N-Q 1 d647123dnq.htm FORM N-Q FOR ISHARES U.S. ETF TRUST CYCLE 10/31/2013 Form N-Q for iShares U.S. ETF Trust Cycle 10/31/2013

 

 

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 811-22649

 

 

iShares U.S. ETF Trust

(Exact name of Registrant as specified in charter)

 

 

c/o: State Street Bank and Trust Company

200 Clarendon Street, Boston, MA 02116

(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: July 31, 2014

Date of reporting period: October 31, 2013

 

 

 

Item 1. Schedules of Investments. [Insert Schedules of Investments]

Schedule of Investments   (Unaudited)

ISHARES® ENHANCED U.S. LARGE-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

COMMON STOCKS — 99.75%

    

AEROSPACE & DEFENSE — 2.44%

    

General Dynamics Corp.

     6,783      $ 587,611   

L-3 Communications Holdings Inc.

     703        70,617   
   

 

 

  
      658,228   

AIR FREIGHT & LOGISTICS — 3.84%

    

FedEx Corp.

     3,686        482,866   

United Parcel Service Inc. Class B

     5,658        555,842   
   

 

 

  
      1,038,708   

AIRLINES — 1.28%

    

Allegiant Travel Co.

     3,308        344,925   
   

 

 

  
      344,925   

COMMERCIAL BANKS — 0.41%

    

BOK Financial Corp.

     247        15,124   

Cullen/Frost Bankers Inc.

     912        64,561   

First Citizens BancShares Inc. Class A

     133        28,160   

Trustmark Corp.

     152        4,128   
   

 

 

  
      111,973   

COMMUNICATIONS EQUIPMENT — 0.02%

  

  

Brocade Communications Systems Inc.a

     703        5,638   
   

 

 

  
      5,638   

COMPUTERS & PERIPHERALS — 2.89%

  

  

EMC Corp.

     6,042        145,431   

Western Digital Corp.

     9,120        635,026   
   

 

 

  
      780,457   

CONSUMER FINANCE — 1.54%

    

Cash America International Inc.

     10,583        417,499   
   

 

 

  
      417,499   

DIVERSIFIED CONSUMER SERVICES — 0.45%

   

  

Outerwall Inc.a,b

     1,881        122,227   
   

 

 

  
      122,227   

DIVERSIFIED FINANCIAL SERVICES — 0.39%

   

  

CBOE Holdings Inc.

     2,163        104,906   
   

 

 

  
      104,906   

DIVERSIFIED TELECOMMUNICATION SERVICES — 2.00%

   

  

AT&T Inc.

     14,933        540,575   
   

 

 

  
      540,575   
Security   Shares     Value  
   

ELECTRIC UTILITIES — 1.59%

  

ALLETE Inc.

     57      $ 2,880   

Duke Energy Corp.

     1,520        109,030   

Great Plains Energy Inc.

     1,387        32,511   

Pinnacle West Capital Corp.

     5,016        281,046   

Portland General Electric Co.

     171        4,908   
   

 

 

  
      430,375   

ELECTRICAL EQUIPMENT — 0.05%

  

Brady Corp. Class A

     428        12,493   
   

 

 

  
      12,493   

ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 0.38%

   

  

AVX Corp.

     2,356        31,217   

Dolby Laboratories Inc. Class Ab

     855        30,558   

Tech Data Corp.a

     781        40,659   
   

 

 

  
      102,434   

ENERGY EQUIPMENT & SERVICES — 1.12%

  

  

Patterson-UTI Energy Inc.

     3,705        89,883   

RPC Inc.

     3,591        65,859   

Unit Corp.a

     2,855        146,776   
   

 

 

  
      302,518   

FOOD & STAPLES RETAILING — 2.87%

  

  

Costco Wholesale Corp.

     190        22,420   

CVS Caremark Corp.

     741        46,135   

Wal-Mart Stores Inc.

     6,825        523,819   

Whole Foods Market Inc.

     2,888        182,319   
   

 

 

  
      774,693   

FOOD PRODUCTS — 4.58%

    

Archer-Daniels-Midland Co.

     14,056        574,890   

Bunge Ltd.

     1,827        150,051   

Fresh Del Monte Produce Inc.

     1,539        40,922   

Hershey Co. (The)

     4,104        407,281   

J.M. Smucker Co. (The)

     574        63,835   
   

 

 

  
      1,236,979   

GAS UTILITIES — 0.30%

    

AGL Resources Inc.

     76        3,637   

Atmos Energy Corp.

     1,729        76,543   
   

 

 

  
      80,180   

HEALTH CARE EQUIPMENT & SUPPLIES — 2.23%

   

  

Abbott Laboratories

     12,825        468,754   

C.R. Bard Inc.

     638        86,908   

Thoratec Corp.a

     1,121        48,416   
   

 

 

  
      604,078   

HEALTH CARE PROVIDERS & SERVICES — 2.21%

   

  

McKesson Corp.

