N-Q 1 d19625dnq.htm BLACKROCK TAXABLE MUNICIPAL BOND TRUST BlackRock Taxable Municipal Bond Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-22426

Name of Fund:  BlackRock Taxable Municipal Bond Trust (BBN) (Formerly BlackRock Build America Bond Trust)

Fund Address:   100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service:  John M. Perlowski, Chief Executive Officer, BlackRock Taxable Municipal Bond Trust (Formerly BlackRock Build America Bond Trust), 55 East 52nd Street, New York, NY 10055

Registrant’s telephone number, including area code:  (800) 882-0052, Option 4

Date of fiscal year end: 07/31/2016

Date of reporting period: 10/31/2015


Item 1 – Schedule of Investments


Schedule of Investments October 31, 2015 (Unaudited)

  

BlackRock Taxable Municipal Bond Trust (BBN)

(Percentages shown are based on Net Assets)

 

Corporate Bonds   

Par  

(000)

    Value  

Health — 0.4%

                

Ochsner Clinic Foundation, 5.90%, 5/15/45

   $ 5,000      $ 5,305,080   
    
                  
Municipal Bonds               

Arizona — 3.1%

    

City of Phoenix Arizona Civic Improvement Corp., RB, Sub-Series C (NPFGC), 6.00%, 7/01/16 (a)

     10,000        10,353,200   

Salt River Project Agricultural Improvement & Power District, RB, Build America Bonds, Series A,
4.84%, 1/01/41 (b)

     25,000        29,146,000   
    

 

 

 
               39,499,200   

California — 35.0%

    

Bay Area Toll Authority, RB, Build America Bonds,
San Francisco Toll Bridge:

    

Series S-1, 6.92%, 4/01/40

     13,700        18,112,496   

Series S-1, 7.04%, 4/01/50

     13,200        18,288,204   

Series S-3, 6.91%, 10/01/50

     14,000        19,184,060   

California Infrastructure & Economic Development Bank, RB, Build America Bonds, 6.49%, 5/15/49

     3,790        4,595,413   

City of San Francisco Public Utilities Commission, RB, Build America Bonds, Sub-Series E,
6.00%, 11/01/40 (b)

     21,255        25,808,671   

City of San Jose California, Refunding ARB, Series B (AGM), 6.60%, 3/01/41

     10,000        11,191,700   

County of Alameda California Joint Powers Authority, RB, Build America Bonds, Recovery Zone,
Series A, 7.05%, 12/01/44 (b)

     13,300        17,227,623   

County of Orange California Local Transportation Authority, Refunding RB, Build America Bonds,
Series A, 6.91%, 2/15/41

     5,000        6,834,950   

County of Sonoma California, Refunding RB, Series A, 6.00%, 12/01/29

     14,345        16,710,204   

Los Angeles Community College District California, GO, Build America Bonds, 6.60%, 8/01/42 (b)

     10,000        13,763,600   
Municipal Bonds   

Par  

(000)

    Value  

California (continued)

                

Los Angeles Department of Water & Power, RB, Build America Bonds (b):

    

6.17%, 7/01/40

   $ 37,500      $ 42,278,250   

7.00%, 7/01/41

     17,225        19,931,048   

Metropolitan Water District of Southern California, RB, Build America Bonds, Series A,
6.95%, 7/01/40 (b)

     12,000        14,045,400   

Palomar Community College District, GO, Build America Bonds, Series B-1, 7.19%, 8/01/45

     7,500        8,828,625   

Rancho Water District Financing Authority, RB, Build America Bonds, Series A, 6.34%, 8/01/40 (b)

     20,000        22,678,600   

Riverside Community College District, GO, Build America Bonds, Series D-1, 7.02%, 8/01/40 (b)

       11,000        12,801,910   

San Diego County Regional Airport Authority, RB,
Series B, 5.59%, 7/01/43

     4,000        4,354,040   

San Diego County Regional Airport Authority, Refunding RB, Build America Bonds,
Sub-Series C, 6.63%, 7/01/40

     32,100        36,828,330   

San Diego Tobacco Settlement Revenue Funding Corp., RB, Asset-Backed, 7.13%, 6/01/32

     10        9,600   

State of California, GO, Build America Bonds, Various Purpose (b):

    

