, and the economy contracted amid lower inventory investment and an inflation-driven decline in consumer sentiment.

The rapid increase in consumer spending drove a significant rise in inflation. Supply chains for many goods were disrupted by the pandemic and could not quickly adapt to the rapid rebound in demand. In one prominent example of this dynamic, a global shortage of semiconductors created bottlenecks in the production of many goods, including automobiles. Consequently, the price of used cars rose sharply during the reporting period and played a notable role in overall inflation. Oil prices also rose significantly as demand increased and a lack of investment constrained the supply of oil. The strong job market led to higher wages, particularly at the lower end of the market. These factors drove prices higher in many areas of the economy. By the end of the reporting period, the consumer price index, a widely used measure of prices in the U.S., grew at the fastest rate since 1982.

Rising inflation led to a shift in policy from the U.S. Federal Reserve Bank (“Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy in the second half of the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities and discussed plans to begin reducing its balance sheet by selling bonds later in 2022. In March 2022, it raised short-term interest rates and indicated that further increases could be necessary. Interest rates rose significantly in anticipation of further tightening, leading to higher borrowing costs for businesses.

Russia’s invasion of Ukraine in late February 2022 led to substantial disruptions to the global economy and increased uncertainty in financial markets, exacerbating inflation and weighing on U.S. corporate earnings. The invasion was met with widespread condemnation and sanctions imposed by many countries on the Russian state, businesses, and individuals. As Russia is a top producer of both oil and natural gas, global supply concerns led to sharp volatility in U.S. energy markets.

 

 

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Fund Summary  as of April 30, 2022    iShares® Morningstar Growth ETF

 

Investment Objective

The iShares Morningstar Growth ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization U.S. equities that exhibit growth characteristics, as represented by the Morningstar® US Large-Mid Cap Broad Growth IndexSM (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.

Performance

 

    Average Annual Total Returns            Cumulative Total Returns  
     1 Year      5 Years      10 Years          1 Year      5 Years      10 Years  

Fund NAV

     (8.59 )%       16.30 %       14.77 %        (8.59 )%       112.81 %       296.61 % 

Fund Market

     (8.64 )       16.29        14.77         (8.64 )       112.69        296.42  

Index

     (8.56 )       16.71        15.12           (8.56 )       116.57        308.76  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Large Growth IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Large-Mid Cap Broad Growth IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

      Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       


 Ending

  Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$        1,000.00

        $         794.10          $        0.18               $      1,000.00          $      1,024.60          $        0.20          0.04 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   5

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Growth ETF

 

Portfolio Management Commentary

Growth-oriented large- and mid-capitalization U.S. stocks declined moderately for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. The communication services sector detracted the most from the Index’s return. The media and entertainment industry was the leading source of detraction, as shifts in consumer consumption patterns disrupted both advertising and subscription-based revenue streams. As vaccination rates increased and more in-person entertainment options reopened, the coronavirus pandemic-led surge in online activity began to abate, pressuring online advertisers in the interactive media and services industry. Enhanced privacy tools and opt-in data tracking built into mobile operating systems made it more difficult for advertisers to target consumers. High inflation and the war in Ukraine prompted companies to slow their spending on online advertising, which further weighed on industry revenues.

Changing consumer behavior also negatively impacted stocks of content providers in the entertainment industry. Increased password sharing and strong competition pressured revenues of companies that sell subscription-based streaming content. The resumption of in-person activities further dampened growth for home entertainment providers, although higher theme park revenues partially offset this slowdown.

Stocks in the consumer discretionary sector also detracted from the Index’s return despite an overall increase in consumer spending. The internet and direct marketing retail industry declined the most as the strong growth in online retailing that accelerated during the pandemic began to slow. To meet the increase in demand, companies in the industry made significant investments in capacity, including staffing and warehouse facilities. As sales growth slowed, this meant that costs rose faster than revenues, pressuring profit margins. High inflation further weighed on profitability, as costs for transportation and shipping increased sharply. The tight labor market also meant that staffing costs rose substantially.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of    

Total Investments(a)

Information Technology

   42.6%

Consumer Discretionary

   17.8   

Communication Services

   12.5   

Health Care

   9.1   

Industrials

   5.8   

Financials

   5.3   

Real Estate

   3.1   

Materials

   1.8   

Consumer Staples

   1.2   

Other (each representing less than 1%)

   0.8   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of    

Total Investments(a)

Microsoft Corp.

   12.1%

Apple Inc.

   8.6   

Amazon.com Inc.

   6.3   

Tesla Inc.

   4.3   

Alphabet Inc., Class A

   4.0   

Alphabet Inc., Class C

   3.7   

NVIDIA Corp.

   2.7   

Mastercard Inc., Class A

   1.8   

Meta Platforms Inc, Class A

   1.8   

Berkshire Hathaway Inc., Class B

   1.3   
 
  (a) 

Excludes money market funds.

 

 

 

6  

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Fund Summary  as of April 30, 2022      iShares® Morningstar Mid-Cap ETF

 

Investment Objective

The iShares Morningstar Mid-Cap ETF (the “Fund”) seeks to track the investment results of an index composed of mid-capitalization U.S. equities, as represented by the Morningstar® US Mid Cap IndexSM (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.

Performance

 

    Average Annual Total Returns              Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (3.99 )%       9.76 %       11.59 %        (3.99 )%       59.29 %       199.40 % 

Fund Market

     (4.09 )       9.74        11.59         (4.09 )       59.17        199.27  

Index

     (3.97 )       9.99        11.84               (3.97 )       60.97        206.07  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Mid Core IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Mid Cap IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

      Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       

 Ending

  Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$        1,000.00

        $        889.40          $        0.19               $      1,000.00          $       1,024.60          $        0.20          0.04 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   7

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Mid-Cap ETF

 

Portfolio Management Commentary

Mid-capitalization U.S. stocks declined for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. The consumer discretionary sector faced an especially challenging environment. The household durables industry declined notably due to weakness among homebuilding companies. Higher costs for materials and labor negatively affected homebuilders, as did rising mortgage rates, which make financing of home purchases more difficult, depressing demand. The retail industry also declined, disrupted by supply chain difficulties, which created shortages of certain products. Semiconductor shortages curtailed the market for automobiles, and retailers specializing in used car sales faced headwinds due to shrinking inventories.

In the healthcare sector, the stocks of many mid-sized companies weakened. Rising interest rates worked against companies early in the product development process, as investors sought more predictable cash flows amid increasing borrowing costs. The biotechnology industry declined amid stiff competition and slowing merger and acquisition activity.

The industrials sector also declined as the Fed’s tightening monetary policy raised concerns about economic growth. The machinery and electrical equipment industries weakened amid higher input prices and supply chain disruptions. Divestitures from the Russian market further weighed on the machinery industry.

On the upside, the energy sector gained significantly from higher prices for energy commodities. The prices of oil, natural gas, and coal all rose notably during the reporting period, as demand for energy accelerated while supply remained constrained. The war in Ukraine drove further price gains. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending. The real estate sector also advanced amid a nationwide surge in residential and commercial property prices and increasing apartment occupancy rates.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of    

Total Investments(a)

Industrials

   14.8%

Information Technology

   14.4   

Financials

   11.8   

Consumer Discretionary

   10.6   

Health Care

   10.6   

Real Estate

   9.0   

Materials

   7.2   

Utilities

   6.5   

Energy

   6.3   

Consumer Staples

   5.4   

Communication Services

   3.4   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of    

Total Investments(a)

Archer-Daniels-Midland Co.

   0.6%

Occidental Petroleum Corp.

   0.6   

Centene Corp.

   0.6   

McKesson Corp.

   0.6   

Valero Energy Corp.

   0.6   

Sysco Corp.

   0.5   

Hilton Worldwide Holdings Inc.

   0.5   

General Mills Inc.

   0.5   

Nucor Corp.

   0.5   

Corteva Inc.

   0.5   
 
  (a) 

Excludes money market funds.

 

 

 

8  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary  as of April 30, 2022      iShares® Morningstar Mid-Cap Growth ETF

 

Investment Objective

The iShares Morningstar Mid-Cap Growth ETF (the “Fund”) seeks to track the investment results of an index composed of mid-capitalization U.S. equities that exhibit growth characteristics, as represented by the Morningstar® US Mid Cap Broad Growth IndexSM (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.

Performance

 

    Average Annual Total Returns              Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (12.56 )%       14.77 %       13.02 %        (12.56 )%       99.11 %       240.20 % 

Fund Market

     (12.64 )       14.76        13.03         (12.64 )       99.08        240.27  

Index

     (12.51 )       15.04        13.28               (12.51 )       101.47        247.89  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Mid Growth IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Mid Cap Broad Growth IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending

      Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning

Account Value

(11/01/21)

 

 

 

       

 Ending

  Account Value

(04/30/22)

 

 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized

Expense

Ratio

 

 

 

   

$        1,000.00

        $         782.00          $        0.27               $      1,000.00          $      1,024.50          $        0.30          0.06 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown).Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   9

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Mid-Cap Growth ETF

 

Portfolio Management Commentary

Growth-oriented mid-capitalization U.S. stocks declined for the reporting period amid high inflation, rising interest rates, and slowing economic growth. Stocks in the consumer discretionary sector detracted the most from the Index’s return. The retail industry was disrupted by supply chain difficulties, which created shortages of certain products. Supply chain challenges also led to increased transportation costs, and some retailers struggled to keep items in stock. Semiconductor shortages curtailed the market for automobiles, and retailers specializing in used car sales faced headwinds due to shrinking inventories. The internet and direct marketing retail industry declined amid inflationary pressure, which constrained earnings. Sales of home exercise equipment slowed as more people returned to gyms, and competition from digital fitness services increased, weighing on the leisure products industry.

The healthcare sector detracted meaningfully from the Index’s return, as the stocks of many mid-sized companies in the sector declined. Rising interest rates worked against companies early in the product development process, as investors sought more predictable cash flows amid increasing borrowing costs. The biotechnology industry declined amid stiff competition from companies working to develop new treatments in similar areas. Disruptions from the Omicron variant and slowing demand for products that perform genetic sequencing constrained the life sciences tools and services industry.

Stocks in the information technology sector also detracted from the Index’s performance. The software industry declined, as investors increased their scrutiny of companies with relatively low earnings. A security breach involving customer data at an authentication platform provider negatively impacted the IT services industry.

On the upside, the energy sector contributed to the Index’s return. Rising oil and gas prices drove increased cash flow in the oil, gas, and consumable fuels industry, allowing companies to reduce their debt loads while minimizing investment spending.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of    

Total Investments(a)

Information Technology

   23.9%

Industrials

   19.3   

Health Care

   14.5   

Consumer Discretionary

   11.7   

Real Estate

   8.6   

Financials

   8.2   

Materials

   4.7   

Energy

   3.6   

Communication Services

   3.0   

Consumer Staples

   1.8   

Utilities

   0.7   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of    

Total Investments(a)

Hilton Worldwide Holdings Inc.

   1.2%

SBA Communications Corp.

   1.0   

Verisk Analytics Inc.

   0.9   

Cheniere Energy Inc.

   0.9   

TransDigm Group Inc.

   0.9   

Datadog Inc., Class A

   0.9   

Mettler-Toledo International Inc.

   0.8   

ResMed Inc.

   0.8   

Old Dominion Freight Line Inc.

   0.7   

Arista Networks Inc.

   0.7   
 
  (a) 

Excludes money market funds.

 

 

 

10  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary  as of April 30, 2022    iShares® Morningstar Mid-Cap Value ETF

 

Investment Objective

The iShares Morningstar Mid-Cap Value ETF (the “Fund”) seeks to track the investment results of an index composed of mid-capitalization U.S. equities that exhibit value characteristics, as represented by the Morningstar® US Mid Cap Broad Value IndexSM (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.

Performance

 

    Average Annual Total Returns            Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     4.28 %       8.46 %    12.04%       4.28 %       50.08 %       211.62 % 

Fund Market

     4.30        8.48     12.05          4.30        50.21        212.00  

Index

     4.32        8.68     12.32                4.32        51.61        219.60  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Mid Value IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Mid Cap Broad Value IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value (11/01/21)

      


 Ending

      Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period 

  

 

(a) 

            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
  Account Value
(04/30/22) 		 
 
 		       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized
Expense
Ratio 		 
 
 
   

$        1,000.00

        $      1,001.50          $        0.30               $      1,000.00          $      1,024.50          $        0.30          0.06 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   11

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Mid-Cap Value ETF

 

Portfolio Management Commentary

Value-oriented mid-capitalization U.S. stocks advanced for the reporting period despite high inflation, rising interest rates, and slowing economic growth. Value stocks, which tend to be particularly sensitive to economic fundamentals, were supported by the recovering economy. High consumer spending, bolstered by households’ solid balance sheets, helped drive improved economic output, supporting value stocks.

The energy sector gained significantly from higher prices for energy commodities. As the global economy rebounded following the initial disruptions of the coronavirus pandemic, demand for energy accelerated while supply remained constrained. Consequently, the prices of oil, natural gas, and coal all rose notably during the reporting period. The war in Ukraine drove further gains in energy prices as sanctions on Russia, the world’s third-largest supplier of oil, led to increased uncertainty surrounding supply. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

The consumer staples sector also gained, driven primarily by the food products industry. Strong consumer demand and higher grain prices following the Russian invasion of Ukraine supported profitability for companies with large food commodities trading operations.

On the downside, stocks in the industrials sector declined, as the Fed’s tightening monetary policy raised concerns about economic growth. The machinery industry weakened amid higher input prices, supply chain disruptions, and divestitures from the Russian market.

The communication services sector also declined, including the movies and entertainment industry. A difficult environment for subscription-based content weighed particularly heavily on a spinoff from a larger conglomerate, as analysts questioned the profitability of the new company’s streaming services.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector  

Percent of   

Total Investments(a)

Financials

   14.7%

Industrials

   11.3   

Utilities

   10.8   

Consumer Discretionary

   9.7   

Real Estate

   9.4   

Materials

   9.2   

Energy

   8.4   

Consumer Staples

   8.3   

Health Care

   7.5   

Information Technology

   7.0   

Communication Services

   3.7   

TEN LARGEST HOLDINGS

 

   
Security  

Percent of   

Total Investments(a)

  

Archer-Daniels-Midland Co.

     1.1%  

Centene Corp.

     1.0     

McKesson Corp.

     1.0     

Sysco Corp.

     0.9     

General Mills Inc.

     0.9     

Williams Companies Inc. (The)

     0.9     

Phillips 66

     0.9     

Warner Bros. Discovery Inc.

     0.9     

HP Inc.

     0.9     

Xcel Energy Inc.

     0.9     
 
  (a) 

Excludes money market funds.

 

 

 

12  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary  as of April 30, 2022    iShares® Morningstar Small-Cap ETF

 

Investment Objective

The iShares Morningstar Small-Cap ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization U.S. equities, as represented by the Morningstar® US Small Cap Extended IndexSM (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.

Performance

 

    Average Annual Total Returns            Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     (15.22 )%       5.36 %    9.13%       (15.22 )%       29.84 %       139.48 % 

Fund Market

     (15.38 )       5.33     9.11          (15.38 )       29.68        139.19  

Index

     (15.25 )       5.47     9.24                (15.25 )       30.48        142.03  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Small Core IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Small Cap Extended IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      


 Ending

      Account Value
(04/30/22)

 

 
 

       

Expenses
Paid During

the Period 

  
 

(a) 

            

 Beginning
Account Value
(11/01/21) 		 
 
 		       


 Ending

  Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized
Expense
Ratio 		 
 
 
   

$        1,000.00

        $      841.00          $        0.18               $      1,000.00          $      1,024.60          $        0.20          0.04 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   13

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Small-Cap ETF

 

Portfolio Management Commentary

Small-capitalization U.S. stocks declined for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. The healthcare sector declined, particularly stocks of many smaller companies in the sector. Rising interest rates worked against these companies, which tend to be early in the product development process, as investors sought more predictable cash flows amid increasing borrowing costs. The biotechnology industry declined amid stiff competition from companies working to develop new treatments in similar areas. Merger and acquisition activity also slowed significantly, dampening investor enthusiasm for smaller companies that could be acquired by larger firms. Uncertainty surrounding the new administration’s approach to mergers in the industry also worked against biotechnology stocks.

Stocks in the consumer discretionary sector declined despite an overall increase in consumer spending. The specialty retail industry faced headwinds from rising prices, as inflation increased the wholesale cost of goods for retailers. Brick-and-mortar retailers also faced stiff competition from online sellers. The household durables industry also decreased, as higher costs for materials and labor negatively affected homebuilders, as did rising mortgage rates, which make financing of home purchases more difficult, depressing demand.

Higher inflation and rising interest rates disproportionately pressured smaller companies in the information technology sector, leading the sector to decline. The software industry faced a particularly challenging environment, as investors increased their scrutiny of companies with low earnings relative to their stock prices.

On the upside, the energy sector advanced amid higher prices for energy commodities. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector   Percent of   
Total Investments(a)

Financials

   16.2%

Industrials

   15.4   

Information Technology

   14.0   

Health Care

   13.8   

Consumer Discretionary

   11.3   

Real Estate

   8.2   

Energy

   6.1   

Materials

   5.2   

Consumer Staples

   4.2   

Utilities

   2.8   

Communication Services

   2.8   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

EQT Corp.

   0.4%

Antero Resources Corp.

   0.3   

Webster Financial Corp.

   0.3   

American Campus Communities Inc.

   0.3   

BJ’s Wholesale Club Holdings Inc.

   0.3   

Royal Gold Inc.

   0.3   

First Citizens BancShares Inc./NC, Class A

   0.3   

Chesapeake Energy Corp.

   0.3   

Southwestern Energy Co.

   0.3   

Wyndham Hotels & Resorts Inc.

   0.3   
 
  (a) 

Excludes money market funds.

 

 

 

14  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Fund Summary  as of April 30, 2022    iShares® Morningstar Small-Cap Growth ETF

 

Investment Objective

The iShares Morningstar Small-Cap Growth ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization U.S. equities that exhibit growth characteristics, as represented by the Morningstar® US Small Cap Broad Growth Extended IndexSM (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.

Performance

 

    Average Annual Total Returns          Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     (23.36 )%       9.17 %    10.49%       (23.36 )%       55.05 %       171.28 % 

Fund Market

     (23.38 )       9.16     10.49          (23.38 )       55.01        171.20  

Index

     (23.34 )       9.30     10.57                (23.34 )       56.01        173.20  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Small Growth IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Small Cap Broad Growth Extended IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

       

 Ending
      Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value

(11/01/21)

  
 

 

       

 Ending
  Account Value

(04/30/22)

  
 

 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized
Expense
Ratio		  
 
 
   

$        1,000.00

        $      761.10          $        0.26               $      1,000.00          $      1,024.50          $        0.30          0.06 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   15

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Small-Cap Growth ETF

 

Portfolio Management Commentary

Growth-oriented small-capitalization U.S. stocks declined significantly for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. Growth stocks, which derive a significant portion of their prices from investors’ expectations of future growth, faced significant headwinds relative to other equities. Growth stocks are particularly sensitive to interest rates, which rose as the Fed moved to a less accommodative monetary policy. Persistent inflation and the war in Ukraine led to concerns about slower economic growth, which also weighed on growth stocks.

The healthcare sector was the leading detractor from the Index’s return, as the stocks of many smaller-sized companies in the sector declined. Rising interest rates worked against companies early in the product development process, as investors sought more predictable cash flows amid increasing borrowing costs. The biotechnology industry declined amid stiff competition from companies working to develop new treatments in similar areas. Merger and acquisition activity also slowed significantly, dampening investor enthusiasm for smaller companies that could be acquired by larger firms. Uncertainty surrounding the new administration’s approach to mergers in the industry also worked against biotechnology stocks.

Higher inflation and rising interest rates disproportionately pressured smaller companies in the information technology sector, leading the sector to detract from the Index’s return. The software industry was the most significant detractor, as investors increased their scrutiny of companies with relatively low earnings.

On the downside, stocks in the consumer discretionary sector detracted from the Index’s performance. An online car sales platform in the specialty retail industry faced profitability constraints, as the cost of acquiring vehicles and a tight labor market pressured sales margins. The household durables industry also declined, as supply challenges hindered revenue growth.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector   Percent of   
Total Investments(a)

Information Technology

   22.1%

Health Care

   21.9   

Industrials

   15.1   

Consumer Discretionary

   12.0   

Financials

   8.4   

Real Estate

   7.1   

Materials

   3.9   

Consumer Staples

   3.7   

Communication Services

   2.5   

Energy

   2.4   

Utilities

   0.9   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

Wyndham Hotels & Resorts Inc.

   0.6%

Pure Storage Inc., Class A

   0.5   

WillScot Mobile Mini Holdings Corp.

   0.5   

EastGroup Properties Inc.

   0.5   

Exelixis Inc.

   0.5   

Planet Fitness Inc., Class A

   0.5   

Coherent Inc.

   0.5   

Euronet Worldwide Inc.

   0.4   

RenaissanceRe Holdings Ltd.

   0.4   

Sarepta Therapeutics Inc.

   0.4   
 
  (a) 

Excludes money market funds.

 

 

 

16  

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Fund Summary  as of April 30, 2022    iShares® Morningstar Small-Cap Value ETF

 

Investment Objective

The iShares Morningstar Small-Cap Value ETF (the “Fund”) seeks to track the investment results of an index composed of small-capitalization U.S. equities that exhibit value characteristics, as represented by the Morningstar® US Small Cap Broad Value Extended IndexSM (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.

Performance

 

    Average Annual Total Returns          Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     (4.19 )%       5.06 %    9.15%       (4.19 )%       28.00 %       139.91 % 

Fund Market

     (4.21 )       5.06     9.14          (4.21 )       27.98        139.80  

Index

     (4.13 )       5.33     9.38                (4.13 )       29.64        145.14  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Small Value IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Small Cap Broad Value Extended IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value (11/01/21)

      

 Ending
      Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            


 Beginning

Account Value
(11/01/21)

  

 
 

       


 Ending

  Account Value
(04/30/22)

 

 
 

       

 Expenses

Paid During

the Period 

  

 

(a) 

       

     Annualized
Expense
Ratio 		 
 
 
   

$        1,000.00

        $      942.80          $        0.29               $      1,000.00          $      1,024.50          $        0.30          0.06 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   17

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Small-Cap Value ETF

 

Portfolio Management Commentary

Value-oriented small-capitalization U.S. stocks declined for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. Stocks in the consumer discretionary sector weakened despite an overall increase in consumer spending. The household durables industry declined notably, driven primarily by homebuilding companies. Higher costs for materials and labor negatively affected homebuilders, as did rising mortgage rates. The specialty retail industry faced headwinds from rising prices, as inflation increased the wholesale cost of goods for retailers. Brick-and-mortar retailers also faced stiff competition from online sellers.

The financials sector also declined, particularly bank stocks. Slowing economic growth prompted concern among investors, outweighing the positive effect of higher interest rates, which allow banks to charge more for loans. Capital market volatility pressured banks, leading to earnings and revenues below analysts’ expectations despite higher net interest income.

The healthcare sector also weakened, driven by companies early in the product development process, as investors sought more predictable cash flows amid increasing borrowing costs due to rising interest rates. The biotechnology industry declined amid stiff competition from companies working to develop new treatments in similar areas.

On the upside, the energy sector gained from significantly higher prices for energy commodities. As the global economy rebounded following the initial disruptions of the coronavirus pandemic, demand for energy accelerated while supply remained constrained. Consequently, the prices of oil, natural gas, and coal all rose notably during the reporting period. The war in Ukraine drove further gains in energy prices. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector   Percent of   
Total Investments(a)

Financials

   23.0%

Industrials

   15.5   

Consumer Discretionary

   10.9   

Real Estate

   9.5   

Energy

   9.0   

Information Technology

   7.4   

Materials

   6.4   

Health Care

   6.3   

Consumer Staples

   4.6   

Utilities

   4.6   

Communication Services

   2.8   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

Webster Financial Corp.

   0.5%

BJ’s Wholesale Club Holdings Inc.

   0.5   

Chesapeake Energy Corp.

   0.5   

Southwestern Energy Co.

   0.5   

United States Steel Corp.

   0.4   

EQT Corp.

   0.4   

Tenet Healthcare Corp.

   0.4   

OGE Energy Corp.

   0.4   

Range Resources Corp.

   0.4   

NOV Inc.

   0.4   
 
  (a) 

Excludes money market funds.

 

 

 

18  

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Fund Summary  as of April 30, 2022    iShares® Morningstar U.S. Equity ETF

 

Investment Objective

The iShares Morningstar U.S. Equity ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization U.S. equities, as represented by the Morningstar® US Large-Mid Cap IndexSM (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.

Performance

 

    Average Annual Total Returns         Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     (2.08 )%       11.84 %    13.37%       (2.08 )%       74.96 %       250.61 % 

Fund Market

     (2.20 )       11.82     13.36          (2.20 )       74.80        250.41  

Index

     (2.07 )       12.04     13.58                (2.07 )       76.57        257.35  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Large Core IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Large-Mid Cap IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending
        Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
  Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

     Annualized
Expense
Ratio 		 
 
 
   

$        1,000.00

        $      885.10          $        0.14               $      1,000.00          $      1,024.60          $        0.15          0.03 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   19

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar U.S. Equity ETF

 

Portfolio Management Commentary

Large- and mid-capitalization U.S. stocks declined modestly for the reporting period, as high inflation, rising interest rates, and slowing economic growth pressured stocks. The communication services sector faced a challenging environment due to shifts in consumer consumption patterns. As vaccination rates increased and more in-person entertainment options reopened, the coronavirus pandemic-led surge in online activity began to abate, pressuring online advertisers in the interactive media and services industry. Enhanced privacy tools and opt-in data tracking built into mobile operating systems made it more difficult for advertisers to target consumers. Increased password sharing and strong competition pressured revenues of companies in the entertainment industry that sell subscription-based streaming content. The resumption of in-person activities further dampened growth for home entertainment providers, although higher theme park revenues partially offset this slowdown.

Stocks in the consumer discretionary sector also declined despite an overall increase in consumer spending. The internet and direct marketing retail industry weakened as the strong growth in online retailing that accelerated during the pandemic began to slow. To meet increased demand, companies in the industry made significant investments in capacity, including staffing and warehouses. However, as sales growth slowed, costs rose faster than revenues, pressuring profit margins.

On the upside, the energy sector advanced amid higher prices for energy commodities. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

The consumer staples sector also gained, driven primarily by the beverages industry. Brand loyalty helped beverages companies to improve profit margins by raising prices to keep pace with rising input costs.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector   Percent of   
Total Investments(a)

Information Technology

   27.6%

Health Care

   13.8   

Consumer Discretionary

   11.6   

Financials

   11.0   

Communication Services

   8.3   

Industrials

   8.2   

Consumer Staples

   6.5   

Energy

   4.0   

Real Estate

   3.3   

Materials

   2.9   

Utilities

   2.8   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

Apple Inc.

   6.4%

Microsoft Corp.

   5.5   

Amazon.com Inc.

   2.9   

Tesla Inc.

   1.9   

Alphabet Inc., Class A

   1.8   

Alphabet Inc., Class C

   1.7   

Berkshire Hathaway Inc., Class B

   1.6   

UnitedHealth Group Inc.

   1.3   

Johnson & Johnson

   1.3   

NVIDIA Corp.

   1.2   
 
  (a) 

Excludes money market funds.

 

 

 

20  

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Fund Summary  as of April 30, 2022    iShares® Morningstar Value ETF

 

Investment Objective

The iShares Morningstar Value ETF (the “Fund”) seeks to track the investment results of an index composed of large- and mid-capitalization U.S. equities that exhibit value characteristics, as represented by the Morningstar® US Large-Mid Cap Broad Value IndexSM (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.

Performance

 

    Average Annual Total Returns          Cumulative Total Returns  
     1 Year      5 Years     10 Years             1 Year      5 Years      10 Years  

Fund NAV

     4.02 %       9.37 %    10.51%       4.02 %       56.47 %       171.65 % 

Fund Market

     3.98        9.37     10.51          3.98        56.49        171.70  

Index

     4.06        9.59     10.76                4.06        58.09        177.93  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through March 21, 2021 reflects the performance of the Morningstar® US Large Value IndexSM. Index performance beginning on March 22, 2021 reflects the performance of the Morningstar® US Large-Mid Cap Broad Value IndexSM.

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 23 for more information.

Expense Example

 

   

Actual

           Hypothetical 5% Return           
                                                              
   

Beginning

Account Value

(11/01/21)

      

 Ending
      Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		            

 Beginning
Account Value
(11/01/21) 		 
 
 		       

 Ending
  Account Value
(04/30/22) 		 
 
 		       

 Expenses
Paid During
the Period 		  
 
(a) 		       

     Annualized
Expense
Ratio 		 
 
 
   

$        1,000.00

        $      979.30          $        0.20               $      1,000.00          $      1,024.60          $        0.20          0.04 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D   S U M M A R Y

   21

Fund Summary  as of April 30, 2022  (continued)    iShares® Morningstar Value ETF

 

Portfolio Management Commentary

Value-oriented large- and mid-capitalization U.S. stocks advanced for the reporting period despite high inflation, rising interest rates, and slowing economic growth. The energy sector gained significantly from higher prices for energy commodities. As the global economy rebounded following the initial disruptions of the coronavirus pandemic, demand for energy accelerated while supply remained constrained. Consequently, the prices of oil, natural gas, and coal all rose notably during the reporting period. The war in Ukraine drove further gains in energy prices as sanctions on Russia led to increased uncertainty surrounding supply. The oil, gas, and consumable fuels industry benefited directly from rising oil and gas prices, which drove increased cash flow, allowing companies to reduce their debt loads while minimizing investment spending.

The healthcare sector also advanced substantially, buoyed by earnings growth and a partial return to normalcy in medical care as the pandemic abated. Gains in the pharmaceuticals industry were driven primarily by sales of COVID-19 vaccines. Companies that developed effective vaccines experienced significant revenue growth as the government purchased millions of doses, and the spread of COVID-19 variants fueled continued sales as waning vaccine efficacy necessitated booster shots.

On the downside, the communication services sector declined. Enhanced privacy tools and opt-in data tracking built into mobile operating systems made it more difficult for advertisers in the interactive media and services industry to target consumers. The cable and satellite industry also declined, constrained by slowing growth in broadband internet subscriptions and record-low viewership ratings for the Winter Olympics. Stocks in the industrials sector weakened amid continued supply chain disruptions, which led to higher costs, pressuring companies in the industrial conglomerates industry.

Portfolio Information

 

ALLOCATION BY SECTOR

 

   
Sector   Percent of   
Total Investments(a)

Health Care

   17.8%

Financials

   15.8   

Information Technology

   15.2   

Consumer Staples

   10.8   

Industrials

   10.2   

Energy

   6.7   

Consumer Discretionary

   6.4   

Communication Services

   4.9   

Utilities

   4.9   

Materials

   3.8   

Real Estate

   3.5   

TEN LARGEST HOLDINGS

 

   
Security   Percent of   
Total Investments(a)

Apple Inc.

   4.7%

UnitedHealth Group Inc.

   2.3   

Johnson & Johnson

   2.3   

Procter & Gamble Co. (The)

   1.9   

Berkshire Hathaway Inc., Class B

   1.8   

Exxon Mobil Corp.

   1.7   

JPMorgan Chase & Co.

   1.7   

Chevron Corp.

   1.5   

Pfizer Inc.

   1.3   

AbbVie Inc.

   1.3   
 
  (a) 

Excludes money market funds.

 

 

 

22  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at 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. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask 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. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in a Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

A B O U T   F U N D   P E R F O R M A N C E / S H A R E H O L D E R   E X P E N S E S

   23

Schedule of Investments   

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 0.5%

 

Axon Enterprise Inc.(a)

    6,817     $ 764,867  

HEICO Corp.

     4,205       593,872  

HEICO Corp., Class A

     7,430       866,635  

Howmet Aerospace Inc.

     37,715       1,286,836  

Huntington Ingalls Industries Inc.

     1,657       352,510  

Textron Inc.

     15,052       1,042,351  

TransDigm Group Inc.(a)

    5,243       3,118,589  

Woodward Inc.

     3,981       439,821  
   

 

 

  
      8,465,481  
Air Freight & Logistics — 0.3%  

CH Robinson Worldwide Inc.

     4,554       483,407  

Expeditors International of Washington Inc.

     9,636       954,639  

GXO Logistics Inc.(a)

    6,385       377,928  

United Parcel Service Inc., Class B

     19,761       3,556,585  
   

 

 

  
      5,372,559  
Auto Components — 0.1%  

Aptiv PLC(a)

    11,495       1,223,068  

Gentex Corp.

     11,086       325,374  

Lear Corp.

     3,246       415,293  
   

 

 

  
      1,963,735  
Automobiles — 4.2%  

Tesla Inc.(a)

    83,242           72,483,804  
   

 

 

  
Banks — 0.5%            

First Republic Bank/CA

     12,717       1,897,631  

PNC Financial Services Group Inc. (The)

     16,311       2,709,257  

Regions Financial Corp.

     44,453       921,066  

Signature Bank/New York NY

     3,732       904,077  

SVB Financial Group(a)

    3,701       1,804,756  

Western Alliance Bancorp.

     5,674       431,848  
   

 

 

  
      8,668,635  
Beverages — 0.2%  

Brown-Forman Corp., Class A

     5,553       346,618  

Brown-Forman Corp., Class B, NVS

     18,171       1,225,452  

Monster Beverage Corp.(a)

    21,248       1,820,529  
   

 

 

  
      3,392,599  
Biotechnology — 0.9%  

Alnylam Pharmaceuticals Inc.(a)

    12,005       1,601,827  

BioMarin Pharmaceutical Inc.(a)

    18,259       1,485,370  

Bridgebio Pharma Inc.(a)

    10,677       85,629  

Exact Sciences Corp.(a)(b)

    17,141       943,612  

Horizon Therapeutics PLC(a)

    22,559       2,223,415  

Incyte Corp.(a)

    18,667       1,399,278  

Intellia Therapeutics Inc.(a)

    6,889       337,768  

Mirati Therapeutics Inc.(a)

    3,176       196,245  

Natera Inc.(a)

    8,757       307,546  

Neurocrine Biosciences Inc.(a)

    9,425       848,533  

Novavax Inc.(a)(b)

    3,434       154,770  

Seagen Inc.(a)

    13,266       1,737,979  

Vertex Pharmaceuticals Inc.(a)

    14,373       3,926,991  
   

 

 

  
      15,248,963  
Building Products — 0.5%  

A O Smith Corp.

     7,503       438,400  

Advanced Drainage Systems Inc.

     5,601       573,878  

Allegion PLC

     4,675       534,072  

Carlisle Companies Inc.

     3,182       825,284  

Carrier Global Corp.

     22,034       843,241  
Security   Shares     Value  

Building Products (continued)

 

Fortune Brands Home & Security Inc.

     6,724     $ 479,085  

Johnson Controls International PLC

     23,909       1,431,432  

Lennox International Inc.

     2,019       430,431  

Masco Corp.

     12,229       644,346  

Owens Corning

     4,384       398,637  

Trane Technologies PLC

     9,959       1,393,164  

Trex Co. Inc.(a)

    11,445       665,985  
   

 

 

  
      8,657,955  
Capital Markets — 2.0%  

Ares Management Corp., Class A

     16,678       1,104,417  

Blackstone Inc., NVS

     38,934       3,954,526  

Carlyle Group Inc. (The)

     13,823       501,637  

Charles Schwab Corp. (The)

     83,110       5,512,686  

Coinbase Global Inc., Class A(a)(b)

    2,930       330,240  

FactSet Research Systems Inc.

     3,747       1,511,877  

Intercontinental Exchange Inc.

     19,079       2,209,539  

KKR & Co. Inc.

     17,495       891,720  

LPL Financial Holdings Inc.

     7,973       1,497,888  

MarketAxess Holdings Inc.

     3,786       998,027  

Moody’s Corp.

     9,487       3,002,446  

Morningstar Inc.

     2,355       596,357  

MSCI Inc.

     8,092       3,408,755  

Nasdaq Inc.

     7,445       1,171,620  

Raymond James Financial Inc.

     10,148       989,024  

S&P Global Inc.

     15,627       5,883,565  

SEI Investments Co.

     4,848       270,131  

Tradeweb Markets Inc., Class A

     10,459       744,576  
   

 

 

  
          34,579,031  
Chemicals — 1.1%  

Air Products and Chemicals Inc.

     5,024       1,175,968  

Albemarle Corp.

     11,636       2,243,770  

Axalta Coating Systems Ltd.(a)

    11,304       286,783  

Celanese Corp.

     5,777       848,872  

Corteva Inc.

     37,457       2,160,894  

Ecolab Inc.

     9,785       1,656,992  

Linde PLC

     15,892       4,957,668  

Olin Corp.

     7,248       416,035  

PPG Industries Inc.

     10,121       1,295,387  

RPM International Inc.

     4,087       338,812  

Scotts Miracle-Gro Co. (The)

     1,993       207,133  

Sherwin-Williams Co. (The)

     7,943       2,184,007  

Westlake Corp.

     1,857       235,003  
   

 

 

  
      18,007,324  
Commercial Services & Supplies — 0.6%  

Cintas Corp.

     3,385       1,344,725  

Copart Inc.(a)

    21,220       2,411,653  

IAA Inc.(a)

    8,380       307,127  

Republic Services Inc.

     9,882       1,326,856  

Rollins Inc.

     22,510       754,985  

Tetra Tech Inc.

     5,374       748,491  

Waste Management Inc.

     14,436       2,373,856  
   

 

 

  
      9,267,693  
Communications Equipment — 0.3%  

Arista Networks Inc.(a)

    22,302       2,577,442  

Ciena Corp.(a)

    6,596       363,901  

F5 Inc.(a)

    2,745       459,541  

Motorola Solutions Inc.

     8,812       1,883,036  
   

 

 

  
      5,283,920  
 

 

 

24  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Construction & Engineering — 0.1%

 

AECOM

     7,279     $ 513,606  

Quanta Services Inc.

     6,626       768,484  
   

 

 

  
      1,282,090  
Construction Materials — 0.2%  

Martin Marietta Materials Inc.

     3,967       1,405,191  

Vulcan Materials Co.

     13,192       2,272,849  
   

 

 

  
      3,678,040  
Consumer Finance — 0.5%  

Ally Financial Inc.

     15,359       613,746  

American Express Co.

     29,383       5,133,504  

Credit Acceptance Corp.(a)(b)

    552       282,900  

Discover Financial Services

     12,175       1,369,200  

SoFi Technologies Inc.(a)(b)

    64,190       392,843  

Upstart Holdings Inc.(a)(b)

    4,891       366,923  
   

 

 

  
      8,159,116  
Containers & Packaging — 0.2%  

AptarGroup Inc.

     2,632       302,232  

Avery Dennison Corp.

     5,716       1,032,310  

Ball Corp.

     22,114       1,794,772  
   

 

 

  
      3,129,314  
Distributors — 0.1%  

LKQ Corp.

     13,857       687,723  

Pool Corp.

     3,978       1,611,965  
   

 

 

  
      2,299,688  
Diversified Consumer Services — 0.1%  

Bright Horizons Family Solutions Inc.(a)

    6,001       685,554  

Chegg Inc.(a)(b)

    13,632       337,256  

Service Corp. International

     7,643       501,457  
   

 

 

  
      1,524,267  
Diversified Financial Services — 1.4%  

Apollo Global Management Inc.

     26,366       1,311,972  

Berkshire Hathaway Inc., Class B(a)

    69,063       22,295,608  

Voya Financial Inc.

     4,941       311,975  
   

 

 

  
          23,919,555  
Electric Utilities — 0.0%  

NRG Energy Inc.

     10,506       377,165  
   

 

 

  
Electrical Equipment — 0.4%  

AMETEK Inc.

     12,708       1,604,512  

Generac Holdings Inc.(a)

    6,281       1,377,926  

Hubbell Inc.

     1,891       369,426  

Plug Power Inc.(a)

    30,962       650,821  

Rockwell Automation Inc.

     7,782       1,966,278  

Sunrun Inc.(a)(b)

    13,789       275,504  

Vertiv Holdings Co.

     30,148       377,754  
   

 

 

  
      6,622,221  
Electronic Equipment, Instruments & Components — 0.8%  

Amphenol Corp., Class A

     26,340       1,883,310  

CDW Corp./DE

     8,243       1,345,093  

Cognex Corp.

     17,581       1,189,003  

Corning Inc.

     34,125       1,200,859  

IPG Photonics Corp.(a)

    3,561       336,443  

Keysight Technologies Inc.(a)

    18,196       2,552,353  

Teledyne Technologies Inc.(a)

    4,632       1,998,939  

Trimble Inc.(a)

    24,964       1,665,099  

Zebra Technologies Corp., Class A(a)

    5,264       1,945,890  
   

 

 

  
      14,116,989  
Security   Shares     Value  

Energy Equipment & Services — 0.2%

 

Baker Hughes Co.

     42,695     $ 1,324,399  

Halliburton Co.

     49,396       1,759,485  
   

 

 

  
      3,083,884  
Entertainment — 2.1%  

Activision Blizzard Inc.

     29,279       2,213,492  

AMC Entertainment Holdings Inc., Class A(a)

    22,008       336,722  

Electronic Arts Inc.

     8,797       1,038,486  

Liberty Media Corp.-Liberty Formula One, Class A(a)(b)

    1,467       84,235  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

    13,163       820,450  

Live Nation Entertainment Inc.(a)

    4,153       435,567  

Netflix Inc.(a)

    44,144       8,403,252  

Playtika Holding Corp.(a)

    4,900       86,142  

Roku Inc.(a)

    11,711       1,087,952  

Take-Two Interactive Software Inc.(a)

    8,209       981,058  

Walt Disney Co. (The)(a)

    181,036       20,209,049  

Zynga Inc., Class A(a)

    52,827       436,879  
   

 

 

  
          36,133,284  
Equity Real Estate Investment Trusts (REITs) — 2.9%  

Alexandria Real Estate Equities Inc.

     8,176       1,489,340  

American Homes 4 Rent, Class A

     18,606       736,984  

American Tower Corp.

     24,737       5,962,112  

Americold Realty Trust

     10,876       286,909  

AvalonBay Communities Inc.

     4,556       1,036,399  

Camden Property Trust

     4,401       690,473  

Crown Castle International Corp.

     20,211       3,743,279  

CubeSmart

     12,635       600,289  

Digital Realty Trust Inc.

     10,328       1,509,127  

Duke Realty Corp.

     37,882       2,074,039  

Equinix Inc.

     5,648       4,061,364  

Equity LifeStyle Properties Inc.

     10,864       839,570  

Equity Residential

     11,712       954,528  

Essex Property Trust Inc.

     2,350       773,784  

Extra Space Storage Inc.

     8,055       1,530,450  

Federal Realty Investment Trust

     3,228       377,870  

Healthpeak Properties Inc.

     16,966       556,654  

Host Hotels & Resorts Inc.

     24,919       507,102  

Invitation Homes Inc.

     59,341       2,362,959  

Kilroy Realty Corp.

     5,766       403,620  

Lamar Advertising Co., Class A

     2,920       322,397  

Life Storage Inc.

     4,924       652,381  

Mid-America Apartment Communities Inc.

     5,474       1,076,626  

Prologis Inc.

     27,183       4,357,163  

Public Storage

     4,460       1,656,890  

Realty Income Corp.

     19,724       1,368,057  

Regency Centers Corp.

     5,603       385,654  

Rexford Industrial Realty Inc.

     15,957       1,245,284  

SBA Communications Corp.

     10,814       3,753,648  

STORE Capital Corp.

     7,587       215,698  

Sun Communities Inc.

     11,533       2,024,849  

UDR Inc.

     12,932       688,112  

Vornado Realty Trust

     5,469       211,705  

Welltower Inc.

     14,607       1,326,462  
   

 

 

  
      49,781,778  
Food & Staples Retailing — 0.5%  

Costco Wholesale Corp.

     15,633       8,312,379  
   

 

 

  
Food Products — 0.2%  

Darling Ingredients Inc.(a)

    7,084       519,895  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   25

Schedule of Investments   (continued)

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Food Products (continued)

 

Hershey Co. (The)

     7,639     $ 1,724,657  

Lamb Weston Holdings Inc.

     6,330       418,413  

McCormick & Co. Inc./MD, NVS

     9,969       1,002,582  
   

 

 

  
      3,665,547  
Health Care Equipment & Supplies — 3.3%  

Abbott Laboratories

     80,052       9,085,902  

ABIOMED Inc.(a)

    4,534       1,299,354  

Align Technology Inc.(a)

    7,293       2,114,314  

Baxter International Inc.

     21,538       1,530,490  

Boston Scientific Corp.(a)

    40,504       1,705,623  

Cooper Companies Inc. (The)(b)

    4,905       1,770,901  

DENTSPLY SIRONA Inc.

     12,761       510,312  

Dexcom Inc.(a)

    9,636       3,937,077  

Edwards Lifesciences Corp.(a)

    62,093       6,568,198  

Hologic Inc.(a)

    14,674       1,056,381  

IDEXX Laboratories Inc.(a)

    8,430       3,628,946  

Insulet Corp.(a)

    6,864       1,640,427  

Intuitive Surgical Inc.(a)

    35,552       8,507,594  

Masimo Corp.(a)

    5,059       571,515  

Novocure Ltd.(a)

    8,871       679,341  

Penumbra Inc.(a)

    3,487       601,717  

ResMed Inc.

     14,563       2,912,163  

STERIS PLC

     9,955       2,230,418  

Stryker Corp.

     10,396       2,508,139  

Tandem Diabetes Care Inc.(a)

    6,326       610,333  

Teleflex Inc.

     4,652       1,328,704  

Zimmer Biomet Holdings Inc.

     8,526       1,029,515  
   

 

 

  
          55,827,364  
Health Care Providers & Services — 0.1%  

agilon health Inc.(a)(b)

    4,692       83,377  

Chemed Corp.

     803       394,586  

Guardant Health Inc.(a)

    10,102       623,293  

Molina Healthcare Inc.(a)

    3,361       1,053,505  

Oak Street Health Inc.(a)(b)

    13,894       251,343  
   

 

 

  
      2,406,104  
Health Care Technology — 0.2%  

Cerner Corp.

     12,463       1,167,035  

Teladoc Health Inc.(a)(b)

    6,134       207,084  

Veeva Systems Inc., Class A(a)

    13,786       2,508,363  
   

 

 

  
      3,882,482  
Hotels, Restaurants & Leisure — 2.8%  

Airbnb Inc., Class A(a)(b)

    34,486       5,283,600  

Booking Holdings Inc.(a)

    4,078       9,013,644  

Caesars Entertainment Inc.(a)(b)

    21,259       1,409,047  

Chipotle Mexican Grill Inc.(a)

    2,790       4,061,152  

Churchill Downs Inc.

     3,416       693,243  

Darden Restaurants Inc.

     4,154       547,206  

Domino’s Pizza Inc.

     3,618       1,222,884  

DraftKings Inc., Class A(a)(b)

    33,136       453,301  

Hilton Worldwide Holdings Inc.(a)

    27,711       4,303,241  

Marriott International Inc./MD, Class A(a)

    27,202       4,828,899  

McDonald’s Corp.

     30,944       7,710,007  

MGM Resorts International

     14,401       591,017  

Penn National Gaming Inc.(a)

    16,524       604,283  

Starbucks Corp.

     57,251       4,273,215  

Vail Resorts Inc.

     4,015       1,020,452  

Yum! Brands Inc.

     20,045       2,345,465  
   

 

 

  
      48,360,656  
Security   Shares     Value  

Household Durables — 0.2%

 

DR Horton Inc.

     17,287     $ 1,203,002  

Garmin Ltd.

     8,311       912,049  

NVR Inc.(a)

    176       770,213  

Tempur Sealy International Inc.

     19,160       519,428  

TopBuild Corp.(a)

    3,282       594,502  
   

 

 

  
      3,999,194  
Household Products — 0.1%  

Church & Dwight Co. Inc.

     12,239       1,194,037  
   

 

 

  
Insurance — 0.9%  

Alleghany Corp.(a)

    694       580,531  

Aon PLC, Class A

     8,543       2,460,299  

Arch Capital Group Ltd.(a)

    18,696       853,846  

Arthur J Gallagher & Co.

     13,295       2,240,075  

Brown & Brown Inc.

     23,319       1,445,312  

Cincinnati Financial Corp.

     8,361       1,025,560  

Erie Indemnity Co., Class A, NVS

     1,347       215,897  

Everest Re Group Ltd.

     1,808       496,676  

First American Financial Corp.

     4,601       268,284  

Marsh & McLennan Companies Inc.

     21,703       3,509,375  

W R Berkley Corp.

     13,176       876,072  

Willis Towers Watson PLC

     5,454       1,171,846  
   

 

 

  
      15,143,773  
Interactive Media & Services — 10.0%  

Alphabet Inc., Class A(a)

    29,907       68,253,457  

Alphabet Inc., Class C, NVS(a)

    27,622       63,512,093  

IAC/InterActiveCorp.(a)(b)

    4,500       372,960  

Match Group Inc.(a)

    11,088       877,615  

Meta Platforms Inc, Class A(a)

    149,642       29,998,732  

Pinterest Inc., Class A(a)

    56,731       1,164,120  

Snap Inc., Class A, NVS(a)

    107,742       3,066,337  

Twitter Inc.(a)

    50,916       2,495,902  

ZoomInfo Technologies Inc.(a)

    30,084       1,425,982  
   

 

 

  
      171,167,198  
Internet & Direct Marketing Retail — 6.8%  

Amazon.com Inc.(a)

    43,511       108,152,247  

Chewy Inc., Class A(a)(b)

    8,806       255,902  

DoorDash Inc., Class A(a)

    11,555       940,924  

Etsy Inc.(a)

    12,603       1,174,473  

MercadoLibre Inc.(a)

    4,609       4,487,461  

Wayfair Inc., Class A(a)(b)

    7,750       596,285  
   

 

 

  
          115,607,292  
IT Services — 6.1%  

Accenture PLC, Class A

     25,171       7,560,361  

Affirm Holdings Inc.(a)(b)

    16,160       463,792  

Akamai Technologies Inc.(a)

    6,790       762,381  

Automatic Data Processing Inc.

     14,581       3,181,283  

Block Inc.(a)(b)

    49,750       4,952,115  

Broadridge Financial Solutions Inc.

     7,984       1,150,734  

Cloudflare Inc., Class A(a)

    27,648       2,381,599  

Concentrix Corp.

     2,913       458,739  

DigitalOcean Holdings Inc.(a)(b)

    1,734       68,372  

EPAM Systems Inc.(a)

    5,646       1,496,133  

FleetCor Technologies Inc.(a)

    3,976       992,091  

Gartner Inc.(a)

    8,188       2,379,023  

Genpact Ltd.

     9,228       371,612  

Global Payments Inc.

     9,406       1,288,434  

GoDaddy Inc., Class A(a)

    16,533       1,336,032  

Jack Henry & Associates Inc.

     3,953       749,410  
 

 

 

26  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments   (continued)

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

IT Services (continued)

 

Mastercard Inc., Class A

     85,820     $ 31,185,272  

MongoDB Inc., Class A(a)

    6,645       2,358,510  

Okta Inc.(a)

    14,804       1,766,265  

Paychex Inc.

     8,817       1,117,378  

PayPal Holdings Inc.(a)

    115,815       10,183,613  

Snowflake Inc., Class A(a)

    23,479       4,025,240  

SS&C Technologies Holdings Inc.

     9,156       592,027  

Thoughtworks Holding Inc.(a)(b)

    3,641       67,395  

Twilio Inc., Class A(a)

    16,743       1,872,202  

VeriSign Inc.(a)

    9,607       1,716,675  

Visa Inc., Class A

     94,961       20,239,038  
   

 

 

  
      104,715,726  
Leisure Products — 0.1%  

Brunswick Corp./DE

     3,675       277,867  

Hasbro Inc.

     7,220       635,793  

Mattel Inc.(a)

    11,348       275,870  

Peloton Interactive Inc., Class A(a)

    29,640       520,478  

YETI Holdings Inc.(a)

    8,723       426,293  
   

 

 

  
      2,136,301  
Life Sciences Tools & Services — 3.0%  

10X Genomics Inc., Class A(a)

    9,108       434,998  

Agilent Technologies Inc.

     18,326       2,185,742  

Avantor Inc.(a)

    60,604       1,932,056  

Azenta Inc.

     7,397       554,479  

Bio-Rad Laboratories Inc., Class A(a)

    2,140       1,095,808  

Bio-Techne Corp.

     3,916       1,486,866  

Bruker Corp.

     10,097       580,477  

Charles River Laboratories International Inc.(a)

    5,024       1,213,346  

Danaher Corp.

     63,277       15,890,753  

Illumina Inc.(a)

    15,535       4,608,458  

IQVIA Holdings Inc.(a)

    10,830       2,360,832  

Mettler-Toledo International Inc.(a)

    2,280       2,912,768  

PerkinElmer Inc.(b)

    5,521       809,434  

Repligen Corp.(a)

    5,122       805,383  

Syneos Health Inc., Class A(a)

    4,233       309,390  

Thermo Fisher Scientific Inc.

     18,980       10,494,422  

Waters Corp.(a)

    6,070       1,839,331  

West Pharmaceutical Services Inc.

     7,370       2,321,992  
   

 

 

  
          51,836,535  
Machinery — 1.6%  

AGCO Corp.

     2,960       377,104  

Caterpillar Inc.

     16,905       3,559,179  

Deere & Co.

     15,901       6,003,423  

Donaldson Co. Inc.

     5,211       255,547  

Dover Corp.

     7,963       1,061,468  

Fortive Corp.

     20,472       1,177,140  

Graco Inc.

     16,899       1,048,076  

IDEX Corp.

     7,570       1,436,937  

Illinois Tool Works Inc.

     7,136       1,406,577  

Ingersoll Rand Inc.(b)

    27,153       1,193,646  

ITT Inc.

     5,860       411,489  

Lincoln Electric Holdings Inc.

     2,877       387,618  

Middleby Corp. (The)(a)(b)

    2,963       455,976  

Nordson Corp.

     5,372       1,158,687  

Otis Worldwide Corp.

     20,847       1,518,495  

PACCAR Inc.

     14,594       1,212,032  

Parker-Hannifin Corp.

     4,935       1,336,497  

Pentair PLC

     10,638       539,878  

Stanley Black & Decker Inc.

     5,332       640,640  
Security   Shares     Value  

Machinery (continued)

 

Toro Co. (The)

     6,898     $ 552,737  

Xylem Inc./NY

     17,937       1,443,928  
   

 

 

  
      27,177,074  
Media — 0.4%  

Cable One Inc.

     304       354,525  

Charter Communications Inc., Class A(a)

    6,953       2,979,291  

Liberty Broadband Corp., Class A(a)

    2,363       254,400  

Liberty Broadband Corp., Class C, NVS(a)

    14,074       1,573,755  

Liberty Media Corp.-Liberty SiriusXM, Class A(a)(b)

    4,405       184,261  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    8,908       373,067  

New York Times Co. (The), Class A

     16,624       637,032  

Sirius XM Holdings Inc.(b)

    34,763       208,578  
   

 

 

  
      6,564,909  
Metals & Mining — 0.3%  

Freeport-McMoRan Inc.

     71,836       2,912,950  

Nucor Corp.

     13,035       2,017,557  

Southern Copper Corp.

     1,910       118,936  
   

 

 

  
      5,049,443  
Multiline Retail — 0.3%  

Target Corp.

     19,641       4,490,915  
   

 

 

  
Oil, Gas & Consumable Fuels — 0.6%  

Cheniere Energy Inc.

     23,446       3,184,201  

Hess Corp.

     11,953       1,231,996  

Occidental Petroleum Corp.

     36,668       2,020,040  

Targa Resources Corp.

     12,577       923,278  

Texas Pacific Land Corp.

     617       843,192  

Valero Energy Corp.

     13,389       1,492,606  
   

 

 

  
      9,695,313  
Personal Products — 0.2%  

Estee Lauder Companies Inc. (The), Class A

     14,615       3,859,237  

Olaplex Holdings Inc.(a)

    7,083       104,120  
   

 

 

  
      3,963,357  
Pharmaceuticals — 1.5%  

Catalent Inc.(a)

    17,834       1,615,047  

Elanco Animal Health Inc.(a)

    47,057       1,191,013  

Eli Lilly & Co.

     49,750       14,533,467  

Zoetis Inc.

     47,051       8,339,790  
   

 

 

  
          25,679,317  
Professional Services — 0.7%  

Booz Allen Hamilton Holding Corp.

     4,653       379,824  

Clarivate PLC(a)

    23,330       365,814  

CoStar Group Inc.(a)

    39,268       2,498,230  

Dun & Bradstreet Holdings Inc.(a)

    5,093       80,419  

Equifax Inc.

     12,132       2,469,105  

Jacobs Engineering Group Inc.

     5,046       699,123  

Robert Half International Inc.

     7,252       712,944  

TransUnion

     19,061       1,668,219  

Verisk Analytics Inc.

     16,035       3,271,942  
   

 

 

  
      12,145,620  
Real Estate Management & Development — 0.1%  

CBRE Group Inc., Class A(a)

    15,478       1,285,293  

Opendoor Technologies Inc.(a)(b)

    38,385       268,311  

Zillow Group Inc., Class A(a)

    3,534       136,589  

Zillow Group Inc., Class C, NVS(a)(b)

    16,571       659,858  
   

 

 

  
      2,350,051  
Road & Rail — 0.9%  

AMERCO

     598       320,217  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   27

Schedule of Investments   (continued)

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Road & Rail (continued)

 

Avis Budget Group Inc.(a)

    1,990     $ 532,663  

CSX Corp.

     54,362       1,866,791  

JB Hunt Transport Services Inc.

     8,350       1,426,598  

Knight-Swift Transportation Holdings Inc.

     6,912       331,016  

Lyft Inc., Class A(a)

    29,897       974,642  

Norfolk Southern Corp.

     5,710       1,472,495  

Old Dominion Freight Line Inc.

     9,269       2,596,432  

Saia Inc.(a)

    2,625       540,645  

Uber Technologies Inc.(a)

    165,931       5,223,508  

XPO Logistics Inc.(a)

    3,072       165,243  
   

 

 

  
      15,450,250  
Semiconductors & Semiconductor Equipment — 6.8%  

Advanced Micro Devices Inc.(a)

    162,564       13,902,473  

Analog Devices Inc.

     16,055       2,478,571  

Applied Materials Inc.

     53,056       5,854,730  

Broadcom Inc.

     13,263       7,352,875  

Enphase Energy Inc.(a)

    13,313       2,148,718  

Entegris Inc.

     13,480       1,501,537  

First Solar Inc.(a)

    4,242       309,793  

KLA Corp.

     7,869       2,512,257  

Lam Research Corp.

     5,828       2,714,449  

Lattice Semiconductor Corp.(a)

    13,627       654,641  

Marvell Technology Inc.

     84,008       4,879,185  

Microchip Technology Inc.

     14,542       948,139  

MKS Instruments Inc.

     3,222       367,244  

Monolithic Power Systems Inc.

     4,311       1,690,947  

NVIDIA Corp.

     248,590       46,105,987  

NXP Semiconductors NV

     13,968       2,387,131  

ON Semiconductor Corp.(a)(b)

    42,856       2,233,226  

Qorvo Inc.(a)

    6,232       709,077  

QUALCOMM Inc.

     60,587       8,463,398  

Skyworks Solutions Inc.

     11,537       1,307,142  

SolarEdge Technologies Inc.(a)

    5,215       1,305,888  

Teradyne Inc.

     16,204       1,708,874  

Texas Instruments Inc.

     23,376       3,979,764  

Universal Display Corp.

     4,314       551,027  

Wolfspeed Inc.(a)(b)

    5,131       470,564  
   

 

 

  
          116,537,637  
Software — 19.9%  

Adobe Inc.(a)

    46,905       18,572,035  

Anaplan Inc.(a)

    14,536       944,695  

ANSYS Inc.(a)

    8,683       2,393,816  

AppLovin Corp., Class A(a)(b)

    3,527       134,555  

Asana Inc., Class A(a)

    8,047       215,660  

Aspen Technology Inc.(a)

    6,654       1,054,925  

Autodesk Inc.(a)

    21,863       4,138,229  

Avalara Inc.(a)

    8,648       657,853  

Bentley Systems Inc., Class B

     18,312       776,246  

Bill.com Holdings Inc.(a)(b)

    9,178       1,566,776  

Black Knight Inc.(a)

    8,876       583,952  

Cadence Design Systems Inc.(a)

    17,848       2,692,371  

Ceridian HCM Holding Inc.(a)

    13,550       760,562  

Citrix Systems Inc.

     4,479       448,348  

Coupa Software Inc.(a)

    7,367       635,772  

Crowdstrike Holdings Inc., Class A(a)

    20,728       4,119,897  

Datadog Inc., Class A(a)

    25,580       3,089,552  

Digital Turbine Inc.(a)

    8,752       277,001  

DocuSign Inc.(a)

    19,600       1,587,600  

Dropbox Inc., Class A(a)

    28,219       613,763  
Security   Shares     Value  

Software (continued)

 

Dynatrace Inc.(a)

    19,565     $ 750,513  

Elastic NV(a)

    7,135       543,259  

Fair Isaac Corp.(a)

    2,618       977,849  

Five9 Inc.(a)

    6,770       745,377  

Fortinet Inc.(a)

    13,500       3,901,635  

Guidewire Software Inc.(a)

    3,800       330,372  

HubSpot Inc.(a)

    4,471       1,696,432  

Intuit Inc.

     28,159       11,791,581  

Manhattan Associates Inc.(a)

    6,300       822,465  

Microsoft Corp.

     745,465       206,881,447  

Oracle Corp.

     38,971       2,860,471  

Palantir Technologies Inc., Class A(a)

    159,272       1,656,429  

Palo Alto Networks Inc.(a)

    9,823       5,513,453  

Paycom Software Inc.(a)

    4,785       1,346,834  

Paylocity Holding Corp.(a)

    3,950       749,039  

Pegasystems Inc.

     4,055       310,572  

PTC Inc.(a)

    10,512       1,200,576  

RingCentral Inc., Class A(a)

    8,175       693,649  

Roper Technologies Inc.

     4,683       2,200,635  

salesforce.com Inc.(a)

    97,945       17,232,443  

ServiceNow Inc.(a)

    19,875       9,502,237  

Smartsheet Inc., Class A(a)

    12,520       605,092  

Splunk Inc.(a)

    15,807       1,928,770  

Synopsys Inc.(a)

    15,275       4,380,717  

Trade Desk Inc. (The), Class A(a)

    43,375       2,555,655  

Tyler Technologies Inc.(a)

    4,069       1,606,075  

UiPath Inc., Class A(a)

    26,449       471,586  

Unity Software Inc.(a)(b)

    16,313       1,083,346  

VMware Inc., Class A

     13,099       1,415,216  

Workday Inc., Class A(a)(b)

    19,213       3,971,327  

Zendesk Inc.(a)

    12,018       1,466,677  

Zoom Video Communications Inc., Class A(a)

    21,730       2,163,656  

Zscaler Inc.(a)

    7,954       1,612,594  
   

 

 

  
          340,231,587  
Specialty Retail — 1.6%  

Advance Auto Parts Inc.

     2,689       536,805  

AutoZone Inc.(a)

    875       1,711,036  

Bath & Body Works Inc.

     16,809       889,028  

Burlington Stores Inc.(a)(b)

    6,634       1,350,417  

CarMax Inc.(a)(b)

    9,434       809,249  

Carvana Co., Class A(a)(b)

    8,512       493,356  

Five Below Inc.(a)

    5,575       875,833  

Floor & Decor Holdings Inc., Class A(a)

    10,507       837,618  

GameStop Corp., Class A(a)(b)

    2,545       318,303  

Home Depot Inc. (The)

     26,743       8,033,597  

Lithia Motors Inc.

     1,562       442,249  

O’Reilly Automotive Inc.(a)

    1,544       936,513  

RH(a)

    1,722       578,799  

Ross Stores Inc.

     15,438       1,540,249  

TJX Companies Inc. (The)

     64,380       3,945,206  

Tractor Supply Co.

     6,993       1,408,740  

Ulta Beauty, Inc.(a)

    5,404       2,144,307  

Williams-Sonoma Inc.

     3,185       415,579  
   

 

 

  
      27,266,884  
Technology Hardware, Storage & Peripherals — 8.6%  

Apple Inc.

     930,095       146,629,477  

NetApp Inc.

     9,460       692,945  
   

 

 

  
      147,322,422  
 

 

 

28  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Textiles, Apparel & Luxury Goods — 1.4%

 

Capri Holdings Ltd.(a)

    5,362     $ 255,767  

Crocs Inc.(a)

    5,845       388,283  

Deckers Outdoor Corp.(a)

    2,737       727,358  

Lululemon Athletica Inc.(a)

    11,692       4,146,334  

Nike Inc., Class B

     126,908       15,825,428  

Under Armour Inc., Class A(a)

    6,394       98,212  

Under Armour Inc., Class C, NVS(a)

    7,300       103,587  

VF Corp.

     32,079       1,668,108  
   

 

 

  
      23,213,077  
Trading Companies & Distributors — 0.3%  

Fastenal Co.

     28,601       1,581,921  

SiteOne Landscape Supply Inc.(a)

    4,452       627,866  

United Rentals Inc.(a)

    4,129       1,306,911  

Watsco Inc.

     1,806       481,805  

WW Grainger Inc.

     2,129       1,064,564  
   

 

 

  
      5,063,067  
Water Utilities — 0.1%  

American Water Works Co. Inc.

     9,449       1,455,902  

Essential Utilities Inc.

     12,291       550,145  
   

 

 

  
      2,006,047  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $1,541,109,486)

 

     1,707,960,648  
   

 

 

  
Security   Shares     Value  

 

  

Short-Term Investments

 

Money Market Funds — 2.0%

 

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    31,914,376     $ 31,914,376  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    3,207,000       3,207,000  
   

 

 

  
      35,121,376  
   

 

 

  

Total Short-Term Investments — 2.0%
(Cost: $35,115,947)

 

     35,121,376  
   

 

 

  

Total Investments in Securities — 101.8%
(Cost: $1,576,225,433)

 

     1,743,082,024  

Other Assets, Less Liabilities — (1.8)%

 

     (31,465,018 ) 
   

 

 

  

Net Assets — 100.0%

 

   $   1,711,617,006  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		    Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain
Distributions
from
Underlying
Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 19,338,813     $ 12,599,786 (a)    $ —     $ (29,652 )    $ 5,429     $ 31,914,376       31,914,376     $ 62,050 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     3,067,000       140,000 (a)       —       —       —       3,207,000       3,207,000       1,540       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (29,652 )    $ 5,429     $ 35,121,376       $ 63,590     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description    Number of
Contracts 		     Expiration
Date 		     Notional
Amount
(000) 		     Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

            

E-Mini S&P Communication Services Index

      4        06/17/22      $ 309      $ (40,772 ) 

Nasdaq 100 E-Mini Index

      12        06/17/22        3,084        (268,059 ) 
           

 

 

  
            $ (308,831 ) 
           

 

 

  

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   29

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Growth ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
     Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 308,831  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 309,899  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (348,363 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 2,972,373      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
    Level 1     Level 2     Level 3      Total  

 

  

Investments

         

Assets

         

Common Stocks

   $ 1,707,960,648     $ —     $ —      $ 1,707,960,648  

Money Market Funds

     35,121,376       —       —        35,121,376  
 

 

 

    

 

 

    

 

 

     

 

 

  
  $ 1,743,082,024       $ —       $ —      $ 1,743,082,024  
 

 

 

    

 

 

    

 

 

     

 

 

  

Derivative financial instruments(a)

        

Liabilities

         

Futures Contracts

   $ (308,831 )    $ —     $ —      $ (308,831 ) 
 

 

 

    

 

 

    

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

30  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Aerospace & Defense — 1.2%

 

  

Axon Enterprise Inc.(a)

    6,466     $ 725,485  

HEICO Corp.

     4,035       569,863  

HEICO Corp., Class A

     7,114       829,777  

Howmet Aerospace Inc.

     35,965       1,227,126  

Huntington Ingalls Industries Inc.

     3,785       805,221  

Textron Inc.

     20,844       1,443,447  

TransDigm Group Inc.(a)

    4,996       2,971,671  

Woodward Inc.

     5,988       661,554  
   

 

 

  
      9,234,144  
Air Freight & Logistics — 0.4%        

CH Robinson Worldwide Inc.

     12,364       1,312,439  

Expeditors International of Washington Inc.

     16,064       1,591,460  

GXO Logistics Inc.(a)

    9,378       555,084  
   

 

 

  
      3,458,983  
Airlines — 1.0%            

American Airlines Group Inc.(a)

    61,310       1,150,789  

Delta Air Lines Inc.(a)

    60,689       2,611,448  

Southwest Airlines Co.(a)

    56,141       2,622,907  

United Airlines Holdings Inc.(a)

    30,664       1,548,532  
   

 

 

  
          7,933,676  
Auto Components — 0.4%            

Autoliv Inc.

     7,465       550,021  

BorgWarner Inc.

     22,626       833,316  

Gentex Corp.

     22,495       660,228  

Lear Corp.

     5,630       720,302  

QuantumScape Corp.(a)(b)

    24,437       365,089  
   

 

 

  
      3,128,956  
Banks — 3.2%            

Citizens Financial Group Inc.

     46,856       1,846,126  

Comerica Inc.

     12,379       1,013,840  

Commerce Bancshares Inc.

     10,511       718,637  

Cullen/Frost Bankers Inc.

     5,380       711,720  

East West Bancorp. Inc.

     13,398       955,277  

Fifth Third Bancorp.

     64,833       2,433,183  

First Horizon Corp.

     50,587       1,132,137  

First Republic Bank/CA

     16,998       2,536,442  

Huntington Bancshares Inc./OH

     136,613       1,796,461  

KeyCorp

     88,236       1,703,837  

M&T Bank Corp.

     16,992       2,831,547  

Regions Financial Corp.

     89,505       1,854,544  

Signature Bank/New York NY

     5,957       1,443,083  

SVB Financial Group(a)

    5,571       2,716,643  

Western Alliance Bancorp.

     10,058       765,514  

Zions Bancorp. NA

     14,333       809,958  
   

 

 

  
      25,268,949  
Beverages — 0.3%            

Brown-Forman Corp., Class A

     5,351       334,010  

Brown-Forman Corp., Class B, NVS

     17,305       1,167,049  

Molson Coors Beverage Co., Class B

     17,802       963,800  
   

 

 

  
      2,464,859  
Biotechnology — 1.6%            

Alnylam Pharmaceuticals Inc.(a)(b)

    11,386       1,519,234  

Biohaven Pharmaceutical Holding Co. Ltd.(a)(b)

    5,786       515,938  

BioMarin Pharmaceutical Inc.(a)

    17,377       1,413,619  

Bridgebio Pharma Inc.(a)(b)

    10,189       81,716  

Exact Sciences Corp.(a)(b)

    16,444       905,242  

Horizon Therapeutics PLC(a)

    21,501       2,119,139  
Security   Shares     Value  

Biotechnology (continued)

 

  

Incyte Corp.(a)

    17,819     $ 1,335,712  

Intellia Therapeutics Inc.(a)(b)

    6,583       322,764  

Mirati Therapeutics Inc.(a)

    4,707       290,846  

Natera Inc.(a)

    8,368       293,884  

Neurocrine Biosciences Inc.(a)

    9,027       812,701  

Novavax Inc.(a)(b)

    7,191       324,098  

Seagen Inc.(a)

    12,731       1,667,888  

United Therapeutics Corp.(a)

    4,279       759,779  
   

 

 

  
      12,362,560  
Building Products — 1.1%            

A O Smith Corp.

     12,404       724,766  

Advanced Drainage Systems Inc.

     5,394       552,669  

Allegion PLC

     8,490       969,898  

Builders FirstSource Inc.(a)

    18,213       1,121,374  

Carlisle Companies Inc.

     4,965       1,287,722  

Fortune Brands Home & Security Inc.

     12,911       919,909  

Lennox International Inc.

     3,201       682,421  

Masco Corp.

     22,723       1,197,275  

Owens Corning

     9,558       869,109  

Trex Co. Inc.(a)

    10,921       635,493  
   

 

 

  
      8,960,636  
Capital Markets — 2.5%            

Ameriprise Financial Inc.

     10,516       2,791,893  

Ares Management Corp., Class A

     15,941       1,055,613  

Carlyle Group Inc. (The)

     13,189       478,629  

FactSet Research Systems Inc.

     3,583       1,445,705  

Franklin Resources Inc.

     26,577       653,528  

Invesco Ltd.

     32,172       591,321  

Jefferies Financial Group Inc.

     18,458       567,768  

LPL Financial Holdings Inc.

     7,600       1,427,812  

MarketAxess Holdings Inc.

     3,605       950,314  

Morningstar Inc.

     2,259       572,047  

Nasdaq Inc.

     11,082       1,743,974  

Northern Trust Corp.

     19,702       2,030,291  

Raymond James Financial Inc.

     17,746       1,729,525  

SEI Investments Co.

     9,941       553,913  

State Street Corp.

     34,705       2,324,194  

Tradeweb Markets Inc., Class A

     9,989       711,117  
   

 

 

  
          19,627,644  
Chemicals — 3.8%            

Albemarle Corp.

     11,092       2,138,870  

Axalta Coating Systems Ltd.(a)

    20,367       516,711  

Celanese Corp.

     10,246       1,505,547  

CF Industries Holdings Inc.

     20,372       1,972,621  

Corteva Inc.

     68,940       3,977,149  

DuPont de Nemours Inc.

     48,636       3,206,571  

Eastman Chemical Co.

     12,230       1,255,654  

FMC Corp.

     11,996       1,589,950  

International Flavors & Fragrances Inc.

     24,138       2,927,939  

LyondellBasell Industries NV, Class A

     24,925       2,642,798  

Mosaic Co. (The)

     35,106       2,191,317  

Olin Corp.

     13,311       764,051  

PPG Industries Inc.

     22,511       2,881,183  

RPM International Inc.

     12,275       1,017,597  

Scotts Miracle-Gro Co. (The)

     3,870       402,209  

Westlake Corp.

     3,174       401,670  
   

 

 

  
      29,391,837  
Commercial Services & Supplies — 0.9%        

Aurora Innovation Inc., Class A(a)(b)

    24,531       104,502  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   31

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Commercial Services & Supplies (continued)

 

  

Copart Inc.(a)

    20,278     $ 2,304,595  

IAA Inc.(a)

    12,848       470,879  

Republic Services Inc.

     19,797       2,658,143  

Rollins Inc.

     21,354       716,213  

Tetra Tech Inc.

     5,144       716,457  
   

 

 

  
      6,970,789  
Communications Equipment — 1.1%            

Arista Networks Inc.(a)

    21,271       2,458,289  

Ciena Corp.(a)(b)

    14,615       806,310  

F5 Inc.(a)

    5,766       965,286  

Juniper Networks Inc.

     30,755       969,398  

Motorola Solutions Inc.

     16,016       3,422,459  
   

 

 

  
      8,621,742  
Construction & Engineering — 0.3%            

AECOM

     13,374       943,669  

Quanta Services Inc.

     13,492       1,564,802  
   

 

 

  
      2,508,471  
Construction Materials — 0.5%            

Martin Marietta Materials Inc.

     5,915       2,095,211  

Vulcan Materials Co.

     12,584       2,168,098  
   

 

 

  
      4,263,309  
Consumer Finance — 0.9%            

Ally Financial Inc.

     32,052       1,280,798  

Credit Acceptance Corp.(a)(b)

    768       393,600  

Discover Financial Services

     27,309       3,071,170  

SoFi Technologies Inc.(a)(b)

    61,298       375,144  

Synchrony Financial

     49,505       1,822,279  

Upstart Holdings Inc.(a)(b)

    4,676       350,793  
   

 

 

  
      7,293,784  
Containers & Packaging — 1.7%            

Amcor PLC

     143,539       1,702,372  

AptarGroup Inc.

     6,257       718,491  

Avery Dennison Corp.

     7,867       1,420,780  

Ball Corp.

     30,714       2,492,748  

Berry Global Group Inc.(a)

    12,768       719,477  

Crown Holdings Inc.

     11,966       1,316,739  

International Paper Co.

     36,656       1,696,440  

Packaging Corp. of America

     8,999       1,450,369  

Sealed Air Corp.

     14,092       904,847  

Westrock Co.

     24,934       1,234,981  
   

 

 

  
          13,657,244  
Distributors — 0.6%            

Genuine Parts Co.

     13,483       1,753,464  

LKQ Corp.

     25,506       1,265,863  

Pool Corp.

     3,801       1,540,241  
   

 

 

  
      4,559,568  
Diversified Consumer Services — 0.3%            

Bright Horizons Family Solutions Inc.(a)

    5,699       651,054  

Chegg Inc.(a)(b)

    13,065       323,228  

Service Corp. International

     15,686       1,029,158  
   

 

 

  
      2,003,440  
Diversified Financial Services — 0.4%            

Apollo Global Management Inc.

     35,131       1,748,119  

Equitable Holdings Inc.

     35,803       1,032,200  

Voya Financial Inc.

     10,259       647,753  
   

 

 

  
      3,428,072  
Diversified Telecommunication Services — 0.1%        

Lumen Technologies Inc.

     87,647       881,729  
   

 

 

  
Security   Shares     Value  

Electric Utilities — 3.1%

    

Alliant Energy Corp.

     23,740     $ 1,396,149  

Avangrid Inc.

     6,673       295,948  

Constellation Energy Corp.

     30,983       1,834,504  

Edison International

     36,024       2,478,091  

Entergy Corp.

     19,058       2,265,043  

Evergy Inc.

     21,751       1,475,805  

Eversource Energy

     32,601       2,849,327  

FirstEnergy Corp.

     54,025       2,339,823  

NRG Energy Inc.

     23,152       831,157  

PG&E Corp.(a)

    142,917       1,807,900  

Pinnacle West Capital Corp.

     10,732       764,118  

PPL Corp.

     71,108       2,013,068  

Xcel Energy Inc.

     51,080       3,742,121  
   

 

 

  
          24,093,054  
Electrical Equipment — 1.5%            

AMETEK Inc.

     21,936       2,769,639  

ChargePoint Holdings Inc., Class A(a)(b)

    16,737       216,577  

Generac Holdings Inc.(a)

    5,993       1,314,744  

Hubbell Inc.

     5,144       1,004,932  

Plug Power Inc.(a)(b)

    49,261       1,035,466  

Regal Rexnord Corp.

     6,444       819,935  

Rockwell Automation Inc.

     11,018       2,783,918  

Sensata Technologies Holding PLC(a)

    14,934       678,153  

Sunrun Inc.(a)(b)

    19,684       393,286  

Vertiv Holdings Co.

     28,780       360,614  
   

 

 

  
      11,377,264  
Electronic Equipment, Instruments & Components — 2.1%  

Arrow Electronics Inc.(a)

    6,416       756,190  

CDW Corp./DE

     12,860       2,098,495  

Cognex Corp.

     16,764       1,133,749  

Corning Inc.

     70,798       2,491,381  

Flex Ltd.(a)(b)

    43,780       721,932  

IPG Photonics Corp.(a)(b)

    3,417       322,838  

Jabil Inc.

     13,634       787,091  

Keysight Technologies Inc.(a)

    17,352       2,433,965  

Teledyne Technologies Inc.(a)

    4,423       1,908,746  

Trimble Inc.(a)

    23,801       1,587,527  

Zebra Technologies Corp., Class A(a)

    5,044       1,864,565  
   

 

 

  
      16,106,479  
Energy Equipment & Services — 0.7%            

Baker Hughes Co.

     85,881       2,664,028  

Halliburton Co.

     85,208       3,035,109  
   

 

 

  
      5,699,137  
Entertainment — 1.4%            

AMC Entertainment Holdings Inc., Class A(a)(b)

    48,883       747,910  

Liberty Media Corp.-Liberty Formula One, Class A(a)(b)

    2,086       119,778  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

    19,407       1,209,638  

Live Nation Entertainment Inc.(a)(b)

    12,772       1,339,527  

Playtika Holding Corp.(a)

    9,767       171,704  

Roku Inc.(a)

    11,196       1,040,108  

Take-Two Interactive Software Inc.(a)

    10,962       1,310,069  

Warner Bros. Discovery Inc.(a)

    210,531       3,821,138  

Zynga Inc., Class A(a)

    101,043       835,626  
   

 

 

  
      10,595,498  
Equity Real Estate Investment Trusts (REITs) — 8.4%        

Alexandria Real Estate Equities Inc.

     13,800       2,513,808  

American Homes 4 Rent, Class A

     27,952       1,107,179  

Americold Realty Trust

     25,373       669,340  

Apartment Income REIT Corp.

     14,932       734,206  
 

 

 

32  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

AvalonBay Communities Inc.

     13,252     $ 3,014,565  

Boston Properties Inc.

     13,474       1,584,542  

Camden Property Trust

     9,715       1,524,186  

CubeSmart

     20,778       987,163  

Duke Realty Corp.

     36,080       1,975,380  

Equity LifeStyle Properties Inc.

     16,364       1,264,610  

Equity Residential

     32,387       2,639,540  

Essex Property Trust Inc.

     6,198       2,040,815  

Extra Space Storage Inc.

     12,695       2,412,050  

Federal Realty Investment Trust

     6,680       781,961  

Gaming and Leisure Properties Inc.

     22,224       986,301  

Healthpeak Properties Inc.

     51,139       1,677,871  

Host Hotels & Resorts Inc.

     67,610       1,375,863  

Invitation Homes Inc.

     56,556       2,252,060  

Iron Mountain Inc.

     27,463       1,475,587  

Kilroy Realty Corp.

     9,995       699,650  

Kimco Realty Corp.

     58,491       1,481,577  

Lamar Advertising Co., Class A

     8,202       905,583  

Life Storage Inc.

     7,799       1,033,290  

Medical Properties Trust Inc.

     56,510       1,039,219  

Mid-America Apartment Communities Inc.

     10,936       2,150,892  

National Retail Properties Inc.

     16,566       726,253  

Realty Income Corp.

     53,648       3,721,025  

Regency Centers Corp.

     14,579       1,003,473  

Rexford Industrial Realty Inc.

     15,182       1,184,803  

SBA Communications Corp.

     10,315       3,580,440  

STORE Capital Corp.

     23,321       663,016  

Sun Communities Inc.

     10,996       1,930,568  

UDR Inc.

     28,380       1,510,100  

Ventas Inc.

     37,832       2,101,568  

VICI Properties Inc.

     79,884       2,381,342  

Vornado Realty Trust

     15,114       585,063  

Welltower Inc.

     41,275       3,748,183  

Weyerhaeuser Co.

     70,863       2,920,973  

WP Carey Inc.

     18,079       1,460,241  
   

 

 

  
          65,844,286  
Food & Staples Retailing — 1.1%            

Albertsons Companies Inc., Class A

     9,678       302,728  

Kroger Co. (The)

     63,446       3,423,546  

Sysco Corp.

     48,118       4,113,127  

U.S. Foods Holding Corp.(a)

    21,218       798,221  
   

 

 

  
      8,637,622  
Food Products — 3.5%            

Archer-Daniels-Midland Co.

     53,060       4,752,054  

Bunge Ltd.

     13,364       1,511,736  

Campbell Soup Co.

     19,133       903,460  

Conagra Brands Inc.

     45,533       1,590,468  

Darling Ingredients Inc.(a)

    15,335       1,125,436  

General Mills Inc.

     57,199       4,045,685  

Hershey Co. (The)

     13,787       3,112,691  

Hormel Foods Corp.

     26,719       1,399,808  

JM Smucker Co. (The)

     10,264       1,405,449  

Kellogg Co.

     24,254       1,661,399  

Lamb Weston Holdings Inc.

     13,811       912,907  

McCormick & Co. Inc./MD, NVS

     23,666       2,380,090  

Tyson Foods Inc., Class A

     27,713       2,581,743  
   

 

 

  
      27,382,926  
Gas Utilities — 0.3%            

Atmos Energy Corp.

     12,846       1,456,737  
Security   Shares     Value  

Gas Utilities (continued)

    

UGI Corp.

     19,948     $ 684,216  
   

 

 

  
      2,140,953  
Health Care Equipment & Supplies — 2.7%            

ABIOMED Inc.(a)

    4,306       1,234,013  

Baxter International Inc.

     47,478       3,373,787  

Cooper Companies Inc. (The)(b)

    4,674       1,687,501  

DENTSPLY SIRONA Inc.

     20,676       826,833  

Hologic Inc.(a)

    23,737       1,708,827  

Insulet Corp.(a)

    6,541       1,563,233  

Masimo Corp.(a)

    4,833       545,984  

Novocure Ltd.(a)(b)

    8,498       650,777  

Penumbra Inc.(a)

    3,341       576,523  

ResMed Inc.

     13,867       2,772,984  

STERIS PLC

     9,494       2,127,131  

Tandem Diabetes Care Inc.(a)(b)

    6,043       583,029  

Teleflex Inc.

     4,437       1,267,296  

Zimmer Biomet Holdings Inc.

     19,806       2,391,574  
   

 

 

  
          21,309,492  
Health Care Providers & Services — 2.8%            

agilon health Inc.(a)(b)

    4,527       80,445  

AmerisourceBergen Corp.

     14,310       2,164,960  

Cardinal Health Inc.

     26,285       1,525,844  

Centene Corp.(a)

    55,331       4,456,912  

Chemed Corp.

     1,464       719,395  

DaVita Inc.(a)

    5,812       629,846  

Guardant Health Inc.(a)

    9,682       597,379  

Henry Schein Inc.(a)

    13,097       1,062,167  

Laboratory Corp. of America Holdings(a)

    8,821       2,119,510  

McKesson Corp.

     14,204       4,397,701  

Molina Healthcare Inc.(a)

    5,547       1,738,707  

Oak Street Health Inc.(a)(b)

    13,291       240,434  

Quest Diagnostics Inc.

     11,293       1,511,455  

Universal Health Services Inc., Class B

     6,952       851,829  
   

 

 

  
      22,096,584  
Health Care Technology — 0.4%            

Cerner Corp.

     27,896       2,612,181  

Teladoc Health Inc.(a)(b)

    15,227       514,064  
   

 

 

  
      3,126,245  
Hotels, Restaurants & Leisure — 3.1%            

Aramark

     24,339       882,289  

Caesars Entertainment Inc.(a)

    20,245       1,341,839  

Carnival Corp.(a)

    76,714       1,327,152  

Churchill Downs Inc.

     3,263       662,193  

Darden Restaurants Inc.

     12,120       1,596,568  

Domino’s Pizza Inc.

     3,458       1,168,804  

DraftKings Inc., Class A(a)

    31,719       433,916  

Expedia Group Inc.(a)

    14,240       2,488,440  

Hilton Worldwide Holdings Inc.(a)

    26,430       4,104,315  

Las Vegas Sands Corp.(a)

    32,683       1,157,959  

MGM Resorts International

     35,731       1,466,400  

Norwegian Cruise Line Holdings Ltd.(a)(b)

    39,353       788,240  

Penn National Gaming Inc.(a)(b)

    15,751       576,014  

Royal Caribbean Cruises Ltd.(a)(b)

    21,263       1,652,773  

Vail Resorts Inc.

     3,844       976,991  

Wynn Resorts Ltd.(a)

    10,025       706,562  

Yum! Brands Inc.

     27,405       3,206,659  
   

 

 

  
      24,537,114  
Household Durables — 1.6%            

DR Horton Inc.

     30,541       2,125,348  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   33

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Household Durables (continued)

    

Garmin Ltd.

     14,432     $ 1,583,768  

Lennar Corp., Class A

     24,839       1,899,935  

Lennar Corp., Class B

     1,506       98,191  

Mohawk Industries Inc.(a)

    5,218       736,051  

Newell Brands Inc.

     36,049       834,534  

NVR Inc.(a)

    310       1,356,625  

PulteGroup Inc.

     23,515       981,987  

Tempur Sealy International Inc.

     18,310       496,384  

Toll Brothers Inc.

     10,720       497,086  

TopBuild Corp.(a)

    3,133       567,512  

Whirlpool Corp.

     5,580       1,012,882  
   

 

 

  
          12,190,303  
Household Products — 0.5%            

Church & Dwight Co. Inc.

     22,920       2,236,075  

Clorox Co. (The)

     11,661       1,673,004  
   

 

 

  
      3,909,079  
Independent Power and Renewable Electricity Producers — 0.3%  

AES Corp. (The)

     63,227       1,291,095  

Vistra Corp.

     45,677       1,142,839  
   

 

 

  
      2,433,934  
Insurance — 4.4%            

Aflac Inc.

     56,891       3,258,716  

Alleghany Corp.(a)

    1,303       1,089,960  

Allstate Corp. (The)

     26,608       3,366,976  

American Financial Group Inc./OH

     6,249       865,362  

Arch Capital Group Ltd.(a)

    36,553       1,669,376  

Arthur J Gallagher & Co.

     19,766       3,330,373  

Assurant Inc.

     5,419       985,608  

Brown & Brown Inc.

     22,281       1,380,976  

Cincinnati Financial Corp.

     14,210       1,742,999  

Erie Indemnity Co., Class A, NVS

     2,384       382,108  

Everest Re Group Ltd.

     3,744       1,028,514  

Fidelity National Financial Inc.

     27,003       1,075,259  

First American Financial Corp.

     10,439       608,698  

Globe Life Inc.

     8,827       865,752  

Hartford Financial Services Group Inc. (The)

     31,719       2,218,110  

Lincoln National Corp.

     15,760       947,964  

Loews Corp.

     18,576       1,167,316  

Markel Corp.(a)

    1,290       1,745,731  

Old Republic International Corp.

     27,020       594,710  

Principal Financial Group Inc.

     23,057       1,571,104  

Reinsurance Group of America Inc.

     6,389       685,667  

W R Berkley Corp.

     19,812       1,317,300  

Willis Towers Watson PLC

     11,573       2,486,575  
   

 

 

  
      34,385,154  
Interactive Media & Services — 0.4%            

IAC/InterActiveCorp.(a)

    7,968       660,388  

Pinterest Inc., Class A(a)

    54,013       1,108,347  

ZoomInfo Technologies Inc.(a)

    28,614       1,356,303  
   

 

 

  
      3,125,038  
Internet & Direct Marketing Retail — 0.2%            

Chewy Inc., Class A(a)(b)

    8,412       244,453  

Etsy Inc.(a)(b)

    12,048       1,122,753  

Wayfair Inc., Class A(a)(b)

    7,416       570,587  
   

 

 

  
      1,937,793  
IT Services — 2.8%            

Affirm Holdings Inc.(a)(b)

    15,482       444,333  

Akamai Technologies Inc.(a)(b)

    15,379       1,726,754  
Security   Shares     Value  

IT Services (continued)

    

Broadridge Financial Solutions Inc.

     11,089     $ 1,598,258  

Concentrix Corp.

     4,087       643,621  

Core Scientific Inc.(a)

    21,793       128,797  

DigitalOcean Holdings Inc.(a)(b)

     1,661       65,493  

DXC Technology Co.(a)

    23,051       661,564  

EPAM Systems Inc.(a)

    5,395       1,429,621  

FleetCor Technologies Inc.(a)

    7,689       1,918,559  

Gartner Inc.(a)

    7,795       2,264,837  

Genpact Ltd.

     16,075       647,340  

GoDaddy Inc., Class A(a)

    15,821       1,278,495  

Jack Henry & Associates Inc.

     6,905       1,309,050  

MongoDB Inc., Class A(a)

    6,327       2,245,642  

Okta Inc.(a)

    14,061       1,677,618  

SS&C Technologies Holdings Inc.

     20,927       1,353,140  

Thoughtworks Holding Inc.(a)(b)

    3,482       64,452  

VeriSign Inc.(a)

    9,151       1,635,192  

Western Union Co. (The)

     37,126       622,232  
   

 

 

  
      21,714,998  
Leisure Products — 0.4%            

Brunswick Corp./DE

     7,306       552,407  

Hasbro Inc.

     12,247       1,078,471  

Mattel Inc.(a)

    33,151       805,901  

Peloton Interactive Inc., Class A(a)

    28,551       501,355  

YETI Holdings Inc.(a)

    8,342       407,673  
   

 

 

  
      3,345,807  
Life Sciences Tools & Services — 2.2%            

10X Genomics Inc., Class A(a)

    8,710       415,990  

Avantor Inc.(a)(b)

    57,708       1,839,731  

Azenta Inc.

     7,063       529,442  

Bio-Rad Laboratories Inc., Class A(a)

    2,055       1,052,283  

Bio-Techne Corp.

     3,717       1,411,308  

Bruker Corp.

     9,656       555,123  

Charles River Laboratories International Inc.(a)

    4,786       1,155,867  

Mettler-Toledo International Inc.(a)

    2,179       2,783,738  

PerkinElmer Inc.(b)

    11,955       1,752,723  

Repligen Corp.(a)

    4,892       769,218  

Syneos Health Inc., Class A(a)

    9,773       714,309  

Waters Corp.(a)

    5,788       1,753,880  

West Pharmaceutical Services Inc.

     7,025       2,213,296  
   

 

 

  
          16,946,908  
Machinery — 4.1%            

AGCO Corp.

     5,824       741,978  

Cummins Inc.

     13,504       2,554,822  

Donaldson Co. Inc.

     11,755       576,465  

Dover Corp.

     13,654       1,820,078  

Fortive Corp.

     34,003       1,955,173  

Graco Inc.

     16,071       996,723  

IDEX Corp.

     7,208       1,368,223  

Ingersoll Rand Inc.

     38,591       1,696,460  

ITT Inc.

     8,120       570,186  

Lincoln Electric Holdings Inc.

     5,596       753,949  

Middleby Corp. (The)(a)

    5,248       807,615  

Nordson Corp.

     5,122       1,104,764  

Oshkosh Corp.

     6,355       587,456  

Otis Worldwide Corp.

     40,297       2,935,234  

PACCAR Inc.

     32,933       2,735,086  

Parker-Hannifin Corp.

     12,182       3,299,129  

Pentair PLC

     15,697       796,623  

Snap-on Inc.

     5,058       1,074,774  
 

 

 

34  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Machinery (continued)

    

Stanley Black & Decker Inc.

     15,447     $ 1,855,957  

Toro Co. (The)

     9,911       794,168  

Westinghouse Air Brake Technologies Corp.

     17,677       1,589,339  

Xylem Inc./NY

     17,104       1,376,872  
   

 

 

  
      31,991,074  
Media — 1.5%            

Cable One Inc.

     471       549,280  

DISH Network Corp., Class A(a)

    23,571       672,009  

Fox Corp., Class A, NVS

     29,914       1,072,118  

Fox Corp., Class B

     13,888       461,637  

Interpublic Group of Companies Inc. (The)

     37,287       1,216,302  

Liberty Broadband Corp., Class A(a)

    2,220       239,005  

Liberty Broadband Corp., Class C, NVS(a)

    13,397       1,498,053  

Liberty Media Corp.-Liberty SiriusXM, Class A(a)(b)

    7,526       314,813  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    15,063       630,838  

New York Times Co. (The), Class A

     15,757       603,808  

News Corp., Class A, NVS

     36,898       732,794  

News Corp., Class B

     11,309       225,162  

Omnicom Group Inc.

     19,818       1,508,744  

Paramount Global, Class A

     776       24,483  

Paramount Global, Class B, NVS

     57,531       1,675,303  

Sirius XM Holdings Inc.(b)

    86,169       517,014  
   

 

 

  
      11,941,363  
Metals & Mining — 1.2%            

Alcoa Corp.

     17,468       1,184,330  

Cleveland-Cliffs Inc.(a)

    45,314       1,155,054  

Nucor Corp.

     25,792       3,992,086  

Reliance Steel & Aluminum Co.

     5,959       1,181,372  

Steel Dynamics Inc.

     17,832       1,529,094  
   

 

 

  
      9,041,936  
Mortgage Real Estate Investment — 0.3%            

AGNC Investment Corp.

     49,432       542,763  

Annaly Capital Management Inc.

     138,023       886,108  

Starwood Property Trust Inc.

     28,931       661,941  
   

 

 

  
      2,090,812  
Multi-Utilities — 2.4%            

Ameren Corp.

     24,417       2,268,339  

CenterPoint Energy Inc.

     59,551       1,822,856  

CMS Energy Corp.

     27,478       1,887,464  

Consolidated Edison Inc.

     33,544       3,110,871  

DTE Energy Co.

     18,401       2,411,267  

NiSource Inc.