     101        15,791   

WellPoint Inc.

     6,859        581,643   
   

 

 

  
      597,434   
 

 

SCHEDULE OF INVESTMENTS

      1   

Schedule of Investments   (Unaudited) (Continued)

ISHARES® ENHANCED U.S. LARGE-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

HOTELS, RESTAURANTS & LEISURE — 4.56%

  

Buffalo Wild Wings Inc.a,b

     2,914      $ 415,478   

Carnival Corp.

     4,123        142,862   

Cheesecake Factory Inc. (The)

     380        17,955   

Starbucks Corp.

     8,094        656,019   
   

 

 

  
      1,232,314   

HOUSEHOLD PRODUCTS — 1.71%

  

Kimberly-Clark Corp.

     4,275        461,700   
   

 

 

  
      461,700   

INSURANCE — 12.74%

  

ACE Ltd.

     4,970        474,337   

Aflac Inc.

     9,443        613,606   

Allied World Assurance Co. Holdings Ltd.

     3,264        353,459   

American Financial Group Inc.

     1,311        73,757   

Aspen Insurance Holdings Ltd.

     1,083        42,248   

Assurant Inc.

     817        47,778   

Axis Capital Holdings Ltd.

     7,486        354,986   

Endurance Specialty Holdings Ltd.

     969        53,576   

Everest Re Group Ltd.

     938        144,208   

HCC Insurance Holdings Inc.

     2,394        109,286   

PartnerRe Ltd.

     2,008        201,222   

Reinsurance Group of America Inc.

     7,980        568,016   

Symetra Financial Corp.

     5,358        100,355   

Torchmark Corp.

     1,692        123,279   

Validus Holdings Ltd.

     4,617        182,279   
   

 

 

  
      3,442,392   

INTERNET & CATALOG RETAIL — 2.62%

  

Amazon.com Inc.a

     1,822        663,262   

Shutterfly Inc.a

     934        45,897   
   

 

 

  
      709,159   

INTERNET SOFTWARE & SERVICES — 3.28%

  

Akamai Technologies Inc.a

     646        28,902   

Google Inc. Class Aa

     589        607,012   

LinkedIn Corp. Class Aa

     1,121        250,734   
   

 

 

  
      886,648   

IT SERVICES — 0.60%

  

Total System Services Inc.

     5,415        161,529   
   

 

 

  
      161,529   

MEDIA — 0.01%

  

Madison Square Garden Inc. Class Aa

     38        2,300   
   

 

 

  
      2,300   

MULTI-UTILITIES — 5.56%

  

Alliant Energy Corp.

     1,501        78,382   

Avista Corp.

     76        2,112   

Consolidated Edison Inc.

     6,878        400,437   

DTE Energy Co.

     6,479        447,958   

NorthWestern Corp.

     57        2,613   

PG&E Corp.

     10,390        434,821   
Security   Shares     Value  
   

Public Service Enterprise Group Inc.

     4,047      $ 135,575   
   

 

 

  
      1,501,898   

MULTILINE RETAIL — 1.87%

  

Target Corp.

     7,790        504,714   
   

 

 

  
      504,714   

OIL, GAS & CONSUMABLE FUELS — 11.91%

  

Apache Corp.

     6,178        548,606   

Chevron Corp.

     4,277        513,069   

EOG Resources Inc.

     3,154        562,674   

Exxon Mobil Corp.

     6,004        538,078   

Murphy Oil Corp.

     8,335        502,767   

Occidental Petroleum Corp.

     5,757        553,133   
   

 

 

  
      3,218,327   

PHARMACEUTICALS — 7.81%

  

Bristol-Myers Squibb Co.

     11,721        615,587   

Johnson & Johnson

     5,757        533,156   

Merck & Co. Inc.

     10,317        465,193   

Pfizer Inc.

     16,150        495,482   
   

 

 

  
      2,109,418   

REAL ESTATE INVESTMENT TRUSTS (REITS) — 0.41%

  

Hatteras Financial Corp.

     456        8,299   

Invesco Mortgage Capital Inc.

     6,555        101,275   
   

 

 

  
      109,574   

ROAD & RAIL — 0.18%

  

Werner Enterprises Inc.

     2,147        49,725   
   

 

 

  
      49,725   

SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT — 2.71%

   

Broadcom Corp. Class A

     6,027        161,042   

Intel Corp.

     22,546        550,799   

Maxim Integrated Products Inc.

     722        21,443   
   

 

 

  
      733,284   

SOFTWARE — 3.83%

  

Microsoft Corp.

     15,791        558,212   

NetSuite Inc.a

     133        13,417   

Salesforce.com Inc.a

     8,685        463,431   
   

 

 

  
      1,035,060   

SPECIALTY RETAIL — 7.69%

  

Abercrombie & Fitch Co. Class A

     1,311        49,136   

GameStop Corp. Class A

     12,100        663,322   

O’Reilly Automotive Inc.a

     4,392        543,773   

PetSmart Inc.