7.55%, 4/01/39

     9,035        13,359,512   

7.63%, 3/01/40

     8,950        13,234,813   

7.60%, 11/01/40

     15,000        22,446,450   

State of California Public Works Board, RB, Build America Bonds, Series G-2, 8.36%, 10/01/34 (b)

     18,145        25,970,031   

University of California, RB, Build America
Bonds (b):

    

5.95%, 5/15/45

     24,000        29,303,040   

6.30%, 5/15/50

     27,010        30,867,838   
    

 

 

 
               448,654,408   

Colorado — 3.4%

    

City & County of Denver Colorado School District No. 1, COP, Refunding, Series B, 7.02%, 12/15/37 (b)

     6,000        7,996,920   
 

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015    1


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

    Value  

Colorado (continued)

                

Regional Transportation District, COP, Build America Bonds, Series B, 7.67%, 6/01/40 (b)

   $ 23,000      $ 30,190,950   

State of Colorado, COP, Build America Bonds,
Series E, 7.02%, 3/15/31

     5,000        5,948,950   
    

 

 

 
               44,136,820   

Connecticut — 1.1%

    

Town of Stratford Connecticut, GO, 6.00%, 8/15/38

     12,000        14,476,200   

District of Columbia — 2.9%

    

Metropolitan Washington Airports Authority, RB, Build America Bonds:

    

7.46%, 10/01/46

     5,000        6,568,100   

Series D, 8.00%, 10/01/47

     10,750        13,572,735   

Washington Convention & Sports Authority, Refunding RB, Series C, 7.00%, 10/01/40

     15,000        16,582,050   
    

 

 

 
               36,722,885   

Florida — 4.6%

    

City of Sunrise Florida Utility System, RB, Build America Bonds, Series B, 5.91%, 10/01/35 (b)

     23,000        25,941,470   

County of Pasco Florida Water & Sewer, RB, Build America Bonds, Series B, 6.76%, 10/01/39

     1,500        1,704,615   

Miami-Dade County Educational Facilities Authority, Refunding RB, Series B, 5.07%, 4/01/50

     12,250        12,532,240   

Town of Davie Florida Water & Sewer, RB, Build America Bonds, Series B (AGM), 6.85%, 10/01/40

     2,500        2,927,625   

Village Center Community Development District, Refunding RB (c):

    

5.02%, 11/01/36

     13,500        14,114,790   

Little Sumter Service Area, 5.02%, 10/01/36

     1,335        1,405,902   
    

 

 

 
               58,626,642   

Georgia — 5.2%

    

Municipal Electric Authority of Georgia Plant Vogtle Units 3 & 4, Refunding RB, Build America Bonds,
Series A:

    

6.64%, 4/01/57

     26,084        31,121,864   

6.66%, 4/01/57

     20,665        24,400,199   
Municipal Bonds   

Par  

(000)

    Value  

Georgia (continued)

                

Municipal Electric Authority of Georgia Plant Vogtle Units 3 & 4, Refunding RB, Build America Bonds,
Series A: (continued)

    

7.06%, 4/01/57

   $ 10,000      $ 10,923,500   
    

 

 

 
               66,445,563   

Hawaii — 2.7%

    

University of Hawaii, RB, Build America Bonds,
Series B-1, 6.03%, 10/01/40 (b)

     30,500        34,397,290   

Illinois — 20.5%

    

Chicago Transit Authority, RB:

    

Build America Bonds, Series B,
6.20%, 12/01/40 (b)

     16,015        16,980,704   

Series A, 6.90%, 12/01/40

     4,075        4,616,038   

Chicago Transit Authority, RB (continued):

    

Series B, 6.90%, 12/01/40

     4,900        5,550,573   

City of Chicago Illinois, GO:

    

Build America Bonds, Series B, 7.52%, 1/01/40

     14,265        14,537,462   

Taxable Project, Recovery Zone, Series D, 6.26%, 1/01/40

     31,625        28,216,141   

City of Chicago Illinois, Refunding ARB, O’Hare International Airport, General 3rd Lien, Build America Bonds, Series B:

    

6.85%, 1/01/38

     30,110        33,436,252   

6.40%, 1/01/40

     1,500        1,864,485   

City of Chicago Illinois Wastewater Transmission, RB, Build America Bonds, Series B, 6.90%, 1/01/40