     37,162       1,082,157  

Public Service Enterprise Group Inc.

     47,950       3,340,197  

WEC Energy Group Inc.

     29,911       2,992,596  
   

 

 

  
          18,915,747  
Multiline Retail — 0.6%            

Dollar Tree Inc.(a)(b)

    21,331       3,465,221  

Kohl’s Corp.

     13,131       760,022  

Macy’s Inc.

     28,199       681,570  
   

 

 

  
      4,906,813  
Oil, Gas & Consumable Fuels — 5.6%            

APA Corp.

     34,551       1,414,172  

Cheniere Energy Inc.

     22,363       3,037,119  

Continental Resources Inc./OK

     5,480       304,523  

Coterra Energy Inc.

     77,096       2,219,594  

Devon Energy Corp.

     59,703       3,472,923  

Diamondback Energy Inc.

     16,149       2,038,488  

Hess Corp.

     26,139       2,694,147  
Security   Shares     Value  
Oil, Gas & Consumable Fuels (continued)            

Kinder Morgan Inc.

     184,912     $ 3,356,153  

Marathon Oil Corp.

     73,726       1,837,252  

Occidental Petroleum Corp.

     84,137       4,635,107  

ONEOK Inc.

     42,287       2,678,036  

Ovintiv Inc.

     24,832       1,271,150  

Phillips 66

     44,364       3,849,021  

Targa Resources Corp.

     21,680       1,591,529  

Texas Pacific Land Corp.

     587       802,194  

Valero Energy Corp.

     38,923       4,339,136  

Williams Companies Inc. (The)

     115,216       3,950,757  
   

 

 

  
      43,491,301  
Personal Products — 0.0%            

Olaplex Holdings Inc.(a)(b)

    6,781       99,681  
   

 

 

  
Pharmaceuticals — 0.9%            

Catalent Inc.(a)

    17,008       1,540,245  

Elanco Animal Health Inc.(a)

    44,808       1,134,091  

Jazz Pharmaceuticals PLC(a)

    5,846       936,646  

Organon & Co.

     24,086       778,700  

Royalty Pharma PLC, Class A

     33,792       1,438,863  

Viatris Inc.

     114,516       1,182,950  
   

 

 

  
      7,011,495  
Professional Services — 2.1%            

Booz Allen Hamilton Holding Corp.

     12,636       1,031,477  

Clarivate PLC(a)(b)

    37,997       595,793  

CoStar Group Inc.(a)

    37,450       2,382,569  

Dun & Bradstreet Holdings Inc.(a)

    14,394       227,281  

Equifax Inc.

     11,567       2,354,116  

Jacobs Engineering Group Inc.

     12,266       1,699,454  

Leidos Holdings Inc.

     13,313       1,378,029  

Nielsen Holdings PLC

     34,123       914,838  

Robert Half International Inc.

     10,369       1,019,376  

TransUnion

     18,198       1,592,689  

Verisk Analytics Inc.

     15,282       3,118,292  
   

 

 

  
          16,313,914  
Real Estate Management & Development — 0.6%        

CBRE Group Inc., Class A(a)

    31,735       2,635,274  

Jones Lang LaSalle Inc.(a)(b)

    4,800       1,049,904  

Opendoor Technologies Inc.(a)(b)

    36,329       253,940  

Zillow Group Inc., Class A(a)

    3,487       134,772  

Zillow Group Inc., Class C, NVS(a)(b)

    15,706       625,413  
   

 

 

  
      4,699,303  
Road & Rail — 1.0%            

AMERCO

     932       499,067  

Avis Budget Group Inc.(a)(b)

    3,812       1,020,358  

JB Hunt Transport Services Inc.

     7,974       1,362,358  

Knight-Swift Transportation Holdings Inc.

     15,661       750,005  

Lyft Inc., Class A(a)(b)

    28,346       924,080  

Old Dominion Freight Line Inc.

     8,829       2,473,179  

Saia Inc.(a)

    2,505       515,930  

TuSimple Holdings Inc., Class A(a)(b)

    3,219       33,381  

XPO Logistics Inc.(a)

    9,407       506,003  
   

 

 

  
      8,084,361  
Semiconductors & Semiconductor Equipment — 2.1%        

Enphase Energy Inc.(a)

    12,689       2,048,005  

Entegris Inc.

     12,847       1,431,027  

First Solar Inc.(a)

    9,346       682,538  

Lattice Semiconductor Corp.(a)

    13,024       625,673  

MKS Instruments Inc.

     5,223       595,318  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   35

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Semiconductors & Semiconductor Equipment (continued)

 

Monolithic Power Systems Inc.

     4,101     $ 1,608,576  

ON Semiconductor Corp.(a)(b)

    40,822       2,127,234  

Qorvo Inc.(a)

    10,271       1,168,634  

Skyworks Solutions Inc.

     15,585       1,765,781  

SolarEdge Technologies Inc.(a)

    4,986       1,248,544  

Teradyne Inc.

     15,428       1,627,037  

Universal Display Corp.

     4,083       521,522  

Wolfspeed Inc.(a)(b)

    11,708       1,073,741  
   

 

 

  
          16,523,630  
Software — 4.8%            

Anaplan Inc.(a)

    13,993       909,405  

ANSYS Inc.(a)

    8,272       2,280,508  

AppLovin Corp., Class A(a)(b)

    3,378       128,871  

Asana Inc., Class A(a)

    7,921       212,283  

Aspen Technology Inc.(a)

    6,309       1,000,229  

Avalara Inc.(a)

    8,267       628,871  

Bentley Systems Inc., Class B

     17,510       742,249  

Bill.com Holdings Inc.(a)(b)

    8,758       1,495,078  

Black Knight Inc.(a)

    14,772       971,850  

Braze Inc.(a)

    948       38,100  

Ceridian HCM Holding Inc.(a)

    12,953       727,052  

Citrix Systems Inc.

     11,790       1,180,179  

Coupa Software Inc.(a)

    7,044       607,897  

Cvent Holding Corp.(a)

    6,425       45,232  

Datadog Inc., Class A(a)

    24,389       2,945,703  

Digital Turbine Inc.(a)(b)

    8,364       264,721  

Dropbox Inc., Class A(a)

    26,846       583,900  

Dynatrace Inc.(a)

    18,785       720,593  

Elastic NV(a)

    6,910       526,127  

Fair Isaac Corp.(a)

    2,487       928,919  

Five9 Inc.(a)

    6,472       712,567  

Guidewire Software Inc.(a)(b)

    7,938       690,130  

HubSpot Inc.(a)(b)

    4,249       1,612,198  

Manhattan Associates Inc.(a)

    5,995       782,647  

NortonLifeLock Inc.

     55,084       1,379,303  

Paycom Software Inc.(a)

    4,569       1,286,036  

Paylocity Holding Corp.(a)

    3,768       714,526  

Pegasystems Inc.

     3,876       296,863  

PTC Inc.(a)

    10,004       1,142,557  

RingCentral Inc., Class A(a)

    7,810       662,678  

Samsara Inc.(a)(b)

    3,677       45,374  

Smartsheet Inc., Class A(a)(b)

    11,980       578,993  

Splunk Inc.(a)

    15,088       1,841,038  

Trade Desk Inc. (The), Class A(a)

    41,351       2,436,401  

Tyler Technologies Inc.(a)(b)

    3,881       1,531,870  

UiPath Inc., Class A(a)

    25,344       451,884  

Unity Software Inc.(a)(b)

    15,544       1,032,277  

VMware Inc., Class A

     19,170       2,071,127  

Zendesk Inc.(a)(b)

    11,567       1,411,637  
   

 

 

  
      37,617,873  
Specialty Retail — 2.7%            

Advance Auto Parts Inc.

     5,910       1,179,813  

AutoNation Inc.(a)(b)

    3,803       440,806  

AutoZone Inc.(a)

    1,956       3,824,899  

Bath & Body Works Inc.

     24,406       1,290,833  

Best Buy Co. Inc.

     20,568       1,849,680  

Burlington Stores Inc.(a)

    6,319       1,286,296  

CarMax Inc.(a)(b)

    15,331       1,315,093  

Carvana Co., Class A(a)

    9,423       546,157  
Security   Shares     Value  

Specialty Retail (continued)

    

Five Below Inc.(a)

    5,294     $ 831,687  

Floor & Decor Holdings Inc., Class A(a)

    10,042       800,548  

GameStop Corp., Class A(a)(b)

    5,874       734,661  

Gap Inc. (The)

     19,954       247,829  

Lithia Motors Inc.

     2,865       811,168  

Penske Automotive Group Inc.

     2,903       304,293  

RH(a)

    1,649       554,262  

Tractor Supply Co.

     10,789       2,173,444  

Ulta Beauty, Inc.(a)

    5,141       2,039,949  

Williams-Sonoma Inc.

     6,905       900,964  
   

 

 

  
          21,132,382  
Technology Hardware, Storage & Peripherals — 1.5%        

Dell Technologies Inc., Class C

     27,582       1,296,630  

Hewlett Packard Enterprise Co.

     122,900       1,893,889  

HP Inc.

     102,669       3,760,765  

NetApp Inc.

     21,109       1,546,234  

Seagate Technology Holdings PLC

     19,097       1,566,718  

Western Digital Corp.(a)

    29,624       1,572,146  
   

 

 

  
      11,636,382  
Textiles, Apparel & Luxury Goods — 0.7%            

Capri Holdings Ltd.(a)

    13,909       663,459  

Crocs Inc.(a)

    5,598       371,875  

Deckers Outdoor Corp.(a)

    2,580       685,635  

PVH Corp.

     6,675       485,807  

Tapestry Inc.

     24,934       820,827  

Under Armour Inc., Class A(a)

    18,070       277,555  

Under Armour Inc., Class C, NVS(a)

    20,456       290,271  

VF Corp.

     30,644       1,593,488  
   

 

 

  
      5,188,917  
Trading Companies & Distributors — 1.1%            

Fastenal Co.

     54,577       3,018,654  

SiteOne Landscape Supply Inc.(a)

    4,247       598,954  

United Rentals Inc.(a)

    6,857       2,170,378  

Watsco Inc.

     3,137       836,889  

WW Grainger Inc.

     4,100       2,050,123  
   

 

 

  
      8,674,998  
Water Utilities — 0.5%            

American Water Works Co. Inc.

     17,214       2,652,333  

Essential Utilities Inc.

     21,868       978,812  
   

 

 

  
      3,631,145  
   

 

 

  

Total Common Stocks — 99.9%
(Cost: $760,217,319)

       781,949,187  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 4.8%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    36,799,614       36,799,614  
 

 

 

36  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Money Market Funds (continued)

    

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    1,172,000     $ 1,172,000  
   

 

 

  
      37,971,614  
   

 

 

  

Total Short-Term Investments — 4.8%
(Cost: $37,963,588)

 

     37,971,614  
   

 

 

  

Total Investments in Securities — 104.7%
(Cost: $798,180,907)

 

     819,920,801  

Other Assets, Less Liabilities — (4.7)%

       (36,924,750 ) 
   

 

 

  

Net Assets — 100.0%

     $   782,996,051  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain

Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 29,118,740     $ 7,691,765 (a)    $ —     $ (21,222 )    $ 10,331     $ 36,799,614       36,799,614     $ 84,700 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     1,432,000       —       (260,000 )(a)      —       —       1,172,000       1,172,000       746       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (21,222 )    $ 10,331     $ 37,971,614       $ 85,446     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

S&P 500 E-Mini Index

     2       06/17/22     $ 413     $ (27,117 ) 

S&P Mid 400 E-Mini Index

     2       06/17/22       499       (51,894 ) 
       

 

 

  
        $ (79,011 ) 
       

 

 

  
       

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 79,011  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   37

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Mid-Cap ETF

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    

Equity

Contracts

  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ (160,486 ) 
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (136,290 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 1,668,062      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 781,949,187     $ —      $ —      $ 781,949,187  

Money Market Funds

     37,971,614       —        —        37,971,614  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 819,920,801     $ —      $ —      $ 819,920,801  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

         

Liabilities

          

Futures Contracts

   $ (79,011 )    $ —      $ —      $ (79,011 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

38  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® Morningstar Mid-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Aerospace & Defense — 2.4%            

Axon Enterprise Inc.(a)

    20,625     $ 2,314,125  

HEICO Corp.

     12,804       1,808,309  

HEICO Corp., Class A

     22,621       2,638,513  

Howmet Aerospace Inc.

     114,534       3,907,900  

Huntington Ingalls Industries Inc.

     5,024       1,068,806  

Textron Inc.

     45,689       3,163,963  

TransDigm Group Inc.(a)

    15,902       9,458,669  

Woodward Inc.

     12,141       1,341,338  
   

 

 

  
      25,701,623  
Air Freight & Logistics — 0.5%            

CH Robinson Worldwide Inc.

     13,840       1,469,116  

Expeditors International of Washington Inc.

     29,193       2,892,151  

GXO Logistics Inc.(a)

    19,439       1,150,594  
   

 

 

  
      5,511,861  
Auto Components — 0.2%            

Gentex Corp.

     33,464       982,168  

Lear Corp.

     9,860       1,261,489  
   

 

 

  
      2,243,657  
Banks — 1.7%            

First Republic Bank/CA

     38,595       5,759,146  

Regions Financial Corp.

     135,579       2,809,197  

Signature Bank/New York NY

     11,333       2,745,419  

SVB Financial Group(a)

    11,236       5,479,123  

Western Alliance Bancorp.

     16,930       1,288,542  
   

 

 

  
      18,081,427  
Beverages — 0.4%            

Brown-Forman Corp., Class A

     16,765       1,046,471  

Brown-Forman Corp., Class B, NVS

     55,049       3,712,505  
   

 

 

  
      4,758,976  
Biotechnology — 3.2%            

Alnylam Pharmaceuticals Inc.(a)(b)

    36,281       4,840,974  

BioMarin Pharmaceutical Inc.(a)

    55,461       4,511,752  

Bridgebio Pharma Inc.(a)(b)

    32,270       258,805  

Exact Sciences Corp.(a)(b)

    52,330       2,880,766  

Horizon Therapeutics PLC(a)

    68,452       6,746,629  

Incyte Corp.(a)

    56,775       4,255,854  

Intellia Therapeutics Inc.(a)

    20,950       1,027,179  

Mirati Therapeutics Inc.(a)

    9,729       601,155  

Natera Inc.(a)(b)

    26,718       938,336  

Neurocrine Biosciences Inc.(a)

    28,631       2,577,649  

Novavax Inc.(a)(b)

    10,399       468,683  

Seagen Inc.(a)

    40,452       5,299,617  
   

 

 

  
          34,407,399  
Building Products — 1.4%            

A O Smith Corp.

     22,411       1,309,475  

Advanced Drainage Systems Inc.

     17,117       1,753,808  

Allegion PLC

     14,139       1,615,239  

Carlisle Companies Inc.

     9,651       2,503,083  

Fortune Brands Home & Security Inc.

     20,454       1,457,348  

Lennox International Inc.

     6,127       1,306,215  

Masco Corp.

     37,484       1,975,032  

Owens Corning

     13,350       1,213,916  

Trex Co. Inc.(a)

    34,680       2,018,029  
   

 

 

  
      15,152,145  
Capital Markets — 2.6%            

Ares Management Corp., Class A

     50,644       3,353,646  

Carlyle Group Inc. (The)

     42,000       1,524,180  
Security   Shares     Value  

Capital Markets (continued)

    

FactSet Research Systems Inc.

     11,408     $ 4,603,014  

LPL Financial Holdings Inc.

     24,211       4,548,521  

MarketAxess Holdings Inc.

     11,458       3,020,443  

Morningstar Inc.

     7,140       1,808,062  

Nasdaq Inc.

     22,608       3,557,821  

Raymond James Financial Inc.

     31,034       3,024,574  

SEI Investments Co.

     15,058       839,032  

Tradeweb Markets Inc., Class A

     31,729       2,258,787  
   

 

 

  
          28,538,080  
Chemicals — 2.2%            

Albemarle Corp.

     35,302       6,807,285  

Axalta Coating Systems Ltd.(a)(b)

    34,163       866,715  

Celanese Corp.

     17,392       2,555,581  

Corteva Inc.

     113,391       6,541,527  

Olin Corp.

     21,613       1,240,586  

PPG Industries Inc.

     30,770       3,938,252  

RPM International Inc.

     12,367       1,025,224  

Scotts Miracle-Gro Co. (The)

     6,017       625,347  

Westlake Corp.

     5,619       711,084  
   

 

 

  
      24,311,601  
Commercial Services & Supplies — 1.5%            

Copart Inc.(a)

    64,424       7,321,788  

IAA Inc.(a)

    25,316       927,831  

Republic Services Inc.

     29,910       4,016,016  

Rollins Inc.

     68,307       2,291,017  

Tetra Tech Inc.

     16,298       2,269,985  
   

 

 

  
      16,826,637  
Communications Equipment — 1.5%            

Arista Networks Inc.(a)

    67,697       7,823,742  

Ciena Corp.(a)

    20,127       1,110,407  

F5 Inc.(a)

    8,461       1,416,456  

Motorola Solutions Inc.

     26,714       5,708,515  
   

 

 

  
      16,059,120  
Construction & Engineering — 0.4%            

AECOM

     22,373       1,578,639  

Quanta Services Inc.(b)

    20,116       2,333,054  
   

 

 

  
      3,911,693  
Construction Materials — 1.0%            

Martin Marietta Materials Inc.

     12,078       4,278,269  

Vulcan Materials Co.

     40,047       6,899,698  
   

 

 

  
      11,177,967  
Consumer Finance — 0.8%            

Ally Financial Inc.

     46,668       1,864,853  

Credit Acceptance Corp.(a)(b)

    1,628       834,350  

Discover Financial Services

     36,910       4,150,899  

SoFi Technologies Inc.(a)(b)

    194,969       1,193,210  

Upstart Holdings Inc.(a)(b)

    14,880       1,116,298  
   

 

 

  
      9,159,610  
Containers & Packaging — 0.9%            

AptarGroup Inc.

     7,929       910,487  

Avery Dennison Corp.

     17,321       3,128,173  

Ball Corp.

     67,206       5,454,439  
   

 

 

  
      9,493,099  
Distributors — 0.6%            

LKQ Corp.

     42,107       2,089,770  

Pool Corp.

     12,099       4,902,757  
   

 

 

  
      6,992,527  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   39

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Diversified Consumer Services — 0.4%

    

Bright Horizons Family Solutions Inc.(a)

    18,219     $ 2,081,338  

Chegg Inc.(a)

    41,285       1,021,391  

Service Corp. International

     23,287       1,527,860  
   

 

 

  
      4,630,589  
Diversified Financial Services — 0.4%            

Apollo Global Management Inc.

     79,572       3,959,503  

Voya Financial Inc.

     14,874       939,144  
   

 

 

  
      4,898,647  
Electric Utilities — 0.1%            

NRG Energy Inc.

     32,030       1,149,877  
   

 

 

  
Electrical Equipment — 1.8%            

AMETEK Inc.

     38,566       4,869,343  

Generac Holdings Inc.(a)

    19,042       4,177,434  

Hubbell Inc.

     5,703       1,114,138  

Plug Power Inc.(a)

    93,793       1,971,529  

Rockwell Automation Inc.

     23,670       5,980,699  

Sunrun Inc.(a)(b)

    41,789       834,944  

Vertiv Holdings Co.

     91,978       1,152,484  
   

 

 

  
      20,100,571  
Electronic Equipment, Instruments & Components — 3.4%  

CDW Corp./DE

     25,063       4,089,780  

Cognex Corp.

     53,257       3,601,771  

Corning Inc.

     103,463       3,640,863  

IPG Photonics Corp.(a)(b)

    10,732       1,013,959  

Keysight Technologies Inc.(a)

    55,240       7,748,515  

Teledyne Technologies Inc.(a)

    14,082       6,077,087  

Trimble Inc.(a)(b)

    75,781       5,054,593  

Zebra Technologies Corp., Class A(a)

    16,017       5,920,844  
   

 

 

  
          37,147,412  
Energy Equipment & Services — 0.9%            

Baker Hughes Co.

     129,499       4,017,059  

Halliburton Co.

     150,461       5,359,421  
   

 

 

  
      9,376,480  
Entertainment — 1.2%            

AMC Entertainment Holdings Inc., Class A(a)(b)

    66,438       1,016,501  

Liberty Media Corp.-Liberty Formula One, Class A(a)

    4,418       253,681  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)(b)

    39,973       2,491,517  

Live Nation Entertainment Inc.(a)

    12,653       1,327,047  

Playtika Holding Corp.(a)

    16,658       292,848  

Roku Inc.(a)(b)

    35,460       3,294,234  

Take-Two Interactive Software Inc.(a)

    24,951       2,981,894  

Zynga Inc., Class A(a)

    162,051       1,340,162  
   

 

 

  
      12,997,884  
Equity Real Estate Investment Trusts (REITs) — 7.9%  

Alexandria Real Estate Equities Inc.

     24,779       4,513,743  

American Homes 4 Rent, Class A

     56,294       2,229,805  

Americold Realty Trust

     33,268       877,610  

AvalonBay Communities Inc.

     13,797       3,138,542  

Camden Property Trust

     13,344       2,093,540  

CubeSmart

     38,649       1,836,214  

Duke Realty Corp.

     114,935       6,292,691  

Equity LifeStyle Properties Inc.

     32,455       2,508,122  

Equity Residential

     35,611       2,902,297  

Essex Property Trust Inc.

     7,163       2,358,561  

Extra Space Storage Inc.

     24,428       4,641,320  

Federal Realty Investment Trust

     9,840       1,151,870  

Healthpeak Properties Inc.

     51,577       1,692,241  
Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

Host Hotels & Resorts Inc.(b)

    75,819     $ 1,542,917  

Invitation Homes Inc.

     180,099       7,171,542  

Kilroy Realty Corp.

     17,537       1,227,590  

Lamar Advertising Co., Class A

     8,933       986,293  

Life Storage Inc.

     14,955       1,981,388  

Mid-America Apartment Communities Inc.

     16,640       3,272,755  

Realty Income Corp.

     59,718       4,142,041  

Regency Centers Corp.

     17,097       1,176,787  

Rexford Industrial Realty Inc.

     48,435       3,779,867  

SBA Communications Corp.

     32,831       11,395,968  

STORE Capital Corp.

     22,560       641,381  

Sun Communities Inc.

     34,998       6,144,599  

UDR Inc.

     39,126       2,081,894  

Vornado Realty Trust

     16,525       639,683  

Welltower Inc.

     44,372       4,029,421  
   

 

 

  
          86,450,682  
Food Products — 1.0%            

Darling Ingredients Inc.(a)

    21,576       1,583,463  

Hershey Co. (The)

     23,164       5,229,736  

Lamb Weston Holdings Inc.

     18,995       1,255,570  

McCormick & Co. Inc./MD, NVS

     30,316       3,048,880  
   

 

 

  
      11,117,649  
Health Care Equipment & Supplies — 5.0%            

ABIOMED Inc.(a)

    13,743       3,938,469  

Baxter International Inc.

     65,333       4,642,563  

Cooper Companies Inc. (The)

     14,876       5,370,831  

DENTSPLY SIRONA Inc.

     38,689       1,547,173  

Hologic Inc.(a)(b)

    44,627       3,212,698  

Insulet Corp.(a)

    20,815       4,974,577  

Masimo Corp.(a)

    15,345       1,733,525  

Novocure Ltd.(a)(b)

    26,978       2,065,975  

Penumbra Inc.(a)

    10,603       1,829,654  

ResMed Inc.

     44,134       8,825,476  

STERIS PLC

     30,219       6,770,567  

Tandem Diabetes Care Inc.(a)(b)

    19,196       1,852,030  

Teleflex Inc.

     14,144       4,039,809  

Zimmer Biomet Holdings Inc.

     25,823       3,118,127  
   

 

 

  
      53,921,474  
Health Care Providers & Services — 0.7%            

agilon health Inc.(a)(b)

    14,194       252,227  

Chemed Corp.

     2,411       1,184,741  

Guardant Health Inc.(a)

    30,724       1,895,671  

Molina Healthcare Inc.(a)(b)

    10,213       3,201,265  

Oak Street Health Inc.(a)(b)

    41,962       759,093  
   

 

 

  
      7,292,997  
Health Care Technology — 0.4%            

Cerner Corp.

     37,658       3,526,295  

Teladoc Health Inc.(a)(b)

    18,696       631,177  
   

 

 

  
      4,157,472  
Hotels, Restaurants & Leisure — 3.7%            

Caesars Entertainment Inc.(a)(b)

    64,513       4,275,922  

Churchill Downs Inc.

     10,367       2,103,879  

Darden Restaurants Inc.

     12,398       1,633,188  

Domino’s Pizza Inc.

     10,993       3,715,634  

DraftKings Inc., Class A(a)(b)

    100,401       1,373,486  

Hilton Worldwide Holdings Inc.(a)

    84,114       13,062,063  

MGM Resorts International

     43,606       1,789,590  

Penn National Gaming Inc.(a)(b)

    50,142       1,833,693  

Vail Resorts Inc.

     12,231       3,108,631  
 

 

 

40  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Hotels, Restaurants & Leisure (continued)

    

Yum! Brands Inc.

     60,765     $ 7,110,113  
   

 

 

  
      40,006,199  
Household Durables — 1.1%            

DR Horton Inc.

     52,599       3,660,365  

Garmin Ltd.

     25,241       2,769,947  

NVR Inc.(a)

    536       2,345,649  

Tempur Sealy International Inc.

     57,994       1,572,217  

TopBuild Corp.(a)

    9,921       1,797,090  
   

 

 

  
      12,145,268  
Household Products — 0.3%            

Church & Dwight Co. Inc.

     36,752       3,585,525  
   

 

 

  
Insurance — 2.6%            

Alleghany Corp.(a)

    2,097       1,754,141  

Arch Capital Group Ltd.(a)

    56,993       2,602,870  

Arthur J Gallagher & Co.

     40,239       6,779,869  

Brown & Brown Inc.

     70,788       4,387,440  

Cincinnati Financial Corp.

     25,385       3,113,724  

Erie Indemnity Co., Class A, NVS

     4,065       651,538  

Everest Re Group Ltd.

     5,563       1,528,212  

First American Financial Corp.

     13,915       811,384  

W R Berkley Corp.

     40,027       2,661,395  

Willis Towers Watson PLC

     16,535       3,552,710  
   

 

 

  
          27,843,283  
Interactive Media & Services — 0.8%            

IAC/InterActiveCorp.(a)

    13,682       1,133,964  

Pinterest Inc., Class A(a)(b)

    171,874       3,526,855  

ZoomInfo Technologies Inc.(a)

    91,313       4,328,236  
   

 

 

  
      8,989,055  
Internet & Direct Marketing Retail — 0.6%            

Chewy Inc., Class A(a)(b)

    26,849       780,232  

Etsy Inc.(a)(b)

    38,282       3,567,500  

Wayfair Inc., Class A(a)(b)

    23,532       1,810,552  
   

 

 

  
      6,158,284  
IT Services — 4.7%            

Affirm Holdings Inc.(a)(b)

    48,864       1,402,397  

Akamai Technologies Inc.(a)(b)

    20,601       2,313,080  

Broadridge Financial Solutions Inc.

     24,259       3,496,450  

Concentrix Corp.

     8,867       1,396,375  

DigitalOcean Holdings Inc.(a)(b)

    5,265       207,599  

EPAM Systems Inc.(a)

    17,115       4,535,304  

FleetCor Technologies Inc.(a)

    12,072       3,012,205  

Gartner Inc.(a)

    24,819       7,211,160  

Genpact Ltd.

     27,549       1,109,398  

GoDaddy Inc., Class A(a)

    50,289       4,063,854  

Jack Henry & Associates Inc.

     11,814       2,239,698  

MongoDB Inc., Class A(a)

    20,143       7,149,355  

Okta Inc.(a)(b)

    44,826       5,348,190  

SS&C Technologies Holdings Inc.

     27,806       1,797,936  

Thoughtworks Holding Inc.(a)(b)

    10,994       203,499  

VeriSign Inc.(a)

    29,166       5,211,673  
   

 

 

  
      50,698,173  
Leisure Products — 0.6%            

Brunswick Corp./DE

     11,100       839,271  

Hasbro Inc.

     22,264       1,960,568  

Mattel Inc.(a)

    34,278       833,298  

Peloton Interactive Inc., Class A(a)

    91,289       1,603,035  
Security   Shares     Value  

Leisure Products (continued)

    

YETI Holdings Inc.(a)(b)

    26,534     $ 1,296,716  
   

 

 

  
      6,532,888  
Life Sciences Tools & Services — 4.5%            

10X Genomics Inc., Class A(a)(b)

    27,592       1,317,794  

Avantor Inc.(a)

    183,927       5,863,593  

Azenta Inc.

     22,601       1,694,171  

Bio-Rad Laboratories Inc., Class A(a)

    6,533       3,345,288  

Bio-Techne Corp.

     11,854       4,500,845  

Bruker Corp.

     30,612       1,759,884  

Charles River Laboratories International Inc.(a)(b)

    15,205       3,672,160  

Mettler-Toledo International Inc.(a)(b)

    6,939       8,864,781  

PerkinElmer Inc.

     16,746       2,455,131  

Repligen Corp.(a)

    15,491       2,435,805  

Syneos Health Inc., Class A(a)(b)

    12,789       934,748  

Waters Corp.(a)

    18,420       5,581,628  

West Pharmaceutical Services Inc.

     22,359       7,044,426  
   

 

 

  
      49,470,254  
Machinery — 4.5%            

AGCO Corp.

     8,956       1,140,994  

Donaldson Co. Inc.

     15,770       773,361  

Dover Corp.

     24,159       3,220,395  

Fortive Corp.

     62,229       3,578,168  

Graco Inc.

     51,374       3,186,215  

IDEX Corp.

     22,966       4,359,406  

Ingersoll Rand Inc.

     82,268       3,616,501  

ITT Inc.

     17,865       1,254,480  

Lincoln Electric Holdings Inc.

     8,792       1,184,546  

Middleby Corp. (The)(a)(b)

    9,039       1,391,012  

Nordson Corp.

     16,337       3,523,728  

Otis Worldwide Corp.

     63,288       4,609,898  

PACCAR Inc.

     44,341       3,682,520  

Parker-Hannifin Corp.

     14,896       4,034,135  

Pentair PLC

     32,297       1,639,073  

Stanley Black & Decker Inc.

     16,209       1,947,511  

Toro Co. (The)

     20,581       1,649,156  

Xylem Inc./NY

     54,419       4,380,729  
   

 

 

  
          49,171,828  
Media — 1.0%            

Cable One Inc.

     895       1,043,749  

Liberty Broadband Corp., Class A(a)(b)

    7,020       755,773  

Liberty Broadband Corp., Class C, NVS(a)

    42,696       4,774,267  

Liberty Media Corp.-Liberty SiriusXM,
Class A(a)(b)

    13,287       555,795  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    26,921       1,127,452  

New York Times Co. (The), Class A

     50,335       1,928,837  

Sirius XM Holdings Inc.(b)

    107,389       644,334  
   

 

 

  
      10,830,207  
Metals & Mining — 0.6%            

Nucor Corp.

     39,522       6,117,215  
   

 

 

  
Oil, Gas & Consumable Fuels — 2.7%            

Cheniere Energy Inc.

     71,175       9,666,277  

Hess Corp.

     36,337       3,745,255  

Occidental Petroleum Corp.

     111,252       6,128,873  

Targa Resources Corp.

     38,181       2,802,867  

Texas Pacific Land Corp.

     1,873       2,559,642  

Valero Energy Corp.

     40,974       4,567,781  
   

 

 

  
      29,470,695  
Personal Products — 0.0%            

Olaplex Holdings Inc.(a)

    21,419       314,859  
   

 

 

  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   41

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Pharmaceuticals — 0.8%

    

Catalent Inc.(a)

    54,062     $ 4,895,855  

Elanco Animal Health Inc.(a)

    142,972       3,618,621  
   

 

 

  
      8,514,476  
Professional Services — 3.4%            

Booz Allen Hamilton Holding Corp.

     14,073       1,148,779  

Clarivate PLC(a)(b)

    70,557       1,106,334  

CoStar Group Inc.(a)

    119,187       7,582,677  

Dun & Bradstreet Holdings Inc.(a)(b)

    15,368       242,661  

Equifax Inc.

     36,819       7,493,403  

Jacobs Engineering Group Inc.

     15,147       2,098,617  

Robert Half International Inc.

     22,100       2,172,651  

TransUnion

     57,832       5,061,456  

Verisk Analytics Inc.

     48,638       9,924,584  
   

 

 

  
          36,831,162  
Real Estate Management & Development — 0.7%  

CBRE Group Inc., Class A(a)

    46,990       3,902,049  

Opendoor Technologies Inc.(a)(b)

    117,373       820,437  

Zillow Group Inc., Class A(a)(b)

    11,061       427,508  

Zillow Group Inc., Class C, NVS(a)(b)

    50,174       1,997,929  
   

 

 

  
      7,147,923  
Road & Rail — 1.9%            

AMERCO

     1,781       953,690  

Avis Budget Group Inc.(a)

    6,006       1,607,626  

JB Hunt Transport Services Inc.

     25,369       4,334,294  

Knight-Swift Transportation Holdings Inc.

     21,076       1,009,330  

Lyft Inc., Class A(a)

    90,191       2,940,226  

Old Dominion Freight Line Inc.

     28,113       7,875,013  

Saia Inc.(a)

    7,935       1,634,293  

XPO Logistics Inc.(a)

    9,283       499,332  
   

 

 

  
      20,853,804  
Semiconductors & Semiconductor Equipment — 4.2%  

Enphase Energy Inc.(a)

    40,421       6,523,949  

Entegris Inc.(b)

    40,910       4,556,965  

First Solar Inc.(a)

    12,961       946,542  

Lattice Semiconductor Corp.(a)

    41,327       1,985,349  

MKS Instruments Inc.

     9,752       1,111,533  

Monolithic Power Systems Inc.

     13,075       5,128,538  

ON Semiconductor Corp.(a)

    130,020       6,775,342  

Qorvo Inc.(a)

    19,030       2,165,233  

Skyworks Solutions Inc.

     35,187       3,986,687  

SolarEdge Technologies Inc.(a)

    15,851       3,969,249  

Teradyne Inc.

     49,200       5,188,632  

Universal Display Corp.

     13,099       1,673,135  

Wolfspeed Inc.(a)(b)

    15,519       1,423,248  
   

 

 

  
      45,434,402  
Software — 9.9%            

Anaplan Inc.(a)

    44,492       2,891,535  

ANSYS Inc.(a)

    26,332       7,259,469  

AppLovin Corp., Class A(a)(b)

    10,649       406,259  

Asana Inc., Class A(a)

    25,015       670,402  

Aspen Technology Inc.(a)(b)

    20,133       3,191,886  

Avalara Inc.(a)

    26,229       1,995,240  

Bentley Systems Inc., Class B

     55,459       2,350,907  

Bill.com Holdings Inc.(a)(b)

    27,822       4,749,494  

Black Knight Inc.(a)

    27,020       1,777,646  

Ceridian HCM Holding Inc.(a)

    41,217       2,313,510  

Citrix Systems Inc.

     13,634       1,364,763  

Coupa Software Inc.(a)

    22,500       1,941,750  

Datadog Inc., Class A(a)

    77,622       9,375,185  
Security   Shares     Value  

Software (continued)

    

Digital Turbine Inc.(a)(b)

    26,705     $ 845,213  

Dropbox Inc., Class A(a)

    85,263       1,854,470  

Dynatrace Inc.(a)

    59,592       2,285,949  

Elastic NV(a)

    21,958       1,671,882  

Fair Isaac Corp.(a)

    7,931       2,962,308  

Five9 Inc.(a)

    20,550       2,262,555  

Guidewire Software Inc.(a)(b)

    11,464       996,680  

HubSpot Inc.(a)

    13,547       5,140,138  

Manhattan Associates Inc.(a)

    19,098       2,493,244  

Paycom Software Inc.(a)

    14,534       4,090,885  

Paylocity Holding Corp.(a)

    11,994       2,274,422  

Pegasystems Inc.

     12,271       939,836  

PTC Inc.(a)

    31,781       3,629,708  

RingCentral Inc., Class A(a)(b)

    24,734       2,098,680  

Smartsheet Inc., Class A(a)

    38,329       1,852,441  

Splunk Inc.(a)

    47,922       5,847,442  

Trade Desk Inc. (The), Class A(a)(b)

    131,603       7,754,049  

Tyler Technologies Inc.(a)

    12,371       4,882,957  

UiPath Inc., Class A(a)

    80,038       1,427,078  

Unity Software Inc.(a)(b)

    49,490       3,286,631  

VMware Inc., Class A

     39,844       4,304,746  

Zendesk Inc.(a)

    36,694       4,478,136  
   

 

 

  
          107,667,496  
Specialty Retail — 3.6%            

Advance Auto Parts Inc.

     8,044       1,605,824  

AutoZone Inc.(a)

    2,646       5,174,174  

Bath & Body Works Inc.

     50,897       2,691,942  

Burlington Stores Inc.(a)

    20,165       4,104,787  

CarMax Inc.(a)

    28,620       2,455,023  

Carvana Co., Class A(a)

    29,982       1,737,757  

Five Below Inc.(a)(b)

    16,908       2,656,247  

Floor & Decor Holdings Inc., Class A(a)(b)

    31,806       2,535,574  

GameStop Corp., Class A(a)(b)

    7,680       960,538  

Lithia Motors Inc.

     4,751       1,345,151  

RH(a)

    5,262       1,768,663  

Tractor Supply Co.

     21,193       4,269,330  

Ulta Beauty, Inc.(a)

    16,335       6,481,728  

Williams-Sonoma Inc.

     9,458       1,234,080  
   

 

 

  
      39,020,818  
Technology Hardware, Storage & Peripherals — 0.2%  

NetApp Inc.

     28,517       2,088,870  
   

 

 

  
Textiles, Apparel & Luxury Goods — 0.9%            

Capri Holdings Ltd.(a)

    15,952       760,910  

Crocs Inc.(a)

    17,834       1,184,713  

Deckers Outdoor Corp.(a)

    8,208       2,181,276  

Under Armour Inc., Class A(a)

    19,336       297,001  

Under Armour Inc., Class C, NVS(a)

    22,048       312,861  

VF Corp.

     97,415       5,065,580  
   

 

 

  
      9,802,341  
Trading Companies & Distributors — 1.4%            

Fastenal Co.

     86,847       4,803,508  

SiteOne Landscape Supply Inc.(a)(b)

    13,511       1,905,456  

United Rentals Inc.(a)

    12,556       3,974,225  

Watsco Inc.

     5,462       1,457,152  

WW Grainger Inc.

     6,526       3,263,196  
   

 

 

  
      15,403,537  
Water Utilities — 0.6%            

American Water Works Co. Inc.

     28,726       4,426,102  
 

 

 

42  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Water Utilities (continued)

    

Essential Utilities Inc.

     37,338     $ 1,671,249  
   

 

 

  
      6,097,351  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $1,205,409,531)

       1,085,765,069  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 7.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    76,809,658       76,809,658  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    1,250,000       1,250,000  
   

 

 

  
      78,059,658  
   

 

 

  

Total Short-Term Investments — 7.2%
(Cost: $78,040,508)

 

     78,059,658  
   

 

 

  

Total Investments in Securities — 107.0%
(Cost: $1,283,450,039)

 

       1,163,824,727  

Other Assets, Less Liabilities — (7.0)%

       (76,543,236 ) 
   

 

 

  

Net Assets — 100.0%

     $ 1,087,281,491  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		     Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		      Value at
04/30/22 		     Shares
Held at
04/30/22 		     Income    

Capital

Gain
Distributions
from
Underlying
Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 70,250,412      $ 6,593,381 (a)    $ —     $ (39,335 )    $ 5,200      $ 76,809,658        76,809,658      $ 138,952 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     2,690,000        —       (1,440,000 )(a)      —       —        1,250,000        1,250,000        860       —  
        

 

 

    

 

 

     

 

 

        

 

 

    

 

 

  
         $ (39,335 )    $ 5,200      $ 78,059,658         $ 139,812     $ —  
        

 

 

    

 

 

     

 

 

        

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts 		     Expiration
Date 		     Notional
Amount
(000) 		     Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

           

E-Mini Technology Select Sector Index

     3        06/17/22      $ 427      $ (15,097 ) 

Russell 2000 E-Mini Index

     9        06/17/22        838        (61,734 ) 
          

 

 

  
           $ (76,831 ) 
          

 

 

  

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   43

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Mid-Cap Growth ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

  $ 76,831   
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

  

Futures contracts

   $ (68,643 ) 
 

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

  

Futures contracts

   $ (129,761 ) 
 

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

  

Average notional value of contracts — long

   $ 1,558,170      

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                                   

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 1,085,765,069     $ —      $ —      $ 1,085,765,069   

Money Market Funds

     78,059,658       —        —        78,059,658  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 1,163,824,727     $ —      $ —      $ 1,163,824,727  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

         

Liabilities

          

Futures Contracts

   $ (76,831 )    $ —      $ —      $ (76,831 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

44  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Aerospace & Defense — 0.3%            

Huntington Ingalls Industries Inc.

     2,522     $ 536,530  

Textron Inc.

     7,434       514,805  

Woodward Inc.

     2,478       273,769  
   

 

 

  
      1,325,104  
Air Freight & Logistics — 0.4%            

CH Robinson Worldwide Inc.

     9,078       963,630  

Expeditors International of Washington Inc.

     7,808       773,538  

GXO Logistics Inc.(a)(b)

    3,714       219,832  
   

 

 

  
      1,957,000  
Airlines — 1.8%            

American Airlines Group Inc.(a)

    69,764       1,309,470  

Delta Air Lines Inc.(a)

    68,933       2,966,187  

Southwest Airlines Co.(a)

    63,798       2,980,643  

United Airlines Holdings Inc.(a)

    34,877       1,761,288  
   

 

 

  
      9,017,588  
Auto Components — 0.5%            

Autoliv Inc.

     8,477       624,585  

BorgWarner Inc.

     25,825       951,135  

Gentex Corp.

     13,513       396,607  

Lear Corp.

     2,912       372,561  
   

 

 

  
      2,344,888  
Banks — 4.5%            

Citizens Financial Group Inc.

     53,298       2,099,941  

Comerica Inc.

     14,075       1,152,743  

Commerce Bancshares Inc.

     11,903       813,808  

Cullen/Frost Bankers Inc.

     6,138       811,996  

East West Bancorp. Inc.

     15,283       1,089,678  

Fifth Third Bancorp.

     73,644       2,763,859  

First Horizon Corp.

     57,516       1,287,208  

First Republic Bank/CA

     5,534       825,784  

Huntington Bancshares Inc./OH

     154,853       2,036,317  

KeyCorp.

     100,043       1,931,830  

M&T Bank Corp.

     19,301       3,216,319  

Regions Financial Corp.

     53,002       1,098,201  

Signature Bank/New York NY

     2,717       658,193  

SVB Financial Group(a)

    2,318       1,130,350  

Western Alliance Bancorp.

     5,427       413,049  

Zions Bancorp. NA

     16,332       922,921  
   

 

 

  
          22,252,197  
Beverages — 0.2%            

Molson Coors Beverage Co., Class B

     20,291       1,098,555  
   

 

 

  
Biotechnology — 0.2%            

Mirati Therapeutics Inc.(a)

    1,912       118,142  

Novavax Inc.(a)(b)

    4,436       199,931  

United Therapeutics Corp.(a)

    4,851       861,344  
   

 

 

  
      1,179,417  
Building Products — 1.0%            

A O Smith Corp.

     6,167       360,338  

Allegion PLC

     4,602       525,733  

Builders FirstSource Inc.(a)

    20,625       1,269,881  

Carlisle Companies Inc.

     2,176       564,367  

Fortune Brands Home & Security Inc.

     7,339       522,904  

Lennox International Inc.

     1,434       305,714  

Masco Corp.

     12,404       653,567  

Owens Corning

     6,080       552,854  
   

 

 

  
      4,755,358  
Security   Shares     Value  

Capital Markets — 2.4%

    

Ameriprise Financial Inc.

     11,944     $ 3,171,013  

Franklin Resources Inc.

     30,286       744,733  

Invesco Ltd.

     36,759       675,630  

Jefferies Financial Group Inc.

     20,784       639,316  

Nasdaq Inc.

     4,549       715,876  

Northern Trust Corp.

     22,378       2,306,053  

Raymond James Financial Inc.

     9,031       880,161  

SEI Investments Co.

     5,945       331,255  

State Street Corp.

     39,419       2,639,891  
   

 

 

  
      12,103,928  
Chemicals — 5.0%            

Axalta Coating Systems Ltd.(a)

    10,903       276,609  

Celanese Corp.

     5,419       796,268  

CF Industries Holdings Inc.

     23,100       2,236,773  

Corteva Inc.

     37,835       2,182,701  

DuPont de Nemours Inc.

     55,244       3,642,237  

Eastman Chemical Co.

     13,895       1,426,600  

FMC Corp.

     13,652       1,809,436  

International Flavors & Fragrances Inc.

     27,417       3,325,682  

LyondellBasell Industries NV, Class A

     28,316       3,002,345  

Mosaic Co. (The)

     39,896       2,490,308  

Olin Corp.

     7,429       426,425  

PPG Industries Inc.

     14,601       1,868,782  

RPM International Inc.

     9,536       790,534  

Scotts Miracle-Gro Co. (The)

     2,243       233,115  

Westlake Corp.

     1,572       198,937  
   

 

 

  
          24,706,752  
Commercial Services & Supplies — 0.4%            

IAA Inc.(a)

    5,460       200,109  

Republic Services Inc.

     11,819       1,586,937  
   

 

 

  
      1,787,046  
Communications Equipment — 0.8%            

Ciena Corp.(a)

    9,537       526,156  

F5 Inc.(a)

    3,524       589,953  

Juniper Networks Inc.

     35,025       1,103,988  

Motorola Solutions Inc.

     8,658       1,850,128  
   

 

 

  
      4,070,225  
Construction & Engineering — 0.3%            

AECOM

     7,228       510,008  

Quanta Services Inc.

     8,169       947,440  
   

 

 

  
      1,457,448  
Construction Materials — 0.2%            

Martin Marietta Materials Inc.

     2,412       854,379  
   

 

 

  
Consumer Finance — 1.0%            

Ally Financial Inc.

     19,720       788,011  

Credit Acceptance Corp.(a)(b)

    288       147,600  

Discover Financial Services

     17,848       2,007,186  

Synchrony Financial

     56,145       2,066,698  
   

 

 

  
      5,009,495  
Containers & Packaging — 2.4%            

Amcor PLC

     163,037       1,933,619  

AptarGroup Inc.

     4,246       487,568  

Avery Dennison Corp.

     2,736       494,122  

Ball Corp.

     10,899       884,563  

Berry Global Group Inc.(a)

    14,572       821,132  

Crown Holdings Inc.

     13,586       1,495,003  

International Paper Co.

     41,711       1,930,385  

Packaging Corp. of America

     10,232       1,649,092  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   45

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Containers & Packaging (continued)

    

Sealed Air Corp.

     15,957     $ 1,024,599  

Westrock Co.

     28,349       1,404,126  
   

 

 

  
      12,124,209  
Distributors — 0.5%            

Genuine Parts Co.

     15,340       1,994,967  

LKQ Corp.

     13,873       688,517  
   

 

 

  
      2,683,484  
Diversified Consumer Services — 0.1%            

Service Corp. International

     9,476       621,720  
   

 

 

  
Diversified Financial Services — 0.4%            

Apollo Global Management Inc.

     11,551       574,778  

Equitable Holdings Inc.

     40,544       1,168,884  

Voya Financial Inc.

     6,382       402,959  
   

 

 

  
      2,146,621  
Diversified Telecommunication Services — 0.2%  

Lumen Technologies Inc.

     99,252       998,475  
   

 

 

  
Electric Utilities — 5.0%            

Alliant Energy Corp.

     26,966       1,585,871  

Avangrid Inc.

     7,529       333,911  

Edison International

     40,919       2,814,818  

Entergy Corp.

     21,648       2,572,865  

Evergy Inc.

     24,698       1,675,759  

Eversource Energy

     37,029       3,236,335  

FirstEnergy Corp.

     61,413       2,659,797  

NRG Energy Inc.

     14,997       538,392  

PG&E Corp.(a)(b)

    162,516       2,055,827  

Pinnacle West Capital Corp.

     12,151       865,151  

PPL Corp.

     80,857       2,289,062  

Xcel Energy Inc.

     58,018       4,250,399  
   

 

 

  
          24,878,187  
Electrical Equipment — 1.1%            

AMETEK Inc.

     11,151       1,407,925  

Hubbell Inc.

     3,815       745,298  

Plug Power Inc.(a)(b)

    22,335       469,482  

Regal Rexnord Corp.

     7,298       928,598  

Rockwell Automation Inc.

     4,067       1,027,609  

Sensata Technologies Holding PLC(a)

    16,978       770,971  

Sunrun Inc.(a)(b)

    7,381       147,472  
   

 

 

  
      5,497,355  
Electronic Equipment, Instruments & Components — 1.0%  

Arrow Electronics Inc.(a)

    7,332       864,149  

CDW Corp./DE

     5,682       927,189  

Corning Inc.

     43,533       1,531,926  

Flex Ltd.(a)(b)

    49,985       824,253  

Jabil Inc.

     15,453       892,102  
   

 

 

  
      5,039,619  
Energy Equipment & Services — 0.6%            

Baker Hughes Co.

     51,359       1,593,156  

Halliburton Co.

     43,085       1,534,688  
   

 

 

  
      3,127,844  
Entertainment — 1.5%            

AMC Entertainment Holdings Inc., Class A(a)(b)

    31,623       483,832  

Liberty Media Corp.-Liberty Formula One, Class A(a)(b)

    854       49,037  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

     7,675       478,383  

Live Nation Entertainment Inc.(a)

    10,048       1,053,834  

Playtika Holding Corp.(a)

    5,102       89,693  

Take-Two Interactive Software Inc.(a)(b)

    3,529       421,751  
Security   Shares     Value  

Entertainment (continued)

    

Warner Bros. Discovery Inc.(a)

    238,006     $ 4,319,809  

Zynga Inc., Class A(a)

    56,934       470,844  
   

 

 

  
      7,367,183  
Equity Real Estate Investment Trusts (REITs) — 8.8%  

Alexandria Real Estate Equities Inc.

     6,833       1,244,699  

American Homes 4 Rent, Class A

     11,676       462,486  

Americold Realty Trust

     16,847       444,424  

Apartment Income REIT Corp.

     16,909       831,416  

AvalonBay Communities Inc.

     10,128       2,303,917  

Boston Properties Inc.

     15,310       1,800,456  

Camden Property Trust

     6,246       979,935  

CubeSmart

     9,752       463,318  

Equity LifeStyle Properties Inc.

     7,014       542,042  

Equity Residential

     24,110       1,964,965  

Essex Property Trust Inc.

     4,474       1,473,154  

Extra Space Storage Inc.

     5,702       1,083,380  

Federal Realty Investment Trust

     4,105       480,531  

Gaming and Leisure Properties Inc.

     25,295       1,122,592  

Healthpeak Properties Inc.

     39,702       1,302,623  

Host Hotels & Resorts Inc.

     49,919       1,015,852  

Iron Mountain Inc.

     31,187       1,675,678  

Kilroy Realty Corp.

     5,067       354,690  

Kimco Realty Corp.

     66,418       1,682,368  

Lamar Advertising Co., Class A

     6,184       682,775  

Life Storage Inc.

     3,512       465,305  

Medical Properties Trust Inc.

     64,280       1,182,109  

Mid-America Apartment Communities Inc.

     6,484       1,275,273  

National Retail Properties Inc.

     18,918       829,365  

Realty Income Corp.

     39,585       2,745,616  

Regency Centers Corp.

     10,533       724,986  

STORE Capital Corp.

     18,339       521,378  

UDR Inc.

     18,222       969,593  

Ventas Inc.

     42,993       2,388,261  

VICI Properties Inc.

     90,680       2,703,171  

Vornado Realty Trust

     11,234       434,868  

Welltower Inc.

     31,062       2,820,740  

Weyerhaeuser Co.

     80,488       3,317,715  

WP Carey Inc.

     20,530       1,658,208  
   

 

 

  
          43,947,889  
Food & Staples Retailing — 2.0%            

Albertsons Companies Inc., Class A

     10,919       341,546  

Kroger Co. (The)

     72,065       3,888,627  

Sysco Corp.

     54,654       4,671,824  

U.S. Foods Holding Corp.(a)

    23,996       902,730  
   

 

 

  
      9,804,727  
Food Products — 5.5%            

Archer-Daniels-Midland Co.

     60,268       5,397,602  

Bunge Ltd.

     15,134       1,711,958  

Campbell Soup Co.

     21,775       1,028,216  

Conagra Brands Inc.

     51,666       1,804,693  

Darling Ingredients Inc.(a)

    9,748       715,406  

General Mills Inc.

     64,970       4,595,328  

Hershey Co. (The)

     7,391       1,668,666  

Hormel Foods Corp.

     30,388       1,592,027  

JM Smucker Co. (The)

     11,671       1,598,110  

Kellogg Co.

     27,556       1,887,586  

Lamb Weston Holdings Inc.

     8,848       584,853  

McCormick & Co. Inc./MD, NVS

     16,093       1,618,473  
 

 

 

46  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Food Products (continued)

    

Tyson Foods Inc., Class A

     31,500     $ 2,934,540  
   

 

 

  
      27,137,458  
Gas Utilities — 0.5%            

Atmos Energy Corp.

     14,587       1,654,166  

UGI Corp.

     22,593       774,940  
   

 

 

  
      2,429,106  
Health Care Equipment & Supplies — 1.0%            

Baxter International Inc.

     30,611       2,175,218  

DENTSPLY SIRONA Inc.

     9,746       389,742  

Hologic Inc.(a)

    10,975       790,090  

Zimmer Biomet Holdings Inc.

     13,268       1,602,111  
   

 

 

  
      4,957,161  
Health Care Providers & Services — 4.5%            

AmerisourceBergen Corp.

     16,218       2,453,621  

Cardinal Health Inc.

     29,842       1,732,328  

Centene Corp.(a)

    62,848       5,062,406  

Chemed Corp.

     795       390,655  

DaVita Inc.(a)

    6,630       718,493  

Henry Schein Inc.(a)

    14,937       1,211,391  

Laboratory Corp. of America Holdings(a)

    10,027       2,409,288  

McKesson Corp.

     16,134       4,995,248  

Molina Healthcare Inc.(a)

    2,640       827,508  

Quest Diagnostics Inc.

     12,818       1,715,561  

Universal Health Services Inc., Class B

     7,875       964,924  
   

 

 

  
          22,481,423  
Health Care Technology — 0.4%            

Cerner Corp.

     18,266       1,710,428  

Teladoc Health Inc.(a)(b)

    10,600       357,856  
   

 

 

  
      2,068,284  
Hotels, Restaurants & Leisure — 2.7%            

Aramark

     27,658       1,002,603  

Carnival Corp.(a)

    87,115       1,507,090  

Darden Restaurants Inc.

     9,327       1,228,646  

Expedia Group Inc.(a)

    16,182       2,827,804  

Las Vegas Sands Corp.(a)

    37,028       1,311,902  

MGM Resorts International(b)

    24,987       1,025,466  

Norwegian Cruise Line Holdings Ltd.(a)(b)

    44,903       899,407  

Royal Caribbean Cruises Ltd.(a)

    24,152       1,877,335  

Wynn Resorts Ltd.(a)

    11,335       798,891  

Yum! Brands Inc.

     9,440       1,104,574  
   

 

 

  
      13,583,718  
Household Durables — 1.9%            

DR Horton Inc.

     15,959       1,110,587  

Garmin Ltd.

     7,357       807,357  

Lennar Corp., Class A

     28,152       2,153,346  

Lennar Corp., Class B

     1,667       108,688  

Mohawk Industries Inc.(a)(b)

    5,909       833,524  

Newell Brands Inc.

     40,779       944,034  

NVR Inc.(a)

    162       708,946  

PulteGroup Inc.

     26,782       1,118,416  

Toll Brothers Inc.

     12,042       558,388  

Whirlpool Corp.

     6,354       1,153,378  
   

 

 

  
      9,496,664  
Household Products — 0.6%            

Church & Dwight Co. Inc.

     12,929       1,261,353  

Clorox Co. (The)

     13,255       1,901,695  
   

 

 

  
      3,163,048  
Security   Shares     Value  

Independent Power and Renewable Electricity Producers — 0.6%

 

AES Corp. (The)

     71,810     $ 1,466,360  

Vistra Corp.

     51,982       1,300,590  
   

 

 

  
      2,766,950  
Insurance — 5.9%            

Aflac Inc.

     64,620       3,701,434  

Alleghany Corp.(a)

    724       605,626  

Allstate Corp. (The)

     30,222       3,824,292  

American Financial Group Inc./OH

     7,132       987,639  

Arch Capital Group Ltd.(a)

    21,210       968,661  

Arthur J Gallagher & Co.

     8,091       1,363,252  

Assurant Inc.

     6,138       1,116,379  

Cincinnati Financial Corp.

     7,080       868,433  

Erie Indemnity Co., Class A, NVS

     1,236       198,106  

Everest Re Group Ltd.

     2,263       621,669  

Fidelity National Financial Inc.

     30,645       1,220,284  

First American Financial Corp.

     6,831       398,316  

Globe Life Inc.

     10,006       981,388  

Hartford Financial Services Group Inc. (The)

     36,071       2,522,445  

Lincoln National Corp.

     17,940       1,079,091  

Loews Corp.

     21,119       1,327,118  

Markel Corp.(a)

    1,468       1,986,615  

Old Republic International Corp.

     30,753       676,873  

Principal Financial Group Inc.

     26,167       1,783,019  

Reinsurance Group of America Inc.

     7,234       776,353  

W R Berkley Corp.

     8,285       550,870  

Willis Towers Watson PLC

     7,244       1,556,446  
   

 

 

  
          29,114,309  
Interactive Media & Services — 0.1%            

IAC/InterActiveCorp.(a)(b)

    4,172       345,775  
   

 

 

  
IT Services — 1.3%            

Akamai Technologies Inc.(a)(b)

    10,149       1,139,530  

Broadridge Financial Solutions Inc.

     3,918       564,701  

Concentrix Corp.

     1,468       231,181  

DXC Technology Co.(a)

    26,332       755,728  

FleetCor Technologies Inc.(a)

    4,430       1,105,374  

Genpact Ltd.

     8,554       344,470  

Jack Henry & Associates Inc.

     3,613       684,952  

SS&C Technologies Holdings Inc.

     13,910       899,421  

Western Union Co. (The)

     42,394       710,523  
   

 

 

  
      6,435,880  
Leisure Products — 0.3%            

Brunswick Corp./DE

     4,339       328,072  

Hasbro Inc.

     6,032       531,178  

Mattel Inc.(a)

    25,438       618,397  
   

 

 

  
      1,477,647  
Life Sciences Tools & Services — 0.3%            

PerkinElmer Inc.

     7,616       1,116,582  

Syneos Health Inc., Class A(a)

    6,584       481,224  
   

 

 

  
      1,597,806  
Machinery — 3.8%            

AGCO Corp.

     3,413       434,816  

Cummins Inc.

     15,340       2,902,175  

Donaldson Co. Inc.

     7,682       376,725  

Dover Corp.

     6,887       918,037  

Fortive Corp.

     16,443       945,472  

Ingersoll Rand Inc.

     14,485       636,761  

ITT Inc.

     2,875       201,882  

Lincoln Electric Holdings Inc.

     3,251       438,007  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   47

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Machinery (continued)

    

Middleby Corp. (The)(a)

    2,780     $ 427,814  

Oshkosh Corp.

     7,161       661,963  

Otis Worldwide Corp.

     23,189       1,689,087  

PACCAR Inc.

     21,596       1,793,548  

Parker-Hannifin Corp.

     8,521       2,307,657  

Pentair PLC

     6,331       321,298  

Snap-on Inc.

     5,755       1,222,880  

Stanley Black & Decker Inc.

     11,779       1,415,247  

Toro Co. (The)

     3,951       316,594  

Westinghouse Air Brake Technologies Corp.

     20,123       1,809,259  
   

 

 

  
          18,819,222  
Media — 2.0%            

Cable One Inc.

     217       253,065  

DISH Network Corp., Class A(a)

    26,895       766,776  

Fox Corp., Class A, NVS

     34,014       1,219,062  

Fox Corp., Class B

     15,684       521,336  

Interpublic Group of Companies Inc. (The)

     42,395       1,382,925  

Liberty Media Corp.-Liberty SiriusXM,
Class A(a)(b)

    3,748       156,779  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

    7,474       313,011  

News Corp., Class A, NVS

     42,100       836,106  

News Corp., Class B

     12,919       257,217  

Omnicom Group Inc.

     22,510       1,713,686  

Paramount Global, Class A

     1,030       32,497  

Paramount Global, Class B, NVS

     65,346       1,902,876  

Sirius XM Holdings Inc.(b)

    59,709       358,254  
   

 

 

  
      9,713,590  
Metals & Mining — 1.6%            

Alcoa Corp.

     19,830       1,344,474  

Cleveland-Cliffs Inc.(a)

    51,496       1,312,633  

Nucor Corp.

     15,191       2,351,263  

Reliance Steel & Aluminum Co.

     6,749       1,337,989  

Steel Dynamics Inc.

     20,305       1,741,154  
   

 

 

  
      8,087,513  
Mortgage Real Estate Investment — 0.5%            

AGNC Investment Corp.

     56,244       617,559  

Annaly Capital Management Inc.

     157,223       1,009,372  

Starwood Property Trust Inc.

     32,809       750,670  
   

 

 

  
      2,377,601  
Multi-Utilities — 4.3%            

Ameren Corp.

     27,745       2,577,510  

CenterPoint Energy Inc.

     67,732       2,073,276  

CMS Energy Corp.

     31,210       2,143,815  

Consolidated Edison Inc.

     38,100       3,533,394  

DTE Energy Co.

     20,868       2,734,543  

NiSource Inc.

     42,297       1,231,689  

Public Service Enterprise Group Inc.

     54,464       3,793,962  

WEC Energy Group Inc.

     33,973       3,398,999  
   

 

 

  
      21,487,188  
Multiline Retail — 1.1%            

Dollar Tree Inc.(a)

    24,230       3,936,163  

Kohl’s Corp.

     14,987       867,448  

Macy’s Inc.

     32,230       778,999  
   

 

 

  
      5,582,610  
Oil, Gas & Consumable Fuels — 7.8%            

APA Corp.

     39,128       1,601,509  

Continental Resources Inc./OK

     6,326       351,536  

Coterra Energy Inc.

     87,628       2,522,810  

Devon Energy Corp.

     67,813       3,944,682  
Security   Shares     Value  

Oil, Gas & Consumable Fuels (continued)

    

Diamondback Energy Inc.

     18,342     $ 2,315,311  

Hess Corp.

     16,737       1,725,083  

Kinder Morgan Inc.

     210,031       3,812,063  

Marathon Oil Corp.

     83,853       2,089,617  

Occidental Petroleum Corp.

     55,860       3,077,327  

ONEOK Inc.

     48,030       3,041,740  

Ovintiv Inc.

     28,120       1,439,463  

Phillips 66

     50,390       4,371,836  

Targa Resources Corp.

     11,034       810,006  

Valero Energy Corp.

     29,488       3,287,322  

Williams Companies Inc. (The)

     130,866       4,487,395  
   

 

 

  
          38,877,700  
Pharmaceuticals — 1.0%            

Jazz Pharmaceuticals PLC(a)

    6,620       1,060,656  

Organon & Co.

     27,308       882,868  

Royalty Pharma PLC, Class A

     38,396       1,634,902  

Viatris Inc.

     130,259       1,345,575  
   

 

 

  
      4,924,001  
Professional Services — 1.1%            

Booz Allen Hamilton Holding Corp.

     9,331       761,690  

Clarivate PLC(a)

    17,565       275,419  

Dun & Bradstreet Holdings Inc.(a)

    10,780       170,216  

Jacobs Engineering Group Inc.

     8,504       1,178,229  

Leidos Holdings Inc.

     15,116       1,564,657  

Nielsen Holdings PLC

     38,645       1,036,073  

Robert Half International Inc.

     3,893       382,721  
   

 

 

  
      5,369,005  
Real Estate Management & Development — 0.6%  

CBRE Group Inc., Class A(a)

    19,292       1,602,008  

Jones Lang LaSalle Inc.(a)(b)

    5,435       1,188,797  
   

 

 

  
      2,790,805  
Road & Rail — 0.3%            

AMERCO

     424       227,044  

Avis Budget Group Inc.(a)

    2,168       580,309  

Knight-Swift Transportation Holdings Inc.

     10,397       497,912  

XPO Logistics Inc.(a)

    7,299       392,613  
   

 

 

  
      1,697,878  
Semiconductors & Semiconductor Equipment — 0.5%  

First Solar Inc.(a)

    6,056       442,270  

MKS Instruments Inc.

     2,516       286,774  

Qorvo Inc.(a)

    4,877       554,905  

Skyworks Solutions Inc.

     5,103       578,170  

Wolfspeed Inc.(a)

    7,760       711,669  
   

 

 

  
      2,573,788  
Software — 0.8%            

Black Knight Inc.(a)

    7,107       467,570  

Citrix Systems Inc.

     8,590       859,859  

Guidewire Software Inc.(a)(b)

    4,879       424,180  

NortonLifeLock Inc.

     62,671       1,569,282  

VMware Inc., Class A

     7,513       811,704  
   

 

 

  
      4,132,595  
Specialty Retail — 2.0%            

Advance Auto Parts Inc.

     3,843       767,178  

AutoNation Inc.(a)(b)

    4,307       499,224  

AutoZone Inc.(a)

    1,279       2,501,046  

Bath & Body Works Inc.

     9,570       506,157  

Best Buy Co. Inc.

     23,320       2,097,167  

CarMax Inc.(a)(b)

    7,215       618,903  
 

 

 

48  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Specialty Retail (continued)

    

GameStop Corp., Class A(a)(b)

    3,896     $ 487,273  

Gap Inc. (The)

     22,766       282,754  

Lithia Motors Inc.

     1,561       441,966  

Penske Automotive Group Inc.

     3,298       345,696  

Tractor Supply Co.

     4,695       945,808  

Williams-Sonoma Inc.

     4,468       582,985  
   

 

 

  
        10,076,157  
Technology Hardware, Storage & Peripherals — 2.5%  

Dell Technologies Inc., Class C

     31,234       1,468,310  

Hewlett Packard Enterprise Co.

     139,311       2,146,783  

HP Inc.

     116,616       4,271,644  

NetApp Inc.

     13,749       1,007,114  

Seagate Technology Holdings PLC

     21,690       1,779,448  

Western Digital Corp.(a)

    33,703       1,788,618  
   

 

 

  
      12,461,917  
Textiles, Apparel & Luxury Goods — 0.5%  

Capri Holdings Ltd.(a)

    10,199       486,492  

PVH Corp.

     7,567       550,726  

Tapestry Inc.

     28,433       936,015  

Under Armour Inc., Class A(a)

    13,423       206,177  

Under Armour Inc., Class C, NVS(a)(b)

    15,307       217,207  
   

 

 

  
      2,396,617  
Trading Companies & Distributors — 0.9%  

Fastenal Co.

     30,995       1,714,334  

United Rentals Inc.(a)

    3,322       1,051,479  

Watsco Inc.

     1,606       428,449  

WW Grainger Inc.

     2,334       1,167,070  
   

 

 

  
      4,361,332  
Security   Shares     Value  

 

  

Water Utilities — 0.4%

    

American Water Works Co. Inc.

     9,310     $ 1,434,485  

Essential Utilities Inc.

     11,466       513,218  
   

 

 

  
      1,947,703  
   

 

 

  

Total Common Stocks — 99.9%
(Cost: $439,856,812)

 

     496,889,144  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 2.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    10,213,576       10,213,576  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    865,000       865,000  
   

 

 

  
      11,078,576  
   

 

 

  

Total Short-Term Investments — 2.2%
(Cost: $11,076,053)

       11,078,576  
   

 

 

  

Total Investments in Securities — 102.1%
(Cost: $450,932,865)

         507,967,720  

Other Assets, Less Liabilities — (2.1)%

       (10,476,825 ) 
   

 

 

  

Net Assets — 100.0%

     $ 497,490,895  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		     Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		      Value at
04/30/22 		     Shares
Held at
04/30/22 		     Income    

Capital

Gain
Distributions
from
Underlying
Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 2,010,373      $ 8,205,589 (a)    $ —     $ (4,909 )    $ 2,523      $ 10,213,576        10,213,576      $ 23,653 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     935,000        —       (70,000 )(a)      —       —        865,000        865,000        382       —  
        

 

 

    

 

 

     

 

 

        

 

 

    

 

 

  
         $ (4,909 )    $ 2,523      $ 11,078,576         $ 24,035     $ —  
        

 

 

    

 

 

     

 

 

        

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   49

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Mid-Cap Value ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   Number of
Contracts		      Expiration
Date 		     Notional
Amount
(000) 		     Value/
Unrealized
Appreciation
(Depreciation)		  

 

  

Long Contracts

           

E-Mini Utilities Select Sector Index

     4        06/17/22      $ 287      $ (9,424 ) 

S&P Mid 400 E-Mini Index

     1        06/17/22        249        (24,432 ) 
          

 

 

  
           $ (33,856 ) 
          

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

  $ 33,856  
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

  

Futures contracts

   $ (9,832 ) 
 

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

  

Futures contracts

   $ (78,284 ) 
 

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

  

Average notional value of contracts — long

   $ 1,004,080      

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 496,889,144     $ —      $ —      $ 496,889,144  

Money Market Funds

     11,078,576       —        —        11,078,576  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 507,967,720     $ —      $ —      $ 507,967,720  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

         

Liabilities

          

Futures Contracts

   $ (33,856 )    $ —      $ —      $ (33,856 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

50  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Aerospace & Defense — 1.3%

    

AAR Corp.(a)

    2,013     $ 94,571  

Aerojet Rocketdyne Holdings Inc.(a)

    4,448       177,831  

Aerovironment Inc.(a)

    1,384       111,163  

Archer Aviation Inc.(a)

    6,724       30,998  

Astra Space Inc., Class A(a)(b)

    7,446       23,827  

Astronics Corp.(a)

    1,431       13,866  

BWX Technologies Inc.

     5,503       285,716  

Byrna Technologies Inc.(a)(b)

    926       5,482  

Curtiss-Wright Corp.

     2,331       333,123  

Ducommun Inc.(a)

    644       32,889  

Hexcel Corp.

     4,977       270,550  

Kaman Corp.

     1,649       64,327  

Kratos Defense & Security Solutions Inc.(a)

    7,404       112,319  

Maxar Technologies Inc.(b)

    4,336       139,662  

Mercury Systems Inc.(a)

    3,357       187,287  

Momentus Inc.(a)

    2,967       8,308  

Moog Inc., Class A

     1,745       139,373  

Parsons Corp.(a)

    1,555       57,426  

Redwire Corp.(a)

    949       5,713  

Rocket Lab USA Inc.(a)(b)

    8,715       64,317  

Spirit AeroSystems Holdings Inc., Class A

     6,233       262,035  

Triumph Group Inc.(a)

    3,831       86,351  

Vectrus Inc.(a)

    708       25,559  

Virgin Galactic Holdings Inc.(a)

    10,592       79,334  
   

 

 

  
          2,612,027  
Air Freight & Logistics — 0.3%            

Air Transport Services Group Inc.(a)

    3,432       107,422  

Atlas Air Worldwide Holdings Inc.(a)

    1,593       109,821  

Forward Air Corp.

     1,606       155,734  

Hub Group Inc., Class A(a)

    2,033       136,536  
   

 

 

  
      509,513  
Airlines — 0.6%            

Alaska Air Group Inc.(a)(b)

    7,486       407,163  

Allegiant Travel Co.(a)

    904       140,292  

Blade Air Mobility Inc.(a)

    2,917       25,115  

Frontier Group Holdings Inc.(a)(b)

    1,893       20,085  

Hawaiian Holdings Inc.(a)(b)

    3,041       51,575  

JetBlue Airways Corp.(a)

    18,761       206,559  

Joby Aviation Inc., Class A(a)(b)

    15,662       82,069  

SkyWest Inc.(a)

    3,044       88,733  

Spirit Airlines Inc.(a)

    6,428       151,765  

Sun Country Airlines Holdings Inc.(a)

    1,836       50,508  

Wheels Up Experience Inc.(a)

    10,381       31,662  
   

 

 

  
      1,255,526  
Auto Components — 1.0%            

Adient PLC(a)

    5,626       192,072  

American Axle & Manufacturing Holdings Inc.(a)

    6,815       45,115  

Cooper-Standard Holdings Inc.(a)

    981       4,522  

Dana Inc.

     8,609       127,499  

Dorman Products Inc.(a)

    1,688       166,639  

Fox Factory Holding Corp.(a)

    2,501       204,782  

Garrett Motion Inc.(a)(b)

    3,400       22,678  

Gentherm Inc.(a)

    1,984       133,761  

Goodyear Tire & Rubber Co. (The)(a)(b)

    16,615       221,312  

Holley Inc.(a)

    2,279       24,021  

LCI Industries

     1,496       145,591  

Luminar Technologies Inc.(a)

    13,533       167,403  

Modine Manufacturing Co.(a)

    3,126       24,695  
Security   Shares     Value  

Auto Components (continued)

    

Patrick Industries Inc.

     1,345     $ 83,726  

Standard Motor Products Inc.

     1,163       49,637  

Stoneridge Inc.(a)

    1,677       33,054  

Tenneco Inc., Class A(a)

    4,497       77,214  

Visteon Corp.(a)

    1,662       174,028  

XL Fleet Corp.(a)(b)

    5,897       8,256  

XPEL Inc.(a)(b)

    987       42,708  
   

 

 

  
          1,948,713  
Automobiles — 0.4%            

Arcimoto Inc.(a)(b)

    1,705       5,729  

Canoo Inc.(a)(b)

    8,567       41,122  

Electric Last Mile Solutions Inc.(a)(b)

    2,963       2,726  

Faraday Future Intelligent Electric Inc.(a)

    10,059       25,952  

Fisker Inc.(a)(b)

    8,388       84,383  

Harley-Davidson Inc.

     9,138       333,080  

Lordstown Motors Corp., Class A(a)(b)

    7,202       15,700  

Thor Industries Inc.

     3,314       253,687  

Winnebago Industries Inc.

     1,965       104,499  

Workhorse Group Inc.(a)(b)

    8,592       25,862  
   

 

 

  
      892,740  
Banks — 7.9%            

1st Source Corp.

     1,186       51,318  

Allegiance Bancshares Inc.

     1,091       44,578  

Ameris Bancorp.

     4,027       167,926  

Associated Banc-Corp.

     9,553       190,582  

Atlantic Union Bankshares Corp.

     4,640       156,739  

Banc of California Inc.

     3,397       61,282  

BancFirst Corp.

     1,183       96,710  

Bancorp. Inc. (The)(a)

    2,833       64,281  

Bank of Hawaii Corp.

     2,535       188,452  

Bank of Marin Bancorp., Class A

     1,074       33,573  

Bank OZK

     7,364       282,925  

BankUnited Inc.

     4,684       175,837  

Banner Corp.

     1,557       83,611  

Berkshire Hills Bancorp. Inc.

     2,558       63,285  

BOK Financial Corp.

     1,836       152,259  

Brookline Bancorp. Inc.

     3,486       50,408  

Byline Bancorp Inc.

     1,534       35,988  

Cadence Bank

     9,893       247,721  

Cathay General Bancorp.

     4,790       192,031  

Central Pacific Financial Corp.

     531       12,840  

City Holding Co.

     657       50,839  

Columbia Banking System Inc.

     4,143       116,335  

Community Bank System Inc.

     3,105       199,962  

Community Trust Bancorp. Inc.

     1,050       41,801  

ConnectOne Bancorp. Inc.

     2,294       63,911  

Customers Bancorp. Inc.(a)

    1,801       75,768  

CVB Financial Corp.

     7,816       179,924  

Dime Community Bancshares Inc.

     2,111       66,370  

Eagle Bancorp. Inc.

     1,806       90,932  

Eastern Bankshares Inc.

     10,215       195,719  

Enterprise Financial Services Corp.

     2,387       105,434  

FB Financial Corp.

     2,266       87,309  

First BanCorp./Puerto Rico

     10,688       145,464  

First Bancorp./Southern Pines NC

     2,074       77,692  

First Bancshares Inc. (The)

     1,478       47,577  

First Busey Corp.

     3,326       74,735  

First Citizens BancShares Inc./NC, Class A

     796       508,946  

First Commonwealth Financial Corp.

     4,054       54,648  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   51

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Banks (continued)

    

First Financial Bancorp.

     4,193     $ 85,747  

First Financial Bankshares Inc.

     7,724       308,806  

First Financial Corp./IN

     845       36,014  

First Foundation Inc.

     3,196       71,015  

First Hawaiian Inc.

     7,816       184,536  

First Interstate BancSystem Inc., Class A

     4,927       160,226  

First Merchants Corp.

     3,606       141,319  

Flushing Financial Corp.

     2,016       43,344  

FNB Corp.

     21,856       251,781  

Fulton Financial Corp.

     10,397       157,722  

Glacier Bancorp. Inc.

     6,514       298,081  

Hancock Whitney Corp.

     5,256       245,823  

Hanmi Financial Corp.

     1,167       27,016  

HarborOne Bancorp Inc.

     3,320       44,455  

Heartland Financial USA Inc.

     2,632       115,203  

Heritage Commerce Corp.

     3,982       44,718  

Heritage Financial Corp./WA

     1,430       34,635  

Hilltop Holdings Inc.

     3,697       94,237  

Home BancShares Inc./AR

     9,162       198,082  

HomeStreet Inc.

     1,070       43,431  

Hope Bancorp Inc.

     5,422       77,535  

Horizon Bancorp Inc./IN

     2,482       43,385  

Independent Bank Corp.

     2,773       213,965  

Independent Bank Corp./MI

     1,563       30,854  

Independent Bank Group Inc.

     2,250       152,550  

International Bancshares Corp.

     3,337       132,779  

Lakeland Bancorp. Inc.

     4,385       65,907  

Lakeland Financial Corp.

     1,569       114,255  

Live Oak Bancshares Inc.

     1,909       80,808  

Meta Financial Group Inc.

     1,755       76,606  

Metropolitan Bank Holding Corp.(a)

    630       56,102  

Midland States Bancorp. Inc.

     1,406       37,062  

National Bank Holdings Corp., Class A

     1,445       52,757  

NBT Bancorp. Inc.

     2,022       71,174  

Nicolet Bankshares Inc.(a)(b)

    748       60,872  

Northwest Bancshares Inc.

     6,509       82,534  

OceanFirst Financial Corp.

     3,857       72,242  

OFG Bancorp.

     2,383       63,340  

Old National Bancorp./IN

     18,266           276,913  

Origin Bancorp Inc.

     1,422       53,581  

Pacific Premier Bancorp. Inc.

     5,451       170,943  

PacWest Bancorp.

     7,277       239,341  

Park National Corp.

     913       107,597  

Peoples Bancorp. Inc./OH

     1,738       47,656  

Pinnacle Financial Partners Inc.

     4,571       354,481  

Popular Inc.

     4,788       373,416  

Premier Financial Corp.

     2,327       61,759  

Prosperity Bancshares Inc.

     5,649       369,332  

QCR Holdings Inc.

     1,000       54,290  

Renasant Corp.

     3,180       94,732  

S&T Bancorp. Inc.

     2,069       58,470  

Sandy Spring Bancorp. Inc.

     3,053       119,891  

Seacoast Banking Corp. of Florida

     3,433       111,572  

ServisFirst Bancshares Inc.

     2,923       234,775  

Silvergate Capital Corp., Class A(a)(b)

    1,800       210,528  

Simmons First National Corp., Class A

     6,638       158,449  

South State Corp.

     4,614       357,308  

Southside Bancshares Inc.

     1,959       76,773  

Stock Yards Bancorp. Inc.

     1,532       80,093  

Synovus Financial Corp.

     8,796       365,386  
Security   Shares     Value  

Banks (continued)

    

Texas Capital Bancshares Inc.(a)

    3,043     $ 156,288  

Tompkins Financial Corp.

     830       60,590  

Towne Bank/Portsmouth VA

     4,434       122,245  

TriCo Bancshares

     1,831       68,754  

TriState Capital Holdings Inc.(a)

    1,733       52,354  

Triumph Bancorp. Inc.(a)

    1,404       97,494  

Trustmark Corp.

     3,772       105,163  

UMB Financial Corp.

     2,651       239,067  

Umpqua Holdings Corp.

     13,130       217,170  

United Bankshares Inc./WV

     8,319       276,690  

United Community Banks Inc./GA

     5,926       178,610  

Univest Financial Corp.

     2,011       50,677  

Valley National Bancorp.

     25,737       308,329  

Veritex Holdings Inc.

     3,025       99,371  

Washington Federal Inc.

     4,252       129,388  

Washington Trust Bancorp. Inc.

     1,232       57,830  

Webster Financial Corp.

     10,815       540,642  

WesBanco Inc.

     3,956       127,541  

Westamerica Bancorp.

     1,491       87,850  

Wintrust Financial Corp.

     3,451       301,341  
   

 

 

  
          15,861,310  
Beverages — 0.3%            

Boston Beer Co. Inc. (The), Class A, NVS(a)

    556       208,500  

Celsius Holdings Inc.(a)

    2,283       118,716  

Coca-Cola Consolidated Inc.

     278       122,737  

Duckhorn Portfolio Inc. (The)(a)(b)

    1,837       35,675  

MGP Ingredients Inc.

     753       68,771  

National Beverage Corp.

     1,414       62,329  

Vintage Wine Estates Inc.(a)

    1,705       17,613  

Zevia PBC, Class A(a)(b)

    629       2,164  
   

 

 

  
      636,505  
Biotechnology — 4.8%            

4D Molecular Therapeutics Inc.(a)

    1,433       17,067  

89bio Inc.(a)

    1,355       2,940  

Aadi Bioscience Inc.(a)(b)

    1,200       17,520  

ACADIA Pharmaceuticals Inc.(a)

    6,947       128,103  

Acumen Pharmaceuticals Inc.(a)(b)

    620       2,393  

Adagio Therapeutics Inc.(a)

    1,109       3,172  

Aerovate Therapeutics Inc.(a)(b)

    526       6,707  

Agenus Inc.(a)

    13,756       25,449  

Agios Pharmaceuticals Inc.(a)(b)

    3,280       72,062  

Akebia Therapeutics Inc.(a)

    10,513       4,365  

Akero Therapeutics Inc.(a)

    1,419       14,885  

Alaunos Therapeutics Inc.(a)(b)

    13,947       7,411  

Albireo Pharma Inc.(a)

    1,171       37,261  

Aldeyra Therapeutics Inc.(a)

    3,147       9,661  

Alector Inc.(a)

    3,487       33,475  

Aligos Therapeutics Inc.(a)

    2,632       3,106  

Alkermes PLC(a)

    9,573       276,181  

Allakos Inc.(a)

    2,069       7,800  

Allogene Therapeutics Inc.(a)

    4,418       36,890  

Allovir Inc.(a)(b)

    1,780       8,099  

Altimmune Inc.(a)(b)

    2,344       10,595  

ALX Oncology Holdings Inc.(a)

    1,240       15,847  

Amicus Therapeutics Inc.(a)

    14,922       105,648  

AnaptysBio Inc.(a)

    1,168       27,331  

Anavex Life Sciences Corp.(a)(b)

    4,539       38,990  

Anika Therapeutics Inc.(a)

    836       17,999  

Annexon Inc.(a)

    1,555       3,965  
 

 

 

52  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Biotechnology (continued)

    

Apellis Pharmaceuticals Inc.(a)

    5,299     $ 230,665  

Applied Molecular Transport Inc.(a)

    1,005       4,311  

Arbutus Biopharma Corp.(a)

    5,505       12,827  

Arcturus Therapeutics Holdings Inc.(a)

    1,271       24,632  

Arcus Biosciences Inc.(a)

    2,729       66,069  

Arcutis Biotherapeutics Inc.(a)(b)

    1,704       34,404  

Arrowhead Pharmaceuticals Inc.(a)

    6,231       256,156  

Atara Biotherapeutics Inc.(a)

    5,215       33,167  

Atossa Therapeutics Inc.(a)(b)

    7,833       7,911  

Aura Biosciences Inc.(a)

    296       5,020  

Avid Bioservices Inc.(a)

    3,643       49,035  

Avidity Biosciences Inc.(a)

    2,519       36,022  

Avita Medical Inc.(a)(b)

    1,545       9,425  

Beam Therapeutics Inc.(a)

    2,653       99,567  

BioAtla Inc.(a)

    953       3,316  

BioCryst Pharmaceuticals Inc.(a)

    10,654       98,976  

Bioxcel Therapeutics Inc.(a)(b)

    1,164       15,260  

Bluebird Bio Inc.(a)(b)

    4,087       14,836  

Blueprint Medicines Corp.(a)

    3,510           204,808  

Bolt Biotherapeutics Inc.(a)

    1,950       3,042  

Brooklyn ImmunoTherapeutics Inc.(a)

    1,656       1,739  

C4 Therapeutics Inc.(a)

    2,203       18,880  

CareDx Inc.(a)

    3,160       96,190  

Caribou Biosciences Inc.(a)

    1,200       8,880  

Catalyst Pharmaceuticals Inc.(a)(b)

    5,785       44,082  

Celldex Therapeutics Inc.(a)

    2,755       84,165  

CEL-SCI Corp.(a)(b)

    2,578       7,373  

Century Therapeutics Inc.(a)

    602       7,236  

Cerevel Therapeutics Holdings Inc.(a)

    3,350       98,088  

ChemoCentryx Inc.(a)

    2,962       54,679  

Chimerix Inc.(a)

    4,347       19,127  

Chinook Therapeutics Inc.(a)

    2,800       42,364  

Clene Inc.(a)

    1,328       3,440  

Clovis Oncology Inc.(a)

    8,191       16,382  

Coherus Biosciences Inc.(a)(b)

    3,765       34,036  

Cortexyme Inc.(a)(b)

    1,013       3,708  

Crinetics Pharmaceuticals Inc.(a)

    2,298       46,695  

CRISPR Therapeutics AG(a)(b)

    4,190       207,908  

Cue Biopharma Inc.(a)

    1,807       7,156  

Cullinan Oncology Inc.(a)

    1,445       14,175  

Curis Inc.(a)

    4,732       4,324  

Cyteir Therapeutics Inc.(a)(b)

    1,162       2,615  

Cytokinetics Inc.(a)(b)

    4,985       198,752  

CytomX Therapeutics Inc.(a)

    3,706       6,337  

Day One Biopharmaceuticals Inc.(a)(b)

    604       5,146  

Deciphera Pharmaceuticals Inc.(a)(b)

    2,516       25,462  

Denali Therapeutics Inc.(a)

    5,515       131,257  

DermTech Inc.(a)(b)

    1,495       12,782  

Design Therapeutics Inc.(a)

    684       8,167  

Dynavax Technologies Corp.(a)(b)

    6,573       58,040  

Dyne Therapeutics Inc.(a)

    1,537       12,265  

Eagle Pharmaceuticals Inc./DE(a)

    681       30,053  

Editas Medicine Inc.(a)

    4,058       53,728  

eFFECTOR Therapeutics Inc.(a)(b)

    1,159       3,859  

Eliem Therapeutics Inc.(a)(b)

    391       1,236  

Emergent BioSolutions Inc.(a)

    2,856       92,477  

Enanta Pharmaceuticals Inc.(a)

    1,090       70,196  

Enochian Biosciences Inc.(a)

    895       6,883  

Entrada Therapeutics Inc.(a)(b)

    525       3,140  

Epizyme Inc.(a)

    8,566       5,529  
Security   Shares     Value  

Biotechnology (continued)

    

Erasca Inc.(a)(b)

    1,133     $ 8,248  

Evelo Biosciences Inc.(a)(b)

    1,738       4,293  

Exelixis Inc.(a)

    18,820       420,439  

Fate Therapeutics Inc.(a)(b)

    4,819       137,631  

FibroGen Inc.(a)

    5,177       48,146  

Fortress Biotech Inc.(a)

    4,805       5,286  

G1 Therapeutics Inc.(a)(b)

    2,081       10,696  

Generation Bio Co.(a)(b)

    2,624       16,610  

Geron Corp.(a)(b)

    18,827       26,546  

Global Blood Therapeutics Inc.(a)(b)

    3,457       106,130  

Gossamer Bio Inc.(a)

    3,025       20,903  

Graphite Bio Inc.(a)

    803       3,228  

Greenwich Lifesciences Inc.(a)

    237       2,808  

Gritstone bio Inc.(a)

    3,191       8,265  

Halozyme Therapeutics Inc.(a)

    8,355           333,364  

Heron Therapeutics Inc.(a)

    6,181       27,938  

Homology Medicines Inc.(a)

    2,444       4,057  

Humacyte Inc.(a)(b)

    3,471       24,575  

Humanigen Inc.(a)

    2,623       4,931  

Icosavax Inc.(a)

    722       5,235  

Ideaya Biosciences Inc.(a)

    1,961       18,806  

IGM Biosciences Inc.(a)(b)

    985       16,489  

Imago Biosciences Inc.(a)

    494       8,077  

Immuneering Corp., Class A(a)(b)

    459       2,281  

ImmunityBio Inc.(a)(b)

    3,976       14,433  

ImmunoGen Inc.(a)

    11,841       57,192  

Inhibrx Inc.(a)

    1,220       19,337  

Inmune Bio Inc.(a)

    758       5,700  

Insmed Inc.(a)

    7,000       153,790  

Instil Bio Inc.(a)(b)

    994       7,028  

Intercept Pharmaceuticals Inc.(a)(b)

    1,443       22,670  

Ionis Pharmaceuticals Inc.(a)(b)

    8,365       307,497  

Iovance Biotherapeutics Inc.(a)

    8,048       121,927  

Ironwood Pharmaceuticals Inc.(a)(b)

    9,740       116,880  

iTeos Therapeutics Inc.(a)

    1,211       32,322  

IVERIC bio Inc.(a)

    6,436       89,139  

Janux Therapeutics Inc.(a)

    681       6,701  

Jasper Therapeutics Inc.(a)(b)

    1,537       4,688  

Jounce Therapeutics Inc.(a)

    2,017       10,690  

KalVista Pharmaceuticals Inc.(a)

    1,196       15,225  

Karuna Therapeutics Inc.(a)

    1,304       145,344  

Karyopharm Therapeutics Inc.(a)(b)

    4,162       25,388  

Keros Therapeutics Inc.(a)

    776       41,136  

Kiniksa Pharmaceuticals Ltd., Class A(a)

    1,695       15,814  

Kinnate Biopharma Inc.(a)

    1,040       7,769  

Kodiak Sciences Inc.(a)

    1,974       11,883  

Kronos Bio Inc.(a)(b)

    2,455       11,612  

Krystal Biotech Inc.(a)

    1,219       73,884  

Kura Oncology Inc.(a)

    4,002       57,429  

Kymera Therapeutics Inc.(a)

    2,081       65,239  

Lexicon Pharmaceuticals Inc.(a)

    4,173       7,553  

Ligand Pharmaceuticals Inc.(a)

    994       92,303  

Lineage Cell Therapeutics Inc.(a)(b)

    7,855       9,583  

MacroGenics Inc.(a)(b)

    3,291       23,531  

Madrigal Pharmaceuticals Inc.(a)(b)

    728       50,960  

MannKind Corp.(a)

    14,932       46,737  

MeiraGTx Holdings PLC(a)

    1,507       15,507  

Mersana Therapeutics Inc.(a)

    4,125       14,355  

MiMedx Group Inc.(a)(b)

    5,038       19,900  

Mirum Pharmaceuticals Inc.(a)

    931       22,139  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   53

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Biotechnology (continued)

    

Monte Rosa Therapeutics Inc.(a)(b)

    695     $ 7,576  

Morphic Holding Inc.(a)

    1,544       46,799  

Myovant Sciences Ltd.(a)(b)

    2,677       24,923  

Myriad Genetics Inc.(a)

    4,771       97,805  

Nkarta Inc.(a)(b)

    1,624       29,947  

Nurix Therapeutics Inc.(a)

    2,391       26,468  

Nuvalent Inc., Class A(a)(b)

    533       5,485  

Ocugen Inc.(a)(b)

    11,922       26,109  

Olema Pharmaceuticals Inc.(a)

    1,765       4,501  

Omega Therapeutics Inc.(a)

    898       3,062  

Organogenesis Holdings Inc., Class A(a)

    3,734       24,047  

ORIC Pharmaceuticals Inc.(a)

    1,887       6,265  

Outlook Therapeutics Inc.(a)(b)

    7,297       11,310  

Oyster Point Pharma Inc.(a)

    668       4,262  

Passage Bio Inc.(a)

    2,174       4,239  

PDS Biotechnology Corp.(a)

    1,397       7,725  

Pieris Pharmaceuticals Inc.(a)

    3,661       10,251  

PMV Pharmaceuticals Inc.(a)

    1,629       23,604  

Praxis Precision Medicines Inc.(a)(b)

    2,108       17,075  

Precigen Inc.(a)

    5,589       7,433  

Precision BioSciences Inc.(a)

    2,868       5,707  

Prelude Therapeutics Inc.(a)(b)

    759       3,484  

Prometheus Biosciences Inc.(a)

    650       17,095  

Protagonist Therapeutics Inc.(a)

    2,650       24,088  

Prothena Corp. PLC(a)

    2,116       61,703  

PTC Therapeutics Inc.(a)

    4,178           147,609  

Radius Health Inc.(a)

    2,927       20,021  

Rallybio Corp.(a)

    379       3,775  

RAPT Therapeutics Inc.(a)

    1,178       17,823  

Recursion Pharmaceuticals Inc., Class A(a)(b)

    1,460       9,052  

REGENXBIO Inc.(a)

    2,255       62,599  

Relay Therapeutics Inc.(a)(b)

    4,570       108,903  

REVOLUTION Medicines Inc.(a)

    3,627       72,431  

Rhythm Pharmaceuticals Inc.(a)

    2,320       14,523  

Rigel Pharmaceuticals Inc.(a)

    10,432       24,620  

Rocket Pharmaceuticals Inc.(a)

    2,676       27,509  

Rubius Therapeutics Inc.(a)

    2,502       4,153  

Sage Therapeutics Inc.(a)

    3,090       97,397  

Sana Biotechnology Inc.(a)(b)

    4,919       37,138  

Sangamo Therapeutics Inc.(a)

    7,279       30,208  

Sarepta Therapeutics Inc.(a)

    5,167       373,677  

Scholar Rock Holding Corp.(a)

    1,568       11,086  

Selecta Biosciences Inc.(a)

    5,194       3,980  

Seres Therapeutics Inc.(a)

    3,745       17,714  

Shattuck Labs Inc.(a)

    1,704       6,543  

Silverback Therapeutics Inc.(a)

    1,358       4,223  

Sorrento Therapeutics Inc.(a)

    17,862       26,972  

Spero Therapeutics Inc.(a)

    1,682       8,175  

SpringWorks Therapeutics Inc.(a)

    1,559       66,897  

Stoke Therapeutics Inc.(a)

    1,287       18,584  

Surface Oncology Inc.(a)

    2,131       4,518  

Sutro Biopharma Inc.(a)

    2,608       15,674  

Syndax Pharmaceuticals Inc.(a)

    2,704       45,346  

Tango Therapeutics Inc.(a)

    3,717       27,357  

Taysha Gene Therapies Inc.(a)(b)

    1,397       5,113  

Tenaya Therapeutics Inc.(a)

    735       6,777  

TG Therapeutics Inc.(a)(b)

    7,897       54,805  

Travere Therapeutics Inc.(a)

    3,054       76,747  

Turning Point Therapeutics Inc.(a)(b)

    2,944       86,671  

Twist Bioscience Corp.(a)

    3,175       91,567  
Security   Shares     Value  

Biotechnology (continued)

    

Tyra Biosciences Inc.(a)(b)

    624     $ 4,661  

Ultragenyx Pharmaceutical Inc.(a)(b)

    4,048       286,153  

Vanda Pharmaceuticals Inc.(a)

    3,367       33,401  

Vaxart Inc.(a)(b)

    7,519       26,166  

Veracyte Inc.(a)

    4,167       85,298  

Verastem Inc.(a)

    10,082       14,316  

Vericel Corp.(a)

    2,786       79,401  

Verve Therapeutics Inc.(a)

    849       12,667  

Viking Therapeutics Inc.(a)

    4,402       10,477  

Vir Biotechnology Inc.(a)

    4,387       89,275  

VistaGen Therapeutics Inc.(a)

    10,701       13,590  

Vor BioPharma Inc.(a)(b)

    706       4,045  

Xencor Inc.(a)

    3,492       87,230  

Y-mAbs Therapeutics Inc.(a)

    2,073       17,413  

Zentalis Pharmaceuticals Inc.(a)

    2,191       58,105  
   

 

 

  
          9,654,537  
Building Products — 1.1%            

AAON Inc.