     1,767        128,567   

Staples Inc.

     7,201        116,080   

TJX Companies Inc. (The)

     9,521        578,782   
   

 

 

  
      2,079,660   
 

 

2    2013 iSHARES SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments   (Unaudited) (Continued)

ISHARES® ENHANCED U.S. LARGE-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

THRIFTS & MORTGAGE FINANCE — 1.60%

  

Ocwen Financial Corp.a

     7,695      $ 432,690   
   

 

 

  
    432,690   

WIRELESS TELECOMMUNICATION SERVICES — 0.07%

  

United States Cellular Corp.

     399        19,312   
   

 

 

  
    19,312   
   

 

 

  

TOTAL COMMON STOCKS
(Cost: $24,758,382)

   

     26,956,024   
   

 

 

  

SHORT-TERM INVESTMENTS — 1.82%

  

  

MONEY MARKET FUNDS — 1.82%

    

BlackRock Cash Funds: Institutional,
SL Agency Shares

    

0.14%c,d,e

     417,334        417,334   

BlackRock Cash Funds: Prime,
SL Agency Shares

    

0.12%c,d,e

     24,254        24,254   

BlackRock Cash Funds: Treasury,
SL Agency Shares

    

0.00%c,d

     51,012        51,012   
   

 

 

  
    492,600   
   

 

 

  

TOTAL SHORT-TERM INVESTMENTS
(Cost: $492,600)

   

     492,600   
   

 

 

  

TOTAL INVESTMENTS
IN SECURITIES — 101.57%
(Cost: $25,250,982)

    

     27,448,624   

Other Assets, Less Liabilities — (1.57)%

  

     (423,768 ) 
   

 

 

  

NET ASSETS — 100.00%

  

   $ 27,024,856   
   

 

 

  

 

a  Non-income earning security.
b  All or a portion of this security represents a security on loan. See Note 3.
c  Affiliated issuer. See Note 2.
d  The rate quoted is the annualized seven-day yield of the fund at period end.
e  All or a portion of this security represents an investment of securities lending collateral. See Note 3.

See accompanying notes to schedules of investments.

    

 

 

SCHEDULE OF INVESTMENTS

      3   

Schedule of Investments  (Unaudited)

ISHARES® ENHANCED U.S. SMALL-CAP ETF

October 31, 2013

 

Security   Shares     Value  

COMMON STOCKS — 99.54%

    

AEROSPACE & DEFENSE — 1.90%

    

Engility Holdings Inc.a

     1,769      $ 54,786   
   

 

 

  
      54,786   

AIRLINES — 1.29%

    

Allegiant Travel Co.

     356        37,120   
   

 

 

  
      37,120   

BIOTECHNOLOGY — 0.02%

    

Intercept Pharmaceuticals Inc.a

     9        488   
   

 

 

  
      488   

BUILDING PRODUCTS — 0.08%

    

AAON Inc.

     87        2,350   
   

 

 

  
      2,350   

CAPITAL MARKETS — 4.46%

    

Diamond Hill Investment Group Inc.

     126        13,894   

FBR & Co.a

     134        3,551   

GAMCO Investors Inc. Class A

     41        2,932   

Gladstone Capital Corp.

     360        3,175   

Greenhill & Co. Inc.

     100        5,130   

Manning & Napier Inc.

     3,336        55,378   

MCG Capital Corp.

     9,088        42,804   

MVC Capital Inc.

     108        1,494   
   

 

 

  
      128,358   

CHEMICALS — 0.20%

    

Core Molding Technologies Inc.a

     60        648   

Hawkins Inc.

     141        5,077   
   

 

 

  
      5,725   

COMMERCIAL BANKS — 4.45%

    

1st Source Corp.

     44        1,381   

American National Bankshares Inc.

     118        2,707   

Arrow Financial Corp.

     185        4,775   

BancFirst Corp.

     52        2,890   

Bank of Marin Bancorp

     60        2,553   

BSB Bancorp Inc.a

     74        1,055   

Camden National Corp.

     68        2,744   

Century Bancorp Inc. Class A

     26        845   

City Holding Co.

     100        4,550   

CNB Financial Corp.

     62        1,241   

Community Trust Bancorp Inc.

     161        6,857   

First Financial Corp.

     144        4,974   

First Interstate BancSystem Inc.

     1,010        25,361   

First of Long Island Corp. (The)

     15        590   

Great Southern Bancorp Inc.

     66        1,853   

Heritage Financial Corp.

     54        871   

Horizon Bancorp

     60        1,303   
Security   Shares     Value  
   

Lakeland Financial Corp.

     144      $ 5,125   

Merchants Bancshares Inc.

     66        1,979   

Northrim BanCorp Inc.

     74        1,857   

Premier Financial Bancorp Inc.

     66        793   

Renasant Corp.

     123        3,528   

S&T Bancorp Inc.