     36,000        41,024,880   

City of Chicago Illinois Waterworks Transmission, RB, Build America Bonds, 2nd Lien, Series B,
6.74%, 11/01/40

     15,250        17,177,752   

County of Cook Illinois, GO, Build America Bonds,
Series D, 6.23%, 11/15/34 (b)

     19,900        20,774,406   

Illinois Finance Authority, RB, Carle Foundation,
Series A, 5.75%, 8/15/34

     5,000        5,821,100   

Illinois Municipal Electric Agency, RB, Build America Bonds, Series A, 7.29%, 2/01/35 (b)

     15,000        17,745,000   

Northern Illinois Municipal Power Agency, RB, Build America Bonds, Prairie State Project, Series A, 7.82%, 1/01/40

     5,000        6,479,000   
 

 

 

                
2    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015   


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds    Par  
(000)
    Value  

Illinois (continued)

                

State of Illinois, GO, Build America Bonds:

    

6.63%, 2/01/35

   $ 4,000      $ 4,080,840   

6.73%, 4/01/35

     6,320        6,474,018   

7.35%, 7/01/35

     35,855        38,684,677   
    

 

 

 
       263,463,328   

Indiana — 2.7%

                

Indiana Finance Authority, RB, Build America Bonds, Series B, 6.60%, 2/01/39

     7,900        10,225,049   

Indiana Municipal Power Agency, RB, Build America Bonds, Direct Payment, Series A, 5.59%, 1/01/42

     22,290        24,885,448   
    

 

 

 
       35,110,497   

Kentucky — 1.3%

                

City of Wickliffe Kentucky, RB, MeadWestvaco Corp., 7.67%, 1/15/27 (c)

     9,400        10,552,478   

Kentucky State Property & Building Commission, RB, Build America Bonds, Series C,
5.92%, 11/01/30 (b)

     5,000        5,925,700   
    

 

 

 
       16,478,178   

Maryland — 0.1%

                

Maryland Community Development Administration, RB, Residential, Series I, 6.50%, 3/01/43

     705        731,860   

Massachusetts — 1.5%

                

Commonwealth of Massachusetts, RB, Build America Bonds, Recovery Zone, Series A, 5.73%, 6/01/40

     5,000        6,179,550   

Massachusetts HFA, Refunding RB, Series D,
7.02%, 12/01/42 (b)

     12,000        13,265,040   
    

 

 

 
       19,444,590   

Michigan — 1.9%

                

Detroit City School District, GO, Build America Bonds (Q-SBLF), 6.85%, 5/01/40 (b)

     10,000        10,404,900   

Michigan State University, RB, Build America Bonds, General, Series A, 6.17%, 2/15/50

     5,500        6,452,985   

Michigan Tobacco Settlement Finance Authority, RB, Series A, 7.31%, 6/01/34

     6,330        5,502,669   
Municipal Bonds    Par  
(000)
    Value  

Michigan (continued)

                

State of Michigan, RB, Build America Bonds, Series B, 7.63%, 9/15/27

   $ 2,000      $ 2,307,820   
    

 

 

 
       24,668,374   

Minnesota — 1.2%

                

Southern Minnesota Municipal Power Agency, Refunding RB, Build America Bonds, Series A, 5.93%, 1/01/43

     8,000        9,403,760   

Western Minnesota Municipal Power Agency, RB, Build America Bonds, Series C, 6.77%, 1/01/46

     5,000        6,553,200   
    

 

 

 
       15,956,960   

Mississippi — 0.5%

                

Mississippi Development Bank, RB, Build America Bonds, Desoto County Highway Construction Project, Series B, 6.41%, 1/01/40

     5,000        6,137,900   

Missouri — 1.8%

                

Missouri Joint Municipal Electric Utility Commission, RB, Build America Bonds, Plum Point Project, Series A, 7.73%, 1/01/39

     11,000        14,077,140   

University of Missouri, RB, Build America Bonds,
Series A, 5.79%, 11/01/41 (b)

     7,000        8,918,840   
    

 

 

 
       22,995,980   

Nevada — 1.1%

                

County of Clark Nevada, ARB, Build America Bonds:

    

Series B, 6.88%, 7/01/42 (b)

     10,000        11,323,600   

Series C, 6.82%, 7/01/45

     2,000        2,757,160   
    

 

 