     2,468       120,290  

American Woodmark Corp.(a)

    968       45,351  

Apogee Enterprises Inc.

     1,480       65,120  

Armstrong World Industries Inc.

     2,801       237,133  

AZEK Co. Inc. (The)(a)(b)

    6,577       139,695  

Cornerstone Building Brands Inc.(a)

    3,239       78,999  

Gibraltar Industries Inc.(a)

    1,945       73,599  

Griffon Corp.

     2,825       52,856  

Hayward Holdings Inc.(a)(b)

    2,489       39,575  

Insteel Industries Inc.

     1,144       48,528  

Janus International Group Inc.(a)

    3,405       32,211  

JELD-WEN Holding Inc.(a)

    5,458       113,472  

Masonite International Corp.(a)

    1,413       109,536  

PGT Innovations Inc.(a)

    3,563       63,315  

Quanex Building Products Corp.

     1,995       38,344  

Resideo Technologies Inc.(a)

    8,567       192,672  

Simpson Manufacturing Co. Inc.

     2,583       267,780  

Tecnoglass Inc.

     1,242       27,734  

UFP Industries Inc.

     3,683       284,954  

View Inc.(a)(b)

    3,875       5,967  

Zurn Water Solutions Corp.

     7,492       233,900  
   

 

 

  
      2,271,031  
Capital Markets — 2.0%            

Affiliated Managers Group Inc.

     2,419       303,754  

Artisan Partners Asset Management Inc., Class A

     4,007       128,785  

Assetmark Financial Holdings Inc.(a)

    1,140       21,922  

B. Riley Financial Inc.

     974       43,986  

Bakkt Holdings Inc.(a)(b)

    2,187       8,354  

BGC Partners Inc., Class A

     19,060       69,188  

Blucora Inc.(a)

    2,983       60,406  

Blue Owl Capital Inc.

     19,743       235,534  

Bridge Investment Group Holdings Inc., Class A

     1,437       26,987  

BrightSphere Investment Group Inc.

     2,146       43,006  

Cohen & Steers Inc.

     1,480       114,981  

Cowen Inc., Class A

     1,620       37,017  

Donnelley Financial Solutions Inc.(a)

    1,728       50,579  

Evercore Inc., Class A

     2,317       245,023  

Federated Hermes Inc.

     5,762       164,102  

Focus Financial Partners Inc., Class A(a)

    3,270       129,001  

Freedom Holding Corp./NV(a)(b)

    995       46,695  

GCM Grosvenor Inc., Class A

     2,136       17,622  

Hamilton Lane Inc., Class A

     2,090       143,332  
 

 

 

54  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Capital Markets (continued)

    

Houlihan Lokey Inc.

     3,000     $ 249,870  

Interactive Brokers Group Inc., Class A

     5,201       309,772  

Janus Henderson Group PLC

     10,023       305,501  

Moelis & Co., Class A

     3,612       159,867  

Open Lending Corp., Class A(a)

    6,170       84,159  

Oppenheimer Holdings Inc., Class A, NVS

     561       18,075  

Perella Weinberg Partners

     2,261       17,432  

Piper Sandler Cos

     850       97,733  

PJT Partners Inc., Class A

     1,464       96,609  

Runway Growth Finance Corp.(b)

    415       5,964  

Sculptor Capital Management Inc.

     1,183       12,374  

StepStone Group Inc., Class A

     2,904       74,400  

Stifel Financial Corp.

     6,214       384,336  

StoneX Group Inc.(a)

    1,022       69,271  

Victory Capital Holdings Inc., Class A

     1,432       38,650  

Virtu Financial Inc., Class A

     4,883       141,021  

Virtus Investment Partners Inc.

     427       75,647  

WisdomTree Investments Inc.

     6,467       37,703  
   

 

 

  
          4,068,658  
Chemicals — 2.4%            

AdvanSix Inc.

     1,670       74,382  

American Vanguard Corp.

     1,608       34,411  

Amyris Inc.(a)(b)

    11,637       39,915  

Ashland Global Holdings Inc.

     3,142       329,816  

Aspen Aerogels Inc.(a)

    1,470       31,752  

Avient Corp.

     5,420       266,881  

Balchem Corp.

     1,927       237,406  

Cabot Corp.

     3,376       222,310  

Chase Corp.

     455       38,384  

Chemours Co. (The)

     9,526       315,025  

Danimer Scientific Inc.(a)(b)

    5,003       19,612  

Diversey Holdings Ltd.(a)

    2,751       21,293  

Ecovyst Inc.

     3,281       33,007  

Element Solutions Inc.

     12,918       266,369  

FutureFuel Corp.

     1,949       18,535  

GCP Applied Technologies Inc.(a)

    3,205       100,541  

Hawkins Inc.

     1,127       42,014  

HB Fuller Co.

     3,133       208,971  

Huntsman Corp.

     12,324       417,414  

Ingevity Corp.(a)

    2,312       138,489  

Innospec Inc.

     1,466       139,724  

Intrepid Potash Inc.(a)

    574       43,957  

Koppers Holdings Inc.

     1,258       30,519  

Kronos Worldwide Inc.

     1,295       19,710  

Livent Corp.(a)

    9,591       204,864  

Loop Industries Inc.(a)

    1,374       8,931  

Minerals Technologies Inc.

     1,966       125,057  

NewMarket Corp.

     409       132,765  

Origin Materials Inc.(a)

    6,815       44,229  

PureCycle Technologies Inc.(a)

    4,699       36,652  

Quaker Chemical Corp.

     795       129,354  

Rayonier Advanced Materials Inc.(a)

    3,698       18,971  

Schweitzer-Mauduit International Inc.

     1,879       47,276  

Sensient Technologies Corp.

     2,494       210,992  

Stepan Co.

     1,272       129,884  

Tredegar Corp.

     1,434       16,419  

Trinseo PLC

     2,317       109,942  

Tronox Holdings PLC, Class A

     6,804       117,029  

Valvoline Inc.

     10,632       321,405  
Security   Shares     Value  

Chemicals (continued)

    

Zymergen Inc.(a)(b)

    2,150     $ 3,612  
   

 

 

  
      4,747,819  
Commercial Services & Supplies — 1.6%            

ABM Industries Inc.

     4,018       193,949  

ACCO Brands Corp.

     5,767       42,272  

ACV Auctions Inc., Class A(a)

    5,481       73,171  

Brady Corp., Class A, NVS

     2,894       129,506  

BrightView Holdings Inc.(a)

    2,854       36,132  

Brink’s Co. (The)

     2,916       171,898  

Casella Waste Systems Inc., Class A(a)

    2,980       245,075  

Cimpress PLC(a)

    1,155       58,339  

Clean Harbors Inc.(a)

    2,975       312,167  

CoreCivic Inc.(a)

    7,178       89,223  

Deluxe Corp.

     2,540       68,783  

Driven Brands Holdings Inc.(a)

    3,289       91,730  

GEO Group Inc. (The)(a)

    4,896       31,971  

Harsco Corp.(a)

    4,755       48,596  

Healthcare Services Group Inc.

     4,442       75,914  

HNI Corp.

     2,594       92,450  

Interface Inc.

     3,591       45,570  

KAR Auction Services Inc.(a)

    7,234       106,050  

Kimball International Inc., Class B

     2,276       17,480  

Matthews International Corp., Class A

     1,893       56,430  

MillerKnoll Inc.

     4,486       142,341  

Montrose Environmental Group Inc.(a)(b)

    1,588       72,048  

MSA Safety Inc.

     2,154       259,966  

Shapeways Holdings Inc.(a)

    985       1,872  

SP Plus Corp.(a)

    1,424       40,584  

Steelcase Inc., Class A

     5,350       62,755  

Stericycle Inc.(a)(b)

    5,425       272,281  

U.S. Ecology Inc.(a)

    1,870       89,741  

UniFirst Corp./MA

     899       154,898  

Viad Corp.(a)

    1,192       39,038  

VSE Corp.

     607       26,289  
   

 

 

  
          3,148,519  
Communications Equipment — 0.8%            

ADTRAN Inc.

     2,901       50,448  

Aviat Networks Inc.(a)

    586       17,521  

CalAmp Corp.(a)

    2,202       12,045  

Calix Inc.(a)

    3,275       130,705  

Cambium Networks Corp.(a)

    664       10,139  

Casa Systems Inc.(a)

    1,968       9,643  

Clearfield Inc.(a)(b)

    699       40,703  

CommScope Holding Co. Inc.(a)(b)

    12,141       73,210  

Comtech Telecommunications Corp.

     1,634       22,223  

Digi International Inc.(a)

    2,076       39,278  

Extreme Networks Inc.(a)

    7,628       73,229  

Harmonic Inc.(a)

    6,227       51,684  

Infinera Corp.(a)

    12,457       95,794  

Inseego Corp.(a)

    4,645       13,238  

Lumentum Holdings Inc.(a)(b)

    4,291       348,472  

NETGEAR Inc.(a)

    1,815       39,386  

NetScout Systems Inc.(a)

    4,415       135,982  

Plantronics Inc.(a)

    2,570       102,440  

Ribbon Communications Inc.(a)

    7,084       24,440  

Viasat Inc.(a)

    4,412       162,406  

Viavi Solutions Inc.(a)

    13,663       195,928  
   

 

 

  
      1,648,914  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   55

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Construction & Engineering — 1.6%

    

Ameresco Inc., Class A(a)(b)

    1,821     $ 91,851  

API Group Corp.(a)

    12,142       225,356  

Arcosa Inc.

     2,857       152,935  

Argan Inc.

     935       34,389  

Comfort Systems USA Inc.

     2,142       180,828  

Construction Partners Inc., Class A(a)(b)

    2,439       62,951  

Dycom Industries Inc.(a)

    1,795       152,413  

EMCOR Group Inc.

     3,167       337,222  

Fluor Corp.(a)

    8,388       207,603  

Granite Construction Inc.

     2,757       81,745  

Great Lakes Dredge & Dock Corp.(a)

    3,860       53,307  

IES Holdings Inc.(a)

    536       15,705  

Infrastructure and Energy Alternatives Inc.(a)

    1,751       16,372  

MasTec Inc.(a)(b)

    3,502       252,179  

MDU Resources Group Inc.

     12,109       311,928  

MYR Group Inc.(a)

    1,021       80,751  

NV5 Global Inc.(a)

    698       83,620  

Primoris Services Corp.

     3,172       73,527  

Sterling Construction Co. Inc.(a)

    1,694       38,776  

Tutor Perini Corp.(a)

    2,605       24,148  

Valmont Industries Inc.

     1,261       313,749  

WillScot Mobile Mini Holdings Corp.(a)

    13,245       464,899  
   

 

 

  
          3,256,254  
Construction Materials — 0.2%            

Eagle Materials Inc.

     2,350       289,802  

Summit Materials Inc., Class A(a)(b)

    7,030       195,434  
   

 

 

  
      485,236  
Consumer Finance — 0.9%            

Atlanticus Holdings Corp.(a)

    321       13,816  

Curo Group Holdings Corp.

     1,299       15,250  

Encore Capital Group Inc.(a)

    1,498       86,599  

Enova International Inc.(a)

    2,035       76,109  

EZCORP Inc., Class A, NVS(a)

    3,225       22,575  

FirstCash Holdings Inc.

     2,381       189,956  

Green Dot Corp., Class A(a)

    3,126       82,777  

Katapult Holdings Inc.(a)

    3,394       6,007  

LendingClub Corp.(a)(b)

    6,071       92,583  

LendingTree Inc.(a)(b)

    686       54,482  

Moneylion Inc.(a)

    5,451       11,338  

Navient Corp.

     9,137       145,187  

Nelnet Inc., Class A

     1,231       101,028  

OneMain Holdings Inc.

     6,461       296,754  

PRA Group Inc.(a)(b)

    2,614       109,866  

PROG Holdings Inc.(a)

    3,415       90,395  

Regional Management Corp.

     536       23,075  

SLM Corp.

     16,636       278,320  

Sunlight Financial Holdings Inc.(a)

    2,151       8,927  

World Acceptance Corp.(a)

    250       47,178  
   

 

 

  
      1,752,222  
Containers & Packaging — 0.7%            

Graphic Packaging Holding Co.

     16,798       366,196  

Greif Inc., Class A, NVS

     1,572       95,389  

Myers Industries Inc.

     2,246       49,255  

O-I Glass Inc.(a)

    9,213       124,191  

Pactiv Evergreen Inc.

     2,637       26,001  

Ranpak Holdings Corp.(a)

    2,396       36,132  

Silgan Holdings Inc.

     4,982       221,051  

Sonoco Products Co.

     5,859       362,731  
Security   Shares     Value  

Containers & Packaging (continued)

    

TriMas Corp.

     2,535     $ 74,884  
   

 

 

  
      1,355,830  
Distributors — 0.0%            

Funko Inc., Class A(a)

    1,565       25,494  
   

 

 

  
Diversified Consumer Services — 1.0%            

2U Inc.(a)(b)

    4,456       44,471  

ADT Inc.

     8,666       59,362  

Adtalem Global Education Inc.(a)

    2,999       87,901  

American Public Education Inc.(a)

    1,101       21,404  

Beachbody Co. Inc. (The)(a)

    5,696       9,341  

Carriage Services Inc.

     887       38,043  

Coursera Inc.(a)

    4,942       92,959  

Duolingo Inc, Class A(a)(b)

    513       44,359  

European Wax Center Inc., Class A

     855       23,470  

frontdoor Inc.(a)(b)

    5,056       156,281  

Graham Holdings Co., Class B

     235       139,207  

Grand Canyon Education Inc.(a)

    2,345       225,050  

H&R Block Inc.

     9,747       254,104  

Laureate Education Inc., Class A

     8,658       98,095  

Mister Car Wash Inc.(a)(b)

    2,287       32,933  

Nerdy Inc.(a)

    3,805       14,155  

OneSpaWorld Holdings Ltd.(a)

    3,516       35,301  

Perdoceo Education Corp.(a)

    4,161       46,520  

PowerSchool Holdings Inc., Class A(a)

    2,424       36,699  

Rover Group Inc.(a)

    4,810       30,447  

Stride Inc.(a)

    2,530       99,429  

Terminix Global Holdings Inc.(a)

    7,206       330,683  

Udemy Inc.(a)

    890       9,710  

Vivint Smart Home Inc.(a)(b)

    2,451       12,843  

WW International Inc.(a)

    3,164       30,976  
   

 

 

  
          1,973,743  
Diversified Financial Services — 0.2%            

A-Mark Precious Metals Inc.

     493       38,848  

Cannae Holdings Inc.(a)(b)

    4,968       111,283  

Compass Diversified Holdings

     3,396       74,237  

Jackson Financial Inc., Class A

     5,566       235,498  
   

 

 

  
      459,866  
Diversified Telecommunication Services — 0.6%            

Anterix Inc.(a)

    1,079       55,935  

AST SpaceMobile Inc.(a)(b)

    2,332       17,560  

Bandwidth Inc., Class A(a)

    1,382       30,570  

Cogent Communications Holdings Inc.

     2,505       146,542  

Consolidated Communications Holdings Inc.(a)

    4,288       25,514  

EchoStar Corp., Class A(a)(b)

    2,329       54,382  

Frontier Communications Parent Inc.(a)(b)

    12,353       325,996  

Globalstar Inc.(a)

    39,566       45,897  

IDT Corp., Class B(a)

    1,037       27,460  

Iridium Communications Inc.(a)

    7,864       280,823  

Liberty Latin America Ltd., Class A(a)

    2,311       21,354  

Liberty Latin America Ltd., Class C, NVS(a)

    9,219       85,183  

Ooma Inc.(a)

    1,264       16,230  

Radius Global Infrastructure Inc., Class A(a)

    4,204       52,214  
   

 

 

  
      1,185,660  
Electric Utilities — 1.0%            

ALLETE Inc.

     3,330       197,602  

Hawaiian Electric Industries Inc.

     6,509       267,585  

IDACORP Inc.

     3,023       317,959  

MGE Energy Inc.

     2,153       167,654  
 

 

 

56  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Electric Utilities (continued)

    

OGE Energy Corp.

     11,874     $ 459,287  

Otter Tail Corp.

     2,504       145,132  

PNM Resources Inc.

     5,061       236,146  

Portland General Electric Co.

     5,327       252,127  
   

 

 

  
          2,043,492  
Electrical Equipment — 1.1%            

Acuity Brands Inc.

     2,081       358,931  

Advent Technologies Holdings Inc.(a)(b)

    2,137       4,167  

American Superconductor Corp.(a)

    1,523       8,118  

Array Technologies Inc.(a)

    7,257       47,388  

Atkore Inc.(a)(b)

    2,689       258,413  

AZZ Inc.

     1,459       66,589  

Babcock & Wilcox Enterprises Inc.(a)

    3,342       25,098  

Blink Charging Co.(a)(b)

    2,178       41,600  

Bloom Energy Corp., Class A(a)

    8,758       162,549  

Encore Wire Corp.

     1,214       136,951  

EnerSys

     2,435       159,395  

Enovix Corp.(a)

    5,871       53,074  

Eos Energy Enterprises Inc.(a)(b)

    2,377       5,039  

ESS Tech Inc.(a)

    3,533       19,679  

Fluence Energy Inc., Class A(a)(b)

    1,976       18,120  

FREYR Battery SA(a)

    4,882       43,840  

FTC Solar Inc.(a)(b)

    1,304       3,651  

FuelCell Energy Inc.(a)

    22,068       90,037  

GrafTech International Ltd.

     11,764       106,817  

nVent Electric PLC

     9,988       337,395  

Romeo Power Inc.(a)(b)

    5,595       6,155  

Shoals Technologies Group Inc., Class A(a)(b)

    6,249       62,365  

Stem Inc.(a)(b)

    7,885       56,535  

TPI Composites Inc.(a)

    2,229       25,500  

Vicor Corp.(a)

    1,285       77,768  
   

 

 

  
      2,175,174  
Electronic Equipment, Instruments & Components — 2.7%  

908 Devices Inc.(a)(b)

    996       17,679  

Advanced Energy Industries Inc.

     2,238       171,252  

Aeva Technologies Inc.(a)(b)

    5,453       17,886  

AEye Inc.(a)(b)

    6,073       31,033  

Akoustis Technologies Inc.(a)(b)

    3,097       13,751  

Alpine 4 Holdings Inc.(a)(b)

    8,761       6,810  

Arlo Technologies Inc.(a)

    5,110       39,551  

Avnet Inc.

     5,882       256,808  

Badger Meter Inc.

     1,733       139,836  

Belden Inc.

     2,689       138,833  

Benchmark Electronics Inc.

     2,115       50,252  

Coherent Inc.(a)

    1,475       395,152  

CTS Corp.

     1,945       68,795  

ePlus Inc.(a)

    1,599       90,312  

Evolv Technologies Holdings Inc.(a)

    3,184       6,973  

Fabrinet(a)

    2,199       215,920  

FARO Technologies Inc.(a)

    1,098       37,650  

Identiv Inc.(a)

    1,281       15,615  

II-VI Inc.(a)(b)

    6,308       386,113  

Insight Enterprises Inc.(a)

    2,099       208,578  

Itron Inc.(a)

    2,687       128,385  

Kimball Electronics Inc.(a)

    1,546       27,581  

Knowles Corp.(a)

    5,831       107,990  

Lightwave Logic Inc.(a)(b)

    6,100       69,357  

Littelfuse Inc.

     1,462       335,163  

Methode Electronics Inc.

     2,226       99,302  
Security   Shares     Value  

Electronic Equipment, Instruments & Components (continued)

 

MicroVision Inc.(a)(b)

    9,766     $ 31,544  

National Instruments Corp.

     7,837       283,229  

nLight Inc.(a)

    2,580       33,927  

Novanta Inc.(a)(b)

    2,102       270,527  

OSI Systems Inc.(a)

    997       78,863  

Ouster Inc.(a)

    4,694       15,537  

PAR Technology Corp.(a)(b)

    1,488       49,164  

PC Connection Inc.

     678       33,554  

Plexus Corp.(a)

    1,662       134,855  

Rogers Corp.(a)

    1,116       302,123  

Sanmina Corp.(a)

    3,813       155,914  

ScanSource Inc.(a)

    1,564       53,551  

SmartRent Inc.(a)(b)

    5,272       25,622  

TD SYNNEX Corp.

     2,479       248,123  

TTM Technologies Inc.(a)

    6,202       86,518  

Velodyne Lidar Inc.(a)

    5,923       11,135  

Vishay Intertechnology Inc.

     7,893       147,047  

Vontier Corp.

     10,026       256,866  
   

 

 

  
          5,294,676  
Energy Equipment & Services — 1.4%            

Archrock Inc.

     8,004       69,715  

Bristow Group Inc.(a)

    1,436       42,821  

Cactus Inc., Class A

     3,500       174,755  

ChampionX Corp.

     11,953       252,208  

Core Laboratories NV(b)

    2,742       71,292  

DMC Global Inc.(a)

    1,151       23,008  

Dril-Quip Inc.(a)(b)

    2,135       61,659  

Helix Energy Solutions Group Inc.(a)

    8,322       34,203  

Helmerich & Payne Inc.

     6,294       289,713  

Liberty Energy Inc., Class A(a)

    6,249       100,859  

Nabors Industries Ltd.(a)

    467       72,208  

Newpark Resources Inc.(a)

    5,511       19,233  

NexTier Oilfield Solutions Inc.(a)

    9,553       105,370  

Noble Corp.(a)

    3,567       113,894  

NOV Inc.

     23,305       422,520  

Oceaneering International Inc.(a)

    5,905       66,904  

Oil States International Inc.(a)

    3,565       24,099  

Patterson-UTI Energy Inc.

     12,741       209,462  

ProPetro Holding Corp.(a)

    5,138       72,651  

RPC Inc.(a)

    4,165       43,066  

Select Energy Services Inc., Class A(a)

    3,951       30,660  

TETRA Technologies Inc.(a)

    7,839       28,848  

Transocean Ltd.(a)(b)

    35,886       134,931  

U.S. Silica Holdings Inc.(a)

    4,409       81,919  

Valaris Ltd.(a)(b)

    3,889       197,367  

Weatherford International PLC(a)

    3,906       126,086  
   

 

 

  
      2,869,451  
Entertainment — 0.5%            

Cinedigm Corp., Class A(a)(b)

    8,258       5,748  

Cinemark Holdings Inc.(a)(b)

    6,369       101,012  

CuriosityStream Inc.(a)

    1,581       3,210  

IMAX Corp.(a)

    3,012       47,650  

Liberty Media Corp.-Liberty Braves, Class C, NVS(a)

    2,215       55,619  

Lions Gate Entertainment Corp., Class A(a)

    3,772       50,884  

Lions Gate Entertainment Corp., Class B, NVS(a)

    7,191       90,391  

Madison Square Garden Entertainment Corp.(a)

    1,524       111,633  

Madison Square Garden Sports Corp.(a)

    1,018       165,028  

Marcus Corp. (The)(a)

    1,366       21,487  

Playstudios Inc.(a)

    4,929       28,539  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   57

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Entertainment (continued)

    

Redbox Entertainment Inc., Class A(a)(b)

    985     $ 5,890  

Sciplay Corp., Class A(a)

    1,494       19,960  

Skillz Inc., Class A(a)(b)

    15,338       31,443  

Warner Music Group Corp., Class A

     6,883       204,907  

World Wrestling Entertainment Inc., Class A

     2,588       151,113  
   

 

 

  
          1,094,514  
Equity Real Estate Investment Trusts (REITs) — 7.6%  

Acadia Realty Trust

     5,310       111,085  

Agree Realty Corp.

     4,213       286,147  

Alexander & Baldwin Inc.

     4,358       92,390  

Alexander’s Inc.

     126       31,269  

American Assets Trust Inc.

     3,124       114,338  

American Campus Communities Inc.

     8,285       535,791  

Apple Hospitality REIT Inc.

     12,616       223,177  

Armada Hoffler Properties Inc.

     3,986       54,010  

Ashford Hospitality Trust Inc.(a)(b)

    1,935       13,642  

Bluerock Residential Growth REIT Inc., Class A

     1,709       45,476  

Braemar Hotels & Resorts Inc.

     3,348       20,289  

Brandywine Realty Trust

     10,272       119,874  

Brixmor Property Group Inc.

     17,677       448,642  

CareTrust REIT Inc.

     5,838       94,634  

CatchMark Timber Trust Inc., Class A

     3,007       24,687  

Centerspace

     903       83,311  

Chatham Lodging Trust(a)

    2,979       42,778  

City Office REIT Inc.

     2,581       38,302  

Community Healthcare Trust Inc.

     1,445       53,205  

Corporate Office Properties Trust

     6,681       178,316  

Cousins Properties Inc.

     8,814       316,423  

CTO Realty Growth Inc.

     383       24,424  

DiamondRock Hospitality Co.(a)

    12,517       132,931  

DigitalBridge Group Inc.(a)

    30,471       212,078  

Diversified Healthcare Trust

     14,465       32,546  

Douglas Emmett Inc.

     10,418       306,914  

EastGroup Properties Inc.

     2,411       452,062  

Empire State Realty Trust Inc., Class A

     8,485       73,310  

EPR Properties

     4,439       233,136  

Equity Commonwealth(a)

    6,704       175,578  

Essential Properties Realty Trust Inc.

     7,172       172,128  

Farmland Partners Inc.

     1,748       25,731  

First Industrial Realty Trust Inc.

     7,742       449,036  

Four Corners Property Trust Inc.

     4,635       127,277  

Franklin Street Properties Corp., Class C

     5,743       29,634  

Getty Realty Corp.

     2,294       61,732  

Gladstone Commercial Corp.

     2,357       49,591  

Gladstone Land Corp.(b)

    1,874       68,214  

Global Medical REIT Inc.

     3,568       52,664  

Global Net Lease Inc.

     6,167       86,523  

Healthcare Realty Trust Inc.

     8,804       238,412  

Healthcare Trust of America Inc., Class A

     13,099       398,996  

Hersha Hospitality Trust, Class A(a)

    2,095       20,489  

Highwoods Properties Inc.

     6,238       254,760  

Hudson Pacific Properties Inc.

     9,031       210,242  

Independence Realty Trust Inc.

     13,120       357,651  

Industrial Logistics Properties Trust

     3,918       63,315  

Innovative Industrial Properties Inc.

     1,608       232,501  

iStar Inc.

     4,105       69,128  

JBG SMITH Properties

     6,743       177,745  

Kite Realty Group Trust

     12,987       289,610  

LTC Properties Inc.

     2,391       78,903  

LXP Industrial Trust

     16,760       210,338  
Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

Macerich Co. (The)

     12,626     $ 158,456  

National Health Investors Inc.

     2,745       141,450  

National Storage Affiliates Trust

     4,834       273,604  

Necessity Retail REIT Inc.

     7,533       56,272  

NETSTREIT Corp.

     2,331       50,396  

NexPoint Residential Trust Inc.

     1,345       119,920  

Office Properties Income Trust

     2,963       64,060  

Omega Healthcare Investors Inc.

     14,227       362,504  

Outfront Media Inc.

     8,659       221,670  

Paramount Group Inc.

     9,875       93,911  

Park Hotels & Resorts Inc.

     14,010       276,137  

Pebblebrook Hotel Trust

     7,750       189,255  

Physicians Realty Trust

     12,991       222,666  

Piedmont Office Realty Trust Inc., Class A

     7,460       120,106  

Plymouth Industrial REIT Inc.

     2,043       49,277  

PotlatchDeltic Corp.

     4,120       228,207  

Preferred Apartment Communities Inc., Class A

     3,215       79,989  

PS Business Parks Inc.

     1,189       222,581  

Rayonier Inc.

     8,655       373,896  

Retail Opportunity Investments Corp.

     7,273       135,496  

RLJ Lodging Trust

     9,883       138,560  

RPT Realty

     5,147       68,404  

Ryman Hospitality Properties Inc.(a)

    3,260       304,745  

Sabra Health Care REIT Inc.

     13,660       159,549  

Safehold Inc.(b)

    834       35,904  

Seritage Growth Properties, Class A(a)(b)

    2,201       21,790  

Service Properties Trust

     9,918       80,534  

SITE Centers Corp.

     10,655       169,414  

SL Green Realty Corp.

     3,827       264,905  

Spirit Realty Capital Inc.

     7,586       329,612  

STAG Industrial Inc.

     10,480       391,114  

Summit Hotel Properties Inc.(a)

    6,273       61,915  

Sunstone Hotel Investors Inc.(a)

    12,950       158,638  

Tanger Factory Outlet Centers Inc.

     6,254       100,877  

Terreno Realty Corp.

     4,471       325,265  

UMH Properties Inc.

     2,768       65,103  

Uniti Group Inc.

     14,082       174,476  

Universal Health Realty Income Trust

     783       39,299  

Urban Edge Properties

     6,665       124,569  

Urstadt Biddle Properties Inc., Class A

     1,878       32,583  

Veris Residential Inc.(a)

    4,798       76,816  

Washington Real Estate Investment Trust

     5,120       123,341  

Whitestone REIT

     2,829       34,372  

Xenia Hotels & Resorts Inc.(a)

    6,768       130,555  
   

 

 

  
          15,147,578  
Food & Staples Retailing — 1.2%            

Andersons Inc. (The)

     1,807       90,766  

BJ’s Wholesale Club Holdings Inc.(a)(b)

    8,082       520,077  

Casey’s General Stores Inc.

     2,209       444,672  

Chefs’ Warehouse Inc. (The)(a)

    1,964       71,882  

Grocery Outlet Holding Corp.(a)(b)

    5,203       175,185  

Ingles Markets Inc., Class A

     864       80,456  

Performance Food Group Co.(a)(b)

    9,191       452,657  

PriceSmart Inc.

     1,408       111,865  

Rite Aid Corp.(a)(b)

    3,277       20,874  

SpartanNash Co.

     2,205       75,587  

Sprouts Farmers Market Inc.(a)

    6,710       199,958  

United Natural Foods Inc.(a)

    3,441       147,722  
 

 

 

58  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Food & Staples Retailing (continued)

    

Weis Markets Inc.

     1,000     $ 79,880  
   

 

 

  
      2,471,581  
Food Products — 1.6%            

AppHarvest Inc.(a)(b)

    3,493       14,356  

B&G Foods Inc.

     3,914       105,404  

Benson Hill Inc.(a)

    7,880       28,526  

Beyond Meat Inc.(a)(b)

    3,570       131,662  

Calavo Growers Inc.

     1,060       38,414  

Flowers Foods Inc.

     11,825       313,599  

Fresh Del Monte Produce Inc.

     2,036       53,038  

Freshpet Inc.(a)(b)

    2,573       240,190  

Hain Celestial Group Inc. (The)(a)

    5,453       182,894  

Hostess Brands Inc.(a)

    8,217       186,444  

Ingredion Inc.

     3,958       336,865  

J&J Snack Foods Corp.

     890       133,233  

John B Sanfilippo & Son Inc.

     552       42,857  

Lancaster Colony Corp.

     1,177       182,647  

Mission Produce Inc.(a)

    2,203       28,022  

Pilgrim’s Pride Corp.(a)(b)

    2,881       81,676  

Post Holdings Inc.(a)

    3,374       250,992  

Sanderson Farms Inc.

     1,256       237,849  

Seaboard Corp.

     15       63,375  

Simply Good Foods Co. (The)(a)

    5,003       208,375  

Sovos Brands Inc.(a)

    1,502       22,680  

Tattooed Chef Inc.(a)(b)

    2,682       21,429  

Tootsie Roll Industries Inc.

     1,053       36,887  

TreeHouse Foods Inc.(a)

    3,332       104,958  

Utz Brands Inc.

     3,686       52,046  

Vita Coco Co. Inc. (The)(a)(b)

    726       7,884  

Vital Farms Inc.(a)(b)

    1,443       16,594  

Whole Earth Brands Inc.(a)

    2,287       15,803  
   

 

 

  
          3,138,699  
Gas Utilities — 1.0%            

Chesapeake Utilities Corp.

     1,060       132,680  

Macquarie Infrastructure Holdings LLC

     4,393       16,474  

National Fuel Gas Co.

     5,432       380,946  

New Jersey Resources Corp.

     5,712       246,530  

Northwest Natural Holding Co.

     1,873       89,586  

ONE Gas Inc.

     3,183       268,550  

South Jersey Industries Inc.

     6,682       228,457  

Southwest Gas Holdings Inc.(a)

    3,922       345,567  

Spire Inc.

     3,072       223,488  
   

 

 

  
      1,932,278  
Health Care Equipment & Supplies — 3.4%            

Accuray Inc.(a)

    5,564       14,800  

Alphatec Holdings Inc.(a)

    3,910       42,424  

AngioDynamics Inc.(a)

    2,324       48,920  

Artivion Inc.(a)

    2,348       47,641  

Asensus Surgical Inc.(a)(b)

    13,639       6,183  

Aspira Women’s Health Inc.(a)(b)

    3,558       2,264  

AtriCure Inc.(a)

    2,726       141,561  

Atrion Corp.

     84       52,636  

Avanos Medical Inc.(a)

    2,873       83,777  

Axogen Inc.(a)

    2,485       17,991  

Axonics Inc.(a)(b)

    2,747       142,350  

BioLife Solutions Inc.(a)

    1,738       22,020  

Bioventus Inc., Class A(a)

    1,239       14,905  

Butterfly Network Inc.(a)

    7,805       25,991  

Cardiovascular Systems Inc.(a)

    2,409       45,048  
Security   Shares     Value  

Health Care Equipment & Supplies (continued)

    

Cerus Corp.(a)

    10,363     $ 47,877  

ClearPoint Neuro Inc.(a)

    957       8,202  

CONMED Corp.

     1,737       230,952  

CryoPort Inc.(a)

    2,921       65,898  

Cutera Inc.(a)

    982       53,332  

CVRx Inc.(a)

    432       2,691  

Eargo Inc.(a)

    1,385       5,235  

Enovis Corp.(a)(b)

    2,669       173,138  

Envista Holdings Corp.(a)

    9,617       381,026  

Establishment Labs Holdings Inc.(a)(b)

    1,291       91,351  

Figs Inc., Class A(a)(b)

    2,127       33,309  

Glaukos Corp.(a)

    2,773       131,135  

Globus Medical Inc., Class A(a)

    4,691       310,638  

Haemonetics Corp.(a)

    3,035       153,783  

Heska Corp.(a)

    633       69,529  

ICU Medical Inc.(a)(b)

    1,184       253,364  

Inari Medical Inc.(a)

    1,914       154,460  

Inogen Inc.(a)(b)

    1,234       31,196  

Integer Holdings Corp.(a)

    1,963       147,559  

Integra LifeSciences Holdings Corp.(a)

    4,308       263,477  

Intersect ENT Inc.(a)

    1,998       54,685  

iRhythm Technologies Inc.(a)

    1,744       215,157  

Lantheus Holdings Inc.(a)

    4,045       268,628  

LeMaitre Vascular Inc.

     1,140       49,259  

LivaNova PLC(a)(b)

    3,153       241,709  

Meridian Bioscience Inc.(a)

    2,636       67,455  

Merit Medical Systems Inc.(a)

    3,015       186,960  

Mesa Laboratories Inc.

     310       66,225  

Natus Medical Inc.(a)

    2,051       68,237  

Neogen Corp.(a)

    6,407       169,145  

Nevro Corp.(a)(b)

    2,078       128,192  

NuVasive Inc.(a)(b)

    3,075       158,178  

Omnicell Inc.(a)

    2,612           285,152  

OraSure Technologies Inc.(a)(b)

    4,219       25,905  

Ortho Clinical Diagnostics Holdings PLC(a)

    6,787       119,519  

Orthofix Medical Inc.(a)(b)

    1,199       37,169  

OrthoPediatrics Corp.(a)

    847       38,183  

Outset Medical Inc.(a)

    2,450       85,456  

Owlet Inc.(a)

    4,101       15,297  

PAVmed Inc.(a)

    4,428       5,624  

PROCEPT BioRobotics Corp.(a)

    406       14,437  

Pulmonx Corp.(a)(b)

    2,067       49,815  

Quidel Corp.(a)(b)

    2,265       227,904  

Retractable Technologies Inc.(a)(b)

    1,157       4,431  

RxSight Inc.(a)

    451       5,534  

SeaSpine Holdings Corp.(a)

    1,875       17,456  

Senseonics Holdings Inc.(a)(b)

    24,282       33,995  

Shockwave Medical Inc.(a)

    2,091       316,013  

SI-BONE Inc.(a)

    1,617       32,308  

Sientra Inc.(a)(b)

    3,491       4,957  

Sight Sciences Inc.(a)

    585       4,083  

Silk Road Medical Inc.(a)(b)

    2,077       72,799  

SmileDirectClub Inc.(a)

    6,317       11,686  

STAAR Surgical Co.(a)

    2,828       161,451  

Stereotaxis Inc.(a)

    2,624       6,560  

Surmodics Inc.(a)

    845       32,668  

Tactile Systems Technology Inc.(a)

    1,200       20,256  

TransMedics Group Inc.(a)

    1,655       34,689  

Treace Medical Concepts Inc.(a)

    735       14,406  

Vapotherm Inc.(a)

    1,375       6,105  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   59

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Health Care Equipment & Supplies (continued)

    

Varex Imaging Corp.(a)

    2,345     $ 46,548  

Vicarious Surgical Inc., Class A, NVS(a)(b)

    2,082       10,243  

ViewRay Inc.(a)

    9,074       24,228  

Zynex Inc.(b)

    1,219       7,765  
   

 

 

  
          6,763,135  
Health Care Providers & Services — 2.9%            

1Life Healthcare Inc.(a)(b)

    10,142       71,501  

23andMe Holding Co., Class A(a)

    12,457       37,246  

Acadia Healthcare Co. Inc.(a)(b)

    5,353       363,362  

Accolade Inc.(a)(b)

    3,431       19,076  

AdaptHealth Corp.(a)(b)

    5,675       71,846  

Addus HomeCare Corp.(a)

    941       79,308  

Agiliti Inc.(a)(b)

    1,611       31,801  

Alignment Healthcare Inc.(a)

    1,695       16,289  

Amedisys Inc.(a)

    1,944       248,152  

AMN Healthcare Services Inc.(a)

    2,812       274,873  

Apollo Medical Holdings Inc.(a)(b)

    2,236       81,569  

ATI Physical Therapy Inc.(a)

    2,902       4,875  

Aveanna Healthcare Holdings Inc.(a)

    2,463       7,192  

Brookdale Senior Living Inc.(a)(b)

    11,091       68,542  

Cano Health Inc.(a)(b)

    10,598       56,169  

CareMax Inc.(a)

    3,918       25,820  

Castle Biosciences Inc.(a)

    1,397       31,209  

Clover Health Investments Corp.(a)

    15,931       42,854  

Community Health Systems Inc.(a)

    7,353       56,398  

CorVel Corp.(a)

    552       85,604  

Covetrus Inc.(a)

    6,152       84,898  

Cross Country Healthcare Inc.(a)

    2,173       40,722  

Encompass Health Corp.

     5,900       406,097  

Ensign Group Inc. (The)

     3,105       249,425  

Fulgent Genetics Inc.(a)(b)

    1,174       64,429  

Hanger Inc.(a)

    2,209       36,316  

HealthEquity Inc.(a)(b)

    4,985       310,665  

Hims & Hers Health Inc.(a)

    7,383       31,082  

Innovage Holding Corp.(a)(b)

    1,137       5,219  

Invitae Corp.(a)

    12,195       64,755  

Joint Corp. (The)(a)

    853       26,034  

LHC Group Inc.(a)

    1,881       311,964  

LifeStance Health Group Inc.(a)(b)

    2,348       15,896  

MEDNAX Inc.(a)

    5,046       93,452  

ModivCare Inc.(a)

    731       76,002  

National HealthCare Corp.

     807       54,924  

OPKO Health Inc.(a)

    24,409       65,904  

Option Care Health Inc.(a)

    8,216       245,494  

Owens & Minor Inc.

     4,494       159,492  

Patterson Companies Inc.

     5,175       159,235  

Pennant Group Inc. (The)(a)

    1,602       26,257  

PetIQ Inc.(a)

    1,624       32,318  

Premier Inc., Class A

     7,078       256,294  

Privia Health Group Inc.(a)

    1,576       34,656  

Progyny Inc.(a)

    4,120       158,414  

R1 RCM Inc.(a)

    7,906       178,043  

RadNet Inc.(a)

    2,751       53,645  

Select Medical Holdings Corp.

     6,291       142,240  

Sema4 Holdings Corp.(a)

    7,461       16,041  

Signify Health Inc., Class A(a)(b)

    1,444       19,927  

Surgery Partners Inc.(a)(b)

    2,105       107,692  

Talkspace Inc.(a)

    5,350       7,169  

Tenet Healthcare Corp.(a)

    6,358       461,019  

Tivity Health Inc.(a)

    2,664       85,594  
Security   Shares     Value  

Health Care Providers & Services (continued)

    

U.S. Physical Therapy Inc.

     777     $ 80,629  
   

 

 

  
      5,835,629  
Health Care Technology — 0.9%            

Allscripts Healthcare Solutions Inc.(a)

    7,294       150,694  

American Well Corp., Class A(a)

    11,449       35,835  

Certara Inc.(a)(b)

    6,201       113,788  

Change Healthcare Inc.(a)

    14,972       352,740  

Computer Programs & Systems Inc.(a)

    886       28,281  

Convey Health Solutions Holdings Inc.(a)

    778       3,960  

Definitive Healthcare Corp.(a)(b)

    1,590       37,604  

Doximity Inc., Class A(a)(b)

    5,525       220,282  

Evolent Health Inc., Class A(a)(b)

    4,832       132,977  

Health Catalyst Inc.(a)

    3,032       50,453  

HealthStream Inc.(a)

    1,514       28,917  

Inspire Medical Systems Inc.(a)

    1,621       333,537  

Multiplan Corp.(a)

    14,693       65,090  

NextGen Healthcare Inc.(a)

    3,324       62,657  

OptimizeRx Corp.(a)

    1,050       29,516  

Phreesia Inc.(a)(b)

    3,007       68,800  

Schrodinger Inc.(a)

    2,777       68,647  

Sharecare Inc.(a)

    16,956       46,459  

Simulations Plus Inc.

     948       44,234  

Tabula Rasa HealthCare Inc.(a)

    1,426       4,806  
   

 

 

  
          1,879,277  
Hotels, Restaurants & Leisure — 3.1%            

Accel Entertainment Inc.(a)

    3,314       39,205  

Bally’s Corp.(a)(b)

    1,770       52,817  

BJ’s Restaurants Inc.(a)

    1,409       39,156  

Bloomin’ Brands Inc.

     4,840       106,432  

Boyd Gaming Corp.

     4,860       294,419  

Brinker International Inc.(a)

    2,660       96,638  

Century Casinos Inc.(a)

    1,549       16,218  

Cheesecake Factory Inc. (The)(a)

    2,859       105,526  

Choice Hotels International Inc.

     1,947       273,476  

Chuy’s Holdings Inc.(a)(b)

    1,145       28,636  

Cracker Barrel Old Country Store Inc.

     1,405       155,941  

Dave & Buster’s Entertainment Inc.(a)

    2,312       105,196  

Denny’s Corp.(a)

    3,834       49,152  

Dine Brands Global Inc.

     1,029       73,769  

Dutch Bros. Inc.(a)(b)

    1,435       68,550  

El Pollo Loco Holdings Inc.(a)

    1,237       13,174  

Esports Technologies Inc.(a)

    755       2,756  

Everi Holdings Inc.(a)

    5,395       93,657  

F45 Training Holdings Inc.(a)

    1,302       11,445  

First Watch Restaurant Group Inc.(a)

    508       6,604  

Full House Resorts Inc.(a)

    2,187       19,792  

GAN Ltd.(a)

    2,404       8,967  

Golden Entertainment Inc.(a)

    1,199       57,504  

Golden Nugget Online Gaming Inc.(a)

    2,447       12,259  

Hilton Grand Vacations Inc.(a)

    5,238       245,295  

Hyatt Hotels Corp., Class A(a)

    2,990       283,930  

Inspired Entertainment Inc.(a)(b)

    1,625       15,096  

Jack in the Box Inc.

     1,254       103,781  

Krispy Kreme Inc.(b)

    1,816       24,116  

Kura Sushi USA Inc., Class A(a)

    246       12,344  

Life Time Group Holdings Inc.(a)(b)

    2,316       33,119  

Lindblad Expeditions Holdings Inc.(a)(b)

    1,854       28,385  

Marriott Vacations Worldwide Corp.

     2,529       377,656  

Membership Collective Group Inc., Class A(a)

    1,796       13,452  
 

 

 

60  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Hotels, Restaurants & Leisure (continued)

    

Monarch Casino & Resort Inc.(a)

    796     $ 55,839  

Noodles & Co.(a)

    2,063       11,491  

ONE Group Hospitality Inc. (The)(a)

    1,398       13,015  

Papa John’s International Inc.

     1,919       174,725  

Planet Fitness Inc., Class A(a)(b)

    4,952       396,309  

PlayAGS Inc.(a)

    1,760       11,616  

Portillo’s Inc., Class A(a)(b)

    1,280       26,662  

RCI Hospitality Holdings Inc.

     479       29,679  

Red Robin Gourmet Burgers Inc.(a)(b)

    899       11,858  

Red Rock Resorts Inc., Class A

     3,126       137,419  

Rush Street Interactive Inc.(a)

    3,119       19,806  

Ruth’s Hospitality Group Inc.

     1,913       40,116  

Scientific Games Corp./DE, Class A(a)

    5,745       322,065  

SeaWorld Entertainment Inc.(a)

    2,970       200,297  

Shake Shack Inc., Class A(a)

    2,299       132,951  

Six Flags Entertainment Corp.(a)

    4,596       175,889  

Texas Roadhouse Inc.

     4,135       340,434  

Travel + Leisure Co.

     5,130       284,612  

Wendy’s Co. (The)

     10,422       205,939  

Wingstop Inc.

     1,762       161,681  

Wyndham Hotels & Resorts Inc.

     5,537       487,034  

Xponential Fitness Inc., Class A(a)(b)

    608       12,598  
   

 

 

  
          6,120,498  
Household Durables — 1.4%            

Beazer Homes USA Inc.(a)

    1,762       26,571  

Cavco Industries Inc.(a)

    511       120,724  

Century Communities Inc.

     1,779       93,789  

Cricut Inc., Class A(a)(b)

    2,144       24,913  

Dream Finders Homes Inc., Class A(a)(b)

    1,070       18,543  

Ethan Allen Interiors Inc.

     1,351       32,073  

GoPro Inc., Class A(a)

    7,710       68,773  

Green Brick Partners Inc.(a)

    2,843       56,007  

Helen of Troy Ltd.(a)

    1,435       307,822  

Hovnanian Enterprises Inc., Class A(a)

    284       13,070  

Installed Building Products Inc.

     1,394       112,175  

iRobot Corp.(a)

    1,591       80,584  

KB Home

     5,079       164,712  

La-Z-Boy Inc.

     2,590       68,065  

Leggett & Platt Inc.

     7,871       280,444  

LGI Homes Inc.(a)

    1,273       119,293  

Lovesac Co. (The)(a)(b)

    803       35,203  

M/I Homes Inc.(a)

    1,713       75,852  

MDC Holdings Inc.

     3,358       123,944  

Meritage Homes Corp.(a)

    2,208       182,270  

Purple Innovation Inc., Class A(a)

    3,471       14,301  

Skyline Champion Corp.(a)

    3,147       160,623  

Snap One Holdings Corp.(a)

    935       11,173  

Sonos Inc.(a)

    7,549       172,268  

Taylor Morrison Home Corp.(a)

    7,287       190,847  

Traeger Inc.(a)(b)

    1,390       8,326  

Tri Pointe Homes Inc.(a)

    6,643       137,311  

Tupperware Brands Corp.(a)

    2,966       52,142  

Universal Electronics Inc.(a)

    807       23,806  

Vizio Holding Corp., Class A(a)(b)

    2,051       14,849  

Vuzix Corp.(a)(b)

    3,506       18,126  

Weber Inc., Class A(b)

    1,056       9,272  
   

 

 

  
      2,817,871  
Household Products — 0.3%            

Central Garden & Pet Co.(a)

    576       25,223  
Security   Shares     Value  

Household Products (continued)

    

Central Garden & Pet Co., Class A, NVS(a)

    2,341     $ 96,870  

Energizer Holdings Inc.

     3,879       117,495  

Reynolds Consumer Products Inc.

     3,171       93,830  

Spectrum Brands Holdings Inc.

     2,414       205,359  

WD-40 Co.

     812       149,392  
   

 

 

  
      688,169  
Independent Power and Renewable Electricity Producers — 0.3%  

Clearway Energy Inc., Class A

     2,079       59,085  

Clearway Energy Inc., Class C

     4,848       148,010  

Ormat Technologies Inc.

     2,663       206,915  

Sunnova Energy International Inc.(a)(b)

    5,523       95,382  
   

 

 

  
      509,392  
Insurance — 2.7%            

Ambac Financial Group Inc.(a)

    2,923       22,595  

American Equity Investment Life Holding Co.

     4,919       185,545  

American National Group Inc.

     766       144,475  

AMERISAFE Inc.

     1,249       57,891  

Argo Group International Holdings Ltd.

     2,096       89,709  

Assured Guaranty Ltd.

     4,156       229,203  

Axis Capital Holdings Ltd.

     4,642       266,126  

Brighthouse Financial Inc.(a)

    4,630       237,797  

BRP Group Inc., Class A(a)

    3,201       74,007  

CNO Financial Group Inc.

     7,410       178,877  

Employers Holdings Inc.

     1,020       40,127  

Enstar Group Ltd.(a)

    745       175,634  

Genworth Financial Inc., Class A(a)

    27,811       103,179  

GoHealth Inc., Class A(a)(b)

    3,984       2,977  

Goosehead Insurance Inc., Class A

     1,176       67,608  

Hanover Insurance Group Inc. (The)

     2,197       322,564  

HCI Group Inc.

     486       31,148  

Hippo Holdings Inc.(a)

    22,006       41,371  

Horace Mann Educators Corp.

     1,984       79,062  

James River Group Holdings Ltd.

     2,320       55,007  

Kemper Corp.

     3,601       166,222  

Kinsale Capital Group Inc.

     1,283       284,428  

Lemonade Inc.(a)(b)

    2,274       47,436  

MBIA Inc.(a)

    2,902       34,940  

Mercury General Corp.

     1,672       84,319  

MetroMile Inc.(a)(b)

    4,623       4,537  

National Western Life Group Inc., Class A

     136       27,031  

Oscar Health Inc., Class A(a)

    2,297       16,906  

Primerica Inc.

     2,358       305,502  

ProAssurance Corp.

     2,298       56,462  

RenaissanceRe Holdings Ltd.

     2,639       378,749  

RLI Corp.

     2,429       278,801  

Ryan Specialty Group Holdings Inc., Class A(a)

    3,550       131,314  

Safety Insurance Group Inc.

     597       51,366  

Selective Insurance Group Inc.

     3,632       299,132  

Selectquote Inc.(a)

    7,508       15,466  

SiriusPoint Ltd.(a)

    5,573       34,998  

Stewart Information Services Corp.

     1,375       70,950  

Trupanion Inc.(a)(b)

    2,019       128,449  

Universal Insurance Holdings Inc.

     1,726       21,679  

Unum Group

     12,255       374,023  

White Mountains Insurance Group Ltd.(b)

    181       189,692  
   

 

 

  
          5,407,304  
Interactive Media & Services — 0.6%            

Angi Inc.(a)

    4,594       20,259  

Bumble Inc., Class A(a)(b)

    4,336       104,021  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   61

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares      Value  

Interactive Media & Services (continued)

     

Cargurus Inc.(a)

    5,196      $ 169,805  

Cars.com Inc.(a)

    3,899        43,357  

Eventbrite Inc., Class A(a)

    4,545        48,086  

EverQuote Inc., Class A(a)

    1,200        16,656  

fuboTV Inc.(a)(b)

    9,116        34,550  

Liberty TripAdvisor Holdings Inc., Class A(a)

    4,178        6,267  

MediaAlpha Inc., Class A(a)

    1,273        18,764  

Outbrain Inc.(a)

    473        4,257  

QuinStreet Inc.(a)

    2,911        27,684  

TripAdvisor Inc.(a)

    5,904        151,556  

TrueCar Inc.(a)

    5,245        18,777  

Vimeo Inc.(a)(b)

    9,393        95,715  

Yelp Inc.(a)

    4,106        133,568  

Ziff Davis Inc.(a)

    2,871        253,681  

ZipRecruiter Inc.(a)

    674        15,172  
    

 

 

  
           1,162,175  
Internet & Direct Marketing Retail — 0.4%         

1-800-Flowers.com Inc., Class A(a)(b)

    1,604        16,361  

1847 Goedeker Inc.(a)(b)

    5,999        7,619  

1stdibs.com Inc.(a)

    357        2,699  

BARK Inc.(a)(b)

    4,595        14,199  

CarParts.com Inc.(a)

    2,744        16,437  

Duluth Holdings Inc., Class B(a)

    743        9,102  

Groupon Inc.(a)

    1,254        24,466  

Lands’ End Inc.(a)(b)

    764        10,711  

Liquidity Services Inc.(a)(b)

    1,606        23,158  

Overstock.com Inc.(a)(b)

    2,585        86,753  

PetMed Express Inc.

     1,267        27,747  

Porch Group Inc.(a)

    4,479        16,572  

Poshmark Inc., Class A(a)(b)

    2,147        23,703  

Quotient Technology Inc.(a)(b)

    5,046        26,794  

Qurate Retail Inc., Series A(a)

    21,359        89,921  

RealReal Inc. (The)(a)

    4,826        26,157  

Rent the Runway Inc.(a)(b)

    988        6,264  

Revolve Group Inc.(a)

    2,340        98,888  

Shutterstock Inc.

     1,378        104,342  

Stitch Fix Inc., Class A(a)

    4,891        46,464  

ThredUp Inc., Class A(a)

    3,081        20,304  

Xometry Inc., Class A(a)(b)

    420        13,784  
    

 

 

  
       712,445  
IT Services — 2.1%             

AgileThought Inc.(a)

    1,704        7,975  

BigCommerce Holdings Inc., Series 1(a)

    3,607        64,457  

Bread Financial Holdings Inc.

     2,959        162,153  

Brightcove Inc.(a)(b)

    2,348        16,553  

Cantaloupe Inc.(a)

    3,423        18,724  

Cass Information Systems Inc.

     731        28,297  

Conduent Inc.(a)

    9,629        54,211  

CSG Systems International Inc.

     1,954        120,112  

Cyxtera Technologies Inc.(a)

    2,244        26,995  

Euronet Worldwide Inc.(a)(b)

    3,139        381,859  

EVERTEC Inc.

     3,555        140,067  

Evo Payments Inc., Class A(a)

    2,874        64,751  

ExlService Holdings Inc.(a)

    1,980        269,577  

Fastly Inc., Class A(a)(b)

    6,422        102,110  

Flywire Corp.(a)

    633        19,313  

GreenBox POS(a)(b)

    1,140        4,115  

Grid Dynamics Holdings Inc.(a)(b)

    2,808        39,087  

Hackett Group Inc. (The)

     1,631        38,312  
Security   Shares     Value  

IT Services (continued)

    

I3 Verticals Inc., Class A(a)(b)

    1,342     $ 36,838  

Information Services Group Inc.

     2,105       13,198  

International Money Express Inc.(a)

    1,946       38,667  

Limelight Networks Inc.(a)(b)

    7,894       28,182  

LiveRamp Holdings Inc.(a)

    4,032       126,282  

Marqeta Inc., Class A(a)(b)

    13,868       128,972  

Maximus Inc.

     3,687       268,709  

MoneyGram International Inc.(a)(b)

    5,441       55,117  

Paya Holdings Inc., Class A(a)

    4,811       24,488  

Paymentus Holdings Inc., Class A(a)(b)

    836       13,844  

Payoneer Global Inc.(a)(b)

    11,350       47,443  

Perficient Inc.(a)

    1,961       194,943  

Rackspace Technology Inc.(a)(b)

    3,703       36,623  

Repay Holdings Corp.(a)

    4,422       59,166  

Sabre Corp.(a)

    19,219       201,223  

Shift4 Payments Inc., Class A(a)(b)

    3,047       159,846  

SolarWinds Corp.

     2,653       32,818  

Squarespace Inc., Class A(a)(b)

    1,651       32,971  

Switch Inc., Class A

     7,900       235,894  

TaskUS Inc., Class A(a)

    1,604       46,340  

Toast Inc.(a)(b)

    4,361       81,246  

TTEC Holdings Inc.

     1,075       79,346  

Tucows Inc., Class A(a)(b)

    563       32,440  

Unisys Corp.(a)

    4,014       57,039  

Verra Mobility Corp.(a)(b)

    7,556       106,011  

WEX Inc.(a)

    2,664       442,863  
   

 

 

  
      4,139,177  
Leisure Products — 0.5%            

Acushnet Holdings Corp.

     2,081       84,780  

American Outdoor Brands Inc.(a)

    815       10,269  

AMMO Inc.(a)(b)

    5,204       21,076  

Callaway Golf Co.(a)

    6,954       152,571  

Clarus Corp.

     1,571       35,112  

Genius Brands International Inc.(a)(b)

    18,020       12,794  

Johnson Outdoors Inc., Class A

     445       34,034  

Latham Group Inc.(a)(b)

    1,909       22,908  

Malibu Boats Inc., Class A(a)

    1,249       62,812  

MasterCraft Boat Holdings Inc.(a)

    1,096       26,381  

Nautilus Inc.(a)(b)

    1,940       5,839  

Polaris Inc.

     3,389       321,752  

Smith & Wesson Brands Inc.

     2,847       39,089  

Solo Brands Inc., Class A(a)(b)

    763       4,555  

Sturm Ruger & Co. Inc.

     1,047       71,353  

Vinco Ventures Inc.(a)(b)

    7,321       18,156  

Vista Outdoor Inc.(a)

    3,323       117,069  
   

 

 

  
          1,040,550  
Life Sciences Tools & Services — 0.5%            

Absci Corp.(a)(b)

    713       4,214  

Adaptive Biotechnologies Corp.(a)(b)

    6,369       52,544  

Akoya Biosciences Inc.(a)

    399       3,754  

Alpha Teknova Inc.(a)

    349       3,919  

Berkeley Lights Inc.(a)

    2,495       12,413  

BioNano Genomics Inc.(a)(b)

    16,714       27,244  

ChromaDex Corp.(a)(b)

    3,213       6,072  

Codexis Inc.(a)

    3,475       41,804  

Cytek Biosciences Inc.(a)(b)

    842       7,957  

Inotiv Inc.(a)

    943       13,438  

Maravai LifeSciences Holdings Inc., Class A(a)

    6,479       199,100  

Medpace Holdings Inc.(a)

    1,704       227,603  
 

 

 

62  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Life Sciences Tools & Services (continued)

    

NanoString Technologies Inc.(a)(b)

    2,720     $ 51,082  

Nautilus Biotechnology Inc.(a)

    2,861       13,361  

NeoGenomics Inc.(a)

    7,268       68,682  

Pacific Biosciences of California Inc.(a)(b)

    13,158       83,422  

Personalis Inc.(a)

    2,177       12,191  

Quanterix Corp.(a)

    2,010       44,602  

Quantum-Si Inc.(a)

    4,745       20,783  

Rapid Micro Biosystems Inc., Cass A(a)(b)

    484       2,822  

Seer Inc., Class A(a)

    2,093       15,237  

Singular Genomics Systems Inc.(a)(b)

    618       2,528  

Sotera Health Co.(a)(b)

    5,866       119,549  

Standard BioTools Inc.(a)(b)

    4,160       11,024  
   

 

 

  
          1,045,345  
Machinery — 3.2%            

Agrify Corp.(a)(b)

    1,054       3,046  

Alamo Group Inc.

     590       74,600  

Albany International Corp., Class A

     1,920       150,182  

Allison Transmission Holdings Inc.

     6,225       233,064  

Altra Industrial Motion Corp.

     3,844       149,916  

Astec Industries Inc.

     1,364       53,332  

Barnes Group Inc.

     2,821       94,729  

Berkshire Grey Inc., Class A(a)

    2,343       5,694  

Blue Bird Corp.(a)

    1,211       19,412  

Chart Industries Inc.(a)

    2,123       358,405  

CIRCOR International Inc.(a)

    1,234       24,248  

Columbus McKinnon Corp./NY

     1,719       60,939  

Commercial Vehicle Group Inc.(a)(b)

    1,778       12,766  

Crane Co.

     2,966       285,418  

Desktop Metal Inc., Class A(a)

    10,902       38,266  

Douglas Dynamics Inc.

     1,391       43,065  

Energy Recovery Inc.(a)

    2,287       42,355  

Enerpac Tool Group Corp.

     3,580       71,886  

EnPro Industries Inc.

     1,229       114,555  

ESCO Technologies Inc.

     1,560       97,422  

Evoqua Water Technologies Corp.(a)

    7,190       299,751  

Federal Signal Corp.

     3,655       124,380  

Flowserve Corp.

     7,750       253,503  

Franklin Electric Co. Inc.

     2,238       156,526  

Gates Industrial Corp. PLC(a)(b)

    5,583       71,183  

Gorman-Rupp Co. (The)

     1,392       44,349  

Greenbrier Companies Inc. (The)

     1,924       82,174  

Helios Technologies Inc.

     1,933       129,859  

Hillenbrand Inc.

     4,308       175,853  

Hillman Solutions Corp.(a)

    6,054       70,408  

Hydrofarm Holdings Group Inc.(a)

    2,115       20,198  

Hyster-Yale Materials Handling Inc.

     571       17,541  

Hyzon Motors Inc.(a)

    5,165       20,505  

Ideanomics Inc.(a)(b)

    25,739       18,512  

John Bean Technologies Corp.

     1,889       222,694  

Kadant Inc.

     691       127,835  

Kennametal Inc.

     4,889       125,794  

Lightning eMotors Inc.(a)

    1,506       6,446  

Lindsay Corp.

     656       88,658  

Manitowoc Co. Inc. (The)(a)(b)

    2,095       27,738  

Markforged Holding Corp.(a)

    3,895       13,282  

Meritor Inc.(a)

    4,232       151,971  

Microvast Holdings Inc.(a)(b)

    14,247       70,665  

Mueller Industries Inc.

     3,403       184,273  

Mueller Water Products Inc., Class A

     9,425       113,383  

Nikola Corp.(a)(b)

    12,308       88,371  
Security   Shares     Value  

Machinery (continued)

    

Proterra Inc.(a)(b)

    10,757     $ 66,801  

Proto Labs Inc.(a)

    1,654       70,477  

RBC Bearings Inc.(a)(b)

    1,712       288,215  

REV Group Inc.

     1,997       23,804  

Shyft Group Inc. (The)

     1,910       48,648  

SPX Corp.(a)

    2,718       113,884  

Standex International Corp.

     729       68,555  

Tennant Co.

     1,124       72,588  

Terex Corp.

     4,164       141,576  

Timken Co. (The)

     4,087       235,575  

Titan International Inc.(a)

    3,015       41,788  

Trinity Industries Inc.

     4,865       134,955  

Velo3D Inc.(a)

    3,638       12,733  

Wabash National Corp.

     2,989       42,773  

Watts Water Technologies Inc., Class A

     1,643       209,417  

Welbilt Inc.(a)(b)

    7,687       181,567  

Xos Inc.(a)

    2,937       8,840  
   

 

 

  
          6,401,348  
Marine — 0.3%            

Eagle Bulk Shipping Inc.

     815       50,726  

Genco Shipping & Trading Ltd.

     2,116       46,615  

Kirby Corp.(a)

    3,578       233,286  

Matson Inc.

     2,503       215,308  
   

 

 

  
      545,935  
Media — 1.0%            

Advantage Solutions Inc.(a)

    5,940       29,878  

Altice USA Inc., Class A(a)

    13,408       124,426  

AMC Networks Inc., Class A(a)(b)

    1,733       56,548  

Audacy Inc(a)

    6,980       17,729  

Boston Omaha Corp., Class A(a)

    999       20,819  

Cardlytics Inc.(a)(b)

    1,965       67,065  

Clear Channel Outdoor Holdings Inc.(a)

    28,267       69,537  

Entravision Communications Corp., Class A

     3,649       18,865  

EW Scripps Co. (The), Class A, NVS(a)

    3,430       56,458  

Gannett Co. Inc.(a)

    8,605       34,506  

Gray Television Inc.

     5,282       97,823  

iHeartMedia Inc., Class A(a)

    6,436       102,912  

John Wiley & Sons Inc., Class A

     2,594       132,009  

Magnite Inc.(a)

    6,786       65,485  

Nexstar Media Group Inc., Class A

     2,435       385,753  

PubMatic Inc., Class A(a)

    1,617       36,496  

Scholastic Corp., NVS

     1,824       67,214  

Sinclair Broadcast Group Inc., Class A

     2,915       64,830  

Stagwell Inc.(a)

    4,437       30,083  

TechTarget Inc.(a)

    1,579       106,282  

TEGNA Inc.

     13,118       289,252  

Thryv Holdings Inc.(a)

    985       25,442  

Urban One Inc., Class A(a)

    495       4,005  

Urban One Inc., Class D, NVS(a)

    1,145       6,916  

WideOpenWest Inc.(a)(b)

    3,124       62,636  
   

 

 

  
      1,972,969  
Metals & Mining — 1.6%            

Allegheny Technologies Inc.(a)

    7,572       205,807  

Alpha Metallurgical Resources Inc.(a)

    1,036       160,311  

Arconic Corp.(a)

    6,322       159,061  

Carpenter Technology Corp.

     2,866       109,424  

Century Aluminum Co.(a)

    3,009       50,762  

Coeur Mining Inc.(a)

    15,293       55,514  

Commercial Metals Co.

     7,218       295,938  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   63

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Metals & Mining (continued)

    

Compass Minerals International Inc.

     2,042     $ 120,743  

Gatos Silver Inc.(a)

    2,733       9,237  

Haynes International Inc.

     745       29,115  

Hecla Mining Co.

     31,962       166,522  

Kaiser Aluminum Corp.

     940       90,710  

Materion Corp.

     1,224       104,224  

McEwen Mining Inc.(a)

    22,322       14,960  

MP Materials Corp.(a)(b)

    4,473       170,153  

Piedmont Lithium Inc.(a)(b)

    959       62,728  

Royal Gold Inc.

     3,902       509,133  

Ryerson Holding Corp.

     957       35,227  

Schnitzer Steel Industries Inc., Class A

     1,555       70,955  

SunCoke Energy Inc.

     4,997       41,575  

TimkenSteel Corp.(a)

    2,501       51,696  

United States Steel Corp.

     15,506       472,778  

Warrior Met Coal Inc.

     3,090       105,276  

Worthington Industries Inc.

     1,926       91,620  
   

 

 

  
          3,183,469  
Mortgage Real Estate Investment — 1.1%            

AFC Gamma Inc.

     902       14,441  

Angel Oak Mortgage Inc.

     467       7,547  

Apollo Commercial Real Estate Finance Inc.

     7,989       96,188  

Arbor Realty Trust Inc.

     8,859       151,489  

Ares Commercial Real Estate Corp.

     2,957       44,562  

ARMOUR Residential REIT Inc.

     5,388       39,548  

Blackstone Mortgage Trust Inc., Class A

     9,959       299,168  

BrightSpire Capital Inc.

     5,588       47,498  

Broadmark Realty Capital Inc.

     7,874       61,496  

Chimera Investment Corp.

     14,106       141,342  

Dynex Capital Inc.

     2,197       35,657  

Ellington Financial Inc.

     3,295       53,346  

Granite Point Mortgage Trust Inc.

     3,151       30,659  

Hannon Armstrong Sustainable Infrastructure Capital Inc.

     5,010       200,350  

Invesco Mortgage Capital Inc.

     18,287       31,819  

KKR Real Estate Finance Trust Inc.

     2,657       50,483  

Ladder Capital Corp.

     6,713       76,461  

MFA Financial Inc., NVS

     5,952       84,816  

New Residential Investment Corp.

     27,535       286,364  

New York Mortgage Trust Inc.

     22,778       73,345  

Orchid Island Capital Inc.

     10,366       28,818  

PennyMac Mortgage Investment Trust

     5,692       87,315  

Ready Capital Corp.

     4,023       58,615  

Redwood Trust Inc.

     6,767       65,640  

TPG RE Finance Trust Inc.

     3,541       37,358  

Two Harbors Investment Corp.

     20,256       97,431  
   

 

 

  
      2,201,756  
Multi-Utilities — 0.3%            

Avista Corp.

     4,204       170,556  

Black Hills Corp.

     3,792       277,726  

NorthWestern Corp.

     3,199       181,352  

Unitil Corp.

     994       50,694  
   

 

 

  
      680,328  
Multiline Retail — 0.3%            

Big Lots Inc.

     1,818       56,176  

Dillard’s Inc., Class A

     238       72,307  

Franchise Group Inc.

     1,623       60,521  

Nordstrom Inc.

     6,630       170,391  

Ollie’s Bargain Outlet Holdings Inc.(a)

    3,475       166,974  
   

 

 

  
      526,369  
Security   Shares     Value  

Oil, Gas & Consumable Fuels — 4.6%

    

Aemetis Inc.(a)

    1,922     $ 17,548  

Alto Ingredients Inc.(a)(b)

    4,777       27,563  

Antero Midstream Corp.

     19,269       197,893  

Antero Resources Corp.(a)

    16,987       597,942  

Arch Resources Inc.

     920       153,070  

Archaea Energy Inc.(a)

    2,402       52,844  

Berry Corp.

     4,015       44,045  

Brigham Minerals Inc., Class A

     2,885       71,490  

California Resources Corp.

     4,811       193,450  

Callon Petroleum Co.(a)

    2,793       143,197  

Centennial Resource Development Inc./DE, Class A(a)

    11,094       85,868  

Centrus Energy Corp., Class A(a)

    620       17,211  

Chesapeake Energy Corp.

     6,185       507,294  

Civitas Resources Inc.

     4,276       250,659  

Clean Energy Fuels Corp.(a)

    10,104       59,209  

CNX Resources Corp.(a)

    12,064           247,915  

Comstock Resources Inc.(a)

    5,335       90,855  

CONSOL Energy Inc.(a)

    1,906       90,630  

Crescent Energy Inc.

     1,738       27,304  

CVR Energy Inc.

     1,819       45,602  

Delek U.S. Holdings Inc.(a)

    4,588       111,030  

Denbury Inc.(a)

    2,984       190,916  

Dorian LPG Ltd.

     1,667       24,538  

DTE Midstream LLC(a)

    5,734       308,203  

Earthstone Energy Inc., Class A(a)

    1,727       23,297  

EQT Corp.(a)

    17,870       710,333  

Equitrans Midstream Corp.

     24,105       189,465  

Gevo Inc.(a)(b)

    12,426       46,100  

Gran Tierra Energy Inc.(a)

    22,429       36,335  

Green Plains Inc.(a)

    1,656       46,484  

Gulfport Energy Corp.(a)

    681       64,000  

HF Sinclair Corp.(a)

    8,974       341,192  

International Seaways Inc.

     2,518       53,205  

Kosmos Energy Ltd.(a)

    26,865       181,607  

Laredo Petroleum Inc.(a)

    846       60,244  

Magnolia Oil & Gas Corp., Class A

     8,777       203,978  

Matador Resources Co.

     6,570       320,747  

Murphy Oil Corp.

     8,605       327,678  

New Fortress Energy Inc.

     2,466       95,631  

NextDecade Corp.(a)

    1,534       8,575  

Northern Oil and Gas Inc.

     3,919       97,897  

Oasis Petroleum Inc.

     1,116       148,049  

Par Pacific Holdings Inc.(a)

    2,944       43,188  

PBF Energy Inc., Class A(a)

    5,675       164,916  

PDC Energy Inc.

     5,782       403,237  

Peabody Energy Corp.(a)

    5,624       127,327  

Range Resources Corp.(a)

    14,813       443,501  

Ranger Oil Corp.(a)

    1,233       39,271  

Renewable Energy Group Inc.(a)

    2,965       181,043  

Ring Energy Inc.(a)

    5,063       22,632  

SandRidge Energy Inc.(a)

    1,820       33,797  

SilverBow Resources Inc.(a)

    617       22,582  

SM Energy Co.

     7,207       256,065  

Southwestern Energy Co.(a)

    66,279       497,093  

Talos Energy Inc.(a)

    2,427       44,099  

Tellurian Inc.(a)

    23,348       116,273  

Uranium Energy Corp.(a)

    15,897       67,562  

W&T Offshore Inc.(a)

    5,735       27,299  

Whiting Petroleum Corp.

     2,336       170,645  
 

 

 

64  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Oil, Gas & Consumable Fuels (continued)

    

World Fuel Services Corp.

     3,987     $ 96,565  
   

 

 

  
      9,268,188  
Paper & Forest Products — 0.3%            

Clearwater Paper Corp.(a)

    990       32,779  

Glatfelter Corp.

     2,657       29,227  

Louisiana-Pacific Corp.

     5,224       337,053  

Mercer International Inc.

     2,448       39,192  

Neenah Inc.

     981       34,727  

Resolute Forest Products Inc.

     2,836       39,534  

Sylvamo Corp.(a)

    2,135       95,328  
   

 

 

  
      607,840  
Personal Products — 0.6%            

Beauty Health Co. (The)(a)

    5,785       75,783  

BellRing Brands Inc.(a)

    6,622       141,909  

Coty Inc., Class A(a)

    20,345       164,998  

Edgewell Personal Care Co.

     3,254       124,108  

elf Beauty Inc.(a)

    2,786       67,783  

Herbalife Nutrition Ltd.(a)

    5,880       156,290  

Honest Co. Inc. (The)(a)

    1,480       5,861  

Inter Parfums Inc.

     1,069       87,369  

Medifast Inc.

     694       123,782  

Nu Skin Enterprises Inc., Class A

     2,968       126,556  

Thorne HealthTech Inc.(a)(b)

    337       2,258  

USANA Health Sciences Inc.(a)

    709       54,352  

Veru Inc.(a)(b)

    3,462       40,575  
   

 

 

  
          1,171,624  
Pharmaceuticals — 1.2%            

9 Meters Biopharma Inc.(a)

    14,103       5,892  

Aclaris Therapeutics Inc.(a)(b)

    2,660       32,771  

Aerie Pharmaceuticals Inc.(a)

    2,855       20,299  

Amneal Pharmaceuticals Inc.(a)

    6,052       23,361  

Amphastar Pharmaceuticals Inc.(a)

    2,207       78,282  

Ampio Pharmaceuticals Inc.(a)(b)

    11,743       2,703  

ANI Pharmaceuticals Inc.(a)

    749       22,103  

Antares Pharma Inc.(a)

    10,226       56,908  

Arvinas Inc.(a)(b)

    2,570       141,273  

Atea Pharmaceuticals Inc.(a)

    3,165       18,579  

Athira Pharma Inc.(a)

    2,062       21,218  

Axsome Therapeutics Inc.(a)

    1,754       55,690  

Cara Therapeutics Inc.(a)

    2,546       22,201  

Cassava Sciences Inc.(a)(b)

    2,219       46,311  

Clearside Biomedical Inc.(a)

    2,906       4,446  

Collegium Pharmaceutical Inc.(a)(b)

    2,024       32,586  

Corcept Therapeutics Inc.(a)

    5,675       122,069  

DICE Therapeutics Inc.(a)(b)

    733       14,895  

Edgewise Therapeutics Inc.(a)

    743       5,929  

Endo International PLC(a)

    14,531       29,062  

Evolus Inc.(a)

    2,136       23,902  

Fulcrum Therapeutics Inc.(a)(b)

    1,703       16,383  

Harmony Biosciences Holdings Inc.(a)

    1,371       61,750  

Innoviva Inc.(a)

    3,688       62,917  

Intra-Cellular Therapies Inc.(a)

    5,072       256,694  

KemPharm Inc.(a)(b)

    1,867       8,345  

Marinus Pharmaceuticals Inc.(a)

    2,046       13,545  

Nektar Therapeutics(a)

    11,030       45,554  

NGM Biopharmaceuticals Inc.(a)

    2,221       27,718  

NRX Pharmaceuticals Inc.(a)

    1,995       3,112  

Nuvation Bio Inc.(a)

    6,906       32,182  

Ocular Therapeutix Inc.(a)

    4,692       16,750  
Security   Shares     Value  

Pharmaceuticals (continued)

    

Omeros Corp.(a)(b)

    3,790     $ 13,151  

Oramed Pharmaceuticals Inc.(a)

    2,238       11,503  

Pacira BioSciences Inc.(a)

    2,641       196,939  

Perrigo Co. PLC

     7,933       272,102  

Phathom Pharmaceuticals Inc.(a)

    972       12,578  

Phibro Animal Health Corp., Class A

     1,241       22,326  

Pliant Therapeutics Inc.(a)(b)

    1,345       7,882  

PLx Pharma Inc.(a)(b)

    1,398       4,222  

Prestige Consumer Healthcare Inc.(a)

    3,000       163,980  

Provention Bio Inc.(a)(b)

    2,928       13,147  

Rani Therapeutics Holdings Inc.(a)(b)

    402       4,916  

Reata Pharmaceuticals Inc., Class A(a)

    1,632       41,420  

Relmada Therapeutics Inc.(a)

    1,558       39,121  

Revance Therapeutics Inc.(a)

    3,977       65,143  

Supernus Pharmaceuticals Inc.(a)

    3,195       89,141  

TherapeuticsMD Inc.(a)(b)

    22,965       4,632  

Theravance Biopharma Inc.(a)

    3,232       31,189  

Tilray Inc., Class 2 (a)(b)

    26,607       132,503  

Ventyx Biosciences Inc.(a)

    551       8,006  
   

 

 

  
          2,459,331  
Professional Services — 2.1%            

Alight Inc., Class A(a)(b)

    14,695       126,230  

ASGN Inc.(a)

    3,094       351,014  

Barrett Business Services Inc.

     468       33,682  

BlackSky Technology Inc.(a)

    3,286       5,159  

CACI International Inc., Class A(a)

    1,389       368,502  

CBIZ Inc.(a)

    3,124       130,864  

CRA International Inc.

     451       37,149  

Exponent Inc.

     3,098       296,819  

First Advantage Corp.(a)

    2,396       41,595  

Forrester Research Inc.(a)

    678       37,758  

Franklin Covey Co.(a)

    741       29,692  

FTI Consulting Inc.(a)(b)

    2,036       321,098  

Heidrick & Struggles International Inc.

     1,170       37,393  

HireRight Holdings Corp.(a)(b)

    1,276       22,062  

Huron Consulting Group Inc.(a)

    1,334       69,074  

ICF International Inc.

     1,021       100,885  

Insperity Inc.

     2,106       223,341  

KBR Inc.

     8,365       411,809  

Kelly Services Inc., Class A, NVS

     2,199       42,419  

Kforce Inc.

     1,217       85,251  

Korn Ferry

     3,235       198,758  

ManpowerGroup Inc.

     3,230       291,346  

ManTech International Corp./VA, Class A

     1,653       132,802  

Resources Connection Inc.

     1,845       31,716  

Science Applications International Corp.

     3,369       280,402  

Spire Global Inc.(a)

    5,716       9,489  

Sterling Check Corp.(a)(b)

    839       21,797  

TriNet Group Inc.(a)(b)

    2,240       198,688  

TrueBlue Inc.(a)

    2,153       55,052  

Upwork Inc.(a)

    7,175       150,460  

Willdan Group Inc.(a)(b)

    731       19,649  
   

 

 

  
      4,161,955  
Real Estate Management & Development — 0.6%            

Cushman & Wakefield PLC(a)

    8,956       160,312  

Doma Holdings Inc.(a)

    10,301       19,160  

eXp World Holdings Inc.

     4,017       53,788  

Howard Hughes Corp. (The)(a)(b)

    2,441       244,808  

Kennedy-Wilson Holdings Inc.

     7,133       160,849  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   65

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Real Estate Management & Development (continued)

 

  

Marcus & Millichap Inc.

     1,511     $ 67,678  

Newmark Group Inc., Class A(b)

    9,809       119,179  

RE/MAX Holdings Inc., Class A

     1,162       27,260  

Realogy Holdings Corp.(a)

    6,999       76,709  

Redfin Corp.(a)(b)

    6,314       70,401  

RMR Group Inc. (The), Class A

     952       25,971  

St Joe Co. (The)

     1,949       103,706  

Tejon Ranch Co.(a)

    1,457       26,678  

WeWork Inc., Class A(a)(b)

    12,629       88,529  
   

 

 

  
      1,245,028  
Road & Rail — 0.5%            

ArcBest Corp.

     1,477       106,580  

Covenant Logistics Group Inc., Class A

     647       13,289  

Daseke Inc.(a)

    3,563       29,929  

Heartland Express Inc.

     2,804       38,695  

Landstar System Inc.

     2,241       347,131  

Marten Transport Ltd.

     3,567       61,995  

Ryder System Inc.

     3,194       223,261  

Schneider National Inc., Class B

     2,142       50,616  

Werner Enterprises Inc.

     3,586       142,113  

Yellow Corp.(a)

    2,092       9,372  
   

 

 

  
          1,022,981  
Semiconductors & Semiconductor Equipment — 2.3%        

ACM Research Inc., Class A(a)

    2,178       32,910  

Aehr Test Systems(a)(b)

    1,357       10,422  

Allegro MicroSystems Inc.(a)

    3,284       79,834  

Alpha & Omega Semiconductor Ltd.(a)

    1,244       53,368  

Ambarella Inc.(a)

    2,212       181,561  

Amkor Technology Inc.

     5,888       110,753  

Atomera Inc.(a)(b)

    1,407       14,703  

Axcelis Technologies Inc.(a)

    1,985       108,083  

AXT Inc.(a)(b)

    2,260       13,334  

CEVA Inc.(a)

    1,371       49,822  

Cirrus Logic Inc.(a)

    3,396       257,417  

CMC Materials Inc.

     1,705       305,042  

Cohu Inc.(a)

    2,908       77,236  

CyberOptics Corp.(a)

    466       19,763  

Diodes Inc.(a)

    2,656       193,968  

FormFactor Inc.(a)

    4,612       175,763  

Ichor Holdings Ltd.(a)(b)

    1,698       49,429  

Impinj Inc.(a)

    1,138       56,058  

indie Semiconductor Inc., Class A(a)(b)

    3,514       24,247  

Kopin Corp.(a)(b)

    4,638       7,421  

Kulicke & Soffa Industries Inc.

     3,722       172,738  

MACOM Technology Solutions Holdings Inc., Class H(a)

    2,877       146,583  

Magnachip Semiconductor Corp.(a)

    2,745       50,206  

MaxLinear Inc.(a)

    4,181       200,144  

Meta Materials Inc.(a)(b)

    14,020       16,824  

NeoPhotonics Corp.(a)(b)

    3,238       49,023  

Onto Innovation Inc.(a)

    2,938       209,009  

PDF Solutions Inc.(a)

    1,776       41,292  

Photronics Inc.(a)

    3,667       54,968  

Power Integrations Inc.

     3,529       282,320  

Rambus Inc.(a)

    6,563       163,484  

Rockley Photonics Holdings Ltd.(a)(b)

    5,423       15,781  

Semtech Corp.(a)

    3,803       226,659  

Silicon Laboratories Inc.(a)

    2,262       305,166  

SiTime Corp.(a)

    895       150,870  

SkyWater Technology Inc.(a)(b)

    373       2,283  
Security   Shares     Value  

Semiconductors & Semiconductor Equipment (continued)

 

SMART Global Holdings Inc.(a)

    2,879     $ 65,238  

SunPower Corp.(a)

    5,005       82,633  

Synaptics Inc.(a)

    2,358       350,022  

Ultra Clean Holdings Inc.(a)

    2,643       82,382  

Veeco Instruments Inc.(a)

    3,042       69,723  
   

 

 

  
          4,558,482  
Software — 5.7%            

8x8 Inc.(a)

    6,995       64,144  

A10 Networks Inc.

     3,551       50,708  

ACI Worldwide Inc.(a)

    7,017       193,810  

Agilysys Inc.(a)

    1,175       43,252  

Alarm.com Holdings Inc.(a)

    2,733       166,932  

Altair Engineering Inc., Class A(a)(b)

    3,011       163,558  

Alteryx Inc., Class A(a)(b)

    3,552       228,038  

American Software Inc./GA, Class A

     1,871       31,994  

Amplitude Inc.(a)

    1,342       23,431  

Appfolio Inc., Class A(a)(b)

    1,142       118,608  

Appian Corp.(a)(b)

    2,354       112,521  

Arteris Inc.(a)

    293       3,454  

Avaya Holdings Corp.(a)

    4,958       45,862  

AvePoint Inc.(a)

    5,118       25,078  

AvidXchange Holdings Inc.(a)

    1,505       12,326  

Benefitfocus Inc.(a)

    1,971       20,991  

Blackbaud Inc.(a)

    2,650       153,727  

Blackline Inc.(a)

    3,173       212,750  

Bottomline Technologies DE Inc.(a)

    2,318       131,245  

Box Inc., Class A(a)

    8,864       271,416  

BTRS Holdings Inc.(a)

    4,327       29,077  

C3.ai Inc., Class A(a)(b)

    4,268       72,513  

CDK Global Inc.

     6,969       379,183  

Cerence Inc.(a)

    2,380       70,210  

ChannelAdvisor Corp.(a)

    1,903       27,613  

Cipher Mining Inc.(a)

    2,464       7,466  

Cleanspark Inc.(a)(b)

    2,342       15,200  

Clear Secure Inc., Class A(a)(b)

    803       24,427  

Clearwater Analytics Holdings Inc.(a)(b)

    1,934       33,922  

CommVault Systems Inc.(a)

    2,655       161,955  

Confluent Inc., Class A(a)(b)

    3,651       114,057  

Consensus Cloud Solutions Inc.(a)

    943       49,715  

Couchbase Inc.(a)(b)

    519       8,823  

CS Disco Inc.(a)

    755       23,186  

Datto Holding Corp.(a)

    1,577       54,722  

Digimarc Corp.(a)(b)

    824       21,317  

Dolby Laboratories Inc., Class A

     3,933       304,690  

Domo Inc., Class B(a)

    1,746       72,319  

DoubleVerify Holdings Inc.(a)

    1,298       28,232  

Duck Creek Technologies Inc.(a)(b)

    4,540       72,322  

E2open Parent Holdings Inc.(a)

    10,479       81,107  

Ebix Inc.

     1,411       42,048  

Enfusion Inc., Class A(a)

    1,092       13,945  

Envestnet Inc.(a)

    2,878       229,204  

Everbridge Inc.(a)(b)

    2,356       101,544  

ForgeRock Inc.(a)

    745       15,220  

Freshworks Inc.(a)(b)

    2,034       36,958  

Gitlab Inc.(a)(b)

    670       32,113  

Informatica Inc.(a)(b)

    1,829       35,592  

Intapp Inc.(a)(b)

    642       16,011  

InterDigital Inc.

     1,824       103,694  

IronNet Inc.(a)

    1,966       5,269  

Jamf Holding Corp.(a)(b)

    3,280       101,024  
 

 

 

66  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Software (continued)

    

JFrog Ltd.(a)

    2,583     $ 53,907  

Kaleyra Inc.(a)

    1,713       9,987  

Kaltura Inc.(a)(b)

    2,629       4,075  

KnowBe4 Inc., Class A(a)

    2,494       59,357  

Latch Inc.(a)(b)

    5,757       18,941  

LivePerson Inc.(a)

    4,006       90,616  

Mandiant Inc.(a)

    14,284       313,962  

Marathon Digital Holdings Inc.(a)(b)

    6,078       94,817  

Matterport Inc.(a)(b)

    10,861       62,342  

MeridianLink Inc.(a)(b)

    789       12,742  

MicroStrategy Inc., Class A(a)(b)

    557       197,273  

Mimecast Ltd.(a)

    3,714       295,932  

Mitek Systems Inc.(a)(b)

    2,692       30,070  

Model N Inc.(a)

    2,036       52,610  

Momentive Global Inc.(a)

    7,734       122,352  

N-able Inc.(a)

    4,002       40,020  

nCino Inc.(a)(b)

    3,404       127,616  

NCR Corp.(a)(b)

    7,896       276,597  

New Relic Inc.(a)(b)

    3,543       224,166  

Nutanix Inc., Class A(a)(b)

    12,806       320,534  

Olo Inc., Class A(a)

    3,364       35,961  

ON24 Inc.(a)(b)

    627       7,944  

OneSpan Inc.(a)

    2,118       29,927  

PagerDuty Inc.(a)

    4,576       130,736  

Paycor HCM Inc.(a)(b)

    1,840       45,319  

Phunware Inc.(a)(b)

    5,260       10,625  

Ping Identity Holding Corp.(a)

    3,630       94,852  

PROS Holdings Inc.(a)

    2,410       67,311  

Q2 Holdings Inc.(a)

    3,366       174,123  

Qualtrics International Inc., Class A(a)

    5,738       106,383  

Qualys Inc.(a)(b)

    1,987       270,788  

Rapid7 Inc.(a)(b)

    3,409       325,628  

Rekor Systems Inc.(a)

    2,304       6,843  

Rimini Street Inc.(a)

    1,787       10,293  

Riot Blockchain Inc.(a)(b)

    5,938       60,211  

SailPoint Technologies Holdings Inc.(a)

    5,541       353,682  

SentinelOne Inc., Class A(a)(b)

    8,029       267,125  

Smith Micro Software Inc.(a)(b)

    2,982       9,185  

Sprinklr Inc.(a)(b)

    2,975       40,609  

Sprout Social Inc., Class A(a)(b)

    2,705       165,762  

SPS Commerce Inc.(a)

    2,137       255,649  

Stronghold Digital Mining Inc.(a)

    942       3,674  

Sumo Logic Inc.(a)

    5,342       50,108  

Telos Corp.(a)

    3,142       24,476  

Tenable Holdings Inc.(a)

    5,525       305,146  

Teradata Corp.(a)

    6,479       267,907  

Upland Software Inc.(a)

    1,602       23,902  

Varonis Systems Inc.(a)(b)

    6,387       275,918  

Verint Systems Inc.(a)(b)

    3,923       214,039  

Veritone Inc.(a)

    1,846       19,992  

Vertex Inc., Class A(a)

    1,672       23,793  

Vonage Holdings Corp.(a)

    15,017       299,739  

WM Technology Inc.(a)(b)

    2,992       17,354  

Workiva Inc.(a)

    2,688       259,419  

Xperi Holding Corp.

     6,239       97,328  

Zeta Global Holdings Corp.(a)

    1,318       14,274  

Zuora Inc., Class A(a)

    7,028       85,531  
   

 

 

  
          11,317,995  
Specialty Retail — 2.2%            

Aaron’s Co. Inc. (The)

     1,863       38,247  
Security   Shares     Value  

Specialty Retail (continued)

    

Abercrombie & Fitch Co., Class A(a)

    3,345     $ 115,670  

Academy Sports & Outdoors Inc.

     5,235       195,580  

American Eagle Outfitters Inc.

     9,101       137,516  

America’s Car-Mart Inc./TX(a)

    358       28,944  

Arko Corp.

     3,989       36,978  

Asbury Automotive Group Inc.(a)

    1,373       252,234  

Barnes & Noble Education Inc.(a)(b)

    2,329       7,080  

Bed Bath & Beyond Inc.(a)

    5,709       77,699  

Big 5 Sporting Goods Corp.

     1,247       18,044  

Boot Barn Holdings Inc.(a)(b)

    1,770       159,406  

Buckle Inc. (The)

     1,776       55,163  

Caleres Inc.

     2,322       53,243  

Camping World Holdings Inc., Class A(b)

    2,414       61,992  

CarLotz Inc.(a)(b)

    4,244       3,768  

Cato Corp. (The), Class A

     1,153       15,623  

Chico’s FAS Inc.(a)

    7,366       39,040  

Children’s Place Inc. (The)(a)

    837       38,778  

Citi Trends Inc.(a)(b)

    543       15,188  

Conn’s Inc.(a)(b)

    1,142       17,872  

Container Store Group Inc. (The)(a)

    1,995       15,262  

Designer Brands Inc. , Class A

     3,740       51,687  

Dick’s Sporting Goods Inc.

     3,745       361,093  

EVgo Inc.(a)(b)

    4,044       36,639  

Foot Locker Inc.

     5,155       151,093  

Genesco Inc.(a)

    817       50,678  

Group 1 Automotive Inc.

     1,017       177,100  

GrowGeneration Corp.(a)(b)

    3,122       18,451  

Guess? Inc.

     2,354       52,894  

Haverty Furniture Companies Inc.

     931       23,117  

Hibbett Inc.

     764       32,990  

JOANN Inc.(b)

    744       7,767  

Kirkland’s Inc.(a)(b)

    669       4,837  

Leslie’s Inc.(a)(b)

    8,088       158,525  

LL Flooring Holdings Inc.(a)(b)

    1,734       23,947  

MarineMax Inc.(a)

    1,297       53,073  

Monro Inc.

     2,007       91,780  

Murphy USA Inc.

     1,360       317,696  

National Vision Holdings Inc.(a)

    4,930       185,614  

ODP Corp. (The)(a)

    2,742       117,988  

OneWater Marine Inc., Class A

     667       21,804  

Party City Holdco Inc.(a)

    6,679       20,638  

Petco Health & Wellness Co. Inc.(a)(b)

    4,841       93,238  

Rent-A-Center Inc./TX

     3,623       87,387  

Sally Beauty Holdings Inc.(a)

    6,509       98,416  

Shift Technologies Inc.(a)(b)

    3,753       5,029  

Shoe Carnival Inc.

     1,061       32,032  

Signet Jewelers Ltd.

     3,113       218,533  

Sleep Number Corp.(a)

    1,371       55,608  

Sonic Automotive Inc., Class A

     1,211       51,528  

Sportsman’s Warehouse Holdings Inc.(a)

    2,727       26,206  

Tilly’s Inc., Class A

     1,589       14,015  

TravelCenters of America Inc.(a)

    725       27,557  

Urban Outfitters Inc.(a)

    3,877       92,273  

Victoria’s Secret & Co.(a)

    4,322       203,653  

Volta Inc.(a)(b)

    7,147       14,937  

Vroom Inc.(a)(b)

    7,569       11,808  

Warby Parker Inc.(a)

    604       14,067  

Zumiez Inc.(a)

    1,158       42,418  
   

 

 

  
          4,431,443  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   67

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Technology Hardware, Storage & Peripherals — 0.5%

 

  

3D Systems Corp.(a)

    7,558     $ 85,708  

Avid Technology Inc.(a)

    2,107       66,813  

Corsair Gaming Inc.(a)

    1,988       30,078  

Diebold Nixdorf Inc.(a)

    4,594       18,835  

Eastman Kodak Co.(a)(b)

    4,210       21,766  

IonQ Inc.(a)

    6,857       53,965  

Pure Storage Inc., Class A(a)

    16,239       475,803  

Quantum Corp.(a)(b)

    5,260       9,836  

Super Micro Computer Inc.(a)

    2,663       112,112  

Turtle Beach Corp.(a)

    1,028       17,106  

Xerox Holdings Corp.

     7,506       130,604  
   

 

 

  
          1,022,626  
Textiles, Apparel & Luxury Goods — 1.0%            

Carter’s Inc.

     2,502       210,768  

Columbia Sportswear Co.

     2,052       168,592  

Fossil Group Inc.(a)

    2,836       28,020  

G-III Apparel Group Ltd.(a)

    2,637       69,828  

Hanesbrands Inc.

     20,786       275,622  

Kontoor Brands Inc.

     2,853       113,350  

Levi Strauss & Co., Class A

     5,775       104,585  

Movado Group Inc.

     1,007       36,222  

Oxford Industries Inc.

     956       85,658  

PLBY Group Inc.(a)(b)

    1,395       12,332  

Ralph Lauren Corp.

     2,753       287,248  

Rocky Brands Inc.