     72        1,765   

S.Y. Bancorp Inc.

     109        3,271   

Simmons First National Corp. Class A

     236        7,727   

State Bank Financial Corp.

     378        6,449   

Suffolk Bancorpa

     178        3,480   

Tompkins Financial Corp.

     76        3,748   

Trustmark Corp.

     277        7,523   

Univest Corp. of Pennsylvania

     98        1,957   

Washington Banking Co.

     306        5,205   

WesBanco Inc.

     248        7,291   
   

 

 

  
      128,248   

COMMERCIAL SERVICES & SUPPLIES — 0.70%

  

Courier Corp.

     387        6,575   

Intersections Inc.

     662        5,673   

Kimball International Inc. Class B

     592        6,927   

McGrath RentCorp

     24        856   
   

 

 

  
      20,031   

COMMUNICATIONS EQUIPMENT — 0.66%

  

Anaren Inc.a

     72        1,799   

Aruba Networks Inc.a

     611        11,462   

ClearOne Inc.a

     153        1,426   

Globecomm Systems Inc.a

     146        2,049   

ParkerVision Inc.a,b

     876        2,400   
   

 

 

  
      19,136   

COMPUTERS & PERIPHERALS — 2.08%

  

Imation Corp.a

     5,385        25,040   

Lexmark International Inc. Class A

     802        28,511   

Novatel Wireless Inc.a

     430        1,318   

Qumu Corp.a

     288        4,314   

USA Technologies Inc.a

     448        856   
   

 

 

  
      60,039   

CONSTRUCTION & ENGINEERING — 0.29%

  

Argan Inc.

     376        8,366   
   

 

 

  
      8,366   

CONSUMER FINANCE — 3.60%

  

Cash America International Inc.

     1,362        53,731   

First Marblehead Corp. (The)a

     1,718        1,649   

QC Holdings Inc.

     279        656   

World Acceptance Corp.a

     459        47,791   
   

 

 

  
      103,827   

CONTAINERS & PACKAGING — 0.03%

  

UFP Technologies Inc.a

     42        968   
   

 

 

  
      968   
 

 

4    2013 iSHARES SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments  (Unaudited) (Continued)

ISHARES® ENHANCED U.S. SMALL-CAP ETF

October 31, 2013

 

Security   Shares     Value  

DISTRIBUTORS — 0.33%

    

Core-Mark Holding Co. Inc.

     133      $ 9,407   
   

 

 

  
      9,407   

DIVERSIFIED CONSUMER SERVICES — 3.68%

  

Capella Education Co.a

     254        15,474   

Grand Canyon Education Inc.a

     408        19,286   

Outerwall Inc.a,b

     1,066        69,268   

Steiner Leisure Ltd.a

     34        1,905   
   

 

 

  
      105,933   

DIVERSIFIED FINANCIAL SERVICES — 0.21%

  

MicroFinancial Inc.

     690        5,927   
   

 

 

  
      5,927   

DIVERSIFIED TELECOMMUNICATION SERVICES — 0.53%

  

Inteliquent Inc.

     1,184        15,214   
   

 

 

  
      15,214   

ELECTRIC UTILITIES — 3.88%

    

El Paso Electric Co.

     1,068        37,562   

Empire District Electric Co. (The)

     786        17,677   

MGE Energy Inc.

     287        16,161   

Otter Tail Corp.

     974        29,054   

Unitil Corp.

     372        11,242   
   

 

 

  
      111,696   

ELECTRICAL EQUIPMENT — 0.16%

  

  

Brady Corp. Class A

     40        1,167   

Preformed Line Products Co.

     40        3,361   
   

 

 

  
      4,528   

ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS — 2.36%

   

AVX Corp.

     632        8,374   

Dolby Laboratories Inc. Class A

     390        13,939   

Electro Rent Corp.

     338        6,131   

Mesa Laboratories Inc.

     11        766   

Multi-Fineline Electronix Inc.a

     89        1,193   

OSI Systems Inc.a

     29        2,112   

Parametric Sound Corp.a,b

     265        3,972   

PC Connection Inc.

     148        2,959   

RadiSys Corp.a

     402        1,214   

Tech Data Corp.a

     75        3,905   

TTM Technologies Inc.a

     204        1,785   

Uni-Pixel Inc.a,b

     1,314        21,615   
   

 

 

  
      67,965   

ENERGY EQUIPMENT & SERVICES — 2.39%

  

CARBO Ceramics Inc.b

     27        3,384   

Dawson Geophysical Co.a

     603        17,632   

Mitcham Industries Inc.a

     56        932   

Natural Gas Services Group Inc.a

     132        3,695   
Security   Shares     Value  
   

Unit Corp.a

     838      $ 43,081   
   

 

 

  
      68,724   

FOOD & STAPLES RETAILING — 2.31%

  

Andersons Inc. (The)

     660        48,959   

Harris Teeter Supermarkets Inc.