 
       14,080,760   

New Jersey — 13.9%

                

County of Camden New Jersey Improvement Authority, RB, Build America Bonds, Cooper Medical School of Rowan University Project, Series A,
7.75%, 7/01/34

     5,000        5,818,150   

New Jersey EDA, RB:

    

Build America Bonds, Series CC-1,
6.43%, 12/15/35

     15,000        15,840,150   

Series A (NPFGC), 7.43%, 2/15/29 (b)

     20,974        23,716,560   
 

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015    3


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds    Par  
(000)
    Value  

New Jersey (continued)

                

New Jersey State Housing & Mortgage Finance Agency, RB, M/F Housing, Series C (AGM),
6.65%, 11/01/44

   $ 14,360      $ 15,196,039   

New Jersey State Turnpike Authority, RB, Build America Bonds:

    

Series A, 7.10%, 1/01/41

     34,000        46,342,000   

Series F, 7.41%, 1/01/40

     6,790        9,540,290   

New Jersey Transportation Trust Fund Authority, RB, Build America Bonds:

    

Series B, 6.88%, 12/15/39

     8,500        8,904,260   

Series C, 5.75%, 12/15/28

     5,000        5,185,600   

Series C, 6.10%, 12/15/28 (b)

     42,500        43,629,650   

South Jersey Port Corp., RB, Build America Bonds, Marine Terminal, Series P-3, 7.37%, 1/01/40

     3,215        3,453,199   
    

 

 

 
               177,625,898   

New York — 17.5%

    

City of New York New York, GO, Build America Bonds, Sub-Series C-1, 5.82%, 10/01/31 (b)

     15,000        16,650,750   

City of New York New York Municipal Water Finance Authority, RB, Build America Bonds, 2nd General Resolution, Series DD, 6.45%, 6/15/41

     6,300        7,203,672   

City of New York New York Municipal Water Finance Authority, Refunding RB, Build America Bonds, 2nd General Resolution:

    

Series AA, 5.79%, 6/15/41 (b)

     25,000        27,878,000   

Series CC, 6.28%, 6/15/42 (b)

     20,000        22,938,600   

Series EE, 6.49%, 6/15/42

     2,000        2,277,100   

Series GG, 6.12%, 6/15/42

     2,445        2,745,515   

City of New York New York Transitional Finance Authority, RB, Build America Bonds, Future Tax Secured:

    

Sub-Series B-1, 5.57%, 11/01/38

     19,000        22,958,080   

Sub-Series C-2, 6.27%, 8/01/39

     14,795        16,515,067   

Metropolitan Transportation Authority, RB, Build America Bonds:

    

Series A, 6.67%, 11/15/39

     2,220        2,898,565   

Series C, 7.34%, 11/15/39

     13,245        19,288,296   

Series C-1, 6.69%, 11/15/40

     13,000        17,034,550   
Municipal Bonds    Par  
(000)
    Value  

New York (continued)

                

Nassau County Tobacco Settlement Corp., Refunding RB, Series A1, 6.83%, 6/01/21

   $ 23,003      $ 22,839,795   

Port Authority of New York & New Jersey, RB, Series192, 4.81%, 10/15/65

     14,825        15,248,698   

State of New York Dormitory Authority, RB, Build America Bonds, General Purpose, Series H,
5.39%, 3/15/40

     15,000        18,060,000   

State of New York Dormitory Authority, Refunding RB, Touro College & University, Series B,
5.75%, 1/01/29

     10,300        10,305,974   
    

 

 

 
               224,842,662   

Ohio — 6.4%

    

American Municipal Power, Inc., RB, Build America Bonds, Combined Hydroelectric Projects, Series B, 7.83%, 2/15/41

     10,000        13,731,800   

County of Franklin Ohio Convention Facilities Authority, RB, Build America Bonds, 6.64%, 12/01/42 (b)

     30,575        38,179,002   

County of Hamilton Ohio, RB, Sewer System, Build America Bonds, Series B, 6.50%, 12/01/34 (b)

     7,000        7,895,860   

Mariemont City School District, GO, Refunding, Build America Bonds, Series B, 6.55%, 12/01/47 (b)

     10,055        11,253,657   

Ohio University, RB, 5.59%, 12/01/2114

     10,100        10,873,054   
    

 

 