     421       16,213  

Skechers U.S.A. Inc., Class A(a)

    7,984       305,787  

Steven Madden Ltd.

     4,546       186,659  

Vera Bradley Inc.(a)

    1,477       9,083  

Wolverine World Wide Inc.

     4,841       95,949  
   

 

 

  
      2,005,916  
Thrifts & Mortgage Finance — 1.3%            

Axos Financial Inc.(a)

    3,208       121,519  

Blue Foundry Bancorp(a)

    1,869       23,587  

Columbia Financial Inc.(a)(b)

    2,473       46,863  

Essent Group Ltd.

     6,594       267,255  

Federal Agricultural Mortgage Corp., Class C, NVS

     560       57,361  

Flagstar Bancorp. Inc.

     3,022       106,677  

Kearny Financial Corp./MD

     5,116       60,676  

Merchants Bancorp./IN

     1,578       37,115  

MGIC Investment Corp.

     19,345       252,646  

Mr Cooper Group Inc.(a)

    4,469       200,971  

New York Community Bancorp. Inc.

     27,865       257,473  

NMI Holdings Inc., Class A(a)

    5,243       96,366  

Northfield Bancorp. Inc.

     2,806       36,730  

PennyMac Financial Services Inc.

     1,843       89,496  

Provident Financial Services Inc.

     4,581       101,377  

Radian Group Inc.

     10,720       229,301  

Rocket Companies Inc., Class A(b)

    8,167       72,278  

TFS Financial Corp.

     3,158       47,338  

TrustCo Bank Corp. NY

     786       24,484  

UWM Holdings Corp.(b)

    5,321       19,741  

Walker & Dunlop Inc.

     1,765       211,376  

WSFS Financial Corp.

     3,444       138,001  
   

 

 

  
        2,498,631  
Tobacco — 0.1%            

22nd Century Group Inc.(a)(b)

    9,503       18,151  

Turning Point Brands Inc.

     857       26,901  

Universal Corp./VA

     1,485       85,907  
Security   Shares     Value  

Tobacco (continued)

    

Vector Group Ltd.

     7,861     $ 99,992  
   

 

 

  
      230,951  
Trading Companies & Distributors — 1.7%            

Air Lease Corp.

     6,330       254,972  

Applied Industrial Technologies Inc.

     2,272       237,856  

Beacon Roofing Supply Inc.(a)

    3,290       196,183  

BlueLinx Holdings Inc.(a)

    601       40,069  

Boise Cascade Co.

     2,339       176,782  

Core & Main Inc., Class A(a)

    3,359       79,810  

Custom Truck One Source Inc.(a)

    2,969       19,506  

DXP Enterprises Inc./TX(a)

    1,027       24,268  

GATX Corp.

     2,117       218,877  

Global Industrial Co.

     948       29,255  

GMS Inc.(a)

    2,573       123,375  

H&E Equipment Services Inc.

     1,919       68,086  

Herc Holdings Inc.

     1,480       189,174  

McGrath RentCorp.

     1,460       121,852  

MRC Global Inc.(a)

    3,591       43,056  

MSC Industrial Direct Co. Inc., Class A

     2,814       233,168  

NOW Inc.(a)

    6,670       72,703  

Rush Enterprises Inc., Class A

     2,553       129,897  

Titan Machinery Inc.(a)

    1,175       27,707  

Transcat Inc.(a)

    431       31,463  

Triton International Ltd.

     3,960       241,916  

Univar Solutions Inc.(a)

    10,178       296,383  

Veritiv Corp.(a)

    819       115,102  

WESCO International Inc.(a)(b)

    2,625       323,557  
   

 

 

  
          3,295,017  
Water Utilities — 0.3%            

American States Water Co.

     2,186       171,951  

California Water Service Group

     3,118       161,731  

Middlesex Water Co.

     1,050       93,397  

SJW Group

     1,658       97,822  
   

 

 

  
      524,901  
Wireless Telecommunication Services — 0.1%        

Gogo Inc.(a)(b)

    3,977       73,217  

Shenandoah Telecommunications Co.

     2,962       59,832  

Telephone and Data Systems Inc.

     5,906       108,198  

United States Cellular Corp.(a)

    871       25,067  
   

 

 

  
      266,314  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $228,949,606)

       199,639,924  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 11.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    22,100,871       22,100,871  
 

 

 

68  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Money Market Funds (continued)

    

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    250,000     $ 250,000  
   

 

 

  
        22,350,871  
   

 

 

  

Total Short-Term Investments — 11.2%
(Cost: $22,350,638)

       22,350,871  
   

 

 

  

Total Investments in Securities — 111.0%
(Cost: $251,300,244)

       221,990,795  

Other Assets, Less Liabilities — (11.0)%

       (22,019,575 ) 
   

 

 

  

Net Assets — 100.0%

     $ 199,971,220  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

   

Purchases

at Cost

   

Proceeds

from Sales

     Net Realized
Gain (Loss) 		   

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

   

Shares

Held at

04/30/22

    Income    

Capital

Gain

Distributions

from

Underlying

Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 13,795,424     $ 8,316,949 (a)    $ —     $ (10,871 )    $ (631 )    $ 22,100,871       22,100,871     $ 203,495 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     260,000       —       (10,000 )(a)      —       —       250,000       250,000       203       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (10,871 )    $ (631 )    $ 22,350,871       $ 203,698     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

            

S&P Mid 400 E-Mini Index

      1        06/17/22      $ 250      $ (12,019 ) 
           

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 12,019  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   69

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Small-Cap ETF

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
   

Equity

Contracts

 

 

  

Net Realized Gain (Loss) from:

    

Futures contracts

              $ (70,163 ) 
   

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

    

Futures contracts

     $ (13,104 ) 
   

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

   

Futures contracts:

   

Average notional value of contracts — long

    $ 413,721  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 199,639,924        $                     —        $                     —        $ 199,639,924  

Money Market Funds

      22,350,871          —          —          22,350,871  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 221,990,795        $ —        $ —        $ 221,990,795  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (12,019 )       $ —        $ —        $ (12,019 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

70  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 1.3%

 

Aerojet Rocketdyne Holdings Inc.(a)

    6,693     $ 267,586  

Aerovironment Inc.(a)

    4,941       396,861  

BWX Technologies Inc.

     8,546       443,708  

Byrna Technologies Inc.(a)(b)

     3,416       20,223  

Curtiss-Wright Corp.

     3,277       468,316  

Hexcel Corp.

     18,066       982,068  

Kratos Defense & Security Solutions Inc.(a)

    26,698       405,009  

Mercury Systems Inc.(a)

    3,986       222,379  

Spirit AeroSystems Holdings Inc., Class A

     7,666       322,279  

Triumph Group Inc.(a)

    7,951       179,215  

Virgin Galactic Holdings Inc.(a)(b)

    38,437       287,893  
   

 

 

  
      3,995,537  
Air Freight & Logistics — 0.2%  

Forward Air Corp.

     3,011       291,977  

Hub Group Inc., Class A(a)

    4,133       277,572  
   

 

 

  
      569,549  
Airlines — 0.2%  

Allegiant Travel Co.(a)

    3,260       505,919  

Frontier Group Holdings Inc.(a)(b)

    1,972       20,923  

Sun Country Airlines Holdings Inc.(a)

    6,735       185,280  
   

 

 

  
      712,122  
Auto Components — 1.1%  

Dorman Products Inc.(a)

    4,047       399,520  

Fox Factory Holding Corp.(a)

    9,050       741,014  

Gentherm Inc.(a)

    7,162       482,862  

LCI Industries

     2,523       245,538  

Luminar Technologies Inc.(a)(b)

    48,676       602,122  

Patrick Industries Inc.

     2,025       126,056  

Stoneridge Inc.(a)(b)

    2,036       40,130  

Visteon Corp.(a)(b)

    6,022       630,564  

XL Fleet Corp.(a)(b)

    20,684       28,958  

XPEL Inc.(a)

    3,568       154,387  
   

 

 

  
          3,451,151  
Automobiles — 0.4%  

Arcimoto Inc.(a)(b)

    6,485       21,790  

Harley-Davidson Inc.

     13,545       493,715  

Thor Industries Inc.

     5,141       393,543  

Winnebago Industries Inc.

     2,988       158,902  

Workhorse Group Inc.(a)(b)

    31,106       93,629  
   

 

 

  
      1,161,579  
Banks — 3.3%  

Allegiance Bancshares Inc.

     2,292       93,651  

Ameris Bancorp

     7,581       316,128  

Banc of California Inc.

     4,928       88,901  

Bancorp. Inc. (The)(a)

    8,903       202,009  

Byline Bancorp Inc.

     1,733       40,656  

Community Bank System Inc.

     3,796       244,462  

ConnectOne Bancorp. Inc.

     4,231       117,876  

Eastern Bankshares Inc.

     24,060       460,990  

FB Financial Corp.

     3,997       154,004  

First BanCorp./Puerto Rico

     26,860       365,565  

First Bancshares Inc. (The)

     2,008       64,638  

First Citizens BancShares Inc./NC, Class A

     1,796       1,148,326  

First Financial Bankshares Inc.

     27,700       1,107,446  

Glacier Bancorp. Inc.

     13,205       604,261  

HarborOne Bancorp Inc.

     7,291       97,626  

Hilltop Holdings Inc.

     6,244       159,160  
Security   Shares     Value  

Banks (continued)

 

Lakeland Financial Corp.

     2,497     $ 181,832  

Live Oak Bancshares Inc.(b)

    6,949       294,151  

Meta Financial Group Inc.

     4,514       197,036  

Metropolitan Bank Holding Corp.(a)

    1,508       134,287  

National Bank Holdings Corp., Class A

     2,207       80,578  

Origin Bancorp Inc.

     2,886       108,744  

Pinnacle Financial Partners Inc.

     6,874       533,079  

Popular Inc.

     7,739       603,565  

Seacoast Banking Corp. of Florida

     8,858       287,885  

ServisFirst Bancshares Inc.

     10,501       843,440  

Silvergate Capital Corp., Class A(a)

    6,546       765,620  

Southside Bancshares Inc.

     2,894       113,416  

Stock Yards Bancorp. Inc.

     3,023       158,042  

Triumph Bancorp. Inc.(a)

    3,539       245,748  

UMB Financial Corp.

     3,243       292,454  

United Community Banks Inc./GA

     8,943       269,542  

Veritex Holdings Inc.

     3,973       130,513  
   

 

 

  
          10,505,631  
Beverages — 0.6%  

Boston Beer Co. Inc. (The), Class A, NVS(a)(b)

    2,019       757,125  

Celsius Holdings Inc.(a)

    8,226       427,752  

Coca-Cola Consolidated Inc.

     616       271,964  

Duckhorn Portfolio Inc. (The)(a)

    6,663       129,395  

MGP Ingredients Inc.

     2,672       244,034  

National Beverage Corp.

     2,287       100,811  

Zevia PBC, Class A(a)(b)

    2,691       9,257  
   

 

 

  
      1,940,338  
Biotechnology — 8.2%  

4D Molecular Therapeutics Inc.(a)

    5,264       62,694  

ACADIA Pharmaceuticals Inc.(a)

    25,308       466,680  

Acumen Pharmaceuticals Inc.(a)

    2,165       8,357  

Agenus Inc.(a)

    15,811       29,250  

Agios Pharmaceuticals Inc.(a)(b)

    7,200       158,184  

Alaunos Therapeutics Inc.(a)(b)

    28,188       14,979  

Albireo Pharma Inc.(a)(b)

    4,220       134,280  

Aldeyra Therapeutics Inc.(a)

    11,392       34,973  

Alector Inc.(a)

    12,516       120,154  

Alkermes PLC(a)

    34,820       1,004,557  

Allakos Inc.(a)

    7,533       28,399  

Altimmune Inc.(a)(b)

    3,815       17,244  

Amicus Therapeutics Inc.(a)

    53,982       382,193  

AnaptysBio Inc.(a)(b)

    2,524       59,062  

Anavex Life Sciences Corp.(a)

    16,505       141,778  

Anika Therapeutics Inc.(a)

    3,115       67,066  

Apellis Pharmaceuticals Inc.(a)

    19,145       833,382  

Arbutus Biopharma Corp.(a)(b)

    19,637       45,754  

Arcus Biosciences Inc.(a)

    9,800       237,258  

Arrowhead Pharmaceuticals Inc.(a)

    22,686       932,621  

Atara Biotherapeutics Inc.(a)

    19,250       122,430  

Atossa Therapeutics Inc.(a)(b)

    26,810       27,078  

Avid Bioservices Inc.(a)(b)

    13,327       179,381  

Avidity Biosciences Inc.(a)

    9,208       131,674  

Avita Medical Inc.(a)(b)

    5,584       34,062  

Beam Therapeutics Inc.(a)(b)

    9,724       364,942  

BioAtla Inc.(a)

    1,828       6,361  

BioCryst Pharmaceuticals Inc.(a)

    38,680       359,337  

Blueprint Medicines Corp.(a)

    12,671       739,353  

Bolt Biotherapeutics Inc.(a)

    2,547       3,973  

C4 Therapeutics Inc.(a)

    7,902       67,720  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   71

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Biotechnology (continued)

 

CareDx Inc.(a)(b)

    11,369     $ 346,072  

Caribou Biosciences Inc.(a)(b)

    2,767       20,476  

Catalyst Pharmaceuticals Inc.(a)

    11,258       85,786  

Celldex Therapeutics Inc.(a)

    9,988       305,133  

CEL-SCI Corp.(a)(b)

    4,454       12,738  

ChemoCentryx Inc.(a)

    10,600       195,676  

Chimerix Inc.(a)

    6,615       29,106  

Clovis Oncology Inc.(a)(b)

    15,004       30,008  

Coherus Biosciences Inc.(a)

    6,139       55,497  

Crinetics Pharmaceuticals Inc.(a)

    8,340       169,469  

CRISPR Therapeutics AG(a)(b)

    5,870       291,269  

Cue Biopharma Inc.(a)

    6,592       26,104  

Curis Inc.(a)

    16,236       14,835  

Cytokinetics Inc.(a)

    18,037       719,135  

CytomX Therapeutics Inc.(a)

    5,370       9,183  

Deciphera Pharmaceuticals Inc.(a)(b)

    9,133       92,426  

Denali Therapeutics Inc.(a)

    19,911       473,882  

DermTech Inc.(a)(b)

    5,376       45,965  

Design Therapeutics Inc.(a)

    1,269       15,152  

Dynavax Technologies Corp.(a)(b)

    24,198       213,668  

Editas Medicine Inc.(a)

    14,622       193,595  

Enanta Pharmaceuticals Inc.(a)

    1,914       123,262  

Enochian Biosciences Inc.(a)

    3,280       25,223  

Epizyme Inc.(a)

    31,602       20,396  

Evelo Biosciences Inc.(a)(b)

    2,754       6,802  

Exelixis Inc.(a)

    68,004           1,519,209  

Fate Therapeutics Inc.(a)

    17,411       497,258  

FibroGen Inc.(a)(b)

    6,098       56,711  

Fortress Biotech Inc.(a)(b)

    15,697       17,267  

G1 Therapeutics Inc.(a)(b)

    3,037       15,610  

Geron Corp.(a)(b)

    30,167       42,535  

Global Blood Therapeutics Inc.(a)(b)

    6,482       198,997  

Gritstone bio Inc.(a)

    11,769       30,482  

Halozyme Therapeutics Inc.(a)

    30,229       1,206,137  

Heron Therapeutics Inc.(a)(b)

    22,256       100,597  

Homology Medicines Inc.(a)

    4,835       8,026  

Ideaya Biosciences Inc.(a)

    7,004       67,168  

Immuneering Corp., Class A(a)(b)

    1,698       8,439  

ImmunoGen Inc.(a)

    42,972       207,555  

Inhibrx Inc.(a)

    2,186       34,648  

Inmune Bio Inc.(a)(b)

    2,479       18,642  

Insmed Inc.(a)

    25,413       558,324  

Ionis Pharmaceuticals Inc.(a)(b)

    30,373       1,116,511  

Iovance Biotherapeutics Inc.(a)

    29,414       445,622  

IVERIC bio Inc.(a)

    23,229       321,722  

Karyopharm Therapeutics Inc.(a)

    6,118       37,320  

Keros Therapeutics Inc.(a)

    1,365       72,359  

Kodiak Sciences Inc.(a)

    7,188       43,272  

Krystal Biotech Inc.(a)

    4,413       267,472  

Kymera Therapeutics Inc.(a)

    7,668       240,392  

Lexicon Pharmaceuticals Inc.(a)

    14,123       25,563  

Ligand Pharmaceuticals Inc.(a)

    3,606       334,853  

Lineage Cell Therapeutics Inc.(a)(b)

    26,324       32,115  

MacroGenics Inc.(a)

    12,013       85,893  

Madrigal Pharmaceuticals Inc.(a)

    1,272       89,040  

MannKind Corp.(a)

    53,871       168,616  

MeiraGTx Holdings PLC(a)

    5,426       55,834  

Mersana Therapeutics Inc.(a)

    7,370       25,648  

MiMedx Group Inc.(a)

    8,767       34,630  

Morphic Holding Inc.(a)

    3,375       102,296  
Security   Shares     Value  

Biotechnology (continued)

 

Nurix Therapeutics Inc.(a)

    8,568     $ 94,848  

Ocugen Inc.(a)(b)

    42,577       93,244  

Organogenesis Holdings Inc., Class A(a)

    13,543       87,217  

PDS Biotechnology Corp.(a)

    5,639       31,184  

Pieris Pharmaceuticals Inc.(a)

    7,166       20,065  

Precigen Inc.(a)

    9,692       12,890  

Precision BioSciences Inc.(a)

    10,638       21,170  

Prometheus Biosciences Inc.(a)(b)

    2,222       58,439  

Protagonist Therapeutics Inc.(a)

    9,611       87,364  

Prothena Corp. PLC(a)

    3,236       94,362  

PTC Therapeutics Inc.(a)(b)

    15,179       536,274  

Radius Health Inc.(a)

    10,276       70,288  

Recursion Pharmaceuticals Inc., Class A(a)(b)

    5,603       34,739  

REGENXBIO Inc.(a)

    8,133       225,772  

Relay Therapeutics Inc.(a)(b)

    16,523       393,743  

REVOLUTION Medicines Inc.(a)

    6,642       132,641  

Rigel Pharmaceuticals Inc.(a)

    37,017       87,360  

Rocket Pharmaceuticals Inc.(a)

    3,157       32,454  

Rubius Therapeutics Inc.(a)

    3,971       6,592  

Sage Therapeutics Inc.(a)

    5,015       158,073  

Sangamo Therapeutics Inc.(a)

    14,787       61,366  

Sarepta Therapeutics Inc.(a)

    18,719       1,353,758  

Scholar Rock Holding Corp.(a)

    5,706       40,341  

Selecta Biosciences Inc.(a)

    6,117       4,687  

Seres Therapeutics Inc.(a)

    4,972       23,518  

Shattuck Labs Inc.(a)

    5,967       22,913  

Sorrento Therapeutics Inc.(a)(b)

    65,486       98,884  

Spero Therapeutics Inc.(a)

    6,205       30,156  

Stoke Therapeutics Inc.(a)

    3,314       47,854  

Surface Oncology Inc.(a)(b)

    4,275       9,063  

Sutro Biopharma Inc.(a)

    4,259       25,597  

Syndax Pharmaceuticals Inc.(a)

    9,806       164,447  

TG Therapeutics Inc.(a)(b)

    28,447       197,422  

Travere Therapeutics Inc.(a)

    11,117       279,370  

Twist Bioscience Corp.(a)

    11,583       334,054  

Ultragenyx Pharmaceutical Inc.(a)(b)

    14,662       1,036,457  

Vanda Pharmaceuticals Inc.(a)

    12,115       120,181  

Vaxart Inc.(a)(b)

    16,543       57,570  

Veracyte Inc.(a)

    15,309       313,375  

Verastem Inc.(a)

    12,062       17,128  

Vericel Corp.(a)

    10,101       287,879  

Viking Therapeutics Inc.(a)

    8,342       19,854  

Vir Biotechnology Inc.(a)

    15,780       321,123  

VistaGen Therapeutics Inc.(a)

    38,835       49,320  

Xencor Inc.(a)

    12,605       314,873  

Y-mAbs Therapeutics Inc.(a)

    4,200       35,280  
   

 

 

  
          25,967,986  
Building Products — 1.6%  

AAON Inc.

     8,883       432,957  

Armstrong World Industries Inc.

     7,050       596,853  

AZEK Co. Inc. (The)(a)

    24,056       510,949  

Gibraltar Industries Inc.(a)

    4,682       177,167  

Hayward Holdings Inc.(a)(b)

    8,874       141,097  

Insteel Industries Inc.

     2,059       87,343  

JELD-WEN Holding Inc.(a)

    9,308       193,513  

Masonite International Corp.(a)

    3,408       264,188  

PGT Innovations Inc.(a)

    6,761       120,143  

Resideo Technologies Inc.(a)

    16,061       361,212  

Simpson Manufacturing Co. Inc.

     9,337       967,967  

Tecnoglass Inc.

     4,496       100,396  
 

 

 

72  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Building Products (continued)

 

UFP Industries Inc.

     7,353     $ 568,902  

Zurn Water Solutions Corp.

     15,650       488,593  
   

 

 

  
      5,011,280  
Capital Markets — 1.8%  

Affiliated Managers Group Inc.

     4,434       556,777  

Artisan Partners Asset Management Inc., Class A

     7,971       256,188  

Assetmark Financial Holdings Inc.(a)

    1,841       35,402  

B. Riley Financial Inc.

     2,024       91,404  

Bridge Investment Group Holdings Inc., Class A

     2,889       54,255  

BrightSphere Investment Group Inc.

     7,561       151,522  

Cohen & Steers Inc.

     5,393       418,982  

Cowen Inc., Class A

     2,842       64,940  

Evercore Inc., Class A

     2,658       281,084  

Focus Financial Partners Inc., Class A(a)

    6,617       261,041  

Freedom Holding Corp./NV(a)(b)

    3,586       168,291  

GCM Grosvenor Inc., Class A

     4,166       34,370  

Hamilton Lane Inc., Class A

     7,508       514,899  

Houlihan Lokey Inc.

     7,708       641,999  

Interactive Brokers Group Inc., Class A

     11,715       697,745  

Moelis & Co., Class A

     4,657       206,119  

Open Lending Corp., Class A(a)

    22,028       300,462  

Oppenheimer Holdings Inc., Class A, NVS

     884       28,482  

Piper Sandler Cos

     1,531       176,034  

PJT Partners Inc., Class A

     3,248       214,336  

Runway Growth Finance Corp.(b)

    1,424       20,463  

StepStone Group Inc., Class A

     10,408       266,653  

Victory Capital Holdings Inc., Class A

     2,176       58,730  

Virtus Investment Partners Inc.

     1,072       189,916  

WisdomTree Investments Inc.

     11,229       65,465  
   

 

 

  
      5,755,559  
Chemicals — 2.4%  

Amyris Inc.(a)(b)

    41,575       142,602  

Ashland Global Holdings Inc.

     6,026       632,549  

Aspen Aerogels Inc.(a)

    3,266       70,546  

Avient Corp.

     8,579       422,430  

Balchem Corp.

     6,966       858,211  

Chase Corp.

     903       76,177  

Danimer Scientific Inc.(a)(b)

    18,224       71,438  

Element Solutions Inc.

     31,997       659,778  

GCP Applied Technologies Inc.(a)

    4,779       149,917  

Hawkins Inc.

     2,419       90,180  

HB Fuller Co.

     6,669       444,822  

Huntsman Corp.

     23,353       790,966  

Ingevity Corp.(a)

    3,968       237,683  

Innospec Inc.

     2,187       208,443  

Intrepid Potash Inc.(a)

    1,385       106,063  

Kronos Worldwide Inc.

     1,807       27,503  

Livent Corp.(a)(b)

    34,804       743,414  

Loop Industries Inc.(a)

    5,047       32,806  

Quaker Chemical Corp.

     2,879       468,442  

Sensient Technologies Corp.

     4,674       395,420  

Stepan Co.

     1,989       203,097  

Tronox Holdings PLC, Class A

     14,770       254,044  

Valvoline Inc.

     14,120       426,848  

Zymergen Inc.(a)(b)

    3,466       5,823  
   

 

 

  
          7,519,202  
Commercial Services & Supplies — 1.6%  

ACV Auctions Inc., Class A(a)(b)

    20,166       269,216  

Brady Corp., Class A, NVS

     3,867       173,048  
Security   Shares     Value  

Commercial Services & Supplies (continued)

 

Brink’s Co. (The)

     5,281     $ 311,315  

Casella Waste Systems Inc., Class A(a)

    10,816       889,508  

Cimpress PLC(a)

    2,662       134,458  

Clean Harbors Inc.(a)

    6,756       708,907  

Driven Brands Holdings Inc.(a)(b)

    11,909       332,142  

Harsco Corp.(a)

    6,866       70,171  

Kimball International Inc., Class B

     4,256       32,686  

MillerKnoll Inc.

     7,685       243,845  

Montrose Environmental Group Inc.(a)

    3,842       174,312  

MSA Safety Inc.

     4,767       575,329  

Shapeways Holdings Inc.(a)

    3,106       5,901  

SP Plus Corp.(a)

    1,622       46,227  

Steelcase Inc., Class A

     10,195       119,587  

Stericycle Inc.(a)(b)

    8,431       423,152  

U.S. Ecology Inc.(a)

    2,717       130,389  

UniFirst Corp./MA

     1,358       233,983  

Viad Corp.(a)

    2,774       90,849  
   

 

 

  
      4,965,025  
Communications Equipment — 0.9%  

Aviat Networks Inc.(a)

    778       23,262  

CalAmp Corp.(a)

    4,154       22,722  

Calix Inc.(a)

    11,835       472,335  

Cambium Networks Corp.(a)

    2,507       38,282  

Casa Systems Inc.(a)(b)

    7,705       37,755  

Clearfield Inc.(a)

    2,497       145,400  

Digi International Inc.(a)

    4,100       77,572  

Extreme Networks Inc.(a)

    15,308       146,957  

Harmonic Inc.(a)

    21,976       182,401  

Infinera Corp.(a)

    21,998       169,165  

Inseego Corp.(a)(b)

    9,048       25,787  

Lumentum Holdings Inc.(a)

    8,073       655,608  

Viasat Inc.(a)(b)

    16,030       590,064  

Viavi Solutions Inc.(a)

    27,501       394,364  
   

 

 

  
      2,981,674  
Construction & Engineering — 1.8%  

Ameresco Inc., Class A(a)

    6,659       335,880  

API Group Corp.(a)

    25,646       475,990  

Arcosa Inc.

     4,182       223,862  

Comfort Systems USA Inc.

     5,165       436,029  

Construction Partners Inc., Class A(a)(b)

    8,823       227,722  

Dycom Industries Inc.(a)(b)

    3,241       275,193  

EMCOR Group Inc.

     4,676       497,901  

Granite Construction Inc.

     3,604       106,859  

Great Lakes Dredge & Dock Corp.(a)

    4,487       61,965  

IES Holdings Inc.(a)

    890       26,077  

Infrastructure and Energy Alternatives Inc.(a)

    2,320       21,692  

MasTec Inc.(a)

    5,534       398,503  

MYR Group Inc.(a)

    1,840       145,526  

NV5 Global Inc.(a)(b)

    2,548       305,250  

Valmont Industries Inc.

     2,083       518,271  

WillScot Mobile Mini Holdings Corp.(a)

    47,917       1,681,887  
   

 

 

  
          5,738,607  
Construction Materials — 0.4%  

Eagle Materials Inc.

     5,421       668,518  

Summit Materials Inc., Class A(a)

    16,394       455,753  
   

 

 

  
      1,124,271  
Consumer Finance — 0.4%  

Atlanticus Holdings Corp.(a)

    728       31,333  

FirstCash Holdings Inc.

     3,196       254,977  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   73

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Consumer Finance (continued)

 

Green Dot Corp., Class A(a)

    5,201     $ 137,723  

LendingClub Corp.(a)

    21,801       332,465  

LendingTree Inc.(a)

    2,484       197,279  

Moneylion Inc.(a)

    19,659       40,891  

Nelnet Inc., Class A

     2,068       169,721  
   

 

 

  
      1,164,389  
Containers & Packaging — 0.3%  

Graphic Packaging Holding Co.

     28,649       624,548  

Myers Industries Inc.

     3,898       85,483  

Pactiv Evergreen Inc.

     5,402       53,264  

Ranpak Holdings Corp.(a)(b)

    8,782       132,433  
   

 

 

  
      895,728  
Distributors — 0.0%  

Funko Inc., Class A(a)

    3,318       54,050  
   

 

 

  
Diversified Consumer Services — 1.1%  

2U Inc.(a)(b)

    16,452       164,191  

American Public Education Inc.(a)

    1,773       34,467  

Carriage Services Inc.

     1,553       66,608  

Coursera Inc.(a)(b)

    18,108       340,611  

Duolingo Inc, Class A(a)(b)

    1,863       161,094  

European Wax Center Inc., Class A

     3,012       82,679  

frontdoor Inc.(a)(b)

    8,638       267,000  

Grand Canyon Education Inc.(a)

    2,943       282,440  

Laureate Education Inc., Class A

     16,685       189,041  

Mister Car Wash Inc.(a)(b)

    8,187       117,893  

OneSpaWorld Holdings Ltd.(a)(b)

    12,544       125,942  

PowerSchool Holdings Inc., Class A(a)

    5,813       88,009  

Stride Inc.(a)

    5,850       229,905  

Terminix Global Holdings Inc.(a)

    26,039       1,194,930  

Udemy Inc.(a)

    3,224       35,174  
   

 

 

  
          3,379,984  
Diversified Financial Services — 0.2%  

Cannae Holdings Inc.(a)

    7,624       170,777  

Jackson Financial Inc., Class A

     8,822       373,259  
   

 

 

  
      544,036  
Diversified Telecommunication Services — 0.6%  

Anterix Inc.(a)

    1,924       99,740  

Bandwidth Inc., Class A(a)

    4,991       110,401  

Cogent Communications Holdings Inc.

     4,465       261,202  

Globalstar Inc.(a)(b)

    143,947       166,979  

IDT Corp., Class B(a)

    1,820       48,194  

Iridium Communications Inc.(a)

    28,431       1,015,271  

Liberty Latin America Ltd., Class A(a)

    4,720       43,613  

Liberty Latin America Ltd., Class C, NVS(a)

    17,777       164,259  

Ooma Inc.(a)

    4,696       60,297  
   

 

 

  
      1,969,956  
Electric Utilities — 0.1%  

MGE Energy Inc.

     2,989       232,753  

Otter Tail Corp.

     3,053       176,952  
   

 

 

  
      409,705  
Electrical Equipment — 0.9%  

Acuity Brands Inc.

     3,084       531,928  

American Superconductor Corp.(a)

    5,469       29,150  

Array Technologies Inc.(a)

    25,828       168,657  

AZZ Inc.

     1,641       74,895  

Blink Charging Co.(a)(b)

    7,816       149,286  

Bloom Energy Corp., Class A(a)

    31,819       590,561  

Encore Wire Corp.

     1,773       200,012  
Security   Shares     Value  

Electrical Equipment (continued)

 

EnerSys

     2,713     $ 177,593  

Eos Energy Enterprises Inc.(a)(b)

    8,311       17,619  

Fluence Energy Inc., Class A(a)(b)

    7,317       67,097  

FTC Solar Inc.(a)

    2,833       7,932  

FuelCell Energy Inc.(a)

    78,827       321,614  

Romeo Power Inc.(a)(b)

    20,131       22,144  

Shoals Technologies Group Inc., Class A(a)(b)

    22,323       222,784  

TPI Composites Inc.(a)

    8,132       93,030  

Vicor Corp.(a)

    4,593       277,968  
   

 

 

  
      2,952,270  
Electronic Equipment, Instruments & Components — 2.7%  

908 Devices Inc.(a)(b)

    3,609       64,060  

Advanced Energy Industries Inc.

     4,253       325,440  

Akoustis Technologies Inc.(a)(b)

    11,206       49,755  

Alpine 4 Holdings Inc.(a)(b)

    34,594       26,890  

Badger Meter Inc.

     6,280       506,733  

Belden Inc.

     3,906       201,667  

Benchmark Electronics Inc.

     3,050       72,468  

Coherent Inc.(a)

    5,326       1,426,835  

CTS Corp.

     4,483       158,564  

Fabrinet(a)

    4,360       428,108  

FARO Technologies Inc.(a)

    3,905       133,903  

Identiv Inc.(a)

    4,960       60,462  

Itron Inc.(a)

    9,739       465,329  

Knowles Corp.(a)

    6,937       128,473  

Lightwave Logic Inc.(a)(b)

    21,899       248,992  

Littelfuse Inc.

     5,288       1,212,274  

MicroVision Inc.(a)(b)

    35,613       115,030  

National Instruments Corp.

     12,365       446,871  

nLight Inc.(a)

    9,362       123,110  

Novanta Inc.(a)(b)

    7,633       982,367  

PAR Technology Corp.(a)(b)

    5,454       180,200  

Rogers Corp.(a)

    4,027       1,090,190  
   

 

 

  
      8,447,721  
Energy Equipment & Services — 0.8%  

Cactus Inc., Class A

     12,737       635,958  

ChampionX Corp.

     27,317       576,389  

Core Laboratories NV(b)

    10,014       260,364  

DMC Global Inc.(a)

    4,146       82,879  

Dril-Quip Inc.(a)

    4,204       121,411  

Oceaneering International Inc.(a)

    14,175       160,603  

Patterson-UTI Energy Inc.

     25,857       425,089  

TETRA Technologies Inc.(a)(b)

    8,431       31,026  

Weatherford International PLC(a)

    7,102       229,253  
   

 

 

  
          2,522,972  
Entertainment — 0.6%  

Cinedigm Corp., Class A(a)(b)

    29,792       20,738  

CuriosityStream Inc.(a)

    5,423       11,009  

IMAX Corp.(a)

    10,632       168,198  

Liberty Media Corp.-Liberty Braves, Class C, NVS(a)

    8,047       202,060  

Madison Square Garden Sports Corp.(a)

    1,859       301,362  

Sciplay Corp., Class A(a)

    2,538       33,908  

Skillz Inc., Class A(a)(b)

    55,855       114,503  

Warner Music Group Corp., Class A

     24,787       737,909  

World Wrestling Entertainment Inc., Class A

     6,085       355,303  
   

 

 

  
      1,944,990  
Equity Real Estate Investment Trusts (REITs) — 6.6%  

Acadia Realty Trust

     7,937       166,042  

Agree Realty Corp.

     6,822       463,350  
 

 

 

74  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

Alexander & Baldwin Inc.

     15,648     $ 331,738  

Alexander’s Inc.

     197       48,889  

American Assets Trust Inc.

     4,570       167,262  

American Campus Communities Inc.

     10,868       702,834  

Apple Hospitality REIT Inc.

     27,570       487,713  

Brandywine Realty Trust

     10,934       127,600  

Brixmor Property Group Inc.

     20,830       528,665  

CatchMark Timber Trust Inc., Class A

     4,454       36,567  

Centerspace

     1,539       141,988  

Chatham Lodging Trust(a)

    3,915       56,219  

Community Healthcare Trust Inc.

     5,062       186,383  

Corporate Office Properties Trust

     8,194       218,698  

Cousins Properties Inc.

     13,214       474,383  

CTO Realty Growth Inc.

     1,288       82,136  

DiamondRock Hospitality Co.(a)

    15,005       159,353  

DigitalBridge Group Inc.(a)

    40,341       280,773  

Douglas Emmett Inc.

     15,477       455,952  

EastGroup Properties Inc.

     8,740       1,638,750  

EPR Properties

     9,363       491,745  

Equity Commonwealth(a)

    7,855       205,722  

Essential Properties Realty Trust Inc.

     15,864       380,736  

First Industrial Realty Trust Inc.

     16,893       979,794  

Four Corners Property Trust Inc.

     8,954       245,877  

Gladstone Land Corp.

     3,192       116,189  

Global Medical REIT Inc.

     6,159       90,907  

Global Net Lease Inc.

     7,355       103,191  

Healthcare Realty Trust Inc.

     10,547       285,613  

Healthcare Trust of America Inc., Class A

     21,861       665,886  

Hudson Pacific Properties Inc.

     12,782       297,565  

Independence Realty Trust Inc.

     23,891       651,269  

Innovative Industrial Properties Inc.

     5,850       845,851  

Kite Realty Group Trust

     14,884       331,913  

LXP Industrial Trust

     19,592       245,880  

National Storage Affiliates Trust

     17,601       996,217  

NETSTREIT Corp.

     8,584       185,586  

NexPoint Residential Trust Inc.

     2,511       223,881  

Outfront Media Inc.

     13,164       336,998  

Pebblebrook Hotel Trust(b)

    17,530       428,083  

Physicians Realty Trust

     17,034       291,963  

Piedmont Office Realty Trust Inc., Class A

     8,539       137,478  

Plymouth Industrial REIT Inc.

     3,831       92,404  

PS Business Parks Inc.

     1,960       366,912  

Rayonier Inc.

     19,247       831,470  

Retail Opportunity Investments Corp.

     10,778       200,794  

RPT Realty

     6,144       81,654  

Ryman Hospitality Properties Inc.(a)

    5,183       484,507  

Safehold Inc.

     3,053       131,432  

Service Properties Trust

     12,338       100,185  

SITE Centers Corp.

     15,825       251,617  

Spirit Realty Capital Inc.

     10,879       472,692  

STAG Industrial Inc.

     21,469       801,223  

Tanger Factory Outlet Centers Inc.

     7,370       118,878  

Terreno Realty Corp.

     16,233       1,180,951  

UMH Properties Inc.

     6,535       153,703  

Uniti Group Inc.

     21,334       264,328  

Universal Health Realty Income Trust

     1,217       61,081  

Urban Edge Properties

     9,846       184,022  

Urstadt Biddle Properties Inc., Class A

     2,074       35,984  
   

 

 

  
          21,107,476  
Security   Shares     Value  

Food & Staples Retailing — 0.7%

 

Casey’s General Stores Inc.

     3,333     $ 670,933  

Grocery Outlet Holding Corp.(a)

    5,912       199,057  

Performance Food Group Co.(a)(b)

    20,381       1,003,764  

PriceSmart Inc.

     2,584       205,299  
   

 

 

  
      2,079,053  
Food Products — 1.6%  

Beyond Meat Inc.(a)(b)

    12,966       478,186  

Calavo Growers Inc.

     1,287       46,641  

Freshpet Inc.(a)(b)

    9,337       871,609  

Hain Celestial Group Inc. (The)(a)

    8,711       292,167  

Hostess Brands Inc.(a)

    13,404       304,137  

J&J Snack Foods Corp.

     1,615       241,765  

John B Sanfilippo & Son Inc.

     589       45,730  

Lancaster Colony Corp.

     2,231       346,206  

Mission Produce Inc.(a)

    3,158       40,170  

Pilgrim’s Pride Corp.(a)

    4,276       121,225  

Post Holdings Inc.(a)

    6,456       480,262  

Sanderson Farms Inc.

     2,645       500,884  

Seaboard Corp.

     25       105,625  

Simply Good Foods Co. (The)(a)

    18,243       759,821  

Sovos Brands Inc.(a)

    5,341       80,649  

Tattooed Chef Inc.(a)(b)

    9,623       76,888  

Tootsie Roll Industries Inc.

     1,835       64,280  

Vita Coco Co. Inc. (The)(a)(b)

    2,432       26,411  

Vital Farms Inc.(a)(b)

    5,134       59,041  

Whole Earth Brands Inc.(a)

    4,454       30,777  
   

 

 

  
          4,972,474  
Gas Utilities — 0.1%  

Chesapeake Utilities Corp.

     2,141       267,989  
   

 

 

  
Health Care Equipment & Supplies — 6.4%  

Accuray Inc.(a)(b)

    9,039       24,044  

Alphatec Holdings Inc.(a)

    14,520       157,542  

AngioDynamics Inc.(a)

    8,334       175,431  

Artivion Inc.(a)

    3,104       62,980  

Asensus Surgical Inc.(a)(b)

    50,459       22,873  

Aspira Women’s Health Inc.(a)(b)

    12,598       8,017  

AtriCure Inc.(a)

    9,883       513,224  

Atrion Corp.

     179       112,165  

Avanos Medical Inc.(a)

    4,326       126,146  

Axogen Inc.(a)

    9,021       65,312  

Axonics Inc.(a)

    9,969       516,594  

BioLife Solutions Inc.(a)

    6,436       81,544  

Cardiovascular Systems Inc.(a)

    8,823       164,990  

Cerus Corp.(a)

    36,940       170,663  

ClearPoint Neuro Inc.(a)

    3,643       31,221  

CONMED Corp.

     6,296       837,116  

CryoPort Inc.(a)

    10,600       239,136  

Cutera Inc.(a)

    3,509       190,574  

CVRx Inc.(a)

    1,536       9,569  

Eargo Inc.(a)

    4,774       18,046  

Enovis Corp.(a)

    6,514       422,563  

Envista Holdings Corp.(a)

    23,178       918,312  

Establishment Labs Holdings Inc.(a)(b)

    4,721       334,058  

Figs Inc., Class A(a)(b)

    7,907       123,824  

Glaukos Corp.(a)(b)

    10,091       477,203  

Globus Medical Inc., Class A(a)

    17,009       1,126,336  

Haemonetics Corp.(a)

    5,076       257,201  

Heska Corp.(a)

    2,318       254,609  

ICU Medical Inc.(a)(b)

    2,729       583,979  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   75

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Health Care Equipment & Supplies (continued)

 

Inari Medical Inc.(a)

    6,875     $ 554,812  

Integer Holdings Corp.(a)

    3,998       300,530  

Integra LifeSciences Holdings Corp.(a)

    15,682       959,111  

Intersect ENT Inc.(a)

    3,780       103,459  

iRhythm Technologies Inc.(a)(b)

    6,336       781,672  

Lantheus Holdings Inc.(a)

    14,577       968,059  

LeMaitre Vascular Inc.

     4,164       179,926  

LivaNova PLC(a)

    11,471       879,367  

Meridian Bioscience Inc.(a)

    6,135       156,995  

Merit Medical Systems Inc.(a)

    10,936       678,141  

Mesa Laboratories Inc.

     1,127       240,761  

Natus Medical Inc.(a)

    3,876       128,955  

Neogen Corp.(a)

    23,207       612,665  

Nevro Corp.(a)

    7,512       463,415  

NuVasive Inc.(a)

    4,380       225,307  

Omnicell Inc.(a)

    9,455       1,032,202  

OraSure Technologies Inc.(a)

    15,924       97,773  

Ortho Clinical Diagnostics Holdings PLC(a)

    24,499       431,427  

Orthofix Medical Inc.(a)(b)

    4,239       131,409  

OrthoPediatrics Corp.(a)

    2,990       134,789  

Outset Medical Inc.(a)

    8,841       308,374  

PROCEPT BioRobotics Corp.(a)

    1,476       52,487  

Pulmonx Corp.(a)

    7,478       180,220  

Retractable Technologies Inc.(a)(b)

    2,478       9,491  

RxSight Inc.(a)

    1,538       18,871  

SeaSpine Holdings Corp.(a)

    7,121       66,296  

Senseonics Holdings Inc.(a)(b)

    87,717       122,804  

Shockwave Medical Inc.(a)

    7,591       1,147,228  

SI-BONE Inc.(a)(b)

    5,917       118,222  

Sientra Inc.(a)

    12,083       17,158  

Sight Sciences Inc.(a)

    2,187       15,265  

Silk Road Medical Inc.(a)

    7,467       261,718  

STAAR Surgical Co.(a)

    10,260       585,743  

Stereotaxis Inc.(a)

    9,782       24,455  

Surmodics Inc.(a)

    2,985       115,400  

Tactile Systems Technology Inc.(a)

    4,316       72,854  

TransMedics Group Inc.(a)

    5,944       124,586  

Treace Medical Concepts Inc.(a)

    2,476       48,530  

Vapotherm Inc.(a)

    4,906       21,783  

ViewRay Inc.(a)

    32,971       88,033  

Zynex Inc.(b)

    4,654       29,646  
   

 

 

  
          20,515,211  
Health Care Providers & Services — 3.4%  

1Life Healthcare Inc.(a)

    36,626       258,213  

Acadia Healthcare Co. Inc.(a)(b)

    8,295       563,065  

Accolade Inc.(a)

    12,392       68,899  

AdaptHealth Corp.(a)(b)

    20,874       264,265  

Addus HomeCare Corp.(a)

    2,435       205,222  

Agiliti Inc.(a)(b)

    5,864       115,755  

Alignment Healthcare Inc.(a)

    3,224       30,983  

Amedisys Inc.(a)(b)

    4,662       595,104  

AMN Healthcare Services Inc.(a)

    6,177       603,802  

Apollo Medical Holdings Inc.(a)(b)

    8,159       297,640  

Aveanna Healthcare Holdings Inc.(a)

    9,153       26,727  

Castle Biosciences Inc.(a)

    5,053       112,884  

CorVel Corp.(a)

    2,024       313,882  

Covetrus Inc.(a)

    12,835       177,123  

Encompass Health Corp.

     11,047       760,365  

Ensign Group Inc. (The)

     8,052       646,817  

Hanger Inc.(a)

    2,609       42,892  
Security   Shares     Value  

Health Care Providers & Services (continued)

 

HealthEquity Inc.(a)

    8,142     $ 507,409  

Innovage Holding Corp.(a)(b)

    3,942       18,094  

Invitae Corp.(a)

    22,628       120,155  

Joint Corp. (The)(a)

    3,107       94,826  

LHC Group Inc.(a)

    3,553       589,265  

MEDNAX Inc.(a)

    7,882       145,975  

ModivCare Inc.(a)

    1,399       145,454  

OPKO Health Inc.(a)

    26,557       71,704  

Option Care Health Inc.(a)

    29,720       888,034  

Owens & Minor Inc.

     6,538       232,034  

Pennant Group Inc. (The)(a)

    5,911       96,881  

PetIQ Inc.(a)

    5,748       114,385  

Privia Health Group Inc.(a)

    5,714       125,651  

Progyny Inc.(a)(b)

    14,907       573,174  

R1 RCM Inc.(a)

    28,720       646,774  

RadNet Inc.(a)

    10,010       195,195  

Select Medical Holdings Corp.

     9,528       215,428  

Signify Health Inc., Class A(a)(b)

    5,109       70,504  

Surgery Partners Inc.(a)(b)

    7,618       389,737  

Tivity Health Inc.(a)

    6,124       196,764  

U.S. Physical Therapy Inc.

     2,774       287,858  
   

 

 

  
          10,808,939  
Health Care Technology — 1.2%  

American Well Corp., Class A(a)(b)

    41,866       131,040  

Certara Inc.(a)(b)

    22,331       409,774  

Convey Health Solutions Holdings Inc.(a)(b)

    2,721       13,850  

Doximity Inc., Class A(a)

    19,928       794,529  

Evolent Health Inc., Class A(a)

    7,109       195,640  

Health Catalyst Inc.(a)(b)

    11,167       185,819  

HealthStream Inc.(a)

    3,347       63,928  

Inspire Medical Systems Inc.(a)

    5,885       1,210,898  

OptimizeRx Corp.(a)

    3,807       107,015  

Phreesia Inc.(a)

    11,042       252,641  

Schrodinger Inc.(a)(b)

    10,141       250,685  

Simulations Plus Inc.

     3,347       156,171  

Tabula Rasa HealthCare Inc.(a)

    5,507       18,558  
   

 

 

  
      3,790,548  
Hotels, Restaurants & Leisure — 4.6%  

Accel Entertainment Inc.(a)(b)

    12,019       142,185  

Bally’s Corp.(a)

    6,311       188,320  

BJ’s Restaurants Inc.(a)

    1,863       51,773  

Boyd Gaming Corp.

     17,675       1,070,751  

Century Casinos Inc.(a)

    5,898       61,752  

Choice Hotels International Inc.

     7,049       990,103  

Chuy’s Holdings Inc.(a)

    1,567       39,191  

Cracker Barrel Old Country Store Inc.

     1,594       176,918  

Denny’s Corp.(a)

    4,261       54,626  

Dine Brands Global Inc.

     1,592       114,130  

Dutch Bros. Inc.(a)(b)

    5,140       245,538  

Esports Technologies Inc.(a)(b)

    698       2,548  

Everi Holdings Inc.(a)

    19,642       340,985  

F45 Training Holdings Inc.(a)

    4,574       40,205  

First Watch Restaurant Group Inc.(a)

    1,966       25,558  

Full House Resorts Inc.(a)

    3,644       32,978  

GAN Ltd.(a)

    8,855       33,029  

Golden Nugget Online Gaming Inc.(a)(b)

    9,351       46,848  

Hilton Grand Vacations Inc.(a)

    10,159       475,746  

Hyatt Hotels Corp., Class A(a)

    10,847       1,030,031  

Jack in the Box Inc.

     2,231       184,638  
 

 

 

76  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Hotels, Restaurants & Leisure (continued)

 

Krispy Kreme Inc.(b)

    6,363     $ 84,501  

Kura Sushi USA Inc., Class A(a)

    904       45,363  

Lindblad Expeditions Holdings Inc.(a)(b)

    6,608       101,168  

Marriott Vacations Worldwide Corp.

     3,909       583,731  

Monarch Casino & Resort Inc.(a)

    2,813       197,332  

Noodles & Co.(a)

    3,097       17,250  

ONE Group Hospitality Inc. (The)(a)

    5,440       50,646  

Papa John’s International Inc.

     6,954       633,162  

Planet Fitness Inc., Class A(a)

    17,902       1,432,697  

PlayAGS Inc.(a)

    3,190       21,054  

Portillo’s Inc., Class A(a)(b)

    4,595       95,714  

RCI Hospitality Holdings Inc.

     1,720       106,571  

Red Rock Resorts Inc., Class A

     11,344       498,682  

Rush Street Interactive Inc.(a)

    11,582       73,546  

Ruth’s Hospitality Group Inc.

     2,510       52,635  

Scientific Games Corp./DE, Class A(a)

    9,040       506,782  

SeaWorld Entertainment Inc.(a)

    4,665       314,608  

Shake Shack Inc., Class A(a)(b)

    8,445       488,374  

Six Flags Entertainment Corp.(a)

    7,132       272,942  

Texas Roadhouse Inc.

     10,115       832,768  

Wendy’s Co. (The)

     21,564       426,105  

Wingstop Inc.

     6,405       587,723  

Wyndham Hotels & Resorts Inc.

     20,053       1,763,862  

Xponential Fitness Inc., Class A(a)

    2,183       45,232  
   

 

 

  
          14,580,301  
Household Durables — 1.3%  

Cavco Industries Inc.(a)

    1,847       436,354  

Cricut Inc., Class A(a)(b)

    7,752       90,078  

Dream Finders Homes Inc., Class A(a)(b)

    1,395       24,175  

Helen of Troy Ltd.(a)(b)

    2,919       626,155  

Installed Building Products Inc.

     5,037       405,327  

iRobot Corp.(a)

    3,301       167,196  

Leggett & Platt Inc.

     11,326       403,545  

LGI Homes Inc.(a)(b)

    2,883       270,166  

Lovesac Co. (The)(a)(b)

    2,929       128,407  

Purple Innovation Inc., Class A(a)(b)

    12,253       50,482  

Skyline Champion Corp.(a)

    11,407       582,213  

Snap One Holdings Corp.(a)(b)

    3,151       37,655  

Sonos Inc.(a)(b)

    27,499       627,527  

Traeger Inc.(a)(b)

    2,577       15,436  

Vizio Holding Corp., Class A(a)(b)

    7,783       56,349  

Vuzix Corp.(a)(b)

    12,991       67,164  

Weber Inc., Class A(b)

    1,602       14,066  
   

 

 

  
      4,002,295  
Household Products — 0.3%  

Energizer Holdings Inc.

     6,950       210,516  

Spectrum Brands Holdings Inc.

     3,964       337,217  

WD-40 Co.

     2,949       542,557  
   

 

 

  
      1,090,290  
Independent Power and Renewable Electricity Producers — 0.4%  

Clearway Energy Inc., Class A

     4,566       129,766  

Clearway Energy Inc., Class C

     10,935       333,846  

Ormat Technologies Inc.

     5,915       459,595  

Sunnova Energy International Inc.(a)(b)

    19,952       344,571  
   

 

 

  
      1,267,778  
Insurance — 2.1%  

BRP Group Inc., Class A(a)

    11,458       264,909  

GoHealth Inc., Class A(a)(b)

    7,487       5,594  

Goosehead Insurance Inc., Class A

     4,286       246,402  
Security   Shares     Value  

Insurance (continued)

 

HCI Group Inc.

     1,187     $ 76,075  

Kemper Corp.

     5,764       266,066  

Kinsale Capital Group Inc.(b)

    4,624       1,025,095  

Lemonade Inc.(a)(b)

    8,205       171,156  

National Western Life Group Inc., Class A

     188       37,367  

Oscar Health Inc., Class A(a)(b)

    5,083       37,411  

Primerica Inc.

     4,455       577,190  

ProAssurance Corp.

     1,417       34,816  

RenaissanceRe Holdings Ltd.

     9,504       1,364,014  

RLI Corp.

     8,639       991,585  

Ryan Specialty Group Holdings Inc., Class A(a)

    5,565       205,849  

Selective Insurance Group Inc.

     5,283       435,108  

Selectquote Inc.(a)(b)

    9,834       20,258  

Stewart Information Services Corp.

     2,579       133,076  

Trupanion Inc.(a)

    7,387       469,961  

White Mountains Insurance Group Ltd.

     215       225,324  
   

 

 

  
      6,587,256  
Interactive Media & Services — 0.8%  

Angi Inc.(a)(b)

    16,280       71,795  

Bumble Inc., Class A(a)(b)

    15,592       374,052  

Cargurus Inc.(a)

    13,305       434,807  

Eventbrite Inc., Class A(a)

    6,159       65,162  

EverQuote Inc., Class A(a)

    2,187       30,356  

fuboTV Inc.(a)(b)

    33,003       125,081  

MediaAlpha Inc., Class A(a)(b)

    4,616       68,040  

Outbrain Inc.(a)

    940       8,460  

QuinStreet Inc.(a)

    6,128       58,277  

TripAdvisor Inc.(a)

    10,517       269,971  

TrueCar Inc.(a)

    10,896       39,008  

Vimeo Inc.(a)

    33,585       342,231  

Yelp Inc.(a)

    8,798       286,199  

Ziff Davis Inc.(a)

    4,470       394,969  

ZipRecruiter Inc.(a)

    2,652       59,697  
   

 

 

  
          2,628,105  
Internet & Direct Marketing Retail — 0.6%  

1-800-Flowers.com Inc., Class A(a)

    3,889       39,668  

1847 Goedeker Inc.(a)

    11,425       14,510  

1stdibs.com Inc.(a)

    1,273       9,624  

CarParts.com Inc.(a)(b)

    6,811       40,798  

Duluth Holdings Inc., Class B(a)

    1,742       21,340  

Lands’ End Inc.(a)

    1,284       18,002  

Liquidity Services Inc.(a)(b)

    5,693       82,093  

Overstock.com Inc.(a)(b)

    9,292       311,840  

PetMed Express Inc.

     1,743       38,172  

Porch Group Inc.(a)

    16,582       61,353  

Poshmark Inc., Class A(a)(b)

    7,856       86,730  

Quotient Technology Inc.(a)

    10,104       53,652  

RealReal Inc. (The)(a)

    17,496       94,828  

Revolve Group Inc.(a)

    8,521       360,097  

Shutterstock Inc.

     4,994       378,146  

Stitch Fix Inc., Class A(a)

    18,072       171,684  

ThredUp Inc., Class A(a)

    11,177       73,656  

Xometry Inc., Class A(a)(b)

    1,522       49,952  
   

 

 

  
      1,906,145  
IT Services — 3.2%  

BigCommerce Holdings Inc., Series 1(a)

    12,892       230,380  

Brightcove Inc.(a)

    8,907       62,794  

Cantaloupe Inc.(a)

    12,669       69,299  

Euronet Worldwide Inc.(a)(b)

    11,370       1,383,160  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   77

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

IT Services (continued)

 

EVERTEC Inc.

     8,960     $ 353,024  

Evo Payments Inc., Class A(a)

    3,579       80,635  

ExlService Holdings Inc.(a)

    5,072       690,553  

Fastly Inc., Class A(a)

    22,953       364,953  

Flywire Corp.(a)

    2,319       70,753  

GreenBox POS(a)(b)

    3,946       14,245  

Grid Dynamics Holdings Inc.(a)

    9,812       136,583  

Hackett Group Inc. (The)

     3,208       75,356  

I3 Verticals Inc., Class A(a)(b)

    2,689       73,813  

Information Services Group Inc.

     7,638       47,890  

International Money Express Inc.(a)

    7,227       143,600  

LiveRamp Holdings Inc.(a)

    14,734       461,469  

Marqeta Inc., Class A(a)

    50,178       466,655  

Maximus Inc.

     6,278       457,541  

Paya Holdings Inc., Class A(a)(b)

    18,486       94,094  

Paymentus Holdings Inc., Class A(a)(b)

    2,815       46,616  

Payoneer Global Inc.(a)

    41,763       174,569  

Perficient Inc.(a)

    7,070       702,829  

Rackspace Technology Inc.(a)(b)

    5,749       56,858  

Repay Holdings Corp.(a)(b)

    15,933       213,184  

Shift4 Payments Inc., Class A(a)(b)

    11,096       582,096  

SolarWinds Corp.

     4,429       54,787  

Squarespace Inc., Class A(a)(b)

    5,982       119,461  

Switch Inc., Class A

     28,442       849,278  

TaskUS Inc., Class A(a)

    5,834       168,544  

Toast Inc.(a)(b)

    15,923       296,645  

TTEC Holdings Inc.

     3,960       292,288  

Tucows Inc., Class A(a)(b)

    2,025       116,680  

Verra Mobility Corp.(a)

    27,490       385,685  

WEX Inc.(a)

    6,041       1,004,256  
   

 

 

  
          10,340,573  
Leisure Products — 0.4%  

Acushnet Holdings Corp.

     3,769       153,549  

American Outdoor Brands Inc.(a)

    1,382       17,413  

AMMO Inc.(a)(b)

    18,662       75,581  

Callaway Golf Co.(a)(b)

    25,163       552,076  

Clarus Corp.

     5,782       129,228  

Genius Brands International Inc.(a)(b)

    62,035       44,045  

Johnson Outdoors Inc., Class A

     568       43,441  

Latham Group Inc.(a)

    6,919       83,028  

Malibu Boats Inc., Class A(a)

    1,541       77,497  

Solo Brands Inc., Class A(a)(b)

    2,728       16,286  

Vinco Ventures Inc.(a)(b)

    25,586       63,453  
   

 

 

  
      1,255,597  
Life Sciences Tools & Services — 1.0%  

Absci Corp.(a)(b)

    2,685       15,868  

Adaptive Biotechnologies Corp.(a)(b)

    23,439       193,372  

Akoya Biosciences Inc.(a)

    1,385       13,033  

Alpha Teknova Inc.(a)

    1,296       14,554  

Berkeley Lights Inc.(a)

    8,784       43,700  

BioNano Genomics Inc.(a)(b)

    61,812       100,754  

ChromaDex Corp.(a)(b)

    11,632       21,985  

Codexis Inc.(a)

    12,648       152,155  

Cytek Biosciences Inc.(a)

    3,128       29,560  

Inotiv Inc.(a)

    3,258       46,427  

Maravai LifeSciences Holdings Inc., Class A(a)

    9,869       303,274  

Medpace Holdings Inc.(a)(b)

    6,187       826,398  

NanoString Technologies Inc.(a)

    9,761       183,312  

NeoGenomics Inc.(a)

    26,481       250,245  
Security   Shares     Value  

Life Sciences Tools & Services (continued)

 

Pacific Biosciences of California Inc.(a)(b)

    47,466     $ 300,934  

Personalis Inc.(a)(b)

    4,779       26,762  

Quanterix Corp.(a)

    7,332       162,697  

Rapid Micro Biosystems Inc., Cass A(a)(b)

    1,733       10,103  

Seer Inc., Class A(a)(b)

    7,534       54,848  

Sotera Health Co.(a)

    21,216       432,382  

Standard BioTools Inc.(a)(b)

    5,198       13,775  
   

 

 

  
      3,196,138  
Machinery — 3.9%  

Agrify Corp.(a)(b)

    4,554       13,161  

Alamo Group Inc.

     1,161       146,797  

Albany International Corp., Class A

     3,872       302,868  

Altra Industrial Motion Corp.

     5,665       220,935  

Astec Industries Inc.

     2,555       99,901  

Blue Bird Corp.(a)(b)

    1,911       30,633  

Chart Industries Inc.(a)(b)

    7,660       1,293,161  

Columbus McKinnon Corp./NY

     3,321       117,729  

Crane Co.

     6,148       591,622  

Desktop Metal Inc., Class A(a)

    20,168       70,790  

Energy Recovery Inc.(a)

    8,177       151,438  

Enerpac Tool Group Corp.

     6,177       124,034  

EnPro Industries Inc.

     2,098       195,555  

ESCO Technologies Inc.

     5,580       348,471  

Evoqua Water Technologies Corp.(a)(b)

    25,942       1,081,522  

Federal Signal Corp.

     6,997       238,108  

Flowserve Corp.

     11,425       373,712  

Franklin Electric Co. Inc.

     8,300       580,502  

Gorman-Rupp Co. (The)

     2,834       90,291  

Helios Technologies Inc.

     6,972       468,379  

Hydrofarm Holdings Group Inc.(a)(b)

    7,686       73,401  

Ideanomics Inc.(a)(b)

    93,921       67,548  

John Bean Technologies Corp.

     6,805       802,241  

Kadant Inc.

     2,500       462,500  

Lindsay Corp.

     2,347       317,197  

Meritor Inc.(a)

    6,033       216,645  

Mueller Industries Inc.

     6,053       327,770  

Mueller Water Products Inc., Class A

     18,288       220,005  

Proto Labs Inc.(a)

    5,916       252,081  

RBC Bearings Inc.(a)(b)

    3,845       647,306  

Shyft Group Inc. (The)

     6,902       175,794  

SPX Corp.(a)

    5,661       237,196  

Standex International Corp.

     1,376       129,399  

Tennant Co.

     1,478       95,449  

Terex Corp.

     9,995       339,830  

Titan International Inc.(a)

    4,778       66,223  

Trinity Industries Inc.

     11,533       319,925  

Wabash National Corp.

     3,230       46,221  

Watts Water Technologies Inc., Class A

     5,932       756,093  

Welbilt Inc.(a)

    15,029       354,985  
   

 

 

  
          12,447,418  
Marine — 0.2%  

Genco Shipping & Trading Ltd.

     2,885       63,556  

Kirby Corp.(a)

    3,968       258,714  

Matson Inc.

     3,812       327,908  
   

 

 

  
      650,178  
Media — 0.4%  

Audacy Inc(a)

    10,222       25,964  

Boston Omaha Corp., Class A(a)

    3,707       77,254  

Cardlytics Inc.(a)

    7,168       244,644  
 

 

 

78  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Media (continued)

 

Entravision Communications Corp., Class A

     6,453     $ 33,362  

EW Scripps Co. (The), Class A, NVS(a)

    5,910       97,279  

Gannett Co. Inc.(a)

    13,713       54,989  

Magnite Inc.(a)(b)

    24,794       239,262  

PubMatic Inc., Class A(a)

    5,907       133,321  

TechTarget Inc.(a)

    5,710       384,340  
   

 

 

  
      1,290,415  
Metals & Mining — 0.9%  

Century Aluminum Co.(a)

    4,157       70,129  

Compass Minerals International Inc.

     5,035       297,719  

Gatos Silver Inc.(a)(b)

    9,905       33,479  

Haynes International Inc.

     1,596       62,372  

Hecla Mining Co.

     48,942       254,988  

Materion Corp.

     2,996       255,109  

McEwen Mining Inc.(a)

    37,275       24,982  

MP Materials Corp.(a)

    16,083       611,797  

Piedmont Lithium Inc.(a)(b)

    2,006       131,212  

Royal Gold Inc.

     8,829       1,152,008  
   

 

 

  
          2,893,795  
Mortgage Real Estate Investment — 0.2%  

Angel Oak Mortgage Inc.

     1,454       23,497  

Broadmark Realty Capital Inc.

     18,232       142,392  

Ellington Financial Inc.

     4,814       77,939  

Hannon Armstrong Sustainable Infrastructure Capital Inc.

     10,771       430,732  
   

 

 

  
      674,560  
Multiline Retail — 0.1%  

Ollie’s Bargain Outlet Holdings Inc.(a)(b)

    7,407       355,906  
   

 

 

  

Oil, Gas & Consumable Fuels — 1.7%

 

Aemetis Inc.(a)(b)

    3,597       32,841  

Antero Resources Corp.(a)(b)

    25,083       882,921  

Brigham Minerals Inc., Class A

     5,773       143,055  

Centrus Energy Corp., Class A(a)

    1,481       41,112  

Clean Energy Fuels Corp.(a)(b)

    36,663       214,845  

Crescent Energy Inc.(b)

    2,835       44,538  

Denbury Inc.(a)(b)

    10,814       691,880  

EQT Corp.(a)

    22,420       891,195  

Gevo Inc.(a)(b)

    46,110       171,068  

Green Plains Inc.(a)

    1,186       33,291  

Gulfport Energy Corp.(a)

    1,188       111,648  

Magnolia Oil & Gas Corp., Class A

     17,090       397,172  

New Fortress Energy Inc.

     8,901       345,181  

NextDecade Corp.(a)

    3,003       16,787  

SM Energy Co.

     14,968       531,813  

Talos Energy Inc.(a)

    3,842       69,809  

Tellurian Inc.(a)(b)

    84,540       421,009  

Uranium Energy Corp.(a)

    57,652       245,021  
   

 

 

  
      5,285,186  
Paper & Forest Products — 0.0%  

Glatfelter Corp.

     5,170       56,870  
   

 

 

  

Personal Products — 0.4%

 

BellRing Brands Inc.(a)

    13,586       291,148  

elf Beauty Inc.(a)

    10,306       250,745  

Honest Co. Inc. (The)(a)(b)

    5,463       21,634  

Inter Parfums Inc.

     3,806       311,064  

Medifast Inc.

     1,662       296,434  

Thorne HealthTech Inc.(a)(b)

    1,480       9,916  

USANA Health Sciences Inc.(a)

    1,307       100,195  
Security   Shares     Value  

Personal Products (continued)

 

Veru Inc.(a)(b)

    12,458     $ 146,008  
   

 

 

  
      1,427,144  
Pharmaceuticals — 1.6%            

9 Meters Biopharma Inc.(a)

    53,749       22,456  

Aclaris Therapeutics Inc.(a)

    9,954       122,633  

Aerie Pharmaceuticals Inc.(a)

    5,870       41,736  

Amphastar Pharmaceuticals Inc.(a)(b)

    5,152       182,741  

Ampio Pharmaceuticals Inc.(a)(b)

    47,107       10,844  

Antares Pharma Inc.(a)

    36,566       203,490  

Arvinas Inc.(a)

    5,719       314,373  

Axsome Therapeutics Inc.(a)

    6,418       203,771  

Cassava Sciences Inc.(a)(b)

    8,150       170,090  

Clearside Biomedical Inc.(a)

    10,674       16,331  

Corcept Therapeutics Inc.(a)

    13,639       293,375  

DICE Therapeutics Inc.(a)

    1,627       33,061  

Evolus Inc.(a)

    7,462       83,500  

Harmony Biosciences Holdings Inc.(a)

    4,873       219,480  

Intra-Cellular Therapies Inc.(a)

    18,291       925,707  

KemPharm Inc.(a)(b)

    6,342       28,349  

Marinus Pharmaceuticals Inc.(a)(b)

    3,522       23,316  

Nektar Therapeutics(a)(b)

    39,783       164,304  

NGM Biopharmaceuticals Inc.(a)

    3,410       42,557  

Ocular Therapeutix Inc.(a)

    16,611       59,301  

Omeros Corp.(a)(b)

    8,221       28,527  

Oramed Pharmaceuticals Inc.(a)(b)

    8,134       41,809  

Pacira BioSciences Inc.(a)

    9,577       714,157  

Pliant Therapeutics Inc.(a)

    2,559       14,996  

PLx Pharma Inc.(a)(b)

    3,158       9,537  

Provention Bio Inc.(a)

    5,267       23,649  

Rani Therapeutics Holdings Inc.(a)(b)

    1,460       17,856  

Reata Pharmaceuticals Inc., Class A(a)

    5,956       151,163  

Relmada Therapeutics Inc.(a)

    2,851       71,589  

Revance Therapeutics Inc.(a)

    14,105       231,040  

Supernus Pharmaceuticals Inc.(a)

    3,934       109,759  

TherapeuticsMD Inc.(a)

    83,048       16,751  

Theravance Biopharma Inc.(a)

    11,553       111,486  

Tilray Inc., Class 2 (a)(b)

    95,949       477,826  
   

 

 

  
          5,181,560  
Professional Services — 2.2%  

ASGN Inc.(a)(b)

    6,041       685,351  

Barrett Business Services Inc.

     583       41,959  

CBIZ Inc.(a)

    6,419       268,892  

CRA International Inc.

     1,127       92,831  

Exponent Inc.

     11,214       1,074,413  

First Advantage Corp.(a)

    8,779       152,403  

Forrester Research Inc.(a)

    2,433       135,494  

Franklin Covey Co.(a)

    2,677       107,267  

FTI Consulting Inc.(a)(b)

    5,114       806,529  

Heidrick & Struggles International Inc.

     1,627       51,999  

HireRight Holdings Corp.(a)

    4,699       81,246  

Huron Consulting Group Inc.(a)

    2,160       111,845  

ICF International Inc.

     2,023       199,893  

Insperity Inc.

     7,653       811,601  

KBR Inc.

     9,801       482,503  

Kforce Inc.

     2,740       191,937  

Korn Ferry

     6,657       409,006  

Resources Connection Inc.

     2,325       39,967  

Sterling Check Corp.(a)

    3,049       79,213  

TriNet Group Inc.(a)

    5,642       500,445  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   79

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Professional Services (continued)

 

TrueBlue Inc.(a)

    2,540     $ 64,948  

Upwork Inc.(a)

    26,001       545,241  

Willdan Group Inc.(a)(b)

    1,596       42,900  
   

 

 

  
      6,977,883  
Real Estate Management & Development — 0.4%  

eXp World Holdings Inc.

     14,383       192,588  

Howard Hughes Corp. (The)(a)(b)

    4,421       443,382  

Marcus & Millichap Inc.

     2,531       113,364  

Redfin Corp.(a)(b)

    22,836       254,621  

St Joe Co. (The)

     7,063       375,822  

Tejon Ranch Co.(a)

    2,147       39,312  
   

 

 

  
      1,419,089  
Road & Rail — 0.3%  

ArcBest Corp.

     3,434       247,798  

Landstar System Inc.

     4,638       718,426  
   

 

 

  
      966,224  
Semiconductors & Semiconductor Equipment — 3.8%  

ACM Research Inc., Class A(a)

    7,915       119,596  

Aehr Test Systems(a)

    4,915       37,747  

Allegro MicroSystems Inc.(a)

    11,737       285,326  

Alpha & Omega Semiconductor Ltd.(a)

    2,426       104,075  

Ambarella Inc.(a)

    7,934       651,223  

Amkor Technology Inc.

     9,626       181,065  

Atomera Inc.(a)(b)

    4,730       49,429  

Axcelis Technologies Inc.(a)

    7,145       389,045  

AXT Inc.(a)

    5,155       30,415  

CEVA Inc.(a)

    4,962       180,319  

Cirrus Logic Inc.(a)

    7,430       563,194  

CMC Materials Inc.

     2,175       389,129  

Cohu Inc.(a)

    5,638       149,745  

CyberOptics Corp.(a)

    1,619       68,662  

Diodes Inc.(a)

    9,703       708,610  

FormFactor Inc.(a)

    16,762       638,800  

Ichor Holdings Ltd.(a)

    3,038       88,436  

Impinj Inc.(a)(b)

    4,024       198,222  

Kopin Corp.(a)(b)

    16,378       26,205  

Kulicke & Soffa Industries Inc.

     7,826       363,205  

MACOM Technology Solutions Holdings Inc., Class H(a)

    10,491       534,516  

Magnachip Semiconductor Corp.(a)

    5,130       93,828  

MaxLinear Inc.(a)

    15,214       728,294  

NeoPhotonics Corp.(a)

    4,454       67,434  

Onto Innovation Inc.(a)

    7,017       499,189  

PDF Solutions Inc.(a)

    6,456       150,102  

Power Integrations Inc.

     12,724       1,017,920  

Rambus Inc.(a)

    10,186       253,733  

Semtech Corp.(a)

    13,861       826,116  

Silicon Laboratories Inc.(a)

    8,212       1,107,881  

SiTime Corp.(a)(b)

    3,214       541,784  

SkyWater Technology Inc.(a)(b)

    1,507       9,223  

SMART Global Holdings Inc.(a)

    6,065       137,433  

SunPower Corp.(a)(b)

    6,969       115,058  

Synaptics Inc.(a)(b)

    4,639       688,613  

Ultra Clean Holdings Inc.(a)

    3,836       119,568  

Veeco Instruments Inc.(a)(b)

    4,842       110,979  
   

 

 

  
          12,224,119  
Software — 10.6%  

8x8 Inc.(a)

    25,357       232,524  

A10 Networks Inc.

     12,878       183,898  

ACI Worldwide Inc.(a)

    17,646       487,383  
Security   Shares     Value  

Software (continued)

    

Agilysys Inc.(a)

    4,259     $ 156,774  

Alarm.com Holdings Inc.(a)

    9,878       603,348  

Altair Engineering Inc., Class A(a)(b)

    10,906       592,414  

Alteryx Inc., Class A(a)(b)

    12,808       822,274  

American Software Inc./GA, Class A

     4,122       70,486  

Amplitude Inc.(a)(b)

    4,833       84,384  

Appfolio Inc., Class A(a)(b)

    4,131       429,046  

Appian Corp.(a)(b)

    8,546       408,499  

Arteris Inc.(a)

    571       6,732  

AvidXchange Holdings Inc.(a)

    5,421       44,398  

Blackbaud Inc.(a)

    4,322       250,719  

Blackline Inc.(a)

    11,441       767,119  

Bottomline Technologies DE Inc.(a)(b)

    8,353       472,947  

Box Inc., Class A(a)

    31,824       974,451  

BTRS Holdings Inc.(a)

    8,217       55,218  

C3.ai Inc., Class A(a)(b)

    15,369       261,119  

Cerence Inc.(a)

    8,413       248,183  

ChannelAdvisor Corp.(a)

    4,562       66,195  

Cleanspark Inc.(a)(b)

    8,463       54,925  

Clear Secure Inc., Class A(a)

    2,862       87,062  

Clearwater Analytics Holdings Inc.(a)(b)

    7,047       123,604  

CommVault Systems Inc.(a)

    4,923       300,303  

Confluent Inc., Class A(a)

    13,204       412,493  

CS Disco Inc.(a)(b)

    2,808       86,234  

Datto Holding Corp.(a)

    3,574       124,018  

Digimarc Corp.(a)(b)

    2,913       75,359  

Dolby Laboratories Inc., Class A

     14,152       1,096,355  

Domo Inc., Class B(a)(b)

    6,342       262,686  

DoubleVerify Holdings Inc.(a)

    4,739       103,073  

Duck Creek Technologies Inc.(a)(b)

    16,220       258,385  

Enfusion Inc., Class A(a)

    4,263       54,438  

Envestnet Inc.(a)

    12,099       963,564  

Everbridge Inc.(a)

    8,453       364,324  

ForgeRock Inc.(a)(b)

    2,693       55,018  

Freshworks Inc.(a)(b)

    7,371       133,931  

Informatica Inc.(a)(b)

    6,512       126,724  

Intapp Inc.(a)

    2,336       58,260  

InterDigital Inc.

     6,622       376,461  

Jamf Holding Corp.(a)(b)

    11,804       363,563  

JFrog Ltd.(a)

    9,432       196,846  

Kaleyra Inc.(a)(b)

    1,923       11,211  

Kaltura Inc.(a)

    3,213       4,980  

KnowBe4 Inc., Class A(a)

    8,865       210,987  

LivePerson Inc.(a)

    14,468       327,266  

Mandiant Inc.(a)

    51,640       1,135,047  

Marathon Digital Holdings Inc.(a)(b)

    22,143       345,431  

MeridianLink Inc.(a)(b)

    2,896       46,770  

MicroStrategy Inc., Class A(a)(b)

    2,008       711,173  

Mimecast Ltd.(a)

    13,388           1,066,756  

Mitek Systems Inc.(a)

    9,664       107,947  

Model N Inc.(a)

    7,151       184,782  

Momentive Global Inc.(a)

    28,182       445,839  

N-able Inc.(a)

    14,855       148,550  

nCino Inc.(a)

    12,278       460,302  

New Relic Inc.(a)(b)

    12,826       811,501  

Nutanix Inc., Class A(a)(b)

    27,698       693,281  

Olo Inc., Class A(a)

    12,457       133,165  

ON24 Inc.(a)

    1,971       24,973  

OneSpan Inc.(a)

    7,445       105,198  

PagerDuty Inc.(a)

    16,436       469,577  
 

 

 

80  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Software (continued)

 

Paycor HCM Inc.(a)(b)

    3,147     $ 77,511  

Phunware Inc.(a)(b)

    9,372       18,931  

Ping Identity Holding Corp.(a)

    12,881       336,581  

PROS Holdings Inc.(a)

    8,588       239,863  

Q2 Holdings Inc.(a)(b)

    12,251       633,744  

Qualtrics International Inc., Class A(a)

    20,562       381,219  

Qualys Inc.(a)

    7,194       980,398  

Rapid7 Inc.(a)

    12,286       1,173,559  

Rekor Systems Inc.(a)(b)

    7,435       22,082  

Rimini Street Inc.(a)

    4,571       26,329  

Riot Blockchain Inc.(a)(b)

    21,499       218,000  

SailPoint Technologies Holdings Inc.(a)(b)

    20,036       1,278,898  

Smith Micro Software Inc.(a)(b)

    10,536       32,451  

Sprinklr Inc.(a)(b)

    10,742       146,628  

Sprout Social Inc., Class A(a)

    9,815       601,463  

SPS Commerce Inc.(a)

    7,746       926,654  

Stronghold Digital Mining Inc.(a)(b)

    1,496       5,834  

Sumo Logic Inc.(a)

    19,240       180,471  

Telos Corp.(a)(b)

    11,420       88,962  

Tenable Holdings Inc.(a)

    19,920       1,100,182  

Teradata Corp.(a)

    23,344       965,274  

Upland Software Inc.(a)(b)

    5,677       84,701  

Varonis Systems Inc.(a)(b)

    23,109       998,309  

Verint Systems Inc.(a)(b)

    5,986       326,596  

Veritone Inc.(a)

    6,640       71,911  

Vertex Inc., Class A(a)

    2,546       36,230  

Vonage Holdings Corp.(a)

    54,305       1,083,928  

Workiva Inc.(a)

    9,723       938,367  

Xperi Holding Corp.

     9,514       148,418  

Zeta Global Holdings Corp.(a)

    4,767       51,627  

Zuora Inc., Class A(a)

    25,291       307,791  
   

 

 

  
          33,823,385  
Specialty Retail — 1.4%  

Asbury Automotive Group Inc.(a)(b)

    2,210       405,999  

Barnes & Noble Education Inc.(a)

    3,597       10,935  

Boot Barn Holdings Inc.(a)

    6,382       574,763  

Citi Trends Inc.(a)(b)

    1,092       30,543  

Dick’s Sporting Goods Inc.

     7,275       701,455  

EVgo Inc.(a)(b)

    14,711       133,282  

GrowGeneration Corp.(a)(b)

    11,421       67,498  

Guess? Inc.

     2,622       58,916  

Hibbett Inc.

     1,311       56,609  

Leslie’s Inc.(a)(b)

    29,447       577,161  

LL Flooring Holdings Inc.(a)

    2,955       40,809  

MarineMax Inc.(a)(b)

    2,024       82,822  

Monro Inc.

     4,286       195,999  

National Vision Holdings Inc.(a)

    17,739       667,873  

Petco Health & Wellness Co. Inc.(a)(b)

    17,408       335,278  

Signet Jewelers Ltd.

     4,613       323,833  

Sleep Number Corp.(a)

    2,330       94,505  

Vroom Inc.(a)(b)

    14,237       22,210  

Warby Parker Inc.(a)

    2,176       50,679  
   

 

 

  
      4,431,169  
Technology Hardware, Storage & Peripherals — 0.7%  

3D Systems Corp.(a)(b)

    27,533       312,224  

Avid Technology Inc.(a)

    3,697       117,232  

Corsair Gaming Inc.(a)(b)

    2,510       37,976  

Eastman Kodak Co.(a)

    6,181       31,956  

Pure Storage Inc., Class A(a)

    58,573       1,716,189  
Security   Shares     Value  

Technology Hardware, Storage & Peripherals (continued)

 

Quantum Corp.(a)(b)

    8,544     $ 15,977  

Turtle Beach Corp.(a)

    1,970       32,781  
   

 

 

  
      2,264,335  
Textiles, Apparel & Luxury Goods — 1.1%  

Carter’s Inc.

     4,841       407,806  

Columbia Sportswear Co.

     4,458       366,269  

Levi Strauss & Co., Class A

     21,171       383,407  

Ralph Lauren Corp.

     6,099       636,370  

Rocky Brands Inc.

     566       21,797  

Skechers U.S.A. Inc., Class A(a)

    29,024       1,111,619  

Steven Madden Ltd.

     7,793       319,980  

Wolverine World Wide Inc.

     9,277       183,870  
   

 

 

  
      3,431,118  
Thrifts & Mortgage Finance — 0.4%  

Axos Financial Inc.(a)

    6,535       247,546  

Columbia Financial Inc.(a)

    8,483       160,753  

Kearny Financial Corp./MD

     7,108       84,301  

Merchants Bancorp./IN

     3,524       82,885  

Mr Cooper Group Inc.(a)

    8,005       359,985  

NMI Holdings Inc., Class A(a)

    8,667       159,299  

TFS Financial Corp.

     3,968       59,480  

WSFS Financial Corp.

     3,914       156,834  
   

 

 

  
      1,311,083  
Tobacco — 0.0%  

22nd Century Group Inc.(a)(b)

    35,237       67,303  

Turning Point Brands Inc.

     2,074       65,103  
   

 

 

  
      132,406  
Trading Companies & Distributors — 0.9%  

Applied Industrial Technologies Inc.

     3,127       327,366  

BlueLinx Holdings Inc.(a)

    1,169       77,937  

Core & Main Inc., Class A(a)

    12,242       290,870  

Custom Truck One Source Inc.(a)(b)

    3,486       22,903  

DXP Enterprises Inc./TX(a)

    1,844       43,574  

Global Industrial Co.

     2,084       64,312  

H&E Equipment Services Inc.

     3,884       137,804  

Herc Holdings Inc.

     5,351       683,965  

Titan Machinery Inc.(a)

    1,810       42,680  

Transcat Inc.(a)

    1,503       109,719  

Univar Solutions Inc.(a)

    15,603       454,359  

WESCO International Inc.(a)

    4,991       615,191  
   

 

 

  
      2,870,680  
Water Utilities — 0.3%  

American States Water Co.

     4,100       322,506  

California Water Service Group

     5,454       282,899  

Middlesex Water Co.

     2,157       191,865  

SJW Group

     2,580       152,220  
   

 

 

  
      949,490  
Wireless Telecommunication Services — 0.1%  

Gogo Inc.(a)(b)

    7,641       140,671  

Shenandoah Telecommunications Co.

     6,078       122,775  
   

 

 

  
      263,446  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $408,783,640)

 

         317,408,939  
   

 

 

  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   81

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Growth ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Short-Term Investments

    

Money Market Funds — 17.3%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    54,627,389     $ 54,627,389  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    600,000       600,000  
   

 

 

  
      55,227,389  
   

 

 

  

Total Short-Term Investments — 17.3%
(Cost: $55,215,252)

 

     55,227,389  
   

 

 

  

Total Investments in Securities — 117.1%
(Cost: $463,998,892)

 

     372,636,328  

Other Assets, Less Liabilities — (17.1)%

 

     (54,518,035 ) 
   

 

 

  

Net Assets — 100.0%

     $ 318,118,293  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

     
Affiliated Issuer  

Value at

04/30/21

    

Purchases

at Cost

    

Proceeds

from Sales

   

Net Realized

Gain (Loss)

   

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

    

Shares

Held at

04/30/22

     Income    

Capital

Gain

Distributions

from

Underlying

Funds

        

 

     

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 78,109,325      $ —      $ (23,456,243 )(a)    $ (22,139 )    $ (3,554 )    $ 54,627,389        54,627,389      $ 428,402 (b)    $ —     

BlackRock Cash Funds: Treasury, SL Agency Shares

     960,000        —        (360,000 )(a)       —       —       600,000        600,000        286       —     
         

 

 

    

 

 

    

 

 

        

 

 

    

 

 

     
          $ (22,139 )    $ (3,554 )    $ 55,227,389         $ 428,688     $ —     
         

 

 

    

 

 

    

 

 

        

 

 

    

 

 

     

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

           

E-Mini Technology Select Sector Index

     1        06/17/22      $ 142      $ (17,042 ) 

Russell 2000 E-Mini Index

     6        06/17/22        559        (46,782 ) 
          

 

 

  
           $ (63,824 ) 
          

 

 

  

 

 

82  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Small-Cap Growth ETF

 

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
   

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

  $ 63,824   
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
   

Equity

Contracts

  

 

  

Net Realized Gain (Loss) from:

  

Futures contracts

   $ 84,339  
 

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

  

Futures contracts

   $ (63,565 ) 
 

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

  

Average notional value of contracts — long

   $ 757,566      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 317,408,939     $ —      $ —      $ 317,408,939  

Money Market Funds

     55,227,389       —        —        55,227,389  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 372,636,328     $ —      $ —      $ 372,636,328  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

         

Liabilities

          

Futures Contracts

   $ (63,824 )    $ —      $ —      $ (63,824 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   83

Schedule of Investments  

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Aerospace & Defense — 1.3%

 

AAR Corp.(a)

    6,790     $ 318,994  

Aerojet Rocketdyne Holdings Inc.(a)

    8,903       355,942  

Astronics Corp.(a)

    5,159       49,991  

BWX Technologies Inc.

     10,686       554,817  

Curtiss-Wright Corp.

     4,918       702,831  

Ducommun Inc.(a)

    2,226       113,682  

Kaman Corp.

     5,733       223,644  

Maxar Technologies Inc.

     14,797       476,611  

Mercury Systems Inc.(a)(b)

    7,747       432,205  

Moog Inc., Class A

     5,901       471,313  

Parsons Corp.(a)

    5,375       198,499  

Spirit AeroSystems Holdings Inc., Class A

     14,249       599,028  

Triumph Group Inc.(a)

    5,711       128,726  

Vectrus Inc.(a)(b)

    2,399       86,604  
   

 

 

  
      4,712,887  
Air Freight & Logistics — 0.3%            

Air Transport Services Group Inc.(a)

    11,840       370,592  

Atlas Air Worldwide Holdings Inc.(a)(b)

    5,498       379,032  

Forward Air Corp.

     2,655       257,456  

Hub Group Inc., Class A(a)

    3,033       203,696  
   

 

 

  
      1,210,776  
Airlines — 0.9%            

Alaska Air Group Inc.(a)

    25,610       1,392,928  

Frontier Group Holdings Inc.(a)(b)

    4,334       45,984  

Hawaiian Holdings Inc.(a)

    10,614       180,013  

JetBlue Airways Corp.(a)

    64,644       711,731  

SkyWest Inc.(a)

    10,294       300,070  

Spirit Airlines Inc.(a)

    22,246       525,228  
   

 

 

  
      3,155,954  
Auto Components — 0.9%            

Adient PLC(a)

    19,338       660,199  

American Axle & Manufacturing Holdings Inc.(a)

    23,339       154,504  

Cooper-Standard Holdings Inc.(a)

    3,379       15,577  

Dana Inc.

     29,518       437,162  

Dorman Products Inc.(a)

    1,941       191,616  

Garrett Motion Inc.(a)(b)

    12,187       81,287  

Goodyear Tire & Rubber Co. (The)(a)

    57,292       763,129  

LCI Industries

     2,750       267,630  

Modine Manufacturing Co.(a)

    10,385       82,042  

Patrick Industries Inc.

     2,655       165,274  

Standard Motor Products Inc.

     3,926       167,562  

Stoneridge Inc.(a)

    3,727       73,459  

Tenneco Inc., Class A(a)

    15,395       264,332  
   

 

 

  
          3,323,773  
Automobiles — 0.4%            

Harley-Davidson Inc.

     18,540       675,783  

Thor Industries Inc.

     6,459       494,436  

Winnebago Industries Inc.

     3,970       211,125  
   

 

 

  
      1,381,344  
Banks — 12.1%            

1st Source Corp.

     3,957       171,219  

Allegiance Bancshares Inc.

     1,928       78,778  

Ameris Bancorp

     6,777       282,601  

Associated Banc-Corp.

     31,123       620,904  

Atlantic Union Bankshares Corp.

     15,588       526,563  

Banc of California Inc.

     6,764       122,023  

BancFirst Corp.

     3,900       318,825  
Security   Shares     Value  
Banks (continued)            

Bancorp. Inc. (The)(a)

    3,415     $ 77,486  

Bank of Hawaii Corp.

     8,380       622,969  

Bank of Marin Bancorp., Class A

     3,402       106,347  

Bank OZK

     24,727       950,011  

BankUnited Inc.

     17,848       670,014  

Banner Corp.

     7,037       377,887  

Berkshire Hills Bancorp. Inc.

     10,214       252,694  

BOK Financial Corp.

     6,183       512,756  

Brookline Bancorp. Inc.

     16,141       233,399  

Byline Bancorp Inc.

     3,569       83,729  

Cadence Bank

     38,494       963,890  

Cathay General Bancorp.

     15,593       625,123  

Central Pacific Financial Corp.

     3,937       95,197  

City Holding Co.

     1,326       102,606  

Columbia Banking System Inc.

     15,408       432,657  

Community Bank System Inc.

     6,868       442,299  

Community Trust Bancorp. Inc.

     3,497       139,216  

ConnectOne Bancorp. Inc.

     3,495       97,371  

Customers Bancorp. Inc.(a)

    6,247       262,811  

CVB Financial Corp.

     27,734       638,437  

Dime Community Bancshares Inc.

     6,782           213,226  

Eagle Bancorp. Inc.

     6,681       336,388  

Eastern Bankshares Inc.

     11,988       229,690  

Enterprise Financial Services Corp.

     7,833       345,984  

FB Financial Corp.

     3,823       147,300  

First BanCorp./Puerto Rico

     13,907       189,274  

First Bancorp./Southern Pines NC

     7,290       273,083  

First Bancshares Inc. (The)

     2,912       93,737  

First Busey Corp.

     11,034       247,934  

First Citizens BancShares Inc./NC, Class A

     1,016       649,610  

First Commonwealth Financial Corp.

     17,358       233,986  

First Financial Bancorp.

     16,534       338,120  

First Financial Corp./IN

     2,517       107,275  

First Foundation Inc.

     10,409       231,288  

First Hawaiian Inc.

     26,268       620,187  

First Interstate BancSystem Inc., Class A

     16,722       543,799  

First Merchants Corp.

     11,878       465,499  

Flushing Financial Corp.

     6,586       141,599  

FNB Corp.

     71,166       819,832  

Fulton Financial Corp.

     33,744       511,896  

Glacier Bancorp. Inc.

     9,652       441,675  

Hancock Whitney Corp.

     17,763       830,775  

Hanmi Financial Corp.

     5,077       117,533  

HarborOne Bancorp Inc.

     3,515       47,066  

Heartland Financial USA Inc.

     8,505       372,264  

Heritage Commerce Corp.

     12,876       144,597  

Heritage Financial Corp./WA

     7,188       174,093  

Hilltop Holdings Inc.

     6,711       171,063  

Home BancShares Inc./AR

     30,798       665,853  

HomeStreet Inc.

     3,788       153,755  

Hope Bancorp Inc.

     21,811       311,897  

Horizon Bancorp Inc./IN

     8,103       141,640  

Independent Bank Corp.

     9,701       748,529  

Independent Bank Corp./MI

     4,761       93,982  

Independent Bank Group Inc.

     7,539       511,144  

International Bancshares Corp.

     11,085       441,072  

Lakeland Bancorp. Inc.

     13,581       204,122  

Lakeland Financial Corp.

     2,834       206,372  

Meta Financial Group Inc.

     2,098       91,578  

Metropolitan Bank Holding Corp.(a)

    691       61,534  
 

 

 

84  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Banks (continued)  

Midland States Bancorp. Inc.

     4,486     $ 118,251  

National Bank Holdings Corp., Class A

     4,274       156,044  

NBT Bancorp. Inc.

     9,028       317,786  

Nicolet Bankshares Inc.(a)(b)

    2,489       202,555  

Northwest Bancshares Inc.

     27,224       345,200  

OceanFirst Financial Corp.

     12,641       236,766  

OFG Bancorp.

     10,159       270,026  

Old National Bancorp./IN

     60,733       920,712  

Origin Bancorp Inc.

     2,028       76,415  

Pacific Premier Bancorp. Inc.

     19,552       613,151  

PacWest Bancorp.

     24,431       803,536  

Park National Corp.

     2,996       353,079  

Peoples Bancorp. Inc./OH

     5,397       147,986  

Pinnacle Financial Partners Inc.

     9,058       702,448  

Popular Inc.

     9,110       710,489  

Premier Financial Corp.

     7,568       200,855  

Prosperity Bancshares Inc.

     18,931       1,237,709  

QCR Holdings Inc.

     3,344       181,546  

Renasant Corp.

     9,762       290,810  

S&T Bancorp. Inc.

     7,273       205,535  

Sandy Spring Bancorp. Inc.

     9,567       375,696  

Seacoast Banking Corp. of Florida

     3,516       114,270  

Simmons First National Corp., Class A

     23,992       572,689  

South State Corp.

     15,628       1,210,232  

Southside Bancshares Inc.

     4,141       162,286  

Stock Yards Bancorp. Inc.

     2,319       121,237  

Synovus Financial Corp.

     29,655       1,231,869  

Texas Capital Bancshares Inc.(a)

    10,360       532,090  

Tompkins Financial Corp.

     2,597       189,581  

Towne Bank/Portsmouth VA

     14,038       387,028  

TriCo Bancshares

     5,763       216,401  

TriState Capital Holdings Inc.(a)

    5,729       173,073  

Triumph Bancorp. Inc.(a)

    1,475       102,424  

Trustmark Corp.

     13,375       372,895  

UMB Financial Corp.

     5,827       525,479  

Umpqua Holdings Corp.

     44,527       736,477  

United Bankshares Inc./WV

     27,966       930,149  

United Community Banks Inc./GA

     12,512       377,112  

Univest Financial Corp.

     6,313       159,088  

Valley National Bancorp.

     86,274       1,033,562  

Veritex Holdings Inc.

     6,574       215,956  

Washington Federal Inc.

     13,744       418,230  

Washington Trust Bancorp. Inc.

     3,775       177,198  

Webster Financial Corp.

     36,699       1,834,583  

WesBanco Inc.

     13,056       420,925  

Westamerica Bancorp.

     5,755       339,085  

Wintrust Financial Corp.

     11,632       1,015,706  
   

 

 

  
          44,514,283  
Beverages — 0.1%            

Coca-Cola Consolidated Inc.

     360       158,940  

National Beverage Corp.