     14        690   

Spartan Stores Inc.

     340        8,000   

Village Super Market Inc. Class A

     54        1,980   

Weis Markets Inc.

     135        6,908   
   

 

 

  
      66,537   

FOOD PRODUCTS — 0.52%

  

Fresh Del Monte Produce Inc.

     382        10,158   

John B. Sanfilippo & Son Inc.

     124        3,048   

Omega Protein Corp.a

     62        580   

Rocky Mountain Chocolate Factory Inc.

     102        1,293   
   

 

 

  
      15,079   

GAS UTILITIES — 1.01%

  

Chesapeake Utilities Corp.

     274        14,908   

Delta Natural Gas Co. Inc.

     50        1,116   

Gas Natural Inc.

     168        1,675   

Northwest Natural Gas Co.

     260        11,292   
   

 

 

  
      28,991   

HEALTH CARE EQUIPMENT & SUPPLIES — 3.04%

  

Align Technology Inc.a

     21        1,198   

CryoLife Inc.

     194        1,744   

Cyberonics Inc.a

     602        34,772   

Exactech Inc.a

     52        1,180   

ICU Medical Inc.a

     334        20,641   

MAKO Surgical Corp.a

     182        5,425   

Medical Action Industries Inc.a

     393        2,382   

Natus Medical Inc.a

     316        6,235   

TearLab Corp.a

     625        6,519   

Vascular Solutions Inc.a

     378        7,416   
   

 

 

  
      87,512   

HEALTH CARE PROVIDERS & SERVICES — 1.91%

  

Addus HomeCare Corp.a

     308        7,962   

Almost Family Inc.

     156        3,000   

BioTelemetry Inc.a

     77        704   

Chemed Corp.

     104        7,053   

CorVel Corp.a

     330        13,728   

Ensign Group Inc. (The)

     14        596   

LHC Group Inc.a

     236        4,862   

Owens & Minor Inc.

     56        2,095   

Triple-S Management Corp. Class Ba

     720        12,823   

U.S. Physical Therapy Inc.

     68        2,171   
   

 

 

  
      54,994   

HOTELS, RESTAURANTS & LEISURE — 6.46%

  

Ark Restaurants Corp.

     145        3,074   

Bob Evans Farms Inc.

     550        31,400   

Buffalo Wild Wings Inc.a

     564        80,415   

Cheesecake Factory Inc. (The)

     386        18,239   
 

 

SCHEDULE OF INVESTMENTS

      5   

Schedule of Investments  (Unaudited) (Continued)

ISHARES® ENHANCED U.S. SMALL-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

Frisch’s Restaurants Inc.

     88      $ 2,118   

Multimedia Games Holding Co. Inc.a

     858        27,894   

Red Robin Gourmet Burgers Inc.a

     8        609   

Rick’s Cabaret International Inc.a

     80        903   

Texas Roadhouse Inc.

     786        21,552   
   

 

 

  
      186,204   

HOUSEHOLD DURABLES — 0.26%

    

CSS Industries Inc.

     293        7,586   
   

 

 

  
      7,586   

HOUSEHOLD PRODUCTS — 0.17%

    

Oil-Dri Corp. of America

     66        2,342   

Orchids Paper Products Co.

     88        2,684   
   

 

 

  
      5,026   

INSURANCE — 12.88%

    

American Equity Investment Life Holding Co.

     538        11,212   

Amerisafe Inc.

     20        770   

Argo Group International Holdings Ltd.

     115        4,828   

Aspen Insurance Holdings Ltd.

     1,052        41,038   

Eastern Insurance Holdings Inc.

     90        2,200   

EMC Insurance Group Inc.

     106        3,608   

Endurance Specialty Holdings Ltd.

     1,046        57,833   

FBL Financial Group Inc. Class A

     67        2,998   

HCI Group Inc.

     307        13,490   

Horace Mann Educators Corp.

     970        26,869   

Infinity Property and Casualty Corp.

     204        13,990   

Kansas City Life Insurance Co.

     131        6,013   

Maiden Holdings Ltd.

     1,414        15,483   

Meadowbrook Insurance Group Inc.

     342        2,271   

National Western Life Insurance Co. Class A

     210        43,680   

Navigators Group Inc. (The)a

     188        10,573   

OneBeacon Insurance Group Ltd. Class A

     48        766   

Protective Life Corp.

     336        15,483   

Safety Insurance Group Inc.

     189        10,336   

StanCorp Financial Group Inc.

     14        825   

Symetra Financial Corp.

     3,744        70,125   

United Fire Group Inc.

     254        8,052   

Universal Insurance Holdings Inc.

     1,108        8,687   
   

 

 

  
      371,130   

INTERNET & CATALOG RETAIL — 2.51%

  

1-800-FLOWERS.COM Inc.a

     358        1,944   

Blue Nile Inc.a

     510        20,946   

NutriSystem Inc.

     834        15,679   

PetMed Express Inc.