 
               81,933,373   

Oklahoma — 0.3%

    

Oklahoma Municipal Power Authority, RB, Build America Bonds, Series B, 6.44%, 1/01/45

     3,500        4,116,210   

Pennsylvania — 2.0%

    

Pennsylvania Economic Development Financing Authority, RB, Build America Bonds, Series B, 6.53%, 6/15/39

     23,050        26,043,503   

South Carolina — 1.0%

    

South Carolina State Public Service Authority, RB, Build America Bonds, Series C, 6.45%, 1/01/50

     10,000        12,697,200   

 

 

 

 

                
4    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015   


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

Municipal Bonds   

Par  

(000)

    Value  

Tennessee — 3.5%

                

Metropolitan Government of Nashville & Davidson County Convention Center Authority, RB, Build America Bonds, Series A2, 7.43%, 7/01/43

   $ 35,105      $ 45,313,183   

Texas — 10.5%

    

City of Austin Texas, RB, Travis, Williams and Hays Counties, Rental Car Specialty Facilities,
5.75%, 11/15/42

     10,000        10,434,300   

City of San Antonio Texas, RB, Build America Bonds, Series A, 6.17%, 2/01/41 (b)

     19,000        21,253,780   

City of San Antonio Texas, Refunding RB, Build America Bonds, Junior Lien, Series B,
6.31%, 2/01/37 (b)

     35,000        39,462,850   

City of San Antonio Texas Customer Facility Charge Revenue, RB, 5.87%, 7/01/45

     7,500        7,732,725   

County of Bexar Texas Hospital District, GO, Build America Bonds, Series B, 5.41%, 2/15/40 (b)

     18,000        19,577,520   

Cypress-Fairbanks ISD, GO, Build America Bonds, Schoolhouse, Series B, 6.63%, 2/15/38

     14,000        15,654,940   

Dallas Area Rapid Transit, RB, Build America Bonds, Senior Lien, Series B, 5.02%, 12/01/48

     2,500        2,926,050   

Katy ISD Texas, GO, Build America Bonds, School Building, Series D (PSF-GTD), 6.35%, 2/15/41 (b)

     5,000        5,732,250   

North Texas Municipal Water District, RB, Build America Bonds, Series A, 6.01%, 9/01/40

     10,000        11,425,800   
    

 

 

 
               134,200,215   

Utah — 3.5%

    

County of Utah Utah, RB, Build America Bonds, Recovery Zone, Series C, 7.13%, 12/01/39

     11,800        13,631,124   
Municipal Bonds   

Par  

(000)

    Value  

Utah (continued)

                

Utah Transit Authority, RB, Build America Bonds, Subordinated, 5.71%, 6/15/40

   $ 26,405      $ 30,707,695   
    

 

 

 
               44,338,819   

Washington — 2.0%

    

Port of Seattle Washington, RB, Series B1, 7.00%, 5/01/36

     5,000        5,728,950   

Washington State Convention Center Public Facilities District, RB, Build America Bonds, Series B, 6.79%, 7/01/40

     16,100        19,938,884   
    

 

 

 
               25,667,834   

West Virginia — 1.7%

    

West Virginia Tobacco Settlement Finance Authority, RB, Series A, 7.47%, 6/01/47

     24,890        21,599,044   
Total Municipal Bonds — 152.9%              1,960,405,376   

Total Long-Term Investments

(Cost — $1,736,867,339) — 153.3%

             1,965,710,456   
    
                  
Short-Term Securities — 0.8%    Shares         

BlackRock Liquidity Funds, TempFund, Institutional Class, 0.10% (d)(e)

     10,427,423        10,427,423   

Total Short-Term Securities

(Cost — $10,427,423) — 0.8%

             10,427,423   

Total Investments

(Cost — $1,747,294,762*) — 154.1%

  

  

    1,976,137,879   
Liabilities in Excess of Other Assets (54.1)%        (693,588,447
    

 

 

 
Net Assets 100.0%      $ 1,282,549,432   
    

 

 

 

 

  *   As of October 31, 2015, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

 

Tax cost

  $ 1,747,401,267   
 

 

 

 

Gross unrealized appreciation

  $ 239,897,676   

Gross unrealized depreciation

    (11,161,064
 

 

 

 

Net unrealized appreciation

  $ 228,736,612   
 

 

 

 
 
Notes to Schedule of Investments

 

(a)   U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par.