     2,544       112,139  

Vintage Wine Estates Inc.(a)

    6,299       65,069  
   

 

 

  
      336,148  
Biotechnology — 1.2%            

Agenus Inc.(a)

    32,495       60,116  

Agios Pharmaceuticals Inc.(a)(b)

    4,303       94,537  

Akebia Therapeutics Inc.(a)(b)

    35,630       14,794  

Alaunos Therapeutics Inc.(a)

    16,720       8,885  

Allogene Therapeutics Inc.(a)

    14,897       124,390  
Security   Shares     Value  
Biotechnology (continued)  

Altimmune Inc.(a)

    3,612     $ 16,326  

AnaptysBio Inc.(a)(b)

    1,480       34,632  

Arcturus Therapeutics Holdings Inc.(a)(b)

    4,460       86,435  

BioAtla Inc.(a)(b)

    1,721       5,989  

Bioxcel Therapeutics Inc.(a)(b)

    3,970       52,047  

Bluebird Bio Inc.(a)(b)

    14,260       51,764  

Caribou Biosciences Inc.(a)

    1,488       11,011  

Catalyst Pharmaceuticals Inc.(a)

    8,691       66,225  

CEL-SCI Corp.(a)(b)

    4,607       13,176  

Chimerix Inc.(a)

    7,820       34,408  

Clovis Oncology Inc.(a)

    12,116       24,232  

Coherus Biosciences Inc.(a)

    7,308       66,064  

CRISPR Therapeutics AG(a)(b)

    8,762       434,770  

CytomX Therapeutics Inc.(a)

    7,119       12,174  

Design Therapeutics Inc.(a)(b)

    1,291       15,415  

Eagle Pharmaceuticals Inc./DE(a)

    2,358       104,059  

Emergent BioSolutions Inc.(a)

    9,764       316,158  

Enanta Pharmaceuticals Inc.(a)

    1,934       124,550  

Evelo Biosciences Inc.(a)(b)

    2,790       6,891  

FibroGen Inc.(a)

    11,785       109,601  

G1 Therapeutics Inc.(a)(b)

    4,615       23,721  

Geron Corp.(a)(b)

    36,934       52,077  

Global Blood Therapeutics Inc.(a)(b)

    5,813       178,459  

Gossamer Bio Inc.(a)(b)

    10,408       71,919  

Homology Medicines Inc.(a)

    4,419       7,336  

Inhibrx Inc.(a)(b)

    2,049       32,477  

Intercept Pharmaceuticals Inc.(a)(b)

    4,990       78,393  

Ironwood Pharmaceuticals Inc.(a)

    33,322       399,864  

Jounce Therapeutics Inc.(a)

    6,629       35,134  

KalVista Pharmaceuticals Inc.(a)(b)

    4,385       55,821  

Karyopharm Therapeutics Inc.(a)(b)

    8,054       49,129  

Keros Therapeutics Inc.(a)

    1,398       74,108  

Kiniksa Pharmaceuticals Ltd., Class A(a)

    5,927       55,299  

Kura Oncology Inc.(a)

    13,547       194,399  

Madrigal Pharmaceuticals Inc.(a)(b)

    1,315       92,050  

Mersana Therapeutics Inc.(a)

    6,765       23,542  

MiMedx Group Inc.(a)(b)

    8,364       33,038  

Morphic Holding Inc.(a)

    2,095       63,499  

Myriad Genetics Inc.(a)

    16,328       334,724  

Pieris Pharmaceuticals Inc.(a)

    5,939       16,629  

Precigen Inc.(a)

    10,934       14,542  

Prothena Corp. PLC(a)

    4,253       124,017  

REVOLUTION Medicines Inc.(a)

    6,338       126,570  

Rhythm Pharmaceuticals Inc.(a)(b)

    8,291       51,902  

Rocket Pharmaceuticals Inc.(a)

    6,308       64,846  

Rubius Therapeutics Inc.(a)

    4,588       7,616  

Sage Therapeutics Inc.(a)

    5,891       185,684  

Sangamo Therapeutics Inc.(a)

    10,411       43,206  

Selecta Biosciences Inc.(a)(b)

    12,639       9,685  

Seres Therapeutics Inc.(a)

    8,648       40,905  

Stoke Therapeutics Inc.(a)

    1,265       18,267  

Surface Oncology Inc.(a)(b)

    2,891       6,129  

Sutro Biopharma Inc.(a)

    4,615       27,736  

Vaxart Inc.(a)

    9,579       33,335  

Verastem Inc.(a)(b)

    25,417       36,092  

Viking Therapeutics Inc.(a)

    7,109       16,919  

Y-mAbs Therapeutics Inc.(a)(b)

    2,975       24,990  
   

 

 

  
          4,592,708  
Building Products — 0.8%            

American Woodmark Corp.(a)

    3,396       159,103  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   85

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Building Products (continued)  

Apogee Enterprises Inc.

     5,103     $ 224,532  

Armstrong World Industries Inc.

     2,967       251,186  

Cornerstone Building Brands Inc.(a)

    11,014       268,631  

Gibraltar Industries Inc.(a)

    2,244       84,913  

Griffon Corp.

     9,708       181,637  

Insteel Industries Inc.

     2,048       86,876  

JELD-WEN Holding Inc.(a)(b)

    9,977       207,422  

Masonite International Corp.(a)

    1,640       127,133  

PGT Innovations Inc.(a)

    5,695       101,200  

Quanex Building Products Corp.

     6,778       130,273  

Resideo Technologies Inc.(a)

    14,317       321,989  

UFP Industries Inc.

     5,602       433,427  

Zurn Water Solutions Corp.

     10,698       333,992  
   

 

 

  
      2,912,314  
Capital Markets — 2.1%            

Affiliated Managers Group Inc.

     4,090       513,581  

Artisan Partners Asset Management Inc., Class A

     6,037       194,029  

Assetmark Financial Holdings Inc.(a)

    2,423       46,594  

B. Riley Financial Inc.

     1,368       61,779  

BGC Partners Inc., Class A

     65,762       238,716  

Blucora Inc.(a)

    10,076       204,039  

Bridge Investment Group Holdings Inc., Class A

     2,071       38,893  

Cowen Inc., Class A

     2,957       67,568  

Donnelley Financial Solutions Inc.(a)

    5,974       174,859  

Evercore Inc., Class A

     5,422       573,377  

Federated Hermes Inc.

     19,746       562,366  

Focus Financial Partners Inc., Class A(a)

    5,063       199,735  

GCM Grosvenor Inc., Class A

     3,058       25,229  

Houlihan Lokey Inc.

     3,004       250,203  

Interactive Brokers Group Inc., Class A

     6,785       404,115  

Janus Henderson Group PLC

     34,501       1,051,591  

Moelis & Co., Class A

     8,113       359,081  

Oppenheimer Holdings Inc., Class A, NVS

     1,088       35,055  

Piper Sandler Cos

     1,461       167,986  

PJT Partners Inc., Class A

     1,887       124,523  

Sculptor Capital Management Inc.

     4,014       41,987  

Stifel Financial Corp.

     21,260       1,314,931  

StoneX Group Inc.(a)

    3,512       238,043  

Victory Capital Holdings Inc., Class A

     2,597       70,093  

Virtu Financial Inc., Class A

     16,807       485,386  

Virtus Investment Partners Inc.

     445       78,836  

WisdomTree Investments Inc.

     11,745       68,473  
   

 

 

  
          7,591,068  
Chemicals — 2.4%            

AdvanSix Inc.

     5,738       255,570  

American Vanguard Corp.

     5,437       116,352  

Ashland Global Holdings Inc.

     5,065       531,673  

Aspen Aerogels Inc.(a)

    1,922       41,515  

Avient Corp.

     10,512       517,611  

Cabot Corp.

     11,516       758,329  

Chase Corp.

     691       58,293  

Chemours Co. (The)

     32,564       1,076,891  

Diversey Holdings Ltd.(a)

    9,727       75,287  

Ecovyst Inc.

     10,875       109,402  

Element Solutions Inc.

     14,091       290,556  

FutureFuel Corp.

     5,360       50,974  

GCP Applied Technologies Inc.(a)

    6,477       203,183  

Hawkins Inc.

     1,558       58,082  

HB Fuller Co.

     4,452       296,948  
Security   Shares     Value  
Chemicals (continued)  

Huntsman Corp.

     20,164     $ 682,955  

Ingevity Corp.(a)

    4,184       250,622  

Innospec Inc.

     2,941       280,307  

Intrepid Potash Inc.(a)

    656       50,236  

Koppers Holdings Inc.

     4,392       106,550  

Kronos Worldwide Inc.

     2,877       43,788  

Minerals Technologies Inc.

     6,771       430,703  

NewMarket Corp.

     1,399       454,129  

Rayonier Advanced Materials Inc.(a)

    13,259       68,019  

Schweitzer-Mauduit International Inc.

     6,487       163,213  

Sensient Technologies Corp.

     4,132       349,567  

Stepan Co.

     2,497       254,969  

Tredegar Corp.

     5,387       61,681  

Trinseo PLC

     7,897       374,713  

Tronox Holdings PLC, Class A

     9,308       160,098  

Valvoline Inc.

     23,146       699,704  
   

 

 

  
          8,871,920  
Commercial Services & Supplies — 1.7%  

ABM Industries Inc.

     13,743       663,375  

ACCO Brands Corp.

     19,688       144,313  

Brady Corp., Class A, NVS

     6,230       278,792  

BrightView Holdings Inc.(a)

    9,904       125,385  

Brink’s Co. (The)

     5,004       294,986  

Cimpress PLC(a)

    1,468       74,149  

Clean Harbors Inc.(a)

    3,798       398,524  

CoreCivic Inc.(a)

    24,584       305,579  

Deluxe Corp.

     8,719       236,110  

GEO Group Inc. (The)(a)

    21,807       142,400  

Harsco Corp.(a)

    9,622       98,337  

Healthcare Services Group Inc.

     15,251       260,640  

HNI Corp.

     8,842       315,129  

Interface Inc.

     12,058       153,016  

KAR Auction Services Inc.(a)

    24,612       360,812  

Kimball International Inc., Class B

     3,610       27,725  

Matthews International Corp., Class A

     6,506       193,944  

MillerKnoll Inc.

     8,179       259,520  

Montrose Environmental Group Inc.(a)(b)

    1,738       78,853  

MSA Safety Inc.

     2,914       351,691  

Pitney Bowes Inc.

     4,409       23,235  

Shapeways Holdings Inc.(a)(b)

    3,290       6,251  

SP Plus Corp.(a)

    3,303       94,135  

Steelcase Inc., Class A

     8,684       101,863  

Stericycle Inc.(a)(b)

    10,728       538,438  

U.S. Ecology Inc.(a)

    3,769       180,874  

UniFirst Corp./MA

     1,819       313,414  

Viad Corp.(a)

    1,674       54,823  

VSE Corp.

     2,122       91,904  
   

 

 

  
      6,168,217  
Communications Equipment — 0.8%            

ADTRAN Inc.

     10,023       174,300  

Aviat Networks Inc.(a)

    1,035       30,947  

CalAmp Corp.(a)

    3,785       20,704  

CommScope Holding Co. Inc.(a)(b)

    41,535       250,456  

Comtech Telecommunications Corp.

     5,320       72,352  

Digi International Inc.(a)

    3,309       62,606  

Extreme Networks Inc.(a)

    12,011       115,306  

Infinera Corp.(a)

    22,297       171,464  

Inseego Corp.(a)

    7,418       21,141  

Lumentum Holdings Inc.(a)(b)

    7,049       572,449  
 

 

 

86  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Communications Equipment (continued)  

NETGEAR Inc.(a)

    5,928     $ 128,638  

NetScout Systems Inc.(a)

    15,055       463,694  

Plantronics Inc.(a)

    8,804       350,927  

Ribbon Communications Inc.(a)

    24,994       86,229  

Viavi Solutions Inc.(a)

    20,599       295,390  
   

 

 

  
      2,816,603  
Construction & Engineering — 1.6%  

API Group Corp.(a)

    17,219       319,585  

Arcosa Inc.

     5,870       314,221  

Argan Inc.

     3,240       119,167  

Comfort Systems USA Inc.

     2,445       206,407  

Dycom Industries Inc.(a)

    3,117       264,665  

EMCOR Group Inc.

     6,474       689,352  

Fluor Corp.(a)

    28,794       712,652  

Granite Construction Inc.

     5,993       177,692  

Great Lakes Dredge & Dock Corp.(a)

    9,216       127,273  

IES Holdings Inc.(a)

    940       27,542  

Infrastructure and Energy Alternatives Inc.(a)

    3,723       34,810  

MasTec Inc.(a)(b)

    6,737       485,131  

MDU Resources Group Inc.

     41,471       1,068,293  

MYR Group Inc.(a)

    1,702       134,611  

Primoris Services Corp.

     10,912       252,940  

Sterling Construction Co. Inc.(a)(b)

    5,912       135,326  

Tutor Perini Corp.(a)

    8,609       79,805  

Valmont Industries Inc.

     2,341       582,464  
   

 

 

  
          5,731,936  
Construction Materials — 0.2%  

Eagle Materials Inc.

     2,940       362,561  

Summit Materials Inc., Class A(a)(b)

    8,501       236,328  
   

 

 

  
      598,889  
Consumer Finance — 1.3%            

Atlanticus Holdings Corp.(a)

    409       17,603  

Curo Group Holdings Corp.

     4,532       53,206  

Encore Capital Group Inc.(a)

    5,041       291,420  

Enova International Inc.(a)

    6,934       259,332  

EZCORP Inc., Class A, NVS(a)

    11,288       79,016  

FirstCash Holdings Inc.

     5,167       412,223  

Green Dot Corp., Class A(a)

    5,076       134,413  

Navient Corp.

     31,270       496,880  

Nelnet Inc., Class A

     2,278       186,956  

OneMain Holdings Inc.

     22,144       1,017,074  

PRA Group Inc.(a)(b)

    8,881       373,268  

PROG Holdings Inc.(a)

    11,590       306,787  

Regional Management Corp.

     1,940       83,517  

SLM Corp.

     56,820       950,599  

World Acceptance Corp.(a)

    840       158,516  
   

 

 

  
      4,820,810  
Containers & Packaging — 1.0%            

Graphic Packaging Holding Co.

     30,542       665,816  

Greif Inc., Class A, NVS

     5,435       329,796  

Myers Industries Inc.

     3,862       84,694  

O-I Glass Inc.(a)(b)

    31,578       425,671  

Pactiv Evergreen Inc.

     3,687       36,354  

Silgan Holdings Inc.

     17,039       756,020  

Sonoco Products Co.

     20,075       1,242,843  

TriMas Corp.

     8,801       259,982  
   

 

 

  
      3,801,176  
Distributors — 0.0%            

Funko Inc., Class A(a)

    2,110       34,372  
   

 

 

  
Security   Shares     Value  
Diversified Consumer Services — 0.9%  

ADT Inc.

     29,738     $ 203,705  

Adtalem Global Education Inc.(a)(b)

    10,157       297,702  

American Public Education Inc.(a)

    2,140       41,602  

Beachbody Co. Inc. (The)(a)

    19,416       31,842  

Carriage Services Inc.

     1,595       68,410  

frontdoor Inc.(a)

    9,085       280,817  

Graham Holdings Co., Class B

     809       479,227  

Grand Canyon Education Inc.(a)

    5,269       505,666  

H&R Block Inc.

     33,526       874,023  

Laureate Education Inc., Class A

     13,965       158,223  

Perdoceo Education Corp.(a)

    14,310       159,986  

PowerSchool Holdings Inc., Class A(a)

    2,750       41,635  

Stride Inc.(a)

    3,291       129,336  

Vivint Smart Home Inc.(a)

    8,217       43,057  

WW International Inc.(a)

    10,745       105,194  
   

 

 

  
          3,420,425  
Diversified Financial Services — 0.3%            

A-Mark Precious Metals Inc.

     1,710       134,748  

Cannae Holdings Inc.(a)

    9,766       218,759  

Compass Diversified Holdings

     11,605       253,685  

Jackson Financial Inc., Class A

     10,739       454,367  
   

 

 

  
      1,061,559  
Diversified Telecommunication Services — 0.2%  

Anterix Inc.(a)

    1,947       100,932  

Cogent Communications Holdings Inc.

     4,276       250,146  

Consolidated Communications Holdings Inc.(a)

    14,520       86,394  

EchoStar Corp., Class A(a)(b)

    7,896       184,372  

IDT Corp., Class B(a)

    1,818       48,141  

Liberty Latin America Ltd., Class A(a)

    3,769       34,825  

Liberty Latin America Ltd., Class C, NVS(a)

    15,086       139,395  
   

 

 

  
      844,205  
Electric Utilities — 1.8%            

ALLETE Inc.

     11,374       674,933  

Hawaiian Electric Industries Inc.

     22,274       915,684  

IDACORP Inc.

     10,283       1,081,566  

MGE Energy Inc.

     4,526       352,440  

OGE Energy Corp.

     40,705       1,574,469  

Otter Tail Corp.

     5,607       324,982  

PNM Resources Inc.

     17,493       816,223  

Portland General Electric Co.

     18,211       861,927  
   

 

 

  
      6,602,224  
Electrical Equipment — 1.1%            

Acuity Brands Inc.

     4,220       727,866  

Atkore Inc.(a)(b)

    9,258       889,694  

AZZ Inc.

     3,551       162,068  

Babcock & Wilcox Enterprises Inc.(a)

    11,494       86,320  

Encore Wire Corp.

     2,436       274,805  

EnerSys

     5,806       380,061  

FTC Solar Inc.(a)(b)

    1,723       4,824  

GrafTech International Ltd.

     40,578       368,448  

nVent Electric PLC

     34,331       1,159,701  
   

 

 

  
      4,053,787  
Electronic Equipment, Instruments & Components — 2.7%  

Advanced Energy Industries Inc.

     3,610       276,237  

Aeva Technologies Inc.(a)

    19,172       62,884  

Arlo Technologies Inc.(a)

    17,223       133,306  

Avnet Inc.

     20,138       879,225  

Belden Inc.

     5,507       284,326  

Benchmark Electronics Inc.

     4,513       107,229  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   87

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Electronic Equipment, Instruments & Components (continued)  

CTS Corp.

     2,404     $ 85,030  

ePlus Inc.(a)

    5,416       305,896  

Fabrinet(a)

    3,428       336,595  

II-VI Inc.(a)

    21,691       1,327,706  

Insight Enterprises Inc.(a)

    7,193       714,768  

Kimball Electronics Inc.(a)

    5,015       89,468  

Knowles Corp.(a)

    13,322       246,723  

Methode Electronics Inc.

     7,608       339,393  

National Instruments Corp.

     15,229       550,376  

OSI Systems Inc.(a)

    3,379       267,279  

PC Connection Inc.

     2,367       117,143  

Plexus Corp.(a)

    5,746       466,230  

Sanmina Corp.(a)

    13,006       531,815  

ScanSource Inc.(a)

    5,299       181,438  

TD SYNNEX Corp.

     8,479       848,663  

TTM Technologies Inc.(a)

    21,248       296,410  

Velodyne Lidar Inc.(a)

    19,966       37,536  

Vishay Intertechnology Inc.

     26,989       502,805  

Vontier Corp.

     34,554       885,274  
   

 

 

  
          9,873,755  
Energy Equipment & Services — 1.8%  

Archrock Inc.

     27,581       240,231  

ChampionX Corp.

     15,379       324,497  

Dril-Quip Inc.(a)(b)

    3,371       97,355  

Helix Energy Solutions Group Inc.(a)

    29,037       119,342  

Helmerich & Payne Inc.

     21,493       989,323  

Liberty Energy Inc., Class A(a)

    21,315       344,024  

Nabors Industries Ltd.(a)

    1,594       246,464  

Newpark Resources Inc.(a)

    18,931       66,069  

NexTier Oilfield Solutions Inc.(a)

    32,692       360,593  

Noble Corp.(a)(b)

    12,257       391,366  

NOV Inc.

     80,064       1,451,560  

Oceaneering International Inc.(a)

    7,049       79,865  

Oil States International Inc.(a)

    12,359       83,547  

Patterson-UTI Energy Inc.

     19,288       317,095  

ProPetro Holding Corp.(a)

    17,332       245,075  

RPC Inc.(a)

    14,360       148,482  

Select Energy Services Inc., Class A(a)

    13,566       105,272  

TETRA Technologies Inc.(a)

    18,664       68,684  

Transocean Ltd.(a)(b)

    123,119       462,927  

U.S. Silica Holdings Inc.(a)

    15,159       281,654  

Weatherford International PLC(a)

    6,604       213,177  
   

 

 

  
      6,636,602  
Entertainment — 0.5%            

Cinemark Holdings Inc.(a)(b)

    21,924       347,715  

Lions Gate Entertainment Corp., Class A(a)(b)

    12,895       173,954  

Lions Gate Entertainment Corp., Class B, NVS(a)

    24,704       310,529  

Madison Square Garden Entertainment Corp.(a)(b)

    5,205       381,266  

Madison Square Garden Sports Corp.(a)

    1,763       285,800  

Marcus Corp. (The)(a)

    4,722       74,277  

Redbox Entertainment Inc., Class A(a)(b)

    2,107       12,600  

Sciplay Corp., Class A(a)

    2,658       35,511  

World Wrestling Entertainment Inc., Class A

     3,178       185,563  
   

 

 

  
      1,807,215  
Equity Real Estate Investment Trusts (REITs) — 8.7%  

Acadia Realty Trust

     10,467       218,970  

Agree Realty Corp.

     8,076       548,522  

Alexander’s Inc.

     250       62,043  

American Assets Trust Inc.

     6,447       235,960  
Security   Shares     Value  
Equity Real Estate Investment Trusts (REITs) (continued)  

American Campus Communities Inc.

     18,103     $     1,170,721  

Apple Hospitality REIT Inc.

     17,089       302,304  

Armada Hoffler Properties Inc.

     13,858       187,776  

Ashford Hospitality Trust Inc.(a)

    7,015       49,456  

Bluerock Residential Growth REIT Inc., Class A

     5,702       151,730  

Braemar Hotels & Resorts Inc.

     11,574       70,138  

Brandywine Realty Trust

     24,530       286,265  

Brixmor Property Group Inc.

     40,884       1,037,636  

CareTrust REIT Inc.

     19,859       321,914  

CatchMark Timber Trust Inc., Class A

     5,626       46,189  

Centerspace

     1,612       148,723  

Chatham Lodging Trust(a)

    6,361       91,344  

City Office REIT Inc.

     9,017       133,812  

Corporate Office Properties Trust

     15,095       402,886  

Cousins Properties Inc.

     17,745       637,046  

DiamondRock Hospitality Co.(a)

    28,890       306,812  

DigitalBridge Group Inc.(a)

    66,601       463,543  

Diversified Healthcare Trust

     49,065       110,396  

Douglas Emmett Inc.

     21,013       619,043  

Empire State Realty Trust Inc., Class A

     28,646       247,501  

EPR Properties

     6,370       334,552  

Equity Commonwealth(a)

    15,584       408,145  

Essential Properties Realty Trust Inc.

     9,693       232,632  

Farmland Partners Inc.

     5,940       87,437  

First Industrial Realty Trust Inc.

     10,508       609,464  

Four Corners Property Trust Inc.

     7,177       197,080  

Franklin Street Properties Corp., Class C

     19,811       102,225  

Getty Realty Corp.

     8,188       220,339  

Gladstone Commercial Corp.

     7,788       163,860  

Gladstone Land Corp.

     3,337       121,467  

Global Medical REIT Inc.

     6,537       96,486  

Global Net Lease Inc.

     14,702       206,269  

Healthcare Realty Trust Inc.

     20,088       543,983  

Healthcare Trust of America Inc., Class A

     24,313       740,574  

Hersha Hospitality Trust, Class A(a)

    6,888       67,365  

Highwoods Properties Inc.

     21,367       872,628  

Hudson Pacific Properties Inc.

     18,970       441,622  

Independence Realty Trust Inc.

     22,242       606,317  

Industrial Logistics Properties Trust

     13,416       216,803  

iStar Inc.

     14,210       239,296  

JBG SMITH Properties

     23,279       613,634  

Kite Realty Group Trust

     30,442       678,857  

LTC Properties Inc.

     8,139       268,587  

LXP Industrial Trust

     38,884       487,994  

Macerich Co. (The)

     43,597       547,142  

National Health Investors Inc.

     9,390       483,867  

Necessity Retail REIT Inc.

     25,370       189,514  

NexPoint Residential Trust Inc.

     2,261       201,591  

Office Properties Income Trust

     10,010       216,416  

Omega Healthcare Investors Inc.

     48,767           1,242,583  

Outfront Media Inc.

     17,174       439,654  

Paramount Group Inc.

     33,299       316,674  

Park Hotels & Resorts Inc.

     48,269       951,382  

Pebblebrook Hotel Trust

     10,106       246,789  

Physicians Realty Trust

     28,596       490,135  

Piedmont Office Realty Trust Inc., Class A

     17,392       280,011  

Plymouth Industrial REIT Inc.

     3,332       80,368  

PotlatchDeltic Corp.

     14,057       778,617  

Preferred Apartment Communities Inc., Class A

     10,768       267,908  

PS Business Parks Inc.

     2,246       420,451  
 

 

 

88  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Equity Real Estate Investment Trusts (REITs) (continued)  

Rayonier Inc.

     11,348     $ 490,234  

Retail Opportunity Investments Corp.

     14,736       274,532  

RLJ Lodging Trust

     34,013       476,862  

RPT Realty

     11,707       155,586  

Ryman Hospitality Properties Inc.(a)

    6,329       591,635  

Sabra Health Care REIT Inc.

     46,560       543,821  

Seritage Growth Properties, Class A(a)(b)

    7,437       73,626  

Service Properties Trust

     22,535       182,984  

SITE Centers Corp.

     21,453       341,103  

SL Green Realty Corp.

     13,063       904,221  

Spirit Realty Capital Inc.

     15,779       685,598  

STAG Industrial Inc.

     15,379       573,944  

Summit Hotel Properties Inc.(a)

    21,956       216,706  

Sunstone Hotel Investors Inc.(a)

    44,649       546,950  

Tanger Factory Outlet Centers Inc.

     14,280       230,336  

UMH Properties Inc.

     3,198       75,217  

Uniti Group Inc.

     28,031       347,304  

Universal Health Realty Income Trust

     1,477       74,131  

Urban Edge Properties

     13,235       247,362  

Urstadt Biddle Properties Inc., Class A

     4,242       73,599  

Veris Residential Inc.(a)

    16,233       259,890  

Washington Real Estate Investment Trust

     17,234       415,167  

Whitestone REIT

     9,353       113,639  

Xenia Hotels & Resorts Inc.(a)

    23,198       447,489  
   

 

 

  
          31,903,384  
Food & Staples Retailing — 1.8%            

Andersons Inc. (The)

     6,209       311,878  

BJ’s Wholesale Club Holdings Inc.(a)(b)

    27,729       1,784,361  

Casey’s General Stores Inc.

     4,414       888,538  

Chefs’ Warehouse Inc. (The)(a)(b)

    6,668       244,049  

Grocery Outlet Holding Corp.(a)

    12,229       411,750  

Ingles Markets Inc., Class A

     2,893       269,396  

Performance Food Group Co.(a)

    12,189       600,308  

PriceSmart Inc.

     2,446       194,335  

Rite Aid Corp.(a)(b)

    11,207       71,389  

SpartanNash Co.

     7,278       249,490  

Sprouts Farmers Market Inc.(a)

    22,821       680,066  

United Natural Foods Inc.(a)

    11,873       509,708  

Weis Markets Inc.

     3,383       270,234  
   

 

 

  
      6,485,502  
Food Products — 1.6%            

B&G Foods Inc.

     13,250       356,823  

Calavo Growers Inc.

     2,453       88,897  

Flowers Foods Inc.

     40,314       1,069,127  

Fresh Del Monte Produce Inc.

     6,859       178,677  

Hain Celestial Group Inc. (The)(a)

    10,263       344,221  

Hostess Brands Inc.(a)

    15,387       349,131  

Ingredion Inc.

     13,551       1,153,326  

J&J Snack Foods Corp.

     1,519       227,394  

John B Sanfilippo & Son Inc.

     1,322       102,640  

Lancaster Colony Corp.

     1,941       301,204  

Mission Produce Inc.(a)

    4,616       58,716  

Pilgrim’s Pride Corp.(a)

    5,921       167,860  

Post Holdings Inc.(a)

    5,492       408,550  

Sanderson Farms Inc.

     1,830       346,547  

Seaboard Corp.

     29       122,525  

Tootsie Roll Industries Inc.

     1,948       68,238  

TreeHouse Foods Inc.(a)

    11,410       359,415  
Security   Shares     Value  
Food Products (continued)            

Whole Earth Brands Inc.(a)

    3,673     $ 25,380  
   

 

 

  
      5,728,671  
Gas Utilities — 1.7%            

Chesapeake Utilities Corp.

     1,644       205,780  

Macquarie Infrastructure Holdings LLC

     15,155       56,831  

National Fuel Gas Co.

     18,617       1,305,610  

New Jersey Resources Corp.

     19,587       845,375  

Northwest Natural Holding Co.

     6,300       301,329  

ONE Gas Inc.

     10,930       922,164  

South Jersey Industries Inc.

     22,855       781,412  

Southwest Gas Holdings Inc.(a)

    13,435       1,183,758  

Spire Inc.

     10,552       767,658  
   

 

 

  
          6,369,917  
Health Care Equipment & Supplies — 1.0%  

Accuray Inc.(a)

    9,849       26,198  

Artivion Inc.(a)(b)

    5,145       104,392  

Atrion Corp.

     115       72,061  

Avanos Medical Inc.(a)

    5,823       169,799  

Bioventus Inc., Class A(a)

    4,155       49,985  

Enovis Corp.(a)(b)

    3,104       201,357  

Envista Holdings Corp.(a)

    10,929       433,007  

Haemonetics Corp.(a)

    5,561       281,776  

ICU Medical Inc.(a)(b)

    1,487       318,203  

Inogen Inc.(a)

    4,190       105,923  

Integer Holdings Corp.(a)

    2,921       219,572  

Intersect ENT Inc.(a)

    3,289       90,020  

Meridian Bioscience Inc.(a)

    3,095       79,201  

Natus Medical Inc.(a)

    3,223       107,229  

NuVasive Inc.(a)

    6,321       325,152  

Quidel Corp.(a)(b)

    7,707       775,478  

Retractable Technologies Inc.(a)(b)

    1,315       5,036  

SmileDirectClub Inc.(a)(b)

    21,048       38,939  

Varex Imaging Corp.(a)

    8,094       160,666  
   

 

 

  
      3,563,994  
Health Care Providers & Services — 2.4%  

Acadia Healthcare Co. Inc.(a)(b)

    10,400       705,952  

Addus HomeCare Corp.(a)

    923       77,790  

Alignment Healthcare Inc.(a)(b)

    2,419       23,247  

Amedisys Inc.(a)

    2,243       286,319  

AMN Healthcare Services Inc.(a)

    3,786       370,081  

Brookdale Senior Living Inc.(a)

    37,991       234,784  

Community Health Systems Inc.(a)

    25,255       193,706  

Covetrus Inc.(a)

    8,864       122,323  

Cross Country Healthcare Inc.(a)

    7,272       136,277  

Encompass Health Corp.

     9,780       673,157  

Ensign Group Inc. (The)

     3,033       243,641  

Fulgent Genetics Inc.(a)(b)

    3,937       216,063  

Hanger Inc.(a)

    4,997       82,151  

HealthEquity Inc.(a)

    9,306       579,950  

Invitae Corp.(a)(b)

    20,704       109,938  

LHC Group Inc.(a)

    3,092       512,808  

MEDNAX Inc.(a)

    10,029       185,737  

ModivCare Inc.(a)

    1,172       121,853  

National HealthCare Corp.

     2,789       189,819  

OPKO Health Inc.(a)(b)

    58,234       157,232  

Owens & Minor Inc.(b)

    9,199       326,473  

Patterson Companies Inc.

     17,663       543,491  

Premier Inc., Class A

     24,271       878,853  

Select Medical Holdings Corp.

     12,638       285,745  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   89

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Health Care Providers & Services (continued)  

Tenet Healthcare Corp.(a)

    21,843     $ 1,583,836  

Tivity Health Inc.(a)

    3,266       104,937  
   

 

 

  
          8,946,163  
Health Care Technology — 0.7%            

Allscripts Healthcare Solutions Inc.(a)

    25,148       519,558  

Change Healthcare Inc.(a)

    51,439       1,211,903  

Computer Programs & Systems Inc.(a)

    2,924       93,334  

Evolent Health Inc., Class A(a)

    9,793       269,503  

HealthStream Inc.(a)

    2,150       41,065  

Multiplan Corp.(a)(b)

    49,355       218,642  

NextGen Healthcare Inc.(a)

    11,515       217,058  
   

 

 

  
      2,571,063  
Hotels, Restaurants & Leisure — 2.0%  

BJ’s Restaurants Inc.(a)

    3,015       83,787  

Bloomin’ Brands Inc.

     16,490       362,615  

Brinker International Inc.(a)

    9,062       329,222  

Cheesecake Factory Inc. (The)(a)

    9,934       366,664  

Chuy’s Holdings Inc.(a)

    2,696       67,427  

Cracker Barrel Old Country Store Inc.

     3,271       363,048  

Dave & Buster’s Entertainment Inc.(a)

    7,919       360,315  

Denny’s Corp.(a)

    8,922       114,380  

Dine Brands Global Inc.

     1,974       141,516  

El Pollo Loco Holdings Inc.(a)

    4,025       42,866  

Esports Technologies Inc.(a)(b)

    1,461       5,333  

Full House Resorts Inc.(a)

    3,448       31,204  

Golden Entertainment Inc.(a)

    4,183       200,617  

Hilton Grand Vacations Inc.(a)

    8,381       392,482  

Inspired Entertainment Inc.(a)

    5,534       51,411  

Jack in the Box Inc.

     2,176       180,086  

Life Time Group Holdings Inc.(a)(b)

    7,960       113,828  

Marriott Vacations Worldwide Corp.

     4,953       739,632  

Membership Collective Group Inc., Class A(a)(b)

    6,487       48,588  

Noodles & Co.(a)

    4,494       25,032  

PlayAGS Inc.(a)

    2,905       19,173  

Red Robin Gourmet Burgers Inc.(a)

    3,248       42,841  

Ruth’s Hospitality Group Inc.

     4,154       87,109  

Scientific Games Corp./DE, Class A(a)

    11,120       623,387  

SeaWorld Entertainment Inc.(a)

    5,781       389,871  

Six Flags Entertainment Corp.(a)

    8,964       343,052  

Texas Roadhouse Inc.

     4,607       379,294  

Travel + Leisure Co.

     17,593       976,060  

Wendy’s Co. (The)

     15,148       299,324  
   

 

 

  
      7,180,164  
Household Durables — 1.6%            

Beazer Homes USA Inc.(a)

    5,948       89,696  

Century Communities Inc.

     6,057       319,325  

Dream Finders Homes Inc., Class A(a)(b)

    2,345       40,639  

Ethan Allen Interiors Inc.

     4,513       107,139  

GoPro Inc., Class A(a)

    26,389       235,390  

Green Brick Partners Inc.(a)

    9,849       194,025  

Helen of Troy Ltd.(a)(b)

    2,149       460,982  

Hovnanian Enterprises Inc., Class A(a)

    1,019       46,894  

iRobot Corp.(a)

    2,388       120,952  

KB Home

     17,493       567,298  

La-Z-Boy Inc.

     8,990       236,257  

Leggett & Platt Inc.

     16,435       585,579  

LGI Homes Inc.(a)(b)

    1,643       153,966  

M/I Homes Inc.(a)

    5,909       261,650  

MDC Holdings Inc.

     11,465       423,173  
Security   Shares     Value  
Household Durables (continued)            

Meritage Homes Corp.(a)

    7,586     $ 626,224  

Taylor Morrison Home Corp.(a)

    25,073       656,662  

Traeger Inc.(a)(b)

    2,338       14,005  

Tri Pointe Homes Inc.(a)

    22,592       466,977  

Tupperware Brands Corp.(a)

    10,043       176,556  

Universal Electronics Inc.(a)

    2,624       77,408  

Weber Inc., Class A(b)

    2,147       18,851  
   

 

 

  
      5,879,648  
Household Products — 0.4%            

Central Garden & Pet Co.(a)

    1,996       87,405  

Central Garden & Pet Co., Class A, NVS(a)

    8,024       332,033  

Energizer Holdings Inc.

     6,745       204,306  

Reynolds Consumer Products Inc.

     11,064       327,384  

Spectrum Brands Holdings Inc.

     4,531       385,452  
   

 

 

  
      1,336,580  
Independent Power and Renewable Electricity Producers — 0.1%  

Clearway Energy Inc., Class A

     2,726       77,473  

Clearway Energy Inc., Class C

     6,302       192,400  

Ormat Technologies Inc.

     3,567       277,156  
   

 

 

  
      547,029  
Insurance — 3.3%            

Ambac Financial Group Inc.(a)

    9,569       73,968  

American Equity Investment Life Holding Co.

     16,816       634,300  

American National Group Inc.

     2,633       496,610  

AMERISAFE Inc.

     4,073       188,784  

Argo Group International Holdings Ltd.

     7,128       305,078  

Assured Guaranty Ltd.

     14,231       784,840  

Axis Capital Holdings Ltd.

     15,769       904,037  

Brighthouse Financial Inc.(a)

    15,882       815,699  

CNO Financial Group Inc.

     24,665       595,413  

Employers Holdings Inc.

     3,840       151,066  

Enstar Group Ltd.(a)

    2,537       598,098  

Genworth Financial Inc., Class A(a)

    102,936       381,893  

GoHealth Inc., Class A(a)(b)

    6,399       4,781  

Hanover Insurance Group Inc. (The)

     7,320       1,074,722  

HCI Group Inc.

     547       35,057  

Horace Mann Educators Corp.

     8,145       324,578  

James River Group Holdings Ltd.

     7,675       181,974  

Kemper Corp.

     6,804       314,073  

MBIA Inc.(a)

    9,817       118,197  

Mercury General Corp.

     5,492       276,962  

National Western Life Group Inc., Class A

     301       59,827  

Oscar Health Inc., Class A(a)

    3,096       22,787  

Primerica Inc.

     3,874       501,915  

ProAssurance Corp.

     6,226       152,973  

Ryan Specialty Group Holdings Inc., Class A(a)

    6,757       249,941  

Safety Insurance Group Inc.

     2,821       242,719  

Selective Insurance Group Inc.

     7,421       611,194  

Selectquote Inc.(a)

    17,306       35,650  

SiriusPoint Ltd.(a)

    18,090       113,605  

Stewart Information Services Corp.

     2,958       152,633  

Universal Insurance Holdings Inc.

     5,963       74,895  

Unum Group

     41,623       1,270,334  

White Mountains Insurance Group Ltd.

     415       434,928  
   

 

 

  
          12,183,531  
Interactive Media & Services — 0.4%  

Cargurus Inc.(a)(b)

    5,225       170,753  

Cars.com Inc.(a)

    13,209       146,884  

Eventbrite Inc., Class A(a)(b)

    9,862       104,340  
 

 

 

90  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Interactive Media & Services (continued)            

EverQuote Inc., Class A(a)

    1,912     $ 26,539  

Liberty TripAdvisor Holdings Inc., Class A(a)(b)

    15,036       22,554  

Outbrain Inc.(a)(b)

    750       6,750  

QuinStreet Inc.(a)

    4,605       43,793  

TripAdvisor Inc.(a)

    10,174       261,167  

TrueCar Inc.(a)

    7,798       27,917  

Yelp Inc.(a)(b)

    5,781       188,056  

Ziff Davis Inc.(a)

    5,546       490,044  
   

 

 

  
      1,488,797  
Internet & Direct Marketing Retail — 0.1%            

1-800-Flowers.com Inc., Class A(a)

    1,722       17,565  

1847 Goedeker Inc.(a)

    10,120       12,852  

CarParts.com Inc.(a)

    2,864       17,155  

Duluth Holdings Inc., Class B(a)

    1,058       12,961  

Groupon Inc.(a)(b)

    4,169       81,337  

Lands’ End Inc.(a)(b)

    1,357       19,025  

PetMed Express Inc.

     2,599       56,918  

Qurate Retail Inc., Series A(a)

    73,104       307,768  
   

 

 

  
      525,581  
IT Services — 1.2%            

Bread Financial Holdings Inc.

     10,150       556,220  

Cass Information Systems Inc.

     2,413       93,407  

Conduent Inc.(a)

    33,350       187,761  

CSG Systems International Inc.

     6,624       407,177  

EVERTEC Inc.

     3,671       144,637  

Evo Payments Inc., Class A(a)

    6,427       144,800  

ExlService Holdings Inc.(a)

    1,986       270,394  

Hackett Group Inc. (The)

     2,536       59,571  

I3 Verticals Inc., Class A(a)

    2,019       55,422  

Limelight Networks Inc.(a)

    27,265       97,336  

Maximus Inc.

     6,664       485,672  

MoneyGram International Inc.(a)

    18,792       190,363  

Rackspace Technology Inc.(a)(b)

    7,583       74,996  

Sabre Corp.(a)

    66,168       692,779  

SolarWinds Corp.

     4,889       60,477  

Unisys Corp.(a)

    13,665       194,180  

WEX Inc.(a)

    3,408       566,546  
   

 

 

  
          4,281,738  
Leisure Products — 0.6%            

Acushnet Holdings Corp.

     3,480       141,775  

American Outdoor Brands Inc.(a)(b)

    1,552       19,555  

Johnson Outdoors Inc., Class A

     898       68,679  

Malibu Boats Inc., Class A(a)

    2,773       139,454  

MasterCraft Boat Holdings Inc.(a)

    3,827       92,116  

Nautilus Inc.(a)

    6,295       18,948  

Polaris Inc.

     11,619       1,103,108  

Smith & Wesson Brands Inc.

     9,936       136,421  

Sturm Ruger & Co. Inc.

     3,608       245,885  

Vista Outdoor Inc.(a)

    11,515       405,674  
   

 

 

  
      2,371,615  
Life Sciences Tools & Services — 0.1%            

Maravai LifeSciences Holdings Inc., Class A(a)

    12,903       396,509  

Personalis Inc.(a)

    2,693       15,081  

Standard BioTools Inc.(a)(b)

    10,472       27,751  
   

 

 

  
      439,341  
Machinery — 2.5%            

Alamo Group Inc.

     922       116,578  

Albany International Corp., Class A

     2,884       225,586  

Allison Transmission Holdings Inc.

     21,256       795,825  
Security   Shares     Value  
Machinery (continued)            

Altra Industrial Motion Corp.

     7,952     $ 310,128  

Astec Industries Inc.

     2,238       87,506  

Barnes Group Inc.

     9,498       318,943  

Blue Bird Corp.(a)

    2,367       37,943  

CIRCOR International Inc.(a)

    4,216       82,844  

Columbus McKinnon Corp./NY

     2,641       93,623  

Commercial Vehicle Group Inc.(a)

    6,020       43,224  

Crane Co.

     4,287       412,538  

Desktop Metal Inc., Class A(a)

    19,035       66,813  

Douglas Dynamics Inc.

     4,739       146,719  

Enerpac Tool Group Corp.

     6,520       130,922  

EnPro Industries Inc.

     2,246       209,350  

Federal Signal Corp.

     5,782       196,761  

Flowserve Corp.

     15,755       515,346  

Gates Industrial Corp. PLC(a)(b)

    19,444       247,911  

Gorman-Rupp Co. (The)

     1,907       60,757  

Greenbrier Companies Inc. (The)

     6,677       285,175  

Hillenbrand Inc.

     14,709       600,421  

Hyster-Yale Materials Handling Inc.

     2,055       63,130  

Kennametal Inc.

     16,950       436,124  

Manitowoc Co. Inc. (The)(a)(b)

    7,230       95,725  

Meritor Inc.(a)

    8,649       310,586  

Mueller Industries Inc.

     5,951       322,247  

Mueller Water Products Inc., Class A

     14,544       174,964  

Nikola Corp.(a)(b)

    42,186       302,895  

RBC Bearings Inc.(a)

    2,229       375,252  

REV Group Inc.

     6,613       78,827  

SPX Corp.(a)

    3,890       162,991  

Standex International Corp.

     1,197       112,566  

Tennant Co.

     2,417       156,090  

Terex Corp.

     4,829       164,186  

Timken Co. (The)

     14,070       810,995  

Titan International Inc.(a)

    5,861       81,233  

Trinity Industries Inc.

     5,710       158,395  

Wabash National Corp.

     6,943       99,354  

Welbilt Inc.(a)

    12,125       286,393  
   

 

 

  
          9,176,866  
Marine — 0.3%            

Eagle Bulk Shipping Inc.

     2,755       171,471  

Genco Shipping & Trading Ltd.

     4,645       102,329  

Kirby Corp.(a)

    8,535       556,482  

Matson Inc.

     4,943       425,197  
   

 

 

  
      1,255,479  
Media — 1.5%            

Advantage Solutions Inc.(a)

    20,519       103,211  

Altice USA Inc., Class A(a)

    45,872       425,692  

AMC Networks Inc., Class A(a)

    6,008       196,041  

Audacy Inc(a)

    13,735       34,887  

Clear Channel Outdoor Holdings Inc.(a)

    95,763       235,577  

Entravision Communications Corp., Class A

     6,572       33,977  

EW Scripps Co. (The), Class A, NVS(a)

    6,173       101,608  

Gannett Co. Inc.(a)(b)

    15,912       63,807  

Gray Television Inc.

     18,040       334,101  

iHeartMedia Inc., Class A(a)

    22,358       357,504  

John Wiley & Sons Inc., Class A

     8,916       453,735  

Nexstar Media Group Inc., Class A

     8,348       1,322,490  

Scholastic Corp., NVS

     6,279       231,381  

Sinclair Broadcast Group Inc., Class A

     9,959       221,488  

TEGNA Inc.

     45,188       996,395  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   91

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Media (continued)            

Thryv Holdings Inc.(a)

    3,535     $ 91,309  

Urban One Inc., Class A(a)

    1,861       15,056  

Urban One Inc., Class D, NVS(a)

    3,602       21,756  

WideOpenWest Inc.(a)

    10,776       216,059  
   

 

 

  
      5,456,074  
Metals & Mining — 2.2%            

Allegheny Technologies Inc.(a)

    25,980       706,136  

Alpha Metallurgical Resources Inc.(a)

    3,531       546,387  

Arconic Corp.(a)

    21,651       544,739  

Carpenter Technology Corp.

     9,878       377,142  

Century Aluminum Co.(a)

    6,415       108,221  

Coeur Mining Inc.(a)

    52,525       190,666  

Commercial Metals Co.

     24,736       1,014,176  

Compass Minerals International Inc.

     2,178       128,785  

Haynes International Inc.

     1,046       40,878  

Hecla Mining Co.

     62,912       327,772  

Kaiser Aluminum Corp.

     3,243       312,950  

Materion Corp.

     1,336       113,760  

McEwen Mining Inc.(a)

    41,063       27,520  

Piedmont Lithium Inc.(a)

    1,352       88,434  

Royal Gold Inc.

     5,003       652,791  

Ryerson Holding Corp.

     3,241       119,301  

Schnitzer Steel Industries Inc., Class A

     5,262       240,105  

SunCoke Energy Inc.

     17,033       141,715  

TimkenSteel Corp.(a)

    8,403       173,690  

United States Steel Corp.

     53,156       1,620,727  

Warrior Met Coal Inc.

     10,517       358,314  

Worthington Industries Inc.

     6,651       316,388  
   

 

 

  
          8,150,597  
Mortgage Real Estate Investment — 1.9%            

Apollo Commercial Real Estate Finance Inc.

     26,833       323,069  

Arbor Realty Trust Inc.

     30,664       524,354  

Ares Commercial Real Estate Corp.

     9,761       147,098  

ARMOUR Residential REIT Inc.

     18,887       138,631  

Blackstone Mortgage Trust Inc., Class A

     34,327       1,031,183  

BrightSpire Capital Inc.

     19,099       162,342  

Broadmark Realty Capital Inc.

     9,268       72,383  

Chimera Investment Corp.

     48,059       481,551  

Dynex Capital Inc.

     7,606       123,445  

Ellington Financial Inc.

     6,633       107,388  

Granite Point Mortgage Trust Inc.

     10,787       104,958  

Hannon Armstrong Sustainable Infrastructure Capital Inc.

     7,070       282,729  

Invesco Mortgage Capital Inc.

     64,521       112,267  

KKR Real Estate Finance Trust Inc.

     9,085       172,615  

Ladder Capital Corp.

     22,796       259,647  

MFA Financial Inc., NVS

     20,215       288,064  

New Residential Investment Corp.

     95,062       988,645  

New York Mortgage Trust Inc.

     76,570       246,555  

Orchid Island Capital Inc.

     36,028       100,158  

PennyMac Mortgage Investment Trust

     19,452       298,394  

Ready Capital Corp.

     13,706       199,697  

Redwood Trust Inc.

     23,402       226,999  

TPG RE Finance Trust Inc.

     12,057       127,201  

Two Harbors Investment Corp.

     70,647       339,812  
   

 

 

  
      6,859,185  
Multi-Utilities — 0.6%            

Avista Corp.

     14,517       588,955  

Black Hills Corp.

     13,023       953,804  

NorthWestern Corp.

     11,010       624,157  
Security   Shares     Value  
Multi-Utilities (continued)            

Unitil Corp.

     3,279     $ 167,229  
   

 

 

  
      2,334,145  
Multiline Retail — 0.4%            

Big Lots Inc.

     6,221       192,229  

Dillard’s Inc., Class A

     815       247,605  

Franchise Group Inc.

     5,474       204,125  

Nordstrom Inc.

     22,791       585,729  

Ollie’s Bargain Outlet Holdings Inc.(a)(b)

    4,936       237,175  
   

 

 

  
          1,466,863  
Oil, Gas & Consumable Fuels — 7.2%            

Aemetis Inc.(a)

    3,416       31,188  

Alto Ingredients Inc.(a)

    14,634       84,438  

Antero Midstream Corp.

     65,875       676,536  

Antero Resources Corp.(a)

    34,571       1,216,899  

Arch Resources Inc.

     3,133       521,269  

Berry Corp.

     13,736       150,684  

Brigham Minerals Inc., Class A

     4,632       114,781  

California Resources Corp.

     16,386       658,881  

Callon Petroleum Co.(a)

    9,666       495,576  

Centennial Resource Development Inc./DE, Class A(a)

    37,472       290,033  

Centrus Energy Corp., Class A(a)

    807       22,402  

Chesapeake Energy Corp.

     21,244       1,742,433  

Civitas Resources Inc.

     14,690       861,128  

CNX Resources Corp.(a)(b)

    41,274       848,181  

Comstock Resources Inc.(a)

    18,553       315,958  

CONSOL Energy Inc.(a)

    6,444       306,412  

Crescent Energy Inc.

     3,351       52,644  

CVR Energy Inc.

     5,940       148,916  

Delek U.S. Holdings Inc.(a)

    15,125       366,025  

Dorian LPG Ltd.

     5,739       84,478  

DTE Midstream LLC(a)

    19,630       1,055,113  

Earthstone Energy Inc., Class A(a)(b)

    5,979       80,657  

EQT Corp.(a)

    40,166       1,596,598  

Equitrans Midstream Corp.

     82,812       650,902  

Gran Tierra Energy Inc.(a)

    75,319       122,017  

Green Plains Inc.(a)

    4,607       129,318  

Gulfport Energy Corp.(a)

    1,261       118,509  

HF Sinclair Corp.(a)

    30,551       1,161,549  

International Seaways Inc.

     8,467       178,908  

Kosmos Energy Ltd.(a)

    91,973       621,737  

Laredo Petroleum Inc.(a)

    2,928       208,503  

Magnolia Oil & Gas Corp., Class A

     13,991       325,151  

Matador Resources Co.

     22,472       1,097,083  

Murphy Oil Corp.

     29,554       1,125,416  

NextDecade Corp.(a)

    3,038       16,982  

Northern Oil and Gas Inc.

     13,350       333,483  

Oasis Petroleum Inc.

     3,784       501,985  

Par Pacific Holdings Inc.(a)

    9,424       138,250  

PBF Energy Inc., Class A(a)

    19,398       563,706  

PDC Energy Inc.

     19,845       1,383,990  

Peabody Energy Corp.(a)

    19,340       437,858  

Range Resources Corp.(a)

    50,917       1,524,455  

Ranger Oil Corp.(a)

    4,309       137,242  

Renewable Energy Group Inc.(a)

    10,184       621,835  

Ring Energy Inc.(a)

    16,338       73,031  

SandRidge Energy Inc.(a)

    6,458       119,925  

SilverBow Resources Inc.(a)

    2,023       74,042  

SM Energy Co.

     10,688       379,745  

Southwestern Energy Co.(a)

    227,121       1,703,407  
 

 

 

92  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Oil, Gas & Consumable Fuels (continued)            

Talos Energy Inc.(a)

    4,897     $ 88,978  

W&T Offshore Inc.(a)(b)

    18,834       89,650  

Whiting Petroleum Corp.

     7,957       581,259  

World Fuel Services Corp.

     12,875       311,833  
   

 

 

  
          26,541,979  
Paper & Forest Products — 0.6%            

Clearwater Paper Corp.(a)

    3,466       114,759  

Glatfelter Corp.

     4,101       45,111  

Louisiana-Pacific Corp.

     17,932       1,156,973  

Mercer International Inc.

     8,279       132,547  

Neenah Inc.

     3,497       123,794  

Resolute Forest Products Inc.

     9,482       132,179  

Sylvamo Corp.(a)

    7,190       321,033  
   

 

 

  
      2,026,396  
Personal Products — 0.7%            

BellRing Brands Inc.(a)(b)

    9,864       211,386  

Coty Inc., Class A(a)

    70,277       569,946  

Edgewell Personal Care Co.

     11,095       423,163  

Herbalife Nutrition Ltd.(a)(b)

    20,172       536,172  

Medifast Inc.

     800       142,688  

Nu Skin Enterprises Inc., Class A

     10,163       433,350  

USANA Health Sciences Inc.(a)

    1,200       91,992  
   

 

 

  
      2,408,697  
Pharmaceuticals — 0.8%            

Aerie Pharmaceuticals Inc.(a)(b)

    4,040       28,724  

Amneal Pharmaceuticals Inc.(a)(b)

    20,399       78,740  

Amphastar Pharmaceuticals Inc.(a)

    2,662       94,421  

ANI Pharmaceuticals Inc.(a)

    2,578       76,077  

Arvinas Inc.(a)

    3,447       189,482  

Cara Therapeutics Inc.(a)

    8,647       75,402  

Collegium Pharmaceutical Inc.(a)

    7,115       114,552  

Corcept Therapeutics Inc.(a)

    6,585       141,643  

DICE Therapeutics Inc.(a)(b)

    979       19,893  

Endo International PLC(a)

    48,840       97,680  

Innoviva Inc.(a)

    12,736       217,276  

Marinus Pharmaceuticals Inc.(a)(b)

    3,246       21,489  

NGM Biopharmaceuticals Inc.(a)

    4,278       53,389  

Omeros Corp.(a)

    4,805       16,673  

Perrigo Co. PLC

     27,275       935,533  

Phibro Animal Health Corp., Class A

     4,235       76,188  

Pliant Therapeutics Inc.(a)

    2,343       13,730  

PLx Pharma Inc.(a)

    1,828       5,521  

Prestige Consumer Healthcare Inc.(a)

    10,184       556,657  

Provention Bio Inc.(a)

    5,386       24,183  

Relmada Therapeutics Inc.(a)

    2,703       67,872  

Supernus Pharmaceuticals Inc.(a)

    7,229       201,689  
   

 

 

  
      3,106,814  
Professional Services — 1.9%            

ASGN Inc.(a)

    4,931       559,422  

Barrett Business Services Inc.

     1,035       74,489  

CACI International Inc., Class A(a)

    4,754       1,261,236  

CBIZ Inc.(a)

    4,633       194,076  

CRA International Inc.

     448       36,902  

FTI Consulting Inc.(a)(b)

    2,146       338,446  

Heidrick & Struggles International Inc.

     2,502       79,964  

Huron Consulting Group Inc.(a)

    2,425       125,566  

ICF International Inc.

     1,560       154,144  

KBR Inc.

     19,283       949,302  

Kelly Services Inc., Class A, NVS

     7,338       141,550  
Security   Shares     Value  
Professional Services (continued)            

Kforce Inc.

     1,584     $ 110,959  

Korn Ferry

     4,783       293,868  

ManpowerGroup Inc.

     11,058       997,432  

ManTech International Corp./VA, Class A

     5,645       453,519  

Resources Connection Inc.

     4,358       74,914  

Science Applications International Corp.

     11,608       966,134  

TriNet Group Inc.(a)(b)

    2,342       207,735  

TrueBlue Inc.(a)

    4,914       125,651  

Willdan Group Inc.(a)(b)

    851       22,875  
   

 

 

  
      7,168,184  
Real Estate Management & Development — 0.8%            

Cushman & Wakefield PLC(a)(b)

    30,385       543,892  

Howard Hughes Corp. (The)(a)(b)

    4,237       424,929  

Kennedy-Wilson Holdings Inc.

     24,744       557,977  

Marcus & Millichap Inc.

     2,710       121,381  

Newmark Group Inc., Class A

     33,357       405,288  

RE/MAX Holdings Inc., Class A

     3,940       92,432  

Realogy Holdings Corp.(a)(b)

    23,643       259,127  

RMR Group Inc. (The), Class A

     3,318       90,515  

Tejon Ranch Co.(a)

    2,881       52,751  

WeWork Inc., Class A(a)(b)

    42,946       301,051  
   

 

 

  
          2,849,343  
Road & Rail — 0.7%            

ArcBest Corp.

     1,844       133,063  

Covenant Logistics Group Inc., Class A

     2,233       45,866  

Daseke Inc.(a)

    12,242       102,833  

Heartland Express Inc.

     9,750       134,550  

Landstar System Inc.

     3,283       508,537  

Marten Transport Ltd.

     12,296       213,704  

Ryder System Inc.

     10,952       765,545  

Schneider National Inc., Class B

     7,103       167,844  

Werner Enterprises Inc.

     12,193       483,208  

Yellow Corp.(a)

    6,796       30,446  
   

 

 

  
      2,585,596  
Semiconductors & Semiconductor Equipment — 1.0%  

Alpha & Omega Semiconductor Ltd.(a)

    2,028       87,001  

Amkor Technology Inc.

     11,460       215,563  

AXT Inc.(a)

    3,162       18,656  

Cirrus Logic Inc.(a)

    4,611       349,514  

CMC Materials Inc.

     3,776       675,564  

Cohu Inc.(a)

    4,595       122,043  

Ichor Holdings Ltd.(a)

    2,872       83,604  

Kulicke & Soffa Industries Inc.

     5,299       245,927  

Magnachip Semiconductor Corp.(a)

    4,771       87,262  

NeoPhotonics Corp.(a)

    6,644       100,590  

Onto Innovation Inc.(a)

    3,341       237,679  

Photronics Inc.(a)

    12,662       189,803  

Rambus Inc.(a)

    12,762       317,901  

SMART Global Holdings Inc.(a)

    4,050       91,773  

SunPower Corp.(a)

    10,316       170,317  

Synaptics Inc.(a)

    3,662       543,587  

Ultra Clean Holdings Inc.(a)

    5,513       171,840  

Veeco Instruments Inc.(a)

    5,750       131,790  
   

 

 

  
      3,840,414  
Software — 1.4%            

ACI Worldwide Inc.(a)

    7,171       198,063  

American Software Inc./GA, Class A

     2,549       43,588  

Arteris Inc.(a)

    464       5,471  

Avaya Holdings Corp.(a)(b)

    17,522       162,078  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   93

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Software (continued)            

Benefitfocus Inc.(a)

    6,389     $ 68,043  

Blackbaud Inc.(a)

    4,980       288,890  

BTRS Holdings Inc.(a)

    7,942       53,370  

CDK Global Inc.

     23,841       1,297,189  

ChannelAdvisor Corp.(a)

    1,821       26,423  

CommVault Systems Inc.(a)

    4,422       269,742  

Consensus Cloud Solutions Inc.(a)

    3,277       172,763  

Datto Holding Corp.(a)

    1,960       68,012  

Ebix Inc.

     4,791       142,772  

Kaleyra Inc.(a)(b)

    3,993       23,279  

NCR Corp.(a)

    27,076       948,472  

Nutanix Inc., Class A(a)

    17,371       434,796  

Paycor HCM Inc.(a)(b)

    3,427       84,407  

Phunware Inc.(a)(b)

    8,989       18,158  

Rimini Street Inc.(a)

    2,077       11,963  

Verint Systems Inc.(a)

    7,770       423,931  

Vertex Inc., Class A(a)

    3,133       44,583  

Xperi Holding Corp.

     12,413       193,643  
   

 

 

  
          4,979,636  
Specialty Retail — 3.0%            

Aaron’s Co. Inc. (The)

     6,521       133,876  

Abercrombie & Fitch Co., Class A(a)

    11,555       399,572  

Academy Sports & Outdoors Inc.

     17,854       667,025  

American Eagle Outfitters Inc.

     31,414       474,666  

America’s Car-Mart Inc./TX(a)(b)

    1,217       98,394  

Arko Corp.

     13,272       123,031  

Asbury Automotive Group Inc.(a)

    2,632       483,525  

Barnes & Noble Education Inc.(a)

    3,979       12,096  

Bed Bath & Beyond Inc.(a)

    19,576       266,429  

Big 5 Sporting Goods Corp.

     4,369       63,219  

Buckle Inc. (The)

     5,996       186,236  

Caleres Inc.

     7,865       180,344  

Camping World Holdings Inc., Class A

     8,342       214,223  

Cato Corp. (The), Class A

     3,892       52,737  

Chico’s FAS Inc.(a)

    25,300       134,090  

Children’s Place Inc. (The)(a)

    2,809       130,141  

Citi Trends Inc.(a)(b)

    713       19,943  

Conn’s Inc.(a)(b)

    3,996       62,537  

Container Store Group Inc. (The)(a)

    6,681       51,110  

Designer Brands Inc. , Class A

     12,577       173,814  

Dick’s Sporting Goods Inc.

     5,945       573,217  

Foot Locker Inc.

     17,799       521,689  

Genesco Inc.(a)

    2,792       173,188  

Group 1 Automotive Inc.

     3,488       607,400  

Guess? Inc.

     5,462       122,731  

Haverty Furniture Companies Inc.

     3,086       76,625  

Hibbett Inc.

     1,389       59,977  

JOANN Inc.

     2,250       23,490  

Kirkland’s Inc.(a)(b)

    2,575       18,617  

LL Flooring Holdings Inc.(a)

    3,227       44,565  

MarineMax Inc.(a)(b)

    2,546       104,182  

Monro Inc.

     2,747       125,620  

Murphy USA Inc.

     4,670       1,090,912  

ODP Corp. (The)(a)

    9,375       403,406  

OneWater Marine Inc., Class A

     2,288       74,795  

Party City Holdco Inc.(a)

    22,515       69,571  

Rent-A-Center Inc./TX

     12,342       297,689  

Sally Beauty Holdings Inc.(a)(b)

    22,358       338,053  

Shift Technologies Inc.(a)(b)

    13,685       18,338  

Shoe Carnival Inc.

     3,519       106,239  
Security   Shares     Value  
Specialty Retail (continued)            

Signet Jewelers Ltd.

     6,348     $ 445,630  

Sleep Number Corp.(a)

    2,367       96,006  

Sonic Automotive Inc., Class A

     4,259       181,220  

Sportsman’s Warehouse Holdings Inc.(a)

    8,822       84,779  

Tilly’s Inc., Class A

     4,757       41,957  

TravelCenters of America Inc.(a)

    2,502       95,101  

Urban Outfitters Inc.(a)

    13,396       318,825  

Victoria’s Secret & Co.(a)

    14,847       699,591  

Vroom Inc.(a)(b)

    12,278       19,154  

Zumiez Inc.(a)

    3,977       145,678  
   

 

 

  
          10,905,253  
Technology Hardware, Storage & Peripherals — 0.3%  

Avid Technology Inc.(a)(b)

    3,815       120,974  

Corsair Gaming Inc.(a)(b)

    4,525       68,463  

Diebold Nixdorf Inc.(a)(b)

    15,298       62,722  

Eastman Kodak Co.(a)

    8,041       41,572  

Quantum Corp.(a)(b)

    10,815       20,224  

Super Micro Computer Inc.(a)

    9,130       384,373  

Turtle Beach Corp.(a)

    1,529       25,442  

Xerox Holdings Corp.

     25,625       445,875  
   

 

 

  
      1,169,645  
Textiles, Apparel & Luxury Goods — 1.0%            

Carter’s Inc.

     3,964       333,927  

Columbia Sportswear Co.

     2,816       231,363  

Fossil Group Inc.(a)

    9,934       98,148  

G-III Apparel Group Ltd.(a)

    8,957       237,181  

Hanesbrands Inc.

     71,147       943,409  

Kontoor Brands Inc.

     9,720       386,176  

Movado Group Inc.

     3,388       121,866  

Oxford Industries Inc.

     3,231       289,498  

Ralph Lauren Corp.

     3,663       382,197  

Rocky Brands Inc.

     838       32,271  

Steven Madden Ltd.

     8,224       337,678  

Vera Bradley Inc.(a)

    5,293       32,552  

Wolverine World Wide Inc.

     8,050       159,551  
   

 

 

  
      3,585,817  
Thrifts & Mortgage Finance — 2.0%            

Axos Financial Inc.(a)(b)

    5,096       193,036  

Blue Foundry Bancorp(a)(b)

    6,089       76,843  

Essent Group Ltd.

     22,536       913,384  

Federal Agricultural Mortgage Corp., Class C, NVS

     1,913       195,949  

Flagstar Bancorp. Inc.

     11,011       388,688  

Kearny Financial Corp./MD

     9,594       113,785  

Merchants Bancorp./IN

     1,962       46,146  

MGIC Investment Corp.

     65,311       852,962  

Mr Cooper Group Inc.(a)

    7,667       344,785  

New York Community Bancorp. Inc.

     94,866       876,562  

NMI Holdings Inc., Class A(a)

    9,524       175,051  

Northfield Bancorp. Inc.

     9,455       123,766  

PennyMac Financial Services Inc.

     6,249       303,451  

Provident Financial Services Inc.

     16,493       364,990  

Radian Group Inc.

     36,607       783,024  

Rocket Companies Inc., Class A(b)

    27,449       242,924  

TFS Financial Corp.

     6,414       96,146  

TrustCo Bank Corp. NY

     3,291       102,515  

Walker & Dunlop Inc.

     6,011       719,877  

WSFS Financial Corp.

     8,473       339,513  
   

 

 

  
      7,253,397  
 

 

 

94  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Small-Cap Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  
Tobacco — 0.2%            

Turning Point Brands Inc.

     922     $ 28,942  

Universal Corp./VA

     5,085       294,167  

Vector Group Ltd.

     26,717       339,840  
   

 

 

  
      662,949  
Trading Companies & Distributors — 2.3%  

Air Lease Corp.

     21,863       880,642  

Applied Industrial Technologies Inc.

     4,829       505,548  

Beacon Roofing Supply Inc.(a)

    11,293       673,402  

BlueLinx Holdings Inc.(a)

    853       56,869  

Boise Cascade Co.

     8,000       604,640  

Custom Truck One Source Inc.(a)(b)

    6,604       43,388  

DXP Enterprises Inc./TX(a)

    1,787       42,227  

GATX Corp.

     7,242       748,750  

Global Industrial Co.

     1,387       42,803  

GMS Inc.(a)

    8,791       421,528  

H&E Equipment Services Inc.

     2,747       97,464  

McGrath RentCorp.

     4,936       411,959  

MRC Global Inc.(a)

    12,353       148,112  

MSC Industrial Direct Co. Inc., Class A

     9,649       799,516  

NOW Inc.(a)

    22,542       245,708  

Rush Enterprises Inc., Class A

     8,710       443,165  

Titan Machinery Inc.(a)

    2,480       58,478  

Triton International Ltd.

     13,642       833,390  

Univar Solutions Inc.(a)

    19,965       581,381  

Veritiv Corp.(a)

    2,823       396,744  

WESCO International Inc.(a)(b)

    4,289       528,662  
   

 

 

  
          8,564,376  
Water Utilities — 0.2%            

American States Water Co.

     3,645       286,716  

California Water Service Group

     5,559       288,345  

Middlesex Water Co.

     1,580       140,541  

SJW Group

     3,178       187,502  
   

 

 

  
      903,104  
Security   Shares     Value  

 

  
Wireless Telecommunication Services — 0.2%  

Gogo Inc.(a)(b)

    6,536     $ 120,328  

Shenandoah Telecommunications Co.

     4,489       90,678  

Telephone and Data Systems Inc.

     20,233       370,668  

United States Cellular Corp.(a)

    2,976       85,649  
   

 

 

  
      667,323  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $371,587,288)

       366,595,800  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 5.5%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

    19,595,129       19,595,129  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

    540,000       540,000  
   

 

 

  
      20,135,129  
   

 

 

  

Total Short-Term Investments — 5.5%
(Cost: $20,131,600)

       20,135,129  
   

 

 

  

Total Investments in Securities — 105.3%
(Cost: $391,718,888)

       386,730,929  

Other Assets, Less Liabilities — (5.3)%

       (19,408,279 ) 
   

 

 

  

Net Assets — 100.0%

     $  367,322,650  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   Value at
04/30/21 		    Purchases
at Cost 		    Proceeds
from Sales		     Net Realized
Gain (Loss) 		    Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22 		    Shares
Held at
04/30/22 		    Income    

Capital

Gain
Distributions
from
Underlying
Funds

 

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 14,020,978     $ 5,582,702 (a)    $ —     $ (9,460 )    $ 909     $ 19,595,129       19,595,129     $ 78,131 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     160,000       380,000 (a)       —       —       —       540,000       540,000       359       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (9,460 )    $ 909     $ 20,135,129       $ 78,490     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   95

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Small-Cap Value ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

    

Expiration

Date

    

Notional

Amount

(000)

    

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

        

Russell 2000 E-Mini Index

     4       06/17/22     $ 372     $ (30,488 ) 

S&P Mid 400 E-Mini Index

     1       06/17/22       250       (12,465 ) 
       

 

 

  
        $ (42,953 ) 
       

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    Equity
Contracts		  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

   $ 42,953   
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

  

Futures contracts

   $ (60,147 ) 
 

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

  

Futures contracts

   $ (42,957 ) 
 

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

  

Average notional value of contracts — long

   $ 788,140      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
    Level 1     Level 2      Level 3      Total  

 

  

Investments

          

Assets

          

Common Stocks

   $ 366,595,800     $ —      $ —      $ 366,595,800  

Money Market Funds

     20,135,129       —        —        20,135,129  
 

 

 

    

 

 

     

 

 

     

 

 

  
  $ 386,730,929     $ —      $ —      $ 386,730,929  
 

 

 

    

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

          

Liabilities

          

Futures Contracts

   $ (42,953 )    $ —      $ —      $ (42,953 ) 
 

 

 

    

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

96  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Aerospace & Defense — 1.5%

    

Axon Enterprise Inc.(a)

     1,424     $ 159,773  

Boeing Co. (The)(a)

     11,346       1,688,739  

General Dynamics Corp.

     4,768       1,127,775  

HEICO Corp.

     851       120,187  

HEICO Corp., Class A

     1,543       179,975  

Howmet Aerospace Inc.

     7,940       270,913  

Huntington Ingalls Industries Inc.

     824       175,298  

L3Harris Technologies Inc.

     4,055       941,814  

Lockheed Martin Corp.

     5,019       2,168,810  

Northrop Grumman Corp.

     3,050       1,340,170  

Raytheon Technologies Corp.

     30,935       2,936,041  

Textron Inc.

     4,546       314,810  

TransDigm Group Inc.(a)

     1,098       653,101  

Woodward Inc.

     1,316       145,392  
   

 

 

  
          12,222,798  
Air Freight & Logistics — 0.6%            

CH Robinson Worldwide Inc.

     2,731       289,895  

Expeditors International of Washington Inc.

     3,501       346,844  

FedEx Corp.

     5,069       1,007,413  

GXO Logistics Inc.(a)

     2,042       120,866  

United Parcel Service Inc., Class B

     15,114       2,720,218  
   

 

 

  
      4,485,236  
Airlines — 0.2%            

American Airlines Group Inc.(a)(b)

     13,323       250,073  

Delta Air Lines Inc.(a)

     13,285       571,653  

Southwest Airlines Co.(a)

     12,290       574,189  

United Airlines Holdings Inc.(a)

     6,688       337,744  
   

 

 

  
      1,733,659  
Auto Components — 0.2%            

Aptiv PLC(a)

     5,630       599,032  

Autoliv Inc.

     1,656       122,014  

BorgWarner Inc.

     4,847       178,515  

Gentex Corp.

     4,855       142,495  

Lear Corp.

     1,246       159,413  

QuantumScape Corp.(a)(b)

     5,348       79,899  
   

 

 

  
      1,281,368  
Automobiles — 2.2%            

Ford Motor Co.

     81,435       1,153,120  

General Motors Co.(a)

     30,128       1,142,152  

Lucid Group Inc.(a)(b)

     11,423       206,528  

Rivian Automotive Inc., Class A(a)(b)

     3,340       101,002  

Tesla Inc.(a)

     17,353       15,110,298  
   

 

 

  
      17,713,100  
Banks — 3.5%            

Bank of America Corp.

     147,362       5,257,876  

Citigroup Inc.

     41,102       1,981,527  

Citizens Financial Group Inc.

     10,258       404,165  

Comerica Inc.

     2,687       220,065  

Commerce Bancshares Inc.

     2,336       159,712  

Cullen/Frost Bankers Inc.

     1,179       155,970  

East West Bancorp. Inc.

     2,939       209,551  

Fifth Third Bancorp.

     14,147       530,937  

First Horizon Corp.

     11,101       248,440  

First Republic Bank/CA

     3,710       553,606  

Huntington Bancshares Inc./OH

     29,912       393,343  

JPMorgan Chase & Co.

     61,265       7,312,590  

KeyCorp.

     19,251       371,737  
Security   Shares     Value  

Banks (continued)

    

M&T Bank Corp.

     3,717     $ 619,401  

PNC Financial Services Group Inc. (The)

     8,709       1,446,565  

Regions Financial Corp.

     19,516       404,371  

Signature Bank/New York NY

     1,303       315,652  

SVB Financial Group(a)

     1,214       591,995  

Truist Financial Corp.

     27,673       1,337,990  

U.S. Bancorp.

     27,985       1,358,952  

Wells Fargo & Co.

     80,553       3,514,527  

Western Alliance Bancorp.

     2,242       170,639  

Zions Bancorp. NA

     3,111       175,803  
   

 

 

  
      27,735,414  
Beverages — 1.6%            

Brown-Forman Corp., Class A

     1,184       73,905  

Brown-Forman Corp., Class B, NVS

     3,767       254,047  

Coca-Cola Co. (The)

     80,589       5,206,855  

Constellation Brands Inc., Class A

     3,399       836,460  

Keurig Dr Pepper Inc.

     15,298       572,145  

Molson Coors Beverage Co., Class B

     3,977       215,315  

Monster Beverage Corp.(a)

     7,794       667,790  

PepsiCo Inc.

     28,677       4,924,128  
   

 

 

  
          12,750,645  
Biotechnology — 2.1%            

AbbVie Inc.

     36,651       5,383,299  

Alnylam Pharmaceuticals Inc.(a)(b)

     2,517       335,843  

Amgen Inc.

     11,678       2,723,193  

Biogen Inc.(a)

     3,037       629,995  

Biohaven Pharmaceutical Holding Co. Ltd.(a)(b)

     1,274       113,603  

BioMarin Pharmaceutical Inc.(a)

     3,827       311,326  

Bridgebio Pharma Inc.(a)

     2,271       18,213  

Exact Sciences Corp.(a)

     3,581       197,134  

Gilead Sciences Inc.

     26,031       1,544,680  

Horizon Therapeutics PLC(a)

     4,710       464,218  

Incyte Corp.(a)

     3,944       295,642  

Intellia Therapeutics Inc.(a)

     1,433       70,260  

Mirati Therapeutics Inc.(a)

     1,031       63,705  

Moderna Inc.(a)

     7,300       981,193  

Natera Inc.(a)

     1,757       61,706  

Neurocrine Biosciences Inc.(a)

     1,984       178,620  

Novavax Inc.(a)(b)

     1,539       69,363  

Regeneron Pharmaceuticals Inc.(a)

     2,218       1,461,906  

Seagen Inc.(a)

     2,753       360,671  

United Therapeutics Corp.(a)

     938       166,551  

Vertex Pharmaceuticals Inc.(a)

     5,293       1,446,153  
   

 

 

  
      16,877,274  
Building Products — 0.5%            

A O Smith Corp.

     2,776       162,202  

Advanced Drainage Systems Inc.

     1,159       118,751  

Allegion PLC

     1,843       210,544  

Builders FirstSource Inc.(a)

     3,963       244,002  

Carlisle Companies Inc.

     1,077       279,331  

Carrier Global Corp.

     17,785       680,632  

Fortune Brands Home & Security Inc.

     2,826       201,353  

Johnson Controls International PLC

     14,536       870,270  

Lennox International Inc.

     688       146,675  

Masco Corp.

     4,967       261,711  

Owens Corning

     2,063       187,589  

Trane Technologies PLC

     4,852       678,746  

Trex Co. Inc.(a)

     2,354       136,979  
   

 

 

  
      4,178,785  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   97

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Capital Markets — 3.0%

    

Ameriprise Financial Inc.

     2,288     $ 607,441  

Ares Management Corp., Class A

     3,502       231,902  

Bank of New York Mellon Corp. (The)

     15,376       646,715  

BlackRock Inc.(c)

     2,956       1,846,554  

Blackstone Inc., NVS

     14,571       1,479,976  

Carlyle Group Inc. (The)

     2,874       104,297  

Charles Schwab Corp. (The)

     31,159       2,066,776  

CME Group Inc.

     7,447       1,633,425  

Coinbase Global Inc., Class A(a)(b)

     612       68,979  

FactSet Research Systems Inc.

     777       313,512  

Franklin Resources Inc.

     5,744       141,245  

Goldman Sachs Group Inc. (The)

     7,044       2,151,872  

Intercontinental Exchange Inc.

     11,679       1,352,545  

Invesco Ltd.

     7,078       130,094  

Jefferies Financial Group Inc.

     4,155       127,808  

KKR & Co. Inc.

     12,076       615,514  

LPL Financial Holdings Inc.

     1,660       311,864  

MarketAxess Holdings Inc.

     774       204,034  

Moody’s Corp.

     3,344       1,058,309  

Morgan Stanley

     29,376       2,367,412  

Morningstar Inc.

     488       123,576  

MSCI Inc.

     1,690       711,913  

Nasdaq Inc.

     2,425       381,622  

Northern Trust Corp.

     4,315       444,661  

Raymond James Financial Inc.

     3,855       375,708  

S&P Global Inc.

     7,346       2,765,769  

SEI Investments Co.

     2,225       123,977  

State Street Corp.

     7,591       508,369  

T Rowe Price Group Inc.

     4,765       586,286  

Tradeweb Markets Inc., Class A

     2,173       154,696  
   

 

 

  
          23,636,851  
Chemicals — 1.8%            

Air Products and Chemicals Inc.

     4,586       1,073,445  

Albemarle Corp.

     2,418       466,263  

Axalta Coating Systems Ltd.(a)

     4,297       109,015  

Celanese Corp.

     2,225       326,942  

CF Industries Holdings Inc.

     4,471       432,927  

Corteva Inc.

     15,099       871,061  

Dow Inc.

     15,297       1,017,250  

DuPont de Nemours Inc.

     10,602       698,990  

Eastman Chemical Co.

     2,680       275,156  

Ecolab Inc.

     5,160       873,794  

FMC Corp.

     2,607       345,532  

International Flavors & Fragrances Inc.

     5,263       638,402  

Linde PLC

     10,627       3,315,199  

LyondellBasell Industries NV, Class A

     5,480       581,044  

Mosaic Co. (The)

     7,653       477,700  

Olin Corp.

     2,964       170,134  

PPG Industries Inc.

     4,920       629,711  

RPM International Inc.

     2,733       226,566  

Scotts Miracle-Gro Co. (The)

     811       84,287  

Sherwin-Williams Co. (The)

     5,002       1,375,350  

Westlake Corp.

     715       90,483  
   

 

 

  
      14,079,251  
Commercial Services & Supplies — 0.5%            

Aurora Innovation Inc., Class A(a)(b)

     5,347       22,778  

Cintas Corp.

     1,831       727,383  

Copart Inc.(a)

     4,445       505,174  

IAA Inc.(a)

     2,843       104,196  
Security   Shares     Value  

Commercial Services & Supplies (continued)

    

Republic Services Inc.

     4,356     $ 584,880  

Rollins Inc.

     4,662       156,364  

Tetra Tech Inc.

     1,118       155,715  

Waste Management Inc.

     7,981       1,312,396  
   

 

 

  
      3,568,886  
Communications Equipment — 0.8%            

Arista Networks Inc.(a)

     4,639       536,129  

Ciena Corp.(a)

     3,260       179,854  

Cisco Systems Inc.

     87,431       4,282,370  

F5 Inc.(a)

     1,246       208,593  

Juniper Networks Inc.

     6,847       215,818  

Motorola Solutions Inc.

     3,483       744,282  
   

 

 

  
      6,167,046  
Construction & Engineering — 0.1%            

AECOM

     2,986       210,692  

Quanta Services Inc.

     2,944       341,445  
   

 

 

  
      552,137  
Construction Materials — 0.1%            

Martin Marietta Materials Inc.

     1,287       455,881  

Vulcan Materials Co.

     2,745       472,936  
   

 

 

  
      928,817  
Consumer Finance — 0.6%            

Ally Financial Inc.

     6,974       278,681  

American Express Co.

     12,741       2,225,980  

Capital One Financial Corp.

     8,604       1,072,230  

Credit Acceptance Corp.(a)(b)

     168       86,100  

Discover Financial Services

     5,985       673,073  

SoFi Technologies Inc.(a)(b)

     13,347       81,684  

Synchrony Financial

     10,836       398,873  

Upstart Holdings Inc.(a)(b)

     1,032       77,421  
   

 

 

  
          4,894,042  
Containers & Packaging — 0.4%            

Amcor PLC

     31,261       370,756  

AptarGroup Inc.

     1,372       157,547  

Avery Dennison Corp.

     1,729       312,257  

Ball Corp.

     6,727       545,963  

Berry Global Group Inc.(a)

     2,804       158,005  

Crown Holdings Inc.

     2,624       288,745  

International Paper Co.

     7,948       367,834  

Packaging Corp. of America

     1,941       312,831  

Sealed Air Corp.

     3,020       193,914  

Westrock Co.

     5,555       275,139  
   

 

 

  
      2,982,991  
Distributors — 0.1%            

Genuine Parts Co.

     2,925       380,396  

LKQ Corp.

     5,614       278,623  

Pool Corp.

     828       335,522  
   

 

 

  
      994,541  
Diversified Consumer Services — 0.1%            

Bright Horizons Family Solutions Inc.(a)

     1,269       144,970  

Chegg Inc.(a)(b)

     2,977       73,651  

Service Corp. International

     3,431       225,108  
   

 

 

  
      443,729  
Diversified Financial Services — 1.6%            

Apollo Global Management Inc.

     7,640       380,167  

Berkshire Hathaway Inc., Class B(a)

     37,966       12,256,564  

Equitable Holdings Inc.

     7,728       222,798  
 

 

 

98  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Diversified Financial Services (continued)

    

Voya Financial Inc.

     2,267     $ 143,138  
   

 

 

  
      13,002,667  
Diversified Telecommunication Services — 0.9%  

AT&T Inc.

     149,628       2,821,984  

Lumen Technologies Inc.

     19,055       191,693  

Verizon Communications Inc.

     87,027       4,029,350  
   

 

 

  
      7,043,027  
Electric Utilities — 1.7%            

Alliant Energy Corp.

     5,118       300,990  

American Electric Power Co. Inc.

     10,388       1,029,555  

Avangrid Inc.

     1,452       64,396  

Constellation Energy Corp.

     6,786       401,799  

Duke Energy Corp.

     15,960       1,758,154  

Edison International

     7,890       542,753  

Entergy Corp.

     4,169       495,486  

Evergy Inc.

     4,791       325,069  

Eversource Energy

     7,129       623,075  

Exelon Corp.

     20,322       950,663  

FirstEnergy Corp.

     11,852       513,310  

NextEra Energy Inc.

     40,675       2,888,738  

NRG Energy Inc.

     5,157       185,136  

PG&E Corp.(a)(b)

     31,614       399,917  

Pinnacle West Capital Corp.

     2,362       168,174  

PPL Corp.

     15,525       439,513  

Southern Co. (The)

     21,964       1,611,938  

Xcel Energy Inc.

     11,175       818,681  
   

 

 

  
          13,517,347  
Electrical Equipment — 0.6%            

AMETEK Inc.

     4,802       606,301  

ChargePoint Holdings Inc., Class A(a)(b)

     3,368       43,582  

Eaton Corp. PLC

     8,270       1,199,315  

Emerson Electric Co.

     12,316       1,110,657  

Generac Holdings Inc.(a)(b)

     1,302       285,633  

Hubbell Inc.

     1,147       224,078  

Plug Power Inc.(a)

     10,631       223,464  

Regal Rexnord Corp.

     1,402       178,390  

Rockwell Automation Inc.

     2,405       607,671  

Sensata Technologies Holding PLC(a)

     3,322       150,852  

Sunrun Inc.(a)

     4,279       85,494  

Vertiv Holdings Co.

     6,274       78,613  
   

 

 

  
      4,794,050  
Electronic Equipment, Instruments & Components — 0.7%  

Amphenol Corp., Class A

     12,409       887,243  

Arrow Electronics Inc.(a)

     1,396       164,533  

CDW Corp./DE

     2,808       458,209  

Cognex Corp.

     3,617       244,618  

Corning Inc.

     15,528       546,430  

Flex Ltd.(a)(b)

     9,556       157,578  

IPG Photonics Corp.(a)

     760       71,805  

Jabil Inc.

     3,025       174,633  

Keysight Technologies Inc.(a)

     3,823       536,252  

TE Connectivity Ltd.

     6,737       840,643  

Teledyne Technologies Inc.(a)

     969       418,172  

Trimble Inc.(a)

     5,178       345,373  

Zebra Technologies Corp., Class A(a)

     1,095       404,778  
   

 

 

  
      5,250,267  
Energy Equipment & Services — 0.3%            

Baker Hughes Co.

     18,826       583,983  

Halliburton Co.

     18,681       665,417  
Security   Shares     Value  
Energy Equipment & Services (continued)            

Schlumberger NV

     29,077     $ 1,134,294  
   

 

 

  
      2,383,694  
Entertainment — 1.3%            

Activision Blizzard Inc.

     16,118       1,218,521  

AMC Entertainment Holdings Inc., Class A(a)(b)

     10,631       162,654  

Electronic Arts Inc.

     5,816       686,579  

Liberty Media Corp.-Liberty Formula One,
Class A(a)

     543       31,179  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

     4,255       265,214  

Live Nation Entertainment Inc.(a)

     2,805       294,188  

Netflix Inc.(a)

     9,205       1,752,264  

Playtika Holding Corp.(a)(b)

     2,120       37,269  

Roku Inc.(a)(b)

     2,432       225,933  

Take-Two Interactive Software Inc.(a)

     2,365       282,641  

Walt Disney Co. (The)(a)

     37,744       4,213,363  

Warner Bros. Discovery Inc.(a)

     46,132       837,296  

Zynga Inc., Class A(a)

     22,144       183,131  
   

 

 

  
          10,190,232  
Equity Real Estate Investment Trusts (REITs) — 3.2%  

Alexandria Real Estate Equities Inc.

     3,025       551,034  

American Homes 4 Rent, Class A

     6,139       243,166  

American Tower Corp.

     9,441       2,275,470  

Americold Realty Trust

     5,625       148,388  

Apartment Income REIT Corp.

     3,244       159,507  

AvalonBay Communities Inc.

     2,906       661,057  

Boston Properties Inc.

     2,935       345,156  

Camden Property Trust

     2,116       331,979  

Crown Castle International Corp.

     8,977       1,662,630  

CubeSmart

     4,448       211,324  

Digital Realty Trust Inc.

     5,850       854,802  

Duke Realty Corp.

     7,886       431,758  

Equinix Inc.

     1,863       1,339,646  

Equity LifeStyle Properties Inc.

     3,569       275,812  

Equity Residential

     7,042       573,923  

Essex Property Trust Inc.

     1,363       448,795  

Extra Space Storage Inc.

     2,783       528,770  

Federal Realty Investment Trust

     1,476       172,781  

Gaming and Leisure Properties Inc.

     4,880       216,574  

Healthpeak Properties Inc.

     11,101       364,224  

Host Hotels & Resorts Inc.

     14,853       302,259  

Invitation Homes Inc.

     12,337       491,259  

Iron Mountain Inc.

     6,062       325,711  

Kilroy Realty Corp.

     2,200       154,000  

Kimco Realty Corp.

     12,871       326,022  

Lamar Advertising Co., Class A

     1,800       198,738  

Life Storage Inc.

     1,697       224,836  

Medical Properties Trust Inc.

     12,226       224,836  

Mid-America Apartment Communities Inc.

     2,400       472,032  

National Retail Properties Inc.

     3,650       160,016  

Prologis Inc.

     15,337       2,458,368  

Public Storage

     3,166       1,176,169  

Realty Income Corp.

     11,702       811,651  

Regency Centers Corp.

     3,179       218,811  

Rexford Industrial Realty Inc.

     3,332       260,029  

SBA Communications Corp.

     2,247       779,956  

Simon Property Group Inc.

     6,813       803,934  

STORE Capital Corp.

     5,061       143,884  

Sun Communities Inc.

     2,400       421,368  

UDR Inc.

     6,219       330,913  

Ventas Inc.

     8,312       461,732  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   99

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

VICI Properties Inc.

     17,475     $ 520,930  

Vornado Realty Trust

     3,304       127,898  

Welltower Inc.

     9,002       817,472  

Weyerhaeuser Co.

     15,565       641,589  

WP Carey Inc.

     3,964       320,172  
   

 

 

  
      24,971,381  

Food & Staples Retailing — 1.5%

    

Albertsons Companies Inc., Class A

     2,031       63,530  

Costco Wholesale Corp.

     9,193       4,888,102  

Kroger Co. (The)

     13,910       750,583  

Sysco Corp.

     10,517       898,993  

U.S. Foods Holding Corp.(a)

     4,602       173,127  

Walgreens Boots Alliance Inc.

     14,897       631,633  

Walmart Inc.

     29,326       4,486,585  
   

 

 

  
          11,892,553  

Food Products — 1.1%

    

Archer-Daniels-Midland Co.

     11,605       1,039,344  

Bunge Ltd.

     2,943       332,912  

Campbell Soup Co.

     4,277       201,960  

Conagra Brands Inc.

     9,968       348,182  

Darling Ingredients Inc.(a)

     3,356       246,297  

General Mills Inc.

     12,445       880,235  

Hershey Co. (The)

     3,029       683,857  

Hormel Foods Corp.

     5,899       309,049  

JM Smucker Co. (The)

     2,245       307,408  

Kellogg Co.

     5,371       367,913  

Kraft Heinz Co. (The)

     14,676       625,638  

Lamb Weston Holdings Inc.

     3,061       202,332  

McCormick & Co. Inc./MD, NVS

     5,165       519,444  

Mondelez International Inc., Class A

     28,722       1,851,995  

Tyson Foods Inc., Class A

     6,022       561,009  
   

 

 

  
      8,477,575  

Gas Utilities — 0.1%

    

Atmos Energy Corp.

     2,816       319,335  

UGI Corp.

     4,391       150,611  
   

 

 

  
      469,946  

Health Care Equipment & Supplies — 2.7%

    

Abbott Laboratories

     36,659       4,160,796  

ABIOMED Inc.(a)

     940       269,385  

Align Technology Inc.(a)

     1,523       441,533  

Baxter International Inc.

     10,335       734,405  

Becton Dickinson and Co.

     5,921       1,463,612  

Boston Scientific Corp.(a)

     29,506       1,242,498  

Cooper Companies Inc. (The)

     1,017       367,178  

DENTSPLY SIRONA Inc.

     4,484       179,315  

Dexcom Inc.(a)

     2,020       825,332  

Edwards Lifesciences Corp.(a)

     12,914       1,366,043  

Hologic Inc.(a)

     5,144       370,317  

IDEXX Laboratories Inc.(a)

     1,757       756,353  

Insulet Corp.(a)(b)

     1,432       342,234  

Intuitive Surgical Inc.(a)

     7,436       1,779,435  

Masimo Corp.(a)

     1,034       116,811  

Medtronic PLC

     27,868       2,908,304  

Novocure Ltd.(a)(b)

     1,800       137,844  

Penumbra Inc.(a)

     743       128,212  

ResMed Inc.

     3,020       603,909  

STERIS PLC

     2,077       465,352  

Stryker Corp.

     6,965       1,680,376  

Tandem Diabetes Care Inc.(a)

     1,312       126,582  
Security   Shares     Value  
Health Care Equipment & Supplies (continued)            

Teleflex Inc.

     969     $ 276,766  

Zimmer Biomet Holdings Inc.

     4,323       522,002  
   

 

 

  
      21,264,594  
Health Care Providers & Services — 3.0%            

agilon health Inc.(a)(b)

     969       17,219  

AmerisourceBergen Corp.

     3,122       472,327  

Anthem Inc.

     5,039       2,529,225  

Cardinal Health Inc.

     5,678       329,608  

Centene Corp.(a)

     12,097       974,413  

Chemed Corp.

     325       159,702  

Cigna Corp.

     6,715       1,657,128  

CVS Health Corp.

     27,203       2,615,025  

DaVita Inc.(a)

     1,279       138,605  

Guardant Health Inc.(a)(b)

     2,096       129,323  

HCA Healthcare Inc.

     4,950       1,062,023  

Henry Schein Inc.(a)

     2,913       236,244  

Humana Inc.

     2,661       1,182,974  

Laboratory Corp. of America Holdings(a)

     1,935       464,942  

McKesson Corp.

     3,115       964,435  

Molina Healthcare Inc.(a)

     1,204       377,394  

Oak Street Health Inc.(a)(b)

     2,893       52,334  

Quest Diagnostics Inc.

     2,473       330,986  

UnitedHealth Group Inc.

     19,527       9,930,456  

Universal Health Services Inc., Class B

     1,537       188,329  
   

 

 

  
          23,812,692  
Health Care Technology — 0.2%            

Cerner Corp.

     6,135       574,482  

Teladoc Health Inc.(a)(b)

     3,303       111,509  

Veeva Systems Inc., Class A(a)

     2,879       523,834  
   

 

 

  
      1,209,825  
Hotels, Restaurants & Leisure — 2.0%            

Airbnb Inc., Class A(a)

     7,173       1,098,975  

Aramark

     5,362       194,373  

Booking Holdings Inc.(a)

     850       1,878,764  

Caesars Entertainment Inc.(a)(b)

     4,428       293,488  

Carnival Corp.(a)

     16,578       286,799  

Chipotle Mexican Grill Inc.(a)

     582       847,165  

Churchill Downs Inc.

     712       144,493  

Darden Restaurants Inc.

     2,634       346,977  

Domino’s Pizza Inc.

     761       257,218  

DraftKings Inc., Class A(a)(b)

     6,738       92,176  

Expedia Group Inc.(a)

     3,124       545,919  

Hilton Worldwide Holdings Inc.(a)

     5,783       898,042  

Las Vegas Sands Corp.(a)

     7,130       252,616  

Marriott International Inc./MD, Class A(a)

     5,678       1,007,959  

McDonald’s Corp.

     15,490       3,859,488  

MGM Resorts International

     7,831       321,384  

Norwegian Cruise Line Holdings Ltd.(a)

     8,667       173,600  

Penn National Gaming Inc.(a)

     3,438       125,728  

Royal Caribbean Cruises Ltd.(a)

     4,628       359,734  

Starbucks Corp.

     23,812       1,777,328  

Vail Resorts Inc.

     831       211,207  

Wynn Resorts Ltd.(a)

     2,217       156,254  

Yum! Brands Inc.

     6,006       702,762  
   

 

 

  
      15,832,449  
Household Durables — 0.3%            

DR Horton Inc.

     6,717       467,436  

Garmin Ltd.

     3,159       346,669  

Lennar Corp., Class A

     5,431       415,417  
 

 

 

100  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Household Durables (continued)

    

Lennar Corp., Class B

     330     $ 21,516  

Mohawk Industries Inc.(a)

     1,163       164,053  

Newell Brands Inc.

     7,955       184,158  

NVR Inc.(a)

     68       297,582  

PulteGroup Inc.

     5,167       215,774  

Tempur Sealy International Inc.

     4,073       110,419  

Toll Brothers Inc.

     2,340       108,506  

TopBuild Corp.(a)

     685       124,081  

Whirlpool Corp.

     1,229       223,088  
   

 

 

  
      2,678,699  
Household Products — 1.4%            

Church & Dwight Co. Inc.