     998        14,810   

Shutterfly Inc.a

     383        18,821   
   

 

 

  
      72,200   

INTERNET SOFTWARE & SERVICES — 5.96%

  

Carbonite Inc.a

     204        2,701   

Cornerstone OnDemand Inc.a

     1,309        62,007   

Envestnet Inc.a

     807        29,294   

Marchex Inc. Class B

     809        7,216   

OpenTable Inc.a

     772        53,639   

QuinStreet Inc.a

     417        3,707   

SciQuest Inc.a

     240        5,242   
Security   Shares     Value  
   

Travelzoo Inc.a

     370      $ 7,966   
   

 

 

  
      171,772   

IT SERVICES — 2.09%

  

CACI International Inc. Class Aa

     49        3,527   

CSG Systems International Inc.

     214        5,962   

Global Cash Access Inc.a

     4,158        34,512   

Heartland Payment Systems Inc.

     350        14,158   

Innodata Inc.a,b

     258        619   

ServiceSource International Inc.a

     120        1,298   
   

 

 

  
      60,076   

LEISURE EQUIPMENT & PRODUCTS — 0.53%

  

Johnson Outdoors Inc. Class A

     31        850   

Sturm, Ruger & Co. Inc.b

     219        14,325   
   

 

 

  
      15,175   

MEDIA — 1.68%

  

Harte-Hanks Inc.

     552        4,399   

Martha Stewart Living Omnimedia Inc. Class Aa

     2,449        6,270   

ReachLocal Inc.a,b

     218        2,679   

Rentrak Corp.a

     703        26,356   

Scholastic Corp.

     40        1,148   

World Wrestling Entertainment Inc. Class A

     594        7,692   
   

 

 

  
      48,544   

METALS & MINING — 0.13%

  

Golden Minerals Co.a,b

     2,510        1,933   

Golden Star Resources Ltd.a,b

     2,470        1,193   

Vista Gold Corp.a

     1,720        739   
   

 

 

  
      3,865   

MULTILINE RETAIL — 0.16%

  

Fred’s Inc. Class A

     280        4,536   
   

 

 

  
      4,536   

OIL, GAS & CONSUMABLE FUELS — 2.20%

  

Contango Oil & Gas Co.

     758        32,480   

L&L Energy Inc.a,b

     1,666        2,366   

Matador Resources Co.a

     88        1,620   

Teekay Tankers Ltd. Class A

     212        553   

VAALCO Energy Inc.a

     4,980        26,245   
   

 

 

  
      63,264   

PAPER & FOREST PRODUCTS — 0.86%

  

Domtar Corp.

     18        1,525   

Schweitzer-Mauduit International Inc.

     374        23,143   
   

 

 

  
      24,668   

PERSONAL PRODUCTS — 1.63%

  

Medifast Inc.a

     836        19,487   

Nu Skin Enterprises Inc. Class A

     6        702   

Nutraceutical International Corp.

     106        2,549   
 

 

6    2013 iSHARES SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments  (Unaudited) (Continued)

ISHARES® ENHANCED U.S. SMALL-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

USANA Health Sciences Inc.a,b

     356      $ 24,290   
   

 

 

  
      47,028   

PHARMACEUTICALS — 0.58%

  

SciClone Pharmaceuticals Inc.a

     3,510        16,602   
   

 

 

  
      16,602   

PROFESSIONAL SERVICES — 2.06%

  

Barrett Business Services Inc.

     196        16,321   

CRA International Inc.a

     254        4,839   

Dolan Co. (The)a

     578        1,485   

ICF International Inc.a

     172        5,955   

RPX Corp.a

     1,538        27,469   

VSE Corp.

     74        3,241   
   

 

 

  
      59,310   

REAL ESTATE INVESTMENT TRUSTS (REITS) — 1.11%

  

Gyrodyne Co. of America Inc.

     62        4,631   

Invesco Mortgage Capital Inc.

     1,359        20,997   

Mid-America Apartment Communities Inc.

     50        3,320   

Select Income REIT

     22        606   

Western Asset Mortgage Capital Corp.

     158        2,545   
   

 

 

  
      32,099   

ROAD & RAIL — 1.30%

  

Knight Transportation Inc.

     132        2,240   

Marten Transport Ltd.

     813        14,341   

Werner Enterprises Inc.

     904        20,937   
   

 

 

  
      37,518   

SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT — 5.79%

   

Applied Micro Circuits Corp.a

     800        9,328   

Cavium Inc.a

     1,529        61,634   

First Solar Inc.a

     338        16,991   

Integrated Silicon Solution Inc.a

     116        1,251   

Pericom Semiconductor Corp.a

     198        1,600   

PMC-Sierra Inc.a

     6,477        38,020   

Power Integrations Inc.

     482        27,686   

Sigma Designs Inc.a

     1,003        5,456   

STR Holdings Inc.a,b

     2,459        4,893   
   

 

 

  
      166,859   

SOFTWARE — 1.93%

  

Digimarc Corp.