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015    5


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

 

(b)   All or a portion of security has been pledged as collateral in connection with outstanding reverse repurchase agreements.

 

(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)   During the period ended October 31, 2015, investments in issuers considered to be an affiliate of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliate     

Shares Held

at July 31,

2015

      

Net

Activity

      

Shares Held

at October 31,

2015

       Income  

BlackRock Liquidity Funds, TempFund, Institutional Class

       8,076,047           2,351,376           10,427,423         $ 3,168   

 

(e)   Represents the current yield as of period end.

 

Portfolio Abbreviations

 

AGM    Assured Guaranty Municipal Corp.      GTD    Guaranteed    PSF    Public School Fund
ARB    Airport Revenue Bonds      HFA    Housing Finance Agency    RB    Revenue Bonds
COP    Certificates of Participation      ISD    Independent School District    SAN    State Aid Notes
EDA    Economic Development Authority      M/F    Multi-Family      
GO    General Obligation Bonds      NPFGC    National Public Finance Guarantee Corp.      

 

Reverse Repurchase Agreements

 

 
Counterparty      Interest
Rate
      

Trade

Date

    

Maturity

Date1

     Face Value       

Face Value

Including

Accrued

Interest

 

Barclays Capital, Inc.

       0.50      4/17/14      Open      $ 14,334,000         $ 14,445,288   

Barclays Capital, Inc.

       0.55      4/17/14      Open        24,131,000           24,337,085   

Barclays Capital, Inc.

       0.50      5/14/14      Open        24,188,000           24,385,703   

Barclays Capital, Inc.

       0.50      5/14/14      Open        5,074,000           5,107,932   

Barclays Capital, Inc.

       0.50      5/14/14      Open        17,483,000           17,612,908   

Barclays Capital, Inc.

       0.50      5/14/14      Open        12,015,000           12,113,206   

Barclays Capital, Inc.

       0.65      5/14/14      Open        9,405,000           9,481,873   

Barclays Capital, Inc.

       0.50      5/14/14      Open        19,710,000           19,871,102   

Barclays Capital, Inc.

       0.50      5/14/14      Open        26,343,000           26,538,743   

Barclays Capital, Inc.

       0.50      5/14/14      Open        7,954,000           8,019,013   

Deutsche Bank Securities, Inc.

       0.60      12/18/14      Open        40,026,000           40,237,471   

Deutsche Bank Securities, Inc.

       0.60      12/18/14      Open        4,658,000           4,682,610   

Deutsche Bank Securities, Inc.

       0.60      12/18/14      Open        29,381,000           29,536,230   

Bank of America Securities, Inc.

       0.68      6/3/15      Open        27,389,000           27,466,602   

RBC Capital Markets LLC

       0.50      6/10/15      Open        156,511,000           156,821,848   

Bank of America Securities, Inc.

       0.69      6/16/15      Open        19,353,633           19,404,452   

Bank of America Securities, Inc.

       0.69      6/16/15      Open        23,398,835           23,460,277   

 

 

                
6    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015   


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

 

Reverse Repurchase Agreements

 

 
Counterparty     

Interest

Rate

      

Trade

Date

       Maturity
Date
1
     Face Value       

Face Value

Including

Accrued

Interest

 

RBC Capital Markets LLC

       0.50        9/23/15         Open      $ 5,425,000         $ 5,427,939   

Bank of America Securities, Inc.

       0.68        10/15/15         Open        24,437,500           24,445,347   

RBC Capital Markets LLC

       0.50        10/20/15         Open        12,720,000           12,722,120   

RBC Capital Markets LLC

       0.60        10/22/15         Open        38,531,000           38,536,780   

RBC Capital Markets LLC

       0.60        10/22/15         Open        36,138,000           36,143,421   

RBC Capital Markets LLC

       0.60        10/22/15         Open        11,660,000           11,661,749   

RBC Capital Markets LLC

       0.60        10/22/15         Open        19,428,000           19,430,914   

RBC Capital Markets LLC

       0.60        10/22/15         Open        26,580,000           26,583,987   

RBC Capital Markets LLC

       0.60        10/22/15         Open        20,250,000           20,253,037   

RBC Capital Markets LLC

       0.60        10/22/15         Open        11,460,000           11,461,719   

RBC Capital Markets LLC

       0.60        10/22/15         Open        23,593,000           23,596,539   

RBC Capital Markets LLC

       0.60        10/22/15         Open        16,313,000           16,315,447   

RBC Capital Markets LLC

       0.60        10/22/15         Open        15,000,000           15,002,250   

Barclays Capital, Inc.