     5,011       488,873  

Clorox Co. (The)

     2,535       363,696  

Colgate-Palmolive Co.

     17,497       1,348,144  

Kimberly-Clark Corp.

     6,991       970,561  

Procter & Gamble Co. (The)

     49,694           7,978,372  
   

 

 

  
      11,149,646  
Independent Power and Renewable Electricity Producers — 0.1%  

AES Corp. (The)

     13,837       282,551  

Vistra Corp.

     10,140       253,703  
   

 

 

  
      536,254  
Industrial Conglomerates — 0.8%            

3M Co.

     11,812       1,703,526  

General Electric Co.

     22,774       1,697,802  

Honeywell International Inc.

     14,219       2,751,519  
   

 

 

  
      6,152,847  
Insurance — 2.2%            

Aflac Inc.

     12,437       712,391  

Alleghany Corp.(a)

     288       240,912  

Allstate Corp. (The)

     5,833       738,108  

American Financial Group Inc./OH

     1,345       186,256  

American International Group Inc.

     17,171       1,004,675  

Aon PLC, Class A

     4,466       1,286,163  

Arch Capital Group Ltd.(a)

     7,984       364,629  

Arthur J Gallagher & Co.

     4,331       729,730  

Assurant Inc.

     1,183       215,164  

Brown & Brown Inc.

     4,908       304,198  

Chubb Ltd.

     8,914       1,840,295  

Cincinnati Financial Corp.

     3,116       382,209  

Erie Indemnity Co., Class A, NVS

     522       83,666  

Everest Re Group Ltd.

     821       225,537  

Fidelity National Financial Inc.

     5,845       232,748  

First American Financial Corp.

     2,271       132,422  

Globe Life Inc.

     1,952       191,452  

Hartford Financial Services Group Inc. (The)

     6,919       483,846  

Lincoln National Corp.

     3,510       211,127  

Loews Corp.

     4,075       256,073  

Markel Corp.(a)

     279       377,565  

Marsh & McLennan Companies Inc.

     10,455       1,690,573  

MetLife Inc.

     14,584       957,877  

Old Republic International Corp.

     5,892       129,683  

Principal Financial Group Inc.

     5,051       344,175  

Progressive Corp. (The)

     12,126       1,301,847  

Prudential Financial Inc.

     7,819       848,440  

Reinsurance Group of America Inc.

     1,384       148,531  

Travelers Companies Inc. (The)

     5,014       857,695  

W R Berkley Corp.

     4,326       287,636  

Willis Towers Watson PLC

     2,538       545,315  
   

 

 

  
      17,310,938  
Security   Shares     Value  

Interactive Media & Services — 5.0%

    

Alphabet Inc., Class A(a)

     6,232     $ 14,222,608  

Alphabet Inc., Class C, NVS(a)

     5,757       13,237,243  

IAC/InterActiveCorp.(a)

     1,710       141,725  

Match Group Inc.(a)

     5,855       463,423  

Meta Platforms Inc, Class A(a)

     47,867       9,595,898  

Pinterest Inc., Class A(a)

     11,837       242,895  

Snap Inc., Class A, NVS(a)(b)

     22,498       640,293  

Twitter Inc.(a)

     16,554       811,477  

ZoomInfo Technologies Inc.(a)(b)

     6,250       296,250  
   

 

 

  
      39,651,812  
Internet & Direct Marketing Retail — 3.1%            

Amazon.com Inc.(a)

     9,071       22,547,150  

Chewy Inc., Class A(a)(b)

     1,737       50,477  

DoorDash Inc., Class A(a)(b)

     3,351       272,872  

eBay Inc.

     12,943       672,000  

Etsy Inc.(a)

     2,631       245,183  

MercadoLibre Inc.(a)

     965       939,553  

Wayfair Inc., Class A(a)(b)

     1,602       123,258  
   

 

 

  
          24,850,493  
IT Services — 4.7%            

Accenture PLC, Class A

     13,103       3,935,617  

Affirm Holdings Inc.(a)(b)

     3,374       96,834  

Akamai Technologies Inc.(a)

     3,376       379,057  

Automatic Data Processing Inc.

     8,693       1,896,639  

Block Inc.(a)(b)

     10,415       1,036,709  

Broadridge Financial Solutions Inc.

     2,398       345,624  

Cloudflare Inc., Class A(a)

     5,772       497,200  

Cognizant Technology Solutions Corp., Class A

     10,938       884,884  

Concentrix Corp.

     910       143,307  

Core Scientific Inc.(a)

     4,749       28,067  

DigitalOcean Holdings Inc.(a)

     364       14,353  

DXC Technology Co.(a)

     5,036       144,533  

EPAM Systems Inc.(a)

     1,173       310,833  

Fidelity National Information Services Inc.

     12,595       1,248,794  

Fiserv Inc.(a)

     12,293       1,203,731  

FleetCor Technologies Inc.(a)

     1,696       423,186  

Gartner Inc.(a)

     1,702       494,516  

Genpact Ltd.

     3,513       141,469  

Global Payments Inc.

     5,921       811,059  

GoDaddy Inc., Class A(a)

     3,465       280,007  

International Business Machines Corp.

     18,592       2,458,048  

Jack Henry & Associates Inc.

     1,492       282,853  

Mastercard Inc., Class A

     17,890       6,500,868  

MongoDB Inc., Class A(a)(b)

     1,393       494,417  

Okta Inc.(a)

     3,108       370,815  

Paychex Inc.

     6,657       843,642  

PayPal Holdings Inc.(a)

     24,144       2,122,982  

Snowflake Inc., Class A(a)

     4,901       840,227  

SS&C Technologies Holdings Inc.

     4,605       297,759  

Thoughtworks Holding Inc.(a)(b)

     755       13,975  

Twilio Inc., Class A(a)

     3,519       393,495  

VeriSign Inc.(a)

     2,024       361,669  

Visa Inc., Class A

     34,380       7,327,409  

Western Union Co. (The)

     8,249       138,253  
   

 

 

  
      36,762,831  
Leisure Products — 0.1%            

Brunswick Corp./DE

     1,615       122,110  

Hasbro Inc.

     2,683       236,265  

Mattel Inc.(a)

     7,247       176,175  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   101

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Leisure Products (continued)

    

Peloton Interactive Inc., Class A(a)(b)

     6,165     $ 108,257  

YETI Holdings Inc.(a)(b)

     1,808       88,357  
   

 

 

  
      731,164  
Life Sciences Tools & Services — 1.8%            

10X Genomics Inc., Class A(a)

     1,877       89,646  

Agilent Technologies Inc.

     6,229       742,933  

Avantor Inc.(a)

     12,603       401,784  

Azenta Inc.

     1,535       115,064  

Bio-Rad Laboratories Inc., Class A(a)

     450       230,427  

Bio-Techne Corp.

     820       311,346  

Bruker Corp.

     2,131       122,511  

Charles River Laboratories International Inc.(a)

     1,033       249,480  

Danaher Corp.

     13,190       3,312,405  

Illumina Inc.(a)

     3,231       958,476  

IQVIA Holdings Inc.(a)

     3,953       861,714  

Mettler-Toledo International Inc.(a)(b)

     476       608,104  

PerkinElmer Inc.

     2,613       383,092  

Repligen Corp.(a)

     1,084       170,448  

Syneos Health Inc., Class A(a)

     2,202       160,944  

Thermo Fisher Scientific Inc.

     8,171       4,517,909  

Waters Corp.(a)

     1,253       379,684  

West Pharmaceutical Services Inc.

     1,524       480,151  
   

 

 

  
          14,096,118  
Machinery — 1.6%            

AGCO Corp.

     1,276       162,562  

Caterpillar Inc.

     11,208       2,359,732  

Cummins Inc.

     2,934       555,083  

Deere & Co.

     5,814       2,195,076  

Donaldson Co. Inc.

     2,629       128,926  

Dover Corp.

     2,972       396,168  

Fortive Corp.

     7,434       427,455  

Graco Inc.

     3,552       220,295  

IDEX Corp.

     1,566       297,258  

Illinois Tool Works Inc.

     5,912       1,165,314  

Ingersoll Rand Inc.

     8,412       369,792  

ITT Inc.

     1,797       126,185  

Lincoln Electric Holdings Inc.

     1,246       167,874  

Middleby Corp. (The)(a)(b)

     1,159       178,359  

Nordson Corp.

     1,105       238,337  

Oshkosh Corp.

     1,346       124,424  

Otis Worldwide Corp.

     8,855       644,998  

PACCAR Inc.

     7,211       598,874  

Parker-Hannifin Corp.

     2,674       724,173  

Pentair PLC

     3,383       171,687  

Snap-on Inc.

     1,104       234,589  

Stanley Black & Decker Inc.

     3,356       403,223  

Toro Co. (The)

     2,216       177,568  

Westinghouse Air Brake Technologies Corp.

     3,833       344,625  

Xylem Inc./NY

     3,739       300,990  
   

 

 

  
      12,713,567  
Media — 0.9%            

Cable One Inc.

     102       118,952  

Charter Communications Inc., Class A(a)

     2,477       1,061,370  

Comcast Corp., Class A

     93,778       3,728,613  

DISH Network Corp., Class A(a)

     5,209       148,509  

Fox Corp., Class A, NVS

     6,559       235,075  

Fox Corp., Class B

     2,973       98,822  

Interpublic Group of Companies Inc. (The)

     8,224       268,267  

Liberty Broadband Corp., Class A(a)

     503       54,153  
Security   Shares     Value  
Media (continued)            

Liberty Broadband Corp., Class C, NVS(a)

     2,922     $ 326,738  

Liberty Media Corp.-Liberty SiriusXM, Class A(a)(b)

     1,528       63,916  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

     3,317       138,916  

New York Times Co. (The), Class A

     3,462       132,664  

News Corp., Class A, NVS

     8,234       163,527  

News Corp., Class B

     2,574       51,248  

Omnicom Group Inc.

     4,343       330,633  

Paramount Global, Class A

     251       7,919  

Paramount Global, Class B, NVS

     12,673       369,038  

Sirius XM Holdings Inc.(b)

     19,327       115,962  
   

 

 

  
      7,414,322  
Metals & Mining — 0.6%            

Alcoa Corp.

     3,771       255,674  

Cleveland-Cliffs Inc.(a)

     9,938       253,319  

Freeport-McMoRan Inc.

     30,443       1,234,463  

Newmont Corp.

     16,580       1,207,853  

Nucor Corp.

     5,656       875,436  

Reliance Steel & Aluminum Co.

     1,276       252,967  

Southern Copper Corp.

     1,795       111,775  

Steel Dynamics Inc.

     3,909       335,197  
   

 

 

  
          4,526,684  
Mortgage Real Estate Investment — 0.1%            

AGNC Investment Corp.

     10,866       119,309  

Annaly Capital Management Inc.

     30,658       196,824  

Starwood Property Trust Inc.

     6,311       144,396  
   

 

 

  
      460,529  
Multi-Utilities — 0.8%            

Ameren Corp.

     5,371       498,966  

CenterPoint Energy Inc.

     13,004       398,053  

CMS Energy Corp.

     5,954       408,980  

Consolidated Edison Inc.

     7,340       680,712  

Dominion Energy Inc.

     16,749       1,367,388  

DTE Energy Co.

     4,016       526,257  

NiSource Inc.

     8,195       238,638  

Public Service Enterprise Group Inc.

     10,488       730,594  

Sempra Energy

     6,625       1,069,010  

WEC Energy Group Inc.

     6,545       654,827  
   

 

 

  
      6,573,425  
Multiline Retail — 0.6%            

Dollar General Corp.

     4,789       1,137,531  

Dollar Tree Inc.(a)

     4,649       755,230  

Kohl’s Corp.

     2,895       167,563  

Macy’s Inc.

     6,289       152,005  

Target Corp.

     9,959       2,277,125  
   

 

 

  
      4,489,454  
Oil, Gas & Consumable Fuels — 3.7%            

APA Corp.

     7,553       309,144  

Cheniere Energy Inc.

     4,889       663,975  

Chevron Corp.

     39,963       6,261,003  

ConocoPhillips

     26,987       2,577,798  

Continental Resources Inc./OK

     1,247       69,296  

Coterra Energy Inc.

     16,787       483,298  

Devon Energy Corp.

     13,067       760,107  

Diamondback Energy Inc.

     3,528       445,339  

EOG Resources Inc.

     12,102       1,413,030  

Exxon Mobil Corp.

     87,763       7,481,796  

Hess Corp.

     5,679       585,335  

Kinder Morgan Inc.

     40,451       734,186  

Marathon Oil Corp.

     16,020       399,218  
 

 

 

102  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Oil, Gas & Consumable Fuels (continued)

    

Marathon Petroleum Corp.

     12,038     $ 1,050,436  

Occidental Petroleum Corp.

     18,413       1,014,372  

ONEOK Inc.

     9,255       586,119  

Ovintiv Inc.

     5,401       276,477  

Phillips 66

     9,695       841,138  

Pioneer Natural Resources Co.

     4,708       1,094,469  

Targa Resources Corp.

     4,752       348,844  

Texas Pacific Land Corp.

     128       174,925  

Valero Energy Corp.

     8,607       959,508  

Williams Companies Inc. (The)

     25,178       863,354  
   

 

 

  
      29,393,167  
Personal Products — 0.2%  

Estee Lauder Companies Inc. (The), Class A

     4,818       1,272,241  

Olaplex Holdings Inc.(a)(b)

     1,477       21,712  
   

 

 

  
      1,293,953  
Pharmaceuticals — 4.0%            

Bristol-Myers Squibb Co.

     45,187       3,401,225  

Catalent Inc.(a)

     3,725       337,336  

Elanco Animal Health Inc.(a)

     9,677       244,925  

Eli Lilly & Co.

     16,461       4,808,752  

Jazz Pharmaceuticals PLC(a)

     1,273       203,960  

Johnson & Johnson

     54,575       9,848,605  

Merck & Co. Inc.

     52,364       4,644,163  

Organon & Co.

     5,243       169,506  

Pfizer Inc.

     116,358       5,709,687  

Royalty Pharma PLC, Class A

     7,347       312,835  

Viatris Inc.

     24,847       256,670  

Zoetis Inc.

     9,795       1,736,164  
   

 

 

  
          31,673,828  
Professional Services — 0.4%            

Booz Allen Hamilton Holding Corp.

     2,815       229,788  

Clarivate PLC(a)(b)

     8,279       129,815  

CoStar Group Inc.(a)

     8,200       521,684  

Dun & Bradstreet Holdings Inc.(a)

     2,908       45,917  

Equifax Inc.

     2,530       514,906  

Jacobs Engineering Group Inc.

     2,673       370,344  

Leidos Holdings Inc.

     2,931       303,388  

Nielsen Holdings PLC

     7,444       199,574  

Robert Half International Inc.

     2,277       223,852  

TransUnion

     3,973       347,717  

Verisk Analytics Inc.

     3,326       678,670  
   

 

 

  
      3,565,655  
Real Estate Management & Development — 0.1%  

CBRE Group Inc., Class A(a)

     6,975       579,204  

Jones Lang LaSalle Inc.(a)

     1,029       225,073  

Opendoor Technologies Inc.(a)(b)

     7,897       55,200  

Zillow Group Inc., Class A(a)

     785       30,340  

Zillow Group Inc., Class C, NVS(a)(b)

     3,507       139,649  
   

 

 

  
      1,029,466  
Road & Rail — 1.1%            

AMERCO

     199       106,560  

Avis Budget Group Inc.(a)

     829       221,898  

CSX Corp.

     46,108       1,583,349  

JB Hunt Transport Services Inc.

     1,760       300,696  

Knight-Swift Transportation Holdings Inc.

     3,450       165,220  

Lyft Inc., Class A(a)

     6,246       203,620  

Norfolk Southern Corp.

     4,984       1,285,274  

Old Dominion Freight Line Inc.

     1,946       545,113  

Saia Inc.(a)

     544       112,042  
Security   Shares     Value  
Road & Rail (continued)            

TuSimple Holdings Inc., Class A(a)(b)

     692     $ 7,176  

Uber Technologies Inc.(a)

     34,497       1,085,966  

Union Pacific Corp.

     13,202       3,093,097  

XPO Logistics Inc.(a)

     1,996       107,365  
   

 

 

  
      8,817,376  
Semiconductors & Semiconductor Equipment — 5.2%  

Advanced Micro Devices Inc.(a)

     33,892       2,898,444  

Analog Devices Inc.

     10,922       1,686,138  

Applied Materials Inc.

     18,397       2,030,109  

Broadcom Inc.

     8,559       4,745,024  

Enphase Energy Inc.(a)

     2,777       448,208  

Entegris Inc.

     2,784       310,110  

First Solar Inc.(a)

     2,058       150,296  

Intel Corp.

     84,413       3,679,563  

KLA Corp.

     3,138       1,001,838  

Lam Research Corp.

     2,902       1,351,636  

Lattice Semiconductor Corp.(a)

     2,834       136,145  

Marvell Technology Inc.

     17,542       1,018,839  

Microchip Technology Inc.

     11,587       755,472  

Micron Technology Inc.

     23,165       1,579,621  

MKS Instruments Inc.

     1,153       131,419  

Monolithic Power Systems Inc.

     893       350,270  

NVIDIA Corp.

     51,827       9,612,354  

NXP Semiconductors NV

     5,498       939,608  

ON Semiconductor Corp.(a)

     8,919       464,769  

Qorvo Inc.(a)

     2,227       253,388  

QUALCOMM Inc.

     23,365       3,263,857  

Skyworks Solutions Inc.

     3,373       382,161  

SolarEdge Technologies Inc.(a)

     1,090       272,947  

Teradyne Inc.

     3,383       356,771  

Texas Instruments Inc.

     19,146       3,259,606  

Universal Display Corp.

     912       116,490  

Wolfspeed Inc.(a)(b)

     2,570       235,695  
   

 

 

  
          41,430,778  
Software — 9.4%            

Adobe Inc.(a)(b)

     9,780       3,872,391  

Anaplan Inc.(a)

     2,984       193,930  

ANSYS Inc.(a)

     1,802       496,793  

AppLovin Corp., Class A(a)(b)

     734       28,002  

Asana Inc., Class A(a)(b)

     1,673       44,836  

Aspen Technology Inc.(a)

     1,370       217,200  

Autodesk Inc.(a)

     4,574       865,767  

Avalara Inc.(a)

     1,800       136,926  

Bentley Systems Inc., Class B

     3,805       161,294  

Bill.com Holdings Inc.(a)(b)

     1,929       329,300  

Black Knight Inc.(a)

     3,185       209,541  

Braze Inc.(a)

     228       9,163  

Cadence Design Systems Inc.(a)

     5,739       865,728  

Ceridian HCM Holding Inc.(a)

     2,892       162,328  

Citrix Systems Inc.

     2,605       260,761  

Coupa Software Inc.(a)

     1,523       131,435  

Crowdstrike Holdings Inc., Class A(a)

     4,326       859,836  

Cvent Holding Corp.(a)

     1,400       9,856  

Datadog Inc., Class A(a)

     5,320       642,550  

Digital Turbine Inc.(a)(b)

     1,815       57,445  

DocuSign Inc.(a)

     4,108       332,748  

Dropbox Inc., Class A(a)

     5,863       127,520  

Dynatrace Inc.(a)

     4,066       155,972  

Elastic NV(a)

     1,486       113,144  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   103

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar U.S. Equity ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Software (continued)

    

Fair Isaac Corp.(a)

     546     $ 203,937  

Five9 Inc.(a)

     1,418       156,122  

Fortinet Inc.(a)

     2,819       814,719  

Guidewire Software Inc.(a)(b)

     1,700       147,798  

HubSpot Inc.(a)(b)

     929       352,491  

Intuit Inc.

     5,871       2,458,481  

Manhattan Associates Inc.(a)

     1,317       171,934  

Microsoft Corp.

     155,414       43,130,493  

NortonLifeLock Inc.

     11,963       299,554  

Oracle Corp.

     32,645       2,396,143  

Palantir Technologies Inc., Class A(a)

     33,115       344,396  

Palo Alto Networks Inc.(a)

     2,053       1,152,308  

Paycom Software Inc.(a)

     991       278,937  

Paylocity Holding Corp.(a)

     801       151,894  

Pegasystems Inc.

     836       64,029  

PTC Inc.(a)

     2,171       247,950  

RingCentral Inc., Class A(a)

     1,667       141,445  

Roper Technologies Inc.

     2,184       1,026,305  

salesforce.com Inc.(a)

     20,418       3,592,343  

Samsara Inc.(a)(b)

     801       9,884  

ServiceNow Inc.(a)

     4,143       1,980,768  

Smartsheet Inc., Class A(a)

     2,602       125,755  

Splunk Inc.(a)

     3,300       402,666  

Synopsys Inc.(a)

     3,175       910,558  

Trade Desk Inc. (The), Class A(a)

     9,007       530,692  

Tyler Technologies Inc.(a)

     844       333,135  

UiPath Inc., Class A(a)

     5,351       95,408  

Unity Software Inc.(a)(b)

     3,409       226,392  

VMware Inc., Class A

     4,205       454,308  

Workday Inc., Class A(a)(b)

     4,014       829,694  

Zendesk Inc.(a)

     2,556       311,934  

Zoom Video Communications Inc., Class A(a)

     4,535       451,550  

Zscaler Inc.(a)

     1,653       335,129  
   

 

 

  
          74,413,618  
Specialty Retail — 2.1%            

Advance Auto Parts Inc.

     1,300       259,519  

AutoNation Inc.(a)(b)

     827       95,858  

AutoZone Inc.(a)

     425       831,075  

Bath & Body Works Inc.

     5,401       285,659  

Best Buy Co. Inc.

     4,502       404,865  

Burlington Stores Inc.(a)

     1,377       280,302  

CarMax Inc.(a)(b)

     3,393       291,051  

Carvana Co., Class A(a)

     1,758       101,894  

Five Below Inc.(a)

     1,150       180,665  

Floor & Decor Holdings Inc., Class A(a)

     2,198       175,225  

GameStop Corp., Class A(a)(b)

     1,285       160,715  

Gap Inc. (The)

     4,324       53,704  

Home Depot Inc. (The)

     21,648       6,503,059  

Lithia Motors Inc.

     623       176,390  

Lowe’s Companies Inc.

     13,969       2,762,090  

O’Reilly Automotive Inc.(a)

     1,394       845,531  

Penske Automotive Group Inc.

     634       66,456  

RH(a)

     355       119,323  

Ross Stores Inc.

     7,311       729,418  

TJX Companies Inc. (The)

     24,730       1,515,454  

Tractor Supply Co.

     2,354       474,213  

Ulta Beauty, Inc.(a)

     1,116       442,829  

Williams-Sonoma Inc.

     1,502       195,981  
   

 

 

  
      16,951,276  
Security   Shares     Value  

 

  
Technology Hardware, Storage & Peripherals — 6.7%  

Apple Inc.

     321,395     $ 50,667,922  

Dell Technologies Inc., Class C

     6,012       282,624  

Hewlett Packard Enterprise Co.

     26,618       410,184  

HP Inc.

     22,508       824,468  

NetApp Inc.

     4,617       338,195  

Seagate Technology Holdings PLC

     4,144       339,974  

Western Digital Corp.(a)

     6,519       345,963  
   

 

 

  
          53,209,330  
Textiles, Apparel & Luxury Goods — 0.7%  

Capri Holdings Ltd.(a)

     3,150       150,255  

Crocs Inc.(a)

     1,220       81,045  

Deckers Outdoor Corp.(a)

     573       152,275  

Lululemon Athletica Inc.(a)

     2,428       861,042  

Nike Inc., Class B

     26,456       3,299,063  

PVH Corp.

     1,487       108,224  

Tapestry Inc.

     5,487       180,632  

Under Armour Inc., Class A(a)

     3,921       60,226  

Under Armour Inc., Class C, NVS(a)

     4,626       65,643  

VF Corp.

     6,684       347,568  
   

 

 

  
      5,305,973  
Tobacco — 0.7%            

Altria Group Inc.

     37,738       2,097,101  

Philip Morris International Inc.

     32,129       3,212,900  
   

 

 

  
      5,310,001  
Trading Companies & Distributors — 0.2%  

Fastenal Co.

     11,930       659,848  

SiteOne Landscape Supply Inc.(a)(b)

     929       131,017  

United Rentals Inc.(a)

     1,512       478,578  

Watsco Inc.

     692       184,612  

WW Grainger Inc.

     896       448,027  
   

 

 

  
      1,902,082  
Water Utilities — 0.1%            

American Water Works Co. Inc.

     3,760       579,341  

Essential Utilities Inc.

     4,758       212,968  
   

 

 

  
      792,309  
Wireless Telecommunication Services — 0.2%  

T-Mobile U.S. Inc.(a)

     12,165       1,497,998  
   

 

 

  

Total Common Stocks — 99.7%
(Cost: $717,399,921)

 

     788,024,462  
   

 

 

  

Short-Term Investments

    

Money Market Funds — 2.2%

    

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     15,484,927       15,484,927  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     1,733,000       1,733,000  
   

 

 

  
      17,217,927  
   

 

 

  

Total Short-Term Investments — 2.2%
(Cost: $17,215,283)

 

     17,217,927  
   

 

 

  

Total Investments in Securities — 101.9%
(Cost: $734,615,204)

 

     805,242,389  

Other Assets, Less Liabilities — (1.9)%

 

     (14,928,821 ) 
   

 

 

  

Net Assets — 100.0%

     $ 790,313,568  
   

 

 

  

 

(a)

Non-income producing security

 

 

 

104  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar U.S. Equity ETF

 

(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 the cash collateral from loaned securities.

    

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer  

Value at

04/30/21

     

Purchases

at Cost

    

Proceeds

from Sales

    

Net Realized

Gain (Loss)

    

Change in

Unrealized

Appreciation

(Depreciation)

    

Value at

04/30/22

     

Shares

Held at

04/30/22

      Income    

Capital

Gain

Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

   $ 17,348,833      $ —     $ (1,859,120 )(a)    $ (8,374 )    $ 3,588     $ 15,484,927        15,484,927      $ 36,663 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

     1,623,000        110,000 (a)      —       —       —       1,733,000        1,733,000        890       —  

BlackRock Inc.

     2,693,039        33,948       (312,244 )      159,999       (728,188 )      1,846,554        2,956        53,706       —  
        

 

 

    

 

 

    

 

 

        

 

 

    

 

 

  
         $ 151,625     $ (724,600 )    $ 19,064,481         $ 91,259     $ —  
        

 

 

    

 

 

    

 

 

        

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description  

Number of

Contracts

     

Expiration

Date

     

Notional

Amount

(000)

     

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

           

S&P 500 E-Mini Index

     11        06/17/22      $ 2,270      $ (118,745 ) 
          

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
   

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

   $ 118,745   
 

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   105

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar U.S. Equity ETF

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
    

Equity

Contracts

  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 101,634  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (188,010 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 2,176,645      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 788,024,462        $                     —        $                     —        $ 788,024,462  

Money Market Funds

      17,217,927          —          —          17,217,927  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 805,242,389        $ —        $ —        $ 805,242,389  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                  

Liabilities

                  

Futures Contracts

    $ (118,745 )       $ —        $ —        $ (118,745 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

106  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    

Aerospace & Defense — 2.4%

    

Boeing Co. (The)(a)

     20,767     $ 3,090,960  

General Dynamics Corp.

     8,745       2,068,455  

Huntington Ingalls Industries Inc.

     880       187,211  

L3Harris Technologies Inc.

     7,448       1,729,872  

Lockheed Martin Corp.

     9,180       3,966,862  

Northrop Grumman Corp.

     5,565       2,445,261  

Raytheon Technologies Corp.

     56,525       5,364,788  

Textron Inc.

     2,594       179,634  

Woodward Inc.

     864       95,455  
   

 

 

  
      19,128,498  
Air Freight & Logistics — 0.8%            

CH Robinson Worldwide Inc.

     3,189       338,512  

Expeditors International of Washington Inc.

     2,720       269,471  

FedEx Corp.

     9,214       1,831,190  

GXO Logistics Inc.(a)

     1,289       76,296  

United Parcel Service Inc., Class B

     20,094       3,616,518  
   

 

 

  
      6,131,987  
Airlines — 0.4%            

American Airlines Group Inc.(a)(b)

     24,725       464,088  

Delta Air Lines Inc.(a)

     24,225       1,042,402  

Southwest Airlines Co.(a)

     22,407       1,046,855  

United Airlines Holdings Inc.(a)

     12,333       622,817  
   

 

 

  
      3,176,162  
Auto Components — 0.2%            

Aptiv PLC(a)

     5,879       625,526  

Autoliv Inc.

     2,955       217,724  

BorgWarner Inc.

     9,002       331,544  

Gentex Corp.

     4,694       137,769  

Lear Corp.

     1,014       129,731  
   

 

 

  
          1,442,294  
Automobiles — 0.5%            

Ford Motor Co.

     149,216       2,112,899  

General Motors Co.(a)

     55,130       2,089,978  
   

 

 

  
      4,202,877  
Banks — 6.0%            

Bank of America Corp.

     269,246       9,606,697  

Citigroup Inc.

     75,170       3,623,946  

Citizens Financial Group Inc.

     18,703       736,898  

Comerica Inc.

     4,920       402,948  

Commerce Bancshares Inc.

     4,167       284,898  

Cullen/Frost Bankers Inc.

     2,131       281,910  

East West Bancorp. Inc.

     5,330       380,029  

Fifth Third Bancorp.

     25,844       969,925  

First Horizon Corp.

     20,307       454,471  

First Republic Bank/CA

     1,929       287,845  

Huntington Bancshares Inc./OH

     54,283       713,821  

JPMorgan Chase & Co.

     111,936       13,360,681  

KeyCorp.

     35,272       681,102  

M&T Bank Corp.

     6,774       1,128,819  

PNC Financial Services Group Inc. (The)

     9,702       1,611,502  

Regions Financial Corp.

     18,698       387,423  

Signature Bank/New York NY

     958       232,075  

SVB Financial Group(a)

     818       398,890  

Truist Financial Corp.

     50,616       2,447,284  

U.S. Bancorp.

     51,207       2,486,612  

Wells Fargo & Co.

     147,182       6,421,551  

Western Alliance Bancorp.

     1,953       148,643  
Security   Shares     Value  

Banks (continued)

    

Zions Bancorp. NA

     5,731     $ 323,859  
   

 

 

  
      47,371,829  
Beverages — 2.8%            

Coca-Cola Co. (The)

     147,245       9,513,499  

Constellation Brands Inc., Class A

     6,233       1,533,879  

Keurig Dr Pepper Inc.

     27,901       1,043,497  

Molson Coors Beverage Co., Class B

     7,073       382,932  

Monster Beverage Corp.(a)

     6,086       521,449  

PepsiCo Inc.

     52,401       8,997,776  
   

 

 

  
      21,993,032  
Biotechnology — 3.2%            

AbbVie Inc.

     66,962       9,835,379  

Amgen Inc.

     21,335       4,975,109  

Biogen Inc.(a)

     5,557       1,152,744  

Gilead Sciences Inc.

     47,545       2,821,320  

Mirati Therapeutics Inc.(a)

     666       41,152  

Moderna Inc.(a)

     13,333       1,792,088  

Novavax Inc.(a)(b)

     1,537       69,273  

Regeneron Pharmaceuticals Inc.(a)

     4,045       2,666,100  

United Therapeutics Corp.(a)

     1,691       300,254  

Vertex Pharmaceuticals Inc.(a)

     4,152       1,134,409  
   

 

 

  
          24,787,828  
Building Products — 0.6%            

A O Smith Corp.

     2,171       126,852  

Allegion PLC

     1,637       187,011  

Builders FirstSource Inc.(a)(b)

     7,302       449,584  

Carlisle Companies Inc.

     762       197,632  

Carrier Global Corp.

     24,016       919,092  

Fortune Brands Home & Security Inc.

     2,562       182,543  

Johnson Controls International PLC

     17,437       1,043,953  

Lennox International Inc.

     503       107,235  

Masco Corp.

     4,412       232,468  

Owens Corning

     2,122       192,953  

Trane Technologies PLC

     5,067       708,823  
   

 

 

  
      4,348,146  
Capital Markets — 3.8%            

Ameriprise Financial Inc.

     4,192       1,112,934  

Bank of New York Mellon Corp. (The)

     28,113       1,182,433  

BlackRock Inc.(c)

     5,390       3,367,025  

Blackstone Inc., NVS

     11,901       1,208,785  

Charles Schwab Corp. (The)

     25,236       1,673,904  

CME Group Inc.

     13,621       2,987,630  

Franklin Resources Inc.

     10,547       259,351  

Goldman Sachs Group Inc. (The)

     12,858       3,927,990  

Intercontinental Exchange Inc.

     13,952       1,615,781  

Invesco Ltd.

     12,816       235,558  

Jefferies Financial Group Inc.

     7,373       226,794  

KKR & Co. Inc.

     15,484       789,220  

Moody’s Corp.

     2,511       794,681  

Morgan Stanley

     53,694       4,327,200  

Nasdaq Inc.

     1,590       250,218  

Northern Trust Corp.

     7,865       810,488  

Raymond James Financial Inc.

     3,201       311,969  

S&P Global Inc.

     7,468       2,811,702  

SEI Investments Co.

     2,089       116,399  

State Street Corp.

     13,808       924,722  

T Rowe Price Group Inc.

     8,700       1,070,448  
   

 

 

  
      30,005,232  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   107

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Chemicals — 2.4%

    

Air Products and Chemicals Inc.

     6,495     $ 1,520,285  

Axalta Coating Systems Ltd.(a)(b)

     3,792       96,203  

Celanese Corp.

     1,905       279,921  

CF Industries Holdings Inc.

     8,160       790,133  

Corteva Inc.

     13,234       763,469  

Dow Inc.

     27,901       1,855,416  

DuPont de Nemours Inc.

     19,387       1,278,185  

Eastman Chemical Co.

     4,897       502,775  

Ecolab Inc.

     5,711       967,101  

FMC Corp.

     4,827       639,771  

International Flavors & Fragrances Inc.

     9,616       1,166,421  

Linde PLC

     13,362       4,168,409  

LyondellBasell Industries NV, Class A

     9,960       1,056,059  

Mosaic Co. (The)

     14,078       878,749  

Olin Corp.

     2,650       152,110  

PPG Industries Inc.

     5,142       658,124  

RPM International Inc.

     3,328       275,891  

Scotts Miracle-Gro Co. (The)

     777       80,754  

Sherwin-Williams Co. (The)

     6,120       1,682,755  

Westlake Corp.

     545       68,970  
   

 

 

  
          18,881,501  
Commercial Services & Supplies — 0.4%            

Cintas Corp.

     2,036       808,822  

IAA Inc.(a)

     1,899       69,598  

Republic Services Inc.

     4,186       562,054  

Waste Management Inc.

     9,054       1,488,840  
   

 

 

  
      2,929,314  
Communications Equipment — 1.2%            

Ciena Corp.(a)

     3,328       183,606  

Cisco Systems Inc.

     159,750       7,824,555  

F5 Inc.(a)

     1,224       204,910  

Juniper Networks Inc.

     12,212       384,922  

Motorola Solutions Inc.

     3,053       652,395  
   

 

 

  
      9,250,388  
Construction & Engineering — 0.1%            

AECOM

     2,572       181,480  

Quanta Services Inc.

     2,850       330,543  
   

 

 

  
      512,023  
Construction Materials — 0.0%            

Martin Marietta Materials Inc.

     858       303,921  
   

 

 

  
Consumer Finance — 0.7%            

Ally Financial Inc.

     6,865       274,325  

American Express Co.

     12,137       2,120,455  

Capital One Financial Corp.

     15,646       1,949,805  

Credit Acceptance Corp.(a)(b)

     99       50,738  

Discover Financial Services

     6,289       707,261  

Synchrony Financial

     19,787       728,359  
   

 

 

  
      5,830,943  
Containers & Packaging — 0.6%            

Amcor PLC

     57,566       682,733  

AptarGroup Inc.

     1,479       169,834  

Avery Dennison Corp.

     954       172,292  

Ball Corp.

     3,803       308,652  

Berry Global Group Inc.(a)

     5,081       286,314  

Crown Holdings Inc.

     4,803       528,522  

International Paper Co.

     14,718       681,149  

Packaging Corp. of America

     3,617       582,952  

Sealed Air Corp.

     5,564       357,264  
Security   Shares     Value  

Containers & Packaging (continued)

    

Westrock Co.

     10,023     $ 496,439  
   

 

 

  
      4,266,151  
Distributors — 0.1%            

Genuine Parts Co.

     5,412       703,831  

LKQ Corp.

     4,837       240,060  
   

 

 

  
      943,891  
Diversified Consumer Services — 0.0%            

Service Corp. International

     3,391       222,484  
   

 

 

  
Diversified Financial Services — 1.9%            

Apollo Global Management Inc.

     4,016       199,836  

Berkshire Hathaway Inc., Class B(a)

     43,059       13,900,737  

Equitable Holdings Inc.

     14,405       415,296  

Voya Financial Inc.

     2,276       143,707  
   

 

 

  
      14,659,576  
Diversified Telecommunication Services — 1.6%        

AT&T Inc.

     270,479       5,101,234  

Lumen Technologies Inc.

     34,596       348,036  

Verizon Communications Inc.

     159,007       7,362,024  
   

 

 

  
          12,811,294  
Electric Utilities — 3.0%            

Alliant Energy Corp.

     9,532       560,577  

American Electric Power Co. Inc.

     19,111       1,894,091  

Avangrid Inc.

     2,549       113,048  

Duke Energy Corp.

     29,147       3,210,834  

Edison International

     14,403       990,782  

Entergy Corp.

     7,624       906,112  

Evergy Inc.

     8,732       592,466  

Eversource Energy

     13,006       1,136,724  

Exelon Corp.

     37,157       1,738,205  

FirstEnergy Corp.

     21,643       937,358  

NextEra Energy Inc.

     74,320       5,278,207  

NRG Energy Inc.

     5,232       187,829  

PG&E Corp.(a)

     57,329       725,212  

Pinnacle West Capital Corp.

     4,232       301,318  

PPL Corp.

     28,473       806,071  

Southern Co. (The)

     40,169       2,948,003  

Xcel Energy Inc.

     20,343       1,490,328  
   

 

 

  
      23,817,165  
Electrical Equipment — 0.8%            

AMETEK Inc.

     3,952       498,979  

Eaton Corp. PLC

     15,122       2,192,992  

Emerson Electric Co.

     22,538       2,032,477  

Hubbell Inc.

     1,326       259,047  

Plug Power Inc.(a)(b)

     7,786       163,662  

Regal Rexnord Corp.

     2,590       329,552  

Rockwell Automation Inc.

     1,417       358,033  

Sensata Technologies Holding PLC(a)

     5,946       270,008  

Sunrun Inc.(a)(b)

     2,568       51,309  
   

 

 

  
      6,156,059  
Electronic Equipment, Instruments & Components — 0.5%  

Amphenol Corp., Class A

     12,616       902,044  

Arrow Electronics Inc.(a)

     2,551       300,661  

CDW Corp./DE

     1,979       322,933  

Corning Inc.

     15,342       539,885  

Flex Ltd.(a)(b)

     17,672       291,411  

Jabil Inc.

     5,381       310,645  
 

 

 

108  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Electronic Equipment, Instruments & Components (continued)

 

TE Connectivity Ltd.

     12,306     $ 1,535,543  
   

 

 

  
      4,203,122  
Energy Equipment & Services — 0.4%            

Baker Hughes Co.

     18,100       561,462  

Halliburton Co.

     15,204       541,567  

Schlumberger NV

     53,047       2,069,363  
   

 

 

  
      3,172,392  
Entertainment — 0.6%            

Activision Blizzard Inc.

     18,398       1,390,889  

AMC Entertainment Holdings Inc., Class A(a)(b)

     10,988       168,116  

Electronic Arts Inc.

     7,296       861,293  

Liberty Media Corp.-Liberty Formula One, Class A(a)(b)

     294       16,882  

Liberty Media Corp.-Liberty Formula One, Class C, NVS(a)

     2,672       166,546  

Live Nation Entertainment Inc.(a)(b)

     3,501       367,185  

Playtika Holding Corp.(a)

     2,014       35,406  

Take-Two Interactive Software Inc.(a)

     1,230       146,997  

Warner Bros. Discovery Inc.(a)

     83,761       1,520,262  

Zynga Inc., Class A(a)

     19,593       162,034  
   

 

 

  
          4,835,610  
Equity Real Estate Investment Trusts (REITs) — 3.4%        

Alexandria Real Estate Equities Inc.

     2,408       438,641  

American Homes 4 Rent, Class A

     4,121       163,233  

American Tower Corp.

     7,840       1,889,597  

Americold Realty Trust

     5,971       157,515  

Apartment Income REIT Corp.

     5,892       289,710  

AvalonBay Communities Inc.

     3,569       811,876  

Boston Properties Inc.

     5,403       635,393  

Camden Property Trust

     2,175       341,236  

Crown Castle International Corp.

     8,688       1,609,104  

CubeSmart

     3,369       160,061  

Digital Realty Trust Inc.

     6,812       995,369  

Equinix Inc.

     1,261       906,760  

Equity LifeStyle Properties Inc.

     2,415       186,631  

Equity Residential

     8,492       692,098  

Essex Property Trust Inc.

     1,578       519,588  

Extra Space Storage Inc.

     1,987       377,530  

Federal Realty Investment Trust

     1,478       173,015  

Gaming and Leisure Properties Inc.

     8,914       395,603  

Healthpeak Properties Inc.

     14,070       461,637  

Host Hotels & Resorts Inc.

     17,405       354,192  

Iron Mountain Inc.

     11,024       592,320  

Kilroy Realty Corp.

     1,760       123,200  

Kimco Realty Corp.

     23,483       594,824  

Lamar Advertising Co., Class A

     2,157       238,154  

Life Storage Inc.

     1,221       161,770  

Medical Properties Trust Inc.

     22,389       411,734  

Mid-America Apartment Communities Inc.

     2,294       451,184  

National Retail Properties Inc.

     6,593       289,037  

Prologis Inc.

     17,675       2,833,126  

Public Storage

     4,072       1,512,748  

Realty Income Corp.

     13,918       965,352  

Regency Centers Corp.

     3,671       252,675  

Simon Property Group Inc.

     12,411       1,464,498  

STORE Capital Corp.

     6,463       183,743  

UDR Inc.

     6,422       341,715  

Ventas Inc.

     15,152       841,694  

VICI Properties Inc.

     31,923       951,625  

Vornado Realty Trust

     3,904       151,124  

Welltower Inc.

     10,935       993,007  
Security   Shares     Value  

Equity Real Estate Investment Trusts (REITs) (continued)

 

Weyerhaeuser Co.

     28,324     $ 1,167,515  

WP Carey Inc.

     7,235       584,371  
   

 

 

  
      26,664,205  
Food & Staples Retailing — 2.4%            

Albertsons Companies Inc., Class A

     3,913       122,399  

Costco Wholesale Corp.

     10,834       5,760,654  

Kroger Co. (The)

     25,396       1,370,368  

Sysco Corp.

     19,181       1,639,592  

U.S. Foods Holding Corp.(a)

     8,362       314,578  

Walgreens Boots Alliance Inc.

     27,144       1,150,906  

Walmart Inc.

     53,584       8,197,816  
   

 

 

  
          18,556,313  
Food Products — 1.8%            

Archer-Daniels-Midland Co.

     21,144       1,893,657  

Bunge Ltd.

     5,349       605,079  

Campbell Soup Co.

     7,598       358,778  

Conagra Brands Inc.

     18,240       637,123  

Darling Ingredients Inc.(a)(b)

     3,398       249,379  

General Mills Inc.

     22,866       1,617,312  

Hershey Co. (The)

     2,580       582,487  

Hormel Foods Corp.

     10,745       562,930  

JM Smucker Co. (The)

     4,129       565,384  

Kellogg Co.

     9,744       667,464  

Kraft Heinz Co. (The)

     26,882       1,145,980  

Lamb Weston Holdings Inc.

     3,154       208,479  

McCormick & Co. Inc./MD, NVS

     5,686       571,841  

Mondelez International Inc., Class A

     52,603       3,391,841  

Tyson Foods Inc., Class A

     11,055       1,029,884  
   

 

 

  
      14,087,618  
Gas Utilities — 0.1%            

Atmos Energy Corp.

     5,141       582,990  

UGI Corp.

     7,848       269,186  
   

 

 

  
      852,176  
Health Care Equipment & Supplies — 2.2%            

Abbott Laboratories

     36,486       4,141,161  

Baxter International Inc.

     10,768       765,174  

Becton Dickinson and Co.

     10,796       2,668,663  

Boston Scientific Corp.(a)

     38,623       1,626,415  

DENTSPLY SIRONA Inc.

     3,496       139,805  

Hologic Inc.(a)

     3,880       279,321  

Medtronic PLC

     50,928       5,314,846  

Stryker Corp.

     8,740       2,108,613  

Zimmer Biomet Holdings Inc.

     4,692       566,559  
   

 

 

  
      17,610,557  
Health Care Providers & Services — 5.4%            

AmerisourceBergen Corp.

     5,726       866,287  

Anthem Inc.

     9,193       4,614,242  

Cardinal Health Inc.

     10,440       606,042  

Centene Corp.(a)

     22,053       1,776,369  

Chemed Corp.

     276       135,624  

Cigna Corp.

     12,208       3,012,690  

CVS Health Corp.

     49,714       4,779,007  

DaVita Inc.(a)

     2,339       253,477  

HCA Healthcare Inc.

     9,053       1,942,321  

Henry Schein Inc.(a)

     5,299       429,749  

Humana Inc.

     4,876       2,167,675  

Laboratory Corp. of America Holdings(a)

     3,533       848,909  

McKesson Corp.

     5,684       1,759,823  

Molina Healthcare Inc.(a)

     922       289,001  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   109

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Health Care Providers & Services (continued)

    

Quest Diagnostics Inc.

     4,517     $ 604,555  

UnitedHealth Group Inc.

     35,674       18,142,013  

Universal Health Services Inc., Class B

     2,741       335,855  
   

 

 

  
      42,563,639  
Health Care Technology — 0.1%            

Cerner Corp.

     6,453       604,259  

Teladoc Health Inc.(a)(b)

     3,694       124,709  
   

 

 

  
      728,968  
Hotels, Restaurants & Leisure — 1.3%            

Aramark

     9,802       355,323  

Carnival Corp.(a)

     30,574       528,930  

Darden Restaurants Inc.

     3,305       435,368  

Expedia Group Inc.(a)

     5,703       996,599  

Las Vegas Sands Corp.(a)

     12,917       457,649  

McDonald’s Corp.

     16,517       4,115,376  

MGM Resorts International

     8,806       361,398  

Norwegian Cruise Line Holdings Ltd.(a)(b)

     15,824       316,955  

Royal Caribbean Cruises Ltd.(a)

     8,519       662,182  

Starbucks Corp.

     21,737       1,622,450  

Wynn Resorts Ltd.(a)(b)

     3,950       278,396  

Yum! Brands Inc.

     3,340       390,813  
   

 

 

  
          10,521,439  
Household Durables — 0.4%            

DR Horton Inc.

     5,622       391,235  

Garmin Ltd.

     2,568       281,812  

Lennar Corp., Class A

     9,921       758,857  

Lennar Corp., Class B

     597       38,924  

Mohawk Industries Inc.(a)

     2,053       289,596  

Newell Brands Inc.

     14,211       328,985  

NVR Inc.(a)

     57       249,444  

PulteGroup Inc.

     9,518       397,472  

Toll Brothers Inc.

     4,298       199,298  

Whirlpool Corp.

     2,230       404,790  
   

 

 

  
      3,340,413  
Household Products — 2.5%            

Church & Dwight Co. Inc.

     4,549       443,801  

Clorox Co. (The)

     4,670       670,005  

Colgate-Palmolive Co.

     31,958       2,462,364  

Kimberly-Clark Corp.

     12,774       1,773,414  

Procter & Gamble Co. (The)

     90,793       14,576,816  
   

 

 

  
      19,926,400  
Independent Power and Renewable Electricity Producers — 0.1%  

AES Corp. (The)

     25,424       519,158  

Vistra Corp.

     18,114       453,212  
   

 

 

  
      972,370  
Industrial Conglomerates — 1.4%            

3M Co.

     21,643       3,121,354  

General Electric Co.

     41,656       3,105,455  

Honeywell International Inc.

     25,977       5,026,809  
   

 

 

  
      11,253,618  
Insurance — 3.3%            

Aflac Inc.

     22,776       1,304,609  

Alleghany Corp.(a)

     253       211,635  

Allstate Corp. (The)

     10,653       1,348,031  

American Financial Group Inc./OH

     2,539       351,601  

American International Group Inc.

     31,383       1,836,219  

Aon PLC, Class A

     4,895       1,409,711  

Arch Capital Group Ltd.(a)

     7,391       337,547  
Security   Shares     Value  

Insurance (continued)

    

Arthur J Gallagher & Co.

     2,859     $ 481,713  

Assurant Inc.

     2,141       389,405  

Chubb Ltd.

     16,320       3,369,264  

Cincinnati Financial Corp.

     2,467       302,602  

Erie Indemnity Co., Class A, NVS

     432       69,241  

Everest Re Group Ltd.

     787       216,197  

Fidelity National Financial Inc.

     10,848       431,967  

First American Financial Corp.

     2,383       138,953  

Globe Life Inc.

     3,485       341,809  

Hartford Financial Services Group Inc. (The)

     12,712       888,950  

Lincoln National Corp.

     6,251       375,998  

Loews Corp.

     7,397       464,827  

Markel Corp.(a)

     519       702,352  

Marsh & McLennan Companies Inc.

     10,875       1,758,488  

MetLife Inc.

     26,636       1,749,452  

Old Republic International Corp.

     10,719       235,925  

Principal Financial Group Inc.

     9,221       628,319  

Progressive Corp. (The)

     22,165       2,379,634  

Prudential Financial Inc.

     14,350       1,557,119  

Reinsurance Group of America Inc.

     2,535       272,056  

Travelers Companies Inc. (The)

     9,156       1,566,225  

W R Berkley Corp.

     2,887       191,957  

Willis Towers Watson PLC

     2,543       546,389  
   

 

 

  
      25,858,195  
Interactive Media & Services — 0.9%            

IAC/InterActiveCorp.(a)(b)

     1,450       120,176  

Match Group Inc.(a)

     6,457       511,072  

Meta Platforms Inc, Class A(a)

     30,460       6,106,316  

Twitter Inc.(a)

     10,958       537,161  
   

 

 

  
      7,274,725  
Internet & Direct Marketing Retail — 0.2%            

DoorDash Inc., Class A(a)

     1,721       140,141  

eBay Inc.

     23,646       1,227,700  
   

 

 

  
      1,367,841  
IT Services — 3.5%            

Accenture PLC, Class A

     14,348       4,309,565  

Akamai Technologies Inc.(a)

     3,542       397,696  

Automatic Data Processing Inc.

     10,355       2,259,254  

Broadridge Financial Solutions Inc.

     1,367       197,026  

Cognizant Technology Solutions Corp., Class A

     19,847       1,605,622  

Concentrix Corp.

     509       80,157  

DXC Technology Co.(a)

     9,223       264,700  

Fidelity National Information Services Inc.

     23,098       2,290,167  

Fiserv Inc.(a)(b)

     22,540       2,207,117  

FleetCor Technologies Inc.(a)

     1,573       392,495  

Genpact Ltd.

     3,010       121,213  

Global Payments Inc.

     7,222       989,269  

International Business Machines Corp.

     33,968       4,490,909  

Jack Henry & Associates Inc.

     1,282       243,042  

Paychex Inc.

     8,792       1,114,210  

SS&C Technologies Holdings Inc.

     4,850       313,601  

Visa Inc., Class A

     26,644       5,678,636  

Western Union Co. (The)

     15,093       252,959  
   

 

 

  
          27,207,638  
Leisure Products — 0.1%            

Brunswick Corp./DE

     1,506       113,869  

Hasbro Inc.

     2,106       185,454  

Mattel Inc.(a)

     8,864       215,484  
   

 

 

  
      514,807  
 

 

 

110  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Life Sciences Tools & Services — 0.8%

    

Agilent Technologies Inc.

     4,388     $ 523,357  

IQVIA Holdings Inc.(a)

     3,119       679,911  

PerkinElmer Inc.

     2,656       389,396  

Syneos Health Inc., Class A(a)

     2,291       167,449  

Thermo Fisher Scientific Inc.

     7,698       4,256,378  
   

 

 

  
      6,016,491  
Machinery — 1.6%            

AGCO Corp.

     1,187       151,224  

Caterpillar Inc.

     14,058       2,959,771  

Cummins Inc.

     5,407       1,022,950  

Deere & Co.

     4,564       1,723,138  

Donaldson Co. Inc.

     2,681       131,476  

Dover Corp.

     2,402       320,187  

Fortive Corp.

     5,735       329,763  

Illinois Tool Works Inc.

     8,077       1,592,058  

Ingersoll Rand Inc.

     5,051       222,042  

ITT Inc.

     998       70,080  

Lincoln Electric Holdings Inc.

     1,132       152,514  

Middleby Corp. (The)(a)

     969       149,119  

Oshkosh Corp.

     2,503       231,377  

Otis Worldwide Corp.

     8,181       595,904  

PACCAR Inc.

     7,615       632,426  

Parker-Hannifin Corp.

     3,010       815,168  

Pentair PLC

     2,200       111,650  

Snap-on Inc.

     2,015       428,167  

Stanley Black & Decker Inc.

     4,158       499,584  

Toro Co. (The)

     1,397       111,942  

Westinghouse Air Brake Technologies Corp.

     7,110       639,260  
   

 

 

  
          12,889,800  
Media — 1.4%            

Cable One Inc.

     78       90,964  

Charter Communications Inc., Class A(a)

     1,873       802,562  

Comcast Corp., Class A

     171,347       6,812,757  

DISH Network Corp., Class A(a)

     9,379       267,395  

Fox Corp., Class A, NVS

     12,024       430,940  

Fox Corp., Class B

     5,524       183,618  

Interpublic Group of Companies Inc. (The)

     15,017       489,854  

Liberty Media Corp.-Liberty SiriusXM,
Class A(a)(b)

     1,299       54,337  

Liberty Media Corp.-Liberty SiriusXM, Class C, NVS(a)

     2,639       110,521  

News Corp., Class A, NVS

     14,759       293,114  

News Corp., Class B

     4,757       94,712  

Omnicom Group Inc.

     7,933       603,939  

Paramount Global, Class A

     409       12,904  

Paramount Global, Class B, NVS

     23,010       670,051  

Sirius XM Holdings Inc.(b)

     21,149       126,894  
   

 

 

  
      11,044,562  
Metals & Mining — 0.8%            

Alcoa Corp.

     6,933       470,057  

Cleveland-Cliffs Inc.(a)

     18,148       462,593  

Freeport-McMoRan Inc.

     28,206       1,143,753  

Newmont Corp.

     30,143       2,195,918  

Nucor Corp.

     5,354       828,692  

Reliance Steel & Aluminum Co.

     2,356       467,077  

Southern Copper Corp.

     2,471       153,869  

Steel Dynamics Inc.

     7,179       615,599  
   

 

 

  
      6,337,558  
Mortgage Real Estate Investment — 0.1%            

AGNC Investment Corp.

     19,708       216,394  

Annaly Capital Management Inc.

     55,594       356,913  
Security   Shares     Value  

Mortgage Real Estate Investment (continued)

    

Starwood Property Trust Inc.

     11,436     $ 261,656  
   

 

 

  
      834,963  
Multi-Utilities — 1.5%            

Ameren Corp.

     9,770       907,633  

CenterPoint Energy Inc.

     23,748       726,926  

CMS Energy Corp.

     11,001       755,659  

Consolidated Edison Inc.

     13,383       1,241,139  

Dominion Energy Inc.

     30,713       2,507,409  

DTE Energy Co.

     7,341       961,965  

NiSource Inc.

     14,743       429,316  

Public Service Enterprise Group Inc.

     19,106       1,330,924  

Sempra Energy

     12,068       1,947,293  

WEC Energy Group Inc.

     11,936       1,194,197  
   

 

 

  
          12,002,461  
Multiline Retail — 0.8%            

Dollar General Corp.

     8,791       2,088,126  

Dollar Tree Inc.(a)

     8,507       1,381,962  

Kohl’s Corp.

     5,282       305,722  

Macy’s Inc.

     11,359       274,547  

Target Corp.

     10,687       2,443,583  
   

 

 

  
      6,493,940  
Oil, Gas & Consumable Fuels — 6.3%            

APA Corp.

     13,855       567,085  

Chevron Corp.

     73,015       11,439,260  

ConocoPhillips

     49,325       4,711,524  

Continental Resources Inc./OK

     2,267       125,977  

Coterra Energy Inc.

     30,889       889,294  

Devon Energy Corp.

     23,789       1,383,806  

Diamondback Energy Inc.

     6,453       814,562  

EOG Resources Inc.

     22,187       2,590,554  

Exxon Mobil Corp.

     160,354       13,670,178  

Hess Corp.

     5,918       609,968  

Kinder Morgan Inc.

     73,688       1,337,437  

Marathon Oil Corp.

     29,586       737,283  

Marathon Petroleum Corp.

     21,964       1,916,579  

Occidental Petroleum Corp.

     19,663       1,083,235  

ONEOK Inc.

     16,877       1,068,820  

Ovintiv Inc.

     9,821       502,737  

Phillips 66

     17,760       1,540,858  

Pioneer Natural Resources Co.

     8,582       1,995,058  

Targa Resources Corp.

     3,848       282,482  

Valero Energy Corp.

     10,345       1,153,261  

Williams Companies Inc. (The)

     45,890       1,573,568  
   

 

 

  
      49,993,526  
Personal Products — 0.1%            

Estee Lauder Companies Inc. (The), Class A

     3,210       847,633  
   

 

 

  
Pharmaceuticals — 6.1%            

Bristol-Myers Squibb Co.

     82,561       6,214,366  

Eli Lilly & Co.

     11,127       3,250,530  

Jazz Pharmaceuticals PLC(a)

     2,353       376,998  

Johnson & Johnson

     99,715       17,994,569  

Merck & Co. Inc.

     95,675       8,485,416  

Organon & Co.

     9,518       307,717  

Pfizer Inc.

     212,598       10,432,184  

Royalty Pharma PLC, Class A

     13,593       578,790  

Viatris Inc.

     45,949       474,653  
   

 

 

  
      48,115,223  
 

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   111

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Professional Services — 0.2%

    

Booz Allen Hamilton Holding Corp.

     3,265     $ 266,522  

Clarivate PLC(a)(b)

     6,274       98,376  

Dun & Bradstreet Holdings Inc.(a)

     3,743       59,102  

Jacobs Engineering Group Inc.

     2,987       413,849  

Leidos Holdings Inc.

     5,349       553,675  

Nielsen Holdings PLC

     13,468       361,077  

Robert Half International Inc.

     1,383       135,963  
   

 

 

  
          1,888,564  
Real Estate Management & Development — 0.1%        

CBRE Group Inc., Class A(a)

     6,824       566,665  

Jones Lang LaSalle Inc.(a)

     1,896       414,712  
   

 

 

  
      981,377  
Road & Rail — 1.3%            

AMERCO

     151       80,857  

Avis Budget Group Inc.(a)

     755       202,091  

CSX Corp.

     63,411       2,177,534  

Knight-Swift Transportation Holdings Inc.

     3,625       173,601  

Norfolk Southern Corp.

     6,895       1,778,083  

Union Pacific Corp.

     24,124       5,652,012  

XPO Logistics Inc.(a)

     2,541       136,680  
   

 

 

  
      10,200,858  
Semiconductors & Semiconductor Equipment — 4.0%        

Analog Devices Inc.

     13,814       2,132,605  

Applied Materials Inc.

     13,414       1,480,235  

Broadcom Inc.

     10,579       5,864,892  

First Solar Inc.(a)

     2,147       156,795  

Intel Corp.

     154,235       6,723,104  

KLA Corp.

     2,698       861,363  

Lam Research Corp.

     3,059       1,424,760  

Microchip Technology Inc.

     15,458       1,007,862  

Micron Technology Inc.

     42,447       2,894,461  

MKS Instruments Inc.

     877       99,960  

NXP Semiconductors NV

     4,753       812,288  

Qorvo Inc.(a)

     1,727       196,498  

QUALCOMM Inc.

     19,655       2,745,607  

Skyworks Solutions Inc.

     1,789       202,694  

Texas Instruments Inc.

     26,081       4,440,290  

Wolfspeed Inc.(a)(b)

     2,735       250,827  
   

 

 

  
      31,294,241  
Software — 0.8%            

Black Knight Inc.(a)

     2,476       162,896  

Cadence Design Systems Inc.(a)

     3,724       561,765  

Citrix Systems Inc.

     2,992       299,499  

Guidewire Software Inc.(a)

     1,695       147,363  

NortonLifeLock Inc.

     22,119       553,860  

Oracle Corp.

     44,864       3,293,018  

Roper Technologies Inc.

     2,209       1,038,053  

VMware Inc., Class A

     2,616       282,633  
   

 

 

  
      6,339,087  
Specialty Retail — 2.6%            

Advance Auto Parts Inc.

     1,357       270,898  

AutoNation Inc.(a)

     1,500       173,865  

AutoZone Inc.(a)

     450       879,961  

Bath & Body Works Inc.

     3,422       180,990  

Best Buy Co. Inc.

     8,218       739,045  

CarMax Inc.(a)(b)

     2,519       216,080  

GameStop Corp., Class A(a)(b)

     1,370       171,346  

Gap Inc. (The)

     8,048       99,956  

Home Depot Inc. (The)

     29,354       8,817,942  
Security   Shares     Value  

Specialty Retail (continued)

    

Lithia Motors Inc.

     542     $ 153,456  

Lowe’s Companies Inc.

     25,519       5,045,872  

O’Reilly Automotive Inc.(a)

     1,956       1,186,412  

Penske Automotive Group Inc.

     1,149       120,438  

Ross Stores Inc.

     7,513       749,572  

TJX Companies Inc. (The)

     20,644       1,265,064  

Tractor Supply Co.

     1,639       330,177  

Williams-Sonoma Inc.

     1,551       202,374  
   

 

 

  
          20,603,448  
Technology Hardware, Storage & Peripherals — 5.2%        

Apple Inc.

     232,936       36,722,360  

Dell Technologies Inc., Class C

     11,046       519,272  

Hewlett Packard Enterprise Co.

     49,096       756,569  

HP Inc.

     41,100       1,505,493  

NetApp Inc.

     4,823       353,285  

Seagate Technology Holdings PLC

     7,645       627,196  

Western Digital Corp.(a)

     11,878       630,366  
   

 

 

  
      41,114,541  
Textiles, Apparel & Luxury Goods — 0.1%            

Capri Holdings Ltd.(a)

     3,624       172,865  

PVH Corp.

     2,668       194,177  

Tapestry Inc.

     10,021       329,891  

Under Armour Inc., Class A(a)

     4,664       71,639  

Under Armour Inc., Class C, NVS(a)

     5,320       75,491  
   

 

 

  
      844,063  
Tobacco — 1.2%            

Altria Group Inc.

     69,060       3,837,664  

Philip Morris International Inc.

     58,703       5,870,300  
   

 

 

  
      9,707,964  
Trading Companies & Distributors — 0.2%            

Fastenal Co.

     10,952       605,755  

United Rentals Inc.(a)

     1,161       367,480  

Watsco Inc.

     556       148,330  

WW Grainger Inc.

     821       410,524  
   

 

 

  
      1,532,089  
Water Utilities — 0.1%            

American Water Works Co. Inc.

     3,294       507,539  

Essential Utilities Inc.

     4,047       181,144  
   

 

 

  
      688,683  
Wireless Telecommunication Services — 0.4%        

T-Mobile U.S. Inc.(a)

     22,255       2,740,481  
   

 

 

  

Total Common Stocks — 99.8%
(Cost: $707,078,423)

       787,196,194  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 0.8%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(c)(d)(e)

     3,897,401    
    3,897,401  
 

 

 

112  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Morningstar Value ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

 

  

Money Market Funds (continued)

    

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(c)(d)

     2,050,000     $ 2,050,000  
   

 

 

  
      5,947,401  
   

 

 

  

Total Short-Term Investments — 0.8%
(Cost: $5,946,626)

       5,947,401  
   

 

 

  

Total Investments in Securities — 100.6%
(Cost: $713,025,049)

       793,143,595  

Other Assets, Less Liabilities — (0.6)%

       (4,700,240 ) 
   

 

 

  

Net Assets — 100.0%

     $  788,443,355  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

  
Affiliated Issuer   

Value at

04/30/21

     

Purchases

at Cost

    

Proceeds

from Sales

     

Net Realized

Gain (Loss)

     

Change in

Unrealized

Appreciation

(Depreciation)

     

Value at

04/30/22

     

Shares

Held at

04/30/22

      Income    

Capital

Gain

Distributions

from

Underlying

Funds

  

 

  

BlackRock Cash Funds: Institutional, SL Agency Shares

    $ 1,531,709      $ 2,367,591 (a)    $ —      $ (2,676 )     $ 777      $ 3,897,401        3,897,401      $ 8,156 (b)    $ —  

BlackRock Cash Funds: Treasury, SL Agency Shares

      1,890,000        160,000 (a)      —        —        —        2,050,000        2,050,000        892       —  

BlackRock Inc.

      3,959,677        865,539       (399,027 )       950        (1,060,114 )       3,367,025        5,390        91,697       —  
          

 

 

     

 

 

     

 

 

        

 

 

    

 

 

  
           $ (1,726 )     $ (1,059,337 )     $ 9,314,426         $ 100,745     $ —  
          

 

 

     

 

 

     

 

 

        

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

 

  
Description   

Number of

Contracts

     

Expiration

Date

     

Notional

Amount

(000)

     

Value/

Unrealized

Appreciation

(Depreciation)

  

 

  

Long Contracts

            

E-mini Consumer Staples Select Sector Index

      6        06/17/22      $ 468      $ 3,718  

E-mini Financials Select Sector Index

      4        06/17/22        425        (43,666 ) 

S&P 500 E-Mini Index

      1        06/17/22        206        (13,940 ) 
           

 

 

  
            $ (53,888 ) 
           

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

 

  
    

Equity

Contracts

  

 

  

Assets — Derivative Financial Instruments

   

Futures contracts

   

Unrealized appreciation on futures contracts(a)

    $ 3,718  
  

 

 

  

 

 

S C H E D U L E   O F   I N V E S T M E N T S

   113

Schedule of Investments  (continued)

April 30, 2022

    iShares® Morningstar Value ETF

 

Derivative Financial Instruments Categorized by Risk Exposure (continued)

 

 

  
    

Equity

Contracts

  

 

  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

    $ 57,606  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

 

  
     Equity
Contracts		  

 

  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 69,962  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (76,782 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

 

  

Futures contracts:

   

Average notional value of contracts — long

    $ 1,640,640      

 

  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

                                                                                       

 

  
     Level 1        Level 2        Level 3        Total  

 

  

Investments

                  

Assets

                  

Common Stocks

    $ 787,196,194        $             —        $             —        $ 787,196,194  

Money Market Funds

      5,947,401          —          —          5,947,401  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 793,143,595        $ —        $ —        $ 793,143,595  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                  

Assets

                  

Futures Contracts

    $ 3,718        $ —        $ —        $ 3,718  

Liabilities

                  

Futures Contracts

      (57,606 )         —          —          (57,606 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ (53,888 )       $ —        $ —        $ (53,888 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

114  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Assets and Liabilities  

April 30, 2022

 

   

iShares

Morningstar

Growth ETF

    

iShares
Morningstar

Mid-Cap ETF

    

iShares

Morningstar

Mid-Cap Growth

ETF

    

iShares
Morningstar

Mid-Cap

Value ETF

  

 

  

ASSETS

        

Investments in securities, at value (including securities on loan)(a):

        

Unaffiliated(b)

   $ 1,707,960,648     $ 781,949,187     $ 1,085,765,069     $ 496,889,144  

Affiliated(c)

     35,121,376       37,971,614       78,059,658       11,078,576  

Cash

     121,989       38,644       81,219       18,443  

Cash pledged:

        

Futures contracts

     209,000       75,000       94,000       58,000  

Receivables:

        

Investments sold

     —       243       243       137  

Securities lending income — Affiliated

     7,757       11,924       19,513       5,156  

Dividends

     387,616       416,570       216,119       398,142  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

     1,743,808,386         820,463,182         1,164,235,821         508,447,598    
 

 

 

    

 

 

    

 

 

    

 

 

  

LIABILITIES

        

Collateral on securities loaned, at value

     31,939,470       36,796,322       76,853,080       10,216,355  

Payables:

        

Investments purchased

     —       598,744       —       683,994  

Variation margin on futures contracts

     155,522       44,779       43,046       30,426  

Capital shares redeemed

     34,240       —       —       —  

Investment advisory fees

     62,148       27,286       58,204       25,928  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities

     32,191,380       37,467,131       76,954,330       10,956,703  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 1,711,617,006     $ 782,996,051     $ 1,087,281,491     $ 497,490,895  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS CONSIST OF:

        

Paid-in capital

   $ 1,621,763,714     $ 801,510,375     $ 1,293,390,493     $ 465,093,517  

Accumulated earnings (loss)

     89,853,292       (18,514,324 )      (206,109,002 )      32,397,378  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 1,711,617,006     $ 782,996,051     $ 1,087,281,491     $ 497,490,895  
 

 

 

    

 

 

    

 

 

    

 

 

  

Shares outstanding

     30,400,000       12,550,000       18,800,000       7,600,000  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value

   $ 56.30     $ 62.39     $ 57.83     $ 65.46  
 

 

 

    

 

 

    

 

 

    

 

 

  

Shares authorized

     Unlimited       Unlimited       Unlimited       Unlimited  
 

 

 

    

 

 

    

 

 

    

 

 

  

Par value

     None       None       None       None  
 

 

 

    

 

 

    

 

 

    

 

 

  

(a) Securities loaned, at value

   $ 29,773,434     $ 34,476,637     $ 71,850,579     $ 9,515,428  

(b) Investments, at cost — Unaffiliated

   $ 1,541,109,486     $ 760,217,319     $ 1,205,409,531     $ 439,856,812  

(c)  Investments, at cost — Affiliated

   $ 35,115,947     $ 37,963,588     $ 78,040,508     $ 11,076,053  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   115

Statements of Assets and Liabilities   (continued)

April 30, 2022

 

    

iShares
Morningstar

Small-Cap ETF

    

iShares

Morningstar

Small-Cap

Growth ETF

    

iShares
Morningstar

Small-Cap

Value ETF

    

iShares
Morningstar

U.S. Equity

ETF

  

ASSETS

        

Investments in securities, at value (including securities on loan)(a):

        

Unaffiliated(b)

   $ 199,639,924     $ 317,408,939     $ 366,595,800     $ 786,177,908  

Affiliated(c)

     22,350,871       55,227,389       20,135,129       19,064,481  

Cash

     7,756       20,077       13,988       62,194  

Cash pledged:

        

Futures contracts

     15,000       52,000       42,000       125,000  

Receivables:

        

Securities lending income — Affiliated

     21,528       54,078       6,127       4,357  

Dividends

     58,753       35,887       167,097       609,781  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

     222,093,832         372,798,370         386,960,141         806,043,721  
 

 

 

    

 

 

    

 

 

    

 

 

  

LIABILITIES

        

Collateral on securities loaned, at value

     22,108,564       54,640,406       19,600,776       15,491,042  

Payables:

        

Investments purchased

     —       —       —       132,302  

Variation margin on futures contracts

     6,997       22,373       17,692       85,810  

Investment advisory fees

     7,051       17,298       19,023       20,999  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities

     22,122,612       54,680,077       19,637,491       15,730,153  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 199,971,220     $ 318,118,293     $ 367,322,650     $ 790,313,568  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS CONSIST OF:

        

Paid-in capital

   $ 249,071,089     $ 471,857,174     $ 408,619,459     $ 772,050,364  

Accumulated earnings (loss)

     (49,099,869 )      (153,738,881 )      (41,296,809 )      18,263,204  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

   $ 199,971,220     $ 318,118,293     $ 367,322,650     $ 790,313,568  
 

 

 

    

 

 

    

 

 

    

 

 

  

Shares outstanding

     4,100,000       8,100,000       6,700,000       13,850,000  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value

   $ 48.77     $ 39.27     $ 54.82     $ 57.06  
 

 

 

    

 

 

    

 

 

    

 

 

  

Shares authorized

     Unlimited       Unlimited       Unlimited       Unlimited  
 

 

 

    

 

 

    

 

 

    

 

 

  

Par value

     None       None       None       None  
 

 

 

    

 

 

    

 

 

    

 

 

  

(a) Securities loaned, at value

   $ 20,779,611     $ 51,437,883     $ 18,573,124     $ 14,488,744  

(b) Investments, at cost — Unaffiliated

   $ 228,949,606     $ 408,783,640     $ 371,587,288     $ 716,055,288  

(c)  Investments, at cost — Affiliated

   $ 22,350,638     $ 55,215,252     $ 20,131,600     $ 18,559,916  

See notes to financial statements.

 

 

116  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Assets and Liabilities   (continued)

April 30, 2022

 

    iShares
Morningstar
Value ETF		  

 

  

ASSETS

  

Investments in securities, at value (including securities on loan)(a):

  

Unaffiliated(b)

   $ 783,829,169  

Affiliated(c)

     9,314,426  

Cash

     110,805  

Cash pledged:

  

Futures contracts

     73,000  

Receivables:

  

Securities lending income — Affiliated

     1,671  

Dividends

     958,181  
 

 

 

  

Total assets

     794,287,252  
 

 

 

  

LIABILITIES

  

Collateral on securities loaned, at value

     3,899,474  

Payables:

  

Investments purchased

     1,874,872  

Variation margin on futures contracts

     42,322  

Investment advisory fees

     27,229  
 

 

 

  

Total liabilities

     5,843,897  
 

 

 

  

NET ASSETS

   $ 788,443,355  
 

 

 

  

NET ASSETS CONSIST OF:

  

Paid-in capital

   $ 754,927,652  

Accumulated earnings

     33,515,703  
 

 

 

  

NET ASSETS

   $ 788,443,355  
 

 

 

  

Shares outstanding

     12,150,000  
 

 

 

  

Net asset value

   $ 64.89  
 

 

 

  

Shares authorized

     Unlimited  
 

 

 

  

Par value

     None  
 

 

 

  

(a) Securities loaned, at value

   $ 3,615,681  

(b) Investments, at cost — Unaffiliated

   $ 703,076,128  

(c)  Investments, at cost — Affiliated

   $ 9,948,921  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   117

Statements of Operations   

Year Ended April 30, 2022

 

   

iShares

Morningstar

Growth ETF

     

iShares
Morningstar

Mid-Cap ETF

     

iShares

Morningstar

Mid-Cap

Growth ETF

     

iShares
Morningstar

Mid-Cap

Value ETF

  

 

  

INVESTMENT INCOME

           

Dividends — Unaffiliated

   $ 9,974,926      $ 10,975,024      $ 7,142,070      $ 9,315,354  

Dividends — Affiliated

     4,220        2,499        4,755        948  

Securities lending income — Affiliated — net

     59,370        82,947        135,057        23,087  

Foreign taxes withheld

     (3,598 )       —        —        —  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total investment income

     10,034,918        11,060,470        7,281,882        9,339,389  
 

 

 

     

 

 

     

 

 

     

 

 

  

EXPENSES

           

Investment advisory fees

     825,955        351,696        763,079        289,187  

Professional fees

     217        217        217        217  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total expenses

     826,172        351,913        763,296        289,404  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net investment income

     9,208,746        10,708,557        6,518,586        9,049,985  
 

 

 

     

 

 

     

 

 

     

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

           

Net realized gain (loss) from:

           

Investments — Unaffiliated

     32,781,583        16,711,930        (17,934,872 )       3,855,665  

Investments — Affiliated

     (29,652 )       (21,222 )       (39,335 )       (4,909 ) 

In-kind redemptions — Unaffiliated

     89,799,680        39,568,846        175,162,297        30,529,160  

Futures contracts

     309,899        (160,486 )       (68,643 )       (9,832 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Net realized gain

     122,861,510        56,099,068        157,119,447        34,370,084  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net change in unrealized appreciation (depreciation) on:

           

Investments — Unaffiliated

     (284,298,426 )       (97,690,658 )       (334,369,099 )       (29,391,496 ) 

Investments — Affiliated

     5,429        10,331        5,200        2,523  

Futures contracts

     (348,363 )       (136,290 )       (129,761 )       (78,284 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Net change in unrealized appreciation (depreciation)

     (284,641,360 )       (97,816,617 )       (334,493,660 )       (29,467,257 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

Net realized and unrealized gain (loss)

     (161,779,850 )       (41,717,549 )       (177,374,213 )       4,902,827  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ (152,571,104 )     $ (31,008,992 )     $ (170,855,627 )     $ 13,952,812  
 

 

 

     

 

 

     

 

 

     

 

 

  

See notes to financial statements.

 

 

118  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Operations   (continued)

Year Ended April 30, 2022

 

    

iShares

Morningstar

Small-Cap ETF

    

iShares

Morningstar

Small-Cap

Growth ETF

    

iShares

Morningstar

Small-Cap

Value ETF

    

iShares

Morningstar

U.S. Equity

ETF

  

 

  

INVESTMENT INCOME

         

Dividends — Unaffiliated

    $ 2,872,768     $ 2,756,945     $ 7,683,403     $ 11,629,320  

Dividends — Affiliated

      1,829       4,070       1,489       55,397  

Securities lending income — Affiliated — net

      201,869       424,618       77,001       35,862  

Foreign taxes withheld

      (1,661 )      (3,731 )      (2,870 )      (2,232 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

      3,074,805       3,181,902       7,759,023       11,718,347  
  

 

 

    

 

 

    

 

 

    

 

 

  

EXPENSES

         

Investment advisory fees

      93,125       269,462       255,178       270,176  

Professional fees

      217       217       217       217  
  

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses

      93,342       269,679       255,395       270,393  
  

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

      2,981,463       2,912,223       7,503,628       11,447,954  
  

 

 

    

 

 

    

 

 

    

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

         

Net realized gain (loss) from:

         

Investments — Unaffiliated

      7,246,465       (2,910,886 )      (1,290,535 )      3,889,688  

Investments — Affiliated

      (10,871 )      (22,139 )      (9,460 )      10,397  

In-kind redemptions — Unaffiliated

      502,523       16,139,661       40,942,383       15,171,815  

In-kind redemptions — Affiliated

      —       —       —       141,228  

Futures contracts

      (70,163 )      84,339       (60,147 )      101,634  
  

 

 

    

 

 

    

 

 

    

 

 

  

Net realized gain

      7,667,954       13,290,975       39,582,241       19,314,762  
  

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation) on:

         

Investments — Unaffiliated

      (46,915,560 )      (128,369,856 )      (69,366,100 )      (41,814,570 ) 

Investments — Affiliated

      (631 )      (3,554 )      909       (724,600 ) 

Futures contracts

      (13,104 )      (63,565 )      (42,957 )      (188,010 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation)

      (46,929,295 )         (128,436,975 )         (69,408,148 )         (42,727,180 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net realized and unrealized loss

      (39,261,341 )      (115,146,000 )      (29,825,907 )      (23,412,418 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS

    $ (36,279,878 )    $ (112,233,777 )    $ (22,322,279 )    $ (11,964,464 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   119

Statements of Operations   (continued)

Year Ended April 30, 2022

 

    iShares
Morningstar
Value ETF		  

 

  

INVESTMENT INCOME

  

Dividends — Unaffiliated

   $ 16,395,860  

Dividends — Affiliated

     92,900  

Securities lending income — Affiliated — net

     7,845  

Foreign taxes withheld

     (2,482 ) 
 

 

 

  

Total investment income

     16,494,123  
 

 

 

  

EXPENSES

  

Investment advisory fees

     311,107  

Professional fees

     217  
 

 

 

  

Total expenses

     311,324  
 

 

 

  

Net investment income

     16,182,799  
 

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

  

Net realized gain (loss) from:

  

Investments — Unaffiliated

     6,910,672  

Investments — Affiliated

     (9,329 ) 

In-kind redemptions — Unaffiliated

     3,376,604  

In-kind redemptions — Affiliated

     7,603  

Futures contracts

     69,962  
 

 

 

  

Net realized gain

     10,355,512  
 

 

 

  

Net change in unrealized appreciation (depreciation) on:

  

Investments — Unaffiliated

     2,241,456  

Investments — Affiliated

     (1,059,337 ) 

Futures contracts

     (76,782 ) 
 

 

 

  

Net change in unrealized appreciation (depreciation)

     1,105,337  
 

 

 

  

Net realized and unrealized gain

     11,460,849  
 

 

 

  

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS

   $ 27,643,648  
 

 

 

  

See notes to financial statements.

 

 

120  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets

 

   

iShares

Morningstar Growth ETF

    

iShares

Morningstar Mid-Cap ETF

  
 

 

 

    

 

 

  
         

Year Ended

04/30/22

    

Year Ended

04/30/21

            Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

             

OPERATIONS

             

Net investment income

     $ 9,208,746     $ 4,845,931        $ 10,708,557     $ 7,719,141  

Net realized gain

       122,861,510       608,589,359          56,099,068       169,085,137  

Net change in unrealized appreciation (depreciation)

       (284,641,360 )      25,251,220          (97,816,617 )      131,348,468  
   

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

       (152,571,104 )      638,686,510          (31,008,992 )      308,152,746  
   

 

 

    

 

 

       

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

             

Decrease in net assets resulting from distributions to shareholders

       (9,412,555 )          (4,551,595 )             (11,074,412 )          (8,255,303 ) 
   

 

 

    

 

 

       

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

             

Net increase (decrease) in net assets derived from capital share transactions

       (13,450,194 )      (266,458,523 )         (56,837,193 )      14,113,783  
   

 

 

    

 

 

       

 

 

    

 

 

  

NET ASSETS

             

Total increase (decrease) in net assets

       (175,433,853 )      367,676,392          (98,920,597 )      314,011,226  

Beginning of year

       1,887,050,859       1,519,374,467          881,916,648       567,905,422  
   

 

 

    

 

 

       

 

 

    

 

 

  

End of year

     $ 1,711,617,006     $ 1,887,050,859        $ 782,996,051     $ 881,916,648  
   

 

 

    

 

 

       

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   121

Statements of Changes in Net Assets (continued)

 

   

iShares

Morningstar Mid-Cap Growth ETF

    

iShares

Morningstar Mid-Cap Value ETF

  
 

 

    

 

 

  
       

Year Ended

04/30/22

    

Year Ended

04/30/21

            Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

             

OPERATIONS

             

Net investment income

     $ 6,518,586     $ 1,489,667        $ 9,049,985     $ 8,547,297  

Net realized gain

       157,119,447       312,645,564          34,370,084       10,693,688  

Net change in unrealized appreciation (depreciation)

       (334,493,660 )      160,236,041          (29,467,257 )      164,917,635  
   

 

 

    

 

 

       

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

       (170,855,627 )      474,371,272          13,952,812       184,158,620  
   

 

 

    

 

 

       

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

             

Decrease in net assets resulting from distributions to shareholders

       (7,275,693 )          (981,614 )             (9,487,846 )          (8,834,502 ) 
   

 

 

    

 

 

       

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

             

Net increase (decrease) in net assets derived from capital share transactions

       (254,467,058 )      513,857,069          35,331,452       (48,677,560 ) 
   

 

 

    

 

 

       

 

 

    

 

 

  

NET ASSETS

             

Total increase (decrease) in net assets

       (432,598,378 )      987,246,727          39,796,418       126,646,558  

Beginning of year

       1,519,879,869       532,633,142          457,694,477       331,047,919  
   

 

 

    

 

 

       

 

 

    

 

 

  

End of year

     $ 1,087,281,491     $ 1,519,879,869        $ 497,490,895     $ 457,694,477  
   

 

 

    

 

 

       

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

122  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)

 

    iShares
Morningstar Small-Cap ETF		     iShares
Morningstar Small-Cap Growth ETF		  
                         
   

Year Ended

04/30/22

    

Year Ended

04/30/21

    

Year Ended

04/30/22

    

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

        

OPERATIONS

        

Net investment income

   $ 2,981,463     $ 2,578,321     $ 2,912,223     $ 549,019  

Net realized gain

     7,667,954       53,388,319       13,290,975       135,916,805  

Net change in unrealized appreciation (depreciation)

     (46,929,295 )      45,406,720       (128,436,975 )      25,548,876  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

     (36,279,878 )         101,373,360       (112,233,777 )      162,014,700  
 

 

 

    

 

 

    

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

        

Decrease in net assets resulting from distributions to shareholders

     (2,987,187 )      (2,733,151 )         (3,156,876 )         (481,903 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

        

Net increase (decrease) in net assets derived from capital share transactions

     (2,562,649 )      (41,954,608 )      (332,806,008 )      413,270,056  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

        

Total increase (decrease) in net assets

     (41,829,714 )      56,685,601       (448,196,661 )      574,802,853  

Beginning of year

     241,800,934       185,115,333       766,314,954       191,512,101  
 

 

 

    

 

 

    

 

 

    

 

 

  

End of year

   $ 199,971,220     $ 241,800,934     $ 318,118,293     $ 766,314,954  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

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

 

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   123

Statements of Changes in Net Assets (continued)

 

    iShares
Morningstar Small-Cap Value ETF		     iShares
Morningstar U.S. Equity ETF		  
                         
    Year Ended
04/30/22		     Year Ended
04/30/21		     Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

        

OPERATIONS

        

Net investment income

   $ 7,503,628     $ 6,398,262     $ 11,447,954     $ 10,923,696  

Net realized gain

     39,582,241       23,415,875       19,314,762       257,045,152  

Net change in unrealized appreciation (depreciation)

     (69,408,148 )      156,299,547       (42,727,180 )      33,456,163  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

     (22,322,279 )         186,113,684       (11,964,464 )      301,425,011  
 

 

 

    

 

 

    

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

        

Decrease in net assets resulting from distributions to shareholders

     (7,825,447 )      (6,659,248 )         (11,513,059 )         (10,641,246 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

        

Net increase (decrease) in net assets derived from capital share transactions

     (48,607,925 )      9,611,427       (77,396,311 )      (117,661,509 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

        

Total increase (decrease) in net assets

     (78,755,651 )      189,065,863       (100,873,834 )      173,122,256  

Beginning of year

     446,078,301       257,012,438       891,187,402       718,065,146  
 

 

 

    

 

 

    

 

 

    

 

 

  

End of year

   $ 367,322,650     $ 446,078,301     $ 790,313,568     $ 891,187,402  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

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

 

See notes to financial statements.

 

 

124  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)

 

   

iShares

Morningstar Value ETF

  
 

 

 

  
   

Year Ended

04/30/22

    

Year Ended

04/30/21

  

 

  

INCREASE (DECREASE) IN NET ASSETS

    

OPERATIONS

    

Net investment income

   $ 16,182,799     $ 14,830,848  

Net realized gain

     10,355,512       62,614,272  

Net change in unrealized appreciation (depreciation)

     1,105,337       85,982,111  
 

 

 

    

 

 

  

Net increase in net assets resulting from operations

     27,643,648       163,427,231  
 

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

    

Decrease in net assets resulting from distributions to shareholders

     (16,144,141 )      (15,026,189 ) 
 

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

    

Net increase in net assets derived from capital share transactions

     89,185,958       91,874,202  
 

 

 

    

 

 

  

NET ASSETS

    

Total increase in net assets

     100,685,465       240,275,244  

Beginning of year

     687,757,890           447,482,646  
 

 

 

    

 

 

  

End of year

   $ 788,443,355     $ 687,757,890  
 

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

F I N A N C I A L   S T A T E M E N T S

   125

Financial Highlights

(For a share outstanding throughout each period)

 

 

    iShares Morningstar Growth ETF  
 

 

 

  
    Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    04/30/22       04/30/21 (a)      04/30/20 (a)      04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

   $ 61.87     $ 42.80     $ 38.08     $ 33.00        $ 27.25  
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Net investment income(b)

     0.29       0.14       0.21       0.23          0.30  

Net realized and unrealized gain (loss)(c)

     (5.56 )      19.07       4.73       5.10          5.74  
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Net increase (decrease) from investment operations

     (5.27 )      19.21       4.94       5.33          6.04  
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Distributions(d)

             

From net investment income

     (0.30 )      (0.14 )      (0.22 )      (0.25 )         (0.29 ) 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Total distributions

     (0.30 )      (0.14 )      (0.22 )      (0.25 )               (0.29 ) 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Net asset value, end of year

   $ 56.30     $ 61.87     $ 42.80     $ 38.08        $ 33.00  
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Total Return(e)

             

Based on net asset value

     (8.59 )%      44.94 %      13.04 %      16.21 %         22.26 % 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Ratios to Average Net Assets(f)

             

Total expenses

     0.04 %      0.23 %      0.25 %      0.25 %         0.25 % 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Net investment income

     0.45 %      0.27 %      0.54 %      0.66 %         0.97 % 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Supplemental Data

             

Net assets, end of year (000)

   $ 1,711,617     $ 1,887,051     $ 1,519,374     $ 1,104,273        $ 932,317  
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

Portfolio turnover rate(g)

     22 %      97 %      28 %      23 %         48 % 
 

 

 

    

 

 

    

 

 

    

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a five-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

126  

2 0 2 2   I S H A R E S   A N N U A L   R E P O R T   T O   S H A R E H O L D E R S

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Morningstar Mid-Cap ETF  
 

 

 

  
    Year Ended       Year Ended       Year Ended       Year Ended       Year Ended  
      04/30/22         04/30/21 (a)        04/30/20 (a)        04/30/19 (a)        04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 65.81       $ 43.02       $ 49.08       $ 45.05       $ 42.00  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net investment income(b)

       0.82         0.57         0.67         0.75         0.62  

Net realized and unrealized gain (loss)(c)

       (3.38 )        22.83         (6.03 )        4.05         3.03  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net increase (decrease) from investment operations

       (2.56 )        23.40         (5.36 )        4.80         3.65  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Distributions(d)

                    

From net investment income

       (0.86 )        (0.61 )        (0.70 )        (0.77 )        (0.60 ) 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Total distributions

              (0.86 )               (0.61 )               (0.70 )               (0.77 )               (0.60 ) 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net asset value, end of year

     $ 62.39       $ 65.81       $ 43.02       $ 49.08       $ 45.05  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Total Return(e)

                    

Based on net asset value

       (3.99 )%        54.74 %        (10.99 )%        10.79 %        8.73 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Ratios to Average Net Assets(f)

                    

Total expenses

       0.04 %        0.22 %        0.25 %        0.25 %        0.25 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net investment income

       1.22 %        1.06 %        1.39 %        1.63 %        1.40 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Supplemental Data

                    

Net assets, end of year (000)

     $ 782,996       $ 881,917       $ 567,905       $ 716,534       $ 747,858  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Portfolio turnover rate(g)

       27 %        133 %        55 %        60 %        50 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

 

(a) 

Per share amounts reflect a four-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   127

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

        iShares Morningstar Mid-Cap Growth ETF  
 

 

  
    Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
  04/30/22

 

     04/30/21 (a)         04/30/20 (a)      04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 66.52     $ 42.27        $ 40.66     $ 34.55        $ 29.55  
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Net investment income(b)

       0.35       0.07          0.13       0.09          0.13  

Net realized and unrealized gain (loss)(c)

       (8.65 )      24.23          1.61       6.13          5.02  
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Net increase (decrease) from investment operations

       (8.30 )      24.30          1.74       6.22                5.15  
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Distributions(d)

                  

From net investment income

       (0.39 )      (0.05 )         (0.13 )      (0.11 )         (0.15 ) 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Total distributions

       (0.39 )      (0.05 )         (0.13 )      (0.11 )         (0.15 ) 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Net asset value, end of year

     $ 57.83     $ 66.52        $ 42.27     $ 40.66        $ 34.55  
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Total Return(e)

                  

Based on net asset value

       (12.56 )%      57.51 %               4.29 %      18.03 %         17.46 % 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                  

Total expenses

       0.06 %      0.27 %         0.30 %      0.30 %         0.30 % 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Net investment income

       0.51 %      0.12 %         0.31 %      0.25 %         0.38 % 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Supplemental Data

                  

Net assets, end of year (000)

     $ 1,087,281     $ 1,519,880        $ 532,633     $ 475,724        $ 259,139  
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

Portfolio turnover rate(g)

       43 %      90 %         26 %      30 %         43 % 
   

 

 

    

 

 

       

 

 

    

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a six-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

128  

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Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

        iShares Morningstar Mid-Cap Value ETF  
 

 

  
    Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
 

04/30/22

 

        04/30/21 (a)         04/30/20 (a)         04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 64.01        $ 40.13        $ 53.28        $ 52.55        $ 49.30  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

       1.24          1.14          1.50          1.23          1.09  

Net realized and unrealized gain (loss)(c)

       1.50          23.92          (13.08 )         0.73          3.21  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       2.74          25.06          (11.58 )         1.96          4.30  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                        

From net investment income

       (1.29 )         (1.18 )         (1.57 )         (1.23 )         (1.05 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (1.29 )         (1.18 )         (1.57 )         (1.23 )         (1.05 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 65.46        $ 64.01        $ 40.13        $ 53.28        $ 52.55  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                        

Based on net asset value

       4.28 %         63.45 %           (22.07 )%          3.83 %         8.81 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                        

Total expenses

       0.06 %           0.27 %         0.30 %         0.30 %         0.30 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       1.88 %         2.32 %         2.95 %         2.36 %         2.13 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 497,491        $ 457,694        $ 331,048        $ 463,524        $ 417,801  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

       42 %         95 %         51 %         35 %         45 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a three-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   129

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Morningstar Small-Cap ETF  
 

 

 

  
    Year Ended     Year Ended     Year Ended     Year Ended     Year Ended  
    04/30/22         04/30/21 (a)        04/30/20 (a)        04/30/19 (a)        04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 58.27       $ 35.60       $ 43.90       $ 42.58       $ 40.28  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net investment income(b)

       0.72         0.56         0.57         0.58         0.49  

Net realized and unrealized gain (loss)(c)

       (9.50 )        22.71         (8.23 )        1.34         2.35  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net increase (decrease) from investment operations

       (8.78 )        23.27         (7.66 )        1.92         2.84  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Distributions(d)

                    

From net investment income

       (0.72 )        (0.60 )        (0.64 )        (0.60 )        (0.54 ) 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Total distributions

       (0.72 )        (0.60 )        (0.64 )        (0.60 )        (0.54 ) 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net asset value, end of year

     $ 48.77       $ 58.27       $ 35.60       $ 43.90       $ 42.58  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Total Return(e)

                    

Based on net asset value

       (15.22 )%        65.95 %        (17.58 )%        4.56 %        7.09 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Ratios to Average Net Assets(f)

                    

Total expenses

       0.04 %        0.22 %        0.25 %        0.25 %        0.25 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Net investment income

       1.28 %        1.24 %        1.34 %        1.33 %        1.18 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Supplemental Data

                    

Net assets, end of year (000)

     $ 199,971       $ 241,801       $ 185,115       $ 237,032       $ 246,938  
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

Portfolio turnover rate(g)

       41 %        175 %        62 %        67 %        56 % 
   

 

 

      

 

 

      

 

 

      

 

 

      

 

 

  

 

(a) 

Per share amounts reflect a four-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

130  

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Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Morningstar Small-Cap Growth ETF  
 

 

  
  Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

      04/30/22          04/30/21 (a)         04/30/20 (a)         04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 51.60        $ 31.92        $ 34.17        $ 30.51        $ 25.81  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

       0.31          0.05          0.08          0.04          0.12  

Net realized and unrealized gain (loss)(c)

       (12.30 )         19.68          (2.24 )         3.72          4.71  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       (11.99 )         19.73          (2.16 )         3.76          4.83  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                        

From net investment income

       (0.34 )         (0.05 )         (0.09 )         (0.10 )         (0.13 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (0.34 )         (0.05 )         (0.09 )         (0.10 )         (0.13 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 39.27        $ 51.60        $ 31.92        $ 34.17        $ 30.51  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                        

Based on net asset value

       (23.36 )%         61.86 %         (6.32 )%         12.35 %         18.75 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                        

Total expenses

       0.06 %         0.26 %         0.30 %         0.30 %         0.30 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       0.65 %         0.11 %         0.24 %         0.12 %         0.42 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 318,118        $ 766,315        $ 191,512        $ 215,251        $ 164,737  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

       58 %          156 %          57 %          55 %          51 %  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a six-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   131

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

        iShares Morningstar Small-Cap Value ETF
 

 

  
  Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

      04/30/22          04/30/21 (a)         04/30/20 (a)         04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 58.31        $ 32.95        $ 47.85        $ 48.08        $ 47.92  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

       1.03          0.89          1.02          1.08          0.86  

Net realized and unrealized gain (loss)(c)

       (3.43 )         25.39          (14.74 )         (0.23 )         0.20  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       (2.40 )         26.28          (13.72 )         0.85          1.06  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                        

From net investment income

       (1.09 )         (0.92 )         (1.18 )         (1.08 )         (0.90 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (1.09 )         (0.92 )         (1.18 )         (1.08 )         (0.90 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 54.82        $ 58.31        $ 32.95        $ 47.85        $ 48.08  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                        

Based on net asset value

       (4.19 )%         80.90 %         (29.05 )%         1.83 %         2.23 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                        

Total expenses

       0.06 %         0.26 %         0.30 %         0.30 %         0.30 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       1.76 %         2.07 %         2.34 %         2.24 %         1.78 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 367,323        $ 446,078        $ 257,012        $ 430,681        $ 447,161  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

       47 %          145 %          65 %          48 %          54 %  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a three-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

132  

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Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

        iShares Morningstar U.S. Equity ETF  
 

 

  
  Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

   Year Ended

 

      04/30/22          04/30/21 (a)         04/30/20 (a)         04/30/19 (a)         04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 59.02        $ 40.80        $ 41.90        $ 38.08        $ 35.72  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

       0.79          0.66          0.81          0.81          0.73  

Net realized and unrealized gain (loss)(c)

       (1.95 )         18.21          (0.88 )         3.82          2.36  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       (1.16 )         18.87          (0.07 )         4.63          3.09  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                        

From net investment income

       (0.80 )         (0.65 )         (1.03 )         (0.81 )         (0.73 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (0.80 )         (0.65 )         (1.03 )         (0.81 )         (0.73 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 57.06        $ 59.02        $ 40.80        $ 41.90        $ 38.08  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                        

Based on net asset value

       (2.08 )%         46.58 %         (0.13 )%         12.33 %         8.66 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                        

Total expenses

       0.03 %         0.18 %         0.20 %         0.20 %         0.20 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       1.27 %         1.32 %         1.90 %         2.05 %         1.91 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 790,314        $ 891,187        $ 718,065        $ 863,172        $ 944,382  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

       6 %         131 %         49 %         38 %         46 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a four-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L   H I G H L I G H T S

   133

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

        iShares Morningstar Value ETF
 

 

  
  Year Ended

 

   Year Ended

 

     Year Ended       Year Ended       Year Ended  
      04/30/22          04/30/21 (a)      04/30/20(a)       04/30/19(a)          04/30/18 (a) 

 

  

Net asset value, beginning of year

     $ 63.68        $ 48.12        $ 54.18        $ 50.55        $ 47.54  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income(b)

       1.38          1.55          1.65          1.49          1.28  

Net realized and unrealized gain (loss)(c)

       1.20          15.58          (6.04 )         3.58          3.01  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net increase (decrease) from investment operations

       2.58          17.13          (4.39 )         5.07          4.29  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Distributions(d)

                        

From net investment income

       (1.37 )         (1.57 )         (1.67 )         (1.44 )         (1.28 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total distributions

       (1.37 )         (1.57 )         (1.67 )         (1.44 )         (1.28 ) 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net asset value, end of year

     $ 64.89        $ 63.68        $ 48.12        $ 54.18        $ 50.55  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Return(e)

                        

Based on net asset value

       4.02 %         36.36 %         (8.23 )%         10.22 %         9.07 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratios to Average Net Assets(f)

                        

Total expenses

       0.04 %         0.22 %         0.25 %         0.25 %         0.25 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Net investment income

       2.08 %         2.88 %         3.06 %         2.86 %         2.54 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Supplemental Data

                        

Net assets, end of year (000)

     $ 788,443        $ 687,758        $ 447,483        $ 492,996        $ 374,024  
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Portfolio turnover rate(g)

       21 %         112 %         36 %         24 %         24 % 
   

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on April 16, 2021.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

134  

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Notes to Financial Statements 

 

1.