     34        716   

Pegasystems Inc.

     1,109        42,209   

Rosetta Stone Inc.a

     568        8,622   

TeleCommunication Systems Inc.a

     1,729        3,942   
   

 

 

  
      55,489   

SPECIALTY RETAIL — 3.58%

  

Children’s Place Retail Stores Inc. (The)a

     1,048        57,210   

DSW Inc. Class A

     45        3,945   

Guess? Inc.

     23        719   

hhgregg Inc.a

     282        4,374   

Kirkland’s Inc.a

     212        3,763   
Security   Shares     Value  
   

Men’s Wearhouse Inc. (The)

     463      $ 19,585   

Wet Seal Inc. Class Aa

     2,878        9,526   

Winmark Corp.

     54        3,954   
   

 

 

  
    103,076   

TEXTILES, APPAREL & LUXURY GOODS — 0.04%

  

Perry Ellis International Inc.

     60        1,141   
   

 

 

  
    1,141   

THRIFTS & MORTGAGE FINANCE — 0.71%

  

First Defiance Financial Corp.

     198        5,112   

Meta Financial Group Inc.

     138        5,136   

Territorial Bancorp Inc.

     246        5,365   

United Financial Bancorp Inc.

     308        4,830   
   

 

 

  
    20,443   

TRADING COMPANIES & DISTRIBUTORS — 0.02%

  

Rush Enterprises Inc. Class Aa

     22        630   
   

 

 

  
    630   

WATER UTILITIES — 1.28%

  

American States Water Co.

     480        13,670   

Artesian Resources Corp. Class A

     156        3,572   

California Water Service Group

     424        9,243   

Connecticut Water Service Inc.

     96        3,077   

Middlesex Water Co.

     168        3,483   

York Water Co. (The)

     180        3,728   
   

 

 

  
    36,773   

WIRELESS TELECOMMUNICATION SERVICES — 1.53%

  

Telephone & Data Systems Inc.

     21        655   

United States Cellular Corp.

     899        43,511   
   

 

 

  
    44,166   
   

 

 

  

TOTAL COMMON STOCKS
(Cost: $2,437,954)

   

     2,867,129   
   

 

 

  

SHORT-TERM INVESTMENTS — 5.42%

  

MONEY MARKET FUNDS — 5.42%

    

BlackRock Cash Funds: Institutional,
SL Agency Shares

    

0.14%c,d,e

     136,171        136,171   

BlackRock Cash Funds: Prime,
SL Agency Shares

    

0.12%c,d,e

     7,913        7,913   
 

 

SCHEDULE OF INVESTMENTS

      7   

Schedule of Investments  (Unaudited) (Continued)

ISHARES® ENHANCED U.S. SMALL-CAP ETF

October 31, 2013

 

Security   Shares     Value  
   

BlackRock Cash Funds: Treasury,
SL Agency Shares

   

0.00%c,d

     11,984      $ 11,984   
   

 

 

  
    156,068   
   

 

 

  

TOTAL SHORT-TERM INVESTMENTS
(Cost: $156,068)

   

     156,068   
   

 

 

  

TOTAL INVESTMENTS
IN SECURITIES — 104.96%
(Cost: $2,594,022)

    

     3,023,197   

Other Assets, Less Liabilities — (4.96)%

  

     (142,751 ) 
   

 

 

  

NET ASSETS — 100.00%

  

   $ 2,880,446   
   

 

 

  

 

a  Non-income earning security.
b  All or a portion of this security represents a security on loan. See Note 3.
c  Affiliated issuer. See Note 2.
d  The rate quoted is the annualized seven-day yield of the fund at period end.
e  All or a portion of this security represents an investment of securities lending collateral. See Note 3.

See accompanying notes to schedules of investments.

    

 

 

8    2013 iSHARES SEMI-ANNUAL REPORT TO SHAREHOLDERS

Notes to Schedules of Investments  (Unaudited)

iSHARES® U.S. ETF TRUST

 

iShares U.S. ETF 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 was established as a Delaware statutory trust pursuant to an Agreement and Declaration of Trust dated June 21, 2011.

These schedules of investments relate only to the following funds (each, a “Fund,” and collectively, the “Funds”):

 

iShares Enhanced ETF

U.S. Large-Cap

U.S. Small-Cap

 

1. SIGNIFICANT ACCOUNTING POLICIES

SECURITY VALUATION

Each Fund’s investments are valued at fair value each day that the Fund’s listing exchange is open and, for financial reporting purposes, as of the report date should the reporting date end on a day that the Fund’s listing exchange is not open. Accounting principles generally accepted in the United States of America (“U.S. GAAP”) define fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) provides oversight of the valuation of investments for the Funds. The investments of each Fund are valued pursuant to policies and procedures developed by the Global Valuation Committee and approved by the Board of Trustees of the Trust (the “Board”).