       0.60        10/30/15         Open        9,866,469           9,866,798   

Total

                    $ 732,756,437         $ 734,970,390   
                   

 

 

 

 

  1   

Certain agreements have no stated maturity and can be terminated by either party at any time.

 

Derivative Financial Instruments outstanding as of period end

 

Financial Futures Contracts  
Contracts
Short
    Issue     Expiration     Notional Value    

Unrealized

Depreciation

 
  (920)        10-Year U.S. Treasury Note        December 2015      $ 117,472,500      $ (389,459
  (1,412)        Long U.S. Treasury Bond        December 2015      $ 220,889,750        (1,204,300
  (920)        5-Year U.S. Treasury Note        December 2015      $ 110,191,563        (8,522
  Total            $ (1,602,281
       

 

 

 

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015    7


Schedule of Investments (continued)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

 

Fair Value Hierarchy as of Period End

 

 

Various inputs are used in determining the fair value of investments and derivative 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 the Trust 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)

 

   

Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including Trust’s own assumptions used in determining the fair value of investments and derivative 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. The significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments are typically categorized as level 3.

Changes in valuation techniques may result in transfers into or out of an assigned level within the hierarchy. In accordance with the Trust’s policy, transfers between different levels of the fair value hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investments and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Trust’s most recent financial statements as contained in its annual report.

As of period end, the following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:

The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:

 

     Level 1        Level 2        Level 3      Total  

Assets:

                
Investments:                 

Long-Term Investments:

                

Corporate Bonds

            $ 5,305,080              $ 5,305,080   

Municipal Bonds1

              1,960,405,376              $ 1,960,405,376   

Short-Term Securities

  $ 10,427,423                          10,427,423   
 

 

 

 

Total

  $ 10,427,423         $ 1,965,710,456              $ 1,976,137,879   
 

 

 

 

1    See above Schedule of Investments for values in each state or political subdivision.

       

     Level 1        Level 2        Level 3      Total  
Derivative Financial Instruments1             

Liabilities:

                

Interest rate contracts

  $ (1,602,281                     $ (1,602,281

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

       

 

 

                
8    BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015   


Schedule of Investments (concluded)

  

BlackRock Taxable Municipal Bond Trust (BBN)

 

The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial reporting purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:

 

     Level 1        Level 2        Level 3      Total  

Assets:

                

Cash pledged for financial futures contracts

  $ 6,870,950                        $ 6,870,950   

Liabilities:

                

Cash received as collateral for reverse repurchase agreements

            $ (4,491,000             (4,491,000

Reverse repurchase agreements

              (734,970,390             (734,970,390
 

 

 

 

Total

  $ 6,870,950         $ (739,461,390           $ (732,590,440
 

 

 

 

During the period ended October 31, 2015, there were no transfers between levels.

 

 

                
   BLACKROCK TAXABLE MUNICIPAL BOND TRUST    OCTOBER 31, 2015    9


Item 2 – Controls and Procedures

 

2(a) –   The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.
2(b) –   There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3 – Exhibits

Certifications – Attached hereto


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.

BlackRock Taxable Municipal Bond Trust (Formerly BlackRock Build America Bond Trust)

 

By:  

/s/ John M. Perlowski

  
  John M. Perlowski   
  Chief Executive Officer (principal executive officer) of
  BlackRock Taxable Municipal Bond Trust (Formerly BlackRock Build America Bond Trust)

Date: December 22, 2015

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/ John M. Perlowski

  
  John M. Perlowski   
  Chief Executive Officer (principal executive officer) of
  BlackRock Taxable Municipal Bond Trust (Formerly BlackRock Build America Bond Trust)

Date: December 22, 2015

 

By:  

/s/ Neal J. Andrews

  
  Neal J. Andrews   
  Chief Financial Officer (principal financial officer) of
  BlackRock Taxable Municipal Bond Trust (Formerly BlackRock Build America Bond Trust)

Date: December 22, 2015