ORGANIZATION

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.

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

 

   
iShares ETF  

Diversification  

Classification  

Morningstar Growth

   Non-diversified  

Morningstar Mid-Cap

   Diversified  

Morningstar Mid-Cap Growth

   Diversified  

Morningstar Mid-Cap Value

   Diversified  

Morningstar Small-Cap

   Diversified  

Morningstar Small-Cap Growth

   Diversified  

Morningstar Small-Cap Value

   Diversified  

Morningstar U.S. Equity

   Diversified  

Morningstar Value

   Diversified  

 

2.

SIGNIFICANT ACCOUNTING POLICIES

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Funds are informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

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 each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its 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 April 30, 2022, if any, are disclosed in the Statements of Assets and Liabilities.

The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.

Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

In-kind Redemptions: For financial reporting purposes, 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 net asset value (“NAV”) per share.

Distributions: 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. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   135

Notes to Financial Statements   (continued)

 

3.

INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. 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. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

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

 

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s 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.

  •  

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

  •  

Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded.

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

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.

Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access;

  •  

Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and

  •  

Level 3 – Unobservable inputs 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 financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

 

4.

SECURITIES AND OTHER INVESTMENTS

Securities Lending: Each Fund may lend its 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 market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, 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.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule 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, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.

 

 

136  

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Notes to Financial Statements   (continued)

 

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left 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, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.

As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

 

     

   Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

        Net Amount  

 

  

Morningstar Growth

          

Barclays Bank PLC

   $ 170,064      $ 170,064     $ —      $ —  

Barclays Capital, Inc.

     714,746        714,746       —        —  

BMO Capital Markets Corp.

     732        732       —        —  

BNP Paribas SA

     4,154,478        4,154,478       —        —  

BofA Securities, Inc.

     21,853        21,853       —        —  

Citigroup Global Markets, Inc.

     2,132,992        2,132,992       —        —  

Goldman Sachs & Co. LLC

     7,859,869        7,859,869       —        —  

J.P. Morgan Securities LLC

     5,763,157        5,763,157       —        —  

Jefferies LLC

     2,783        2,783       —        —  

Morgan Stanley

     1,113,266        1,113,266       —        —  

RBC Capital Markets LLC

     353,843        353,843       —        —  

Scotia Capital (USA), Inc.

     2,849,423        2,849,423       —        —  

State Street Bank & Trust Co.

     465,795        465,795       —        —  

UBS AG

     4,151,753        4,151,753       —        —  

UBS Securities LLC

     18,680        18,680       —        —  
 

 

 

     

 

 

    

 

 

     

 

 

  
  $ 29,773,434      $ 29,773,434     $ —      $ —  
 

 

 

     

 

 

    

 

 

     

 

 

  

Morningstar Mid-Cap

          

Barclays Bank PLC

   $ 1,997,043      $ 1,997,043     $ —      $ —  

BNP Paribas SA

     11,669,514        11,669,514       —        —  

BofA Securities, Inc.

     209,822        209,822       —        —  

Citigroup Global Markets, Inc.

     5,035,737        5,035,737       —        —  

Goldman Sachs & Co. LLC

     3,205,037        3,205,037       —        —  

J.P. Morgan Securities LLC

     5,611,319        5,611,319       —        —  

Morgan Stanley

     2,470,396        2,470,396       —        —  

Natixis SA

     436,285        436,285       —        —  

Scotia Capital (USA), Inc.

     377,726        377,726       —        —  

SG Americas Securities LLC

     1,821,304        1,742,650       —        (78,654 )(b) 

State Street Bank & Trust Co.

     128,882        128,882       —        —  

Toronto-Dominion Bank

     343,500        343,500       —        —  

UBS AG

     60,926        60,926       —        —  

UBS Securities LLC

     809,106        809,106       —        —  

Wells Fargo Bank N.A.

     176,544        176,544       —        —  

Wells Fargo Securities LLC

     123,496        123,496       —        —  
 

 

 

     

 

 

    

 

 

     

 

 

  
  $ 34,476,637      $ 34,397,983     $ —      $ (78,654 ) 
 

 

 

     

 

 

    

 

 

     

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   137

Notes to Financial Statements   (continued)

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

    

   Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

       Net Amount  

 

  

Morningstar Mid-Cap Growth

        

Barclays Bank PLC

   $ 112,110     $ 112,110     $ —     $ —  

Barclays Capital, Inc.

     2,309,626       2,309,626       —       —  

BNP Paribas SA

     12,100,222       12,100,222       —       —  

BofA Securities, Inc.

     6,198,858       6,198,858       —       —  

Citigroup Global Markets, Inc.

     2,814,102       2,814,102       —       —  

Goldman Sachs & Co. LLC

     6,663,951       6,663,951       —       —  

J.P. Morgan Securities LLC

     21,078,064       21,078,064       —       —  

Jefferies LLC

     164,429       164,429       —       —  

Morgan Stanley

     11,024,400       11,024,400       —       —  

Natixis SA

     3,892       3,892       —       —  

Nomura Securities International, Inc.

     7,024       7,024       —       —  

RBC Capital Markets LLC

     25,455       25,455       —       —  

Scotia Capital (USA), Inc.

     3,549,050       3,549,050       —       —  

SG Americas Securities LLC

     949,693       949,693       —       —  

State Street Bank & Trust Co.

     1,730,054       1,730,054       —       —  

Toronto-Dominion Bank

     20,342       20,342       —       —  

UBS AG

     1,937,980       1,937,980       —       —  

UBS Securities LLC

     757,905       757,905       —       —  

Wells Fargo Bank N.A.

     266,629       266,629       —       —  

Wells Fargo Securities LLC

     136,793       136,793       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 71,850,579     $ 71,850,579     $ —     $ —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Mid-Cap Value

        

Barclays Bank PLC

   $ 1,911,236     $ 1,911,236     $ —     $ —  

Barclays Capital, Inc.

     2,452,707       2,452,707       —       —  

BNP Paribas SA

     668,483       668,483       —       —  

Citigroup Global Markets, Inc.

     213,494       213,494       —       —  

Goldman Sachs & Co. LLC

     1,043,151       1,043,151       —       —  

J.P. Morgan Securities LLC

     2,121,474       2,121,474       —       —  

Jefferies LLC

     7,092       7,092       —       —  

Morgan Stanley

     154,273       154,273       —       —  

Nomura Securities International, Inc.

     11,352       11,352       —       —  

SG Americas Securities LLC

     28,212       26,679       —       (1,533 )(b) 

UBS AG

     391,663       391,663       —       —  

UBS Securities LLC

     294,709       294,709       —       —  

Virtu Americas LLC

     217,582       217,582       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 9,515,428     $ 9,513,895     $ —     $ (1,533 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

 

 

138  

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Notes to Financial Statements   (continued)

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

 

    

   Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

       Net Amount  

 

  

Morningstar Small-Cap

        

Barclays Bank PLC

   $ 1,563,687     $ 1,563,687     $ —     $ —  

Barclays Capital, Inc.

     164,376       164,376       —       —  

BNP Paribas SA

     5,226,967       5,226,967       —       —  

BofA Securities, Inc.

     1,387,619       1,387,619       —       —  

Citadel Clearing LLC

     79,354       79,354       —       —  

Citigroup Global Markets, Inc.

     196,836       196,836       —       —  

Credit Suisse Securities (USA) LLC

     203,823       203,823       —       —  

Goldman Sachs & Co. LLC

     2,812,588       2,812,588       —       —  

HSBC Bank PLC

     188       188       —       —  

J.P. Morgan Securities LLC

     1,924,158       1,924,158       —       —  

Jefferies LLC

     143,995       143,995       —       —  

Morgan Stanley

     3,697,026       3,697,026       —       —  

National Financial Services LLC

     420,251       420,251       —       —  

Natixis SA

     19,204       19,204       —       —  

RBC Capital Markets LLC

     27,900       27,343       —       (557 )(b) 

Scotia Capital (USA), Inc.

     396,864       396,864       —       —  

SG Americas Securities LLC

     282,780       266,764       —       (16,016 )(b) 

State Street Bank & Trust Co.

     129,284       129,284       —       —  

Toronto-Dominion Bank

     369,662       369,662       —       —  

UBS AG

     911,923       911,923       —       —  

UBS Securities LLC

     254,309       254,309       —       —  

Wells Fargo Bank N.A.

     186,124       186,124       —       —  

Wells Fargo Securities LLC

     380,693       380,693       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 20,779,611     $ 20,763,038     $ —     $ (16,573 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Small-Cap Growth

        

Barclays Bank PLC

   $ 3,459,790     $ 3,459,790     $ —     $ —  

Barclays Capital, Inc.

     395,106       395,106       —       —  

BMO Capital Markets Corp.

     60,471       60,471       —       —  

BNP Paribas SA

     12,177,926       12,177,926       —       —  

BofA Securities, Inc.

     3,505,149       3,505,149       —       —  

Citigroup Global Markets, Inc.

     1,923,034       1,923,034       —       —  

Credit Suisse Securities (USA) LLC

     83,798       83,798       —       —  

Goldman Sachs & Co. LLC

     8,889,286       8,889,286       —       —  

HSBC Bank PLC

     2,229       2,229       —       —  

ING Financial Markets LLC

     3,878       3,878       —       —  

J.P. Morgan Securities LLC

     4,456,131       4,456,131       —       —  

Jefferies LLC

     836,763       836,763       —       —  

Mizuho Securities USA LLC

     90       90       —       —  

Morgan Stanley

     7,834,505       7,834,505       —       —  

National Financial Services LLC

     1,857,416       1,857,416       —       —  

Natixis SA

     31,328       31,328       —       —  

Scotia Capital (USA), Inc.

     308,024       308,024       —       —  

SG Americas Securities LLC

     101,962       101,962       —       —  

State Street Bank & Trust Co.

     845,050       845,050       —       —  

Toronto-Dominion Bank

     1,253,536       1,253,536       —       —  

UBS AG

     1,936,399       1,936,399       —       —  

UBS Securities LLC

     657,947       657,947       —       —  

Virtu Americas LLC

     408,796       408,796       —       —  

Wells Fargo Bank N.A.

     144       144       —       —  

Wells Fargo Securities LLC

     409,125       409,125       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 51,437,883     $ 51,437,883     $ —     $ —  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   139

Notes to Financial Statements   (continued)

 

 

  
iShares ETF and Counterparty    

 Market Value of

Securities on Loan

  

 

    

   Cash Collateral

Received

  

(a) 

    

 Non-Cash Collateral

Received

  

 

       Net Amount  

 

  

Morningstar Small-Cap Value

        

Barclays Bank PLC

   $ 1,111,735     $ 1,111,735     $ —     $ —  

Barclays Capital, Inc.

     448,925       448,925       —       —  

BNP Paribas SA

     1,213,586       1,213,586       —       —  

BofA Securities, Inc.

     1,353,090       1,353,090       —       —  

Citadel Clearing LLC

     223,593       223,593       —       —  

Citigroup Global Markets, Inc.

     19,356       19,356       —       —  

Credit Suisse Securities (USA) LLC

     165,903       165,903       —       —  

Deutsche Bank Securities, Inc.

     27,640       27,640       —       —  

Goldman Sachs & Co. LLC

     4,033,288       4,033,288       —       —  

J.P. Morgan Securities LLC

     3,640,550       3,640,550       —       —  

Jefferies LLC

     1,419       1,419       —       —  

Morgan Stanley

     3,021,466       3,021,466       —       —  

National Financial Services LLC

     740,449       740,449       —       —  

Natixis SA

     7,752       7,752       —       —  

SG Americas Securities LLC

     34,515       34,515       —       —  

Toronto-Dominion Bank

     836,015       836,015       —       —  

UBS AG

     813,751       813,751       —       —  

UBS Securities LLC

     439,921       439,921       —       —  

Wells Fargo Bank N.A.

     24,725       24,725       —       —  

Wells Fargo Securities LLC

     415,445       415,445       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 18,573,124     $ 18,573,124     $ —     $ —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar U.S. Equity

        

Barclays Bank PLC

   $ 316,276      $ 316,276     $ —      $ —  

BNP Paribas SA

     1,563,198       1,563,198       —       —  

BofA Securities, Inc.

     144,290       144,290       —       —  

Citigroup Global Markets, Inc.

     682,024       682,024       —       —  

Goldman Sachs & Co. LLC

     1,429,154       1,429,154       —       —  

J.P. Morgan Securities LLC

     1,995,776       1,995,776       —       —  

Jefferies LLC

     255,060       255,060       —       —  

Morgan Stanley

     776,344       776,344       —       —  

National Financial Services LLC

     87,428       87,428       —       —  

RBC Capital Markets LLC

     3,833,588       3,833,588       —       —  

Scotia Capital (USA), Inc.

     516,515       516,515       —       —  

SG Americas Securities LLC

     270,103       270,103       —       —  

State Street Bank & Trust Co.

     575,637       575,637       —       —  

Toronto-Dominion Bank

     9,808       9,808       —       —  

UBS AG

     1,611,104       1,611,104       —       —  

UBS Securities LLC

     224,067       224,067       —       —  

Wells Fargo Bank N.A.

     73,381       73,381       —       —  

Wells Fargo Securities LLC

     124,991       124,991       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 14,488,744     $ 14,488,744     $ —     $ —  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Value

        

Barclays Bank PLC

   $ 774,676     $ 774,676     $ —     $ —  

Barclays Capital, Inc.

     68,011       68,011       —       —  

BNP Paribas SA

     1,400,459       1,400,459       —       —  

Citigroup Global Markets, Inc.

     86,491       86,491       —       —  

Goldman Sachs & Co. LLC

     220,856       220,856       —       —  

J.P. Morgan Securities LLC

     124,485       124,485       —       —  

Jefferies LLC

     451,606       451,606       —       —  

Morgan Stanley

     182,211       182,211       —       —  

Scotia Capital (USA), Inc.

     14,492       14,492       —       —  

State Street Bank & Trust Co.

     3,385       3,385       —       —  

UBS AG

     288,493       288,493       —       —  

Wells Fargo Securities LLC

     516       516       —       —  
 

 

 

    

 

 

    

 

 

    

 

 

  
  $ 3,615,681     $ 3,615,681     $ —     $ —  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

  (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.

 

 

 

140  

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Notes to Financial Statements   (continued)

 

  (b) 

The market value of the loaned securities is determined as of April 30, 2022. Additional collateral is delivered to the Fund on the next business day in accordance with the MSLA. The net amount would be subject to the borrower default indemnity in the event of default by a counterparty.

 

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, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent 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 market 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. Such losses are borne entirely by each Fund.

 

5.

DERIVATIVE FINANCIAL INSTRUMENTS

Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).

Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.

Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.

 

6.

INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (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 trustees).

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  

Morningstar Growth

     0.04 % 

Morningstar Mid-Cap

     0.04  

Morningstar Mid-Cap Growth

     0.06  

Morningstar Mid-Cap Value

     0.06  

Morningstar Small-Cap

     0.04  

Morningstar Small-Cap Growth

     0.06  

Morningstar Small-Cap Value

     0.06  

Morningstar U.S. Equity

     0.03  

Morningstar Value

     0.04  

Distributor: BlackRock Investments, LLC (“BRIL”), 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.

ETF Servicing Fees: Each Fund has entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. The Funds do not pay BRIL for ETF Services.

Prior to April 25, 2022, ETF Services were performed by State Street Bank and Trust Company.

Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. However, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   141

Notes to Financial Statements   (continued)

 

collateral investment fees each Fund bears to an annual rate of 0.04%. The SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each Fund retains 81% of securities lending income (which excludes collateral investment fees) 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 that calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Prior to January 1, 2022, each Fund retained 77% of securities lending income (which excludes collateral investment fees) and the amount retained was not 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 the iShares ETF Complex in a calendar year exceeded a specified threshold, each Fund, pursuant to the securities lending agreement, retained for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended April 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:

 

 

  
iShares ETF  

Fees Paid   

to BTC   

  

 

  

Morningstar Growth

   $ 24,907     

Morningstar Mid-Cap

     32,388     

Morningstar Mid-Cap Growth

     54,842     

Morningstar Mid-Cap Value

     8,718     

Morningstar Small-Cap

     63,028     

Morningstar Small-Cap Growth

     137,464     

Morningstar Small-Cap Value

     28,386     

Morningstar U.S. Equity

     12,986     

Morningstar Value

     2,939     

Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.

Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended April 30, 2022, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:

 

       
iShares ETF   Purchases     Sales    

Net Realized

Gain (Loss)

  

Morningstar Growth

   $   221,797,266     $   221,712,631     $ 17,861,113  

Morningstar Mid-Cap

     130,595,933       97,817,261       3,767,421  

Morningstar Mid-Cap Growth

     274,582,528          251,738,346       (14,122,113 ) 

Morningstar Mid-Cap Value

     134,748,333       111,101,665       1,105,185  

Morningstar Small-Cap

     29,555,101       48,667,035       4,666,732  

Morningstar Small-Cap Growth

     118,756,283       126,995,498          (906,873 )   

Morningstar Small-Cap Value

     85,974,604       85,929,562       (33,391 ) 

Morningstar U.S. Equity

     21,362,876       13,559,132       49,817  

Morningstar Value

     105,522,768       76,007,034       2,612,913  

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 shown as dividends – affiliated in the Statements of Operations.

A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.

 

 

142  

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Notes to Financial Statements   (continued)

 

7.

PURCHASES AND SALES

For the year ended April 30, 2022, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:

 

     
iShares ETF   Purchases      Sales     

Morningstar Growth

   $ 458,722,559      $ 458,429,060     

Morningstar Mid-Cap

     236,370,530        235,283,011     

Morningstar Mid-Cap Growth

     545,114,910        545,191,185     

Morningstar Mid-Cap Value

     199,940,094        197,815,594     

Morningstar Small-Cap

     94,902,468        94,591,831     

Morningstar Small-Cap Growth

       269,043,605          273,092,873     

Morningstar Small-Cap Value

     198,537,983        196,074,649     

Morningstar U.S. Equity

     52,654,983        52,544,933     

Morningstar Value

     159,891,543        159,199,622     

For the year ended April 30, 2022, in-kind transactions were as follows:

 

     
iShares ETF  

In-kind

Purchases

    

In-kind   

Sales   

  

Morningstar Growth

   $   208,285,311        $   221,715,303     

Morningstar Mid-Cap

     135,520,833       191,444,968     

Morningstar Mid-Cap Growth

     546,655,882       799,061,929     

Morningstar Mid-Cap Value

     173,122,618       138,291,813     

Morningstar Small-Cap

     2,708,504       5,191,227     

Morningstar Small-Cap Growth

     11,306,176       339,637,855     

Morningstar Small-Cap Value

     134,154,259       184,317,720     

Morningstar U.S. Equity

     6,196,259       83,293,475     

Morningstar Value

     105,259,233       16,429,592     

 

8.

INCOME TAX INFORMATION

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Management has analyzed tax laws and regulations and their application to the Funds as of April 30, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of April 30, 2022, permanent differences attributable to distributions paid in excess of taxable income and realized gains (losses) from in-kind redemptions were reclassified to the following accounts:

 

     
iShares ETF   Paid-in Capital     

Accumulated

Earnings (Loss)

  

Morningstar Growth

   $ 89,673,414      $ (89,673,414 )    

Morningstar Mid-Cap

     38,975,653        (38,975,653 ) 

Morningstar Mid-Cap Growth

     174,553,901        (174,553,901 ) 

Morningstar Mid-Cap Value

     30,058,468        (30,058,468 ) 

Morningstar Small-Cap

     269,571        (269,571 ) 

Morningstar Small-Cap Growth

     15,083,052        (15,083,052 ) 

Morningstar Small-Cap Value

     39,869,251        (39,869,251 ) 

Morningstar U.S. Equity

     15,282,349        (15,282,349 ) 

Morningstar Value

     3,351,560        (3,351,560 ) 

The tax character of distributions paid was as follows:

 

     
iShares ETF  

Year Ended

04/30/22

     

Year Ended

04/30/21

  

Morningstar Growth

     

Ordinary income

   $ 9,412,555      $ 4,551,595  
 

 

 

     

 

 

  

Morningstar Mid-Cap

     

Ordinary income

   $ 11,074,412      $   8,255,303  
 

 

 

     

 

 

  

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   143

Notes to Financial Statements   (continued)

 

 

  
iShares ETF   Year Ended
04/30/22		      Year Ended
04/30/21		  

 

  

Morningstar Mid-Cap Growth

     

Ordinary income

   $ 7,275,693      $ 981,614  
 

 

 

     

 

 

  

Morningstar Mid-Cap Value

     

Ordinary income

   $ 9,487,846      $ 8,834,502  
 

 

 

     

 

 

  

Morningstar Small-Cap

     

Ordinary income

   $ 2,987,187      $ 2,733,151  
 

 

 

     

 

 

  

Morningstar Small-Cap Growth

     

Ordinary income

   $ 3,156,876      $ 481,903  
 

 

 

     

 

 

  

Morningstar Small-Cap Value

     

Ordinary income

   $ 7,825,447      $ 6,659,248  
 

 

 

     

 

 

  

Morningstar U.S. Equity

     

Ordinary income

   $ 11,513,059      $ 10,641,246  
 

 

 

     

 

 

  

Morningstar Value

     

Ordinary income

   $ 16,144,141      $ 15,026,189  
 

 

 

     

 

 

  

As of April 30, 2022, the tax components of accumulated net earnings (losses) were as follows:

 

           
iShares ETF    
 Undistributed
Ordinary Income		  
 		     

 Non-expiring

Capital Loss

Carryforwards

  

 

(a) 

    

 Net Unrealized

Gains (Losses)

  

(b) 

    

 Qualified

Late-Year Losses

  

(c) 

     Total  

Morningstar Growth

   $ 330,587      $ (76,630,684 )    $ 166,153,389     $ —     $ 89,853,292  

Morningstar Mid-Cap

     —        (39,318,897 )      20,804,573       —       (18,514,324 )   

Morningstar Mid-Cap Growth

     —        (84,572,455 )      (121,536,547 )      —       (206,109,002 ) 

Morningstar Mid-Cap Value

     —        (22,659,568 )      55,056,946       —       32,397,378  

Morningstar Small-Cap

     —        (19,390,575 )      (29,709,294 )      —       (49,099,869 ) 

Morningstar Small-Cap Growth

     189,793        (62,157,054 )      (91,771,620 )      —       (153,738,881 ) 

Morningstar Small-Cap Value

     —        (35,458,005 )      (5,560,096 )      (278,708 )      (41,296,809 ) 

Morningstar U.S. Equity

     566,513        (52,470,762 )      70,167,453       —       18,263,204  

Morningstar Value

     1,099,536        (45,924,606 )      78,340,773       —       33,515,703  

 

  (a) 

Amounts available to offset future realized capital gains.

 
  (b) 

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains (losses) on certain futures contracts, the timing and recognition of partnership income, the characterization of corporate actions and the realization for tax purposes of unrealized gains on investments in passive foreign investment companies.

 
  (c) 

The Fund has elected to defer certain qualified late-year losses and recognize such losses in the next taxable year.

 

For the year ended April 30, 2022, the Funds listed below utilized the following amounts of their respective capital loss carryforwards:

 

   
iShares ETF   Utilized     

Morningstar Growth

   $  32,832,220     

Morningstar Mid-Cap

     16,718,368     

Morningstar Mid-Cap Value

     4,505,010     

Morningstar Small-Cap

     7,568,193     

Morningstar U.S. Equity

     4,046,813     

Morningstar Value

     7,508,765     

 

 

144  

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Notes to Financial Statements   (continued)

 

As of April 30, 2022, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:

 

         
iShares ETF   Tax Cost     

Gross Unrealized

Appreciation

     

Gross Unrealized

Depreciation

    

Net Unrealized

Appreciation
(Depreciation)

  

Morningstar Growth

   $  1,576,928,635      $ 325,420,500      $ (159,267,111 )    $ 166,153,389  

Morningstar Mid-Cap

     799,116,228        117,964,226        (97,159,653 )      20,804,573  

Morningstar Mid-Cap Growth

     1,285,361,274        69,385,913        (190,922,460 )      (121,536,547 )   

Morningstar Mid-Cap Value

     452,910,774        81,399,930        (26,342,984 )      55,056,946  

Morningstar Small-Cap

     251,700,089        20,828,795        (50,538,089 )      (29,709,294 ) 

Morningstar Small-Cap Growth

     464,407,948        20,256,882        (112,028,502 )      (91,771,620 ) 

Morningstar Small-Cap Value

     392,291,025        41,389,066        (46,949,162 )      (5,560,096 ) 

Morningstar U.S. Equity

     735,074,936        141,183,311        (71,015,858 )      70,167,453  

Morningstar Value

     714,802,822        118,405,413        (40,064,640 )      78,340,773  

 

9.

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. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. 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.

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, the duration of this pandemic and its effects cannot be determined with certainty.

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   145

Notes to Financial Statements   (continued)

 

bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.

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

Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a Fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

 

10.

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 were as follows:

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		  
                         
iShares ETF   Shares     Amount     Shares     Amount  

 

  

Morningstar Growth

        

Shares sold

     3,350,000     $ 208,754,686       29,900,000 (a)    $ 1,604,954,974  

Shares redeemed

     (3,450,000 )         (222,204,880 )         (34,900,000 )(a)      (1,871,413,497 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net decrease

     (100,000 )    $ (13,450,194 )      (5,000,000 )    $ (266,458,523 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Mid-Cap

        

Shares sold

     2,050,000     $ 136,072,736       7,400,000 (b)    $ 452,376,412  

Shares redeemed

     (2,900,000 )      (192,909,929 )      (7,200,000 )(b)      (438,262,629 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     (850,000 )    $ (56,837,193 )      200,000     $ 14,113,783  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Mid-Cap Growth

        

Shares sold

     8,050,000     $ 550,847,090       25,600,000 (c)    $ 1,476,002,219  

Shares redeemed

     (12,100,000 )      (805,314,148 )      (15,350,000 )(c)      (962,145,150 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     (4,050,000 )    $ (254,467,058 )      10,250,000     $ 513,857,069  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Mid-Cap Value

        

Shares sold

     2,650,000     $ 174,198,554       450,000 (d)    $ 24,647,782  

Shares redeemed

     (2,200,000 )      (138,867,102 )      (1,550,000 )(d)      (73,325,342 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     450,000     $ 35,331,452       (1,100,000 )    $ (48,677,560 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Small-Cap

        

Shares sold

     50,000     $ 2,817,190       3,000,000 (b)    $ 176,528,854  

Shares redeemed

     (100,000 )      (5,379,839 )      (4,050,000 )(b)      (218,483,462 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net decrease

     (50,000 )    $ (2,562,649 )      (1,050,000 )    $ (41,954,608 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Small-Cap Growth

        

Shares sold

     250,000     $ 11,523,573       20,700,000 (c)    $ 1,003,545,020  

Shares redeemed

     (7,000,000 )      (344,329,581 )      (11,850,000 )(c)      (590,274,964 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     (6,750,000 )    $ (332,806,008 )      8,850,000     $ 413,270,056  
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Small-Cap Value

        

Shares sold

     2,350,000     $ 140,735,962       950,000 (d)    $ 52,199,867  

Shares redeemed

     (3,300,000 )      (189,343,887 )      (1,100,000 )(d)      (42,588,440 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     (950,000 )    $ (48,607,925 )      (150,000 )    $ 9,611,427  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

 

146  

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Notes to Financial Statements   (continued)

 

 

  
    Year Ended
04/30/22		     Year Ended
04/30/21		  
                         
iShares ETF   Shares     Amount     Shares     Amount  

 

  

Morningstar U.S. Equity

        

Shares sold

     100,000        $ 6,211,849          13,400,000 (b)    $     738,349,045  

Shares redeemed

     (1,350,000 )      (83,608,160 )      (15,900,000 )(b)      (856,010,554 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net decrease

     (1,250,000 )    $ (77,396,311 )      (2,500,000 )    $ (117,661,509 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Morningstar Value

        

Shares sold

     1,600,000     $   105,690,073       7,100,000 (e)    $ 421,625,514  

Shares redeemed

     (250,000 )      (16,504,115 )      (5,600,000 )(e)      (329,751,312 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase

     1,350,000     $ 89,185,958       1,500,000     $ 91,874,202  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

  (a) 

Share transactions reflect a five-for-one stock split effective after the close of trading on April 16, 2021.

 
  (b) 

Share transactions reflect a four-for-one stock split effective after the close of trading on April 16, 2021.

 
  (c) 

Share transactions reflect a six-for-one stock split effective after the close of trading on April 16, 2021.

 
  (d) 

Share transactions reflect a three-for-one stock split effective after the close of trading on April 16, 2021.

 
  (e) 

Share transactions reflect a two-for-one stock split effective after the close of trading on April 16, 2021.

 

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to BRIL, 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 shares sold in the table above.

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 transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.

 

11.

LEGAL PROCEEDINGS

Certain iShares funds (the “Impacted Funds”), along with thousands of other former shareholders of Tribune Company (“Tribune”), were named as defendants in one or more lawsuits (the “Litigation”) arising out of Tribune’s 2007 leveraged buyout transaction (“LBO”). The Litigation sought to “claw back” from former Tribune shareholders, including the Impacted Funds, proceeds received in connection with the LBO. The iShares Morningstar Mid-Cap Value ETF received proceeds of $404,668 in the LBO. The claims that were originally brought against the Impacted Funds were dismissed but were subject to various appeals and, accordingly, the Litigation is now closed.

 

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 additional disclosure in the financial statements.

 

 

N O T E S   T O   F I N A N C I A L   S T A T E M E N T S

   147

Report of Independent Registered Public Accounting Firm

 

To the Board of Trustees of iShares Trust and

Shareholders of iShares Morningstar Growth ETF, iShares Morningstar Mid-Cap ETF, iShares

Morningstar Mid-Cap Growth ETF, iShares Morningstar Mid-Cap Value ETF, iShares Morningstar Small-

Cap ETF, iShares Morningstar Small-Cap Growth ETF, iShares Morningstar Small-Cap Value ETF, iShares

Morningstar U.S. Equity ETF and iShares Morningstar Value ETF

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares Morningstar Growth ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Mid-Cap Growth ETF, iShares Morningstar Mid-Cap Value ETF, iShares Morningstar Small-Cap ETF, iShares Morningstar Small-Cap Growth ETF, iShares Morningstar Small-Cap Value ETF, iShares Morningstar U.S. Equity ETF and iShares Morningstar Value ETF (nine of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2022, the related statements of operations for the year ended April 30, 2022, the statements of changes in net assets for each of the two years in the period ended April 30, 2022, including the related notes, and the financial highlights for each of the five years in the period ended April 30, 2022 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2022 and each of the financial highlights for each of the five years in the period ended April 30, 2022 in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2022 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 23, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.

 

 

148  

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Important Tax Information (unaudited)

 

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Dividend  

Income  

  

Morningstar Growth

     $ 9,261,676    

Morningstar Mid-Cap

     9,215,657    

Morningstar Mid-Cap Growth

     5,956,044    

Morningstar Mid-Cap Value

     7,752,252    

Morningstar Small-Cap

     2,190,365    

Morningstar Small-Cap Growth

     2,130,403    

Morningstar Small-Cap Value

     5,870,322    

Morningstar U.S. Equity

     11,103,422    

Morningstar Value

     15,706,495    

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended April 30, 2022:

 

   
iShares ETF  

Qualified Business  

Income  

  

Morningstar Growth

     $ 402,296    

Morningstar Mid-Cap

     616,009    

Morningstar Mid-Cap Growth

     440,685    

Morningstar Mid-Cap Value

     474,390    

Morningstar Small-Cap

     241,156    

Morningstar Small-Cap Growth

     264,553    

Morningstar Small-Cap Value

     639,466    

Morningstar U.S. Equity

     221,581    

Morningstar Value

     215,268    

The following percentage, or maximum percentage allowable by law, of ordinary income distributions paid during the fiscal year ended April 30, 2022 qualified for the dividends-received deduction for corporate shareholders:

 

   
iShares ETF  

Dividends-Received

Deduction

  

Morningstar Growth

     94.53 % 

Morningstar Mid-Cap

     79.90 % 

Morningstar Mid-Cap Growth

     85.93 % 

Morningstar Mid-Cap Value

     78.73 % 

Morningstar Small-Cap

     72.55 % 

Morningstar Small-Cap Growth

     65.69 % 

Morningstar Small-Cap Value

     74.21 % 

Morningstar U.S. Equity

     93.05 % 

Morningstar Value

     93.55 % 

 

 

I M P O R T A N T   T A X   I N F  O R M A T I O N

   149

Statement Regarding Liquidity Risk Management Program (unaudited)

 

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares Morningstar Growth ETF, iShares Morningstar Mid-Cap ETF, iShares Morningstar Mid-Cap Growth ETF, iShares Morningstar Mid-Cap Value ETF, iShares Morningstar Small-Cap ETF, iShares Morningstar Small-Cap Growth ETF, iShares Morningstar Small-Cap Value ETF, iShares Morningstar U.S. Equity ETF and iShares Morningstar Value ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays and the imposition of capital controls in certain non-U.S. countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

 

  a)

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

 

  b)

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

 

  c)

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. While the ETFs generally do not engage in borrowing, certain of the ETFs have the flexibility to draw on a line of credit to meet redemption requests or facilitate settlements.

 

  d)

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs and reviewed any persistent deviations from long-term averages.

 

  e)

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

As part of BlackRock’s continuous review of the effectiveness of the Program, the Committee made the following material changes to the Program: (1) updates to certain model components in the Program’s methodology; and (2) certain iShares Funds entered into a $800 million credit agreement with a group of lenders that replaced a previous liquidity facility. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.

 

 

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Supplemental Information  (unaudited)

 

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are being 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 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.

April 30, 2022

 

       
    Total Cumulative Distributions
for the Fiscal Year		         % Breakdown of the Total Cumulative
Distributions for the Fiscal Year		  
                                                     
iShares ETF  

Net

 Investment
Income

    

Net Realized

Capital Gains

    

Return of

Capital

    

Total Per

Share

    

  

  

Net

Investment
Income

    

Net Realized

Capital Gains

    

Return of

Capital

     Total Per
Share		  

Morningstar Growth(a)

   $ 0.285701     $ —     $  0.013644     $  0.299345         95 %      — %      5 %      100 % 

Morningstar Mid-Cap(a)

     0.783519       —       0.075272       0.858791         91       —       9       100  

Morningstar Mid-Cap Growth(a)

     0.384458       —       0.006987       0.391445         98       —       2       100  

Morningstar Mid-Cap Value(a)

     1.261261       —       0.031935       1.293196         98       —       2       100  

Morningstar Small-Cap(a)

     0.671233       —       0.048571       0.719804         93       —       7       100  

Morningstar Small-Cap Growth(a)

     0.318715       —       0.023922       0.342637         93       —       7       100  

Morningstar Small-Cap Value(a)

     1.048980       —       0.045155       1.094135         96       —       4       100  

Morningstar U.S. Equity(a)

     0.791670       —       0.006546       0.798216         99       —       1       100  

Morningstar Value(a)

     1.369006       —       0.003072       1.372078           100       —       0 (b)      100  

 

  (a) 

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share.

 
  (b) 

Rounds to less than 1%.

 

Premium/Discount Information

Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.

 

 

S U P P L E M E N T A L   I N F O R M A T I O N

   151

Trustee and Officer Information

 

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 380 funds as of April 30, 2022. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated John E. Kerrigan as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

 

     Interested Trustees     
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Robert S. Kapito(a)

(65)

    Trustee (since 2009).    President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002).    Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011).

Salim Ramji(b)

(51)

    Trustee (since 2019).    Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014).    Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019).

 

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

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

Independent Trustees
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

John E. Kerrigan

(66)

    Trustee (since 2005); Independent Board Chair (since 2022).    Chief Investment Officer, Santa Clara University (since 2002).   

Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2022).

 

Jane D. Carlin

(66)

    Trustee (since 2015); Risk Committee Chair (since 2016).    Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).   

Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016).

 

Richard L. Fagnani

(67)

    Trustee (since 2017); Audit Committee Chair (since 2019).    Partner, KPMG LLP (2002-2016).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

 

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Trustee and Officer Information  (continued)

 

Independent Trustees (continued)
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Cecilia H. Herbert

(73)

    Trustee (since 2005); Nominating and Governance and Equity Plus Committee Chairs (since 2022).    Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Trustee of Thrivent Church Loan and Income Fund (since 2019).

Drew E. Lawton

(63)

    Trustee (since 2017); 15(c) Committee Chair (since 2017).    Senior Managing Director of New York Life Insurance Company (2010-2015).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

John E. Martinez

(60)

    Trustee (since 2003); Securities Lending Committee Chair (since 2019).    Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016).    Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011).

Madhav V. Rajan

(57)

    Trustee (since 2011); Fixed Income Plus Committee Chair (since 2019).    Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016).    Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011).
Officers
     
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

Armando Senra

(50)

    President (since 2019).    Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006).

Trent Walker

(47)

    Treasurer and Chief Financial Officer (since 2020).    Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.

Charles Park

(54)

    Chief Compliance Officer (since 2006).    Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006).

Deepa Damre Smith

(46)

    Secretary (since 2019).    Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013).

Rachel Aguirre

(39)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2018); Director, BlackRock, Inc. (2009-2018); Head of U.S. iShares Product (since 2022); Head of EII U.S. Product Engineering (since 2021); Co-Head of EII’s Americas Portfolio Engineering (2020-2021); Head of Developed Markets Portfolio Engineering 2021); Head of Developed Markets Portfolio Engineering (2016-2019).

Jennifer Hsui

(46)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2009); Co-Head of Index Equity (since 2022).

James Mauro

(51)

    Executive Vice President (since 2022).    Managing Director, BlackRock, Inc. (since 2010); Head of Fixed Income Index Investments in the Americas and Head of San Francisco Core Portfolio Management (since 2020).

 

 

T R U S T E E   A N D   O F F I C E R   I N F O R M A T I O N

   153

Trustee and Officer Information  (continued)

 

Effective March 18, 2022, Rachel Aguirre, Jennifer Hsui, and James Mauro have replaced Scott Radell, Alan Mason, and Marybeth Leithead as Executive Vice Presidents.

 

 

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General Information

 

Electronic Delivery

Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at 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 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 and Rule 30e-3 notices 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 Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.

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 iShares.com; and (3) on the SEC website at sec.gov.

A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.

 

 

G E N E R A L   I N F O R M A T I O N

   155

Glossary of Terms Used in this Report

 

Portfolio Abbreviations - Equity
NVS    Non-Voting Shares
REIT    Real Estate Investment Trust

 

 

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Want to know more?

iShares.com   |   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 Morningstar, 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.

©2022 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-AR-404-0422

 

 

LOGO

   LOGO

 

LOGO

  APRIL 30, 2022

 

 

    

   

2022 Annual Report

 

 

iShares Trust

 

·

  

iShares Cohen & Steers REIT ETF | ICF | Cboe BZX

·

  

iShares Core U.S. REIT ETF | USRT | NYSE Arca

·

  

iShares Global REIT ETF | REET | NYSE Arca

·

  

iShares International Developed Real Estate ETF | IFGL | NASDAQ

 

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of April 30, 2022 saw the emergence of significant challenges that disrupted the economic recovery and strong financial markets which characterized 2021. The U.S. economy shrank in the first quarter of 2022, ending the run of robust growth which followed reopening and the development of the COVID-19 vaccines. Rapid changes in consumer spending led to supply constraints and elevated inflation, which reached a 40-year high. Moreover, while the foremost effect of Russia’s invasion of Ukraine has been a severe humanitarian crisis, the invasion has presented challenges for both investors and policymakers.

Equity prices were mixed but mostly down, as persistently high inflation drove investors’ expectations for higher interest rates, particularly weighing on relatively high valuation growth stocks and economically sensitive small-capitalization stocks. Overall, small-capitalization U.S. stocks declined, while large-capitalization U.S. stocks were nearly flat. Both emerging market stocks and international equities from developed markets fell significantly, pressured by rising interest rates and a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as increasing inflation drove investors’ expectations for higher interest rates. The corporate bond market also faced inflationary headwinds, and increasing uncertainty led to higher corporate bond spreads (the difference in yield between U.S. Treasuries and similarly-dated corporate bonds).

The U.S. Federal Reserve (the “Fed”), acknowledging that inflation is growing faster than expected, raised interest rates in March 2022, the first increase of this business cycle. Furthermore, the Fed wound down its bond-buying programs and raised the prospect of reversing the flow and reducing its balance sheet. Continued high inflation and the Fed’s new tone led many analysts to anticipate that the Fed will continue to raise interest rates multiple times throughout the year.

Looking ahead, however, the horrific war in Ukraine has significantly clouded the outlook for the global economy, leading to major volatility in energy and metal markets. Sanctions on Russia, Europe’s top energy supplier, and general wartime disruption are likely to drive already-high commodity prices even higher. We believe sharp increases in energy prices will exacerbate inflationary pressure while also constraining economic growth. Combating inflation without stifling a recovery, while buffering against ongoing supply and price shocks amid the ebb and flow of the pandemic, will be an especially challenging environment for setting effective monetary policy. Despite the likelihood of more rate increases on the horizon, we believe the Fed will err on the side of protecting employment, even at the expense of higher inflation.

In this environment, we favor an overweight to equities, as valuations have become more attractive and inflation-adjusted interest rates remain low. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and healthcare, are particularly attractive in the long term. We favor U.S. equities due to strong earnings momentum, while Japanese equities should benefit from supportive monetary and fiscal policy. We are underweight credit overall, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities for additional yield. We believe that international diversification and a focus on sustainability and quality can help provide portfolio resilience.

Overall, our view is that investors need to think globally, extend their scope across a broad array of asset classes, and be nimble as market conditions change. We encourage you to talk with your financial advisor and visit iShares.com for further insight about investing in today’s markets.

Sincerely,

 

LOGO

Rob Kapito

President, BlackRock, Inc.

LOGO

Rob Kapito

President, BlackRock, Inc.

 

Total Returns as of April 30, 2022  
     
     6-Month     12-Month  
   

U.S. large cap equities
(S&P 500® Index)

     (9.65)%       0.21%  
   

U.S. small cap equities
(Russell 2000® Index)

     (18.38)          (16.87)    
   

International equities
(MSCI Europe, Australasia, Far East Index)

     (11.80)          (8.15)    
   

Emerging market equities
(MSCI Emerging Markets Index)

     (14.15)          (18.33)    
   

3-month Treasury bills
(ICE BofA 3-Month U.S. Treasury Bill Index)

     0.07           0.08     
   

U.S. Treasury securities
(ICE BofA 10-Year U.S. Treasury Index)

     (10.29)          (8.86)    
   

U.S. investment grade bonds
(Bloomberg U.S. Aggregate Bond Index)

     (9.47)          (8.51)    
   

Tax-exempt municipal bonds
(Bloomberg Municipal Bond Index)

     (7.90)          (7.88)    
   

U.S. high yield bonds
(Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)

     (7.40)          (5.22)    
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.

 

 

 

 

2  

T H I S   P A G E   I S   N O T   P A R T   O F   Y O U R   F U N D   R E P O R T

Table of Contents

 

      Page  

The Markets in Review

      2  

Market Overview

      4  

Fund Summary

      5  

About Fund Performance

      13  

Shareholder Expenses

      13  

Schedules of Investments

      14  

Financial Statements

   

Statements of Assets and Liabilities

      30  

Statements of Operations

      31  

Statements of Changes in Net Assets

      32  

Financial Highlights

      34  

Notes to Financial Statements

      38  

Report of Independent Registered Public Accounting Firm

      47  

Important Tax Information (Unaudited)

      48  

Statement Regarding Liquidity Risk Management Program

      49  

Supplemental Information

      50  

Trustee and Officer Information

      51  

General Information

      54  

Glossary of Terms Used in this Report

      55  

Market Overview

 

iShares Trust

Global Market Overview

Global equity markets declined during the 12 months ended April 30, 2022 (“reporting period”). The MSCI ACWI, a broad global equity index that includes both developed and emerging markets, returned -5.44% in U.S. dollar terms for the reporting period.

In the first half of the reporting period, stocks were supported by economic recovery in most regions of the world. The global economy continued to rebound from the impact of restrictions imposed at the beginning of the coronavirus pandemic, as mitigation and adaptation allowed most economic activity to continue. However, significant challenges emerged in the second half of the reporting period, erasing earlier gains. Inflation rose significantly in many countries, reducing consumers’ purchasing power and leading many central banks to tighten monetary policy. Russia’s invasion of Ukraine presented a further challenge to the global economy, disrupting markets in important commodities such as oil, natural gas, and wheat.

The U.S. economy grew briskly over the final three quarters of 2021, powered primarily by consumers with strong household balance sheets. Record-high personal savings rates allowed consumers to spend at an elevated level throughout much of the reporting period, releasing pent-up demand for goods and services. Hiring increased as businesses restored capacity, and unemployment decreased substantially, falling to 3.6% in April 2022 — only marginally higher than the pre-pandemic rate of 3.5% in February 2020. However, the economy contracted in the first quarter of 2022 amid lower inventory investment and an inflation-driven decline in consumer sentiment.

Rising inflation led to a shift in policy from the U.S. Federal Reserve Bank (“Fed”). As the reporting period began, the Fed was using accommodative monetary policy to stimulate the economy. Short-term interest rates were kept at near zero levels, and the Fed used bond-buying programs to stabilize debt markets. However, rising prices led the Fed to tighten monetary policy in the second half of the reporting period in an attempt to prevent runaway inflation. The Fed slowed and then ended its bond-buying activities and discussed plans to begin reducing its balance sheet by selling bonds later in 2022. In March 2022, it raised short-term interest rates and indicated that further increases could be necessary. Interest rates rose significantly in anticipation of further tightening, leading to higher borrowing costs for businesses.

Stocks declined in Europe and economic growth stalled, with the Eurozone economy slowing substantially in the second half of the reporting period. Significantly higher inflation and Russia’s invasion of Ukraine negatively impacted equities. Russia is an important trading partner with many European countries, and new sanctions against Russia imposed limits on certain types of trade with Russia. Investors became concerned that the sharp rise in energy prices during the reporting period would constrain economic growth, as Europe relies on imported energy for much of its industrial and heating needs. The European Central Bank (“ECB”) maintained ultra-low interest rates but started to wind down its bond buying program.

Despite relatively low inflation by global standards, Asia-Pacific stocks declined significantly. Chinese stocks endured substantial declines, driving much of the negative performance in the region. Regulatory interventions by the Chinese government weighed on equity markets, particularly in the information technology sector. While China’s economy continued to expand at a solid pace, COVID-19 cases rose sharply late in the reporting period, and analysts became concerned that the subsequent lockdowns would constrain growth.

 

 

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Fund Summary as of April 30, 2022    iShares® Cohen & Steers REIT ETF

 

Investment Objective

The iShares Cohen & Steers REIT ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. real estate investment trusts (REITs), as represented by the Cohen & Steers Realty Majors 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.

Performance

 

      Average Annual Total Returns            Cumulative Total Returns  
     1 Year      5 Years      10 Years             1 Year     5 Years     10 Years  

Fund NAV

     11.33 %       9.36 %       8.92 %         11.33 %      56.45 %      134.98 % 

Fund Market

     11.33        9.37        8.92          11.33       56.50       135.04  

Index

     11.71        9.76        9.31                11.71       59.28       143.56  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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.

Expense Example

 

  Actual         Hypothetical 5% Return       
 

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		       

     Annualized
Expense
Ratio		  
 
 
  $      1,000.00          $        983.30          $        1.57               $      1,000.00          $      1,023.20          $        1.61          0.32 % 

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D  S U M M A R Y

   5

Fund Summary as of April 30, 2022 (continued)    iShares® Cohen & Steers REIT ETF

 

Portfolio Management Commentary

Real estate investment trusts (“REITs”) advanced during the reporting period, benefiting from increased need for warehouses and storage space resulting from supply chain disruptions and the coronavirus pandemic. Industrial REITs that own and operate warehouses contributed the most to the Index’s return. Demand for warehouse space grew throughout 2021 as supply chain disruptions arising from the pandemic created a need for additional space to store a backlog of goods, supporting sharp rental price increases. Shifting consumer buying trends toward e-commerce and away from brick-and-mortar stores also added to growing demand for warehouse space, and occupancy rates at warehouses soared to record highs. Regulatory hurdles preventing the building of new warehouses in urban or suburban areas close to consumers limited the supply of new units.

Specialized REITs, particularly those involved in self-storage, also contributed to the Index. The COVID-19 pandemic encouraged Americans to declutter as they increasingly worked, studied, and exercised at home. To make room for home offices and gyms, people turned to self-storage rental units to store excess items. Growing demand for storage space helped reduce the excess supply of rental units that existed prior to the pandemic, which led to significant price increases and record occupancy rates. The positive environment meant that profits and revenues from self-storage companies exceeded analysts’ expectations.

Residential REITs, most notably those invested in apartment buildings, also contributed to the Index’s performance. Revenues and lease rates grew sharply in 2021 as renters returned to urban areas and the impact from the pandemic eased. In addition, as housing prices climbed higher, many potential homebuyers continued to rent rather than buy. Limited growth in new apartment buildings kept supply tight, which supported rental price increases.

Portfolio Information

 

ALLOCATION BY SECTOR

 

  

Sector

    
 Percent of
Total Investments		  
(a) 

Specialized REITs

     43.4 % 

Residential REITs

     19.2  

Industrial REITs

     10.6  

Retail REITs

     10.5  

Health Care REITs

     8.7  

Office REITs

     6.0  

Hotel & Resort REITs

     1.6  

TEN LARGEST HOLDINGS

 

  

Security

    
 Percent of
Total Investments		  
(a) 

Prologis Inc.

     8.3 % 

Crown Castle International Corp.

     8.2  

American Tower Corp.

     7.8  

Equinix Inc.

     7.1  

Public Storage

     6.2  

Digital Realty Trust Inc.

     4.5  

Welltower Inc.

     4.3  

Realty Income Corp.

     4.3  

Simon Property Group Inc.

     4.2  

SBA Communications Corp.

     4.1  
 

 

  (a)

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022    iShares® Core U.S. REIT ETF

 

Investment Objective

The iShares Core U.S. REIT ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. real estate equities, as represented by the FTSE Nareit Equity REITs 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     11.82 %       8.59 %       8.53 %        11.82 %       50.98 %       126.69 % 

Fund Market

     11.93        8.60        8.54         11.93        51.08        126.88  

Index

     11.92        8.62        8.77               11.92        51.23        131.71  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

Index performance through November 2, 2016 reflects the performance of the FTSE NAREIT Real Estate 50 Index. Index performance beginning on November 3, 2016 reflects the performance of the FTSE Nareit Equity REITS 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.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a)  		      

 Annualized
Expense
Ratio		  
 
 
  $      1,000.00          $      993.00          $        0.40               $      1,000.00          $       1,024.40          $        0.40          0.08 % 

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D  S U M M A R Y

   7

Fund Summary as of April 30, 2022 (continued)    iShares® Core U.S. REIT ETF

 

Portfolio Management Commentary

Real estate investment trusts (“REITs”) advanced during the reporting period, benefiting from increased need for warehouses and storage space amid supply chain disruptions and the coronavirus pandemic. REITs’ dividend payouts and growth potential attracted investors concerned about inflation and in search of an alternative to the low yields offered by bonds.

Industrial REITs that own and operate warehouses contributed the most to the Index’s return. Demand for warehouse space grew throughout 2021 as supply chain disruptions arising from the pandemic created a need for additional space to store a backlog of goods, supporting sharp rental price increases. Shifting consumer buying trends toward e-commerce and away from brick-and-mortar stores also added to growing demand for warehouse space, and occupancy rates at warehouses soared to record highs. Regulatory hurdles preventing the building of new warehouses in urban or suburban areas close to consumers limited the supply of new units.

Specialized REITs, particularly those involved in self-storage, also contributed to the Index. The COVID-19 pandemic encouraged Americans to declutter as they increasingly worked, studied, and exercised at home. To make room for home offices and gyms, people turned to self-storage rental units to store excess items. Growing demand for storage space helped reduce the excess supply of rental units that existed prior to the pandemic, which led to significant price increases and record occupancy rates. The positive environment meant that profits and revenues from self-storage companies exceeded analysts’ expectations.

Residential REITs, most notably those invested in apartment buildings, also contributed to the Index’s performance. Revenues and lease rates grew sharply in 2021 as renters returned to urban areas and the impact from the pandemic eased.

Portfolio Information

 

ALLOCATION BY SECTOR

 

  
   

Sector

    

 Percent of

Total Investments

  

(a) 

Specialized REITs

     23.4 % 

Residential REITs

     20.0  

Industrial REITs

     16.1  

Retail REITs

     14.2  

Health Care REITs

     10.2  

Office REITs

     8.8  

Hotel & Resort REITs

     3.7  

Diversified REITs

     3.6  

TEN LARGEST HOLDINGS

 

  
   

Security

    

 Percent of

Total Investments

  

(a) 

Prologis Inc.

     10.0 % 

Equinix Inc.

     5.4  

Public Storage

     4.7  

Digital Realty Trust Inc.

     3.5  

Welltower Inc.

     3.3  

Realty Income Corp.

     3.3  

Simon Property Group Inc.

     3.2  

AvalonBay Communities Inc.

     2.7  

Alexandria Real Estate Equities Inc.

     2.6  

Equity Residential

     2.5  
 

 

  (a)

Excludes money market funds.

 

 

 

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Fund Summary as of April 30, 2022    iShares® Global REIT ETF

 

Investment Objective

The iShares Global REIT ETF (the “Fund”) seeks to track the investment results of an index composed of global real estate equities in developed and emerging markets, as represented by the FTSE EPRA Nareit Global REITS 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years    

Since

Inception

            1 Year      5 Years      Since
Inception		  

Fund NAV

     5.14 %       6.11 %      5.69 %        5.14 %       34.52 %       54.14 % 

Fund Market

     4.83        6.03       5.65         4.83        33.98        53.65  

Index

     4.80        5.30       4.92               4.80        29.43        45.54  

GROWTH OF $10,000 INVESTMENT

(SINCE INCEPTION AT NET ASSET VALUE)

 

LOGO

The inception date of the Fund was 7/8/14. The first day of secondary market trading was 7/10/14.

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 13 for more information.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a)  		           

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a)  		      

 Annualized
Expense
Ratio		  
 
 
  $      1,000.00          $      965.90          $      0.68               $      1,000.00          $      1,024.10          $      0.70          0.14 % 

 

  (a)

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D  S U M M A R Y

   9

Fund Summary as of April 30, 2022 (continued)    iShares® Global REIT ETF

 

Portfolio Management Commentary

Global real estate investment trusts (“REITs”) advanced modestly during the reporting period, benefiting from surging property values as global economies rebounded from the coronavirus pandemic. Industrial REITs contributed the most to the Index’s return, driven primarily by U.S. REITs that own and operate warehouses. Demand for warehouse space grew throughout 2021 as supply chain disruptions due to the pandemic created a need for space to store a backlog of goods, supporting sharp rental price increases. Shifting consumer buying trends toward e-commerce and away from brick-and-mortar stores also added to growing demand for warehouses. Occupancy rates at warehouses soared to record highs, while rents continued to grow. Regulatory hurdles preventing the building of new warehouses in urban or suburban areas close to consumers constrained the supply of new units and limited competition. Industrial REITs in Canada and the U.K. added marginally to the Index’s performance.

U.S. residential REITs, most notably those invested in apartment buildings, contributed substantially to the Index’s performance. Revenues and lease rates grew sharply in 2021 as renters returned to urban areas as the impact from the pandemic subsided. In addition, as housing prices climbed higher, many potential homebuyers continued to rent rather than buy. Rising interest rates sent mortgage rates climbing to their highest level since 2009, leading home mortgage applications to drop sharply near the end of the reporting period. Limited growth in new apartment buildings kept supply tight, which supported rental price increases. In addition, high occupancy rates in apartment complexes also allowed landlords to raise rents.

On the downside, Japanese REITs that invest in office buildings detracted from the Index’s return. The pandemic resulted in many workers choosing to work from home, lessening the demand for office space in central Tokyo and other urban areas. Many Japanese companies moved their offices out of urban areas to more suburban areas to be closer to their employees’ homes and offer a more appealing alternative to working from home.

Portfolio Information

 

ALLOCATION BY SECTOR

 

  
   

Sector

    
 Percent of
Total Investments		  
(a) 

Industrial REITs

     18.1 % 

Retail REITs

     17.1  

Residential REITs

     16.5  

Specialized REITs

     16.2  

Office REITs

     10.9  

Diversified REITs

     9.7  

Health Care REITs

     8.4  

Hotel & Resort REITs

     3.1  

Real Estate Operating Companies

     0.0  

TEN LARGEST GEOGRAPHIC ALLOCATION

 

  
   

Country/Geographic Region

    
 Percent of
Total Investments		  
(a) 

United States

     71.1 % 

Japan

     6.8  

United Kingdom

     5.0  

Australia

     4.1  

Singapore

     3.2  

Canada

     3.1  

France

     1.5  

Hong Kong

     1.3  

Belgium

     1.2  

South Africa

     0.6  
 

 

  (a)

Excludes money market funds.

 

 

 

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Fund Summary  as of April 30, 2022    iShares® International Developed Real Estate ETF

 

Investment Objective

The iShares International Developed Real Estate ETF (the “Fund”) seeks to track the investment results of an index composed of real estate equities in developed non-U.S. markets, as represented by the FTSE EPRA Nareit Developed ex-U.S. 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.

Performance

 

    Average Annual Total Returns           Cumulative Total Returns  
     1 Year      5 Years      10 Years            1 Year      5 Years      10 Years  

Fund NAV

     (9.24 )%       2.41 %       4.10 %        (9.24 )%       12.65 %       49.40 % 

Fund Market

     (9.38 )       2.36        4.06         (9.38 )       12.36        48.89  

Index

     (8.57 )       2.70        4.42               (8.57 )       14.24        54.04  

GROWTH OF $10,000 INVESTMENT

(AT NET ASSET VALUE)

 

LOGO

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.

Expense Example

 

Actual           Hypothetical 5% Return           
 

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		            

 Beginning
Account Value
(11/01/21)		  
 
 		       

 Ending
Account Value
(04/30/22)		  
 
 		       

 Expenses
Paid During
the Period		  
 
 (a) 		       

 Annualized
Expense
Ratio		  
 
 
  $      1,000.00          $        880.10          $        2.42               $      1,000.00          $      1,022.20          $        2.61          0.52 % 

 

  (a) 

Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown). Other fees, such as brokerage commissions and other fees to financial intermediaries, may be paid which are not reflected in the tables and examples above. See “Shareholder Expenses” for more information.

 

 

 

F U N D  S U M M A R Y

   11

Fund Summary  as of April 30, 2022 (continued)    iShares® International Developed Real Estate ETF

 

Portfolio Management Commentary

International developed real estate stocks declined during the reporting period, as the strengthening U.S. dollar and rising interest rates weakened investment returns in foreign markets. The Japanese yen hit a 20-year low against the U.S. dollar late in the reporting period and the euro dropped to a five-year low as the Fed signaled a more aggressive approach to fight soaring inflation by raising interest rates. Higher interest rates tend to weaken the performance of real estate investment trusts (“REITs”). As interest rates rise, the costs of borrowing money and refinancing debt also escalates. In addition, higher interest rates increase the attractiveness of investments such as government and corporate bonds relative to REITs.

Japanese equity REITs detracted the most from the Index’s return, led by office REITs. Vacancies in Tokyo office towers rose through most of 2021. The coronavirus pandemic led many workers to choose to work from home, lessening the demand for office space in core urban areas such as central Tokyo. Many Japanese companies moved their offices out of urban areas to nearby suburbs to be closer to their employees’ homes and offer a more appealing alternative to working from home. Japanese diversified REITs also declined. Although demand increased for logistics and data centers, driven by growth in online shopping and remote work, land costs also rose. The Japanese yen’s significant depreciation relative to the U.S. dollar further weighed on performance for U.S. investors.

German real estate management and development companies detracted from the Index’s performance, as these companies posted weaker profits and decreased dividends payable to shareholders. Inflationary pressures and the risk of rising interest rates in Germany also weakened the outlook for the real estate sector. The ECB announced late in the reporting period that it will wait until late 2022 to raise interest rates despite soaring inflation.

On the upside, Canadian equity REITs contributed slightly to the Index’s return. The trend toward e-commerce increased demand for warehouses and logistics centers to store goods close to consumers.

Portfolio Information

 

ALLOCATION BY SECTOR

 

Sector

    
 Percent of
Total Investments		  
(a) 

Real Estate Operating Companies

     22.4 % 

Retail REITs

     15.6  

Diversified REITs

     13.5  

Industrial REITs

     13.4  

Diversified Real Estate Activities

     11.9  

Office REITs

     9.7  

Residential REITs

     4.7  

Real Estate Development

     3.4  

Health Care REITs

     2.1  

Specialized REITs

     1.9  

Hotel & Resort REITs

     1.1  

Health Care Facilities

     0.3  

TEN LARGEST GEOGRAPHIC ALLOCATION

 

Country/Geographic Region

    
 Percent of
Total Investments		  
(a) 

Japan

     23.8 % 

Hong Kong

     12.3  

United Kingdom

     12.0  

Australia

     9.6  

Singapore

     8.6  

Canada

     7.7  

Germany

     7.5  

Sweden

     5.2  

France

     3.4  

Belgium

     3.0  
 

 

  (a) 

Excludes money market funds.

 

 

 

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About Fund Performance

 

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time and may continue to affect adversely the value and liquidity of each Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at 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. Beginning August 10, 2020, the price used to calculate market return (“Market Price”) is the closing price. Prior to August 10, 2020, Market Price was determined using the midpoint between the highest bid and the lowest ask 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. Since shares of a fund may not trade in the secondary market until after the fund’s inception, for the period from inception to the first day of secondary market trading in shares of the fund, the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively.

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

Shareholder Expenses

Shareholders of each Fund may incur the following charges: (1) transactional expenses, including brokerage commissions on purchases and sales of fund shares and (2) ongoing expenses, including management fees and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each Fund and in comparing these expenses with similar costs of investing in other funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number under the heading entitled “Expenses Paid During Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in a Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect any transactional expenses, such as brokerage commissions and other fees paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.

 

 

A B O U T   F U N D   P E R F O R M A N C E  /  S H A R E H O L D E R   E X P E N S E S

   13

Schedule of Investments  

April 30, 2022

   

iShares® Cohen & Steers REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Health Care REITs — 8.6%            

Healthpeak Properties Inc.

     1,615,818     $ 53,014,988  

Ventas Inc.

     1,196,493       66,465,186  

Welltower Inc.

     1,304,696       118,479,444  
   

 

 

  
      237,959,618  
Hotel & Resort REITs — 1.6%            

Host Hotels & Resorts Inc.

     2,140,253       43,554,149  
   

 

 

  
Industrial REITs — 10.6%            

Duke Realty Corp.

     1,141,562       62,500,520  

Prologis Inc.

     1,431,059       229,384,447  
   

 

 

  
      291,884,967  
Office REITs — 6.0%            

Alexandria Real Estate Equities Inc.

     422,686       76,996,482  

Boston Properties Inc.

     426,077       50,106,655  

Cousins Properties Inc.

     447,582       16,068,194  

Kilroy Realty Corp.

     314,176       21,992,320  
   

 

 

  
      165,163,651  
Residential REITs — 19.2%            

AvalonBay Communities Inc.

     418,861       95,282,500  

Equity LifeStyle Properties Inc.

     512,431       39,600,668  

Equity Residential

     1,022,909       83,367,083  

Essex Property Trust Inc.

     195,095       64,238,931  

Invitation Homes Inc.

     1,788,760       71,228,423  

Mid-America Apartment Communities Inc.

     345,115       67,877,218  

Sun Communities Inc.

     347,612       61,030,239  

UDR Inc.

     871,151       46,353,945  
   

 

 

  
      528,979,007  
Retail REITs — 10.5%            

Federal Realty Investment Trust

     209,849       24,564,924  

Realty Income Corp.

     1,695,828       117,622,630  

Regency Centers Corp.

     461,876       31,790,925  
Security          Shares      Value  
Retail REITs (continued)                   

Simon Property Group Inc.

       984,981      $ 116,227,758  
      

 

 

  
         290,206,237  
Specialized REITs — 43.4%                   

American Tower Corp.

       891,342        214,831,249  

Crown Castle International Corp.

       1,218,266        225,635,046  

Digital Realty Trust Inc.

       850,625        124,293,325  

Equinix Inc.

       269,890        194,072,501  

Extra Space Storage Inc.

       401,329        76,252,510  

Public Storage

       457,281        169,879,891  

SBA Communications Corp.

       326,061        113,179,034  

VICI Properties Inc.

       2,524,678        75,260,651  
      

 

 

  
         1,193,404,207  
      

 

 

  

Total Common Stocks — 99.9%
(Cost: $2,177,555,957)

 

        2,751,151,836  
      

 

 

  

Short-Term Investments

 

     
Money Market Funds — 0.2%               

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(a)(b)

 

     5,220,000        5,220,000  
      

 

 

  

Total Short-Term Investments — 0.2%
(Cost: $5,220,000)

 

        5,220,000  
      

 

 

  

Total Investments in Securities — 100.1%
(Cost: $2,182,775,957)

 

      2,756,371,836  

Other Assets, Less Liabilities — (0.1)%

 

        (2,934,721 ) 
      

 

 

  

Net Assets — 100.0%

 

      $   2,753,437,115  
      

 

 

  

 

(a) 

Affiliate of the Fund.

(b) 

Annualized 7-day yield as of period end.

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost		     Proceeds
from Sales		     Net Realized
Gain (Loss)		     Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income     Capital
Gain
Distributions
from
Underlying
Funds		  

BlackRock Cash
Funds: Institutional,
SL Agency Shares(a)

  $ —     $ 0 (b)     $ —     $ —     $ —     $ —       —     $ 1,589 (c)    $ —  

BlackRock Cash
Funds: Treasury,
SL Agency Shares

     4,130,000       1,090,000 (b)      —       —       —       5,220,000       5,220,000       1,596       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ —     $ —     $ 5,220,000       $ 3,185     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

As of period end, the entity is no longer held.

 
  (b) 

Represents net amount purchased (sold).

 
  (c) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

14  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Cohen & Steers REIT ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date		        Notional
Amount
(000)		        Value/
Unrealized
Appreciation
(Depreciation)		  

Long Contracts

                  

Dow Jones U.S. Real Estate Index

      61          06/17/22        $ 2,453        $ 48,104  
                 

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts		  

Assets — Derivative Financial Instruments

   

Futures contracts

   

Unrealized appreciation on futures contracts(a)

   $ 48,104  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts		  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 816,422  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (349,539 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

    $ 2,674,554  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

     

 

Level 1

        Level 2        Level 3        Total  

Investments

                  

Assets

                  

Common Stocks

    $ 2,751,151,836        $ —        $ —        $ 2,751,151,836  

Money Market Funds

      5,220,000          —          —          5,220,000  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 2,756,371,836        $             —        $             —        $ 2,756,371,836  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Assets

                  

Futures Contracts

    $ 48,104        $ —        $ —        $ 48,104  
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a)

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

S C H E D U L E  O F  I N V E S T M E N  T S

  15

Schedule of Investments  

April 30, 2022

   

iShares® Core U.S. REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

    
Diversified REITs — 3.5%            

Alexander & Baldwin Inc.

     140,382     $ 2,976,098  

Alpine Income Property Trust Inc.

     19,491       364,482  

American Assets Trust Inc.

     96,649       3,537,353  

Armada Hoffler Properties Inc.

     128,724       1,744,210  

Broadstone Net Lease Inc.

     303,595       6,281,381  

Empire State Realty Trust Inc., Class A

     274,854       2,374,739  

Essential Properties Realty Trust Inc.

     233,919       5,614,056  

Gladstone Commercial Corp.

     70,984       1,493,503  

Global Net Lease Inc.

     202,118       2,835,715  

One Liberty Properties Inc.

     31,325       897,461  

PS Business Parks Inc.

     38,748       7,253,626  

STORE Capital Corp.

     474,832       13,499,474  

Washington Real Estate Investment Trust

     163,693       3,943,364  

WP Carey Inc.

     367,431       29,677,402  
   

 

 

  
      82,492,864  
Health Care REITs — 10.2%            

CareTrust REIT Inc.

     186,938       3,030,265  

Community Healthcare Trust Inc.

     45,569       1,677,851  

Diversified Healthcare Trust

     459,810       1,034,572  

Global Medical REIT Inc.

     114,809       1,694,581  

Healthcare Realty Trust Inc.

     285,319       7,726,439  

Healthcare Trust of America Inc., Class A

     422,931       12,882,478  

Healthpeak Properties Inc.

     1,048,137       34,389,375  

LTC Properties Inc.

     75,520       2,492,160  

Medical Properties Trust Inc.

     1,148,782       21,126,101  

National Health Investors Inc.

     84,544       4,356,552  

Omega Healthcare Investors Inc.

     463,786       11,817,267  

Physicians Realty Trust

     425,123       7,286,608  

Sabra Health Care REIT Inc.

     441,057       5,151,546  

Universal Health Realty Income Trust

     24,790       1,244,210  

Ventas Inc.

     774,798       43,040,029  

Welltower Inc.

     846,813       76,899,089  
   

 

 

  
      235,849,123  
Hotel & Resort REITs — 3.7%            

Apple Hospitality REIT Inc.

     413,531       7,315,363  

Ashford Hospitality Trust Inc.(a)(b)

    32,550       229,477  

Braemar Hotels & Resorts Inc.

     112,223       680,071  

Chatham Lodging Trust(a)

    92,674       1,330,799  

DiamondRock Hospitality Co.(a)

    404,289       4,293,549  

Hersha Hospitality Trust, Class A(a)

    62,120       607,534  

Host Hotels & Resorts Inc.(b)

    1,374,444       27,969,935  

Park Hotels & Resorts Inc.

     456,760       9,002,740  

Pebblebrook Hotel Trust(b)

    251,045       6,130,519  

RLJ Lodging Trust

     319,587       4,480,610  

Ryman Hospitality Properties Inc.(a)(b)

    103,910       9,713,507  

Service Properties Trust

     326,083       2,647,794  

Summit Hotel Properties Inc.(a)

    199,519       1,969,253  

Sunstone Hotel Investors Inc.(a)

    420,464       5,150,684  

Xenia Hotels & Resorts Inc.(a)

    220,239       4,248,410  
   

 

 

  
      85,770,245  
Industrial REITs — 16.0%            

Americold Realty Trust

     518,424       13,676,025  

Duke Realty Corp.

     739,121       40,466,875  

EastGroup Properties Inc.

     78,050       14,634,375  

First Industrial Realty Trust Inc.

     250,068       14,503,944  

Indus Realty Trust Inc

     11,002       786,093  

Industrial Logistics Properties Trust

     125,293       2,024,735  

LXP Industrial Trust

     538,988       6,764,299  
Security   Shares     Value  
Industrial REITs (continued)            

Plymouth Industrial REIT Inc.

     60,219     $ 1,452,482  

Prologis Inc.

     1,434,514       229,938,249  

Rexford Industrial Realty Inc.

     312,340       24,375,013  

STAG Industrial Inc.

     345,965       12,911,414  

Terreno Realty Corp.(b)

    142,421       10,361,128  
   

 

 

  
      371,894,632  
Office REITs — 8.8%            

Alexandria Real Estate Equities Inc.

     323,772       58,978,308  

Boston Properties Inc.

     303,525       35,694,540  

Brandywine Realty Trust

     328,099       3,828,915  

City Office REIT Inc.

     81,916       1,215,634  

Corporate Office Properties Trust

     218,153       5,822,504  

Cousins Properties Inc.

     288,098       10,342,718  

Creative Media & Community Trust Corp.

     33,787       238,874  

Douglas Emmett Inc.

     323,316       9,524,889  

Easterly Government Properties Inc.

     167,642       3,193,580  

Franklin Street Properties Corp., Class C

     196,945       1,016,236  

Highwoods Properties Inc.

     199,886       8,163,344  

Hudson Pacific Properties Inc.

     287,628       6,695,980  

JBG SMITH Properties

     237,240       6,253,646  

Kilroy Realty Corp.

     225,632       15,794,240  

Office Properties Income Trust

     92,023       1,989,537  

Orion Office REIT Inc.

     110,121       1,477,824  

Paramount Group Inc.

     361,228       3,435,278  

Piedmont Office Realty Trust Inc., Class A

     239,792       3,860,651  

Postal Realty Trust Inc., Class A

     33,206       558,857  

SL Green Realty Corp.

     131,547       9,105,683  

Veris Residential Inc.(a)

    169,354       2,711,358  

Vornado Realty Trust

     341,036       13,201,504  
   

 

 

  
      203,104,100  
Residential REITs — 19.9%            

American Campus Communities Inc.

     266,096       17,208,428  

American Homes 4 Rent, Class A

     572,298       22,668,724  

Apartment Income REIT Corp.

     303,723       14,934,060  

Apartment Investment & Management Co., Class A(a)

    291,597       1,837,061  

AvalonBay Communities Inc.

     271,070       61,663,004  

Bluerock Residential Growth REIT Inc., Class A

     51,222       1,363,017  

BRT Apartments Corp.

     21,724       475,538  

Camden Property Trust

     192,167       30,149,081  

Centerspace

     27,705       2,556,063  

Clipper Realty Inc.

     23,349       208,507  

Equity LifeStyle Properties Inc.

     343,955       26,580,842  

Equity Residential

     716,669       58,408,524  

Essex Property Trust Inc.

     125,995       41,486,374  

Independence Realty Trust Inc.

     426,724       11,632,496  

Invitation Homes Inc.

     1,160,396       46,206,969  

Mid-America Apartment Communities Inc.

     224,316       44,118,471  

NexPoint Residential Trust Inc.

     43,033       3,836,822  

Preferred Apartment Communities Inc., Class A

     100,371       2,497,231  

Sun Communities Inc.

     222,704       39,100,141  

UDR Inc.

     615,353       32,742,933  

UMH Properties Inc.

     84,577       1,989,251  
   

 

 

  
          461,663,537  
Retail REITs — 14.2%            

Acadia Realty Trust

     166,902       3,491,590  

Agree Realty Corp.

     135,862       9,227,747  

Alexander’s Inc.

     4,122       1,022,957  

Brixmor Property Group Inc.

     575,341       14,602,155  

Cedar Realty Trust Inc.

     24,405       692,614  
 

 

 

16  

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Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core U.S. REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Retail REITs (continued)            

Federal Realty Investment Trust

     151,668     $ 17,754,256  

Getty Realty Corp.

     78,403       2,109,825  

InvenTrust Properties Corp.(b)

    130,897       3,964,870  

Kimco Realty Corp.

     1,129,334       28,606,030  

Kite Realty Group Trust

     419,351       9,351,527  

Macerich Co. (The)

     413,008       5,183,250  

National Retail Properties Inc.

     339,517       14,884,425  

Necessity Retail REIT Inc.

     238,614       1,782,447  

NETSTREIT Corp.

     76,378       1,651,292  

Phillips Edison & Co. Inc.

     214,857       7,275,058  

Realty Income Corp.

     1,100,112       76,303,768  

Regency Centers Corp.

     328,259       22,594,067  

Retail Opportunity Investments Corp.

     229,699       4,279,292  

RPT Realty

     160,920       2,138,627  

Saul Centers Inc.

     22,705       1,171,805  

Simon Property Group Inc.

     634,289       74,846,102  

SITE Centers Corp.

     334,625       5,320,538  

Spirit Realty Capital Inc.

     247,455       10,751,920  

Tanger Factory Outlet Centers Inc.

     198,009       3,193,885  

Urban Edge Properties

     223,807       4,182,953  

Urstadt Biddle Properties Inc., Class A

     57,722       1,001,477  

Whitestone REIT

     89,108       1,082,662  
   

 

 

  
      328,467,139  
Specialized REITs — 23.3%            

CubeSmart

     423,715       20,130,700  

Digital Realty Trust Inc.

     545,802       79,752,588  

EPR Properties

     143,619       7,542,870  

Equinix Inc.

     173,897       125,045,855  

Extra Space Storage Inc.

     254,978       48,445,820  

Farmland Partners Inc.

     55,122       811,396  

Four Corners Property Trust Inc.

     149,331       4,100,629  

Gaming and Leisure Properties Inc.

     452,953       20,102,054  

Gladstone Land Corp.

     60,239       2,192,700  

Iron Mountain Inc.

     556,947       29,924,762  
Security   Shares     Value  
Specialized REITs (continued)            

Lamar Advertising Co., Class A

     167,492     $ 18,492,792  

Life Storage Inc.

     158,359       20,980,984  

National Storage Affiliates Trust

     156,905       8,880,823  

Outfront Media Inc.

     280,604       7,183,462  

Public Storage

     293,216       108,929,744  

Safehold Inc.

     40,207       1,730,911  

VICI Properties Inc.

     1,222,901       36,454,679  
   

 

 

  
      540,702,769  
   

 

 

  

Total Common Stocks — 99.6%
(Cost: $2,117,330,451)

       2,309,944,409  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 0.5%            

BlackRock Cash Funds: Institutional,
SL Agency Shares, 0.38%(c)(d)(e)

    3,621,730       3,621,730  

BlackRock Cash Funds: Treasury,
SL Agency Shares, 0.34%(c)(d)

     7,350,000       7,350,000  
   

 

 

  
      10,971,730  
   

 

 

  

Total Short -Term Investments — 0.5%
(Cost: $10,971,614)

       10,971,730  
   

 

 

  

Total Investments in Securities — 100.1%
(Cost: $2,128,302,065)

       2,320,916,139  

Other Assets, Less Liabilities — (0.1)%

       (2,365,978 ) 
   

 

 

  

Net Assets — 100.0%

     $   2,318,550,161  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost		     Proceeds
from Sales		     Net Realized
Gain (Loss)		     Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income    

Capital

Gain
Distributions
from
Underlying
Funds

  

BlackRock Cash
Funds: Institutional,
SL Agency Shares

   $ 129,227     $ 3,495,017 (a)    $ —     $ (2,642 )    $ 128     $ 3,621,730       3,621,730     $ 4,512 (b)    $ —  

BlackRock Cash
Funds: Treasury,
SL Agency Shares

     2,320,000       5,030,000 (a)      —       —       —       7,350,000       7,350,000       3,353       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (2,642 )    $ 128     $ 10,971,730       $ 7,865     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   17

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Core U.S. REIT ETF

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date		        Notional
Amount
(000)		        Value/
Unrealized
Appreciation
(Depreciation)		  

Long Contracts

                  

Dow Jones U.S. Real Estate Index

      208          06/17/22        $ 8,364        $ (36,897 ) 
                 

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts		  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 36,897  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

     Equity
Contracts		  

Net Realized Gain (Loss) from:

  

Futures contracts

   $ 681,728  
 

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

  

Futures contracts

   $ (280,754 ) 
 

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

    $ 6,961,120  

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

     

 

Level 1

        Level 2        Level 3        Total  

Investments

                  

Assets

                  

Common Stocks

    $ 2,309,944,409        $             —        $             —        $ 2,309,944,409  

Money Market Funds

      10,971,730          —          —          10,971,730  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 2,320,916,139        $ —        $ —        $ 2,320,916,139  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (36,897 )       $ —        $ —        $ (36,897 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

18  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  

April 30, 2022

   

iShares® Global REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  

Common Stocks

 

Australia — 4.1%  

Abacus Property Group

     1,008,395     $ 2,314,259  

Arena REIT

     685,295       2,319,187  

BWP Trust

     1,041,714       3,027,826  

Centuria Industrial REIT

     1,121,371       3,125,057  

Centuria Office REIT

     985,915       1,519,995  

Charter Hall Long Wale REIT

     1,459,720       5,478,414  

Charter Hall Retail REIT

     1,037,916       3,242,198  

Charter Hall Social Infrastructure REIT

     703,426       1,991,281  

Cromwell Property Group

     3,035,564       1,821,830  

Dexus

     2,276,910       17,802,177  

Dexus Industria REIT

     458,532       1,096,985  

GPT Group (The)

     4,085,644       14,523,991  

Growthpoint Properties Australia Ltd.

     595,279       1,830,978  

HomeCo Daily Needs REIT

     2,828,142       2,847,469  

Hotel Property Investments

     411,870       1,178,477  

Irongate Group

     1,065,946       1,441,391  

Mirvac Group

     8,327,490       14,074,209  

National Storage REIT

     2,555,730       4,629,061  

Scentre Group

     10,977,470       22,871,676  

Shopping Centres Australasia Property Group

     2,475,604       5,298,396  

Stockland

     5,049,176       14,614,473  

Vicinity Centres

     8,045,200       10,497,491  

Waypoint REIT Ltd.

     1,548,895       2,919,794  
   

 

 

  
      140,466,615  
Belgium — 1.2%            

Aedifica SA

     77,797       9,221,503  

Ascencio

     11,386       622,204  

Befimmo SA

     46,567       2,324,500  

Cofinimmo SA

     67,824       9,107,758  

Intervest Offices & Warehouses NV

     51,326       1,529,635  

Montea NV

     26,147       3,121,827  

Nextensa

     8,935       669,245  

Retail Estates NV

     22,530       1,716,046  

Warehouses De Pauw CVA

     300,238       11,550,208  

Xior Student Housing NV

     46,947       2,507,732  
   

 

 

  
      42,370,658  
Canada — 3.0%  

Allied Properties REIT

     268,111       8,709,199  

Artis REIT

     195,461       1,994,702  

Boardwalk REIT

     80,747       3,543,150  

Canadian Apartment Properties REIT

     368,805       14,446,166  

Choice Properties REIT

     550,025       6,499,342  

Crombie REIT

     217,612       2,966,089  

Dream Industrial REIT

     482,429       5,617,980  

Dream Office REIT

     74,397       1,505,719  

First Capital Real Estate Investment Trust

     466,578       6,217,892  

Granite REIT

     131,224       9,718,329  

H&R Real Estate Investment Trust

     607,015       6,038,728  

InterRent REIT

     277,543       3,048,404  

Killam Apartment REIT

     240,109       3,777,373  

NorthWest Healthcare Properties REIT

     419,641       4,328,216  

Prinmaris REIT

     204,100       2,195,666  

RioCan REIT

     667,483       12,470,005  

SmartCentres Real Estate Investment Trust

     278,862       6,792,194  

Summit Industrial Income REIT

     349,583       5,534,985  
   

 

 

  
      105,404,139  
China — 0.0%  

Yuexiu REIT

     3,729,000       1,489,456  
   

 

 

  
Security   Shares     Value  
France — 1.5%            

Carmila SA

     86,663     $ 1,348,050  

Covivio

     107,012       7,621,134  

Gecina SA

     110,103       12,402,898  

ICADE

     73,219       4,371,602  

Klepierre SA

     394,823       9,450,346  

Mercialys SA

     136,159       1,314,866  

Unibail-Rodamco-Westfield(a)(b)

    218,733       15,437,063  
   

 

 

  
      51,945,959  
Germany — 0.0%            

Hamborner REIT AG

     152,113       1,419,713  
   

 

 

  
Guernsey — 0.0%            

BMO Commercial Property Trust Ltd.

     1,037,461       1,531,323  
   

 

 

  
Hong Kong — 1.3%            

Champion REIT

     4,217,000       1,848,666  

Fortune REIT

     2,914,000       2,546,025  

Link REIT

     4,493,400       38,813,012  

Prosperity REIT

     2,636,000       903,637  

Sunlight REIT

     2,249,000       1,098,768  
   

 

 

  
      45,210,108  
India — 0.2%  

Brookfield India Real Estate Trust(c)

    216,242       935,830  

Embassy Office Parks REIT

     1,021,706       5,128,845  
   

 

 

  
      6,064,675  
Ireland — 0.1%  

Hibernia REIT PLC

     1,438,933       2,462,200  

Irish Residential Properties REIT PLC

     962,643       1,474,565  
   

 

 

  
      3,936,765  
Italy — 0.0%  

Immobiliare Grande Distribuzione SIIQ SpA(a)

    139,355       660,671  
   

 

 

  
Japan — 6.7%  

Activia Properties Inc.

     1,508       4,818,842  

Advance Residence Investment Corp.

     2,742       7,532,445  

AEON REIT Investment Corp.

     3,587       4,118,285  

Comforia Residential REIT Inc.

     1,328       3,309,141  

CRE Logistics REIT Inc.

     1,060       1,621,013  

Daiwa House REIT Investment Corp.

     4,416       10,748,551  

Daiwa Office Investment Corp.

     556       3,147,660  

Daiwa Securities Living Investments Corp.

     4,214       3,708,710  

Frontier Real Estate Investment Corp.

     982       3,804,802  

Fukuoka REIT Corp.

     1,456       1,820,964  

Global One Real Estate Investment Corp.

     1,942       1,664,673  

GLP J-Reit

     8,961       12,091,745  

Hankyu Hanshin REIT Inc.

     1,338       1,520,523  

Heiwa Real Estate REIT Inc.

     1,860       2,130,656  

Hoshino Resorts REIT Inc.

     493       2,543,211  

Hulic Reit Inc.

     2,704       3,359,006  

Ichigo Office REIT Investment Corp.

     2,520       1,617,622  

Industrial & Infrastructure Fund Investment Corp.

     3,983       5,715,145  

Invincible Investment Corp.

     10,443       3,405,220  

Itochu Advance Logistics Investment Corp.

     1,184       1,462,632  

Japan Excellent Inc.

     2,660       2,609,948  

Japan Hotel REIT Investment Corp.

     9,462       4,805,621  

Japan Logistics Fund Inc.

     1,763       4,302,611  

Japan Metropolitan Fund Invest

     14,531       11,549,653  

Japan Prime Realty Investment Corp.

     1,863       5,651,890  

Japan Real Estate Investment Corp.

     2,755       13,333,804  

Kenedix Office Investment Corp.

     771       4,029,790  
 

 

 

S C H E D U L E  O F  I N V E S T M E N  T S     

   19

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Global REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Japan (continued)            

Kenedix Residential Next Investment Corp.

     1,996     $ 3,210,851  

Kenedix Retail REIT Corp.

     1,183       2,490,497  

LaSalle Logiport REIT

     3,746       5,067,971  

Mirai Corp.

     3,422       1,329,220  

Mitsubishi Estate Logistics REIT Investment Corp.

     765       2,744,607  

Mitsui Fudosan Logistics Park Inc.

     1,083       4,643,278  

Mori Hills REIT Investment Corp.

     3,322       3,767,606  

Mori Trust Sogo REIT Inc.

     2,021       2,200,602  

Nippon Accommodations Fund Inc.

     942       4,638,320  

Nippon Building Fund Inc.

     3,215       16,690,041  

Nippon Prologis REIT Inc.

     4,809       13,310,195  

NIPPON REIT Investment Corp.

     881       2,525,293  

Nomura Real Estate Master Fund Inc.

     9,458       11,874,888  

NTT UD REIT Investment Corp.

     2,868       3,312,803  

One REIT Inc.

     499       1,059,265  

Orix JREIT Inc.

     5,590       7,556,119  

Sankei Real Estate Inc.

     980       747,029  

Sekisui House Reit Inc.

     8,890       5,201,996  

SOSiLA Logistics REIT Inc.

     1,326       1,611,811  

Star Asia Investment Corp.

     3,439       1,574,083  

Starts Proceed Investment Corp.

     466       834,838  

Takara Leben Real Estate Investment Corp.

     1,095       1,020,546  

Tokyu REIT Inc.

     1,792       2,512,103  

United Urban Investment Corp.

     6,279       6,870,077  
   

 

 

  
      233,218,202  
Malaysia — 0.1%            

Axis Real Estate Investment Trust

     2,648,600       1,162,014  

Sunway REIT

     4,224,800       1,414,064  
   

 

 

  
      2,576,078  
Mexico — 0.4%            

Concentradora Fibra Danhos SA de CV(b)

    503,515       563,313  

Fibra Uno Administracion SA de CV

     6,567,113       7,202,214  

Macquarie Mexico Real Estate Management SA de CV(c)

    1,557,350       1,720,171  

PLA Administradora Industrial S. de RL de CV

     1,687,609       2,238,678  

Prologis Property Mexico SA de CV

     967,948       2,597,923  
   

 

 

  
      14,322,299  
Netherlands — 0.2%            

Eurocommercial Properties NV

     108,105       2,615,705  

NSI NV

     37,795       1,483,233  

Vastned Retail NV

     37,892       967,375  

Wereldhave NV

     87,960       1,434,642  
   

 

 

  
      6,500,955  
New Zealand — 0.3%            

Argosy Property Ltd.

     1,776,120       1,488,072  

Goodman Property Trust

     2,339,416       3,405,456  

Kiwi Property Group Ltd.

     3,394,466       2,315,206  

Stride Property Group

     1,023,503       1,308,331  

Vital Healthcare Property Trust(d)

    916,275       1,845,627  
   

 

 

  
      10,362,692  
Philippines — 0.0%            

AREIT Inc.

     1,300,420       988,604  
   

 

 

  
Saudi Arabia — 0.2%            

Al Maather REIT Fund

     89,145       212,229  

Al Rajhi REIT

     242,473       707,224  

Alahli REIT Fund 1

     95,189       303,017  

Al-Jazira Reit Fund

     26,532       161,816  

Alkhabeer REIT

     177,484       417,678  
Security   Shares     Value  
Saudi Arabia (continued)            

Derayah REIT

     233,902     $ 767,906  

Jadwa REIT Saudi Fund

     322,740       1,211,522  

Musharaka Real Estate Income Fund, NVS

     173,262       449,785  

Riyad REIT Fund

     321,168       938,467  

Sedco Capital REIT Fund

     84,928       250,683  

Swicorp Wabel REIT, NVS(a)

    190,498       339,802  

Taleem REIT

     59,213       198,597  
   

 

 

  
      5,958,726  
Singapore — 3.2%            

AIMS APAC REIT

     1,199,800       1,226,882  

Ascendas REIT

     7,261,714       14,940,826  

Ascott Residence Trust

     4,047,732       3,362,786  

CapitaLand China Trust

     2,408,630       2,023,796  

CapitaLand Integrated Commercial Trust

     10,359,426       17,358,164  

CDL Hospitality Trusts

     1,714,100       1,647,412  

Cromwell European Real Estate Investment Trust

     678,200       1,645,575  

ESR-REIT(b)

    10,562,843       2,962,454  

Far East Hospitality Trust

     2,073,800       998,988  

First REIT

     2,410,800       544,908  

Frasers Centrepoint Trust

     2,298,970       4,048,581  

Frasers Logistics & Commercial Trust

     6,099,000       6,351,251  

Keppel DC REIT

     2,779,833       4,144,143  

Keppel Pacific Oak US REIT

     1,807,400       1,308,923  

Keppel REIT

     4,570,900       4,004,501  

Lendlease Global Commercial REIT(b)

    2,440,191       1,393,851  

Manulife US Real Estate Investment Trust

     3,368,400       2,098,533  

Mapletree Commercial Trust

     4,741,991       6,377,605  

Mapletree Industrial Trust

     3,937,110       7,398,148  

Mapletree Logistics Trust

     6,818,413       8,757,032  

Mapletree North Asia Commercial Trust

     5,343,700       4,615,207  

OUE Commercial Real Estate Investment Trust

     4,589,400       1,371,726  

Parkway Life REIT

     826,000       2,878,161  

Prime U.S. REIT

     1,359,900       1,001,882  

Sasseur Real Estate Investment Trust

     1,138,800       687,587  

SPH REIT

     1,996,400       1,408,583  

Starhill Global REIT

     3,034,600       1,299,198  

Suntec REIT

     4,511,100       5,959,467  
   

 

 

  
      111,816,170  
South Africa — 0.6%            

Attacq Ltd.(a)(b)

    1,516,797       649,943  

Emira Property Fund Ltd.

     715,975       491,208  

Equites Property Fund Ltd.

     1,449,492       1,946,035  

Growthpoint Properties Ltd.

     7,346,986       6,568,906  

Hyprop Investments Ltd.

     732,290       1,664,713  

Investec Property Fund Ltd.

     1,208,499       933,588  

Redefine Properties Ltd.

     15,518,057       4,303,884  

SA Corporate Real Estate Ltd.

     5,555,493       785,146  

Stor-Age Property REIT Ltd.

     822,286       782,063  

Vukile Property Fund Ltd.

     1,900,410       1,618,522  
   

 

 

  
      19,744,008  
South Korea — 0.1%            

ESR Kendall Square REIT Co. Ltd.