 

  •  

Equity investments traded on a recognized securities exchange are valued at that day’s last reported trade price or the official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price.

 

  •  

Open-end U.S. mutual funds are valued at that day’s published net asset value (NAV).

In the event that application of these methods of valuation results in a price for an investment which is deemed not to be representative of the fair value of such investment or if a price is not available, the investment will be valued based upon other available factors deemed relevant by the Global Valuation Committee, in accordance with policies approved by the Board. These factors include but are not limited to (i) attributes specific to the investment; (ii) the principal market for the investment; (iii) the customary participants in the principal market for the investment; (iv) data assumptions by market participants for the investment, if reasonably available; (v) quoted prices for similar investments in active markets; and (vi) other factors, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such factors are reported to the Board on a quarterly basis.

The Global Valuation Committee employs various methods for calibrating valuation approaches for investments where an active market does not exist, including regular due diligence of the Trust’s pricing vendors, a regular review of key inputs and assumptions, transactional back-testing or disposition analysis to compare unrealized gains and losses to realized gains and losses, reviews of missing or stale prices, reviews of large movements in market values, and reviews of market related activity.

 

NOTES TO SCHEDULES OF INVESTMENTS

      9   

Notes to Schedules of Investments  (Unaudited) (Continued)

iSHARES® U.S. ETF TRUST

 

Various inputs are used in determining the fair value of financial instruments. Inputs may be based on independent market data (“observable inputs”) or they may be internally developed (“unobservable inputs”). These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes. The level of a value determined for a financial instrument within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement in its entirety. The categorization of a value determined for a financial instrument within the hierarchy is based upon the pricing transparency of the instrument and is not necessarily an indication of the risk associated with investing in the instrument. The three levels of the fair value hierarchy are as follows:

 

  •  

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities;

 

  •  

Level 2 — Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability (such as exchange rates, financing terms, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs; and

 

  •  

Level 3 — Unobservable inputs for the asset or liability, including the Global Valuation Committee’s assumptions used in determining the fair value of investments.

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure 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.

As of October 31, 2013, the value of each of the Funds’ investments was classified as Level 1. The breakdown of each Fund’s investments into major categories is disclosed in its respective schedule of investments.

FEDERAL INCOME TAXES

As of October 31, 2013, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows:

 

iShares Enhanced ETF    Tax Cost      Gross
Unrealized
Appreciation		      Gross
Unrealized
Depreciation		     Net
Unrealized
Appreciation
(Depreciation)		  

U.S. Large-Cap

    $ 25,251,457       $ 2,377,770       $ (180,603 )    $ 2,197,167   

U.S. Small-Cap

      2,594,022         468,589         (39,414 )      429,175   

 

2. TRANSACTIONS WITH AFFILIATES

Each Fund may invest its positive cash balances in certain money market funds managed by BlackRock Fund Advisors (“BFA”), the Funds’ investment adviser, or an affiliate. BFA is a California corporation indirectly owned by BlackRock, Inc. (“BlackRock”).

 

3. LOANS OF PORTFOLIO SECURITIES

Each Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other

 

10    2013 iSHARES SEMI-ANNUAL REPORT TO SHAREHOLDERS

Notes to Schedules of Investments  (Unaudited) (Continued)

iSHARES® U.S. ETF TRUST

 

securities. The collateral is maintained thereafter, at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Funds and any additional required collateral is delivered to the Funds on the next business day. The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Funds benefit from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of securities lent. Any securities lending cash collateral may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BFA or its affiliates. Each Fund could suffer a loss if the value of an investment purchased with cash collateral falls below the value of the cash collateral received.

As of October 31, 2013, any securities on loan were collateralized by cash. The cash collateral received was invested in money market funds managed by BFA.

 

NOTES TO SCHEDULES OF INVESTMENTS

      11   

Item 2. Controls and Procedures.

(a) The President (the Registrant’s Principal Executive Officer) and Chief Financial Officer (the Registrant’s Principal Financial Officer) have concluded that, based on their evaluation as of a date within 90 days of the filing date of this report, the disclosure controls and procedures of the Registrant (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are reasonably designed to achieve the purposes described in Section 4(a) of the certifications filed with this Form N-Q.

(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 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.

(a) Certifications of the President (the Registrant’s Principal Executive Officer) and Chief Financial Officer (the Registrant’s Principal Financial Officer) as required by Rule 30a-2(a) under the Investment Company Act of 1940 are filed with this Form N-Q as exhibits.

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 U.S. ETF Trust
By:   /s/ Michael Latham
 

Michael Latham,

President (Principal Executive Officer)

Date:   December 27, 2013

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/ Michael Latham
 

Michael Latham,

President (Principal Executive Officer)

Date:   December 27, 2013
By:   /s/ Jack Gee
 

Jack Gee,

Treasurer and Chief Financial Officer

(Principal Financial Officer)

Date:   December 27, 2013