     299,492       1,747,831  
   

 

 

  
Spain — 0.4%            

Inmobiliaria Colonial Socimi SA

     766,958       6,377,548  

Lar Espana Real Estate Socimi SA

     128,979       675,978  

Merlin Properties Socimi SA

     707,293       7,683,788  
   

 

 

  
      14,737,314  
 

 

 

20  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Global REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Turkey — 0.1%            

AKIS Gayrimenkul Yatirimi AS(a)

    1     $ —  

Emlak Konut Gayrimenkul Yatirim Ortakligi AS

     3,932,161       702,496  

Is Gayrimenkul Yatirim Ortakligi AS(a)

    905,879       766,275  

Ozak Gayrimenkul Yatirim Ortakligi(a)

    325,036       108,735  
   

 

 

  
      1,577,506  
United Kingdom — 5.0%            

Assura PLC

     6,212,578       5,148,114  

Big Yellow Group PLC

     361,771       6,537,914  

BMO Real Estate Investments Ltd.

     516,747       626,572  

British Land Co PLC/The

     1,972,757       12,707,347  

Capital & Counties Properties PLC

     1,576,135       3,256,556  

Civitas Social Housing PLC

     1,302,326       1,408,345  

Custodian REIT PLC

     881,755       1,115,416  

Derwent London PLC

     214,790       8,149,545  

Empiric Student Property PLC

     1,263,298       1,445,566  

Great Portland Estates PLC

     547,579       4,651,090  

Hammerson PLC(b)

    9,371,392       3,383,369  

Home Reit PLC

     1,200,053       1,850,043  

Impact Healthcare REIT PLC

     637,495       996,033  

Land Securities Group PLC

     1,518,814       14,244,302  

LondonMetric Property PLC

     2,026,299       6,848,629  

LXI REIT Plc

     1,570,680       2,915,562  

NewRiver REIT PLC

     676,345       750,115  

Picton Property Income Ltd. (The)

     1,171,720       1,496,954  

Primary Health Properties PLC

     2,858,076       5,183,146  

PRS REIT PLC (The)

     1,110,317       1,507,862  

Regional REIT Ltd.(c)

    951,148       1,013,030  

Safestore Holdings PLC

     437,779       6,887,036  

Schroder REIT Ltd.

     1,057,916       757,466  

Segro PLC

     2,551,355       42,715,046  

Shaftesbury PLC

     608,704       4,558,301  

Standard Life Investment Property Income Trust Ltd.

     855,122       882,275  

Target Healthcare REIT PLC

     1,323,087       1,846,660  

Triple Point Social Housing REIT PLC(c)

    785,816       866,585  

Tritax Big Box REIT PLC

     3,984,027       12,161,913  

UK Commercial Property REIT Ltd.

     1,585,622       1,747,031  

UNITE Group PLC (The)

     678,258       9,604,277  

Urban Logistics REIT PLC

     976,195       2,295,456  

Workspace Group PLC

     283,855       2,375,447  
   

 

 

  
      171,933,003  
United States — 70.8%            

Acadia Realty Trust

     183,387       3,836,456  

Agree Realty Corp.

     148,400       10,079,328  

Alexander & Baldwin Inc.

     154,060       3,266,072  

Alexandria Real Estate Equities Inc.

     354,369       64,551,857  

American Assets Trust Inc.

     106,086       3,882,748  

American Campus Communities Inc.

     291,160       18,829,317  

American Homes 4 Rent, Class A

     626,379       24,810,872  

Americold Realty Trust

     567,417       14,968,460  

Apartment Income REIT Corp.

     332,401       16,344,157  

Apartment Investment & Management Co., Class A(a)

    321,734       2,026,924  

Apple Hospitality REIT Inc.

     453,923       8,029,898  

Armada Hoffler Properties Inc.

     140,402       1,902,447  

AvalonBay Communities Inc.

     296,698       67,492,861  

Boston Properties Inc.

     332,194       39,066,014  

Brandywine Realty Trust

     362,237       4,227,306  

Brixmor Property Group Inc.

     629,670       15,981,025  

Broadstone Net Lease Inc.

     332,759       6,884,784  

Camden Property Trust

     210,293       32,992,869  
Security   Shares     Value  
United States (continued)            

CareTrust REIT Inc.

     205,257     $ 3,327,216  

Centerspace

     30,285       2,794,094  

Community Healthcare Trust Inc.

     50,664       1,865,449  

Corporate Office Properties Trust

     238,870       6,375,440  

Cousins Properties Inc.

     315,449       11,324,619  

CubeSmart

     463,775       22,033,950  

DiamondRock Hospitality Co.(a)

    444,351       4,719,008  

Digital Realty Trust Inc.

     597,336       87,282,736  

DigitalBridge Group Inc.(a)

    1,026,040       7,141,238  

Diversified Healthcare Trust

     507,046       1,140,854  

Douglas Emmett Inc.

     353,771       10,422,094  

Duke Realty Corp.

     808,946       44,289,794  

Easterly Government Properties Inc.

     182,879       3,483,845  

EastGroup Properties Inc.

     85,399       16,012,313  

Empire State Realty Trust Inc., Class A

     305,467       2,639,235  

EPR Properties

     157,639       8,279,200  

Equinix Inc.

     190,299       136,840,205  

Equity Commonwealth(a)

    230,504       6,036,900  

Equity LifeStyle Properties Inc.

     376,476       29,094,065  

Equity Residential

     784,357       63,925,096  

Essential Properties Realty Trust Inc.

     256,150       6,147,600  

Essex Property Trust Inc.

     137,871       45,396,784  

Extra Space Storage Inc.

     278,977       53,005,630  

Federal Realty Investment Trust

     165,940       19,424,936  

First Industrial Realty Trust Inc.

     273,620       15,869,960  

Four Corners Property Trust Inc.

     163,154       4,480,209  

Gaming and Leisure Properties Inc.

     495,680       21,998,278  

Getty Realty Corp.

     85,760       2,307,802  

Global Net Lease Inc.

     220,693       3,096,323  

Healthcare Realty Trust Inc.

     311,866       8,445,331  

Healthcare Trust of America Inc., Class A

     462,933       14,100,939  

Healthpeak Properties Inc.

     1,147,220       37,640,288  

Highwoods Properties Inc.

     218,532       8,924,847  

Host Hotels & Resorts Inc.

     1,504,349       30,613,502  

Hudson Pacific Properties Inc.

     315,265       7,339,369  

Independence Realty Trust Inc.

     467,252       12,737,290  

Industrial Logistics Properties Trust

     138,301       2,234,944  

Innovative Industrial Properties Inc.

     53,353       7,714,310  

InvenTrust Properties Corp.

     143,073       4,333,681  

Invitation Homes Inc.

     1,270,059       50,573,749  

JBG SMITH Properties

     260,923       6,877,930  

Kilroy Realty Corp.

     246,959       17,287,130  

Kimco Realty Corp.

     1,236,019       31,308,361  

Kite Realty Group Trust

     458,801       10,231,262  

Life Storage Inc.

     173,271       22,956,675  

LTC Properties Inc.

     83,117       2,742,861  

LXP Industrial Trust.

     590,866       7,415,368  

Macerich Co. (The)

     452,420       5,677,871  

Medical Properties Trust Inc.

     1,257,359       23,122,832  

Mid-America Apartment Communities Inc.

     245,469       48,278,843  

National Health Investors Inc.

     93,204       4,802,802  

National Retail Properties Inc.

     371,612       16,291,470  

National Storage Affiliates Trust

     171,617       9,713,522  

Necessity Retail REIT Inc.

     264,292       1,974,261  

NexPoint Residential Trust Inc.

     47,396       4,225,827  

Office Properties Income Trust

     102,312       2,211,985  

Omega Healthcare Investors Inc.

     507,565       12,932,756  

Orion Office REIT Inc.

     120,265       1,613,956  

Paramount Group Inc.

     396,437       3,770,116  

Park Hotels & Resorts Inc.

     499,408       9,843,332  
 

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   21

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Global REIT ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
United States (continued)            

Pebblebrook Hotel Trust(b)

    275,069     $ 6,717,185  

Physicians Realty Trust

     465,927       7,985,989  

Piedmont Office Realty Trust Inc., Class A

     264,783       4,263,006  

Prologis Inc.

     1,570,055       251,664,116  

PS Business Parks Inc.

     42,485       7,953,192  

Public Storage

     320,855       119,197,633  

Realty Income Corp.

     1,204,130       83,518,457  

Regency Centers Corp.

     359,283       24,729,449  

Retail Opportunity Investments Corp.

     253,439       4,721,569  

Rexford Industrial Realty Inc.

     341,856       26,678,442  

RLJ Lodging Trust

     352,941       4,948,233  

RPT Realty

     177,851       2,363,640  

Ryman Hospitality Properties Inc.(a)

    113,619       10,621,104  

Sabra Health Care REIT Inc.

     484,550       5,659,544  

Safehold Inc.(b)

    44,192       1,902,466  

Service Properties Trust

     330,409       2,682,921  

Simon Property Group Inc.

     694,207       81,916,426  

SITE Centers Corp.

     368,082       5,852,504  

SL Green Realty Corp.

     143,882       9,959,512  

Spirit Realty Capital Inc.

     270,778       11,765,304  

STAG Industrial Inc.

     378,572       14,128,307  

STORE Capital Corp.

     519,673       14,774,303  

Summit Hotel Properties Inc.(a)

    221,490       2,186,106  

Sun Communities Inc.

     243,671       42,781,317  

Sunstone Hotel Investors Inc.(a)

    464,506       5,690,199  

Tanger Factory Outlet Centers Inc.

     216,912       3,498,791  

Terreno Realty Corp.

     155,922       11,343,326  

UDR Inc.

     673,516       35,837,786  

Universal Health Realty Income Trust

     27,217       1,366,021  

Urban Edge Properties

     247,212       4,620,392  

Ventas Inc.

     848,036       47,108,400  

Veris Residential Inc.(a)

    187,009       2,994,014  

VICI Properties Inc.

     1,338,424       39,898,419  

Vornado Realty Trust

     373,198       14,446,495  

Washington Real Estate Investment Trust

     180,507       4,348,414  

Welltower Inc.

     926,789       84,161,709  

WP Carey Inc.

     402,135       32,480,444  

Xenia Hotels & Resorts Inc.(a)

    241,926       4,666,753  
   

 

 

  
      2,449,297,566  
   

 

 

  

Total Common Stocks — 99.5%
(Cost: $3,151,429,733)

       3,445,281,036  
   

 

 

  
Security   Shares     Value  

Preferred Stocks

    
Bermuda — 0.0%            

Brookfield Property Partners LP, 6.25%

     4,436     $ 92,579  
   

 

 

  

Total Preferred Stocks — 0.0%
(Cost: $109,587)

       92,579  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 0.3%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(e)(f)(g)

    3,161,788       3,161,788  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(e)(f)

    6,030,000       6,030,000  
   

 

 

  
      9,191,788  
   

 

 

  

Total Short-Term Investments — 0.3%
(Cost: $9,188,458)

       9,191,788  
   

 

 

  

Total Investments in Securities — 99.8%
(Cost: $3,160,727,778)

       3,454,565,403  

Other Assets, Less Liabilities — 0.2%

       7,012,400  
   

 

 

  

Net Assets — 100.0%

     $   3,461,577,803  
   

 

 

  

 

(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) 

Affiliate of the Fund.

(f) 

Annualized 7-day yield as of period end.

(g) 

All or a portion of this security was purchased with the cash collateral from loaned securities.

 

 

 

22  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Global REIT ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost		     Proceeds
from Sales		     Net Realized
Gain (Loss)		     Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income    

Capital

Gain
Distributions
from
Underlying
Funds

  

BlackRock Cash
Funds: Institutional,
SL Agency Shares

     $9,189,362     $ —     $ (6,007,780 )(a)    $ (16,087 )    $ (3,707 )    $ 3,161,788       3,161,788     $ 366,424 (b)    $ —  

BlackRock Cash
Funds: Treasury,
SL Agency Shares

     6,480,000       —       (450,000 )(a)      —       —       6,030,000       6,030,000       2,766       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (16,087 )    $ (3,707 )    $ 9,191,788       $ 369,190     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a)

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date		        Notional
Amount
(000)		        Value/
Unrealized
Appreciation
(Depreciation)		  

Long Contracts

                  

SPI 200 Index

      11          06/16/22        $ 1,423        $ (6,776 ) 

Dow Jones U.S. Real Estate Index

      297          06/17/22          11,942          (528,717 ) 
                 

 

 

  
                  $ (535,493 ) 
                 

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

      Equity
Contracts		  

Liabilities — Derivative Financial Instruments

   

Futures contracts

   

Unrealized depreciation on futures contracts(a)

   $ 535,493  
  

 

 

  

 

  (a) 

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts		  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 2,032,251  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (1,195,403 ) 
  

 

 

  

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

 

    $

 

 11,946,402

 

  

 

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

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   23

Schedule of Investments  (continued)

April 30, 2022

   

iShares® Global REIT ETF

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

      Level 1        Level 2        Level 3        Total  

Investments

                  

Assets

                  

Common Stocks

    $ 2,641,357,970        $ 802,077,439        $ 1,845,627        $ 3,445,281,036  

Preferred Stocks

      92,579          —          —          92,579  

Money Market Funds

      9,191,788          —          —          9,191,788  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 2,650,642,337        $ 802,077,439        $ 1,845,627        $ 3,454,565,403  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative financial instruments(a)

                 

Liabilities

                  

Futures Contracts

    $ (528,717 )       $ (6,776 )       $ —        $ (535,493 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

24  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  

April 30, 2022

   

iShares® International Developed Real Estate ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Common Stocks            
Australia — 9.5%            

Abacus Property Group

     137,624     $ 315,846  

Arena REIT

     93,127       315,162  

BWP Trust

     145,031       421,544  

Centuria Industrial REIT

     155,456       433,228  

Centuria Office REIT

     138,429       213,418  

Charter Hall Long Wale REIT

     194,906       731,494  

Charter Hall Retail REIT

     142,191       444,170  

Charter Hall Social Infrastructure REIT

     94,834       268,459  

Cromwell Property Group

     422,921       253,821  

Dexus

     318,278       2,488,478  

Dexus Industria REIT

     63,433       151,756  

GPT Group (The)

     566,853       2,015,097  

Growthpoint Properties Australia Ltd.

     83,500       256,832  

Home Consortium Ltd.

     41,244       194,452  

HomeCo Daily Needs REIT

     389,271       391,931  

Hotel Property Investments

     56,501       161,665  

Ingenia Communities Group

     108,872       358,418  

Irongate Group

     147,615       199,608  

Lifestyle Communities Ltd.

     27,626       291,161  

Mirvac Group

     1,163,909       1,967,111  

National Storage REIT

     339,119       614,229  

Scentre Group

     1,534,467       3,197,078  

Shopping Centres Australasia Property Group

     329,747       705,739  

Stockland

     705,769       2,042,797  

Vicinity Centres

     1,112,715       1,451,886  

Waypoint REIT Ltd.

     214,722       404,769  
   

 

 

  
      20,290,149  
Austria — 0.2%            

CA Immobilien Anlagen AG

     12,354       348,910  
   

 

 

  
Belgium — 3.0%            

Aedifica SA

     10,713       1,269,843  

Ascencio

     1,596       87,216  

Befimmo SA

     6,342       316,576  

Cofinimmo SA

     9,417       1,264,564  

Intervest Offices & Warehouses NV

     6,990       208,318  

Montea NV

     3,638       434,360  

Nextensa

     1,237       92,653  

Retail Estates NV

     3,056       232,767  

Shurgard Self Storage SA

     7,485       433,131  

Warehouses De Pauw CVA

     41,589       1,599,936  

Xior Student Housing NV

     6,588       351,906  
   

 

 

  
      6,291,270  
Canada — 7.6%            

Allied Properties REIT

     37,101       1,205,172  

Artis REIT

     26,693       272,405  

Boardwalk REIT(a)

    11,058       485,221  

Canadian Apartment Properties REIT

     51,173       2,004,457  

Chartwell Retirement Residences(a)

    68,465       650,195  

Choice Properties REIT

     75,909       896,975  

Crombie REIT

     30,470       415,311  

Dream Industrial REIT

     65,945       767,942  

Dream Office REIT

     10,501       212,529  

First Capital Real Estate Investment Trust

     64,184       855,354  

Granite REIT

     18,147       1,343,950  

H&R Real Estate Investment Trust

     82,989       825,594  

InterRent REIT

     38,382       421,570  

Killam Apartment REIT

     33,618       528,875  
Security   Shares     Value  
Canada (continued)            

NorthWest Healthcare Properties REIT

     56,587     $ 583,644  

Prinmaris REIT

     28,658       308,297  

RioCan REIT

     92,524       1,728,546  

SmartCentres Real Estate Investment Trust

     38,440       936,277  

Summit Industrial Income REIT

     48,057       760,892  

Tricon Residential Inc.

     71,705       1,037,634  
   

 

 

  
      16,240,840  
Finland — 0.6%            

Citycon Oyj

     21,548       153,154  

Kojamo Oyj

     57,510       1,144,057  
   

 

 

  
      1,297,211  
France — 3.4%            

Carmila SA

     11,673       181,575  

Covivio

     14,879       1,059,646  

Gecina SA

     15,233       1,715,969  

ICADE

     9,590       572,579  

Klepierre SA

     54,542       1,305,498  

Mercialys SA

     18,700       180,583  

Unibail-Rodamco-Westfield(a)(b)

    30,360       2,142,654  
   

 

 

  
      7,158,504  
Germany — 7.5%            

ADLER Group SA(c)

    26,853       204,554  

Aroundtown SA

     337,059       1,694,912  

Deutsche EuroShop AG

     14,862       246,238  

Deutsche Wohnen SE

     14,603       418,226  

Grand City Properties SA

     28,628       505,429  

Hamborner REIT AG

     20,382       190,231  

LEG Immobilien SE

     21,556       2,210,147  

Sirius Real Estate Ltd.

     320,400       489,105  

TAG Immobilien AG

     37,424       747,935  

Vonovia SE(a)

    230,079       9,166,570  
   

 

 

  
      15,873,347  
Guernsey — 0.1%            

BMO Commercial Property Trust Ltd.

     142,343       210,102  
   

 

 

  
Hong Kong — 12.2%            

Champion REIT

     588,000       257,770  

CK Asset Holdings Ltd.

     584,500       3,962,407  

Fortune REIT

     405,000       353,857  

Hang Lung Properties Ltd.

     603,000       1,153,280  

Henderson Land Development Co. Ltd.

     384,000       1,552,902  

Hongkong Land Holdings Ltd.(a)

    342,400       1,597,282  

Hysan Development Co. Ltd.

     180,000       531,031  

Link REIT

     623,500       5,385,657  

New World Development Co. Ltd.

     420,333       1,607,686  

Prosperity REIT

     361,000       123,753  

Sino Land Co. Ltd.

     1,062,800       1,404,790  

Sun Hung Kai Properties Ltd.

     421,000       4,848,693  

Sunlight REIT

     326,000       159,270  

Swire Properties Ltd.

     312,800       749,643  

Wharf Real Estate Investment Co. Ltd.

     486,900       2,294,549  
   

 

 

  
      25,982,570  
Ireland — 0.3%            

Hibernia REIT PLC

     197,311       337,625  

Irish Residential Properties REIT PLC

     131,971       202,151  
   

 

 

  
      539,776  
Israel — 0.6%            

Amot Investments Ltd.

     48,573       368,708  
 

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   25

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Developed Real Estate ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Israel (continued)            

Azrieli Group Ltd.

     10,855     $ 932,426  
   

 

 

  
      1,301,134  
Italy — 0.0%            

Immobiliare Grande Distribuzione SIIQ SpA(b)

    18,228       86,417  
   

 

 

  
Japan — 23.6%            

Activia Properties Inc.

     217       693,427  

Advance Residence Investment Corp.

     383       1,052,125  

Aeon Mall Co. Ltd.

     34,600       420,997  

AEON REIT Investment Corp.

     504       578,649  

Comforia Residential REIT Inc.

     192       478,430  

CRE Logistics REIT Inc.

     159       243,152  

Daiwa House REIT Investment Corp.

     625       1,521,251  

Daiwa Office Investment Corp.

     80       452,901  

Daiwa Securities Living Investments Corp.

     599       527,175  

Frontier Real Estate Investment Corp.

     143       554,060  

Fukuoka REIT Corp.

     209       261,388  

Global One Real Estate Investment Corp.

     286       245,158  

GLP J-Reit

     1,255       1,693,465  

Hankyu Hanshin REIT Inc.

     191       217,055  

Heiwa Real Estate Co. Ltd.

     9,600       302,835  

Heiwa Real Estate REIT Inc.

     272       311,580  

Hoshino Resorts REIT Inc.

     71       366,264  

Hulic Co. Ltd.

     121,900       1,029,250  

Hulic Reit Inc.

     371       460,869  

Ichigo Office REIT Investment Corp.

     348       223,386  

Industrial & Infrastructure Fund Investment Corp.

     558       800,666  

Invincible Investment Corp.

     1,455       474,442  

Itochu Advance Logistics Investment Corp.

     175       216,183  

Japan Excellent Inc.

     362       355,188  

Japan Hotel REIT Investment Corp.

     1,328       674,473  

Japan Logistics Fund Inc.

     254       619,888  

Japan Metropolitan Fund Invest

     2,041       1,622,245  

Japan Prime Realty Investment Corp.

     272       825,182  

Japan Real Estate Investment Corp.

     386       1,868,185  

Kenedix Office Investment Corp.

     111       580,164  

Kenedix Residential Next Investment Corp.

     290       466,506  

Kenedix Retail REIT Corp.

     173       364,206  

LaSalle Logiport REIT

     529       715,685  

Mirai Corp.

     487       189,167  

Mitsubishi Estate Co. Ltd.

     337,500       4,916,217  

Mitsubishi Estate Logistics REIT Investment Corp.

     110       394,649  

Mitsui Fudosan Co. Ltd.

     272,100       5,766,816  

Mitsui Fudosan Logistics Park Inc.

     157       673,125  

Mori Hills REIT Investment Corp.

     468       530,777  

Mori Trust Sogo REIT Inc.

     298       324,483  

Nippon Accommodations Fund Inc.

     137       674,575  

Nippon Building Fund Inc.

     452       2,346,469  

Nippon Prologis REIT Inc.

     686       1,898,689  

NIPPON REIT Investment Corp.

     129       369,765  

Nomura Real Estate Holdings Inc.

     33,200       808,943  

Nomura Real Estate Master Fund Inc.

     1,326       1,664,845  

NTT UD REIT Investment Corp.

     396       457,416  

One REIT Inc.

     74       157,085  

Orix JREIT Inc.

     782       1,057,046  

Sankei Real Estate Inc.

     131       99,858  

Sekisui House Reit Inc.

     1,234       722,077  

SOSiLA Logistics REIT Inc.

     196       238,247  

Star Asia Investment Corp.

     484       221,534  

Starts Proceed Investment Corp.

     63       112,864  
Security   Shares     Value  
Japan (continued)            

Sumitomo Realty & Development Co. Ltd.

     116,900     $ 3,101,179  

Takara Leben Real Estate Investment Corp.

     161       150,053  

Tokyo Tatemono Co. Ltd.

     58,400       823,378  

Tokyu REIT Inc.

     257       360,274  

United Urban Investment Corp.

     876       958,463  
   

 

 

  
      50,234,424  
Netherlands — 0.4%            

Eurocommercial Properties NV

     15,009       363,157  

NSI NV

     5,295       207,798  

Vastned Retail NV

     4,846       123,718  

Wereldhave NV

     11,639       189,834  
   

 

 

  
      884,507  
New Zealand — 0.9%            

Argosy Property Ltd.

     250,108       209,546  

Goodman Property Trust

     321,710       468,309  

Kiwi Property Group Ltd.

     468,587       319,601  

Precinct Properties New Zealand Ltd.

     394,132       385,164  

Stride Property Group

     143,290       183,166  

Vital Healthcare Property Trust(a)(d)

    126,879       255,569  
   

 

 

  
      1,821,355  
Norway — 0.1%            

Entra ASA(c)

    16,309       268,898  
   

 

 

  
Singapore — 8.6%            

AIMS APAC REIT(a)

    166,500       170,258  

Ascendas REIT

     1,007,690       2,073,301  

Ascott Residence Trust

     559,800       465,072  

CapitaLand Integrated Commercial Trust

     1,437,307       2,408,339  

Capitaland Investment Ltd/Singapore(b)

    753,100       2,283,549  

CDL Hospitality Trusts(a)

    232,300       223,262  

City Developments Ltd.

     138,500       849,159  

Cromwell European Real Estate Investment Trust

     91,100       221,044  

ESR-REIT

     1,481,420       415,479  

Far East Hospitality Trust

     290,600       139,988  

Frasers Centrepoint Trust(a)

    314,749       554,286  

Frasers Logistics & Commercial Trust

     836,900       871,514  

Keppel DC REIT

     378,571       564,369  

Keppel Pacific Oak US REIT

     253,000       183,223  

Keppel REIT

     635,200       556,490  

Lendlease Global Commercial REIT

     343,647       196,293  

Manulife US Real Estate Investment Trust(a)

    472,500       294,370  

Mapletree Commercial Trust

     650,317       874,625  

Mapletree Industrial Trust(a)

    545,045       1,024,184  

Mapletree Logistics Trust

     943,560       1,211,834  

OUE Commercial Real Estate Investment Trust

     641,800       191,828  

Parkway Life REIT

     114,700       399,667  

Prime U.S. REIT

     191,500       141,084  

SPH REIT

     282,400       199,251  

Starhill Global REIT

     424,200       181,612  

Suntec REIT

     611,800       808,229  

UOL Group Ltd.

     146,000       767,162  
   

 

 

  
      18,269,472  
South Korea — 0.1%            

ESR Kendall Square REIT Co. Ltd.

     42,445       247,708  
   

 

 

  
Spain — 0.9%            

Inmobiliaria Colonial Socimi SA

     101,495       843,969  

Lar Espana Real Estate Socimi SA

     17,074       89,485  
 

 

 

26  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Developed Real Estate ETF

(Percentages shown are based on Net Assets)

 

Security   Shares     Value  
Spain (continued)            

Merlin Properties Socimi SA

     98,611     $ 1,071,276  
   

 

 

  
      2,004,730  
Sweden — 5.1%            

Atrium Ljungberg AB, Class B

     13,353       218,346  

Castellum AB

     80,007       1,584,406  

Catena AB

     8,224       430,067  

Cibus Nordic Real Estate AB

     12,886       298,011  

Corem Property Group AB, Class B

     199,378       422,150  

Dios Fastigheter AB

     26,292       234,759  

Fabege AB

     75,851       920,689  

Fastighets AB Balder, Class B(b)

    29,757       1,474,973  

Hufvudstaden AB, Class A

     31,994       414,551  

K-Fast Holding AB(b)

    18,604       85,230  

NP3 Fastigheter AB

     8,229       228,686  

Nyfosa AB

     53,807       593,041  

Pandox AB(b)

    26,464       368,708  

Platzer Fastigheter Holding AB, Class B

     15,454       156,962  

Sagax AB, Class B

     50,708       1,295,307  

Samhallsbyggnadsbolaget i Norden AB

     326,269       1,024,866  

Wallenstam AB, Class B

     49,376       545,934  

Wihlborgs Fastigheter AB

     38,907       674,555  
   

 

 

  
      10,971,241  
Switzerland — 2.7%            

Allreal Holding AG, Registered

     4,307       812,399  

Hiag Immobilien Holding AG

     1,041       108,086  

Intershop Holding AG

     323       210,519  

Mobimo Holding AG, Registered

     2,104       601,728  

Peach Property Group AG

     3,586       184,593  

PSP Swiss Property AG, Registered

     12,791       1,612,074  

Swiss Prime Site AG, Registered

     22,202       2,170,123  
   

 

 

  
      5,699,522  
United Kingdom — 11.9%            

Aberdeen Standard European Logistics Income PLC(c)

    116,403       159,837  

Assura PLC

     861,468       713,864  

Big Yellow Group PLC

     50,187       906,978  

BMO Real Estate Investments Ltd.

     69,284       84,009  

British Land Co PLC/The

     273,319       1,760,561  

Capital & Counties Properties PLC

     215,095       444,422  

Civitas Social Housing PLC

     178,313       192,829  

CLS Holdings PLC

     44,806       114,509  

Custodian REIT PLC

     123,216       155,868  

Derwent London PLC

     29,960       1,136,740  

Empiric Student Property PLC

     171,436       196,171  

Grainger PLC

     215,268       800,747  

Great Portland Estates PLC

     74,685       634,368  

Hammerson PLC(a)

    1,311,882       473,631  

Helical PLC

     28,643       155,758  

Home Reit PLC

     166,635       256,890  

Impact Healthcare REIT PLC

     88,121       137,682  

Intu Properties PLC, NVS(a)(b)(d)

    6,694       —  

Land Securities Group PLC

     210,678       1,975,858  

LondonMetric Property PLC

     281,634       951,887  

LXI REIT Plc

     218,576       405,730  
Security   Shares     Value  
United Kingdom (continued)            

NewRiver REIT PLC

     87,530     $ 97,077  

Phoenix Spree Deutschland Ltd.

     22,389       99,380  

Picton Property Income Ltd. (The)

     158,740       202,801  

Primary Health Properties PLC

     390,087       707,426  

PRS REIT PLC (The)

     153,052       207,852  

Regional REIT Ltd.(c)

    130,358       138,839  

Safestore Holdings PLC

     60,899       958,049  

Schroder REIT Ltd.

     151,399       108,402  

Segro PLC

     354,608       5,936,883  

Shaftesbury PLC

     81,948       613,670  

Standard Life Investment Property Income Trust Ltd.

     116,489       120,188  

Target Healthcare REIT PLC

     183,803       256,538  

Triple Point Social Housing REIT PLC(c)

    107,197       118,215  

Tritax Big Box REIT PLC

     551,397       1,683,232  

Tritax EuroBox PLC(c)

    235,405       300,315  

UK Commercial Property REIT Ltd.

     220,180       242,593  

UNITE Group PLC (The)

     93,886       1,329,446  

Urban Logistics REIT PLC

     137,025       322,205  

Workspace Group PLC

     39,925       334,113  
   

 

 

  
      25,435,563  
United States — 0.0%            

BGP Holdings PLC, NVS(b)(d)

    6,603,392       70  
   

 

 

  

Total Common Stocks — 99.3%
(Cost: $246,777,192)

       211,457,720  
   

 

 

  

Short-Term Investments

    
Money Market Funds — 5.3%            

BlackRock Cash Funds: Institutional, SL Agency Shares, 0.38%(e)(f)(g)

    11,157,806       11,157,806  

BlackRock Cash Funds: Treasury, SL Agency Shares, 0.34%(e)(f)

    80,000       80,000  
   

 

 

  
      11,237,806  
   

 

 

  

Total Short-Term Investments — 5.3%
(Cost: $11,237,784)

       11,237,806  
   

 

 

  

Total Investments in Securities — 104.6%
(Cost: $258,014,976)

       222,695,526  

Other Assets, Less Liabilities — (4.6)%

       (9,711,000 ) 
   

 

 

  

Net Assets — 100.0%

     $   212,984,526  
   

 

 

  

 

(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 the cash collateral from loaned securities.

 

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   27

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Developed Real Estate ETF

 

Affiliates

Investments in issuers considered to be affiliate(s) of the Fund during the year ended April 30, 2022 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliated Issuer   Value at
04/30/21		     Purchases
at Cost		     Proceeds
from Sales		     Net Realized
Gain (Loss)		     Change in
Unrealized
Appreciation
(Depreciation)		     Value at
04/30/22		     Shares
Held at
04/30/22		     Income     Capital
Gain
Distributions
from
Underlying
Funds		  

BlackRock Cash
Funds: Institutional,
SL Agency Shares

     $1,765,455     $ 9,393,498 (a)    $ —     $ (1,365 )    $ 218     $ 11,157,806       11,157,806     $ 51,329 (b)    $ —  

BlackRock Cash
Funds: Treasury,
SL Agency Shares

     110,000       —       (30,000 )(a)      —       —       80,000       80,000       48       —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  
        $ (1,365 )    $ 218     $ 11,237,806       $ 51,377     $ —  
       

 

 

    

 

 

    

 

 

      

 

 

    

 

 

  

 

  (a) 

Represents net amount purchased (sold).

 
  (b) 

All or a portion represents securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees and collateral investment expenses, and other payments to and from borrowers of securities.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Description    Number of
Contracts		        Expiration
Date		        Notional
Amount
(000)		        Value/
Unrealized
Appreciation
(Depreciation)		  

Long Contracts

                  

MSCI Singapore Index

      9          05/30/22        $ 203        $ 2,795  

TOPIX Index

      2          06/09/22          292          21,098  

Dow Jones U.S. Real Estate Index

      19          06/17/22          764          (19,124 ) 

Euro Stoxx 50 Index

      5          06/17/22          194          (5,035 ) 
                 

 

 

  
                  $ (266 ) 
                 

 

 

  

Derivative Financial Instruments Categorized by Risk Exposure

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

 

     Equity
Contracts		  

Assets — Derivative Financial Instruments

  

Futures contracts

  

Unrealized appreciation on futures contracts(a)

  $ 23,893  
 

 

 

  

Liabilities — Derivative Financial Instruments

  

Futures contracts

  

Unrealized depreciation on futures contracts(a)

  $ 24,159  
 

 

 

  

 

  (a)

Net cumulative unrealized appreciation (depreciation) on futures contracts are reported in the Schedule of Investments. In the Statements of Assets and Liabilities, only current day’s variation margin is reported in receivables or payables and the net cumulative unrealized appreciation (depreciation) is included in accumulated earnings (loss).

 

For the period ended April 30, 2022, the effect of derivative financial instruments in the Statements of Operations was as follows:

 

      Equity
Contracts		  

Net Realized Gain (Loss) from:

   

Futures contracts

    $ 87,651  
  

 

 

  

Net Change in Unrealized Appreciation (Depreciation) on:

   

Futures contracts

    $ (59,059 ) 
  

 

 

  

 

 

28  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Schedule of Investments  (continued)

April 30, 2022

   

iShares® International Developed Real Estate ETF

 

Average Quarterly Balances of Outstanding Derivative Financial Instruments

 

Futures contracts:

         

Average notional value of contracts — long

 

    $

 

 1,755,582

 

  

 

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

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.

 

      Level 1      Level 2      Level 3      Total  

Investments

            

Assets

            

Common Stocks

    $ 25,504,561      $ 185,697,520      $ 255,639      $ 211,457,720  

Money Market Funds

      11,237,806        —        —        11,237,806  
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ 36,742,367      $ 185,697,520      $ 255,639      $ 222,695,526  
  

 

 

     

 

 

     

 

 

     

 

 

  

Derivative financial instruments(a)

           

Assets

            

Futures Contracts

    $ —      $ 23,893      $ —      $ 23,893  

Liabilities

            

Futures Contracts

      (19,124 )       (5,035 )       —        (24,159 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  
   $ (19,124 )     $ 18,858      $ —      $ (266 ) 
  

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

See notes to financial statements.

 

 

S C H E D U L E  O F  I N V E S T M E N  T S

   29

 

Statements of Assets and Liabilities

April 30, 2022

 

   

iShares

Cohen & Steers
REIT ETF

     

iShares

Core U.S. REIT
ETF

     

iShares

Global REIT ETF

      iShares
International
Developed
Real Estate
ETF		  

 

  

ASSETS

           

Investments in securities, at value (including securities on loan)(a):

           

Unaffiliated(b)

  $ 2,751,151,836      $ 2,309,944,409      $ 3,445,373,615      $ 211,457,720  

Affiliated(c)

    5,220,000        10,971,730        9,191,788        11,237,806  

Cash

     2,251        1,305        5,952,104        14,778  

Foreign currency, at value(d)

    —        —        2,814,878        375,893  

Cash pledged:

           

Futures contracts

     272,000        430,000        690,000        49,000  

Foreign currency collateral pledged:

           

Futures contracts(e)

    —        —        40,979        44,406  

Receivables:

           

Investments sold

     15,768,903        —        —        6,440  

Securities lending income — Affiliated

     —        402        127,456        3,816  

Capital shares sold

     14,442        —        1,171,621        —  

Dividends

     754,530        1,416,888        5,703,222        938,892  

Tax reclaims

     —        —        489,652        183,750  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total assets

     2,773,183,962        2,322,764,734        3,471,555,315        224,312,501  
 

 

 

     

 

 

     

 

 

     

 

 

  

LIABILITIES

           

Collateral on securities loaned, at value

     —        3,624,257        3,185,552        11,161,835  

Deferred foreign capital gain tax

     —        —        3,433        —  

Payables:

           

Investments purchased

     18,734,557        —        5,804,418        —  

Variation margin on futures contracts

     232,441        396,778        584,631        36,936  

Capital shares redeemed

     —        29,740        —        —  

Investment advisory fees

     779,849        163,798        399,478        88,326  

Professional fees

     —        —        —        40,878  
 

 

 

     

 

 

     

 

 

     

 

 

  

Total liabilities

     19,746,847        4,214,573        9,977,512        11,327,975  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS

   $ 2,753,437,115      $ 2,318,550,161      $ 3,461,577,803      $ 212,984,526  
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS CONSIST OF:

           

Paid-in capital

   $ 2,318,580,673      $ 2,151,746,019      $ 3,330,744,060      $ 341,552,022  

Accumulated earnings (loss)

     434,856,442        166,804,142        130,833,743        (128,567,496 ) 
 

 

 

     

 

 

     

 

 

     

 

 

  

NET ASSETS

   $ 2,753,437,115      $ 2,318,550,161      $ 3,461,577,803      $ 212,984,526  
 

 

 

     

 

 

     

 

 

     

 

 

  

Shares outstanding

     40,250,000        37,500,000        124,650,000        8,400,000  
 

 

 

     

 

 

     

 

 

     

 

 

  

Net asset value

   $ 68.41      $ 61.83      $ 27.77      $ 25.36  
 

 

 

     

 

 

     

 

 

     

 

 

  

Shares authorized

     Unlimited        Unlimited        Unlimited        Unlimited  
 

 

 

     

 

 

     

 

 

     

 

 

  

Par value

     None        None        None        None  
 

 

 

     

 

 

     

 

 

     

 

 

  

(a) Securities loaned, at value

   $ —      $ 3,336,032      $ 3,014,771      $ 10,624,789  

(b) Investments, at cost — Unaffiliated

   $ 2,177,555,957      $ 2,117,330,451      $ 3,151,539,320      $ 246,777,192  

(c)  Investments, at cost — Affiliated

   $ 5,220,000      $ 10,971,614      $ 9,188,458      $ 11,237,784  

(d) Foreign currency, at cost

   $ —      $ —      $ 2,844,815      $ 381,459  

(e) Foreign currency collateral pledged, at cost

   $ —      $ —      $ 47,732      $ 47,342  

See notes to financial statements.

 

 

30  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

 

Statements of Operations

Year Ended April 30, 2022

 

    iShares
Cohen &
Steers REIT
ETF		     iShares
Core U.S.
REIT ETF		     iShares
Global REIT
ETF		     iShares
International
Developed
Real Estate
ETF		  

 

  

INVESTMENT INCOME

        

Dividends — Unaffiliated

   $ 46,953,678     $ 49,441,733     $ 88,106,526     $ 8,595,814  

Dividends — Affiliated

     1,596       3,595       5,921       444  

Securities lending income — Affiliated — net

     1,589       4,270       363,269       50,933  

Other income — Unaffiliated

     —       —       —       6,669  

Foreign taxes withheld

     —       —       (4,443,503 )      (756,245 ) 

Foreign withholding tax claims

     —       —       —       428,770  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

     46,956,863       49,449,598       84,032,213       8,326,385  
 

 

 

    

 

 

    

 

 

    

 

 

  

EXPENSES

        

Investment advisory fees

     8,492,687       1,903,511       4,710,137       1,232,352  

Professional fees

     217       217       217       43,761  
 

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses

     8,492,904       1,903,728       4,710,354       1,276,113  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     38,463,959       47,545,870       79,321,859       7,050,272  
 

 

 

    

 

 

    

 

 

    

 

 

  

REALIZED AND UNREALIZED GAIN (LOSS)

        

Net realized gain (loss) from:

        

Investments — Unaffiliated

     9,872,525       9,779,021       (30,641,895 )      (2,255,271 ) 

Investments — Affiliated

     —       (2,642 )      (16,087 )      (1,365 ) 

In-kind redemptions — Unaffiliated

     64,906,280       177,564,982       123,902,773       5,253,134  

Futures contracts

     816,422       681,728       2,032,251       87,651  

Foreign currency transactions

     —       —       (237,701 )      (99,967 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized gain

     75,595,227       188,023,089       95,039,341       2,984,182  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation) on:

        

Investments — Unaffiliated(a)

    140,053,501       15,972,243       (23,009,306 )      (31,708,250 ) 

Investments — Affiliated

     —       128       (3,707 )      218  

Futures contracts

     (349,539 )      (280,754 )      (1,195,403 )      (59,059 ) 

Foreign currency translations

     —       —       (288,017 )      (68,315 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation (depreciation)

     139,703,962       15,691,617       (24,496,433 )      (31,835,406 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net realized and unrealized gain (loss)

     215,299,189       203,714,706       70,542,908       (28,851,224 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

   $ 253,763,148     $ 251,260,576     $ 149,864,767     $ (21,800,952 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

(a) Net of increase in deferred foreign capital gain tax of

   $ —     $ —     $ (3,433 )    $ —  

See notes to financial statements

 

 

F I N A N C I A L  S T A T E M E N T  S

   31

 

Statements of Changes in Net Assets

 

    iShares
Cohen & Steers REIT ETF		     iShares
Core U.S. REIT ETF		  
    Year Ended
04/30/22		     Year Ended
04/30/21		     Year Ended
04/30/22		     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

        

OPERATIONS

        

Net investment income

   $ 38,463,959     $ 41,267,035     $ 47,545,870     $ 37,726,883  

Net realized gain

     75,595,227       9,326,475       188,023,089       27,214,457  

Net change in unrealized appreciation (depreciation)

     139,703,962       458,100,872       15,691,617       442,458,325  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase in net assets resulting from operations

     253,763,148       508,694,382       251,260,576       507,399,665  
 

 

 

    

 

 

    

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

       

Decrease in net assets resulting from distributions to shareholders

     (50,406,231 )      (45,075,395 )      (57,050,953 )      (45,560,203 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

        

Net increase (decrease) in net assets derived from capital share transactions

     292,748,055       (49,147,842 )      137,648,377       185,409,809  
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

        

Total increase in net assets

     496,104,972       414,471,145       331,858,000       647,249,271  

Beginning of year

     2,257,332,143       1,842,860,998       1,986,692,161       1,339,442,890  
 

 

 

    

 

 

    

 

 

    

 

 

  

End of year

   $ 2,753,437,115     $ 2,257,332,143     $ 2,318,550,161     $ 1,986,692,161  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

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

See notes to financial statements.

 

 

32  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

 

Statements of Changes in Net Assets  (continued)

 

    iShares     iShares  
    Global REIT ETF     International Developed Real Estate ETF  
   

Year Ended

04/30/22

     Year Ended
04/30/21		    

Year Ended

04/30/22

     Year Ended
04/30/21		  

 

  

INCREASE (DECREASE) IN NET ASSETS

        

OPERATIONS

        

Net investment income

   $ 79,321,859     $ 66,480,813     $ 7,050,272     $ 7,695,800  

Net realized gain (loss)

     95,039,341       (9,755,980 )      2,984,182       (9,858,769 ) 

Net change in unrealized appreciation (depreciation)

     (24,496,433 )      711,564,829       (31,835,406 )      67,063,690  
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) in net assets resulting from operations

     149,864,767       768,289,662       (21,800,952 )      64,900,721  
 

 

 

    

 

 

    

 

 

    

 

 

  

DISTRIBUTIONS TO SHAREHOLDERS(a)

       

Decrease in net assets resulting from distributions to shareholders

     (101,720,806 )      (61,575,908 )      (8,046,901 )      (5,659,254 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

CAPITAL SHARE TRANSACTIONS

        

Net increase (decrease) in net assets derived from capital share transactions

     330,213,243       476,173,181       (13,681,531 )      (62,111,213 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

NET ASSETS

        

Total increase (decrease) in net assets

     378,357,204       1,182,886,935       (43,529,384 )      (2,869,746 ) 

Beginning of year

     3,083,220,599       1,900,333,664       256,513,910       259,383,656  
 

 

 

    

 

 

    

 

 

    

 

 

  

End of year

   $ 3,461,577,803     $ 3,083,220,599     $ 212,984,526     $ 256,513,910  
 

 

 

    

 

 

    

 

 

    

 

 

  

 

(a)

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

See notes to financial statements.

 

 

F I N A N C I A L  S T A T E M E N T  S

   33

Financial Highlights

(For a share outstanding throughout each period)

 

    iShares Cohen & Steers REIT ETF  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
(a)  		    
 Year Ended
04/30/20		  
(a)  		    
 Year Ended
04/30/19		  
(a)  		    
 Year Ended
04/30/18		  
(a)  

 

  

Net asset value, beginning of year

   $ 62.62     $ 49.68     $ 55.51     $ 47.00     $ 49.84  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(b)

    1.01       1.15       1.39       1.28       1.30  

Net realized and unrealized gain (loss)(c)

    6.10       13.04       (5.78 )      8.74       (2.58 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     7.11       14.19       (4.39 )      10.02       (1.28 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

         

From net investment income

     (1.32 )      (1.25 )      (1.44 )      (1.51 )      (1.56 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (1.32 )      (1.25 )      (1.44 )      (1.51 )      (1.56 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 68.41     $ 62.62     $ 49.68     $ 55.51     $ 47.00  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

         

Based on net asset value

     11.33 %      29.11 %      (8.10 )%      21.70 %      (2.68 )% 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

         

Total expenses

     0.32 %      0.33 %      0.34 %      0.34 %      0.34 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     1.46 %      2.15 %      2.43 %      2.51 %      2.63 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 2,753,437     $ 2,257,332     $ 1,842,861     $ 2,187,126     $ 2,476,649  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

    11 %      27 %      19 %      17 %      12 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Per share amounts reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

(b) 

Based on average shares outstanding.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

34  

2 0 2 2  I S H A R E S   A N N U A L  R E P O R T  T O  S H A R E H O L D E R  S

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Core U.S. REIT ETF  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		    
 Year Ended
04/30/20		  
 		    
 Year Ended
04/30/19		  
 		    
 Year Ended
04/30/18		  
 

 

  

Net asset value, beginning of year

   $ 56.60     $ 42.45     $ 51.60     $ 45.73     $ 48.93  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

    1.24       1.17       1.62       1.79       1.70  

Net realized and unrealized gain (loss)(b)

    5.45       14.39       (8.95 )      6.59       (3.20 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     6.69       15.56       (7.33 )      8.38       (1.50 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(c)

         

From net investment income

     (1.43 )      (1.41 )      (1.80 )      (2.44 )      (1.70 ) 

From net realized gain

     (0.03 )      —       (0.02 )      (0.07 )      —  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (1.46 )      (1.41 )      (1.82 )      (2.51 )      (1.70 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 61.83     $ 56.60     $ 42.45     $ 51.60     $ 45.73  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(d)

         

Based on net asset value

     11.82 %      37.43 %      (14.60 )%      18.82 %      (3.18 )% 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(e)

         

Total expenses

     0.08 %      0.08 %      0.08 %      0.08 %      0.08 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     2.00 %      2.48 %      3.12 %      3.64 %      3.60 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 2,318,550     $ 1,986,692     $ 1,339,443     $ 1,290,051     $ 514,475  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(f)

    9 %      5 %      8 %      11 %      8 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L  H I G H  L I G H T  S

   35

Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares Global REIT ETF  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		    
 Year Ended
04/30/20		  
 		    
 Year Ended
04/30/19		  
 		    
 Year Ended
04/30/18		  
 

 

  

Net asset value, beginning of year

   $ 27.22     $ 20.42     $ 26.53     $ 24.82     $ 25.42  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

    0.68       0.66       0.88       0.98       0.97  

Net realized and unrealized gain (loss)(b)

    0.74       6.75       (5.54 )      2.08       (0.56 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     1.42       7.41       (4.66 )      3.06       0.41  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(c)

         

From net investment income

     (0.87 )      (0.61 )      (1.45 )      (1.35 )      (0.99 ) 

From net realized gain

     —       —       —       —       (0.02 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (0.87 )      (0.61 )      (1.45 )      (1.35 )      (1.01 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 27.77     $ 27.22     $ 20.42     $ 26.53     $ 24.82  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(d)

         

Based on net asset value

     5.14 %      36.95 %      (18.47 )%      12.77 %      1.61 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(e)

         

Total expenses

     0.14 %      0.14 %      0.14 %      0.14 %      0.14 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     2.36 %      2.91 %      3.36 %      3.85 %      3.83 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 3,461,578     $ 3,083,221     $ 1,900,334     $ 1,637,157     $ 913,379  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(f)

    13 %      6 %      8 %      9 %      7 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(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) 

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

(d) 

Where applicable, assumes the reinvestment of distributions.

(e) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(f) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

36  

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Financial Highlights  (continued)

(For a share outstanding throughout each period)

 

    iShares International Developed Real Estate ETF  
   
 Year Ended
04/30/22		  
 		    
 Year Ended
04/30/21		  
 		    
 Year Ended
04/30/20		  
 		    
 Year Ended
04/30/19		  
 		    
 Year Ended
04/30/18		  
 

 

  

Net asset value, beginning of year

   $ 28.82     $ 22.75     $ 29.65     $ 30.40     $ 28.11  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income(a)

    0.79 (b)       0.78       0.86       0.93       0.91  

Net realized and unrealized gain (loss)(c)

    (3.35 )      5.86       (5.47 )      (0.55 )      2.86  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease) from investment operations

     (2.56 )      6.64       (4.61 )      0.38       3.77  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Distributions(d)

         

From net investment income

     (0.90 )      (0.57 )      (2.29 )      (1.13 )      (1.48 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total distributions

     (0.90 )      (0.57 )      (2.29 )      (1.13 )      (1.48 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net asset value, end of year

   $ 25.36     $ 28.82     $ 22.75     $ 29.65     $ 30.40  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Return(e)

         

Based on net asset value

     (9.24 )%(b)       29.62 %      (16.93 )%      1.39 %      13.69 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratios to Average Net Assets(f)

         

Total expenses

     0.50 %      0.48 %      0.48 %      0.48 %      0.48 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total expenses excluding professional fees for foreign withholding tax claims

     0.48 %      0.48 %      N/A       0.48 %      N/A  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

     2.75 %(b)       3.08 %      2.99 %      3.20 %      3.08 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Supplemental Data

          

Net assets, end of year (000)

   $ 212,985     $ 256,514     $ 259,384     $ 477,332     $ 535,093  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Portfolio turnover rate(g)

    16 %      9 %      10 %      8 %      8 % 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(a) 

Based on average shares outstanding.

(b) 

Reflects the one-time, positive effect of foreign withholding tax claims, net of the associated professional fees, which resulted in the following increases for the year ended April 30, 2022:

  •

Net investment income per share by $0.04.

  •

Total return by 0.17%.

  •

Ratio of net investment income to average net assets by 0.15%.

(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) 

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

(e) 

Where applicable, assumes the reinvestment of distributions.

(f) 

Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g) 

Portfolio turnover rate excludes in-kind transactions.

See notes to financial statements.

 

 

F I N A N C I A L  H I G H L I G H T  S

   37

Notes to Financial Statements   

 

1.

ORGANIZATION

iShares Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust and is authorized to have multiple series or portfolios.

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

 

iShares ETF   Diversification
Classification		  

Cohen & Steers REIT

     Non-diversified  

Core U.S. REIT

     Diversified  

Global REIT

     Diversified  

International Developed Real Estate

     Diversified  

 

2.

SIGNIFICANT ACCOUNTING POLICIES

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend date. Non-cash dividends, if any, are recorded on the ex-dividend date at fair value. Dividends from foreign securities where the ex-dividend date may have passed are subsequently recorded when the Funds are informed of the ex-dividend date. Under the applicable foreign tax laws, a withholding tax at various rates may be imposed on capital gains, dividends and interest. Upon notification from issuers or as estimated by management, a portion of the dividend income received from a real estate investment trust may be redesignated as a reduction of cost of the related investment and/or realized gain.

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

Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of investments for financial reporting purposes. Accordingly, the effects of changes in exchange rates on investments are not segregated in the Statements of Operations from the effects of changes in market prices of those investments, but are included as a component of net realized and unrealized gain (loss) from investments. Each 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 each Fund invests. These foreign taxes, if any, are paid by each Fund and are reflected in its 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 April 30, 2022, if any, are disclosed in the Statements of Assets and Liabilities.

The Funds file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. The Funds may record a reclaim receivable based on collectability, which includes factors such as the jurisdiction’s applicable laws, payment history and market convention. The Statements of Operations includes tax reclaims recorded as well as professional and other fees, if any, associated with recovery of foreign withholding taxes.

Segregation and Collateralization: In cases where a Fund enters into certain investments (e.g., futures contracts) that would be treated as “senior securities” for 1940 Act purposes, a Fund may segregate or designate on its books and record cash or liquid assets having a market value at least equal to the amount of its future obligations under such investments. Doing so allows the investment to be excluded from treatment as a “senior security.” Furthermore, if required by an exchange or counterparty agreement, the Funds may be required to deliver/deposit cash and/or securities to/with an exchange, or broker-dealer or custodian as collateral for certain investments or obligations.

In-kind Redemptions: For financial reporting purposes, 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 net asset value (“NAV”) per share.

 

 

38  

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Notes to Financial Statements  (continued)

 

Distributions: 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. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, each Fund enters into contracts that contain a variety of representations that provide general indemnification. The Funds’ maximum exposure under these arrangements is unknown because it involves future potential claims against the Funds, which cannot be predicted with any certainty.

 

3.

INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date. 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. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Trust (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

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

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s 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.

  •  

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published NAV.

  •  

Futures contracts are valued based on that day’s last reported settlement or trade price on the exchange where the contract is traded.

Generally, trading in foreign instruments is substantially completed each day at various times prior to the close of trading on the New York Stock Exchange (“NYSE”). Each business day, the Funds use current market factors supplied by independent pricing services to value certain foreign instruments (“Systematic Fair Value Price”). The Systematic Fair Value Price is designed to value such foreign securities at fair value as of the close of trading on the NYSE, which follows the close of the local markets.

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

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.

Fair Value Hierarchy: Various inputs are used in determining the fair value of financial instruments. 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund has the ability to access;

  •  

Level 2 – Other observable inputs (including, but not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs); and

  •  

Level 3 – Unobservable inputs 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 financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

 

 

N O T E S  T O  F I N A N C I A L  S  T A T E M E N T S

   39

Notes to Financial Statements  (continued)

 

4.

SECURITIES AND OTHER INVESTMENTS

Securities Lending: Each Fund may lend its 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 market value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund or excess collateral is returned by the Fund, 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.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested in money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or its affiliates is disclosed in the Schedule 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, if any, are also disclosed in each Fund’s Schedule of Investments. The market value of any securities on loan and the value of any related cash collateral are disclosed in the Statements of Assets and Liabilities.

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left 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, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.

As of period end, the following table is a summary of the securities on loan by counterparty which are subject to offset under an MSLA:

 

iShares ETF and Counterparty

    
 Market Value of
Securities on Loan		  
 		     
 Cash Collateral
Received		  
(a) 		    
 Non-Cash Collateral
Received		  
 		      Net Amount  

Core U.S. REIT

          

BNP Paribas SA

   $ 1,177,547      $ 1,177,547     $ —      $ —  

J.P. Morgan Securities LLC

     324,103        324,103       —        —  

Nomura Securities International, Inc.

     33,246        33,246       —        —  

RBC Capital Markets LLC

     112,176        112,176       —        —  

Scotia Capital (USA), Inc.

     1,688,960        1,688,960       —        —  
 

 

 

     

 

 

    

 

 

     

 

 

  
  $ 3,336,032      $ 3,336,032     $ —      $ —  
 

 

 

     

 

 

    

 

 

     

 

 

  

Global REIT

          

BofA Securities, Inc.

   $ 390      $ 390     $ —      $ —  

Credit Suisse Securities (USA) LLC

     89,192        89,192       —        —  

Goldman Sachs & Co. LLC

     2,110,076        2,110,076       —        —  

HSBC Bank PLC

     7,128        7,128       —        —  

J.P. Morgan Securities LLC

     806,105        806,105       —        —  

Scotia Capital (USA), Inc.

     1,880        1,880       —        —  
 

 

 

     

 

 

    

 

 

     

 

 

  
  $ 3,014,771      $ 3,014,771     $ —      $ —  
 

 

 

     

 

 

    

 

 

     

 

 

  

International Developed Real Estate

          

Barclays Capital, Inc.

   $ 77,873      $ 77,873     $ —      $ —  

BofA Securities, Inc.

     152,769        152,769       —        —  

Goldman Sachs & Co. LLC

     9,594,611        9,594,611       —        —  

HSBC Bank PLC

     130,292        130,292       —        —  

J.P. Morgan Securities LLC

     10,638        10,638       —        —  

Morgan Stanley

     655,407        655,407       —        —  

SG Americas Securities LLC

     3,199        3,199       —        —  
 

 

 

     

 

 

    

 

 

     

 

 

  
  $ 10,624,789      $ 10,624,789     $ —      $ —  
 

 

 

     

 

 

    

 

 

     

 

 

  

 

  (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.

 

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, each Fund benefits from a borrower default indemnity provided by BlackRock, Inc. (“BlackRock”). BlackRock’s indemnity allows for full replacement of the securities loaned to the extent 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

 

 

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Notes to Financial Statements  (continued)

 

value of an investment purchased with cash collateral falls below the market 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. Such losses are borne entirely by each Fund.

 

5.

DERIVATIVE FINANCIAL INSTRUMENTS

Futures Contracts: Futures contracts are purchased or sold to gain exposure to, or manage exposure to, changes in interest rates (interest rate risk) and changes in the value of equity securities (equity risk) or foreign currencies (foreign currency exchange rate risk).

Futures contracts are exchange-traded agreements between the Funds and a counterparty to buy or sell a specific quantity of an underlying instrument at a specified price and on a specified date. Depending on the terms of a contract, it is settled either through physical delivery of the underlying instrument on the settlement date or by payment of a cash amount on the settlement date. Upon entering into a futures contract, the Funds are required to deposit initial margin with the broker in the form of cash or securities in an amount that varies depending on a contract’s size and risk profile. The initial margin deposit must then be maintained at an established level over the life of the contract. Amounts pledged, which are considered restricted, are included in cash pledged for futures contracts in the Statements of Assets and Liabilities.

Securities deposited as initial margin are designated in the Schedule of Investments and cash deposited, if any, are shown as cash pledged for futures contracts in the Statements of Assets and Liabilities. Pursuant to the contract, the Funds agree to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). Variation margin is recorded as unrealized appreciation (depreciation) and, if any, shown as variation margin receivable (or payable) on futures contracts in the Statements of Assets and Liabilities. When the contract is closed, a realized gain or loss is recorded in the Statements of Operations equal to the difference between the notional amount of the contract at the time it was opened and the notional amount at the time it was closed. The use of futures contracts involves the risk of an imperfect correlation in the movements in the price of futures contracts and interest rates, foreign currency exchange rates or underlying assets.

 

6.

INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Advisory Fees: Pursuant to an Investment Advisory Agreement with the Trust, BFA manages the investment of each Fund’s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except (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 trustees).

For its investment advisory services to the iShares Cohen & Steers REIT 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:

 

Aggregate Average Daily Net Assets   Investment Advisory Fee  

First $121 billion

     0.3500 % 

Over $121 billion, up to and including $181 billion

     0.3325  

Over $181 billion, up to and including $231 billion

     0.3159  

Over $231 billion, up to and including $281 billion

     0.3001  

Over $281 billion

     0.2851  

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  

Core U.S. REIT

     0.08 % 

Global REIT

     0.14  

International Developed Real Estate

     0.48  

Distributor: BlackRock Investments, LLC (“BRIL”), 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.

ETF Servicing Fees: iShares Cohen & Steers REIT ETF and iShares Core U.S. REIT ETF have entered into an ETF Services Agreement with BRIL to perform certain order processing, Authorized Participant communications, and related services in connection with the issuance and redemption of Creation Units (“ETF Services”). BRIL is entitled to a transaction fee from Authorized Participants on each creation or redemption order for the ETF Services provided. iShares Cohen & Steers REIT ETF and iShares Core U.S. REIT ETF do not pay BRIL for ETF Services.

Prior to April 25, 2022, ETF Services were performed by State Street Bank and Trust Company.

Securities Lending: The U.S. Securities and Exchange Commission (the “SEC”) has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. (“BTC”), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by BFA, or its affiliates. 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 SL Agency Shares of such money market fund will not be subject to a sales load, distribution

 

 

N O T E S  T O  F I N A N C I A L  S  T A T E M E N T S

   41

Notes to Financial Statements  (continued)

 

fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits the remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each of iShares Cohen & Steers REIT ETF, iShares Core U.S. REIT ETF and iShares Global REIT ETF (the “Group 1 Funds”), retains 81% of securities lending income (which excludes collateral investment fees) and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Pursuant to the current securities lending agreement, the iShares International Developed Real Estate ETF (the “Group 2 Fund”), retains 82% of securities lending income (which excludes collateral investment fees) 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 a specified threshold: (1) each Group 1 Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees, and (2) the Group 2 Fund will retain for the remainder of that calendar year 85% of securities lending income (which excludes collateral investment fees), and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

Prior to January 1, 2022, each Group 1 Fund, except iShares Global REIT ETF, retained 77% of securities lending income (which excludes collateral investment fees) and the amount retained was not less than 70% of the total of securities lending income plus the collateral investment fees. The Group 2 Fund and iShares Global REIT ETF retained 82% of securities lending income (which excludes collateral investment fees) and the amount retained was not 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 the iShares ETF Complex in a calendar year exceeded a specified threshold: (1) each Group 1 Fund, except iShares Global REIT ETF, pursuant to the securities lending agreement, retained for the remainder of that calendar year 81% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees, and (2) the Group 2 Fund and iShares Global REIT ETF, pursuant to the securities lending agreement, retained for the remainder of that calendar year 85% of securities lending income (which excludes collateral investment fees), and the amount retained could never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income – affiliated – net in its Statements of Operations. For the year ended April 30, 2022, the Funds paid BTC the following amounts for securities lending agent services:

 

iShares ETF   Fees Paid
to BTC		  

Cohen & Steers REIT

   $ 681  

Core U.S. REIT

     1,767  

Global REIT

     87,481  

International Developed Real Estate

     12,196  

Officers and Trustees: Certain officers and/or trustees of the Trust are officers and/or trustees of BlackRock or its affiliates.

Other Transactions: Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7.

For the year ended April 30, 2022, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows:

 

iShares ETF   Purchases      Sales      Net Realized
Gain (Loss)		  

Cohen & Steers REIT

   $   20,181,068      $ 6,960,056      $ (262,369)  

Core U.S. REIT

     20,330,830          37,440,575          (3,277,114)  

Global REIT

     4,802,272        107,777,501        (12,235,486)  

International Developed Real Estate

     245,169        897,734        (135,598)  

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 shown as dividends – affiliated in the Statements of Operations.

A fund, in order to improve its portfolio liquidity and its ability to track its underlying index, may invest in shares of other iShares funds that invest in securities in the fund’s underlying index.

 

 

42  

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Notes to Financial Statements  (continued)

 

7.

PURCHASES AND SALES

For the year ended April 30, 2022, purchases and sales of investments, excluding short-term investments and in-kind transactions, were as follows:

 

iShares ETF    Purchases      Sales  

Cohen & Steers REIT

    $   311,047,272      $   295,652,869  

Core U.S. REIT

      215,227,828        202,563,548  

Global REIT

      493,673,637        438,696,152  

International Developed Real Estate

      45,306,039        40,637,212  

For the year ended April 30, 2022, in-kind transactions were as follows:

 

iShares ETF    In-kind
Purchases		     

In-kind

Sales

  

Cohen & Steers REIT

    $   467,197,070      $   175,509,871  

Core U.S. REIT

      721,464,992        585,873,614  

Global REIT

      629,170,514        346,554,657  

International Developed Real Estate

      21,746,822        37,457,133  

 

8.

INCOME TAX INFORMATION

Each Fund is treated as an entity separate from the Trust’s other funds for federal income tax purposes. It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Management has analyzed tax laws and regulations and their application to the Funds as of April 30, 2022, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

U.S. GAAP requires that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or NAV per share. As of April 30, 2022, permanent differences attributable to distributions paid in excess of taxable income and realized gains (losses) from in-kind redemptions were reclassified to the following accounts:

 

iShares ETF    Paid-in Capital      Accumulated
Earnings (Loss)		  

Cohen & Steers REIT

    $ 49,269,341      $ (49,269,341 ) 

Core U.S. REIT

      165,184,331        (165,184,331 ) 

Global REIT

      103,490,556        (103,490,556 ) 

International Developed Real Estate

      3,368,331        (3,368,331 ) 

The tax character of distributions paid was as follows:

 

iShares ETF   Year Ended
04/30/22		      Year Ended
04/30/21		  

Cohen & Steers REIT

     

Ordinary income

   $ 50,406,231      $ 45,075,395  
 

 

 

     

 

 

  

Core U.S. REIT

     

Ordinary income

   $ 55,839,536      $ 45,560,203  

Long-term capital gains

     1,211,417        —  
 

 

 

     

 

 

  
  $ 57,050,953      $ 45,560,203  
 

 

 

     

 

 

  

Global REIT

     

Ordinary income

   $ 101,720,806      $ 61,575,908  
 

 

 

     

 

 

  

International Developed Real Estate

     

Ordinary income

   $ 8,046,901      $ 5,659,254  
 

 

 

     

 

 

  

 

 

N O T E S  T O  F I N A N C I A L  S  T A T E M E N T S

   43

Notes to Financial Statements  (continued)

 

As of April 30, 2022, the tax components of accumulated net earnings (losses) were as follows:

 

iShares ETF    

 Non-expiring
Capital Loss
Carryforwards		  
 
(a) 		    
 Net Unrealized
Gains (Losses)		  
(b) 		    
 Qualified
Late-Year Losses		  
(c) 		     Total     

Cohen & Steers REIT

   $   (116,124,833 )    $ 550,981,275     $ —     $   434,856,442     

Core U.S. REIT

     —       166,804,142       —       166,804,142     

Global REIT

     (76,726,280 )      229,680,511       (22,120,488 )      130,833,743     

International Developed Real Estate

     (84,743,294 )      (41,162,383 )      (2,661,819 )      (128,567,496)    

 

  (a) 

Amounts available to offset future realized capital gains.

 
  (b) 

The difference between book-basis and tax-basis unrealized gains (losses) was attributable primarily to the tax deferral of losses on wash sales, the realization for tax purposes of unrealized gains (losses) on certain futures contracts, the timing and recognition of partnership income, the characterization of corporate actions and the realization for tax purposes of unrealized gains on investments in passive foreign investment companies.

 
  (c) 

The Funds have elected to defer certain qualified late-year losses and recognize such losses in the next taxable year.

 

For the year ended April 30, 2022, the Funds listed below utilized the following amounts of their respective capital loss carryforwards:

 

iShares ETF   Utilized    

Cohen & Steers REIT

   $   14,852,011    

Core U.S. REIT

     19,015,351    

A fund may own shares in certain foreign investment entities, referred to, under U.S. tax law, as “passive foreign investment companies.” Such fund may elect to mark-to-market annually the shares of each passive foreign investment company and would be required to distribute to shareholders any such marked-to-market gains.

As of April 30, 2022, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:

 

iShares ETF   Tax Cost      Gross Unrealized
Appreciation		      Gross Unrealized
Depreciation		     Net Unrealized   
Appreciation   
(Depreciation)   		  

Cohen & Steers REIT

   $   2,205,390,561      $ 629,441,800      $ (78,460,525 )    $   550,981,275     

Core U.S. REIT

     2,154,111,997        318,823,209        (152,019,067 )      166,804,142     

Global REIT

     3,224,565,411        482,695,731        (252,702,515 )      229,993,216     

International Developed Real Estate

     263,820,836        11,332,602        (52,434,019 )      (41,101,417)    

 

9.

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. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. 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.

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. Although vaccines have been developed and approved for use by various governments, the duration of this pandemic and its effects cannot be determined with certainty.

Valuation Risk: The market values of equities, such as common stocks and preferred securities or equity related investments, such as futures and options, may decline due to general market conditions which are not specifically related to a particular company. They may also decline due to factors which affect a particular industry or industries. A fund may invest in illiquid investments. An illiquid investment is any investment that a fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. A fund may experience difficulty in selling illiquid investments in a timely manner at the price that it believes the investments are worth. Prices may fluctuate widely over short or extended periods in response to

 

 

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Notes to Financial Statements  (continued)

 

company, market or economic news. Markets also tend to move in cycles, with periods of rising and falling prices. This volatility may cause a fund’s NAV to experience significant increases or decreases over short periods of time. If there is a general decline in the securities and other markets, the NAV of a fund may lose value, regardless of the individual results of the securities and other instruments in which a fund invests.

The price each Fund could receive upon the sale of any particular portfolio investment may differ from each Fund’s valuation of the investment, particularly for securities that trade in thin or volatile markets or that are valued using a fair valuation technique or a price provided by an independent pricing service. Changes to significant unobservable inputs and assumptions (i.e., publicly traded company multiples, growth rate, time to exit) due to the lack of observable inputs.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

A derivative contract may suffer a mark-to-market loss if the value of the contract decreases due to an unfavorable change in the market rates or values of the underlying instrument. Losses can also occur if the counterparty does not perform under the contract.

With exchange-traded futures, there is less counterparty credit risk to the Funds since the exchange or clearinghouse, as counterparty to such instruments, guarantees against a possible default. The clearinghouse stands between the buyer and the seller of the contract; therefore, credit risk is limited to failure of the clearinghouse. While offset rights may exist under applicable law, a Fund does not have a contractual right of offset against a clearing broker or clearinghouse in the event of a default (including the bankruptcy or insolvency). Additionally, credit risk exists in exchange-traded futures with respect to initial and variation margin that is held in a clearing broker’s customer accounts. While clearing brokers are required to segregate customer margin from their own assets, in the event that a clearing broker becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the clearing broker for all its clients, typically the shortfall would be allocated on a pro rata basis across all the clearing broker’s customers, potentially resulting in losses to the Funds.

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

Certain Funds invest a significant portion of their assets in securities of issuers located in Europe or with significant exposure to European issuers or countries. The European financial markets have recently experienced volatility and adverse trends due to concerns about economic downturns in, or rising government debt levels of, several European countries as well as acts of war in the region. These events may spread to other countries in Europe and may affect the value and liquidity of certain of the Funds’ investments.

Responses to the financial problems by European governments, central banks and others, including austerity measures and reforms, may not work, may result in social unrest and may limit future growth and economic recovery or have other unintended consequences. Further defaults or restructurings by governments and others of their debt could have additional adverse effects on economies, financial markets and asset valuations around the world. The United Kingdom has withdrawn from the European Union, and one or more other countries may withdraw from the European Union and/or abandon the Euro, the common currency of the European Union. The impact of these actions, especially if they occur in a disorderly fashion, is not clear but could be significant and far reaching. In addition, Russia launched a large-scale invasion of Ukraine on February 24, 2022. The extent and duration of the military action, resulting sanctions and resulting future market disruptions in the region are impossible to predict, but could be significant and have a severe adverse effect on the region, including significant negative impacts on the economy and the markets for certain securities and commodities, such as oil and natural gas, as well as other sectors.

Certain Funds invest a significant portion of their assets in securities of issuers located in Asia or with significant exposure to Asian issuers or countries. The Asian financial markets have recently experienced volatility and adverse trends due to concerns in several Asian countries regarding monetary policy, government intervention in the markets, rising government debt levels or economic downturns. These events may spread to other countries in Asia and may affect the value and liquidity of certain of the Funds’ investments.

Certain Funds invest a significant portion of their assets in securities within a single or limited number of market sectors. When a Fund concentrates its investments in this manner, it assumes the risk that economic, regulatory, political and social conditions affecting such sectors may have a significant impact on the fund and could affect the income from, or the value or liquidity of, the fund’s portfolio. Investment percentages in specific sectors are presented in the Schedule of Investments.

Significant Shareholder Redemption Risk: Certain shareholders may own or manage a substantial amount of fund shares and/or hold their fund investments for a limited period of time. Large redemptions of fund shares by these shareholders may force a Fund to sell portfolio securities, which may negatively impact the fund’s NAV, increase the fund’s brokerage costs, and/or accelerate the realization of taxable income/gains and cause the fund to make additional taxable distributions to shareholders.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the London Interbank Offered Rate (“LIBOR”). Although many LIBOR rates ceased to be published or no longer are representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

 

 

N O T E S  T O  F I N A N C I A L  S  T A T E M E N T S

   45

Notes to Financial Statements  (continued)

 

10.

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 were as follows:

 

     Year Ended
04/30/22 		    Year Ended
04/30/21 		 
iShares ETF   Shares     Amount     Shares     Amount  

Cohen & Steers REIT

        

Shares sold

     6,750,000     $ 468,713,265       2,750,000 (a)    $ 147,340,181  

Shares redeemed

     (2,550,000 )      (175,965,210 )      (3,800,000 )(a)      (196,488,023 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase (decrease)

     4,200,000     $ 292,748,055       (1,050,000 )    $ (49,147,842 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Core U.S. REIT

        

Shares sold

     11,850,000     $ 729,451,592       10,850,000     $ 516,994,095  

Shares redeemed

     (9,450,000 )      (591,803,215 )      (7,300,000 )      (331,584,286 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase

     2,400,000     $ 137,648,377       3,550,000     $ 185,409,809  
 

 

 

    

 

 

    

 

 

    

 

 

  

Global REIT

        

Shares sold

     24,250,000     $ 697,331,384       25,850,000     $ 596,282,883  

Shares redeemed

     (12,850,000 )      (367,118,141 )      (5,650,000 )      (120,109,702 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net increase

     11,400,000     $ 330,213,243       20,200,000     $ 476,173,181  
 

 

 

    

 

 

    

 

 

    

 

 

  

International Developed Real Estate

        

Shares sold

     900,000     $ 25,486,316       600,000     $ 13,805,489  

Shares redeemed

     (1,400,000 )      (39,167,847 )      (3,100,000 )      (75,916,702 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

Net decrease

     (500,000 )    $ (13,681,531 )      (2,500,000 )    $ (62,111,213 ) 
 

 

 

    

 

 

    

 

 

    

 

 

  

 

  (a) 

Share transactions reflect a two-for-one stock split effective after the close of trading on December 4, 2020.

 

The consideration for the purchase of Creation Units of a fund in the Trust generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Trust may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Trust’s administrator or BRIL, 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 shares sold in the table above.

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 transactions are reflected as a receivable or a payable in the Statements of Assets and Liabilities.

 

11.

FOREIGN WITHHOLDING TAX CLAIMS

The iShares International Developed Real Estate ETF has filed claims to recover taxes withheld by Sweden on dividend income based upon 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 determinations made by Swedish tax authorities. Professional and other 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 continues to evaluate developments in Sweden, for potential impacts to the receivables and associated professional fees payable. Swedish tax claims receivable and related liabilities are disclosed in the Statements of Assets and Liabilities. Collection of this receivable, and any subsequent payment of associated liabilities, depends upon determinations made by Swedish tax authorities.

The Internal Revenue Service (“IRS”) has issued guidance to address U.S. income tax liabilities attributable to fund shareholders resulting from the recovery of foreign taxes withheld in prior calendar 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 iShares International Developed Real Estate ETF is able to pass through to 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.

 

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 additional disclosure in the financial statements.

 

 

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Report of Independent Registered Public Accounting Firm

 

To the Board of Trustees of iShares Trust and

Shareholders of iShares Cohen & Steers REIT ETF, iShares Core U.S. REIT ETF, iShares Global REIT

ETF and iShares International Developed Real Estate ETF

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of iShares Cohen & Steers REIT ETF, iShares Core U.S. REIT ETF, iShares Global REIT ETF and iShares International Developed Real Estate ETF (four of the funds constituting iShares Trust, hereafter collectively referred to as the “Funds”) as of April 30, 2022, the related statements of operations for the year ended April 30, 2022, the statements of changes in net assets for each of the two years in the period ended April 30, 2022, including the related notes, and the financial highlights for each of the five years in the period ended April 30, 2022 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of April 30, 2022, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended April 30, 2022 and each of the financial highlights for each of the five years in the period ended April 30, 2022 in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of April 30, 2022 by correspondence with the custodian, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/ PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

June 23, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.

 

 

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   47

Important Tax Information (unaudited)

 

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended April 30, 2022:

 

iShares ETF   Qualified Dividend
Income		  

Cohen & Steers REIT

   $ 245,268  

Core U.S. REIT

     935,890  

Global REIT

     20,100,279  

International Developed Real Estate

     4,047,283  

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended April 30, 2022:

 

iShares ETF   Qualified Business
Income		  

Cohen & Steers REIT

   $ 35,364,204  

Core U.S. REIT

     41,341,992  

Global REIT

     37,726,507  

The Funds hereby designate the following amounts, or maximum amounts allowable by law, as capital gain dividends, subject to a long-term capital gains tax rate as noted below, for the fiscal year ended April 30, 2022:

 

iShares ETF   20% Rate Long-Term
Capital Gain Dividends		  

Core U.S. REIT

   $ 1,211,417  

The Funds intend to pass through to their shareholders the following amounts, or maximum amounts allowable by law, of foreign source income earned and foreign taxes paid for the fiscal year ended April 30, 2022:

 

iShares ETF   Foreign Source
Income Earned		     Foreign
Taxes Paid		  

International Developed Real Estate

   $ 10,407,734       $  361,055  

The following percentage, or maximum percentage allowable by law, of ordinary income distributions paid during the fiscal year ended April 30, 2022 qualified for the dividends-received deduction for corporate shareholders:

 

iShares ETF   Dividends-Received
Deduction		  

Core U.S. REIT

     0.57 % 

Global REIT

     0.41 % 

 

 

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Statement Regarding Liquidity Risk Management Program (unaudited)

 

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), iShares Trust (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for iShares Cohen & Steers REIT ETF, iShares Core U.S. REIT ETF, iShares Global REIT ETF and iShares International Developed Real Estate ETF (the “Funds” or “ETFs”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on December 9, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Fund Advisors (“BlackRock”), the investment adviser to the Funds, as the program administrator for each Fund’s Program. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including extended market holidays and the imposition of capital controls in certain non-U.S. countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

 

  a)

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure, with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Derivative exposure was also considered in the calculation of a fund’s liquidity bucketing. Finally, a factor for consideration under the Liquidity Rule is a Fund’s use of borrowings for investment purposes. However, the Funds do not borrow for investment purposes.

 

  b)

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each ETF’s reasonably anticipated trading size (“RATS”). The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

 

  c)

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered that ETFs generally do not hold more than de minimis amounts of cash. While the ETFs generally do not engage in borrowing, certain of the ETFs have the flexibility to draw on a line of credit to meet redemption requests or facilitate settlements.

 

  d)

The relationship between an ETF’s portfolio liquidity and the way in which, and the prices and spreads at which, ETF shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants. The Committee monitored the prevailing bid/ask spread and the ETF price premium (or discount) to NAV for all ETFs and reviewed any persistent deviations from long-term averages.

 

  e)

The effect of the composition of baskets on the overall liquidity of an ETF’s portfolio. In reviewing the linkage between the composition of custom baskets accepted by an ETF and any significant change in the liquidity profile of such ETF, the Committee reviewed changes in the proportion of each ETF’s portfolio comprised of less liquid and illiquid holdings to determine if applicable thresholds were met requiring enhanced review.

As part of BlackRock’s continuous review of the effectiveness of the Program, the Committee made the following material changes to the Program: (1) updates to certain model components in the Program’s methodology; and (2) certain iShares Funds entered into a $800 million credit agreement with a group of lenders that replaced a previous liquidity facility. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.

 

 

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Supplemental Information (unaudited)

 

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

Section 19(a) Notices

The amounts and sources of distributions reported are estimates and are being 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 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.

April 30, 2022

 

     Total Cumulative Distributions
for the Fiscal Year 		    % Breakdown of the Total Cumulative
Distributions for the Fiscal Year 		 
iShares ETF   Net
Investment
Income		     Net Realized
Capital Gains		     Return of
Capital		     Total Per
Share		     Net
Investment
Income		     Net Realized
Capital Gains		     Return of
Capital		     Total Per
Share		  

Cohen & Steers REIT(a)

  $  1.031490     $ —     $  0.288369     $  1.319859       78 %      — %      22 %      100 % 

Core U.S. REIT(a)

    1.133649       —       0.327979       1.461628       78       —       22       100  

Global REIT(a)

    0.740976       —       0.129996       0.870972       85       —       15       100  

International Developed Real Estate

     0.896076       —       —       0.896076       100       —       —       100  

 

  (a) 

The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of the distribution may be a return of capital. A return of capital may occur, for example, when some or all of the shareholder’s investment in the Fund is returned to the shareholder. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. When distributions exceed total return performance, the difference will incrementally reduce the Fund’s net asset value per share.

 

Premium/Discount Information

Information on the Fund’s net asset value, market price, premiums and discounts, and bid-ask spreads can be found at iShares.com.

 

 

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Trustee and Officer Information

 

The Board of Trustees has responsibility for the overall management and operations of the Funds, including general supervision of the duties performed by BFA and other service providers. Each Trustee serves until he or she resigns, is removed, dies, retires or becomes incapacitated. Each officer shall hold office until his or her successor is elected and qualifies or until his or her death, resignation or removal. Trustees who are not “interested persons” (as defined in the 1940 Act) of the Trust are referred to as independent trustees (“Independent Trustees”).

The registered investment companies advised by BFA or its affiliates (the “BlackRock-advised Funds”) are organized into one complex of open-end equity, multi-asset, index and money market funds and ETFs (the “BlackRock Multi-Asset Complex”), one complex of closed-end funds and open-end non-index fixed-income funds (including ETFs) (the “BlackRock Fixed-Income Complex”) and one complex of ETFs (“Exchange-Traded Fund Complex”) (each, a “BlackRock Fund Complex”). Each Fund is included in the Exchange-Traded Fund Complex. Each Trustee also serves as a Director of iShares, Inc. and a Trustee of iShares U.S. ETF Trust and, as a result, oversees all of the funds within the Exchange-Traded Fund Complex, which consists of 380 funds as of April 30, 2022. With the exception of Robert S. Kapito, Salim Ramji and Charles Park, the address of each Trustee and officer is c/o BlackRock, Inc., 400 Howard Street, San Francisco, CA 94105. The address of Mr. Kapito, Mr. Ramji and Mr. Park is c/o BlackRock, Inc., Park Avenue Plaza, 55 East 52nd Street, New York, NY 10055. The Board has designated John E. Kerrigan as its Independent Board Chair. Additional information about the Funds’ Trustees and officers may be found in the Funds’ combined Statement of Additional Information, which is available without charge, upon request, by calling toll-free 1-800-iShares (1-800-474-2737).

 

     Interested Trustees     
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Robert S.

Kapito(a) (65)

   

Trustee (since

2009).

   

President, BlackRock, Inc. (since 2006); Vice Chairman of BlackRock, Inc. and Head of BlackRock’s Portfolio Management Group (since its formation in 1998) and BlackRock, Inc.’s predecessor entities (since 1988); Trustee, University of Pennsylvania (since 2009); President of Board of Directors, Hope & Heroes Children’s Cancer Fund (since 2002).

 

    Director of BlackRock, Inc. (since 2006); Director of iShares, Inc. (since 2009); Trustee of iShares U.S. ETF Trust (since 2011).

Salim Ramji(b)

(51)

   

Trustee (since

2019).

   

Senior Managing Director, BlackRock, Inc. (since 2014); Global Head of BlackRock’s ETF and Index Investments Business (since 2019); Head of BlackRock’s U.S. Wealth Advisory Business (2015-2019); Global Head of Corporate Strategy, BlackRock, Inc. (2014-2015); Senior Partner, McKinsey & Company (2010-2014).

 

    Director of iShares, Inc. (since 2019); Trustee of iShares U.S. ETF Trust (since 2019).

 

(a) 

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

 
(b) 

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

 

 

     Independent Trustees     
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

John E.

Kerrigan (66)

   

Trustee (since

2005);

Independent

Board Chair

(since 2022).

 

    Chief Investment Officer, Santa Clara University (since 2002).    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Independent Board Chair of iShares, Inc. and iShares U.S. ETF Trust (since 2022).

Jane D.

Carlin (66)

   

Trustee (since

2015); Risk

Committee Chair

(since 2016).

   

Consultant (since 2012); Member of the Audit Committee (2012-2018), Chair of the Nominating and Governance Committee (2017-2018) and Director of PHH Corporation (mortgage solutions) (2012-2018); Managing Director and Global Head of Financial Holding Company Governance & Assurance and the Global Head of Operational Risk Management of Morgan Stanley (2006-2012).

 

    Director of iShares, Inc. (since 2015); Trustee of iShares U.S. ETF Trust (since 2015); Member of the Audit Committee (since 2016), Chair of the Audit Committee (since 2020) and Director of The Hanover Insurance Group, Inc. (since 2016).

Richard L.

Fagnani (67)

   

Trustee (since

2017); Audit

Committee Chair

(since 2019).

 

    Partner, KPMG LLP (2002-2016).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

 

 

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Trustee and Officer Information  (continued)

 

Independent Trustees (continued)
       
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

    Other Directorships Held by Trustee

Cecilia H.

Herbert (73)

    Trustee (since
2005); Nominating
and Governance
and Equity Plus
Committee Chairs
(since 2022).		   

Chair of the Finance Committee (since 2019) and Trustee and Member of the Finance, Audit and Quality Committees of Stanford Health Care (since 2016); Trustee of WNET, New York’s public media company (since 2011) and Member of the Audit Committee (since 2018) and Investment Committee (since 2011); Chair (1994-2005) and Member (since 1992) of the Investment Committee, Archdiocese of San Francisco; Trustee of Forward Funds (14 portfolios) (2009-2018); Trustee of Salient MF Trust (4 portfolios) (2015-2018); Director (1998-2013) and President (2007-2011) of the Board of Directors, Catholic Charities CYO; Trustee (2002-2011) and Chair of the Finance and Investment Committee (2006-2010) of the Thacher School; Director of the Senior Center of Jackson Hole (since 2020).

 

    Director of iShares, Inc. (since 2005); Trustee of iShares U.S. ETF Trust (since 2011); Trustee of Thrivent Church Loan and Income Fund (since 2019).

Drew E.

Lawton (63)

   

Trustee (since
2017); 15(c)
Committee Chair
(since 2017).

 

    Senior Managing Director of New York Life Insurance Company (2010-2015).    Director of iShares, Inc. (since 2017); Trustee of iShares U.S. ETF Trust (since 2017).

John E.

Martinez (60)

   

Trustee (since
2003); Securities
Lending
Committee Chair
(since 2019).

 

    Director of Real Estate Equity Exchange, Inc. (since 2005); Director of Cloudera Foundation (2017-2020); and Director of Reading Partners (2012-2016).    Director of iShares, Inc. (since 2003); Trustee of iShares U.S. ETF Trust (since 2011).

Madhav V.

Rajan (57)

    Trustee (since
2011); Fixed
Income Plus
Committee Chair
(since 2019).		   

Dean, and George Pratt Shultz Professor of Accounting, University of Chicago Booth School of Business (since 2017); Advisory Board Member (since 2016) and Director (since 2020) of C.M. Capital Corporation; Chair of the Board for the Center for Research in Security Prices, LLC (since 2020); Robert K. Jaedicke Professor of Accounting, Stanford University Graduate School of Business (2001-2017); Professor of Law (by courtesy), Stanford Law School (2005-2017); Senior Associate Dean for Academic Affairs and Head of MBA Program, Stanford University Graduate School of Business (2010-2016).

 

    Director of iShares, Inc. (since 2011); Trustee of iShares U.S. ETF Trust (since 2011).
Officers
     
Name (Age)    Position(s)   

Principal Occupation(s)

During the Past 5 Years

Armando

Senra (50)

    President (since
2019).		   

Managing Director, BlackRock, Inc. (since 2007); Head of U.S., Canada and Latam iShares, BlackRock, Inc. (since 2019); Head of Latin America Region, BlackRock, Inc. (2006-2019); Managing Director, Bank of America Merrill Lynch (1994-2006).

 

Trent

Walker (47)

    Treasurer and
Chief Financial
Officer (since
2020).		   

Managing Director, BlackRock, Inc. (since September 2019); Chief Financial Officer of iShares Delaware Trust Sponsor LLC, BlackRock Funds, BlackRock Funds II, BlackRock Funds IV, BlackRock Funds V and BlackRock Funds VI (since 2021); Executive Vice President of PIMCO (2016-2019); Senior Vice President of PIMCO (2008-2015); Treasurer (2013-2019) and Assistant Treasurer (2007-2017) of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.

 

Charles

Park (54)

   

Chief Compliance
Officer (since
2006).

 

    Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex (since 2014); Chief Compliance Officer of BFA (since 2006).

Deepa Damre

Smith (46)

   

Secretary (since
2019).

 

    Managing Director, BlackRock, Inc. (since 2014); Director, BlackRock, Inc. (2009-2013).

Rachel

Aguirre (39)

   

Executive Vice
President (since
2022).

 

    Managing Director, BlackRock, Inc. (since 2018); Director, BlackRock, Inc. (2009-2018); Head of U.S. iShares Product (since 2022); Head of EII U.S. Product Engineering (since 2021); Co-Head of EII’s Americas Portfolio Engineering (2020-2021); Head of Developed Markets Portfolio Engineering 2021); Head of Developed Markets Portfolio Engineering (2016-2019).

Jennifer

Hsui (46)

   

Executive Vice
President (since
2022).

 

    Managing Director, BlackRock, Inc. (since 2009); Co-Head of Index Equity (since 2022).

James

Mauro (51)

   

Executive Vice
President (since
2022).

 

    Managing Director, BlackRock, Inc. (since 2010); Head of Fixed Income Index Investments in the Americas and Head of San Francisco Core Portfolio Management (since 2020).

 

 

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Trustee and Officer Information  (continued)

 

Effective March 18, 2022, Rachel Aguirre, Jennifer Hsui, and James Mauro have replaced Scott Radell, Alan Mason, and Marybeth Leithead as Executive Vice Presidents.

 

 

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   53

General Information

 

Electronic Delivery

Shareholders can sign up for e-mail notifications announcing that the shareholder report or prospectus has been posted on the iShares website at 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 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 and Rule 30e-3 notices 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 Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at iShares.com/fundreports.

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 iShares.com; and (3) on the SEC website at sec.gov.

A description of the Trust’s policies and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund Prospectus. The Fund discloses its portfolio holdings daily and provides information regarding its top holdings in Fund fact sheets at iShares.com.

 

 

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Glossary of Terms Used in this Report

 

Portfolio Abbreviations - Equity
NVS    Non-Voting Shares
REIT    Real Estate Investment Trust

    

 

 

 

G L O S S A R Y  O F  T E R M S  U  S E D  I N  T H I S  R E P O R T

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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 Cohen & Steers Capital Management, Inc. or FTSE International Limited, nor do these companies make any representation regarding the advisability of investing in the iShares Funds. BlackRock is not affiliated with the companies listed above.

©2022 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-AR-405-0422

 

 

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(b) Not Applicable

 

Item 2.

Code of Ethics.

The registrant has adopted a code of ethics, as of the end of the period covered by this report, applicable to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. During the period covered by this report, the code of ethics was amended to clarify an inconsistency in to whom persons covered by the code should report suspected violations of the code. The amendment clarifies that such reporting should be made to BlackRock’s General Counsel, and retains the alternative option of anonymous reporting following “whistleblower” policies. Other non-material changes were also made in connection with this amendment. During the period covered by this report, there have been no waivers granted under the code of ethics. The registrant undertakes to provide a copy of the code of ethics to any person upon request, without charge, by calling 1-800-474-2737.

 

Item 3.

Audit Committee Financial Expert.

The registrant’s Board of Trustees has determined that the registrant has more than one audit committee financial expert, as that term is defined under Item 3(b) and 3(c), serving on its audit committee. The audit committee

financial experts serving on the registrant’s audit committee are Richard L. Fagnani and Madhav V. Rajan, all of whom are independent, as that term is defined under Item 3(a)(2).

 

Item 4.

Principal Accountant Fees and Services.

The principal accountant fees disclosed in items 4(a), 4(b), 4(c), 4(d) and 4(g) are for the thirty-two series of the registrant for which the fiscal year-end is April 30, 2022 (the “Funds”), and whose annual financial statements are reported in Item 1.

(a) Audit Fees – The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the Funds’ annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were $432,500 for the fiscal year ended April 30, 2021 and $414,500 for the fiscal year ended April 30, 2022.

(b) Audit-Related Fees – There were no fees billed for the fiscal years ended April 30, 2021 and April 30, 2022 for assurance and related services by the principal accountant that were reasonably related to the performance of the audit of the Fund’s financial statements and are not reported under (a) of this Item.

(c) Tax Fees – The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice and tax planning for the Funds were $310,400 for the fiscal year ended April 30, 2021 and $310,400 for the fiscal year ended April 30, 2022. These services related to the review of the Funds’ tax returns and excise tax calculations.

(d) All Other Fees – There were no other fees billed in each of the fiscal years ended April 30, 2021 and April 30, 2022 for products and services provided by the principal accountant, other than the services reported in (a) through (c) of this Item.

(e) (1) The registrant’s audit committee charter, as amended, provides that the audit committee is responsible for the approval, prior to appointment, of the engagement of the principal accountant to annually audit and provide their opinion on the registrant’s financial statements. The audit committee must also approve, prior to appointment, the engagement of the principal accountant to provide non-audit services to the registrant or to any entity controlling, controlled by or under common control with the registrant’s investment adviser (“Adviser Affiliate”) that provides ongoing services to the registrant, if the engagement relates directly to the operations and financial reporting of the registrant.

(2) There were no services described in (b) through (d) above that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f) None of the hours expended on the principal accountant’s engagement to audit the Funds’ financial statements for the fiscal year ended April 30, 2022 were attributable to work performed by persons other than the principal accountant’s full-time, permanent employees.

(g) The aggregate non-audit fees billed by the registrant’s principal accountant for services rendered to the Funds, and rendered to the registrant’s investment adviser, and any Adviser Affiliate that provides ongoing services to the registrant for the last two fiscal years were $310,400 for the fiscal year ended April 30, 2021 and $310,400 for the fiscal year ended April 30, 2022.

(h) The registrant’s audit committee has considered whether the provision of non-audit services rendered to the registrant’s investment adviser and any Adviser Affiliate that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, if any, is compatible with maintaining the principal accountant’s independence, and has determined that the provision of these services, if any, does not compromise the principal accountant’s independence.

Item 5.

Audit Committee of Listed Registrants

(a) The registrant is a listed issuer as defined in Rule 10A-3 under the Exchange Act of 1934 and has a separately-designated standing audit committee established in accordance with Section 3(a)(58)(A) of the Exchange Act of 1934. The registrant’s audit committee members are Richard L. Fagnani, Cecilia H. Herbert and Madhav V. Rajan.

(b) Not applicable.

 

Item 6.

Investments.

(a) Schedules of investments are included as part of the reports to shareholders filed under Item 1 of this Form.

(b) Not applicable.

 

Item 7.

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to the registrant.

 

Item 8.

Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to the registrant.

 

Item 9.

Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable to the registrant.

 

Item 10.

Submission of Matters to a Vote of Security Holders.

There were no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees.

 

Item 11.

Controls and Procedures.

(a) The President (the registrant’s Principal Executive Officer) and 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) Code of Ethics is not filed as an exhibit; please refer to Item 2.

(a) (2) Section 302 Certifications are attached.

(a) (3) Any written solicitation to purchase securities under Rule 23c-1 – Not Applicable.

(a) (4) Change in Registrant’s independent public accountant – Not Applicable.

(b) Section 906 Certifications are attached.

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

iShares Trust

 

   By:     

/s/ Armando Senra                            

       Armando Senra, President (Principal Executive Officer)

Date: June 23, 2022

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/ Armando Senra                            

       Armando Senra, President (Principal Executive Officer)

Date: June 23, 2022

 

   By:     

/s/ Trent Walker                            

       Trent Walker, Treasurer and Chief Financial Officer (Principal Financial Officer)

Date: June 23, 2022